Quarterly results

Third quarter 1998 - Consolidated

Three months ended Sept. 30

1998

1997

Revenues

$2,211,257,000

$2,324,290,000

Pretax Core Operating Earnings

Property-Liability Insurance

$14,679,000

$245,342,000

Life Insurance

$19,754,000

$19,960,000

Asset Management-Investment Banking

$25,872,000

$23,149,000

Parent and Other

($53,127,000)

($58,378,000)

Total Pretax Core Operating Earnings 

$7,178,000

$227,073,000

Income Tax Expense (Benefit)

($40,541,000)

$42,696,000

Core Operating Earnings from Continuing Operations

$47,719,000

$184,377,000

Per Common Share (Basic)

$0.19

$0.79

Per Common Share (Diluted)

$0.19

$0.73

Core Realized Investment Gains, Net of Taxes

$16,083,000

$30,795,000

Per Common Share (Basic)

$0.07

$0.13

Per Common Share (Diluted)

$0.06

$0.12

Net Income

$63,802,000)

$215,172,000

Per Common Share (Basic)

($0.26)

$0.92

Per Common Share (Diluted)

($0.25)

$0.85

Consolidated nine-month results

Six months ended Sept. 30

1998

1997

Revenues

$6,944,138,000

$7,219,643,000

Pretax Core Operating Earnings

Property-Liability Insurance

$278,299,000

$710,394,000

Life Insurance

$56,979,000

$45,756,000

Asset Management-Investment Banking

$74,582,000

$67,283,000

Parent and Other

($157,245,000)

($163,670,000)

Total Pretax Core Operating Earnings 

$252,615,000

$659,763,000

Income Tax Expense (Benefit)

$11,089,000)

$123,792,000

Core Operating Earnings from Continuing Operations

$263,704,000

$535,971,000

Per Common Share (Basic)

$1.08

$2.28

Per Common Share (Diluted)

$1.08

$2.13

One-time Charge, Net of Taxes

($457,517,000)

-

Per Common Share (Basic)

($1.95)

-

Per Common Share (Diluted)

($1.95)

-

Core Realized Investment Gains, Net of Taxes

$155,012,000

$205,311,000

Per Common Share (Basic)

$0.66

$0.89

Per Common Share (Diluted)

$0.66

$0.82

Discontinued Operations, Net of Taxes

-

($67,750,000)

Per Common Share (Basic)

-

($0.29)

Per Common Share (Diluted)

-

($0.27)

Net Income (Loss)

($38,801,000)

$673,532,000

Per Common Share (Basic)

($0.21)

$2.88

Per Common Share (Diluted)

($0.21)

$2.68

Common Shareholders' Equity

$6,592,198,000

$6,199,592,000

Per Common Share

$27.83

$26.98

Third-quarter property-liability underwriting operations highlights

Three months ended Sept. 30

1998

1997

Net written premiums

$1,726,918,000

$1,826,455,000

Net investment income (pretax)

$322,094,000

$328,360,000

Core Statutory Combined ratio

116.7

102.2

Nine-month property-liability underwriting operations highlights

Nine months ended Sept. 30

1998

1997

Net written premiums

$5,126,759,000

$5,326,363,000

Net investment income

$984,987,000

$985,694,000

Core Statutory Combined ratio

113.1

103.8