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Revenue from Contracts with Customers (Tables)

9 Months Ended

Sep. 30, 2018

Summary of Unbilled Receivables, Contract Assets and Contract Liabilities from Contracts with Customers

Information about unbilled receivables, contract assets and contract liabilities from contracts with customers is as follows (in millions):

		September 30, 2018				December 31, 2017, As Restated
Unbilled receivables		$	587.1			$	415.2
Deferred contract costs			58.9				83.3
Deferred revenue			472.7				430.6

Summary of Changes in Deferred Revenue Balances

Significant changes in the deferred revenue balances during the period are as follows (in millions):

		Brokerage				Risk Management				Total
Deferred revenue at December 31, 2017		$	258.7			$	171.9			$	430.6
Incremental deferred revenue			231.7				109.2				340.9
Revenue recognized during the nine-month period ended September 30, 2018 included in deferred revenue at December 31, 2017			(207.2	)			(105.4	)			(312.6	)
Deferred revenue recognized from business acquisitions			13.8				—				13.8
Deferred revenue at September 30, 2018		$	297.0			$	175.7			$	472.7

Summary of Expected Revenue Related to Performance Obligations

The estimated revenue expected to be recognized in the future related to performance obligations that are unsatisfied (or partially unsatisfied) at the end of the reporting period is as follows (in millions):

		Brokerage				Risk Management				Total
2018 (remaining three months)		$	157.8			$	49.8			$	207.6
2019			122.8				59.2				182.0
2020			13.9				23.5				37.4
2021			1.3				12.9				14.2
2022			0.5				7.8				8.3
Thereafter			0.7				22.5				23.2
Total		$	297.0			$	175.7			$	472.7

Accounting Standards Update 2014-09 [Member]

Summary of Consolidated Statement Line Items, which Reflect Adoption of New Revenue Recognition Guidance

The consolidated statement of earnings line items, which reflect the adoption of the new revenue recognition guidance, are as follows (in millions, except per share data):

		Three-month period ended September 30, 2017
		As Previously Reported				Impact of Adoption of Topic 606				As Restated for Adoption of Topic 606
Commissions		$	662.6			$	(24.7	)		$	637.9
Fees			422.4				(6.2	)			416.2
Supplemental revenues			39.9				(3.0	)			36.9
Contingent revenues			13.5				8.3				21.8
Investment income			14.9				1.0				15.9
Gains on books of business sales			0.6				—				0.6
Revenues from clean coal activities			430.6				—				430.6
Revenues before reimbursements			1,584.5				(24.6	)			1,559.9
Reimbursements			—				33.8				33.8
Total revenues			1,584.5				9.2				1,593.7
Compensation			680.1				0.4				680.5
Operating			214.2				(5.2	)			209.0
Reimbursements			—				33.8				33.8
Cost of revenues from clean coal activities			451.4				—				451.4
Interest			31.4				—				31.4
Depreciation			30.5				—				30.5
Amortization			69.6				—				69.6
Change in estimated acquisition earnout payables			10.6				—				10.6
Total expenses			1,487.8				29.0				1,516.8
Earnings before income taxes			96.7				(19.8	)			76.9
Benefit for income taxes			(41.1	)			(0.1	)			(41.2	)
Net earnings			137.8				(19.7	)			118.1
Net earnings attributable to noncontrolling interests			7.4				(0.3	)			7.1
Net earnings attributable to controlling interests		$	130.4			$	(19.4	)		$	111.0
Basic net earnings per share		$	0.72			$	(0.11	)		$	0.61
Diluted net earnings per share			0.71				(0.10	)			0.61
Dividends declared per common share			0.39				—				0.39

		Nine-month period ended September 30, 2017
		As Previously Reported				Impact of Adoption of Topic 606				As Restated for Adoption of Topic 606
Commissions		$	1,943.3			$	73.5			$	2,016.8
Fees			1,203.8				4.3				1,208.1
Supplemental revenues			115.9				4.1				120.0
Contingent revenues			96.4				(18.3	)			78.1
Investment income			39.3				3.3				42.6
Gains on books of business sales			3.1				—				3.1
Revenues from clean coal activities			1,158.8				—				1,158.8
Revenues before reimbursements			4,560.6				66.9				4,627.5
Reimbursements			—				102.1				102.1
Total revenues			4,560.6				169.0				4,729.6
Compensation			2,013.4				45.8				2,059.2
Operating			626.2				(13.5	)			612.7
Reimbursements			—				102.1				102.1
Cost of revenues from clean coal activities			1,215.4				—				1,215.4
Interest			92.9				—				92.9
Depreciation			90.2				—				90.2
Amortization			199.0				—				199.0
Change in estimated acquisition earnout payables			27.5				—				27.5
Total expenses			4,264.6				134.4				4,399.0
Earnings before income taxes			296.0				34.6				330.6
Benefit for income taxes			(90.0	)			(17.8	)			(107.8	)
Net earnings			386.0				52.4				438.4
Net earnings attributable to noncontrolling interests			28.0				0.6				28.6
Net earnings attributable to controlling interests		$	358.0			$	51.8			$	409.8
Basic net earnings per share		$	1.99			$	0.29			$	2.28
Diluted net earnings per share			1.97				0.29				2.26
Dividends declared per common share			1.17				—				1.17

Select consolidated statement of comprehensive earnings line items, which reflect the adoption of the new revenue recognition guidance, are as follows (in millions):

		Three-month period ended September 30, 2017
		As Previously Reported				Impact of Adoption of Topic 606				As Restated for Adoption of Topic 606
Net earnings		$	137.8			$	(19.7	)		$	118.1
Change in pension liability, net of taxes			1.1				—				1.1
Foreign currency translation			157.4				(0.4	)			157.0
Change in fair value of derivative instruments, net of taxes			2.9				—				2.9
Comprehensive earnings			299.2				(20.1	)			279.1
Comprehensive earnings attributable to noncontrolling interests			5.8				(0.3	)			5.5
Comprehensive earnings attributable to controlling interests		$	293.4			$	(19.8	)		$	273.6

		Nine-month period ended September 30, 2017
		As Previously Reported				Impact of Adoption of Topic 606				As Restated for Adoption of Topic 606
Net earnings		$	386.0			$	52.4			$	438.4
Change in pension liability, net of taxes			3.7				—				3.7
Foreign currency translation			249.7				(3.3	)			246.4
Change in fair value of derivative instruments, net of taxes			11.7				—				11.7
Comprehensive earnings			651.1				49.1				700.2
Comprehensive earnings attributable to noncontrolling interests			28.4				0.6				29.0
Comprehensive earnings attributable to controlling interests		$	622.7			$	48.5			$	671.2

Select balance sheet line items, which reflect the adoption of the new revenue recognition guidance are as follows (in millions):

		December 31, 2017
		As Previously Reported				Impact of Adoption of Topic 606				As Restated for Adoption of Topic 606
Assets
Premium and fees receivables		$	2,157.2			$	1,925.6			$	4,082.8
Other current assets			708.4				173.2				881.6
Deferred income taxes			905.1				(53.5	)			851.6
Other noncurrent assets			567.0				0.1				567.1
Goodwill			4,197.9				(33.1	)			4,164.8
Liabilities
Premiums payable to underwriting enterprises			3,475.9				1,510.1				4,986.0
Accrued compensation and other current liabilities			864.1				83.7				947.8
Deferred revenue - current/unearned fees			74.8				280.5				355.3
Other current liabilities			56.4				(56.4	)			—
Deferred revenue - noncurrent			—				75.3				75.3
Other noncurrent liabilities			1,128.3				(15.7	)			1,112.6
Stockholders’ equity
Retained earnings			1,095.9				125.9				1,221.8
Accumulated other comprehensive loss			(559.9	)			4.5				(555.4	)
Stockholders’ equity attributable to controlling interests			4,105.2				130.4				4,235.6
Stockholders’ equity attributable to noncontrolling interests			59.7				4.4				64.1

Select consolidated statement of cash flows line items, which reflect the adoption of the new revenue recognition guidance are as follows (in millions):

		Nine-month period ended September 30, 2017
		As Previously Reported				Impact of Adoption of Topic 606				As Restated for Adoption of Topic 606
Cash flows from operating activities
Net earnings		$	386.0			$	52.4			$	438.4
Adjustments to reconcile net earnings to net cash provided by operating activities:
Net change in premiums and fees receivable			(261.6	)			(538.5	)			(800.1	)
Net change in deferred revenue			—				24.5				24.5
Net change in premiums payable to underwriting enterprises			198.7				556.9				755.6
Net change in other current assets			(25.0	)			38.9				13.9
Net change in accrued compensation and other current liabilities			(30.7	)			23.0				(7.7	)
Net change in deferred income taxes			(133.2	)			(17.9	)			(151.1	)
Net change in other noncurrent assets and liabilities			(11.6	)			(3.4	)			(15.0	)

Select statement of stockholders’ equity items, which reflect the adoption of the new revenue recognition guidance are as follows (in millions):

		Retained Earnings				Accumulated Other Comprehensive Earnings (Loss)				Stockholders’ Equity Attributable to Noncontrolling Interests				Total Stockholders’ Equity
Balance at December 31, 2017, as reported		$	1,095.9			$	(559.9	)		$	59.7			$	4,164.9
Cumulative-effect adjustment due to Topic 606 as of December 31, 2017			125.9				4.5				4.4				134.8
Balance at December 31, 2017, as restated		$	1,221.8			$	(555.4	)		$	64.1			$	4,299.7

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