Morningstar, Inc. — Director's Dealing 2011

Aug 3, 2011

SEC Form 4 — Statement of Changes in Beneficial Ownership

Issuer: Morningstar, Inc. (MORN)
CIK: 0001289419
Period of Report: 2011-08-01

Reporting Person: Desmond Bevin (President, Int'l Division)

Non-Derivative Transactions

Date	Security	Code	Shares	Price	A/D	Holdings After	Ownership
2011-08-01	Common Stock	M	11851	$19.404	Acquired	76531	Direct
2011-08-01	Common Stock	S	11851	$60.5008	Disposed	64680	Direct
2011-08-01	Common Stock	M	1680	$19.404	Acquired	66360	Direct
2011-08-01	Common Stock	S	1680	$61.6924	Disposed	64680	Direct
2011-08-01	Common Stock	M	769	$19.404	Acquired	65449	Direct
2011-08-01	Common Stock	S	769	$62.3775	Disposed	64680	Direct
2011-08-01	Common Stock	M	8527	$19.404	Acquired	52816	Indirect
2011-08-01	Common Stock	S	8527	$60.502	Disposed	44289	Indirect
2011-08-01	Common Stock	M	1240	$19.404	Acquired	45529	Indirect
2011-08-01	Common Stock	S	1240	$61.6258	Disposed	44289	Indirect
2011-08-01	Common Stock	M	233	$19.404	Acquired	44522	Indirect
2011-08-01	Common Stock	S	233	$62.4067	Disposed	44289	Indirect
2011-08-01	Common Stock	M	2473	$10.95	Acquired	46762	Indirect
2011-08-01	Common Stock	S	2473	$60.502	Disposed	44289	Indirect
2011-08-01	Common Stock	M	360	$10.95	Acquired	44649	Indirect
2011-08-01	Common Stock	S	360	$61.6258	Disposed	44289	Indirect
2011-08-01	Common Stock	M	67	$10.95	Acquired	44356	Indirect
2011-08-01	Common Stock	S	67	$62.4067	Disposed	44289	Indirect

Derivative Transactions

Date	Security	Exercise Price	Code	Shares	A/D	Expiration	Underlying	Ownership
2011-08-01	Employee Stock Option (Right to Buy)	$19.404	M	14300	Disposed	2014-12-01	Common Stock (14300)	Direct
2011-08-01	Employee Stock Option (Right to Buy)	$19.404	M	10000	Disposed	2014-12-01	Common Stock (10000)	Indirect
2011-08-01	Employee Stock Option (Right to Buy)	$10.95	M	2900	Disposed	2012-05-01	Common Stock (2900)	Indirect

Footnotes

F1: The sales reported on this Form 4 were effected pursuant to a Rule 10b5-1 trading plan adopted by the reporting person on May 27, 2011.

F2: The exercise price increases over the term of the option at a rate equal to the 10-year Treasury bond yield as of the date of grant ($14.70). On August 1, 2011, the exercise price was $19.4040.

F3: The transaction was executed in multiple trades at prices ranging from $60.21 to $61.20. The price reported aboved reflects the weighted average sale price. The reporting person hereby undertakes to provide upon request to the SEC staff, Morningstar or a shareholder of Morningstar full information regarding the number of shares and prices at which the transaction was effected.

F4: The transaction was executed in multiple trades at prices ranging from $61.24 to $62.20. The price reported aboved reflects the weighted average sale price. The reporting person hereby undertakes to provide upon request to the SEC staff, Morningstar or a shareholder of Morningstar full information regarding the number of shares and prices at which the transaction was effected.

F5: The transaction was executed in multiple trades at prices ranging from $62.27 to $62.63. The price reported aboved reflects the weighted average sale price. The reporting person hereby undertakes to provide upon request to the SEC staff, Morningstar or a shareholder of Morningstar full information regarding the number of shares and prices at which the transaction was effected.

F6: The transaction was executed in multiple trades at prices ranging from $62.28 to $62.48. The price reported aboved reflects the weighted average sale price. The reporting person hereby undertakes to provide upon request to the SEC staff, Morningstar or a shareholder of Morningstar full information regarding the number of shares and prices at which the transaction was effected.

F7: The options became exercisable in 4 equal installments on May 1, 2005, 2006, 2007, and 2008.

F8: The options became exercisable in 4 equal installments on May 1, 2003, 2004, 2005, and 2006.