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Guarantee of Registered Securities
12 Months Ended
Dec. 31, 2019
Guarantee of Registered Securities  
Guarantee of Registered Securities Guarantee of Registered Securities
As described in Note 17 “Claims, Lawsuits, and Other Contingencies,” and in connection with the Reorganization, Aon plc (an Irish Company referred to herein as “Aon Ireland”) and Aon Global Holdings Limited entered into various agreements pursuant to which they agreed to guarantee the obligations of Aon Corporation arising under issued and outstanding debt securities, that were previous guaranteed solely by Aon plc (a UK company referred to herein as “Aon UK”), including the 5.00% Notes due September 2020, the 2.20% Notes due November 2022, the 8.205% Notes due January 2027, the 4.50% Senior Notes due December 2028, the 3.75% Senior Notes due May 2029 and the 6.25% Notes due September 2040 (collectively, the “Aon Corporation Notes”). Aon UK is a 100% directly owned subsidiary of Aon Ireland. Aon Corporation and Aon Global Holdings Limited are 100% indirectly owned subsidiaries of Aon Ireland. All guarantees of Aon Ireland, Aon UK, and Aon Global Holdings Limited are joint and several as well as full and unconditional. There are no subsidiaries other than those listed above that guarantee the Aon Corporation Notes.
In addition, Aon Ireland and Aon Global Holdings Limited entered into an agreement pursuant to which they guaranteed the obligations of Aon UK arising under the 4.25% Notes due December 2042 exchanged for Aon Corporation’s outstanding 8.205% Notes due January 2027, and has also guaranteed the obligations of Aon UK arising under the 4.45% Notes due May 2043, the 4.00% Notes due November 2023, the 2.875% Notes due May 2026, the 3.50% Notes due June 2024, the 4.60% Notes due June 2044, the 4.75% Notes due May 2045, the 2.80% Notes due March 2021, and the 3.875% Notes due December 2025, all previously guaranteed solely by Aon Corporation, (collectively, the “Aon UK Notes”). Aon UK, Aon Global Holdings Limited, and Aon Corporation are 100% indirectly owned subsidiaries of Aon Ireland. All guarantees of Aon Ireland, Aon Global Holdings Limited, and Aon Corporation are joint and several as well as full and unconditional. There are no subsidiaries other than those listed above that guarantee the Aon UK Notes.
In connection with the Reorganization referenced above, the Company has reflected these new guarantees on the Condensed Consolidating Statements of Income, Condensed Consolidating Statements of Comprehensive Income, and Condensed Consolidating Statements of Cash Flows for the twelve months ended December 31, 2019, 2018, and 2017 and the Condensed Consolidating Statements of Financial Position as of December 31, 2019 and 2018.
In December 2018, Aon plc obtained direct ownership in two subsidiaries that were previously indirectly owned by Aon Corporation. In 2019, Aon Corporation obtained indirect ownership of subsidiaries that were previously indirectly owned by Aon plc. The financial results of both subsidiaries are included in the Other Non-Guarantor Subsidiaries column of the Condensed Consolidating Financial Statements. The Company has reflected this transfer on the Condensed Consolidating Statements of Income and Condensed Consolidating Statements of Comprehensive Income for the periods ended December 31, 2017 and December 31, 2018 and the Condensed Consolidating Statement of Financial Position for the period ended December 31, 2018.
Aon Ireland was not part of the common control group until November 2019, therefore no balances are reflected in the Condensed Consolidating Statements of Income and Condensed Consolidating Statements of Comprehensive Income for the years ended December 31, 2018 and 2017, the Condensed Consolidating Statements of Financial Position as of December 31, 2018 and 2017, and the Condensed Consolidating Statements of Cash Flows for the years ended December 31, 2018 and 2017.
The following tables set forth Condensed Consolidating Statements of Income and Condensed Consolidating Statements of Comprehensive Income for the years ended December 31, 2019, 2018, and 2017, Condensed Consolidating Statements of Financial Position as of December 31, 2019, 2018, and 2017, and Condensed Consolidating Statements of Cash Flows for the years ended December 31, 2019, 2018, and 2017, in accordance with Rule 3-10 of Regulation S-X. The Condensed Consolidating Financial Information includes the accounts of Aon Ireland, the accounts of Aon UK, the accounts of Aon Global Holdings Limited, the accounts of Aon Corporation, and the combined accounts of the Other Non-Guarantor Subsidiaries. The Condensed Consolidating Financial Statements are presented in all periods as a merger under common control. The principal consolidating adjustments are to eliminate the investment in subsidiaries and intercompany balances and transactions.
Condensed Consolidating Statement of Income
 
 
Year Ended December 31, 2019
(millions)
 
Aon Ireland
 
Aon UK
 
Aon Global Holdings Limited
 
Aon Corporation
 
Other
Non-Guarantor
Subsidiaries
 
Consolidating
Adjustments
 
Consolidated
Revenue
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Total revenue
 
$

 
$

 
$

 
$

 
$
11,013

 
$

 
$
11,013

Expenses
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Compensation and benefits
 

 
49

 

 
20

 
5,985

 

 
6,054

Information technology
 

 

 

 

 
494

 

 
494

Premises
 

 

 

 
23

 
316

 

 
339

Depreciation of fixed assets
 

 

 

 

 
172

 

 
172

Amortization and impairment of intangible assets
 

 

 

 

 
392

 

 
392

Other general expense
 

 
10

 

 
4

 
1,379

 

 
1,393

Total operating expenses
 

 
59

 

 
47

 
8,738

 

 
8,844

Operating income (loss)
 
 
(59
)
 
 
(47
)
 
2,275

 

 
2,169

Interest income
 

 

 

 
39

 
67

 
(98
)
 
8

Interest expense
 
 
(188
)
 
(81
)
 
(133
)
 
(3
)
 
98

 
(307
)
Intercompany interest income (expense)
 

 
21

 

 
(464
)
 
443

 

 

Intercompany other income (expense)
 

 
185

 

 
(362
)
 
177

 

 

Other income (expense)
 

 
18

 

 
(60
)
 
51

 
(8
)
 
1

Income (loss) from continuing operations before income taxes
 
 
(23
)
 
(81
)
 
(1,027
)
 
3,010

 
(8
)
 
1,871

Income tax expense (benefit)
 
 
(12
)
 
(8
)
 
(182
)
 
499

 

 
297

Net income (loss) from continuing operations
 
 
(11
)
 
(73
)
 
(845
)
 
2,511

 
(8
)
 
1,574

Net income (loss) from discontinued operations
 

 

 

 

 
(1
)
 

 
(1
)
Net income (loss) before equity in earnings of subsidiaries
 
 
(11
)
 
(73
)
 
(845
)
 
2,510

 
(8
)
 
1,573

Equity in earnings of subsidiaries
 
1,540

 
1,551

 
283

 
1,254

 

 
(4,628
)
 

Net income
 
1,540

 
1,540

 
210

 
409

 
2,510

 
(4,636
)
 
1,573

Less: Net income attributable to noncontrolling interests
 

 

 

 

 
41

 

 
41

Net income attributable to Aon shareholders
 
$
1,540

 
$
1,540

 
$
210

 
$
409

 
$
2,469

 
$
(4,636
)
 
$
1,532

Condensed Consolidating Statement of Income
 
 
Year Ended December 31, 2018
(millions)
 
Aon Ireland
 
Aon UK
 
Aon Global Holdings Limited
 
Aon Corporation
 
Other
Non-Guarantor
Subsidiaries
 
Consolidating
Adjustments
 
Consolidated
Revenue
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Total revenue
 
$

 
$

 
$

 
$

 
$
10,770

 
$

 
$
10,770

Expenses
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Compensation and benefits
 

 
74

 

 
(1
)
 
6,030

 

 
6,103

Information technology
 

 

 

 

 
484

 

 
484

Premises
 

 

 

 

 
370

 

 
370

Depreciation of fixed assets
 

 

 

 

 
176

 

 
176

Amortization and impairment of intangible assets
 

 

 

 

 
593

 

 
593

Other general expense
 

 
4

 

 
90

 
1,406

 

 
1,500

Total operating expenses
 

 
78

 

 
89

 
9,059

 

 
9,226

Operating income (loss)
 
 
(78
)
 
 
(89
)
 
1,711

 

 
1,544

Interest income
 

 

 

 
58

 
60

 
(113
)
 
5

Interest expense
 
 
(203
)
 
(83
)
 
(101
)
 
(4
)
 
113

 
(278
)
Intercompany interest income (expense)
 

 
15

 

 
(514
)
 
499

 

 

Intercompany other income (expense)
 

 
65

 

 
(373
)
 
308

 

 

Other income (expense)
 

 
41

 

 
(48
)
 
3

 
(21
)
 
(25
)
Income (loss) from continuing operations before income taxes
 
 
(160
)
 
(83
)
 
(1,067
)
 
2,577

 
(21
)
 
1,246

Income tax expense (benefit)
 
 
(60
)
 
(15
)
 
(192
)
 
413

 

 
146

Net income (loss) from continuing operations
 
 
(100
)
 
(68
)
 
(875
)
 
2,164

 
(21
)
 
1,100

Net income (loss) from discontinued operations
 

 

 

 

 
74

 

 
74

Net income (loss) before equity in earnings of subsidiaries
 
 
(100
)
 
(68
)
 
(875
)
 
2,238

 
(21
)
 
1,174

Equity in earnings of subsidiaries
 

 
1,255

 
100

 
1,009

 

 
(2,364
)
 

Net income
 

 
1,155

 
32
 
134

 
2,238

 
(2,385
)
 
1,174

Less: Net income attributable to noncontrolling interests
 

 

 

 

 
40

 

 
40

Net income attributable to Aon shareholders
 
$

 
$
1,155

 
$
32
 
$
134

 
$
2,198

 
$
(2,385
)
 
$
1,134

Condensed Consolidating Statement of Income
 
 
Year Ended December 31, 2017
(millions)
 
Aon Ireland
 
Aon UK
 
Aon Global Holdings Limited
 
Aon Corporation
 
Other
Non-Guarantor
Subsidiaries
 
Consolidating
Adjustments
 
Consolidated
Revenue
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Total revenue
 
$

 
$

 
$

 
$

 
$
9,998

 
$

 
$
9,998

Expenses
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Compensation and benefits
 

 
150

 

 
26

 
5,827

 

 
6,003

Information technology
 

 

 

 

 
419

 

 
419

Premises
 

 

 

 

 
348

 

 
348

Depreciation of fixed assets
 

 

 

 

 
187

 

 
187

Amortization and impairment of intangible assets
 

 

 

 

 
704

 

 
704

Other general expense
 

 
12

 

 
20

 
1,240

 

 
1,272

Total operating expenses
 

 
162

 

 
46

 
8,725

 

 
8,933

Operating income (loss)
 
 
(162
)
 
 
(46
)
 
1,273

 

 
1,065

Interest income
 

 

 

 
52

 
37

 
(62
)
 
27

Interest expense
 
 
(202
)
 
(33
)
 
(94
)
 
(15
)
 
62

 
(282
)
Intercompany interest income (expense)
 

 
14

 
1

 
(543
)
 
528

 

 

Intercompany other income (expense)
 

 
282

 

 
(385
)
 
103

 

 

Other income (expense)
 
 
(62
)
 
 
12

 
(93
)
 
18

 
(125
)
Income (loss) from continuing operations before income taxes
 
 
(130
)
 
(32
)
 
(1,004
)
 
1,833

 
18

 
685

Income tax expense (benefit)
 
 
(43
)
 
(6
)
 
(110
)
 
409

 

 
250

Net income (loss) from continuing operations
 
 
(87
)
 
(26
)
 
(894
)
 
1,424

 
18

 
435

Net income (loss) from discontinued operations
 

 

 

 

 
828

 

 
828

Net income (loss) before equity in earnings of subsidiaries
 
 
(87
)
 
(26
)
 
(894
)
 
2,252

 
18

 
1,263

Equity in earnings of subsidiaries
 

 
1,295

 
457

 
1,141

 

 
(2,893
)
 

Net income
 

 
1,208

 
431

 
247

 
2,252

 
(2,875
)
 
1,263

Less: Net income attributable to noncontrolling interests
 

 

 

 

 
37

 

 
37

Net income attributable to Aon shareholders
 
$

 
$
1,208

 
$
431

 
$
247

 
$
2,215

 
$
(2,875
)
 
$
1,226


Condensed Consolidating Statement of Comprehensive Income
 
 
Year Ended December 31, 2019
(millions)
 
Aon Ireland
 
Aon UK
 
Aon Global Holdings Limited
 
Aon Corporation
 
Other
Non-Guarantor
Subsidiaries
 
Consolidating
Adjustments
 
Consolidated
Net income
 
$
1,540

 
$
1,540

 
$
210

 
$
409

 
$
2,510

 
$
(4,636
)
 
$
1,573

Less: Net income attributable to noncontrolling interests
 

 

 

 

 
41

 

 
41

Net income attributable to Aon shareholders
 
1,540

 
1,540

 
210

 
409

 
2,469

 
(4,636
)
 
1,532

Other comprehensive income (loss), net of tax:
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Change in fair value of financial instruments
 

 

 

 
3

 

 

 
3

Foreign currency translation adjustments
 

 

 

 

 
6

 
8

 
14

Postretirement benefit obligation
 

 

 

 
(44
)
 
(97
)
 

 
(141
)
Total other comprehensive income (loss)
 

 

 

 
(41
)
 
(91
)
 
8

 
(124
)
Equity in other comprehensive income (loss) of subsidiaries, net of tax
 
(132
)
 
(132
)
 
(172
)
 
(131
)
 
 
567

 

Less: Other comprehensive income (loss) attributable to noncontrolling interests
 

 

 

 

 

 

 

Total other comprehensive income (loss) attributable to Aon shareholders
 
(132
)
 
(132
)
 
(172
)
 
(172
)
 
(91
)
 
575

 
(124
)
Comprehensive income (loss) attributable to Aon shareholders
 
$
1,408

 
$
1,408

 
$
38

 
$
237

 
$
2,378

 
$
(4,061
)
 
$
1,408


Condensed Consolidating Statement of Comprehensive Income
 
 
Year Ended December 31, 2018
(millions)
 
Aon Ireland
 
Aon UK
 
Aon Global Holdings Limited
 
Aon Corporation
 
Other
Non-Guarantor
Subsidiaries
 
Consolidating Adjustments
 
Consolidated
Net income
 
$

 
$
1,155

 
$
32
 
$
134

 
$
2,238

 
$
(2,385
)
 
$
1,174

Less: Net income attributable to noncontrolling interests
 

 

 

 

 
40

 

 
40

Net income attributable to Aon shareholders
 

 
1,155

 
32
 
134

 
2,198

 
(2,385
)
 
1,134

Other comprehensive income (loss), net of tax:
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Change in fair value of financial instruments
 

 

 

 

 
11

 

 
11

Foreign currency translation adjustments
 

 

 

 

 
(465
)
 
21

 
(444
)
Postretirement benefit obligation
 

 

 

 
(2
)
 
19

 

 
17

Total other comprehensive income (loss)
 

 

 

 
(2
)
 
(435
)
 
21

 
(416
)
Equity in other comprehensive income (loss) of subsidiaries, net of tax
 
 
(433
)
 
(417
)
 
(415
)
 
 
1,265

 

Less: Other comprehensive income (loss) attributable to noncontrolling interests
 

 

 

 

 
(4
)
 

 
(4
)
Total other comprehensive income (loss) attributable to Aon shareholders
 
 
(433
)
 
(417
)
 
(417
)
 
(431
)
 
1,286

 
(412
)
Comprehensive income (loss) attributable to Aon shareholders
 
$

 
$
722

 
$
(385
)
 
$
(283
)
 
$
1,767

 
$
(1,099
)
 
$
722

Condensed Consolidating Statement of Comprehensive Income
 
 
Year Ended December 31, 2017
(millions)
 
Aon Ireland
 
Aon UK
 
Aon Global Holdings Limited
 
Aon
Corporation
 
Other
Non-Guarantor
Subsidiaries
 
Consolidating
Adjustments
 
Consolidated
Net income
 
$

 
$
1,208

 
$
431

 
$
247

 
$
2,252

 
$
(2,875
)
 
$
1,263

Less: Net income attributable to noncontrolling interests
 

 

 

 

 
37

 

 
37

Net income attributable to Aon shareholders
 

 
1,208

 
431

 
247

 
2,215

 
(2,875
)
 
1,226

Other comprehensive income (loss), net of tax:
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Change in fair value of financial instruments
 

 

 

 
3

 
9

 

 
12

Foreign currency translation adjustments
 

 

 

 

 
408

 
(18
)
 
390

Postretirement benefit obligation
 

 

 

 
(101
)
 
120

 

 
19

Total other comprehensive income (loss)
 

 

 

 
(98
)
 
537

 
(18
)
 
421

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

 
434

 
417

 
515

 

 
(1,366
)
 

Less: Other comprehensive income (loss) attributable to noncontrolling interests
 

 

 

 

 
5

 

 
5

Total other comprehensive income (loss) attributable to Aon shareholders
 

 
434

 
417

 
417

 
532

 
(1,384
)
 
416

Comprehensive income (loss) attributable to Aon shareholders
 
$

 
$
1,642

 
$
848

 
$
664

 
$
2,747

 
$
(4,259
)
 
$
1,642


Condensed Consolidating Statement of Financial Position
 
 
As of December 31, 2019
(millions)
 
Aon Ireland
 
Aon UK
 
Aon Global Holdings Limited
 
Aon
Corporation
 
Other
Non-Guarantor
Subsidiaries
 
Consolidating
Adjustments
 
Consolidated
Assets
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Current assets
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Cash and cash equivalents
 
$

 
$

 
$

 
$
2,271

 
$
2,619

 
$
(4,100
)
 
$
790

Short-term investments
 

 

 

 
28

 
110

 

 
138

Receivables, net
 

 

 

 

 
3,112

 

 
3,112

Fiduciary assets
 

 

 

 

 
11,834

 

 
11,834

Intercompany receivables
 

 
246

 
89

 
1,214

 
12,710

 
(14,259
)
 

Other current assets
 

 

 

 
7

 
595

 

 
602

Total current assets
 

 
246

 
89

 
3,520

 
30,980

 
(18,359
)
 
16,476

Goodwill
 

 

 

 

 
8,165

 

 
8,165

Intangible assets, net
 

 

 

 

 
783

 

 
783

Operating lease right-of-use assets
 

 

 

 
110

 
819

 

 
929

Fixed assets, net
 

 

 

 

 
621

 

 
621

Deferred tax assets
 

 
89

 
4

 
577

 
165

 
(190
)
 
645

Intercompany receivables
 

 
868

 

 
261

 
7,046

 
(8,175
)
 

Prepaid pension
 

 

 

 
7

 
1,209

 

 
1,216

Other non-current assets
 

 

 

 
32

 
538

 

 
570

Investment in subsidiary
 
3,375

 
8,899

 
12,211

 
19,470

 
 
(43,955
)
 

Total assets
 
$
3,375

 
$
10,102

 
$
12,304

 
$
23,977

 
$
50,326

 
$
(70,679
)
 
$
29,405

 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Liabilities and equity
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Liabilities
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Current liabilities
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Accounts payable and accrued liabilities
 
$

 
$
2,157

 
$
1,994

 
$
56

 
$
1,832

 
$
(4,100
)
 
$
1,939

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

 
112

 

 
600

 

 

 
712

Fiduciary liabilities
 

 

 

 

 
11,834

 

 
11,834

Intercompany payables
 

 
234

 
61

 
12,978

 
986

 
(14,259
)
 

Other current liabilities
 

 

 

 
80

 
1,006

 

 
1,086

Total current liabilities
 

 
2,503

 
2,055

 
13,714

 
15,658

 
(18,359
)
 
15,571

Long-term debt
 

 
4,223

 

 
2,404

 

 

 
6,627

Non-current operating lease liabilities
 

 

 

 
143

 
801

 

 
944

Deferred tax liabilities
 

 

 

 

 
389

 
(190
)
 
199

Pension, other postretirement, and other post-employment liabilities
 

 

 

 
1,348

 
390

 

 
1,738

Intercompany payables
 

 

 

 
7,212

 
963

 
(8,175
)
 

Other non-current liabilities
 

 
1

 

 
113

 
763

 

 
877

Total liabilities
 

 
6,727

 
2,055

 
24,934

 
18,964

 
(26,724
)
 
25,956

 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Equity
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Total Aon shareholders' equity
 
3,375

 
3,375

 
10,249

 
(957
)
 
31,288

 
(43,955
)
 
3,375

Noncontrolling interests
 

 

 

 

 
74

 

 
74

Total equity
 
3,375

 
3,375

 
10,249

 
(957
)
 
31,362

 
(43,955
)
 
3,449

Total liabilities and equity
 
$
3,375

 
$
10,102

 
$
12,304

 
$
23,977

 
$
50,326

 
$
(70,679
)
 
$
29,405

Condensed Consolidating Statement of Financial Position
 
 
As of December 31, 2018
(millions)
 
Aon Ireland
 
Aon UK
 
Aon Global Holdings Limited
 
Aon
Corporation
 
Other
Non-Guarantor
Subsidiaries
 
Consolidating
Adjustments
 
Consolidated
Assets
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Current assets
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Cash and cash equivalents
 
$

 
$

 
$

 
$
862

 
$
3,473

 
$
(3,679
)
 
$
656

Short-term investments
 

 

 

 
56

 
116

 

 
172

Receivables, net
 

 

 

 

 
2,760

 

 
2,760

Fiduciary assets
 

 

 

 

 
10,166

 

 
10,166

Intercompany receivables
 

 
191

 
20

 
897

 
11,614

 
(12,722
)
 

Other current assets
 

 

 

 
16

 
602

 

 
618

Total current assets
 

 
191

 
20

 
1,831

 
28,731

 
(16,401
)
 
14,372

Goodwill
 

 

 

 

 
8,171

 

 
8,171

Intangible assets, net
 

 

 

 

 
1,149

 

 
1,149

Fixed assets, net
 

 

 

 

 
588

 

 
588

Deferred tax assets
 

 
94

 
4

 
467

 
140

 
(144
)
 
561

Intercompany receivables
 

 
403

 

 
261

 
7,225

 
(7,889
)
 

Prepaid pension
 

 

 

 
5

 
1,128

 

 
1,133

Other non-current assets
 

 
1

 

 
30

 
417

 

 
448

Investment in subsidiary
 

 
8,433

 
4,421

 
19,031

 
 
(31,885
)
 

Total assets
 
$

 
$
9,122

 
$
4,445

 
$
21,625

 
$
47,549

 
$
(56,319
)
 
$
26,422

 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Liabilities and equity
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Liabilities
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Current liabilities
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Accounts payable and accrued liabilities
 
$

 
$
274

 
$
3,463

 
$
70

 
$
1,815

 
$
(3,679
)
 
$
1,943

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

 
250

 

 

 
1

 

 
251

Fiduciary liabilities
 

 

 

 

 
10,166

 

 
10,166

Intercompany payables
 

 
213

 
1

 
11,875

 
633

 
(12,722
)
 

Other current liabilities
 

 

 

 
69

 
867

 

 
936

Total current liabilities
 

 
737

 
3,464

 
12,014

 
13,482

 
(16,401
)
 
13,296

Long-term debt
 

 
4,231

 

 
1,762

 

 

 
5,993

Deferred tax liabilities
 

 

 

 

 
325

 
(144
)
 
181

Pension, other postretirement, and other post-employment liabilities
 

 

 

 
1,275

 
361

 

 
1,636

Intercompany payables
 

 

 

 
7,390

 
499

 
(7,889
)
 

Other non-current liabilities
 

 
3

 

 
167

 
927

 

 
1,097

Total liabilities
 

 
4,971

 
3,464

 
22,608

 
15,594

 
(24,434
)
 
22,203

 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Equity
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Total Aon shareholders' equity
 

 
4,151

 
981
 
(983
)
 
31,887

 
(31,885
)
 
4,151

Noncontrolling interests
 

 

 

 

 
68

 

 
68

Total equity
 

 
4,151

 
981
 
(983
)
 
31,955

 
(31,885
)
 
4,219

Total liabilities and equity
 
$

 
$
9,122

 
$
4,445

 
$
21,625

 
$
47,549

 
$
(56,319
)
 
$
26,422


Condensed Consolidating Statement of Cash Flows
 
 
Year Ended December 31, 2019
(millions)
 
Aon Ireland
 
Aon UK
 
Aon Global Holdings Limited
 
Aon
Corporation
 
Other
Non-Guarantor
Subsidiaries
 
Consolidating
Adjustments
 
Consolidated
Cash flows from operating activities
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Cash provided by (used for) operating activities - continuing operations
 
$

 
$
280

 
$
1,346

 
$
(140
)
 
$
2,254

 
$
(1,905
)
 
$
1,835

Cash provided by operating activities - discontinued operations
 

 

 

 

 

 

 

Cash provided by (used for) operating activities
 

 
280

 
1,346

 
(140
)
 
2,254

 
(1,905
)
 
1,835

 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Cash flows from investing activities
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Proceeds from investments
 

 

 
123

 
29

 
189

 
(280
)
 
61

Payments for investments
 

 

 

 
(62
)
 
(124
)
 
73

 
(113
)
Net sales (purchases) of short-term investments — non-fiduciary
 

 

 

 
28

 
7

 

 
35

Acquisition of businesses, net of cash acquired
 

 

 

 

 
(39
)
 

 
(39
)
Sale of businesses, net of cash sold
 

 

 

 

 
52

 

 
52

Capital expenditures
 

 

 

 

 
(225
)
 

 
(225
)
Cash used for investing activities - continuing operations
 

 

 
123

 
(5
)
 
(140
)
 
(207
)
 
(229
)
Cash used for investing activities - discontinued operations
 

 

 

 

 

 

 

Cash used for investing activities
 

 

 
123

 
(5
)
 
(140
)
 
(207
)
 
(229
)
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Cash flows from financing activities
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Share repurchase
 
 
(1,960
)
 
(1,469
)
 

 

 

 
(1,960
)
Advances from (to) affiliates
 

 
2,350

 

 
314

 
(2,886
)
 
1,691
 
Issuance of shares for employee benefit plans
 
 
(131
)
 
 

 

 

 
(131
)
Issuance of debt
 

 
2,739

 

 
3,313

 

 

 
6,052

Repayment of debt
 
 
(2,868
)
 
 
(2,073
)
 

 

 
(4,941
)
Cash dividends to shareholders
 
 
(410
)
 
 

 

 

 
(410
)
Noncontrolling interests and other financing activities
 

 

 

 

 
(103
)
 

 
(103
)
Cash provided by (used for) financing activities - continuing operations
 
 
(280
)
 
(1,469
)
 
1,554

 
(2,989
)
 
1,691
 
(1,493
)
Cash used for financing activities - discontinued operations
 

 

 

 

 

 

 

Cash provided by (used for) financing activities
 
 
(280
)
 
(1,469
)
 
1,554

 
(2,989
)
 
1,691
 
(1,493
)
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Effect of exchange rate changes on cash and cash equivalents
 

 

 

 

 
21

 

 
21

Net increase (decrease) in cash and cash equivalents
 

 

 

 
1,409

 
(854
)
 
(421
)
 
134

Cash and cash equivalents at beginning of year
 

 

 

 
862

 
3,473

 
(3,679
)
 
656

Cash and cash equivalents at end of year
 
$

 
$

 
$

 
$
2,271

 
$
2,619

 
$
(4,100
)
 
$
790


Condensed Consolidating Statement of Cash Flows
 
 
Year Ended December 31, 2018
(millions)
 
Aon Ireland
 
Aon UK
 
Aon Global Holdings Limited
 
Aon
Corporation
 
Other
Non-Guarantor
Subsidiaries
 
Consolidating
Adjustments
 
Consolidated
Cash flows from operating activities
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Cash provided by operating activities - continuing operations
 
$

 
$
1,575

 
$
2,676

 
$
3

 
$
2,700

 
$
(5,268
)
 
$
1,686

Cash provided by operating activities - discontinued operations
 

 

 

 

 

 

 

Cash provided by operating activities
 

 
1,575

 
2,676

 
3

 
2,700

 
(5,268
)
 
1,686

 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Cash flows from investing activities
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Proceeds from investments
 

 

 

 
24

 
955

 
(908
)
 
71

Payments for investments
 
 
(13
)
 
 
(47
)
 
(33
)
 
13

 
(80
)
Net sales (purchases) of short-term investments — non-fiduciary
 

 

 

 
299

 
49

 

 
348

Acquisition of businesses, net of cash acquired
 

 

 

 

 
(58
)
 

 
(58
)
Sale of businesses, net of cash sold
 

 

 

 

 
(10
)
 

 
(10
)
Capital expenditures
 

 

 

 

 
(240
)
 

 
(240
)
Cash provided by (used for) investing activities - continuing operations
 
 
(13
)
 
 
276

 
663

 
(895
)
 
31

Cash used for investing activities - discontinued operations
 

 

 

 

 

 

 

Cash provided by (used for) investing activities
 
 
(13
)
 
 
276

 
663

 
(895
)
 
31

 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Cash flows from financing activities
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Share repurchase
 
 
(1,470
)
 
 

 

 

 
(1,470
)
Advances from (to) affiliates
 

 
156

 
(2,676
)
 
(2,291
)
 
(2,523
)
 
7,334

 

Issuance of shares for employee benefit plans
 
 
(149
)
 
 

 

 

 
(149
)
Issuance of debt
 

 
1,723

 

 
4,028

 
3

 

 
5,754

Repayment of debt
 
 
(1,441
)
 
 
(3,678
)
 
(298
)
 

 
(5,417
)
Cash dividends to shareholders
 
 
(382
)
 
 

 

 

 
(382
)
Noncontrolling interests and other financing activities
 

 

 

 

 
(35
)
 

 
(35
)
Cash used for financing activities - continuing operations
 
 
(1,563
)
 
(2,676
)
 
(1,941
)
 
(2,853
)
 
7,334

 
(1,699
)
Cash used for financing activities - discontinued operations
 

 

 

 

 

 

 

Cash used for financing activities
 
 
(1,563
)
 
(2,676
)
 
(1,941
)
 
(2,853
)
 
7,334

 
(1,699
)
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Effect of exchange rate changes on cash and cash equivalents
 

 

 

 

 
(118
)
 

 
(118
)
Net decrease in cash and cash equivalents
 
 
(1
)
 
 
(1,662
)
 
392
 
1,171

 
(100
)
Cash and cash equivalents at beginning of year
 

 
1

 

 
2,524

 
3,081

 
(4,850
)
 
756

Cash and cash equivalents at end of year
 
$

 
$

 
$

 
$
862

 
$
3,473

 
$
(3,679
)
 
$
656


Condensed Consolidating Statement of Cash Flows
 
 
Year Ended December 31, 2017
(millions)
 
Aon Ireland
 
Aon UK
 
Aon Global Holdings Limited
 
Aon
Corporation
 
Other
Non-Guarantor
Subsidiaries
 
Consolidating
Adjustments
 
Consolidated
Cash flows from operating activities
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Cash provided by operating activities - continuing operations
 
$

 
$
2,787

 
$
618

 
$
503

 
$
1,804

 
$
(5,043
)
 
$
669
Cash provided by operating activities - discontinued operations
 

 

 

 

 
65

 

 
65

Cash provided by operating activities
 

 
2,787

 
618

 
503

 
1,869

 
(5,043
)
 
734
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Cash flows from investing activities
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Proceeds from investments
 

 
224

 
1,683

 
587

 
582

 
(3,008
)
 
68

Payments for investments
 
 
(261
)
 
(1,141
)
 
(29
)
 
(2,259
)
 
3,626

 
(64
)
Net sales (purchases) of short-term investments — non-fiduciary
 

 

 

 
(215
)
 
(17
)
 

 
(232
)
Acquisition of businesses, net of cash acquired
 

 

 

 

 
(1,029
)
 

 
(1,029
)
Sale of businesses, net of cash sold
 

 

 

 

 
4,246

 

 
4,246

Capital expenditures
 

 

 

 

 
(183
)
 

 
(183
)
Cash provided by (used for) investing activities - continuing operations
 
 
(37
)
 
542
 
343

 
1,340

 
618
 
2,806

Cash used for investing activities - discontinued operations
 

 

 

 

 
(19
)
 

 
(19
)
Cash provided by (used for) investing activities
 
 
(37
)
 
542
 
343

 
1,321

 
618
 
2,787

 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Cash flows from financing activities
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Share repurchase
 
 
(2,399
)
 
 

 

 

 
(2,399
)
Advances from (to) affiliates
 

 
426

 
(1,160
)
 
95

 
(1,966
)
 
2,605

 

Issuance of shares for employee benefit plans
 
 
(121
)
 
 

 

 

 
(121
)
Issuance of debt
 

 
544

 

 
1,100

 
10

 

 
1,654

Repayment of debt
 
 
(835
)
 
 
(1,150
)
 
(14
)
 

 
(1,999
)
Cash dividends to shareholders
 
 
(364
)
 
 

 

 

 
(364
)
Noncontrolling interests and other financing activities
 

 

 

 

 
(36
)
 

 
(36
)
Cash provided by (used for) financing activities - continuing operations
 
 
(2,749
)
 
(1,160
)
 
45

 
(2,006
)
 
2,605

 
(3,265
)
Cash used for financing activities - discontinued operations
 

 

 

 

 

 

 

Cash provided by (used for) financing activities
 
 
(2,749
)
 
(1,160
)
 
45

 
(2,006
)
 
2,605

 
(3,265
)
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Effect of exchange rate changes on cash and cash equivalents
 

 

 

 

 
69

 

 
69

Net increase in cash and cash equivalents
 

 
1

 

 
891

 
1,253

 
(1,820
)
 
325

Cash and cash equivalents at beginning of year (1)
 

 

 

 
1,633

 
1,828

 
(3,030
)
 
431

Cash and cash equivalents at end of year
 
$

 
$
1

 
$

 
$
2,524

 
$
3,081

 
$
(4,850
)
 
$
756


(1)
Includes $5 million of discontinued operations at December 31, 2016.