Press Room

Third Quarter 2009 Results from The Nielsen Company

New York, USA – November 12, 2009 – The Nielsen Company B.V., a leading global information and media company, today announced its financial results for the three and nine months ended September 30, 2009.

Reported revenues for the three months ended September 30, 2009 were $1,250 million, a decrease of 1% over reported revenues for the three months ended September 30, 2008 of $1,260 million.  Excluding the impact of currency fluctuations*, revenues for the three months increased 3%. 

Reported operating loss for the three months ended September 30, 2009 was $393 million compared to operating income of $124 million for the three months ended September 30, 2008.  These results were negatively impacted by a non-cash charge related to the impairment of goodwill and intangible assets of $582 million and the impact of fluctuations in foreign currency exchange rates, partly offset by lower restructuring.  Adjusting for these items, operating income, on a constant currency basis*, increased 16%.

Reported revenues for the nine months ended September 30, 2009 were $3,610 million, a decrease of 4% over reported revenues for the nine months ended September 30, 2008 of $3,778 million.  Excluding the impact of currency fluctuations*, revenues for the nine months increased 2%. 

Reported operating loss for the nine months ended September 30, 2009 was $100 million compared to operating income of $408 million for the nine months ended September 30, 2008.  The 2009 results included a non-cash charge related to the impairment of goodwill and intangible assets of $582 million as well as $9 million of charges relating to restructuring costs. The 2008 results included $62 million of charges relating to restructuring costs.  Adjusting for these items, operating income, on a constant currency basis*, increased 12%.

Covenant earnings before interest, taxes, depreciation and amortization and other adjustments permitted under our senior secured credit facilities (“Covenant EBITDA”) was $1,311 million for the twelve month period ended September 30, 2009.  Covenant EBITDA is a non – GAAP measure.  See “Covenant EBITDA” below for a reconciliation of Loss from continuing operations of $1,028 million for the twelve months ended September 30, 2009 to Covenant EBITDA.

As of September 30, 2009, total debt was $8,745 million, and cash balances were $409 million. Capital expenditures were $204 million for the nine months ended September 30, 2009, compared with $253 million for the nine months ended September 30, 2008.

Conference Call and Webcast

The Nielsen Company will hold an earnings conference call, hosted by The Nielsen Company’s Chief Financial Officer Brian J. West, at 9:00 a.m. U.S. Eastern Standard Time (EST) on Thursday, November 12, 2009.  The call will be audio-webcast live and an archive will be available on the website after the call.  In addition, the company’s quarterly financial report on Form 10-Q has been posted online.

 
Forward-looking Statements

This news release includes information that could constitute forward-looking statements made pursuant to the safe harbor provision of the Private Securities Litigation Reform Act of 1995.  These statements may be identified by words such as ‘expect’, ‘should’, ‘could’, ‘shall’ and similar expressions.  These statements are subject to risks and uncertainties, and actual results and events could differ materially from what presently is expected.  Factors leading thereto may include without limitations general economic conditions, conditions in the markets Nielsen is engaged in, behavior of customers, suppliers and competitors, technological developments, as well as legal and regulatory rules affecting Nielsen’s business.  This list of factors is not intended to be exhaustive.  We assume no obligation to update any written or oral forward-looking statement made by us or on our behalf as a result of new information, future events, or other factors.

NOTE: Additional detail regarding results (tables, etc.), can be found in the PDF download version of this release.