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Guarantee of Registered Securities
6 Months Ended
Jun. 30, 2013
Guarantee of Registered Securities [Abstract]  
Guarantee of Registered Securities
Guarantee of Registered Securities
 
As described in Note 15, in connection with the Redomestication, Aon plc entered into various agreements pursuant to which it agreed to guarantee the obligations of Aon Corporation arising under issued and outstanding debt securities. Aon Corporation is a 100% indirectly owned subsidiary of Aon plc. The debt securities that are subject to Rule 3-10 of Regulation S-X are the 3.50% senior notes due September 2015, the 3.125% senior notes due May 2016, the 5.00% senior notes due September 2020, the 8.205% junior subordinated deferrable interest debentures due January 2027 and the 6.25% senior notes due September 2040. All guarantees of Aon plc are full and unconditional. There are no subsidiaries of Aon plc that are guarantors of the debt.

Aon Corporation entered into an agreement pursuant to which it agreed to guarantee the obligations of Aon plc arising under the 4.250% Notes Due 2042 exchanged for Aon Corporation's outstanding 8.205% junior subordinated deferrable interest debentures due January 2027 in both Original Notes and Exchange Notes form as described in Note 9. Those notes are subject to Rule 3-10 of Regulation S-X. Aon Corporation also agreed to guarantee the obligations of Aon plc arising under the 4.45% Notes Due 2043 issued on May 21, 2013. In each case, the guarantee of Aon Corporation is full and unconditional. There are no subsidiaries of Aon plc, other than Aon Corporation, that are guarantors of the 4.250% Notes Due 2042 or the 4.45% Notes Due 2043.
 
The following tables set forth condensed consolidating statements of income for the three and six months ended June 30, 2013 and 2012, condensed consolidating statements of comprehensive income for the three and six months ended June 30, 2013 and 2012, condensed consolidating statements of financial position as of June 30, 2013 and December 31, 2012, and condensed consolidating statements of cash flows for the six months ended June 30, 2013 and 2012 in accordance with Rule 3-10 of Regulation S-X. The condensed consolidating financial information includes the accounts of Aon plc, the accounts of Aon Corporation, and the combined accounts of the non-guarantor subsidiaries. The condensed consolidating financial statements are presented in all periods as a merger under common control, with Aon plc presented as the parent company in all periods prior and subsequent to the Redomestication. The principal consolidating adjustments are to eliminate the investment in subsidiaries and intercompany balances and transactions.

Condensed Consolidating Statement of Income
 
 
 
Three months ended June 30, 2013
 
 
 
 
 
 
Other
 
 
 
 
 
 
Aon
 
Aon
 
Non-Guarantor
 
Consolidating
 
 
(millions)
 
plc
 
Corporation
 
Subsidiaries
 
Adjustments
 
Consolidated
Revenue
 
 
 
 
 
 
 
 
 
 
Commissions, fees and other
 
$
1

 
$
—

 
$
2,890

 
$
—

 
$
2,891

Fiduciary investment income
 
—

 
—

 
6

 
—

 
6

Total revenue
 
1

 
—

 
2,896

 
—

 
2,897

 
 
 
 
 
 
 
 
 
 
 
Expenses
 
 
 
 
 
 
 
 
 
 
Compensation and benefits
 
4

 
5

 
1,703

 
—

 
1,712

Other general expenses
 
9

 
17

 
777

 
—

 
803

Total operating expenses
 
13

 
22

 
2,480

 
—

 
2,515

Operating income
 
(12
)
 
(22
)
 
416

 
—

 
382

Interest income
 
—

 
1

 
1

 
—

 
2

Interest expense
 
(4
)
 
(33
)
 
(11
)
 
—

 
(48
)
Intercompany interest (expense) income
 
(7
)
 
43

 
(36
)
 
—

 
—

Other (expense) income
 
—

 
(2
)
 
8

 
—

 
6

(Loss) income from continuing operations before taxes
 
(23
)
 
(13
)
 
378

 
—

 
342

Income tax (benefit) expense
 
(3
)
 
(6
)
 
99

 
—

 
90

(Loss) income from continuing operations
 
(20
)
 
(7
)
 
279

 
—

 
252

 
 
 
 
 
 
 
 
 
 
 
Loss from discontinued operations before taxes
 
—

 
—

 
—

 
—

 
—

Income taxes
 
—

 
—

 
—

 
—

 
—

Loss from discontinued operations
 
—

 
—

 
—

 
—

 
—

 
 
 
 
 
 
 
 
 
 
 
Equity in earnings of subsidiaries, net of tax
 
261

 
246

 
239

 
(746
)
 
—

 
 
 
 
 
 
 
 
 
 
 
Net income
 
241

 
239

 
518

 
(746
)
 
252

Less: Net income attributable to noncontrolling interests
 
—

 
—

 
11

 
—

 
11

Net income attributable to Aon shareholders
 
$
241

 
$
239

 
$
507

 
$
(746
)
 
$
241



Condensed Consolidating Statement of Income
 
 
 
Three months ended June 30, 2012
 
 
 
 
 
 
Other
 
 
 
 
 
 
Aon
 
Aon
 
Non-Guarantor
 
Consolidating
 
 
(millions)
 
plc
 
Corporation
 
Subsidiaries
 
Adjustments
 
Consolidated
Revenue
 
 
 
 
 
 
 
 
 
 
Commissions, fees and other
 
$
—

 
$
—

 
$
2,813

 
$
—

 
$
2,813

Fiduciary investment income
 
—

 
—

 
8

 
—

 
8

Total revenue
 
—

 
—

 
2,821

 
—

 
2,821

 
 
 
 
 
 
 
 
 
 
 
Expenses
 
 
 
 
 
 
 
 
 
 
Compensation and benefits
 
2

 
—

 
1,637

 
—

 
1,639

Other general expenses
 
10

 
7

 
771

 
—

 
788

Total operating expenses
 
12

 
7

 
2,408

 
—

 
2,427

Operating income
 
(12
)
 
(7
)
 
413

 
—

 
394

Interest income
 
—

 
—

 
2

 
—

 
2

Interest expense
 
—

 
(40
)
 
(17
)
 
—

 
(57
)
Intercompany interest (expense) income
 
(3
)
 
47

 
(44
)
 
—

 
—

Other (expense) income
 
—

 
(5
)
 
17

 
—

 
12

(Loss) income from continuing operations before taxes
 
(15
)
 
(5
)
 
371

 
—

 
351

Income tax (benefit) expense
 
(1
)
 
(2
)
 
99

 
—

 
96

(Loss) income from continuing operations
 
(14
)
 
(3
)
 
272

 
—

 
255

 
 
 
 
 
 
 
 
 
 
 
Loss from discontinued operations before taxes
 
—

 
—

 
(1
)
 
—

 
(1
)
Income taxes
 
—

 
—

 
—

 
—

 
—

Loss from discontinued operations
 
—

 
—

 
(1
)
 
—

 
(1
)
 
 
 
 
 
 
 
 
 
 
 
Equity in earnings of subsidiaries, net of tax
 
260

 
234

 
231

 
(725
)
 
—

 
 
 
 
 
 
 
 
 
 
 
Net income
 
246

 
231

 
502

 
(725
)
 
254

Less: Net income attributable to noncontrolling interests
 
—

 
—

 
8

 
—

 
8

Net income attributable to Aon shareholders
 
$
246

 
$
231

 
$
494

 
$
(725
)
 
$
246






Condensed Consolidating Statement of Income
 
 
 
Six months ended June 30, 2013
 
 
 
 
 
 
Other
 
 
 
 
 
 
Aon
 
Aon
 
Non-Guarantor
 
Consolidating
 
 
(millions)
 
plc
 
Corporation
 
Subsidiaries
 
Adjustments
 
Consolidated
Revenue
 
 
 
 
 
 
 
 
 
 
Commissions, fees and other
 
$
2

 
$
—

 
$
5,797

 
$
—

 
$
5,799

Fiduciary investment income
 
—

 
—

 
13

 
—

 
13

Total revenue
 
2

 
—

 
5,810

 
—

 
5,812

 
 
 
 
 
 
 
 
 
 
 
Expenses
 
 
 
 
 
 
 
 
 
 
Compensation and benefits
 
15

 
21

 
3,401

 
—

 
3,437

Other general expenses
 
16

 
23

 
1,544

 
—

 
1,583

Total operating expenses
 
31

 
44

 
4,945

 
—

 
5,020

Operating income
 
(29
)
 
(44
)
 
865

 
—

 
792

Interest income
 
—

 
1

 
2

 
—

 
3

Interest expense
 
(6
)
 
(67
)
 
(27
)
 
—

 
(100
)
Intercompany interest (expense) income
 
(14
)
 
86

 
(72
)
 
—

 
—

Other (expense) income
 
—

 
(3
)
 
18

 
—

 
15

(Loss) income from continuing operations before taxes
 
(49
)
 
(27
)
 
786

 
—

 
710

Income tax (benefit) expense
 
(9
)
 
(11
)
 
206

 
—

 
186

(Loss) income from continuing operations
 
(40
)
 
(16
)
 
580

 
—

 
524

 
 
 
 
 
 
 
 
 
 
 
Loss from discontinued operations before taxes
 
—

 
—

 
—

 
—

 
—

Income taxes
 
—

 
—

 
—

 
—

 
—

Loss from discontinued operations
 
—

 
—

 
—

 
—

 
—

 
 
 
 
 
 
 
 
 
 
 
Equity in earnings of subsidiaries, net of tax
 
542

 
509

 
493

 
(1,544
)
 
—

 
 
 
 
 
 
 
 
 
 
 
Net income
 
502

 
493

 
1,073

 
(1,544
)
 
524

Less: Net income attributable to noncontrolling interests
 
—

 
—

 
22

 
—

 
22

Net income attributable to Aon shareholders
 
$
502

 
$
493

 
$
1,051

 
$
(1,544
)
 
$
502

Condensed Consolidating Statement of Income
 
 
 
Six months ended June 30, 2012
 
 
 
 
 
 
Other
 
 
 
 
 
 
Aon
 
Aon
 
Non-Guarantor
 
Consolidating
 
 
(millions)
 
plc
 
Corporation
 
Subsidiaries
 
Adjustments
 
Consolidated
Revenue
 
 
 
 
 
 
 
 
 
 
Commissions, fees and other
 
$
—

 
$
—

 
$
5,642

 
$
—

 
$
5,642

Fiduciary investment income
 
—

 
1

 
19

 
—

 
20

Total revenue
 
—

 
1

 
5,661

 
—

 
5,662

 
 
 
 
 
 
 
 
 
 
 
Expenses
 
 
 
 
 
 
 
 
 
 
Compensation and benefits
 
2

 
67

 
3,231

 
—

 
3,300

Other general expenses
 
10

 
21

 
1,535

 
—

 
1,566

Total operating expenses
 
12

 
88

 
4,766

 
—

 
4,866

Operating income
 
(12
)
 
(87
)
 
895

 
—

 
796

Interest income
 
—

 
—

 
5

 
—

 
5

Interest expense
 
—

 
(80
)
 
(36
)
 
—

 
(116
)
Intercompany interest (expense) income
 
(3
)
 
93

 
(90
)
 
—

 
—

Other (expense) income
 
—

 
3

 
9

 
—

 
12

(Loss) income from continuing operations before taxes
 
(15
)
 
(71
)
 
783

 
—

 
697

Income tax (benefit) expense
 
(1
)
 
(27
)
 
221

 
—

 
193

(Loss) income from continuing operations
 
(14
)
 
(44
)
 
562

 
—

 
504

 
 
 
 
 
 
 
 
 
 
 
Loss from discontinued operations before taxes
 
—

 
—

 
(1
)
 
—

 
(1
)
Income taxes
 
—

 
—

 
—

 
—

 
—

Loss from discontinued operations
 
—

 
—

 
(1
)
 
—

 
(1
)
 
 
 
 
 
 
 
 
 
 
 
Equity in earnings of subsidiaries, net of tax
 
498

 
484

 
440

 
(1,422
)
 
—

 
 
 
 
 
 
 
 
 
 
 
Net income
 
484

 
440

 
1,001

 
(1,422
)
 
503

Less: Net income attributable to noncontrolling interests
 
—

 
—

 
19

 
—

 
19

Net income attributable to Aon shareholders
 
$
484

 
$
440

 
$
982

 
$
(1,422
)
 
$
484


Condensed Consolidating Statement of Comprehensive Income
 
 
 
Three months ended June 30, 2013
 
 
 
 
 
 
Other
 
 
 
 
 
 
Aon
 
Aon
 
Non-Guarantor
 
Consolidating
 
 
(millions)
 
plc
 
Corporation
 
Subsidiaries
 
Adjustments
 
Consolidated
Net income
 
$
241

 
$
239

 
$
518

 
$
(746
)
 
$
252

Less: Net income attributable to noncontrolling interests
 
—

 
—

 
11

 
—

 
11

Net income attributable to Aon shareholders
 
$
241

 
$
239

 
$
507

 
$
(746
)
 
$
241

Other comprehensive loss, net of tax:
 
 
 
 
 
 
 
 
 
 
Change in fair value of investments
 
—

 
4

 
9

 
—

 
13

Change in fair value of derivatives
 
—

 
2

 
(9
)
 
—

 
(7
)
Foreign currency translation adjustments
 
—

 
(11
)
 
(47
)
 
—

 
(58
)
Post-retirement benefit obligation
 
—

 
7

 
11

 
—

 
18

Total other comprehensive loss
 
—

 
2

 
(36
)
 
—

 
(34
)
Equity in other comprehensive loss of subsidiaries, net of tax
 
(32
)
 
(34
)
 
(32
)
 
98

 
—

Less: Other comprehensive loss attributable to noncontrolling interests
 
—

 
—

 
(2
)
 
—

 
(2
)
Total other comprehensive loss attributable to Aon shareholders
 
(32
)
 
(32
)
 
(66
)
 
98

 
(32
)
Comprehensive income attributable to Aon shareholders
 
$
209

 
$
207

 
$
441

 
$
(648
)
 
$
209

 
Condensed Consolidating Statement of Comprehensive Income
 
 
 
Three months ended June 30, 2012
 
 
 
 
 
 
Other
 
 
 
 
 
 
Aon
 
Aon
 
Non-Guarantor
 
Consolidating
 
 
(millions)
 
plc
 
Corporation
 
Subsidiaries
 
Adjustments
 
Consolidated
Net income
 
$
246

 
$
231

 
$
502

 
$
(725
)
 
$
254

Less: Net income attributable to noncontrolling interests
 
—

 
—

 
8

 
—

 
8

Net income attributable to Aon shareholders
 
$
246

 
$
231

 
$
494

 
$
(725
)
 
$
246

Other comprehensive income, net of tax:
 
 
 
 
 
 
 
 
 
 
Change in fair value of investments
 
—

 
—

 
—

 
—

 
—

Change in fair value of derivatives
 
—

 
—

 
(17
)
 
—

 
(17
)
Foreign currency translation adjustments
 
—

 
(5
)
 
(192
)
 
—

 
(197
)
Post-retirement benefit obligation
 
—

 
9

 
9

 
—

 
18

Total other comprehensive income
 
—

 
4

 
(200
)
 
—

 
(196
)
Equity in other comprehensive income of subsidiaries, net of tax
 
(193
)
 
(193
)
 
(189
)
 
575

 
—

Less: Other comprehensive income attributable to noncontrolling interests
 
—

 
—

 
(3
)
 
—

 
(3
)
Total other comprehensive income attributable to Aon shareholders
 
(193
)
 
(189
)
 
(386
)
 
575

 
(193
)
Comprehensive income attributable to Aon Shareholders
 
$
53

 
$
42

 
$
108

 
$
(150
)
 
$
53



Condensed Consolidating Statement of Comprehensive Income
 
 
 
Six months ended June 30, 2013
 
 
 
 
 
 
Other
 
 
 
 
 
 
Aon
 
Aon
 
Non-Guarantor
 
Consolidating
 
 
(millions)
 
plc
 
Corporation
 
Subsidiaries
 
Adjustments
 
Consolidated
Net income
 
$
502

 
$
493

 
$
1,073

 
$
(1,544
)
 
$
524

Less: Net income attributable to noncontrolling interests
 
—

 
—

 
22

 
—

 
22

Net income attributable to Aon shareholders
 
$
502

 
$
493

 
$
1,051

 
$
(1,544
)
 
$
502

Other comprehensive loss, net of tax:
 
 
 
 
 
 
 
 
 
 
Change in fair value of investments
 
—

 
4

 
9

 
—

 
13

Change in fair value of derivatives
 
—

 
3

 
(24
)
 
—

 
(21
)
Foreign currency translation adjustments
 
—

 
(19
)
 
(213
)
 
—

 
(232
)
Post-retirement benefit obligation
 
—

 
15

 
26

 
—

 
41

Total other comprehensive loss
 
—

 
3

 
(202
)
 
—

 
(199
)
Equity in other comprehensive loss of subsidiaries, net of tax
 
(197
)
 
(200
)
 
(197
)
 
594

 
—

Less: Other comprehensive loss attributable to noncontrolling interests
 
—

 
—

 
(2
)
 
—

 
(2
)
Total other comprehensive loss attributable to Aon shareholders
 
(197
)
 
(197
)
 
(397
)
 
594

 
(197
)
Comprehensive income attributable to Aon shareholders
 
$
305

 
$
296

 
$
654

 
$
(950
)
 
$
305

 
Condensed Consolidating Statement of Comprehensive Income
 
 
 
Six months ended June 30, 2012
 
 
 
 
 
 
Other
 
 
 
 
 
 
Aon
 
Aon
 
Non-Guarantor
 
Consolidating
 
 
(millions)
 
plc
 
Corporation
 
Subsidiaries
 
Adjustments
 
Consolidated
Net income
 
$
484

 
$
440

 
$
1,001

 
$
(1,422
)
 
$
503

Less: Net income attributable to noncontrolling interests
 
—

 
—

 
19

 
—

 
19

Net income attributable to Aon shareholders
 
$
484

 
$
440

 
$
982

 
$
(1,422
)
 
$
484

Other comprehensive income, net of tax:
 
 
 
 
 
 
 
 
 
 
Change in fair value of investments
 
—

 
—

 
—

 
—

 
—

Change in fair value of derivatives
 
—

 
—

 
(10
)
 
—

 
(10
)
Foreign currency translation adjustments
 
—

 
(1
)
 
(92
)
 
—

 
(93
)
Post-retirement benefit obligation
 
—

 
15

 
24

 
—

 
39

Total other comprehensive income
 
—

 
14

 
(78
)
 
—

 
(64
)
Equity in other comprehensive income of subsidiaries, net of tax
 
(62
)
 
(77
)
 
(63
)
 
202

 
—

Less: Other comprehensive income attributable to noncontrolling interests
 
—

 
—

 
(2
)
 
—

 
(2
)
Total other comprehensive income attributable to Aon shareholders
 
(62
)
 
(63
)
 
(139
)
 
202

 
(62
)
Comprehensive income attributable to Aon Shareholders
 
$
422

 
$
377

 
$
843

 
$
(1,220
)
 
$
422



Condensed Consolidating Statement of Financial Position
 
 
 
As of June 30, 2013
 
 
 
 
 
 
Other
 
 
 
 
 
 
Aon
 
Aon
 
Non-Guarantor
 
Consolidating
 
 
(millions)
 
plc
 
Corporation
 
Subsidiaries
 
Adjustments
 
Consolidated
ASSETS
 
 

 
 

 
 

 
 

 
 

 
 
 
 
 
 
 
 
 
 
 
Cash and cash equivalents
 
$
294

 
$
258

 
$
—

 
$
(286
)
 
$
266

Short-term investments
 
—

 
63

 
244

 
—

 
307

Receivables, net
 
—

 
(2
)
 
2,840

 
—

 
2,838

Fiduciary assets
 
—

 
—

 
12,576

 
—

 
12,576

Intercompany receivables
 
255

 
2,881

 
5,244

 
(8,380
)
 
—

Other current assets
 
17

 
50

 
339

 
—

 
406

Total Current Assets
 
566

 
3,250

 
21,243

 
(8,666
)
 
16,393

Goodwill
 
—

 
—

 
8,795

 
—

 
8,795

Intangible assets, net
 
—

 
—

 
2,736

 
—

 
2,736

Fixed assets, net
 
—

 
—

 
808

 
—

 
808

Investments
 
—

 
60

 
112

 
—

 
172

Intercompany receivables
 
166

 
2,093

 
2,196

 
(4,455
)
 
—

Other non-current assets
 
119

 
739

 
403

 
(103
)
 
1,158

Investment in subsidiary
 
10,879

 
11,057

 
8,716

 
(30,652
)
 
—

TOTAL ASSETS
 
$
11,730

 
$
17,199

 
$
45,009

 
$
(43,876
)
 
$
30,062

 
 
 
 
 
 
 
 
 
 
 
LIABILITIES AND EQUITY
 
 

 
 

 
 

 
 

 
 

 
 
 
 
 
 
 
 
 
 
 
Fiduciary liabilities
 
$
—

 
$
—

 
$
12,576

 
$
—

 
$
12,576

Short-term debt and current portion of long-term debt
 
297

 
107

 
23

 
—

 
427

Accounts payable and accrued liabilities
 
17

 
65

 
1,627

 
(286
)
 
1,423

Intercompany payables
 
14

 
4,112

 
2,961

 
(7,087
)
 
—

Other current liabilities
 
1

 
47

 
721

 
—

 
769

Total Current Liabilities
 
329

 
4,331

 
17,908

 
(7,373
)
 
15,195

Long-term debt
 
443

 
2,515

 
1,054

 
—

 
4,012

Pension, other post-retirement and other post-employment liabilities
 
—

 
1,220

 
677

 
—

 
1,897

Intercompany payables
 
3,393

 
166

 
2,189

 
(5,748
)
 
—

Other non-current liabilities
 
6

 
251

 
1,186

 
(103
)
 
1,340

TOTAL LIABILITIES
 
4,171

 
8,483

 
23,014

 
(13,224
)
 
22,444

 
 
 
 
 
 
 
 
 
 
 
TOTAL AON SHAREHOLDERS’ EQUITY
 
7,559

 
8,716

 
21,936

 
(30,652
)
 
7,559

Noncontrolling interests
 
—

 
—

 
59

 
—

 
59

TOTAL EQUITY
 
7,559

 
8,716

 
21,995

 
(30,652
)
 
7,618

 
 
 
 
 
 
 
 
 
 
 
TOTAL LIABILITIES AND EQUITY
 
$
11,730

 
$
17,199

 
$
45,009

 
$
(43,876
)
 
$
30,062


Condensed Consolidating Statement of Financial Position
 
 
 
As of December 31, 2012
 
 
 
 
 
 
Other
 
 
 
 
 
 
Aon
 
Aon
 
Non-Guarantor
 
Consolidating
 
 
(millions)
 
plc
 
Corporation
 
Subsidiaries
 
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

 
19,481

 
(5,676
)
 
16,382

Goodwill
 
—

 
—

 
8,943

 
—

 
8,943

Intangible assets, net
 
—

 
—

 
2,975

 
—

 
2,975

Fixed assets, net
 
—

 
—

 
820

 
—

 
820

Investments
 
—

 
49

 
116

 
—

 
165

Intercompany receivables
 
166

 
1,997

 
2,350

 
(4,513
)
 
—

Other non-current assets
 
117

 
735

 
1,174

 
(825
)
 
1,201

Investment in subsidiary
 
10,398

 
10,522

 
8,322

 
(29,242
)
 
—

TOTAL ASSETS
 
$
10,824

 
$
15,737

 
$
44,181

 
$
(40,256
)
 
$
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

 
1,811

 
(39
)
 
1,853

Intercompany payables
 
51

 
2,637

 
2,162

 
(4,850
)
 
—

Other current liabilities
 
—

 
49

 
779

 
3

 
831

Total Current Liabilities
 
61

 
3,186

 
16,989

 
(4,886
)
 
15,350

Long-term debt
 
107

 
2,515

 
1,091

 
—

 
3,713

Pension, other post-retirement 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

 
1,909

 
(825
)
 
1,342

TOTAL LIABILITIES
 
3,062

 
7,415

 
23,218

 
(11,014
)
 
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

 
$
44,181

 
$
(40,256
)
 
$
30,486


Condensed Consolidating Statement of Cash Flows
 
 
 
Six months ended June 30, 2013
 
 
Aon
 
Aon
 
Other
Non-Guarantor
 
Consolidating
 
 
(millions)
 
plc
 
Corporation
 
Subsidiaries
 
Adjustments
 
Consolidated
CASH FLOWS FROM OPERATING ACTIVITIES
 
 

 
 

 
 

 
 

 
 

CASH PROVIDED BY (USED FOR) OPERATING ACTIVITIES
 
$
(23
)
 
$
(89
)
 
$
499

 
$
—

 
$
387

 
 
 
 
 
 
 
 
 
 
 
CASH FLOWS FROM INVESTING ACTIVITIES
 
 
 
 
 
 
 
 
 
 
Sales of long-term investments
 
—

 
2

 
21

 
—

 
23

Purchase of long-term investments
 
—

 
(6
)
 
—

 
—

 
(6
)
Net (purchases) sales of short-term investments - non-fiduciary
 
—

 
26

 
3

 
—

 
29

Acquisition of businesses, net of cash acquired
 
—

 
—

 
(23
)
 
—

 
(23
)
Proceeds from sale of businesses
 
—

 
—

 
1

 
—

 
1

Capital expenditures
 
—

 
—

 
(122
)
 
—

 
(122
)
CASH USED FOR INVESTING ACTIVITIES
 
—

 
22

 
(120
)
 
—

 
(98
)
 
 
 
 
 
 
 
 
 
 
 
CASH FLOWS FROM FINANCING ACTIVITIES
 
 
 
 
 
 
 
 
 
 
Share repurchase
 
(525
)
 
—

 
—

 
—

 
(525
)
Advances from (to) affiliates
 
126

 
444

 
(323
)
 
(247
)
 
—

Issuance of shares for employee benefit plans
 
57

 
—

 
—

 
—

 
57

Issuance of debt
 
639

 
2,044

 
231

 
—

 
2,914

Repayment of debt
 
(6
)
 
(2,362
)
 
(239
)
 
—

 
(2,607
)
Cash dividends to shareholders
 
(105
)
 
—

 
—

 
—

 
(105
)
Purchase of shares from noncontrolling interests
 
—

 
—

 
—

 
—

 
—

Dividends paid to noncontrolling interests
 
—

 
—

 
(6
)
 
—

 
(6
)
CASH (USED FOR) PROVIDED BY FINANCING ACTIVITIES
 
186

 
126

 
(337
)
 
(247
)
 
(272
)
 
 
 
 
 
 
 
 
 
 
 
EFFECT OF EXCHANGE RATE CHANGES ON CASH AND CASH EQUIVALENTS
 
—

 
—

 
(42
)
 
—

 
(42
)
NET (DECREASE) INCREASE IN CASH AND CASH EQUIVALENTS
 
163

 
59

 
—

 
(247
)
 
(25
)
CASH AND CASH EQUIVALENTS AT BEGINNING OF YEAR
 
131

 
199

 
—

 
(39
)
 
291

CASH AND CASH EQUIVALENTS AT END OF PERIOD
 
$
294

 
$
258

 
$
—

 
$
(286
)
 
$
266


Condensed Consolidating Statement of Cash Flows
 
 
 
Six months ended June 30, 2012
 
 
 
 
 
 
Other
 
 
 
 
 
 
Aon
 
Aon
 
Non-Guarantor
 
Consolidating
 
 
(millions) 
 
plc
 
Corporation
 
Subsidiaries
 
Adjustments
 
Consolidated
CASH FLOWS FROM OPERATING ACTIVITIES
 
 

 
 

 
 

 
 

 
 

CASH PROVIDED BY (USED FOR) OPERATING ACTIVITIES
 
$
(19
)
 
$
(99
)
 
$
387

 
$
—

 
$
269

 
 
 
 
 
 
 
 
 
 
 
CASH FLOWS FROM INVESTING ACTIVITIES
 
 
 
 
 
 
 
 
 
 
Sales of long-term investments
 
—

 
—

 
51

 
—

 
51

Purchase of long-term investments
 
—

 
(7
)
 
—

 
—

 
(7
)
Net (purchases) sales of short-term investments - non-fiduciary
 
—

 
211

 
48

 
—

 
259

Acquisition of businesses, net of cash acquired
 
—

 
(55
)
 
(27
)
 
—

 
(82
)
Proceeds from sale of businesses
 
—

 
—

 
1

 
—

 
1

Capital expenditures
 
—

 
—

 
(129
)
 
—

 
(129
)
CASH USED FOR INVESTING ACTIVITIES
 
—

 
149

 
(56
)
 
—

 
93

 
 
 
 
 
 
 
 
 
 
 
CASH FLOWS FROM FINANCING ACTIVITIES
 
 
 
 
 
 
 
 
 
 
Share repurchase
 
(250
)
 
(100
)
 
—

 
—

 
(350
)
Advances from (to) affiliates
 
325

 
118

 
(443
)
 
—

 
—

Issuance of shares for employee benefit plans
 
15

 
49

 
—

 
—

 
64

Issuance of debt
 
—

 
332

 
—

 
—

 
332

Repayment of debt
 
—

 
(298
)
 
(7
)
 
—

 
(305
)
Cash dividends to shareholders
 
(52
)
 
(50
)
 
—

 
—

 
(102
)
Purchase of shares from noncontrolling interests
 
—

 
—

 
1

 
—

 
1

Dividends paid to noncontrolling interests
 
—

 
—

 
(6
)
 
—

 
(6
)
CASH (USED FOR) PROVIDED BY FINANCING ACTIVITIES
 
38

 
51

 
(455
)
 
—

 
(366
)
 
 
 
 
 
 
 
 
 
 
 
EFFECT OF EXCHANGE RATE CHANGES ON CASH AND CASH EQUIVALENTS
 
—

 
—

 
18

 
—

 
18

NET (DECREASE) INCREASE IN CASH AND CASH EQUIVALENTS
 
19

 
101

 
(106
)
 
—

 
14

CASH AND CASH EQUIVALENTS AT BEGINNING OF YEAR
 
—

 
(21
)
 
293

 
—

 
272

CASH AND CASH EQUIVALENTS AT END OF PERIOD
 
$
19

 
$
80

 
$
187

 
$
—

 
$
286


 
In July 2013, Aon Holdings LLC, an intermediate holding company and the direct parent of Aon Corporation, transferred its ownership of Aon Corporation to Aon plc via distribution. The financial results of Aon Holdings LLC are included in the Other Non-Guarantor Subsidiaries column of the Condensed Consolidating Financial Statements. In addition to the disclosures required for Rule 3-10 of Regulation S-X under the legal entity structure that existed as of June 30, 2013, the Company has also included the following pro forma disclosures reflecting the transfer of Aon Corporation from Aon Holdings LLC to Aon plc below for all periods presented. Only the portions of the Condensed Consolidating Financial Statements impacted by this change have been presented.

Condensed Consolidating Statement of Income
 
 
Three months ended June 30, 2013
 
 
 
 
 
 
Other
 
 
 
 
 
 
Aon
 
Aon
 
Non-Guarantor
 
Consolidating
 
 
(millions) 
 
plc
 
Corporation
 
Subsidiaries
 
Adjustments
 
Consolidated
(Loss) income from continuing operations
 
$
(20
)
 
$
(7
)
 
$
279

 
$
—

 
$
252

Loss from discontinued operations
 
—

 
—

 
—

 
—

 
—

 
 
 
 
 
 
 
 
 
 
 
Equity in earnings of subsidiaries, net of tax
 
261

 
246

 
—

 
(507
)
 
—

 
 
 
 
 
 
 
 
 
 
 
Net income
 
241

 
239

 
279

 
(507
)
 
252

Less: Net income attributable to noncontrolling interests
 
—

 
—

 
11

 
—

 
11

Net income attributable to Aon shareholders
 
$
241

 
$
239

 
$
268

 
$
(507
)
 
$
241


Condensed Consolidating Statement of Income
 
 
Three months ended June 30, 2012
 
 
 
 
 
 
Other
 
 
 
 
 
 
Aon
 
Aon
 
Non-Guarantor
 
Consolidating
 
 
(millions)
 
plc
 
Corporation
 
Subsidiaries
 
Adjustments
 
Consolidated
(Loss) income from continuing operations
 
$
(14
)
 
$
(3
)
 
$
272

 
$
—

 
$
255

Loss from discontinued operations
 
—

 
—

 
(1
)
 
—

 
(1
)
 
 
 
 
 
 
 
 
 
 
 
Equity in earnings of subsidiaries, net of tax
 
260

 
234

 
—

 
(494
)
 
—

 
 
 
 
 
 
 
 
 
 
 
Net income
 
246

 
231

 
271

 
(494
)
 
254

Less: Net income attributable to noncontrolling interests
 
—

 
—

 
8

 
—

 
8

Net income attributable to Aon shareholders
 
$
246

 
$
231

 
$
263

 
$
(494
)
 
$
246


Condensed Consolidating Statement of Income
 
 
Six months ended June 30, 2013
 
 
 
 
 
 
Other
 
 
 
 
 
 
Aon
 
Aon
 
Non-Guarantor
 
Consolidating
 
 
(millions)
 
plc
 
Corporation
 
Subsidiaries
 
Adjustments
 
Consolidated
(Loss) income from continuing operations
 
$
(40
)
 
$
(16
)
 
$
580

 
$
—

 
$
524

Loss from discontinued operations
 
—

 
—

 
—

 
—

 
—

 
 
 
 
 
 
 
 
 
 
 
Equity in earnings of subsidiaries, net of tax
 
542

 
509

 
—

 
(1,051
)
 
—

 
 
 
 
 
 
 
 
 
 
 
Net income
 
502

 
493

 
580

 
(1,051
)
 
524

Less: Net income attributable to noncontrolling interests
 
—

 
—

 
22

 
—

 
22

Net income attributable to Aon shareholders
 
$
502

 
$
493

 
$
558

 
$
(1,051
)
 
$
502


Condensed Consolidating Statement of Income
 
 
Six months ended June 30, 2012
 
 
 
 
 
 
Other
 
 
 
 
 
 
Aon
 
Aon
 
Non-Guarantor
 
Consolidating
 
 
(millions)
 
plc
 
Corporation
 
Subsidiaries
 
Adjustments
 
Consolidated
(Loss) income from continuing operations
 
$
(14
)
 
$
(44
)
 
$
562

 
$
—

 
$
504

Loss from discontinued operations
 
—

 
—

 
(1
)
 
—

 
(1
)
 
 
 
 
 
 
 
 
 
 
 
Equity in earnings of subsidiaries, net of tax
 
498

 
484

 
—

 
(982
)
 
—

 
 
 
 
 
 
 
 
 
 
 
Net income
 
484

 
440

 
561

 
(982
)
 
503

Less: Net income attributable to noncontrolling interests
 
—

 
—

 
19

 
—

 
19

Net income attributable to Aon shareholders
 
$
484

 
$
440

 
$
542

 
$
(982
)
 
$
484



Condensed Consolidating Statement of Comprehensive Income
 
 
Three months ended June 30, 2013
 
 
 
 
 
 
Other
 
 
 
 
 
 
Aon
 
Aon
 
Non-Guarantor
 
Consolidating
 
 
(millions) 
 
plc
 
Corporation
 
Subsidiaries
 
Adjustments
 
Consolidated
Net income attributable to Aon shareholders
 
$
241

 
$
239

 
$
268

 
$
(507
)
 
$
241

Total other comprehensive loss
 
—

 
2

 
(36
)
 
—

 
(34
)
 
 
 
 
 
 
 
 
 
 
 
Equity in other comprehensive loss of subsidiaries, net of tax
 
(32
)
 
(34
)
 
—

 
66

 
—

Less: Other comprehensive loss attributable to noncontrolling interests
 
—

 
—

 
(2
)
 
—

 
(2
)
Total other comprehensive loss attributable to Aon shareholders
 
(32
)
 
(32
)
 
(34
)
 
66

 
(32
)
Comprehensive income attributable to Aon shareholders
 
$
209

 
$
207

 
$
234

 
$
(441
)
 
$
209


Condensed Consolidating Statement of Comprehensive Income
 
 
Three months ended June 30, 2012
 
 
 
 
 
 
Other
 
 
 
 
 
 
Aon
 
Aon
 
Non-Guarantor
 
Consolidating
 
 
(millions) 
 
plc
 
Corporation
 
Subsidiaries
 
Adjustments
 
Consolidated
Net income attributable to Aon shareholders
 
$
246

 
$
231

 
$
263

 
$
(494
)
 
$
246

Total other comprehensive income
 
—

 
4

 
(200
)
 
—

 
(196
)
 
 
 
 
 
 
 
 
 
 
 
Equity in other comprehensive loss of subsidiaries, net of tax
 
(193
)
 
(193
)
 
—

 
386

 
—

Less: Other comprehensive loss attributable to noncontrolling interests
 
—

 
—

 
(3
)
 
—

 
(3
)
Total other comprehensive loss attributable to Aon shareholders
 
(193
)
 
(189
)
 
(197
)
 
386

 
(193
)
Comprehensive income attributable to Aon shareholders
 
$
53

 
$
42

 
$
66

 
$
(108
)
 
$
53


Condensed Consolidating Statement of Comprehensive Income
 
 
Six months ended June 30, 2013
 
 
 
 
 
 
Other
 
 
 
 
 
 
Aon
 
Aon
 
Non-Guarantor
 
Consolidating
 
 
(millions) 
 
plc
 
Corporation
 
Subsidiaries
 
Adjustments
 
Consolidated
Net income attributable to Aon shareholders
 
$
502

 
$
493

 
$
558

 
$
(1,051
)
 
$
502

Total other comprehensive loss
 
—

 
3

 
(202
)
 
—

 
(199
)
 
 
 
 
 
 
 
 
 
 
 
Equity in other comprehensive loss of subsidiaries, net of tax
 
(197
)
 
(200
)
 
—

 
397

 
—

Less: Other comprehensive loss attributable to noncontrolling interests
 
—

 
—

 
(2
)
 
—

 
(2
)
Total other comprehensive loss attributable to Aon shareholders
 
(197
)
 
(197
)
 
(200
)
 
397

 
(197
)
Comprehensive income attributable to Aon shareholders
 
$
305

 
$
296

 
$
358

 
$
(654
)
 
$
305


Condensed Consolidating Statement of Comprehensive Income
 
 
Six months ended June 30, 2012
 
 
 
 
 
 
Other
 
 
 
 
 
 
Aon
 
Aon
 
Non-Guarantor
 
Consolidating
 
 
(millions) 
 
plc
 
Corporation
 
Subsidiaries
 
Adjustments
 
Consolidated
Net income attributable to Aon shareholders
 
$
484

 
$
440

 
$
542

 
$
(982
)
 
$
484

Total other comprehensive loss
 
—

 
14

 
(78
)
 
—

 
(64
)
 
 
 
 
 
 
 
 
 
 
 
Equity in other comprehensive loss of subsidiaries, net of tax
 
(62
)
 
(77
)
 
—

 
139

 
—

Less: Other comprehensive loss attributable to noncontrolling interests
 
—

 
—

 
(2
)
 
—

 
(2
)
Total other comprehensive loss attributable to Aon shareholders
 
(62
)
 
(63
)
 
(76
)
 
139

 
(62
)
Comprehensive income attributable to Aon shareholders
 
$
422

 
$
373

 
$
466

 
$
(843
)
 
$
418



Condensed Consolidating Statement of Financial Position
 
 
As of June 30, 2013
 
 
 
 
 
 
Other
 
 
 
 
 
 
Aon
 
Aon
 
Non-Guarantor
 
Consolidating
 
 
(millions)
 
plc
 
Corporation
 
Subsidiaries
 
Adjustments
 
Consolidated
ASSETS
 
 
 
 
 
 
 
 
 
 
Investment in subsidiary
 
$
10,879

 
$
11,057

 
$
—

 
$
(21,936
)
 
$
—

 
 
 
 
 
 
 
 
 
 
 
TOTAL AON SHAREHOLDERS’ EQUITY
 
7,559

 
8,716

 
13,220

 
(21,936
)
 
7,559


Condensed Consolidating Statement of Financial Position
 
 
December 31, 2012
 
 
 
 
 
 
Other
 
 
 
 
 
 
Aon
 
Aon
 
Non-Guarantor
 
Consolidating
 
 
(millions)
 
plc
 
Corporation
 
Subsidiaries
 
Adjustments
 
Consolidated
ASSETS
 
 
 
 
 
 
 
 
 
 
Investment in subsidiary
 
$
10,398

 
$
10,522

 
$
—

 
$
(20,920
)
 
$
—

 
 
 
 
 
 
 
 
 
 
 
TOTAL AON SHAREHOLDERS’ EQUITY
 
7,762

 
8,322

 
12,598

 
(20,920
)
 
7,762