McGraw-Hill To Reorganize Old Monchik-Weber Group After Disappearance Of Imnet Business

Imnet was the largest and most visible client of the Ticker III feed from Standard & Poor's Financial Systems and Trading Services unit, formerly Monchik-Weber Corp. Following the loss of the Imnet business, S&P FSTS will be reorganized, extracted from S&P, and assigned to a new company within parent McGraw-Hill, Inc.

"McGraw-Hill is viewing this as an opportunity to revisit its wholesale ticker sales," says a source. The sudden disappearance of Imnet as a customer called into question the survivability of Ticker III as a product, the source says, and consequently of McGraw-Hill's not inconsiderable investment in Monchik-Weber. Growth suffered, apparently, because many prospective customers viewed FSTS as a captive supplier of Imnet.

The debut of McGraw-Hill's new Information Management Company is imminent as we go to press. Company officials decline comment on their plans, but a source says the new unit's mission is to focus on the chief information officers of large corporations.

IMC will comprise not only the FSTS ticker business, but also McGraw-Hill Cable, a partner in Xpress Information Services (MTR, July 1986), and the firm's corporate information systems and technology group. Its president will be Richard Shriver, currently corporate senior vice president, information systems and technology. One of Shriver's first targets at FSTS will be cost control. Ticker III has a reputation as a quality feed, but many think it's overpriced. FSTS is expected to reemphasize its wholesale business -- including provision of customized feeds -- and to be more selective about its retail software business. To cut delivery costs for Ticker III, FSTS is said to be close to a redistribution deal with Omaha-based Market Information, Inc. MII officials couldn't be reached for confirmation.