McGraw-Hill Files Answer in Federal Case

October 27, 2010

NORCROSS, GA (Oct 27, 2010) – Reed Construction Data (RCD), a leading construction information provider and a wholly-owned subsidiary of Reed Elsevier (NYSE:RUK, NYSE:ENL), today announced that McGraw-Hill Construction Dodge (MHC), a unit of The McGraw-Hill Companies, Inc. (NYSE:MHP) has admitted to some of the most serious allegations made in RCD’s 2009 federal lawsuit in which RCD alleges that Dodge unlawfully misappropriated RCD’s confidential and trade secret information and used that information in an attempt to gain a competitive advantage.

The lawsuit, filed Oct. 8, 2009, in the U.S. District Court for the Southern District of New York, charged that Dodge since 2002 used a series of fake companies to pose as RCD customers and gain unlawful access to RCD’s confidential construction project information database.

In documents filed in federal court on Oct. 22, 2010, McGraw-Hill admitted that it paid third parties to access RCD confidential and trade secret information, data reserved for RCD’s paying clients. McGraw-Hill also admitted that it used this access to share RCD’s confidential information with its sales force.  RCD’s lawsuit alleges that MHC’s ultimate goal in conducting these activities was to gain an unfair advantage in the marketplace.  Among the admissions in McGraw-Hill’s filing:

Because of this and other conduct, RCD alleges that McGraw-Hill was able to make misleading claims that its products were superior to RCD’s, thus preventing companies from making fair and objective comparisons of RCD’s and McGraw-Hill’s products.

Iain Melville, CEO of Reed Construction Data, said:  “McGraw-Hill has admitted accessing our proprietary system, admitted reviewing our data, and admitted downloading that data, yet they deny that they did anything wrong with the data.  RCD firmly believes that McGraw-Hill acted inappropriately in obtaining and using RCD’s confidential and proprietary data in an attempt to gain unfair advantage in the marketplace.  We intend to vigorously pursue our claims against McGraw-Hill in court.”

The RCD suit seeks an unspecified amount in lost profits and punitive damages, trial by jury, and injunctive relief as a result of McGraw-Hill’s misuse of RCD’s proprietary construction project information.

For more information, please visit www.reedconstructiondata.com/mhcdodgesuit.

Media contact:
Cohn & Wolfe Public Relations
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Reed Construction Data, a division of Reed Business Information and the Inaugural Strategic Partner of the AIA, is a leading North American provider of construction information through a diverse portfolio of innovative products and services. Reed offers its customers construction project leads, building product information, construction cost tools, construction news through a suite of online and print references — all valuable resources for architects, engineers, contractors, manufacturers, distributors and other professionals in the construction industry. For more information, visit www.reedconstructiondata.com or call 877-REED411.

Reed Business Information, a part of the Reed Elsevier Group plc (NYSE:RUK and ENL), is North America’s largest business-to-business information provider, with more than 80 market-leading publications, 55 Websites and a range of leading business-to-business services.