The company said it expects to see organic growth in commissions and fees in 2006, and salaries and benefits as a percentage of total revenues are expected to remain at 2005 levels. Revenues increased 14 percent, or $174 million in 2005, from $1.18 billion to $1.35 billion.

During an analyst's conference call, Joseph Plumeri, chairman and chief executive officer of Willis, said that the increase in salaries reflects the company's recruitment of quality sales executives over the year.

He said it takes a few years before the newly hired executives become accretive to the firm's growth. The benefits of this recruitment should begin to bear fruit this year, he added.

Mr. Plumeri said the company is seeing higher retention rates and would continue to invest in new people. He added the company plans to make additional acquisitions internationally through 2006.

"The marketplace remains competitive both in fees and premiums," said Mr. Plumeri. "Rates are generally soft except for energy risks in the Gulf of Mexico and [catastrophe] in property-exposed areas where there are poor loss records."

For the year, net income dropped 30 percent, or $127 million, from $427 million, or $2.54 a share, to $300 million, or $1.83 a share. Revenues were off less than 1 percent, or $8 million, from $2.28 billion to $2.27 billion.

Willis also announced a 9 percent increase in its quarterly dividend to 23.5 cents a share, or an annual rate of 94 cents a share, payable on April 14 to shareholders of record as of March 31.