Summary
The appropriate reserve to provide for the ultimate cost of asbestos at Travelers is projected at $3.4 billion
The vast majority of the exposure is due to long identified policyholders
Exposures to more recently identified policyholders are not deemed significant
Asbestos payments should peak in the next two to three years and then decline, representing the characteristics of a “run-off” book of business
Currently projected earnings and balance sheet strength of the Company should provide excellent base for the future