Financial Information for Parent Guarantor, Other Guarantor Subsidiaries and Non Guarantor Subsidiaries (Tables)

6 Months Ended

Jun. 30, 2011

Financial Information for Parent Guarantor, Other Guarantor Subsidiaries and Non Guarantor Subsidiaries (Tables) [Abstract]

Condensed Consolidating Statement of Operations

	Three months ended June 30, 2011
	Willis
	Group			The Other									Consolidating
	Holdings			Guarantors			The Issuer			Other			adjustments			Consolidated
	(millions)
REVENUES
Commissions and fees	$	—		$	—		$	—		$	854		$	—		$	854
Investment income		—			3			1			7			(3	)		8
Other income		—			—			—			24			(23	)		1
Total revenues		—			3			1			885			(26	)		863
EXPENSES
Salaries and benefits		—			—			—			(523	)		17			(506	)
Other operating expenses		—			1			(48	)		(119	)		2			(164	)
Depreciation expense		—			—			(3	)		(16	)		—			(19	)
Amortization of intangible assets		—			—			—			(22	)		5			(17	)
Total expenses		—			1			(51	)		(680	)		24			(706	)
OPERATING INCOME (LOSS)		—			4			(50	)		205			(2	)		157
Investment income from Group undertakings		1			137			110			40			(288	)		—
Interest expense		(10	)		(60	)		(37	)		(102	)		175			(34	)
(LOSS) INCOME BEFORE INCOME TAXES AND INTEREST IN EARNINGS OF ASSOCIATES		(9	)		81			23			143			(115	)		123
Income taxes		2			2			1			(39	)		3			(31	)
(LOSS) INCOME BEFORE INTEREST IN EARNINGS OF ASSOCIATES		(7	)		83			24			104			(112	)		92
Interest in earnings of associates, net of tax		—			—			—			(5	)		2			(3	)
(LOSS) NET INCOME		(7	)		83			24			99			(110	)		89
Less: Net income attributable to noncontrolling interests		—			—			—			(4	)		—			(4	)
EQUITY ACCOUNT FOR SUBSIDIARIES		92			9			(42	)		—			(59	)		—
NET INCOME (LOSS) ATTRIBUTABLE TO WILLIS GROUP HOLDINGS	$	85		$	92		$	(18	)	$	95		$	(169	)	$	85

	Three months ended June 30, 2010
	Willis
	Group			The Other									Consolidating
	Holdings			Guarantors			The Issuer			Other			adjustments			Consolidated
	(millions)
REVENUES
Commissions and fees	$	—		$	—		$	—		$	789		$	—		$	789
Investment income		—			2			—			13			(5	)		10
Total revenues		—			2			—			802			(5	)		799
EXPENSES
Salaries and benefits		—			—			—			(466	)		10			(456	)
Other operating expenses		369			8			(61	)		(436	)		(15	)		(135	)
Depreciation expense		—			—			(2	)		(14	)		—			(16	)
Amortization of intangible assets		—			—			—			(21	)		—			(21	)
Net gain on disposal of operations		—			—			—			2,433			(2,435	)		(2	)
Total expenses		369			8			(63	)		1,496			(2,440	)		(630	)
OPERATING INCOME (LOSS)		369			10			(63	)		2,298			(2,445	)		169
Investment income from Group undertakings		—			218			117			65			(400	)		—
Interest expense		—			(79	)		(38	)		(154	)		230			(41	)
INCOME BEFORE INCOME TAXES AND INTEREST IN EARNINGS OF ASSOCIATES		369			149			16			2,209			(2,615	)		128
Income taxes		—			(7	)		16			(45	)		1			(35	)
INCOME BEFORE INTEREST IN EARNINGS OF ASSOCIATES		369			142			32			2,164			(2,614	)		93
Interest in earnings of associates, net of tax		—			—			—			(6	)		4			(2	)
NET INCOME		369			142			32			2,158			(2,610	)		91
Less: Net income attributable to noncontrolling interests		—			—			—			—			(2	)		(2	)
EQUITY ACCOUNT FOR SUBSIDIARIES		(280	)		97			(35	)		—			218			—
NET INCOME (LOSS) ATTRIBUTABLE TO WILLIS GROUP HOLDINGS	$	89		$	239		$	(3	)	$	2,158		$	(2,394	)	$	89

	Six months ended June 30, 2011
	Willis
	Group			The Other									Consolidating
	Holdings			Guarantors			The Issuer			Other			adjustments			Consolidated
	(millions)
REVENUES
Commissions and fees	$	—		$	—		$	—		$	1,854		$	—		$	1,854
Investment income		—			6			1			15			(6	)		16
Other income		—			—			—			24			(23	)		1
Total revenues		—			6			1			1,893			(29	)		1,871
EXPENSES
Salaries and benefits		—			—			—			(1,116	)		26			(1,090	)
Other operating expenses		1			25			(93	)		(253	)		3			(317	)
Depreciation expense		—			—			(7	)		(32	)		—			(39	)
Amortization of intangible assets		—			—			—			(39	)		5			(34	)
Net gain on disposal of operations		—			—			—			6			(2	)		4
Total expenses		1			25			(100	)		(1,434	)		32			(1,476	)
OPERATING INCOME (LOSS)		1			31			(99	)		459			3			395
Investment income from Group undertakings		35			218			173			33			(459	)		—
Make-whole on repurchase and redemption of senior notes and write-off of unamortized debt issuance costs		—			(171	)		—			—			—			(171	)
Interest expense		(12	)		(125	)		(73	)		(208	)		344			(74	)
INCOME (LOSS) BEFORE INCOME TAXES AND INTEREST IN EARNINGS OF ASSOCIATES		24			(47	)		1			284			(112	)		150
Income taxes		2			45			14			(89	)		(4	)		(32	)
INCOME (LOSS) BEFORE INTEREST IN EARNINGS OF ASSOCIATES		26			(2	)		15			195			(116	)		118
Interest in earnings of associates, net of tax		—			—			—			9			4			13
NET INCOME (LOSS)		26			(2	)		15			204			(112	)		131
Less: Net income attributable to noncontrolling interests		—			—			—			(12	)		—			(12	)
EQUITY ACCOUNT FOR SUBSIDIARIES		93			133			(37	)		—			(189	)		—
NET INCOME (LOSS) ATTRIBUTABLE TO WILLIS GROUP HOLDINGS	$	119		$	131		$	(22	)	$	192		$	(301	)	$	119

	Six months ended June 30, 2010
	Willis
	Group			The Other									Consolidating
	Holdings			Guarantors			The Issuer			Other			adjustments			Consolidated
	(millions)
REVENUES
Commissions and fees	$	—		$	—		$	—		$	1,752		$	—		$	1,752
Investment income		—			5			1			18			(5	)		19
Total revenues		—			5			1			1,770			(5	)		1,771
EXPENSES
Salaries and benefits		—			—			—			(957	)		15			(942	)
Other operating expenses		565			(26	)		(59	)		(730	)		(34	)		(284	)
Depreciation expense		—			—			(4	)		(27	)		—			(31	)
Amortization of intangible assets		—			—			—			(42	)		—			(42	)
Net gain (loss) on disposal of operations		—			—			—			2,435			(2,437	)		(2	)
Total expenses		565			(26	)		(63	)		679			(2,456	)		(1,301	)
OPERATING INCOME (LOSS)		565			(21	)		(62	)		2,449			(2,461	)		470
Investment income from Group undertakings		—			551			173			488			(1,212	)		—
Interest expense		—			(211	)		(80	)		(211	)		418			(84	)
INCOME BEFORE INCOME TAXES AND INTEREST IN EARNINGS OF ASSOCIATES		565			319			31			2,726			(3,255	)		386
Income taxes		—			(4	)		9			(119	)		12			(102	)
INCOME BEFORE INTEREST IN EARNINGS OF ASSOCIATES		565			315			40			2,607			(3,243	)		284
Interest in earnings of associates, net of tax		—			—			—			14			4			18
NET INCOME		565			315			40			2,621			(3,239	)		302
Less: Net income attributable to noncontrolling interests		—			—			—			(3	)		(6	)		(9	)
EQUITY ACCOUNT FOR SUBSIDIARIES		(272	)		132			(30	)		—			170			—
NET INCOME ATTRIBUTABLE TO WILLIS GROUP HOLDINGS	$	293		$	447		$	10		$	2,618		$	(3,075	)	$	293

Condensed Consolidating Balance Sheet

	As at June 30, 2011
	Willis
	Group			The Other			The					Consolidating
	Holdings			Guarantors			Issuer		Other			adjustments			Consolidated
	(millions)
ASSETS
CURRENT ASSETS
Cash and cash equivalents	$	—		$	—		$	87	$	230		$	—		$	317
Accounts receivable		—			—			—		1,021			28			1,049
Fiduciary assets		—			—			—		11,919			(663	)		11,256
Deferred tax assets		—			—			—		32			—			32
Other current assets		3			138			37		434			(285	)		327
Total current assets		3			138			124		13,636			(920	)		12,981
Investments in subsidiaries		(911	)		4,031			1,423		3,875			(8,418	)		—
Amounts owed by (to) Group undertakings		4,462			(5,193	)		882		(151	)		—			—
NON-CURRENT ASSETS
Fixed assets		—			—			58		335			(2	)		391
Goodwill		—			—			—		1,699			1,618			3,317
Other intangible assets		—			—			—		477			(16	)		461
Investments in associates		—			—			—		(45	)		231			186
Deferred tax assets		—			—			—		7			2			9
Pension benefits asset		—			—			—		231			—			231
Other non-current assets		6			139			48		172			—			365
Total non-current assets		6			139			106		2,876			1,833			4,960
TOTAL ASSETS	$	3,560		$	(885	)	$	2,535	$	20,236		$	(7,505	)	$	17,941
LIABILITIES AND STOCKHOLDERS’ EQUITY
CURRENT LIABILITIES
Fiduciary liabilities	$	—		$	—		$	—	$	11,919		$	(663	)	$	11,256
Deferred revenue and accrued expenses		1			—			—		322			—			323
Income taxes payable		—			51			—		107			(108	)		50
Short-term debt		—			—			110		4			—			114
Deferred tax liabilities		—			1			—		21			—			22
Other current liabilities		58			14			57		222			(33	)		318
Total current liabilities		59			66			167		12,595			(804	)		12,083
NON-CURRENT LIABILITIES
Long-term debt		794			—			1,513		—			—			2,307
Liabilities for pension benefits		—			—			—		150			—			150
Deferred tax liabilities		—			2			28		81			—			111
Provisions for liabilities		—			—			—		188			(4	)		184
Other non-current liabilities		—			5			12		350			—			367
Total non-current liabilities		794			7			1,553		769			(4	)		3,119
TOTAL LIABILITIES	$	853		$	73		$	1,720	$	13,364		$	(808	)	$	15,202
EQUITY
Total Willis Group Holdings stockholders’ equity		2,707			(958	)		815		6,840			(6,697	)		2,707
Noncontrolling interests		—			—			—		32			—			32
Total equity		2,707			(958	)		815		6,872			(6,697	)		2,739
TOTAL LIABILITIES AND EQUITY	$	3,560		$	(885	)	$	2,535	$	20,236		$	(7,505	)	$	17,941

	As at December 31, 2010
	Willis
	Group			The Other			The					Consolidating
	Holdings			Guarantors			Issuer		Other			adjustments			Consolidated
	(millions)
ASSETS
CURRENT ASSETS
Cash and cash equivalents	$	—		$	—		$	76	$	240		$	—		$	316
Accounts receivable		2			—			—		809			28			839
Fiduciary assets		—			—			—		10,167			(598	)		9,569
Deferred tax assets		—			—			1		35			—			36
Other current assets		—			23			57		293			(33	)		340
Total current assets		2			23			134		11,544			(603	)		11,100
Investments in subsidiaries		(1,039	)		3,814			1,455		3,855			(8,085	)		—
Amounts owed by (to) Group undertakings		3,659			(4,590	)		1,002		(71	)		—			—
NON-CURRENT ASSETS
Fixed assets		—			—			52		330			(1	)		381
Goodwill		—			—			—		1,696			1,598			3,294
Other intangible assets		—			—			—		492			—			492
Investments in associates		—			—			—		(51	)		212			161
Deferred tax assets		—			—			—		7			—			7
Pension benefits asset		—			—			—		179			—			179
Other non-current assets		—			166			41		149			(123	)		233
Total non-current assets		—			166			93		2,802			1,686			4,747
TOTAL ASSETS	$	2,622		$	(587	)	$	2,684	$	18,130		$	(7,002	)	$	15,847
LIABILITIES AND STOCKHOLDERS’ EQUITY
CURRENT LIABILITIES
Fiduciary liabilities	$	—		$	—		$	—	$	10,167		$	(598	)	$	9,569
Deferred revenue and accrued expenses		1			—			—		297			—			298
Income taxes payable		—			—			—		69			(12	)		57
Short-term debt		—			—			110		—			—			110
Deferred tax liabilities		—			3			1		5			—			9
Other current liabilities		44			15			38		189			(20	)		266
Total current liabilities		45			18			149		10,727			(630	)		10,309
NON-CURRENT LIABILITIES
Long-term debt		—			500			1,653		4			—			2,157
Liabilities for pension benefits		—			—			—		164			—			164
Deferred tax liabilities		—			3			26		54			—			83
Provisions for liabilities		—			—			—		183			(4	)		179
Other non-current liabilities		—			10			16		321			—			347
Total non-current liabilities		—			513			1,695		726			(4	)		2,930
TOTAL LIABILITIES	$	45		$	531		$	1,844	$	11,453		$	(634	)	$	13,239
EQUITY
Total Willis Group Holdings stockholders’ equity		2,577			(1,118	)		840		6,646			(6,368	)		2,577
Noncontrolling interests		—			—			—		31			—			31
Total equity		2,577			(1,118	)		840		6,677			(6,368	)		2,608
TOTAL LIABILITIES AND EQUITY	$	2,622		$	(587	)	$	2,684	$	18,130		$	(7,002	)	$	15,847

Condensed Consolidating Statement of Cash Flows

	Six months ended June 30, 2011
	Willis
	Group			The Other									Consolidating
	Holdings			Guarantors			The Issuer			Other			adjustments			Consolidated
	(millions)
NET CASH PROVIDED BY (USED IN) OPERATING ACTIVITIES	$	3		$	76		$	54		$	140		$	(147	)	$	126
CASH FLOWS FROM INVESTING ACTIVITIES
Proceeds on disposal of fixed and intangible assets		—			—			—			5			—			5
Additions to fixed assets		—			—			(13	)		(34	)		—			(47	)
Acquisitions of subsidiaries, net of cash acquired		—			—			—			(4	)		—			(4	)
Acquisitions of investments in associates		—			—			—			(2	)		—			(2	)
Investment in Trident V Parallel Fund, LP		—			—			—			(4	)		—			(4	)
Net cash used in investing activities		—			—			(13	)		(39	)		—			(52	)
CASH FLOWS FROM FINANCING ACTIVITIES
Proceeds from draw down of revolving credit facility		—			—			(90	)		—			—			(90	)
Senior notes issued		794			—			—			—			—			794
Debt issuance costs		(7	)		—			—			—			—			(7	)
Repayments of debt		—			(500	)		(55	)		—			—			(555	)
Make-whole on repurchase and redemption of senior notes		—			(158	)		—			—			—			(158	)
Proceeds from issue of shares		42			—			—			—			—			42
Amounts owed by and to Group undertakings		(742	)		590			115			37			—			—
Excess tax benefits from share-based payment arrangements		—			—			—			4			—			4
Dividends paid		(90	)		—			—			(147	)		147			(90	)
Acquisition of noncontrolling interests		—			(8	)		—			(1	)		—			(9	)
Dividends paid to noncontrolling interests		—			—			—			(12	)		—			(12	)
Net cash used in financing activities		(3	)		(76	)		(30	)		(119	)		147			(81	)
INCREASE (DECREASE) IN CASH AND CASH EQUIVALENTS		—			—			11			(18	)		—			(7	)
Effect of exchange rate changes on cash and cash equivalents		—			—			—			8			—			8
CASH AND CASH EQUIVALENTS, BEGINNING OF PERIOD		—			—			76			240			—			316
CASH AND CASH EQUIVALENTS, END OF PERIOD	$	—		$	—		$	87		$	230		$	—		$	317

	Six months ended June 30, 2010(i)
	Willis
	Group			The Other									Consolidating
	Holdings			Guarantors			The Issuer			Other			adjustments			Consolidated
							(millions)
NET CASH PROVIDED BY (USED IN) OPERATING ACTIVITIES	$	569		$	321		$	42		$	(22	)	$	(756	)	$	154
CASH FLOWS FROM INVESTING ACTIVITIES
Proceeds on disposal of fixed and intangible assets		—			—			—			4			—			4
Additions to fixed assets		—			—			(13	)		(32	)		—			(45	)
Acquisitions of subsidiaries, net of cash acquired		—			—			—			(15	)		—			(15	)
Acquisitions of investments in associates		—			—			—			(1	)		—			(1	)
Net cash used in investing activities		—			—			(13	)		(44	)		—			(57	)
CASH FLOWS FROM FINANCING ACTIVITIES
Proceeds from draw down of revolving credit facility		—			—			30			—			—			30
Repayments of debt		—			—			(61	)		(9	)		—			(70	)
Proceeds from issue of shares		17			—			—			—			—			17
Amounts owed by and to Group undertakings		(542	)		(189	)		(21	)		752			—			—
Excess tax benefits from share-based payment arrangements		—			—			—			1			—			1
Dividends paid		(44	)		(132	)		—			(669	)		756			(89	)
Acquisition of noncontrolling interests		—			—			—			(4	)		—			(4	)
Dividends paid to noncontrolling interests		—			—			—			(22	)		—			(22	)
Net cash (used in) provided by financing activities		(569	)		(321	)		(52	)		49			756			(137	)
(DECREASE) INCREASE IN CASH AND CASH EQUIVALENTS		—			—			(23	)		(17	)		—			(40	)
Effect of exchange rate changes on cash and cash equivalents		—			—			—			(14	)		—			(14	)
CASH AND CASH EQUIVALENTS, BEGINNING OF PERIOD		—			—			104			117			—			221
CASH AND CASH EQUIVALENTS, END OF PERIOD	$	—		$	—		$	81		$	86		$	—		$	167