Attached files
| file | filename |
|---|---|
| 10-Q - 10-Q - S&P Global Inc. | mhfi-2015930xq3.htm |
| EX-15 - LETTER OF UNAUDITED INTERIM FINANCIALS - S&P Global Inc. | mhfi-ex15x2015930xq3.htm |
| EX-32 - CERTIFICATION OF CHIEF EXECUTIVE OFFICER AND CHIEF FINANCIAL OFFICER - S&P Global Inc. | mhfi-ex32x2015930xq3.htm |
| EX-31.1 - CERTIFICATION OF CHIEF EXECUTIVE OFFICER - S&P Global Inc. | mhfi-ex311x2015930xq3.htm |
| EX-31.2 - CERTIFICATION OF CHIEF FINANCIAL OFFICER - S&P Global Inc. | mhfi-ex312x2015930xq3.htm |
Exhibit (12)
McGraw Hill Financial, Inc.
Computation of Ratio of Earnings to Fixed Charges
(in millions)
Nine months ended September 30, | Years ended December 31, | |||||||||||||||||||||||
2015 | 2014 | 2013 | 2012 | 2011 | 2010 | |||||||||||||||||||
Earnings: | ||||||||||||||||||||||||
Income from continuing operations before taxes on income | $ | 1,431 | 1 | $ | 54 | 2 | $ | 1,299 | 3 | $ | 1,089 | 4 | $ | 975 | 5 | $ | 921 | 6 | ||||||
Fixed charges 7 | 106 | 118 | 124 | 128 | 131 | 133 | ||||||||||||||||||
Total earnings | $ | 1,537 | $ | 172 | $ | 1,423 | $ | 1,217 | $ | 1,106 | $ | 1,054 | ||||||||||||
Fixed charges: 7 | ||||||||||||||||||||||||
Interest expense | $ | 61 | $ | 58 | $ | 62 | $ | 81 | $ | 86 | $ | 89 | ||||||||||||
Portion of rental payments deemed to be interest | 44 | 59 | 61 | 46 | 44 | 43 | ||||||||||||||||||
Amortization of debt issuance costs and discount | 1 | 1 | 1 | 1 | 1 | 1 | ||||||||||||||||||
Total fixed charges | $ | 106 | $ | 118 | $ | 124 | $ | 128 | $ | 131 | $ | 133 | ||||||||||||
Ratio of earnings to fixed charges: | 14.5 | x | 1.5 | x | 11.5 | x | 9.5 | x | 8.4 | x | 7.9 | x | ||||||||||||
1 | Includes the impact of the following items: $40 million in accruals for potential settlements net of insurance recoveries, $32 million for acquisition related costs associated with the SNL Financial LC ("SNL") transaction, and restructuring charges of $22 million, partially offset by a gain of $11 million related to the sale of a legacy McGraw Hill Construction investment. |
2 | Includes the impact of the following items: $1.6 billion of charges for certain regulatory matters, restructuring charges of $86 million, and $4 million of professional fees largely related to corporate development activities. |
3 | Includes the impact of the following items: pre-tax legal settlements of approximately $77 million, $64 million charge for costs necessary to enable the separation of McGraw-Hill Education business ("MHE") and reduce our cost structure, a $36 million non-cash impairment charge related to the sale of a data center, $28 million of restructuring charges, $13 million related to terminating various leases as we reduce our real estate portfolio, and a $24 million net gain from our dispositions. |
4 | Includes the impact of the following items: $135 million charge for costs necessary to enable the separation of MHE and reduce our cost structure, a $65 million restructuring charge, transaction costs of $15 million for our S&P Dow Jones Indices LLC joint venture, an $8 million charge related to a reduction in our lease commitments, partially offset by a vacation accrual reversal of $52 million. |
5 | Includes the impact of the following items: a $31 million restructuring charge and a $10 million charge for costs necessary to enable the separation of MHE and reduce our cost structure. |
6 | Includes the impact of the following items: a $16 million charge for subleasing excess space in our New York facilities, a $4 million restructuring charge and a $7 million gain on the sale of certain equity interests at S&P Ratings. |
7 | "Fixed charges" consist of (1) interest on debt and interest related to the sale leaseback of Rock-McGraw, Inc. (2) the portion of our rental expense deemed representative of the interest factor in rental expense, and (3) amortization of debt issue costs and discount to any indebtedness. |