Thomson Reuters Reports Second-Quarter 2009 Results



    
    - Revenues up 2% before currency, reflecting resilience and diversity of
    the company's businesses

    - Underlying operating profit rises 11% on integration savings and cost
    management

    - Free cash flow increases 16%, to $738 million, in quarter







    
    NEW YORK, Aug. 6 /CNW/ -- Thomson Reuters (NYSE:   TRI; TSX: TRI; LSE:
TRIL; Nasdaq:   TRIN), the world's leading source of intelligent information for
businesses and professionals, today reported results for the second quarter
ended June 30, 2009.  Despite difficult global economic conditions, Thomson
Reuters achieved revenue growth and margin expansion as a result of its
balanced portfolio of businesses, continuing progress on the Reuters
integration and effective cost management.
    

    (Logo: http://www.newscom.com/cgi-bin/prnh/20090507/NY12658LOGO )

    
    Thomson Reuters said its second-quarter results reflect the resilience of
its business model of providing essential information to professional
customers around the world, principally on a recurring subscription basis. The
company also said its market-leading positions and continuing strong operating
performance are the direct result of continuing to invest across its
businesses through the economic cycle.
    

                          Three Months Ended June 30,
                          ---------------------------
            (Millions of U.S. dollars, except EPS and Profit Margin)
    

    
    IFRS Financial Measures             2009      2008            Change
                                        ----      ----            ------
    Revenues                          $3,293    $3,133              5%
    Operating profit                    $475      $254             87%
    Diluted earnings per share (EPS)   $0.38     $0.19            100%
    Cash flow from operations         $1,006      $880             14%
    

    
                                                         Change
                                                         Before
    Non-IFRS Financial Measures(1)      2009     2008(2) Currency  Change
                                        ----     ----    --------  ------
    Revenues from ongoing businesses  $3,282    $3,413      2%     -4%
    Underlying operating profit         $793      $713             11%
    Underlying operating profit margin 24.2%     20.9%         +330bps
    Adjusted earnings per share (EPS)  $0.58     $0.39             49%
    Free cash flow                      $738      $636             16%
    


    
    (1) These non-IFRS financial measures are defined and reconciled to the
    most directly comparable IFRS measure in the tables appended to this news
    release. Additional information is provided in the explanatory note at the
    end of this news release.
    

    
    (2) This 2008 financial information has been prepared on a pro forma basis
    and assumes that Thomson's acquisition of Reuters closed on January 1,
    2007.  Thomson Reuters believes that pro forma financial information
    provides more meaningful period-to-period comparisons of its performance
    because Reuters results prior to the April 17, 2008 closing are not
    included in IFRS results.  2009 results include the impact of the
    acquisition for the entire period.  For more information, see the
    explanatory note at the end of this news release.


    
    Unless otherwise noted, all revenue growth comparisons in this news
release are before the impact of foreign currency translation as Thomson
Reuters believes this provides the best basis to measure the performance of
its business.
    

    --  Revenues from ongoing businesses were $3.3 billion, an increase of 2%
        before currency compared to second-quarter 2008 pro forma revenues.
    --  IFRS revenues increased 5% after currency primarily as a result of the
        Reuters acquisition completed on April 17, 2008.
    --  Underlying operating profit increased 11% to $793 million, with the
        related margin expanding 330 basis points, primarily due to
        integration-related savings, effective cost management and the benefit
        of currency.
    --  Adjusted earnings per share were $0.58 compared to $0.39 a year ago,
        driven by underlying profit growth and lower integration costs.
    --  Net cash provided by operations was $1 billion in the quarter, up 14%
        from a year ago.  Free cash flow of $738 million was up 16% from a
year
        ago. These increases were attributable to higher operating profits and
        lower tax payments.

    --  Integration and legacy savings programs are tracking against the
        accelerated plan with $925 million of run-rate savings (against a 2011
        target of $1.4 billion) achieved by quarter-end. Thomson Reuters now
        expects to achieve at least $1 billion of run-rate savings by the end
        of 2009.

    
    "I am pleased with our solid second-quarter operating results despite the
continued weakness in the global economy," said Thomas H. Glocer, chief
executive officer of Thomson Reuters.  "Our revenues continued to grow in both
the Professional and Markets divisions, which is a testament not only to the
choice and balance of the markets in which we operate, but also the strength
of our franchises in the challenging financial services and legal segments."

    "Our Tax & Accounting and Healthcare & Science businesses reported
accelerating revenues thanks to the very timely products these units provide
to handle ever-changing tax rules and increase the efficiency and quality of
healthcare and research."

    "Tomorrow, our shareholders will be asked to approve the plan to unify
our dual listed company structure.  We believe that unification is in the best
interests of our shareholders because it will improve trading liquidity in our
shares and simplify our capital structure.  We are gratified by the support we
are receiving from shareholders around the world," said Mr. Glocer.
    

    Second-Quarter Business Segment Highlights

    Professional Division

                                    Three Months Ended June 30,
                                    ---------------------------
                       (Millions of U.S. dollars, unless otherwise indicated)
    

    
                                                           Change
                                                           Before
    Revenues                 2009    2008    Change       Currency
                             ----    ----    ------      ----------
    Legal                    $934    $950      -2%            2%
    Tax & Accounting          225     209       8%            9%
    Healthcare & Science      217     206       5%            7%
                              ---     ---
    Professional
     Division Total         1,376   1,365       1%            4%
    

    
    Operating Profit                                        2009        2008
                             2009    2008    Change        Margin      Margin
                             ----    ----    ------        -------     ------
    Legal                    $341    $340        0%         36.5%       35.8%
    Tax & Accounting           36      34        6%         16.0%       16.3%
    Healthcare & Science       53      42       26%         24.4%       20.4%
                               --      --
    Professional
     Division Total           430     416        3%         31.3%       30.5%


    
    All revenue growth and operating profit comparisons are based upon
results from ongoing businesses and exclude the results of disposals.
    
    --  Revenues increased 4%, 2% of which was organic, with all segments
        contributing to growth, including strong performances from the core
        Westlaw and international online legal businesses, as well as Tax &
        Accounting and Healthcare & Science.

    --  Revenue growth in the division continues to be driven by online
        products, software and services, which increased 5% and represented
80%
        of the division's revenues.


    --  Operating profit increased 3% and the related margin expanded 80 basis
        points, due to the benefits of currency and efficiency initiatives,
        which were partly offset by dilution from recent acquisitions in Tax &
        Accounting.

    Legal

    --  Revenues increased 2%, with organic growth of 1%, driven by continued
        growth in Westlaw, FindLaw and online international legal businesses. 
        Growth was partly offset by lower revenues in ancillary services and
        declines in practice management software and consulting revenues. By
        customer segment, revenue growth was driven by small law firms and
        government units.

    --  Operating profit increased slightly, while the related margin expanded
        70 basis points, primarily due to the benefits of efficiency
        initiatives and currency.

    Tax & Accounting

    --  Revenues were up 9%, 5% of which was organic. Growth was driven by
        strength in core products such as the UltraTax suite of solutions as
        well as software and services led by Property Tax and Tax Stream. 
        Checkpoint revenues grew in line with Tax & Accounting's organic
        growth. Acquisitions contributed 4% growth, primarily from compliance
        software provider Paisley.  The Tax & Accounting segment's strong
        market position and breadth of products continues to enable it to take
        share and grow at above-market rates.  Revenue growth is expected to
        continue to accelerate over the balance of the year.

    --  Operating profit increased 6% and the related margin decreased 30
basis
        points, primarily due to lower initial margins for certain
acquisitions
        due to accounting adjustments.

    Healthcare & Science

    --  Revenues increased 7%, all of which was organic, driven by strength in
        the Payer decision-support business, which experienced significant
        demand in both the Federal and Employer segments, where the business
is
        well positioned to improve the efficiency and quality of healthcare.

    --  Operating profit increased 26% and the related margin expanded 400
        basis points driven by strong revenue flow-through, effective cost
        management and currency.

    Markets Division

                            Three Months Ended June 30,
                            ---------------------------
                (Millions of U.S. dollars unless otherwise indicated)
    

    
                                                    Change
                                                    Before
    Revenues          2009    2008    Change       Currency
                      ----    ----    ------      -----------
    Sales &
     Trading          $903  $1,008      -10%            -1%
    Investment &
     Advisory          590     593       -1%             0%
    Enterprise         324     338       -4%             7%
    Media               91     112      -19%            -6%
                        --     ---
    Markets Division
     Total           1,908   2,051       -7%           0.3%
    

    
                                                     2009        2008
    Operating Profit  2009    2008    Change        Margin      Margin
                      ----    ----    ------        ------      ------
    Markets Division
     Total             424     367       16%          22.2%      17.9%


    --  Organic revenues grew 0.2% (2% growth in recurring subscription
        revenues) compared to 7% pro forma organic growth in the same period a
        year ago. The Markets division's geographic, customer and product
        diversity enabled it to grow at above-market rates, despite the
        challenges presented by the financial crisis and ongoing global
        recession.
    --  Recurring revenues grew despite a decline in recoveries. Recoveries
are
        primarily low margin, third-party information feeds, such as exchange
        data.
    --  A 9% decline in transaction revenues was due to lower foreign exchange
        volumes for Reuters Matching and lower equity volumes affecting Omgeo,
        Markets' trade processing joint venture.
    --  Outright (one-time) revenues also declined, as clients' purchases of
        large software systems slowed.
    --  The Europe, Middle East and Africa (EMEA) and Asia regions each grew
        2%, while revenues from the Americas decreased 2%.

    --  Operating profit increased 16% with the corresponding margin expanding
        430 basis points due to integration savings, effective cost management
        and the benefit of currency.

    Sales & Trading

    --  Revenues decreased 1% due to lower foreign exchange transaction
        volumes, a 6% decline in recoveries and declines in desktops partly
        offset by growth in Commodities & Energy and Tradeweb.

    Investment & Advisory

    --  Revenues were unchanged for the quarter. Revenue growth in Asia and
        demand for high-value analytics were offset by lower desktop revenues
        as investment managers reduced costs and headcount. Strong demand for
        ThomsonONE.com among mid-size and boutique investment banks helped to
        slow the quarter's Investment Banking revenue decline to 3% as
compared
        to 17% in the first quarter.  Corporate Services declined slightly,
        with Investor Relations and Business Intelligence products failing to
        offset declines in transaction-based Advisory and Communications
        services.

    Enterprise

    --  Revenues rose 7% against very strong results from a year ago, when
        organic revenues grew 14%.  Enterprise information continued to
benefit
        from strong customer demand for reference data, independently
validated
        pricing services and data to automate front, middle- and back-office
        applications.  The breadth of the Enterprise segment's offerings
        continues to create significant business opportunities and market
share
        gains.

    Media

    --  Revenues declined 6%, hurt by continued declines in the professional
        publishing and consumer businesses.  The core news agency business
        declined 4% as a result of consolidation in traditional media outlets.

    Corporate and Other

    
    Corporate and Other expenses decreased $20 million, to $255 million,
mainly reflecting benefits from synergy programs. Core Corporate Costs
accounted for $9 million of the $20 million decline.
    

    Financial Highlights - Six-Months 2009

    

    
                                  Six Months Ended June 30,
                                  -------------------------
              (Millions of U.S. dollars, except EPS and Profit Margin)
    

    
                                 2009     2008                    Change
    IFRS Financial Measures      ----     ----                    ------
    Revenues                   $6,424   $4,973                      29%
    Operating profit              851      482                      77%
    Diluted earnings per
     share (EPS)                $0.60    $0.47                      28%
    Cash flow from operations  $1,257   $1,164                       8%
    

    
                                                     Change
                                                     Before
    Non-IFRS Financial           2009     2008      Currency      Change
     Measures                    ----     ----      --------      ------
    Revenues from ongoing
     businesses                $6,409   $6,646          2%          -4%
    Underlying operating
     profit                     1,383    1,302                       6%
    Underlying operating                                       +200bps
     profit margin               21.6%    19.6%
    Adjusted earnings per
     share (EPS)                $0.98    $0.84                      17%
    Free cash flow               $789     $791                       0%


    --  Revenues from ongoing businesses increased 2% before currency, to $6.4
        billion.
    --  IFRS revenues increased 29% after currency.
    --  Underlying operating profit increased 6%, to $1.4 billion, and the
        related margin increased 200 basis points.
    --  Adjusted earnings per share were $0.98.

    --  Net cash provided by operations was $1.3 billion, up 8% compared with
        the first half of 2008.  This growth resulted from higher operating
        profits and lower tax payments, and reflected an increase of over $200
        million in net interest payments in 2009.  Free cash flow of $789
        million was comparable to the prior year period, despite the higher
        interest payments, and reflected an increase in capital expenditures
on
        platform and product development initiatives.

    Integration Programs
    --  Thomson Reuters previously announced that it expects to achieve $1
        billion in annualized cost savings from the Reuters integration by the
        end of 2011, up from $750 million in savings projected in May 2008.
        This raised the overall savings target (including legacy efficiency
        programs) to $1.4 billion.
    --  Thomson Reuters achieved combined run-rate savings of $925 million in
        the first half of 2009.  Given the progress the company continues to
        make on its integration programs, Thomson Reuters now expects to
        achieve at least $1 billion of run-rate savings by year-end 2009, up
        from the previous estimate of $975 million. Savings were principally
        achieved through elimination of redundant positions and the retirement
        of legacy products.

    --  The first-half costs required to achieve these savings were $195
        million.

    Proposed DLC Unification

    
    In June 2009, Thomson Reuters announced a plan to unify its dual listed
company (DLC) structure by exchanging each outstanding Thomson Reuters PLC
ordinary share for one Thomson Reuters Corporation common share. Each
outstanding Thomson Reuters PLC American Depositary Share (ADS) will be
exchanged for six Thomson Reuters Corporation common shares. Current holders
of Thomson Reuters Corporation common shares will continue to hold their
existing shares.   If unification is approved, Thomson Reuters shares will
remain listed on the Toronto Stock Exchange and New York Stock Exchange and
will no longer be listed on the London Stock Exchange and Nasdaq.

    Thomson Reuters is seeking shareholder approval to approve the DLC
unification at meetings to be held tomorrow in Toronto and London.  The DLC
unification is also subject to UK court approval, which Thomson Reuters plans
to seek on August 25, 2009. If shareholder and court approvals are obtained,
the unification will be completed on September 10, 2009, and the last day of
trading of Thomson Reuters PLC ordinary shares on the London Stock Exchange
and ADSs on Nasdaq will be September 9, 2009.
    

    Business Outlook (Before Currency)

    
    Based on the current environment in the markets it serves, Thomson
Reuters reaffirms its previous outlook that  revenues are expected to grow in
2009 and underlying operating margin and free cash flow (adjusted for certain
timing-related items) will be comparable to 2008.
    

    Dividend

    
    Thomson Reuters will pay a quarterly dividend of $0.28 per share on
September 15, 2009 to shareholders of record as of August 21, 2009.
    

    Thomson Reuters

    
    Thomson Reuters is the world's leading source of intelligent information
for businesses and professionals.  We combine industry expertise with
innovative technology to deliver critical information to leading decision
makers in the financial, legal, tax and accounting, healthcare and science and
media markets, powered by the world's most trusted news organization.  With
headquarters in New York and major operations in London and Eagan, Minnesota,
Thomson Reuters employs more than 50,000 people and operates in over 100
countries. Thomson Reuters shares are listed on the New York Stock Exchange
(NYSE:   TRI); Toronto Stock Exchange (TSX: TRI); London Stock Exchange (LSE:
TRIL); and Nasdaq (NASDAQ:   TRIN). For more information, go to
www.thomsonreuters.com.
    

    CONTACTS
    Fred Hawrysh
    Senior Vice President, Corporate Affairs
    +1.646 223 5285
    fred.hawrysh@thomsonreuters.com
    

    
    Frank Golden
    Senior Vice President, Investor Relations
    +1.646 223 5288
    frank.golden@thomsonreuters.com
    

    
    Victoria Brough
    Head of External Affairs, EMEA
    +44 (0) 207 542 8763
    victoria.brough@thomsonreuters.com


    
    Thomson Reuters will webcast a discussion of its second-quarter results
today beginning at 10:00 a.m. U.S. Eastern Daylight Time (EDT) / 3:00 p.m.
British Summer Time (BST).  You can access the webcast by visiting
www.thomsonreuters.com and clicking on "Investor Relations" at the top of the
page and then "Thomson Reuters Reports Second-Quarter 2009 Results" on the
right side of the page. An archive of the webcast will be available in the
"Investor Relations" section of the Thomson Reuters website.
    


    
    Thomson Reuters Corporation is incorporated in Ontario, Canada with a
registered office at Suite 2706, Toronto Dominion Bank Tower, P.O. Box 24,
Toronto-Dominion Centre, Toronto, Ontario M5K 1A1, Canada. Thomson Reuters PLC
(registered no. 06141013) is registered in England & Wales with a registered
office at The Thomson Reuters Building, South Colonnade, Canary Wharf, London
E14 5EP, United Kingdom. Thomson Reuters primary financial statements are the
consolidated financial statements of Thomson Reuters Corporation. Those
statements account for Thomson Reuters PLC as a subsidiary.

    All references to growth rate percentages compare the results of the
period to those of the prior year comparable period. Unless otherwise stated,
revenue growth discussions in this news release are before currency.

    Thomson Reuters currently prepares its financial statements under
International Financial Reporting Standards (IFRS), as issued by the
International Accounting Standards Board (IASB). Previously, Thomson Reuters
prepared its financial statements in accordance with Canadian GAAP.
    

    NON-IFRS FINANCIAL MEASURES

    
    This news release includes certain non-IFRS financial measures, including
pro forma financial information as described herein. Thomson Reuters uses
these non-IFRS financial measures as supplemental indicators of its operating
performance and financial position. These measures do not have any
standardized meanings prescribed by IFRS and therefore are unlikely to be
comparable to the calculation of similar measures used by other companies, and
should not be viewed as alternatives to measures of financial performance
calculated in accordance with IFRS. Non-IFRS financial measures (other than
pro forma financial information) are defined and reconciled to the most
directly comparable IFRS measures in the following tables.
    

    PRO FORMA FINANCIAL INFORMATION

    
    Pro forma financial information included in this news release is for
information purposes only and is unaudited. Pro forma financial information
was prepared in U.S. dollars in a manner consistent with accounting policies
that applied to Thomson prior to the closing of the acquisition and which
currently apply to Thomson Reuters as though Reuters was acquired on January
1, 2007. Pro forma financial information should not be considered indicative
of actual balance sheet data or operating results that would have been
achieved had Thomson acquired Reuters on January 1, 2007, or of results which
may occur in the future. Pro forma financial information should be read in
conjunction with historical financial results for Thomson and Reuters. Pro
forma financial information reflects the impacts of purchase accounting but
excludes deal-related expenses and an initial one-time purchase accounting
adjustment related to deferred revenue.
    

    CAUTIONARY NOTE CONCERNING FACTORS THAT MAY AFFECT FUTURE RESULTS

    
    This news release, in particular the sections under the headings
"Integration Programs", "Proposed DLC Unification" and "Business Outlook
(Before Currency)" includes forward-looking statements that are based on
certain assumptions and reflect Thomson Reuters current expectations.
Forward-looking statements are those that are not historical facts and also
include Thomson Reuters expectations about its future prospects.
Forward-looking statements are subject to a number of risks and uncertainties
that could cause actual results or events to differ materially from current
expectations. Some of the factors that could cause actual results to differ
materially from current expectations include risks related to Thomson Reuters
ability to achieve the anticipated benefits from the Reuters transaction and
other integration program initiatives (including within the time periods
currently expected), develop additional products and services to meet
customers' needs, attract new customers, general economic conditions and
actions of competitors. These and other factors are discussed in materials
that Thomson Reuters Corporation and Thomson Reuters PLC from time to time
file with, or furnish to, securities regulatory authorities. Thomson Reuters
disclaims any intention or obligation to update or revise any forward-looking
statements, whether as a result of new information, future events or
otherwise, other than as required by applicable law, rule or regulation.
    


                2009 IFRS Results Compared to 2008 Pro Forma Results
                            Thomson Reuters Corporation
                      Division and Business Segment Information
                            (millions of U.S. dollars)
                                     (unaudited)
    

    
                                     Three Months Ended
                                           June 30,
                                           --------
                                        2009   2008(1)(2)  Change    Organic
                                        ----   ----------  ------    -------
    Revenues
       Legal                            $934         $950     -2%        1%
       Tax & Accounting                  225          209      8%        5%
       Healthcare & Science              217          206      5%        7%
                                         ---          ---
    Professional Division              1,376        1,365      1%        2%
       Sales & Trading                   903        1,008    -10%       -1%
       Investment & Advisory             590          593     -1%        0%
       Enterprise                        324          338     -4%        7%
       Media                              91          112    -19%       -6%
                                          --          ---
    Markets Division                   1,908        2,051     -7%        0%
    Eliminations                          (2)          (3)
                                          --           --
    Revenues from ongoing
     businesses(3)                     3,282        3,413     -4%        1%
    Disposals(3)                          11           34
                                          --           --
    Revenues                          $3,293       $3,447     -4%
                                      ======       ======
    

    
    Operating Profit
     Legal                              $341         $340      0%
     Tax & Accounting                     36           34      6%
     Healthcare & Science                 53           42     26%
                                          --           --
    Professional Division                430          416      3%
    Markets Division                     424          367     16%
    Corporate and Other                 (255)        (275)
    Amortization of other
     intangible assets                  (124)        (131)
                                        ----         ----
    Operating profit from
     ongoing businesses(3)               475          377     26%
    

    
    Disposals(3)                           -            4
    Impairment of assets held for sale     -          (89)
                                          --          ---
    Operating profit                    $475         $292     63%
                                        ====         ====
    



    
                                       Six Months Ended
                                           June 30,
                                           --------
                                        2009   2008(1)(2)  Change    Organic
                                        ----  -----------  ------    -------
    Revenues
       Legal                          $1,766       $1,787     -1%        1%
       Tax & Accounting                  470          436      8%        5%
       Healthcare & Science              414          394      5%        7%
                                         ---          ---
    Professional Division              2,650        2,617      1%        3%
       Sales & Trading                 1,793        1,989    -10%       -2%
       Investment & Advisory           1,161        1,189     -2%        0%
       Enterprise                        628          638     -2%        8%
       Media                             180          220    -18%       -7%
                                         ---          ---
    Markets Division                   3,762        4,036     -7%        0%
    Eliminations                          (3)          (7)
                                          --           --
    Revenues from ongoing
     businesses(3)                     6,409        6,646     -4%        1%
    Disposals(3)                          15           61
                                          --           --
    Revenues                          $6,424       $6,707     -4%
                                      ======       ======
    

    
    Operating Profit
     Legal                              $582         $573      2%
     Tax & Accounting                     77           78     -1%
     Healthcare & Science                 84           71     18%
                                          --           --
    Professional Division                743          722      3%
    Markets Division                     761          705      8%
    Corporate and Other                 (404)        (323)
    Amortization of other
     intangible assets                  (243)        (260)
                                        ----         ----
    Operating profit from
     ongoing businesses(3)               857          844      2%
       Disposals(3)                       (6)           1
    Impairment of assets held
     for sale                              -          (89)
                                          --          ---
    Operating profit                    $851         $756     13%
                                        ====         ====
    



    
                           Thomson Reuters Corporation
       Reconciliation of Operating Profit to Underlying Operating Profit (4)
                            (millions of U.S. dollars)
                                    (unaudited)
    

    
                      Three Months Ended           Six Months Ended
                           June 30,                    June 30,
                           --------                    --------
                        2009     2008(2)   Change    2009   2008(2)   Change
                        ----     ------    ------    ----   ------    ------
    

    
    Operating profit    $475      $292       63%     $851     $756       13%
    Adjustments:
         Amortization
          of other
          intangible
          assets         124       131                243      260
         Disposals         -        (4)                 6       (1)
         Impairment
          of assets
          held for sale    -        89                  -       89
         Fair value
          adjustments     87         4                 88      (16)
         Integration
          program costs  107       201                195      214
                         ---       ---                ---      ---
    Underlying operating
     profit             $793      $713       11%   $1,383   $1,302        6%
                        ====      ====             ======   ======
    Underlying operating
     profit margin      24.2%     20.9%              21.6%    19.6%
                        =====     =====              =====    =====
    



    2009 IFRS Results Compared to 2008 Pro Forma Results

    
                           Thomson Reuters Corporation
       Reconciliation of Earnings Attributable to Common and Ordinary Shares
                to Adjusted Earnings from Continuing Operations (5)
       (millions of U.S. dollars, except as otherwise indicated and except
                              for per share data)
                                  (unaudited)
    

    
                                     Three Months Ended   Six Months Ended
                                          June 30,             June 30,
                                          --------             --------
                                    2009        2008(6)    2009    2008(6)
                                    ----        ------     ----    ------
     Earnings attributable to
      common and ordinary shares    $315                   $505
     Adjustments:
          Disposals                    -                      6
          Fair value adjustments      87                     88
          Other finance costs         34                     57
          Share of post tax earnings
           in equity method
           investees                   -                     (1)
          Tax on above items         (31)                   (36)
     Interim period effective tax
      rate normalization (7)         (42)                   (35)
     Amortization of other
      intangible assets              124                    243
     Discontinued operations          (2)                    (6)
     Dividends declared on
      preference shares                -                     (1)
                                      --                     --
     Adjusted earnings from
      continuing operations         $485          $328     $820       $703
                                    ====          ====     ====       ====
     Adjusted earnings per
      share from continuing
      operations                   $0.58         $0.39    $0.98      $0.84
                                   =====         =====    =====      =====
    

    
     Weighted average common
      and ordinary shares  (in
       millions)                   836.5         836.5    835.6      837.3
                                   =====         =====    =====      =====
    



    
             2009 IFRS Results Compared to 2008 Pro Forma Results
                           Thomson Reuters Corporation
        Division and Business Segment Depreciation and Amortization of
                                Computer Software
                           (millions of U.S. dollars)
                                    (unaudited)
    


    
                            Three Months Ended     Six Months Ended
    Depreciation and              June 30,            June 30,
     amortization of              --------            --------
     computer software     2009      2008(1)(2)    2009   2008(1)(2)
                           ----      -----------   ----  -----------
    

    
       Legal                (65)          (65)     (128)      (125)
       Tax & Accounting     (19)          (13)      (38)       (27)
       Healthcare &
        Science             (20)          (16)      (37)       (28)
                            ---           ---       ---        ---
    Professional Division  (104)          (94)     (203)      (180)
    Markets Division       (133)         (154)     (297)      (314)
    Corporate and Other      (5)           (3)      (10)        (4)
                             --            --       ---         --
    Depreciation - Ongoing
     Businesses            (242)         (251)     (510)      (498)
    Disposals                 -            (1)       (1)        (3)
                             --            --        --         --
    Total Depreciation
     and amortization
     of computer software  (242)         (252)     (511)      (501)
                           ====          ====      ====       ====
    


    
    (1) 2008 segment results have been restated to be comparable to the
        presentation for 2009.
    (2) 2008 results are shown on a pro forma basis which assumes that Thomson
        acquired Reuters on January 1, 2007.  These amounts reflect the
        impacts of purchase accounting, but exclude deal-related expenses and
        an initial one-time purchase accounting adjustment related to deferred
        revenue.
    (3) Revenues and operating profit from ongoing businesses exclude the
        results of disposals. Disposals include the results of businesses sold
        or held for sale that do not qualify as discontinued operations.
    (4) Underlying operating profit excludes amortization of other intangible
        assets, impairment charges, fair value adjustments, integration
        program costs, other operating gains and losses and the results of
        disposals.  Underlying operating profit margin is the underlying
        operating profit expressed as a percentage of revenues from ongoing
        businesses.
    (5) Adjusted earnings from continuing operations and adjusted earnings per
        share from continuing operations include dividends declared on
        preference shares and integration program costs, but exclude the pre
        tax impacts of amortization of other intangible assets as well as the
        post-tax impacts of fair value adjustments, other operating gains and
        losses, impairment charges, the results of disposals (see note (3)
        above), other finance costs, Thomson Reuters share of post-tax
        earnings in equity method investees and discontinued operations.
        Adjusted earnings per share from continuing operations is calculated
        using diluted weighted average common and ordinary shares and does not
        represent actual earnings per share attributable to shareholders.
    (6) In 2008, Thomson Reuters calculated its pro forma adjusted earnings by
        deducting from pro forma underlying operating profit certain normally
        recurring items appearing below operating profit on the income
        statement.  Additionally, Thomson Reuters deducted costs associated
        with its integration program as well as earnings attributable to non-
        controlling interests and dividends declared on preference shares.
        The table below presents a reconciliation of pro forma underlying
        operating profit to pro forma adjusted earnings from continuing
        operations for the three and six months ended June 30, 2008.
    



    
    (millions of U.S. dollars, except as
     otherwise indicated and except per        Three Months    Six Months
     share data)                                  Ended          Ended
    Pro forma basis                              June 30,       June 30,
                                                  2008(a)        2008(a)
    ---------------                            -------------  -------------
    Underlying operating profit                      713          1,302
    Adjustments:
      Integration program costs                     (201)          (214)
      Net interest expense (calculated as pro
       rata $450 million annualized)                (112)          (225)
      Income taxes (calculated using an
        estimated effective tax rate of 25%)         (67)          (151)
      Earnings attributable to non-controlling
       interests                                      (4)            (6)
      Dividends declared on preference shares         (1)            (3)
      ---------------------------------------         --             --
    Adjusted earnings from continuing
     operations                                      328            703
    ---------------------------------                ---            ---
    Adjusted earnings per share from
     continuing operations                         $0.39          $0.84
    --------------------------------               -----          -----
    

    
    Weighted average common and ordinary
     shares outstanding (in millions)              836.5          837.3
    ------------------------------------           -----          -----
    


    
    (a) This calculation has been restated to be comparable to the 2009
        presentation of disposals.
    

    
        Weighted average common and ordinary shares outstanding reflected the
        actual reported diluted weighted average common and ordinary shares
        outstanding adjusted as if the approximately 194 million Thomson
        Reuters PLC shares issued to Reuters shareholders on April 17, 2008
        were outstanding from the beginning of the period presented, as well
        as the effect of the approximately 34 million Reuters Group PLC share
        options assumed as part of the acquisition.
    (7) Adjustment to reflect income taxes based on estimated full-year
        effective tax rate.  Reported earnings for interim periods reflect
        income taxes based on the estimated effective tax rates of each of the
        jurisdictions in which Thomson Reuters operates. The adjustment
        reallocates estimated full-year income taxes between interim periods,
        but has no effect on full-year income taxes.
    


    Consolidated IFRS Results

    
                             Thomson Reuters Corporation
                            Consolidated Income Statement
                    (millions of U.S. dollars, except per share data)
                                       (unaudited)
    

    
                                    Three Months Ended      Six Months Ended
                                         June 30,                June 30,
                                         --------                --------
                                     2009        2008        2009        2008
                                     ----        ----        ----        ----
    

    
    Revenues                       $3,293      $3,133      $6,424      $4,973
    Operating expenses             (2,452)     (2,432)     (4,819)     (3,851)
    Depreciation                     (113)       (112)       (242)       (167)
    Amortization of computer
     software                        (129)       (128)       (269)       (204)
    Amortization of other intangible
     assets                          (124)       (118)       (243)       (180)
    Impairment of assets held for sale  -         (89)          -         (89)
                                       --         ---          --         ---
    Operating profit                  475         254         851         482
    Finance costs, net:
       Net interest expense          (104)        (50)       (200)        (12)
       Other finance costs            (34)        (44)        (57)        (72)
                                      ---         ---         ---         ---
    Income before tax and equity
     method investees                 337         160         594         398
    Share of post tax earnings in
     equity method investees            -           1           1           1
    Tax expense                       (14)         (1)        (83)        (46)
                                      ---          --         ---         ---
    Earnings from continuing
     operations                       323         160         512         353
    Earnings from discontinued
     operations, net of tax             2          (6)          6          (4)
                                        -          --           -          --
    Net earnings                     $325        $154        $518        $349
                                     ----        ----        ----        ----
    

    
    Earnings attributable to:
    Common and ordinary shareholders  315         150         505         343
    Non-controlling interests          10           4          13           6
    

    
    Basic earnings per share        $0.38       $0.19       $0.61       $0.47
                                    =====       =====       =====       =====
    Diluted earnings per share      $0.38       $0.19       $0.60       $0.47
                                    =====       =====       =====       =====
    


    
    Basic weighted average
     common and ordinary
     shares                   829,065,567 792,544,170 828,691,308 716,323,549
                              =========== =========== =========== ===========
    Diluted weighted average
     common and ordinary
     shares                   836,493,404 797,766,197 835,577,207 720,098,337
                              =========== =========== =========== ===========
    



    
                           Thomson Reuters Corporation
                   Consolidated Statement of Financial Position
                            (millions of U.S. dollars)
                                   (unaudited)
    

    
                                                  June 30,    December 31,
                                                    2009          2008
                                                    ----          ----
    Assets
    Cash and cash equivalents                      $1,572          $841
    Trade and other receivables                     1,746         1,818
    Other financial assets                            114           261
    Prepaid expenses and other current assets         658           766
                                                      ---           ---
    Current assets                                  4,090         3,686
    

    
    Computer hardware and other property, net       1,508         1,556
    Computer software, net                          1,398         1,299
    Other identifiable intangible assets, net       8,830         8,702
    Goodwill                                       18,640        18,324
    Other financial assets                            322           286
    Other non-current assets                          634           627
    Deferred tax                                       95           109
                                                       --           ---
    Total assets                                  $35,517       $34,589
                                                  =======       =======
    

    
    Liabilities and equity
    Liabilities
    Current indebtedness                             $735          $688
    Payables, accruals and provisions               2,450         2,704
    Deferred revenue                                1,183         1,193
    Other financial liabilities                        34            60
                                                       --            --
    Current liabilities                             4,402         4,645
    

    
    Long-term indebtedness                          7,255         6,783
    Provisions and other non-current liabilities    1,862         1,798
    Other financial liabilities                       193           222
    Deferred tax                                    2,686         2,653
                                                    -----         -----
    Total liabilities                              16,398        16,101
    

    
    Equity
    Capital                                        10,099        10,034
    Retained earnings                              10,678        10,650
    Accumulated other comprehensive loss           (1,728)       (2,268)
                                                   ------        ------
    Total shareholders' equity                     19,049        18,416
    Non-controlling interests                          70            72
                                                       --            --
    Total equity                                   19,119        18,488
                                                   ------        ------
    Total liabilities and equity                  $35,517       $34,589
                                                  =======       =======
    



    
                       Thomson Reuters Corporation
                       Consolidated Statement of Cash Flow
                      (millions of U.S. dollars) (unaudited)
    

    
                                          Three Months Ended  Six Months Ended
                                               June 30,            June 30,
                                        ------------------  ----------------
                                            2009      2008     2009      2008
                                            ----      ----     ----      ----
    Cash provided by (used in):
    Operating activities
    Net earnings                            $325      $154     $518      $349
    Add back (deduct) items not
     involving cash:
      Depreciation                           113       112      242       167
      Amortization of computer software      129       128      269       204
      Amortization of other intangible
       assets                                124       118      243       180
      Impairment of assets held for sale       -        89        -        89
      Deferred tax                           (75)      (99)     (66)     (140)
      Other                                  204        45      259       113
    Changes in working capital and
     other items                             186       340     (208)      222
                                             ---       ---     ----       ---
    Operating cash flows from
     continuing operations                 1,006       887    1,257     1,184
    Operating cash flows from
     discontinued operations                   -        (7)       -       (20)
                                              --        --       --       ---
    Net cash provided by operating
     activities                            1,006       880    1,257     1,164
                                           -----       ---    -----     -----
    

    
    Investing activities
    Acquisitions, less cash acquired         (25)   (8,147)     (45)   (8,270)
    Proceeds from other disposals,
     net of tax paid                           3         -        3       154
    Capital expenditures, less
     proceeds from disposals                (268)     (239)    (466)     (356)
    Other investing activities                 -        (4)      (1)       (7)
                                               -        --       --        --
    Investing cash flows from
     continuing operations                  (290)   (8,390)    (509)   (8,479)
    Investing cash flows from
     discontinued operations                   -         -       22       (60)
                                              --        --       --       ---
    Net cash used in investing
     activities                             (290)   (8,390)    (487)   (8,539)
                                            ----    ------     ----    ------
    

    
    Financing activities
    Proceeds from debt                         -     5,921      609     7,600
    Repayments of debt                      (189)   (4,679)    (192)   (5,079)
    Net borrowings (repayments) under
     short-term loan facilities                2    (1,426)      (8)   (1,072)
    Share repurchases                          -      (458)       -      (458)
    Dividends paid on preference
     shares                                    -        (1)      (1)       (3)
    Dividends paid on common and
     ordinary shares                        (226)     (144)    (454)     (270)
    Dividend payable assumed from
     Reuters Group PLC                         -      (246)       -      (246)
    Other financing activities                (3)      192       (5)      194
                                              --       ---       --       ---
    Net cash (used in) provided by
     financing activities                   (416)     (841)     (51)      666
                                            ----      ----      ---       ---
    

    
    Translation adjustments                   21       (82)      12         1
                                              --       ---       --         -
    Increase (decrease) in cash and
     cash equivalents                        321    (8,433)     731    (6,708)
    Cash and cash equivalents at
     beginning of period                   1,251     9,222      841     7,497
                                           -----     -----      ---     -----
    Cash and cash equivalents at end
     of period                            $1,572      $789   $1,572      $789
                                          ======      ====   ======      ====
    



    
                       Thomson Reuters Corporation
         Reconciliation of Net Cash Provided by Operating Activities
                           to Free Cash Flow(1)
                        (millions of U.S. dollars)
                                (unaudited)
    

    
                                     Three Months Ended   Six Months Ended
                                          June 30,             June 30,
                                          --------             --------
                                       2009       2008      2009       2008
                                       ----       ----      ----       ----
    Net cash provided by operating
     activities                      $1,006       $880    $1,257     $1,164
    Capital expenditures, less
     proceeds from disposals           (268)      (239)     (466)      (356)
    Other investing activities            -         (4)       (1)        (7)
    Investing activities of
     discontinued operations              -          -         -         (7)
    Dividends paid on preference
     shares                               -         (1)       (1)        (3)
                                         --         --        --         --
    Free cash flow (1)                 $738       $636      $789       $791
                                       ====       ====      ====       ====
    



    
    (1) Free cash flow is net cash provided by operating activities less
        capital expenditures, other investing activities, investing activities
        of discontinued operations and dividends paid on preference shares.
        Thomson Reuters uses free cash flow as a performance measure because
        it represents cash available to repay debt, pay dividends and fund
        share repurchases and new acquisitions.




    




For further information:

For further information: Fred Hawrysh, Senior Vice President, Corporate
Affairs, +1-646-223-5285, fred.hawrysh@thomsonreuters.com, or Frank Golden,
Senior Vice President, Investor Relations, +1-646-223-5288,
frank.golden@thomsonreuters.com, Victoria Brough Head of External Affairs,
EMEA, +44 (0) 207 542 8763, victoria.brough@thomsonreuters.com Web Site:
http://www.thomson.com


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