CAPE CORAL, Fla.--(BUSINESS WIRE)--March 31, 2006--Whitney Information Network, Inc. (OTCBB:RUSS), an international leader in the postsecondary education industry focused on educating individual investors in real estate and financial markets, reported full year 2005 revenue of $178.6 million, up 28% over the prior year, net earnings of $17.4 million vs. a net loss of $(30.1) million in 2004, and Adjusted EBITDA of $23.4 million compared with negative Adjusted EBITDA of ($6.4) million in the prior year.

    2005 Highlights

    --  Student attendance increased 9.1% to nearly 370,000 vs. 2004

    --  Cash received from course and product sales totaled $196.5
        million, a 20% increase over 2004

    --  Reported earnings per diluted share totaled $1.86 vs. loss per
        diluted share of $(3.50) in 2004

    --  Cash flows provided by operations amounted to $17.1 million,
        vs. $(1.5) million over prior year

    --  Cash, cash equivalents and restricted cash totaled $38.7
        million vs. $6.8 million in 2004

"We are proud of the significant achievements our team attained in 2005," said Russell A. Whitney, founder, Chairman of the Board and Chief Executive Officer. "Through our team's hard work, efficiency gains and cost controls, we believe 2005 represents an inflection point for our Company and a platform for sustained growth in 2006 and beyond. We take tremendous satisfaction in the growing number of individuals who benefited in multiple ways from our training and ongoing support."

President and Chief Operating Officer Nicholas S. Maturo said, "Our relevant and compelling course offerings proved our ability to provide pertinent education content and deliver it on a cost effective basis. Our portfolio of strong brands in both real estate and financial markets education catered to the individual investor. The depth of our advanced courses, the emerging electronic delivery of our course content and overall margin management provided for a terrific 2005 and the seeds for a strong 2006."

                     Summary Financial Highlights

                                  Q4                   Full Year
                                  --                   ---------
                          2005         2004         2005       2004
(in thousands, except for per share values)


Revenue              $  45,054    $  30,589    $ 178,564   $ 139,859

Earnings (loss)
 from operations     $  (3,611)   $ (13,658)   $   4,377   $ (30,776)

Earnings (loss)
 before income taxes $   3,199    $ (14,065)   $  12,552   $ (30,085)

Net earnings (loss)  $   1,011    $ (14,042)   $  17,388   $ (30,062)

Diluted earnings
 (loss) per share    $    0.10    $   (1.63)   $    1.86   $   (3.50)

Cash provided by
 operations          $   3,499    $  (4,382)   $  17,086   $  (1,478)

NonGAAP Operating Metrics:
--------------------------

Cash received from
 course sales        $  45,171    $  37,695    $ 196,455   $ 163,955

Adjusted EBITDA      $  (2,832)   $  (4,133)   $  23,436   $  (6,423)

Reconciliation of NonGAAP Measurements to GAAP Results

In addition to the results provided in accordance with U.S. generally accepted accounting principles (GAAP) throughout this document, the Company employs operating metrics that are not in accordance with generally accepted accounting principles (nonGAAP measures) that we believe provides additional information in analyzing our business and facilitates comparison to past and present operations. NonGAAP measurements are not intended to replace the presentation of our financial results in accordance with GAAP.

Adjusted EBITDA

As used in the following operating data and our reconciliation, EBITDA means net earnings (loss) before income taxes plus interest expense, depreciation and amortization expense, as well as the gain from the sale of assets, interest and non-operating income, and minority interest and equity earnings in related parties. We refer to "Adjusted EBITDA" to mean EBITDA adjusted for the net change in deferred revenue less deferred course expenses. Adjusted EBITDA is not a financial performance measurement under generally accepted accounting principles. Items excluded from Adjusted EBITDA are significant components in understanding our financial performance. Adjusted EBITDA is a key measure we use to evaluate our operations and compare operating results to the operating results of other businesses in our industry. In addition, we provide our Adjusted EBITDA because we believe that investors and securities analysts will find Adjusted EBITDA to be a useful measure for evaluating our performance and comparability between periods. Adjusted EBITDA should not be considered as an alternative to net earnings or loss, cash flows provided by operations, investing or financing activities or other financial statement data presented in the consolidated financial statements as indicators of financial performance or liquidity. Since Adjusted EBITDA is not a measurement determined in accordance with GAAP and is susceptible to varying calculations, Adjusted EBITDA as presented may not be comparable to other similar titled measures of performance from other companies.

The following chart reconciles net earnings (loss) to Adjusted EBITDA and shows Adjusted EBITDA as a percentage of total cash received from courses and products for the respective period (in thousands):

                                    Q4                  Full year
                                    --                  ---------
                             2005        2004        2005        2004

Net earnings (loss)     $   1,011   $ (14,042)  $  17,388   $ (30,062)
Interest expense              375         116         614         540
Interest and other
 income                    (1,569)        970      (2,386)       (129)
Income taxes (benefit)       (119)          -      (6,798)          -
Depreciation and
 amortization                 449         912       1,856       1,610
Minority interest and
 equity earnings            2,493         (64)      2,138        (182)
(Gain) loss on sale of
 assets                    (5,802)          -      (6,579)       (305)
                      ------------------------------------------------

EBITDA                     (3,162)    (12,108)      6,233     (28,528)

Net change in
 deferred revenue             117       7,106      17,891      24,096
Net change in
 deferred course
 costs                        213         869        (688)     (1,991)
                      ------------------------------------------------
Adjusted EBITDA         $  (2,832)  $  (4,133)  $  23,436   $  (6,423)
                      ================================================
Adjusted EBITDA as a
 percentage of cash
 received from courses
 and products                -6.3%      -11.0%       11.9%       -3.9%
                      ================================================

Cash received from course and product sales

We believe cash received from course sales before changes in deferred revenue is an important measure of cash receipts and overall business volume. Cash received from course sales as presented may not be comparable to other similar titled measures of performance from other companies. The following reconciles cash received from course and product sales to revenue for financial reporting purposes for the respective periods (in thousands):

                                    Q4                  Full year
                                    --                  ---------
                             2005        2004        2005        2004
Cash received from
 course or product
 sales                  $  45,171   $  37,695   $ 196,455   $ 163,955
Less: Net change in
 deferred revenue            (117)     (7,106)    (17,891)    (24,096)

                      ------------------------------------------------
Revenue for financial
 reporting purposes     $  45,054   $  30,589   $ 178,564   $ 139,859
                      ------------------------------------------------

Conference call

A conference call is scheduled for today, at 11:00 a.m. Eastern Standard Time. Interested parties may participate in the call by dialing (877) 407-8289; international callers dial (201) 689-8341. In addition, the conference call will be available via a webcast that can be accessed at http://www.vcall.com/IC/CEPage.asp?ID=103079.

About Whitney Information Network, Inc.

Whitney Information Network, Inc. (OTCBB: RUSS) is a provider of postsecondary education focused on individual wealth creation and personal success. Whitney Information Network, Inc. provides students with comprehensive instruction and mentorship in real estate investment, stock trading, business development and individual investment strategies in the United States, United Kingdom, Canada and Costa Rica. Additional information can be found at http://www.russwhitney.com.

Information included in this news release contains forward-looking statements made pursuant to the Private Securities Litigation Reform Act of 1995 ("Reform Act"). Such statements are based on current expectations and involve a number of known and unknown risks and uncertainties that could cause the actual results and performance of the Company to differ materially from any expected future results or performance, expressed or implied, by the forward-looking statements. In connection with the safe harbor provisions of the Reform Act, the Company has identified important factors that could cause actual results to differ materially from such expectations, including operating uncertainties, uncertainties relating to economic issues and competition. Reference is made to all the Company's SEC filings, including the Company's Reports on Forms 10-K, 10-Q and other periodic reports.

    CONTACT: Whitney Information Network, Inc.
             Nicholas S. Maturo, 239-540-6521
             Alfred R. Novas, 239-540-6522
             or
             Wolfe Axelrod Weinberger Associates, LLC
             Stephen D. Axelrod, 212-370-4500
             or
             MWW Group
             Matthew Rose, 212-704-9727

    SOURCE: Whitney Information Network, Inc.