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Government Declines to Intervene and Closes Investigation in Federal False Claims Act Case

  Government Declines to Intervene and Closes Investigation in Federal False
                               Claims Act Case

Universal Technical Institute Resolves Pending Litigation

PR Newswire

SCOTTSDALE, Ariz., Nov. 7, 2013

SCOTTSDALE, Ariz., Nov.7, 2013 /PRNewswire/ --Universal Technical Institute,
Inc. (NYSE: UTI),the leading provider of automotive technician training,
announced today that the United States Department of Justice ("DOJ") has
notified the Company that the DOJ has declined to intervene in the previously
disclosed Federal False Claims Act (31 U.S.C. Section 3729, et seq.) lawsuit
(the "FCA Suit") and that it has closed its investigation. The Company further
disclosed that the United States Department of Labor ("DOL") has also closed
its investigation of a complaint filed by the same former employee with the
Occupational Safety and Health Administration of the DOL.

As previously disclosed in July 2012, the Company received notice from the DOJ
that the Company was the subject of a preliminary investigation into claims
brought by a former employee who alleged UTI's compensation of its admissions
representatives violated the "incentive compensation ban" of Title IV of the
Higher Education Act, amongst other potential violations allegedly occurring
over a number of years. The Company also previously disclosed that the same
former employee had filed a complaint with the Occupational Safety and Health
Administration of the DOL alleging retaliatory employment practices in
violation of the whistleblower provisions of the Sarbanes-Oxley Act of 2002
(the "DOL Complaint"). To avoid protracted litigation costs, the Company
entered into a settlement agreement with the former employee resolving all of
her pending claims. The Company's costs under the agreement, following
contribution by the Company's insurer, will be approximately one cent per
share in the fourth quarter.

Under the terms of the settlement agreement, UTI and the former employee,
Linda Rawles, sought dismissal of the FCA Suit and a final agency disposition
of the DOL complaint, which were obtained on October 29, 2013 and November 7,
2013, respectively. The agreement provides that, in return for the dismissal
of her claims, the former employee will receive a payment only in respect to
her claims in the DOL Complaint.

"We are pleased that the DOJ has determined that intervention in the FCA Suit
is not appropriate, and that both the DOJ and DOL have closed their
investigations. We continue to be very proud of our track record of
compliance," said Kim McWaters, UTI's Chief Executive Officer. "Our decision
to resolve these claims with the former employee for an immaterial amount to
the company allows us to avoid protracted litigation costs and focus on our
core mission, which is to providea high quality education for our students
and the most highly skilled and professional graduates for our industry
partners."

About Universal Technical Institute, Inc.

Headquartered in Scottsdale, Arizona, Universal Technical Institute, Inc.
(NYSE: UTI) is the leading provider of post-secondary education for students
seeking careers as professional automotive, diesel, collision repair,
motorcycle and marine technicians. With more than 170,000 graduates in its
48-year history, UTI offers undergraduate degree, diploma and certificate
programs at 11 campuses across the United States, as well as
manufacturer-specific training programs at dedicated training centers.
Through its campus-based school system, UTI provides specialized
post-secondary education programs under the banner of several well-known
brands, including Universal Technical Institute (UTI), Motorcycle Mechanics
Institute and Marine Mechanics Institute (MMI) and NASCAR Technical Institute
(NASCAR Tech). For more information visit www.uti.edu.

Safe Harbor Statement

All statements contained herein, other than statements of historical fact, are
"forward-looking" statements within the meaning of Section 21E of the
Securities Exchange Act of 1934 and Section 27A of the Securities Act of 1933,
as amended. Such statements are based upon management's current expectations
and are subject to a number of uncertainties that could cause actual
performance and results to differ materially from the results discussed in the
forward-looking statements. Factors that could affect the Company's actual
results include, among other things, changes to federal and state educational
funding, changes to regulations or agency interpretation of such regulations
affecting the for-profit education industry, possible failure or inability to
obtain regulatory consents and certifications for new or expanding campuses,
potential increased competition, changes in demand for the programs offered by
UTI, increased investment in management and capital resources, the
effectiveness of the recruiting, advertising and promotional efforts, changes
to interest rates and unemployment, general economic conditions of the Company
and other risks that are described from time to time in the Company's public
filings. Further information on these and other potential factors that could
affect the financial results or condition may be found in the Company's
filings with the Securities and Exchange Commission. The forward-looking
statements speak only as of the date of this press release. Except as required
by law, the Company expressly disclaims any obligation to publicly update any
forward-looking statements whether as a result of new information, future
events, changes in expectations, any changes in events, conditions or
circumstances, or otherwise.

SOURCE Universal Technical Institute, Inc.

Website: http://www.uti.edu
Contact: John Jenson, Vice President, Corporate Controller, Universal
Technical Institute, Inc., (623) 445-0821
 
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