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| AOC > SEC Filings for AOC > Form 8-K on 28-Nov-2008 | All Recent SEC Filings |
28-Nov-2008
Costs Associated with Exit or Disposal Activities, Other Events, Financial Statements an
On November 28, 2008, Aon Corporation ("Aon") announced a global restructuring plan in conjunction with its acquisition (the "Acquisition") of Benfield Group Limited ("Benfield"). The restructuring plan, which will continue through the end of 2011, is intended to integrate and streamline operations across the combined Aon Benfield organization. The Acquisition is further described in Item 8.01 below.
The restructuring plan is expected to result in cumulative costs of approximately $185 million (approximately 120 million British pounds) over a three-year period, encompassing workforce reduction, lease consolidation, asset impairment and other costs associated with the restructuring plan. An estimated 500 to 700 positions, predominantly non-client facing roles, are expected to be eliminated as part of the plan. The restructuring plan, before any potential reinvestment of savings, is expected to deliver approximately $33-41 million (approximately 21-27 million British pounds) of savings in 2009, approximately $84-94 million (approximately 54-61 million British pounds) of savings in 2010 and approximately $122 million (approximately 79 million British pounds) of annualized savings in 2011. Amounts stated in US dollars have been converted to British pounds based on US$1.00 = GBP£0.6466.
All of the components of the restructuring plan are not finalized and actual total savings, costs and timing may vary from those estimated due to changes in the scope or assumptions underlying the restructuring plan. Aon is unable in good faith to make a determination of all of the estimates required by paragraphs (b), (c) and (d) of Item 2.05 of Form 8-K with respect to the restructuring actions of its restructuring plan. Aon will file an amendment to this Current Report on Form 8-K after it makes a determination of such estimate or range of estimates.
On November 28, 2008, Aon announced in a press release (the "US Press Release") and in an announcement it issued with Benfield in the United Kingdom (the "UK Announcement") that the Acquisition had been completed.
The US Press Release and the UK Announcement are attached hereto as Exhibits 99.1 and 99.2, respectively, and are incorporated herein by reference.
(a) - (c) Not applicable.
(d) Exhibits: Exhibit Number Description of Exhibit 99.1 Press Release issued November 28, 2008. 99.2 Announcement issued November 28, 2008. |
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