Nelnet Inc. said the Canadian government has decided to award a student loan contract to another service provider instead of its subsidiary, Edulinx Canada Corp.

The company said it would have to record a pre-tax impairment charge of $9 million to $10 million in the fourth quarter for certain Edulinx assets, including servicing software and hardware under development.

Edulinx currently administers more than $9.2 billion in student loan assets of which about $7.9 billion is from the Canadian government contract, the company added.

This entry was posted on Wednesday, December 27th, 2006 at 1:00 am and is filed under College Loans, Education, Student Loan. Tags: Student, Student Loan. You can follow any responses to this entry through the RSS 2.0 feed. You can leave a response, or trackback from your own site.