Cover Page
Cover Page shares in Millions | 6 Months Ended |
Jun. 30, 2021shares | |
Entity Information [Line Items] | |
Document Type | 10-Q |
Document Quarterly Report | true |
Document Period End Date | Jun. 30, 2021 |
Document Transition Report | false |
Entity File Number | 1-14037 |
Entity Registrant Name | Moody’s Corporation |
Entity Incorporation, State or Country Code | DE |
Entity Tax Identification Number | 13-3998945 |
Entity Address, Address Line One | 7 World Trade Center at 250 Greenwich Street |
Entity Address, City or Town | New York |
Entity Address, State or Province | NY |
Entity Address, Postal Zip Code | 10007 |
City Area Code | (212) |
Local Phone Number | 553-0300 |
Entity Current Reporting Status | Yes |
Entity Interactive Data Current | Yes |
Entity Filer Category | Large Accelerated Filer |
Entity Small Business | false |
Entity Emerging Growth Company | false |
Entity Shell Company | false |
Entity Common Stock, Shares Outstanding (in shares) | 186.2 |
Entity Central Index Key | 0001059556 |
Document Fiscal Period Focus | Q2 |
Amendment Flag | false |
Current Fiscal Year End Date | --12-31 |
Document Fiscal Year Focus | 2021 |
Common Stock, par value $0.01 per share | |
Entity Information [Line Items] | |
Title of 12(b) Security | Common Stock, par value $0.01 per share |
Trading Symbol | MCO |
Security Exchange Name | NYSE |
1.75% Senior Notes Due 2027 | |
Entity Information [Line Items] | |
Title of 12(b) Security | 1.75% Senior Notes Due 2027 |
Trading Symbol | MCO 27 |
Security Exchange Name | NYSE |
0.950% Senior Notes Due 2030 | |
Entity Information [Line Items] | |
Title of 12(b) Security | 0.950% Senior Notes Due 2030 |
Trading Symbol | MCO 30 |
Security Exchange Name | NYSE |
CONSOLIDATED STATEMENTS OF OPER
CONSOLIDATED STATEMENTS OF OPERATIONS (UNAUDITED) - USD ($) shares in Millions, $ in Millions | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2021 | Jun. 30, 2020 | Jun. 30, 2021 | Jun. 30, 2020 | |
Income Statement [Abstract] | ||||
Revenue | $ 1,553 | $ 1,435 | $ 3,153 | $ 2,725 |
Expenses | ||||
Operating | 365 | 362 | 758 | 702 |
Selling, general and administrative | 327 | 307 | 620 | 608 |
Depreciation and amortization | 60 | 58 | 119 | 107 |
Restructuring | 0 | (2) | 2 | (3) |
Loss pursuant to the divestiture of MAKS | 0 | 0 | 0 | 9 |
Total expenses | 752 | 725 | 1,499 | 1,423 |
Operating income | 801 | 710 | 1,654 | 1,302 |
Non-operating (expense) income, net | ||||
Interest expense, net | (49) | (60) | (56) | (100) |
Other non-operating income, net | 6 | 16 | 22 | 28 |
Total non-operating (expense) income, net | (43) | (44) | (34) | (72) |
Income before provision for income taxes | 758 | 666 | 1,620 | 1,230 |
Provision for income taxes | 181 | 157 | 307 | 234 |
Net income | 577 | 509 | 1,313 | 996 |
Less: Net income (loss) attributable to noncontrolling interests | 0 | 0 | 0 | (1) |
Net income attributable to Moody's | $ 577 | $ 509 | $ 1,313 | $ 997 |
Earnings per share attributable to Moody's common shareholders | ||||
Basic (in usd per share) | $ 3.09 | $ 2.71 | $ 7.02 | $ 5.31 |
Diluted (in usd per share) | $ 3.07 | $ 2.69 | $ 6.98 | $ 5.27 |
Weighted average number of shares outstanding | ||||
Basic (in shares) | 186.7 | 187.7 | 187 | 187.6 |
Diluted (in shares) | 187.9 | 189 | 188.2 | 189.3 |
CONSOLIDATED STATEMENTS OF COMP
CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME (UNAUDITED) - USD ($) $ in Millions | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2021 | Jun. 30, 2020 | Jun. 30, 2021 | Jun. 30, 2020 | |
Statement of Comprehensive Income [Abstract] | ||||
Net Income | $ 577 | $ 509 | $ 1,313 | $ 996 |
Other Comprehensive Income (Loss): | ||||
Foreign currency translation adjustment - Pre Tax | 37 | 78 | (110) | (97) |
Foreign currency translation adjustments - Tax | (2) | 1 | 4 | 6 |
Foreign currency translation adjustments - Net of Tax | 35 | 79 | (106) | (91) |
Net gains (losses) on net investment hedges - Pre Tax | (41) | (97) | 134 | 22 |
Net gains (losses) on net investment hedges, Tax | 12 | 24 | (30) | (6) |
Net gains (losses) on net investment hedges, Net of Tax | (29) | (73) | 104 | 16 |
Net investment hedges - reclassification of gains included in net income - Pre Tax | (1) | 0 | (2) | 0 |
Net investment hedges - reclassification of gains included in net income - Tax | 1 | 0 | 1 | 0 |
Net investment hedges - reclassification of gains included in net income - Net of Tax | 0 | 0 | (1) | 0 |
Cash Flow Hedges: | ||||
Net realized and unrealized (losses) gains on cash flow hedges - Pre Tax | 0 | (20) | 0 | (68) |
Net realized and unrealized (losses) gains on cash flow hedges - Tax | 0 | 6 | 0 | 18 |
Net realized and unrealized (losses) gains on cash flow hedges - Net of Tax | 0 | (14) | 0 | (50) |
Reclassification of losses (gains) included in net income - Pre Tax | 1 | 1 | ||
Reclassification of losses (gains) included in net income - Tax | 0 | 0 | ||
Reclassification of losses (gains) included in net income - Net of Tax | 1 | 1 | ||
Pension and Other Retirement Benefits: | ||||
Amortization of actuarial losses and prior service costs included in net income - Pre Tax | 10 | 1 | 13 | 3 |
Amortization of actuarial losses and prior service costs included in net income - Tax | (2) | 0 | (3) | (1) |
Amortization of actuarial losses and prior service costs included in net income - Net of Tax | 8 | 1 | 10 | 2 |
Net actuarial (losses) gains and prior service costs - Pre Tax | 0 | 9 | 0 | 8 |
Net actuarial (losses) gains and prior service costs - Tax | 0 | (2) | 0 | (2) |
Net actuarial (losses) gains and prior service costs - Net of Tax | 0 | 7 | 0 | 6 |
Total other comprehensive income (loss) - Pre Tax | 5 | (29) | 36 | (131) |
Total other comprehensive income (loss) - Tax | 9 | 29 | (28) | 15 |
Total other comprehensive income (loss) - Net of Tax | 14 | 0 | 8 | (116) |
Comprehensive income | 591 | 509 | 1,321 | 880 |
Less: comprehensive income (loss) attributable to noncontrolling interests | (1) | (11) | 1 | (13) |
Comprehensive Income Attributable to Moody's | $ 592 | $ 520 | $ 1,320 | $ 893 |
CONSOLIDATED BALANCE SHEETS (UN
CONSOLIDATED BALANCE SHEETS (UNAUDITED) - USD ($) $ in Millions | Jun. 30, 2021 | Dec. 31, 2020 |
Current assets: | ||
Cash and cash equivalents | $ 2,809 | $ 2,597 |
Short-term investments | 88 | 99 |
Accounts receivable, net of allowance for credit losses of $32 in 2021 and $34 in 2020 | 1,458 | 1,430 |
Other current assets | 379 | 383 |
Total current assets | 4,734 | 4,509 |
Property and equipment, net of accumulated depreciation of $969 in 2021 and $928 in 2020 | 282 | 278 |
Operating lease right-of-use assets | 357 | 393 |
Goodwill | 4,590 | 4,556 |
Intangible assets, net | 1,784 | 1,824 |
Deferred tax assets, net | 249 | 334 |
Other assets | 556 | 515 |
Total assets | 12,552 | 12,409 |
Current liabilities: | ||
Accounts payable and accrued liabilities | 816 | 1,039 |
Current portion of operating lease liabilities | 92 | 94 |
Deferred revenue | 1,142 | 1,089 |
Total current liabilities | 2,050 | 2,222 |
Non-current portion of deferred revenue | 93 | 98 |
Long-term debt | 6,355 | 6,422 |
Deferred tax liabilities, net | 422 | 404 |
Uncertain tax positions | 406 | 483 |
Operating lease liabilities | 386 | 427 |
Other liabilities | 460 | 590 |
Total liabilities | 10,172 | 10,646 |
Contingencies | ||
Shareholders' equity: | ||
Preferred stock, par value $0.01 per share; 10,000,000 shares authorized; no shares issued and outstanding | 0 | 0 |
Common stock | 3 | 3 |
Capital surplus | 784 | 735 |
Retained earnings | 12,094 | 11,011 |
Treasury stock, at cost; 156,723,618 and 155,808,563 shares of common stock at June 30, 2021 and December 31, 2020 | (10,270) | (9,748) |
Accumulated other comprehensive loss | (425) | (432) |
Total Moody's shareholders' equity | 2,186 | 1,569 |
Noncontrolling interests | 194 | 194 |
Total shareholders' equity | 2,380 | 1,763 |
Total liabilities, noncontrolling interests and shareholders' equity | 12,552 | 12,409 |
Series Common Stock | ||
Shareholders' equity: | ||
Common stock | $ 0 | $ 0 |
CONSOLIDATED BALANCE SHEETS (_2
CONSOLIDATED BALANCE SHEETS (UNAUDITED) (Parenthetical) - USD ($) $ in Millions | Jun. 30, 2021 | Dec. 31, 2020 |
Accounts receivable, allowances | $ 32 | $ 34 |
Accumulated depreciation, property and equipment | $ 969 | $ 928 |
Preferred stock, par value (in usd per share) | $ 0.01 | $ 0.01 |
Preferred stock, shares authorized (in shares) | 10,000,000 | 10,000,000 |
Preferred stock, shares issued (in shares) | 0 | 0 |
Preferred stock, shares outstanding (in shares) | 0 | 0 |
Common stock, par value (in usd per share) | $ 0.01 | $ 0.01 |
Common stock, shares authorized (in shares) | 1,000,000,000 | 1,000,000,000 |
Common stock, shares issued (in shares) | 342,902,272 | 342,902,272 |
Treasury stock, shares (in shares) | 156,723,618 | 155,808,563 |
Series Common Stock | ||
Common stock, par value (in usd per share) | $ 0.01 | $ 0.01 |
Common stock, shares authorized (in shares) | 10,000,000 | 10,000,000 |
Common stock, shares issued (in shares) | 0 | 0 |
Common stock, shares outstanding (in shares) | 0 | 0 |
CONSOLIDATED STATEMENTS OF CASH
CONSOLIDATED STATEMENTS OF CASH FLOWS (UNAUDITED) - USD ($) $ in Millions | 6 Months Ended | |
Jun. 30, 2021 | Jun. 30, 2020 | |
Cash flows from operating activities | ||
Net Income | $ 1,313 | $ 996 |
Reconciliation of net income to net cash provided by operating activities: | ||
Depreciation and amortization | 119 | 107 |
Stock-based compensation | 86 | 72 |
Deferred income taxes | 59 | 46 |
Loss pursuant to the divestiture of MAKS | 0 | 9 |
Settlement of treasury rate lock | 0 | (68) |
Changes in assets and liabilities: | ||
Accounts receivable | (29) | 11 |
Other current assets | 17 | (45) |
Other assets | (23) | (39) |
Accounts payable and accrued liabilities | (182) | 31 |
Deferred revenue | 49 | (60) |
Unrecognized tax benefits and other non-current tax liabilities | (75) | (13) |
Other liabilities | (64) | (70) |
Net cash provided by operating activities | 1,270 | 977 |
Cash flows from investing activities | ||
Capital additions | (44) | (62) |
Purchases of investments | (109) | (108) |
Sales and maturities of investments | 85 | 45 |
Cash paid for acquisitions, net of cash acquired | (138) | (698) |
Receipts from settlements of net investment hedges | 2 | 0 |
Payments for settlements of net investment hedges | (47) | 0 |
Net cash used in investing activities | (251) | (823) |
Cash flows from financing activities | ||
Issuance of notes | 0 | 995 |
Repayment of notes | 0 | (300) |
Issuance of commercial paper | 0 | 789 |
Repayment of commercial paper | 0 | (792) |
Proceeds from stock-based compensation plans | 23 | 29 |
Repurchase of shares related to stock-based compensation | (79) | (100) |
Treasury shares | (503) | (253) |
Dividends | (232) | (210) |
Debt issuance costs, extinguishment costs and related fees | 0 | (17) |
Dividends to noncontrolling interest | (1) | (1) |
Payment to acquire noncontrolling interests | 0 | (17) |
Net cash (used in) provided by financing activities | (792) | 123 |
Effect of exchange rate changes on cash and cash equivalents | (15) | (10) |
Increase in cash and cash equivalents | 212 | 267 |
Cash and cash equivalents, beginning of period | 2,597 | 1,832 |
Cash and cash equivalents, end of period | $ 2,809 | $ 2,099 |
CONSOLIDATED STATEMENT OF SHARE
CONSOLIDATED STATEMENT OF SHAREHOLDERS' EQUITY (UNAUDITED) - USD ($) shares in Millions, $ in Millions | Total | Total Moody's Shareholders' Equity | Common Stock | Capital Surplus | Retained Earnings | Treasury Stock | Accumulated Other Comprehensive Loss | Non- Controlling Interests | Cumulative Effect, Period of Adoption, Adjustment | Cumulative Effect, Period of Adoption, AdjustmentTotal Moody's Shareholders' Equity | Cumulative Effect, Period of Adoption, AdjustmentRetained Earnings | Cumulative Effect, Period of Adoption, AdjustmentAccumulated Other Comprehensive Loss |
Beginning Balance (in shares) at Dec. 31, 2019 | 342.9 | 155.2 | ||||||||||
Beginning Balance at Dec. 31, 2019 | $ 831 | $ 612 | $ 3 | $ 642 | $ 9,656 | $ (9,250) | $ (439) | $ 219 | $ (2) | $ (2) | $ (2) | |
Increase (Decrease) in Stockholders' Equity [Roll Forward] | ||||||||||||
Net income/ (loss) | 997 | 997 | 997 | |||||||||
Dividends | (209) | (209) | (209) | |||||||||
Stock-based compensation | 72 | 72 | 72 | |||||||||
Shares issued for stock-based compensation plans at average cost, net (in shares) | 1.1 | |||||||||||
Shares issued for stock-based compensation plans at average cost, net | (71) | (71) | (61) | $ (10) | ||||||||
Purchase of noncontrolling interest | (17) | (2) | (2) | (15) | ||||||||
Treasury shares repurchased (in shares) | (1.1) | |||||||||||
Treasury shares repurchased | (253) | (253) | 0 | $ (253) | ||||||||
Currency translation adjustment, net of net investment hedge activity (net of tax) | (75) | (62) | (62) | (13) | ||||||||
Net actuarial gains and prior service cost (net of tax) | 6 | 6 | 6 | |||||||||
Amortization of prior service costs/actuarial losses and settlement charge | 2 | 2 | 2 | |||||||||
Net realized and unrealized gain (loss) on cash flow hedges (net of tax) | (49) | (49) | (49) | |||||||||
Ending Balance (in shares) at Jun. 30, 2020 | 342.9 | 155.2 | ||||||||||
Ending Balance at Jun. 30, 2020 | 1,232 | 1,041 | $ 3 | 651 | 10,442 | $ (9,513) | (542) | 191 | ||||
Beginning Balance (in shares) at Mar. 31, 2020 | 342.9 | 155.4 | ||||||||||
Beginning Balance at Mar. 31, 2020 | 799 | 582 | $ 3 | 616 | 10,041 | $ (9,524) | (554) | 217 | ||||
Increase (Decrease) in Stockholders' Equity [Roll Forward] | ||||||||||||
Net income | 510 | 509 | 509 | 1 | ||||||||
Net income/ (loss) | 509 | |||||||||||
Dividends | (108) | (108) | (108) | 0 | ||||||||
Stock-based compensation | 35 | 35 | 35 | |||||||||
Shares issued for stock-based compensation plans at average cost, net (in shares) | 0.2 | |||||||||||
Shares issued for stock-based compensation plans at average cost, net | 13 | 13 | 2 | $ 11 | ||||||||
Purchase of noncontrolling interest | (17) | (2) | (2) | (15) | ||||||||
Currency translation adjustment, net of net investment hedge activity (net of tax) | 6 | 18 | 18 | (12) | ||||||||
Net actuarial gains and prior service cost (net of tax) | 7 | 7 | 7 | |||||||||
Amortization of prior service costs/actuarial losses and settlement charge | 1 | 1 | 1 | |||||||||
Net realized and unrealized gain (loss) on cash flow hedges (net of tax) | (14) | (14) | (14) | |||||||||
Ending Balance (in shares) at Jun. 30, 2020 | 342.9 | 155.2 | ||||||||||
Ending Balance at Jun. 30, 2020 | 1,232 | 1,041 | $ 3 | 651 | 10,442 | $ (9,513) | (542) | 191 | ||||
Beginning Balance (in shares) at Dec. 31, 2020 | 342.9 | 155.8 | ||||||||||
Beginning Balance at Dec. 31, 2020 | 1,763 | 1,569 | $ 3 | 735 | 11,011 | $ (9,748) | (432) | 194 | ||||
Increase (Decrease) in Stockholders' Equity [Roll Forward] | ||||||||||||
Net income/ (loss) | 1,313 | 1,313 | 1,313 | |||||||||
Dividends | (231) | (230) | (230) | (1) | ||||||||
Stock-based compensation | 86 | 86 | 86 | |||||||||
Shares issued for stock-based compensation plans at average cost, net (in shares) | 0.7 | |||||||||||
Shares issued for stock-based compensation plans at average cost, net | (56) | (56) | (37) | $ (19) | ||||||||
Treasury shares repurchased (in shares) | (1.6) | |||||||||||
Treasury shares repurchased | (503) | (503) | $ (503) | |||||||||
Currency translation adjustment, net of net investment hedge activity (net of tax) | (3) | (4) | (4) | 1 | ||||||||
Net actuarial gains and prior service cost (net of tax) | 0 | |||||||||||
Amortization of prior service costs/actuarial losses and settlement charge | 10 | 10 | 10 | |||||||||
Net realized and unrealized gain (loss) on cash flow hedges (net of tax) | 1 | 1 | 1 | |||||||||
Ending Balance (in shares) at Jun. 30, 2021 | 342.9 | 156.7 | ||||||||||
Ending Balance at Jun. 30, 2021 | 2,380 | 2,186 | $ 3 | 784 | 12,094 | $ (10,270) | (425) | 194 | ||||
Beginning Balance (in shares) at Mar. 31, 2021 | 342.9 | 155.7 | ||||||||||
Beginning Balance at Mar. 31, 2021 | 2,225 | 2,030 | $ 3 | 739 | 11,632 | $ (9,904) | (440) | 195 | ||||
Increase (Decrease) in Stockholders' Equity [Roll Forward] | ||||||||||||
Net income/ (loss) | 577 | 577 | 577 | |||||||||
Dividends | (115) | (115) | (115) | |||||||||
Stock-based compensation | 41 | 41 | 41 | |||||||||
Shares issued for stock-based compensation plans at average cost, net (in shares) | 0.1 | |||||||||||
Shares issued for stock-based compensation plans at average cost, net | 9 | 9 | 4 | $ 5 | ||||||||
Treasury shares repurchased (in shares) | (1.1) | |||||||||||
Treasury shares repurchased | (371) | (371) | $ (371) | |||||||||
Currency translation adjustment, net of net investment hedge activity (net of tax) | 6 | 7 | 7 | (1) | ||||||||
Net actuarial gains and prior service cost (net of tax) | 0 | |||||||||||
Amortization of prior service costs/actuarial losses and settlement charge | 8 | 8 | 8 | |||||||||
Ending Balance (in shares) at Jun. 30, 2021 | 342.9 | 156.7 | ||||||||||
Ending Balance at Jun. 30, 2021 | $ 2,380 | $ 2,186 | $ 3 | $ 784 | $ 12,094 | $ (10,270) | $ (425) | $ 194 |
CONSOLIDATED STATEMENT OF SHA_2
CONSOLIDATED STATEMENT OF SHAREHOLDERS' EQUITY (UNAUDITED) (Parenthetical) - USD ($) $ in Millions | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2021 | Jun. 30, 2020 | Jun. 30, 2021 | Jun. 30, 2020 | |
Statement of Stockholders' Equity [Abstract] | ||||
Dividends (in USD per share) | $ 0.62 | $ 0.56 | $ 1.24 | $ 1.12 |
Currency translation adjustment, net of net investment hedge activity, tax expense (benefit) | $ 11 | $ (25) | $ 25 | |
Net actuarial gains and prior service cost, tax expense (benefit) | 0 | 2 | 0 | $ 2 |
Amortization of prior service costs and actuarial losses, tax expense (benefit) | $ 2 | 0 | $ 3 | 1 |
Net realized and unrealized gain on cash flow hedges, tax expense (benefit) | $ (6) | $ (18) |
DESCRIPTION OF BUSINESS AND BAS
DESCRIPTION OF BUSINESS AND BASIS OF PRESENTATION | 6 Months Ended |
Jun. 30, 2021 | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | |
DESCRIPTION OF BUSINESS AND BASIS OF PRESENTATION | DESCRIPTION OF BUSINESS AND BASIS OF PRESENTATION Moody’s is a global integrated risk assessment firm that empowers organizations and investors to make better decisions. Moody’s reports in two reportable segments: MIS and MA. MIS publishes credit ratings and provides assessment services on a wide range of debt obligations and the entities that issue such obligations in markets worldwide. Revenue is primarily derived from the originators and issuers of such transactions who use MIS ratings in the distribution of their debt issues to investors. Additionally, MIS earns revenue from certain non-ratings-related operations which consist primarily of financial instrument pricing services in the Asia-Pacific region, revenue from providing ESG research, data and assessments and revenue from ICRA’s non-ratings operations. The revenue from these operations is included in the MIS Other LOB and is not material to the results of the MIS segment. MA is a global provider of data and analytic solutions which help companies make better and faster decisions. MA’s analytic models, industry insights, software tools and proprietary data assets allow companies to inform and perform many critical business activities with trust and confidence. MA’s approach to aggregating, broadening and deepening available data, research, analytic tools and software solutions fosters a more integrated and efficient delivery to MA's customers resulting in better decisions around risks and opportunities. These interim financial statements have been prepared in accordance with the instructions to Form 10-Q and should be read in conjunction with the Company’s consolidated financial statements and related notes in the Company’s 2020 annual report on Form 10-K filed with the SEC on February 22, 2021. The results of interim periods are not necessarily indicative of results for the full year or any subsequent period. In the opinion of management, all adjustments (including normal recurring accruals) considered necessary for a fair presentation of financial position, results of operations and cash flows at the dates and for the periods presented have been included. The year-end consolidated balance sheet data was derived from audited financial statements, but does not include all disclosures required by accounting principles generally accepted in the United States of America. Certain reclassifications have been made to prior period amounts to conform to the current presentation. Adoption of New Accounting Standards On January 1, 2021, the Company adopted ASU No. 2019-04, “Codification Improvements to Topic 326, Financial Instruments—Credit Losses, Topic 815, Derivatives and Hedging, and Topic 825 Financial Instruments.” This ASU clarifies and improves guidance related to the recently issued standards updates on credit losses, hedging, and recognition and measurement of financial instruments. The Company adopted this ASU prospectively and it did not have a material impact on the Company's current financial statements. On January 1, 2021, the Company adopted ASU No. 2019-12, "Income Taxes (Topic 740): Simplifying the Accounting for Income Taxes." This ASU simplifies the accounting for income taxes by eliminating certain exceptions to the general principles in Topic 740, Income Taxes, and clarifies certain aspects of the existing guidance to promote consistency among reporting entities. Most amendments within this ASU are required to be applied on a prospective basis, while certain amendments must be applied on a retrospective or modified retrospective basis. The Company adopted this ASU prospectively and it did not have a material impact on the Company's current financial statements. Recently Issued Accounting Standards In January 2021, the FASB issued ASU 2021-01, “Reference Rate Reform - Scope,” which clarified the scope and application of the original guidance, ASU No. 2020-04, "Facilitation of the Effects of Reference Rate Reform on Financial Reporting" ("ASU No. 2020-04"), issued in March 2020. ASU No. 2020-04 provides temporary optional expedients and exceptions to the U.S. GAAP guidance on contract modifications and hedge accounting to ease the financial reporting burdens related to the expected market transition from the London Interbank Offered Rate (LIBOR) and other interbank offered rates to alternative reference rates. Both ASU's were effective upon issuance, and the Company may elect to apply the amendments prospectively through December 31, 2022 as the transition from LIBOR is completed. COVID-19 |
SUMMARY OF SIGNIFICANT ACCOUNTI
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES | 6 Months Ended |
Jun. 30, 2021 | |
Accounting Policies [Abstract] | |
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES | SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES Pursuant to a strategic reorganization in the MA operating segment which was completed in the second quarter of 2021, the Company realigned its MA reporting units used in assessing goodwill for impairment as of June 30, 2021. Accordingly, the Company revised its accounting policy for goodwill to reflect the change in MA's reporting units, which is discussed below. All other significant accounting policies described in the Form 10-K for the year ended December 31, 2020 remain unchanged. This reorganization did not result in a change to the Company's reportable segments. Goodwill Moody’s evaluates its goodwill for impairment at the reporting unit level, defined as an operating segment (i.e., MIS and MA), or one level below an operating segment (i.e., a component of an operating segment), annually as of July 31 or more frequently if impairment indicators arise in accordance with ASC Topic 350. The Company evaluates the recoverability of goodwill using a two-step impairment test approach at the reporting unit level. In the first step, the Company assesses various qualitative factors to determine whether the fair value of a reporting unit may be less than its carrying amount. If a determination is made based on the qualitative factors that an impairment does not exist, the Company is not required to perform further testing. If the aforementioned qualitative assessment results in the Company concluding that it is more likely than not that the fair value of a reporting unit may be less than its carrying amount, the fair value of the reporting unit will be quantitatively determined and compared to its carrying value including goodwill. If the fair value of the reporting unit exceeds the carrying value of the net assets assigned to that unit, goodwill is not impaired and the Company is not required to perform further testing. If the fair value of the reporting unit is less than the carrying value, the Company will record a goodwill impairment charge for the amount by which the carrying value exceeds the reporting unit’s fair value. The Company evaluates its reporting units on an annual basis, or more frequently if there are changes in the reporting structure of the Company due to acquisitions, reporting unit realignments or if there are indicators of potential impairment. For the reporting units where the Company is consistently able to conclude that no impairment exists using only a qualitative approach, the Company’s accounting policy is to perform the second step of the aforementioned goodwill impairment assessment at least once every three years. Goodwill is assigned to a reporting unit at the date when an acquisition is integrated into one of the established reporting units, and is based on which reporting unit is expected to benefit from the synergies of the acquisition. Prior to the second quarter of 2021, MA's reporting unit structure consisted of five reporting units (Content, ERS, MALS, Bureau van Dijk and Reis). Pursuant to a strategic reorganization in the MA segment which was completed in the second quarter of 2021, MA's reporting unit structure has been reorganized into two reporting units. MA’s two new reporting units generally consist of: i) businesses offering data and data-driven analytical solutions; and ii) risk-management software, workflow and CRE solutions. The Company performed qualitative assessments of the reporting units impacted by the reorganization immediately before and after the reorganization became effective. These qualitative assessments resulted in the Company determining that it was not more likely than not that the fair value of any reporting unit was less than its carrying amount. |
REVENUES
REVENUES | 6 Months Ended |
Jun. 30, 2021 | |
Revenue from Contract with Customer [Abstract] | |
REVENUES | REVENUES Revenue by Category The following table presents the Company’s revenues disaggregated by LOB: Three Months Ended Six Months Ended 2021 2020 2021 2020 MIS: Corporate finance (CFG) Investment-grade $ 102 $ 291 $ 236 $ 435 High-yield 124 99 265 174 Bank loans 157 43 337 132 Other accounts (1) 167 139 317 284 Total CFG 550 572 1,155 1,025 Financial institutions (FIG) Banking 101 88 210 174 Insurance 33 44 76 74 Managed investments 13 8 21 14 Other accounts 3 2 5 5 Total FIG 150 142 312 267 Public, project and infrastructure finance (PPIF) Public finance / sovereign 63 64 130 121 Project and infrastructure 67 69 143 121 Total PPIF 130 133 273 242 Structured finance (SFG) Asset-backed securities 33 23 59 45 RMBS 31 23 58 50 CMBS 23 13 47 30 Structured credit 53 21 91 50 Other accounts — 1 1 2 Total SFG 140 81 256 177 Total ratings revenue 970 928 1,996 1,711 MIS Other 10 10 20 21 Total external revenue 980 938 2,016 1,732 Intersegment revenue 42 35 82 72 Total MIS 1,022 973 2,098 1,804 MA: Research, data and analytics (RD&A) 435 366 854 724 Enterprise risk solutions (ERS) 138 131 283 269 Total external revenue 573 497 1,137 993 Intersegment revenue 2 2 4 4 Total MA 575 499 1,141 997 Eliminations (44) (37) (86) (76) Total MCO $ 1,553 $ 1,435 $ 3,153 $ 2,725 (1) Other includes: recurring monitoring fees of a rated debt obligation and/or entities that issue such obligations as well as fees from programs such as commercial paper, medium term notes, and ICRA corporate finance revenue. The following table presents the Company’s revenues disaggregated by LOB and geographic area: Three Months Ended June 30, 2021 Three Months Ended June 30, 2020 U.S. Non-U.S Total U.S. Non-U.S Total MIS: Corporate finance $ 345 $ 205 $ 550 $ 413 $ 159 $ 572 Financial institutions 69 81 150 70 72 142 Public, project and infrastructure finance 79 51 130 87 46 133 Structured finance 88 52 140 45 36 81 Total ratings revenue 581 389 970 615 313 928 MIS Other 1 9 10 1 9 10 Total MIS 582 398 980 616 322 938 MA: Research, data and analytics 190 245 435 167 199 366 Enterprise risk solutions 59 79 138 54 77 131 Total MA 249 324 573 221 276 497 Total MCO $ 831 $ 722 $ 1,553 $ 837 $ 598 $ 1,435 Six Months Ended June 30, 2021 Six Months Ended June 30, 2020 U.S. Non-U.S Total U.S. Non-U.S Total MIS: Corporate finance $ 759 $ 396 $ 1,155 $ 727 $ 298 $ 1,025 Financial institutions 155 157 312 130 137 267 Public, project and infrastructure finance 157 116 273 155 87 242 Structured finance 156 100 256 106 71 177 Total ratings revenue 1,227 769 1,996 1,118 593 1,711 MIS Other 2 18 20 1 20 21 Total MIS 1,229 787 2,016 1,119 613 1,732 MA: Research, data and analytics 373 481 854 325 399 724 Enterprise risk solutions 114 169 283 107 162 269 Total MA 487 650 1,137 432 561 993 Total MCO $ 1,716 $ 1,437 $ 3,153 $ 1,551 $ 1,174 $ 2,725 The following table presents the Company’s reportable segment revenues disaggregated by segment and geographic region: Three Months Ended Six Months Ended 2021 2020 2021 2020 MIS: U.S. $ 582 $ 616 $ 1,229 $ 1,119 Non-U.S.: EMEA 248 183 496 354 Asia-Pacific 100 90 197 171 Americas 50 49 94 88 Total Non-U.S. 398 322 787 613 Total MIS 980 938 2,016 1,732 MA: U.S. 249 221 487 432 Non-U.S.: EMEA 233 190 463 382 Asia-Pacific 55 54 114 109 Americas 36 32 73 70 Total Non-U.S. 324 276 650 561 Total MA 573 497 1,137 993 Total MCO $ 1,553 $ 1,435 $ 3,153 $ 2,725 The following tables summarize the split between transaction and recurring revenue. In the MIS segment, excluding MIS Other, transaction revenue represents the initial rating of a new debt issuance as well as other one-time fees while recurring revenue represents the recurring monitoring fees of a rated debt obligation and/or entities that issue such obligations, as well as revenue from programs such as commercial paper, medium-term notes and shelf registrations. In MIS Other, transaction revenue represents revenue from professional services and recurring revenue represents subscription-based revenues. In the MA segment, recurring revenue represents subscription-based revenues and software maintenance revenue. Transaction revenue in MA represents perpetual software license fees and revenue from software implementation services, risk management advisory projects, and training and certification services. Three Months Ended June 30, 2021 2020 Transaction Recurring Total Transaction Recurring Total Corporate Finance $ 427 $ 123 $ 550 $ 457 $ 115 $ 572 78 % 22 % 100 % 80 % 20 % 100 % Financial Institutions $ 79 $ 71 $ 150 $ 76 $ 66 $ 142 53 % 47 % 100 % 54 % 46 % 100 % Public, Project and Infrastructure Finance $ 88 $ 42 $ 130 $ 96 $ 37 $ 133 68 % 32 % 100 % 72 % 28 % 100 % Structured Finance $ 92 $ 48 $ 140 $ 35 $ 46 $ 81 66 % 34 % 100 % 43 % 57 % 100 % MIS Other $ — $ 10 $ 10 $ — $ 10 $ 10 — % 100 % 100 % — % 100 % 100 % Total MIS $ 686 $ 294 $ 980 $ 664 $ 274 $ 938 70 % 30 % 100 % 71 % 29 % 100 % Research, data and analytics $ 22 $ 413 $ 435 $ 16 $ 350 $ 366 5 % 95 % 100 % 4 % 96 % 100 % Enterprise risk solutions $ 16 $ 122 $ 138 $ 26 $ 105 $ 131 12 % 88 % 100 % 20 % 80 % 100 % Total MA $ 38 (1) $ 535 $ 573 $ 42 $ 455 $ 497 7 % 93 % 100 % 8 % 92 % 100 % Total Moody's Corporation $ 724 $ 829 $ 1,553 $ 706 $ 729 $ 1,435 47 % 53 % 100 % 49 % 51 % 100 % Six Months Ended June 30, 2021 2020 Transaction Recurring Total Transaction Recurring Total Corporate Finance $ 914 $ 241 $ 1,155 $ 795 $ 230 $ 1,025 79 % 21 % 100 % 78 % 22 % 100 % Financial Institutions $ 169 $ 143 $ 312 $ 136 $ 131 $ 267 54 % 46 % 100 % 51 % 49 % 100 % Public, Project and Infrastructure Finance $ 188 $ 85 $ 273 $ 165 $ 77 $ 242 69 % 31 % 100 % 68 % 32 % 100 % Structured Finance $ 158 $ 98 $ 256 $ 85 $ 92 $ 177 62 % 38 % 100 % 48 % 52 % 100 % MIS Other $ 2 $ 18 $ 20 $ 2 $ 19 $ 21 10 % 90 % 100 % 10 % 90 % 100 % Total MIS $ 1,431 $ 585 $ 2,016 $ 1,183 $ 549 $ 1,732 71 % 29 % 100 % 68 % 32 % 100 % Research, data and analytics $ 42 $ 812 $ 854 $ 34 $ 690 $ 724 5 % 95 % 100 % 5 % 95 % 100 % Enterprise risk solutions $ 39 $ 244 $ 283 $ 58 $ 211 $ 269 14 % 86 % 100 % 22 % 78 % 100 % Total MA $ 81 (1) $ 1,056 $ 1,137 $ 92 $ 901 $ 993 7 % 93 % 100 % 9 % 91 % 100 % Total Moody's Corporation $ 1,512 $ 1,641 $ 3,153 $ 1,275 $ 1,450 $ 2,725 48 % 52 % 100 % 47 % 53 % 100 % (1) Revenue from software implementation services and risk management advisory projects, while classified by management as transactional revenue, is recognized over time under the Revenue Accounting Standard (please also refer to the following table). The following table presents the timing of revenue recognition: Three Months Ended June 30, 2021 Six Months Ended June 30, 2021 MIS MA Total MIS MA Total Revenue recognized at a point in time $ 686 $ 20 $ 706 $ 1,431 $ 49 $ 1,480 Revenue recognized over time 294 553 847 585 1,088 1,673 Total $ 980 $ 573 $ 1,553 $ 2,016 $ 1,137 $ 3,153 Three Months Ended June 30, 2020 Six Months Ended June 30, 2020 MIS MA Total MIS MA Total Revenue recognized at a point in time $ 664 $ 20 $ 684 $ 1,183 $ 59 $ 1,242 Revenue recognized over time 274 477 751 549 934 1,483 Total $ 938 $ 497 $ 1,435 $ 1,732 $ 993 $ 2,725 Unbilled receivables, deferred revenue and remaining performance obligations Unbilled receivables At June 30, 2021 and December 31, 2020, accounts receivable, net included $429 million and $361 million, respectively, of unbilled receivables, net related to the MIS segment. Certain MIS arrangements contain contractual terms whereby the customers are billed in arrears for annual monitoring services, requiring revenue to be accrued as an unbilled receivable as such services are provided. In addition, for certain MA arrangements, the timing of when the Company has the unconditional right to consideration and recognizes revenue occurs prior to invoicing the customer. Consequently, at June 30, 2021 and December 31, 2020, accounts receivable, net included $95 million and $98 million, respectively, of unbilled receivables, net related to the MA segment. Deferred revenue The Company recognizes deferred revenue when a contract requires a customer to pay consideration to the Company in advance of when revenue related to that contract is recognized. This deferred revenue is relieved when the Company satisfies the related performance obligation and revenue is recognized. Significant changes in the deferred revenue balances during the three and six months ended June 30, 2021 and 2020 are as follows: Three Months Ended June 30, 2021 Three Months Ended June 30, 2020 MIS MA Total MIS MA Total Balance at March 31, $ 388 $ 940 $ 1,328 $ 379 $ 843 $ 1,222 Changes in deferred revenue Revenue recognized that was included in the deferred revenue balance at the beginning of the period (119) (338) (457) (115) (341) (456) Increases due to amounts billable excluding amounts recognized as revenue during the period 98 262 360 100 234 334 Effect of exchange rate changes 1 3 4 1 4 5 Total changes in deferred revenue (20) (73) (93) (14) (103) (117) Balance at June 30, $ 368 $ 867 $ 1,235 $ 365 $ 740 $ 1,105 Six Months Ended June 30, 2021 Six Months Ended June 30, 2020 MIS MA Total MIS MA Total Balance at December 31, $ 313 $ 874 $ 1,187 $ 322 $ 840 $ 1,162 Changes in deferred revenue Revenue recognized that was included in the deferred revenue balance at the beginning of the period (162) (565) (727) (167) (578) (1) (745) Increases due to amounts billable excluding amounts recognized as revenue during the period 219 555 774 213 478 (1) 691 Increases due to acquisitions during the period — 4 4 — 20 20 Effect of exchange rate changes (2) (1) (3) (3) (20) (23) Total changes in deferred revenue 55 (7) 48 43 (100) (57) Balance at June 30, $ 368 $ 867 $ 1,235 $ 365 $ 740 $ 1,105 Deferred revenue - current $ 279 $ 863 $ 1,142 $ 265 $ 736 1,001 Deferred revenue - noncurrent $ 89 $ 4 $ 93 $ 100 $ 4 104 (1) The 2020 amounts were both reduced by $99 million from amounts previously disclosed in the Form 10-Q for the six months ended June 30, 2020. For the MIS segment, the changes in the deferred revenue balance during the three and six months ended June 30, 2021 were primarily related to the significant portion of contract renewals that occurred during the first quarter of 2021 and are generally recognized over a one year period. For the MA segment, the decrease in deferred revenue for the three months ended June 30, 2021 was primarily due to the recognition of annual subscription and maintenance billings from December 2020 and January 2021. For the six months ended June 30, 2021, the decrease in the deferred revenue balance is attributable to recognition of revenues related to the aforementioned December 2020 billings being partially offset by the impact of the high concentration of January 2021 billings. Remaining performance obligations Remaining performance obligations in the MIS segment largely reflect deferred revenue related to monitoring fees for certain structured finance products, primarily CMBS, where the issuers can elect to pay the monitoring fees for the life of the security in advance. As of June 30, 2021, the aggregate amount of the transaction price allocated to remaining performance obligations was approximately $118 million. The Company expects to recognize into revenue approximately 20% of this balance within one year, approximately 50% of this balance between one to five years and the remaining amount thereafter. With respect to the remaining performance obligations for the MIS segment, the Company has applied a practical expedient set forth in ASC Topic 606 permitting the omission from the amounts stated above relating to unsatisfied performance obligations for contracts with an original expected length of one year or less. Remaining performance obligations in the MA segment include both amounts recorded as deferred revenue on the balance sheet as of June 30, 2021 as well as amounts not yet invoiced to customers as of June 30, 2021, largely reflecting future revenue related to signed multi-year arrangements for hosted and installed subscription-based products. As of June 30, 2021, the aggregate amount of the transaction price allocated to remaining performance obligations was approximately $2.2 billion. The Company expects to recognize into revenue approximately 65% of this balance within one year, approximately 20% of this balance between one to two years and the remaining amount thereafter. |
STOCK-BASED COMPENSATION
STOCK-BASED COMPENSATION | 6 Months Ended |
Jun. 30, 2021 | |
Share-based Payment Arrangement, Noncash Expense [Abstract] | |
STOCK-BASED COMPENSATION | STOCK-BASED COMPENSATION Presented below is a summary of the stock-based compensation cost and associated tax benefit included in the accompanying consolidated statements of operations: Three Months Ended Six Months Ended 2021 2020 2021 2020 Stock-based compensation cost $ 41 $ 35 $ 86 $ 72 Tax benefit $ 10 $ 7 $ 21 $ 14 During the first six months of 2021, the Company granted 0.1 million employee stock options, which had a weighted average grant date fair value of $67.41 per share based on the Black-Scholes option-pricing model. The Company also granted 0.5 million shares of restricted stock in the first six months of 2021, which had a weighted average grant date fair value of $277.22 per share. Both the employee stock options and restricted stock generally vest ratably over four years. Additionally, the Company granted 0.1 million shares of performance-based awards whereby the number of shares that ultimately vest are based on the achievement of certain non-market-based performance metrics of the Company over three years. The weighted average grant date fair value of these awards was $268.85 per share. The following weighted average assumptions were used in determining the fair value for options granted in 2021: Expected dividend yield 0.89 % Expected stock volatility 28 % Risk-free interest rate 0.81 % Expected holding period 5.6 years Unrecognized stock-based compensation expense at June 30, 2021 was $11 million and $230 million for stock options and unvested restricted stock, respectively, which is expected to be recognized over a weighted average period of 2.5 years and 2.6 years, respectively. Additionally, there was $39 million of unrecognized stock-based compensation expense relating to the aforementioned non-market-based performance-based awards, which is expected to be recognized over a weighted average period of 2.1 years. The following tables summarize information relating to stock option exercises and restricted stock vesting: Six Months Ended 2021 2020 Exercise of stock options: Proceeds from stock option exercises $ 16 $ 23 Aggregate intrinsic value $ 35 $ 74 Tax benefit realized upon exercise $ 8 $ 18 Number of shares exercised 0.2 0.4 Vesting of restricted stock: Fair value of shares vested $ 187 $ 193 Tax benefit realized upon vesting $ 43 $ 45 Number of shares vested 0.7 0.8 Vesting of performance-based restricted stock: Fair value of shares vested $ 28 $ 70 Tax benefit realized upon vesting $ 7 $ 17 Number of shares vested 0.1 0.3 |
INCOME TAXES
INCOME TAXES | 6 Months Ended |
Jun. 30, 2021 | |
Income Tax Disclosure [Abstract] | |
INCOME TAXES | INCOME TAXES Moody’s effective tax rate was 23.9% and 23.6% for the three months ended June 30, 2021 and 2020, respectively and 19.0% for both six months ended June 30, 2021 and 2020 periods. The Company’s year to date tax expense differs from the tax computed by applying its estimated annual effective tax rate to the year-to-date pre-tax earnings primarily due to Excess Tax Benefits from stock compensation of $26 million and net reductions in UTPs of $61 million related to a settlement and a lapse of a statute of limitations. The Company classifies interest related to UTPs in interest expense, net in its consolidated statements of operations. Penalties, if incurred, would be recognized in other non-operating (expense) income, net. The Company had an increase in its UTPs of $4 million ($4 million net of federal tax) during the second quarter of 2021 and a decrease in its UTPs of $76 million ($67 million, net of federal tax) during the first six months of 2021, which primarily related to the aforementioned resolution of uncertain tax positions. The Company also reversed $40 million in accrued interest in connection with these matters in the first quarter of 2021. Moody’s Corporation and subsidiaries are subject to U.S. federal income tax as well as income tax in various state, local and foreign jurisdictions. The Company’s U.S. federal income tax return for 2019 remains open to examination and 2017 and 2018 are currently under examination. The Company’s New York City tax return for 2014 through 2017 are currently under examination. The Company’s U.K. tax return for 2012 is currently under examination and its returns for 2013 through 2019 remain open to examination. For ongoing audits, it is possible the balance of UTPs could decrease in the next twelve months as a result of the settlement of these audits, which might involve the payment of additional taxes, the adjustment of certain deferred taxes and/or the recognition of tax benefits. It is also possible that new issues might be raised by tax authorities which could necessitate increases to the balance of UTPs. As the Company is unable to predict the timing or outcome of these audits, it is therefore unable to estimate the amount of changes to the balance of UTPs at this time. However, the Company believes that it has adequately provided for its financial exposure relating to all open tax years by tax jurisdiction in accordance with the applicable provisions of Topic 740 of the ASC regarding UTPs. The following table shows the amount the Company paid for income taxes: Six Months Ended June 30, 2021 2020 Income taxes paid $ 327 $ 111 |
WEIGHTED AVERAGE SHARES OUTSTAN
WEIGHTED AVERAGE SHARES OUTSTANDING | 6 Months Ended |
Jun. 30, 2021 | |
Earnings Per Share [Abstract] | |
WEIGHTED AVERAGE SHARES OUTSTANDING | WEIGHTED AVERAGE SHARES OUTSTANDING Below is a reconciliation of basic to diluted shares outstanding: Three Months Ended June 30, Six Months Ended June 30, 2021 2020 2021 2020 Basic 186.7 187.7 187.0 187.6 Dilutive effect of shares issuable under stock-based compensation plans 1.2 1.3 1.2 1.7 Diluted 187.9 189.0 188.2 189.3 Anti-dilutive options to purchase common shares and restricted stock as well as contingently issuable restricted stock which are excluded from the table above 0.2 0.3 0.3 0.3 The calculation of diluted EPS requires certain assumptions regarding the use of both cash proceeds and assumed proceeds that would be received upon the exercise of stock options and vesting of restricted stock outstanding as of June 30, 2021 and 2020. |
CASH EQUIVALENTS AND INVESTMENT
CASH EQUIVALENTS AND INVESTMENTS | 6 Months Ended |
Jun. 30, 2021 | |
Cash and Cash Equivalents [Abstract] | |
CASH EQUIVALENTS AND INVESTMENTS | CASH EQUIVALENTS AND INVESTMENTS The table below provides additional information on the Company’s cash equivalents and investments: As of June 30, 2021 Balance sheet location Cost Gains/(Losses) Fair Value Cash and cash equivalents Short-term Other Certificates of deposit and money market deposit accounts (1) $ 1,481 $ — $ 1,481 $ 1,370 $ 88 $ 23 Mutual funds $ 53 $ 7 $ 60 $ — $ — $ 60 As of December 31, 2020 Balance sheet location Cost Gains/(Losses) Fair Value Cash and cash Short-term Other Certificates of deposit and money market deposit accounts (1) $ 1,430 $ — $ 1,430 $ 1,325 $ 99 $ 6 Mutual funds $ 54 $ 6 $ 60 $ — $ — $ 60 (1) Consists of time deposits and money market deposit accounts. The remaining contractual maturities for the certificates of deposits classified as short-term investments were one month to 12 months at both June 30, 2021 and December 31, 2020. The remaining contractual maturities for the certificates of deposits classified in other assets are 13 months to 23 months at both June 30, 2021 and December 31, 2020. Time deposits with a maturity of less than 90 days at time of purchase are classified as cash and cash equivalents. In addition, the Company invested in Corporate-Owned Life Insurance (COLI) in the first quarter of 2020. As of June 30, 2021 and December 31, 2020, the contract value of the COLI was $36 million and $17 million, respectively. |
ACQUISITIONS
ACQUISITIONS | 6 Months Ended |
Jun. 30, 2021 | |
Business Combination and Asset Acquisition [Abstract] | |
ACQUISITIONS | ACQUISITIONS The business combinations described below are accounted for using the acquisition method of accounting whereby assets acquired and liabilities assumed were recognized at fair value on the date of the transaction. Any excess of the purchase price over the fair value of the assets acquired and liabilities assumed was recorded to goodwill. Goodwill typically results through expected synergies from combining operations of an acquiree and an acquirer, anticipated new customer acquisition and products, as well as from intangible assets that do not qualify for separate recognition. Cortera On March 19, 2021, the Company acquired 100% of Cortera, a provider of North American credit data and workflow solutions. The table below details the total consideration relating to the acquisition: Cash paid at closing $ 138 Additional consideration paid to sellers in 2021 (1) 1 Total consideration $ 139 (1) Represents additional consideration paid to the sellers following finalization of customary post-closing completion adjustments. Shown below is the preliminary purchase price allocation, which summarizes the fair value of the assets and liabilities assumed, at the date of acquisition: Current assets $ 7 Intangible assets: Database (10 year useful life) $ 38 Customer relationships (18 year useful life) 9 Product technology (8 year useful life) 9 Trade name (5 year useful life) 1 Total intangible assets (11 year weighted average useful life) 57 Goodwill 95 Other assets 2 Liabilities: Accounts payable and accrued liabilities $ (1) Deferred revenue (4) Deferred tax liabilities (15) Other liabilities (2) Total liabilities (22) Net assets acquired $ 139 The Company has performed a preliminary valuation analysis of the fair market value of assets and liabilities of the Cortera business. The final purchase price allocation will be determined when the Company has completed and fully reviewed the detailed valuations. The final allocation could differ materially from the preliminary allocation. The final allocation may include changes in allocations to acquired intangible assets as well as goodwill and other changes to assets and liabilities including reserves for UTPs and deferred tax liabilities. The estimated useful lives of acquired intangibles assets are also preliminary. Current assets in the table above include acquired cash of $4 million and accounts receivable of approximately $2 million. Goodwill The goodwill recognized as a result of this acquisition includes, among other things, the value of combining the complementary risk assessment products of the Company and Cortera, which is expected to extend the Company’s reach to new and evolving market segments as well as cost savings synergies, expected new customer acquisitions and products. Goodwill, which has been assigned to the MA segment, is not deductible for tax purposes. Transaction costs Transaction costs directly related to the Cortera acquisition were not material. RDC On February 13, 2020, the Company acquired 100% of RDC, a provider of anti-money laundering and know-your-customer data and due diligence services. The table below details the total consideration relating to the acquisition: Cash paid at closing $ 700 Additional consideration paid to sellers in 2020 (1) 2 Total consideration $ 702 (1) Represents additional consideration paid to the sellers following finalization of customary post-closing completion adjustments. Shown below is the purchase price allocation, which summarizes the fair value of the assets and liabilities assumed, at the date of acquisition: Current assets $ 24 Intangible assets: Customer relationships (25 year useful life) $ 174 Database (10 year useful life) 86 Product technology (4 year useful life) 17 Trade name (3 year useful life) 3 Total intangible assets (19 year weighted average life) 280 Goodwill 494 Other assets 2 Liabilities: Accounts payable and accrued liabilities $ (5) Deferred revenue (20) Deferred tax liabilities (71) Other liabilities (2) Total liabilities (98) Net assets acquired $ 702 Current assets in the table above include acquired cash of $6 million and accounts receivable of approximately $14 million. Goodwill The goodwill recognized as a result of this acquisition includes, among other things, the value of combining the complementary product portfolios of the Company and RDC, which is expected to extend the Company’s reach to new and evolving market segments as well as cost savings synergies, expected new customer acquisitions and products. Goodwill, which has been assigned to the MA segment, is not deductible for tax purposes. Transaction costs Transaction costs directly related to the RDC acquisition were not material. |
DERIVATIVE INSTRUMENTS AND HEDG
DERIVATIVE INSTRUMENTS AND HEDGING ACTIVITIES | 6 Months Ended |
Jun. 30, 2021 | |
Derivative Instruments and Hedging Activities Disclosure [Abstract] | |
DERIVATIVE INSTRUMENTS AND HEDGING ACTIVITIES | DERIVATIVE INSTRUMENTS AND HEDGING ACTIVITIES The Company is exposed to global market risks, including risks from changes in FX rates and changes in interest rates. Accordingly, the Company uses derivatives in certain instances to manage the aforementioned financial exposures that occur in the normal course of business. The Company does not hold or issue derivatives for speculative purposes. Derivatives and non-derivative instruments designated as accounting hedges: Fair Value Hedges Interest Rate Swaps The Company has entered into interest rate swaps to convert the fixed interest rate on certain of its long-term debt to a floating interest rate based on the 3-month LIBOR and 6-month LIBOR. The purpose of these hedges is to mitigate the risk associated with changes in the fair value of the long-term debt, thus the Company has designated these swaps as fair value hedges. The fair value of the swaps is adjusted quarterly with a corresponding adjustment to the carrying value of the debt. The changes in the fair value of the swaps and the underlying hedged item generally offset and the net cash settlements on the swaps are recorded each period within interest expense, net in the Company’s consolidated statements of operations. The following table summarizes the Company’s interest rate swaps designated as fair value hedges: Notional Amount Hedged Item Nature of Swap As of June 30, As of December 31, Floating Interest Rate 2012 Senior Notes due 2022 Pay Floating/Receive Fixed $ 330 $ 330 3-month USD LIBOR 2017 Senior Notes due 2023 Pay Floating/Receive Fixed $ 250 $ 250 3-month USD LIBOR 2017 Senior Notes due 2028 Pay Floating/Receive Fixed $ 500 $ 500 3-month USD LIBOR 2020 Senior Notes due 2025 Pay Floating/Receive Fixed $ 300 $ 300 6-month USD LIBOR Total $ 1,380 $ 1,380 Refer to Note 16 for information on the cumulative amount of fair value hedging adjustments included in the carrying amount of the above hedged items. The following table summarizes the impact to the statements of operations of the Company’s interest rate swaps designated as fair value hedges: Total amounts of financial statement line item presented in the statements of operations in which the effects of fair value hedges are recorded Amount of income/(loss) recognized in the consolidated statements of operations Three Months Ended June 30, Six Months Ended June 30, 2021 2020 2021 2020 Interest expense, net $ (49) $ (60) $ (56) $ (100) Descriptions Location on Consolidated Statements of Operations Net interest settlements and accruals on interest rate swaps Interest expense, net $ 6 $ 5 $ 11 $ 8 Fair value changes on interest rate swaps Interest expense, net $ — $ 2 $ (24) $ 60 Fair value changes on hedged debt Interest expense, net $ — $ (2) $ 24 $ (60) Net investment hedges Debt designated as net investment hedges The Company has designated €500 million of the 2015 Senior Notes Due 2027 and €750 million of the 2019 Senior Notes due 2030 as net investment hedges to mitigate FX exposure related to a portion of the Company’s euro net investment in certain foreign subsidiaries against changes in euro/USD exchange rates. These hedges are designated as accounting hedges under the applicable sections of ASC Topic 815 and will end upon the repayment of the notes in 2027 and 2030, respectively, unless terminated early at the discretion of the Company. Cross currency swaps designated as net investment hedges The Company enters into cross-currency swaps to mitigate FX exposure related to a portion of the Company’s euro net investment in certain foreign subsidiaries against changes in euro/USD exchange rates. The following table provides information on the cross-currency swaps designated as net investment hedges under ASC Topic 815: June 30, 2021 Pay Receive Nature of Swap Notional Amount Weighted Average Interest Rate Notional Amount Weighted Average Interest Rate Pay Fixed/Receive Fixed € 1,060 2.15% $ 1,220 4.45% Pay Floating/Receive Floating 959 Based on 3-month EURIBOR 1,080 Based on 3-month USD LIBOR Total € 2,019 $ 2,300 December 31, 2020 Pay Receive Nature of Swap Notional Amount Weighted Average Interest Rate Notional Amount Weighted Average Interest Rate Pay Fixed/Receive Fixed € 1,079 1.43% $ 1,220 3.96% Pay Floating/Receive Floating 959 Based on 3-month EURIBOR 1,080 Based on 3-month USD LIBOR Total € 2,038 $ 2,300 As of June 30, 2021 these hedges will expire and the notional amounts will be settled as follows unless terminated early at the discretion of the Company: Years Ending December 31, 2021 (After June 30,) € — 2022 € 438 2023 € 442 2024 € 443 2026 € 450 2027 € 246 Total € 2,019 Forward contracts designated as net investment hedges The Company also enters into forward contracts to mitigate FX exposure related to a portion of the Company’s euro net investment in certain foreign subsidiaries against changes in euro/USD and GBP/euro exchange rates. The following table summarizes the notional amounts of the Company's outstanding forward contracts that were designated as net investment hedges: Notional amount of net investment hedges June 30, 2021 December 31, 2020 Sell Buy Sell Buy Contract to sell EUR for USD € 597 $ 728 € 524 $ 627 Contract to sell GBP for EUR £ 134 € 155 £ 134 € 148 These forward contracts will expire in August 2021. Cash Flow Hedges Interest Rate Forward Contracts In January 2020, the Company entered into $300 million notional amount treasury rate locks with an average locked-in U.S. 30-year Treasury rate of 2.0103%, which were designated as cash flow hedges and used to manage the Company’s interest rate risk during the period prior to an anticipated issuance of 30-year debt. The treasury lock interest rate forward contracts matured on April 30, 2020, resulting in a cumulative loss of $68 million, which was recognized in AOCL. The loss on the Treasury rate lock will be reclassified from AOCL to earnings in the same period that the hedged transaction (i.e. interest payments on the 3.25% 2020 Senior Notes, due 2050) impacts earnings. The following table provide information on the gains/(losses) on the Company’s net investment and cash flow hedges: Derivative and Non-Derivative Instruments in Net Investment Hedging Relationships Amount of Gain/(Loss) Recognized in AOCL on Derivative, net of Tax Amount of Gain/(Loss) Reclassified from AOCL into Income, net of Tax Gain/(Loss) Recognized in Income on Derivative (Amount Excluded from Effectiveness Testing) Three Months Ended Three Months Ended Three Months Ended 2021 2020 2021 2020 2021 2020 FX forward contracts $ — $ — $ — $ — $ — $ — Cross currency swaps (18) (49) — — 9 14 Long-term debt (10) (24) — — — — Total net investment hedges $ (28) $ (73) $ — $ — $ 9 $ 14 Derivatives in Cash Flow Hedging Relationships Interest rate contracts — (14) — — — — Total cash flow hedges — (14) — — — — Total $ (28) $ (87) $ — $ — $ 9 $ 14 Derivative and Non-Derivative Instruments in Net Investment Hedging Relationships Amount of Gain/(Loss) Recognized in AOCL on Derivative, net of Tax Amount of Gain/(Loss) Reclassified from AOCL into Income, net of Tax Gain/(Loss) Recognized in Income on Derivative (Amount Excluded from Effectiveness Testing) Six Months Ended June 30, Six Months Ended June 30, Six Months Ended June 30, 2021 2020 2021 2020 2021 2020 FX forward contracts $ 16 $ — $ 1 $ — $ — $ — Cross currency swaps 54 17 — — 19 30 Long-term debt 35 (1) — — — — Total net investment hedges $ 105 $ 16 $ 1 $ — $ 19 $ 30 Derivatives in Cash Flow Hedging Relationships Interest rate contracts — (50) (1) (1) — — Total cash flow hedges — (50) (1) (1) — — Total $ 105 $ (34) $ — $ (1) $ 19 $ 30 The cumulative amount of net investment hedge and cash flow hedge gains (losses) remaining in AOCL is as follows: Cumulative Gains/(Losses), net of tax June 30, 2021 December 31, 2020 Net investment hedges Cross currency swaps $ (70) $ (124) FX forwards 27 12 Long-term debt (73) (108) Total net investment hedges $ (116) $ (220) Cash flow hedges Interest rate contracts $ (50) $ (51) Cross currency swaps 2 2 Total cash flow hedges (48) (49) Total net loss in AOCL $ (164) $ (269) Derivatives not designated as accounting hedges: Foreign exchange forwards The Company also enters into foreign exchange forward contracts to mitigate the change in fair value on certain assets and liabilities denominated in currencies other than a subsidiary’s functional currency. These forward contracts are not designated as accounting hedges under the applicable sections of Topic 815 of the ASC. Accordingly, changes in the fair value of these contracts are recognized immediately in other non-operating income, net in the Company’s consolidated statements of operations along with the FX gain or loss recognized on the assets and liabilities denominated in a currency other than the subsidiary’s functional currency. These contracts have expiration dates at various times through August 2021. The following table summarizes the notional amounts of the Company’s outstanding foreign exchange forwards: June 30, 2021 December 31, 2020 Notional amount of currency pair: Sell Buy Sell Buy Contracts to sell USD for GBP $ 424 £ 301 $ 295 £ 222 Contracts to sell USD for Japanese yen $ 15 ¥ 1,600 $ 15 ¥ 1,600 Contracts to sell USD for Canadian dollars $ 105 C$ 129 $ 107 C$ 140 Contracts to sell USD for Singapore dollars $ 59 S$ 79 $ 59 S$ 79 Contracts to sell USD for euros $ 549 € 450 $ 447 € 376 Contracts to sell Euros for GBP € 135 £ 116 € 135 £ 121 Contracts to sell USD for Russian ruble $ 13 ₽ 1,000 $ 13 ₽ 1,000 Contracts to sell USD for Indian rupee $ 18 ₹ 1,350 $ 18 ₹ 1,350 NOTE: € = euro, £ = British pound, $ = U.S. dollar, ¥ = Japanese yen, C$ = Canadian dollar, S$= Singapore dollars, ₽ = Russian ruble, ₹= Indian rupee The following table summarizes the impact to the consolidated statements of operations relating to the net losses on the Company’s derivatives which are not designated as hedging instruments: Derivatives not designated as accounting hedges Location on Consolidated Statements of Operations Three Months Ended Six Months Ended 2021 2020 2021 2020 Foreign exchange forwards Other non-operating income, net $ (1) $ 5 $ (7) $ (35) The table below shows the classification between assets and liabilities on the Company’s consolidated balance sheets for the fair value of the derivative instrument as well as the carrying value of its non-derivative debt instruments designated and qualifying as net investment hedges: Derivative and Non-Derivative Instruments Balance Sheet Location June 30, 2021 December 31, 2020 Assets: Derivatives designated as accounting hedges: Cross-currency swaps designated as net investment hedges Other assets $ 7 $ — Interest rate swaps designated as fair value hedges Other assets 37 57 FX forwards designated as net investment hedges Other current assets 19 — Total derivatives designated as accounting hedges 63 57 Derivatives not designated as accounting hedges: FX forwards on certain assets and liabilities Other current assets 3 31 Total assets $ 66 $ 88 Liabilities: Derivatives designated as accounting hedges: FX forwards designated as net investment hedges Accounts payable and accrued liabilities $ 1 $ 16 Cross-currency swaps designated as net investment hedges Accounts payable and accrued liabilities — 23 Cross-currency swaps designated as net investment hedges Other liabilities 80 144 Interest rate swaps designated as fair value hedges Other liabilities 5 1 Total derivatives designated as accounting hedges 86 184 Non-derivatives designated as accounting hedges: Long-term debt designated as net investment hedge Long-term debt 1,482 1,530 Derivatives not designated as accounting hedges: FX forwards on certain assets and liabilities Accounts payable and accrued liabilities 26 2 Total liabilities $ 1,594 $ 1,716 |
GOODWILL AND OTHER ACQUIRED INT
GOODWILL AND OTHER ACQUIRED INTANGIBLE ASSETS | 6 Months Ended |
Jun. 30, 2021 | |
Goodwill and Intangible Assets Disclosure [Abstract] | |
GOODWILL AND OTHER ACQUIRED INTANGIBLE ASSETS | GOODWILL AND OTHER ACQUIRED INTANGIBLE ASSETS The following table summarizes the activity in goodwill for the periods indicated: Six Months Ended June 30, 2021 MIS MA Consolidated Gross goodwill Accumulated impairment Net Gross goodwill Accumulated Net Gross goodwill Accumulated Net Balance at beginning $ 311 $ — $ 311 $ 4,257 $ (12) $ 4,245 $ 4,568 $ (12) $ 4,556 Additions/ adjustments (1) — — — 95 — 95 95 — 95 Foreign currency translation adjustments 1 — 1 (62) — (62) (61) — (61) Ending balance $ 312 $ — $ 312 $ 4,290 $ (12) $ 4,278 $ 4,602 $ (12) $ 4,590 Year Ended December 31, 2020 MIS MA Consolidated Gross goodwill Accumulated impairment charge Net goodwill Gross goodwill Accumulated impairment charge Net goodwill Gross goodwill Accumulated impairment charge Net goodwill Balance at beginning $ 315 $ — $ 315 $ 3,419 $ (12) $ 3,407 $ 3,734 $ (12) $ 3,722 Additions/ adjustments (2) (2) — (2) 628 — 628 626 — 626 Foreign currency translation (2) — (2) 210 — 210 208 — 208 Ending balance $ 311 $ — $ 311 $ 4,257 $ (12) $ 4,245 $ 4,568 $ (12) $ 4,556 (1) The 2021 additions/adjustments for the MA segment in the table above relate to the acquisition of Cortera. (2) The 2020 additions/adjustments for the MA segment in the table above relate to the acquisitions of RDC, AM, ZMFS, and Catylist. Acquired intangible assets and related amortization consisted of: June 30, December 31, Customer relationships $ 1,611 $ 1,623 Accumulated amortization (347) (313) Net customer relationships 1,264 1,310 Software/product technology 442 441 Accumulated amortization (195) (177) Net software/product technology 247 264 Database 181 144 Accumulated amortization (37) (29) Net database 144 115 Trade names 160 161 Accumulated amortization (42) (38) Net trade names 118 123 Other (1) 54 55 Accumulated amortization (43) (43) Net other 11 12 Total acquired intangible assets, net $ 1,784 $ 1,824 (1) Other intangible assets primarily consist of trade secrets, covenants not to compete, and acquired ratings methodologies and models. Amortization expense relating to acquired intangible assets is as follows: Three Months Ended Six Months Ended 2021 2020 2021 2020 Amortization expense $ 36 $ 31 $ 71 $ 59 Estimated future amortization expense for acquired intangible assets subject to amortization is as follows: Year Ending December 31, 2021 (After June 30,) $ 63 2022 133 2023 129 2024 125 2025 121 Thereafter 1,213 Total estimated future amortization $ 1,784 Matters concerning the ICRA reporting unit ICRA has reported various matters relating to: (i) an adjudication order and fine imposed by the Securities and Exchange Board of India (SEBI) in connection with credit ratings assigned to one of ICRA’s customers and the customer’s subsidiaries, which are being appealed by ICRA; (ii) an increase in the original fine, which also is being appealed by ICRA; (iii) the completion of internal examinations regarding various anonymous complaints; and (iv) actions taken by ICRA’s board based on the examinations’ findings. As of the date of this quarterly report on Form 10-Q, the Company is unable to estimate the financial impact, if any, that may result from a potential unfavorable conclusion of these matters or any other ICRA inquiry. An unfavorable resolution of such matters may negatively impact ICRA’s future operating results, which could result in an impairment of goodwill and amortizable intangible assets in future quarters. |
RESTRUCTURING
RESTRUCTURING | 6 Months Ended |
Jun. 30, 2021 | |
Restructuring and Related Activities [Abstract] | |
RESTRUCTURING | RESTRUCTURING On December 22, 2020, the chief executive officer of Moody’s approved a restructuring program (the “2020 MA Strategic Reorganization Restructuring Program”) that the Company estimates will result in annualized savings of $20 million per year. This program relates to a strategic reorganization in the MA reportable segment consisting of severance and related costs primarily determined under the Company’s existing severance plans. The 2020 MA Strategic Reorganization Restructuring Program resulted in a total of $20 million in pre-tax charges and is substantially complete at June 30, 2021. Cash outlays associated with this program are expected to be $20 million, which will be paid through 2022. Total expense included in the accompanying consolidated statements of operations relating to the aforementioned restructuring program is below: Three Months Ended Six Months Ended 2021 2020 2021 2020 2020 MA Strategic Reorganization Restructuring Program $ — $ — $ 2 $ — Changes to the restructuring liability for the aforementioned restructuring program during the first six months of 2021 were as follows: Employee Termination Costs Balance as of December 31, 2020 $ 18 2020 MA Strategic Reorganization Restructuring Program: Cost incurred and adjustments 2 Cash payments and adjustments (8) Balance as of June 30, 2021 $ 12 Cumulative expense incurred to date 2020 MA Strategic Reorganization Restructuring Program: $ 20 As of June 30, 2021, the remaining $12 million restructuring liability related to the 2020 MA Strategic Reorganization Restructuring Program is expected to be paid out through 2022. |
FAIR VALUE
FAIR VALUE | 6 Months Ended |
Jun. 30, 2021 | |
Fair Value Disclosures [Abstract] | |
FAIR VALUE | FAIR VALUE The table below presents information about items that are carried at fair value at June 30, 2021 and December 31, 2020: Fair value Measurement as of June 30, 2021 Description Balance Level 1 Level 2 Assets: Derivatives (1) $ 66 $ — $ 66 Mutual funds 60 60 — Total $ 126 $ 60 $ 66 Liabilities: Derivatives (1) $ 112 $ — $ 112 Total $ 112 $ — $ 112 Fair value Measurement as of December 31, 2020 Description Balance Level 1 Level 2 Assets: Derivatives (1) $ 88 $ — $ 88 Mutual funds 60 60 — Total $ 148 $ 60 $ 88 Liabilities: Derivatives (1) $ 186 $ — $ 186 Total $ 186 $ — $ 186 (1) Represents FX forward contracts, interest rate swaps and cross-currency swaps as more fully described in Note 9 to the condensed consolidated financial statements. The following are descriptions of the methodologies utilized by the Company to estimate the fair value of its derivative contracts, mutual funds and money market mutual funds: Derivatives: In determining the fair value of the derivative contracts in the table above, the Company utilizes industry standard valuation models. Where applicable, these models project future cash flows and discount the future amounts to a present value using spot rates, forward points, currency volatilities, interest rates as well as the risk of non-performance of the Company and the counterparties with whom it has derivative contracts. The Company established strict counterparty credit guidelines and only enters into transactions with financial institutions that adhere to these guidelines. Accordingly, the risk of counterparty default is deemed to be minimal. Mutual funds and money market mutual funds: The mutual funds in the table above are deemed to be equity securities with readily determinable fair values with changes in the fair value recognized through net income under ASC Topic 321. The fair value of these instruments is determined using Level 1 inputs as defined in the ASC Topic 820. |
OTHER BALANCE SHEET AND STATEME
OTHER BALANCE SHEET AND STATEMENT OF OPERATIONS INFORMATION | 6 Months Ended |
Jun. 30, 2021 | |
Other Balance Sheet And Statement Of Operations Information [Abstract] | |
OTHER BALANCE SHEET AND STATEMENT OF OPERATIONS INFORMATION | OTHER BALANCE SHEET AND STATEMENTS OF OPERATIONS INFORMATION The following tables contain additional detail related to certain balance sheet captions: June 30, 2021 December 31, 2020 Other current assets: Prepaid taxes $ 125 $ 94 Prepaid expenses 78 91 Capitalized costs to obtain and fulfill sales contracts 92 93 Foreign exchange forwards on certain assets and liabilities 3 31 Derivative instruments designated as accounting hedges 19 — Other 62 74 Total other current assets $ 379 $ 383 Other assets: Investments in non-consolidated affiliates $ 151 $ 135 Deposits for real-estate leases 14 19 Indemnification assets related to acquisitions 15 15 Mutual funds and fixed deposits 83 66 Company owned life insurance (at contract value) 36 17 Costs to obtain sales contracts 142 134 Derivative instruments designated as accounting hedges 44 57 Pension and other retirement employee benefits 19 21 Other 52 51 Total other assets $ 556 $ 515 Accounts payable and accrued liabilities: Salaries and benefits $ 149 $ 197 Incentive compensation 134 226 Customer credits, advanced payments and advanced billings 60 42 Dividends 5 11 Professional service fees 60 53 Interest accrued on debt 72 82 Accounts payable 18 39 Income taxes 108 128 Pension and other retirement employee benefits 46 45 Accrued royalties 23 19 Foreign exchange forwards on certain assets and liabilities 26 2 Restructuring liability 12 18 Derivative instruments designated as accounting hedges 1 39 Other 102 138 Total accounts payable and accrued liabilities $ 816 $ 1,039 June 30, 2021 December 31, 2020 Other liabilities: Pension and other retirement employee benefits $ 211 $ 244 Interest accrued on UTPs 75 113 MAKS indemnification provisions 33 33 Income tax liability - non-current portion 18 18 Derivative instruments designated as accounting hedges 85 145 Other 38 37 Total other liabilities $ 460 $ 590 Loss pursuant to the Divestiture of MAKS: The $9 million loss during the six months ended June 30, 2020 relates to customary post-closing completion adjustments pursuant to the fourth quarter 2019 divestiture of MAKS. Other Non-Operating Income (Expense): The following table summarizes the components of other non-operating income (expense): Three Months Ended June 30, Six Months Ended June 30, 2021 2020 2021 2020 FX gain (loss) $ 2 $ (8) $ — $ 5 Net periodic pension costs - other components (1) (3) 4 1 7 Income/(loss) from investments in non-consolidated affiliates 1 3 9 — Other 6 17 12 16 Total $ 6 $ 16 $ 22 $ 28 (1) The amounts for the three and six months ended June 30, 2021 include a $7 million loss related to a settlement of pension obligations |
COMPREHENSIVE INCOME AND ACCUMU
COMPREHENSIVE INCOME AND ACCUMULATED OTHER COMPREHENSIVE LOSS | 6 Months Ended |
Jun. 30, 2021 | |
Equity [Abstract] | |
COMPREHENSIVE INCOME AND ACCUMULATED OTHER COMPREHENSIVE LOSS | COMPREHENSIVE INCOME AND ACCUMULATED OTHER COMPREHENSIVE LOSS The following table provides details about the reclassifications out of AOCL: Three Months Ended June 30, Location in the consolidated statements of operations 2021 2020 Gains on net investment hedges FX forwards $ 1 $ — Other non-operating income, net Income tax effect of item above (1) — Provision for income taxes Total net gains on net investment hedges — — Pension and other retirement benefits Amortization of actuarial losses and prior service costs included in net income (3) (1) Other non-operating income, net Settlement charge (7) — Other non-operating income, net Total before income taxes (10) (1) Income tax effect of items above 2 — Provision for income taxes Total pension and other retirement benefits (8) (1) Total net losses included in Net Income attributable to reclassifications out of AOCL $ (8) $ (1) Six Months Ended June 30, Location in the consolidated statements of operations Losses on cash flow hedges 2021 2020 Interest rate contract $ (1) $ (1) Other non-operating income, net Income tax effect of item above — — Provision for income taxes Total net losses on cash flow hedges (1) (1) Gains on net investment hedges FX forwards 2 — Other non-operating income, net Income tax effect of item above (1) — Provision for income taxes Total net gains on net investment hedges 1 — Pension and other retirement benefits Amortization of actuarial losses and prior service costs included in net income (6) (3) Other non-operating income, net Settlement charge (7) — Other non-operating income, net Total before income taxes (13) (3) Income tax effect of items above 3 1 Provision for income taxes Total pension and other retirement benefits (10) (2) Total net losses included in Net Income attributable to reclassifications out of AOCL $ (10) $ (3) The following tables show changes in AOCL by component (net of tax): Three Months Ended June 30, 2021 2020 Gains/(Losses) Pension and Other Retirement Benefits Cash Flow Hedges Foreign Currency Translation Adjustments Net Investment Hedges Total Pension and Other Retirement Benefits Cash Flow Hedges Foreign Currency Translation Adjustments Net Investment Hedges Total Balance March 31, $ (116) $ (48) $ (188) $ (88) $ (440) $ (92) $ (35) $ (570) $ 143 $ (554) Other comprehensive income/(loss) before reclassifications — — 36 (29) 7 7 (14) 91 (73) 11 Amounts reclassified from AOCL 8 — — — 8 1 — — — 1 Other comprehensive income/(loss) 8 — 36 (29) 15 8 (14) 91 (73) 12 Balance June 30, $ (108) $ (48) $ (152) $ (117) $ (425) $ (84) $ (49) $ (479) $ 70 $ (542) Six Months Ended June 30, 2021 2020 Gains/(Losses) Pension and Other Retirement Benefits Cash Flow Hedges Foreign Currency Translation Adjustments Net Investment Hedges Total Pension and Other Retirement Benefits Cash Flow Hedges Foreign Currency Translation Adjustments Net Investment Hedges Total Balance December 31, $ (118) $ (49) $ (45) $ (220) $ (432) $ (92) $ — $ (401) $ 54 $ (439) Other comprehensive income/(loss) before reclassifications — — (107) 104 (3) 6 (50) (78) 16 (106) Amounts reclassified from AOCL 10 1 — (1) 10 2 1 — — 3 Other comprehensive income/(loss) 10 1 (107) 103 7 8 (49) (78) 16 (103) Balance June 30, $ (108) $ (48) $ (152) $ (117) $ (425) $ (84) $ (49) $ (479) $ 70 $ (542) |
PENSION AND OTHER RETIREMENT BE
PENSION AND OTHER RETIREMENT BENEFITS | 6 Months Ended |
Jun. 30, 2021 | |
Retirement Benefits [Abstract] | |
PENSION AND OTHER RETIREMENT BENEFITS | PENSION AND OTHER RETIREMENT BENEFITS Moody’s maintains funded and unfunded noncontributory DBPPs. The DBPPs provide defined benefits using a cash balance formula based on years of service and career average salary for its employees or final average pay for selected executives. The Company also provides certain healthcare and life insurance benefits for retired U.S. employees. The retirement healthcare plans are contributory; the life insurance plans are noncontributory. Moody’s funded and unfunded U.S. pension plans, the U.S. retirement healthcare plans and the U.S. retirement life insurance plans are collectively referred to herein as the “Retirement Plans”. The U.S. retirement healthcare plans and the U.S. retirement life insurance plans are collectively referred to herein as the “Other Retirement Plans.” The non-U.S. defined benefit pension plans are immaterial. Through 2007, substantially all U.S. employees were eligible to participate in the Company’s DBPPs. Effective January 1, 2008, the Company no longer offers DBPPs to U.S. employees hired or rehired on or after January 1, 2008 and new hires in the U.S. instead will receive a retirement contribution in similar benefit value under the Company’s Profit Participation Plan. Current participants of the Company’s Retirement Plans and Other Retirement Plans continue to accrue benefits based on existing plan formulas. The components of net periodic benefit expense related to the Retirement Plans and Other Retirement Plans are as follows: Three Months Ended June 30, Pension Plans Other Retirement Plans 2021 2020 2021 2020 Components of net periodic expense Service cost $ 5 $ 3 $ 1 $ 1 Interest cost 3 5 1 — Expected return on plan assets (6) (5) — — Amortization of net actuarial loss from earlier periods 3 1 — — Loss on settlement of pension obligation 7 — — — Net periodic expense $ 12 $ 4 $ 2 $ 1 Six Months Ended June 30, Pension Plans Other Retirement Plans 2021 2020 2021 2020 Components of net periodic expense Service cost $ 10 $ 8 $ 2 $ 2 Interest cost 7 9 1 — Expected return on plan assets (13) (10) — — Amortization of net actuarial loss from earlier periods 5 3 — — Loss on settlement of pension obligation 7 — — — Net periodic expense $ 16 $ 10 $ 3 $ 2 |
INDEBTEDNESS
INDEBTEDNESS | 6 Months Ended |
Jun. 30, 2021 | |
Debt Disclosure [Abstract] | |
INDEBTEDNESS | INDEBTEDNESS The Company’s debt is recorded at its carrying amount, which represents the issuance amount plus or minus any issuance premium or discount, except for the 2012 Senior Notes due 2022, the 2017 Senior Notes due 2023, the 2017 Senior Notes due 2028 and the 2020 Senior Notes due 2025, which are recorded at the carrying amount adjusted for the fair value of an interest rate swap used to hedge the fair value of the note. The following table summarizes total indebtedness: June 30, 2021 Notes Payable: Principal Amount Fair Value of Interest Rate Swaps (1) Unamortized (Discount) Premium Unamortized Debt Issuance Costs Carrying Value 4.50% 2012 Senior Notes, due 2022 $ 500 $ 10 $ — $ — $ 510 4.875% 2013 Senior Notes, due 2024 500 — (1) (1) 498 5.25% 2014 Senior Notes, due 2044 600 — 3 (5) 598 1.75% 2015 Senior Notes, due 2027 593 — — (2) 591 2.625% 2017 Senior Notes, due 2023 500 9 — (1) 508 3.25% 2017 Senior Notes, due 2028 500 18 (4) (3) 511 4.25% 2018 Senior Notes, due 2029 400 — (2) (3) 395 4.875% 2018 Senior Notes, due 2048 400 — (6) (4) 390 0.950% 2019 Senior Notes, due 2030 889 — (3) (6) 880 3.75% 2020 Senior Notes, due 2025 700 (5) (1) (4) 690 3.25% 2020 Senior Notes, due 2050 300 — (4) (3) 293 2.55% 2020 Senior Notes, due 2060 500 — (4) (5) 491 Total long-term debt $ 6,382 $ 32 $ (22) $ (37) $ 6,355 December 31, 2020 Notes Payable: Principal Amount Fair Value of Interest Rate Swaps (1) Unamortized (Discount) Premium Unamortized Debt Issuance Costs Carrying Value 4.50% 2012 Senior Notes, due 2022 $ 500 $ 14 $ (1) $ (1) $ 512 4.875% 2013 Senior Notes, due 2024 500 — (1) (1) 498 5.25% 2014 Senior Notes, due 2044 600 — 3 (5) 598 1.75% 2015 Senior Notes, due 2027 612 — — (2) 610 2.625% 2017 Senior Notes, due 2023 500 12 — (2) 510 3.25% 2017 Senior Notes, due 2028 500 31 (4) (3) 524 4.25% 2018 Senior Notes, due 2029 400 — (3) (3) 394 4.875% 2018 Senior Notes, due 2048 400 — (6) (4) 390 0.950% 2019 Senior Notes, due 2030 918 — (3) (6) 909 3.75% 2020 Senior Notes, due 2025 700 (1) (1) (5) 693 3.25% 2020 Senior Notes, due 2050 300 — (4) (3) 293 2.55% 2020 Senior Notes, due 2060 500 — (4) (5) 491 Total long-term debt $ 6,430 $ 56 $ (24) $ (40) $ 6,422 (1) The fair value of interest rate swaps in the table above represents the cumulative amount of fair value hedging adjustments included in the carrying amount of the hedged debt. Notes Payable At June 30, 2021, the Company was in compliance with all covenants contained within all of the debt agreements. All the debt agreements contain cross default provisions which state that default under one of the aforementioned debt instruments could in turn permit lenders under other debt instruments to declare borrowings outstanding under those instruments to be immediately due and payable. As of June 30, 2021, there were no such cross defaults. The repayment schedule for the Company’s borrowings is as follows: Year Ending December 31, 2012 Senior Notes due 2022 2013 Senior Notes due 2024 2014 Senior Notes due 2044 2015 Senior Notes due 2027 2017 Senior Notes due 2023 2017 Senior Notes due 2028 2018 Senior Notes due 2029 2018 Senior Notes due 2048 2019 Senior Notes due 2030 2020 Senior Notes due 2025 2020 Senior Notes due 2050 2020 Senior Notes due 2060 Total 2021 (After June 30,) $ — $ — $ — $ — $ — $ — $ — $ — $ — $ — $ — $ — $ — 2022 500 — — — — — — — — — — — 500 2023 — — — — 500 — — — — — — — 500 2024 — 500 — — — — — — — — — — 500 2025 — — — — — — — — — 700 — — 700 Thereafter — — 600 593 — 500 400 400 889 — 300 500 4,182 Total $ 500 $ 500 $ 600 $ 593 $ 500 $ 500 $ 400 $ 400 $ 889 $ 700 $ 300 $ 500 $ 6,382 Interest expense, net The following table summarizes the components of interest as presented in the consolidated statements of operations and the cash paid for interest: Three Months Ended Six Months Ended 2021 2020 2021 2020 Income $ 1 $ 3 $ 4 $ 7 Expense on borrowings (41) (48) (82) (79) Income (expense) on UTPs and other tax related liabilities (2) (5) (10) 30 (18) Net periodic pension costs - interest component (4) (5) (8) (10) Interest expense, net $ (49) $ (60) $ (56) $ (100) Interest paid (1) $ 13 $ 23 $ 86 $ 72 (1) Interest paid includes net settlements on interest rate swaps more fully discussed in Note 9. (2) Income (expense) on UTPs and other tax related liabilities for the six months ended June 30, 2021 includes a $40 million benefit relating to the reversal of tax-related interest accruals pursuant to the resolution of tax matters. The fair value and carrying value of the Company’s debt as of June 30, 2021 and December 31, 2020 are as follows: June 30, 2021 December 31, 2020 Carrying Amount Estimated Fair Value Carrying Amount Estimated Fair Value 4.50% 2012 Senior Notes, due 2022 $ 510 $ 522 $ 512 $ 530 4.875% 2013 Senior Notes, due 2024 498 551 498 562 5.25% 2014 Senior Notes, due 2044 598 808 598 828 1.75% 2015 Senior Notes, due 2027 591 643 610 674 2.625% 2017 Senior Notes, due 2023 508 516 510 522 3.25% 2017 Senior Notes, due 2028 511 550 524 561 4.25% 2018 Senior Notes, due 2029 395 465 394 480 4.875% 2018 Senior Notes, due 2048 390 527 390 544 0.950% 2019 Senior Notes, due 2030 880 919 909 974 3.75% 2020 Senior Notes, due 2025 690 768 693 785 3.25% 2020 Senior Notes, due 2050 293 313 293 329 2.55% 2020 Senior Notes, due 2060 491 442 491 467 Total $ 6,355 $ 7,024 $ 6,422 $ 7,256 The fair value of the Company’s long-term debt is estimated based on quoted market prices for similar instruments. Accordingly, the inputs used to estimate the fair value of the Company’s long-term debt are classified as Level 2 inputs within the fair value hierarchy. |
LEASES
LEASES | 6 Months Ended |
Jun. 30, 2021 | |
Leases [Abstract] | |
LEASES | LEASES The Company has operating leases, substantially all of which relate to the lease of office space. The Company’s leases which are classified as finance leases are not material to the consolidated financial statements. Certain of the Company’s leases include options to renew, with renewal terms that can extend the lease term from one year to 20 years at the Company’s discretion. The following table presents the components of the Company’s lease cost: Three Months Ended Six Months Ended 2021 2020 2021 2020 Operating lease cost $ 23 $ 24 $ 47 $ 48 Sublease income (1) (1) (2) (2) Variable lease cost 5 5 10 10 Total lease cost $ 27 $ 28 $ 55 $ 56 The following tables present other information related to the Company’s operating leases: Three Months Ended June 30, Six Months Ended June 30, 2021 2020 2021 2020 Cash paid for amounts included in the measurement of operating lease liabilities $ 28 $ 27 $ 56 $ 53 Right-of-use assets obtained in exchange for new operating lease liabilities $ 2 $ 11 $ 6 $ 20 June 30, 2021 June 30, 2020 Weighted-average remaining lease term 5.6 years 6.5 years Weighted-average discount rate applied to operating leases 3.6 % 3.6 % The following table presents a maturity analysis of the future minimum lease payments included within the Company’s operating lease liabilities at June 30, 2021: Year Ending December 31, Operating Leases 2021 (After June 30) $ 55 2022 100 2023 94 2024 85 2025 77 After 2025 117 Total lease payments (undiscounted) 528 Less: Interest 50 Present value of lease liabilities: $ 478 Lease liabilities - current $ 92 Lease liabilities - noncurrent $ 386 |
CONTINGENCIES
CONTINGENCIES | 6 Months Ended |
Jun. 30, 2021 | |
Commitments and Contingencies Disclosure [Abstract] | |
CONTINGENCIES | CONTINGENCIES Given the nature of the Company's activities, Moody’s and its subsidiaries are subject to legal and tax proceedings, governmental, regulatory and legislative investigations, subpoenas and other inquiries, and claims and litigation by governmental and private parties that are based on ratings assigned by MIS or that are otherwise incidental to the Company’s business. Moody’s and MIS also are subject to periodic reviews, inspections, examinations and investigations by regulators in the U.S. and other jurisdictions, any of which may result in claims, legal proceedings, assessments, fines, penalties or restrictions on business activities. Moody’s also is subject to ongoing tax audits as addressed in Note 5 to the consolidated financial statements. Management periodically assesses the Company’s liabilities and contingencies in connection with these matters based upon the latest information available. For claims, litigation and proceedings and governmental investigations and inquiries not related to income taxes, the Company records liabilities in the consolidated financial statements when it is both probable that a liability has been incurred and the amount of loss can be reasonably estimated and periodically adjusts these as appropriate. When the reasonable estimate of the loss is within a range of amounts, the minimum amount of the range is accrued unless some higher amount within the range is a better estimate than another amount within the range. In instances when a loss is reasonably possible but uncertainties exist related to the probable outcome and/or the amount or range of loss, management does not record a liability but discloses the contingency if material. As additional information becomes available, the Company adjusts its assessments and estimates of such matters accordingly. Moody’s also discloses material pending legal proceedings pursuant to SEC rules and other pending matters as it may determine to be appropriate. In view of the inherent difficulty of assessing the potential outcome of legal proceedings, governmental, regulatory and legislative investigations and inquiries, claims and litigation and similar matters and contingencies, particularly when the claimants seek large or indeterminate damages or assert novel legal theories or the matters involve a large number of parties, the Company often cannot predict what the eventual outcome of the pending matters will be or the timing of any resolution of such matters. The Company also may be unable to predict the impact (if any) that any such matters may have on how its business is conducted, on its competitive position or on its financial position, results of operations or cash flows. As the process to resolve any pending matters progresses, management will continue to review the latest information available and assess its ability to predict the outcome of such matters and the effects, if any, on its operations and financial condition and to accrue for and disclose such matters as and when required. However, because such matters are inherently unpredictable and unfavorable developments or resolutions can occur, the ultimate outcome of such matters, including the amount of any loss, may differ from those estimates. |
SEGMENT INFORMATION
SEGMENT INFORMATION | 6 Months Ended |
Jun. 30, 2021 | |
Segment Reporting [Abstract] | |
SEGMENT INFORMATION | SEGMENT INFORMATION The Company is organized into two operating segments: MIS and MA and accordingly, the Company reports in two reportable segments: MIS and MA. The MIS segment consists of five LOBs. The CFG, FIG, PPIF and SFG LOBs generate revenue principally from fees for the assignment and ongoing monitoring of credit ratings on debt obligations and the entities that issue such obligations in markets worldwide. The MIS Other LOB primarily consists of financial instruments pricing services in the Asia-Pacific region, ICRA non-ratings revenue and revenue from providing ESG research, data and assessments. The MA segment develops a wide range of products and services that support the risk management activities of institutional participants in global financial markets. The MA segment consists of two LOBs - RD&A and ERS. Revenue for MIS and expenses for MA include intersegment fees charged to MA for the rights to use and distribute content, data and products developed by MIS. Additionally, revenue for MA and expenses for MIS include an intersegment fee charged to MIS from MA for certain MA products and services utilized in MIS’s ratings process. These intersegment fees are generally based on the market value of the products and services being transferred between the segments. Overhead expenses include costs such as rent and occupancy, information technology and support staff such as finance, human resources and legal. Such costs and corporate expenses that exclusively benefit one segment are fully charged to that segment. For overhead costs and corporate expenses that benefit both segments, costs are allocated to each segment based on the segment’s share of full-year 2019 actual revenue which comprises a “Baseline Pool” that will remain fixed over time. In subsequent periods, incremental overhead costs (or reductions thereof) will be allocated to each segment based on the prevailing shares of total revenue represented by each segment. “Eliminations” in the following table represent intersegment revenue/expense. Moody’s does not report the Company’s assets by reportable segment, as this metric is not used by the chief operating decision maker to allocate resources to the segments. Consequently, it is not practical to show assets by reportable segment. Financial Information by Segment The table below shows revenue, operating income and Adjusted Operating Income by reportable segment. Adjusted Operating Income is a financial metric utilized by the Company’s chief operating decision maker to assess the profitability of each reportable segment. Refer to Note 3 for further details on the components of the Company’s revenue. Three Months Ended June 30, 2021 2020 MIS MA Eliminations Consolidated MIS MA Eliminations Consolidated Revenue $ 1,022 $ 575 $ (44) $ 1,553 $ 973 $ 499 $ (37) $ 1,435 Total Expenses 362 434 (44) 752 369 393 (37) 725 Operating income 660 141 — 801 604 106 — 710 Add: Depreciation and 18 42 — 60 19 39 — 58 Restructuring — — — — — (2) — (2) Adjusted Operating Income $ 678 $ 183 $ — $ 861 $ 623 $ 143 $ — $ 766 Six Months Ended June 30, 2021 2020 MIS MA Eliminations Consolidated MIS MA Eliminations Consolidated Revenue $ 2,098 $ 1,141 $ (86) $ 3,153 $ 1,804 $ 997 $ (76) $ 2,725 Total Expenses 728 857 (86) 1,499 712 787 (76) 1,423 Operating income 1,370 284 — 1,654 1,092 210 — 1,302 Add: Depreciation and 36 83 — 119 35 72 — 107 Restructuring — 2 — 2 (1) (2) — (3) Loss pursuant to the divestiture of MAKS — — — — — 9 — 9 Adjusted Operating Income $ 1,406 $ 369 $ — $ 1,775 $ 1,126 $ 289 $ — $ 1,415 Consolidated Revenue Information by Geographic Area Three Months Ended June 30, Six Months Ended June 30, 2021 2020 2021 2020 United States $ 831 $ 837 $ 1,716 $ 1,551 Non-U.S.: EMEA 481 373 959 736 Asia-Pacific 155 144 311 280 Americas 86 81 167 158 Total Non-U.S. 722 598 1,437 1,174 Total $ 1,553 $ 1,435 $ 3,153 $ 2,725 |
SUBSEQUENT EVENTS
SUBSEQUENT EVENTS | 6 Months Ended |
Jun. 30, 2021 | |
Subsequent Events [Abstract] | |
SUBSEQUENT EVENTS | SUBSEQUENT EVENTOn July 27, 2021, the Board approved the declaration of a quarterly dividend of $0.62 per share of Moody’s common stock, payable on September 10, 2021 to shareholders of record at the close of business on August 20, 2021. |
Summary of Significant Accoun_2
Summary of Significant Accounting Policies (Policies) | 6 Months Ended |
Jun. 30, 2021 | |
Accounting Policies [Abstract] | |
Goodwill | Goodwill Moody’s evaluates its goodwill for impairment at the reporting unit level, defined as an operating segment (i.e., MIS and MA), or one level below an operating segment (i.e., a component of an operating segment), annually as of July 31 or more frequently if impairment indicators arise in accordance with ASC Topic 350. The Company evaluates the recoverability of goodwill using a two-step impairment test approach at the reporting unit level. In the first step, the Company assesses various qualitative factors to determine whether the fair value of a reporting unit may be less than its carrying amount. If a determination is made based on the qualitative factors that an impairment does not exist, the Company is not required to perform further testing. If the aforementioned qualitative assessment results in the Company concluding that it is more likely than not that the fair value of a reporting unit may be less than its carrying amount, the fair value of the reporting unit will be quantitatively determined and compared to its carrying value including goodwill. If the fair value of the reporting unit exceeds the carrying value of the net assets assigned to that unit, goodwill is not impaired and the Company is not required to perform further testing. If the fair value of the reporting unit is less than the carrying value, the Company will record a goodwill impairment charge for the amount by which the carrying value exceeds the reporting unit’s fair value. The Company evaluates its reporting units on an annual basis, or more frequently if there are changes in the reporting structure of the Company due to acquisitions, reporting unit realignments or if there are indicators of potential impairment. For the reporting units where the Company is consistently able to conclude that no impairment exists using only a qualitative approach, the Company’s accounting policy is to perform the second step of the aforementioned goodwill impairment assessment at least once every three years. Goodwill is assigned to a reporting unit at the date when an acquisition is integrated into one of the established reporting units, and is based on which reporting unit is expected to benefit from the synergies of the acquisition. Prior to the second quarter of 2021, MA's reporting unit structure consisted of five reporting units (Content, ERS, MALS, Bureau van Dijk and Reis). Pursuant to a strategic reorganization in the MA segment which was completed in the second quarter of 2021, MA's reporting unit structure has been reorganized into two reporting units. MA’s two new reporting units generally consist of: i) businesses offering data and data-driven analytical solutions; and ii) risk-management software, workflow and CRE solutions. The Company performed qualitative assessments of the reporting units impacted by the reorganization immediately before and after the reorganization became effective. These qualitative assessments resulted in the Company determining that it was not more likely than not that the fair value of any reporting unit was less than its carrying amount. |
REVENUES (Tables)
REVENUES (Tables) | 6 Months Ended |
Jun. 30, 2021 | |
Revenue from Contract with Customer [Abstract] | |
Disaggregation of Revenue | The following table presents the Company’s revenues disaggregated by LOB: Three Months Ended Six Months Ended 2021 2020 2021 2020 MIS: Corporate finance (CFG) Investment-grade $ 102 $ 291 $ 236 $ 435 High-yield 124 99 265 174 Bank loans 157 43 337 132 Other accounts (1) 167 139 317 284 Total CFG 550 572 1,155 1,025 Financial institutions (FIG) Banking 101 88 210 174 Insurance 33 44 76 74 Managed investments 13 8 21 14 Other accounts 3 2 5 5 Total FIG 150 142 312 267 Public, project and infrastructure finance (PPIF) Public finance / sovereign 63 64 130 121 Project and infrastructure 67 69 143 121 Total PPIF 130 133 273 242 Structured finance (SFG) Asset-backed securities 33 23 59 45 RMBS 31 23 58 50 CMBS 23 13 47 30 Structured credit 53 21 91 50 Other accounts — 1 1 2 Total SFG 140 81 256 177 Total ratings revenue 970 928 1,996 1,711 MIS Other 10 10 20 21 Total external revenue 980 938 2,016 1,732 Intersegment revenue 42 35 82 72 Total MIS 1,022 973 2,098 1,804 MA: Research, data and analytics (RD&A) 435 366 854 724 Enterprise risk solutions (ERS) 138 131 283 269 Total external revenue 573 497 1,137 993 Intersegment revenue 2 2 4 4 Total MA 575 499 1,141 997 Eliminations (44) (37) (86) (76) Total MCO $ 1,553 $ 1,435 $ 3,153 $ 2,725 (1) Other includes: recurring monitoring fees of a rated debt obligation and/or entities that issue such obligations as well as fees from programs such as commercial paper, medium term notes, and ICRA corporate finance revenue. The following table presents the Company’s revenues disaggregated by LOB and geographic area: Three Months Ended June 30, 2021 Three Months Ended June 30, 2020 U.S. Non-U.S Total U.S. Non-U.S Total MIS: Corporate finance $ 345 $ 205 $ 550 $ 413 $ 159 $ 572 Financial institutions 69 81 150 70 72 142 Public, project and infrastructure finance 79 51 130 87 46 133 Structured finance 88 52 140 45 36 81 Total ratings revenue 581 389 970 615 313 928 MIS Other 1 9 10 1 9 10 Total MIS 582 398 980 616 322 938 MA: Research, data and analytics 190 245 435 167 199 366 Enterprise risk solutions 59 79 138 54 77 131 Total MA 249 324 573 221 276 497 Total MCO $ 831 $ 722 $ 1,553 $ 837 $ 598 $ 1,435 Six Months Ended June 30, 2021 Six Months Ended June 30, 2020 U.S. Non-U.S Total U.S. Non-U.S Total MIS: Corporate finance $ 759 $ 396 $ 1,155 $ 727 $ 298 $ 1,025 Financial institutions 155 157 312 130 137 267 Public, project and infrastructure finance 157 116 273 155 87 242 Structured finance 156 100 256 106 71 177 Total ratings revenue 1,227 769 1,996 1,118 593 1,711 MIS Other 2 18 20 1 20 21 Total MIS 1,229 787 2,016 1,119 613 1,732 MA: Research, data and analytics 373 481 854 325 399 724 Enterprise risk solutions 114 169 283 107 162 269 Total MA 487 650 1,137 432 561 993 Total MCO $ 1,716 $ 1,437 $ 3,153 $ 1,551 $ 1,174 $ 2,725 The following tables summarize the split between transaction and recurring revenue. In the MIS segment, excluding MIS Other, transaction revenue represents the initial rating of a new debt issuance as well as other one-time fees while recurring revenue represents the recurring monitoring fees of a rated debt obligation and/or entities that issue such obligations, as well as revenue from programs such as commercial paper, medium-term notes and shelf registrations. In MIS Other, transaction revenue represents revenue from professional services and recurring revenue represents subscription-based revenues. In the MA segment, recurring revenue represents subscription-based revenues and software maintenance revenue. Transaction revenue in MA represents perpetual software license fees and revenue from software implementation services, risk management advisory projects, and training and certification services. Three Months Ended June 30, 2021 2020 Transaction Recurring Total Transaction Recurring Total Corporate Finance $ 427 $ 123 $ 550 $ 457 $ 115 $ 572 78 % 22 % 100 % 80 % 20 % 100 % Financial Institutions $ 79 $ 71 $ 150 $ 76 $ 66 $ 142 53 % 47 % 100 % 54 % 46 % 100 % Public, Project and Infrastructure Finance $ 88 $ 42 $ 130 $ 96 $ 37 $ 133 68 % 32 % 100 % 72 % 28 % 100 % Structured Finance $ 92 $ 48 $ 140 $ 35 $ 46 $ 81 66 % 34 % 100 % 43 % 57 % 100 % MIS Other $ — $ 10 $ 10 $ — $ 10 $ 10 — % 100 % 100 % — % 100 % 100 % Total MIS $ 686 $ 294 $ 980 $ 664 $ 274 $ 938 70 % 30 % 100 % 71 % 29 % 100 % Research, data and analytics $ 22 $ 413 $ 435 $ 16 $ 350 $ 366 5 % 95 % 100 % 4 % 96 % 100 % Enterprise risk solutions $ 16 $ 122 $ 138 $ 26 $ 105 $ 131 12 % 88 % 100 % 20 % 80 % 100 % Total MA $ 38 (1) $ 535 $ 573 $ 42 $ 455 $ 497 7 % 93 % 100 % 8 % 92 % 100 % Total Moody's Corporation $ 724 $ 829 $ 1,553 $ 706 $ 729 $ 1,435 47 % 53 % 100 % 49 % 51 % 100 % Six Months Ended June 30, 2021 2020 Transaction Recurring Total Transaction Recurring Total Corporate Finance $ 914 $ 241 $ 1,155 $ 795 $ 230 $ 1,025 79 % 21 % 100 % 78 % 22 % 100 % Financial Institutions $ 169 $ 143 $ 312 $ 136 $ 131 $ 267 54 % 46 % 100 % 51 % 49 % 100 % Public, Project and Infrastructure Finance $ 188 $ 85 $ 273 $ 165 $ 77 $ 242 69 % 31 % 100 % 68 % 32 % 100 % Structured Finance $ 158 $ 98 $ 256 $ 85 $ 92 $ 177 62 % 38 % 100 % 48 % 52 % 100 % MIS Other $ 2 $ 18 $ 20 $ 2 $ 19 $ 21 10 % 90 % 100 % 10 % 90 % 100 % Total MIS $ 1,431 $ 585 $ 2,016 $ 1,183 $ 549 $ 1,732 71 % 29 % 100 % 68 % 32 % 100 % Research, data and analytics $ 42 $ 812 $ 854 $ 34 $ 690 $ 724 5 % 95 % 100 % 5 % 95 % 100 % Enterprise risk solutions $ 39 $ 244 $ 283 $ 58 $ 211 $ 269 14 % 86 % 100 % 22 % 78 % 100 % Total MA $ 81 (1) $ 1,056 $ 1,137 $ 92 $ 901 $ 993 7 % 93 % 100 % 9 % 91 % 100 % Total Moody's Corporation $ 1,512 $ 1,641 $ 3,153 $ 1,275 $ 1,450 $ 2,725 48 % 52 % 100 % 47 % 53 % 100 % (1) Revenue from software implementation services and risk management advisory projects, while classified by management as transactional revenue, is recognized over time under the Revenue Accounting Standard (please also refer to the following table). The following table presents the timing of revenue recognition: Three Months Ended June 30, 2021 Six Months Ended June 30, 2021 MIS MA Total MIS MA Total Revenue recognized at a point in time $ 686 $ 20 $ 706 $ 1,431 $ 49 $ 1,480 Revenue recognized over time 294 553 847 585 1,088 1,673 Total $ 980 $ 573 $ 1,553 $ 2,016 $ 1,137 $ 3,153 Three Months Ended June 30, 2020 Six Months Ended June 30, 2020 MIS MA Total MIS MA Total Revenue recognized at a point in time $ 664 $ 20 $ 684 $ 1,183 $ 59 $ 1,242 Revenue recognized over time 274 477 751 549 934 1,483 Total $ 938 $ 497 $ 1,435 $ 1,732 $ 993 $ 2,725 |
Company's Reportable Segment Revenues Disaggregated by Segment and Geographic Region | The following table presents the Company’s reportable segment revenues disaggregated by segment and geographic region: Three Months Ended Six Months Ended 2021 2020 2021 2020 MIS: U.S. $ 582 $ 616 $ 1,229 $ 1,119 Non-U.S.: EMEA 248 183 496 354 Asia-Pacific 100 90 197 171 Americas 50 49 94 88 Total Non-U.S. 398 322 787 613 Total MIS 980 938 2,016 1,732 MA: U.S. 249 221 487 432 Non-U.S.: EMEA 233 190 463 382 Asia-Pacific 55 54 114 109 Americas 36 32 73 70 Total Non-U.S. 324 276 650 561 Total MA 573 497 1,137 993 Total MCO $ 1,553 $ 1,435 $ 3,153 $ 2,725 |
Schedule of Changes in the Deferred Revenue Balances | Significant changes in the deferred revenue balances during the three and six months ended June 30, 2021 and 2020 are as follows: Three Months Ended June 30, 2021 Three Months Ended June 30, 2020 MIS MA Total MIS MA Total Balance at March 31, $ 388 $ 940 $ 1,328 $ 379 $ 843 $ 1,222 Changes in deferred revenue Revenue recognized that was included in the deferred revenue balance at the beginning of the period (119) (338) (457) (115) (341) (456) Increases due to amounts billable excluding amounts recognized as revenue during the period 98 262 360 100 234 334 Effect of exchange rate changes 1 3 4 1 4 5 Total changes in deferred revenue (20) (73) (93) (14) (103) (117) Balance at June 30, $ 368 $ 867 $ 1,235 $ 365 $ 740 $ 1,105 Six Months Ended June 30, 2021 Six Months Ended June 30, 2020 MIS MA Total MIS MA Total Balance at December 31, $ 313 $ 874 $ 1,187 $ 322 $ 840 $ 1,162 Changes in deferred revenue Revenue recognized that was included in the deferred revenue balance at the beginning of the period (162) (565) (727) (167) (578) (1) (745) Increases due to amounts billable excluding amounts recognized as revenue during the period 219 555 774 213 478 (1) 691 Increases due to acquisitions during the period — 4 4 — 20 20 Effect of exchange rate changes (2) (1) (3) (3) (20) (23) Total changes in deferred revenue 55 (7) 48 43 (100) (57) Balance at June 30, $ 368 $ 867 $ 1,235 $ 365 $ 740 $ 1,105 Deferred revenue - current $ 279 $ 863 $ 1,142 $ 265 $ 736 1,001 Deferred revenue - noncurrent $ 89 $ 4 $ 93 $ 100 $ 4 104 |
STOCK-BASED COMPENSATION (Table
STOCK-BASED COMPENSATION (Tables) | 6 Months Ended |
Jun. 30, 2021 | |
Share-based Payment Arrangement, Noncash Expense [Abstract] | |
Stock-Based Compensation Cost and Associated Tax Benefit | Presented below is a summary of the stock-based compensation cost and associated tax benefit included in the accompanying consolidated statements of operations: Three Months Ended Six Months Ended 2021 2020 2021 2020 Stock-based compensation cost $ 41 $ 35 $ 86 $ 72 Tax benefit $ 10 $ 7 $ 21 $ 14 |
Weighted Average Assumptions used in Determining Fair Value for Options Granted | The following weighted average assumptions were used in determining the fair value for options granted in 2021: Expected dividend yield 0.89 % Expected stock volatility 28 % Risk-free interest rate 0.81 % Expected holding period 5.6 years |
Stock Option Exercises and Restricted Stock Vesting | The following tables summarize information relating to stock option exercises and restricted stock vesting: Six Months Ended 2021 2020 Exercise of stock options: Proceeds from stock option exercises $ 16 $ 23 Aggregate intrinsic value $ 35 $ 74 Tax benefit realized upon exercise $ 8 $ 18 Number of shares exercised 0.2 0.4 Vesting of restricted stock: Fair value of shares vested $ 187 $ 193 Tax benefit realized upon vesting $ 43 $ 45 Number of shares vested 0.7 0.8 Vesting of performance-based restricted stock: Fair value of shares vested $ 28 $ 70 Tax benefit realized upon vesting $ 7 $ 17 Number of shares vested 0.1 0.3 |
INCOME TAXES (Tables)
INCOME TAXES (Tables) | 6 Months Ended |
Jun. 30, 2021 | |
Income Tax Disclosure [Abstract] | |
Income Taxes Paid | The following table shows the amount the Company paid for income taxes: Six Months Ended June 30, 2021 2020 Income taxes paid $ 327 $ 111 |
WEIGHTED AVERAGE SHARES OUTST_2
WEIGHTED AVERAGE SHARES OUTSTANDING (Tables) | 6 Months Ended |
Jun. 30, 2021 | |
Earnings Per Share [Abstract] | |
Reconciliation of Basic to Diluted Shares Outstanding | Below is a reconciliation of basic to diluted shares outstanding: Three Months Ended June 30, Six Months Ended June 30, 2021 2020 2021 2020 Basic 186.7 187.7 187.0 187.6 Dilutive effect of shares issuable under stock-based compensation plans 1.2 1.3 1.2 1.7 Diluted 187.9 189.0 188.2 189.3 Anti-dilutive options to purchase common shares and restricted stock as well as contingently issuable restricted stock which are excluded from the table above 0.2 0.3 0.3 0.3 |
CASH EQUIVALENTS AND INVESTME_2
CASH EQUIVALENTS AND INVESTMENTS (Tables) | 6 Months Ended |
Jun. 30, 2021 | |
Cash and Cash Equivalents [Abstract] | |
Schedule of Cash and Cash Equivalents and Investments | The table below provides additional information on the Company’s cash equivalents and investments: As of June 30, 2021 Balance sheet location Cost Gains/(Losses) Fair Value Cash and cash equivalents Short-term Other Certificates of deposit and money market deposit accounts (1) $ 1,481 $ — $ 1,481 $ 1,370 $ 88 $ 23 Mutual funds $ 53 $ 7 $ 60 $ — $ — $ 60 As of December 31, 2020 Balance sheet location Cost Gains/(Losses) Fair Value Cash and cash Short-term Other Certificates of deposit and money market deposit accounts (1) $ 1,430 $ — $ 1,430 $ 1,325 $ 99 $ 6 Mutual funds $ 54 $ 6 $ 60 $ — $ — $ 60 (1) Consists of time deposits and money market deposit accounts. The remaining contractual maturities for the certificates of deposits classified as short-term investments were one month to 12 months at both June 30, 2021 and December 31, 2020. The remaining contractual maturities for the certificates of deposits classified in other assets are 13 months to 23 months at both June 30, 2021 and December 31, 2020. Time deposits with a maturity of less than 90 days at time of purchase are classified as cash and cash equivalents. |
ACQUISITIONS (Tables)
ACQUISITIONS (Tables) | 6 Months Ended |
Jun. 30, 2021 | |
Business Combination and Asset Acquisition [Abstract] | |
Schedule of Business Acquisitions, by Acquisition | The table below details the total consideration relating to the acquisition: Cash paid at closing $ 138 Additional consideration paid to sellers in 2021 (1) 1 Total consideration $ 139 (1) Represents additional consideration paid to the sellers following finalization of customary post-closing completion adjustments. The table below details the total consideration relating to the acquisition: Cash paid at closing $ 700 Additional consideration paid to sellers in 2020 (1) 2 Total consideration $ 702 (1) Represents additional consideration paid to the sellers following finalization of customary post-closing completion adjustments. |
Schedule of Recognized Identified Assets Acquired and Liabilities Assumed | Shown below is the preliminary purchase price allocation, which summarizes the fair value of the assets and liabilities assumed, at the date of acquisition: Current assets $ 7 Intangible assets: Database (10 year useful life) $ 38 Customer relationships (18 year useful life) 9 Product technology (8 year useful life) 9 Trade name (5 year useful life) 1 Total intangible assets (11 year weighted average useful life) 57 Goodwill 95 Other assets 2 Liabilities: Accounts payable and accrued liabilities $ (1) Deferred revenue (4) Deferred tax liabilities (15) Other liabilities (2) Total liabilities (22) Net assets acquired $ 139 Shown below is the purchase price allocation, which summarizes the fair value of the assets and liabilities assumed, at the date of acquisition: Current assets $ 24 Intangible assets: Customer relationships (25 year useful life) $ 174 Database (10 year useful life) 86 Product technology (4 year useful life) 17 Trade name (3 year useful life) 3 Total intangible assets (19 year weighted average life) 280 Goodwill 494 Other assets 2 Liabilities: Accounts payable and accrued liabilities $ (5) Deferred revenue (20) Deferred tax liabilities (71) Other liabilities (2) Total liabilities (98) Net assets acquired $ 702 |
DERIVATIVE INSTRUMENTS AND HE_2
DERIVATIVE INSTRUMENTS AND HEDGING ACTIVITIES (Tables) | 6 Months Ended |
Jun. 30, 2021 | |
Derivative Instruments and Hedging Activities Disclosure [Abstract] | |
Schedule of Derivative Instruments | The following table summarizes the Company’s interest rate swaps designated as fair value hedges: Notional Amount Hedged Item Nature of Swap As of June 30, As of December 31, Floating Interest Rate 2012 Senior Notes due 2022 Pay Floating/Receive Fixed $ 330 $ 330 3-month USD LIBOR 2017 Senior Notes due 2023 Pay Floating/Receive Fixed $ 250 $ 250 3-month USD LIBOR 2017 Senior Notes due 2028 Pay Floating/Receive Fixed $ 500 $ 500 3-month USD LIBOR 2020 Senior Notes due 2025 Pay Floating/Receive Fixed $ 300 $ 300 6-month USD LIBOR Total $ 1,380 $ 1,380 June 30, 2021 Pay Receive Nature of Swap Notional Amount Weighted Average Interest Rate Notional Amount Weighted Average Interest Rate Pay Fixed/Receive Fixed € 1,060 2.15% $ 1,220 4.45% Pay Floating/Receive Floating 959 Based on 3-month EURIBOR 1,080 Based on 3-month USD LIBOR Total € 2,019 $ 2,300 December 31, 2020 Pay Receive Nature of Swap Notional Amount Weighted Average Interest Rate Notional Amount Weighted Average Interest Rate Pay Fixed/Receive Fixed € 1,079 1.43% $ 1,220 3.96% Pay Floating/Receive Floating 959 Based on 3-month EURIBOR 1,080 Based on 3-month USD LIBOR Total € 2,038 $ 2,300 |
Gains and Losses on Derivatives Designated as Hedging Instruments | The following table summarizes the impact to the statements of operations of the Company’s interest rate swaps designated as fair value hedges: Total amounts of financial statement line item presented in the statements of operations in which the effects of fair value hedges are recorded Amount of income/(loss) recognized in the consolidated statements of operations Three Months Ended June 30, Six Months Ended June 30, 2021 2020 2021 2020 Interest expense, net $ (49) $ (60) $ (56) $ (100) Descriptions Location on Consolidated Statements of Operations Net interest settlements and accruals on interest rate swaps Interest expense, net $ 6 $ 5 $ 11 $ 8 Fair value changes on interest rate swaps Interest expense, net $ — $ 2 $ (24) $ 60 Fair value changes on hedged debt Interest expense, net $ — $ (2) $ 24 $ (60) |
Schedule of Net Investment Hedges, Notional Amount That Will Be Settled At Expiry | As of June 30, 2021 these hedges will expire and the notional amounts will be settled as follows unless terminated early at the discretion of the Company: Years Ending December 31, 2021 (After June 30,) € — 2022 € 438 2023 € 442 2024 € 443 2026 € 450 2027 € 246 Total € 2,019 |
Summary of Notional Amounts of Outstanding Foreign Exchange Forwards | The following table summarizes the notional amounts of the Company's outstanding forward contracts that were designated as net investment hedges: Notional amount of net investment hedges June 30, 2021 December 31, 2020 Sell Buy Sell Buy Contract to sell EUR for USD € 597 $ 728 € 524 $ 627 Contract to sell GBP for EUR £ 134 € 155 £ 134 € 148 The following table summarizes the notional amounts of the Company’s outstanding foreign exchange forwards: June 30, 2021 December 31, 2020 Notional amount of currency pair: Sell Buy Sell Buy Contracts to sell USD for GBP $ 424 £ 301 $ 295 £ 222 Contracts to sell USD for Japanese yen $ 15 ¥ 1,600 $ 15 ¥ 1,600 Contracts to sell USD for Canadian dollars $ 105 C$ 129 $ 107 C$ 140 Contracts to sell USD for Singapore dollars $ 59 S$ 79 $ 59 S$ 79 Contracts to sell USD for euros $ 549 € 450 $ 447 € 376 Contracts to sell Euros for GBP € 135 £ 116 € 135 £ 121 Contracts to sell USD for Russian ruble $ 13 ₽ 1,000 $ 13 ₽ 1,000 Contracts to sell USD for Indian rupee $ 18 ₹ 1,350 $ 18 ₹ 1,350 NOTE: € = euro, £ = British pound, $ = U.S. dollar, ¥ = Japanese yen, C$ = Canadian dollar, S$= Singapore dollars, ₽ = Russian ruble, ₹= Indian rupee |
Amount of Gain/(Loss) Recognized in AOCI on Derivative Net Investment Hedging Relationships (Effectiveness Portion) | The following table provide information on the gains/(losses) on the Company’s net investment and cash flow hedges: Derivative and Non-Derivative Instruments in Net Investment Hedging Relationships Amount of Gain/(Loss) Recognized in AOCL on Derivative, net of Tax Amount of Gain/(Loss) Reclassified from AOCL into Income, net of Tax Gain/(Loss) Recognized in Income on Derivative (Amount Excluded from Effectiveness Testing) Three Months Ended Three Months Ended Three Months Ended 2021 2020 2021 2020 2021 2020 FX forward contracts $ — $ — $ — $ — $ — $ — Cross currency swaps (18) (49) — — 9 14 Long-term debt (10) (24) — — — — Total net investment hedges $ (28) $ (73) $ — $ — $ 9 $ 14 Derivatives in Cash Flow Hedging Relationships Interest rate contracts — (14) — — — — Total cash flow hedges — (14) — — — — Total $ (28) $ (87) $ — $ — $ 9 $ 14 Derivative and Non-Derivative Instruments in Net Investment Hedging Relationships Amount of Gain/(Loss) Recognized in AOCL on Derivative, net of Tax Amount of Gain/(Loss) Reclassified from AOCL into Income, net of Tax Gain/(Loss) Recognized in Income on Derivative (Amount Excluded from Effectiveness Testing) Six Months Ended June 30, Six Months Ended June 30, Six Months Ended June 30, 2021 2020 2021 2020 2021 2020 FX forward contracts $ 16 $ — $ 1 $ — $ — $ — Cross currency swaps 54 17 — — 19 30 Long-term debt 35 (1) — — — — Total net investment hedges $ 105 $ 16 $ 1 $ — $ 19 $ 30 Derivatives in Cash Flow Hedging Relationships Interest rate contracts — (50) (1) (1) — — Total cash flow hedges — (50) (1) (1) — — Total $ 105 $ (34) $ — $ (1) $ 19 $ 30 |
Components of Accumulated Other Comprehensive Income | The cumulative amount of net investment hedge and cash flow hedge gains (losses) remaining in AOCL is as follows: Cumulative Gains/(Losses), net of tax June 30, 2021 December 31, 2020 Net investment hedges Cross currency swaps $ (70) $ (124) FX forwards 27 12 Long-term debt (73) (108) Total net investment hedges $ (116) $ (220) Cash flow hedges Interest rate contracts $ (50) $ (51) Cross currency swaps 2 2 Total cash flow hedges (48) (49) Total net loss in AOCL $ (164) $ (269) The following tables show changes in AOCL by component (net of tax): Three Months Ended June 30, 2021 2020 Gains/(Losses) Pension and Other Retirement Benefits Cash Flow Hedges Foreign Currency Translation Adjustments Net Investment Hedges Total Pension and Other Retirement Benefits Cash Flow Hedges Foreign Currency Translation Adjustments Net Investment Hedges Total Balance March 31, $ (116) $ (48) $ (188) $ (88) $ (440) $ (92) $ (35) $ (570) $ 143 $ (554) Other comprehensive income/(loss) before reclassifications — — 36 (29) 7 7 (14) 91 (73) 11 Amounts reclassified from AOCL 8 — — — 8 1 — — — 1 Other comprehensive income/(loss) 8 — 36 (29) 15 8 (14) 91 (73) 12 Balance June 30, $ (108) $ (48) $ (152) $ (117) $ (425) $ (84) $ (49) $ (479) $ 70 $ (542) Six Months Ended June 30, 2021 2020 Gains/(Losses) Pension and Other Retirement Benefits Cash Flow Hedges Foreign Currency Translation Adjustments Net Investment Hedges Total Pension and Other Retirement Benefits Cash Flow Hedges Foreign Currency Translation Adjustments Net Investment Hedges Total Balance December 31, $ (118) $ (49) $ (45) $ (220) $ (432) $ (92) $ — $ (401) $ 54 $ (439) Other comprehensive income/(loss) before reclassifications — — (107) 104 (3) 6 (50) (78) 16 (106) Amounts reclassified from AOCL 10 1 — (1) 10 2 1 — — 3 Other comprehensive income/(loss) 10 1 (107) 103 7 8 (49) (78) 16 (103) Balance June 30, $ (108) $ (48) $ (152) $ (117) $ (425) $ (84) $ (49) $ (479) $ 70 $ (542) |
Gains and Losses Recognized in Consolidated Statement of Operations on Derivatives Not Designated as Hedging instruments | The following table summarizes the impact to the consolidated statements of operations relating to the net losses on the Company’s derivatives which are not designated as hedging instruments: Derivatives not designated as accounting hedges Location on Consolidated Statements of Operations Three Months Ended Six Months Ended 2021 2020 2021 2020 Foreign exchange forwards Other non-operating income, net $ (1) $ 5 $ (7) $ (35) |
Fair Value of Derivative Instruments | The table below shows the classification between assets and liabilities on the Company’s consolidated balance sheets for the fair value of the derivative instrument as well as the carrying value of its non-derivative debt instruments designated and qualifying as net investment hedges: Derivative and Non-Derivative Instruments Balance Sheet Location June 30, 2021 December 31, 2020 Assets: Derivatives designated as accounting hedges: Cross-currency swaps designated as net investment hedges Other assets $ 7 $ — Interest rate swaps designated as fair value hedges Other assets 37 57 FX forwards designated as net investment hedges Other current assets 19 — Total derivatives designated as accounting hedges 63 57 Derivatives not designated as accounting hedges: FX forwards on certain assets and liabilities Other current assets 3 31 Total assets $ 66 $ 88 Liabilities: Derivatives designated as accounting hedges: FX forwards designated as net investment hedges Accounts payable and accrued liabilities $ 1 $ 16 Cross-currency swaps designated as net investment hedges Accounts payable and accrued liabilities — 23 Cross-currency swaps designated as net investment hedges Other liabilities 80 144 Interest rate swaps designated as fair value hedges Other liabilities 5 1 Total derivatives designated as accounting hedges 86 184 Non-derivatives designated as accounting hedges: Long-term debt designated as net investment hedge Long-term debt 1,482 1,530 Derivatives not designated as accounting hedges: FX forwards on certain assets and liabilities Accounts payable and accrued liabilities 26 2 Total liabilities $ 1,594 $ 1,716 |
GOODWILL AND OTHER ACQUIRED I_2
GOODWILL AND OTHER ACQUIRED INTANGIBLE ASSETS (Tables) | 6 Months Ended |
Jun. 30, 2021 | |
Goodwill and Intangible Assets Disclosure [Abstract] | |
Activity in Goodwill | The following table summarizes the activity in goodwill for the periods indicated: Six Months Ended June 30, 2021 MIS MA Consolidated Gross goodwill Accumulated impairment Net Gross goodwill Accumulated Net Gross goodwill Accumulated Net Balance at beginning $ 311 $ — $ 311 $ 4,257 $ (12) $ 4,245 $ 4,568 $ (12) $ 4,556 Additions/ adjustments (1) — — — 95 — 95 95 — 95 Foreign currency translation adjustments 1 — 1 (62) — (62) (61) — (61) Ending balance $ 312 $ — $ 312 $ 4,290 $ (12) $ 4,278 $ 4,602 $ (12) $ 4,590 Year Ended December 31, 2020 MIS MA Consolidated Gross goodwill Accumulated impairment charge Net goodwill Gross goodwill Accumulated impairment charge Net goodwill Gross goodwill Accumulated impairment charge Net goodwill Balance at beginning $ 315 $ — $ 315 $ 3,419 $ (12) $ 3,407 $ 3,734 $ (12) $ 3,722 Additions/ adjustments (2) (2) — (2) 628 — 628 626 — 626 Foreign currency translation (2) — (2) 210 — 210 208 — 208 Ending balance $ 311 $ — $ 311 $ 4,257 $ (12) $ 4,245 $ 4,568 $ (12) $ 4,556 (1) The 2021 additions/adjustments for the MA segment in the table above relate to the acquisition of Cortera. (2) The 2020 additions/adjustments for the MA segment in the table above relate to the acquisitions of RDC, AM, ZMFS, and Catylist. |
Acquired Intangible Assets and Related Amortization | Acquired intangible assets and related amortization consisted of: June 30, December 31, Customer relationships $ 1,611 $ 1,623 Accumulated amortization (347) (313) Net customer relationships 1,264 1,310 Software/product technology 442 441 Accumulated amortization (195) (177) Net software/product technology 247 264 Database 181 144 Accumulated amortization (37) (29) Net database 144 115 Trade names 160 161 Accumulated amortization (42) (38) Net trade names 118 123 Other (1) 54 55 Accumulated amortization (43) (43) Net other 11 12 Total acquired intangible assets, net $ 1,784 $ 1,824 (1) Other intangible assets primarily consist of trade secrets, covenants not to compete, and acquired ratings methodologies and models. |
Amortization Expense Relating to Acquired Intangible Assets | Amortization expense relating to acquired intangible assets is as follows: Three Months Ended Six Months Ended 2021 2020 2021 2020 Amortization expense $ 36 $ 31 $ 71 $ 59 |
Estimated Future Amortization Expense for Acquired Intangible Assets Subject to Amortization | Estimated future amortization expense for acquired intangible assets subject to amortization is as follows: Year Ending December 31, 2021 (After June 30,) $ 63 2022 133 2023 129 2024 125 2025 121 Thereafter 1,213 Total estimated future amortization $ 1,784 |
RESTRUCTURING (Tables)
RESTRUCTURING (Tables) | 6 Months Ended |
Jun. 30, 2021 | |
Restructuring and Related Activities [Abstract] | |
Restructuring Expenses Included in Consolidated Statements of Operations | Total expense included in the accompanying consolidated statements of operations relating to the aforementioned restructuring program is below: Three Months Ended Six Months Ended 2021 2020 2021 2020 2020 MA Strategic Reorganization Restructuring Program $ — $ — $ 2 $ — |
Changes to the Restructuring Liability | Changes to the restructuring liability for the aforementioned restructuring program during the first six months of 2021 were as follows: Employee Termination Costs Balance as of December 31, 2020 $ 18 2020 MA Strategic Reorganization Restructuring Program: Cost incurred and adjustments 2 Cash payments and adjustments (8) Balance as of June 30, 2021 $ 12 Cumulative expense incurred to date 2020 MA Strategic Reorganization Restructuring Program: $ 20 |
FAIR VALUE (Tables)
FAIR VALUE (Tables) | 6 Months Ended |
Jun. 30, 2021 | |
Fair Value Disclosures [Abstract] | |
Financial Instruments Carried at Fair Value on Recurring Basis | The table below presents information about items that are carried at fair value at June 30, 2021 and December 31, 2020: Fair value Measurement as of June 30, 2021 Description Balance Level 1 Level 2 Assets: Derivatives (1) $ 66 $ — $ 66 Mutual funds 60 60 — Total $ 126 $ 60 $ 66 Liabilities: Derivatives (1) $ 112 $ — $ 112 Total $ 112 $ — $ 112 Fair value Measurement as of December 31, 2020 Description Balance Level 1 Level 2 Assets: Derivatives (1) $ 88 $ — $ 88 Mutual funds 60 60 — Total $ 148 $ 60 $ 88 Liabilities: Derivatives (1) $ 186 $ — $ 186 Total $ 186 $ — $ 186 (1) Represents FX forward contracts, interest rate swaps and cross-currency swaps as more fully described in Note 9 to the condensed consolidated financial statements. |
OTHER BALANCE SHEET AND STATE_2
OTHER BALANCE SHEET AND STATEMENT OF OPERATIONS INFORMATION (Tables) | 6 Months Ended |
Jun. 30, 2021 | |
Other Balance Sheet And Statement Of Operations Information [Abstract] | |
Additional Details Related to Certain Balance Sheet Captions | The following tables contain additional detail related to certain balance sheet captions: June 30, 2021 December 31, 2020 Other current assets: Prepaid taxes $ 125 $ 94 Prepaid expenses 78 91 Capitalized costs to obtain and fulfill sales contracts 92 93 Foreign exchange forwards on certain assets and liabilities 3 31 Derivative instruments designated as accounting hedges 19 — Other 62 74 Total other current assets $ 379 $ 383 Other assets: Investments in non-consolidated affiliates $ 151 $ 135 Deposits for real-estate leases 14 19 Indemnification assets related to acquisitions 15 15 Mutual funds and fixed deposits 83 66 Company owned life insurance (at contract value) 36 17 Costs to obtain sales contracts 142 134 Derivative instruments designated as accounting hedges 44 57 Pension and other retirement employee benefits 19 21 Other 52 51 Total other assets $ 556 $ 515 Accounts payable and accrued liabilities: Salaries and benefits $ 149 $ 197 Incentive compensation 134 226 Customer credits, advanced payments and advanced billings 60 42 Dividends 5 11 Professional service fees 60 53 Interest accrued on debt 72 82 Accounts payable 18 39 Income taxes 108 128 Pension and other retirement employee benefits 46 45 Accrued royalties 23 19 Foreign exchange forwards on certain assets and liabilities 26 2 Restructuring liability 12 18 Derivative instruments designated as accounting hedges 1 39 Other 102 138 Total accounts payable and accrued liabilities $ 816 $ 1,039 June 30, 2021 December 31, 2020 Other liabilities: Pension and other retirement employee benefits $ 211 $ 244 Interest accrued on UTPs 75 113 MAKS indemnification provisions 33 33 Income tax liability - non-current portion 18 18 Derivative instruments designated as accounting hedges 85 145 Other 38 37 Total other liabilities $ 460 $ 590 |
Other Non-Operating | The following table summarizes the components of other non-operating income (expense): Three Months Ended June 30, Six Months Ended June 30, 2021 2020 2021 2020 FX gain (loss) $ 2 $ (8) $ — $ 5 Net periodic pension costs - other components (1) (3) 4 1 7 Income/(loss) from investments in non-consolidated affiliates 1 3 9 — Other 6 17 12 16 Total $ 6 $ 16 $ 22 $ 28 (1) The amounts for the three and six months ended June 30, 2021 include a $7 million loss related to a settlement of pension obligations |
COMPREHENSIVE INCOME AND ACCU_2
COMPREHENSIVE INCOME AND ACCUMULATED OTHER COMPREHENSIVE LOSS (Tables) | 6 Months Ended |
Jun. 30, 2021 | |
Equity [Abstract] | |
Reclassifications out of AOCI | The following table provides details about the reclassifications out of AOCL: Three Months Ended June 30, Location in the consolidated statements of operations 2021 2020 Gains on net investment hedges FX forwards $ 1 $ — Other non-operating income, net Income tax effect of item above (1) — Provision for income taxes Total net gains on net investment hedges — — Pension and other retirement benefits Amortization of actuarial losses and prior service costs included in net income (3) (1) Other non-operating income, net Settlement charge (7) — Other non-operating income, net Total before income taxes (10) (1) Income tax effect of items above 2 — Provision for income taxes Total pension and other retirement benefits (8) (1) Total net losses included in Net Income attributable to reclassifications out of AOCL $ (8) $ (1) Six Months Ended June 30, Location in the consolidated statements of operations Losses on cash flow hedges 2021 2020 Interest rate contract $ (1) $ (1) Other non-operating income, net Income tax effect of item above — — Provision for income taxes Total net losses on cash flow hedges (1) (1) Gains on net investment hedges FX forwards 2 — Other non-operating income, net Income tax effect of item above (1) — Provision for income taxes Total net gains on net investment hedges 1 — Pension and other retirement benefits Amortization of actuarial losses and prior service costs included in net income (6) (3) Other non-operating income, net Settlement charge (7) — Other non-operating income, net Total before income taxes (13) (3) Income tax effect of items above 3 1 Provision for income taxes Total pension and other retirement benefits (10) (2) Total net losses included in Net Income attributable to reclassifications out of AOCL $ (10) $ (3) |
Components of Accumulated Other Comprehensive Income | The cumulative amount of net investment hedge and cash flow hedge gains (losses) remaining in AOCL is as follows: Cumulative Gains/(Losses), net of tax June 30, 2021 December 31, 2020 Net investment hedges Cross currency swaps $ (70) $ (124) FX forwards 27 12 Long-term debt (73) (108) Total net investment hedges $ (116) $ (220) Cash flow hedges Interest rate contracts $ (50) $ (51) Cross currency swaps 2 2 Total cash flow hedges (48) (49) Total net loss in AOCL $ (164) $ (269) The following tables show changes in AOCL by component (net of tax): Three Months Ended June 30, 2021 2020 Gains/(Losses) Pension and Other Retirement Benefits Cash Flow Hedges Foreign Currency Translation Adjustments Net Investment Hedges Total Pension and Other Retirement Benefits Cash Flow Hedges Foreign Currency Translation Adjustments Net Investment Hedges Total Balance March 31, $ (116) $ (48) $ (188) $ (88) $ (440) $ (92) $ (35) $ (570) $ 143 $ (554) Other comprehensive income/(loss) before reclassifications — — 36 (29) 7 7 (14) 91 (73) 11 Amounts reclassified from AOCL 8 — — — 8 1 — — — 1 Other comprehensive income/(loss) 8 — 36 (29) 15 8 (14) 91 (73) 12 Balance June 30, $ (108) $ (48) $ (152) $ (117) $ (425) $ (84) $ (49) $ (479) $ 70 $ (542) Six Months Ended June 30, 2021 2020 Gains/(Losses) Pension and Other Retirement Benefits Cash Flow Hedges Foreign Currency Translation Adjustments Net Investment Hedges Total Pension and Other Retirement Benefits Cash Flow Hedges Foreign Currency Translation Adjustments Net Investment Hedges Total Balance December 31, $ (118) $ (49) $ (45) $ (220) $ (432) $ (92) $ — $ (401) $ 54 $ (439) Other comprehensive income/(loss) before reclassifications — — (107) 104 (3) 6 (50) (78) 16 (106) Amounts reclassified from AOCL 10 1 — (1) 10 2 1 — — 3 Other comprehensive income/(loss) 10 1 (107) 103 7 8 (49) (78) 16 (103) Balance June 30, $ (108) $ (48) $ (152) $ (117) $ (425) $ (84) $ (49) $ (479) $ 70 $ (542) |
PENSION AND OTHER RETIREMENT _2
PENSION AND OTHER RETIREMENT BENEFITS (Tables) | 6 Months Ended |
Jun. 30, 2021 | |
Retirement Benefits [Abstract] | |
Components of Net Periodic Benefit Expense Related to Post-Retirement Plans | The components of net periodic benefit expense related to the Retirement Plans and Other Retirement Plans are as follows: Three Months Ended June 30, Pension Plans Other Retirement Plans 2021 2020 2021 2020 Components of net periodic expense Service cost $ 5 $ 3 $ 1 $ 1 Interest cost 3 5 1 — Expected return on plan assets (6) (5) — — Amortization of net actuarial loss from earlier periods 3 1 — — Loss on settlement of pension obligation 7 — — — Net periodic expense $ 12 $ 4 $ 2 $ 1 Six Months Ended June 30, Pension Plans Other Retirement Plans 2021 2020 2021 2020 Components of net periodic expense Service cost $ 10 $ 8 $ 2 $ 2 Interest cost 7 9 1 — Expected return on plan assets (13) (10) — — Amortization of net actuarial loss from earlier periods 5 3 — — Loss on settlement of pension obligation 7 — — — Net periodic expense $ 16 $ 10 $ 3 $ 2 |
INDEBTEDNESS (Tables)
INDEBTEDNESS (Tables) | 6 Months Ended |
Jun. 30, 2021 | |
Debt Disclosure [Abstract] | |
Summary of Total Indebtedness | The following table summarizes total indebtedness: June 30, 2021 Notes Payable: Principal Amount Fair Value of Interest Rate Swaps (1) Unamortized (Discount) Premium Unamortized Debt Issuance Costs Carrying Value 4.50% 2012 Senior Notes, due 2022 $ 500 $ 10 $ — $ — $ 510 4.875% 2013 Senior Notes, due 2024 500 — (1) (1) 498 5.25% 2014 Senior Notes, due 2044 600 — 3 (5) 598 1.75% 2015 Senior Notes, due 2027 593 — — (2) 591 2.625% 2017 Senior Notes, due 2023 500 9 — (1) 508 3.25% 2017 Senior Notes, due 2028 500 18 (4) (3) 511 4.25% 2018 Senior Notes, due 2029 400 — (2) (3) 395 4.875% 2018 Senior Notes, due 2048 400 — (6) (4) 390 0.950% 2019 Senior Notes, due 2030 889 — (3) (6) 880 3.75% 2020 Senior Notes, due 2025 700 (5) (1) (4) 690 3.25% 2020 Senior Notes, due 2050 300 — (4) (3) 293 2.55% 2020 Senior Notes, due 2060 500 — (4) (5) 491 Total long-term debt $ 6,382 $ 32 $ (22) $ (37) $ 6,355 December 31, 2020 Notes Payable: Principal Amount Fair Value of Interest Rate Swaps (1) Unamortized (Discount) Premium Unamortized Debt Issuance Costs Carrying Value 4.50% 2012 Senior Notes, due 2022 $ 500 $ 14 $ (1) $ (1) $ 512 4.875% 2013 Senior Notes, due 2024 500 — (1) (1) 498 5.25% 2014 Senior Notes, due 2044 600 — 3 (5) 598 1.75% 2015 Senior Notes, due 2027 612 — — (2) 610 2.625% 2017 Senior Notes, due 2023 500 12 — (2) 510 3.25% 2017 Senior Notes, due 2028 500 31 (4) (3) 524 4.25% 2018 Senior Notes, due 2029 400 — (3) (3) 394 4.875% 2018 Senior Notes, due 2048 400 — (6) (4) 390 0.950% 2019 Senior Notes, due 2030 918 — (3) (6) 909 3.75% 2020 Senior Notes, due 2025 700 (1) (1) (5) 693 3.25% 2020 Senior Notes, due 2050 300 — (4) (3) 293 2.55% 2020 Senior Notes, due 2060 500 — (4) (5) 491 Total long-term debt $ 6,430 $ 56 $ (24) $ (40) $ 6,422 (1) The fair value of interest rate swaps in the table above represents the cumulative amount of fair value hedging adjustments included in the carrying amount of the hedged debt. |
Principal Payments Due on Long-Term Borrowings | The repayment schedule for the Company’s borrowings is as follows: Year Ending December 31, 2012 Senior Notes due 2022 2013 Senior Notes due 2024 2014 Senior Notes due 2044 2015 Senior Notes due 2027 2017 Senior Notes due 2023 2017 Senior Notes due 2028 2018 Senior Notes due 2029 2018 Senior Notes due 2048 2019 Senior Notes due 2030 2020 Senior Notes due 2025 2020 Senior Notes due 2050 2020 Senior Notes due 2060 Total 2021 (After June 30,) $ — $ — $ — $ — $ — $ — $ — $ — $ — $ — $ — $ — $ — 2022 500 — — — — — — — — — — — 500 2023 — — — — 500 — — — — — — — 500 2024 — 500 — — — — — — — — — — 500 2025 — — — — — — — — — 700 — — 700 Thereafter — — 600 593 — 500 400 400 889 — 300 500 4,182 Total $ 500 $ 500 $ 600 $ 593 $ 500 $ 500 $ 400 $ 400 $ 889 $ 700 $ 300 $ 500 $ 6,382 |
Summary of Components of Interest as Presented in Consolidated Statements of Operations | The following table summarizes the components of interest as presented in the consolidated statements of operations and the cash paid for interest: Three Months Ended Six Months Ended 2021 2020 2021 2020 Income $ 1 $ 3 $ 4 $ 7 Expense on borrowings (41) (48) (82) (79) Income (expense) on UTPs and other tax related liabilities (2) (5) (10) 30 (18) Net periodic pension costs - interest component (4) (5) (8) (10) Interest expense, net $ (49) $ (60) $ (56) $ (100) Interest paid (1) $ 13 $ 23 $ 86 $ 72 (1) Interest paid includes net settlements on interest rate swaps more fully discussed in Note 9. (2) Income (expense) on UTPs and other tax related liabilities for the six months ended June 30, 2021 includes a $40 million benefit relating to the reversal of tax-related interest accruals pursuant to the resolution of tax matters. |
Fair Value and Carrying Value of Long-Term Debt | The fair value and carrying value of the Company’s debt as of June 30, 2021 and December 31, 2020 are as follows: June 30, 2021 December 31, 2020 Carrying Amount Estimated Fair Value Carrying Amount Estimated Fair Value 4.50% 2012 Senior Notes, due 2022 $ 510 $ 522 $ 512 $ 530 4.875% 2013 Senior Notes, due 2024 498 551 498 562 5.25% 2014 Senior Notes, due 2044 598 808 598 828 1.75% 2015 Senior Notes, due 2027 591 643 610 674 2.625% 2017 Senior Notes, due 2023 508 516 510 522 3.25% 2017 Senior Notes, due 2028 511 550 524 561 4.25% 2018 Senior Notes, due 2029 395 465 394 480 4.875% 2018 Senior Notes, due 2048 390 527 390 544 0.950% 2019 Senior Notes, due 2030 880 919 909 974 3.75% 2020 Senior Notes, due 2025 690 768 693 785 3.25% 2020 Senior Notes, due 2050 293 313 293 329 2.55% 2020 Senior Notes, due 2060 491 442 491 467 Total $ 6,355 $ 7,024 $ 6,422 $ 7,256 |
LEASES (Tables)
LEASES (Tables) | 6 Months Ended |
Jun. 30, 2021 | |
Leases [Abstract] | |
Components of Lease Cost | The following table presents the components of the Company’s lease cost: Three Months Ended Six Months Ended 2021 2020 2021 2020 Operating lease cost $ 23 $ 24 $ 47 $ 48 Sublease income (1) (1) (2) (2) Variable lease cost 5 5 10 10 Total lease cost $ 27 $ 28 $ 55 $ 56 |
Schedule of Operating Leases Information | The following tables present other information related to the Company’s operating leases: Three Months Ended June 30, Six Months Ended June 30, 2021 2020 2021 2020 Cash paid for amounts included in the measurement of operating lease liabilities $ 28 $ 27 $ 56 $ 53 Right-of-use assets obtained in exchange for new operating lease liabilities $ 2 $ 11 $ 6 $ 20 June 30, 2021 June 30, 2020 Weighted-average remaining lease term 5.6 years 6.5 years Weighted-average discount rate applied to operating leases 3.6 % 3.6 % |
Lessee, Operating Lease, Liability, Maturity | The following table presents a maturity analysis of the future minimum lease payments included within the Company’s operating lease liabilities at June 30, 2021: Year Ending December 31, Operating Leases 2021 (After June 30) $ 55 2022 100 2023 94 2024 85 2025 77 After 2025 117 Total lease payments (undiscounted) 528 Less: Interest 50 Present value of lease liabilities: $ 478 Lease liabilities - current $ 92 Lease liabilities - noncurrent $ 386 |
SEGMENT INFORMATION (Tables)
SEGMENT INFORMATION (Tables) | 6 Months Ended |
Jun. 30, 2021 | |
Segment Reporting Information [Line Items] | |
Financial Information by Segment | The table below shows revenue, operating income and Adjusted Operating Income by reportable segment. Adjusted Operating Income is a financial metric utilized by the Company’s chief operating decision maker to assess the profitability of each reportable segment. Refer to Note 3 for further details on the components of the Company’s revenue. Three Months Ended June 30, 2021 2020 MIS MA Eliminations Consolidated MIS MA Eliminations Consolidated Revenue $ 1,022 $ 575 $ (44) $ 1,553 $ 973 $ 499 $ (37) $ 1,435 Total Expenses 362 434 (44) 752 369 393 (37) 725 Operating income 660 141 — 801 604 106 — 710 Add: Depreciation and 18 42 — 60 19 39 — 58 Restructuring — — — — — (2) — (2) Adjusted Operating Income $ 678 $ 183 $ — $ 861 $ 623 $ 143 $ — $ 766 Six Months Ended June 30, 2021 2020 MIS MA Eliminations Consolidated MIS MA Eliminations Consolidated Revenue $ 2,098 $ 1,141 $ (86) $ 3,153 $ 1,804 $ 997 $ (76) $ 2,725 Total Expenses 728 857 (86) 1,499 712 787 (76) 1,423 Operating income 1,370 284 — 1,654 1,092 210 — 1,302 Add: Depreciation and 36 83 — 119 35 72 — 107 Restructuring — 2 — 2 (1) (2) — (3) Loss pursuant to the divestiture of MAKS — — — — — 9 — 9 Adjusted Operating Income $ 1,406 $ 369 $ — $ 1,775 $ 1,126 $ 289 $ — $ 1,415 |
Company's Reportable Segment Revenues Disaggregated by Segment and Geographic Region | The following table presents the Company’s reportable segment revenues disaggregated by segment and geographic region: Three Months Ended Six Months Ended 2021 2020 2021 2020 MIS: U.S. $ 582 $ 616 $ 1,229 $ 1,119 Non-U.S.: EMEA 248 183 496 354 Asia-Pacific 100 90 197 171 Americas 50 49 94 88 Total Non-U.S. 398 322 787 613 Total MIS 980 938 2,016 1,732 MA: U.S. 249 221 487 432 Non-U.S.: EMEA 233 190 463 382 Asia-Pacific 55 54 114 109 Americas 36 32 73 70 Total Non-U.S. 324 276 650 561 Total MA 573 497 1,137 993 Total MCO $ 1,553 $ 1,435 $ 3,153 $ 2,725 |
Operating Segments | |
Segment Reporting Information [Line Items] | |
Company's Reportable Segment Revenues Disaggregated by Segment and Geographic Region | Three Months Ended June 30, Six Months Ended June 30, 2021 2020 2021 2020 United States $ 831 $ 837 $ 1,716 $ 1,551 Non-U.S.: EMEA 481 373 959 736 Asia-Pacific 155 144 311 280 Americas 86 81 167 158 Total Non-U.S. 722 598 1,437 1,174 Total $ 1,553 $ 1,435 $ 3,153 $ 2,725 |
Description of Business and B_2
Description of Business and Basis of Presentation - Additional Information (Detail) | 6 Months Ended |
Jun. 30, 2021segment | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | |
Number of reportable segments | 2 |
Summary of Significant Accoun_3
Summary of Significant Accounting Policies (Details) - reporting_unit | 3 Months Ended | |
Jun. 30, 2021 | Mar. 31, 2021 | |
MA | ||
Segment Reporting Information [Line Items] | ||
Number of reporting units | 2 | 5 |
Revenues - Revenue by Category
Revenues - Revenue by Category (Detail) - USD ($) $ in Millions | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2021 | Jun. 30, 2020 | Jun. 30, 2021 | Jun. 30, 2020 | |
Disaggregation of Revenue [Line Items] | ||||
Revenue | $ 1,553 | $ 1,435 | $ 3,153 | $ 2,725 |
Eliminations | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenue | (44) | (37) | (86) | (76) |
MIS | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenue | 980 | 938 | 2,016 | 1,732 |
MIS | Operating Segments | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenue | 1,022 | 973 | 2,098 | 1,804 |
MIS | Eliminations | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenue | 42 | 35 | 82 | 72 |
MIS | Corporate Finance (CFG) | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenue | 550 | 572 | 1,155 | 1,025 |
MIS | Corporate Finance (CFG) | Investment-grade | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenue | 102 | 291 | 236 | 435 |
MIS | Corporate Finance (CFG) | High-yield | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenue | 124 | 99 | 265 | 174 |
MIS | Corporate Finance (CFG) | Bank loans | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenue | 157 | 43 | 337 | 132 |
MIS | Corporate Finance (CFG) | Other accounts | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenue | 167 | 139 | 317 | 284 |
MIS | Financial Institutions (FIG) | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenue | 150 | 142 | 312 | 267 |
MIS | Financial Institutions (FIG) | Other accounts | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenue | 3 | 2 | 5 | 5 |
MIS | Financial Institutions (FIG) | Banking | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenue | 101 | 88 | 210 | 174 |
MIS | Financial Institutions (FIG) | Insurance | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenue | 33 | 44 | 76 | 74 |
MIS | Financial Institutions (FIG) | Managed investments | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenue | 13 | 8 | 21 | 14 |
MIS | Public, Project And Infrastructure Finance (PPIF) | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenue | 130 | 133 | 273 | 242 |
MIS | Public, Project And Infrastructure Finance (PPIF) | Public finance / sovereign | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenue | 63 | 64 | 130 | 121 |
MIS | Public, Project And Infrastructure Finance (PPIF) | Project and infrastructure | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenue | 67 | 69 | 143 | 121 |
MIS | Structured Finance (SFG) | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenue | 140 | 81 | 256 | 177 |
MIS | Structured Finance (SFG) | Other accounts | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenue | 0 | 1 | 1 | 2 |
MIS | Structured Finance (SFG) | Asset-backed securities | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenue | 33 | 23 | 59 | 45 |
MIS | Structured Finance (SFG) | RMBS | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenue | 31 | 23 | 58 | 50 |
MIS | Structured Finance (SFG) | CMBS | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenue | 23 | 13 | 47 | 30 |
MIS | Structured Finance (SFG) | Structured credit | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenue | 53 | 21 | 91 | 50 |
MIS | Rating Revenue | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenue | 970 | 928 | 1,996 | 1,711 |
MIS | MIS Other | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenue | 10 | 10 | 20 | 21 |
MA | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenue | 573 | 497 | 1,137 | 993 |
MA | Operating Segments | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenue | 575 | 499 | 1,141 | 997 |
MA | Eliminations | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenue | 2 | 2 | 4 | 4 |
MA | Research, Data And Analytics (RD&A) | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenue | 435 | 366 | 854 | 724 |
MA | Enterprise Risk Solutions (ERS) | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenue | $ 138 | $ 131 | $ 283 | $ 269 |
Revenues - Revenues Disaggregat
Revenues - Revenues Disaggregated by Line of Business and Geographical Area (Detail) - USD ($) $ in Millions | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2021 | Jun. 30, 2020 | Jun. 30, 2021 | Jun. 30, 2020 | |
Disaggregation of Revenue [Line Items] | ||||
Revenue | $ 1,553 | $ 1,435 | $ 3,153 | $ 2,725 |
United States | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenue | 831 | 837 | 1,716 | 1,551 |
Non-U.S. | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenue | 722 | 598 | 1,437 | 1,174 |
MIS | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenue | 980 | 938 | 2,016 | 1,732 |
MIS | United States | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenue | 582 | 616 | 1,229 | 1,119 |
MIS | Non-U.S. | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenue | 398 | 322 | 787 | 613 |
MIS | Corporate Finance (CFG) | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenue | 550 | 572 | 1,155 | 1,025 |
MIS | Corporate Finance (CFG) | United States | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenue | 345 | 413 | 759 | 727 |
MIS | Corporate Finance (CFG) | Non-U.S. | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenue | 205 | 159 | 396 | 298 |
MIS | Financial Institutions (FIG) | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenue | 150 | 142 | 312 | 267 |
MIS | Financial Institutions (FIG) | United States | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenue | 69 | 70 | 155 | 130 |
MIS | Financial Institutions (FIG) | Non-U.S. | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenue | 81 | 72 | 157 | 137 |
MIS | Public, Project And Infrastructure Finance (PPIF) | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenue | 130 | 133 | 273 | 242 |
MIS | Public, Project And Infrastructure Finance (PPIF) | United States | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenue | 79 | 87 | 157 | 155 |
MIS | Public, Project And Infrastructure Finance (PPIF) | Non-U.S. | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenue | 51 | 46 | 116 | 87 |
MIS | Structured Finance (SFG) | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenue | 140 | 81 | 256 | 177 |
MIS | Structured Finance (SFG) | United States | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenue | 88 | 45 | 156 | 106 |
MIS | Structured Finance (SFG) | Non-U.S. | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenue | 52 | 36 | 100 | 71 |
MIS | Rating Revenue | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenue | 970 | 928 | 1,996 | 1,711 |
MIS | Rating Revenue | United States | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenue | 581 | 615 | 1,227 | 1,118 |
MIS | Rating Revenue | Non-U.S. | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenue | 389 | 313 | 769 | 593 |
MIS | MIS Other | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenue | 10 | 10 | 20 | 21 |
MIS | MIS Other | United States | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenue | 1 | 1 | 2 | 1 |
MIS | MIS Other | Non-U.S. | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenue | 9 | 9 | 18 | 20 |
MA | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenue | 573 | 497 | 1,137 | 993 |
MA | United States | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenue | 249 | 221 | 487 | 432 |
MA | Non-U.S. | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenue | 324 | 276 | 650 | 561 |
MA | Research, Data And Analytics (RD&A) | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenue | 435 | 366 | 854 | 724 |
MA | Research, Data And Analytics (RD&A) | United States | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenue | 190 | 167 | 373 | 325 |
MA | Research, Data And Analytics (RD&A) | Non-U.S. | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenue | 245 | 199 | 481 | 399 |
MA | Enterprise Risk Solutions (ERS) | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenue | 138 | 131 | 283 | 269 |
MA | Enterprise Risk Solutions (ERS) | United States | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenue | 59 | 54 | 114 | 107 |
MA | Enterprise Risk Solutions (ERS) | Non-U.S. | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenue | $ 79 | $ 77 | $ 169 | $ 162 |
Revenues - Consolidated Revenue
Revenues - Consolidated Revenue Information by Geographic Area (Detail) - USD ($) $ in Millions | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2021 | Jun. 30, 2020 | Jun. 30, 2021 | Jun. 30, 2020 | |
Segment Reporting Information [Line Items] | ||||
Revenue | $ 1,553 | $ 1,435 | $ 3,153 | $ 2,725 |
MIS | ||||
Segment Reporting Information [Line Items] | ||||
Revenue | 980 | 938 | 2,016 | 1,732 |
MA | ||||
Segment Reporting Information [Line Items] | ||||
Revenue | 573 | 497 | 1,137 | 993 |
United States | ||||
Segment Reporting Information [Line Items] | ||||
Revenue | 831 | 837 | 1,716 | 1,551 |
United States | MIS | ||||
Segment Reporting Information [Line Items] | ||||
Revenue | 582 | 616 | 1,229 | 1,119 |
United States | MA | ||||
Segment Reporting Information [Line Items] | ||||
Revenue | 249 | 221 | 487 | 432 |
Non-U.S. | ||||
Segment Reporting Information [Line Items] | ||||
Revenue | 722 | 598 | 1,437 | 1,174 |
Non-U.S. | MIS | ||||
Segment Reporting Information [Line Items] | ||||
Revenue | 398 | 322 | 787 | 613 |
Non-U.S. | MA | ||||
Segment Reporting Information [Line Items] | ||||
Revenue | 324 | 276 | 650 | 561 |
EMEA | ||||
Segment Reporting Information [Line Items] | ||||
Revenue | 481 | 373 | 959 | 736 |
EMEA | MIS | ||||
Segment Reporting Information [Line Items] | ||||
Revenue | 248 | 183 | 496 | 354 |
EMEA | MA | ||||
Segment Reporting Information [Line Items] | ||||
Revenue | 233 | 190 | 463 | 382 |
Asia-Pacific | ||||
Segment Reporting Information [Line Items] | ||||
Revenue | 155 | 144 | 311 | 280 |
Asia-Pacific | MIS | ||||
Segment Reporting Information [Line Items] | ||||
Revenue | 100 | 90 | 197 | 171 |
Asia-Pacific | MA | ||||
Segment Reporting Information [Line Items] | ||||
Revenue | 55 | 54 | 114 | 109 |
Americas | ||||
Segment Reporting Information [Line Items] | ||||
Revenue | 86 | 81 | 167 | 158 |
Americas | MIS | ||||
Segment Reporting Information [Line Items] | ||||
Revenue | 50 | 49 | 94 | 88 |
Americas | MA | ||||
Segment Reporting Information [Line Items] | ||||
Revenue | $ 36 | $ 32 | $ 73 | $ 70 |
Revenues - Transaction and Rela
Revenues - Transaction and Relationship Revenue (Detail) - USD ($) $ in Millions | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2021 | Jun. 30, 2020 | Jun. 30, 2021 | Jun. 30, 2020 | |
Disaggregation of Revenue [Line Items] | ||||
Revenue | $ 1,553 | $ 1,435 | $ 3,153 | $ 2,725 |
Percentage of Revenues | 100.00% | 100.00% | 100.00% | 100.00% |
MIS | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenue | $ 980 | $ 938 | $ 2,016 | $ 1,732 |
Percentage of Revenues | 100.00% | 100.00% | 100.00% | 100.00% |
MA | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenue | $ 573 | $ 497 | $ 1,137 | $ 993 |
Percentage of Revenues | 100.00% | 100.00% | 100.00% | 100.00% |
Corporate Finance (CFG) | MIS | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenue | $ 550 | $ 572 | $ 1,155 | $ 1,025 |
Percentage of Revenues | 100.00% | 100.00% | 100.00% | 100.00% |
Financial Institutions (FIG) | MIS | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenue | $ 150 | $ 142 | $ 312 | $ 267 |
Percentage of Revenues | 100.00% | 100.00% | 100.00% | 100.00% |
Public, Project And Infrastructure Finance (PPIF) | MIS | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenue | $ 130 | $ 133 | $ 273 | $ 242 |
Percentage of Revenues | 100.00% | 100.00% | 100.00% | 100.00% |
Structured Finance (SFG) | MIS | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenue | $ 140 | $ 81 | $ 256 | $ 177 |
Percentage of Revenues | 100.00% | 100.00% | 100.00% | 100.00% |
MIS Other | MIS | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenue | $ 10 | $ 10 | $ 20 | $ 21 |
Percentage of Revenues | 100.00% | 100.00% | 100.00% | 100.00% |
Research, Data And Analytics (RD&A) | MA | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenue | $ 435 | $ 366 | $ 854 | $ 724 |
Percentage of Revenues | 100.00% | 100.00% | 100.00% | 100.00% |
Enterprise Risk Solutions (ERS) | MA | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenue | $ 138 | $ 131 | $ 283 | $ 269 |
Percentage of Revenues | 100.00% | 100.00% | 100.00% | 100.00% |
Transaction Revenue | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenue | $ 724 | $ 706 | $ 1,512 | $ 1,275 |
Percentage of Revenues | 47.00% | 49.00% | 48.00% | 47.00% |
Transaction Revenue | MIS | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenue | $ 686 | $ 664 | $ 1,431 | $ 1,183 |
Percentage of Revenues | 70.00% | 71.00% | 71.00% | 68.00% |
Transaction Revenue | MA | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenue | $ 38 | $ 42 | $ 81 | $ 92 |
Percentage of Revenues | 7.00% | 8.00% | 7.00% | 9.00% |
Transaction Revenue | Corporate Finance (CFG) | MIS | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenue | $ 427 | $ 457 | $ 914 | $ 795 |
Percentage of Revenues | 78.00% | 80.00% | 79.00% | 78.00% |
Transaction Revenue | Financial Institutions (FIG) | MIS | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenue | $ 79 | $ 76 | $ 169 | $ 136 |
Percentage of Revenues | 53.00% | 54.00% | 54.00% | 51.00% |
Transaction Revenue | Public, Project And Infrastructure Finance (PPIF) | MIS | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenue | $ 88 | $ 96 | $ 188 | $ 165 |
Percentage of Revenues | 68.00% | 72.00% | 69.00% | 68.00% |
Transaction Revenue | Structured Finance (SFG) | MIS | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenue | $ 92 | $ 35 | $ 158 | $ 85 |
Percentage of Revenues | 66.00% | 43.00% | 62.00% | 48.00% |
Transaction Revenue | MIS Other | MIS | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenue | $ 0 | $ 0 | $ 2 | $ 2 |
Percentage of Revenues | 0.00% | 0.00% | 10.00% | 10.00% |
Transaction Revenue | Research, Data And Analytics (RD&A) | MA | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenue | $ 22 | $ 16 | $ 42 | $ 34 |
Percentage of Revenues | 5.00% | 4.00% | 5.00% | 5.00% |
Transaction Revenue | Enterprise Risk Solutions (ERS) | MA | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenue | $ 16 | $ 26 | $ 39 | $ 58 |
Percentage of Revenues | 12.00% | 20.00% | 14.00% | 22.00% |
Recurring Revenue | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenue | $ 829 | $ 729 | $ 1,641 | $ 1,450 |
Percentage of Revenues | 53.00% | 51.00% | 52.00% | 53.00% |
Recurring Revenue | MIS | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenue | $ 294 | $ 274 | $ 585 | $ 549 |
Percentage of Revenues | 30.00% | 29.00% | 29.00% | 32.00% |
Recurring Revenue | MA | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenue | $ 535 | $ 455 | $ 1,056 | $ 901 |
Percentage of Revenues | 93.00% | 92.00% | 93.00% | 91.00% |
Recurring Revenue | Corporate Finance (CFG) | MIS | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenue | $ 123 | $ 115 | $ 241 | $ 230 |
Percentage of Revenues | 22.00% | 20.00% | 21.00% | 22.00% |
Recurring Revenue | Financial Institutions (FIG) | MIS | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenue | $ 71 | $ 66 | $ 143 | $ 131 |
Percentage of Revenues | 47.00% | 46.00% | 46.00% | 49.00% |
Recurring Revenue | Public, Project And Infrastructure Finance (PPIF) | MIS | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenue | $ 42 | $ 37 | $ 85 | $ 77 |
Percentage of Revenues | 32.00% | 28.00% | 31.00% | 32.00% |
Recurring Revenue | Structured Finance (SFG) | MIS | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenue | $ 48 | $ 46 | $ 98 | $ 92 |
Percentage of Revenues | 34.00% | 57.00% | 38.00% | 52.00% |
Recurring Revenue | MIS Other | MIS | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenue | $ 10 | $ 10 | $ 18 | $ 19 |
Percentage of Revenues | 100.00% | 100.00% | 90.00% | 90.00% |
Recurring Revenue | Research, Data And Analytics (RD&A) | MA | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenue | $ 413 | $ 350 | $ 812 | $ 690 |
Percentage of Revenues | 95.00% | 96.00% | 95.00% | 95.00% |
Recurring Revenue | Enterprise Risk Solutions (ERS) | MA | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenue | $ 122 | $ 105 | $ 244 | $ 211 |
Percentage of Revenues | 88.00% | 80.00% | 86.00% | 78.00% |
Revenues - Revenue Recognition
Revenues - Revenue Recognition Timing (Detail) - USD ($) $ in Millions | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2021 | Jun. 30, 2020 | Jun. 30, 2021 | Jun. 30, 2020 | |
Disaggregation of Revenue [Line Items] | ||||
Revenue recognized | $ 1,553 | $ 1,435 | $ 3,153 | $ 2,725 |
At Point in Time | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenue recognized | 706 | 684 | 1,480 | 1,242 |
Over Time | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenue recognized | 847 | 751 | 1,673 | 1,483 |
MIS | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenue recognized | 980 | 938 | 2,016 | 1,732 |
MIS | At Point in Time | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenue recognized | 686 | 664 | 1,431 | 1,183 |
MIS | Over Time | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenue recognized | 294 | 274 | 585 | 549 |
MA | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenue recognized | 573 | 497 | 1,137 | 993 |
MA | At Point in Time | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenue recognized | 20 | 20 | 49 | 59 |
MA | Over Time | ||||
Disaggregation of Revenue [Line Items] | ||||
Revenue recognized | $ 553 | $ 477 | $ 1,088 | $ 934 |
Revenues - Additional Informati
Revenues - Additional Information (Detail) - USD ($) $ in Millions | Jun. 30, 2021 | Dec. 31, 2020 |
MIS | ||
Disaggregation of Revenue [Line Items] | ||
Unbilled Receivables | $ 429 | $ 361 |
MA | ||
Disaggregation of Revenue [Line Items] | ||
Unbilled Receivables | $ 95 | $ 98 |
Revenues - Schedule of Changes
Revenues - Schedule of Changes in the Deferred Revenue Balances (Detail) - USD ($) $ in Millions | 3 Months Ended | 6 Months Ended | |||
Jun. 30, 2021 | Jun. 30, 2020 | Jun. 30, 2021 | Jun. 30, 2020 | Dec. 31, 2020 | |
Change in Contract with Customer, Liability [Abstract] | |||||
Beginning Balance | $ 1,328 | $ 1,222 | $ 1,187 | $ 1,162 | |
Revenue recognized that was included in the deferred revenue balance at the beginning of the period | (457) | (456) | (727) | (745) | |
Increases due to amounts billable excluding amounts recognized as revenue during the period | 360 | 334 | 774 | 691 | |
Increases due to acquisitions during the period | 4 | 20 | |||
Effect of exchange rate changes | 4 | 5 | (3) | (23) | |
Total changes in deferred revenue | (93) | (117) | 48 | (57) | |
Ending Balance | 1,235 | 1,105 | 1,235 | 1,105 | |
Deferred revenue - current | 1,142 | 1,001 | 1,142 | 1,001 | $ 1,089 |
Deferred revenue - noncurrent | 93 | 104 | 93 | 104 | $ 98 |
MIS | |||||
Change in Contract with Customer, Liability [Abstract] | |||||
Beginning Balance | 388 | 379 | 313 | 322 | |
Revenue recognized that was included in the deferred revenue balance at the beginning of the period | (119) | (115) | (162) | (167) | |
Increases due to amounts billable excluding amounts recognized as revenue during the period | 98 | 100 | 219 | 213 | |
Increases due to acquisitions during the period | 0 | 0 | |||
Effect of exchange rate changes | 1 | 1 | (2) | (3) | |
Total changes in deferred revenue | (20) | (14) | 55 | 43 | |
Ending Balance | 368 | 365 | 368 | 365 | |
Deferred revenue - current | 279 | 265 | 279 | 265 | |
Deferred revenue - noncurrent | 89 | 100 | 89 | 100 | |
Decrease due to change in recognition of contract renewals | 99 | ||||
MA | |||||
Change in Contract with Customer, Liability [Abstract] | |||||
Beginning Balance | 940 | 843 | 874 | 840 | |
Revenue recognized that was included in the deferred revenue balance at the beginning of the period | (338) | (341) | (565) | (578) | |
Increases due to amounts billable excluding amounts recognized as revenue during the period | 262 | 234 | 555 | 478 | |
Increases due to acquisitions during the period | 4 | 20 | |||
Effect of exchange rate changes | 3 | 4 | (1) | (20) | |
Total changes in deferred revenue | (73) | (103) | (7) | (100) | |
Ending Balance | 867 | 740 | 867 | 740 | |
Deferred revenue - current | 863 | 736 | 863 | 736 | |
Deferred revenue - noncurrent | $ 4 | $ 4 | $ 4 | 4 | |
Decrease due to change in recognition of contract renewals | $ 99 |
Revenues - Expected Recognition
Revenues - Expected Recognition Period for Remaining Performance Obligations (Detail) $ in Millions | Jun. 30, 2021USD ($) |
MIS | |
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction [Line Items] | |
Revenue, remaining performance obligation, amount | $ 118 |
MIS | Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction, Start Date [Axis]: 2021-07-01 | |
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction [Line Items] | |
Revenue, remaining performance obligation, percentage | 20.00% |
Revenue, remaining performance obligation, period | 1 year |
MIS | Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction, Start Date [Axis]: 2022-07-01 | |
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction [Line Items] | |
Revenue, remaining performance obligation, percentage | 50.00% |
Revenue, remaining performance obligation, period | 4 years |
MA | |
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction [Line Items] | |
Revenue, remaining performance obligation, amount | $ 2,200 |
MA | Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction, Start Date [Axis]: 2021-07-01 | |
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction [Line Items] | |
Revenue, remaining performance obligation, percentage | 65.00% |
Revenue, remaining performance obligation, period | 1 year |
MA | Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction, Start Date [Axis]: 2022-07-01 | |
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction [Line Items] | |
Revenue, remaining performance obligation, percentage | 20.00% |
Revenue, remaining performance obligation, period | 1 year |
Stock-Based Compensation - Stoc
Stock-Based Compensation - Stock-Based Compensation Cost and Associated Tax Benefit (Detail) - USD ($) $ in Millions | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2021 | Jun. 30, 2020 | Jun. 30, 2021 | Jun. 30, 2020 | |
Share-based Payment Arrangement, Noncash Expense [Abstract] | ||||
Stock-based compensation cost | $ 41 | $ 35 | $ 86 | $ 72 |
Tax benefit | $ 10 | $ 7 | $ 21 | $ 14 |
Stock-Based Compensation - Addi
Stock-Based Compensation - Additional Information (Detail) $ / shares in Units, shares in Millions, $ in Millions | 6 Months Ended |
Jun. 30, 2021USD ($)$ / sharesshares | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |
Employee stock options, granted (in shares) | shares | 0.1 |
Employee stock options, weighted average grant date fair value (in usd per share) | $ / shares | $ 67.41 |
Restricted Stock | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |
Other than options, shares granted (in shares) | shares | 0.5 |
Other than options, weighted average grant date fair value (in usd per share) | $ / shares | $ 277.22 |
Award vesting period (in years) | 4 years |
Unrecognized compensation expense | $ | $ 230 |
Weighted average period to recognize expense | 2 years 7 months 6 days |
Employee Stock Option | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |
Award vesting period (in years) | 4 years |
Unrecognized compensation expense | $ | $ 11 |
Weighted average period to recognize expense | 2 years 6 months |
Performance Based Restricted Stock | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |
Other than options, shares granted (in shares) | shares | 0.1 |
Other than options, weighted average grant date fair value (in usd per share) | $ / shares | $ 268.85 |
Award vesting period (in years) | 3 years |
Unrecognized compensation expense | $ | $ 39 |
Weighted average period to recognize expense | 2 years 1 month 6 days |
Stock-Based Compensation - Weig
Stock-Based Compensation - Weighted Average Assumptions used in Determining Fair Value for Options Granted (Detail) | 6 Months Ended |
Jun. 30, 2021 | |
Share-based Compensation Arrangement by Share-based Payment Award, Fair Value Assumptions and Methodology [Abstract] | |
Expected dividend yield | 0.89% |
Expected stock volatility | 28.00% |
Risk-free interest rate | 0.81% |
Expected holding period | 5 years 7 months 6 days |
Stock-Based Compensation - St_2
Stock-Based Compensation - Stock Option Exercises and Restricted Stock Vesting (Detail) - USD ($) shares in Millions, $ in Millions | 6 Months Ended | |
Jun. 30, 2021 | Jun. 30, 2020 | |
Share-based Payment Arrangement, Option, Exercise Price Range [Line Items] | ||
Proceeds from stock option exercises | $ 16 | $ 23 |
Aggregate intrinsic value | 35 | 74 |
Tax benefit realized upon exercise | $ 8 | $ 18 |
Number of shares exercised (shares) | 0.2 | 0.4 |
Restricted Stock | ||
Share-based Payment Arrangement, Option, Exercise Price Range [Line Items] | ||
Fair value of shares vested | $ 187 | $ 193 |
Tax benefit realized upon vesting | $ 43 | $ 45 |
Number of shares vested (shares) | 0.7 | 0.8 |
Performance Based Restricted Stock | ||
Share-based Payment Arrangement, Option, Exercise Price Range [Line Items] | ||
Fair value of shares vested | $ 28 | $ 70 |
Tax benefit realized upon vesting | $ 7 | $ 17 |
Number of shares vested (shares) | 0.1 | 0.3 |
Income Taxes - Additional Infor
Income Taxes - Additional Information (Detail) - USD ($) $ in Millions | 3 Months Ended | 6 Months Ended | |||
Jun. 30, 2021 | Mar. 31, 2021 | Jun. 30, 2020 | Jun. 30, 2021 | Jun. 30, 2020 | |
Income Tax Contingency [Line Items] | |||||
Effective tax rate (percent) | 23.90% | 23.60% | 19.00% | 19.00% | |
Excess tax benefits from stock compensation | $ 26 | ||||
Reduction resulting from lapse of applicable statute of limitations and settlement | 61 | ||||
Overall increase (decrease) in unrecognized tax benefits (UTPs) | $ 4 | (76) | |||
Interest accrued on UTPs | $ 40 | 40 | |||
Net of Federal Tax | |||||
Income Tax Contingency [Line Items] | |||||
Overall increase (decrease) in unrecognized tax benefits (UTPs) | $ 4 | $ (67) |
Income Taxes - Income Taxes Pai
Income Taxes - Income Taxes Paid (Detail) - USD ($) $ in Millions | 6 Months Ended | |
Jun. 30, 2021 | Jun. 30, 2020 | |
Income Tax Disclosure [Abstract] | ||
Income taxes paid | $ 327 | $ 111 |
Weighted Average Shares Outst_3
Weighted Average Shares Outstanding - Reconciliation of Basic to Diluted Shares Outstanding (Detail) - shares shares in Millions | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2021 | Jun. 30, 2020 | Jun. 30, 2021 | Jun. 30, 2020 | |
Earnings Per Share [Abstract] | ||||
Basic (in shares) | 186.7 | 187.7 | 187 | 187.6 |
Dilutive effect of shares issuable under stock-based compensation plans (in shares) | 1.2 | 1.3 | 1.2 | 1.7 |
Diluted (in shares) | 187.9 | 189 | 188.2 | 189.3 |
Anti-dilutive options to purchase common shares and restricted stock as well as contingently issuable restricted stock which are excluded from the table above (in shares) | 0.2 | 0.3 | 0.3 | 0.3 |
Cash Equivalents and Investme_3
Cash Equivalents and Investments (Detail) - USD ($) $ in Millions | 6 Months Ended | 12 Months Ended |
Jun. 30, 2021 | Dec. 31, 2020 | |
Cash and Cash Equivalents [Line Items] | ||
Cash and cash equivalents | $ 2,809 | $ 2,597 |
Short-term investments | 88 | 99 |
Certificates of deposit and money market deposit accounts | ||
Cash and Cash Equivalents [Line Items] | ||
Cost | 1,481 | 1,430 |
Gains/(Losses) | 0 | 0 |
Fair Value | 1,481 | 1,430 |
Cash and cash equivalents | 1,370 | 1,325 |
Short-term investments | 88 | 99 |
Other assets | 23 | 6 |
Mutual funds | ||
Cash and Cash Equivalents [Line Items] | ||
Cost | 53 | 54 |
Gains/(Losses) | 7 | 6 |
Fair Value | 60 | 60 |
Cash and cash equivalents | 0 | 0 |
Short-term investments | 0 | 0 |
Other assets | $ 60 | $ 60 |
Cash Equivalents and Investme_4
Cash Equivalents and Investments (Footnote) (Detail) - Certificates of deposit and money market deposit accounts | 6 Months Ended | 12 Months Ended |
Jun. 30, 2021 | Dec. 31, 2020 | |
Short-term Investments | Minimum | ||
Cash and Cash Equivalents [Line Items] | ||
Securities maturity period | 1 month | |
Short-term Investments | Maximum | ||
Cash and Cash Equivalents [Line Items] | ||
Securities maturity period | 12 months | |
Other assets | Minimum | ||
Cash and Cash Equivalents [Line Items] | ||
Securities maturity period | 13 months | |
Other assets | Maximum | ||
Cash and Cash Equivalents [Line Items] | ||
Securities maturity period | 23 months | |
Cash and Cash Equivalents | Maximum | ||
Cash and Cash Equivalents [Line Items] | ||
Securities maturity period | 90 days |
Cash Equivalents and Investme_5
Cash Equivalents and Investments (Narrative) (Detail) - USD ($) $ in Millions | Jun. 30, 2021 | Dec. 31, 2020 |
Cash and Cash Equivalents [Abstract] | ||
Company owned life insurance (at contract value) | $ 36 | $ 17 |
Acquisitions - Narrative (Detai
Acquisitions - Narrative (Details) - USD ($) $ in Millions | Mar. 19, 2021 | Feb. 13, 2020 |
Cortera | ||
Business Acquisition [Line Items] | ||
Business acquisition interests acquired | 100.00% | |
Acquired cash included in current assets | $ 4 | |
Accounts receivable gross included in current assets | $ 2 | |
Regulatory Data Corporation | ||
Business Acquisition [Line Items] | ||
Business acquisition interests acquired | 100.00% | |
Acquired cash included in current assets | $ 6 | |
Accounts receivable gross included in current assets | $ 14 |
Acquisitions - Total Considerat
Acquisitions - Total Consideration Relating to Acquisition (Details) - USD ($) $ in Millions | Mar. 19, 2021 | Feb. 13, 2020 |
Cortera | ||
Business Acquisition [Line Items] | ||
Cash paid at closing | $ 138 | |
Additional consideration to be paid to sellers | 1 | |
Total consideration | $ 139 | |
Regulatory Data Corporation | ||
Business Acquisition [Line Items] | ||
Cash paid at closing | $ 700 | |
Additional consideration to be paid to sellers | 2 | |
Total consideration | $ 702 |
Acquisitions - Purchase Price A
Acquisitions - Purchase Price Allocation (Details) - USD ($) $ in Millions | Mar. 19, 2021 | Feb. 13, 2020 | Jun. 30, 2021 | Dec. 31, 2020 | Dec. 31, 2019 |
Business Acquisition [Line Items] | |||||
Goodwill | $ 4,590 | $ 4,556 | $ 3,722 | ||
Cortera | |||||
Business Acquisition [Line Items] | |||||
Current assets | $ 7 | ||||
Total intangible assets | 57 | ||||
Goodwill | 95 | ||||
Other assets | 2 | ||||
Liabilities: | |||||
Accounts payable and accrued liabilities | (1) | ||||
Deferred revenue | (4) | ||||
Deferred tax liabilities | (15) | ||||
Other liabilities | (2) | ||||
Total liabilities | (22) | ||||
Net assets acquired | $ 139 | ||||
Acquired finite-lived intangible asset, useful life | 11 years | ||||
Cortera | Database | |||||
Business Acquisition [Line Items] | |||||
Total intangible assets | $ 38 | ||||
Liabilities: | |||||
Finite-lived intangible asset, useful life | 10 years | ||||
Cortera | Customer relationships | |||||
Business Acquisition [Line Items] | |||||
Total intangible assets | $ 9 | ||||
Liabilities: | |||||
Finite-lived intangible asset, useful life | 18 years | ||||
Cortera | Product technology | |||||
Business Acquisition [Line Items] | |||||
Total intangible assets | $ 9 | ||||
Liabilities: | |||||
Finite-lived intangible asset, useful life | 8 years | ||||
Cortera | Trade names | |||||
Business Acquisition [Line Items] | |||||
Total intangible assets | $ 1 | ||||
Liabilities: | |||||
Finite-lived intangible asset, useful life | 5 years | ||||
Regulatory Data Corporation | |||||
Business Acquisition [Line Items] | |||||
Current assets | $ 24 | ||||
Total intangible assets | 280 | ||||
Goodwill | 494 | ||||
Other assets | 2 | ||||
Liabilities: | |||||
Accounts payable and accrued liabilities | (5) | ||||
Deferred revenue | (20) | ||||
Deferred tax liabilities | (71) | ||||
Other liabilities | (2) | ||||
Total liabilities | (98) | ||||
Net assets acquired | $ 702 | ||||
Acquired finite-lived intangible asset, useful life | 19 years | ||||
Regulatory Data Corporation | Database | |||||
Business Acquisition [Line Items] | |||||
Total intangible assets | $ 86 | ||||
Liabilities: | |||||
Finite-lived intangible asset, useful life | 10 years | ||||
Regulatory Data Corporation | Customer relationships | |||||
Business Acquisition [Line Items] | |||||
Total intangible assets | $ 174 | ||||
Liabilities: | |||||
Finite-lived intangible asset, useful life | 25 years | ||||
Regulatory Data Corporation | Product technology | |||||
Business Acquisition [Line Items] | |||||
Total intangible assets | $ 17 | ||||
Liabilities: | |||||
Finite-lived intangible asset, useful life | 4 years | ||||
Regulatory Data Corporation | Trade names | |||||
Business Acquisition [Line Items] | |||||
Total intangible assets | $ 3 | ||||
Liabilities: | |||||
Finite-lived intangible asset, useful life | 3 years |
Derivative Instruments And He_3
Derivative Instruments And Hedging Activities - Schedule of Interest Rate Swap (Details) - Fair Value Hedging - Interest Rate Swap - USD ($) $ in Millions | 6 Months Ended | |
Jun. 30, 2021 | Dec. 31, 2020 | |
Derivative [Line Items] | ||
Notional Amount | $ 1,380 | $ 1,380 |
2012 Senior Notes due 2022 | ||
Derivative [Line Items] | ||
Nature of Swap | Pay Floating/Receive Fixed | |
Notional Amount | $ 330 | 330 |
Floating Interest Rate | 3-month USD LIBOR | |
2017 Senior Notes due 2023 | ||
Derivative [Line Items] | ||
Nature of Swap | Pay Floating/Receive Fixed | |
Notional Amount | $ 250 | 250 |
Floating Interest Rate | 3-month USD LIBOR | |
2017 Senior Notes due 2028 | ||
Derivative [Line Items] | ||
Nature of Swap | Pay Floating/Receive Fixed | |
Notional Amount | $ 500 | 500 |
Floating Interest Rate | 3-month USD LIBOR | |
2020 Senior Notes due 2025 | ||
Derivative [Line Items] | ||
Nature of Swap | Pay Floating/Receive Fixed | |
Notional Amount | $ 300 | $ 300 |
Floating Interest Rate | 6-month USD LIBOR |
Derivative Instruments And He_4
Derivative Instruments And Hedging Activities - Summary of Net Gain (Loss) on Interest Rate Swaps Designated in Fair Value Hedge (Detail) - USD ($) $ in Millions | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2021 | Jun. 30, 2020 | Jun. 30, 2021 | Jun. 30, 2020 | |
Derivative Instruments, Gain (Loss) [Line Items] | ||||
Interest expense, net | $ (49) | $ (60) | $ (56) | $ (100) |
Designated as Hedging Instrument | Interest Rate Swap | Interest Expense | ||||
Derivative Instruments, Gain (Loss) [Line Items] | ||||
Fair value changes on interest rate swaps | 0 | 2 | (24) | 60 |
Fair value changes on hedged debt | 0 | (2) | 24 | (60) |
Designated as Hedging Instrument | Interest Rate Swap | Interest Expense | Fair Value hedge Net Interest Settlements and Accruals | ||||
Derivative Instruments, Gain (Loss) [Line Items] | ||||
Net interest settlements and accruals on interest rate swaps | $ 6 | $ 5 | $ 11 | $ 8 |
Derivative Instruments And He_5
Derivative Instruments And Hedging Activities - Additional Information (Detail) | 1 Months Ended | ||||
Jan. 31, 2020USD ($) | Jun. 30, 2021USD ($) | Jun. 30, 2021EUR (€) | Dec. 31, 2020USD ($) | Apr. 30, 2020USD ($) | |
Derivative [Line Items] | |||||
Cumulative loss | $ 425,000,000 | $ 432,000,000 | |||
Designated as Hedging Instrument | |||||
Derivative [Line Items] | |||||
Cumulative loss | 164,000,000 | 269,000,000 | |||
Net Investment Hedging | Designated as Hedging Instrument | |||||
Derivative [Line Items] | |||||
Cumulative loss | 116,000,000 | 220,000,000 | |||
Net Investment Hedging | Designated as Hedging Instrument | Cross-currency swap | |||||
Derivative [Line Items] | |||||
Notional Amount | € | € 2,019,000,000 | ||||
Cumulative loss | 70,000,000 | 124,000,000 | |||
Cash Flow Hedging | Forward Contracts | |||||
Derivative [Line Items] | |||||
Cumulative loss | $ 68,000,000 | ||||
Cash Flow Hedging | Designated as Hedging Instrument | |||||
Derivative [Line Items] | |||||
Cumulative loss | 48,000,000 | 49,000,000 | |||
Cash Flow Hedging | Designated as Hedging Instrument | Cross-currency swap | |||||
Derivative [Line Items] | |||||
Cumulative loss | $ (2,000,000) | $ (2,000,000) | |||
Cash Flow Hedging | Designated as Hedging Instrument | Forward Contracts | |||||
Derivative [Line Items] | |||||
Notional Amount | $ 300,000,000 | ||||
Forward interest rate | 2.0103% | ||||
Debt instrument, term | 30 years | ||||
1.75% 2015 Senior Notes, due 2027 | |||||
Derivative [Line Items] | |||||
Notes payable, interest rate | 1.75% | 1.75% | 1.75% | ||
1.75% 2015 Senior Notes, due 2027 | Net Investment Hedging | Designated as Hedging Instrument | Cross-currency swap | |||||
Derivative [Line Items] | |||||
Notional Amount | € | € 500,000,000 | ||||
2019 Senior Notes Due 2030 | Net Investment Hedging | Designated as Hedging Instrument | Cross-currency swap | |||||
Derivative [Line Items] | |||||
Notional Amount | € | € 750,000,000 | ||||
3.25% 2020 Senior Notes, due 2050 | |||||
Derivative [Line Items] | |||||
Notes payable, interest rate | 3.25% | 3.25% | 3.25% |
Derivative Instruments And He_6
Derivative Instruments And Hedging Activities - Summary of Notional Amounts of Outstanding Cross Currency Swap (Detail) - Cross-currency swap - Net Investment Hedging € in Millions, $ in Millions | 6 Months Ended | 12 Months Ended | ||
Jun. 30, 2021USD ($) | Dec. 31, 2020USD ($) | Jun. 30, 2021EUR (€) | Dec. 31, 2020EUR (€) | |
3.96% | ||||
Derivative [Line Items] | ||||
Nature of Swap | Pay Fixed/Receive Fixed | Pay Fixed/Receive Fixed | ||
3-month U.S. LIBOR | ||||
Derivative [Line Items] | ||||
Nature of Swap | Pay Floating/Receive Floating | Pay Floating/Receive Floating | ||
Currency Paid | ||||
Derivative [Line Items] | ||||
Notional Amount | € | € 2,019 | € 2,038 | ||
Currency Paid | 1.43% | ||||
Derivative [Line Items] | ||||
Notional Amount | € | € 1,060 | € 1,079 | ||
Weighted Average Fixed Interest Rate | 2.15% | 1.43% | 2.15% | 1.43% |
Currency Paid | 3-month EURIBOR | ||||
Derivative [Line Items] | ||||
Notional Amount | € | € 959 | € 959 | ||
Weighted Average Floating Interest Rate | Based on 3-month EURIBOR | Based on 3-month EURIBOR | ||
Currency Received | ||||
Derivative [Line Items] | ||||
Notional Amount | $ | $ 2,300 | $ 2,300 | ||
Currency Received | 3.96% | ||||
Derivative [Line Items] | ||||
Notional Amount | $ | $ 1,220 | $ 1,220 | ||
Weighted Average Fixed Interest Rate | 4.45% | 3.96% | 4.45% | 3.96% |
Currency Received | 3-month U.S. LIBOR | ||||
Derivative [Line Items] | ||||
Notional Amount | $ | $ 1,080 | $ 1,080 | ||
Weighted Average Floating Interest Rate | Based on 3-month USD LIBOR | Based on 3-month USD LIBOR |
Derivative Instruments And He_7
Derivative Instruments And Hedging Activities - Schedule of Notional Amount of Net Investment Hedges (Detail) - Designated as Hedging Instrument - Cross-currency swap € in Millions | Jun. 30, 2021EUR (€) |
Net Investment Hedging | |
Derivative [Line Items] | |
Notional Amount | € 2,019 |
2021 | |
Derivative [Line Items] | |
Notional Amount | 0 |
2022 | |
Derivative [Line Items] | |
Notional Amount | 438 |
2023 | |
Derivative [Line Items] | |
Notional Amount | 442 |
2024 | |
Derivative [Line Items] | |
Notional Amount | 443 |
2026 | |
Derivative [Line Items] | |
Notional Amount | 450 |
2027 | |
Derivative [Line Items] | |
Notional Amount | € 246 |
Derivative Instruments And He_8
Derivative Instruments And Hedging Activities - Summary of Notional Amounts of Outstanding Foreign Exchange Forwards (Detail) - Not Designated as Accounting Hedges ₽ in Millions, € in Millions, ₨ in Millions, ¥ in Millions, £ in Millions, $ in Millions, $ in Millions, $ in Millions | Jun. 30, 2021USD ($) | Jun. 30, 2021EUR (€) | Jun. 30, 2021GBP (£) | Jun. 30, 2021JPY (¥) | Jun. 30, 2021CAD ($) | Jun. 30, 2021SGD ($) | Jun. 30, 2021RUB (₽) | Jun. 30, 2021INR (₨) | Dec. 31, 2020USD ($) | Dec. 31, 2020EUR (€) | Dec. 31, 2020GBP (£) | Dec. 31, 2020JPY (¥) | Dec. 31, 2020CAD ($) | Dec. 31, 2020SGD ($) | Dec. 31, 2020RUB (₽) | Dec. 31, 2020INR (₨) |
Contracts to sell USD for GBP | ||||||||||||||||
Derivative [Line Items] | ||||||||||||||||
Notional Amount | $ 424 | £ 301 | $ 295 | £ 222 | ||||||||||||
Contracts to sell USD for Japanese yen | ||||||||||||||||
Derivative [Line Items] | ||||||||||||||||
Notional Amount | 15 | ¥ 1,600 | 15 | ¥ 1,600 | ||||||||||||
Contracts to sell USD for Canadian dollars | ||||||||||||||||
Derivative [Line Items] | ||||||||||||||||
Notional Amount | 105 | $ 129 | 107 | $ 140 | ||||||||||||
Contracts to sell USD for Singapore dollars | ||||||||||||||||
Derivative [Line Items] | ||||||||||||||||
Notional Amount | 59 | $ 79 | 59 | $ 79 | ||||||||||||
Contracts to sell USD for euros | ||||||||||||||||
Derivative [Line Items] | ||||||||||||||||
Notional Amount | 549 | € 450 | 447 | € 376 | ||||||||||||
Contracts to sell Euros for GBP | ||||||||||||||||
Derivative [Line Items] | ||||||||||||||||
Notional Amount | € 135 | £ 116 | € 135 | £ 121 | ||||||||||||
Contracts to sell USD for Russian ruble | ||||||||||||||||
Derivative [Line Items] | ||||||||||||||||
Notional Amount | 13 | ₽ 1,000 | 13 | ₽ 1,000 | ||||||||||||
Contracts to sell USD for Indian rupee | ||||||||||||||||
Derivative [Line Items] | ||||||||||||||||
Notional Amount | $ 18 | ₨ 1,350 | $ 18 | ₨ 1,350 |
Derivative Instruments And He_9
Derivative Instruments And Hedging Activities - Summary of Notional Amounts of Outstanding Forward Contracts Designated as a Net Investment Hedge (Detail) - Net Investment Hedging - Designated as Hedging Instrument € in Millions, £ in Millions, $ in Millions | Jun. 30, 2021USD ($) | Jun. 30, 2021EUR (€) | Jun. 30, 2021GBP (£) | Dec. 31, 2020USD ($) | Dec. 31, 2020EUR (€) | Dec. 31, 2020GBP (£) |
Contract to sell EUR for USD | ||||||
Derivative [Line Items] | ||||||
Notional Amount | $ 728 | € 597 | $ 627 | € 524 | ||
Contract to sell GBP for EUR | ||||||
Derivative [Line Items] | ||||||
Notional Amount | € 155 | £ 134 | € 148 | £ 134 |
Derivative Instruments And H_10
Derivative Instruments And Hedging Activities - Gains (Losses) Recognized in AOCI and Reclassified from AOCI on Derivatives (Detail) - USD ($) $ in Millions | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2021 | Jun. 30, 2020 | Jun. 30, 2021 | Jun. 30, 2020 | |
Derivative Instruments, Gain (Loss) [Line Items] | ||||
Cash Flow Hedging Relationships, Amount of Gain/(Loss) Recognized in AOCI on Derivative, net of Tax | $ 0 | $ (14) | $ 0 | $ (50) |
Total, Amount of Gain/(Loss) Recognized in AOCI on Derivative, net of Tax | (28) | (87) | 105 | (34) |
Net investment hedges - reclassification of gains included in net income - Net of Tax | 0 | 0 | 1 | 0 |
Cash Flow Hedging Relationships, Amount of Gain/(Loss) Reclassified from AOCI into Income, net of Tax | (1) | (1) | ||
Total, Amount of Gain/(Loss) Reclassified from AOCI into Income, net of Tax | 0 | 0 | 0 | (1) |
Gain/(Loss) Recognized in Income on Derivative (Amount Excluded from Effectiveness Testing) | 9 | 14 | 19 | 30 |
Net Investment Hedging | ||||
Derivative Instruments, Gain (Loss) [Line Items] | ||||
Net Investment Hedging Relationships, Amount of Gain/(Loss) Recognized in AOCI on Derivative, net of Tax | (28) | (73) | 105 | 16 |
Net investment hedges - reclassification of gains included in net income - Net of Tax | 0 | 0 | 1 | 0 |
Gain/(Loss) Recognized in Income on Derivative (Amount Excluded from Effectiveness Testing) | 9 | 14 | 19 | 30 |
Cash Flow Hedging | ||||
Derivative Instruments, Gain (Loss) [Line Items] | ||||
Cash Flow Hedging Relationships, Amount of Gain/(Loss) Recognized in AOCI on Derivative, net of Tax | 0 | (14) | 0 | (50) |
Cash Flow Hedging Relationships, Amount of Gain/(Loss) Reclassified from AOCI into Income, net of Tax | 0 | 0 | (1) | (1) |
Gain/(Loss) Recognized in Income on Derivative (Amount Excluded from Effectiveness Testing) | 0 | 0 | 0 | 0 |
FX forwards | Net Investment Hedging | ||||
Derivative Instruments, Gain (Loss) [Line Items] | ||||
Net Investment Hedging Relationships, Amount of Gain/(Loss) Recognized in AOCI on Derivative, net of Tax | 0 | 0 | 16 | 0 |
Net investment hedges - reclassification of gains included in net income - Net of Tax | 0 | 0 | 1 | 0 |
Gain/(Loss) Recognized in Income on Derivative (Amount Excluded from Effectiveness Testing) | 0 | 0 | 0 | 0 |
Cross-currency swap | Net Investment Hedging | ||||
Derivative Instruments, Gain (Loss) [Line Items] | ||||
Net Investment Hedging Relationships, Amount of Gain/(Loss) Recognized in AOCI on Derivative, net of Tax | (18) | (49) | 54 | 17 |
Net investment hedges - reclassification of gains included in net income - Net of Tax | 0 | 0 | 0 | 0 |
Gain/(Loss) Recognized in Income on Derivative (Amount Excluded from Effectiveness Testing) | 9 | 14 | 19 | 30 |
Long-term debt | Net Investment Hedging | ||||
Derivative Instruments, Gain (Loss) [Line Items] | ||||
Net Investment Hedging Relationships, Amount of Gain/(Loss) Recognized in AOCI on Derivative, net of Tax | (10) | (24) | 35 | (1) |
Net investment hedges - reclassification of gains included in net income - Net of Tax | 0 | 0 | 0 | 0 |
Gain/(Loss) Recognized in Income on Derivative (Amount Excluded from Effectiveness Testing) | 0 | 0 | 0 | 0 |
Interest rate contract | Cash Flow Hedging | ||||
Derivative Instruments, Gain (Loss) [Line Items] | ||||
Cash Flow Hedging Relationships, Amount of Gain/(Loss) Recognized in AOCI on Derivative, net of Tax | 0 | (14) | 0 | (50) |
Cash Flow Hedging Relationships, Amount of Gain/(Loss) Reclassified from AOCI into Income, net of Tax | 0 | 0 | (1) | (1) |
Gain/(Loss) Recognized in Income on Derivative (Amount Excluded from Effectiveness Testing) | $ 0 | $ 0 | $ 0 | $ 0 |
Derivative Instruments And H_11
Derivative Instruments And Hedging Activities - Cumulative Amount of Unrecognized Hedge Losses Recorded in AOCI (Detail) - USD ($) $ in Millions | Jun. 30, 2021 | Dec. 31, 2020 |
Derivative [Line Items] | ||
Cumulative Gains/(Losses), net of tax | $ (425) | $ (432) |
Designated as Hedging Instrument | ||
Derivative [Line Items] | ||
Cumulative Gains/(Losses), net of tax | (164) | (269) |
Net Investment Hedging | Designated as Hedging Instrument | ||
Derivative [Line Items] | ||
Cumulative Gains/(Losses), net of tax | (116) | (220) |
Net Investment Hedging | Cross currency swaps | Designated as Hedging Instrument | ||
Derivative [Line Items] | ||
Cumulative Gains/(Losses), net of tax | (70) | (124) |
Net Investment Hedging | FX forwards | Designated as Hedging Instrument | ||
Derivative [Line Items] | ||
Cumulative Gains/(Losses), net of tax | 27 | 12 |
Net Investment Hedging | Long-term debt | Designated as Hedging Instrument | ||
Derivative [Line Items] | ||
Cumulative Gains/(Losses), net of tax | (73) | (108) |
Cash Flow Hedging | Designated as Hedging Instrument | ||
Derivative [Line Items] | ||
Cumulative Gains/(Losses), net of tax | (48) | (49) |
Cash Flow Hedging | Cross currency swaps | Designated as Hedging Instrument | ||
Derivative [Line Items] | ||
Cumulative Gains/(Losses), net of tax | 2 | 2 |
Cash Flow Hedging | Interest rate contract | Designated as Hedging Instrument | ||
Derivative [Line Items] | ||
Cumulative Gains/(Losses), net of tax | $ (50) | $ (51) |
Derivative Instruments And H_12
Derivative Instruments And Hedging Activities - Summary of Net Gain (Loss) on Foreign Exchange Forwards Not Designated as Hedging Instruments (Detail) - USD ($) $ in Millions | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2021 | Jun. 30, 2020 | Jun. 30, 2021 | Jun. 30, 2020 | |
Other non-operating income, net | ||||
Derivative Instruments, Gain (Loss) [Line Items] | ||||
Foreign exchange forwards amount of gain (loss) recognized in income | $ (1) | $ 5 | $ (7) | $ (35) |
Derivative Instruments And H_13
Derivative Instruments And Hedging Activities - Fair Value of Derivative Instruments (Detail) - USD ($) $ in Millions | Jun. 30, 2021 | Dec. 31, 2020 |
Derivatives, Fair Value [Line Items] | ||
Assets | $ 66 | $ 88 |
Liabilities | 1,594 | 1,716 |
Designated as Hedging Instrument | ||
Derivatives, Fair Value [Line Items] | ||
Assets | 63 | 57 |
Liabilities | 86 | 184 |
Designated as Hedging Instrument | Long-term debt | Net Investment Hedging | ||
Derivatives, Fair Value [Line Items] | ||
Liabilities | 1,482 | 1,530 |
Designated as Hedging Instrument | Cross-currency swap | Other assets | Net Investment Hedging | ||
Derivatives, Fair Value [Line Items] | ||
Assets | 7 | 0 |
Designated as Hedging Instrument | Cross-currency swap | Accounts payable and accrued liabilities | Net Investment Hedging | ||
Derivatives, Fair Value [Line Items] | ||
Liabilities | 0 | 23 |
Designated as Hedging Instrument | Cross-currency swap | Other liabilities | Net Investment Hedging | ||
Derivatives, Fair Value [Line Items] | ||
Liabilities | 80 | 144 |
Designated as Hedging Instrument | Interest Rate Swap | Other assets | Fair Value Hedging | ||
Derivatives, Fair Value [Line Items] | ||
Assets | 37 | 57 |
Designated as Hedging Instrument | Interest Rate Swap | Other liabilities | Fair Value Hedging | ||
Derivatives, Fair Value [Line Items] | ||
Liabilities | 5 | 1 |
Designated as Hedging Instrument | FX forwards | Other current assets | Net Investment Hedging | ||
Derivatives, Fair Value [Line Items] | ||
Assets | 19 | 0 |
Designated as Hedging Instrument | FX forwards | Accounts payable and accrued liabilities | Net Investment Hedging | ||
Derivatives, Fair Value [Line Items] | ||
Liabilities | 1 | 16 |
Not Designated as Accounting Hedges | FX forwards | Other current assets | ||
Derivatives, Fair Value [Line Items] | ||
Assets | 3 | 31 |
Not Designated as Accounting Hedges | FX forwards | Accounts payable and accrued liabilities | ||
Derivatives, Fair Value [Line Items] | ||
Liabilities | $ 26 | $ 2 |
Goodwill And Other Acquired I_3
Goodwill And Other Acquired Intangible Assets - Activity in Goodwill (Detail) - USD ($) $ in Millions | 6 Months Ended | 12 Months Ended |
Jun. 30, 2021 | Dec. 31, 2020 | |
Goodwill [Roll Forward] | ||
Beginning balance, goodwill gross | $ 4,568 | $ 3,734 |
Beginning balance, Accumulated impairment charge | (12) | (12) |
Beginning balance, goodwill net | 4,556 | 3,722 |
Additions/adjustments | 95 | 626 |
Foreign currency translation adjustments | (61) | 208 |
Ending balance, goodwill gross | 4,602 | 4,568 |
Ending balance, Accumulated impairment charge | (12) | (12) |
Ending balance, goodwill net | 4,590 | 4,556 |
MIS | ||
Goodwill [Roll Forward] | ||
Beginning balance, goodwill gross | 311 | 315 |
Beginning balance, Accumulated impairment charge | 0 | 0 |
Beginning balance, goodwill net | 311 | 315 |
Additions/adjustments | 0 | (2) |
Foreign currency translation adjustments | 1 | (2) |
Ending balance, goodwill gross | 312 | 311 |
Ending balance, Accumulated impairment charge | 0 | 0 |
Ending balance, goodwill net | 312 | 311 |
MA | ||
Goodwill [Roll Forward] | ||
Beginning balance, goodwill gross | 4,257 | 3,419 |
Beginning balance, Accumulated impairment charge | (12) | (12) |
Beginning balance, goodwill net | 4,245 | 3,407 |
Additions/adjustments | 95 | 628 |
Foreign currency translation adjustments | (62) | 210 |
Ending balance, goodwill gross | 4,290 | 4,257 |
Ending balance, Accumulated impairment charge | (12) | (12) |
Ending balance, goodwill net | $ 4,278 | $ 4,245 |
Goodwill And Other Acquired I_4
Goodwill And Other Acquired Intangible Assets - Acquired Intangible Assets and Related Amortization (Detail) - USD ($) $ in Millions | Jun. 30, 2021 | Dec. 31, 2020 |
Finite-Lived Intangible Assets [Line Items] | ||
Acquired intangible assets, net | $ 1,784 | $ 1,824 |
Customer relationships | ||
Finite-Lived Intangible Assets [Line Items] | ||
Acquired intangible assets, gross | 1,611 | 1,623 |
Accumulated amortization | (347) | (313) |
Acquired intangible assets, net | 1,264 | 1,310 |
Software/product technology | ||
Finite-Lived Intangible Assets [Line Items] | ||
Acquired intangible assets, gross | 442 | 441 |
Accumulated amortization | (195) | (177) |
Acquired intangible assets, net | 247 | 264 |
Database | ||
Finite-Lived Intangible Assets [Line Items] | ||
Acquired intangible assets, gross | 181 | 144 |
Accumulated amortization | (37) | (29) |
Acquired intangible assets, net | 144 | 115 |
Trade names | ||
Finite-Lived Intangible Assets [Line Items] | ||
Acquired intangible assets, gross | 160 | 161 |
Accumulated amortization | (42) | (38) |
Acquired intangible assets, net | 118 | 123 |
Other | ||
Finite-Lived Intangible Assets [Line Items] | ||
Acquired intangible assets, gross | 54 | 55 |
Accumulated amortization | (43) | (43) |
Acquired intangible assets, net | $ 11 | $ 12 |
Goodwill And Other Acquired I_5
Goodwill And Other Acquired Intangible Assets - Amortization Expense Relating to Acquired Intangible Assets (Detail) - USD ($) $ in Millions | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2021 | Jun. 30, 2020 | Jun. 30, 2021 | Jun. 30, 2020 | |
Goodwill and Intangible Assets Disclosure [Abstract] | ||||
Amortization expense | $ 36 | $ 31 | $ 71 | $ 59 |
Goodwill And Other Acquired I_6
Goodwill And Other Acquired Intangible Assets - Estimated Future Amortization Expense for Acquired Intangible Assets Subject to Amortization (Detail) $ in Millions | Jun. 30, 2021USD ($) |
Goodwill and Intangible Assets Disclosure [Abstract] | |
2021 (After June 30,) | $ 63 |
2022 | 133 |
2023 | 129 |
2024 | 125 |
2025 | 121 |
Thereafter | 1,213 |
Total estimated future amortization | $ 1,784 |
Restructuring - Additional Info
Restructuring - Additional Information (Detail) - USD ($) $ in Millions | Dec. 22, 2020 | Jun. 30, 2021 | Dec. 31, 2022 | Dec. 31, 2020 |
2020 MA Strategic Reorganization Restructuring Program | ||||
Restructuring Cost and Reserve [Line Items] | ||||
Remaining restructuring liability | $ 12 | |||
2020 MA Strategic Reorganization Restructuring Program | Estimated Annual Savings | ||||
Restructuring Cost and Reserve [Line Items] | ||||
Effect on future earnings, amount | $ 20 | |||
2020 MA Strategic Reorganization Restructuring Program | Forecast | ||||
Restructuring Cost and Reserve [Line Items] | ||||
Payments for restructuring | $ 20 | |||
Employee Severance | ||||
Restructuring Cost and Reserve [Line Items] | ||||
Remaining restructuring liability | 12 | $ 18 | ||
Employee Severance | 2020 MA Strategic Reorganization Restructuring Program | ||||
Restructuring Cost and Reserve [Line Items] | ||||
Cost incurred to date | 20 | |||
Payments for restructuring | $ 8 |
Restructuring - Restructuring E
Restructuring - Restructuring Expenses Included in Consolidated Statements of Operations (Details) - USD ($) $ in Millions | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2021 | Jun. 30, 2020 | Jun. 30, 2021 | Jun. 30, 2020 | |
Restructuring Cost and Reserve [Line Items] | ||||
Restructuring | $ 0 | $ (2) | $ 2 | $ (3) |
2020 MA Strategic Reorganization Restructuring Program | ||||
Restructuring Cost and Reserve [Line Items] | ||||
Restructuring | $ 0 | $ 0 | $ 2 | $ 0 |
Restructuring - Changes in Rest
Restructuring - Changes in Restructuring Liability (Details) $ in Millions | 6 Months Ended |
Jun. 30, 2021USD ($) | |
Employee Severance | |
Restructuring Reserve [Roll Forward] | |
Restructuring liability, Beginning Balance | $ 18 |
Restructuring liability, Ending Balance | 12 |
2020 MA Strategic Reorganization Restructuring Program | |
Restructuring Reserve [Roll Forward] | |
Restructuring liability, Ending Balance | 12 |
2020 MA Strategic Reorganization Restructuring Program | Employee Severance | |
Restructuring Reserve [Roll Forward] | |
Cost incurred and adjustments | 2 |
Cash payments and adjustments | (8) |
Cost incurred to date | $ 20 |
Fair Value - Financial Instrume
Fair Value - Financial Instruments Carried at Fair Value on Recurring Basis (Detail) - USD ($) $ in Millions | Jun. 30, 2021 | Dec. 31, 2020 |
Assets: | ||
Derivatives | $ 66 | $ 88 |
Mutual funds | 60 | 60 |
Total | 126 | 148 |
Liabilities: | ||
Derivatives | 112 | 186 |
Total | 112 | 186 |
Level 1 | ||
Assets: | ||
Derivatives | 0 | 0 |
Mutual funds | 60 | 60 |
Total | 60 | 60 |
Liabilities: | ||
Derivatives | 0 | 0 |
Total | 0 | 0 |
Level 2 | ||
Assets: | ||
Derivatives | 66 | 88 |
Mutual funds | 0 | 0 |
Total | 66 | 88 |
Liabilities: | ||
Derivatives | 112 | 186 |
Total | $ 112 | $ 186 |
Other Balance Sheet and State_3
Other Balance Sheet and Statement of Operations Information - Additional Details Related to Certain Balance Sheet Captions (Detail) - USD ($) $ in Millions | Jun. 30, 2021 | Dec. 31, 2020 |
Other current assets: | ||
Prepaid taxes | $ 125 | $ 94 |
Prepaid expenses | 78 | 91 |
Capitalized costs to obtain and fulfill sales contracts | 92 | 93 |
Foreign exchange forwards on certain assets and liabilities | 3 | 31 |
Derivative instruments designated as accounting hedges | 19 | 0 |
Other | 62 | 74 |
Total other current assets | 379 | 383 |
Other assets: | ||
Investments in non-consolidated affiliates | 151 | 135 |
Deposits for real-estate leases | 14 | 19 |
Indemnification assets related to acquisitions | 15 | 15 |
Mutual funds and fixed deposits | 83 | 66 |
Company owned life insurance (at contract value) | 36 | 17 |
Costs to obtain sales contracts | 142 | 134 |
Cross currency and interest rate swaps | 44 | 57 |
Pension and other retirement employee benefits | 19 | 21 |
Other | 52 | 51 |
Total other assets | 556 | 515 |
Accounts payable and accrued liabilities: | ||
Salaries and benefits | 149 | 197 |
Incentive compensation | 134 | 226 |
Customer credits, advanced payments and advanced billings | 60 | 42 |
Dividends | 5 | 11 |
Professional service fees | 60 | 53 |
Interest accrued on debt | 72 | 82 |
Accounts payable | 18 | 39 |
Income taxes | 108 | 128 |
Pension and other retirement employee benefits | 46 | 45 |
Accrued royalties | 23 | 19 |
Foreign exchange forwards on certain assets and liabilities | 26 | 2 |
Restructuring liability | 12 | 18 |
Derivative instruments designated as accounting hedges | 1 | 39 |
Other | 102 | 138 |
Total accounts payable and accrued liabilities | 816 | 1,039 |
Other liabilities: | ||
Pension and other retirement employee benefits | 211 | 244 |
Interest accrued on UTPs | 75 | 113 |
MAKS indemnification provisions | 33 | 33 |
Income tax liability - non-current portion | 18 | 18 |
Derivative instruments designated as accounting hedges | 85 | 145 |
Other | 38 | 37 |
Total other liabilities | $ 460 | $ 590 |
Other Balance Sheet and State_4
Other Balance Sheet and Statement of Operations Information - Narrative (Details) - USD ($) $ in Millions | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2021 | Jun. 30, 2020 | Jun. 30, 2021 | Jun. 30, 2020 | |
Other Balance Sheet And Statement Of Operations Information [Abstract] | ||||
Loss pursuant to the divestiture of MAKS | $ 0 | $ 0 | $ 0 | $ 9 |
Other Balance Sheet and State_5
Other Balance Sheet and Statement of Operations Information - Other Non-Operating Interest (Detail) - USD ($) $ in Millions | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2021 | Jun. 30, 2020 | Jun. 30, 2021 | Jun. 30, 2020 | |
Other Balance Sheet And Statement Of Operations Information [Abstract] | ||||
FX gain (loss) | $ 2 | $ (8) | $ 0 | $ 5 |
Net periodic pension costs - other components (1) | (3) | 4 | 1 | 7 |
Income/(loss) from investments in non-consolidated affiliates | 1 | 3 | 9 | 0 |
Other | 6 | 17 | 12 | 16 |
Total | $ 6 | $ 16 | $ 22 | $ 28 |
Comprehensive Income And Accu_3
Comprehensive Income And Accumulated Other Comprehensive Loss - Reclassification out of AOCI (Detail) - USD ($) $ in Millions | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2021 | Jun. 30, 2020 | Jun. 30, 2021 | Jun. 30, 2020 | |
Derivative Instruments, Gain (Loss) [Line Items] | ||||
Other non-operating income, net | $ 6 | $ 16 | $ 22 | $ 28 |
Total before income taxes | 758 | 666 | 1,620 | 1,230 |
Provision for income taxes | (181) | (157) | (307) | (234) |
Net income attributable to Moody's | 577 | 509 | 1,313 | 997 |
Reclassification out of Accumulated Other Comprehensive Income | ||||
Derivative Instruments, Gain (Loss) [Line Items] | ||||
Net income attributable to Moody's | (8) | (1) | (10) | (3) |
Losses on cash flow hedges | Reclassification out of Accumulated Other Comprehensive Income | ||||
Derivative Instruments, Gain (Loss) [Line Items] | ||||
Provision for income taxes | 0 | 0 | ||
Net income attributable to Moody's | (1) | (1) | ||
Losses on cash flow hedges | Reclassification out of Accumulated Other Comprehensive Income | Interest rate contract | ||||
Derivative Instruments, Gain (Loss) [Line Items] | ||||
Other non-operating income, net | (1) | (1) | ||
Net Investment Hedges | Reclassification out of Accumulated Other Comprehensive Income | ||||
Derivative Instruments, Gain (Loss) [Line Items] | ||||
Provision for income taxes | (1) | 0 | (1) | 0 |
Net income attributable to Moody's | 0 | 0 | 1 | 0 |
Net Investment Hedges | Reclassification out of Accumulated Other Comprehensive Income | FX forwards | ||||
Derivative Instruments, Gain (Loss) [Line Items] | ||||
Other non-operating income, net | 1 | 0 | 2 | 0 |
Total pension and other retirement benefits | Reclassification out of Accumulated Other Comprehensive Income | ||||
Derivative Instruments, Gain (Loss) [Line Items] | ||||
Total before income taxes | (10) | (1) | (13) | (3) |
Provision for income taxes | 2 | 0 | 3 | 1 |
Net income attributable to Moody's | (8) | (1) | (10) | (2) |
Amortization of actuarial losses and prior service costs included in net income | Reclassification out of Accumulated Other Comprehensive Income | ||||
Derivative Instruments, Gain (Loss) [Line Items] | ||||
Other non-operating income, net | (3) | (1) | (6) | (3) |
Settlement charge | Reclassification out of Accumulated Other Comprehensive Income | ||||
Derivative Instruments, Gain (Loss) [Line Items] | ||||
Other non-operating income, net | $ (7) | $ 0 | $ (7) | $ 0 |
Comprehensive Income And Accu_4
Comprehensive Income And Accumulated Other Comprehensive Loss - Changes in Components of Accumulated Other Comprehensive Loss (Detail) - USD ($) $ in Millions | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2021 | Jun. 30, 2020 | Jun. 30, 2021 | Jun. 30, 2020 | |
AOCI Attributable to Parent, Net of Tax [Roll Forward] | ||||
Beginning balance | $ 1,569 | |||
Ending balance | $ 2,186 | 2,186 | ||
Total | ||||
AOCI Attributable to Parent, Net of Tax [Roll Forward] | ||||
Beginning balance | (440) | $ (554) | (432) | $ (439) |
Other comprehensive income/(loss) before reclassifications | 7 | 11 | (3) | (106) |
Amounts reclassified from AOCL | 8 | 1 | 10 | 3 |
Other comprehensive income/(loss) | 15 | 12 | 7 | (103) |
Ending balance | (425) | (542) | (425) | (542) |
Pension and Other Retirement Benefits | ||||
AOCI Attributable to Parent, Net of Tax [Roll Forward] | ||||
Beginning balance | (116) | (92) | (118) | (92) |
Other comprehensive income/(loss) before reclassifications | 0 | 7 | 0 | 6 |
Amounts reclassified from AOCL | 8 | 1 | 10 | 2 |
Other comprehensive income/(loss) | 8 | 8 | 10 | 8 |
Ending balance | (108) | (84) | (108) | (84) |
Cash Flow Hedges | ||||
AOCI Attributable to Parent, Net of Tax [Roll Forward] | ||||
Beginning balance | (48) | (35) | (49) | 0 |
Other comprehensive income/(loss) before reclassifications | 0 | (14) | 0 | (50) |
Amounts reclassified from AOCL | 0 | 0 | 1 | 1 |
Other comprehensive income/(loss) | 0 | (14) | 1 | (49) |
Ending balance | (48) | (49) | (48) | (49) |
Foreign Currency Translation Adjustments | ||||
AOCI Attributable to Parent, Net of Tax [Roll Forward] | ||||
Beginning balance | (188) | (570) | (45) | (401) |
Other comprehensive income/(loss) before reclassifications | 36 | 91 | (107) | (78) |
Amounts reclassified from AOCL | 0 | 0 | 0 | 0 |
Other comprehensive income/(loss) | 36 | 91 | (107) | (78) |
Ending balance | (152) | (479) | (152) | (479) |
Net Investment Hedges | ||||
AOCI Attributable to Parent, Net of Tax [Roll Forward] | ||||
Beginning balance | (88) | 143 | (220) | 54 |
Other comprehensive income/(loss) before reclassifications | (29) | (73) | 104 | 16 |
Amounts reclassified from AOCL | 0 | 0 | (1) | 0 |
Other comprehensive income/(loss) | (29) | (73) | 103 | 16 |
Ending balance | $ (117) | $ 70 | $ (117) | $ 70 |
Pension and Other Retirement _3
Pension and Other Retirement Benefits - Components of Net Periodic Benefit Expense Related to Post-Retirement Plans (Detail) - USD ($) $ in Millions | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2021 | Jun. 30, 2020 | Jun. 30, 2021 | Jun. 30, 2020 | |
Components of net periodic expense | ||||
Interest cost | $ 4 | $ 5 | $ 8 | $ 10 |
Pension Plans | ||||
Components of net periodic expense | ||||
Service cost | 5 | 3 | 10 | 8 |
Interest cost | 3 | 5 | 7 | 9 |
Expected return on plan assets | (6) | (5) | (13) | (10) |
Amortization of net actuarial loss from earlier periods | 3 | 1 | 5 | 3 |
Loss on settlement of pension obligation | 7 | 0 | 7 | 0 |
Net periodic expense | 12 | 4 | 16 | 10 |
Other Retirement Plans | ||||
Components of net periodic expense | ||||
Service cost | 1 | 1 | 2 | 2 |
Interest cost | 1 | 0 | 1 | 0 |
Expected return on plan assets | 0 | 0 | 0 | 0 |
Amortization of net actuarial loss from earlier periods | 0 | 0 | 0 | 0 |
Loss on settlement of pension obligation | 0 | 0 | 0 | 0 |
Net periodic expense | $ 2 | $ 1 | $ 3 | $ 2 |
Pension and Other Retirement _4
Pension and Other Retirement Benefits - Additional Information (Detail) $ in Millions | 6 Months Ended |
Jun. 30, 2021USD ($) | |
Unfunded Plan | Pension Plans | United States | |
Defined Benefit Plans and Other Postretirement Benefit Plans Table Text Block [Line Items] | |
Employer contributions | $ 41 |
Indebtedness - Summary of Total
Indebtedness - Summary of Total Indebtedness (Detail) - USD ($) $ in Millions | Jun. 30, 2021 | Dec. 31, 2020 |
Debt Instrument [Line Items] | ||
Principal Amount | $ 6,382 | $ 6,430 |
Fair Value of Interest Rate Swap | 32 | 56 |
Unamortized (Discount) Premium | (22) | (24) |
Unamortized Debt Issuance Costs | (37) | (40) |
Long term debt | $ 6,355 | $ 6,422 |
4.50% 2012 Senior Notes, due 2022 | ||
Debt Instrument [Line Items] | ||
Notes payable, interest rate | 4.50% | 4.50% |
Principal Amount | $ 500 | $ 500 |
Fair Value of Interest Rate Swap | 10 | 14 |
Unamortized (Discount) Premium | 0 | (1) |
Unamortized Debt Issuance Costs | 0 | (1) |
Long term debt | $ 510 | $ 512 |
4.875% 2013 Senior Notes, due 2024 | ||
Debt Instrument [Line Items] | ||
Notes payable, interest rate | 4.875% | 4.875% |
Principal Amount | $ 500 | $ 500 |
Fair Value of Interest Rate Swap | 0 | 0 |
Unamortized (Discount) Premium | (1) | (1) |
Unamortized Debt Issuance Costs | (1) | (1) |
Long term debt | $ 498 | $ 498 |
5.25% 2014 Senior Notes, due 2044 | ||
Debt Instrument [Line Items] | ||
Notes payable, interest rate | 5.25% | 5.25% |
Principal Amount | $ 600 | $ 600 |
Fair Value of Interest Rate Swap | 0 | 0 |
Unamortized (Discount) Premium | 3 | 3 |
Unamortized Debt Issuance Costs | (5) | (5) |
Long term debt | $ 598 | $ 598 |
1.75% 2015 Senior Notes, due 2027 | ||
Debt Instrument [Line Items] | ||
Notes payable, interest rate | 1.75% | 1.75% |
Principal Amount | $ 593 | $ 612 |
Fair Value of Interest Rate Swap | 0 | 0 |
Unamortized (Discount) Premium | 0 | 0 |
Unamortized Debt Issuance Costs | (2) | (2) |
Long term debt | $ 591 | $ 610 |
2.625% 2017 Senior Notes, due 2023 | ||
Debt Instrument [Line Items] | ||
Notes payable, interest rate | 2.625% | 2.625% |
Principal Amount | $ 500 | $ 500 |
Fair Value of Interest Rate Swap | 9 | 12 |
Unamortized (Discount) Premium | 0 | 0 |
Unamortized Debt Issuance Costs | (1) | (2) |
Long term debt | $ 508 | $ 510 |
3.25% 2017 Senior Notes, due 2028 | ||
Debt Instrument [Line Items] | ||
Notes payable, interest rate | 3.25% | 3.25% |
Principal Amount | $ 500 | $ 500 |
Fair Value of Interest Rate Swap | 18 | 31 |
Unamortized (Discount) Premium | (4) | (4) |
Unamortized Debt Issuance Costs | (3) | (3) |
Long term debt | $ 511 | $ 524 |
4.25% 2018 Senior Notes, due 2029 | ||
Debt Instrument [Line Items] | ||
Notes payable, interest rate | 4.25% | 4.25% |
Principal Amount | $ 400 | $ 400 |
Fair Value of Interest Rate Swap | 0 | 0 |
Unamortized (Discount) Premium | (2) | (3) |
Unamortized Debt Issuance Costs | (3) | (3) |
Long term debt | $ 395 | $ 394 |
4.875% 2018 Senior Notes, due 2048 | ||
Debt Instrument [Line Items] | ||
Notes payable, interest rate | 4.875% | 4.875% |
Principal Amount | $ 400 | $ 400 |
Fair Value of Interest Rate Swap | 0 | 0 |
Unamortized (Discount) Premium | (6) | (6) |
Unamortized Debt Issuance Costs | (4) | (4) |
Long term debt | $ 390 | $ 390 |
0.950% Senior Notes Due 2030 | ||
Debt Instrument [Line Items] | ||
Notes payable, interest rate | 0.95% | 0.95% |
Principal Amount | $ 889 | $ 918 |
Fair Value of Interest Rate Swap | 0 | 0 |
Unamortized (Discount) Premium | (3) | (3) |
Unamortized Debt Issuance Costs | (6) | (6) |
Long term debt | $ 880 | $ 909 |
3.75% 2020 Senior Notes, due 2025 | ||
Debt Instrument [Line Items] | ||
Notes payable, interest rate | 3.75% | 3.75% |
Principal Amount | $ 700 | $ 700 |
Fair Value of Interest Rate Swap | (5) | (1) |
Unamortized (Discount) Premium | (1) | (1) |
Unamortized Debt Issuance Costs | (4) | (5) |
Long term debt | $ 690 | $ 693 |
3.25% 2020 Senior Notes, due 2050 | ||
Debt Instrument [Line Items] | ||
Notes payable, interest rate | 3.25% | 3.25% |
Principal Amount | $ 300 | $ 300 |
Fair Value of Interest Rate Swap | 0 | 0 |
Unamortized (Discount) Premium | (4) | (4) |
Unamortized Debt Issuance Costs | (3) | (3) |
Long term debt | $ 293 | $ 293 |
2.55% 2020 Senior Notes, due 2060 | ||
Debt Instrument [Line Items] | ||
Notes payable, interest rate | 2.55% | 2.55% |
Principal Amount | $ 500 | $ 500 |
Fair Value of Interest Rate Swap | 0 | 0 |
Unamortized (Discount) Premium | (4) | (4) |
Unamortized Debt Issuance Costs | (5) | (5) |
Long term debt | $ 491 | $ 491 |
Indebtedness - Principal Paymen
Indebtedness - Principal Payments Due on Long-Term Borrowings (Detail) - USD ($) $ in Millions | Jun. 30, 2021 | Dec. 31, 2020 |
Debt Instrument [Line Items] | ||
2021 (After June 30,) | $ 0 | |
2022 | 500 | |
2023 | 500 | |
2024 | 500 | |
2025 | 700 | |
Thereafter | 4,182 | |
Total principal payment | 6,382 | $ 6,430 |
4.50% 2012 Senior Notes, due 2022 | ||
Debt Instrument [Line Items] | ||
2022 | 500 | |
Total principal payment | 500 | 500 |
4.875% 2013 Senior Notes, due 2024 | ||
Debt Instrument [Line Items] | ||
2024 | 500 | |
Total principal payment | 500 | 500 |
5.25% 2014 Senior Notes, due 2044 | ||
Debt Instrument [Line Items] | ||
Thereafter | 600 | |
Total principal payment | 600 | 600 |
1.75% 2015 Senior Notes, due 2027 | ||
Debt Instrument [Line Items] | ||
Thereafter | 593 | |
Total principal payment | 593 | 612 |
2.625% 2017 Senior Notes, due 2023 | ||
Debt Instrument [Line Items] | ||
2023 | 500 | |
Total principal payment | 500 | 500 |
3.25% 2017 Senior Notes, due 2028 | ||
Debt Instrument [Line Items] | ||
Thereafter | 500 | |
Total principal payment | 500 | 500 |
4.25% 2018 Senior Notes, due 2029 | ||
Debt Instrument [Line Items] | ||
Thereafter | 400 | |
Total principal payment | 400 | 400 |
4.875% 2018 Senior Notes, due 2048 | ||
Debt Instrument [Line Items] | ||
Thereafter | 400 | |
Total principal payment | 400 | 400 |
0.950% Senior Notes Due 2030 | ||
Debt Instrument [Line Items] | ||
Thereafter | 889 | |
Total principal payment | 889 | 918 |
3.75% 2020 Senior Notes, due 2025 | ||
Debt Instrument [Line Items] | ||
2025 | 700 | |
Total principal payment | 700 | 700 |
3.25% 2020 Senior Notes, due 2050 | ||
Debt Instrument [Line Items] | ||
Thereafter | 300 | |
Total principal payment | 300 | 300 |
2.55% 2020 Senior Notes, due 2060 | ||
Debt Instrument [Line Items] | ||
Thereafter | 500 | |
Total principal payment | $ 500 | $ 500 |
Indebtedness - Summary of Compo
Indebtedness - Summary of Components of Interest as Presented in Consolidated Statements of Operations (Detail) - USD ($) $ in Millions | 3 Months Ended | 6 Months Ended | |||
Jun. 30, 2021 | Mar. 31, 2021 | Jun. 30, 2020 | Jun. 30, 2021 | Jun. 30, 2020 | |
Debt Disclosure [Abstract] | |||||
Income | $ 1 | $ 3 | $ 4 | $ 7 | |
Expense on borrowings | (41) | (48) | (82) | (79) | |
Income (expense) on UTPs and other tax related liabilities | (5) | (10) | 30 | (18) | |
Net periodic pension costs - interest component | (4) | (5) | (8) | (10) | |
Interest expense, net | (49) | (60) | (56) | (100) | |
Interest paid | $ 13 | $ 23 | 86 | $ 72 | |
Interest accrued on UTPs | $ 40 | $ 40 |
Indebtedness - Fair Value and C
Indebtedness - Fair Value and Carrying Value of Long-Term Debt (Detail) - USD ($) $ in Millions | Jun. 30, 2021 | Dec. 31, 2020 |
Debt Instrument [Line Items] | ||
Carrying Amount | $ 6,355 | $ 6,422 |
Estimated Fair Value | 7,024 | 7,256 |
4.50% 2012 Senior Notes, due 2022 | ||
Debt Instrument [Line Items] | ||
Carrying Amount | 510 | 512 |
Estimated Fair Value | $ 522 | $ 530 |
Notes payable, interest rate | 4.50% | 4.50% |
4.875% 2013 Senior Notes, due 2024 | ||
Debt Instrument [Line Items] | ||
Carrying Amount | $ 498 | $ 498 |
Estimated Fair Value | $ 551 | $ 562 |
Notes payable, interest rate | 4.875% | 4.875% |
5.25% 2014 Senior Notes, due 2044 | ||
Debt Instrument [Line Items] | ||
Carrying Amount | $ 598 | $ 598 |
Estimated Fair Value | $ 808 | $ 828 |
Notes payable, interest rate | 5.25% | 5.25% |
1.75% 2015 Senior Notes, due 2027 | ||
Debt Instrument [Line Items] | ||
Carrying Amount | $ 591 | $ 610 |
Estimated Fair Value | $ 643 | $ 674 |
Notes payable, interest rate | 1.75% | 1.75% |
2.625% 2017 Senior Notes, due 2023 | ||
Debt Instrument [Line Items] | ||
Carrying Amount | $ 508 | $ 510 |
Estimated Fair Value | $ 516 | $ 522 |
Notes payable, interest rate | 2.625% | 2.625% |
3.25% 2017 Senior Notes, due 2028 | ||
Debt Instrument [Line Items] | ||
Carrying Amount | $ 511 | $ 524 |
Estimated Fair Value | $ 550 | $ 561 |
Notes payable, interest rate | 3.25% | 3.25% |
4.25% 2018 Senior Notes, due 2029 | ||
Debt Instrument [Line Items] | ||
Carrying Amount | $ 395 | $ 394 |
Estimated Fair Value | $ 465 | $ 480 |
Notes payable, interest rate | 4.25% | 4.25% |
4.875% 2018 Senior Notes, due 2048 | ||
Debt Instrument [Line Items] | ||
Carrying Amount | $ 390 | $ 390 |
Estimated Fair Value | $ 527 | $ 544 |
Notes payable, interest rate | 4.875% | 4.875% |
0.950% Senior Notes Due 2030 | ||
Debt Instrument [Line Items] | ||
Carrying Amount | $ 880 | $ 909 |
Estimated Fair Value | $ 919 | $ 974 |
Notes payable, interest rate | 0.95% | 0.95% |
3.75% 2020 Senior Notes, due 2025 | ||
Debt Instrument [Line Items] | ||
Carrying Amount | $ 690 | $ 693 |
Estimated Fair Value | $ 768 | $ 785 |
Notes payable, interest rate | 3.75% | 3.75% |
3.25% 2020 Senior Notes, due 2050 | ||
Debt Instrument [Line Items] | ||
Carrying Amount | $ 293 | $ 293 |
Estimated Fair Value | $ 313 | $ 329 |
Notes payable, interest rate | 3.25% | 3.25% |
2.55% 2020 Senior Notes, due 2060 | ||
Debt Instrument [Line Items] | ||
Carrying Amount | $ 491 | $ 491 |
Estimated Fair Value | $ 442 | $ 467 |
Notes payable, interest rate | 2.55% | 2.55% |
Leases - Additional Information
Leases - Additional Information (Detail) | Jun. 30, 2021 |
Minimum | |
Lessee, Lease, Description [Line Items] | |
Lessee, operating lease, renewal term (years) | 1 year |
Maximum | |
Lessee, Lease, Description [Line Items] | |
Lessee, operating lease, renewal term (years) | 20 years |
Leases - Components of Lease Co
Leases - Components of Lease Cost (Detail) - USD ($) $ in Millions | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2021 | Jun. 30, 2020 | Jun. 30, 2021 | Jun. 30, 2020 | |
Lease, Cost [Abstract] | ||||
Operating lease cost | $ 23 | $ 24 | $ 47 | $ 48 |
Sublease income | (1) | (1) | (2) | (2) |
Variable lease cost | 5 | 5 | 10 | 10 |
Total lease cost | $ 27 | $ 28 | $ 55 | $ 56 |
Leases - Operating Leases Infor
Leases - Operating Leases Information (Detail) - USD ($) $ in Millions | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2021 | Jun. 30, 2020 | Jun. 30, 2021 | Jun. 30, 2020 | |
Leases [Abstract] | ||||
Cash paid for amounts included in the measurement of operating lease liabilities | $ 28 | $ 27 | $ 56 | $ 53 |
Right-of-use assets obtained in exchange for new operating lease liabilities | $ 2 | $ 11 | $ 6 | $ 20 |
Weighted-average remaining lease term (years) | 5 years 7 months 6 days | 6 years 6 months | 5 years 7 months 6 days | 6 years 6 months |
Weighted-average discount rate applied to operating leases (percent) | 3.60% | 3.60% | 3.60% | 3.60% |
Leases - Operating Leases, Futu
Leases - Operating Leases, Future Minimum Payment (Detail) - USD ($) $ in Millions | Jun. 30, 2021 | Dec. 31, 2020 |
Leases [Abstract] | ||
2021 (After June 30) | $ 55 | |
2022 | 100 | |
2023 | 94 | |
2024 | 85 | |
2025 | 77 | |
After 2025 | 117 | |
Total lease payments (undiscounted) | 528 | |
Less: Interest | 50 | |
Present value of lease liabilities: | 478 | |
Lease liabilities - current | 92 | $ 94 |
Lease liabilities - noncurrent | $ 386 | $ 427 |
Segment Information - Additiona
Segment Information - Additional Information (Detail) | 6 Months Ended |
Jun. 30, 2021segmentlineOfBusiness | |
Segment Reporting Information [Line Items] | |
Number of operating segments (segment) | segment | 2 |
Number of reportable segments | segment | 2 |
MIS | |
Segment Reporting Information [Line Items] | |
Number of lines of businesses | lineOfBusiness | 5 |
MA | |
Segment Reporting Information [Line Items] | |
Number of lines of businesses | lineOfBusiness | 2 |
Segment Information - Financial
Segment Information - Financial Information by Segment (Detail) - USD ($) $ in Millions | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2021 | Jun. 30, 2020 | Jun. 30, 2021 | Jun. 30, 2020 | |
Segment Reporting Information, Operating Income (Loss) [Abstract] | ||||
Revenue | $ 1,553 | $ 1,435 | $ 3,153 | $ 2,725 |
Total Expenses | 752 | 725 | 1,499 | 1,423 |
Operating income | 801 | 710 | 1,654 | 1,302 |
Depreciation and amortization | 60 | 58 | 119 | 107 |
Restructuring | 0 | (2) | 2 | (3) |
Loss pursuant to the divestiture of MAKS | 0 | 0 | 0 | 9 |
Adjusted Operating Income | 861 | 766 | 1,775 | 1,415 |
Eliminations | ||||
Segment Reporting Information, Operating Income (Loss) [Abstract] | ||||
Revenue | (44) | (37) | (86) | (76) |
Total Expenses | (44) | (37) | (86) | (76) |
Operating income | 0 | 0 | 0 | 0 |
Depreciation and amortization | 0 | 0 | 0 | 0 |
Restructuring | 0 | 0 | 0 | 0 |
Loss pursuant to the divestiture of MAKS | 0 | 0 | ||
Adjusted Operating Income | 0 | 0 | 0 | 0 |
MIS | ||||
Segment Reporting Information, Operating Income (Loss) [Abstract] | ||||
Revenue | 980 | 938 | 2,016 | 1,732 |
MIS | Operating Segments | ||||
Segment Reporting Information, Operating Income (Loss) [Abstract] | ||||
Revenue | 1,022 | 973 | 2,098 | 1,804 |
Total Expenses | 362 | 369 | 728 | 712 |
Operating income | 660 | 604 | 1,370 | 1,092 |
Depreciation and amortization | 18 | 19 | 36 | 35 |
Restructuring | 0 | 0 | 0 | (1) |
Loss pursuant to the divestiture of MAKS | 0 | 0 | ||
Adjusted Operating Income | 678 | 623 | 1,406 | 1,126 |
MA | ||||
Segment Reporting Information, Operating Income (Loss) [Abstract] | ||||
Revenue | 573 | 497 | 1,137 | 993 |
MA | Operating Segments | ||||
Segment Reporting Information, Operating Income (Loss) [Abstract] | ||||
Revenue | 575 | 499 | 1,141 | 997 |
Total Expenses | 434 | 393 | 857 | 787 |
Operating income | 141 | 106 | 284 | 210 |
Depreciation and amortization | 42 | 39 | 83 | 72 |
Restructuring | 0 | (2) | 2 | (2) |
Loss pursuant to the divestiture of MAKS | 0 | 9 | ||
Adjusted Operating Income | $ 183 | $ 143 | $ 369 | $ 289 |
Segment Information - Consolida
Segment Information - Consolidated Revenue Information by Geographic Area (Detail) - USD ($) $ in Millions | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2021 | Jun. 30, 2020 | Jun. 30, 2021 | Jun. 30, 2020 | |
Segment Reporting Information [Line Items] | ||||
Revenue | $ 1,553 | $ 1,435 | $ 3,153 | $ 2,725 |
United States | ||||
Segment Reporting Information [Line Items] | ||||
Revenue | 831 | 837 | 1,716 | 1,551 |
Non-U.S. | ||||
Segment Reporting Information [Line Items] | ||||
Revenue | 722 | 598 | 1,437 | 1,174 |
EMEA | ||||
Segment Reporting Information [Line Items] | ||||
Revenue | 481 | 373 | 959 | 736 |
Asia-Pacific | ||||
Segment Reporting Information [Line Items] | ||||
Revenue | 155 | 144 | 311 | 280 |
Americas | ||||
Segment Reporting Information [Line Items] | ||||
Revenue | $ 86 | $ 81 | $ 167 | $ 158 |
Subsequent Events - Additional
Subsequent Events - Additional Information (Detail) - Subsequent Event | Jul. 27, 2021$ / shares |
Subsequent Event [Line Items] | |
Dividend declared, declaration date | Jul. 27, 2021 |
Dividend declared, per share (in USD per share) | $ 0.62 |
Dividend declared, payable date | Sep. 10, 2021 |
Dividend declared, record date | Aug. 20, 2021 |
Uncategorized Items - mco-20210
Label | Element | Value |
Accounting Standards Update [Extensible Enumeration] | us-gaap_AccountingStandardsUpdateExtensibleList | Accounting Standards Update 2016-13 [Member] |