content_image/204241.jpg content_image/204242.jpg
## Consolidated Revenue 

In 2010, our consolidated revenue increased 15.9% to $555.4 million. We had $47.9 million in incremental revenue from acquisitions dur- ing the year, mainly reflecting additional revenue from Logical Information Machines, Inc. (LIM), Realpoint LLC (Realpoint), Old Broad Street Research Ltd. (OBSR), and Intech Pty Limited (Intech). Acquisitions contributed about 10 percentage points to our con- solidated revenue growth. 

Excluding acquisitions and the impact of foreign currency transla- tions, consolidated revenue increased by about $24.1 million, or 5.0%, in 2010. Higher revenue from Morningstar.com advertising sales, Morningstar Direct, and Licensed Data were the main drivers behind the revenue increase. These positive factors—as well as smaller contributions from advisor software and our Investment Management products—helped offset the loss of revenue associ- ated with the Global Analyst Research Settlement (GARS), which ended in July 2009. We had equity research revenue of $12.5 million related to GARS in 2009 that did not recur in 2010. 

In 2009, our consolidated revenue decreased 4.7% to $479.0 million. 

We had about $29.6 million in incremental revenue from acquisitions during the year, mainly reflecting additional revenue from Tenfore Systems Limited (Tenfore, now referred to as Real-Time Data) as well as 10-K Wizard Technology, LLC (10-K Wizard), the equity research and data business from C.P.M.S. (CPMS), Intech (now referred to as Ibbotson Australia), Fundamental Data Limited (Fundamental Data), and others. However, this was more than off- set by lower organic revenue, largely reflecting a drop in revenue from Investment Consulting as well as lower Equity Research rev- enue related to GARS in the second half of 2009. Investment Consulting revenue declined because two clients did not renew their contracts, one in October 2008 and the other in May 2009. 

<img src='content_image/204241.jpg'>

The tables below reconcile consolidated revenue with organic rev- enue (revenue excluding acquisitions and the impact of foreign currency translations): 

<img src='content_image/204242.jpg'>

