In a move to foster innovation and drive growth, The McGraw Hill Companies (NYSE: MHP) announced several Organizational and Management changes a few days back (November 15th 2010).
Though there are a few Management changes, I will be mostly stressing on the Organizational changes here. From a bird's-eye view, the current financial services of McGraw-Hill will be realigned into two segments - Standard & Poor's and McGraw-Hill Financials.
Currently, McGraw-Hill Companies is divided into three segments -
- Financial Services which includes Standard & Poor's Credit Market Services and S&P Investment Services (which includes Capital IQ)
- McGraw-Hill Education
- Information & Media
Beginning January 1st, 2011, McGraw-Hill Companies' reporting segments will be -
- Standard & Poor's - the leading credit rating company
- McGraw-Hill Financials - combining Capital IQ (including ClariFI, Compustat, etc.), S&P Indices, Valuation & Risk Strategies and Equity Research Services
- McGraw-Hill Education - the world's premier education services company
- McGraw-Hill Information & Media - a global business information company
The words of Harold McGraw Hill III, President and CEO of the McGraw Hill Companies on the strategic decision -
"This change will enhance our ability to deliver a broad and deep suite of products for investors across asset classes around the world, positioning us to capitalize on the growth trends we see in the global financial markets."
Check out the official announcement here. Coming to the impact of this decision on the Capital IQ brand - I guess our tagline "A Standard & Poor's Business" might change accordingly. However, there hasn't been any official confirmation on this. I will post in an update if we have anything.