This account is pending registration confirmation. Please click on the link within the confirmation email previously sent you to complete registration.
Need a new registration confirmation email? Click here
TheStreet Open House

Willis Group Reports Fourth Quarter 2012 Results

Adjusted earnings from continuing operations per diluted share, which excludes the impact of items detailed in note 5 of the supplemental financial information, was $2.58 for the year ended December 31, 2012 compared with $2.74 in 2011. Foreign currency movements increased earnings by $0.06 per diluted share in 2012 compared to 2011.

Total commissions and fees were $3,458 million for 2012, compared to $3,414 million for 2011. Excluding a negative 1.8% impact from foreign currency movements, organic growth in commissions and fees was 3.1% in 2012.

Reported operating margin was (6.0)% for the year ended December 31, 2012 compared with 16.4% for the prior year. Excluding items detailed in note 4 of the supplemental financial information, adjusted operating margin was 21.6% in 2012 compared with 22.5% a year ago.

Tax

Excluding the impact of the charges referred to above and detailed in note 5, the effective tax rate for the quarter and twelve months ended December 31, 2012 was 33% and 26%, respectively. The effective tax rate for the fourth quarter and full year were impacted by higher than previously estimated state income tax expense and a slightly higher rate of tax due to a change in the geographic mix of income, being applied to the cumulative profits of prior periods. Excluding these items, the effective underlying tax rate was 25% for both the fourth quarter and full year.

Debt and Capital

As of December 31, 2012, cash and cash equivalents totaled $500 million and total debt was $2,353 million. Total equity was $1,731 million. As of December 31, 2011, cash and cash equivalents were $436 million, total debt was $2,369 million, and total equity was $2,517 million.

Cash flow from operating activities for the 12 months ended December 31, 2012, was $524 million compared to $439 million in 2011.

6 of 10

Select the service that is right for you!

COMPARE ALL SERVICES
Action Alerts PLUS
Try it NOW

Jim Cramer and Stephanie Link actively manage a real portfolio and reveal their money management tactics while giving advanced notice before every trade.

Product Features:
  • $2.5+ million portfolio
  • Large-cap and dividend focus
  • Intraday trade alerts from Cramer
  • Weekly roundups
TheStreet Quant Ratings
Try it NOW
Only $49.95/yr

Access the tool that DOMINATES the Russell 2000 and the S&P 500.

Product Features:
  • Buy, hold, or sell recommendations for over 4,300 stocks
  • Unlimited research reports on your favorite stocks
  • A custom stock screener
  • Upgrade/downgrade alerts
Stocks Under $10
Try it NOW

David Peltier, uncovers low dollar stocks with extraordinary upside potential that are flying under Wall Street's radar.

Product Features:
  • Model portfolio
  • Stocks trading below $10
  • Intraday trade alerts
  • Weekly roundups
Dividend Stock Advisor
Try it NOW

Jim Cramer's protege, David Peltier, identifies the best of breed dividend stocks that will pay a reliable AND significant income stream.

Product Features:
  • Diversified model portfolio of dividend stocks
  • Alerts when market news affect the portfolio
  • Bi-weekly updates with exact steps to take - BUY, HOLD, SELL
Real Money Pro
Try it NOW

All of Real Money, plus 15 more of Wall Street's sharpest minds delivering actionable trading ideas, a comprehensive look at the market, and fundamental and technical analysis.

Product Features:
  • Real Money + Doug Kass Plus 15 more Wall Street Pros
  • Intraday commentary & news
  • Ultra-actionable trading ideas
Options Profits
Try it NOW

Our options trading pros provide daily market commentary and over 100 monthly option trading ideas and strategies to help you become a well-seasoned trader.

Product Features:
  • 100+ monthly options trading ideas
  • Actionable options commentary & news
  • Real-time trading community
  • Options TV
To begin commenting right away, you can log in below using your Disqus, Facebook, Twitter, OpenID or Yahoo login credentials. Alternatively, you can post a comment as a "guest" just by entering an email address. Your use of the commenting tool is subject to multiple terms of service/use and privacy policies - see here for more details.
Submit an article to us!
DOW 17,156.85 +24.88 0.15%
S&P 500 2,001.57 +2.59 0.13%
NASDAQ 4,562.1890 +9.43 0.21%

Brokerage Partners

Rates from Bankrate.com

  • Mortgage
  • Credit Cards
  • Auto

Free Newsletters from TheStreet

My Subscriptions:

After the Bell

Before the Bell

Booyah! Newsletter

Midday Bell

TheStreet Top 10 Stories

Winners & Losers

Register for Newsletters
Top Rated Stocks Top Rated Funds Top Rated ETFs