Exhibit 12(a)
Aon Corporation and Consolidated Subsidiaries
Combined With Unconsolidated Subsidiaries
Computation of Ratio of Earnings to Fixed Charges
Nine Months Ended
September 30, Years Ended December 31,
---------------- ------------------------------------------
(millions except ratios) 2000 1999 1999 1998 1997 1996 1995
------- -------- ------- ------- ------- -------- -------
Income from continuing operations
before provision for income taxes (1) $ 690 $ 595 $ 635 $ 931 $ 542 $ 446 $ 458
ADD BACK FIXED CHARGES:
Interest on indebtedness 102 74 105 87 70 45 56
Interest on ESOP - 1 1 2 3 4 5
Portion of rents representative of
interest factor 37 38 49 51 44 29 21
------- -------- ------- ------- ------- -------- -------
INCOME AS ADJUSTED $ 829 $ 708 $ 790 $1,071 $ 659 $ 524 $ 540
======= ======== ======= ======= ======= ======== =======
FIXED CHARGES:
Interest on indebtedness $ 102 $ 74 $ 105 $ 87 $ 70 $ 45 $ 56
Interest on ESOP - 1 1 2 3 4 5
Portion of rents representative of
interest factor 37 38 49 51 44 29 21
------- -------- ------- ------- ------- -------- -------
TOTAL FIXED CHARGES $ 139 $ 113 $ 155 $ 140 $ 117 $ 78 $ 82
======= ======== ======= ======= ======= ======== =======
RATIO OF EARNINGS TO FIXED CHARGES 6.0 6.3 5.1 7.6 5.6 6.7 6.6
======= ======== ======= ======= ======= ======== =======
<FN>
(1) Income from continuing operations before provision for income taxes and
minority interest includes special charges of $163 million for the nine
months ended September 30, 1999 and $313 million, $172 million and $90
million for the years ended December 31, 1999, 1997 and 1996,
respectively.
</FN>
Exhibit 12(b)
Aon Corporation and Consolidated Subsidiaries
Combined With Unconsolidated Subsidiaries
Computation of Ratio of Earnings to Combined Fixed Charges
and Preferred Stock Dividends
Nine Months Ended
September 30, Years Ended December 31,
--------------- ------------------------------------------
(millions except ratios) 2000 1999 1999 1998 1997 1996 1995
------- ------- -------- ------- -------- ------- --------
Income from continuing operations
before provision for income taxes (1) $ 690 $ 595 $ 635 $ 931 $ 542 $ 446 $ 458
ADD BACK FIXED CHARGES:
Interest on indebtedness 102 74 105 87 70 45 56
Interest on ESOP - 1 1 2 3 4 5
Portion of rents representative of
interest factor 37 38 49 51 44 29 21
------- ------- -------- ------- -------- ------- --------
INCOME AS ADJUSTED $ 829 $ 708 $ 790 $1,071 $ 659 $ 524 $ 540
======= ======= ======== ======= ======== ======= ========
FIXED CHARGES AND PREFERRED STOCK DIVIDENDS:
Interest on indebtedness $ 102 $ 74 $ 105 $ 87 $ 70 $ 45 $ 56
Preferred stock dividends 52 52 70 70 82 29 38
------- ------- -------- ------- -------- ------- --------
INTEREST AND DIVIDENDS 154 126 175 157 152 74 94
Interest on ESOP - 1 1 2 3 4 5
Portion of rents representative of
interest factor 37 38 49 51 44 29 21
------- ------- -------- ------- -------- ------- --------
TOTAL FIXED CHARGES AND PREFERRED
STOCK DIVIDENDS $ 191 $ 165 $ 225 $ 210 $ 199 $ 107 $ 120
======= ======= ======== ======= ======== ======= ========
RATIO OF EARNINGS TO COMBINED FIXED
CHARGES AND PREFERRED STOCK DIVIDENDS (2) 4.3 4.3 3.5 5.1 3.3 4.9 4.5
======= ======= ======== ======= ======== ======= ========
<FN>
(1) Income from continuing operations before provision for income taxes and
minority interest includes special charges of $163 million for the nine
months ended September 30, 1999 and $313 million, $172 million and $90
million for the years ended December 31, 1999, 1997 and 1996,
respectively.
(2) Included in total fixed charges and preferred stock dividends are $49
million for the nine months ended September 30, 2000 and 1999, $66 million
for the years ended December 31, 1999 and 1998, and $64 million for the
year ended December 31, 1997, of pretax distributions on the 8.205%
mandatorily redeemable preferred capital securities which are classified
as "minority interest" on the condensed consolidated statements of income.
</FN>