CREDITING HIGH retention rates and strong new-business growth,Marsh & McLennan Cos. reports its first-quarter net income grewby 7 percent from the same period last year.

The New York-based services company reports net income increased$22 million to $347 million. Revenues rose 6 percent, or $167million, to $3.05 billion.

Revenues at brokerage-unit Marshrose 8 percent, or $97 million, to $1.4 billion with organic growthof 7 percent. Guy Carpenter revenues were up 5 percent, or $17million, to $357 million. Organic growth also rose 7 percent.

On the subject of pricing, Group President and COO Daniel S.Glaser said property rates are being impacted more than casualtyrates. In the U.S., Property, Workers' Comp and Excess Casualty areall up moderately. General Liability and D&O insurance arestill down. In other places in the world, rates are mixed.

Aon, meanwhile, says its net income dropped 3 percentyear-over-year in Q1 as foreign-exchange translation and investmentin internal operations impacted results.

The brokerage reports first-quarter net income of $238 million,or 72 cents a share, down $8 million from the prior year.

Revenues grew 3 percent, or $82 million, to $2.84 billion.

During a conference call with financial analysts, President andCEO Greg Case said the company performed well in the first quarter,with organic growth of 4 percent “across every major business.” Headded that the firm recorded retention rates of 90 percent orbetter in its operating segments, underscoring strong growththroughout the global markets.