Segment Information (Tables)

6 Months Ended

Jun. 30, 2013

Selected Information And Details For MMC's Operating Segments

Selected information about the Company’s operating segments for the three and six month periods ended June 30, 2013 and 2012 are as follows:



	Three Months Ended June 30,							Six Months Ended June 30,
(In millions of dollars)	Revenue				Operating Income (Loss)			Revenue				Operating Income (Loss)
2013 –
Risk and Insurance Services	$	1,688		^(a)	$	421		$	3,459		^(c)	$	889
Consulting	1,410			^(b)	205			2,772			^(d)	392
Total Operating Segments	3,098				626			6,231				1,281
Corporate / Eliminations	(10		)		(49		)	(17		)		(97		)
Total Consolidated	$	3,088			$	577		$	6,214			$	1,184
2012–
Risk and Insurance Services	$	1,641		^(a)	$	390		$	3,330		^(c)	$	802
Consulting	1,398			^(b)	183			2,769			^(d)	347
Total Operating Segments	3,039				573			6,099				1,149
Corporate / Eliminations	(13		)		(55		)	(22		)		(104		)
Total Consolidated	$	3,026			$	518		$	6,077			$	1,045


^(a)	Includes inter-segment revenue of $3 million and $2 million in 2013 and 2012 respectively, interest income on fiduciary funds of $6 million and $10 million in 2013 and 2012, respectively, and equity method income of $7 million and $9 million in 2013 and 2012, respectively.


^(b)	Includes inter-segment revenue of $7 million and $11 million in 2013 and 2012, respectively, and interest income on fiduciary funds of $1 million in 2013 and 2012.


^(c)	Includes inter-segment revenue of $3 million in both 2013 and 2012, interest income on fiduciary funds of $14 million and $21 million in 2013 and 2012, respectively, and equity method income of $8 million and $10 million in 2013 and 2012, respectively.


^(d)	Includes inter-segment revenue of $14 million and $19 million in 2013 and 2012, respectively, and interest income on fiduciary funds of $2 million and $1 million in 2013 and 2012, respectively.

Details Of Operating Segment Revenue

16. Segment Information

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


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


▪	Consulting, comprising Mercer and Oliver Wyman Group

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 2012 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.

Effective January 1, 2013, the Corporate Benefits and Association businesses, previously part of Marsh's U.S. Consumer operations, were transferred to Mercer. The segment data presented below reflects the reclassification of prior year segment data to conform with the current year presentations.

Selected information about the Company’s operating segments for the three and six month periods ended June 30, 2013 and 2012 are as follows:



	Three Months Ended June 30,							Six Months Ended June 30,
(In millions of dollars)	Revenue				Operating Income (Loss)			Revenue				Operating Income (Loss)
2013 –
Risk and Insurance Services	$	1,688		^(a)	$	421		$	3,459		^(c)	$	889
Consulting	1,410			^(b)	205			2,772			^(d)	392
Total Operating Segments	3,098				626			6,231				1,281
Corporate / Eliminations	(10		)		(49		)	(17		)		(97		)
Total Consolidated	$	3,088			$	577		$	6,214			$	1,184
2012–
Risk and Insurance Services	$	1,641		^(a)	$	390		$	3,330		^(c)	$	802
Consulting	1,398			^(b)	183			2,769			^(d)	347
Total Operating Segments	3,039				573			6,099				1,149
Corporate / Eliminations	(13		)		(55		)	(22		)		(104		)
Total Consolidated	$	3,026			$	518		$	6,077			$	1,045


^(a)	Includes inter-segment revenue of $3 million and $2 million in 2013 and 2012 respectively, interest income on fiduciary funds of $6 million and $10 million in 2013 and 2012, respectively, and equity method income of $7 million and $9 million in 2013 and 2012, respectively.


^(b)	Includes inter-segment revenue of $7 million and $11 million in 2013 and 2012, respectively, and interest income on fiduciary funds of $1 million in 2013 and 2012.


^(c)	Includes inter-segment revenue of $3 million in both 2013 and 2012, interest income on fiduciary funds of $14 million and $21 million in 2013 and 2012, respectively, and equity method income of $8 million and $10 million in 2013 and 2012, respectively.


^(d)	Includes inter-segment revenue of $14 million and $19 million in 2013 and 2012, respectively, and interest income on fiduciary funds of $2 million and $1 million in 2013 and 2012, respectively.

Details of operating segment revenue for the three and six month periods ended June 30, 2013 and 2012 are as follows:



	Three Months Ended June 30,						Six Months Ended June 30,
(In millions of dollars)	2013			2012			2013			2012
Risk and Insurance Services
Marsh	$	1,402		$	1,364		$	2,797		$	2,694
Guy Carpenter	286			277			662			636
Total Risk and Insurance Services	1,688			1,641			3,459			3,330
Consulting
Mercer	1,044			1,017			2,085			2,032
Oliver Wyman Group	366			381			687			737
Total Consulting	1,410			1,398			2,772			2,769
Total Operating Segments	3,098			3,039			6,231			6,099
Corporate/ Eliminations	(10		)	(13		)	(17		)	(22		)
Total	$	3,088		$	3,026		$	6,214		$	6,077

The following reflects the impact of the transfer discussed above on prior year's segment information:



	Three Months Ended June 30, 2012									Six Months Ended June 30, 2012
(In millions of dollars)	As Reported			Reclassification			Current Presentation			As Reported			Reclassification			Current Presentation
Revenue
Risk and Insurance Services
Marsh	$	1,421		$	(57	)	$	1,364		$	2,809		$	(115	)	$	2,694
Guy Carpenter	277			—			277			636			—			636
Total Risk and Insurance Services	1,698			(57		)	1,641			3,445			(115		)	3,330
Consulting
Mercer	960			57			1,017			1,917			115			2,032
Oliver Wyman Group	381			—			381			737			—			737
Total Consulting	1,341			57			1,398			2,654			115			2,769
Total Operating Segments	3,039			—			3,039			6,099			—			6,099
Corporate Eliminations	(13		)	—			(13		)	(22		)	—			(22		)
Total Revenue	$	3,026		$	—		$	3,026		$	6,077		$	—		$	6,077
Operating Income
Risk and Insurance Services	$	401		$	(11	)	$	390		$	818		$	(16	)	$	802
Consulting	172			11			183			331			16			347
Total Operating Segments	573			—			573			1,149			—			1,149
Corporate Eliminations	(55		)	—			(55		)	(104		)	—			(104		)
Total Consolidated	$	518		$	—		$	518		$	1,045		$	—		$	1,045

- Definition

Tabular disclosure of all significant reconciling items in the reconciliation of total profit or loss from reportable segments, to the entity's consolidated income before income taxes, extraordinary items, and discontinued operations.

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- Definition

Tabular disclosure of the profit or loss and total assets for each reportable segment. An entity discloses certain information on each reportable segment if the amounts (a) are included in the measure of segment profit or loss reviewed by the chief operating decision maker or (b) are otherwise regularly provided to the chief operating decision maker, even if not included in that measure of segment profit or loss.

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