NYUONLINE AND MCGRAW-HILL ANNOUNCE STRATEGIC PARTNERSHIP FOR CORPORATE LEARNING

ik24@is9.nyu.edu

April Hattori, McGraw-Hill 212) 904-2078 april_hattori@mcgraw-hill.com

MCGRAW-HILL TO PROVIDE CHANNEL OF DISTRIBUTION FOR NYUONLINE COURSES

New York, NY, May 10, 2000 -- NYUonline, the first for-profit e-learning venture created by a major university, and McGraw-Hill, the world’s leading textbook publisher, today announced that they have signed a strategic partnership agreement. Under the agreement, McGraw-Hill will distribute NYUonline’s courses to the corporate marketplace. In addition, McGraw-Hill will publish all print-based materials that will accompany NYUonline’s courses.

The corporate learning market is a primary target for NYUonline. Today, thousands of organizations are providing training to their employees through “corporate universities”; more than one third are using the Internet to facilitate learning within the company. In 1998, the size of the U.S. corporate e-learning market was $550 million, and it is projected to grow to $11.4 billion by 2003. As part of the partnership, NYUonline and McGraw-Hill will offer corporations certificated business management online-courseware, as well as customized solutions to meet client corporations’ business education and training needs.

NYUonline’s first program, the Certificate in Management Techniques, was introduced in February 2000. This fall, NYUonline will add many other certificates and courses to the list, including critical information technology, e-business, and e-commerce classes, as well as programs in marketing, foreign languages, public relations, healthcare, finance, law and real estate. NYUonline will also develop and market a new Masters of Science Degree in Management and Systems.

“This partnership represents a sizable global opportunity for NYUonline to work with one of the world’s leading and most respected publishing, financial, information and media services companies in order to distribute and develop the highest quality web-enabled e-learning solutions,” said Gordon Macomber, president and CEO of NYUonline. “The online education and training market is poised for mega growth and McGraw-Hill Lifetime Learning and NYUonline have partnered to become the global leader. The NYUonline e-learning system is unique and has been created by some of the best minds in the education field. Our corporate clients will find the NYUonline programs and courses to be phenomenally applicable, compelling and engaging.”

“New York University enjoys a global reputation for educational excellence, and now NYUonline brings the benefits of one of the best continuing education programs in the world to a new group of online learners,” noted Robert E. Evanson, president of McGraw-Hill Educational and Professional Publishing Group. “We feel that through our Lifetime Learning and Higher Education businesses, we’ll be able to bring outstanding online education to a wider array of individuals and corporations domestically, and through our international channels of distribution. In addition, this new alliance will provide users access to other business-related McGraw-Hill products and services, including those from Standard & Poor’s and Business Week.”

NYUonline courses will enrich the product line of McGraw-Hill, which under the imprint of Xebec/McGraw-Hill, provides a comprehensive library of Web-based, intranet, and CD courses covering a wide variety of business skills, including senior management level courses developed in partnership with PriceWaterhouseCoopers. Xebec/McGraw-Hill training courses are used in top multinational companies worldwide, including Chase Bank, Lufthansa, Fleet Bank, British Airways, Siemens, Telecom Italia, and France Telecom.

The McGraw-Hill Companies (NYSE: MHP) is a leading information services provider meeting worldwide needs in education, business, finance, the professions, and government. Founded in 1888, the Corporation today provides information and analysis in multiple media through its rich portfolio of valuable brands, including Standard and Poor’s (S&P) and Business Week. Sales in 1999 were approximately $4 billion.

Founded in 1998, NYUonline, Inc. (NYUonline.com) was the first for-profit educational subsidiary by a major American university. NYUonline’s education products are both for-credit degree programs and non-credit certificates programs marketed to “corporate universities” and other corporate training programs, individuals interested in continuing professional education, and to educational institutions that do not have the capacity to offer online education. NYUonline courses are fully asynchronous (anytime, anywhere) courses with a rich assortment of complimentary media assets. NYUonline is working with various NYU schools, departments, institutes and faculty members to develop content for the online courses. Respected leaders in their fields teach all NYUonline courses.

05/16/00