MMC Marsh and McLennan Companies Inc

Underlying Revenue Increases 4%

GAAP Operating Income Rises 3% to $938 million

Strong Growth in Adjusted Operating Income of 11% to $1.0 billion

GAAP EPS Grows to $1.40 from $1.34 and Adjusted EPS Rises 10% to $1.52

Marsh & McLennan Companies, Inc. (NYSE: MMC), the world's leading professional services firm in the areas of risk, strategy and people, today reported financial results for the first quarter ended March 31, 2019.

Dan Glaser, President and CEO, said: "We delivered strong growth in underlying revenue and profitability in the first quarter, including double-digit adjusted earnings growth and meaningful adjusted margin expansion in both Risk & Insurance Services and Consulting. The Company’s underlying revenue growth was 4%, adjusted operating income rose 11%, and the adjusted margin increased 210 basis points to 26.2%."

"With our successful completion of the acquisition of Jardine Lloyd Thompson Group and a great start to the year we believe the Company is well positioned to deliver solid results in 2019," concluded Mr. Glaser.

Consolidated Results

Consolidated revenue in the first quarter of 2019 was $4.1 billion, an increase of 2%, or 4% on an underlying basis, compared with the first quarter of 2018. Operating income was $938 million compared with $908 million in the prior year. Adjusted operating income, which excludes noteworthy items as presented in the attached supplemental schedules, rose 11% to $1.0 billion.

Net income attributable to the Company was $716 million, or $1.40 per diluted share, in the first quarter. This compares with $690 million, or $1.34 per diluted share, in the prior year. Adjusted earnings per share rose 10% to $1.52 per diluted share from the prior year period.

Risk & Insurance Services

Risk & Insurance Services revenue was $2.4 billion in the first quarter of 2019, an increase of 3% compared with the first quarter of 2018, or 5% on an underlying basis. Operating income of $733 million increased 2% from the prior year. Adjusted operating income rose 7% to $775 million compared with $723 million in the prior year.

Marsh's revenue in the first quarter was $1.7 billion, an increase of 5% on an underlying basis. In U.S./Canada, underlying revenue also rose 5%. International operations produced underlying revenue growth of 5%, reflecting growth of 11% in Latin America; 8% in Asia Pacific; and 3% in EMEA.

Guy Carpenter's revenue in the first quarter was $663 million, an increase of 6% on an underlying basis.

Consulting

Consulting revenue in the first quarter was $1.7 billion, flat compared with the first quarter of 2018, or an increase of 2% on an underlying basis. Operating income increased 13% to $279 million compared with $247 million in the prior year. Adjusted operating income increased 18% to $291 million compared with $248 million in the prior year.

Mercer's revenue was $1.2 billion in the first quarter, flat on an underlying basis. Wealth, with revenue of $543 million, declined 3% on an underlying basis. Health revenue of $442 million was up 3% on an underlying basis and Career revenue of $170 million increased 2% on an underlying basis.

Oliver Wyman Group’s revenue was $518 million in the first quarter, an increase of 7% on an underlying basis.

Other Items

On April 1, 2019, the Company completed the acquisition of Jardine Lloyd Thompson Group (JLT) for $5.6 billion in fully diluted equity value, and assumed existing JLT debt of approximately $1 billion.

As part of the financing for the acquisition of JLT, the Company issued €1.1 billion aggregate principal amount of senior notes in March 2019. The two tranches consisted of €550 million of 1.349% senior notes due in 2026 and €550 million of 1.979% senior notes due in 2030. Also in March 2019, the Company entered into a further issuance of $250 million aggregate principal amount of 4.375% senior notes due in 2029. As previously disclosed, the Company had also issued $5 billion aggregate amount of senior notes in January 2019. The Company used the net proceeds of these offerings to fund the acquisition of JLT, including the payment of related fees and expenses, and to repay in part certain existing JLT debt.

Marsh & McLennan Agency closed the acquisition of Clearwater, FL based Bouchard Insurance Inc. in February, and in April announced the acquisition of Phoenix, AZ based Lovitt & Touché Inc.

Conference Call

A conference call to discuss first quarter 2019 results will be held today at 8:30 a.m. Eastern time. To participate in the teleconference, please dial +1 888 204 4368. Callers from outside the United States should dial +1 323 794 2423. The access code for both numbers is 4584204. The live audio webcast may be accessed at mmc.com. A replay of the webcast will be available approximately two hours after the event.

About Marsh & McLennan Companies

Marsh & McLennan (NYSE: MMC) is the world’s leading professional services firm in the areas of risk, strategy and people. The company’s 75,000 colleagues advise clients in over 130 countries. With annualized revenue approaching $17 billion, Marsh & McLennan helps clients navigate an increasingly dynamic and complex environment through four market-leading firms. Marsh advises individual and commercial clients of all sizes on insurance broking and innovative risk management solutions. Guy Carpenter develops advanced risk, reinsurance and capital strategies that help clients grow profitably and pursue emerging opportunities. Mercer delivers advice and technology-driven solutions that help organizations meet the health, wealth and career needs of a changing workforce. Oliver Wyman serves as a critical strategic, economic and brand advisor to private sector and governmental clients. For more information, visit mmc.com, follow us on LinkedIn and Twitter @mmc_global or subscribe to BRINK.

INFORMATION CONCERNING FORWARD-LOOKING STATEMENTS

This press release contains "forward-looking statements," as defined in the Private Securities Litigation Reform Act of 1995. These statements, which express management's current views concerning future events or results, use words like "anticipate," "assume," "believe," "continue," "estimate," "expect," "intend," "plan," "project" and similar terms, and future or conditional tense verbs like "could," "may," "might," "should," "will" and "would."

Forward-looking statements are subject to inherent risks and uncertainties that could cause actual results to differ materially from those expressed or implied in our forward-looking statements. Factors that could materially affect our future results include, among other things:

• our ability to successfully integrate or achieve the intended benefits of the acquisition of JLT;
• the impact of any investigations, reviews, or other activity by regulatory or law enforcement authorities, including the ongoing investigations by the European Commission competition authority;
• the impact from lawsuits, other contingent liabilities and loss contingencies arising from errors and omissions, breach of fiduciary duty or other claims against us;
• our organization's ability to maintain adequate safeguards to protect the security of our information systems and confidential, personal or proprietary information, particularly given the large volume of our vendor network and the need to patch software vulnerabilities;
• our ability to compete effectively and adapt to changes in the competitive environment, including to respond to disintermediation, digital disruption and other types of innovation;
• the financial and operational impact of complying with laws and regulations where we operate, including cybersecurity and data privacy regulations such as the E.U.’s General Data Protection Regulation, anti-corruption laws and trade sanctions regimes;
• the impact of macroeconomic, political, regulatory or market conditions on us, our clients and the industries in which we operate, including the impact and uncertainty around Brexit or the inability to collect on our receivables;
• the regulatory, contractual and reputational risks that arise based on insurance placement activities and various broker revenue streams;
• our ability to manage risks associated with our investment management and related services business, including potential conflicts of interest between investment consulting and fiduciary management services;
• our ability to successfully recover if we experience a business continuity problem due to cyberattack, natural disaster or otherwise;
• the impact of changes in tax laws, guidance and interpretations, including certain provisions of the U.S. Tax Cuts and Jobs Act, or disagreements with tax authorities;
• our ability to repay our outstanding long-term debt in a timely manner and on favorable terms, including approximately $6.5 billion issued in connection with the acquisition of JLT;
• the impact of fluctuations in foreign exchange and interest rates on our results; and
• the impact of changes in accounting rules or in our accounting estimates or assumptions, including the impact of the adoption of the new lease accounting standard.

The factors identified above are not exhaustive. Marsh & McLennan Companies and its subsidiaries operate in a dynamic business environment in which new risks emerge frequently. Accordingly, we caution readers not to place undue reliance on any forward-looking statements, which are based only on information currently available to us and speak only as of the dates on which they are made. The Company undertakes no obligation to update or revise any forward-looking statement to reflect events or circumstances arising after the date on which it is made.

Further information concerning Marsh & McLennan Companies and its businesses, including information about factors that could materially affect our results of operations and financial condition, is contained in the Company's filings with the Securities and Exchange Commission, including the "Risk Factors" section and the "Management’s Discussion and Analysis of Financial Condition and Results of Operations" section of our most recently filed Annual Report on Form 10-K.

  Marsh & McLennan Companies, Inc. Consolidated Statements of Income

(In millions, except per share figures)

(Unaudited)

    Three Months EndedMarch 31, 2019   2018 Revenue $ 4,071   $ 4,000     Expense: Compensation and Benefits 2,282 2,224 Other Operating Expenses 851   868   Operating Expenses 3,133   3,092   Operating Income 938 908 Other Net Benefit Credits 64 66 Interest Income 28 3 Interest Expense (120 ) (61 ) Investment Income 5 — Acquisition Related Derivative Contracts (a) 29   —   Income Before Income Taxes 944 916 Income Tax Expense 217   220   Net Income Before Non-Controlling Interests 727 696 Less: Net Income Attributable to Non-Controlling Interests 11   6   Net Income Attributable to the Company $ 716   $ 690   Net Income Per Share Attributable to the Company: - Basic $ 1.42   $ 1.36   - Diluted $ 1.40   $ 1.34   Average Number of Shares Outstanding - Basic 505   508   - Diluted 511   514   Shares Outstanding at March 31 507   508     (a) Net gains from hedging contracts related to the JLT acquisition.   Marsh & McLennan Companies, Inc. Supplemental Information - Revenue Analysis Three Months Ended March 31, 2019 (Millions) (Unaudited)           Components of Revenue Change*

Three Months EndedMarch 31,

% Change GAAP Revenue

Currency Impact

 

Acquisitions/

Dispositions/ Other Impact

 

Underlying Revenue

2019   2018 Risk and Insurance Services Marsh $ 1,737 $ 1,694 3 % (3 )% 1 % 5 % Guy Carpenter 663   637   4 % (2 )% — 6 % Subtotal 2,400 2,331 3 % (3 )% 1 % 5 % Fiduciary Interest Income 23   13   Total Risk and Insurance Services 2,423   2,344   3 % (3 )% 1 % 5 % Consulting Mercer 1,155 1,171 (1 )% (4 )% 2 % — Oliver Wyman Group 518   497   4 % (3 )% — 7 % Total Consulting 1,673   1,668   — (3 )% 2 % 2 % Corporate/Eliminations (25 ) (12 ) Total Revenue $ 4,071   $ 4,000   2 % (3 )% 1 % 4 %  

Revenue Details

The following table provides more detailed revenue information for certain of the components presented above:

 

Components of Revenue Change*

Three Months EndedMarch 31,

% Change

GAAP Revenue

Currency Impact

Acquisitions/Dispositions/ Other Impact

Underlying Revenue

2019 2018 Marsh: EMEA $ 633 $ 643 (2 )% (6 )% 1 % 3 % Asia Pacific 165 164 1 % (4 )% (3 )% 8 % Latin America 78   84   (7 )% (13 )% (4 )% 11 % Total International 876 891 (2 )% (6 )% — 5 % U.S./Canada 861   803   7 % — 3 % 5 % Total Marsh $ 1,737   $ 1,694   3 % (3 )% 1 % 5 % Mercer: Wealth 543 565 (4 )% (5 )% 4 % (3 )% Health 442 442 — (2 )% (1 )% 3 % Career 170   164   4 % (4 )% 5 % 2 % Total Mercer $ 1,155   $ 1,171   (1 )% (4 )% 2 % —         Notes Underlying revenue measures the change in revenue using consistent currency exchange rates, excluding the impact of certain items that affect comparability such as: acquisitions, dispositions, transfers among businesses, and changes in estimate methodology.   * Components of revenue change may not add due to rounding.

Marsh & McLennan Companies, Inc.Reconciliation of Non-GAAP MeasuresThree Months Ended March 31(Millions) (Unaudited)

Overview The Company reports its financial results in accordance with accounting principles generally accepted in the United States (referred to in this release as "GAAP" or "reported" results). The Company also refers to and presents below certain additional non-GAAP financial measures, within the meaning of Regulation G under the Securities Exchange Act of 1934. These measures are: adjusted operating income (loss), adjusted operating margin, adjusted income, net of tax and adjusted earnings per share (EPS). The Company has included reconciliations of these non-GAAP financial measures to the most directly comparable financial measure calculated in accordance with GAAP in the following tables.   The Company believes these non-GAAP financial measures provide useful supplemental information that enables investors to better compare the Company’s performance across periods. Management also uses these measures internally to assess the operating performance of its businesses, to assess performance for employee compensation purposes and to decide how to allocate resources. However, investors should not consider these non-GAAP measures in isolation from, or as a substitute for, the financial information that the Company reports in accordance with GAAP. The Company's non-GAAP measures include adjustments that reflect how management views our businesses, and may differ from similarly titled non-GAAP measures presented by other companies.   Adjusted Operating Income (Loss) and Adjusted Operating Margin Adjusted operating income (loss) is calculated by excluding the impact of certain noteworthy items from the Company's GAAP operating income or (loss). The following tables identify these noteworthy items and reconcile adjusted operating income (loss) to GAAP operating income or loss, on a consolidated and segment basis, for the three months ended March 31, 2019 and 2018. The following tables also present adjusted operating margin. In 2019, the Company changed its methodology for calculating adjusted operating margin due to the significant amount of identified intangible asset amortization expected after completion of the JLT Transaction, on April 1, 2019. Effective for the three months ended March 31, 2019 and 2018, adjusted operating margin is calculated by dividing the sum of adjusted operating income plus identified intangible asset amortization by consolidated or segment adjusted revenue. See page 12 for additional information related to adjusted operating margin.          

Risk & Insurance Services

Consulting

Corporate/Eliminations

Total Three Months Ended March 31, 2019 Operating income (loss) $ 733   $ 279   $ (74 ) $ 938   Operating margin 30.2 % 16.7 % N/A 23.0 % Add impact of Noteworthy Items: Restructuring (a) 5 11 2 18 Adjustments to acquisition related accounts (b) 10 1 — 11 JLT acquisition and integration related costs (c) 25 — 22 47 Other 2   —   —   2   Operating income adjustments 42   12   24   78   Adjusted operating income (loss) $ 775   $ 291   $ (50 ) $ 1,016   Identified intangible amortization expense $ 41   $ 10   $ —   $ 51   Adjusted operating margin 33.6 % 18.0 % N/A 26.2 %   Three Months Ended March 31, 2018 Operating income (loss) $ 716   $ 247   $ (55 ) $ 908   Operating margin 30.5 % 14.8 % N/A 22.7 % Add impact of Noteworthy Items: Restructuring (a) 3 1 2 6 Adjustments to acquisition related accounts (b) 4   —   —   4   Operating income adjustments 7   1   2   10   Adjusted operating income (loss) $ 723   $ 248   $ (53 ) $ 918   Identified intangible amortization expense $ 37   $ 8   $ —   $ 45   Adjusted operating margin 32.5 % 15.3 % N/A 24.1 %   (a) Includes severance and related charges from restructuring activities, adjustments to restructuring liabilities for future rent under non-cancellable leases and other real estate costs, and restructuring costs related to the integration of recent acquisitions.   (b) Primarily includes the change in fair value as measured each quarter of contingent consideration related to acquisitions.   (c) Includes restructuring costs incurred in Marsh and Corporate of $20 million for staff reductions made in anticipation of closing the JLT transaction, as well as acquisition and integration costs, primarily legal and consulting costs.  

Marsh & McLennan Companies, Inc.Reconciliation of Non-GAAP MeasuresThree Months Ended March 31(Millions) (Unaudited)

Adjusted income, net of tax is calculated as the Company's GAAP income from continuing operations, adjusted to reflect the after tax impact of the operating income adjustments set forth in the preceding tables and investments gains or losses related to the impact of mark-to-market adjustments on certain equity securities and adjustments to provisional 2017 tax estimates. Adjustments also include JLT acquisition related items, including change in fair value of derivative contracts, financing costs and interest income on funds held in escrow. Adjusted EPS is calculated by dividing the Company’s adjusted income, net of tax, by MMC's average number of shares outstanding-diluted for the relevant period. The following tables reconcile adjusted income, net of tax to GAAP income from continuing operations and adjusted EPS to GAAP EPS for the three months ended March 31, 2019 and 2018.        

Three Months EndedMarch 31, 2019

Three Months EndedMarch 31, 2018

Amount  

Adjusted EPS

Amount  

AdjustedEPS

Net income before non-controlling interests   $ 727   $ 696 Less: Non-controlling interest, net of tax 11   6   Subtotal $ 716 $ 1.40 $ 690 $ 1.34 Operating income adjustments $ 78 $ 10 Investments adjustment (a) (4 ) 8

Change in fair value of acquisition relatedderivative contracts (b)

(29 ) — Financing costs (c) 54 — Interest on funds held in escrow (d) (25 ) — Impact of income taxes on above items (12 ) (4 ) Adjustments to provisional 2017 tax estimates (e) —   3   62   0.12   17   0.04 Adjusted income, net of tax $ 778   $ 1.52   $ 707   $ 1.38   (a) The Company recorded mark-to-market gains of $4 million and losses of $8 million for the three month period ended March 31, 2019 and March 31, 2018, respectively, which are included in investment income in the consolidated statements of income.   (b) Primarily reflects the gain related to the change in fair value of the deal contingent foreign exchange contract partly offset by the impact of derivative contracts related to the debt issuances.   (c) Reflects interest expense on debt issuances and amortization of bridge financing fees related to the acquisition of JLT included in interest expense for the quarter ended March 31, 2019.   (d) Interest income earned on funds held in escrow related to the JLT acquisition.   (e) Reflects adjustments to provisional 2017 year-end estimates of transition taxes and U.S. deferred tax assets and liabilities from U.S. tax reform.   Marsh & McLennan Companies, Inc. Supplemental Information Three Months Ended March 31 (Millions) (Unaudited)       Three Months Ended March 31, 2019   2018 Consolidated Compensation and Benefits $ 2,282 $ 2,224 Other Operating Expenses 851   868 Total Expenses $ 3,133   $ 3,092   Depreciation and amortization expense $ 74 $ 80 Identified intangible amortization expense 51   45 Total $ 125   $ 125   Stock option expense $ 15   $ 14   Risk and Insurance Services Compensation and Benefits $ 1,221 $ 1,168 Other Operating Expenses 469   460 Total Expenses $ 1,690   $ 1,628   Depreciation and amortization expense $ 32 $ 37 Identified intangible amortization expense 41   37 Total $ 73   $ 74   Consulting Compensation and Benefits $ 956 $ 956 Other Operating Expenses 438   465 Total Expenses $ 1,394   $ 1,421   Depreciation and amortization expense $ 24 $ 25 Identified intangible amortization expense 10   8 Total $ 34   $ 33     Marsh & McLennan Companies, Inc. Consolidated Balance Sheets (Millions)      

(Unaudited)March 31, 2019

 

December 31,2018

ASSETS Current assets: Cash and cash equivalents $ 1,117 $ 1,066 Net receivables 4,630 4,317 Funds held in escrow for acquisition 6,359 — Other current assets 569   551   Total current assets 12,675 5,934   Goodwill and intangible assets 11,203 11,036 Fixed assets, net 716 701 Pension related assets 1,815 1,688 Right of use assets 1,625 — Deferred tax assets 680 680 Other assets 1,423   1,539   TOTAL ASSETS $ 30,137   $ 21,578     LIABILITIES AND EQUITY Current liabilities: Short-term debt $ 1,562 $ 314 Accounts payable and accrued liabilities 2,244 2,234 Accrued compensation and employee benefits 892 1,778 Acquisition related derivatives 283 441 Current lease liabilities 291 — Accrued income taxes 256 157 Dividends payable 211   —   Total current liabilities 5,739 4,924   Fiduciary liabilities 5,243 5,001 Less - cash and investments held in a fiduciary capacity (5,243 ) (5,001 ) — — Long-term debt 11,472 5,510 Pension, post-retirement and post-employment benefits 1,874 1,911 Long-term lease liabilities 1,590 — Liabilities for errors and omissions 282 287 Other liabilities 1,194 1,362   Total equity 7,986   7,584   TOTAL LIABILITIES AND EQUITY $ 30,137   $ 21,578       Marsh & McLennan Companies, Inc. Consolidated Statements of Cash Flows (Millions) (Unaudited)     Three Months Ended March 31, 2019   2018 Operating cash flows: Net income before non-controlling interests $ 727 $ 696 Adjustments to reconcile net income to cash used for operations: Depreciation and amortization of fixed assets and capitalized software 74 80 Amortization of intangible assets 51 45 Amortization of right of use asset 68 — Adjustments and payments related to contingent consideration liability (18 ) (5 ) Provision for deferred income taxes (9 ) 11 (Gain) loss on investments (5 ) — (Gain) loss on disposition of assets — (1 ) Share-based compensation expense 57 50 Change in fair value of acquisition-related derivative contracts (29 ) — Changes in assets and liabilities: Net receivables (309 ) (357 ) Other current assets (37 ) 2 Other assets (1 ) (32 ) Accounts payable and accrued liabilities 79 135 Accrued compensation and employee benefits (886 ) (905 ) Accrued income taxes 96 61 Contributions to pension and other benefit plans in excess of current year expense/credit (80 ) (96 ) Other liabilities 42 17 Operating lease liabilities (73 ) — Effect of exchange rate changes (23 ) (65 ) Net cash used for operations (276 ) (364 ) Financing cash flows: Purchase of treasury shares — (250 ) Net increase in commercial paper 748 249 Proceeds from issuance of debt 6,462 592 Repayments of debt (3 ) (3 ) Acquisition-related hedging payments (129 ) — Shares withheld for taxes on vested units – treasury shares (86 ) (61 ) Issuance of common stock from treasury shares 77 32 Payments of deferred and contingent consideration for acquisitions (29 ) (70 ) Distributions of non-controlling interests (4 ) (6 ) Dividends paid (210 ) (189 ) Net cash provided by financing activities 6,826   294   Investing cash flows: Capital expenditures (73 ) (58 ) Sales of long-term investments 115 9 Purchase of equity investment (88 ) — Proceeds from sales of fixed assets 1 1 Dispositions — 3 Acquisitions (140 ) (24 ) Other, net (2 ) (1 ) Net cash used for investing activities (187 ) (70 ) Effect of exchange rate changes on cash and cash equivalents 47   103   Increase (decrease) in cash and cash equivalents and funds held in escrow 6,410   (37 ) Cash and cash equivalents at beginning of period 1,066   1,205     Cash balances, end of period Cash and cash equivalents at end of period 1,117 1,168 Funds held in escrow for acquisition 6,359   —   Total $ 7,476   $ 1,168    

Marsh & McLennan Companies, Inc.Supplemental Historical Adjusted Operating MarginsFor the Years Ended December 31, 2018 and 2017(Millions)

Due to the significant amount of identified intangible asset amortization expected after completion of the JLT Transaction, and the lack of comparability with prior years the Company changed the method for calculating adjusted operating margin to exclude deal amortization. Beginning this quarter, adjusted operating margin will be calculated by dividing the sum of adjusted operating income plus the intangible asset amortization for all acquisitions and dividing that total by applicable consolidated or segment adjusted revenue. The reconciliation of adjusted operating income to operating income reported under generally accepted accounting principles is included in the respective earnings release Forms 8-K furnished to the SEC in 2018 and 2019. The table below shows adjusted operating margin for the full year and each quarter of 2018 and 2017 using the revised methodology.             2018

FirstQuarter

SecondQuarter

ThirdQuarter

FourthQuarter

FullYear

Risk & Insurance Services Adjusted Operating Income $ 723   $ 532   $ 283   $ 418   $ 1,956   Amortization Expense $ 37   $ 35   $ 39   $ 40   $ 151   Adjusted Operating Margin 32.5 % 27.0 % 17.7 % 23.7 % 25.7 %   Consulting Adjusted Operating Income $ 248   $ 267   $ 293   $ 359   $ 1,167   Amortization Expense $ 8   $ 8   $ 8   $ 8   $ 32   Adjusted Operating Margin 15.3 % 16.7 % 18.2 % 20.3 % 17.7 %   Total Company Adjusted Operating Income $ 918   $ 754   $ 535   $ 731   $ 2,938   Amortization Expense $ 45   $ 43   $ 47   $ 48   $ 183   Adjusted Operating Margin 24.1 % 21.3 % 16.8 % 20.9 % 20.9 %   2017

FirstQuarter

SecondQuarter

ThirdQuarter

FourthQuarter

FullYear

Risk & Insurance Services Adjusted Operating Income $ 555   $ 489   $ 291   $ 423   $ 1,758   Amortization Expense $ 32   $ 33   $ 35   $ 39   $ 139   Adjusted Operating Margin 29.5 % 27.2 % 18.5 % 23.5 % 24.9 %   Consulting Adjusted Operating Income $ 229   $ 280   $ 312   $ 311   $ 1,132   Amortization Expense $ 8   $ 7   $ 7   $ 8   $ 30   Adjusted Operating Margin 15.5 % 18.0 % 20.1 % 18.3 % 18.0 %   Total Company Adjusted Operating Income $ 742   $ 725   $ 562   $ 685   $ 2,714   Amortization Expense $ 40   $ 40   $ 42   $ 47   $ 169   Adjusted Operating Margin 22.3 % 21.9 % 18.1 % 19.9 % 20.6 %  

View source version on businesswire.com: https://www.businesswire.com/news/home/20190425005469/en/

Media:Erick R. GustafsonMarsh & McLennan Companies+1 202 263 7788erick.gustafson@mmc.com

Investor:Sarah DeWittMarsh & McLennan Companies+1 212 345 6750sarah.dewitt@mmc.com