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Guarantee of Registered Securities (Tables)
12 Months Ended
Dec. 31, 2012
Guarantee of Registered Securities  
Condensed Consolidating Statement of Income

 

 
  Year Ended December 31, 2012  
(millions)
  Aon plc
  Aon Corporation
  Other
Non-Guarantor
Subsidiaries

  Consolidating
Adjustments

  Consolidated
 
   

Revenue

                               

Commissions, fees and other

  $ 2   $ 1   $ 11,474   $ (1 ) $ 11,476  

Fiduciary investment income

    —     1     37     —     38  
   

Total revenue

    2     2     11,511     (1 )   11,514  
   

Expenses

                               

Compensation and benefits

    117     24     6,568     —     6,709  

Other general expenses

    18     47     3,145     (1 )   3,209  
   

Total operating expenses

    135     71     9,713     (1 )   9,918  
   

Operating (loss) income

    (133 )   (69 )   1,798     —     1,596  

Interest income

    —     1     9     —     10  

Interest expense

    —     (164 )   (64 )   —     (228 )

Intercompany interest (expense) income

    (19 )   190     (171 )   —     —  

Other income

    —     57     (54 )   —     3  
   

(Loss) income from continuing operations before income taxes

    (152 )   15     1,518     —     1,381  

Income tax (benefit) expense

    (37 )   8     389     —     360  
   

(Loss) income from continuing operations

    (115 )   7     1,129     —     1,021  
   

Loss from discontinued operations before taxes

    —     —     (1 )   —     (1 )

Income tax expense

    —     —     —     —     —  
   

Loss from discontinued operations

    —     —     (1 )   —     (1 )
   

Equity in earnings of subsidiaries, net of tax

    1,108     988     995     (3,091 )   —  
   

Net income

    993     995     2,123     (3,091 )   1,020  
   

Less: Net income attributable to noncontrolling interests

    —     —     27     —     27  
   

Net income attributable to Aon shareholders

  $ 993   $ 995   $ 2,096   $ (3,091 ) $ 993  
   

 

 
  Year Ended December 31, 2011  
(millions)
  Aon plc
  Aon Corporation
  Other
Non-Guarantor
Subsidiaries

  Consolidating
Adjustments

  Consolidated
 
   

Revenue

                               

Commissions, fees and other

  $ —   $ —   $ 11,236   $ (1 ) $ 11,235  

Fiduciary investment income

    —     2     50     —     52  
   

Total revenue

    —     2     11,286     (1 )   11,287  
   

Expenses

                               

Compensation and benefits

    —     118     6,449     —     6,567  

Other general expenses

    —     47     3,078     (1 )   3,124  
   

Total operating expenses

    —     165     9,527     (1 )   9,691  
   

Operating (loss) income

    —     (163 )   1,759     —     1,596  

Interest income

    —     4     14     —     18  

Interest expense

    —     (171 )   (74 )   —     (245 )

Intercompany interest income (expense)

    —     180     (180 )   —     —  

Other (expense) income

    —     32     (17 )   —     15  
   

(Loss) income from continuing operations before income taxes

    —     (118 )   1,502     —     1,384  

Income tax (benefit) expense

    —     (43 )   421     —     378  
   

(Loss) income from continuing operations

    —     (75 )   1,081     —     1,006  
   

Income from discontinued operations before taxes

    —     5     —     —     5  

Income tax expense

    —     1     —     —     1  
   

Income from discontinued operations

    —     4     —     —     4  
   

Equity in earnings of subsidiaries, net of tax

    979     921     850     (2,750 )   —  
   

Net income

    979     850     1,931     (2,750 )   1,010  
   

Less: Net income attributable to noncontrolling interests

    —     —     31     —     31  
   

Net income attributable to Aon shareholders

  $ 979   $ 850   $ 1,900   $ (2,750 ) $ 979  
   

 

 
  Year Ended December 31, 2010  
(millions)
  Aon plc
  Aon Corporation
  Other
Non-Guarantor
Subsidiaries

  Consolidating
Adjustment

  Consolidated
 
   

Revenue

                               

Commissions, fees and other

  $ —   $ —   $ 8,459   $ (2 ) $ 8,457  

Fiduciary investment income

    —     15     40     —     55  
   

Total revenue

    —     15     8,499     (2 )   8,512  
   

Expenses

                               

Compensation and benefits

    —     47     5,050     —     5,097  

Other general expenses

    —     50     2,123     (2 )   2,171  
   

Total operating expenses

    —     97     7,173     (2 )   7,268  
   

Operating (loss) income

    —     (82 )   1,326     —     1,244  

Interest income

    —     7     8     —     15  

Interest expense

    —     (105 )   (77 )         (182 )

Intercompany interest income (expense)

    —     133     (133 )         —  

Other (expense) income

    —     14     (32 )         (18 )
   

(Loss) income from continuing operations before taxes

    —     (33 )   1,092     —     1,059  

Income tax (benefit) expense

    —     (14 )   314     —     300  
   

(Loss) income from continuing operations

    —     (19 )   778     —     759  
   

Loss from discontinued operations before taxes

    —     (39 )   —     —     (39 )

Income tax benefit

    —     (12 )   —     —     (12 )
   

Loss from discontinued operations

    —     (27 )   —     —     (27 )
   

Equity in earnings of subsidiaries, net of tax

    706     622     576     (1,904 )   —  
   

Net income

    706     576     1,354     (1,904 )   732  
   

Less: Net income attributable to noncontrolling interests

    —     —     26     —     26  
   

Net income attributable to Aon shareholders

  $ 706   $ 576   $ 1,328   $ (1,904 ) $ 706  
   
Condensed Consolidating Statement of Comprehensive Income

 

 
  Year Ended December 31, 2012  
(millions)
  Aon plc
  Aon Corporation
  Other
Non-Guarantor
Subsidiaries

  Consolidating
Adjustments

  Consolidated
 
   

Net income

  $ 993   $ 995   $ 2,123   $ (3,091 ) $ 1,020  

Less: Net income attributable to noncontrolling interests

    —     —     27     —     27  
   

Net income attributable to Aon shareholders

  $ 993   $ 995   $ 2,096   $ (3,091 ) $ 993  

Other comprehensive income, net of tax:

                               

Change in fair value of derivatives

    —     2     7     —     9  

Foreign currency translation adjustments

    —     24     85     —     109  

Post-retirement benefit obligation

    —     (67 )   (291 )   —     (358 )
   

Total other comprehensive loss

    —     (41 )   (199 )   —     (240 )

Equity in other comprehensive (loss) income of subsidiaries, net of tax

    (240 )   (200 )   (241 )   681     —  

Less: Other comprehensive income attributable to noncontrolling interests

    —     —     —     —     —  
   

Total other comprehensive loss attributable to Aon shareholders

    (240 )   (241 )   (440 )   681     (240 )
   

Comprehensive income attributable to Aon shareholders

  $ 753   $ 754   $ 1,656   $ (2,410 ) $ 753  
   

 

 
  Year Ended December 31, 2011  
(millions)
  Aon plc
  Aon Corporation
  Other
Non-Guarantor
Subsidiaries

  Consolidating Adjustments
  Consolidated
 
   

Net income

  $ 979   $ 850   $ 1,931   $ (2,750 ) $ 1,010  

Less: Net income attributable to noncontrolling interests

    —     —     31     —     31  
   

Net income attributable to Aon shareholders

  $ 979   $ 850   $ 1,900   $ (2,750 ) $ 979  

Other comprehensive income, net of tax:

                               

Change in fair value of derivatives

    —     —     (13 )   —     (13 )

Foreign currency translation adjustments

    —     (6 )   (37 )   —     (43 )

Post-retirement benefit obligation

    —     (173 )   (223 )   —     (396 )
   

Total other comprehensive loss

    —     (179 )   (273 )   —     (452 )

Equity in other comprehensive (loss) income of subsidiaries, net of tax

    (453 )   (277 )   (456 )   1,186     —  

Less: Other comprehensive income attributable to noncontrolling interests

    —     —     1     —     1  
   

Total other comprehensive loss attributable to Aon shareholders

    (453 )   (456 )   (730 )   1,186     (453 )
   

Comprehensive income attributable to Aon shareholders

  $ 526   $ 394   $ 1,170   $ (1,564 ) $ 526  
   

 

 
  Year Ended December 31, 2010  
(millions)
  Aon plc
  Aon
Corporation

  Other
Non-Guarantor
Subsidiaries

  Consolidating
Adjustments

  Consolidated
 
   

Net income

  $ 706   $ 576   $ 1,354   $ (1,904 ) $ 732  

Less: Net income attributable to noncontrolling interests

    —     —     26     —     26  
   

Net income attributable to Aon shareholders

  $ 706   $ 576   $ 1,328   $ (1,904 ) $ 706  

Other comprehensive income, net of tax:

                               

Change in in accounting principle

    —     (44 )   —     —     (44 )

Change in fair value of derivatives

    —     (17 )   (7 )   —     (24 )

Foreign currency translation adjustments

    —     125     (260 )   —     (135 )

Post-retirement benefit obligation

    —     (62 )   21     —     (41 )
   

Total other comprehensive income (loss)

    —     2     (246 )   —     (244 )

Equity in other comprehensive (loss) income of subsidiaries, net of tax

    (242 )   (231 )   (229 )   702     —  

Less: Other comprehensive income attributable to noncontrolling interests

    —     —     (2 )   —     (2 )
   

Total other comprehensive loss attributable to Aon shareholders

    (242 )   (229 )   (473 )   702     (242 )
   

Comprehensive income attributable to Aon shareholders

  $ 464   $ 347   $ 855   $ (1,202 ) $ 464  
   
Condensed Consolidating Statement of Financial Position

 

 
  As of December 31, 2012  
(millions)
  Aon plc
  Aon
Corporation

  Other
Non-Guarantor
Subsidiaries

  Consolidating
Adjustments

  Consolidated
 
   

ASSETS

                               

Cash and cash equivalents

 
$

131
 
$

199
 
$

(39

)

$

—
 
$

291
 

Short-term investments

    —     89     257     —     346  

Receivables, net

    5     1     3,095     —     3,101  

Fiduciary assets

    —     —     12,214     —     12,214  

Intercompany receivables

    —     2,092     3,545     (5,637 )   —  

Other current assets

    7     53     370     —     430  
   

Total Current Assets

    143     2,434     19,442     (5,637 )   16,382  

Goodwill

    —     —     8,943     —     8,943  

Intangible assets, net

    —     —     2,975     —     2,975  

Fixed assets, net

    —     —     820     —     820  

Investments

    —     49     116     —     165  

Deferred tax assets

    117     620     266     (718 )   285  

Intercompany receivables

    166     1,997     2,350     (4,513 )   —  

Other non-current assets

    —     115     908     (107 )   916  

Investments in subsidiary

    10,398     10,522     8,322     (29,242 )   —  
   

TOTAL ASSETS

  $ 10,824   $ 15,737   $ 44,142   $ (40,217 ) $ 30,486  
   

LIABILITIES AND EQUITY

                               

Fiduciary liabilities

 
$

—
 
$

—
 
$

12,214
 
$

—
 
$

12,214
 

Short-term debt and current portion of long-term debt

    —     429     23     —     452  

Accounts payable and accrued liabilities

    10     71     1,772     —     1,853  

Intercompany payables

    51     2,637     2,162     (4,850 )   —  

Other current liabilities

    —     49     779     3     831  
   

Total Current Liabilities

    61     3,186     16,950     (4,847 )   15,350  

Long-term debt

    107     2,515     1,091     —     3,713  

Deferred tax liabilities

    —     —     1,024     (718 )   306  

Pension and other post employment liabilities

    —     1,294     982     —     2,276  

Intercompany payables

    2,890     166     2,247     (5,303 )   —  

Other non-current liabilities

    4     254     885     (107 )   1,036  
   

TOTAL LIABILITIES

    3,062     7,415     23,179     (10,975 )   22,681  
   

TOTAL AON SHAREHOLDERS' EQUITY

   
7,762
   
8,322
   
20,920
   
(29,242

)
 
7,762
 

Noncontrolling interests

    —     —     43     —     43  
   

TOTAL EQUITY

    7,762     8,322     20,963     (29,242 )   7,805  
   

TOTAL LIABILITIES AND EQUITY

 
$

10,824
 
$

15,737
 
$

44,142
 
$

(40,217

)

$

30,486
 
   

 

 
  As of December 31, 2011  
(millions)
  Parent
Guarantor

  Subsidiary
Issuer

  Other
Non-Guarantor
Subsidiaries

  Consolidating
Adjustments

  Consolidated
 
   

ASSETS

                               

Cash and cash equivalents

  $ —   $ (21 ) $ 293   $ —   $ 272  

Short-term investments

    —     321     464     —     785  

Receivables, net

    —     2     3,181     —     3,183  

Fiduciary assets

    —     —     10,838     —     10,838  

Intercompany receivables

    3     610     539     (1,152 )   —  

Other current assets

    —     57     378     (8 )   427  
   

Total Current Assets

    3     969     15,693     (1,160 )   15,505  

Goodwill

    —     —     8,770     —     8,770  

Intangible assets, net

    —     —     3,276     —     3,276  

Fixed assets, net

    —     —     783     —     783  

Investments

    —     39     200     —     239  

Deferred tax assets

    —     702     258     (702 )   258  

Intercompany receivables

    —     2,133     2,202     (4,335 )   —  

Other non-current assets

    —     198     523     —     721  

Investments in subsidiary

    10,183     9,269     7,714     (27,166 )   —  
   

TOTAL ASSETS

  $ 10,186   $ 13,310   $ 39,419   $ (33,363 ) $ 29,552  
   

LIABILITIES AND EQUITY

                               

Fiduciary liabilities

  $ —   $ —   $ 10,838   $ —   $ 10,838  

Short-term debt and current portion of long-term debt

    —     318     19     —     337  

Accounts payable and accrued liabilities

    —     78     1,758     (4 )   1,832  

Intercompany payables

    —     206     609     (815 )   —  

Other current liabilities

    —     5     752     (4 )   753  
   

Total Current Liabilities

    —     607     13,976     (823 )   13,760  

Long-term debt

    —     3,063     1,092     —     4,155  

Deferred tax liabilities

    —     —     1,003     (702 )   301  

Pension and other post employment liabilities

    —     1,407     785     —     2,192  

Intercompany payables

    2,108     378     2,186     (4,672 )   —  

Other non-current liabilities

    —     141     883     —     1,024  
   

TOTAL LIABILITIES

    2,108     5,596     19,925     (6,197 )   21,432  
   

TOTAL AON SHAREHOLDERS' EQUITY

    8,078     7,714     19,452     (27,166 )   8,078  

Noncontrolling interests

    —     —     42     —     42  
   

TOTAL EQUITY

    8,078     7,714     19,494     (27,166 )   8,120  
   

TOTAL LIABILITIES AND EQUITY

  $ 10,186   $ 13,310   $ 39,419   $ (33,363 ) $ 29,552  
   
Condensed Consolidating Statement of Cash Flows

 

 
  Year Ended December 31, 2012  
(millions)
  Aon plc
  Aon
Corporation

  Other
Non-Guarantor
Subsidiaries

  Consolidating
Adjustments

  Consolidated
 
   

CASH FLOWS FROM OPERATING ACTIVITIES

                               

CASH (USED FOR) PROVIDED BY OPERATING ACTIVITIES

 
$

(87

)

$

(105

)

$

1,611
 
$

—
 
$

1,419
 
   

CASH FLOWS FROM INVESTING ACTIVITIES

                               

Sales of long-term investments

    —     79     99     —     178  

Purchases of long-term investments

    —     (12 )   —     —     (12 )

Net sales of short-term investments — non-fiduciary

    —     232     208     —     440  

Acquisition of businesses, net of cash acquired

    (50 )   (55 )   (55 )   —     (160 )

Capital expenditures

          —     (269 )   —     (269 )
   

CASH PROVIDED BY (USED FOR) INVESTING ACTIVITIES

    (50 )   244     (17 )   —     177  
   

CASH FLOWS FROM FINANCING ACTIVITIES

                               

Purchase of treasury shares

    (1,025 )   (100 )   —     —     (1,125 )

Advances from (to) affiliates

    1,379     510     (1,889 )   —     —  

Issuance of shares for employee benefit plans

    69     49     —     —     118  

Issuance of debt

    —     732     1     —     733  

Repayment of debt

    —     (1,061 )   (16 )   —     (1,077 )

Cash dividends to shareholders

    (155 )   (49 )   —     —     (204 )

Purchase of shares from noncontrolling interests           

    —     —     (4 )   —     (4 )

Dividends paid to noncontrolling interests

    —     —     (27 )   —     (27 )
   

CASH PROVDED BY (USED FOR) FINANCING ACTIVITIES

    268     81     (1,935 )   —     (1,586 )
   

EFFECT OF EXCHANGE RATE CHANGES ON CASH AND CASH EQUIVALENTS

   
—
   
—
   
9
   
—
   
9
 
   

NET INCREASE (DECREASE) IN CASH AND CASH EQUIVALENTS

    131     220     (332 )   —     19  

CASH AND CASH EQUIVALENTS AT BEGINNING OF YEAR

    —     (21 )   293     —     272  
   

CASH AND CASH EQUIVALENTS AT END OF YEAR

  $ 131   $ 199   $ (39 ) $ —   $ 291  
   

 

 
  Year Ended December 31, 2011  
(millions)
  Aon plc
  Aon
Corporation

  Other
Non-Guarantor
Subsidiaries

  Consolidating
Adjustments

  Consolidated
 
   

CASH FLOWS FROM OPERATING ACTIVITIES

                               

CASH (USED FOR) PROVIDED BY OPERATING ACTIVITIES

 
$

—
 
$

(201

)

$

1,219
 
$

—
 
$

1,018
 
   

CASH FLOWS FROM INVESTING ACTIVITIES

                               

Sales of long-term investments

    —     133     57     —     190  

Purchases of long-term investments

    —     (20 )   (10 )   —     (30 )

Net sales of short-term investments — non-fiduciary

    —     115     (123 )   —     (8 )

Acquisition of businesses, net of cash acquired

    —     (5 )   (92 )   —     (97 )

Capital expenditures

          —     (241 )   —     (241 )
   

CASH PROVIDED BY (USED FOR) INVESTING ACTIVITIES

    —     223     (409 )   —     (186 )
   

CASH FLOWS FROM FINANCING ACTIVITIES

                               

Purchase of treasury shares

    —     (828 )   —     —     (828 )

Advances from (to) affiliates

    —     768     (768 )   —     —  

Issuance of shares for employee benefit plans

    —     201     —     —     201  

Issuance of debt

    —     1,290     383     —     1,673  

Repayment of debt

    —     (1,288 )   (400 )   —     (1,688 )

Cash dividends to shareholders

    —     (200 )   —     —     (200 )

Purchase of shares from noncontrolling interests           

    —     —     (24 )   —     (24 )

Dividends paid to noncontrolling interests

    —     —     (30 )   —     (30 )
   

CASH PROVDED BY (USED FOR) FINANCING ACTIVITIES

    —     (57 )   (839 )   —     (896 )
   

EFFECT OF EXCHANGE RATE CHANGES ON CASH AND CASH EQUIVALENTS

   
—
   
—
   
(10

)
 
—
   
(10

)
   

NET INCREASE (DECREASE) IN CASH AND CASH EQUIVALENTS

    —     (35 )   (39 )   —     (74 )

CASH AND CASH EQUIVALENTS AT BEGINNING OF YEAR

    —     14     332     —     346  
   

CASH AND CASH EQUIVALENTS AT END OF YEAR

  $ —   $ (21 ) $ 293   $ —   $ 272  
   

 

 
  Year Ended December 31, 2010  
(millions)
  Aon plc
  Aon
Corporation

  Other
Non-Guarantor
Subsidiaries

  Consolidating
Adjustments

  Consolidated
 
   

CASH FLOWS FROM OPERATING ACTIVITIES

                               

CASH (USED FOR) PROVIDED BY OPERATING ACTIVITIES

 
$

—
 
$

(99

)

$

882
 
$

—
 
$

783
 
   

CASH FLOWS FROM INVESTING ACTIVITIES

                               

Sales of long-term investments

    —     54     36           90  

Purchases of long-term investments

    —     (24 )   (10 )         (34 )

Net sales of short-term investments — non-fiduciary

    —     (262 )   (75 )         (337 )

Acquisition of businesses, net of cash acquired

    —     (2,001 )   (77 )         (2,078 )

Capital expenditures

    —     —     (180 )         (180 )
   

CASH PROVIDED BY (USED FOR) INVESTING ACTIVITIES

    —     (2,233 )   (306 )   —     (2,539 )
   

CASH FLOWS FROM FINANCING ACTIVITIES

                               

Purchase of treasury shares

    —     (250 )   —     —     (250 )

Advances from (to) affiliates

    —     163     (163 )   —     —  

Issuance of shares for employee benefit plans

    —     194     —     —     194  

Issuance of debt

    —     2,592     313     —     2,905  

Repayment of debt

    —     (173 )   (643 )   —     (816 )

Cash dividends to shareholders

    —     (175 )   —     —     (175 )

Purchase of shares from noncontrolling interests           

    —     —     (15 )   —     (15 )

Dividends paid to noncontrolling interests

    —     —     (20 )   —     (20 )
   

CASH USED FOR FINANCING ACTIVITIES

    —     2,351     (528 )   —     1,823  
   

EFFECT OF EXCHANGE RATE CHANGES ON CASH AND CASH EQUIVALENTS

   
—
   
—
   
62
   
—
   
62
 
   

NET DECREASE IN CASH AND CASH EQUIVALENTS

    —     19     110     —     129  

CASH AND CASH EQUIVALENTS AT BEGINNING OF YEAR

    —     (5 )   222     —     217  
   

CASH AND CASH EQUIVALENTS AT END OF YEAR

  $ —   $ 14   $ 332   $ —   $ 346