This annual report, in its eighth edition, found that after several years of growth, the EMO (Education Management Organization) industry appears to be entering a period of reconfiguration. In this year's "Profiles", the number of companies listed and the number of schools they manage are down slightly; student enrollment in EMO-managed schools remains steady. These data, however, are primarily driven by what is happening to smaller firms, particularly in Arizona. Thus, despite slight declines in numbers, this is not an industry in decline so much as one in transition. This report identifies a total of 51 companies, down 13 percent from the 2004-2005 "Profiles", which identified 59. The steady annual enrollment data along with the declines in number of EMO firms and in number of schools they manage reflect three possible developments, none of which are mutually exclusive. One source of decline may be consolidation in the EMO industry. A second source arises from specific circumstances in Arizona. A third factor may be that firms are shifting business models. Appendices include: (1) Reader's Guide; (2) Special Notes on Company Profiles; (3) No Longer Profiled Companies; (4) Methods; and (5) National Average Enrollments. (Contains 9 tables.) [For the 2004-2005 report, see ED508513.]