moody's 2013 investor presentation

8/22/2019 Moody's 2013 Investor Presentation

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Investor Presentation2Q 2013

AUGUST 6, 2013


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2AUGUST 6, 2013

Safe Harbor

Certain statements contained in this presentation are forward-looking statements and are based on future expectations, plans and prospects

forMoodys business and operations that involve a number of risks and uncertainties. Moodys outlook for 2013 and other forward-lookingstatements in this presentation are made as of July 24, 2013, and the Company disclaims any duty to supplement, update or revise such

statements on a going-forward basis, whether as a result of subsequent developments, changed expectations or otherwise. In connection

with the safeharbor provisions of the Private Securities Litigation Reform Act of 1995, the Company is identifying certain factors that could

cause actual results to differ, perhaps materially, from those indicated by these forward-looking statements. Those factors, risks and

uncertainties include, but are not limited to, the current world-wide credit market disruptions and economic slowdown, which is affecting and

could continue to affect the volume of debt and other securities issued in domestic and/or global capital markets; other matters that could

affect the volume of debt and other securities issued in domestic and/or global capital markets, including credit quality concerns, changes in

interest rates and other volatility in the financial markets; the uncertain effectiveness and possible collateral consequences of U.S. and foreign

government initiatives to respond to the economic slowdown; concerns in the marketplace affecting our credibility or otherwise affectingmarket perceptions of the integrity or utility of independent agency ratings; the introduction of competing products or technologies by other

companies; pricing pressure from competitors and/or customers; the impact of regulation as an NRSRO, the potential for new U.S., state and

local legislation and regulations, including provisions in the Dodd-Frank Wall Street Reform and Consumer Protection Act and anticipated

regulations resulting from the law; the potential for increased competition and regulation in the EU and other foreign jurisdictions; exposure to

litigation related to our rating opinions, as well as any other litigation to which the Company may be subject from time to time; provisions in

the Dodd-Frank Act legislation modifying the pleading standards, and EU regulations modifying the liability standards, applicable to credit

rating agencies in a manner adverse to rating agencies; provisions of EU regulations imposing additional procedural and substantive

requirements on the pricing of services; the possible loss of key employees; failures or malfunctions of our operations and infrastructure; any

vulnerabilities to cyber threats or other cybersecurity concerns; the outcome of any review by controlling tax authorities of the Companysglobal tax planning initiatives; the outcome of those legacy tax matters and legal contingencies that relate to the Company, its predecessors

and their affiliated companies for which Moodys has assumed portions of the financial responsibility; the ability of the Company to successfully

integrate acquired businesses; currency and foreign exchange volatility; a decline in the demand for credit risk management tools by financial

institutions; and other risk factors as discussed in the Companys annual report on Form 10-K for the year ended December 31, 2012 and in

other filings made by the Company from time to time with the Securities and Exchange Commission.


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Table of Contents

1. Introduction2. Macroeconomic Environment

3. Financial Overview

4. Moodys Investors Service (MIS)

5. Moodys Analytics (MA)

6. Conclusion

7. Appendix


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Introduction

1


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5

*TTM as of June 30, 2013. Represents consolidated financials excluding intersegment royalty and eliminations.

Overview of Moodys Corporation

$2,05170%

$87930%

MoodysTTM Revenue: $2.9 billion*

Leading global provider of credit rating opinions, insight and

tools for financial risk measurement and management

Research, data and software for financial riskanalysis and related professional services

Independent provider of credit rating opinionsand related information for over 100 years

($ millions)

Introduction | Macroeconomic Environment | Financial Overview | Moodys Investors Service | Moodys Analytics | Conclusion | Appendix


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Macroeconomic Environment

2


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Despite Recent Rate Move Upward, All-in Financing CostsAre Still Historically Low

0%

5%

10%

15%

20%

25%

0%

5%

10%

15%

20%

Jul-80 Jul-83 Jul-86 Jul-89 Jul-92 Jul-95 Jul-98 Jul-01 Jul-04 Jul-07 Jul-10 Jul-13

10-yr US Treasury Yield: % (L)Global IG Corporate Yield: % (L)

Global HY Corporate Yield: % (R)

Introduction| Macroeconomic Environment | Financial Overview | Moodys Investors Service | Moodys Analytics | Conclusion | Appendix

Source: US Federal Reserve, Barclays and Moodys Capital Markets Research Group.


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Despite a Sustained Period of Low Interest Rates,Average Years to Maturity Has Increased By Less Than aYear

*Year-to-date through July 2013.Source: Moodys Capital Markets Research Group, Dealogic.

6.5 6.5 6.7 6.67.0

7.3

2008 2009 2010 2011 2012 YTD2013*

Average Years To Maturity: Global Corporate Issues



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$0

$50

$100

$150

$200$250

2014 2015 2016 2017

$Billions

Debt Maturities: U.S. Moodys-RatedCorporate Bonds and Loans

Investment-Grade BondsSpeculative-Grade BondsSpeculative-Grade Bank Loans

Source: Moodys Investors Service, February 2013.

Non-Financial Corporates Still Have Significant RefundingNeeds, Especially in 2016 and 2017

$0

$50

$100

$150

$200$250

2014 2015 2016 2017

$Billions

Debt Maturities: EMEA Moodys-RatedCorporate Bonds and Loans

Investment-Grade BondsSpeculative-Grade BondsSpeculative-Grade Bank Loans

Source: Moodys Investors Service, July 2013.

$0

$50

$100

$150

$200

$250

2014 2015 2016

$Billions

Debt Maturities: Asia Pacific Moodys-RatedCorporate Bonds and Loans

Investment-Grade Bonds Speculative-Grade Bonds

Sources: Moodys Investors Service and Bloomberg, February 2013.


Per Barclays, outstanding debt levels

indicate record USD debt maturities over the

next 10 years:

$1.5 trillion of non-financial corporate

investment grade bonds

$1.1 trillion of speculative grade bonds

Source: Barclays, July 31, 2013.


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M&A, Equity Buybacks and Capital Expenditures CanDrive Issuance

Source: Moodys Capital Markets Research Group. U.S. M&A Volume and USD Bond Issuance as of 6/30/13. U.S. CapEx and U.S. Stock Buybacks as of 3/31/13.

$0

$200

$400

$600

$800

$1,000

$1,200

$0

$500

$1,000

$1,500

$2,000

$2,500

Jun-03 Jun-05 Jun-07 Jun-09 Jun-11 Jun-13

$Billions

U.S. M&A Volume and Bond IssuanceU.S. M&A Volume, TTM (L) USD Bond Issuance, TTM (R)

$0

$200

$400

$600

$800

$1,000

$1,200

$0

$200

$400

$600

$800

$1,000


$Billions

U.S. Stock Buybacks and Bond IssuanceNet Equity Buybacks: U.S. Non-Financial Firms, TTM (L)

USD Bond Issuance, TTM (R)

$0

$200

$400

$600

$800

$1,000

$1,200

$0

$200

$400

$600

$800

$1,000

$1,200

$1,400


$Billio

ns

U.S. CapEx and Bond IssuanceCapEx: Business Investment in Equipment & Software,annualized, seasonally-adjusted (L)USD Bond Issuance, TTM (R)



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Emerging Markets Have Rapidly Expanding BondIssuance

$0

$50

$100

$150

$200

$250

$300

$350

Jun-97 Jun-99 Jun-01 Jun-03 Jun-05 Jun-07 Jun-09 Jun-11 Jun-13

$Billions

Emerging Markets Corporate Bond Rated Issuance*

*Moving 12 month sum; includes rated investment grade and high yield corporate bond issuance (financial and non-financial).Sources: Dealogic, Moodys Capital Markets Research Group.



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$0

$1,000

$2,000

$3,000

$4,000

$5,000

$6,000

$7,000

Europe*** United States

$

Billions

Bonds Bank Loans**

20%$2,500

$3,000

$3,500

$4,000

$4,500

$5,000

$5,500

$6,000

$0

$500

$1,000

$1,500

$2,000

$2,500

$3,000

$Billions

Bonds* (L) Bank Loans** (R)

European Capital Markets Have Room For Growth

January 2000 - May 2013 CAGR: Bonds: 16%, Loans: 4%

Historically, European companies have relied more on banks than their American counterparts

Sources: Federal Reserve, ECB, Barcap Indices, Moodys Capital Markets Research Group. Data as of May 31, 2013.*Includes Investment Grade and High Yield euro and sterling denominated debt.**Includes Eurozone and UK bank loans.***European bond data represents euro and sterling denominated debt. European loan data represents Eurozone and UK bank loans.

80%48%

52%

(as of May 31, 2013)

European Non-FinancialCorporate Bank Loans vs. Bonds

European and U.S. Non-Financial CorporateBank Loans and Bonds



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Newly Rated Corporate Issuers Have Been AccessingGlobal Bond Markets

Source: Moodys Investors Service.*Rated by Moodys Investors Service. **YTD 2013 data as of July 26, 2013.

0

100

200

300

400

500

600

700

2008 2009 2010 2011 2012 YTD

2013**

Annual Count of Newly Rated Non-Financial Corporate Issuers*

Europe U.S. Emerging Markets (ex-Europe) Rest of World


Majority of first time ratings are from speculative grade issuers


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Historically, Rising Interest Rates Have Not Had aSignificant Impact on Moodys Revenue

8.1%

6.7% 6.7%5.8%

7.8%

5.6%6.4%

5.7%

4.6%

6.4%

5.1%

0.0%

2.0%

4.0%

6.0%

8.0%

10.0%

$0

$100

$200

$300

$400

$500

$600

$700

1990 1991 1992 1993 1994 1995 1996 1997 1998 1999 2000

$Millions

Revenue (L) U.S. Treasury 10-Year Yield: % (R)

Source: Bloomberg

Following interest rate increases in the period from 1993 to 1994, revenue was down slightly in 1994

Moodys still experienced solid growth amidst rising rates during the period from 1998 to 2000

Moody's is now more diversified both geographically and in terms of the type of entities rated than it was in the early 1990s

when U.S. public finance comprised the largest portion of the MIS business

Moodys Analytics research business, now a larger part of Moodys business and supplemented by enterprise risk

solutions and professional services, is less correlated with interest rates



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Moodys Revenue Does Not Directly Tie to Issuance

$0

$100

$200

$300

$400

$500

$600

$700

$800

$0

$200

$400

$600

$800

$1,000

$1,200

$1,400

$1,600

$1,800

1Q'08

2Q'08

3Q'08

4Q'08

1Q'09

2Q'09

3Q'09

4Q'09

1Q'10

2Q'10

3Q'10

4Q'10

1Q'11

2Q'11

3Q'11

4Q'11

1Q'12

2Q'12

3Q'12

4Q'12

1Q'13

2Q'13

Revenue$Millions

Issuance

$Billions

MCO Revenue vs. Issuance By Quarter

Issuance* MCO Revenue


*Global investment grade bonds, global high yield bonds, U.S. high yield bank loans, global structured finance, and U.S. municipal issuance.Source: Moodys Capital Markets Research Group, Dealogic, AB Alert, CM Alert, Bond Buyer. U.S. High Yield Bank Loans represent Moodys rated new U.S. bank loan programs.Debt issuance categories do not directly correspond to Moodys revenue categorizations.


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Financial Overview

3


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CorporateFinance

35%

StructuredFinance

13%

FinancialInstitutions

11%

Public, Project& Infrastructure

12%

Research, Data& Analytics

17%

Enterprise RiskSolutions

8%

ProfessionalServices

4%

48%35%

79%

52%65%

21%

MCO MIS MA

Transaction

Recurring

Breadth of Moodys Businesses and Global FootprintProvide Diversification

United States54%

EMEA29%

OtherInternational

17%

2Q 2013 REVENUE BY BUSINESS 2Q 2013 REVENUE BY GEOGRAPHY

2Q 2013 REVENUE BY TYPE TRANSACTION AND RECURRING REVENUE

Moodys Investors Service

Transaction revenue recognized when rating published

Recurring revenue recognized ratably over security life

Moodys Analytics

Transaction revenue recognized when service rendered

Recurring revenue recognized ratably over contractperiod



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Moodys has Delivered Strong Revenue* Performance

*Historical data has been adjusted to conform with current information. Represents revenue excluding intercompany royalties and license fees.**Guidance as of July 24, 2013.

$0

$400

$800

$1,200

$1,600

$2,000

$2,400

$2,800

$3,200

2008 2009 2010 2011 2012 2013F**

Revenuein$M

illions

Corporate Finance Structured Finance Financial Institutions PPIF Moody's Analytics

2013 Revenue GuidanceRange**:

high-single-digit %



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We Expect Margin Expansion and Double-Digit EPSGrowth Again in 2013*

42.6%

38.3% 38.0%39.0% 39.5%

41.0%to42.0%

46.8%

42.8%41.3%

42.4% 43.3%

44.0%to

45.0%

25%

30%

35%

40%

45%

50%

2008 2009 2010 2011 2012 2013F*

Operating Margin Adj. Operating Margin**

Margin Performance

$1.87$1.69

$2.15

$2.49

$3.05

$3.49to

$3.59

$1.00

$1.50

$2.00

$2.50

$3.00

$3.50

$4.00

2008 2009 2010 2011 2012 2013F*

EPS

EPS Growth

Margin expansion for 2013is expected to be between

150 and 250 bps

*Guidance as of July 24, 2013. Operating Margin and Adjusted Operating Margin include the Q1 2013 litigation settlement charge. Non-GAAP FY 2013 EPS guidance rangeexcludes the Q1 2013 litigation settlement charge of $0.14 per share. See Appendix for reconciliation of 2013 forecasted Non-GAAP EPS to forecasted GAAP EPS.**See Appendix for reconciliation of Operating Margin to Adjusted Operating Margin.

Excludes litigationsettlement charge

Includes litigationsettlement charge



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*Guidance as of July 24, 2013.** See Appendix for reconciliation of Cash Flow from Operations to Free Cash Flow.

Moodys has Strong Cash Flow Generation and ModestCapital Expenditures

$455

$553$574

$736$778

~$850

$84 $91 $79 $68 $45 ~ $500%

2%

4%

6%

8%

10%

12%

14%

16%

18%

20%

$0

$100

$200

$300

$400

$500

$600

$700

$800

$900

2008 2009 2010 2011 2012 2013F*

$Millions

Free Cash Flow (L)** Capital Expenditures (L) Capex as a % of Revenue (R)



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$593

$224

$334

$197

$1,000

$0

$200

$400

$600

$800

$1,000

2008 2009 2010 2011 2012 2013F

$Millions

We Strive for a Balanced Approach to Return of Capitalthrough Share Repurchases and Dividends

Share Repurchases

As of July 24, 2013, share repurchases nowanticipated to total $1 billion in FY 2013

$1.3 billion of share repurchase authority

remaining as of June 30, 2013

$0.40 $0.40 $0.42

$0.54

$0.64

$0.40

$0.00

$0.20

$0.40

$0.60

$0.80

2008 2009 2010 2011 2012 2013YTD

Dividends

Annualized dividend increased by 25% on July24, 2013 to $1.00 per share

Yield as of August 5, 2013 is 1.44%

* Guidance as of July 24, 2013.** Subject to market conditions and other ongoing capital allocation decisions.

*,**



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22AUGUST 6, 2013

$1.8$1.6

$0.4 ($0.4)($0.1) ($0.0) ($0.0)

-$2.0

-$1.5

-$1.0

-$0.5

$0.0

$0.5

$1.0

$1.5

$2.0

$2.5

Cash Balance asof 12/31/12

Cash Flow fromOperations

ShareRepurchases

Dividends Capex Other Cash Balance asof 6/30/13

Debt Outstandingas of 6/30/13

$Billions

Strong Cash Flow Supports a Healthy Balance Sheet

As of June 30, 2013 MCO Debt/EBITDA was approximately1.3x

$1 billion undrawn credit facility

Well within investment-grade credit rating (BBB+ from S&P) and debt covenant requirements


50%

50%

39%

61%

$1.6

U.S. Non-U.S Source of Cash Use of Cash


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Mix of Secular and Cyclical Trends Continue to ProvideMoodys with Robust Long-Term Opportunities forGrowth

Text Here

~2-4%

Debt marketissuance driven byglobal GDP growth

~2-3% ~2-3% ~4%

Disintermediationof credit markets inboth developed andemergingeconomies drivingboth issuance and

demand for newproducts andservices

Growth in MoodysAnalytics driven byfurther penetrationof MAs client baseand expansion ofbank and insurance

regulatoryrequirements

Pricing initiativesaligned with value

Revenue Growth Opportunity: Low-Double-Digit % (on average)



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24

Full-Year 2013 Guidance as of July 24, 2013

Revenue: high-single-digit % range

Operating Expenses: mid-single-digit % range, includes 1Q litigationsettlement charge

Operating Margin: 41% to 42%, includes 1Q litigation settlement charge

Adjusted Operating Margin*: 44% to 45%, includes 1Q litigation settlement charge

Effective Tax Rate: Approximately 32%

Earnings Per Share**: $3.49 - $3.59, excludes 1Q litigation settlement charge

Share Repurchases: Approximately $1 billion (subject to available

cash, market conditions, and other ongoing

capital allocation decisions)

Capital Expenditures: Approximately $50 million

Depreciation & Amortization: Approximately $100 million

Incremental Compliance & Regulatory Expenses: Approximately $10 million to $15 million

Free Cash Flow***: Approximately $850 million

*See Appendix for reconciliation of Operating Margin to Adjusted Operating Margin.** See Appendix for reconciliation of 2013 forecasted Non-GAAP EPS to forecasted GAAP EPS.***See Appendix for reconciliation of Cash Flow from Operations to Free Cash Flow.



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4


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$0

$500

$1,000

$1,500

$2,000

2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012

$Millions

Corporate Finance Financial Institutions Public, Project, Infrastructure Structured Finance

Moodys Investors Service Financial Profile2Q13 Revenue: $537 million*

Revenue History*,**

63% recurring revenue




17%

16%

StructuredFinance,

18%

CorporateFinance,

49%

Public, Project,& Infrastructure

Finance,

FinancialInstitutions,

35%

65%

Transaction Recurring

58%

42%

U.S. Non-U.S.

*Excludes intersegment royalty revenues.** Prior to 2008, data excludes MIS research revenue. 2004 2008 line of business data has been adjusted to conform with current information.



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2%

4%

6%

8%

10%

$0

$100

$200

$300

$400

$500

$600

$700

1Q2011

2Q2011

3Q2011

4Q2011

1Q2012

2Q2012

3Q2012

4Q2012

1Q2013

2Q2013

$Billions

Issuance By Quarter*

USD Investment Grade Bond Issuance (L) USD High Yield Bond Issuance (L)

U.S. Speculative Grade Bank Loan Origination (L) U.S. Investment Grade Corporate Bond Yield: %** (R)

U.S. High Yield Corporate Bond Yield: %** (R)

After June Swoon Corporate Bond Issuance Increasedin July, Especially in Investment Grade

*Debt issuance categories do not directly correspond to Moodys revenue categorization. Historical bond issuance data is sourced from Dealogic and Moodys Capital Markets ResearchGroup.**Yield data is sourced from Barclays Capital and Moodys Capital Markets Research Group. % yield on last day of each respect ive time period.

2%

4%

6%

8%

10%

$0

$50

$100

$150

$200

$250

April

2013

May

2013

June

2013

July

2013

$Billions

Issuance By Month*



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-40%

-20%

0%

20%

40%

2011 2012 1Q13 2Q13

U.S. Non-U.S.

However, our Structured Finance Ratings BusinessRemains a Tale of Two Regions

Structured Finance Ratings Revenue by Geography YOY % Change

In 2Q13, U.S. structured finance revenue increased 29 % year-over-year, due to strength in issuance

of commercial mortgage-backed securities

Non-U.S. structured finance revenue was down 17% against the prior-year period, primarily reflecting

weaker issuance volumes in European residential mortgage-backed and asset-backed securities



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29

MIS Full-Year 2013 Revenue Guidance as of July 24, 2013

Global: high-single-digit % range

U.S.: high-single-digit % range

Non-U.S.: high-single-digit % range

Corporate Finance: low-teens % range

Structured Finance: low-single-digit % range

Financial Institutions: low-single-digit % range

Public, Project & Infrastructure: low-double-digit % range



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Moodys Analytics

5


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Moodys Analytics Helps Financial Institutions Manage Risk

InstitutionalInvestors CommercialBanks InsuranceCompanies Fixed IncomeTrading Desks Governments

Our customers

Credit research and analytics

Risk management software tools

Stress-testing capabilities / CCAR*

Credit / financial training and certifications

Cash flow valuations for securitized instruments

Economic and demographic data sets

Econometric modeling expertise and creditforecasting

Outsourced research and analytical capabilities

for which Moodys Analytics has solutions

Manage portfolio credit risk

Monitor counterparty exposures

Analyze liquidity risk and asset liability matching

Calculate economic / regulatory capital positions

Assess intrinsic value of complex / illiquid

instrumentsMake projections about economic conditions

have requirements

*Comprehensive Capital Analysis and Review



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Research,Data andAnalytics,

60% EnterpriseRisk

Solutions,27%

ProfessionalServices,

13%

Combination of one-off contracts and

semi-recurring revenue

Moodys Analytics Financial Profile

Revenue History*,**

$0

$200

$400

$600

$800

$1,000

2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012

$

Millions

* Excludes intersegment license revenues.**Prior to 2008, data reflects MIS research revenue and Moodys KMV revenue. 2004 - 2012 data also includes revenue from acquisitions.

2Q13 Revenue: $218.7 million*

79%

21%

Transaction Recurring

~100% recurring revenue Mid-90% renewal rates

Approximately two-thirds recurringrevenue

44%

56%

U.S. Non-U.S.



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33AUGUST 6, 2013

Research, Data and Analytics Business Has GrownDespite Weakness in Financial Services Employment

Pricing model limits exposure to customer contraction

$350

$400

$450

$500

$550

6.5

6.7

6.9

7.1

7.3

7.5

$Millions

Millionsofjobs

U.S. and U.K Financial Services Employment* (L)RD&A Sales - Annualized Contract Value (R)

*U.S. and U.K. financial services employment data only available through Q1 2013. Source: U.S. Bureau of Labor Statistics and the U.K. Office for National Statistics, respectively.



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Enterprise Risk Solutions Metrics Exhibits a SeasonalRevenue Pattern

ERS Sales by Type ERS Revenue by Type

Maintenance and Subscription revenues are recurring and represent approximately two-thirds of total revenues

Renewed annually and recognized over annual contract periods

License and Service revenues are one-time

Recognized as implementation projects are completed

Sales provide 12-24 months visibility into revenue Seasonal pattern

Sales strongest in Q1 and Q4 due to corporate budget cycle

Revenue strongest in Q4, driven by prior years 4Q sales and customer requirements for year-end project completion

Quarter-to-quarter revenue results can be uneven, reflecting lumpiness in revenue recognition as large projects are completed

Expect smoother revenue as scale leads to higher proportion of recurring revenue from maintenance on installed base

0

10

20

30

40

50

60

7080

90

$Millions

Maintenance Subscriptions License and Service

0

10

20

30

40

50

60

7080

90

100

$Millions

Maintenance Subscriptions License and Service


35


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35

MA Full-Year 2013 Revenue Guidance as of July 24, 2013

Global: high-single-digit % range

U.S.: low-double-digit % range

Non-U.S.: mid-single-digit % range

Research, Data & Analytics: high-single-digit % range

Enterprise Risk Solutions: low-double-digit % range

Professional Services: high-single-digit % range



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Why Invest in Moodys? We strive to be the worlds most respected authority serving risk-sensitive

financial markets

Defend and enhance our core ratings and research businesses

We have had strong revenue, earnings and cash flow growth

2008 2012 Revenue CAGR of 12%

2008 2012 GAAP EPS CAGR of 13%

2008 2012 Free Cash Flow CAGR of 14%

We are committed to returning capital to our shareholders

Recently increased our annualized dividend to $1.00 per share

Now anticipate total 2013 share repurchases of approximately $1 billion

We plan to continue to selectively invest in strategic growth opportunities

Leverage brand to extend our relevance in financial markets

Expand our product, geographic and thought leadership footprint



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Appendix

7



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Strong Revenue Performance For Second Quarter 2013, With Growthin All Lines of Business at Both MIS and MA

7%

17%

7%

14%

29%

7%

37%

0% 10% 20% 30% 40%

2Q 2013 YoY Revenue Performance

$263 Corporate Finance

$97 Structured Finance

$85 Financial Institutions

$93 PPIF

$130 RD&A

$60 ERS

$28 Professional Services

7%

14%

8%

10%

9%

3%

33%

0% 10% 20% 30% 40%

$521 Corporate Finance

$190 Structured Finance

$171 Financial Institutions

$260 RD&A

$56 Professional Services

$176 PPIF

$113 ERS

MIS

22%

MIS

18%

MA

10%

Moodys Total

Revenue2Q 2013: $756

MCO 18%U.S. 18%Non-U.S. 18%

($ millions)

Moodys Total

YTD 2013: $1,488

MCO 16%U.S. 18%Non-U.S. 12%

MA

9%

YTD 2013 YoY Revenue Performance

Moodys TotalRevenue

Moodys Total

Revenue




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Historical Revenue* Mix: By Quarter

$0

$50

$100

$150

$200

$250

$300

2Q11 3Q11 4Q11 1Q12 2Q12 3Q12 4Q12 1Q13 2Q13

Revenue$Millions

Corporate Finance

Bank LoansSpeculative GradeInvestment GradeOther - including monitoring, CP, MTNs

$0

$50

$100

2Q11 3Q11 4Q11 1Q12 2Q12 3Q12 4Q12 1Q13 2Q13

Revenue

$Millions

Financial Institutions

Banking Insurance Managed Investments

$0

$25

$50

$75

$100

$125

$150

2Q11 3Q11 4Q11 1Q12 2Q12 3Q12 4Q12 1Q13 2Q13

Revenue$Mil

lions

Structured Finance

ABS** RMBS CREF Derivatives

$0

$50

$100

2Q11 3Q11 4Q11 1Q12 2Q12 3Q12 4Q12 1Q13 2Q13

Revenue$Millions

Public, Project and Infrastructure

Project & Infrastructure FinanceMunicipal Structured ProductsPublic Finance

$0

$100

$200

$300

2Q11 3Q11 4Q11 1Q12 2Q12 3Q12 4Q12 1Q13 2Q13

Revenue$

Millions

Moodys Analytics

Professional Services

Enterprise Risk Solutions

Research, Data and Analytics

*Historical data has been adjusted to conform with current information. Represents revenue excluding intercompany royalties and license fees.

**ABS includes asset-backed commercial paper and long-term asset-backed securities. CREF includes commercial

mortgage-backed securities, real estate finance, andcommercial real estate CDOs.

Introduction| Macroeconomic Environment | Financial Overview | Moody s Investors Service | Moody s Analytics | Conclusion | Appendix



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41AUGUST 6, 2013

Historical Revenue* Mix By Year

$0

$100

$200

$300

$400

$500

$600

$700

$800

$900

2005 2006 2007 2008 2009 2010 2011 2012

Revenue$Mill

ions

Corporate Finance

Bank LoansSpeculative GradeInvestment GradeOther - including monitoring, CP, MTNs

$0

$50

$100

$150

$200

$250

$300

$350

2005 2006 2007 2008 2009 2010 2011 2012

Revenue

$Millions


Banking Insurance Managed Investments

$0

$100

$200

$300

$400

$500

$600

$700

$800

$900

2005 2006 2007 2008 2009 2010 2011 2012

Revenue$Millions

Structured Finance

ABS** RMBS CREF Derivatives

$0

$50

$100

$150

$200

$250

$300

$350

2005 2006 2007 2008 2009 2010 2011 2012

Revenue$Millions

Public, Project and Infrastructure

Project & Infrastructure FinanceMunicipal Structured ProductsPublic Finance

$0

$100$200$300

$400$500$600

$700$800$900

2007 2008 2009 2010 2011 2012

Revenue$M

illions

Moodys Analytics

Professional ServicesEnterprise Risk SolutionsResearch, Data and Analytics


**ABS includes asset-backed commercial paper and long-term asset-backed securities. CREF includes commercial

mortgage-backed securities, real estate finance, andcommercial real estate CDOs.




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42AUGUST 6, 2013

0

2

4

6

8

$0

$200

$400

$600

$800

2Q11 3Q11 4Q11 1Q12 2Q12 3Q12 4Q12 1Q13 2Q13

Yield(%)

Issuance$Billio

ns

Global Financial Institutions

Global Financial Institution Issuance ($ billions)Global Banking Yield (%)Global Insurance Yield (%)

0

5

10

15

$0

$100

$200

$300

$400

$500

$600

2Q11 3Q11 4Q11 1Q12 2Q12 3Q12 4Q12 1Q13 2Q13

Yield(%

)

Issuance$Billions

Global Investment Grade and High Yield Bonds andU.S. Speculative Grade Bank Loans

U.S. Speculative-Grade Bank Loan Origination

Global Non-Financial Speculative-Grade Bond Issuance

Global Non-Financial Investment-Grade Bond Issuance

Global Investment-Grade Bond Yield (%)

Global Speculative-Grade Bond Yield (%)

Issuance* and Yields: By Quarter

Sources: Moodys Capital Markets Research Group, Dealogic, Barclay's Capital, Thomson Reuters;U.S. Speculative-Grade Bank Loan Origination issuance represents Moodys rated new U.S. bank loanprograms.

Sources: Moodys Capital Markets Research Group, Dealogic, Barclay's Capital.

$0

$20

$40

$60

$80

$100

$120

$140

2Q11 3Q11 4Q11 1Q12 2Q12 3Q12 4Q12 1Q13 2Q13

Issuance

$Billions

U.S. Municipal Bonds

Long-Term U.S. Municipal Bond Issuance

Sources: Bond Buyer.

*Debt issuance categories do not directly correspond to Moodys revenue categorization.

$0

$50

$100

$150

$200

$250

$300

2Q11 3Q11 4Q11 1Q12 2Q12 3Q12 4Q12 1Q13 2Q13

Issuanc

e$Billions

Global Rated Structured Finance

ABS RMBS CMBS CDO

Sources: AB Alert, CM Alert, Moodys Corporation.




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43AUGUST 6, 2013

Issuance*: By Year

$0

$200

$400

$600

$800

$1,000$1,200

$1,400

$1,600

2005 2006 2007 2008 2009 2010 2011 2012

Issuance$Billion

s

Global Investment Grade and High Yield Bonds andU.S. Speculative Grade Bank Loans

U.S. Speculative-Grade Bank Loan OriginationGlobal Non-Financial Speculative-Grade Bond IssuanceGlobal Non-Financial Investment-Grade Bond Issuance

$0

$500

$1,000

$1,500

$2,000

$2,500

2005 2006 2007 2008 2009 2010 2011 2012

Issuance$Billions

Global Financial Institutions

Global Financial Institution Issuance

$0

$500

$1,000

$1,500

$2,000

$2,500

$3,000

2005 2006 2007 2008 2009 2010 2011 2012

Issu

ance$Billions

Global Rated Structured Finance

ABS RMBS CMBS CDO

$0

$100

$200

$300

$400

$500

2005 2006 2007 2008 2009 2010 2011 2012

Issuance$Billions

U.S. Municipal Bonds

Build America Bond (BAB) Issuance

Long-Term U.S. Municipal Bond Issuance ex. BABs

Sources: Moodys Capital Markets Research Group, Dealogic, Barclays Capital, Thomson Reuters; U.S.Speculative-Grade Bank Loan Origination issuance represents Moodys rated new U.S. bank loanprograms. Sources: Moodys Capital Markets Research Group, Dealogic.

Sources: Bond Buyer.

Sources: AB Alert, CM Alert, Moodys Corporation.

*Debt issuance categories do not directly correspond to Moodys revenue categorization.




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44AUGUST 6, 2013

Revenue* Distribution: By Geography

30% 34% 31% 36% 35% 33% 32%

70% 66% 69% 64% 65% 67% 68%

0%

20%

40%

60%

80%

100%

FY08 FY09 FY10 FY11 FY12 1Q13 2Q13

Public, Project & Infrastructure Finance

54% 53% 51% 53% 46% 36% 36%

46% 47% 49% 47%

54% 64% 64%

0%

20%

40%

60%

80%

100%

FY08 FY09 FY10 FY11 FY12 1Q13 2Q13

Structured Finance

U.S. Non-U.S*Historical data has been adjusted to conform with current information. Represents revenue excluding intercompany royalties and license fees.

55% 58% 59% 60% 59% 58% 57%

45%42% 41% 40% 41% 42%

43%

0%

20%

40%

60%

80%

100%

FY08 FY09 FY10 FY11 FY12 1Q13 2Q13


40% 38% 34% 35% 34% 37% 42%

60% 62% 66% 65% 66% 63% 58%

0%

20%

40%

60%

80%

100%

FY08 FY09 FY10 FY11 FY12 1Q13 2Q13

Corporate Finance

52% 56% 56% 58% 57% 54% 56%

48% 44% 44% 42% 43% 46% 44%

0%

20%

40%

60%

80%

100%

FY08 FY09 FY10 FY11 FY12 1Q13 2Q13

Moodys Analytics




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45AUGUST 6, 2013

Revenue* Distribution: Recurring vs. Transaction

59% 59% 59% 58% 61% 62% 65%

41% 41% 41% 42% 39% 38% 35%

0%

20%

40%

60%

80%

100%

FY08 FY09 FY10 FY11 FY12 1Q13 2Q13

Public, Project & Infrastructure Finance

50% 41% 43%52% 58% 59% 61%

50%59% 57%

48% 42% 41% 39%

0%

20%

40%

60%

80%

100%

FY08 FY09 FY10 FY11 FY12 1Q13 2Q13

Structured Finance

Recurring Transaction*Historical data has been adjusted to conform with current information. Represents revenue excluding intercompany royalties and license fees.

33% 31% 37% 34% 37% 39% 37%

67% 69% 63% 66% 63% 61% 63%

0%

20%

40%

60%

80%

100%

FY08 FY09 FY10 FY11 FY12 1Q13 2Q13


54% 64%73% 71% 74% 77% 75%

46% 36%27% 29% 26% 23% 25%

0%

20%

40%

60%

80%

100%

FY08 FY09 FY10 FY11 FY12 1Q13 2Q13

Corporate Finance

9% 11% 15% 20%23% 20% 21%

91% 89% 85%80% 77% 80% 79%

0%

20%

40%

60%

80%

100%

FY08 FY09 FY10 FY11 FY12 1Q13 2Q13

Moodys Analytics




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46AUGUST 6, 2013

19% 20% 19% 18% 17% 16% 17%

22% 21% 20% 19% 17% 17% 16%

34%25%

21% 22%20% 18% 18%

25%34%

40% 42% 46% 50% 49%

0%

20%

40%

60%

80%

100%

FY08 FY09 FY10 FY11 FY12 1Q13 2Q13


Corporate Finance

Structured Finance


Public, Project and Infrastructure Finance


Revenue* Distribution: By MIS Line of Business and MASegment

76% 71% 68%63% 58% 62% 60%

20% 25% 28%26%

29% 29% 28%

4% 4% 4%11% 13% 13% 12%

0%

20%

40%

60%

80%

100%

FY08 FY09 FY10 FY11 FY12 1Q13 2Q13

Moodys Analytics

Research, Data and Analytics

Enterprise Risk Solutions

Professional Services

Introduction | Macroeconomic Environment | Financial Overview | Moody s Investors Service | Moody s Analytics | Conclusion | ppe d



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47AUGUST 6, 2013

Revenue* Distribution: By MIS Product / Asset Class

58%44% 39% 43% 36% 32% 35%

21%

29%

19%21%

23%17%

23%

9% 20%

25% 18% 23%29%

22%

12% 7% 17% 18% 18% 22% 20%

0%

20%

40%

60%

80%

100%

FY08 FY09 FY10 FY11 FY12 1Q13 2Q13

Bank Loans Speculative Grade

Investment Grade Other - including monitoring, CP, MTNs

Corporate Finance Revenue by Product

35% 33% 28% 23% 24% 28% 23%

14% 15% 18%20% 25%

26%32%

18% 19% 23% 26%22%

17% 19%

33% 33% 31% 31% 29%24% 26%

0%

20%

40%

60%

80%

100%

FY08 FY09 FY10 FY11 FY12 1Q13 2Q13

Derivatives Commercial Real Estate Finance**

Residential Mortgage-backed Securities Asset-backed Securities***

Structured Finance Revenue by Asset Class

*Historical data has been adjusted to conform with current information. Represents revenue excluding intercompany royalties and license fees.**CREF includes commercial mortgage-backed securities, real estate finance, and commercial real estate CDOs.***ABS includes asset-backed commercial paper and long-term asset-backed securities.

6% 6% 6% 6% 6% 4% 4%

27% 26% 25% 25% 24% 26% 28%

67% 68% 69% 69% 70% 70% 68%

0%

20%

40%

60%

80%

100%

FY08 FY09 FY10 FY11 FY12 1Q13 2Q13

Managed Investments Insurance Banking

Financial Institutions Revenue by Product

45% 48% 51% 49% 50% 51% 47%

38%42% 41% 44% 44%

44% 48%

17% 10%8% 7% 6% 5% 5%

0%

20%

40%

60%

80%

100%

FY08 FY09 FY10 FY11 FY12 1Q13 2Q13

Public Finance Project & Infrastructure Finance Municipal Structured Products

Public, Project & Infrastructure Revenue by Product

| | | y | y y | | pp



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48AUGUST 6, 2013

21%

2%

7%

1%

9%

11%

2%

8%

55%

70%

71%

61%

34%

54%

6%

20%

23%

28%

21%

39%

57%

8%

92%

72%

Asia (Excl. Japan)

S. America / C. America / Caribbean

Africa / Middle East

Eastern Europe

Western Europe

Australia / Oceania

Japan

United States

MA 2012 Sales by Region

Professional Services Risk Management Software Research, Data and Analytics

Emerging Developed

MA is Relevant to Financial Markets at All Stages ofDevelopment

Moodys Analytics enables us to increase our presence in emerging markets, selling

products and services before debt capital markets are fully mature

| | | y | y y | | pp



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49AUGUST 6, 2013

Regulatory Developments

United States: (the following developments are related to the Dodd-Frank Act)

On May 14, 2013, the SEC hosted a roundtable on the various proposals made in its

study related to assigning credit ratings for structured finance products, commonly

referred to as the Franken Amendment study

European Union:

CRA3 was adopted earlier in the spring of 2013 and went into force on June 20, 2013

| | | y | y y | |



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50AUGUST 6, 2013

Select Regulation Related to Structured FinanceBasel 2.5 Increases bank capital requirements primarily in the trading book, including securitization exposures held for trading, and also

triples capital requirements for resecuritizations in banking book. Implemented in the U.S. effective January 1, 2013 for thelargest U.S. banks.

Basel III Further revises the Basel capital frameworks treatment of securitization exposures, including setting the lowest risk weight for

both long and short-term exposures at 20% for both the internal ratings-based approach and the standardized approach. Alsoimposes a stricter definition of capital, increases counterparty capital requirements. Requirements phase in over a 5 yeartransition period. Final rulemaking on risk-weights and definition of capital published July 2013; effective January 2014 for largestUS banks, January 2015 for all others. Higher US leverage ratio requirement proposed July 2013; proposed liquidity ratios stillpending.

Dodd-Frank Act

QM( 1411, 1412, 1414)

On January 10, 2013, the Consumer Finance Protection Bureau released the final Ability-To-Repay and Qualified Mortgage (QM)rule which provides a safe harbor for loans that satisfy the definition of a qualified mortgage and are not higher-priced," andprovides a rebuttable presumption for higher-priced mortgage loans.

QRM

(941)

Exempts from risk retention requirements asset-backed securities that are collateralized exclusively by residential mortgages that

qualify as qualified residential mortgages (QRM). The QRM definition proposed in 2011 required a down payment of 20% anddebt-to-income ratios of less than 36 percent.

Loan-LevelDisclosure(942)

Increases disclosure and may reduce issuance volume. Similar to the proposed Regulation AB II, requires an issuer of an asset-backed security to disclose, for each tranche or class of security, certain loan level information regarding the assets backing thatsecurity.

RepurchaseRequests(943)

Requires issuers to disclose demand, repurchase and replacement activity for the same asset class for an initial three-year lookback period ending December 31, 2011 and, subsequent to that date, on a quarterly basis. Limited issuance impact.

Risk Retention(941)

Requires retention of an unhedged and untransferable 5% credit risk of SF securities, potentially dampening U.S. SF issuancefor certain asset classes. This may cause the SPV to stay on securitizers balance sheet under FAS 167 if the securitizermanages the SPV in a way that substantially affects its performance.

FASB/IASB joint financialinstruments accountingprojects

Requires some debt instruments to be marked to fair value. Debt instruments carried at amortized cost or fair value through othercomprehensive income would be subject to more conservative impairment testing, with more timely recognition of credit lossesthan under existing rules. The proposals may create a disincentive to hold securitized assets (i.e., if they have to be marked tofair value and/or subject to more conservative impairment testing), but conversely the proposals may incentivize banks tosecuritize more of their loan portfolios.



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51AUGUST 6, 2013

Moodys Global Presence

Moodys Global Staffing

More than 1,400 analysts

Approximately 7,000 employees

Presence in 29 countries

U.S. Non-U.S. Total

6/30/2013 2,686 4,284 6,970

6/30/2012 2,531 3,955 6,486



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52AUGUST 6, 2013

in $ millions

Reporting as per 2008 filings 1Q 2Q 3Q 4Q FY08**

Structured Finance 107.2$ 120.1$ 97.7$ 92.2$ 417.2$

Corporate Finance 71.5 97.4 75.0 56.6 300.5

Financial Institutions 64.0 72.1 64.4 56.5 257.0

Public, Project & Infrastructure Finance 55.5 66.2 59.7 48.6 230.0

Total Moody's Investors Service* 298.2 355.8 296.8 253.9 1,204.7

Total Moody's Analytics 132.5 131.8 136.6 149.8 550.7

Total Moody's Corporation 430.7$ 487.6$ 433.4$ 403.7$ 1,755.4$

Reclass for 2008 and 2009 Business Change: Managed Investments, Credi t Estimates

Structured Finance (4.8)$ (4.5)$ (2.0)$ (1.2)$ (12.5)$


Financial Institutions 3.0 3.0 - - 6.0

Public, Project & Infrastructure Finance - - - - -Total Moody's Investors Service - - - - -

Total Moody's Analytics - - - - -

Total Moody's Corporation -$ -$ -$ -$ -$

2009 (Current) Business Line Reporting 1Q 2Q 3Q 4Q FY08

Structured Finance 102.4$ 115.6$ 95.7$ 91.0$ 404.7$


Financial Institutions 67.0 75.1 64.4 56.5 263.0

Public, Project & Infrastructure Finance 55.5 66.2 59.7 48.6 230.0

Total Moody's Investors Service* 298.2 355.9 296.8 253.8 1,204.7Total Moody's Analytics 132.5 131.8 136.6 149.8 550.7

Total Moody's Corporation 430.7$ 487.7$ 433.4$ 403.6$ 1,755.4$

* Excludes intersegment royalty

** FY08 "Reporting as per 2008 filings" represents cumulative total of 10Q filings

2008 Revenue MIS Business Line Reclassification

In August 2008, the global managed investments ratings group which was previously part of Structured Finance, was moved to the Financial Institutions business. In 2009, credit

estimates was moved to Corporate Finance.



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53AUGUST 6, 2013

2009 Moodys Analytics Revenue Reclassificationin $ millions

Reporting as per filings in year 2008 2009

Subscriptions 475.9$ n/a

Software 49.2 n/a

Professional Services 25.6 n/a

Total Moody's Analytics 550.7$ n/a

Reclass for 2009 Realignment*:

Subscriptions (57.2)$ n/a

Software 59.6 n/a

Professional Services (2.4) n/a

Total Moody's Analytics -$ n/a

2009 (Current) Reporting 2008 2009

Research, Data and Analytics 418.7$ 413.6$

Enterprise Risk Solutions 108.8 145.1

Professional Services 23.2 20.8

Total Moody's Analytics 550.7$ 579.5$

*During the fourth quarter of 2009 the Moody's Analytics ("MA") groupings were realigned and renamed to reflect the reporting unit structure

for the MA segment at December 31, 2009. Pursuant to this realignment the Subscriptions grouping was renamed Research, Data andAnalytics and the Software grouping was renamed Risk Management Software. The revised groupings class ify certain subscription-based

risk management software revenue and advisory services relating to software sales to the redefined Risk Management Software grouping.

Risk Management Software was renamed Enterprise Risk Solutions during the first quarter of 2012.



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54AUGUST 6, 2013

Adjusted Operating Income and Adjusted Operating Margin Reconciliation

Reconciliation of Non-GAAP Financial Measures to GAAP

(in $ millions) 2008 2009 2010 2011 2012

As Reported Operating Income $ 748.2 $ 687.5 $ 772.8 $ 888.4 $ 1,077.4

Operating Margin 42.6% 38.3% 38.0% 39.0% 39.5%

Add Adjustment:

Depreciation & Amortization $ 1 $ 64.1 $ 6.3 $ 9.2 $ 3.5

Restructuring (2.5) 17.5 0.1 - -

Goodwill Impairment Charge - - - - 12.2

Adjusted Operating Income $ 820.8 $ 69.1 $ 839.2 $ 967.6 $ 1,183.1

Adjusted Operating Margin 46.8% 42.8% 41.3% 42.4% 43.3%

Moody's Corporation Operating Margin Guidance Reconciliation

2013F*Projected Operating Margin - GAAP 41% to 42%

Projected impact from Depreciation & Amortization Approximately 3%

Projected Adjusted Operating Margin 44% to 45%

*Guidance as of July 24, 2013.



55/57

55AUGUST 6, 2013

Reconciliation of Non-GAAP Financial Measures to GAAP(cont.)

Moody's Corporation Free Cash Flow Reconciliation

(in $ millions) 2008 2009 2010 2011 2012 2013F*

Cash Flow from Operations $ 539.7 $ 643.8 $ 653.3 $ 803.3 $ 823.1 $ ~900.0

Less Adjustment:

Capital Expenditures $ 84.4 $ 90.7 $ 79.0 $ 67.7 $ 45.0 $ ~50.0

Free Cash Flow $ 455.3 $ 553.1 $ 574.3 $ 735.6 $ 778.1 $ ~850.0

Cash Flow used in Investing Activities $ (319.3) $ (93.8) $ (228.8) $ (267.6) $ (50.2)

Cash Flow provided by (used in) Financing Activities $ (349.8) $ (348.8) $ (241.3) $ (417.7) $ 202.6

*Guidance as of July 24, 2013.

Non-GAAP Projected Diluted EPS Guidance Reconciliation

Projected Full-Year

Ended December 31,

2013F

Diluted EPS guidance - GAAP $ 3.35 - 3.45

Impact of litigation settlement 0.14

Diluted EPS guidance - Non-GAAP $ 3.49 - 3.59

56


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57/57

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CREDIT RATINGS ISSUED BY MOODY'S INVESTORS SERVICE, INC. (MIS) AND ITS AFFILIATES ARE MOODYS CURRENT OPINIONS OF THE RELAT IVE FUTURE CREDIT RISK OF ENTITIES,

CREDIT COMMITMENTS, OR DEBT OR DEBT-LIKE SECURITIES, AND CREDIT RATINGS AND RESEARCH PUBLICATIONS PUBLISHED BY MOODYS (MOODYS PUBLICATIONS) MAY INCLUDEMOODYS CURRENT OPINIONS OF THE RELATIVE FUTURE CREDIT RISK OF ENTITIES, CREDIT COMMITMENTS, OR DEBT OR DEBT -LIKE SECURITIES. MOODYS DEFINES CREDIT RISK AS THERISK THAT AN ENTITY MAY NOT MEET ITS CONTRACTUAL, FINANCIAL OBLIGATIONS AS THEY COME DUE AND ANY ESTIMATED FINANCIAL LOSS IN THE EVENT OF DEFAULT. CREDITRATINGS DO NOT ADDRESS ANY OTHER RISK, INCLUDING BUT NOT LIMITED TO: LIQUIDITY RISK, MARKET VALUE RISK, OR PRICE VOLATILITY. CRE DIT RATINGS AND MOODYS OPINIONSINCLUDED IN MOODYS PUBLICATIONS ARE NOT STATEMENTS OF CURRENT OR HISTORICAL FACT. CREDIT RATINGS AND MOODYS PUBLICATIONS DO NOT CONSTITUTE OR PROVIDEINVESTMENT OR FINANCIAL ADVICE, AND CREDIT RATINGS AND MOODYS PUBLICATIONS ARE NOT AND DO NOT PROVIDE RECOMMENDATIONS TO PUR CHASE, SELL, OR HOLDPARTICULAR SECURITIES. NEITHER CREDIT RATINGS NOR MOODYS PUBLICATIONS COMMENT ON THE SUITABILITY OF AN INVESTMENT FOR ANY PA RTICULAR INVESTOR. MOODYSISSUES ITS CREDIT RATINGS AND PUBLISHES MOODYS PUBLICATIONS WITH THE EXPECTATION AND UNDERSTANDING THAT EACH INVESTOR WILL MAKE ITS OWN STUDY ANDEVALUATION OF EACH SECURITY THAT IS UNDER CONSIDERATION FOR PURCHASE, HOLDING, OR SALE.

ALL INFORMATION CONTAINED HEREIN IS PROTECTED BY LAW, INCLUDING BUT NOT LIMITED TO, COPYRIGHT LAW, AND NONE OF SUCH INFORMATION MAY BE COPIED OR OTHERWISEREPRODUCED, REPACKAGED, FURTHER TRANSMITTED, TRANSFERRED,

DISSEMINATED, REDISTRIBUTED OR RESOLD, OR STORED FOR SUBSEQUENT USE FOR ANY SUCH PURPOSE, IN WHOLE OR IN PART, IN ANY FORM OR MANNER OR BY ANY MEANSWHATSOEVER, BY ANY PERSON WITHOUT MOODYS PRIOR WRITTEN CONSENT.

All information contained herein is obtained by MOODYS from sources believed by it to be accurate and reliable. Because of the possibility of human or mechanical error as well as other factors, however, allinformation contained herein is provided AS IS without warranty of any kind. MOODY'S adopts all necessary measures so that the information it uses in assigning a credit rating is of sufficient quality and fromsources MOODY'S considers to be reliable including, when appropriate, independent third- party sources. However, MOODYS is not an auditor and cannot in every instance independently verify or validateinformation received in the rating process. Under no circumstances shall MOODYS have any liability to any person or entity for (a) any loss or damage in whole or in part caused by, resulting from, or relatingto, any error (negligent or otherwise) or other circumstance or contingency within or outside the control of MOODYS or any o f its directors, officers, employees or agents in connection with the procurement,collection, compilation, analysis, interpretation, communication, publication or delivery of any such information, or (b) any direct, indirect, special, consequential, compensatory or incidental damageswhatsoever (including without limitation, lost profits), even if MOODYS is advised in advance of the possibility of such damages, resulting from the use of or inability to use, any such information. The ratings,financial reporting analysis, projections, and other observations, if any, constituting part of the information contained herein are, and must be construed solely as, statements of opinion and not statements offact or recommendations to purchase, sell or hold any securities. Each user of the information contained herein must make its own study and evaluation of each security it may consider purchasing, holding orselling.

NO WARRANTY, EXPRESS OR IMPLIED, AS TO THE ACCURACY, TIMELINESS, COMPLETENESS, MERCHANTABILITY OR FITNESS FOR ANY PARTICULAR PURPOSE OF ANY SUCH RATING OROTHER OPINION OR INFORMATION IS GIVEN OR MADE BY MOODYS IN ANY FORM OR MANNER WHATSOEVER.

MIS, a wholly-owned credit rating agency subsidiary of Moodys Corporation (MCO), hereby discloses that most issuers of debt s ecurities (including corporate and municipal bonds, debentures, notes andcommercial paper) and preferred stock rated by MIS have, prior to assignment of any rating, agreed to pay to MIS for appraisal and rating services rendered by it fees ranging from $1,500 to approximately

$2,500,000. MCO and MIS also maintain policies and procedures to address the independence of MISs ratings and rating process es. Information regarding certain affiliations that may exist between directorsof MCO and rated entities, and between entities who hold ratings from MIS and have also publicly reported to the SEC an ownership interest in MCO of more than 5%, is posted annually at www.moodys.comunder the heading Shareholder Relations Corporate Governance Director and Shareholder Affiliation Policy.

For Australia only: Any publication into Australia of this document is pursuant to the Australian Financial Services License of MOODYS affiliate, Moodys Investors Service Pty Limited ABN 61 003 399 657,AFSL 336969 and/or Moodys Analytics Australia Pty Ltd ABN 94 105 136 972 AFSL 383569 (as applicable). This document is intended to be provided only to wholesale clients within the meaning of section761G of the Corporations Act 2001. By continuing to access this document from within Australia, you represent to MOODYS that you are, or are accessing the document as a representative of, a wholesaleclient and that neither you nor the entity you represent will directly or indirectly disseminate this document or its conten ts to retail clients within the meaning of section 761G of the Corporations Act 2001.MOODYS credit rating is an opinion as to the creditworthiness of a debt obligation of the issuer, not on the equity securiti es of the issuer or any form of security that is available to retail clients. It would bedangerous for retail clients to make any investment decision based on MOODYS credit rating. If in doubt you should contact y our financial or other professional adviser.

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