EXHIBIT 99.1
AMENDED ITEM 6. SELECTED FINANCIAL DATA OF MMC’S ANNUAL REPORT ON FORM 10-K FOR THE FISCAL YEAR ENDED DECEMBER 31, 2008.
Marsh & McLennan Companies, Inc. and Subsidiaries
FIVE-YEAR STATISTICAL SUMMARY OF OPERATIONS
For the Years Ended December 31, (In millions, except per share figures) | 2008 | 2007 | 2006 | 2005 | 2004 | Compound Growth Rate 2003-2008 | ||||||||||||||||
Revenue | $ | 11,518 | $ | 11,135 | $ | 10,293 | $ | 9,875 | $ | 9,863 | 3% | |||||||||||
Expenses: | ||||||||||||||||||||||
Compensation and Benefits | 7,181 | 6,937 | 6,434 | 6,279 | 6,071 | 3% | ||||||||||||||||
Other Operating Expenses | 3,549 | 3,344 | 2,919 | 3,165 | 2,848 | 4% | ||||||||||||||||
Goodwill Impairment Charge | 540 | — | — | — | — | |||||||||||||||||
Regulatory and Other Settlements | — | — | — | 30 | 618 | |||||||||||||||||
Total Expenses | 11,270 | 10,281 | 9,353 | 9,474 | 9,537 | 3% | ||||||||||||||||
Operating Income | 248 | (a) | 854 | (a) | 940 | (a) | 401 | (a) | 326 | (5)% | ||||||||||||
Interest Income | 48 | 95 | 60 | 44 | 20 | |||||||||||||||||
Interest Expense | (220 | ) | (267 | ) | (303 | ) | (332 | ) | (219 | ) | ||||||||||||
Investment Income (Loss) | (12 | ) | 173 | 207 | 183 | 153 | N/A | |||||||||||||||
Income Before Income Taxes | 64 | 855 | 904 | 296 | 280 | (26)% | ||||||||||||||||
Income Taxes | 133 | 298 | 269 | 93 | 99 | |||||||||||||||||
(Loss) Income From Continuing Operations | (69 | ) | 557 | 635 | 203 | 181 | N/A | |||||||||||||||
Discontinued Operations, Net of Tax | 7 | 1,932 | 363 | 207 | 3 | 18% | ||||||||||||||||
Net (Loss) Income | $ | (62 | ) | $ | 2,489 | $ | 998 | $ | 410 | $ | 184 | N/A | ||||||||||
Less: Net Income Attributable to Non-Controlling Interests | 11 | 14 | 8 | 6 | 8 | |||||||||||||||||
Net (Loss) Income attributable to MMC | $ | (73 | ) | $ | 2,475 | $ | 990 | $ | 404 | $ | 176 | |||||||||||
Basic (Loss) Income Per Share Information: | ||||||||||||||||||||||
(Loss) Income From Continuing Operations | $ | (0.14 | ) | $ | 0.98 | $ | 1.12 | $ | 0.37 | $ | 0.33 | N/A | ||||||||||
Income from Discontinued Operations | $ | 0.01 | $ | 3.51 | $ | 0.65 | $ | 0.37 | $ | 0.01 | N/A | |||||||||||
Net (Loss) Income attributable to MMC | $ | (0.13 | ) | $ | 4.49 | $ | 1.77 | $ | 0.74 | $ | 0.34 | N/A | ||||||||||
Average Number of Shares Outstanding | 514 | 539 | 550 | 538 | 529 | |||||||||||||||||
Diluted (Loss) Income Per Share Information: | ||||||||||||||||||||||
(Loss) Income From Continuing Operations | $ | (0.15 | ) | $ | 0.98 | $ | 1.11 | $ | 0.36 | $ | 0.33 | N/A | ||||||||||
(Loss) Income From Discontinued Operations | $ | 0.01 | $ | 3.47 | $ | 0.62 | $ | 0.37 | $ | — | N/A | |||||||||||
Net (Loss) Income attributable to MMC | $ | (0.14 | ) | $ | 4.45 | $ | 1.73 | $ | 0.73 | $ | 0.33 | N/A | ||||||||||
Average Number of Shares Outstanding | 514 | 542 | 553 | 541 | 529 | |||||||||||||||||
Dividends Paid Per Share | $ | 0.80 | $ | 0.76 | $ | 0.68 | $ | 0.68 | $ | 1.30 | ||||||||||||
Return on Average Stockholders’ Equity | N/A | 36 | % | 18 | % | 8 | % | 3 | % | |||||||||||||
Year-end Financial Position: | ||||||||||||||||||||||
Working capital | $ | 1,398 | $ | 1,961 | $ | 1,058 | $ | 1,390 | $ | (258 | ) | |||||||||||
Total assets | $ | 15,206 | $ | 17,359 | $ | 18,137 | $ | 17,892 | $ | 18,498 | ||||||||||||
Long-term debt | $ | 3,194 | $ | 3,604 | $ | 3,860 | $ | 5,044 | $ | 4,691 | ||||||||||||
Stockholders’ equity | $ | 5,760 | $ | 7,853 | $ | 5,842 | $ | 5,402 | $ | 5,101 | ||||||||||||
Total shares outstanding (net of treasury shares) | 514 | 520 | 552 | 546 | 527 | |||||||||||||||||
Other Information: | ||||||||||||||||||||||
Number of employees | 54,000 | 55,700 | 52,300 | 51,900 | 59,300 | |||||||||||||||||
Stock price ranges— | ||||||||||||||||||||||
U.S. exchanges— High | $ | 36.82 | $ | 33.90 | $ | 32.73 | $ | 34.25 | $ | 49.69 | ||||||||||||
— Low | $ | 20.96 | $ | 23.12 | $ | 24.00 | $ | 26.67 | $ | 22.75 | ||||||||||||
| (a) | Includes net restructuring costs of $335 million, $98 million, $87 million and $317 million in 2008, 2007, 2006 and 2005, respectively. |
See Management’s Discussion and Analysis of Financial Condition and Results of Operations, appearing under Part II, Item 7 of this report, for discussion of significant items affecting our results of operations in 2008, 2007 and 2006.
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