Document and Entity Information
Document and Entity Information - USD ($) | 12 Months Ended | ||
Dec. 31, 2015 | Feb. 05, 2016 | Jun. 30, 2015 | |
Document and Entity Information | |||
Entity Registrant Name | Aon plc | ||
Entity Central Index Key | 315,293 | ||
Document Type | 10-K | ||
Document Period End Date | Dec. 31, 2015 | ||
Amendment Flag | false | ||
Current Fiscal Year End Date | --12-31 | ||
Entity Well-known Seasoned Issuer | Yes | ||
Entity Voluntary Filers | No | ||
Entity Current Reporting Status | Yes | ||
Entity Filer Category | Large Accelerated Filer | ||
Entity Common Stock, Shares Outstanding | 270,081,701 | ||
Document Fiscal Year Focus | 2,015 | ||
Document Fiscal Period Focus | FY | ||
Entity Public Float | $ 27,889,141,346 |
Consolidated Statements of Inco
Consolidated Statements of Income - USD ($) shares in Millions, $ in Millions | 12 Months Ended | ||
Dec. 31, 2015 | Dec. 31, 2014 | Dec. 31, 2013 | |
Revenue | |||
Commissions, fees and other | $ 11,661 | $ 12,019 | $ 11,787 |
Fiduciary investment income | 21 | 26 | 28 |
Total revenue | 11,682 | 12,045 | 11,815 |
Expenses | |||
Compensation and benefits | 6,837 | 7,014 | 6,945 |
Other general expenses | 2,997 | 3,065 | 3,199 |
Total operating expenses | 9,834 | 10,079 | 10,144 |
Operating income | 1,848 | 1,966 | 1,671 |
Interest income | 14 | 10 | 9 |
Interest expense | (273) | (255) | (210) |
Other income | 100 | 44 | 68 |
Income before income taxes | 1,689 | 1,765 | 1,538 |
Income taxes | 267 | 334 | 390 |
Net income | 1,422 | 1,431 | 1,148 |
Less: Net income attributable to noncontrolling interests | 37 | 34 | 35 |
Net income attributable to Aon shareholders | $ 1,385 | $ 1,397 | $ 1,113 |
Basic net income per share attributable to Aon shareholders (in dollars per share) | $ 4.93 | $ 4.73 | $ 3.57 |
Diluted net income per share attributable to Aon shareholders (in dollars per share) | 4.88 | 4.66 | 3.53 |
Cash dividends per share paid on ordinary shares (in dollars per share) | $ 1.15 | $ 0.92 | $ 0.68 |
Weighted average ordinary shares outstanding - basic (in shares) | 280.8 | 295.5 | 311.4 |
Weighted average ordinary shares outstanding - diluted (in shares) | 283.8 | 299.6 | 315.4 |
Consolidated Statements of Comp
Consolidated Statements of Comprehensive Income - USD ($) $ in Millions | 3 Months Ended | 12 Months Ended | |||||||||
Dec. 31, 2015 | Sep. 30, 2015 | Jun. 30, 2015 | Mar. 31, 2015 | Dec. 31, 2014 | Sep. 30, 2014 | Jun. 30, 2014 | Mar. 31, 2014 | Dec. 31, 2015 | Dec. 31, 2014 | Dec. 31, 2013 | |
Statement of Comprehensive Income [Abstract] | |||||||||||
Net income | $ 590 | $ 303 | $ 188 | $ 341 | $ 467 | $ 315 | $ 313 | $ 336 | $ 1,422 | $ 1,431 | $ 1,148 |
Less: Net income attributable to noncontrolling interests | 6 | 8 | 10 | 13 | 8 | 6 | 9 | 11 | 37 | 34 | 35 |
Net income attributable to Aon shareholders | $ 584 | $ 295 | $ 178 | $ 328 | $ 459 | $ 309 | $ 304 | $ 325 | 1,385 | 1,397 | 1,113 |
Other comprehensive (loss) gain, net of tax: | |||||||||||
Change in fair value of financial instruments | (8) | 4 | 7 | ||||||||
Foreign currency translation adjustments | (442) | (507) | (65) | ||||||||
Post-retirement benefit obligation | 155 | (260) | 293 | ||||||||
Total other comprehensive (loss) income | (295) | (763) | 235 | ||||||||
Less: Other comprehensive loss attributable to noncontrolling interests | (6) | (3) | (1) | ||||||||
Total other comprehensive (loss) income attributable to Aon shareholders | (289) | (760) | 236 | ||||||||
Comprehensive income attributable to Aon shareholders | $ 1,096 | $ 637 | $ 1,349 |
Consolidated Statements of Fina
Consolidated Statements of Financial Position - USD ($) $ in Millions | Dec. 31, 2015 | Dec. 31, 2014 |
CURRENT ASSETS | ||
Cash and cash equivalents | $ 384 | $ 374 |
Short-term investments | 356 | 394 |
Receivables, net | 2,734 | 2,815 |
Fiduciary assets | 9,932 | 11,638 |
Other current assets | 566 | 602 |
Total Current Assets | 13,972 | 15,823 |
Goodwill | 8,448 | 8,860 |
Intangible assets, net | 2,180 | 2,520 |
Fixed assets, net | 765 | 765 |
Non-current deferred tax assets | 141 | 144 |
Prepaid pension | 1,033 | 933 |
Other non-current assets | 625 | 727 |
TOTAL ASSETS | 27,164 | 29,772 |
CURRENT LIABILITIES | ||
Fiduciary liabilities | 9,932 | 11,638 |
Short-term debt and current portion of long-term debt | 562 | 783 |
Accounts payable and accrued liabilities | 1,772 | 1,805 |
Other current liabilities | 820 | 788 |
Total Current Liabilities | 13,086 | 15,014 |
Long-term debt | 5,175 | 4,799 |
Non-current deferred tax liabilities | 176 | 313 |
Pension, other post retirement, and post employment liabilities | 1,795 | 2,141 |
Other non-current liabilities | 769 | 874 |
TOTAL LIABILITIES | 21,001 | 23,141 |
EQUITY | ||
Ordinary shares - $0.01 nominal value Authorized: 750 shares (issued: 2015 - 269.8; 2014 - 280.0) | 3 | 3 |
Additional paid-in capital | 5,409 | 5,097 |
Retained earnings | 4,117 | 4,605 |
Accumulated other comprehensive loss | (3,423) | (3,134) |
TOTAL AON SHAREHOLDERS' EQUITY | 6,106 | 6,571 |
Noncontrolling interests | 57 | 60 |
TOTAL EQUITY | 6,163 | 6,631 |
TOTAL LIABILITIES AND EQUITY | $ 27,164 | $ 29,772 |
Consolidated Statements of Fin5
Consolidated Statements of Financial Position (Parenthetical) - $ / shares | Dec. 31, 2015 | Dec. 31, 2014 |
Statement of Financial Position [Abstract] | ||
Ordinary shares, nominal or par value | $ 0.01 | $ 0.01 |
Ordinary shares, Authorized shares | 750,000,000 | 750,000,000 |
Ordinary shares, issued shares | 269,800,000 | 280,000,000 |
Consolidated Statements of Shar
Consolidated Statements of Shareholders' Equity - USD ($) shares in Millions, $ in Millions | Total | Ordinary Shares and Additional Paid-in Capital [Member] | Retained Earnings [Member] | Accumulated Other Comprehensive Loss, Net of Tax [Member] | Noncontrolling Interests [Member] |
Balance (in shares) at Dec. 31, 2012 | 310.9 | ||||
Balance at Dec. 31, 2012 | $ 7,805 | $ 4,439 | $ 5,933 | $ (2,610) | $ 43 |
Increase (Decrease) in Shareholders' Equity | |||||
Net income | 1,148 | 1,113 | 35 | ||
Shares issued - employee benefit plan (in shares) | 0.7 | ||||
Shares issued — employee benefit plan | 27 | $ 28 | (1) | ||
Shares issued - employee compensation (in shares) | 5.9 | ||||
Shares issued — employee compensation | (50) | $ (50) | 0 | ||
Shares purchased (in shares) | (16.8) | ||||
Shares purchased | (1,102) | (1,102) | |||
Tax benefit — employee benefit plans | 74 | $ 74 | |||
Share-based compensation expense | 300 | 300 | |||
Dividends to shareholders | (212) | (212) | |||
Net change in fair value of financial instruments | 7 | ||||
Net change in fair value of derivatives | 7 | 7 | |||
Net foreign currency translation adjustments | (65) | (64) | (1) | ||
Net post-retirement benefit obligation | 293 | 293 | |||
Noncontrolling Interest, Decrease from Redemptions or Purchase of Interests | (11) | $ (3) | (8) | ||
Dividends paid to non-controlling interests on subsidiary common stock | (19) | (19) | |||
Balance (in shares) at Dec. 31, 2013 | 300.7 | ||||
Balance at Dec. 31, 2013 | 8,195 | $ 4,788 | 5,731 | (2,374) | 50 |
Increase (Decrease) in Shareholders' Equity | |||||
Net income | 1,431 | 1,397 | 34 | ||
Shares issued - employee benefit plan (in shares) | 0.4 | ||||
Shares issued — employee benefit plan | 26 | $ 26 | |||
Shares issued - employee compensation (in shares) | 4.7 | ||||
Shares issued — employee compensation | (131) | $ (131) | |||
Shares purchased (in shares) | (25.8) | ||||
Shares purchased | (2,250) | (2,250) | |||
Tax benefit — employee benefit plans | 89 | $ 89 | |||
Share-based compensation expense | 328 | 328 | |||
Dividends to shareholders | (273) | (273) | |||
Net change in fair value of financial instruments | 4 | 4 | |||
Net foreign currency translation adjustments | (507) | (504) | (3) | ||
Net post-retirement benefit obligation | (260) | (260) | |||
Sales of subsidiary shares to non-controlling interest | 3 | $ 0 | 3 | ||
Dividends paid to non-controlling interests on subsidiary common stock | $ (24) | (24) | |||
Balance (in shares) at Dec. 31, 2014 | 280 | 280 | |||
Balance at Dec. 31, 2014 | $ 6,631 | $ 5,100 | 4,605 | (3,134) | 60 |
Increase (Decrease) in Shareholders' Equity | |||||
Net income | 1,422 | 1,385 | 37 | ||
Shares issued - employee benefit plan (in shares) | 0.5 | ||||
Shares issued — employee benefit plan | 33 | $ 33 | |||
Shares issued - employee compensation (in shares) | 5.3 | ||||
Shares issued — employee compensation | (188) | $ (188) | |||
Shares purchased (in shares) | (16) | ||||
Shares purchased | (1,550) | (1,550) | |||
Tax benefit — employee benefit plans | 126 | $ 126 | |||
Share-based compensation expense | 340 | 340 | |||
Dividends to shareholders | (323) | (323) | |||
Net change in fair value of financial instruments | (8) | (8) | |||
Net foreign currency translation adjustments | (442) | (436) | (6) | ||
Net post-retirement benefit obligation | 155 | 155 | |||
Sales of subsidiary shares to non-controlling interest | (6) | $ 1 | (7) | ||
Dividends paid to non-controlling interests on subsidiary common stock | $ (27) | (27) | |||
Balance (in shares) at Dec. 31, 2015 | 269.8 | 269.8 | |||
Balance at Dec. 31, 2015 | $ 6,163 | $ 5,412 | $ 4,117 | $ (3,423) | $ 57 |
Consolidated Statements of Cash
Consolidated Statements of Cash Flows - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2015 | Dec. 31, 2014 | Dec. 31, 2013 | |
CASH FLOWS FROM OPERATING ACTIVITIES | |||
Net income | $ 1,422 | $ 1,431 | $ 1,148 |
Adjustments to reconcile net income to cash provided by operating activities: | |||
Gain from sales of businesses and investments, net | (81) | (44) | (65) |
Depreciation of fixed assets | 229 | 242 | 240 |
Amortization of intangible assets | 314 | 352 | 395 |
Share-based compensation expense | 340 | 328 | 300 |
Deferred income taxes | (223) | (135) | (14) |
Change in assets and liabilities: | |||
Fiduciary receivables | 599 | (19) | (4) |
Short-term investments — funds held on behalf of clients | 350 | (403) | 156 |
Fiduciary liabilities | (949) | 422 | (152) |
Receivables, net | (83) | (25) | 141 |
Accounts payable and accrued liabilities | 87 | 4 | 110 |
Restructuring reserves | (31) | (83) | 15 |
Current income taxes | 116 | 42 | (116) |
Pension, other post-retirement and other post-employment liabilities | (230) | (340) | (502) |
Other assets and liabilities | 149 | 40 | 101 |
CASH PROVIDED BY OPERATING ACTIVITIES | 2,009 | 1,812 | 1,753 |
CASH FLOWS FROM INVESTING ACTIVITIES | |||
Proceeds from investments | 220 | 52 | 93 |
Payments for investments | (266) | (20) | (15) |
Net sales (purchases) of short-term investments — non-fiduciary | 9 | 110 | (174) |
Acquisition of businesses, net of cash acquired | (16) | (479) | (54) |
Proceeds from sale of businesses | 205 | 48 | 40 |
Capital expenditures | (290) | (256) | (229) |
CASH USED FOR INVESTING ACTIVITIES | (138) | (545) | (339) |
CASH FLOWS FROM FINANCING ACTIVITIES | |||
Share repurchase | (1,550) | (2,250) | (1,102) |
Issuance of shares for employee benefit plans | (30) | (105) | (22) |
Issuance of debt | 5,351 | 5,239 | 4,906 |
Repayment of debt | (5,098) | (3,918) | (4,679) |
Cash dividends to shareholders | (323) | (273) | (212) |
Noncontrolling interests and other financing activities | 39 | (4) | 27 |
CASH USED FOR FINANCING ACTIVITIES | (1,689) | (1,303) | (1,136) |
EFFECT OF EXCHANGE RATE CHANGES ON CASH AND CASH EQUIVALENTS | (172) | (67) | (92) |
NET INCREASE (DECREASE) IN CASH AND CASH EQUIVALENTS | 10 | (103) | 186 |
CASH AND CASH EQUIVALENTS AT BEGINNING OF YEAR | 374 | 477 | 291 |
CASH AND CASH EQUIVALENTS AT END OF YEAR | 384 | 374 | 477 |
Supplemental disclosures: | |||
Interest paid | 254 | 245 | 206 |
Income taxes paid, net of refunds | $ 249 | $ 337 | $ 445 |
Basis of Presentation
Basis of Presentation | 12 Months Ended |
Dec. 31, 2015 | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | |
Basis of Presentation | Basis of Presentation The accompanying Consolidated Financial Statements and Notes thereto have been prepared in accordance with U.S. generally accepted accounting principles ("U.S. GAAP"). The Consolidated Financial Statements include the accounts of Aon plc and all of its controlled subsidiaries ("Aon" or the "Company"). All intercompany accounts and transactions have been eliminated. The Consolidated Financial Statements include, in the opinion of management, all adjustments necessary to present fairly the Company's consolidated financial position, results of operations and cash flows for all periods presented. Reclassification Certain amounts in prior years' Consolidated Financial Statements and related notes have been reclassified to conform to the 2015 presentation. In prior periods, long-term investments were included in Investments in the Consolidated Statement of Financial Position. These amounts are now included in Other non-current assets in the Consolidated Statement of Financial Position, as shown in Note 3 to these Consolidated Financial Statements. Long-term investments were $135 million at December 31, 2015 and $143 million at December 31, 2014 . In prior periods, prepaid pensions were included in Other non-current assets in the Consolidated Statement of Financial Position. These amounts are now separately disclosed in the Consolidated Statement of Financial Position. Prepaid pensions were $1,033 million at December 31, 2015 and $933 million at December 31, 2014 . Upon vesting of certain share-based payment arrangements, employees may elect to use a portion of the shares to satisfy tax withholding requirements, in which case Aon makes a payment to the taxing authority on the employee’s behalf and remits the remaining shares to the employee. The Company has historically presented amounts due to taxing authorities within Cash Flows From Operating Activities in the Consolidated Statements of Cash Flows. The amounts are now included in “Issuance of shares for employee benefit plans” within Cash Flows From Financing Activities. The Company believes this presentation provides greater clarity into the operating and financing activities of the Company as the substance and accounting for these transactions is that of a share repurchase. It also aligns the Company’s presentation to be consistent with industry practice. Amounts reported in Issuance of shares for employee benefit plans were $227 million , $170 million , and $120 million , respectively, for the years ended December 31, 2015, 2014 and 2013. These amounts, which were reclassified from Accounts payable and accrued liabilities and Other assets and liabilities, were $85 million and $85 million in 2014, and $62 million and $58 million in 2013, respectively. Changes to the presentation in the Consolidated Statements of Cash Flows for 2014 and 2013 were made related to certain line items within financing activities. The following line items and respective amounts have been aggregated in a new line item titled “Noncontrolling interests and other financing activities” within financing activities. Years Ended December 31, 2014 2013 Purchases of shares from noncontrolling interests 3 (8 ) Dividends paid to noncontrolling interests (24 ) (19 ) Proceeds from sale-leaseback 25 — Use of Estimates The preparation of the accompanying Consolidated Financial Statements in conformity with U.S. GAAP requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities, disclosures of contingent assets and liabilities at the date of the financial statements, and the reported amounts of reserves and expenses. These estimates and assumptions are based on management's best estimates and judgments. Management evaluates its estimates and assumptions on an ongoing basis using historical experience and other factors, including the current economic environment. Management believes its estimates to be reasonable given the current facts available. Aon adjusts such estimates and assumptions when facts and circumstances dictate. Illiquid credit markets, volatile equity markets, and foreign currency exchange rate movements increase the uncertainty inherent in such estimates and assumptions. As future events and their effects cannot be determined, among other factors, with precision, actual results could differ significantly from these estimates. Changes in estimates resulting from continuing changes in the economic environment would, if applicable, be reflected in the financial statements in future periods. |
Summary of Significant Accounti
Summary of Significant Accounting Principles and Practices | 12 Months Ended |
Dec. 31, 2015 | |
Accounting Policies [Abstract] | |
Summary of Significant Accounting Principles and Practices | Summary of Significant Accounting Principles and Practices Revenue Recognition Risk Solutions segment revenues primarily include insurance commissions and fees for services rendered and investment income on funds held on behalf of clients. Revenues are recognized when they are earned and realized or realizable. The Company considers revenues to be earned and realized or realizable when all of the following four conditions are met: (1) persuasive evidence of an arrangement exists, (2) the arrangement fee is fixed or determinable, (3) delivery or performance has occurred, and (4) collectability is reasonably assured. For brokerage commissions, revenue is typically recognized at the completion of the placement process, assuming all four criteria required to recognize revenue have been met. The placement process is typically considered complete on the effective date of the related policy. Commission revenues are recorded net of allowances for estimated policy cancellations, which are determined based on an evaluation of historical and current cancellation data. HR Solutions segment revenues consist primarily of fees paid by clients for consulting advice and outsourcing contracts. Fees paid by clients for consulting services are typically charged on an hourly, project or fixed-fee basis. Revenues from time-and-materials or cost-plus arrangements are recognized as services are performed, assuming all four criteria to recognize revenue have been met. Revenues from fixed-fee contracts are recognized as services are provided using a proportional-performance model or at the completion of a project based on facts and circumstances of the client arrangement. Revenues from health care exchange arrangements are typically recognized upon successful enrollment of participants, net of a reserve for estimated cancellations, assuming all four criteria to recognize revenue have been met. Reimbursements received for out-of-pocket expenses are recorded as a component of revenues. The Company's outsourcing contracts typically have three -to- five year terms for benefits services and five -to- ten year terms for human resources business process outsourcing ("HR BPO") services. The Company recognizes revenues as services are performed, assuming all criteria to recognize revenue have been met. The Company may also receive implementation fees from clients either up-front or over the ongoing services period as a component of the fee per participant. Lump sum implementation fees received from a client are typically deferred and recognized ratably over the ongoing contract services period. If a client terminates an outsourcing services arrangement prior to the end of the contract, a loss on the contract may be recorded, if necessary, and any remaining deferred implementation revenues would typically be recognized over the remaining service period through the termination date. In connection with the Company's long-term outsourcing service agreements, highly customized implementation efforts are often necessary to set up clients and their human resource or benefit programs on the Company's systems and operating processes. Qualifying costs of implementation incurred prior to the services commencing are generally deferred and amortized over the period that the related ongoing services revenue is recognized. Deferred costs are assessed for recoverability on a periodic basis to the extent the deferred cost exceeds related deferred revenue. Share-Based Compensation Costs Share-based payments to employees, including grants of employee share options, restricted shares and restricted share units ("RSUs"), performance share awards ("PSAs") as well as employee share purchases related to the Employee Share Purchase Plan, are measured based on estimated grant date fair value. The Company recognizes compensation expense over the requisite service period for awards expected to ultimately vest. Forfeitures are estimated on the date of grant and revised if actual or expected forfeiture activity differs materially from original estimates. Pension and Other Post-Retirement Benefits The Company records net period cost relating to its pension and other post-retirement benefit plans based on calculations that include various actuarial assumptions, including discount rates, assumed rates of return on plan assets, inflation rates, mortality rates, compensation increases, and turnover rates. The Company reviews its actuarial assumptions on an annual basis and modifies these assumptions based on current rates and trends. The effects of gains, losses, and prior service costs and credits are amortized over future service periods or future estimated lives if the plans are frozen. The funded status of each plan, calculated as the fair value of plan assets less the benefit obligation, is reflected in the Company's Consolidated Statements of Financial Position using a December 31 measurement date. Net Income per Share Basic net income per share is computed by dividing net income available to ordinary shareholders by the weighted-average number of ordinary shares outstanding, including participating securities, which consist of unvested share awards with non-forfeitable rights to dividends. Diluted net income per share is computed by dividing net income available to ordinary shareholders by the weighted-average number of ordinary shares outstanding, which have been adjusted for the dilutive effect of potentially issuable ordinary shares (excluding those that are considered participating securities), including certain contingently issuable shares. The diluted earnings per share calculation reflects the more dilutive effect of either (1) the two-class method that assumes that the participating securities have not been exercised, or (2) the treasury stock method. Certain ordinary share equivalents, related primarily to options, are not included in the computation of diluted income per share if their inclusion would be antidilutive. Cash and Cash Equivalents and Short-term Investments Cash and cash equivalents include cash balances and all highly liquid investments with initial maturities of three months or less. Short-term investments include certificates of deposit, money market funds and highly liquid debt instruments purchased with initial maturities in excess of three months but less than one year and are carried at amortized cost, which approximates fair value. At December 31, 2015 , Cash and cash equivalents and Short-term investments totaled $740 million compared to $768 million at December 31, 2014 . Of the total balance, $105 million and $169 million was restricted as to its use at December 31, 2015 and 2014 , respectively. Included within the December 31, 2015 and 2014 balances, respectively, were ÂŁ43.3 million ( $64.6 million at December 31, 2015 exchanges rates) and ÂŁ42.0 million ( $65.3 million at December 31, 2014 exchange rates) of operating funds required to be held by the Company in the U.K. by the Financial Conduct Authority, a U.K.-based regulator, which were included in Short-term investments. In addition, Cash and cash equivalents included additional restricted balances of $40 million and $104 million at December 31, 2015 and 2014 , respectively. Fiduciary Assets and Liabilities In its capacity as an insurance agent and broker, Aon collects premiums from insureds and, after deducting its commission, remits the premiums to the respective insurers. Aon also collects claims or refunds from insurers on behalf of insureds. Uncollected premiums from insureds and uncollected claims or refunds from insurers are recorded as Fiduciary assets in the Company's Consolidated Statements of Financial Position. Unremitted insurance premiums and claims are held in a fiduciary capacity and the obligation to remit these funds is recorded as Fiduciary liabilities in the Company's Consolidated Statements of Financial Position. Some of the Company's outsourcing agreements also require it to hold funds to pay certain obligations on behalf of clients. These funds are also recorded as Fiduciary assets with the related obligation recorded as Fiduciary liabilities in the Company's Consolidated Statements of Financial Position. Aon maintained premium trust balances for premiums collected from insureds but not yet remitted to insurance companies of $3.4 billion and $4.0 billion at December 31, 2015 and 2014 , respectively. These funds and a corresponding liability are included in Fiduciary assets and Fiduciary liabilities, respectively, in the accompanying Consolidated Statements of Financial Position. Allowance for Doubtful Accounts The Company's allowance for doubtful accounts with respect to receivables is based on a combination of factors, including evaluation of historical write-offs, aging of balances and other qualitative and quantitative analyses. Receivables, net included an allowance for doubtful accounts of $58 million and $74 million at December 31, 2015 and 2014 , respectively. Fixed Assets Fixed assets are stated at cost, less accumulated depreciation. Included in this category is internal use software, which is software that is acquired, internally developed or modified solely to meet internal needs, with no plan to market externally. Costs related to directly obtaining, developing or upgrading internal use software are capitalized. Depreciation and amortization are computed using the straight-line method over the estimated useful lives of the assets, which are generally as follows: Asset Description Asset Life Software Lesser of the life of an associated license, or 4 to 7 years Leasehold improvements Lesser of estimated useful life or lease term, not to exceed 10 years Furniture, fixtures and equipment 4 to 10 years Computer equipment 4 to 6 years Buildings 35 years Automobiles 6 years Goodwill and Intangible Assets Goodwill represents the excess of acquisition cost over the fair value of the net assets in the acquisition of a business. Goodwill is allocated to various reporting units, which are one reporting level below the operating segment. Upon disposition of a business entity, goodwill is allocated to the disposed entity based on the fair value of that entity compared to the fair value of the reporting unit in which it was included. Goodwill is not amortized, but instead is tested for impairment at least annually. The goodwill impairment test is performed at the reporting unit level. The Company initially performs a qualitative analysis to determine if it is more likely than not that the goodwill balance is impaired. If such a determination is made, then the Company will perform a two-step quantitative analysis. First, the fair value of each reporting unit is compared to its carrying value. If the fair value of the reporting unit is less than its carrying value, the Company performs a hypothetical purchase price allocation based on the reporting unit's fair value to determine the fair value of the reporting unit's goodwill. Any resulting difference will be a charge to Other general expenses in the Consolidated Statements of Income in the period in which the determination is made. Fair value is determined using a combination of present value techniques and market prices of comparable businesses. Intangible assets include customer related and contract based assets representing primarily client relationships and non-compete agreements, tradenames, and marketing and technology related assets. These intangible assets, with the exception of tradenames, are amortized over periods ranging from 1 to 16 years, with a weighted average original life of 11 years. Tradenames are not amortized when such assets have been determined to have indefinite useful lives, and are tested at least annually for impairments using an analysis of expected future cash flows. Interim impairment testing may be performed when events or changes in circumstances indicate that the carrying amount of the intangible asset may not be recoverable. Derivatives Derivative instruments are recognized in the Consolidated Statements of Financial Position at fair value. Where the Company has entered into master netting agreements with counterparties, the derivative positions are netted by counterparty and are reported accordingly in other assets or other liabilities. Changes in the fair value of derivative instruments are recognized in earnings each period, unless the derivative is designated and qualifies as a cash flow or net investment hedge. The Company has historically designated the following hedging relationships for certain transactions: (i) a hedge of the change in fair value of a recognized asset or liability or firm commitment ("fair value hedge"), (ii) a hedge of the variability in cash flows from a recognized variable-rate asset or liability or forecasted transaction ("cash flow hedge"), and (iii) a hedge of the net investment in a foreign operation ("net investment hedge"). In order for a derivative to qualify for hedge accounting, the derivative must be formally designated as a fair value, cash flow, or a net investment hedge by documenting the relationship between the derivative and the hedged item. The documentation must include a description of the hedging instrument, the hedged item, the risk being hedged, Aon's risk management objective and strategy for undertaking the hedge, the method for assessing the effectiveness of the hedge, and the method for measuring hedge ineffectiveness. Additionally, the hedge relationship must be expected to be highly effective at offsetting changes in either the fair value or cash flows of the hedged item at both the inception of the hedge and on an ongoing basis. Aon assesses the ongoing effectiveness of its hedges and measures and records hedge ineffectiveness, if any, at the end of each quarter or more frequently if facts and circumstances require. For a derivative designated as a hedging instrument, the changes in the fair value of a recognized asset or liability or a firm commitment (a fair value hedge), the gain or loss is recognized in earnings in the period of change together with the offsetting loss or gain on the hedged item attributable to the risk being hedged. The effect is to reflect in earnings the extent to which the hedge is not effective in achieving offsetting changes in fair value. For a cash flow hedge that qualifies for hedge accounting, the effective portion of the change in fair value of a hedging instrument is recognized in Other Comprehensive Income ("OCI") and subsequently reclassified to earnings in the same period the hedged item impacts earnings. The ineffective portion of the change in fair value is recognized immediately in earnings. For a net investment hedge, the effective portion of the change in fair value of the hedging instrument is recognized in OCI as part of the cumulative translation adjustment, while the ineffective portion is recognized immediately in earnings. Changes in the fair value of a derivative that is not designated as part of a hedging relationship (commonly referred to as an "economic hedge") are recorded in Other income in the Consolidated Statements of Income. The Company discontinues hedge accounting prospectively when (1) the derivative expires or is sold, terminated, or exercised, (2) the qualifying criteria are no longer met, or (3) management removes the designation of the hedging relationship. Foreign Currency Certain of the Company's non-US operations use their respective local currency as their functional currency. These operations that do not have the U.S. dollar as their functional currency translate their financial statements at the current rates of exchange in effect at the balance sheet date and revenues and expenses using rates that approximate those in effect during the period. The resulting translation adjustments are included in net foreign currency translation adjustments within the Consolidated Statements of Shareholders' Equity. Gains and losses from the remeasurement of monetary assets and liabilities that are denominated in a non-functional currency are included in Other income within the Consolidated Statements of Income. The effect of foreign exchange gains and losses on the Consolidated Statements of Income were gain s of $11 million , $1 million , and $3 million in 2015 , 2014 , and 2013 , respectively. Included in these amounts were hedging losses of $19 million in both 2015 and 2014 and hedging losses of 10 million in 2013 . Income Taxes Deferred income taxes are recognized for the effect of temporary differences between financial reporting and tax basis of assets and liabilities and are measured using the enacted marginal tax rates and laws that are currently in effect. The effect on deferred tax assets and liabilities from a change in tax rates is recognized in the period when the rate change is enacted. Deferred tax assets are reduced by valuation allowances if, based on the consideration of all available evidence, it is more likely than not that some portion of the deferred tax asset will not be realized. Significant weight is given to evidence that can be objectively verified. Deferred tax assets are realized by having sufficient future taxable income to allow the related tax benefits to reduce taxes otherwise payable. The sources of taxable income that may be available to realize the benefit of deferred tax assets are future reversals of existing taxable temporary differences, future taxable income exclusive of reversing temporary differences and carry-forwards, taxable income in carry-back years and tax planning strategies that are both prudent and feasible. The Company recognizes the effect of income tax positions only if sustaining those positions is more likely than not. Tax positions that meet the more likely than not recognition threshold but are not highly certain are initially and subsequently measured based on the largest amount of benefit that is greater than 50% likely of being realized upon settlement with the taxing authority. Only information that is available at the reporting date is considered in the Company's recognition and measurement analysis, and events or changes in facts and circumstances are accounted for in the period in which the event or change in circumstance occurs. The Company records penalties and interest related to unrecognized tax benefits in Income taxes in the Company's Consolidated Statements of Income. New Accounting Pronouncements Presentation of Deferred Taxes In November 2015, the Financial Accounting Standards Board ("FASB") issued new accounting guidance on the balance sheet presentation of deferred taxes, which require that deferred tax liabilities and assets be classified as noncurrent. The guidance is effective for Aon in the first quarter of 2017, however, the Company is expecting to early adopt this guidance in 2016 and retrospectively apply its requirements to all periods presented. The adoption of this guidance is not expected to have a material impact on the Company's Consolidated Financial Statements. Debt Issuance Costs In April 2015, the FASB issued new accounting guidance on the presentation of debt issuance costs, which requires debt issuance costs to be presented in the balance sheet as a direct deduction from the associated debt liability. This guidance will also be applied to Aon's debt issuance costs related to its line-of-credit arrangements. The new guidance will be applied on a retrospective basis effective in the first quarter of 2016. The adoption of this guidance is not expected to have a material impact on the Company's Consolidated Financial Statements. Consolidations In February 2015, the FASB issued new accounting guidance on consolidations, which will eliminate the deferral granted to investment companies from applying the variable interest entities guidance and make targeted amendments to the current consolidation guidance. The new guidance applies to all entities involved with limited partnerships or similar entities and requires re-evaluation of these entities under the revised guidance, which could change previous consolidation conclusions. The guidance is effective for the Company in the first quarter of 2016. The adoption of this guidance will not have a material impact on the Company's Consolidated Financial Statements. Revenue Recognition In May 2014, the FASB issued new accounting guidance on revenue from contracts with customers, which, when effective, will supersede nearly all existing revenue recognition guidance under U.S. GAAP. The core principal of the guidance is that an entity should recognize revenue when it transfers promised goods or services to customers in an amount that reflects the consideration to which the entity expects to be entitled in exchange for those goods or services. The guidance also requires additional disclosure about the nature, amount, timing and uncertainty of revenue and cash flows arising from customer contracts, including significant judgments and changes in judgments and assets recognized from costs incurred to obtain or fulfill a contract. The guidance is effective for Aon in the first quarter of 2018 and early adoption is permitted beginning the first quarter of 2017. The guidance permits two methods of transition upon adoption: full retrospective and modified retrospective. Under the full retrospective method, prior periods would be restated under the new revenue standard, providing a comparable view across all periods presented. Under the modified retrospective method, prior periods would not be restated. Rather, revenues and other disclosures for pre-2018 periods would be provided in the notes to the financial statements as previously reported under the current revenue standard. The impact from the adoption of this guidance on the Company's Consolidated Financial Statements cannot be determined at this time as the standard is still undergoing changes. The Company is also determining the appropriate method of transition to the guidance and the timing of adoption of the guidance. |
Other Financial Data
Other Financial Data | 12 Months Ended |
Dec. 31, 2015 | |
Other Financial Data [Abstract] | |
Other Financial Data | Other Financial Data Consolidated Statements of Income Information Other Income Other income consists of the following (in millions): Years ended December 31 2015 2014 2013 Equity earnings $ 13 $ 12 $ 20 Net gain on disposals of businesses 82 24 10 Foreign currency remeasurement gain 30 18 13 (Loss) income on financial instruments (24 ) (15 ) 18 Other (1 ) 5 7 $ 100 $ 44 $ 68 Consolidated Statements of Financial Position Information Allowance for Doubtful Accounts An analysis of the allowance for doubtful accounts is as follows (in millions): Years ended December 31, 2015 2014 2013 Balance at beginning of year $ 74 $ 90 $ 118 Provision charged to operations 13 12 9 Accounts written off, net of recoveries (34 ) (33 ) (38 ) Foreign currency translation 5 5 1 Balance at end of year $ 58 $ 74 $ 90 Other Current Assets The components of Other current assets are as follows (in millions): As of December 31 2015 2014 Taxes receivable $ 94 $ 99 Deferred tax assets 232 212 Prepaid expenses 130 164 Deferred project costs 92 102 Other 18 25 $ 566 $ 602 Fixed Assets, net The components of Fixed assets, net are as follows (in millions): As of December 31 2015 2014 Software $ 1,095 $ 1,020 Leasehold improvements 422 413 Computer equipment 358 347 Furniture, fixtures and equipment 315 313 Construction in progress 76 94 Other 115 124 2,381 2,311 Less: Accumulated depreciation 1,616 1,546 Fixed assets, net $ 765 $ 765 Depreciation expense, which includes software amortization, was $229 million , $242 million , and $240 million for the years ended December 31, 2015 , 2014 , and 2013 , respectively. Other Non-Current Assets The components of Other non-current assets are as follows (in millions): As of December 31 2015 2014 Deferred project costs 210 250 Investments 135 143 Taxes receivable 82 101 Other 198 233 $ 625 $ 727 Other Current Liabilities The components of Other current liabilities are as follows (in millions): As of December 31 2015 2014 Deferred revenue $ 394 $ 408 Taxes payable 94 64 Deferred tax liability 1 2 Other 331 314 $ 820 $ 788 Other Non-Current Liabilities The components of Other non-current liabilities are as follows (in millions): As of December 31 2015 2014 Taxes payable $ 223 $ 210 Leases 166 184 Deferred revenue 159 167 Compensation and benefits 59 57 Other 162 256 $ 769 $ 874 |
Acquisitions and Dispositions
Acquisitions and Dispositions | 12 Months Ended |
Dec. 31, 2015 | |
Business Combinations and Discontinued Operations and Disposal Groups [Abstract] | |
Acquisitions and Dispositions | Acquisitions and Dispositions The number of acquisitions completed within each business segment is as follows: Years ended December 31 2015 2014 Risk Solutions 4 11 HR Solutions 3 2 7 13 The following table includes the aggregate consideration transferred and the preliminary value of intangible assets recorded as a result of the Company's acquisitions (in millions): Years ended December 31 2015 2014 Consideration $ 27 $ 461 Intangible assets: Goodwill $ 18 $ 292 Other intangible assets 6 328 Total intangible assets $ 24 $ 620 The results of operations of these acquisitions are included in the Consolidated Financial Statements as of the acquisition date. The results of operations of the Company would not have been materially different if these acquisitions had been reported from the beginning of the period in which they were acquired. Dispositions The number of dispositions completed within each business segment is as follows: Years ended December 31 2015 2014 2013 Risk Solutions 4 2 7 HR Solutions 3 — 2 7 2 9 Total pretax gains, net of losses, recognized were $82 million , $24 million , and $10 million , respectively, for the years ended December 31, 2015, 2014, and 2013. Gains and losses recognized as a result of a disposition are included in Other income in the Consolidated Statements of Income. |
Goodwill and Other Intangible A
Goodwill and Other Intangible Assets | 12 Months Ended |
Dec. 31, 2015 | |
Goodwill and Intangible Assets Disclosure [Abstract] | |
Goodwill and Other Intangible Assets | Goodwill and Other Intangible Assets The changes in the net carrying amount of goodwill by reportable segment for the years ended December 31, 2015 and 2014 , respectively, are as follows (in millions): Risk Solutions HR Solutions Total Balance as of January 1, 2014 $ 6,020 $ 2,977 $ 8,997 Goodwill related to current year acquisitions 287 5 292 Goodwill related to disposals (14 ) — (14 ) Goodwill related to prior year acquisitions (8 ) — (8 ) Transfer (2 ) 2 — Foreign currency translation (372 ) (35 ) (407 ) Balance as of December 31, 2014 $ 5,911 $ 2,949 $ 8,860 Goodwill related to current year acquisitions 2 16 18 Goodwill related to disposals (1 ) (76 ) (77 ) Goodwill related to prior year acquisitions — — — Transfer — — — Foreign currency translation (319 ) (34 ) (353 ) Balance as of December 31, 2015 $ 5,593 $ 2,855 $ 8,448 Other intangible assets by asset class are as follows (in millions): As of December 31 2015 2014 Gross Carrying Amount Accumulated Amortization Net Carrying Amount Gross Carrying Amount Accumulated Amortization Net Carrying Amount Intangible assets with indefinite lives: Tradenames $ 1,019 $ — $ 1,019 $ 1,019 $ — $ 1,019 Intangible assets with finite lives: Customer related and contract based 2,886 1,809 1,077 2,952 1,579 1,373 Technology and other 541 457 84 571 443 128 $ 4,446 $ 2,266 $ 2,180 $ 4,542 $ 2,022 $ 2,520 Amortization expense from finite-lived intangible assets was $314 million , $352 million and $395 million during 2015 , 2014 and 2013 , respectively. The estimated future amortization for finite-lived intangible assets as of December 31, 2015 is as follows (in millions): Risk Solutions HR Solutions Total 2016 $ 100 $ 171 $ 271 2017 90 136 226 2018 76 91 167 2019 66 72 138 2020 58 60 118 Thereafter 120 120 240 $ 510 $ 650 $ 1,160 |
Debt
Debt | 12 Months Ended |
Dec. 31, 2015 | |
Debt Disclosure [Abstract] | |
Debt | Debt The following is a summary of outstanding debt (in millions): As of December 31 2015 2014 5.00% Senior Notes due September 2020 599 599 4.75% Senior Notes due 2045 598 — 3.50% Senior Notes due June 2024 597 597 4.60% Senior Notes due June 2044 549 549 2.875% Senior Notes due May 2026 (EUR 500M) 545 605 8.205% Junior Subordinated Notes due January 2027 521 521 3.125% Senior Notes due May 2016 500 500 2.80% Senior Notes due 2021 399 — 4.00% Senior Notes due November 2023 349 349 6.25% Senior Notes due September 2040 298 298 4.76% Senior Notes due March 2018 (CAD 375M) 271 322 4.45% Senior Notes due May 2043 249 248 4.25% Senior Notes due December 2042 196 196 3.50% Senior Notes due September 2015 — 599 Commercial paper 50 168 Other 16 31 Total debt 5,737 5,582 Less short-term and current portion of long-term debt 562 783 Total long-term debt $ 5,175 $ 4,799 Revolving Credit Facilities As of December 31, 2015, Aon plc had two committed credit facilities outstanding: its $400 million U.S. credit facility expiring in March 2017 (the "2017 Facility") and $900 million multi-currency U.S. credit facility expiring in February 2020 (the "2020 Facility"). The 2020 Facility was entered into on February 2, 2015 and replaced the previous €650 million European credit facility. Effective February 2, 2016, the 2020 Facility terms were extended for 1 year and will expire in February 2021. Each of these facilities included customary representations, warranties and covenants, including financial covenants that require Aon plc to maintain specified ratios of adjusted consolidated EBITDA to consolidated interest expense and consolidated debt to adjusted consolidated EBITDA, in each case, tested quarterly. At December 31, 2015 , Aon plc did not have borrowings under either the 2017 Facility or the 2020 Facility, and was in compliance with these financial covenants and all other covenants contained therein during the twelve months ended December 31, 2015 . Notes On November 13, 2015, Aon plc issued $400 million of 2.80% Senior Notes due March 2021. We used the proceeds of the issuance for general corporate purposes. On September 30, 2015, $600 million of 3.50% Senior Notes issued by Aon Corporation matured and were repaid. On May 20, 2015, the Aon plc issued $600 million of 4.750% Senior Notes due May 2045. The Company used the proceeds of the issuance for general corporate purposes. On August 12, 2014, Aon plc issued $350 million of 3.50% Senior Notes due June 2024. The 3.50% Notes due 2024 constitute a further issuance of, and were consolidated to form a single series of debt securities with, the $250 million of 3.50% Notes due June 2024 that was issued by Aon plc on May 20, 2014 concurrently with Aon plc's issuance of $550 million of 4.60% Notes due June 2044. Aon plc used the proceeds from these issuances for working capital and general corporate purposes. On May 7, 2014, Aon plc issued €500 million of 2.875% Senior Notes due May 2026. Aon plc used the proceeds of the issuance for, among other purposes, the repayment at maturity of Aon plc's then outstanding €500 million of 6.25% Notes due July 2014. Each of the notes issued by Aon plc and described above is fully and unconditionally guaranteed by Aon Corporation. The 5.00% Senior Notes due 2020, 3.125% Senior Notes due 2016, 6.25% Senior Notes due 2040, and 8.205% Junior Subordinated Notes due January 2027 identified in the table above were issued by Aon Corporation and are fully and unconditionally guaranteed by Aon plc. Similarly, the 3.50% Senior Notes repaid in 2015 had been issued by Aon Corporation and were fully and unconditionally guaranteed by Aon plc. The 4.76% Senior Notes due March 2018 identified in the table above were issued by a Canadian subsidiary of Aon Corporation and are fully and unconditionally guaranteed by Aon plc and Aon Corporation. Each of the notes described above and identified in the table above contains customary representations, warranties and covenants, and we were in compliance with all such covenants as of December 31, 2015 . During the year ended December 31, 2015, Aon Corporation's $500 million 3.125% Senior Notes due May 2016 were classified as Short-term debt and current portion of long-term debt in the Consolidated Statements of Financial Position as the date of maturity is less than one year. Commercial Paper Aon Corporation, a wholly-owned subsidiary of Aon plc, has established a U.S. commercial paper program, which provides for commercial paper to be issued in an aggregate principal amount of up to $900 million , and Aon plc has established a European multi-currency commercial paper program that provides for commercial paper to be issued in an aggregate principal amount of up to €300 million . The U.S. commercial paper program is fully and unconditionally guaranteed by Aon plc and the European commercial paper program is fully and unconditionally guaranteed by Aon Corporation. In the aggregate, the Company had $50.0 million and $168.0 million of commercial paper outstanding at December 31, 2015 and 2014 , respectively, which was included in Short-term debt and current portion of long-term debt in the Company's Consolidated Statements of Financial Position. The weighted average commercial paper outstanding for 2015 and 2014 was $402.0 million and $308.0 million , respectively. The weighted average interest rate of the commercial paper outstanding during 2015 and 2014 was 0.50% and 0.35% , respectively. Repayments of total debt are as follows (in millions): 2016 $ 562 2017 3 2018 271 2019 — 2020 599 Thereafter 4,302 $ 5,737 |
Lease Commitments
Lease Commitments | 12 Months Ended |
Dec. 31, 2015 | |
Leases, Operating [Abstract] | |
Lease Commitments | Lease Commitments The Company leases office facilities, equipment, and automobiles under non-cancelable operating leases. These leases expire at various dates and may contain renewal and expansion options. In addition to base rental costs, occupancy lease agreements generally provide for rent escalations resulting from increased assessments for real estate taxes and other charges. The Company's lease obligations are primarily for the use of office space. Rental expenses (including amounts applicable to taxes, insurance and maintenance) for operating leases are as follows (in millions): Years ended December 31 2015 2014 2013 Rental expense $ 454 $ 455 $ 520 Less: Sub lease rental income (83 ) (75 ) (77 ) Net rental expense $ 371 $ 380 $ 443 At December 31, 2015 , future minimum rental payments required under operating leases that have initial or remaining non-cancelable lease terms in excess of one year, net of sublease rental income, are as follows (in millions): 2016 $ 325 2017 291 2018 267 2019 235 2020 199 Thereafter 828 Total minimum payments required $ 2,145 |
Income Taxes
Income Taxes | 12 Months Ended |
Dec. 31, 2015 | |
Income Tax Disclosure [Abstract] | |
Income Taxes | Income Taxes Income before income tax and the provision for income tax consist of the following (in millions): Years ended December 31 2015 2014 2013 Income before income taxes: U.K. $ 149 $ 347 $ 96 U.S. (51 ) (55 ) 349 Other 1,591 1,473 1,093 Total $ 1,689 $ 1,765 $ 1,538 Income tax expense (benefit): Current: U.K. $ 43 $ 1 $ (18 ) U.S. federal 137 156 111 U.S. state and local 54 75 52 Other 256 236 259 Total current tax expense $ 490 $ 468 $ 404 Deferred tax expense (benefit): U.K. $ (39 ) $ 38 $ 43 U.S. federal (140 ) (133 ) (48 ) U.S. state and local (14 ) (24 ) 10 Other (30 ) (15 ) (19 ) Total deferred tax benefit $ (223 ) $ (134 ) $ (14 ) Total income tax expense $ 267 $ 334 $ 390 Income before income taxes shown above is based on the location of the business unit to which such earnings are attributable for tax purposes. In addition, because the earnings shown above may in some cases be subject to taxation in more than one country, the income tax provision shown above as U.K., U.S. or Other may not correspond to the geographic attribution of the earnings. A reconciliation of the income tax provisions based on the Company's domicile and statutory rate at each reporting period is performed. The 2015 , 2014 and 2013 reconciliations are based on the U.K. statutory corporate tax rate of 20.3% , 21.5% , and 23.0% , respectively. The reconciliation to the provisions reflected in the Consolidated Financial Statements is as follows: Years ended December 31 2015 2014 2013 Statutory tax rate 20.3% 21.5% 23.0% U.S. state income taxes, net of U.S. federal benefit 0.5 1.5 2.6 Taxes on international operations (1) (6.6) (8.9) (4.4) Nondeductible expenses 2.2 1.7 1.4 Adjustments to prior year tax requirements (1.3) 0.9 0.1 Deferred tax adjustments, including statutory rate changes (0.1) (0.7) 1.4 Deferred tax adjustments, international earnings — 1.0 3.3 Adjustments to valuation allowances (0.6) 0.6 (1.7) Change in uncertain tax positions 1.4 1.7 (0.3) Other — net — (0.4) — Effective tax rate 15.8% 18.9% 25.4% (1) The Company determines the adjustment for taxes on international operations based on the difference between the statutory tax rate applicable to earnings in each foreign jurisdiction and the enacted rate of 20.3% , 21.5% and 23.0% at December 31, 2015 , 2014 and 2013 , respectively. The benefit to the Company's effective income tax rate from taxes on international operations relates to benefits from lower-taxed global operations, primarily due to the use of global funding structures. The components of the Company's deferred tax assets and liabilities are as follows (in millions): As of December 31 2015 2014 Deferred tax assets: Employee benefit plans $ 635 $ 739 Net operating/capital loss and tax credit carryforwards 349 295 Accrued interest 293 303 Other accrued expenses 98 44 Deferred revenue 65 40 Investment basis differences 56 45 Other 56 6 Total 1,552 1,472 Valuation allowance on deferred tax assets (175 ) (205 ) Total $ 1,377 $ 1,267 Deferred tax liabilities: Intangibles and property, plant and equipment $ (961 ) $ (1,058 ) Other accrued expenses (99 ) (40 ) Deferred costs (30 ) (28 ) Unrealized foreign exchange gains (29 ) (44 ) Unremitted earnings (18 ) (28 ) Other (44 ) (28 ) Total $ (1,181 ) $ (1,226 ) Net deferred tax asset $ 196 $ 41 Deferred income taxes (assets and liabilities have been netted by jurisdiction) have been classified in the Consolidated Statements of Financial Position as follows (in millions): As of December 31, 2015 2014 Deferred tax assets — current (1) $ 232 $ 212 Deferred tax assets — non-current 141 144 Deferred tax liabilities — current (1) (1 ) (2 ) Deferred tax liabilities — non-current (176 ) (313 ) Net deferred tax asset $ 196 $ 41 (1) Included in Other current assets and Other current liabilities. Valuation allowances have been established primarily with regard to the tax benefits of certain net operating loss, capital loss and interest expense carryforwards. Valuation allowances decreased by $30 million as of December 31, 2015 when compared to December 31, 2014, primarily attributable to the reversal of a valuation allowance and the impact of foreign currency translation. The Company recognized, as an adjustment to additional paid-in-capital, income tax benefits attributable to employee stock compensation of $126 million , $89 million and $74 million in 2015 , 2014 and 2013 , respectively. U.S. deferred income taxes of $20 million were accrued in 2015 on undistributed earnings that are not permanently reinvested. Undistributed earnings of non-U.S. entities were approximately $2.2 billion at December 31, 2015 . U.S. income taxes have not been provided on these undistributed earnings because they are considered to be permanently reinvested in those subsidiaries. It is not practicable to estimate the amount of unrecognized deferred tax liabilities, if any, for these undistributed foreign earnings. At December 31, 2015 and 2014, the Company had U.K. operating loss carryforwards of $449 million and $154 million and capital loss carryforwards of $360 million and $380 million , respectively. In addition, at December 31, 2015 and 2014, the Company had U.S. federal operating loss carryforwards of $7.5 million and $18 million , and U.S. state operating loss carryforwards of $443 million and $451 million , respectively. In other non-U.S. jurisdictions, the Company had operating loss carryforwards of $245 million and $325 million and capital loss carryforwards of $206 million and $223 million as of December 31, 2015 and 2014, respectively. The U.K. operating losses and capital losses have an indefinite carryforward. The federal operating loss carryforwards as of December 31, 2015 expire at various dates from 2020 to 2035 and the state operating loss carryforwards as of December 31, 2015 expire at various dates from 2016 to 2035. Operating and capital losses, in other non-U.S. jurisdictions have various carryforward periods and will begin to expire in 2019. During 2012, the Company was granted a tax holiday for the period from October 1, 2012 through September 30, 2022, with respect to withholding taxes and certain income derived from services in Singapore. This tax holiday and reduced withholding tax rate may be extended when certain conditions are met or may be terminated early if certain conditions are not met. The benefit realized was approximately $23 million , $7 million , and $3 million during the years ended December 31, 2015, 2014, and 2013, respectively. The impact of this tax holiday on diluted earnings per share was $0.08 , $0.02 , and $0.01 during the years ended December 31, 2015, 2014, and 2013, respectively. Uncertain Tax Positions The following is a reconciliation of the Company's beginning and ending amount of uncertain tax positions (in millions): 2015 2014 Balance at January 1 $ 191 $ 164 Additions based on tax positions related to the current year 31 31 Additions for tax positions of prior years 53 10 Reductions for tax positions of prior years (18 ) (6 ) Settlements (32 ) — Business combinations — 5 Lapse of statute of limitations (5 ) (11 ) Foreign currency translation (2 ) (2 ) Balance at December 31 $ 218 $ 191 The Company's liability for uncertain tax positions as of December 31, 2015 , 2014 , and 2013 , includes $180 million , $154 million , and $141 million , respectively, related to amounts that would impact the effective tax rate if recognized. It is possible that the amount of unrecognized tax benefits may change in the next twelve months; however, we do not expect the change to have a significant impact on our consolidated statements of income or consolidated balance sheets. These changes may be the result of settlements of ongoing audits. At this time, an estimate of the range of the reasonably possible outcomes within the twelve months cannot be made. The Company recognizes interest and penalties related to uncertain tax positions in its provision for income taxes. The Company accrued potential interest and penalties of $2 million , $4 million , and $2 million in 2015 , 2014 , and 2013 , respectively. The Company recorded a liability for interest and penalties of $33 million , $31 million , and $27 million as of December 31, 2015 , 2014 , and 2013 , respectively. The Company and its subsidiaries file income tax returns in their respective jurisdictions. The Company has substantially concluded all U.S. federal income tax matters for years through 2007. Material U.S. state and local income tax jurisdiction examinations have been concluded for years through 2005. The Company has concluded income tax examinations in its primary non-U.S. jurisdictions through 2005. |
Shareholders' Equity
Shareholders' Equity | 12 Months Ended |
Dec. 31, 2015 | |
Equity [Abstract] | |
Shareholders' Equity | Shareholders' Equity Distributable Reserves As a U.K. incorporated company, the Company is required under U.K. law to have available "distributable reserves" to make share repurchases or pay dividends to shareholders. Distributable reserves may be created through the earnings of the U.K. parent company and, amongst other methods, through a reduction in share capital approved by the English Companies Court. Distributable reserves are not linked to a U.S. GAAP reported amount (e.g., retained earnings). As of December 31, 2015 and 2014 , the Company had distributable reserves in excess of $2.1 billion and $4.0 billion , respectively. Ordinary Shares In April 2012, the Company's Board of Directors authorized a share repurchase program under which up to $5.0 billion of Class A Ordinary Shares may be repurchased ("2012 Share Repurchase Program"). In November 2014, the Company's Board of Directors authorized a new $5.0 billion share repurchase program in addition to the existing program ("2014 Share Repurchase Program" and, together, the "Repurchase Programs"). Under each program, shares may be repurchased through the open market or in privately negotiated transactions, based on prevailing market conditions, funded from available capital. During 2015 , the Company repurchased 16.0 million shares at an average price per share of $97.04 for a total cost of $1.6 billion under the Repurchase Programs. During 2014 , the Company repurchased 25.8 million shares at an average price per share of $87.18 for a total cost of $2.3 billion under the 2012 Share Repurchase Plan. In August 2015, the $5 billion of Class A Ordinary Shares authorized under the 2012 Share Repurchase Program was exhausted. At December 31, 2015, the remaining authorized amount for share repurchase under the 2014 Share Repurchase Program is $4.1 billion . Under the Repurchase Programs, the Company repurchased a total of 78.1 million shares for an aggregate cost of $5.9 billion . Net Income Per Share Weighted average shares outstanding are as follows (in millions): Year ended December 31, 2015 2014 2013 Shares for basic earnings per share 280.8 295.5 311.4 Common stock equivalents 3.0 4.1 4.0 Shares for diluted earnings per share 283.8 299.6 315.4 Certain ordinary share equivalents may be excluded from the computation of diluted net income per share if their inclusion would be antidilutive. There were no shares excluded from the calculation for in 2015 , 2014 , or 2013 . Dividends During 2015 , 2014 , and 2013 , the Company paid dividends on its Class A Ordinary Shares of $323.1 million , $273.0 million , and $212.0 million , respectively. Dividends paid per Class A Ordinary Share were $1.15 , $0.92 and $0.68 for the years ended December 31, 2015 , 2014 , and 2013 respectively. Accumulated Other Comprehensive Loss Changes in Accumulated other comprehensive loss by component, net of related tax, are as follows (in millions): Change in Fair Value of Financial Instruments (1) Foreign Currency Translation Adjustments Post-Retirement Benefit Obligation (2) Total Balance at January 1, 2013 $ (28 ) $ 233 $ (2,815 ) $ (2,610 ) Other comprehensive loss before reclassifications: Other comprehensive loss before reclassifications 15 (65 ) 336 286 Tax benefit (8 ) 1 (136 ) (143 ) Other comprehensive loss before reclassifications, net 7 (64 ) 200 143 Amounts reclassified from accumulated other comprehensive loss: Amounts reclassified from accumulated other comprehensive loss 1 — 131 132 Tax benefit (1 ) — (38 ) (39 ) Amounts reclassified from accumulated other comprehensive loss, net — — 93 93 Net current period other comprehensive (loss) income 7 (64 ) 293 236 Balance at December 31, 2013 (21 ) 169 (2,522 ) (2,374 ) Other comprehensive loss before reclassifications: Other comprehensive loss before reclassifications (13 ) (492 ) (563 ) (1,068 ) Tax benefit 4 (12 ) 229 221 Other comprehensive loss before reclassifications, net (9 ) (504 ) (334 ) (847 ) Amounts reclassified from accumulated other comprehensive loss: Amounts reclassified from accumulated other comprehensive loss 20 — 106 126 Tax benefit (7 ) — (32 ) (39 ) Amounts reclassified from accumulated other comprehensive loss, net 13 — 74 87 Net current period other comprehensive (loss) income 4 (504 ) (260 ) (760 ) Balance at December 31, 2014 (17 ) (335 ) (2,782 ) (3,134 ) Other comprehensive loss before reclassifications: Other comprehensive loss before reclassifications (4 ) (467 ) 82 (389 ) Tax benefit 1 31 (9 ) 23 Other comprehensive loss before reclassifications, net (3 ) (436 ) 73 (366 ) Amounts reclassified from accumulated other comprehensive loss: Amounts reclassified from accumulated other comprehensive loss 11 — 117 128 Tax benefit (16 ) — (35 ) (51 ) Amounts reclassified from accumulated other comprehensive loss, net (5 ) — 82 77 Net current period other comprehensive (loss) income (8 ) (436 ) 155 (289 ) Balance at December 31, 2015 $ (25 ) $ (771 ) $ (2,627 ) $ (3,423 ) ______________________________________________ (1) Reclassifications from this category included in Accumulated other comprehensive loss are recorded in Other income (2) Reclassifications from this category included in Accumulated other comprehensive loss are recorded in Compensation and benefits |
Employee Benefits
Employee Benefits | 12 Months Ended |
Dec. 31, 2015 | |
Compensation and Retirement Disclosure [Abstract] | |
Employee Benefits | Employee Benefits Defined Contribution Savings Plans Aon maintains defined contribution savings plans for the benefit of its U.S., U.K., Netherlands and Canada employees. The expense recognized for these plans is included in Compensation and benefits in the Consolidated Statements of Income, as follows (in millions): Years ended December 31 2015 2014 2013 U.S. $ 133 $ 123 $ 123 U.K. 42 42 45 Netherlands and Canada 25 30 18 $ 200 $ 195 $ 186 Pension and Other Post-retirement Benefits The Company sponsors defined benefit pension and post-retirement health and welfare plans that provide retirement, medical, and life insurance benefits. The post-retirement healthcare plans are contributory, with retiree contributions adjusted annually, and the life insurance and pension plans are generally noncontributory. The significant U.S., U.K., Netherlands and Canadian pension plans are closed to new entrants. Pension Plans The following tables provide a reconciliation of the changes in the projected benefit obligations and fair value of assets for the years ended December 31, 2015 and 2014 and a statement of the funded status as of December 31, 2015 and 2014 , for the material U.K. plans, U.S. plans and other major plans, which are located in the Netherlands and Canada. These plans represent approximately 93% of the Company's projected benefit obligations. U.K. U.S. Other (millions) 2015 2014 2015 2014 2015 2014 Change in projected benefit obligation At January 1 $ 5,529 $ 5,106 $ 3,350 $ 2,744 $ 1,399 $ 1,252 Service cost 1 1 — 2 — — Interest cost 198 230 131 129 33 47 Participant contributions — — — — — — Plan amendment 27 — — — (10 ) — Curtailments — — — — — (16 ) Plan transfer and acquisitions (2 ) — (18 ) 13 — — Actuarial loss (gain) (83 ) (211 ) (25 ) 265 24 (5 ) Benefit payments (217 ) (192 ) (133 ) (130 ) (38 ) (51 ) Actual expenses — — — — — (2 ) Change in discount rate (247 ) 902 (145 ) 327 (66 ) 324 Foreign currency impact (221 ) (307 ) — — (165 ) (150 ) At December 31 $ 4,985 $ 5,529 $ 3,160 $ 3,350 $ 1,177 $ 1,399 Accumulated benefit obligation at end of year $ 4,985 $ 5,529 $ 3,160 $ 3,350 $ 1,135 $ 1,316 Change in fair value of plan assets At January 1 $ 6,224 $ 5,398 $ 2,036 $ 1,855 $ 1,161 $ 1,061 Actual return on plan assets 91 1,199 (60 ) 190 8 253 Participant contributions — — — — — — Employer contributions 65 166 108 121 21 28 Plan transfer and acquisitions (3 ) — — — — — Benefit payments (217 ) (192 ) (133 ) (130 ) (38 ) (51 ) Actual Expenses — — — — — (2 ) Foreign currency impact (257 ) (347 ) — — (133 ) (128 ) At December 31 $ 5,903 $ 6,224 $ 1,951 $ 2,036 $ 1,019 $ 1,161 Market related value at end of year $ 5,903 $ 6,224 $ 2,064 $ 1,950 $ 1,019 $ 1,161 Amount recognized in Statement of Financial Position at December 31 Funded status $ 918 $ 695 $ (1,209 ) $ (1,314 ) $ (158 ) $ (238 ) Unrecognized prior-service cost 46 22 9 11 (7 ) 3 Unrecognized loss 1,465 1,687 1,723 1,737 389 456 Net amount recognized $ 2,429 $ 2,404 $ 523 $ 434 $ 224 $ 221 Amounts recognized in the Consolidated Statements of Financial Position consist of (in millions): U.K. U.S. Other 2015 2014 2015 2014 2015 2014 Prepaid benefit cost (1) $ 1,012 $ 918 $ — $ — $ — $ — Accrued benefit liability (2) (94 ) (223 ) (1,209 ) (1,314 ) (158 ) (238 ) Accumulated other comprehensive loss 1,511 1,709 1,732 1,748 382 459 Net amount recognized $ 2,429 $ 2,404 $ 523 $ 434 $ 224 $ 221 (1) Included in Prepaid pension (2) Included in Other current liabilities and Pension, other post retirement, and post employment liabilities Amounts recognized in Accumulated other comprehensive loss (income) that have not yet been recognized as components of net periodic benefit cost at December 31, 2015 and 2014 consist of (in millions): U.K. U.S. Other 2015 2014 2015 2014 2015 2014 Net loss $ 1,465 $ 1,687 $ 1,723 $ 1,737 $ 389 $ 456 Prior service cost (income) 46 22 9 11 (7 ) 3 $ 1,511 $ 1,709 $ 1,732 $ 1,748 $ 382 $ 459 In 2015 , U.S. plans with a projected benefit obligation ("PBO") and an accumulated benefit obligation ("ABO") in excess of the fair value of plan assets had a PBO of $3.2 billion , an ABO of $3.2 billion , and plan assets of $2.0 billion . U.K. plans with a PBO in excess of the fair value of plan assets had a PBO of $1.2 billion and plan assets with a fair value of $1.1 billion , and plans with an ABO in excess of the fair value of plan assets had an ABO of $1.2 billion and plan assets with a fair value of $1.1 billion . Other plans with a PBO in excess of the fair value of plan assets had a PBO of $1.2 billion and plan assets with a fair value of $1.0 billion , and plans with an ABO in excess of the fair value of plan assets had an ABO of $1.1 billion and plan assets with a fair value of $1.0 billion . In 2014 , U.S. plans with a PBO and an ABO in excess of the fair value of plan assets had a PBO of $3.3 billion , an ABO of $3.3 billion , and plan assets of $2.0 billion . U.K. plans with a PBO in excess of the fair value of plan assets had a PBO of $1.3 billion and plan assets with a fair value of $1.1 billion , and plans with an ABO in excess of the fair value of plan assets had an ABO of $1.3 billion and plan assets with a fair value of $1.1 billion . Other plans with a PBO in excess of the fair value of plan assets had a PBO of $1.4 billion and plan assets with a fair value of $1.2 billion , and plans with an ABO in excess of the fair value of plan assets had an ABO of $1.3 billion and plan assets with a fair value of $1.2 billion . The following table provides the components of net periodic benefit (income) cost for the plans (in millions): U.K. U.S. Other 2015 2014 2013 2015 2014 2013 2015 2014 2013 Service cost $ 1 $ 1 $ 1 $ — $ 2 $ 7 $ — $ — $ 18 Interest cost 198 230 210 131 129 114 33 47 45 Expected return on plan assets, net of administration expenses (307 ) (326 ) (302 ) (154 ) (157 ) (139 ) (50 ) (59 ) (59 ) Amortization of prior-service cost 1 1 1 2 2 — — — — Amortization of net actuarial loss 41 52 49 54 42 52 11 10 23 Curtailment gain and other — — — — — — — (2 ) — Net periodic benefit (income) cost $ (66 ) $ (42 ) $ (41 ) $ 33 $ 18 $ 34 $ (6 ) $ (4 ) $ 27 Effective December 31, 2015 and for 2016 expense, the Company has elected to utilize a full yield curve approach in the estimation of the service and interest cost components of net periodic pension and post-retirement benefit cost for our major pension and other post-retirement benefit plans by applying the specific spot rates along the yield curve used in the determination of the benefit obligation to the relevant projected cash flows. In 2015 and prior years, the Company estimated these components of net periodic pension and post-retirement benefit cost by applying a single weighted-average discount rate, derived from the yield curve used to measure the benefit obligation at the beginning of the period. The Company made this change to improve the correlation between projected benefit cash flows and the corresponding yield curve spot rates and to provide a more precise measurement of service and interest costs. This change does not affect the measurement of the projected benefit obligation as the change in the service cost and interest cost is completely offset in the actuarial (gain) loss recorded in other comprehensive income. The Company accounted for this change as a change in estimate and, accordingly, will account for it prospectively. The weighted-average assumptions used to determine benefit obligations are as follows: U.K. U.S. Other 2015 2014 2015 2014 2015 2014 Discount rate 3.96% 3.70% 3.69-4.43% 3.37-4.08% 2.43-3.96% 2.03-3.91% Rate of compensation increase 3.63-4.13% 3.35-4.05% N/A N/A 2.00-3.50% 2.25-3.50% Underlying price inflation 1.88% 1.95% N/A N/A 2.00-2.50% 2.00-2.50% The weighted-average assumptions used to determine the net periodic benefit cost are as follows: U.K. U.S. Other 2015 2014 2013 2015 2014 2013 2015 2014 2013 Discount rate 3.70% 4.55% 4.45% 3.37 - 4.08% 3.97 - 4.87% 3.73 - 4.05% 2.03 - 3.91% 3.60 - 4.71% 3.25 - 3.89% Expected return on plan assets, net of administration expenses 5.09% 6.00% 6.30% 7.96% 8.80% 8.80% 3.99 - 5.21% 4.70 - 6.50% 4.60 - 6.50% Rate of compensation increase 3.55 - 4.05% 3.70 - 4.40% 3.25 - 3.85% NA NA N/A 2.25 - 3.50% 2.25 - 3.50% 2.25 - 3.50% The amounts in Accumulated other comprehensive loss expected to be recognized as components of net periodic benefit cost during 2016 are $52 million in the U.S. and $47 million outside the U.S. Expected Return on Plan Assets To determine the expected long-term rate of return on plan assets, the historical performance, investment community forecasts and current market conditions are analyzed to develop expected returns for each asset class used by the plans. The expected returns for each asset class are weighted by the target allocations of the plans. The expected return on plan assets in the U.S. of 7.96% reflects a portfolio that is seeking asset growth through a higher equity allocation while maintaining prudent risk levels. The portfolio contains certain assets that have historically resulted in higher returns and other financial instruments to minimize downside risk. No plan assets are expected to be returned to the Company during 2016 . Fair value of plan assets The Company determined the fair value of plan assets through numerous procedures based on the asset class and available information. See Note 15 "Fair Value Measurements and Financial Instruments" for a description of the procedures performed to determine the fair value of the plan assets. The fair values of the Company's U.S. pension plan assets at December 31, 2015 and December 31, 2014 , by asset category, are as follows (in millions): Fair Value Measurements Using Asset Category Balance at December 31, 2015 Quoted Prices in Active Markets for Identical Assets (Level 1) Significant Other Observable Inputs (Level 2) Significant Unobservable Inputs (Level 3) Cash and cash equivalents (1) $ 33 $ 33 $ — $ — Equity investments: (2) Large cap domestic 299 299 — — Small cap domestic 88 30 58 — International 262 52 210 — Equity derivatives 203 170 33 — Fixed income investments: (3) Corporate bonds 484 — 148 336 Government and agency bonds 128 52 76 — Asset-backed securities — — — — Fixed income derivatives 69 47 22 — Other investments: Alternative investments (4) 305 — — 305 Commodity derivatives (5) 13 — 13 — Real estate and REITS (6) 67 67 — — Total $ 1,951 $ 750 $ 560 $ 641 (1) Consists of cash and institutional short-term investment funds. (2) Consists of equity securities, equity derivatives, and pooled equity funds. (3) Consists of corporate and government bonds, asset-backed securities, and fixed income derivatives. (4) Consists of limited partnerships, private equity and hedge funds. (5) Consists of long-dated options and swaps on a commodity index. (6) Consists of exchange traded real estate investment trusts ("REITS"). Fair Value Measurements Using Asset Category Balance at December 31, 2014 Quoted Prices in Active Markets for Identical Assets (Level 1) Significant Other Observable Inputs (Level 2) Significant Unobservable Inputs (Level 3) Cash and cash equivalents (1) $ 68 $ 68 $ — $ — Equity investments: (2) Large cap domestic 329 329 — — Small cap domestic 85 22 63 — International 258 114 144 — Equity derivatives 285 209 76 — Fixed income investments: (3) Corporate bonds 503 — 151 352 Government and agency bonds 109 29 80 — Asset-backed securities 20 — 20 — Fixed income derivatives 49 — 49 — Other investments: Alternative investments (4) 272 — — 272 Commodity derivatives (5) (8 ) — (8 ) — Real estate and REITS (6) 66 66 — — Total $ 2,036 $ 837 $ 575 $ 624 (1) Consists of cash and institutional short-term investment funds. (2) Consists of equity securities, equity derivatives, and pooled equity funds. (3) Consists of corporate and government bonds, asset-backed securities, and fixed income derivatives. (4) Consists of limited partnerships, private equity and hedge funds. (5) Consists of long-dated options on a commodity index. (6) Consists of exchange traded REITS. The following table presents the changes in the Level 3 fair-value category in the Company's U.S. pension plans for the years ended December 31, 2015 and December 31, 2014 (in millions): Fair Value Measurement Using Level 3 Inputs Balance at January 1, 2014 $ 266 Actual return on plan assets: Relating to assets still held at December 31, 2014 32 Relating to assets sold during 2014 5 Purchases, sales and settlements—net 321 Transfer in/(out) of Level 3 — Balance at December 31, 2014 624 Actual return on plan assets: Relating to assets still held at December 31, 2015 (4 ) Relating to assets sold during 2015 (3 ) Purchases, sales and settlements—net 24 Transfer in/(out) of Level 3 — Balance at December 31, 2015 $ 641 The fair values of the Company's major U.K. pension plan assets at December 31, 2015 and December 31, 2014 , by asset category, are as follows (in millions): Fair Value Measurements Using Balance at December 31, 2015 Quoted Prices in Active Markets for Identical Assets (Level 1) Significant Other Observable Inputs (Level 2) Significant Unobservable Inputs (Level 3) Cash and cash equivalents $ 159 $ 159 $ — $ — Equity investments: Pooled funds: (1) Global 360 61 299 — Europe 17 — 17 — Equity securities — global (2) 133 133 — — Derivatives (2) 66 — 66 — Fixed income investments: Pooled funds: (1) Fixed income securities 283 — 259 24 Fixed income securities (3) 3,145 2,268 877 — Annuities 827 — — 827 Derivatives (3) 111 — 111 — Other investments: Pooled funds: (1) Real estate (4) 65 — — 65 Alternative investments (5) 717 — 4 713 Real estate 20 — — 20 Total $ 5,903 $ 2,621 $ 1,633 $ 1,649 (1) Consists of various equity, fixed income, commodity, and real estate mutual fund type investment vehicles. (2) Consists of equity securities and equity derivatives. (3) Consists of corporate and government bonds and fixed income derivatives. (4) Consists of property funds and trusts holding direct real estate investments. (5) Consists of limited partnerships, private equity and hedge funds. Fair Value Measurements Using Balance at December 31, 2014 Quoted Prices in Active Markets for Identical Assets (Level 1) Significant Other Observable Inputs (Level 2) Significant Unobservable Inputs (Level 3) Cash and cash equivalents $ 224 $ 224 $ — $ — Equity investments: Pooled funds: (1) Global 203 — 203 — Europe 16 — 16 — Equity securities — global (2) 127 127 — — Derivatives (2) — — — — Fixed income investments: Pooled funds: (1) Fixed income securities 279 — 279 — Fixed income securities (3) 3,292 3,292 — — Annuities 836 — — 836 Derivatives (3) 233 — 233 — Other investments: Pooled funds: (1) Real estate (4) 39 — — 39 Alternative investments (5) 968 — — 968 Real estate 7 — — 7 Total $ 6,224 $ 3,643 $ 731 $ 1,850 (1) Consists of various equity, fixed income, commodity, and real estate mutual fund type investment vehicles. (2) Consists of equity securities and equity derivatives. (3) Consists of corporate and government bonds and fixed income derivatives. (4) Consists of property funds and trusts holding direct real estate investments. (5) Consists of limited partnerships, private equity and hedge funds. The following table presents the changes in the Level 3 fair-value category in the Company's U.K. pension plans for the years ended December 31, 2015 and December 31, 2014 (in millions): Fair Value Measurements Using Level 3 Inputs Annuities Real Estate Alternative Investments Fixed Total Balance at January 1, 2014 $ 564 $ 23 $ 546 $ — $ 1,133 Actual return on plan assets: Relating to assets still held at December 31, 2014 (13 ) 3 319 — 309 Relating to assets sold during 2014 — 1 5 — 6 Purchases, sales and settlements—net 333 21 359 — 713 Transfers in/(out) of Level 3 — — (206 ) — (206 ) Foreign exchange (48 ) (2 ) (55 ) — (105 ) Balance at December 31, 2014 836 46 968 — 1,850 Actual return on plan assets: Relating to assets still held at December 31, 2015 (32 ) 11 (17 ) (7 ) (45 ) Relating to assets sold during 2015 — (10 ) 2 (1 ) (9 ) Purchases, sales and settlements—net 58 41 60 9 168 Transfers in/(out) of Level 3 — — (266 ) 24 (242 ) Foreign exchange (35 ) (3 ) (34 ) (1 ) (73 ) Balance at December 31, 2015 $ 827 $ 85 $ 713 $ 24 $ 1,649 The fair values of the Company's Other major pension plan assets at December 31, 2015 and December 31, 2014 , by asset category, are as follows (in millions): Fair Value Measurements Using Balance at December 31, 2015 Quoted Prices in Active Markets for Identical Assets (Level 1) Significant Other Observable Inputs (Level 2) Significant Unobservable Inputs (Level 3) Cash and cash equivalents $ 11 $ 11 $ — $ — Equity investments: Pooled funds: (1) Global 270 — 270 — North America 37 — 37 — Fixed income investments: Pooled funds: (1) Fixed income securities 576 — 576 — Derivatives 12 — 12 — Fixed income securities (2) 30 — 30 — Derivatives (2) 48 — 48 — Other investments: Pooled funds: (1) Commodities 2 — 2 — REITS (3) 3 — 3 — Alternative investments (4) 9 — — 9 Derivatives 21 — 21 — Total $ 1,019 $ 11 $ 999 $ 9 (1) Consists of various equity, fixed income, commodity, and real estate mutual fund type investment vehicles. (2) Consists of corporate and government bonds and fixed income derivatives. (3) Consists of property funds and trusts holding direct real estate investments. (4) Consists of limited partnerships, private equity and hedge funds. Fair Value Measurements Using Balance at December 31, 2014 Quoted Prices in Active Markets for Identical Assets (Level 1) Significant Other Observable Inputs (Level 2) Significant Unobservable Inputs (Level 3) Cash and cash equivalents $ 12 $ 12 $ — $ — Equity investments: Pooled funds: (1) Global 295 — 295 — North America 42 — 42 — Fixed income investments: Pooled funds: (1) Fixed income securities 629 — 629 — Derivatives 18 — 18 — Fixed income securities (2) 35 — 35 — Derivatives (2) 74 — 74 — Other investments: Pooled funds: (1) Commodities 21 — 21 — REITS (3) 3 — 3 — Alternative investments (4) 8 — — 8 Derivatives 24 — 24 — Total $ 1,161 $ 12 $ 1,141 $ 8 (1) Consists of various equity, fixed income, commodity, and real estate mutual fund type investment vehicles. (2) Consists of corporate and government bonds and fixed income derivatives. (3) Consists of property funds and trusts holding direct real estate investments. (4) Consists of limited partnerships, private equity and hedge funds. The following table presents the changes in the Level 3 fair-value category in the Company's other pension plans for the years ended December 31, 2015 and December 31, 2014 (in millions): Fair Value Measurements Using Level 3 Inputs Real Estate Alternative Investments Total Balance at January 1, 2014 $ 17 $ 8 $ 25 Actual return on plan assets: Relating to assets still held at December 31, 2014 — 1 1 Relating to assets sold during 2014 — — — Purchases, sales and settlements—net (17 ) — (17 ) Transfers in/(out) of Level 3 — — — Foreign exchange — (1 ) (1 ) Balance at December 31, 2014 — 8 8 Actual return on plan assets: Relating to assets still held at December 31, 2015 — 2 2 Relating to assets sold during 2015 — — — Purchases, sales and settlements—net — — — Transfers in/(out) of Level 3 — — — Foreign exchange — (1 ) (1 ) Balance at December 31, 2015 $ — $ 9 $ 9 Investment Policy and Strategy The U.S. investment policy, as established by the Aon Retirement Plan Governance and Investment Committee ("RPGIC"), seeks reasonable asset growth at prudent risk levels within target allocations, which are 49% equity investments, 30% fixed income investments, and 21% other investments. Aon believes that plan assets are well-diversified and are of appropriate quality. The investment portfolio asset allocation is reviewed quarterly and re-balanced to be within policy target allocations. The investment policy is reviewed at least annually and revised, as deemed appropriate by the RPGIC. The investment policies for international plans are generally established by the local pension plan trustees and seek to maintain the plans' ability to meet liabilities and to comply with local minimum funding requirements. Plan assets are invested in diversified portfolios that provide adequate levels of return at an acceptable level of risk. The investment policies are reviewed at least annually and revised, as deemed appropriate to ensure that the objectives are being met. At December 31, 2015 , the weighted average targeted allocation for the U.K. and non-U.S. plans was 20% for equity investments and 80% for fixed income investments. Cash Flows Contributions Based on current assumptions, in 2016 , the Company expects to contribute approximately $79 million , $54 million , and $17 million to its U.K., U.S. and other significant international pension plans, respectively. Estimated Future Benefit Payments Estimated future benefit payments for plans are as follows at December 31, 2015 (in millions): U.K. U.S. Other 2016 $ 143 $ 164 $ 38 2017 149 172 39 2018 157 184 40 2019 170 192 41 2020 180 187 42 2021 – 2025 1,048 952 227 U.S. and Canadian Other Post-Retirement Benefits The following table provides an overview of the accumulated projected benefit obligation, fair value of plan assets, funded status and net amount recognized as of December 31, 2015 and 2014 for the Company's other significant post-retirement benefit plans located in the U.S. and Canada (in millions): 2015 2014 Accumulated projected benefit obligation $ 105 $ 116 Fair value of plan assets 18 19 Funded status (87 ) (97 ) Unrecognized prior-service credit (3 ) (4 ) Unrecognized loss 7 15 Net amount recognized $ (83 ) $ (86 ) Other information related to the Company's other post-retirement benefit plans are as follows: 2015 2014 2013 Net periodic benefit cost recognized (millions) $6 $3 $4 Weighted-average discount rate used to determine future benefit obligations 3.99-4.33% 3.83 - 4.08 4.44 - 4.95 Weighted-average discount rate used to determine net periodic benefit costs 3.83-4.08% 4.44 - 4.95 3.67 - 4.00 Amounts recognized in Accumulated other comprehensive loss that have not yet been recognized as components of net periodic benefit cost at December 31, 2015 are $7 million and $3 million of net loss and prior service credit, respectively. The amount in Accumulated other comprehensive income expected to be recognized as a component of net periodic benefit cost during 2016 is $0.1 million and $0.3 million of net gain and prior service credit, respectively. Based on current assumptions, the Company expects: • To contribute $4 million to fund significant other post-retirement benefit plans during 2016 . • Estimated future benefit payments will be approximately $6 million each year for 2016 through 2020, and $30 million in aggregate for 2021-2025. The accumulated post-retirement benefit obligation is increased by $6 million and decreased by $5 million by a respective 1% increase or decrease to the assumed healthcare trend rate. The service cost and interest cost components of net periodic benefits cost is increased by $0.6 million and decreased by $0.5 million by a respective 1% increase or decrease to the assumed healthcare trend rate. For most of the participants in the U.S. plan, Aon's liability for future plan cost increases for pre-65 and Medical Supplement plan coverage is limited to 5% per annum. Although the net employer trend rates range from 4% to 9% per year, because of this cap, these plans are effectively limited to 5% per year in the future. |
Share-Based Compensation Plans
Share-Based Compensation Plans | 12 Months Ended |
Dec. 31, 2015 | |
Disclosure of Compensation Related Costs, Share-based Payments [Abstract] | |
Share-Based Compensation Plans | Share-Based Compensation Plans The following table summarizes share-based compensation expense recognized in the Consolidated Statements of Income in Compensation and benefits (in millions): Years ended December 31 2015 2014 2013 Restricted share units ("RSUs") $ 201 $ 187 $ 174 Performance share awards ("PSAs") 127 132 117 Share options — — 2 Employee share purchase plans 11 9 7 Total share-based compensation expense 339 328 300 Tax benefit 95 94 81 Share-based compensation expense, net of tax $ 244 $ 234 $ 219 Restricted Share Units RSUs generally vest between three and five years. The fair value of RSUs is based upon the market value of Aon ordinary shares at the date of grant. With certain limited exceptions, any break in continuous employment will cause the forfeiture of all non-vested awards. Compensation expense associated with RSUs is recognized on a straight-line basis over the requisite service period. Dividend equivalents are paid on certain RSUs, based on the initial grant amount. A summary of the status of the Company's RSUs is as follows (shares in thousands): Years ended December 31 2015 2014 2013 Shares Fair Value (1) Shares Fair Value (1) Shares Fair Value (1) Non-vested at beginning of year 8,381 $ 63 9,759 $ 51 10,432 $ 44 Granted 2,459 97 2,844 84 3,714 62 Vested (3,385 ) 58 (3,732 ) 49 (3,945 ) 44 Forfeited (288 ) 71 (490 ) 58 (442 ) 47 Non-vested at end of year 7,167 77 8,381 63 9,759 51 (1) Represents per share weighted average fair value of award at date of grant. The fair value of RSUs that vested during 2015 , 2014 and 2013 was $196 million , $183 million and $172 million , respectively. Performance Share Awards The vesting of PSAs is contingent upon meeting a cumulative level of earnings per share performance over a three -year period. The actual issue of shares may range from 0 - 200% of the target number of PSAs granted, based on the terms of the plan and level of achievement of the related performance target. The grant date fair value of PSAs is based upon the market price of an Aon ordinary share at the date of grant. The performance conditions are not considered in the determination of the grant date fair value for these awards. Compensation expense is recognized over the performance period based on management's estimate of the number of units expected to vest. Management evaluates its estimate of the actual number of shares expected to be issued at the end of the programs on a quarterly basis. The cumulative effect of the change in estimate is recognized in the period of change as an adjustment to Compensation and benefits expense, if necessary. Dividend equivalents are not paid on PSAs. Information regarding the Company's target PSAs granted and shares that would be issued at current performance levels for PSAs granted during the years ended December 31, 2015 , 2014 and 2013 , respectively, is as follows (shares in thousands, dollars in millions, except fair value): 2015 2014 2013 Target PSAs granted 993 816 1,135 Weighted average fair value per share at date of grant $ 96 $ 81 $ 58 Number of shares that would be issued based on current performance levels 982 1,591 2,191 Unamortized expense, based on current performance levels $ 67 $ 45 $ — During 2015 , the Company issued approximately 1.6 million shares in connection with performance achievements related to the 2012 Leadership Performance Plan ("LPP") cycle. During 2014, the Company issued approximately 0.8 million shares in connection with performance achievements related to the 2011 LPP cycle and 0.2 million shares related to other performance plans. During 2013, the Company issued approximately 0.6 million shares in connection with performance achievements related to the 2010 LPP cycle and 0.1 million shares related to other performance plans. Share Options The Company did not grant any share options for the years ended December 31, 2015, 2014 and 2013. A summary of the status of the Company's share options and related information is as follows (shares in thousands): Years ended December 31 2015 2014 2013 Shares Weighted-Average Exercise Price Per Share Shares Weighted-Average Exercise Price Per Share Shares Weighted-Average Exercise Price Per Share Beginning outstanding 2,300 $ 32 3,462 $ 32 5,611 $ 32 Granted — — — — — — Exercised (1,450 ) 27 (1,155 ) 33 (2,116 ) 32 Forfeited and expired (13 ) 39 (7 ) 37 (33 ) 34 Outstanding at end of year 837 40 2,300 32 3,462 32 Exercisable at end of year 837 40 2,273 32 3,270 32 Shares available for grant 12,179 16,333 11,330 A summary of options outstanding and exercisable as of December 31, 2015 is as follows (shares in thousands): Options Outstanding Options Exercisable Range of Exercise Prices Shares Outstanding Weighted-Average Remaining Contractual Life (years) Weighted-Average Exercise Price Per Share Shares Exercisable Weighted-Average Remaining Contractual Life (years) Weighted-Average Exercise Price Per Share 19.54 - 25.51 79 2.18 $ 20.18 79 2.18 $ 20.18 25.52 - 32.53 25 1.93 29.15 25 1.93 29.15 32.54 - 36.88 160 1.14 35.77 160 1.14 35.77 36.89 - 43.44 247 3.12 39.32 247 3.12 39.32 43.45 - 52.93 326 2.46 48.26 326 2.46 48.26 837 837 The aggregate intrinsic value represents the total pretax intrinsic value, based on options with an exercise price less than the Company's closing share price of $92.21 as of December 31, 2015 , which would have been received by the option holders had those option holders exercised their options as of that date. At December 31, 2015 , the aggregate intrinsic value of options outstanding was $44 million , of which $44 million was exercisable. Other information related to the Company's share options is as follows (in millions): 2015 2014 2013 Aggregate intrinsic value of stock options exercised $ 104 $ 61 $ 73 Cash received from the exercise of stock options 40 38 61 Tax benefit realized from the exercise of stock options 36 16 15 Unamortized deferred compensation expense, which includes both options and RSUs, amounted to $378 million as of December 31, 2015 , with a remaining weighted-average amortization period of approximately 2.1 years . Employee Share Purchase Plan United States The Company has an employee share purchase plan that provides for the purchase of a maximum of 7.5 million shares of the Company's ordinary shares by eligible U.S. employees. The Company's ordinary shares were purchased at 6 -month intervals at 85% of the lower of the fair market value of the ordinary shares on the first or last day of each 6 -month period. In 2015 , 2014 , and 2013 , 411,636 shares, 439,000 shares and 556,000 shares, respectively, were issued to employees under the plan. Compensation expense recognized was $9 million in 2015 , $7 million in 2014 , and $6 million in 2013 . United Kingdom The Company also has an employee share purchase plan for eligible U.K. employees that provides for the purchase of shares after a 3 -year period and that is similar to the U.S. plan previously described. Three-year periods began in 2015, 2014, 2013, allowing for the purchase of a maximum of 100,000 , 300,000 , and 350,000 shares, respectively. In 2015 , 2014 , and 2013 , 2,779 shares, 642 shares, and 172,110 shares, respectively, were issued under the plan. Compensation expense of $2 million was recognized in 2015 and 2014, as compared to $1 million of compensation expense in 2013. |
Derivatives and Hedging
Derivatives and Hedging | 12 Months Ended |
Dec. 31, 2015 | |
Derivative Instruments and Hedging Activities Disclosure [Abstract] | |
Derivatives and Hedging | Derivatives and Hedging The Company is exposed to market risks, including changes in foreign currency exchange rates and interest rates. To manage the risk related to these exposures, the Company enters into various derivative instruments that reduce these risks by creating offsetting exposures. The Company does not enter into derivative transactions for trading or speculative purposes. Foreign Exchange Risk Management The Company is exposed to foreign exchange risk when it earns revenues, pays expenses, or enters into monetary intercompany transfers denominated in a currency that differs from its functional currency, or other transactions that are denominated in a currency other than its functional currency. The Company uses foreign exchange derivatives, typically forward contracts, options and cross-currency swaps, to reduce its overall exposure to the effects of currency fluctuations on cash flows. These exposures are hedged, on average, for less than two years. These derivatives are accounted for as hedges, and changes in fair value are recorded each period in Other comprehensive income (loss) in the Consolidated Statements of Comprehensive Income. The Company also uses foreign exchange derivatives, typically forward contracts and options to economically hedge the currency exposure of the Company's global liquidity profile, including monetary assets or liabilities that are denominated in a non-functional currency of an entity, typically on a rolling 30-day basis, but may be for up to one year in the future. These derivatives are not accounted for as hedges, and changes in fair value are recorded each period in Other income in the Consolidated Statements of Income. The notional and fair values of derivative instruments are as follows (in millions): Notional Amount Derivative Assets (1) Derivative Liabilities (2) As of December 31 2015 2014 2015 2014 2015 2014 Foreign exchange contracts: Accounted for as hedges 778 1,200 32 46 18 58 Not accounted for as hedges (3) 280 165 — — — — Total $ 1,058 $ 1,365 $ 32 $ 46 $ 18 $ 58 (1) Included within Other current assets ( $15 million in 2015 and $24 million in 2014 , respectively) or Other non-current assets ( $17 million in 2015 and $22 million in 2014 , respectively) (2) Included within Other current liabilities ( $13 million in 2015 and $52 million in 2014 , respectively) or Other non-current liabilities ( $5 million in 2015 and $6 million in 2014 , respectively) (3) These contracts typically are for 30 day durations and executed close to the last day of the most recent reporting month, thereby resulting in nominal fair values at the balance sheet date. Offsetting of financial assets and derivatives assets are as follows (in millions): Gross Amounts of Recognized Assets Gross Amounts Offset in the Statement of Financial Position Net Amounts of Assets Presented in the Statement of Financial Position (1) Derivatives accounted for as hedges: 2015 2014 2015 2014 2015 2014 Foreign exchange contracts 32 46 (13 ) (14 ) 19 32 ______________________________________________ (1) Included within Other current assets ( $6 million in 2015 and $12 million in 2014 , respectively) or Other non-current assets ( $13 million in 2015 and $20 million in 2014 , respectively) Offsetting of financial liabilities and derivative liabilities are as follows (in millions): Gross Amounts of Recognized Liabilities Gross Amounts Offset in the Statement of Financial Position Net Amounts of Liabilities Presented in the Statement of Financial Position (2) Derivatives accounted for as hedges: 2015 2014 2015 2014 2015 2014 Foreign exchange contracts 18 58 (13 ) (14 ) 5 44 ______________________________________________ (2) Included within Other current liabilities ( $4 million in 2015 and $40 million in 2014 , respectively) or Other non-current liabilities ( $1 million in 2015 and $4 million in 2014 , respectively) The amounts of derivative gains (losses) recognized in the Consolidated Financial Statements are as follows (in millions): Cash Flow Hedge - Foreign Exchange Contracts Location of future reclassification from Accumulated Other Comprehensive Loss Gain (Loss) Recognized in Accumulated Other Comprehensive Loss: Compensation and Benefits Other General Expenses Interest Expense Other Income (Expense) Total 2015 4 (3 ) — (10 ) (9 ) 2014 11 (3 ) — (10 ) (2 ) 2013 (17 ) — — 13 (4 ) Cash Flow Hedge - Foreign Exchange Contracts Gain (Loss) Reclassified from Accumulated Other Comprehensive Loss into Income (Effective Portion): Compensation and Benefits Other General Expenses Interest Expense Other Income Total 2015 4 (1 ) (9 ) (11 ) (17 ) 2014 (5 ) 3 (10 ) (2 ) (14 ) 2013 (12 ) (9 ) (3 ) 14 (10 ) The amount of gain (loss) recognized in the Consolidated Financial Statements is as follows (in millions): Twelve months ended December 31, Amount of Gain (Loss) Recognized in Income on Derivative (1) Amount of Gain (Loss) Recognized in Income on Related Hedged Item 2015 2014 2013 2015 2014 2013 Fair value hedges: Foreign exchange contracts (2) $ — $ (9 ) $ (8 ) $ — $ 9 $ 8 (1) Included in interest expense (2) Relates to fixed rate debt The Company estimates that approximately $7 million of pretax losses currently included within Accumulated other comprehensive loss will be reclassified into earnings in the next twelve months. The amount of gain (loss) recognized in income on the ineffective portion of derivatives for 2015 , 2014 and 2013 was not material. The Company recorded a loss of $8 million , $18 million , and $18 million in Other income for foreign exchange derivatives not designated or qualifying as hedges for 2015 , 2014 , and 2013 , respectively. |
Fair Value Measurements and Fin
Fair Value Measurements and Financial Instruments | 12 Months Ended |
Dec. 31, 2015 | |
Fair Value Disclosures [Abstract] | |
Fair Value Measurements and Financial Instruments | Fair Value Measurements and Financial Instruments Accounting standards establish a three tier fair value hierarchy that prioritizes the inputs used in measuring fair values as follows: • Level 1 — observable inputs such as quoted prices for identical assets in active markets; • Level 2 — inputs other than quoted prices for identical assets in active markets, that are observable either directly or indirectly; and • Level 3 — unobservable inputs in which there is little or no market data which requires the use of valuation techniques and the development of assumptions. The following methods and assumptions are used to estimate the fair values of the Company's financial instruments: Money market funds and highly liquid debt securities are carried at cost and amortized cost, respectively, as an approximation of fair value. Based on market convention, the Company considers cost a practical and expedient measure of fair value. Cash, cash equivalents, and highly liquid debt instruments consist of cash and institutional short-term investment funds. The Company reviews the short-term investment funds to obtain reasonable assurance the fund net asset value is $1 per share. Equity investments consist of domestic and international equity securities and exchange traded equity derivatives valued using the closing stock price on a national securities exchange. Over the counter equity derivatives are valued using observable inputs such as underlying prices of the equity security and volatility. The Company reviews the listing of Level 1 equity securities in the portfolio and agrees the closing stock prices to a national securities exchange, and on a sample basis, independently verifies the observable inputs for Level 2 equity derivatives and securities. Fixed income investments consist of certain categories of bonds and derivatives. Corporate, government, and agency bonds are valued by pricing vendors who estimate fair value using recently executed transactions and proprietary models based on observable inputs, such as interest rate spreads, yield curves and credit risk. Asset-backed securities are valued by pricing vendors who estimate fair value using discounted cash flow models utilizing observable inputs based on trade and quote activity of securities with similar features. Fixed income derivatives are valued by pricing vendors using observable inputs such as interest rates and yield curves. The Company obtains a detailed understanding of the models, inputs, and assumptions used in developing prices provided by its vendors. This understanding includes discussions with valuation resources at the vendor. During these discussions, the Company uses a fair value measurement questionnaire, which is part of the Company's internal controls over financial reporting, to obtain the information necessary to assert the model, inputs and assumptions used comply with U.S. GAAP, including disclosure requirements. The Company also obtains observable inputs from the pricing vendor and independently verifies the observable inputs, as well as assesses assumptions used for reasonableness based on relevant market conditions and internal Company guidelines. If an assumption is deemed unreasonable, based on the Company's guidelines, it is then reviewed by management and the fair value estimate provided by the vendor is adjusted, if deemed appropriate. These adjustments do not occur frequently and have historically not been material to the fair value estimates used in the Consolidated Financial Statements. Pooled funds consist of various equity, fixed income, commodity, and real estate mutual fund type investment vehicles. Pooled investment funds fair value is estimated based on the proportionate share ownership in the underlying net assets of the investment, which is based on the fair value of the underlying securities that trade on a national securities exchange. Where possible, the Company reviews the listing of securities in the portfolio and agrees the closing stock prices to the price quoted on a national securities exchange. The Company gains an understanding of the investment guidelines and valuation policies of the fund and discusses fund performance with pooled fund managers. The Company obtains audited fund manager financial statements, when available. If the pooled fund is designed to replicate a publicly traded index, the Company compares the performance of the fund to the index to assess the reasonableness of the fair value measurement. Alternative investments consist of limited partnerships, private equity and hedge funds. Alternative investment fair value is generally estimated based on the proportionate share ownership in the underlying net assets of the investment as determined by the general partner or investment manager. The valuations are based on various factors depending on investment strategy, proprietary models, and specific financial data or projections. The Company obtains audited fund manager financial statements, when available. The Company obtains a detailed understanding of the models, inputs and assumptions used in developing prices provided by the investment managers (or appropriate party) through regular discussions. During these discussions with the investment managers, the Company uses a fair value measurement questionnaire, which is part of the Company's internal controls over financial reporting, to obtain the information necessary to assert the model, inputs and assumptions used comply with U.S. GAAP, including disclosure requirements. The Company also obtains observable inputs from the investment manager and independently verifies the observable inputs, as well as assesses assumptions used for reasonableness based on relevant market conditions and internal Company guidelines. If an assumption is deemed unreasonable, based on the Company's guidelines, it is then reviewed by management and the fair value estimate provided by the vendor is adjusted, if deemed appropriate. These adjustments do not occur frequently and have historically not been material to the fair value estimates in the Consolidated Financial Statements. Derivatives are carried at fair value, based upon industry standard valuation techniques that use, where possible, current market-based or independently sourced pricing inputs, such as interest rates, currency exchange rates, or implied volatilities. Annuity contracts consist of insurance group annuity contracts purchased to match the pension benefit payment stream owed to certain selected plan participant demographics within a few major U.K. defined benefit plans. Annuity contracts are valued using a discounted cash flow model utilizing assumptions such as discount rate, mortality, and inflation. The Company independently verifies the observable inputs. Real estate and REITs consist of publicly traded real estate investment trusts ("REITs") and direct real estate investments. Level 1 REITs are valued using the closing stock price on a national securities exchange. The Level 3 values are based on the proportionate share of ownership in the underlying net asset value as determined by the investment manager. The Company independently reviews the listing of Level 1 REIT securities in the portfolio and agrees the closing stock prices to a national securities exchange. The Company gains an understanding of the investment guidelines and valuation policies of the Level 3 real estate funds and discusses performance with the fund managers. The Company obtains audited fund manager financial statements, when available. See the description of "Alternative investments" for further detail on valuation procedures surrounding Level 3 REITs. Guarantees are carried at fair value, which is based on discounted estimated cash flows using published historical cumulative default rates and discount rates commensurate with the underlying exposure. Debt is carried at outstanding principal balance, less any unamortized discount or premium. Fair value is based on quoted market prices or estimates using discounted cash flow analyses based on current borrowing rates for similar types of borrowing arrangements. The following tables present the categorization of the Company's assets and liabilities that are measured at fair value on a recurring basis at December 31, 2015 and 2014 , respectively (in millions): Fair Value Measurements Using Balance at December 31, 2015 Quoted Prices in Active Markets for Identical Assets (Level 1) Significant Other Observable Inputs (Level 2) Significant Unobservable Inputs (Level 3) Assets: Money market funds (1) $ 1,396 $ 1,396 $ — $ — Other investments: Corporate bonds — — — — Government bonds 1 — 1 — Equity investments 10 6 4 — Derivatives (2): Interest rate contracts — — — — Foreign exchange contracts 32 — 32 — Liabilities: Derivatives: Foreign exchange contracts 18 — 18 — (1) Includes $1,396 million of money market funds that are classified as Fiduciary assets, Short-term investments or Cash and cash equivalents in the Consolidated Statements of Financial Position, depending on their nature and initial maturity. (2) See Note 12 "Derivatives and Hedging" for additional information regarding the Company's derivatives and hedging activity. Fair Value Measurements Using Balance at December 31, 2014 Quoted Prices in Active Markets for Identical Assets (Level 1) Significant Other Observable Inputs (Level 2) Significant Unobservable Inputs (Level 3) Assets: Money market funds (1) $ 1,850 $ 1,850 $ — $ — Other investments: Corporate bonds 1 — — 1 Government bonds 6 — 6 — Equity investments 11 6 5 — Derivatives (2): Interest rate contracts — — — — Foreign exchange contracts 46 — 46 — Liabilities: Derivatives: Foreign exchange contracts 58 — 58 — (1) Includes $1,850 million of money market funds that are classified as Fiduciary assets, Short-term investments or Cash and cash equivalents in the Consolidated Statements of Financial Position, depending on their nature and initial maturity. (2) See Note 12 "Derivatives and Hedging" for additional information regarding the Company's derivatives and hedging activity. There were no transfers of assets or liabilities between fair value hierarchy levels during 2015 or 2014 . The Company recognized no realized or unrealized gains or losses in the Consolidated Statements of Income during 2015 related to assets and liabilities measured at fair value using unobservable inputs. There were no realized or unrealized gains or losses recognized in the Consolidated Statements of Income during 2014 related to assets and liabilities measured at fair value using unobservable inputs. There were $6 million of realized gains and no unrealized losses recognized in the Consolidated Statements of Income during 2013 related to assets and liabilities measure at fair value using unobservable inputs. The fair value of Long-term debt is classified as Level 2 of the fair value hierarchy. The following table discloses the Company's financial instruments where the carrying amounts and fair values differ (in millions): As of December 31 2015 2014 Carrying Value Fair Value Carrying Value Fair Value Long-term debt $ 5,175 $ 5,386 $ 4,799 $ 5,268 |
Commitments and Contingencies
Commitments and Contingencies | 12 Months Ended |
Dec. 31, 2015 | |
Commitments and Contingencies Disclosure [Abstract] | |
Commitments and Contingencies | Commitments and Contingencies Legal Aon and its subsidiaries are subject to numerous claims, tax assessments, lawsuits and proceedings that arise in the ordinary course of business, which frequently include errors and omissions ("E&O") claims. The damages claimed in these matters are or may be substantial, including, in many instances, claims for punitive, treble or extraordinary damages. While Aon maintains meaningful E&O insurance and other insurance programs to provide protection against certain losses that arise in such matters, Aon has exhausted or materially depleted its coverage under some of the policies that protect the Company and, consequently, is self-insured or materially self-insured for some claims. Accruals for these exposures, and related insurance receivables, when applicable, are included in the Consolidated Statements of Financial Position and have been recognized in Other general expenses in the Consolidated Statements of Income to the extent that losses are deemed probable and are reasonably estimable. These amounts are adjusted from time to time as developments warrant. Matters that are not probable and estimable are not accrued for in the financial statements. We have included in the matters described below certain matters in which (1) loss is probable (2) loss is reasonably possible; that is, more than remote but not probable, or (3) there exists the reasonable possibility of loss greater than the accrued amount. In addition, we may from time to time disclose matters for which the probability of loss could be remote but the claim amounts associated with such matters are potentially significant. The reasonably possible range of loss for the matters described below, in excess of amounts that are deemed probable and estimable and therefore already accrued, is estimated to be between $0 and $0.3 billion , exclusive of any insurance coverage. These estimates are based on currently available information. As available information changes, the matters for which Aon is able to estimate may change, and the estimates themselves may change. In addition, many estimates involve significant judgment and uncertainty. For example, at the time of making an estimate, Aon may only have limited information about the facts underlying the claim, and predictions and assumptions about future court rulings and outcomes may prove to be inaccurate. Although management at present believes that the ultimate outcome of all matters described below, individually or in the aggregate, will not have a material adverse effect on the consolidated financial position of Aon, legal proceedings are subject to inherent uncertainties and unfavorable rulings or other events. Unfavorable resolutions could include substantial monetary or punitive damages imposed on Aon or its subsidiaries. If unfavorable outcomes of these matters were to occur, future results of operations or cash flows for any particular quarterly or annual period could be materially adversely affected. Current Matters A retail insurance brokerage subsidiary of Aon was sued on September 14, 2010 in the Chancery Court for Davidson County, Tennessee Twentieth Judicial District, at Nashville by a client, Opry Mills Mall Limited Partnership ("Opry Mills") that sustained flood damage to its property in May 2010. The lawsuit seeks $200 million in coverage from numerous insurers with whom this Aon subsidiary placed the client's property insurance coverage. The insurers contend that only $50 million in coverage (which has already been paid) is available for the loss because the flood event occurred on property in a high hazard flood zone. Opry Mills is seeking full coverage from the insurers for the loss and has sued this Aon subsidiary in the alternative for the same $150 million difference on various theories of professional liability if the court determines there is not full coverage. In addition, Opry Mills seeks prejudgment interest, attorneys' fees and enhanced damages which could substantially increase Aon's exposure. In March 2015, the trial court granted partial summary judgment in favor of plaintiffs and against the insurers, holding generally that the plaintiffs are entitled to $200 million in coverage under the language of the policies. In August 2015, a jury returned a verdict in favor of Opry Mills and against the insurers in the amount of $ 204 million . Aon understands that the insurers intend to appeal both of these trial court decisions. Aon believes it has meritorious defenses and intends to vigorously defend itself against these claims. A pensions consulting and administration subsidiary of Hewitt before its acquisition by Aon provided advisory services to the Trustees of the Philips UK pension fund and the relevant employer of fund beneficiaries. On January 2, 2014, Philips Pension Trustees Limited and Philips Electronics UK Limited (together, "Philips") sued Aon in the High Court, Chancery Division, London alleging negligence and breach of duty. The proceedings assert Philips' right to claim damages related to Philips' use of a credit default swap hedging strategy pursuant to the supply of the advisory services, which is said to have resulted in substantial damages to Philips. Philips sought approximately £189 million ( $282 million at December 31, 2015 exchange rates), plus interest and costs. In June 2015, the High Court ordered Philips to clarify several aspects of its claim. In its clarification, Philips increased the amount of its claim to £290 million ( $432 million at December 31, 2015 exchange rates), plus interest and costs. Aon believes that it has meritorious defenses and intends to vigorously defend itself against these allegations. On June 1, 2007, the International Road Transport Union ("IRU") sued Aon in the Geneva Tribunal of First Instance in Switzerland. IRU alleges, among other things, that, between 1995 and 2004, a business acquired by Aon and, later, an Aon subsidiary (1) accepted commissions for certain insurance placements that violated a fee agreement entered between the parties and (2) negligently failed to ask certain insurance carriers to contribute to the IRU's risk management costs. IRU sought damages of approximately CHF 46 million ( $47 million at December 31, 2015 exchange rates) and $3 million , plus legal fees and interest of approximately $30 million . On December 2, 2014, the Geneva Tribunal of First Instance entered a judgment that accepted some, and rejected other, of IRU's claims. The judgment awarded IRU CHF 17 million ( $17 million at December 31, 2015 exchange rates) and $3 million , plus interest and adverse costs. The entire amount of the judgment, including interest through December 31, 2014, totaled CHF 28 million ( $28 million at December 31, 2015 exchange rates) and $5 million . On January 26, 2015, in return for IRU agreeing not to appeal the bulk of its dismissed claims, the Aon subsidiary agreed not to appeal a part of the judgment and to pay IRU CHF 13 million ( $13 million at December 31, 2015 exchange rates) and $5 million without Aon admitting liability. The Aon subsidiary appealed those aspects of the judgment it retained the right to appeal. IRU did not appeal. The Aon subsidiary's maximum liability on appeal is limited to CHF 9 million ( $9 million at December 31, 2015 exchange rates) and $115,000 (plus interest and costs) beyond what the subsidiary has already paid. The appeal is now under submission. A pensions consulting and administration subsidiary of Aon provided advisory services to the Trustees of the Gleeds pension fund in the United Kingdom and, on occasion, to the relevant employer of the fund. In April 2014, the High Court, Chancery Division, London found that certain governing documents of the fund that sought to alter the fund's benefit structure and that had been drafted by Aon were procedurally defective and therefore invalid. No lawsuit naming Aon as a party has been filed, although a tolling agreement has been entered. The High Court decision says that the additional liabilities in the pension fund resulting from the alleged defect in governing documents amount to approximately £45 million ( $67 million at December 31, 2015 exchange rates). In December 2014, the Court of Appeal granted the employer leave to appeal the High Court decision. The Court of Appeal hearing was set for October 2015, but has been postponed to permit the parties to discuss possible settlement. Aon believes that it has meritorious defenses and intends to vigorously defend itself against this potential claim. On June 29, 2015, Lyttelton Port Company Limited ("LPC") sued Aon New Zealand (Aon) in the Christchurch Registry of the High Court of New Zealand. LPC alleges, among other things, that Aon was negligent and in breach of contract in arranging LPC’s property insurance program for the period covering June 30, 2010, to June 30, 2011. LPC contends that acts and omissions by Aon caused LPC to recover less than it otherwise would have from insurers for losses suffered in the 2010/2011 Canterbury Earthquakes. LPC claims damages of approximately NZD $184 million ( $126 million at December 31, 2015 exchange rates) plus interest and costs. Aon believes that it has meritorious defenses and intends to vigorously defend itself against these claims. Settled/Closed Matters As described more fully in our Form 10-Q for the period ended June 30, 2015, in the second quarter of 2015, we settled legacy litigation with Huntington Ingalls Industries, Inc. in exchange for a payment of $150 million made by Aon during the same period, and an arbitral panel issued an award that rejected claims made by AXA Versicherung Aktiengesellschaft (“AXA”) and ordered AXA to reimburse Aon for its legal fees and costs in the amount of €2 million ( $2 million at June 30, 2015 exchange rates). In addition, from time to time, Aon's clients may bring claims and take legal action pertaining to the performance of fiduciary responsibilities. Whether client claims and legal action related to the Company's performance of fiduciary responsibilities are founded or unfounded, if such claims and legal actions are resolved in a manner unfavorable to the Company, they may adversely affect Aon's financial results and materially impair the market perception of the Company and that of its products and services. Guarantees and Indemnifications In connection with the redomicile of Aon's headquarters (the "Redomestication"), the Company on April 2, 2012 entered into various agreements pursuant to which it agreed to guarantee the obligations of its subsidiaries arising under issued and outstanding debt securities. Those agreements included the (1) Amended and Restated Indenture, dated as of April 2, 2012, among Aon Corporation, Aon plc, and The Bank of New York Mellon Trust Company, N.A., as trustee (the "Trustee") (amending and restating the Indenture, dated as of September 10, 2010, between Aon Corporation and the Trustee), (2) Amended and Restated Indenture, dated as of April 2, 2012, among Aon Corporation, Aon plc and the Trustee (amending and restating the Indenture, dated as of December 16, 2002, between Aon Corporation and the Trustee), (3) Amended and Restated Indenture, dated as of April 2, 2012, among Aon Corporation, Aon plc and the Trustee (amending and restating the Indenture, dated as of January 13, 1997, as supplemented by the First Supplemental Indenture, dated as of January 13, 1997), and (4) First Supplemental Indenture, dated as of April 2, 2012, among Aon Finance N.S. 1, ULC, as issuer, Aon Corporation, as guarantor, Aon plc, as guarantor, and Computershare Trust Company of Canada, as trustee. The Company provides a variety of guarantees and indemnifications to its customers and others. The maximum potential amount of future payments represents the notional amounts that could become payable under the guarantees and indemnifications if there were a total default by the guaranteed parties, without consideration of possible recoveries under recourse provisions or other methods. These amounts may bear no relationship to the expected future payments, if any, for these guarantees and indemnifications. Any anticipated amounts payable are included in the Company's Consolidated Financial Statements, and are recorded at fair value. The Company expects that, as prudent business interests dictate, additional guarantees and indemnifications may be issued from time to time. Letters of Credit The Company had total letters of credit ("LOCs") outstanding of approximately $58 million at December 31, 2015 , compared to $95 million at December 31, 2014 . These letters of credit cover the beneficiaries related to certain of Aon's U.S. and Canadian non-qualified pension plan schemes and secure deductible retentions for Aon's own workers compensation program. The Company has also issued LOCs to cover contingent payments for taxes and other business obligations to third parties, and other guarantees for miscellaneous purposes at its international subsidiaries. Commitments The Company has provided commitments to fund certain limited partnerships in which it has an interest in the event that the general partners request funding. Some of these commitments have specific expiration dates and the maximum potential funding under these commitments was $12 million at December 31, 2015 compared to $14 million at December 31, 2014 . During 2015 , the Company funded $2 million of these commitments. Premium Payments The Company has certain contractual contingent guarantees for premium payments owed by clients to certain insurance companies. The maximum exposure with respect to such contractual contingent guarantees was approximately $104 million at December 31, 2015 compared to $112 million at December 31, 2014 . |
Segment Information
Segment Information | 12 Months Ended |
Dec. 31, 2015 | |
Segment Reporting [Abstract] | |
Segment Information | Segment Information The Company has two reportable segments: Risk Solutions and HR Solutions. Unallocated income and expenses, when combined with the operating segments and after the elimination of intersegment revenues and expenses, equal the amounts in the Consolidated Financial Statements. Reportable operating segments have been determined using a management approach, which is consistent with the basis and manner in which Aon's chief operating decision maker ("CODM") uses financial information for the purposes of allocating resources and evaluating performance. The CODM assesses performance based on operating income and generally accounts for inter-segment revenue as if the revenue were from third parties and at what management believes are current market prices. The Company does not present net assets by segment as this information is not reviewed by the CODM. Risk Solutions acts as an advisor and insurance and reinsurance broker, helping clients manage their risks, via consultation, as well as negotiation and placement of insurance risk with insurance carriers through Aon's global distribution network. HR Solutions partners with organizations to solve their most complex benefits, talent and related financial challenges, and improve business performance by designing, implementing, communicating and administering a wide range of human capital, retirement, investment management, health care, compensation and talent management strategies. Aon's total revenue is as follows (in millions): Years ended December 31 2015 2014 2013 Risk Solutions $ 7,426 $ 7,834 $ 7,789 HR Solutions 4,303 4,264 4,057 Intersegment eliminations (47 ) (53 ) (31 ) Total revenue $ 11,682 $ 12,045 $ 11,815 Commissions, fees and other revenues by product are as follows (in millions): Years ended December 31 2015 2014 2013 Retail brokerage $ 6,044 $ 6,334 $ 6,256 Reinsurance brokerage 1,361 1,474 1,505 Total Risk Solutions Segment 7,405 7,808 7,761 Consulting services 1,686 1,700 1,626 Outsourcing 2,658 2,607 2,469 Intrasegment (41 ) (43 ) (38 ) Total HR Solutions Segment 4,303 4,264 4,057 Intersegment (47 ) (53 ) (31 ) Total commissions, fees and other revenue $ 11,661 $ 12,019 $ 11,787 Fiduciary investment income by segment is as follows (in millions): Years ended December 31 2015 2014 2013 Risk Solutions $ 21 $ 26 $ 28 HR Solutions — — — Total fiduciary investment income $ 21 $ 26 $ 28 A reconciliation of segment operating income before tax to income before income taxes is as follows (in millions): Years ended December 31 2015 2014 2013 Risk Solutions $ 1,506 $ 1,648 $ 1,540 HR Solutions 536 485 318 Segment income before income taxes 2,042 2,133 1,858 Unallocated expenses (194 ) (167 ) (187 ) Interest income 14 10 9 Interest expense (273 ) (255 ) (210 ) Other income 100 44 68 Income before income taxes $ 1,689 $ 1,765 $ 1,538 Unallocated expenses include administrative or other costs not attributable to the operating segments, such as corporate governance costs. Interest income represents income earned primarily on operating cash balances and certain income producing securities. Interest expense represents the cost of debt obligations. Other income consists of equity earnings, realized gains or losses on the sale of investments, gains or losses on the disposal of businesses, gains or losses on derivatives, and gains or losses on foreign currency remeasurement. Revenues are generally attributed to geographic areas based on the location of the resources producing the revenues. Intercompany revenues and expenses are eliminated in consolidated results. Consolidated revenue by geographic area is as follows (in millions): Years ended December 31 Total United States Americas other than U.S. United Kingdom Europe, Middle East, & Africa Asia Pacific 2015 $ 11,682 $ 6,063 $ 1,053 $ 1,527 $ 1,909 $ 1,130 2014 12,045 5,824 1,176 1,623 2,189 1,233 2013 11,815 5,574 1,214 1,544 2,304 1,179 Consolidated non-current assets by geographic area are as follows (in millions): As of December 31 Total United States Americas other than U.S. United Kingdom Europe, Middle East, & Africa Asia Pacific 2015 $ 13,051 $ 7,072 $ 416 $ 2,723 $ 2,270 $ 570 2014 13,805 7,793 493 2,700 2,179 640 |
Guarantee of Registered Securit
Guarantee of Registered Securities | 12 Months Ended |
Dec. 31, 2015 | |
Guarantee of Registered Securities | |
Guarantee of Registered Securities | Guarantee of Registered Securities As described in Note 14, 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, including the 3.125% Notes due May 2016, the 5.00% Notes due September 2020, the 8.205% Notes due January 2027 and the 6.25% Notes due September 2040 (collectively, the "Aon Corp Notes"). Aon Corporation is a 100% indirectly owned subsidiary of Aon plc. All guarantees of Aon plc are full and unconditional. There are no other subsidiaries of Aon plc that are guarantors of the Aon Corp Notes. In addition, 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% Notes due January 2027 and also agreed to guarantee the obligations of Aon plc arising under the 4.45% Notes due 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, and the 2.80% Notes due March 2021 (collectively, the "Aon plc Notes"). 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 Aon plc Notes. As a result of the existence of these guarantees, the Company has elected to present the financial information set forth in this footnote in accordance with Rule 3-10 of Regulation S-X. The following tables set forth condensed consolidating statements of income, condensed consolidating statements of comprehensive income for the years ended December 31, 2015 , 2014 , and 2013 , condensed consolidating statements of financial position as of December 31, 2015 and December 31, 2014 , and condensed consolidating statements of cash flows for the years ended December 31, 2015 , 2014 , and 2013 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. The principal consolidating adjustments are to eliminate the investment in subsidiaries and intercompany balances and transactions. In January 2015, Aon plc transferred its ownership of all of its directly held subsidiaries to Aon Global Holdings Limited, an intermediate holding company. The financial results of Aon Global Holdings Limited are included in the Other Non-Guarantor Subsidiaries column of the Condensed Consolidating Financial Statements. The Company has reflected the transfer of Aon Corporation from Aon plc to Aon Global Holdings Limited below for all periods presented. Certain amounts in prior year's consolidating statements of income have been reclassified and adjusted to conform to the 2015 presentation. In prior periods, other income (expense) from intercompany transactions were recognized in Compensation and benefits and Other general expenses. These amounts are now included in Intercompany other income (expense) in the Condensed Consolidating Statements of Income. The Company believes this provides greater clarity into the income generated from operations and intercompany transactions. Condensed Consolidating Statement of Income Year Ended December 31, 2015 (millions) Aon plc Aon Corporation Other Non-Guarantor Subsidiaries Consolidating Adjustments Consolidated Revenue Commissions, fees and other $ — $ — $ 11,661 $ — $ 11,661 Fiduciary investment income — — 21 — 21 Total revenue — — 11,682 — 11,682 Expenses Compensation and benefits 136 32 6,669 — 6,837 Other general expenses 8 7 2,982 — 2,997 Total operating expenses 144 39 9,651 — 9,834 Operating (loss) income (144 ) (39 ) 2,031 — 1,848 Interest income (19 ) 14 19 — 14 Interest expense (121 ) (130 ) (22 ) — (273 ) Intercompany interest income (expense) 429 (479 ) 50 — — Intercompany other income (expense) 302 (422 ) 120 — — Other Income (1 ) — 101 — 100 Income (loss) before taxes 446 (1,056 ) 2,299 — 1,689 Income tax expense (benefit) 45 (262 ) 484 — 267 Income (loss) before equity in earnings of subsidiaries 401 (794 ) 1,815 — 1,422 Equity in earnings of subsidiaries, net of tax 984 1,319 525 (2,828 ) — Net income 1,385 525 2,340 (2,828 ) 1,422 Less: Net income attributable to noncontrolling interests — — 37 — 37 Net income attributable to Aon shareholders $ 1,385 $ 525 $ 2,303 $ (2,828 ) $ 1,385 Condensed Consolidating Statement of Income Year Ended December 31, 2014 (millions) Aon plc Aon Corporation Other Non-Guarantor Subsidiaries Consolidating Adjustments Consolidated Revenue Commissions, fees and other $ — $ — $ 12,019 $ — $ 12,019 Fiduciary investment income — — 26 — 26 Total revenue — — 12,045 — 12,045 Expenses Compensation and benefits 140 16 6,858 — 7,014 Other general expenses 3 5 3,057 — 3,065 Total operating expenses 143 21 9,915 — 10,079 Operating (loss) income (143 ) (21 ) 2,130 — 1,966 Interest income (9 ) 2 17 — 10 Interest expense (75 ) (139 ) (41 ) — (255 ) Intercompany interest income (expense) 449 (298 ) (151 ) — — Intercompany other income (expense) 342 (390 ) 48 — — Other income 2 5 37 — 44 Income (loss) before taxes 566 (841 ) 2,040 — 1,765 Income tax expense (benefit) 74 (192 ) 452 — 334 Income (loss) before equity in earnings of subsidiaries 492 (649 ) 1,588 — 1,431 Equity in earnings of subsidiaries, net of tax 905 1,214 565 (2,684 ) — Net income 1,397 565 2,153 (2,684 ) 1,431 Less: Net income attributable to noncontrolling interests — — 34 — 34 Net income attributable to Aon shareholders $ 1,397 $ 565 $ 2,119 $ (2,684 ) $ 1,397 Condensed Consolidating Statement of Income Year Ended December 31, 2013 (millions) Aon plc Aon Corporation Other Non-Guarantor Subsidiaries Consolidating Adjustment Consolidated Revenue Commissions, fees and other $ 3 $ — $ 11,784 $ — $ 11,787 Fiduciary investment income — — 28 — 28 Total revenue 3 — 11,812 — 11,815 Expenses Compensation and benefits 111 50 6,784 — 6,945 Other general expenses — — 3,199 — 3,199 Total operating expenses 111 50 9,983 — 10,144 Operating (loss) income (108 ) (50 ) 1,829 — 1,671 Interest income — 3 6 — 9 Interest expense (20 ) (138 ) (52 ) — (210 ) Intercompany interest (expense) income 120 24 (144 ) — — Intercompany other (expense) income 38 (168 ) 130 — — Other income (expense) — 19 49 — 68 (Loss) income before taxes 30 (310 ) 1,818 — 1,538 Income tax (benefit) expense 12 (64 ) 442 — 390 (Loss) income before equity in earnings of subsidiaries 18 (246 ) 1,376 — 1,148 Equity in earnings of subsidiaries, net of tax 1,095 1,061 815 (2,971 ) — Net income 1,113 815 2,191 (2,971 ) 1,148 Less: Net income attributable to noncontrolling interests — — 35 — 35 Net income attributable to Aon shareholders $ 1,113 $ 815 $ 2,156 $ (2,971 ) $ 1,113 Condensed Consolidating Statement of Comprehensive Income Year Ended December 31, 2015 (millions) Aon plc Aon Corporation Other Non-Guarantor Subsidiaries Consolidating Adjustments Consolidated Net income $ 1,385 $ 525 $ 2,340 $ (2,828 ) $ 1,422 Less: Net income attributable to noncontrolling interests — — 37 — 37 Net income attributable to Aon shareholders $ 1,385 $ 525 $ 2,303 $ (2,828 ) $ 1,385 Other comprehensive (loss) income, net of tax: Change in fair value of financial instruments — — (8 ) — (8 ) Foreign currency translation adjustments — (47 ) (395 ) — (442 ) Post-retirement benefit obligation — 12 143 — 155 Total other comprehensive loss — (35 ) (260 ) — (295 ) Equity in other comprehensive loss of subsidiaries, net of tax (289 ) (268 ) (303 ) 860 — Less: Other comprehensive loss attributable to noncontrolling interests — — (6 ) — (6 ) Total other comprehensive loss attributable to Aon shareholders (289 ) (303 ) (557 ) 860 (289 ) Comprehensive income attributable to Aon shareholders $ 1,096 $ 222 $ 1,746 $ (1,968 ) $ 1,096 Condensed Consolidating Statement of Comprehensive Income Year Ended December 31, 2014 (millions) Aon plc Aon Corporation Other Non-Guarantor Subsidiaries Consolidating Adjustments Consolidated Net income $ 1,397 $ 565 $ 2,153 $ (2,684 ) $ 1,431 Less: Net income attributable to noncontrolling interests — — 34 — 34 Net income attributable to Aon shareholders $ 1,397 $ 565 $ 2,119 $ (2,684 ) $ 1,397 Other comprehensive income (loss), net of tax: Change in fair value of financial instruments — (3 ) 7 — 4 Foreign currency translation adjustments — (31 ) (476 ) — (507 ) Post-retirement benefit obligation — (315 ) 55 — (260 ) Total other comprehensive loss — (349 ) (414 ) — (763 ) Equity in other comprehensive income of subsidiaries, net of tax (760 ) (411 ) (760 ) 1,931 — Less: Other comprehensive loss attributable to noncontrolling interests — — (3 ) — (3 ) Total other comprehensive income attributable to Aon shareholders (760 ) (760 ) (1,171 ) 1,931 (760 ) Comprehensive income attributable to Aon shareholders $ 637 $ (195 ) $ 948 $ (753 ) $ 637 Condensed Consolidating Statement of Comprehensive Income Year Ended December 31, 2013 (millions) Aon plc Aon Corporation Other Non-Guarantor Subsidiaries Consolidating Adjustments Consolidated Net income $ 1,113 $ 815 $ 2,191 $ (2,971 ) $ 1,148 Less: Net income attributable to noncontrolling interests — — 35 — 35 Net income attributable to Aon shareholders $ 1,113 $ 815 $ 2,156 $ (2,971 ) $ 1,113 Other comprehensive loss, net of tax: Change in fair value of financial instruments — 5 2 — 7 Foreign currency translation adjustments — (60 ) (5 ) — (65 ) Post-retirement benefit obligation — 223 70 — 293 Total other comprehensive loss — 168 67 — 235 Equity in other comprehensive loss of subsidiaries, net of tax 236 69 237 (542 ) — Less: Other comprehensive income attributable to noncontrolling interests — — (1 ) — (1 ) Total other comprehensive loss attributable to Aon shareholders 236 237 305 (542 ) 236 Comprehensive income attributable to Aon shareholders $ 1,349 $ 1,052 $ 2,461 $ (3,513 ) $ 1,349 Condensed Consolidating Statement of Financial Position As of December 31, 2015 (millions) Aon plc Aon Corporation Other Non-Guarantor Subsidiaries Consolidating Adjustments Consolidated ASSETS Cash and cash equivalents $ — $ 2,083 $ 1,242 $ (2,941 ) $ 384 Short-term investments — 209 147 — 356 Receivables, net 1 — 2,733 — 2,734 Fiduciary assets — — 9,932 — 9,932 Intercompany receivables 432 1,950 7,957 (10,339 ) — Other current assets 3 218 347 (2 ) 566 Total Current Assets 436 4,460 22,358 (13,282 ) 13,972 Goodwill — — 8,448 — 8,448 Intangible assets, net — — 2,180 — 2,180 Fixed assets, net — — 765 — 765 Deferred tax assets 154 558 107 (678 ) 141 Intercompany receivables 375 526 8,633 (9,534 ) — Prepaid Pension — 6 1,027 — 1,033 Other non-current assets 28 124 557 (84 ) 625 Investment in subsidiary 11,804 16,534 369 (28,707 ) — TOTAL ASSETS $ 12,797 $ 22,208 $ 44,444 $ (52,285 ) $ 27,164 LIABILITIES AND EQUITY Fiduciary liabilities $ — $ — $ 9,932 $ — $ 9,932 Short-term debt and current portion of long-term debt — 550 12 — 562 Accounts payable and accrued liabilities 2,988 45 1,680 (2,941 ) 1,772 Intercompany payables 167 9,518 654 (10,339 ) — Other current liabilities 47 56 720 (3 ) 820 Total Current Liabilities 3,202 10,169 12,998 (13,283 ) 13,086 Long-term debt 3,482 1,418 275 — 5,175 Deferred tax liabilities — — 854 (678 ) 176 Pension, other post-retirement and other post-employment liabilities — 1,313 482 — 1,795 Intercompany payables — 8,799 735 (9,534 ) — Other non-current liabilities 7 140 705 (83 ) 769 TOTAL LIABILITIES 6,691 21,839 16,049 (23,578 ) 21,001 TOTAL AON SHAREHOLDERS’ EQUITY 6,106 369 28,338 (28,707 ) 6,106 Noncontrolling interests — — 57 — 57 TOTAL EQUITY 6,106 369 28,395 (28,707 ) 6,163 TOTAL LIABILITIES AND EQUITY $ 12,797 $ 22,208 $ 44,444 $ (52,285 ) $ 27,164 Condensed Consolidating Statement of Financial Position As of December 31, 2014 (millions) Aon plc Aon Corporation Other Non-Guarantor Subsidiaries Consolidating Adjustments Consolidated ASSETS Cash and cash equivalents $ — $ 2,727 $ 1,361 $ (3,714 ) $ 374 Short-term investments — 165 229 — 394 Receivables, net — — 2,815 — 2,815 Fiduciary assets — — 11,638 — 11,638 Intercompany receivables 455 2,814 9,156 (12,425 ) — Other current assets 2 226 407 (33 ) 602 Total Current Assets 457 5,932 25,606 (16,172 ) 15,823 Goodwill — — 8,860 — 8,860 Intangible assets, net — — 2,520 — 2,520 Fixed assets, net — — 765 — 765 Deferred tax assets 159 570 113 (698 ) 144 Intercompany receivables 7,399 600 111 (8,110 ) — Prepaid Pension — 6 927 — 933 Other non-current assets 20 121 678 (92 ) 727 Investment in subsidiary 4,962 15,200 1,880 (22,042 ) — TOTAL ASSETS $ 12,997 $ 22,429 $ 41,460 $ (47,114 ) $ 29,772 LIABILITIES AND EQUITY Fiduciary liabilities $ — $ — $ 11,638 $ — $ 11,638 Short-term debt and current portion of long-term debt — 767 16 — 783 Accounts payable and accrued liabilities 3,755 58 1,706 (3,714 ) 1,805 Intercompany payables 122 8,960 3,343 (12,425 ) — Other current liabilities — 49 772 (33 ) 788 Total Current Liabilities 3,877 9,834 17,475 (16,172 ) 15,014 Long-term debt 2,544 1,917 338 — 4,799 Deferred tax liabilities — — 1,011 (698 ) 313 Pension, other post-retirement and other post-employment liabilities — 1,396 745 — 2,141 Intercompany payables — 7,277 833 (8,110 ) — Other non-current liabilities 5 125 836 (92 ) 874 TOTAL LIABILITIES 6,426 20,549 21,238 (25,072 ) 23,141 TOTAL AON SHAREHOLDERS’ EQUITY 6,571 1,880 20,162 (22,042 ) 6,571 Noncontrolling interests — — 60 — 60 TOTAL EQUITY 6,571 1,880 20,222 (22,042 ) 6,631 TOTAL LIABILITIES AND EQUITY $ 12,997 $ 22,429 $ 41,460 $ (47,114 ) $ 29,772 Condensed Consolidating Statement of Cash Flows Year Ended December 31, 2015 (millions) Aon plc Aon Corporation Other Non-Guarantor Subsidiaries Consolidating Adjustments Consolidated CASH FLOWS FROM OPERATING ACTIVITIES CASH PROVIDED BY (USED FOR) OPERATING ACTIVITIES $ 695 $ 464 $ 2,523 $ (1,673 ) $ 2,009 CASH FLOWS FROM INVESTING ACTIVITIES Proceeds from investments — 27 193 — 220 Payments for investments (13 ) (47 ) (219 ) 13 (266 ) Net (purchases) sales of short-term investments - non-fiduciary — (42 ) 51 — 9 Acquisition of businesses, net of cash acquired — — (16 ) — (16 ) Proceeds from sale of businesses — — 205 — 205 Capital expenditures — — (290 ) — (290 ) CASH USED FOR (PROVIDED BY) INVESTING ACTIVITIES (13 ) (62 ) (76 ) 13 (138 ) CASH FLOWS FROM FINANCING ACTIVITIES Share repurchase (1,550 ) — — — (1,550 ) Advances from (to) affiliates and other (1) 232 (326 ) (2,339 ) 2,433 — Issuance of shares for employee benefit plans (29 ) — (1 ) — (30 ) Issuance of debt 1,318 4,026 7 — 5,351 Repayment of debt (330 ) (4,746 ) (22 ) — (5,098 ) Cash dividends to shareholders (323 ) — — — (323 ) Noncontrolling interests and other financing activities — — (39 ) — (39 ) CASH (USED FOR) PROVIDED BY FINANCING ACTIVITIES (682 ) (1,046 ) (2,394 ) 2,433 (1,689 ) EFFECT OF EXCHANGE RATE CHANGES ON CASH AND CASH EQUIVALENTS — — (172 ) — (172 ) NET INCREASE (DECREASE) IN CASH AND CASH EQUIVALENTS — (644 ) (119 ) 773 10 CASH AND CASH EQUIVALENTS AT BEGINNING OF YEAR — 2,727 1,361 (3,714 ) 374 CASH AND CASH EQUIVALENTS AT END OF PERIOD $ — $ 2,083 $ 1,242 $ (2,941 ) $ 384 (1) Advances from (to) affiliates and other includes activity related to the Company's intercompany and cash pooling arrangements. Condensed Consolidating Statement of Cash Flows Year Ended December 31, 2014 (millions) Aon plc Aon Corporation Other Non-Guarantor Subsidiaries Consolidating Adjustments Consolidated CASH FLOWS FROM OPERATING ACTIVITIES CASH PROVIDED BY (USED FOR) OPERATING ACTIVITIES $ 769 $ (927 ) $ 1,970 $ — $ 1,812 CASH FLOWS FROM INVESTING ACTIVITIES Proceeds from investments — 39 13 — 52 Payments for investments — (20 ) — — (20 ) Net purchases of short-term investments - non-fiduciary — (3 ) 113 — 110 Acquisition of businesses, net of cash acquired — — (479 ) — (479 ) Proceeds from sale of businesses — — 48 — 48 Capital expenditures — — (256 ) — (256 ) CASH USED FOR INVESTING ACTIVITIES — 16 (561 ) — (545 ) CASH FLOWS FROM FINANCING ACTIVITIES Share repurchase (2,250 ) — — — (2,250 ) Advances from (to) affiliates and other (1) 19 3,215 (536 ) (2,698 ) — Issuance of shares for employee benefit plans (105 ) — — — (105 ) Issuance of debt 2,908 2,326 5 — 5,239 Repayment of debt (1,068 ) (2,150 ) (700 ) — (3,918 ) Cash dividends to shareholders (273 ) — — — (273 ) Noncontrolling interests and other financing activities — — 4 — 4 CASH (USED FOR) PROVIDED BY FINANCING ACTIVITIES (769 ) 3,391 (1,227 ) (2,698 ) (1,303 ) EFFECT OF EXCHANGE RATE CHANGES ON CASH AND CASH EQUIVALENTS — — (67 ) — (67 ) NET (DECREASE) INCREASE IN CASH AND CASH EQUIVALENTS — 2,480 115 (2,698 ) (103 ) CASH AND CASH EQUIVALENTS AT BEGINNING OF YEAR — 247 1,246 (1,016 ) 477 CASH AND CASH EQUIVALENTS AT END OF PERIOD $ — $ 2,727 $ 1,361 $ (3,714 ) $ 374 (1) Advances from (to) affiliates and other includes activity related to the Company's intercompany and cash pooling arrangements. Condensed Consolidating Statement of Cash Flows Year Ended December 31, 2013 (millions) Aon plc Aon Corporation Other Non-Guarantor Subsidiaries Consolidating Adjustments Consolidated CASH FLOWS FROM OPERATING ACTIVITIES CASH PROVIDED BY (USED FOR) OPERATING ACTIVITIES $ 70 $ (441 ) $ 2,124 $ — $ 1,753 CASH FLOWS FROM INVESTING ACTIVITIES Proceeds from investments — 8 85 — 93 Payments for investments — (15 ) — — (15 ) Net sales of short-term investments - non-fiduciary — (74 ) (100 ) — (174 ) Acquisition of businesses, net of cash acquired — — (54 ) — (54 ) Proceeds from sale of businesses — 7 33 — 40 Capital expenditures — — (229 ) — (229 ) CASH (USED FOR) PROVIDED BY INVESTING ACTIVITIES — (74 ) (265 ) — (339 ) CASH FLOWS FROM FINANCING ACTIVITIES Share repurchase (1,102 ) — — — (1,102 ) Advances from (to) affiliates 460 996 (479 ) (977 ) — Issuance of shares for employee benefit plans (22 ) — — — (22 ) Issuance of debt 1,730 2,944 232 — 4,906 Repayment of debt (1,055 ) (3,377 ) (247 ) — (4,679 ) Cash dividends to shareholders (212 ) — — — (212 ) Noncontrolling interests and other financing activities — (27 ) — (27 ) CASH PROVIDED BY (USED FOR) FINANCING ACTIVITIES (201 ) 563 (521 ) (977 ) (1,136 ) EFFECT OF EXCHANGE RATE CHANGES ON CASH AND CASH EQUIVALENTS — — (92 ) — (92 ) NET INCREASE (DECREASE) IN CASH AND CASH EQUIVALENTS (131 ) 48 1,246 (977 ) 186 CASH AND CASH EQUIVALENTS AT BEGINNING OF YEAR 131 199 — (39 ) 291 CASH AND CASH EQUIVALENTS AT END OF PERIOD $ — $ 247 $ 1,246 $ (1,016 ) $ 477 |
Quarterly Financial Data (Unaud
Quarterly Financial Data (Unaudited) | 12 Months Ended |
Dec. 31, 2015 | |
Quarterly Financial Information Disclosure [Abstract] | |
Quarterly Financial Data (Unaudited) | Quarterly Financial Data (Unaudited) Selected quarterly financial data for the years ended December 31, 2015 and 2014 are as follows (in millions, except per share data): 1Q 2Q 3Q 4Q 2015 INCOME STATEMENT DATA Commissions, fees and other revenue $ 2,842 $ 2,800 $ 2,736 $ 3,283 $ 11,661 Fiduciary investment income 5 5 6 5 21 Total revenue $ 2,847 $ 2,805 $ 2,742 $ 3,288 $ 11,682 Operating income $ 441 $ 277 $ 413 717 $ 1,848 Net income 341 188 303 590 1,422 Less: Net income attributable to noncontrolling interests 13 10 8 6 37 Net income attributable to Aon shareholders $ 328 $ 178 $ 295 $ 584 $ 1,385 PER SHARE DATA Basic net income per share attributable to Aon shareholders $ 1.15 $ 0.63 $ 1.05 $ 2.12 $ 4.93 Diluted net income per share attributable to Aon shareholders $ 1.14 $ 0.62 $ 1.05 $ 2.09 $ 4.88 CLASS A ORDINARY SHARE DATA Dividends paid per share $ 0.25 $ 0.30 $ 0.30 $ 0.30 $ 1.15 Price range: High $ 107.08 $ 104.70 $ 103.38 $ 97.79 $ 107.08 Low $ 89.35 $ 95.32 $ 87.58 $ 86.38 $ 86.38 Shares outstanding 281.7 279.8 273.9 269.8 269.8 Average monthly trading volume 24.5 24.9 26.5 26.6 25.6 1Q 2Q 3Q 4Q 2014 INCOME STATEMENT DATA Commissions, fees and other revenue $ 2,941 $ 2,913 $ 2,873 $ 3,292 $ 12,019 Fiduciary investment income 6 6 7 7 26 Total revenue $ 2,947 $ 2,919 $ 2,880 $ 3,299 $ 12,045 Operating income $ 469 $ 445 $ 417 $ 635 $ 1,966 Net income 336 313 315 467 1,431 Less: Net income attributable to noncontrolling interests 11 9 6 8 34 Net income attributable to Aon shareholders $ 325 $ 304 $ 309 $ 459 $ 1,397 PER SHARE DATA Basic net income per share attributable to Aon shareholders $ 1.07 $ 1.02 $ 1.06 $ 1.60 $ 4.73 Diluted net income per share attributable to Aon shareholders $ 1.06 $ 1.01 $ 1.04 $ 1.56 $ 4.66 CLASS A ORDINARY SHARE DATA Dividends paid per share $ 0.18 $ 0.25 $ 0.25 $ 0.25 $ 0.92 Price range: High $ 87.45 $ 91.07 $ 91.28 $ 98.10 $ 98.10 Low $ 76.49 $ 78.60 $ 83.06 $ 78.26 $ 76.49 Shares outstanding 296.5 290.5 285.1 280.0 280.0 Average monthly trading volume 32.6 28.5 26.3 34.1 30.4 |
Summary of Significant Accoun25
Summary of Significant Accounting Principles and Practices (Policies) | 12 Months Ended |
Dec. 31, 2015 | |
Accounting Policies [Abstract] | |
Use of Estimates | Use of Estimates The preparation of the accompanying Consolidated Financial Statements in conformity with U.S. GAAP requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities, disclosures of contingent assets and liabilities at the date of the financial statements, and the reported amounts of reserves and expenses. These estimates and assumptions are based on management's best estimates and judgments. Management evaluates its estimates and assumptions on an ongoing basis using historical experience and other factors, including the current economic environment. Management believes its estimates to be reasonable given the current facts available. Aon adjusts such estimates and assumptions when facts and circumstances dictate. Illiquid credit markets, volatile equity markets, and foreign currency exchange rate movements increase the uncertainty inherent in such estimates and assumptions. As future events and their effects cannot be determined, among other factors, with precision, actual results could differ significantly from these estimates. Changes in estimates resulting from continuing changes in the economic environment would, if applicable, be reflected in the financial statements in future periods. |
Revenue Recognition | Revenue Recognition Risk Solutions segment revenues primarily include insurance commissions and fees for services rendered and investment income on funds held on behalf of clients. Revenues are recognized when they are earned and realized or realizable. The Company considers revenues to be earned and realized or realizable when all of the following four conditions are met: (1) persuasive evidence of an arrangement exists, (2) the arrangement fee is fixed or determinable, (3) delivery or performance has occurred, and (4) collectability is reasonably assured. For brokerage commissions, revenue is typically recognized at the completion of the placement process, assuming all four criteria required to recognize revenue have been met. The placement process is typically considered complete on the effective date of the related policy. Commission revenues are recorded net of allowances for estimated policy cancellations, which are determined based on an evaluation of historical and current cancellation data. HR Solutions segment revenues consist primarily of fees paid by clients for consulting advice and outsourcing contracts. Fees paid by clients for consulting services are typically charged on an hourly, project or fixed-fee basis. Revenues from time-and-materials or cost-plus arrangements are recognized as services are performed, assuming all four criteria to recognize revenue have been met. Revenues from fixed-fee contracts are recognized as services are provided using a proportional-performance model or at the completion of a project based on facts and circumstances of the client arrangement. Revenues from health care exchange arrangements are typically recognized upon successful enrollment of participants, net of a reserve for estimated cancellations, assuming all four criteria to recognize revenue have been met. Reimbursements received for out-of-pocket expenses are recorded as a component of revenues. The Company's outsourcing contracts typically have three -to- five year terms for benefits services and five -to- ten year terms for human resources business process outsourcing ("HR BPO") services. The Company recognizes revenues as services are performed, assuming all criteria to recognize revenue have been met. The Company may also receive implementation fees from clients either up-front or over the ongoing services period as a component of the fee per participant. Lump sum implementation fees received from a client are typically deferred and recognized ratably over the ongoing contract services period. If a client terminates an outsourcing services arrangement prior to the end of the contract, a loss on the contract may be recorded, if necessary, and any remaining deferred implementation revenues would typically be recognized over the remaining service period through the termination date. In connection with the Company's long-term outsourcing service agreements, highly customized implementation efforts are often necessary to set up clients and their human resource or benefit programs on the Company's systems and operating processes. Qualifying costs of implementation incurred prior to the services commencing are generally deferred and amortized over the period that the related ongoing services revenue is recognized. Deferred costs are assessed for recoverability on a periodic basis to the extent the deferred cost exceeds related deferred revenue. |
Stock-Based Compensation Costs | Share-Based Compensation Costs Share-based payments to employees, including grants of employee share options, restricted shares and restricted share units ("RSUs"), performance share awards ("PSAs") as well as employee share purchases related to the Employee Share Purchase Plan, are measured based on estimated grant date fair value. The Company recognizes compensation expense over the requisite service period for awards expected to ultimately vest. Forfeitures are estimated on the date of grant and revised if actual or expected forfeiture activity differs materially from original estimates. |
Pension and Other Post-Retirement Benefits | Pension and Other Post-Retirement Benefits The Company records net period cost relating to its pension and other post-retirement benefit plans based on calculations that include various actuarial assumptions, including discount rates, assumed rates of return on plan assets, inflation rates, mortality rates, compensation increases, and turnover rates. The Company reviews its actuarial assumptions on an annual basis and modifies these assumptions based on current rates and trends. The effects of gains, losses, and prior service costs and credits are amortized over future service periods or future estimated lives if the plans are frozen. The funded status of each plan, calculated as the fair value of plan assets less the benefit obligation, is reflected in the Company's Consolidated Statements of Financial Position using a December 31 measurement date. |
Net Income per Share | Net Income per Share Basic net income per share is computed by dividing net income available to ordinary shareholders by the weighted-average number of ordinary shares outstanding, including participating securities, which consist of unvested share awards with non-forfeitable rights to dividends. Diluted net income per share is computed by dividing net income available to ordinary shareholders by the weighted-average number of ordinary shares outstanding, which have been adjusted for the dilutive effect of potentially issuable ordinary shares (excluding those that are considered participating securities), including certain contingently issuable shares. The diluted earnings per share calculation reflects the more dilutive effect of either (1) the two-class method that assumes that the participating securities have not been exercised, or (2) the treasury stock method. Certain ordinary share equivalents, related primarily to options, are not included in the computation of diluted income per share if their inclusion would be antidilutive. |
Cash and Cash Equivalents and Short-term Investments | Cash and Cash Equivalents and Short-term Investments Cash and cash equivalents include cash balances and all highly liquid investments with initial maturities of three months or less. Short-term investments include certificates of deposit, money market funds and highly liquid debt instruments purchased with initial maturities in excess of three months but less than one year and are carried at amortized cost, which approximates fair value. |
Fiduciary Assets and Liabilities | Fiduciary Assets and Liabilities In its capacity as an insurance agent and broker, Aon collects premiums from insureds and, after deducting its commission, remits the premiums to the respective insurers. Aon also collects claims or refunds from insurers on behalf of insureds. Uncollected premiums from insureds and uncollected claims or refunds from insurers are recorded as Fiduciary assets in the Company's Consolidated Statements of Financial Position. Unremitted insurance premiums and claims are held in a fiduciary capacity and the obligation to remit these funds is recorded as Fiduciary liabilities in the Company's Consolidated Statements of Financial Position. Some of the Company's outsourcing agreements also require it to hold funds to pay certain obligations on behalf of clients. These funds are also recorded as Fiduciary assets with the related obligation recorded as Fiduciary liabilities in the Company's Consolidated Statements of Financial Position. |
Allowance for Doubtful Accounts | Allowance for Doubtful Accounts The Company's allowance for doubtful accounts with respect to receivables is based on a combination of factors, including evaluation of historical write-offs, aging of balances and other qualitative and quantitative analyses. |
Fixed Assets | Fixed Assets Fixed assets are stated at cost, less accumulated depreciation. Included in this category is internal use software, which is software that is acquired, internally developed or modified solely to meet internal needs, with no plan to market externally. Costs related to directly obtaining, developing or upgrading internal use software are capitalized. Depreciation and amortization are computed using the straight-line method over the estimated useful lives of the assets, which are generally as follows: Asset Description Asset Life Software Lesser of the life of an associated license, or 4 to 7 years Leasehold improvements Lesser of estimated useful life or lease term, not to exceed 10 years Furniture, fixtures and equipment 4 to 10 years Computer equipment 4 to 6 years Buildings 35 years Automobiles 6 years |
Goodwill and Intangible Assets | Goodwill and Intangible Assets Goodwill represents the excess of acquisition cost over the fair value of the net assets in the acquisition of a business. Goodwill is allocated to various reporting units, which are one reporting level below the operating segment. Upon disposition of a business entity, goodwill is allocated to the disposed entity based on the fair value of that entity compared to the fair value of the reporting unit in which it was included. Goodwill is not amortized, but instead is tested for impairment at least annually. The goodwill impairment test is performed at the reporting unit level. The Company initially performs a qualitative analysis to determine if it is more likely than not that the goodwill balance is impaired. If such a determination is made, then the Company will perform a two-step quantitative analysis. First, the fair value of each reporting unit is compared to its carrying value. If the fair value of the reporting unit is less than its carrying value, the Company performs a hypothetical purchase price allocation based on the reporting unit's fair value to determine the fair value of the reporting unit's goodwill. Any resulting difference will be a charge to Other general expenses in the Consolidated Statements of Income in the period in which the determination is made. Fair value is determined using a combination of present value techniques and market prices of comparable businesses. Intangible assets include customer related and contract based assets representing primarily client relationships and non-compete agreements, tradenames, and marketing and technology related assets. These intangible assets, with the exception of tradenames, are amortized over periods ranging from 1 to 16 years, with a weighted average original life of 11 years. Tradenames are not amortized when such assets have been determined to have indefinite useful lives, and are tested at least annually for impairments using an analysis of expected future cash flows. Interim impairment testing may be performed when events or changes in circumstances indicate that the carrying amount of the intangible asset may not be recoverable. |
Derivatives | Derivatives Derivative instruments are recognized in the Consolidated Statements of Financial Position at fair value. Where the Company has entered into master netting agreements with counterparties, the derivative positions are netted by counterparty and are reported accordingly in other assets or other liabilities. Changes in the fair value of derivative instruments are recognized in earnings each period, unless the derivative is designated and qualifies as a cash flow or net investment hedge. The Company has historically designated the following hedging relationships for certain transactions: (i) a hedge of the change in fair value of a recognized asset or liability or firm commitment ("fair value hedge"), (ii) a hedge of the variability in cash flows from a recognized variable-rate asset or liability or forecasted transaction ("cash flow hedge"), and (iii) a hedge of the net investment in a foreign operation ("net investment hedge"). In order for a derivative to qualify for hedge accounting, the derivative must be formally designated as a fair value, cash flow, or a net investment hedge by documenting the relationship between the derivative and the hedged item. The documentation must include a description of the hedging instrument, the hedged item, the risk being hedged, Aon's risk management objective and strategy for undertaking the hedge, the method for assessing the effectiveness of the hedge, and the method for measuring hedge ineffectiveness. Additionally, the hedge relationship must be expected to be highly effective at offsetting changes in either the fair value or cash flows of the hedged item at both the inception of the hedge and on an ongoing basis. Aon assesses the ongoing effectiveness of its hedges and measures and records hedge ineffectiveness, if any, at the end of each quarter or more frequently if facts and circumstances require. For a derivative designated as a hedging instrument, the changes in the fair value of a recognized asset or liability or a firm commitment (a fair value hedge), the gain or loss is recognized in earnings in the period of change together with the offsetting loss or gain on the hedged item attributable to the risk being hedged. The effect is to reflect in earnings the extent to which the hedge is not effective in achieving offsetting changes in fair value. For a cash flow hedge that qualifies for hedge accounting, the effective portion of the change in fair value of a hedging instrument is recognized in Other Comprehensive Income ("OCI") and subsequently reclassified to earnings in the same period the hedged item impacts earnings. The ineffective portion of the change in fair value is recognized immediately in earnings. For a net investment hedge, the effective portion of the change in fair value of the hedging instrument is recognized in OCI as part of the cumulative translation adjustment, while the ineffective portion is recognized immediately in earnings. Changes in the fair value of a derivative that is not designated as part of a hedging relationship (commonly referred to as an "economic hedge") are recorded in Other income in the Consolidated Statements of Income. The Company discontinues hedge accounting prospectively when (1) the derivative expires or is sold, terminated, or exercised, (2) the qualifying criteria are no longer met, or (3) management removes the designation of the hedging relationship. |
Foreign Currency | Foreign Currency Certain of the Company's non-US operations use their respective local currency as their functional currency. These operations that do not have the U.S. dollar as their functional currency translate their financial statements at the current rates of exchange in effect at the balance sheet date and revenues and expenses using rates that approximate those in effect during the period. The resulting translation adjustments are included in net foreign currency translation adjustments within the Consolidated Statements of Shareholders' Equity. Gains and losses from the remeasurement of monetary assets and liabilities that are denominated in a non-functional currency are included in Other income within the Consolidated Statements of Income. |
Income Taxes | Income Taxes Deferred income taxes are recognized for the effect of temporary differences between financial reporting and tax basis of assets and liabilities and are measured using the enacted marginal tax rates and laws that are currently in effect. The effect on deferred tax assets and liabilities from a change in tax rates is recognized in the period when the rate change is enacted. Deferred tax assets are reduced by valuation allowances if, based on the consideration of all available evidence, it is more likely than not that some portion of the deferred tax asset will not be realized. Significant weight is given to evidence that can be objectively verified. Deferred tax assets are realized by having sufficient future taxable income to allow the related tax benefits to reduce taxes otherwise payable. The sources of taxable income that may be available to realize the benefit of deferred tax assets are future reversals of existing taxable temporary differences, future taxable income exclusive of reversing temporary differences and carry-forwards, taxable income in carry-back years and tax planning strategies that are both prudent and feasible. The Company recognizes the effect of income tax positions only if sustaining those positions is more likely than not. Tax positions that meet the more likely than not recognition threshold but are not highly certain are initially and subsequently measured based on the largest amount of benefit that is greater than 50% likely of being realized upon settlement with the taxing authority. Only information that is available at the reporting date is considered in the Company's recognition and measurement analysis, and events or changes in facts and circumstances are accounted for in the period in which the event or change in circumstance occurs. The Company records penalties and interest related to unrecognized tax benefits in Income taxes in the Company's Consolidated Statements of Income. |
New Accounting Pronouncements | New Accounting Pronouncements Presentation of Deferred Taxes In November 2015, the Financial Accounting Standards Board ("FASB") issued new accounting guidance on the balance sheet presentation of deferred taxes, which require that deferred tax liabilities and assets be classified as noncurrent. The guidance is effective for Aon in the first quarter of 2017, however, the Company is expecting to early adopt this guidance in 2016 and retrospectively apply its requirements to all periods presented. The adoption of this guidance is not expected to have a material impact on the Company's Consolidated Financial Statements. Debt Issuance Costs In April 2015, the FASB issued new accounting guidance on the presentation of debt issuance costs, which requires debt issuance costs to be presented in the balance sheet as a direct deduction from the associated debt liability. This guidance will also be applied to Aon's debt issuance costs related to its line-of-credit arrangements. The new guidance will be applied on a retrospective basis effective in the first quarter of 2016. The adoption of this guidance is not expected to have a material impact on the Company's Consolidated Financial Statements. Consolidations In February 2015, the FASB issued new accounting guidance on consolidations, which will eliminate the deferral granted to investment companies from applying the variable interest entities guidance and make targeted amendments to the current consolidation guidance. The new guidance applies to all entities involved with limited partnerships or similar entities and requires re-evaluation of these entities under the revised guidance, which could change previous consolidation conclusions. The guidance is effective for the Company in the first quarter of 2016. The adoption of this guidance will not have a material impact on the Company's Consolidated Financial Statements. Revenue Recognition In May 2014, the FASB issued new accounting guidance on revenue from contracts with customers, which, when effective, will supersede nearly all existing revenue recognition guidance under U.S. GAAP. The core principal of the guidance is that an entity should recognize revenue when it transfers promised goods or services to customers in an amount that reflects the consideration to which the entity expects to be entitled in exchange for those goods or services. The guidance also requires additional disclosure about the nature, amount, timing and uncertainty of revenue and cash flows arising from customer contracts, including significant judgments and changes in judgments and assets recognized from costs incurred to obtain or fulfill a contract. The guidance is effective for Aon in the first quarter of 2018 and early adoption is permitted beginning the first quarter of 2017. The guidance permits two methods of transition upon adoption: full retrospective and modified retrospective. Under the full retrospective method, prior periods would be restated under the new revenue standard, providing a comparable view across all periods presented. Under the modified retrospective method, prior periods would not be restated. Rather, revenues and other disclosures for pre-2018 periods would be provided in the notes to the financial statements as previously reported under the current revenue standard. The impact from the adoption of this guidance on the Company's Consolidated Financial Statements cannot be determined at this time as the standard is still undergoing changes. The Company is also determining the appropriate method of transition to the guidance and the timing of adoption of the guidance. |
Basis of Presentation (Tables)
Basis of Presentation (Tables) | 12 Months Ended |
Dec. 31, 2015 | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | |
Summary of Reclassification From Prior Period | Changes to the presentation in the Consolidated Statements of Cash Flows for 2014 and 2013 were made related to certain line items within financing activities. The following line items and respective amounts have been aggregated in a new line item titled “Noncontrolling interests and other financing activities” within financing activities. Years Ended December 31, 2014 2013 Purchases of shares from noncontrolling interests 3 (8 ) Dividends paid to noncontrolling interests (24 ) (19 ) Proceeds from sale-leaseback 25 — |
Summary of Significant Accoun27
Summary of Significant Accounting Principles and Practices (Tables) | 12 Months Ended |
Dec. 31, 2015 | |
Accounting Policies [Abstract] | |
Schedule of estimated useful lives of assets | Depreciation and amortization are computed using the straight-line method over the estimated useful lives of the assets, which are generally as follows: Asset Description Asset Life Software Lesser of the life of an associated license, or 4 to 7 years Leasehold improvements Lesser of estimated useful life or lease term, not to exceed 10 years Furniture, fixtures and equipment 4 to 10 years Computer equipment 4 to 6 years Buildings 35 years Automobiles 6 years |
Other Financial Data (Tables)
Other Financial Data (Tables) | 12 Months Ended |
Dec. 31, 2015 | |
Other Financial Data [Abstract] | |
Other income (Expense) | Other income consists of the following (in millions): Years ended December 31 2015 2014 2013 Equity earnings $ 13 $ 12 $ 20 Net gain on disposals of businesses 82 24 10 Foreign currency remeasurement gain 30 18 13 (Loss) income on financial instruments (24 ) (15 ) 18 Other (1 ) 5 7 $ 100 $ 44 $ 68 |
Schedule of Allowance for Doubtful Accounts | An analysis of the allowance for doubtful accounts is as follows (in millions): Years ended December 31, 2015 2014 2013 Balance at beginning of year $ 74 $ 90 $ 118 Provision charged to operations 13 12 9 Accounts written off, net of recoveries (34 ) (33 ) (38 ) Foreign currency translation 5 5 1 Balance at end of year $ 58 $ 74 $ 90 |
Schedule of Other Current Assets | The components of Other current assets are as follows (in millions): As of December 31 2015 2014 Taxes receivable $ 94 $ 99 Deferred tax assets 232 212 Prepaid expenses 130 164 Deferred project costs 92 102 Other 18 25 $ 566 $ 602 |
Components of Fixed assets, net | The components of Fixed assets, net are as follows (in millions): As of December 31 2015 2014 Software $ 1,095 $ 1,020 Leasehold improvements 422 413 Computer equipment 358 347 Furniture, fixtures and equipment 315 313 Construction in progress 76 94 Other 115 124 2,381 2,311 Less: Accumulated depreciation 1,616 1,546 Fixed assets, net $ 765 $ 765 |
Schedule of Other Non-current Assets | The components of Other non-current assets are as follows (in millions): As of December 31 2015 2014 Deferred project costs 210 250 Investments 135 143 Taxes receivable 82 101 Other 198 233 $ 625 $ 727 |
Schedule of Other Current Liabilities | The components of Other current liabilities are as follows (in millions): As of December 31 2015 2014 Deferred revenue $ 394 $ 408 Taxes payable 94 64 Deferred tax liability 1 2 Other 331 314 $ 820 $ 788 |
Schedule of Other Non-current Liabilities | The components of Other non-current liabilities are as follows (in millions): As of December 31 2015 2014 Taxes payable $ 223 $ 210 Leases 166 184 Deferred revenue 159 167 Compensation and benefits 59 57 Other 162 256 $ 769 $ 874 |
Acquisitions and Dispositions (
Acquisitions and Dispositions (Tables) | 12 Months Ended |
Dec. 31, 2015 | |
Business Combinations and Discontinued Operations and Disposal Groups [Abstract] | |
Schedule of number of acquisitions | The number of acquisitions completed within each business segment is as follows: Years ended December 31 2015 2014 Risk Solutions 4 11 HR Solutions 3 2 7 13 |
Consideration transferred and preliminary value of intangible assets | The following table includes the aggregate consideration transferred and the preliminary value of intangible assets recorded as a result of the Company's acquisitions (in millions): Years ended December 31 2015 2014 Consideration $ 27 $ 461 Intangible assets: Goodwill $ 18 $ 292 Other intangible assets 6 328 Total intangible assets $ 24 $ 620 |
Schedule of number of disposals | The number of dispositions completed within each business segment is as follows: Years ended December 31 2015 2014 2013 Risk Solutions 4 2 7 HR Solutions 3 — 2 7 2 9 |
Goodwill and Other Intangible30
Goodwill and Other Intangible Assets (Tables) | 12 Months Ended |
Dec. 31, 2015 | |
Goodwill and Intangible Assets Disclosure [Abstract] | |
Schedule of changes in the net carrying amount of goodwill by operating segment | The changes in the net carrying amount of goodwill by reportable segment for the years ended December 31, 2015 and 2014 , respectively, are as follows (in millions): Risk Solutions HR Solutions Total Balance as of January 1, 2014 $ 6,020 $ 2,977 $ 8,997 Goodwill related to current year acquisitions 287 5 292 Goodwill related to disposals (14 ) — (14 ) Goodwill related to prior year acquisitions (8 ) — (8 ) Transfer (2 ) 2 — Foreign currency translation (372 ) (35 ) (407 ) Balance as of December 31, 2014 $ 5,911 $ 2,949 $ 8,860 Goodwill related to current year acquisitions 2 16 18 Goodwill related to disposals (1 ) (76 ) (77 ) Goodwill related to prior year acquisitions — — — Transfer — — — Foreign currency translation (319 ) (34 ) (353 ) Balance as of December 31, 2015 $ 5,593 $ 2,855 $ 8,448 |
Schedule of other intangible assets by asset class | Other intangible assets by asset class are as follows (in millions): As of December 31 2015 2014 Gross Carrying Amount Accumulated Amortization Net Carrying Amount Gross Carrying Amount Accumulated Amortization Net Carrying Amount Intangible assets with indefinite lives: Tradenames $ 1,019 $ — $ 1,019 $ 1,019 $ — $ 1,019 Intangible assets with finite lives: Customer related and contract based 2,886 1,809 1,077 2,952 1,579 1,373 Technology and other 541 457 84 571 443 128 $ 4,446 $ 2,266 $ 2,180 $ 4,542 $ 2,022 $ 2,520 |
Schedule of estimated future amortization expense on intangible assets | The estimated future amortization for finite-lived intangible assets as of December 31, 2015 is as follows (in millions): Risk Solutions HR Solutions Total 2016 $ 100 $ 171 $ 271 2017 90 136 226 2018 76 91 167 2019 66 72 138 2020 58 60 118 Thereafter 120 120 240 $ 510 $ 650 $ 1,160 |
Debt (Tables)
Debt (Tables) | 12 Months Ended |
Dec. 31, 2015 | |
Debt Disclosure [Abstract] | |
Summary of outstanding debt | The following is a summary of outstanding debt (in millions): As of December 31 2015 2014 5.00% Senior Notes due September 2020 599 599 4.75% Senior Notes due 2045 598 — 3.50% Senior Notes due June 2024 597 597 4.60% Senior Notes due June 2044 549 549 2.875% Senior Notes due May 2026 (EUR 500M) 545 605 8.205% Junior Subordinated Notes due January 2027 521 521 3.125% Senior Notes due May 2016 500 500 2.80% Senior Notes due 2021 399 — 4.00% Senior Notes due November 2023 349 349 6.25% Senior Notes due September 2040 298 298 4.76% Senior Notes due March 2018 (CAD 375M) 271 322 4.45% Senior Notes due May 2043 249 248 4.25% Senior Notes due December 2042 196 196 3.50% Senior Notes due September 2015 — 599 Commercial paper 50 168 Other 16 31 Total debt 5,737 5,582 Less short-term and current portion of long-term debt 562 783 Total long-term debt $ 5,175 $ 4,799 |
Repayments of long-term debt | Repayments of total debt are as follows (in millions): 2016 $ 562 2017 3 2018 271 2019 — 2020 599 Thereafter 4,302 $ 5,737 |
Lease Commitments (Tables)
Lease Commitments (Tables) | 12 Months Ended |
Dec. 31, 2015 | |
Leases, Operating [Abstract] | |
Rental expenses for operating leases | Rental expenses (including amounts applicable to taxes, insurance and maintenance) for operating leases are as follows (in millions): Years ended December 31 2015 2014 2013 Rental expense $ 454 $ 455 $ 520 Less: Sub lease rental income (83 ) (75 ) (77 ) Net rental expense $ 371 $ 380 $ 443 |
Future minimum rental payments under operating leases for continuing operations that have initial or remaining noncancelable lease terms in excess of one year, net of sublease rental income | At December 31, 2015 , future minimum rental payments required under operating leases that have initial or remaining non-cancelable lease terms in excess of one year, net of sublease rental income, are as follows (in millions): 2016 $ 325 2017 291 2018 267 2019 235 2020 199 Thereafter 828 Total minimum payments required $ 2,145 |
Income Taxes (Tables)
Income Taxes (Tables) | 12 Months Ended |
Dec. 31, 2015 | |
Income Tax Disclosure [Abstract] | |
Income from continuing operations before income tax | Income before income tax and the provision for income tax consist of the following (in millions): Years ended December 31 2015 2014 2013 Income before income taxes: U.K. $ 149 $ 347 $ 96 U.S. (51 ) (55 ) 349 Other 1,591 1,473 1,093 Total $ 1,689 $ 1,765 $ 1,538 Income tax expense (benefit): Current: U.K. $ 43 $ 1 $ (18 ) U.S. federal 137 156 111 U.S. state and local 54 75 52 Other 256 236 259 Total current tax expense $ 490 $ 468 $ 404 Deferred tax expense (benefit): U.K. $ (39 ) $ 38 $ 43 U.S. federal (140 ) (133 ) (48 ) U.S. state and local (14 ) (24 ) 10 Other (30 ) (15 ) (19 ) Total deferred tax benefit $ (223 ) $ (134 ) $ (14 ) Total income tax expense $ 267 $ 334 $ 390 |
Reconciliation of the income tax provisions based on the U.S. statutory corporate tax rate to the provisions reflected in the Consolidated Financial Statements | The reconciliation to the provisions reflected in the Consolidated Financial Statements is as follows: Years ended December 31 2015 2014 2013 Statutory tax rate 20.3% 21.5% 23.0% U.S. state income taxes, net of U.S. federal benefit 0.5 1.5 2.6 Taxes on international operations (1) (6.6) (8.9) (4.4) Nondeductible expenses 2.2 1.7 1.4 Adjustments to prior year tax requirements (1.3) 0.9 0.1 Deferred tax adjustments, including statutory rate changes (0.1) (0.7) 1.4 Deferred tax adjustments, international earnings — 1.0 3.3 Adjustments to valuation allowances (0.6) 0.6 (1.7) Change in uncertain tax positions 1.4 1.7 (0.3) Other — net — (0.4) — Effective tax rate 15.8% 18.9% 25.4% (1) The Company determines the adjustment for taxes on international operations based on the difference between the statutory tax rate applicable to earnings in each foreign jurisdiction and the enacted rate of 20.3% , 21.5% and 23.0% at December 31, 2015 , 2014 and 2013 , respectively. The benefit to the Company's effective income tax rate from taxes on international operations relates to benefits from lower-taxed global operations, primarily due to the use of global funding structures. |
Components of Aon's deferred tax assets and liabilities | The components of the Company's deferred tax assets and liabilities are as follows (in millions): As of December 31 2015 2014 Deferred tax assets: Employee benefit plans $ 635 $ 739 Net operating/capital loss and tax credit carryforwards 349 295 Accrued interest 293 303 Other accrued expenses 98 44 Deferred revenue 65 40 Investment basis differences 56 45 Other 56 6 Total 1,552 1,472 Valuation allowance on deferred tax assets (175 ) (205 ) Total $ 1,377 $ 1,267 Deferred tax liabilities: Intangibles and property, plant and equipment $ (961 ) $ (1,058 ) Other accrued expenses (99 ) (40 ) Deferred costs (30 ) (28 ) Unrealized foreign exchange gains (29 ) (44 ) Unremitted earnings (18 ) (28 ) Other (44 ) (28 ) Total $ (1,181 ) $ (1,226 ) Net deferred tax asset $ 196 $ 41 |
Deferred income taxes (assets and liabilities netted by jurisdiction) as classified in the Consolidated Statements of Financial Position | Deferred income taxes (assets and liabilities have been netted by jurisdiction) have been classified in the Consolidated Statements of Financial Position as follows (in millions): As of December 31, 2015 2014 Deferred tax assets — current (1) $ 232 $ 212 Deferred tax assets — non-current 141 144 Deferred tax liabilities — current (1) (1 ) (2 ) Deferred tax liabilities — non-current (176 ) (313 ) Net deferred tax asset $ 196 $ 41 (1) Included in Other current assets and Other current liabilities. |
Reconciliation of the beginning and ending amount of unrecognized tax benefits | The following is a reconciliation of the Company's beginning and ending amount of uncertain tax positions (in millions): 2015 2014 Balance at January 1 $ 191 $ 164 Additions based on tax positions related to the current year 31 31 Additions for tax positions of prior years 53 10 Reductions for tax positions of prior years (18 ) (6 ) Settlements (32 ) — Business combinations — 5 Lapse of statute of limitations (5 ) (11 ) Foreign currency translation (2 ) (2 ) Balance at December 31 $ 218 $ 191 |
Shareholders' Equity (Tables)
Shareholders' Equity (Tables) | 12 Months Ended |
Dec. 31, 2015 | |
Equity [Abstract] | |
Schedule of components of weighted average number of shares outstanding | Weighted average shares outstanding are as follows (in millions): Year ended December 31, 2015 2014 2013 Shares for basic earnings per share 280.8 295.5 311.4 Common stock equivalents 3.0 4.1 4.0 Shares for diluted earnings per share 283.8 299.6 315.4 |
Components of Accumulated other comprehensive loss, net of related tax | Changes in Accumulated other comprehensive loss by component, net of related tax, are as follows (in millions): Change in Fair Value of Financial Instruments (1) Foreign Currency Translation Adjustments Post-Retirement Benefit Obligation (2) Total Balance at January 1, 2013 $ (28 ) $ 233 $ (2,815 ) $ (2,610 ) Other comprehensive loss before reclassifications: Other comprehensive loss before reclassifications 15 (65 ) 336 286 Tax benefit (8 ) 1 (136 ) (143 ) Other comprehensive loss before reclassifications, net 7 (64 ) 200 143 Amounts reclassified from accumulated other comprehensive loss: Amounts reclassified from accumulated other comprehensive loss 1 — 131 132 Tax benefit (1 ) — (38 ) (39 ) Amounts reclassified from accumulated other comprehensive loss, net — — 93 93 Net current period other comprehensive (loss) income 7 (64 ) 293 236 Balance at December 31, 2013 (21 ) 169 (2,522 ) (2,374 ) Other comprehensive loss before reclassifications: Other comprehensive loss before reclassifications (13 ) (492 ) (563 ) (1,068 ) Tax benefit 4 (12 ) 229 221 Other comprehensive loss before reclassifications, net (9 ) (504 ) (334 ) (847 ) Amounts reclassified from accumulated other comprehensive loss: Amounts reclassified from accumulated other comprehensive loss 20 — 106 126 Tax benefit (7 ) — (32 ) (39 ) Amounts reclassified from accumulated other comprehensive loss, net 13 — 74 87 Net current period other comprehensive (loss) income 4 (504 ) (260 ) (760 ) Balance at December 31, 2014 (17 ) (335 ) (2,782 ) (3,134 ) Other comprehensive loss before reclassifications: Other comprehensive loss before reclassifications (4 ) (467 ) 82 (389 ) Tax benefit 1 31 (9 ) 23 Other comprehensive loss before reclassifications, net (3 ) (436 ) 73 (366 ) Amounts reclassified from accumulated other comprehensive loss: Amounts reclassified from accumulated other comprehensive loss 11 — 117 128 Tax benefit (16 ) — (35 ) (51 ) Amounts reclassified from accumulated other comprehensive loss, net (5 ) — 82 77 Net current period other comprehensive (loss) income (8 ) (436 ) 155 (289 ) Balance at December 31, 2015 $ (25 ) $ (771 ) $ (2,627 ) $ (3,423 ) ______________________________________________ (1) Reclassifications from this category included in Accumulated other comprehensive loss are recorded in Other income (2) Reclassifications from this category included in Accumulated other comprehensive loss are recorded in Compensation and benefits |
Employee Benefits (Tables)
Employee Benefits (Tables) | 12 Months Ended |
Dec. 31, 2015 | |
Defined Benefit Plan Disclosure [Line Items] | |
Expense recognized for defined contribution savings plans, included in compensation and benefits and discontinued operations in the consolidated statements of income | The expense recognized for these plans is included in Compensation and benefits in the Consolidated Statements of Income, as follows (in millions): Years ended December 31 2015 2014 2013 U.S. $ 133 $ 123 $ 123 U.K. 42 42 45 Netherlands and Canada 25 30 18 $ 200 $ 195 $ 186 |
Pension Plans, Defined Benefit | |
Defined Benefit Plan Disclosure [Line Items] | |
Reconciliation of the changes in the benefit obligations and fair value of assets and a statement of the funded status | The following tables provide a reconciliation of the changes in the projected benefit obligations and fair value of assets for the years ended December 31, 2015 and 2014 and a statement of the funded status as of December 31, 2015 and 2014 , for the material U.K. plans, U.S. plans and other major plans, which are located in the Netherlands and Canada. These plans represent approximately 93% of the Company's projected benefit obligations. U.K. U.S. Other (millions) 2015 2014 2015 2014 2015 2014 Change in projected benefit obligation At January 1 $ 5,529 $ 5,106 $ 3,350 $ 2,744 $ 1,399 $ 1,252 Service cost 1 1 — 2 — — Interest cost 198 230 131 129 33 47 Participant contributions — — — — — — Plan amendment 27 — — — (10 ) — Curtailments — — — — — (16 ) Plan transfer and acquisitions (2 ) — (18 ) 13 — — Actuarial loss (gain) (83 ) (211 ) (25 ) 265 24 (5 ) Benefit payments (217 ) (192 ) (133 ) (130 ) (38 ) (51 ) Actual expenses — — — — — (2 ) Change in discount rate (247 ) 902 (145 ) 327 (66 ) 324 Foreign currency impact (221 ) (307 ) — — (165 ) (150 ) At December 31 $ 4,985 $ 5,529 $ 3,160 $ 3,350 $ 1,177 $ 1,399 Accumulated benefit obligation at end of year $ 4,985 $ 5,529 $ 3,160 $ 3,350 $ 1,135 $ 1,316 Change in fair value of plan assets At January 1 $ 6,224 $ 5,398 $ 2,036 $ 1,855 $ 1,161 $ 1,061 Actual return on plan assets 91 1,199 (60 ) 190 8 253 Participant contributions — — — — — — Employer contributions 65 166 108 121 21 28 Plan transfer and acquisitions (3 ) — — — — — Benefit payments (217 ) (192 ) (133 ) (130 ) (38 ) (51 ) Actual Expenses — — — — — (2 ) Foreign currency impact (257 ) (347 ) — — (133 ) (128 ) At December 31 $ 5,903 $ 6,224 $ 1,951 $ 2,036 $ 1,019 $ 1,161 Market related value at end of year $ 5,903 $ 6,224 $ 2,064 $ 1,950 $ 1,019 $ 1,161 Amount recognized in Statement of Financial Position at December 31 Funded status $ 918 $ 695 $ (1,209 ) $ (1,314 ) $ (158 ) $ (238 ) Unrecognized prior-service cost 46 22 9 11 (7 ) 3 Unrecognized loss 1,465 1,687 1,723 1,737 389 456 Net amount recognized $ 2,429 $ 2,404 $ 523 $ 434 $ 224 $ 221 |
Amounts recognized in the Consolidated Statements of Financial Position | Amounts recognized in the Consolidated Statements of Financial Position consist of (in millions): U.K. U.S. Other 2015 2014 2015 2014 2015 2014 Prepaid benefit cost (1) $ 1,012 $ 918 $ — $ — $ — $ — Accrued benefit liability (2) (94 ) (223 ) (1,209 ) (1,314 ) (158 ) (238 ) Accumulated other comprehensive loss 1,511 1,709 1,732 1,748 382 459 Net amount recognized $ 2,429 $ 2,404 $ 523 $ 434 $ 224 $ 221 (1) Included in Prepaid pension (2) Included in Other current liabilities and Pension, other post retirement, and post employment liabilities |
Amounts recognized in Accumulated other comprehensive loss that have not yet been recognized as components of net periodic benefit cost | Amounts recognized in Accumulated other comprehensive loss (income) that have not yet been recognized as components of net periodic benefit cost at December 31, 2015 and 2014 consist of (in millions): U.K. U.S. Other 2015 2014 2015 2014 2015 2014 Net loss $ 1,465 $ 1,687 $ 1,723 $ 1,737 $ 389 $ 456 Prior service cost (income) 46 22 9 11 (7 ) 3 $ 1,511 $ 1,709 $ 1,732 $ 1,748 $ 382 $ 459 |
Components of net periodic benefit cost for the pension plans | The following table provides the components of net periodic benefit (income) cost for the plans (in millions): U.K. U.S. Other 2015 2014 2013 2015 2014 2013 2015 2014 2013 Service cost $ 1 $ 1 $ 1 $ — $ 2 $ 7 $ — $ — $ 18 Interest cost 198 230 210 131 129 114 33 47 45 Expected return on plan assets, net of administration expenses (307 ) (326 ) (302 ) (154 ) (157 ) (139 ) (50 ) (59 ) (59 ) Amortization of prior-service cost 1 1 1 2 2 — — — — Amortization of net actuarial loss 41 52 49 54 42 52 11 10 23 Curtailment gain and other — — — — — — — (2 ) — Net periodic benefit (income) cost $ (66 ) $ (42 ) $ (41 ) $ 33 $ 18 $ 34 $ (6 ) $ (4 ) $ 27 |
Weighted-average assumptions used to determine future benefit obligations and net periodic benefit cost | The weighted-average assumptions used to determine benefit obligations are as follows: U.K. U.S. Other 2015 2014 2015 2014 2015 2014 Discount rate 3.96% 3.70% 3.69-4.43% 3.37-4.08% 2.43-3.96% 2.03-3.91% Rate of compensation increase 3.63-4.13% 3.35-4.05% N/A N/A 2.00-3.50% 2.25-3.50% Underlying price inflation 1.88% 1.95% N/A N/A 2.00-2.50% 2.00-2.50% The weighted-average assumptions used to determine the net periodic benefit cost are as follows: U.K. U.S. Other 2015 2014 2013 2015 2014 2013 2015 2014 2013 Discount rate 3.70% 4.55% 4.45% 3.37 - 4.08% 3.97 - 4.87% 3.73 - 4.05% 2.03 - 3.91% 3.60 - 4.71% 3.25 - 3.89% Expected return on plan assets, net of administration expenses 5.09% 6.00% 6.30% 7.96% 8.80% 8.80% 3.99 - 5.21% 4.70 - 6.50% 4.60 - 6.50% Rate of compensation increase 3.55 - 4.05% 3.70 - 4.40% 3.25 - 3.85% NA NA N/A 2.25 - 3.50% 2.25 - 3.50% 2.25 - 3.50% |
Estimated Future Benefit Payments | Estimated future benefit payments for plans are as follows at December 31, 2015 (in millions): U.K. U.S. Other 2016 $ 143 $ 164 $ 38 2017 149 172 39 2018 157 184 40 2019 170 192 41 2020 180 187 42 2021 – 2025 1,048 952 227 |
U.S. [Member] | |
Defined Benefit Plan Disclosure [Line Items] | |
Fair values of pension plan assets | The fair values of the Company's U.S. pension plan assets at December 31, 2015 and December 31, 2014 , by asset category, are as follows (in millions): Fair Value Measurements Using Asset Category Balance at December 31, 2015 Quoted Prices in Active Markets for Identical Assets (Level 1) Significant Other Observable Inputs (Level 2) Significant Unobservable Inputs (Level 3) Cash and cash equivalents (1) $ 33 $ 33 $ — $ — Equity investments: (2) Large cap domestic 299 299 — — Small cap domestic 88 30 58 — International 262 52 210 — Equity derivatives 203 170 33 — Fixed income investments: (3) Corporate bonds 484 — 148 336 Government and agency bonds 128 52 76 — Asset-backed securities — — — — Fixed income derivatives 69 47 22 — Other investments: Alternative investments (4) 305 — — 305 Commodity derivatives (5) 13 — 13 — Real estate and REITS (6) 67 67 — — Total $ 1,951 $ 750 $ 560 $ 641 (1) Consists of cash and institutional short-term investment funds. (2) Consists of equity securities, equity derivatives, and pooled equity funds. (3) Consists of corporate and government bonds, asset-backed securities, and fixed income derivatives. (4) Consists of limited partnerships, private equity and hedge funds. (5) Consists of long-dated options and swaps on a commodity index. (6) Consists of exchange traded real estate investment trusts ("REITS"). Fair Value Measurements Using Asset Category Balance at December 31, 2014 Quoted Prices in Active Markets for Identical Assets (Level 1) Significant Other Observable Inputs (Level 2) Significant Unobservable Inputs (Level 3) Cash and cash equivalents (1) $ 68 $ 68 $ — $ — Equity investments: (2) Large cap domestic 329 329 — — Small cap domestic 85 22 63 — International 258 114 144 — Equity derivatives 285 209 76 — Fixed income investments: (3) Corporate bonds 503 — 151 352 Government and agency bonds 109 29 80 — Asset-backed securities 20 — 20 — Fixed income derivatives 49 — 49 — Other investments: Alternative investments (4) 272 — — 272 Commodity derivatives (5) (8 ) — (8 ) — Real estate and REITS (6) 66 66 — — Total $ 2,036 $ 837 $ 575 $ 624 (1) Consists of cash and institutional short-term investment funds. (2) Consists of equity securities, equity derivatives, and pooled equity funds. (3) Consists of corporate and government bonds, asset-backed securities, and fixed income derivatives. (4) Consists of limited partnerships, private equity and hedge funds. (5) Consists of long-dated options on a commodity index. (6) Consists of exchange traded REITS. |
Changes in the Level 3 fair-value category | The following table presents the changes in the Level 3 fair-value category in the Company's U.S. pension plans for the years ended December 31, 2015 and December 31, 2014 (in millions): Fair Value Measurement Using Level 3 Inputs Balance at January 1, 2014 $ 266 Actual return on plan assets: Relating to assets still held at December 31, 2014 32 Relating to assets sold during 2014 5 Purchases, sales and settlements—net 321 Transfer in/(out) of Level 3 — Balance at December 31, 2014 624 Actual return on plan assets: Relating to assets still held at December 31, 2015 (4 ) Relating to assets sold during 2015 (3 ) Purchases, sales and settlements—net 24 Transfer in/(out) of Level 3 — Balance at December 31, 2015 $ 641 |
U.K. [Member] | |
Defined Benefit Plan Disclosure [Line Items] | |
Fair values of pension plan assets | The fair values of the Company's major U.K. pension plan assets at December 31, 2015 and December 31, 2014 , by asset category, are as follows (in millions): Fair Value Measurements Using Balance at December 31, 2015 Quoted Prices in Active Markets for Identical Assets (Level 1) Significant Other Observable Inputs (Level 2) Significant Unobservable Inputs (Level 3) Cash and cash equivalents $ 159 $ 159 $ — $ — Equity investments: Pooled funds: (1) Global 360 61 299 — Europe 17 — 17 — Equity securities — global (2) 133 133 — — Derivatives (2) 66 — 66 — Fixed income investments: Pooled funds: (1) Fixed income securities 283 — 259 24 Fixed income securities (3) 3,145 2,268 877 — Annuities 827 — — 827 Derivatives (3) 111 — 111 — Other investments: Pooled funds: (1) Real estate (4) 65 — — 65 Alternative investments (5) 717 — 4 713 Real estate 20 — — 20 Total $ 5,903 $ 2,621 $ 1,633 $ 1,649 (1) Consists of various equity, fixed income, commodity, and real estate mutual fund type investment vehicles. (2) Consists of equity securities and equity derivatives. (3) Consists of corporate and government bonds and fixed income derivatives. (4) Consists of property funds and trusts holding direct real estate investments. (5) Consists of limited partnerships, private equity and hedge funds. Fair Value Measurements Using Balance at December 31, 2014 Quoted Prices in Active Markets for Identical Assets (Level 1) Significant Other Observable Inputs (Level 2) Significant Unobservable Inputs (Level 3) Cash and cash equivalents $ 224 $ 224 $ — $ — Equity investments: Pooled funds: (1) Global 203 — 203 — Europe 16 — 16 — Equity securities — global (2) 127 127 — — Derivatives (2) — — — — Fixed income investments: Pooled funds: (1) Fixed income securities 279 — 279 — Fixed income securities (3) 3,292 3,292 — — Annuities 836 — — 836 Derivatives (3) 233 — 233 — Other investments: Pooled funds: (1) Real estate (4) 39 — — 39 Alternative investments (5) 968 — — 968 Real estate 7 — — 7 Total $ 6,224 $ 3,643 $ 731 $ 1,850 (1) Consists of various equity, fixed income, commodity, and real estate mutual fund type investment vehicles. (2) Consists of equity securities and equity derivatives. (3) Consists of corporate and government bonds and fixed income derivatives. (4) Consists of property funds and trusts holding direct real estate investments. (5) Consists of limited partnerships, private equity and hedge funds. |
Changes in the Level 3 fair-value category | The following table presents the changes in the Level 3 fair-value category in the Company's U.K. pension plans for the years ended December 31, 2015 and December 31, 2014 (in millions): Fair Value Measurements Using Level 3 Inputs Annuities Real Estate Alternative Investments Fixed Total Balance at January 1, 2014 $ 564 $ 23 $ 546 $ — $ 1,133 Actual return on plan assets: Relating to assets still held at December 31, 2014 (13 ) 3 319 — 309 Relating to assets sold during 2014 — 1 5 — 6 Purchases, sales and settlements—net 333 21 359 — 713 Transfers in/(out) of Level 3 — — (206 ) — (206 ) Foreign exchange (48 ) (2 ) (55 ) — (105 ) Balance at December 31, 2014 836 46 968 — 1,850 Actual return on plan assets: Relating to assets still held at December 31, 2015 (32 ) 11 (17 ) (7 ) (45 ) Relating to assets sold during 2015 — (10 ) 2 (1 ) (9 ) Purchases, sales and settlements—net 58 41 60 9 168 Transfers in/(out) of Level 3 — — (266 ) 24 (242 ) Foreign exchange (35 ) (3 ) (34 ) (1 ) (73 ) Balance at December 31, 2015 $ 827 $ 85 $ 713 $ 24 $ 1,649 |
U.S. and Canadian Other Post-Retirement Benefits [Member] | |
Defined Benefit Plan Disclosure [Line Items] | |
Reconciliation of the changes in the benefit obligations and fair value of assets and a statement of the funded status | The following table provides an overview of the accumulated projected benefit obligation, fair value of plan assets, funded status and net amount recognized as of December 31, 2015 and 2014 for the Company's other significant post-retirement benefit plans located in the U.S. and Canada (in millions): 2015 2014 Accumulated projected benefit obligation $ 105 $ 116 Fair value of plan assets 18 19 Funded status (87 ) (97 ) Unrecognized prior-service credit (3 ) (4 ) Unrecognized loss 7 15 Net amount recognized $ (83 ) $ (86 ) |
Fair values of pension plan assets | The fair values of the Company's Other major pension plan assets at December 31, 2015 and December 31, 2014 , by asset category, are as follows (in millions): Fair Value Measurements Using Balance at December 31, 2015 Quoted Prices in Active Markets for Identical Assets (Level 1) Significant Other Observable Inputs (Level 2) Significant Unobservable Inputs (Level 3) Cash and cash equivalents $ 11 $ 11 $ — $ — Equity investments: Pooled funds: (1) Global 270 — 270 — North America 37 — 37 — Fixed income investments: Pooled funds: (1) Fixed income securities 576 — 576 — Derivatives 12 — 12 — Fixed income securities (2) 30 — 30 — Derivatives (2) 48 — 48 — Other investments: Pooled funds: (1) Commodities 2 — 2 — REITS (3) 3 — 3 — Alternative investments (4) 9 — — 9 Derivatives 21 — 21 — Total $ 1,019 $ 11 $ 999 $ 9 (1) Consists of various equity, fixed income, commodity, and real estate mutual fund type investment vehicles. (2) Consists of corporate and government bonds and fixed income derivatives. (3) Consists of property funds and trusts holding direct real estate investments. (4) Consists of limited partnerships, private equity and hedge funds. Fair Value Measurements Using Balance at December 31, 2014 Quoted Prices in Active Markets for Identical Assets (Level 1) Significant Other Observable Inputs (Level 2) Significant Unobservable Inputs (Level 3) Cash and cash equivalents $ 12 $ 12 $ — $ — Equity investments: Pooled funds: (1) Global 295 — 295 — North America 42 — 42 — Fixed income investments: Pooled funds: (1) Fixed income securities 629 — 629 — Derivatives 18 — 18 — Fixed income securities (2) 35 — 35 — Derivatives (2) 74 — 74 — Other investments: Pooled funds: (1) Commodities 21 — 21 — REITS (3) 3 — 3 — Alternative investments (4) 8 — — 8 Derivatives 24 — 24 — Total $ 1,161 $ 12 $ 1,141 $ 8 (1) Consists of various equity, fixed income, commodity, and real estate mutual fund type investment vehicles. (2) Consists of corporate and government bonds and fixed income derivatives. (3) Consists of property funds and trusts holding direct real estate investments. (4) Consists of limited partnerships, private equity and hedge funds. |
Changes in the Level 3 fair-value category | The following table presents the changes in the Level 3 fair-value category in the Company's other pension plans for the years ended December 31, 2015 and December 31, 2014 (in millions): Fair Value Measurements Using Level 3 Inputs Real Estate Alternative Investments Total Balance at January 1, 2014 $ 17 $ 8 $ 25 Actual return on plan assets: Relating to assets still held at December 31, 2014 — 1 1 Relating to assets sold during 2014 — — — Purchases, sales and settlements—net (17 ) — (17 ) Transfers in/(out) of Level 3 — — — Foreign exchange — (1 ) (1 ) Balance at December 31, 2014 — 8 8 Actual return on plan assets: Relating to assets still held at December 31, 2015 — 2 2 Relating to assets sold during 2015 — — — Purchases, sales and settlements—net — — — Transfers in/(out) of Level 3 — — — Foreign exchange — (1 ) (1 ) Balance at December 31, 2015 $ — $ 9 $ 9 |
Other information related to the Company's other post-retirement benefit plans | Other information related to the Company's other post-retirement benefit plans are as follows: 2015 2014 2013 Net periodic benefit cost recognized (millions) $6 $3 $4 Weighted-average discount rate used to determine future benefit obligations 3.99-4.33% 3.83 - 4.08 4.44 - 4.95 Weighted-average discount rate used to determine net periodic benefit costs 3.83-4.08% 4.44 - 4.95 3.67 - 4.00 |
Share-Based Compensation Plans
Share-Based Compensation Plans (Tables) | 12 Months Ended |
Dec. 31, 2015 | |
Disclosure of Compensation Related Costs, Share-based Payments [Abstract] | |
Share-based compensation expense recognized in continuing operations | The following table summarizes share-based compensation expense recognized in the Consolidated Statements of Income in Compensation and benefits (in millions): Years ended December 31 2015 2014 2013 Restricted share units ("RSUs") $ 201 $ 187 $ 174 Performance share awards ("PSAs") 127 132 117 Share options — — 2 Employee share purchase plans 11 9 7 Total share-based compensation expense 339 328 300 Tax benefit 95 94 81 Share-based compensation expense, net of tax $ 244 $ 234 $ 219 |
Restricted share unit activity | A summary of the status of the Company's RSUs is as follows (shares in thousands): Years ended December 31 2015 2014 2013 Shares Fair Value (1) Shares Fair Value (1) Shares Fair Value (1) Non-vested at beginning of year 8,381 $ 63 9,759 $ 51 10,432 $ 44 Granted 2,459 97 2,844 84 3,714 62 Vested (3,385 ) 58 (3,732 ) 49 (3,945 ) 44 Forfeited (288 ) 71 (490 ) 58 (442 ) 47 Non-vested at end of year 7,167 77 8,381 63 9,759 51 (1) Represents per share weighted average fair value of award at date of grant. |
Performance-based plans | Information regarding the Company's target PSAs granted and shares that would be issued at current performance levels for PSAs granted during the years ended December 31, 2015 , 2014 and 2013 , respectively, is as follows (shares in thousands, dollars in millions, except fair value): 2015 2014 2013 Target PSAs granted 993 816 1,135 Weighted average fair value per share at date of grant $ 96 $ 81 $ 58 Number of shares that would be issued based on current performance levels 982 1,591 2,191 Unamortized expense, based on current performance levels $ 67 $ 45 $ — |
Share options and related information | A summary of the status of the Company's share options and related information is as follows (shares in thousands): Years ended December 31 2015 2014 2013 Shares Weighted-Average Exercise Price Per Share Shares Weighted-Average Exercise Price Per Share Shares Weighted-Average Exercise Price Per Share Beginning outstanding 2,300 $ 32 3,462 $ 32 5,611 $ 32 Granted — — — — — — Exercised (1,450 ) 27 (1,155 ) 33 (2,116 ) 32 Forfeited and expired (13 ) 39 (7 ) 37 (33 ) 34 Outstanding at end of year 837 40 2,300 32 3,462 32 Exercisable at end of year 837 40 2,273 32 3,270 32 Shares available for grant 12,179 16,333 11,330 |
Summary of options outstanding and exercisable | A summary of options outstanding and exercisable as of December 31, 2015 is as follows (shares in thousands): Options Outstanding Options Exercisable Range of Exercise Prices Shares Outstanding Weighted-Average Remaining Contractual Life (years) Weighted-Average Exercise Price Per Share Shares Exercisable Weighted-Average Remaining Contractual Life (years) Weighted-Average Exercise Price Per Share 19.54 - 25.51 79 2.18 $ 20.18 79 2.18 $ 20.18 25.52 - 32.53 25 1.93 29.15 25 1.93 29.15 32.54 - 36.88 160 1.14 35.77 160 1.14 35.77 36.89 - 43.44 247 3.12 39.32 247 3.12 39.32 43.45 - 52.93 326 2.46 48.26 326 2.46 48.26 837 837 |
Other information related to the company's share options | Other information related to the Company's share options is as follows (in millions): 2015 2014 2013 Aggregate intrinsic value of stock options exercised $ 104 $ 61 $ 73 Cash received from the exercise of stock options 40 38 61 Tax benefit realized from the exercise of stock options 36 16 15 |
Derivatives and Hedging (Tables
Derivatives and Hedging (Tables) | 12 Months Ended |
Dec. 31, 2015 | |
Derivative Instruments and Hedging Activities Disclosure [Abstract] | |
Notional and fair values of derivative instruments | The notional and fair values of derivative instruments are as follows (in millions): Notional Amount Derivative Assets (1) Derivative Liabilities (2) As of December 31 2015 2014 2015 2014 2015 2014 Foreign exchange contracts: Accounted for as hedges 778 1,200 32 46 18 58 Not accounted for as hedges (3) 280 165 — — — — Total $ 1,058 $ 1,365 $ 32 $ 46 $ 18 $ 58 (1) Included within Other current assets ( $15 million in 2015 and $24 million in 2014 , respectively) or Other non-current assets ( $17 million in 2015 and $22 million in 2014 , respectively) (2) Included within Other current liabilities ( $13 million in 2015 and $52 million in 2014 , respectively) or Other non-current liabilities ( $5 million in 2015 and $6 million in 2014 , respectively) (3) These contracts typically are for 30 day durations and executed close to the last day of the most recent reporting month, thereby resulting in nominal fair values at the balance sheet date. Offsetting of financial assets and derivatives assets are as follows (in millions): Gross Amounts of Recognized Assets Gross Amounts Offset in the Statement of Financial Position Net Amounts of Assets Presented in the Statement of Financial Position (1) Derivatives accounted for as hedges: 2015 2014 2015 2014 2015 2014 Foreign exchange contracts 32 46 (13 ) (14 ) 19 32 ______________________________________________ (1) Included within Other current assets ( $6 million in 2015 and $12 million in 2014 , respectively) or Other non-current assets ( $13 million in 2015 and $20 million in 2014 , respectively) Offsetting of financial liabilities and derivative liabilities are as follows (in millions): Gross Amounts of Recognized Liabilities Gross Amounts Offset in the Statement of Financial Position Net Amounts of Liabilities Presented in the Statement of Financial Position (2) Derivatives accounted for as hedges: 2015 2014 2015 2014 2015 2014 Foreign exchange contracts 18 58 (13 ) (14 ) 5 44 ______________________________________________ (2) Included within Other current liabilities ( $4 million in 2015 and $40 million in 2014 , respectively) or Other non-current liabilities ( $1 million in 2015 and $4 million in 2014 , respectively) |
Derivative gains (losses) | The amounts of derivative gains (losses) recognized in the Consolidated Financial Statements are as follows (in millions): Cash Flow Hedge - Foreign Exchange Contracts Location of future reclassification from Accumulated Other Comprehensive Loss Gain (Loss) Recognized in Accumulated Other Comprehensive Loss: Compensation and Benefits Other General Expenses Interest Expense Other Income (Expense) Total 2015 4 (3 ) — (10 ) (9 ) 2014 11 (3 ) — (10 ) (2 ) 2013 (17 ) — — 13 (4 ) Cash Flow Hedge - Foreign Exchange Contracts Gain (Loss) Reclassified from Accumulated Other Comprehensive Loss into Income (Effective Portion): Compensation and Benefits Other General Expenses Interest Expense Other Income Total 2015 4 (1 ) (9 ) (11 ) (17 ) 2014 (5 ) 3 (10 ) (2 ) (14 ) 2013 (12 ) (9 ) (3 ) 14 (10 ) The amount of gain (loss) recognized in the Consolidated Financial Statements is as follows (in millions): Twelve months ended December 31, Amount of Gain (Loss) Recognized in Income on Derivative (1) Amount of Gain (Loss) Recognized in Income on Related Hedged Item 2015 2014 2013 2015 2014 2013 Fair value hedges: Foreign exchange contracts (2) $ — $ (9 ) $ (8 ) $ — $ 9 $ 8 (1) Included in interest expense (2) Relates to fixed rate debt |
Fair Value Measurements and F38
Fair Value Measurements and Financial Instruments (Tables) | 12 Months Ended |
Dec. 31, 2015 | |
Fair Value Disclosures [Abstract] | |
Schedule of assets and liabilities that are measured at fair value on a recurring basis | The following tables present the categorization of the Company's assets and liabilities that are measured at fair value on a recurring basis at December 31, 2015 and 2014 , respectively (in millions): Fair Value Measurements Using Balance at December 31, 2015 Quoted Prices in Active Markets for Identical Assets (Level 1) Significant Other Observable Inputs (Level 2) Significant Unobservable Inputs (Level 3) Assets: Money market funds (1) $ 1,396 $ 1,396 $ — $ — Other investments: Corporate bonds — — — — Government bonds 1 — 1 — Equity investments 10 6 4 — Derivatives (2): Interest rate contracts — — — — Foreign exchange contracts 32 — 32 — Liabilities: Derivatives: Foreign exchange contracts 18 — 18 — (1) Includes $1,396 million of money market funds that are classified as Fiduciary assets, Short-term investments or Cash and cash equivalents in the Consolidated Statements of Financial Position, depending on their nature and initial maturity. (2) See Note 12 "Derivatives and Hedging" for additional information regarding the Company's derivatives and hedging activity. Fair Value Measurements Using Balance at December 31, 2014 Quoted Prices in Active Markets for Identical Assets (Level 1) Significant Other Observable Inputs (Level 2) Significant Unobservable Inputs (Level 3) Assets: Money market funds (1) $ 1,850 $ 1,850 $ — $ — Other investments: Corporate bonds 1 — — 1 Government bonds 6 — 6 — Equity investments 11 6 5 — Derivatives (2): Interest rate contracts — — — — Foreign exchange contracts 46 — 46 — Liabilities: Derivatives: Foreign exchange contracts 58 — 58 — (1) Includes $1,850 million of money market funds that are classified as Fiduciary assets, Short-term investments or Cash and cash equivalents in the Consolidated Statements of Financial Position, depending on their nature and initial maturity. |
Schedule of financial instruments where the carrying amounts and fair values differ | The fair value of Long-term debt is classified as Level 2 of the fair value hierarchy. The following table discloses the Company's financial instruments where the carrying amounts and fair values differ (in millions): As of December 31 2015 2014 Carrying Value Fair Value Carrying Value Fair Value Long-term debt $ 5,175 $ 5,386 $ 4,799 $ 5,268 |
Segment Information (Tables)
Segment Information (Tables) | 12 Months Ended |
Dec. 31, 2015 | |
Segment Reporting [Abstract] | |
Schedule of Segment Reporting Information, by Segment | Fiduciary investment income by segment is as follows (in millions): Years ended December 31 2015 2014 2013 Risk Solutions $ 21 $ 26 $ 28 HR Solutions — — — Total fiduciary investment income $ 21 $ 26 $ 28 Aon's total revenue is as follows (in millions): Years ended December 31 2015 2014 2013 Risk Solutions $ 7,426 $ 7,834 $ 7,789 HR Solutions 4,303 4,264 4,057 Intersegment eliminations (47 ) (53 ) (31 ) Total revenue $ 11,682 $ 12,045 $ 11,815 |
Revenue from External Customers by Products and Services | Commissions, fees and other revenues by product are as follows (in millions): Years ended December 31 2015 2014 2013 Retail brokerage $ 6,044 $ 6,334 $ 6,256 Reinsurance brokerage 1,361 1,474 1,505 Total Risk Solutions Segment 7,405 7,808 7,761 Consulting services 1,686 1,700 1,626 Outsourcing 2,658 2,607 2,469 Intrasegment (41 ) (43 ) (38 ) Total HR Solutions Segment 4,303 4,264 4,057 Intersegment (47 ) (53 ) (31 ) Total commissions, fees and other revenue $ 11,661 $ 12,019 $ 11,787 |
Schedule of reconciliation of segment income before tax to income from continuing operations before income taxes | A reconciliation of segment operating income before tax to income before income taxes is as follows (in millions): Years ended December 31 2015 2014 2013 Risk Solutions $ 1,506 $ 1,648 $ 1,540 HR Solutions 536 485 318 Segment income before income taxes 2,042 2,133 1,858 Unallocated expenses (194 ) (167 ) (187 ) Interest income 14 10 9 Interest expense (273 ) (255 ) (210 ) Other income 100 44 68 Income before income taxes $ 1,689 $ 1,765 $ 1,538 |
Schedule of consolidated revenue by geographic area | Consolidated revenue by geographic area is as follows (in millions): Years ended December 31 Total United States Americas other than U.S. United Kingdom Europe, Middle East, & Africa Asia Pacific 2015 $ 11,682 $ 6,063 $ 1,053 $ 1,527 $ 1,909 $ 1,130 2014 12,045 5,824 1,176 1,623 2,189 1,233 2013 11,815 5,574 1,214 1,544 2,304 1,179 |
Schedule of consolidated non-current assets by geographic area | Consolidated non-current assets by geographic area are as follows (in millions): As of December 31 Total United States Americas other than U.S. United Kingdom Europe, Middle East, & Africa Asia Pacific 2015 $ 13,051 $ 7,072 $ 416 $ 2,723 $ 2,270 $ 570 2014 13,805 7,793 493 2,700 2,179 640 |
Guarantee of Registered Secur40
Guarantee of Registered Securities (Tables) | 12 Months Ended |
Dec. 31, 2015 | |
Guarantee of Registered Securities | |
Condensed Consolidating Statement of Income | Consolidating Statement of Income Year Ended December 31, 2015 (millions) Aon plc Aon Corporation Other Non-Guarantor Subsidiaries Consolidating Adjustments Consolidated Revenue Commissions, fees and other $ — $ — $ 11,661 $ — $ 11,661 Fiduciary investment income — — 21 — 21 Total revenue — — 11,682 — 11,682 Expenses Compensation and benefits 136 32 6,669 — 6,837 Other general expenses 8 7 2,982 — 2,997 Total operating expenses 144 39 9,651 — 9,834 Operating (loss) income (144 ) (39 ) 2,031 — 1,848 Interest income (19 ) 14 19 — 14 Interest expense (121 ) (130 ) (22 ) — (273 ) Intercompany interest income (expense) 429 (479 ) 50 — — Intercompany other income (expense) 302 (422 ) 120 — — Other Income (1 ) — 101 — 100 Income (loss) before taxes 446 (1,056 ) 2,299 — 1,689 Income tax expense (benefit) 45 (262 ) 484 — 267 Income (loss) before equity in earnings of subsidiaries 401 (794 ) 1,815 — 1,422 Equity in earnings of subsidiaries, net of tax 984 1,319 525 (2,828 ) — Net income 1,385 525 2,340 (2,828 ) 1,422 Less: Net income attributable to noncontrolling interests — — 37 — 37 Net income attributable to Aon shareholders $ 1,385 $ 525 $ 2,303 $ (2,828 ) $ 1,385 Condensed Consolidating Statement of Income Year Ended December 31, 2014 (millions) Aon plc Aon Corporation Other Non-Guarantor Subsidiaries Consolidating Adjustments Consolidated Revenue Commissions, fees and other $ — $ — $ 12,019 $ — $ 12,019 Fiduciary investment income — — 26 — 26 Total revenue — — 12,045 — 12,045 Expenses Compensation and benefits 140 16 6,858 — 7,014 Other general expenses 3 5 3,057 — 3,065 Total operating expenses 143 21 9,915 — 10,079 Operating (loss) income (143 ) (21 ) 2,130 — 1,966 Interest income (9 ) 2 17 — 10 Interest expense (75 ) (139 ) (41 ) — (255 ) Intercompany interest income (expense) 449 (298 ) (151 ) — — Intercompany other income (expense) 342 (390 ) 48 — — Other income 2 5 37 — 44 Income (loss) before taxes 566 (841 ) 2,040 — 1,765 Income tax expense (benefit) 74 (192 ) 452 — 334 Income (loss) before equity in earnings of subsidiaries 492 (649 ) 1,588 — 1,431 Equity in earnings of subsidiaries, net of tax 905 1,214 565 (2,684 ) — Net income 1,397 565 2,153 (2,684 ) 1,431 Less: Net income attributable to noncontrolling interests — — 34 — 34 Net income attributable to Aon shareholders $ 1,397 $ 565 $ 2,119 $ (2,684 ) $ 1,397 Condensed Consolidating Statement of Income Year Ended December 31, 2013 (millions) Aon plc Aon Corporation Other Non-Guarantor Subsidiaries Consolidating Adjustment Consolidated Revenue Commissions, fees and other $ 3 $ — $ 11,784 $ — $ 11,787 Fiduciary investment income — — 28 — 28 Total revenue 3 — 11,812 — 11,815 Expenses Compensation and benefits 111 50 6,784 — 6,945 Other general expenses — — 3,199 — 3,199 Total operating expenses 111 50 9,983 — 10,144 Operating (loss) income (108 ) (50 ) 1,829 — 1,671 Interest income — 3 6 — 9 Interest expense (20 ) (138 ) (52 ) — (210 ) Intercompany interest (expense) income 120 24 (144 ) — — Intercompany other (expense) income 38 (168 ) 130 — — Other income (expense) — 19 49 — 68 (Loss) income before taxes 30 (310 ) 1,818 — 1,538 Income tax (benefit) expense 12 (64 ) 442 — 390 (Loss) income before equity in earnings of subsidiaries 18 (246 ) 1,376 — 1,148 Equity in earnings of subsidiaries, net of tax 1,095 1,061 815 (2,971 ) — Net income 1,113 815 2,191 (2,971 ) 1,148 Less: Net income attributable to noncontrolling interests — — 35 — 35 Net income attributable to Aon shareholders $ 1,113 $ 815 $ 2,156 $ (2,971 ) $ 1,113 |
Condensed Consolidating Statement of Comprehensive Income | Consolidating Statement of Comprehensive Income Year Ended December 31, 2015 (millions) Aon plc Aon Corporation Other Non-Guarantor Subsidiaries Consolidating Adjustments Consolidated Net income $ 1,385 $ 525 $ 2,340 $ (2,828 ) $ 1,422 Less: Net income attributable to noncontrolling interests — — 37 — 37 Net income attributable to Aon shareholders $ 1,385 $ 525 $ 2,303 $ (2,828 ) $ 1,385 Other comprehensive (loss) income, net of tax: Change in fair value of financial instruments — — (8 ) — (8 ) Foreign currency translation adjustments — (47 ) (395 ) — (442 ) Post-retirement benefit obligation — 12 143 — 155 Total other comprehensive loss — (35 ) (260 ) — (295 ) Equity in other comprehensive loss of subsidiaries, net of tax (289 ) (268 ) (303 ) 860 — Less: Other comprehensive loss attributable to noncontrolling interests — — (6 ) — (6 ) Total other comprehensive loss attributable to Aon shareholders (289 ) (303 ) (557 ) 860 (289 ) Comprehensive income attributable to Aon shareholders $ 1,096 $ 222 $ 1,746 $ (1,968 ) $ 1,096 Condensed Consolidating Statement of Comprehensive Income Year Ended December 31, 2014 (millions) Aon plc Aon Corporation Other Non-Guarantor Subsidiaries Consolidating Adjustments Consolidated Net income $ 1,397 $ 565 $ 2,153 $ (2,684 ) $ 1,431 Less: Net income attributable to noncontrolling interests — — 34 — 34 Net income attributable to Aon shareholders $ 1,397 $ 565 $ 2,119 $ (2,684 ) $ 1,397 Other comprehensive income (loss), net of tax: Change in fair value of financial instruments — (3 ) 7 — 4 Foreign currency translation adjustments — (31 ) (476 ) — (507 ) Post-retirement benefit obligation — (315 ) 55 — (260 ) Total other comprehensive loss — (349 ) (414 ) — (763 ) Equity in other comprehensive income of subsidiaries, net of tax (760 ) (411 ) (760 ) 1,931 — Less: Other comprehensive loss attributable to noncontrolling interests — — (3 ) — (3 ) Total other comprehensive income attributable to Aon shareholders (760 ) (760 ) (1,171 ) 1,931 (760 ) Comprehensive income attributable to Aon shareholders $ 637 $ (195 ) $ 948 $ (753 ) $ 637 Condensed Consolidating Statement of Comprehensive Income Year Ended December 31, 2013 (millions) Aon plc Aon Corporation Other Non-Guarantor Subsidiaries Consolidating Adjustments Consolidated Net income $ 1,113 $ 815 $ 2,191 $ (2,971 ) $ 1,148 Less: Net income attributable to noncontrolling interests — — 35 — 35 Net income attributable to Aon shareholders $ 1,113 $ 815 $ 2,156 $ (2,971 ) $ 1,113 Other comprehensive loss, net of tax: Change in fair value of financial instruments — 5 2 — 7 Foreign currency translation adjustments — (60 ) (5 ) — (65 ) Post-retirement benefit obligation — 223 70 — 293 Total other comprehensive loss — 168 67 — 235 Equity in other comprehensive loss of subsidiaries, net of tax 236 69 237 (542 ) — Less: Other comprehensive income attributable to noncontrolling interests — — (1 ) — (1 ) Total other comprehensive loss attributable to Aon shareholders 236 237 305 (542 ) 236 Comprehensive income attributable to Aon shareholders $ 1,349 $ 1,052 $ 2,461 $ (3,513 ) $ 1,349 |
Condensed Consolidating Statement of Financial Position | Consolidating Statement of Financial Position As of December 31, 2015 (millions) Aon plc Aon Corporation Other Non-Guarantor Subsidiaries Consolidating Adjustments Consolidated ASSETS Cash and cash equivalents $ — $ 2,083 $ 1,242 $ (2,941 ) $ 384 Short-term investments — 209 147 — 356 Receivables, net 1 — 2,733 — 2,734 Fiduciary assets — — 9,932 — 9,932 Intercompany receivables 432 1,950 7,957 (10,339 ) — Other current assets 3 218 347 (2 ) 566 Total Current Assets 436 4,460 22,358 (13,282 ) 13,972 Goodwill — — 8,448 — 8,448 Intangible assets, net — — 2,180 — 2,180 Fixed assets, net — — 765 — 765 Deferred tax assets 154 558 107 (678 ) 141 Intercompany receivables 375 526 8,633 (9,534 ) — Prepaid Pension — 6 1,027 — 1,033 Other non-current assets 28 124 557 (84 ) 625 Investment in subsidiary 11,804 16,534 369 (28,707 ) — TOTAL ASSETS $ 12,797 $ 22,208 $ 44,444 $ (52,285 ) $ 27,164 LIABILITIES AND EQUITY Fiduciary liabilities $ — $ — $ 9,932 $ — $ 9,932 Short-term debt and current portion of long-term debt — 550 12 — 562 Accounts payable and accrued liabilities 2,988 45 1,680 (2,941 ) 1,772 Intercompany payables 167 9,518 654 (10,339 ) — Other current liabilities 47 56 720 (3 ) 820 Total Current Liabilities 3,202 10,169 12,998 (13,283 ) 13,086 Long-term debt 3,482 1,418 275 — 5,175 Deferred tax liabilities — — 854 (678 ) 176 Pension, other post-retirement and other post-employment liabilities — 1,313 482 — 1,795 Intercompany payables — 8,799 735 (9,534 ) — Other non-current liabilities 7 140 705 (83 ) 769 TOTAL LIABILITIES 6,691 21,839 16,049 (23,578 ) 21,001 TOTAL AON SHAREHOLDERS’ EQUITY 6,106 369 28,338 (28,707 ) 6,106 Noncontrolling interests — — 57 — 57 TOTAL EQUITY 6,106 369 28,395 (28,707 ) 6,163 TOTAL LIABILITIES AND EQUITY $ 12,797 $ 22,208 $ 44,444 $ (52,285 ) $ 27,164 Condensed Consolidating Statement of Financial Position As of December 31, 2014 (millions) Aon plc Aon Corporation Other Non-Guarantor Subsidiaries Consolidating Adjustments Consolidated ASSETS Cash and cash equivalents $ — $ 2,727 $ 1,361 $ (3,714 ) $ 374 Short-term investments — 165 229 — 394 Receivables, net — — 2,815 — 2,815 Fiduciary assets — — 11,638 — 11,638 Intercompany receivables 455 2,814 9,156 (12,425 ) — Other current assets 2 226 407 (33 ) 602 Total Current Assets 457 5,932 25,606 (16,172 ) 15,823 Goodwill — — 8,860 — 8,860 Intangible assets, net — — 2,520 — 2,520 Fixed assets, net — — 765 — 765 Deferred tax assets 159 570 113 (698 ) 144 Intercompany receivables 7,399 600 111 (8,110 ) — Prepaid Pension — 6 927 — 933 Other non-current assets 20 121 678 (92 ) 727 Investment in subsidiary 4,962 15,200 1,880 (22,042 ) — TOTAL ASSETS $ 12,997 $ 22,429 $ 41,460 $ (47,114 ) $ 29,772 LIABILITIES AND EQUITY Fiduciary liabilities $ — $ — $ 11,638 $ — $ 11,638 Short-term debt and current portion of long-term debt — 767 16 — 783 Accounts payable and accrued liabilities 3,755 58 1,706 (3,714 ) 1,805 Intercompany payables 122 8,960 3,343 (12,425 ) — Other current liabilities — 49 772 (33 ) 788 Total Current Liabilities 3,877 9,834 17,475 (16,172 ) 15,014 Long-term debt 2,544 1,917 338 — 4,799 Deferred tax liabilities — — 1,011 (698 ) 313 Pension, other post-retirement and other post-employment liabilities — 1,396 745 — 2,141 Intercompany payables — 7,277 833 (8,110 ) — Other non-current liabilities 5 125 836 (92 ) 874 TOTAL LIABILITIES 6,426 20,549 21,238 (25,072 ) 23,141 TOTAL AON SHAREHOLDERS’ EQUITY 6,571 1,880 20,162 (22,042 ) 6,571 Noncontrolling interests — — 60 — 60 TOTAL EQUITY 6,571 1,880 20,222 (22,042 ) 6,631 TOTAL LIABILITIES AND EQUITY $ 12,997 $ 22,429 $ 41,460 $ (47,114 ) $ 29,772 |
Condensed Consolidating Statement of Cash Flows | Consolidating Statement of Cash Flows Year Ended December 31, 2015 (millions) Aon plc Aon Corporation Other Non-Guarantor Subsidiaries Consolidating Adjustments Consolidated CASH FLOWS FROM OPERATING ACTIVITIES CASH PROVIDED BY (USED FOR) OPERATING ACTIVITIES $ 695 $ 464 $ 2,523 $ (1,673 ) $ 2,009 CASH FLOWS FROM INVESTING ACTIVITIES Proceeds from investments — 27 193 — 220 Payments for investments (13 ) (47 ) (219 ) 13 (266 ) Net (purchases) sales of short-term investments - non-fiduciary — (42 ) 51 — 9 Acquisition of businesses, net of cash acquired — — (16 ) — (16 ) Proceeds from sale of businesses — — 205 — 205 Capital expenditures — — (290 ) — (290 ) CASH USED FOR (PROVIDED BY) INVESTING ACTIVITIES (13 ) (62 ) (76 ) 13 (138 ) CASH FLOWS FROM FINANCING ACTIVITIES Share repurchase (1,550 ) — — — (1,550 ) Advances from (to) affiliates and other (1) 232 (326 ) (2,339 ) 2,433 — Issuance of shares for employee benefit plans (29 ) — (1 ) — (30 ) Issuance of debt 1,318 4,026 7 — 5,351 Repayment of debt (330 ) (4,746 ) (22 ) — (5,098 ) Cash dividends to shareholders (323 ) — — — (323 ) Noncontrolling interests and other financing activities — — (39 ) — (39 ) CASH (USED FOR) PROVIDED BY FINANCING ACTIVITIES (682 ) (1,046 ) (2,394 ) 2,433 (1,689 ) EFFECT OF EXCHANGE RATE CHANGES ON CASH AND CASH EQUIVALENTS — — (172 ) — (172 ) NET INCREASE (DECREASE) IN CASH AND CASH EQUIVALENTS — (644 ) (119 ) 773 10 CASH AND CASH EQUIVALENTS AT BEGINNING OF YEAR — 2,727 1,361 (3,714 ) 374 CASH AND CASH EQUIVALENTS AT END OF PERIOD $ — $ 2,083 $ 1,242 $ (2,941 ) $ 384 (1) Advances from (to) affiliates and other includes activity related to the Company's intercompany and cash pooling arrangements. Condensed Consolidating Statement of Cash Flows Year Ended December 31, 2014 (millions) Aon plc Aon Corporation Other Non-Guarantor Subsidiaries Consolidating Adjustments Consolidated CASH FLOWS FROM OPERATING ACTIVITIES CASH PROVIDED BY (USED FOR) OPERATING ACTIVITIES $ 769 $ (927 ) $ 1,970 $ — $ 1,812 CASH FLOWS FROM INVESTING ACTIVITIES Proceeds from investments — 39 13 — 52 Payments for investments — (20 ) — — (20 ) Net purchases of short-term investments - non-fiduciary — (3 ) 113 — 110 Acquisition of businesses, net of cash acquired — — (479 ) — (479 ) Proceeds from sale of businesses — — 48 — 48 Capital expenditures — — (256 ) — (256 ) CASH USED FOR INVESTING ACTIVITIES — 16 (561 ) — (545 ) CASH FLOWS FROM FINANCING ACTIVITIES Share repurchase (2,250 ) — — — (2,250 ) Advances from (to) affiliates and other (1) 19 3,215 (536 ) (2,698 ) — Issuance of shares for employee benefit plans (105 ) — — — (105 ) Issuance of debt 2,908 2,326 5 — 5,239 Repayment of debt (1,068 ) (2,150 ) (700 ) — (3,918 ) Cash dividends to shareholders (273 ) — — — (273 ) Noncontrolling interests and other financing activities — — 4 — 4 CASH (USED FOR) PROVIDED BY FINANCING ACTIVITIES (769 ) 3,391 (1,227 ) (2,698 ) (1,303 ) EFFECT OF EXCHANGE RATE CHANGES ON CASH AND CASH EQUIVALENTS — — (67 ) — (67 ) NET (DECREASE) INCREASE IN CASH AND CASH EQUIVALENTS — 2,480 115 (2,698 ) (103 ) CASH AND CASH EQUIVALENTS AT BEGINNING OF YEAR — 247 1,246 (1,016 ) 477 CASH AND CASH EQUIVALENTS AT END OF PERIOD $ — $ 2,727 $ 1,361 $ (3,714 ) $ 374 (1) Advances from (to) affiliates and other includes activity related to the Company's intercompany and cash pooling arrangements. Condensed Consolidating Statement of Cash Flows Year Ended December 31, 2013 (millions) Aon plc Aon Corporation Other Non-Guarantor Subsidiaries Consolidating Adjustments Consolidated CASH FLOWS FROM OPERATING ACTIVITIES CASH PROVIDED BY (USED FOR) OPERATING ACTIVITIES $ 70 $ (441 ) $ 2,124 $ — $ 1,753 CASH FLOWS FROM INVESTING ACTIVITIES Proceeds from investments — 8 85 — 93 Payments for investments — (15 ) — — (15 ) Net sales of short-term investments - non-fiduciary — (74 ) (100 ) — (174 ) Acquisition of businesses, net of cash acquired — — (54 ) — (54 ) Proceeds from sale of businesses — 7 33 — 40 Capital expenditures — — (229 ) — (229 ) CASH (USED FOR) PROVIDED BY INVESTING ACTIVITIES — (74 ) (265 ) — (339 ) CASH FLOWS FROM FINANCING ACTIVITIES Share repurchase (1,102 ) — — — (1,102 ) Advances from (to) affiliates 460 996 (479 ) (977 ) — Issuance of shares for employee benefit plans (22 ) — — — (22 ) Issuance of debt 1,730 2,944 232 — 4,906 Repayment of debt (1,055 ) (3,377 ) (247 ) — (4,679 ) Cash dividends to shareholders (212 ) — — — (212 ) Noncontrolling interests and other financing activities — (27 ) — (27 ) CASH PROVIDED BY (USED FOR) FINANCING ACTIVITIES (201 ) 563 (521 ) (977 ) (1,136 ) EFFECT OF EXCHANGE RATE CHANGES ON CASH AND CASH EQUIVALENTS — — (92 ) — (92 ) NET INCREASE (DECREASE) IN CASH AND CASH EQUIVALENTS (131 ) 48 1,246 (977 ) 186 CASH AND CASH EQUIVALENTS AT BEGINNING OF YEAR 131 199 — (39 ) 291 CASH AND CASH EQUIVALENTS AT END OF PERIOD $ — $ 247 $ 1,246 $ (1,016 ) $ 477 |
Quarterly Financial Data (Una41
Quarterly Financial Data (Unaudited) (Tables) | 12 Months Ended |
Dec. 31, 2015 | |
Quarterly Financial Information Disclosure [Abstract] | |
Quarterly Financial Data | Selected quarterly financial data for the years ended December 31, 2015 and 2014 are as follows (in millions, except per share data): 1Q 2Q 3Q 4Q 2015 INCOME STATEMENT DATA Commissions, fees and other revenue $ 2,842 $ 2,800 $ 2,736 $ 3,283 $ 11,661 Fiduciary investment income 5 5 6 5 21 Total revenue $ 2,847 $ 2,805 $ 2,742 $ 3,288 $ 11,682 Operating income $ 441 $ 277 $ 413 717 $ 1,848 Net income 341 188 303 590 1,422 Less: Net income attributable to noncontrolling interests 13 10 8 6 37 Net income attributable to Aon shareholders $ 328 $ 178 $ 295 $ 584 $ 1,385 PER SHARE DATA Basic net income per share attributable to Aon shareholders $ 1.15 $ 0.63 $ 1.05 $ 2.12 $ 4.93 Diluted net income per share attributable to Aon shareholders $ 1.14 $ 0.62 $ 1.05 $ 2.09 $ 4.88 CLASS A ORDINARY SHARE DATA Dividends paid per share $ 0.25 $ 0.30 $ 0.30 $ 0.30 $ 1.15 Price range: High $ 107.08 $ 104.70 $ 103.38 $ 97.79 $ 107.08 Low $ 89.35 $ 95.32 $ 87.58 $ 86.38 $ 86.38 Shares outstanding 281.7 279.8 273.9 269.8 269.8 Average monthly trading volume 24.5 24.9 26.5 26.6 25.6 1Q 2Q 3Q 4Q 2014 INCOME STATEMENT DATA Commissions, fees and other revenue $ 2,941 $ 2,913 $ 2,873 $ 3,292 $ 12,019 Fiduciary investment income 6 6 7 7 26 Total revenue $ 2,947 $ 2,919 $ 2,880 $ 3,299 $ 12,045 Operating income $ 469 $ 445 $ 417 $ 635 $ 1,966 Net income 336 313 315 467 1,431 Less: Net income attributable to noncontrolling interests 11 9 6 8 34 Net income attributable to Aon shareholders $ 325 $ 304 $ 309 $ 459 $ 1,397 PER SHARE DATA Basic net income per share attributable to Aon shareholders $ 1.07 $ 1.02 $ 1.06 $ 1.60 $ 4.73 Diluted net income per share attributable to Aon shareholders $ 1.06 $ 1.01 $ 1.04 $ 1.56 $ 4.66 CLASS A ORDINARY SHARE DATA Dividends paid per share $ 0.18 $ 0.25 $ 0.25 $ 0.25 $ 0.92 Price range: High $ 87.45 $ 91.07 $ 91.28 $ 98.10 $ 98.10 Low $ 76.49 $ 78.60 $ 83.06 $ 78.26 $ 76.49 Shares outstanding 296.5 290.5 285.1 280.0 280.0 Average monthly trading volume 32.6 28.5 26.3 34.1 30.4 |
Basis of Presentation (Reclassi
Basis of Presentation (Reclassification) (Details) - USD ($) | 12 Months Ended | ||
Dec. 31, 2015 | Dec. 31, 2014 | Dec. 31, 2013 | |
Summary of Reclassification From Prior Period [Line Items] | |||
Investments | $ 135,000,000 | $ 143,000,000 | |
Prepaid pension | 1,033,000,000 | 933,000,000 | |
Reclassification adjustment, amount transfered from operating activities to issuance of shares for employee benefit plans in financing activities | 227,000,000 | 170,000,000 | $ 120,000,000 |
Reclassification adjustment, amount transfered from account payable and accrued liabilities in operating activities to financing activities | 85,000,000 | 62,000,000 | |
Reclassification Adjustment, amount transfered from other assets and liabilities in operating activities to financing activities | 85,000,000 | 58,000,000 | |
Purchases of shares from noncontrolling interests | (39,000,000) | 4,000,000 | (27,000,000) |
Other Noncurrent Assets [Member] | |||
Summary of Reclassification From Prior Period [Line Items] | |||
Investments | $ 135,000,000 | ||
Reclassification adjustment | (933,000,000) | ||
Scenario, Previously Reported [Member] | |||
Summary of Reclassification From Prior Period [Line Items] | |||
Investments | 143,000,000 | ||
Purchases of shares from noncontrolling interests | 3,000,000 | (8,000,000) | |
Dividends paid to noncontrolling interests | (24,000,000) | (19,000,000) | |
Proceeds from sale-leaseback | $ 25,000,000 | $ 0 |
Summary of Significant Accoun43
Summary of Significant Accounting Principles and Practices (Details) $ in Millions | 12 Months Ended | |||||||
Dec. 31, 2015USD ($) | Dec. 31, 2014USD ($) | Dec. 31, 2013USD ($) | Dec. 31, 2015GBP (ÂŁ) | Dec. 31, 2015USD ($) | Dec. 31, 2014GBP (ÂŁ) | Dec. 31, 2014USD ($) | Dec. 31, 2012USD ($) | |
Cash and Cash Equivalents | ||||||||
Cash and cash equivalents and short-term investments | $ 740 | $ 800 | ||||||
Restricted cash and investments, current | 105 | 169 | ||||||
Operating funds in U.K. | ÂŁ 43,327,000 | 64.6 | ÂŁ 42,000,000 | 65.3 | ||||
Cash and cash equivalents, restricted | 40 | 104 | ||||||
Fiduciary Assets and Liabilities | ||||||||
Premium trust balances | 3,400 | 4,000 | ||||||
Allowance for Doubtful Accounts | ||||||||
Allowance for doubtful accounts | $ 90 | $ 58 | $ 74 | $ 118 | ||||
Foreign Currency | ||||||||
Effect of foreign exchange gains (losses) on the consolidated statements of income | $ 11 | $ (1) | 3 | |||||
Loss on hedging activity | $ (19) | $ (19) | $ (10) | |||||
Buildings [Member] | ||||||||
Fixed Assets | ||||||||
Fixed assets, original life, weighted-average | 35 years | |||||||
Automobiles [Member] | ||||||||
Fixed Assets | ||||||||
Fixed assets, original life, weighted-average | 6 years | |||||||
Minimum [Member] | ||||||||
Revenue Recognition | ||||||||
Term of outsourcing contracts for benefit services | 3 years | |||||||
Term of outsourcing contracts for HR BPO services | 5 years | |||||||
Goodwill and Intangible Assets | ||||||||
Useful life of finite-lived intangible assets | 1 year | |||||||
Minimum [Member] | Software [Member] | ||||||||
Fixed Assets | ||||||||
Fixed assets, original life, weighted-average | 4 years | |||||||
Minimum [Member] | Furniture, fixtures and equipment [Member] | ||||||||
Fixed Assets | ||||||||
Fixed assets, original life, weighted-average | 4 years | |||||||
Minimum [Member] | Computer equipment [Member] | ||||||||
Fixed Assets | ||||||||
Fixed assets, original life, weighted-average | 4 years | |||||||
Maximum [Member] | ||||||||
Revenue Recognition | ||||||||
Term of outsourcing contracts for benefit services | 5 years | |||||||
Term of outsourcing contracts for HR BPO services | 10 years | |||||||
Goodwill and Intangible Assets | ||||||||
Useful life of finite-lived intangible assets | 16 years | |||||||
Maximum [Member] | Software [Member] | ||||||||
Fixed Assets | ||||||||
Fixed assets, original life, weighted-average | 7 years | |||||||
Maximum [Member] | Leasehold improvements [Member] | ||||||||
Fixed Assets | ||||||||
Fixed assets, original life, weighted-average | 10 years | |||||||
Maximum [Member] | Furniture, fixtures and equipment [Member] | ||||||||
Fixed Assets | ||||||||
Fixed assets, original life, weighted-average | 10 years | |||||||
Maximum [Member] | Computer equipment [Member] | ||||||||
Fixed Assets | ||||||||
Fixed assets, original life, weighted-average | 6 years | |||||||
Weighted average [Member] | ||||||||
Goodwill and Intangible Assets | ||||||||
Useful life of finite-lived intangible assets | 11 years |
Other Financial Data - Schedule
Other Financial Data - Schedule of Other Income (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2015 | Dec. 31, 2014 | Dec. 31, 2013 | |
Other Financial Data [Abstract] | |||
Equity earnings | $ 13 | $ 12 | $ 20 |
Net gain on disposals of businesses | 82 | 24 | 10 |
Foreign currency remeasurement gain | 30 | 18 | 13 |
(Loss) income on financial instruments | (24) | (15) | 18 |
Other | (1) | 5 | 7 |
Other income | $ 100 | $ 44 | $ 68 |
Other Financial Data - Schedu45
Other Financial Data - Schedule of Allowance for Doubtful Accounts (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2015 | Dec. 31, 2014 | Dec. 31, 2013 | |
Allowance for Doubtful Accounts Receivable [Roll Forward] | |||
Balance at beginning of year | $ 74 | $ 90 | $ 118 |
Provision charged to operations | 13 | 12 | 9 |
Accounts written off, net of recoveries | (34) | (33) | (38) |
Foreign currency translation | 5 | 5 | 1 |
Balance at end of year | $ 58 | $ 74 | $ 90 |
Other Financial Data - Schedu46
Other Financial Data - Schedule of Other Current Assets (Details) - USD ($) $ in Millions | Dec. 31, 2015 | Dec. 31, 2014 |
Other Financial Data [Abstract] | ||
Taxes receivable | $ 94 | $ 99 |
Deferred tax assets | 232 | 212 |
Prepaid expenses | 130 | 164 |
Deferred project costs | 92 | 102 |
Other | 18 | 25 |
Total Other Current Assets | $ 566 | $ 602 |
Other Financial Data - Componen
Other Financial Data - Components of Fixed Assets, Net (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2015 | Dec. 31, 2014 | Dec. 31, 2013 | |
Fixed Assets, net | |||
Fixed assets, gross | $ 2,381 | $ 2,311 | |
Less: Accumulated depreciation | 1,616 | 1,546 | |
Fixed assets, net | 765 | 765 | |
Depreciation expense including software amortization | 229 | 242 | $ 240 |
Software [Member] | |||
Fixed Assets, net | |||
Fixed assets, gross | 1,095 | 1,020 | |
Leasehold improvements [Member] | |||
Fixed Assets, net | |||
Fixed assets, gross | 422 | 413 | |
Computer equipment [Member] | |||
Fixed Assets, net | |||
Fixed assets, gross | 358 | 347 | |
Furniture, fixtures and equipment [Member] | |||
Fixed Assets, net | |||
Fixed assets, gross | 315 | 313 | |
Construction in progress [Member] | |||
Fixed Assets, net | |||
Fixed assets, gross | 76 | 94 | |
Other [Member] | |||
Fixed Assets, net | |||
Fixed assets, gross | $ 115 | $ 124 |
Other Financial Data - Schedu48
Other Financial Data - Schedule of Other Non-current Assets (Details) - USD ($) $ in Millions | Dec. 31, 2015 | Dec. 31, 2014 |
Other Financial Data [Abstract] | ||
Deferred project costs | $ 210 | $ 250 |
Investments | 135 | 143 |
Taxes receivable | 82 | 101 |
Other | 198 | 233 |
Total Other Non-Current Assets | $ 625 | $ 727 |
Other Financial Data - Schedu49
Other Financial Data - Schedule of Other Current Liabilities (Details) - USD ($) $ in Millions | Dec. 31, 2015 | Dec. 31, 2014 |
Other Financial Data [Abstract] | ||
Deferred revenue | $ 394 | $ 408 |
Taxes payable | 94 | 64 |
Deferred tax liability | 1 | 2 |
Other | 331 | 314 |
Total Other Current Liabilities | $ 820 | $ 788 |
Other Financial Data - Schedu50
Other Financial Data - Schedule of Other Non-Current Liabilities (Details) - USD ($) $ in Millions | Dec. 31, 2015 | Dec. 31, 2014 |
Other Financial Data [Abstract] | ||
Taxes payable | $ 223 | $ 210 |
Leases | 166 | 184 |
Deferred revenue | 159 | 167 |
Compensation and benefits | 59 | 57 |
Other | 162 | 256 |
Total Other Non-Current Liabilities | $ 769 | $ 874 |
Acquisitions and Dispositions -
Acquisitions and Dispositions - Acquisitions (Details) $ in Millions | 12 Months Ended | ||
Dec. 31, 2015USD ($)acquisition | Dec. 31, 2014USD ($)acquisition | Dec. 31, 2013USD ($) | |
Business Acquisition | |||
Number of business acquired under business combination | acquisition | 7 | 13 | |
Goodwill | $ 8,448 | $ 8,860 | $ 8,997 |
Risk Solutions [Member] | |||
Business Acquisition | |||
Number of business acquired under business combination | acquisition | 4 | 11 | |
Goodwill | $ 5,593 | $ 5,911 | 6,020 |
HR Solutions [Member] | |||
Business Acquisition | |||
Number of business acquired under business combination | acquisition | 3 | 2 | |
Goodwill | $ 2,855 | $ 2,949 | $ 2,977 |
Business Acquisitions [Member] | |||
Business Acquisition | |||
Consideration | 27 | 461 | |
Goodwill | 18 | 292 | |
Other intangible assets | 6 | 328 | |
Total intangible assets | $ 24 | $ 620 |
Acquisitions and Dispositions52
Acquisitions and Dispositions - Dispositions (Details) $ in Millions | 12 Months Ended | ||
Dec. 31, 2015USD ($)disposal | Dec. 31, 2014USD ($)disposal | Dec. 31, 2013USD ($)disposal | |
Dispositions | |||
Net gain on disposals of businesses | $ | $ 82 | $ 24 | $ 10 |
Disposal Group, Not Discontinued Operations [Member] | |||
Dispositions | |||
Number of dispositions | 7 | 2 | 9 |
Disposal Group, Not Discontinued Operations [Member] | Risk Solutions [Member] | |||
Dispositions | |||
Number of dispositions | 4 | 2 | 7 |
Disposal Group, Not Discontinued Operations [Member] | HR Solutions [Member] | |||
Dispositions | |||
Number of dispositions | 3 | 0 | 2 |
Goodwill and Other Intangible53
Goodwill and Other Intangible Assets - Schedule of changes in the net carrying amount of goodwill by operating segment (Details) - USD ($) $ in Millions | 12 Months Ended | |
Dec. 31, 2015 | Dec. 31, 2014 | |
Changes in the net carrying amount of goodwill by operating segment (in millions) | ||
Balance at the beginning of the period | $ 8,860 | $ 8,997 |
Goodwill related to current year acquisitions | 18 | 292 |
Goodwill related to disposals | (77) | (14) |
Goodwill related to prior year acquisitions | 0 | (8) |
Transfer | 0 | 0 |
Foreign currency translation | (353) | (407) |
Balance at the end of the period | 8,448 | 8,860 |
Risk Solutions [Member] | ||
Changes in the net carrying amount of goodwill by operating segment (in millions) | ||
Balance at the beginning of the period | 5,911 | 6,020 |
Goodwill related to current year acquisitions | 2 | 287 |
Goodwill related to disposals | (1) | (14) |
Goodwill related to prior year acquisitions | 0 | (8) |
Transfer | 0 | (2) |
Foreign currency translation | (319) | (372) |
Balance at the end of the period | 5,593 | 5,911 |
HR Solutions [Member] | ||
Changes in the net carrying amount of goodwill by operating segment (in millions) | ||
Balance at the beginning of the period | 2,949 | 2,977 |
Goodwill related to current year acquisitions | 16 | 5 |
Goodwill related to disposals | (76) | 0 |
Goodwill related to prior year acquisitions | 0 | 0 |
Transfer | 0 | 2 |
Foreign currency translation | (34) | (35) |
Balance at the end of the period | $ 2,855 | $ 2,949 |
Goodwill and Other Intangible54
Goodwill and Other Intangible Assets - Schedule of other intangible assets by asset class (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2015 | Dec. 31, 2014 | Dec. 31, 2013 | |
Finite-Lived Intangible Assets [Line Items] | |||
Intangible assets with finite lives, gross carrying amount | $ 4,446 | $ 4,542 | |
Intangible assets with finite lives, accumulated amortization | 2,266 | 2,022 | |
Intangible assets, net | 2,180 | 2,520 | |
Amortization expense on intangible assets | 314 | 352 | $ 395 |
Tradenames [Member] | |||
Finite-Lived Intangible Assets [Line Items] | |||
Intangible assets with finite lives, gross carrying amount | 1,019 | 1,019 | |
Intangible assets with finite lives, accumulated amortization | 0 | 0 | |
Intangible assets, net | 1,019 | 1,019 | |
Customer related and contract based [Member] | |||
Finite-Lived Intangible Assets [Line Items] | |||
Intangible assets with finite lives, gross carrying amount | 2,886 | 2,952 | |
Intangible assets with finite lives, accumulated amortization | 1,809 | 1,579 | |
Intangible assets, net | 1,077 | 1,373 | |
Technology and other [Member] | |||
Finite-Lived Intangible Assets [Line Items] | |||
Intangible assets with finite lives, gross carrying amount | 541 | 571 | |
Intangible assets with finite lives, accumulated amortization | 457 | 443 | |
Intangible assets, net | $ 84 | $ 128 |
Goodwill and Other Intangible55
Goodwill and Other Intangible Assets - Schedule of estimated future amortization expense on intangible assets (Details) $ in Millions | Dec. 31, 2015USD ($) |
Finite-Lived Intangible Assets [Line Items] | |
2,016 | $ 271 |
2,017 | 226 |
2,018 | 167 |
2,019 | 138 |
2,020 | 118 |
Thereafter | 240 |
Total future amortization of intangible assets | 1,160 |
Risk Solutions [Member] | |
Finite-Lived Intangible Assets [Line Items] | |
2,016 | 100 |
2,017 | 90 |
2,018 | 76 |
2,019 | 66 |
2,020 | 58 |
Thereafter | 120 |
Total future amortization of intangible assets | 510 |
HR Solutions [Member] | |
Finite-Lived Intangible Assets [Line Items] | |
2,016 | 171 |
2,017 | 136 |
2,018 | 91 |
2,019 | 72 |
2,020 | 60 |
Thereafter | 120 |
Total future amortization of intangible assets | $ 650 |
Debt - Summary of outstanding d
Debt - Summary of outstanding debt (Details) | Dec. 31, 2015USD ($) | Dec. 31, 2015CAD | Nov. 13, 2015USD ($) | May. 20, 2015USD ($) | Dec. 31, 2014USD ($) | May. 20, 2014USD ($) | May. 07, 2014EUR (€) |
Debt Instrument [Line Items] | |||||||
Total debt | $ 5,737,000,000 | $ 5,582,000,000 | |||||
Less short-term and current portion of long-term debt | 562,000,000 | 783,000,000 | |||||
Long-term debt | 5,175,000,000 | 4,799,000,000 | |||||
Commercial Paper [Member] | |||||||
Debt Instrument [Line Items] | |||||||
Total debt | 50,000,000 | 168,000,000 | |||||
Other [Member] | |||||||
Debt Instrument [Line Items] | |||||||
Total debt | 16,000,000 | 31,000,000 | |||||
2.80% Senior Notes due 2021 | Senior Notes [Member] | |||||||
Debt Instrument [Line Items] | |||||||
Total debt | $ 399,000,000 | 0 | |||||
Interest rate on debt ( in percentage) | 2.80% | 2.80% | |||||
Debt face value | $ 400,000,000 | ||||||
4.75% Senior Notes due 2045 | Senior Notes [Member] | |||||||
Debt Instrument [Line Items] | |||||||
Total debt | $ 598,000,000 | 0 | |||||
Interest rate on debt ( in percentage) | 4.75% | 4.75% | |||||
Debt face value | $ 600,000,000 | ||||||
3.50% Senior Notes due June 2024 | Senior Notes [Member] | |||||||
Debt Instrument [Line Items] | |||||||
Total debt | $ 597,000,000 | 597,000,000 | |||||
Interest rate on debt ( in percentage) | 3.50% | 3.50% | |||||
4.76% Senior Notes due March 2018 (CAD 375M) | Senior Notes [Member] | |||||||
Debt Instrument [Line Items] | |||||||
Total debt | $ 271,000,000 | 322,000,000 | |||||
Interest rate on debt ( in percentage) | 4.76% | 4.76% | |||||
Debt face value | CAD | CAD 375,000,000 | ||||||
4.45% Senior Notes due May 2043 | Senior Notes [Member] | |||||||
Debt Instrument [Line Items] | |||||||
Total debt | $ 249,000,000 | 248,000,000 | |||||
Interest rate on debt ( in percentage) | 4.45% | 4.45% | |||||
2.875% Senior Notes due May 2026 (EUR 500M) | Senior Notes [Member] | |||||||
Debt Instrument [Line Items] | |||||||
Total debt | $ 545,000,000 | 605,000,000 | |||||
Interest rate on debt ( in percentage) | 2.875% | 2.875% | |||||
Debt face value | $ 500,000,000 | ||||||
2.875% Senior Notes due May 2026 (EUR 500M) | Other [Member] | |||||||
Debt Instrument [Line Items] | |||||||
Interest rate on debt ( in percentage) | 2.875% | ||||||
Debt face value | € | € 500,000,000 | ||||||
3.50% Senior Notes due September 2015 | Senior Notes [Member] | |||||||
Debt Instrument [Line Items] | |||||||
Total debt | $ 0 | 599,000,000 | |||||
Interest rate on debt ( in percentage) | 3.50% | 3.50% | |||||
5.00% Senior Notes due September 2020 | Senior Notes [Member] | |||||||
Debt Instrument [Line Items] | |||||||
Total debt | $ 599,000,000 | 599,000,000 | |||||
Interest rate on debt ( in percentage) | 5.00% | 5.00% | |||||
4.60% Senior Notes due June 2044 | Senior Notes [Member] | |||||||
Debt Instrument [Line Items] | |||||||
Total debt | $ 549,000,000 | 549,000,000 | |||||
Interest rate on debt ( in percentage) | 4.60% | 4.60% | |||||
4.60% Senior Notes due June 2044 | Other [Member] | |||||||
Debt Instrument [Line Items] | |||||||
Interest rate on debt ( in percentage) | 4.60% | ||||||
Debt face value | $ 550,000,000 | ||||||
8.205% Junior Subordinated Notes due January 2027 | Senior Notes [Member] | |||||||
Debt Instrument [Line Items] | |||||||
Total debt | $ 521,000,000 | 521,000,000 | |||||
Interest rate on debt ( in percentage) | 8.205% | 8.205% | |||||
3.125% Senior Notes due May 2016 | Senior Notes [Member] | |||||||
Debt Instrument [Line Items] | |||||||
Total debt | $ 500,000,000 | 500,000,000 | |||||
Interest rate on debt ( in percentage) | 3.125% | 3.125% | |||||
Debt face value | $ 500,000,000 | ||||||
4.00% Senior Notes due November 2023 | Senior Notes [Member] | |||||||
Debt Instrument [Line Items] | |||||||
Total debt | $ 349,000,000 | 349,000,000 | |||||
Interest rate on debt ( in percentage) | 4.00% | 4.00% | |||||
6.25% Senior Notes due September 2040 | Senior Notes [Member] | |||||||
Debt Instrument [Line Items] | |||||||
Total debt | $ 298,000,000 | 298,000,000 | |||||
Interest rate on debt ( in percentage) | 6.25% | 6.25% | |||||
4.25% Senior Notes due December 2042 | Senior Notes [Member] | |||||||
Debt Instrument [Line Items] | |||||||
Total debt | $ 196,000,000 | $ 196,000,000 | |||||
Interest rate on debt ( in percentage) | 4.25% | 4.25% |
Debt - Repayments of long-term
Debt - Repayments of long-term debt (Details) - USD ($) $ in Millions | Dec. 31, 2015 | Dec. 31, 2014 |
Debt Disclosure [Abstract] | ||
2,016 | $ 562 | |
2,017 | 3 | |
2,018 | 271 | |
2,019 | 0 | |
2,020 | 599 | |
Thereafter | 4,302 | |
Total debt | $ 5,737 | $ 5,582 |
Debt - Narrative (Details)
Debt - Narrative (Details) | May. 07, 2014EUR (€) | Sep. 30, 2015USD ($) | Dec. 31, 2015USD ($)credit_facility | Dec. 31, 2014USD ($) | Dec. 31, 2015CADcredit_facility | Dec. 31, 2015EUR (€)credit_facility | Nov. 13, 2015USD ($) | May. 20, 2015USD ($) | Feb. 01, 2015EUR (€) | Aug. 12, 2014USD ($) | May. 20, 2014USD ($) |
Debt Instrument [Line Items] | |||||||||||
Number of credit facilities | credit_facility | 2 | 2 | 2 | ||||||||
Total debt | $ 5,737,000,000 | $ 5,582,000,000 | |||||||||
Weighted average commercial paper outstanding | $ 402,000,000 | 308,000,000 | |||||||||
Senior Notes [Member] | 4.76% Senior Notes due March 2018 (CAD 375M) | |||||||||||
Debt Instrument [Line Items] | |||||||||||
Debt face value | CAD | CAD 375,000,000 | ||||||||||
Interest rate on debt ( in percentage) | 4.76% | 4.76% | 4.76% | ||||||||
Total debt | $ 271,000,000 | 322,000,000 | |||||||||
Senior Notes [Member] | 5.00% Senior Notes due September 2020 | |||||||||||
Debt Instrument [Line Items] | |||||||||||
Interest rate on debt ( in percentage) | 5.00% | 5.00% | 5.00% | ||||||||
Total debt | $ 599,000,000 | 599,000,000 | |||||||||
Senior Notes [Member] | 6.25% Senior Notes due September 2040 | |||||||||||
Debt Instrument [Line Items] | |||||||||||
Interest rate on debt ( in percentage) | 6.25% | 6.25% | 6.25% | ||||||||
Total debt | $ 298,000,000 | 298,000,000 | |||||||||
Senior Notes [Member] | 3.125% Senior Notes due May 2016 | |||||||||||
Debt Instrument [Line Items] | |||||||||||
Debt face value | $ 500,000,000 | ||||||||||
Interest rate on debt ( in percentage) | 3.125% | 3.125% | 3.125% | ||||||||
Total debt | $ 500,000,000 | 500,000,000 | |||||||||
Senior Notes [Member] | 4.75% Senior Notes due 2045 | |||||||||||
Debt Instrument [Line Items] | |||||||||||
Debt face value | $ 600,000,000 | ||||||||||
Interest rate on debt ( in percentage) | 4.75% | 4.75% | 4.75% | ||||||||
Total debt | $ 598,000,000 | 0 | |||||||||
Senior Notes [Member] | 2.80% Senior Notes due 2021 | |||||||||||
Debt Instrument [Line Items] | |||||||||||
Debt face value | $ 400,000,000 | ||||||||||
Interest rate on debt ( in percentage) | 2.80% | 2.80% | 2.80% | ||||||||
Total debt | $ 399,000,000 | 0 | |||||||||
Senior Notes [Member] | 3.50% Senior Notes due September 2015 | |||||||||||
Debt Instrument [Line Items] | |||||||||||
Interest rate on debt ( in percentage) | 3.50% | 3.50% | 3.50% | ||||||||
Total debt | $ 0 | 599,000,000 | |||||||||
Senior Notes [Member] | 4.60% Senior Notes due June 2044 | |||||||||||
Debt Instrument [Line Items] | |||||||||||
Interest rate on debt ( in percentage) | 4.60% | 4.60% | 4.60% | ||||||||
Total debt | $ 549,000,000 | 549,000,000 | |||||||||
Senior Notes [Member] | 2.875% Senior Notes due May 2026 (EUR 500M) | |||||||||||
Debt Instrument [Line Items] | |||||||||||
Debt face value | $ 500,000,000 | ||||||||||
Interest rate on debt ( in percentage) | 2.875% | 2.875% | 2.875% | ||||||||
Total debt | $ 545,000,000 | 605,000,000 | |||||||||
Senior Notes [Member] | 8.205% Junior Subordinated Notes due January 2027 | |||||||||||
Debt Instrument [Line Items] | |||||||||||
Interest rate on debt ( in percentage) | 8.205% | 8.205% | 8.205% | ||||||||
Total debt | $ 521,000,000 | 521,000,000 | |||||||||
Unsecured Debt [Member] | 4.76% Senior Notes due March 2018 (CAD 375M) | |||||||||||
Debt Instrument [Line Items] | |||||||||||
Interest rate on debt ( in percentage) | 4.76% | 4.76% | 4.76% | ||||||||
Junior Subordinated Debt [Member] | 8.205% Junior Subordinated Notes due January 2027 | |||||||||||
Debt Instrument [Line Items] | |||||||||||
Interest rate on debt ( in percentage) | 8.205% | 8.205% | 8.205% | ||||||||
Commercial Paper [Member] | |||||||||||
Debt Instrument [Line Items] | |||||||||||
Total debt | $ 50,000,000 | $ 168,000,000 | |||||||||
Weighted-average interest rates (in percentage) | 0.50% | 0.35% | |||||||||
Notes Payable [Member] | |||||||||||
Debt Instrument [Line Items] | |||||||||||
Total debt | $ 16,000,000 | $ 31,000,000 | |||||||||
Notes Payable [Member] | 3.50% notes due 2024 [Member] | |||||||||||
Debt Instrument [Line Items] | |||||||||||
Debt face value | $ 350,000,000 | $ 250,000,000 | |||||||||
Interest rate on debt ( in percentage) | 3.50% | 3.50% | |||||||||
Notes Payable [Member] | 4.60% Senior Notes due June 2044 | |||||||||||
Debt Instrument [Line Items] | |||||||||||
Debt face value | $ 550,000,000 | ||||||||||
Interest rate on debt ( in percentage) | 4.60% | ||||||||||
Notes Payable [Member] | 2.875% Senior Notes due May 2026 (EUR 500M) | |||||||||||
Debt Instrument [Line Items] | |||||||||||
Debt face value | € | € 500,000,000 | ||||||||||
Interest rate on debt ( in percentage) | 2.875% | ||||||||||
Senior Notes [Member] | 3.50% Senior Notes due September 2015 | |||||||||||
Debt Instrument [Line Items] | |||||||||||
Interest rate on debt ( in percentage) | 3.50% | ||||||||||
Extinguishment of debt | $ 600,000,000 | ||||||||||
Notes Payable [Member] | 6.25% EUR 500 debt securities due July 2014 [Member] | |||||||||||
Debt Instrument [Line Items] | |||||||||||
Interest rate on debt ( in percentage) | 6.25% | ||||||||||
Extinguishment of debt | € | € 500,000,000 | ||||||||||
Credit Facility Expiring March 2017 [Member] | Line of Credit [Member] | |||||||||||
Debt Instrument [Line Items] | |||||||||||
New credit and loan facility | 400,000,000 | ||||||||||
Commercial Paper [Member] | Line of Credit [Member] | |||||||||||
Debt Instrument [Line Items] | |||||||||||
Long-term commercial paper | 50,000,000 | $ 168,000,000 | |||||||||
European Credit Facility [Member] | Line of Credit [Member] | |||||||||||
Debt Instrument [Line Items] | |||||||||||
New credit and loan facility | € | € 650,000,000 | ||||||||||
Credit Facility Expiring February 2020 [Member] | Line of Credit [Member] | |||||||||||
Debt Instrument [Line Items] | |||||||||||
New credit and loan facility | 900,000,000 | ||||||||||
Commercial Paper [Member] | US Commercial Paper Program [Member] | |||||||||||
Debt Instrument [Line Items] | |||||||||||
New credit and loan facility | $ 900,000,000 | ||||||||||
Commercial Paper [Member] | European Multi-Currency Commercial Paper Program [Member] | |||||||||||
Debt Instrument [Line Items] | |||||||||||
New credit and loan facility | € | € 300,000,000 |
Lease Commitments (Details)
Lease Commitments (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2015 | Dec. 31, 2014 | Dec. 31, 2013 | |
Rental expenses for operating leases | |||
Rental expense | $ 454 | $ 455 | $ 520 |
Less: Sub lease rental income | (83) | (75) | (77) |
Net rental expense | 371 | $ 380 | $ 443 |
Future minimum rental payments under operating leases | |||
2,016 | 325 | ||
2,017 | 291 | ||
2,018 | 267 | ||
2,019 | 235 | ||
2,020 | 199 | ||
Thereafter | 828 | ||
Total minimum payments required | $ 2,145 |
Income Taxes - Income from cont
Income Taxes - Income from continuing operations before income tax (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2015 | Dec. 31, 2014 | Dec. 31, 2013 | |
Income before income taxes: | |||
Income from continuing operations before income taxes | $ 1,689 | $ 1,765 | $ 1,538 |
Current: | |||
Total current | 490 | 468 | 404 |
Deferred tax expense (benefit): | |||
Total deferred | (223) | (134) | (14) |
Total income taxes expenses | 267 | 334 | 390 |
U.K. [Member] | |||
Income before income taxes: | |||
Income from continuing operations before income taxes | 149 | 347 | 96 |
Current: | |||
Total current | 43 | 1 | (18) |
Deferred tax expense (benefit): | |||
Total deferred | (39) | 38 | 43 |
U.S. [Member] | |||
Income before income taxes: | |||
Income from continuing operations before income taxes | (51) | (55) | 349 |
Current: | |||
Total current | 137 | 156 | 111 |
Deferred tax expense (benefit): | |||
Total deferred | (140) | (133) | (48) |
U.S. state and local [Member] | |||
Current: | |||
Total current | 54 | 75 | 52 |
Deferred tax expense (benefit): | |||
Total deferred | (14) | (24) | 10 |
Other [Member] | |||
Income before income taxes: | |||
Income from continuing operations before income taxes | 1,591 | 1,473 | 1,093 |
Current: | |||
Total current | 256 | 236 | 259 |
Deferred tax expense (benefit): | |||
Total deferred | $ (30) | $ (15) | $ (19) |
Income Taxes - Reconciliation o
Income Taxes - Reconciliation of the income tax provisions based on the U.S. statutory corporate tax rate to the provisions reflected in the Consolidated Financial Statements (Details) | 12 Months Ended | ||
Dec. 31, 2015 | Dec. 31, 2014 | Dec. 31, 2013 | |
Reconciliation of the income tax provisions based on the statutory corporate tax rate to the provisions reflected in the Consolidated Financial Statements | |||
Statutory tax rate | 20.25% | 21.50% | 23.00% |
U.S. state income taxes, net of U.S. federal benefit | 0.50% | 1.50% | 2.60% |
Taxes on international operations | (6.60%) | (8.90%) | (4.40%) |
Nondeductible expenses | 2.20% | 1.70% | 1.40% |
Adjustments to prior year tax requirements | (1.30%) | 0.90% | 0.10% |
Deferred tax adjustments, including statutory rate changes | (0.10%) | (0.70%) | 1.40% |
Deferred tax adjustments, international earnings | 0.00% | 1.00% | 3.30% |
Adjustments to valuation allowances | (0.60%) | 0.60% | (1.70%) |
Change in uncertain tax positions | 1.40% | 1.70% | (0.30%) |
Other — net | 0.00% | (0.40%) | 0.00% |
Effective tax rate | 15.80% | 18.90% | 25.40% |
Income Taxes - Components of Ao
Income Taxes - Components of Aon's deferred tax assets and liabilities (Details) - USD ($) $ in Millions | Dec. 31, 2015 | Dec. 31, 2014 |
Deferred tax assets: | ||
Employee benefit plans | $ 635 | $ 739 |
Net operating/capital loss and tax credit carryforwards | 349 | 295 |
Accrued interest | 293 | 303 |
Other accrued expenses | 98 | 44 |
Deferred revenue | 65 | 40 |
Investment basis differences | 56 | 45 |
Other | 56 | 6 |
Total | 1,552 | 1,472 |
Valuation allowance on deferred tax assets | (175) | (205) |
Total | 1,377 | 1,267 |
Deferred tax liabilities: | ||
Intangibles and property, plant and equipment | (961) | (1,058) |
Other accrued expenses | (99) | (40) |
Deferred costs | (30) | (28) |
Unrealized foreign exchange gains | (29) | (44) |
Unremitted earnings | (18) | (28) |
Other | (44) | (28) |
Total | (1,181) | (1,226) |
Net deferred tax asset | $ 196 | $ 41 |
Income Taxes - Deferred income
Income Taxes - Deferred income taxes (assets and liabilities netted by jurisdiction) as classified in the Consolidated Statements of Financial Position (Details) - USD ($) $ in Millions | Dec. 31, 2015 | Dec. 31, 2014 |
Deferred income taxes | ||
Deferred tax assets - current | $ 232 | $ 212 |
Deferred tax assets — non-current | 141 | 144 |
Deferred tax liabilities - current | (1) | (2) |
Deferred tax liabilities — non-current | (176) | (313) |
Net deferred tax asset | $ 196 | $ 41 |
Income Taxes - Reconciliation64
Income Taxes - Reconciliation of the beginning and ending amount of unrecognized tax benefits (Details) - USD ($) $ in Millions | 12 Months Ended | |
Dec. 31, 2015 | Dec. 31, 2014 | |
Reconciliation of the Company's beginning and ending amount of unrecognized tax benefits | ||
Balance at the beginning of the period | $ 191 | $ 164 |
Additions based on tax positions related to the current year | 31 | 31 |
Additions for tax positions of prior years | 53 | 10 |
Reductions for tax positions of prior years | (18) | (6) |
Settlements | (32) | 0 |
Business combinations | 0 | 5 |
Lapse of statute of limitations | (5) | (11) |
Foreign currency translation | 2 | 2 |
Balance at the end of the period | $ 218 | $ 191 |
Income Taxes - Narrative (Detai
Income Taxes - Narrative (Details) - USD ($) $ / shares in Units, $ in Millions | 12 Months Ended | ||
Dec. 31, 2015 | Dec. 31, 2014 | Dec. 31, 2013 | |
Operating Loss Carryforwards [Line Items] | |||
Decrease in valuation allowance | $ 30 | ||
Adjustment to additional paid-in-capital for income tax benefits attributable to employee stock compensation | 126 | $ 89 | $ 74 |
Deferred tax liabilities from undistributed foreign earnings | 20 | ||
Undistributed foreign earnings | 2,200 | ||
Benefit realized from tax holiday granted | $ 23 | $ 7 | $ 3 |
Earnings per share impact of tax holiday | $ 0.08 | $ 0.02 | $ 0.01 |
Unrecognized tax benefits that would impact effective tax rate | $ 180 | $ 154 | $ 141 |
Accrued potential interest and penalties | 2 | 4 | 2 |
Liability recorded for interest and penalties | 33 | 31 | $ 27 |
U.K. [Member] | |||
Operating Loss Carryforwards [Line Items] | |||
Operating loss carryforwards | 449 | 154 | |
Capital loss carryforwards | 360 | 380 | |
U.S. Federal [Member] | |||
Operating Loss Carryforwards [Line Items] | |||
Operating loss carryforwards | 7.5 | 18 | |
U.S. State [Member] | |||
Operating Loss Carryforwards [Line Items] | |||
Operating loss carryforwards | 443 | 451 | |
Other [Member] | |||
Operating Loss Carryforwards [Line Items] | |||
Operating loss carryforwards | 245 | 325 | |
Capital loss carryforwards | $ 206 | $ 223 |
Shareholders' Equity - Redomest
Shareholders' Equity - Redomestication Narrative (Details) - USD ($) $ / shares in Units, $ in Billions | Dec. 31, 2015 | Dec. 31, 2014 |
Equity [Abstract] | ||
Common stock, par value (in dollars per share) | $ 0.01 | $ 0.01 |
Distributable reserves available amount | $ 2.1 | $ 4 |
Shareholders' Equity - Ordinary
Shareholders' Equity - Ordinary Shares (Details) - USD ($) $ / shares in Units, shares in Millions | 12 Months Ended | ||||
Dec. 31, 2015 | Dec. 31, 2014 | Dec. 31, 2013 | Nov. 30, 2014 | Apr. 30, 2012 | |
Common Stock Programs | |||||
Cost of shares repurchased | $ 1,550,000,000 | $ 2,250,000,000 | $ 1,102,000,000 | ||
Share Repurchase Program [Member] | |||||
Common Stock Programs | |||||
Number of shares repurchased (in shares) | 16 | 25.8 | |||
Average price per share of shares purchased under share repurchase program (in dollars per share) | $ 97.04 | $ 87.18 | |||
Cost of shares repurchased | $ 1,600,000,000 | $ 2,300,000,000 | |||
Share Repurchase Programs of 2012 and 2014 [Member] | |||||
Common Stock Programs | |||||
Share repurchase, remaining authorization limit | $ 4,100,000,000 | ||||
Share Repurchase Program of 2012 [Member] | |||||
Common Stock Programs | |||||
Share repurchase authorization limit | $ 5,000,000,000 | ||||
Number of shares repurchased (in shares) | 78.1 | ||||
Cost of shares repurchased | $ 5,900,000,000 | ||||
Share Repurchase Program of 2014 [Member] | |||||
Common Stock Programs | |||||
Share repurchase authorization limit | $ 5,000,000,000 |
Shareholders' Equity - Schedule
Shareholders' Equity - Schedule of weighted average shares outstanding (Details) - shares shares in Millions | 12 Months Ended | ||
Dec. 31, 2015 | Dec. 31, 2014 | Dec. 31, 2013 | |
Equity [Abstract] | |||
Shares for basic earnings per share (in shares) | 280.8 | 295.5 | 311.4 |
Common stock equivalents (in shares) | 3 | 4.1 | 4 |
Shares for diluted earnings per share (in shares) | 283.8 | 299.6 | 315.4 |
Shareholders' Equity - Dividend
Shareholders' Equity - Dividends (Details) - USD ($) $ / shares in Units, $ in Millions | 3 Months Ended | 12 Months Ended | |||||||||
Dec. 31, 2015 | Sep. 30, 2015 | Jun. 30, 2015 | Mar. 31, 2015 | Dec. 31, 2014 | Sep. 30, 2014 | Jun. 30, 2014 | Mar. 31, 2014 | Dec. 31, 2015 | Dec. 31, 2014 | Dec. 31, 2013 | |
Equity [Abstract] | |||||||||||
Payments of Ordinary Dividends, Common Stock | $ 323 | $ 273 | $ 212 | ||||||||
Dividends paid on ordinary shares | $ 323 | $ 273 | $ 212 | ||||||||
Dividends paid per share (in dollars per share) | $ 0.30 | $ 0.30 | $ 0.30 | $ 0.25 | $ 0.25 | $ 0.25 | $ 0.25 | $ 0.18 | $ 1.15 | $ 0.92 | $ 0.68 |
Shareholders' Equity - Componen
Shareholders' Equity - Components of Accumulated other comprehensive loss, net of related tax (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2015 | Dec. 31, 2014 | Dec. 31, 2013 | |
Changes in Accumulated Other Comprehensive Income (Loss) [Roll Forward] | |||
Beginning balance | $ (3,134) | $ (2,374) | $ (2,610) |
Other comprehensive loss before reclassifications | (389) | (1,068) | 286 |
Tax benefit | 23 | 221 | (143) |
Other comprehensive loss before reclassifications, net | (366) | (847) | 143 |
Amounts reclassified from accumulated other comprehensive loss | 128 | 126 | 132 |
Tax benefit | (51) | (39) | (39) |
Amounts reclassified from accumulated other comprehensive loss, net | 77 | 87 | 93 |
Total other comprehensive (loss) income attributable to Aon shareholders | (289) | (760) | 236 |
Ending balance | (3,423) | (3,134) | (2,374) |
Change in Fair Value of Investments [Member] | |||
Changes in Accumulated Other Comprehensive Income (Loss) [Roll Forward] | |||
Beginning balance | (17) | (21) | (28) |
Other comprehensive loss before reclassifications | (4) | (13) | 15 |
Tax benefit | 1 | 4 | (8) |
Other comprehensive loss before reclassifications, net | (3) | (9) | 7 |
Amounts reclassified from accumulated other comprehensive loss | 11 | 20 | 1 |
Tax benefit | (16) | (7) | (1) |
Amounts reclassified from accumulated other comprehensive loss, net | (5) | 13 | 0 |
Total other comprehensive (loss) income attributable to Aon shareholders | (8) | 4 | 7 |
Ending balance | (25) | (17) | (21) |
Foreign Currency Translation Adjustments [Member] | |||
Changes in Accumulated Other Comprehensive Income (Loss) [Roll Forward] | |||
Beginning balance | (335) | 169 | 233 |
Other comprehensive loss before reclassifications | (467) | (492) | (65) |
Tax benefit | 31 | (12) | 1 |
Other comprehensive loss before reclassifications, net | (436) | (504) | (64) |
Amounts reclassified from accumulated other comprehensive loss | 0 | 0 | 0 |
Tax benefit | 0 | 0 | 0 |
Amounts reclassified from accumulated other comprehensive loss, net | 0 | 0 | 0 |
Total other comprehensive (loss) income attributable to Aon shareholders | (436) | (504) | (64) |
Ending balance | (771) | (335) | 169 |
Post-retirement Benefit Obligations [Member] | |||
Changes in Accumulated Other Comprehensive Income (Loss) [Roll Forward] | |||
Beginning balance | (2,782) | (2,522) | (2,815) |
Other comprehensive loss before reclassifications | 82 | (563) | 336 |
Tax benefit | (9) | 229 | (136) |
Other comprehensive loss before reclassifications, net | 73 | (334) | 200 |
Amounts reclassified from accumulated other comprehensive loss | 117 | 106 | 131 |
Tax benefit | (35) | (32) | (38) |
Amounts reclassified from accumulated other comprehensive loss, net | 82 | 74 | 93 |
Total other comprehensive (loss) income attributable to Aon shareholders | 155 | (260) | 293 |
Ending balance | $ (2,627) | $ (2,782) | $ (2,522) |
Employee Benefits - Schedule of
Employee Benefits - Schedule of expense recognized in Compensation and benefit in the Consolidated Statements of Income (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2015 | Dec. 31, 2014 | Dec. 31, 2013 | |
Defined Contribution Savings Plans | |||
U.S. | $ 133 | $ 123 | $ 123 |
U.K. | 42 | 42 | 45 |
Other | 25 | 30 | 18 |
Expense recognized for defined contribution savings plans | $ 200 | $ 195 | $ 186 |
Employee Benefits - Pension Pla
Employee Benefits - Pension Plans Narrative (Details) - USD ($) $ in Millions | 12 Months Ended | |
Dec. 31, 2015 | Dec. 31, 2014 | |
Defined Benefit Plans and Other Postretirement Benefit Plans Table Text Block [Line Items] | ||
Percentage of the Company's projected benefit obligation | 93.00% | |
U.S. Pension Plan [Member] | ||
Defined Benefit Plans and Other Postretirement Benefit Plans Table Text Block [Line Items] | ||
Plans with PBO in excess of the fair value of plan assets, PBO | $ 3,200 | $ 3,300 |
Plans with ABO in excess of the fair value of plan assets, ABO | 3,200 | 3,300 |
Plans with ABO in excess of the fair value of plan assets, fair value of plan assets | 2,000 | 2,000 |
Future amortization of loss | 52 | |
U.K. [Member] | ||
Defined Benefit Plans and Other Postretirement Benefit Plans Table Text Block [Line Items] | ||
Plans with PBO in excess of the fair value of plan assets, PBO | 1,200 | 1,300 |
Plans with ABO in excess of the fair value of plan assets, ABO | 1,200 | 1,300 |
Plans with ABO in excess of the fair value of plan assets, fair value of plan assets | 1,100 | 1,100 |
Plans with PBO in excess of the fair value of plan assets | 1,100 | 1,100 |
Future amortization of loss | 47 | |
Other [Member] | ||
Defined Benefit Plans and Other Postretirement Benefit Plans Table Text Block [Line Items] | ||
Plans with PBO in excess of the fair value of plan assets, PBO | 1,200 | 1,400 |
Plans with ABO in excess of the fair value of plan assets, ABO | 1,100 | 1,300 |
Plans with ABO in excess of the fair value of plan assets, fair value of plan assets | 1,000 | 1,200 |
Plans with PBO in excess of the fair value of plan assets | $ 1,000 | $ 1,200 |
Employee Benefits - Reconciliat
Employee Benefits - Reconciliation of the changes in the benefit obligations and fair value of assets and a statement of the funded status (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2015 | Dec. 31, 2014 | Dec. 31, 2013 | |
U.K. [Member] | |||
Change in projected benefit obligation | |||
Balance at the beginning of the Period | $ 5,529 | $ 5,106 | |
Service cost | 1 | 1 | $ 1 |
Interest cost | 198 | 230 | 210 |
Participant contributions | 0 | 0 | |
Plan amendment | 27 | 0 | |
Curtailments | 0 | 0 | |
Plan transfer and acquisitions | (2) | 0 | |
Actuarial loss (gain) | (83) | (211) | |
Benefit payments | (217) | (192) | |
Actual Expenses | 0 | 0 | |
Change in discount rate | (247) | 902 | |
Foreign currency impact | (221) | (307) | |
Balance at the end of the period | 4,985 | 5,529 | 5,106 |
Accumulated benefit obligation at end of year | 4,985 | 5,529 | |
Change in fair value of plan assets | |||
Balance at the beginning of the period | 6,224 | 5,398 | |
Actual return on plan assets | 91 | 1,199 | |
Participant contributions | 0 | 0 | |
Employer contributions | 65 | 166 | |
Plan transfer and acquisitions | (3) | 0 | |
Benefit payments | (217) | (192) | |
Actual Expenses | 0 | 0 | |
Foreign currency impact | (257) | (347) | |
Balance at the end of the period | 5,903 | 6,224 | 5,398 |
Market related value at end of year | 5,903 | 6,224 | |
Funded status | 918 | 695 | |
Unrecognized prior-service cost | 46 | 22 | |
Unrecognized loss | 1,465 | 1,687 | |
Net amount recognized | 2,429 | 2,404 | |
U.S. [Member] | |||
Change in projected benefit obligation | |||
Balance at the beginning of the Period | 3,350 | 2,744 | |
Service cost | 0 | 2 | 7 |
Interest cost | 131 | 129 | 114 |
Participant contributions | 0 | 0 | |
Plan amendment | 0 | 0 | |
Curtailments | 0 | 0 | |
Plan transfer and acquisitions | (18) | 13 | |
Actuarial loss (gain) | (25) | 265 | |
Benefit payments | (133) | (130) | |
Actual Expenses | 0 | 0 | |
Change in discount rate | (145) | 327 | |
Foreign currency impact | 0 | 0 | |
Balance at the end of the period | 3,160 | 3,350 | 2,744 |
Accumulated benefit obligation at end of year | 3,160 | 3,350 | |
Change in fair value of plan assets | |||
Balance at the beginning of the period | 2,036 | 1,855 | |
Actual return on plan assets | (60) | 190 | |
Participant contributions | 0 | 0 | |
Employer contributions | 108 | 121 | |
Plan transfer and acquisitions | 0 | 0 | |
Benefit payments | (133) | (130) | |
Actual Expenses | 0 | 0 | |
Foreign currency impact | 0 | 0 | |
Balance at the end of the period | 1,951 | 2,036 | 1,855 |
Market related value at end of year | 2,064 | 1,950 | |
Funded status | (1,209) | (1,314) | |
Unrecognized prior-service cost | 9 | 11 | |
Unrecognized loss | 1,723 | 1,737 | |
Net amount recognized | 523 | 434 | |
Other [Member] | |||
Change in projected benefit obligation | |||
Balance at the beginning of the Period | 1,399 | 1,252 | |
Service cost | 0 | 0 | 18 |
Interest cost | 33 | 47 | 45 |
Participant contributions | 0 | 0 | |
Plan amendment | (10) | 0 | |
Curtailments | 0 | (16) | |
Plan transfer and acquisitions | 0 | 0 | |
Actuarial loss (gain) | 24 | (5) | |
Benefit payments | (38) | (51) | |
Actual Expenses | 0 | (2) | |
Change in discount rate | (66) | 324 | |
Foreign currency impact | (165) | (150) | |
Balance at the end of the period | 1,177 | 1,399 | 1,252 |
Accumulated benefit obligation at end of year | 1,135 | 1,316 | |
Change in fair value of plan assets | |||
Balance at the beginning of the period | 1,161 | 1,061 | |
Actual return on plan assets | 8 | 253 | |
Participant contributions | 0 | 0 | |
Employer contributions | 21 | 28 | |
Plan transfer and acquisitions | 0 | 0 | |
Benefit payments | (38) | (51) | |
Actual Expenses | 0 | (2) | |
Foreign currency impact | (133) | (128) | |
Balance at the end of the period | 1,019 | 1,161 | $ 1,061 |
Market related value at end of year | 1,019 | 1,161 | |
Funded status | (158) | (238) | |
Unrecognized prior-service cost | (7) | 3 | |
Unrecognized loss | 389 | 456 | |
Net amount recognized | $ 224 | $ 221 |
Employee Benefits - Amounts rec
Employee Benefits - Amounts recognized in the Consolidated Statements of Financial Position (Details) - USD ($) $ in Millions | Dec. 31, 2015 | Dec. 31, 2014 |
U.K. [Member] | ||
Defined Benefit Plans and Other Postretirement Benefit Plans Table Text Block [Line Items] | ||
Prepaid benefit cost | $ 1,012 | $ 918 |
Accrued benefit liability | (94) | (223) |
Accumulated other comprehensive loss | 1,511 | 1,709 |
Net amount recognized | 2,429 | 2,404 |
U.S. [Member] | ||
Defined Benefit Plans and Other Postretirement Benefit Plans Table Text Block [Line Items] | ||
Prepaid benefit cost | 0 | 0 |
Accrued benefit liability | (1,209) | (1,314) |
Accumulated other comprehensive loss | 1,732 | 1,748 |
Net amount recognized | 523 | 434 |
Other [Member] | ||
Defined Benefit Plans and Other Postretirement Benefit Plans Table Text Block [Line Items] | ||
Prepaid benefit cost | 0 | 0 |
Accrued benefit liability | (158) | (238) |
Accumulated other comprehensive loss | 382 | 459 |
Net amount recognized | $ 224 | $ 221 |
Employee Benefits - Amounts r75
Employee Benefits - Amounts recognized in Accumulated other comprehensive loss that have not yet been recognized (Details 3) - USD ($) $ in Millions | Dec. 31, 2015 | Dec. 31, 2014 |
U.K. [Member] | ||
Amounts recognized in Accumulated other comprehensive loss unrecognized as components of net periodic benefit cost | ||
Net loss | $ 1,465 | $ 1,687 |
Prior service cost (income) | 46 | 22 |
Amounts recognized in Accumulated other comprehensive loss unrecognized as components of net periodic benefit cost | 1,511 | 1,709 |
U.S. [Member] | ||
Amounts recognized in Accumulated other comprehensive loss unrecognized as components of net periodic benefit cost | ||
Net loss | 1,723 | 1,737 |
Prior service cost (income) | 9 | 11 |
Amounts recognized in Accumulated other comprehensive loss unrecognized as components of net periodic benefit cost | 1,732 | 1,748 |
Other [Member] | ||
Amounts recognized in Accumulated other comprehensive loss unrecognized as components of net periodic benefit cost | ||
Net loss | 389 | 456 |
Prior service cost (income) | (7) | 3 |
Amounts recognized in Accumulated other comprehensive loss unrecognized as components of net periodic benefit cost | $ 382 | $ 459 |
Employee Benefits - Components
Employee Benefits - Components of net periodic benefit cost (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2015 | Dec. 31, 2014 | Dec. 31, 2013 | |
U.K. [Member] | |||
Defined Benefit Plans and Other Postretirement Benefit Plans Table Text Block [Line Items] | |||
Service cost | $ 1 | $ 1 | $ 1 |
Interest cost | 198 | 230 | 210 |
Expected return on plan assets, net of administration expenses | (307) | (326) | (302) |
Amortization of prior-service cost | 1 | 1 | 1 |
Amortization of net actuarial loss | 41 | 52 | 49 |
Curtailment gain and other | 0 | 0 | 0 |
Net periodic benefit (income) cost | (66) | (42) | (41) |
U.S. [Member] | |||
Defined Benefit Plans and Other Postretirement Benefit Plans Table Text Block [Line Items] | |||
Service cost | 0 | 2 | 7 |
Interest cost | 131 | 129 | 114 |
Expected return on plan assets, net of administration expenses | (154) | (157) | (139) |
Amortization of prior-service cost | 2 | 2 | 0 |
Amortization of net actuarial loss | 54 | 42 | 52 |
Curtailment gain and other | 0 | 0 | 0 |
Net periodic benefit (income) cost | 33 | 18 | 34 |
Other [Member] | |||
Defined Benefit Plans and Other Postretirement Benefit Plans Table Text Block [Line Items] | |||
Service cost | 0 | 0 | 18 |
Interest cost | 33 | 47 | 45 |
Expected return on plan assets, net of administration expenses | (50) | (59) | (59) |
Amortization of prior-service cost | 0 | 0 | 0 |
Amortization of net actuarial loss | 11 | 10 | 23 |
Curtailment gain and other | 0 | (2) | 0 |
Net periodic benefit (income) cost | $ (6) | $ (4) | $ 27 |
Employee Benefits - Weighted-av
Employee Benefits - Weighted-average assumptions used to determine future benefit obligations (Details) | Dec. 31, 2015 | Dec. 31, 2014 |
U.K. [Member] | ||
Defined Benefit Plans and Other Postretirement Benefit Plans Table Text Block [Line Items] | ||
Discount rate | 3.96% | 3.70% |
Underlying price inflation | 1.88% | 1.95% |
U.K. [Member] | Minimum [Member] | ||
Defined Benefit Plans and Other Postretirement Benefit Plans Table Text Block [Line Items] | ||
Rate of compensation increase | 3.63% | 3.35% |
U.K. [Member] | Maximum [Member] | ||
Defined Benefit Plans and Other Postretirement Benefit Plans Table Text Block [Line Items] | ||
Rate of compensation increase | 4.13% | 4.05% |
U.S. [Member] | Minimum [Member] | ||
Defined Benefit Plans and Other Postretirement Benefit Plans Table Text Block [Line Items] | ||
Discount rate | 3.69% | 3.37% |
U.S. [Member] | Maximum [Member] | ||
Defined Benefit Plans and Other Postretirement Benefit Plans Table Text Block [Line Items] | ||
Discount rate | 4.43% | 4.08% |
Other [Member] | Minimum [Member] | ||
Defined Benefit Plans and Other Postretirement Benefit Plans Table Text Block [Line Items] | ||
Discount rate | 2.43% | 2.03% |
Rate of compensation increase | 2.00% | 2.25% |
Underlying price inflation | 2.00% | 2.00% |
Other [Member] | Maximum [Member] | ||
Defined Benefit Plans and Other Postretirement Benefit Plans Table Text Block [Line Items] | ||
Discount rate | 3.96% | 3.91% |
Rate of compensation increase | 3.50% | 3.50% |
Underlying price inflation | 2.50% | 2.50% |
Employee Benefits - Weighted-78
Employee Benefits - Weighted-average assumptions used to determine the net periodic benefit cost (Details) | 12 Months Ended | ||
Dec. 31, 2015 | Dec. 31, 2014 | Dec. 31, 2013 | |
U.K. [Member] | |||
Defined Benefit Plans and Other Postretirement Benefit Plans Table Text Block [Line Items] | |||
Discount rate | 3.70% | 4.55% | 4.45% |
Expected return on plan assets, net of administration expenses | 5.09% | 6.00% | 6.30% |
U.K. [Member] | Minimum [Member] | |||
Defined Benefit Plans and Other Postretirement Benefit Plans Table Text Block [Line Items] | |||
Rate of compensation increase | 3.55% | 3.70% | 3.25% |
U.K. [Member] | Maximum [Member] | |||
Defined Benefit Plans and Other Postretirement Benefit Plans Table Text Block [Line Items] | |||
Rate of compensation increase | 4.05% | 4.40% | 3.85% |
U.S. [Member] | |||
Defined Benefit Plans and Other Postretirement Benefit Plans Table Text Block [Line Items] | |||
Expected return on plan assets, net of administration expenses | 7.96% | 8.80% | 8.80% |
U.S. [Member] | Minimum [Member] | |||
Defined Benefit Plans and Other Postretirement Benefit Plans Table Text Block [Line Items] | |||
Discount rate | 3.37% | 3.97% | 3.73% |
U.S. [Member] | Maximum [Member] | |||
Defined Benefit Plans and Other Postretirement Benefit Plans Table Text Block [Line Items] | |||
Discount rate | 4.08% | 4.87% | 4.05% |
Other [Member] | Minimum [Member] | |||
Defined Benefit Plans and Other Postretirement Benefit Plans Table Text Block [Line Items] | |||
Discount rate | 2.03% | 3.60% | 3.25% |
Expected return on plan assets, net of administration expenses | 3.99% | 4.70% | 4.60% |
Rate of compensation increase | 2.25% | 2.25% | 2.25% |
Other [Member] | Maximum [Member] | |||
Defined Benefit Plans and Other Postretirement Benefit Plans Table Text Block [Line Items] | |||
Discount rate | 3.91% | 4.71% | 3.89% |
Expected return on plan assets, net of administration expenses | 4.33% | 6.50% | 6.50% |
Rate of compensation increase | 3.50% | 3.50% | 3.50% |
Employee Benefits - Expected Re
Employee Benefits - Expected Return on Plan Assets Narrative (Details) | 12 Months Ended | ||
Dec. 31, 2015 | Dec. 31, 2014 | Dec. 31, 2013 | |
U.S. [Member] | |||
Defined Benefit Plans and Other Postretirement Benefit Plans Table Text Block [Line Items] | |||
Expected return on plan assets, net of administration expenses | 7.96% | 8.80% | 8.80% |
Employee Benefits - Schedule 80
Employee Benefits - Schedule of Fair Value of U.S Plan Assets (Details) - USD ($) $ in Millions | Dec. 31, 2015 | Dec. 31, 2014 | Dec. 31, 2013 |
U.K. [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Total | $ 5,903 | $ 6,224 | $ 5,398 |
U.K. [Member] | Pooled Funds, Real Estate [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Total | 65 | 39 | |
U.K. [Member] | Cash and cash equivalents [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Total | 159 | 224 | |
U.K. [Member] | Equity derivatives [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Total | 66 | 0 | |
U.K. [Member] | Alternative investments [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Total | 717 | 968 | |
U.K. [Member] | Real Estate, Excluding Pooled Funds [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Total | 20 | 7 | |
U.K. [Member] | Quoted Prices in Active Markets for Identical Assets (Level 1) | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Total | 2,621 | 3,643 | |
U.K. [Member] | Quoted Prices in Active Markets for Identical Assets (Level 1) | Pooled Funds, Real Estate [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Total | 0 | 0 | |
U.K. [Member] | Quoted Prices in Active Markets for Identical Assets (Level 1) | Cash and cash equivalents [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Total | 159 | 224 | |
U.K. [Member] | Quoted Prices in Active Markets for Identical Assets (Level 1) | Equity derivatives [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Total | 0 | 0 | |
U.K. [Member] | Quoted Prices in Active Markets for Identical Assets (Level 1) | Alternative investments [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Total | 0 | 0 | |
U.K. [Member] | Quoted Prices in Active Markets for Identical Assets (Level 1) | Real Estate, Excluding Pooled Funds [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Total | 0 | ||
U.K. [Member] | Significant Other Observable Inputs (Level 2) | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Total | 1,633 | 731 | |
U.K. [Member] | Significant Other Observable Inputs (Level 2) | Pooled Funds, Real Estate [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Total | 0 | 0 | |
U.K. [Member] | Significant Other Observable Inputs (Level 2) | Cash and cash equivalents [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Total | 0 | 0 | |
U.K. [Member] | Significant Other Observable Inputs (Level 2) | Equity derivatives [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Total | 66 | 0 | |
U.K. [Member] | Significant Other Observable Inputs (Level 2) | Alternative investments [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Total | 4 | 0 | |
U.K. [Member] | Significant Other Observable Inputs (Level 2) | Real Estate, Excluding Pooled Funds [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Total | 0 | ||
U.K. [Member] | Significant Unobservable Inputs (Level 3) | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Total | 1,649 | 1,850 | 1,133 |
U.K. [Member] | Significant Unobservable Inputs (Level 3) | Pooled Funds, Real Estate [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Total | 65 | 39 | |
U.K. [Member] | Significant Unobservable Inputs (Level 3) | Cash and cash equivalents [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Total | 0 | 0 | |
U.K. [Member] | Significant Unobservable Inputs (Level 3) | Equity derivatives [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Total | 0 | 0 | |
U.K. [Member] | Significant Unobservable Inputs (Level 3) | Alternative investments [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Total | 713 | 968 | 546 |
U.K. [Member] | Significant Unobservable Inputs (Level 3) | Real Estate, Excluding Pooled Funds [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Total | 20 | 7 | |
U.S. Pension Plan [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Total | 1,951 | 2,036 | 1,855 |
U.S. Pension Plan [Member] | Cash and cash equivalents [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Total | 33 | 68 | |
U.S. Pension Plan [Member] | Large cap domestic | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Total | 299 | 329 | |
U.S. Pension Plan [Member] | Small cap domestic [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Total | 88 | 85 | |
U.S. Pension Plan [Member] | Large cap international [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Total | 262 | 258 | |
U.S. Pension Plan [Member] | Equity derivatives [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Total | 203 | 285 | |
U.S. Pension Plan [Member] | Corporate bonds [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Total | 484 | 503 | |
U.S. Pension Plan [Member] | Government and agency bonds [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Total | 128 | 109 | |
U.S. Pension Plan [Member] | Asset-backed securities [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Total | 0 | 20 | |
U.S. Pension Plan [Member] | Fixed income derivatives [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Total | 69 | 49 | |
U.S. Pension Plan [Member] | Alternative investments [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Total | 305 | 272 | |
U.S. Pension Plan [Member] | Commodity derivatives [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Total | 13 | (8) | |
U.S. Pension Plan [Member] | Real estate and REITS [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Total | 67 | 66 | |
U.S. Pension Plan [Member] | Quoted Prices in Active Markets for Identical Assets (Level 1) | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Total | 750 | 837 | |
U.S. Pension Plan [Member] | Quoted Prices in Active Markets for Identical Assets (Level 1) | Cash and cash equivalents [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Total | 33 | 68 | |
U.S. Pension Plan [Member] | Quoted Prices in Active Markets for Identical Assets (Level 1) | Large cap domestic | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Total | 299 | 329 | |
U.S. Pension Plan [Member] | Quoted Prices in Active Markets for Identical Assets (Level 1) | Small cap domestic [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Total | 30 | 22 | |
U.S. Pension Plan [Member] | Quoted Prices in Active Markets for Identical Assets (Level 1) | Large cap international [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Total | 52 | 114 | |
U.S. Pension Plan [Member] | Quoted Prices in Active Markets for Identical Assets (Level 1) | Equity derivatives [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Total | 170 | 209 | |
U.S. Pension Plan [Member] | Quoted Prices in Active Markets for Identical Assets (Level 1) | Corporate bonds [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Total | 0 | 0 | |
U.S. Pension Plan [Member] | Quoted Prices in Active Markets for Identical Assets (Level 1) | Government and agency bonds [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Total | 52 | 29 | |
U.S. Pension Plan [Member] | Quoted Prices in Active Markets for Identical Assets (Level 1) | Asset-backed securities [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Total | 0 | 0 | |
U.S. Pension Plan [Member] | Quoted Prices in Active Markets for Identical Assets (Level 1) | Fixed income derivatives [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Total | 47 | 0 | |
U.S. Pension Plan [Member] | Quoted Prices in Active Markets for Identical Assets (Level 1) | Alternative investments [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Total | 0 | 0 | |
U.S. Pension Plan [Member] | Quoted Prices in Active Markets for Identical Assets (Level 1) | Commodity derivatives [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Total | 0 | 0 | |
U.S. Pension Plan [Member] | Quoted Prices in Active Markets for Identical Assets (Level 1) | Real estate and REITS [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Total | 67 | 66 | |
U.S. Pension Plan [Member] | Significant Other Observable Inputs (Level 2) | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Total | 560 | 575 | |
U.S. Pension Plan [Member] | Significant Other Observable Inputs (Level 2) | Cash and cash equivalents [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Total | 0 | 0 | |
U.S. Pension Plan [Member] | Significant Other Observable Inputs (Level 2) | Large cap domestic | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Total | 0 | 0 | |
U.S. Pension Plan [Member] | Significant Other Observable Inputs (Level 2) | Small cap domestic [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Total | 58 | 63 | |
U.S. Pension Plan [Member] | Significant Other Observable Inputs (Level 2) | Large cap international [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Total | 210 | 144 | |
U.S. Pension Plan [Member] | Significant Other Observable Inputs (Level 2) | Equity derivatives [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Total | 33 | 76 | |
U.S. Pension Plan [Member] | Significant Other Observable Inputs (Level 2) | Corporate bonds [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Total | 148 | 151 | |
U.S. Pension Plan [Member] | Significant Other Observable Inputs (Level 2) | Government and agency bonds [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Total | 76 | 80 | |
U.S. Pension Plan [Member] | Significant Other Observable Inputs (Level 2) | Asset-backed securities [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Total | 0 | 20 | |
U.S. Pension Plan [Member] | Significant Other Observable Inputs (Level 2) | Fixed income derivatives [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Total | 22 | 49 | |
U.S. Pension Plan [Member] | Significant Other Observable Inputs (Level 2) | Alternative investments [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Total | 0 | 0 | |
U.S. Pension Plan [Member] | Significant Other Observable Inputs (Level 2) | Commodity derivatives [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Total | 13 | (8) | |
U.S. Pension Plan [Member] | Significant Other Observable Inputs (Level 2) | Real estate and REITS [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Total | 0 | 0 | |
U.S. Pension Plan [Member] | Significant Unobservable Inputs (Level 3) | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Total | 641 | 624 | $ 266 |
U.S. Pension Plan [Member] | Significant Unobservable Inputs (Level 3) | Cash and cash equivalents [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Total | 0 | 0 | |
U.S. Pension Plan [Member] | Significant Unobservable Inputs (Level 3) | Large cap domestic | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Total | 0 | 0 | |
U.S. Pension Plan [Member] | Significant Unobservable Inputs (Level 3) | Small cap domestic [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Total | 0 | 0 | |
U.S. Pension Plan [Member] | Significant Unobservable Inputs (Level 3) | Large cap international [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Total | 0 | 0 | |
U.S. Pension Plan [Member] | Significant Unobservable Inputs (Level 3) | Equity derivatives [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Total | 0 | 0 | |
U.S. Pension Plan [Member] | Significant Unobservable Inputs (Level 3) | Corporate bonds [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Total | 336 | 352 | |
U.S. Pension Plan [Member] | Significant Unobservable Inputs (Level 3) | Government and agency bonds [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Total | 0 | 0 | |
U.S. Pension Plan [Member] | Significant Unobservable Inputs (Level 3) | Asset-backed securities [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Total | 0 | 0 | |
U.S. Pension Plan [Member] | Significant Unobservable Inputs (Level 3) | Fixed income derivatives [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Total | 0 | 0 | |
U.S. Pension Plan [Member] | Significant Unobservable Inputs (Level 3) | Alternative investments [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Total | 305 | 272 | |
U.S. Pension Plan [Member] | Significant Unobservable Inputs (Level 3) | Commodity derivatives [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Total | 0 | 0 | |
U.S. Pension Plan [Member] | Significant Unobservable Inputs (Level 3) | Real estate and REITS [Member] | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Total | $ 0 | $ 0 |
Employee Benefits - Schedule 81
Employee Benefits - Schedule of changes in Level 3 fair value for U.S. Pension Plans (Details) - U.S. [Member] - USD ($) $ in Millions | 12 Months Ended | |
Dec. 31, 2015 | Dec. 31, 2014 | |
Change in fair value of plan assets | ||
Balance at the beginning of the period | $ 2,036 | $ 1,855 |
Actual return on plan assets: | ||
Balance at the end of the period | 1,951 | 2,036 |
Significant Unobservable Inputs (Level 3) | ||
Change in fair value of plan assets | ||
Balance at the beginning of the period | 624 | 266 |
Actual return on plan assets: | ||
Relating to assets still held at the end of the year | (4) | 32 |
Relating to assets sold during the year | (3) | 5 |
Purchases, sales and settlements—net | 24 | 321 |
Transfer in/(out) of Level 3 | 0 | 0 |
Balance at the end of the period | $ 641 | $ 624 |
Employee Benefits - Schedule 82
Employee Benefits - Schedule of Fair Value of U.K. Plan Assets (Details) - U.K. [Member] - USD ($) $ in Millions | Dec. 31, 2015 | Dec. 31, 2014 | Dec. 31, 2013 |
Defined Benefit Plans and Other Postretirement Benefit Plans Table Text Block [Line Items] | |||
Total | $ 5,903 | $ 6,224 | $ 5,398 |
Cash and cash equivalents [Member] | |||
Defined Benefit Plans and Other Postretirement Benefit Plans Table Text Block [Line Items] | |||
Total | 159 | 224 | |
Pooled funds - Global [Member] | |||
Defined Benefit Plans and Other Postretirement Benefit Plans Table Text Block [Line Items] | |||
Total | 360 | 203 | |
Pooled funds - Europe [Member] | |||
Defined Benefit Plans and Other Postretirement Benefit Plans Table Text Block [Line Items] | |||
Total | 17 | 16 | |
Equity securities - global [Member] | |||
Defined Benefit Plans and Other Postretirement Benefit Plans Table Text Block [Line Items] | |||
Total | 133 | 127 | |
Derivatives [Member] | |||
Defined Benefit Plans and Other Postretirement Benefit Plans Table Text Block [Line Items] | |||
Total | 66 | 0 | |
Pooled funds - Fixed income securities [Member] | |||
Defined Benefit Plans and Other Postretirement Benefit Plans Table Text Block [Line Items] | |||
Total | 283 | 279 | |
Fixed income securities [Member] | |||
Defined Benefit Plans and Other Postretirement Benefit Plans Table Text Block [Line Items] | |||
Total | 3,145 | 3,292 | |
Annuities [Member] | |||
Defined Benefit Plans and Other Postretirement Benefit Plans Table Text Block [Line Items] | |||
Total | 827 | 836 | |
Derivatives [Member] | |||
Defined Benefit Plans and Other Postretirement Benefit Plans Table Text Block [Line Items] | |||
Total | 111 | 233 | |
Pooled Funds, Real Estate [Member] | |||
Defined Benefit Plans and Other Postretirement Benefit Plans Table Text Block [Line Items] | |||
Total | 65 | 39 | |
Alternative investments [Member] | |||
Defined Benefit Plans and Other Postretirement Benefit Plans Table Text Block [Line Items] | |||
Total | 717 | 968 | |
Real Estate, Excluding Pooled Funds [Member] | |||
Defined Benefit Plans and Other Postretirement Benefit Plans Table Text Block [Line Items] | |||
Total | 20 | 7 | |
Quoted Prices in Active Markets for Identical Assets (Level 1) | |||
Defined Benefit Plans and Other Postretirement Benefit Plans Table Text Block [Line Items] | |||
Total | 2,621 | 3,643 | |
Quoted Prices in Active Markets for Identical Assets (Level 1) | Cash and cash equivalents [Member] | |||
Defined Benefit Plans and Other Postretirement Benefit Plans Table Text Block [Line Items] | |||
Total | 159 | 224 | |
Quoted Prices in Active Markets for Identical Assets (Level 1) | Pooled funds - Global [Member] | |||
Defined Benefit Plans and Other Postretirement Benefit Plans Table Text Block [Line Items] | |||
Total | 61 | 0 | |
Quoted Prices in Active Markets for Identical Assets (Level 1) | Pooled funds - Europe [Member] | |||
Defined Benefit Plans and Other Postretirement Benefit Plans Table Text Block [Line Items] | |||
Total | 0 | 0 | |
Quoted Prices in Active Markets for Identical Assets (Level 1) | Equity securities - global [Member] | |||
Defined Benefit Plans and Other Postretirement Benefit Plans Table Text Block [Line Items] | |||
Total | 133 | 127 | |
Quoted Prices in Active Markets for Identical Assets (Level 1) | Derivatives [Member] | |||
Defined Benefit Plans and Other Postretirement Benefit Plans Table Text Block [Line Items] | |||
Total | 0 | 0 | |
Quoted Prices in Active Markets for Identical Assets (Level 1) | Pooled funds - Fixed income securities [Member] | |||
Defined Benefit Plans and Other Postretirement Benefit Plans Table Text Block [Line Items] | |||
Total | 0 | 0 | |
Quoted Prices in Active Markets for Identical Assets (Level 1) | Fixed income securities [Member] | |||
Defined Benefit Plans and Other Postretirement Benefit Plans Table Text Block [Line Items] | |||
Total | 2,268 | 3,292 | |
Quoted Prices in Active Markets for Identical Assets (Level 1) | Annuities [Member] | |||
Defined Benefit Plans and Other Postretirement Benefit Plans Table Text Block [Line Items] | |||
Total | 0 | 0 | |
Quoted Prices in Active Markets for Identical Assets (Level 1) | Derivatives [Member] | |||
Defined Benefit Plans and Other Postretirement Benefit Plans Table Text Block [Line Items] | |||
Total | 0 | 0 | |
Quoted Prices in Active Markets for Identical Assets (Level 1) | Pooled Funds, Real Estate [Member] | |||
Defined Benefit Plans and Other Postretirement Benefit Plans Table Text Block [Line Items] | |||
Total | 0 | 0 | |
Quoted Prices in Active Markets for Identical Assets (Level 1) | Alternative investments [Member] | |||
Defined Benefit Plans and Other Postretirement Benefit Plans Table Text Block [Line Items] | |||
Total | 0 | 0 | |
Quoted Prices in Active Markets for Identical Assets (Level 1) | Real Estate, Excluding Pooled Funds [Member] | |||
Defined Benefit Plans and Other Postretirement Benefit Plans Table Text Block [Line Items] | |||
Total | 0 | ||
Significant Other Observable Inputs (Level 2) | |||
Defined Benefit Plans and Other Postretirement Benefit Plans Table Text Block [Line Items] | |||
Total | 1,633 | 731 | |
Significant Other Observable Inputs (Level 2) | Cash and cash equivalents [Member] | |||
Defined Benefit Plans and Other Postretirement Benefit Plans Table Text Block [Line Items] | |||
Total | 0 | 0 | |
Significant Other Observable Inputs (Level 2) | Pooled funds - Global [Member] | |||
Defined Benefit Plans and Other Postretirement Benefit Plans Table Text Block [Line Items] | |||
Total | 299 | 203 | |
Significant Other Observable Inputs (Level 2) | Pooled funds - Europe [Member] | |||
Defined Benefit Plans and Other Postretirement Benefit Plans Table Text Block [Line Items] | |||
Total | 17 | 16 | |
Significant Other Observable Inputs (Level 2) | Equity securities - global [Member] | |||
Defined Benefit Plans and Other Postretirement Benefit Plans Table Text Block [Line Items] | |||
Total | 0 | 0 | |
Significant Other Observable Inputs (Level 2) | Derivatives [Member] | |||
Defined Benefit Plans and Other Postretirement Benefit Plans Table Text Block [Line Items] | |||
Total | 66 | 0 | |
Significant Other Observable Inputs (Level 2) | Pooled funds - Fixed income securities [Member] | |||
Defined Benefit Plans and Other Postretirement Benefit Plans Table Text Block [Line Items] | |||
Total | 259 | 279 | |
Significant Other Observable Inputs (Level 2) | Fixed income securities [Member] | |||
Defined Benefit Plans and Other Postretirement Benefit Plans Table Text Block [Line Items] | |||
Total | 877 | 0 | |
Significant Other Observable Inputs (Level 2) | Annuities [Member] | |||
Defined Benefit Plans and Other Postretirement Benefit Plans Table Text Block [Line Items] | |||
Total | 0 | 0 | |
Significant Other Observable Inputs (Level 2) | Derivatives [Member] | |||
Defined Benefit Plans and Other Postretirement Benefit Plans Table Text Block [Line Items] | |||
Total | 111 | 233 | |
Significant Other Observable Inputs (Level 2) | Pooled Funds, Real Estate [Member] | |||
Defined Benefit Plans and Other Postretirement Benefit Plans Table Text Block [Line Items] | |||
Total | 0 | 0 | |
Significant Other Observable Inputs (Level 2) | Alternative investments [Member] | |||
Defined Benefit Plans and Other Postretirement Benefit Plans Table Text Block [Line Items] | |||
Total | 4 | 0 | |
Significant Other Observable Inputs (Level 2) | Real Estate, Excluding Pooled Funds [Member] | |||
Defined Benefit Plans and Other Postretirement Benefit Plans Table Text Block [Line Items] | |||
Total | 0 | ||
Significant Unobservable Inputs (Level 3) | |||
Defined Benefit Plans and Other Postretirement Benefit Plans Table Text Block [Line Items] | |||
Total | 1,649 | 1,850 | 1,133 |
Significant Unobservable Inputs (Level 3) | Cash and cash equivalents [Member] | |||
Defined Benefit Plans and Other Postretirement Benefit Plans Table Text Block [Line Items] | |||
Total | 0 | 0 | |
Significant Unobservable Inputs (Level 3) | Pooled funds - Global [Member] | |||
Defined Benefit Plans and Other Postretirement Benefit Plans Table Text Block [Line Items] | |||
Total | 0 | 0 | |
Significant Unobservable Inputs (Level 3) | Pooled funds - Europe [Member] | |||
Defined Benefit Plans and Other Postretirement Benefit Plans Table Text Block [Line Items] | |||
Total | 0 | 0 | |
Significant Unobservable Inputs (Level 3) | Equity securities - global [Member] | |||
Defined Benefit Plans and Other Postretirement Benefit Plans Table Text Block [Line Items] | |||
Total | 0 | 0 | |
Significant Unobservable Inputs (Level 3) | Derivatives [Member] | |||
Defined Benefit Plans and Other Postretirement Benefit Plans Table Text Block [Line Items] | |||
Total | 0 | 0 | |
Significant Unobservable Inputs (Level 3) | Pooled funds - Fixed income securities [Member] | |||
Defined Benefit Plans and Other Postretirement Benefit Plans Table Text Block [Line Items] | |||
Total | 24 | 0 | |
Significant Unobservable Inputs (Level 3) | Fixed income securities [Member] | |||
Defined Benefit Plans and Other Postretirement Benefit Plans Table Text Block [Line Items] | |||
Total | 0 | 0 | |
Significant Unobservable Inputs (Level 3) | Annuities [Member] | |||
Defined Benefit Plans and Other Postretirement Benefit Plans Table Text Block [Line Items] | |||
Total | 827 | 836 | 564 |
Significant Unobservable Inputs (Level 3) | Derivatives [Member] | |||
Defined Benefit Plans and Other Postretirement Benefit Plans Table Text Block [Line Items] | |||
Total | 0 | 0 | |
Significant Unobservable Inputs (Level 3) | Pooled Funds, Real Estate [Member] | |||
Defined Benefit Plans and Other Postretirement Benefit Plans Table Text Block [Line Items] | |||
Total | 65 | 39 | |
Significant Unobservable Inputs (Level 3) | Alternative investments [Member] | |||
Defined Benefit Plans and Other Postretirement Benefit Plans Table Text Block [Line Items] | |||
Total | 713 | 968 | $ 546 |
Significant Unobservable Inputs (Level 3) | Real Estate, Excluding Pooled Funds [Member] | |||
Defined Benefit Plans and Other Postretirement Benefit Plans Table Text Block [Line Items] | |||
Total | $ 20 | $ 7 |
Employee Benefits - Schedule 83
Employee Benefits - Schedule of changes in Level 3 fair value for U.K. Pension Plans (Details) - U.K. [Member] - USD ($) $ in Millions | 12 Months Ended | |
Dec. 31, 2015 | Dec. 31, 2014 | |
Change in fair value of plan assets | ||
Balance at the beginning of the period | $ 6,224 | $ 5,398 |
Actual return on plan assets: | ||
Foreign exchange | (257) | (347) |
Balance at the end of the period | 5,903 | 6,224 |
Global [Member] | ||
Change in fair value of plan assets | ||
Balance at the beginning of the period | 203 | |
Actual return on plan assets: | ||
Balance at the end of the period | 360 | 203 |
Annuities [Member] | ||
Change in fair value of plan assets | ||
Balance at the beginning of the period | 836 | |
Actual return on plan assets: | ||
Balance at the end of the period | 827 | 836 |
Alternative investments [Member] | ||
Change in fair value of plan assets | ||
Balance at the beginning of the period | 968 | |
Actual return on plan assets: | ||
Balance at the end of the period | 717 | 968 |
Pooled funds - Fixed income securities [Member] | ||
Change in fair value of plan assets | ||
Balance at the beginning of the period | 279 | |
Actual return on plan assets: | ||
Balance at the end of the period | 283 | 279 |
Significant Unobservable Inputs (Level 3) | ||
Change in fair value of plan assets | ||
Balance at the beginning of the period | 1,850 | 1,133 |
Actual return on plan assets: | ||
Relating to assets still held at the end of the year | (45) | 309 |
Relating to assets sold during the year | (9) | 6 |
Purchases, sales and settlements—net | 168 | 713 |
Transfer in/(out) of Level 3 | (242) | (206) |
Foreign exchange | (73) | (105) |
Balance at the end of the period | 1,649 | 1,850 |
Significant Unobservable Inputs (Level 3) | Global [Member] | ||
Change in fair value of plan assets | ||
Balance at the beginning of the period | 0 | |
Actual return on plan assets: | ||
Balance at the end of the period | 0 | 0 |
Significant Unobservable Inputs (Level 3) | Annuities [Member] | ||
Change in fair value of plan assets | ||
Balance at the beginning of the period | 836 | 564 |
Actual return on plan assets: | ||
Relating to assets still held at the end of the year | (32) | (13) |
Relating to assets sold during the year | 0 | 0 |
Purchases, sales and settlements—net | 58 | 333 |
Transfer in/(out) of Level 3 | 0 | 0 |
Foreign exchange | (35) | (48) |
Balance at the end of the period | 827 | 836 |
Significant Unobservable Inputs (Level 3) | Pooled funds - Real estate [Member] | ||
Change in fair value of plan assets | ||
Balance at the beginning of the period | 46 | 23 |
Actual return on plan assets: | ||
Relating to assets still held at the end of the year | 11 | 3 |
Relating to assets sold during the year | (10) | 1 |
Purchases, sales and settlements—net | 41 | 21 |
Transfer in/(out) of Level 3 | 0 | 0 |
Foreign exchange | (3) | (2) |
Balance at the end of the period | 85 | 46 |
Significant Unobservable Inputs (Level 3) | Alternative investments [Member] | ||
Change in fair value of plan assets | ||
Balance at the beginning of the period | 968 | 546 |
Actual return on plan assets: | ||
Relating to assets still held at the end of the year | (17) | 319 |
Relating to assets sold during the year | 2 | 5 |
Purchases, sales and settlements—net | 60 | 359 |
Transfer in/(out) of Level 3 | (266) | (206) |
Foreign exchange | (34) | (55) |
Balance at the end of the period | 713 | 968 |
Significant Unobservable Inputs (Level 3) | Pooled funds - Fixed income securities [Member] | ||
Change in fair value of plan assets | ||
Balance at the beginning of the period | 0 | |
Actual return on plan assets: | ||
Relating to assets still held at the end of the year | (7) | |
Relating to assets sold during the year | (1) | |
Purchases, sales and settlements—net | 9 | |
Transfer in/(out) of Level 3 | 24 | |
Foreign exchange | (1) | |
Balance at the end of the period | $ 24 | $ 0 |
Employee Benefits - Schedule 84
Employee Benefits - Schedule of Fair Value of Other Plan Assets (Details) - Other [Member] - USD ($) $ in Millions | Dec. 31, 2015 | Dec. 31, 2014 | Dec. 31, 2013 |
Defined Benefit Plans and Other Postretirement Benefit Plans Table Text Block [Line Items] | |||
Total | $ 1,019 | $ 1,161 | $ 1,061 |
Cash and cash equivalents [Member] | |||
Defined Benefit Plans and Other Postretirement Benefit Plans Table Text Block [Line Items] | |||
Total | 11 | 12 | |
Global [Member] | |||
Defined Benefit Plans and Other Postretirement Benefit Plans Table Text Block [Line Items] | |||
Total | 270 | 295 | |
Pooled funds - North America [Member] | |||
Defined Benefit Plans and Other Postretirement Benefit Plans Table Text Block [Line Items] | |||
Total | 37 | 42 | |
Pooled funds - Fixed income securities [Member] | |||
Defined Benefit Plans and Other Postretirement Benefit Plans Table Text Block [Line Items] | |||
Total | 576 | 629 | |
Pooled funds - Derivatives [Member] | |||
Defined Benefit Plans and Other Postretirement Benefit Plans Table Text Block [Line Items] | |||
Total | 12 | 18 | |
Fixed income securities [Member] | |||
Defined Benefit Plans and Other Postretirement Benefit Plans Table Text Block [Line Items] | |||
Total | 30 | 35 | |
Derivatives [Member] | |||
Defined Benefit Plans and Other Postretirement Benefit Plans Table Text Block [Line Items] | |||
Total | 48 | 74 | |
Pooled funds - Commodities [Member] | |||
Defined Benefit Plans and Other Postretirement Benefit Plans Table Text Block [Line Items] | |||
Total | 2 | 21 | |
Pooled funds - REITS [Member] | |||
Defined Benefit Plans and Other Postretirement Benefit Plans Table Text Block [Line Items] | |||
Total | 3 | 3 | |
Alternative investments [Member] | |||
Defined Benefit Plans and Other Postretirement Benefit Plans Table Text Block [Line Items] | |||
Total | 9 | 8 | |
Derivatives [Member] | |||
Defined Benefit Plans and Other Postretirement Benefit Plans Table Text Block [Line Items] | |||
Total | 21 | 24 | |
Quoted Prices in Active Markets for Identical Assets (Level 1) | |||
Defined Benefit Plans and Other Postretirement Benefit Plans Table Text Block [Line Items] | |||
Total | 11 | 12 | |
Quoted Prices in Active Markets for Identical Assets (Level 1) | Cash and cash equivalents [Member] | |||
Defined Benefit Plans and Other Postretirement Benefit Plans Table Text Block [Line Items] | |||
Total | 11 | 12 | |
Quoted Prices in Active Markets for Identical Assets (Level 1) | Global [Member] | |||
Defined Benefit Plans and Other Postretirement Benefit Plans Table Text Block [Line Items] | |||
Total | 0 | 0 | |
Quoted Prices in Active Markets for Identical Assets (Level 1) | Pooled funds - North America [Member] | |||
Defined Benefit Plans and Other Postretirement Benefit Plans Table Text Block [Line Items] | |||
Total | 0 | 0 | |
Quoted Prices in Active Markets for Identical Assets (Level 1) | Pooled funds - Fixed income securities [Member] | |||
Defined Benefit Plans and Other Postretirement Benefit Plans Table Text Block [Line Items] | |||
Total | 0 | 0 | |
Quoted Prices in Active Markets for Identical Assets (Level 1) | Pooled funds - Derivatives [Member] | |||
Defined Benefit Plans and Other Postretirement Benefit Plans Table Text Block [Line Items] | |||
Total | 0 | 0 | |
Quoted Prices in Active Markets for Identical Assets (Level 1) | Fixed income securities [Member] | |||
Defined Benefit Plans and Other Postretirement Benefit Plans Table Text Block [Line Items] | |||
Total | 0 | 0 | |
Quoted Prices in Active Markets for Identical Assets (Level 1) | Derivatives [Member] | |||
Defined Benefit Plans and Other Postretirement Benefit Plans Table Text Block [Line Items] | |||
Total | 0 | 0 | |
Quoted Prices in Active Markets for Identical Assets (Level 1) | Pooled funds - Commodities [Member] | |||
Defined Benefit Plans and Other Postretirement Benefit Plans Table Text Block [Line Items] | |||
Total | 0 | 0 | |
Quoted Prices in Active Markets for Identical Assets (Level 1) | Pooled funds - REITS [Member] | |||
Defined Benefit Plans and Other Postretirement Benefit Plans Table Text Block [Line Items] | |||
Total | 0 | 0 | |
Quoted Prices in Active Markets for Identical Assets (Level 1) | Alternative investments [Member] | |||
Defined Benefit Plans and Other Postretirement Benefit Plans Table Text Block [Line Items] | |||
Total | 0 | 0 | |
Quoted Prices in Active Markets for Identical Assets (Level 1) | Derivatives [Member] | |||
Defined Benefit Plans and Other Postretirement Benefit Plans Table Text Block [Line Items] | |||
Total | 0 | 0 | |
Significant Other Observable Inputs (Level 2) | |||
Defined Benefit Plans and Other Postretirement Benefit Plans Table Text Block [Line Items] | |||
Total | 999 | 1,141 | |
Significant Other Observable Inputs (Level 2) | Cash and cash equivalents [Member] | |||
Defined Benefit Plans and Other Postretirement Benefit Plans Table Text Block [Line Items] | |||
Total | 0 | 0 | |
Significant Other Observable Inputs (Level 2) | Global [Member] | |||
Defined Benefit Plans and Other Postretirement Benefit Plans Table Text Block [Line Items] | |||
Total | 270 | 295 | |
Significant Other Observable Inputs (Level 2) | Pooled funds - North America [Member] | |||
Defined Benefit Plans and Other Postretirement Benefit Plans Table Text Block [Line Items] | |||
Total | 37 | 42 | |
Significant Other Observable Inputs (Level 2) | Pooled funds - Fixed income securities [Member] | |||
Defined Benefit Plans and Other Postretirement Benefit Plans Table Text Block [Line Items] | |||
Total | 576 | 629 | |
Significant Other Observable Inputs (Level 2) | Pooled funds - Derivatives [Member] | |||
Defined Benefit Plans and Other Postretirement Benefit Plans Table Text Block [Line Items] | |||
Total | 12 | 18 | |
Significant Other Observable Inputs (Level 2) | Fixed income securities [Member] | |||
Defined Benefit Plans and Other Postretirement Benefit Plans Table Text Block [Line Items] | |||
Total | 30 | 35 | |
Significant Other Observable Inputs (Level 2) | Derivatives [Member] | |||
Defined Benefit Plans and Other Postretirement Benefit Plans Table Text Block [Line Items] | |||
Total | 48 | 74 | |
Significant Other Observable Inputs (Level 2) | Pooled funds - Commodities [Member] | |||
Defined Benefit Plans and Other Postretirement Benefit Plans Table Text Block [Line Items] | |||
Total | 2 | 21 | |
Significant Other Observable Inputs (Level 2) | Pooled funds - REITS [Member] | |||
Defined Benefit Plans and Other Postretirement Benefit Plans Table Text Block [Line Items] | |||
Total | 3 | 3 | |
Significant Other Observable Inputs (Level 2) | Alternative investments [Member] | |||
Defined Benefit Plans and Other Postretirement Benefit Plans Table Text Block [Line Items] | |||
Total | 0 | 0 | |
Significant Other Observable Inputs (Level 2) | Derivatives [Member] | |||
Defined Benefit Plans and Other Postretirement Benefit Plans Table Text Block [Line Items] | |||
Total | 21 | 24 | |
Significant Unobservable Inputs (Level 3) | |||
Defined Benefit Plans and Other Postretirement Benefit Plans Table Text Block [Line Items] | |||
Total | 9 | 8 | 25 |
Significant Unobservable Inputs (Level 3) | Cash and cash equivalents [Member] | |||
Defined Benefit Plans and Other Postretirement Benefit Plans Table Text Block [Line Items] | |||
Total | 0 | 0 | |
Significant Unobservable Inputs (Level 3) | Global [Member] | |||
Defined Benefit Plans and Other Postretirement Benefit Plans Table Text Block [Line Items] | |||
Total | 0 | 0 | |
Significant Unobservable Inputs (Level 3) | Pooled funds - North America [Member] | |||
Defined Benefit Plans and Other Postretirement Benefit Plans Table Text Block [Line Items] | |||
Total | 0 | 0 | |
Significant Unobservable Inputs (Level 3) | Pooled funds - Fixed income securities [Member] | |||
Defined Benefit Plans and Other Postretirement Benefit Plans Table Text Block [Line Items] | |||
Total | 0 | 0 | |
Significant Unobservable Inputs (Level 3) | Pooled funds - Derivatives [Member] | |||
Defined Benefit Plans and Other Postretirement Benefit Plans Table Text Block [Line Items] | |||
Total | 0 | 0 | |
Significant Unobservable Inputs (Level 3) | Fixed income securities [Member] | |||
Defined Benefit Plans and Other Postretirement Benefit Plans Table Text Block [Line Items] | |||
Total | 0 | 0 | |
Significant Unobservable Inputs (Level 3) | Derivatives [Member] | |||
Defined Benefit Plans and Other Postretirement Benefit Plans Table Text Block [Line Items] | |||
Total | 0 | 0 | |
Significant Unobservable Inputs (Level 3) | Pooled funds - Commodities [Member] | |||
Defined Benefit Plans and Other Postretirement Benefit Plans Table Text Block [Line Items] | |||
Total | 0 | 0 | |
Significant Unobservable Inputs (Level 3) | Pooled funds - REITS [Member] | |||
Defined Benefit Plans and Other Postretirement Benefit Plans Table Text Block [Line Items] | |||
Total | 0 | 0 | |
Significant Unobservable Inputs (Level 3) | Pooled funds - Real estate [Member] | |||
Defined Benefit Plans and Other Postretirement Benefit Plans Table Text Block [Line Items] | |||
Total | 0 | 0 | 17 |
Significant Unobservable Inputs (Level 3) | Alternative investments [Member] | |||
Defined Benefit Plans and Other Postretirement Benefit Plans Table Text Block [Line Items] | |||
Total | 9 | 8 | $ 8 |
Significant Unobservable Inputs (Level 3) | Derivatives [Member] | |||
Defined Benefit Plans and Other Postretirement Benefit Plans Table Text Block [Line Items] | |||
Total | $ 0 | $ 0 |
Employee Benefits - Schedule 85
Employee Benefits - Schedule of changes in level 3 fair value for Other Plans (Details) - Other [Member] - USD ($) $ in Millions | 12 Months Ended | |
Dec. 31, 2015 | Dec. 31, 2014 | |
Change in fair value of plan assets | ||
Balance at the beginning of the period | $ 1,161 | $ 1,061 |
Actual return on plan assets: | ||
Foreign currency impact | (133) | (128) |
Balance at the end of the period | 1,019 | 1,161 |
Alternative investments [Member] | ||
Change in fair value of plan assets | ||
Balance at the beginning of the period | 8 | |
Actual return on plan assets: | ||
Balance at the end of the period | 9 | 8 |
Significant Unobservable Inputs (Level 3) | ||
Change in fair value of plan assets | ||
Balance at the beginning of the period | 8 | 25 |
Actual return on plan assets: | ||
Relating to assets still held at the end of the year | 2 | 1 |
Relating to assets sold during the year | 0 | 0 |
Purchases, sales and settlements—net | 0 | (17) |
Transfer in/(out) of Level 3 | 0 | 0 |
Foreign currency impact | (1) | (1) |
Balance at the end of the period | 9 | 8 |
Significant Unobservable Inputs (Level 3) | Pooled funds - Real estate [Member] | ||
Change in fair value of plan assets | ||
Balance at the beginning of the period | 0 | 17 |
Actual return on plan assets: | ||
Relating to assets still held at the end of the year | 0 | 0 |
Relating to assets sold during the year | 0 | 0 |
Purchases, sales and settlements—net | 0 | (17) |
Transfer in/(out) of Level 3 | 0 | 0 |
Foreign currency impact | 0 | 0 |
Balance at the end of the period | 0 | 0 |
Significant Unobservable Inputs (Level 3) | Alternative investments [Member] | ||
Change in fair value of plan assets | ||
Balance at the beginning of the period | 8 | 8 |
Actual return on plan assets: | ||
Relating to assets still held at the end of the year | 2 | 1 |
Relating to assets sold during the year | 0 | 0 |
Purchases, sales and settlements—net | 0 | 0 |
Transfer in/(out) of Level 3 | 0 | 0 |
Foreign currency impact | (1) | (1) |
Balance at the end of the period | $ 9 | $ 8 |
Employee Benefits - Investment
Employee Benefits - Investment Policy and Strategy Narrative (Details) | 12 Months Ended |
Dec. 31, 2015 | |
U.S. Pension Plan [Member] | Equity investments [Member] | |
Defined Benefit Plans and Other Postretirement Benefit Plans Table Text Block [Line Items] | |
Target allocation percentage | 49.00% |
U.S. Pension Plan [Member] | Fixed income investments [Member] | |
Defined Benefit Plans and Other Postretirement Benefit Plans Table Text Block [Line Items] | |
Target allocation percentage | 30.00% |
U.S. Pension Plan [Member] | Other Investments | |
Defined Benefit Plans and Other Postretirement Benefit Plans Table Text Block [Line Items] | |
Target allocation percentage | 21.00% |
U.K. and Non-U.S. Pension Plan [Member] | Equity investments [Member] | |
Defined Benefit Plans and Other Postretirement Benefit Plans Table Text Block [Line Items] | |
Actual allocation percentage | 20.00% |
U.K. and Non-U.S. Pension Plan [Member] | Fixed income investments [Member] | |
Defined Benefit Plans and Other Postretirement Benefit Plans Table Text Block [Line Items] | |
Actual allocation percentage | 80.00% |
Employee Benefits - Cash Flows
Employee Benefits - Cash Flows Narrative (Details) $ in Millions | 12 Months Ended |
Dec. 31, 2015USD ($) | |
U.S. Pension Plan [Member] | |
Defined Benefit Plans and Other Postretirement Benefit Plans Table Text Block [Line Items] | |
Expected employer contributions during next fiscal year | $ 79 |
U.K. [Member] | |
Defined Benefit Plans and Other Postretirement Benefit Plans Table Text Block [Line Items] | |
Expected employer contributions during next fiscal year | 54 |
Other [Member] | |
Defined Benefit Plans and Other Postretirement Benefit Plans Table Text Block [Line Items] | |
Expected employer contributions during next fiscal year | $ 17 |
Employee Benefits - Estimated F
Employee Benefits - Estimated Future Benefit Payments (Details) $ in Millions | Dec. 31, 2015USD ($) |
Other Postretirement Benefit Plan [Member] | |
Defined Benefit Plans and Other Postretirement Benefit Plans Table Text Block [Line Items] | |
2,016 | $ 6 |
2,017 | 6 |
2,018 | 6 |
2,019 | 6 |
2,020 | 6 |
2021 - 2025 | 30 |
U.K. [Member] | |
Defined Benefit Plans and Other Postretirement Benefit Plans Table Text Block [Line Items] | |
2,016 | 143 |
2,017 | 149 |
2,018 | 157 |
2,019 | 170 |
2,020 | 180 |
2021 - 2025 | 1,048 |
U.S. Pension Plan [Member] | |
Defined Benefit Plans and Other Postretirement Benefit Plans Table Text Block [Line Items] | |
2,016 | 164 |
2,017 | 172 |
2,018 | 184 |
2,019 | 192 |
2,020 | 187 |
2021 - 2025 | 952 |
Other [Member] | |
Defined Benefit Plans and Other Postretirement Benefit Plans Table Text Block [Line Items] | |
2,016 | 38 |
2,017 | 39 |
2,018 | 40 |
2,019 | 41 |
2,020 | 42 |
2021 - 2025 | $ 227 |
Employee Benefits - Overview of
Employee Benefits - Overview of the accumulated benefit obligation, fair value of plan assets, funded status and net amount recognized for U.S. and Canadian Other Post-Retirement Benefits (Details) - U.S. and Canadian Other Post-Retirement Benefits [Member] - USD ($) $ in Millions | Dec. 31, 2015 | Dec. 31, 2014 |
Defined Benefit Plans and Other Postretirement Benefit Plans Table Text Block [Line Items] | ||
Accumulated projected benefit obligation | $ 105 | $ 116 |
Fair value of plan assets | 18 | 19 |
Funded status | (87) | (97) |
Unrecognized prior-service credit | (3) | (4) |
Unrecognized loss | 7 | 15 |
Net amount recognized | $ (83) | $ (86) |
Employee Benefits - Schedule 90
Employee Benefits - Schedule of Other information related to Company's other post-retirement plan's (Details) - U.S. and Canadian Other Post-Retirement Benefits [Member] - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2015 | Dec. 31, 2014 | Dec. 31, 2013 | |
Defined Benefit Plans and Other Postretirement Benefit Plans Table Text Block [Line Items] | |||
Net periodic benefit cost recognized (millions) | $ 6 | $ 3 | $ 4 |
Minimum [Member] | |||
Defined Benefit Plans and Other Postretirement Benefit Plans Table Text Block [Line Items] | |||
Weighted-average discount rate used to determine future benefit obligations | 3.99% | 3.83% | 4.44% |
Weighted-average discount rate used to determine net periodic benefit costs | 3.83% | 4.44% | 3.67% |
Maximum [Member] | |||
Defined Benefit Plans and Other Postretirement Benefit Plans Table Text Block [Line Items] | |||
Weighted-average discount rate used to determine future benefit obligations | 4.33% | 4.08% | 4.95% |
Weighted-average discount rate used to determine net periodic benefit costs | 4.08% | 4.95% | 4.00% |
Employee Benefits - U.S. and Ca
Employee Benefits - U.S. and Canadian Other Post-Retirement Benefits Narrative (Details) - U.S. and Canadian Other Post-Retirement Benefits [Member] - USD ($) $ in Millions | 12 Months Ended | |
Dec. 31, 2015 | Dec. 31, 2014 | |
Defined Benefit Plans and Other Postretirement Benefit Plans Table Text Block [Line Items] | ||
Unrecognized loss | $ (0.1) | $ (7) |
Prior service cost | 0.3 | $ 3 |
Expected employer contributions during next fiscal year | 4 | |
Effect of one percentage point increase on accumulated postretirement benefit obligation | 6 | |
Effect of one percentage point decrease on accumulated postretirement benefit obligation | 5 | |
Effect of one percentage point increase on service cost and interest cost components of net periodic benefit cost | 0.6 | |
Effect of one percentage point decrease on service cost and interest cost components of net periodic benefit cost | $ 0.5 | |
Maximum percentage of liability for future plan cost increases for pre-65 and medical supplement plan coverage | 5.00% | |
Maximum percentage of medical supplement plan into future periods | 5.00% | |
Maximum [Member] | ||
Defined Benefit Plans and Other Postretirement Benefit Plans Table Text Block [Line Items] | ||
Maximum percentage of liability for future plan cost increases for pre-65 and medical supplement plan coverage | 9.00% | |
Minimum [Member] | ||
Defined Benefit Plans and Other Postretirement Benefit Plans Table Text Block [Line Items] | ||
Maximum percentage of liability for future plan cost increases for pre-65 and medical supplement plan coverage | 4.00% |
Share-Based Compensation Plan92
Share-Based Compensation Plans - Share-based compensation expense recognized in continuing operations (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2015 | Dec. 31, 2014 | Dec. 31, 2013 | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Total share-based compensation expense | $ 339 | $ 328 | $ 300 |
Tax benefit | 95 | 94 | 81 |
Share-based compensation expense, net of tax | 244 | 234 | 219 |
Employee share purchase plans [Member] | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Total share-based compensation expense | 11 | 9 | 7 |
Restricted share units (RSUs) [Member] | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Total share-based compensation expense | 201 | 187 | 174 |
Performance-based Awards [Member] | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Total share-based compensation expense | 127 | 132 | 117 |
Share options [Member] | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Total share-based compensation expense | $ 0 | $ 0 | $ 2 |
Share-Based Compensation Plan93
Share-Based Compensation Plans - Restricted Share Units Narrative (Details) - Restricted share units (RSUs) [Member] - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2015 | Dec. 31, 2014 | Dec. 31, 2013 | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Fair value of RSUs vested during the period | $ 196 | $ 183 | $ 172 |
Minimum [Member] | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Vesting period | 3 years | ||
Maximum [Member] | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Vesting period | 5 years |
Share-Based Compensation Plan94
Share-Based Compensation Plans - Summary of the status of the Company's RSUs (Details) - Restricted share units (RSUs) [Member] - $ / shares shares in Thousands | 12 Months Ended | ||
Dec. 31, 2015 | Dec. 31, 2014 | Dec. 31, 2013 | |
Non-vested share awards | |||
Non-vested at beginning of period (in shares) | 8,381 | 9,759 | 10,432 |
Granted (in shares) | 2,459 | 2,844 | 3,714 |
Vested (in shares) | (3,385) | (3,732) | (3,945) |
Forfeited (in shares) | (288) | (490) | (442) |
Non-vested at end of period (in shares) | 7,167 | 8,381 | 9,759 |
Weighted Average Fair value | |||
Non-vested at beginning of period (in dollars per share) | $ 63 | $ 51 | $ 44 |
Granted (in dollars per share) | 97 | 84 | 62 |
Vested (in dollars per share) | 58 | 49 | 44 |
Forfeited (in dollars per share) | 71 | 58 | 47 |
Non-vested at end of period (in dollars per share) | $ 77 | $ 63 | $ 51 |
Share-Based Compensation Plan95
Share-Based Compensation Plans - Performance Share Awards Narrative (Details) - Performance-based Awards [Member] - shares shares in Millions | 12 Months Ended | ||
Dec. 31, 2015 | Dec. 31, 2014 | Dec. 31, 2013 | |
2010 Leadership Performance Plan [Member] | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Shares issued (in shares) | 1.6 | ||
Other Performance Plans [Member] | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Shares issued (in shares) | 0.2 | ||
2009 Leadership Performance Plan [Member] | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Shares issued (in shares) | 0.8 | ||
2008 Leadership Performance Plan [Member] | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Shares issued (in shares) | 0.6 | ||
2006 Performance Plan [Member] | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Shares issued (in shares) | 0.1 |
Share-Based Compensation Plan96
Share-Based Compensation Plans - Schedule of Performance-based plans (Details) - Performance-based Awards [Member] - USD ($) $ / shares in Units, shares in Thousands, $ in Millions | 12 Months Ended | ||
Dec. 31, 2015 | Dec. 31, 2014 | Dec. 31, 2013 | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Target PSAs granted (in shares) | 993 | 816 | 1,135 |
Fair value ( in dollars per share) | $ 96 | $ 81 | $ 58 |
Number of shares that would be issued based on current performance levels (in shares) | 982 | 1,591 | 2,191 |
Unamortized expense, based on current performance levels | $ 67 | $ 45 | $ 0 |
Share-Based Compensation Plan97
Share-Based Compensation Plans - Share Options Narrative (Details) $ / shares in Units, $ in Millions | 12 Months Ended |
Dec. 31, 2015USD ($)$ / shares | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |
Closing share price (in dollars per share) | $ / shares | $ 92.21 |
Aggregate intrinsic value of options outstanding | $ 44 |
Aggregate intrinsic value of exercisable options outstanding | 44 |
Unamortized deferred compensation expense | $ 378 |
Remaining weighted-average amortization period (in years) | 2 years 1 month 6 days |
Share-Based Compensation Plan98
Share-Based Compensation Plans - Summary of the status of the Company's share options and related information (Details) - Share options [Member] - $ / shares shares in Thousands | 12 Months Ended | ||
Dec. 31, 2015 | Dec. 31, 2014 | Dec. 31, 2013 | |
Share Options | |||
Outstanding at beginning of period (in shares) | 2,300 | 3,462 | 5,611 |
Granted (in shares) | 0 | 0 | 0 |
Exercised (in shares) | (1,450) | (1,155) | (2,116) |
Forfeited and expired (in shares) | (13) | (7) | (33) |
Outstanding at end of period (in shares) | 837 | 2,300 | 3,462 |
Exercisable at end of period (in shares) | 837 | 2,273 | 3,270 |
Shares available for grant (in shares) | 12,179 | 16,333 | 11,330 |
Weighted-Average Exercise Price | |||
Outstanding at beginning of period (in dollars per share) | $ 32 | $ 32 | $ 32 |
Granted (in dollars per share) | 0 | 0 | 0 |
Exercised (in dollars per share) | 27 | 33 | 32 |
Forfeited and expired (in dollars per share) | 39 | 37 | 34 |
Outstanding at end of period (in dollars per share) | 40 | 32 | 32 |
Exercisable at end of period (in dollars per share) | $ 40 | $ 32 | $ 32 |
Share-Based Compensation Plan99
Share-Based Compensation Plans - Summary of options outstanding and exercisable (Details) shares in Thousands | 12 Months Ended |
Dec. 31, 2015$ / sharesshares | |
Share options outstanding and share options exercisable | |
Share options, outstanding (in shares) | shares | 837 |
Share options exercisable (in shares) | shares | 837 |
19.54 - 25.51 | |
Share options outstanding and share options exercisable | |
Share options, outstanding (in shares) | shares | 79 |
Weighted-average remaining contractual life (years) | 2 years 2 months 5 days |
Weighted average exercise price of share options outstanding (in dollars per share) | $ 20.18 |
Share options exercisable (in shares) | shares | 79 |
Weighted average remaining contractual life of share options exercisable (in years) | 2 years 2 months 5 days |
Weighted average exercise price of share options exercisable (in dollars per share) | $ 20.18 |
Exercise price range, minimum | 19.54 |
Exercise price range, maximum | $ 25.51 |
25.52 - 32.53 | |
Share options outstanding and share options exercisable | |
Share options, outstanding (in shares) | shares | 25 |
Weighted-average remaining contractual life (years) | 1 year 11 months 5 days |
Weighted average exercise price of share options outstanding (in dollars per share) | $ 29.15 |
Share options exercisable (in shares) | shares | 25 |
Weighted average remaining contractual life of share options exercisable (in years) | 1 year 11 months 5 days |
Weighted average exercise price of share options exercisable (in dollars per share) | $ 29.15 |
Exercise price range, minimum | 25.52 |
Exercise price range, maximum | $ 32.53 |
32.54 - 36.88 | |
Share options outstanding and share options exercisable | |
Share options, outstanding (in shares) | shares | 160 |
Weighted-average remaining contractual life (years) | 1 year 1 month 21 days |
Weighted average exercise price of share options outstanding (in dollars per share) | $ 35.77 |
Share options exercisable (in shares) | shares | 160 |
Weighted average remaining contractual life of share options exercisable (in years) | 1 year 1 month 21 days |
Weighted average exercise price of share options exercisable (in dollars per share) | $ 35.77 |
Exercise price range, minimum | 32.54 |
Exercise price range, maximum | $ 36.88 |
36.89 - 43.44 | |
Share options outstanding and share options exercisable | |
Share options, outstanding (in shares) | shares | 247 |
Weighted-average remaining contractual life (years) | 3 years 1 month 13 days |
Weighted average exercise price of share options outstanding (in dollars per share) | $ 39.32 |
Share options exercisable (in shares) | shares | 247 |
Weighted average remaining contractual life of share options exercisable (in years) | 3 years 1 month 13 days |
Weighted average exercise price of share options exercisable (in dollars per share) | $ 39.32 |
Exercise price range, minimum | 36.89 |
Exercise price range, maximum | $ 43.44 |
43.45 - 52.93 | |
Share options outstanding and share options exercisable | |
Share options, outstanding (in shares) | shares | 326 |
Weighted-average remaining contractual life (years) | 2 years 5 months 16 days |
Weighted average exercise price of share options outstanding (in dollars per share) | $ 48.26 |
Share options exercisable (in shares) | shares | 326 |
Weighted average remaining contractual life of share options exercisable (in years) | 2 years 5 months 16 days |
Weighted average exercise price of share options exercisable (in dollars per share) | $ 48.26 |
Exercise price range, minimum | 43.45 |
Exercise price range, maximum | $ 52.93 |
Share-Based Compensation Pla100
Share-Based Compensation Plans - Other information related to the Company's share options (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2015 | Dec. 31, 2014 | Dec. 31, 2013 | |
Share Options | |||
Aggregate intrinsic value of stock options exercised | $ 104 | $ 61 | $ 73 |
Cash received from the exercise of stock options | 40 | 38 | 61 |
Tax benefit realized from the exercise of stock options | $ 36 | $ 16 | $ 15 |
Share-Based Compensation Pla101
Share-Based Compensation Plans - Employee Share Purchase Plan Narrative (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2015 | Dec. 31, 2014 | Dec. 31, 2013 | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Total share-based compensation expense | $ 339 | $ 328 | $ 300 |
United States [Member] | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Period of interval for purchase of common stock (in months) | 6 months | ||
Purchase price expressed as a percentage of the fair market value of common stock (in percentage) | 85.00% | ||
Stock issued to employees under the plan (in shares) | 411,636 | 439,000 | 556,000 |
Total share-based compensation expense | $ 9 | $ 7 | $ 6 |
United States [Member] | Maximum [Member] | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Purchase of shares under plan (in shares) | 7,500,000 | ||
United Kingdom [Member] | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Purchase of shares under plan (in shares) | 100,000 | 300,000 | 350,000 |
Stock issued to employees under the plan (in shares) | 2,779 | 642 | 172,110 |
Waiting period before purchase of shares (in years) | 3 years | ||
Total share-based compensation expense | $ 2 | $ 1 | $ 1 |
Derivatives and Hedging - Forei
Derivatives and Hedging - Foreign Exchange Risk Management Narrative (Details) | 12 Months Ended |
Dec. 31, 2015 | |
Cash Flow Hedging [Member] | |
Derivative [Line Items] | |
Foreign currency exposures, maximum average hedging period ( in years) | 2 years |
Not Designated as Hedging Instrument [Member] | |
Derivative [Line Items] | |
Maximum length of time hedged in foreign currency undesignated hedge (in years) | 1 year |
Derivatives and Hedging - Inter
Derivatives and Hedging - Interest Rate Risk Management (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2015 | Dec. 31, 2014 | Dec. 31, 2013 | |
Derivative [Line Items] | |||
Estimated pretax losses currently included within Accumulated Other Comprehensive Loss that will be reclassified to earnings in next twelve months | $ 7 | ||
(Loss) income on financial instruments | (24) | $ (15) | $ 18 |
Not Designated as Hedging Instrument [Member] | Foreign Exchange Contract [Member] | |||
Derivative [Line Items] | |||
(Loss) income on financial instruments | $ (8) | $ (18) | $ (18) |
Derivatives and Hedging - Notio
Derivatives and Hedging - Notional and fair values of derivative instruments (Details) - USD ($) $ in Millions | 12 Months Ended | |
Dec. 31, 2015 | Dec. 31, 2014 | |
Other Current Assets [Member] | ||
Derivative [Line Items] | ||
Derivative Assets | $ 15 | $ 24 |
Other Noncurrent Assets [Member] | ||
Derivative [Line Items] | ||
Derivative Assets | 17 | 22 |
Other Current Liabilities [Member] | ||
Derivative [Line Items] | ||
Derivative Liabilities | 13 | 52 |
Other Noncurrent Liabilities [Member] | ||
Derivative [Line Items] | ||
Derivative Liabilities | 5 | 6 |
Designated as Hedging Instrument [Member] | Foreign Exchange Contract [Member] | ||
Derivative [Line Items] | ||
Notional Amount | 778 | 1,200 |
Derivative Assets | 32 | 46 |
Derivative Liabilities | 18 | 58 |
Not Designated as Hedging Instrument [Member] | ||
Derivative [Line Items] | ||
Notional Amount | 1,058 | 1,365 |
Derivative Assets | 32 | 46 |
Derivative Liabilities | 18 | 58 |
Not Designated as Hedging Instrument [Member] | Foreign Exchange Contract [Member] | ||
Derivative [Line Items] | ||
Notional Amount | 280 | 165 |
Derivative Assets | 0 | 0 |
Derivative Liabilities | $ 0 | $ 0 |
Term of contract ( in days) | 30 days |
Derivatives and Hedging - Offse
Derivatives and Hedging - Offsetting of financial assets and derivatives assets (Details) - USD ($) $ in Millions | Dec. 31, 2015 | Dec. 31, 2014 |
Other Current Assets [Member] | ||
Derivative [Line Items] | ||
Gross Amounts of Recognized Assets | $ 15 | $ 24 |
Net Amounts of Assets Presented in the Statement of Financial Position | 6 | 12 |
Other Noncurrent Assets [Member] | ||
Derivative [Line Items] | ||
Gross Amounts of Recognized Assets | 17 | 22 |
Net Amounts of Assets Presented in the Statement of Financial Position | 13 | 20 |
Designated as Hedging Instrument [Member] | Foreign Exchange Contract [Member] | ||
Derivative [Line Items] | ||
Gross Amounts of Recognized Assets | 32 | 46 |
Gross Amounts Offset in the Statement of Financial Position | (13) | (14) |
Net Amounts of Assets Presented in the Statement of Financial Position | 19 | 32 |
Not Designated as Hedging Instrument [Member] | ||
Derivative [Line Items] | ||
Gross Amounts of Recognized Assets | 32 | 46 |
Not Designated as Hedging Instrument [Member] | Foreign Exchange Contract [Member] | ||
Derivative [Line Items] | ||
Gross Amounts of Recognized Assets | $ 0 | $ 0 |
Derivatives and Hedging - Of106
Derivatives and Hedging - Offsetting of financial liabilities and derivative liabilities (Details) - USD ($) $ in Millions | Dec. 31, 2015 | Dec. 31, 2014 |
Other Current Liabilities [Member] | ||
Derivative [Line Items] | ||
Gross Amounts of Recognized Liabilities | $ 13 | $ 52 |
Net Amounts of Liabilities Presented in the Statement of Financial Position (2) | 4 | 40 |
Other Noncurrent Liabilities [Member] | ||
Derivative [Line Items] | ||
Gross Amounts of Recognized Liabilities | 5 | 6 |
Net Amounts of Liabilities Presented in the Statement of Financial Position (2) | 1 | 4 |
Designated as Hedging Instrument [Member] | Foreign Exchange Contract [Member] | ||
Derivative [Line Items] | ||
Gross Amounts of Recognized Liabilities | 18 | 58 |
Gross Amounts Offset in the Statement of Financial Position | (13) | (14) |
Net Amounts of Liabilities Presented in the Statement of Financial Position (2) | 5 | 44 |
Not Designated as Hedging Instrument [Member] | ||
Derivative [Line Items] | ||
Gross Amounts of Recognized Liabilities | 18 | 58 |
Not Designated as Hedging Instrument [Member] | Foreign Exchange Contract [Member] | ||
Derivative [Line Items] | ||
Gross Amounts of Recognized Liabilities | $ 0 | $ 0 |
Derivatives and Hedging - Sched
Derivatives and Hedging - Schedule of amounts of derivative gains (losses) recognized in the Consolidated Financial Statements (Details) - Designated as Hedging Instrument [Member] - Cash Flow Hedging [Member] - Foreign Exchange Contract [Member] - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2015 | Dec. 31, 2014 | Dec. 31, 2013 | |
Derivative [Line Items] | |||
Gain (loss) recognized in accumulated other comprehensive income | $ (9) | $ (2) | $ (4) |
Gain (loss) reclassified from accumulated other comprehensive loss into income (effective portion) | (17) | (14) | (10) |
Compensation and Benefits [Member] | |||
Derivative [Line Items] | |||
Gain (loss) recognized in accumulated other comprehensive income | 4 | 11 | (17) |
Gain (loss) reclassified from accumulated other comprehensive loss into income (effective portion) | 4 | (5) | (12) |
Other General Expenses [Member] | |||
Derivative [Line Items] | |||
Gain (loss) recognized in accumulated other comprehensive income | (3) | (3) | 0 |
Gain (loss) reclassified from accumulated other comprehensive loss into income (effective portion) | (1) | 3 | (9) |
Interest Expense [Member] | |||
Derivative [Line Items] | |||
Gain (loss) recognized in accumulated other comprehensive income | 0 | 0 | 0 |
Gain (loss) reclassified from accumulated other comprehensive loss into income (effective portion) | (9) | (10) | (3) |
Other Income [Member] | |||
Derivative [Line Items] | |||
Gain (loss) recognized in accumulated other comprehensive income | (10) | (10) | 13 |
Gain (loss) reclassified from accumulated other comprehensive loss into income (effective portion) | $ (11) | $ (2) | $ 14 |
Derivatives and Hedging - Sc108
Derivatives and Hedging - Schedule of the amount of gain (loss) recognized in the Consolidated Financial Statements (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2015 | Dec. 31, 2014 | Dec. 31, 2013 | |
Derivative [Line Items] | |||
Amount of Gain (Loss) Recognized in Income on Derivative | $ (24) | $ (15) | $ 18 |
Designated as Hedging Instrument [Member] | Fair Value Hedging [Member] | Foreign Exchange Contract [Member] | |||
Derivative [Line Items] | |||
Amount of Gain (Loss) Recognized in Income on Derivative | 0 | (9) | (8) |
Amount of Gain (Loss) Recognized in Income on Related Hedged Item | $ 0 | $ 9 | $ 8 |
Fair Value Measurements and 109
Fair Value Measurements and Financial Instruments - Schedule of assets and liabilities that are measured at fair value on a recurring basis (Details) - USD ($) $ in Millions | Dec. 31, 2015 | Dec. 31, 2014 |
Money market funds and highly liquid debt securities [Member] | Recurring [Member] | ||
Assets: | ||
Money market funds and highly liquid debt securities | $ 1,396 | $ 1,850 |
Corporate bonds [Member] | Recurring [Member] | ||
Assets: | ||
Other investments | 0 | 1 |
Government bonds [Member] | Recurring [Member] | ||
Assets: | ||
Other investments | 1 | 6 |
Equity securities [Member] | Recurring [Member] | ||
Assets: | ||
Other investments | 10 | 11 |
Interest rate contracts [Member] | Recurring [Member] | ||
Assets: | ||
Derivative Asset | 0 | 0 |
Foreign exchange contracts [Member] | Recurring [Member] | ||
Assets: | ||
Derivative Asset | 32 | 46 |
Liabilities: | ||
Derivatives | 18 | 58 |
Quoted Prices in Active Markets for Identical Assets (Level 1) | Money market funds and highly liquid debt securities [Member] | Recurring [Member] | ||
Assets: | ||
Money market funds and highly liquid debt securities | 1,396 | 1,850 |
Quoted Prices in Active Markets for Identical Assets (Level 1) | Corporate bonds [Member] | Recurring [Member] | ||
Assets: | ||
Other investments | 0 | 0 |
Quoted Prices in Active Markets for Identical Assets (Level 1) | Government bonds [Member] | Recurring [Member] | ||
Assets: | ||
Other investments | 0 | 0 |
Quoted Prices in Active Markets for Identical Assets (Level 1) | Equity securities [Member] | Recurring [Member] | ||
Assets: | ||
Other investments | 6 | 6 |
Quoted Prices in Active Markets for Identical Assets (Level 1) | Interest rate contracts [Member] | Recurring [Member] | ||
Assets: | ||
Derivative Asset | 0 | 0 |
Quoted Prices in Active Markets for Identical Assets (Level 1) | Foreign exchange contracts [Member] | Recurring [Member] | ||
Assets: | ||
Derivative Asset | 0 | 0 |
Liabilities: | ||
Derivatives | 0 | 0 |
Significant Other Observable Inputs (Level 2) | Money market funds and highly liquid debt securities [Member] | Recurring [Member] | ||
Assets: | ||
Money market funds and highly liquid debt securities | 0 | 0 |
Significant Other Observable Inputs (Level 2) | Corporate bonds [Member] | Recurring [Member] | ||
Assets: | ||
Other investments | 0 | 0 |
Significant Other Observable Inputs (Level 2) | Government bonds [Member] | Recurring [Member] | ||
Assets: | ||
Other investments | 1 | 6 |
Significant Other Observable Inputs (Level 2) | Equity securities [Member] | Recurring [Member] | ||
Assets: | ||
Other investments | 4 | 5 |
Significant Other Observable Inputs (Level 2) | Interest rate contracts [Member] | Recurring [Member] | ||
Assets: | ||
Derivative Asset | 0 | 0 |
Significant Other Observable Inputs (Level 2) | Foreign exchange contracts [Member] | Recurring [Member] | ||
Assets: | ||
Derivative Asset | 46 | |
Liabilities: | ||
Derivatives | 58 | |
Significant Unobservable Inputs (Level 3) | Money market funds and highly liquid debt securities [Member] | Recurring [Member] | ||
Assets: | ||
Money market funds and highly liquid debt securities | 0 | 0 |
Significant Unobservable Inputs (Level 3) | Corporate bonds [Member] | Recurring [Member] | ||
Assets: | ||
Other investments | 0 | 1 |
Significant Unobservable Inputs (Level 3) | Government bonds [Member] | Recurring [Member] | ||
Assets: | ||
Other investments | 0 | 0 |
Significant Unobservable Inputs (Level 3) | Equity securities [Member] | Recurring [Member] | ||
Assets: | ||
Other investments | 0 | 0 |
Significant Unobservable Inputs (Level 3) | Interest rate contracts [Member] | Recurring [Member] | ||
Assets: | ||
Derivative Asset | 0 | 0 |
Significant Unobservable Inputs (Level 3) | Foreign exchange contracts [Member] | Recurring [Member] | ||
Assets: | ||
Derivative Asset | 0 | 0 |
Liabilities: | ||
Derivatives | 0 | 0 |
Foreign exchange contracts [Member] | Designated as Hedging Instrument [Member] | ||
Liabilities: | ||
Derivative Liabilities | $ 18 | $ 58 |
Fair Value Measurements and 110
Fair Value Measurements and Financial Instruments - Schedule of financial instruments where the carrying amounts and fair values differ (Details) - USD ($) $ in Millions | Dec. 31, 2015 | Dec. 31, 2014 |
Fair value of financial instrument | ||
Total long-term debt | $ 5,175 | $ 4,799 |
Fair value of total debt | $ 5,386 | $ 5,268 |
Fair Value Measurements and 111
Fair Value Measurements and Financial Instruments - Narrative (Details) - USD ($) | 12 Months Ended | ||
Dec. 31, 2015 | Dec. 31, 2014 | Dec. 31, 2013 | |
Fair Value Disclosures [Abstract] | |||
Realized gain | $ 6,000,000 | ||
Unrealized gain (loss) | $ 0 | $ 0 | $ 0 |
Commitments and Contingencies -
Commitments and Contingencies - Legal Narrative (Details) € in Millions, £ in Millions, NZD in Millions | Dec. 31, 2015USD ($) | Jun. 30, 2015USD ($) | Jun. 29, 2015NZD | Jan. 26, 2015USD ($) | Jan. 26, 2015CHF (SFr) | Dec. 02, 2014USD ($) | Dec. 02, 2014CHF (SFr) | Jan. 02, 2014GBP (£) | Jun. 01, 2007USD ($) | Jun. 01, 2007CHF (SFr) | Aug. 31, 2015USD ($) | Jun. 30, 2015GBP (£) | Mar. 31, 2015USD ($) | May. 31, 2010USD ($) | Jun. 30, 2015USD ($) | Jun. 30, 2015EUR (€) | Dec. 31, 2015USD ($) | Apr. 30, 2014GBP (£) |
Loss Contingencies [Line Items] | ||||||||||||||||||
Range of possible loss, minimum | $ 0 | $ 0 | ||||||||||||||||
Range of possible loss, maximum | 300,000,000 | 300,000,000 | ||||||||||||||||
Potential Claim for Pension Advisory Services [Member] | ||||||||||||||||||
Loss Contingencies [Line Items] | ||||||||||||||||||
Estimate of possible loss | 67,000,000 | 67,000,000 | ÂŁ 45 | |||||||||||||||
Opry Mills Mall Limited Partnership [Member] | ||||||||||||||||||
Loss Contingencies [Line Items] | ||||||||||||||||||
Value of damages sought | $ 200,000,000 | |||||||||||||||||
Amount of coverage for damages contended by the insurers | 50,000,000 | |||||||||||||||||
Difference amount of damages sought by the client | $ 150,000,000 | |||||||||||||||||
Opry Mills Mall Limited Partnership [Member] | ||||||||||||||||||
Loss Contingencies [Line Items] | ||||||||||||||||||
Damages awarded | $ 204,000,000 | $ 200,000,000 | ||||||||||||||||
International Road Transport Union [Member] | Litigation Foreign Currency Denominated Award [Member] | ||||||||||||||||||
Loss Contingencies [Line Items] | ||||||||||||||||||
Value of damages sought | SFr 46,000,000 | 47,000,000 | ||||||||||||||||
Damages awarded excluding interest and costs | $ 17,000,000 | SFr 16,800,000 | ||||||||||||||||
Damages awarded | 28,000,000 | SFr 27,900,000 | ||||||||||||||||
Litigation settlement | $ 13,000,000 | SFr 12,800,000 | ||||||||||||||||
Settlement agreement terms maximum liability | 9,000,000 | SFr 8,700,000 | ||||||||||||||||
International Road Transport Union [Member] | Litigation USD Denominated Award [Member] | ||||||||||||||||||
Loss Contingencies [Line Items] | ||||||||||||||||||
Value of damages sought | $ 3,000,000 | |||||||||||||||||
Damages awarded excluding interest and costs | 3,100,000 | |||||||||||||||||
Damages awarded | $ 5,000,000 | |||||||||||||||||
Litigation settlement | 4,700,000 | |||||||||||||||||
Settlement agreement terms maximum liability | $ 115,000 | |||||||||||||||||
International Road Transport Union [Member] | Litigation Expenses and Interest [Member] | ||||||||||||||||||
Loss Contingencies [Line Items] | ||||||||||||||||||
Value of damages sought | $ 30,000,000 | |||||||||||||||||
Philips [Member] | ||||||||||||||||||
Loss Contingencies [Line Items] | ||||||||||||||||||
Value of damages sought | 432,000,000 | ÂŁ 189 | ÂŁ 290 | $ 282,000,000 | ||||||||||||||
Versicherung Aktiengesellschaft [Member] | Litigation Foreign Currency Denominated Award [Member] | ||||||||||||||||||
Loss Contingencies [Line Items] | ||||||||||||||||||
Litigation settlement | $ (2,000,000) | € (1.6) | ||||||||||||||||
Huntington Ingalls Industries [Member] | ||||||||||||||||||
Loss Contingencies [Line Items] | ||||||||||||||||||
Legal settlements | $ 150,000,000 | |||||||||||||||||
Pending Litigation [Member] | Lyttleton Port Company Limited [Member] | ||||||||||||||||||
Loss Contingencies [Line Items] | ||||||||||||||||||
Value of damages sought | $ 125,900,000 | NZD 184 |
Commitments and Contingencie113
Commitments and Contingencies - Guarantees and Indemnifications Narrative (Details) - USD ($) | Dec. 31, 2015 | Dec. 31, 2014 |
Other Commitments [Line Items] | ||
Maximum potential funding under commitments | $ 104,000,000 | $ 112,000,000 |
Commitments to fund certain limited partnerships or subsidiaries [Member] | ||
Other Commitments [Line Items] | ||
Maximum potential funding under commitments | $ 12,000,000 | $ 14,000,000 |
Commitments and Contingencie114
Commitments and Contingencies - Letters of Credit Narrative (Details) - USD ($) $ in Millions | Dec. 31, 2015 | Dec. 31, 2014 |
Commitments and Contingencies Disclosure [Abstract] | ||
Letters of credit outstanding | $ 58 | $ 95 |
Commitments and Contingencie115
Commitments and Contingencies - Commitments Narrative (Details) - USD ($) | 12 Months Ended | |
Dec. 31, 2015 | Dec. 31, 2014 | |
Loss Contingencies [Line Items] | ||
Maximum potential funding under commitments | $ 104,000,000 | $ 112,000,000 |
Commitments to fund certain limited partnerships or subsidiaries [Member] | ||
Loss Contingencies [Line Items] | ||
Maximum potential funding under commitments | 12,000,000 | $ 14,000,000 |
Commitments funded | $ 2,000,000 |
Commitments and Contingencie116
Commitments and Contingencies - Premium Payments (Details) - USD ($) | Dec. 31, 2015 | Dec. 31, 2014 |
Commitments and Contingencies Disclosure [Abstract] | ||
Maximum potential funding under commitments | $ 104,000,000 | $ 112,000,000 |
Segment Information - Narrative
Segment Information - Narrative (Details) | 12 Months Ended |
Dec. 31, 2015segment | |
Segment Reporting [Abstract] | |
Number of reportable segments | 2 |
Segment Information - Schedule
Segment Information - Schedule of total revenue by business segments (Details) - USD ($) $ in Millions | 3 Months Ended | 12 Months Ended | |||||||||
Dec. 31, 2015 | Sep. 30, 2015 | Jun. 30, 2015 | Mar. 31, 2015 | Dec. 31, 2014 | Sep. 30, 2014 | Jun. 30, 2014 | Mar. 31, 2014 | Dec. 31, 2015 | Dec. 31, 2014 | Dec. 31, 2013 | |
Segment Reporting Information [Line Items] | |||||||||||
Revenue | $ 3,288 | $ 2,742 | $ 2,805 | $ 2,847 | $ 3,299 | $ 2,880 | $ 2,919 | $ 2,947 | $ 11,682 | $ 12,045 | $ 11,815 |
Commissions, fees and other | $ 3,283 | $ 2,736 | $ 2,800 | $ 2,842 | $ 3,292 | $ 2,873 | $ 2,913 | $ 2,941 | 11,661 | 12,019 | 11,787 |
Operating Segments [Member] | Risk Solutions [Member] | |||||||||||
Segment Reporting Information [Line Items] | |||||||||||
Revenue | 7,426 | 7,834 | 7,789 | ||||||||
Commissions, fees and other | 7,405 | 7,808 | 7,761 | ||||||||
Operating Segments [Member] | HR Solutions [Member] | |||||||||||
Segment Reporting Information [Line Items] | |||||||||||
Revenue | 4,303 | 4,264 | 4,057 | ||||||||
Commissions, fees and other | 4,303 | 4,264 | 4,057 | ||||||||
Intersegment elimination [Member] | |||||||||||
Segment Reporting Information [Line Items] | |||||||||||
Commissions, fees and other | $ (47) | $ (53) | $ (31) |
Segment Information - Schedu119
Segment Information - Schedule of commissions, fees, and other revenue by products (Details) - USD ($) $ in Millions | 3 Months Ended | 12 Months Ended | |||||||||
Dec. 31, 2015 | Sep. 30, 2015 | Jun. 30, 2015 | Mar. 31, 2015 | Dec. 31, 2014 | Sep. 30, 2014 | Jun. 30, 2014 | Mar. 31, 2014 | Dec. 31, 2015 | Dec. 31, 2014 | Dec. 31, 2013 | |
Segment Reporting Information [Line Items] | |||||||||||
Commissions, fees and other | $ 3,283 | $ 2,736 | $ 2,800 | $ 2,842 | $ 3,292 | $ 2,873 | $ 2,913 | $ 2,941 | $ 11,661 | $ 12,019 | $ 11,787 |
Operating Segments [Member] | Risk Solutions [Member] | |||||||||||
Segment Reporting Information [Line Items] | |||||||||||
Commissions, fees and other | 7,405 | 7,808 | 7,761 | ||||||||
Operating Segments [Member] | HR Solutions [Member] | |||||||||||
Segment Reporting Information [Line Items] | |||||||||||
Commissions, fees and other | 4,303 | 4,264 | 4,057 | ||||||||
Operating Segments [Member] | Reinsurance Brokerage Revenues [Member] | Risk Solutions [Member] | |||||||||||
Segment Reporting Information [Line Items] | |||||||||||
Commissions, fees and other | 1,361 | 1,474 | 1,505 | ||||||||
Operating Segments [Member] | Retail Brokerage Revenues [Member] | Risk Solutions [Member] | |||||||||||
Segment Reporting Information [Line Items] | |||||||||||
Commissions, fees and other | 6,044 | 6,334 | 6,256 | ||||||||
Operating Segments [Member] | Reportable Subsegments [Member] | Outsourcing Revenues [Member] | HR Solutions [Member] | |||||||||||
Segment Reporting Information [Line Items] | |||||||||||
Commissions, fees and other | 2,658 | 2,607 | 2,469 | ||||||||
Operating Segments [Member] | Reportable Subsegments [Member] | Consulting Services Revenues [Member] | HR Solutions [Member] | |||||||||||
Segment Reporting Information [Line Items] | |||||||||||
Commissions, fees and other | 1,686 | 1,700 | 1,626 | ||||||||
Operating Segments [Member] | Intersubsegment Eliminations [Member] | HR Solutions [Member] | |||||||||||
Segment Reporting Information [Line Items] | |||||||||||
Commissions, fees and other | (41) | (43) | (38) | ||||||||
Intersegment elimination [Member] | |||||||||||
Segment Reporting Information [Line Items] | |||||||||||
Commissions, fees and other | $ (47) | $ (53) | $ (31) |
Segment Information - Schedu120
Segment Information - Schedule of fiduciary investment income by business segment (Details) - USD ($) $ in Millions | 3 Months Ended | 12 Months Ended | |||||||||
Dec. 31, 2015 | Sep. 30, 2015 | Jun. 30, 2015 | Mar. 31, 2015 | Dec. 31, 2014 | Sep. 30, 2014 | Jun. 30, 2014 | Mar. 31, 2014 | Dec. 31, 2015 | Dec. 31, 2014 | Dec. 31, 2013 | |
Segment Reporting Information [Line Items] | |||||||||||
Fiduciary investment income | $ 5 | $ 6 | $ 5 | $ 5 | $ 7 | $ 7 | $ 6 | $ 6 | $ 21 | $ 26 | $ 28 |
HR Solutions [Member] | |||||||||||
Segment Reporting Information [Line Items] | |||||||||||
Fiduciary investment income | 0 | 0 | 0 | ||||||||
Risk Solutions [Member] | |||||||||||
Segment Reporting Information [Line Items] | |||||||||||
Fiduciary investment income | $ 21 | $ 26 | $ 28 |
Segment Information - Schedu121
Segment Information - Schedule of reconciliation of segment income before tax to income from continuing operations before income taxes (Details) - USD ($) $ in Millions | 3 Months Ended | 12 Months Ended | |||||||||
Dec. 31, 2015 | Sep. 30, 2015 | Jun. 30, 2015 | Mar. 31, 2015 | Dec. 31, 2014 | Sep. 30, 2014 | Jun. 30, 2014 | Mar. 31, 2014 | Dec. 31, 2015 | Dec. 31, 2014 | Dec. 31, 2013 | |
Segment Reporting Information [Line Items] | |||||||||||
Operating income from continuing operations before income taxes | $ 717 | $ 413 | $ 277 | $ 441 | $ 635 | $ 417 | $ 445 | $ 469 | $ 1,848 | $ 1,966 | $ 1,671 |
Interest income | 14 | 10 | 9 | ||||||||
Interest expense | (273) | (255) | (210) | ||||||||
Other income | 100 | 44 | 68 | ||||||||
Income before income taxes | 1,689 | 1,765 | 1,538 | ||||||||
Operating Segments [Member] | |||||||||||
Segment Reporting Information [Line Items] | |||||||||||
Operating income from continuing operations before income taxes | 2,042 | 2,133 | 1,858 | ||||||||
Operating Segments [Member] | Risk Solutions [Member] | |||||||||||
Segment Reporting Information [Line Items] | |||||||||||
Operating income from continuing operations before income taxes | 1,506 | 1,648 | 1,540 | ||||||||
Operating Segments [Member] | HR Solutions [Member] | |||||||||||
Segment Reporting Information [Line Items] | |||||||||||
Operating income from continuing operations before income taxes | 536 | 485 | 318 | ||||||||
Segment Reconciling Items [Member] | |||||||||||
Segment Reporting Information [Line Items] | |||||||||||
Operating income from continuing operations before income taxes | $ (194) | $ (167) | $ (187) |
Segment Information - Schedu122
Segment Information - Schedule of consolidated revenue by geographic area (Details) - USD ($) $ in Millions | 3 Months Ended | 12 Months Ended | |||||||||
Dec. 31, 2015 | Sep. 30, 2015 | Jun. 30, 2015 | Mar. 31, 2015 | Dec. 31, 2014 | Sep. 30, 2014 | Jun. 30, 2014 | Mar. 31, 2014 | Dec. 31, 2015 | Dec. 31, 2014 | Dec. 31, 2013 | |
Revenues from External Customers and Long-Lived Assets [Line Items] | |||||||||||
Revenue | $ 3,288 | $ 2,742 | $ 2,805 | $ 2,847 | $ 3,299 | $ 2,880 | $ 2,919 | $ 2,947 | $ 11,682 | $ 12,045 | $ 11,815 |
United States [Member] | |||||||||||
Revenues from External Customers and Long-Lived Assets [Line Items] | |||||||||||
Revenue | 6,063 | 5,824 | 5,574 | ||||||||
Americas other than U.S. [Member] | |||||||||||
Revenues from External Customers and Long-Lived Assets [Line Items] | |||||||||||
Revenue | 1,053 | 1,176 | 1,214 | ||||||||
United Kingdom [Member] | |||||||||||
Revenues from External Customers and Long-Lived Assets [Line Items] | |||||||||||
Revenue | 1,527 | 1,623 | 1,544 | ||||||||
Europe, Middle East and Africa [Member] | |||||||||||
Revenues from External Customers and Long-Lived Assets [Line Items] | |||||||||||
Revenue | 1,909 | 2,189 | 2,304 | ||||||||
Asia Pacific [Member] | |||||||||||
Revenues from External Customers and Long-Lived Assets [Line Items] | |||||||||||
Revenue | $ 1,130 | $ 1,233 | $ 1,179 |
Segment Information - Schedu123
Segment Information - Schedule of consolidated non-current assets by geographic area (Details) - USD ($) $ in Millions | Dec. 31, 2015 | Dec. 31, 2014 |
Revenues from External Customers and Long-Lived Assets [Line Items] | ||
Long-lived assets | $ 13,051 | $ 13,805 |
United States [Member] | ||
Revenues from External Customers and Long-Lived Assets [Line Items] | ||
Long-lived assets | 7,072 | 7,793 |
Europe, Middle East and Africa [Member] | ||
Revenues from External Customers and Long-Lived Assets [Line Items] | ||
Long-lived assets | 2,270 | 2,179 |
Asia Pacific [Member] | ||
Revenues from External Customers and Long-Lived Assets [Line Items] | ||
Long-lived assets | 570 | 640 |
Americas other than U.S. [Member] | ||
Revenues from External Customers and Long-Lived Assets [Line Items] | ||
Long-lived assets | 416 | 493 |
United Kingdom [Member] | ||
Revenues from External Customers and Long-Lived Assets [Line Items] | ||
Long-lived assets | $ 2,723 | $ 2,700 |
Guarantee of Registered Secu124
Guarantee of Registered Securities - Narrative (Details) | Dec. 31, 2015 |
3.125% Senior Notes Percent Due 2016 [Member] | |
Condensed Financial Statements, Captions [Line Items] | |
Interest rate on debt ( in percentage) | 3.125% |
5.00% Senior Notes due September 2020 | |
Condensed Financial Statements, Captions [Line Items] | |
Interest rate on debt ( in percentage) | 5.00% |
8.205% Junior Subordinated Deferrable Interest Debentures Percent Due 2027 [Member] | |
Condensed Financial Statements, Captions [Line Items] | |
Interest rate on debt ( in percentage) | 8.205% |
6.25% Senior Notes due September 2040 | |
Condensed Financial Statements, Captions [Line Items] | |
Interest rate on debt ( in percentage) | 6.25% |
4.250% Notes Due 2042 [Member] | |
Condensed Financial Statements, Captions [Line Items] | |
Interest rate on debt ( in percentage) | 4.25% |
4.45% Senior Notes due May 2043 | |
Condensed Financial Statements, Captions [Line Items] | |
Interest rate on debt ( in percentage) | 4.45% |
4.00% Senior Notes due November 2023 | |
Condensed Financial Statements, Captions [Line Items] | |
Interest rate on debt ( in percentage) | 4.00% |
2.875% Senior Notes due May 2026 (EUR 500M) | |
Condensed Financial Statements, Captions [Line Items] | |
Interest rate on debt ( in percentage) | 2.875% |
3.50% Senior Notes due June 2024 | |
Condensed Financial Statements, Captions [Line Items] | |
Interest rate on debt ( in percentage) | 3.50% |
4.60% notes due May 2044 [Member] | |
Condensed Financial Statements, Captions [Line Items] | |
Interest rate on debt ( in percentage) | 4.60% |
4.75% Senior Notes due 2045 | Senior Notes [Member] | |
Condensed Financial Statements, Captions [Line Items] | |
Interest rate on debt ( in percentage) | 4.75% |
2.80% Senior Notes due 2021 | Senior Notes [Member] | |
Condensed Financial Statements, Captions [Line Items] | |
Interest rate on debt ( in percentage) | 2.80% |
Guarantee of Registered Secu125
Guarantee of Registered Securities - Condensed Consolidating Statement of Income (Details) - USD ($) $ in Millions | 3 Months Ended | 12 Months Ended | |||||||||
Dec. 31, 2015 | Sep. 30, 2015 | Jun. 30, 2015 | Mar. 31, 2015 | Dec. 31, 2014 | Sep. 30, 2014 | Jun. 30, 2014 | Mar. 31, 2014 | Dec. 31, 2015 | Dec. 31, 2014 | Dec. 31, 2013 | |
Revenue | |||||||||||
Commissions, fees and other | $ 3,283 | $ 2,736 | $ 2,800 | $ 2,842 | $ 3,292 | $ 2,873 | $ 2,913 | $ 2,941 | $ 11,661 | $ 12,019 | $ 11,787 |
Fiduciary investment income | 5 | 6 | 5 | 5 | 7 | 7 | 6 | 6 | 21 | 26 | 28 |
Total revenue | 3,288 | 2,742 | 2,805 | 2,847 | 3,299 | 2,880 | 2,919 | 2,947 | 11,682 | 12,045 | 11,815 |
Expenses | |||||||||||
Compensation and benefits | 6,837 | 7,014 | 6,945 | ||||||||
Other general expenses | 2,997 | 3,065 | 3,199 | ||||||||
Total operating expenses | 9,834 | 10,079 | 10,144 | ||||||||
Operating income | 717 | 413 | 277 | 441 | 635 | 417 | 445 | 469 | 1,848 | 1,966 | 1,671 |
Interest income | 14 | 10 | 9 | ||||||||
Interest expense | (273) | (255) | (210) | ||||||||
Intercompany interest income (expense) | 0 | 0 | 0 | ||||||||
Intercompany other income (expense) | 0 | 0 | 0 | ||||||||
Other income | 100 | 44 | 68 | ||||||||
Income before income taxes | 1,689 | 1,765 | 1,538 | ||||||||
Income tax expense (benefit) | 267 | 334 | 390 | ||||||||
Income (loss) before equity in earnings of subsidiaries | 1,422 | 1,431 | 1,148 | ||||||||
Equity in earnings of subsidiaries, net of tax | 0 | 0 | 0 | ||||||||
Net income | 590 | 303 | 188 | 341 | 467 | 315 | 313 | 336 | 1,422 | 1,431 | 1,148 |
Less: Net income attributable to noncontrolling interests | 6 | 8 | 10 | 13 | 8 | 6 | 9 | 11 | 37 | 34 | 35 |
Net income attributable to Aon shareholders | $ 584 | $ 295 | $ 178 | $ 328 | $ 459 | $ 309 | $ 304 | $ 325 | 1,385 | 1,397 | 1,113 |
Aon plc [Member] | |||||||||||
Revenue | |||||||||||
Commissions, fees and other | 0 | 0 | 3 | ||||||||
Fiduciary investment income | 0 | 0 | 0 | ||||||||
Total revenue | 0 | 0 | 3 | ||||||||
Expenses | |||||||||||
Compensation and benefits | 136 | 140 | 111 | ||||||||
Other general expenses | 8 | 3 | 0 | ||||||||
Total operating expenses | 144 | 143 | 111 | ||||||||
Operating income | (144) | (143) | (108) | ||||||||
Interest income | (19) | (9) | 0 | ||||||||
Interest expense | (121) | (75) | (20) | ||||||||
Intercompany interest income (expense) | 429 | 449 | 120 | ||||||||
Intercompany other income (expense) | 302 | 342 | 38 | ||||||||
Other income | (1) | 2 | 0 | ||||||||
Income before income taxes | 446 | 566 | 30 | ||||||||
Income tax expense (benefit) | 45 | 74 | 12 | ||||||||
Income (loss) before equity in earnings of subsidiaries | 401 | 492 | 18 | ||||||||
Equity in earnings of subsidiaries, net of tax | 984 | 905 | 1,095 | ||||||||
Net income | 1,385 | 1,397 | 1,113 | ||||||||
Less: Net income attributable to noncontrolling interests | 0 | 0 | 0 | ||||||||
Net income attributable to Aon shareholders | 1,385 | 1,397 | 1,113 | ||||||||
Aon Corporation [Member] | |||||||||||
Revenue | |||||||||||
Commissions, fees and other | 0 | 0 | 0 | ||||||||
Fiduciary investment income | 0 | 0 | 0 | ||||||||
Total revenue | 0 | 0 | 0 | ||||||||
Expenses | |||||||||||
Compensation and benefits | 32 | 16 | 50 | ||||||||
Other general expenses | 7 | 5 | 0 | ||||||||
Total operating expenses | 39 | 21 | 50 | ||||||||
Operating income | (39) | (21) | (50) | ||||||||
Interest income | 14 | 2 | 3 | ||||||||
Interest expense | (130) | (139) | (138) | ||||||||
Intercompany interest income (expense) | (479) | (298) | 24 | ||||||||
Intercompany other income (expense) | (422) | (390) | (168) | ||||||||
Other income | 0 | 5 | 19 | ||||||||
Income before income taxes | (1,056) | (841) | (310) | ||||||||
Income tax expense (benefit) | (262) | (192) | (64) | ||||||||
Income (loss) before equity in earnings of subsidiaries | (794) | (649) | (246) | ||||||||
Equity in earnings of subsidiaries, net of tax | 1,319 | 1,214 | 1,061 | ||||||||
Net income | 525 | 565 | 815 | ||||||||
Less: Net income attributable to noncontrolling interests | 0 | 0 | 0 | ||||||||
Net income attributable to Aon shareholders | 525 | 565 | 815 | ||||||||
Other Non-Guarantor Subsidiaries [Member] | |||||||||||
Revenue | |||||||||||
Commissions, fees and other | 11,661 | 12,019 | 11,784 | ||||||||
Fiduciary investment income | 21 | 26 | 28 | ||||||||
Total revenue | 11,682 | 12,045 | 11,812 | ||||||||
Expenses | |||||||||||
Compensation and benefits | 6,669 | 6,858 | 6,784 | ||||||||
Other general expenses | 2,982 | 3,057 | 3,199 | ||||||||
Total operating expenses | 9,651 | 9,915 | 9,983 | ||||||||
Operating income | 2,031 | 2,130 | 1,829 | ||||||||
Interest income | 19 | 17 | 6 | ||||||||
Interest expense | (22) | (41) | (52) | ||||||||
Intercompany interest income (expense) | 50 | (151) | (144) | ||||||||
Intercompany other income (expense) | 120 | 48 | 130 | ||||||||
Other income | 101 | 37 | 49 | ||||||||
Income before income taxes | 2,299 | 2,040 | 1,818 | ||||||||
Income tax expense (benefit) | 484 | 452 | 442 | ||||||||
Income (loss) before equity in earnings of subsidiaries | 1,815 | 1,588 | 1,376 | ||||||||
Equity in earnings of subsidiaries, net of tax | 525 | 565 | 815 | ||||||||
Net income | 2,340 | 2,153 | 2,191 | ||||||||
Less: Net income attributable to noncontrolling interests | 37 | 34 | 35 | ||||||||
Net income attributable to Aon shareholders | 2,303 | 2,119 | 2,156 | ||||||||
Consolidating Adjustments [Member] | |||||||||||
Revenue | |||||||||||
Commissions, fees and other | 0 | 0 | 0 | ||||||||
Fiduciary investment income | 0 | 0 | 0 | ||||||||
Total revenue | 0 | 0 | 0 | ||||||||
Expenses | |||||||||||
Compensation and benefits | 0 | 0 | 0 | ||||||||
Other general expenses | 0 | 0 | 0 | ||||||||
Total operating expenses | 0 | 0 | 0 | ||||||||
Operating income | 0 | 0 | 0 | ||||||||
Interest income | 0 | 0 | 0 | ||||||||
Interest expense | 0 | 0 | 0 | ||||||||
Intercompany interest income (expense) | 0 | 0 | 0 | ||||||||
Intercompany other income (expense) | 0 | 0 | 0 | ||||||||
Other income | 0 | 0 | 0 | ||||||||
Income before income taxes | 0 | 0 | 0 | ||||||||
Income tax expense (benefit) | 0 | 0 | 0 | ||||||||
Income (loss) before equity in earnings of subsidiaries | 0 | 0 | 0 | ||||||||
Equity in earnings of subsidiaries, net of tax | (2,828) | (2,684) | (2,971) | ||||||||
Net income | (2,828) | (2,684) | (2,971) | ||||||||
Less: Net income attributable to noncontrolling interests | 0 | 0 | 0 | ||||||||
Net income attributable to Aon shareholders | $ (2,828) | $ (2,684) | $ (2,971) |
Guarantee of Registered Secu126
Guarantee of Registered Securities - Condensed Consolidating Statement of Comprehensive Income (Details) - USD ($) $ in Millions | 3 Months Ended | 12 Months Ended | |||||||||
Dec. 31, 2015 | Sep. 30, 2015 | Jun. 30, 2015 | Mar. 31, 2015 | Dec. 31, 2014 | Sep. 30, 2014 | Jun. 30, 2014 | Mar. 31, 2014 | Dec. 31, 2015 | Dec. 31, 2014 | Dec. 31, 2013 | |
Condensed Financial Statements, Captions [Line Items] | |||||||||||
Net income | $ 590 | $ 303 | $ 188 | $ 341 | $ 467 | $ 315 | $ 313 | $ 336 | $ 1,422 | $ 1,431 | $ 1,148 |
Less: Net income attributable to noncontrolling interests | 6 | 8 | 10 | 13 | 8 | 6 | 9 | 11 | 37 | 34 | 35 |
Net income attributable to Aon shareholders | $ 584 | $ 295 | $ 178 | $ 328 | $ 459 | $ 309 | $ 304 | $ 325 | 1,385 | 1,397 | 1,113 |
Net change in fair value of financial instruments | (8) | 4 | 7 | ||||||||
Change in fair value of derivatives | 7 | ||||||||||
Foreign currency translation adjustments | (442) | (507) | (65) | ||||||||
Post-retirement benefit obligation | 155 | (260) | 293 | ||||||||
Total other comprehensive (loss) income | (295) | (763) | 235 | ||||||||
Equity in other comprehensive loss of subsidiaries, net of tax | 0 | 0 | 0 | ||||||||
Less: Other comprehensive loss attributable to noncontrolling interests | (6) | (3) | (1) | ||||||||
Total other comprehensive (loss) income attributable to Aon shareholders | (289) | (760) | 236 | ||||||||
Comprehensive income attributable to Aon shareholders | 1,096 | 637 | 1,349 | ||||||||
Aon plc [Member] | |||||||||||
Condensed Financial Statements, Captions [Line Items] | |||||||||||
Net income | 1,385 | 1,397 | 1,113 | ||||||||
Less: Net income attributable to noncontrolling interests | 0 | 0 | 0 | ||||||||
Net income attributable to Aon shareholders | 1,385 | 1,397 | 1,113 | ||||||||
Net change in fair value of financial instruments | 0 | 0 | |||||||||
Change in fair value of derivatives | 0 | ||||||||||
Foreign currency translation adjustments | 0 | 0 | 0 | ||||||||
Post-retirement benefit obligation | 0 | 0 | 0 | ||||||||
Total other comprehensive (loss) income | 0 | 0 | 0 | ||||||||
Equity in other comprehensive loss of subsidiaries, net of tax | (289) | (760) | 236 | ||||||||
Less: Other comprehensive loss attributable to noncontrolling interests | 0 | 0 | 0 | ||||||||
Total other comprehensive (loss) income attributable to Aon shareholders | (289) | (760) | 236 | ||||||||
Comprehensive income attributable to Aon shareholders | 1,096 | 637 | 1,349 | ||||||||
Aon Corporation [Member] | |||||||||||
Condensed Financial Statements, Captions [Line Items] | |||||||||||
Net income | 525 | 565 | 815 | ||||||||
Less: Net income attributable to noncontrolling interests | 0 | 0 | 0 | ||||||||
Net income attributable to Aon shareholders | 525 | 565 | 815 | ||||||||
Net change in fair value of financial instruments | 0 | (3) | |||||||||
Change in fair value of derivatives | 5 | ||||||||||
Foreign currency translation adjustments | (47) | (31) | (60) | ||||||||
Post-retirement benefit obligation | 12 | (315) | 223 | ||||||||
Total other comprehensive (loss) income | (35) | (349) | 168 | ||||||||
Equity in other comprehensive loss of subsidiaries, net of tax | (268) | (411) | 69 | ||||||||
Less: Other comprehensive loss attributable to noncontrolling interests | 0 | 0 | 0 | ||||||||
Total other comprehensive (loss) income attributable to Aon shareholders | (303) | (760) | 237 | ||||||||
Comprehensive income attributable to Aon shareholders | 222 | (195) | 1,052 | ||||||||
Other Non-Guarantor Subsidiaries [Member] | |||||||||||
Condensed Financial Statements, Captions [Line Items] | |||||||||||
Net income | 2,340 | 2,153 | 2,191 | ||||||||
Less: Net income attributable to noncontrolling interests | 37 | 34 | 35 | ||||||||
Net income attributable to Aon shareholders | 2,303 | 2,119 | 2,156 | ||||||||
Net change in fair value of financial instruments | (8) | 7 | |||||||||
Change in fair value of derivatives | 2 | ||||||||||
Foreign currency translation adjustments | (395) | (476) | (5) | ||||||||
Post-retirement benefit obligation | 143 | 55 | 70 | ||||||||
Total other comprehensive (loss) income | (260) | (414) | 67 | ||||||||
Equity in other comprehensive loss of subsidiaries, net of tax | (303) | (760) | 237 | ||||||||
Less: Other comprehensive loss attributable to noncontrolling interests | (6) | (3) | (1) | ||||||||
Total other comprehensive (loss) income attributable to Aon shareholders | (557) | (1,171) | 305 | ||||||||
Comprehensive income attributable to Aon shareholders | 1,746 | 948 | 2,461 | ||||||||
Consolidating Adjustments [Member] | |||||||||||
Condensed Financial Statements, Captions [Line Items] | |||||||||||
Net income | (2,828) | (2,684) | (2,971) | ||||||||
Less: Net income attributable to noncontrolling interests | 0 | 0 | 0 | ||||||||
Net income attributable to Aon shareholders | (2,828) | (2,684) | (2,971) | ||||||||
Net change in fair value of financial instruments | 0 | 0 | |||||||||
Change in fair value of derivatives | 0 | ||||||||||
Foreign currency translation adjustments | 0 | 0 | 0 | ||||||||
Post-retirement benefit obligation | 0 | 0 | 0 | ||||||||
Total other comprehensive (loss) income | 0 | 0 | 0 | ||||||||
Equity in other comprehensive loss of subsidiaries, net of tax | 860 | 1,931 | (542) | ||||||||
Less: Other comprehensive loss attributable to noncontrolling interests | 0 | 0 | 0 | ||||||||
Total other comprehensive (loss) income attributable to Aon shareholders | 860 | 1,931 | (542) | ||||||||
Comprehensive income attributable to Aon shareholders | $ (1,968) | $ (753) | $ (3,513) |
Guarantee of Registered Secu127
Guarantee of Registered Securities - Condensed Consolidating Statement of Financial Position (Details) - USD ($) $ in Millions | Dec. 31, 2015 | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 |
CURRENT ASSETS : | ||||
Cash and cash equivalents | $ 384 | $ 374 | $ 477 | $ 291 |
Short-term investments | 356 | 394 | ||
Receivables, net | 2,734 | 2,815 | ||
Fiduciary assets | 9,932 | 11,638 | ||
Intercompany receivables | 0 | 0 | ||
Other current assets | 566 | 602 | ||
Total Current Assets | 13,972 | 15,823 | ||
Goodwill | 8,448 | 8,860 | 8,997 | |
Intangible assets, net | 2,180 | 2,520 | ||
Fixed assets, net | 765 | 765 | ||
Non-current deferred tax assets | 141 | 144 | ||
Intercompany receivables | 0 | 0 | ||
Prepaid pension | 1,033 | 933 | ||
Other non-current assets | 625 | 727 | ||
Investment in subsidiary | 0 | 0 | ||
TOTAL ASSETS | 27,164 | 29,772 | ||
CURRENT LIABILITIES | ||||
Fiduciary liabilities | 9,932 | 11,638 | ||
Short-term debt and current portion of long-term debt | 562 | 783 | ||
Accounts payable and accrued liabilities | 1,772 | 1,805 | ||
Intercompany payables | 0 | 0 | ||
Other current liabilities | 820 | 788 | ||
Total Current Liabilities | 13,086 | 15,014 | ||
Long-term debt | 5,175 | 4,799 | ||
Deferred tax liabilities | 176 | 313 | ||
Pension, other post-retirement and other post-employment liabilities | 1,795 | 2,141 | ||
Intercompany payables | 0 | 0 | ||
Other non-current liabilities | 769 | 874 | ||
TOTAL LIABILITIES | 21,001 | 23,141 | ||
TOTAL AON SHAREHOLDERS’ EQUITY | 6,106 | 6,571 | ||
Noncontrolling interests | 57 | 60 | ||
TOTAL EQUITY | 6,163 | 6,631 | 8,195 | 7,805 |
TOTAL LIABILITIES AND EQUITY | 27,164 | 29,772 | ||
Aon plc [Member] | ||||
CURRENT ASSETS : | ||||
Cash and cash equivalents | 0 | 0 | 0 | 131 |
Short-term investments | 0 | 0 | ||
Receivables, net | 1 | 0 | ||
Fiduciary assets | 0 | 0 | ||
Intercompany receivables | 432 | 455 | ||
Other current assets | 3 | 2 | ||
Total Current Assets | 436 | 457 | ||
Goodwill | 0 | 0 | ||
Intangible assets, net | 0 | 0 | ||
Fixed assets, net | 0 | 0 | ||
Non-current deferred tax assets | 154 | 159 | ||
Intercompany receivables | 375 | 7,399 | ||
Prepaid pension | 0 | 0 | ||
Other non-current assets | 28 | 20 | ||
Investment in subsidiary | 11,804 | 4,962 | ||
TOTAL ASSETS | 12,797 | 12,997 | ||
CURRENT LIABILITIES | ||||
Fiduciary liabilities | 0 | 0 | ||
Short-term debt and current portion of long-term debt | 0 | 0 | ||
Accounts payable and accrued liabilities | 2,988 | 3,755 | ||
Intercompany payables | 167 | 122 | ||
Other current liabilities | 47 | 0 | ||
Total Current Liabilities | 3,202 | 3,877 | ||
Long-term debt | 3,482 | 2,544 | ||
Deferred tax liabilities | 0 | 0 | ||
Pension, other post-retirement and other post-employment liabilities | 0 | 0 | ||
Intercompany payables | 0 | 0 | ||
Other non-current liabilities | 7 | 5 | ||
TOTAL LIABILITIES | 6,691 | 6,426 | ||
TOTAL AON SHAREHOLDERS’ EQUITY | 6,106 | 6,571 | ||
Noncontrolling interests | 0 | 0 | ||
TOTAL EQUITY | 6,106 | 6,571 | ||
TOTAL LIABILITIES AND EQUITY | 12,797 | 12,997 | ||
Aon Corporation [Member] | ||||
CURRENT ASSETS : | ||||
Cash and cash equivalents | 2,083 | 2,727 | 247 | 199 |
Short-term investments | 209 | 165 | ||
Receivables, net | 0 | 0 | ||
Fiduciary assets | 0 | 0 | ||
Intercompany receivables | 1,950 | 2,814 | ||
Other current assets | 218 | 226 | ||
Total Current Assets | 4,460 | 5,932 | ||
Goodwill | 0 | 0 | ||
Intangible assets, net | 0 | 0 | ||
Fixed assets, net | 0 | 0 | ||
Non-current deferred tax assets | 558 | 570 | ||
Intercompany receivables | 526 | 600 | ||
Prepaid pension | 6 | 6 | ||
Other non-current assets | 124 | 121 | ||
Investment in subsidiary | 16,534 | 15,200 | ||
TOTAL ASSETS | 22,208 | 22,429 | ||
CURRENT LIABILITIES | ||||
Fiduciary liabilities | 0 | 0 | ||
Short-term debt and current portion of long-term debt | 550 | 767 | ||
Accounts payable and accrued liabilities | 45 | 58 | ||
Intercompany payables | 9,518 | 8,960 | ||
Other current liabilities | 56 | 49 | ||
Total Current Liabilities | 10,169 | 9,834 | ||
Long-term debt | 1,418 | 1,917 | ||
Deferred tax liabilities | 0 | 0 | ||
Pension, other post-retirement and other post-employment liabilities | 1,313 | 1,396 | ||
Intercompany payables | 8,799 | 7,277 | ||
Other non-current liabilities | 140 | 125 | ||
TOTAL LIABILITIES | 21,839 | 20,549 | ||
TOTAL AON SHAREHOLDERS’ EQUITY | 369 | 1,880 | ||
Noncontrolling interests | 0 | 0 | ||
TOTAL EQUITY | 369 | 1,880 | ||
TOTAL LIABILITIES AND EQUITY | 22,208 | 22,429 | ||
Other Non-Guarantor Subsidiaries [Member] | ||||
CURRENT ASSETS : | ||||
Cash and cash equivalents | 1,242 | 1,361 | 1,246 | 0 |
Short-term investments | 147 | 229 | ||
Receivables, net | 2,733 | 2,815 | ||
Fiduciary assets | 9,932 | 11,638 | ||
Intercompany receivables | 7,957 | 9,156 | ||
Other current assets | 347 | 407 | ||
Total Current Assets | 22,358 | 25,606 | ||
Goodwill | 8,448 | 8,860 | ||
Intangible assets, net | 2,180 | 2,520 | ||
Fixed assets, net | 765 | 765 | ||
Non-current deferred tax assets | 107 | 113 | ||
Intercompany receivables | 8,633 | 111 | ||
Prepaid pension | 1,027 | 927 | ||
Other non-current assets | 557 | 678 | ||
Investment in subsidiary | 369 | 1,880 | ||
TOTAL ASSETS | 44,444 | 41,460 | ||
CURRENT LIABILITIES | ||||
Fiduciary liabilities | 9,932 | 11,638 | ||
Short-term debt and current portion of long-term debt | 12 | 16 | ||
Accounts payable and accrued liabilities | 1,680 | 1,706 | ||
Intercompany payables | 654 | 3,343 | ||
Other current liabilities | 720 | 772 | ||
Total Current Liabilities | 12,998 | 17,475 | ||
Long-term debt | 275 | 338 | ||
Deferred tax liabilities | 854 | 1,011 | ||
Pension, other post-retirement and other post-employment liabilities | 482 | 745 | ||
Intercompany payables | 735 | 833 | ||
Other non-current liabilities | 705 | 836 | ||
TOTAL LIABILITIES | 16,049 | 21,238 | ||
TOTAL AON SHAREHOLDERS’ EQUITY | 28,338 | 20,162 | ||
Noncontrolling interests | 57 | 60 | ||
TOTAL EQUITY | 28,395 | 20,222 | ||
TOTAL LIABILITIES AND EQUITY | 44,444 | 41,460 | ||
Consolidating Adjustments [Member] | ||||
CURRENT ASSETS : | ||||
Cash and cash equivalents | (2,941) | (3,714) | $ (1,016) | $ (39) |
Short-term investments | 0 | 0 | ||
Receivables, net | 0 | 0 | ||
Fiduciary assets | 0 | 0 | ||
Intercompany receivables | (10,339) | (12,425) | ||
Other current assets | (2) | (33) | ||
Total Current Assets | (13,282) | (16,172) | ||
Goodwill | 0 | 0 | ||
Intangible assets, net | 0 | 0 | ||
Fixed assets, net | 0 | 0 | ||
Non-current deferred tax assets | (678) | (698) | ||
Intercompany receivables | (9,534) | (8,110) | ||
Prepaid pension | 0 | 0 | ||
Other non-current assets | (84) | (92) | ||
Investment in subsidiary | (28,707) | (22,042) | ||
TOTAL ASSETS | (52,285) | (47,114) | ||
CURRENT LIABILITIES | ||||
Fiduciary liabilities | 0 | 0 | ||
Short-term debt and current portion of long-term debt | 0 | 0 | ||
Accounts payable and accrued liabilities | (2,941) | (3,714) | ||
Intercompany payables | (10,339) | (12,425) | ||
Other current liabilities | (3) | (33) | ||
Total Current Liabilities | (13,283) | (16,172) | ||
Long-term debt | 0 | 0 | ||
Deferred tax liabilities | (678) | (698) | ||
Pension, other post-retirement and other post-employment liabilities | 0 | 0 | ||
Intercompany payables | (9,534) | (8,110) | ||
Other non-current liabilities | (83) | (92) | ||
TOTAL LIABILITIES | (23,578) | (25,072) | ||
TOTAL AON SHAREHOLDERS’ EQUITY | (28,707) | (22,042) | ||
Noncontrolling interests | 0 | 0 | ||
TOTAL EQUITY | (28,707) | (22,042) | ||
TOTAL LIABILITIES AND EQUITY | $ (52,285) | $ (47,114) |
Guarantee of Registered Secu128
Guarantee of Registered Securities - Condensed Consolidating Statement of Cash Flows (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2015 | Dec. 31, 2014 | Dec. 31, 2013 | |
CASH FLOWS FROM OPERATING ACTIVITIES | |||
CASH PROVIDED BY (USED FOR) OPERATING ACTIVITIES | $ 2,009 | $ 1,812 | $ 1,753 |
CASH FLOWS FROM INVESTING ACTIVITIES | |||
Proceeds from investments | 220 | 52 | 93 |
Payments for investments | (266) | (20) | (15) |
Net (purchases) sales of short-term investments - non-fiduciary | 9 | 110 | (174) |
Acquisition of businesses, net of cash acquired | (16) | (479) | (54) |
Proceeds from sale of businesses | 205 | 48 | 40 |
Capital expenditures | (290) | (256) | (229) |
CASH USED FOR INVESTING ACTIVITIES | (138) | (545) | (339) |
CASH FLOWS FROM FINANCING ACTIVITIES | |||
Share repurchase | (1,550) | (2,250) | (1,102) |
Advances from (to) affiliates and other (1) | 0 | 0 | 0 |
Issuance of shares for employee benefit plans | (30) | (105) | (22) |
Issuance of debt | 5,351 | 5,239 | 4,906 |
Repayment of debt | (5,098) | (3,918) | (4,679) |
Cash dividends to shareholders | (323) | (273) | (212) |
Purchases of shares from noncontrolling interests | (39) | 4 | (27) |
CASH USED FOR FINANCING ACTIVITIES | (1,689) | (1,303) | (1,136) |
EFFECT OF EXCHANGE RATE CHANGES ON CASH AND CASH EQUIVALENTS | (172) | (67) | (92) |
NET INCREASE (DECREASE) IN CASH AND CASH EQUIVALENTS | 10 | (103) | 186 |
CASH AND CASH EQUIVALENTS AT BEGINNING OF YEAR | 374 | 477 | 291 |
CASH AND CASH EQUIVALENTS AT END OF YEAR | 384 | 374 | 477 |
Aon plc [Member] | |||
CASH FLOWS FROM OPERATING ACTIVITIES | |||
CASH PROVIDED BY (USED FOR) OPERATING ACTIVITIES | 695 | 769 | 70 |
CASH FLOWS FROM INVESTING ACTIVITIES | |||
Proceeds from investments | 0 | 0 | 0 |
Payments for investments | (13) | 0 | 0 |
Net (purchases) sales of short-term investments - non-fiduciary | 0 | 0 | 0 |
Acquisition of businesses, net of cash acquired | 0 | 0 | 0 |
Proceeds from sale of businesses | 0 | 0 | 0 |
Capital expenditures | 0 | 0 | 0 |
CASH USED FOR INVESTING ACTIVITIES | (13) | 0 | 0 |
CASH FLOWS FROM FINANCING ACTIVITIES | |||
Share repurchase | (1,550) | (2,250) | (1,102) |
Advances from (to) affiliates and other (1) | 232 | 19 | 460 |
Issuance of shares for employee benefit plans | (29) | (105) | (22) |
Issuance of debt | 1,318 | 2,908 | 1,730 |
Repayment of debt | (330) | (1,068) | (1,055) |
Cash dividends to shareholders | (323) | (273) | $ (212) |
Purchases of shares from noncontrolling interests | 0 | 0 | |
CASH USED FOR FINANCING ACTIVITIES | (682) | (769) | $ (201) |
EFFECT OF EXCHANGE RATE CHANGES ON CASH AND CASH EQUIVALENTS | 0 | 0 | 0 |
NET INCREASE (DECREASE) IN CASH AND CASH EQUIVALENTS | 0 | 0 | (131) |
CASH AND CASH EQUIVALENTS AT BEGINNING OF YEAR | 0 | 0 | 131 |
CASH AND CASH EQUIVALENTS AT END OF YEAR | 0 | 0 | 0 |
Aon Corporation [Member] | |||
CASH FLOWS FROM OPERATING ACTIVITIES | |||
CASH PROVIDED BY (USED FOR) OPERATING ACTIVITIES | 464 | (927) | (441) |
CASH FLOWS FROM INVESTING ACTIVITIES | |||
Proceeds from investments | 27 | 39 | 8 |
Payments for investments | (47) | (20) | (15) |
Net (purchases) sales of short-term investments - non-fiduciary | (42) | (3) | (74) |
Acquisition of businesses, net of cash acquired | 0 | 0 | 0 |
Proceeds from sale of businesses | 0 | 0 | 7 |
Capital expenditures | 0 | 0 | 0 |
CASH USED FOR INVESTING ACTIVITIES | (62) | 16 | (74) |
CASH FLOWS FROM FINANCING ACTIVITIES | |||
Share repurchase | 0 | 0 | 0 |
Advances from (to) affiliates and other (1) | (326) | 3,215 | 996 |
Issuance of shares for employee benefit plans | 0 | 0 | 0 |
Issuance of debt | 4,026 | 2,326 | 2,944 |
Repayment of debt | (4,746) | (2,150) | (3,377) |
Cash dividends to shareholders | 0 | 0 | 0 |
Purchases of shares from noncontrolling interests | 0 | 0 | 0 |
CASH USED FOR FINANCING ACTIVITIES | (1,046) | 3,391 | 563 |
EFFECT OF EXCHANGE RATE CHANGES ON CASH AND CASH EQUIVALENTS | 0 | 0 | 0 |
NET INCREASE (DECREASE) IN CASH AND CASH EQUIVALENTS | (644) | 2,480 | 48 |
CASH AND CASH EQUIVALENTS AT BEGINNING OF YEAR | 2,727 | 247 | 199 |
CASH AND CASH EQUIVALENTS AT END OF YEAR | 2,083 | 2,727 | 247 |
Other Non-Guarantor Subsidiaries [Member] | |||
CASH FLOWS FROM OPERATING ACTIVITIES | |||
CASH PROVIDED BY (USED FOR) OPERATING ACTIVITIES | 2,523 | 1,970 | 2,124 |
CASH FLOWS FROM INVESTING ACTIVITIES | |||
Proceeds from investments | 193 | 13 | 85 |
Payments for investments | (219) | 0 | 0 |
Net (purchases) sales of short-term investments - non-fiduciary | 51 | 113 | (100) |
Acquisition of businesses, net of cash acquired | (16) | (479) | (54) |
Proceeds from sale of businesses | 205 | 48 | 33 |
Capital expenditures | (290) | (256) | (229) |
CASH USED FOR INVESTING ACTIVITIES | (76) | (561) | (265) |
CASH FLOWS FROM FINANCING ACTIVITIES | |||
Share repurchase | 0 | 0 | 0 |
Advances from (to) affiliates and other (1) | (2,339) | (536) | (479) |
Issuance of shares for employee benefit plans | (1) | 0 | 0 |
Issuance of debt | 7 | 5 | 232 |
Repayment of debt | (22) | (700) | (247) |
Cash dividends to shareholders | 0 | 0 | 0 |
Purchases of shares from noncontrolling interests | (39) | 4 | (27) |
CASH USED FOR FINANCING ACTIVITIES | (2,394) | (1,227) | (521) |
EFFECT OF EXCHANGE RATE CHANGES ON CASH AND CASH EQUIVALENTS | (172) | (67) | (92) |
NET INCREASE (DECREASE) IN CASH AND CASH EQUIVALENTS | (119) | 115 | 1,246 |
CASH AND CASH EQUIVALENTS AT BEGINNING OF YEAR | 1,361 | 1,246 | 0 |
CASH AND CASH EQUIVALENTS AT END OF YEAR | 1,242 | 1,361 | 1,246 |
Consolidating Adjustments [Member] | |||
CASH FLOWS FROM OPERATING ACTIVITIES | |||
CASH PROVIDED BY (USED FOR) OPERATING ACTIVITIES | (1,673) | 0 | 0 |
CASH FLOWS FROM INVESTING ACTIVITIES | |||
Proceeds from investments | 0 | 0 | 0 |
Payments for investments | 13 | 0 | 0 |
Net (purchases) sales of short-term investments - non-fiduciary | 0 | 0 | 0 |
Acquisition of businesses, net of cash acquired | 0 | 0 | 0 |
Proceeds from sale of businesses | 0 | 0 | 0 |
Capital expenditures | 0 | 0 | 0 |
CASH USED FOR INVESTING ACTIVITIES | 13 | 0 | 0 |
CASH FLOWS FROM FINANCING ACTIVITIES | |||
Share repurchase | 0 | 0 | 0 |
Advances from (to) affiliates and other (1) | 2,433 | (2,698) | (977) |
Issuance of shares for employee benefit plans | 0 | 0 | 0 |
Issuance of debt | 0 | 0 | 0 |
Repayment of debt | 0 | 0 | 0 |
Cash dividends to shareholders | 0 | 0 | 0 |
Purchases of shares from noncontrolling interests | 0 | 0 | 0 |
CASH USED FOR FINANCING ACTIVITIES | 2,433 | (2,698) | (977) |
EFFECT OF EXCHANGE RATE CHANGES ON CASH AND CASH EQUIVALENTS | 0 | 0 | 0 |
NET INCREASE (DECREASE) IN CASH AND CASH EQUIVALENTS | 773 | (2,698) | (977) |
CASH AND CASH EQUIVALENTS AT BEGINNING OF YEAR | (3,714) | (1,016) | (39) |
CASH AND CASH EQUIVALENTS AT END OF YEAR | $ (2,941) | $ (3,714) | $ (1,016) |
Quarterly Financial Data (Un129
Quarterly Financial Data (Unaudited) (Details) - USD ($) $ / shares in Units, shares in Millions, $ in Millions | 3 Months Ended | 12 Months Ended | |||||||||
Dec. 31, 2015 | Sep. 30, 2015 | Jun. 30, 2015 | Mar. 31, 2015 | Dec. 31, 2014 | Sep. 30, 2014 | Jun. 30, 2014 | Mar. 31, 2014 | Dec. 31, 2015 | Dec. 31, 2014 | Dec. 31, 2013 | |
Condensed Consolidating Statement of Income | |||||||||||
Commissions, fees and other revenue | $ 3,283 | $ 2,736 | $ 2,800 | $ 2,842 | $ 3,292 | $ 2,873 | $ 2,913 | $ 2,941 | $ 11,661 | $ 12,019 | $ 11,787 |
Fiduciary investment income | 5 | 6 | 5 | 5 | 7 | 7 | 6 | 6 | 21 | 26 | 28 |
Total revenue | 3,288 | 2,742 | 2,805 | 2,847 | 3,299 | 2,880 | 2,919 | 2,947 | 11,682 | 12,045 | 11,815 |
Operating income | 717 | 413 | 277 | 441 | 635 | 417 | 445 | 469 | 1,848 | 1,966 | 1,671 |
Net income | 590 | 303 | 188 | 341 | 467 | 315 | 313 | 336 | 1,422 | 1,431 | 1,148 |
Less: Net income attributable to noncontrolling interests | 6 | 8 | 10 | 13 | 8 | 6 | 9 | 11 | 37 | 34 | 35 |
Net income attributable to Aon shareholders | $ 584 | $ 295 | $ 178 | $ 328 | $ 459 | $ 309 | $ 304 | $ 325 | $ 1,385 | $ 1,397 | $ 1,113 |
PER SHARE DATA | |||||||||||
Basic net income per share attributable to Aon shareholders (in dollar per share) | $ 2.12 | $ 1.05 | $ 0.63 | $ 1.15 | $ 1.60 | $ 1.06 | $ 1.02 | $ 1.07 | $ 4.93 | $ 4.73 | |
Diluted net income per share attributable to Aon shareholders (in dollars per share) | 2.09 | 1.05 | 0.62 | 1.14 | 1.56 | 1.04 | 1.01 | 1.06 | 4.88 | 4.66 | |
CLASS A ORDINARY SHARE DATA | |||||||||||
Dividends paid per share (in dollars per share) | 0.30 | 0.30 | 0.30 | 0.25 | 0.25 | 0.25 | 0.25 | 0.18 | 1.15 | 0.92 | $ 0.68 |
Price range: | |||||||||||
High (in dollars per share) | 97.79 | 103.38 | 104.70 | 107.08 | 98.1 | 91.28 | 91.07 | 87.45 | 107.08 | 98.1 | |
Low (in dollars per share) | $ 86.38 | $ 87.58 | $ 95.32 | $ 89.35 | $ 78.26 | $ 83.06 | $ 78.6 | $ 76.49 | $ 86.38 | $ 76.49 | |
Shares outstanding (in shares) | 269.8 | 273.9 | 279.8 | 281.7 | 280 | 285.1 | 290.5 | 296.5 | 269.8 | 280 | |
Average monthly trading volume (in shares) | 26.6 | 26.5 | 24.9 | 24.5 | 34.1 | 26.3 | 28.5 | 32.6 | 25.6 | 30.4 |