標普全球 (SPGI) 2012 Q3 法說會逐字稿

Good morning and welcome to The McGraw-Hill Companies conference call. I like to inform you that this call is being recorded for broadcast.

早安，歡迎參加麥格羅-希爾公司（The McGraw-Hill Companies）電話會議。我想通知各位，本次通話將被錄音以供播出。

All participants are on a listen-only mode. We will open the conference to questions and answers after the presentation and instructions will follow at that time. (Operator Instructions) I would now like introduce Mr. Chip Merritt, Vice President of Investor Relations for The McGraw-Hill Companies. Sir, you may begin.

所有與會者目前皆為僅收聽模式。在簡報結束後我們將開放問答，屆時會提供相關指示。（接線員指示）現在我想介紹麥格羅-希爾公司投資人關係副總裁 Chip Merritt 先生。先生，您可以開始了。

Good morning and thank you for joining us for McGraw-Hill's third-quarter 2012 earnings call. This morning we issued a news release with our results. We trust you have all had a chance to review it.

早安，感謝各位參加麥格羅-希爾2012年第三季財報電話會議。今天早上我們已發布新聞稿公布業績。相信各位都已經有機會閱讀。

If you need a copy of the release and financial schedules, they can be downloaded at www.McGraw-Hill.com. Once again that is www.McGraw-Hill.com.

若您需要新聞稿與財務附表，可至 www.McGraw-Hill.com 下載。再重複一次，網址是 www.McGraw-Hill.com。

In today's earnings release and during the conference, we are providing adjusted financial information. This information is provided to enable investors to make meaningful comparisons of the corporation's operating performance between periods and to view the corporation's business from the same perspective as management's.

在今日的財報新聞稿以及本次會議中，我們將提供調整後的財務資訊。提供此資訊是為了讓投資人能在各期間之間對本公司的營運表現進行有意義的比較，並以與管理階層相同的角度來檢視本公司的業務。

The earnings release contains exhibits that reconcile the differences between the non-GAAP measures and the comparable financial measures calculated in accordance with US GAAP. The results for the prior-year quarter also reflect the reclassification of the broadcasting group as a discontinued operation.

財報新聞稿包含附表，用以調節非GAAP衡量指標與依照美國一般公認會計原則（US GAAP）計算之可比財務衡量指標之間的差異。前一年度同季的結果亦反映將廣播事業群重新分類為停業單位。

Before we begin, I need to provide certain cautionary remarks about forward-looking statements. Except for historical information, the matters discussed in the teleconference may contain forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995 including projections, estimates, and descriptions of future events. Any such statements are based on current expectations and current economic conditions and are subject to risks and uncertainties that may cause actual results to differ materially from results anticipated in these forward-looking statements.

在開始之前，我需要就前瞻性陳述提供若干警示性說明。除歷史資訊外，本次電話會議所討論事項可能包含《1995年私人證券訴訟改革法》（Private Securities Litigation Reform Act of 1995）所定義之前瞻性陳述，包括預測、估計與對未來事件的描述。任何此類陳述均係基於目前預期與當前經濟狀況，並受可能導致實際結果與這些前瞻性陳述所預期結果出現重大差異之風險與不確定性影響。

In this regard, we direct listeners to the cautionary statements contained in our Form 10-Ks, 10-Qs, and other periodic reports filed with the US Securities and Exchange Commission.

就此，我們請聽眾參閱我們向美國證券交易委員會（SEC）提交之 Form 10-K、10-Q 及其他定期報告中所載的警示性聲明。

We are all aware that we do have some media representatives with us on the call; however, this call is intended for investors and we would ask that questions from the media be directed to Patty Rockenwagner in our New York office at 212-512-3533.

我們都知道本次通話中有一些媒體代表；然而，本次通話係以投資人為對象，我們請媒體的提問改向我們紐約辦公室的 Patty Rockenwagner，電話為 212-512-3533。

Now I would like to turn the call over to Harold McGraw III, Chairman, President, and CEO of The McGraw-Hill Companies.

現在我想把電話交給麥格羅-希爾公司董事長、總裁暨執行長 Harold McGraw III。

Okay. Thank you very much, Chip, and good morning everyone and welcome to today's conference call. Joining me on today's conference call is Jack Callahan, our Chief Financial Officer.

好的。非常感謝你，Chip，各位早安，歡迎參加今天的電話會議。今天與我一同參加電話會議的還有我們的財務長 Jack Callahan。

This morning Jack and I will review our corporate results. We are going to provide an update on our growth and value plan progress, we will provide a detailed look at the segment results that make up what will be McGraw-Hill Financial and McGraw-Hill Education, and then provide an outlook for the balance of the year.

今天早上 Jack 和我將回顧公司的整體業績。我們將更新「成長與價值計畫」的進展，並詳細說明構成未來 McGraw-Hill Financial 與 McGraw-Hill Education 的各事業部門業績，接著提供今年剩餘期間的展望。

Now, like many other New York companies, we delayed our earnings report from Wednesday to today to accommodate employees and shareholders impacted by Hurricane Sandy. And, thankfully, all of our employees are safe and our business continuity plans are operating effectively. Our employees have really stepped up to work through the many challenges and I am grateful to them and to the state and city workers who have done so much to help us over this past week. I hope those of you on the phone affected by the storm are safe and starting the process to return to some state of normality as well.

另外，和許多其他紐約公司一樣，我們將原定週三發布的財報延後到今天，以配合受颶風珊迪影響的員工與股東。值得慶幸的是，我們所有員工都平安無事，而我們的營運持續計畫也有效運作。我們的員工確實挺身而出，克服許多挑戰；我也感謝他們，以及在過去一週為協助我們付出許多的州與市政府工作人員。我也希望電話線上受風暴影響的各位都平安，並開始逐步回到某種程度的正常狀態。

Let me begin by saying that we are pleased by the success of our Growth and Value Plan and the strong results of McGraw-Hill Financial businesses. Now while the Education company is facing some very tough current challenges in the US education sector, we feel very excited by the promise of digital learning and by our new digital products and services which are improving learning outcomes for students everywhere. This digital transformation is gaining momentum and we will talk about that in just a little bit.

首先我要說，我們對「成長與價值計畫」的成功，以及 McGraw-Hill Financial 各業務的強勁表現感到滿意。儘管 Education 公司正面臨美國教育產業當前一些非常嚴峻的挑戰，我們仍對數位學習的前景，以及我們新的數位產品與服務感到非常振奮，這些產品與服務正在改善各地學生的學習成果。這項數位轉型正在加速，我們稍後會再談。

During the third quarter the Company delivered a 2% increase in revenue. McGraw-Hill Financial, which realized a boost from the robust global issuance, delivered a 15% increase in revenue. Separately, McGraw-Hill Education delivered an 11% decrease in revenue as it managed the impact of the weakest level of state funding for K-12 textbooks in the past decade.

第三季公司營收成長2%。受惠於全球發行市場強勁帶動，McGraw-Hill Financial 營收成長15%。另一方面，McGraw-Hill Education 營收下滑11%，因其必須因應過去十年來K-12教科書州政府資金投入處於最低水準所帶來的影響。

Adjusted operating profit increased 3% and due to our aggressive share repurchase program we delivered 10% growth in adjusted diluted earnings per share. And Jack will provide a little bit of additional financial detail on that in just a moment. A little over a year ago we made a set of commitments in this Growth and Value Plan and I am proud of the substantial progress that our employees have made on each of these commitments. Let me take a moment and just walk through these different commitments and give you an update as to where we are.

調整後營業利益成長3%，且由於我們積極的庫藏股回購計畫，調整後稀釋每股盈餘成長10%。Jack 稍後會就此提供更多財務細節。一年多前，我們在「成長與價值計畫」中做出一系列承諾，我為員工在每一項承諾上所取得的重大進展感到自豪。我先花點時間逐一說明這些不同的承諾，並向各位更新我們目前的進度。

The first and most visible commitment is the separation of the Company into two industry-leading companies, McGraw-Hill Financial and McGraw-Hill Education, and we are on track to do so. Amendment number two to the Form 10 SEC registration statement for the potential spinoff of McGraw-Hill Education was filed with the Securities and Exchange Commission earlier this month, and we don't anticipate any substantial issues with that.

第一項也是最顯著的承諾，是將公司分拆為兩家各自領先產業的公司：McGraw-Hill Financial 與 McGraw-Hill Education；我們正按計畫推進。本月稍早，我們已向美國證券交易委員會提交與 McGraw-Hill Education 潛在分拆相關的 Form 10 註冊聲明第二號修正案，我們預期不會有任何重大問題。

In parallel with our efforts to spin off McGraw-Hill Education, we have undertaken a thorough evaluation process of numerous options, including the option to sell the business. This process is near its conclusion and we expect to reach a decision in the coming weeks. Critical to this decision is ensuring that we choose the option that maximizes shareholder value. Timing of the ultimate separation will be dictated by which option is chosen.

在推動分拆 McGraw-Hill Education 的同時，我們也對多種方案進行了全面評估，包括出售該業務的選項。此流程已接近尾聲，我們預期在未來幾週內做出決定。此決策的關鍵在於確保我們選擇能使股東價值最大化的方案。最終分拆的時點將取決於所選擇的方案。

We have also committed to more than $100 million in run rate cost reductions by the end of the year. We are on track for this and Jack will provide some color on this in just a moment. We committed to aggressively repurchasing shares and after completing the $1.5 billion share repurchase program earlier this year we re-entered the market in the third quarter and purchased an additional $295 million of McGraw-Hill stock.

我們也承諾在年底前達成超過1億美元的年度化（run rate）成本削減。我們正按計畫進行，Jack 稍後會補充說明。我們承諾積極回購股份；在今年稍早完成15億美元的股份回購計畫後，我們於第三季重新進場，額外回購了2.95億美元的麥格羅-希爾股票。

Lastly, we committed to investing for growth. Earlier this year we formed the S&P Dow Jones Indices joint venture. Importantly, this is the first quarter that we have managed and reported the combined results. With some of the most widely followed and trusted brands in the index space, we believe this joint venture will prove to be of great value, not only to our customers but also our shareholders.

最後，我們承諾投資以促進成長。今年稍早我們成立了 S&P Dow Jones Indices 合資企業。重要的是，這是我們首次管理並揭露合併後的季度業績。憑藉指數領域中一些最廣受關注且最受信賴的品牌，我們相信這家合資企業不僅將為客戶帶來巨大價值，也將為股東帶來巨大價值。

In addition, earlier this year the Company acquired R2 Financial Technologies, QuantHouse, Credit Market Analysis Limited, and Coalition Development Ltd., and most recently we announced the acquisition of Kingsman SA, which I will discuss in more detail in just a moment.

此外，今年稍早公司收購了 R2 Financial Technologies、QuantHouse、Credit Market Analysis Limited 與 Coalition Development Ltd.；而最近我們宣布收購 Kingsman SA，我稍後會更詳細說明。

So whether through the separation process, cost reductions, share repurchases, or investing in growth, McGraw-Hill is meeting its Growth and Value Plan commitments and is on target and on track to do so. With that let me now turn to the business results.

因此，無論是透過分拆流程、成本削減、股份回購或投資成長，麥格羅-希爾都正在履行其「成長與價值計畫」的承諾，並正朝目標前進、按計畫推進。接下來讓我轉到業務表現。

McGraw-Hill Financial, on a pro forma basis, delivered a 15% increase in revenue and a 21% increase in adjusted operating profit during the quarter. Of the 15% revenue growth, 11% was organic and 4% was from the transactions that I just mentioned.

McGraw-Hill Financial 以備考（pro forma）基礎計算，本季營收成長15%，調整後營業利益成長21%。在15%的營收成長中，11%來自內生成長，4%來自我剛才提到的交易。

While all three segments delivered revenue growth, it was Standard & Poor's ratings services and commodities and commercial markets that provided the most impressive adjusted operating profit growth of 28% and 29%, respectively, as well as improved adjusted operating margins.

雖然三個事業部門皆實現營收成長，但最亮眼的調整後營業利益成長來自標準普爾（Standard & Poor's）評等服務，以及大宗商品與商業市場，分別成長28%與29%，同時調整後營業利益率亦有所改善。

McGraw-Hill Financial delivered 40% of its revenue from outside the United States during the third quarter. Domestic revenue growth of 17% outpaced international growth of 12%, which was impacted by adverse foreign exchange rates.

McGraw-Hill Financial 在第三季有40%的營收來自美國以外地區。國內營收成長17%，高於國際營收成長12%；國際成長受到不利匯率影響。

Standard & Poor's ratings continues to be the segment with the largest international presence with 45% of its revenue coming from outside the United States. Standard & Poor's ratings also delivered the largest revenue increase within McGraw-Hill Financial and delivered its strongest quarterly revenue since the third quarter of 2007. Revenue for this segment grew 22% with a 33% increase in domestic revenue and a 12% increase in international revenue.

標準普爾評等仍是國際布局最廣的事業部門，其45%的營收來自美國以外地區。標準普爾評等亦在 McGraw-Hill Financial 內帶來最大的營收增幅，並創下自2007年第三季以來最強的單季營收表現。該部門營收成長22%，其中國內營收成長33%，國際營收成長12%。

The increase in international revenue occurred despite a 7% negative impact from foreign exchange rates. Adjusted segment operating profit increased 28% and the corresponding operating margin increased almost 200 basis points.

國際營收的增加是在匯率帶來7%負面影響的情況下達成。調整後部門營業利益成長28%，相應的營業利益率提升近200個基點。

Actions during the quarter by both the European Central Bank, the ECB, and the Federal Reserve resulted in increased global bond issuance, the ECB's pledge to intervene in the sovereign bond market, and the Federal Reserve's Quantitative Easing 3 program caused global spreads to contract and fuel to surge in September bond issuance. These actions helped to drive US speculative grade corporate bond issuance to a record $85.4 billion in the third quarter.

本季歐洲中央銀行（ECB）與聯邦準備理事會（Fed）的行動，帶動全球債券發行增加；ECB 承諾介入主權債券市場，以及 Fed 的第三輪量化寬鬆（QE3）計畫，使全球利差收斂，並推升9月債券發行量激增。這些行動協助推動美國投機級公司債第三季發行量創下854億美元的歷史新高。

Transaction revenue increased 64% to $215 million. Recall that while issuance in the first half of 2011 was quite robust, it tapered off considerably in the second half of 2011 creating less difficult year-over-year comparisons in the second half of 2012. Nevertheless, the key drivers to the increase in transaction revenue were, one, worldwide corporate issuance which increased 81% with a 72% increase in US corporate issuance and 126% increase in European corporate issuance; and secondly, the public finance issuance which increased 9% and contributed to the growth as well.

交易型營收成長64%，至2.15億美元。請回想，2011年上半年發行相當強勁，但2011年下半年明顯降溫，使得2012年下半年的年對年比較基期較不具挑戰。儘管如此，交易型營收增加的主要驅動因素為：第一，全球公司債發行量成長81%，其中美國公司債發行成長72%，歐洲公司債發行成長126%；第二，公共融資發行量成長9%，亦對成長有所貢獻。

Additionally, worldwide structured issuance was flat with a 65% increase in the United States structured finance issuance offset by a 33% decline in European structured finance issuance. The European weakness was driven by a 37% decline in European covered bond issuance as issuers funded through the European Central Bank long-term refinancing option.

此外，全球結構型產品發行量持平；美國結構型融資發行成長65%，抵銷了歐洲結構型融資發行下滑33%。歐洲疲弱主要因歐洲擔保債券（covered bond）發行下滑37%，因發行人透過歐洲央行的長期再融資操作（LTRO）取得資金。

Non-transaction revenue, which represented 57% of Standard & Poor's third-quarter revenue, increased 3%.

非交易型營收占標準普爾第三季營收的57%，成長3%。

Now in periods of robust debt issuance, investors are frequently concerned about issuance being pulled forward. This is always a difficult point to determine until after the fact. However, a study by Standard & Poor's Global Fixed Income Research to analyze corporate refunding needs over the next few years may be instructive.

在債務發行強勁的期間，投資人常擔心發行是否被提前（pulled forward）。在事後之前，這一點總是很難判定。不過，標準普爾全球固定收益研究（Global Fixed Income Research）針對未來幾年企業再融資需求所做的一項研究，或可提供參考。

The study concluded that approximately $8 trillion in rated corporate debt will mature from 2012 through the end of 2016. Let me repeat that, at approximately $8 trillion in rated corporate debt will mature from 2012 to year-end 2016.

該研究結論指出，2012年至2016年底期間，約有8兆美元的已評等公司債將到期。我再重申一次，2012年至2016年底，約有8兆美元的已評等公司債將到期。

Now, the nonfinancial sector accounts for about $3.3 trillion of the $8 trillion in maturing debt and financial companies, including banks and insurance companies, account for the remaining $4.8 trillion. Now this research clearly suggests that corporate debt needs will remain robust over the next several years.

其中，非金融部門約占這8兆美元到期債務中的3.3兆美元；金融公司（包括銀行與保險公司）占其餘的4.8兆美元。這項研究清楚顯示，未來幾年企業債務需求仍將維持強勁。

Our success on the litigation front has been encouraging. The trends that we have discussed in the past quarterly conference calls continue. To date 30 cases have been dismissed, nine dismissals by lower courts have been reaffirmed by higher courts, and 10 cases have been voluntarily withdrawn. Again, we have said that the legal risk is low and it is bearing that out.

我們在訴訟方面的進展令人鼓舞。我們在過去幾次季度電話會議中討論的趨勢仍在延續。截至目前，已有30起案件遭駁回；下級法院的9項駁回裁定已獲上級法院維持；另有10起案件已自願撤回。我們再次強調，法律風險偏低，而目前結果也印證了這一點。

While aiding and abetting and negligent misrepresentation claims have been dropped in the Abu Dhabi case, the trial over fraud claims is set to begin in May. And, again, we continue to believe that the legal risks of pending litigation remains very low.

在阿布達比案件中，協助與教唆（aiding and abetting）以及過失性不實陳述（negligent misrepresentation）的主張已被撤除，但針對詐欺主張的審理預計將於5月開始。同樣地，我們仍然認為，未決訴訟的法律風險依舊非常低。

All right, with that let me now turn to S&P Capital IQ and the S&P Dow Jones Indices. Again, this is the second-largest segment within McGraw-Hill Financial which delivered solid top-line results with revenue growth of 13%. 72% of revenue came from subscriptions, the same as a year ago. International revenue increased 10% to $117 million and that represents 30% of total segment revenue.

好的，接下來我轉到 S&P Capital IQ 與 S&P Dow Jones Indices。同樣地，這是 McGraw-Hill Financial 的第二大事業部門，營收成長13%，繳出穩健的營收（top-line）表現。營收中有72%來自訂閱制，與一年前相同。國際營收成長10%至1.17億美元，占該部門總營收的30%。

Adjusting operating profit increased 5% and there was a modest decline in the adjusted operating margin as the segment integrates and develops newly acquired technology and products into the S&P Capital IQ offerings. Looking at S&P Capital IQ alone, revenue increased 9% with organic revenue growth of 5%.

調整後營業利益成長5%；由於該部門正整合並開發新收購的技術與產品至 S&P Capital IQ 的產品組合中，調整後營業利益率小幅下滑。單看 S&P Capital IQ，營收成長9%，其中內生營收成長5%。

Two key products, S&P Capital IQ within desktop solutions and global data solutions within enterprise solutions, both delivered solid growth. S&P Capital IQ delivered double-digit client and subscriber growth which reached 4,400 clients and 55,000 subscriber in growth, respectively. These results are offset somewhat by revenue weakness from equity research.

兩項關鍵產品——桌面解決方案中的 S&P Capital IQ，以及企業解決方案中的全球資料解決方案——皆呈現穩健成長。S&P Capital IQ 的客戶數與訂閱戶數皆達到兩位數成長，分別達到4,400家客戶與55,000名訂閱戶。這些成果部分被股票研究（equity research）營收疲弱所抵銷。

One of the top priorities at S&P Capital IQ is the execution of product innovation and driving integration of the newly acquired assets. On the innovation front, we believe that we are amassing considerable technical capabilities and are working to translate these into competitive advantage. We are pleased to have been recognized for the first time on institutional investors annual 2012 Tech 50 list coming in in the 29th spot.

S&P Capital IQ 的首要任務之一，是落實產品創新並推動新收購資產的整合。在創新方面，我們相信我們正在累積相當可觀的技術能力，並致力於將其轉化為競爭優勢。我們很高興首次獲得《Institutional Investor》年度2012年 Tech 50 名單肯定，排名第29名。

In addition to integrating the technology, our strategy is to deploy an integrated sales effort that can assemble any combination of S&P Capital IQ products in a customized offering. In fact, in August we won our first combination sale with an offering that included S&P Capital IQ, Standard & Poor's ratings data via the express feed, and CMA credit default swaps.

除了整合技術之外，我們的策略是部署整合式銷售作業，能將任何組合的 S&P Capital IQ 產品組裝成客製化方案。事實上，8月我們贏得了第一筆組合式銷售，方案包含 S&P Capital IQ、透過 express feed 提供的標準普爾評等資料，以及 CMA 信用違約交換（CDS）。

The big news is that the S&P Dow Jones Indices joint venture is up and is running. What a fantastic opportunity we have with this amazing collection of world renowned brands. This business is all about building trusted and transparent brands, and we have some of the best.

重大消息是，S&P Dow Jones Indices 的合資企業已正式成立並開始運作。我們擁有這一組令人驚嘆、世界知名的品牌組合，這是一個絕佳機會。這項業務的核心在於建立值得信賴且透明的品牌，而我們擁有其中一些最頂尖的品牌。

Having a partner like the CME is also incredibly important. The relationships it maintains with exchanges around the world provides several of our businesses with important access.

擁有像 CME 這樣的合作夥伴也極其重要。其與全球各地交易所維持的關係，為我們的多項業務提供了重要的接觸管道。

This access has already been or has already enabled us a new opportunity with the BM&FBOVESPA in Brazil. The S&P 500 is being made available to them via a sublicense from the CME Group and the S&P Dow Jones Indices. The launch of a US dollar-denominated S&P 500 Index future settled in the Brazilian real is the first derivative of a US stock index to trade on the Brazilian exchange. The very first.

這項接觸管道已經、或說已經讓我們在巴西與 BM&FBOVESPA 開啟一個新的機會。S&P 500 將透過 CME Group 與 S&P Dow Jones Indices 的再授權（sublicense）提供給對方。推出以美元計價、以巴西雷亞爾結算的 S&P 500 指數期貨，將成為首個在巴西交易所交易的美國股票指數衍生品。第一個。

S&P indices reported revenue of $109 million in the third quarter and, excluding the addition of Dow Jones Indexes, revenue was $82 million and decreased 7%. Revenue from exchange-traded funds and mutual funds was very strong with double-digit increases year over year. Assets under management and exchange-traded funds linked to S&P Indices grew 40% year over year to $390 billion, and that includes the Dow Jones Indexes. Their assets under management reach $454 billion.

S&P 指數業務第三季營收為1.09億美元；若排除新增的 Dow Jones Indexes，營收為8,200萬美元，年減7%。來自交易所交易基金（ETF）與共同基金的營收非常強勁，年對年呈現兩位數成長。與 S&P 指數連結的資產管理規模（AUM）及 ETF 規模年對年成長40%至3,900億美元，其中包含 Dow Jones Indexes。其資產管理規模達到4,540億美元。

Revenue from derivatives declined due to incredibly difficult comparisons to the third quarter of 2011. This was driven by trading volume of exchange-traded derivatives that decreased 41% versus third quarter 2011.

衍生性商品收入下滑，主因是與2011年第三季相比的比較基期極為艱難。這主要是因為交易所交易衍生性商品的交易量較2011年第三季下降41%。

This chart should put the difficult comparison into perspective. In the third quarter of 2011 derivative volumes reached a five-year high as investors hedged their positions due to euro crisis concerns. Please note that with the formation of S&P Dow Jones Indices joint venture there is no longer, as a direct correlation between being the e-mini futures trading volumes and the S&P Indices revenues as in the past.

這張圖表應可讓各位更清楚理解這項艱難的比較基期。2011年第三季，因投資人因應歐元區危機疑慮而進行部位避險，衍生性商品交易量達到五年高點。請注意，隨著S&P Dow Jones Indices合資企業的成立，e-mini期貨交易量與S&P指數收入之間已不再像過去那樣具有直接相關性。

We now receive a percentage of profits from the CME equity complex rather than being paid on a per contract basis.

我們現在是從CME股票複合產品（equity complex）的利潤中取得一定比例，而非按每份合約收取費用。

Let me now turn to the Commodities & Commercial market segment which delivered a year-over-year adjusted operating profit gain that again led all segments. Revenue growth was 5% with international revenue up 15%.

接下來我談談大宗商品與商業（Commodities & Commercial）市場部門；該部門的調整後營業利益年增，再次領先所有部門。營收成長5%，其中國際營收成長15%。

The leverage of the business is very evident. This leverage, coupled with a $5 million decrease in expenses, resulted in an adjusted operating margin that increased more than 500 basis points to 28%.

該業務的營運槓桿效應非常明顯。這項槓桿效應，加上費用減少500萬美元，使調整後營業利益率提升超過500個基點至28%。

Within commodities, petroleum market subscriptions continue to be the primary growth driver. However, derivative trading and BENTEK Energy also delivered double-digit revenue growth. And Kingsman, which I mentioned earlier, Kingsman leverages Platts' presence in biofuel to make our first foray into the agricultural commodities. The acquisition, which closed yesterday, expands Platts' biofuels positioned by providing additional coverage, price assessments, and subscriber base for the biodiesel and ethanol markets.

在大宗商品方面，石油市場訂閱服務仍是主要成長動能。不過，衍生性商品交易與BENTEK Energy也帶來雙位數的營收成長。此外，我先前提到的Kingsman，係運用Platts在生質燃料領域的布局，讓我們首次跨入農產品大宗商品。該收購案於昨日完成交割，透過為生質柴油與乙醇市場提供更多報導覆蓋、價格評估與訂戶基礎，擴大Platts在生質燃料的布局。

In addition, agricultural is a natural extension from the biofuels market. It is large, it is sophisticated, it is a global commodity market like the others that Platts serves. Kingsman is a great first step into this marketplace. And Kingsman is not only a leader in biofuels, it is a leader in the sugar market, a key feedstock into the biofuels complex.

此外，農產品是從生質燃料市場自然延伸的領域。它規模龐大、成熟度高，且如同Platts所服務的其他市場一樣，是全球性的大宗商品市場。Kingsman是我們進入此市場的重要第一步。而且Kingsman不僅是生質燃料領域的領導者，也是糖市場的領導者；糖是生質燃料產業鏈中的關鍵原料。

Within Commercial revenue decreased 2%. J.D. Power's revenue growth was offset by modest declines in the remainder of the portfolio, but simply stated, J.D. Power is poised for its best year ever. This is driven in part by the continued expansion of China's domestic automotive industry, as well as J.D. Power's power information network, proprietary research, and automotive consulting.

在商業（Commercial）方面，營收下滑2%。J.D. Power的營收成長被投資組合其餘部分的小幅下滑所抵銷；但簡而言之，J.D. Power正邁向其史上最佳年度。這部分受惠於中國國內汽車產業持續擴張，以及J.D. Power的資訊網路、專有研究與汽車顧問服務。

As J.D. Power continues to pursue business beyond on the automotive industry, there is an interesting piece of new business with the National Football League that has contracted with J.D. Power to conduct their Voice of the Fan tracking.

隨著J.D. Power持續拓展汽車產業以外的業務，出現一項有趣的新業務：美國國家美式足球聯盟（NFL）已與J.D. Power簽約，委託其進行「粉絲之聲」（Voice of the Fan）追蹤調查。

With that let me move over to McGraw-Hill Education. McGraw-Hill Education in the third quarter reported an 11% decline in revenue to $836 million. Revenue decreased at the higher education, professional, and international group as well as the school education group.

接著我轉到McGraw-Hill Education。McGraw-Hill Education第三季營收下滑11%至8.36億美元。高等教育、專業與國際事業群，以及學校教育事業群的營收皆下滑。

While both groups are operating in very difficult economic environments, the reported revenues are also impacted by increased deferred revenues resulting from growth in subscription products. As the education business develops and sells more digital solutions, the traditional revenue model is changing and it is changing rapidly. Rather than booking revenue at the time of the sale, revenue is spread out and recognized over the life of the subscription.

雖然兩個事業群都處於非常艱困的經濟環境中，但已揭露的營收也受到遞延收入增加的影響，而遞延收入增加源自訂閱型產品的成長。隨著教育業務開發並銷售更多數位解決方案，傳統營收模式正在改變，而且改變速度很快。營收不再於銷售時點一次入帳，而是分攤並在訂閱期間內逐步認列。

Largely because of the dramatic increases in McGraw-Hill Education subscription businesses, its third-quarter deferred revenue balance increased 74% over the prior year. Excluding the impact of this increase in deferred revenue, the third-quarter revenue decline was only 7%. To combat the difficult business environment, McGraw-Hill Education reduced expenses 9% versus the third quarter of 2011 and continues to look for additional cost reduction opportunities.

主要因McGraw-Hill Education訂閱型業務大幅成長，其第三季遞延收入餘額較去年同期增加74%。若排除遞延收入增加的影響，第三季營收降幅僅為7%。為因應艱困的經營環境，McGraw-Hill Education相較2011年第三季將費用降低9%，並持續尋找進一步的成本降低機會。

The higher education, professional, and international group reported a 6% decrease in revenue. Excluding the impact of increased deferred revenue, the decline was 5%.

高等教育、專業與國際事業群營收下滑6%。若排除遞延收入增加的影響，降幅為5%。

With difficult economic conditions around the globe, the vast majority of the revenue decline in this group was in international with higher education revenue decreasing modestly. However, the continued migration to digital solution helps to mitigate these declines by offering growing revenue streams in all of its major markets.

在全球經濟情勢艱困之下，該事業群的營收下滑主要來自國際市場；高等教育營收僅小幅下降。不過，持續轉向數位解決方案，有助於透過在各主要市場提供成長中的營收來源來緩解這些下滑。

Student usage of our homework study solutions in the higher education market has grown by 67%, boosted by usage of LearnSmart, which grew 115% and now has more than 890,000 registered students. We recently launched a direct-to-consumer website which makes LearnSmart available for purchase by students even if their professors don't utilize it as part of their course. This is a divergence from the business-to-business model that typically has been deployed.

在高等教育市場，學生使用我們作業與學習解決方案的比例成長67%，其中LearnSmart的使用量成長115%，目前註冊學生已超過89萬人。我們近期推出直面消費者（direct-to-consumer）網站，即使教授未將LearnSmart納入課程，學生仍可自行購買使用。這與過去通常採用的企業對企業（business-to-business）模式有所不同。

The School Education Group reported a 16% decline in revenue from the prior year, and excluding the impact of increased deferred revenue, the decrease was 10%. K-12 revenue was down due to weak state funding with 2012 expected to be the lowest funding year in the last decade. According to the Association of American Publishers, the AAP, and their statistics, August year-to-date industry K-12 net sales were down 14%.

學校教育事業群營收較去年下滑16%；若排除遞延收入增加的影響，降幅為10%。K-12營收下滑主因州政府資金挹注疲弱，預期2012年將是過去十年資金挹注最低的一年。根據美國出版商協會（Association of American Publishers，AAP）的統計，截至8月的年初至今（YTD）產業K-12淨銷售額下滑14%。

McGraw-Hill Education captured a substantial share of the 2012's two largest state adoption opportunities and that is, of course, Florida's K-12 social studies and California's reading program, but could not overcome the overall decline in the rest of US state funding.

McGraw-Hill Education在2012年兩個最大的州採用（state adoption）機會中取得可觀市占，亦即佛羅里達州K-12社會科與加州閱讀課程，但仍無法抵銷美國其他州整體資金挹注下滑所帶來的影響。

As we look beyond the immediate challenge of state funding for K-12 education, it is important to remember that a strong and innovative education sector is critical for a healthy economy, whether in the United States or around the world, so these current issues should be kept in context. That is why McGraw-Hill Education, driven by new management, is focused on responding to the critical need for education by driving operational excellence, reimagining learning, and capturing the new growth opportunities.

當我們把視野放到K-12教育州政府資金挹注的短期挑戰之外，重要的是要記得：無論在美國或全球，強健且具創新的教育產業對健全的經濟至關重要，因此應在脈絡中看待當前問題。這也是為何在新管理團隊帶領下，McGraw-Hill Education聚焦於回應教育的迫切需求：推動營運卓越、重新想像學習方式，並掌握新的成長機會。

Indeed, we have made impressive progress over the last few years in developing digital learning products and we believe there is a long runway of opportunities, both in the developed and emerging countries. Our products are primed for the digital revolution in education. Virtually all of our content is available in digital form to enable personalized, adaptive learning solutions, and improved outcomes.

事實上，過去幾年我們在開發數位學習產品方面已取得令人印象深刻的進展，我們相信在已開發國家與新興國家都仍有很長的機會跑道。我們的產品已為教育領域的數位革命做好準備。幾乎所有內容皆已提供數位形式，以支援個人化、適性（adaptive）學習解決方案並改善學習成果。

The education market will continue to grow meaningfully as digital devices of all kinds are becoming more prevalent around the world. Our higher education business, the CTB testing business, and our professional and international businesses are all well-positioned to take advantage of this growth.

隨著各類數位裝置在全球日益普及，教育市場將持續顯著成長。我們的高等教育業務、CTB測驗業務，以及專業與國際業務，皆具備良好條件以掌握此成長。

In the K-12 market we are encouraged that the new Common Core state standards assessments begin in 2014. This should drive demand for both teaching materials and assessments as 46 states have formally adopted the standards of Common Core.

在K-12市場方面，我們對新的「共同核心州標準」（Common Core）州標準評量將於2014年開始感到振奮。由於已有46個州正式採用共同核心標準，這應可帶動教學教材與評量的需求。

There is also a greater demand by parents and educators for improved performance, which should bode well for our adaptive digital learning program that have demonstrated proven advancements in learning outcomes.

家長與教育工作者對提升學習表現的需求也更為強烈，這對我們已證明能改善學習成果的適性數位學習方案而言，應是正面因素。

One major element that is out of our control, but clearly impacts the US K-12 market, is home prices. We are encouraged by signs that US housing prices may have finally bottomed, which eventually lead to a recovery in state revenue from property taxes. Through August 2012 the S&P/Case Shiller Home Price Indices, the leading measure of US home prices, showed that the average home price increases for both the 10-city composite and the 20-city composite for the fourth consecutive month. And those were rising.

有一項我們無法控制、但明顯影響美國K-12市場的重要因素是房價。我們對跡象顯示美國房價可能終於觸底感到鼓舞，這最終將帶動州政府來自房產稅的稅收回升。截至2012年8月，作為衡量美國房價的主要指標之S&P/Case Shiller房價指數顯示，10大城市綜合指數與20大城市綜合指數的平均房價已連續第四個月上升。而且仍在上升。

As we approach the separation of the Education company, I want to sincerely thank all of the education employees for all of their extremely hard work and dedication. Helping to raise educational levels around the world is not only a noble calling, it is essential, and their hard work and dedication are to be commended. In the past year they have made very tough decisions on costs while building world-class products and services for future growth and success.

隨著我們逐步接近教育公司分拆，我想衷心感謝所有教育事業的員工所付出的極其辛勤努力與奉獻。協助提升全球教育水準不僅是一項崇高的使命，更是不可或缺；他們的辛勞與投入值得嘉許。在過去一年中，他們在打造世界級產品與服務、為未來成長與成功奠基的同時，也在成本方面做出了非常艱難的決策。

With the digital footprint that they have created and the superb new management in place under President Buzz Waterhouse, I feel truly excited about how the Education company is positioned as it becomes a stand-alone company.

憑藉他們所建立的數位足跡，以及在總裁 Buzz Waterhouse 領導下到位的卓越新管理團隊，我對教育公司在成為獨立公司後的定位感到由衷振奮。

In summary, McGraw-Hill Financial continues to deliver solid top- and bottom-line growth. The separation of McGraw-Hill Education is approaching and the business is becoming an attractive stand-alone company with highly talented employees, innovative and essential education products and services, and an appropriate cost structure. In summation, McGraw-Hill is delivering on its Growth and Value Plan commitments with the pending separation, exciting growth plans, multiple tuck-in acquisitions, sizable cost reductions, and aggressive share repurchase program.

總結而言，McGraw-Hill Financial 持續帶來穩健的營收與獲利成長。McGraw-Hill Education 的分拆即將到來，該業務正逐步成為一家具吸引力的獨立公司，擁有高度才華的員工、創新且不可或缺的教育產品與服務，以及適切的成本結構。再者，隨著分拆在即、令人振奮的成長計畫、多項補強型併購（tuck-in acquisitions）、可觀的成本削減，以及積極的庫藏股回購計畫，McGraw-Hill 正在履行其「成長與價值計畫」的承諾。

With that, that completes my comments on the third quarter. I will now ask Jack Callahan, our Chief Financial Officer, to update you on some of the key financial performance. Then I look forward to going in any direction that you would like to go. Jack?

以上即為我對第三季的評論。接下來我將請我們的財務長 Jack Callahan 向各位更新一些關鍵的財務表現。之後我也期待依各位希望的方向進一步討論。Jack？

Thank you, Terry. This morning I want to discuss several topics -- our consolidated results including cash flow; the financial impact of corporate development activities on the S&P Capital IQ Indices business; the progress of the Growth and Value Plan, including the primary drivers of cost reduction; and, lastly, our increased guidance and outlook for the balance of the year.

謝謝你，Terry。今天早上我想討論幾個主題——我們的合併業績（包括現金流）；企業發展活動對 S&P Capital IQ Indices 業務的財務影響；「成長與價值計畫」的進展（包括成本削減的主要驅動因素）；最後，是我們上調的指引以及今年剩餘期間的展望。

Let me begin by discussing our results, which, as Terry mentioned, were quite different across the Financial and Education businesses. In the quarter McGraw-Hill Financial delivered excellent growth with a 15% increase in revenue and a 21% increase in pro forma operating profit. This resulted in 170 basis point improvement in the pro forma operating margin of 36%. Overall, an excellent quarter across the MHF businesses.

我先從我們的業績談起；如 Terry 所提到的，金融與教育兩大業務的表現差異相當明顯。本季 McGraw-Hill Financial 表現出色，營收成長 15%，備考（pro forma）營業利益成長 21%。因此備考營業利益率提升 170 個基點至 36%。整體而言，MHF 各項業務都交出非常亮眼的一季。

On the other hand, McGraw-Hill Education revenue decreased 11% and adjusted segment operating profit decreased 15%. As Terry just discussed, the market has proven even more challenging than our original expectations. Obviously, now that the all-important third quarter is behind us, MHE will not deliver on our initial financial guidance for this year. We now expect MHE revenues to decline 7% to 8% and operating income to be $20 million to $25 million below a year ago.

另一方面，McGraw-Hill Education 的營收下滑 11%，調整後部門營業利益下滑 15%。如 Terry 剛才所說，市場情勢證明比我們原先預期更具挑戰。顯然，隨著至關重要的第三季已經結束，MHE 將無法達成我們今年最初的財務指引。我們目前預期 MHE 營收將下滑 7% 至 8%，營業利益將較去年減少 2,000 萬至 2,500 萬美元。

Taken together, total consolidated McGraw-Hill both revenue and expenses increased approximately 2%. This resulted in adjusted operating profit growth of 3%.

綜合來看，McGraw-Hill 合併口徑的營收與費用皆約增加 2%。因此調整後營業利益成長 3%。

Overall, we delivered double-digit earnings per share growth. However, there were substantive changes in below-the-line comparisons due to the formation of the new S&P Dow Jones Indices joint venture, impacting both the tax rate and the net income attributable to non-controlling interests. The reduction in the effective tax rate from the prior year was due primarily to the partnership structure of the joint venture with CME combined with a modest improvement in our overall rate.

整體而言，我們實現了每股盈餘的雙位數成長。然而，由於成立新的 S&P Dow Jones Indices 合資企業，稅率以及歸屬於非控制權益的淨利在損益表下方項目（below-the-line）的比較出現了實質變化。有效稅率較去年下降，主要是因與 CME 的合資企業採合夥（partnership）架構所致，並疊加我們整體稅率的小幅改善。

Net income attributable to non-controlling interest increased largely due to the new joint venture, which I will elaborate on in just a moment. The impact of the accelerated share repurchase program was evident again this quarter. Year over year we reduced shares outstanding by 19 million shares. This leveraged a 4% increase in adjusted net income to a 10% increase in adjusted diluted earnings, or $1.33 per share.

歸屬於非控制權益的淨利增加，主要也是因為新的合資企業；我稍後會進一步說明。加速股份回購計畫（accelerated share repurchase program）的影響在本季再次顯現。與去年同期相比，我們將流通在外股數減少了 1,900 萬股。這使得調整後淨利增加 4% 的同時，調整後稀釋每股盈餘增加 10%，達到每股 1.33 美元。

It should be noted that sequentially our fully diluted shares outstanding remained unchanged at 285 million shares as stock option exercise identity largely offset share repurchases of approximately $300 million during the quarter. Our share repurchase program is an important and ongoing part of the Growth and Value Plan. Since the beginning of 2011 through the third quarter of 2012 the Company has repurchased nearly 42 million shares at a weighted average price of $43.22. This reduced shares outstanding by approximately 14%. We anticipate spending approximately $200 million on share repurchases in the fourth quarter.

需要注意的是，按季比較，我們的完全稀釋流通在外股數維持不變，仍為 2.85 億股；因股票選擇權行使所增加的股數，基本上抵銷了本季約 3 億美元的股份回購。股份回購計畫是「成長與價值計畫」的重要且持續的組成部分。自 2011 年初至 2012 年第三季，公司已以加權平均價格 43.22 美元回購近 4,200 萬股。這使流通在外股數約減少 14%。我們預期第四季將投入約 2 億美元進行股份回購。

Now I would like to provide additional detail regarding the significant business development impact to the S&P Capital IQ and S&P Dow Jones Indices to help you better understand the results.

接下來，我想就 S&P Capital IQ 與 S&P Dow Jones Indices 受到重大業務發展事項影響的部分提供更多細節，以協助各位更好地理解本次結果。

First, within S&P Capital IQ we made several acquisitions during the year that added new capabilities. The additions of R2, QuantHouse, and CMA were all accretive to revenue growth; however, these acquisitions and the work that we are undertaking to integrate these acquisitions are somewhat dilutive to profits. We have absorbed these costs and the related non-cash amortization without any negative impact to guidance.

首先，在 S&P Capital IQ 方面，我們今年進行了數項收購，增添了新的能力。R2、QuantHouse 與 CMA 的加入都對營收成長具有增益（accretive）；然而，這些收購以及我們正在進行的整合作業，對獲利則有些許稀釋（dilutive）。我們已吸收這些成本及相關的非現金攤銷，且未對指引造成任何負面影響。

Secondly, the creation of S&P Dow Jones indices joint venture has important accounting implications for the Company. Since we own a majority of the joint venture, 73%, we record 100% of the revenue and expenses in the Company's income statement. During the third quarter this included $82 million in revenues from S&P Indices and $27 million from the Dow Jones Indexes.

其次，成立 S&P Dow Jones Indices 合資企業，對公司具有重要的會計處理意涵。由於我們持有合資企業多數股權（73%），因此在公司的損益表中認列 100% 的營收與費用。在第三季，這包括來自 S&P Indices 的 8,200 萬美元營收，以及來自 Dow Jones Indexes 的 2,700 萬美元。

Of course, the 27% of the net income representing our partner share is excluded from the bottom-line results. The increase in net income attributable to non-controlling interests effectively removes our partner's share of the profits from our income statement.

當然，代表合作夥伴持分的 27% 淨利不會納入我們的最終損益結果。歸屬於非控制權益的淨利增加，實質上是將合作夥伴應分得的利潤自我們的損益表中扣除。

During the third quarter our partner's share of the profits totaled $18 million. This $18 million is excluded from the Company's taxes and I will address the impact on our reported effective tax rate in more detail in just a moment.

第三季我們合作夥伴應分得的利潤合計為 1,800 萬美元。這 1,800 萬美元不計入公司的稅負計算；我稍後將更詳細說明其對我們揭露之有效稅率的影響。

Taken together these acquisitions and the formation of the joint venture had a significant impact on the segment's revenue growth. Organic growth was 3%, in part due to difficult year-on-year comparisons in the index business. The joint venture and the three acquisitions increased revenue growth to 13% with approximately 75% of the incremental revenue from the joint venture and 25% from the three acquisitions.

綜合而言，這些收購以及合資企業的成立，對該部門的營收成長帶來了顯著影響。有機成長為 3%，部分原因是指數業務在與去年同期比較時基期較為艱難。合資企業與三項收購將營收成長提升至 13%，其中約 75% 的增量營收來自合資企業，約 25% 來自三項收購。

As I mentioned earlier, the joint venture has had an impact on the Company's effective tax rate that merits further explanation. For tax purposes, the joint venture is treated as a partnership.

如我先前提到的，合資企業對公司的有效稅率造成影響，值得進一步說明。就稅務目的而言，該合資企業被視為合夥（partnership）。

The first column of this chart presents pretax income, the provision for taxes, and the after-tax income, which implies a reported effective tax rate of 33.7% for the third quarter. The middle column shows the partner's share of the joint venture income. Note the Company does not make a provision for taxes for the partner's income.

此圖表的第一欄呈現稅前所得、所得稅費用，以及稅後所得；由此推得第三季揭露的有效稅率為 33.7%。中間一欄顯示合作夥伴應分得的合資企業所得。請注意，公司不會就合作夥伴的所得提列所得稅費用。

The last column shows the tax provision for taxes in the third quarter at a 34.6% rate, about 1 point higher than the reported effective tax rate. On a year-to-date basis we recorded a 35.6% provision for taxes and the reported effective tax rate is 35%. Full-year 2012 results should be generally in line with the year-to-date performance.

最後一欄顯示第三季的所得稅費用按 34.6% 稅率計算，約比揭露的有效稅率高 1 個百分點。以年初至今計算，我們記錄的所得稅費用率為 35.6%，而揭露的有效稅率為 35%。2012 全年結果整體上應與年初至今的表現大致一致。

Turning to the balance sheet and cash flow, we continue to have a very strong balance sheet with approximately $1.2 billion in cash and short-term investments at quarter end. Year over year our free cash flow is down approximately $200 million, due largely to the one-time cash outlays related to the Growth and Value Plan expenses and the timing of quarterly cash tax payments. On a full-year basis we expect to deliver approximately $750 million in free cash flow, excluding cash outlays associated with the Growth and Value Plan.

談到資產負債表與現金流，我們在本季季末仍維持非常強勁的資產負債表，現金及短期投資約為12億美元。與去年同期相比，我們的自由現金流約減少2億美元，主要是因與「成長與價值計畫」費用相關的一次性現金支出，以及季度現金稅款支付時點所致。以全年來看，我們預期可實現約7.5億美元的自由現金流，不包含與「成長與價值計畫」相關的現金支出。

One additional point on our balance sheet. This month about one-third of our debt is coming due. As a result, over the near term it is likely that we will access the commercial paper market as the repayment of the $400 million of debt and the funding of our fourth quarter share repurchase program require domestic cash availability. We will reevaluate further actions related to the balance sheet once the choice of sale versus spin options for McGraw-Hill Education are clear.

關於我們的資產負債表，還有一點補充。本月約有三分之一的債務到期。因此，在短期內，我們很可能會進入商業本票市場，因為償還4億美元債務以及為第四季股票回購計畫提供資金，都需要可動用的國內現金。一旦麥格勞-希爾教育（McGraw-Hill Education）採取出售或分拆的選項更為明確，我們將重新評估與資產負債表相關的後續行動。

Now let me provide some additional details related to the solid progress we are making in the execution of the Growth and Value Plan.

現在我再補充一些細節，說明我們在執行「成長與價值計畫」方面所取得的扎實進展。

First, all separation activities are either well underway or complete. Secondly, we continue to make progress on our target of at least $100 million in run rate cost savings by the end of 2012.

第一，所有分拆相關活動不是已順利展開，就是已完成。第二，我們持續朝著在2012年底前達成至少1億美元年化成本節省的目標推進。

Let me provide some color on the four major initiatives that drive the cost reduction program. The first was the McGraw-Hill Education cost structure reductions that began in the fourth quarter of 2011 and continue into this quarter. Over 10% of the education workforce has been reduced to resize the cost structure to market demand and to support the necessary technology investments to advance McGraw-Hill Education's digital offerings.

我再補充一些背景，說明推動成本削減計畫的四項主要措施。第一項是麥格勞-希爾教育的成本結構縮減，該措施自2011年第四季開始並延續至本季。教育事業群的人力已縮減超過10%，以使成本結構與市場需求相匹配，並支持必要的科技投資，以推進麥格勞-希爾教育的數位產品。

The second was the realignment of our core benefit programs, including the pension and healthcare plans. The benefit plans across McGraw-Hill Financial and McGraw-Hill Education need to be increasingly tailored to their respective competitive environment.

第二項是重新調整我們的核心福利方案，包括退休金與醫療保健計畫。麥格勞-希爾金融（McGraw-Hill Financial）與麥格勞-希爾教育的福利計畫，需要更貼近各自的競爭環境來量身打造。

The third was the partnering relationships to transition various accounting, information technology, and human resource activities to world-class partners, including Genpak, Atos, and Workday that specialize in these operations. The transition of these activities is well underway and the associated one-time transition costs stepped up in the third quarter.

第三項是透過合作夥伴關係，將各項會計、資訊科技與人力資源活動移轉給世界級合作夥伴，包括專精於這些營運的Genpak、Atos與Workday。這些活動的移轉已順利進行中，而相關的一次性移轉成本在第三季有所增加。

Lastly, we are targeting selected restructuring activities across McGraw-Hill Financial operations to streamline operations consistent with being a more focused operating company. All-in-all significant progress has been made already and we fully expect to reduce at least $100 million in costs on a run rate basis by the end of the year.

最後，我們也在麥格勞-希爾金融的營運中鎖定部分重整活動，以精簡作業，符合成為更聚焦的營運公司之定位。總體而言，我們已取得顯著進展，並完全預期在年底前以年化基礎至少降低1億美元成本。

During the third quarter we incurred $99 million of one-time Growth and Value Plan expenses. Largely related to professional fees and restructuring, these one-time expenses will continue into the fourth quarter.

第三季我們認列了9,900萬美元的一次性「成長與價值計畫」費用。這些一次性費用主要與專業服務費及重整相關，並將延續至第四季。

In closing, 2012 is turning out to be a remarkable year for McGraw-Hill. We are exceeding EPS expectations despite a challenging year for McGraw-Hill Education and have increased our earnings per share guidance to a range of $3.35 to $3.40. McGraw-Hill Financial is delivering great performance and we have expanded the McGraw-Hill Financial portfolio with tuck-in acquisitions and selective partnerships like CME.

最後總結，2012年對麥格勞-希爾而言正成為非凡的一年。儘管麥格勞-希爾教育面臨充滿挑戰的一年，我們仍超越每股盈餘（EPS）預期，並將每股盈餘指引上調至3.35至3.40美元區間。麥格勞-希爾金融表現亮眼，我們也透過補強型收購（tuck-in acquisitions）及如CME等選擇性合作夥伴關係，擴充了麥格勞-希爾金融的產品組合。

We are positioned to make a decision on sale versus spin for McGraw-Hill Education in the coming weeks and we are focused on making the right choice for both the business and our shareholders. And through countless efforts around the world the work is on track to separate two leading companies. We have been able to accomplish all of this while delivering cost reductions of at least [$100] million.

未來幾週內，我們將就麥格勞-希爾教育採取出售或分拆作出決定；我們專注於為事業與股東做出正確選擇。同時，透過全球各地無數的努力，分拆兩家領先公司的工作正按計畫推進。我們在完成上述所有事項的同時，也實現了至少[$100]百萬美元的成本削減。

Now we are focused on a solid finish to 2012 and on finalizing the separation and standup of these two terrific, industry-leading businesses. Thank you for joining us today and your interest in McGraw-Hill.

現在我們專注於在2012年強勁收官，並完成分拆與這兩家卓越、產業領先企業的建置。感謝各位今天參與，以及對麥格勞-希爾的關注。

Now let me turn the call back over to Chip Merritt to moderate the Q&A session. Chip?

現在我把電話交回給Chip Merritt，由他主持問答環節。Chip？

Thank you, Jack. Just a couple of instructions for our phone participants. (Operator Instructions)

謝謝你，Jack。給電話與會者幾點說明。（接線員指示）

Now, operator, we will take our first question.

現在，接線員，我們將進行第一個提問。

William Bird, Lazard.

William Bird，Lazard。

Good morning. Two questions. One, what is the drop-dead deadline for a decision on sale or spin of Education? And then, second, can you talk a bit about what is happening in the index business? I know the comp was really tough, but with assets under management up 40% and revenues down 7% I was just wondering if you could elaborate on what is driving that and maybe just kind of the context around some of the issues at MSCI. Thank you.

早安。兩個問題。第一，對於教育事業的出售或分拆決策，最晚期限（drop-dead deadline）是什麼時候？第二，能否談談指數業務目前的情況？我知道比較基期非常嚴峻，但在資產管理規模（AUM）成長40%、營收卻下滑7%的情況下，我想請你進一步說明背後的驅動因素，以及與MSCI一些議題相關的背景脈絡。謝謝。

Good morning, Bill. Look, as far as the separation process, we have been getting out an awful lot of information throughout the year as to where we are. We have literally worked tirelessly to look at all options in all of this and we are coming to the conclusion, just like we said we would.

早安，Bill。關於分拆流程，我們今年以來已發布大量資訊，說明目前進度。我們確實不知疲倦地檢視所有選項，並正如我們所說，正在得出結論。

And so, literally, I think it would be inappropriate on my part to derail any element of the process at this point. But I will say that in the coming weeks, and hopefully sooner, we will have an announcement to make to you.

因此，坦白說，在此時此刻由我來干擾流程中的任何一個環節，我認為並不恰當。但我可以說，在接下來幾週內，且希望更快，我們會有一項公告要向各位發布。

Thank you. And then on the index business?

謝謝。那關於指數業務呢？

We are so excited about this, because we wondered very hard whether or not we could actually pull this off on this one. But to put the S&P Indices, which are largely institutional indices, together with Dow Jones Indices, which are largely retail, is just a fabulous combination.

我們對此非常興奮，因為我們曾非常認真地思考，這件事是否真的能做成。但把以機構型指數為主的S&P Indices，與以零售為主的道瓊指數（Dow Jones Indices）結合在一起，真的是極佳的組合。

As we see more and more index behavior and the growth in exchange-traded funds, both in the United States and around the world, it gives us huge opportunities as a platform to expand. I gave one example of the Brazilian component, but I can tell you the growth of S&P Dow Jones Indices is just going to be phenomenal. It is a wonderful platform, and we are going to be able to do a lot of other things to add to this platform to grow it even faster.

隨著我們看到越來越多的指數化行為，以及美國與全球交易所交易基金（ETF）的成長，這為我們提供了巨大的平台擴張機會。我舉了巴西組成的例子，但我可以告訴你，S&P道瓊指數（S&P Dow Jones Indices）的成長將會非常驚人。這是一個很棒的平台，我們也將能做很多其他事情來充實這個平台，讓它成長得更快。

So we are very excited about the combination, that it is underway, and that the growth prospects are so high.

因此，我們對這項組合、其正在推進的進度，以及高度的成長前景，都感到非常振奮。

Then, Bill, the one thing I would also add, and it is really a third-quarter issue, largely for the base S&P and (inaudible) businesses, the comp versus year ago is really difficult, largely driven because of the extensive activity in exchange-traded derivatives from a year ago. I think Terry had a chart on that during his comments. That overlap is less onerous as we get into the fourth quarter, so I think -- we think that is an easier overlap for us to manage as we head into the balance of the year.

另外，Bill，我還想補充一點：這主要是第三季的議題，主要影響基礎的S&P與（聽不清）業務；相較去年同期的比較確實非常困難，主要是因為去年同期交易所交易衍生品活動非常活躍所致。我想Terry在他的評論中有一張圖表提到這點。進入第四季後，這種比較壓力會減輕，因此我們認為在今年剩餘期間，這會是較容易管理的比較基期。

Thanks. So just to be clear, there has been a lot written about just the fee war going on in the ETF industry. Just wanted to get a sense of what you are seeing on pricing.

謝謝。所以確認一下，市場上對ETF產業正在進行的費用戰有很多報導。我想了解你們在定價方面看到的情況。

At this point, and I don't want to comment on MSCI, that is their's to do, but we are not seeing that kind of pressure at this point. So from our standpoint we are not overly concerned by that.

就目前而言，而且我不想評論MSCI，那是他們自己的事，但我們目前沒有看到那種壓力。因此，從我們的角度來看，我們並不會對此過度擔憂。

Thank you, guys.

謝謝各位。

And again, Bill, again the quality of brands and the recognition of those trusted brands is really, really important on that one. Again, when you have markets that have a lot of uncertainty built into it those trusted brands take on a lot more import.

再一次，Bill，再次強調，品牌的品質以及這些受信賴品牌的辨識度在這方面真的、真的很重要。同樣地，當市場內含很多不確定性時，這些受信賴的品牌就會變得更加重要。

Great, thank you.

很好，謝謝。

Thanks, Bill.

謝謝你，Bill。

Manav Patnaik, Barclays.

Manav Patnaik，Barclays。

Good morning, gentlemen. First quick question on Platts. I guess what was the acquisition contribution for the Platts' line item from BENTEK to your business? Also, just maybe a little more color there.

各位先生早安。第一個快問是關於 Platts。我想請問，從 BENTEK 併購而來的 Platts 這個項目，對你們業務的併購貢獻是多少？另外，也請再多補充一些細節。

I guess it was a little tougher comp, but it seemed like the growth decelerated a bit from the 20% in the first half of the year.

我想可能是比較基期較難，但看起來成長似乎較上半年 20% 的水準稍微放緩了一些。

No, actually the Platts business has been strong all year and the Kingsman acquisition, I think you were referring to, gives us strength in terms of a brand-new sector. Expanding into the agricultural markets, not only from biofuels but also in terms of expanding into the commodity platform. But from our standpoint Platts has exceeded its plans and is doing extremely well, and we expect that to hold up.

不，其實 Platts 業務今年一整年都很強勁，而我想你指的是 Kingsman 的併購，這讓我們在一個全新的產業領域上更具優勢。擴展到農業市場，不僅是生質燃料，也包括在商品平台上的擴張。但就我們的角度而言，Platts 的表現超出原先計畫、做得非常好，我們預期這樣的表現會持續。

And the fact that the acquisition impact -- just keep in mind the BENTEK deal closed early in 2011 and the SBB deal closed early in the third quarter of last year. So essentially at third quarter it is really apples to apples. It is year-on-year comparisons now have the acquisition in it and the only new piece is the Kingsman acquisition. But obviously that just closed yesterday so that is more of a fourth-quarter impact.

至於併購影響——請記得 BENTEK 交易在 2011 年初完成，而 SBB 交易在去年第三季初完成。所以基本上到了第三季就真的是同口徑比較（apples to apples）。也就是說，現在的年對年比較已經包含了併購因素，唯一新增的部分是 Kingsman 併購。但很明顯那是昨天才完成，所以影響會更多反映在第四季。

I can tell you, at least within BENTEK, we are seeing double-digit growth for that enterprise and we are quite excited about what that is adding to the portfolio.

我可以告訴你，至少在 BENTEK 內部，我們看到該事業有雙位數成長，我們也非常期待它為整體組合帶來的增益。

All right. Then one more question, I guess on the ratings side. Did the trial date, I guess the Abu Dhabi trial, get pushed to May? I guess I thought it was initially Feb.

好的。那再一個問題，我想是關於評級（ratings）這邊。審理日期——我想是阿布達比的審理——是不是延到 5 月了？我記得一開始是 2 月。

Then just around the trial front can you give us an update on how the Australian trial went or what the pending status there is?

另外在訴訟方面，你們能否更新一下澳洲那個案子的進展，或目前待決狀態如何？

First of all, in terms of Abu Dhabi we are actually quite pleased with the situation as it is unfolding. We have eliminated several components. It is scheduled for trial in May of next year and we will see how that goes, but we are not concerned at all.

首先，就阿布達比而言，我們其實對目前事態的發展相當滿意。我們已經排除了其中幾個部分。預計在明年 5 月開庭審理，我們會看後續發展，但我們完全不擔心。

As far as the Australian CPDO situation, we are waiting to hear the result on that. From our standpoint, again, we feel very -- we feel like we are in a very good position. But we should get a result any day on that and we will be reporting that as others will as well.

至於澳洲的 CPDO 案件，我們正在等待結果。就我們的立場而言，同樣地，我們覺得——我們覺得自己處於非常有利的位置。但我們應該隨時都會收到結果，屆時我們會對外說明，其他人也會一樣。

But, again, the overall legal situation, Manav, has been one of -- you have got so much weight in these things. As you know, in the United States we do everything at the federal court level and, literally, because of all the litigation out there -- not just ours, I mean all of the litigation out there -- it takes two, two-and-a-half years to get before a federal judge. And so you have to wait.

不過，Manav，整體法律情勢一直是——這些事情牽涉的分量很重。如你所知，在美國我們所有案件都在聯邦法院層級處理，而實際上，因為外面有大量訴訟——不只是我們的，我是說所有的訴訟——要排到聯邦法官面前通常要兩年到兩年半。所以你只能等待。

One of the things that we have said and we are encouraged by the results is that in many cases once it gets before a judge it is the same day that these cases get dismissed on all that.

我們一直在說、也對結果感到鼓舞的一點是：很多情況下，一旦案件到了法官面前，往往當天就會被駁回。

So we think that we are in a very good position. We are obviously well-advised and it is a wait-and-see game. But to date, with the 30 cases that have been dismissed, the number of cases that have been reaffirmed to be dismissed at the higher court level over a lower court decision, all those kind of things, you have to be focused on all of these kind of things. But we think the risk here in terms of legal aspects are low.

所以我們認為我們處於非常有利的位置。我們當然有很好的法律顧問，這就是一個觀望等待的過程。但截至目前，在已被駁回的 30 件案件中，以及在上級法院層級維持駁回（相對於下級法院裁定）的案件數量等各種情況，你必須把這些因素都納入考量。但我們認為在法律層面的風險很低。

All right, thanks, guys. I will get back in the queue.

好的，謝謝各位。我回到排隊等候。

Thanks, Manav.

謝謝你，Manav。

Peter Appert, Piper Jaffray.

Peter Appert，Piper Jaffray。

Hi, this is George Tong for Peter Appert. Cost growth continued to slow in the Commodities & Commercial segment in the third quarter, which helped to generate some pretty good margins. Should that pattern replay, you think, in the fourth quarter and heading into 2013?

你好，我是 George Tong，代 Peter Appert 提問。第三季在「大宗商品與商業（Commodities & Commercial）」部門，成本成長持續放緩，這有助於帶來相當不錯的利潤率。你們認為這種趨勢在第四季以及進入 2013 年會重演嗎？

Well, George, again, I don't want to speculate here but I have to tell you that given the strength of the digital offering and the subscription growth, our hope is that continued emphasis on the cost reduction part is doable. But I would just say at this point that we are very pleased with the results for year-to-date and for the third quarter and you have my assurances that every focus is on continuing to find ways to reduce those costs.

嗯，George，再次強調，我不想在這裡做推測，但我必須說，考量到數位產品的強勁表現以及訂閱成長，我們希望持續強調成本降低這一塊是可行的。但我只能說，就目前而言，我們對年初至今以及第三季的結果非常滿意，我也可以向你保證，我們的所有重點都放在持續尋找降低成本的方法。

But we are very excited about the revenue growth here; it is a good picture and it is getting better.

不過我們對營收成長非常振奮；整體態勢很好，而且正在變得更好。

As you saw last quarter, we had some pretty good margins in this segment and I think we will be around sort of this mid to high 20%s range going forward. Nice margins in Platts and we have, as Terry mentioned, a great year for J.D. Power and a stabilizing across the balance of the Commercial platform. So we should be in this range for the fourth quarter.

如你上季所見，這個部門的利潤率相當不錯，我認為未來大致會維持在 20% 中段到高段的區間。Platts 的利潤率很漂亮；另外如 Terry 提到的，J.D. Power 今年表現非常好，而商業平台其餘部分也在趨於穩定。所以第四季我們應該會落在這個區間。

And by the way, George, having just come back from Beijing on a quick trip, J.D. Power's business ought to do really well. I've never seen so many cards in my entire life and traffic jams to go with them.

順帶一提，George，我剛從北京短暫出差回來，J.D. Power 的業務應該會做得非常好。我這輩子從沒看過這麼多車，還有與之相伴的塞車。

That is very helpful. Could you give us some -- sort of switching gears a bit, could you give us some additional detail on your outlook for the education business and when you might expect an inflection point in spending and budgets to occur?

這很有幫助。能否再提供一些——稍微換個話題——能否再多談一些你們對教育業務的展望，以及你們預期支出與預算何時可能出現轉折點（inflection point）？

Wow, I wish I could do so with some accuracy here. Look, the Education business, whether we are talking higher ed, whether we are talking professional, international, or the all-important K-12, these are essential businesses. I mean you are talking about educating your future workforce.

哇，我希望我能在這裡更精準地回答。你看，教育業務，不論是高等教育、不論是專業教育、國際教育，或是至關重要的 K-12，這些都是不可或缺的業務。我的意思是，你談的是在教育未來的勞動力。

The unfortunate part, we have seen in the United States a significant deterioration in educational funding which has very dire consequences for student achievement and all of those kind of things. We have got to get back onto that track.

不幸的是，我們在美國看到教育經費出現顯著惡化，這對學生成就以及各種相關面向都會造成非常嚴重的後果。我們必須回到正軌。

Now if everything is essentially based off property tax structures at local and state municipalities and all that and you put the longest housing recession that we have ever seen together with that you have got a very bad combination. Plus the fact that you have so many states that are in deficit. Those aren't excuses, those are realities and everything.

如果一切基本上都建立在地方與州政府的房產稅結構之上，而你又遇上我們所見過最長的房市衰退，兩者加在一起就是非常糟糕的組合。再加上有這麼多州處於赤字狀態。這些不是藉口，而是現實。

So, one, on improving housing market, getting states out of deficit positions, and getting growth again is going to help this situation. But literally -- and this won't last; it can't. But this is the worst K-12 environment in a decade and I think it should be, obviously, an outrage to everyone, but it won't last.

因此，第一，房市改善、各州脫離赤字狀態、以及經濟重新成長，都會有助於改善這個情況。但坦白說——而且這不會持續；也不可能持續。但這是十年來最糟的 K-12 環境，我認為這顯然應該讓所有人都感到憤慨，但它不會一直這樣。

Second part is, coupled with that environment, the positive here is the speed of the digital transformation part. We are seeing increased activity across the board here. We have been -- whether we are working with certain manufactured device manufacturers or whether we are working with partners in terms of developing digital solutions, we have been working aggressively on this for some time and the receptivity of it is just moving at a very fast pace now.

第二部分是，在那樣的環境之下，正面的地方在於數位轉型的速度。我們看到各方面的活動都在增加。無論是與某些製造設備的製造商合作，或是與合作夥伴一起開發數位解決方案，我們在這方面已積極推動一段時間，而目前市場的接受度正以非常快的速度提升。

And so that is very encouraging. That has got serious implications for cost reduction, but also very, very strong positives for revenue growth on that part. But it is an essential business, it is our future workforce, and the education agenda should be a priority for any country.

因此這非常令人鼓舞。這對成本降低有重大意涵，同時在該部分的營收成長上也有非常、非常強的正面效益。但這是一項關鍵業務，關乎我們未來的勞動力，而教育議程應該是任何國家的優先事項。

Great, thanks very much.

很好，非常感謝。

Craig Huber, Huber Research Partners.

Craig Huber，Huber Research Partners。

Good morning, thanks for taking my question. Got a few questions.

早安，謝謝讓我提問。我有幾個問題。

Terry, first, on the cost-cutting front you have talked about this $100 million annualized goal you are looking to get to by the end of this year. I am just curious why is the number at the end of the day not going to potentially be two to three times that.

Terry，首先在削減成本方面，你談到今年年底前要達成每年年化1億美元的目標。我只是好奇，為什麼最終這個數字不可能是它的兩到三倍。

I asked that in the context last year, as you know, I think you had $4.8 billion of cost to your company. Why only $100 million? My first question, please.

我是在這樣的背景下問：如你所知，去年我認為你們公司的成本是48億美元。為什麼只有1億美元？這是我的第一個問題，謝謝。

This is Jack. Craig, what is unique about this situation is we are talking about cost reduction in the context of separation. I think there is very few companies that have ever talked about both those things at the same time.

我是Jack。Craig，這個情況的獨特之處在於，我們是在分拆的脈絡下談成本降低。我想很少有公司曾同時談這兩件事。

We are trying to put an end date on this cost program because once we get into the early part of next year these are two separate entities. Then it will be my accountability to come back and talk about what the cost outlook is for McGraw-Hill Financial and it will be Pat Milano's to do the same for McGraw-Hill Education.

我們試著為這個成本計畫設定一個結束日期，因為一旦進入明年年初，這就會是兩個獨立的實體。接著，我就有責任回來說明McGraw-Hill Financial的成本展望，而Pat Milano也會對McGraw-Hill Education做同樣的說明。

And I think it has kind of given separation right ahead of us now. It is premature to kind of go past that, but we certainly acknowledge that there is opportunity here. I think some of the foundational things we have done this year give us opportunities to kind of extend some of the cost programs once we move into two separate entities. So more to come.

而且我認為，分拆就在眼前。在此之前就把目標往後延伸有點言之過早，但我們當然承認這裡有機會。我想我們今年做的一些基礎性工作，讓我們在成為兩個獨立實體之後，有機會延伸某些成本計畫。後續還會有更多資訊。

And, Craig, I just echo that. Again, the most important thing in terms of separation is making sure that we have got the right options and we are on track and on target and all of those kind of things. At the same time, as you start to decouple the shared services and all the other kind of capabilities to that there is lots of opportunities here in all of that.

Craig，我也呼應一下。再次強調，就分拆而言最重要的是確保我們有正確的選項，並且進度如期、目標到位，以及所有這類事項。同時，當你開始把共享服務與其他各種能力拆分開來時，這裡面確實有很多機會。

But I think to do, as Jack said, the separation correctly and to put out a $100 million number is very responsible. But we think that there is a lot more opportunity and we look forward to, once separation is completed, to coming back with you with another number.

但我認為，如Jack所說，把分拆做對，並提出1億美元這個數字，是非常負責任的作法。不過我們認為還有更多機會，也期待在分拆完成後，帶著另一個數字再回來與你們溝通。

Okay. And my second question, please. As you think about the backlogs in your ratings business for the next two to three months, what are they looking like right now and how much risk do you think there is just given the federal debt ceiling has to get raised. We all know how that went a year-and-half ago -- terrible.

好的。那我的第二個問題。當你們思考未來兩到三個月評級業務的在手訂單（backlog）時，目前看起來如何？以及考量到聯邦債務上限必須上調，你認為風險有多大？我們都知道一年半前那次的情況——很糟。

(multiple speakers) I'm sorry, secondly, also with the fiscal cliff issue generally. First of all, is that going to put issuers on hold here for a while? What do you think there, please?

（多位講者）抱歉，另外還有一般性的「財政懸崖」議題。首先，這會不會讓發行人暫緩一段時間？你怎麼看？謝謝。

Okay, well, look, first of all, not to talk about just the fourth quarter, to talk about the next three, five, 10 years. The capital demand needs are huge. If you talk about infrastructure financing alone, between now and 2030 you are talking some $70 trillion. You are talking about $1 trillion of infrastructure financing in India alone over the next five years.

好的，嗯，首先，我們不只談第四季，而是談接下來三年、五年、十年。資本需求非常龐大。如果只談基礎建設融資，從現在到2030年，規模大約是70兆美元。光是印度未來五年就有1兆美元的基礎建設融資需求。

The study that I gave you was on just refunding between now and 2016 of $8 trillion. So the demand here is absolutely huge on that part.

我給你的那份研究只談到現在到2016年之間的再融資（refunding），規模就有8兆美元。所以這部分的需求絕對非常龐大。

Any given time you are going to have some slowness or some pickup or whatever, but the overall demand for capital is only going to go up and banks are not going to be able to satisfy all that kind of demand. In fact, the reason that the capital markets, and fixed income markets in particular, are doing so well is because now the banks in many ways are stalled. The largest portion of the capital demand has got to come from the capital markets on that one. So from a backlog standpoint we are doing really well.

任何時點都可能出現一些放緩或回升之類的情況，但整體資本需求只會增加，而銀行無法滿足所有這類需求。事實上，資本市場——尤其是固定收益市場——之所以表現這麼好，是因為銀行在許多方面現在都停滯不前。最大的那部分資本需求必須來自資本市場。因此就在手訂單而言，我們表現得非常好。

Now the second part to that question is, look, obviously the European Central Bank made a decision that they were going to intervene in the sovereign bond markets and provide a level of support. That obviously created some activity.

至於問題的第二部分，顯然歐洲央行決定介入主權債券市場並提供一定程度的支持。那當然帶來了一些活動。

When Ben Bernanke came out with the QE3, the real question was is there going to be a QE4. I don't know in all of that. But both of those caused global spreads to contract and obviously fueled a surge in September bond issuance.

當Ben Bernanke推出QE3時，真正的問題是會不會有QE4。這點我也不確定。但這兩件事都使全球利差收斂，並且顯然推動了9月債券發行量的激增。

So then I get questions like, okay, well, is that just bringing monies forward that were in the fourth quarter or the first quarter for next year? How do I know in all of that? We will just have to wait and see what the facts are.

所以接著我會被問到：好吧，那是不是只是把原本在第四季或明年第一季的資金需求提前了？我怎麼會知道呢？我們只能等事實數據出來再看。

But the capital demand load is huge on that one, and it is worldwide on that part. Again, with 45% of our revenues coming from outside the United States, we are in a terrific position to be able to deal with that.

但資本需求的量能非常龐大，而且是全球性的。再者，我們有45%的營收來自美國以外，因此我們處在非常有利的位置來因應這些需求。

Then also, Terry, if I could ask once you sell or spin off your Education, if you do actually sell it would you use those proceeds most likely to buy back stock? Of course a small piece for the refinancing you talked about. It's not your style to do large acquisitions, of course.

另外，Terry，如果我可以再問：一旦你們出售或分拆教育事業，如果你們真的出售了，你們最可能會把那些所得用來回購股票嗎？當然也會有一小部分用於你提到的再融資。你們的風格當然不是做大型併購。

First of all, I don't want to get ahead of ourselves here, but let me give you two facts on that one that Jack was talking about. One, we are an extremely dividend-friendly company and we have been since we created a dividend in 1936 and been increasing it every year since 1974. And so there is going to be no let up on that side.

首先，我不想在這裡超前討論，但我先給你兩個Jack剛才提到的事實。第一，我們是一家非常重視股利的公司；自1936年設立股利以來，並且自1974年起每年都提高股利。因此在這方面不會有任何鬆動。

Number two, in terms of share repurchase, I think our track record is out there and it is pretty solid. We are a very share repurchase friendly company. We do anticipate -- we are back in the market in the third quarter, we bought back $295 million. We did the accelerated share repurchase of $1.5 billion last year, and I expect to have a strong share repurchase program going forward.

第二，關於股票回購，我想我們的紀錄擺在那裡，而且相當扎實。我們是一家非常偏好回購的公司。我們確實預期——我們在第三季已回到市場，回購了2.95億美元。去年我們做了15億美元的加速股票回購（ASR），而我預期未來會持續推動強勁的股票回購計畫。

But I think it is a little premature to talk about what level or all of those kind of things, but from a financial engineering standpoint I think our track record is pretty solid.

但我認為現在談具體規模或各種細節還有點太早；不過從財務工程的角度來看，我想我們的過往紀錄相當扎實。

Great, thank you.

太好了，謝謝。

Thanks, Craig.

謝謝你，Craig。

David Reynolds, Jefferies.

David Reynolds，Jefferies。

Morning, everyone. David Reynolds here from London, just to say it is great to see that New York is back on track and our thoughts are with you.

各位早安。我是來自倫敦的 David Reynolds，只是想說，很高興看到紐約重回正軌，我們也與你們同在。

A question though just -- and I don't mean to labor the point, but if I can just address the coming decision process around the education asset. Clearly you have talked about it being on a timescale of the coming weeks. Are you able to describe what kind of decision you are now going through? Is it one of, having received the bids, you are determining whether a price is acceptable?

不過我有個問題——我不是想一再強調，但如果可以的話，我想談談接下來關於教育資產的決策流程。顯然你們提到時間表是在接下來幾週內。你們能否描述一下目前正在進行的是哪一類決策？是否是在收到出價後，正在判斷價格是否可接受？

I know it is a difficult area to talk about, but if you could shed some light on that that would be helpful.

我知道這是個不容易談的領域，但如果你們能稍微說明一下，會很有幫助。

Thanks, David, and thanks for your comments about New York. As you know from your own associates, it has really been hard hit and it is probably going to be weeks in terms of getting total business continuity going again and all of that. But thanks for the comments on that.

謝謝你，David，也謝謝你對紐約的關心。如同你從你自己的同事那邊所了解的，紐約確實受到重創，要讓整體營運完全恢復連續性等，可能還需要好幾週。不過還是謝謝你的關心。

Now as far as the separation process and all that, look, we said from the very beginning we are going to look at every single aspect in all of this. And that is exactly what we have done. We have given out timelines and we are coming to a conclusion.

至於分拆流程等等，你看，我們從一開始就說過，我們會檢視其中每一個面向。而我們確實就是這麼做的。我們也提供了時間表，現在正要做出結論。

Again, I think to skew this in any way is not appropriate from my standpoint at this point. So the best color I can give you is that you are not talking a long time frame here, you are talking, literally, coming weeks and maybe sooner.

再說一次，我認為此刻從我的立場來看，以任何方式去引導或偏向某個方向都不合適。所以我能提供的最佳說明是：這不是很長的時間框架，你談的是接下來幾週，甚至可能更快。

That was great, thank you. Perhaps just one follow-up. Obviously, we noted your increase in the full-year 2012 guidance. Intuitively that feels relatively conservative; would you agree with that?

很好，謝謝。或許再追問一個問題。顯然我們注意到你們上調了 2012 全年指引。直覺上那看起來相對保守；你同意嗎？

David, you are a great guy. Look, I thought the range $3.25 to $3.35 was a really, really solid number and range for us for 2012. The fact that things were a little bit better, that our cost reduction programs came in, all of those kind of things, we started midyear giving guidance that it was more like $3.30 and maybe closer as we got on towards the upper end of the range.

David，你人很好。你看，我認為對我們而言，2012 年每股盈餘（EPS）$3.25 到 $3.35 這個區間是非常、非常扎實的數字與範圍。由於情況稍微好一些、我們的成本削減計畫也到位，以及諸如此類的因素，我們在年中開始給指引時就覺得更像是 $3.30，並且隨著接近區間上緣，可能會更靠近上端。

But given the third quarter and all of that and the way we expect to finish 2012, we think that improving the guidance $3.35 to $3.40 is a good step. And I mean it is really there now. Would I like to be able to give more? I will get into a wrestling match with Jack here in a minute. But we are pleased with that guidance, and if things go the way we like it we will be very pleased.

但考量第三季以及我們預期 2012 年的收尾方式，我們認為把指引提高到 $3.35 到 $3.40 是很好的進展。而且我的意思是，現在確實就在那裡。我是否希望能給更多？我等一下可能要跟 Jack 來一場摔角。但我們對這個指引感到滿意；如果事情如我們所願地發展，我們會非常滿意。

We are pretty focused on delivering on the commitments that we make, and we are hopeful that we will finish the year nicely to position us well for next year.

我們相當專注於兌現我們所做出的承諾，也希望今年能有漂亮的收尾，讓我們為明年打下良好基礎。

Thanks for the comments, guys. Appreciate it.

謝謝你們的回覆。很感激。

Bill Warmington, Raymond James.

Bill Warmington，Raymond James。

Good morning, everyone. A question for you on how many cases are still outstanding for Standard & Poor's. And then, finally, when do you start to bump up against some of the statute of limitations for these claims?

各位早安。我想請教一下，標準普爾（Standard & Poor's）目前還有多少案件尚未結案？最後，這些主張在時效（statute of limitations）方面，你們大概何時會開始面臨一些時效期限的壓力？

Let's see, in terms of the outstanding issue, it is -- I would have to get the exact number for you, but it is a few dozen. If you call Chip, he can get the exact number for you, but it is way down obviously.

我想，就未結事項而言——我得給你確切數字，但大概是幾十件。如果你打給 Chip，他可以給你精確數字，但顯然已經大幅下降了。

But since the downturn in the markets and all of those kind of things it has been a solid four-plus years in all of that. So the expectations that we had in terms of there is no merit to some of these and all of that has borne out to be true in all of that. But we got a few dozen left.

不過自從市場下行以及諸如此類的情況以來，整體已經是扎實的四年多了。因此，我們先前對於其中一些案件毫無根據等的預期，事實也證明確實如此。但我們還剩下幾十件。

Then for the EPS guidance for 2012, does that include the impact of the $200 million in share repurchases you are planning to do in the fourth quarter?

那麼，關於 2012 年 EPS 指引，是否已包含你們計畫在第四季進行 2 億美元庫藏股回購的影響？

It is a consideration, but by the time you average those in it is not going to have a big impact. As you saw in the third quarter, it's hard to predict what is going to happen with stock option exercises, so I wouldn't view our guidance as dependent on it at this point in time. It will have a bigger impact as we get into next year.

這是有納入考量，但當你把它們平均攤入後，影響不會太大。如同你在第三季看到的，很難預測股票選擇權行使會發生什麼，因此我不會把我們的指引視為在此刻依賴這件事。等到進入明年，它的影響會更大。

Again, based on market conditions and all of those kind of things. We will keep everybody updated on exactly what we are doing.

同樣地，這也取決於市場狀況以及諸如此類的因素。我們會持續向各位更新我們具體在做什麼。

One of the points in your first question on the legal situation is I can tell you sort of our legal expense on a run rate basis is coming down a bit. So I think, if that is any indicator of some of the issues facing the Company, that is one thing we are looking at.

另外，回到你第一個問題中關於法律情況的一點，我可以告訴你，我們的法律費用以常態化的支出速度（run rate）來看正在下降一些。所以我想，如果這能作為公司所面臨部分議題的指標，這也是我們正在關注的一件事。

Excellent. Then if you could comment on the competitive environment for Capital IQ, especially in light of Bloomberg putting through a 6% price increase. That would seem like it would be a positive for you.

很好。那麼，如果你能評論一下 Capital IQ 的競爭環境，特別是考量到 Bloomberg 推出 6% 的漲價。這看起來對你們應該是正面的。

Well, again, I don't want to talk about any of the other competitors; that is for them. We feel very, very good about where our Capital IQ is. We talked about the addition of 4,400 clients and 55,000 subscribers and all of that. Our growth plan for Capital IQ is on target.

嗯，再次強調，我不想談其他競爭對手；那是他們的事。我們對 Capital IQ 目前的狀況感到非常、非常有信心。我們談到新增 4,400 家客戶與 55,000 名訂戶等等。我們對 Capital IQ 的成長計畫正按目標推進。

I think the other thing to focus in on on Capital IQ is the customization aspect of this. That we have multiple abilities to put more content packages together to create customized platforms for customers, and that is what we are focused on doing. But Capital IQ is on target.

我認為在 Capital IQ 方面另一個重點是客製化。我們有多種能力把更多內容套件組合起來，為客戶打造客製化平台，而這正是我們專注在做的事。總之，Capital IQ 進展符合目標。

Thank you very much.

非常感謝。

Thank you, Bill.

謝謝你，Bill。

That concludes this morning's call. A PDF version of the presenters' slides is available now for downloading from www.McGraw-Hill.com.

今天早上的電話會議到此結束。簡報投影片的 PDF 版本目前已可從 www.McGraw-Hill.com 下載。

A replay of this call, including the Q&A session, will be available in about two hours. The replay will be maintained on McGraw-Hill's website for 12 months from today and for one month from today by telephone. On behalf of The McGraw-Hill Companies, we thank you for participating and wish you good day.

本次電話會議的重播（包含問答環節）將於約兩小時後提供。重播將自今日起在 McGraw-Hill 網站保留 12 個月，並自今日起透過電話保留 1 個月。我謹代表 The McGraw-Hill Companies，感謝各位參與，並祝各位有美好的一天。