Segment and Related Information

9 Months Ended

Sep. 30, 2011

Segment and Related Information [Abstract]

Segment and Related Information

12. Segment and Related Information

We have four reportable segments: Standard & Poor’s (“S&P”), McGraw-Hill Financial (“MH Financial”), McGraw-Hill Education (“MHE”) and McGraw-Hill Information & Media (“I&M”).

• S&P is the world’s foremost provider of credit ratings providing investors with information and independent ratings benchmarks for their investment and financial decisions.

• MH Financial is a leading global provider of digital and traditional research and analytical tools for investment advisors, wealth managers and institutional investors.

• MHE is a leading global provider of educational materials, information and solutions serving the elementary and high school, college, professional, international and adult education markets.

• I&M consists of business-to-business and business-to-consumer companies, each an expert in its industry, that deliver their customers access to actionable data and analytics. The Broadcasting Group has historically been part of the I&M segment. In accordance with the presentation of the Broadcasting Group as discontinued operations, the results of operations for all periods presented have been reclassified to reflect this change. See Note 2 for further discussion.

The Executive Committee, consisting of our principal corporate executives, is our chief operating decision-maker and evaluates performance of our segments and allocates resources based primarily on operating income. A summary of operating results by segment for the periods ended September 30 is as follows:

	2011						2010
				Operating						Operating
Three Months	Revenue			Income			Revenue			Income
S&P	$	409.9		$	169.1		$	417.5		$	187.3
MH Financial		348.5			112.6			294.3			85.8
MHE		937.3			314.7			1,054.7			357.5
I&M		228.5			51.3			204.1			43.8
Intersegment elimination		(16.2	) 1		—			(14.4	) 1		—
Total operating segments		1,908.0			647.7			1,956.2			674.4
General corporate expense		—			(40.9	)		—			(44.4	)
Total	$	1,908.0		$	606.8		$	1,956.2		$	630.0

	2011						2010
				Operating						Operating
Nine Months	Revenue			Income			Revenue			Income
S&P	$	1,333.1		$	572.2		$	1,223.8		$	557.5
MH Financial		1,005.9			306.7			866.8			240.3
MHE		1,776.6			281.4			1,936.9			347.3
I&M		657.6			139.1			590.4			118.0
Intersegment elimination		(46.8	)1		—			(41.3	)1		—
Total operating segments		4,726.4			1,299.4			4,576.6			1,263.1
General corporate expense		—			(119.3	)		—			(117.7	)
Total	$	4,726.4		$	1,180.1		$	4,576.6		$	1,145.4

¹ Revenue for S&P and expenses for MH Financial include an intersegment royalty charged to MH Financial for the rights to use and distribute content and data developed by S&P.

See Note 2 — Acquisitions and Divestitures, and Note 11 — Restructuring for actions that impacted the segment operating results.