Condensed Consolidating Financial Statements (Tables)

6 Months Ended

Jun. 30, 2018

Condensed Financial Information Disclosure [Abstract]

Schedule of Statement of Income

	Statement of Income
	Three Months Ended June 30, 2018
	(Unaudited)
(in millions)	S&P Global Inc.			Standard & Poor's Financial Services LLC			Non-Guarantor Subsidiaries			Eliminations			S&P Global Inc. Consolidated
Revenue	$	200		$	463		$	985		$	(39	)	$	1,609
Expenses:
Operating-related expenses	48			107			330			(39		)	446
Selling and general expenses	70			57			312			—			439
Depreciation	7			2			10			—			19
Amortization of intangibles	—			—			33			—			33
Total expenses	125			166			685			(39		)	937
Operating profit	75			297			300			—			672
Other income, net	(8		)	—			(3		)	—			(11		)
Interest expense (income), net	28			—			(2		)	—			26
Non-operating intercompany transactions	86			(22		)	(358		)	294			—
Income before taxes on income	(31		)	319			663			(294		)	657
Provision for taxes on income	27			75			54			—			156
Equity in net income of subsidiaries	812			—			—			(812		)	—
Net income	$	754		$	244		$	609		$	(1,106	)	$	501
Less: net income attributable to noncontrolling interests	—			—			—			(40		)	(40		)
Net income attributable to S&P Global Inc.	$	754		$	244		$	609		$	(1,146	)	$	461
Comprehensive income	$	764		$	244		$	521		$	(1,103	)	$	426

	Statement of Income
	Six Months Ended June 30, 2018
	(Unaudited)
(in millions)	S&P Global Inc.			Standard & Poor's Financial Services LLC			Non-Guarantor Subsidiaries			Eliminations			S&P Global Inc. Consolidated
Revenue	$	391		$	897		$	1,962		$	(74	)	$	3,176
Expenses:
Operating-related expenses	81			224			653			(74		)	884
Selling and general expenses	108			143			561			—			812
Depreciation	15			4			21			—			40
Amortization of intangibles	—			—			57			—			57
Total expenses	204			371			1,292			(74		)	1,793
Operating profit	187			526			670			—			1,383
Other income, net	(16		)	—			—			—			(16		)
Interest expense (income), net	66			1			(6		)	—			61
Non-operating intercompany transactions	186			(43		)	(1,454		)	1,311			—
Income before taxes on income	(49		)	568			2,130			(1,311		)	1,338
Provision for taxes on income	13			146			144			—			303
Equity in net income of subsidiaries	2,324			—			—			(2,324		)	—
Net income	$	2,262		$	422		$	1,986		$	(3,635	)	$	1,035
Less: net income attributable to noncontrolling interests	—			—			—			(84		)	(84		)
Net income attributable to S&P Global Inc.	$	2,262		$	422		$	1,986		$	(3,719	)	$	951
Comprehensive income	$	2,251		$	421		$	1,932		$	(3,635	)	$	969

	Statement of Income
	Three Months Ended June 30, 2017
	(Unaudited)
(in millions)	S&P Global Inc.			Standard & Poor's Financial Services LLC			Non-Guarantor Subsidiaries			Eliminations			S&P Global Inc. Consolidated
Revenue	$	181		$	447		$	916		$	(35	)	$	1,509
Expenses:
Operating-related expenses	22			115			330			(35		)	432
Selling and general expenses	49			83			232			—			364
Depreciation	8			3			9			—			20
Amortization of intangibles	—			—			25			—			25
Total expenses	79			201			596			(35		)	841
Operating profit	102			246			320			—			668
Other income, net	(6		)	—			(3		)	—			(9		)
Interest expense (income), net	40			—			(3		)	—			37
Non-operating intercompany transactions	93			(22		)	(726		)	655			—
Income before taxes on income	(25		)	268			1,052			(655		)	640
(Benefit) provision for taxes on income	(36		)	119			100			—			183
Equity in net income of subsidiaries	1,064			—			—			(1,064		)	—
Net income	$	1,075		$	149		$	952		$	(1,719	)	$	457
Less: net income attributable to noncontrolling interests	—			—			—			(36		)	(36		)
Net income attributable to S&P Global Inc.	$	1,075		$	149		$	952		$	(1,755	)	$	421
Comprehensive income	$	1,085		$	148		$	972		$	(1,712	)	$	493

	Statement of Income
	Six Months Ended June 30, 2017
	(Unaudited)
(in millions)	S&P Global Inc.			Standard & Poor's Financial Services LLC			Non-Guarantor Subsidiaries			Eliminations			S&P Global Inc. Consolidated
Revenue	$	361		$	885		$	1,783		$	(67	)	$	2,962
Expenses:
Operating-related expenses	52			234			624			(67		)	843
Selling and general expenses	76			172			477			—			725
Depreciation	15			5			19			—			39
Amortization of intangibles	—			—			49			—			49
Total expenses	143			411			1,169			(67		)	1,656
Operating profit	218			474			614			—			1,306
Other income, net	(12		)	—			(6		)	—			(18		)
Interest expense (income), net	79			—			(5		)	—			74
Non-operating intercompany transactions	175			(41		)	(1,626		)	1,492			—
Income before taxes on income	(24		)	515			2,251			(1,492		)	1,250
(Benefit) provision for taxes on income	(47		)	218			192			—			363
Equity in net income of subsidiaries	2,288			—			—			(2,288		)	—
Net income	$	2,311		$	297		$	2,059		$	(3,780	)	$	887
Less: net income attributable to noncontrolling interests	—			—			—			(67		)	(67		)
Net income attributable to S&P Global Inc.	$	2,311		$	297		$	2,059		$	(3,847	)	$	820
Comprehensive income	$	2,323		$	296		$	2,118		$	(3,776	)	$	961

Schedule of Balance Sheet

	Balance Sheet
	June 30, 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	$	767		$	—		$	1,118		$	—		$	1,885
Restricted cash	—			—			50			—			50
Accounts receivable, net of allowance for doubtful accounts	144			180			966			—			1,290
Intercompany receivable	734			1,731			2,917			(5,382		)	—
Prepaid and other current assets	129			(3		)	117			—			243
Total current assets	1,774			1,908			5,168			(5,382		)	3,468
Property and equipment, net of accumulated depreciation	184			1			88			—			273
Goodwill	261			—			3,268			9			3,538
Other intangible assets, net	—			—			1,453			—			1,453
Investments in subsidiaries	7,834			5			8,415			(16,254		)	—
Intercompany loans receivable	123			—			1,683			(1,806		)	—
Other non-current assets	214			66			206			(1		)	485
Total assets	$	10,390		$	1,980		$	20,281		$	(23,434	)	$	9,217
LIABILITIES AND EQUITY
Current liabilities:
Accounts payable	$	72		$	17		$	103		$	—		$	192
Intercompany payable	4,096			53			1,233			(5,382		)	—
Accrued compensation and contributions to retirement plans	102			28			133			—			263
Income taxes currently payable	5			—			74			—			79
Unearned revenue	301			248			1,140			—			1,689
Accrued legal settlements	—			—			149			—			149
Other current liabilities	181			18			153			—			352
Total current liabilities	4,757			364			2,985			(5,382		)	2,724
Long-term debt	3,660			—			—			—			3,660
Intercompany loans payable	108			—			1,699			(1,807		)	—
Pension and other postretirement benefits	178			—			51			—			229
Other non-current liabilities	222			58			257			—			537
Total liabilities	8,925			422			4,992			(7,189		)	7,150
Redeemable noncontrolling interest	—			—			—			1,431			1,431
Equity:
Common stock	412			—			2,315			(2,315		)	412
Additional paid-in capital	(5		)	610			10,246			(10,119		)	732
Retained income	11,873			948			3,220			(5,361		)	10,680
Accumulated other comprehensive loss	(280		)	—			(470		)	45			(705		)
Less: common stock in treasury	(10,535		)	—			(22		)	21			(10,536		)
Total equity - controlling interests	1,465			1,558			15,289			(17,729		)	583
Total equity - noncontrolling interests	—			—			—			53			53
Total equity	1,465			1,558			15,289			(17,676		)	636
Total liabilities and equity	$	10,390		$	1,980		$	20,281		$	(23,434	)	$	9,217

	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		$	—		$	2,145		$	—		$	2,777
Restricted cash	—			—			2			—			2
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

Schedule of Statement of Cash Flows

	Statement of Cash Flows
	Six Months Ended June 30, 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	$	2,262		$	422		$	1,986		$	(3,635	)	$	1,035
Adjustments to reconcile net income to cash provided by operating activities:
Depreciation	15			4			21			—			40
Amortization of intangibles	—			—			57			—			57
Provision for losses on accounts receivable	—			1			9			—			10
Stock-based compensation	14			8			24			—			46
Other	(67		)	—			169						102
Changes in operating assets and liabilities, net of effect of acquisitions and dispositions:
Accounts receivable	(6		)	(29		)	54			—			19
Prepaid and other current assets	(20		)	1			—			—			(19		)
Accounts payable and accrued expenses	(48		)	(68		)	(101		)				(217		)
Unearned revenue	9			30			2						41
Accrued legal settlements	(29		)	—			—			—			(29		)
Other current liabilities	20			(4		)	(85		)				(69		)
Net change in prepaid/accrued income taxes	24			1			(1		)	—			24
Net change in other assets and liabilities	(27		)	2			(112		)				(137		)
Cash provided by operating activities	2,147			368			2,023			(3,635		)	903
Investing Activities:
Capital expenditures	(43		)	(10		)	(7		)	—			(60		)
Acquisitions, net of cash acquired	—			—			(246		)	—			(246		)
Changes in short-term investments	—			—			1			—			1
Cash used for investing activities	(43		)	(10		)	(252		)	—			(305		)
Financing Activities:
Proceeds from issuance of senior notes, net	489			—			—			—			489
Payments on senior notes	(403		)	—			—			—			(403		)
Dividends paid to shareholders	(253		)	—			—			—			(253		)
Distributions to noncontrolling interest holders	—			—			(78		)	—			(78		)
Purchase of CRISIL shares	—			—			(25		)	—			(25		)
Repurchase of treasury shares	(1,100		)	—			—			—			(1,100		)
Exercise of stock options	14			—			2			—			16
Employee withholding tax on share-based payments	(50		)	—			—			—			(50		)
Intercompany financing activities	(667		)	(358		)	(2,610		)	3,635			—
Cash used for financing activities	(1,970		)	(358		)	(2,711		)	3,635			(1,404		)
Effect of exchange rate changes on cash from continuing operations	1			—			(39		)	—			(38		)
Net change in cash, cash equivalents, and restricted cash	135			—			(979		)	—			(844		)
Cash, cash equivalents, and restricted cash at beginning of period	632			—			2,147			—			2,779
Cash, cash equivalents, and restricted cash at end of period	$	767		$	—		$	1,168		$	—		$	1,935

	Statement of Cash Flows
	Six Months Ended June 30, 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	$	2,311		$	297		$	2,059		$	(3,780	)	$	887
Adjustments to reconcile net income to cash provided by operating activities:
Depreciation	15			5			19			—			39
Amortization of intangibles	—			—			49			—			49
Provision for losses on accounts receivable	—			4			9			—			13
Stock-based compensation	14			10			17			—			41
Other	17			—			9			—			26
Changes in operating assets and liabilities, net of effect of acquisitions and dispositions:
Accounts receivable	14			(63		)	—			—			(49		)
Prepaid and other current assets	(18		)	3			2			—			(13		)
Accounts payable and accrued expenses	(40		)	34			(133		)	—			(139		)
Unearned revenue	1			28			(46		)	—			(17		)
Accrued legal settlements	—			(1		)	(3		)	—			(4		)
Other current liabilities	(33		)	(4		)	(48		)	—			(85		)
Net change in prepaid/accrued income taxes	(55		)	—			10			—			(45		)
Net change in other assets and liabilities	(17		)	1			(13		)	—			(29		)
Cash provided by operating activities	2,209			314			1,931			(3,780		)	674
Investing Activities:
Capital expenditures	(19		)	(10		)	(27		)	—			(56		)
Acquisitions, net of cash acquired	—			—			(70		)	—			(70		)
Proceeds from dispositions	—			—			2			—			2
Cash used for investing activities	(19		)	(10		)	(95		)	—			(124		)
Financing Activities:
Dividends paid to shareholders	(212		)	—			—			—			(212		)
Distributions to noncontrolling interest holders	—			—			(54		)	—			(54		)
Repurchase of treasury shares	(346		)	—			—			—			(346		)
Exercise of stock options	38			—			—			—			38
Employee withholding tax on share-based payments	(44		)	—			—			—			(44		)
Intercompany financing activities	(1,842		)	(304		)	(1,634		)	3,780			—
Cash used for financing activities	(2,406		)	(304		)	(1,688		)	3,780			(618		)
Effect of exchange rate changes on cash from continuing operations	14			—			46			—			60
Net change in cash, cash equivalents, and restricted cash	(202		)	—			194			—			(8		)
Cash, cash equivalents, and restricted cash at beginning of period	711			—			1,681			—			2,392
Cash, cash equivalents, and restricted cash at end of period	$	509		$	—		$	1,875		$	—		$	2,384