The purpose of the study was to examinine the practice of tertiary level distance education in twornselected pioneers of public (Bahir Dar University) and private (Alpha University College) higherrneducation instilutions of Ethiopia. To this end, comparative descriptive survey method wasrnemployed to investigate the convenience of course material distribution system; the quality ofrndistance learning material, the availability and adequacy of learner support services and thernpractice of assessment and feedback. The sample of the study consisted of 380 and 497rnmanagement, accounting economics and business administration distance learners of BDU andrnA UC respectively. Besides 8 tutors (four from each institution) and two center coordinators ofrnthe institutions under study were selected. Subject groups were selected using availability andrnpurposive sampling techniques. Data collection tools were questionnaire, semi structuredrninterview and observation check list. The data collected through the questionnaire were analyzedrnusing percentages, whereas the qualitative data obtained through semi structured interview andrnobservation were transcribed, interpreted and triangulated with the quantitative data wherernnecessary and appropriate.rnThe findings revealed that both instilutions entirely use print media and did not have convenientrncourse material distribution system; the quality of distance materials of BDU was notrnappropriately designed; the learner support service of both institutions was not diverse andrnadequate; tutor marked assignments were neglected by BDU; AUC's assessment practice byrntutor marked assignments had shortcomings such as delay in timely and properly correctingrnassignments. Finally, assessment practices of both institutions had shortcomings likerninconvenience of exam schedule, exam hall and delay in announcing their respective learners'rnresults. Based on the major findings conclusions were drawn and certain recommendations werernforwarded: both institutions should utilize different media and convenient course materialrndistribution system; revise their distance learning materials; provide various and adequaternlearner support services and establish convenient, effective and efficient assessment and feedrnback system.