Server: Netscape-Enterprise/2.01 Date: Thu, 18 Dec 1997 10:21:53 GMT Accept-ranges: bytes Last-modified: Fri, 18 Apr 1997 16:32:12 GMT Content-length: 4137 Content-type: text/html Marsh & McLennan Companies - Performance Over Time


Performance Over Time
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Financial Overview -- 1962-present

Over the past 125 years, Marsh & McLennan Companies has achieved success by anticipating and responding to clients' needs, broadening its areas of expertise and expanding its professional services worldwide.

A reflection of this leadership is Marsh & McLennan Companies' financial performance since becoming publicly owned in 1962.

In that year, the Company reported revenue of $52 million and net income of $5 million. In 1996, revenue reached $4.1 billion and net income was $459 million. Over this 34-year period, both revenue and net income had a compound annual growth rate of 14 percent, while both earnings per share and dividends per share grew at a compound annual rate of 12 percent. Our annual return on equity averaged 31 percent.

A $100 investment in Marsh & McLennan Companies in 1962 with dividends reinvested would have been worth over $14,000 at the end of 1996. This represents a compound annual total return to stockholders of 16 percent, exceeding the total return of the overall market as represented by the Standard & Poor's 500 Stock Index. Since 1962, Marsh & McLennan has paid out 57 percent of its earnings to its stockholders in the form of dividends. This represents an average dividend yield over this period of 4 percent. In addition, Marsh & McLennan Companies has increased the total annual dividends paid to shareholders in every year since the company went public.

Employees, who now number over 36,000 compared with 3,400 in 1962, are not only key to business growth but partners in the Company through their broad-based shareholdings. Some 80 percent of our eligible employees in the United States participate in the Stock Investment Plan.

Marsh & McLennan Companies has withstood the test of time in meeting clients' needs during periods of challenging and rapidly changing market conditions. Looking ahead, all our businesses and employees are committed to quality, poised for continued growth and well positioned to further the Company's reputation as the leading professional services firm.

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