John Wiley & Sons Inc. Annual Report 2009

FY2009 Annual Report · John Wiley & Sons Inc.
Loading PDF…
john wiley & sons, inc.   
111 River Street
Hoboken, NJ 07030-5774
201.748.6000
www.wiley.com

john wiley & sons, inc. 
2009 annual report

 solutions  

connecting
people,
products,  
and
knowledge

BF55539_Cover.indd   1

7/16/09   9:45:39 AM

 
 
 
 
 
highlights

For	the	fiscal	year	ended	April	30		

		2009 

2008 

excluding FX 

including FX 

rEvENuE  

 $ 1,611,390,000 

 $ 1,673,734,000 

opErAtiNG iNComE  

$   218,478,000 

$  225,211,000 

3% 

11% 

(4%)

(3%)

CHANGE

NEt iNComE 

adjusted b 

  gaap 

EArNiNGs pEr 
dilutEd sHArE 

adjusted b 

  gaap 

rEturN oN Equity 

adjusted b 

  gaap 

dividENds pEr sHArE 

class a common 

class b common 

$  128,258,000 

$  128,873,000 

$  128,258,000 

$  147,536,000 

23%  

7% 

—%

(13%)

$ 

$ 

$ 

$ 

2.15 

2.15 

$ 

$ 

22% 

21% 

0.52 

0.52 

$ 

$ 

2.17 

2.49 

22% 

24% 

0.44 

0.44 

22% 

6% 

(1%)

(14%)

n/a 

n/a 

18%

18%

2009 revenue 
By CORE BUSINESS

Scientific, Technical,  

60%
Medical, and Scholarly 26%

Professional/Trade

14%

Higher Education

4% 

CANADA

50% 

UNITED STATES

24% 

EUROPE

3% 

OTHER

2009 revenue
By LOCATION OF CUSTOMER

14% 

ASIA

C o r p o r a t e   H e a d q u a r t e r s ,   M a i n   o f f i C e s ,   a n d   d i s t r i b u t i o n   C e n t e r s     

North AmericA
Corporate Headquarters 
John Wiley & Sons, Inc. 
111 River Street 
Hoboken, NJ  07030-5774 
Telephone: 201.748.6000 
Facsimile: 201.748.6088 
Email: info@wiley.com 
Web site: www.wiley.com 

350 Main Street 
Commerce Place  
Malden, MA  02148  
Telephone: 781.388.8200 
Facsimile: 781.388.8210

989 Market Street 
San Francisco, CA  94103-1741 
Telephone: 415.433.1740 
Facsimile: 415.433.0499

10475 Crosspoint Blvd.  
Indianapolis, IN  46256  
Telephone: 317.572.3000 
Facsimile: 317.572.4000

2121 State Avenue 
Ames, IA 50014-8300 
Telephone: 515.292.0140 
Facsimile: 515.292.3348

U.S. Distribution Center 
1 Wiley Drive 
Somerset,  NJ 08875-1272 
Telephone: 800.225.5945 
Facsimile: 732.302.2300 
Email: custserv@wiley.com

Wiley customer Service  
Support centers are located  
in North America, europe,  
Asia, and Australia for books, 
journals, and online customers.  
to contact a center near you,  
visit www.wiley.com  
and select “contact Us” in  
the green toolbar.

5353 Dundas Street West 
Suite 400 
Toronto, Ontario 
Canada M9B 6H8 
Telephone: 416.236.4433 
Facsimile: 416.236.8743 
Email: canada@wiley.com

Canadian Distribution Center 
6045 Freemont Blvd. 
Mississauga, Ontario   
Canada L5R 4J3 
Telephone: 416.236.4433 
Facsimile: 416.236.8743

eUrope
The Atrium 
Southern Gate, Chichester 
West Sussex PO19 8SQ  
England 
Telephone: 44.1243.779777 
Facsimile: 44.1243.775878 
Email: customer@wiley.co.uk

9600 Garsington Road 
Oxford OX4 2DQ 
England 
Telephone: 44.1865.776868 
Facsimile: 44.1865.714591

1 Rosenørns Allé 
DK-1970 Frederiksberg C  
Denmark 
Telephone: 45.7733.3333 
Facsimile: 45.7733.3377

101 George Street 
Edinburgh EH2 3ES 
Scotland 
Telephone: 44.131.226.7232 
Facsimile: 44.131.226.3803

Boschstrasse 12 
D-69469 Weinheim 
Germany 
Telephone: 49.6201.6060 
Facsimile: 49.6201.606328 
Email: info@wiley-vch.de

European Distribution Center 
1 Oldlands Way 
Bognor Regis 
West Sussex PO22 9SA 
England 
Telephone: 44.1243.779777 
Facsimile: 44.1243.850250

SuSan Spilka Corporate Communications Director / BernharDt FuDyma DeSign group Concept and Design  

SpenCer JoneS product photography / Bill haywarD portrait photography / graytor printing Company printing

AUStrAliA
42 McDougall Street 
Milton, Queensland 4064 
Australia 
Telephone: 61.7.3859.9755 
Facsimile: 61.7.3859.9715 
Email: brisbane@johnwiley.com.au

155 Cremorne Street 
Richmond, Victoria 3121 
Australia 
Telephone: 61.3.9274.3100 
Facsimile: 61.3.9274.3101 
Email: melbourne@johnwiley.com.au

Australian Distribution Center 
33 Windorah Street 
Stafford, Queensland 4053 
Australia 
Telephone: 61.7.3354.8455  
Facsimile: 61.7.3352.7109

ASiA
2 Clementi Loop  
#02-01 
Singapore 129809 
Telephone: 65.64632400 
Facsimile: 65.64634605 
Email: enquiry@wiley.com.sg

600 North Bridge Road  
#05-01 Parkview Square   
Singapore 188778 
Telephone: 65.65118188 
Facsimile: 65.65118288

Frontier Koishikawa Bldg., 4F 
1-28-1 Koishikawa, Bunkyo-Ku 
Tokyo 112-0002  
Japan 
Telephone: 81.3.3830.1232 
Facsimile: 81.3.5689.7276

4435-36/7, Ansari Road  
Darya Ganj, New Delhi 110 002 
India 
Telephone: 91.11.4636.0000/01 
Facsimile: 91.11.2327.5895

Asian Distribution Center 
2 Clementi Loop  
#02-01 
Singapore 129809 
Telephone: 65.64632400  
Facsimile: 65.64634605 
Email: enquiry@wiley.com.sg

This document is a publication of Wiley’s Corporate Communications 
department. An electronic version of this report is available online at 
www.wiley.com.   

This annual report is printed on FSC-certified paper from mixed sources. 

Cert no. SGS-COC-003604

BF55539_Cover.indd   2

7/16/09   10:21:25 AM

   financial 
	
	
	
 
 
 
 
 
 
 
 
 
Revenue ($ Millions)

Earnings per Diluted Share (Adjusted)

$2,000

1,600

1,200

800

400

0

$1,611

12% CAGR

9999

0000

0101

0202

0303

0404

0505

0606

0707a

0808a

0909a

$ 2.50

  2.00

  1.50

  1.00

  0.50

  0.00

$2.15

14% CAGR

9999

0000

0101

0202f

0303f,g

0404e

0505d

0606d

0707a,c

0808a,b

0909a

Operating Income ($ Millions; adjusted)

Stock Price (NYSE:JWA; 4/30 closing)

$ 250

 200

 150

 100

  50

0

13% CAGR

$218

$50

40

30

20

5% CAGR

$33.90

9999

0000

0101

0202f

0303f

0404

0505

0606

0707a

0808a

0909a

10

99

00

01

02

03

04

05

06

07

08

09

Cumulative Total Return (Indexed)

$180

 160

 140

 120

 100

  80

  60

  40

04

05

06

07

08

09

■ JWA    ■ Russell 1000    ■ S&P Midcap 400    ■ Dow Pub 

The above graph provides an indicator of the cumulative total return to shareholders of the 
Company’s Class A Common Stock as compared with the cumulative total return on the Russell 
1000, the Standard & Poors Midcap 400TM, and the Dow Jones Publishing IndexTM for the period 
from April 30, 2004, to April 30, 2009. The Company has elected to use the Russell 1000 Index and 
the Standard & Poors Midcap 400 Index as its broad equity market indices because it is currently 
included in those indices. Cumulative total return assumes $100 invested on April 30, 2004, and 
reinvestment of dividends throughout the period.

5%

AUSTRALIA &
NEW ZEALAND

a. Includes the results of Blackwell Publishing 
(Holdings) Ltd. (“Blackwell”), which was acquired 
on February 2, 2007.

b. The adjusted amounts reported for ﬁ scal year 
2008 exclude tax beneﬁ ts of $18.7 million or 
$0.31 per diluted share associated with new tax 
legislation enacted in the United Kingdom and 
Germany that reduced the corporate income tax 
rates to 28% and 29%, respectively. The beneﬁ ts 
recognized by the Company reﬂ ect the adjustments 
required to restate all applicable deferred tax 
balances at the new tax rates.

c. The adjusted amount reported for ﬁ scal year 
2007 excludes a $5.5 million tax beneﬁ t or $0.09 
per diluted share due to the resolution and 
settlement of certain tax matters with authorities 
in the U.S. and abroad.

d. The adjusted amount for ﬁ scal year 2005 
excludes a $0.12 per diluted share tax charge 
associated with the repatriation of $94 million 
of dividends under the American Jobs Creation 
Act of 2004.

The adjusted amount for ﬁ scal year 2006 excludes 
a $0.12 per diluted share tax credit associated with 
the reversal of the 2005 tax charge.

e. The adjusted amount reported for ﬁ scal year 
2004 excludes a net tax beneﬁ t of $3 million or 
$0.05 per diluted share, related to the resolution 
of certain state and federal tax matters and an 
adjustment to accrued foreign taxes.

f. Fiscal year 2002 and 2003 results exclude 
$12.3 million ($0.12 per diluted share) and $2.5 
million ($0.02 per diluted share), respectively, of 
operating costs associated with the relocation of 
the Company’s headquarters.

g. The adjusted amount reported for ﬁ scal year 
2003 excludes a nonrecurring tax beneﬁ t of $12 
million, equal to $0.19 per diluted share, resulting 
from a corporate reorganization that enabled the 
Company to increase the tax-deductible net asset 
basis of certain European subsidiaries.

NOTE: The Company’s management evaluates 
operating performance excluding unusual and/
or nonrecurring events. Management believes 
excluding such events provides a more effective 
and comparable measure of performance and a 
more balanced view of the underlying dynamics 
of the Company’s business. Since adjusted net 
income and adjusted earnings per share are not 
measures calculated in accordance with GAAP, 
they should not be considered as a substitute for 
other GAAP measures, including net income and 
earnings per share, as an indicator of operating 
performance. 

Throughout this report, references to amounts 
“excluding foreign exchange” and “currency 
neutral” exclude both foreign currency translation 
effects and transactional gains and losses.

CAGR – Compound Annual Growth Rate
FX – Foreign Exchange
GAAP – U.S. Generally Accepted Accounting Principles

 
William J. Pesce
President and Chief Executive Ofﬁ cer

Stephen M. Smith
Executive Vice President and Chief Operating Ofﬁ cer

Peter Booth Wiley
Chairman, Board of Directors

2

to our
to our

shareholders
Despite the difﬁ cult economic conditions, Wiley 
performed well in ﬁ scal year 2009, delivering revenue 
and EPS growth on a currency neutral basis. Our 
Scientiﬁ c, Technical, Medical, and Scholarly (STMS) 
and Higher Education (HE) businesses recorded strong 
growth on a currency neutral basis. Our Professional/
Trade (P/T) business has been affected by the weak 
retail environment, especially in the U.S. 

In a tough year, all three of our businesses published and sold more content than was imaginable just a few short 
years ago. People all over the world need the information we publish, for living, learning, and working. We are 
serving our customers better and reaching more of them by publishing “must-have” content; taking advantage 
of digital opportunities; and investing in enduring relationships with authors, partners, and colleagues. 

Financial Results for Fiscal Year 2009

We are pleased to report that fi scal year 2009 revenue grew 3.4% on a currency neutral basis, the result of strong 
growth in our STMS and HE businesses. Including the negative $120 million eff ect of foreign exchange, full-year 
revenue declined 3.7% to $1.6 billion. 

Adjusted earnings per share (EPS) for fi scal year 2009 rose 22.0% on a currency neutral basis and excluding a $0.31 
per share unusual tax benefi t reported in the prior year. Th  e increase refl ected top-line results, reduced incentive 
compensation accruals, lower interest expense, and prudent cost management. EPS on a U.S. GAAP basis fell 
13.7% due to unfavorable foreign exchange of $0.50 per share and the aforementioned unusual tax benefi t in fi scal 
year 2008.  

Th  e Company continues to generate strong free cash fl ow, increasing to $164 million, up 40% from $117 million 
in fi scal year 2008. Increased cash from operating activities principally drove the year-on-year improvement. Cash 
collection delays reduced fi scal year 2009 cash fl ow by approximately $30 million. Th  e backlog in cash collections, a 
residual eff ect of the STMS journal billing delays in the second half of fi scal year 2009, will be substantially cleared 
in the fi rst quarter of fi scal year 2010.  

3

solution

connecting people, products, and knowledge

The theme of this year’s Annual Report — Solutions — showcases the ways in which Wiley is

anticipating and responding to market challenges and opportunities. Wiley’s engagement with authors, 

customers, and partners is evolving as we leverage our content and enabling technology across

business and geographic boundaries. These initiatives highlight our vision, strategies, and capabilities

as we navigate through the current economic climate while investing in a prosperous future and

fulﬁ lling our responsibilities as a respected corporate citizen. 

Free cash fl ow was used to reduce debt, pay dividends, repurchase shares, and invest in acquisitions. In fi scal year 
2009, the Company repurchased approximately one million shares for $35 million, paid dividends of $30 million, 
made several acquisitions totaling $24 million, and reduced long term debt by $20 million. Year-end net debt (debt 
minus cash) was $720 million. 

Three Core Businesses

SCIENTIFIC, TECHNICAL, MEDICAL, AND SCHOLARLY (STMS)  

Th  e largest of our three core businesses, STMS serves the world’s research and scholarly communities and is the 
largest publisher globally for professional and scholarly societies. STMS programs encompass journals, books, 
major reference works, databases, and laboratory manuals, off ered in print and electronically. Th  rough our Wiley 
InterScience online platform, we provide our customers access to a broad range of content, including approximately 
1,500 journals; 7,600 online books; 100 major reference works; 10,000 laboratory protocols; and 1,000 digital back-
fi les dating back as far as 200 years. 

On a currency neutral basis, STMS revenue advanced 9% (including a $17 million accounting adjustment related to 
the Blackwell acquisition that reduced revenue in fi scal year 2008), a result of higher journal subscription renewals, 
new business, and increased global rights income. Partially off setting the results were lower sales from backfi les, 
reprints, and custom publishing. Society relationships continued to strengthen and grow, with 32 new journals 
signed in fi scal year 2009, 87 journal contracts renewed or extended, and only nine journal contracts not renewed. 
Including $97 million of unfavorable foreign exchange, revenue declined 1% to $969 million.

Direct contribution to profi t for the fi scal year grew 4% from the prior year to $399 million. On a currency 
neutral basis, contribution to profi t advanced 14%. Th  e year-over-year increase refl ects top-line results, including the 
aforementioned acquisition-related accounting adjustment, partially off set by higher editorial costs due to new 
journals and performance-related compensation.    

Wiley achieved an important milestone in fi scal year 2009 by migrating online journal content, customers, and 
access licenses from Blackwell’s Synergy platform to Wiley InterScience. Th  e migration included approximately 
29,000 customers, more than two million licenses, and nearly two million journal articles.  

4

Th  e next step in the evolution of Wiley’s online service will be the launch of a new platform with an innovative 
architecture that will allow for fl exibility and future change, as well as a fresh user interface with many built-in 
features such as better browsing, vastly improved home pages for all types of products, subject pages, and ways to 
discover more from the abstract page (the destination page for users who come from search engines). Our objective 
is to launch a robust site in the coming year with all content available, providing a smooth transition and a positive 
user experience for customers.  

A fi scal year 2009 acquisition brought to STMS the Arnold statistics book program from Hodder Education, 
which includes more than 50 titles, complements areas of strength in Wiley’s statistics program, and provides 
growth opportunities.

PROFESSIONAL/TRADE (P/T)

Our P/T business serves professionals and consumers alike, producing books, subscription content, and information 
services, in all media. Our portfolio of global brands includes For Dummies, Frommer’s, Betty Crocker, Pillsbury, 
Better Homes and Gardens, Family Circle, Cliff sNotes, Webster’s New World, J.K. Lasser, Jossey-Bass, Pfeiff er, 
and Sybex. Subject areas include business, technology, architecture, cooking, psychology, education, travel, health, 
religion, consumer reference, and general interest.

Global P/T revenue declined 10% to $413 million in fi scal year 2009, excluding unfavorable foreign exchange, 
compared to the prior year, or 13% including unfavorable foreign exchange. Th  e decline is attributed to the ongoing 
weak retail environment, particularly in the U.S. 

Direct contribution to profi t was $95 million compared to $137 million for fi scal year 2008, refl ecting the revenue 
shortfall, additional inventory obsolescence and royalty advance provisions, and a $2 million bad-debt recovery 
in the prior year. Th  e decline was partially mitigated by prudent expense management, principally in advertising, 
sales, and marketing, and lower accrued incentive compensation. Direct contribution to profi t declined 31%, or 27% 
excluding unfavorable foreign exchange, from the prior year.

P/T is extending brands online and forging important partnerships to drive growth. Th  e Company became the 
offi  cial publisher of the Graduate Management Admission Test® (GMAT®) study guides, began to publish Better 
Homes and Gardens books, renewed our agreement with General Mills to publish Betty Crocker and Pillsbury 
cookbooks, and signed an agreement with the Vancouver Olympic Organizing Committee to become the offi  cial 
publication partner of the 2010 Winter Olympic and Paralympic Games in Vancouver/Whistler.

solution

promoting critical knowledge

Wiley’s publication of Restoring Financial Stability: How to Repair a Failed System, in partnership with New York 

University’s Stern School of Business, is a case study in collaboration and the breadth of our market reach. An 

October conversation between President and CEO Will Pesce, a Stern graduate and a member of Stern’s Board of 

Overseers, and the school’s Dean, Thomas F. Cooley, led to the March launch of this collection of 18 papers by 33 

Stern faculty members on current economic conditions. A special issue of the journal Financial Markets, Institutions 

& Instruments, co-owned by Wiley and Stern, carried the executive summaries of the papers, adding academic 

readership to the professional and trade audience reached by the book. Stern based an MBA course on the book’s 

contents, and we are planning to make that course material available to academic institutions around the world. 
Colleagues from all three of Wiley’s global businesses collaborated to publish and disseminate these important 

publications quickly and efﬁ ciently.

5

 
solution

business intelligence for global success

Wiley’s successful transformation into a global organization has been supported by a well-executed 

Business Intelligence (BI) strategy. By building BI capabilities using global systems and data 

standards, along with Web-based planning and forecasting models, the Company has gained clarity 

and insight into the operations of its three core businesses, increasing its “analytical IQ” in a way 

that has helped us navigate the turbulence of the current economic environment. As a leading 

publisher in information science and technology, we have tapped our own reservoir of knowledge 

to create this capacity.

HIGHER EDUCATION (HE)

Wiley HE’s mission is to help teachers teach and students learn. HE serves teachers; undergraduate, graduate, and 
advanced placement students; secondary school students in Australia; and lifelong learners. We publish educational 
materials in all media, notably through WileyPLUS, our integrated online suite of teaching and learning resources. 
Wiley publishes materials in the sciences, engineering, mathematics, business/accounting, geography, computer 
science, statistics, education, psychology, and modern languages.

Fiscal year 2009 global HE revenue grew 6% to $230 million excluding unfavorable foreign exchange or 1% including 
the currency eff ect. Strong growth occurred in every region and in nearly every subject category. Contributing to the 
results were a strong frontlist, higher-than-expected revenue from textbooks acquired during the year, solid growth 
from the Microsoft collaboration agreement, and the continued success of WileyPLUS. Th  e continuing growth of 
WileyPLUS is indicated by several key metrics: global full-year billings refl ected annual growth of 38%, digital-only 
sales grew 70%, and the validation rate increased to 63%. 

Direct contribution to profi t decreased 10% to $62 million, or 3% on a currency neutral basis, from prior year. 
Th  e decrease refl ected prior year contingency planning, which had signifi cantly curtailed expenditures in fi scal 
year 2008; higher accrued performance compensation; and increased spending to support a large frontlist. 

Th  roughout the fi scal year, HE continued to build momentum through acquisitions, alliances, and innovative 
initiatives. Wiley acquired a list of business and modern language textbooks from Cengage Learning, and 
mathematics and statistics textbooks from Key College Publishing. Notable alliances include an agreement with 
Amazon to off er select Wiley eTextbooks for sale through the Kindle DX. Wiley Custom Select — an easy-to-use, 
Web-based custom textbook system that allows instructors to customize course materials to fi t their pedagogical 
needs and have the results delivered in very aff ordable print or eBook format — successfully launched during the 
fourth quarter. 

Leadership Development

In late March, we announced the appointment of Stephen M. Smith as Executive Vice President and Chief 
Operating Offi  cer, eff ective May 1, 2009. Steve is now responsible for the overall direction and leadership of Wiley’s 

6

 
global publishing businesses. He has relocated to Wiley’s global headquarters in Hoboken from Chichester, U.K., 
where he was based as Senior Vice President, International Development, with responsibility for Europe, the 
Middle East, Africa, Asia, and Australia.

Steve is a highly infl uential member of Wiley’s Leadership Team and a major contributor to the Company’s success. 
His leadership skills and extensive experience in Asia and Europe, where he has been actively involved in all of 
Wiley’s core businesses, will be critically important as Wiley evolves as a global enterprise. We value and appreciate 
his ability to lead and infl uence across organizational and geographic boundaries. Steve was actively engaged in 
the Blackwell acquisition and integration and is currently leading Wiley’s Corporate Citizenship initiative. He has 
an impressive record of recruiting and developing talent at Wiley. Th  is appointment is tangible evidence of our 
commitment to the development of the next generation of leadership at Wiley. 

Steve joined Wiley in 1992 as Vice President, Wiley Asia. In 1995, he was promoted to the new position of Vice 
President, International Development. He became Senior Vice President, International Development, in 1996, 
when he assumed corporate responsibility for Wiley Australia. In May 2000, Wiley’s P/T business in Europe was 
added to his responsibilities. In 2006, Steve became Chief Operating Offi  cer of Wiley’s U.K. business; he was 
appointed Senior Vice President, Wiley Europe, in 2007, while continuing his role in Asia and Australia.

Outlook

We are cautiously optimistic about our prospects for fi scal year 2010, despite continued uncertainty regarding the 
eff ect of the economy on our global businesses. In fi scal year 2010, projected operating performance improvements 
in each of our businesses and the positive eff ect of debt reduction will be partially off set by a higher tax rate and the 
eff ect of performance-based incentive compensation plans. On a currency neutral basis, we are currently projecting 
EPS growth of approximately 10% for fi scal year 2010. While we anticipate revenue growth on a currency neutral 
basis, top-line results will be highly dependent on economic conditions around the world.

As we navigate through challenging market conditions, we remain keenly focused on our noble mission of 
promoting knowledge and understanding around the world. We are providing more access to more content by 
more people than ever before in our Company’s history. Our collection of businesses — STMS, P/T, and HE — 
is unique in the industry. Our brands are highly regarded by customers, authors, and partners. A signifi cant portion 
of our revenue is recurring and generated online. We are serving our customers through multiple channels of 
distribution, and we are doing it globally. Most important, Wiley’s culture, built on a solid foundation of ethics and 
integrity, is as strong as ever.

None of Wiley’s accomplishments would be possible without the dedication and professionalism of our colleagues 
around the world. We are grateful for their contributions to Wiley’s success.

William J. Pesce 
President and Chief Executive Offi  cer 

Peter Booth Wiley
Chairman, Board of Directors

7

I

,
L
A
C
N
H
C
E
T
,

C
I
F
I
T
N
E
I
C
S

PRODUCTS
Journals, encyclopedias, 
books, databases, and 
laboratory manuals in the 
life sciences, physical 
sciences, social sciences, 
medicine, the humanities, 
engineering, dentistry, 
veterinary science, nursing, 
and other research-based 
professions, delivered in 
print and online. 

S T R A T E G I E S

Accelerate revenue and margin growth through collaboration across geographic and business boundaries.

Grow revenue through acquisitions, alliances, and partnerships, including those in new, non-traditional 
markets.

Partner with professional and scholarly societies.

Develop workﬂ ow solutions that anticipate and respond to the needs of our customers and help them 
achieve their desired outcomes.

Provide superior support to customers and clients.

Expand and enhance online content portfolio with additional tools and services to improve researchers’ 
and professionals’ productivity.

Make content and services more accessible via enhanced online platforms.

Create new online business models and services.

Transform Wiley InterScience with a robust new platform offering innovative architecture, user interface, 
and features. Provide smooth transition and positive user experience for customers.

Expand online offerings of book backﬁ les and legacy reference works.

Expand advertising-supported publications business.

Grow business in Asia, adding new customers, authors, and publishing programs.

Generate savings and drive productivity improvements in content management, manufacturing, and 
shared support services.

Increase cross-business licensing, marketing, and publishing opportunities.

Y
L
R
A
L
O
H
C
S
D
N
A

I

,
L
A
C
D
E
M

8

 
 
 
PROVIDING 
MUST-HAVE CONTENT 
AND SERVICES TO 
RESEARCHERS 
AND PRACTITIONERS 
IN RESEARCH-BASED 
PROFESSIONS

solution

delivering the online reference library
For researchers in the laboratory, the ability to access scientiﬁ c literature electronically 

at their desktops, day or night, has been transformative. The comprehensive online 

collection of journals that Wiley InterScience has offered since 1999 now has its 

counterpart in a virtual library of 7,600 books, 100 major reference works (eMRWs), 

a dozen databases, and the Current Protocols laboratory manuals. The online version 

ttte/Encyclopedia of Reagents for Orrganic Synthesis, which is 14 volumes in 
of Paquette/Encyclopedia of Reagents for Organic Synthesis, which is 14 volumes in 

rs not only ease of access, but also the ability to search chemical structures, 
print, offers not only ease of access, but also the ability to search chemical structures, 

urres, and reactions. The 2007 acqquisition of Blackwell Publishing spurred a 
substructures, and reactions. The 2007 acquisition of Blackwell Publishing spurred a 

eeffoort to digitize Blackwell’s books inn the humanities and social sciences, as 
massive effort to digitize Blackwell’s books in the humanities and social sciences, as 

aanny additional Wiley books, with a total of 4,500 added in the last two years.
well as many additional Wiley books, with a total of 4,500 added in the last two years. 

aar year 2009 alone, we anticipate tthe addition of at least 1,400 Online 
In calendar year 2009 alone, we anticipate the addition of at least 1,400 Online 

nee eMRWs, nearly 70 new journalss, and more than 50 digital backﬁ les.
Books, nine eMRWs, nearly 70 new journals, and more than 50 digital backﬁ les.

F I S C A L   Y E A R
2 0 0 9   H I G H L I G H T S

Increased global revenue 
for STMS by 9% on a currency 
neutral basis, the result of higher 
journal subscription renewals, new 
business, and improved global 
rights income. All subject categories 
exhibited growth, reﬂ ecting the 
positive effect of combining 
the Wiley and Blackwell STMS 
businesses. 

Strengthened society 
relationships, with 32 new 
journals signed in ﬁ scal year 2009, 
87 journal contracts renewed 
or extended, and only 9 journal 
contracts not renewed.

Launched ﬁ ve new journals: 
the Journal of Research Synthesis 
Methods (in association with the 
Society for Research Synthesis 
Methodology); Clinical and 
Translational Science (for 
medical professionals’ research 
and educational endeavors); 
MaterialsViews.com to complement 
the print version of the journal; 
Sports Technology (in print and 
online); and the online Evolutionary 
Applications.

9
9

 
solution

creating society opportunities
Through our Custom Ventures program, we are collaborating with society partners 

to offer their members new types of content that can generate new revenue streams 

and assist with member growth and retention. Working with The Society of Hospital 

Medicine, we re-launched their newsletter, The Hospitalist, in 2005 as a four-color, 

controlled circulation magazine, followed in 2006 by the launch of the peer-reviewed 

Journal of Hospital Medicine. The relationship continues to expand, with new content 

offerings that provide outlets for medical advertising and sponsorship, including 

The-Hospitalist.org, featuring the exclusive Wachter’s World blog; a new book series; 

the availability of Accreditation Council for Continuing Medical Education (ACCME) 

materials through the Journal of Hospital Medicine; and an online SHM Career Center. 

solution

helping societies tap the web
Wiley is the world’s leading publisher on behalf of professional and scholarly 

 societies. We are providing societies with services beyond publishing as well. 

Through our Society Web Services initiative, we are helping societies optimize their 

Web presence. We have created approximately 60 custom sites that serve as journal 

home pages, promote society brands, and provide a community environment for 

authors, readers, and members. For example, visitors to www.proteinscience.org 

can access The Protein Society’s Protein Science, submit a paper, and learn about 

the society’s travel grant program. For other societies, we have created webinars, 

podcasts of conference presentations, and special-topic virtual issues of journals. 

PUBLISHING CENTERS

Australia, Germany, 
Singapore, U.K., U.S. 

DISTRIBUTION
Multiple channels including 
libraries, library consortia, 
subscription agents, 
bookstores, online 
booksellers, and direct sales 
to customers.

10

 
 
CUSTOMERS

Academic, corporate, 
government, and public 
libraries; researchers; 
clinicians; engineers and 
technologists; scholarly and 
professional societies; 
students; and professors 
worldwide.

solution  

advancing interdisciplinary research
Interdisciplinary research is yielding some of today’s most valuable scientiﬁ c ﬁ ndings, 

and Wiley Interdisciplinary Reviews (WIREs), a new series launched in January 2009, 

serves interdisciplinary researchers with top-quality, peer-reviewed content and an 

innovative publishing model that combines the best features of review journals and 

major reference works. WIREs articles, like journals, beneﬁ t from the high visibility 

conferred by Impact Factor ratings and abstracting and indexing (A&I) services, while 

providing the broad coverage and capacity for  updating of online encyclopedias. WIREs 

are an important addition to our offerings on behalf of scholarly and professional 

societies. We are partnering with the Royal Meteorological Society and the Royal 

in 2010. Eleven
Geographical Society (with IBG) to launch WIREs Climate Change in 2010. Eleven 

 to launnch WIREs Climate Changee

nanomedicine
WIREs publications are under contract, in subject areas including nanomedicine 

ontract,, in subject areas including 

and nanobiotechnology, computational statistics, cognitive science, and systems 
e, and systems 

tational statistics, cognitive science

biology and medicine.

BRANDS/IMPRINTS
Wiley, Wiley AcerS, Wiley 
AIChE, Wiley-Blackwell, 
Wiley InterScience, 
Wiley-VCH, Arnold, Blackwell 
Publishing, BMJ Books, 
BPS-Blackwell, Ernst & 
Sohn, Essential Evidence 
Plus (formerly InfoPOEMs), 
Five-Minute Veterinary 
Consult, GIT Verlag, IEEE 
Press, IFT Press, ISTE, 
PharmaFile, The Cochrane 
Library, UKVet, Verlag 
Chimica Acta.

F I S C A L   Y E A R
2 0 0 9   H I G H L I G H T S

Published nearly 1,400 books, 
including Paquette/Crich/Fuchs/Molander’s 
14-volume Encyclopedia of Reagents for 
Organic Synthesis, 2e (EROS2); Ness’s 
8-volume International Encyclopedia of 
Revolution and Protest, the deﬁ nitive 
reference source for the history of protest 
and revolution over the past 500 years, 
available in print and online; and Jamieson/
Moenssens’s The Wiley Encyclopedia of 
Forensic Science. 

Merged Blackwell Synergy into 
Wiley InterScience, migrating 
approximately 2 million online journal 
articles, 29,000 customers, and 2 million 
access licenses. Sold the ﬁ rst combined 
Wiley-Blackwell journal license to 
Akademintorg, the Russian Academy of 
Sciences’ Foreign Economic Association. 

Acquired the Arnold statistics 
book program, consisting of more than 
50 titles, from Hodder Education.

Signed agreement with 
CambridgeSoft, a leading provider 
of knowledge enterprise solutions, to 
provide our organic chemistry content to 
its pharmaceutical, biotechnology, and 
chemical industry customers.

11
11

 
MAKING A 
DIFFERENCE 
IN THE PERSONAL 
AND PROFESSIONAL 
LIVES OF OUR 
TARGETED 
AUDIENCES

CUSTOMERS

Professionals, consumers, 
and students worldwide.

S T R A T E G I E S

Build core publishing categories, grow market share, and increase proﬁ tability through organic growth 
and acquisition.

Strengthen and expand strategic alliances and franchise products globally.

Develop and grow industry-leading brands; expand their reach through partnerships and electronic 
platforms.

Accelerate revenue and margin growth through collaboration across geographic and business boundaries.

Develop workﬂ ow solutions that anticipate and respond to the needs of our customers and help them 
achieve their desired outcomes.

Leverage the Internet for online sales, advertising revenue from branded sites, and content licensing.

Expand electronic publishing activities, focusing on key franchises, alliances, and brands.

Grow custom and proprietary publishing business.

Expand Asian publishing programs, including translations, co-publishing, and English-language reprints.

Develop new products and services that leverage multi-channel print sales capabilities and/or electronic/
digital capabilities.

Generate savings and drive productivity improvements by expanding offshoring and outsourcing of 
various content-management, manufacturing, and shared support services.

rararatetete sasasavivivingngngs s s ananand d d drdrdrivivive e e prprprodododucucuctiiivivivitytyty 
uuus s s cococontntntenenent-t-t-mamamanananagegegememementntnt, , mamamanununufafafactctcturururinining,g,g, a a andndnd s s shahaharerered dd sususuppppppororortt

p

Enable expansion of online, mobile, and print publishing in B2C and B2B sectors by re-engineering 
ble expansion of online, mobile, and print publishing in B2C and B2B sectors by re-engineering 
content management and delivery infrastructure.
tent management and delivery infrastructure.

E
D
A
R
T
/
L
A
N
O
S
S
E
F
O
R
P

I

12

solut
solution

tapping the emerging eBook 
With the Amazon Kindle®, the 700 series Sony Reader, and the iPhone® eBook application, 

readers are embracing the eBook’s promise. Wiley anticipated this development; we began 

of our 38,000 books 
offering STMS books online in the 1990s, and today more than 13,000 of our 38,000 books 

business and offer 
in print are available as eBooks. While we have a robust library eBook business and offer 

has surpassed
textbooks as eBooks, this year marks the ﬁ rst time a retailer, Amazon, has surpassed 

0 Wiley P/T
library wholesalers as a Wiley eBook customer, offering more than 9,000 Wiley P/T 

graphy. Kindle 
titles in such top categories as business, technology, self-help, and biography. Kindle 

d recently to 
2 For Dummies, our ﬁ rst product created solely for the Kindle, launched recently to 

with Higher
become our number one eBook seller on Amazon. P/T is also working with Higher 

X . While
Education and STMS to convert content for the larger-screen Kindle DX . While 

k of our 
pdf eBooks that exactly replicate the printed page are currently the bulk of our 

ate 
business, we also produce eBooks in reﬂ owable formats to accommodate 

prove 
mobile devices with varying screen sizes. As conversion techniques improve 

 and 
to allow reﬂ owable rendering of technical books with complex graphics, and 

ture 
as more devices emerge with full-color displays, we envision a bright future 

delivering Wiley content to readers through multiple devices. 

F I S C A L   Y E A R   2 0 0 9   H I G H L I G H T S   

Global P/T revenue 
declined 10% on a 
currency neutral basis, 
largely the result of a very weak 
retail environment, particularly 
in the U.S. 

Signed agreement to 
become exclusive global 
book publisher for Meredith 
Corporation’s Better Homes and 
Gardens brand.

Renewed agreement with 
General Mills to publish Betty 
Crocker, Pillsbury, and other 
cookbooks. 

Became the ofﬁ cial 
publisher of the Graduate 
Management Admission Test® 
(GMAT®) study guides.

Acquired 13 highly 
respected newsletters for 
higher education administrators 
from LRP Publications.

13

 
 
PRODUCTS
Books, subscription content, 
and information services 
in all media. Subject areas 
include business, technology, 
architecture, cooking, 
psychology, education, travel, 
health, religion, consumer 
reference, pets, and general 
interest.

solution

leadership development, streamlined
Leadership development is a priority in most organizations, and the Leadership 

Practices Inventory (LPI), the behavioral assessment and feedback component of our 

highly successful Kouzes/Posner/The Leadership Challenge franchise, is the most 

trusted 360-degree instrument on the market. The Web-based version, LPI Online, 

is an ideal application of online functionality, eliminating laborious print-on-paper 

processes that have become all but unworkable in today’s world of globally dispersed 

work forces. We continue to streamline its operation and incorporate new features 

in accordance with user feedback. LPI Online is a consistently strong seller, posting 

an increase in ﬁ scal year 2009 of 10% over prior year, an exceptional performance 

given the challenging economic conditions. In January 2010, we will launch another 

franchise product, the Emotional Intelligence Skills Assessment from Steven Stein/

Multi-Health Systems, the ﬁ rst of several new releases that will cover such training 

subjects as team development, coaching, diversity, and learning styles. 

solution

helping partners grow, the Frommer’s way
In today’s competitive global environment, companies need every possible advantage 

to build market share. Frommer’s Unlimited draws on the powerful Frommer’s brand 

and trusted content to offer businesses a one-stop travel content and delivery service 

that helps them attract new prospects and convert them to high-value customers. 

For KLM Royal Dutch Airlines, we created a branded destination guide Web site, 

drawing on local event and city guide content provided by Frommer’s Unlimited 

editors, as well as custom content. Users of the iPhone® and iPod Touch® can 

now access Frommer’s branded guides to such cities as New York, San Francisco, 

London, and Paris. Browsers in the Borders travel section can plan their next trip 
at interactive Borders-branded kiosks. Other partners include British Airways, 

Travelocity, MSN, and InterContinental Hotels Group.

BRANDS/FRANCHISES
Architectural Graphic 
Standards, Audel, Better Homes 
and Gardens, Betty Crocker, 
Capstone, CliffsNotes, 
Fisher Investments Press, 
For Dummies, Frommer’s, 
GMAT®, Howell Book House, 
J.K. Lasser, Jossey-Bass, 
Pfeiffer, Pillsbury, Sybex, 
Unofﬁ cial Guide, Visual, 
Webster’s New World, Weight 
Watchers, Wiley Nautical, 
Wrightbooks, Wrox.

F I S C A L   Y E A R
2 0 0 9   H I G H L I G H T S

Re-launched Dummies.com, 
now featuring 25 topic areas, 
each with more than 250 pieces of 
content; 6,600 articles; 950 fully 
illustrated step-by-step articles; 
and 265 videos. Page viewership 
increased 23%. 

Launched ﬁ rst Frommer’s 
guides for Amazon Kindle 
wireless electronic-reading device 
and expanded Amazon partnership 
to offer select textbooks for sale 
through the enhanced, 
larger-screen Kindle DX, adding to 
the more than 9,000 books — 
approximately one-third of Wiley 
books in print — already available 
on the Kindle 2.

Launched online the 
CliffsNotesTestSuccess 
test-prep tool and 
CliffsNotes AP Digital 
Flashcards; visitors to 
CliffsNotes.com increased 21%.

Launched a custom travel 
guide for MasterCard, 
Priceless China, distributed prior 
to 2008 Summer Olympic Games, 
as well as two custom guides for 
the U.S. Olympic Committee. 

Signed an agreement with 
the Vancouver Olympic 
Organizing Committee to 
become the ofﬁ cial publication 
partner of the 2010 Winter Olympic 
and Paralympic Games.

14

 
 
solution

effective treatment, efﬁ ciently planned
Two important developments in health care are the adoption of evidence-

based practices and the ability to incorporate patient information directly into 

electronic workﬂ ows. For mental health professionals, TheraScribe, a CD-based 

software product, provides a template for creating effective treatment plans 

PUBLISHING CENTERS

rapidly and efﬁ ciently, using behavioral deﬁ nitions, therapeutic interventions, 

and diagnostic suggestions that meet the requirements of accrediting bodies, 

insurance  companies, and third-party payors. TheraScribe 5.0, released in 2007, 

incorporates evidence-based treatment interventions, required by a growing 

number of funding sources and insurers. In March 2010, we will launch the 

Evidence-Based Treatment Planning Video Series, developed to assist practitioners 

in assimilating new evidence-based treatment strategies. TheraScribe has 

provided a model for other products across the Company that deliver Wiley 

content directly into customer workﬂ ows.

Australia, Canada, 
Germany, Singapore, 
U.K., U.S.

DISTRIBUTION
Multiple channels globally, 
including major chains 
and online booksellers, 
independent bookstores, 
libraries, colleges and 
universities, warehouse 
clubs, corporations, direct 
marketing, and Web sites.

1515

 
DISTRIBUTION 
Multiple channels including 
college bookstores, online 
booksellers, and direct sales 
to customers.

HELPING
TEACHERS
TEACH
AND STUDENTS
LEARN

solution

serving students with disabilities 
For students with visual impairment or other disabilities (such as the physical inability to turn a page) 

that make it difﬁ cult, if not impossible, for them to obtain information from print products, academic 

success depends on access to alternative versions of textbooks. While campus-based Disabled Student 

Services ofﬁ ces are federally mandated to provide such versions to students, they have had no uniform 

process for obtaining the electronic ﬁ les from publishers. Working with seven other publishers, Wiley 

played a key role in developing AccessText Network, which will launch this summer to give colleges 

 will launch th

a single online source for looking up textbooks and requesting ﬁ les. The initiative was launched 

ks and requesting ﬁ les. The i

through a partnership between the Association of American Publishers and the University of Georgia’s 

the Association of American Publishers an

Alternative Media Access Center, and is funded by donations from Wiley, Cengage Learning, CQ Press, 

Accesss Center, and is fundedd by donations from Wiley, C

Macmillan, McGraw-Hill Education, Pearson, Reed Elsevier, and W.W. Norton.

N
O
I
T
A
C
U
D
E
R
E
H
G
H

I

16

 
 
CUSTOMERS

Undergraduate, graduate, 
and advanced placement 
students, educators, and 
lifelong learners worldwide, 
and secondary school 
students in Australia.

S T R A T E G I E S

Grow market positions in targeted academic disciplines.

Increase market share through acquisitions.

Accelerate revenue and margin growth through collaboration across geographic and business boundaries.

Develop and promote products, services, tools, and business models that deliver value to our customers 
and promote brand loyalty.

Expand market penetration and reach of WileyPLUS globally.

Offer products in a variety of formats, both print and electronic, to provide customers with choices.

Develop workﬂ ow solutions that anticipate and respond to the needs of our customers and help them 
achieve their desired outcomes.

Leverage partnerships for expansion into new markets.

Expand custom publishing business.

Grow worldwide through adaptations, translations, and indigenous publishing.

Tap opportunities in growth markets in Asia and the Middle East.

Generate savings and drive productivity improvements by expanding offshoring and outsourcing of 
manufacturing and shared support services.  

PUBLISHING CENTERS 

Australia, Canada, India, 
U.K., U.S.

PRODUCTS
Educational materials in all 
media for two- and four-year 
colleges and universities and 
for-proﬁ t career colleges, as 
well as for secondary schools 
in Australia and advanced 
placement classes in the U.S.

F I S C A L   Y E A R
2 0 0 9   H I G H L I G H T S

Increased global HE revenue 
6% on a currency neutral basis. 
Results were driven by the continued 
success of WileyPLUS, revenue from 
acquired titles, solid growth in the 
Microsoft Ofﬁ cial Academic Course 
(MOAC) collaboration, and strong 
performance in virtually every subject 
category. 

The WileyPLUS digital 
learning suite continued to 
gain momentum around the 
world, accounting for 9% of global 
HE revenue in ﬁ scal year 2009; 
billings increased by 38%, and 
digital-only sales grew by 70%.

Re-introduced WileyPLUS 
to the modern language 
market with added functionality, 
allowing professors to offer an online 
language lab. As a result, WileyPLUS 
student validations increased by 
10,000 using Dawson/Dicho y hecho, 
8e, and Lucas/Murillo/¡Con brío!.

Increased Wiley Faculty 
Network (WFN) activity by 
86% over ﬁ scal year 2008 and by 
190% over ﬁ scal year 2007. WFN 
activities include WileyPLUS training, 
online guest lectures, campus 
events, virtual workshops, and live 
regional and national workshops.

Published six Wiley 
Visualizing textbooks; surpassed 
revenue goal for this series 
(developed in collaboration with the 
National Geographic Society) and 
allowed more instructors to “share 
their passion” for their discipline by 
using these highly visual texts.

Acquired market-leading 
textbooks and learning 
materials from Cengage Learning 
that complement HE’s business and 
modern language programs.

Acquired mathematics and 
statistics textbooks by award-
winning authors and educators from 
Key College Publishing.

17

solution

teaching and learning
Reading a textbook is just one component of coursework. WileyPLUS offers more 

by integrating digital text content with a suite of online resources and interactive 

functionality supporting a wide range of student and instructor activities — study, 

homework, automated grading, remediation, and concept mastery. Until recently, 

traditional paper homework retained one advantage: the instructor could see 

the steps a student took to solve a problem. With the January release of a new 

WileyPLUS, students using the new “Show Work” feature can now display these 

steps on an electronic “whiteboard” when submitting an answer for scoring, and 

instructors can respond directly with comments, advice, and explanations of errors in 

a virtual “ofﬁ ce hours” exchange.

solution

content they need, the way they need it
Instructors’ course needs are not always met by one textbook, and within a given 

textbook, not all the material may be suited to their purposes. Wiley Custom 

Select (customselect.wiley.com) allows instructors to “build” customized course 

materials using a simple three-step process that takes just minutes to complete. 

They select content from hundreds of Wiley textbooks, add their own material if 

desired, and have the result delivered in very affordable eBook format or in a print 

version priced according to the content selected. Wiley Custom Select is powered by 

the Mark Logic XML Server, which hosts both content and functionality in a single 

location and provides an extensible framework that will eventually include all Wiley 

content, making our vision of “All Wiley, All the Time” a reality.

BRANDS/FRANCHISES 
Wiley, Wiley Desktop Editions, 
WileyFLEX, Wiley/Jossey-Bass, 
Wiley/MOAC, Wiley Pathways, 
WileyPLUS, Wiley Visualizing, 
Business Extra Select, 
CATALYST, Jacaranda.

18

 
 
solution

facilitating the GAAP/IFRS convergence
With its anticipated inclusion on the 2012 CPA exam, the upcoming convergence of 

U.S. GAAP (Generally Accepted Accounting Principles) and IFRS (International 

Financial Reporting Standards) poses a major challenge for accounting instructors. 

The Wiley Faculty Network (WFN), which has been facilitating virtual peer-to-peer 

collaboration in the use of Wiley technology products and educational best practices 

since 2001, was invited by the American Accounting Association to help prepare 

educators for the convergence, because of both the WFN’s outstanding reputation 

and the strength of Wiley’s accounting program. The ﬁ rst Wiley Accounting IFRS 

“Boot Camp” was held in February and April, featuring academic experts’ 

presentations on key topics and drawing more than 500 virtual attendees from 

institutions across the U.S.

solution

affordable access for all
With the budgetary pressures on today’s colleges and universities, instructors 

are being asked to produce improved outcomes at the same time that a growing 

number of students, with their own budgetary concerns, are opting to purchase 

used, sometimes out-of-date textbooks. Through a groundbreaking pilot program, 

the University of Texas at Austin is licensing Wiley content for a set of courses, 

guaranteeing every student equal access to the same top-quality material at a very 

affordable per-student cost  — in eBook format as Wiley Desktop Editions, with 

WileyPLUS, or in print. Launched this spring, the program will be extended to the 

University of Texas-Pan American in Edinburg for the fall semester.

19

 
 
www.wiley.com/go/citizenship

Sustainability is not a new concept at Wiley, a 
company that has prospered for more than 200 years. 
Throughout our long history, we have understood that 
responsibility to the communities we serve and those 
in which we live and work is an essential element of 
success. As professionals and as individuals, Wiley 
colleagues engage in a wide array of activities that 
demonstrate our deep commitment to this principle. 

Wiley’s Citizenship Initiative

In 2008, Wiley introduced  a company-wide Corporate Citizenship initiative to address the social, 
 economic, environmental, and ethical challenges we face in our business that are most important 
to our diverse stakeholder groups — our colleagues, authors, customers, partners, and shareholders.

With input from our colleagues and from business leaders, we reviewed our existing policies, practices, 
and programs and concluded that while we are performing well in certain areas — such as corporate 
governance and community engagement — we need to formalize and globalize our policies and strategies, 
improve our internal and external communications, and be more proactive in addressing our carbon 
footprint and supply chain issues. 

Working in collaboration with Business for Social Responsibility (BSR), a global non-profi t member orga-
nization, and in accordance with our strategic plan, Wiley embarked on a global initiative to measure our 
performance, set realistic targets, and drive change in our social and environmental policies, practices, and 
programs. Because progress toward these goals is critical to our success, key business leaders and managers 
have begun to report on their Corporate Citizenship objectives in their annual performance evaluations. 
Th  is is a long-term initiative, with the full support of our leadership team. It may take years to reach some of 
our ultimate goals, but we intend to achieve measurable improvement from year to year.  For information on 
our initiative and our progress, please visit www.wiley.com/go/citizenship. 

Global Citizenship Council

A key component of Wiley’s Corporate Citizenship initiative is the Global Citizenship Council that 
comprises colleagues from across our Company. Th  e Council’s mission is to develop and implement a 
unifi ed global citizenship program that is fully integrated into Wiley’s business strategies; that drives 
positive change in our social, economic, environmental, and ethical management practices; and that brings 
to light the Company’s exemplary values and policies. Th  e Council is engaging key Wiley stakeholders 
in order to be a better corporate citizen, enhance our reputation and leadership position, and improve 
fi nancial performance.

Task Forces

We have established task forces to address citizenship areas identifi ed as presenting key challenges and 
opportunities for Wiley. As needed, new task forces will be established, and when their goals are achieved, 
they will be disbanded.  

E
T
A
R
O
P
R
O
C

I

P
H
S
N
E
Z
I
T
I
C

20

 
 
 
 
 
 
 
 
 
Ethical Conduct

d 
Wiley is committed to achieving the highest standards in the ethical, social, and 
d
d
environmental aspects of our workplace. We are committed to protecting the health, 
alth, 
e
ea
, and 
l
safety, and security of colleagues and upholding their economic, social, cultural, and 
d 
personal rights and freedoms. We expect that all our external suppliers, as valued 
e
e
stakeholders, will also adhere to these principles and pledge that all our publisher-vendor 
er-vendor 
h
h
applies to 
li
a
relations will be governed by them. Wiley’s Business Conduct and Ethics Policy applies to 
By creating 
all colleagues and is an important part of our Corporate Governance procedures. By creating 
ndors 
and promulgating a Vendor Code of Ethical Conduct, we try to ensure that all vendors 
n
quirements, 
observe human rights standards, local environmental legislation and statutory requirements, 
eq
e
and applicable laws and regulations.

t

FY2009 ACHIEVEMENTS

Drafted and validated the 
Vendor Code with Wiley 
colleagues. Developed 
distribution and reporting 
procedures.  

FY2010 OBJECTIVES 

Disseminate the Vendor Code 
to the major production and 
manufacturing companies 
around the world — including 
compositors, printers, bind-
ers, freight companies, paper 
mills, and software companies 
— with whom we spend more 
than $100,000 annually.

Monitor vendor performance 
by making annual visits to 
at least 75% of our major 
vendors and ﬁ ling subsequent 
reports with production 
management.

Paper

Wiley uses paper sourced from 
mills around the globe and 
recognizes our responsibility 
to select papers that meet the 
highest standards of sustain-
able, clean, and efﬁ cient 
production. 

In 2008-2009, Wiley estab-
lished global guidelines for 
environmentally favorable paper 
sourcing and procurement 
strategies based on generally 
accepted best practices, with 
guidance from stakeholders, 
industry trade associations, and 
third-party certiﬁ ers. Moving 
forward, Wiley will adopt locally 
tailored programs that apply 
these
these global principles, guide 
decision making, and facilitate 
decisi
externa
external communication.

CHIEVEMEENTS
FY2009 ACHIEVEMENTS

JECCTIVES
FY2010 OBJECTIVES
FY2010 OBJECCTIV

Communicate Wiley’s sourcing 
Communicate  Wiley’s sourcing
g
strategies to sstakeholders.
strategies to stakeholders.

Leverage the resources of 
Leverage the rresources of 
PREPS (Publishers Database 
PREPS (Publishers Database 
for Responsible Environmental 
Paper Sourcing) and EPAT 
(Environmental Paper Assess-
ment Tools) to support our 
paper choices. 

Leverage new print technolo-
gies such as Print On Demand 
and Ultra Short Run to reduce 
paper use. 

h

Developed and implemented 
and impleemented 
e Paper Soourcing 
Responsible Paper Sourcing 
which givve 
guidelines, which give 
preference to producers who 
are recognized by one or more 
third-party certiﬁ ed sustainable 
forest management schemes; 
abide by all local environmental
laws and regulations; demon-
strate an ongoing commitment 
to clean and efﬁ cient produc-
tion; and, whenever possible, 
align with producers who 
operate in accordance with 
the ISO 14001 environmental 
management standard.

Implemented strategies to 
reduce consumption through 
the use of lighter weight 
papers, along with press and 
roll width optimization.  

Encouraged waste minimization 
through better control of print 
and bind spoilage.

21

 
Community

Wiley’s corporate philanthropy program, which is linked to the Company’s mission, strives to improve 
the quality of life of people in the communities where we live and work, as well as those we serve, 
through support of educational and cultural institutions and environmental and social service 
organizations. Wiley supports many institutions and organizations offering programs that foster 
learning, expand cultural and educational opportunities, improve health resources, support social 
services, protect the environment, and provide disaster relief. Since community needs differ globally, 
our philanthropic policies and activities are managed locally.

The mission of Wiley’s Community Impact Task Force is to build on Wiley’s long commitment to 
corporate philanthropy, which is currently realized through several programs and through voluntarism. 
This task force will establish local charitable committees to manage local activities that beneﬁ t our 
communities and complement The Wiley Vision (see page 24).

FY2009 ACHIEVEMENTS

Aligned philanthropic activities 
around Wiley’s mission and 
established guidelines that can 
be adapted for all company 
locations.

Planned local charitable 
committees in North America, 
Asia, and Australia, joining 
existing teams in the U.K. 
and Germany. 

FY2010 OBJECTIVES 

Establish new charitable 
committees in Ames, 
Indianapolis, San Francisco, 
Asia, and Australia; plan local 
philanthropy group in Canada.

Expand the Read Aloud Wiley 
Volunteer Program to the U.K. 
and Canada. 

Increase ServiceMatch program 
participation in the U.S. by 
10%.

Carbon

In 2006, a year before it was 
acquired by Wiley, Blackwell 
Publishing became the ﬁ rst 
carbon neutral global publisher. 
This commitment was renewed 
in 2007 and 2008. Since 
then, we have assessed the 
feasibility of adopting carbon 
neutral policies and programs 
for the entire Company and 
have decided instead to focus 
on measuring and reducing our 
biggest contribution to carbon 
emissions — our shipping activity.
The Carbon Task Force will 
measure Wiley’s current carbon 
emissions — from shipping 
book product from printer to 
distribution center and journal 
product from printer to cus-
tomer, as well as all shipping 
between distribution centers 
— and will model scenarios 
to assess the effect on carbon 
emissions of various printing 
and shipping strategies. Based 
on an analysis of the data, the 
task force will develop carbon 
reduction strategies with 
 measurable targets. 

FY2009 ACHIEVEMENTS

FY2010 OBJECTIVES 

Joined BSR’s Clean Cargo 
Group, gaining access to the 
experience of peer companies, 
best practices, and tools. 
Adopted Clean Cargo’s inter-
modal CO2 calculator, which 
computes the carbon emissions 
of road, rail, ocean, and air 
freight.  

Gathered data for FY2009 
shipments of books from print-
ers to distribution centers and 
began calculations.

Produced a preliminary model 
for journal shipping data and 
veriﬁ ed its consistency with 
carbon measurement work 
undertaken by Blackwell 
in 2007.

Determine the key performance 
indicators against which carbon 
emissions will be measured.

Complete data collection of 
shipping information for books 
and journals, populate the 
intermodal CO2 calculator, 
and create scenarios.

Gather detailed data from 
current and projected Print On 
Demand, Ultra Short Run, and 
Distributed Print initiatives to 
calculate their impact.

Develop carbon reduction 
strategies with measurable 
targets based on an analysis of 
the data.

22

Colleague Engagement

Wiley has always depended on our colleagues — our most valuable resource — to 
be the driving force behind the business. Colleagues constantly collaborate to 
develop new ways to meet our customers’ and partners’ needs, as well as reach 
team and organizational goals. This spirit of collaboration extends to our Corporate 
Citizenship initiative. Made up of volunteers, the local citizenship councils and 
similar groups will act as work place communities and conduits for engaged colleagues 
who contribute their time and energy. They will help foster, develop, and incorporate 
new and ongoing Citizenship efforts.

FY2009 ACHIEVEMENTS

Started development of a framework for company-wide coordination of local 
engagement and initiatives.

Performed an audit of Wiley Corporate Citizenship grassroots efforts, identifying 
local leaders worldwide.

FY2010 OBJECTIVES

Establish a task force to help form local councils and engage with groups currently 
participating in formal and informal Citizenship activities. 

Develop a ﬂ exible framework that can be adapted locally; provide tools for making 
decisions based on business criteria; facilitate information sharing among local 
groups.  

Recruit local champions and identify chairs to help organize local councils and 
coordinate with existing groups. 

Strategic 
Issues

The Strategic Issues Task 
Force provides a feedback 
loop through our external 
stakeholders, including authors, 
researchers, and society 
contacts who are experts 
in ﬁ elds of corporate social 
responsibility. These individuals 
will help Wiley scan the global 
market environment to identify 
opportunities or needs for policy 
development and will review key 
communications to ensure they 
are engaging and relevant.

FY2009 ACHIEVEMENTS

Commenced development of 
focus groups of six to eight 
external experts in corporate 
social responsibility drawn from 
Wiley’s network of authors, 
researchers, and society 
contacts. 

FY2010 OBJECTIVES

Convene focus groups of 
global experts to review Wiley’s 
strategy, provide feedback, 
and identify opportunities for 
follow-up. The focus groups 
will be held initially in the 
U.S. and the U.K. with global 
representation, and may be 
expanded to other regions. 

Provide an interface with other 
Wiley advisory boards.

v i s i o n

C O R P O R A T E
G O V E R N A N C E   P R I N C I P L E S 

To promote the best corporate 
governance practices, John Wiley 
& Sons, Inc., adheres to the 
Corporate Governance Principles 
set forth in the Corporate 
Governance section on wiley.
com and in the Company’s Proxy 
(online at www.wiley.com/go/
communications). The Board 
of Directors and management 
believe that these Principles, 
which are consistent with the 
requirements of the Securities 
and Exchange Commission and 
the New York Stock Exchange, 
are in the best interests of the 
Company, its shareholders, and 
other stakeholders, including 
colleagues, authors, customers, 
and suppliers. The Board is 
responsible for ensuring that the 
Company has a management 
team capable of representing 
these interests and of achieving 
superior business performance. 

23

v i s i o n

G O A L S

Wiley has achieved superior results 
and continues to grow by focusing 
on three overarching goals:

>  Building long-term relationships 

with our customers

>  Increasing proﬁ tability, cash ﬂ ow, 

and return on investment

>  Enhancing Wiley’s position 

as the place to be for all our 
stakeholders. 

S T R A T E G I E S

We are realizing these goals 
through the following strategies:

>  Exploiting our global positions 
and brands by collaborating 
across our organization and 
constantly striving to improve 
the quality of our products and 
services around the world

>   Capitalizing on the connections 
among our core businesses — 
Scientiﬁ c, Technical, Medical, 
and Scholarly; Professional/Trade; 
and Higher Education — to better 
serve customers and drive growth

>  Pursuing partnerships and 

alliances with highly regarded 
organizations to add content, 
services, and capabilities to our 
portfolio

>  Building on our successful 

track record with acquisitions 
by consummating transactions 
that are strategic and ﬁ nancially 
responsible, and executing our 
integration plans effectively by 
adhering to a best practices 
approach

>  Leveraging our investments 

in technology to create value 
for our customers, facilitate 
communication with our stake-
holders, and increase productivity 
throughout the Company. 

M I S S I O N

Wiley provides must-have content 
and services to professionals, scientists, 
educators, students, lifelong learners, and 
consumers worldwide. Wiley is dedicated 
to serving our customers’ needs, while 
generating attractive intellectual and ﬁ nancial 
rewards for all our stakeholders — authors, 
colleagues, partners, and stockholders.

the wiley
vision

V A L U E S

Founded in 1807, during the presidency of Th  omas  Jeff erson, Wiley has evolved into one 
of the world’s most respected publishing companies. We strongly believe in the enduring 
value of collaborative relationships, built on a solid foundation of trust and integrity. We 
strive to be the very best at all that we do, which strengthens our competitive position and 
results in  consistently strong performance.

Wiley’s strength is based on the eff orts and accomplishments of a diverse group of people 
who are distinguished by their integrity, creativity, talent, initiative, and dedication.

WE ARE RESPONSIBLE TO OUR CUSTOMERS, who rely on the quality of our products 
and services to meet their needs. Service must be prompt and effi  cient, and prices should 
be reasonable.

WE ARE RESPONSIBLE TO OUR AUTHORS AND PARTNERS, who collaborate with us to 
create high-quality products and services, and who deserve appropriate recognition and 
compensation for their eff orts.

 WE ARE RESPONSIBLE TO OUR COLLEAGUES, whom we respect as human beings 
fi rst, professionals second. We must provide a reasonable sense of security, pleasant and 
safe working conditions, fair compensation and benefi t programs, and opportunities for 
professional growth.

WE ARE RESPONSIBLE TO OUR SHAREHOLDERS, who should realize a fair return 
on their investments. Investors can rely on a highly capable leadership team and 
an independent Board of Directors distinguished by their commitment to eff ective 
governance, ethical behavior, and integrity in all that we do.

WE ARE RESPONSIBLE TO THE COMMUNITIES in which we work. Th  ese communities 
should benefi t from our good citizenship, including our support of educational and 
cultural organizations.

24

FORM 10-K 

SECURITIES AND EXCHANGE COMMISSION 

Washington, DC  20549 

[x] 

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

THE SECURITIES EXCHANGE ACT OF 1934 

For the fiscal year ended:  April 30, 2009 

OR 

[  ] 

TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE 

SECURITIES EXCHANGE ACT OF 1934 (FEE REQUIRED) 

For the transition period from       to 
Commission file number     1-11507 

JOHN WILEY & SONS, INC. 
(Exact name of Registrant as specified in its charter) 

NEW YORK 

State or other jurisdiction of incorporation or 
organization 

111 River Street, Hoboken, NJ 

Address of principal executive offices 

13-5593032 

I.R.S. Employer Identification No. 

07030 

Zip Code 

(201) 748-6000 

(cid:53)(cid:72)(cid:74)(cid:76)(cid:86)(cid:87)(cid:85)(cid:68)(cid:81)(cid:87)(cid:182)(cid:86)(cid:3)(cid:87)(cid:72)(cid:79)(cid:72)(cid:83)(cid:75)(cid:82)(cid:81)(cid:72)(cid:3)(cid:81)(cid:88)(cid:80)(cid:69)(cid:72)(cid:85)(cid:3)
including area code 

Securities registered pursuant to Section 12(b) of 
the Act: Title of each class 
Class A Common Stock, par value $1.00 per share 

Class B Common Stock, par value $1.00 per share 

Name of each exchange on which 
registered 
New York Stock Exchange 

New York Stock Exchange 

Securities registered pursuant to 
Section 12(g) of the Act: 
None 

 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Indicate by check mark if the registrant is a well-known seasoned issuer, as defined in Rule 405 of the Securities Act. 

Yes |X|     No |    | 

Indicate by check mark if the registrant is not required to file reports pursuant to Section 13 or Section 15(d) of the    
Exchange Act. 

Yes |   |     No |X | 

Indicate by check mark whether the registrant (1) has filed all reports required to be filed by Section 13 or 15(d) of the 
Securities  Exchange  Act  of  1934  during  the  preceding  12  months  (or  for  such  shorter  period  that  the  registrant  was 
required to file such reports), and (2) has been subject to such filing requirements for the past 90 days. 

Yes |X|     No |    | 

Indicate by check mark if disclosure of delinquent filers pursuant to Item 405 of Regulation S-K is not contained herein, 
and  will  not  be  contained,  to  the  best  of  re(cid:74)(cid:76)(cid:86)(cid:87)(cid:85)(cid:68)(cid:81)(cid:87)(cid:182)(cid:86)(cid:3) (cid:78)(cid:81)(cid:82)(cid:90)(cid:79)(cid:72)(cid:71)(cid:74)(cid:72)(cid:15)(cid:3) (cid:76)(cid:81)(cid:3) (cid:71)(cid:72)(cid:73)(cid:76)(cid:81)(cid:76)(cid:87)(cid:76)(cid:89)(cid:72)(cid:3) (cid:83)(cid:85)(cid:82)(cid:91)(cid:92)(cid:3) (cid:82)(cid:85)(cid:3) (cid:76)(cid:81)(cid:73)(cid:82)(cid:85)(cid:80)(cid:68)(cid:87)(cid:76)(cid:82)(cid:81)(cid:3) (cid:86)(cid:87)(cid:68)(cid:87)(cid:72)(cid:80)(cid:72)(cid:81)(cid:87)(cid:86)(cid:3)
incorporated by reference in Part III of this Form 10-K or any amendment to this Form 10-K. |   |  

Indicate  by  check  mark  whether  the  registrant  is  a  large  accelerated  filer,  an  accelerated  filer,  or  a  non-accelerated 
(cid:73)(cid:76)(cid:79)(cid:72)(cid:85)(cid:17)(cid:3)(cid:54)(cid:72)(cid:72)(cid:3)(cid:71)(cid:72)(cid:73)(cid:76)(cid:81)(cid:76)(cid:87)(cid:76)(cid:82)(cid:81)(cid:3)(cid:82)(cid:73)(cid:3)(cid:179)(cid:68)(cid:70)(cid:70)(cid:72)(cid:79)(cid:72)(cid:85)(cid:68)(cid:87)(cid:72)(cid:71)(cid:3)(cid:73)(cid:76)(cid:79)(cid:72)(cid:85)(cid:3)(cid:68)(cid:81)(cid:71)(cid:3)(cid:79)(cid:68)(cid:85)(cid:74)(cid:72)(cid:3)(cid:68)(cid:70)(cid:70)(cid:72)(cid:79)(cid:72)(cid:85)(cid:68)(cid:87)(cid:72)(cid:71)(cid:3)(cid:73)(cid:76)(cid:79)(cid:72)(cid:85)(cid:180)(cid:3)(cid:76)(cid:81)(cid:3)(cid:53)(cid:88)(cid:79)(cid:72)(cid:3)(cid:20)(cid:21)(cid:69)-2 of the Exchange Act. 

Large accelerated filer   |X|           Accelerated filer   |    |           Non-accelerated filer   |    | 

Indicate by check mark whether the registrant is a shell company (as defined in Rule 12b-2 of the Exchange Act).  

Yes |    |      No |X| 

The aggregate market value of the voting stock held by non-affiliates of the registrant, computed by reference to the 
closing (cid:83)(cid:85)(cid:76)(cid:70)(cid:72)(cid:3)(cid:68)(cid:86)(cid:3)(cid:82)(cid:73)(cid:3)(cid:87)(cid:75)(cid:72)(cid:3)(cid:79)(cid:68)(cid:86)(cid:87)(cid:3)(cid:69)(cid:88)(cid:86)(cid:76)(cid:81)(cid:72)(cid:86)(cid:86)(cid:3)(cid:71)(cid:68)(cid:92)(cid:3)(cid:82)(cid:73)(cid:3)(cid:87)(cid:75)(cid:72)(cid:3)(cid:85)(cid:72)(cid:74)(cid:76)(cid:86)(cid:87)(cid:85)(cid:68)(cid:81)(cid:87)(cid:182)(cid:86)(cid:3)(cid:80)(cid:82)(cid:86)(cid:87)(cid:3)(cid:85)(cid:72)(cid:70)(cid:72)(cid:81)(cid:87)(cid:79)(cid:92)(cid:3)(cid:70)(cid:82)(cid:80)(cid:83)(cid:79)(cid:72)(cid:87)(cid:72)(cid:71)(cid:3)(cid:86)(cid:72)(cid:70)(cid:82)(cid:81)(cid:71)(cid:3)(cid:73)(cid:76)(cid:86)(cid:70)(cid:68)(cid:79)(cid:3)(cid:84)(cid:88)(cid:68)(cid:85)(cid:87)(cid:72)(cid:85)(cid:15)(cid:3)(cid:50)(cid:70)(cid:87)(cid:82)(cid:69)(cid:72)(cid:85)(cid:3)(cid:22)(cid:20)(cid:15)(cid:3)
2008, was approximately $1,536.1 million.  The registrant has no non-voting common stock. 

(cid:55)(cid:75)(cid:72)(cid:3) (cid:81)(cid:88)(cid:80)(cid:69)(cid:72)(cid:85)(cid:3) (cid:82)(cid:73)(cid:3)(cid:86)(cid:75)(cid:68)(cid:85)(cid:72)(cid:86)(cid:3) (cid:82)(cid:88)(cid:87)(cid:86)(cid:87)(cid:68)(cid:81)(cid:71)(cid:76)(cid:81)(cid:74)(cid:3) (cid:82)(cid:73)(cid:3) (cid:87)(cid:75)(cid:72)(cid:3) (cid:85)(cid:72)(cid:74)(cid:76)(cid:86)(cid:87)(cid:85)(cid:68)(cid:81)(cid:87)(cid:182)(cid:86)(cid:3) Class  A  and  Class  B  Common  Stock  as  of  May  31,  2009  was 
48,745,940 and 9,644,115 respectively. 

DOCUMENTS INCORPORATED BY REFERENCE 

(cid:51)(cid:82)(cid:85)(cid:87)(cid:76)(cid:82)(cid:81)(cid:86)(cid:3) (cid:82)(cid:73)(cid:3) (cid:87)(cid:75)(cid:72)(cid:3) (cid:85)(cid:72)(cid:74)(cid:76)(cid:86)(cid:87)(cid:85)(cid:68)(cid:81)(cid:87)(cid:182)(cid:86)(cid:3) (cid:71)(cid:72)(cid:73)(cid:76)(cid:81)(cid:76)(cid:87)(cid:76)(cid:89)(cid:72)(cid:3) (cid:83)(cid:85)(cid:82)(cid:91)(cid:92)(cid:3) (cid:86)(cid:87)(cid:68)(cid:87)(cid:72)(cid:80)(cid:72)(cid:81)(cid:87)(cid:3) (cid:73)(cid:82)(cid:85)(cid:3) (cid:88)(cid:86)(cid:72)(cid:3) (cid:76)(cid:81)(cid:3) (cid:70)(cid:82)(cid:81)(cid:81)(cid:72)(cid:70)(cid:87)(cid:76)(cid:82)(cid:81)(cid:3) (cid:90)(cid:76)(cid:87)(cid:75)(cid:3) (cid:76)(cid:87)(cid:86)(cid:3) (cid:68)(cid:81)(cid:81)(cid:88)(cid:68)(cid:79)(cid:3) (cid:80)(cid:72)(cid:72)(cid:87)(cid:76)(cid:81)(cid:74)(cid:3) (cid:82)(cid:73)(cid:3) (cid:86)(cid:87)(cid:82)(cid:70)(cid:78)(cid:75)(cid:82)(cid:79)(cid:71)(cid:72)(cid:85)(cid:86)(cid:3)
scheduled to be held on September 18, 2009, are incorporated by reference into Part III of this form 10-K.   

-2-

 
 
 
JOHN WILEY AND SONS, INC. AND SUBSIDIARIES 
FORM 10-K 
FOR THE FISCAL YEAR ENDED APRIL 30, 2009 
INDEX 

PART I 

ITEM 1. 

Business 

ITEM 1A. 

Risk Factors 

ITEM 1B. 

Unresolved Staff Comments 

ITEM 2. 

ITEM 3. 

ITEM 4 

Properties 

Legal Proceedings 

Submission of Matters to a Vote of Security Holders 

PART II 
ITEM 5.          (cid:48)(cid:68)(cid:85)(cid:78)(cid:72)(cid:87)(cid:3)(cid:73)(cid:82)(cid:85)(cid:3)(cid:87)(cid:75)(cid:72)(cid:3)(cid:38)(cid:82)(cid:80)(cid:83)(cid:68)(cid:81)(cid:92)(cid:182)(cid:86)(cid:3)(cid:38)(cid:82)(cid:80)(cid:80)(cid:82)(cid:81)(cid:3)(cid:40)(cid:84)(cid:88)(cid:76)(cid:87)(cid:92)(cid:3)(cid:68)(cid:81)(cid:71)(cid:3)Related Stockholder Matters and 

Issuer Purchases of Equity Securities   

ITEM 6. 

ITEM 7. 

Selected Financial Data 
(cid:48)(cid:68)(cid:81)(cid:68)(cid:74)(cid:72)(cid:80)(cid:72)(cid:81)(cid:87)(cid:182)(cid:86)(cid:3)(cid:39)(cid:76)(cid:86)(cid:70)(cid:88)(cid:86)(cid:86)(cid:76)(cid:82)(cid:81)(cid:3)(cid:68)(cid:81)(cid:71)(cid:3)(cid:36)(cid:81)(cid:68)(cid:79)(cid:92)(cid:86)(cid:76)(cid:86)(cid:3)(cid:82)(cid:73)(cid:3)(cid:41)(cid:76)(cid:81)(cid:68)(cid:81)(cid:70)(cid:76)(cid:68)(cid:79)(cid:3)(cid:38)(cid:82)(cid:81)(cid:71)(cid:76)(cid:87)(cid:76)(cid:82)(cid:81)(cid:3)(cid:68)(cid:81)(cid:71)(cid:3)(cid:53)(cid:72)(cid:86)(cid:88)(cid:79)(cid:87)(cid:86)(cid:3)(cid:82)(cid:73)(cid:3)(cid:50)(cid:83)(cid:72)(cid:85)(cid:68)(cid:87)(cid:76)(cid:82)(cid:81)(cid:86) 

ITEM 7A.       Quantitative and Qualitative Disclosures About Market Risk 

ITEM 8.          Financial Statements and Supplemental Data 

ITEM 9. 

Changes in and Disagreements with Accountants on Accounting and Financial Disclosure 

ITEM 9A. 

Controls and Procedures 

ITEM 9B. 

Other Information 

PART III 

ITEM 10. 

Directors and Executive Officers of the Registrant 

ITEM 11. 

Executive Compensation 

ITEM 12.        Security Ownership of Certain Beneficial Owners and Management and Related 

Stockholder Matters       

ITEM 13. 

Certain Relationships and Related Transactions   

ITEM 14. 

Principal Accounting Fees and Services  

PART IV 

ITEM 15. 

Exhibits, Financial Statement Schedules and Reports on Form 8-K 

Signatures 

PAGE 

4 

4-7 

7 

8 

9 

9 

9 

9 

9 

9 

9 

74 

74 

74 

75-76 

76 

76 

76 

76 

77-79 

80-87 

-3-

 
 
 
 
 
 
 
 
 
 
 
 
 
         
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
PART I 

Item 1.  Business 

The  Company,  founded  in  1807,  was  incorporated  in  the  state  of  New  York  on  January  15,  1904.  (As  used 

(cid:75)(cid:72)(cid:85)(cid:72)(cid:76)(cid:81)(cid:3) (cid:87)(cid:75)(cid:72)(cid:3) (cid:87)(cid:72)(cid:85)(cid:80)(cid:3) (cid:179)(cid:38)(cid:82)(cid:80)(cid:83)(cid:68)(cid:81)(cid:92)(cid:180)(cid:3) (cid:80)(cid:72)(cid:68)(cid:81)(cid:86)(cid:3) (cid:45)(cid:82)(cid:75)(cid:81)(cid:3) (cid:58)(cid:76)(cid:79)(cid:72)(cid:92)(cid:3) (cid:9)(cid:3) (cid:54)(cid:82)(cid:81)(cid:86)(cid:15)(cid:3) (cid:44)(cid:81)(cid:70)(cid:17)(cid:15)(cid:3) (cid:68)(cid:81)(cid:71)(cid:3) (cid:76)(cid:87)(cid:86)(cid:3) (cid:86)(cid:88)(cid:69)(cid:86)(cid:76)(cid:71)(cid:76)(cid:68)(cid:85)(cid:76)(cid:72)(cid:86)(cid:3) (cid:68)(cid:81)(cid:71)(cid:3) (cid:68)(cid:73)(cid:73)(cid:76)(cid:79)(cid:76)(cid:68)(cid:87)(cid:72)(cid:71)(cid:3) (cid:70)(cid:82)(cid:80)(cid:83)(cid:68)(cid:81)(cid:76)(cid:72)(cid:86)(cid:15)(cid:3)
unless the context indicates otherwise.) 

The Company is a global publisher of print and electronic products, providing content and  digital solutions to 

customers  worldwide.  Core  businesses  produce  scientific,  technical,  medical  and  scholarly  journals, 

encyclopedias, books, online products and services; professional and consumer books, subscription products, 

training  materials,  online  applications  and  websites;  and  educational  materials,  including  integrated  online 

teaching and learning resources, for undergraduate and graduate students, teachers and lifelong learners. The 

Company takes full advantage of its content from all three core businesses in developing and cross-marketing 

products to its diverse customer base of professionals, consumers, researchers, students, and educators. The 

use  of  technology  enables  the  Company  to  make  its  content  more  accessible  to  its  customers  around  the 

world. The Company maintains publishing, marketing, and distribution centers in the United States, Canada, 

Europe, Asia, and Australia. 

Further  description  of  the  (cid:38)(cid:82)(cid:80)(cid:83)(cid:68)(cid:81)(cid:92)(cid:182)(cid:86)(cid:3) (cid:69)(cid:88)(cid:86)(cid:76)(cid:81)(cid:72)(cid:86)(cid:86)(cid:3) (cid:76)(cid:86)(cid:3) (cid:76)(cid:81)(cid:70)(cid:82)(cid:85)(cid:83)(cid:82)(cid:85)(cid:68)(cid:87)(cid:72)(cid:71)(cid:3) (cid:75)(cid:72)(cid:85)(cid:72)(cid:76)(cid:81)(cid:3) (cid:69)(cid:92)(cid:3) (cid:85)(cid:72)(cid:73)(cid:72)(cid:85)(cid:72)(cid:81)(cid:70)(cid:72)(cid:3) (cid:76)(cid:81)(cid:3) (cid:87)(cid:75)(cid:72)(cid:3) (cid:48)(cid:68)(cid:81)(cid:68)(cid:74)(cid:72)(cid:80)(cid:72)(cid:81)(cid:87)(cid:182)(cid:86) 
Discussion and Analysis section of this 10-K. 

Employees 

As  of  April  30,  2009,  the  Company  employed  approximately  5,100  people  on  a  full-time  equivalent  basis 
worldwide. 

Financial Information About Industry Segments 

(cid:55)(cid:75)(cid:72)(cid:3) (cid:81)(cid:82)(cid:87)(cid:72)(cid:3) (cid:72)(cid:81)(cid:87)(cid:76)(cid:87)(cid:79)(cid:72)(cid:71)(cid:3) (cid:179)(cid:54)(cid:72)(cid:74)(cid:80)(cid:72)(cid:81)(cid:87)(cid:3) (cid:44)(cid:81)(cid:73)(cid:82)(cid:85)(cid:80)(cid:68)(cid:87)(cid:76)(cid:82)(cid:81)(cid:180)(cid:3) (cid:82)(cid:73)(cid:3) (cid:87)(cid:75)(cid:72)(cid:3) (cid:49)(cid:82)(cid:87)(cid:72)(cid:86)(cid:3) (cid:87)(cid:82)(cid:3) (cid:38)(cid:82)(cid:81)(cid:86)(cid:82)(cid:79)(cid:76)(cid:71)(cid:68)(cid:87)(cid:72)(cid:71)(cid:3) (cid:41)(cid:76)(cid:81)(cid:68)(cid:81)(cid:70)(cid:76)(cid:68)(cid:79)(cid:3) (cid:54)(cid:87)(cid:68)(cid:87)(cid:72)(cid:80)(cid:72)(cid:81)(cid:87)(cid:86)(cid:3) (cid:68)(cid:81)(cid:71)(cid:3) (cid:87)(cid:75)(cid:72)(cid:3)
(cid:48)(cid:68)(cid:81)(cid:68)(cid:74)(cid:72)(cid:80)(cid:72)(cid:81)(cid:87)(cid:182)(cid:86)(cid:3)(cid:39)(cid:76)(cid:86)(cid:70)(cid:88)(cid:86)(cid:86)(cid:76)(cid:82)(cid:81)(cid:3)(cid:68)(cid:81)(cid:71)(cid:3)(cid:36)(cid:81)(cid:68)(cid:79)(cid:92)(cid:86)(cid:76)(cid:86)(cid:3)(cid:86)(cid:72)(cid:70)(cid:87)(cid:76)(cid:82)(cid:81)(cid:3)(cid:82)(cid:73)(cid:3)(cid:87)(cid:75)(cid:76)(cid:86)(cid:3)(cid:20)(cid:19)-K, both listed in the attached index, are incorporated 
herein by reference. 

Financial Information About Foreign and Domestic Operations and Export Sales 

(cid:55)(cid:75)(cid:72)(cid:3) (cid:81)(cid:82)(cid:87)(cid:72)(cid:3) (cid:72)(cid:81)(cid:87)(cid:76)(cid:87)(cid:79)(cid:72)(cid:71)(cid:3) (cid:179)(cid:54)(cid:72)(cid:74)(cid:80)(cid:72)(cid:81)(cid:87)(cid:3) (cid:44)(cid:81)(cid:73)(cid:82)(cid:85)(cid:80)(cid:68)(cid:87)(cid:76)(cid:82)(cid:81)(cid:180)(cid:3) (cid:82)(cid:73)(cid:3) (cid:87)(cid:75)(cid:72)(cid:3) (cid:49)(cid:82)(cid:87)(cid:72)(cid:86)(cid:3) (cid:87)(cid:82)(cid:3) (cid:38)(cid:82)(cid:81)(cid:86)(cid:82)(cid:79)(cid:76)(cid:71)(cid:68)(cid:87)(cid:72)(cid:71)(cid:3) (cid:41)(cid:76)(cid:81)(cid:68)(cid:81)(cid:70)(cid:76)(cid:68)(cid:79)(cid:3) (cid:54)(cid:87)(cid:68)(cid:87)(cid:72)(cid:80)(cid:72)(cid:81)(cid:87)(cid:86)(cid:3) (cid:68)(cid:81)(cid:71)(cid:3) (cid:87)(cid:75)(cid:72)(cid:3)
(cid:48)(cid:68)(cid:81)(cid:68)(cid:74)(cid:72)(cid:80)(cid:72)(cid:81)(cid:87)(cid:182)(cid:86)(cid:3)(cid:39)(cid:76)(cid:86)(cid:70)(cid:88)(cid:86)(cid:86)(cid:76)(cid:82)(cid:81)(cid:3)(cid:68)(cid:81)(cid:71)(cid:3)(cid:36)(cid:81)(cid:68)(cid:79)(cid:92)(cid:86)(cid:76)(cid:86)(cid:3)(cid:86)(cid:72)(cid:70)(cid:87)(cid:76)(cid:82)(cid:81)(cid:3)(cid:82)(cid:73)(cid:3)(cid:87)(cid:75)(cid:76)(cid:86)(cid:3)(cid:20)(cid:19)-K, both listed in the attached index, are incorporated 
herein by reference. 

Item 1A.  Risk Factors 

You  should  carefully  consider  all  of  the  information  set  forth  in  this  Form  10-K,  including  the  following  risk 

(cid:73)(cid:68)(cid:70)(cid:87)(cid:82)(cid:85)(cid:86)(cid:15)(cid:3)(cid:69)(cid:72)(cid:73)(cid:82)(cid:85)(cid:72)(cid:3)(cid:71)(cid:72)(cid:70)(cid:76)(cid:71)(cid:76)(cid:81)(cid:74)(cid:3)(cid:87)(cid:82)(cid:3)(cid:76)(cid:81)(cid:89)(cid:72)(cid:86)(cid:87)(cid:3)(cid:76)(cid:81)(cid:3)(cid:68)(cid:81)(cid:92)(cid:3)(cid:82)(cid:73)(cid:3)(cid:87)(cid:75)(cid:72)(cid:3)(cid:38)(cid:82)(cid:80)(cid:83)(cid:68)(cid:81)(cid:92)(cid:182)(cid:86)(cid:3)(cid:86)(cid:72)(cid:70)(cid:88)(cid:85)(cid:76)(cid:87)(cid:76)(cid:72)(cid:86)(cid:17)(cid:3)(cid:55)(cid:75)(cid:72)(cid:3)(cid:85)(cid:76)(cid:86)(cid:78)(cid:86)(cid:3)(cid:69)(cid:72)(cid:79)(cid:82)(cid:90)(cid:3)(cid:68)(cid:85)(cid:72)(cid:3)(cid:81)(cid:82)(cid:87)(cid:3)(cid:87)(cid:75)(cid:72)(cid:3)(cid:82)(cid:81)(cid:79)(cid:92)(cid:3)(cid:82)(cid:81)(cid:72)(cid:86)(cid:3)(cid:87)(cid:75)(cid:72)(cid:3)
Company faces.  Additional risks  not currently known  to the Company  or that  the Company  presently  deems 

(cid:76)(cid:80)(cid:80)(cid:68)(cid:87)(cid:72)(cid:85)(cid:76)(cid:68)(cid:79)(cid:3) (cid:80)(cid:68)(cid:92)(cid:3) (cid:68)(cid:79)(cid:86)(cid:82)(cid:3) (cid:76)(cid:80)(cid:83)(cid:68)(cid:76)(cid:85)(cid:3) (cid:76)(cid:87)(cid:86)(cid:3) (cid:69)(cid:88)(cid:86)(cid:76)(cid:81)(cid:72)(cid:86)(cid:86)(cid:3) (cid:82)(cid:83)(cid:72)(cid:85)(cid:68)(cid:87)(cid:76)(cid:82)(cid:81)(cid:86)(cid:17)(cid:3) (cid:55)(cid:75)(cid:72)(cid:3) (cid:38)(cid:82)(cid:80)(cid:83)(cid:68)(cid:81)(cid:92)(cid:182)(cid:86)(cid:3) (cid:69)(cid:88)(cid:86)(cid:76)(cid:81)(cid:72)(cid:86)(cid:86)(cid:15)(cid:3) (cid:73)(cid:76)(cid:81)(cid:68)(cid:81)(cid:70)(cid:76)(cid:68)(cid:79)(cid:3) (cid:70)(cid:82)(cid:81)(cid:71)(cid:76)(cid:87)(cid:76)(cid:82)(cid:81)(cid:15)(cid:3) (cid:85)(cid:72)(cid:86)(cid:88)(cid:79)(cid:87)(cid:86)(cid:3) (cid:82)(cid:73)(cid:3)
operations or prospects could be materially adversely affected by any of these risks.  

Cautionary Statement Under the Private Securities Litigation Reform Act of 1995: 

-4-

 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
This  10-K  and  our  Annual  Report  to  Shareholders  for  the  year  ending  April  30,  2009  report  contains  certain 
forward-(cid:79)(cid:82)(cid:82)(cid:78)(cid:76)(cid:81)(cid:74)(cid:3) (cid:86)(cid:87)(cid:68)(cid:87)(cid:72)(cid:80)(cid:72)(cid:81)(cid:87)(cid:86)(cid:3) (cid:70)(cid:82)(cid:81)(cid:70)(cid:72)(cid:85)(cid:81)(cid:76)(cid:81)(cid:74)(cid:3) (cid:87)(cid:75)(cid:72)(cid:3) (cid:38)(cid:82)(cid:80)(cid:83)(cid:68)(cid:81)(cid:92)(cid:182)(cid:86)(cid:3) (cid:82)(cid:83)(cid:72)rations,  performance,  and  financial  condition.  In 
addition, the Company provides forward-looking statements in other materials released to the public as well as 

oral  forward-looking  information.    Statements  which  contain  the  words  anticipate,  expect,  believes,  estimate, 

project,  forecast,  plan,  outlook,  intend  and  similar  expressions  constitute  forward-looking  statements  that 
involve risk and uncertainties. Reliance should not be placed on forward-looking statements, as actual results 
may differ materially from those in any forward-looking statements. 

Any  such  forward-looking  statements  are  based  upon  a  number  of  assumptions  and  estimates  that  are 

inherently subject to uncertainties and contingencies, many of which are beyond the control of the Company, 

and are subject to change based on many important factors. Such factors include, but are not limited to (i) the 

(cid:79)(cid:72)(cid:89)(cid:72)(cid:79)(cid:3)(cid:82)(cid:73)(cid:3)(cid:76)(cid:81)(cid:89)(cid:72)(cid:86)(cid:87)(cid:80)(cid:72)(cid:81)(cid:87)(cid:3)(cid:76)(cid:81)(cid:3)(cid:81)(cid:72)(cid:90)(cid:3)(cid:87)(cid:72)(cid:70)(cid:75)(cid:81)(cid:82)(cid:79)(cid:82)(cid:74)(cid:76)(cid:72)(cid:86)(cid:3)(cid:68)(cid:81)(cid:71)(cid:3)(cid:83)(cid:85)(cid:82)(cid:71)(cid:88)(cid:70)(cid:87)(cid:86)(cid:30)(cid:3)(cid:11)(cid:76)(cid:76)(cid:12)(cid:3)(cid:86)(cid:88)(cid:69)(cid:86)(cid:70)(cid:85)(cid:76)(cid:69)(cid:72)(cid:85)(cid:3)(cid:85)(cid:72)(cid:81)(cid:72)(cid:90)(cid:68)(cid:79)(cid:3)(cid:85)(cid:68)(cid:87)(cid:72)(cid:86)(cid:3)(cid:73)(cid:82)(cid:85)(cid:3)(cid:87)(cid:75)(cid:72)(cid:3)(cid:38)(cid:82)(cid:80)(cid:83)(cid:68)(cid:81)(cid:92)(cid:182)(cid:86)(cid:3)(cid:77)(cid:82)(cid:88)(cid:85)(cid:81)(cid:68)(cid:79)(cid:86)(cid:30)(cid:3)
(iii) the financial stability and liquidity of journal subscription agents; (iv) the consolidation of book wholesalers 

and retail accounts; (v) the market position and financial stability of key retailers; (vi) the impact of the used-
book  market;  (vii)  worldwide  economic  and  political  c(cid:82)(cid:81)(cid:71)(cid:76)(cid:87)(cid:76)(cid:82)(cid:81)(cid:86)(cid:30)(cid:3) (cid:68)(cid:81)(cid:71)(cid:3) (cid:11)(cid:89)(cid:76)(cid:76)(cid:76)(cid:12)(cid:3) (cid:87)(cid:75)(cid:72)(cid:3) (cid:38)(cid:82)(cid:80)(cid:83)(cid:68)(cid:81)(cid:92)(cid:182)(cid:86)(cid:3) (cid:68)(cid:69)(cid:76)(cid:79)(cid:76)(cid:87)(cid:92)(cid:3) (cid:87)(cid:82)(cid:3) (cid:83)(cid:85)(cid:82)(cid:87)(cid:72)(cid:70)(cid:87)(cid:3) (cid:76)(cid:87)(cid:86)(cid:3)
copyrights  and  other  intellectual  property  worldwide  (ix)  other  factors  detailed  from  time  to  time  in  the 
(cid:38)(cid:82)(cid:80)(cid:83)(cid:68)(cid:81)(cid:92)(cid:182)(cid:86)(cid:3)(cid:73)(cid:76)(cid:79)(cid:76)(cid:81)(cid:74)(cid:86)(cid:3)(cid:90)(cid:76)(cid:87)(cid:75)(cid:3)(cid:87)(cid:75)(cid:72)(cid:3)(cid:54)(cid:72)(cid:70)(cid:88)(cid:85)(cid:76)(cid:87)(cid:76)(cid:72)(cid:86)(cid:3)(cid:68)(cid:81)(cid:71)(cid:3)(cid:40)(cid:91)(cid:70)(cid:75)(cid:68)(cid:81)(cid:74)(cid:72)(cid:3)(cid:38)(cid:82)(cid:80)(cid:80)(cid:76)(cid:86)(cid:86)(cid:76)(cid:82)(cid:81)(cid:17)(cid:3)(cid:3)(cid:55)(cid:75)(cid:72)(cid:3)(cid:38)(cid:82)(cid:80)(cid:83)(cid:68)(cid:81)(cid:92)(cid:3)(cid:88)(cid:81)(cid:71)(cid:72)(cid:85)(cid:87)(cid:68)(cid:78)(cid:72)(cid:86)(cid:3)(cid:81)(cid:82)(cid:3)(cid:82)bligation to 
update or revise any such forward-looking statements to reflect subsequent events or circumstances. 

Operating Costs and Expenses 

The Company has a significant investment, and cost, in its employee base around the world.  The Company 

offers  competitive  salaries  and  benefits  in  order  to  attract  and  retain  the  highly  skilled  workforce  needed  to 

sustain  and  develop  new  products  and  services  required  for  growth.    Employment  and  benefit  costs  are 

affected by competitive market conditions for qualified individuals, and factors such as healthcare, pension and 

retirement  benefits  costs.    The  Company  is  a  large  paper  purchaser,  and  paper  prices  may  fluctuate 

significantly  from  time-to-time.    The  Company  attempts  to  moderate  the  exposure  to  fluctuations  in  price  by 

entering into multi-year supply contracts and having alternative suppliers available.  In general, however, any 

significant  increase  in  the  costs  of  goods  and  services  provided  to  the  Company  may  adversely  affect  the 
(cid:38)(cid:82)(cid:80)(cid:83)(cid:68)(cid:81)(cid:92)(cid:182)(cid:86)(cid:3)(cid:70)(cid:82)sts of operation. 

Protection of Intellectual Property Rights 

(cid:54)(cid:88)(cid:69)(cid:86)(cid:87)(cid:68)(cid:81)(cid:87)(cid:76)(cid:68)(cid:79)(cid:79)(cid:92)(cid:3)(cid:68)(cid:79)(cid:79)(cid:3)(cid:82)(cid:73)(cid:3)(cid:87)(cid:75)(cid:72)(cid:3)(cid:38)(cid:82)(cid:80)(cid:83)(cid:68)(cid:81)(cid:92)(cid:182)(cid:86)(cid:3)(cid:83)(cid:88)(cid:69)(cid:79)(cid:76)(cid:70)(cid:68)(cid:87)(cid:76)(cid:82)(cid:81)(cid:86)(cid:3)(cid:68)(cid:85)(cid:72)(cid:3)(cid:83)(cid:85)(cid:82)(cid:87)(cid:72)(cid:70)(cid:87)(cid:72)(cid:71)(cid:3)(cid:69)(cid:92)(cid:3)(cid:70)(cid:82)(cid:83)(cid:92)(cid:85)(cid:76)(cid:74)(cid:75)(cid:87)(cid:15)(cid:3)(cid:75)(cid:72)(cid:79)(cid:71)(cid:3)(cid:72)(cid:76)(cid:87)(cid:75)(cid:72)(cid:85)(cid:3)(cid:76)(cid:81)(cid:3)(cid:87)(cid:75)(cid:72)(cid:3)(cid:38)(cid:82)(cid:80)(cid:83)(cid:68)(cid:81)(cid:92)(cid:182)(cid:86)(cid:3)(cid:81)(cid:68)(cid:80)(cid:72)(cid:15)(cid:3)
in the name of the author of the work, or in the name of the sponsoring professional society. Such copyrights 

(cid:83)(cid:85)(cid:82)(cid:87)(cid:72)(cid:70)(cid:87)(cid:3) (cid:87)(cid:75)(cid:72)(cid:3) (cid:38)(cid:82)(cid:80)(cid:83)(cid:68)(cid:81)(cid:92)(cid:182)(cid:86)(cid:3) (cid:72)(cid:91)(cid:70)(cid:79)(cid:88)(cid:86)(cid:76)(cid:89)(cid:72)(cid:3) (cid:85)(cid:76)(cid:74)(cid:75)(cid:87)(cid:3) (cid:87)(cid:82)(cid:3) (cid:83)(cid:88)(cid:69)(cid:79)(cid:76)(cid:86)(cid:75)(cid:3) (cid:87)(cid:75)(cid:72)(cid:3) (cid:90)(cid:82)(cid:85)(cid:78)(cid:3) (cid:76)(cid:81)(cid:3)(cid:80)(cid:68)(cid:81)(cid:92)(cid:3) (cid:70)(cid:82)(cid:88)(cid:81)(cid:87)(cid:85)(cid:76)(cid:72)(cid:86)(cid:3) (cid:68)(cid:69)(cid:85)(cid:82)(cid:68)(cid:71)(cid:3) (cid:73)(cid:82)(cid:85)(cid:3) (cid:86)(cid:83)(cid:72)(cid:70)(cid:76)(cid:73)(cid:76)(cid:72)(cid:71)(cid:3) (cid:83)(cid:72)(cid:85)(cid:76)(cid:82)(cid:71)(cid:86)(cid:15)(cid:3) (cid:76)(cid:81)(cid:3)

(cid:80)(cid:82)(cid:86)(cid:87)(cid:3)(cid:70)(cid:68)(cid:86)(cid:72)(cid:86)(cid:3)(cid:87)(cid:75)(cid:72)(cid:3)(cid:68)(cid:88)(cid:87)(cid:75)(cid:82)(cid:85)(cid:182)(cid:86)(cid:3)(cid:79)(cid:76)(cid:73)(cid:72)(cid:3)(cid:83)(cid:79)(cid:88)(cid:86)(cid:3)(cid:26)(cid:19)(cid:3)(cid:92)(cid:72)(cid:68)(cid:85)(cid:86)(cid:15)(cid:3)(cid:69)(cid:88)(cid:87)(cid:3)(cid:76)(cid:81)(cid:3)(cid:68)(cid:81)(cid:92)(cid:3)(cid:72)(cid:89)(cid:72)(cid:81)(cid:87)(cid:3)(cid:68)(cid:3)(cid:80)(cid:76)(cid:81)(cid:76)(cid:80)(cid:88)(cid:80)(cid:3)(cid:82)(cid:73)(cid:3)(cid:24)(cid:19)(cid:3)(cid:92)(cid:72)(cid:68)(cid:85)(cid:86)(cid:3)(cid:73)(cid:82)(cid:85)(cid:3)(cid:90)(cid:82)(cid:85)(cid:78)(cid:86)(cid:3)(cid:83)(cid:88)(cid:69)(cid:79)(cid:76)(cid:86)(cid:75)(cid:72)(cid:71)(cid:3)(cid:68)(cid:73)(cid:87)(cid:72)(cid:85)(cid:3)
1978.    The  ability  of  the  Company  to  continue  to  achieve  its  expected  results  depends,  in  part,  upon  the 

(cid:38)(cid:82)(cid:80)(cid:83)(cid:68)(cid:81)(cid:92)(cid:182)(cid:86)(cid:3)(cid:68)(cid:69)(cid:76)(cid:79)(cid:76)(cid:87)(cid:92)(cid:3)(cid:87)(cid:82)(cid:3)(cid:83)(cid:85)(cid:82)(cid:87)(cid:72)(cid:70)(cid:87)(cid:3)(cid:76)(cid:87)(cid:86)(cid:3)(cid:76)(cid:81)(cid:87)(cid:72)(cid:79)(cid:79)(cid:72)(cid:70)(cid:87)(cid:88)(cid:68)(cid:79)(cid:3)(cid:83)(cid:85)(cid:82)(cid:83)(cid:72)(cid:85)(cid:87)(cid:92)(cid:3)(cid:85)(cid:76)(cid:74)(cid:75)(cid:87)(cid:86)(cid:17)(cid:3)(cid:55)(cid:75)(cid:72)(cid:3)(cid:38)(cid:82)(cid:80)(cid:83)(cid:68)(cid:81)(cid:92)(cid:182)(cid:86)(cid:3)(cid:85)(cid:72)(cid:86)(cid:88)(cid:79)(cid:87)(cid:86)(cid:3)(cid:80)(cid:68)(cid:92)(cid:3)(cid:69)(cid:72)(cid:3)(cid:68)(cid:71)(cid:89)(cid:72)(cid:85)(cid:86)(cid:72)(cid:79)(cid:92)(cid:3)(cid:68)(cid:73)(cid:73)(cid:72)(cid:70)(cid:87)(cid:72)(cid:71)(cid:3)
by lack of legal and/or technological protections for its intellectual property in some jurisdictions and markets. 

(cid:48)(cid:68)(cid:76)(cid:81)(cid:87)(cid:68)(cid:76)(cid:81)(cid:76)(cid:81)(cid:74)(cid:3)(cid:87)(cid:75)(cid:72)(cid:3)(cid:38)(cid:82)(cid:80)(cid:83)(cid:68)(cid:81)(cid:92)(cid:182)(cid:86)(cid:3)(cid:53)(cid:72)(cid:83)(cid:88)(cid:87)(cid:68)(cid:87)(cid:76)(cid:82)(cid:81) 

(cid:51)(cid:85)(cid:82)(cid:73)(cid:72)(cid:86)(cid:86)(cid:76)(cid:82)(cid:81)(cid:68)(cid:79)(cid:86)(cid:3)(cid:90)(cid:82)(cid:85)(cid:79)(cid:71)(cid:90)(cid:76)(cid:71)(cid:72)(cid:3)(cid:85)(cid:72)(cid:79)(cid:92)(cid:3)(cid:88)(cid:83)(cid:82)(cid:81)(cid:3)(cid:80)(cid:68)(cid:81)(cid:92)(cid:3)(cid:82)(cid:73)(cid:3)(cid:87)(cid:75)(cid:72)(cid:3)(cid:38)(cid:82)(cid:80)(cid:83)(cid:68)(cid:81)(cid:92)(cid:182)(cid:86)(cid:3)(cid:83)(cid:88)(cid:69)(cid:79)(cid:76)(cid:70)(cid:68)(cid:87)(cid:76)(cid:82)(cid:81)(cid:86)(cid:3)(cid:87)(cid:82)(cid:3)(cid:83)(cid:72)(cid:85)(cid:73)(cid:82)(cid:85)(cid:80)(cid:3)(cid:87)(cid:75)(cid:72)(cid:76)(cid:85)(cid:3)(cid:77)(cid:82)(cid:69)(cid:86). It is imperative 
that the Company consistently demonstrates its ability to maintain the integrity of the information included in its 
(cid:83)(cid:88)(cid:69)(cid:79)(cid:76)(cid:70)(cid:68)(cid:87)(cid:76)(cid:82)(cid:81)(cid:86)(cid:17)(cid:3)(cid:36)(cid:71)(cid:89)(cid:72)(cid:85)(cid:86)(cid:72)(cid:3)(cid:83)(cid:88)(cid:69)(cid:79)(cid:76)(cid:70)(cid:76)(cid:87)(cid:92)(cid:15)(cid:3)(cid:90)(cid:75)(cid:72)(cid:87)(cid:75)(cid:72)(cid:85)(cid:3)(cid:82)(cid:85)(cid:3)(cid:81)(cid:82)(cid:87)(cid:3)(cid:89)(cid:68)(cid:79)(cid:76)(cid:71)(cid:15)(cid:3)(cid:80)(cid:68)(cid:92)(cid:3)(cid:85)(cid:72)(cid:71)(cid:88)(cid:70)(cid:72)(cid:3)(cid:71)(cid:72)(cid:80)(cid:68)(cid:81)(cid:71)(cid:3)(cid:73)(cid:82)(cid:85)(cid:3)(cid:87)(cid:75)(cid:72)(cid:3)(cid:38)(cid:82)(cid:80)(cid:83)(cid:68)(cid:81)(cid:92)(cid:182)(cid:86)(cid:3)(cid:83)(cid:88)(cid:69)(cid:79)(cid:76)(cid:70)(cid:68)(cid:87)(cid:76)(cid:82)(cid:81)(cid:86)(cid:17) 

-5-

 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Trade Concentration and Credit Risk 

In  the  journal  publishing  business,  subscriptions  are  primarily  sourced  through  journal  subscription  agents 

who, acting as agents for library customers, facilitate ordering by consolidating the subscription orders/billings 

of  each  subscriber  with  various  publishers.  Cash  is  generally  collected  in  advance  from  subscribers  by  the 

subscription  agents  and  is  remitted  to  the  journal  publisher,  including  the  Company,  generally  prior  to  the 

commencement  of  the  subscriptions.  Although  at  fiscal  year-end  the  Company  had  minimal  credit  risk 

exposure to these agents, future calendar-year subscription receipts from these agents are highly dependent 

on  their  financial  condition  and  liquidity.  Subscription  agents  account  for  approximately  20%  of  consolidated 

book and journal revenue and no one agent accounts for more than 9% of total consolidated revenue.  

(cid:55)(cid:75)(cid:72)(cid:3)(cid:38)(cid:82)(cid:80)(cid:83)(cid:68)(cid:81)(cid:92)(cid:182)(cid:86)(cid:3)(cid:69)(cid:88)(cid:86)(cid:76)(cid:81)(cid:72)(cid:86)(cid:86)(cid:3)(cid:76)(cid:86)(cid:3)(cid:81)(cid:82)(cid:87)(cid:3)(cid:71)(cid:72)(cid:83)(cid:72)(cid:81)(cid:71)(cid:72)(cid:81)(cid:87)(cid:3)(cid:88)(cid:83)(cid:82)(cid:81)(cid:3)(cid:68)(cid:3)(cid:86)(cid:76)(cid:81)(cid:74)(cid:79)(cid:72)(cid:3)(cid:70)(cid:88)(cid:86)(cid:87)(cid:82)(cid:80)(cid:72)(cid:85)(cid:30)(cid:3)(cid:75)(cid:82)(cid:90)(cid:72)(cid:89)(cid:72)(cid:85)(cid:15)(cid:3)(cid:87)(cid:75)(cid:72)(cid:3)(cid:76)(cid:81)(cid:71)(cid:88)(cid:86)(cid:87)(cid:85)(cid:92)(cid:3)(cid:76)(cid:86)(cid:3)(cid:70)(cid:82)(cid:81)(cid:70)(cid:72)(cid:81)(cid:87)(cid:85)(cid:68)(cid:87)(cid:72)(cid:71)(cid:3)(cid:76)(cid:81)(cid:3)
national, regional, and online bookstore chains. Although no one book customer accounts for more than 7% of 

consolidated revenue, the top 10 book customers account for approximately 18% of total consolidated revenue 

and approximately 41% of accounts receivable, before reserves  at  April 30, 2009.  Payments for the sale  of 

subscription journals are predominantly collected in advance. 

Changes in Regulation and Accounting Standards 

The Company maintains publishing, marketing and distribution centers in Asia, Australia, Canada, Europe and 

the United States. The conduct of our business, including the sourcing of content, distribution, sales, marketing 

and  advertising  is  subject  to  various  laws  and  regulations  administered  by  governments  around  the  world. 

Changes  in  laws,  regulations  or  government  policies,  including  taxation  requirements  and  accounting 
stand(cid:68)(cid:85)(cid:71)(cid:86)(cid:15)(cid:3)(cid:80)(cid:68)(cid:92)(cid:3)(cid:68)(cid:71)(cid:89)(cid:72)(cid:85)(cid:86)(cid:72)(cid:79)(cid:92)(cid:3)(cid:68)(cid:73)(cid:73)(cid:72)(cid:70)(cid:87)(cid:3)(cid:87)(cid:75)(cid:72)(cid:3)(cid:38)(cid:82)(cid:80)(cid:83)(cid:68)(cid:81)(cid:92)(cid:182)(cid:86)(cid:3)(cid:73)(cid:88)(cid:87)(cid:88)(cid:85)(cid:72)(cid:3)(cid:73)(cid:76)(cid:81)(cid:68)(cid:81)(cid:70)(cid:76)(cid:68)(cid:79)(cid:3)(cid:85)(cid:72)(cid:86)(cid:88)(cid:79)(cid:87)(cid:86)(cid:17) 

Introduction of New Technologies or Products 

Media  and  publishing  companies  exist  in  rapidly  changing  technological  and  competitive  environments.  

Therefore, the Company must continue to invest in technological and other innovations and adapt in order to 

continue to add value to its products and services and remain competitive.  There are uncertainties whenever 

developing new products and services, and it is often possible that such new products and services may not 

be launched or if launched, may not be profitable or as profitable as existing products and services. 

Competition for Market Share and Author and Society Relationships 

The  Company  operates  in  highly  competitive  markets.    Success  and  continued  growth  depends  greatly  on 

developing  new  products  and  the  means  to  deliver  them  in  an  environment  of  rapid  technological  change.   

Attracting new authors and professional societies, while retaining our existing business relationships are also 

critical to our success.  We believe the Company is well positioned to meet these business challenges with the 

strength of our brands, our reputation and innovative abilities. 

Interest Rate and Foreign Exchange Risk  

Approximately 50% of our total consolidated revenue for fiscal year 2009 was derived from operations outside 

the  United  States.  These  international-based  revenues,  as  well  as  our  substantial  international  net  assets, 
(cid:72)(cid:91)(cid:83)(cid:82)(cid:86)(cid:72)(cid:3) (cid:87)(cid:75)(cid:72)(cid:3) (cid:38)(cid:82)(cid:80)(cid:83)(cid:68)(cid:81)(cid:92)(cid:182)(cid:86)(cid:3) (cid:85)(cid:72)(cid:86)(cid:88)(cid:79)(cid:87)(cid:86)(cid:3) (cid:87)(cid:82)(cid:3) (cid:73)(cid:82)(cid:85)(cid:72)(cid:76)(cid:74)(cid:81)(cid:3) (cid:70)(cid:88)(cid:85)(cid:85)(cid:72)(cid:81)(cid:70)(cid:92)(cid:3) (cid:72)(cid:91)(cid:70)(cid:75)(cid:68)(cid:81)(cid:74)(cid:72)(cid:3) (cid:85)(cid:68)(cid:87)(cid:72)(cid:3) (cid:70)(cid:75)(cid:68)(cid:81)(cid:74)(cid:72)(cid:86)(cid:17)(cid:3) (cid:44)(cid:81)(cid:3) (cid:68)(cid:71)(cid:71)(cid:76)(cid:87)(cid:76)(cid:82)(cid:81)(cid:15)(cid:3) (cid:82)(cid:88)(cid:85)(cid:3) (cid:76)(cid:81)(cid:87)(cid:72)(cid:85)(cid:72)(cid:86)(cid:87)-bearing 
loans  and  borrowings  are  subject  to  risk  from  changes  in  interest  rates.  These  risks  and  the  measures  we 

have taken to help contain them are discussed in the Market Risk section of this 10-K. For additional details, 

-6-

 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
see Note 12 to our consolidated financial statements, Debt and Available Credit Facilities, in this 10-K. Those 

sections of our 2009 10-K are incorporated by reference.  Notwithstanding our efforts to foresee and mitigate 

the  effects  of  changes  in  fiscal  circumstances,  we  cannot  predict  with  certainty  changes  in  currency  and 

interest rates, inflation or other related factors affecting our business.   

Liquidity and Global Economic Conditions 

The recent changes in global financial markets have not had, nor do we anticipate they will have, a significant 

impact on our liquidity. Due to our significant operating cash flow, financial assets, access to capital markets 

and available lines of credit and revolving credit agreements, we continue to believe that we have the ability to 

meet our financing needs for the foreseeable future. As market conditions change, we will continue to monitor 

our liquidity position. However, there can be no assurance that our liquidity or our results of operations will not 

be affected by recent and possible future changes in global financial markets and global economic conditions. 

Moreover,  like  other  businesses,  we  face  the  potential  effects  of  the  global  economic  recession. 

Unprecedented  market  conditions  including  illiquid  credit  markets,  volatile  equity  markets,  dramatic 

fluctuations in foreign currency rates and economic recession could affect future results.  

Effects of Inflation and Cost Increases 

The Company, from time to time, experiences cost increases reflecting, in part, general inflationary factors. To 

mitigate the effect of cost increases, the Company may take various steps to reduce development, production 

and  manufacturing  costs.  In  addition,  the  selling  prices  for  our  products  may  be  selectively  increased  as 

marketplace conditions permit. 

Ability to Successfully Integrate Key Acquisitions 

(cid:55)(cid:75)(cid:72)(cid:3) (cid:38)(cid:82)(cid:80)(cid:83)(cid:68)(cid:81)(cid:92)(cid:182)(cid:86)(cid:3) (cid:74)(cid:85)(cid:82)(cid:90)(cid:87)(cid:75)(cid:3) (cid:86)(cid:87)(cid:85)(cid:68)(cid:87)(cid:72)(cid:74)(cid:92)(cid:3) (cid:76)(cid:81)(cid:70)(cid:79)(cid:88)(cid:71)(cid:72)(cid:86)(cid:3) (cid:87)(cid:76)(cid:87)(cid:79)(cid:72)(cid:15)(cid:3) (cid:76)(cid:80)(cid:83)(cid:85)(cid:76)(cid:81)(cid:87)(cid:3) (cid:68)(cid:81)(cid:71)(cid:3) (cid:69)(cid:88)(cid:86)(cid:76)(cid:81)(cid:72)(cid:86)(cid:86)(cid:3) (cid:68)(cid:70)(cid:84)(cid:88)(cid:76)(cid:86)(cid:76)(cid:87)(cid:76)(cid:82)(cid:81)(cid:86)(cid:3) (cid:90)(cid:75)(cid:76)(cid:70)(cid:75)(cid:3) (cid:70)(cid:82)(cid:80)(cid:83)(cid:79)(cid:72)(cid:80)(cid:72)(cid:81)(cid:87)(cid:3) (cid:87)(cid:75)(cid:72)(cid:3)
(cid:38)(cid:82)(cid:80)(cid:83)(cid:68)(cid:81)(cid:92)(cid:182)(cid:86)(cid:3)(cid:72)(cid:91)(cid:76)(cid:86)(cid:87)ing businesses; the development of new products and services; designing and implementing 
new  methods  of  delivering  products  to  our  customers,  and  organic  growth  of  existing  brands  and  titles.  

Acquisitions may have a substantial impact on costs, revenues, cash flows, and financial position such as, the 

(cid:38)(cid:82)(cid:80)(cid:83)(cid:68)(cid:81)(cid:92)(cid:182)(cid:86)(cid:3)(cid:68)(cid:70)(cid:84)(cid:88)(cid:76)(cid:86)(cid:76)(cid:87)(cid:76)(cid:82)(cid:81)(cid:3)(cid:82)(cid:73)(cid:3)(cid:37)(cid:79)(cid:68)(cid:70)(cid:78)(cid:90)(cid:72)(cid:79)(cid:79)(cid:3) (cid:51)(cid:88)(cid:69)(cid:79)(cid:76)(cid:86)(cid:75)(cid:76)(cid:81)(cid:74)(cid:3)(cid:11)(cid:43)(cid:82)(cid:79)(cid:71)(cid:76)(cid:81)(cid:74)(cid:86)(cid:12)(cid:3)(cid:47)(cid:87)(cid:71)(cid:17)(cid:3)(cid:11)(cid:179)(cid:37)(cid:79)(cid:68)(cid:70)(cid:78)(cid:90)(cid:72)(cid:79)(cid:79)(cid:180)(cid:12)(cid:3)(cid:80)(cid:82)(cid:85)(cid:72)(cid:3)(cid:73)(cid:88)(cid:79)(cid:79)(cid:92)(cid:3)(cid:71)(cid:72)(cid:86)(cid:70)(cid:85)(cid:76)(cid:69)(cid:72)(cid:71)(cid:3) (cid:76)(cid:81)(cid:3)(cid:49)(cid:82)(cid:87)(cid:72)(cid:3)(cid:23)(cid:3)(cid:82)(cid:73)(cid:3)
the  Notes  to  Consolidated  Financial  Statements.  Acquisitions  involve  risks  and  uncertainties,  including 

difficulties  in  integrating  acquired  operations  and  in  realizing  expected  opportunities,  diversions  of 

management resources and loss of key  employees,  challenges  with  respect  to  operating  new  businesses, 

debt incurred in financing such acquisitions, and other unanticipated problems and liabilities. 

Attracting and Retaining Key Employees 

(cid:55)(cid:75)(cid:72)(cid:3)(cid:38)(cid:82)(cid:80)(cid:83)(cid:68)(cid:81)(cid:92)(cid:182)(cid:86)(cid:3)(cid:86)(cid:88)(cid:70)(cid:70)(cid:72)(cid:86)(cid:86)(cid:3)(cid:76)(cid:86)(cid:3)(cid:75)(cid:76)(cid:74)(cid:75)(cid:79)(cid:92)(cid:3)(cid:71)(cid:72)(cid:83)(cid:72)(cid:81)(cid:71)(cid:72)(cid:81)(cid:87)(cid:3)(cid:88)(cid:83)(cid:82)(cid:81)(cid:3)(cid:87)(cid:75)(cid:72)(cid:3)(cid:85)(cid:72)(cid:87)(cid:72)(cid:81)(cid:87)(cid:76)(cid:82)(cid:81)(cid:3)(cid:82)(cid:73)(cid:3)(cid:78)(cid:72)(cid:92)(cid:3)(cid:72)(cid:80)(cid:83)(cid:79)(cid:82)(cid:92)(cid:72)(cid:72)(cid:86)(cid:3)(cid:74)(cid:79)(cid:82)(cid:69)(cid:68)(cid:79)(cid:79)(cid:92)(cid:17)(cid:3)(cid:3)(cid:44)(cid:81)(cid:3)(cid:68)(cid:71)(cid:71)(cid:76)(cid:87)(cid:76)(cid:82)(cid:81)(cid:15)(cid:3)(cid:90)(cid:72)(cid:3)(cid:68)(cid:85)(cid:72)(cid:3)
dependent  upon  our  ability  to  continue  to  attract  new  employees  with  key  skills  to  support  the  continued 

organic growth of the business. 

Item 1B.  Unresolved Staff Comments 

None 

-7-

 
 
 
 
 
 
 
  
 
 
 
 
 
 
Item 2.  Properties 

The  Company  occupies  office,  warehouse,  and  distribution  facilities  in  various  parts  of  the  world,  as  listed 

below (excluding those locations with less than 10,000 square feet of floor area, none of which is considered 

material  property).    All  of  the  buildings  and  the  equipment  owned  or  leased  are  believed  to  be  in  good 

condition and are generally fully utilized.  

Location             

Purpose                    

Approx. Sq. Ft.  

Lease Expiration 

2018 
2020 
2019 

2011 
2010 

2012 
2027 
2025 
2021 

2011 
2011 

2013 
2011 

2013 

2017 

2020 

2021 

2019 

2012 

2017 

  26,000 
  33,000  
  93,000 

  87,000  
  20,000 

  81,000 
  63,000 
  17,000 
146,000 

  67,000 
  15,000 

  19,000 
  29,000 

  16,000 

383,000 

185,000 

380,000  

123,000 

  38,000 

43,000 

  58,000 

  49,000 
  21,000 

  27,000 

Leased 
Australia         

Canada  

England  

Singapore        

Germany  

Office 
Office 
Office & Warehouse 

Office & Warehouse 
Office 

Warehouse 
Office 
Office 
Warehouse 

Office & Warehouse 
Office 

Office  
Office  

India 

Warehouse 

United States: 
New Jersey 

Corporate Headquarters 

New Jersey 

Office & Warehouse 

New Jersey       

Warehouse  

Indiana 

California  

Office 

Office 

Massachusetts             

Office 

Owned  
Germany       

England 

Office    

Office 
Office  

Iowa  

Office & Warehouse 

-8-

 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
  
 
 
 
 
 
 
 
 
 
 
 
 
Item 3.  Legal Proceedings 

The  Company  is  involved  in  routine  litigation  in  the  ordinary  course  of  its  business.    In  the  opinion  of 

management, the ultimate resolution of all pending litigation will not have a material effect upon the financial 

condition or results of operations of the Company. 

Item 4.   Submission of Matters to a Vote of Security Holders 

(cid:49)(cid:82)(cid:3)(cid:80)(cid:68)(cid:87)(cid:87)(cid:72)(cid:85)(cid:86)(cid:3)(cid:90)(cid:72)(cid:85)(cid:72)(cid:3)(cid:86)(cid:88)(cid:69)(cid:80)(cid:76)(cid:87)(cid:87)(cid:72)(cid:71)(cid:3)(cid:87)(cid:82)(cid:3)(cid:87)(cid:75)(cid:72)(cid:3)(cid:38)(cid:82)(cid:80)(cid:83)(cid:68)(cid:81)(cid:92)(cid:182)(cid:86)(cid:3)security holders during the last quarter of the fiscal year ended 
April 30, 2009. 

PART II 

Item 5.    (cid:48)(cid:68)(cid:85)(cid:78)(cid:72)(cid:87)(cid:3)(cid:73)(cid:82)(cid:85)(cid:3)(cid:87)(cid:75)(cid:72)(cid:3)(cid:38)(cid:82)(cid:80)(cid:83)(cid:68)(cid:81)(cid:92)(cid:182)(cid:86)(cid:3)(cid:38)(cid:82)(cid:80)(cid:80)(cid:82)(cid:81)(cid:3)(cid:40)(cid:84)(cid:88)(cid:76)(cid:87)(cid:92)(cid:3)(cid:68)(cid:81)(cid:71)(cid:3)(cid:53)(cid:72)(cid:79)(cid:68)(cid:87)(cid:72)(cid:71)(cid:3)(cid:54)(cid:87)(cid:82)(cid:70)(cid:78)(cid:75)(cid:82)(cid:79)(cid:71)(cid:72)(cid:85)(cid:3)(cid:48)(cid:68)(cid:87)(cid:87)(cid:72)(cid:85)(cid:86)(cid:3)(cid:68)(cid:81)(cid:71)(cid:3)(cid:44)(cid:86)(cid:86)(cid:88)(cid:72)(cid:85)(cid:3)(cid:51)(cid:88)(cid:85)(cid:70)(cid:75)(cid:68)(cid:86)(cid:72)(cid:86)(cid:3)(cid:82)(cid:73)(cid:3)

Equity Securities 

The Quarterly Share Prices, Dividends, and Related Stockholder Matters listed in the index on page 10 are 

incorporated herein by reference. 

Item 6.  Selected Financial Data 

The Selected Financial Data listed in the index on page 10 is incorporated herein by reference. 

Item 7.  (cid:48)(cid:68)(cid:81)(cid:68)(cid:74)(cid:72)(cid:80)(cid:72)(cid:81)(cid:87)(cid:182)(cid:86)(cid:3)Discussion and Analysis of Financial Condition and Results of Operations 

(cid:48)(cid:68)(cid:81)(cid:68)(cid:74)(cid:72)(cid:80)(cid:72)(cid:81)(cid:87)(cid:182)(cid:86)(cid:3)(cid:39)(cid:76)(cid:86)(cid:70)(cid:88)(cid:86)(cid:86)(cid:76)(cid:82)(cid:81)(cid:3)(cid:68)(cid:81)(cid:71)(cid:3)(cid:36)(cid:81)(cid:68)(cid:79)(cid:92)(cid:86)(cid:76)(cid:86)(cid:3)(cid:82)(cid:73)(cid:3)(cid:41)(cid:76)(cid:81)(cid:68)(cid:81)(cid:70)(cid:76)(cid:68)(cid:79)(cid:3)(cid:38)(cid:82)(cid:81)(cid:71)(cid:76)(cid:87)(cid:76)(cid:82)(cid:81)(cid:3)(cid:68)(cid:81)(cid:71)(cid:3)(cid:53)(cid:72)(cid:86)(cid:88)(cid:79)(cid:87)(cid:86)(cid:3)(cid:82)(cid:73)(cid:3)(cid:50)(cid:83)(cid:72)(cid:85)(cid:68)(cid:87)(cid:76)(cid:82)(cid:81)(cid:86)(cid:3)(cid:79)(cid:76)(cid:86)(cid:87)(cid:72)(cid:71)(cid:3)(cid:76)(cid:81)(cid:3)(cid:87)(cid:75)(cid:72)(cid:3)(cid:76)(cid:81)(cid:71)(cid:72)(cid:91)(cid:3)
on page 10 are incorporated herein by reference. 

Item 7A.  Quantitative and Qualitative Disclosures About Market Risk 

(cid:55)(cid:75)(cid:72)(cid:3) (cid:76)(cid:81)(cid:73)(cid:82)(cid:85)(cid:80)(cid:68)(cid:87)(cid:76)(cid:82)(cid:81)(cid:3) (cid:68)(cid:83)(cid:83)(cid:72)(cid:68)(cid:85)(cid:76)(cid:81)(cid:74)(cid:3) (cid:88)(cid:81)(cid:71)(cid:72)(cid:85)(cid:3) (cid:87)(cid:75)(cid:72)(cid:3) (cid:70)(cid:68)(cid:83)(cid:87)(cid:76)(cid:82)(cid:81)(cid:3) (cid:179)(cid:48)(cid:68)(cid:85)(cid:78)(cid:72)(cid:87)(cid:3) (cid:53)(cid:76)(cid:86)(cid:78)(cid:180)(cid:3) (cid:76)(cid:81)(cid:3) (cid:48)(cid:68)(cid:81)(cid:68)(cid:74)(cid:72)(cid:80)(cid:72)(cid:81)(cid:87)(cid:182)(cid:86)(cid:3) (cid:39)(cid:76)(cid:86)(cid:70)(cid:88)(cid:86)(cid:86)(cid:76)(cid:82)(cid:81)(cid:3) (cid:68)(cid:81)(cid:71)(cid:3) (cid:36)(cid:81)(cid:68)(cid:79)(cid:92)(cid:86)(cid:76)(cid:86)(cid:3) (cid:82)(cid:73)(cid:3)
Financial  Condition  and  Results  of  Operations  listed  in  the  index  on  page  10  is  incorporated  herein  by 

reference. 

Item 8.     Financial Statements and Supplemental Data 

The Financial Statements and Supplemental Data listed in the index on page 10 is incorporated herein by 

reference. 

-9-

 
 
 
 
 
 
 
 
 
 
 
 
JOHN WILEY & SONS, INC., AND SUBSIDIARIES 
INDEX TO CONSOLIDATED FINANCIAL STATEMENTS AND SCHEDULES 

The following financial statements and information appearing on the pages indicated are filed as part of this report: 

(cid:48)(cid:68)(cid:81)(cid:68)(cid:74)(cid:72)(cid:80)(cid:72)(cid:81)(cid:87)(cid:182)(cid:86)(cid:3)(cid:39)(cid:76)(cid:86)(cid:70)(cid:88)(cid:86)(cid:86)(cid:76)(cid:82)(cid:81)(cid:3)(cid:68)(cid:81)(cid:71)(cid:3)(cid:36)(cid:81)(cid:68)(cid:79)(cid:92)(cid:86)(cid:76)(cid:86)(cid:3)(cid:82)(cid:73)(cid:3)(cid:37)(cid:88)(cid:86)(cid:76)(cid:81)(cid:72)(cid:86)(cid:86)(cid:15)(cid:3)(cid:41)(cid:76)(cid:81)(cid:68)(cid:81)(cid:70)(cid:76)(cid:68)(cid:79)(cid:3)(cid:38)(cid:82)(cid:81)(cid:71)(cid:76)(cid:87)(cid:76)(cid:82)(cid:81)(cid:3)(cid:68)nd Results of Operations  

11-38 

Page(s) 

Results by Quarter (Unaudited) 

Quarterly Share Prices, Dividends, and Related Stockholder Matters and Issuer Purchases of Equity 

Securities  

Selected Financial Data 

(cid:48)(cid:68)(cid:81)(cid:68)(cid:74)(cid:72)(cid:80)(cid:72)(cid:81)(cid:87)(cid:182)(cid:86)(cid:3)(cid:53)(cid:72)(cid:83)(cid:82)(cid:85)(cid:87)(cid:3)(cid:82)(cid:81)(cid:3)(cid:44)(cid:81)(cid:87)(cid:72)(cid:85)(cid:81)(cid:68)(cid:79)(cid:3)(cid:38)(cid:82)(cid:81)(cid:87)(cid:85)(cid:82)(cid:79)(cid:3)(cid:82)(cid:89)(cid:72)(cid:85)(cid:3)(cid:41)(cid:76)(cid:81)(cid:68)(cid:81)(cid:70)(cid:76)(cid:68)(cid:79)(cid:3)(cid:53)(cid:72)(cid:83)(cid:82)(cid:85)(cid:87)(cid:76)(cid:81)(cid:74) 

Reports of Independent Registered Public Accounting Firm 

Consolidated Statements of Financial Position as of April 30, 2009 and 2008 

Consolidated Statements of Income for the years ended April 30, 2009, 2008, and 2007 

Consolidated Statements of Cash Flows for the years ended April 30, 2009, 2008, and 2007 

(cid:38)(cid:82)(cid:81)(cid:86)(cid:82)(cid:79)(cid:76)(cid:71)(cid:68)(cid:87)(cid:72)(cid:71)(cid:3)(cid:54)(cid:87)(cid:68)(cid:87)(cid:72)(cid:80)(cid:72)(cid:81)(cid:87)(cid:86)(cid:3)(cid:82)(cid:73)(cid:3)(cid:54)(cid:75)(cid:68)(cid:85)(cid:72)(cid:75)(cid:82)(cid:79)(cid:71)(cid:72)(cid:85)(cid:86)(cid:182)(cid:3)(cid:40)(cid:84)(cid:88)(cid:76)(cid:87)(cid:92)(cid:3)(cid:68)(cid:81)(cid:71)(cid:3)(cid:38)(cid:82)(cid:80)(cid:83)(cid:85)(cid:72)(cid:75)(cid:72)(cid:81)(cid:86)(cid:76)(cid:89)(cid:72)(cid:3)(cid:44)(cid:81)(cid:70)(cid:82)(cid:80)(cid:72)(cid:3)(cid:73)(cid:82)(cid:85)(cid:3)(cid:87)(cid:75)(cid:72)(cid:3)(cid:92)(cid:72)(cid:68)(cid:85)(cid:86)(cid:3)(cid:72)(cid:81)(cid:71)(cid:72)(cid:71)(cid:3)

April 30, 2009, 2008, and 2007 

Notes to Consolidated Financial Statements 

39 

40 

41 

42 

43-44 

45 

46 

47 

48 

49-72 

Schedule II (cid:178) Valuation and Qualifying Accounts for the years ended April 30, 2009, 2008, and 2007  

73 

Other schedules are omitted because of the absence of conditions under which they apply or because the information 

required is included in the Notes to Consolidated Financial Statements. 

-10- 

 
 
 
 
 
 
 
 
 
(cid:48)(cid:68)(cid:81)(cid:68)(cid:74)(cid:72)(cid:80)(cid:72)(cid:81)(cid:87)(cid:182)(cid:86)(cid:3)(cid:39)(cid:76)(cid:86)(cid:70)(cid:88)(cid:86)(cid:86)(cid:76)(cid:82)(cid:81)(cid:3)(cid:68)(cid:81)(cid:71)(cid:3)(cid:36)(cid:81)(cid:68)(cid:79)(cid:92)(cid:86)(cid:76)(cid:86)(cid:3)(cid:82)(cid:73)(cid:3)(cid:37)(cid:88)(cid:86)(cid:76)(cid:81)(cid:72)(cid:86)(cid:86)(cid:15)(cid:3) 
Financial Condition and Results of Operations 

The  Company  is  a  global  publisher  of  print  and  electronic  products,  providing  content  and  digital  solutions  to 

customers  worldwide.  Core  businesses  produce  scientific, 

technical,  medical  and  scholarly 

journals, 

encyclopedias,  books, online products and services; professional and consumer books, subscription products, 

training  materials,  online  applications  and  websites;  and  educational  materials,  including  integrated  online 

teaching and learning resources, for undergraduate and graduate students, teachers  and lifelong learners. The 

Company takes full advantage of its content from all three core businesses in developing and cross-marketing 

products to its diverse customer base of professionals, consumers, researchers, students, and educators.   The 

use of technology enables the Company to make its content more accessible to its customers around the world. 

The Company maintains publishing, marketing, and distribution centers in the United States, Canada, Europe, 

Asia, and Australia. 

Business  growth  comes  from  a  combination  of  title,  imprint  and  business  acquisitions  which  complement  the 

(cid:38)(cid:82)(cid:80)(cid:83)(cid:68)(cid:81)(cid:92)(cid:182)(cid:86)(cid:3) (cid:72)(cid:91)(cid:76)(cid:86)(cid:87)(cid:76)(cid:81)(cid:74)(cid:3) (cid:69)(cid:88)(cid:86)(cid:76)(cid:81)(cid:72)(cid:86)(cid:86)(cid:72)(cid:86)(cid:30)(cid:3) (cid:73)(cid:85)(cid:82)(cid:80)(cid:3) (cid:87)(cid:75)(cid:72)(cid:3) (cid:71)(cid:72)(cid:89)(cid:72)(cid:79)(cid:82)(cid:83)(cid:80)(cid:72)(cid:81)(cid:87)(cid:3) (cid:82)(cid:73)(cid:3) (cid:81)(cid:72)(cid:90)(cid:3) (cid:83)(cid:85)(cid:82)(cid:71)(cid:88)(cid:70)(cid:87)(cid:86)(cid:3) (cid:68)(cid:81)(cid:71)(cid:3) (cid:86)(cid:72)(cid:85)(cid:89)(cid:76)(cid:70)(cid:72)(cid:86)(cid:30)(cid:3) (cid:73)(cid:85)(cid:82)(cid:80)(cid:3) (cid:71)(cid:72)(cid:86)(cid:76)(cid:74)(cid:81)(cid:76)(cid:81)(cid:74)(cid:3) (cid:68)(cid:81)(cid:71)(cid:3)
implementing new methods of delivering products to our customers; and from organic growth of existing brands 

and titles. 

Core Businesses 

Scientific, Technical, Medical and Scholarly (STMS): 

The Company is one of the most diversified leading publishers for the scientific, technical, medical and scholarly 

communities  worldwide,  including  academic,  corporate,  government,  and  public  libraries;  researchers; 

scientists;  clinicians;  engineers  and  technologists;  scholarly  and  professional  societies;  and  students  and 

professors.  STMS  products  include  journals,  major  reference  works,  books  and  protocols.  STMS  publishing 

areas  include  the  physical  sciences  and  engineering,  medical,  social  science  and  humanities,  life  sciences, 

technology  and  professional.    STMS  products  are  sold  and  distributed  globally,  online  and  in  print  through 

multiple  channels,  including  research  libraries  and  library  consortia,  subscription  agents,  direct  sales  to 

professional society members, bookstores, online booksellers and other customers. Global STMS represented 
approximately 60% of total Company (cid:85)(cid:72)(cid:89)(cid:72)(cid:81)(cid:88)(cid:72)(cid:3)(cid:76)(cid:81)(cid:3)(cid:73)(cid:76)(cid:86)(cid:70)(cid:68)(cid:79)(cid:3)(cid:92)(cid:72)(cid:68)(cid:85)(cid:3)(cid:21)(cid:19)(cid:19)(cid:28)(cid:17)(cid:3)(cid:3)(cid:54)(cid:55)(cid:48)(cid:54)(cid:182)(cid:86)(cid:3)(cid:85)(cid:72)(cid:89)(cid:72)(cid:81)(cid:88)(cid:72)(cid:3)(cid:74)(cid:85)(cid:72)(cid:90)(cid:3)(cid:68)(cid:87)(cid:3)(cid:68)(cid:3)(cid:70)(cid:82)(cid:80)(cid:83)(cid:82)(cid:88)(cid:81)(cid:71)(cid:3)(cid:68)(cid:81)(cid:81)(cid:88)(cid:68)(cid:79)(cid:3)
rate of 23% over the past five years, including the acquisition of Blackwell in February 2007.  The graph below 

presents STMS revenue by product type for fiscal year 2009: 

Publishing Rights 
5%

Books and 
Reference 
Works 17%

Advertising 5%

Other Publishing 
Income 9%

Journal 
Subscriptions 
64%

-11- 

 
 
 
 
 
 
 
 
 
 
 
Approximately  56%  of  journal  subscription  revenue  is  derived  from  publishing  rights  owned  by  the  Company. 
Publishing  alliances  also  play  a  major  role  in  STMS(cid:182)(cid:86)(cid:3) (cid:86)(cid:88)(cid:70)(cid:70)(cid:72)(cid:86)(cid:86)(cid:17)(cid:3) (cid:55)(cid:75)(cid:72)(cid:3) (cid:38)(cid:82)(cid:80)(cid:83)(cid:68)(cid:81)(cid:92)(cid:3) (cid:83)(cid:88)(cid:69)(cid:79)(cid:76)(cid:86)(cid:75)(cid:72)(cid:86)(cid:3) (cid:87)(cid:75)(cid:72)(cid:3) (cid:77)(cid:82)(cid:88)(cid:85)(cid:81)(cid:68)(cid:79)(cid:86)(cid:3) (cid:82)(cid:73)(cid:3)
prestigious  societies,  including  the  American  Cancer  Society,  the  British  Journal  of  Surgery  Society,  the 

Federation  of  European  Biochemical  Societies,  The  European  Molecular  Biology  Organization,  American 

Anthropological  Association  and  the  German  Chemical  Society.  Approximately  44%  of  journal  subscription 

revenue  is  derived  from  publication  rights  which  are  owned  by  professional  societies  and  published  by  the 

Company  pursuant  to  long-term  contract  or  owned  jointly  with  a  professional  society.  These  society  alliances 
bring  mutual  benefit,  with  the  societ(cid:76)(cid:72)(cid:86)(cid:3) (cid:74)(cid:68)(cid:76)(cid:81)(cid:76)(cid:81)(cid:74)(cid:3)(cid:58)(cid:76)(cid:79)(cid:72)(cid:92)(cid:182)(cid:86)(cid:3) (cid:83)(cid:88)(cid:69)(cid:79)(cid:76)(cid:86)(cid:75)(cid:76)(cid:81)(cid:74)(cid:15)(cid:3) (cid:80)(cid:68)(cid:85)(cid:78)(cid:72)(cid:87)(cid:76)(cid:81)(cid:74)(cid:15)(cid:3) (cid:86)(cid:68)(cid:79)(cid:72)(cid:86)(cid:3) (cid:68)(cid:81)(cid:71)(cid:3) (cid:71)(cid:76)(cid:86)(cid:87)(cid:85)(cid:76)(cid:69)(cid:88)(cid:87)(cid:76)(cid:82)(cid:81)(cid:3) (cid:72)(cid:91)(cid:83)(cid:72)(cid:85)(cid:87)(cid:76)(cid:86)(cid:72)(cid:15)(cid:3)
while Wiley benefits from being affiliated with prestigious societies and their members.   

STMS  is  a  leading  provider  of  evidence-based  medicine  (EBM).    The  Cochrane  Collaboration  database,  a 

premier  source  of  high-quality  independent  evidence  to  inform  healthcare  decision-making  and  provides  the 

(cid:73)(cid:82)(cid:88)(cid:81)(cid:71)(cid:68)(cid:87)(cid:76)(cid:82)(cid:81)(cid:3) (cid:73)(cid:82)(cid:85)(cid:3) (cid:87)(cid:75)(cid:72)(cid:3) (cid:38)(cid:82)(cid:80)(cid:83)(cid:68)(cid:81)(cid:92)(cid:182)(cid:86)(cid:3) (cid:74)(cid:85)(cid:82)(cid:90)(cid:76)(cid:81)(cid:74)(cid:3) (cid:86)(cid:88)(cid:76)(cid:87)(cid:72)(cid:3) (cid:82)(cid:73)(cid:3) (cid:40)(cid:37)(cid:48)(cid:3) (cid:83)(cid:85)(cid:82)(cid:71)(cid:88)(cid:70)(cid:87)(cid:86)(cid:3) (cid:71)(cid:72)(cid:86)(cid:76)(cid:74)(cid:81)(cid:72)(cid:71)(cid:3) (cid:87)(cid:82)(cid:3) (cid:76)(cid:80)(cid:83)(cid:85)(cid:82)(cid:89)(cid:72)(cid:3) (cid:83)(cid:68)(cid:87)(cid:76)(cid:72)(cid:81)(cid:87)(cid:3) (cid:75)(cid:72)(cid:68)(cid:79)(cid:87)(cid:75)(cid:70)(cid:68)(cid:85)(cid:72)(cid:17)(cid:3) (cid:3) (cid:40)(cid:37)(cid:48)(cid:3)
facilitates  the  effective  management  of  patients  through  clinical  expertise  informed  by  best  practice  evidence 

that is derived from medical literature. 

(cid:40)(cid:86)(cid:87)(cid:68)(cid:69)(cid:79)(cid:76)(cid:86)(cid:75)(cid:72)(cid:71)(cid:3) (cid:70)(cid:82)(cid:80)(cid:80)(cid:72)(cid:85)(cid:70)(cid:76)(cid:68)(cid:79)(cid:79)(cid:92)(cid:3) (cid:76)(cid:81)(cid:3) (cid:20)(cid:28)(cid:28)(cid:28)(cid:15)(cid:3) (cid:87)(cid:75)(cid:72)(cid:3) (cid:70)(cid:82)(cid:80)(cid:83)(cid:68)(cid:81)(cid:92)(cid:182)(cid:86)(cid:3) (cid:90)(cid:72)(cid:69)-based  publishing  platform,  Wiley  InterScience® 
(www.interscience.wiley.com)  is  a  leading  international  resource  for  scientific,  technical,  medical  and  scholarly 
content.  In  (cid:45)(cid:88)(cid:81)(cid:72)(cid:3) (cid:21)(cid:19)(cid:19)(cid:27)(cid:15)(cid:3) (cid:82)(cid:81)(cid:79)(cid:76)(cid:81)(cid:72)(cid:3) (cid:70)(cid:82)(cid:81)(cid:87)(cid:72)(cid:81)(cid:87)(cid:3) (cid:73)(cid:82)(cid:85)(cid:80)(cid:72)(cid:85)(cid:79)(cid:92)(cid:3) (cid:75)(cid:82)(cid:86)(cid:87)(cid:72)(cid:71)(cid:3) (cid:82)(cid:81)(cid:3) (cid:37)(cid:79)(cid:68)(cid:70)(cid:78)(cid:90)(cid:72)(cid:79)(cid:79)(cid:182)(cid:86)(cid:3) (cid:90)(cid:72)(cid:69)-based  platform,  Synergy,  was 
migrated  to  Wiley  InterScience.    The  migration  included  approximately  29,000  customers,  over  two  million 

licenses  and  nearly  two  million  journal  articles.  Wiley  InterScience  now  offers  access  to  nearly  1,500  journals 

and  their  backfiles,  over  7,000  online  books  and  major  reference  works  (encyclopedias  and  multi-volume 

handbooks),  a  selection  of  Current  Protocols  (laboratory  manuals)  and  databases,  as  well  as  a  suite  of 

professional and management resources.  

Access  to  Wiley  InterScience  is  sold  through  licenses  with  institutional  and  corporate  libraries,  consortia  and 

other  academic,  government  and  corporate  customers.  The  Company  offers  a  range  of  licensing  options 

including  customized  suites  of  journal  publications  for  individual  customer  needs  as  well  as  subscriptions  for 

individual journal publications. Licenses are typically sold in durations of one to three years.  The Company also 

provides  fee  based  access  to  Wiley  InterScience  through  its  Article  Select  and  PayPerView  programs  which 

offer non-subscribed journal content, book chapters and major reference work articles.  

Wiley InterScience takes advantage  of technology  to  update content frequently,  and  it  adds new features  and 

resources  on  an  ongoing  basis  to  increase  the  productivity  of  scientists,  professionals  and  students.  Two 

examples  are  EarlyView,  through  which  customers  can  access  individual  articles  well  in  advance  of  print 

publication,  and  MobileEditions,  which  enables  users  to  view  tables  of  content  and  abstracts  on  wireless 

handheld devices and Web-enabled phones. 

In  2008,  the  Company  introduced  its  open  access  business  model,  OnlineOpen.  Under  this  open  access 

business model, the author, the author's funding agency, or the author's institution pays a fee to ensure that an 

article  is  made  available  via  Wiley  InterScience  to  all  non-subscribers  including  the  general  public  upon 

publication.  The  article  is  also  deposited  in  the  funding  agency's  preferred  repository.  In  return  for  the  service 

fee, the Company provides its customary publishing, editing and peer review and technology services.  

In 2005, the Company began a program to digitize its entire historical journal content, dating back to the 1800s.  
(cid:58)(cid:76)(cid:79)(cid:72)(cid:92)(cid:182)(cid:86)(cid:3)(cid:71)(cid:76)(cid:74)(cid:76)(cid:87)(cid:76)(cid:93)(cid:68)(cid:87)(cid:76)(cid:82)(cid:81)(cid:3)(cid:82)(cid:73)(cid:3)(cid:79)(cid:72)(cid:74)(cid:68)(cid:70)(cid:92)(cid:3)(cid:70)(cid:82)(cid:81)(cid:87)(cid:72)(cid:81)(cid:87)(cid:3)(cid:76)(cid:86)(cid:3)(cid:71)(cid:72)(cid:86)(cid:76)(cid:74)(cid:81)(cid:72)(cid:71)(cid:3)(cid:87)(cid:82)(cid:3)(cid:76)(cid:80)(cid:83)(cid:85)(cid:82)(cid:89)(cid:72) the research pathway and ensure content discovery 
is  as  seamless  and  efficient  as  possible.    The  backfile  collection,  which  is  available  online  through  Wiley 
InterScience, spans two centuries of scientific research and comprise over 14 million pages (cid:177) one of the largest 

-12- 

 
 
archives of its kind issued by a single publisher. As of April 30, 2009  approximately 95% of (cid:68)(cid:79)(cid:79)(cid:3)(cid:58)(cid:76)(cid:79)(cid:72)(cid:92)(cid:182)(cid:86)(cid:3)(cid:72)(cid:91)(cid:76)(cid:86)(cid:87)(cid:76)(cid:81)(cid:74)(cid:3)
journal content is digitized and made available to customers.    

Key Acquisitions: In February 2007, the Company acquired Blac(cid:78)(cid:90)(cid:72)(cid:79)(cid:79)(cid:3)(cid:51)(cid:88)(cid:69)(cid:79)(cid:76)(cid:86)(cid:75)(cid:76)(cid:81)(cid:74)(cid:3)(cid:11)(cid:43)(cid:82)(cid:79)(cid:71)(cid:76)(cid:81)(cid:74)(cid:86)(cid:12)(cid:3)(cid:47)(cid:87)(cid:71)(cid:17)(cid:3)(cid:11)(cid:179)(cid:37)(cid:79)(cid:68)(cid:70)(cid:78)(cid:90)(cid:72)(cid:79)(cid:79)(cid:180)(cid:12)(cid:15)(cid:3)(cid:68)(cid:3)
leading  publisher  of  journals  and  books  for  the  academic,  research  and  professional  markets  focused  on 

science,  technology,  medicine  and  social  sciences  and  humanities.    Headquartered  in  Oxford,  England, 

Blackwell  also  maintained  publishing  locations  in  the  United  States,  Asia,  Australia,  Denmark  and  Germany.  

(cid:36)(cid:83)(cid:83)(cid:85)(cid:82)(cid:91)(cid:76)(cid:80)(cid:68)(cid:87)(cid:72)(cid:79)(cid:92)(cid:3) (cid:24)(cid:19)(cid:8)(cid:3) (cid:82)(cid:73)(cid:3) (cid:37)(cid:79)(cid:68)(cid:70)(cid:78)(cid:90)(cid:72)(cid:79)(cid:79)(cid:182)(cid:86)(cid:3) (cid:68)(cid:81)(cid:81)(cid:88)(cid:68)(cid:79)(cid:3) (cid:85)(cid:72)(cid:89)(cid:72)(cid:81)(cid:88)(cid:72)(cid:3) (cid:90)(cid:68)(cid:86)(cid:3) (cid:71)(cid:72)(cid:85)(cid:76)(cid:89)(cid:72)(cid:71)(cid:3) (cid:73)(cid:85)(cid:82)(cid:80)(cid:3) (cid:87)(cid:75)(cid:72)(cid:3) (cid:56)(cid:81)(cid:76)(cid:87)(cid:72)(cid:71)(cid:3) (cid:54)(cid:87)(cid:68)(cid:87)(cid:72)(cid:86)(cid:17)(cid:3) (cid:37)(cid:79)(cid:68)(cid:70)(cid:78)(cid:90)(cid:72)(cid:79)(cid:79)(cid:3) (cid:72)(cid:80)(cid:83)(cid:79)(cid:82)(cid:92)(cid:72)(cid:71)(cid:3)
approximately 1,000 individuals worldwide with just over half located in the United Kingdom.  The acquisition of 

(cid:37)(cid:79)(cid:68)(cid:70)(cid:78)(cid:90)(cid:72)(cid:79)(cid:79)(cid:3)(cid:72)(cid:81)(cid:75)(cid:68)(cid:81)(cid:70)(cid:72)(cid:71)(cid:3)(cid:58)(cid:76)(cid:79)(cid:72)(cid:92)(cid:182)(cid:86)(cid:3)(cid:74)(cid:79)(cid:82)(cid:69)(cid:68)(cid:79)(cid:3)(cid:83)(cid:82)(cid:86)(cid:76)(cid:87)(cid:76)(cid:82)(cid:81)(cid:3)(cid:68)(cid:86)(cid:3)(cid:68)(cid:3)(cid:83)(cid:85)(cid:82)(cid:89)(cid:76)(cid:71)(cid:72)(cid:85)(cid:3)(cid:82)(cid:73)(cid:3)(cid:70)(cid:82)(cid:81)(cid:87)(cid:72)(cid:81)(cid:87)(cid:3)(cid:68)(cid:81)(cid:71)(cid:3)(cid:86)(cid:72)(cid:85)(cid:89)(cid:76)(cid:70)(cid:72)(cid:86)(cid:15)(cid:3)(cid:72)(cid:91)(cid:83)(cid:68)(cid:81)(cid:71)(cid:72)(cid:71)(cid:3)(cid:68)(cid:81)(cid:71)(cid:3)(cid:68)(cid:71)(cid:71)(cid:72)(cid:71)(cid:3)(cid:71)(cid:76)(cid:89)(cid:72)(cid:85)(cid:86)(cid:76)(cid:87)(cid:92)(cid:3)
to  the  journal  portfolio,  increased  both  print  and  on-line  advertising  revenue  and  added  more  professional 

society relationships.    

Professional/Trade: 

(cid:55)(cid:75)(cid:72)(cid:3)(cid:38)(cid:82)(cid:80)(cid:83)(cid:68)(cid:81)(cid:92)(cid:182)(cid:86)(cid:3)(cid:51)(cid:85)(cid:82)(cid:73)(cid:72)(cid:86)(cid:86)(cid:76)(cid:82)(cid:81)(cid:68)(cid:79)(cid:18)(cid:55)(cid:85)(cid:68)(cid:71)(cid:72)(cid:3)(cid:69)(cid:88)(cid:86)(cid:76)(cid:81)(cid:72)(cid:86)(cid:86)(cid:3)(cid:68)(cid:70)(cid:84)(cid:88)(cid:76)(cid:85)(cid:72)(cid:86)(cid:15)(cid:3)(cid:71)(cid:72)(cid:89)(cid:72)(cid:79)(cid:82)(cid:83)(cid:86)(cid:3)(cid:68)(cid:81)(cid:71)(cid:3)(cid:83)(cid:88)(cid:69)(cid:79)(cid:76)(cid:86)(cid:75)(cid:72)(cid:86)(cid:3)(cid:69)(cid:82)(cid:82)(cid:78)(cid:86)(cid:3)(cid:68)(cid:81)(cid:71)(cid:3)(cid:86)(cid:88)(cid:69)(cid:86)(cid:70)(cid:85)(cid:76)(cid:83)(cid:87)(cid:76)(cid:82)(cid:81)(cid:3)(cid:83)(cid:85)(cid:82)(cid:71)(cid:88)(cid:70)(cid:87)(cid:86)(cid:3)
in all media, in the subject areas of business, technology, architecture, culinary, psychology, education, travel, 

consumer  reference,  and  general  interest.  Products  are  developed  for  worldwide  distribution  through  multiple 

channels,  including  major  chains  and  online  booksellers,  independent  bookstores,  libraries,  colleges  and 

universities,  warehouse  clubs,  corporations,  direct  marketing,  and  web  sites.  Global  Professional/Trade 

publishing  accounted  for  approximately  26%  of  total  Company  revenue  in  fiscal  year  2009.  The  graph  below 

presents P/T revenue by product type for fiscal year 2009:  

Publishing Rights 
4%

Other Publishing 
Income 5%

Advertising 1%

Journal 
Subscriptions 3%

Books 87%

Key  revenue  growth  strategies  of  the  Professional/Trade  business  include  adding  value  to  its  content, 

(cid:71)(cid:72)(cid:89)(cid:72)(cid:79)(cid:82)(cid:83)(cid:76)(cid:81)(cid:74)(cid:3)(cid:76)(cid:87)(cid:86)(cid:3)(cid:79)(cid:72)(cid:68)(cid:71)(cid:76)(cid:81)(cid:74)(cid:3)(cid:69)(cid:85)(cid:68)(cid:81)(cid:71)(cid:86)(cid:3)(cid:68)(cid:81)(cid:71)(cid:3)(cid:73)(cid:85)(cid:68)(cid:81)(cid:70)(cid:75)(cid:76)(cid:86)(cid:72)(cid:86)(cid:15)(cid:3)(cid:68)(cid:81)(cid:71)(cid:3)(cid:72)(cid:91)(cid:72)(cid:70)(cid:88)(cid:87)(cid:76)(cid:81)(cid:74)(cid:3)(cid:86)(cid:87)(cid:85)(cid:68)(cid:87)(cid:72)(cid:74)(cid:76)(cid:70)(cid:3)(cid:68)(cid:70)(cid:84)(cid:88)(cid:76)(cid:86)(cid:76)(cid:87)(cid:76)(cid:82)(cid:81)(cid:86)(cid:17)(cid:3)(cid:53)(cid:72)(cid:89)(cid:72)(cid:81)(cid:88)(cid:72)(cid:3)(cid:73)(cid:82)(cid:85)(cid:3)(cid:87)(cid:75)(cid:72)(cid:3)(cid:38)(cid:82)(cid:80)(cid:83)(cid:68)(cid:81)(cid:92)(cid:182)(cid:86)(cid:3)
worldwide Professional/Trade business grew at a compound annual rate of 2% over the past five years. 

(cid:51)(cid:88)(cid:69)(cid:79)(cid:76)(cid:86)(cid:75)(cid:76)(cid:81)(cid:74)(cid:3)(cid:68)(cid:79)(cid:79)(cid:76)(cid:68)(cid:81)(cid:70)(cid:72)(cid:86)(cid:3)(cid:68)(cid:81)(cid:71)(cid:3)(cid:73)(cid:85)(cid:68)(cid:81)(cid:70)(cid:75)(cid:76)(cid:86)(cid:72)(cid:3)(cid:83)(cid:85)(cid:82)(cid:71)(cid:88)(cid:70)(cid:87)(cid:86)(cid:3)(cid:68)(cid:85)(cid:72)(cid:3)(cid:70)(cid:72)(cid:81)(cid:87)(cid:85)(cid:68)(cid:79)(cid:3)(cid:87)(cid:82)(cid:3)(cid:87)(cid:75)(cid:72)(cid:3)(cid:38)(cid:82)(cid:80)(cid:83)(cid:68)(cid:81)(cid:92)(cid:182)(cid:86)(cid:3)(cid:86)(cid:87)(cid:85)(cid:68)(cid:87)(cid:72)(cid:74)(cid:92)(cid:17)(cid:3)(cid:3)(cid:55)(cid:75)(cid:72)(cid:3)(cid:68)(cid:69)(cid:76)(cid:79)(cid:76)(cid:87)(cid:92)(cid:3)(cid:87)(cid:82)(cid:3)(cid:69)(cid:85)(cid:76)(cid:81)(cid:74)(cid:3)(cid:87)(cid:82)(cid:74)(cid:72)(cid:87)(cid:75)(cid:72)(cid:85)(cid:3)

(cid:58)(cid:76)(cid:79)(cid:72)(cid:92)(cid:182)(cid:86)(cid:3) (cid:83)(cid:85)(cid:82)(cid:71)(cid:88)(cid:70)(cid:87)(cid:3) (cid:71)(cid:72)(cid:89)(cid:72)(cid:79)(cid:82)(cid:83)(cid:80)(cid:72)(cid:81)(cid:87)(cid:15)(cid:3) (cid:86)(cid:68)(cid:79)(cid:72)(cid:86)(cid:15)(cid:3) (cid:80)(cid:68)(cid:85)(cid:78)(cid:72)(cid:87)(cid:76)(cid:81)(cid:74)(cid:15)(cid:3) (cid:71)(cid:76)(cid:86)(cid:87)(cid:85)(cid:76)(cid:69)(cid:88)(cid:87)(cid:76)(cid:82)(cid:81)(cid:3) (cid:68)(cid:81)(cid:71)(cid:3) (cid:87)(cid:72)(cid:70)(cid:75)(cid:81)(cid:82)(cid:79)(cid:82)(cid:74)(cid:76)(cid:70)(cid:68)(cid:79)(cid:3) (cid:70)(cid:68)(cid:83)(cid:68)(cid:69)(cid:76)(cid:79)(cid:76)(cid:87)(cid:76)(cid:72)(cid:86)(cid:3) (cid:90)(cid:76)(cid:87)(cid:75)(cid:3) (cid:68)(cid:3) (cid:83)(cid:68)(cid:85)(cid:87)(cid:81)(cid:72)(cid:85)(cid:182)(cid:86)(cid:3)
content  and  brand  name  recognition  has  been  a  driving  factor  in  its  success.  Professional/Trade  alliance 

partners include General Mills, the Culinary Institute of America, the American Institute of Architects, the Leader 

to Leader Institute, Fisher Investments, Meredith Corporation and Weight Watchers, among many others. 

(cid:55)(cid:75)(cid:72)(cid:3) (cid:38)(cid:82)(cid:80)(cid:83)(cid:68)(cid:81)(cid:92)(cid:182)(cid:86)(cid:3) (cid:51)(cid:85)(cid:82)(cid:73)(cid:72)(cid:86)(cid:86)(cid:76)(cid:82)(cid:81)(cid:68)(cid:79)(cid:18)(cid:55)(cid:85)(cid:68)(cid:71)(cid:72)(cid:3) (cid:70)(cid:88)(cid:86)(cid:87)(cid:82)(cid:80)(cid:72)(cid:85)(cid:86)(cid:3) (cid:68)(cid:85)(cid:72)(cid:3) (cid:83)(cid:85)(cid:82)(cid:73)(cid:72)(cid:86)(cid:86)(cid:76)(cid:82)(cid:81)(cid:68)(cid:79)(cid:86)(cid:15)(cid:3) (cid:70)(cid:82)(cid:81)(cid:86)(cid:88)(cid:80)(cid:72)(cid:85)(cid:86)(cid:15)(cid:3) (cid:68)(cid:81)(cid:71)(cid:3) (cid:86)(cid:87)(cid:88)(cid:71)(cid:72)(cid:81)(cid:87)(cid:86)(cid:3) (cid:90)(cid:82)(cid:85)(cid:79)(cid:71)(cid:90)(cid:76)(cid:71)(cid:72)(cid:17)(cid:3)(cid:3)
Professional  Trade  brands  and  extensive  backlists  are  especially  well  suited  for  online  bookstores  such  as 

-13- 

 
 
 
 
 
 
 
 
 
 
Amazon.com.  With (cid:87)(cid:75)(cid:72)(cid:76)(cid:85)(cid:3)(cid:88)(cid:81)(cid:79)(cid:76)(cid:80)(cid:76)(cid:87)(cid:72)(cid:71)(cid:3)(cid:179)(cid:89)(cid:76)(cid:85)(cid:87)(cid:88)(cid:68)(cid:79)(cid:180)(cid:3)(cid:86)(cid:75)(cid:72)(cid:79)(cid:73)(cid:3)(cid:86)(cid:83)(cid:68)(cid:70)(cid:72)(cid:15)(cid:3)(cid:82)(cid:81)(cid:79)(cid:76)(cid:81)(cid:72)(cid:3)(cid:85)(cid:72)(cid:87)(cid:68)(cid:76)(cid:79)(cid:72)(cid:85)(cid:86)(cid:3)(cid:82)(cid:73)(cid:73)(cid:72)(cid:85)(cid:3)(cid:87)(cid:75)(cid:72)(cid:3)(cid:38)(cid:82)(cid:80)(cid:83)(cid:68)(cid:81)(cid:92)(cid:182)(cid:86)(cid:3)(cid:83)(cid:85)(cid:82)(cid:71)(cid:88)(cid:70)(cid:87)(cid:86)(cid:3)(cid:73)(cid:82)(cid:85)(cid:3)(cid:79)(cid:82)(cid:81)(cid:74)(cid:72)(cid:85)(cid:3)
periods of time than brick-and-mortar bookstores. 

The  Company  promotes  an  active  and  growing  Professional/Trade  custom  publishing  program.  Custom 

publications are typically used by organizations for internal promotional or incentive programs.  Books that are 

specifically  written  for  a  customer  or  an  existing  Professional/Trade  publication  can  be  customized,  such  as 

having  the  cover  art  include  custom  imprint,  messages  or  slogans.    Of  special  note  are  customized  For 

Dummies  publications,  which  leverage  the  power  of  this  well-known  brand  to  meet  the  specific  information 

needs of a wide range of organizations around the world. 

Key  Acquisitions:  Key  Professional/Trade  acquisitions 

in  recent  years 

include:  (i) 

In 

fiscal  2007, 

WhatsonWhen.com, a provider of travel-related online content, technology, and services which compliment the 
(cid:38)(cid:82)(cid:80)(cid:83)(cid:68)(cid:81)(cid:92)(cid:182)(cid:86)(cid:3)(cid:87)(cid:85)(cid:68)(cid:89)(cid:72)(cid:79)(cid:3)(cid:83)(cid:85)(cid:82)(cid:71)(cid:88)(cid:70)(cid:87)(cid:86)(cid:17)(cid:3)(cid:3)(cid:11)(cid:76)(cid:76)(cid:12)(cid:3)(cid:44)(cid:81)(cid:3)(cid:73)(cid:76)(cid:86)(cid:70)(cid:68)(cid:79)(cid:3)(cid:92)(cid:72)(cid:68)(cid:85)(cid:3)(cid:21)(cid:19)(cid:19)(cid:25)(cid:15)(cid:3)(cid:87)(cid:75)(cid:72)(cid:3)(cid:83)(cid:88)(cid:69)(cid:79)(cid:76)(cid:86)(cid:75)(cid:76)(cid:81)(cid:74)(cid:3)(cid:68)(cid:86)(cid:86)(cid:72)(cid:87)(cid:86)(cid:3)(cid:82)(cid:73)(cid:3)(cid:54)(cid:92)(cid:69)(cid:72)(cid:91)(cid:15)(cid:3)(cid:44)(cid:81)(cid:70)., a leading publisher to 
the global information technology professional community for nearly 30 years.  Sybex published about 100 new 

titles a year and maintained a backlist of over 450 titles in digital photography, operating systems, programming 

and gaming categories. (iii) In fiscal  year 2002, the Company acquired Hungry  Minds Inc., a leading publisher 

with  an  outstanding  collection  of  respected  brands,  with  such  product  lines  as  the  For  Dummies  series,  the 
(cid:41)(cid:85)(cid:82)(cid:80)(cid:80)(cid:72)(cid:85)(cid:182)(cid:86)  and  Unofficial  Guide  travel  series,  the  Bible  and  Visual  technology  series,  the  CliffsNotes  study 
guides, (cid:58)(cid:72)(cid:69)(cid:86)(cid:87)(cid:72)(cid:85)(cid:182)(cid:86)(cid:3)(cid:49)(cid:72)(cid:90)(cid:3)(cid:58)(cid:82)(cid:85)(cid:79)(cid:71) dictionaries, and Betty Crocker and Weight Watchers cookbooks.  

Higher Education: 

The Company publishes educational materials in all media for two and four-year colleges and universities, for-

profit  career  colleges  and  advanced  placement  classes  as  well  as  secondary  schools  in  Australia.  Higher 

Education  products  focus  on  courses  in  business  and  accounting,  sciences,  engineering,  computer  science, 

mathematics, social sciences, and other academic course materials for the professional technology market.  

Higher  Education  customers  include  undergraduate,  graduate,  and  advanced  placement  students,  educators, 

and lifelong learners  worldwide  and secondary school students in  Australia.  Product is delivered  online and in 

print  principally  through  college  bookstores,  online  booksellers,  and  web  sites.  Globally,  Higher  Educational 
generated approximately (cid:20)(cid:23)(cid:8)(cid:3)(cid:82)(cid:73)(cid:3)(cid:87)(cid:82)(cid:87)(cid:68)(cid:79)(cid:3)(cid:38)(cid:82)(cid:80)(cid:83)(cid:68)(cid:81)(cid:92)(cid:3)(cid:85)(cid:72)(cid:89)(cid:72)(cid:81)(cid:88)(cid:72)(cid:3)(cid:76)(cid:81)(cid:3)(cid:73)(cid:76)(cid:86)(cid:70)(cid:68)(cid:79)(cid:3)(cid:92)(cid:72)(cid:68)(cid:85)(cid:3)(cid:21)(cid:19)(cid:19)(cid:28)(cid:17)(cid:3)(cid:3)(cid:55)(cid:75)(cid:72)(cid:3)(cid:38)(cid:82)(cid:80)(cid:83)(cid:68)(cid:81)(cid:92)(cid:182)(cid:86)(cid:3)(cid:90)(cid:82)(cid:85)(cid:79)(cid:71)(cid:90)(cid:76)(cid:71)(cid:72)(cid:3)(cid:43)igher 
Education revenue grew at a compound annual rate of 4% over the past five years. 

(cid:43)(cid:76)(cid:74)(cid:75)(cid:72)(cid:85)(cid:3)(cid:40)(cid:71)(cid:88)(cid:70)(cid:68)(cid:87)(cid:76)(cid:82)(cid:81)(cid:182)(cid:86)(cid:3)(cid:80)(cid:76)(cid:86)(cid:86)(cid:76)(cid:82)(cid:81)(cid:3)(cid:76)(cid:86)(cid:3)(cid:87)(cid:82)(cid:3)(cid:75)(cid:72)(cid:79)(cid:83)(cid:3)(cid:87)(cid:72)(cid:68)(cid:70)(cid:75)(cid:72)(cid:85)(cid:86)(cid:3)(cid:87)(cid:72)(cid:68)(cid:70)(cid:75)(cid:3)(cid:68)(cid:81)(cid:71)(cid:3)(cid:86)(cid:87)(cid:88)(cid:71)(cid:72)(cid:81)(cid:87)(cid:86)(cid:3)(cid:79)(cid:72)(cid:68)(cid:85)(cid:81)(cid:17)(cid:3)(cid:50)(cid:88)(cid:85)(cid:3)(cid:86)(cid:87)(cid:85)(cid:68)(cid:87)(cid:72)(cid:74)(cid:92)(cid:3)(cid:76)(cid:86)(cid:3)(cid:87)(cid:82)(cid:3)(cid:83)(cid:85)(cid:82)(cid:89)(cid:76)(cid:71)(cid:72)(cid:3)(cid:89)(cid:68)(cid:79)(cid:88)(cid:72)-added 
quality materials and services through textbooks, supplemental study aids, course and homework management 

tools and more, in print and electronic formats. The Higher Education web site offers online learning materials 

with links to more than 4,000 companion sub-sites to support and supplement textbooks. 

-14- 

 
 
 
 
Higher Education delivers  high-quality  online  learning materials that offer more opportunities for customization 

and accommodate diverse learning styles.  A prime example is WileyPLUS, an integrated suite of teaching and 

learning  resources.  By  offering  an  electronic  version  of  a  text  along  with  supplementary  materials,  content 

provided  by  the  instructor,  and  administrative  tools,  WileyPLUS  supports  a  full  range  of  course-oriented 

activities,  including  online-planning,  presentations,  study,  homework,  and  testing.  The  graph  below  presents 

Higher Education revenue by product type for fiscal year 2009: 

WileyPLUS 9%

Other Publishing 
Income 2%

Publishing Rights 
2%

Books 87%

The  Company  also  provides  the  services  of  the  Wiley  Faculty  Network,  a  peer-to-peer  network  of 

faculty/professors  supporting  the  use  of  online  course  material  tools  and  discipline-specific  software  in  the 

classroom.  The  Company  believes  this  unique,  reliable,  and  accessible  service  gives  the  Company  a 

competitive advantage. 

Higher  Education  is  also  leveraging  the  web  in  its  sales  and  marketing  efforts.    The  web  enhances  the 

(cid:38)(cid:82)(cid:80)(cid:83)(cid:68)(cid:81)(cid:92)(cid:182)(cid:86)(cid:3)(cid:68)(cid:69)(cid:76)(cid:79)(cid:76)(cid:87)(cid:92)(cid:3)(cid:87)(cid:82)(cid:3)(cid:75)(cid:68)(cid:89)(cid:72)(cid:3)(cid:71)(cid:76)(cid:85)(cid:72)(cid:70)(cid:87)(cid:3)(cid:70)(cid:82)(cid:81)(cid:87)(cid:68)(cid:70)(cid:87)(cid:3)(cid:90)(cid:76)(cid:87)(cid:75)(cid:3)(cid:86)(cid:87)(cid:88)(cid:71)(cid:72)(cid:81)(cid:87)(cid:86)(cid:3)(cid:68)(cid:81)(cid:71)(cid:3)(cid:73)(cid:68)(cid:70)(cid:88)(cid:79)(cid:87)(cid:92)(cid:3)(cid:68)(cid:87)(cid:3)(cid:88)(cid:81)(cid:76)(cid:89)(cid:72)(cid:85)(cid:86)(cid:76)(cid:87)(cid:76)(cid:72)(cid:86)(cid:3)(cid:90)(cid:82)(cid:85)(cid:79)(cid:71)(cid:90)(cid:76)(cid:71)(cid:72)(cid:3)(cid:87)(cid:75)(cid:85)(cid:82)(cid:88)(cid:74)(cid:75)(cid:3)(cid:87)(cid:75)(cid:72)(cid:3)(cid:88)(cid:86)(cid:72)(cid:3)(cid:82)(cid:73)(cid:3)
interactive electronic brochures and e-mail campaigns. 

Key  Acquisition/Collaborations:  In  the  fiscal  year  2009,  the  Company  acquired  the  rights  to  publish  a  list  of 

business  and  modern  language  textbooks  from  Cengage  Learning.  The  titles  provide  a  strong  compliment  to 
(cid:58)(cid:76)(cid:79)(cid:72)(cid:92)(cid:182)(cid:86)(cid:3)(cid:72)(cid:91)(cid:76)(cid:86)(cid:87)(cid:76)(cid:81)(cid:74)(cid:3)(cid:83)(cid:85)(cid:82)(cid:74)(cid:85)(cid:68)(cid:80)(cid:86)(cid:3)(cid:76)(cid:81)(cid:3)(cid:69)(cid:88)(cid:86)(cid:76)(cid:81)(cid:72)(cid:86)(cid:86)(cid:3)(cid:68)(cid:81)(cid:71)(cid:3)(cid:80)(cid:82)(cid:71)(cid:72)(cid:85)(cid:81)(cid:3)(cid:79)(cid:68)(cid:81)(cid:74)(cid:88)(cid:68)(cid:74)(cid:72)(cid:17)(cid:3) 

(cid:44)(cid:81)(cid:3) (cid:73)(cid:76)(cid:86)(cid:70)(cid:68)(cid:79)(cid:3) (cid:92)(cid:72)(cid:68)(cid:85)(cid:3) (cid:21)(cid:19)(cid:19)(cid:26)(cid:15)(cid:3) (cid:58)(cid:76)(cid:79)(cid:72)(cid:92)(cid:3) (cid:69)(cid:72)(cid:70)(cid:68)(cid:80)(cid:72)(cid:3) (cid:48)(cid:76)(cid:70)(cid:85)(cid:82)(cid:86)(cid:82)(cid:73)(cid:87)(cid:182)(cid:86)(cid:3) (cid:86)(cid:82)(cid:79)(cid:72)(cid:3) (cid:83)(cid:88)(cid:69)(cid:79)(cid:76)(cid:86)(cid:75)(cid:76)ng  partner  worldwide  for  all  Microsoft  Official 
Academic  Course  (MOAC)  materials.    Microsoft  and  Wiley  have  begun  publishing  a  co-branded  series  of 

textbook  and  e-learning  products  on  several  topics  released  under  Wiley-Microsoft  logos.  Wiley  has  also 

assumed  responsibility  for  the  sale  of  existing  MOAC  titles.    All  titles  are  marketed  globally  and  available  in 

(cid:86)(cid:72)(cid:89)(cid:72)(cid:85)(cid:68)(cid:79)(cid:3) (cid:79)(cid:68)(cid:81)(cid:74)(cid:88)(cid:68)(cid:74)(cid:72)(cid:86)(cid:17)(cid:3) (cid:3) (cid:58)(cid:76)(cid:87)(cid:75)(cid:3) (cid:48)(cid:76)(cid:70)(cid:85)(cid:82)(cid:86)(cid:82)(cid:73)(cid:87)(cid:182)(cid:86)(cid:3) (cid:83)(cid:82)(cid:86)(cid:76)(cid:87)(cid:76)(cid:82)(cid:81)(cid:3) (cid:68)(cid:86)(cid:3) (cid:87)(cid:75)(cid:72)(cid:3) (cid:90)(cid:82)(cid:85)(cid:79)(cid:71)(cid:182)(cid:86)(cid:3) (cid:79)(cid:72)(cid:68)(cid:71)(cid:76)(cid:81)(cid:74)(cid:3) (cid:86)(cid:82)(cid:73)(cid:87)(cid:90)(cid:68)(cid:85)(cid:72)(cid:3) (cid:70)(cid:82)(cid:80)(cid:83)(cid:68)(cid:81)(cid:92)(cid:3) (cid:68)(cid:81)(cid:71)(cid:3) (cid:58)(cid:76)(cid:79)(cid:72)(cid:92)(cid:182)(cid:86)(cid:3) (cid:74)(cid:79)(cid:82)(cid:69)(cid:68)(cid:79)(cid:3)
presence in higher education, the alliance is an ideal strategic fit.  

(cid:44)(cid:81)(cid:3)(cid:73)(cid:76)(cid:86)(cid:70)(cid:68)(cid:79)(cid:3)(cid:92)(cid:72)(cid:68)(cid:85)(cid:3)(cid:21)(cid:19)(cid:19)(cid:22)(cid:15)(cid:3)(cid:87)(cid:75)(cid:72)(cid:3)(cid:38)(cid:82)(cid:80)(cid:83)(cid:68)(cid:81)(cid:92)(cid:3)(cid:68)(cid:70)(cid:84)(cid:88)(cid:76)(cid:85)(cid:72)(cid:71)(cid:3)(cid:87)(cid:75)(cid:72)(cid:3)(cid:68)(cid:86)(cid:86)(cid:72)(cid:87)(cid:86)(cid:3)(cid:82)(cid:73)(cid:3)(cid:48)(cid:68)(cid:85)(cid:76)(cid:86)(cid:3)(cid:55)(cid:72)(cid:70)(cid:75)(cid:81)(cid:82)(cid:79)(cid:82)(cid:74)(cid:76)(cid:72)(cid:86)(cid:3)(cid:87)(cid:82)(cid:3)(cid:86)(cid:88)(cid:83)(cid:83)(cid:82)(cid:85)(cid:87)(cid:3)(cid:87)(cid:75)(cid:72)(cid:3)(cid:38)(cid:82)(cid:80)(cid:83)(cid:68)(cid:81)(cid:92)(cid:182)(cid:86)(cid:3)(cid:72)(cid:73)(cid:73)(cid:82)(cid:85)(cid:87)(cid:86)(cid:3)(cid:87)(cid:82)(cid:3)
produce  web-enabled products. This acquisition  included the market-leading software  Edugen,  which provides 

the  underlying  technology  for  WileyPLUS.  Located  in  Moscow,  the  development  facility  is  staffed  by 

approximately 75 programmers and designers.   

Publishing Operations 

Journal Products:  

The  Company  now  publishes  about  1,500  Scientific,  Technical,  Medical,  Scholarly  and  60  Professional/Trade 

journals. Journal subscription revenue and other related publishing income, such as advertising,  backfile sales, 

-15-

 
 
 
 
 
 
 
 
 
the sale of publishing rights, and reprints accounted for approximately (cid:24)(cid:20)(cid:8)(cid:3)(cid:82)(cid:73)(cid:3)(cid:87)(cid:75)(cid:72)(cid:3)(cid:38)(cid:82)(cid:80)(cid:83)(cid:68)(cid:81)(cid:92)(cid:182)(cid:86)(cid:3)(cid:73)(cid:76)(cid:86)(cid:70)(cid:68)(cid:79)(cid:3)(cid:92)(cid:72)(cid:68)(cid:85)(cid:3)(cid:21)(cid:19)(cid:19)(cid:28)(cid:3)
revenue.    The  journal  portfolio  includes  titles  owned  by  the  Company,  in  which  case  they  may  or  may  not  be 

sponsored  by  a  professional  society,  titles  owned  jointly  with  a  professional  society  and  titles  owned  by  such 

societies and published by the Company pursuant to long-term contract.  

Societies  that  sponsor  or  own  such  journals  generally  receive  a  royalty  and/or  other  consideration.    The 

Company usually enters into agreements with outside independent editors of journals that state the duties of the 

editors, and the fees and expenses for their services.  Contributors of journal articles transfer publication rights 

to  the  Company  or  a  professional  society,  as  applicable.    Journal  articles  may  be  based  on  funded  research 

through government or charitable grants.  In certain cases the terms of the grant may require the grantholder to 

make articles (either the published version or an earlier unedited version) available free of charge to the public, 

typically  after  an  embargo  period.    The  Company  provides  various  services,  some  for  a  fee,  to  enable  the 

grantholder to comply. 

The Company sells journal subscriptions  directly  through sales representatives;  indirectly through subscription 

agents; through promotional campaigns; and memberships in professional societies for those journals that are 

sponsored  by  societies.    Journal  subscriptions  are  primarily  licensed  through  contracts  for  on-line  content 
delivered  through  the  Company(cid:182)(cid:86)  web-based  platform,  Wiley  InterScience.    Contracts  are  negotiated  by  the 
Company  directly  with  customers  or  their  subscription  agents.    Licenses  range  from  one  to  three  years  in 

duration and typically cover calendar years.  Early in calendar year 2008, the Company announced its plan for a 

combined  enhanced  and rebranded online platform to support the Scientific, Technical, Medical and Scholarly 

business.  The first phase was available to all customers beginning in July 2008.  The final enhancements are 

expected to be completed in fiscal year 2010.  

Printed journals are generally mailed to subscribers directly from independent printers.  The Company does not 

own  or  manage  printing  facilities.  The  print  journal  content  is  also  available  online.  Subscription  revenue  is 

generally collected in advance, and is deferred and recognized as earned when the related issue is shipped or 

made available online, or over the term of the subscription as services are rendered. 

Book Products:   

Book  products  and  book  related  publishing  revenue,  such  as  advertising  revenue  and  the  sale  of  publishing 

(cid:85)(cid:76)(cid:74)(cid:75)(cid:87)(cid:86)(cid:15)(cid:3) (cid:68)(cid:70)(cid:70)(cid:82)(cid:88)(cid:81)(cid:87)(cid:72)(cid:71)(cid:3) (cid:73)(cid:82)(cid:85)(cid:3) (cid:68)(cid:83)(cid:83)(cid:85)(cid:82)(cid:91)(cid:76)(cid:80)(cid:68)(cid:87)(cid:72)(cid:79)(cid:92)(cid:3) (cid:23)(cid:28)(cid:8)(cid:3) (cid:82)(cid:73)(cid:3) (cid:87)(cid:75)(cid:72)(cid:3) (cid:38)(cid:82)(cid:80)(cid:83)(cid:68)(cid:81)(cid:92)(cid:182)(cid:86)(cid:3) (cid:73)(cid:76)(cid:86)(cid:70)(cid:68)(cid:79)(cid:3) (cid:92)(cid:72)(cid:68)(cid:85)(cid:3) (cid:21)(cid:19)(cid:19)(cid:28)(cid:3) (cid:85)(cid:72)(cid:89)(cid:72)(cid:81)(cid:88)(cid:72)(cid:17)(cid:3) (cid:3) (cid:48)(cid:68)(cid:87)(cid:72)(cid:85)(cid:76)(cid:68)(cid:79)(cid:86)(cid:3) (cid:73)(cid:82)(cid:85)(cid:3) (cid:69)(cid:82)(cid:82)(cid:78)(cid:3)
publications  are  obtained  from  authors  throughout  most  of  the  world  through  the  efforts  of  an  editorial  staff, 

outside  editorial  advisors,  and  advisory  boards.  Most  materials  originate  with  their  authors,  or  as  a  result  of 

suggestion or solicitations by editors and advisors. The Company enters into agreements with authors that state 

the  terms  and  conditions  under  which  the  materials  will  be  published,  the  name in  which  the  copyright  will  be 

registered,  the  basis  for  any  royalties,  and  other  matters.    Most  of  the  authors  are  compensated  by  royalties, 

which  vary  with  the  nature  of  the  product  and  its  anticipated  potential  profitability.  The  Company  may  make 

advance payments against future royalties to authors of certain publications.  Royalty advances are reviewed for 

recoverability and a reserve for loss is maintained, if appropriate.  

The Company continues to add new titles, revise existing titles, and discontinue the sale of others in the normal 

course  of  its  business,  also  creating  adaptations  of  original  content  for  specific  markets  fulfilling  customer 
(cid:71)(cid:72)(cid:80)(cid:68)(cid:81)(cid:71)(cid:17)(cid:3)(cid:55)(cid:75)(cid:72)(cid:3)(cid:38)(cid:82)(cid:80)(cid:83)(cid:68)(cid:81)(cid:92)(cid:182)(cid:86)(cid:3)(cid:74)(cid:72)(cid:81)(cid:72)(cid:85)(cid:68)(cid:79)(cid:3)(cid:83)(cid:85)(cid:68)(cid:70)(cid:87)(cid:76)(cid:70)(cid:72)(cid:3)(cid:76)(cid:86)(cid:3)(cid:87)o revise its textbooks every three to five years, if warranted, and to 
revise  other  titles  as  appropriate.    Subscription-based  products  are  updated  more  frequently  on  a  regular 
(cid:86)(cid:70)(cid:75)(cid:72)(cid:71)(cid:88)(cid:79)(cid:72)(cid:17)(cid:3)(cid:36)(cid:83)(cid:83)(cid:85)(cid:82)(cid:91)(cid:76)(cid:80)(cid:68)(cid:87)(cid:72)(cid:79)(cid:92)(cid:3)(cid:22)(cid:21)(cid:8)(cid:3)(cid:82)(cid:73)(cid:3)(cid:87)(cid:75)(cid:72)(cid:3)(cid:38)(cid:82)(cid:80)(cid:83)(cid:68)(cid:81)(cid:92)(cid:182)(cid:86)(cid:3)(cid:73)(cid:76)(cid:86)(cid:70)(cid:68)(cid:79)(cid:3)(cid:92)(cid:72)(cid:68)(cid:85)(cid:3)(cid:21)(cid:19)(cid:19)(cid:28)(cid:3)(cid:56)(cid:17)(cid:54)(cid:17)(cid:3)(cid:69)(cid:82)(cid:82)(cid:78)-publishing revenue was from titles 
published or revised in the current fiscal year. 

-16- 

 
 
Professional  and  consumer  books  are  sold  to  bookstores  and  online  booksellers  serving  the  general  public; 

wholesalers  who  supply  such  bookstores;  warehouse  clubs;  college  bookstores  for  their  non-textbook 

requirements;  individual  practitioners;  and  research  institutions,  libraries  (including  public,  professional, 

academic,  and  other  special  libraries),  industrial  organizations,  and  government  agencies.    The  Company 

employs  sales  representatives  who  call  upon  independent  bookstores,  national  and  regional  chain  bookstores 

and  wholesalers.    Trade  sales  to  bookstores  and  wholesalers  are  generally  made  on  a  returnable  basis  with 

certain  restrictions.  The  Company  provides  for  estimated  future  returns  on  sales  made  during  the  year 

principally based on historical return experience and current market trends. Sales of professional and consumer 

books  also  result  from  direct  mail  campaigns,  telemarketing,  online  access,  and  advertising  and  reviews  in 

periodicals. 

Adopted textbooks, related supplementary material, and online products such as WileyPLUS, are sold primarily 

to  bookstores,  including  online  bookstores,  serving  educational  institutions.    The  Company  employs  sales 

representatives who call on faculty responsible for selecting books to be used in courses, and on the bookstores 

that serve such institutions and their students.  Textbook sales are generally made on a fully returnable basis 

with certain restrictions.  The textbook business is seasonal, with the majority of textbook sales occurring during 

the  June  through  August  and  November  through  January  periods.    There  is  an  active  used  textbook  market, 

which adversely affects the sales of new textbooks. 

Like most  other  publishers,  the  Company  generally  contracts  with  independent  printers  and  binderies  for  their 

services.  The  Company  purchases  its  paper  from  independent  suppliers  and  printers.  The  fiscal  year  2009 

weighted average U.S. paper prices increased approximately 4% over fiscal year 2008.  Approximately 58% of 

Company paper inventory is held in the United States. Management believes that adequate printing and binding 

facilities, and sources of paper and other required materials are available to it, and that it is not dependent upon 

any  single  supplier.      Printed  book  products  are  distributed  from  both  Company-operated  warehouses  and 

independent distributors. 

The  Company  develops  content  in  digital  format  that  can  be  used  for  both  online  and  print  products,  which 

results  in  productivity  and  efficiency  savings,  as  well  as  enabling  the  Company  to  offer customized  publishing 

and  print-on-demand  products.    Book  content  is  increasingly  being  made  available  online  through  Wiley 

InterScience, WileyPLUS and other platforms, and in eBook format through licenses with alliance partners.  The 

Company  also  sponsors  online  communities  of  interest,  both  on  its  own  and  in  partnership  with  others,  to 

expand the market for its products.   

The  Company  believes  that  the  demand  for  new  electronic  technology  products  will  continue  to  increase.  

Accordingly,  to  properly  service  its  customers  and  to  remain  competitive,  the  Company  anticipates  it  will  be 

necessary to increase its expenditures related to such new technologies over the next several years. 

The  Internet  not  only  enables  the  Company  to  deliver  content  online,  but  also  helps  to  sell  more  books.   The 

(cid:74)(cid:85)(cid:82)(cid:90)(cid:87)(cid:75)(cid:3)(cid:82)(cid:73)(cid:3)(cid:82)(cid:81)(cid:79)(cid:76)(cid:81)(cid:72)(cid:3)(cid:69)(cid:82)(cid:82)(cid:78)(cid:86)(cid:72)(cid:79)(cid:79)(cid:72)(cid:85)(cid:86)(cid:3)(cid:69)(cid:72)(cid:81)(cid:72)(cid:73)(cid:76)(cid:87)(cid:86)(cid:3)(cid:87)(cid:75)(cid:72)(cid:3)(cid:38)(cid:82)(cid:80)(cid:83)(cid:68)(cid:81)(cid:92)(cid:3)(cid:69)(cid:72)(cid:70)(cid:68)(cid:88)(cid:86)(cid:72)(cid:3)(cid:87)(cid:75)(cid:72)(cid:92)(cid:3)(cid:83)(cid:85)(cid:82)(cid:89)(cid:76)(cid:71)(cid:72)(cid:3)(cid:88)(cid:81)(cid:79)(cid:76)(cid:80)(cid:76)(cid:87)(cid:72)(cid:71)(cid:3)(cid:89)(cid:76)(cid:85)(cid:87)(cid:88)(cid:68)(cid:79)(cid:3)(cid:179)(cid:86)(cid:75)(cid:72)(cid:79)(cid:73)(cid:3)(cid:86)(cid:83)(cid:68)(cid:70)(cid:72)(cid:180)(cid:3)(cid:73)(cid:82)(cid:85)(cid:3)(cid:87)(cid:75)(cid:72)(cid:3)
(cid:38)(cid:82)(cid:80)(cid:83)(cid:68)(cid:81)(cid:92)(cid:182)(cid:86)(cid:3)(cid:72)(cid:81)(cid:87)(cid:76)(cid:85)(cid:72)(cid:3)(cid:69)(cid:68)(cid:70)(cid:78)(cid:79)(cid:76)(cid:86)(cid:87)(cid:17)(cid:3)(cid:3) 

Marketing  and  distribution  services  are  made  available  to  other  publishers  under  agency  arrangements.  The 

Company also engages in co-publishing of titles with international publishers and in publication of adaptations of 

works  from  other  publishers  for  particular  markets.  The  Company  also  receives  licensing  revenue  from 

photocopies,  reproductions,  and  electronic  uses  of  its  content  as  well  as  advertising  revenue  from  web  sites 

such as Frommers.com. 

-17- 

 
 
Global Operations 

(cid:55)(cid:75)(cid:72)(cid:3) (cid:38)(cid:82)(cid:80)(cid:83)(cid:68)(cid:81)(cid:92)(cid:182)(cid:86)(cid:3) (cid:83)(cid:88)(cid:69)(cid:79)(cid:76)(cid:70)(cid:68)(cid:87)(cid:76)(cid:82)(cid:81)(cid:86)(cid:3) (cid:68)(cid:85)(cid:72)(cid:3) (cid:86)(cid:82)(cid:79)(cid:71)(cid:3) (cid:87)(cid:75)(cid:85)(cid:82)(cid:88)(cid:74)(cid:75)(cid:82)(cid:88)(cid:87)(cid:3) (cid:80)(cid:82)(cid:86)(cid:87)(cid:3) (cid:82)(cid:73)(cid:3) (cid:87)(cid:75)(cid:72)(cid:3) world  through  operations  located  in  Europe, 
Canada, Australia, Asia, and the United States.  All operations market their indigenous publications, as well as 

publications produced by other parts of the Company. The Company also markets publications through  agents 

as  well  as  sales  representatives  in  countries  not  served  by  the  Company.    John  Wiley  &  Sons  International 

Rights, Inc. sells reprint and translations rights worldwide. The Company publishes or licenses others to publish 

its  products,  which  are  distributed  throughout  the  world  in  many  languages.    Approximately  50%  of  the 
(cid:38)(cid:82)(cid:80)(cid:83)(cid:68)(cid:81)(cid:92)(cid:182)(cid:86)(cid:3)(cid:73)(cid:76)(cid:86)(cid:70)(cid:68)(cid:79)(cid:3)(cid:92)(cid:72)(cid:68)(cid:85)(cid:3)(cid:21)(cid:19)(cid:19)(cid:28)(cid:3)(cid:85)(cid:72)(cid:89)(cid:72)(cid:81)(cid:88)(cid:72)(cid:3)(cid:90)(cid:68)(cid:86)(cid:3)(cid:71)(cid:72)(cid:85)(cid:76)(cid:89)(cid:72)(cid:71)(cid:3)(cid:73)(cid:85)(cid:82)(cid:80)(cid:3)(cid:81)(cid:82)(cid:81)-U.S. markets. 

(cid:55)(cid:75)(cid:72)(cid:3)(cid:74)(cid:79)(cid:82)(cid:69)(cid:68)(cid:79)(cid:3)(cid:81)(cid:68)(cid:87)(cid:88)(cid:85)(cid:72)(cid:3)(cid:82)(cid:73)(cid:3)(cid:87)(cid:75)(cid:72)(cid:3)(cid:38)(cid:82)(cid:80)(cid:83)(cid:68)(cid:81)(cid:92)(cid:182)(cid:86)(cid:3)(cid:69)(cid:88)(cid:86)(cid:76)(cid:81)(cid:72)(cid:86)(cid:86)(cid:3)(cid:70)(cid:85)(cid:72)(cid:68)(cid:87)(cid:72)(cid:86)(cid:3)(cid:68)(cid:81)(cid:3)(cid:72)(cid:91)(cid:83)(cid:82)(cid:86)(cid:88)(cid:85)(cid:72)(cid:3)(cid:87)(cid:82)(cid:3)(cid:73)(cid:82)(cid:85)(cid:72)(cid:76)(cid:74)(cid:81)(cid:3)(cid:70)(cid:88)(cid:85)(cid:85)(cid:72)(cid:81)(cid:70)(cid:92)(cid:3)(cid:73)(cid:79)(cid:88)(cid:70)(cid:87)(cid:88)(cid:68)(cid:87)(cid:76)(cid:82)(cid:81)(cid:86)(cid:3)(cid:85)(cid:72)(cid:79)(cid:68)(cid:87)(cid:76)(cid:89)(cid:72)(cid:3)(cid:87)(cid:82)(cid:3)(cid:87)(cid:75)(cid:72) 
(cid:56)(cid:17)(cid:54)(cid:3)(cid:71)(cid:82)(cid:79)(cid:79)(cid:68)(cid:85)(cid:17)(cid:3)(cid:40)(cid:68)(cid:70)(cid:75)(cid:3)(cid:82)(cid:73)(cid:3)(cid:87)(cid:75)(cid:72)(cid:3)(cid:38)(cid:82)(cid:80)(cid:83)(cid:68)(cid:81)(cid:92)(cid:182)(cid:86)(cid:3)(cid:74)(cid:72)(cid:82)(cid:74)(cid:85)(cid:68)(cid:83)(cid:75)(cid:76)(cid:70)(cid:3)(cid:79)(cid:82)(cid:70)(cid:68)(cid:87)(cid:76)(cid:82)(cid:81)(cid:86)(cid:3)(cid:86)(cid:72)(cid:79)(cid:79)(cid:3)(cid:83)(cid:85)(cid:82)(cid:71)(cid:88)(cid:70)(cid:87)(cid:86)(cid:3)(cid:90)(cid:82)(cid:85)(cid:79)(cid:71)(cid:90)(cid:76)(cid:71)(cid:72)(cid:3)(cid:76)(cid:81)(cid:3)(cid:80)(cid:88)(cid:79)(cid:87)(cid:76)(cid:83)(cid:79)(cid:72)(cid:3)(cid:70)(cid:88)(cid:85)(cid:85)(cid:72)(cid:81)(cid:70)(cid:76)(cid:72)(cid:86)(cid:17)(cid:3)(cid:53)(cid:72)(cid:89)(cid:72)(cid:81)(cid:88)(cid:72)(cid:3)
and deferred revenue, although billed in multiple currencies are accounted for in the local currency of the selling 

location. Fiscal year 2009 revenue was recognized in the following currencies: approximately 56% U.S dollar; 

28% British pound sterling; 8% Euro and 8% other currencies. 

Competition and Economic Drivers Within the Publishing Industry 

The sectors of the publishing industry in which the Company is engaged are highly competitive.  The principal 

competitive  criteria  for  the  publishing  industry  are  considered  to  be  the  following:  product  quality,  customer 

service, suitability of format and subject matter, author reputation, price, timely availability of both new titles and 

revisions  of  existing  books,  online  availability  of  published  information,  and  timely  delivery  of  products  to 

customers. 

The Company is in the top rank of publishers of scientific, technical, medical and scholarly journals worldwide,  a 

leading  commercial  research  chemistry  publisher;  the  leading  society  journal  publisher;  one  of  the  leading 

(cid:83)(cid:88)(cid:69)(cid:79)(cid:76)(cid:86)(cid:75)(cid:72)(cid:85)(cid:86)(cid:3)(cid:82)(cid:73)(cid:3)(cid:88)(cid:81)(cid:76)(cid:89)(cid:72)(cid:85)(cid:86)(cid:76)(cid:87)(cid:92)(cid:3)(cid:68)(cid:81)(cid:71)(cid:3)(cid:70)(cid:82)(cid:79)(cid:79)(cid:72)(cid:74)(cid:72)(cid:3)(cid:87)(cid:72)(cid:91)(cid:87)(cid:69)(cid:82)(cid:82)(cid:78)(cid:86)(cid:3)(cid:68)(cid:81)(cid:71)(cid:3)(cid:85)(cid:72)(cid:79)(cid:68)(cid:87)(cid:72)(cid:71)(cid:3)(cid:80)(cid:68)(cid:87)(cid:72)(cid:85)(cid:76)(cid:68)(cid:79)(cid:86)(cid:3)(cid:73)(cid:82)(cid:85)(cid:3)(cid:87)(cid:75)(cid:72)(cid:3)(cid:179)(cid:75)(cid:68)(cid:85)(cid:71)(cid:86)(cid:76)(cid:71)(cid:72)(cid:180)(cid:3)(cid:71)(cid:76)(cid:86)(cid:70)(cid:76)(cid:83)(cid:79)(cid:76)(cid:81)(cid:72)(cid:86)(cid:15)(cid:3)(cid:11)(cid:76)(cid:17)(cid:72)(cid:17)(cid:3)(cid:86)(cid:70)(cid:76)(cid:72)(cid:81)(cid:70)(cid:72)(cid:86)(cid:15)(cid:3)
engineering,  and  mathematics),  and  a  leading  publisher  in  its  targeted  professional/trade  markets.  The 

Company  knows  of  no  reliable  industry  statistics  that  would  enable  it  to  determine  its  share  of  the  various 

international markets in which it operates. 

Performance Measurements 

The Company measures its performance based upon revenue, operating income, earnings per share and cash 

flow,  excluding  unusual  or  one-time  events,  and  considering  worldwide  and  regional  economic  and  market 

conditions.   The Company evaluates market share statistics for publishing programs in each of its businesses.  

STMS  uses  various  reports  to  monitor  competitor  performance  and  industry  financial  metrics.    Specifically  for 

STMS journal titles, the ISI Impact Factor, published by the Institute for Scientific Information, is used as a key 

metric  of  a  journal  titles  influence  in  scientific  publishing.    For  Professional/Trade,  market  share  statistics 

published by BOOKSCAN, a statistical clearinghouse for book industry point of sale data in the United States, 

are  used.  The  statistics  include  survey  data  from  all  major  retail  outlets,  online  booksellers,  mass 

merchandisers, small chain and independent retail outlets.  For Higher Education, the Company subscribes to 

Management Practices Inc., which publishes customized comparative sales reports. 

Results of Operations 

Fiscal Year 2009 Summary Results 

Revenue  for  fiscal  year  2009  decreased  4%  to  $1,611.4  million.    Excluding  the  unfavorable  impact  of  foreign 

exchange revenue increased 3%.  Growth in STMS journals, including an acquisition accounting adjustment that 

-18- 

 
 
 
 
reduced prior year STMS revenue by approximately $16.7 million, and growth in Higher Education were partially 

offset by a decline in P/T revenue due to weak market conditions. 

Gross profit margin in fiscal year 2009 of 68.0% was 0.2% lower than the prior year as lower P/T sales volume 

and higher inventory obsolescence and royalty advance provisions were partially offset by favorable product mix 

and lower production costs in Higher Education.  Operating and administrative expenses for fiscal year 2009 of 

$839.6  million  were  4%  lower  than  the  prior  year,  or  increased  1%  excluding  the  favorable  impact  of  foreign 

exchange.    Lower  accrued  incentive  compensation  expense  and  marketing  and  advertising  cost  containment 

programs were more than offset by annual merit increases; higher editorial and distribution costs to support new 

Higher Education and STMS titles; and higher occupancy, facilities  and depreciation  costs related to business 

expansion. 

Operating  income  for  fiscal  year  2009  decreased  3%  to  $218.5  million,  or  improved  11%  excluding  the 

unfavorable  impact  of  foreign  exchange.    The  improvement  excluding  foreign  exchange  was  mainly  due  to 

revenue  growth,  including  the  acquisition  accounting  adjustment  last  year.    Interest  expense  decreased  $18.3 

million to $48.4 million.  Lower interest rates contributed approximately $10.8 million towards the improvement, 

while  lower  average  outstanding  debt  contributed  approximately  $7.5  million.  Interest  income  and  other 

increased  $0.3  million  to  $6.2  million  principally  due  to  a  $4.6  million  ($0.08  per  diluted  share)  non-recurring 

insurance receipt received in the first quarter of fiscal year 2009, partially offset by higher interest income in the 

prior  year. Losses on foreign currency transactions for fiscal  year 2009 and 2008 were $11.8 million and $2.9 

million, respectively.  The increase in foreign currency transaction losses was mainly due to the strengthening of 

the  U.S.  dollar  against  the  British  pound  sterling  on  intercompany  payables  and  U.S.  dollar  third  party  debt 

outstanding in the U.K.  

The effective tax rates for fiscal  years 2009  and  2008  were 22.0% and 8.7%, respectively.   During fiscal  year 

2008,  the  Company  recorded  an  $18.7  million  tax  benefit  associated  with  new  tax  legislation  enacted  in  the 

United  Kingdom  (UK)  and  Germany  that  reduced  the  corporate  income  tax  rates  from  approximately  30%  to 

28% and 39% to 29%, respectively.  The benefits recognized by the Company reflect the adjustments  required 

to restate all applicable deferred tax balances at the new income tax rates.  The new tax rates were effective in 

Germany as of May 1, 2007 and in the UK as of April 1, 2008.   The effective tax rate for fiscal year 2009 was 

22.0%  compared  to  20.2%  for  fiscal  year  2008,  excluding  the  deferred  tax  benefits  described  above.  The 

increase was mainly due to lower foreign tax benefits. 

Earnings  per  diluted  share  and  net  income  for  fiscal  year  2009  were  $2.15  and  $128.3  million,  respectively.  

Reported  earnings  per  diluted  share  and  net  income  for  fiscal  year  2008  were  $2.49  and  $147.5  million, 

respectively.    Adjusted  to  exclude  the  non-cash  deferred  tax  benefits  described  above,  earnings  per  diluted 

share  and  net  income  for  fiscal  year  2008  were  $2.17  and  $128.9  million,  respectively.    See  Non-GAAP 

Financial  Measures  described  below.  Excluding  the  deferred  tax  benefits  and  the  effect  of  foreign  exchange 

transaction and translation losses of approximately $0.50 per share, earnings per share increased 22% to $2.15 

per share.  

Non-(cid:42)(cid:36)(cid:36)(cid:51)(cid:3) (cid:41)(cid:76)(cid:81)(cid:68)(cid:81)(cid:70)(cid:76)(cid:68)(cid:79)(cid:3) (cid:48)(cid:72)(cid:68)(cid:86)(cid:88)(cid:85)(cid:72)(cid:86)(cid:29)(cid:3) (cid:3) (cid:55)(cid:75)(cid:72)(cid:3) (cid:38)(cid:82)(cid:80)(cid:83)(cid:68)(cid:81)(cid:92)(cid:182)(cid:86)(cid:3) (cid:80)(cid:68)(cid:81)(cid:68)(cid:74)(cid:72)(cid:80)(cid:72)(cid:81)(cid:87)(cid:3) (cid:76)(cid:81)(cid:87)(cid:72)(cid:85)(cid:81)(cid:68)(cid:79)(cid:79)(cid:92)(cid:3) (cid:72)(cid:89)(cid:68)(cid:79)(cid:88)(cid:68)(cid:87)(cid:72)(cid:86)(cid:3) (cid:76)(cid:87)(cid:86)(cid:3) (cid:82)(cid:83)(cid:72)(cid:85)(cid:68)(cid:87)(cid:76)(cid:81)(cid:74)(cid:3) (cid:83)(cid:72)(cid:85)(cid:73)(cid:82)(cid:85)(cid:80)(cid:68)(cid:81)(cid:70)(cid:72)(cid:3)
excluding unusual and/or nonrecurring events. The Company believes excluding such events provides a more 

effective and comparable measure of current and future performance. We also believe that excluding the effects 

of the following tax benefits provides a more balances view of the underlying dynamics of our business.  

-19- 

 
 
 
 
 
 
 
 
 
Deferred Tax Benefit on Changes in Statutory Tax Rates 

The  Company  recorded  an  $18.7  million  tax  benefit    ($15.6  million  for  Blackwell)  associated  with  new  tax 

legislation enacted in the United Kingdom (U.K.) and Germany that reduced the corporate income tax rates from 

approximately 30% to 28% and 39% to 29%, respectively.  The benefits recognized by the Company reflect the 

adjustments required to restate all applicable deferred tax balances at the new income tax rates. These benefits 

have been adjusted below due to their infrequent non-recurring nature.  

Since adjusted net income and adjusted earnings per share are not measures calculated in accordance with US 

GAAP, they should not be considered as a substitute for other  US GAAP measures, including net income and 

earnings  per  share  as  indicators  of  operating  performance.  Accordingly,  adjusted  net  income  and  adjusted 

earnings per diluted share are reconciled below to net income and earnings per share on a US GAAP basis, for 

fiscal years 2009 and 2008. 

Reconciliation of Non-GAAP Financial Disclosure 

For the Years  
Ended April 30, 

Net Income (in thousands) 

2009 

2008 

As Reported 

$128,258 

$147,536 

Deferred Tax Benefit on Changes in Statutory Rates   

- 

(18,663) 

Adjusted  

   $128,258 

$128,873 

Earnings per Diluted Share  

As Reported 

For the Years  
Ended April 30, 

2009 

2008 

$2.15 

$2.49 

Deferred Tax Benefit on Changes in Statutory Rates   

- 

(0.31) 

Adjusted  

$2.15 

$2.17 

Fiscal Year 2009 Segment Results 

(cid:44)(cid:81)(cid:3) (cid:70)(cid:82)(cid:81)(cid:81)(cid:72)(cid:70)(cid:87)(cid:76)(cid:82)(cid:81)(cid:3) (cid:90)(cid:76)(cid:87)(cid:75)(cid:3) (cid:87)(cid:75)(cid:72)(cid:3) (cid:76)(cid:81)(cid:87)(cid:72)(cid:74)(cid:85)(cid:68)(cid:87)(cid:76)(cid:82)(cid:81)(cid:3) (cid:82)(cid:73)(cid:3) (cid:37)(cid:79)(cid:68)(cid:70)(cid:78)(cid:90)(cid:72)(cid:79)(cid:79)(cid:3) (cid:51)(cid:88)(cid:69)(cid:79)(cid:76)(cid:86)(cid:75)(cid:76)(cid:81)(cid:74)(cid:3) (cid:47)(cid:87)(cid:71)(cid:17)(cid:3) (cid:11)(cid:179)(cid:37)(cid:79)(cid:68)(cid:70)(cid:78)(cid:90)(cid:72)(cid:79)(cid:79)(cid:180)(cid:12)(cid:15)(cid:3) (cid:90)(cid:72)(cid:3) (cid:75)(cid:68)(cid:89)(cid:72)(cid:3) (cid:70)(cid:82)(cid:81)(cid:73)(cid:82)(cid:85)(cid:80)(cid:72)(cid:71)(cid:3) (cid:87)(cid:75)(cid:72)(cid:3)
classification  of  certain  accounts  in  our  Statements  of  Income  and  segment  reporting  and  realigned  certain 

product lines in our segment reporting to correspond with management responsibility.  In addition, the Company 

reclassified  foreign  exchange  transaction  gains  and  losses,  previously  reported  as  a  component  of  direct 

contribution to profit to a separate distinguishable line below operating income.  All prior year periods have been 

(cid:85)(cid:72)(cid:86)(cid:87)(cid:68)(cid:87)(cid:72)(cid:71)(cid:3) (cid:73)(cid:82)(cid:85)(cid:3) (cid:70)(cid:82)(cid:80)(cid:83)(cid:68)(cid:85)(cid:68)(cid:69)(cid:76)(cid:79)(cid:76)(cid:87)(cid:92)(cid:17)(cid:3) (cid:3) (cid:55)(cid:75)(cid:72)(cid:86)(cid:72)(cid:3) (cid:70)(cid:75)(cid:68)(cid:81)(cid:74)(cid:72)(cid:86)(cid:3) (cid:75)(cid:68)(cid:71)(cid:3) (cid:81)(cid:82)(cid:3) (cid:76)(cid:80)(cid:83)(cid:68)(cid:70)(cid:87)(cid:3) (cid:82)(cid:81)(cid:3) (cid:58)(cid:76)(cid:79)(cid:72)(cid:92)(cid:182)(cid:86)(cid:3) (cid:70)(cid:82)(cid:81)(cid:86)(cid:82)(cid:79)(cid:76)(cid:71)(cid:68)(cid:87)(cid:72)(cid:71)(cid:3) (cid:85)(cid:72)(cid:89)(cid:72)(cid:81)(cid:88)(cid:72)(cid:15)(cid:3) (cid:81)(cid:72)(cid:87)(cid:3) (cid:76)(cid:81)(cid:70)(cid:82)(cid:80)(cid:72)(cid:3) (cid:82)(cid:85)(cid:3)
earnings per share. 

During  fiscal  year  2008,  the  Company  began  developing  a  global  organizational  management  structure 
enco(cid:80)(cid:83)(cid:68)(cid:86)(cid:86)(cid:76)(cid:81)(cid:74)(cid:3)(cid:58)(cid:76)(cid:79)(cid:72)(cid:92)(cid:182)(cid:86)(cid:3)(cid:87)(cid:75)(cid:85)(cid:72)(cid:72)(cid:3)(cid:70)(cid:82)(cid:85)(cid:72)(cid:3) (cid:69)(cid:88)(cid:86)(cid:76)(cid:81)(cid:72)(cid:86)(cid:86)(cid:72)(cid:86)(cid:3)(cid:11)(cid:54)(cid:70)(cid:76)(cid:72)(cid:81)(cid:87)(cid:76)(cid:73)(cid:76)(cid:70)(cid:15)(cid:3)(cid:55)(cid:72)(cid:70)(cid:75)(cid:81)(cid:76)(cid:70)(cid:68)(cid:79)(cid:15)(cid:3)(cid:48)(cid:72)(cid:71)(cid:76)(cid:70)(cid:68)(cid:79)(cid:3)(cid:68)(cid:81)(cid:71)(cid:3) (cid:54)(cid:70)(cid:75)(cid:82)(cid:79)(cid:68)(cid:85)(cid:79)(cid:92)(cid:30)(cid:3) (cid:51)(cid:85)(cid:82)(cid:73)(cid:72)(cid:86)(cid:86)(cid:76)(cid:82)(cid:81)(cid:68)(cid:79)/Trade 
(cid:68)(cid:81)(cid:71)(cid:3) (cid:43)(cid:76)(cid:74)(cid:75)(cid:72)(cid:85)(cid:3) (cid:40)(cid:71)(cid:88)(cid:70)(cid:68)(cid:87)(cid:76)(cid:82)(cid:81)(cid:12)(cid:17)(cid:3) (cid:3) (cid:55)(cid:75)(cid:72)(cid:3) (cid:74)(cid:79)(cid:82)(cid:69)(cid:68)(cid:79)(cid:3) (cid:82)(cid:85)(cid:74)(cid:68)(cid:81)(cid:76)(cid:93)(cid:68)(cid:87)(cid:76)(cid:82)(cid:81)(cid:68)(cid:79)(cid:3) (cid:86)(cid:87)(cid:85)(cid:88)(cid:70)(cid:87)(cid:88)(cid:85)(cid:72)(cid:3) (cid:90)(cid:76)(cid:79)(cid:79)(cid:3) (cid:72)(cid:81)(cid:75)(cid:68)(cid:81)(cid:70)(cid:72)(cid:3) (cid:87)(cid:75)(cid:72)(cid:3) (cid:38)(cid:82)(cid:80)(cid:83)(cid:68)(cid:81)(cid:92)(cid:182)(cid:86)(cid:3) (cid:68)(cid:69)(cid:76)(cid:79)(cid:76)(cid:87)(cid:92)(cid:3) (cid:87)(cid:82)(cid:3) (cid:79)(cid:72)(cid:89)(cid:72)(cid:85)(cid:68)(cid:74)(cid:72)(cid:3)
content,  services  and  capabilities  around  the  world  to  better  serve  authors,  society  partners  and  customers.  

During the first quarter of fiscal  year  2009, the transition  of all operational and financial systems necessary to 

support a global organization was finalized.  As a result of this process, in the first quarter of fiscal year 2009 the 

-20- 

 
 
 
 
 
 
 
 
   
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
   
 
 
 
 
   
 
 
 
 
 
 
 
 
 
 
 
 
 
 
  
 
 
 
 
Company  began  reporting  its  financial  results  for  the  three  global  businesses  as  separate  business  segments 

and separately reported financial data for shared service functions which are centrally managed for the benefit 

of all the global business segments. Prior year segment data has been restated for comparability. 

Scientific, Technical, Medical and Scholarly (STMS):  

Dollars in thousands 
Revenue 
Direct Contribution 
Contribution Margin 

 2009 
$969,184 
$399,156 
   41.2% 

 2008 
$975,797 
$384,170 
    39.4% 

% change 
(1%) 
4% 

% change 
w/o FX 
9% 
14% 

Global  STMS  revenue  for  fiscal  year  2009  of  $969.2  million  declined  1%  from  prior  year  mainly  due  to 

unfavorable  foreign  exchange.  Excluding  the  unfavorable  impact  of  foreign  exchange  revenue  increased  9%.  

Increased revenue from journal subscription renewals, new business, price increases, global rights and STMS 

books was partially offset by lower sales of backfiles, reprints and custom publishing.   Also contributing to the 

increase in journal subscriptions was a $16.7 million acquisition accounting adjustment related to Blackwell that 

reduced  revenue  in  the  prior  year.    This  adjustment  contributed  2%  to  revenue  growth  excluding  foreign 

exchange.  

Direct contribution to profit for fiscal year 2009 grew 4% from prior year to $399.2 million, or 14% excluding the 

unfavorable  effect  of  foreign  exchange.    Direct  contribution  margin  improved  180  basis  points  to  41.2%,  or 

41.1% excluding the unfavorable impact of foreign exchange, mainly due to the prior year acquisition accounting 

adjustment, a $2.0 million bad debt recovery and cost containment efforts, partially offset by higher performance 

compensation  and  other  employment  costs  and  editorial  costs  due  to  the  addition  of  more  society  journals.  

Margins on professional society journals are lower than margins earned on Company owned journals.  

STMS Journals 

Journal  revenue  grew  8%  excluding  unfavorable  foreign  exchange  and  the  prior  year  acquisition  accounting 

adjustment  related  to  Blackwell.  All  regions  exhibited  journal  sales  growth,  excluding  unfavorable  foreign 

exchange.  The performance is mainly attributed to renewals, new business, price increases and the acquisition 

accounting adjustment in fiscal year 2008.  Subscription and pay-per-view revenue was up year-over-year, while 

backfile revenue fell due to the economic climate, particularly in the US.   

Society Journal Activity 

  32 New signings 

  87 Renewed/extended contracts 

  9 Contracts not renewed  

Key New Agreements 

  A  new  journal  launch  for  2010  (cid:177)  the  Journal  of  Research  Synthesis  Methods  in  association  with  the 

Society for Research Synthesis Methodology 

  Family  and  Consumer  Science  Research  on  behalf  of  the  American  Association  of  Family  and 

Consumer Sciences 

  Design Management Review and Design Management Journal with the Design Management Institute 
  The  Institute  of  Development  Studies  at  the  University  o(cid:73)(cid:3) (cid:54)(cid:88)(cid:86)(cid:86)(cid:72)(cid:91)(cid:15)(cid:3) (cid:82)(cid:81)(cid:72)(cid:3) (cid:82)(cid:73)(cid:3) (cid:40)(cid:88)(cid:85)(cid:82)(cid:83)(cid:72)(cid:182)(cid:86)(cid:3) (cid:79)(cid:72)(cid:68)(cid:71)(cid:76)(cid:81)(cid:74)(cid:3) (cid:85)(cid:72)(cid:86)(cid:72)(cid:68)(cid:85)(cid:70)(cid:75)(cid:3)

institutions. The journal, IDS Bulletin, was previously self-published.  

  The Economic Society of Australia for Economic Papers.  

  Asian Journal of Endoscopic Surgery. 

-21-

 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Key Journal Renewals 

  Economic Journal and Econometrics Journal (Royal Economic Society)  

Journal of Accounting Research (Institute of Professional Accounting at the University of Chicago Booth 

School of Business) 

  Cancer Science (Japanese Cancer Association) 

  ANZ Journal of Surgery (Royal Australasian College of Surgeons) 

International Journal of Urology (Japanese Urological Association) 

Journal  of  Neuroendocrinology  (European  Neuroendocrine  Association,  the  British  Society  for 

Neuroendocrinology and the International Neuroendocrine Federation) 

  Therapeutic  Aphaeresis  and  Dialysis  (International  Society  for  Aphaeresis,  The  Japanese  Society  for 

Aphaeresis and The Japanese Society for Dialysis Therapy) 
Journal of Philosophy of Education (Philosophy of Education Society of Great Britain) 

Journal Licenses 

Journal licenses, which represent approximately 60% of  fiscal year 2009 journal subscription revenue,  provide 

academic, government and corporate customers with online access to multiple journals. During fiscal year 2009, 

agreements  were  signed  or  renewed  with  universities,  library  consortia  and  government  agencies  in  the  US, 

Norway, Japan, China, Brazil, Canada, Greece, Chile, Denmark and India.   

STMS Books and References 

Book sales and other related income, which account for approximately 17% of fiscal year 2009 STMS revenue, 

were  up  5%  excluding  unfavorable  foreign  exchange.  The  total  number  of  books  published  increased  slightly.  

Online  book  sales  rose  approximately  20%  to  $10  million.  During  the  fiscal  year,  Wiley  acquired  the  Arnold 

statistics  book  program  from  Hodder  Education.    The  acquisition,  which  includes  over  50  titles,  complements 
(cid:68)(cid:85)(cid:72)(cid:68)(cid:86)(cid:3)(cid:82)(cid:73)(cid:3)(cid:86)(cid:87)(cid:85)(cid:72)(cid:81)(cid:74)(cid:87)(cid:75)(cid:3)(cid:76)(cid:81)(cid:3)(cid:58)(cid:76)(cid:79)(cid:72)(cid:92)(cid:182)(cid:86)(cid:3)(cid:86)(cid:87)(cid:68)(cid:87)(cid:76)(cid:86)(cid:87)(cid:76)(cid:70)(cid:86)(cid:3)(cid:83)(cid:85)(cid:82)(cid:74)(cid:85)(cid:68)(cid:80)(cid:15) while providing growth opportunities. 

Wiley InterScience 

Wiley achieved an important milestone in the early part of fiscal year 2009 by migrating online journal content, 
(cid:70)(cid:88)(cid:86)(cid:87)(cid:82)(cid:80)(cid:72)(cid:85)(cid:86)(cid:3) (cid:68)(cid:81)(cid:71)(cid:3) (cid:68)(cid:70)(cid:70)(cid:72)(cid:86)(cid:86)(cid:3) (cid:79)(cid:76)(cid:70)(cid:72)(cid:81)(cid:86)(cid:72)(cid:86)(cid:3) (cid:73)(cid:85)(cid:82)(cid:80)(cid:3) (cid:37)(cid:79)(cid:68)(cid:70)(cid:78)(cid:90)(cid:72)(cid:79)(cid:79)(cid:182)(cid:86)(cid:3) Synergy  platform  to  Wiley  InterScience.    The  migration 
included approximately 29,000 customers, over two million licenses and nearly two million journal articles.    

Professional/Trade (P/T):  

Dollars in thousands 
Revenue 
Direct Contribution 
Contribution Margin 

2009 
$412,674 
$94,620 
22.9% 

2008 
$471,785 
$136,619 
29.0% 

% change 
(13%) 
(31%) 

% change 
w/o FX 
(10%) 
(27%) 

Global  P/T  revenue  for  fiscal  year  2009  decreased  13%  to  $412.7  million,  or  10%  excluding  the  unfavorable 

impact  of  foreign  exchange.    The  decline  in  revenue  was  due  to  a  weak  retail  environment  particularly  in  the 

U.S., partially offset by modest growth in the European and Canadian markets.  Also affecting the comparison to 

last year was the termination of a publishing agreement in the culinary/hospitality publishing program. 

Direct contribution to profit decreased 31% to $94.6 million, or 27% excluding the unfavorable impact of foreign 

exchange.    Direct  contribution  margin  declined  610  basis  points  to  22.9%,  or  540  basis  points  excluding  the 

unfavorable  impact  of  foreign  exchange.    The  decline  reflects  lower  sales  volume,  higher  inventory 

obsolescence  and  royalty  advance  provisions  and  a  $2.0  million  bad  debt  recovery  in  the  prior  year,  partially 

-22-

 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
offset  by  cost  containment  efforts  in  advertising,  sales  and  marketing  and  lower  accrued  incentive 

compensation. 

Notable Alliances 

  GMAC/Official Guide to the GMAT:   Wiley became the official publisher of the Graduate  Management 
Admission Test® (GMAT®) study guides in October 2008.  In March, the 12th edition of the top-selling 
Official Guide for GMAT Review  was released  worldwide.  It will be followed by  The Official Guide for 

GMAT Verbal Review and The Official Guide for GMAT Quantitative.   

  Meredith: In March 2009, as part of its multi-year agreement, Wiley began publishing Better Homes and 

Garden book titles and other brands such as Family Circle, as well as Food Network TV, Sandra Lee, 

Rocco DiSpirito and Tyler Florence.   

  Kindle (Amazon):  Currently, Wiley has over 9,000 P/T books available on the Kindle 2. 

  General  Mills:    Wiley  and  General  Mills  signed  an  agreement  to  renew  their  publishing  partnership.  
Under the agreement, Wiley will continue to publish the flagship (cid:37)(cid:72)(cid:87)(cid:87)(cid:92)(cid:3)(cid:38)(cid:85)(cid:82)(cid:70)(cid:78)(cid:72)(cid:85)(cid:3)(cid:179)(cid:37)(cid:76)(cid:74)(cid:3)(cid:53)(cid:72)(cid:71)(cid:180) cookbook and 
other cookbooks under the Betty Crocker, Pillsbury and other General Mills brands. 

  Vancouver  Olympic  Organizing  Committee:    Wiley  Canada  entered  into  an  agreement  with  VANOC, 

becoming  the  official  publication  partner  of  the  2010  Winter  Olympic  and  Paralympics  Games  in 

Vancouver/Whistler.    In  close  cooperation  with  VANOC,  Wiley  will  produce  commemorative  books, 

games reports, and custom publications. 

Online Initiatives 

  For  the  fiscal  year,  Frommers.com maintained  its  top  position  in  website  traffic  by  posting  137  million 

page views and nearly 29 million visits.  The results were lower than last year due to the economy.   

  Launched  in  November  2008,  the  new  Dummies.com  generated  a  total  of  29  million  page  views  by 

fiscal  year-end,  a  23%  increase  over  prior  year.    Eleven  million  unique  visitors  represented  a  21% 

increase.  Users are spending 17% more time on content pages.  The site now includes 25 topic areas 

with  250+  pieces  of  content  in  each,  950  fully  illustrated  step-by-step  articles,  6,610  articles,  and  265 

videos. 

  CliffsNotes.com recorded year-on-year increases of 5% in page views and 21% in unique visitors. 

Notable New Titles  

Business: 

  Lee Bolman: Reframing Organizations, Fourth Edition 

Jim Kouzes and Barry Posner: Leadership Challenge, Fourth Edition 

  GAAP 2009 

  CPA Exam Set, Thirty-fifth edition, Volumes 1 and 2 

  Mary Kay Ash: Mary Kay Way 

  Patrick Lencioni: Three Big Questions for  A Frantic Family 

Finance: 

JK Lasser, Year In Taxes 2009 

  Fischer: Ten Road to Riches 

John Bogle: Enough 

  Peter Schiff: Little Book of Bull Moves in Bear Markets 

  Martin Weiss: Depression Survival Guide 

  Addison Wiggin: I.O.U.S.A.: One Nation. Under Stress. In Debt 

Psychology: 

  Lenore Skenazy: Free Range Kids: Giving Our Children the Freedom We had without Going Nuts with 

Worry 

-23-

 
 
 
 
 
 
 
 
  Michael  Gurian:  The  Purpose  of  Boys:  Helping  Our  Sons  Find  Meaning,  Significance  and  Direction  in 

Their Lives 

  Gary Groth-Marnat: Handbook of Psychological Assessment, Fifth Edition 

  Richard Lerner: Handbook of Adolescent Psychology, Third Edition 

Consumer: 

  Weight Watchers in 20 Minutes 

  Mark Bittman: How to Cook Everything, Second Edition 

  Bob Sehlinger: Unofficial Guide to Walt Disney World 2009 

  GMAC: The Official Guide to the GMAT, Twelfth Edition 

Jack Cafferty: Now Or Never: Getting Down To Business of Saving Our American Dream 

  Alan Rubin: Diabetes for Dummies  

  Paul McFedries: iPhone 3G Portable Genius 

Architecture: 

  Edward Allen: Fundamentals of Building Construction, Fifth Edition 

  Wiley CPE (Continuing Professional Education, a web-based online continuing education system) 

Higher Education (HE):  

Dollars in thousands 
Revenue 
Direct Contribution 
Contribution Margin 

2009 
$229,532 
$61,677 
26.9% 

2008 
$226,152 
$68,270 
30.2% 

% change 
1% 
(10%) 

% change 
w/o FX 
6% 
(3%) 

Global  HE  revenue  for  fiscal  year  2009  grew  1%  from  the  prior  year  period,  or  6%  excluding  the  unfavorable 

impact  of  foreign  exchange.    Revenue  growth  occurred  in  every  region  and  in  nearly  every  subject  category.  

Contributing to these results were a strong frontlist; approximately $6.6 million of revenue from recently acquired 

titles; solid growth from the Microsoft publishing agreement; and the continued success of WileyPLUS. 

Direct contribution to profit decreased 10% to $61.7 million, or 3% excluding the unfavorable impact of foreign 

exchange.    Direct  contribution  margin  declined  330  basis  points  to  26.9%,  or  260  basis  points  excluding  the 

unfavorable  impact  of  foreign  exchange.    The  decline  reflects  prior  year  cost  containment  efforts  which 

significantly  curtailed  expenditures  in  fiscal  year  2008,  higher  accrued  incentive  compensation  expense  and 

increased marketing, advertising and content development costs to support the large frontlist. 

WileyPLUS  

  Now accounts for 9% of global HE revenue 

  Global full year billings increased 38% 

  Digital-only sales grew 70% 

  Validation/usage rates increased  

  WileyPLUS sales outside the US represent 15% of the total 

Notable Alliances 

  Microsoft Official Academic Course (MOAC) revenue was up 16% over prior year.   

  Wiley is partnering with American Hospitality Training Institute, an online provider of hospitality training 

for  students  outside  the  US  interested  in  working  for  US  hotels  and  resorts.    Twenty-one  classes 

utilizing  content  from  Barrows/Introduction  to  Management  in  the  Hospitality  Industry  9e  will  begin  in 

June, 2009. 

  Wiley and Learning House agreed to create highly integrative online courses based on Wiley textbooks.  

The courses will be bundled with the book.  We received approval for a licensing agreement for two pilot 

-24-

 
 
 
 
 
 
 
  
 
 
 
 
 
 
courses  in  world  regional  geography  and  Spanish  1.  Learning  House  is  an  online  education  solutions 

partner helping small colleges and universities offer and manage their online degree programs.  

  Wiley expanded its alliance with Amazon to offer select Wiley textbooks for sale through the Kindle DX.   

Books are set to go live on the Kindle Store in the summer of 2009.   

Acquisitions 

In August 2008, Wiley acquired business and modern language textbooks from Cengage Learning and 

mathematics and statistics textbooks from Key College Publishing.   

  These  acquisitions  contributed  approximately  $6.6  million  of  revenue  in  fiscal  year  2009,  exceeding 

expectations.  

Custom Publishing 

  Wiley Custom Select was successfully launched in the fourth quarter.  Wiley Custom Select is a custom 

textbook system that allows instructors to "build" customized higher education course materials that fit 

their pedagogical needs, enabling users to easily find the content, personalize the material and format, 

and submit the order.  In fiscal year 2009, custom sales increased approximately 25%.      

Shared Service and Administrative Costs  

Shared services and administrative costs for fiscal year 2009 decreased 7% to $337.0 million, or 2% excluding 

the  favorable  impact  of  foreign  exchange.    The  improvement  reflects  lower  accrued  incentive  compensation 

expense and lower integration costs, partially offset by planned salary merit increases, higher distribution costs 

due to increased journal shipping and handling and higher occupancy, facilities and depreciation costs related to 

business expansion. 

Results of Operations 

Fiscal Year 2008 Summary Results 

Revenue  for  fiscal  year  2008  increased  36%  to  $1,673.7  million,  or  33%  excluding  the  favorable  impact  of 
foreign exchange.  Blackwell Publishing (cid:47)(cid:87)(cid:71)(cid:17)(cid:3)(cid:11)(cid:179)(cid:37)(cid:79)(cid:68)(cid:70)(cid:78)(cid:90)(cid:72)(cid:79)(cid:79)(cid:180)(cid:12)(cid:15)(cid:3)(cid:90)(cid:75)(cid:76)(cid:70)(cid:75)(cid:3)(cid:90)(cid:68)(cid:86)(cid:3)(cid:68)(cid:70)(cid:84)(cid:88)(cid:76)(cid:85)(cid:72)(cid:71)(cid:3)(cid:82)(cid:81)(cid:3)(cid:41)(cid:72)(cid:69)(cid:85)(cid:88)(cid:68)(cid:85)(cid:92)(cid:3)(cid:21)(cid:15)(cid:3)(cid:21)(cid:19)(cid:19)7, contributed 
$379.4 million to the revenue growth, increasing from $105.8 million in fiscal year 2007 to $485.2 million in fiscal 

year 2008. Blackwell is a leading publisher of journals and books  for the STMS business. Excluding Blackwell, 

revenue grew 5% to $1,188.5 million, or 3% excluding the favorable impact of foreign exchange. Strong revenue 

growth in Europe and Asia was tempered by moderate growth in the U.S. markets.    

Gross profit margin in fiscal year 2008 of 68.2% was essentially the same as in the prior year.  Operating and 

administrative  expenses  for  fiscal  year  2008  increased  33%  to  $876.6  million,  including  $183.8  million  of 

incremental operating expenses for Blackwell. Included in Blackwell operating and administrative expenses are 

approximately  $21  million  of  costs  related  to  the  transition  and  integration  of  Blackwell.  Operating  and 

administrative expenses for fiscal year 2008 increased 3%, excluding Blackwell and the unfavorable  impact of 

foreign  exchange.    The  increase  was  mainly  due  to  higher  planned  employment  and  other  costs  to  support 

business growth; increased editorial and production associated with new journals; and costs associated with the 

development of indigenous publishing programs.  The Company recorded a  $4.4 million  bad debt provision in 

fiscal year 2007 related to the bankruptcy of Advanced Marketing Services and a $1.9 million recovery of that 

bad  debt  in  the  current  fiscal  year.    Amortization  of  intangibles  increased  $18.3  million,  principally  due  to  the 

Blackwell acquisition. 

-25-

 
 
 
 
 
 
 
Operating income improved 39% to $225.2 million in fiscal year 2008, including incremental operating income of 

$60.3 million related to Blackwell, which increased from $6.7 million in fiscal year 2007 to $67.0 million in fiscal 

year  2008.    Excluding  Blackwell,  operating  income  improved  2%  to  $158.2  million,  or  1%  excluding  the 

favorable  impact  of  foreign  exchange.    Revenue  growth  was  partially  offset  by  higher  planned  operating 

expenses.    Interest  expense  increased  $40.6  million  to  $66.7  million,  mainly  due  to  finance  costs  associated 

with  the  Blackwell  acquisition.    Losses  on  foreign  currency  transactions  for  fiscal  years  2008  and  2007  were 

$2.9 million and $0.2 million, respectively.  

The effective tax rate for fiscal year 2008 was 8.7% compared to 28.6% in the prior year period.  During fiscal 

year 2008, the Company recorded an $18.7 million tax benefit associated with new tax legislation enacted in the 

United  Kingdom  (U.K.)  and  Germany  that  reduced  the  corporate  income  tax  rates  from  approximately  30%  to 

28% and 39% to 29%, respectively.  The benefits recognized by the Company reflect the adjustments required 

to restate all applicable deferred tax balances at the new income tax rates.  The new tax rates were effective in 

Germany as of May 1, 2007 and in the U.K. as of April 1, 2008.  The tax provision for fiscal year 2007 included 

tax benefits of $5.5 million related to the settlement and resolution of certain tax matters with authorities in  the 

U.S.  and  abroad.    Excluding  Blackwell  and  the  tax  benefits  described  above,  the  effective  tax  rates  for  fiscal 

years 2008 and 2007 were 30.2% and 35.1%, respectively.  The decrease was principally due to lower taxes on 
non-U.S. sourced earnings.  Black(cid:90)(cid:72)(cid:79)(cid:79)(cid:182)(cid:86)(cid:3)(cid:72)(cid:73)(cid:73)(cid:72)(cid:70)(cid:87)(cid:76)(cid:89)(cid:72)(cid:3)(cid:87)(cid:68)(cid:91)(cid:3)(cid:85)(cid:68)(cid:87)(cid:72)(cid:3)(cid:75)(cid:68)(cid:71)(cid:15)(cid:3)(cid:68)(cid:81)(cid:71)(cid:3)(cid:76)(cid:86)(cid:3)(cid:72)(cid:91)(cid:83)(cid:72)(cid:70)(cid:87)(cid:72)(cid:71)(cid:3)(cid:87)(cid:82)(cid:3)(cid:75)(cid:68)(cid:89)(cid:72)(cid:15)(cid:3)(cid:68)(cid:3)(cid:73)(cid:68)(cid:89)(cid:82)(cid:85)(cid:68)(cid:69)(cid:79)(cid:72)(cid:3)(cid:76)(cid:80)(cid:83)(cid:68)(cid:70)(cid:87)(cid:3)(cid:82)(cid:81)(cid:3)
(cid:87)(cid:75)(cid:72)(cid:3)(cid:38)(cid:82)(cid:80)(cid:83)(cid:68)(cid:81)(cid:92)(cid:182)(cid:86)(cid:3)(cid:70)(cid:82)(cid:81)(cid:86)(cid:82)(cid:79)(cid:76)(cid:71)(cid:68)(cid:87)(cid:72)(cid:71)(cid:3)(cid:72)(cid:73)(cid:73)(cid:72)(cid:70)(cid:87)(cid:76)(cid:89)(cid:72)(cid:3)(cid:87)(cid:68)(cid:91)(cid:3)(cid:85)(cid:68)(cid:87)(cid:72)(cid:17)(cid:3)(cid:3) 

Reported  earnings  per  diluted  share  and  net  income  for  fiscal  year  2008  were  $2.49  and  $147.5  million, 

respectively.      Adjusted  to  exclude  the  non-cash  deferred  tax  benefits  described  above,  earnings  per  diluted 

share  and  net  income  for  fiscal  year  2008  were  $2.17  and  $128.9  million,  respectively.  Earnings  per  diluted 

share and net income for fiscal year 2007 adjusted to exclude the 2007 tax benefits described above were $1.62 

(cid:68)(cid:81)(cid:71)(cid:3)(cid:7)(cid:28)(cid:23)(cid:17)(cid:21)(cid:3)(cid:80)(cid:76)(cid:79)(cid:79)(cid:76)(cid:82)(cid:81)(cid:15)(cid:3)(cid:85)(cid:72)(cid:86)(cid:83)(cid:72)(cid:70)(cid:87)(cid:76)(cid:89)(cid:72)(cid:79)(cid:92)(cid:17)(cid:3)(cid:3)(cid:3)(cid:40)(cid:91)(cid:70)(cid:79)(cid:88)(cid:71)(cid:76)(cid:81)(cid:74)(cid:3)(cid:87)(cid:75)(cid:72)(cid:3)(cid:87)(cid:68)(cid:91)(cid:3)(cid:69)(cid:72)(cid:81)(cid:72)(cid:73)(cid:76)(cid:87)(cid:86)(cid:15)(cid:3)(cid:37)(cid:79)(cid:68)(cid:70)(cid:78)(cid:90)(cid:72)(cid:79)(cid:79)(cid:182)(cid:86)(cid:3)(cid:85)(cid:72)(cid:86)(cid:88)(cid:79)(cid:87)(cid:86)(cid:3) (cid:90)(cid:72)(cid:85)(cid:72)(cid:3)(cid:68)(cid:70)(cid:70)(cid:85)(cid:72)(cid:87)(cid:76)(cid:89)(cid:72)(cid:3)(cid:87)(cid:82)(cid:3)(cid:72)(cid:68)(cid:85)(cid:81)(cid:76)(cid:81)(cid:74)(cid:86)(cid:3)(cid:83)(cid:72)(cid:85)(cid:3)
diluted share and net income by approximately $0.29 and $17.0 million, respectively. See Non-GAAP Financial 

Measures described below. 

Non-(cid:42)(cid:36)(cid:36)(cid:51)(cid:3) (cid:41)(cid:76)(cid:81)(cid:68)(cid:81)(cid:70)(cid:76)(cid:68)(cid:79)(cid:3) (cid:48)(cid:72)(cid:68)(cid:86)(cid:88)(cid:85)(cid:72)(cid:86)(cid:29)(cid:3) (cid:3) (cid:55)(cid:75)(cid:72)(cid:3) (cid:38)(cid:82)(cid:80)(cid:83)(cid:68)(cid:81)(cid:92)(cid:182)(cid:86)(cid:3) (cid:80)(cid:68)(cid:81)(cid:68)(cid:74)(cid:72)(cid:80)(cid:72)(cid:81)(cid:87)(cid:3) (cid:76)(cid:81)(cid:87)(cid:72)(cid:85)(cid:81)(cid:68)(cid:79)(cid:79)(cid:92)(cid:3) (cid:72)(cid:89)(cid:68)(cid:79)(cid:88)(cid:68)(cid:87)(cid:72)(cid:86)(cid:3) (cid:76)(cid:87)(cid:86)(cid:3) (cid:82)(cid:83)(cid:72)(cid:85)(cid:68)(cid:87)(cid:76)(cid:81)(cid:74)(cid:3) (cid:83)(cid:72)(cid:85)(cid:73)(cid:82)(cid:85)(cid:80)(cid:68)(cid:81)(cid:70)(cid:72)(cid:3)
excluding unusual and/or nonrecurring events. The Company believes excluding such events provides a more 

effective and comparable measure of current and future performance. We also believe that excluding the effects 

of the following tax benefits provides a more balanced view of the underlying dynamics of our business. 

Deferred Tax Benefit on Changes in Statutory Tax Rates 

The  Company  recorded  an  $18.7  million  tax  benefit    ($15.6  million  for  Blackwell)  associated  with  new  tax 

legislation enacted in the United Kingdom (U.K.) and Germany that reduced the corporate income tax rates from 

approximately 30% to 28% and 39% to 29%, respectively.  The benefits recognized by the Company reflect the 

adjustments required to restate all applicable deferred tax balances at the new income tax rates. These benefits 

have been adjusted below due to their infrequent non-recurring nature.  

Benefits on the Finalization of Tax Audits 

Fiscal year 2007 includes a $5.5 million tax benefit, or $0.09 per diluted share, which resulted from the favorable 

resolution  and  settlements  of  certain  tax  matters  with  authorities  in  the  U.S.  and  abroad.  The  Company  has 

excluded these benefits from adjusted net income and adjusted earnings per share due to their significance to 

both measurements and uncertainty as to their reoccurrence in the future.    

Since  adjusted  net  income  and  adjusted  earnings  per  share  are  not  measures  calculated  in  accordance  with 

GAAP,  they  should  not  be  considered  as  a  substitute  for  other  GAAP  measures,  including  net  income  and 
-26- 

 
 
 
earnings  per  share  as  indicators  of  operating  performance.  Accordingly,  adjusted  net  income  and  adjusted 

earnings  per  diluted  share  are  reconciled  below  to  net  income  and  earnings  per  share  on  a  GAAP  basis,  for 

fiscal years 2008 and 2007. 

Reconciliation of Non-GAAP Financial Disclosure 

Net Income (in thousands) 

For the Years  
Ended April 30, 

       2008 

        2007 

As Reported 

$147,536 

$99,619 

Deferred Tax Benefit on Changes in Statutory Rates 

(18,663) 

- 

Tax Benefits on The Finalization of Audits  

- 

(5,468) 

Adjusted  

$128,873 

$94,151 

Earnings Per Diluted Share 

As Reported 

For the Years  
Ended April 30, 

 2008 

 2007 

$2.49 

$1.71 

Deferred Tax Benefit on Changes in Statutory Rates 

(0.31) 

- 

Tax Benefits on The Finalization of Audits 

- 

(0.09) 

Adjusted  

$2.17 

$1.62 

Fiscal Year 2008 Segment Results 

During  fiscal  year  2008,  the  Company  began  developing  a  global  organizational  management  structure 

(cid:72)(cid:81)(cid:70)(cid:82)(cid:80)(cid:83)(cid:68)(cid:86)(cid:86)(cid:76)(cid:81)(cid:74)(cid:3)(cid:58)(cid:76)(cid:79)(cid:72)(cid:92)(cid:182)(cid:86)(cid:3)(cid:87)(cid:75)(cid:85)(cid:72)(cid:72)(cid:3)(cid:70)(cid:82)(cid:85)(cid:72)(cid:3)(cid:69)(cid:88)(cid:86)(cid:76)(cid:81)(cid:72)(cid:86)(cid:86)(cid:72)(cid:86)(cid:3)(cid:11)(cid:54)(cid:70)(cid:76)(cid:72)(cid:81)(cid:87)(cid:76)(cid:73)(cid:76)(cid:70)(cid:15)(cid:3)(cid:55)(cid:72)(cid:70)(cid:75)(cid:81)(cid:76)(cid:70)(cid:68)(cid:79)(cid:15)(cid:3)(cid:48)(cid:72)(cid:71)(cid:76)(cid:70)(cid:68)(cid:79)(cid:3)(cid:68)(cid:81)(cid:71)(cid:3) (cid:54)(cid:70)(cid:75)(cid:82)(cid:79)(cid:68)(cid:85)(cid:79)(cid:92)(cid:30)(cid:3)(cid:51)(cid:85)(cid:82)(cid:73)(cid:72)(cid:86)(cid:86)(cid:76)(cid:82)(cid:81)(cid:68)(cid:79)(cid:3)(cid:55)(cid:85)(cid:68)(cid:71)(cid:72)(cid:3)
and  Higher  Education).    The  global  organizationa(cid:79)(cid:3) (cid:86)(cid:87)(cid:85)(cid:88)(cid:70)(cid:87)(cid:88)(cid:85)(cid:72)(cid:3) (cid:90)(cid:76)(cid:79)(cid:79)(cid:3) (cid:72)(cid:81)(cid:75)(cid:68)(cid:81)(cid:70)(cid:72)(cid:3) (cid:87)(cid:75)(cid:72)(cid:3) (cid:38)(cid:82)(cid:80)(cid:83)(cid:68)(cid:81)(cid:92)(cid:182)(cid:86)(cid:3) (cid:68)(cid:69)(cid:76)(cid:79)(cid:76)(cid:87)(cid:92)(cid:3) (cid:87)(cid:82)(cid:3) (cid:79)(cid:72)(cid:89)(cid:72)(cid:85)(cid:68)(cid:74)(cid:72)(cid:3)
content,  services  and  capabilities  around  the  world  to  better  serve  authors,  society  partners  and  customers.  

During the first quarter of fiscal  year  2009, the transition  of all operational and financial systems necessary to 

support a global organization was finalized.  As a result of this process, in the first quarter of fiscal year 2009 the 

Company  began  reporting  its  financial  results  for  the  three  global  businesses  as  separate  business  segments 

and separately reported financial data for shared service functions which are centrally managed for the benefit 

of all the global businesses.  

(cid:44)(cid:81)(cid:3) (cid:70)(cid:82)(cid:81)(cid:81)(cid:72)(cid:70)(cid:87)(cid:76)(cid:82)(cid:81)(cid:3) (cid:90)(cid:76)(cid:87)(cid:75)(cid:3) (cid:87)(cid:75)(cid:72)(cid:3) (cid:76)(cid:81)(cid:87)(cid:72)(cid:74)(cid:85)(cid:68)(cid:87)(cid:76)(cid:82)(cid:81)(cid:3) (cid:82)(cid:73)(cid:3) (cid:37)(cid:79)(cid:68)(cid:70)(cid:78)(cid:90)(cid:72)(cid:79)(cid:79)(cid:3) (cid:51)(cid:88)(cid:69)(cid:79)(cid:76)(cid:86)(cid:75)(cid:76)(cid:81)(cid:74)(cid:3) (cid:47)(cid:87)(cid:71)(cid:17)(cid:3) (cid:11)(cid:179)(cid:37)(cid:79)(cid:68)(cid:70)(cid:78)(cid:90)(cid:72)(cid:79)(cid:79)(cid:180)(cid:12)(cid:15)(cid:3) (cid:87)(cid:75)(cid:72)(cid:3) (cid:38)(cid:82)(cid:80)(cid:83)(cid:68)(cid:81)(cid:92)(cid:3) (cid:70)(cid:82)(cid:81)(cid:73)(cid:82)(cid:85)(cid:80)(cid:72)(cid:71)(cid:3) (cid:87)(cid:75)(cid:72)(cid:3)
classification  of  certain  accounts  in  the  Statements  of  Income  and  Segment  Reporting  and  realigned  certain 

product lines in our segment reporting to correspond with management responsibility.  In addition, the Company 

reclassified  foreign  exchange  transaction  gains  and  losses  previously  reported  as  a  component  of  direct 

contribution to profit to a separate distinguishable line below operating income.  All prior year periods have been 
(cid:85)(cid:72)(cid:86)(cid:87)(cid:68)(cid:87)(cid:72)(cid:71)(cid:3) (cid:73)(cid:82)(cid:85)(cid:3) (cid:70)(cid:82)(cid:80)(cid:83)(cid:68)(cid:85)(cid:68)(cid:69)(cid:76)(cid:79)(cid:76)(cid:87)(cid:92)(cid:17)(cid:3) (cid:3) (cid:55)(cid:75)(cid:72)(cid:86)(cid:72)(cid:3) (cid:70)(cid:75)(cid:68)(cid:81)(cid:74)(cid:72)(cid:86)(cid:3) (cid:75)(cid:68)(cid:71)(cid:3) (cid:81)(cid:82)(cid:3) (cid:76)(cid:80)(cid:83)(cid:68)(cid:70)(cid:87)(cid:3) (cid:82)(cid:81)(cid:3) (cid:58)(cid:76)(cid:79)(cid:72)(cid:92)(cid:182)(cid:86)(cid:3) (cid:70)(cid:82)(cid:81)(cid:86)(cid:82)(cid:79)(cid:76)(cid:71)(cid:68)(cid:87)(cid:72)(cid:71)(cid:3) revenue,  net  income  or 
earnings per share. 

-27- 

 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Scientific, Technical, Medical and Scholarly (STMS):  

Dollars in thousands 
Revenue 
Direct Contribution 
Contribution Margin 

 2008 
$975,797 
$384,170 
   39.4% 

 2007 
$562,675 
$240,446 
    42.7% 

% change 
73% 
60% 

Global  STMS  revenue  for  fiscal  year  2008  grew  73%  over  prior  year  to  $975.8  million,  or  71%  excluding  the 

(cid:73)(cid:68)(cid:89)(cid:82)(cid:85)(cid:68)(cid:69)(cid:79)(cid:72)(cid:3)(cid:76)(cid:80)(cid:83)(cid:68)(cid:70)(cid:87)(cid:3)(cid:82)(cid:73)(cid:3)(cid:73)(cid:82)(cid:85)(cid:72)(cid:76)(cid:74)(cid:81)(cid:3)(cid:72)(cid:91)(cid:70)(cid:75)(cid:68)(cid:81)(cid:74)(cid:72)(cid:17)(cid:3)(cid:3)(cid:53)(cid:72)(cid:89)(cid:72)(cid:81)(cid:88)(cid:72)(cid:3)(cid:74)(cid:85)(cid:82)(cid:90)(cid:87)(cid:75)(cid:3)(cid:76)(cid:81)(cid:70)(cid:79)(cid:88)(cid:71)(cid:72)(cid:86)(cid:3)(cid:37)(cid:79)(cid:68)(cid:70)(cid:78)(cid:90)(cid:72)(cid:79)(cid:79)(cid:182)(cid:86)(cid:3)(cid:82)(cid:83)(cid:72)(cid:85)(cid:68)(cid:87)(cid:76)(cid:81)(cid:74)(cid:3)(cid:85)(cid:72)(cid:86)(cid:88)(cid:79)(cid:87)(cid:86)(cid:3)(cid:86)(cid:76)(cid:81)(cid:70)(cid:72)(cid:3)(cid:41)(cid:72)(cid:69)(cid:85)(cid:88)(cid:68)(cid:85)(cid:92)(cid:3)(cid:21)(cid:15)(cid:3)
2007,  the  date  of  the  acquisition.  Blackwell  revenue  for  fiscal  years  2008  and  2007  was  $485.2  million  and 

$105.8  million,  respectively.    Global  STMS  revenue  advanced  4%  for  the  full  year,  excluding  Blackwell  and 

favorable foreign exchange.  Revenue growth was mainly attributable to solid global journal subscription growth 

and book growth in Asia.  

Direct contribution to profit for fiscal year 2008 increased 60% over fiscal year 2007 to $384.2 million.  Blackwell 

direct  contribution  to  profit  was  $174.1  million  and  $29.1  million  for  fiscal  years  2008  and  2007,  respectively. 

Included  in  Blackwell  operating  and  administrative  expenses  are  approximately  $21  million  of  transition  and 

integration  related  costs.      Global  STMS  direct  contribution  to  profit  excluding  Blackwell  was  $210.1  million. 

Excluding favorable foreign exchange and Blackwell, direct contribution to profit was flat with the prior year as 

revenue  growth  was  offset  by  increased  production  costs  associated  with  new  journal  titles,  higher  marketing 

costs and consulting fees.  

Over the course of the year, the Company added 65 society journals, renewed or extended 74 journals, and lost 

only 3 journals to competitors. In the fourth quarter, the American Cancer Society (ACS) selected the Company 

to  publish  CA,  beginning  in  January  2009.    Wiley  and  the  ACS  already  collaborate  on  Cancer  and  Cancer 

Cytopathology.    Wiley  was  also  chosen  by  the  Triological  Society  to  publish  The  Laryngoscope,  a  venerable 

journal  first  published  in  1896,  and  the  Society  of  Plastics  Engineers,  to  publish  Plastics  Engineering,  a  news 

magazine delivering the latest information for the global market in machinery, materials, plastics processing and 

all matters relating to the plastics industry.  

During  the  fiscal  year,  Wiley  signed  agreements  with  the  Society  for  Science  and  the  Public  to  electronically 

distribute its news magazine,  Science News, and to designate the Wiley-published journal,  Statistical Analysis 
and  Data  Mining,  (cid:68)(cid:86)(cid:3) (cid:179)(cid:68)(cid:81)(cid:3) (cid:82)(cid:73)(cid:73)(cid:76)(cid:70)(cid:76)(cid:68)(cid:79)(cid:3) (cid:77)(cid:82)(cid:88)(cid:85)(cid:81)(cid:68)(cid:79)(cid:3) (cid:82)(cid:73)(cid:3) (cid:87)(cid:75)(cid:72)(cid:3) (cid:36)(cid:80)(cid:72)(cid:85)(cid:76)(cid:70)(cid:68)(cid:81)(cid:3) (cid:54)(cid:87)(cid:68)(cid:87)(cid:76)(cid:86)(cid:87)(cid:76)(cid:70)(cid:68)(cid:79)(cid:3) (cid:36)(cid:86)(cid:86)(cid:82)(cid:70)(cid:76)(cid:68)(cid:87)(cid:76)(cid:82)(cid:81)(cid:3) (cid:11)(cid:36)(cid:54)(cid:36)(cid:12)(cid:15)(cid:180)(cid:3) (cid:55)(cid:75)(cid:72)(cid:3) (cid:36)(cid:54)(cid:36)(cid:3) (cid:90)(cid:76)(cid:79)(cid:79)(cid:3) (cid:68)(cid:79)(cid:86)(cid:82)(cid:3)
collaborate with Wiley on the editorial direction, strategy and process for this new cross-disciplinary publication.   

Wiley reached an agreement to publish the quarterly Canadian Journal of Statistics in fiscal year 2009 on behalf 
of  the  Statistical  Society  of  (cid:38)(cid:68)(cid:81)(cid:68)(cid:71)(cid:68)(cid:17)(cid:3) (cid:3) (cid:55)(cid:75)(cid:72)(cid:86)(cid:72)(cid:3) (cid:87)(cid:90)(cid:82)(cid:3) (cid:68)(cid:74)(cid:85)(cid:72)(cid:72)(cid:80)(cid:72)(cid:81)(cid:87)(cid:86)(cid:3) (cid:85)(cid:72)(cid:76)(cid:81)(cid:73)(cid:82)(cid:85)(cid:70)(cid:72)(cid:3) (cid:87)(cid:75)(cid:72)(cid:3) (cid:38)(cid:82)(cid:80)(cid:83)(cid:68)(cid:81)(cid:92)(cid:182)(cid:86)(cid:3) (cid:79)(cid:72)(cid:68)(cid:71)(cid:72)(cid:85)(cid:86)(cid:75)(cid:76)(cid:83)(cid:3) (cid:76)(cid:81)(cid:3) (cid:86)(cid:87)(cid:68)(cid:87)(cid:76)(cid:86)(cid:87)(cid:76)(cid:70)(cid:86)(cid:3)
publishing.   

The Scandinavian Plant Physiology Society renewed the publishing agreement for one of its key plant science 

journals, Physiologia Plantarum. A new agreement was signed for Economic Geography, the leading journal in 

its  field.    The  Australian  Anthropological  Society  chose  STMS  as  publisher  of  the  Australian  Journal  of 

Anthropology.    The Certified Public Accountants of Australia selected STMS to publish  Australian  Accounting 

Review.    STMS  entered  into  a  collaborative  agreement  with  the  Association  for  the  Study  of  Ethnicity  and 

Nationalism to publish, Studies in Ethnicity and Nationalism and Nations and Nationalism.   

In January 2008, legislation was passed in the U.S. mandating the NIH Public Access Policy.  Under this policy, 

all research funded by the National Institutes of Health (NIH) must be made available to the public free of charge 

-28- 

 
 
 
 
  
 
 
after  a  12-month  embargo.    Wiley  will  support  its  authors  by  complying  on  their  behalf  through  posting  the 

accepted journal articles written by NIH grant-holders to PubMedCentral.   

In fiscal year 2008, Wiley nearly doubled its Online Books offering.  Over 6,000 titles are now available on Wiley 

InterScience, including approximately 1,700 Blackwell books. 

STMS  published  a  new  edition  of  the  Five  Minute  Veterinary  Consult  as  a  workflow  tool  on  Personal  Digital 

Assistants  (PDAs).    This  best-selling  reference  book  is  now  delivered  to  the  point  of  care,  providing 

veterinarians  in  the  field  with  easy  access  to  medical  data.    The  service  provides  for  instant  information  on 

diagnostic signs, causes of the disease, treatment protocols, medicines and dosage.  

Several STMS publications were highlighted by the media and honored with awards during the year.  The British 

Medical  Association recognized eleven STMS publications with book awards and the  Association of American 

Publishers Professional and Scholarly Publishing Awards for Excellence named  Mind, Brain, and Education as 
(cid:87)(cid:75)(cid:72)(cid:3)(cid:179)(cid:37)(cid:72)(cid:86)(cid:87)(cid:3)(cid:49)(cid:72)(cid:90)(cid:3)(cid:45)(cid:82)(cid:88)(cid:85)(cid:81)(cid:68)(cid:79)(cid:3)(cid:76)(cid:81)(cid:3)(cid:21)(cid:19)(cid:19)(cid:26)(cid:17)(cid:180)(cid:3)(cid:3)Blackwell Reference Online, which was enhanced by the addition of many new 
titles during the year, was cited by Choice (cid:68)(cid:86)(cid:3)(cid:179)(cid:68)(cid:81)(cid:3)(cid:82)(cid:88)(cid:87)(cid:86)(cid:87)(cid:68)(cid:81)(cid:71)(cid:76)(cid:81)(cid:74)(cid:3)(cid:68)(cid:70)(cid:68)(cid:71)(cid:72)(cid:80)(cid:76)(cid:70)(cid:3)(cid:85)(cid:72)(cid:86)(cid:82)(cid:88)(cid:85)(cid:70)(cid:72)(cid:17)(cid:180)(cid:3)(cid:3) 

The Hospitalist, which STMS publishes with the Society of Hospital Medicine (SHM), received two awards from 

the American Society of Healthcare Publication Editors: Bronze for Best Custom Publication and Gold for Best 

Regular Staff-Written column.  Earlier in the year, in conjunction with SHM, Wiley launched "Wachter's World," a 

blog written by Dr. Robert M. Wachter, which addresses current issues in hospital care and inpatient medicine.  

Dr. Wachter is co-founder of SHM.  

In Asia, fiscal year 2008 offered the first glimpse of the powerful combination of Blackwell and Wiley.  The efforts 

(cid:88)(cid:81)(cid:71)(cid:72)(cid:85)(cid:87)(cid:68)(cid:78)(cid:72)(cid:81)(cid:3) (cid:87)(cid:82)(cid:3) (cid:69)(cid:88)(cid:76)(cid:79)(cid:71)(cid:3) (cid:58)(cid:76)(cid:79)(cid:72)(cid:92)(cid:182)(cid:86)(cid:3) (cid:81)(cid:72)(cid:90)(cid:72)(cid:86)(cid:87)(cid:3) (cid:54)(cid:55)(cid:48)(cid:54)(cid:3) (cid:83)(cid:88)(cid:69)(cid:79)(cid:76)(cid:86)(cid:75)(cid:76)(cid:81)(cid:74)(cid:3) (cid:70)(cid:72)(cid:81)(cid:87)(cid:72)(cid:85)(cid:3) (cid:76)(cid:81)(cid:3) (cid:36)(cid:86)(cid:76)(cid:68)(cid:15)(cid:3) (cid:90)(cid:75)(cid:76)(cid:79)(cid:72)(cid:3) (cid:70)(cid:82)(cid:81)(cid:86)(cid:82)(cid:79)(cid:76)(cid:71)(cid:68)(cid:87)(cid:76)(cid:81)(cid:74)(cid:3) (cid:58)(cid:76)(cid:79)(cid:72)(cid:92)(cid:3) (cid:68)(cid:81)(cid:71)(cid:3) (cid:37)(cid:79)(cid:68)(cid:70)(cid:78)(cid:90)(cid:72)(cid:79)(cid:79)(cid:3)
operations,  produced  strong  book  revenue  growth,  especially  in  Southeast  Asia,  China,  and  India.  The 

Microscopy & Analysis Directory 2008 published during the fourth quarter to strong response.  The Directory is 

primarily a print product with an online counterpart.  In addition, two new major reference works were launched 

on Wiley InterScience, following their print publication earlier in the year:  Handbook of Biosensors and Biochips 

by Robert S. Marks and Encyclopedia of Statistics in Quality and Reliability by Fabrizio Ruggeri, Ron S. Kennett 

and Frederick W. Faltin.  

During the year, Wiley signed an agreement with the Novartis Foundation to digitize the Ciba Foundation series 

(cid:73)(cid:85)(cid:82)(cid:80)(cid:3)(cid:76)(cid:87)(cid:86)(cid:3)(cid:69)(cid:72)(cid:74)(cid:76)(cid:81)(cid:81)(cid:76)(cid:81)(cid:74)(cid:3)(cid:76)(cid:81)(cid:3)(cid:20)(cid:28)(cid:24)(cid:22)(cid:3)(cid:88)(cid:83)(cid:3)(cid:87)(cid:82)(cid:3)(cid:20)(cid:28)(cid:27)(cid:25)(cid:3)(cid:90)(cid:75)(cid:72)(cid:81)(cid:3)(cid:58)(cid:76)(cid:79)(cid:72)(cid:92)(cid:3)(cid:69)(cid:72)(cid:70)(cid:68)(cid:80)(cid:72)(cid:3)(cid:87)(cid:75)(cid:72)(cid:3)(cid:41)(cid:82)(cid:88)(cid:81)(cid:71)(cid:68)(cid:87)(cid:76)(cid:82)(cid:81)(cid:182)(cid:86)(cid:3)(cid:83)(cid:88)(cid:69)(cid:79)(cid:76)(cid:86)(cid:75)(cid:72)(cid:85)(cid:17)(cid:3)(cid:3)(cid:55)(cid:75)(cid:72)(cid:3)(cid:70)(cid:82)(cid:79)(cid:79)(cid:72)(cid:70)(cid:87)(cid:76)(cid:82)(cid:81)(cid:3)(cid:90)(cid:76)(cid:79)(cid:79)(cid:3)(cid:82)(cid:81)(cid:79)(cid:92)(cid:3)
be available electronically as a complete set or as separate volumes with individual chapters downloadable from 

Wiley InterScience.  

Professional/Trade (P/T):  

Dollars in thousands 
Revenue 
Direct Contribution 
Contribution Margin 

2008 
$471,785 
$136,619 
   29.0% 

 2007 
$456,820 
$127,841 
  28.0% 

% change 
3% 
7% 

Global P/T revenue for fiscal year 2008 advanced 3% to $471.8 million from $456.8 million in the previous year, 

or 2% excluding the favorable impact of foreign exchange.  Revenue was adversely affected by sluggish market 

conditions, tight inventory  management by some key accounts late in the fiscal year and higher sales returns.  

Growth during the year was principally in business, psychology, technology and general interest programs and 

the sale of rights and brand licensing.  Revenue from indigenous  Dummies titles in Europe also contributed to 

the growth.  

-29- 

 
 
 
 
 
 
 
Direct contribution to profit for fiscal year 2008 improved 7% to $136.6 million, or 5% excluding favorable foreign 

exchange.      The  improvement  for  the  year  was  principally  due  to  the  favorable  year-on-year  effect  of  a  $4.4 

million  bad  debt  provision  recorded  in  fiscal  year  2007  related  to  the  bankruptcy  of  Advanced  Marketing 

Services  and  an  approximate  $2.0  million  recovery  of  that  bad  debt  in  the  current  fiscal  year.  In  addition,  the 

effect  of  lower  variable  incentive  compensation  on  direct  contribution  margin  was  partially  offset  by  higher 

inventory obsolescence provisions.  

Highlights for fiscal year 2008 included the publication of the fifth title in the best-selling Little Book series, The 

Little Book That Builds Wealth: The Knockout Formula for Finding Great Investments  by Pat Dorsey; two firsts 
(cid:73)(cid:85)(cid:82)(cid:80)(cid:3)(cid:87)(cid:75)(cid:72)(cid:3)(cid:41)(cid:82)(cid:85)(cid:3)(cid:39)(cid:88)(cid:80)(cid:80)(cid:76)(cid:72)(cid:86)(cid:3)(cid:87)(cid:72)(cid:70)(cid:75)(cid:81)(cid:82)(cid:79)(cid:82)(cid:74)(cid:92)(cid:3)(cid:79)(cid:76)(cid:86)(cid:87)(cid:15)(cid:3)(cid:87)(cid:75)(cid:72)(cid:3)(cid:76)(cid:81)(cid:68)(cid:88)(cid:74)(cid:88)(cid:85)(cid:68)(cid:79)(cid:3)(cid:179)(cid:71)(cid:82)-it-(cid:92)(cid:82)(cid:88)(cid:85)(cid:86)(cid:72)(cid:79)(cid:73)(cid:180)(cid:3)(cid:87)(cid:76)(cid:87)(cid:79)(cid:72)(cid:15)(cid:3)Web Sites Do-It-Yourself For Dummies, 
(cid:68)(cid:81)(cid:71)(cid:3)(cid:87)(cid:75)(cid:72)(cid:3)(cid:73)(cid:76)(cid:85)(cid:86)(cid:87)(cid:3)(cid:87)(cid:76)(cid:87)(cid:79)(cid:72)(cid:3)(cid:87)(cid:68)(cid:85)(cid:74)(cid:72)(cid:87)(cid:72)(cid:71)(cid:3)(cid:68)(cid:87)(cid:3)(cid:87)(cid:75)(cid:72)(cid:3)(cid:179)(cid:82)(cid:89)(cid:72)(cid:85)-(cid:24)(cid:19)(cid:180)(cid:3)(cid:70)(cid:82)(cid:81)(cid:86)(cid:88)(cid:80)(cid:72)(cid:85)(cid:15)(cid:3)Computers For Seniors For Dummies.  Quarter highlights 
(cid:68)(cid:79)(cid:86)(cid:82)(cid:3)(cid:76)(cid:81)(cid:70)(cid:79)(cid:88)(cid:71)(cid:72)(cid:71)(cid:3)(cid:45)(cid:76)(cid:80)(cid:3)(cid:43)(cid:76)(cid:74)(cid:75)(cid:87)(cid:82)(cid:90)(cid:72)(cid:85)(cid:182)(cid:86)(cid:3)Swim against the Current: Even a Dead Fish Can Go With the Flow; Heaven and 
Hell: My Life in the Eagles (1974-2001) by Don Felder; (cid:55)(cid:75)(cid:72)(cid:3)(cid:36)(cid:85)(cid:70)(cid:75)(cid:76)(cid:87)(cid:72)(cid:70)(cid:87)(cid:182)(cid:86)(cid:3)(cid:43)(cid:68)(cid:81)(cid:71)(cid:69)(cid:82)(cid:82)(cid:78)(cid:3)(cid:82)(cid:73)(cid:3)(cid:51)(cid:85)(cid:82)(cid:73)(cid:72)(cid:86)(cid:86)(cid:76)(cid:82)(cid:81)(cid:68)(cid:79)(cid:3)(cid:51)(cid:85)(cid:68)(cid:70)(cid:87)(cid:76)(cid:70)(cid:72), 14th 
edition,  edited  by  the  American  Institute  of  Architects;  (cid:38)(cid:79)(cid:76)(cid:81)(cid:76)(cid:70)(cid:76)(cid:68)(cid:81)(cid:182)(cid:86)(cid:3) (cid:42)(cid:88)(cid:76)(cid:71)(cid:72)(cid:3) (cid:87)(cid:82)(cid:3) (cid:55)(cid:85)(cid:72)(cid:68)(cid:87)(cid:76)(cid:81)(cid:74)(cid:3) (cid:54)(cid:87)(cid:85)(cid:72)(cid:86)(cid:86)(cid:3) (cid:36)(cid:73)(cid:87)(cid:72)(cid:85)(cid:3) (cid:58)(cid:68)(cid:85)  and 
Strategies for Managing Stress After War, both by Julia M. Whealin, Lori T. DeCarvalho and Edward M. Vega; 

and the four-volume reference work, Comprehensive Handbook of Social Work and Social Welfare by Karen M. 

Sowers and Catherine N. Dulmus. 

New timely P/T environmental titles,  Green Building and Remodeling for Dummies, Green Living for Dummies 

and Solar Power Your Home for Dummies, sold well during the year. Previously published titles continued to sell 

well throughout the  year, including  Weight Watchers New Complete Cookbook and Weight Watchers All-Time 
Favorites(cid:15)(cid:3) (cid:68)(cid:79)(cid:82)(cid:81)(cid:74)(cid:3) (cid:90)(cid:76)(cid:87)(cid:75)(cid:3) (cid:48)(cid:68)(cid:85)(cid:78)(cid:3) (cid:37)(cid:76)(cid:87)(cid:87)(cid:80)(cid:68)(cid:81)(cid:182)(cid:86)(cid:15)(cid:3) How  to  Cook  Everything  Vegetarian.    The  Kouzes/Posner  Leadership 
Challenge (cid:68)(cid:81)(cid:71)(cid:3)(cid:51)(cid:68)(cid:87)(cid:85)(cid:76)(cid:70)(cid:78)(cid:3)(cid:47)(cid:72)(cid:81)(cid:70)(cid:76)(cid:82)(cid:81)(cid:76)(cid:182)(cid:86)(cid:3)(cid:86)(cid:88)(cid:76)(cid:87)(cid:72)(cid:3)(cid:82)(cid:73)(cid:3)(cid:79)(cid:72)(cid:68)(cid:71)(cid:72)(cid:85)(cid:86)(cid:75)(cid:76)(cid:83)(cid:3)(cid:87)(cid:76)(cid:87)(cid:79)(cid:72)(cid:86)(cid:3)(cid:75)(cid:68)(cid:71)(cid:3)(cid:86)(cid:87)(cid:85)(cid:82)(cid:81)(cid:74)(cid:3)(cid:92)(cid:72)(cid:68)(cid:85)(cid:86)(cid:17)(cid:3)(cid:37)(cid:82)(cid:82)(cid:78)(cid:86)(cid:3)(cid:73)(cid:72)(cid:68)(cid:87)(cid:88)(cid:85)(cid:72)(cid:71)(cid:3)(cid:82)(cid:81)(cid:3)(cid:80)(cid:68)(cid:77)(cid:82)(cid:85)(cid:3)(cid:69)(cid:72)(cid:86)(cid:87)(cid:86)(cid:72)(cid:79)(cid:79)(cid:72)(cid:85)(cid:3)
lists  included  Five  Dysfunctions  of  a  Team  by  Patrick  Lencioni;  Ready,  Fire,  Aim:  Zero  to  $100  Million  in  No 
Time  Flat  by  Michael  Masterson;  (cid:45)(cid:17)(cid:46)(cid:17)(cid:3) (cid:47)(cid:68)(cid:86)(cid:86)(cid:72)(cid:85)(cid:182)(cid:86)(cid:3) (cid:60)(cid:82)(cid:88)(cid:85)(cid:3) (cid:44)(cid:81)(cid:70)(cid:82)(cid:80)(cid:72)(cid:3) (cid:55)(cid:68)(cid:91)(cid:3) (cid:21)(cid:19)(cid:19)(cid:28);  Staring  at  the  Sun:  Overcoming  the 
Terror of Death by Irvin D. Yalom; How: Why How We Do Anything Means Everything...in Business (and in Life) 

by Dov Seidman; and Swim against the Current: Even a Dead Fish Can Go With the Flow by Jim Hightower. 

Several  P/T  books  received  considerable  media  and  customer  attention  during  the  year,  including:  Fred 
(cid:46)(cid:68)(cid:83)(cid:79)(cid:68)(cid:81)(cid:182)(cid:86)(cid:3) Daydream  Believers:  How  a  Few  Grand  Ideas  Wrecked  American  Power,  which  was  reviewed 
prominently  in  the  New  York  Times(cid:182)(cid:86)(cid:3) (cid:36)(cid:85)(cid:87)(cid:86)(cid:3) (cid:54)(cid:72)(cid:70)(cid:87)(cid:76)(cid:82)(cid:81)(cid:15)(cid:3) (cid:82)(cid:81)(cid:3) (cid:49)(cid:68)(cid:87)(cid:76)(cid:82)(cid:81)(cid:68)(cid:79)(cid:3) (cid:51)(cid:88)(cid:69)(cid:79)(cid:76)(cid:70)(cid:3) (cid:53)(cid:68)(cid:71)(cid:76)(cid:82)(cid:15)(cid:3) (cid:48)(cid:54)(cid:49)(cid:37)(cid:38)(cid:3) (cid:68)(cid:81)(cid:71)(cid:3) (cid:76)(cid:81)(cid:3) (cid:85)(cid:72)(cid:74)(cid:76)(cid:82)(cid:81)(cid:68)(cid:79)(cid:3) (cid:80)(cid:72)(cid:71)(cid:76)(cid:68)(cid:17)(cid:3)(cid:3)
Swim  against  the  Current:  Even  a  Dead  Fish  Can  Go  with  the  Flow  by  Jim  Hightower  received  national  radio 
(cid:68)(cid:81)(cid:71)(cid:3) (cid:81)(cid:72)(cid:90)(cid:86)(cid:83)(cid:68)(cid:83)(cid:72)(cid:85)(cid:3) (cid:68)(cid:87)(cid:87)(cid:72)(cid:81)(cid:87)(cid:76)(cid:82)(cid:81)(cid:17)(cid:3) (cid:3) (cid:48)(cid:68)(cid:85)(cid:78)(cid:3) (cid:37)(cid:76)(cid:87)(cid:87)(cid:80)(cid:68)(cid:81)(cid:182)(cid:86)(cid:3) How  to  Cook  Everything  Vegetarian  continued  to  garner  national 
(cid:80)(cid:72)(cid:71)(cid:76)(cid:68)(cid:3)(cid:68)(cid:87)(cid:87)(cid:72)(cid:81)(cid:87)(cid:76)(cid:82)(cid:81)(cid:15)(cid:3)(cid:86)(cid:88)(cid:83)(cid:83)(cid:82)(cid:85)(cid:87)(cid:72)(cid:71)(cid:3)(cid:69)(cid:92)(cid:3)(cid:87)(cid:75)(cid:72)(cid:3)(cid:68)(cid:88)(cid:87)(cid:75)(cid:82)(cid:85)(cid:182)(cid:86)(cid:3)(cid:85)(cid:72)(cid:74)(cid:88)(cid:79)(cid:68)(cid:85)(cid:3)(cid:68)(cid:83)(cid:83)(cid:72)(cid:68)(cid:85)(cid:68)(cid:81)(cid:70)(cid:72)(cid:86)(cid:3)(cid:82)(cid:81)(cid:3)(cid:87)(cid:75)(cid:72) Today Show, the launch of his own New 
York  Times  (cid:69)(cid:79)(cid:82)(cid:74)(cid:15)(cid:3) (cid:179)(cid:37)(cid:76)(cid:87)(cid:87)(cid:72)(cid:81)(cid:15)(cid:180)(cid:3) (cid:68)(cid:81)(cid:71)(cid:3) (cid:68)(cid:3) (cid:70)(cid:82)(cid:79)(cid:88)(cid:80)(cid:81)(cid:3) (cid:76)(cid:81)(cid:3) (cid:48)(cid:72)(cid:81)(cid:182)(cid:86)(cid:3) (cid:43)(cid:72)(cid:68)(cid:79)(cid:87)(cid:75)  magazine.    Pauline  Frommer  continued  to  provide 
expert opinion in local and national media as an authority on budget travel. 

Several  P/T  titles  were  honored  with  awards  during  the  year.  The  International  Association  of  Culinary 
Professionals (IACP) named Fish Forever (cid:69)(cid:92)(cid:3)(cid:51)(cid:68)(cid:88)(cid:79)(cid:3)(cid:45)(cid:82)(cid:75)(cid:81)(cid:86)(cid:82)(cid:81)(cid:3)(cid:179)(cid:38)(cid:82)(cid:82)(cid:78)(cid:69)(cid:82)(cid:82)(cid:78)(cid:3)(cid:82)(cid:73)(cid:3)(cid:87)(cid:75)(cid:72)(cid:3)(cid:60)(cid:72)(cid:68)(cid:85)(cid:15)(cid:180)(cid:3)(cid:68)(cid:3)(cid:73)(cid:76)(cid:85)(cid:86)(cid:87)(cid:3)(cid:73)(cid:82)(cid:85)(cid:3)(cid:58)(cid:76)(cid:79)(cid:72)(cid:92)(cid:15)(cid:3)(cid:68)(cid:81)(cid:71)(cid:3)(cid:87)(cid:75)(cid:85)(cid:72)(cid:72)(cid:3)
Wiley cookbooks won best-in-category,  How to Cook  Everything Vegetarian by  Mark Bittman; Chocolates  and 

Confections by Peter C. Greweling and The Culinary Institute of America; and Fish Forever.  The Nautilus Book 

Awards  recognized  six Wiley  publications  that  contribute  to  positive  social  change,  spiritual  growth,  conscious 

living, high-level wellness and responsible leadership with silver awards.  

In fiscal year 2008 Wiley signed a contract with NYSE-Euronext to publish a series of introductory trading titles.  
Fiscal  year 2008 was a strong  year for P/T  digital initiatives, including the launch of the  (cid:58)(cid:72)(cid:69)(cid:86)(cid:87)(cid:72)(cid:85)(cid:182)(cid:86)(cid:3)(cid:49)(cid:72)(cid:90)(cid:3)(cid:58)(cid:82)(cid:85)(cid:79)(cid:71)(cid:3)
Web  site  and  JKLasser.com.    Frommers.com  included  its  first  sponsored  microsite,  Family  Vacations  with 

Sheraton  Hotels,  as  well  as  a  custom  site  for  Rail  Europe,  and  a  blog  by  Arthur  Frommer,  featuring  travel 

resources, tips, travel bargains, message boards and current events.  

-30- 

 
 
In  Europe,  P/T  had  a  solid  year  with  indigenous  For  Dummies  titles  and  P/T  English  language  products 
contributing to the results.  U.K. travel guides accelerated the global expansion of the (cid:41)(cid:85)(cid:82)(cid:80)(cid:80)(cid:72)(cid:85)(cid:182)(cid:86) brand outside 
North America.  During the year, P/T continued to diversify into corporate sales, custom publishing and travel in 

Europe, thereby opening new revenue streams.  Centre and in Second Life, the three-dimensional online virtual 

world.   

In fiscal year 2008, P/T was strong across most territories in Asia with frontlist performing well in a buoyant retail 

market.    Sell-through  was  strong  in  all  categories  with  business  and  finance  leading  the  way,  but  with 

technology following close behind.  Corporate sales, custom publishing, and translation licensing, involving titles 

such as The Future and Me: Power of Youth Market in Asia by MasterCard; A Guide to Asian High Yield Bonds: 

Financing  Growth  Enterprises  by  Florian  Schmidt  and  Adam  Harper,  The  Holy  Grail  of  Macro  Economics: 

Lessons  from  Japan's  Great  Recession  by  Richard  Koo  and  Hot  Commodities:  How  Anyone  Can  Invest 

Profitably in the World's Best Market by Jim Rogers, also drove growth. 

Higher Education: 

Dollars in thousands 
Revenue 
Direct Contribution 
Contribution Margin 

 2008 
$226,152 
  $68,270 
    30.2% 

 2007 
$215,146  
  $62,996  
   29.3% 

% change 
5% 
8% 

Global  Higher  Education  revenue  increased  5%  in  fiscal  year  2008  to  $226.2  million,  or  2%  excluding  the 

favorable impact of foreign exchange.  Solid performances by the science and business/accounting programs; 

sales  of  Microsoft  Official  Academic  Course  titles;  the  sale  of  translation  rights  and  reprints  and  growth  in  the 

Canadian  indigenous  publishing  program  were  offset  by  backlist  attrition  in  mathematics,  engineering  and  the 

social sciences.  

Direct  contribution  to  profit  for  fiscal  year  2008  advanced  8%  to  $68.3  million,  or  3%  excluding  the  favorable 

impact  of  foreign  exchange.    Excluding  the  favorable  impact  of  foreign  exchange,  direct  contribution  margin 

improved  41  basis  points to 29.7% mainly  due to revenue growth  and prudent  expense management partially 

offset by product mix.   

WileyPLUS  delivered  strong  results  in  fiscal  year  2008  with  sales  increasing  35%  over  prior  year,  and  digital-

only sales nearly doubling.  Student usage around the  world continued  to climb sharply,  with registered  users 
increasing  10%  in  the  U.S.  and  more  than  doubling  outside  the  U.S.    Seventeen  percent  of  (cid:58)(cid:76)(cid:79)(cid:72)(cid:92)(cid:51)(cid:47)(cid:56)(cid:54)(cid:182)  user 
base is located outside the U.S. WileyPLUS gained traction throughout the year, especially in the Middle East, 

where  a  new  adoption  was  won  earlier  this  year  in  Saudi  Arabia.    A  successful  class  test  was  conducted  in 

China  in  the  fourth  quarter.  WileyPLUS  ended  the  year  with  a  milestone  achievement,  the  validation  of  the 
500,000th student user in April. 

Online  sales  directly  to  students  grew  significantly  during  the  year.   Wiley  built  on  its  successful  relationships 

with  online  retailers  by  participating  in  a  number  of  marketing  promotions.    Wiley  also  continued  to  utilize 

CourseSmart  to  distribute  digital  complimentary  copies  to  faculty.    CourseSmart  is  a  venture  founded  by  six 

higher  education  publishers,  with  the  goal  of  providing  instructors  and  students  access  to  digital  course 

materials.    Launched  in  its  Beta  version  this  year,  CourseSmart  provides  thousands  of  textbooks  across 

hundreds of courses in an eTextbook format on a common platform.  Nearly 200 Wiley titles were available to 

professors through the site for their review.  

-31- 

 
 
 
 
 
 
 
 
 
During  the  year,  Wiley  signed  an  agreement  with  Economic  Modeling  Specialists,  Inc.  (EMSI),  a  provider  of 

detailed information about regional economies for assessment and planning purposes.  Under the agreement, 

EMSI will produce co-branded regional reports focusing on  the labor market demand for occupations linked to 

Wiley  Pathways  curricula,  which  cover  four  major  fields:  business,  emergency  management,  health  care 

management  and  information  technology.    The  reports  will  inform colleges  about  opportunities  for  developing, 

expanding or supporting related programs. 

Key  revisions  published  in  fiscal  year  2008  include  Psychology,  5th  edition,  by  Robin  M.  Kowalski  and  Drew 

Westen; Introduction to Finance: Markets, Investments, and Financial Management, 13th edition, by Ronald W. 

Melicher and Edgar A. Norton; Educational Psychology: Reflection for Action, 2nd edition, by Angela O'Donnell, 

Johnmarshall  Reeve,  and  Jeffrey  Smith;  Financial  Accounting  in  an  Economic  Context,  7th  edition,  by  Jamie 

Pratt;  Foundations  of  Multinational  Financial  Management,  6th  edition,  by  Alan  C.  Shapiro  and  Atulya  Sarin; 

Chemistry:  Structure  and  Dynamics,  4th  edition,  by  James  N.  Spencer,  George  M.  Bodner  and  Lyman  H. 

Rickard; and Principles of Anatomy and Physiology, 12th edition, by Gerard J. Tortora and Bryan H. Derrickson. 

Organizational  Behaviour  by  Dr.  Ray  French,  a  European  adaptation  of  a  successful  U.S.  Higher  Education 

textbook  by  John  Schermerhorn,  was  released  during  the  year.    A  showcase  Web  site,  featuring  video 

interviews for Managing Innovation: Integrating Technological, Market and Organizational Change by Joe Tidd, 
(cid:90)(cid:68)(cid:86)(cid:3)(cid:68)(cid:79)(cid:86)(cid:82)(cid:3)(cid:79)(cid:68)(cid:88)(cid:81)(cid:70)(cid:75)(cid:72)(cid:71)(cid:15)(cid:3)(cid:76)(cid:81)(cid:3)(cid:68)(cid:71)(cid:89)(cid:68)(cid:81)(cid:70)(cid:72)(cid:3)(cid:82)(cid:73)(cid:3)(cid:87)(cid:75)(cid:72)(cid:3)(cid:69)(cid:82)(cid:82)(cid:78)(cid:182)(cid:86)(cid:3)(cid:23)(cid:87)(cid:75)(cid:3)(cid:72)(cid:71)(cid:76)(cid:87)(cid:76)(cid:82)(cid:81)(cid:17)(cid:3)(cid:3) 

Higher Education experienced good results in China, Thailand, Japan and Indonesia, but this growth was offset 

by  sluggish  markets  in  Singapore  and  Taiwan.  With  several  new  Wiley  Precise  Edition  textbooks  publishing 

during the year, India delivered strong results.   Wiley experienced considerable success in the Canadian Higher 

Education  channel  with  a  25%  revenue  gain  from  WileyPLUS  and  excellent  results  from  the  indigenous 

publishing program. 

Shared Service and Administrative Costs  

Shared  services  and  administrative  costs  for  fiscal  year  2008  increased  35%  to  $363.9  million,  mainly  due  to 

$84.8  million  of  incremental  shared  service  and  administrative  costs  related  to  Blackwell.    Included  in  shared 

service  and  administrative  costs  are  Blackwell  transition  and  integration  costs  of  approximately  $21  million.  

Shared  services  and  administrative  costs,  excluding  Blackwell  and  unfavorable  foreign  exchange,  increased 

5%, mainly  due to higher  employment costs,  higher facility costs to support business growth and professional 

fees. 

Liquidity and Capital Resources 

(cid:55)(cid:75)(cid:72)(cid:3)(cid:38)(cid:82)(cid:80)(cid:83)(cid:68)(cid:81)(cid:92)(cid:182)(cid:86)(cid:3)(cid:70)(cid:68)(cid:86)(cid:75)(cid:3)(cid:68)(cid:81)(cid:71)(cid:3)(cid:70)(cid:68)(cid:86)(cid:75)(cid:3)(cid:72)(cid:84)(cid:88)(cid:76)(cid:89)(cid:68)(cid:79)(cid:72)(cid:81)(cid:87)(cid:86)(cid:3)(cid:69)(cid:68)(cid:79)(cid:68)(cid:81)(cid:70)(cid:72)(cid:3)(cid:90)(cid:68)(cid:86)(cid:3)(cid:7)(cid:20)02.8 million at the end of fiscal year 2009, compared 
with $59.3 million a year earlier. Cash provided by operating activities in fiscal year 2009 increased $61.1 million 

to $341.3 million due primarily to lower working capital, lower pension contributions, and higher cash earnings.  

The  improvement  in  working  capital  was  principally  due  to  lower  accounts  receivable  on  reduced  book  sales, 

income tax refunds, and increased accounts and royalties payable due to timing. The reduction in cash provided 

from  Deferred  Revenue  of  $35.3  million  was  primarily  due  to  the  effect  of  a  journal  billing  delay.  Cash  flow 

compared to the prior year was adversely affected by foreign exchange.  

Pension  contributions  in  fiscal  year  2009  were  $21.0  million,  compared  to  $59.4  million  in  the  prior  year.    In 

fiscal  year  2008,  new  regulations  in  the  U.S.  and  the  U.K.  required  companies  to  fully  fund  their  statutory 

pension  plans,  generally  within  seven  years.    Over  the  seven-year  transition  funding  period,  companies  face 

significantly  increased  levies  based  upon  present  funding  levels  and  restricted  flexibility  in  modifying  those 

plans.  The Company determined that it was appropriate, for both participants in the plans and the Company, to 
-32- 

 
 
 
accelerate  a  portion  of  the  newly  required  funding  in  fiscal  year  2008.    The  accelerated  funding  provides 

economic and earnings benefits to the Company in the form of a reduction in aggregate future cash funding to 

the  plans  and  accretion  to  future  earnings  over  the  seven-year  funding  transition  period.    In  addition,  it  will 

decrease  future  volatility  in  earnings  and  cash  flows,  and  provide  the  Company  flexibility  in  managing  those 

plans  involved.    The  accelerated  funding  was  approximately  $10  million  to  the  U.S.  statutory  plan  and 

approximately  $15  million  to  a  U.K.  statutory  plan.    In  addition,  in  fiscal  2008  the  Company  provided 

approximately $23 million of funding to the U.K. plan acquired with the Blackwell acquisition as anticipated. The 

Company anticipates making pension contributions in fiscal year 2010 of approximately $29 million.   

Cash  used  for  investing  activities  for  fiscal  year  2009  was  approximately  $201.6  million  compared  to  $170.2 

million  in  fiscal  year  2008.  The  Company  invested  $24.0  million  in  the  acquisition  of  publishing  businesses, 

assets and rights compared to $6.8 million in the prior year.  Cash used for property, equipment and technology 

and  product  development  increased  $14.3  million  in  fiscal  year  2009  versus  the  prior  year  with  product 

development  spending  increasing  approximately  $18.6  million  primarily  reflecting  higher  royalty  advances  to 

support business growth. 

Cash used in financing activities was $89.1 million in  fiscal  year 2009, as compared to  $124.5 million  in fiscal 

year  2008.  In  fiscal  2009,  cash  was  used  primarily  to  repurchase  shares,  pay  dividends  to  shareholders,  and 

repay  debt.  During  fiscal  year  2009,  the  Company  repurchased  one  million  shares  at  an  average  price  of 

$34.89. The Company increased its quarterly dividend to shareholders by 18% to $0.13 per share in fiscal year 

2009 from $0.11 per share in the prior year.  

The aggregate notional amount of interest rate swap agreements associated with the Term Loan and Revolving 

Credit Facility were $500 million as of April 30, 2009.  It is management's intention that the notional amount of 

the interest rate swap be less than the Term Loan and Revolving Credit Facility outstanding during the life of the 

derivative. 

(cid:55)(cid:75)(cid:72)(cid:3)(cid:38)(cid:82)(cid:80)(cid:83)(cid:68)(cid:81)(cid:92)(cid:182)(cid:86)(cid:3)(cid:82)(cid:83)(cid:72)(cid:85)(cid:68)(cid:87)(cid:76)(cid:81)(cid:74)(cid:3)(cid:70)(cid:68)(cid:86)(cid:75)(cid:3)(cid:73)(cid:79)(cid:82)(cid:90)(cid:3)(cid:76)(cid:86)(cid:3)(cid:68)(cid:73)(cid:73)(cid:72)(cid:70)(cid:87)(cid:72)(cid:71)(cid:3)(cid:69)(cid:92)(cid:3)(cid:87)(cid:75)(cid:72)(cid:3)(cid:86)(cid:72)(cid:68)(cid:86)(cid:82)(cid:81)(cid:68)(cid:79)(cid:76)(cid:87)(cid:92)(cid:3)(cid:68)(cid:81)(cid:71)(cid:3)(cid:87)(cid:76)(cid:80)(cid:76)(cid:81)(cid:74)(cid:3)(cid:82)(cid:73)(cid:3)(cid:85)(cid:72)(cid:70)(cid:72)(cid:76)(cid:83)(cid:87)(cid:86)(cid:3)(cid:73)(cid:85)(cid:82)(cid:80)(cid:3)(cid:76)(cid:87)(cid:86)(cid:3)(cid:54)(cid:55)(cid:48)(cid:54)(cid:3)(cid:77)(cid:82)(cid:88)(cid:85)(cid:81)(cid:68)(cid:79)(cid:3)
subscriptions and its Higher Education business.  Receipts for calendar year STMS subscription journals occur 

typically from November through January. Due to journal billing delays this year, the principal receipts period will 

extend into the first quarter of fiscal year 2010. Reference is made to the Credit Risk section, which follows, for a 
description  of the  impact on the Company  as it  (cid:85)(cid:72)(cid:79)(cid:68)(cid:87)(cid:72)(cid:86)(cid:3)(cid:87)(cid:82)(cid:3)(cid:77)(cid:82)(cid:88)(cid:85)(cid:81)(cid:68)(cid:79)(cid:3)(cid:68)(cid:74)(cid:72)(cid:81)(cid:87)(cid:86)(cid:182)(cid:3)(cid:73)(cid:76)(cid:81)(cid:68)(cid:81)(cid:70)(cid:76)(cid:68)(cid:79)(cid:3)(cid:83)(cid:82)(cid:86)(cid:76)(cid:87)(cid:76)(cid:82)(cid:81)(cid:3)(cid:68)(cid:81)(cid:71)(cid:3)(cid:79)(cid:76)(cid:84)(cid:88)(cid:76)(cid:71)(cid:76)(cid:87)(cid:92)(cid:17)(cid:3) (cid:54)(cid:68)(cid:79)(cid:72)(cid:86)(cid:3)
primarily  in  the  U.S.  higher  education  market  tend  to  be  concentrated  in  June  through  August,  and  again  in 

November  through  January.  Due  to  this  seasonality,  the  Company  normally  requires  increased  funds  for 

working capital from May through September. 

Global capital and credit markets have recently experienced increased volatility and disruption.   As of April 30, 

2009,  we  had  approximately  $822.4  million  of  debt  outstanding  and  approximately  $470.7  million  of  unused 

borrowing  capacity  under  the  Revolving  Credit  Facility  which  is  described  in  Note  12.    We  believe  that  our 

operating  cash  flow,  together  with  our  revolving  credit  facilities  and  other  available  debt  financing,  will  be 

adequate to meet our operating, investing and financing needs in the foreseeable future, although there can be 

no assurance that continued or increased volatility and disruption in the global capital and credit markets will not 

impair our ability to access these markets on terms commercially acceptable to us or at all.  

Working  capital  at  April  30,  2009  was  negative  $157.4  million.  Working  capital  is  negative  as  a  result  of 

including,  in  current  liabilities,  deferred  revenue  related  to  subscriptions  for  which  cash  has  been  collected  in 

advance. This deferred revenue will be recognized into income as the products are shipped or made available 

online to the customers over the term of the subscription. Current liabilities as of April 30, 2009 include $246.6 
million of such deferred subscription revenue for which cash was collected in advance.  

-33- 

 
 
 
 
 
The Company has adequate cash and cash equivalents available, as well as short-term lines of credit to finance 
its short-term seasonal working capital requirements. The Company does not have any off-balance-sheet debt. 

Projected product development and property, equipment and technology capital spending for fiscal year 2010 is 

forecast to be approximately $130 million and $50 million, respectively, primarily to enhance system functionality 

and drive future business growth. 

A  summary  of  contractual  obligations  and  commercial  commitments,  excluding  interest  charges  on  debt,  and 

unrecognized tax benefits further described in Note 11, as of April 30, 2009 is as follows:  

Contractual Obligations 
Total Debt 

Total 
$822.4 

Payments Due by Period 
2-3 
Years 
$421.9 

Within 
Year 1 
$67.5 

4-5 
Years 
$333.0 

Non-Cancelable Leases 

293.4 

Minimum Royalty Obligations 

193.1 

Other Commitments 

8.2 

37.0 

36.4 

6.3 

63.6 

65.7 

1.9 

54.3 

48.8 

- 

After 5 
Years 
- 

138.5 

42.2 

- 

Total 

Market Risk 

$1,317.1 

$147.2 

$553.1 

$436.1 

$180.7 

The Company is exposed to market risk primarily related to interest rates, foreign exchange, and credit risk. It is 

(cid:87)(cid:75)(cid:72)(cid:3)(cid:38)(cid:82)(cid:80)(cid:83)(cid:68)(cid:81)(cid:92)(cid:182)(cid:86)(cid:3)(cid:83)(cid:82)(cid:79)(cid:76)(cid:70)(cid:92)(cid:3)(cid:87)(cid:82)(cid:3)(cid:80)(cid:82)(cid:81)(cid:76)(cid:87)(cid:82)(cid:85)(cid:3)(cid:87)(cid:75)(cid:72)(cid:86)(cid:72)(cid:3)(cid:72)(cid:91)(cid:83)(cid:82)(cid:86)(cid:88)(cid:85)(cid:72)(cid:86)(cid:3)(cid:68)(cid:81)(cid:71)(cid:3)(cid:87)(cid:82)(cid:3)(cid:88)(cid:86)(cid:72)(cid:3)(cid:71)(cid:72)(cid:85)(cid:76)(cid:89)(cid:68)(cid:87)(cid:76)(cid:89)(cid:72)(cid:3)(cid:73)(cid:76)(cid:81)(cid:68)(cid:81)(cid:70)(cid:76)(cid:68)(cid:79)(cid:3)(cid:76)(cid:81)(cid:89)(cid:72)(cid:86)(cid:87)(cid:80)(cid:72)(cid:81)(cid:87)(cid:86)(cid:3)(cid:68)(cid:81)(cid:71)(cid:18)(cid:82)(cid:85)(cid:3)(cid:76)(cid:81)(cid:86)(cid:88)(cid:85)(cid:68)(cid:81)(cid:70)(cid:72)(cid:3)
contracts from time to time to reduce fluctuations in earnings and cash flows when it is deemed appropriate to 

do so. The Company does not use derivative financial instruments for trading or speculative purposes. 

Interest Rates: 

The Company had  $822.4 million of variable rate loans outstanding at April 30, 2009, which approximated fair 

value.    On  February  16,  2007,  the  Company  entered  into  an  interest  rate  swap  agreement,  designated  as  a 

(cid:70)(cid:68)(cid:86)(cid:75)(cid:3) (cid:73)(cid:79)(cid:82)(cid:90)(cid:3) (cid:75)(cid:72)(cid:71)(cid:74)(cid:72)(cid:3) (cid:68)(cid:86)(cid:3) (cid:71)(cid:72)(cid:73)(cid:76)(cid:81)(cid:72)(cid:71)(cid:3) (cid:88)(cid:81)(cid:71)(cid:72)(cid:85)(cid:3) (cid:54)(cid:41)(cid:36)(cid:54)(cid:3) (cid:49)(cid:82)(cid:17)(cid:3) (cid:20)(cid:22)(cid:22)(cid:15)(cid:3) (cid:179)(cid:36)(cid:70)(cid:70)(cid:82)(cid:88)(cid:81)(cid:87)(cid:76)(cid:81)(cid:74)(cid:3) (cid:73)(cid:82)(cid:85)(cid:3) (cid:39)(cid:72)(cid:85)(cid:76)(cid:89)(cid:68)(cid:87)(cid:76)(cid:89)(cid:72)(cid:3) (cid:44)(cid:81)(cid:86)(cid:87)(cid:85)(cid:88)(cid:80)(cid:72)(cid:81)(cid:87)(cid:86)(cid:3) (cid:68)(cid:81)(cid:71)(cid:3) (cid:43)(cid:72)(cid:71)(cid:74)(cid:76)(cid:81)(cid:74)(cid:3)
(cid:36)(cid:70)(cid:87)(cid:76)(cid:89)(cid:76)(cid:87)(cid:76)(cid:72)(cid:86)(cid:180)(cid:17)(cid:3)(cid:3)(cid:55)(cid:75)(cid:72)(cid:3)(cid:75)(cid:72)(cid:71)(cid:74)(cid:72)(cid:3)locked-in a portion of the variable interest due on a portion of the Term Loan. Under the 
terms of the interest rate swap, the Company pays a fixed rate of 5.076% and receives a variable rate of interest 

based on three month LIBOR (as defined) from the counter party which  is reset every three months for a four-

year period ending February 8, 2011. The notional amount of the rate swap was initially $660 million which will 

decline through February 8, 2011, based on the expected amortization of the Term Loan.  As of April 30, 2009, 

the notional amount of the rate swap was $400 million.   

On  October  19,  2007,  the  Company  entered  into  an  additional  interest  rate  swap  agreement  designed  by  the 

Company  as  a  cash  flow  hedge  that  locked-in  a  portion  of  the  variable  interest  due  on  the  Revolving  Credit 

Facility.    Under  the  terms  of  this  interest  rate  swap,  the  Company  pays  a  fixed  rate  of  4.60%  and  receives  a 

variable  rate  of  interest  based  on  three  month  LIBOR  (as  defined)  from  the  counterparty  which  is  reset  every 

three  months  for  a  three-year  period  ending  August  8,  2010.    The  notional  amount  of  the  rate  swap  is  $100 

million. 

-34- 

 
 
 
 
 
 
 
 
  
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
(cid:44)(cid:87)(cid:3)(cid:76)(cid:86)(cid:3)(cid:80)(cid:68)(cid:81)(cid:68)(cid:74)(cid:72)(cid:80)(cid:72)(cid:81)(cid:87)(cid:182)(cid:86)(cid:3)(cid:76)(cid:81)(cid:87)(cid:72)(cid:81)(cid:87)(cid:76)(cid:82)(cid:81)(cid:3)(cid:87)(cid:75)(cid:68)(cid:87)(cid:3)(cid:87)(cid:75)(cid:72)(cid:3)(cid:81)(cid:82)(cid:87)(cid:76)(cid:82)(cid:81)(cid:68)(cid:79)(cid:3)(cid:68)(cid:80)(cid:82)(cid:88)(cid:81)(cid:87)(cid:3)(cid:82)(cid:73)(cid:3)(cid:76)(cid:81)(cid:87)(cid:72)(cid:85)(cid:72)(cid:86)(cid:87)(cid:3)(cid:85)(cid:68)(cid:87)(cid:72)(cid:3)(cid:86)(cid:90)(cid:68)(cid:83)(cid:86)(cid:3)(cid:69)(cid:72)(cid:3)(cid:79)(cid:72)(cid:86)(cid:86)(cid:3)(cid:87)(cid:75)(cid:68)(cid:81)(cid:3)(cid:87)(cid:75)(cid:72)(cid:3)(cid:55)(cid:72)(cid:85)(cid:80)(cid:3)(cid:47)(cid:82)(cid:68)(cid:81)(cid:3)(cid:68)(cid:81)(cid:71)(cid:3)(cid:87)(cid:75)(cid:72)(cid:3)
Revolving  Credit  Facility  outstanding  during  the  life  of  the  derivatives.    During  fiscal  year  2009,  the  Company 

recognized a loss on its hedge contracts of approximately $17.4 million  which is reflected in interest expense.  

At  April  30,  2009,  the  aggregate  fair  value  of  the  interest  rate  swaps  was  a  net  loss  of  $28.2  million  which  is 

included  in  Other  Long  Term  Liabilities  in  the  Consolidated  Statement  of  Financial  Position.    On  an  annual 

basis, a hypothetical one percent change in interest rates for the $322.4 million of unhedged variable rate debt 

as of April 30, 2009 would affect net income and cash flow by approximately $2.0 million. 

Foreign Exchange Rates: 

The Company is exposed to foreign exchange movements primarily in  British pound sterling, euros, Canadian 

and Australian dollars, and certain Asian currencies. The Statement of Financial Position of non-U.S. business 

units  are  translated  into  U.S.  dollars  using  period-end  exchange  rates  for  assets  and  liabilities  and  weighted-

average  exchange  rates  for  revenues  and  expenses.    Adjustments  resulting  from  translating  net  assets  are 
reported a(cid:86)(cid:3)(cid:68)(cid:3)(cid:86)(cid:72)(cid:83)(cid:68)(cid:85)(cid:68)(cid:87)(cid:72)(cid:3)(cid:70)(cid:82)(cid:80)(cid:83)(cid:82)(cid:81)(cid:72)(cid:81)(cid:87)(cid:3)(cid:82)(cid:73)(cid:3)(cid:68)(cid:70)(cid:70)(cid:88)(cid:80)(cid:88)(cid:79)(cid:68)(cid:87)(cid:72)(cid:71)(cid:3)(cid:82)(cid:87)(cid:75)(cid:72)(cid:85)(cid:3)(cid:70)(cid:82)(cid:80)(cid:83)(cid:85)(cid:72)(cid:75)(cid:72)(cid:81)(cid:86)(cid:76)(cid:89)(cid:72)(cid:3)(cid:79)(cid:82)(cid:86)(cid:86)(cid:3)(cid:90)(cid:76)(cid:87)(cid:75)(cid:76)(cid:81)(cid:3)(cid:86)(cid:75)(cid:68)(cid:85)(cid:72)(cid:75)(cid:82)(cid:79)(cid:71)(cid:72)(cid:85)(cid:86)(cid:182)(cid:3)(cid:72)(cid:84)(cid:88)(cid:76)(cid:87)(cid:92)(cid:3)(cid:88)(cid:81)(cid:71)(cid:72)(cid:85)(cid:3)
the caption currency translation adjustment.  The Company  has significant investments in  non-US businesses 

that  are  exposed  to  foreign  currency  risk.    During  fiscal  year  2009  the  Company  recorded  $256.3  million  of 

currency translation adjustments in other comprehensive income primarily as a result of the strengthening of the 

U.S.  dollar  relative  to  the  British  pound  sterling.    The  U.S.  dollar  to  British  pound  sterling  exchange  rate  was 

1.45 to 1.00 as of April 30, 2009 compared to 1.99 to 1.00 as of April 30, 2008, approximately a 27% increase.  

Effective November 1, 2008, the Company changed its functional currency reporting basis for the non-Blackwell 

(cid:83)(cid:82)(cid:85)(cid:87)(cid:76)(cid:82)(cid:81)(cid:3)(cid:82)(cid:73)(cid:3)(cid:87)(cid:75)(cid:72)(cid:3)(cid:38)(cid:82)(cid:80)(cid:83)(cid:68)(cid:81)(cid:92)(cid:182)(cid:86)(cid:3)(cid:40)(cid:88)(cid:85)(cid:82)(cid:83)(cid:72)(cid:68)(cid:81)(cid:3)(cid:54)(cid:55)(cid:48)(cid:54)(cid:3)(cid:77)(cid:82)(cid:88)(cid:85)(cid:81)(cid:68)(cid:79)(cid:3)(cid:69)(cid:88)(cid:86)(cid:76)(cid:81)(cid:72)(cid:86)(cid:86)(cid:3)(cid:73)(cid:85)(cid:82)(cid:80)(cid:3)(cid:56)(cid:17)(cid:54)(cid:17)(cid:3)(cid:39)(cid:82)(cid:79)(cid:79)(cid:68)(cid:85)(cid:3)(cid:87)(cid:82)(cid:3)(cid:79)(cid:82)(cid:70)(cid:68)(cid:79)(cid:3)(cid:73)(cid:88)(cid:81)(cid:70)(cid:87)(cid:76)(cid:82)(cid:81)(cid:68)(cid:79)(cid:3)(cid:70)(cid:88)(cid:85)(cid:85)(cid:72)(cid:81)(cid:70)(cid:92)(cid:17)(cid:3)(cid:36)(cid:86)(cid:3)(cid:83)(cid:68)(cid:85)(cid:87)(cid:3)
of the integration of Blackwell and Wiley fulfillment systems and licensing practices, in the third quarter of fiscal 

year  2009  the  Company  began  pricing  journal  revenue  based  on  local  currency  in  Europe.    Prior  to  the 

integration, journal revenue was principally priced and reported in U.S. Dollars. This change primarily impacted 

business denominated in Euros and Sterling.  

Under certain circumstances, the Company may enter into derivative financial instruments in the form of foreign 

currency  forward  contracts  as  a  hedge  against  specific  transactions,  including  intercompany  purchases.    The 

Company  does  not  use  derivative  financial  instruments  for  trading  or  speculative  purposes.    There  were  no 

contracts outstanding at April 30, 2009. 

Credit Risk: 

In the journal publishing business, in addition to direct customer sales, subscriptions are sourced through journal 

subscription  agents  who,  acting  as  agents  for  library  customers,  facilitate  ordering  and  consolidate  the 

subscription orders/billings with various publishers. Subscription agents account for approximately 20% of total 

consolidated revenue and no one agent accounts for more than 9% of total consolidated revenue. Subscription 

agents generally collect cash in advance from subscribers and remit payments to journal publishers, including 

the  Company,  prior  to  the  commencement  of  the  subscriptions.  While  at  fiscal  year-end  the  Company  had 

minimal credit risk exposure to these agents, future calendar-year subscription receipts from these agents may 

depend  significantly  on  their  financial  condition  and  liquidity.  Insurance  for  payment  on  these  accounts  is  not 

commercially feasible and/or available. 

(cid:55)(cid:75)(cid:72)(cid:3) (cid:38)(cid:82)(cid:80)(cid:83)(cid:68)(cid:81)(cid:92)(cid:182)(cid:86)(cid:3) (cid:69)(cid:88)(cid:86)(cid:76)(cid:81)(cid:72)(cid:86)(cid:86)(cid:3) (cid:76)(cid:86)(cid:3) (cid:81)(cid:82)(cid:87)(cid:3) (cid:71)(cid:72)(cid:83)(cid:72)(cid:81)(cid:71)(cid:72)(cid:81)(cid:87)(cid:3) (cid:88)(cid:83)(cid:82)(cid:81)(cid:3) (cid:68)(cid:3) (cid:86)(cid:76)(cid:81)(cid:74)(cid:79)(cid:72)(cid:3) (cid:70)(cid:88)(cid:86)(cid:87)(cid:82)(cid:80)(cid:72)(cid:85)(cid:30)(cid:3) (cid:75)(cid:82)(cid:90)(cid:72)(cid:89)(cid:72)(cid:85)(cid:15)(cid:3) (cid:87)(cid:75)(cid:72)(cid:3) (cid:76)(cid:81)(cid:71)(cid:88)(cid:86)(cid:87)(cid:85)(cid:92)(cid:3) (cid:76)(cid:86)(cid:3) (cid:70)(cid:82)(cid:81)(cid:70)(cid:72)(cid:81)(cid:87)(cid:85)(cid:68)(cid:87)(cid:72)(cid:71)(cid:3) (cid:76)(cid:81)(cid:3)
national, regional, and online bookstore chains. Although no one book customer accounts for more than 7% of 

consolidated  book  and  journal  revenue,  the  top  10  book  customers  account  for  approximately  18%  of  total 

-35- 

 
 
consolidated  revenue  and  approximately  41%  of  total  gross  trade  accounts  receivable  at  April  30,  2009.  

Payments for the sale of subscription journals are predominantly collected in advance. 

Critical Accounting Policies 

(cid:55)(cid:75)(cid:72)(cid:3) (cid:83)(cid:85)(cid:72)(cid:83)(cid:68)(cid:85)(cid:68)(cid:87)(cid:76)(cid:82)(cid:81)(cid:3) (cid:82)(cid:73)(cid:3) (cid:87)(cid:75)(cid:72)(cid:3) (cid:38)(cid:82)(cid:80)(cid:83)(cid:68)(cid:81)(cid:92)(cid:182)(cid:86)(cid:3) (cid:73)(cid:76)(cid:81)(cid:68)(cid:81)(cid:70)(cid:76)(cid:68)(cid:79)(cid:3) (cid:86)(cid:87)(cid:68)(cid:87)(cid:72)(cid:80)(cid:72)(cid:81)(cid:87)(cid:86)(cid:3) (cid:76)(cid:81)(cid:3) (cid:70)(cid:82)(cid:81)(cid:73)(cid:82)(cid:85)(cid:80)(cid:76)(cid:87)(cid:92)(cid:3) (cid:90)(cid:76)(cid:87)(cid:75)(cid:3) (cid:68)(cid:70)(cid:70)(cid:82)(cid:88)(cid:81)(cid:87)(cid:76)(cid:81)(cid:74)(cid:3) (cid:83)(cid:85)(cid:76)(cid:81)(cid:70)(cid:76)(cid:83)(cid:79)(cid:72)(cid:86)(cid:3) (cid:74)(cid:72)(cid:81)(cid:72)(cid:85)(cid:68)(cid:79)(cid:79)(cid:92)(cid:3)
accepted in the U.S. requires management to make estimates and assumptions that affect the reported amount 

of assets and liabilities, disclosure of contingent assets and liabilities at the date of the financial statements, and 

reported amounts of revenue and expenses during the reporting period. Management continually evaluates the 

basis for its estimates. Actual results could differ from those estimates, which could affect the reported results. 

Financial  Reporting  Release  No.  60,  released  by  the  Securities  and  Exchange  Commission,  requires  all 

companies  to  discuss  critical  accounting  policies  or  methods  used  in  the  preparation  of  financial  statements.  

(cid:49)(cid:82)(cid:87)(cid:72)(cid:3) (cid:21)(cid:3) (cid:82)(cid:73)(cid:3) (cid:87)(cid:75)(cid:72)(cid:3) (cid:179)(cid:49)(cid:82)(cid:87)(cid:72)(cid:86)(cid:3) (cid:87)(cid:82)(cid:3) (cid:38)(cid:82)(cid:81)(cid:86)(cid:82)(cid:79)(cid:76)(cid:71)(cid:68)(cid:87)(cid:72)(cid:71)(cid:3) (cid:41)(cid:76)(cid:81)(cid:68)(cid:81)(cid:70)(cid:76)(cid:68)(cid:79)(cid:3) (cid:54)(cid:87)(cid:68)(cid:87)(cid:72)(cid:80)(cid:72)(cid:81)(cid:87)(cid:86)(cid:180)(cid:3) (cid:76)(cid:81)(cid:70)(cid:79)(cid:88)(cid:71)(cid:72)(cid:86)(cid:3) (cid:68)(cid:3) (cid:86)(cid:88)(cid:80)(cid:80)(cid:68)(cid:85)(cid:92)(cid:3) (cid:82)(cid:73)(cid:3) (cid:87)(cid:75)(cid:72)(cid:3) (cid:86)(cid:76)(cid:74)(cid:81)(cid:76)(cid:73)(cid:76)(cid:70)(cid:68)(cid:81)(cid:87)(cid:3) (cid:68)(cid:70)(cid:70)(cid:82)(cid:88)(cid:81)(cid:87)(cid:76)(cid:81)(cid:74)(cid:3)
policies  and  methods  used  in  preparation  of  our  Consolidated  Financial  Statements.    Set  forth  below  is  a 
(cid:71)(cid:76)(cid:86)(cid:70)(cid:88)(cid:86)(cid:86)(cid:76)(cid:82)(cid:81)(cid:3)(cid:82)(cid:73)(cid:3)(cid:87)(cid:75)(cid:72)(cid:3)(cid:38)(cid:82)(cid:80)(cid:83)(cid:68)(cid:81)(cid:92)(cid:182)(cid:86)(cid:3)(cid:80)(cid:82)(cid:85)(cid:72)(cid:3)(cid:70)(cid:85)(cid:76)(cid:87)(cid:76)(cid:70)(cid:68)(cid:79)(cid:3)(cid:68)(cid:70)(cid:70)(cid:82)(cid:88)(cid:81)(cid:87)(cid:76)(cid:81)(cid:74)(cid:3)(cid:83)(cid:82)(cid:79)(cid:76)(cid:70)(cid:76)(cid:72)(cid:86)(cid:3)(cid:68)(cid:81)(cid:71)(cid:3)(cid:80)(cid:72)(cid:87)(cid:75)(cid:82)(cid:71)(cid:86)(cid:17) 

Revenue  Recognition:  (cid:44)(cid:81)(cid:3) (cid:68)(cid:70)(cid:70)(cid:82)(cid:85)(cid:71)(cid:68)(cid:81)(cid:70)(cid:72)(cid:3) (cid:90)(cid:76)(cid:87)(cid:75)(cid:3) (cid:54)(cid:40)(cid:38)(cid:3) (cid:54)(cid:87)(cid:68)(cid:73)(cid:73)(cid:3) (cid:36)(cid:70)(cid:70)(cid:82)(cid:88)(cid:81)(cid:87)(cid:76)(cid:81)(cid:74)(cid:3) (cid:37)(cid:88)(cid:79)(cid:79)(cid:72)(cid:87)(cid:76)(cid:81)(cid:3) (cid:49)(cid:82)(cid:17)(cid:3) (cid:20)(cid:19)(cid:23)(cid:15)(cid:3) (cid:179)(cid:53)(cid:72)(cid:89)(cid:72)(cid:81)(cid:88)(cid:72)(cid:3) (cid:53)(cid:72)(cid:70)(cid:82)(cid:74)(cid:81)(cid:76)(cid:87)ion  in 
(cid:41)(cid:76)(cid:81)(cid:68)(cid:81)(cid:70)(cid:76)(cid:68)(cid:79)(cid:3) (cid:54)(cid:87)(cid:68)(cid:87)(cid:72)(cid:80)(cid:72)(cid:81)(cid:87)(cid:86)(cid:15)(cid:180)(cid:3) (cid:87)(cid:75)(cid:72)(cid:3) (cid:38)(cid:82)(cid:80)(cid:83)(cid:68)(cid:81)(cid:92)(cid:3) (cid:85)(cid:72)(cid:70)(cid:82)(cid:74)(cid:81)(cid:76)(cid:93)(cid:72)(cid:86)(cid:3) (cid:85)(cid:72)(cid:89)(cid:72)(cid:81)(cid:88)(cid:72)(cid:3) (cid:90)(cid:75)(cid:72)(cid:81)(cid:3) (cid:87)(cid:75)(cid:72)(cid:3) (cid:73)(cid:82)(cid:79)(cid:79)(cid:82)(cid:90)(cid:76)(cid:81)(cid:74)(cid:3) (cid:70)(cid:85)(cid:76)(cid:87)(cid:72)(cid:85)(cid:76)(cid:68)(cid:3) (cid:68)(cid:85)(cid:72)(cid:3) (cid:80)(cid:72)(cid:87)(cid:29)(cid:3) (cid:83)(cid:72)(cid:85)(cid:86)(cid:88)(cid:68)(cid:86)(cid:76)(cid:89)(cid:72)(cid:3)
evidence  that  an  arrangement  exists;  delivery  has  occurred  or  services  have  been  rendered;  the  price  to  the 

customer is fixed or determinable; and collectability is reasonably assured.  If all of the above criteria have been 

met,  revenue  is  principally  recognized  upon  shipment  of  products  or  when  services  have  been  rendered.  

Subscription revenue is generally collected in advance.  The prepayment is deferred and recognized as earned 

when the related issue is shipped or made available online over the term of the subscription.  Where a product 
has  been  sold  with  multiple  deliverables,  the  Company  follows  EITF  No.  00-(cid:21)(cid:20)(cid:3) (cid:179)(cid:36)(cid:70)(cid:70)(cid:82)(cid:88)(cid:81)(cid:87)(cid:76)(cid:81)(cid:74)(cid:3) (cid:73)(cid:82)(cid:85)(cid:3) (cid:53)(cid:72)(cid:89)(cid:72)(cid:81)(cid:88)(cid:72)(cid:3)
Relationsh(cid:76)(cid:83)(cid:86)(cid:3) (cid:90)(cid:76)(cid:87)(cid:75)(cid:3) (cid:48)(cid:88)(cid:79)(cid:87)(cid:76)(cid:83)(cid:79)(cid:72)(cid:3) (cid:39)(cid:72)(cid:79)(cid:76)(cid:89)(cid:72)(cid:85)(cid:68)(cid:69)(cid:79)(cid:72)(cid:86)(cid:180)(cid:3) (cid:87)(cid:82)(cid:3) (cid:71)(cid:72)(cid:87)(cid:72)(cid:85)(cid:80)(cid:76)(cid:81)(cid:72)(cid:3) (cid:87)(cid:75)(cid:72)(cid:3) (cid:87)(cid:76)(cid:80)(cid:76)(cid:81)(cid:74)(cid:3) (cid:82)(cid:73)(cid:3) (cid:85)(cid:72)(cid:89)(cid:72)(cid:81)(cid:88)(cid:72)(cid:3) (cid:85)(cid:72)(cid:70)(cid:82)(cid:74)(cid:81)(cid:76)(cid:87)(cid:76)(cid:82)(cid:81)(cid:17)(cid:3) (cid:3) (cid:38)(cid:82)(cid:79)(cid:79)(cid:72)(cid:70)(cid:87)(cid:68)(cid:69)(cid:76)(cid:79)(cid:76)(cid:87)(cid:92)(cid:3) (cid:76)(cid:86)(cid:3)
(cid:72)(cid:89)(cid:68)(cid:79)(cid:88)(cid:68)(cid:87)(cid:72)(cid:71)(cid:3) (cid:69)(cid:68)(cid:86)(cid:72)(cid:71)(cid:3) (cid:82)(cid:81)(cid:3) (cid:87)(cid:75)(cid:72)(cid:3) (cid:68)(cid:80)(cid:82)(cid:88)(cid:81)(cid:87)(cid:3) (cid:76)(cid:81)(cid:89)(cid:82)(cid:79)(cid:89)(cid:72)(cid:71)(cid:15)(cid:3) (cid:87)(cid:75)(cid:72)(cid:3) (cid:70)(cid:85)(cid:72)(cid:71)(cid:76)(cid:87)(cid:3) (cid:75)(cid:76)(cid:86)(cid:87)(cid:82)(cid:85)(cid:92)(cid:3) (cid:82)(cid:73)(cid:3) (cid:87)(cid:75)(cid:72)(cid:3) (cid:70)(cid:88)(cid:86)(cid:87)(cid:82)(cid:80)(cid:72)(cid:85)(cid:15)(cid:3) (cid:68)(cid:81)(cid:71)(cid:3) (cid:87)(cid:75)(cid:72)(cid:3) (cid:86)(cid:87)(cid:68)(cid:87)(cid:88)(cid:86)(cid:3) (cid:82)(cid:73)(cid:3) (cid:87)(cid:75)(cid:72)(cid:3) (cid:70)(cid:88)(cid:86)(cid:87)(cid:82)(cid:80)(cid:72)(cid:85)(cid:182)(cid:86)(cid:3)
account  with  the  Company.    Revenue  is  reported  net  of  any  amounts  billed  to  customers for  taxes  which  are 

remitted to government authorities. 

Allowance  for  Doubtful  Accounts:  The  estimated  allowance  for  doubtful  accounts  is  based  on  a  review  of  the 

aging  of  the  accounts  receivable  balances,  the  historical  write-off  experience,  and  a  credit  evaluation  of  the 

(cid:70)(cid:88)(cid:86)(cid:87)(cid:82)(cid:80)(cid:72)(cid:85)(cid:17)(cid:3) (cid:3) (cid:36)(cid:3) (cid:70)(cid:75)(cid:68)(cid:81)(cid:74)(cid:72)(cid:3) (cid:76)(cid:81)(cid:3) (cid:87)(cid:75)(cid:72)(cid:3) (cid:72)(cid:89)(cid:68)(cid:79)(cid:88)(cid:68)(cid:87)(cid:76)(cid:82)(cid:81)(cid:3) (cid:82)(cid:73)(cid:3) (cid:68)(cid:3) (cid:70)(cid:88)(cid:86)(cid:87)(cid:82)(cid:80)(cid:72)(cid:85)(cid:182)(cid:86)(cid:3) (cid:70)(cid:85)(cid:72)(cid:71)(cid:76)(cid:87)(cid:3) (cid:70)(cid:82)(cid:88)(cid:79)(cid:71)(cid:3) (cid:68)(cid:73)(cid:73)(cid:72)(cid:70)(cid:87)(cid:3) (cid:87)(cid:75)(cid:72)(cid:3) (cid:72)(cid:86)(cid:87)(cid:76)(cid:80)(cid:68)(cid:87)(cid:72)(cid:71)(cid:3) (cid:68)(cid:79)(cid:79)(cid:82)(cid:90)(cid:68)(cid:81)(cid:70)(cid:72)(cid:17)(cid:3) (cid:3) (cid:55)(cid:75)(cid:72)(cid:3)
allowance for doubtful accounts is shown as a reduction of accounts receivable in the Consolidated Statement 

of Financial Position and amounted to $5.7 million and $8.0 million at April 30, 2009 and 2008, respectively. 

Sales Return Reserve:  The estimated allowance for sales returns is based on a review of the historical return 

patterns, as well as current market trends in the businesses in which we operate. Sales return reserves, net of 

estimated  inventory  and  royalty  costs,  are  reported  as  a  reduction  of  accounts  receivable  in  the  Consolidated 

Statement  of  Financial  Position  and  amounted  to  $55.2  million  and  $55.5  million  at  April  30,  2009  and  2008, 

respectively.  A one percent change in the estimated sales return rate could affect net income by approximately 

$4.1 million.  A change in the pattern or trends in returns could affect the estimated allowance. 

Reserve for Inventory Obsolescence:  Inventories are carried at cost or market whichever is lower.  A reserve 

for  inventory  obsolescence  is  estimated  based  on  a  review  of  damaged,  obsolete,  or  otherwise  unsalable 

inventory.  The  review  encompasses  historical  unit  sales  trends  by  title;  current  market  conditions,  including 

estimates  of  customer  demand;  and  publication  revision  cycles.  A  change  in  sales  trends  could  affect  the 

estimated reserve.  The inventory obsolescence reserve is reported as a reduction of the inventory balance in 

-36- 

 
 
 
the Consolidated Statement of Financial Position and amounted to $36.3 million and $35.4 million as of April 30, 

2009 and 2008, respectively. 

Allocation  of  Acquisition  Purchase  Price  to  Assets  Acquired  and  Liabilities  Assumed:  In  connection  with 

acquisitions, the Company allocates the cost of the acquisition to the assets acquired and the liabilities assumed 

based  on  estimates  of  the  fair  value  of  such  items  including  goodwill  and  other  intangible  assets.  Such 

estimates include expected cash flows to be generated by those assets and the expected useful lives based on 

historical experience, current market trends, and synergies to be achieved from the acquisition and expected tax 

basis of assets acquired. For significant acquisitions, the Company uses independent appraisers to confirm the 

reasonableness of such estimates. 

Goodwill and Other Intangible Assets:  Goodwill is the excess of the purchase price paid over the fair value of 

the  net  assets  of  the  business  acquired.  Other  intangible  assets  principally  consist  of  branded  trademarks, 

acquired  publication  rights,  customer  relationships  and  non-compete  agreements.  In  accordance  with  SFAS 

142, goodwill and indefinite-lived intangible assets are no longer amortized but are reviewed at least annually for 

impairment,  or  more  often  if  events  or  circumstances  occur  which  would  more  likely  than  not  reduce  the  fair 

value of a reporting unit below its carrying amount.  Other finite-lived intangible assets continue to be amortized 

over their useful lives. Acquired publication rights with definitive lives are amortized on a straight-line basis over 

periods  ranging  from  5  to  40  years.  Non-compete  agreements  are  amortized  over  the  terms  of  the  individual 

agreement. 

Impairment of Long-Lived Assets:  Depreciable and amortizable assets are only evaluated for impairment upon 

a significant change in the operating or macroeconomic environment.  In these circumstances, if an evaluation 

of the undiscounted cash flows indicates impairment, the asset is written down to its estimated fair value  based 

on discounted future cash flow. 

Recently Issued Accounting Pronouncements:  (cid:44)(cid:81)(cid:3)(cid:54)(cid:72)(cid:83)(cid:87)(cid:72)(cid:80)(cid:69)(cid:72)(cid:85)(cid:3)(cid:21)(cid:19)(cid:19)(cid:25)(cid:15)(cid:3)(cid:87)(cid:75)(cid:72)(cid:3)(cid:41)(cid:36)(cid:54)(cid:37)(cid:3)(cid:76)(cid:86)(cid:86)(cid:88)(cid:72)(cid:71)(cid:3)(cid:54)(cid:41)(cid:36)(cid:54)(cid:3)(cid:49)(cid:82)(cid:17)(cid:3)(cid:20)(cid:24)(cid:26)(cid:3)(cid:179)(cid:41)(cid:68)(cid:76)(cid:85)(cid:3)(cid:57)(cid:68)(cid:79)(cid:88)(cid:72)(cid:3)
(cid:48)(cid:72)(cid:68)(cid:86)(cid:88)(cid:85)(cid:72)(cid:80)(cid:72)(cid:81)(cid:87)(cid:86)(cid:180)(cid:3)(cid:11)(cid:179)(cid:54)(cid:41)(cid:36)(cid:54)(cid:3)(cid:20)(cid:24)(cid:26)(cid:180)(cid:12)(cid:17)(cid:3)(cid:44)(cid:81)(cid:3)(cid:41)(cid:72)(cid:69)(cid:85)(cid:88)(cid:68)(cid:85)(cid:92)(cid:3)(cid:21)(cid:19)(cid:19)(cid:27)(cid:15)(cid:3)(cid:87)(cid:75)(cid:72)(cid:3)(cid:41)(cid:36)(cid:54)(cid:37)(cid:3)(cid:76)(cid:86)(cid:86)(cid:88)(cid:72)(cid:71)(cid:3)(cid:68)(cid:3)(cid:83)(cid:68)(cid:85)(cid:87)(cid:76)(cid:68)(cid:79)(cid:3)(cid:71)(cid:72)(cid:73)(cid:72)(cid:85)(cid:85)(cid:68)(cid:79)(cid:3)(cid:82)(cid:73)(cid:3)(cid:87)(cid:75)(cid:72)(cid:3)(cid:86)(cid:87)(cid:68)(cid:87)(cid:72)(cid:80)(cid:72)(cid:81)(cid:87)(cid:182)(cid:86)(cid:3)(cid:72)(cid:73)(cid:73)(cid:72)(cid:70)(cid:87)(cid:76)(cid:89)(cid:72)(cid:3)
date. SFAS 157 provides a new single authoritative definition of fair value and provides enhanced guidance for 

measuring  the  fair  value  of  assets  and  liabilities  and  requires  additional  disclosures  related  to  the  extent  to 

which companies measure assets and liabilities at fair value, the information used to measure fair value, and the 

effect of fair value measurements on earnings. As part of the deferral, the FASB agreed to a one-year delay of 

the  fair  value  measurement  requirement  for  certain  nonfinancial  assets  and  liabilities.  The  Company  adopted 

SFAS 157 as of May 1, 2008 for assets and liabilities not subject to the deferral (see Note 18). The adoption did 
(cid:81)(cid:82)(cid:87)(cid:3)(cid:75)(cid:68)(cid:89)(cid:72)(cid:3)(cid:68)(cid:3)(cid:86)(cid:76)(cid:74)(cid:81)(cid:76)(cid:73)(cid:76)(cid:70)(cid:68)(cid:81)(cid:87)(cid:3)(cid:76)(cid:80)(cid:83)(cid:68)(cid:70)(cid:87)(cid:3)(cid:82)(cid:81)(cid:3)(cid:87)(cid:75)(cid:72)(cid:3)(cid:38)(cid:82)(cid:80)(cid:83)(cid:68)(cid:81)(cid:92)(cid:182)(cid:86)(cid:3)(cid:70)(cid:82)(cid:81)(cid:86)(cid:82)(cid:79)(cid:76)(cid:71)(cid:68)(cid:87)(cid:72)(cid:71)(cid:3)(cid:73)(cid:76)(cid:81)(cid:68)(cid:81)(cid:70)(cid:76)(cid:68)(cid:79)(cid:3)(cid:86)(cid:87)(cid:68)(cid:87)(cid:72)(cid:80)(cid:72)(cid:81)(cid:87)(cid:86)(cid:17)(cid:3)(cid:55)(cid:75)(cid:72)(cid:3)(cid:38)(cid:82)(cid:80)(cid:83)(cid:68)(cid:81)(cid:92)(cid:3)(cid:83)(cid:79)(cid:68)(cid:81)(cid:86)(cid:3)(cid:87)o adopt 
SFAS 157 as of May 1, 2009 for those nonfinancial assets and liabilities subject to the deferral. The adoption of 

the deferred portion of SFAS157 will not have a significant impact on its consolidated financial statements.  The 

major  categories  of  assets  that  the  Company  held  in  fiscal  year  2009  for  which  application  of  SFAS  157  has 

been deferred are Goodwill and Other Intangible Assets and Long-lived Assets Held and Used.  The Company 
currently holds no liabilities that are measured at fair value which were subject to the deferral. 

(cid:44)(cid:81)(cid:3) (cid:41)(cid:72)(cid:69)(cid:85)(cid:88)(cid:68)(cid:85)(cid:92)(cid:3) (cid:21)(cid:19)(cid:19)(cid:26)(cid:15)(cid:3) (cid:87)(cid:75)(cid:72)(cid:3) (cid:41)(cid:36)(cid:54)(cid:37)(cid:3) (cid:76)(cid:86)(cid:86)(cid:88)(cid:72)(cid:71)(cid:3) (cid:54)(cid:41)(cid:36)(cid:54)(cid:3) (cid:49)(cid:82)(cid:17)(cid:3) (cid:20)(cid:24)(cid:28)(cid:3) (cid:179)(cid:55)(cid:75)(cid:72)(cid:3) (cid:41)(cid:68)(cid:76)(cid:85)(cid:3) (cid:57)(cid:68)(cid:79)(cid:88)(cid:72)(cid:3) (cid:50)(cid:83)(cid:87)(cid:76)(cid:82)(cid:81)(cid:3) (cid:73)(cid:82)(cid:85)(cid:3) (cid:41)(cid:76)(cid:81)(cid:68)(cid:81)(cid:70)(cid:76)(cid:68)(cid:79)(cid:3) (cid:36)(cid:86)(cid:86)(cid:72)(cid:87)(cid:86)(cid:3) (cid:68)(cid:81)(cid:71)(cid:3) (cid:41)(cid:76)(cid:81)(cid:68)(cid:81)(cid:70)(cid:76)(cid:68)(cid:79)(cid:3)

(cid:47)(cid:76)(cid:68)(cid:69)(cid:76)(cid:79)(cid:76)(cid:87)(cid:76)(cid:72)(cid:86)(cid:180)(cid:3)(cid:11)(cid:179)(cid:54)(cid:41)(cid:36)(cid:54)(cid:3)(cid:20)(cid:24)(cid:28)(cid:180)(cid:12)(cid:17)(cid:3)(cid:54)(cid:41)(cid:36)(cid:54)(cid:3)(cid:20)(cid:24)(cid:28)(cid:3)(cid:83)(cid:85)(cid:82)(cid:89)(cid:76)(cid:71)(cid:72)(cid:86)(cid:3)(cid:70)(cid:82)(cid:80)(cid:83)(cid:68)(cid:81)(cid:76)(cid:72)(cid:86)(cid:3)(cid:90)(cid:76)(cid:87)(cid:75)(cid:3)(cid:68)(cid:81)(cid:3)(cid:82)(cid:83)(cid:87)(cid:76)(cid:82)(cid:81)(cid:3)(cid:87)(cid:82)(cid:3)(cid:76)(cid:85)(cid:85)(cid:72)(cid:89)(cid:82)(cid:70)(cid:68)(cid:69)(cid:79)(cid:92)(cid:3)(cid:72)(cid:79)(cid:72)(cid:70)(cid:87)(cid:3)(cid:87)(cid:82)(cid:3)(cid:80)(cid:72)(cid:68)(cid:86)(cid:88)(cid:85)(cid:72)(cid:3)(cid:70)(cid:72)(cid:85)(cid:87)(cid:68)(cid:76)(cid:81)(cid:3)
financial  assets  and  financial  liabilities  at  fair  value  on  an  instrument-by-instrument  basis  with  the  resulting 

(cid:70)(cid:75)(cid:68)(cid:81)(cid:74)(cid:72)(cid:86)(cid:3) (cid:76)(cid:81)(cid:3) (cid:73)(cid:68)(cid:76)(cid:85)(cid:3) (cid:89)(cid:68)(cid:79)(cid:88)(cid:72)(cid:3) (cid:85)(cid:72)(cid:70)(cid:82)(cid:85)(cid:71)(cid:72)(cid:71)(cid:3) (cid:76)(cid:81)(cid:3) (cid:72)(cid:68)(cid:85)(cid:81)(cid:76)(cid:81)(cid:74)(cid:86)(cid:17)(cid:3) (cid:55)(cid:75)(cid:72)(cid:3) (cid:38)(cid:82)(cid:80)(cid:83)(cid:68)(cid:81)(cid:92)(cid:182)(cid:86)(cid:3) (cid:68)(cid:71)(cid:82)(cid:83)(cid:87)(cid:76)(cid:82)(cid:81)(cid:3) (cid:82)(cid:73)(cid:3) (cid:54)(cid:41)(cid:36)(cid:54)(cid:3) (cid:20)(cid:24)(cid:28)(cid:3) (cid:68)(cid:86)(cid:3) (cid:82)(cid:73)(cid:3) (cid:48)(cid:68)(cid:92)(cid:3) (cid:20)(cid:15)(cid:3) (cid:21)(cid:19)(cid:19)(cid:27)(cid:3) (cid:71)(cid:76)(cid:71)(cid:3) (cid:81)(cid:82)(cid:87)(cid:3)
have a significant impact on its consolidated financial statements since the Company did not apply the fair value 
option of SFAS 159 to any of its existing assets and liabilities. 

-37- 

 
 
 
 
 
In  December  2007,  the  FASB  issued  SFAS  No. (cid:20)(cid:23)(cid:20)(cid:53)(cid:15)(cid:3) (cid:179)(cid:37)(cid:88)(cid:86)(cid:76)(cid:81)(cid:72)(cid:86)(cid:86)(cid:3) (cid:38)(cid:82)(cid:80)(cid:69)(cid:76)(cid:81)(cid:68)(cid:87)(cid:76)(cid:82)(cid:81)(cid:86)(cid:180)(cid:3) (cid:11)(cid:179)(cid:54)(cid:41)(cid:36)(cid:54) (cid:20)(cid:23)(cid:20)(cid:53)(cid:180)(cid:12)(cid:17)(cid:3) (cid:54)(cid:41)(cid:36)(cid:54) 141R 
expands the  scope of acquisition  accounting to all transactions under  which control of a business is obtained. 

Principally, SFAS 141R requires that contingent consideration be recorded at fair value on the acquisition date 

and that certain transaction and restructuring costs be expensed. SFAS 141R is effective for acquisitions made 

on  and  after  May  1,  2009.  While  the  Company  is  currently  assessing  the  impact  of  SFAS  141(R)  on  its 

consolidated financial statements, the Company expects that upon adoption of SFAS 141(R),  the application of 

the new standard is likely to have a significant impact on how the Company allocates the purchase price of any 
future acquired businesses. 

In April 2008, the FASB issued FASB Staff Position No. FSP SFAS 142-(cid:22)(cid:3)(cid:179)(cid:39)(cid:72)(cid:87)(cid:72)(cid:85)(cid:80)(cid:76)(cid:81)(cid:68)(cid:87)(cid:76)(cid:82)(cid:81)(cid:3)(cid:82)(cid:73)(cid:3)(cid:87)(cid:75)(cid:72)(cid:3)(cid:56)(cid:86)(cid:72)(cid:73)(cid:88)l Life of 
(cid:44)(cid:81)(cid:87)(cid:68)(cid:81)(cid:74)(cid:76)(cid:69)(cid:79)(cid:72)(cid:3) (cid:36)(cid:86)(cid:86)(cid:72)(cid:87)(cid:86)(cid:180)(cid:3) (cid:11)(cid:179)(cid:54)(cid:41)(cid:36)(cid:54)(cid:3) (cid:20)(cid:23)(cid:21)-(cid:22)(cid:180)(cid:12)(cid:17)(cid:3) (cid:54)(cid:41)(cid:36)(cid:54)(cid:3) (cid:20)(cid:23)(cid:21)-3  amends  the  factors  that  must  be  considered  in  developing 
renewal  or  extension  assumptions  used  to  determine  the  useful  life  over  which  to  amortize  the  cost  of  a 
recognized intangible asset under FASB (cid:54)(cid:87)(cid:68)(cid:87)(cid:72)(cid:80)(cid:72)(cid:81)(cid:87)(cid:3)(cid:49)(cid:82)(cid:17)(cid:3)(cid:20)(cid:23)(cid:21)(cid:15)(cid:3)(cid:179)(cid:42)(cid:82)(cid:82)(cid:71)(cid:90)(cid:76)(cid:79)(cid:79)(cid:3)(cid:68)(cid:81)(cid:71)(cid:3)(cid:50)(cid:87)(cid:75)(cid:72)(cid:85)(cid:3)(cid:44)(cid:81)(cid:87)(cid:68)(cid:81)(cid:74)(cid:76)(cid:69)(cid:79)(cid:72)(cid:3)(cid:36)(cid:86)(cid:86)(cid:72)(cid:87)(cid:86)(cid:17)(cid:180)(cid:3)(cid:54)(cid:41)(cid:36)(cid:54)(cid:3)(cid:20)(cid:23)(cid:21)-
3 requires an entity to consider its own experience with the renewal or extension of the terms of a contractual 

arrangement,  consistent  with  its  expected  use  of  the  asset.  SFAS  142-3  also  requires  several  incremental 

disclosures for renewable intangible assets. The Company is required to adopt SFAS 142-3 as of May 1, 2009. 

The  guidance  for  determining  the  useful  life  of  an  intangible  asset  must  be  applied  prospectively  to  intangible 

assets acquired after the effective date. The Company does not expect that the application of this new standard 

will significantly impact the process currently used to determine useful lives of its intangible assets. 

There  have  been  no  other  new  accounting  pronouncements  issued  that  have  had,  or  are  expected  to  have  a 
(cid:80)(cid:68)(cid:87)(cid:72)(cid:85)(cid:76)(cid:68)(cid:79)(cid:3)(cid:76)(cid:80)(cid:83)(cid:68)(cid:70)(cid:87)(cid:3)(cid:82)(cid:81)(cid:3)(cid:87)(cid:75)(cid:72)(cid:3)(cid:38)(cid:82)(cid:80)(cid:83)(cid:68)(cid:81)(cid:92)(cid:182)(cid:86)(cid:3)(cid:70)(cid:82)(cid:81)(cid:86)(cid:82)(cid:79)(cid:76)(cid:71)(cid:68)(cid:87)(cid:72)(cid:71)(cid:3)(cid:73)(cid:76)(cid:81)(cid:68)(cid:81)(cid:70)(cid:76)(cid:68)(cid:79)(cid:3)(cid:86)(cid:87)(cid:68)(cid:87)(cid:72)(cid:80)(cid:72)(cid:81)(cid:87)(cid:86)(cid:17) 

(cid:179)(cid:54)(cid:68)(cid:73)(cid:72)(cid:3)(cid:43)(cid:68)(cid:85)(cid:69)(cid:82)(cid:85)(cid:180)(cid:3)(cid:54)(cid:87)(cid:68)(cid:87)(cid:72)(cid:80)(cid:72)(cid:81)(cid:87)(cid:3)(cid:56)(cid:81)(cid:71)(cid:72)(cid:85)(cid:3)(cid:87)(cid:75)(cid:72) 
Private Securities Litigation Reform Act of 1995 

This  report  contains  certain  forward-looking  (cid:86)(cid:87)(cid:68)(cid:87)(cid:72)(cid:80)(cid:72)(cid:81)(cid:87)(cid:86)(cid:3) (cid:70)(cid:82)(cid:81)(cid:70)(cid:72)(cid:85)(cid:81)(cid:76)(cid:81)(cid:74)(cid:3) (cid:87)(cid:75)(cid:72)(cid:3) (cid:38)(cid:82)(cid:80)(cid:83)(cid:68)(cid:81)(cid:92)(cid:182)(cid:86)(cid:3) (cid:82)(cid:83)(cid:72)(cid:85)(cid:68)(cid:87)(cid:76)(cid:82)(cid:81)(cid:86)(cid:15)(cid:3) (cid:83)(cid:72)(cid:85)(cid:73)(cid:82)(cid:85)(cid:80)(cid:68)(cid:81)(cid:70)(cid:72)(cid:15)(cid:3)
and  financial  condition.    Reliance  should  not  be  placed  on  forward-looking  statements,  as  actual  results  may 

differ materially from those in any forward-looking statements.  Any such forward-looking statements are based 

upon  a  number  of  assumptions  and  estimates  that  are  inherently  subject  to  uncertainties  and  contingencies, 

many  of  which  are  beyond  the  control  of  the  Company,  and  are  subject  to  change  based  on  many  important 

factors. Such factors include, but are not limited to (i) the level of investment in new technologies and products; 

(cid:11)(cid:76)(cid:76)(cid:12)(cid:3) (cid:86)(cid:88)(cid:69)(cid:86)(cid:70)(cid:85)(cid:76)(cid:69)(cid:72)(cid:85)(cid:3) (cid:85)(cid:72)(cid:81)(cid:72)(cid:90)(cid:68)(cid:79)(cid:3) (cid:85)(cid:68)(cid:87)(cid:72)(cid:86)(cid:3) (cid:73)(cid:82)(cid:85)(cid:3) (cid:87)(cid:75)(cid:72)(cid:3) (cid:38)(cid:82)(cid:80)(cid:83)(cid:68)(cid:81)(cid:92)(cid:182)(cid:86)(cid:3) (cid:77)(cid:82)(cid:88)(cid:85)(cid:81)(cid:68)(cid:79)(cid:86)(cid:30)(cid:3) (cid:11)(cid:76)(cid:76)(cid:76)(cid:12)(cid:3) (cid:87)(cid:75)(cid:72)(cid:3) (cid:73)(cid:76)(cid:81)(cid:68)(cid:81)(cid:70)(cid:76)(cid:68)(cid:79)(cid:3) (cid:86)(cid:87)(cid:68)(cid:69)(cid:76)(cid:79)(cid:76)(cid:87)(cid:92)(cid:3) (cid:68)(cid:81)(cid:71)(cid:3) (cid:79)(cid:76)(cid:84)(cid:88)(cid:76)(cid:71)(cid:76)(cid:87)(cid:92)(cid:3) (cid:82)(cid:73)(cid:3) (cid:77)(cid:82)(cid:88)(cid:85)(cid:81)(cid:68)(cid:79)(cid:3)
subscription agents; (iv) the consolidation of book wholesalers and retail accounts; (v) the market position and 

(cid:73)(cid:76)(cid:81)(cid:68)(cid:81)(cid:70)(cid:76)(cid:68)(cid:79)(cid:3)(cid:86)(cid:87)(cid:68)(cid:69)(cid:76)(cid:79)(cid:76)(cid:87)(cid:92)(cid:3)(cid:82)(cid:73)(cid:3)(cid:78)(cid:72)(cid:92)(cid:3)(cid:82)(cid:81)(cid:79)(cid:76)(cid:81)(cid:72)(cid:3)(cid:85)(cid:72)(cid:87)(cid:68)(cid:76)(cid:79)(cid:72)(cid:85)(cid:86)(cid:30)(cid:3)(cid:11)(cid:89)(cid:76)(cid:12)(cid:3)(cid:87)(cid:75)(cid:72)(cid:3)(cid:86)(cid:72)(cid:68)(cid:86)(cid:82)(cid:81)(cid:68)(cid:79)(cid:3)(cid:81)(cid:68)(cid:87)(cid:88)(cid:85)(cid:72)(cid:3)(cid:82)(cid:73)(cid:3)(cid:87)(cid:75)(cid:72)(cid:3)(cid:38)(cid:82)(cid:80)(cid:83)(cid:68)(cid:81)(cid:92)(cid:182)(cid:86)(cid:3)(cid:72)(cid:71)(cid:88)(cid:70)(cid:68)(cid:87)(cid:76)(cid:82)(cid:81)(cid:68)(cid:79)(cid:3)(cid:69)(cid:88)(cid:86)(cid:76)(cid:81)(cid:72)(cid:86)(cid:86)(cid:3)(cid:68)(cid:81)(cid:71)(cid:3)(cid:87)(cid:75)(cid:72)(cid:3)
impact  of  the  used-book  market;  (vii)  worldwide  economic  and  political  cond(cid:76)(cid:87)(cid:76)(cid:82)(cid:81)(cid:86)(cid:30)(cid:3) (cid:68)(cid:81)(cid:71)(cid:3) (cid:11)(cid:89)(cid:76)(cid:76)(cid:76)(cid:12)(cid:3) (cid:87)(cid:75)(cid:72)(cid:3) (cid:38)(cid:82)(cid:80)(cid:83)(cid:68)(cid:81)(cid:92)(cid:182)(cid:86)(cid:3)
ability to protect  its copyrights and other intellectual property  worldwide (ix) other factors detailed from time to 

(cid:87)(cid:76)(cid:80)(cid:72)(cid:3) (cid:76)(cid:81)(cid:3) (cid:87)(cid:75)(cid:72)(cid:3) (cid:38)(cid:82)(cid:80)(cid:83)(cid:68)(cid:81)(cid:92)(cid:182)(cid:86)(cid:3) (cid:73)(cid:76)(cid:79)(cid:76)(cid:81)(cid:74)(cid:86)(cid:3) (cid:90)(cid:76)(cid:87)(cid:75)(cid:3) (cid:87)(cid:75)(cid:72)(cid:3) (cid:54)(cid:72)(cid:70)(cid:88)(cid:85)(cid:76)(cid:87)(cid:76)(cid:72)(cid:86)(cid:3) (cid:68)(cid:81)(cid:71)(cid:3) (cid:40)(cid:91)(cid:70)(cid:75)(cid:68)(cid:81)(cid:74)(cid:72)(cid:3) (cid:38)(cid:82)(cid:80)(cid:80)(cid:76)(cid:86)(cid:86)(cid:76)(cid:82)(cid:81)(cid:17)(cid:3) (cid:3) (cid:55)(cid:75)(cid:72)(cid:3) (cid:38)(cid:82)(cid:80)(cid:83)(cid:68)(cid:81)(cid:92)(cid:3) (cid:88)(cid:81)(cid:71)(cid:72)(cid:85)(cid:87)(cid:68)(cid:78)(cid:72)(cid:86)(cid:3) (cid:81)(cid:82)(cid:3)
obligation  to  update  or  revise  any  such  forward-looking  statements  to  reflect  subsequent  events  or 

circumstances. 

-38- 

 
 
 
 
Results By Quarter (Unaudited) 

Dollars in millions, except per share data 

  2009 

  2008 

Revenue 
First Quarter  
Second Quarter 
Third Quarter  
Fourth Quarter  
Fiscal Year 

Operating Income (a) 
First Quarter  
Second Quarter   
Third Quarter  
Fourth Quarter  
Fiscal Year  

Net Income 
First Quarter 
Second Quarter (b) 
Third Quarter (c)  
Fourth Quarter  
Fiscal Year   

Income Per Share  
First Quarter 
Second Quarter (b) 
Third Quarter (c) 
Fourth Quarter  
Fiscal Year  

$ 

$ 

$ 

$ 

$ 

$ 

401.7 
431.9 
374.4 
403.4 
1,611.4 

 44.3 
 70.2 
 63.3 
 40.7 
     218.5 

  30.2 
  40.1 
  33.4 
  24.6 
128.3 

$ 

$ 

$ 

$ 

$ 

$ 

388.7 
423.2 
429.4 
432.4 
   1,673.7 

 46.9 
 62.1 
 68.0 
 48.2 
      225.2 

  40.2 
  38.3 
  40.0 
  29.0 
147.5 

  Diluted 
    0.50 
$ 
    0.67 
    0.57 
    0.42 
    2.15 

$ 

Basic 
    0.52  $ 
    0.68 
    0.58 
   0.42 
   2.20  $ 

$ 

$ 

Diluted 
    0.68 
    0.65 
    0.67 
    0.49 
    2.49 

$ 

$ 

Basic 
0.70 
0.67 
0.69 
0.49 
2.55 

(a)   

(b)   

(c)   

In fiscal year 2009, the Company reclassified foreign exchange transaction gains and losses from operating and administrative 
expenses to a distinct line below operating income. Prior period results have been restated for comparability.  

In the second quarter of fiscal year 2008, the Company recognized a net tax benefit of $15.3 million, or $0.26 per diluted share, 
associated with a new tax law enacted in the United Kingdom on July 19, 2008 that reduced the corporate income tax rate from 
30%  to  28%.  The  benefit  recognized  by  the  Company  reflects  the  adjustment  required  to  record  all  UK-related  deferred  tax 
balances at the new UK corporate income tax rate of 28%.   

In  the  third  quarter  of  fiscal  year  2008,  the  Company  recognized  a  $3.4  million,  or  $0.06  per  diluted  share,  tax  benefit 
associated with new tax laws enacted in Germany that reduced the corporate income tax rate from 39% to 29%.  The benefits 
recognized by the Company reflect the adjustments required to record all Germany-related deferred tax balances at the new 
corporate income tax rates.   

-39- 

 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
   
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
   
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
   
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Quarterly Share Prices, Dividends, and Related Stockholder Matters 

(cid:55)(cid:75)(cid:72)(cid:3) (cid:38)(cid:82)(cid:80)(cid:83)(cid:68)(cid:81)(cid:92)(cid:182)(cid:86)(cid:3) (cid:38)(cid:79)(cid:68)(cid:86)(cid:86)(cid:3) (cid:36)(cid:3) (cid:68)(cid:81)(cid:71)(cid:3) (cid:38)(cid:79)(cid:68)(cid:86)(cid:86)(cid:3) (cid:37)(cid:3) (cid:86)(cid:75)(cid:68)(cid:85)(cid:72)(cid:86)(cid:3) (cid:68)(cid:85)(cid:72)(cid:3) (cid:79)(cid:76)(cid:86)(cid:87)(cid:72)(cid:71)(cid:3) (cid:82)(cid:81)(cid:3) (cid:87)(cid:75)(cid:72)(cid:3) (cid:49)(cid:72)(cid:90)(cid:3) (cid:60)(cid:82)(cid:85)(cid:78)(cid:3) (cid:54)(cid:87)(cid:82)(cid:70)(cid:78)(cid:3) (cid:40)(cid:91)(cid:70)(cid:75)(cid:68)(cid:81)(cid:74)(cid:72)(cid:3) (cid:88)(cid:81)(cid:71)(cid:72)(cid:85)(cid:3) (cid:87)(cid:75)(cid:72)(cid:3) (cid:86)(cid:92)(cid:80)(cid:69)(cid:82)(cid:79)(cid:86)(cid:3)
JWa and JWb, respectively.  Dividends per share and the market price range by fiscal quarter for the past two 
fiscal years were as follows: 

Class A Common Stock 
Market Price 

Class B Common Stock 
Market Price 

Dividends 

High 

Low 

Dividends 

High 

Low 

 $0.13 
  0.13 
  0.13 
  0.13 

$49.76 
48.88 
37.60 
36.72 

$43.39 
  27.75 
26.21 
27.55 

$0.13 
    0.13 
    0.13 
    0.13 

$49.52 
49.11 
37.58 
36.63 

$43.53 
28.02 
26.05 
27.50 

     $0.11 
  0.11 
  0.11 

   $49.35 
45.24 
44.33 

   $38.01 
40.00 
35.98 

    $0.11 
    0.11 
    0.11 

 $49.03 
  45.21 
43.72 

   $38.00 
40.22 
36.14 

2009 
First Quarter 
Second Quarter 
Third Quarter 
Fourth Quarter 

2008 
First Quarter 
Second Quarter 
Third Quarter 

Fourth Quarter 

  0.11 

46.54 

36.01 

    0.11 

46.63 

36.02 

As of April 30, 2009, (cid:87)(cid:75)(cid:72)(cid:3)(cid:68)(cid:83)(cid:83)(cid:85)(cid:82)(cid:91)(cid:76)(cid:80)(cid:68)(cid:87)(cid:72)(cid:3)(cid:81)(cid:88)(cid:80)(cid:69)(cid:72)(cid:85)(cid:3)(cid:82)(cid:73)(cid:3)(cid:75)(cid:82)(cid:79)(cid:71)(cid:72)(cid:85)(cid:86)(cid:3)(cid:82)(cid:73)(cid:3)(cid:87)(cid:75)(cid:72)(cid:3)(cid:38)(cid:82)(cid:80)(cid:83)(cid:68)(cid:81)(cid:92)(cid:182)(cid:86)(cid:3)(cid:38)(cid:79)(cid:68)(cid:86)(cid:86)(cid:3)(cid:36)(cid:3)(cid:68)(cid:81)(cid:71)(cid:3)(cid:38)(cid:79)(cid:68)(cid:86)(cid:86)(cid:3)(cid:37)(cid:3)(cid:38)(cid:82)(cid:80)(cid:80)(cid:82)(cid:81)(cid:3)(cid:54)(cid:87)(cid:82)(cid:70)(cid:78)(cid:3)
were 1,212 and 111 respectively, based on the holders of record. 

The Company did not repurchase any common stock during the fourth quarter of fiscal year 2009. 

The (cid:38)(cid:82)(cid:80)(cid:83)(cid:68)(cid:81)(cid:92)(cid:182)(cid:86)(cid:3)(cid:70)(cid:85)(cid:72)(cid:71)(cid:76)(cid:87)(cid:3)(cid:68)(cid:74)(cid:85)(cid:72)(cid:72)(cid:80)(cid:72)(cid:81)(cid:87)(cid:3)(cid:70)(cid:82)(cid:81)(cid:87)(cid:68)(cid:76)(cid:81)(cid:86)(cid:3)(cid:70)(cid:72)(cid:85)(cid:87)(cid:68)(cid:76)(cid:81)(cid:3)(cid:85)(cid:72)(cid:86)(cid:87)(cid:85)(cid:76)(cid:70)(cid:87)(cid:76)(cid:89)(cid:72)(cid:3)(cid:70)(cid:82)(cid:89)(cid:72)(cid:81)(cid:68)(cid:81)(cid:87)(cid:86)(cid:3)(cid:85)(cid:72)(cid:79)(cid:68)(cid:87)(cid:72)(cid:71)(cid:3)(cid:87)(cid:82)(cid:3)(cid:87)(cid:75)(cid:72)(cid:3)(cid:83)(cid:68)(cid:92)(cid:80)(cid:72)(cid:81)(cid:87)(cid:3)(cid:82)(cid:73)(cid:3)(cid:71)(cid:76)(cid:89)(cid:76)(cid:71)(cid:72)(cid:81)(cid:71)(cid:86)(cid:3)(cid:68)(cid:81)(cid:71)(cid:3)
share  repurchases.  Under  the  most  restrictive  covenant,  approximately  $59.0  million  was  available  for  such 

restricted payments as of  April 30, 2009.   Subject  to the foregoing, the  Board  of Directors considers quarterly 

the  payment  of  cash  dividends  based  upon  its  review  of  earnings,  the  financial  position  of  the  Company,  and 

other relevant factors. 

-40- 

 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Selected Financial Data 

For the Years Ended April 30, 

Dollars in millions 

(except per share data) 

2009 

2008 

2007 

2006 

2005 

Revenue 

$1,611.4 

$1,673.7 

$1,234.6 

$1,043.9 

218.5 

128.3 

(157.4) 

2,223.7 

754.9 

513.5 

225.2 

147.5 

(243.6) 

2,576.2 

797.3 

689.1 

161.5 

99.6 

(199.7) 

2,553.1 

977.7 

529.5 

152.9 

110.3 

(35.8) 

$974.0 

139.6 

83.8 

(2.4) 

1,026.0 

1,032.6 

160.5 

401.8 

196.2 

396.6 

Operating Income (a-b) 

Net Income (b-c) 

Working Capital (d) 

Total Assets 

Long-Term Debt 

(cid:54)(cid:75)(cid:68)(cid:85)(cid:72)(cid:75)(cid:82)(cid:79)(cid:71)(cid:72)(cid:85)(cid:86)(cid:182)(cid:3)(cid:40)(cid:84)(cid:88)(cid:76)(cid:87)(cid:92) 

Per Share Data 

Income Per Share (b-c) 

Diluted 

Basic 

Cash Dividends 

        $2.15 

        $2.49 

          $1.71 

          $1.85 

       $1.35 

        $2.20 

        $2.55 

          $1.75 

          $1.90 

         $1.38 

Class A Common 

        $0.52 

        $0.44 

          $0.40 

          $0.36 

         $0.30 

Class B Common 

        $0.52 

        $0.44 

          $0.40 

          $0.36 

         $0.30 

NOTE:    (cid:55)(cid:75)(cid:72)(cid:3)(cid:38)(cid:82)(cid:80)(cid:83)(cid:68)(cid:81)(cid:92)(cid:3)(cid:68)(cid:70)(cid:84)(cid:88)(cid:76)(cid:85)(cid:72)(cid:71)(cid:3)(cid:37)(cid:79)(cid:68)(cid:70)(cid:78)(cid:90)(cid:72)(cid:79)(cid:79)(cid:3)(cid:51)(cid:88)(cid:69)(cid:79)(cid:76)(cid:86)(cid:75)(cid:76)(cid:81)(cid:74)(cid:3)(cid:11)(cid:43)(cid:82)(cid:79)(cid:71)(cid:76)(cid:81)(cid:74)(cid:86)(cid:12)(cid:3)(cid:47)(cid:87)(cid:71)(cid:17)(cid:3)(cid:3)(cid:11)(cid:179)(cid:37)(cid:79)(cid:68)(cid:70)(cid:78)(cid:90)(cid:72)(cid:79)(cid:79)(cid:180)(cid:12)(cid:3)(cid:82)(cid:81)(cid:3)(cid:41)(cid:72)(cid:69)(cid:85)(cid:88)(cid:68)(cid:85)(cid:92)(cid:3)(cid:21)(cid:15)(cid:3)(cid:21)(cid:19)(cid:19)(cid:26)(cid:17)(cid:3)(cid:3) 

(a) 

In  fiscal  year  2009,  the  Company  reclassified  foreign  exchange  transaction  gains  and  losses from  operating  and  administrative 
expenses to a distinct line below operating income. Prior period results have been restated for comparability.  

(b) 

Tax benefits included in fiscal year results are as follows: 

Fiscal year 2008 includes a $18.7 million tax benefit, or $0.32 per diluted share, associated with new tax legislation enacted in the 
United Kingdom and Germany that reduced the corporate income tax rates from 30% to 28% and from 39% to 29%, respectively.  
The  benefits  recognized  by  the  Company  reflect  the  adjustments  required  to  record  all  U.K.  and  Germany-related  deferred  tax 
balances at the new corporate income tax rates. 

Fiscal  year  2007  includes  a  $5.5  million  tax  benefit,  or  $0.09  per  diluted  share.  This  benefit  coincides  with  the  resolution  and 
settlements of certain tax matters with authorities in the U.S. and abroad. 

Fiscal year 2006 includes a net tax benefit of $6.8 million, or $0.11 per diluted share, related to the favorable resolution of certain 
matters with tax authorities. 

In  the  fourth  quarter  of  fiscal  year  2005,  the  Company  elected  to  repatriate  approximately  $94  million  of  dividends  from  its 
European  subsidiaries  under  the  American  Jobs  Creation  Act  of  2004.  The  law  provided  for  a  favorable  one-time  tax  rate  on 
dividends from foreign subsidiaries.  The tax accrued on the dividend in the fourth quarter of fiscal year 2005 was approximately 
$7.5 million, or $0.12 per diluted share.  Pursuant to guidance issued by the Internal Revenue Service in May 2005, the Company 
recorded a tax benefit in the first quarter of fiscal year 2006 reversing the accrued tax recorded in the previous year.  Neither the 
first quarter fiscal year 2006 tax benefit nor the corresponding fourth quarter fiscal year 2005 tax accrual had a cash impact on the 
Company. 

(c) 

(d)  

Effective May 1, 2006, the Company adopted SFAS 123R which required that companies recognize share-based compensation to 
employees in the Statement of Income based on the fair value of the share-based awards.  The adoption of SFAS 123R resulted 
in  the  recognition  of  an  incremental  share-based  compensation  expense  of  $11.3 million  ($7.0 million  after  taxes)  or  $0.12  per 
diluted share for the full year ended April 30, 2007. 

Working  capital  is  reduced  or  negative  as  a  result  of  including  in  current  liabilities  the  deferred  revenue  related  to  journal 
subscriptions  for  which  the  cash  has  been  received.    The  deferred  revenue  will  be  recognized  into  income  as  the  journals  are 
shipped or made available online to the customers over the term of the subscription. 

-41-

 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Financial Statements and Supplementary Data 

(cid:48)(cid:36)(cid:49)(cid:36)(cid:42)(cid:40)(cid:48)(cid:40)(cid:49)(cid:55)(cid:182)(cid:54)(cid:3)(cid:53)(cid:40)(cid:51)(cid:50)(cid:53)(cid:55)(cid:3)(cid:50)(cid:49)(cid:3)(cid:44)(cid:49)(cid:55)(cid:40)(cid:53)(cid:49)(cid:36)(cid:47)(cid:3)(cid:38)(cid:50)(cid:49)(cid:55)(cid:53)(cid:50)(cid:47)(cid:3)(cid:50)(cid:57)(cid:40)(cid:53)(cid:3)(cid:41)(cid:44)(cid:49)(cid:36)(cid:49)(cid:38)(cid:44)(cid:36)(cid:47)(cid:3)(cid:53)(cid:40)(cid:51)(cid:50)(cid:53)(cid:55)(cid:44)(cid:49)(cid:42) 

To our Shareholders 
John Wiley and Sons, Inc.: 

The management of John Wiley and Sons, Inc. and subsidiaries is responsible for establishing and maintaining 

adequate internal control over financial reporting, as such term is defined in Exchange Act Rules 13a-15(f) and 

15d-15(f). 

Under  the  supervision  and  with  the  participation  of  our  management,  we  conducted  an  evaluation  of  the 
effectiveness  of  our  internal  control  over  financial  reporting  based  on  the  framework  in  Internal  Control  (cid:177) 
Integrated  Framework  issued  by  the  Committee  of  Sponsoring  Organizations  of  the  Treadway  Commission 
(COSO).  Based on our evaluation under the framework in  Internal Control  (cid:177) Integrated Framework  issued by 
COSO, our management concluded that our internal control over financial reporting was effective as of April 30, 

2009. 

Changes  in  Internal  Control  over  Financial  Reporting:  There  were  no  changes  in  our  internal  control  over 

financial reporting that have materially affected, or are reasonably likely to materially affect, our internal control 

over financial reporting during fiscal year 2009. 

The effectiveness of our internal control over financial reporting as of April 30, 2009 has been audited by KPMG 

LLP, an independent registered public accounting firm, as stated in their report which is included herein. 

The  Company(cid:182)(cid:86)(cid:3) (cid:38)(cid:82)(cid:85)(cid:83)(cid:82)(cid:85)(cid:68)(cid:87)(cid:72)(cid:3) (cid:42)(cid:82)(cid:89)(cid:72)(cid:85)(cid:81)(cid:68)(cid:81)(cid:70)(cid:72)(cid:3) (cid:51)(cid:85)(cid:76)(cid:81)(cid:70)(cid:76)(cid:83)(cid:79)(cid:72)(cid:86)(cid:15)(cid:3) (cid:38)(cid:82)(cid:80)(cid:80)(cid:76)(cid:87)(cid:87)(cid:72)(cid:72)(cid:3) (cid:38)(cid:75)(cid:68)(cid:85)(cid:87)(cid:72)(cid:85)(cid:86)(cid:15)(cid:3) (cid:37)(cid:88)(cid:86)(cid:76)(cid:81)(cid:72)(cid:86)(cid:86)(cid:3) (cid:38)(cid:82)(cid:81)(cid:71)(cid:88)(cid:70)(cid:87)(cid:3) (cid:68)(cid:81)(cid:71)(cid:3) (cid:40)(cid:87)(cid:75)(cid:76)(cid:70)(cid:86)(cid:3) (cid:51)(cid:82)(cid:79)(cid:76)(cid:70)(cid:92)(cid:3)
and the Code of Ethics for Senior Financial Officers are published on our web site at  www.wiley.com under the 
(cid:179)(cid:36)(cid:69)(cid:82)(cid:88)(cid:87)(cid:3)(cid:58)(cid:76)(cid:79)(cid:72)(cid:92)(cid:178)Investor Relations(cid:178)(cid:38)(cid:82)(cid:85)(cid:83)(cid:82)(cid:85)(cid:68)(cid:87)(cid:72)(cid:3)(cid:42)(cid:82)(cid:89)(cid:72)(cid:85)(cid:81)(cid:68)(cid:81)(cid:70)(cid:72)(cid:180)(cid:3)(cid:70)(cid:68)(cid:83)(cid:87)(cid:76)(cid:82)(cid:81)(cid:86)(cid:17)(cid:3)(cid:3)(cid:38)(cid:82)(cid:83)(cid:76)(cid:72)(cid:86)(cid:3)(cid:68)(cid:85)(cid:72)(cid:3)(cid:68)(cid:79)(cid:86)(cid:82)(cid:3)(cid:68)(cid:89)(cid:68)(cid:76)(cid:79)(cid:68)(cid:69)(cid:79)(cid:72)(cid:3)(cid:73)(cid:85)(cid:72)(cid:72)(cid:3)(cid:82)(cid:73)(cid:3)(cid:70)(cid:75)(cid:68)(cid:85)(cid:74)(cid:72)(cid:3)
to shareholders on request to the Corporate Secretary, John Wiley & Sons, Inc., 111 River Street, Hoboken, NJ 

07030-5774. 

/s/  William J. Pesce 

William J. Pesce 

President and Chief Executive Officer 

/s/  Ellis E. Cousens 

Ellis E. Cousens 

Executive Vice President and 

Chief Financial and Operations Officer 

/s/  Edward J. Melando 

Edward J. Melando 

Vice President, Controller and  

Chief Accounting Officer 

June 24, 2009 

-42- 

 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 Report of Independent Registered Public Accounting Firm 

The Board of Directors and Stockholders 
John Wiley & Sons, Inc.: 

We  have  audited  the  accompanying  consolidated  statements  of  financial  position  of  John  Wiley  &  Sons,  Inc. 

(cid:11)(cid:87)(cid:75)(cid:72)(cid:3) (cid:179)(cid:38)(cid:82)(cid:80)(cid:83)(cid:68)(cid:81)(cid:92)(cid:180)(cid:12)(cid:3) (cid:68)(cid:81)(cid:71)(cid:3) (cid:86)(cid:88)(cid:69)(cid:86)(cid:76)(cid:71)(cid:76)(cid:68)(cid:85)(cid:76)(cid:72)(cid:86)(cid:3) (cid:68)(cid:86)(cid:3) (cid:82)(cid:73)(cid:3) (cid:36)(cid:83)(cid:85)(cid:76)(cid:79)(cid:3) (cid:22)(cid:19)(cid:15)(cid:3) (cid:21)(cid:19)(cid:19)(cid:28)(cid:3) (cid:68)(cid:81)(cid:71)(cid:3) (cid:21)(cid:19)(cid:19)(cid:27)(cid:15)(cid:3) (cid:68)(cid:81)(cid:71)(cid:3) (cid:87)(cid:75)(cid:72)(cid:3) (cid:85)(cid:72)(cid:79)(cid:68)(cid:87)(cid:72)(cid:71)(cid:3) (cid:70)(cid:82)(cid:81)(cid:86)(cid:82)(cid:79)(cid:76)(cid:71)(cid:68)(cid:87)(cid:72)(cid:71)(cid:3) (cid:86)(cid:87)(cid:68)(cid:87)(cid:72)(cid:80)(cid:72)(cid:81)(cid:87)(cid:86)(cid:3) (cid:82)(cid:73)(cid:3)
(cid:76)(cid:81)(cid:70)(cid:82)(cid:80)(cid:72)(cid:15)(cid:3)(cid:86)(cid:87)(cid:82)(cid:70)(cid:78)(cid:75)(cid:82)(cid:79)(cid:71)(cid:72)(cid:85)(cid:86)(cid:182)(cid:3)(cid:72)(cid:84)(cid:88)(cid:76)(cid:87)(cid:92)(cid:3)(cid:68)(cid:81)(cid:71)(cid:3)(cid:70)(cid:82)(cid:80)(cid:83)(cid:85)(cid:72)(cid:75)(cid:72)(cid:81)(cid:86)(cid:76)(cid:89)(cid:72)(cid:3)(cid:76)(cid:81)(cid:70)(cid:82)(cid:80)(cid:72)(cid:15)(cid:3)(cid:68)(cid:81)(cid:71)(cid:3)(cid:70)(cid:68)(cid:86)(cid:75)(cid:3)(cid:73)(cid:79)(cid:82)(cid:90)(cid:86)(cid:3)(cid:73)(cid:82)(cid:85)(cid:3)(cid:72)(cid:68)(cid:70)(cid:75)(cid:3)(cid:82)(cid:73)(cid:3)(cid:87)(cid:75)(cid:72)(cid:3)(cid:92)(cid:72)(cid:68)(cid:85)(cid:86)(cid:3)(cid:76)(cid:81)(cid:3)(cid:87)(cid:75)(cid:72)(cid:3)(cid:87)(cid:75)(cid:85)(cid:72)(cid:72)-year 
period  ended  April  30,  2009.  In  connection  with  our  audits  of  the  consolidated  financial  statements,  we  also 

have  audited  the  financial  statement  schedule  (as  listed  in  the  index  to  Item  8).   These  consolidated  financial 
statements  and  financial  statement  schedule  are  the  responsibi(cid:79)(cid:76)(cid:87)(cid:92)(cid:3) (cid:82)(cid:73)(cid:3) (cid:87)(cid:75)(cid:72)(cid:3) (cid:38)(cid:82)(cid:80)(cid:83)(cid:68)(cid:81)(cid:92)(cid:182)(cid:86)(cid:3) (cid:80)(cid:68)(cid:81)(cid:68)(cid:74)(cid:72)(cid:80)(cid:72)(cid:81)(cid:87)(cid:17)(cid:3) (cid:50)(cid:88)(cid:85)(cid:3)
responsibility  is  to  express  an  opinion  on  these  consolidated  financial  statements  and  financial  statement 
schedule based on our audits. 

We conducted our audits in accordance with the standards of the Public Company Accounting Oversight Board 

(United  States).  Those  standards  require  that  we  plan  and  perform  the  audit  to  obtain  reasonable  assurance 

about whether the financial statements are free of material misstatement. An audit includes examining, on a test 

basis,  evidence  supporting  the  amounts  and  disclosures  in  the  financial  statements.  An  audit  also  includes 

assessing the accounting principles used and significant estimates made by management, as well as evaluating 

the  overall  financial  statement  presentation.  We  believe  that  our  audits  provide  a  reasonable  basis  for  our 
opinion.  

In our opinion, the consolidated financial statements referred to above present fairly, in all material respects, the 

financial position of John Wiley & Sons, Inc. and subsidiaries as of April 30, 2009 and 2008, and the results of 

their  operations  and  their  cash  flows  for  each  of  the  years  in  the  three-year  period  ended  April  30,  2009,  in 

conformity  with  U.S. generally  accepted  accounting  principles.  Also  in  our  opinion,  the  related  financial 

statement  schedule,  when  considered  in  relation  to  the  basic  consolidated  financial  statements  taken  as  a 
whole, presents fairly, in all material respects, the information set forth therein. 

We  also  have  audited,  in  accordance  with  the  standards  of  the  Public  Company  Accounting  Oversight  Board 

(cid:11)(cid:56)(cid:81)(cid:76)(cid:87)(cid:72)(cid:71)(cid:3)(cid:54)(cid:87)(cid:68)(cid:87)(cid:72)(cid:86)(cid:12)(cid:15)(cid:3)(cid:45)(cid:82)(cid:75)(cid:81)(cid:3)(cid:58)(cid:76)(cid:79)(cid:72)(cid:92)(cid:3)(cid:9)(cid:3)(cid:54)(cid:82)(cid:81)(cid:86)(cid:15)(cid:3)(cid:44)(cid:81)(cid:70)(cid:17)(cid:182)(cid:86)(cid:3)(cid:76)(cid:81)(cid:87)(cid:72)(cid:85)(cid:81)(cid:68)(cid:79)(cid:3)(cid:70)(cid:82)(cid:81)(cid:87)(cid:85)(cid:82)(cid:79)(cid:3)(cid:82)(cid:89)(cid:72)(cid:85)(cid:3)(cid:73)(cid:76)(cid:81)(cid:68)(cid:81)(cid:70)(cid:76)(cid:68)(cid:79)(cid:3)(cid:85)(cid:72)(cid:83)(cid:82)(cid:85)(cid:87)(cid:76)(cid:81)(cid:74)(cid:3)(cid:68)(cid:86)(cid:3)(cid:82)(cid:73)(cid:3)(cid:36)(cid:83)(cid:85)(cid:76)(cid:79)(cid:3)(cid:22)(cid:19)(cid:15)(cid:3)(cid:21)(cid:19)(cid:19)(cid:28)(cid:15)(cid:3)(cid:69)(cid:68)(cid:86)(cid:72)(cid:71)(cid:3)(cid:82)(cid:81)(cid:3)
criteria  established  in  Internal  Control  (cid:177)  Integrated  Framework  issued  by  the  Committee  of  Sponsoring 
(cid:50)(cid:85)(cid:74)(cid:68)(cid:81)(cid:76)(cid:93)(cid:68)(cid:87)(cid:76)(cid:82)(cid:81)(cid:86)(cid:3) (cid:82)(cid:73)(cid:3) (cid:87)(cid:75)(cid:72)(cid:3) (cid:55)(cid:85)(cid:72)(cid:68)(cid:71)(cid:90)(cid:68)(cid:92)(cid:3) (cid:38)(cid:82)(cid:80)(cid:80)(cid:76)(cid:86)(cid:86)(cid:76)(cid:82)(cid:81)(cid:3) (cid:11)(cid:38)(cid:50)(cid:54)(cid:50)(cid:12)(cid:180)(cid:12)(cid:15)(cid:3) (cid:68)(cid:81)(cid:71)(cid:3) (cid:82)(cid:88)(cid:85)(cid:3) (cid:85)(cid:72)(cid:83)(cid:82)(cid:85)(cid:87)(cid:3) (cid:71)(cid:68)(cid:87)(cid:72)(cid:71)(cid:3) (cid:45)(cid:88)(cid:81)(cid:72)(cid:3) (cid:21)4,  2009  expressed  an 
(cid:88)(cid:81)(cid:84)(cid:88)(cid:68)(cid:79)(cid:76)(cid:73)(cid:76)(cid:72)(cid:71)(cid:3)(cid:82)(cid:83)(cid:76)(cid:81)(cid:76)(cid:82)(cid:81)(cid:3)(cid:82)(cid:81)(cid:3)(cid:87)(cid:75)(cid:72)(cid:3)(cid:72)(cid:73)(cid:73)(cid:72)(cid:70)(cid:87)(cid:76)(cid:89)(cid:72)(cid:81)(cid:72)(cid:86)(cid:86)(cid:3)(cid:82)(cid:73)(cid:3)(cid:87)(cid:75)(cid:72)(cid:3)(cid:38)(cid:82)(cid:80)(cid:83)(cid:68)(cid:81)(cid:92)(cid:182)(cid:86)(cid:3)(cid:76)(cid:81)(cid:87)(cid:72)(cid:85)(cid:81)(cid:68)(cid:79)(cid:3)(cid:70)(cid:82)(cid:81)(cid:87)(cid:85)(cid:82)(cid:79)(cid:3)(cid:82)(cid:89)(cid:72)(cid:85)(cid:3)(cid:73)(cid:76)(cid:81)(cid:68)(cid:81)(cid:70)(cid:76)(cid:68)(cid:79)(cid:3)(cid:85)eporting.   

(signed) KPMG LLP 

New York, New York  
June 24, 2009 

-43- 

 
 
 
 
 
 
Report of Independent Registered Public Accounting Firm 

The Board of Directors and Stockholders 
John Wiley & Sons, Inc.: 

(cid:58)(cid:72)(cid:3)(cid:75)(cid:68)(cid:89)(cid:72)(cid:3)(cid:68)(cid:88)(cid:71)(cid:76)(cid:87)(cid:72)(cid:71)(cid:3)(cid:45)(cid:82)(cid:75)(cid:81)(cid:3)(cid:58)(cid:76)(cid:79)(cid:72)(cid:92)(cid:3)(cid:9)(cid:3)(cid:54)(cid:82)(cid:81)(cid:86)(cid:15)(cid:3)(cid:44)(cid:81)(cid:70)(cid:17)(cid:182)(cid:86)(cid:3)(cid:76)(cid:81)(cid:87)(cid:72)(cid:85)(cid:81)(cid:68)(cid:79)(cid:3)(cid:70)(cid:82)(cid:81)(cid:87)(cid:85)(cid:82)(cid:79)(cid:3)(cid:82)(cid:89)(cid:72)(cid:85)(cid:3) financial reporting as of April 30, 2009, based 
on  criteria  established  in  Internal  Control  (cid:177)  Integrated  Framework  issued  by  the  Committee  of  Sponsoring 
(cid:50)(cid:85)(cid:74)(cid:68)(cid:81)(cid:76)(cid:93)(cid:68)(cid:87)(cid:76)(cid:82)(cid:81)(cid:86)(cid:3)(cid:82)(cid:73)(cid:3)(cid:87)(cid:75)(cid:72)(cid:3)(cid:55)(cid:85)(cid:72)(cid:68)(cid:71)(cid:90)(cid:68)(cid:92)(cid:3)(cid:38)(cid:82)(cid:80)(cid:80)(cid:76)(cid:86)(cid:86)(cid:76)(cid:82)(cid:81)(cid:3)(cid:11)(cid:38)(cid:50)(cid:54)(cid:50)(cid:12)(cid:17)(cid:3)(cid:45)(cid:82)(cid:75)(cid:81)(cid:3)(cid:58)(cid:76)(cid:79)(cid:72)(cid:92)(cid:3)(cid:9)(cid:3)(cid:54)(cid:82)(cid:81)(cid:86)(cid:15)(cid:3)(cid:44)(cid:81)(cid:70)(cid:17)(cid:182)(cid:86)(cid:3)(cid:80)(cid:68)(cid:81)(cid:68)(cid:74)(cid:72)(cid:80)(cid:72)(cid:81)(cid:87)(cid:3)(cid:76)(cid:86)(cid:3)(cid:85)(cid:72)(cid:86)(cid:83)(cid:82)(cid:81)(cid:86)(cid:76)(cid:69)(cid:79)(cid:72)(cid:3)(cid:73)(cid:82)r 
maintaining  effective  internal  control  over  financial  reporting  and  for  its  assessment  of  the  effectiveness  of 
(cid:76)(cid:81)(cid:87)(cid:72)(cid:85)(cid:81)(cid:68)(cid:79)(cid:3)(cid:70)(cid:82)(cid:81)(cid:87)(cid:85)(cid:82)(cid:79)(cid:3)(cid:82)(cid:89)(cid:72)(cid:85)(cid:3)(cid:73)(cid:76)(cid:81)(cid:68)(cid:81)(cid:70)(cid:76)(cid:68)(cid:79)(cid:3)(cid:85)(cid:72)(cid:83)(cid:82)(cid:85)(cid:87)(cid:76)(cid:81)(cid:74)(cid:15)(cid:3)(cid:76)(cid:81)(cid:70)(cid:79)(cid:88)(cid:71)(cid:72)(cid:71)(cid:3)(cid:76)(cid:81)(cid:3)(cid:87)(cid:75)(cid:72)(cid:3)(cid:68)(cid:70)(cid:70)(cid:82)(cid:80)(cid:83)(cid:68)(cid:81)(cid:92)(cid:76)(cid:81)(cid:74)(cid:3)(cid:48)(cid:68)(cid:81)(cid:68)(cid:74)(cid:72)(cid:80)(cid:72)(cid:81)(cid:87)(cid:182)(cid:86)(cid:3)(cid:53)(cid:72)(cid:83)(cid:82)(cid:85)(cid:87)(cid:3)(cid:82)(cid:81)(cid:3)(cid:44)(cid:81)(cid:87)(cid:72)(cid:85)(cid:81)(cid:68)(cid:79)(cid:3)(cid:38)(cid:82)(cid:81)(cid:87)(cid:85)(cid:82)(cid:79)(cid:3)
Over  Financial  Reporting.  Our  r(cid:72)(cid:86)(cid:83)(cid:82)(cid:81)(cid:86)(cid:76)(cid:69)(cid:76)(cid:79)(cid:76)(cid:87)(cid:92)(cid:3) (cid:76)(cid:86)(cid:3) (cid:87)(cid:82)(cid:3) (cid:72)(cid:91)(cid:83)(cid:85)(cid:72)(cid:86)(cid:86)(cid:3) (cid:68)(cid:81)(cid:3) (cid:82)(cid:83)(cid:76)(cid:81)(cid:76)(cid:82)(cid:81)(cid:3) (cid:82)(cid:81)(cid:3) (cid:87)(cid:75)(cid:72)(cid:3) (cid:38)(cid:82)(cid:80)(cid:83)(cid:68)(cid:81)(cid:92)(cid:182)(cid:86)(cid:3) (cid:76)(cid:81)(cid:87)(cid:72)(cid:85)(cid:81)(cid:68)(cid:79)(cid:3) (cid:70)(cid:82)(cid:81)(cid:87)(cid:85)(cid:82)(cid:79)(cid:3) (cid:82)(cid:89)(cid:72)(cid:85)(cid:3)
financial reporting based on our audit.  

We conducted our audit in accordance with the standards of the Public Company Accounting Oversight Board 
(United  States).  Those  standards  require  that  we  plan  and  perform  the  audit  to  obtain  reasonable  assurance 
about  whether  effective  internal  control  over  financial  reporting  was  maintained  in  all  material  respects.  Our 
audit  included  obtaining  an  understanding  of  internal  control  over  financial  reporting,  assessing  the  risk  that  a 
material weakness exists, and testing and evaluating the design and operating effectiveness of internal control 
based  on  the  assessed  risk.  Our  audit  also  included  performing  such  other  procedures  as  we  considered 
necessary in the circumstances. We believe that our audit provides a reasonable basis for our opinion.  

(cid:36)(cid:3) (cid:70)(cid:82)(cid:80)(cid:83)(cid:68)(cid:81)(cid:92)(cid:182)(cid:86)(cid:3) (cid:76)(cid:81)(cid:87)(cid:72)(cid:85)(cid:81)(cid:68)(cid:79)(cid:3) (cid:70)(cid:82)(cid:81)(cid:87)(cid:85)(cid:82)(cid:79)(cid:3) (cid:82)(cid:89)(cid:72)(cid:85)(cid:3) (cid:73)(cid:76)(cid:81)(cid:68)(cid:81)(cid:70)(cid:76)(cid:68)(cid:79)(cid:3) (cid:85)(cid:72)(cid:83)(cid:82)(cid:85)(cid:87)(cid:76)(cid:81)(cid:74)(cid:3) (cid:76)(cid:86)(cid:3) (cid:68)(cid:3) (cid:83)(cid:85)(cid:82)(cid:70)(cid:72)(cid:86)(cid:86)(cid:3) (cid:71)(cid:72)(cid:86)(cid:76)(cid:74)(cid:81)(cid:72)(cid:71)(cid:3) (cid:87)(cid:82)(cid:3) (cid:83)(cid:85)(cid:82)(cid:89)(cid:76)(cid:71)(cid:72)(cid:3) (cid:85)(cid:72)(cid:68)(cid:86)(cid:82)(cid:81)(cid:68)(cid:69)(cid:79)(cid:72)(cid:3) (cid:68)(cid:86)(cid:86)(cid:88)(cid:85)(cid:68)(cid:81)(cid:70)(cid:72)(cid:3)
regarding the reliability of financial reporting and the preparation of financial statements for external purposes in 
(cid:68)(cid:70)(cid:70)(cid:82)(cid:85)(cid:71)(cid:68)(cid:81)(cid:70)(cid:72)(cid:3)(cid:90)(cid:76)(cid:87)(cid:75)(cid:3)(cid:74)(cid:72)(cid:81)(cid:72)(cid:85)(cid:68)(cid:79)(cid:79)(cid:92)(cid:3)(cid:68)(cid:70)(cid:70)(cid:72)(cid:83)(cid:87)(cid:72)(cid:71)(cid:3)(cid:68)(cid:70)(cid:70)(cid:82)(cid:88)(cid:81)(cid:87)(cid:76)(cid:81)(cid:74)(cid:3)(cid:83)(cid:85)(cid:76)(cid:81)(cid:70)(cid:76)(cid:83)(cid:79)(cid:72)(cid:86)(cid:17)(cid:3)(cid:36)(cid:3)(cid:70)(cid:82)(cid:80)(cid:83)(cid:68)(cid:81)(cid:92)(cid:182)(cid:86)(cid:3)(cid:76)(cid:81)(cid:87)(cid:72)(cid:85)(cid:81)(cid:68)(cid:79)(cid:3)(cid:70)(cid:82)(cid:81)(cid:87)(cid:85)(cid:82)(cid:79)(cid:3)(cid:82)(cid:89)(cid:72)(cid:85)(cid:3)(cid:73)(cid:76)(cid:81)(cid:68)(cid:81)(cid:70)(cid:76)(cid:68)(cid:79)(cid:3)(cid:85)(cid:72)(cid:83)(cid:82)(cid:85)(cid:87)(cid:76)(cid:81)(cid:74)(cid:3)
includes those policies and procedures that (1) pertain to the maintenance of records that, in reasonable detail, 
accurately  and  fairly  reflect  the  transactions  and  dispositions  of  the  assets  of  the  company;  (2) provide 
reasonable assurance that transactions are recorded as necessary to permit preparation of financial statements 
in accordance with generally accepted accounting principles, and that receipts and expenditures of the company 
are  being  made  only  in  accordance  with  authorizations  of  management  and  directors  of  the  company;  and 
(3) provide reasonable assurance regarding  prevention or timely  detection of unauthorized  acquisition,  use, or 
(cid:71)(cid:76)(cid:86)(cid:83)(cid:82)(cid:86)(cid:76)(cid:87)(cid:76)(cid:82)(cid:81)(cid:3)(cid:82)(cid:73)(cid:3)(cid:87)(cid:75)(cid:72)(cid:3)(cid:70)(cid:82)(cid:80)(cid:83)(cid:68)(cid:81)(cid:92)(cid:182)(cid:86)(cid:3)(cid:68)(cid:86)(cid:86)(cid:72)(cid:87)(cid:86)(cid:3)(cid:87)(cid:75)(cid:68)(cid:87)(cid:3)(cid:70)(cid:82)(cid:88)(cid:79)(cid:71)(cid:3)(cid:75)(cid:68)(cid:89)(cid:72)(cid:3)(cid:68)(cid:3)(cid:80)(cid:68)(cid:87)(cid:72)(cid:85)(cid:76)(cid:68)(cid:79)(cid:3)(cid:72)(cid:73)(cid:73)(cid:72)(cid:70)(cid:87)(cid:3)(cid:82)(cid:81)(cid:3)(cid:87)(cid:75)(cid:72)(cid:3)(cid:73)(cid:76)(cid:81)(cid:68)(cid:81)(cid:70)(cid:76)(cid:68)(cid:79)(cid:3)(cid:86)(cid:87)(cid:68)(cid:87)(cid:72)(cid:80)(cid:72)(cid:81)(cid:87)(cid:86)(cid:17) 

Because  of  its  inherent  limitations,  internal  control  over  financial  reporting  may  not  prevent  or  detect 
misstatements. Also, projections of any evaluation of effectiveness to future periods are subject to the risk that 
controls may become inadequate because of changes in conditions, or that the degree of compliance with the 
policies or procedures may deteriorate. 

In  our  opinion,  John  Wiley  &  Sons,  Inc.  maintained,  in  all  material  respects,  effective  internal  control  over 
financial reporting as of April 30, 2009, based on criteria established in Internal Control (cid:177) Integrated Framework 
issued by the Committee of Sponsoring Organizations of the Treadway Commission.  

We  also  have  audited,  in  accordance  with  the  standards  of  the  Public  Company  Accounting  Oversight  Board 
(United States), the consolidated statements of financial position of John Wiley & Sons, Inc. and subsidiaries as 
of  April (cid:22)(cid:19)(cid:15)(cid:3) (cid:21)(cid:19)(cid:19)(cid:28)(cid:3) (cid:68)(cid:81)(cid:71)(cid:3) (cid:21)(cid:19)(cid:19)(cid:27)(cid:15)(cid:3) (cid:68)(cid:81)(cid:71)(cid:3) (cid:87)(cid:75)(cid:72)(cid:3) (cid:85)(cid:72)(cid:79)(cid:68)(cid:87)(cid:72)(cid:71)(cid:3) (cid:70)(cid:82)(cid:81)(cid:86)(cid:82)(cid:79)(cid:76)(cid:71)(cid:68)(cid:87)(cid:72)(cid:71)(cid:3) (cid:86)(cid:87)(cid:68)(cid:87)(cid:72)(cid:80)(cid:72)(cid:81)(cid:87)(cid:86)(cid:3) (cid:82)(cid:73)(cid:3) (cid:82)(cid:83)(cid:72)(cid:85)(cid:68)(cid:87)(cid:76)(cid:82)(cid:81)(cid:86)(cid:15)(cid:3) (cid:86)(cid:87)(cid:82)(cid:70)(cid:78)(cid:75)(cid:82)(cid:79)(cid:71)(cid:72)(cid:85)(cid:86)(cid:182)(cid:3) (cid:72)(cid:84)(cid:88)(cid:76)(cid:87)(cid:92)(cid:3) (cid:68)(cid:81)(cid:71)(cid:3)
comprehensive income, and cash flows for each of the years in the three-year period ended April 30, 2009, and 
our report dated June 24, 2009 expressed an unqualified opinion on those consolidated financial statements. 

(signed) KPMG LLP 

New York, New York  
June 24, 2009 

-44- 

 
 
 
CONSOLIDATED STATEMENTS OF FINANCIAL POSITION 

John Wiley & Sons, Inc., and Subsidiaries 
Dollars in thousands 
Assets: 
Current Assets 

Cash and cash equivalents 
Accounts receivable 
Inventories 
Prepaid and other 
Total Current Assets 

Product Development Assets 
Property, Equipment and Technology 
Intangible Assets 
Goodwill 
Deferred Income Tax Benefits 
Other Assets 
Total Assets 

(cid:47)(cid:76)(cid:68)(cid:69)(cid:76)(cid:79)(cid:76)(cid:87)(cid:76)(cid:72)(cid:86)(cid:3)(cid:68)(cid:81)(cid:71)(cid:3)(cid:54)(cid:75)(cid:68)(cid:85)(cid:72)(cid:75)(cid:82)(cid:79)(cid:71)(cid:72)(cid:85)(cid:86)(cid:182)(cid:3)(cid:40)(cid:84)(cid:88)(cid:76)(cid:87)(cid:92)(cid:29) 
Current Liabilities 

Accounts and royalties payable 
Deferred revenue 
Accrued income taxes 
Accrued pension liability 
Other accrued liabilities 
Current portion of long-term debt 
Total Current Liabilities 

Long-Term Debt 
Accrued Pension Liability 
Other Long-Term Liabilities 
Deferred Income Taxes 
(cid:54)(cid:75)(cid:68)(cid:85)(cid:72)(cid:75)(cid:82)(cid:79)(cid:71)(cid:72)(cid:85)(cid:86)(cid:182)(cid:3)(cid:40)(cid:84)(cid:88)(cid:76)(cid:87)(cid:92) 

Preferred Stock, $1 par value: Authorized - 2 million, Issued - zero  
Class A Common Stock, $1 par value: Authorized - 180 million,  

Issued (cid:177) 69,643,571 and 69,641,921 

Class B Common Stock, $1 par value:  Authorized - 72 million, 

Issued (cid:177) 13,546,691 and 13,548,341 

Additional paid-in capital 
Retained earnings 

Accumulated other comprehensive gain (loss): 
Foreign currency translation adjustment 
Unamortized pension and retiree medical 
Unrealized gain (loss) on interest rate swap 

$ 

$ 

$ 

 April 30  

        2009  

 2008 

102,828  $ 
178,550 
111,267 
46,924 
439,569 

89,662 
141,196 
919,375 
589,993 
14,065 
29,848 
2,223,708  $ 

160,275  $ 
246,584 
4,281 
2,483 
115,844 
67,500 
596,967 

754,900 
90,621 
91,292 
176,412 

59,311 
212,158 
118,209 
45,303 
434,981 

95,126 
145,709 
1,120,398 
708,233 
29,136 
42,632 
2,576,215 

189,332 
303,231 
1,633 
2,499 
136,867 
45,000 
678,562 

797,318 
82,755 
100,421 
228,041 

- 

- 

69,644 

69,642 

13,547 
164,592 
892,542 

(203,023) 
(41,978) 
(13,397) 
881,927 

13,549 
140,723 
794,762 

53,292 
(26,813) 
(13,831) 
1,031,324 

(342,206) 
689,118 
2,576,215 

Less Treasury Shares At Cost (Class A (cid:177) 20,907,317 and 20,661,469; 

Class B (cid:177) 3,902,576 and 3,902,576) 

(cid:55)(cid:82)(cid:87)(cid:68)(cid:79)(cid:3)(cid:54)(cid:75)(cid:68)(cid:85)(cid:72)(cid:75)(cid:82)(cid:79)(cid:71)(cid:72)(cid:85)(cid:86)(cid:182)(cid:3)(cid:40)(cid:84)(cid:88)(cid:76)(cid:87)(cid:92) 
(cid:55)(cid:82)(cid:87)(cid:68)(cid:79)(cid:3)(cid:47)(cid:76)(cid:68)(cid:69)(cid:76)(cid:79)(cid:76)(cid:87)(cid:76)(cid:72)(cid:86)(cid:3)(cid:68)(cid:81)(cid:71)(cid:3)(cid:54)(cid:75)(cid:68)(cid:85)(cid:72)(cid:75)(cid:82)(cid:79)(cid:71)(cid:72)(cid:85)(cid:86)(cid:182)(cid:3)(cid:40)(cid:84)(cid:88)(cid:76)(cid:87)(cid:92) 

(368,411) 
513,516 
2,223,708  $ 

$ 

The accompanying notes are an integral part of the consolidated financial statements. 

-45- 

 
 
 
 
 
 
 
  
  
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
CONSOLIDATED STATEMENTS OF INCOME 

John Wiley & Sons, Inc., and Subsidiaries 
Dollars in thousands, except per share data 

   2009 

For the years ended April 30  
   2008 

 2007 

Revenue 

Costs and Expenses 

Cost of sales 
Operating and administrative expenses 
Amortization of intangibles 
Total Costs and Expenses 

Operating Income 

Interest expense 
Foreign exchange losses 
Interest income and other, net 

Net Interest Expense and Other 

Income Before Taxes 
Provision for Income Taxes 

Net Income 

Income Per Share 
Diluted 
Basic 

Cash Dividends Per Share 
Class A Common 
Class B Common 

Average Shares 
Diluted  
Basic 

$ 

1,611,390  $ 

1,673,734  $ 

1,234,641 

516,420 
839,648 
36,844 
1,392,912 

218,478 

(48,424) 
(11,759) 
6,180 
(54,003) 

164,475 
36,217 

532,908 
876,635 
38,980 
1,448,523 

392,692 
659,793 
20,675 
1,073,160 

225,211 

161,481 

(66,738) 
(2,863) 
5,918 
(63,683) 

161,528 
13,992 

(26,188) 
(177) 
4,386 
(21,979) 

139,502 
39,883 

$ 

$ 

$ 

128,258  $ 

147,536  $ 

99,619 

2.15  $ 
2.20 

0.52  $ 
0.52 

2.49  $ 
2.55 

0.44  $ 
0.44 

1.71 
1.75 

0.40 
0.40 

59,610 
58,419 

59,323 
57,921 

58,287 
56,932 

The accompanying notes are an integral part of the consolidated financial statements. 

-46- 

 
 
 
 
 
 
 
 
 
 
 
 
 
 
  
  
  
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
CONSOLIDATED STATEMENTS OF CASH FLOWS 

John Wiley & Sons, Inc., and Subsidiaries 

Dollars in thousands  

For the years ended April 30  

   2009 

  2008 

2007 

Operating Activities 

Net Income 
Noncash Items 

Amortization of intangibles 
Amortization of composition costs 

Depreciation of property, equipment and technology 

Stock-based compensation (net of tax) 
Excess tax benefits from stock-based compensation 

Non-cash tax benefits 
Reserves for returns, doubtful accounts, and obsolescence 
Deferred income taxes 
Pension expense 

Earned royalty advances and other 

Changes in Operating Assets and Liabilities 

Increase/(Decrease), excluding acquisitions 

Accounts receivable 

Inventories 
Accounts and royalties payable 
Deferred revenue 
Net taxes payable 

Other accrued liabilities 
Pension contributions 
Other  

Cash Provided by Operating Activities 

Investing Activities 

Additions to product development assets 
Additions to property, equipment and technology 
Blackwell acquisition, net of cash acquired 

Acquisition of other publishing businesses, assets and rights 
Sale of marketable securities 

Cash Used for Investing Activities 

Financing Activities 

Repayment of long-term debt 
Borrowings of long-term debt 
Purchase of treasury stock 
Change in book overdrafts 

Debt financing costs 
Cash dividends 
Proceeds from exercise of stock options and other 
Excess tax benefit from stock-based compensation  
Cash (Used for)/Provided by Financing Activities 

Effects of Exchange Rate Changes on Cash 

Cash and Cash Equivalents 

Increase/(Decrease) for year 
Balance at beginning of year 

Balance at end of year 

Cash paid During the Year for 

Interest 
Income taxes, net 

$ 

128,258    $ 

147,536  $ 

  99,619 

36,844   
43,767   

35,134   

10,625  
(5,350)   

- 
13,355 
17,141 
18,324 

     38,980 
     43,613 

     33,330 

     17,475 
     (11,223) 

     (18,663) 
         6,419 
       10,784 
       22,894 

76,175   

       58,100 

    20,675  
     38,722  

     28,926  

     12,559  
     (4,455) 

     (5,468)  
       6,931 
       3,604  
     16,710  

     40,662 

(25,937)   

     (47,427) 

       1,167  

(6,696)   
8,070   
2,430   

11,411 

(2,657)   
(21,020)   
1,381   

341,255 

(131,666)   
(46,009)   
-   

(23,960)   
-   
(201,635)   

(618,512) 

598,594   
(35,110)   
(20,522)   

-   
(30,478)   
11,623 

5,350   

(89,055) 
(7,048) 

     (10,038) 
        4,421 
      37,697 
      20,311 

     (10,838) 
     (59,360) 
       (3,876) 
   280,135 

   (113,069) 
     (50,315) 
               - 

       (6,802) 
              - 
   (170,186) 

(1,049,360) 
   891,476 
       (3,679) 
     36,253 

              - 
     (25,613) 
     15,190 
     11,223 
   (124,510) 
       2,379 

     (4,060) 
   (22,465) 
   (15,872) 
        (956) 

    11,543  
     (8,338) 
       1,090  
  220,594 

   (76,225) 
   (31,445) 
 (953,197) 

   (19,712) 
     42,334  
(1,038,245) 

   (620,678) 
1,458,400  
       (7,278) 
       6,754 

       (8,315) 
     (22,839) 
       6,462  
       4,455  
   816,961  
       2,437  

43,517 
59,311  

     (12,182) 
     71,493 

        1,747 
      69,746  

102,828  $ 

     59,311  $ 

      71,493  

50,108  $ 
15,942  $ 

     69,071  $ 
     24,679  $ 

      12,294  
      40,422  

$ 

$ 
$ 

The accompanying notes are an integral part of the consolidated financial statements. 

-47- 

 
 
 
 
  
  
  
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
  
  
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
  
  
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
  
  
 
 
 
 
  
  
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
CONSOLIDATED STATEMENTS OF (cid:54)(cid:43)(cid:36)(cid:53)(cid:40)(cid:43)(cid:50)(cid:47)(cid:39)(cid:40)(cid:53)(cid:54)(cid:182)(cid:3)(cid:40)(cid:52)(cid:56)(cid:44)(cid:55)(cid:60) 
AND COMPREHENSIVE INCOME 

John Wiley & Sons, Inc., and Subsidiaries 
Dollars in thousands 

Common 
Stock 
Class A 

Common 
Stock 
Class B 

Additional 
Paid-in 
Capital 

Retained 
Earnings 

Treasury  
Stock 

Unearned 
Deferred 
Comp- 
ensation 

Accumulated 
Other Comp- 
rehensive 
Income 
 (Loss) 

Total 
Share- 
(cid:75)(cid:82)(cid:79)(cid:71)(cid:72)(cid:85)(cid:182)(cid:86) 
Equity 

Balance at May 1, 2006 

$69,035 

$14,156 

$69,587 

$596,474 

$(351,569) 

$(3,512) 

$7,669 

$401,840 

Shares Issued Under Employee Benefit Plans 
Purchase of Treasury Shares 
Exercise of Stock Options, including taxes  
Stock-based compensation expense 
Class A Common Stock Dividends  
Class B Common Stock Dividends  
Other 
Adoption of FASB Statement No. 158, net of a 
    $6,025 tax benefit 
Comprehensive Income: 
Net income 
Foreign currency translation adjustments 
Unamortized pension and retiree medical, 

net of a $3,217 tax benefit 

Unrealized loss on interest rate swap, net of 

a $1,086 tax benefit 
Total Comprehensive Income 

8,149 

5,663 
20,126 

(18,806) 
(4,033) 

2,976 
(7,278) 
3,964 

353 

(353) 

(3,512) 

3,512 

99,619 

11,125 
(7,278) 
9,627 
20,126 
(18,806) 
(4,033) 

(8,078) 

(8,078) 

31,484 

99,619 
31,484 

(4,316) 

(4,316) 

(1,802) 

(1,802) 
124,985 

Balance at April 30, 2007 

$69,388 

$13,803 

$100,013 

$673,254 

$(351,907) 

$ - 

$24,957 

$529,508 

Shares Issued Under Employee Benefit Plans 
Purchase of Treasury Shares 
Exercise of Stock Options, including taxes  
Stock-based compensation expense 
Class A Common Stock Dividends  
Class B Common Stock Dividends  
Other 
Adoption of FIN 48, tax liability adjustment 
Comprehensive Income: 
Net income 
Foreign currency translation adjustments 
Unamortized pension and retiree medical, 

net of a $ 1,848 tax benefit 

Unrealized loss on interest rate swap, net of 

a $7,248 tax benefit $ 
Total Comprehensive Income 

254 

(254) 

(2,665) 

15,334 
28,041 

3,590 
(3,679) 
9,790 

(21,263) 
(4,350) 

(415) 

147,536 

925 
(3,679) 
25,124 
28,041 
(21,263) 
(4,350) 

(415) 

147,536 
(3,932) 

(3,932) 

3,652 

3,652 

(12,029) 

(12,029) 
135,227 

Balance at April 30, 2008 

$69,642 

$13,549 

$140,723 

$794,762 

$(342,206) 

$- 

$12,648 

$689,118 

Shares Issued Under Employee Benefit Plans 
Purchase of Treasury Shares 
Exercise of Stock Options, including taxes  
Stock-based compensation expense 
Class A Common Stock Dividends  
Class B Common Stock Dividends  
Other 
Comprehensive (Loss): 
Net income 
Foreign currency translation adjustments 
Unamortized pension and retiree medical, 

net of a $5,553 tax benefit 

Unrealized gain on interest rate swap, net of  

a $261 tax provision  
Total Comprehensive (Loss): 

(3,325) 

10,152 
17,042 

3,209 
(35,110) 
5,696 

(25,463) 
(5,015) 

128,258 

2 

(2) 

(116) 
(35,110) 
15,848 
17,042 
(25,463) 
(5,015) 

(256,314) 

128,258 
(256,314) 

(15,165) 

(15,165) 

433 

433 
(142,788) 

Balance at April 30, 2009 

$69,644 

$13,547 

$164,592 

$892,542 

$(368,411) 

$- 

$(258,398) 

$513,516 

The accompanying notes are an integral part of the consolidated financial statements. 

-48- 

 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Notes to Consolidated Financial Statements 

Note 1 (cid:177) Description of Business 

The  Company,  founded  in  1807,  was  incorporated  in  the  state  of  New  York  on  January  15,  1904.  (As  used 
(cid:75)(cid:72)(cid:85)(cid:72)(cid:76)(cid:81)(cid:3)(cid:87)(cid:75)(cid:72)(cid:3)(cid:87)(cid:72)(cid:85)(cid:80)(cid:3)(cid:179)(cid:38)(cid:82)(cid:80)(cid:83)(cid:68)(cid:81)(cid:92)(cid:180)(cid:3)(cid:80)(cid:72)(cid:68)(cid:81)(cid:86)(cid:3)(cid:45)(cid:82)(cid:75)(cid:81)(cid:3)(cid:58)(cid:76)(cid:79)(cid:72)(cid:92)(cid:3)(cid:9)(cid:3)(cid:54)(cid:82)(cid:81)(cid:86)(cid:15)(cid:3)(cid:44)(cid:81)(cid:70)(cid:17)(cid:15)(cid:3)(cid:68)(cid:81)(cid:71)(cid:3)(cid:76)(cid:87)(cid:86)(cid:3)(cid:86)(cid:88)(cid:69)(cid:86)(cid:76)(cid:71)(cid:76)(cid:68)(cid:85)(cid:76)(cid:72)(cid:86)(cid:3)(cid:68)(cid:81)(cid:71)(cid:3)(cid:68)(cid:73)(cid:73)(cid:76)(cid:79)(cid:76)(cid:68)(cid:87)(cid:72)(cid:71)(cid:3)(cid:70)(cid:82)(cid:80)(cid:83)(cid:68)(cid:81)(cid:76)(cid:72)(cid:86)(cid:15)(cid:3)(cid:88)(cid:81)(cid:79)(cid:72)(cid:86)(cid:86) 
the context indicates otherwise). 

The Company is a global publisher of print and electronic products, providing content to customers worldwide.  

Core  businesses  include  scientific,  technical,  medical  and  scholarly  journals,  encyclopedias,  books,  online 

products  and  services;  professional  and  consumer  books,  subscription  products,  training  materials,  online 

applications  and  websites;  and  educational  materials,  including  integrated  online  teaching  and  learning 

resources,  for  undergraduate  and  graduate  students,  teachers  and  lifelong  learners.  The  Company  has 

publishing, marketing, and distribution centers in the United States, Canada, Europe, Asia, and Australia. 

Note 2 - Summary of Significant Accounting Policies 

Principles  of  Consolidation:    The  consolidated  financial  statements  include  the  accounts  of  the  Company. 

Investments  in  entities  in  which  the  Company  has  at  least  a  20%,  but  less  than  a  majority  interest,  are 

accounted  for  using  the  equity  method  of  accounting.  Investments  in  entities  in  which  the  Company  has  less 

than a 20% ownership and in which it does not exercise significant influence are accounted for using the cost 

method of accounting. All intercompany accounts and transactions have been eliminated in consolidation.   

In  connect(cid:76)(cid:82)(cid:81)(cid:3) (cid:90)(cid:76)(cid:87)(cid:75)(cid:3) (cid:87)(cid:75)(cid:72)(cid:3) (cid:76)(cid:81)(cid:87)(cid:72)(cid:74)(cid:85)(cid:68)(cid:87)(cid:76)(cid:82)(cid:81)(cid:3) (cid:82)(cid:73)(cid:3) (cid:87)(cid:75)(cid:72)(cid:3) (cid:38)(cid:82)(cid:80)(cid:83)(cid:68)(cid:81)(cid:92)(cid:182)(cid:86)(cid:3) (cid:68)(cid:70)(cid:84)(cid:88)(cid:76)(cid:86)(cid:76)(cid:87)(cid:76)(cid:82)(cid:81)(cid:3) (cid:82)(cid:73)(cid:3) (cid:37)(cid:79)(cid:68)(cid:70)(cid:78)(cid:90)(cid:72)(cid:79)(cid:79)(cid:3) (cid:51)(cid:88)(cid:69)(cid:79)(cid:76)(cid:86)(cid:75)(cid:76)(cid:81)(cid:74)(cid:3) (cid:11)(cid:43)(cid:82)(cid:79)(cid:71)(cid:76)(cid:81)(cid:74)(cid:86)(cid:12)(cid:3) (cid:47)(cid:87)(cid:71)(cid:17)(cid:3)
(cid:11)(cid:179)(cid:37)(cid:79)(cid:68)(cid:70)(cid:78)(cid:90)(cid:72)(cid:79)(cid:79)(cid:180)(cid:12)(cid:3) (cid:82)(cid:81)(cid:3) (cid:41)(cid:72)(cid:69)(cid:85)(cid:88)(cid:68)(cid:85)(cid:92)(cid:3) (cid:21)(cid:15)(cid:3) (cid:21)(cid:19)(cid:19)(cid:26)(cid:15)(cid:3) (cid:87)(cid:75)(cid:72)(cid:3) (cid:38)(cid:82)(cid:80)(cid:83)(cid:68)(cid:81)(cid:92)(cid:3) (cid:80)(cid:68)(cid:71)(cid:72)(cid:3) (cid:89)(cid:68)(cid:85)(cid:76)(cid:82)(cid:88)(cid:86)(cid:3) (cid:85)(cid:72)(cid:70)(cid:79)(cid:68)(cid:86)(cid:86)(cid:76)(cid:73)(cid:76)(cid:70)(cid:68)(cid:87)(cid:76)(cid:82)(cid:81)(cid:86)(cid:3) (cid:90)(cid:76)(cid:87)(cid:75)(cid:76)(cid:81)(cid:3) (cid:87)(cid:75)(cid:72)(cid:3) (cid:38)(cid:82)(cid:81)(cid:71)(cid:72)(cid:81)(cid:86)(cid:72)(cid:71)(cid:3)
Consolidated  Statements  of  Income  which  mainly  consisted  of  a  realignment  of  the  reporting  of  journal 

distribution  and  composition  costs  from  cost  of  sales  to  operating  and  administrative  costs.    Additional 

reclassification of these costs resulted in reductions of cost of sales of $3.9 million and $0.9 million, for the fiscal 

years ended April 30, 2008 and 2007 respectively, with corresponding increases to operating and administrative 

costs for  those  periods.    In  addition,  the  Company  reclassified  foreign  exchange  transaction  gains  and  losses 

from  operating  and  administrative  costs  to  a  distinct  line  on  the  Consolidated  Statements  of  Income  below 

operating income.  

Bank  Overdrafts:    (cid:56)(cid:81)(cid:71)(cid:72)(cid:85)(cid:3) (cid:87)(cid:75)(cid:72)(cid:3) (cid:38)(cid:82)(cid:80)(cid:83)(cid:68)(cid:81)(cid:92)(cid:182)(cid:86)(cid:3) (cid:70)(cid:68)(cid:86)(cid:75)(cid:3) (cid:80)(cid:68)(cid:81)(cid:68)(cid:74)(cid:72)(cid:80)(cid:72)(cid:81)(cid:87)(cid:3) (cid:86)(cid:92)(cid:86)(cid:87)(cid:72)(cid:80)(cid:15)(cid:3) (cid:68)(cid:3) (cid:69)(cid:82)(cid:82)(cid:78)(cid:3) (cid:82)(cid:89)(cid:72)(cid:85)(cid:71)(cid:85)(cid:68)(cid:73)(cid:87)(cid:3) (cid:69)(cid:68)(cid:79)(cid:68)(cid:81)(cid:70)(cid:72)(cid:3) (cid:72)(cid:91)(cid:76)(cid:86)(cid:87)(cid:86)(cid:3) (cid:73)(cid:82)(cid:85)(cid:3) (cid:87)(cid:75)(cid:72)(cid:3)
(cid:38)(cid:82)(cid:80)(cid:83)(cid:68)(cid:81)(cid:92)(cid:182)(cid:86)(cid:3) (cid:83)(cid:85)(cid:76)(cid:80)(cid:68)(cid:85)(cid:92)(cid:3) (cid:71)(cid:76)(cid:86)(cid:69)(cid:88)(cid:85)(cid:86)(cid:72)(cid:80)(cid:72)(cid:81)(cid:87)(cid:3) (cid:68)(cid:70)(cid:70)(cid:82)(cid:88)(cid:81)(cid:87)(cid:86)(cid:17)  This  overdraft  represents  uncleared  checks  in  excess  of  cash 
balances  in  individual  (cid:69)(cid:68)(cid:81)(cid:78)(cid:3) (cid:68)(cid:70)(cid:70)(cid:82)(cid:88)(cid:81)(cid:87)(cid:86)(cid:17)(cid:3) (cid:55)(cid:75)(cid:72)(cid:3) (cid:38)(cid:82)(cid:80)(cid:83)(cid:68)(cid:81)(cid:92)(cid:182)(cid:86)(cid:3) (cid:73)(cid:88)(cid:81)(cid:71)(cid:86)(cid:3) (cid:68)(cid:85)(cid:72)(cid:3) (cid:87)(cid:85)(cid:68)(cid:81)(cid:86)(cid:73)(cid:72)(cid:85)(cid:85)(cid:72)(cid:71)(cid:3) (cid:73)(cid:85)(cid:82)(cid:80)(cid:3) other  existing  bank  account 
balances or from lines of credit as needed to fund checks presented for payment.  As of April 30, 2009 and April 

30,  2008,  book  overdrafts  of  $31.5  million  and  $52.0  million,  respectively,  were  included  in  Accounts  and 

Royalties payable.   

Use  of  Estimates:  (cid:55)(cid:75)(cid:72)(cid:3) (cid:83)(cid:85)(cid:72)(cid:83)(cid:68)(cid:85)(cid:68)(cid:87)(cid:76)(cid:82)(cid:81)(cid:3) (cid:82)(cid:73)(cid:3) (cid:87)(cid:75)(cid:72)(cid:3) (cid:38)(cid:82)(cid:80)(cid:83)(cid:68)(cid:81)(cid:92)(cid:182)(cid:86)(cid:3) (cid:73)(cid:76)(cid:81)(cid:68)(cid:81)(cid:70)(cid:76)(cid:68)(cid:79)(cid:3) (cid:86)(cid:87)(cid:68)(cid:87)(cid:72)(cid:80)(cid:72)(cid:81)(cid:87)(cid:86)(cid:3) (cid:76)(cid:81)(cid:3) (cid:70)(cid:82)(cid:81)(cid:73)(cid:82)(cid:85)(cid:80)(cid:76)(cid:87)(cid:92)(cid:3) (cid:90)(cid:76)(cid:87)(cid:75)(cid:3) (cid:68)(cid:70)(cid:70)(cid:82)(cid:88)(cid:81)(cid:87)(cid:76)(cid:81)(cid:74)(cid:3)
principles  generally  accepted  in  the  United  States  requires  management  to  make  estimates  and  assumptions 

that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities at the 

date  of  the  financial  statements  and  reported  amounts  of  revenue  and  expenses  during  the  reporting  period.  

Actual results could differ from those estimates. 

Revenue  Recognition:    (cid:44)(cid:81)(cid:3) (cid:68)(cid:70)(cid:70)(cid:82)(cid:85)(cid:71)(cid:68)(cid:81)(cid:70)(cid:72)(cid:3) (cid:90)(cid:76)(cid:87)(cid:75)(cid:3) (cid:54)(cid:40)(cid:38)(cid:3) (cid:54)(cid:87)(cid:68)(cid:73)(cid:73)(cid:3) (cid:36)(cid:70)(cid:70)(cid:82)(cid:88)(cid:81)(cid:87)(cid:76)(cid:81)(cid:74)(cid:3) (cid:37)(cid:88)(cid:79)(cid:79)(cid:72)(cid:87)(cid:76)(cid:81)(cid:3) (cid:49)(cid:82)(cid:17)(cid:3) (cid:20)(cid:19)(cid:23)(cid:15)(cid:3) (cid:179)(cid:53)(cid:72)(cid:89)(cid:72)(cid:81)(cid:88)(cid:72)(cid:3) (cid:53)(cid:72)(cid:70)(cid:82)(cid:74)(cid:81)(cid:76)(cid:87)(cid:76)(cid:82)(cid:81)(cid:3) (cid:76)(cid:81)(cid:3)
(cid:41)(cid:76)(cid:81)(cid:68)(cid:81)(cid:70)(cid:76)(cid:68)(cid:79)(cid:3) (cid:54)(cid:87)(cid:68)(cid:87)(cid:72)(cid:80)(cid:72)(cid:81)(cid:87)(cid:86)(cid:15)(cid:180)(cid:3) (cid:87)(cid:75)(cid:72)(cid:3) (cid:38)ompany  recognizes  revenue  when  the  following  criteria  are  met:  persuasive 
evidence  that  an  arrangement  exists;  delivery  has  occurred  or  services  have  been  rendered;  the  price  to  the 

customer is fixed or determinable; and collectability is reasonably assured.  If all of the above criteria have been 

-49- 

 
 
met,  revenue  is  principally  recognized  upon  shipment  of  products  or  when  services  have  been  rendered.  

Subscription revenue is generally collected in advance.  The prepayment is deferred and recognized as earned 

when the related issue is shipped or made available online over the term of the subscription.  Where a product 
has  been  sold  with  multiple  deliverables  the  Company  follows  EITF  No.  00-(cid:21)(cid:20)(cid:3) (cid:179)(cid:36)(cid:70)(cid:70)(cid:82)(cid:88)(cid:81)(cid:87)(cid:76)(cid:81)(cid:74)(cid:3) (cid:73)(cid:82)(cid:85)(cid:3) (cid:53)(cid:72)(cid:89)(cid:72)(cid:81)(cid:88)(cid:72)(cid:3)
(cid:53)(cid:72)(cid:79)(cid:68)(cid:87)(cid:76)(cid:82)(cid:81)(cid:86)(cid:75)(cid:76)(cid:83)(cid:86)(cid:3) (cid:90)(cid:76)(cid:87)(cid:75)(cid:3) (cid:48)(cid:88)(cid:79)(cid:87)(cid:76)(cid:83)(cid:79)(cid:72)(cid:3) (cid:39)(cid:72)(cid:79)(cid:76)(cid:89)(cid:72)(cid:85)(cid:68)(cid:69)(cid:79)(cid:72)(cid:86)(cid:180)(cid:3) (cid:87)(cid:82)(cid:3) (cid:71)etermine  the  timing  of  revenue  recognition.    Collectability  is 
(cid:72)(cid:89)(cid:68)(cid:79)(cid:88)(cid:68)(cid:87)(cid:72)(cid:71)(cid:3) (cid:69)(cid:68)(cid:86)(cid:72)(cid:71)(cid:3) (cid:82)(cid:81)(cid:3) (cid:87)(cid:75)(cid:72)(cid:3) (cid:68)(cid:80)(cid:82)(cid:88)(cid:81)(cid:87)(cid:3) (cid:76)(cid:81)(cid:89)(cid:82)(cid:79)(cid:89)(cid:72)(cid:71)(cid:15)(cid:3) (cid:87)(cid:75)(cid:72)(cid:3) (cid:70)(cid:85)(cid:72)(cid:71)(cid:76)(cid:87)(cid:3) (cid:75)(cid:76)(cid:86)(cid:87)(cid:82)(cid:85)(cid:92)(cid:3) (cid:82)(cid:73)(cid:3) (cid:87)(cid:75)(cid:72)(cid:3) (cid:70)(cid:88)(cid:86)(cid:87)(cid:82)(cid:80)(cid:72)(cid:85)(cid:15)(cid:3) (cid:68)(cid:81)(cid:71)(cid:3) (cid:87)(cid:75)(cid:72)(cid:3) (cid:86)(cid:87)(cid:68)(cid:87)(cid:88)(cid:86)(cid:3) (cid:82)(cid:73)(cid:3) (cid:87)(cid:75)(cid:72)(cid:3) (cid:70)(cid:88)(cid:86)(cid:87)(cid:82)(cid:80)(cid:72)(cid:85)(cid:182)(cid:86)(cid:3)
account  with  the  Company.    Revenue  is  reported  net  of  any  amounts  billed  to  customers for  taxes  which  are 

remitted to government authorities. 

Cash Equivalents: Cash equivalents consist of highly liquid investments with an original maturity of three months 

or less and are stated at cost plus accrued interest, which approximates market value. 

Allowance  for  Doubtful  Accounts:  The  estimated  allowance  for  doubtful  accounts  is  based  on  a  review  of  the 

aging  of  the  accounts  receivable  balances,  the  historical  write-off  experience,  and  a  credit  evaluation  of  a 
customer.    A  change  in  the  evaluation  (cid:82)(cid:73)(cid:3) (cid:68)(cid:3) (cid:70)(cid:88)(cid:86)(cid:87)(cid:82)(cid:80)(cid:72)(cid:85)(cid:182)(cid:86)(cid:3) (cid:70)(cid:85)(cid:72)(cid:71)(cid:76)(cid:87)(cid:3) (cid:70)(cid:82)(cid:88)(cid:79)(cid:71)(cid:3) (cid:68)(cid:73)(cid:73)(cid:72)(cid:70)(cid:87)(cid:3) (cid:87)(cid:75)(cid:72)(cid:3) (cid:72)(cid:86)(cid:87)(cid:76)(cid:80)(cid:68)(cid:87)(cid:72)(cid:71)(cid:3) (cid:68)(cid:79)(cid:79)(cid:82)(cid:90)(cid:68)(cid:81)(cid:70)(cid:72)(cid:17)(cid:3) (cid:55)(cid:75)(cid:72)(cid:3)
allowance for doubtful accounts is shown as a reduction of accounts receivable in the Consolidated Statement 

of Financial Position and amounted to $5.7 million and $8.0 million at April 30, 2009 and 2008, respectively. 

Sales Return Reserves:   The process which the Company  uses to determine its sales returns and the related 

reserve provision charged against revenue is based on applying an estimated return rate to current year sales.  

This rate is based upon an analysis of actual historical return experience in the various markets and geographic 

regions  in  which  the  Company  does  business.    The  Company  collects,  maintains  and  analyzes  significant 

amounts  of  sales  returns  data  for  large  volumes  of  homogeneous  transactions.    This  allows  the  Company  to 

make reasonable estimates of the amount of future returns.  All available data is utilized to identify the returns 

by market and as to which fiscal year the sales returns apply.  This enables management to track the returns in 

detail and identify and react to trends occurring in the marketplace, with the objective of being able to make the 

most informed judgments possible in setting reserve  rates.   Sales return reserves, net of estimated inventory 

and royalty costs, are reported as a reduction of accounts receivable in the Consolidated Statement of Financial 

Position and amounted to $55.2 million and $55.5 million at April 30, 2009 and 2008, respectively. 

Reserve for Inventory Obsolescence:  A reserve for inventory obsolescence is estimated based on a review of 

damaged, obsolete,  or otherwise unsalable  inventory. The  review  encompasses historical  unit sales trends by 

title;  current  market  conditions,  including  estimates  of  customer  demand;  and  publication  revision  cycles.  The 

inventory  obsolescence  reserve  is  reported  as  a  reduction  of  the  inventory  balance  in  the  Consolidated 

Statement of Financial Position and amounted to $36.3 million and $35.4 million as of April 30, 2009 and 2008, 

respectively. 

Allocation  of  Acquisition  Purchase  Price  to  Assets  Acquired  and  Liabilities  Assumed:  In  connection  with 

acquisitions, the Company allocates the cost of the acquisition to the assets acquired and the liabilities assumed 

based  on  estimates  of  the  fair  value  of  such  items,  including  goodwill  and  other  intangible  assets.  Such 

estimates  include  discounted  estimated  cash  flows  to  be  generated  by  those  assets  and  the  expected  useful 

lives based on historical experience, current market trends, and synergies to be achieved from the acquisition 

and  expected  tax  basis  of  assets  acquired.  For  major  acquisitions,  the  Company  may  use  an  independent 

appraiser to confirm the reasonableness of such estimates. 

Inventories:    Inventories  are  stated  at  cost  or  market,  whichever  is  lower.  U.S.  book  inventories  aggregating 

$73.6  million  and  $73.9  million  at  April  30,  2009  and  2008,  respectively,  are  valued  using  the  last-in,  first-out 

(LIFO) method.  All other inventories are valued using the first-in, first-out (FIFO) method. 

-50- 

 
 
Product Development Assets:  Product development assets consist of composition costs and royalty advances 

to authors. Costs associated with developing any publication are expensed until the product is determined to be 

commercially viable. Composition costs, primarily representing the costs incurred to bring an edited commercial 

manuscript  to  publication  including  typesetting,  proofreading,  design  and  illustration,  etc.,  are  capitalized  and 

generally amortized on a double-declining basis over estimated useful lives, ranging from 1 to 3 years. Royalty 

advances  to  authors  are  capitalized  and,  upon  publication,  are  recovered  as  royalties  earned  by  the  authors 

based on sales of the published works.  Royalty advances are reviewed for recoverability and a reserve for loss 

is maintained, if appropriate. 

Advertising Expense:  Advertising costs are expensed as incurred.  The Company incurred $28.6 million, $34.1 

million and $39.8 million in advertising costs in fiscal years 2009, 2008 and 2007, respectively. 

Property, Equipment and Technology:  Property, equipment and technology is recorded at cost.  Major renewals 

and improvements are capitalized, while maintenance and repairs are expensed as incurred.  

Costs  incurred  for  computer  software  developed  or  obtained  for  internal  use  are  capitalized  during  the 

application  development  stage  and  expensed  as 

incurred  during 

the  preliminary  project  and  post-

implementation stages.  Costs incurred during the application development stage include costs of materials and 

services,  and  payroll  and  payroll-related  costs  for  employees  who  are  directly  associated  with  the  software 

project.  Such costs are amortized over the expected useful life of the related software generally 3 to 5  years.  

Maintenance, training, and upgrade costs that do not result in additional functionality are expensed as incurred. 

Buildings, leasehold improvements, and capital  leases are  depreciated over the lesser of the estimated useful 

lives of the assets up to 40 years, or over the duration of the lease, using the straight-line method. Furniture and 

fixtures are depreciated principally on the straight-line method over estimated useful lives ranging from 3 to 10 

years. Computer hardware and software is amortized on a straight-line basis over estimated useful lives ranging 

from 3 to 5 years. 

Goodwill and Other Intangible Assets:  Goodwill is the excess of the purchase price paid over the fair value of 

the  net  assets  of  the  business  acquired.  Other  intangible  assets  principally  consist  of  brands,  trademarks, 

acquired publication rights, customer relationships and non-compete agreements.  Goodwill and indefinite-lived 

intangible assets are not amortized but are reviewed at least annually for impairment, or more often if events or 

circumstances occur that would more likely than not reduce the fair market value of a reporting unit, or intangible 
(cid:68)(cid:86)(cid:86)(cid:72)(cid:87)(cid:15)(cid:3)(cid:69)(cid:72)(cid:79)(cid:82)(cid:90)(cid:3)(cid:76)(cid:87)(cid:86)(cid:182)(cid:3)(cid:70)(cid:68)(cid:85)(cid:85)(cid:92)(cid:76)(cid:81)(cid:74)(cid:3)(cid:68)(cid:80)(cid:82)(cid:88)(cid:81)(cid:87)(cid:17)(cid:3)(cid:3)(cid:55)(cid:75)(cid:72)(cid:3)(cid:38)(cid:82)(cid:80)(cid:83)(cid:68)(cid:81)(cid:92)(cid:3)(cid:72)(cid:89)(cid:68)(cid:79)(cid:88)(cid:68)(cid:87)(cid:72)(cid:86)(cid:3)(cid:87)(cid:75)(cid:72)(cid:3)(cid:85)(cid:72)(cid:70)(cid:82)(cid:89)(cid:72)(cid:85)(cid:68)(cid:69)(cid:76)(cid:79)(cid:76)(cid:87)(cid:92)(cid:3)(cid:82)(cid:73)(cid:3)(cid:76)(cid:81)(cid:71)(cid:72)(cid:73)(cid:76)(cid:81)(cid:76)(cid:87)(cid:72)-lived intangible assets 
by comparing the fair value of the intangible asset to the carrying value.  For goodwill impairment, the Company 

uses  a  two-step  impairment  test  approach  at  the  reporting  unit  level.    In  the  first  step,  the  fair  value  for  the 

reporting unit is compared to its book value including goodwill.  In the case that  the fair value of the reporting 

unit  is  less  than  the  book  value,  a  second  step  is  performed  which  compares  the  implied  fair  value  of  the 

(cid:85)(cid:72)(cid:83)(cid:82)(cid:85)(cid:87)(cid:76)(cid:81)(cid:74)(cid:3)(cid:88)(cid:81)(cid:76)(cid:87)(cid:182)(cid:86)(cid:3)(cid:74)(cid:82)(cid:82)(cid:71)(cid:90)(cid:76)(cid:79)(cid:79)(cid:3)(cid:87)(cid:82)(cid:3)(cid:87)(cid:75)(cid:72)(cid:3)(cid:69)(cid:82)(cid:82)(cid:78)(cid:3)(cid:89)(cid:68)(cid:79)(cid:88)(cid:72)(cid:3)(cid:82)(cid:73)(cid:3)(cid:87)(cid:75)(cid:72)(cid:3)(cid:74)(cid:82)(cid:82)(cid:71)(cid:90)(cid:76)(cid:79)(cid:79)(cid:17)(cid:3)(cid:55)(cid:75)(cid:72)(cid:3)(cid:73)(cid:68)(cid:76)(cid:85)(cid:3)(cid:89)(cid:68)(cid:79)(cid:88)(cid:72)(cid:3)(cid:73)(cid:82)(cid:85)(cid:3)(cid:87)(cid:75)(cid:72)(cid:3)(cid:74)(cid:82)(cid:82)(cid:71)(cid:90)(cid:76)(cid:79)(cid:79)(cid:3)(cid:76)(cid:86)(cid:3)(cid:71)(cid:72)(cid:87)(cid:72)(cid:85)(cid:80)(cid:76)(cid:81)(cid:72)(cid:71)(cid:3)(cid:69)(cid:68)(cid:86)(cid:72)(cid:71)(cid:3)(cid:82)(cid:81)(cid:3)
the difference between the fair values of the reporting units and the net carrying values of the identifiable assets 

and liabilities of such reporting units. If the fair value of the goodwill is less than the book value, the difference is 

recognized as impairment. 

Finite-lived intangible assets are amortized over their useful lives and management evaluates the estimated life 
in  accordance  with  SFAS  142  (cid:179)(cid:42)(cid:82)(cid:82)(cid:71)(cid:90)(cid:76)(cid:79)(cid:79)(cid:3) (cid:68)(cid:81)(cid:71)(cid:3) (cid:50)(cid:87)(cid:75)(cid:72)(cid:85)(cid:3) (cid:44)(cid:81)(cid:87)(cid:68)(cid:81)(cid:74)(cid:76)(cid:69)(cid:79)(cid:72)(cid:3) (cid:36)(cid:86)(cid:86)(cid:72)(cid:87)(cid:86)(cid:180).    The  most  significant  factors  in 
determining the life of these intangibles is the history and longevity of the brands, trademarks or titles acquired, 

combined  with  the  strength  of  cash  flows.    Acquired  publishing  rights  that  have  an  indefinite  life  are  typically 

characterized by intellectual property with a long and well-established revenue stream resulting from strong and 

well-established imprint/brand recognition in the market. 

-51- 

 
 
Acquired publication rights, trademarks, customer relationships and brands with finite lives are amortized on a 

straight-line  basis  over  periods  ranging  from  5  to  40  years.  Non-compete  agreements  are  amortized  over  the 

terms of the individual agreement. 

Impairment of Long-Lived Assets: Depreciable and amortizable assets are only evaluated for impairment upon a 

significant change in the operating or macroeconomic environment.  In these circumstances, if an evaluation of 

the undiscounted cash flows indicates impairment, the asset is written down to its estimated fair value based on 

the discounted future cash flows. 

Derivative  Financial  Instruments:  The  Company,  from  time  to  time,  enters  into  forward  exchange  and  interest 

rate  swap  contracts  as  a  hedge  against  foreign  currency  asset  and  liability  commitments,  and  anticipated 

transaction exposures, including intercompany purchases.  The Company accounts for its derivative instruments 

(cid:76)(cid:81)(cid:3)(cid:68)(cid:70)(cid:70)(cid:82)(cid:85)(cid:71)(cid:68)(cid:81)(cid:70)(cid:72)(cid:3)(cid:90)(cid:76)(cid:87)(cid:75)(cid:3)(cid:54)(cid:41)(cid:36)(cid:54)(cid:3)(cid:49)(cid:82)(cid:17)(cid:3)(cid:20)(cid:22)(cid:22)(cid:15)(cid:3)(cid:179)(cid:36)(cid:70)(cid:70)(cid:82)(cid:88)(cid:81)(cid:87)(cid:76)(cid:81)(cid:74)(cid:3)(cid:73)(cid:82)(cid:85)(cid:3)(cid:39)(cid:72)(cid:85)(cid:76)(cid:89)(cid:68)(cid:87)(cid:76)(cid:89)(cid:72)(cid:3)(cid:44)(cid:81)(cid:86)(cid:87)(cid:85)(cid:88)(cid:80)(cid:72)(cid:81)(cid:87)(cid:86)(cid:3)(cid:68)(cid:81)(cid:71)(cid:3)(cid:43)(cid:72)(cid:71)(cid:74)(cid:76)(cid:81)(cid:74)(cid:3)(cid:36)(cid:70)(cid:87)(cid:76)(cid:89)(cid:76)(cid:87)(cid:76)(cid:72)(cid:86)(cid:15)(cid:180)(cid:3)(cid:68)(cid:86)(cid:3)(cid:68)(cid:80)(cid:72)(cid:81)(cid:71)(cid:72)(cid:71)(cid:17)(cid:3)
Accordingly, all derivatives are recognized as assets or liabilities and measured at fair value.  Derivatives that 

are  not  determined  to  be  effective  hedges  are  adjusted  to  fair  value  with  a  corresponding  effect  on  earnings.  

The Company does not use financial instruments for trading or speculative purposes.   

Foreign  Currency  Gains/Losses:    The  Company  translates  the  results  of  operations  of  its  international 

subsidiaries using average monthly exchange rates during each period.  The Statement of financial position of 

non-U.S.  business  units  are  translated  into  U.S.  dollars  using  period-end  exchange  rates  for  assets  and 

liabilities  and  weighted-average  exchange  rates  for  revenues  and  expenses.    Adjustments  resulting  from 

translating net assets  are reported as  a separate component of accumulated  other comprehensive  loss  within 
(cid:86)(cid:75)(cid:68)(cid:85)(cid:72)(cid:75)(cid:82)(cid:79)(cid:71)(cid:72)(cid:85)(cid:86)(cid:182)(cid:3) (cid:72)(cid:84)(cid:88)(cid:76)(cid:87)(cid:92)(cid:3) (cid:88)(cid:81)(cid:71)(cid:72)(cid:85)(cid:3) (cid:87)(cid:75)(cid:72)(cid:3) (cid:70)(cid:68)(cid:83)(cid:87)(cid:76)(cid:82)(cid:81)(cid:3) (cid:70)(cid:88)(cid:85)(cid:85)(cid:72)(cid:81)(cid:70)(cid:92)(cid:3) (cid:87)(cid:85)(cid:68)(cid:81)(cid:86)(cid:79)(cid:68)(cid:87)(cid:76)(cid:82)(cid:81)(cid:3) (cid:68)(cid:71)(cid:77)(cid:88)(cid:86)(cid:87)ment.    The  Company  has  significant 
investments  in  non-US  businesses  that  are  exposed  to  foreign  currency  risk.    During  fiscal  year  2009  the 

Company recorded $256.3 million of currency translation adjustments in other comprehensive income primarily 

as a result of the strengthening of the U.S. dollar relative to the British pound sterling.  The U.S. dollar to British 

pound  sterling  exchange  rate  was  1.45  to  1.00  as  of  April  30,  2009  compared  to  1.99  to  1.00  as  of  April  30, 

2008, approximately a 27% increase. 

Exchange rate gains or  losses related to foreign currency  transactions  are recognized as  transaction gains or 

losses in the income statement as incurred. 

Effective November 1, 2008, the Company changed its functional currency reporting basis for the non-Blackwell 

(cid:83)(cid:82)(cid:85)(cid:87)(cid:76)(cid:82)(cid:81)(cid:3)(cid:82)(cid:73)(cid:3)(cid:87)(cid:75)(cid:72)(cid:3)(cid:38)(cid:82)(cid:80)(cid:83)(cid:68)(cid:81)(cid:92)(cid:182)(cid:86)(cid:3)(cid:40)(cid:88)(cid:85)(cid:82)(cid:83)(cid:72)(cid:68)(cid:81)(cid:3)(cid:54)(cid:55)(cid:48)(cid:54)(cid:3)(cid:77)(cid:82)(cid:88)(cid:85)(cid:81)(cid:68)(cid:79)(cid:3)(cid:69)(cid:88)(cid:86)(cid:76)(cid:81)(cid:72)(cid:86)(cid:86)(cid:3)(cid:73)(cid:85)(cid:82)(cid:80)(cid:3)(cid:56)(cid:17)(cid:54)(cid:17)(cid:3)(cid:39)(cid:82)(cid:79)(cid:79)(cid:68)(cid:85)(cid:3)(cid:87)(cid:82)(cid:3)(cid:79)(cid:82)(cid:70)(cid:68)(cid:79)(cid:3)(cid:73)(cid:88)(cid:81)(cid:70)(cid:87)(cid:76)(cid:82)(cid:81)(cid:68)(cid:79)(cid:3)(cid:70)(cid:88)(cid:85)(cid:85)(cid:72)(cid:81)(cid:70)(cid:92)(cid:17)(cid:3)(cid:36)(cid:86)(cid:3)(cid:83)(cid:68)(cid:85)(cid:87)(cid:3)
of the integration of Blackwell and Wiley fulfillment systems and licensing practices, in the third quarter of fiscal 

year  2009  the  Company  began  pricing  journal  revenue  based  on  local  currency  in  Europe.    Prior  to  the 

integration, journal revenue was principally priced and reported in U.S. Dollars. This change primarily impacted 

business denominated in Euros and Sterling.  

Share-Based  Compensation:    The  Company  accounts  for  its  share-based  compensation  in  accordance  with 
(cid:54)(cid:41)(cid:36)(cid:54)(cid:3)(cid:49)(cid:82)(cid:17)(cid:3)(cid:20)(cid:21)(cid:22)(cid:53)(cid:3)(cid:179)(cid:54)(cid:75)(cid:68)(cid:85)(cid:72)-(cid:37)(cid:68)(cid:86)(cid:72)(cid:71)(cid:3)(cid:51)(cid:68)(cid:92)(cid:80)(cid:72)(cid:81)(cid:87)(cid:180)(cid:15)(cid:3)(cid:68)(cid:86)(cid:3)(cid:68)(cid:80)(cid:72)(cid:81)(cid:71)(cid:72)(cid:71), which requires that companies recognize share-based 
compensation  to  employees  in  the  Statement  of  Income  based  on  the  fair  value  of  the  share-based  awards,  

reduced by the estimated cost of anticipated forfeited awards.  As such, share-based compensation expense is 

only  recognized  for  those  awards  that  are  expected  to  ultimately  vest.  Share-based  compensation  expense 

(cid:68)(cid:86)(cid:86)(cid:82)(cid:70)(cid:76)(cid:68)(cid:87)(cid:72)(cid:71)(cid:3)(cid:90)(cid:76)(cid:87)(cid:75)(cid:3)(cid:83)(cid:72)(cid:85)(cid:73)(cid:82)(cid:85)(cid:80)(cid:68)(cid:81)(cid:70)(cid:72)(cid:3)(cid:85)(cid:72)(cid:86)(cid:87)(cid:85)(cid:76)(cid:70)(cid:87)(cid:72)(cid:71)(cid:3)(cid:86)(cid:75)(cid:68)(cid:85)(cid:72)(cid:3)(cid:68)(cid:90)(cid:68)(cid:85)(cid:71)(cid:86)(cid:3)(cid:76)(cid:86)(cid:3)(cid:85)(cid:72)(cid:70)(cid:82)(cid:74)(cid:81)(cid:76)(cid:93)(cid:72)(cid:71)(cid:3)(cid:69)(cid:68)(cid:86)(cid:72)(cid:71)(cid:3)(cid:82)(cid:81)(cid:3)(cid:80)(cid:68)(cid:81)(cid:68)(cid:74)(cid:72)(cid:80)(cid:72)(cid:81)(cid:87)(cid:182)(cid:86)(cid:3)(cid:69)(cid:72)(cid:86)(cid:87)(cid:3)(cid:72)(cid:86)(cid:87)(cid:76)(cid:80)(cid:68)(cid:87)(cid:72)(cid:86)(cid:3)(cid:82)(cid:73)(cid:3)
the  achievement of the performance goals specified in such  awards  and the  estimated number of shares that 

will  be  earned.    The  cumulative  effect  on  current  and  prior  periods  of  a  change  in  the  estimated  number  of 

performance share awards, or estimated forfeiture rate is recognized as an adjustment to earnings in the period 

of the revision. 

-52- 

 
 
Recently Issued Accounting Pronouncements:  (cid:44)(cid:81)(cid:3)(cid:54)(cid:72)(cid:83)(cid:87)(cid:72)(cid:80)(cid:69)(cid:72)(cid:85)(cid:3)(cid:21)(cid:19)(cid:19)(cid:25)(cid:15)(cid:3)(cid:87)(cid:75)(cid:72)(cid:3)(cid:41)(cid:36)(cid:54)(cid:37)(cid:3)(cid:76)(cid:86)(cid:86)(cid:88)(cid:72)(cid:71)(cid:3)(cid:54)(cid:41)(cid:36)(cid:54)(cid:3)(cid:49)(cid:82)(cid:17)(cid:3)(cid:20)(cid:24)(cid:26)(cid:3)(cid:179)(cid:41)(cid:68)(cid:76)(cid:85)(cid:3)(cid:57)(cid:68)(cid:79)(cid:88)(cid:72)(cid:3)
(cid:48)(cid:72)(cid:68)(cid:86)(cid:88)(cid:85)(cid:72)(cid:80)(cid:72)(cid:81)(cid:87)(cid:86)(cid:180)(cid:3)(cid:11)(cid:179)(cid:54)(cid:41)(cid:36)(cid:54)(cid:3)(cid:20)(cid:24)(cid:26)(cid:180)(cid:12)(cid:17)(cid:3)(cid:44)(cid:81)(cid:3)(cid:41)(cid:72)(cid:69)(cid:85)(cid:88)(cid:68)(cid:85)(cid:92)(cid:3)(cid:21)(cid:19)(cid:19)(cid:27)(cid:15)(cid:3)(cid:87)(cid:75)(cid:72)(cid:3)(cid:41)(cid:36)(cid:54)(cid:37)(cid:3)(cid:76)(cid:86)(cid:86)(cid:88)(cid:72)(cid:71)(cid:3)(cid:68)(cid:3)(cid:83)(cid:68)(cid:85)(cid:87)(cid:76)(cid:68)(cid:79)(cid:3)(cid:71)(cid:72)(cid:73)(cid:72)(cid:85)(cid:85)(cid:68)(cid:79)(cid:3)(cid:82)(cid:73)(cid:3)(cid:87)(cid:75)(cid:72)(cid:3)(cid:86)(cid:87)(cid:68)(cid:87)(cid:72)(cid:80)(cid:72)(cid:81)(cid:87)(cid:182)(cid:86)(cid:3)(cid:72)(cid:73)(cid:73)(cid:72)(cid:70)(cid:87)(cid:76)(cid:89)(cid:72)(cid:3)
date. SFAS 157 provides a new single authoritative definition of fair value and provides enhanced guidance for 

measuring  the  fair  value  of  assets  and  liabilities  and  requires  additional  disclosures  related  to  the  extent  to 

which companies measure assets and liabilities at fair value, the information used to measure fair value, and the 

effect of fair value measurements on earnings. As part of the deferral, the FASB agreed to a one-year delay of 

the  fair  value  measurement  requirement  for  certain  nonfinancial  assets  and  liabilities.  The  Company  adopted 

SFAS 157 as of May 1, 2008 for assets and liabilities not subject to the deferral (see Note 18). The adoption did 

(cid:81)(cid:82)(cid:87)(cid:3)(cid:75)(cid:68)(cid:89)(cid:72)(cid:3)(cid:68)(cid:3)(cid:86)(cid:76)(cid:74)(cid:81)(cid:76)(cid:73)(cid:76)(cid:70)(cid:68)(cid:81)(cid:87)(cid:3)(cid:76)(cid:80)(cid:83)(cid:68)(cid:70)(cid:87)(cid:3)(cid:82)(cid:81)(cid:3)(cid:87)(cid:75)(cid:72)(cid:3)(cid:38)(cid:82)(cid:80)(cid:83)(cid:68)(cid:81)(cid:92)(cid:182)(cid:86)(cid:3)(cid:70)(cid:82)(cid:81)(cid:86)(cid:82)(cid:79)(cid:76)(cid:71)(cid:68)(cid:87)(cid:72)(cid:71)(cid:3)(cid:73)(cid:76)(cid:81)(cid:68)(cid:81)(cid:70)(cid:76)(cid:68)(cid:79)(cid:3)(cid:86)(cid:87)(cid:68)(cid:87)(cid:72)(cid:80)(cid:72)(cid:81)(cid:87)(cid:86)(cid:17)(cid:3)(cid:55)(cid:75)(cid:72)(cid:3)(cid:38)(cid:82)(cid:80)(cid:83)(cid:68)(cid:81)(cid:92)(cid:3)(cid:83)(cid:79)(cid:68)(cid:81)(cid:86)(cid:3)(cid:87)(cid:82)(cid:3)(cid:68)(cid:71)(cid:82)(cid:83)(cid:87)(cid:3)
SFAS  157  as  of  May  1,  2009  for  those  nonfinancial  assets  and  liabilities  subject  to  the  deferral.  The  major 

categories  of  assets  that  the  Company  held  in  fiscal  year  2009  for  which  application  of  SFAS  157  has  been 

deferred  are  Goodwill  and  Other  Intangible  Assets  and  Long-lived  Assets.  The  Company  currently  holds  no 

liabilities that are measured at fair value which were subject to the deferral. The Company does not expect the 
deferred portion of SFAS 157 to have a significant impact on its consolidated financial statements.   

(cid:44)(cid:81)(cid:3) (cid:41)(cid:72)(cid:69)(cid:85)(cid:88)(cid:68)(cid:85)(cid:92)(cid:3) (cid:21)(cid:19)(cid:19)(cid:26)(cid:15)(cid:3) (cid:87)(cid:75)(cid:72)(cid:3) (cid:41)(cid:36)(cid:54)(cid:37)(cid:3) (cid:76)(cid:86)(cid:86)(cid:88)(cid:72)(cid:71)(cid:3) (cid:54)(cid:41)(cid:36)(cid:54)(cid:3) (cid:49)(cid:82)(cid:17)(cid:3) (cid:20)(cid:24)(cid:28)(cid:3) (cid:179)(cid:55)(cid:75)(cid:72)(cid:3) (cid:41)(cid:68)(cid:76)(cid:85)(cid:3) (cid:57)(cid:68)(cid:79)(cid:88)(cid:72)(cid:3) (cid:50)(cid:83)(cid:87)(cid:76)(cid:82)(cid:81)(cid:3) (cid:73)(cid:82)(cid:85)(cid:3) (cid:41)(cid:76)(cid:81)(cid:68)(cid:81)(cid:70)(cid:76)(cid:68)(cid:79)(cid:3) (cid:36)(cid:86)(cid:86)(cid:72)(cid:87)(cid:86)(cid:3) (cid:68)(cid:81)(cid:71)(cid:3) (cid:41)(cid:76)(cid:81)(cid:68)(cid:81)(cid:70)(cid:76)(cid:68)(cid:79)(cid:3)

(cid:47)(cid:76)(cid:68)(cid:69)(cid:76)(cid:79)(cid:76)(cid:87)(cid:76)(cid:72)(cid:86)(cid:180)(cid:3)(cid:11)(cid:179)(cid:54)(cid:41)(cid:36)(cid:54)(cid:3)(cid:20)(cid:24)(cid:28)(cid:180)(cid:12)(cid:17)(cid:3)(cid:54)(cid:41)(cid:36)(cid:54)(cid:3)(cid:20)(cid:24)(cid:28)(cid:3)(cid:83)(cid:85)(cid:82)(cid:89)(cid:76)(cid:71)(cid:72)(cid:86)(cid:3)(cid:70)(cid:82)(cid:80)(cid:83)(cid:68)(cid:81)(cid:76)(cid:72)(cid:86)(cid:3)(cid:90)(cid:76)(cid:87)(cid:75)(cid:3)(cid:68)(cid:81)(cid:3)(cid:82)(cid:83)(cid:87)(cid:76)(cid:82)(cid:81)(cid:3)(cid:87)(cid:82)(cid:3)(cid:76)(cid:85)(cid:85)(cid:72)(cid:89)(cid:82)(cid:70)(cid:68)(cid:69)(cid:79)(cid:92)(cid:3)(cid:72)(cid:79)(cid:72)(cid:70)(cid:87)(cid:3)(cid:87)(cid:82)(cid:3)(cid:80)(cid:72)(cid:68)(cid:86)(cid:88)(cid:85)(cid:72)(cid:3)(cid:70)(cid:72)(cid:85)(cid:87)(cid:68)(cid:76)(cid:81)(cid:3)
financial  assets  and  financial  liabilities  at  fair  value  on  an  instrument-by-instrument  basis  with  the  resulting 

(cid:70)(cid:75)(cid:68)(cid:81)(cid:74)(cid:72)(cid:86)(cid:3) (cid:76)(cid:81)(cid:3) (cid:73)(cid:68)(cid:76)(cid:85)(cid:3) (cid:89)(cid:68)(cid:79)(cid:88)(cid:72)(cid:3) (cid:85)(cid:72)(cid:70)(cid:82)(cid:85)(cid:71)(cid:72)(cid:71)(cid:3) (cid:76)(cid:81)(cid:3) (cid:72)(cid:68)(cid:85)(cid:81)(cid:76)(cid:81)(cid:74)(cid:86)(cid:17)(cid:3) (cid:55)(cid:75)(cid:72)(cid:3) (cid:38)(cid:82)(cid:80)(cid:83)(cid:68)(cid:81)(cid:92)(cid:182)(cid:86)(cid:3) (cid:68)(cid:71)(cid:82)(cid:83)(cid:87)(cid:76)(cid:82)(cid:81)(cid:3) (cid:82)(cid:73)(cid:3) (cid:54)(cid:41)(cid:36)(cid:54)(cid:3) (cid:20)(cid:24)(cid:28)(cid:3) (cid:68)(cid:86)(cid:3) (cid:82)(cid:73)(cid:3) (cid:48)(cid:68)(cid:92)(cid:3) (cid:20)(cid:15)(cid:3) (cid:21)(cid:19)(cid:19)(cid:27)(cid:3) (cid:71)(cid:76)(cid:71)(cid:3) (cid:81)(cid:82)(cid:87)(cid:3)
have a significant impact on its consolidated financial statements since the Company did not apply the fair value 
option of SFAS 159 to any of its existing assets and liabilities. 

In  December  2007,  the  FASB  issued  SFAS  No. (cid:20)(cid:23)(cid:20)(cid:53)(cid:15)(cid:3) (cid:179)(cid:37)(cid:88)(cid:86)(cid:76)(cid:81)(cid:72)(cid:86)(cid:86)(cid:3) (cid:38)(cid:82)(cid:80)(cid:69)(cid:76)(cid:81)(cid:68)(cid:87)(cid:76)(cid:82)(cid:81)(cid:86)(cid:180)(cid:3) (cid:11)(cid:179)(cid:54)(cid:41)(cid:36)(cid:54) (cid:20)(cid:23)(cid:20)(cid:53)(cid:180)(cid:12)(cid:17)(cid:3) (cid:54)(cid:41)(cid:36)(cid:54) 141R 
expands the scope of acquisition  accounting  to all transactions under  which control of a business is obtained. 

Principally, SFAS 141R requires that contingent consideration be recorded at fair value on the acquisition date 

and that certain transaction and restructuring costs be expensed. SFAS 141R is effective for acquisitions made 

on  and  after  May  1,  2009.  While  the  Company  is  currently  assessing  the  impact  of  SFAS  141R  on  its 

consolidated financial statements, the Company  expects that upon adoption of  SFAS 141R, the application of 

the new standard is likely to have a significant impact on how the Company allocates the purchase price of any 
future acquired businesses. 

In April 2008, the FASB issued FASB Staff Position No. FSP SFAS 142-(cid:22)(cid:3)(cid:179)(cid:39)(cid:72)(cid:87)(cid:72)(cid:85)(cid:80)(cid:76)(cid:81)(cid:68)(cid:87)(cid:76)(cid:82)(cid:81)(cid:3)(cid:82)(cid:73)(cid:3)(cid:87)(cid:75)(cid:72)(cid:3)(cid:56)(cid:86)(cid:72)(cid:73)(cid:88)(cid:79)(cid:3)(cid:47)(cid:76)(cid:73)(cid:72)(cid:3)(cid:82)(cid:73)(cid:3)
(cid:44)(cid:81)(cid:87)(cid:68)(cid:81)(cid:74)(cid:76)(cid:69)(cid:79)(cid:72)(cid:3) (cid:36)(cid:86)(cid:86)(cid:72)(cid:87)(cid:86)(cid:180)(cid:3) (cid:11)(cid:179)(cid:54)(cid:41)(cid:36)(cid:54)(cid:3) 142-(cid:22)(cid:180)(cid:12)(cid:17)(cid:3) (cid:54)(cid:41)(cid:36)(cid:54)(cid:3) (cid:20)(cid:23)(cid:21)-3  amends  the  factors  that  must  be  considered  in  developing 
renewal  or  extension  assumptions  used  to  determine  the  useful  life  over  which  to  amortize  the  cost  of  a 
(cid:85)(cid:72)(cid:70)(cid:82)(cid:74)(cid:81)(cid:76)(cid:93)(cid:72)(cid:71)(cid:3)(cid:76)(cid:81)(cid:87)(cid:68)(cid:81)(cid:74)(cid:76)(cid:69)(cid:79)(cid:72)(cid:3)(cid:68)(cid:86)(cid:86)(cid:72)(cid:87)(cid:3)(cid:88)(cid:81)(cid:71)(cid:72)(cid:85)(cid:3)(cid:41)(cid:36)(cid:54)(cid:37)(cid:3)(cid:54)(cid:87)(cid:68)(cid:87)(cid:72)(cid:80)(cid:72)(cid:81)(cid:87)(cid:3)(cid:49)(cid:82)(cid:17)(cid:3)(cid:20)(cid:23)(cid:21)(cid:15)(cid:3)(cid:179)(cid:42)(cid:82)(cid:82)(cid:71)(cid:90)(cid:76)(cid:79)(cid:79)(cid:3)(cid:68)(cid:81)(cid:71)(cid:3)(cid:50)(cid:87)(cid:75)(cid:72)(cid:85)(cid:3)(cid:44)(cid:81)(cid:87)(cid:68)(cid:81)(cid:74)(cid:76)(cid:69)(cid:79)(cid:72)(cid:3)(cid:36)(cid:86)(cid:86)(cid:72)(cid:87)(cid:86)(cid:17)(cid:180)(cid:3)(cid:54)(cid:41)(cid:36)(cid:54)(cid:3)(cid:20)(cid:23)(cid:21)-
3 requires an entity to consider its own experience with the renewal or extension of the terms of a contractual 

arrangement,  consistent  with  its  expected  use  of  the  asset.  SFAS  142-3  also  requires  several  incremental 

disclosures for renewable intangible assets. The Company is required to adopt SFAS 142-3 as of May 1, 2009. 

The  guidance  for  determining  the  useful  life  of  an  intangible  asset  must  be  applied  prospectively  to  intangible 

assets acquired after the effective date. The Company does not expect that the application of this new standard 

will significantly impact the process currently used to determine useful lives of its intangible assets. 

There  have  been  no  other  new  accounting  pronouncements  issued  that  have  had,  or  are  expected  to  have  a 
(cid:80)(cid:68)(cid:87)(cid:72)(cid:85)(cid:76)(cid:68)(cid:79)(cid:3)(cid:76)(cid:80)(cid:83)(cid:68)(cid:70)(cid:87)(cid:3)(cid:82)(cid:81)(cid:3)(cid:87)(cid:75)(cid:72)(cid:3)(cid:38)(cid:82)(cid:80)(cid:83)(cid:68)(cid:81)(cid:92)(cid:182)(cid:86)(cid:3)(cid:70)(cid:82)(cid:81)(cid:86)(cid:82)(cid:79)(cid:76)(cid:71)(cid:68)(cid:87)(cid:72)(cid:71)(cid:3)(cid:73)(cid:76)(cid:81)(cid:68)(cid:81)(cid:70)(cid:76)(cid:68)(cid:79)(cid:3)(cid:86)(cid:87)(cid:68)(cid:87)(cid:72)(cid:80)(cid:72)(cid:81)(cid:87)(cid:86)(cid:17) 

-53- 

 
 
 
 
 
 
 
Note 3 (cid:177) Reconciliation of Weighted Average Shares Outstanding  

A  reconciliation  of  the  shares  used  in  the  computation  of  net  income  per  share  for  the  years  ended  April  30 

follows (in thousands): 

2009 

2008 

2007 

Weighted Average Shares Outstanding 

       58,665 

       58,193 

57,191 

Less:  Unearned Restricted Shares 

        (246) 

        (272) 

(259) 

Shares Used for Basic Income Per Share 

58,419 

     57,921 

56,932 

Dilutive Effect of Stock Option and Other Stock Awards 

       1,191 

       1,402 

   1,355 

Shares Used for Diluted Income Per Share 

     59,610 

     59,323 

58,287 

For the years ended April 30, 2009, 2008, and 2007, options to purchase Class A Common Stock of 2,210,837, 1,591,593 and 2,587,569 
shares, respectively, have been excluded from the shares used for diluted income per share as their inclusion would have been antidilutive.  
In  addition, for  the  years  ended April  30,  2009  and  2008,  unearned  restricted  shares  of  24,250  and  19,000  have  been  excluded  as  their 
inclusion would have been antidilutive.  No unearned restricted shares were excluded for the year ended April 30, 2007. 

Note 4 (cid:177) Significant Acquisitions 

Fiscal Year 2009: 

On  June  12,  2008,  the  Company  acquired  the  publishing  rights  to  a  list  of  business  and  modern  language 

textbooks and learning materials. The cost of acquisition was principally allocated to acquired publication rights 

and is being amortized over a 20-year period. 

Fiscal Year 2008: 

The Company entered into a contract with Microsoft to develop, publish, and deliver Microsoft Official Academic 

Curriculum  (MOAC)  textbooks  and  e-learning  tools  to  the  higher  education  markets.    The  Company  recorded 

amounts  due  under  the  Microsoft  agreement  which  were  primarily  allocated  to  acquired  publication  rights  and 

are being amortized over the life of the contract. 

Fiscal Year 2007: 

Blackwell Acquisition: 

On February 2, 2007 the Company acquired all the outstanding shares of Blackwell  Publishing (Holdings) Ltd. 

(cid:11)(cid:179)(cid:37)(cid:79)(cid:68)(cid:70)(cid:78)(cid:90)(cid:72)(cid:79)(cid:79)(cid:180)(cid:12)(cid:3) (cid:73)(cid:82)(cid:85)(cid:3) (cid:7)(cid:20)(cid:17)(cid:20)(cid:3) (cid:69)(cid:76)(cid:79)(cid:79)(cid:76)(cid:82)(cid:81)(cid:3) (cid:11)(cid:133)(cid:24)(cid:26)(cid:21)(cid:3) (cid:80)(cid:76)(cid:79)(cid:79)(cid:76)(cid:82)(cid:81)(cid:12)(cid:3) (cid:82)(cid:73)(cid:3) (cid:70)(cid:68)(cid:86)(cid:75)(cid:3) (cid:83)(cid:79)(cid:88)(cid:86)(cid:3) (cid:79)(cid:76)(cid:68)(cid:69)(cid:76)(cid:79)(cid:76)(cid:87)(cid:76)(cid:72)(cid:86)(cid:3) (cid:68)(cid:86)(cid:86)(cid:88)(cid:80)(cid:72)(cid:71)(cid:3) (cid:79)(cid:72)(cid:86)(cid:86)(cid:3) (cid:70)(cid:68)(cid:86)(cid:75)(cid:3) (cid:68)(cid:70)(cid:84)(cid:88)(cid:76)(cid:85)(cid:72)(cid:71)(cid:17)(cid:3) (cid:3) (cid:37)(cid:79)(cid:68)(cid:70)(cid:78)(cid:90)(cid:72)(cid:79)(cid:79)(cid:3)
publishes  journals  and  books  for  the  academic,  research  and  professional  markets  focused  on  science, 

technology,  medicine  and  social  sciences  and  humanities.    The  Company  accounted  for  the  acquisition  using 
(cid:87)(cid:75)(cid:72)(cid:3) (cid:83)(cid:88)(cid:85)(cid:70)(cid:75)(cid:68)(cid:86)(cid:72)(cid:3) (cid:80)(cid:72)(cid:87)(cid:75)(cid:82)(cid:71)(cid:3) (cid:82)(cid:73)(cid:3) (cid:68)(cid:70)(cid:70)(cid:82)(cid:88)(cid:81)(cid:87)(cid:76)(cid:81)(cid:74)(cid:3) (cid:76)(cid:81)(cid:3) (cid:68)(cid:70)(cid:70)(cid:82)(cid:85)(cid:71)(cid:68)(cid:81)(cid:70)(cid:72)(cid:3) (cid:90)(cid:76)(cid:87)(cid:75)(cid:3) (cid:87)(cid:75)(cid:72)(cid:3) (cid:83)(cid:85)(cid:82)(cid:89)(cid:76)(cid:86)(cid:76)(cid:82)(cid:81)(cid:86)(cid:3) (cid:82)(cid:73)(cid:3) (cid:54)(cid:41)(cid:36)(cid:54)(cid:3) (cid:49)(cid:82)(cid:17)(cid:3) (cid:20)(cid:23)(cid:20)(cid:15)(cid:3) (cid:179)(cid:37)(cid:88)(cid:86)iness 
(cid:38)(cid:82)(cid:80)(cid:69)(cid:76)(cid:81)(cid:68)(cid:87)(cid:76)(cid:82)(cid:81)(cid:86)(cid:180)(cid:3) (cid:11)(cid:179)(cid:54)(cid:41)(cid:36)(cid:54)(cid:3) (cid:20)(cid:23)(cid:20)(cid:180)(cid:12)(cid:17)(cid:3) (cid:3) (cid:55)(cid:75)(cid:72)(cid:3) (cid:83)(cid:88)(cid:85)(cid:70)(cid:75)(cid:68)(cid:86)(cid:72)(cid:3) (cid:83)(cid:85)(cid:76)(cid:70)(cid:72)(cid:3) (cid:90)(cid:68)(cid:86)(cid:3) (cid:68)(cid:79)(cid:79)(cid:82)(cid:70)(cid:68)(cid:87)(cid:72)(cid:71)(cid:3) (cid:87)(cid:82)(cid:3) (cid:37)(cid:79)(cid:68)(cid:70)(cid:78)(cid:90)(cid:72)(cid:79)(cid:79)(cid:182)(cid:86)(cid:3) (cid:87)(cid:68)(cid:81)(cid:74)(cid:76)(cid:69)(cid:79)(cid:72)(cid:3) (cid:68)(cid:81)(cid:71)(cid:3) (cid:76)(cid:71)(cid:72)(cid:81)(cid:87)(cid:76)(cid:73)(cid:76)(cid:68)(cid:69)(cid:79)(cid:72)(cid:3)
intangible  assets  and  liabilities  based  on  their  fair  values  as  of  February  2,  2007  as  set  forth  below  (in 

thousands): 

-54- 

 
 
 
 
 
 
 
 
 
Current Assets 

Intangible Assets 

Goodwill 

Other Noncurrent Assets 

        Total Assets Acquired 

Deferred Revenue 

Other Current Liabilities 

Noncurrent Deferred Tax Liabilities 

Other Noncurrent Liabilities 

Total Liabilities Assumed 

        Net Assets Acquired 

$ 

      345,200 

      830,400 

      497,400 

        43,700 

$ 

   1,716,700 

$ 

      172,300 

      130,900 

      256,300 

        36,200 

$ 

      595,700 

$ 

   1,121,000 

Included  in  current  assets  above  is  $188.9  million  of  cash  acquired.    All  valuations  and  plans  related  to  the 

integration  of  the  Blackwell  acquisition  have  been  finalized  along  with  the  final  purchase  price  allocation,  as 

reflected in the above schedule.  

Unaudited Pro Forma Financial Information 

The following unaudited pro forma statement of operations information gives effect to the Blackwell acquisition 

and  related  financing  as  if  it  had  occurred  at  the  beginning  of  fiscal  year  2007.  The  pro  forma  information  is 

presented for informational purposes only and is not indicative of the results of operations that would have been 

achieved if the acquisition and the $1.35 billion Credit Agreement had taken place at the beginning of the period 

presented nor is it indicative of future financial performance. The pro forma financial information for  fiscal year 

2007  includes  the  recurring  effect  from  the    amortization  of  acquired  intangible  assets  and  the  increase  in 

interest expense associated with the Credit Agreement.  Cost savings from future synergies are not reflected in 

the pro forma financial information. 

The  unaudited  pro  forma  statement  of  operations  information  for  the  year  ended  April 30,  2007  combines  the 

historical results of Wiley for the year ended April 30, 2007, which includes post-acquisition Blackwell results for 

the period from February 2, 2007 to April 30, 2007, and the historical results of pre-acquisition Blackwell for the 

period from April 1, 2006 to December 31, 2006.  

In thousands, except per share data 

Revenue 

Net Income 

Net Income Per Common Share - Basic 

Net Income Per Common Share - Diluted 

For the year ended 
April 30, 2007       

           $1,558,887 

  $108,301 

       $1.90 

       $1.86 

Goodwill and Acquisition Related Intangible Assets 

Goodwill resulting from the acquisition of $497.4 million was recorded within the STMS segment as reported in 

Note 17 of these  consolidated  financial statements.  None of the goodwill is deductible for tax purposes.  The 

-55- 

 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
acquisition  value  and  weighted  average  amortization  period  assigned  to  each  intangible  asset  class  as  of 

February 2, 2007 were as follows: 

Weighted Average 
Amortization Period 
(in years) 

Cost of Blackwell 
Acquisition Related 
Intangible Assets 
(in thousands) 

Acquired Publication Rights 

37 

Trademarks and Trade Names 

Indefinite 

Customer Relationships 

20 

Total 

$617,800 

  142,600 

   70,000 

$830,400 

The  total  amortization  expense  for  Blackwell  acquisition  related  intangible  assets  was  $19.3  million,  $22.3 

million and $5.5 million for the fiscal years ended April 30, 2009, 2008 and 2007, respectively, and is included in 
(cid:87)(cid:75)(cid:72)(cid:3) (cid:70)(cid:68)(cid:83)(cid:87)(cid:76)(cid:82)(cid:81)(cid:3) (cid:179)(cid:36)(cid:80)(cid:82)(cid:85)(cid:87)(cid:76)(cid:93)(cid:68)(cid:87)(cid:76)(cid:82)(cid:81)(cid:3) (cid:82)(cid:73)(cid:3) I(cid:81)(cid:87)(cid:68)(cid:81)(cid:74)(cid:76)(cid:69)(cid:79)(cid:72)(cid:86)(cid:180)(cid:3) (cid:82)(cid:81)(cid:3) (cid:87)(cid:75)(cid:72)(cid:3) (cid:38)(cid:82)(cid:80)(cid:83)(cid:68)(cid:81)(cid:92)(cid:182)(cid:86)(cid:3) (cid:38)(cid:82)(cid:81)(cid:86)(cid:82)(cid:79)(cid:76)(cid:71)(cid:68)(cid:87)(cid:72)(cid:71)(cid:3) (cid:54)(cid:87)(cid:68)(cid:87)(cid:72)(cid:80)(cid:72)(cid:81)(cid:87)(cid:86)(cid:3) (cid:82)(cid:73)(cid:3) (cid:44)(cid:81)(cid:70)(cid:82)(cid:80)(cid:72)(cid:17)(cid:3) (cid:3) (cid:40)(cid:86)(cid:87)(cid:76)(cid:80)(cid:68)(cid:87)(cid:72)(cid:71)(cid:3)
future amortization expense related to the acquisition for the next five years is approximately $19.0 million per 

year. 

Identifiable  intangible  assets  (cid:177)  Acquired  publication  rights  represent  the  rights  to  publish  current  and  new 
editions of journal and book titles. Acquired journal publishing rights are segregated into owned, non-owned and 

joint  owned  titles.  The  right  to  publish  a  joint  or  non-owned  journal  is  determined  based  upon  individual 
negotiated  contractual  arrangements,  typically  with  membership  organizations  referr(cid:72)(cid:71)(cid:3) (cid:87)(cid:82)(cid:3) (cid:68)(cid:86)(cid:3) (cid:179)(cid:54)(cid:82)(cid:70)(cid:76)(cid:72)(cid:87)(cid:76)(cid:72)(cid:86)(cid:180)(cid:3) (cid:90)(cid:75)(cid:76)(cid:70)(cid:75)(cid:3)
specialize in the particular field or discipline. Owned journal publishing rights of approximately $476.3 million are 

expected  to  have  an  estimated  useful  life  of  40  years.    Joint  and  non-owned  journal  publishing  rights  are 

expected  to  have  estimated  useful  lives  of  40  and  30  years,  respectively.    Trademarks  and  trade  names  are 

expected to have an indefinite life due to the fact that the Blackwell name will be used by the Company on an 
ongoing basis, the name is important to the C(cid:82)(cid:80)(cid:83)(cid:68)(cid:81)(cid:92)(cid:182)(cid:86)(cid:3)(cid:69)(cid:88)(cid:86)(cid:76)(cid:81)(cid:72)(cid:86)(cid:86)(cid:3)(cid:68)(cid:81)(cid:71)(cid:3)(cid:76)(cid:87)(cid:3)(cid:76)(cid:86)(cid:3)(cid:79)(cid:82)(cid:81)(cid:74)(cid:3)(cid:72)(cid:86)(cid:87)(cid:68)(cid:69)(cid:79)(cid:76)(cid:86)(cid:75)(cid:72)(cid:71)(cid:3)(cid:68)(cid:81)(cid:71)(cid:3)(cid:90)(cid:72)(cid:79)(cid:79)(cid:3)(cid:85)(cid:72)(cid:70)(cid:82)(cid:74)(cid:81)(cid:76)(cid:93)(cid:72)(cid:71)(cid:17)(cid:3)(cid:3)
Customer  relationships  are  expected  to  have  an  estimated  useful  life  of  approximately  20  years.    Book 

publishing rights are expected to have estimated useful lives of 10 to 15 years. 

The fair value of intangible assets was based on (cid:80)(cid:68)(cid:81)(cid:68)(cid:74)(cid:72)(cid:80)(cid:72)(cid:81)(cid:87)(cid:182)(cid:86)(cid:3)(cid:68)(cid:86)(cid:86)(cid:72)(cid:86)(cid:86)(cid:80)(cid:72)(cid:81)(cid:87)(cid:3)(cid:83)(cid:72)(cid:85)(cid:73)(cid:82)(cid:85)(cid:80)(cid:72)(cid:71)(cid:3)(cid:90)(cid:76)(cid:87)(cid:75)(cid:3)(cid:87)(cid:75)(cid:72)(cid:3)(cid:68)(cid:86)(cid:86)(cid:76)(cid:86)(cid:87)(cid:68)(cid:81)(cid:70)(cid:72)(cid:3)(cid:82)(cid:73) a 
third party specialist using income approach methodologies. The discount rates used to determine present value 

of  net  cashflows  ranged  from  9.5%  to  15%.  These  discount  rates  were  determined  after  consideration  of 

(cid:37)(cid:79)(cid:68)(cid:70)(cid:78)(cid:90)(cid:72)(cid:79)(cid:79)(cid:182)(cid:86)(cid:3)(cid:72)(cid:86)(cid:87)(cid:76)(cid:80)(cid:68)(cid:87)(cid:72)(cid:71)(cid:3)(cid:90)(cid:72)(cid:76)(cid:74)(cid:75)(cid:87)(cid:72)(cid:71)(cid:3)(cid:68)(cid:89)(cid:72)(cid:85)(cid:68)(cid:74)(cid:72)(cid:3)(cid:70)(cid:82)(cid:86)(cid:87)(cid:3)(cid:82)(cid:73)(cid:3)(cid:70)(cid:68)(cid:83)(cid:76)(cid:87)(cid:68)(cid:79)(cid:3)(cid:68)(cid:81)(cid:71)(cid:3)(cid:87)(cid:75)(cid:72)(cid:3)(cid:72)(cid:86)(cid:87)(cid:76)(cid:80)(cid:68)(cid:87)(cid:72)(cid:71)(cid:3)(cid:76)(cid:81)(cid:87)(cid:72)(cid:85)(cid:81)(cid:68)(cid:79)(cid:3)(cid:85)(cid:68)(cid:87)(cid:72)(cid:3)(cid:82)(cid:73)(cid:3)(cid:85)(cid:72)(cid:87)(cid:88)(cid:85)(cid:81)(cid:3)(cid:86)(cid:83)(cid:72)(cid:70)(cid:76)(cid:73)(cid:76)(cid:70)(cid:3)(cid:87)(cid:82)(cid:3)(cid:87)(cid:75)(cid:72)(cid:3)
acquisition. 

As  part  of  the  strategic  acquisition  plan,  the  Company  planned  to  reorganize  certain  functions,  cancel  certain 

contractual obligations and close duplicate facilities.  The plan encompassed the termination and relocation of 

certain  employees.    Estimated  costs  associated  with  employee  severance  and  relocation  was  approximately 

$7.1  million.    These  costs  were  included  as  a  component  of  net  assets  acquired.    As  of  April  30,  2009 

approximately $6.3 million of the severance costs were paid.  

Other Significant Fiscal Year 2007 Acquisitions: 

Excluding the Blackwell acquisition, in fiscal year 2007 the Company acquired certain other businesses, assets 

and rights for $19.7 million, including acquisition costs plus liabilities assumed.  Approximately $14.1 million of 

brands, trademarks and acquired publishing rights and $6.6 million of goodwill were recorded in the aggregate.  

-56- 

 
 
  
 
 
 
 
 
 
 
 
 
 
 
The brands, trademarks and acquired publishing rights are being amortized over a weighted average period of 

approximately 11 years.  The acquisitions consist primarily of the following: 

On  July  20,  2006,  the  Company  acquired  the  assets  of  a  publisher  of  two  medical  journals.    The  cost  of 

acquisition was principally allocated to acquired publication rights and is being amortized over a 15-year period.  

On  October  18,  2006,  the  Company  acquired  an  on-line  provider  of  travel-related  content,  technology,  and 

services.    The  acquisition  cost  was  allocated  to  goodwill,  branded  trademarks  and  the  net  tangible  assets 

acquired  consisting  primarily  of  computer  software.    The  branded  trademarks  are  being  amortized  over  a  10-

year period.   

On January 24, 2007, the Company acquired the assets of a publisher of three advertising based journals.  The 

cost of acquisition was primarily allocated to acquired publication rights and is being amortized over a 10-year 

period. 

Note 5 - Marketable Securities 

The Company accounts for these securities as available-for-(cid:86)(cid:68)(cid:79)(cid:72)(cid:3)(cid:76)(cid:81)(cid:3)(cid:68)(cid:70)(cid:70)(cid:82)(cid:85)(cid:71)(cid:68)(cid:81)(cid:70)(cid:72)(cid:3)(cid:90)(cid:76)(cid:87)(cid:75)(cid:3)(cid:54)(cid:41)(cid:36)(cid:54)(cid:3)(cid:49)(cid:82)(cid:17)(cid:3)(cid:20)(cid:20)(cid:24)(cid:3)(cid:179)(cid:36)(cid:70)(cid:70)(cid:82)(cid:88)(cid:81)(cid:87)(cid:76)(cid:81)(cid:74)(cid:3)
(cid:73)(cid:82)(cid:85)(cid:3)(cid:38)(cid:72)(cid:85)(cid:87)(cid:68)(cid:76)(cid:81)(cid:3)(cid:44)(cid:81)(cid:89)(cid:72)(cid:86)(cid:87)(cid:80)(cid:72)(cid:81)(cid:87)(cid:86)(cid:3)(cid:76)(cid:81)(cid:3)(cid:39)(cid:72)(cid:69)(cid:87)(cid:3)(cid:68)(cid:81)(cid:71)(cid:3)(cid:40)(cid:84)(cid:88)(cid:76)(cid:87)(cid:92)(cid:3)(cid:54)(cid:72)(cid:70)(cid:88)(cid:85)(cid:76)(cid:87)(cid:76)(cid:72)(cid:86)(cid:17)(cid:180)(cid:3)(cid:3)(cid:36)(cid:86)(cid:3)(cid:83)(cid:68)(cid:85)(cid:87)(cid:3)(cid:82)(cid:73)(cid:3)(cid:87)(cid:75)(cid:72)(cid:3)(cid:37)(cid:79)(cid:68)(cid:70)(cid:78)(cid:90)(cid:72)(cid:79)(cid:79)(cid:3)(cid:68)(cid:70)(cid:84)(cid:88)(cid:76)(cid:86)(cid:76)(cid:87)ion on February 2, 2007, 
the  Company  acquired  $42.3  million  in  marketable  securities  which  were  all  sold  by  the  Company  during  the 

fourth quarter of fiscal year 2007.  There were no securities outstanding as of April 30, 2009 and 2008.  

Note 6 (cid:177) Inventories 

Inventories at April 30 were as follows (in thousands): 

Finished Goods 

Work-in-Process 

Paper, Cloth, and Other 

LIFO Reserve 

Total Inventories 

2009 

2008 

$97,013 

$103,138 

9,507 

9,002  

11,074 

8,303 

115,522 

122,515 

   (4,255)  

       (4,306) 

$111,267 

  $118,209 

Note 7 (cid:177) Product Development Assets 

Product development assets consisted of the following at April 30 (in thousands): 

Composition Costs 

Royalty Advances 

Total 

2009 

2008 

$46,686 

$49,054 

42,976 

46,072 

$89,662 

$95,126 

Composition costs are net of accumulated amortization of $107.6 million and $122.8 million as of April 30, 2009 and 2008, respectively. 

-57- 

 
 
 
 
 
 
 
 
 
 
 
 
 
 
Note 8 - Property, Equipment and Technology 

Property, equipment and technology consisted of the following at April 30 (in thousands): 

2009 

2008 

Land and Land Improvements 

   $3,860 

   $5,105 

Buildings and Leasehold Improvements 

Furniture, Fixtures and Warehouse Equipment 

83,618 

67,095 

96,302 

72,763 

Computer Hardware and Capitalized Software 

259,999 

233,682 

Accumulated Depreciation 

Total 

414,572 

407,852 

 (273,376) 

 (262,143) 

 $141,196 

$145,709 

The net book value of capitalized software costs was $45.7 million and $30.4 million as of April 30,  2009 and 

2008,  respectively.    Depreciation  expense  recognized  in  2009,  2008,  and  2007  for  capitalized  software  costs 

was approximately $14.5 million, $11.9 million, and $12.0 million, respectively. 

Note 9 - Goodwill and Other Intangible Assets 

The following table summarizes the activity in goodwill by segment (in thousands): 

STMS

P/T 

Total 

  As of April 
  30, 2008 

Acquisitions and 
Dispositions 

Foreign Translation and 
Other Adjustments 

As of April 
 30, 2009 

$547,090 

 161,143 

$708,233 

$- 

- 

$- 

$(114,672) 

     (3,568) 

$(118,240) 

$432,418 

 157,575 

$589,993 

Identified intangible assets as of April 30, 2009 and 2008 were as follows (in thousands): 

                   2009 

2008 

        Cost 

Accumulated 
Amortization 

   Cost 

Accumulated 
Amortization 

Intangible Assets with Determinable Lives 

Acquired Publishing Rights 

   $723,702 

$(153,917) 

   $834,556 

$(121,924) 

Brands & Trademarks 

Covenants not to Compete 

Customer Relationships 

Intangible Assets with Indefinite Lives 

Acquired Publishing Rights  

Brands & Trademarks 

       16,034 

         2,240 

(4,613) 

(1,571) 

       17,209 

         2,500 

(3,436) 

(1,460) 

        60,481 

       (7,585) 

       70,937 

    (4,472) 

802,457 

(167,686) 

     925,202 

 (131,292) 

120,771 

163,833 

- 

- 

     123,963 

            - 

     202,525 

           - 

$1,087,061 

$(167,686) 

$1,251,690 

$(131,292) 

The  decrease  in  intangible  assets  at  April  30,  2009  compared  to  April  30,  2008  is  primarily  due  to  foreign 

exchange. Based on the current amount of intangible assets subject to amortization assuming current exchange 

-58- 

 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
rates, the estimated amortization expense for each of the succeeding 5 fiscal years are as follows:  2010 - $31.4 

million; 2011 - $30.1 million; 2012 - $29.5 million; 2013 - $27.4 million; and 2014 - $25.9 million.   

Note 10 - Other Accrued Liabilities 

Other accrued liabilities as of April 30 consisted of the following (in thousands): 

Accrued Compensation and Benefits 

$54,700 

$59,046 

          2009 

         2008 

Accrued Interest 

Other Accrued Operating Expenses 

Total 

Note 11 - Income Taxes 

2,524 

58,620 

7,409 

70,412 

$115,844 

$136,867 

The provision for income taxes for the years ending April 30 were as follows (in thousands): 

Current Provision 

  US (cid:177) Federal 
International 

  State and Local 

2009 

2008 

2007 

 $7,795 

 10,006 

  1,275 

 $9,397 

    $23,684 

 10,088 

        9,872 

  2,386 

        2,723 

  Total Current Provision 

       $19,076 

    $21,871 

    $36,279 

Deferred Provision(Benefit) 

  US (cid:177) Federal 
International 

  State and Local 

  $7,520 

  $5,183 

     $(2,409) 

  8,619 

  1,002 

  (13,414) 

        6,265 

       352 

          (252) 

  Total Deferred Provision 

 $17,141 

  $(7,879) 

      $3,604 

  Total Provision 

$36,217 

$13,992 

    $39,883 

International and United States pretax income for the year ended April 30 was as follows (in thousands): 

International 

United States 

Total 

2009 

2008 

2007 

  $107,013 

$122,369 

  $58,165 

   57,462 

    39,159 

    81,337 

 $164,475 

$161,528 

$139,502 

(cid:55)(cid:75)(cid:72)(cid:3) (cid:38)(cid:82)(cid:80)(cid:83)(cid:68)(cid:81)(cid:92)(cid:182)(cid:86)(cid:3) (cid:72)(cid:73)(cid:73)(cid:72)(cid:70)(cid:87)(cid:76)(cid:89)(cid:72)(cid:3) (cid:76)(cid:81)(cid:70)(cid:82)(cid:80)(cid:72)(cid:3) (cid:87)(cid:68)(cid:91)(cid:3) (cid:85)(cid:68)(cid:87)(cid:72)(cid:3) (cid:68)(cid:86)(cid:3) (cid:68)(cid:3) (cid:83)(cid:72)(cid:85)(cid:70)(cid:72)(cid:81)(cid:87)(cid:68)(cid:74)(cid:72)(cid:3) (cid:82)(cid:73)(cid:3) (cid:83)(cid:85)(cid:72)(cid:87)(cid:68)(cid:91)(cid:3) (cid:76)(cid:81)(cid:70)(cid:82)(cid:80)(cid:72)(cid:3) (cid:71)(cid:76)(cid:73)(cid:73)(cid:72)(cid:85)(cid:72)(cid:71)(cid:3) (cid:73)(cid:85)(cid:82)(cid:80)(cid:3) (cid:87)(cid:75)(cid:72)(cid:3) (cid:56)(cid:17)(cid:54)(cid:17)(cid:3) (cid:73)(cid:72)(cid:71)(cid:72)(cid:85)(cid:68)(cid:79)(cid:3)
statutory rate as shown below: 

2009 

2008 

2007 

U.S. Federal Statutory Rate 

35.0% 

35.0% 

35.0% 

State Income Taxes, Net of U.S. Federal Tax Benefit 

Benefit from Taxes on Non-US Income 

Deferred Tax Benefit From Statutory Tax Rate  Change 

Other, including Tax Adjustments 

Effective Income Tax Rate 

0.9 

(11.2) 

- 

(2.7) 

22.0% 

1.2 

(14.2) 

(11.6) 

(1.7) 

1.1 

(3.0) 

- 

(4.5) 

8.7% 

28.6% 

-59- 

 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Tax Adjustments:  In fiscal years 2009, 2008 and 2007 the Company reported tax benefits of $3.3 million, $3.9 

million and $5.5 million, respectively, related to the favorable resolution of certain federal, state and foreign tax 

matters.  

Deferred Tax Benefit from Statutory Tax Rate Change:  In fiscal year 2008 the Company recognized tax benefits 

in the amount of $18.7 million associated with new tax laws enacted in the United Kingdom and Germany that 

reduced  the  corporate  income  tax  rate  from  30%  to  28%  and  from  39%  to  29%,  respectively.    The  benefit 

recognized  by  the  Company  reflected  the  adjustment  to  record  the  U.K.  and  Germany  related  deferred  tax 

balances at the new tax rates. 

(cid:41)(cid:36)(cid:54)(cid:37)(cid:3)(cid:44)(cid:81)(cid:87)(cid:72)(cid:85)(cid:83)(cid:85)(cid:72)(cid:87)(cid:68)(cid:87)(cid:76)(cid:82)(cid:81)(cid:3)(cid:49)(cid:82)(cid:17)(cid:3)(cid:23)(cid:27)(cid:3)(cid:11)(cid:179)(cid:41)(cid:44)(cid:49)(cid:3)(cid:23)(cid:27)(cid:180)(cid:12)(cid:3)(cid:36)(cid:70)(cid:70)(cid:82)(cid:88)(cid:81)(cid:87)(cid:76)(cid:81)(cid:74) for Uncertainty In Income Taxes:   

On May 1, 2007, the Company adopted the provisions of FIN 48, an interpretation of FASB Statement No. 109, 

which  prescribes  a  recognition  threshold  and  measurement  attributes  for  financial  statement  recognition  of 

income taxes. 

Upon  adoption,  the  Company  recognized  a  $0.4  million  increase  to  reserves  for  income  taxes,  with  a 

corresponding decrease of $0.4 million in retained earnings.  As of April 30, 2009 and April 30, 2008, the total 

amount of unrecognized tax benefits were $30.4 million and $32.4 million, respectively, of which $5.4 million and 

$4.7  million  represented  accruals  for  interest  and  penalties  that  were  recorded  as  additional  tax  expense  in 
(cid:68)(cid:70)(cid:70)(cid:82)(cid:85)(cid:71)(cid:68)(cid:81)(cid:70)(cid:72)(cid:3) (cid:90)(cid:76)(cid:87)(cid:75)(cid:3) (cid:87)(cid:75)(cid:72)(cid:3) (cid:38)(cid:82)(cid:80)(cid:83)(cid:68)(cid:81)(cid:92)(cid:182)(cid:86)(cid:3) (cid:68)(cid:70)(cid:70)(cid:82)(cid:88)(cid:81)(cid:87)(cid:76)(cid:81)(cid:74)(cid:3) (cid:83)(cid:82)(cid:79)(cid:76)(cid:70)(cid:92)(cid:17)(cid:3) (cid:3) (cid:55)(cid:75)(cid:72)(cid:3) (cid:81)(cid:72)(cid:87)(cid:3) (cid:76)(cid:81)(cid:87)(cid:72)(cid:85)(cid:72)(cid:86)(cid:87)(cid:3) (cid:68)(cid:81)d  penalties  charged  to  tax  expense  in 
fiscal  year 2009  and  2008  were $0.7 million and $0.2 million, respectively.   As of April 30, 2009 and  April  30, 
2008(cid:15)(cid:3) (cid:87)(cid:75)(cid:72)(cid:3) (cid:87)(cid:82)(cid:87)(cid:68)(cid:79)(cid:3) (cid:68)(cid:80)(cid:82)(cid:88)(cid:81)(cid:87)(cid:3) (cid:82)(cid:73)(cid:3) (cid:88)(cid:81)(cid:85)(cid:72)(cid:70)(cid:82)(cid:74)(cid:81)(cid:76)(cid:93)(cid:72)(cid:71)(cid:3) (cid:87)(cid:68)(cid:91)(cid:3) (cid:69)(cid:72)(cid:81)(cid:72)(cid:73)(cid:76)(cid:87)(cid:86)(cid:3) (cid:87)(cid:75)(cid:68)(cid:87)(cid:15)(cid:3) (cid:76)(cid:73)(cid:3) (cid:85)(cid:72)(cid:70)(cid:82)(cid:74)(cid:81)(cid:76)(cid:93)(cid:72)(cid:71)(cid:15)(cid:3) (cid:90)(cid:82)(cid:88)(cid:79)(cid:71)(cid:3) (cid:85)(cid:72)(cid:71)(cid:88)(cid:70)(cid:72)(cid:3) (cid:87)(cid:75)(cid:72)(cid:3) (cid:38)(cid:82)(cid:80)(cid:83)(cid:68)(cid:81)(cid:92)(cid:182)(cid:86)(cid:3) (cid:76)(cid:81)(cid:70)(cid:82)(cid:80)(cid:72) 
taxes  was  approximately  $27.8  million  and  $21.8  million,  respectively.    The  Company  does  not  expect  any 

significant change to the unrecognized tax benefits within the next year. 

The  Company  files  income  tax  returns  in  the  U.S.  and  various  states  and  foreign  tax  jurisdictions.    The 

(cid:38)(cid:82)(cid:80)(cid:83)(cid:68)(cid:81)(cid:92)(cid:182)(cid:86)(cid:3)(cid:80)(cid:68)(cid:77)(cid:82)(cid:85)(cid:3)(cid:87)(cid:68)(cid:91)(cid:76)(cid:81)(cid:74)(cid:3)(cid:77)(cid:88)(cid:85)(cid:76)(cid:86)(cid:71)(cid:76)(cid:70)(cid:87)(cid:76)(cid:82)(cid:81)(cid:86)(cid:3)(cid:76)(cid:81)(cid:70)(cid:79)(cid:88)(cid:71)(cid:72)(cid:3)(cid:87)(cid:75)(cid:72)(cid:3)(cid:56)(cid:81)(cid:76)(cid:87)(cid:72)(cid:71)(cid:3)(cid:54)(cid:87)(cid:68)(cid:87)(cid:72)(cid:86)(cid:15)(cid:3)(cid:87)(cid:75)(cid:72)(cid:3)(cid:56)(cid:81)(cid:76)(cid:87)(cid:72)(cid:71)(cid:3)(cid:46)(cid:76)(cid:81)(cid:74)(cid:71)(cid:82)(cid:80)(cid:3)(cid:68)(cid:81)(cid:71)(cid:3)(cid:42)(cid:72)(cid:85)(cid:80)(cid:68)(cid:81)(cid:92)(cid:17)(cid:3)(cid:3)(cid:50)(cid:87)(cid:75)(cid:72)(cid:85)(cid:3)(cid:87)(cid:75)(cid:68)(cid:81)(cid:3)

(cid:87)(cid:75)(cid:72)(cid:3) (cid:38)(cid:82)(cid:80)(cid:83)(cid:68)(cid:81)(cid:92)(cid:182)(cid:86)(cid:3) (cid:42)(cid:72)(cid:85)(cid:80)(cid:68)(cid:81)(cid:3) (cid:86)(cid:88)(cid:69)(cid:86)(cid:76)(cid:71)(cid:76)(cid:68)(cid:85)(cid:76)(cid:72)(cid:86)(cid:15)(cid:3) (cid:87)(cid:75)(cid:72)(cid:3) (cid:38)(cid:82)(cid:80)(cid:83)(cid:68)(cid:81)(cid:92)(cid:3) (cid:76)(cid:86)(cid:3) (cid:81)(cid:82)(cid:3) (cid:79)(cid:82)(cid:81)(cid:74)(cid:72)(cid:85)(cid:3) (cid:86)(cid:88)(cid:69)(cid:77)(cid:72)(cid:70)(cid:87)(cid:3) (cid:87)(cid:82)(cid:3) (cid:76)(cid:81)(cid:70)(cid:82)(cid:80)(cid:72)(cid:3) (cid:87)(cid:68)(cid:91)(cid:3) (cid:72)(cid:91)(cid:68)(cid:80)(cid:76)(cid:81)(cid:68)(cid:87)(cid:76)(cid:82)(cid:81)(cid:86)(cid:3) (cid:69)(cid:92)(cid:3) (cid:87)(cid:68)(cid:91)(cid:3)
jurisdictions for years prior to its 2005 fiscal year.  With respect to Germany, all years including fiscal year 2003 

forward remain subject to an income tax examination.  All U.S. federal tax years prior to fiscal year 2004 have 

been  audited  by  the  Internal  Revenue  Service  and  closed.    The  statute  of  limitations  for  fiscal  year  2004  and 

fiscal  2005  expired  during  January  2008  and  January  2009  respectively.    Various  state  and  foreign  tax 

jurisdictions are in the process of examining tax returns for years ranging from fiscal years 2003 to 2007. 

A reconciliation of the beginning and ending amount of unrecognized tax benefits for the years ended April 30 

were as follows (in thousands): 

Balance at the Beginning of Year 

Additions for Current Year Tax Positions  

Additions for Prior Year Tax Positions  

Reductions for Prior Year Tax Positions 

Cumulative Translation Adjustment 

Acquisitions 

Reductions for lapse of statute of limitations  

2009 

2008 

$32,432 

$30,406 

944 

1,550 

(3,319) 

(678) 

- 

(561) 

524 

373 

(4,228) 

- 

5,624 

(267) 

Balance at the End of Year 

  $30,368 

  $32,432 

-60- 

 
 
 
 
 
 
Deferred taxes result from temporary differences in the recognition of revenue and expense for tax and financial 

reporting purposes.  It is more likely than not that the results of future operations will generate sufficient taxable 

income  to  realize  the  deferred  tax  assets.  The  significant  components  of  deferred  tax  assets  and  liabilities  at 
April 30 were as follows (in thousands): 

Net Operating Loss 

Reserve for Sales Returns and Doubtful Accounts 

Inventory 

Accrued Expenses 

Accrued Employee Compensation 

Retirement and Post-Employment Benefits 

Intangible and Fixed Assets 

Net Deferred Tax Assets (Liabilities) 

2009 

2008 

$1,354 

9,551 

(6,140) 

7,572 

27,288 

24,412 

$1,480 

10,081 

(6,090) 

2,210 

22,008 

18,795 

(229,532) 

(248,690) 

$(165,495) 

$(200,206) 

The Company intends to continue to reinvest earnings outside the U.S. for the foreseeable future and, therefore, 

has  not  recognized  U.S.  tax  expense  on  non-U.S.  earnings.    At  April  30,  2009,  the  undistributed  earnings  of 

international  subsidiaries  approximated  $203.3  million.  The  related  tax  cost,  if  the  earnings  were  remitted, 

cannot be reasonably determined. 

Note 12 - Debt and Available Credit Facilities 

At April 30, (in thousands): 

Revolving Credit Facility (cid:177) Due 2012 

Term Loan (cid:177) Due 2009 - 2013 

Total Debt 

Less:  Current Portion 

Total Long-Term Debt 

2009 

2008 

   $219,400 

    $191,318 

603,000 

 651,000 

822,400 

     842,318 

 (67,500) 

  (45,000) 

   $754,900 

    $797,318 

In  connection  with  the  Blackwell  acquisition,  the  Company  entered  into  a  new  Credit  Agreement  with  Bank  of 

America  and  Royal  Bank  of  Scotland  as  Co-Lead  Arrangers  in  the  aggregate  amount  of  $1.35  billion.  The 

financing was comprised of a six-year Term Loan (Term Loan) in the amount of $675 million and a $675 million 

five-year revolving credit facility (Revolver) which can be drawn in multiple currencies. The agreement provides 

financing  to  complete  the  acquisition,  refinance  the  existing  revolving  debt  of  the  Company,  as  well  as  meet 

future seasonal operating cash requirements. The Company has the option of borrowing at the following floating 

interest rates: (i) at the rate as announced from time to time by Bank of America as its prime rate or (ii) at a rate 

based  on  the  London  Bank  Interbank  Offered  Rate  (LIBOR)  plus  an  applicable  margin  ranging  from  .37%  to 

(cid:20)(cid:17)(cid:19)(cid:24)(cid:8)(cid:3) (cid:73)(cid:82)(cid:85)(cid:3) (cid:87)(cid:75)(cid:72)(cid:3) (cid:53)(cid:72)(cid:89)(cid:82)(cid:79)(cid:89)(cid:72)(cid:85)(cid:3) (cid:68)(cid:81)(cid:71)(cid:3) (cid:17)(cid:23)(cid:24)(cid:8)(cid:3) (cid:87)(cid:82)(cid:3) (cid:20)(cid:17)(cid:21)(cid:24)(cid:8)(cid:3) (cid:73)(cid:82)(cid:85)(cid:3) (cid:87)(cid:75)(cid:72)(cid:3) (cid:55)(cid:72)(cid:85)(cid:80)(cid:3) (cid:47)(cid:82)(cid:68)(cid:81)(cid:3) (cid:71)(cid:72)(cid:83)(cid:72)(cid:81)(cid:71)(cid:76)(cid:81)(cid:74)(cid:3) (cid:82)(cid:81)(cid:3) (cid:87)(cid:75)(cid:72)(cid:3) (cid:38)(cid:82)(cid:80)(cid:83)(cid:68)(cid:81)(cid:92)(cid:182)(cid:86)(cid:3) (cid:70)(cid:82)(cid:81)(cid:86)(cid:82)(cid:79)(cid:76)(cid:71)(cid:68)(cid:87)(cid:72)(cid:71)(cid:3)
leverage  ratio,  as  defined.    In  addition,  the  Company  will  pay  a  facility  fee  ranging  from  .08%  to  .20%  on  the 
Revolver  depend(cid:76)(cid:81)(cid:74)(cid:3) (cid:82)(cid:81)(cid:3) (cid:87)(cid:75)(cid:72)(cid:3) (cid:38)(cid:82)(cid:80)(cid:83)(cid:68)(cid:81)(cid:92)(cid:182)(cid:86)(cid:3) (cid:70)(cid:82)(cid:81)(cid:86)(cid:82)(cid:79)(cid:76)(cid:71)(cid:68)(cid:87)(cid:72)(cid:71)(cid:3) (cid:79)(cid:72)(cid:89)(cid:72)(cid:85)(cid:68)(cid:74)(cid:72)(cid:3) (cid:85)(cid:68)(cid:87)(cid:76)(cid:82)(cid:15)(cid:3) (cid:68)(cid:86)(cid:3) (cid:71)(cid:72)(cid:73)(cid:76)(cid:81)(cid:72)(cid:71)(cid:17)(cid:3) (cid:3) (cid:55)(cid:75)(cid:72)(cid:3) (cid:87)(cid:82)(cid:87)(cid:68)(cid:79)(cid:3) (cid:82)(cid:73)(cid:3) (cid:87)(cid:75)(cid:72)(cid:3) (cid:68)(cid:83)(cid:83)(cid:79)(cid:76)(cid:70)(cid:68)(cid:69)(cid:79)(cid:72)(cid:3)
margin  and  facility  fee  at  both  April  30,  2009  and  2008  was  .63%.    The  Term  loan  has  quarterly  mandatory 

principle  payments  ranging  from  zero  to  $33.8  million.    For  the  fiscal  years  ending  April  30,  2009  and  2008, 

these payments were $45.0 million and $22.5 million, respectively.  The final amount due at maturity in 2013 is 

$231.8  million.    The  Company  has  the  option  to  request  an  increase  of  up  to  $250  million  in  the  size  of  the 

-61- 

 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Revolver in minimum amounts of $50 million.  The Term Loan matures on February 2, 2013 and the Revolver 

will terminate on February 2, 2012. 

Simultaneous with the execution of the new Credit Agreement, the Company terminated all of its previous credit 

agreements and paid in full amounts outstanding under those agreements by utilizing funds from the new Credit 

facility.    In  connection  with  the  early  termination  of  the  previous  credit  agreements,  the  Company  wrote  off 

approximately $0.5 million of unamortized debt origination fees in fiscal year 2007.  

The credit agreements contain certain restrictive covenants related to Leverage Ratio, Fixed Charge coverage 

ratio,  property,  equipment  and  technology  expenditures,  and  restricted  payments,  including  a  limitation  for 

dividends  paid  and  share  repurchases.    Under  the  most  restrictive  covenant,  approximately  $59  million  was 

available for such restricted payments as of April 30, 2009. 

The  Company  and  its  subsidiaries  have  other  short-term  lines  of  credit  aggregating  $15  million  at  various 

interest rates.  No borrowings under the credit lines were outstanding at April 30, 2009 or 2008. 

(cid:55)(cid:75)(cid:72)(cid:3) (cid:38)(cid:82)(cid:80)(cid:83)(cid:68)(cid:81)(cid:92)(cid:182)(cid:86)(cid:3) (cid:87)(cid:82)(cid:87)(cid:68)(cid:79)(cid:3) (cid:68)(cid:89)(cid:68)(cid:76)(cid:79)(cid:68)(cid:69)(cid:79)(cid:72)(cid:3) (cid:79)(cid:76)(cid:81)(cid:72)(cid:86)(cid:3) (cid:82)(cid:73)(cid:3) (cid:70)(cid:85)(cid:72)(cid:71)(cid:76)(cid:87)(cid:3) (cid:68)(cid:86)(cid:3) (cid:82)(cid:73)(cid:3) (cid:36)(cid:83)(cid:85)(cid:76)(cid:79)(cid:3) (cid:22)(cid:19)(cid:15)(cid:3) (cid:21)(cid:19)(cid:19)(cid:28)(cid:3) (cid:90)(cid:72)(cid:85)(cid:72)(cid:3) (cid:68)(cid:83)(cid:83)(cid:85)(cid:82)(cid:91)(cid:76)(cid:80)(cid:68)(cid:87)(cid:72)(cid:79)(cid:92)(cid:3) (cid:7)(cid:20)(cid:17)(cid:22)(cid:3) (cid:69)(cid:76)(cid:79)(cid:79)(cid:76)(cid:82)(cid:81)(cid:15)(cid:3) (cid:82)(cid:73)(cid:3) (cid:90)(cid:75)(cid:76)(cid:70)(cid:75)(cid:3)
approximately  $471  million  was  unused.    The  weighted  average  interest  rates  on  long  term  debt  outstanding 

during  fiscal  years  2009  and  2008  were  5.02%  and  6.01%,  respectively.    As  of  April  30,  2009  and  2008,  the 

weighted average interest rates for the long-term debt were 4.11% and 5.74% respectively.  Based on estimates 

of interest rates currently available to the Company for loans with similar terms and maturities, the fair value of 

amounts outstanding under the Credit Agreement approximate the carrying value. 

Total  debt  maturing  in  each  of  the  next  four  years  are:    2010  (cid:177)  $67.5  million;  2011  (cid:177)  $90.0  million;  2012  (cid:177) 
$331.9 million; 2013 (cid:177) $333.0 million.  

HEDGING ACTIVITY: 

On February 16, 2007, the Company entered into an interest rate swap agreement, designated as a cash flow 

(cid:75)(cid:72)(cid:71)(cid:74)(cid:72)(cid:3) (cid:68)(cid:86)(cid:3) (cid:71)(cid:72)(cid:73)(cid:76)(cid:81)(cid:72)(cid:71)(cid:3) (cid:88)(cid:81)(cid:71)(cid:72)(cid:85)(cid:3) (cid:54)(cid:41)(cid:36)(cid:54)(cid:3) (cid:49)(cid:82)(cid:17)(cid:3) (cid:20)(cid:22)(cid:22)(cid:15)(cid:3) (cid:179)(cid:36)(cid:70)(cid:70)(cid:82)(cid:88)(cid:81)(cid:87)(cid:76)(cid:81)(cid:74)(cid:3) (cid:73)(cid:82)(cid:85)(cid:3) (cid:39)(cid:72)(cid:85)(cid:76)(cid:89)(cid:68)(cid:87)(cid:76)(cid:89)(cid:72)(cid:3) (cid:44)(cid:81)(cid:86)(cid:87)(cid:85)(cid:88)(cid:80)(cid:72)(cid:81)(cid:87)(cid:86)(cid:3) (cid:68)(cid:81)(cid:71)(cid:3) (cid:43)(cid:72)(cid:71)(cid:74)(cid:76)(cid:81)(cid:74)(cid:3) (cid:36)(cid:70)(cid:87)(cid:76)(cid:89)(cid:76)(cid:87)(cid:76)(cid:72)(cid:86)(cid:180)(cid:17)(cid:3) (cid:3) (cid:55)(cid:75)(cid:72)(cid:3)
hedge  locked-in  a  portion  of  the  variable  interest  due  on  a  portion  of  the  Term  Loan.  Under  the  terms  of  the 

interest rate swap, the Company pays a fixed rate of 5.076% and receives a variable rate of interest based on 

three month LIBOR (as defined) from the counter party which is reset every three months for a four-year period 

ending February 8, 2011. The notional amount of the rate swap was initially $660 million which declined through 

February  8,  2011,  based  on  the  expected  amortization  of  the  Term  Loan.    As  of  April  30,  2009  and  2008  the 

notional amount of this rate swap was $400 million and $615 million, respectively. 

On October 19, 2007, the Company entered into an additional interest rate swap agreement, designated by the 

Company  as  a  cash  flow  hedge  that  locked-in  a  portion  of  the  variable  interest  due  on  the  Revolving  Credit 

Facility.    Under  the  terms  of  this  interest  rate  swap,  the  Company  pays  a  fixed  rate  of  4.60%  and  receives  a 

variable  rate  of  interest  based  on  three  month  LIBOR  (as  defined)  from  the  counterpart  which  is  reset  every 

three  months  for  a  three-year  period  ending  August  8,  2010.    The  notional  amount  of  the  rate  swap  is  $100 

million.   

(cid:44)(cid:87)(cid:3)(cid:76)(cid:86)(cid:3)(cid:80)(cid:68)(cid:81)(cid:68)(cid:74)(cid:72)(cid:80)(cid:72)(cid:81)(cid:87)(cid:182)(cid:86)(cid:3)(cid:76)(cid:81)(cid:87)(cid:72)(cid:81)(cid:87)(cid:76)(cid:82)(cid:81)(cid:3)(cid:87)(cid:75)(cid:68)(cid:87)(cid:3)(cid:87)(cid:75)(cid:72)(cid:3)(cid:81)(cid:82)(cid:87)(cid:76)(cid:82)(cid:81)(cid:68)(cid:79)(cid:3)(cid:68)(cid:80)(cid:82)(cid:88)(cid:81)(cid:87)(cid:3)(cid:82)(cid:73)(cid:3)(cid:76)(cid:81)(cid:87)(cid:72)(cid:85)(cid:72)(cid:86)(cid:87)(cid:3)(cid:85)(cid:68)(cid:87)(cid:72)(cid:3)(cid:86)(cid:90)(cid:68)(cid:83)(cid:86)(cid:3)(cid:69)(cid:72)(cid:3)(cid:79)(cid:72)(cid:86)(cid:86)(cid:3)(cid:87)(cid:75)(cid:68)(cid:81)(cid:3)(cid:87)(cid:75)(cid:72)(cid:3)(cid:55)(cid:72)(cid:85)(cid:80)(cid:3)(cid:47)(cid:82)(cid:68)(cid:81)(cid:3)(cid:68)(cid:81)(cid:71)(cid:3)(cid:87)(cid:75)(cid:72)(cid:3)
Revolving Credit Facility outstanding during the life of the derivatives.   

For  the  fiscal  years  ending  April  30,  2009  and  April  30,  2008,  the  Company  recognized  a  loss  on  the  interest 

hedge  contracts  of  approximately  $17.4  million  and  $2.2  million,  respectively.      All  amounts  are  reflected  in 

interest expense. At April 30, 2009 and 2008, the aggregate fair value of all interest rate swaps is a liability of 

-62- 

 
 
$28.2 million and $27.1 million, respectively, and is accrued in Other Long Term Liabilities in the Consolidated 

Statements  of  Financial  Position  with  a  corresponding  charge,  net  of  income  taxes,  in  Accumulated  Other 

Comprehensive Income.  In the event of a change of control, as defined, the banks have the option to terminate 

the agreements and require repayment of any amounts outstanding.   

The fair value of the interest rate swaps is an estimate at a point in time based on the terms of the agreements 

and  the  current  interest  rate  environment.    The  amount  that  will  ultimately  be  recognized  in  net  income  is 

uncertain  and  will  be  impacted  by  changes  in  the  future  interest  rate  environment.    Based  on  the  amount  in 

Accumulated  Other  Comprehensive  Income  at  April  30,  2009,  approximately  $12.3  million,  net  of  tax,  of 

unrecognized loss would be reclassified into net income in the next twelve months. 

Note 13 - Commitments and Contingencies 

The following schedule shows the composition of rent expense for operating leases (in thousands): 

2009 

2008 

2007 

Minimum Rental 

$37,561 

$36,002 

$31,142 

Less: Sublease Rentals 

(1,828) 

(1,624) 

(1,754) 

Total 

$35,733 

$34,378 

$29,388 

Future  minimum  payments  under  operating  leases  were  $293.4  million  at  April  30,  2009.  Annual  minimum 

payments under these leases for fiscal years 2010 through 2014 are approximately $37.0 million, $33.8 million, 

$29.8 million, $27.3 million, and $27.0 million, respectively.  Rent expense associated with operating leases that 

include scheduled rent increases net of tenant incentives, such as rent holidays, are recorded on a straight-line 

basis  over  the  term  of  the  lease.  Future  aggregate  minimum  rentals  to  be  received  under  non-cancelable 

subleases were $1.6 million at April 30, 2009.   

The  Company  is  involved  in  routine  litigation  in  the  ordinary  course  of  its  business.  In  the  opinion  of 

management,  the  ultimate  resolution  of  all  pending  litigation  will  not  have  a  material  effect  upon  the  financial 

condition or results of operations of the Company. 

Note 14 - Retirement Plans 

The  Company  and  its  principal  subsidiaries  have  contributory  and  noncontributory  retirement  plans  that  cover 

substantially all employees. The plans  generally  provide for employee retirement between the  ages  of 60  and 

65, and benefits based on length of service and compensation, as defined. 

Effective April 30, 2007, the Company adopted the recognition and disclosure provisions of Statement No. 158 

which  requires  employers  to  recognize  in  the  Statement  of  Financial  Position  the  overfunded  or  underfunded 

status of defined benefit postretirement plans, measured as the difference between the fair value of plan assets 

and the projected benefit obligation.   The Company recognizes the change in the funded status of the plan in 

accumulated other comprehensive income.  Statement No. 158 also requires plan assets and obligations to be 
(cid:80)(cid:72)(cid:68)(cid:86)(cid:88)(cid:85)(cid:72)(cid:71)(cid:3)(cid:68)(cid:86)(cid:3)(cid:82)(cid:73)(cid:3)(cid:87)(cid:75)(cid:72)(cid:3)(cid:72)(cid:80)(cid:83)(cid:79)(cid:82)(cid:92)(cid:72)(cid:85)(cid:86)(cid:182)(cid:3)(cid:69)(cid:68)(cid:79)(cid:68)(cid:81)(cid:70)(cid:72)(cid:3)(cid:86)(cid:75)(cid:72)(cid:72)(cid:87)(cid:3)(cid:71)(cid:68)(cid:87)(cid:72)(cid:17)(cid:3)(cid:3) 

(cid:55)(cid:75)(cid:72)(cid:3)(cid:68)(cid:71)(cid:82)(cid:83)(cid:87)(cid:76)(cid:82)(cid:81)(cid:3)(cid:82)(cid:73)(cid:3)(cid:54)(cid:87)(cid:68)(cid:87)(cid:72)(cid:80)(cid:72)(cid:81)(cid:87)(cid:3)(cid:49)(cid:82)(cid:17)(cid:3)(cid:20)(cid:24)(cid:27)(cid:3)(cid:75)(cid:68)(cid:71)(cid:3)(cid:81)(cid:82)(cid:3)(cid:72)(cid:73)(cid:73)(cid:72)(cid:70)(cid:87)(cid:3)(cid:82)(cid:81)(cid:3)(cid:87)(cid:75)(cid:72)(cid:3)(cid:38)(cid:82)(cid:80)(cid:83)(cid:68)(cid:81)(cid:92)(cid:182)(cid:86)(cid:3)Consolidated Statement of Income for the 
year ended April 30, 2009, or for any prior period presented and does not have a material impact to any of the 
(cid:38)(cid:82)(cid:80)(cid:83)(cid:68)(cid:81)(cid:92)(cid:182)(cid:86)(cid:3)(cid:71)(cid:72)(cid:69)(cid:87)(cid:3)(cid:70)(cid:82)(cid:89)(cid:72)(cid:81)(cid:68)(cid:81)(cid:87)(cid:86)(cid:3)(cid:88)(cid:81)(cid:71)(cid:72)(cid:85)(cid:3)(cid:76)(cid:87)(cid:86)(cid:3)(cid:89)(cid:68)(cid:85)(cid:76)(cid:82)(cid:88)(cid:86)(cid:3)(cid:70)(cid:85)(cid:72)(cid:71)(cid:76)(cid:87)(cid:3)(cid:68)(cid:74)(cid:85)(cid:72)(cid:72)(cid:80)(cid:72)(cid:81)(cid:87)(cid:86)(cid:17)(cid:3)(cid:3) 

-63- 

 
 
 
 
 
 
 
The amounts in accumulated other comprehensive income that are expected to be recognized as components 

of net periodic benefit cost during the next fiscal year are as follows (in thousands): 

Actuarial Loss 

Prior Service Cost 

Total 

Funded 

Unfunded 

Total 

$3,485 

453 

$79 

118 

$3,564 

571 

$3,938 

$197 

$4,135 

The  Company  has  agreements  with  certain  officers  and  senior  management  that  provide  for  the  payment  of 

supplemental retirement benefits during each of the 10 years after the termination of employment. Under certain 

circumstances, including a change of control as defined, the payment of such amounts could be accelerated on 

a present value basis. 

Net  pension  expense  included  below  for  plans  outside  of  the  United  States  amounted  to  approximately  $7.4 

million, $13.2 million and $10.2 million for fiscal years 2009, 2008 and 2007, respectively.  The components of 

net pension expense for the defined benefit plans were as follows (in thousands): 

Service Cost 

Interest Cost  

Expected Return on Plan Assets 

2009 

2008 

2007 

$13,835 

$19,639 

$13,210 

22,715 

22,030 

15,408 

(21,470) 

(22,443) 

(14,850) 

Net Amortization of Prior Service Cost and Transition Asset 

589 

608 

742 

Recognized Net Actuarial Loss 

Net Pension Expense 

2,654 

3,060 

2,200 

$18,323 

$22,894 

$16,710 

The weighted-average assumptions used to determine net pension expense for the years ended April 30 were 

as follows: 

Discount Rate 

Rate of Compensation Increase  

Expected Return on Plan Assets 

2009 

2008 

2007 

6.3% 

4.3% 

7.4% 

5.7% 

4.6% 

7.6% 

5.8% 

4.1% 

8.2% 

The projected benefit obligation, accumulated benefit obligation, and fair value of plan assets for the retirement 

plans  with  accumulated  benefit  obligations  in  excess  of  plan  assets  were  $153.8  million,  $144.5  million,  and 

$70.5  million,  respectively,  as  of  April  30,  2009,  and  $279.9  million,  $256.2  million  and  $195.8  million, 

respectively, as of April 30, 2008. 

-64- 

 
 
 
  
 
 
 
 
 
 
 
 
The following  (cid:87)(cid:68)(cid:69)(cid:79)(cid:72)(cid:3) (cid:86)(cid:72)(cid:87)(cid:86)(cid:3) (cid:73)(cid:82)(cid:85)(cid:87)(cid:75)(cid:3) (cid:87)(cid:75)(cid:72)(cid:3) (cid:70)(cid:75)(cid:68)(cid:81)(cid:74)(cid:72)(cid:86)(cid:3) (cid:76)(cid:81)(cid:3) (cid:68)(cid:81)(cid:71)(cid:3) (cid:87)(cid:75)(cid:72)(cid:3) (cid:86)(cid:87)(cid:68)(cid:87)(cid:88)(cid:86)(cid:3) (cid:82)(cid:73)(cid:3) (cid:87)(cid:75)(cid:72)(cid:3) (cid:83)(cid:79)(cid:68)(cid:81)(cid:86)(cid:182)(cid:3) (cid:68)(cid:86)(cid:86)(cid:72)(cid:87)(cid:86)(cid:3) (cid:68)(cid:81)(cid:71)(cid:3) (cid:69)(cid:72)(cid:81)(cid:72)(cid:73)(cid:76)(cid:87)(cid:3) (cid:82)(cid:69)(cid:79)(cid:76)(cid:74)(cid:68)(cid:87)(cid:76)(cid:82)(cid:81)(cid:86)(cid:17)(cid:3) (cid:3) (cid:55)(cid:75)(cid:72)(cid:3)
unfunded plans relate primarily to a non-U.S. subsidiary, which is governed by local statutory requirements, and 

the domestic supplemental retirement plans for certain officers and senior management personnel. 

Dollars in thousands 

CHANGE IN PLAN ASSETS 

Fair Value of Plan Assets, Beginning of Year 

Actual Return on Plan Assets 

Employer Contributions 

(cid:40)(cid:80)(cid:83)(cid:79)(cid:82)(cid:92)(cid:72)(cid:72)(cid:86)(cid:182)(cid:3)(cid:38)(cid:82)(cid:81)(cid:87)(cid:85)(cid:76)(cid:69)(cid:88)(cid:87)(cid:76)(cid:82)(cid:81)(cid:86) 

Benefits Paid 

Foreign Currency Rate Changes 

Amendments and Other 

Fair Value, End of Year 

CHANGE IN PROJECTED BENEFIT OBLIGATION 

2009 

2008 

Funded 

Unfunded 

Funded 

Unfunded 

$321,713 

(45,032) 

18,788 

2,157 

(8,899) 

(58,796) 

- 

$229,931 

$- 

- 

2,229 

- 

(2,229) 

- 

- 

$- 

$273,346 

1,052 

57,218 

2,891 

$- 

- 

2,142 

- 

(10,180) 

(2,142) 

(1,211) 

(1,403) 

$321,713 

- 

- 

$- 

Benefit Obligation, Beginning of Year 

$(339,526) 

$(57,521) 

$(336,457) 

$(51,041) 

Service Cost 

Interest Cost 

Employee Contributions 

Actuarial Gain (Loss) 

Benefits Paid 

Foreign Currency Rate Changes 

Amendments and Other 

Benefit Obligation, End of Year 

Funded Status 

  Amounts Recognized in the Statement of Financial Position: 

  Deferred Pension Asset 

  Current Pension Liability 

  Noncurrent Pension Liability 

 Net Amount Recognized in Statement of Financial Position 

  AMOUNTS RECOGNIZED IN ACCUMULATED OTHER 
         COMPREHENSIVE INCOME CONSIST OF (before tax) 

  Net Actuarial Loss  

  Prior Service Cost  

  Total Accumulated Other Comprehensive Loss 

(Decrease)/Increase in Accumulated other Comprehensive  

Income 

  WEIGHTED AVERAGE ASSUMPTIONS USED IN 
          DETERMINING ASSETS AND LIABILITIES  

(11,942) 

(19,358) 

(2,157) 

32,439 

8,899 

60,972 

(54) 

$(270,727) 

$(40,796) 

$388 

- 

(41,184) 

$(40,796) 

$(59,178) 

(1,849) 

$(61,027) 

$(26,314) 

(1,893) 

(3,357) 

- 

4,590 

2,229 

4,032 

- 

$(51,920) 

$(51,920) 

$- 

(2,483) 

(49,437) 

$(51,920) 

$(785) 

(1,164) 

$(1,949) 

$5,596 

(17,429) 

(19,095) 

(2,891) 

23,706 

10,180 

1,057 

1,403 

(2,210) 

(2,935) 

- 

(252) 

2,142 

(3,008) 

(217) 

$(339,526) 

$(57,521) 

$(17,813) 

$(57,521) 

$9,920 

- 

(27,733) 

$- 

(2,499) 

(55,022) 

$(17,813) 

$(57,521) 

$(32,340) 

(2,373) 

$(34,713) 

$(6,017) 

(1,528) 

$(7,545) 

$4,941 

$667 

Discount Rate 

Rate of Compensation Increase 

Accumulated Benefit Obligations 

7.2% 

4.2% 

6.9% 

4.0% 

6.4% 

4.4% 

6.1% 

4.0% 

$(244,929) 

$(45,495) 

$(306,011) 

$(49,600) 

-65- 

 
 
 
 
 
 
 
 
 
 
 
 
 
 
  
 
 
 
 
 
 
 
 
 
Basis for determining discount rate:   

The discount rates for the United States and Canadian pension plans were based on the derivation of a single-

equivalent discount rate using a standard spot rate curve and the timing of plan liabilities as of April 30, 2009.  
(cid:55)(cid:75)(cid:72)(cid:3) (cid:86)(cid:83)(cid:82)(cid:87)(cid:3) (cid:85)(cid:68)(cid:87)(cid:72)(cid:3) (cid:70)(cid:88)(cid:85)(cid:89)(cid:72)(cid:3) (cid:88)(cid:86)(cid:72)(cid:71)(cid:3) (cid:76)(cid:86)(cid:3) (cid:69)(cid:68)(cid:86)(cid:72)(cid:71)(cid:3) (cid:88)(cid:83)(cid:82)(cid:81)(cid:3) (cid:68)(cid:3) (cid:83)(cid:82)(cid:85)(cid:87)(cid:73)(cid:82)(cid:79)(cid:76)(cid:82)(cid:3) (cid:82)(cid:73)(cid:3) (cid:48)(cid:82)(cid:82)(cid:71)(cid:92)(cid:182)(cid:86)-rated  Aa3  (or  higher)  corporate  bonds.    The 
discount  rates  for  the  other  international  plans  were  based  on  similar  published  indices  with  durations 
(cid:70)(cid:82)(cid:80)(cid:83)(cid:68)(cid:85)(cid:68)(cid:69)(cid:79)(cid:72)(cid:3)(cid:87)(cid:82)(cid:3)(cid:87)(cid:75)(cid:68)(cid:87)(cid:3)(cid:82)(cid:73)(cid:3)(cid:72)(cid:68)(cid:70)(cid:75)(cid:3)(cid:83)(cid:79)(cid:68)(cid:81)(cid:182)(cid:86)(cid:3)(cid:79)(cid:76)(cid:68)(cid:69)(cid:76)(cid:79)(cid:76)(cid:87)(cid:76)(cid:72)(cid:86)(cid:17) 

Basis for determining the expected asset return: 

The expected long-term rates of return were estimated using market benchmarks for equities, real estate, and 

(cid:69)(cid:82)(cid:81)(cid:71)(cid:86)(cid:3) (cid:68)(cid:83)(cid:83)(cid:79)(cid:76)(cid:72)(cid:71)(cid:3) (cid:87)(cid:82)(cid:3) (cid:72)(cid:68)(cid:70)(cid:75)(cid:3) (cid:83)(cid:79)(cid:68)(cid:81)(cid:182)(cid:86)(cid:3) (cid:87)(cid:68)(cid:85)(cid:74)(cid:72)(cid:87)(cid:3) (cid:68)(cid:86)(cid:86)(cid:72)(cid:87)(cid:3) (cid:68)(cid:79)(cid:79)(cid:82)(cid:70)(cid:68)(cid:87)(cid:76)(cid:82)(cid:81)(cid:17)(cid:3) (cid:3) (cid:40)(cid:91)(cid:83)(cid:72)(cid:70)(cid:87)(cid:72)(cid:71)(cid:3) (cid:85)(cid:72)(cid:87)(cid:88)(cid:85)(cid:81)(cid:86)(cid:3) (cid:68)(cid:85)(cid:72)(cid:3) (cid:72)(cid:86)(cid:87)(cid:76)(cid:80)(cid:68)(cid:87)(cid:72)(cid:71)(cid:3) (cid:69)(cid:92)(cid:3) (cid:68)(cid:86)(cid:86)(cid:72)(cid:87)(cid:3) (cid:70)(cid:79)(cid:68)(cid:86)(cid:86)(cid:3) (cid:68)(cid:81)(cid:71)(cid:3)
represent the sum of expected rates of return plus anticipated inflation.  The expected long-term rates are then 

compared  to  actual  historic  investment  performance  of  the  plan  assets  as  well  as  future  expectations  and 

evaluated through consultation with investment advisors and actuaries. 

The  table  below  represents  the  asset  mix  of  the  investment  portfolio  of  the  post-retirement  benefit  plan  as  of 

April 30: 

Percentage of    
Plan Assets 

Asset Category 

   2009 

   2008 

Equities 

Debt Securities and Cash 

Real Estate 

Total 

46% 

51% 

3% 

51% 

46% 

3% 

100% 

100% 

The  investment  guidelines  for  the  defined  benefit  pension  plans  are  established  based  upon  an  evaluation  of 

market conditions and tolerance for risk.  The investment objective is to ensure that funds are available to meet 
(cid:87)(cid:75)(cid:72)(cid:3)(cid:83)(cid:79)(cid:68)(cid:81)(cid:182)(cid:86)(cid:3)(cid:69)(cid:72)(cid:81)(cid:72)(cid:73)(cid:76)(cid:87)(cid:3)(cid:82)(cid:69)(cid:79)(cid:76)(cid:74)(cid:68)(cid:87)(cid:76)(cid:82)(cid:81)(cid:86)(cid:3)(cid:90)(cid:75)(cid:72)(cid:81)(cid:3)(cid:87)(cid:75)ey are due. The investment strategy is to invest in high quality diversified 
securities to achieve our long-(cid:87)(cid:72)(cid:85)(cid:80)(cid:3)(cid:72)(cid:91)(cid:83)(cid:72)(cid:70)(cid:87)(cid:68)(cid:87)(cid:76)(cid:82)(cid:81)(cid:17)(cid:3)(cid:3)(cid:55)(cid:75)(cid:72)(cid:3)(cid:83)(cid:79)(cid:68)(cid:81)(cid:86)(cid:182)(cid:3)(cid:85)(cid:76)(cid:86)(cid:78)(cid:3)(cid:80)(cid:68)(cid:81)(cid:68)(cid:74)(cid:72)(cid:80)(cid:72)(cid:81)(cid:87)(cid:3)(cid:83)(cid:85)(cid:68)(cid:70)(cid:87)(cid:76)(cid:70)(cid:72)(cid:86)(cid:3)(cid:83)(cid:85)(cid:82)(cid:89)(cid:76)(cid:71)(cid:72)(cid:3)(cid:74)(cid:88)(cid:76)(cid:71)(cid:68)(cid:81)(cid:70)(cid:72)(cid:3)(cid:87)(cid:82)(cid:3)(cid:87)(cid:75)(cid:72)(cid:3)
investment managers, including  guidelines for asset  concentration, credit rating and liquidity.   Asset allocation 

favors  a  balanced  portfolio,  with  a  target  allocation  of  approximately  49%  equity  securities,  46%  fixed  income 

securities  and  cash,  and  5%  real  estate.  Due  to  volatility  in  the  market,  the  target  allocation  is  not  always 

desirable and asset allocations will fluctuate between acceptable ranges. 

Expected employer contributions  to the defined benefit pension plans  in fiscal  year 2010 will be approximately 
(cid:7)(cid:21)(cid:28)(cid:17)(cid:21)(cid:3)(cid:80)(cid:76)(cid:79)(cid:79)(cid:76)(cid:82)(cid:81)(cid:15)(cid:3)(cid:76)(cid:81)(cid:70)(cid:79)(cid:88)(cid:71)(cid:76)(cid:81)(cid:74)(cid:3)(cid:7)(cid:26)(cid:17)(cid:25)(cid:3)(cid:80)(cid:76)(cid:79)(cid:79)(cid:76)(cid:82)(cid:81)(cid:3)(cid:82)(cid:73)(cid:3)(cid:80)(cid:76)(cid:81)(cid:76)(cid:80)(cid:88)(cid:80)(cid:3)(cid:68)(cid:80)(cid:82)(cid:88)(cid:81)(cid:87)(cid:86)(cid:3)(cid:85)(cid:72)(cid:84)(cid:88)(cid:76)(cid:85)(cid:72)(cid:71)(cid:3)(cid:73)(cid:82)(cid:85)(cid:3)(cid:87)(cid:75)(cid:72)(cid:3)(cid:38)(cid:82)(cid:80)(cid:83)(cid:68)(cid:81)(cid:92)(cid:182)(cid:86)(cid:3)non-U.S. plans. From time 
to  time,  the  Company  may  elect  to  make  voluntary  contributions  to  its  defined  benefit  plans  to  improve  their 

funded status. 

Expected benefit payments from all plans are expected to approximate $11.0 million in fiscal year 2010, $11.4 

million  in  fiscal  year  2011,  $13.0  million  in  fiscal  year  2012,  $13.4  million  in  fiscal  year  2013,  $15.0  million  in 

fiscal year 2014, and $102.8 million for fiscal years 2015 through 2019. 

The Company provides contributory life insurance and health care benefits, subject to certain dollar limitations 

for substantially all of its eligible retired U.S. employees. The cost of such benefits is expensed over the years 

the employee renders service and is not funded in advance.  The accumulated post-retirement benefit obligation 

-66- 

 
 
 
 
 
recognized  in  the  Statement  of  Financial  Position  as  of  April  30,  2009  and  2008  was  $2.8  million  and  $2.5 

million, respectively.  Annual expenses for these plans for the fiscal years ending April 30, 2009, 2008 and 2007 

were $0.4 million, $0.3 million and $0.3 million, respectively.  

The  Company  has  defined  contribution  savings  plans.  The  Company  contribution  is  based  on  employee 

contributions  and  the  level  of  Company  match.  The  expense  for  these  plans  amounted  to  approximately  $7.3 

million, $6.3 million, and $5.4 million in 2009, 2008, and 2007, respectively. 

Note 15 (cid:177) Share-Based Compensation 

All equity compensation plans have been approved by security holders.  Under the Key Employee Stock Plan 
(cid:11)(cid:179)(cid:87)(cid:75)(cid:72)(cid:3) (cid:51)(cid:79)(cid:68)(cid:81)(cid:180)(cid:12)(cid:15)(cid:3) (cid:84)(cid:88)(cid:68)(cid:79)(cid:76)(cid:73)(cid:76)(cid:72)(cid:71)(cid:3) (cid:72)(cid:80)(cid:83)(cid:79)(cid:82)(cid:92)(cid:72)(cid:72)(cid:86)(cid:3) (cid:68)(cid:85)(cid:72)(cid:3) (cid:72)(cid:79)(cid:76)(cid:74)(cid:76)(cid:69)(cid:79)(cid:72)(cid:3) (cid:87)(cid:82)(cid:3) (cid:85)(cid:72)(cid:70)(cid:72)(cid:76)(cid:89)(cid:72)(cid:3) (cid:68)(cid:90)(cid:68)(cid:85)(cid:71)(cid:86)(cid:3) (cid:87)(cid:75)(cid:68)(cid:87)(cid:3) (cid:80)(cid:68)(cid:92)(cid:3) (cid:76)(cid:81)(cid:70)(cid:79)(cid:88)(cid:71)(cid:72)(cid:3) (cid:86)(cid:87)(cid:82)(cid:70)(cid:78)(cid:3) (cid:82)(cid:83)(cid:87)(cid:76)(cid:82)(cid:81)(cid:86)(cid:15)(cid:3) (cid:83)(cid:72)(cid:85)(cid:73)(cid:82)(cid:85)(cid:80)(cid:68)(cid:81)(cid:70)(cid:72)-
based stock awards, and restricted stock awards.  Under the Plan, a maximum number of 8,000,000 shares of 

Company  Class  A  stock  may  be  issued.    As  of  April  30,  2009  there  were  2,829,523  securities  remaining 

available for future  issuance under the  Plan.   The Company  issues treasury shares to fund stock options and 

performance-based and restricted stock awards. 

Stock Option Activity: 

(cid:56)(cid:81)(cid:71)(cid:72)(cid:85)(cid:3)(cid:87)(cid:75)(cid:72)(cid:3)(cid:87)(cid:72)(cid:85)(cid:80)(cid:86)(cid:3)(cid:82)(cid:73)(cid:3)(cid:87)(cid:75)(cid:72)(cid:3)(cid:38)(cid:82)(cid:80)(cid:83)(cid:68)(cid:81)(cid:92)(cid:182)(cid:86)(cid:3)(cid:86)(cid:87)(cid:82)(cid:70)(cid:78)(cid:3)(cid:82)(cid:83)(cid:87)(cid:76)(cid:82)(cid:81)(cid:3)(cid:83)(cid:79)(cid:68)(cid:81), the exercise price of stock options granted may not be less 
than 100% of the fair market value of the stock at the date of grant.  Options are exercisable over a maximum 

period of 10 years from the date of grant and generally vest 50% on the fourth and fifth anniversary date after 

the  award  is  granted.    Under  certain  circumstances  relating  to  a  change  of  control,  as  defined,  the  right  to 

exercise options outstanding could be accelerated. 

The following table provides the estimated weighted average fair value, under the Black-Scholes option-pricing 

model,  for  each  option  granted  during  the  periods  and  the  significant  weighted  average  assumptions  used  in 

their determination.  The expected life represents an estimate of the period of time stock options are outstanding 

based  on  the  historical  exercise  behavior  of  the  employees.    The  risk-free  interest  rate  is  based  on  the 

corresponding U.S. Treasury  yield curve in effect at the time of the grant.   Similarly, the  volatility  is  estimated 

based on the expected volatility over the estimated life, while the dividend yield is based on expected dividend 

payments to be made by the Company.  

  For the Twelve Months  
Ending April 30, 

Expected Life of Options (years) 

Risk-Free Interest Rate 

Expected Volatility 

Expected Dividend Yield 

Fair Value of Common Stock on Grant Date 

Per Share Fair Value of Options Granted 

2008 

7.7 

5.1% 

27.3% 

0.9% 

$48.46 

$18.42 

2007 

7.8 

5.2% 

29.1% 

1.2% 

$33.05 

$12.65 

2009 

7.7 

3.8% 

25.2% 

1.1% 

$47.55 

$15.30 

-67- 

 
 
 
 
 
 
 
 
 
 
 
 
 
 
(cid:36)(cid:3)(cid:86)(cid:88)(cid:80)(cid:80)(cid:68)(cid:85)(cid:92)(cid:3)(cid:82)(cid:73)(cid:3)(cid:87)(cid:75)(cid:72)(cid:3)(cid:68)(cid:70)(cid:87)(cid:76)(cid:89)(cid:76)(cid:87)(cid:92)(cid:3)(cid:68)(cid:81)(cid:71)(cid:3)(cid:86)(cid:87)(cid:68)(cid:87)(cid:88)(cid:86)(cid:3)(cid:82)(cid:73)(cid:3)(cid:87)(cid:75)(cid:72)(cid:3)(cid:38)(cid:82)(cid:80)(cid:83)(cid:68)(cid:81)(cid:92)(cid:182)(cid:86)(cid:3)(cid:86)(cid:87)(cid:82)(cid:70)(cid:78)(cid:3)(cid:82)(cid:83)(cid:87)(cid:76)(cid:82)(cid:81)(cid:3)(cid:83)(cid:79)(cid:68)(cid:81)(cid:86)(cid:3)(cid:90)(cid:68)(cid:86)(cid:3)(cid:68)(cid:86)(cid:3)(cid:73)(cid:82)(cid:79)(cid:79)(cid:82)(cid:90)(cid:86)(cid:29) 

2009 

2008 

2007 

Weighted 
Average 
Exercise 
Price 

Options 
(in (cid:19)(cid:19)(cid:19)(cid:182)(cid:86)(cid:12) 

Weighted 
Average 
Remaining 
Contractual 
Term 
(in years) 

Average 
Intrinsic 
Value 
(in millions) 

Weighted 
Average 
Exercise 
Price 

Weighted 
Average 
Exercise 
Price 

Options 
(in (cid:19)(cid:19)(cid:19)(cid:182)(cid:86)(cid:12) 

Options 
(in (cid:19)(cid:19)(cid:19)(cid:182)(cid:86)) 

Stock Options 

Outstanding at Beginning of Year 

5,730 

$31.27 

Granted 

Exercised 

Expired or Forfeited 

631 

$47.55 

(622) 

$22.02 

(17) 

$34.66 

Outstanding at End of Year 

5,722 

$34.05 

Exercisable at End of Year 

Vested and Expected to Vest in 
the Future at April 30, 2009 

2,937 

$27.38 

5,645 

$34.08 

5.5 

3.8 

5.5 

$21.3 

$20.3 

$20.9  

6,216 

$27.37 

6,084 

$25.95 

627 

$48.46 

640 

$33.05 

(1,001) 

$17.89 

(462) 

$16.30 

(112) 

$30.45 

(46) 

$30.52 

5,730 

$31.27 

6,216 

$27.37 

2,657 

$24.40 

2,801 

$21.20 

(cid:55)(cid:75)(cid:72)(cid:3)(cid:76)(cid:81)(cid:87)(cid:85)(cid:76)(cid:81)(cid:86)(cid:76)(cid:70)(cid:3)(cid:89)(cid:68)(cid:79)(cid:88)(cid:72)(cid:3)(cid:76)(cid:86)(cid:3)(cid:87)(cid:75)(cid:72)(cid:3)(cid:71)(cid:76)(cid:73)(cid:73)(cid:72)(cid:85)(cid:72)(cid:81)(cid:70)(cid:72)(cid:3)(cid:69)(cid:72)(cid:87)(cid:90)(cid:72)(cid:72)(cid:81)(cid:3)(cid:87)(cid:75)(cid:72)(cid:3)(cid:38)(cid:82)(cid:80)(cid:83)(cid:68)(cid:81)(cid:92)(cid:182)(cid:86)(cid:3)(cid:70)(cid:82)(cid:80)(cid:80)(cid:82)(cid:81)(cid:3)(cid:86)(cid:87)(cid:82)(cid:70)(cid:78)(cid:3)(cid:83)(cid:85)(cid:76)(cid:70)(cid:72)(cid:3)(cid:68)(cid:81)(cid:71)(cid:3)(cid:87)(cid:75)(cid:72)(cid:3)(cid:82)(cid:83)(cid:87)(cid:76)(cid:82)(cid:81)(cid:3)(cid:72)(cid:91)(cid:72)(cid:85)(cid:70)(cid:76)(cid:86)(cid:72)(cid:3)(cid:83)(cid:85)(cid:76)(cid:70)(cid:72)(cid:17)(cid:3)
Total intrinsic value of options exercised during the twelve months ended April 30, 2009, 2008 and 2007 were 

$11.8 million, $25.3 million and $10.0 million, respectively.    

As  of  April  30,  2009,  there  was  $12.2  million  of  unrecognized  share-based  compensation  expense  related  to 

stock options, which is expected to be recognized over a period up to 5 years, or 2 years on a weighted average 

basis. 

The following table summarizes information about stock options outstanding and exercisable at April 30, 2009: 

Options Outstanding 

Options Exercisable 

Range of 
Exercise Prices 

Number of 
Options 
(in (cid:19)(cid:19)(cid:19)(cid:182)(cid:86)) 

Weighted 
Average 
Remaining Term 
(in years) 

Weighted 
Average 
Exercise Price 

Number of 
Options 
(in (cid:19)(cid:19)(cid:19)(cid:182)(cid:86)) 

Weighted 
Average 
Exercise Price 

$17.25 to $20.54 

64 

$20.56 to $23.40 

          374 

$23.56 to $25.32 

       1,547 

$31.89 to $38.78 

       2,482 

$47.55 to $48.46 

       1,255 

Total/Average 

       5,722 

2.0  

2.1  

3.2  

6.0  

8.7  

5.5  

$19.33 

$23.16 

$24.86 

$34.75 

$48.00 

$34.05 

Performance-Based and Other Restricted Stock Activity: 

       64 

$19.33 

     374 

$23.16 

  1,547 

$24.86 

     952 

$33.67 

- 

- 

   2,937 

$27.38 

Under  the  terms  of  (cid:87)(cid:75)(cid:72)(cid:3) (cid:38)(cid:82)(cid:80)(cid:83)(cid:68)(cid:81)(cid:92)(cid:182)(cid:86)(cid:3) (cid:79)(cid:82)(cid:81)(cid:74)-term  incentive  plans,  upon  the  achievement  of  certain  three-year 
financial  performance-(cid:69)(cid:68)(cid:86)(cid:72)(cid:71)(cid:3) (cid:87)(cid:68)(cid:85)(cid:74)(cid:72)(cid:87)(cid:86)(cid:15)(cid:3) (cid:68)(cid:90)(cid:68)(cid:85)(cid:71)(cid:86)(cid:3) (cid:68)(cid:85)(cid:72)(cid:3) (cid:83)(cid:68)(cid:92)(cid:68)(cid:69)(cid:79)(cid:72)(cid:3) (cid:76)(cid:81)(cid:3) (cid:85)(cid:72)(cid:86)(cid:87)(cid:85)(cid:76)(cid:70)(cid:87)(cid:72)(cid:71)(cid:3) (cid:86)(cid:75)(cid:68)(cid:85)(cid:72)(cid:86)(cid:3) (cid:82)(cid:73)(cid:3) (cid:87)(cid:75)(cid:72)(cid:3) (cid:38)(cid:82)(cid:80)(cid:83)(cid:68)(cid:81)(cid:92)(cid:182)(cid:86)(cid:3) (cid:38)(cid:79)(cid:68)(cid:86)(cid:86)(cid:3) (cid:36)(cid:3)
common stock. During each three-year period the Company adjusts compensation expense based upon its best 

estimate  of  expected  performance.    The  restricted  performance  shares  vest  50%  on  the  first  and  second 

anniversary date after the award is earned. 

-68- 

 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
The Company may also grant individual restricted shares awards of the Compa(cid:81)(cid:92)(cid:182)(cid:86)(cid:3)(cid:38)(cid:79)(cid:68)(cid:86)(cid:86)(cid:3)(cid:36)(cid:3)(cid:38)(cid:82)(cid:80)(cid:80)(cid:82)(cid:81)(cid:3)(cid:54)(cid:87)(cid:82)(cid:70)(cid:78)(cid:3)(cid:87)(cid:82)(cid:3)
key employees in connection with their employment.  The restricted shares generally vest 50% at the end of the 

fourth and fifth years following the date of the grant. 

Under  certain  circumstances  relating  to  a  change  of  control  or  termination,  as  defined,  the  restrictions  would 

lapse and shares would vest earlier.   

Activity for  performance-based and other restricted stock awards during the fiscal  years ended April 30, 2009, 

2008 and 2007 was as follows (shares in thousands):  

2009 

2008 

2007 

Restricted 
Shares 

Weighted 
Average Grant 
Date Value 

Nonvested Shares at Beginning of Year 

Granted 

Change in shares due to performance 

Vested and Issued 

Forfeited 

Nonvested Shares at End of Year 

1,096 

   308 

  (459) 

  (228) 

    (35) 

682 

$38.25 

$47.55 

$47.11 

$34.06 

$40.01 

$37.81 

Restricted 
Shares 

Restricted 
Shares 

          814 

         609 

          307 

          211 

         (224) 

           (12) 

1,096 

 276 

    96 

 (161) 

      (6) 

814 

As of April 30, 2009, there was $8.9 million of unrecognized share-based compensation cost related to restricted 

stock awards, which is expected to be recognized over a period up to 5 years, or 3 years on a weighted average 

basis.      Compensation  expense  for  restricted  stock  awards  is  computed  using  the  closing  market  price  of  the 

(cid:38)(cid:82)(cid:80)(cid:83)(cid:68)(cid:81)(cid:92)(cid:182)(cid:86)(cid:3) (cid:38)(cid:79)(cid:68)(cid:86)(cid:86)(cid:3) (cid:36)(cid:3) (cid:38)(cid:82)(cid:80)(cid:80)(cid:82)(cid:81)(cid:3) (cid:54)(cid:87)(cid:82)(cid:70)(cid:78)(cid:3) (cid:68)(cid:87)(cid:3) (cid:87)(cid:75)(cid:72)(cid:3) (cid:71)(cid:68)(cid:87)(cid:72)(cid:3) (cid:82)(cid:73)(cid:3) (cid:74)(cid:85)(cid:68)(cid:81)(cid:87)(cid:17)(cid:3) (cid:3) (cid:55)(cid:82)(cid:87)(cid:68)(cid:79)(cid:3) (cid:74)(cid:85)(cid:68)(cid:81)(cid:87)(cid:3) (cid:71)(cid:68)(cid:87)(cid:72)(cid:3) (cid:89)(cid:68)(cid:79)(cid:88)(cid:72)(cid:3) (cid:82)(cid:73)(cid:3) (cid:86)(cid:75)(cid:68)(cid:85)(cid:72)(cid:86)(cid:3) (cid:89)(cid:72)(cid:86)(cid:87)(cid:72)(cid:71)(cid:3) (cid:71)(cid:88)(cid:85)(cid:76)(cid:81)(cid:74)(cid:3) (cid:87)(cid:75)(cid:72)(cid:3)
fiscal years ended April 30, 2009, 2008 and 2007 was $7.8 million, $6.4 million and $4.1 million, respectively.  

Director Stock Awards: 

(cid:56)(cid:81)(cid:71)(cid:72)(cid:85)(cid:3) (cid:87)(cid:75)(cid:72)(cid:3) (cid:87)(cid:72)(cid:85)(cid:80)(cid:86)(cid:3) (cid:82)(cid:73)(cid:3) (cid:87)(cid:75)(cid:72)(cid:3) (cid:38)(cid:82)(cid:80)(cid:83)(cid:68)(cid:81)(cid:92)(cid:182)(cid:86)(cid:3) (cid:39)(cid:76)(cid:85)(cid:72)(cid:70)(cid:87)(cid:82)(cid:85)(cid:3) (cid:54)(cid:87)(cid:82)(cid:70)(cid:78)(cid:3) (cid:51)(cid:79)(cid:68)(cid:81)(cid:3) (cid:11)(cid:87)(cid:75)(cid:72)(cid:3) (cid:179)(cid:39)(cid:76)(cid:85)(cid:72)(cid:70)(cid:87)(cid:82)(cid:85)(cid:3) (cid:51)(cid:79)(cid:68)(cid:81)(cid:180)(cid:12)(cid:15)(cid:3) (cid:72)(cid:68)(cid:70)(cid:75)(cid:3) (cid:81)(cid:82)(cid:81)-employee  director 
receives an annual award of Class A Common Stock equal in value to 100% of the annual director fee, based 

on the stock price on the date of grant. The granted shares may not be sold or transferred during the time the 

non-employee  director  remains  a  director.    There  were  9,667,  7,680  and  6,642  shares  awarded  under  the 

Director Plan for the fiscal years ending April 30, 2009, 2008 and 2007, respectively. 

Note 16 - Capital Stock and Changes in Capital Accounts 

(cid:40)(cid:68)(cid:70)(cid:75)(cid:3)(cid:86)(cid:75)(cid:68)(cid:85)(cid:72)(cid:3)(cid:82)(cid:73)(cid:3)(cid:87)(cid:75)(cid:72)(cid:3)(cid:38)(cid:82)(cid:80)(cid:83)(cid:68)(cid:81)(cid:92)(cid:182)(cid:86)(cid:3)(cid:38)(cid:79)(cid:68)(cid:86)(cid:86)(cid:3)(cid:37)(cid:3)(cid:38)(cid:82)(cid:80)(cid:80)(cid:82)(cid:81)(cid:3)(cid:54)(cid:87)(cid:82)(cid:70)(cid:78)(cid:3)(cid:76)(cid:86)(cid:3)(cid:70)(cid:82)(cid:81)(cid:89)(cid:72)(cid:85)(cid:87)(cid:76)(cid:69)(cid:79)(cid:72)(cid:3)(cid:76)(cid:81)(cid:87)(cid:82)(cid:3)(cid:82)(cid:81)(cid:72)(cid:3)(cid:86)(cid:75)(cid:68)(cid:85)(cid:72)(cid:3)(cid:82)(cid:73)(cid:3)(cid:38)(cid:79)(cid:68)(cid:86)(cid:86)(cid:3)(cid:36)(cid:3)(cid:38)(cid:82)(cid:80)(cid:80)(cid:82)(cid:81)(cid:3)(cid:54)(cid:87)(cid:82)(cid:70)(cid:78)(cid:17)(cid:3)
The holders of Class A stock are entitled to elect 30% of the entire Board of Directors and the holders of Class B 

stock are entitled to  elect the remainder.  On  all other matters, each share of Class A stock is entitled to one 

tenth of one vote and each share of Class B stock is entitled to one vote. 

(cid:56)(cid:81)(cid:71)(cid:72)(cid:85)(cid:3)(cid:87)(cid:75)(cid:72)(cid:3)(cid:38)(cid:82)(cid:80)(cid:83)(cid:68)(cid:81)(cid:92)(cid:182)(cid:86) current stock repurchase program, up to four million shares of its Class A Common Stock 
may be purchased from time to time in the open market and through privately negotiated transactions.  During 

fiscal year 2009, the Company repurchased 1,006,400 shares at an average price of $34.89 per share.  As of 

April  30,  2009,  the  Company  has  authorization  from  its  Board  of  Directors  to  purchase  up  to  approximately 

798,630 additional shares. 

-69- 

 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Note 17 - Segment Information 

The Company is a global publisher of print and electronic products, providing content and services to customers 

worldwide.  The  Company  has  publishing,  marketing  and  distribution  centers  principally  in  Asia,  Australia, 

Canada, Germany, the United Kingdom and the United States. 

During  fiscal  year  2008,  the  Company  began  developing  a  global  organizational  structure  encompassing  the 

(cid:38)(cid:82)(cid:80)(cid:83)(cid:68)(cid:81)(cid:92)(cid:182)(cid:86)(cid:3)(cid:87)(cid:75)(cid:85)(cid:72)(cid:72)(cid:3)(cid:70)(cid:82)(cid:85)(cid:72)(cid:3)(cid:69)(cid:88)(cid:86)(cid:76)(cid:81)(cid:72)(cid:86)(cid:86)(cid:72)(cid:86)(cid:29)(cid:3)(cid:54)(cid:70)(cid:76)(cid:72)(cid:81)(cid:87)(cid:76)(cid:73)(cid:76)(cid:70)(cid:15)(cid:3)(cid:55)(cid:72)(cid:70)(cid:75)(cid:81)(cid:76)(cid:70)(cid:68)(cid:79)(cid:15)(cid:3)(cid:48)(cid:72)(cid:71)(cid:76)(cid:70)(cid:68)(cid:79)(cid:3)(cid:68)(cid:81)(cid:71)(cid:3)(cid:54)(cid:70)(cid:75)(cid:82)(cid:79)(cid:68)(cid:85)(cid:79)(cid:92)(cid:30)(cid:3)(cid:51)(cid:85)(cid:82)(cid:73)(cid:72)(cid:86)(cid:86)(cid:76)(cid:82)(cid:81)(cid:68)(cid:79)(cid:18)(cid:55)(cid:85)(cid:68)(cid:71)(cid:72)(cid:30)(cid:3)(cid:68)(cid:81)(cid:71)(cid:3)(cid:43)(cid:76)(cid:74)(cid:75)(cid:72)(cid:85)(cid:3)
Education. This global organizational structure will enhance th(cid:72)(cid:3)(cid:38)(cid:82)(cid:80)(cid:83)(cid:68)(cid:81)(cid:92)(cid:182)(cid:86)(cid:3)(cid:68)(cid:69)(cid:76)(cid:79)(cid:76)(cid:87)(cid:92)(cid:3)(cid:87)(cid:82)(cid:3)(cid:79)(cid:72)(cid:89)(cid:72)(cid:85)(cid:68)(cid:74)(cid:72)(cid:3)(cid:70)(cid:82)(cid:81)(cid:87)(cid:72)(cid:81)(cid:87)(cid:15)(cid:3)(cid:86)(cid:72)(cid:85)(cid:89)(cid:76)(cid:70)(cid:72)(cid:86)(cid:3)
and  capabilities  around  the  world  to  better  serve  authors,  society  partners  and  customers.  Previously,  the 

management structure was organized geographically. 

As  of  May  1,  2008,  the  beginning  of  the  (cid:38)(cid:82)(cid:80)(cid:83)(cid:68)(cid:81)(cid:92)(cid:182)(cid:86)(cid:3) (cid:21)(cid:19)(cid:19)(cid:28)(cid:3) (cid:73)(cid:76)(cid:86)(cid:70)(cid:68)(cid:79)(cid:3) (cid:92)(cid:72)(cid:68)(cid:85)(cid:15)(cid:3) (cid:87)(cid:75)(cid:72)(cid:3) (cid:87)(cid:85)(cid:68)(cid:81)(cid:86)(cid:76)(cid:87)(cid:76)(cid:82)(cid:81)(cid:3) (cid:82)(cid:73)(cid:3) (cid:68)(cid:79)(cid:79)(cid:3) (cid:82)(cid:83)(cid:72)(cid:85)(cid:68)(cid:87)(cid:76)(cid:82)(cid:81)(cid:68)(cid:79)(cid:3) (cid:68)(cid:81)(cid:71)(cid:3)
financial systems necessary to support a global organization were finalized. As part of this process, the impact 

on business segment reporting was evaluated and changed to conform to the requirements of SFAS No. 131, 

(cid:179)(cid:39)(cid:76)(cid:86)(cid:70)(cid:79)(cid:82)(cid:86)(cid:88)(cid:85)(cid:72)(cid:86)(cid:3) (cid:68)(cid:69)(cid:82)(cid:88)(cid:87)(cid:3) (cid:54)(cid:72)(cid:74)(cid:80)(cid:72)(cid:81)(cid:87)(cid:86)(cid:3) (cid:82)(cid:73)(cid:3) (cid:68)(cid:81)(cid:3) (cid:40)(cid:81)(cid:87)(cid:72)(cid:85)(cid:83)(cid:85)(cid:76)(cid:86)(cid:72)(cid:3) (cid:68)(cid:81)(cid:71)(cid:3) (cid:53)(cid:72)(cid:79)(cid:68)(cid:87)(cid:72)(cid:71)(cid:3) (cid:44)(cid:81)(cid:73)(cid:82)(cid:85)(cid:80)(cid:68)(cid:87)(cid:76)(cid:82)(cid:81)(cid:180)(cid:17)(cid:3) (cid:55)(cid:75)(cid:72)(cid:3) (cid:38)(cid:82)(cid:80)(cid:83)(cid:68)(cid:81)(cid:92)(cid:3) (cid:90)(cid:76)(cid:79)(cid:79)(cid:3) (cid:70)(cid:82)(cid:81)(cid:87)(cid:76)(cid:81)(cid:88)(cid:72)(cid:3) (cid:87)(cid:82)(cid:3) (cid:85)(cid:72)(cid:83)(cid:82)(cid:85)(cid:87)(cid:3)
separate  financial  data  for  shared  service  functions,  which  are  centrally  managed  for  the  benefit  of  the  three 

global businesses, including Distribution, Technology Services, Finance and Other Administration support. The 

changes in segment reporting will enable investors to view the performance of the Company in the same way as 
management assesses business performance.  

The  Company  reclassified  foreign  exchange  transaction  gains  and  losses  from  operating  and  administrative 

costs to a distinct line on the Condensed Consolidated Statements of Income below operating income. As such, 

the  foreign  exchange  gains  and  losses  are  no  longer  included  in  Direct  Contribution  to  Profit  in  the  following 

(cid:86)(cid:72)(cid:74)(cid:80)(cid:72)(cid:81)(cid:87)(cid:3) (cid:71)(cid:76)(cid:86)(cid:70)(cid:79)(cid:82)(cid:86)(cid:88)(cid:85)(cid:72)(cid:17)(cid:3) (cid:36)(cid:79)(cid:79)(cid:3) (cid:83)(cid:85)(cid:76)(cid:82)(cid:85)(cid:3) (cid:92)(cid:72)(cid:68)(cid:85)(cid:3) (cid:86)(cid:72)(cid:74)(cid:80)(cid:72)(cid:81)(cid:87)(cid:3) (cid:71)(cid:68)(cid:87)(cid:68)(cid:3) (cid:85)(cid:72)(cid:83)(cid:82)(cid:85)(cid:87)(cid:72)(cid:71)(cid:3) (cid:76)(cid:81)(cid:3) (cid:87)(cid:75)(cid:72)(cid:3) (cid:38)(cid:82)(cid:80)(cid:83)(cid:68)(cid:81)(cid:92)(cid:182)(cid:86)(cid:3) (cid:73)(cid:76)(cid:81)(cid:68)(cid:81)(cid:70)(cid:76)(cid:68)(cid:79)(cid:3) (cid:86)(cid:87)(cid:68)(cid:87)(cid:72)(cid:80)(cid:72)(cid:81)(cid:87)(cid:86)(cid:3) (cid:75)(cid:68)(cid:86)(cid:3) (cid:69)(cid:72)(cid:72)(cid:81)(cid:3)
(cid:85)(cid:72)(cid:86)(cid:87)(cid:68)(cid:87)(cid:72)(cid:71)(cid:3)(cid:73)(cid:82)(cid:85)(cid:3)(cid:70)(cid:82)(cid:80)(cid:83)(cid:68)(cid:85)(cid:68)(cid:69)(cid:76)(cid:79)(cid:76)(cid:87)(cid:92)(cid:17)(cid:3)(cid:37)(cid:72)(cid:79)(cid:82)(cid:90)(cid:3)(cid:76)(cid:86)(cid:3)(cid:68)(cid:3)(cid:71)(cid:72)(cid:86)(cid:70)(cid:85)(cid:76)(cid:83)(cid:87)(cid:76)(cid:82)(cid:81)(cid:3)(cid:82)(cid:73)(cid:3)(cid:87)(cid:75)(cid:72)(cid:3)(cid:38)(cid:82)(cid:80)(cid:83)(cid:68)(cid:81)(cid:92)(cid:182)(cid:86)(cid:3)(cid:87)(cid:75)(cid:85)(cid:72)(cid:72)(cid:3)(cid:81)(cid:72)(cid:90)(cid:3)(cid:82)(cid:83)(cid:72)(cid:85)(cid:68)(cid:87)(cid:76)(cid:81)(cid:74) segments. 

Scientific,  Technical,  Medical  and  Scholarly  includes  the  publishing  of  titles  for  the  scientific,  technical, 

medical  and  scholarly  communities  worldwide  including  academic,  corporate,  government  and  public  libraries; 

researchers;  clinicians;  engineers  and  technologists;  scholarly  and  professional  societies;  students;  and 

professors.  Products  include  journals,  encyclopedias,  books,  databases  and  laboratory  manuals.  Publishing 

areas  include  life  sciences;  medicine;  the  humanities;  engineering;  dentistry;  veterinary  science;  nursing  and 

other research based professions, delivered in print and online. Products are sold and distributed globally online 

and in print through multiple channels, including research libraries; library consortia; subscription agents; direct 

sales to professional society member bookstores, online booksellers, and other  customers. Publishing centers 
include Australia; Germany; Singapore; the United Kingdom and the United States. 

Professional/Trade  includes  the  publishing  of  books,  subscription  content  and  information  services  in  all 
media.  Subject  areas  include  business,  technology,  architecture,  professional  culinary,  psychology,  education, 

travel,  health,  religion,  consumer  reference,  pets  and  general  interest.  Products  are  developed  for  worldwide 

distribution  through  multiple  channels,  including  major  retail  chains  and  online  booksellers,  independent 

bookstores, libraries, colleges and universities, warehouse clubs, corporations, direct marketing and Web sites. 
Publishing centers include Australia, Canada, Germany, Singapore, the United Kingdom and the United States.  

Higher Education  includes the publishing  of educational materials in all media for two and four-year colleges 

and universities, for-profit career colleges and advanced placement classes, as well as for secondary schools in 

Australia.  Higher  education  products  focus  on  courses  in  business  and  accounting,  sciences,  engineering, 

computer  science,  math,  social  sciences  and  other  academic  course  material  for  the  professional  technology 

market. Customers include undergraduate, graduate and advanced placement students, educators and lifelong 
-70- 

 
 
learners  worldwide  and secondary  school students in Australia.  Products are sold  and delivered  online  and in 

print  through  multiple  channels  including  college  bookstore,  online  booksellers  and  direct  sales  to  customers. 
The Company maintains centers in Australia, Canada, India, the United Kingdom and the United States. 

Segment information is as follows (in thousands) : 

 2009  

 For the years ended April 30,  
 2008  

 2007  

Revenue 

Scientific, Technical, Medical and Scholarly 

Professional/Trade 

Higher Education 

$969,184  

412,674  

229,532  

$975,797  

471,785  

226,152  

$562,675  

456,820  

215,146  

Total 

$1,611,390  

$1,673,734  

$1,234,641  

Direct Contribution to Profit 

Scientific, Technical, Medical and Scholarly 

Professional/Trade 

Higher Education 

Total 

Shared Services and Administration Costs 

Distribution 

Technology Services 

Finance 

Other Administration 

Operating Income 

Interest Expense & Other, net 

Income Before Taxes 

Total Assets 

$399,156 

94,620  

61,677 

$555,453 

$(112,961) 

(93,413) 

(45,937) 

(84,664) 

Total 

$(336,975) 

$218,478  

 (54,003) 

$164,475 

$384,170 

136,619  

68,270 

$589,059 

$(116,147) 

(95,412) 

(49,684) 

(102,605) 

$(363,848) 

$225,211  

 (63,683) 

$161,528 

$240,446  

127,841  

62,996  

$431,283  

$(82,975) 

(71,799) 

(37,989) 

(77,039) 

$(269,802) 

$161,481  

 (21,979) 

$139,502 

Scientific, Technical, Medical and Scholarly 

$1,380,991 

$1,715,292 

$1,726,303  

Professional/Trade 

Higher Education 

Corporate/Shared Services 

462,482 

165,839  

214,396 

506,838 

160,292  

193,793 

503,727  

153,278  

169,761 

Total 

$2,223,708  

$2,576,215  

$2,553,069  

Expenditures for Other Long Lived Assets 

Scientific, Technical, Medical and Scholarly 

Professional/Trade 

Higher Education 

Corporate/Shared Services 

Depreciation and Amortization 

Scientific, Technical, Medical and Scholarly 

Professional/Trade 

Higher Education 

Corporate/Shared Services 

 $95,417  

55,433 

36,287  

14,498 

$83,464 

 50,638  

20,117  

15,967 

 $1,005,314  

 49,197  

16,089  

9,979 

Total 

$201,635  

$170,186  

$1,080,579  

$51,045 

31,703  

 21,926  

11,071 

Total 

$115,745  

-71- 

$52,101 

32,322  

 20,924 

10,576 

$115,923  

$32,084  

28,788  

 18,272  

9,180 

$88,324 

 
 
 
  
  
  
  
  
  
  
  
  
  
  
  
  
  
  
Export sales from the United States to unaffiliated customers amounted to  approximately $142.3 million, $95.2 

million, and $88.0 million in fiscal years 2009, 2008, and 2007, respectively. The pretax income for consolidated 

operations  outside  the  United  States  was  approximately  $107.0  million,  $122.4  million,  and  $58.2  million  in 

2009, 2008, and 2007, respectively. 

Revenue from external customers based on the location of the customer and long-lived  assets by geographic 

area was as follows (in thousands): 

Revenue 

Long-Lived Assets 

  2009 

     2008 

    2007 

  2009 

       2008 

    2007 

United States 

  $812,416 

  $856,438 

$711,665 

 $731,535 

     $702,722 

$693,242 

United Kingdom 

    126,190 

    131,642 

Germany 

88,336 

      91,130 

94,556 

66,333 

845,681 

    1,203,700 

1,221,676 

140,507 

       149,403 

142,477 

Asia 

220,107 

    209,436 

111,910 

3,309 

           2,789 

Australia 

      65,084 

      76,530 

Canada 

      67,189 

      68,609 

51,068 

51,280 

44,618 

         48,411 

4,424 

           5,073 

Other Countries 

    232,068 

    239,949 

147,829 

- 

                - 

2,054 

45,139 

  4,522 

- 

Total 

$1,611,390 

  $1,673,734 

$1,234,641 

  $1,770,074 

  $2,112,098 

  $2,109,110 

Note 18 - Fair Value Measurements 

SFAS 157 defines fair value as the exchange price that would be received for an asset or paid to transfer a liability in 

the  principal  or  most  advantageous  market  for  the  asset  or  liability  in  an  orderly  transaction  between  market 

participants on the measurement date. SFAS 157 also establishes a fair value measurement hierarchy which requires 

an entity to maximize the use of observable inputs and minimize the use of unobservable inputs when measuring fair 

value.  The  Company  measures  the  fair  value  of  its  interest  rate  swap  liabilities  on  a  recurring  basis  using  Level  2 

inputs,  which  represent  quoted  prices  for  similar  assets  or  liabilities  in  active  markets;  quoted  prices  for  identical  or 

similar  instruments  in  markets  that  are  not  active;  and  model-derived  valuations  in  which  all  significant  inputs  are 

observable in active markets. As of April 30, 2009, the fair value of interest rate swap liability was approximately $28.2 
million.  

Note 19 (cid:177) Interest Income and Other, Net 

Included  in  interest  income  and  other  for  fiscal  year  2009  is  a  $4.6  million  ($0.08  per  diluted  share)  non-recurring 
insurance receipt.   

Note 20 (cid:177) Functional Currency Change 

Effective  November  1,  2008,  the  Company  changed  its  functional  currency  reporting  basis  for  the  non-Blackwell 

(cid:83)(cid:82)(cid:85)(cid:87)(cid:76)(cid:82)(cid:81)(cid:3)(cid:82)(cid:73)(cid:3)(cid:87)(cid:75)(cid:72)(cid:3)(cid:38)(cid:82)(cid:80)(cid:83)(cid:68)(cid:81)(cid:92)(cid:182)(cid:86)(cid:3)(cid:40)(cid:88)(cid:85)(cid:82)(cid:83)(cid:72)(cid:68)(cid:81)(cid:3)(cid:54)(cid:55)(cid:48)(cid:54)(cid:3)(cid:77)(cid:82)(cid:88)(cid:85)(cid:81)(cid:68)(cid:79)(cid:3)(cid:69)(cid:88)(cid:86)(cid:76)(cid:81)(cid:72)(cid:86)(cid:86)(cid:3)(cid:73)(cid:85)(cid:82)(cid:80)(cid:3)(cid:56)(cid:17)(cid:54)(cid:17)(cid:3)(cid:39)(cid:82)(cid:79)(cid:79)(cid:68)(cid:85)(cid:3)(cid:87)(cid:82)(cid:3)(cid:79)(cid:82)(cid:70)(cid:68)(cid:79)(cid:3)(cid:73)(cid:88)(cid:81)(cid:70)(cid:87)(cid:76)(cid:82)(cid:81)(cid:68)(cid:79)(cid:3)(cid:70)(cid:88)(cid:85)(cid:85)(cid:72)(cid:81)(cid:70)(cid:92)(cid:17)(cid:3)(cid:36)(cid:86)(cid:3)(cid:83)(cid:68)(cid:85)(cid:87)(cid:3)(cid:82)(cid:73)(cid:3)(cid:87)(cid:75)(cid:72)(cid:3)
integration of Blackwell and Wiley fulfillment systems and licensing practices, in the third quarter the Company began 

pricing  journal  revenue  based  on  local  currency  in  Europe.    Prior  to  the  integration,  journal  revenue  was  principally 

priced and reported in U.S. Dollars. This change primarily impacted business denominated in Euros and Sterling.  

-72- 

 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
  
 
 
 
 
 
JOHN WILEY & SONS, INC., AND SUBSIDIARIES 
VALUATION AND QUALIFYING ACCOUNTS 
FOR THE YEARS ENDED APRIL 30, 2009, 2008, AND 2007 

Schedule II 

(Dollars in thousands) 

Description 

Year Ended April 30, 2009 

Additions/(Deductions) 

Balance at 
Beginning 
of Period 

Charged to 
Cost &  
Expenses 

From 
Acquisitions 

Deductions 
From 
Reserves(3) 

Balance at 
End of 
Period 

Allowance for Sales Returns (1) 

$55,483 

$93,738 

Allowance for Doubtful Accounts 

$8,025 

$2,019 

      Allowance for Inventory Obsolescence 

$35,420 

$28,405 

Year Ended April 30, 2008 

Allowance for Sales Returns (1) 

$56,148 

$93,909 

Allowance for Doubtful Accounts 

$11,206 

$(638) 

Allowance for Inventory Obsolescence 

$32,244 

$22,156 

Year Ended April 30, 2007 

$- 

$- 

$- 

$- 

$- 

$- 

$94,014 

$55,207 

$4,389(2) 

$5,655 

$27,496 

$36,329 

$94,574 

$55,483 

$2,543(2) 

$8,025 

$18,980 

$35,420 

Allowance for Sales Returns (1) 

$55,805 

$102,293 

$2,069 

$104,019 

$56,148 

Allowance for Doubtful Accounts 

$6,615 

$6,421 

$1,577 

$3,407(2) 

$11,206 

Allowance for Inventory Obsolescence 

$30,716 

$20,555 

$5,843 

$24,870 

$32,244 

Allowance for sales returns represents anticipated returns net of inventory and royalty costs. The provision is reported as a 
reduction of gross sales to arrive at revenue and the reserve balance is reported as a deduction of accounts receivable.  

Accounts written off, less recoveries. 

Deductions from reserves include foreign exchange translation adjustments. 

(1) 

(2) 

(3) 

-73- 

 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Item 9.    Changes in and Disagreements with Accountants on Accounting and Financial  

   Disclosure 

None 

Item 9A.  Controls and Procedures 

Disclosure Controls and Procedures:  As of the end of the period covered by this report, an evaluation was 

(cid:83)(cid:72)(cid:85)(cid:73)(cid:82)(cid:85)(cid:80)(cid:72)(cid:71)(cid:3) (cid:88)(cid:81)(cid:71)(cid:72)(cid:85)(cid:3) (cid:87)(cid:75)(cid:72)(cid:3) (cid:86)(cid:88)(cid:83)(cid:72)(cid:85)(cid:89)(cid:76)(cid:86)(cid:76)(cid:82)(cid:81)(cid:3) (cid:68)(cid:81)(cid:71)(cid:3) (cid:90)(cid:76)(cid:87)(cid:75)(cid:3) (cid:87)(cid:75)(cid:72)(cid:3) (cid:83)(cid:68)(cid:85)(cid:87)(cid:76)(cid:70)(cid:76)(cid:83)(cid:68)(cid:87)(cid:76)(cid:82)(cid:81)(cid:3) (cid:82)(cid:73)(cid:3) (cid:87)(cid:75)(cid:72)(cid:3) (cid:38)(cid:82)(cid:80)(cid:83)(cid:68)(cid:81)(cid:92)(cid:182)(cid:86)(cid:3) (cid:80)(cid:68)(cid:81)(cid:68)(cid:74)(cid:72)(cid:80)(cid:72)(cid:81)(cid:87)(cid:15)(cid:3) (cid:76)(cid:81)(cid:70)(cid:79)(cid:88)(cid:71)(cid:76)(cid:81)(cid:74)(cid:3) (cid:87)(cid:75)(cid:72)(cid:3)
Chief Executive Officer and Chief Financial Officer, of the effectiveness of the design and operation of the 
(cid:38)(cid:82)(cid:80)(cid:83)(cid:68)(cid:81)(cid:92)(cid:182)(cid:86)(cid:3)(cid:71)(cid:76)(cid:86)(cid:70)(cid:79)(cid:82)(cid:86)(cid:88)(cid:85)(cid:72)(cid:3)(cid:70)(cid:82)(cid:81)(cid:87)(cid:85)(cid:82)(cid:79)(cid:86)(cid:3)(cid:68)(cid:81)(cid:71)(cid:3)(cid:83)(cid:85)(cid:82)(cid:70)(cid:72)(cid:71)(cid:88)(cid:85)(cid:72)(cid:86)(cid:3)(cid:68)(cid:86)(cid:3)(cid:86)(cid:88)(cid:70)(cid:75)(cid:3)(cid:87)(cid:72)(cid:85)(cid:80)(cid:3)(cid:76)(cid:86)(cid:3)(cid:71)(cid:72)(cid:73)(cid:76)(cid:81)(cid:72)(cid:71)(cid:3)(cid:76)(cid:81)(cid:3)(cid:53)(cid:88)(cid:79)(cid:72)(cid:3)(cid:20)(cid:22)(cid:68)-15(e) of the Exchange 
Act.    Based  on  that  evaluation,  the  Chief  Executive  Officer and  Chief  Financial  Officer  concluded  that  the 
(cid:38)(cid:82)(cid:80)(cid:83)(cid:68)(cid:81)(cid:92)(cid:182)(cid:86)(cid:3) (cid:71)(cid:76)(cid:86)(cid:70)(cid:79)(cid:82)(cid:86)(cid:88)(cid:85)(cid:72)  controls  and  procedures  were  effective  in  alerting  them  on  a  timely  basis  to 
information required to be included in our submissions and filings with the SEC. 

(cid:48)(cid:68)(cid:81)(cid:68)(cid:74)(cid:72)(cid:80)(cid:72)(cid:81)(cid:87)(cid:182)(cid:86)(cid:3) (cid:53)(cid:72)(cid:83)(cid:82)(cid:85)(cid:87)(cid:3) (cid:82)(cid:81)(cid:3) (cid:44)(cid:81)(cid:87)(cid:72)(cid:85)(cid:81)(cid:68)(cid:79)(cid:3) (cid:38)(cid:82)(cid:81)(cid:87)(cid:85)(cid:82)(cid:79)(cid:3) (cid:82)(cid:89)(cid:72)(cid:85)(cid:3) (cid:41)(cid:76)(cid:81)(cid:68)(cid:81)(cid:70)(cid:76)(cid:68)(cid:79)(cid:3) (cid:53)(cid:72)(cid:83)(cid:82)(cid:85)(cid:87)(cid:76)(cid:81)(cid:74)(cid:29)(cid:3) (cid:3) Our  Management  is  responsible  for 
establishing  and  maintaining  adequate  internal  control  over  financial  reporting,  as  such  term  is  defined  in 

Rule  13a-15(f) of the Exchange Act.  Under the supervision and with the participation of our management, 

including  our  Chief  Executive  Officer  and  Chief  Financial  Officer,  we  conducted  an  evaluation  of  the 
effectiveness of our internal control over financial reporting based upon the framework in Internal Control  (cid:177) 
Integrated Framework issued by the Committee of Sponsoring Organizations of the Treadway Commission.  

Based  on  that  evaluation,  our  management  concluded  that  our  internal  control  over  financial  reporting  is 

effective as of April 30, 2009. 

KPMG  LLP,  an  independent  registered  public  accounting  firm,  has  audited  the  consolidated  financial 

statements included in this Annual Report on Form 10-K and, as part of their audit, has issued their report, 

included herein, on the effectiveness of our internal control over financial reporting. 

Changes  in  Internal  Control  over  Financial  Reporting:  There  were  no  changes  in  our  internal  control  over 

financial  reporting  that  have  materially  affected,  or  are  reasonably  likely  to  materially  affect,  our  internal 

control over financial reporting during fiscal year 2009. 

Item 9B.  Other Information 

Information  (cid:82)(cid:81)(cid:3) (cid:87)(cid:75)(cid:72)(cid:3) (cid:36)(cid:88)(cid:71)(cid:76)(cid:87)(cid:3) (cid:38)(cid:82)(cid:80)(cid:80)(cid:76)(cid:87)(cid:87)(cid:72)(cid:72)(cid:3) (cid:38)(cid:75)(cid:68)(cid:85)(cid:87)(cid:72)(cid:85)(cid:3) (cid:76)(cid:86)(cid:3) (cid:70)(cid:82)(cid:81)(cid:87)(cid:68)(cid:76)(cid:81)(cid:72)(cid:71)(cid:3) (cid:76)(cid:81)(cid:3) (cid:87)(cid:75)(cid:72)(cid:3) (cid:38)(cid:82)(cid:80)(cid:83)(cid:68)(cid:81)(cid:92)(cid:182)(cid:86)(cid:3) (cid:51)(cid:85)(cid:82)(cid:91)(cid:92)(cid:3) (cid:54)(cid:87)(cid:68)(cid:87)(cid:72)(cid:80)(cid:72)(cid:81)(cid:87)(cid:3) (cid:73)(cid:82)(cid:85)(cid:3) (cid:87)(cid:75)(cid:72)(cid:3) (cid:21)(cid:19)(cid:19)(cid:28)(cid:3)
(cid:36)(cid:81)(cid:81)(cid:88)(cid:68)(cid:79)(cid:3) (cid:48)(cid:72)(cid:72)(cid:87)(cid:76)(cid:81)(cid:74)(cid:3) (cid:82)(cid:73)(cid:3) (cid:54)(cid:75)(cid:68)(cid:85)(cid:72)(cid:75)(cid:82)(cid:79)(cid:71)(cid:72)(cid:85)(cid:86)(cid:3) (cid:88)(cid:81)(cid:71)(cid:72)(cid:85)(cid:3) (cid:87)(cid:75)(cid:72)(cid:3) (cid:70)(cid:68)(cid:83)(cid:87)(cid:76)(cid:82)(cid:81)(cid:3) (cid:179)(cid:38)(cid:72)(cid:85)(cid:87)(cid:68)(cid:76)(cid:81)(cid:3) (cid:44)(cid:81)(cid:73)(cid:82)(cid:85)(cid:80)(cid:68)(cid:87)(cid:76)(cid:82)(cid:81)(cid:3) (cid:38)(cid:82)(cid:81)(cid:70)(cid:72)(cid:85)(cid:81)(cid:76)(cid:81)(cid:74)(cid:3) (cid:87)(cid:75)(cid:72)(cid:3) (cid:37)(cid:82)(cid:68)(cid:85)(cid:71)(cid:180)(cid:3) (cid:68)(cid:81)(cid:71)(cid:3) (cid:76)(cid:86)(cid:3)
incorporated herein by reference. 

Information  with  respect  to  the  (cid:38)(cid:82)(cid:80)(cid:83)(cid:68)(cid:81)(cid:92)(cid:182)(cid:86)(cid:3) (cid:70)(cid:82)(cid:85)(cid:83)(cid:82)(cid:85)(cid:68)(cid:87)(cid:72)(cid:3) (cid:74)(cid:82)(cid:89)(cid:72)(cid:85)(cid:81)(cid:68)(cid:81)(cid:70)(cid:72)(cid:3) (cid:83)(cid:85)(cid:76)(cid:81)(cid:70)(cid:76)(cid:83)(cid:79)(cid:72)(cid:86)(cid:3) (cid:76)(cid:86)(cid:3) (cid:70)(cid:82)(cid:81)(cid:87)(cid:68)(cid:76)(cid:81)(cid:72)(cid:71)(cid:3) (cid:76)(cid:81)(cid:3) (cid:87)(cid:75)(cid:72)(cid:3) (cid:51)(cid:85)(cid:82)(cid:91)(cid:92)(cid:3)
(cid:54)(cid:87)(cid:68)(cid:87)(cid:72)(cid:80)(cid:72)(cid:81)(cid:87)(cid:3) (cid:73)(cid:82)(cid:85)(cid:3) (cid:87)(cid:75)(cid:72)(cid:3) (cid:21)(cid:19)(cid:19)(cid:28)(cid:3) (cid:36)(cid:81)(cid:81)(cid:88)(cid:68)(cid:79)(cid:3) (cid:48)(cid:72)(cid:72)(cid:87)(cid:76)(cid:81)(cid:74)(cid:3) (cid:82)(cid:73)(cid:3) (cid:54)(cid:75)(cid:68)(cid:85)(cid:72)(cid:75)(cid:82)(cid:79)(cid:71)(cid:72)(cid:85)(cid:86)(cid:3) (cid:88)(cid:81)(cid:71)(cid:72)(cid:85)(cid:3) (cid:87)(cid:75)(cid:72)(cid:3) (cid:70)(cid:68)(cid:83)(cid:87)(cid:76)(cid:82)(cid:81)(cid:3) (cid:179)(cid:38)(cid:82)(cid:85)(cid:83)(cid:82)(cid:85)(cid:68)(cid:87)(cid:72)(cid:3) (cid:42)(cid:82)(cid:89)(cid:72)(cid:85)(cid:81)(cid:68)(cid:81)(cid:70)(cid:72)(cid:3)
(cid:51)(cid:85)(cid:76)(cid:81)(cid:70)(cid:76)(cid:83)(cid:79)(cid:72)(cid:86)(cid:180)(cid:3)(cid:68)(cid:81)(cid:71)(cid:3)(cid:76)(cid:86)(cid:3)(cid:76)(cid:81)(cid:70)(cid:82)(cid:85)(cid:83)(cid:82)(cid:85)(cid:68)(cid:87)(cid:72)(cid:71)(cid:3)(cid:75)(cid:72)(cid:85)(cid:72)(cid:76)(cid:81)(cid:3)(cid:69)(cid:92)(cid:3)(cid:85)(cid:72)(cid:73)(cid:72)(cid:85)(cid:72)(cid:81)(cid:70)(cid:72)(cid:17) 

-74- 

 
 
 
 
 
 
 
 
PART III 

Item 10.  Directors and Executive Officers of the Registrant 

The  name,  age  and  background  of  each  of  the  directors  nominated  for  election  are  contained  under  the 

(cid:70)(cid:68)(cid:83)(cid:87)(cid:76)(cid:82)(cid:81)(cid:3)(cid:179)(cid:40)(cid:79)(cid:72)(cid:70)(cid:87)(cid:76)(cid:82)(cid:81)(cid:3)(cid:82)(cid:73)(cid:3)(cid:39)(cid:76)(cid:85)(cid:72)(cid:70)(cid:87)(cid:82)(cid:85)(cid:86)(cid:180)(cid:3)(cid:76)(cid:81)(cid:3)(cid:87)(cid:75)(cid:72)(cid:3)(cid:51)(cid:85)(cid:82)(cid:91)(cid:92)(cid:3)(cid:54)(cid:87)(cid:68)(cid:87)(cid:72)(cid:80)(cid:72)(cid:81)(cid:87)(cid:3)(cid:73)(cid:82)(cid:85)(cid:3)(cid:82)(cid:88)(cid:85)(cid:3)(cid:21)(cid:19)(cid:19)(cid:28)(cid:3)(cid:36)(cid:81)(cid:81)(cid:88)(cid:68)(cid:79)(cid:3)(cid:48)(cid:72)(cid:72)(cid:87)(cid:76)(cid:81)(cid:74)(cid:3)(cid:82)(cid:73)(cid:3)(cid:54)(cid:75)(cid:68)(cid:85)(cid:72)(cid:75)(cid:82)(cid:79)(cid:71)(cid:72)(cid:85)(cid:86)(cid:3)(cid:68)(cid:81)(cid:71)(cid:3)(cid:68)(cid:85)(cid:72)(cid:3)
incorporated herein by reference. 

Information on the beneficial ownership reporting for the directors and executive officers is contained under 

(cid:87)(cid:75)(cid:72)(cid:3)(cid:70)(cid:68)(cid:83)(cid:87)(cid:76)(cid:82)(cid:81)(cid:3)(cid:179)(cid:54)(cid:72)(cid:70)(cid:87)(cid:76)(cid:82)(cid:81)(cid:3)(cid:20)(cid:25)(cid:11)(cid:68)(cid:12)(cid:3)(cid:37)(cid:72)(cid:81)(cid:72)(cid:73)(cid:76)(cid:70)(cid:76)(cid:68)(cid:79)(cid:3)(cid:50)(cid:90)(cid:81)(cid:72)(cid:85)(cid:86)(cid:75)(cid:76)(cid:83)(cid:3)(cid:53)(cid:72)(cid:83)(cid:82)(cid:85)(cid:87)(cid:76)(cid:81)(cid:74)(cid:3)(cid:38)(cid:82)(cid:80)(cid:83)(cid:79)(cid:76)(cid:68)(cid:81)(cid:70)(cid:72)(cid:180)(cid:3)(cid:76)(cid:81)(cid:3)(cid:87)(cid:75)(cid:72)(cid:3)(cid:51)(cid:85)(cid:82)(cid:91)(cid:92)(cid:3)(cid:54)(cid:87)(cid:68)(cid:87)(cid:72)(cid:80)(cid:72)(cid:81)(cid:87)(cid:3)(cid:73)(cid:82)(cid:85)(cid:3)(cid:87)(cid:75)(cid:72)(cid:3)(cid:21)(cid:19)(cid:19)(cid:28)(cid:3)
Annual Meeting of Shareholders and is incorporated herein by reference. 

Information on the audit committee financial experts is contained in the Proxy Statement for the 2009 Annual 
(cid:48)(cid:72)(cid:72)(cid:87)(cid:76)(cid:81)(cid:74)(cid:3) (cid:82)(cid:73)(cid:3) (cid:54)(cid:75)(cid:68)(cid:85)(cid:72)(cid:75)(cid:82)(cid:79)(cid:71)(cid:72)(cid:85)(cid:86)(cid:3) (cid:88)(cid:81)(cid:71)(cid:72)(cid:85)(cid:3) (cid:87)(cid:75)(cid:72)(cid:3) (cid:70)(cid:68)(cid:83)(cid:87)(cid:76)(cid:82)(cid:81)(cid:3) (cid:179)(cid:53)(cid:72)(cid:83)(cid:82)(cid:85)(cid:87)(cid:3) (cid:82)(cid:73)(cid:3) (cid:87)(cid:75)(cid:72)(cid:3) (cid:36)(cid:88)(cid:71)(cid:76)(cid:87)(cid:3)(cid:38)(cid:82)(cid:80)(cid:80)(cid:76)(cid:87)(cid:87)(cid:72)(cid:72)(cid:180)(cid:3) (cid:68)(cid:81)(cid:71)(cid:3) (cid:76)(cid:86)(cid:3) (cid:76)(cid:81)(cid:70)(cid:82)(cid:85)(cid:83)(cid:82)(cid:85)(cid:68)ted  herein  by 
reference. 

Executive Officers 

Set forth below as of April 30, 2009 are the names and ages of all executive officers of the Company, the 

period during which they have been officers, and the offices presently held by each of them. 

Name and Age 

Officer 
Since 

Present Office 

Peter Booth Wiley 

2002 

  Chairman  of  the  Board  since  September  2002  and  a  Director  since 

66 

1984. 

William J. Pesce 

1989 

  President and Chief Executive Officer and a Director since May 1998.  

58 

Ellis E. Cousens 

2001 

  Executive Vice President and Chief Financial and Operations Officer. 

57 

Stephen A. Kippur 

1986 

  Executive  Vice  President;  and  President,  Professional  and  Trade 

62 

Publishing, since July 1998. 

William Arlington 

1990 

  Senior Vice President, Human Resources, since June 1996. 

60 

Bonnie E. Lieberman 

1990 

  Senior Vice President, Higher Education, since 1996. 

61 

-75- 

 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Gary M. Rinck 

2004 

  Senior  Vice  President,  General  Counsel,  (previously  Group  General 

57 

Counsel of Pearson PLC, from 2000, Managing Partner of the London 

office of Morrison & Foerster from 1995). 

Stephen M. Smith 

1995 

  Executive  Vice  President  and  Chief  Operating  Officer  since  March 

54 

2009.  (Previously  Senior  Vice  President,  EMEA  &  International 

Development since 2007). 

Eric A. Swanson 

1989 

  Senior Vice President, Wiley-Blackwell since January 2007 (previously 

61 

Senior Vice President, Scientific Technical and Medical, since 1996). 

Deborah E. Wiley 

1982 

  Senior Vice President, Corporate Communications, since June 1996. 

63 

Vincent Marzano 

2006 

  Vice  President,  Treasurer,  (previously  Vice  President,  Treasurer  of 

46 

Scholastic Corporation from 2000). 

Edward J. Melando 

2002 

  Vice President, Corporate Controller and Chief Accounting Officer.   

53 

Josephine Bacchi 

1992 

  Vice  President  and  Corporate  Secretary,  since  January  2007 

62 

(previously Corporate Secretary since 1992). 

Each  of  the  other  officers  listed  above  will  serve  until  the  next  organizational  meetings  of  the  Board  of 

Directors  of  the  Company  and  until  each  of  the  respective  successors  are  duly  elected  and  qualified.  

Deborah E. Wiley is the sister of Peter Booth Wiley. There is no other family relationship among any of the 

aforementioned individuals. 

Item 11.  Executive Compensation 

Information on compensation of the directors and executive officers is contained in the Proxy Statement for 

(cid:87)(cid:75)(cid:72)(cid:3) (cid:21)(cid:19)(cid:19)(cid:28)(cid:3) (cid:36)(cid:81)(cid:81)(cid:88)(cid:68)(cid:79)(cid:3) (cid:48)(cid:72)(cid:72)(cid:87)(cid:76)(cid:81)(cid:74)(cid:3) (cid:82)(cid:73)(cid:3) (cid:54)(cid:75)(cid:68)(cid:85)(cid:72)(cid:75)(cid:82)(cid:79)(cid:71)(cid:72)(cid:85)(cid:86)(cid:3) (cid:88)(cid:81)(cid:71)(cid:72)(cid:85)(cid:3) (cid:87)(cid:75)(cid:72)(cid:3) (cid:70)(cid:68)(cid:83)(cid:87)(cid:76)(cid:82)(cid:81)(cid:86)(cid:3) (cid:179)(cid:39)(cid:76)(cid:85)(cid:72)(cid:70)(cid:87)(cid:82)(cid:85)(cid:86)(cid:182)(cid:3) (cid:38)(cid:82)(cid:80)(cid:83)(cid:72)(cid:81)(cid:86)(cid:68)(cid:87)(cid:76)(cid:82)(cid:81)(cid:180)(cid:3) (cid:68)(cid:81)(cid:71)(cid:3) (cid:179)(cid:40)(cid:91)(cid:72)(cid:70)(cid:88)(cid:87)(cid:76)(cid:89)(cid:72)(cid:3)
(cid:38)(cid:82)(cid:80)(cid:83)(cid:72)(cid:81)(cid:86)(cid:68)(cid:87)(cid:76)(cid:82)(cid:81)(cid:15)(cid:180)(cid:3)(cid:85)(cid:72)(cid:86)(cid:83)(cid:72)(cid:70)(cid:87)(cid:76)(cid:89)(cid:72)(cid:79)(cid:92)(cid:15)(cid:3)(cid:68)(cid:81)(cid:71)(cid:3)(cid:76)(cid:86)(cid:3)(cid:76)(cid:81)(cid:70)(cid:82)(cid:85)(cid:83)(cid:82)(cid:85)(cid:68)(cid:87)(cid:72)(cid:71)(cid:3)(cid:75)(cid:72)(cid:85)(cid:72)(cid:76)(cid:81)(cid:3)(cid:69)(cid:92)(cid:3)(cid:85)(cid:72)(cid:73)(cid:72)(cid:85)(cid:72)(cid:81)(cid:70)(cid:72)(cid:17) 

Item 12.  Security Ownership of Certain Beneficial Owners and Management and Related Stockholder Matters 

(cid:44)(cid:81)(cid:73)(cid:82)(cid:85)(cid:80)(cid:68)(cid:87)(cid:76)(cid:82)(cid:81)(cid:3) (cid:85)(cid:72)(cid:84)(cid:88)(cid:76)(cid:85)(cid:72)(cid:71)(cid:3) (cid:69)(cid:92)(cid:3) (cid:87)(cid:75)(cid:76)(cid:86)(cid:3) (cid:76)(cid:87)(cid:72)(cid:80)(cid:3) (cid:76)(cid:86)(cid:3) (cid:70)(cid:82)(cid:81)(cid:87)(cid:68)(cid:76)(cid:81)(cid:72)(cid:71)(cid:3) (cid:76)(cid:81)(cid:3) (cid:87)(cid:75)(cid:72)(cid:3) (cid:38)(cid:82)(cid:80)(cid:83)(cid:68)(cid:81)(cid:92)(cid:182)(cid:86)(cid:3) (cid:51)(cid:85)(cid:82)(cid:91)(cid:92)(cid:3) (cid:54)(cid:87)(cid:68)(cid:87)(cid:72)(cid:80)(cid:72)(cid:81)(cid:87)(cid:3) (cid:73)(cid:82)(cid:85)(cid:3) (cid:87)(cid:75)(cid:72)(cid:3) (cid:21)(cid:19)(cid:19)(cid:28)(cid:3) (cid:36)(cid:81)(cid:81)(cid:88)(cid:68)(cid:79)(cid:3)

(cid:48)(cid:72)(cid:72)(cid:87)(cid:76)(cid:81)(cid:74)(cid:3) (cid:82)(cid:73)(cid:3) (cid:54)(cid:75)(cid:68)(cid:85)(cid:72)(cid:75)(cid:82)(cid:79)(cid:71)(cid:72)(cid:85)(cid:86)(cid:3) (cid:88)(cid:81)(cid:71)(cid:72)(cid:85)(cid:3) (cid:87)(cid:75)(cid:72)(cid:3) (cid:70)(cid:68)(cid:83)(cid:87)(cid:76)(cid:82)(cid:81)(cid:3) (cid:179)(cid:37)(cid:72)(cid:81)(cid:72)(cid:73)(cid:76)(cid:70)(cid:76)(cid:68)(cid:79)(cid:3) (cid:50)(cid:90)(cid:81)(cid:72)(cid:85)(cid:86)(cid:75)(cid:76)(cid:83)(cid:3) (cid:82)(cid:73)(cid:3) (cid:39)(cid:76)(cid:85)(cid:72)(cid:70)(cid:87)(cid:82)(cid:85)(cid:86)(cid:3) (cid:68)(cid:81)(cid:71)(cid:3) (cid:48)(cid:68)(cid:81)(cid:68)(cid:74)(cid:72)(cid:80)(cid:72)(cid:81)(cid:87)(cid:180)(cid:3) (cid:68)(cid:81)(cid:71)(cid:3) (cid:76)(cid:86)(cid:3)
incorporated   herein by reference. 

Item 13.  Certain Relationships and Related Transactions 

None. 

Item 14.  Principal Accountant Fees and Services 

(cid:44)(cid:81)(cid:73)(cid:82)(cid:85)(cid:80)(cid:68)(cid:87)(cid:76)(cid:82)(cid:81)(cid:3) (cid:85)(cid:72)(cid:84)(cid:88)(cid:76)(cid:85)(cid:72)(cid:71)(cid:3) (cid:69)(cid:92)(cid:3) (cid:87)(cid:75)(cid:76)(cid:86)(cid:3) (cid:76)(cid:87)(cid:72)(cid:80)(cid:3) (cid:76)(cid:86)(cid:3) (cid:70)(cid:82)(cid:81)(cid:87)(cid:68)(cid:76)(cid:81)(cid:72)(cid:71)(cid:3) (cid:76)(cid:81)(cid:3) (cid:87)(cid:75)(cid:72)(cid:3) (cid:38)(cid:82)(cid:80)(cid:83)(cid:68)(cid:81)(cid:92)(cid:182)(cid:86)(cid:3) (cid:51)(cid:85)(cid:82)(cid:91)(cid:92)(cid:3) (cid:54)(cid:87)(cid:68)(cid:87)(cid:72)(cid:80)(cid:72)(cid:81)(cid:87)(cid:3) (cid:73)(cid:82)(cid:85)(cid:3) (cid:87)(cid:75)(cid:72)(cid:3) (cid:21)(cid:19)(cid:19)(cid:28)(cid:3) (cid:36)(cid:81)(cid:81)(cid:88)(cid:68)(cid:79)(cid:3)

(cid:48)(cid:72)(cid:72)(cid:87)(cid:76)(cid:81)(cid:74)(cid:3) (cid:82)(cid:73)(cid:3) (cid:54)(cid:75)(cid:68)(cid:85)(cid:72)(cid:75)(cid:82)(cid:79)(cid:71)(cid:72)(cid:85)(cid:86)(cid:3) (cid:88)(cid:81)(cid:71)(cid:72)(cid:85)(cid:3) (cid:87)(cid:75)(cid:72)(cid:3) (cid:70)(cid:68)(cid:83)(cid:87)(cid:76)(cid:82)(cid:81)(cid:3) (cid:179)(cid:53)(cid:72)(cid:83)(cid:82)(cid:85)(cid:87)(cid:3) (cid:82)(cid:73)(cid:3) (cid:87)(cid:75)(cid:72)(cid:3) (cid:36)(cid:88)(cid:71)(cid:76)(cid:87)(cid:3)(cid:38)(cid:82)(cid:80)(cid:80)(cid:76)(cid:87)(cid:87)(cid:72)(cid:72)(cid:180)(cid:3) (cid:68)(cid:81)(cid:71)(cid:3) (cid:76)(cid:86)(cid:3) (cid:76)(cid:81)(cid:70)(cid:82)(cid:85)(cid:83)(cid:82)(cid:85)(cid:68)(cid:87)(cid:72)(cid:71)(cid:3) (cid:75)(cid:72)(cid:85)(cid:72)(cid:76)(cid:81)(cid:3) (cid:69)(cid:92)(cid:3)
reference. 

-76- 

 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
PART IV 

Item 15.   Exhibits, Financial Statement Schedules and Reports on Form 8-K 

(a)  

Financial Statements and Schedules 

Financial Statements and Schedules are listed in the  attached index on page 10 and are filed as part of 
this Report. 

(b)  

Reports on Form 8-K 

Earnings release on the third quarter fiscal 2009 results issued on Form 8-K dated March 10, 2009, which 
included certain condensed financial statements of the Company.  

Earnings release on the fiscal year 2009 results issued on Form 8-K dated June 18, 2009, which included 
certain condensed financial statements of the Company. 

Exhibits 

Agreement and Plan of Merger dated as of August 12, 2001, among the Company, HMI Acquisition Corp. 
(cid:68)(cid:81)(cid:71)(cid:3) (cid:43)(cid:88)(cid:81)(cid:74)(cid:85)(cid:92)(cid:3) (cid:48)(cid:76)(cid:81)(cid:71)(cid:86)(cid:15)(cid:3) (cid:44)(cid:81)(cid:70)(cid:17)(cid:3) (cid:11)(cid:76)(cid:81)(cid:70)(cid:82)(cid:85)(cid:83)(cid:82)(cid:85)(cid:68)(cid:87)(cid:72)(cid:71)(cid:3) (cid:69)(cid:92)(cid:3) (cid:85)(cid:72)(cid:73)(cid:72)(cid:85)(cid:72)(cid:81)(cid:70)(cid:72)(cid:3) (cid:87)(cid:82)(cid:3) (cid:87)(cid:75)(cid:72)(cid:3) (cid:38)(cid:82)(cid:80)(cid:83)(cid:68)(cid:81)(cid:92)(cid:182)(cid:86)(cid:3) (cid:53)(cid:72)(cid:83)(cid:82)(cid:85)(cid:87)(cid:3) (cid:82)(cid:81)(cid:3) (cid:41)(cid:82)(cid:85)(cid:80)(cid:3) (cid:27)-K  dated  as  of 
August 12, 2001).    

Scheme of Arrangement dated as of November 21, 2006, among the Company, Wiley Europe Investment 
(cid:43)(cid:82)(cid:79)(cid:71)(cid:76)(cid:81)(cid:74)(cid:86)(cid:3)(cid:47)(cid:76)(cid:80)(cid:76)(cid:87)(cid:72)(cid:71)(cid:3)(cid:68)(cid:81)(cid:71)(cid:3)(cid:37)(cid:79)(cid:68)(cid:70)(cid:78)(cid:90)(cid:72)(cid:79)(cid:79)(cid:3)(cid:51)(cid:88)(cid:69)(cid:79)(cid:76)(cid:86)(cid:75)(cid:76)(cid:81)(cid:74)(cid:3)(cid:11)(cid:43)(cid:82)(cid:79)(cid:71)(cid:76)(cid:81)(cid:74)(cid:86)(cid:12)(cid:3)(cid:47)(cid:76)(cid:80)(cid:76)(cid:87)(cid:72)(cid:71)(cid:3)(cid:11)(cid:76)(cid:81)(cid:70)(cid:82)(cid:85)(cid:83)(cid:82)(cid:85)(cid:68)(cid:87)(cid:72)(cid:71)(cid:3)(cid:69)(cid:92)(cid:3)(cid:85)(cid:72)(cid:73)(cid:72)(cid:85)(cid:72)(cid:81)(cid:70)(cid:72)(cid:3)(cid:87)(cid:82)(cid:3)(cid:87)(cid:75)(cid:72)(cid:3)(cid:38)(cid:82)(cid:80)(cid:83)(cid:68)(cid:81)(cid:92)(cid:182)(cid:86)(cid:3)
Report on Form 8-K dated as of November 21, 2006).  

(cid:53)(cid:72)(cid:86)(cid:87)(cid:68)(cid:87)(cid:72)(cid:71)(cid:3) (cid:38)(cid:72)(cid:85)(cid:87)(cid:76)(cid:73)(cid:76)(cid:70)(cid:68)(cid:87)(cid:72)(cid:3) (cid:82)(cid:73)(cid:3) (cid:44)(cid:81)(cid:70)(cid:82)(cid:85)(cid:83)(cid:82)(cid:85)(cid:68)(cid:87)(cid:76)(cid:82)(cid:81)(cid:3) (cid:11)(cid:76)(cid:81)(cid:70)(cid:82)(cid:85)(cid:83)(cid:82)(cid:85)(cid:68)(cid:87)(cid:72)(cid:71)(cid:3) (cid:69)(cid:92)(cid:3) (cid:85)(cid:72)(cid:73)(cid:72)(cid:85)(cid:72)(cid:81)(cid:70)(cid:72)(cid:3) (cid:87)(cid:82)(cid:3) (cid:87)(cid:75)(cid:72)(cid:3) (cid:38)(cid:82)(cid:80)(cid:83)(cid:68)(cid:81)(cid:92)(cid:182)(cid:86)(cid:3) (cid:53)(cid:72)(cid:83)(cid:82)(cid:85)(cid:87)(cid:3) (cid:82)(cid:81)(cid:3) (cid:41)(cid:82)(cid:85)(cid:80)(cid:3) (cid:20)(cid:19)-K 
for the year ended April 30, 1992). 

Certificate  of  Amendment  of  the  Certificate  of  Incorporation  dated  October  13,  1995  (incorporated  by 
reference (cid:87)(cid:82)(cid:3)(cid:87)(cid:75)(cid:72)(cid:3)(cid:38)(cid:82)(cid:80)(cid:83)(cid:68)(cid:81)(cid:92)(cid:182)(cid:86)(cid:3)(cid:53)(cid:72)(cid:83)(cid:82)(cid:85)(cid:87)(cid:3)(cid:82)(cid:81)(cid:3)(cid:41)(cid:82)(cid:85)(cid:80)(cid:3)(cid:20)(cid:19)-K for the year ended April 30, 1997). 

Certificate of Amendment of the Certificate of Incorporation dated as of September 1998 (incorporated by 
(cid:85)(cid:72)(cid:73)(cid:72)(cid:85)(cid:72)(cid:81)(cid:70)(cid:72)(cid:3)(cid:87)(cid:82)(cid:3)(cid:87)(cid:75)(cid:72)(cid:3)(cid:38)(cid:82)(cid:80)(cid:83)(cid:68)(cid:81)(cid:92)(cid:182)(cid:86)(cid:3)(cid:53)(cid:72)(cid:83)(cid:82)(cid:85)(cid:87)(cid:3)(cid:82)(cid:81)(cid:3)(cid:41)(cid:82)(cid:85)(cid:80)(cid:3)(cid:20)(cid:19)-Q for the quarterly period ended October 31, 1998). 

Certificate of Amendment of the Certificate of Incorporation dated as of September 1999 (incorporated by 
(cid:85)(cid:72)(cid:73)(cid:72)(cid:85)(cid:72)(cid:81)(cid:70)(cid:72)(cid:3)(cid:87)(cid:82)(cid:3)(cid:87)(cid:75)(cid:72)(cid:3)(cid:38)(cid:82)(cid:80)(cid:83)(cid:68)(cid:81)(cid:92)(cid:182)(cid:86)(cid:3)(cid:53)(cid:72)(cid:83)(cid:82)(cid:85)(cid:87)(cid:3)(cid:82)(cid:81)(cid:3)(cid:41)(cid:82)(cid:85)(cid:80)(cid:3)(cid:20)(cid:19)-Q for the quarterly period ended October 31, 1999). 

By-Laws as Amended  and Restated   dated as of   September   2007 (incorporated by reference to the 
(cid:38)(cid:82)(cid:80)(cid:83)(cid:68)(cid:81)(cid:92)(cid:182)(cid:86)(cid:3)(cid:53)(cid:72)(cid:83)(cid:82)(cid:85)(cid:87)(cid:3)(cid:82)(cid:81)(cid:3)(cid:41)(cid:82)(cid:85)(cid:80)(cid:3)(cid:20)(cid:19)-K for the year ended April 30, 2008). 

Credit  Agreement  dated  as  of  February  2,  2007,  among  the  Company  and  Bank  of  America,  N.A.,  as 
Administrative  Agent  and  Swing  Line  Lender  and  the  Other  Lenders  Party  Hereto  (incorporated  by 
(cid:85)(cid:72)(cid:73)(cid:72)(cid:85)(cid:72)(cid:81)(cid:70)(cid:72)(cid:3)(cid:87)(cid:82)(cid:3)(cid:87)(cid:75)(cid:72)(cid:3)(cid:38)(cid:82)(cid:80)(cid:83)(cid:68)(cid:81)(cid:92)(cid:182)(cid:86)(cid:3)(cid:53)(cid:72)(cid:83)(cid:82)(cid:85)(cid:87)(cid:3)(cid:82)(cid:81)(cid:3)(cid:41)(cid:82)(cid:85)(cid:80)(cid:3)(cid:27)-K dated as of February 8, 2007).  

Agreement of the Lease dated as of June 7,  2006 between One Wiley Drive, LLC, an  independent third 
(cid:83)(cid:68)(cid:85)(cid:87)(cid:92)(cid:15)(cid:3)(cid:68)(cid:86)(cid:3)(cid:79)(cid:68)(cid:81)(cid:71)(cid:79)(cid:82)(cid:85)(cid:71)(cid:3)(cid:68)(cid:81)(cid:71)(cid:3)(cid:45)(cid:82)(cid:75)(cid:81)(cid:3)(cid:58)(cid:76)(cid:79)(cid:72)(cid:92)(cid:3)(cid:68)(cid:81)(cid:71)(cid:3)(cid:54)(cid:82)(cid:81)(cid:86)(cid:15)(cid:3)(cid:44)(cid:81)(cid:70)(cid:17)(cid:15)(cid:3)(cid:68)(cid:86)(cid:3)(cid:55)(cid:72)(cid:81)(cid:68)(cid:81)(cid:87)(cid:3)(cid:11)(cid:76)(cid:81)(cid:70)(cid:82)(cid:85)(cid:83)(cid:82)(cid:85)(cid:68)(cid:87)(cid:72)(cid:71)(cid:3)(cid:69)(cid:92)(cid:3)(cid:85)(cid:72)(cid:73)(cid:72)(cid:85)(cid:72)(cid:81)(cid:70)(cid:72)(cid:3)(cid:87)(cid:82)(cid:3)(cid:87)(cid:75)(cid:72)(cid:3)(cid:38)(cid:82)(cid:80)(cid:83)(cid:68)(cid:81)(cid:92)(cid:182)(cid:86)(cid:3)
Report on Form 10-K for the year ended April 30, 2006). 

Agreement of Lease dated as of August 4, 2000, between, Block A South Waterfront Development L.L.C., 
(cid:68)(cid:86)(cid:3)(cid:47)(cid:68)(cid:81)(cid:71)(cid:79)(cid:82)(cid:85)(cid:71)(cid:15)(cid:3)(cid:68)(cid:81)(cid:71)(cid:3)(cid:87)(cid:75)(cid:72)(cid:3)(cid:38)(cid:82)(cid:80)(cid:83)(cid:68)(cid:81)(cid:92)(cid:15)(cid:3)(cid:68)(cid:86)(cid:3)(cid:55)(cid:72)(cid:81)(cid:68)(cid:81)(cid:87)(cid:3)(cid:11)(cid:76)(cid:81)(cid:70)(cid:82)(cid:85)(cid:83)(cid:82)(cid:85)(cid:68)(cid:87)(cid:72)(cid:71)(cid:3)(cid:69)(cid:92)(cid:3)(cid:85)(cid:72)(cid:73)(cid:72)(cid:85)(cid:72)(cid:81)(cid:70)(cid:72)(cid:3)(cid:87)(cid:82)(cid:3)(cid:87)(cid:75)(cid:72)(cid:3)(cid:38)(cid:82)(cid:80)(cid:83)(cid:68)(cid:81)(cid:92)(cid:182)(cid:86)(cid:3)(cid:53)(cid:72)(cid:83)(cid:82)(cid:85)(cid:87)(cid:3)(cid:82)(cid:81)(cid:3)(cid:41)(cid:82)(cid:85)(cid:80)(cid:3)
10-Q for the quarterly period ended July 31, 2000). 

Summary of Lease Agreement dated as of March 4, 2005, between, Investa Properties Limited L.L.C. as 
(cid:47)(cid:68)(cid:81)(cid:71)(cid:79)(cid:82)(cid:85)(cid:71)(cid:15)(cid:3)(cid:68)(cid:81)(cid:71)(cid:3)(cid:87)(cid:75)(cid:72)(cid:3)(cid:38)(cid:82)(cid:80)(cid:83)(cid:68)(cid:81)(cid:92)(cid:15)(cid:3)(cid:68)(cid:86)(cid:3)(cid:55)(cid:72)(cid:81)(cid:68)(cid:81)(cid:87)(cid:3)(cid:11)(cid:76)(cid:81)(cid:70)(cid:82)(cid:85)(cid:83)(cid:82)(cid:85)(cid:68)(cid:87)(cid:72)(cid:71)(cid:3)(cid:69)(cid:92)(cid:3)(cid:85)(cid:72)(cid:73)(cid:72)(cid:85)(cid:72)(cid:81)(cid:70)(cid:72)(cid:3)(cid:87)(cid:82)(cid:3)(cid:87)(cid:75)(cid:72)(cid:3)(cid:38)(cid:82)(cid:80)(cid:83)(cid:68)(cid:81)(cid:92)(cid:182)(cid:86)(cid:3)(cid:53)(cid:72)(cid:83)(cid:82)(cid:85)(cid:87)(cid:3)(cid:82)(cid:81)(cid:3)(cid:41)(cid:82)(cid:85)(cid:80)(cid:3)(cid:20)(cid:19)-K 
for the year ended April 30, 2005). 

(cid:39)(cid:76)(cid:85)(cid:72)(cid:70)(cid:87)(cid:82)(cid:85)(cid:3)(cid:54)(cid:87)(cid:82)(cid:70)(cid:78)(cid:3)(cid:51)(cid:79)(cid:68)(cid:81)(cid:3)(cid:11)(cid:76)(cid:81)(cid:70)(cid:82)(cid:85)(cid:83)(cid:82)(cid:85)(cid:68)(cid:87)(cid:72)(cid:71)(cid:3)(cid:69)(cid:92)(cid:3)(cid:85)(cid:72)(cid:73)(cid:72)(cid:85)(cid:72)(cid:81)(cid:70)(cid:72)(cid:3)(cid:87)(cid:82)(cid:3)(cid:87)(cid:75)(cid:72)(cid:3)(cid:38)(cid:82)(cid:80)(cid:83)(cid:68)(cid:81)(cid:92)(cid:182)(cid:86)(cid:3)(cid:39)(cid:72)(cid:73)(cid:76)(cid:81)(cid:76)(cid:87)(cid:76)(cid:89)(cid:72)(cid:3)(cid:51)(cid:85)(cid:82)(cid:91)(cid:92)(cid:3)(cid:54)(cid:87)(cid:68)(cid:87)(cid:72)(cid:80)(cid:72)nt date August, 
2004). 

(cid:40)(cid:91)(cid:72)(cid:70)(cid:88)(cid:87)(cid:76)(cid:89)(cid:72)(cid:3)(cid:36)(cid:81)(cid:81)(cid:88)(cid:68)(cid:79)(cid:3)(cid:44)(cid:81)(cid:70)(cid:72)(cid:81)(cid:87)(cid:76)(cid:89)(cid:72)(cid:3)(cid:51)(cid:79)(cid:68)(cid:81)(cid:3)(cid:11)(cid:76)(cid:81)(cid:70)(cid:82)(cid:85)(cid:83)(cid:82)(cid:85)(cid:68)(cid:87)(cid:72)(cid:71)(cid:3)(cid:69)(cid:92)(cid:3)(cid:85)(cid:72)(cid:73)(cid:72)(cid:85)(cid:72)(cid:81)(cid:70)(cid:72)(cid:3)(cid:87)(cid:82)(cid:3)(cid:87)(cid:75)(cid:72)(cid:3)(cid:38)(cid:82)(cid:80)(cid:83)(cid:68)(cid:81)(cid:92)(cid:182)(cid:86)(cid:3)(cid:39)(cid:72)(cid:73)(cid:76)(cid:81)(cid:76)(cid:87)(cid:76)(cid:89)(cid:72)(cid:3)(cid:51)(cid:85)(cid:82)(cid:91)(cid:92)(cid:3)(cid:54)(cid:87)(cid:68)(cid:87)(cid:72)(cid:80)(cid:72)(cid:81)(cid:87)(cid:3)
dated August 5, 2004). 

2004 Key Employee Stock Plan as amended and restated effective December 18, 2008 (incorporated by 
(cid:85)(cid:72)(cid:73)(cid:72)(cid:85)(cid:72)(cid:81)(cid:70)(cid:72)(cid:3)(cid:87)(cid:82)(cid:3)(cid:87)(cid:75)(cid:72)(cid:3)(cid:38)(cid:82)(cid:80)(cid:83)(cid:68)(cid:81)(cid:92)(cid:182)(cid:86) third quarter fiscal year 2009 report on Form 10-Q). 

Senior executive employment Agreement to Arbitrate dated as of April 29, 2003 (incorporated by reference 
(cid:87)(cid:82)(cid:3)(cid:87)(cid:75)(cid:72)(cid:3)(cid:38)(cid:82)(cid:80)(cid:83)(cid:68)(cid:81)(cid:92)(cid:182)(cid:86)(cid:3)(cid:53)(cid:72)(cid:83)(cid:82)(cid:85)(cid:87)(cid:3)(cid:82)(cid:81)(cid:3)(cid:41)(cid:82)(cid:85)(cid:80)(cid:3)(cid:20)(cid:19)-K for the year ended April 30, 2003). 

(c) 

2.1 

2.2 

3.1 

3.2 

3.3 

3.4 

3.5 

10.2 

10.3 

10.4 

10.5 

10.6 

10.7 

10.8 

10.9 

-77- 

 
 
 
 
 
 
 
 
10.10 

10.12 

10.13 

10.14 

10.15 

10.16 

10.17 

10.18 

10.19 

10.20 

10.21 

10.22 

10.23 

10.24 

10.25 

10.26 

10.27 

10.28 

21* 

23* 

Senior executive Non-competition and Non-disclosure Agreement dated as of April 29, 2003 (incorporated 
(cid:69)(cid:92)(cid:3)(cid:85)(cid:72)(cid:73)(cid:72)(cid:85)(cid:72)(cid:81)(cid:70)(cid:72)(cid:3)(cid:87)(cid:82)(cid:3)(cid:87)(cid:75)(cid:72)(cid:3)(cid:38)(cid:82)(cid:80)(cid:83)(cid:68)(cid:81)(cid:92)(cid:182)(cid:86)(cid:3)(cid:53)(cid:72)(cid:83)(cid:82)(cid:85)(cid:87)(cid:3)(cid:82)(cid:81)(cid:3)(cid:41)(cid:82)(cid:85)(cid:80)(cid:3)(cid:20)(cid:19)-K for the year ended April 30, 2003). 

2005  Supplemental  Executive  Retirement  (cid:51)(cid:79)(cid:68)(cid:81)(cid:3) (cid:11)(cid:76)(cid:81)(cid:70)(cid:82)(cid:85)(cid:83)(cid:82)(cid:85)(cid:68)(cid:87)(cid:72)(cid:71)(cid:3) (cid:69)(cid:92)(cid:3) (cid:85)(cid:72)(cid:73)(cid:72)(cid:85)(cid:72)(cid:81)(cid:70)(cid:72)(cid:3) (cid:87)(cid:82)(cid:3) (cid:87)(cid:75)(cid:72)(cid:3) (cid:38)(cid:82)(cid:80)(cid:83)(cid:68)(cid:81)(cid:92)(cid:182)(cid:86)(cid:3) (cid:53)(cid:72)(cid:83)(cid:82)(cid:85)(cid:87)(cid:3) (cid:82)(cid:81)(cid:3)
Form 10-K for the year ended April 30, 2008).  

Form of the Fiscal Year 2010 Qualified Executive Long Term Incentive Plan (incorporated by reference to 
(cid:87)(cid:75)(cid:72)(cid:3)(cid:38)(cid:82)(cid:80)(cid:83)(cid:68)(cid:81)(cid:92)(cid:182)(cid:86)(cid:3)(cid:53)(cid:72)(cid:83)(cid:82)(cid:85)(cid:87)(cid:3)(cid:82)(cid:81)(cid:3)(cid:41)(cid:82)(cid:85)(cid:80)(cid:3)(cid:20)(cid:19)-K for the year ended April 30, 2009).   

Form of the Fiscal Year 2010 Qualified Executive Annual Incentive Plan (incorporated by reference to the 
(cid:38)(cid:82)(cid:80)(cid:83)(cid:68)(cid:81)(cid:92)(cid:182)(cid:86)(cid:3)(cid:53)(cid:72)(cid:83)(cid:82)(cid:85)(cid:87)(cid:3)(cid:82)(cid:81)(cid:3)(cid:41)(cid:82)(cid:85)(cid:80)(cid:3)(cid:20)(cid:19)-K for the year ended April 30, 2009).   

Form  of  the  Fiscal  Year  2010  Executive  Annual  Strategic  Milestones  Incentive  Plan  (incorporated  by 
refer(cid:72)(cid:81)(cid:70)(cid:72)(cid:3)(cid:87)(cid:82)(cid:3)(cid:87)(cid:75)(cid:72)(cid:3)(cid:38)(cid:82)(cid:80)(cid:83)(cid:68)(cid:81)(cid:92)(cid:182)(cid:86)(cid:3)(cid:53)(cid:72)(cid:83)(cid:82)(cid:85)(cid:87)(cid:3)(cid:82)(cid:81)(cid:3)(cid:41)(cid:82)(cid:85)(cid:80)(cid:3)(cid:20)(cid:19)-K for the year ended April 30, 2009).   

Form of the Fiscal Year 2009 Qualified Executive Long Term Incentive Plan (incorporated by reference to 
(cid:87)(cid:75)(cid:72)(cid:3)(cid:38)(cid:82)(cid:80)(cid:83)(cid:68)(cid:81)(cid:92)(cid:182)(cid:86)(cid:3)(cid:53)(cid:72)(cid:83)(cid:82)(cid:85)(cid:87)(cid:3)(cid:82)(cid:81)(cid:3)(cid:41)(cid:82)(cid:85)(cid:80)(cid:3)(cid:20)(cid:19)-K for the year ended April 30, 2008). 

Form of the Fiscal Year 2009 Qualified Executive Annual Incentive Plan (incorporated by reference to the 
(cid:38)(cid:82)(cid:80)(cid:83)(cid:68)(cid:81)(cid:92)(cid:182)(cid:86)(cid:3)(cid:53)(cid:72)(cid:83)(cid:82)(cid:85)(cid:87)(cid:3)(cid:82)(cid:81)(cid:3)(cid:41)(cid:82)(cid:85)(cid:80)(cid:3)(cid:20)(cid:19)-K for the year ended April 30, 2008). 

Form  of  the  Fiscal  Year  2009  Executive  Annual  Strategic  Milestones  Incentive  Plan  (incorporated  by 
(cid:85)(cid:72)(cid:73)(cid:72)(cid:85)(cid:72)(cid:81)(cid:70)(cid:72)(cid:3)(cid:87)(cid:82)(cid:3)(cid:87)(cid:75)(cid:72)(cid:3)(cid:38)(cid:82)(cid:80)(cid:83)(cid:68)(cid:81)(cid:92)(cid:182)(cid:86)(cid:3)(cid:53)(cid:72)(cid:83)(cid:82)(cid:85)(cid:87)(cid:3)(cid:82)(cid:81)(cid:3)(cid:41)(cid:82)(cid:85)(cid:80)(cid:3)(cid:20)(cid:19)-K for the year ended April 30, 2008). 

Form of the Fiscal Year 2008 Qualified Executive Long Term Incentive Plan (incorporated by reference to 
(cid:87)(cid:75)(cid:72)(cid:3)(cid:38)(cid:82)(cid:80)(cid:83)(cid:68)(cid:81)(cid:92)(cid:182)(cid:86)(cid:3)Report on Form 10-K for the fiscal year ended April 30, 2007). 

Form of the Fiscal Year 2008 Qualified Executive Annual Incentive Plan (incorporated by reference to the 
(cid:38)(cid:82)(cid:80)(cid:83)(cid:68)(cid:81)(cid:92)(cid:182)(cid:86)(cid:3)Report on Form 10-K for the fiscal year ended April 30, 2007). 

Form  of  the  Fiscal  Year  2008  Executive  Annual  Strategic  Milestones  Incentive  Plan  (incorporated  by 
(cid:85)(cid:72)(cid:73)(cid:72)(cid:85)(cid:72)(cid:81)(cid:70)(cid:72)(cid:3)(cid:87)(cid:82)(cid:3)(cid:87)(cid:75)(cid:72)(cid:3)(cid:38)(cid:82)(cid:80)(cid:83)(cid:68)(cid:81)(cid:92)(cid:182)(cid:86)(cid:3)Report on Form 10-K for the fiscal year ended April 30, 2007). 

Senior executive Employment Agreement dated as of  December 1, 2008, between William J. Pesce and 
(cid:87)(cid:75)(cid:72)(cid:3)(cid:38)(cid:82)(cid:80)(cid:83)(cid:68)(cid:81)(cid:92)(cid:3)(cid:11)(cid:76)(cid:81)(cid:70)(cid:82)(cid:85)(cid:83)(cid:82)(cid:85)(cid:68)(cid:87)(cid:72)(cid:71)(cid:3)(cid:69)(cid:92)(cid:3)(cid:85)(cid:72)(cid:73)(cid:72)(cid:85)(cid:72)(cid:81)(cid:70)(cid:72)(cid:3)(cid:87)(cid:82)(cid:3)(cid:87)(cid:75)(cid:72)(cid:3)(cid:38)(cid:82)(cid:80)(cid:83)(cid:68)(cid:81)(cid:92)(cid:182)(cid:86)(cid:3) third quarter fiscal year 2009 report on Form 
10-Q).  

Senior executive Employment Agreement dated as of March 1, 2003, between Stephen A. Kippur and the 
Com(cid:83)(cid:68)(cid:81)(cid:92)(cid:3)(cid:11)(cid:76)(cid:81)(cid:70)(cid:82)(cid:85)(cid:83)(cid:82)(cid:85)(cid:68)(cid:87)(cid:72)(cid:71)(cid:3)(cid:69)(cid:92)(cid:3)(cid:85)(cid:72)(cid:73)(cid:72)(cid:85)(cid:72)(cid:81)(cid:70)(cid:72)(cid:3)(cid:87)(cid:82)(cid:3)(cid:87)(cid:75)(cid:72)(cid:3)(cid:38)(cid:82)(cid:80)(cid:83)(cid:68)(cid:81)(cid:92)(cid:182)(cid:86)(cid:3)(cid:53)(cid:72)(cid:83)(cid:82)(cid:85)(cid:87)(cid:3)(cid:82)(cid:81)(cid:3)(cid:41)(cid:82)(cid:85)(cid:80)(cid:3)(cid:20)(cid:19)-K for the year ended April 30, 
2003). 

Senior executive Employment Agreement dated as of  December 1, 2008, between Ellis E. Cousens and 
(cid:87)(cid:75)(cid:72)(cid:3)(cid:38)(cid:82)(cid:80)(cid:83)(cid:68)(cid:81)(cid:92)(cid:3)(cid:11)(cid:76)(cid:81)(cid:70)(cid:82)(cid:85)(cid:83)(cid:82)(cid:85)(cid:68)(cid:87)(cid:72)(cid:71)(cid:3)(cid:69)(cid:92)(cid:3)(cid:85)(cid:72)(cid:73)(cid:72)(cid:85)(cid:72)(cid:81)(cid:70)(cid:72)(cid:3)(cid:87)(cid:82)(cid:3)(cid:87)(cid:75)(cid:72)(cid:3)(cid:38)(cid:82)(cid:80)(cid:83)(cid:68)(cid:81)(cid:92)(cid:182)(cid:86)(cid:3) third quarter fiscal year 2009 report on Form 
10-Q). 

Senior executive Employment Agreement letter dated as of March 1, 2003, between Eric A Swanson and 
the Company (incorporated by referen(cid:70)(cid:72)(cid:3)(cid:87)(cid:82)(cid:3)(cid:87)(cid:75)(cid:72)(cid:3)(cid:38)(cid:82)(cid:80)(cid:83)(cid:68)(cid:81)(cid:92)(cid:182)(cid:86)(cid:3)(cid:53)(cid:72)(cid:83)(cid:82)(cid:85)(cid:87)(cid:3)(cid:82)(cid:81)(cid:3)(cid:41)(cid:82)(cid:85)(cid:80)(cid:3)(cid:20)(cid:19)-K for the year ended April 
30, 2008). 

Senior executive Employment Agreement letter dated as of March 1, 2003, between Bonnie E. Lieberman 
(cid:68)(cid:81)(cid:71)(cid:3)(cid:87)(cid:75)(cid:72)(cid:3)(cid:38)(cid:82)(cid:80)(cid:83)(cid:68)(cid:81)(cid:92)(cid:3)(cid:11)(cid:76)(cid:81)(cid:70)(cid:82)(cid:85)(cid:83)(cid:82)(cid:85)(cid:68)(cid:87)(cid:72)(cid:71)(cid:3)(cid:69)(cid:92)(cid:3)(cid:85)(cid:72)(cid:73)(cid:72)(cid:85)(cid:72)(cid:81)(cid:70)(cid:72)(cid:3)(cid:87)(cid:82)(cid:3)(cid:87)(cid:75)(cid:72)(cid:3)(cid:38)(cid:82)(cid:80)(cid:83)(cid:68)(cid:81)(cid:92)(cid:182)(cid:86)(cid:3)(cid:53)(cid:72)(cid:83)(cid:82)(cid:85)(cid:87)(cid:3)(cid:82)(cid:81)(cid:3) Form 10-K for the year ended 
April 30, 2008). 

(cid:39)(cid:72)(cid:73)(cid:72)(cid:85)(cid:85)(cid:72)(cid:71)(cid:3) (cid:38)(cid:82)(cid:80)(cid:83)(cid:72)(cid:81)(cid:86)(cid:68)(cid:87)(cid:76)(cid:82)(cid:81)(cid:3) (cid:51)(cid:79)(cid:68)(cid:81)(cid:3) (cid:71)(cid:68)(cid:87)(cid:72)(cid:71)(cid:3) (cid:68)(cid:86)(cid:3) (cid:82)(cid:73)(cid:3) (cid:48)(cid:68)(cid:85)(cid:70)(cid:75)(cid:3) (cid:20)(cid:15)(cid:3) (cid:20)(cid:28)(cid:28)(cid:24)(cid:3) (cid:11)(cid:76)(cid:81)(cid:70)(cid:82)(cid:85)(cid:83)(cid:82)(cid:85)(cid:68)(cid:87)(cid:72)(cid:71)(cid:3) (cid:69)(cid:92)(cid:3) (cid:85)(cid:72)(cid:73)(cid:72)(cid:85)(cid:72)(cid:81)(cid:70)(cid:72)(cid:3) (cid:87)(cid:82)(cid:3) (cid:87)(cid:75)(cid:72)(cid:3) (cid:38)(cid:82)(cid:80)(cid:83)(cid:68)(cid:81)(cid:92)(cid:182)(cid:86)(cid:3)
Report on Form 10-K for the year ended April 30, 2008). 

(cid:39)(cid:72)(cid:73)(cid:72)(cid:85)(cid:85)(cid:72)(cid:71)(cid:3)(cid:38)(cid:82)(cid:80)(cid:83)(cid:72)(cid:81)(cid:86)(cid:68)(cid:87)(cid:76)(cid:82)(cid:81)(cid:3)(cid:51)(cid:79)(cid:68)(cid:81)(cid:3)(cid:73)(cid:82)(cid:85)(cid:3)(cid:39)(cid:76)(cid:85)(cid:72)(cid:70)(cid:87)(cid:82)(cid:85)(cid:86)(cid:182)(cid:3)2005 & After Compensation (incorporated by reference to the 
report on Form 8-K, filed December 21, 2005). 

List of Subsidiaries of the Company 

Consent of KPMG LLP 

31.1* 

Certification of Chief Executive Officer pursuant to Section 302 of the Sarbanes-Oxley Act of 2002. 

32.1* 

Certification  of  the  Chief  Executive  Officer  pursuant  to  18  U.S.C.  Section  1350,  as  adopted  pursuant  to 
Section 906 of the Sarbanes-Oxley Act of 2002. 

-78- 

 
 
31.2* 

Certification of the Chief Financial Officer pursuant to Section 302 of the Sarbanes-Oxley Act of 2002. 

32.2* 

Certification of Chief Financial Officer pursuant to 18 U.S.C. Section 1350, as adopted pursuant to Section 
906 of the Sarbanes-Oxley Act of 2002. 

*   

Filed herewith 

-79- 

 
 
 
 
 
Pursuant to the  requirements of Section  13 or 15(d)  of the Securities Exchange Act of 1934, the Company  has duly 

caused this report to be signed on its behalf by the undersigned, thereunto duly authorized. 

SIGNATURES 

  JOHN WILEY & SONS, INC. 

(Company) 

By: 

/s/ William J. Pesce 

  William J. Pesce 

  President and Chief Executive Officer 

By: 

/s/ Ellis E. Cousens 

  Ellis E. Cousens 

  Executive Vice President and 

  Chief Financial and Operations Officer 

By: 

/s/ Edward J. Melando 

  Edward J. Melando 

  Vice President, Controller and  

  Chief Accounting Officer 

  Dated:  June 24, 2009 

-80- 

 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Pursuant to the requirements of the Securities Exchange Act of 1934, this report has been signed below by the 

following persons constituting directors of the Company on June 24, 2009. 

/s/ 

Warren J. Baker 
Warren J. Baker 

/s/ 

Eduardo R. Menascé 
Eduardo R. Menascé 

/s/ 

Richard M. Hochhauser 
Richard M. Hochhauser 

/s/ 

William J. Pesce 
William J. Pesce 

/s/ 

Kim Jones 
Kim Jones 

/s/ 

William B. Plummer 
William B. Plummer 

/s/ 
Mathew S. Kissner 
             Mathew S. Kissner 

/s/ 

Bradford Wiley II 
Bradford Wiley II 

/s/ 

Raymond McDaniel, Jr. 
Raymond McDaniel, Jr. 

/s/ 

Peter Booth Wiley 
Peter Booth Wiley 

-81- 

 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
SUBSIDIARIES OF JOHN WILEY & SONS, INC.(1) 

Exhibit 21 

Jurisdiction 
In Which 
Incorporated 

John Wiley & Sons International Rights, Inc. 
JWS HQ, LLC 
JWS DCM, LLC 
Wiley-Liss, Inc. 
Wiley Publishing Services, Inc. 
Wiley Periodicals, Inc. 
Wiley Subscription Services, Inc. 
WWL Corp. 
John Wiley & Sons (Asia) Pte. Ltd. 
John Wiley & Sons Australia, Ltd. 
John Wiley & Sons Canada Limited 
John Wiley & Sons (HK) Limited 
Wiley HMI Holdings, Inc.                    

Wiley Europe Investment Holdings, Ltd. 

Delaware 
New Jersey 
New Jersey 
Delaware 
Delaware 
Delaware 
Delaware 
Delaware 
Singapore 
Australia 
Canada 
Hong Kong 
Delaware 
United Kingdom 
United Kingdom 
United Kingdom 
United Kingdom 
United Kingdom 
United Kingdom 
United Kingdom 
United Kingdom 
Singapore 
United Kingdom 
Blackwell Science (Overseas Holdings)  United Kingdom 

Wiley Services Singapore Pte. Limited 

John Wiley & Sons, Ltd. 
Wiley Heyden Ltd. 
Wiley Distribution Services Ltd. 
Blackwell Publishing (Holdings) Ltd. 
Blackwell Publishing Ltd. 

Wiley U.K. (Unlimited Co.) 
Wiley Europe Ltd. 

Blackwell Science Ltd. 

Munksgaard Als 
Blackwell (cid:177) Verlag GmbH  
Blackwell Pub.  Asia Put. Ltd. 
Blackwell Science KK                        Japan 
Blackwell Science (HK) Ltd. 

Denmark 
Germany 
Australia 

HMI Investment, Inc 

Wiley Publishing Inc. 

Wiley India Private Ltd. 
Wiley Publishing Australia Pty Ltd. 

John Wiley & Sons GmbH 

Wiley-VCH Verlag GmbH & Co. KGaA 
GIT Verlag GmbH & Co. KG 

Hong Kong 
Delaware 
Delaware 
India 
Australia 
Germany 
Germany 
Germany 

(1)  The names of other subsidiaries that would not constitute a significant subsidiary in the aggregate have been 

omitted.   

-82- 

 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
CONSENT OF INDEPENDENT REGISTERED PUBLIC ACCOUNTING FIRM 

Exhibit 23 

The Board of Directors and Stockholders 
John Wiley & Sons, Inc.: 

We consent to the  incorporation by reference  in  the  Registration  Statement Nos. 333-123359,  333-93591, 33-60268 
and  33-(cid:25)(cid:21)(cid:25)(cid:19)(cid:24)(cid:3) (cid:82)(cid:73)(cid:3) (cid:45)(cid:82)(cid:75)(cid:81)(cid:3) (cid:58)(cid:76)(cid:79)(cid:72)(cid:92)(cid:3) (cid:9)(cid:3) (cid:54)(cid:82)(cid:81)(cid:86)(cid:15)(cid:3) (cid:44)(cid:81)(cid:70)(cid:17)(cid:3) (cid:11)(cid:87)(cid:75)(cid:72)(cid:3) (cid:179)(cid:38)(cid:82)(cid:80)(cid:83)(cid:68)(cid:81)(cid:92)(cid:180)(cid:12)(cid:3) (cid:82)(cid:73)(cid:3) (cid:82)(cid:88)(cid:85)(cid:3) (cid:85)(cid:72)(cid:83)(cid:82)(cid:85)(cid:87)(cid:86)(cid:3) (cid:71)(cid:68)(cid:87)(cid:72)(cid:71)(cid:3) June  24,  2009,  with  respect  to  the 
consolidated statements of financial position of John Wiley & Sons, Inc. as of April 30, 2009 and 2008, and the related 

(cid:70)(cid:82)(cid:81)(cid:86)(cid:82)(cid:79)(cid:76)(cid:71)(cid:68)(cid:87)(cid:72)(cid:71)(cid:3)(cid:86)(cid:87)(cid:68)(cid:87)(cid:72)(cid:80)(cid:72)(cid:81)(cid:87)(cid:86)(cid:3)(cid:82)(cid:73)(cid:3)(cid:76)(cid:81)(cid:70)(cid:82)(cid:80)(cid:72)(cid:15)(cid:3)(cid:86)(cid:75)(cid:68)(cid:85)(cid:72)(cid:75)(cid:82)(cid:79)(cid:71)(cid:72)(cid:85)(cid:86)(cid:182)(cid:3)(cid:72)(cid:84)(cid:88)(cid:76)(cid:87)(cid:92)(cid:3)(cid:68)(cid:81)(cid:71)(cid:3)(cid:70)(cid:82)(cid:80)(cid:83)(cid:85)(cid:72)(cid:75)(cid:72)(cid:81)(cid:86)(cid:76)(cid:89)(cid:72)(cid:3)(cid:76)(cid:81)(cid:70)(cid:82)(cid:80)(cid:72)(cid:15)(cid:3)(cid:68)(cid:81)(cid:71)(cid:3)(cid:70)(cid:68)(cid:86)(cid:75)(cid:3)(cid:73)(cid:79)(cid:82)(cid:90)(cid:86)(cid:15)(cid:3)(cid:73)(cid:82)(cid:85)(cid:3)(cid:72)(cid:68)(cid:70)(cid:75)(cid:3)(cid:82)(cid:73)(cid:3)(cid:87)(cid:75)(cid:72)(cid:3)
years  in  the  three-year  period  ended  April  30,  2009,  and  the  related  financial  statement  schedule,  and  the 

effectiveness of internal control over financial reporting as of April 30, 2009, which reports appear in the April 30, 2009 

annual report on Form 10-K of John Wiley & Sons, Inc.   

/s/  KPMG LLP 

New York, New York 
June 24, 2009 

-83- 

 
 
 
 
 
 
 
CERTIFICATIONS PURSUANT TO SECTION 302 OF THE SARBANES-OXLEY ACT OF 2002 

(cid:44)(cid:15)(cid:3)(cid:58)(cid:76)(cid:79)(cid:79)(cid:76)(cid:68)(cid:80)(cid:3)(cid:45)(cid:17)(cid:3)(cid:51)(cid:72)(cid:86)(cid:70)(cid:72)(cid:15)(cid:3)(cid:51)(cid:85)(cid:72)(cid:86)(cid:76)(cid:71)(cid:72)(cid:81)(cid:87)(cid:3)(cid:68)(cid:81)(cid:71)(cid:3)(cid:38)(cid:75)(cid:76)(cid:72)(cid:73)(cid:3)(cid:40)(cid:91)(cid:72)(cid:70)(cid:88)(cid:87)(cid:76)(cid:89)(cid:72)(cid:3)(cid:50)(cid:73)(cid:73)(cid:76)(cid:70)(cid:72)(cid:85)(cid:3)(cid:82)(cid:73)(cid:3)(cid:45)(cid:82)(cid:75)(cid:81)(cid:3)(cid:58)(cid:76)(cid:79)(cid:72)(cid:92)(cid:3)(cid:9)(cid:3)(cid:54)(cid:82)(cid:81)(cid:86)(cid:15)(cid:3)(cid:44)(cid:81)(cid:70)(cid:17)(cid:3)(cid:11)(cid:87)(cid:75)(cid:72)(cid:3)(cid:179)(cid:38)(cid:82)(cid:80)(cid:83)(cid:68)(cid:81)(cid:92)(cid:180)(cid:12)(cid:15)(cid:3)(cid:75)(cid:72)(cid:85)(cid:72)(cid:69)(cid:92)(cid:3)(cid:70)(cid:72)(cid:85)(cid:87)(cid:76)(cid:73)(cid:92)(cid:3)
that: 

Exhibit 31.1 

1. 

I have reviewed this annual report on Form 10-K of the Company; 

2.  Based on my knowledge, this annual report does not contain any untrue statements of a material fact or omit 

to state a material fact necessary to make the statements made, in light of the circumstances under which 

such statements were made, not misleading with respect to the period covered by this annual report;  

3.  Based on my knowledge, the financial statements, and other financial information included in this annual 

report, fairly present in all material respects the financial condition, results of operations and cash flows of the 

Company as of, and for, the periods presented in this report; 

4.  (cid:55)(cid:75)(cid:72)(cid:3)(cid:38)(cid:82)(cid:80)(cid:83)(cid:68)(cid:81)(cid:92)(cid:182)(cid:86)(cid:3)(cid:82)(cid:87)(cid:75)(cid:72)(cid:85)(cid:3)(cid:70)(cid:72)(cid:85)(cid:87)(cid:76)(cid:73)(cid:92)(cid:76)(cid:81)(cid:74)(cid:3)(cid:82)(cid:73)(cid:73)(cid:76)(cid:70)(cid:72)(cid:85)(cid:3)(cid:68)(cid:81)(cid:71)(cid:3)(cid:44)(cid:3)(cid:68)(cid:85)(cid:72)(cid:3)(cid:85)(cid:72)(cid:86)(cid:83)(cid:82)(cid:81)(cid:86)(cid:76)(cid:69)(cid:79)(cid:72)(cid:3)(cid:73)(cid:82)(cid:85)(cid:3)(cid:72)(cid:86)(cid:87)(cid:68)(cid:69)(cid:79)(cid:76)(cid:86)(cid:75)(cid:76)(cid:81)(cid:74)(cid:3)(cid:68)(cid:81)(cid:71)(cid:3)(cid:80)(cid:68)(cid:76)(cid:81)(cid:87)(cid:68)(cid:76)(cid:81)(cid:76)(cid:81)(cid:74)(cid:3)(cid:71)(cid:76)(cid:86)(cid:70)(cid:79)(cid:82)(cid:86)(cid:88)(cid:85)(cid:72)(cid:3)

controls and procedures (as defined in Exchange Act Rules 13a-15(e) and 15d-15(e)) and internal control over 

financial reporting (as defined in Exchange Act Rules 13a-15(f) and 15d-15(f)) for the Company and have: 

a.  Designed such disclosure controls and procedures, or caused such disclosure controls and 

procedures to be designed under our supervision, to ensure that material information relating to the 

Company, including its consolidated subsidiaries, is made known to us by others within those entities, 

particularly during the period in which this report is being prepared; 

b.  Designed such internal control over financial reporting, or caused such internal control over financial 

reporting to be designed under our supervision, to provide reasonable assurance regarding the 

reliability of financial reporting and the preparation of financial statements for external purposes in 

accordance with generally accepted accounting principles; 

c.  (cid:40)(cid:89)(cid:68)(cid:79)(cid:88)(cid:68)(cid:87)(cid:72)(cid:71)(cid:3)(cid:87)(cid:75)(cid:72)(cid:3)(cid:72)(cid:73)(cid:73)(cid:72)(cid:70)(cid:87)(cid:76)(cid:89)(cid:72)(cid:81)(cid:72)(cid:86)(cid:86)(cid:3)(cid:82)(cid:73)(cid:3)(cid:87)(cid:75)(cid:72)(cid:3)(cid:38)(cid:82)(cid:80)(cid:83)(cid:68)(cid:81)(cid:92)(cid:182)(cid:86)(cid:3)(cid:71)(cid:76)(cid:86)(cid:70)(cid:79)(cid:82)(cid:86)(cid:88)(cid:85)(cid:72)(cid:3)(cid:70)(cid:82)(cid:81)(cid:87)(cid:85)(cid:82)(cid:79)(cid:86)(cid:3)(cid:68)(cid:81)(cid:71)(cid:3)(cid:83)(cid:85)(cid:82)(cid:70)(cid:72)(cid:71)(cid:88)(cid:85)(cid:72)(cid:86)(cid:3)(cid:68)(cid:81)(cid:71)(cid:3)(cid:83)(cid:85)(cid:72)(cid:86)(cid:72)(cid:81)(cid:87)(cid:72)(cid:71) in 

this report our conclusions about the effectiveness of the disclosure controls and procedures, as of the 

end of the period covered by this report, based on such evaluation; and 

d.  (cid:39)(cid:76)(cid:86)(cid:70)(cid:79)(cid:82)(cid:86)(cid:72)(cid:71)(cid:3)(cid:76)(cid:81)(cid:3)(cid:87)(cid:75)(cid:76)(cid:86)(cid:3)(cid:85)(cid:72)(cid:83)(cid:82)(cid:85)(cid:87)(cid:3)(cid:68)(cid:81)(cid:92)(cid:3)(cid:70)(cid:75)(cid:68)(cid:81)(cid:74)(cid:72)(cid:3)(cid:76)(cid:81)(cid:3)(cid:87)(cid:75)(cid:72)(cid:3)(cid:38)(cid:82)(cid:80)(cid:83)(cid:68)(cid:81)(cid:92)(cid:182)(cid:86)(cid:3)(cid:76)(cid:81)(cid:87)(cid:72)(cid:85)(cid:81)(cid:68)(cid:79)(cid:3)(cid:70)(cid:82)(cid:81)(cid:87)(cid:85)(cid:82)(cid:79)(cid:3)(cid:82)(cid:89)(cid:72)(cid:85)(cid:3)financial reporting that 

(cid:82)(cid:70)(cid:70)(cid:88)(cid:85)(cid:85)(cid:72)(cid:71)(cid:3)(cid:71)(cid:88)(cid:85)(cid:76)(cid:81)(cid:74)(cid:3)(cid:87)(cid:75)(cid:72)(cid:3)(cid:38)(cid:82)(cid:80)(cid:83)(cid:68)(cid:81)(cid:92)(cid:182)(cid:86)(cid:3)(cid:80)(cid:82)(cid:86)(cid:87)(cid:3)(cid:85)(cid:72)(cid:70)(cid:72)(cid:81)(cid:87)(cid:3)(cid:73)(cid:76)(cid:86)(cid:70)(cid:68)(cid:79)(cid:3)(cid:84)(cid:88)(cid:68)(cid:85)(cid:87)(cid:72)(cid:85)(cid:3)(cid:11)(cid:87)(cid:75)(cid:72)(cid:3)(cid:38)(cid:82)(cid:80)(cid:83)(cid:68)(cid:81)(cid:92)(cid:182)(cid:86)(cid:3)(cid:73)(cid:82)(cid:88)(cid:85)(cid:87)(cid:75)(cid:3)(cid:84)(cid:88)(cid:68)(cid:85)(cid:87)(cid:72)(cid:85)(cid:3)(cid:76)(cid:81)(cid:3)(cid:87)(cid:75)(cid:72)(cid:3)(cid:70)(cid:68)(cid:86)(cid:72)(cid:3)(cid:82)(cid:73)(cid:3)
an annual report) that has materially affected, or is reasonably likely to materially affect, the 
(cid:38)(cid:82)(cid:80)(cid:83)(cid:68)(cid:81)(cid:92)(cid:182)(cid:86)(cid:3)(cid:76)(cid:81)(cid:87)(cid:72)(cid:85)(cid:81)(cid:68)(cid:79)(cid:3)(cid:70)(cid:82)(cid:81)(cid:87)(cid:85)(cid:82)(cid:79)(cid:3)(cid:82)(cid:89)(cid:72)(cid:85) financial reporting; and  

5.  (cid:55)(cid:75)(cid:72)(cid:3)(cid:38)(cid:82)(cid:80)(cid:83)(cid:68)(cid:81)(cid:92)(cid:182)(cid:86)(cid:3)(cid:82)(cid:87)(cid:75)(cid:72)(cid:85)(cid:3)(cid:70)(cid:72)(cid:85)(cid:87)(cid:76)(cid:73)(cid:92)(cid:76)(cid:81)(cid:74)(cid:3)(cid:82)(cid:73)(cid:73)(cid:76)(cid:70)(cid:72)(cid:85)(cid:3)(cid:68)(cid:81)(cid:71)(cid:3)(cid:44)(cid:3)(cid:75)(cid:68)(cid:89)(cid:72)(cid:3)(cid:71)(cid:76)(cid:86)(cid:70)(cid:79)(cid:82)(cid:86)(cid:72)(cid:71)(cid:15)(cid:3)(cid:69)(cid:68)(cid:86)(cid:72)(cid:71)(cid:3)(cid:82)(cid:81)(cid:3)(cid:82)(cid:88)(cid:85)(cid:3)(cid:80)(cid:82)(cid:86)(cid:87)(cid:3)(cid:85)(cid:72)(cid:70)(cid:72)(cid:81)(cid:87)(cid:3)(cid:72)(cid:89)(cid:68)(cid:79)(cid:88)(cid:68)(cid:87)(cid:76)(cid:82)(cid:81)(cid:3)(cid:82)(cid:73)(cid:3)(cid:76)(cid:81)(cid:87)(cid:72)(cid:85)(cid:81)(cid:68)(cid:79)(cid:3)
(cid:70)(cid:82)(cid:81)(cid:87)(cid:85)(cid:82)(cid:79)(cid:3)(cid:82)(cid:89)(cid:72)(cid:85)(cid:3)(cid:73)(cid:76)(cid:81)(cid:68)(cid:81)(cid:70)(cid:76)(cid:68)(cid:79)(cid:3)(cid:85)(cid:72)(cid:83)(cid:82)(cid:85)(cid:87)(cid:76)(cid:81)(cid:74)(cid:15)(cid:3)(cid:87)(cid:82)(cid:3)(cid:87)(cid:75)(cid:72)(cid:3)(cid:38)(cid:82)(cid:80)(cid:83)(cid:68)(cid:81)(cid:92)(cid:182)(cid:86)(cid:3)(cid:68)(cid:88)(cid:71)(cid:76)(cid:87)(cid:82)(cid:85)(cid:86)(cid:3)(cid:68)(cid:81)(cid:71)(cid:3)(cid:87)(cid:75)(cid:72)(cid:3)(cid:68)(cid:88)(cid:71)(cid:76)(cid:87)(cid:3)(cid:70)(cid:82)(cid:80)(cid:80)(cid:76)(cid:87)(cid:87)(cid:72)(cid:72)(cid:3)(cid:82)(cid:73)(cid:3)(cid:87)(cid:75)(cid:72)(cid:3)(cid:38)(cid:82)(cid:80)(cid:83)(cid:68)(cid:81)(cid:92)(cid:182)(cid:86)(cid:3)(cid:69)(cid:82)(cid:68)(cid:85)(cid:71)(cid:3)(cid:82)(cid:73)(cid:3)
directors (or persons performing the equivalent function):  

a.  all significant deficiencies and material weaknesses in the design or operation of internal controls over 

(cid:73)(cid:76)(cid:81)(cid:68)(cid:81)(cid:70)(cid:76)(cid:68)(cid:79)(cid:3)(cid:85)(cid:72)(cid:83)(cid:82)(cid:85)(cid:87)(cid:76)(cid:81)(cid:74)(cid:3)(cid:87)(cid:75)(cid:68)(cid:87)(cid:3)(cid:68)(cid:85)(cid:72)(cid:3)(cid:85)(cid:72)(cid:68)(cid:86)(cid:82)(cid:81)(cid:68)(cid:69)(cid:79)(cid:92)(cid:3)(cid:79)(cid:76)(cid:78)(cid:72)(cid:79)(cid:92)(cid:3)(cid:87)(cid:82)(cid:3)(cid:68)(cid:71)(cid:89)(cid:72)(cid:85)(cid:86)(cid:72)(cid:79)(cid:92)(cid:3)(cid:68)(cid:73)(cid:73)(cid:72)(cid:70)(cid:87)(cid:3)(cid:87)(cid:75)(cid:72)(cid:3)(cid:38)(cid:82)(cid:80)(cid:83)(cid:68)(cid:81)(cid:92)(cid:182)(cid:86)(cid:3)(cid:68)(cid:69)(cid:76)(cid:79)(cid:76)(cid:87)(cid:92)(cid:3)(cid:87)(cid:82)(cid:3)(cid:85)(cid:72)(cid:70)(cid:82)(cid:85)(cid:71)(cid:15)(cid:3)
process, summarize and report financial information; and 

b.  any fraud, whether or not material, that involves management or other employees who have a 

(cid:86)(cid:76)(cid:74)(cid:81)(cid:76)(cid:73)(cid:76)(cid:70)(cid:68)(cid:81)(cid:87)(cid:3)(cid:85)(cid:82)(cid:79)(cid:72)(cid:3)(cid:76)(cid:81)(cid:3)(cid:87)(cid:75)(cid:72)(cid:3)(cid:38)(cid:82)(cid:80)(cid:83)(cid:68)(cid:81)(cid:92)(cid:182)(cid:86)(cid:3)(cid:76)(cid:81)(cid:87)(cid:72)(cid:85)(cid:81)(cid:68)(cid:79)(cid:3)(cid:70)(cid:82)(cid:81)(cid:87)(cid:85)(cid:82)(cid:79)(cid:3)(cid:82)(cid:89)(cid:72)(cid:85)(cid:3)(cid:73)(cid:76)(cid:81)(cid:68)(cid:81)(cid:70)(cid:76)(cid:68)(cid:79)(cid:3)(cid:85)(cid:72)(cid:83)(cid:82)(cid:85)(cid:87)(cid:76)(cid:81)(cid:74)(cid:17) 

By:    /s/   William J. Pesce  

William J. Pesce 
President and Chief Executive Officer 

Dated:  June 24, 2009 

-84- 

 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
   
 
 
CERTIFICATIONS PURSUANT TO SECTION 302 OF THE SARBANES-OXLEY ACT OF 2002 

I, Ellis  E. Cousens,  Executive Vice President and Chief Financial and Operations Officer of John Wiley  &  Sons, Inc. 
(cid:11)(cid:87)(cid:75)(cid:72)(cid:3)(cid:179)(cid:38)(cid:82)(cid:80)(cid:83)(cid:68)(cid:81)(cid:92)(cid:180)(cid:12)(cid:15)(cid:3)(cid:75)(cid:72)(cid:85)(cid:72)(cid:69)(cid:92)(cid:3)(cid:70)(cid:72)(cid:85)(cid:87)(cid:76)(cid:73)(cid:92)(cid:3)(cid:87)(cid:75)(cid:68)(cid:87)(cid:29)(cid:3) 

Exhibit 31.2 

1. 

I have reviewed this annual report on Form 10-K of the Company; 

2.  Based on my knowledge, this annual report does not contain any untrue statements of a material fact or omit 

to  state  a  material  fact  necessary  to  make  the  statements  made,  in  light  of  the  circumstances  under  which 

such statements were made, not misleading with respect to the period covered by this annual report;  

3.  Based  on  my  knowledge,  the  financial  statements,  and  other  financial  information  included  in  this  annual 

report, fairly present in all material respects the financial condition, results of operations and cash flows of the 

Company as of, and for, the periods presented in this report; 

4.  (cid:55)(cid:75)(cid:72)(cid:3) (cid:38)(cid:82)(cid:80)(cid:83)(cid:68)(cid:81)(cid:92)(cid:182)(cid:86)(cid:3) (cid:82)(cid:87)(cid:75)(cid:72)(cid:85)(cid:3) (cid:70)(cid:72)(cid:85)(cid:87)(cid:76)(cid:73)(cid:92)(cid:76)(cid:81)(cid:74)(cid:3) (cid:82)(cid:73)(cid:73)(cid:76)(cid:70)(cid:72)(cid:85)(cid:3) (cid:68)(cid:81)(cid:71)(cid:3) (cid:44)(cid:3) (cid:68)(cid:85)(cid:72)(cid:3) (cid:85)(cid:72)(cid:86)(cid:83)(cid:82)(cid:81)(cid:86)(cid:76)(cid:69)(cid:79)(cid:72)(cid:3) (cid:73)(cid:82)(cid:85)(cid:3) (cid:72)(cid:86)(cid:87)(cid:68)(cid:69)(cid:79)(cid:76)(cid:86)(cid:75)(cid:76)(cid:81)(cid:74)(cid:3) (cid:68)(cid:81)(cid:71)(cid:3) (cid:80)(cid:68)(cid:76)(cid:81)(cid:87)(cid:68)(cid:76)(cid:81)(cid:76)(cid:81)(cid:74)(cid:3) (cid:71)(cid:76)(cid:86)(cid:70)(cid:79)(cid:82)(cid:86)(cid:88)(cid:85)(cid:72)(cid:3)
controls and procedures (as defined in Exchange Act Rules 13a-15(e) and 15d-15(e)) and internal control over 

financial reporting (as defined in Exchange Act Rules 13a-15(f) and 15d-15(f)) for the Company and have: 

a.  Designed  such  disclosure  controls  and  procedures,  or  caused  such  disclosure  controls  and 

procedures  to  be  designed  under  our  supervision,  to  ensure  that  material  information  relating  to  the 

Company, including its consolidated subsidiaries, is made known to us by others within those entities, 

particularly during the period in which this report is being prepared; 

b.  Designed such internal control over financial reporting, or caused such internal  control over financial 

reporting  to  be  designed  under  our  supervision,  to  provide  reasonable  assurance  regarding  the 

reliability  of  financial  reporting  and  the  preparation  of  financial  statements  for  external  purposes  in 

accordance with generally accepted accounting principles; 

c.  (cid:40)(cid:89)(cid:68)(cid:79)(cid:88)(cid:68)(cid:87)(cid:72)(cid:71)(cid:3) (cid:87)(cid:75)(cid:72)(cid:3) (cid:72)(cid:73)(cid:73)(cid:72)(cid:70)(cid:87)(cid:76)(cid:89)(cid:72)(cid:81)(cid:72)(cid:86)(cid:86)(cid:3) (cid:82)(cid:73)(cid:3) (cid:87)(cid:75)(cid:72)(cid:3) (cid:38)(cid:82)(cid:80)(cid:83)(cid:68)(cid:81)(cid:92)(cid:182)(cid:86)(cid:3) (cid:71)(cid:76)(cid:86)(cid:70)(cid:79)(cid:82)(cid:86)(cid:88)(cid:85)(cid:72)(cid:3) (cid:70)(cid:82)(cid:81)(cid:87)(cid:85)(cid:82)(cid:79)(cid:86)(cid:3) (cid:68)(cid:81)(cid:71)(cid:3) (cid:83)(cid:85)(cid:82)(cid:70)(cid:72)(cid:71)(cid:88)(cid:85)(cid:72)(cid:86)(cid:3) (cid:68)(cid:81)(cid:71)(cid:3) (cid:83)(cid:85)(cid:72)(cid:86)(cid:72)(cid:81)(cid:87)(cid:72)(cid:71)(cid:3) (cid:76)(cid:81)(cid:3)
this report our conclusions about the effectiveness of the disclosure controls and procedures, as of the 

end of the period covered by this report, based on such evaluation; and 

d.  (cid:39)(cid:76)(cid:86)(cid:70)(cid:79)(cid:82)(cid:86)(cid:72)(cid:71)(cid:3) (cid:76)(cid:81)(cid:3) (cid:87)(cid:75)(cid:76)(cid:86)(cid:3) (cid:85)(cid:72)(cid:83)(cid:82)(cid:85)(cid:87)(cid:3) (cid:68)(cid:81)(cid:92)(cid:3) (cid:70)(cid:75)(cid:68)(cid:81)(cid:74)(cid:72)(cid:3) (cid:76)(cid:81)(cid:3) (cid:87)(cid:75)(cid:72)(cid:3) (cid:38)(cid:82)(cid:80)(cid:83)(cid:68)(cid:81)(cid:92)(cid:182)(cid:86)(cid:3) (cid:76)(cid:81)(cid:87)(cid:72)(cid:85)(cid:81)(cid:68)(cid:79)(cid:3) (cid:70)(cid:82)(cid:81)(cid:87)(cid:85)(cid:82)(cid:79)(cid:3) (cid:82)(cid:89)(cid:72)(cid:85)(cid:3) (cid:73)(cid:76)(cid:81)(cid:68)(cid:81)(cid:70)(cid:76)(cid:68)(cid:79)(cid:3) (cid:85)(cid:72)(cid:83)(cid:82)(cid:85)(cid:87)(cid:76)(cid:81)(cid:74)(cid:3) (cid:87)(cid:75)(cid:68)(cid:87)(cid:3)
(cid:82)(cid:70)(cid:70)(cid:88)(cid:85)(cid:85)(cid:72)(cid:71)(cid:3)(cid:71)(cid:88)(cid:85)(cid:76)(cid:81)(cid:74)(cid:3)(cid:87)(cid:75)(cid:72)(cid:3)(cid:38)(cid:82)(cid:80)(cid:83)(cid:68)(cid:81)(cid:92)(cid:182)(cid:86)(cid:3)(cid:80)(cid:82)(cid:86)(cid:87)(cid:3)(cid:85)(cid:72)(cid:70)(cid:72)(cid:81)(cid:87)(cid:3)(cid:73)(cid:76)(cid:86)(cid:70)(cid:68)(cid:79)(cid:3)(cid:84)(cid:88)(cid:68)(cid:85)(cid:87)(cid:72)(cid:85)(cid:3)(cid:11)(cid:87)(cid:75)(cid:72)(cid:3)(cid:38)(cid:82)(cid:80)(cid:83)(cid:68)(cid:81)(cid:92)(cid:182)(cid:86)(cid:3)(cid:73)(cid:82)(cid:88)(cid:85)(cid:87)(cid:75)(cid:3)(cid:84)(cid:88)(cid:68)(cid:85)(cid:87)(cid:72)(cid:85)(cid:3)(cid:76)(cid:81)(cid:3)(cid:87)(cid:75)(cid:72)(cid:3)(cid:70)(cid:68)(cid:86)(cid:72)(cid:3)(cid:82)(cid:73)(cid:3)
an  annual  report)  that  has  materially  affected,  or  is  reasonably  likely  to  materially  affect,  the 
(cid:38)(cid:82)(cid:80)(cid:83)(cid:68)(cid:81)(cid:92)(cid:182)(cid:86)(cid:3)(cid:76)(cid:81)(cid:87)(cid:72)(cid:85)(cid:81)(cid:68)(cid:79)(cid:3)(cid:70)(cid:82)(cid:81)(cid:87)(cid:85)(cid:82)(cid:79)(cid:3)(cid:82)(cid:89)(cid:72)(cid:85)(cid:3)(cid:73)(cid:76)(cid:81)(cid:68)(cid:81)(cid:70)(cid:76)(cid:68)(cid:79)(cid:3)(cid:85)(cid:72)(cid:83)(cid:82)(cid:85)(cid:87)(cid:76)(cid:81)(cid:74)(cid:30)(cid:3)(cid:68)(cid:81)(cid:71)(cid:3) 

5.  (cid:55)(cid:75)(cid:72)(cid:3)(cid:38)(cid:82)(cid:80)(cid:83)(cid:68)(cid:81)(cid:92)(cid:182)(cid:86)(cid:3)(cid:82)(cid:87)(cid:75)(cid:72)(cid:85)(cid:3)(cid:70)(cid:72)(cid:85)(cid:87)(cid:76)(cid:73)(cid:92)(cid:76)(cid:81)(cid:74) officer and I have disclosed, based on our most recent evaluation of internal 
(cid:70)(cid:82)(cid:81)(cid:87)(cid:85)(cid:82)(cid:79)(cid:3)(cid:82)(cid:89)(cid:72)(cid:85)(cid:3)(cid:73)(cid:76)(cid:81)(cid:68)(cid:81)(cid:70)(cid:76)(cid:68)(cid:79)(cid:3)(cid:85)(cid:72)(cid:83)(cid:82)(cid:85)(cid:87)(cid:76)(cid:81)(cid:74)(cid:15)(cid:3)(cid:87)(cid:82)(cid:3)(cid:87)(cid:75)(cid:72)(cid:3)(cid:38)(cid:82)(cid:80)(cid:83)(cid:68)(cid:81)(cid:92)(cid:182)(cid:86)(cid:3)(cid:68)(cid:88)(cid:71)(cid:76)(cid:87)(cid:82)(cid:85)(cid:86)(cid:3)(cid:68)(cid:81)(cid:71)(cid:3)(cid:87)(cid:75)(cid:72)(cid:3)(cid:68)(cid:88)(cid:71)(cid:76)(cid:87)(cid:3)(cid:70)(cid:82)(cid:80)(cid:80)(cid:76)(cid:87)(cid:87)(cid:72)(cid:72)(cid:3)(cid:82)(cid:73)(cid:3)(cid:87)(cid:75)(cid:72)(cid:3)(cid:38)(cid:82)(cid:80)(cid:83)(cid:68)(cid:81)(cid:92)(cid:182)(cid:86)(cid:3)(cid:69)(cid:82)(cid:68)(cid:85)(cid:71)(cid:3)(cid:82)(cid:73)(cid:3)
directors (or persons performing the equivalent function):  

a.  all significant deficiencies and material weaknesses in the design or operation of internal controls over 

(cid:73)(cid:76)(cid:81)(cid:68)(cid:81)(cid:70)(cid:76)(cid:68)(cid:79)(cid:3) (cid:85)(cid:72)(cid:83)(cid:82)(cid:85)(cid:87)(cid:76)(cid:81)(cid:74)(cid:3) (cid:87)(cid:75)(cid:68)(cid:87)(cid:3) (cid:68)(cid:85)(cid:72)(cid:3) (cid:85)(cid:72)(cid:68)(cid:86)(cid:82)(cid:81)(cid:68)(cid:69)(cid:79)(cid:92)(cid:3) (cid:79)(cid:76)(cid:78)(cid:72)(cid:79)(cid:92)(cid:3) (cid:87)(cid:82)(cid:3) (cid:68)(cid:71)(cid:89)(cid:72)(cid:85)(cid:86)(cid:72)(cid:79)(cid:92)(cid:3) (cid:68)(cid:73)(cid:73)(cid:72)(cid:70)(cid:87)(cid:3) (cid:87)(cid:75)(cid:72)(cid:3) (cid:38)(cid:82)(cid:80)(cid:83)(cid:68)(cid:81)(cid:92)(cid:182)(cid:86)(cid:3) (cid:68)(cid:69)(cid:76)(cid:79)(cid:76)(cid:87)(cid:92)(cid:3) (cid:87)(cid:82)(cid:3) (cid:85)(cid:72)(cid:70)(cid:82)(cid:85)(cid:71)(cid:15)(cid:3)
process, summarize and report financial information; and 

b.  any  fraud,  whether  or  not  material,  that  involves  management  or  other  employees  who  have  a 

(cid:86)(cid:76)(cid:74)(cid:81)(cid:76)(cid:73)(cid:76)(cid:70)(cid:68)(cid:81)(cid:87)(cid:3)(cid:85)(cid:82)(cid:79)(cid:72)(cid:3)(cid:76)(cid:81)(cid:3)(cid:87)(cid:75)(cid:72)(cid:3)(cid:38)(cid:82)(cid:80)(cid:83)(cid:68)(cid:81)(cid:92)(cid:182)(cid:86)(cid:3)(cid:76)(cid:81)(cid:87)(cid:72)(cid:85)(cid:81)(cid:68)(cid:79)(cid:3)(cid:70)(cid:82)(cid:81)(cid:87)(cid:85)(cid:82)(cid:79)(cid:3)(cid:82)(cid:89)(cid:72)(cid:85)(cid:3)(cid:73)(cid:76)(cid:81)(cid:68)(cid:81)(cid:70)(cid:76)(cid:68)(cid:79)(cid:3)(cid:85)(cid:72)(cid:83)(cid:82)(cid:85)(cid:87)(cid:76)(cid:81)(cid:74)(cid:17) 

By:   /s/   Ellis E. Cousens 

Ellis E. Cousens 
Executive Vice President and  
Chief Financial and Operations Officer 

Dated:  June 24, 2009 

-85- 

 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
     
 
CERTIFICATION PURSUANT TO 
18 U.S.C. SECTION 1350, 
AS ADOPTED PURSUANT TO 
SECTION 906 OF THE SARBANES-OXLEY ACT OF 2002 

Exhibit 32.1 

(cid:44)(cid:81)(cid:3)(cid:70)(cid:82)(cid:81)(cid:81)(cid:72)(cid:70)(cid:87)(cid:76)(cid:82)(cid:81)(cid:3)(cid:90)(cid:76)(cid:87)(cid:75)(cid:3)(cid:87)(cid:75)(cid:72)(cid:3)(cid:36)(cid:81)(cid:81)(cid:88)(cid:68)(cid:79)(cid:3)(cid:53)(cid:72)(cid:83)(cid:82)(cid:85)(cid:87)(cid:3)(cid:82)(cid:73)(cid:3)(cid:45)(cid:82)(cid:75)(cid:81)(cid:3)(cid:58)(cid:76)(cid:79)(cid:72)(cid:92)(cid:3)(cid:9)(cid:3)(cid:54)(cid:82)(cid:81)(cid:86)(cid:15)(cid:3)(cid:44)(cid:81)(cid:70)(cid:17)(cid:3)(cid:11)(cid:87)(cid:75)(cid:72)(cid:3)(cid:179)(cid:38)(cid:82)(cid:80)(cid:83)(cid:68)(cid:81)(cid:92)(cid:180)(cid:12)(cid:3)(cid:82)(cid:81)(cid:3)(cid:41)(cid:82)(cid:85)(cid:80)(cid:3)(cid:20)(cid:19)-K for the year ended 
(cid:36)(cid:83)(cid:85)(cid:76)(cid:79)(cid:3)(cid:22)(cid:19)(cid:15)(cid:3)(cid:21)(cid:19)(cid:19)(cid:28)(cid:3)(cid:68)(cid:86)(cid:3)(cid:73)(cid:76)(cid:79)(cid:72)(cid:71)(cid:3)(cid:90)(cid:76)(cid:87)(cid:75)(cid:3)(cid:87)(cid:75)(cid:72)(cid:3)(cid:54)(cid:72)(cid:70)(cid:88)(cid:85)(cid:76)(cid:87)(cid:76)(cid:72)(cid:86)(cid:3)(cid:68)(cid:81)(cid:71)(cid:3)(cid:40)(cid:91)(cid:70)(cid:75)(cid:68)(cid:81)(cid:74)(cid:72)(cid:3)(cid:38)(cid:82)(cid:80)(cid:80)(cid:76)(cid:86)(cid:86)(cid:76)(cid:82)(cid:81)(cid:3)(cid:82)(cid:81)(cid:3)(cid:87)(cid:75)(cid:72)(cid:3)(cid:71)(cid:68)(cid:87)(cid:72)(cid:3)(cid:75)(cid:72)(cid:85)(cid:72)(cid:82)(cid:73)(cid:3)(cid:11)(cid:87)(cid:75)(cid:72)(cid:3)(cid:179)(cid:53)(cid:72)(cid:83)(cid:82)(cid:85)(cid:87)(cid:180)(cid:12)(cid:15)(cid:3)(cid:44)(cid:15)(cid:3)(cid:58)(cid:76)(cid:79)(cid:79)(cid:76)(cid:68)(cid:80)(cid:3)(cid:45)(cid:17)(cid:3)
Pesce, President and Chief Executive Officer of the Company, certify, pursuant to 18 U.S.C. § 1350, as adopted 

pursuant to Section 906 of the Sarbanes-Oxley Act of 2002, that to the best of my knowledge: 

(1)  the Report fully complies with the requirements of section 13(a) or 15(d) of the Securities Exchange Act of 

1934; and  

(2)  the information contained in the Report fairly presents, in all material respects, the financial condition and   

results of operations of the Company. 

By:   /s/    William J. Pesce  

William J. Pesce 
President and Chief Executive Officer 

Dated:  June 24, 2009 

-86- 

 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
CERTIFICATION PURSUANT TO 
18 U.S.C. SECTION 1350, 
AS ADOPTED PURSUANT TO 
SECTION 906 OF THE SARBANES-OXLEY ACT OF 2002 

Exhibit 32.2 

In connection  with the  Annual  Report of John Wiley  &  (cid:54)(cid:82)(cid:81)(cid:86)(cid:15)(cid:3)(cid:44)(cid:81)(cid:70)(cid:17)(cid:3)(cid:11)(cid:87)(cid:75)(cid:72)(cid:3)(cid:179)(cid:38)(cid:82)(cid:80)(cid:83)(cid:68)(cid:81)(cid:92)(cid:180)(cid:12)(cid:3) (cid:82)(cid:81)(cid:3)(cid:41)(cid:82)(cid:85)(cid:80)(cid:3)(cid:20)(cid:19)-K for the  year ended 
(cid:36)(cid:83)(cid:85)(cid:76)(cid:79)(cid:3) (cid:22)(cid:19)(cid:15)(cid:3) (cid:21)(cid:19)(cid:19)(cid:28)(cid:3) (cid:68)(cid:86)(cid:3) (cid:73)(cid:76)(cid:79)(cid:72)(cid:71)(cid:3) (cid:90)(cid:76)(cid:87)(cid:75)(cid:3) (cid:87)(cid:75)(cid:72)(cid:3) (cid:54)(cid:72)(cid:70)(cid:88)(cid:85)(cid:76)(cid:87)(cid:76)(cid:72)(cid:86)(cid:3) (cid:68)(cid:81)(cid:71)(cid:3) (cid:40)(cid:91)(cid:70)(cid:75)(cid:68)(cid:81)(cid:74)(cid:72)(cid:3) (cid:38)(cid:82)(cid:80)(cid:80)(cid:76)(cid:86)(cid:86)(cid:76)(cid:82)(cid:81)(cid:3) (cid:82)(cid:81)(cid:3) (cid:87)(cid:75)(cid:72)(cid:3) (cid:71)(cid:68)(cid:87)(cid:72)(cid:3) (cid:75)(cid:72)(cid:85)(cid:72)(cid:82)(cid:73)(cid:3) (cid:11)(cid:87)(cid:75)(cid:72)(cid:3) (cid:179)(cid:53)(cid:72)(cid:83)(cid:82)(cid:85)(cid:87)(cid:180)(cid:12)(cid:15)(cid:3) (cid:44)(cid:15)(cid:3) (cid:40)(cid:79)(cid:79)(cid:76)(cid:86)(cid:3) (cid:40)(cid:17)(cid:3)
Cousens, Executive Vice President and Chief Financial and Operations Officer of the Company, certify, pursuant to 18 

U.S.C.  §  1350,  as  adopted  pursuant  to  Section  906  of  the  Sarbanes-Oxley  Act  of  2002,  that  to  the  best  of  my 

knowledge: 

(1)  the  Report  fully  complies  with  the  requirements  of  section  13(a)  or  15(d)  of  the  Securities  Exchange  Act  of 

1934; and  

(2)  the  information  contained  in  the  Report  fairly  presents,  in  all  material  respects,  the  financial  condition  and 

results of operations of the Company. 

By:   /s/   Ellis E. Cousens 

Ellis E. Cousens 
Executive Vice President and  
Chief Financial and Operations Officer 

Dated:  June 24, 2009 

-87- 

 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
am

Stephen A. Kippur 

Clifford Kline 

Bonnie Lieberman 

Gary M. Rinck 

Stephen M. Smith 

Eric A. Swanson  

Deborah E. Wiley

J O S E P H I N E   B A C C H I - M O U R T Z I O U 

Josephine (Jo) Bacchi-Mourtziou retired from Wiley as Vice 

President and Corporate Secretary on July 31, 2009, after nearly 43 

years with the Company. Following her graduation from high school, 

Jo served in the ofﬁ ce of the Brooklyn District Attorney for two years. 

She joined Wiley in 1966 as a secretary in Customer Service. In 

1977, Jo became Administrative Assistant to W. Bradford Wiley, who 

was Chairman and CEO at the time. Further promotions led to her 

becoming Corporate Secretary in 1992. Attending night classes, she 

earned her Bachelor of Arts degree from Marymount Manhattan College in 1997 and was 

named Vice President and Corporate Secretary in 2007. 

Jo brought new meaning to the words learning on the job. As Wiley evolved, so did Jo. During 

her more than four decades of dedicated service, she performed her responsibilities as the 

consummate professional. Known for her total dedication to Wiley, Jo is admired and respected 

by her colleagues around the world for her thoughtful and ethical approach to everything she 

has done at and for our Company. We also learned to appreciate her wonderful sense of humor. 

We wish our esteemed colleague, Josephine Bacchi-Mourtziou, all the best that life has to offer. 

She truly deserves it.

B O A R D   O F   D I R E C T O R S 

Peter Booth Wiley
Chairman

Warren J. Baker2,3
President
California Polytechnic State
University at San Luis Obispo

Richard M. Hochhauser2
Adjunct Professor 
New York University

Kim Jones4
President and Managing
Director, U.K. and Ireland
Sun Microsystems, Inc.

Matthew S. Kissner1,3
President and Chief Executive Ofﬁ cer
The Kissner Group LLC

Raymond W. McDaniel, Jr.4
Chairman and Chief Executive Ofﬁ cer
Moody‘s Corporation

Eduardo Menascé1,3
Retired President,
Enterprise Solutions Group
Verizon Communications, Inc.

William J. Pesce1
President and Chief Executive Ofﬁ cer

William B. Plummer2
Executive Vice President and
Chief Financial Ofﬁ cer
United Rentals, Inc.

Bradford Wiley II4

1.  Executive Committee 
2.  Audit Committee 
3.  Compensation Committee 
4.  Governance Committee 

C O R P O R A T E   A N D 
B U S I N E S S   O F F I C E R S

Mark Allin
Vice President
Wiley Asia-Paciﬁ c

Jim Dicks
Chief Financial and Operations Ofﬁ cer
Wiley Europe

Bijan Ghawami
Chief Financial and Operations Ofﬁ cer
John Wiley & Sons GmbH

Heather Linaker
Managing Director
Wiley Australia

Vincent Marzano
Vice President and Treasurer

Edward J. Melando
Vice President
Corporate Controller
Chief Accounting Ofﬁ cer

Michael L. Preston
Corporate Secretary

Bill Zerter
Chief Operating Ofﬁ cer
John Wiley & Sons Canada, Ltd.

TO CONTACT THE NON-
MANAGEMENT DIRECTORS:
Non-Management Directors 
c/o Corporate Secretary 
John Wiley & Sons, Inc.
111 River Street
Mail Stop 7-02 
Hoboken, NJ  07030-5774 
Email: non-managementdirectors@wiley.
com

INVESTOR RELATIONS
Brian Campbell
Director, Investor Relations
201.748.6874
brian.campbell@wiley.com

W I L E Y   L E A D E R S H I P   T E A M

William J. Pesce
President and Chief Executive Ofﬁ cer

Stephen M. Smith*
Executive Vice President and 
Chief Operating Ofﬁ cer

William J. Arlington
Senior Vice President
Human Resources

Ellis E. Cousens
Executive Vice President and
Chief Financial and Operations Ofﬁ cer

Warren C. Fristensky
Senior Vice President
Information Technology
Chief Information Ofﬁ cer

Stephen A. Kippur
Executive Vice President
and President 
Professional/Trade

C O R P O R A T E   I N F O R M A T I O N

TRANSFER AGENT
Registrar and Transfer Company
10 Commerce Drive
Cranford, NJ  07016
Telephone: 800.368.5948
Email: info@rtco.com
Web site: www.rtco.com

INDEPENDENT PUBLIC
ACCOUNTANTS
KPMG LLP
345 Park Avenue
New York, NY  10154

ANNUAL MEETING
to be held on Thursday, September 17, 
2009, at 9:30 A.M. local time, at Company 
Headquarters, 111 River Street, Hoboken, 
NJ   07030-5774

Clifford Kline
Senior Vice President
Customer and Product 
Support Operations

Bonnie Lieberman
Senior Vice President
and General Manager
Higher Education

Gary M. Rinck
Senior Vice President
and General Counsel

Eric A. Swanson
Senior Vice President
Scientiﬁ c, Technical, Medical, 
and Scholarly

Deborah E. Wiley
Senior Vice President
Corporate Communications

* Appointed COO in May 2009. Previously was Senior 
Vice President, Europe, Middle East & Africa and 
International Development.

DIVIDENDS
On June 18, 2009, the Board of Directors 
approved a quarterly dividend of $0.14 
per share on both Class A Common and 
Class B Common shares, payable on July 
14, 2009, to shareholders of record as of 
July 6, 2009.

EMPLOYMENT
John Wiley & Sons, Inc., is an equal 
opportunity employer.

CERTIFICATIONS
The Company has ﬁ led the required 
certiﬁ cations under Sections 302 and 
906 of the Sarbanes-Oxley Act of 2002 as 
Exhibits 31.1, 31.2, 32.1, and 32.2 to our 
annual report on Form 10-K for the ﬁ scal 
year ended April 30, 2009. 

Following the 2009 Annual Meeting of 
shareholders, the Company intends to 
ﬁ le with the New York Stock Exchange the 
CEO certiﬁ cation regarding the Company’s 
compliance with the NYSE’s corporate 
governance listing standards as required 
by NYSE rule 303A.12. Last year the 
Company ﬁ led this CEO certiﬁ cation with 
the NYSE on September 22, 2008, without 
qualiﬁ cation.

 
highlights

For	the	fiscal	year	ended	April	30		

		2009 

2008 

excluding FX 

including FX 

rEvENuE  

 $ 1,611,390,000 

 $ 1,673,734,000 

opErAtiNG iNComE  

$   218,478,000 

$  225,211,000 

3% 

11% 

(4%)

(3%)

CHANGE

NEt iNComE 

adjusted b 

  gaap 

EArNiNGs pEr 
dilutEd sHArE 

adjusted b 

  gaap 

rEturN oN Equity 

adjusted b 

  gaap 

dividENds pEr sHArE 

class a common 

class b common 

$  128,258,000 

$  128,873,000 

$  128,258,000 

$  147,536,000 

23%  

7% 

—%

(13%)

$ 

$ 

$ 

$ 

2.15 

2.15 

$ 

$ 

22% 

21% 

0.52 

0.52 

$ 

$ 

2.17 

2.49 

22% 

24% 

0.44 

0.44 

22% 

6% 

(1%)

(14%)

n/a 

n/a 

18%

18%

2009 revenue 
By CORE BUSINESS

Scientific, Technical,  

60%
Medical, and Scholarly 26%

Professional/Trade

14%

Higher Education

4% 

CANADA

50% 

UNITED STATES

24% 

EUROPE

3% 

OTHER

2009 revenue
By LOCATION OF CUSTOMER

14% 

ASIA

C o r p o r a t e   H e a d q u a r t e r s ,   M a i n   o f f i C e s ,   a n d   d i s t r i b u t i o n   C e n t e r s     

North AmericA
Corporate Headquarters 
John Wiley & Sons, Inc. 
111 River Street 
Hoboken, NJ  07030-5774 
Telephone: 201.748.6000 
Facsimile: 201.748.6088 
Email: info@wiley.com 
Web site: www.wiley.com 

350 Main Street 
Commerce Place  
Malden, MA  02148  
Telephone: 781.388.8200 
Facsimile: 781.388.8210

989 Market Street 
San Francisco, CA  94103-1741 
Telephone: 415.433.1740 
Facsimile: 415.433.0499

10475 Crosspoint Blvd.  
Indianapolis, IN  46256  
Telephone: 317.572.3000 
Facsimile: 317.572.4000

2121 State Avenue 
Ames, IA 50014-8300 
Telephone: 515.292.0140 
Facsimile: 515.292.3348

U.S. Distribution Center 
1 Wiley Drive 
Somerset,  NJ 08875-1272 
Telephone: 800.225.5945 
Facsimile: 732.302.2300 
Email: custserv@wiley.com

Wiley customer Service  
Support centers are located  
in North America, europe,  
Asia, and Australia for books, 
journals, and online customers.  
to contact a center near you,  
visit www.wiley.com  
and select “contact Us” in  
the green toolbar.

5353 Dundas Street West 
Suite 400 
Toronto, Ontario 
Canada M9B 6H8 
Telephone: 416.236.4433 
Facsimile: 416.236.8743 
Email: canada@wiley.com

Canadian Distribution Center 
6045 Freemont Blvd. 
Mississauga, Ontario   
Canada L5R 4J3 
Telephone: 416.236.4433 
Facsimile: 416.236.8743

eUrope
The Atrium 
Southern Gate, Chichester 
West Sussex PO19 8SQ  
England 
Telephone: 44.1243.779777 
Facsimile: 44.1243.775878 
Email: customer@wiley.co.uk

9600 Garsington Road 
Oxford OX4 2DQ 
England 
Telephone: 44.1865.776868 
Facsimile: 44.1865.714591

1 Rosenørns Allé 
DK-1970 Frederiksberg C  
Denmark 
Telephone: 45.7733.3333 
Facsimile: 45.7733.3377

101 George Street 
Edinburgh EH2 3ES 
Scotland 
Telephone: 44.131.226.7232 
Facsimile: 44.131.226.3803

Boschstrasse 12 
D-69469 Weinheim 
Germany 
Telephone: 49.6201.6060 
Facsimile: 49.6201.606328 
Email: info@wiley-vch.de

European Distribution Center 
1 Oldlands Way 
Bognor Regis 
West Sussex PO22 9SA 
England 
Telephone: 44.1243.779777 
Facsimile: 44.1243.850250

SuSan Spilka Corporate Communications Director / BernharDt FuDyma DeSign group Concept and Design  

SpenCer JoneS product photography / Bill haywarD portrait photography / graytor printing Company printing

AUStrAliA
42 McDougall Street 
Milton, Queensland 4064 
Australia 
Telephone: 61.7.3859.9755 
Facsimile: 61.7.3859.9715 
Email: brisbane@johnwiley.com.au

155 Cremorne Street 
Richmond, Victoria 3121 
Australia 
Telephone: 61.3.9274.3100 
Facsimile: 61.3.9274.3101 
Email: melbourne@johnwiley.com.au

Australian Distribution Center 
33 Windorah Street 
Stafford, Queensland 4053 
Australia 
Telephone: 61.7.3354.8455  
Facsimile: 61.7.3352.7109

ASiA
2 Clementi Loop  
#02-01 
Singapore 129809 
Telephone: 65.64632400 
Facsimile: 65.64634605 
Email: enquiry@wiley.com.sg

600 North Bridge Road  
#05-01 Parkview Square   
Singapore 188778 
Telephone: 65.65118188 
Facsimile: 65.65118288

Frontier Koishikawa Bldg., 4F 
1-28-1 Koishikawa, Bunkyo-Ku 
Tokyo 112-0002  
Japan 
Telephone: 81.3.3830.1232 
Facsimile: 81.3.5689.7276

4435-36/7, Ansari Road  
Darya Ganj, New Delhi 110 002 
India 
Telephone: 91.11.4636.0000/01 
Facsimile: 91.11.2327.5895

Asian Distribution Center 
2 Clementi Loop  
#02-01 
Singapore 129809 
Telephone: 65.64632400  
Facsimile: 65.64634605 
Email: enquiry@wiley.com.sg

This document is a publication of Wiley’s Corporate Communications 
department. An electronic version of this report is available online at 
www.wiley.com.   

This annual report is printed on FSC-certified paper from mixed sources. 

Cert no. SGS-COC-003604

BF55539_Cover.indd   2

7/16/09   10:21:25 AM

   financial 
	
	
	
 
 
 
 
 
 
 
 
 
john wiley & sons, inc.   
111 River Street
Hoboken, NJ 07030-5774
201.748.6000
www.wiley.com

john wiley & sons, inc. 
2009 annual report

 solutions  

connecting
people,
products,  
and
knowledge

BF55539_Cover.indd   1

7/16/09   9:45:39 AM