Segment Information

12 Months Ended

Dec. 31, 2011

Segment Information [Abstract]

Segment Information

Segment Information

The Company is organized based on the types of services provided. Under this organizational structure, the Company’s segments are:

▪ Risk and Insurance Services, comprising insurance services (Marsh) and reinsurance services (Guy Carpenter); and

▪ Consulting, comprising Mercer and Oliver Wyman Group

With the sale of Kroll in August 2010, along with previous divestiture transactions between 2008 and 2010, the Company has divested its entire Risk Consulting and Technology segment.

The accounting policies of the segments are the same as those used for the consolidated financial statements described in Note 1 to the Company’s 2011 10-K. Segment performance is evaluated based on segment operating income, which includes directly related expenses, and charges or credits related to integration and restructuring but not the Company’s corporate-level expenses. Revenues are attributed to geographic areas on the basis of where the services are performed.

Selected information about the Company’s segments and geographic areas of operation are as follows:

For the Year Ended December 31, (In millions of dollars)	Revenue				Operating Income (Loss)				Total Assets			Depreciation and Amortization		Capital Expenditures
2011 –
Risk and Insurance Services	$	6,301		(a)	$	1,229			$	9,202		$	191	$	146
Consulting	5,265			(b)	588				4,720			110		91
Total Operating Segments	11,566				1,817				13,922			301		237
Corporate / Eliminations	(40		)	(c)	(179		)	(c)	1,532		(d)	31		43
Total Consolidated	$	11,526			$	1,638			$	15,454		$	332	$	280
2010 –
Risk and Insurance Services	$	5,764		(a)	$	972			$	9,418		$	177	$	144
Consulting	4,835			(b)	129				4,437			113		80
Total Operating Segments	10,599				1,101				13,855			290		224
Corporate / Eliminations	(49		)	(c)	(162		)	(c)	1,455		(d)	29		34
Total Consolidated	$	10,550			$	939			$	15,310		$	319	$	258
2009 –
Risk and Insurance Services	$	5,284		(a)	$	796			$	8,320		$	153	$	147
Consulting	4,609			(b)	405				4,244			114		78
Total Operating Segments	9,893				$	1,201			12,564			267		225
Corporate / Eliminations	(62		)	(c)	(423		)	(c)	2,773		(d)	28		36
Total Consolidated	$	9,831			$	778			$	15,337		$	295	$	261

(a) Includes inter-segment revenue of $4 million, $7 million and $18 million in 2011, 2010 and 2009 respectively, interest income on fiduciary funds of $47 million, $45 million and $54 million in 2011, 2010, and 2009, respectively, and equity method income of $14 million, $12 million and $13 million in 2011, 2010, and 2009, respectively.

(b) Includes inter-segment revenue of $36 million, $43 million and $45 million in 2011, 2010 and 2009, respectively, and interest income on fiduciary funds of $4 million in 2011, 2010, and 2009.

(c) Includes results of corporate advisory and restructuring business.

(d) Corporate assets primarily include insurance recoverables, pension related assets, the owned portion of the Company headquarters building and intercompany eliminations. Also includes assets of discontinued operations and the corporate advisory and restructuring business of $1.6 billion in 2009.

Details of operating segment revenue are as follows:

For the Years Ended December 31,
(In millions of dollars)	2011			2010			2009
Risk and Insurance Services
Marsh	$	5,253		$	4,781		$	4,363
Guy Carpenter	1,048			983			921
Total Risk and Insurance Services	6,301			5,764			5,284
Consulting
Mercer	3,782			3,478			3,327
Oliver Wyman Group	1,483			1,357			1,282
Total Consulting	5,265			4,835			4,609
Total Operating Segments	11,566			10,599			9,893
Corporate/ Eliminations	(40		)	(49		)	(62		)
Total	$	11,526		$	10,550		$	9,831

Information by geographic area is as follows:

For the Years Ended December 31,
(In millions of dollars)	2011			2010			2009
Revenue
United States	$	5,131		$	4,708		$	4,436
United Kingdom	1,922			1,720			1,708
Continental Europe	1,906			1,809			1,798
Asia Pacific	1,287			1,067			862
Other	1,320			1,295			1,089
	11,566			10,599			9,893
Corporate/Eliminations	(40		)	(49		)	(62		)
	$	11,526		$	10,550		$	9,831

For the Years Ended December 31,
(In millions of dollars)	2011		2010		2009
Fixed Assets, Net
United States	$	505	$	511	$	515
United Kingdom	133		132		147
Continental Europe	65		69		74
Asia Pacific	37		43		41
Other	64		67		73
	$	804	$	822	$	850