Condensed Consolidating Financial Statements

On September 22, 2016, we issued $500 million of 2.95% senior notes due in 2027. On May 26, 2015, we issued $700 million of 4.0% senior notes due in 2025. On August 18, 2015, we issued $2.0 billion of senior notes, consisting of $400 million of 2.5% senior notes due in 2018, $700 million of 3.3% senior notes due in 2020 and $900 million of 4.4% senior notes due in 2026. See Note 4 — Debt for additional information.

The senior notes described above are fully and unconditionally guaranteed by Standard & Poor's Financial Services LLC, a 100% owned subsidiary of the Company. The following condensed consolidating financial statements present the results of operations, financial position and cash flows of S&P Global Inc., Standard & Poor's Financial Services LLC, and the Non-Guarantor Subsidiaries of S&P Global Inc. and Standard & Poor's Financial Services LLC, and the eliminations necessary to arrive at the information for the Company on a consolidated basis.



	Statement of Income
	Three Months Ended March 31, 2018
	(Unaudited)
(in millions)	S&P Global Inc.			Standard & Poor's Financial Services LLC			Non-Guarantor Subsidiaries			Eliminations			S&P Global Inc. Consolidated
Revenue	$	191		$	434		$	977		$	(35	)	$	1,567
Expenses:
Operating-related expenses	34			117			323			(35		)	439
Selling and general expenses	37			87			248			—			372
Depreciation	8			2			11			—			21
Amortization of intangibles	—			—			24			—			24
Total expenses	79			206			606			(35		)	856
Operating profit	112			228			371			—			711
Other (income) expense, net	(7		)	—			3			—			(4		)
Interest expense (income), net	38			—			(4		)	—			34
Non-operating intercompany transactions	100			(20		)	(1,096		)	1,016			—
Income before taxes on income	(19		)	248			1,468			(1,016		)	681
(Benefit) provision for taxes on income	(14		)	71			90			—			147
Equity in net income of subsidiaries	1,512			—			—			(1,512		)	—
Net income	$	1,507		$	177		$	1,378		$	(2,528	)	$	534
Less: net income attributable to noncontrolling interests	—			—			—			(43		)	(43		)
Net income attributable to S&P Global Inc.	$	1,507		$	177		$	1,378		$	(2,571	)	$	491
Comprehensive income	$	1,487		$	177		$	1,412		$	(2,533	)	$	543



	Statement of Income
	Three Months Ended March 31, 2017
	(Unaudited)
(in millions)	S&P Global Inc.			Standard & Poor's Financial Services LLC			Non-Guarantor Subsidiaries			Eliminations			S&P Global Inc. Consolidated
Revenue	$	180		$	438		$	867		$	(32	)	$	1,453
Expenses:
Operating-related expenses	31			119			293			(32		)	411
Selling and general expenses	26			88			246			—			360
Depreciation	7			3			9			—			19
Amortization of intangibles	—			—			24			—			24
Total expenses	64			210			572			(32		)	814
Operating profit	116			228			295			—			639
Other (income) expense, net	(6		)	—			(3		)	—			(9		)
Interest expense (income), net	39			—			(2		)	—			37
Non-operating intercompany transactions	82			(19		)	(901		)	838			—
Income before taxes on income	1			247			1,201			(838		)	611
(Benefit) provision for taxes on income	(11		)	99			93			—			181
Equity in net income of subsidiaries	1,224			—			—			(1,224		)	—
Net income	$	1,236		$	148		$	1,108		$	(2,062	)	$	430
Less: net income attributable to noncontrolling interests	—			—			—			(31		)	(31		)
Net income attributable to S&P Global Inc.	$	1,236		$	148		$	1,108		$	(2,093	)	$	399
Comprehensive income	$	1,238		$	147		$	1,147		$	(2,064	)	$	468



	Balance Sheet
	March 31, 2018
	(Unaudited)
(in millions)	S&P Global Inc.			Standard & Poor's Financial Services LLC			Non-Guarantor Subsidiaries			Eliminations			S&P Global Inc. Consolidated
ASSETS
Current assets:
Cash and cash equivalents	$	581		$	—		$	1,175		$	—		$	1,756
Accounts receivable, net of allowance for doubtful accounts	133			178			1,002			—			1,313
Intercompany receivable	608			1,454			2,887			(4,949		)	—
Prepaid and other current assets	92			(4		)	127			—			215
Total current assets	1,414			1,628			5,191			(4,949		)	3,284
Property and equipment, net of accumulated depreciation	170			1			99						270
Goodwill	261			—			2,775			9			3,045
Other intangible assets, net	—			—			1,390			—			1,390
Investments in subsidiaries	7,069			5			8,085			(15,159		)	—
Intercompany loans receivable	118			—			1,885			(2,003		)	—
Other non-current assets	232			63			213			—			508
Total assets	$	9,264		$	1,697		$	19,638		$	(22,102	)	$	8,497
LIABILITIES AND EQUITY
Current liabilities:
Accounts payable	$	79		$	19		$	98		$	—		$	196
Intercompany payable	3,577			29			1,343			(4,949		)	—
Accrued compensation and contributions to retirement plans	84			14			97			—			195
Short-term debt	400			—			—			—			400
Income taxes currently payable	13			—			87			—			100
Unearned revenue	288			247			1,144			—			1,679
Accrued legal settlements	—			—			82			—			82
Other current liabilities	265			21			197			—			483
Total current liabilities	4,706			330			3,048			(4,949		)	3,135
Long-term debt	3,170			—			—			—			3,170
Intercompany loans payable	102			—			1,901			(2,003		)	—
Pension and other postretirement benefits	178			—			57			—			235
Other non-current liabilities	157			55			327			—			539
Total liabilities	8,313			385			5,333			(6,952		)	7,079
Redeemable noncontrolling interest	—			—			—			1,350			1,350
Equity:
Common stock	412			—			2,318			(2,318		)	412
Additional paid-in capital	(415		)	604			9,335			(9,189		)	335
Retained income	11,780			708			3,056			(5,117		)	10,427
Accumulated other comprehensive loss	(289		)	—			(382		)	41			(630		)
Less: common stock in treasury	(10,537		)	—			(23		)	23			(10,537		)
Total equity - controlling interests	951			1,312			14,304			(16,560		)	7
Total equity - noncontrolling interests	—			—			1			60			61
Total equity	951			1,312			14,305			(16,500		)	68
Total liabilities and equity	$	9,264		$	1,697		$	19,638		$	(22,102	)	$	8,497



	Balance Sheet
	December 31, 2017
(in millions)	S&P Global Inc.			Standard & Poor's Financial Services LLC			Non-Guarantor Subsidiaries			Eliminations			S&P Global Inc. Consolidated
ASSETS
Current assets:
Cash and cash equivalents	$	632		$	—		$	2,147		$	—		$	2,779
Accounts receivable, net of allowance for doubtful accounts	138			152			1,029			—			1,319
Intercompany receivable	768			1,784			2,527			(5,079		)	—
Prepaid and other current assets	143			(3		)	86			—			226
Total current assets	1,681			1,933			5,789			(5,079		)	4,324
Property and equipment, net of accumulated depreciation	158			10			107			—			275
Goodwill	261			—			2,719			9			2,989
Other intangible assets, net	—			—			1,388			—			1,388
Investments in subsidiaries	8,364			5			8,028			(16,397		)	—
Intercompany loans receivable	116			—			1,699			(1,815		)	—
Other non-current assets	215			61			174			(1		)	449
Total assets	$	10,795		$	2,009		$	19,904		$	(23,283	)	$	9,425
LIABILITIES AND EQUITY
Current liabilities:
Accounts payable	$	79		$	23		$	93		$	—		$	195
Intercompany payable	3,433			492			1,154			(5,079		)	—
Accrued compensation and contributions to retirement plans	145			86			241			—			472
Short-term debt	399			—			—			—			399
Income taxes currently payable	2			—			75			—			77
Unearned revenue	293			193			1,127			—			1,613
Accrued legal settlements	—			2			105			—			107
Other current liabilities	136			21			194			—			351
Total current liabilities	4,487			817			2,989			(5,079		)	3,214
Long-term debt	3,170			—			—			—			3,170
Intercompany loans payable	101			—			1,715			(1,816		)	—
Pension and other postretirement benefits	180			—			64			—			244
Other non-current liabilities	376			74			229			—			679
Total liabilities	8,314			891			4,997			(6,895		)	7,307
Redeemable noncontrolling interest	—			—			—			1,350			1,350
Equity:
Common stock	412			—			2,318			(2,318		)	412
Additional paid-in capital	(216		)	602			9,256			(9,117		)	525
Retained income	12,156			516			3,782			(6,429		)	10,025
Accumulated other comprehensive loss	(269		)	—			(426		)	46			(649		)
Less: common stock in treasury	(9,602		)	—			(23		)	23			(9,602		)
Total equity - controlling interests	2,481			1,118			14,907			(17,795		)	711
Total equity - noncontrolling interests	—			—			—			57			57
Total equity	2,481			1,118			14,907			(17,738		)	768
Total liabilities and equity	$	10,795		$	2,009		$	19,904		$	(23,283	)	$	9,425



	Statement of Cash Flows
	Three Months Ended March 31, 2018
	(Unaudited)
(in millions)	S&P Global Inc.			Standard & Poor's Financial Services LLC			Non-Guarantor Subsidiaries			Eliminations			S&P Global Inc. Consolidated
Operating Activities:
Net income	$	1,507		$	177		$	1,378		$	(2,528	)	$	534
Adjustments to reconcile net income to cash provided by operating activities:
Depreciation	8			2			11			—			21
Amortization of intangibles	—			—			24			—			24
Provision for losses on accounts receivable	—			2			6			—			8
Stock-based compensation	5			3			5			—			13
Other	(71		)	—			87			—			16
Changes in operating assets and liabilities, net of effect of acquisitions and dispositions:
Accounts receivable	5			(27		)	29			—			7
Prepaid and other current assets	(18		)	1			(4		)	—			(21		)
Accounts payable and accrued expenses	(60		)	(79		)	(150		)	—			(289		)
Unearned revenue	(4		)	28			3			—			27
Accrued legal settlements	(29		)	—			—			—			(29		)
Other current liabilities	22			(2		)	(1		)	—			19
Net change in prepaid/accrued income taxes	73			1			—			—			74
Net change in other assets and liabilities	(37		)	—			(7		)	—			(44		)
Cash provided by operating activities	1,401			106			1,381			(2,528		)	360
Investing Activities:
Capital expenditures	(23		)	(6		)	(4		)	—			(33		)
Acquisitions, net of cash acquired	—			—			(57		)	—			(57		)
Changes in short-term investments	—			—			3			—			3
Cash used for investing activities	(23		)	(6		)	(58		)	—			(87		)
Financing Activities:
Dividends paid to shareholders	(127		)	—			—			—			(127		)
Distributions to noncontrolling interest holders	—			—			(50		)	—			(50		)
Repurchase of treasury shares	(1,100		)	—			—			—			(1,100		)
Exercise of stock options	10			—						—			10
Employee withholding tax on share-based payments	(49		)	—			—			—			(49		)
Intercompany financing activities	(158		)	(100		)	(2,270		)	2,528			—
Cash used for financing activities	(1,424		)	(100		)	(2,320		)	2,528			(1,316		)
Effect of exchange rate changes on cash from continuing operations	(5		)	—			25			—			20
Net change in cash and cash equivalents	(51		)	—			(972		)	—			(1,023		)
Cash and cash equivalents at beginning of period	632			—			2,147			—			2,779
Cash and cash equivalents at end of period	$	581		$	—		$	1,175		$	—		$	1,756



	Statement of Cash Flows
	Three Months Ended March 31, 2017
	(Unaudited)
(in millions)	S&P Global Inc.			Standard & Poor's Financial Services LLC			Non-Guarantor Subsidiaries			Eliminations			S&P Global Inc. Consolidated
Operating Activities:
Net income	$	1,236		$	148		$	1,108		$	(2,062	)	$	430
Adjustments to reconcile net income to cash provided by operating activities:
Depreciation	7			3			9			—			19
Amortization of intangibles	—			—			24			—			24
Provision for losses on accounts receivable	1			1			3			—			5
Stock-based compensation	7			4			8			—			19
Other	5			—			8			—			13
Changes in operating assets and liabilities, net of effect of acquisitions and dispositions:
Accounts receivable	8			(59		)	63			—			12
Prepaid and other current assets	8			3			(2		)	—			9
Accounts payable and accrued expenses	(61		)	12			(186		)	—			(235		)
Unearned revenue	5			25			(36		)	—			(6		)
Accrued legal settlements	—			(1		)	—			—			(1		)
Other current liabilities	(35		)	(3		)	(20		)	—			(58		)
Net change in prepaid/accrued income taxes	123			—			23			—			146
Net change in other assets and liabilities	(6		)	(4		)	(14		)	—			(24		)
Cash provided by operating activities	1,298			129			988			(2,062		)	353
Investing Activities:
Capital expenditures	(4		)	(4		)	(15		)	—			(23		)
Acquisitions, net of cash acquired	—			—			(1		)	—			(1		)
Proceeds from dispositions	—			—			2			—			2
Cash used for investing activities	(4		)	(4		)	(14		)	—			(22		)
Financing Activities:
Dividends paid to shareholders	(106		)	—			—			—			(106		)
Distributions to noncontrolling interest holders	—			—			(24		)	—			(24		)
Repurchase of treasury shares	(201		)	—			—			—			(201		)
Exercise of stock options	29			—			—			—			29
Employee withholding tax on share-based payments	(44		)	—			—			—			(44		)
Intercompany financing activities	(1,056		)	(125		)	(881		)	2,062			—
Cash used for financing activities	(1,378		)	(125		)	(905		)	2,062			(346		)
Effect of exchange rate changes on cash from continuing operations	—			—			34			—			34
Net change in cash and cash equivalents	(84		)	—			103			—			19
Cash and cash equivalents at beginning of period	711			—			1,681			—			2,392
Cash and cash equivalents at end of period	$	627		$	—		$	1,784		$	—		$	2,411