UNITED STATES SECURITIES AND EXCHANGE COMMISSION

Washington, DC 20549

__________

FORM 8-K

CURRENT REPORT PURSUANT TO SECTION 13 OR 15(d) OF

THE SECURITIES EXCHANGE ACT OF 1934

DateofReport(Dateofearliesteventreported):February 12, 2020

MOODY’S CORPORATION (ExactNameofRegistrantasSpecifiedinCharter)

Delaware 1-14037 13-3998945

(StateorOtherJurisdictionofIncorporation) (CommissionFileNumber) (IRSEmployerIdentificationNo.)

7 World Trade Center at 250 Greenwich Street New York, New York 10007

(AddressofPrincipalExecutiveOffices)(ZipCode)

Registrant’stelephonenumber,includingareacode:(212) 553-0300ChecktheappropriateboxbelowiftheForm8-Kfilingisintendedtosimultaneouslysatisfythefilingobligationoftheregistrantunderanyofthefollowingprovisions:

☐WrittencommunicationspursuanttoRule425undertheSecuritiesAct(17CFR230.425)

☐SolicitingmaterialpursuanttoRule14a-12undertheExchangeAct(17CFR240.14a-12)

☐Pre-commencementcommunicationspursuanttoRule14d-2(b)undertheExchangeAct(17CFR240.14d-2(b))

☐Pre-commencementcommunicationspursuanttoRule13e-4(c)undertheExchangeAct(17CFR240.13e-4(c))

SecuritiesregisteredpursuanttoSection12(b)oftheAct:

Title of each class Trading Symbol(s) Name of each exchange on which registeredCommonStock,parvalue$0.01pershare MCO NewYorkStockExchange

1.75%SeniorNotesDue2027 MCO27 NewYorkStockExchange0.950%SeniorNotesDue2030 MCO30 NewYorkStockExchange

IndicatebycheckmarkwhethertheregistrantisanemerginggrowthcompanyasdefinedinRule405oftheSecuritiesActof1933(§230.405ofthischapter)orRule12b-2oftheSecuritiesExchangeActof1934(§240.12b-2ofthischapter).

Emerginggrowthcompany☐

Ifanemerginggrowthcompany,indicatebycheckmarkiftheregistranthaselectednottousetheextendedtransitionperiodforcomplyingwithanyneworrevisedfinancialaccountingstandardsprovidedpursuanttoSection13(a)oftheExchangeAct.☐

TABLE OF CONTENTS

ITEM2.02 RESULTSOFOPERATIONSANDFINANCIALCONDITION 3 ITEM7.01 REGULATIONFDDISCLOSURE 3 ITEM9.01 FINANCIALSTATEMENTSANDEXHIBITS 3 SIGNATURES 4 EXHIBIT99.1

2

Item 2.02, "Results of Operations and Financial Condition"

OnFebruary12,2020,Moody'sCorporation(the"Registrant")announceditsfinancialresultsforthefourthquarterandfullyearendedDecember31,2019,aswellasitsoutlookfor2020.AcopyofthepressreleasecontainingtheannouncementisincludedasExhibit99.1.TheinformationcontainedinthisCurrentReport,includingtheexhibithereto,isbeingfurnishedandshallnotbedeemed"filed"forthepurposeofSection18oftheSecuritiesExchangeActof1934,asamended(the“ExchangeAct”)orotherwisesubjecttotheliabilitiesofthatSection.TheinformationinthisCurrentReportshallnotbeincorporatedbyreferenceintofuturefilingsundertheSecuritiesActof1933,asamended,ortheExchangeAct,unlessitisspecificallyincorporatedbyreferencetherein.Item 7.01, "Regulation FD Disclosure"TheinformationsetforthunderItem2.02,"ResultsofOperationsandFinancialCondition"isincorporatedhereinbyreference.

Item 9.01, "Financial Statements and Exhibits"

(d)Exhibits

99.1 PressreleaseofMoody'sCorporationdatedFebruary12,2020,announcingresultsforthefourthquarterandfullyearendedDecember31,2019.

104 ThecoverpagefromthisCurrentReportonForm8-K,formattedinInlineXBRL.

3

SIGNATURES

PursuanttotherequirementsoftheSecuritiesExchangeActof1934,theRegistranthasdulycausedthisreporttobesignedonitsbehalfbytheundersignedhereuntodulyauthorized. MOODY’SCORPORATION By: /s/ElizabethM.McCarroll ElizabethM.McCarroll CorporateSecretaryandAssociate GeneralCounsel Date:February12,2020

4

Exhibit 99.1

Moody's Corporation Reports Results for Fourth Quarter and Full Year2019; Sets Outlook for Full Year 2020

Moody's Corporation 4Q19 revenue of $1.2 billion up 16% from 4Q18; FY 2019 revenue of $4.8 billion up 9% from FY 20184Q19 diluted EPS of $1.88 up 46% from 4Q18; 4Q19 adjusted diluted EPS of $2.00 up 23%1FY 2019 diluted EPS of $7.42 up 10% from FY 2018; FY 2019 adjusted diluted EPS of $8.29 up 12%1Projected FY 2020 diluted EPS of $8.60 to $8.80; adjusted diluted EPS of $9.10 to $9.30

NEWYORK--(BUSINESSWIRE)--February12,2020--Moody'sCorporation(NYSE:MCO)todayannouncedresultsforthefourthquarterandfullyear2019,aswellasprovideditsoutlookforfullyear2020.

"Moody'srevenuegrowthforfullyear2019wastheresultofstrongcontributionsfrombothMoody'sAnalyticsandMoody'sInvestorsService.RobustperformanceatMoody'sAnalyticswasdrivenbyincreasingcustomerdemandforcoreresearchanddataproducts,alongwithcomplianceandknow-your-customersolutions.Additionally,Moody'sInvestorsServicebenefitedfromincreasedglobalbondissuanceamidgenerallyfavorablemarketconditions,"saidRaymondMcDaniel,PresidentandChiefExecutiveOfficerofMoody's."For2020,we expecttocontinueleveragingthecapabilitiesofourcorebusinesses,furtherinnovatewithnewtechnologiesandcapitalizeonstrategicinvestments,suchasourrecentlyannouncedacquisitionofRegulatoryDataCorp."

FOURTH QUARTER REVENUE UP 16%

Moody'sCorporationreportedrevenueof$1.2billionforthethreemonthsendedDecember31,2019,up16%fromtheprior-yearperiod.Theimpactofforeigncurrencytranslationwasnegligible.

Moody's Investors Service (MIS) Fourth Quarter Revenue Up 21%

RevenueforMISforthefourthquarterof2019was$720million,up21%fromtheprior-yearperiodandabovethe18%increaseinoveralldebtissuance2duetoafavorablemixofdebtissuers.ForeigncurrencytranslationunfavorablyimpactedMISrevenueby1%.TheMISadjustedoperatingmarginwas56.6%.

Corporatefinancerevenuewas$362million,up24%fromtheprior-yearperiod.ThisresultreflectedrobustglobalbondactivitydrivenbyopportunisticandM&A-relatedfinancingsamidfavorablemarketconditions.

Structuredfinancerevenuewas$109million,down10%fromtheprior-yearperiod.Thisresultwasdrivenbyadeclineinglobalcollateralizedloanobligation(CLO)activitypartiallyduetowiderspreads.

Financialinstitutionsrevenuewas$115million,up32%fromtheprior-yearperiod.ThisresultprimarilyreflectedactivityfrominfrequentU.S.insuranceandnon-U.S.bankingissuersascomparedtoarelativelyinactiveprior-yearperiod.

Public,projectandinfrastructurefinancerevenuewas$125million,up37%fromtheprior-yearperiod.ThisresultreflectedstrongU.S.publicfinanceissuancewithtaxabletransactionscontinuingtobeusedasasourceofrefinancing.

Moody's Analytics (MA) Fourth Quarter Revenue Up 10%

RevenueforMAforthefourthquarterof2019was$513million,up10%fromtheprior-yearperiod.TheimpactofforeigncurrencytranslationonMArevenuewasnegligible.OrganicMArevenue1forthefourthquarterof2019was$505million,up12%fromtheprior-yearperiod.TheMAadjustedoperatingmarginwas25.6%.

Research,dataandanalytics(RD&A)revenuewas$333million,up12%fromtheprior-yearperiod.OrganicRD&Arevenue1was$330million,up11%.Revenuegrowthwasdrivenbythecreditresearchandratingsdatafeedsproductareas,aswellasstrongdemandforBureauvanDijkproducts,specificallycomplianceandknow-your-customersolutions.

Enterpriserisksolutions(ERS)revenuewas$149million,up20%fromtheprior-yearperiod.OrganicERSrevenue1was$144million,up16%,drivenbystrongdemandforcreditassessmentandloanoriginationsolutions,alongwithproductstomeetnewaccountingstandards.

Professionalservicesrevenuewas$31million,down30%fromtheprior-yearperiodduetothedivestitureofMAKSduringthefourthquarterof2019.Organicprofessionalservicesrevenue1wasup11%fromtheprior-yearperiod.

FOURTH QUARTER OPERATING EXPENSES AND OPERATING INCOME

Fourthquarter2019operatingexpensesforMoody'sCorporationtotaled$729million,up7%fromtheprior-yearperiodaslowerrestructuringcostsweremorethanoffsetbyhigherincentivecompensation,aswellasadditionalseveranceexpenseassociatedwithongoingexpenseefficiencyinitiatives.Therewasminimalimpactfromhiringandsalaryincreasesonfourthquarter2019expensegrowthassavingsfromtherestructuringprogramandothercostcontrolinitiativeswerefullyrealized.Theimpactofforeigncurrencytranslationonoperatingexpenseswasnegligible.

Operatingincomeof$504millionwasup34%fromthefourthquarterof2018.Adjustedoperatingincomeof$559millionwasup17%fromtheprior-yearperiod,andprimarilyexcludeddepreciationandamortizationandanon-tax-deductiblelossrelatedtothedivestitureofMAKS.Theimpactofforeigncurrencytranslationonoperatingincomeandadjustedoperatingincomewasnegligible.Moody'soperatingmarginwas40.9%,up540basispointsfromtheprior-yearperiod,andtheadjustedoperatingmarginwas45.3%,up30basispoints.

Moody'seffectivetaxrateforthefourthquarterof2019was20.1%,downfrom21.4%intheprior-yearperiod,primarilyduetohighernon-U.S.taxesrecordedinthefourthquarterof2018,aswellaslowerU.S.taxesrecordedinthefourthquarterof2019.

FULL YEAR REVENUE UP 9%

Moody'sCorporationreportedrevenueof$4.8billionforfullyear2019,up9%fromtheprior-yearperiod.ForeigncurrencytranslationunfavorablyimpactedMoody'srevenueby1%.

MISrevenuetotaled$2.9billionforfullyear2019,up6%fromtheprior-yearperiod.ForeigncurrencytranslationunfavorablyimpactedMISrevenueby1%.TheMISadjustedoperatingmarginwas58.0%.

MArevenuetotaled$2.0billionforfullyear2019,up13%fromtheprior-yearperiod.ForeigncurrencytranslationunfavorablyimpactedMArevenueby2%.OrganicMArevenue1forfullyear2019was$1.9billion,up11%fromtheprior-yearperiod.TheMAadjustedoperatingmarginwas27.8%.

FULL YEAR OPERATING EXPENSES UP 10%

Fullyear2019operatingexpensesforMoody'sCorporationtotaled$2.8billion,up10%fromtheprior-yearperiod.Twopercentagepointsofthisincreasewereattributabletonon-recurringexpensesincludingadditionalrestructuringexpense,thenon-tax-deductiblelossrelatedtothedivestitureofMAKSandacaptiveinsurancecompanysettlement.Otherdriversofexpensegrowthincludedadditionalincentivecompensation,operatingexpensesattributabletoacquisitionscompletedwithintheyearandtheimpactofhiringandsalaryincreases.Thisgrowthwaspartiallyoffsetbythebeneficialimpactsoftherestructuringprogramandcostcontrolinitiatives.Foreigncurrencytranslationfavorablyimpactedoperatingexpensesby2%.

Operatingincomewas$2.0billion,up7%fromfullyear2018.Adjustedoperatingincomeof$2.3billionwasup8%fromtheprior-yearperiod.Foreigncurrencytranslationunfavorablyimpactedoperatingincomeandadjustedoperatingincomeby1%each.Moody'soperatingmarginwas41.4%andtheadjustedoperatingmarginwas47.4%.

Theeffectivetaxrateforfullyear2019was21.0%,approximatelyflattotheprior-yearperiod.

Fullyear2019dilutedEPSof$7.42wasup10%fromfullyear2018.AdjusteddilutedEPSof$8.29wasup12%.Bothfullyear2019dilutedEPSandadjusteddilutedEPSincludeda$0.23persharetaxbenefitrelatedtoemployeeshare-basedcompensation,comparedtoa$0.20persharetaxbenefitinfullyear2018.

CAPITAL ALLOCATION AND LIQUIDITY

Capital Returned to Shareholders

Duringthefourthquarterof2019,Moody'srepurchased1.2millionsharesatatotalcostof$263million,oranaveragecostof$223.32pershare,andissued0.1millionsharesaspartofitsemployeestock-basedcompensationplans.Moody'sreturned$94milliontoitsshareholdersviadividendpaymentsduringthefourthquarterof2019.

Forfullyear2019,Moody'srepurchased5.2millionsharesatatotalcostof$991million,oranaveragecostof$190.99pershare,andissuedanet1.6millionsharesaspartofitsemployeestock-basedcompensationplans.Thenetamountincludesshareswithheldforemployeepayrolltaxes.Moody'sreturned$378milliontoitsshareholdersviadividendpaymentsduring2019.

Today,Moody'sisannouncingaquarterlydividendof$0.56pershareofMoody'scommonstock,a12%increasefromthepriorquarterlydividendof$0.50pershare.ThedividendwillbepayableonMarch18,2020tostockholdersofrecordatthecloseofbusinessonFebruary25,2020.

OutstandingsharesasofDecember31,2019totaled188million,down2%fromDecember31,2018.AsofDecember31,2019,Moody'shadapproximately$1.3billionofsharerepurchaseauthorityremaining.

Sources of Capital and Cash Flow Generation

Atquarter-end,Moody'shad$5.6billionofoutstandingdebtandapproximately$1.0billionofadditionalborrowingcapacityunderitsrevolvingcreditfacility.Totalcash,cashequivalentsandshort-terminvestmentsatquarter-endwere$1.9billion,upfrom$1.8billiononDecember31,2018.

Cashflowfromoperationsforfullyear2019was$1.7billionandfreecashflowwas$1.6billion.

ASSUMPTIONS AND OUTLOOK FOR FULL YEAR 2020

Moody'soutlookfor2020isbasedonassumptionsaboutmanygeopoliticalconditionsandmacroeconomicandcapitalmarketfactors,includinginterestrates,foreigncurrencyexchangerates,corporateprofitabilityandbusinessinvestmentspending,mergersandacquisitions,consumerborrowingandsecuritization,andtheamountofdebtissued.Theseassumptionsaresubjecttouncertainty,andresultsfortheyearcoulddiffermateriallyfromourcurrentoutlook.OurguidanceassumestimelyclosingoftherecentlyannouncedacquisitionofRegulatoryDataCorpandassumesforeigncurrencytranslationatend-of-quarterexchangerates.Specifically,ourforecastreflectsexchangeratesfortheBritishpound(£)of$1.31to£1andfortheeuro(€)of$1.11to€1.

Fullyear 2020dilutedEPSisexpectedtobe$8.60to$8.80.TheCompanyexpectsfullyear2020adjusteddilutedEPStobe$9.10to$9.30.

PleaseseeTable12-2020OutlookforacompleteviewofMoody's2020guidance.

CONFERENCE CALL

Moody'swillholdaconferencecalltodiscussfourthquarterandfullyear2019resultsaswellasits2020outlookonFebruary12,2020,at11:30a.m.EasternTime("ET").IndividualswithintheU.S.andCanadacanaccessthecallbydialing+1-877-400-0505.Othercallersshoulddial+1-720-452-9084.Pleasedialintothecallby11:20a.m.ET.Thepasscodeforthecallis7297671.

TheteleconferencewillalsobewebcastwithanaccompanyingslidepresentationwhichcanbeaccessedthroughMoody'sInvestorRelationswebsite,http://ir.moodys.comunder"FeaturedandUpcomingEvents&Presentations".Thewebcastwillbeavailableuntil3:30p.m.ETonMarch12,2020.

Areplayoftheteleconferencewillbeavailablefrom3:30p.m.ET,February12,2020until3:30p.m.ET,March12,2020.ThereplaycanbeaccessedfromwithintheUnitedStatesandCanadabydialing+1-888-203-1112.Othercallerscanaccessthereplayat+1-719-457-0820.Thereplayconfirmationcodeis7297671.

*****

ABOUT MOODY'S CORPORATION

Moody'sisanessentialcomponentoftheglobalcapitalmarkets,providingcreditratings,research,toolsandanalysisthatcontributetotransparentandintegratedfinancialmarkets.Moody'sCorporation(NYSE:MCO)istheparentcompanyofMoody'sInvestorsService,whichprovidescreditratingsandresearchcoveringdebtinstrumentsandsecurities,andMoody'sAnalytics,whichoffersleading-edgesoftware,advisoryservicesandresearchforcreditandeconomicanalysisandfinancialriskmanagement.Thecorporation,whichreportedrevenueof$4.8billionin2019,employsapproximately11,100peopleworldwideandmaintainsapresenceinmorethan40countries.Furtherinformationisavailableatwww.moodys.com.

Moody’spublisheditsinauguralSustainabilityAccountingStandardsBoard,orSASB,indexonmoodys.com/csr.

"Safe Harbor" Statement under the Private Securities Litigation Reform Act of 1995

Certainstatementscontainedinthisreleaseareforward-lookingstatementsandarebasedonfutureexpectations,plansandprospectsfortheCompany’sbusinessandoperationsthatinvolveanumberofrisksanduncertainties.Suchstatementsmayinclude,amongotherwords,“believe”,“expect”,“anticipate”,“intend”,“plan”,“will”,“predict”,“potential”,“continue”,“strategy”,“aspire”,“target”,“forecast”,“project”,“estimate”,“should”,“could”,“may”andsimilarexpressionsorwordsandvariationsthereofthatconveytheprospectivenatureofeventsoroutcomesgenerallyindicativeofforward-lookingstatements.Theforward-lookingstatementsandotherinformationinthisreleasearemadeasofthedatehereof(exceptwherenotedotherwise),andtheCompanyundertakesnoobligation(nordoesitintend)topubliclysupplement,updateorrevisesuchstatementsonagoing-forwardbasis,whetherasaresultofsubsequentdevelopments,changedexpectationsorotherwise,exceptasrequiredbyapplicablelaworregulation.Inconnectionwiththe“safeharbor”provisionsofthePrivateSecuritiesLitigationReformActof1995,theCompanyisidentifyingexamplesoffactors,risksanduncertaintiesthatcouldcauseactualresultstodiffer,perhapsmaterially,fromthoseindicatedbytheseforward-lookingstatements.Thosefactors,risksanduncertaintiesinclude,butarenotlimitedto,creditmarketdisruptionsoreconomicslowdowns,whichcouldaffectthevolumeofdebtandothersecuritiesissuedindomesticand/orglobalcapitalmarkets;othermattersthatcouldaffectthevolumeofdebtandothersecuritiesissuedindomesticand/orglobalcapitalmarkets,includingregulation,creditqualityconcerns,changesininterestratesandothervolatilityinthefinancialmarketssuchasthatduetouncertaintyascompaniestransitionawayfromLIBORandBrexit;thelevelofmergerandacquisitionactivityintheU.S.andabroad;theuncertaineffectivenessandpossiblecollateralconsequencesofU.S.andforeigngovernmentactionsaffectingcreditmarkets,internationaltradeandeconomicpolicy,includingthoserelatedtotariffsandtradebarriers;concernsinthemarketplaceaffectingourcredibilityorotherwiseaffectingmarketperceptionsoftheintegrityorutilityofindependentcreditagencyratings;theintroductionofcompetingproductsortechnologiesbyothercompanies;pricingpressurefromcompetitorsand/orcustomers;thelevelofsuccessofnewproductdevelopmentandglobalexpansion;theimpactofregulationasanNRSRO,thepotentialfornewU.S.,stateandlocallegislationandregulations,includingprovisionsintheDodd-FrankWallStreetReformandConsumerProtectionAct(“Dodd-Frank”)andregulationsresultingfromDodd-Frank;thepotentialforincreasedcompetitionandregulationintheEUandotherforeignjurisdictions;exposuretolitigationrelatedtoourratingopinions,aswellasanyotherlitigation,governmentandregulatoryproceedings,investigationsandinquirestowhichtheCompanymaybesubjectfromtimetotime;provisionsintheDodd-Franklegislationmodifyingthepleadingstandards,andEUregulationsmodifyingtheliabilitystandards,applicabletocreditratingagenciesinamanneradversetocreditratingagencies;provisionsofEUregulationsimposingadditionalproceduralandsubstantiverequirementsonthepricingofservicesandtheexpansionofsupervisoryremittoincludenon-EUratingsusedforregulatorypurposes;thepossiblelossofkeyemployees;failuresormalfunctionsofouroperationsandinfrastructure;anyvulnerabilitiestocyberthreatsorothercybersecurityconcerns;theoutcomeofanyreviewbycontrollingtaxauthoritiesoftheCompany’sglobaltaxplanninginitiatives;exposuretopotentialcriminalsanctionsorcivilremediesiftheCompanyfailstocomplywithforeignandU.S.lawsandregulationsthatareapplicableinthejurisdictionsinwhichtheCompanyoperates,includingdataprotectionandprivacylaws,sanctionslaws,anti-corruptionlaws,andlocallawsprohibitingcorruptpaymentstogovernmentofficials;theimpactofmergers,acquisitionsorotherbusinesscombinationsandtheabilityoftheCompanytosuccessfullyintegratesuchacquiredbusinesses;currencyandforeignexchangevolatility;theleveloffuturecashflows;thelevelsofcapitalinvestments;andadeclineinthedemandforcreditriskmanagementtoolsbyfinancialinstitutions.Thesefactors,risksanduncertaintiesaswellasotherrisksanduncertaintiesthatcouldcauseMoody’sactualresultstodiffermateriallyfromthosecontemplated,expressed,projected,anticipatedorimpliedintheforward-lookingstatementsaredescribedingreaterdetailunder“RiskFactors”inPartI,Item1AoftheCompany’sannualreportonForm10-KfortheyearendedDecember31,2018,andinotherfilingsmadebytheCompanyfromtimetotimewiththeSECorinmaterialsincorporatedhereinortherein.Stockholdersandinvestorsarecautionedthattheoccurrenceofanyofthesefactors,risksanduncertaintiesmaycausetheCompany’sactualresultstodiffermateriallyfromthosecontemplated,expressed,projected,anticipatedorimpliedintheforward-lookingstatements,whichcouldhaveamaterialandadverseeffectontheCompany’sbusiness,resultsofoperationsandfinancialcondition.Newfactorsmayemergefromtimetotime,anditisnotpossiblefortheCompanytopredictnewfactors,norcantheCompanyassessthepotentialeffectofanynewfactorsonit.

________________________________1RefertotablesattheendofthispressreleaseforareconciliationbetweenalladjustedandorganicmeasuresmentionedthroughoutthispressreleaseandGAAP.2Excludessovereigndebtissuance.

Table 1 - Consolidated Statements of Operations (Unaudited)

Three Months Ended

December 31, Year Ended December 31,

Amounts in millions, except per share amounts 2019 2018 2019 2018 Revenue $ 1,233 $ 1,060 $4,829 $4,443 Expenses:

Operating 355 305 1,387 1,246Selling,generalandadministrative 319 278 1,167 1,080Restructuring 2 49 60 49Depreciationandamortization 50 48 200 192Acquisition-RelatedExpenses — 4 3 8LosspursuanttothedivestitureofMAKS 3 — 14 —

Total expenses 729 684 2,831 2,575 Operating income 504 376 1,998 1,868Non-operating (expense) income, net

Interestexpense,net (59) (54) (208) (215)Othernon-operatingincome(expense),net 7 1 20 19

Totalnon-operating(expense)income,net (52) (53) (188) (196)Income before provision for income taxes 452 323 1,810 1,672

Provisionforincometaxes 91 69 381 352Net income 361 254 1,429 1,320

Less:netincomeattributabletononcontrollinginterests 2 3 7 10

Net income attributable to Moody's Corporation $ 359 $ 251 $1,422 $1,310 Earnings per share attributable to Moody's common shareholders

Basic $ 1.91 $ 1.31 $ 7.51 $ 6.84Diluted $ 1.88 $ 1.29 $ 7.42 $ 6.74

Weighted average number of shares outstanding

Basic 188.3 191.4 189.3 191.6Diluted 190.6 194.0 191.6 194.4

Table 2 - Supplemental Revenue Information (Unaudited)

Three Months Ended

December 31, Year Ended December 31,

Amounts in millions 2019 2018 2019 2018 Moody's Investors Service

CorporateFinance(1) $ 362 $ 291 $1,497 $1,379StructuredFinance(1) 109 121 427 481FinancialInstitutions 115 87 476 442Public,ProjectandInfrastructureFinance 125 91 446 391MISOther 9 5 29 19Intersegmentroyalty 35 32 134 124

Sub-totalMIS 755 627 3,009 2,836Eliminations (35) (32) (134) (124)

TotalMISrevenue-external 720 595 2,875 2,712 Moody's Analytics

Research,DataandAnalytics(2) 333 297 1,273 1,121EnterpriseRiskSolutions(2) 149 124 522 451ProfessionalServices 31 44 159 159Intersegmentrevenue 2 2 9 12

Sub-totalMA 515 467 1,963 1,743Eliminations (2) (2) (9) (12)

TotalMArevenue-external 513 465 1,954 1,731 Total Moody's Corporation revenue $ 1,233 $ 1,060 $4,829 $4,443

(1) Pursuanttocertainorganizationalrealignmentsinthefirstquarterof2019,MISnowreportsrevenuefromREITs,whichwaspreviouslyclassifiedintheSFGline-of-business("LOB"),asacomponentoftheCFGLOB.TheamountsreclassifiedwerenotmaterialandprioryearrevenuebyLOBhasbeenreclassifiedtoconformtothisnewpresentation.

(2) Pursuanttoorganizational/productrealignmentsinthefirstquarterof2019,revenuerelatingtotheBureauvanDijkFACTproduct,acreditassessmentandoriginationsoftwaresolution,isnowreportedintheERSLOB.ThisrevenuewaspreviouslyreportedintheRD&ALOB.PrioryearrevenuebyLOBhasbeenreclassifiedtoconformtothisnewpresentation,andtheamountsreclassifiedwerenotmaterial.

Table 3 - Selected Consolidated Balance Sheet Data (Unaudited) December 31, 2019 December 31, 2018Amounts in millions Cashandcashequivalents $ 1,832 $ 1,685Short-terminvestments 98 133Totalcurrentassets 3,679 3,387Operatingleaseright-of-useassets(1) 456 —Non-currentassets 6,586 6,139Totalassets 10,265 9,526Totalcurrentliabilities(2) 1,912 2,099Totaldebt(3) 5,581 5,676Totaloperatingleaseliabilities(1)(4) 574 —Otherlong-termliabilities 1,450 1,545Totalshareholders'equity 831 656 Totalliabilitiesandshareholders'equity $ 10,265 $ 9,526 Actualnumberofsharesoutstanding 187.7 191.3

(1) AmountsarepursuanttotheCompany'sadoptionofthenewleaseaccountingstandardonJanuary1,2019,whichresultsinoperatingleasesbeingrecognizedonthebalancesheet.

(2) The2018amountincludes$450millionofdebtclassifiedasacurrentliabilityasthematuritiesarewithintwelvemonthsofthebalancesheetdate.(3) Includesdebtclassifiedinbothcurrentliabilitiesandlong-termdebt.(4) The2019amountincludes$89millionofoperatingleaseliabilitiesclassifiedascurrent.

Table 4 - Selected Consolidated Balance Sheet Data (Unaudited) ContinuedTotaldebtconsistsofthefollowing: December 31, 2019

Amounts in millionsPrincipal Amount

Fair Value of Interest Rate

Swaps (1)

Unamortized (Discount) Premium

Unamortized Debt Issuance

Costs Carrying ValueNotesPayable:

4.50%2012SeniorNotes,due2022 $ 500 $ 9 $ (1) $ (1) $ 5074.875%2013SeniorNotes,due2024 500 — (1) (2) 4975.25%2014SeniorNotes(30-Year),due2044 600 — 4 (5) 5991.75%2015SeniorNotes,due2027 561 — — (3) 5582.75%2017SeniorNotes,due2021 500 11 (1) (2) 5082.625%2017SeniorNotes,due2023 500 7 (1) (2) 5043.25%2017SeniorNotes,due2028 500 — (4) (3) 4933.25%2018SeniorNotes,due2021 300 — — (1) 2994.25%2018SeniorNotes,due2029 400 — (3) (3) 3944.875%2018SeniorNotes,due2048 400 — (7) (4) 3890.950%2019SeniorNote,due2030 842 — (3) (6) 833

Totallong-termdebt $ 5,603 $ 27 $ (17) $ (32) $ 5,581 December31,2018

PrincipalAmount

FairValueofInterestRateSwaps(1)

Unamortized(Discount)Premium

UnamortizedDebtIssuance

Costs CarryingValueNotesPayable:

5.50%2010SeniorNotes,due2020 $ 500 $ (4) $ (1) $ (1) $ 4944.50%2012SeniorNotes,due2022 500 2 (2) (1) 4994.875%2013SeniorNotes,due2024 500 — (1) (2) 4972.75%2014SeniorNotes(5-Year),due2019 450 — — — 4505.25%2014SeniorNotes(30-Year),due2044 600 — 3 (5) 5981.75%2015SeniorNotes,due2027 572 — — (3) 5692.75%2017SeniorNotes,due2021 500 4 (1) (2) 5012.625%2017SeniorNotes,due2023 500 — (1) (3) 4963.25%2017SeniorNotes,due2028 500 — (5) (4) 4913.25%2018SeniorNotes,due2021 300 — — (2) 2984.25%2018SeniorNotes,due2029 400 — (3) (3) 3944.875%2018SeniorNotes,due2048 400 — (7) (4) 389

Totaldebt(2) $ 5,722 $ 2 $ (18) $ (30) $ 5,676

Currentportion (450)

Totallong-termdebt $ 5,226

(1) TheCompanyhasenteredintointerestrateswapsonthe2010SeniorNotes,2012SeniorNotes,2017SeniorNotesdue2021and2017SeniorNotesdue2023.Theseamountsrepresentthecumulativeamountoffairvaluehedgingadjustmentsincludedinthecarryingamountofthehedgeddebt.

(2) TheDecember31,2018amountincludes$450millionofdebtclassifiedasacurrentliabilityasthematuritieswerewithintwelvemonthsofthebalancesheetdate.

Table 5 - Non-Operating (Expense) Income, Net (Unaudited)

Three Months Ended

December 31, Year Ended December 31,

2019 2018 2019 2018Amounts in millions Interest:

Expenseonborrowings $ (50) $ (50) $ (176) $ (197)Income 4 4 17 15UTPsandothertaxrelatedliabilities (8) (4) (28) (15)Netperiodicpensioncosts-interestcomponent (5) (4) (22) (19)Interestcapitalized — — 1 1

Total interest expense, net $ (59) $ (54) $ (208) $ (215)Other non-operating (expense) income, net:

FXloss $ (4) $ (7) $ (18) $ (11)Netperiodicpensioncosts-othercomponents 5 2 18 10Incomefrominvestmentsinnon-consolidatedaffiliates 2 5 13 14Other 4 1 7 6

Other non-operating (expense) income, net 7 1 20 19

Total non-operating (expense) income, net $ (52) $ (53) $ (188) $ (196)

Table 6 - Financial Information by Segment (Unaudited)

Thetablebelowpresentsrevenue,operatingincomeandadjustedoperatingincomebyreportablesegment.TheCompanydefinesadjustedoperatingincomeasoperatingincomeexcluding:i)restructuring;ii)depreciationandamortization;iii)Acquisition-RelatedExpenses;iv)anon-recurringlosspursuanttothedivestitureofMAKS;andv)acaptiveinsurancecompanysettlement.

Three Months Ended December 31, 2019 2018Amounts in millions MIS MA Eliminations Consolidated MIS MA Eliminations ConsolidatedRevenue $ 755 $ 515 $ (37) $ 1,233 $ 627 $ 467 $ (34) $ 1,060TotalExpense 348 418 (37) 729 325 393 (34) 684

Operatingincome $ 407 $ 97 $ — $ 504 $ 302 $ 74 $ — $ 376Add: — Restructuring 2 — — 2 32 17 — 49Depreciationandamortization 18 32 — 50 16 32 — 48Acquisition-RelatedExpenses — — — — — 4 — 4LosspursuanttothedivestitureofMAKS — 3 — 3 — — — —

AdjustedOperatingIncome $ 427 $ 132 $ — $ 559 $ 350 $ 127 $ — $ 477 Operatingmargin 53.9% 18.8% 40.9% 48.2% 15.8% 35.5%Adjustedoperatingmargin 56.6% 25.6% 45.3% 55.8% 27.2% 45.0% Year Ended December 31, 2019 2018Amounts in millions MIS MA Eliminations Consolidated MIS MA Eliminations ConsolidatedRevenue $3,009 $1,963 $ (143) $ 4,829 $2,836 $1,743 $ (136) $ 4,443TotalExpense 1,376 1,598 (143) 2,831 1,276 1,435 (136) 2,575

Operatingincome $1,633 $ 365 $ — $ 1,998 $1,560 $ 308 $ — $ 1,868Add: Restructuring 31 29 — 60 32 17 — 49Depreciationandamortization 71 129 — 200 65 127 — 192Acquisition-RelatedExpenses — 3 — 3 — 8 — 8LosspursuanttothedivestitureofMAKS — 14 — 14 — — — —Captiveinsurancecompanysettlement 10 6 16 — — —

AdjustedOperatingIncome $1,745 $ 546 $ — $ 2,291 $1,657 $ 460 $ — $ 2,117 Operatingmargin 54.3% 18.6% 41.4% 55.0% 17.7% 42.0%Adjustedoperatingmargin 58.0% 27.8% 47.4% 58.4% 26.4% 47.6%

Table 7 - Transaction and Relationship Revenue (Unaudited)

Thetablesbelowsummarizethesplitbetweentransactionandrelationshiprevenue.IntheMISsegment,excludingMISOther,transactionrevenuerepresentstheinitialratingofanewdebtissuanceaswellasotherone-timefeeswhilerelationshiprevenuerepresentstherecurringmonitoringofarateddebtobligationand/orentitiesthatissuesuchobligations,aswellasrevenuefromprogramssuchascommercialpaper,medium-termnotesandshelfregistrations.InMISOther,transactionrevenuerepresentsrevenuefromprofessionalservicesandoutsourcingengagementsandrelationshiprevenuerepresentssubscription-basedrevenues.IntheMAsegment,transactionrevenuerepresentsperpetualsoftwarelicensefeesandrevenuefromsoftwareimplementationservices,riskmanagementadvisoryprojects,trainingandcertificationservices,andresearchandanalyticalengagements.RelationshiprevenueinMArepresentssubscription-basedrevenuesandsoftwaremaintenancerevenue.

Three Months Ended December 31,Amounts in millions 2019 2018 Transaction Relationship Total Transaction Relationship TotalCorporateFinance $ 249 $ 113 $ 362 $ 182 $ 109 $ 291 69% 31% 100% 63% 37% 100%StructuredFinance $ 62 $ 47 $ 109 $ 77 $ 44 $ 121 57% 43% 100% 64% 36% 100%FinancialInstitutions $ 48 $ 67 $ 115 $ 24 $ 63 $ 87 42% 58% 100% 28% 72% 100%Public,ProjectandInfrastructureFinance $ 84 $ 41 $ 125 $ 53 $ 38 $ 91 67% 33% 100% 58% 42% 100%MISOther $ — $ 9 $ 9 $ 1 $ 4 $ 5 —% 100% 100% 20% 80% 100%

Total MIS $ 443 $ 277 $ 720 $ 337 $ 258 $ 595 62% 38% 100% 57% 43% 100%Research,DataandAnalytics $ 4 $ 329 $ 333 $ 3 $ 294 $ 297 1% 99% 100% 1% 99% 100%EnterpriseRiskSolutions $ 39 $ 110 $ 149 $ 30 $ 94 $ 124 26% 74% 100% 24% 76% 100%ProfessionalServices $ 31 $ — $ 31 $ 44 $ — $ 44 100% —% 100% 100% —% 100%

Total MA $ 74 $ 439 $ 513 $ 77 $ 388 $ 465 14% 86% 100% 17% 83% 100%

Total Moody's Corporation $ 517 $ 716 $1,233 $ 414 $ 646 $1,060 42% 58% 100% 39% 61% 100%

Table 7 - Transaction and Relationship Revenue (Unaudited) Continued

Year Ended December 31,Amounts in millions 2019 2018 Transaction Relationship Total Transaction Relationship TotalCorporateFinance $ 1,057 $ 440 $1,497 $ 949 $ 430 $1,379 71% 29% 100% 69% 31% 100%StructuredFinance $ 246 $ 181 $ 427 $ 310 $ 171 $ 481 58% 42% 100% 64% 36% 100%FinancialInstitutions $ 212 $ 264 $ 476 $ 187 $ 255 $ 442 45% 55% 100% 42% 58% 100%Public,ProjectandInfrastructureFinance $ 292 $ 154 $ 446 $ 238 $ 153 $ 391 65% 35% 100% 61% 39% 100%MISOther $ 2 $ 27 $ 29 $ 2 $ 17 $ 19 7% 93% 100% 11% 89% 100%

Total MIS $ 1,809 $ 1,066 $2,875 $ 1,686 $ 1,026 $2,712 63% 37% 100% 62% 38% 100%Research,DataandAnalytics $ 16 $ 1,257 $1,273 $ 18 $ 1,103 $1,121 1% 99% 100% 2% 98% 100%EnterpriseRiskSolutions $ 118 $ 404 $ 522 $ 99 $ 352 $ 451 23% 77% 100% 22% 78% 100%ProfessionalServices $ 159 $ — $ 159 $ 159 $ — $ 159 100% —% 100% 100% —% 100%

Total MA $ 293 $ 1,661 $1,954 $ 276 $ 1,455 $1,731

15% 85% 100% 16% 84% 100%Total Moody's Corporation $ 2,102 $ 2,727 $4,829 $ 1,962 $ 2,481 $4,443

44% 56% 100% 44% 56% 100%

Table 8 - Adjusted Operating Income and Adjusted Operating Margin (Unaudited)

TheCompanypresentsAdjustedOperatingIncomeandAdjustedOperatingMarginbecausemanagementdeemsthesemetricstobeusefulmeasurestoprovideadditionalperspectiveontheoperatingperformanceofMoody’s.AdjustedOperatingIncomeexcludestheimpactof:i)restructuringcharges;ii)depreciationandamortization;iii)Acquisition-RelatedExpenses;iv)alosspursuanttothedivestitureofMAKS;andv)acaptiveinsurancecompanysettlement.Restructuringchargesareexcludedasthefrequencyandmagnitudeofthesechargesmayvarywidelyacrossperiodsandcompanies.Depreciationandamortizationareexcludedbecausecompaniesutilizeproductiveassetsofdifferentagesandusedifferentmethodsofacquiringanddepreciatingproductiveassets.Acquisition-RelatedExpensesconsistofexpensesincurredtocompleteandintegratetheacquisitionofBureauvanDijkandareexcludedduetothematerialnatureoftheseexpenses(whicharenotexpectedtorecuratthisdollarmagnitude)overthecourseofthemulti-yearintegrationeffort.Acquisition-relatedexpensesfromotheracquisitionswerenotmaterial.ThelosspursuanttothedivestitureofMAKSisexcludedasthefrequencyandmagnitudeofdivestitureactivitymayvarywidelyfromperiodtoperiodandacrosscompanies.Thecaptiveinsurancecompanysettlementrelatestotheresolutionofamatterthatisnotexpectedtorecurinthefutureatthismagnitude.Managementbelievesthattheexclusionoftheaforementioneditems,asdetailedinthereconciliationbelow,allowsforanadditionalperspectiveontheCompany’soperatingresultsfromperiodtoperiodandacrosscompanies.TheCompanydefinesAdjustedOperatingMarginasAdjustedOperatingIncomedividedbyrevenue.

Three Months Ended December 31, Year Ended December 31,Amounts in millions 2019 2018 2019 2018Operating income $ 504 $ 376 $ 1,998 $ 1,868

Restructuring 2 49 60 49Depreciationandamortization 50 48 200 192Acquisition-RelatedExpenses — 4 3 8LosspursuanttothedivestitureofMAKS 3 — 14 —Captiveinsurancecompanysettlement — — 16 —

Adjusted Operating Income $ 559 $ 477 $ 2,291 $ 2,117Operating margin 40.9% 35.5% 41.4% 42.0%Adjusted operating margin 45.3% 45.0% 47.4% 47.6%

Table 9 - Free Cash Flow (Unaudited)

ThetablebelowreflectsareconciliationoftheCompany'snetcashflowsfromoperatingactivitiestofreecashflow.TheCompanydefinesfreecashflowasnetcashprovidedbyoperatingactivitiesminuspaymentsforcapitaladditions.ManagementdeemscapitalexpendituresessentialtotheCompany'sproductandserviceinnovationsandmaintenanceofMoody'soperationalcapabilities.Accordingly,capitalexpendituresaredeemedtobearecurringuseofMoody'scashflow.ManagementbelievesthatfreecashflowisausefulmetricinassessingtheCompany'scashflowstoservicedebt,paydividendsandtofundacquisitionsandsharerepurchases.

Year Ended

December 31,Amounts in millions 2019 2018Net cash provided by operating activities $ 1,675 $1,461

Capitaladditions (69) (91)Free cash flow $ 1,606 $1,370Net cash provided by (used in) investing activities $ 36 $ (406)Net cash used in financing activities $(1,563) $ (412)

Table 10 - Organic Revenue and Growth Measures (Unaudited)

TheCompanypresentsorganicrevenueandorganicrevenuegrowthbecausemanagementdeemsthismetrictobeausefulmeasurewhichprovidesadditionalperspectiveinassessingtherevenuegrowthexcludingtheinorganicrevenueimpactsfromcertainacquisitionsanddivestitureactivity.Thefollowingtabledetailstheperiodofoperationsexcludedfromeachacquisition/divestituretodetermineorganicrevenue.

Period excluded to determine organic revenue growthAcquisition/Divestiture Q4 Full-YearOmegaPerformance — January1,2019-August16,2019Reis October1,2019-October14,2019 January1,2019-October14,2019RiskFirst October1,2019-December31,2019 July25,2019-December31,2019ABSSuite October1,2019-December31,2019 October1,2019-December31,2019MAKS November8,2018-December31,2018 November8,2018-December31,2018

BelowisareconciliationofMA'sreportedrevenueandgrowthratestoitsorganicrevenueandorganicgrowthrates:

Three Months Ended December 31, Year Ended December 31,Amounts in millions 2019 2018 Change Growth 2019 2018 Change GrowthMA revenue $ 513 $ 465 $ 48 10% $1,954 $1,731 $ 223 13%OmegaPerformancerevenue — — — (5) — (5) Reisrevenue (1) — (1) (28) — (28) RiskFirstrevenue (5) — (5) (7) — (7) ABSSuiterevenue (2) — (2) (2) — (2) MAKSrevenue — (16) 16 — (16) 16 Organic MA revenue $ 505 $ 449 $ 56 12% $1,912 $1,715 $ 197 11% Three Months Ended December 31, Amounts in millions 2019 2018 Change Growth RD&A revenue $ 333 $ 297 $ 36 12% Reisrevenue (1) — (1) ABSSuiterevenue (2) — (2) Organic RD&A revenue $ 330 $ 297 $ 33 11% Three Months Ended December 31, Amounts in millions 2019 2018 Change Growth ERS revenue $ 149 $ 124 $ 25 20% RiskFirstrevenue (5) — (5) Organic ERS revenue $ 144 $ 124 $ 20 16% Three Months Ended December 31, Amounts in millions 2019 2018 Change Growth PS revenue $ 31 $ 44 $ (13) (30)% MAKSrevenue — (16) 16 Organic PS revenue $ 31 $ 28 $ 3 11%

Table 11 - Adjusted Net Income and Adjusted Diluted EPS Attributable to Moody's Common Shareholders (Unaudited)

TheCompanypresentsAdjustedNetIncomeandAdjustedDilutedEPSbecausemanagementdeemsthesemetricstobeusefulmeasurestoprovideadditionalperspectiveontheoperatingperformanceofMoody’s.AdjustedNetIncomeandAdjustedDilutedEPSexcludetheimpactof:i)amortizationofacquiredintangibleassets;ii)Acquisition-RelatedExpenses;iii)restructuringcharges;iv)alossandtaxchargepursuanttothedivestitureofMAKS;andv)acaptiveinsurancecompanysettlement.

TheCompanyexcludestheimpactofamortizationofacquiredintangibleassetsascompaniesutilizeintangibleassetswithdifferentagesandhavedifferentmethodsofacquiringandamortizingintangibleassets.Furthermore,thetimingandmagnitudeofbusinesscombinationtransactionsarenotpredictableandthepurchasepriceallocatedtoamortizableintangibleassetsandtherelatedamortizationperiodareuniquetoeachacquisitionandcanvarysignificantlyfromperiodtoperiodandacrosscompanies.Also,managementbelievesthatexcludingacquisition-relatedamortizationexpenseprovidesadditionalperspectivewhencomparingoperatingresultsfromperiodtoperiod,andwithbothacquisitiveandnon-acquisitivepeercompanies.Additionally,Acquisition-RelatedExpensesconsistofexpensesincurredtocompleteandintegratetheacquisitionofBureauvanDijkandareexcludedduetothematerialnatureoftheseexpenses(whicharenotexpectedtorecuratthisdollarmagnitude)overthecourseofthemulti-yearintegrationeffort.Acquisition-relatedexpensesfromotheracquisitionswerenotmaterial.ThelossandtaxchargepursuanttothedivestitureofMAKSareexcludedasthefrequencyandmagnitudeofdivestitureactivitymayvarywidelyfromperiodtoperiodandacrosscompanies.Thecaptiveinsurancecompanysettlementrelatestotheresolutionofamatterthatisnotexpectedtorecurinthefutureatthismagnitude.

Furthermore,theCompanyexcludedtheimpactof2018adjustmentspursuanttoU.S.TaxReformandcertainadjustmentsrelatingtotheCompany’snon-U.S.UTPs,whichresultedinsignificantadjustmentstotheprovisionforincometaxesintheprioryear.TheCompanyexcludestheseitemstoprovideadditionalperspectivewhencomparingnetincomeanddilutedEPSfromperiodtoperiodandacrosscompaniesasthefrequencyandmagnitudeofsimilartransactionsmayvarywidelyacrossperiods.

BelowisareconciliationofthismeasuretoitsmostdirectlycomparableU.S.GAAPamount:

Three Months Ended December 31, Year Ended December 31,Amounts in millions 2019 2018 2019 2018Net income attributable to Moody's common shareholders $ 359 $ 251 $1,422 $1,310

Pre-TaxAcquisition-RelatedExpenses $ — $ 4 $ 3 $ 8 TaxonAcquisition-RelatedExpenses — (1) — (2)

Net Acquisition-Related Expenses — 3 3 6Pre-TaxAcquisition-RelatedIntangibleAmortizationExpenses $ 26 $ 27 $103 $102 TaxonAcquisition-RelatedIntangibleAmortizationExpenses (6) (7) (24) (23)

Net Acquisition-Related Intangible Amortization Expenses 20 20 79 79Pre-TaxRestructuring $ 2 $ 49 $ 60 $ 49 TaxonRestructuring (1) (12) (15) (12)

Net Restructuring 1 37 45 37Loss pursuant to the divestiture of MAKS 3 — 14 —Tax charge pursuant to the divestiture of MAKS (2) — 13 —Impact of U.S. Tax reform — 6 — (59)Increase to non-U.S. UTPs — — — 64

Pre-Taxcaptiveinsurancecompanysettlement $ — $ — $ 16 $ — Taxoncaptiveinsurancecompanysettlement — — (4) —

Net captive insurance company settlement — — 12 —

Adjusted Net Income $ 381 $ 317 $1,588 $1,437

Note:Thetaximpactsinthetableabovewerecalculatedusingtaxratesineffectinthejurisdictionforwhichtheitemrelates.

Table 11 - Adjusted Net Income and Adjusted Diluted EPS Attributable to Moody's Common Shareholders (Unaudited) Continued

Three Months Ended December 31, Year Ended December 31, 2019 2018 2019 2018Earnings per share attributable to Moody's common shareholders $ 1.88 $ 1.29 $7.42 $ 6.74

Pre-TaxAcquisition-RelatedExpenses $ — $ 0.02 $ 0.02 $ 0.04 TaxonAcquisition-RelatedExpenses — — — (0.01)

Net Acquisition-Related Expenses — 0.02 0.02 0.03Pre-TaxAcquisition-RelatedIntangibleAmortizationExpenses $ 0.14 $ 0.14 $ 0.54 $ 0.52 TaxonAcquisition-RelatedIntangibleAmortizationExpenses (0.04) (0.04) (0.12) (0.12)

Net Acquisition-Related Intangible Amortization Expenses 0.10 0.10 0.42 0.40Pre-TaxRestructuring $ 0.01 $ 0.25 $ 0.31 $ 0.25 TaxonRestructuring — (0.06) (0.08) (0.06)

Net Restructuring 0.01 0.19 0.23 0.19Loss pursuant to the divestiture of MAKS 0.02 — 0.07 —Tax charge pursuant to the divestiture of MAKS (0.01) — 0.07 —Impact of U.S. Tax reform — 0.03 — (0.30)Increase to non-U.S. UTPs — — — 0.33

Pre-Taxcaptiveinsurancecompanysettlement $ — $ — $ 0.08 $ — Taxoncaptiveinsurancecompanysettlement — — (0.02) —

Net captive insurance company settlement — — 0.06 —

Adjusted Diluted EPS $ 2.00 $ 1.63 $8.29 $ 7.39

Note:Thetaximpactsinthetableabovewerecalculatedusingtaxratesineffectinthejurisdictionforwhichtheitemrelates.

Table 12 - 2020 Outlook

Moody'soutlookfor2020isbasedonassumptionsaboutmanygeopoliticalconditionsandmacroeconomicandcapitalmarketfactors,includinginterestrates,foreigncurrencyexchangerates,corporateprofitabilityandbusinessinvestmentspending,mergersandacquisitions,consumerborrowingandsecuritization,andtheamountofdebtissued.Theseassumptionsaresubjecttouncertainty,andresultsfortheyearcoulddiffermateriallyfromourcurrentoutlook.OurguidanceassumestimelyclosingoftherecentlyannouncedacquisitionofRegulatoryDataCorpandassumesforeigncurrencytranslationatend-of-quarterexchangerates.Specifically,ourforecastreflectsexchangeratesfortheBritishpound(£)of$1.31to£1andfortheeuro(€)of$1.11to€1.

Full Year 2020 Moody's Corporation Guidance as of February 12, 2020MOODY'S CORPORATIONRevenue increaseinthemid-single-digitpercentrangeOperatingexpenses increaseinthelow-single-digitpercentrangeOperatingmargin approximately44%Adjustedoperatingmargin(1) 48%-49%Interestexpense,net $180-$200millionEffectivetaxrate 20%-22%DilutedEPS $8.60to$8.80AdjustedDilutedEPS(1) $9.10to$9.30Operatingcashflow $1.8to$1.9billionFreecashflow(1) $1.7to$1.8billionSharerepurchases approximately$1.3billion(subjecttoavailablecash,marketconditionsandotherongoingcapitalallocationdecisions)Moody's Investors Service (MIS)MISglobalrevenue increaseinthemid-single-digitpercentrangeMISadjustedoperatingmargin 58%-59%Moody's Analytics (MA)MAglobalrevenue increaseinthehigh-single-digitpercentrangeMAadjustedoperatingmargin approximately30%(1)Thesemetricsareadjustedmeasures.SeebelowforreconciliationofthesemeasurestotheircomparableGAAPmeasure.

Table 12 - 2020 Outlook ContinuedThefollowingarereconciliationsoftheCompany'sadjustedforwardlookingmeasurestotheircomparableGAAPmeasure:

Projected for the Year Ended

December 31, 2020Operatingmarginguidance Approximately44%Depreciationandamortization Approximately4.5%

Adjustedoperatingmarginguidance 48% - 49%

Projected for the Year Ended

December 31, 2020Operatingcashflowguidance $1.8to$1.9billionLess:Capitalexpenditures Approximately$100million

Freecashflowguidance $1.7 to $1.8 billion

Projected for the Year Ended

December 31, 2020DilutedEPS $8.60to$8.80Acquisition-relatedintangibleamortization Approximately$0.50

AdjustedDilutedEPS $9.10 to $9.30

Contacts

ShivaniKakInvestor Relations 212.553.0298shivani.kak@moodys.com

MichaelAdlerCorporate Communications 212.553.4667michael.adler@moodys.com

moodys.comir.moodys.com/moodys.com/csr