Exhibit 99.1
Willis Group Reports Strong Third Quarter 2007 Results
Reported (and Adjusted) Earnings per Diluted Share of $0.46;
Adjusted Earnings per Diluted Share Increased 28 Percent
6 Percent Reported Revenue Growth; 4 Percent Organic Growth in
Commissions and Fees
Reported (and Adjusted) Operating Margin of 16.2 Percent; Adjusted
Operating Margin Increased 110 Basis Points
NEW YORK--(BUSINESS WIRE)--Oct. 24, 2007--Willis Group Holdings
Limited (NYSE: WSH), the global insurance broker, today reported
results for the quarter and nine months ended September 30, 2007.
"Our results this quarter once again illustrate the continued
execution of our Shaping our Future strategy for profitable growth,"
said Joe Plumeri, Chairman and Chief Executive Officer. "We have
delivered yet another quarter with strong new business-driven top line
growth in a soft rate environment, operating margin expansion and
earnings growth."
Third Quarter 2007 Financial Results
Reported net income for the quarter ended September 30, 2007 was
$67 million, or $0.46 per diluted share, compared with $89 million, or
$0.56 per diluted share, a year ago. The results for the quarter ended
September 30, 2006 were affected by a $91 million net of tax gain on
the sale of the Company's London headquarters and significant
expenditure on 2006 Shaping our Future initiatives.
Excluding those items, reported (and adjusted) net income was $67
million for the quarter ended September 30, 2007 compared with
adjusted net income of $57 million a year ago. Adjusted earnings per
diluted share increased 28 percent to $0.46 in the quarter ended
September 30, 2007, up from $0.36 a year ago. Third quarter 2007
earnings per diluted share included a $0.07 benefit from the release
of tax provisions relating to the resolution of prior period tax
positions. Foreign currency translation had a negative impact of $0.02
per diluted share on third quarter 2007 compared with the third
quarter 2006.
Total reported revenues for the quarter ended September 30, 2007
rose 6 percent to $574 million compared to $543 million in the third
quarter 2006. The effect of foreign currency translation increased
reported revenues by 2 percent and net acquisitions had a positive
impact of 1 percent on reported revenues.
Organic growth in commissions and fees, which excludes market
remuneration, was 4 percent in the third quarter 2007. This growth was
attributed to net new business won of 6 percent; there was a negative
2 percent impact from declining premium rates tempered by other market
factors such as higher commission rates, higher insured values and
changes in limits and exposures.
The International business unit contributed 7 percent organic
growth in commissions and fees in the third quarter 2007, North
America contributed 2 percent organic growth and Global, which
comprises Global Specialties and Reinsurance, contributed 2 percent
organic growth. Global Specialties showed double-digit organic revenue
growth offset by weaker Reinsurance organic growth from declining
premium rates and significantly higher retentions by primary
underwriters.
Reported operating margin was 16.2 percent for the quarter ended
September 30, 2007 compared with 17.9 percent for the same period last
year.
Adjusted operating margin was 16.2 percent for the quarter ended
September 30, 2007, an improvement of 110 basis points from 15.1
percent a year ago, excluding the 2006 gain on sale of the Company's
London headquarters and the Shaping our Future initiative expenses.
The margin improvement continued to be driven by execution of our
Shaping our Future initiatives, cost savings from the 2006 charges,
good expense control and lower pension expense. This was tempered by
the effect of foreign currency translation in the third quarter 2007
which reduced adjusted operating margin by approximately 100 basis
points.
We continue to estimate that the annualized net benefit from the
2006 Shaping our Future charges will be approximately $20 million in
2007, $30 million by 2008 and $45 million by 2009.
Reported salaries and benefits expenses were $352 million, or 61.3
percent of total revenues, in the third quarter 2007 compared with
reported salaries and benefits expenses of $383 million, or 70.5
percent of total revenues, a year ago. Excluding the 2006 Shaping our
Future charges, salaries and benefits as a percentage of revenues
decreased to 61.3 percent in the third quarter 2007 from 62.6 percent
a year ago.
Reported (and adjusted) other operating expenses were $116
million, or 20.2 percent of total revenues in the third quarter 2007.
This compares with reported other operating expenses of $138 million,
or 25.4 percent of revenues, and adjusted other operating expenses of
$106 million or 19.5 percent of revenues, in the third quarter 2006.
Practical completion of the new building in London was achieved at the
end of the second quarter 2007; consequently an additional lease
expense of $8 million has been recognized in third quarter 2007
compared to the same period a year ago.
Nine Months 2007 Financial Results
Reported net income for the nine months ended September 30, 2007
was $314 million, or $2.12 per diluted share, compared with $301
million, or $1.89 per diluted share a year ago. The results for the
nine months ended September 30, 2006 were significantly affected by a
$91 million net of tax gain on the sale of the Company's London
headquarters and significant expenditure on 2006 Shaping our Future
initiatives.
Excluding those items, reported (and adjusted) net income for the
nine months ended September 30, 2007 was $314 million compared with
adjusted net income of $269 million a year ago, an increase of 17
percent. Adjusted earnings per diluted share increased 25 percent to
$2.12 in the nine months ended September 30, 2007, up from $1.69 a
year ago. Earnings per diluted share for the nine months ended
September 30, 2007 included a $0.07 benefit from the release of tax
provisions relating to prior period tax positions. Foreign currency
translation had a negative impact of $0.01 on earnings per diluted
share through the nine months ended September 30, 2007 compared with
the same period in 2006.
Total reported revenues for the nine months ended September 30,
2007 were $1.9 billion, an increase of 7 percent compared to the prior
year. The effect of foreign currency translation increased reported
revenues by 2 percent and net acquisitions of operations increased
reported revenues by 1 percent.
Organic growth in commissions and fees was 4 percent for the nine
months ended September 30, 2007. This growth was attributed to net new
business won of 5 percent; there was a negative 1 percent impact from
declining premium rates tempered by other market factors such as
higher commission rates, higher insured values and changes in limits
and exposures.
Reported operating margin was 24.2 percent for the nine months
ended September 30, 2007 compared with 23.2 percent for the same
period last year.
Excluding the 2006 gain on sale of the Company's London
headquarters and the Shaping our Future initiative expenses, adjusted
operating margin was 22.4 percent a year ago compared with 24.2
percent for the nine months ended September 30, 2007, an improvement
of 180 basis points. The margin improvement continued to be driven by
execution of Shaping our Future initiatives, good expense control and
lower pension expense. This was tempered by the negative effect of
foreign currency translation in the nine month ended September 30,
2007 of approximately 100 basis points.
The effective underlying tax rate for the nine months ended
September 30, 2007 was 30.5 percent, excluding the tax effects of the
disposal of the London headquarters, share-based compensation and the
benefit of the release of tax provisions relating to the resolution of
prior period tax positions.
Capital
The Board of Directors today declared a regular quarterly cash
dividend on the Company's common stock of $0.25 per share, an annual
rate of $1.00 per share. The dividend is payable on January 14, 2008
to shareholders of record on December 31, 2007.
The Company made no additional share repurchases in the third
quarter 2007. For the nine months ended September 30, 2007, a total of
11.5 million shares have been repurchased for $458 million under
accelerated share repurchase programs (ASRs) as part of the existing
$1 billion authorization program. The program for the $400 million ASR
announced March 29, 2007 was completed on October 18, 2007 with a
final settlement of $23 million. There is $308 million remaining under
the $1 billion share buyback authorization, which is anticipated to be
utilized by the end of 2008.
During the nine months ended September 30, 2007, the Company
acquired Chicago-based InsuranceNoodle, a leading internet distributor
of U.S. small business property-casualty insurance with annual
revenues of approximately $6 million. The company also purchased an
additional 17 percent holding in Coyle Hamlton Willis, the largest
insurance and reinsurance broker, pensions, actuarial and risk
management consultancy in the Republic of Ireland, raising its total
shareholding to 86 percent.
As at September 30, 2007, cash and cash equivalents totaled $210
million, total debt was $1.2 billion and total stockholders' equity
was approximately $1.3 billion.
Outlook
For the full year 2007, Willis expects to continue to grow organic
revenue and expand adjusted operating margin modestly to approximately
24 percent.
The Company expects to deliver breakout financial performance.
Specifically, by the full year 2010, the Company has set financial
targets of salaries and benefits expense as a percentage of total
revenues to be below 54 percent, adjusted operating margin of 28
percent or better and industry leading organic revenue growth.
"We are building a Company for success in all market environments,
delivering solid, profitable growth this quarter despite the soft
market," said Mr. Plumeri. "Our plan is to continue to execute Shaping
our Future, and drive revenue growth while maintaining our ongoing
expense discipline."
Conference Call and Web Cast
A conference call to discuss third quarter 2007 results will be
held on October 25, 2007 at 8:00 a.m. Eastern Time. To participate in
the live teleconference, please dial (888) 566-5771 (domestic) or +1
(210) 839-8503 (international) with a passcode of "Willis." The live
audio web cast (which will be listen-only) may be accessed at
www.willis.com. This call will be available by replay starting at
approximately 10:00 a.m., Eastern Time, and ending November 25, 2007
at 10:00 p.m. Eastern Time, by calling (866) 431-2816 (domestic) or +1
(203) 369-0947 (international) with no passcode, or by accessing the
website.
Willis Group Holdings Limited is a leading global insurance
broker, developing and delivering professional insurance, reinsurance,
risk management, financial and human resource consulting and actuarial
services to corporations, public entities and institutions around the
world. Including our Associates, we have around 300 offices in some
100 countries, with a global team of approximately 16,000 employees
serving clients in some 190 countries. Additional information on
Willis may be found on its website www.willis.com.
This press release may contain certain statements relating to
future results, which are forward-looking statements as that term is
defined in the Private Securities Litigation Reform Act of 1995. These
forward-looking statements are subject to certain risks and
uncertainties that could cause actual results to differ materially
from historical results or those anticipated, depending on a variety
of factors such as general economic conditions in different countries
around the world, fluctuations in global equity and fixed income
markets, changes in premium rates, the competitive environment and the
actual cost of resolution of contingent liabilities. Further
information concerning the Company and its business, including factors
that potentially could materially affect the Company's financial
results are contained in the Company's filings with the Securities and
Exchange Commission.
This press release includes supplemental financial information
which may contain references to non-GAAP financial measures as defined
in Regulation G of SEC rules. Consistent with Regulation G, a
reconciliation of this supplemental financial information to our
generally accepted accounting principles (GAAP) information follows.
We present such non-GAAP supplemental financial information, as we
believe such information is of interest to the investment community
because it provides additional meaningful methods of evaluating
certain aspects of the Company's operating performance from period to
period on a basis that may not be otherwise apparent on a GAAP basis.
This supplemental financial information should be viewed in addition
to, not in lieu of, the Company's condensed consolidated statements of
operations for the three and nine months ended September 30, 2007.
WILLIS GROUP HOLDINGS LIMITED
CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS
(in millions, except per share data)
(unaudited)
Three months Nine months
ended ended
September 30, September 30,
------------- -------------
2007 2006 2007 2006
------ ------ ------ ------
Revenues
Commissions and fees $ 549 $ 519 $1,867 $1,743
Investment income 25 24 72 64
------ ------ ------ ------
Total Revenues 574 543 1,939 1,807
------ ------ ------ ------
Expenses
Salaries and benefits (including share-
based compensation of $8, $7, $26, $15) 352 383 1,089 1,082
Other operating expenses 116 138 341 351
Depreciation expense and amortization of
intangible assets 16 17 49 46
Gain on disposal of London headquarters (3) (99) (9) (99)
Net loss on disposal of operations - 7 - 7
------ ------ ------ ------
Total Expenses 481 446 1,470 1,387
------ ------ ------ ------
Operating Income 93 97 469 420
Interest expense 17 9 48 27
------ ------ ------ ------
Income before Income Taxes, Interest in
Earnings of Associates and Minority
Interest 76 88 421 393
Income taxes 12 3 116 101
------ ------ ------ ------
Income before Interest in Earnings of
Associates and Minority Interest 64 85 305 292
Interest in earnings of associates, net of
tax 5 6 20 20
Minority interest, net of tax (2) (2) (11) (11)
------ ------ ------ ------
Net Income $ 67 $ 89 $ 314 $ 301
====== ====== ====== ======
Earnings per Share
- Basic $ 0.47 $ 0.57 $ 2.15 $ 1.92
- Diluted $ 0.46 $ 0.56 $ 2.12 $ 1.89
====== ====== ====== ======
Average Number of Shares Outstanding
- Basic 143 157 146 157
- Diluted 145 159 148 159
====== ====== ====== ======
WILLIS GROUP HOLDINGS LIMITED
SUPPLEMENTAL FINANCIAL INFORMATION
(in millions) (unaudited)
1. Definitions of Non-GAAP Financial Measures
We believe that investors' understanding of the Company's performance
is enhanced by our disclosure of the following non-GAAP financial
measures. Our method of calculating these measures may differ from
those used by other companies and therefore comparability may be
limited.
Organic revenue growth
Organic revenue growth excludes the impact of foreign currency
translation, acquisitions and disposals and market remuneration from
reported revenues. We use organic revenue growth as a measure of
business growth generated by operations that were part of the Company
at the end of the period.
Adjusted other operating expenses, adjusted operating income and
adjusted net income
Our 2006 results were impacted by the gain on disposal of our London
headquarters, severance costs and other expenditure on strategic
initiatives, together with net gains/losses on disposal of
operations. We believe that excluding these items from other
operating expenses, operating income and net income as applicable,
along with the GAAP measures, provides a more complete and consistent
comparative analysis of our results of operations.
2. Revenue analysis
Organic revenue growth is defined as revenue growth excluding the
impact of foreign currency translation, acquisitions and disposals
and market remuneration. The percentage change in reported revenues
is the most directly comparable GAAP measure, and the following table
reconciles this change to organic revenue growth by business unit for
the three months ended September 30, 2007:
Three months ended
September 30,
--------------------
%
2007 2006(1) Change
----- ------- ------
Global $161 $160 1%
North America 185 180 3%
International 203 179 13%
----- ------- ------
Commissions and fees 549 519 6%
Investment income 25 24 4%
----- ------- ------
Total revenues $574 $543 6%
===== ======= ======
Change attributable to
-----------------------------------------------
Foreign Acquisitions Organic
currency and Market revenue
translation disposals remuneration growth
------------ ------------ ------------ --------
Global (1)% 0% 0% 2%
North America 0% 1% 0% 2%
International 6% 0% 0% 7%
------------ ------------ ------------ --------
Commissions and fees 2% 0% 0% 4%
Investment income 9% 1% 0% (6)%
------------ ------------ ------------ --------
Total revenues 2% 1% 0% 3%
============ ============ ============ ========
(1) Effective January 1, 2007, we changed our management structure.
Our UK and Irish retail operations, Willis UK and Ireland, which
were previously within our Global division, have been combined with
our previously existing international units to create a single
International segment (Q3 2006 revenue reclassification of $69
million). The new International segment incorporates all our retail
operations outside North America. Our Energy business previously
reported in our North America division is now reported within our
Global division (Q3 2006 revenue reclassification of $5 million).
Our prior period revenue analysis has been adjusted to reflect our
new internal reporting structure.
WILLIS GROUP HOLDINGS LIMITED
SUPPLEMENTAL FINANCIAL INFORMATION
(in millions) (unaudited)
2. Revenue analysis (continued)
The following table reconciles the percentage change in reported
revenues to organic revenue growth by business unit for the nine
months ended September 30, 2007:
Nine months ended
September 30,
---------------------
%
2007 2006(1) Change
------ ------- ------
Global $608 $586 4%
North America 570 548 4%
International 689 609 13%
------ ------- ------
Commissions and fees 1,867 1,743 7%
Investment income 72 64 13%
------ ------- ------
Total revenues $1,939 $1,807 7%
====== ======= ======
Change attributable to
-----------------------------------------------
Foreign Acquisitions Organic
currency and Market revenue
translation disposals remuneration growth
------------ ------------ ------------ --------
Global 1% 1% 0% 2%
North America 0% 0% 0% 4%
International 6% 0% 0% 7%
------------ ------------ ------------ --------
Commissions and fees 2% 1% 0% 4%
Investment income 8% 1% 0% 4%
------------ ------------ ------------ --------
Total revenues 2% 1% 0% 4%
============ ============ ============ ========
(1) Effective January 1, 2007, we changed our management structure.
Our UK and Irish retail operations, Willis UK and Ireland, which were
previously within our Global division, have been combined with our
previously existing international units to create a single
International segment (Q3 YTD 2006 revenue reclassification of $214
million). The new International segment incorporates all our retail
operations outside North America. Our Energy business previously
reported in our North America division is now reported within our
Global division (Q3 YTD 2006 revenue reclassification of $13
million). Our prior period revenue analysis has been adjusted to
reflect our new internal reporting structure.
3. Shaping our Future expenses
In third quarter 2006, the Company incurred expenses totaling $84
million ($59 million or $0.37 per diluted share after tax) in
connection with the launch of Shaping our Future initiatives for
profitable growth.
The following tables provide an analysis by initiative and by expense
category of this expenditure:
Pre-tax
-------
Initiative
International efficiency review $ 25
Data center consolidation and Willis Client Service Platform 10
Real estate rationalization 9
Reinsurance initiative 9
Remodeling London platform 7
Small commercial account initiative (United Kingdom) 6
Other, including business closure costs 18
------
$ 84
======
WILLIS GROUP HOLDINGS LIMITED
SUPPLEMENTAL FINANCIAL INFORMATION
(in millions) (unaudited)
3. Shaping our Future expenses (continued)
Pre-
tax
----
Expense category
Salaries and benefits, including severance costs of $25 million $43
Other operating expenses 32
Amortization of intangible assets 2
Net loss on disposals of operations 7
---
$84
===
4. Adjusted operating income
Adjusted operating income is defined as operating income excluding the
2006 gain on disposal of our London headquarters, 2006 severance
costs and other 2006 expenditure on strategic initiatives, and net
gain/loss on disposal of operations. Operating income is the most
directly comparable GAAP measure, and the following tables reconcile
adjusted operating income to operating income for the three months
and nine months ended September 30, 2007 and 2006:
Three months ended
September 30,
--------------------
%
2007 2006 Change
------ ------ ------
Operating Income, GAAP basis $ 93 $ 97 (4)%
Excluding:
Gain on disposal of London headquarters - (99)
Severance costs (a) - 25
Net loss on disposal of operations - 7
Other strategic initiative expenditure (b) - 52
------ ------
Adjusted Operating Income $ 93 $ 82 13%
====== ======
Operating Margin, GAAP basis, or Operating Income
as a percentage of Total Revenues 16.2% 17.9%
====== ======
Adjusted Operating Margin or Adjusted Operating
Income as a percentage of Total Revenues 16.2% 15.1%
====== ======
WILLIS GROUP HOLDINGS LIMITED
SUPPLEMENTAL FINANCIAL INFORMATION
(in millions) (unaudited)
4. Adjusted operating income (continued)
Nine months ended
September 30,
--------------------
%
2007 2006 Change
------ ------ ------
Operating Income, GAAP basis $ 469 $ 420 12%
Excluding:
Gain on disposal of London headquarters - (99)
Severance costs (a) - 25
Net loss on disposal of operations - 7
Other strategic initiative expenditure (b) - 52
------ ------
Adjusted Operating Income $ 469 $ 405 16%
====== ======
Operating Margin, GAAP basis, or Operating Income
as a percentage of Total Revenues 24.2% 23.2%
====== ======
Adjusted Operating Margin or Adjusted Operating
Income as a percentage of Total Revenues 24.2% 22.4%
====== ======
a) 2006 severance costs relate to approximately 400 positions
identified or eliminated in the third quarter 2006 as part of our
Shaping our Future strategic initiatives. Severance costs also arise
in the normal course of business and these charges amounted to $1
million in the third quarter 2007 ($1 million in 2006) and $2 million
for the nine months ended September 30, 2007 ($5 million in 2006).
b) In addition to severance costs and a net loss on disposal of
operations, we incurred significant additional expenditure in 2006 to
launch our strategic initiatives, including professional fees, lease
termination costs and vacant space provisions.
WILLIS GROUP HOLDINGS LIMITED
SUPPLEMENTAL FINANCIAL INFORMATION
(in millions, except per share data)
(unaudited)
5. Adjusted net income
Adjusted net income is defined as net income excluding the 2006 gain
on disposal of our London headquarters, 2006 severance costs and
other 2006 expenditure on strategic initiatives, and net gain/loss on
disposal of operations,. Net income is the most directly comparable
GAAP measure, and the following tables reconcile adjusted net income
to net income for the three months and nine months ended September
30, 2007 and 2006:
Three months Per diluted share
ended Three months ended
September 30, September 30,
----------------- --------------------
% %
2007 2006 Change 2007 2006 Change
---- ----- ------ ----- ------- ------
Net income, GAAP basis $ 67 $ 89 (25)% $0.46 $ 0.56 (18)%
Excluding:
Gain on disposal of London
headquarters, net of tax
($(8)) - (91) - (0.57)
Severance costs, net of tax
($8) (a) - 17 - 0.11
Net loss on disposal of
operations, net of tax ($2) - 5 - 0.03
Other strategic initiative
expenditure, net of tax ($15)
(b) - 37 - 0.23
---- ----- ----- -------
Adjusted net income $ 67 $ 57 18% $0.46 $ 0.36 28%
==== ===== ===== =======
Diluted shares outstanding, GAAP
basis 145 159
==== =====
WILLIS GROUP HOLDINGS LIMITED
SUPPLEMENTAL FINANCIAL INFORMATION
(in millions, except per share data)
(unaudited)
5. Adjusted net income (continued)
Nine months Per diluted share
ended Nine months ended
September 30, September 30,
---------------- -------------------
% %
2007 2006 Change 2007 2006 Change
---- ---- ------ ----- ------ ------
Net income, GAAP basis $314 $301 4% $2.12 $1.89 12%
Excluding:
Gain on disposal of London
headquarters, net of tax ($(8)) - (91) - (0.57)
Severance costs, net of tax ($8)
(a) - 17 - 0.11
Net loss on disposal of
operations, net of tax ($2) - 5 - 0.03
Other strategic initiative
expenditure, net of tax ($15)
(b) - 37 - 0.23
---- ---- ----- ------
Adjusted net income $314 $269 17% $2.12 $1.69 25%
---- ---- ----- ------
Diluted shares outstanding, GAAP
basis 148 159
==== ====
a) 2006 severance costs relate to approximately 400 positions
identified or eliminated in the third quarter 2006 as part of our
Shaping our Future strategic initiatives. Severance costs also arise
in the normal course of business and these charges amounted to $1
million in the third quarter 2007 ($1 million in 2006) and $2 million
for the nine months ended September 30, 2007 ($5 million in 2006).
b) In addition to severance costs and a net loss on disposal of
operations, we incurred significant additional expenditure in 2006 to
launch our strategic initiatives, including professional fees, lease
termination costs and vacant space provisions.
WILLIS GROUP HOLDINGS LIMITED, FINANCIAL SUPPLEMENT
(in millions, except per share data)
(unaudited)
2006 2007
----------------------------- ------------------------
Q1 Q2 Q3 Q4 FY Q1 Q2 Q3 Q3 YTD
----- ----- ----- ----- ----- ----- ----- ----- ------
Revenues (1)
Global $241 $185 $160 $151 $737 $261 $186 $161 $608
North America 178 190 180 208 756 188 197 185 570
International 233 197 179 239 848 266 220 203 689
----- ----- ----- ----- ----- ----- ----- ----- ------
Commissions and
fees 652 572 519 598 2,341 715 603 549 1,867
Investment
income 19 21 24 23 87 24 23 25 72
----- ----- ----- ----- ----- ----- ----- ----- ------
Total
Revenues 671 593 543 621 2,428 739 626 574 1,939
----- ----- ----- ----- ----- ----- ----- ----- ------
Expenses
Salaries and
benefits 348 351 383 375 1,457 377 360 352 1,089
Other operating
expenses 105 108 138 103 454 111 114 116 341
Depreciation
expense and
amortization of
intangible
assets 14 15 17 17 63 16 17 16 49
Gain on disposal
of London
headquarters - - (99) (3) (102) (3) (3) (3) (9)
Net loss/(gain)
on disposal of
operations - - 7 (3) 4 - - - -
----- ----- ----- ----- ----- ----- ----- ----- ------
Total
Expenses 467 474 446 489 1,876 501 488 481 1,470
----- ----- ----- ----- ----- ----- ----- ----- ------
Operating Income 204 119 97 132 552 238 138 93 469
Operating Income
margin 30.4% 20.1% 17.9% 21.3% 22.7% 32.2% 22.0% 16.2% 24.2%
Interest expense 9 9 9 11 38 12 19 17 48
----- ----- ----- ----- ----- ----- ----- ----- ------
Income before
Income Taxes,
Interest in
Earnings of
Associates and
Minority
Interest 195 110 88 121 514 226 119 76 421
Income taxes 62 36 3 (38) 63 68 36 12 116
----- ----- ----- ----- ----- ----- ----- ----- ------
Income before
Interest in
Earnings of
Associates and
Minority
Interest 133 74 85 159 451 158 83 64 305
Interest in
earnings of
associates, net
of tax 14 - 6 (4) 16 19 (4) 5 20
Minority
interest, net
of tax (7) (2) (2) (7) (18) (8) (1) (2) (11)
----- ----- ----- ----- ----- ----- ----- ----- ------
Net Income $140 $72 $89 $148 $449 $169 $78 $67 $314
===== ===== ===== ===== ===== ===== ===== ===== ======
Earnings per
Share
- - Diluted $0.88 $0.45 $0.56 $0.94 $2.84 $1.10 $0.54 $0.46 $2.12
===== ===== ===== ===== ===== ===== ===== ===== ======
Average Number
of Shares
Outstanding
- - Diluted 159 159 159 157 158 154 145 145 148
===== ===== ===== ===== ===== ===== ===== ===== ======
(1) As described in Note 2, our prior period revenue analysis has
been adjusted to reflect our 2007 internal reporting structure.
CONTACT: Willis Group Holdings Limited
Investors:
Kerry K. Calaiaro, 212-915-8084
kerry.calaiaro@willis.com
or
Media:
Valerie Di Maria, 212-915-8272
valerie.dimaria@willis.com