1 | LOCKTON 2012 REPORT

wE TaKE yOuR suCCEss PERsONaLLy LOCKTON 2012 REPORT

1 | LOCKTON 2012 REPORT

L to R: David Lockton, Chairman; John Lumelleau, President and CEO; Mike Hammond, Chairman of International Operations

David M. Lockton Chairman

When I joined Lockton, there were

only nine Associates in the company.

Responding to a client’s needs back then

was simple. The best person for the task

stepped up. Period. That sort of personal

responsibility and commitment became

an important part of the Lockton culture.

Since then, the world has changed

dramatically. Technology, globalization

and emerging markets all bring exciting

new opportunities for our clients. But

they also bring new kinds of risk that

must be managed with sound analytics,

insightful advice and innovative solutions.

Today, those solutions are provided

by more than 4,450 talented Lockton

Associates around the world.

We have gotten bigger, yes, but also

better. As we have evolved, one thing

has not changed. Each Associate still

has the freedom and personal responsibility

to serve the best interests of each and

every client.

It is not policy. It is simply the Lockton

way. We believe that is why clients come

to Lockton and stay with us. And it is

why you can always count on Lockton

to take your success personally.

at Lockton, we take your success personally.

2 | LOCKTON 2012 REPORT

THE KEys TO suCCEss

We have three stakeholders: Our clients,

Associates and communities. We embrace

the freedom to make the right decisions

for all of them.

FIERCELy INDEPENDENT

CLIENTs assOCIaTEs COMMuNITIEs

CLIENTs

15,000LOCKTON

INDusTRy

95%

At 95 percent, our client loyalty is much higher than the industry average.

LOyaLTy

Source: Lockton data and Agency Consulting Group Report

85%

We serve more than 15,000 emerging and growing companies all over the world,

along with 171 companies in the Fortune 1000 and 80 in the Fortune 500.

3 | LOCKTON 2012 REPORT

Our clients operate just about everywhere on the map and so does Lockton.

With 60 Lockton offices around the world, you have easy access and connections

wherever you need us.

60 offices

GROwTH

46 consecutive years of growth have given

us the resources and experience to solve

any risk or employee benefit challenge.

2012

years

THE KEys TO suCCEss

REaCH

4 | LOCKTON 2012 REPORT

Lockton Analytical Risk

Metric Resource leverages

the gathering of real-time market and

business intelligence to help you make

more insightful insurance decisions.Click for more.

LOCKTON aRMR

LOCKTON GLObaL

LOCKTON aDvaNTaGE

SM

ExPERTIsE TO bOOsT yOuR busINEss

A N A L Y T I C A L R I S KM E T R I C R E S O U R C E

“ since the need for insurance

never wavers, it is imperative for

us to not only meet the needs of

our clients, but also anticipate

the changing needs of our

clients. we need to be better

tomorrow than we are today.”

— John Lumelleau, President & CEO

A partnership of 30 of the world’s leading independent

brokers, Lockton Global LLP complements the

Lockton-owned operations through brokers with local

expertise to provide the highest level of global service.Click for more.

Lockton Advantage allows us to leap

beyond transactional excellence to the

highest level of expert advice by aligning

our clients’ core business objectives with

innovative risk management strategies.

5 | LOCKTON 2012 REPORT

Lockton provides clients more than employee benefits. We

are a leader in developing innovative, data-driven solutions

that improve employee health and actually reduce employers’

healthcare costs. Click for more.

HealthRiskSolutions™

LOCKTON HEaLTH RIsK sOLuTIONs

Lockton’s best-in-class Health Reform Advisory Practice advises clients on the

integration of health reform requirements with their overall compensation and

benefits strategies. Click for more.

HEaLTH REFORM aDvIsORy PRaCTICE

“ at Lockton, our talents and

capabilities are as sophisticated

as any insurance consulting

organization in the world. and

yet, we’re still able to deliver

results with the same personal

touch that we had when we

were a very small organization.”

— David Lockton, ChairmanConstruction clients benefit from new online tools. S.C.O.R.E. objectively

compares subcontractors on financial and safety criteria. PayLock helps

general contractors effectively track and manage downstream payments

to subcontractors and suppliers, reducing financial risk. Click for more.

LOCKTON s.C.O.R.E.™ & PayLOCK™

ExPERTIsE TO bOOsT yOuR busINEss

6 | LOCKTON 2012 REPORT

“ Lockton’s continued globalization is exciting for our clients and our associates. Our success all over the world is a

reflection of our commitment to stay ahead of the curve, where smart people provide expert advice that helps clients in

ways no one else can.” — Mike Hammond, Chairman of International Operations

wE LIvE sERvICE!® No matter where you operate.

Click for more.

7 | LOCKTON 2012 REPORT

NEw OFFICEs

Lockton is proud to welcome new offices in these locations around the world.

Despite another year of domestic and

global economic turmoil, Lockton’s

financial performance in 2011-2012

continued its 46-year growth trend. Our

total revenue of $914,748,000 not only

set a company record, but is also within

sight of a tantalizing $1 billion milestone.

And our 9.4 percent organic growth rate

is untouched by any other global broker.

Source: SEC filings and company data

ORGaNIC GROwTH COMPaRIsON

LOCKTONbROKER CbROKER bbROKER a

PERFORMaNCE by THE NuMbERs

Fiscal year ends april 30. Lockton acquired international operations in fiscal 2007. Fiscal 2009 and 2010 revenues adjusted to eliminate foreign exchange fluctuations.

2008 2009 2010

TOTaL REvENuE (In Millions)

2007 2011

8 | LOCKTON 2012 REPORT

At Lockton we have a motto: wE LIvE sERvICE!® More than just a saying, it is a cultural reflection of who we are, and a promise that extends beyond our clients and Associates to the communities around us. After all, we only have one planet, and we all live on it together. Supporting our communities makes everyone stronger.

wE aLsO TaKE OuR COMMuNITIEs PERsONaLLy

After an EF-5 tornado wiped out 8,000 buildings and killed 162 people in the southwest Missouri city of Joplin, Lockton raced in to help. Hundreds of Lockton Associates donated money and transported

baby supplies and bottled water to help families who had lost everything. However, the community also desperately needed long-term help. So on October 27, 2011, 140 Lockton Associates boarded buses for the three-hour trip from Kansas City to Joplin. Over three days, these tireless volunteers helped rebuild homes, churches, schools and lives.

Rebuilding lives in Joplin

Click for more.

Left: Lockton volunteers tilt the first form into position at the Meagan snider home during a three-day rebuild in Joplin, Missouri.

Right: Lockton volunteers secure a wall for the front of Meagan snider’s rebuilt home.

9 | LOCKTON 2012 REPORT

The 2011 monsoon season truly hit home for our communities, clients and colleagues in the Lockton family. The floodwaters of October 26 devastated property and businesses throughout Thailand, including the Lockton office in Bangkok. More than half our 216 Associates were affected directly. Many were cut off from work by roads that were blocked or washed away by the floods. Others were separated from their homes for weeks, many of which had been severely damaged or destroyed by up to five feet of water. The response within our organization was inspiring. More than 500 Lockton Associates

Lockton associates in bangkok and around the world came together to help millions of people affected by devastating floodwaters that destroyed homes and roads throughout Thailand.

a flood of relief in Thailand

®

from the U.S., the U.K., Brazil, Hong Kong, Korea, Singapore, Ireland, Dubai, China and the Philippines demonstrated their community spirit, donating more than $55,000 to help victims recover from the fourth-costliest natural disaster in history. In addition, our Associates in Bangkok raised another $40,000 to help fellow Associates and neighbors.

10 | LOCKTON 2012 REPORT

While the balance sheet is one way to gauge performance, the true measure of Lockton’s success goes beyond the numbers.

THE TRuE MEasuRE OF suCCEss

On the strength of our best practices in

Associate recognition, entrepreneurial spirit and relationships with business partners, Lockton has again been named a Great Place to Work® in Mexico. Click for more.

For the third year running, Lockton was

voted a Best Place to Work in Insurance by Best Companies Group and Business Insurance magazine. Lockton also received recognition in many cities with “Best Places” honors. Click for more.

Based solely on Associate responses, Lockton Chicago won the “Best Places to

Work” Award in Illinois for the fourth year in a row. Click for more.

For the third year, Lockton earned the Chartered Insurance Broker designation by the Chartered Insurance

Institute in London. Again, we were the largest broker to earn this honor. Click for more.

Lockton (MENA)

Limited has received Lloyd’s Broker Registration in Dubai, providing access to some of the world’s best underwriting and risk management talent. Click for more.

Once again, the Kansas City Business

Journal has honored Lockton our continued investment in our Associates, our innovative use of technologies and our community involvement. As a three-time winner of this prestigious award, Lockton has joined the Hall of Champions. Click for more.

11 | LOCKTON 2012 REPORT

To learn more about the intellectual insight that helps our clients make informed decisions to run their businesses, visit the following:

Follow us on Facebook, Twitter, and YouTube.

www.LocktonClientStories.com www.LocktonMarketUpdateBlog.com www.LocktonHealthReformBlog.com

LEaRN MORE

Core services: Risk Management Consulting • Employee Benefits Consulting

Retirement Plan Advisory Services • Corporate Insurance Brokerage

12 | LOCKTON 2012 REPORT

INsuRaNCE | RIsK MaNaGEMENT | EMPLOyEE bENEFITs CONsuLTING

www.lockton.com

©2012 Lockton, Inc. al l r ights reserved.

Our Mission

To be the worldwide value and service leader

in insurance brokerage, employee benef i ts, and r isk management

Our Goal

To be the best place to do business and to work