Moody's has upped the rating outlook on Aon to positive from stable.
The ratings agency said the move reflects Aon's healthy net income over the past several years, recent improvement in adjusted brokerage operating margins, steady underwriting performance, as well as progress in implementing more transparent pricing practices following the elimination of contingent commissions.
Moody's said it expects further margin improvement as Aon works through its three-year restructuring plan, which is expected to deliver annualised cost savings of $180m by the year 2008.
