Fair Value Measurements (Tables)

3 Months Ended

12 Months Ended

Mar. 31, 2013

Dec. 31, 2012

Fair Value Disclosures [Abstract]

Financial Assets and Liabilities Measured on Recurring Basis

The following table summarizes the valuation of the Company’s material financial assets and liabilities measured at fair value on a recurring basis as of March 31, 2013 and December 31, 2012:

(IN MILLIONS)	March 31, 2013		Level 1		Level 2		Level 3
Assets:
Investments in equity securities(1)	$	16	$	16	$	—	$	—
Plan assets for deferred compensation(2)		22		22		—		—
Investment in mutual funds(3)		2		2		—		—
Total	$	40	$	40	$	—	$	—
Liabilities:
Interest rate swap arrangements(4)	$	18	$	—	$	18	$	—
Deferred compensation liabilities(5)		22		22		—		—
Total	$	40	$	22	$	18	$	—
(IN MILLIONS)	December 31, 2012		Level 1		Level 2		Level 3
Assets:
Investments in equity securities(1)	$	13	$	13	$	—	$	—
Plan assets for deferred compensation(2)		22		22		—		—
Investment in mutual funds(3)		2		2		—		—
Total	$	37	$	37	$	—	$	—
Liabilities:
Interest rate swap arrangements(4)	$	22	$	—	$	22	$	—
Deferred compensation liabilities(5)		22		22		—		—
Total	$	44	$	22	$	22	$	—

(1) Investments in equity securities are carried at fair value, which is based on the quoted market price at period end in an active market. These investments are classified as available-for-sale with any unrealized gains or losses resulting from changes in fair value recorded, net of tax, as a component of accumulated other comprehensive income/(loss) until realized. Nielsen assesses declines in the value of individual investments to determine whether such decline is other than temporary and thus the investment is impaired by considering available evidence. For the three months ended March 31, 2013, Nielsen noted no such impairments.

(2) Plan assets are comprised of investments in mutual funds, which are intended to fund liabilities arising from deferred compensation plans. These investments are carried at fair value, which is based on quoted market prices at period end in active markets. These investments are classified as trading securities with any gains or losses resulting from changes in fair value recorded in other expense, net in the condensed consolidated statements of operations.

(3) Investments in mutual funds are money-market accounts held with the intention of funding certain specific retirement plans.

(4) Derivative financial instruments include interest rate swap arrangements recorded at fair value based on externally-developed valuation models that use readily observable market parameters and the consideration of counterparty risk.

(5) The Company offers certain employees the opportunity to participate in a deferred compensation plan. A participant’s deferrals are invested in a variety of participant directed stock and bond mutual funds and are classified as trading securities. Changes in the fair value of these securities are measured using quoted prices in active markets based on the market price per unit multiplied by the number of units held exclusive of any transaction costs. A corresponding adjustment for changes in fair value of the trading securities is also reflected in the changes in fair value of the deferred compensation obligation.

The following table summarizes the valuation of the Company’s material financial assets and liabilities measured at fair value on a recurring basis as of December 31, 2012 and 2011:

(IN MILLIONS)	December 31, 2012		Level 1		Level 2		Level 3
Assets:
Investments in equity securities(1)	$	13	$	13	$	—	$	—
Plan assets for deferred compensation(2)		22		22		—		—
Investments in mutual funds(3)		2		2		—		—
Total	$	37	$	37	$	—	$	—
Liabilities:
Interest rate swap arrangements(4)	$	22	$	—	$	22	$	—
Deferred compensation liabilities(5)		22		22		—		—
Total	$	44	$	22	$	22	$	—

(IN MILLIONS)	December 31, 2011		Level 1		Level 2		Level 3
Assets:
Investments in equity securities(1)	$	21	$	21	$	—	$	—
Plan assets for deferred compensation(2)		20		20		—		—
Investments in mutual funds(3)		2		2		—		—
Total	$	43	$	43	$	—	$	—
Liabilities:
Interest rate swap arrangements(4)	$	24	$	—	$	24	$	—
Deferred compensation liabilities(5)		20		20		—		—
Total	$	44	$	20	$	24	$	—

(1) Investments in equity securities are carried at fair value, which is based on the quoted market price at period end in an active market. These investments are classified as available-for-sale with any unrealized gains or losses resulting from changes in fair value recorded, net of tax, as a component of accumulated other comprehensive income/(loss) until realized. Nielsen assesses declines in the value of individual investments to determine whether such decline is other than temporary and thus the investment is impaired by considering available evidence. For the year ended December 31, 2012, the Company recorded a $6 million impairment in Other Expense, net in the consolidated statement of operations for a decline in value of an investment in an equity security that was determined to be other-than-temporary.

(2) Plan assets are comprised of investments in mutual funds, which are intended to fund liabilities arising from deferred compensation plans. These investments are carried at fair value, which is based on quoted market prices at period end in active markets. These investments are classified as trading securities with any gains or losses resulting from changes in fair value recorded in other expense, net in the consolidated statements of operations.

(3) Investments in mutual funds are money-market accounts held with the intention of funding certain specific retirement plans.

(4) Derivative financial instruments include interest rate swap arrangements recorded at fair value based on externally-developed valuation models that use readily observable market parameters and the consideration of counterparty risk.

(5) The Company offers certain employees the opportunity to participate in a deferred compensation plan. A participant’s deferrals are invested in a variety of participant directed stock and bond mutual funds and are classified as trading securities. Changes in the fair value of these securities are measured using quoted prices in active markets based on the market price per unit multiplied by the number of units held exclusive of any transaction costs. A corresponding adjustment for changes in fair value of the trading securities is also reflected in the changes in fair value of the deferred compensation obligation.

Outstanding Interest Rate Swaps

As of March 31, 2013, the Company had the following outstanding interest rate swaps utilized in the management of its interest rate risk:

	Notional Amount		Maturity Date		Currency
Interest rate swaps designated as hedging instruments
US Dollar term loan floating-to-fixed rate swaps	$	1,000,000,000		November 2013		US Dollar
US Dollar term loan floating-to-fixed rate swaps	$	250,000,000		November 2014		US Dollar
US Dollar term loan floating-to-fixed rate swaps	$	250,000,000		September 2015		US Dollar
US Dollar term loan floating-to-fixed rate swaps	$	125,000,000		November 2015		US Dollar
Euro term loan floating-to-fixed rate swaps	€	125,000,000		November 2015		Euro
US Dollar term loan floating-to-fixed rate swaps	$	500,000,000		November 2016		US Dollar

As of December 31, 2012 the Company had the following outstanding interest rate swaps utilized in the management of its interest rate risk:

Interest rate swaps designated as hedging instruments
US Dollar term loan floating-to-fixed rate swaps	$	250,000,000	March 2013	US Dollar
US Dollar term loan floating-to-fixed rate swaps	$	1,000,000,000	November 2013	US Dollar
US Dollar term loan floating-to-fixed rate swaps	$	250,000,000	November 2014	US Dollar
US Dollar term loan floating-to-fixed rate swaps	$	250,000,000	September 2015	US Dollar
US Dollar term loan floating-to-fixed rate swaps	$	125,000,000	November 2015	US Dollar
Euro term loan floating-to-fixed rate swaps	€	125,000,000	November 2015	Euro
US Dollar term loan floating-to-fixed rate swaps	$	500,000,000	November 2016	US Dollar

Fair Values of Derivative Instruments in Condensed Consolidated Balance Sheets

The fair values of the Company’s derivative instruments as of March 31, 2013 and December 31, 2012 were as follows:

	March 31, 2013				December 31, 2012
Derivatives Designated as Hedging Instruments (IN MILLIONS)	Accounts Payable and Other Current Liabilities		Other Non- Current Liabilities		Accounts Payable and Other Current Liabilities		Other Non- Current Liabilities
Interest rate swaps	$	3	$	15	$	6	$	16

The fair values of the Company’s derivative instruments as of December 31, 2012 and December 31, 2011 were as follows:

	December 31, 2012				December 31, 2011
(IN MILLIONS)	Accounts Payable and Other Current Liabilities		Other Non- Current Liabilities		Accounts Payable and Other Current Liabilities		Other Non- Current Liabilities
Derivatives designated as hedging instruments
Interest rate swaps	$	6	$	16	$	10	$	14

Derivatives in Cash Flow Hedging Relationships

The pre-tax effect of derivative instruments in cash flow hedging relationships for the three months ended March 31, 2013 and 2012 was as follows:

Derivatives in Cash Flow Hedging Relationships (IN MILLIONS)	Amount of Loss Recognized in OCI (Effective Portion) Three  Months Ended March 31,				Location of  Loss Reclassified from OCI into Income (Effective Portion)		Amount of Loss Reclassified from OCI into Income (Effective Portion) Three Months Ended March 31,
	2013		2012				2013		2012
Interest rate swaps	$	—	$	8		Interest expense	$	4	$	6

The pre-tax effect of derivative instruments in cash flow hedging relationships for the years ended December 31, 2012, 2011 and 2010 was as follows (amounts in millions):

Derivatives in Cash Flow Hedging Relationships	Amount of Loss Recognized in OCI on Derivatives (Effective Portion) December 31,						Location of (Loss)/Gain Reclassified from OCI into Income (Effective Portion)		Amount of Loss Reclassified from OCI into Income (Effective  Portion) December 31,						Amount of Loss Recognized in Income on Derivatives (Ineffective Portion and Amount Excluded from Effectiveness Testing) December 31,
	2012		2011		2010				2012		2011		2010		2012		2011		2010
Interest rate swaps	$	23	$	38	$	12		Interest expense	$	25	$	21	$	14	$	—	$	19	$	50

Derivatives Not Designated as Hedging Instruments

The pre-tax effect of derivative instruments not designated as hedges for the years ended December 31, 2012, 2011 and 2010 was as follows (amounts in millions):

Derivatives Not Designated as Hedging Instruments	Location of Loss Recognized in Statement of Operations on Derivatives	Amount of Loss Recognized in Statement of Operations on  Derivatives For the Years Ended December 31,
		2012		2011		2010
Interest rate swaps	Loss on derivative instruments	$	—	$	1	$	18
Foreign currency forward contracts	Loss on derivative instruments		—		—		9
Total		$	—	$	1	$	27