The McGraw-Hill Companies (NYSE: MHP) reported 2008 earnings per diluted share of $2.51 compared to $2.94 for 2007. The 2008 results include a pre-tax restructuring charge of $73.4 million ($45.9 million after tax), or $0.14 per diluted share. Net income for 2008 decreased 21.1% to $799.5 million.  Revenue declined 6.2% in 2008 to $6.4 billion.   “Cost containment was a priority for us in 2008 and will be again in 2009,” said Harold McGraw III, chairman, president and chief executive officer of The McGraw-Hill Companies. “The 2008 results reflect cost reduction actions and the strategic value of a resilient portfolio of products and services in the midst of a recession.  “S&P Investment Services produced a double-digit revenue gain in 2008 to help cushion the impact of the year-long credit crunch on Financial Services. A very good fourth quarter in the U.S. college and university business and a stellar performance in the state new adoption market were offsetting factors in a softening school education market.  In the business-to-business market, we clearly benefited from the strength of our news and pricing services for global energy markets.” 2009 Outlook:  McGraw-Hill Companies expect consolidated revenue to decline 1% – 2% from 2008 and 2009 earnings per diluted share to range from US$ 22.0 – US$ 2.30. Source: McGraw-Hill Companies

BIIA Newsletter January – 2009 Issue