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MCGRAW-HILL REPORTS 11.6 PERCENT INCREASE IN FIRST QUARTER EARNINGS

MCGRAW-HILL REPORTS 11.6 PERCENT INCREASE IN FIRST QUARTER EARNINGS
 NEW YORK, April 15 /PRNewswire/ -- McGraw-Hill, Inc. (NYSE: MHP) today reported first quarter net income of $14,189,000, an 11.6 percent increase over the same period last year. Revenue for the first quarter grew by 6.2 percent to $454,808,000. Earnings per share for the quarter were 29 cents vs. 26 cents a year ago.
 "An outstanding performance by Standard & Poor's and improvement in our two largest ad revenue producers, Business Week and Broadcasting, were key factors in the first quarter," said Joseph L. Dionne, chairman and chief executive officer of McGraw-Hill, Inc.
 Financial services: "Operating profits increased 13.9 percent as surging new issue volume, particularly in corporate, municipals and structured finance, helped produce another fine quarter for the S&P Ratings group. We also got good results from some S&P Information products, including Compustat, MMS International and Platt's," Dionne said.
 Information and publication services: "Business Week showed substantial improvement in the first quarter. But it was not enough to offset weakness at the Computers and Communications and Aviation Week groups, which serve industries -- computers and defense -- with significant problems. As a result, operating profits for the segment declined 11.6 percent," Dionne said.
 Educational and professional publishing: Dionne continued, "There were improvements in professional, healthcare and international book operations. But softness in college publishing and increased costs for personnel, marketing and new product introductions at Shepard's, our legal publisher, contributed to a $591,000 decline in operating profits for the quarter."
 Broadcasting: "Gains in local television advertising and a turnaround performance at KMGH-TV in Denver combined to produce a 6.8 percent increase in operating profits for Broadcasting. Our efforts in Denver are paying off. Ratings have improved and KMGH recorded its best first-quarter results since 1986," stated Dionne.
 Joint venture: "The loss posted in the first quarter by the Macmillan/McGraw-Hill School Publishing Company was in line with seasonal expectations for the elementary-high school business, which never makes money in this quarter."
 Dionne continued, "Corporate general expenses increased by nearly $3 million primarily due to the one-time costs of relocating departments to make space available in our headquarters building for a new tenant.
 "We are encouraged by first-quarter results. But the first quarter is the company's smallest each year and in the face of a modest and uneven economic recovery, the real challenge is still ahead of us."
 MCGRAW-HILL, INC.
 Statement of Income
 (Amounts in thousands, except earnings per share)
 Three months ended March 31 1992 1991
 Operating revenue $454,808 $428,451
 Expenses - net 403,457 377,984
 Share of profit/(loss) of
 Macmillan/McGraw-Hill joint venture (16,464) (15,317)
 Income from operations 34,887 35,150
 Interest (expense) - net (10,125) (12,954)
 Income before taxes on income 24,762 22,196
 Provision for taxes on income 10,573 9,478
 Net income 14,189 12,718
 Earnings per common share $.29 $.26
 Average number of shares outstanding 48,867 48,816
 Latest 12 months ended March 31 1992 1991
 Operating revenue $1,969,369 $1,947,067
 Expenses - net 1,690,674 1,614,216
 Share of profit/(loss) of
 Macmillan/McGraw-Hill joint venture 26,336 19,116
 Income from operations 305,031 351,967
 Interest (expense) - net (44,158) (56,112)
 Income before taxes on income 260,873 295,855
 Provision for taxes on income 111,392 127,151
 Net income 149,481 168,704
 Earnings per common share $3.06 $3.45
 Average number of shares outstanding 48,831 48,805
 Operating Results by Segment
 (Thousands of dollars)
 Three months ended March 31 1992 1991
 Revenue:
 Information and Publication Services $149,708 $148,743
 Educational and Professional Publishing 115,698 108,388
 Financial Services 166,141 148,874
 Broadcasting 23,261 22,446
 Total operating segments 454,808 428,451
 Share of (loss) of Macmillan/
 McGraw-Hill joint venture -- --
 General corporate (expense) - net -- --
 Interest (expense) - net -- --
 Total company $454,808 $428,451
 Operating profit (note):
 Information and Publication Services $10,413 $11,783
 Educational and Professional Publishing 865 1,456
 Financial Services 44,871 39,405
 Broadcasting 5,366 5,026
 Total operating segments 61,515 57,670
 Share of (loss) of Macmillan/
 McGraw-Hill joint venture (16,464) (15,317)
 General corporate (expense) - net (10,164) (7,203)
 Interest (expense) - net (10,125) (12,954)
 Total company $24,762(A) $22,196(A)
 (A) -- Income before taxes on income.
 Note: 1992 operating profit and corporate expense reflect changes in the allocation of indirect expense to more appropriately reflect the relative profit contribution of the individual segments under the company's market focus group organization. 1991 amounts have been restated for comparability.
 -0- 4/15/92
 /CONTACT: Elizabeth L. Russo, 212-512-3493, or Donald S. Rubin, 212-512-4321, both of McGraw-Hill/
 (MHP) CO: McGraw-Hill, Inc. ST: New York IN: PUB FIN SU: ERN


CK -- NY053 -- 8670 04/15/92 11:59 EDT
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