McGraw-Hill Global Education Intermediate 10-Q 13 Aug 15 2015 Q2 Quarterly report Financial data

Document and Entity Information

Document and Entity Information - Jun. 30, 2015 - shares	Total
Document and Entity Information [Abstract]
Entity Registrant Name	McGraw-Hill Global Education Intermediate Holdings, LLC
Entity Central Index Key	1,585,002
Document Type	10-Q
Document Period End Date	Jun. 30, 2015
Document Fiscal Year Focus	2,015
Document Fiscal Period Focus	Q2
Current Fiscal Year End Date	--12-31
Amendment Flag	false
Entity Filer Category	Non-accelerated Filer
Entity Common Stock, Shares Outstanding	0

Consolidated Statements of Oper

Consolidated Statements of Operations (Unaudited) - USD ($) $ in Thousands	3 Months Ended		6 Months Ended
	Jun. 30, 2015	Jun. 30, 2014	Jun. 30, 2015	Jun. 30, 2014
Income Statement [Abstract]
Revenue	$ 250,926	$ 251,745	$ 450,740	$ 456,316
Cost of goods sold	74,428	71,184	129,887	125,004
Gross profit	176,498	180,561	320,853	331,312
Operating expenses
Operating & administration expenses	138,989	153,736	286,020	321,937
Depreciation	5,657	3,911	12,541	8,911
Amortization of intangibles	23,253	31,097	46,648	56,746
Transaction costs	0	856	0	3,421
Total operating expenses	167,899	189,600	345,209	391,015
Operating (loss) income	8,599	(9,039)	(24,356)	(59,703)
Interest expense (income), net	31,816	35,827	66,297	80,146
Other (income) expense	(6,054)	(1,275)	(7,329)	(9,879)
(Loss) income from operations before taxes on income	(17,163)	(43,591)	(83,324)	(129,970)
Income tax (benefit) provision	(3,997)	10,153	(25,870)	(18,939)
Net (loss) income	(13,166)	(53,744)	(57,454)	(111,031)
Less: Net (income) loss attributable to noncontrolling interests	0	181	0	299
Net (loss) income attributable to McGraw-Hill Global Education Intermediate Holdings, LLC	$ (13,166)	$ (53,563)	$ (57,454)	$ (110,732)

Consolidated Statements of Comp

Consolidated Statements of Comprehensive Income (Loss) (Unaudited) - USD ($) $ in Thousands	3 Months Ended		6 Months Ended
	Jun. 30, 2015	Jun. 30, 2014	Jun. 30, 2015	Jun. 30, 2014
Statement of Comprehensive Income [Abstract]
Net (loss) income	$ (13,166)	$ (53,744)	$ (57,454)	$ (111,031)
Other comprehensive (loss) income:
Foreign currency translation adjustment	9,999	10,046	(5,038)	9,196
Unrealized gain on investments, net of tax of $0 and $49 in the six months ended June 30, 2015 and June 30, 2014, respectively			0	78
Comprehensive (loss) income	(3,167)	(43,698)	(62,492)	(101,757)
Less: Comprehensive (income) loss attributable to noncontrolling interest	0	181	0	299
Comprehensive (loss) income attributable to McGraw-Hill Global Education Intermediate Holdings, LLC	$ (3,167)	$ (43,517)	$ (62,492)	$ (101,458)

Consolidated Statements of Com4

Consolidated Statements of Comprehensive Income (Loss) (Parenthetical) (Unaudited) - USD ($) $ in Thousands	6 Months Ended
	Jun. 30, 2015	Jun. 30, 2014
Statement of Comprehensive Income [Abstract]
Unrealized gain on investments, net of tax	$ 0	$ 49

Consolidated Balance Sheets (Un

Consolidated Balance Sheets (Unaudited) - USD ($) $ in Thousands	Jun. 30, 2015	Dec. 31, 2014	Jun. 30, 2014	Dec. 31, 2013
Current assets
Cash and equivalents	$ 46,617	$ 232,098	$ 52,222	$ 253,390
Accounts receivable, net of allowance for doubtful accounts of $11,067 and $13,957 and sales returns of $120,439 and $181,927 at June 30, 2015 and December 31, 2014, respectively	115,174	204,072
Due from related party	17,006	0
Inventories, net	77,231	76,992
Deferred income taxes	31,185	31,538
Prepaid and other current assets	50,570	30,710
Total current assets	337,783	575,410
Prepublication costs, net	79,347	80,980
Property, plant and equipment, net	91,207	91,926
Goodwill	474,909	477,324
Other intangible assets, net	857,591	906,665
Investments	554	9,219
Deferred income taxes non-current	72,088	43,440
Other non-current assets	109,514	101,510
Total assets	2,022,993	2,286,474
Current liabilities
Accounts payable	113,318	130,465
Accrued royalties	34,473	101,827
Accrued compensation and contributions to retirement plans	25,187	66,243
Deferred revenue	87,835	124,551
Current portion of long-term debt	6,792	6,880
Related party	0	889
Other current liabilities	92,043	89,160
Total current liabilities	359,648	520,015
Long-term debt	1,446,389	1,447,473
Deferred income taxes	7,651	8,288
Other non-current liabilities	45,712	48,839
Total liabilities	$ 1,859,400	$ 2,024,615
Commitments and contingencies
Equity
Member's equity	$ 335,107	$ 370,881
Accumulated deficit	(139,591)	(82,137)
Accumulated other comprehensive loss	(31,923)	(26,885)
Total equity	163,593	261,859
Total liabilities and equity	$ 2,022,993	$ 2,286,474

Consolidated Balance Sheets (Pa

Consolidated Balance Sheets (Parenthetical) (Unaudited) - USD ($) $ in Thousands	Jun. 30, 2015	Dec. 31, 2014
Statement of Financial Position [Abstract]
Allowance for doubtful accounts	$ 11,067	$ 13,957
Sales returns	$ 120,439	$ 181,927

Consolidated Statements of Cash

Consolidated Statements of Cash Flows (Unadudited) - USD ($) $ in Thousands	6 Months Ended
	Jun. 30, 2015	Jun. 30, 2014
Statement of Cash Flows [Abstract]
Net (loss) income including noncontrolling interests	$ (57,454)	$ (111,031)
Adjustments to reconcile net loss including noncontrolling interests to net cash provided by operating activities
Depreciation (including amortization of technology projects)	12,541	8,911
Amortization of intangibles	46,648	56,746
Amortization of prepublication costs	19,127	20,718
Provision for losses on accounts receivable	1,283	34
Deferred income taxes	(29,285)	(18,977)
Stock-based compensation	4,137	3,549
Amortization of debt discount	2,572	2,707
Amortization of deferred financing costs	4,541	6,157
Restructuring charges	1,787	8,417
Other	6,272	5,091
Changes in operating assets and liabilities, net of the effect of acquisitions
Accounts receivable	85,600	96,960
Due to/from related party	(18,162)	23,017
Inventories	(5,990)	(19,653)
Prepaid and other current assets	(17,524)	2,252
Accounts payable and accrued expenses	(123,683)	(130,511)
Deferred revenue	(36,450)	(34,287)
Other current liabilities	2,534	(9,224)
Net change in prepaid and accrued income taxes	(4,022)	(6,760)
Net change in operating assets and liabilities	(7,127)	3,785
Cash provided by (used for) operating activities	(112,655)	(92,099)
Investing activities
Investment in prepublication costs	(18,192)	(22,275)
Capital expenditures	(22,115)	(5,389)
Acquisitions	0	(55,494)
Proceeds from sale of investments	12,500	3,250
Proceeds from dispositions	103	8,768
Cash provided by (used for) investing activities	(27,704)	(71,140)
Financing activities
Payment of term loan	(3,744)	(38,440)
Dividend payment to MHGE Parent	(39,822)	0
Dividends paid to noncontrolling interests	0	(169)
Dividend on restricted stock units	(300)	0
Cash provided by (used for) financing activities	(43,866)	(38,609)
Effect of exchange rate changes on cash	(1,256)	680
Net change in cash and cash equivalents	(185,481)	(201,168)
Cash and cash equivalents at the beginning of the period	232,098	253,390
Cash and cash equivalents, ending balance	46,617	52,222
Supplemental disclosures
Interest expense paid	58,189	65,406
Income taxes paid	$ 3,487	$ 6,026

Basis of Presentation and Accou

Basis of Presentation and Accounting Policies	6 Months Ended
	Jun. 30, 2015
Organization, Consolidation and Presentation of Financial Statements [Abstract]
Basis of Presentation and Accounting Policies	Basis of Presentation and Accounting Policies On March 22, 2013, MHE Acquisition, LLC (“AcquisitionCo”), a wholly-owned subsidiary of Georgia Holdings, Inc., acquired all of the outstanding equity interests of certain subsidiaries of The McGraw-Hill Companies, Inc. (“MHC”) for $2,184,071 in cash (the “Acquired Business”). The Acquired Business included all of MHC’s educational materials and learning solutions business, which is comprised of two elements (i) the Higher Education, Professional, and International Group (the “HPI business”), which includes post-secondary education and professional products both in the U.S. and internationally and (ii) the School Education Group business (the “SEG business”), which includes school and assessment products targeting students in the pre-kindergarten through secondary school market. The purchase price was allocated as $1,711,348 and $472,723 to the HPI business and the SEG business, respectively based on their fair values. We refer to the purchase of the Acquired Business as the “Founding Acquisition”. As of completion of the Founding Acquisition, Apollo Global Management, LLC (the “Sponsor”), certain co-investors and certain members of management directly or indirectly owned all of the equity interests of AcquisitionCo. McGraw-Hill Global Education Intermediate Holdings, LLC (the “Company,” “the Successor” or “MHGE Intermediate”) and its wholly owned subsidiary McGraw-Hill Global Education Holdings, LLC (“MHGE Holdings”) were created to facilitate the Founding Acquisition. In connection with the Founding Acquisition, a restructuring (the “Restructuring”) was completed, the result of which was that the HPI business and the SEG business became held by different legal entities. The HPI business became held by MHGE Holdings, while the SEG business became held by McGraw-Hill School Education Intermediate Holdings, LLC (“MHSE Holdings”), a separate wholly owned subsidiary of MHE US Holdings LLC, our direct parent (“Parent”). In addition, concurrently with the closing of the Founding Acquisition, MHGE Holdings entered into certain credit facilities which are described in Note 2 - The Founding Transactions. MHSE Holdings is financed through separate credit facilities. MHGE Holdings nor its parent companies guarantee or provide any collateral to the financing for MHSE Holdings, and MHSE Holdings does not guarantee or provide collateral to the financing of MHGE Holdings or its parent companies. The terms “we,” “our,” and “us” used herein refer to the Company. Principles of Consolidation The accompanying consolidated financial statements have been prepared in accordance with U.S. GAAP and all significant intercompany transactions and balances have been eliminated. In the opinion of management, the accompanying unaudited consolidated financial statements include all adjustments (consisting of normal recurring accruals) considered necessary for a fair presentation. We record non-controlling interest in our consolidated financial statements to recognize the minority ownership interest in certain subsidiaries. Non-controlling interest in the earnings and losses of these subsidiaries represent the share of net income or loss allocated to our combined entities. Seasonality and Comparability Our revenues, operating profit and operating cash flows are affected by the inherent seasonality of the academic calendar, which varies by country. Changes in our customers’ ordering patterns may impact the comparison of our results in a quarter with the same quarter of the previous year, or in a fiscal year with the prior fiscal year, where our customers may shift the timing of material orders for any number of reasons, including, but not limited to, changes in academic semester start dates or changes to their inventory management practices. Use of Estimates The preparation of financial statements in conformity with U.S. GAAP requires management to make estimates and assumptions that affect the amounts reported in the financial statements and accompanying notes. Actual results could differ from those estimates. On an ongoing basis, we evaluate our estimates and assumptions, including those related to revenue recognition, allowance for doubtful accounts and sales returns, inventories, prepublication costs, accounting for the impairment of long-lived assets (including other intangible assets), goodwill and indefinite-lived intangible assets, stock-based compensation, restructuring, income taxes and contingencies. Management further considered the accounting policy with regard to the purchase price allocation to assets and liabilities to be critical. This accounting policy, as more fully described in Note 3, encompasses significant judgments and estimates used in the preparation of these financial statements. Cash and Cash Equivalents Cash and cash equivalents include ordinary bank deposits and highly liquid investments with original maturities of three months or less that consist primarily of money market funds with unrestricted daily liquidity and fixed term time deposits. The balance also includes cash that is held by the Company outside the United States to fund international operations or to be reinvested outside of the United States. The investments and bank deposits are stated at cost, which approximates market value and were $46,617 and $232,098 as of June 30, 2015 and December 31, 2014 , respectively. These investments are not subject to significant market risk. Accounts Receivable Credit is extended to customers based upon an evaluation of the customer’s financial condition. Accounts receivable are recorded at net realizable value. Allowance for Doubtful Accounts and Sales Returns The allowance for doubtful accounts and sales returns reserves methodology is based on historical analysis, a review of outstanding balances and current conditions. In determining these reserves, we consider, among other factors, the financial condition and risk profile of our customers, areas of specific or concentrated risk as well as applicable industry trends or market indicators. The allowance for sales returns is a significant estimate, which is based on historical rates of return and current market conditions. The provision for sales returns is reflected as a reduction to “Revenues” in our consolidated statements of operations. Sales returns are charged against the reserve as products are returned to inventory. Accounts receivable losses for bad debt are charged against the allowance for doubtful accounts when the receivable is determined to be uncollectible. The change in the allowance for doubtful accounts is reflected as part of operating and administrative expenses in our consolidated statement of operations. Concentration of Credit Risk As of June 30, 2015 and December 31, 2014 , two customers comprised approximately 28% and 31% of the gross accounts receivable balance, respectively, which is reflective of concentration in our industry. For the three months ended June 30, 2015, the Company had two customers that accounted for 12% and 10% of our gross revenues. For the three months ended June 30, 2014, the Company had two customers that accounted for 11% and 10% of our gross revenues. For the six months ended June 30, 2015, the Company had one customer that accounted for 10% of our gross revenues. The Company had no single customer that accounted for more than 10% of our gross revenues for the six months ended June 30, 2014 . These customers were included within the Higher Education and Professional revenues, respectively. The loss of, or any reduction in sales from, a significant customer or deterioration in their ability to pay could harm our business and financial results. Inventories Inventories, consisting principally of books, are stated at the lower of cost (first-in, first-out) or market value. The majority of our inventories relate to finished goods. A significant estimate, the reserve for inventory obsolescence, is reflected in operating and administration expenses. In determining this reserve, we consider management’s current assessment of the marketplace, industry trends and projected product demand as compared to the number of units currently on hand. The reserves for inventory obsolescence were $38,111 and $38,893 as of June 30, 2015 and December 31, 2014 , respectively. Prepublication Costs Prepublication costs include both the cost of developing educational content and the development of assessment solution products. Costs incurred prior to the publication date of a title or release date of a product represent activities associated with product development. These may be performed internally or outsourced to subject matter specialists and include, but are not limited to, editorial review and fact verification, graphic art design and layout and the process of conversion from print to digital media or within various formats of digital media. These costs are capitalized when the costs can be directly attributable to a project or title and the title is expected to generate probable future economic benefits. Capitalized costs are amortized upon publication of the title over its estimated useful life of up to six years , with a higher proportion of the amortization typically taken in the earlier years. Amortization expenses for prepublication costs are charged as a component of operating & administration expenses. In evaluating recoverability, we consider management’s current assessment of the marketplace, industry trends and the projected success of programs. Property, Plant and Equipment Property, plant and equipment are stated at cost less accumulated depreciation as of June 30, 2015 and December 31, 2014 . Depreciation and amortization are recorded on a straight-line basis, over the assets’ estimated useful lives. Buildings have an estimated useful life, for purposes of depreciation, of twenty-eight years. Furniture, fixtures and equipment are depreciated over periods not exceeding seven years . Leasehold improvements are amortized over the life of the lease or the life of the assets, whichever is shorter. The Company evaluates the depreciation periods of property, plant and equipment to determine whether events or circumstances warrant revised estimates of useful lives. Royalty Advances Royalty advances are initially capitalized and subsequently expensed as related revenues are earned or when the Company determines future recovery is not probable. The Company has a long history of providing authors with royalty advances, and it tracks each advance earned with respect to the sale of the related publication. Historically, the longer the unearned portion of the advance remains outstanding, the less likely it is that the Company will recover the advance through the sale of the publication, as the related royalties earned are applied first against the remaining unearned portion of the advance. The Company applies this historical experience to its existing outstanding royalty advances to estimate the likelihood of recovery. Additionally, the Company’s editorial staff reviews its portfolio of royalty advances at a minimum quarterly to determine if individual royalty advances are not recoverable for discrete reasons, such as the death of an author prior to completion of a title or titles, a Company decision to not publish a title, poor market demand or other relevant factors that could impact recoverability. Based on this information, the portion of any advance that we believe is not recoverable is expensed. Deferred Technology Costs We capitalize certain software development and website implementation costs. Capitalized costs only include incremental, direct costs of materials and services incurred to develop the software after the preliminary project stage is completed, funding has been committed and it is probable that the project will be completed and used to perform the function intended. Incremental costs are expenditures that are out-of-pocket to us and are not part of an allocation or existing expense base. Software development and website implementation costs are expensed as incurred during the preliminary project stage. Capitalized costs are amortized from the year the software is ready for its intended use over its estimated useful life, three to seven years , using the straight-line method. Periodically, we evaluate the amortization methods, remaining lives and recoverability of such costs. Capitalized software development and website implementation costs are included in other non-current assets in the consolidated balance sheets and are presented net of accumulated amortization. Gross deferred technology costs were $56,559 and $42,030 as of June 30, 2015 and December 31, 2014 , respectively. Accumulated amortization of deferred technology costs were $16,846 and $12,433 as of June 30, 2015 and December 31, 2014 . Accounting for the Impairment of Long-Lived Assets (Including Other Intangible Assets) We evaluate long-lived assets for impairment whenever events or changes in circumstances indicate that the carrying amount of an asset may not be recoverable. Upon such an occurrence, recoverability of assets to be held and used is measured by comparing the carrying amount of an asset to current forecasts of undiscounted future net cash flows expected to be generated by the asset. If the carrying amount of the asset exceeds its estimated future cash flows, an impairment charge is recognized equal to the amount by which the carrying amount of the asset exceeds the fair value of the asset. Long-lived assets held for sale are written down to fair value, less cost to sell. Fair value is determined based on market evidence, discounted cash flows, appraised values or management’s estimates, depending upon the nature of the assets. There were no impairments of long-lived assets for the three and six months ended June 30, 2015 and June 30, 2014 , respectively. Goodwill and Indefinite-Lived Intangible Assets Goodwill represents the excess of purchase price and related costs over the fair value of identifiable assets acquired and liabilities assumed in a business combination. Indefinite-lived intangible assets consist of the Company's acquired brands. Goodwill and indefinite-lived intangible assets are not amortized, but instead are tested for impairment annually during the fourth quarter each year, or more frequently if events or changes in circumstances indicate that the asset might be impaired. We have three reporting units, Higher Education, Professional and International with goodwill and indefinite-lived intangible assets that are evaluated for impairment. We initially perform a qualitative analysis evaluating whether there are events or circumstances that provide evidence that it is more likely than not that the fair value of any of our reporting units or indefinite-lived intangible assets are less than their carrying amount. If, based on our evaluation we do not believe that it is more likely than not that the fair value of any of our reporting units or indefinite-lived intangible assets are less than their carrying amount, no quantitative impairment test is performed. Conversely, if the results of our qualitative assessment determine that it is more likely than not that the fair value of any of our reporting units or indefinite-lived intangible assets are less than their respective carrying amounts we perform a two-step quantitative impairment test. During the first step, the estimated fair value of the reporting units are compared to their carrying value including goodwill and the estimated fair value of the intangible assets is compared to their carrying value. Fair values of the reporting units are estimated using the income approach, which incorporates the use of a discounted free cash flow analysis, and are corroborated using the market approach, which incorporates the use of revenue and earnings multiples based on market data. The discounted free cash flow analyses are based on the current operating budgets and estimated long-term growth projections for each reporting unit. Future cash flows are discounted based on a market comparable weighted average cost of capital rate for each reporting unit, adjusted for market and other risks where appropriate. Fair values of indefinite-lived intangible assets are estimated using avoided royalty discounted free cash flow analyses. Significant judgments inherent in these analyses include the selection of appropriate royalty and discount rates and estimating the amount and timing of expected future cash flows. The discount rates used in the discounted free cash flow analyses reflect the risks inherent in the expected future cash flows generated by the respective intangible assets. The royalty rates used in the discounted free cash flow analyses are based upon an estimate of the royalty rates that a market participant would pay to license the Company's trade names and trademarks. If the fair value of the reporting units or indefinite-lived intangible assets are less than their carrying value, a second step is performed which compares the implied fair value of the reporting unit’s goodwill or indefinite-lived intangible assets to the carrying value. The fair value of the goodwill or indefinite-lived intangible assets is determined based on the difference between the fair value of the reporting unit and the net fair value of the identifiable assets and liabilities of the reporting unit or carrying value of the indefinite-lived intangible asset. If the implied fair value of the goodwill or indefinite-lived intangible assets is less than the carrying value, the difference is recognized as an impairment charge. Significant judgments inherent in this analysis include estimating the amount and timing of future cash flows and the selection of appropriate discount rates, royalty rate and long-term growth rate assumptions. Changes in these estimates and assumptions could materially affect the determination of fair value for each reporting unit and indefinite-lived intangible asset and for some of the reporting units and indefinite-lived intangible assets could result in an impairment charge, which could be material to our financial position and results of operations. There were no impairments of goodwill and indefinite-lived intangible assets for the three and six months ended June 30, 2015 and June 30, 2014 , respectively. Fair Value Measurements In accordance with authoritative guidance for fair value measurements, certain assets and liabilities are required to be recorded at fair value. Fair value is defined as the amount that would be received to sell an asset or transfer a liability in an orderly transaction between market participants. A fair value hierarchy has been established which requires us to maximize the use of observable inputs and minimize the use of unobservable inputs when measuring fair value. The three levels of inputs used to measure fair value are as follows: • Level 1 - Unadjusted quoted prices in active markets for identical assets or liabilities. • Level 2 - Observable inputs other than Level 1 prices, such as quoted prices for similar assets or liabilities; quoted prices in markets that are not active; or other inputs that are observable or can be corroborated by observable market data for substantially the full term of the asset or liabilities. • Level 3 - Unobservable inputs that are supported by little or no market activity and that are significant to the fair value of the assets or liabilities. Foreign Currency Translation We have operations in many foreign countries. For most international operations, the local currency is the functional currency. For international operations that are determined to be extensions of the U.S. operations or where a majority of revenue and/or expenses is USD denominated, the United States dollar is the functional currency. For local currency operations, assets and liabilities are translated into United States dollars using end-of-period exchange rates, and revenue and expenses are translated into United States dollars using weighted-average exchange rates. Foreign currency translation adjustments are accumulated in a separate component of equity. Stock-Based Compensation The Company issues Georgia Holidings, Inc. stock options and other stock-based compensation to eligible employees, directors and consultants and accounts for these transactions under the provisions of Accounting Standards Codification ("ASC") 718, Compensation - Stock Compensation . For equity awards, total compensation cost is based on the grant date fair value. For liability awards, total compensation cost is based on the fair value of the award on the date the award is exercised and delivered. For performance-based options issued, the value of the instrument is measured at the grant date as the fair value of the common stock and expensed over the vesting term when the performance targets are considered probable of being achieved. The Company recognizes stock-based compensation expense for all awards, on a straight-line basis, over the service period required to earn the award, which is typically the vesting period. Revenue Recognition Revenue is recognized as it is earned when goods are shipped to customers or services are rendered. We consider amounts to be earned once evidence of an arrangement has been obtained, services are performed, fees are fixed or determinable and collectability is reasonably assured. Arrangements with multiple deliverables Revenue relating to products that provide for more than one deliverable is recognized based upon the relative fair value to the customer of each deliverable as each deliverable is provided. Revenue relating to agreements that provide for more than one service is recognized based upon the relative fair value to the customer of each service component as each component is earned. If the fair value to the customer for each service is not objectively determinable, we make our best estimate of the services’ stand-alone selling price and recognize revenue as earned as the services are delivered. Because we determine the basis for allocating consideration to each deliverable primarily on prices experienced from completed sales, over time the portion of consideration allocated to each deliverable in a multiple deliverable arrangement may increase or decrease depending on the most recent selling price of a comparable product or service sold on a stand-alone basis. For example, as the demand for, and prevalence of, digital products increases, we may be required to increase the amount of consideration allocable to digital products included in multiple deliverable arrangements because the fair value of such products or services may increase relative to other products or services bundled in the arrangement. Conversely, in the event that demand for our print products decreases, thereby causing us to experience reduced prices on our print products, we may be required to allocate less consideration to our print products in our arrangements that include multiple deliverables. Subscription-based products Subscription income is recognized over the related subscription period that the subscription is available and is used by the customer. Subscription revenue received or receivable in advance of the delivery of services or publications is included in deferred revenue. Incremental costs that are directly related to the subscription revenue are deferred and amortized over the subscription period. Included among the underlying assumptions related to our estimates that impact the recognition of subscription income is the period that our subscriptions are accessed by our customers, the extent of our responsibility to provide access to our subscription-based products, and the extent of complementary support services customers demand to access our products. Service arrangements Revenue relating to arrangements that provide for more than one service is recognized based upon the relative fair value to the customer of each service component as each component is earned. Such arrangements may include digital products bundled with traditional print products, obligations to provide products and services in the future at no additional cost, and periodic training pertinent to products and services previously provided. If the fair value to the customer for each service is not objectively determinable, we make our best estimate of the services’ stand-alone selling price and recognize revenue as earned as the services are delivered. Losses on contracts are recognized in the period in which the loss first becomes foreseeable. Contract losses are measured as the amount that the estimated total costs to complete the contract exceed the estimated total revenues that will be generated by the contract. Shipping and Handling Costs All amounts billed to customers in a sales transaction for shipping and handling are classified as revenue. Shipping and handling costs are also a component of cost of goods sold. Income Taxes The Company’s operations are subject to United States federal, state and local income taxes, and foreign income taxes. The United States federal income tax return is filed as a consolidated group under Georgia Holdings, Inc. Net operating losses and other tax attributes are characterized as realized or realizable by MHGE Holdings when the attributes are utilized by the consolidated federal group following the Company’s “Benefits-for-Loss” allocation method. We determine the provision for income taxes using the asset and liability approach. Under this approach, deferred income taxes represent the expected future tax consequences of temporary differences between the carrying amounts and tax bases of assets and liabilities. Valuation allowances are established when management determines that it is more-likely-than not that some portion or all of the deferred tax asset will not be realized. Management evaluates the weight of both positive and negative evidence in determining whether a deferred tax asset will be realized. Management will look to a history of losses, future reversal of existing taxable temporary differences, taxable income in carryback years, feasibility of tax planning strategies, and estimated future taxable income. The valuation allowance can also be affected by changes in tax laws and changes to statutory tax rates. We prepare and file tax returns based on management’s interpretation of tax laws and regulations. As with all businesses, our tax returns are subject to examination by various taxing authorities. Such examinations may result in future tax assessments based on differences in interpretation of the tax law and regulations. We adjust our estimated uncertain tax positions reserves based on audits by and settlements with various taxing authorities as well as changes in tax laws, regulations, and interpretations. We recognize interest and penalties on uncertain tax positions as part of interest expense and operating expenses, respectively. Contingencies We accrue for loss contingencies when both (a) information available prior to issuance of the financial statements indicates that it is probable that a liability had been incurred at the date of the financial statements and (b) the amount of loss can reasonably be estimated. When we accrue for loss contingencies and the reasonable estimate of the loss is within a range, we record its best estimate within the range. We disclose an estimated possible loss or a range of loss when it is at least reasonably possible that a loss may have been incurred. Neither an accrual nor disclosure is required for losses that are deemed remote. Recent Accounting Standards In April 2015, the Financial Accounting Standards Board (“FASB”) issued Accounting Standards Update (“ASU”) No. 2015-03 - Simplifying the Presentation of Debt Issuance Costs . This ASU changes the presentation of debt issuance costs by requiring an entity to present such costs as a direct deduction from the related debt liability rather than as an asset. Amortization of the costs will continue to be reported as interest expense. This guidance is effective for interim and annual reporting periods beginning after December 15, 2015. Early adoption is permitted. The Company is currently evaluating the effect that the updated standard will have on its consolidated balance sheets. In January 2015, the FASB issued ASU No. 2015-01 (Topic 225-20) - Income Statement—Extraordinary and Unusual Items which eliminates the concept of extraordinary items. This guidance removes the requirement to assess whether an event or transaction is both unusual in nature and infrequent in occurrence and to separately present any such items on the statement of operations after income from continuing operations. Rather, such items will either be presented as a separate component of income from continuing operations or disclosed in the notes to the financial statements. This guidance is effective for interim and annual periods beginning after December 15, 2015. Early adoption is permitted provided that the guidance is applied from the beginning of the fiscal year of adoption. The adoption of this guidance will not have a material impact on the Company's consolidated financial statements. In August 2014, the FASB issued ASU No. 2014-15 - Disclosure of Uncertainties about an Entity’s Ability to Continue as a Going Concern to provide guidance on management’s responsibility in evaluating whether there is substantial doubt about a company’s ability to continue as a going concern and to provide related footnote disclosures. This update is effective for the annual period ending after December 15, 2016, and for annual periods and interim periods thereafter. Early application is permitted. The adoption of this guidance will not have a material impact on the Company’s consolidated financial statements. In June 2014, the FASB issued ASU No. 2014-12 (Topic 718) - Compensation-Stock Compensation: Accounting for Share-Based Payments When the Terms of an Award Provide That a Performance Target Could Be Achieved after the Requisite Service Period (a consensus of the FASB Emerging Issues Task Force). This ASU clarifies that a performance target that affects vesting and that could be achieved after the requisite service period be treated as a performance condition. A reporting entity should apply existing guidance in Topic 718 as it relates to awards with performance conditions that affect vesting to account for such awards. As such, the performance target should not be reflected in estimating the grant-date fair value of the award. Compensation cost should be recognized in the period in which it becomes probable that the performance target will be achieved and should represent the compensation cost attributable to the period(s) for which the requisite service has already been rendered. This ASU may be applied either (a) prospectively to all awards granted or modified after the effective date or (b) retrospectively to all awards with performance targets that are outstanding as of the beginning of the earliest annual period presented in the financial statements and to all new or modified awards thereafter. The amendments in this update are effective for annual periods and interim periods within those annual periods beginning after December 15, 2015. Earlier adoption is permitted. The Company is evaluating the impact that this update will have on its consolidated financial statements. In May 2014, the FASB issued ASU No. 2014-09 - Revenue from Contracts with Customers , which supersedes most of the current revenue recognition requirements. The core principle of the new guidance is that an entity should recognize revenue to depict the transfer of promised goods or services to customers in an amount that reflects the consideration to which the entity expects to be entitled in exchange for those goods or services. New disclosures about the nature, amount, timing and uncertainty of revenue and cash flows arising from contracts with customers are also required. Entities must adopt the new guidance using one of two retrospective application methods. On April 29, 2015, the FASB issued an exposure draft to defer the effective date by one year. Pending finalization, this guidance is effective for the Company in the first quarter of 2017 and early application is permitted. The Company is currently evaluating the standard to determine the impact of its adoption on the consolidated financial statements.

The Founding Transactions

The Founding Transactions	6 Months Ended
	Jun. 30, 2015
Organization, Consolidation and Presentation of Financial Statements [Abstract]
The Founding Transactions	The Founding Transactions As discussed in Note 1, the Founding Acquisition was completed on March 22, 2013 and financed by: • Borrowings under MHGE Holdings senior secured credit facilities (the “Senior Facilities”), consisting of a $810,000 , 6 -year senior secured term loan credit facility (the “term loan facility”), all of which was drawn at closing and a $240,000 , 5 -year senior secured revolving credit facility (“revolving credit facility”), $35,000 of which was drawn at closing; • Issuance by MHGE Holdings and McGraw-Hill Global Education Finance, Inc., a wholly owned subsidiary of MHGE (together with MHGE Holdings, the “Issuers”) of $800,000 , 9.75% first-priority senior secured notes due 2021 (the “Notes”); and • Equity contribution of $950,000 from Parent funded by the Sponsor, co-investors and management. The Founding Acquisition occurred simultaneously with the closing of the financing transactions and equity investments described above. The Founding Acquisition, related financing and payment of any costs related to these transactions are collectively herein referred to as the Founding Transactions.

The Founding Acquisition

The Founding Acquisition	6 Months Ended
	Jun. 30, 2015
The Founding Acquisition, MHGE Intermediate
Business Acquisition [Line Items]
Business Combination	The Founding Acquisition The Founding Acquisition was accounted for as a business combination in accordance with ASC 805, Business Combinations . The Founding Acquisition and the determination of fair value of the assets acquired and liabilities assumed was recorded as of March 22, 2013 based on the purchase price of $1,711,348 . As a result of the Founding Acquisition, goodwill of $350,050 was recorded on the Successor's balance sheet. The Company has finalized the allocation of goodwill to each of its reporting units. The sources and uses of funds in connection with the Founding Transactions are summarized below: Sources Proceeds from term loan facility $ 785,700 Proceeds from revolving credit facility 35,000 Proceeds from Notes 789,096 Proceeds from equity contributions 950,000 Total sources $ 2,559,796 Uses Equity purchase price $ 1,711,348 Transaction fees and expenses 131,339 Cash to balance sheet 88,255 Distribution to Parent 628,854 Total uses $ 2,559,796 Purchase Price The Founding Acquisition has been accounted for using the acquisition method of accounting which requires assets acquired and liabilities assumed to be recognized at their fair values as of the acquisition date, with any excess of the purchase price attributed to goodwill. The fair values have been determined based upon assumptions related to the future cash flows, discount rates and asset lives utilizing currently available information. On October 16, 2013 the working capital adjustment was finalized with MHC and the Company's share of the proceeds of the working capital adjustment was $28,099 . The table below summarizes the fair values of the assets acquired and liabilities assumed at the date of acquisition: Cash and equivalents $ 19,633 Accounts receivable and other current assets 132,750 Inventory 235,608 Prepublication costs 109,064 Property, plant and equipment 102,836 Identifiable intangible assets 998,007 Other noncurrent assets 56,226 Accounts payable and accrued expenses (143,076 ) Deferred revenue (42,339 ) Other current liabilities (49,767 ) Deferred income tax liability (15,846 ) Other long-term liabilities (19,573 ) Noncontrolling interests (22,225 ) Goodwill 350,050 Purchase price $ 1,711,348 Residual goodwill consists primarily of intangible assets related to the knowhow and design of the Company’s products that do not qualify for separate recognition as well as assembled work force. The fair values of the finite acquired intangible assets will be amortized over their useful lives, which is consistent with the estimated useful life considerations used in determining their fair values. Customer and technology intangibles are amortized on a straight-line basis while content intangibles are amortized using the sum of the years digits method. Fair Value Useful Lives Brands $ 283,000 Indefinite Customers 140,000 11 - 14 years Content 566,007 8 - 14 years Technology 9,000 5 years Amortization expense of $20,369 and $31,826 was recorded in the three months ended June 30, 2015 and June 30, 2014 , respectively. Amortization expense of $41,119 and $51,238 was recorded in the six months ended June 30, 2015 and June 30, 2014 , respectively. The Founding Acquisition was a taxable acquisition of the assets of domestic subsidiaries and a non-taxable acquisition of the stock of international subsidiaries for U.S. income tax purposes. Deferred income tax liability of $15,846 has been provided for the difference in fair value of international assets and liabilities over the carryover tax basis. Distribution to Parent The total amount of $628,854 allocated to MHSE Holdings includes purchase price as well as the working capital adjustment made at closing and is classified as "Distribution to Parent" in the consolidated financial statements. MHSE Holdings is not included in these consolidated financial statements.

ALEKS Acquisition

ALEKS Acquisition	6 Months Ended
	Jun. 30, 2015
ALEKS Corporation
Business Acquisition [Line Items]
Business Combination	ALEKS Acquisition On August 1, 2013, the Company acquired all of the outstanding shares of ALEKS Corporation, a developer of adaptive learning technology for the higher education and K-12 education markets. Prior to the acquisition, the Company had a long-term royalty-based partnership with ALEKS where ALEKS technology solutions were incorporated into the Company’s Higher Education’s products. ALEKS was acquired for a purchase price of $103,500 ; of which $50,000 was paid in cash at closing. The remaining $53,500 was paid one year after closing on August 1, 2014 of which $15,000 was held in escrow for six months. As of December 31, 2013, $53,500 was included in other current liabilities in the consolidated balance sheet. The Company has finalized the determination of the fair values of the assets acquired and liabilities assumed upon acquisition. On October 31, 2013, the working capital adjustment was finalized and the Company's share of the proceeds of the working capital adjustment was $1,422 . The $50,000 paid at closing and subsequent payments were financed by a combination of cash on hand and borrowing under the revolving credit facility. Costs incurred in connection with the acquisition for the year ended December 31, 2013 were $2,549 and are included in operating and administrative expenses in the consolidated statements of operations. Subsequent to the closing, the ALEKS Corporation entered into a reseller agreement with McGraw-Hill School Education Holdings, LLC ("MHSE"), which is a separate wholly owned subsidiary of our Parent, granting MHSE exclusive rights to sell ALEKS products in the K-12 market. MHSE paid $25,500 to ALEKS Corporation for the exclusivity provision, which is being recognized over five years and renewable for no additional fee after five years , and paid a royalty advance of $12,500 . The royalty rate is 15% on net sales. The companies received a fairness opinion from a third party valuation firm on the terms of the transaction. The table below summarizes the estimated fair values of the assets acquired and liabilities assumed at the date of acquisition: Tangible assets 9,365 Identifiable intangible assets 40,700 Deferred revenue (2,754 ) Other liabilities (23,083 ) Goodwill 79,272 Purchase price $ 103,500 Residual goodwill consists primarily of intangible assets related to the knowhow and design of the Company’s products that do not qualify for separate recognition as well as assembled work force. The amount of goodwill is not considered deductible for tax purposes. The fair values of the acquired intangible assets will be amortized on a straight-line basis over their useful lives which is consistent with the estimated useful life considerations used in determining their fair values. Fair Value Useful Lives Trade Name $ 5,300 10 years Customers 7,100 7 years Technology 28,300 7 years Amortization expense of $1,397 and $1,143 was recorded in the three months ended June 30, 2015 and June 30, 2014 , respectively. Amortization expense of $2,794 and $4,070 was recorded in the six months ended June 30, 2015 and June 30, 2014 , respectively.

Area 9 Acquisition

Area 9 Acquisition	6 Months Ended
	Jun. 30, 2015
Area 9
Business Acquisition [Line Items]
Business Combination	Area 9 Acquisition On February 6, 2014 the Company acquired the remaining 80% that it did not already own of Area 9, a Danish Company and developer of adaptive learning technology for the higher education market for total consideration of $78,049 . Prior to the acquisition, the Company had a long-term royalty-based relationship with Area 9. The Company had purchased the other 20% stake in Area 9 in January 2013. Consideration for the acquisition of the remaining 80% was $29,003 in cash at closing, with the remainder in shares of Georgia Holdings preferred stock, including shares held in escrow, and shares subject to an earn-out based on several financial measures which we expect to be met and therefore all earn out shares have been valued in member's equity. The tranche of shares to be earned in 2014 were fully earned. Pursuant to the purchase agreement, consulting payments are due to the founders of Area 9 of $9,800 for a designated project and deliverable, of which $2,700 is contingent upon a successful completion of a project deliverable and $5,000 expense reimbursement over a four year period. These costs are expensed as incurred. There is a gain of $7,329 , for the six months ended June 30, 2014, in other income reflecting a fair value adjustment based on the purchase price of the additional 80% interest on the original 20% stake which fair value is $15,866 , making the total transaction value equal to $93,915 . The Company determined the acquisition date fair value of the previously held equity interest in Area 9 using the income approach, including consideration of a control premium, which requires the Company to make estimates and assumptions regarding future cash flows. The Company has finalized the determination of the fair values of the assets acquired and liabilities assumed upon acquisition. On July 18, 2014, the working capital adjustment was finalized and the Company's payment for the working capital adjustment was $959 . The table below summarizes the estimated fair values of the assets acquired and liabilities assumed at the date of acquisition: Tangible assets $ 1,969 Identifiable intangible assets 44,800 Other liabilities (7,609 ) Goodwill 54,755 Purchase price $ 93,915 Residual goodwill consists primarily of intangible assets related to the knowhow and design of the Company’s products that do not qualify for separate recognition as well as assembled work force. The amount of goodwill is not considered deductible for tax purposes. The fair values of the acquired intangible assets will be amortized on a straight-line basis over their useful lives of four and seven years, which is consistent with the estimated useful life considerations used in determining their fair values. Amortization expense of $1,334 and $1,722 was recorded in the three months ended June 30, 2015 and June 30, 2014 , respectively. Amortization expense of $2,559 and $2,870 was recorded in the six months ended June 30, 2015 and June 30, 2014 , respectively.

Ryerson Acquisition

Ryerson Acquisition	6 Months Ended
	Jun. 30, 2015
Noncontrolling Interest, Joint Venture In McGraw-Hill Ryerson
Business Acquisition [Line Items]
Business Combination	Ryerson Acquisition On June 17, 2014, the Company acquired the remaining 30% interest in McGraw-Hill Ryerson, its Canadian subsidiary, and now owns all of the outstanding shares of the operation. The aggregate purchase price was approximately $27,450 . The excess of the purchase price over the value of the non-controlling interest of $4,815 was recognized as an adjustment to member's equity. The Company determined the fair value of the previously held equity interest in Ryerson using an active market price on the date of acquisition.

Inventories

Inventories	6 Months Ended
	Jun. 30, 2015
Inventory Disclosure [Abstract]
Inventories	Inventories Inventories consist of the following: As of June 30, 2015 December 31, 2014 Raw materials $ 1,935 $ 1,160 Work-in-progress 2,529 3,380 Finished goods 110,878 111,345 115,342 115,885 Reserves (38,111 ) (38,893 ) Inventories, net $ 77,231 $ 76,992

Debt

Debt	6 Months Ended
	Jun. 30, 2015
Debt Disclosure [Abstract]
Debt	Debt Long-term debt consisted of the following: As of June 30, 2015 December 31, 2014 Term loan facility $ 661,847 $ 663,555 Notes 791,334 790,798 Less current portion of long term debt (6,792 ) (6,880 ) Long Term Debt (1) $ 1,446,389 $ 1,447,473 (1) Long term debt balances reflect face value of debt less the unamortized discount. Senior Facilities In connection with the Founding Transactions, on March 22, 2013, MHGE Holdings, our wholly owned subsidiary, together with the Company, entered into the Senior Facilities, which are governed by a first lien credit agreement as amended and restated, with Credit Suisse AG, as administrative agent, and the other agents and lenders, as parties thereto, that provided senior secured financing of up to $1,050,000 , consisting of: • the term loan facility in an aggregate principal amount of $810,000 with a maturity of six years ; and • the revolving credit facility in an aggregate principal amount of up to $240,000 with a maturity of five years , including both a letter of credit sub-facility and a swingline loan sub-facility. The amount available under the revolving credit facility at June 30, 2015 was $240,000 . On May 4, 2015, the Company made a voluntary principal payment of $326 and refinanced the term loan facility in the aggregate principal of $679,000 . The revised terms reduce the applicable LIBOR margin from 4.75% to 3.75% . The LIBOR floor remains at 1% . All other terms remain unchanged. Quarterly principal payments were reduced from $1,720 to $1,698 , maintaining the amortization rate at ¼ of 1% of the refinanced principal amount. On March 24, 2014, the Company made a voluntary principal payment of $35,000 and refinanced the term loan facility in the aggregate principal of $687,925 . The revised terms reduce the LIBOR floor from 1.25% to 1.0% and the applicable LIBOR margin from 7.75% to 4.75% . The maturity date did not change but quarterly principal payments were reduced from $2,025 to $1,720 , maintaining the amortization rate at ¼ of 1% of the refinanced principal amount. The interest rate on the borrowings under the Senior Facilities is based on LIBOR or Prime, plus an applicable margin. The interest rate was 4.75% at June 30, 2015 for the term loan facility and there were no outstanding borrowings under the revolving credit facility. The term loan facility and the revolving credit facility were issued at a discount of 3% and 2% , respectively. Debt issuance costs and the discount are amortized over the term of the respective facility using the effective interest method and are included in interest expense, net within the consolidated statements of operations. The amount of amortization included in interest expense, net was $1,623 and $3,371 for the three months ended June 30, 2015 and June 30, 2014 , respectively. The amount of amortization included in interest expense, net was $4,760 and $5,868 for the six months ended June 30, 2015 and June 30, 2014 , respectively. The term loan facility requires quarterly amortization payments totaling 1% per annum of the refinanced principal amount of the facility, with the balance payable on the final maturity date. The term loan facility also includes customary mandatory prepayments requirements based on certain events such as asset sales, debt issuances, and defined levels of free cash flows. All obligations under the Senior Facilities are guaranteed by the Parent, the Company and each of MHGE Holdings existing and future direct and indirect material, wholly owned domestic subsidiaries and are secured by first priority lien on substantially all tangible and intangible assets of MHGE Holdings and each subsidiary guarantor, all of the MHGE Holdings capital stock and the capital stock of each subsidiary guarantor and 65% of the capital stock of the first-tier foreign subsidiaries that are not subsidiary guarantors, in each case subject to exceptions. The revolving credit facility includes a springing financial maintenance covenant that requires MHGE Holdings net first lien leverage ratio not to exceed 7.00 to 1.00 (the ratio of consolidated net debt secured by first-priority liens on the collateral to EBITDA, as defined in the First Lien Credit Agreement, of MHGE Holdings and its consolidated subsidiaries). The covenant will be tested quarterly when the revolving credit facility is more than 20% drawn (including outstanding letters of credit), beginning with the fiscal quarter ended June 30, 2013, and will be a condition to drawings under the revolving credit facility (including for new letters of credit) that would result in more than 20% drawn thereunder. As of June 30, 2015 , the borrowings under the revolving credit facility were less than 20% , and so the covenant was not in effect. Post-Plate Adjusted EBITDA reflects EBITDA as defined in the First Lien Credit Agreement. Solely for the purpose of calculating the springing financial covenant, plate investments should be excluded from the calculation of EBITDA. The fair value of the term loan facility was approximately $677,301 and $677,640 as of June 30, 2015 and December 31, 2014 , respectively. The Company estimates the fair value of the term loan facility utilizing the market quotations for debt that have quoted prices in active markets. Since the term loan facility does not trade of a daily basis in an active market, the fair value estimates are based on market observable inputs based on borrowing rates currently available for debt with similar terms and average maturities, based on fair value hierarchy established in accordance with authoritative guidance for fair value measurements (Level 2). 9.75% First-Priority Senior Secured Notes due 2021 In connection with the Founding Acquisition, on March 22, 2013 , the Issuers issued $800,000 in principal amount of the Notes in a private placement. The Notes bear interest at a rate of 9.75% per annum, payable semi-annually in arrears on April 1 and October 1 of each year, commencing on October 1, 2013. The Notes were issued at a discount of 1.36% . Debt issuance costs and the discount are amortized over the term of the Notes using the effective interest method and are included in interest expense, net within the consolidated statements of operations. The amount of amortization included in interest expense, net was $1,208 and $1,498 for the three months ended June 30, 2015 and June 30, 2014 , respectively. The amount of amortization included in interest expense, net was $2,353 and $2,996 for the six months ended June 30, 2015 and June 30, 2014 , respectively. The Issuers may redeem the Notes at its option, in whole or in part, at any time on or after April 1, 2016, at certain redemption prices. The Notes are fully and unconditionally guaranteed by the Parent, the Company and each of MHGE Holdings domestic restricted subsidiaries that guarantee the Senior Facilities. In addition, the Notes and the related guarantees are secured by first priority lien on the same collateral that secure the Senior Facilities, subject to certain exclusions. The Senior Facilities and the Notes contain certain customary affirmative covenants and events of default. In addition, the negative covenants in the Senior Facilities and the Notes limit MHGE Holdings and its restricted subsidiaries’ ability to, among other things: incur additional indebtedness or issue certain preferred shares, create liens on certain assets, pay dividends or prepay junior debt, make certain loans, acquisitions or investments, materially change its business, engage into transactions with affiliates, conduct asset sales, restrict dividends from subsidiaries or restrict liens, or merge, consolidate, sell or otherwise dispose of all or substantially all of MHGE Holdings assets. The Parent and the Company are not bound by any financial or negative covenants in the Senior Facilities and the notes, other than, in the case of the Company prior to an IPO, with respect to incurrence of liens on and the pledge of MHGE Holdings capital stock and with respect to the maintenance of its existence. On March 24, 2014, the Company began paying an incremental 0.25% interest rate on the 9.75% First-Priority Senior Secured Notes because a registration statement for an exchange offer to exchange the initial Notes for registered Notes had not been declared effective prior to that date. The incremental interest continued to accrue until the exchange offer had been consummated. The Company’s registration statement for the exchange offer was declared effective on May 14, 2014, and the exchange offer was completed on June 19, 2014 ending the incremental 0.25% accrual on that date. The fair value of the Notes was approximately $880,000 and $890,000 as of June 30, 2015 and December 31, 2014 , respectively. The Company estimates the fair value of its Notes based on trades in the market. Since the Notes do not trade on a daily basis in an active market, the fair value estimates are based on market observable inputs based on borrowing rates currently available for debt with similar terms and average maturities (Level 2). Scheduled principal Payments The scheduled principal payments required under the terms of the Senior Facilities and the Notes as of June 30, 2015 were as follows: June 30, 2015 2015 Q3 to Q4 $ 3,396 2016 6,792 2017 6,792 2018 6,792 2019 653,529 2020 and beyond 800,000 1,477,301 Less: Current portion 6,792 $ 1,470,509

Segment Reporting

Segment Reporting	6 Months Ended
	Jun. 30, 2015
Segment Reporting [Abstract]
Segment Reporting	Segment Reporting The Company manages and reports its businesses in the following four segments: • MHGE Higher Education : Provides instructional content, adaptive learning, assessment and institutional services to students, professors, provosts and presidents in the college, university and postgraduate markets in the United States and around the world. • MHGE Professional : Provides content and subscription-based information services for the professional business, medical, technical and education/test-preparation communities, including for professionals preparing for entry into graduate programs. • MHGE International : Leverages our global scale, brand recognition and extensive product portfolio to serve educational and professional markets around the world. MHGE International pursues numerous product models to drive growth, ranging from reselling primarily MHGE Higher Education and MHGE Professional offerings to creating locally developed product suites customized for each region. • MHGE Other : Includes certain transactions or adjustments that our Chief Operating Decision Maker (“CODM”) considers to be unusual and/or non-operational. The Company’s business segments are consistent with how management views the markets served by the Company. The CODM reviews their separate financial information to assess performance and to allocate resources. We measure and evaluate our reportable segments based on segment Cash Revenues and Post-Plate Adjusted Cash EBITDA and believe they provide additional information to management and investors to measure our performance and evaluate our ability to service our indebtedness. We include the change in deferred revenue to GAAP revenue to arrive at Cash Revenues. We exclude from segment Post-Plate Adjusted Cash EBITDA: interest expense (income), net, income tax (benefit) provision, depreciation, amortization and prepublication amortization and certain transactions or adjustments that our CODM does not consider for the purposes of making decisions to allocate resources among segments or assessing segment performance. Although we exclude these amounts from segment Post-Plate Adjusted Cash EBITDA, they are included in reported consolidated net income (loss) and are included in the reconciliation below. Cash Revenues and Post-Plate Adjusted Cash EBITDA are not presentations made in accordance with U.S. GAAP and the use of the terms, Cash Revenues and Post-Plate Adjusted Cash EBITDA, varies from others in our industry. Cash Revenues and Post-Plate Adjusted Cash EBITDA should be considered in addition to, not as a substitute for, revenue and net income (loss), or other measures of financial performance derived in accordance with U.S. GAAP as measures of operating performance or cash flows as measures of liquidity. Segment asset disclosure is not used by the CODM as a measure of segment performance since the segment evaluation is driven by Post-Plate Adjusted Cash EBITDA. As such, segment assets are not disclosed in the notes to the accompanying consolidated financial statements. The following tables set forth information about the Company’s operations by its four segments: Three Months Ended Six Months Ended June 30, 2015 2014 2015 2014 Cash Revenues: MHGE Higher Education $ 124,868 $ 114,359 $ 243,849 229,441 MHGE Professional 29,996 33,451 52,075 56,994 MHGE International 73,603 79,143 116,572 $ 127,280 Total Cash Revenues (1) 228,467 226,953 412,496 413,715 Change in deferred revenue 22,459 24,792 38,244 42,601 Total Consolidated Revenue $ 250,926 $ 251,745 $ 450,740 $ 456,316 (1) The elimination of inter-segment revenues was not significant to the revenues of any one segment. Segment Post-Plate Adjusted Cash EBITDA: MHGE Higher Education $ 10,885 $ (1,007 ) $ 11,350 (3,449 ) MHGE Professional 8,080 10,507 8,841 13,036 MHGE International 5,597 7,938 (3,936 ) (3,752 ) MHGE Other (380 ) (2,101 ) 207 (2,213 ) Total Segment Post-Plate Adjusted Cash EBITDA $ 24,182 $ 15,337 $ 16,462 $ 3,622 Reconciliation of Segment Post-Plate Adjusted Cash EBITDA to the consolidated statements of operations is as follows: Three Months Ended Six Months Ended June 30, 2015 2014 2015 2014 Total Segment Post-Plate Adjusted Cash EBITDA $ 24,182 $ 15,337 $ 16,462 $ 3,622 Interest (expense) income, net (31,816 ) (35,827 ) (66,297 ) (80,146 ) Benefit (provision) for taxes on income 3,997 (10,153 ) 25,870 18,939 Depreciation, amortization and plate investment amortization (37,934 ) (45,416 ) (78,316 ) (86,375 ) Deferred revenue 22,459 24,792 38,244 42,601 Restructuring and cost savings implementation charges (5,472 ) (5,090 ) (9,622 ) (14,290 ) Sponsor fees (875 ) (875 ) (1,750 ) (1,750 ) Purchase accounting — 2,600 — 2,600 Transaction costs — (856 ) — (3,421 ) Acquisition costs — (240 ) — (2,650 ) Physical separation costs — (5,836 ) — (10,944 ) Other 3,153 (5,235 ) (237 ) (1,492 ) Plate investment cash costs 9,140 13,055 18,192 22,275 Net (loss) income (13,166 ) (53,744 ) (57,454 ) (111,031 ) Less: Net (income) loss attributable to noncontrolling interests — 181 — 299 Net (loss) income attributable to McGraw-Hill Global Education Intermediate Holdings, LLC $ (13,166 ) $ (53,563 ) $ (57,454 ) $ (110,732 ) The following is a schedule of revenue and long-lived assets by geographic region: Revenue (1) Three Months Ended Six Months Ended June 30, 2015 2014 2015 2014 United States $ 174,415 $ 169,599 $ 325,299 $ 322,090 International 76,511 82,146 125,441 134,226 Total $ 250,926 $ 251,745 $ 450,740 $ 456,316 Long -lived Assets (2) As of June 30, 2015 December 31, 2014 United States $ 200,432 $ 191,745 International 19,077 19,667 Total $ 219,509 $ 211,412 (1) Revenues are attributed to a geographic region based on the location of customer. (2) Reflects total assets less current assets, goodwill, intangible assets, investments, deferred financing costs and non-current deferred tax assets.

Taxes on Income

Taxes on Income	6 Months Ended
	Jun. 30, 2015
Income Tax Disclosure [Abstract]
Taxes on Income	Taxes on Income For the three months ended June 30, 2015 and June 30, 2014 , the effective tax rate was 23.3% and (23.3)% , respectively. For the six months ended June 30, 2015 and June 30, 2014 , the effective tax rate was 31.0% and 14.6% , respectively. The difference between the rates in 2015 was primarily due to the sensitivity of the interim provision to changes in jurisdictional mix of forecasted annual income and losses and the seasonality of the business. The business generates a relatively small loss for the quarter ending June 30, 2015, against which to absorb any rate variations to adjust the provision for the six month period. At the end of each interim period, we estimate the annual effective tax rate and apply that rate to our ordinary quarterly earnings. The tax expense or benefit related to significant, unusual or extraordinary items that will be separately reported or reported net of their related tax effect, and are individually computed, are recognized in the interim period in which those items occur. In addition, the effect of changes in enacted tax laws or rates or tax status is recognized in the interim period in which the change occurs. As of June 30, 2015 and December 31, 2014 , the total amount of federal, state and local, and foreign unrecognized tax benefits was $861 and $1,164 , respectively, exclusive of interest and penalties, substantially all of which, if recognized, would impact the effective tax rate. We recognize accrued interest and penalties related to unrecognized tax benefits in interest expense and operating expense, respectively. In addition to the unrecognized tax benefits, as of June 30, 2015 and December 31, 2014 , we had $1,193 and $1,158 , respectively, of accrued interest and penalties associated with uncertain tax positions. Under the terms of the Founding Acquisition, MHC is contractually liable for income tax assessments for Predecessor periods through March 22, 2013. An indemnification receivable from MHC of $1,831 and $1,825 has been recorded in non-current assets as of June 30, 2015 and December 31, 2014 , respectively, for the unrecognized tax benefit, interest, and penalties related to controlled foreign corporations as taxpayers of record.

Employee Benefits

Employee Benefits	6 Months Ended
	Jun. 30, 2015
Compensation and Retirement Disclosure [Abstract]
Employee Benefits	Employee Benefits Defined Contribution Plans A majority of employees of the Company are participants in voluntary 401(k) plans sponsored by the Company under which the Company may match employee contributions up to certain levels of compensation.

Stock-Based Compensation

Stock-Based Compensation	6 Months Ended
	Jun. 30, 2015
Disclosure of Compensation Related Costs, Share-based Payments [Abstract]
Stock-Based Compensation	Stock-Based Compensation In the quarter ended June 30, 2013, Georgia Holdings, Inc., adopted the Management Equity Plan whereby Georgia Holdings, Inc., the parent of our Parent, can issue stock options, restricted stock, restricted stock units, and other equity based awards. As of June 30, 2015 , the Board of Directors of Georgia Holdings, Inc. has authorized up to 1,033,939 shares under the plan. In the three months ended June 30, 2015 and June 30, 2014 , the Company issued 51,000 and 75,726 Georgia Holdings, Inc. stock options to employees of the Company, respectively. Stock options may not be granted at a price less than the fair market value of common stock on the grant date. The options terminate on the earliest of the tenth year from the date of the grant or other committee action, as defined in the plan documents. As of June 30, 2015 , the weighted average grant date fair value of outstanding options were $68.51 . We use a Black-Scholes closed form option pricing model to estimate the fair value of options granted. The options vest over five years with 50% vesting on cumulative financial performance measures in the Plan and the remaining 50% vest evenly over five years, in each case subject to continued service. Stock-based compensation for the periods presented was as follows: Three Months Ended Six Months Ended June 30, 2015 2014 2015 2014 Stock option expense $ 885 $ 1,017 $ 2,387 $ 2,404 Restricted stock and unit awards expense 788 839 1,750 1,145 Total stock-based compensation expense $ 1,673 $ 1,856 $ 4,137 $ 3,549 As of June 30, 2015 and June 30, 2014 there was approximately $13,998 and $19,420 , respectively, of total unrecognized compensation costs related to non-vested stock-based employee compensation arrangements granted under the Management Equity Plan. The Company expects to recognize those costs over a weighted average period of 3.5 years.

Restructuring

Restructuring	6 Months Ended
	Jun. 30, 2015
Restructuring and Related Activities [Abstract]
Restructuring	Restructuring In order to contain costs and mitigate the impact of current and expected future economic conditions, as well as a continued focus on process improvements, we have initiated various restructuring plans over the last several years. The charges for each restructuring plan are classified as operating and administration expenses within the consolidated statements of operations. In certain circumstances, reserves are no longer needed because of efficiencies in carrying out the plans, or because employees previously identified for separation resigned from the Company and did not receive severance or were reassigned due to circumstances not foreseen when the original plans were initiated. In these cases, we reverse reserves through the consolidated statements of operations when it is determined they are no longer needed. Beginning in the fourth quarter of 2013, the Company initiated restructuring plans across several of its business units to review its business models and operating methods for opportunities to increase efficiencies and/or align costs with business performance. The following table summarizes restructuring information by reporting segment: MHGE Higher Education MHGE Professional MHGE International MHGE Other Total Balance at December 31, 2014 $ 11,218 $ 1,490 $ 5,864 $ — $ 18,572 Charges: Employee severance and other personal benefits 1,112 — 675 — 1,787 Lease termination costs — — 1,515 — 1,515 Payments: Employee severance and other personal benefits (7,407 ) (1,212 ) (4,566 ) — (13,185 ) Lease termination costs — — (1,515 ) — (1,515 ) Balance at June 30, 2015 $ 4,923 $ 278 $ 1,973 $ — $ 7,174 The Company expects to utilize the remaining reserves of $7,174 in 2015.

Guarantor Financial Information

Guarantor Financial Information	6 Months Ended
	Jun. 30, 2015
Organization, Consolidation and Presentation of Financial Statements [Abstract]
Guarantor Financial Information	Guarantor Financial Information On March 22, 2013, in connection with the Founding Acquisition, MHGE Holdings issued $800,000 aggregate principal amount of Notes as described in Note 2. The Notes and the Senior Facilities are jointly and severally, fully and unconditionally guaranteed on a senior unsecured basis subject to certain exceptions, by the Company and each of the Company’s direct and indirect wholly owned domestic subsidiaries (the “Guarantors”). Each of the Guarantors is 100 percent owned, directly or indirectly, by the Company. All other subsidiaries of the Company, either direct or indirect, do not guarantee the Notes and Senior Facilities (“Non-Guarantors”). The following consolidated financial statements are presented for the information of the holders of the Notes and present the consolidated balance sheets as of June 30, 2015 and December 31, 2014 , the consolidated statements of operations for the three and six months ended June 30, 2015 and June 30, 2014 and the condensed consolidated statements of cash flows for the six months ended June 30, 2015 and June 30, 2014 of the Company. The consolidated financial statements present MHGE Intermediate, which is a Guarantor of the Notes, the Guarantor subsidiaries of MHGE Intermediate, the Non-Guarantor subsidiaries of MHGE Intermediate and the elimination entries necessary to combine and consolidate MHGE Intermediate with the Guarantor and Non-Guarantor subsidiaries. Investments in subsidiaries are accounted for using the equity method for purposes of the consolidated presentation. The principal elimination entries relate to investments in subsidiaries and intercompany balances and transactions. Additionally, substantially all of the assets of the Guarantor subsidiaries are pledged under the Notes and, consequently, will not be available to satisfy the claims of the Company’s general creditors. Three Months Ended June 30, 2015 MHGE Intermediate Guarantor Subsidiaries Non-Guarantor Subsidiaries Eliminations MHGE Intermediate (Consolidated) Revenue $ — $ 176,870 $ 74,056 $ — $ 250,926 Cost of goods sold — 40,726 33,702 — 74,428 Gross profit — 136,144 40,354 — 176,498 Operating expenses Operating & administration expenses 875 96,642 41,816 (344 ) 138,989 Depreciation — 5,605 52 — 5,657 Amortization of intangibles — 21,461 1,792 — 23,253 Total operating expenses 875 123,708 43,660 (344 ) 167,899 Operating (loss) income (875 ) 12,436 (3,306 ) 344 8,599 Interest expense (income), net 31,941 — (125 ) — 31,816 Equity in (income) loss of subsidiaries (15,653 ) — — 15,653 — Other (income) — (1,275 ) (4,779 ) — (6,054 ) Income (Loss) from operations before taxes on income (17,163 ) 13,711 1,598 (15,309 ) (17,163 ) Income tax (benefit) provision (3,997 ) 3,112 (1,108 ) (2,004 ) (3,997 ) Net (loss) income $ (13,166 ) $ 10,599 $ 2,706 $ (13,305 ) $ (13,166 ) Comprehensive (loss) income $ (13,166 ) $ 10,599 $ 12,705 $ (13,305 ) $ (3,167 ) Three Months Ended June 30, 2014 MHGE Intermediate Guarantor Subsidiaries Non-Guarantor Subsidiaries Eliminations MHGE Intermediate (Consolidated) Revenue $ — $ 171,940 $ 79,805 $ — $ 251,745 Cost of goods sold — 39,351 31,833 — 71,184 Gross profit — 132,589 47,972 — 180,561 Operating expenses Operating & administration expenses 875 110,819 43,566 (1,524 ) 153,736 Depreciation — 2,805 1,106 — 3,911 Amortization of intangibles — 40,986 (9,889 ) — 31,097 Transaction costs 856 — — — 856 Total operating expenses 1,731 154,610 34,783 (1,524 ) 189,600 Operating (loss) income (1,731 ) (22,021 ) 13,189 1,524 (9,039 ) Interest expense (income), net 35,910 — (83 ) — 35,827 Equity in (income) loss of subsidiaries 5,769 — — (5,769 ) — Other (income) — (1,275 ) — — (1,275 ) (Loss) income from operations before taxes on income (43,410 ) (20,746 ) 13,272 7,293 (43,591 ) Income tax (benefit) provision 10,153 2,892 4,101 (6,993 ) 10,153 Net (loss) income (53,563 ) (23,638 ) 9,171 14,286 (53,744 ) Less: Net (income) loss attributable to noncontrolling interests — — 181 — 181 Net (loss) income attributable to McGraw-Hill Global Education Intermediate Holdings, LLC $ (53,563 ) $ (23,638 ) $ 9,352 $ 14,286 $ (53,563 ) Comprehensive (loss) income attributable to McGraw-Hill Global Education Intermediate Holdings, LLC $ (53,563 ) $ (23,638 ) $ 19,398 $ 14,286 $ (43,517 ) Six Months Ended June 30, 2015 MHGE Intermediate Guarantor Subsidiaries Non-Guarantor Subsidiaries Eliminations MHGE Intermediate (Consolidated) Revenue $ — $ 331,992 $ 118,748 $ — $ 450,740 Cost of goods sold — 76,844 53,043 — 129,887 Gross profit — 255,148 65,705 — 320,853 Operating expenses Operating & administration expenses 1,750 202,395 82,165 (290 ) 286,020 Depreciation — 12,489 52 — 12,541 Amortization of intangibles — 43,299 3,349 — 46,648 Total operating expenses 1,750 258,183 85,566 (290 ) 345,209 Operating (loss) income (1,750 ) (3,035 ) (19,861 ) 290 (24,356 ) Interest expense (income), net 65,814 — 483 — 66,297 Equity in (income) loss of subsidiaries 15,760 — — (15,760 ) — Other (income) — (2,550 ) (4,779 ) — (7,329 ) Income (Loss) from operations before taxes on income (83,324 ) (485 ) (15,565 ) 16,050 (83,324 ) Income tax (benefit) provision (25,870 ) (617 ) (5,603 ) 6,220 (25,870 ) Net (loss) income $ (57,454 ) $ 132 $ (9,962 ) $ 9,830 $ (57,454 ) Comprehensive (loss) income $ (57,454 ) $ 132 $ (15,000 ) $ 9,830 $ (62,492 ) Six Months Ended June 30, 2014 MHGE Intermediate Guarantor Subsidiaries Non-Guarantor Subsidiaries Eliminations MHGE Intermediate (Consolidated) Revenue $ — $ 327,458 $ 128,858 $ — $ 456,316 Cost of goods sold — 71,382 53,622 — 125,004 Gross profit — 256,076 75,236 — 331,312 Operating expenses Operating & administration expenses 1,750 232,920 90,252 (2,985 ) 321,937 Depreciation — 6,928 1,983 — 8,911 Amortization of intangibles — 62,389 (5,643 ) — 56,746 Transaction costs 3,421 — — — 3,421 Total operating expenses 5,171 302,237 86,592 (2,985 ) 391,015 Operating (loss) income (5,171 ) (46,161 ) (11,356 ) 2,985 (59,703 ) Interest expense (income), net 80,325 — (179 ) — 80,146 Equity in (income) loss of subsidiaries 44,175 — — (44,175 ) — Other (income) — (9,879 ) — — (9,879 ) (Loss) income from operations before taxes on income (129,671 ) (36,282 ) (11,177 ) 47,160 (129,970 ) Income tax (benefit) provision (18,939 ) (974 ) (3,527 ) 4,501 (18,939 ) Net (loss) income (110,732 ) (35,308 ) (7,650 ) 42,659 (111,031 ) Less: Net (income) loss attributable to noncontrolling interests — — 299 — 299 Net (loss) income attributable to McGraw-Hill Global Education Intermediate Holdings, LLC $ (110,732 ) $ (35,308 ) $ (7,351 ) $ 42,659 $ (110,732 ) Comprehensive (loss) income attributable to McGraw-Hill Global Education Intermediate Holdings, LLC $ (110,732 ) $ (35,308 ) $ 1,923 $ 42,659 $ (101,458 ) June 30, 2015 MHGE Intermediate Guarantor Subsidiaries Non-Guarantor Subsidiaries Eliminations MHGE Intermediate (Consolidated) ASSETS Current assets: Cash and equivalents $ — $ 354,759 $ 40,149 $ (348,291 ) 46,617 Accounts receivable — 46,352 68,822 — 115,174 Related party receivable — 271,327 — (254,321 ) 17,006 Inventories, net — 48,648 28,293 290 77,231 Deferred income taxes — 22,745 8,440 — 31,185 Prepaid and other current assets 102,199 26,621 20,447 (98,697 ) 50,570 Total current assets 102,199 770,452 166,151 (701,019 ) 337,783 Prepublication costs, net — 63,542 15,805 — 79,347 Property, plant and equipment, net — 89,511 1,696 — 91,207 Goodwill — 425,135 49,774 — 474,909 Other intangible assets, net — 799,816 57,775 — 857,591 Investments 1,826,281 102 72,370 (1,898,199 ) 554 Deferred income taxes non-current — 70,928 1,160 — 72,088 Other non-current assets 60,559 47,379 1,576 — 109,514 Total assets $ 1,989,039 $ 2,266,865 $ 366,307 $ (2,599,218 ) $ 2,022,993 LIABILITIES AND EQUITY Current liabilities Accounts payable $ 351,791 $ 97,034 $ 12,784 $ (348,291 ) $ 113,318 Accrued royalties — 25,749 8,724 — 34,473 Accrued compensation and contributions to retirement plans — 15,731 9,456 — 25,187 Deferred revenue — 82,779 5,056 — 87,835 Current portion of long-term debt 6,792 — — — 6,792 Related party — — 254,320 (254,320 ) — Other current liabilities 31,184 135,149 24,407 (98,697 ) 92,043 Total current liabilities 389,767 356,442 314,747 (701,308 ) 359,648 Long-term debt 1,446,389 — — — 1,446,389 Deferred income taxes — — 7,651 — 7,651 Other non-current liabilities — 42,647 3,065 — 45,712 Total liabilities 1,836,156 399,089 325,463 (701,308 ) 1,859,400 Commitments and contingencies Equity Member's equity 292,474 1,766,898 86,642 (1,810,907 ) 335,107 Accumulated deficit (139,591 ) 100,878 (13,875 ) (87,003 ) (139,591 ) Accumulated other comprehensive loss — — (31,923 ) — (31,923 ) Total equity 152,883 1,867,776 40,844 (1,897,910 ) 163,593 Total liabilities and equity $ 1,989,039 $ 2,266,865 $ 366,307 $ (2,599,218 ) $ 2,022,993 December 31, 2014 MHGE Intermediate Guarantor Subsidiaries Non-Guarantor Subsidiaries Eliminations MHGE Intermediate (Consolidated) ASSETS Current assets: Cash and equivalents $ — $ 466,617 $ 49,737 $ (284,256 ) 232,098 Accounts receivable — 122,047 82,025 — 204,072 Related party — 253,071 — (253,071 ) — Inventories, net — 50,330 27,164 (502 ) 76,992 Deferred income taxes — 22,745 8,793 — 31,538 Prepaid and other current assets 74,577 11,925 17,036 (72,828 ) 30,710 Total current assets 74,577 926,735 184,755 (610,657 ) 575,410 Prepublication costs, net — 63,130 17,850 — 80,980 Property, plant and equipment, net — 91,926 — — 91,926 Goodwill — 423,629 53,695 — 477,324 Other intangible assets, net — 842,907 63,758 — 906,665 Investments 1,842,551 104 9,115 (1,842,551 ) 9,219 Deferred income taxes non-current — 42,242 1,198 — 43,440 Other non-current assets 63,004 36,689 1,817 — 101,510 Total assets $ 1,980,132 $ 2,427,362 $ 332,188 $ (2,453,208 ) $ 2,286,474 LIABILITIES AND EQUITY Current liabilities Accounts payable $ 284,256 $ 115,594 $ 14,871 $ (284,256 ) $ 130,465 Accrued royalties — 89,796 12,031 — 101,827 Accrued compensation and contributions to retirement plans — 50,615 15,628 — 66,243 Deferred revenue — 117,211 7,340 — 124,551 Current portion of long-term debt 6,880 — — — 6,880 Related party — 889 253,071 (253,071 ) 889 Other current liabilities 31,186 98,036 32,766 (72,828 ) 89,160 Total current liabilities 322,322 472,141 335,707 (610,155 ) 520,015 Long-term debt 1,447,473 — — — 1,447,473 Deferred income taxes — — 8,288 — 8,288 Other non-current liabilities — 45,244 3,595 — 48,839 Total liabilities 1,769,795 517,385 347,590 (610,155 ) 2,024,615 Commitments and contingencies Equity Member's equity 292,474 1,809,231 15,396 (1,746,220 ) 370,881 Accumulated deficit (82,137 ) 100,746 (3,913 ) (96,833 ) (82,137 ) Accumulated other comprehensive loss — — (26,885 ) — (26,885 ) Total equity 210,337 1,909,977 (15,402 ) (1,843,053 ) 261,859 Total liabilities and equity $ 1,980,132 $ 2,427,362 $ 332,188 $ (2,453,208 ) $ 2,286,474 Six Months Ended June 30, 2015 MHGE Intermediate Guarantor Subsidiaries Non-Guarantor Subsidiaries Eliminations MHGE Intermediate (Consolidated) Operating activities Cash provided by operating activities $ 3,744 $ (46,969 ) $ (5,395 ) $ (64,035 ) $ (112,655 ) Investing activities Investment in prepublication costs — (2,755 ) (15,437 ) — (18,192 ) Capital expenditures — (22,115 ) — — (22,115 ) Proceeds from sale of investment — — 12,500 — 12,500 Proceeds from dispositions — 103 — — 103 Cash used for investing activities — (24,767 ) (2,937 ) — (27,704 ) Financing activities Payment of term loan (3,744 ) — — — (3,744 ) Dividend payment to MHGE Parent — (39,822 ) — — (39,822 ) Dividends on restricted stock unit — (300 ) — — (300 ) Cash provided by (used for) financing activities (3,744 ) (40,122 ) — — (43,866 ) Effect of exchange rate changes on cash — — (1,256 ) — (1,256 ) Net change in cash and cash equivalents — (111,858 ) (9,588 ) (64,035 ) (185,481 ) Cash and cash equivalents at the beginning of the period — 466,617 49,737 (284,256 ) 232,098 Cash and cash equivalents, ending balance $ — $ 354,759 $ 40,149 $ (348,291 ) $ 46,617 Six Months Ended June 30, 2014 MHGE Intermediate Guarantor Subsidiaries Non-Guarantor Subsidiaries Eliminations MHGE Intermediate (Consolidated) Operating activities Cash provided by operating activities $ 38,440 $ (57,394 ) $ 26,937 $ (100,082 ) $ (92,099 ) Investing activities Investment in prepublication costs — (16,999 ) (5,276 ) — (22,275 ) Capital expenditures — (4,192 ) (1,197 ) — (5,389 ) Acquisitions and investments — — (55,494 ) — (55,494 ) Proceeds from sale of investment — — 3,250 — 3,250 Proceeds from dispositions — 115 8,653 — 8,768 Cash used for investing activities — (21,076 ) (50,064 ) — (71,140 ) Financing activities Payment of term loan (38,440 ) — — — (38,440 ) Dividends paid to noncontrolling interests — — (169 ) — (169 ) Cash provided by (used for) financing activities (38,440 ) — (169 ) — (38,609 ) Effect of exchange rate changes on cash — — 680 — 680 Net change in cash and cash equivalents — (78,470 ) (22,616 ) (100,082 ) (201,168 ) Cash and cash equivalents at the beginning of the period — 301,985 67,429 (116,024 ) 253,390 Cash and cash equivalents, ending balance $ — $ 223,515 $ 44,813 $ (216,106 ) $ 52,222

Transactions with Sponsors

Transactions with Sponsors	6 Months Ended
	Jun. 30, 2015
Transaction with Sponsors [Abstract]
Transactions with Sponsors	Transactions with Sponsors In connection with the Founding Transactions, MHGE Holdings, our wholly owned subsidiary, entered into a management fee agreement with Apollo Management VII, L. P. (the “Advisor”), an affiliate of our Sponsor pursuant to which the Advisor will provide management consulting services to Parent and its direct and indirect divisions and subsidiaries, including the Company and MHGE Holdings. In exchange for these services, the Advisor will receive an aggregate annual management fee of $3,500 and reimbursement of out-of-pocket expenses incurred in connection with the provision of such services. We recorded an expense of $875 for management fees for both of the three months ended June 30, 2015 and June 30, 2014 , respectively. We recorded an expense of $1,750 for management fees for both of the six months ended June 30, 2015 and June 30, 2014 , respectively. In connection with the Founding Transactions, Apollo Global Securities, LLC, an affiliate of our Sponsor (the “Affiliate”), entered into a transaction fee agreement with Parent relating to the provision of certain structuring, financial, investment banking and other similar advisory services in connection with the Founding Transactions and future transactions. During the period ended March 23, 2013 to December 31, 2013, we paid the Affiliate a one-time transaction fee of $25,000 in exchange for services rendered in connection with the structuring of the Founding Transactions, arranging financing and performing other services with the Founding Transactions. Also, subject to the terms and conditions of the agreement, an additional transaction fee equal to 1% of the aggregate enterprise value will be payable to Affiliate for investment banking, financing and other financial advisory services related to any merger, acquisition, disposition, financing or any similar transaction in the future.

Commitments and Contingencies

Commitments and Contingencies	6 Months Ended
	Jun. 30, 2015
Commitments and Contingencies Disclosure [Abstract]
Commitments and Contingencies	Commitments and Contingencies Legal Matters In the normal course of business both in the United States and abroad, the Company is a defendant in various lawsuits and legal proceedings which may result in adverse judgments, damages, fines or penalties and is subject to inquiries and investigations by various governmental and regulatory agencies concerning compliance with applicable laws and regulations. In view of the inherent difficulty of predicting the outcome of legal matters, we cannot state with confidence what the timing, eventual outcome, or eventual judgment, damages, fines, penalties or other impact of these pending matters will be. We believe, based on our current knowledge, that the outcome of the legal actions, proceedings and investigations currently pending should not have a material adverse effect on the Company’s financial condition.

Related Party Transactions

Related Party Transactions	6 Months Ended
	Jun. 30, 2015
Related Party Transactions [Abstract]
Related Party Transactions	Related Party Transactions Other Transactions and Arrangements On July 17, 2014 the Company’s parent company, MHGE Parent, LLC (“MHGE Parent” and, together with its subsidiaries, “McGraw-Hill Global Education”) and MHGE Parent Finance, Inc. (“MHGE Parent Finance” and, together with MHGE Parent, the “Issuers”), issued $400,000 aggregate principal amount of Senior PIK Toggle Notes due 2019 (the “Notes”) in a private placement. The notes were issued at a discount of 1% . The proceeds from this private offering were used to make a return of capital to the equity holders of MHGE Parent and pay certain related transaction costs and expenses. The Notes bear interest at 8.5% for interest paid in cash and 9.25% for in-kind interest, “PIK”, by increasing the principal amount of the Notes by issuing new notes. Interest is payable semi-annually on February 1 and August 1 of each year, commencing February 1, 2015. The first semi-annual interest payment due must be paid in cash and was paid on February 2, 2015 in the amount of $18,322 . In addition, the Company paid a dividend of $21,500 on April 3,2015 to MHGE Parent in advance of MHGE Parent's interest payable due on August 1, 2015. The determination as to whether interest is paid in cash or PIK is determined based on restrictions in the Company’s borrowing agreements for payments to the Company’s parent. Interest paid in cash will be funded by the Company via a distribution to MHGE Parent. PIK may be paid either 0% , 50% or 100% of the amount of interest due, dependent on the amount of any restriction. The Notes are junior to the debt of all of the Company's subsidiaries, are not guaranteed by any of the parent company’s subsidiaries and are a contractual obligation of MHGE Parent. On April 1, 2015, additional aggregate principal amount of $100,000 was issued under the same indenture, and part of the same series, as the outstanding $400,000 of the Notes previously issued by the Issuers. The proceeds from this private offering were used to make a return of capital to the equity holders of MHGE Parent and pay certain related transaction costs and expenses. On May 4, 2015, the Company made a voluntary principal payment of $326 and refinanced the term loan facility in the aggregate principal of $679,000 . The revised terms reduce the applicable LIBOR margin from 4.75% to 3.75% . The LIBOR floor remains at 1% . All other terms remain unchanged. Quarterly principal payments were reduced from $1,720 to $1,698 , maintaining the amortization rate at ¼ of 1% of the refinanced principal amount. MHC Service Charges and Allocations & Transition Services Effective January 1, 2013, in connection with the Transactions, MHGE Holdings, our wholly owned subsidiary, entered into transition services agreement with MHC, pursuant to which MHC provided MHGE Holdings and us with certain corporate services, including corporate accounting, treasury, global procurement and manufacturing, facilities, human resources and information technology during 2013. The transition services agreement with MHC ended during 2014. The expenses included in the consolidated financial statements were $1,982 and $3,152 for the three and six months ended June 30, 2014 . Payment of Acquisition Costs on Behalf of Parent At the closing of the Founding Transactions MHGE Holdings paid $28,672 for costs related to the Founding Acquisition on behalf of Parent. Reseller Agreement with MHSE As disclosed in Note 4, the ALEKS Corporation entered into a reseller agreement with MHSE, which is a separate wholly owned subsidiary of our Parent, granting MHSE exclusive rights to sell ALEKS products in the K-12 market. MHSE paid $25,500 to ALEKS Corporation for the exclusivity provision, which is being recognized over five years and renewable for no additional fee after five years , and paid a royalty advance of $12,500 . The royalty rate is 15% on net sales. Quest Agreement Leader’s Quest Ltd (“Quest”) is a UK-based non-profit enterprise at which Lindsay Levin is the founder and managing partner. Ms. Levin is the spouse of David Levin, who serves as our President and Chief Executive Officer. In 2014, the Company entered into an agreement with Quest pursuant to which Quest provided leadership workshops and other leadership training for twelve members of the Company’s executive leadership team. The Company paid Quest total fees of $133 in connection with the Quest agreement. In 2015, the Company entered into an agreement which Quest will provide additional leadership workshops and other leadership training for additional members of the Company’s leadership team. The Company will pay Quest total fees of $248 during 2015 in connection with the agreement. As Quest is a non-profit enterprise, Ms. Levin does not stand to benefit financially from the transaction with the Company.

Supplemental Parent Company Equ

Supplemental Parent Company Equity Information	6 Months Ended
	Jun. 30, 2015
Equity [Abstract]
Supplemental Parent Company Equity Information	Supplemental Parent Company Equity Information Parent Company equity is summarized as follows: Total Parent Company Equity Noncontrolling Interest Total Equity Balance at December 31, 2013 $ 199,778 $ 23,490 $ 223,268 Comprehensive loss, net of tax (12,851 ) (686 ) (13,537 ) Capital contribution 42,500 — 42,500 Georgia Holdings shares for acquisition earn out 8,500 — 8,500 Acquisition of non-controlling interest (4,815 ) (22,635 ) (27,450 ) Stock-based compensation 7,288 — 7,288 Dividend on restricted stock units (1,189 ) — (1,189 ) Non-cash capital contribution 22,648 — 22,648 Dividends paid to non-controlling interests — (169 ) (169 ) Balance at December 31, 2014 $ 261,859 $ — $ 261,859 Comprehensive loss, net of tax (62,492 ) — (62,492 ) Stock-based compensation 4,137 — 4,137 Non-cash capital distribution (39,199 ) — (39,199 ) Dividend on restricted stock units (712 ) — (712 ) Balance at June 30, 2015 $ 163,593 $ — $ 163,593

Basis of Presentation and Acc26

Basis of Presentation and Accounting Policies (Policies)	6 Months Ended
	Jun. 30, 2015
Organization, Consolidation and Presentation of Financial Statements [Abstract]
Principles of Consolidation	Principles of Consolidation The accompanying consolidated financial statements have been prepared in accordance with U.S. GAAP and all significant intercompany transactions and balances have been eliminated. In the opinion of management, the accompanying unaudited consolidated financial statements include all adjustments (consisting of normal recurring accruals) considered necessary for a fair presentation. We record non-controlling interest in our consolidated financial statements to recognize the minority ownership interest in certain subsidiaries. Non-controlling interest in the earnings and losses of these subsidiaries represent the share of net income or loss allocated to our combined entities.
Seasonality and Comparability	Seasonality and Comparability Our revenues, operating profit and operating cash flows are affected by the inherent seasonality of the academic calendar, which varies by country. Changes in our customers’ ordering patterns may impact the comparison of our results in a quarter with the same quarter of the previous year, or in a fiscal year with the prior fiscal year, where our customers may shift the timing of material orders for any number of reasons, including, but not limited to, changes in academic semester start dates or changes to their inventory management practices.
Use of Estimates	Use of Estimates The preparation of financial statements in conformity with U.S. GAAP requires management to make estimates and assumptions that affect the amounts reported in the financial statements and accompanying notes. Actual results could differ from those estimates. On an ongoing basis, we evaluate our estimates and assumptions, including those related to revenue recognition, allowance for doubtful accounts and sales returns, inventories, prepublication costs, accounting for the impairment of long-lived assets (including other intangible assets), goodwill and indefinite-lived intangible assets, stock-based compensation, restructuring, income taxes and contingencies. Management further considered the accounting policy with regard to the purchase price allocation to assets and liabilities to be critical. This accounting policy, as more fully described in Note 3, encompasses significant judgments and estimates used in the preparation of these financial statements.
Cash and Cash Equivalents	Cash and Cash Equivalents Cash and cash equivalents include ordinary bank deposits and highly liquid investments with original maturities of three months or less that consist primarily of money market funds with unrestricted daily liquidity and fixed term time deposits. The balance also includes cash that is held by the Company outside the United States to fund international operations or to be reinvested outside of the United States.
Accounts Receivable and Allowance for Doubtful Accounts and Sales Returns	Accounts Receivable Credit is extended to customers based upon an evaluation of the customer’s financial condition. Accounts receivable are recorded at net realizable value. Allowance for Doubtful Accounts and Sales Returns The allowance for doubtful accounts and sales returns reserves methodology is based on historical analysis, a review of outstanding balances and current conditions. In determining these reserves, we consider, among other factors, the financial condition and risk profile of our customers, areas of specific or concentrated risk as well as applicable industry trends or market indicators. The allowance for sales returns is a significant estimate, which is based on historical rates of return and current market conditions. The provision for sales returns is reflected as a reduction to “Revenues” in our consolidated statements of operations. Sales returns are charged against the reserve as products are returned to inventory. Accounts receivable losses for bad debt are charged against the allowance for doubtful accounts when the receivable is determined to be uncollectible. The change in the allowance for doubtful accounts is reflected as part of operating and administrative expenses in our consolidated statement of operations.
Inventories	Inventories Inventories, consisting principally of books, are stated at the lower of cost (first-in, first-out) or market value. The majority of our inventories relate to finished goods. A significant estimate, the reserve for inventory obsolescence, is reflected in operating and administration expenses. In determining this reserve, we consider management’s current assessment of the marketplace, industry trends and projected product demand as compared to the number of units currently on hand.
Prepublication Costs	Prepublication Costs Prepublication costs include both the cost of developing educational content and the development of assessment solution products. Costs incurred prior to the publication date of a title or release date of a product represent activities associated with product development. These may be performed internally or outsourced to subject matter specialists and include, but are not limited to, editorial review and fact verification, graphic art design and layout and the process of conversion from print to digital media or within various formats of digital media. These costs are capitalized when the costs can be directly attributable to a project or title and the title is expected to generate probable future economic benefits. Capitalized costs are amortized upon publication of the title over its estimated useful life of up to six years , with a higher proportion of the amortization typically taken in the earlier years. Amortization expenses for prepublication costs are charged as a component of operating & administration expenses. In evaluating recoverability, we consider management’s current assessment of the marketplace, industry trends and the projected success of programs.
Property, Plant and Equipment	Property, Plant and Equipment Property, plant and equipment are stated at cost less accumulated depreciation as of June 30, 2015 and December 31, 2014 . Depreciation and amortization are recorded on a straight-line basis, over the assets’ estimated useful lives. Buildings have an estimated useful life, for purposes of depreciation, of twenty-eight years. Furniture, fixtures and equipment are depreciated over periods not exceeding seven years . Leasehold improvements are amortized over the life of the lease or the life of the assets, whichever is shorter. The Company evaluates the depreciation periods of property, plant and equipment to determine whether events or circumstances warrant revised estimates of useful lives.
Royalty Advances	Royalty Advances Royalty advances are initially capitalized and subsequently expensed as related revenues are earned or when the Company determines future recovery is not probable. The Company has a long history of providing authors with royalty advances, and it tracks each advance earned with respect to the sale of the related publication. Historically, the longer the unearned portion of the advance remains outstanding, the less likely it is that the Company will recover the advance through the sale of the publication, as the related royalties earned are applied first against the remaining unearned portion of the advance. The Company applies this historical experience to its existing outstanding royalty advances to estimate the likelihood of recovery. Additionally, the Company’s editorial staff reviews its portfolio of royalty advances at a minimum quarterly to determine if individual royalty advances are not recoverable for discrete reasons, such as the death of an author prior to completion of a title or titles, a Company decision to not publish a title, poor market demand or other relevant factors that could impact recoverability. Based on this information, the portion of any advance that we believe is not recoverable is expensed.
Deferred Technology Costs	Deferred Technology Costs We capitalize certain software development and website implementation costs. Capitalized costs only include incremental, direct costs of materials and services incurred to develop the software after the preliminary project stage is completed, funding has been committed and it is probable that the project will be completed and used to perform the function intended. Incremental costs are expenditures that are out-of-pocket to us and are not part of an allocation or existing expense base. Software development and website implementation costs are expensed as incurred during the preliminary project stage. Capitalized costs are amortized from the year the software is ready for its intended use over its estimated useful life, three to seven years , using the straight-line method. Periodically, we evaluate the amortization methods, remaining lives and recoverability of such costs. Capitalized software development and website implementation costs are included in other non-current assets in the consolidated balance sheets and are presented net of accumulated amortization.
Accounting for the Impairment of Long-Lived Assets (Including Other Intangible Assets)	Accounting for the Impairment of Long-Lived Assets (Including Other Intangible Assets) We evaluate long-lived assets for impairment whenever events or changes in circumstances indicate that the carrying amount of an asset may not be recoverable. Upon such an occurrence, recoverability of assets to be held and used is measured by comparing the carrying amount of an asset to current forecasts of undiscounted future net cash flows expected to be generated by the asset. If the carrying amount of the asset exceeds its estimated future cash flows, an impairment charge is recognized equal to the amount by which the carrying amount of the asset exceeds the fair value of the asset. Long-lived assets held for sale are written down to fair value, less cost to sell. Fair value is determined based on market evidence, discounted cash flows, appraised values or management’s estimates, depending upon the nature of the assets.
Goodwill and Indefinite-Lived Intangible Assets	Goodwill and Indefinite-Lived Intangible Assets Goodwill represents the excess of purchase price and related costs over the fair value of identifiable assets acquired and liabilities assumed in a business combination. Indefinite-lived intangible assets consist of the Company's acquired brands. Goodwill and indefinite-lived intangible assets are not amortized, but instead are tested for impairment annually during the fourth quarter each year, or more frequently if events or changes in circumstances indicate that the asset might be impaired. We have three reporting units, Higher Education, Professional and International with goodwill and indefinite-lived intangible assets that are evaluated for impairment. We initially perform a qualitative analysis evaluating whether there are events or circumstances that provide evidence that it is more likely than not that the fair value of any of our reporting units or indefinite-lived intangible assets are less than their carrying amount. If, based on our evaluation we do not believe that it is more likely than not that the fair value of any of our reporting units or indefinite-lived intangible assets are less than their carrying amount, no quantitative impairment test is performed. Conversely, if the results of our qualitative assessment determine that it is more likely than not that the fair value of any of our reporting units or indefinite-lived intangible assets are less than their respective carrying amounts we perform a two-step quantitative impairment test. During the first step, the estimated fair value of the reporting units are compared to their carrying value including goodwill and the estimated fair value of the intangible assets is compared to their carrying value. Fair values of the reporting units are estimated using the income approach, which incorporates the use of a discounted free cash flow analysis, and are corroborated using the market approach, which incorporates the use of revenue and earnings multiples based on market data. The discounted free cash flow analyses are based on the current operating budgets and estimated long-term growth projections for each reporting unit. Future cash flows are discounted based on a market comparable weighted average cost of capital rate for each reporting unit, adjusted for market and other risks where appropriate. Fair values of indefinite-lived intangible assets are estimated using avoided royalty discounted free cash flow analyses. Significant judgments inherent in these analyses include the selection of appropriate royalty and discount rates and estimating the amount and timing of expected future cash flows. The discount rates used in the discounted free cash flow analyses reflect the risks inherent in the expected future cash flows generated by the respective intangible assets. The royalty rates used in the discounted free cash flow analyses are based upon an estimate of the royalty rates that a market participant would pay to license the Company's trade names and trademarks. If the fair value of the reporting units or indefinite-lived intangible assets are less than their carrying value, a second step is performed which compares the implied fair value of the reporting unit’s goodwill or indefinite-lived intangible assets to the carrying value. The fair value of the goodwill or indefinite-lived intangible assets is determined based on the difference between the fair value of the reporting unit and the net fair value of the identifiable assets and liabilities of the reporting unit or carrying value of the indefinite-lived intangible asset. If the implied fair value of the goodwill or indefinite-lived intangible assets is less than the carrying value, the difference is recognized as an impairment charge. Significant judgments inherent in this analysis include estimating the amount and timing of future cash flows and the selection of appropriate discount rates, royalty rate and long-term growth rate assumptions. Changes in these estimates and assumptions could materially affect the determination of fair value for each reporting unit and indefinite-lived intangible asset and for some of the reporting units and indefinite-lived intangible assets could result in an impairment charge, which could be material to our financial position and results of operations.
Fair Value Measurements	Fair Value Measurements In accordance with authoritative guidance for fair value measurements, certain assets and liabilities are required to be recorded at fair value. Fair value is defined as the amount that would be received to sell an asset or transfer a liability in an orderly transaction between market participants. A fair value hierarchy has been established which requires us to maximize the use of observable inputs and minimize the use of unobservable inputs when measuring fair value. The three levels of inputs used to measure fair value are as follows: • Level 1 - Unadjusted quoted prices in active markets for identical assets or liabilities. • Level 2 - Observable inputs other than Level 1 prices, such as quoted prices for similar assets or liabilities; quoted prices in markets that are not active; or other inputs that are observable or can be corroborated by observable market data for substantially the full term of the asset or liabilities. • Level 3 - Unobservable inputs that are supported by little or no market activity and that are significant to the fair value of the assets or liabilities.
Foreign Currency Translation	Foreign Currency Translation We have operations in many foreign countries. For most international operations, the local currency is the functional currency. For international operations that are determined to be extensions of the U.S. operations or where a majority of revenue and/or expenses is USD denominated, the United States dollar is the functional currency. For local currency operations, assets and liabilities are translated into United States dollars using end-of-period exchange rates, and revenue and expenses are translated into United States dollars using weighted-average exchange rates. Foreign currency translation adjustments are accumulated in a separate component of equity.
Share-Based Compensation	Stock-Based Compensation The Company issues Georgia Holidings, Inc. stock options and other stock-based compensation to eligible employees, directors and consultants and accounts for these transactions under the provisions of Accounting Standards Codification ("ASC") 718, Compensation - Stock Compensation . For equity awards, total compensation cost is based on the grant date fair value. For liability awards, total compensation cost is based on the fair value of the award on the date the award is exercised and delivered. For performance-based options issued, the value of the instrument is measured at the grant date as the fair value of the common stock and expensed over the vesting term when the performance targets are considered probable of being achieved. The Company recognizes stock-based compensation expense for all awards, on a straight-line basis, over the service period required to earn the award, which is typically the vesting period.
Revenue Recognition	Revenue Recognition Revenue is recognized as it is earned when goods are shipped to customers or services are rendered. We consider amounts to be earned once evidence of an arrangement has been obtained, services are performed, fees are fixed or determinable and collectability is reasonably assured. Arrangements with multiple deliverables Revenue relating to products that provide for more than one deliverable is recognized based upon the relative fair value to the customer of each deliverable as each deliverable is provided. Revenue relating to agreements that provide for more than one service is recognized based upon the relative fair value to the customer of each service component as each component is earned. If the fair value to the customer for each service is not objectively determinable, we make our best estimate of the services’ stand-alone selling price and recognize revenue as earned as the services are delivered. Because we determine the basis for allocating consideration to each deliverable primarily on prices experienced from completed sales, over time the portion of consideration allocated to each deliverable in a multiple deliverable arrangement may increase or decrease depending on the most recent selling price of a comparable product or service sold on a stand-alone basis. For example, as the demand for, and prevalence of, digital products increases, we may be required to increase the amount of consideration allocable to digital products included in multiple deliverable arrangements because the fair value of such products or services may increase relative to other products or services bundled in the arrangement. Conversely, in the event that demand for our print products decreases, thereby causing us to experience reduced prices on our print products, we may be required to allocate less consideration to our print products in our arrangements that include multiple deliverables. Subscription-based products Subscription income is recognized over the related subscription period that the subscription is available and is used by the customer. Subscription revenue received or receivable in advance of the delivery of services or publications is included in deferred revenue. Incremental costs that are directly related to the subscription revenue are deferred and amortized over the subscription period. Included among the underlying assumptions related to our estimates that impact the recognition of subscription income is the period that our subscriptions are accessed by our customers, the extent of our responsibility to provide access to our subscription-based products, and the extent of complementary support services customers demand to access our products. Service arrangements Revenue relating to arrangements that provide for more than one service is recognized based upon the relative fair value to the customer of each service component as each component is earned. Such arrangements may include digital products bundled with traditional print products, obligations to provide products and services in the future at no additional cost, and periodic training pertinent to products and services previously provided. If the fair value to the customer for each service is not objectively determinable, we make our best estimate of the services’ stand-alone selling price and recognize revenue as earned as the services are delivered. Losses on contracts are recognized in the period in which the loss first becomes foreseeable. Contract losses are measured as the amount that the estimated total costs to complete the contract exceed the estimated total revenues that will be generated by the contract.
Shipping and Handling Costs	Shipping and Handling Costs All amounts billed to customers in a sales transaction for shipping and handling are classified as revenue. Shipping and handling costs are also a component of cost of goods sold.
Income Taxes	Income Taxes The Company’s operations are subject to United States federal, state and local income taxes, and foreign income taxes. The United States federal income tax return is filed as a consolidated group under Georgia Holdings, Inc. Net operating losses and other tax attributes are characterized as realized or realizable by MHGE Holdings when the attributes are utilized by the consolidated federal group following the Company’s “Benefits-for-Loss” allocation method. We determine the provision for income taxes using the asset and liability approach. Under this approach, deferred income taxes represent the expected future tax consequences of temporary differences between the carrying amounts and tax bases of assets and liabilities. Valuation allowances are established when management determines that it is more-likely-than not that some portion or all of the deferred tax asset will not be realized. Management evaluates the weight of both positive and negative evidence in determining whether a deferred tax asset will be realized. Management will look to a history of losses, future reversal of existing taxable temporary differences, taxable income in carryback years, feasibility of tax planning strategies, and estimated future taxable income. The valuation allowance can also be affected by changes in tax laws and changes to statutory tax rates. We prepare and file tax returns based on management’s interpretation of tax laws and regulations. As with all businesses, our tax returns are subject to examination by various taxing authorities. Such examinations may result in future tax assessments based on differences in interpretation of the tax law and regulations. We adjust our estimated uncertain tax positions reserves based on audits by and settlements with various taxing authorities as well as changes in tax laws, regulations, and interpretations. We recognize interest and penalties on uncertain tax positions as part of interest expense and operating expenses, respectively.
Contingencies	Contingencies We accrue for loss contingencies when both (a) information available prior to issuance of the financial statements indicates that it is probable that a liability had been incurred at the date of the financial statements and (b) the amount of loss can reasonably be estimated. When we accrue for loss contingencies and the reasonable estimate of the loss is within a range, we record its best estimate within the range. We disclose an estimated possible loss or a range of loss when it is at least reasonably possible that a loss may have been incurred. Neither an accrual nor disclosure is required for losses that are deemed remote.
Recently Adopted Accounting Standards	Recent Accounting Standards In April 2015, the Financial Accounting Standards Board (“FASB”) issued Accounting Standards Update (“ASU”) No. 2015-03 - Simplifying the Presentation of Debt Issuance Costs . This ASU changes the presentation of debt issuance costs by requiring an entity to present such costs as a direct deduction from the related debt liability rather than as an asset. Amortization of the costs will continue to be reported as interest expense. This guidance is effective for interim and annual reporting periods beginning after December 15, 2015. Early adoption is permitted. The Company is currently evaluating the effect that the updated standard will have on its consolidated balance sheets. In January 2015, the FASB issued ASU No. 2015-01 (Topic 225-20) - Income Statement—Extraordinary and Unusual Items which eliminates the concept of extraordinary items. This guidance removes the requirement to assess whether an event or transaction is both unusual in nature and infrequent in occurrence and to separately present any such items on the statement of operations after income from continuing operations. Rather, such items will either be presented as a separate component of income from continuing operations or disclosed in the notes to the financial statements. This guidance is effective for interim and annual periods beginning after December 15, 2015. Early adoption is permitted provided that the guidance is applied from the beginning of the fiscal year of adoption. The adoption of this guidance will not have a material impact on the Company's consolidated financial statements. In August 2014, the FASB issued ASU No. 2014-15 - Disclosure of Uncertainties about an Entity’s Ability to Continue as a Going Concern to provide guidance on management’s responsibility in evaluating whether there is substantial doubt about a company’s ability to continue as a going concern and to provide related footnote disclosures. This update is effective for the annual period ending after December 15, 2016, and for annual periods and interim periods thereafter. Early application is permitted. The adoption of this guidance will not have a material impact on the Company’s consolidated financial statements. In June 2014, the FASB issued ASU No. 2014-12 (Topic 718) - Compensation-Stock Compensation: Accounting for Share-Based Payments When the Terms of an Award Provide That a Performance Target Could Be Achieved after the Requisite Service Period (a consensus of the FASB Emerging Issues Task Force). This ASU clarifies that a performance target that affects vesting and that could be achieved after the requisite service period be treated as a performance condition. A reporting entity should apply existing guidance in Topic 718 as it relates to awards with performance conditions that affect vesting to account for such awards. As such, the performance target should not be reflected in estimating the grant-date fair value of the award. Compensation cost should be recognized in the period in which it becomes probable that the performance target will be achieved and should represent the compensation cost attributable to the period(s) for which the requisite service has already been rendered. This ASU may be applied either (a) prospectively to all awards granted or modified after the effective date or (b) retrospectively to all awards with performance targets that are outstanding as of the beginning of the earliest annual period presented in the financial statements and to all new or modified awards thereafter. The amendments in this update are effective for annual periods and interim periods within those annual periods beginning after December 15, 2015. Earlier adoption is permitted. The Company is evaluating the impact that this update will have on its consolidated financial statements. In May 2014, the FASB issued ASU No. 2014-09 - Revenue from Contracts with Customers , which supersedes most of the current revenue recognition requirements. The core principle of the new guidance is that an entity should recognize revenue to depict the transfer of promised goods or services to customers in an amount that reflects the consideration to which the entity expects to be entitled in exchange for those goods or services. New disclosures about the nature, amount, timing and uncertainty of revenue and cash flows arising from contracts with customers are also required. Entities must adopt the new guidance using one of two retrospective application methods. On April 29, 2015, the FASB issued an exposure draft to defer the effective date by one year. Pending finalization, this guidance is effective for the Company in the first quarter of 2017 and early application is permitted. The Company is currently evaluating the standard to determine the impact of its adoption on the consolidated financial statements.

The Founding Acquisition (Table

The Founding Acquisition (Tables) - The Founding Acquisition, MHGE Intermediate	6 Months Ended
	Jun. 30, 2015
Business Acquisition [Line Items]
Schedule of Sources and Uses of Funds in Business Acquisition	The sources and uses of funds in connection with the Founding Transactions are summarized below: Sources Proceeds from term loan facility $ 785,700 Proceeds from revolving credit facility 35,000 Proceeds from Notes 789,096 Proceeds from equity contributions 950,000 Total sources $ 2,559,796 Uses Equity purchase price $ 1,711,348 Transaction fees and expenses 131,339 Cash to balance sheet 88,255 Distribution to Parent 628,854 Total uses $ 2,559,796
Schedule of Recognized Identified Assets Acquired and Liabilities Assumed	The table below summarizes the fair values of the assets acquired and liabilities assumed at the date of acquisition: Cash and equivalents $ 19,633 Accounts receivable and other current assets 132,750 Inventory 235,608 Prepublication costs 109,064 Property, plant and equipment 102,836 Identifiable intangible assets 998,007 Other noncurrent assets 56,226 Accounts payable and accrued expenses (143,076 ) Deferred revenue (42,339 ) Other current liabilities (49,767 ) Deferred income tax liability (15,846 ) Other long-term liabilities (19,573 ) Noncontrolling interests (22,225 ) Goodwill 350,050 Purchase price $ 1,711,348
Intangible Assets Acquired as Part of Business Combination	The fair values of the finite acquired intangible assets will be amortized over their useful lives, which is consistent with the estimated useful life considerations used in determining their fair values. Customer and technology intangibles are amortized on a straight-line basis while content intangibles are amortized using the sum of the years digits method. Fair Value Useful Lives Brands $ 283,000 Indefinite Customers 140,000 11 - 14 years Content 566,007 8 - 14 years Technology 9,000 5 years

ALEKS Acquisition (Tables)

ALEKS Acquisition (Tables) - ALEKS Corporation	6 Months Ended
	Jun. 30, 2015
Business Acquisition [Line Items]
Schedule of Recognized Identified Assets Acquired and Liabilities Assumed	The table below summarizes the estimated fair values of the assets acquired and liabilities assumed at the date of acquisition: Tangible assets 9,365 Identifiable intangible assets 40,700 Deferred revenue (2,754 ) Other liabilities (23,083 ) Goodwill 79,272 Purchase price $ 103,500
Schedule of Finite-Lived Intangible Assets Acquired as Part of Business Combination	The fair values of the acquired intangible assets will be amortized on a straight-line basis over their useful lives which is consistent with the estimated useful life considerations used in determining their fair values. Fair Value Useful Lives Trade Name $ 5,300 10 years Customers 7,100 7 years Technology 28,300 7 years

Area 9 Acquisition (Tables)

Area 9 Acquisition (Tables)	6 Months Ended
	Jun. 30, 2015
Area 9
Business Acquisition [Line Items]
Schedule of Recognized Identified Assets Acquired and Liabilities Assumed	The table below summarizes the estimated fair values of the assets acquired and liabilities assumed at the date of acquisition: Tangible assets $ 1,969 Identifiable intangible assets 44,800 Other liabilities (7,609 ) Goodwill 54,755 Purchase price $ 93,915

Inventories (Tables)

Inventories (Tables)	6 Months Ended
	Jun. 30, 2015
Inventory Disclosure [Abstract]
Schedule of Inventory	Inventories consist of the following: As of June 30, 2015 December 31, 2014 Raw materials $ 1,935 $ 1,160 Work-in-progress 2,529 3,380 Finished goods 110,878 111,345 115,342 115,885 Reserves (38,111 ) (38,893 ) Inventories, net $ 77,231 $ 76,992

Debt (Tables)

Debt (Tables)	6 Months Ended
	Jun. 30, 2015
Debt Disclosure [Abstract]
Schedule of Debt	Long-term debt consisted of the following: As of June 30, 2015 December 31, 2014 Term loan facility $ 661,847 $ 663,555 Notes 791,334 790,798 Less current portion of long term debt (6,792 ) (6,880 ) Long Term Debt (1) $ 1,446,389 $ 1,447,473 (1) Long term debt balances reflect face value of debt less the unamortized discount.
Schedule of Maturities of Long-term Debt	The scheduled principal payments required under the terms of the Senior Facilities and the Notes as of June 30, 2015 were as follows: June 30, 2015 2015 Q3 to Q4 $ 3,396 2016 6,792 2017 6,792 2018 6,792 2019 653,529 2020 and beyond 800,000 1,477,301 Less: Current portion 6,792 $ 1,470,509

Segment Reporting (Tables)

Segment Reporting (Tables)	6 Months Ended
	Jun. 30, 2015
Segment Reporting [Abstract]
Schedule of Segment Reporting Information, by Segment	The following tables set forth information about the Company’s operations by its four segments: Three Months Ended Six Months Ended June 30, 2015 2014 2015 2014 Cash Revenues: MHGE Higher Education $ 124,868 $ 114,359 $ 243,849 229,441 MHGE Professional 29,996 33,451 52,075 56,994 MHGE International 73,603 79,143 116,572 $ 127,280 Total Cash Revenues (1) 228,467 226,953 412,496 413,715 Change in deferred revenue 22,459 24,792 38,244 42,601 Total Consolidated Revenue $ 250,926 $ 251,745 $ 450,740 $ 456,316 (1) The elimination of inter-segment revenues was not significant to the revenues of any one segment. Segment Post-Plate Adjusted Cash EBITDA: MHGE Higher Education $ 10,885 $ (1,007 ) $ 11,350 (3,449 ) MHGE Professional 8,080 10,507 8,841 13,036 MHGE International 5,597 7,938 (3,936 ) (3,752 ) MHGE Other (380 ) (2,101 ) 207 (2,213 ) Total Segment Post-Plate Adjusted Cash EBITDA $ 24,182 $ 15,337 $ 16,462 $ 3,622
Reconciliation of Segment Post-Plate Adjusted Cash EBITDA to Consolidated Statements of Operations	Reconciliation of Segment Post-Plate Adjusted Cash EBITDA to the consolidated statements of operations is as follows: Three Months Ended Six Months Ended June 30, 2015 2014 2015 2014 Total Segment Post-Plate Adjusted Cash EBITDA $ 24,182 $ 15,337 $ 16,462 $ 3,622 Interest (expense) income, net (31,816 ) (35,827 ) (66,297 ) (80,146 ) Benefit (provision) for taxes on income 3,997 (10,153 ) 25,870 18,939 Depreciation, amortization and plate investment amortization (37,934 ) (45,416 ) (78,316 ) (86,375 ) Deferred revenue 22,459 24,792 38,244 42,601 Restructuring and cost savings implementation charges (5,472 ) (5,090 ) (9,622 ) (14,290 ) Sponsor fees (875 ) (875 ) (1,750 ) (1,750 ) Purchase accounting — 2,600 — 2,600 Transaction costs — (856 ) — (3,421 ) Acquisition costs — (240 ) — (2,650 ) Physical separation costs — (5,836 ) — (10,944 ) Other 3,153 (5,235 ) (237 ) (1,492 ) Plate investment cash costs 9,140 13,055 18,192 22,275 Net (loss) income (13,166 ) (53,744 ) (57,454 ) (111,031 ) Less: Net (income) loss attributable to noncontrolling interests — 181 — 299 Net (loss) income attributable to McGraw-Hill Global Education Intermediate Holdings, LLC $ (13,166 ) $ (53,563 ) $ (57,454 ) $ (110,732 )
Schedule of Revenue and Long-Lived Assets, by Geographical Areas	The following is a schedule of revenue and long-lived assets by geographic region: Revenue (1) Three Months Ended Six Months Ended June 30, 2015 2014 2015 2014 United States $ 174,415 $ 169,599 $ 325,299 $ 322,090 International 76,511 82,146 125,441 134,226 Total $ 250,926 $ 251,745 $ 450,740 $ 456,316 Long -lived Assets (2) As of June 30, 2015 December 31, 2014 United States $ 200,432 $ 191,745 International 19,077 19,667 Total $ 219,509 $ 211,412 (1) Revenues are attributed to a geographic region based on the location of customer. (2) Reflects total assets less current assets, goodwill, intangible assets, investments, deferred financing costs and non-current deferred tax assets.

Stock-Based Compensation (Table

Stock-Based Compensation (Tables)	6 Months Ended
	Jun. 30, 2015
Disclosure of Compensation Related Costs, Share-based Payments [Abstract]
Schedule of Employee Service Share-based Compensation, Allocation of Recognized Period Costs	Stock-based compensation for the periods presented was as follows: Three Months Ended Six Months Ended June 30, 2015 2014 2015 2014 Stock option expense $ 885 $ 1,017 $ 2,387 $ 2,404 Restricted stock and unit awards expense 788 839 1,750 1,145 Total stock-based compensation expense $ 1,673 $ 1,856 $ 4,137 $ 3,549

Restructuring (Tables)

Restructuring (Tables)	6 Months Ended
	Jun. 30, 2015
Restructuring and Related Activities [Abstract]
Restructuring and Related Costs	The following table summarizes restructuring information by reporting segment: MHGE Higher Education MHGE Professional MHGE International MHGE Other Total Balance at December 31, 2014 $ 11,218 $ 1,490 $ 5,864 $ — $ 18,572 Charges: Employee severance and other personal benefits 1,112 — 675 — 1,787 Lease termination costs — — 1,515 — 1,515 Payments: Employee severance and other personal benefits (7,407 ) (1,212 ) (4,566 ) — (13,185 ) Lease termination costs — — (1,515 ) — (1,515 ) Balance at June 30, 2015 $ 4,923 $ 278 $ 1,973 $ — $ 7,174

Guarantor Financial Informati35

Guarantor Financial Information (Tables)	6 Months Ended
	Jun. 30, 2015
Organization, Consolidation and Presentation of Financial Statements [Abstract]
Condensed Income Statement	Three Months Ended June 30, 2015 MHGE Intermediate Guarantor Subsidiaries Non-Guarantor Subsidiaries Eliminations MHGE Intermediate (Consolidated) Revenue $ — $ 176,870 $ 74,056 $ — $ 250,926 Cost of goods sold — 40,726 33,702 — 74,428 Gross profit — 136,144 40,354 — 176,498 Operating expenses Operating & administration expenses 875 96,642 41,816 (344 ) 138,989 Depreciation — 5,605 52 — 5,657 Amortization of intangibles — 21,461 1,792 — 23,253 Total operating expenses 875 123,708 43,660 (344 ) 167,899 Operating (loss) income (875 ) 12,436 (3,306 ) 344 8,599 Interest expense (income), net 31,941 — (125 ) — 31,816 Equity in (income) loss of subsidiaries (15,653 ) — — 15,653 — Other (income) — (1,275 ) (4,779 ) — (6,054 ) Income (Loss) from operations before taxes on income (17,163 ) 13,711 1,598 (15,309 ) (17,163 ) Income tax (benefit) provision (3,997 ) 3,112 (1,108 ) (2,004 ) (3,997 ) Net (loss) income $ (13,166 ) $ 10,599 $ 2,706 $ (13,305 ) $ (13,166 ) Comprehensive (loss) income $ (13,166 ) $ 10,599 $ 12,705 $ (13,305 ) $ (3,167 ) Three Months Ended June 30, 2014 MHGE Intermediate Guarantor Subsidiaries Non-Guarantor Subsidiaries Eliminations MHGE Intermediate (Consolidated) Revenue $ — $ 171,940 $ 79,805 $ — $ 251,745 Cost of goods sold — 39,351 31,833 — 71,184 Gross profit — 132,589 47,972 — 180,561 Operating expenses Operating & administration expenses 875 110,819 43,566 (1,524 ) 153,736 Depreciation — 2,805 1,106 — 3,911 Amortization of intangibles — 40,986 (9,889 ) — 31,097 Transaction costs 856 — — — 856 Total operating expenses 1,731 154,610 34,783 (1,524 ) 189,600 Operating (loss) income (1,731 ) (22,021 ) 13,189 1,524 (9,039 ) Interest expense (income), net 35,910 — (83 ) — 35,827 Equity in (income) loss of subsidiaries 5,769 — — (5,769 ) — Other (income) — (1,275 ) — — (1,275 ) (Loss) income from operations before taxes on income (43,410 ) (20,746 ) 13,272 7,293 (43,591 ) Income tax (benefit) provision 10,153 2,892 4,101 (6,993 ) 10,153 Net (loss) income (53,563 ) (23,638 ) 9,171 14,286 (53,744 ) Less: Net (income) loss attributable to noncontrolling interests — — 181 — 181 Net (loss) income attributable to McGraw-Hill Global Education Intermediate Holdings, LLC $ (53,563 ) $ (23,638 ) $ 9,352 $ 14,286 $ (53,563 ) Comprehensive (loss) income attributable to McGraw-Hill Global Education Intermediate Holdings, LLC $ (53,563 ) $ (23,638 ) $ 19,398 $ 14,286 $ (43,517 ) Six Months Ended June 30, 2015 MHGE Intermediate Guarantor Subsidiaries Non-Guarantor Subsidiaries Eliminations MHGE Intermediate (Consolidated) Revenue $ — $ 331,992 $ 118,748 $ — $ 450,740 Cost of goods sold — 76,844 53,043 — 129,887 Gross profit — 255,148 65,705 — 320,853 Operating expenses Operating & administration expenses 1,750 202,395 82,165 (290 ) 286,020 Depreciation — 12,489 52 — 12,541 Amortization of intangibles — 43,299 3,349 — 46,648 Total operating expenses 1,750 258,183 85,566 (290 ) 345,209 Operating (loss) income (1,750 ) (3,035 ) (19,861 ) 290 (24,356 ) Interest expense (income), net 65,814 — 483 — 66,297 Equity in (income) loss of subsidiaries 15,760 — — (15,760 ) — Other (income) — (2,550 ) (4,779 ) — (7,329 ) Income (Loss) from operations before taxes on income (83,324 ) (485 ) (15,565 ) 16,050 (83,324 ) Income tax (benefit) provision (25,870 ) (617 ) (5,603 ) 6,220 (25,870 ) Net (loss) income $ (57,454 ) $ 132 $ (9,962 ) $ 9,830 $ (57,454 ) Comprehensive (loss) income $ (57,454 ) $ 132 $ (15,000 ) $ 9,830 $ (62,492 ) Six Months Ended June 30, 2014 MHGE Intermediate Guarantor Subsidiaries Non-Guarantor Subsidiaries Eliminations MHGE Intermediate (Consolidated) Revenue $ — $ 327,458 $ 128,858 $ — $ 456,316 Cost of goods sold — 71,382 53,622 — 125,004 Gross profit — 256,076 75,236 — 331,312 Operating expenses Operating & administration expenses 1,750 232,920 90,252 (2,985 ) 321,937 Depreciation — 6,928 1,983 — 8,911 Amortization of intangibles — 62,389 (5,643 ) — 56,746 Transaction costs 3,421 — — — 3,421 Total operating expenses 5,171 302,237 86,592 (2,985 ) 391,015 Operating (loss) income (5,171 ) (46,161 ) (11,356 ) 2,985 (59,703 ) Interest expense (income), net 80,325 — (179 ) — 80,146 Equity in (income) loss of subsidiaries 44,175 — — (44,175 ) — Other (income) — (9,879 ) — — (9,879 ) (Loss) income from operations before taxes on income (129,671 ) (36,282 ) (11,177 ) 47,160 (129,970 ) Income tax (benefit) provision (18,939 ) (974 ) (3,527 ) 4,501 (18,939 ) Net (loss) income (110,732 ) (35,308 ) (7,650 ) 42,659 (111,031 ) Less: Net (income) loss attributable to noncontrolling interests — — 299 — 299 Net (loss) income attributable to McGraw-Hill Global Education Intermediate Holdings, LLC $ (110,732 ) $ (35,308 ) $ (7,351 ) $ 42,659 $ (110,732 ) Comprehensive (loss) income attributable to McGraw-Hill Global Education Intermediate Holdings, LLC $ (110,732 ) $ (35,308 ) $ 1,923 $ 42,659 $ (101,458 )
Condensed Balance Sheet	June 30, 2015 MHGE Intermediate Guarantor Subsidiaries Non-Guarantor Subsidiaries Eliminations MHGE Intermediate (Consolidated) ASSETS Current assets: Cash and equivalents $ — $ 354,759 $ 40,149 $ (348,291 ) 46,617 Accounts receivable — 46,352 68,822 — 115,174 Related party receivable — 271,327 — (254,321 ) 17,006 Inventories, net — 48,648 28,293 290 77,231 Deferred income taxes — 22,745 8,440 — 31,185 Prepaid and other current assets 102,199 26,621 20,447 (98,697 ) 50,570 Total current assets 102,199 770,452 166,151 (701,019 ) 337,783 Prepublication costs, net — 63,542 15,805 — 79,347 Property, plant and equipment, net — 89,511 1,696 — 91,207 Goodwill — 425,135 49,774 — 474,909 Other intangible assets, net — 799,816 57,775 — 857,591 Investments 1,826,281 102 72,370 (1,898,199 ) 554 Deferred income taxes non-current — 70,928 1,160 — 72,088 Other non-current assets 60,559 47,379 1,576 — 109,514 Total assets $ 1,989,039 $ 2,266,865 $ 366,307 $ (2,599,218 ) $ 2,022,993 LIABILITIES AND EQUITY Current liabilities Accounts payable $ 351,791 $ 97,034 $ 12,784 $ (348,291 ) $ 113,318 Accrued royalties — 25,749 8,724 — 34,473 Accrued compensation and contributions to retirement plans — 15,731 9,456 — 25,187 Deferred revenue — 82,779 5,056 — 87,835 Current portion of long-term debt 6,792 — — — 6,792 Related party — — 254,320 (254,320 ) — Other current liabilities 31,184 135,149 24,407 (98,697 ) 92,043 Total current liabilities 389,767 356,442 314,747 (701,308 ) 359,648 Long-term debt 1,446,389 — — — 1,446,389 Deferred income taxes — — 7,651 — 7,651 Other non-current liabilities — 42,647 3,065 — 45,712 Total liabilities 1,836,156 399,089 325,463 (701,308 ) 1,859,400 Commitments and contingencies Equity Member's equity 292,474 1,766,898 86,642 (1,810,907 ) 335,107 Accumulated deficit (139,591 ) 100,878 (13,875 ) (87,003 ) (139,591 ) Accumulated other comprehensive loss — — (31,923 ) — (31,923 ) Total equity 152,883 1,867,776 40,844 (1,897,910 ) 163,593 Total liabilities and equity $ 1,989,039 $ 2,266,865 $ 366,307 $ (2,599,218 ) $ 2,022,993 December 31, 2014 MHGE Intermediate Guarantor Subsidiaries Non-Guarantor Subsidiaries Eliminations MHGE Intermediate (Consolidated) ASSETS Current assets: Cash and equivalents $ — $ 466,617 $ 49,737 $ (284,256 ) 232,098 Accounts receivable — 122,047 82,025 — 204,072 Related party — 253,071 — (253,071 ) — Inventories, net — 50,330 27,164 (502 ) 76,992 Deferred income taxes — 22,745 8,793 — 31,538 Prepaid and other current assets 74,577 11,925 17,036 (72,828 ) 30,710 Total current assets 74,577 926,735 184,755 (610,657 ) 575,410 Prepublication costs, net — 63,130 17,850 — 80,980 Property, plant and equipment, net — 91,926 — — 91,926 Goodwill — 423,629 53,695 — 477,324 Other intangible assets, net — 842,907 63,758 — 906,665 Investments 1,842,551 104 9,115 (1,842,551 ) 9,219 Deferred income taxes non-current — 42,242 1,198 — 43,440 Other non-current assets 63,004 36,689 1,817 — 101,510 Total assets $ 1,980,132 $ 2,427,362 $ 332,188 $ (2,453,208 ) $ 2,286,474 LIABILITIES AND EQUITY Current liabilities Accounts payable $ 284,256 $ 115,594 $ 14,871 $ (284,256 ) $ 130,465 Accrued royalties — 89,796 12,031 — 101,827 Accrued compensation and contributions to retirement plans — 50,615 15,628 — 66,243 Deferred revenue — 117,211 7,340 — 124,551 Current portion of long-term debt 6,880 — — — 6,880 Related party — 889 253,071 (253,071 ) 889 Other current liabilities 31,186 98,036 32,766 (72,828 ) 89,160 Total current liabilities 322,322 472,141 335,707 (610,155 ) 520,015 Long-term debt 1,447,473 — — — 1,447,473 Deferred income taxes — — 8,288 — 8,288 Other non-current liabilities — 45,244 3,595 — 48,839 Total liabilities 1,769,795 517,385 347,590 (610,155 ) 2,024,615 Commitments and contingencies Equity Member's equity 292,474 1,809,231 15,396 (1,746,220 ) 370,881 Accumulated deficit (82,137 ) 100,746 (3,913 ) (96,833 ) (82,137 ) Accumulated other comprehensive loss — — (26,885 ) — (26,885 ) Total equity 210,337 1,909,977 (15,402 ) (1,843,053 ) 261,859 Total liabilities and equity $ 1,980,132 $ 2,427,362 $ 332,188 $ (2,453,208 ) $ 2,286,474
Condensed Cash Flow Statement	Six Months Ended June 30, 2015 MHGE Intermediate Guarantor Subsidiaries Non-Guarantor Subsidiaries Eliminations MHGE Intermediate (Consolidated) Operating activities Cash provided by operating activities $ 3,744 $ (46,969 ) $ (5,395 ) $ (64,035 ) $ (112,655 ) Investing activities Investment in prepublication costs — (2,755 ) (15,437 ) — (18,192 ) Capital expenditures — (22,115 ) — — (22,115 ) Proceeds from sale of investment — — 12,500 — 12,500 Proceeds from dispositions — 103 — — 103 Cash used for investing activities — (24,767 ) (2,937 ) — (27,704 ) Financing activities Payment of term loan (3,744 ) — — — (3,744 ) Dividend payment to MHGE Parent — (39,822 ) — — (39,822 ) Dividends on restricted stock unit — (300 ) — — (300 ) Cash provided by (used for) financing activities (3,744 ) (40,122 ) — — (43,866 ) Effect of exchange rate changes on cash — — (1,256 ) — (1,256 ) Net change in cash and cash equivalents — (111,858 ) (9,588 ) (64,035 ) (185,481 ) Cash and cash equivalents at the beginning of the period — 466,617 49,737 (284,256 ) 232,098 Cash and cash equivalents, ending balance $ — $ 354,759 $ 40,149 $ (348,291 ) $ 46,617 Six Months Ended June 30, 2014 MHGE Intermediate Guarantor Subsidiaries Non-Guarantor Subsidiaries Eliminations MHGE Intermediate (Consolidated) Operating activities Cash provided by operating activities $ 38,440 $ (57,394 ) $ 26,937 $ (100,082 ) $ (92,099 ) Investing activities Investment in prepublication costs — (16,999 ) (5,276 ) — (22,275 ) Capital expenditures — (4,192 ) (1,197 ) — (5,389 ) Acquisitions and investments — — (55,494 ) — (55,494 ) Proceeds from sale of investment — — 3,250 — 3,250 Proceeds from dispositions — 115 8,653 — 8,768 Cash used for investing activities — (21,076 ) (50,064 ) — (71,140 ) Financing activities Payment of term loan (38,440 ) — — — (38,440 ) Dividends paid to noncontrolling interests — — (169 ) — (169 ) Cash provided by (used for) financing activities (38,440 ) — (169 ) — (38,609 ) Effect of exchange rate changes on cash — — 680 — 680 Net change in cash and cash equivalents — (78,470 ) (22,616 ) (100,082 ) (201,168 ) Cash and cash equivalents at the beginning of the period — 301,985 67,429 (116,024 ) 253,390 Cash and cash equivalents, ending balance $ — $ 223,515 $ 44,813 $ (216,106 ) $ 52,222

Supplemental Parent Company E36

Supplemental Parent Company Equity Information (Tables)	6 Months Ended
	Jun. 30, 2015
Equity [Abstract]
Schedule of Parent Company Equity	Parent Company equity is summarized as follows: Total Parent Company Equity Noncontrolling Interest Total Equity Balance at December 31, 2013 $ 199,778 $ 23,490 $ 223,268 Comprehensive loss, net of tax (12,851 ) (686 ) (13,537 ) Capital contribution 42,500 — 42,500 Georgia Holdings shares for acquisition earn out 8,500 — 8,500 Acquisition of non-controlling interest (4,815 ) (22,635 ) (27,450 ) Stock-based compensation 7,288 — 7,288 Dividend on restricted stock units (1,189 ) — (1,189 ) Non-cash capital contribution 22,648 — 22,648 Dividends paid to non-controlling interests — (169 ) (169 ) Balance at December 31, 2014 $ 261,859 $ — $ 261,859 Comprehensive loss, net of tax (62,492 ) — (62,492 ) Stock-based compensation 4,137 — 4,137 Non-cash capital distribution (39,199 ) — (39,199 ) Dividend on restricted stock units (712 ) — (712 ) Balance at June 30, 2015 $ 163,593 $ — $ 163,593

Basis of Presentation and Acc37

Basis of Presentation and Accounting Policies - Acquisition (Details) - USD ($) $ in Thousands	Mar. 22, 2013	Jun. 30, 2015	Jun. 30, 2014
Business Acquisition [Line Items]
Payments to acquire business, cash		$ 0	$ 55,494
The Founding Acquisition
Business Acquisition [Line Items]
Payments to acquire business, cash	$ 2,184,071
The Founding Acquisition, MHSE Holdings
Business Acquisition [Line Items]
Payments to acquire business, cash	472,723
MHE Acquisition, LLC | The Founding Acquisition, MHGE Intermediate
Business Acquisition [Line Items]
Payments to acquire business, cash	$ 1,711,348

Basis of Presentation and Acc38

Basis of Presentation and Accounting Policies - Cash and Cash Equivalents (Details) - USD ($) $ in Thousands	Jun. 30, 2015	Dec. 31, 2014	Jun. 30, 2014	Dec. 31, 2013
Organization, Consolidation and Presentation of Financial Statements [Abstract]
Cash and equivalents	$ 46,617	$ 232,098	$ 52,222	$ 253,390

Basis of Presentation and Acc39

Basis of Presentation and Accounting Policies - Concentration of Credit Risk (Details) - Customer Concentration Risk - customer	3 Months Ended		6 Months Ended		12 Months Ended
	Jun. 30, 2015	Jun. 30, 2014	Jun. 30, 2015	Jun. 30, 2014	Dec. 31, 2014
Accounts Receivable, Gross | Customer One and Two
Concentration Risk [Line Items]
Concentration risk percentage			28.00%		31.00%
Sales Revenue, Gross
Concentration Risk [Line Items]
Number of customers				0
Concentration risk percentage				10.00%
Sales Revenue, Gross | Customer One
Concentration Risk [Line Items]
Concentration risk percentage	12.00%	11.00%	10.00%
Sales Revenue, Gross | Customer Two
Concentration Risk [Line Items]
Concentration risk percentage	10.00%	10.00%

Basis of Presentation and Acc40

Basis of Presentation and Accounting Policies - Inventories (Details) - USD ($) $ in Thousands	Jun. 30, 2015	Dec. 31, 2014
Organization, Consolidation and Presentation of Financial Statements [Abstract]
Inventory valuation reserve	$ 38,111	$ 38,893

Basis of Presentation and Acc41

Basis of Presentation and Accounting Policies - Prepublication Costs (Details)	6 Months Ended
	Jun. 30, 2015
Organization, Consolidation and Presentation of Financial Statements [Abstract]
Prepublication costs, useful life	6 years

Basis of Presentation and Acc42

Basis of Presentation and Accounting Policies - Property, Plant, and Equipment (Details) - Maximum	6 Months Ended
	Jun. 30, 2015
Building
Property, Plant and Equipment [Line Items]
Property, plant and equipment, useful life	28 years
Furniture and Fixtures
Property, Plant and Equipment [Line Items]
Property, plant and equipment, useful life	7 years
Equipment
Property, Plant and Equipment [Line Items]
Property, plant and equipment, useful life	7 years

Basis of Presentation and Acc43

Basis of Presentation and Accounting Policies - Additional Information (Details)	3 Months Ended		6 Months Ended
	Jun. 30, 2015USD ($)	Jun. 30, 2014USD ($)	Jun. 30, 2015USD ($)reporting_unit	Jun. 30, 2014USD ($)	Dec. 31, 2014USD ($)
Accounting Policies [Line Items]
Number of reporting units | reporting_unit			3
Impairment of long-lived assets	$ 0	$ 0	$ 0	$ 0
Goodwill and intangible asset impairment	0	$ 0	$ 0	$ 0
Minimum
Accounting Policies [Line Items]
Deferred technology costs, useful life			3 years
Maximum
Accounting Policies [Line Items]
Deferred technology costs, useful life			7 years
Other noncurrent assets
Accounting Policies [Line Items]
Deferred technology costs, gross	56,559,000		$ 56,559,000		$ 42,030,000
Deferred technology costs, accumulated amortization	$ 16,846,000		$ 16,846,000		$ 12,433,000

The Founding Transactions - Nar

The Founding Transactions - Narrative (Details) - Mar. 22, 2013 - USD ($)	Total
Debt Instrument [Line Items]
Equity contribution	$ 950,000,000
Senior Notes | 9.75% First-Priority Senior Secured Notes due 2021
Debt Instrument [Line Items]
Debt, face amount	$ 800,000,000
Debt, stated interest rate	9.75%
Credit Suisse AG | Line of Credit
Debt Instrument [Line Items]
Line of credit, maximum borrowing capacity	$ 1,050,000,000
Credit Suisse AG | Line of Credit | Term Loan Facility
Debt Instrument [Line Items]
Line of credit, maximum borrowing capacity	$ 810,000,000
Debt term	6 years
Credit Suisse AG | Line of Credit | Revolving Credit Facility
Debt Instrument [Line Items]
Line of credit, maximum borrowing capacity	$ 240,000,000
Debt term	5 years
Amount drawn on revolving credit facility	$ 35,000,000

The Founding Acquisition - Narr

The Founding Acquisition - Narrative (Details) - USD ($) $ in Thousands	Oct. 16, 2013	Mar. 22, 2013	Jun. 30, 2015	Jun. 30, 2014	Jun. 30, 2015	Jun. 30, 2014	Dec. 31, 2014
Business Acquisition [Line Items]
Payments to acquire business, cash					$ 0	$ 55,494
Goodwill			$ 474,909		474,909		$ 477,324
Amortization of intangibles			23,253	$ 31,097	46,648	56,746
MHE Acquisition, LLC
Business Acquisition [Line Items]
Amortization of intangibles			$ 20,369	$ 31,826	$ 41,119	$ 51,238
MHE Acquisition, LLC | The Founding Acquisition, MHGE Intermediate
Business Acquisition [Line Items]
Payments to acquire business, cash		$ 1,711,348
Goodwill		350,050
Payments for (proceeds from) working capital adjustments	$ (28,099)
Deferred income tax liability		15,846
Payments of distributions to parent		$ 628,854

The Founding Acquisition - Sour

The Founding Acquisition - Sources and Uses of Fund (Details) - USD ($) $ in Thousands	Mar. 22, 2013	Jun. 30, 2015	Jun. 30, 2014	Jun. 30, 2015	Jun. 30, 2014
Business Acquisition [Line Items]
Proceeds from equity contributions	$ 950,000
Equity purchase price				$ 0	$ 55,494
Transaction fees and expenses		$ 0	$ 240	$ 0	$ 2,650
MHE Acquisition, LLC | The Founding Acquisition, MHGE Intermediate
Business Acquisition [Line Items]
Proceeds from equity contributions	950,000
Equity purchase price	1,711,348
Transaction fees and expenses	131,339
Cash to balance sheet	88,255
Distribution to Parent	628,854
Total uses/source	2,559,796
MHE Acquisition, LLC | The Founding Acquisition, MHGE Intermediate | Line of Credit | Term Loan Facility
Business Acquisition [Line Items]
Borrowings on long-term debt	785,700
MHE Acquisition, LLC | The Founding Acquisition, MHGE Intermediate | Line of Credit | Revolving Credit Facility
Business Acquisition [Line Items]
Borrowings on long-term debt	35,000
MHE Acquisition, LLC | The Founding Acquisition, MHGE Intermediate | Senior Notes
Business Acquisition [Line Items]
Borrowings on long-term debt	$ 789,096

The Founding Acquisition - Asse

The Founding Acquisition - Assets Acquired and Liabilities Assumed (Details) - USD ($) $ in Thousands	Jun. 30, 2015	Dec. 31, 2014	Mar. 22, 2013
Business Combination, Recognized Identifiable Assets Acquired, Goodwill, and Liabilities Assumed, Less Noncontrolling Interest [Abstract]
Goodwill	$ 474,909	$ 477,324
MHE Acquisition, LLC | The Founding Acquisition, MHGE Intermediate
Business Combination, Recognized Identifiable Assets Acquired, Goodwill, and Liabilities Assumed, Less Noncontrolling Interest [Abstract]
Cash and equivalents			$ 19,633
Accounts receivable and other current assets			132,750
Inventory			235,608
Prepublication costs			109,064
Property, plant and equipment			102,836
Identifiable intangible assets			998,007
Other noncurrent assets			56,226
Accounts payable and accrued expenses			(143,076)
Deferred revenue			(42,339)
Other current liabilities			(49,767)
Deferred income tax liability			(15,846)
Other long-term liabilities			(19,573)
Noncontrolling interests			(22,225)
Goodwill			350,050
Purchase price			$ 1,711,348

The Founding Acquisition - Acqu

The Founding Acquisition - Acquired Intangible Assets (Details) - Mar. 22, 2013 - MHE Acquisition, LLC - USD ($) $ in Thousands	Total
Brands
Business Acquisition [Line Items]
Indefinite-lived intangible assets acquired, fair value	$ 283,000
Customers
Business Acquisition [Line Items]
Finite-lived intangible assets acquired, fair value	$ 140,000
Customers | Minimum
Business Acquisition [Line Items]
Finite-lived intangible asset, useful life	11 years
Customers | Maximum
Business Acquisition [Line Items]
Finite-lived intangible asset, useful life	14 years
Content
Business Acquisition [Line Items]
Finite-lived intangible assets acquired, fair value	$ 566,007
Content | Minimum
Business Acquisition [Line Items]
Finite-lived intangible asset, useful life	8 years
Content | Maximum
Business Acquisition [Line Items]
Finite-lived intangible asset, useful life	14 years
Technology
Business Acquisition [Line Items]
Finite-lived intangible assets acquired, fair value	$ 9,000
Finite-lived intangible asset, useful life	5 years

ALEKS Acquisition - Narrative (

ALEKS Acquisition - Narrative (Details) - USD ($) $ in Thousands	Oct. 31, 2013	Aug. 01, 2013	Jun. 30, 2015	Jun. 30, 2014	Jun. 30, 2015	Jun. 30, 2014	Dec. 31, 2013
Business Acquisition [Line Items]
Payments to acquire business, cash					$ 0	$ 55,494
Transaction fees and expenses			$ 0	$ 240	0	2,650
Amortization of intangibles			23,253	31,097	46,648	56,746
ALEKS Corporation | MHSE Holdings | Reseller Agreement with Exclusivity Provision
Business Acquisition [Line Items]
Reseller agreement, proceeds from exclusivity fee		$ 25,500
Reseller agreement, period of revenue recognition		5 years
Proceeds from royalties received		$ 12,500
Royalty proceeds, percent of net sales		15.00%
ALEKS Corporation
Business Acquisition [Line Items]
Consideration transferred		$ 103,500
Payments to acquire business, cash		50,000
Payments to acquire business, cash held in escrow		$ 15,000
Payments for (proceeds from) working capital adjustments	$ (1,422)
Amortization of intangibles			$ 1,397	$ 1,143	$ 2,794	$ 4,070
ALEKS Corporation | Operating and administrative expenses
Business Acquisition [Line Items]
Transaction fees and expenses							$ 2,549
ALEKS Corporation | MHSE Holdings | Reseller Agreement with Exclusivity Provision
Business Acquisition [Line Items]
Reseller agreement, period of revenue recognition		5 years
ALEKS Corporation | Other current liabilities
Business Acquisition [Line Items]
Business acquisition, liabilities incurred		$ 53,500					$ 53,500

ALEKS Acquisition - Assets Acqu

ALEKS Acquisition - Assets Acquired and Liabilities Assumed (Details) - USD ($) $ in Thousands	Jun. 30, 2015	Dec. 31, 2014	Aug. 01, 2013
Business Combination, Recognized Identifiable Assets Acquired and Liabilities Assumed, Net [Abstract]
Goodwill	$ 474,909	$ 477,324
ALEKS Corporation
Business Combination, Recognized Identifiable Assets Acquired and Liabilities Assumed, Net [Abstract]
Tangible assets			$ 9,365
Identifiable intangible assets			40,700
Deferred revenue			(2,754)
Other liabilities			(23,083)
Goodwill			79,272
Purchase price			$ 103,500

ALEKS Acquisition - Fair Value

ALEKS Acquisition - Fair Value of the Acquired Intangible Assets (Details) - 6 months ended Jun. 30, 2015 - ALEKS Corporation - USD ($) $ in Thousands	Total
Trade Name
Acquired Finite-Lived Intangible Assets [Line Items]
Finite-lived intangible assets acquired, fair value	$ 5,300
Finite-lived intangible asset, useful life	10 years
Customers
Acquired Finite-Lived Intangible Assets [Line Items]
Finite-lived intangible assets acquired, fair value	$ 7,100
Finite-lived intangible asset, useful life	7 years
Technology
Acquired Finite-Lived Intangible Assets [Line Items]
Finite-lived intangible assets acquired, fair value	$ 28,300
Finite-lived intangible asset, useful life	7 years

Area 9 Acquisition - Narrative

Area 9 Acquisition - Narrative (Details) - USD ($) $ in Thousands	Jul. 18, 2014	Feb. 06, 2014	Jun. 30, 2015	Jun. 30, 2014	Jun. 30, 2015	Jun. 30, 2014	Jan. 31, 2013
Business Acquisition [Line Items]
Payments to acquire business, cash					$ 0	$ 55,494
Amortization of intangibles			$ 23,253	$ 31,097	46,648	56,746
Area 9
Business Acquisition [Line Items]
Percentage of voting interest acquired		80.00%
Consideration transferred		$ 78,049
Payments to acquire business, cash		29,003
Contingent consideration for designated project and deliverable		9,800
Equity interest in acquiree prior to acquisition, percentage							20.00%
Equity interest in acquiree prior to acquisition, fair value		15,866
Consideration transferred, including equity interest in acquired held prior to combination		93,915
Payments for (proceeds from) working capital adjustments	$ 959
Amortization of intangibles			$ 1,334	$ 1,722	$ 2,559	2,870
Area 9 | Successful Project Deliverable
Business Acquisition [Line Items]
Contingent consideration for designated project and deliverable		2,700
Area 9 | Expense Reimbursement
Business Acquisition [Line Items]
Contingent consideration for designated project and deliverable		$ 5,000
Expense reimbursement period		4 years
Area 9 | Other income
Business Acquisition [Line Items]
Gain on fair value adjustment to original stake in company						$ 7,329
Area 9 | Minimum
Business Acquisition [Line Items]
Finite-lived intangible asset, useful life		4 years
Area 9 | Maximum
Business Acquisition [Line Items]
Finite-lived intangible asset, useful life		7 years

Area 9 Acquisition - Assets Acq

Area 9 Acquisition - Assets Acquired and Liabilities Assumed (Details) - USD ($) $ in Thousands	Jun. 30, 2015	Dec. 31, 2014	Feb. 06, 2014
Business Acquisition [Line Items]
Goodwill	$ 474,909	$ 477,324
Area 9
Business Acquisition [Line Items]
Tangible assets			$ 1,969
Identifiable intangible assets			44,800
Other liabilities			(7,609)
Goodwill			54,755
Purchase price			$ 93,915

Ryerson Acquisition - Narrative

Ryerson Acquisition - Narrative (Details) - USD ($) $ in Thousands	Jun. 17, 2014	Dec. 31, 2014
Business Acquisition [Line Items]
Purchase of noncontrolling interest, excess of the purchase price over the book value		$ 27,450
Noncontrolling Interest, Joint Venture In McGraw-Hill Ryerson
Business Acquisition [Line Items]
Percentage of voting interest acquired	30.00%
Payments to acquired additional interest in subsidiary	$ 27,450
Member's Equity | Noncontrolling Interest, Joint Venture In McGraw-Hill Ryerson
Business Acquisition [Line Items]
Purchase of noncontrolling interest, excess of the purchase price over the book value	$ 4,815

Inventories - Schedule of Inven

Inventories - Schedule of Inventory (Details) - USD ($) $ in Thousands	Jun. 30, 2015	Dec. 31, 2014
Inventory Disclosure [Abstract]
Raw materials	$ 1,935	$ 1,160
Work-in-progress	2,529	3,380
Finished goods	110,878	111,345
Inventory, gross	115,342	115,885
Reserves	(38,111)	(38,893)
Inventories, net	$ 77,231	$ 76,992

Debt - Narrative (Details)

Debt - Narrative (Details)	Mar. 24, 2014USD ($)	Mar. 22, 2013USD ($)	Jun. 30, 2015USD ($)	Jun. 30, 2014USD ($)	Jun. 30, 2015USD ($)	Jun. 30, 2014USD ($)	May. 04, 2015	Dec. 31, 2014USD ($)
Debt Instrument [Line Items]
Amortization of debt discount					$ 2,572,000	$ 2,707,000
Line of Credit
Debt Instrument [Line Items]
Long-term debt			$ 661,847,000		$ 661,847,000			$ 663,555,000
Line of Credit | Credit Suisse AG
Debt Instrument [Line Items]
Line of credit, maximum borrowing capacity		$ 1,050,000,000
Obligations, percentage of capital stock guaranteed by first-tier foreign subsidiaries			65.00%		65.00%
Line of credit facility, fair value of amount outstanding			$ 677,301,000		$ 677,301,000			677,640,000
Line of Credit | Term Loan Facility | Credit Suisse AG
Debt Instrument [Line Items]
Line of credit, maximum borrowing capacity		$ 810,000,000
Debt term		6 years
Line of credit, voluntary payment, principal	$ 35,000,000
Long-term debt	$ 687,925,000
Line of credit, periodic payment, principal		$ 2,025,000
Debt discount, quarterly amortization rate	0.25%						0.25%
Debt discount percentage			3.00%		3.00%
Discount, annual amortization rate			1.00%		1.00%
Line of Credit | Term Loan Facility | Credit Suisse AG | Interest Expense
Debt Instrument [Line Items]
Amortization of debt discount			$ 1,623,000	$ 3,371,000	$ 4,760,000	5,868,000
Line of Credit | Term Loan Facility | Credit Suisse AG | London Interbank Offered Rate (LIBOR)
Debt Instrument [Line Items]
Variable rate, floor	1.00%	1.25%
Basis spread on variable rate	4.75%	7.75%
Line of credit, interest rate at period end			4.75%		4.75%
Line of Credit | Revolving Credit Facility | Credit Suisse AG
Debt Instrument [Line Items]
Line of credit, maximum borrowing capacity		$ 240,000,000
Debt term		5 years
Line of credit, current borrowing capacity			$ 240,000,000		$ 240,000,000
Line of credit, amount outstanding			$ 0		$ 0
Debt discount percentage			2.00%		2.00%
Maximum leverage ratio			7		7
Line of credit, covenant, minimum percentage drawn implementing quarterly testing			20.00%		20.00%
Line of credit, covenant, percentage drawn (less than)			20.00%		20.00%
Senior Notes
Debt Instrument [Line Items]
Long-term debt			$ 791,334,000		$ 791,334,000			790,798,000
Senior Notes | 9.75% First-Priority Senior Secured Notes due 2021
Debt Instrument [Line Items]
Debt discount percentage		1.36%
Debt, face amount		$ 800,000,000
Debt, stated interest rate		9.75%
Debt, incremental interest rate	0.25%
Debt, fair value			880,000,000		880,000,000			$ 890,000,000
Senior Notes | 9.75% First-Priority Senior Secured Notes due 2021 | Credit Suisse AG | Interest Expense
Debt Instrument [Line Items]
Amortization of debt discount			$ 1,208,000	$ 1,498,000	$ 2,353,000	$ 2,996,000

Debt - Schedule of Long-Term De

Debt - Schedule of Long-Term Debt (Details) - USD ($) $ in Thousands	Jun. 30, 2015	Dec. 31, 2014
Debt Instrument [Line Items]
Long-term debt, current	$ (6,792)	$ (6,880)
Long-term debt, excluding current maturities	1,446,389	1,447,473
Line of Credit
Debt Instrument [Line Items]
Long-term Debt	661,847	663,555
Senior Notes
Debt Instrument [Line Items]
Long-term Debt	$ 791,334	$ 790,798

Debt - Maturity of Debt (Detail

Debt - Maturity of Debt (Details) $ in Thousands	Jun. 30, 2015USD ($)
Long-term Debt, Fiscal Year Maturity [Abstract]
2015 Q3 to Q4	$ 3,396
2,016	6,792
2,017	6,792
2,018	6,792
2,019	653,529
2020 and beyond	800,000
Long-term Debt	1,477,301
Less: Current portion	6,792
Long-term debt, excluding current maturities	$ 1,470,509

Segment Reporting - Schedule of

Segment Reporting - Schedule of Segment Reporting Information, by Segment (Details) $ in Thousands	3 Months Ended		6 Months Ended
	Jun. 30, 2015USD ($)	Jun. 30, 2014USD ($)	Jun. 30, 2015USD ($)segment	Jun. 30, 2014USD ($)
Segment Reporting Information [Line Items]
Number of reportable segments | segment			4
Revenue	$ 250,926	$ 251,745	$ 450,740	$ 456,316
Total Segment Post-Plate Adjusted Cash EBITDA	24,182	15,337	16,462	3,622
MHGE Higher Education
Segment Reporting Information [Line Items]
Total Segment Post-Plate Adjusted Cash EBITDA	10,885	(1,007)	11,350	(3,449)
MHGE Professional
Segment Reporting Information [Line Items]
Total Segment Post-Plate Adjusted Cash EBITDA	8,080	10,507	8,841	13,036
MHGE International
Segment Reporting Information [Line Items]
Total Segment Post-Plate Adjusted Cash EBITDA	5,597	7,938	(3,936)	(3,752)
MHGE Other
Segment Reporting Information [Line Items]
Total Segment Post-Plate Adjusted Cash EBITDA	(380)	(2,101)	207	(2,213)
Operating Segments
Segment Reporting Information [Line Items]
Revenue	228,467	226,953	412,496	413,715
Operating Segments | MHGE Higher Education
Segment Reporting Information [Line Items]
Revenue	124,868	114,359	243,849	229,441
Operating Segments | MHGE Professional
Segment Reporting Information [Line Items]
Revenue	29,996	33,451	52,075	56,994
Operating Segments | MHGE International
Segment Reporting Information [Line Items]
Revenue	73,603	79,143	116,572	127,280
Change in deferred revenue
Segment Reporting Information [Line Items]
Revenue	$ 22,459	$ 24,792	$ 38,244	$ 42,601

Segment Reporting - Reconciliat

Segment Reporting - Reconciliation of Operating Profit (loss) from Segments to Consolidated (Details) - USD ($) $ in Thousands	3 Months Ended		6 Months Ended
	Jun. 30, 2015	Jun. 30, 2014	Jun. 30, 2015	Jun. 30, 2014
Segment Reporting [Abstract]
Total Segment Post-Plate Adjusted Cash EBITDA	$ 24,182	$ 15,337	$ 16,462	$ 3,622
Interest (expense) income, net	(31,816)	(35,827)	(66,297)	(80,146)
Benefit (provision) for taxes on income	3,997	(10,153)	25,870	18,939
Depreciation, amortization and plate investment amortization	(37,934)	(45,416)	(78,316)	(86,375)
Deferred revenue	22,459	24,792	38,244	42,601
Restructuring and cost savings implementation charges	(5,472)	(5,090)	(9,622)	(14,290)
Sponsor fees	(875)	(875)	(1,750)	(1,750)
Purchase accounting	0	2,600	0	2,600
Transaction costs	0	(856)	0	(3,421)
Acquisition costs	0	(240)	0	(2,650)
Physical separation costs	0	(5,836)	0	(10,944)
Other	3,153	(5,235)	(237)	(1,492)
Plate investment cash costs	9,140	13,055	18,192	22,275
Net (loss) income	(13,166)	(53,744)	(57,454)	(111,031)
Less: Net (income) loss attributable to noncontrolling interests	0	181	0	299
Net (loss) income attributable to McGraw-Hill Global Education Intermediate Holdings, LLC	$ (13,166)	$ (53,563)	$ (57,454)	$ (110,732)

Segment Reporting - Schedule 61

Segment Reporting - Schedule of Revenue and Long-Lived Assets by Geographical Areas (Details) - USD ($) $ in Thousands	3 Months Ended		6 Months Ended
	Jun. 30, 2015	Jun. 30, 2014	Jun. 30, 2015	Jun. 30, 2014	Dec. 31, 2014
Revenues from External Customers and Long-Lived Assets [Line Items]
Revenue	$ 250,926	$ 251,745	$ 450,740	$ 456,316
Long-lived assets	219,509		219,509		$ 211,412
United States
Revenues from External Customers and Long-Lived Assets [Line Items]
Revenue	174,415	169,599	325,299	322,090
Long-lived assets	200,432		200,432		191,745
International
Revenues from External Customers and Long-Lived Assets [Line Items]
Revenue	76,511	$ 82,146	125,441	$ 134,226
Long-lived assets	$ 19,077		$ 19,077		$ 19,667

Taxes on Income - Narrative (De

Taxes on Income - Narrative (Details) - USD ($) $ in Thousands	3 Months Ended		6 Months Ended
	Jun. 30, 2015	Jun. 30, 2014	Jun. 30, 2015	Jun. 30, 2014	Dec. 31, 2014
Income Tax [Line Items]
Effective income tax rate	23.30%	(23.30%)	31.00%	14.60%
Unrecognized tax benefits	$ 861		$ 861		$ 1,164
Penalties and interest accrued	1,193		1,193		1,158
Foreign Tax Authority | Other noncurrent assets
Income Tax [Line Items]
Indemnification receivable	$ 1,831		$ 1,831		$ 1,825

Stock-Based Compensation - Narr

Stock-Based Compensation - Narrative (Details) - USD ($) $ / shares in Units, $ in Thousands	3 Months Ended		6 Months Ended
	Jun. 30, 2015	Jun. 30, 2014	Jun. 30, 2015
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Compensation costs not yet recognized	$ 13,998	$ 19,420	$ 13,998
Compensation cost not yet recognized, period for recognition			3 years 6 months 7 days
Georgia Holdings
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Options granted	51,000	75,726
Weighted average grant date fair value of options (in dollars per share)			$ 68.51
Georgia Holdings | Management Equity Plan
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Number of shares authorized (in shares)	1,033,939		1,033,939
Georgia Holdings | Stock Options
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Award vesting period			5 years
Georgia Holdings | Stock Options | Vesting on cumulative financial performance
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Award vesting measurement, percentage			50.00%
Georgia Holdings | Stock Options | Vesting evenly over five years
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Award vesting measurement, percentage			50.00%

Stock-Based Compensation - Sche

Stock-Based Compensation - Schedule of Stock-based Compensation Expense (Details) - USD ($) $ in Thousands	3 Months Ended		6 Months Ended
	Jun. 30, 2015	Jun. 30, 2014	Jun. 30, 2015	Jun. 30, 2014
Share-based Compensation Arrangement by Share-based Payment Award, Compensation Cost [Line Items]
Total stock-based compensation expense	$ 1,673	$ 1,856	$ 4,137	$ 3,549
Stock option expense
Share-based Compensation Arrangement by Share-based Payment Award, Compensation Cost [Line Items]
Total stock-based compensation expense	885	1,017	2,387	2,404
Restricted stock and unit awards expense
Share-based Compensation Arrangement by Share-based Payment Award, Compensation Cost [Line Items]
Total stock-based compensation expense	$ 788	$ 839	$ 1,750	$ 1,145

Restructuring - Narrative (Deta

Restructuring - Narrative (Details) $ in Thousands	6 Months Ended
	Dec. 31, 2015USD ($)
Forecast
Restructuring Cost and Reserve [Line Items]
Payments for restructuring	$ 7,174

Restructuring - Restructuring I

Restructuring - Restructuring Information by Reporting Segment (Details) - USD ($) $ in Thousands	6 Months Ended
	Jun. 30, 2015
Restructuring Reserve [Roll Forward]
Balance at December 31, 2014	$ 18,572
Balance at June 30, 2015	7,174
Employee severance and other personal benefits
Restructuring Reserve [Roll Forward]
Restructuring charges	1,787
Payments for restructuring	(13,185)
Lease termination costs
Restructuring Reserve [Roll Forward]
Restructuring charges	1,515
Payments for restructuring	(1,515)
MHGE Higher Education
Restructuring Reserve [Roll Forward]
Balance at December 31, 2014	11,218
Balance at June 30, 2015	4,923
MHGE Higher Education | Employee severance and other personal benefits
Restructuring Reserve [Roll Forward]
Restructuring charges	1,112
Payments for restructuring	(7,407)
MHGE Higher Education | Lease termination costs
Restructuring Reserve [Roll Forward]
Restructuring charges	0
Payments for restructuring	0
MHGE Professional
Restructuring Reserve [Roll Forward]
Balance at December 31, 2014	1,490
Balance at June 30, 2015	278
MHGE Professional | Employee severance and other personal benefits
Restructuring Reserve [Roll Forward]
Restructuring charges	0
Payments for restructuring	(1,212)
MHGE Professional | Lease termination costs
Restructuring Reserve [Roll Forward]
Restructuring charges	0
Payments for restructuring	0
MHGE International
Restructuring Reserve [Roll Forward]
Balance at December 31, 2014	5,864
Balance at June 30, 2015	1,973
MHGE International | Employee severance and other personal benefits
Restructuring Reserve [Roll Forward]
Restructuring charges	675
Payments for restructuring	(4,566)
MHGE International | Lease termination costs
Restructuring Reserve [Roll Forward]
Restructuring charges	1,515
Payments for restructuring	(1,515)
MHGE Other
Restructuring Reserve [Roll Forward]
Balance at December 31, 2014	0
Balance at June 30, 2015	0
MHGE Other | Employee severance and other personal benefits
Restructuring Reserve [Roll Forward]
Restructuring charges	0
Payments for restructuring	0
MHGE Other | Lease termination costs
Restructuring Reserve [Roll Forward]
Restructuring charges	0
Payments for restructuring	$ 0

Guarantor Financial Informati67

Guarantor Financial Information - Income Statement (Details) - USD ($) $ in Thousands	3 Months Ended		6 Months Ended
	Jun. 30, 2015	Jun. 30, 2014	Jun. 30, 2015	Jun. 30, 2014
Condensed Income Statements, Captions [Line Items]
Revenue	$ 250,926	$ 251,745	$ 450,740	$ 456,316
Cost of goods sold	74,428	71,184	129,887	125,004
Gross profit	176,498	180,561	320,853	331,312
Operating expenses
Operating & administration expenses	138,989	153,736	286,020	321,937
Depreciation	5,657	3,911	12,541	8,911
Amortization of intangibles	23,253	31,097	46,648	56,746
Transaction costs	0	856	0	3,421
Total operating expenses	167,899	189,600	345,209	391,015
Operating (loss) income	8,599	(9,039)	(24,356)	(59,703)
Interest expense (income), net	31,816	35,827	66,297	80,146
Equity in (income) loss of subsidiaries	0	0	0	0
Other (income)	(6,054)	(1,275)	(7,329)	(9,879)
(Loss) income from operations before taxes on income	(17,163)	(43,591)	(83,324)	(129,970)
Income tax (benefit) provision	(3,997)	10,153	(25,870)	(18,939)
Net (loss) income	(13,166)	(53,744)	(57,454)	(111,031)
Less: Net (income) loss attributable to noncontrolling interests	0	181	0	299
Net (loss) income attributable to McGraw-Hill Global Education Intermediate Holdings, LLC	(13,166)	(53,563)	(57,454)	(110,732)
Comprehensive (loss) income attributable to McGraw-Hill Global Education Intermediate Holdings, LLC	(3,167)	(43,517)	(62,492)	(101,458)
Eliminations
Condensed Income Statements, Captions [Line Items]
Revenue	0	0	0	0
Cost of goods sold	0	0	0	0
Gross profit	0	0	0	0
Operating expenses
Operating & administration expenses	(344)	(1,524)	(290)	(2,985)
Depreciation	0	0	0	0
Amortization of intangibles	0	0	0	0
Transaction costs		0		0
Total operating expenses	(344)	(1,524)	(290)	(2,985)
Operating (loss) income	344	1,524	290	2,985
Interest expense (income), net	0	0	0	0
Equity in (income) loss of subsidiaries	15,653	(5,769)	(15,760)	(44,175)
Other (income)	0	0	0	0
(Loss) income from operations before taxes on income	(15,309)	7,293	16,050	47,160
Income tax (benefit) provision	(2,004)	(6,993)	6,220	4,501
Net (loss) income	(13,305)	14,286	9,830	42,659
Less: Net (income) loss attributable to noncontrolling interests		0		0
Net (loss) income attributable to McGraw-Hill Global Education Intermediate Holdings, LLC		14,286		42,659
Comprehensive (loss) income attributable to McGraw-Hill Global Education Intermediate Holdings, LLC	(13,305)	14,286	9,830	42,659
MHGE Intermediate
Condensed Income Statements, Captions [Line Items]
Revenue	0	0	0	0
Cost of goods sold	0	0	0	0
Gross profit	0	0	0	0
Operating expenses
Operating & administration expenses	875	875	1,750	1,750
Depreciation	0	0	0	0
Amortization of intangibles	0	0	0	0
Transaction costs		856		3,421
Total operating expenses	875	1,731	1,750	5,171
Operating (loss) income	(875)	(1,731)	(1,750)	(5,171)
Interest expense (income), net	31,941	35,910	65,814	80,325
Equity in (income) loss of subsidiaries	(15,653)	5,769	15,760	44,175
Other (income)	0	0	0	0
(Loss) income from operations before taxes on income	(17,163)	(43,410)	(83,324)	(129,671)
Income tax (benefit) provision	(3,997)	10,153	(25,870)	(18,939)
Net (loss) income	(13,166)	(53,563)	(57,454)	(110,732)
Less: Net (income) loss attributable to noncontrolling interests		0		0
Net (loss) income attributable to McGraw-Hill Global Education Intermediate Holdings, LLC		(53,563)		(110,732)
Comprehensive (loss) income attributable to McGraw-Hill Global Education Intermediate Holdings, LLC	(13,166)	(53,563)	(57,454)	(110,732)
Guarantor Subsidiaries
Condensed Income Statements, Captions [Line Items]
Revenue	176,870	171,940	331,992	327,458
Cost of goods sold	40,726	39,351	76,844	71,382
Gross profit	136,144	132,589	255,148	256,076
Operating expenses
Operating & administration expenses	96,642	110,819	202,395	232,920
Depreciation	5,605	2,805	12,489	6,928
Amortization of intangibles	21,461	40,986	43,299	62,389
Transaction costs		0		0
Total operating expenses	123,708	154,610	258,183	302,237
Operating (loss) income	12,436	(22,021)	(3,035)	(46,161)
Interest expense (income), net	0	0	0	0
Equity in (income) loss of subsidiaries	0	0	0	0
Other (income)	(1,275)	(1,275)	(2,550)	(9,879)
(Loss) income from operations before taxes on income	13,711	(20,746)	(485)	(36,282)
Income tax (benefit) provision	3,112	2,892	(617)	(974)
Net (loss) income	10,599	(23,638)	132	(35,308)
Less: Net (income) loss attributable to noncontrolling interests		0		0
Net (loss) income attributable to McGraw-Hill Global Education Intermediate Holdings, LLC		(23,638)		(35,308)
Comprehensive (loss) income attributable to McGraw-Hill Global Education Intermediate Holdings, LLC	10,599	(23,638)	132	(35,308)
Non-Guarantor Subsidiaries
Condensed Income Statements, Captions [Line Items]
Revenue	74,056	79,805	118,748	128,858
Cost of goods sold	33,702	31,833	53,043	53,622
Gross profit	40,354	47,972	65,705	75,236
Operating expenses
Operating & administration expenses	41,816	43,566	82,165	90,252
Depreciation	52	1,106	52	1,983
Amortization of intangibles	1,792	(9,889)	3,349	(5,643)
Transaction costs		0		0
Total operating expenses	43,660	34,783	85,566	86,592
Operating (loss) income	(3,306)	13,189	(19,861)	(11,356)
Interest expense (income), net	(125)	(83)	483	(179)
Equity in (income) loss of subsidiaries	0	0	0	0
Other (income)	(4,779)	0	(4,779)	0
(Loss) income from operations before taxes on income	1,598	13,272	(15,565)	(11,177)
Income tax (benefit) provision	(1,108)	4,101	(5,603)	(3,527)
Net (loss) income	2,706	9,171	(9,962)	(7,650)
Less: Net (income) loss attributable to noncontrolling interests		181		299
Net (loss) income attributable to McGraw-Hill Global Education Intermediate Holdings, LLC		9,352		(7,351)
Comprehensive (loss) income attributable to McGraw-Hill Global Education Intermediate Holdings, LLC	$ 12,705	$ 19,398	$ (15,000)	$ 1,923

Guarantor Financial Informati68

Guarantor Financial Information - Balance Sheet (Details) - USD ($)	Jun. 30, 2015	Dec. 31, 2014	Jun. 30, 2014	Dec. 31, 2013	Mar. 22, 2013
Current assets
Cash and equivalents	$ 46,617,000	$ 232,098,000	$ 52,222,000	$ 253,390,000
Accounts receivable	115,174,000	204,072,000
Due from related party	17,006,000	0
Inventories, net	77,231,000	76,992,000
Deferred income taxes	31,185,000	31,538,000
Prepaid and other current assets	50,570,000	30,710,000
Total current assets	337,783,000	575,410,000
Prepublication costs, net	79,347,000	80,980,000
Property, plant and equipment, net	91,207,000	91,926,000
Goodwill	474,909,000	477,324,000
Other intangible assets, net	857,591,000	906,665,000
Investments	554,000	9,219,000
Deferred income taxes non-current	72,088,000	43,440,000
Other non-current assets	109,514,000	101,510,000
Total assets	2,022,993,000	2,286,474,000
Current liabilities
Accounts payable	113,318,000	130,465,000
Accrued royalties	34,473,000	101,827,000
Accrued compensation and contributions to retirement plans	25,187,000	66,243,000
Deferred revenue	87,835,000	124,551,000
Current portion of long-term debt	6,792,000	6,880,000
Related party	0	889,000
Other current liabilities	92,043,000	89,160,000
Total current liabilities	359,648,000	520,015,000
Long-term debt	1,446,389,000	1,447,473,000
Deferred income taxes	7,651,000	8,288,000
Other non-current liabilities	45,712,000	48,839,000
Total liabilities	$ 1,859,400,000	$ 2,024,615,000
Commitments and contingencies
Equity
Member's equity	$ 335,107,000	$ 370,881,000
Accumulated deficit	(139,591,000)	(82,137,000)
Accumulated other comprehensive loss	(31,923,000)	(26,885,000)
Total equity	163,593,000	261,859,000
Total liabilities and equity	2,022,993,000	2,286,474,000
Eliminations
Current assets
Cash and equivalents	(348,291,000)	(284,256,000)	(216,106,000)	(116,024,000)
Accounts receivable	0	0
Due from related party	(254,321,000)	(253,071,000)
Inventories, net	290,000	(502,000)
Deferred income taxes	0	0
Prepaid and other current assets	(98,697,000)	(72,828,000)
Total current assets	(701,019,000)	(610,657,000)
Prepublication costs, net	0	0
Property, plant and equipment, net	0	0
Goodwill	0	0
Other intangible assets, net	0	0
Investments	(1,898,199,000)	(1,842,551,000)
Deferred income taxes non-current	0	0
Other non-current assets	0	0
Total assets	(2,599,218,000)	(2,453,208,000)
Current liabilities
Accounts payable	(348,291,000)	(284,256,000)
Accrued royalties	0	0
Accrued compensation and contributions to retirement plans	0	0
Deferred revenue	0	0
Current portion of long-term debt	0	0
Related party	(254,320,000)	(253,071,000)
Other current liabilities	(98,697,000)	(72,828,000)
Total current liabilities	(701,308,000)	(610,155,000)
Long-term debt	0	0
Deferred income taxes	0	0
Other non-current liabilities	0	0
Total liabilities	$ (701,308,000)	$ (610,155,000)
Commitments and contingencies
Equity
Member's equity	$ (1,810,907,000)	$ (1,746,220,000)
Accumulated deficit	(87,003,000)	(96,833,000)
Accumulated other comprehensive loss	0	0
Total equity	(1,897,910,000)	(1,843,053,000)
Total liabilities and equity	(2,599,218,000)	(2,453,208,000)
MHGE Intermediate
Current assets
Cash and equivalents	0	0	0	0
Accounts receivable	0	0
Due from related party	0	0
Inventories, net	0	0
Deferred income taxes	0	0
Prepaid and other current assets	102,199,000	74,577,000
Total current assets	102,199,000	74,577,000
Prepublication costs, net	0	0
Property, plant and equipment, net	0	0
Goodwill	0	0
Other intangible assets, net	0	0
Investments	1,826,281,000	1,842,551,000
Deferred income taxes non-current	0	0
Other non-current assets	60,559,000	63,004,000
Total assets	1,989,039,000	1,980,132,000
Current liabilities
Accounts payable	351,791,000	284,256,000
Accrued royalties	0	0
Accrued compensation and contributions to retirement plans	0	0
Deferred revenue	0	0
Current portion of long-term debt	6,792,000	6,880,000
Related party	0	0
Other current liabilities	31,184,000	31,186,000
Total current liabilities	389,767,000	322,322,000
Long-term debt	1,446,389,000	1,447,473,000
Deferred income taxes	0	0
Other non-current liabilities	0	0
Total liabilities	$ 1,836,156,000	$ 1,769,795,000
Commitments and contingencies
Equity
Member's equity	$ 292,474,000	$ 292,474,000
Accumulated deficit	(139,591,000)	(82,137,000)
Accumulated other comprehensive loss	0	0
Total equity	152,883,000	210,337,000
Total liabilities and equity	1,989,039,000	1,980,132,000
Guarantor Subsidiaries
Current assets
Cash and equivalents	354,759,000	466,617,000	223,515,000	301,985,000
Accounts receivable	46,352,000	122,047,000
Due from related party	271,327,000	253,071,000
Inventories, net	48,648,000	50,330,000
Deferred income taxes	22,745,000	22,745,000
Prepaid and other current assets	26,621,000	11,925,000
Total current assets	770,452,000	926,735,000
Prepublication costs, net	63,542,000	63,130,000
Property, plant and equipment, net	89,511,000	91,926,000
Goodwill	425,135,000	423,629,000
Other intangible assets, net	799,816,000	842,907,000
Investments	102,000	104,000
Deferred income taxes non-current	70,928,000	42,242,000
Other non-current assets	47,379,000	36,689,000
Total assets	2,266,865,000	2,427,362,000
Current liabilities
Accounts payable	97,034,000	115,594,000
Accrued royalties	25,749,000	89,796,000
Accrued compensation and contributions to retirement plans	15,731,000	50,615,000
Deferred revenue	82,779,000	117,211,000
Current portion of long-term debt	0	0
Related party	0	889,000
Other current liabilities	135,149,000	98,036,000
Total current liabilities	356,442,000	472,141,000
Long-term debt	0	0
Deferred income taxes	0	0
Other non-current liabilities	42,647,000	45,244,000
Total liabilities	$ 399,089,000	$ 517,385,000
Commitments and contingencies
Equity
Member's equity	$ 1,766,898,000	$ 1,809,231,000
Accumulated deficit	100,878,000	100,746,000
Accumulated other comprehensive loss	0	0
Total equity	1,867,776,000	1,909,977,000
Total liabilities and equity	2,266,865,000	2,427,362,000
Non-Guarantor Subsidiaries
Current assets
Cash and equivalents	40,149,000	49,737,000	$ 44,813,000	$ 67,429,000
Accounts receivable	68,822,000	82,025,000
Due from related party	0	0
Inventories, net	28,293,000	27,164,000
Deferred income taxes	8,440,000	8,793,000
Prepaid and other current assets	20,447,000	17,036,000
Total current assets	166,151,000	184,755,000
Prepublication costs, net	15,805,000	17,850,000
Property, plant and equipment, net	1,696,000	0
Goodwill	49,774,000	53,695,000
Other intangible assets, net	57,775,000	63,758,000
Investments	72,370,000	9,115,000
Deferred income taxes non-current	1,160,000	1,198,000
Other non-current assets	1,576,000	1,817,000
Total assets	366,307,000	332,188,000
Current liabilities
Accounts payable	12,784,000	14,871,000
Accrued royalties	8,724,000	12,031,000
Accrued compensation and contributions to retirement plans	9,456,000	15,628,000
Deferred revenue	5,056,000	7,340,000
Current portion of long-term debt	0	0
Related party	254,320,000	253,071,000
Other current liabilities	24,407,000	32,766,000
Total current liabilities	314,747,000	335,707,000
Long-term debt	0	0
Deferred income taxes	7,651,000	8,288,000
Other non-current liabilities	3,065,000	3,595,000
Total liabilities	$ 325,463,000	$ 347,590,000
Commitments and contingencies
Equity
Member's equity	$ 86,642,000	$ 15,396,000
Accumulated deficit	(13,875,000)	(3,913,000)
Accumulated other comprehensive loss	(31,923,000)	(26,885,000)
Total equity	40,844,000	(15,402,000)
Total liabilities and equity	$ 366,307,000	$ 332,188,000
Senior Notes | 9.75% First-Priority Senior Secured Notes due 2021
Condensed Balance Sheet Statements, Captions [Line Items]
Debt, face amount					$ 800,000,000

Guarantor Financial Informati69

Guarantor Financial Information - Cash Flow (Details) - USD ($) $ in Thousands	6 Months Ended
	Jun. 30, 2015	Jun. 30, 2014
Operating activities
Cash provided by operating activities	$ (112,655)	$ (92,099)
Investing activities
Investment in prepublication costs	(18,192)	(22,275)
Capital expenditures	(22,115)	(5,389)
Acquisitions	0	(55,494)
Proceeds from sale of investments	12,500	3,250
Proceeds from dispositions	103	8,768
Cash provided by (used for) investing activities	(27,704)	(71,140)
Financing activities
Payment of term loan	(3,744)	(38,440)
Dividend payment to MHGE Parent	(39,822)	0
Dividends paid to noncontrolling interests	0	(169)
Dividend on restricted stock units	300	0
Cash provided by (used for) financing activities	(43,866)	(38,609)
Effect of exchange rate changes on cash	(1,256)	680
Net change in cash and cash equivalents	(185,481)	(201,168)
Cash and cash equivalents at the beginning of the period	232,098	253,390
Cash and cash equivalents, ending balance	46,617	52,222
Eliminations
Operating activities
Cash provided by operating activities	(64,035)	(100,082)
Investing activities
Investment in prepublication costs	0	0
Capital expenditures	0	0
Acquisitions		0
Proceeds from sale of investments	0	0
Proceeds from dispositions	0	0
Cash provided by (used for) investing activities	0	0
Financing activities
Payment of term loan	0	0
Dividend payment to MHGE Parent	0
Dividends paid to noncontrolling interests		0
Dividend on restricted stock units	0
Cash provided by (used for) financing activities	0	0
Effect of exchange rate changes on cash	0	0
Net change in cash and cash equivalents	(64,035)	(100,082)
Cash and cash equivalents at the beginning of the period	(284,256)	(116,024)
Cash and cash equivalents, ending balance	(348,291)	(216,106)
MHGE Intermediate
Operating activities
Cash provided by operating activities	3,744	38,440
Investing activities
Investment in prepublication costs	0	0
Capital expenditures	0	0
Acquisitions		0
Proceeds from sale of investments	0	0
Proceeds from dispositions	0	0
Cash provided by (used for) investing activities	0	0
Financing activities
Payment of term loan	(3,744)	(38,440)
Dividend payment to MHGE Parent	0
Dividends paid to noncontrolling interests		0
Dividend on restricted stock units	0
Cash provided by (used for) financing activities	(3,744)	(38,440)
Effect of exchange rate changes on cash	0	0
Net change in cash and cash equivalents	0	0
Cash and cash equivalents at the beginning of the period	0	0
Cash and cash equivalents, ending balance	0	0
Guarantor Subsidiaries
Operating activities
Cash provided by operating activities	(46,969)	(57,394)
Investing activities
Investment in prepublication costs	(2,755)	(16,999)
Capital expenditures	(22,115)	(4,192)
Acquisitions		0
Proceeds from sale of investments	0	0
Proceeds from dispositions	103	115
Cash provided by (used for) investing activities	(24,767)	(21,076)
Financing activities
Payment of term loan	0	0
Dividend payment to MHGE Parent	(39,822)
Dividends paid to noncontrolling interests		0
Dividend on restricted stock units	300
Cash provided by (used for) financing activities	(40,122)	0
Effect of exchange rate changes on cash	0	0
Net change in cash and cash equivalents	(111,858)	(78,470)
Cash and cash equivalents at the beginning of the period	466,617	301,985
Cash and cash equivalents, ending balance	354,759	223,515
Non-Guarantor Subsidiaries
Operating activities
Cash provided by operating activities	(5,395)	26,937
Investing activities
Investment in prepublication costs	(15,437)	(5,276)
Capital expenditures	0	(1,197)
Acquisitions		(55,494)
Proceeds from sale of investments	12,500	3,250
Proceeds from dispositions	0	8,653
Cash provided by (used for) investing activities	(2,937)	(50,064)
Financing activities
Payment of term loan	0	0
Dividend payment to MHGE Parent	0
Dividends paid to noncontrolling interests		(169)
Dividend on restricted stock units	0
Cash provided by (used for) financing activities	0	(169)
Effect of exchange rate changes on cash	(1,256)	680
Net change in cash and cash equivalents	(9,588)	(22,616)
Cash and cash equivalents at the beginning of the period	49,737	67,429
Cash and cash equivalents, ending balance	$ 40,149	$ 44,813

Transactions with Sponsors (Det

Transactions with Sponsors (Details) - USD ($)	Mar. 22, 2013	Jun. 30, 2015	Jun. 30, 2014	Jun. 30, 2015	Jun. 30, 2014
Related Party Transaction [Line Items]
Sponsor fees		$ 875,000	$ 875,000	$ 1,750,000	$ 1,750,000
MHGE Holdings | Apollo Management VII, L. P.
Related Party Transaction [Line Items]
Annual management fee	$ 3,500,000
Sponsor fees		$ 875,000	$ 875,000	$ 1,750,000	$ 1,750,000
MHGE Holdings | Apollo Management VII, L. P. | Services for Structuring the Founding Transactions
Related Party Transaction [Line Items]
Expenses from transactions with related party	$ 25,000,000
MHGE Holdings | Apollo Management VII, L. P. | Financial Advisory Services
Related Party Transaction [Line Items]
Related party transaction rate	1.00%

Related Party Transactions - Na

Related Party Transactions - Narrative (Details) - USD ($)

May. 04, 2015

Apr. 03, 2015

Feb. 02, 2015

Mar. 24, 2014

Aug. 01, 2013

Mar. 22, 2013

Jun. 30, 2014

Jun. 30, 2014

Dec. 31, 2015

Dec. 31, 2014

Jun. 30, 2015

Apr. 01, 2015

Jul. 17, 2014

Related Party Transaction [Line Items]

Payment of acquisition costs on behalf of parent

$ 28,672,000

Line of Credit

Related Party Transaction [Line Items]

Long-term debt

$ 663,555,000

$ 661,847,000

MHGE Parent | Payment in Kind (PIK) Note | Senior PIK Toggle Notes due 2019

Related Party Transaction [Line Items]

Debt, face amount

$ 100,000,000

$ 400,000,000

Debt discount percentage

1.00%

Debt, stated interest rate

8.50%

Debt, payment in kind interest percentage

9.25%

Debt, semi-annual interest payment

$ 21,500,000

$ 18,322,000

Debt, percentage of semi-annual interest due utilizing payment in kind, minimum

0.00%

Debt, percentage of semi-annual interest due utilizing payment in kind, midpoint

50.00%

Debt, percentage of semi-annual interest due utilizing payment in kind, maximum

100.00%

MHC | Service Charges and Allocations and Transaction Services

Related Party Transaction [Line Items]

Expenses from transactions with related party

$ 1,982,000

$ 3,152,000

MHSE Holdings | Reseller Agreement with Exclusivity Provision | ALEKS Corporation

Related Party Transaction [Line Items]

Reseller agreement, proceeds from exclusivity fee

$ 25,500,000

Royalty proceeds rate, percent of net sales

15.00%

Reseller agreement, period of revenue recognition

5 years

Proceeds from royalties advance received

$ 12,500,000

Spouse of David Levin, President and Chief Executive Officer | Leadership Workshops [Member]

Related Party Transaction [Line Items]

Expenses from transactions with related party

$ 133,000

Forecast | Spouse of David Levin, President and Chief Executive Officer | Leadership Workshops [Member]

Related Party Transaction [Line Items]

Expenses from transactions with related party

$ 248,000

Term Loan Facility | Credit Suisse AG | Line of Credit

Related Party Transaction [Line Items]

Debt discount percentage

3.00%

Line of credit, voluntary payment, principal

$ 35,000,000

Long-term debt

$ 687,925,000

Line of credit, periodic payment, principal

$ 2,025,000

Debt discount, quarterly amortization rate

0.25%

0.25%

Term Loan Facility | Credit Suisse AG | MHGE Parent | Line of Credit

Related Party Transaction [Line Items]

Line of credit, voluntary payment, principal

$ 326,000

Long-term debt

679,000,000

Line of credit, periodic payment, principal

$ 1,698,000

$ 1,720,000

Debt discount, quarterly amortization rate

0.25%

London Interbank Offered Rate (LIBOR) | Term Loan Facility | Credit Suisse AG | Line of Credit

Related Party Transaction [Line Items]

Basis spread on variable rate

4.75%

7.75%

Variable rate, floor

1.00%

1.25%

London Interbank Offered Rate (LIBOR) | Term Loan Facility | Credit Suisse AG | MHGE Parent | Line of Credit

Related Party Transaction [Line Items]

Basis spread on variable rate

3.75%

4.75%

Variable rate, floor

1.00%

Supplemental Parent Company E72

Supplemental Parent Company Equity Information (Details) - USD ($) $ in Thousands	3 Months Ended		6 Months Ended		12 Months Ended
	Jun. 30, 2015	Jun. 30, 2014	Jun. 30, 2015	Jun. 30, 2014	Dec. 31, 2014
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Beginning balance			$ 261,859	$ 223,268	$ 223,268
Comprehensive loss, net of tax	$ (3,167)	$ (43,698)	(62,492)	(101,757)	(13,537)
Capital contribution					42,500
Georgia Holdings shares for acquisition earn out					8,500
Acquisition of non-controlling interest					(27,450)
Stock-based compensation			4,137		7,288
Dividend on restricted stock units			(712)		(1,189)
Non-cash capital contribution					22,648
Dividends paid to non-controlling interests					(169)
Non-cash capital distribution			(39,199)
Ending balance	163,593		163,593		261,859
Parent
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Beginning balance			261,859	199,778	199,778
Comprehensive loss, net of tax			(62,492)		(12,851)
Capital contribution					42,500
Georgia Holdings shares for acquisition earn out					8,500
Acquisition of non-controlling interest					(4,815)
Stock-based compensation			4,137		7,288
Dividend on restricted stock units			(712)		(1,189)
Non-cash capital contribution					22,648
Non-cash capital distribution			(39,199)
Ending balance	163,593		163,593		261,859
Noncontrolling Interest
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Beginning balance			0	$ 23,490	23,490
Comprehensive loss, net of tax					(686)
Acquisition of non-controlling interest					(22,635)
Dividends paid to non-controlling interests					(169)
Ending balance	$ 0		$ 0		$ 0