8-K

UNITED STATES
SECURITIES AND EXCHANGE COMMISSION

Washington, D.C. 20549

FORM 8-K

CURRENT REPORT
Pursuant to Section 13 or 15(d) of the Securities Exchange Act of 1934

Date of Report (Date of earliest event reported):  May 3, 2005

The St. Paul Travelers Companies, Inc.

(Exact name of registrant as specified in its charter)

Minnesota	001-10898	41-0518860
(State or other jurisdiction of incorporation)	(Commission File Number)	(IRS Employer Identification Number)
385 Washington StreetSaint Paul, Minnesota		55102
(Address of principal executive offices)		(Zip Code)

(651) 310-7911

(Registrant’s telephone number, including area code)

Not Applicable

(Former name or former address, if changed since last report)

Check the appropriate box below if the Form 8-K filing is intended to simultaneously satisfy the filing obligation of the registrant under any of the following provisions (see General Instruction A.2. below):

oWritten communications pursuant to Rule 425 under the Securities Act (17 CFR 230.425)

oSoliciting material pursuant to Rule 14a-12 under the Exchange Act (17 CFR 240.14a-12)

oPre-commencement communications pursuant to Rule 14d-2(b) under the Exchange Act (17 CFR 240.14d-2(b))

oPre-commencement communications pursuant to Rule 13e-4(c) under the Exchange Act (17 CFR 240.13e-4(c))

Item 2.02.  Results of Operations and Financial Condition.

On May 3, 2005, The St. Paul Travelers Companies, Inc. (the “Company”) issued a press release announcing the results of the Company’s operations for the quarter ended March 31, 2005, and the availability of the Company’s first quarter financial supplement on the Company’s web site.  The press release and the financial supplement are furnished as Exhibits 99.1 and 99.2 to this Report and are hereby incorporated by reference in this Item 2.02.

As provided in General Instruction B.2 of Form 8-K, the information and exhibits contained in this Form 8-K shall not be deemed to be “filed” for purposes of Section 18 of the Securities Exchange Act of 1934, as amended, nor shall they be deemed to be incorporated by reference in any filing under the Securities Act of 1933, as amended, except as shall be expressly set forth by specific reference in such a filing.

Item 9.01.  Financial Statements and Exhibits.

(c)Exhibits.

Exhibit No.	Description
99.1	Press Release, dated May 3, 2005, reporting results of operations (This exhibit is furnished and not filed.)
99.2	First Quarter 2005 Financial Supplement of The St. Paul Travelers Companies, Inc. (This exhibit is furnished and not filed.)

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SIGNATURES

Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned hereunto duly authorized.

Date:       May 3, 2005	THE ST. PAUL TRAVELERS COMPANIES, INC.
	By:	/s/ Bruce A. Backberg
		Name:	Bruce A. Backberg
		Title:	Senior Vice President

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EXHIBIT INDEX

Exhibit No.	Description
99.1	Press Release, dated May 3, 2005, reporting results of operations (This exhibit is furnished and not filed.)
99.2	First Quarter 2005 Financial Supplement of The St. Paul Travelers Companies, Inc. (This exhibit is furnished and not filed.)

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EX-99.1

Exhibit 99.1

NEWS RELEASE

St. Paul Travelers First Quarter 2005 Income from Continuing
Operations Increased 49% from the Prior Year Quarter to a Record $877 Million

SAINT PAUL, Minn. (May 3, 2005) – St. Paul Travelers Companies, Inc. (“St. Paul Travelers,” NYSE: STA) today reported income from continuing operations of $877 million for the quarter ended March 31, 2005, or $1.31 per basic share and $1.25 per diluted share, compared to $587 million, or $1.35 per basic share and $1.31 per diluted share, in the prior year quarter.  The current quarter GAAP combined ratio was 90.5 percent, 1.4 points lower than in the prior year quarter.  Net income for the current quarter was $212 million, or $0.31 per basic share and diluted share, compared to $587 million, or $1.35 per basic share and $1.31 per diluted share, in the prior year quarter.  Net income for the current quarter included a $665 million after-tax loss from discontinued operations, which consisted of the $687 million tax charge previously disclosed in the company’s March 30 press release, related to the company’s disposition of its equity stake in Nuveen Investments, Inc. (“Nuveen”), partially offset by the company’s share of Nuveen’s net income for the quarter.

Operating income for the current quarter was $859 million, or $1.28 per basic share and $1.23 per diluted share, compared to $614 million, or $1.41 per basic share and $1.37 per diluted share, in the prior year quarter.  Operating income represents reported net income excluding the impact of realized investment gains and losses and the results of discontinued operations.

St. Paul Companies, Inc. (“St. Paul”) and Travelers Property Casualty Corp. (“Travelers”) merged to form St. Paul Travelers on April 1, 2004.  St. Paul Travelers’ results for the first quarter of 2004 do not include the results of St. Paul.

Highlights for the Quarter

•Operating return on equity of 16.7 percent (excluding FAS 115).

•GAAP combined ratio of 90.5 percent, 1.4 points lower than in the prior year quarter.

•Strong performance in all business segments.  The Commercial and Specialty segments recorded operating income of $433 million and $188 million and combined ratios of 94.9 percent and 95.6 percent, respectively.  The Personal segment recorded operating income of $285 million and a combined ratio of 78.7 percent.

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•Favorable prior year reserve development of $78 million after-tax in the Personal segment due to continued favorable claim performance in both the Auto and the Homeowners and Other lines.

•Total catastrophe losses of $58 million after-tax in the Specialty and Personal segments, of which $38 million resulted from adverse loss development related to the third quarter 2004 hurricanes and $20 million resulted from floods in the U.K. and hailstorms in Texas that occurred in the current quarter.

•Gross written premiums of $5.921 billion, up 47 percent from the prior year quarter and down 3 percent on a pro forma combined basis, excluding the runoff businesses categorized as Commercial Other.

On April 6, the secondary offering and related transactions for the sale of the company’s equity investment in Nuveen were priced.  The company has received approximately $1.8 billion of cash to date and expects to receive an additional $400 million upon closing of the forward share repurchase contract with Nuveen, expected to occur in the third quarter of this year.  Total after-tax cash proceeds, excluding 3.9 million shares associated with the underwriters’ overallotment option, are estimated to be $2.0 billion, after utilization of the company’s remaining net operating loss carryforward of approximately $1.6 billion.

Jay Fishman, President and Chief Executive Officer, said, “We are off to an excellent start, with all our business segments generating very strong operating income in the quarter.  With our fundamental earnings power emerging, we believe that we are well positioned to generate attractive returns for our investors while having adequate resources to make the investments necessary to provide for future profitable growth.

 “Retention levels are very strong and operating margins are very attractive, as loss indications remain at low levels and renewal price changes for our company stay modestly positive.  While we actively seek opportunities for new business, we will not compromise our underwriting discipline and will add volume only when pricing meets our return hurdles.

“We are excited about the franchise that we have created and all of the competitive advantages and opportunities that it provides us in the marketplace,” concluded Mr. Fishman.

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Consolidated First Quarter Highlights

($ in millions, except for per share amounts, and	Three Months Ended March 31
after-tax except for premiums)	2005			2004			Change
Gross written premiums	$	5,921		$	4,032		47	%
Net written premiums	4,780			3,400			41
Net earned premiums	5,119			3,339			53
Underwriting gain	291			160			82
Net investment income	583			454			28
Income from continuing operations	877			587			49
Operating income	859			614			40
Net income	212			587			(64	)
Book value per share	$	30.51		$	28.98		5
Adjusted book value per share (1)	$	30.10		$	26.18		15
GAAP combined ratio	90.5		%	91.9		%	(1.4	) pts
Continuing operations return on equity	16.6		%	19.0		%	(2.4	)
Return on equity	4.0		%	19.0		%	(15.0	) pts
Operating return on equity (1)	16.7		%	21.9		%	(5.2	) pts

(1) Excludes FAS 115

Note: First quarter 2004 reflects only the results of Travelers

Please see Glossary of Financial Measures for definitions and the statistical supplement for additional financial data

Gross written premiums increased 47 percent from the prior year quarter to $5.921 billion.  The increase was due to the inclusion of St. Paul’s gross written premiums in the current quarter.  Gross written premiums, excluding the premium impact of the runoff businesses categorized as Commercial Other, decreased 3 percent on a pro forma combined basis from the prior year quarter.  This decrease is primarily due to relatively modest declines in renewal price changes in the company’s Commercial segment, decreases in the Specialty segment’s construction business due to the nearly completed process of aligning the construction underwriting profile of the two predecessor companies and lower new business volume in both the Commercial and Specialty segments.  The company’s Personal segment continues to experience positive growth.

Net written premiums as reported increased 41 percent from the prior year quarter to $4.780 billion.  Net written premiums, excluding the premium impact of the runoff businesses categorized as Commercial Other, decreased 6 percent on a pro forma combined basis from the prior year quarter.  This decrease was impacted by changes in the terms and timing of the purchase of the company’s reinsurance programs for its Specialty segment which resulted in more premiums being ceded in the current quarter as compared to the prior year quarter.  These changes significantly impact the quarter-over-quarter comparison of net written premiums.

Net investment income for the current quarter was $583 million after-tax ($765 million pre-tax), which was driven by continued strong operating cash flows.

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The current quarter GAAP combined ratio of 90.5 percent included 2.2 points for net favorable non-catastrophe prior year reserve development and 1.7 points for catastrophe losses (1.1 points related to the prior year and 0.6 points related to the current year).

Commercial Segment Financial Results

For the first quarter of 2005, the Commercial segment reported operating income of $433 million.  Loss indications remain at low levels resulting in favorable operating margins.  The current quarter Commercial GAAP combined ratio was 94.9 percent.

Gross and net written premiums for the Commercial segment decreased 7 percent and 8 percent, respectively, on a pro forma combined basis from the prior year quarter, excluding the premium impact of the runoff businesses categorized as Commercial Other, and decreased 12 percent and 13 percent, respectively, overall.  The decrease quarter over quarter is primarily due to lower new business volume and relatively modest declines in renewal price changes.  In addition, the previous year quarter benefited from increased new business associated with the Royal & SunAlliance and Atlantic Mutual renewal rights transactions.  Retention rates were very strong in the current quarter, and new business levels were higher than in the third and fourth quarters of 2004.

Gross written premiums for Commercial Other, which is comprised of the results of Gulf and other run-off operations, decreased to $78 million on a pro forma combined basis from the prior year quarter (or to $40 million on a net written premium basis) due to the intentional non-renewal of written premiums for these businesses.  Approximately $51 million of gross written premiums previously written by Gulf were renewed by Domestic Specialty in the current quarter.

Specialty Segment Financial Results

For the first quarter 2005, the Specialty segment reported operating income of $188 million.  The results included an after-tax charge of $47 million ($71 million pre-tax) for catastrophe losses, of which $34 million ($52 million pre-tax) was adverse prior year loss development related to the third quarter 2004 hurricanes, and $13 million ($19 million pre-tax) was current quarter catastrophe losses related to floods in the U.K.  The Specialty GAAP combined ratio was 95.6 percent in the current quarter, which included 4.8 points for catastrophe losses (3.5 points related to the prior year and 1.3 points related to the current year).

Gross written premiums decreased 2 percent on a pro forma combined basis from the prior year quarter due to the nearly completed process of aligning the construction underwriting profile of the two predecessor companies, partially offset by higher premium volume in several Domestic and International Specialty businesses.  Approximately $51 million of gross written premiums previously written in Gulf were renewed in Domestic Specialty in the current quarter.

Net written premiums decreased 12 percent on a pro forma combined basis from the prior year quarter to $1.216 billion due to changes in the terms and timing of the purchase of the company’s reinsurance programs, as discussed above.  These changes significantly impact the quarter-over-quarter comparison of net written premiums in the Specialty segment.  The decrease in net written premiums also incorporates a modest adjustment to 2004 ceded written premiums in the Specialty segment to report at inception all ceded written premiums for reinsurance agreements that have minimum amounts required to be ceded.  Previously, ceded written premiums for certain of these agreements were reported over the life of the reinsurance contracts.  This change only affected the statistical disclosure of net written premiums and had no effect on gross written premiums or GAAP or statutory quarterly earned premiums, operating results or capital.  There were no significant changes in company-wide quarterly trends in 2004.  However, within Specialty, the quarter with the largest impact was the third quarter of 2004, in which adjusted net written premiums on a pro forma combined basis increased 4 percent quarter-over-quarter rather than the 7 percent decrease previously reported.

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Within Domestic Specialty, retention was slightly higher than the prior year quarter, although modestly down from the fourth quarter 2004, and new business levels were consistent with the fourth quarter 2004.  Within International Specialty, excluding Lloyd’s, retention levels were substantially higher than in the prior year quarter and consistent with the fourth quarter 2004, and new business levels were modestly lower than in prior quarters.

Personal Segment Financial Results

For the first quarter 2005, the Personal segment reported operating income of $285 million compared to $237 million in the prior year quarter.  The 20 percent increase in 2005 was primarily due to continued favorable claim frequency in both the Auto and the Homeowners and Other lines, severity trend improvement in the Auto line and growth in business volumes, particularly in the Homeowners and Other line.  The current quarter results included an after-tax benefit of $78 million ($120 million pre-tax) from favorable prior year reserve development related to continued declines in claim frequency and severity in both the Auto and the Homeowners and Other lines, a $4 million after-tax charge ($6 million pre-tax) for adverse prior year loss development related to the third quarter 2004 hurricanes and a $7 million after-tax charge ($12 million pre-tax) for current quarter catastrophe losses related to hailstorms in Texas.  This compares to an after-tax benefit of $66 million ($101 million pre-tax) for net favorable prior year reserve development and an after-tax charge of $13 million ($20 million pre-tax) for catastrophe losses in the prior year quarter.

The Personal GAAP combined ratio was 78.7 percent in the current quarter, compared to 84.3 percent in the prior year quarter.  The significant improvement in the combined ratio was primarily due to the recognition of lower frequency in both the Auto and the Homeowners and Other lines, consistent with trends in the past few quarters.  The current quarter GAAP combined ratio included 7.8 points of net favorable prior year development (including 0.4 points for adverse prior year loss development related to the third quarter 2004 hurricanes) and 0.8 points of current quarter catastrophe losses.  The prior year quarter GAAP combined ratio included 7.8 points of net favorable prior year development and 1.5 points of catastrophe losses.

First quarter gross written premiums increased 4 percent from the prior year quarter and net written premiums increased 5 percent, primarily due to unit growth in Homeowners and Other, as well as continued increases in premium rates across both the Automobile and the Homeowners and Other lines of business.

Automobile net written premiums increased 1 percent and policies in force grew 5 percent in the current quarter as compared to the prior year quarter.  Improving industry results over the past few years has increased competition, particularly for personal auto.  While retention remains strong, new business volume has slowed.

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Homeowners and Other net written premiums and policies in force both increased 12 percent from the prior year quarter due to a combination of price increases and higher new business.  Business growth is strongest in less catastrophe exposed areas.  While competition has led to a slowing of new business volume, retention rates remain strong and consistent with prior quarters.

Financial Supplement and Conference Call

The information in this press release should be read in conjunction with a financial supplement that is available on our Web site at www.stpaultravelers.com.  The management of St. Paul Travelers will discuss the contents of this release via Webcast at 9:00 a.m. EDT (8:00 a.m. CDT) on Tuesday, May 3, 2005.  Prior to the Webcast, a related slide presentation will be available on the company’s Web site.  Following the live event, an audio playback of the Webcast and the slide presentation will be available at the company’s Web site.

To view the slides or to listen to the Webcast or the playback, visit the “Webcasts & Presentations” section of St. Paul Travelers investor relations Web site at http://investor.stpaultravelers.com/.

About St. Paul Travelers

St. Paul Travelers is a leading provider of property casualty insurance.  For more information, visit www.stpaultravelers.com.

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Glossary of Financial Measures

The following measures are used by the company’s management to evaluate financial performance against historical results and establish targets on a consolidated basis. In some cases, these measures are considered non-GAAP financial measures under applicable SEC rules because they are not displayed as separate line items in the consolidated statement of income or required to be disclosed in the notes to financial statements, and in some cases, include or exclude certain items not ordinarily included or excluded in the most comparable GAAP financial measure. In the opinion of the company’s management, a discussion of these measures provides investors with a better understanding of the significant factors that comprise the company’s periodic results of operations and how management evaluates the company’s financial performance.

Operating income is net income excluding the after-tax impact of net realized investment gains (losses) and discontinued operations on a per share basis. Operating income per share is operating income on a per share basis.

Return on equity is the ratio of net income to average equity.  Continuing operations return on equity is the ratio of income from continuing operations to average equity.  Operating return on equity is the ratio of operating income to average equity excluding net unrealized gains or losses on investment securities and discontinued operations, net of tax.

In the opinion of the company’s management, operating income, operating income per share, and operating return on equity are meaningful indicators of underwriting and operating results.  These measures exclude net realized investment gains or losses which can be significantly impacted by both discretionary and other economic factors and are not necessarily indicative of operating trends.  Internally, the company’s management uses operating income, operating income per share and operating return on equity to evaluate performance against historical results and establish financial targets on a consolidated basis.

Underwriting gain or loss is net earned premiums and fee income less claims and claim adjustment expenses and insurance-related expenses.  This profit or loss calculation includes reinsurance assumed and ceded but excludes net investment income and net realized investment gains (losses).

A catastrophe is a severe loss, resulting from natural and manmade events, including risks such as fire, earthquake, windstorm, explosion, terrorism and other similar events. Each catastrophe has unique characteristics. Catastrophes are not predictable as to timing or amount in advance, and therefore their effects are not included in earnings or claims and claim adjustment expense reserves prior to occurrence. In the opinion of the company’s management, a discussion of the impact of catastrophes is meaningful for investors to understand the variability in periodic earnings.

Loss reserve development is the increase or decrease in incurred claims and claim adjustment expenses as a result of the re-estimation of claims and claim adjustment expense reserves at successive valuation dates for a given group of claims.  Loss reserve development may be

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related to prior year or current year development.  In the opinion of the company’s management, discussion of prior year loss reserve development is useful to investors as it allows them to assess the impact between prior year and current year development on current earnings and changes in claims and claim adjustment expense reserve levels from period to period.

GAAP combined ratio is the sum of the loss and loss adjustment expense ratio (loss and LAE ratio), the underwriting expense ratio and, where applicable, the ratio of dividends to policyholders to net premiums earned.  For GAAP, the loss and LAE ratio is the ratio of incurred losses and loss adjustment expenses reduced by an allocation of fee income to net earned premiums.  The underwriting expense ratio is the ratio of underwriting expenses incurred reduced by an allocation of fee income, billing and policy fees to net earned premium. A GAAP combined ratio under 100 percent generally indicates an underwriting profit. A GAAP combined ratio over 100 percent generally indicates an underwriting loss. The GAAP combined ratio is an operating statistic that includes GAAP measures in the numerator and the denominator.

Gross written premiums reflect the direct and assumed contractually determined amounts charged to the policyholders for the effective period of the contract based on the terms and conditions of the insurance contract.  Gross written premiums are a measure of overall business volume.

Pro forma combined gross and net written premiums reflect the addition of gross and net written premiums, respectively, of The St. Paul and Travelers for periods prior to the merger on April 1, 2004.  The pro forma combined gross and net written premium amounts are not affected by purchase accounting adjustments.  Gross and net written premiums are a measure of business volume before and after reinsurance.  The pro forma information presented is not necessarily indicative of what would have occurred had the acquisition and related transactions been made at the beginning of the applicable period, or of future results of the company.

Adjusted book value per share represents assets less liabilities excluding the after-tax impact of net unrealized investment gains and losses, divided by the number of shares outstanding. In the opinion of the company’s management, adjusted book value is useful in an analysis of a property-casualty company’s book value on a nominal basis as it removes the effect of changing prices on invested assets, which do not have an equivalent impact on unpaid claims and claim adjustment expense reserves.

St. Paul Travelers has organized its businesses into the following operating and reporting segments, beginning with the second quarter 2004:

Commercial: Commercial – Core offers a broad array of property and casualty insurance and insurance-related services and is organized into the following three marketing and underwriting groups focusing on a particular client base or product grouping to provide products and services that specifically address clients’ needs: Commercial Accounts, Select Accounts and National Accounts. Commercial - Other includes policies written by Gulf, primarily management and professional liability coverages (prior to the integration of these products into Specialty in April 2004), the Special Liability Group and runoff operations.

Specialty provides dedicated underwriting, claim and risk control services that require specialized expertise, domestically and internationally.  Domestic Specialty includes Financial and Professional Services, Bond, Construction, Technology, Ocean Marine, Oil and Gas, Public Sector and Excess & Umbrella, among others.  International Specialty includes operations in the U.K, Ireland, Canada and the company’s participation in Lloyd’s.

Personal writes virtually all types of property and casualty insurance covering personal risks.  The primary coverages in this segment are personal automobile and homeowners insurance sold to individuals.

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Discontinued Operations (Asset Management) comprises Nuveen Investments, whose core businesses are asset management and related research, as well as the development, marketing and distribution of investment products and services for the affluent, high net worth and institutional market segments.  The Company held a 78% interest in Nuveen Investments as of March 31, 2005.

* * * * *

Segment results for the first quarter 2004 have been restated from the historical presentation of Travelers to conform to the new St. Paul Travelers segment arrangement where practicable and only include the results of Travelers.  As a result, for the first quarter 2004 Bond and Construction results were disaggregated from historical Travelers Commercial Lines segment to create a historical Specialty segment and to restate Commercial into the new format.

Invested and other assets and net investment income (NII) of historical Travelers had been specifically identified by reporting segment prior to the merger.  Beginning in the second quarter 2004, the company developed a methodology to allocate NII and invested assets to the identified segments.  This methodology allocates pre-tax NII based upon an investable funds concept, which takes into account liabilities (net of non-invested assets) and appropriate capital considerations for each segment.  It is not practicable to apply the methodology to historical businesses and as such, actual (versus allocated) NII is included in revenues and operating income of the restated segments for periods prior to the merger.  It is also not practicable to present total assets for restated Specialty and Commercial segments for periods prior to the merger.  The company believes that the differences, if any, are not significant to a comparison with the new segment presentation.

Forward Looking Statement

This press release may contain, and management may make, certain “forward-looking statements” within the meaning of the Private Securities Litigation Reform Act of 1995.  All statements, other than statements of historical facts, may be forward-looking statements.  Specifically, the company may make forward-looking statements about the company’s results of operations (including, among others, premium volume, income from continuing operations, net and operating income and return on equity), financial condition and liquidity; the sufficiency of the company’s asbestos and other reserves (including, among others, asbestos claim payment patterns); the post-merger integration (including, among others, expense savings); and strategic initiatives (including, among others, the sale of the company’s interest in Nuveen).  Such statements are subject to certain risks and uncertainties, many of which are difficult to predict and generally beyond the company’s control, that could cause actual results to differ materially from those expressed in, or implied or projected by, the forward-looking information and statements.

Some of the factors that could cause actual results to differ include, but are not limited to, the following: adverse developments involving asbestos claims and related litigation; the impact of aggregate policy coverage limits for asbestos claims; the impact of bankruptcies of various asbestos producers and related businesses; the willingness of parties including the company to settle asbestos-related litigation; the company’s ability to fully integrate the former St. Paul and Travelers businesses in the manner or in the timeframe currently anticipated; the company’s ability to execute announced and future strategic initiatives as planned; insufficiency of, or changes in, loss and loss adjustment expense reserves; the company’s inability to obtain prices sought due to competition or otherwise; the occurrence of catastrophic events, both natural and man-made, including terrorist acts, with a severity or frequency exceeding the company’s expectations; exposure to, and adverse developments involving, environmental claims and related litigation; the impact of claims related to exposure to potentially harmful products or substances, including, but not limited to, lead paint, silica and other potentially harmful substances; adverse changes in loss cost trends, including inflationary pressures in medical costs and auto and building repair costs; the effects of corporate bankruptcies on surety bond claims; adverse developments in the cost, availability and/or ability to collect reinsurance; the ability of the company’s subsidiaries to pay dividends to us; adverse developments in legal proceedings; judicial expansion of policy coverage and the impact of new theories of liability; the impact of legislative and other governmental actions, including, but not limited to, federal and state legislation related to asbestos liability reform and governmental actions regarding the compensation of brokers and agents; the impact of well-publicized governmental investigations of certain industry practices, including with respect to business practices between insurers, including the company, and brokers and the purchase and sale by insurers, including the company, of finite, or non-traditional, insurance products; the performance of the company’s investment portfolios, which could be adversely impacted by adverse developments in U.S. and global and financial markets, interest rates and rates of inflation; weakening U.S. and global economic conditions; larger than expected assessments for guaranty funds and mandatory pooling arrangements; a downgrade in the company’s claims-paying and financial strength ratings; the loss or significant restriction on the company’s ability to use credit scoring in the pricing and underwriting of Personal policies; and changes to the regulatory capital requirements.

The company’s forward-looking statements speak only as of the date of this press release or as of the date they are made, and the company undertakes no obligation to update its forward-looking statements.

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Summary of Financial Information

On April 1, 2004, Travelers Property Casualty Corp. (Travelers) completed its previously announced merger into The St. Paul Companies, Inc. (St. Paul), forming The St. Paul Travelers Companies, Inc. (St. Paul Travelers). Each share of Travelers class A and class B common stock was exchanged for 0.4334 of a share of St. Paul Travelers common stock, and the Travelers treasury stock was cancelled. The number of shares and per share amounts for all periods presented have been restated to reflect the equivalent number of shares resulting from the exchange of Travelers common stock for St. Paul Travelers common stock due to the merger on April 1, 2004.

For accounting purposes, this transaction was accounted for as a reverse acquisition with Travelers treated as the accounting acquirer. Accordingly, the transaction was accounted for as a purchase business combination, using Travelers historical financial information and applying fair value estimates to the acquired assets, liabilities and commitments of St. Paul as of April 1, 2004. Information for the first quarter 2004 reflects only the standalone results of Travelers.

	Three months ended
	March 31,
($in millions, except per share amounts, and after-tax)	2005			2004
Operating income	$	859		$	614
Net realized investment gains (losses)	18			(27		)
Income from continuing operations	877			587
Discontinued operations	(665		)	—
Net income	$	212		$	587
Basic earnings per share
Operating income	$	1.28		$	1.41
Net realized investment gains (losses)	0.03			(0.06		)
Income from continuing operations	1.31			1.35
Discontinued operations	(1.00		)	—
Net income	$	0.31		$	1.35
Diluted earnings per share
Operating income	$	1.23		$	1.37
Net realized investment gains (losses)	0.02			(0.06		)
Income from continuing operations	1.25			1.31
Discontinued operations	(0.94		)	—
Net income	$	0.31		$	1.31
Weighted average number of common shares outstanding (basic)	668.1			434.6
Weighted average number of common shares outstanding and common stock equivalents (diluted)	709.1			453.9
Common shares outstanding at period end	673.6			437.3
Common stock dividends declared	$	148.2		$	81.7
Operating income (loss) by segment
Commercial	$	433		$	430
Specialty	188			(28		)
Personal	285			237
Interest Expense and Other	(47		)	(25		)
	$	859		$	614
Continuing operations return on equity	16.6		%	19.0		%
Return on equity	4.0		%	19.0		%
Operating return on equity (1)	16.7		%	21.9		%

See Glossary of Financial Measures and the statistical supplement for additional financial data.

(1) Excludes FAS 115

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	Three months ended March 31,
($ in millions before tax)	2005			2004
Revenues
Premiums	$	5,119		$	3,339
Net investment income	765			619
Fee income	171			172
Net realized investment losses	—			(42		)
Other revenues	50			39
	$	6,105		$	4,127
Revenues by segment excluding net realized investment gains
Commercial	$	2,808		$	2,336
Specialty	1,700			368
Personal	1,592			1,465
Interest Expense and Other	5			—
	6,105			4,169
Net realized investment losses	—			(42		)
	$	6,105		$	4,127
Gross written premiums
Commercial	$	2,529		$	2,213
Specialty	1,913			398
Personal	1,479			1,421
	$	5,921		$	4,032
Net written premiums
Commercial	$	2,130		$	1,765
Specialty	1,216			269
Personal	1,434			1,366
	$	4,780		$	3,400
GAAP combined ratios: (1)
Commercial (2)
Loss and loss adjustment expense ratio	65.2		%	64.5		%
Underwriting expense ratio	29.7			25.9
Combined ratio	94.9		%	90.4		%
Specialty (2)
Loss and loss adjustment expense ratio	64.5		%	97.7		%
Underwriting expense ratio	31.1			35.2
Combined ratio	95.6		%	132.9		%
Personal
Loss and loss adjustment expense ratio	52.4		%	60.1		%
Underwriting expense ratio	26.3			24.2
Combined ratio	78.7		%	84.3		%
Total Company (2)
Loss and loss adjustment expense ratio	61.3		%	65.8		%
Underwriting expense ratio	29.2			26.1
Combined ratio	90.5		%	91.9		%

(1)For purposes of computing GAAP ratios, billing and policy fees (which are a component of other revenues) are allocated as a reduction of other underwriting expenses. In addition, fee income is allocated as a reduction of losses and loss adjustment expenses and other underwriting expenses.

(2)Before policyholder dividends.

See Glossary of Financial Measures and the statistical supplement for additional financial data.

11

	Three months ended March 31,
($ in millions; after tax except as noted)	2005			2004
Reconciliation of underwriting gain to net income
Pre-tax underwriting gain	$	451		$	233
Tax expense on underwriting results	(160		)	(73		)
Underwriting gain	291			160
Net investment income	583			454
Other, including interest expense and minority interest	(15		)	—
Consolidated operating income	859			614
Net realized investment gains (losses)	18			(27		)
Discontinued operations	(665		)	—
Net income	$	212		$	587

See Glossary of Financial Measures and the statistical supplement for additional financial data.

Contacts

Media:	Institutional Investors:	Individual Investors:
Shane Boyd	Maria Olivo	Marc Parr
651.310.3846, or	860.277.8330, or	860.277.0779
Marlene Ibsen	David Punda
860.277.9039, or	212.588.8417
Joan Palm
651.310.2685

###

12

EX-99.2

Exhibit 99.2

The St. Paul Travelers Companies, Inc.

Financial Supplement - First Quarter 2005

On April 1, 2004, Travelers Property Casualty Corp. (Travelers) completed its previously announced merger into The St. Paul Companies, Inc. (St. Paul), forming The St. Paul Travelers Companies, Inc. (St. Paul Travelers).  Each share of Travelers class A and class B common stock was exchanged for 0.4334 of a share of St. Paul Travelers common stock.  For accounting purposes, this transaction is being accounted for as a reverse acquisition with Travelers treated as the accounting acquirer.  Accordingly, the transaction is being accounted for as a purchase business combination, using Travelers historical financial information and applying fair value estimates to the acquired assets, liabilities and commitments of St. Paul as of April 1, 2004.

All historical information prior to April 1, 2004 included in this Financial Supplement represents the standalone results of Travelers as Travelers is treated as the accounting acquirer.

Consolidated Results

Commercial

Specialty

Proforma Net Written Premium

Personal

Operating Income

Operating Income by Major Component and Combined Ratio

Selected Statistics

Selected Statistics - Automobile

Selected Statistics - Homeowners and Other

Supplemental Detail

Interest Expense and Other

Consolidated Balance Sheet

Investment Portfolio

Investment Portfolio - Fixed Maturities Data

Net Investment Income

Net Realized and Unrealized Investment Gains (Losses)

Reinsurance Recoverables

Net Reserves for Losses and Loss Adjustment Expense

Asbestos and Environmental Reserves

Capitalization

Statement of Cash Flows

Statement of Cash Flows (continued)

Glossary of Financial Measures and Description of Operating Segments

The St. Paul Travelers Companies, Inc.

Financial Highlights

($ in millions, except per share data)

	1Q 2004			2Q 2004			3Q 2004			4Q 2004			1Q 2005
Income (loss) from continuing operations	$	587		$	(302	)	$	311		$	271		$	877
Income (loss) from continuing operations per share (1):
Basic	$	1.35		$	(0.46	)	$	0.46		$	0.40		$	1.31
Diluted	$	1.31		$	(0.46	)	$	0.46		$	0.39		$	1.25
Net income (loss)	$	587		$	(275	)	$	340		$	303		$	212
Net income (loss) per share (1):
Basic	$	1.35		$	(0.42	)	$	0.51		$	0.45		$	0.31
Diluted	$	1.31		$	(0.42	)	$	0.50		$	0.44		$	0.31
Operating income (loss)	$	614		$	(337	)	$	343		$	275		$	859
Operating income (loss) per share (1):
Basic	$	1.41		$	(0.51	)	$	0.51		$	0.41		$	1.28
Diluted	$	1.37		$	(0.51	)	$	0.50		$	0.40		$	1.23
Continuing operations return on equity	19.0		%	(6.0		)%	6.1		%	5.2		%	16.6		%
Return on equity	19.0		%	(5.4		)%	6.7		%	5.8		%	4.0		%
Operating return on equity	21.9		%	(6.9		)%	6.9		%	5.5		%	16.7		%
Total assets, at period end	$	65,070		$	106,608		$	109,683		$	112,045		$	112,232
Total equity, at period end	$	12,674		$	19,930		$	20,889		$	21,201		$	20,732
Book value per share, at period end (1)	$	28.98		$	29.52		$	30.91		$	31.35		$	30.51
Adjusted book value per share, at period end	$	26.18		$	29.30		$	29.63		$	30.05		$	30.10
Weighted average number of common shares outstanding (basic) (1)	434.6			664.8			665.9			666.8			668.1
Weighted average number of common shares outstanding and common stock equivalents (diluted) (1)	453.9			664.8			707.9			708.6			709.1
Common shares outstanding at period end (1)	437.3			668.5			669.2			670.3			673.6
Common stock dividends declared	$	81.7		$	146.9		$	147.1		$	147.5		$	148.2

(1)The number of shares and per share amounts for the first quarter of 2004 have been restated to reflect the equivalent number of shares resulting from the exchange of Travelers common stock for St. Paul Travelers common stock due to the merger on April 1, 2004.

See Glossary of Financial Measures and Description of Operating Segments on page 35.

1

The St. Paul Travelers Companies, Inc.

Reconciliation to Net Income and Earnings Per Share

($ in millions, except earnings per share)

	1Q			2Q			3Q			4Q			1Q
	2004			2004			2004			2004			2005
Net income (loss)
Operating income (loss)	$	614		$	(337	)	$	343		$	275		$	859
Net realized investment gains (losses)	(27		)	35			(32		)	(4		)	18
Income (loss) from continuing operations		587			(302	)		311			271			877
Discontinued operations	—			27			29			32			(665		)
Net income (loss)	$	587		$	(275	)	$	340		$	303		$	212
Basic earnings per share (1)
Operating income (loss)	$	1.41		$	(0.51	)	$	0.51		$	0.41		$	1.28
Net realized investment gains (losses)	(0.06		)	0.05			(0.05		)	(0.01		)	0.03
Income (loss) from continuing operations		1.35			(0.46	)		0.46			0.40			1.31
Discontinued operations	—			0.04			0.05			0.05			(1.00		)
Net income (loss)	$	1.35		$	(0.42	)	$	0.51		$	0.45		$	0.31
Diluted earnings per share (1)
Operating income (loss)	$	1.37		$	(0.51	)	$	0.50		$	0.40		$	1.23
Net realized investment gains (losses)	(0.06		)	0.05			(0.04		)	(0.01		)	0.02
Income (loss) from continuing operations		1.31			(0.46	)		0.46			0.39			1.25
Discontinued operations	—			0.04			0.04			0.05			(0.94		)
Net income (loss)	$	1.31		$	(0.42	)	$	0.50		$	0.44		$	0.31

Adjustments to net income and weighted average shares for net income EPS calculation: (2)

	1Q		2Q			3Q			4Q			1Q
	2004		2004			2004			2004			2005
Basic
Net income, as reported	$	587	$	(337	)	$	343		$	275		$	212
Preferred stock dividends, net of taxes	—		(2		)	(2		)	(2		)	(2		)
Net income available to common shareholders	$	587	$	(339	)	$	341		$	273		$	210
Diluted
Net income available to common shareholders - basic	$	587	$	(339	)	$	341		$	273		$	210
Effect of dilutive securities:
Equity unit stock purchase contracts	N/A		—			4			4			3
Convertible preferred stock	N/A		—			1			1			2
Zero coupon convertible notes	N/A		—			1			1			1
Convertible junior subordinate notes	—		—			7			7			7
Net income available to common shareholders - diluted	$	587	$	(339	)	$	354		$	286		$	223
Common Shares
Basic
Weighted average shares outstanding	434.6		664.8			665.9			666.8			668.1
Diluted
Weighted average shares outstanding	434.6		664.8			665.9			666.8			668.1
Weighted average effects of dilutive securities:
Stock options and other incentive plans	2.6		—			2.6			2.6			2.2
Equity unit stock purchase contracts	N/A		—			15.2			15.2			15.2
Convertible preferred stock	N/A		—			5.1			4.9			4.5
Zero coupon convertible notes	N/A		—			2.4			2.4			2.4
Convertible junior subordinate notes	16.7		—			16.7			16.7			16.7
Diluted weighted average shares outstanding	453.9		664.8			707.9			708.6			709.1

(1)The number of shares and per share amounts for the first quarter of 2004 have been restated to reflect the equivalent number of shares resulting from the exchange of Travelers common stock for St. Paul Travelers common stock due to the merger on April 1, 2004.

(2)Adjustments to net income and weighted average shares for net income EPS calculation can also be used for the operating income and income from continuing operations EPS calculations.

See Glossary of Financial Measures and Description of Operating Segments on page 35.

2

The St. Paul Travelers Companies, Inc.

Statement of Income - Consolidated

($ in millions)

	1Q			2Q			3Q			4Q			1Q
	2004			2004			2004			2004			2005
Revenues
Premiums	$	3,339		$	5,154		$	5,269		$	5,276		$	5,119
Net investment income (1)	619			642			667			735			765
Fee income	172			171			186			177			171
Net realized investment gains (losses)	(42		)	55			(49		)	(3		)	—
Other revenues	39			38			56			43			50
Total revenues	4,127			6,060			6,129			6,228			6,105
Claims and expenses
Claims and claim adjustment expenses	2,281			4,869			4,086			4,203			3,223
Amortization of deferred acquisition costs	526			805			820			827			810
General and administrative expenses	467			864			792			822			813
Interest expense	36			63			67			70			71
Total claims and expenses	3,310			6,601			5,765			5,922			4,917
Income (loss) before income taxes and minority interest	817			(541		)	364			306			1,188
Income taxes	227			(239		)	48			33			311
Minority interest, net of tax	3			—			5			2			—
Income (loss) from continuing operations	587			(302		)	311			271			877
Discontinued operations, net of tax (2)	—			27			29			32			(665		)
Net income (loss)	$	587		$	(275	)	$	340		$	303		$	212
Other statistics:
Effective tax rate on net investment income	26.6		%	23.7		%	23.0		%	23.4		%	23.9		%
Net investment income (after-tax)	$	454		$	490		$	514		$	562		$	583
Catastrophes, net of reinsurance:
Pre-tax	$	20		$	24		$	612		$	116		$	31
After-tax	13			16			402			80			20

(1)Includes $127 million of pre-tax net investment income in 1Q 2004 resulting from the the impact of an initial public offering of a private equity investment.  Commercial, Specialty and Personal include $82 million, $3 million and $42 million of pre-tax net investment income ($54 million, $2 million and $27 million after-tax), respectively, related to this private equity investment.

(2)In accordance with its plan to divest its equity ownership Nuveen Investments, Nuveen Investments was accounted for as a discontinued operation beginning in the first quarter of 2005.  Additionally, due to the taxable nature of the transaction, the Company recorded a charge of $687 million in discontinued operations in the first quarter of 2005, reflecting the difference between the tax basis and the GAAP carrying value of its investment in Nuveen Investments.

See Glossary of Financial Measures and Description of Operating Segments on page 35.

3

The St. Paul Travelers Companies, Inc.

Net Income by Major Component and Combined Ratio - Consolidated

($ in millions, net of tax)

	1Q			2Q			3Q			4Q			1Q
	2004			2004			2004			2004			2005
Underwriting gain (loss)	$	160		$	(789	)	$	(155	)	$	(263	)	$	291
Net investment income	454			490			514			562			583
Other, including interest expense (1)	—			(38		)	(16		)	(24		)	(15		)
Operating income (loss)	614			(337		)	343			275			859
Net realized investment gains (losses)	(27		)	35			(32		)	(4		)	18
Discontinued operations	—			27			29			32			(665		)
Net income (loss)	$	587		$	(275	)	$	340		$	303		$	212
GAAP Combined Ratio (2,3)
Loss and loss adjustment expense ratio	65.8		%	93.1		%	75.8		%	78.2		%	61.3		%
Underwriting expense ratio	26.1		%	29.6		%	28.0		%	28.9		%	29.2		%
Combined ratio	91.9		%	122.7		%	103.8		%	107.1		%	90.5		%
Impact of catastrophes on combined ratio	0.6		%	0.5		%	11.6		%	2.1		%	0.6		%
Impact of prior year reserve development on combined ratio	1.3		%	27.1		%	1.6		%	16.5		%	-1.1		%

(1)Includes minority interests.

(2)Before policyholder dividends.

(3)Billing and policy fees, which are a component of other revenues, are allocated as a reduction of other underwriting expenses.  In addition, fee income is allocated as a reduction of losses and loss adjustment expenses and other underwriting expenses as follows:

	1Q		2Q		3Q		4Q		1Q
	2004		2004		2004		2004		2005
Billing and policy fees	$	23	$	26	$	26	$	26	$	29
Fee income:
Loss and loss adjustment expenses	$	76	$	82	$	87	$	87	$	76
Other underwriting expenses	96		89		99		90		95
Total fee income	$	172	$	171	$	186	$	177	$	171

See Glossary of Financial Measures and Description of Operating Segments on page 35.

4

The St. Paul Travelers Companies, Inc.

Operating Income - Consolidated

($ in millions)

	1Q		2Q			3Q		4Q		1Q
	2004		2004			2004		2004		2005
Revenues
Premiums	$	3,339	$	5,154		$	5,269	$	5,276	$	5,119
Net investment income	619		642			667		735		765
Fee income	172		171			186		177		171
Other revenues	39		38			56		43		50
Total revenues	4,169		6,005			6,178		6,231		6,105
Claims and expenses
Claims and claim adjustment expenses	2,281		4,869			4,086		4,203		3,223
Amortization of deferred acquisition costs	526		805			820		827		810
General and administrative expenses	467		864			792		822		813
Interest expense	36		63			67		70		71
Total claims and expenses	3,310		6,601			5,765		5,922		4,917
Operating income (loss) before income taxes and minority interest	859		(596		)	413		309		1,188
Income taxes	242		(259		)	65		32		329
Minority interest, net of tax	3		—			5		2		—
Operating income (loss)	$	614	$	(337	)	$	343	$	275	$	859

See Glossary of Financial Measures and Description of Operating Segments on page 35.

5

The St. Paul Travelers Companies, Inc.

Selected Statistics - Property and Casualty Operations

($ in millions)

	1Q		2Q			3Q			4Q			1Q
	2004		2004			2004			2004			2005
Statutory underwriting
Gross written premiums	$	4,032	$	6,198		$	6,098		$	5,945		$	5,921
Net written premiums (1)	$	3,400	$	5,256		$	5,188		$	5,201		$	4,780
Net earned premiums	$	3,339	$	5,161		$	5,269		$	5,276		$	5,119
Losses and loss adjustment expenses	2,209		4,818			4,040			4,139			3,127
Underwriting expenses	903		1,603			1,420			1,406			1,435
Statutory underwriting gain (loss)	227		(1,260		)	(191		)	(269		)	557
Policyholder dividends	6		(10		)	7			(9		)	7
Statutory underwriting gain (loss) after policyholder dividends	$	221	$	(1,250	)	$	(198	)	$	(260	)	$	550
Other statutory statistics
Reserves for losses and loss adjustment expenses	$	24,284	$	40,008		$	41,090		$	41,728		$	41,637
Increase (decrease) in reserves (2)	$	255	$	15,724		$	1,082		$	638		$	(91	)
Statutory surplus	$	8,788	$	13,955		$	14,379		$	15,112		$	15,441
Net written premiums/surplus (3)	1.54:1		1.51:1			1.45:1			1.38:1			1.32:1

(1)Net written premiums incorporate a modest adjustment to 2004 ceded written premiums to report at inception all ceded written premiums for reinsurance agreements that have minimum amounts required to be ceded.  Previously, ceded written premiums for certain of these agreements were reported over the life of the reinsurance contracts.  This change only affected the statistical disclosure of net written premiums and had no effect on gross written premiums or GAAP or statutory quarterly earned premiums, operating results or capital.

(2)Includes the acquisition of St. Paul reserves as of April 1, 2004, totaling $13,713.

(3)1Q 2004 based on 12 month rolling net written premiums.  2Q 2004 based on annualized current quarter net written premium.  3Q 2004 based on annualized 2Q 2004 and 3Q 2004 net written premium.  4Q 2004 based on annualized 2Q 2004, 3Q 2004 and 4Q 2004 net written premium.  1Q 2005 based on 12 month rolling net written premium.

See Glossary of Financial Measures and Description of Operating Segments on page 35.

6

The St. Paul Travelers Companies, Inc.

Written and Earned Premiums - Property and Casualty Operations

($ in millions)

As reported	1Q			2Q			3Q			4Q			1Q
	2004			2004			2004			2004			2005
Written premiums
Direct	$	3,923		$	5,905		$	5,850		$	5,779		$	5,538
Assumed	109			293			248			166			383
Gross	4,032			6,198			6,098			5,945			5,921
Ceded	(632		)	(942		)	(910		)	(744		)	(1,141		)
Net (1)	$	3,400		$	5,256		$	5,188		$	5,201		$	4,780
Earned premiums
Direct	$	3,758		$	5,909		$	5,971		$	5,955		$	5,732
Assumed	127			337			283			278			294
Gross	3,885			6,246			6,254			6,233			6,026
Ceded	(546		)	(1,092		)	(985		)	(957		)	(907		)
Net	$	3,339		$	5,154		$	5,269		$	5,276		$	5,119
Proforma	1Q			2Q			3Q			4Q			1Q
	2004			2004			2004			2004			2005
Written premiums
Direct	$	5,967		$	5,905		$	5,850		$	5,779		$	5,538
Assumed	288			293			248			166			383
Gross	6,255			6,198			6,098			5,945			5,921
Ceded	(1,066		)	(942		)	(910		)	(744		)	(1,141		)
Net (1)	$	5,189		$	5,256		$	5,188		$	5,201		$	4,780
Earned premiums
Direct	$	5,848		$	5,909		$	5,971		$	5,955		$	5,732
Assumed	264			337			283			278			294
Gross	6,112			6,246			6,254			6,233			6,026
Ceded	(988		)	(1,092		)	(985		)	(957		)	(907		)
Net	$	5,124		$	5,154		$	5,269		$	5,276		$	5,119

(1)Net written premiums incorporate a modest adjustment to 2004 ceded written premiums to report at inception all ceded written premiums for reinsurance agreements that have minimum amounts required to be ceded.  Previously, ceded written premiums for certain of these agreements were reported over the life of the reinsurance contracts.  This change only affected the statistical disclosure of net written premiums and had no effect on gross written premiums or GAAP or statutory quarterly earned premiums, operating results or capital.

See Glossary of Financial Measures and Description of Operating Segments on page 35.

7

The St. Paul Travelers Companies, Inc.

Operating Income - Commercial

($ in millions)

	1Q		2Q		3Q		4Q			1Q
	2004		2004		2004		2004			2005
Revenues
Premiums	$	1,731	$	2,358	$	2,315	$	2,263		$	2,160
Net investment income	423		413		417		455			470
Fee income	168		164		178		170			163
Other revenues	14		12		23		6			15
Total revenues	2,336		2,947		2,933		2,894			2,808
Claims and expenses
Claims and claim adjustment expenses	1,198		1,661		1,876		2,508			1,491
Amortization of deferred acquisition costs	254		350		350		335			335
General and administrative expenses	287		436		399		407			400
Interest expense	1		1		1		—			—
Total claims and expenses	1,740		2,448		2,626		3,250			2,226
Operating income (loss) before federal income taxes and minority interest	596		499		307		(356		)	582
Income taxes	163		134		42		(166		)	149
Minority interest, net of tax	3		1		5		2			—
Operating income (loss)	$	430	$	364	$	260	$	(192	)	$	433

See Glossary of Financial Measures and Description of Operating Segments on page 35.

8

The St. Paul Travelers Companies, Inc.

Operating Income by Major Component and Combined Ratio - - Commercial

($ in millions, net of tax)

		1Q			2Q			3Q			4Q			1Q
		2004			2004			2004			2004			2005
Underwriting gain (loss)		$	109		$	37		$	(74	)	$	(545	)	$	63
Net investment income		314			320			323			352			360
Other, including minority interest		7			7			11			1			10
Operating income (loss)		$	430		$	364		$	260		$	(192	)	$	433
GAAP Combined ratio (1,2)
Loss and loss adjustment expense ratio		64.5		%	67.8		%	77.3		%	107.2		%	65.2		%
Underwriting expense ratio		25.9		%	29.5		%	28.1		%	28.8		%	29.7		%
Combined ratio		90.4		%	97.3		%	105.4		%	136.0		%	94.9		%
Impact of catastrophes on combined ratio		0.0		%	0.0		%	12.2		%	3.3		%	0.0		%
Impact of prior year reserve development on combined ratio		-0.3		%	5.6		%	2.1		%	44.5		%	0.3		%
(1)	Before policyholder dividends.
(2)	Billing and policy fees, which are a component of other revenues, are allocated as a reduction of other underwriting expenses.  In addition, fee income is allocated as a reduction of losses and loss adjustment expenses and other underwriting expenses as follows:
		1Q			2Q			3Q			4Q			1Q
		2004			2004			2004			2004			2005
	Billing and policy fees	$	2		$	4		$	3		$	4		$	3
	Fee income:
	Loss and loss adjustment expenses	$	77		$	78		$	83		$	82		$	72
	Other underwriting expenses	91			86			95			88			91
	Total fee income	$	168		$	164		$	178		$	170		$	163

See Glossary of Financial Measures and Description of Operating Segments on page 35.

9

The St. Paul Travelers Companies, Inc.

Selected Statistics - Commercial

($ in millions)

	1Q			2Q			3Q			4Q			1Q
	2004			2004			2004			2004			2005
Statutory underwriting
Gross written premiums	$	2,213		$	2,630		$	2,569		$	2,487		$	2,529
Net written premiums	$	1,765		$	2,230		$	2,070		$	2,148		$	2,130
Net earned premiums	$	1,731		$	2,358		$	2,315		$	2,263		$	2,160
Losses and loss adjustment expenses	1,126			1,607			1,812			2,435			1,395
Underwriting expenses	443			693			593			580			604
Statutory underwriting gain (loss)	162			58			(90		)	(752		)	161
Policyholder dividends	5			(14		)	2			(1		)	10
Statutory underwriting gain (loss) after policyholder dividends	$	157		$	72		$	(92	)	$	(751	)	$	151
Other statistics
Effective tax rate on net investment income	25.7		%	22.5		%	22.4		%	22.9		%	23.4		%
Net investment income (after-tax)	$	314		$	320		$	323		$	352		$	360
Catastrophes, net of reinsurance:
Pre-tax	$	—		$	—		$	284		$	74		$	—
After-tax	—			—			184			49			—

See Glossary of Financial Measures and Description of Operating Segments on page 35.

10

The St. Paul Travelers Companies, Inc.

Net Written Premiums - Commercial

($ in millions)

	1Q		2Q		3Q		4Q		1Q
	2004		2004		2004		2004		2005
Net written premiums by market
Commercial accounts	$	848	$	1,116	$	1,075	$	1,172	$	1,127
Select accounts	531		709		653		662		684
National accounts	240		237		229		234		279
Total core	1,619		2,062		1,957		2,068		2,090
Commercial other	146		168		113		80		40
Total	$	1,765	$	2,230	$	2,070	$	2,148	$	2,130
Net written premiums by product line
Commercial multi-peril	$	606	$	610	$	618	$	683	$	733
Workers’ compensation	350		361		391		397		444
Commercial automobile	326		432		405		413		399
Property	298		451		352		354		366
General liability	182		353		295		283		176
Other	3		23		9		18		12
Total	$	1,765	$	2,230	$	2,070	$	2,148	$	2,130
National Accounts
Additions to claim volume under administration (1)	$	1,309	$	707	$	644	$	740	$	1,042
Written fees	$	214	$	159	$	142	$	146	$	173

(1)Includes new and renewal business.

11

The St. Paul Travelers Companies, Inc.

Proforma Net and Gross Written Premiums — Commercial

($ in millions)

This page displays proforma combined net and gross written premiums of Travelers and St. Paul, prior to the merger, and reported net and gross written premiums for St. Paul Travelers for second quarter 2004 and beyond.

	1Q		2Q		3Q		4Q		1Q
	2004		2004		2004		2004		2005
Gross written premiums	$	2,881	$	2,630	$	2,569	$	2,487	$	2,529
Net written premiums by market (1)
Commercial accounts	$	1,280	$	1,116	$	1,075	$	1,172	$	1,127
Select accounts	708		709		653		662		684
National accounts	286		237		229		234		279
Total core	2,274		2,062		1,957		2,068		2,090
Commercial other	166		168		113		80		40
Total		2,440	$	2,230	$	2,070	$	2,148	$	2,130
Less: Pre-Merger St. Paul	675
Total Commercial excluding Pre-Merger St. Paul	$	1,765
Net written premiums by product line (1)
Commercial multi-peril	$	669	$	610	$	618	$	683	$	733
Workers’ compensation	460		361		391		397		444
Commercial automobile	441		432		405		413		399
Property	503		451		352		354		366
General liability	344		353		295		283		176
Other	23		23		9		18		12
Total	$	2,440	$	2,230	$	2,070	$	2,148	$	2,130
National Accounts
Additions to claim volume under administration (2)	$	1,309	$	707	$	644	$	740	$	1,042
Written fees	$	218	$	159	$	142	$	146	$	173
Less: Pre-Merger St. Paul	4
Total written fees excluding Pre-Merger St. Paul	$	214

(1)Net written premiums incorporate a modest adjustment to 2004 ceded written premiums to report at inception all ceded written premiums for reinsurance agreements that have minimum amounts required to be ceded.  Previously, ceded written premiums for certain of these agreements were reported over the life of the reinsurance contracts.  This change only affected the statistical disclosure of net written premiums and had no effect on gross written premiums or GAAP or statutory quarterly earned premiums, operating results or capital.

(2)Includes new and renewal business.

12

The St. Paul Travelers Companies, Inc.

Operating Income - Specialty

($ in millions)

	1Q			2Q			3Q			4Q		1Q
	2004			2004			2004			2004		2005
Revenues
Premiums	$	311		$	1,428		$	1,515		$	1,537	$	1,500
Net investment income	51			135			156			165		180
Fee income	4			7			8			7		8
Other revenues	2			3			7			10		12
Total revenues	368			1,573			1,686			1,719		1,700
Claims and expenses
Claims and claim adjustment expenses	304			2,375			1,210			1,052		967
Amortization of deferred acquisition costs	56			227			225			240		222
General and administrative expenses	58			268			253			249		252
Total claims and expenses	418			2,870			1,688			1,541		1,441
Operating income (loss) before federal income taxes	(50		)	(1,297		)	(2		)	178		259
Income taxes	(22		)	(459		)	(4		)	38		71
Operating income (loss)	$	(28	)	$	(838	)	$	2		$	140	$	188

See Glossary of Financial Measures and Description of Operating Segments on page 35.

13

The St. Paul Travelers Companies, Inc.

Operating Income by Major Component and Combined Ratio - - Specialty

($ in millions, net of tax)

		1Q			2Q			3Q			4Q			1Q
		2004			2004			2004			2004			2005
Underwriting gain (loss)		$	(68	)	$	(939	)	$	(122	)	$	4		$	42
Net investment income		38			99			117			127			136
Other		2			2			7			9			10
Operating income (loss)		$	(28	)	$	(838	)	$	2		$	140		$	188
GAAP Combined ratio (1,2)
Loss and loss adjustment expense ratio		97.7		%	165.7		%	79.3		%	68.7		%	64.5		%
Underwriting expense ratio		35.2		%	34.5		%	31.2		%	31.6		%	31.1		%
Combined ratio		132.9		%	200.2		%	110.5		%	100.3		%	95.6		%
Impact of catastrophes on combined ratio		0.0		%	0.0		%	12.3		%	2.6		%	1.3		%
Impact of prior year reserve development on combined ratio		48.2		%	95.5		%	4.8		%	0.0		%	3.5		%
(1)	Before policyholder dividends.
(2)	Billing and policy fees, which are a component of other revenues, are allocated as a reduction of other underwriting expenses.  In addition, fee income is allocated as a reduction of losses and loss adjustment expenses and other underwriting expenses as follows:
		1Q			2Q			3Q			4Q			1Q
		2004			2004			2004			2004			2005
	Billing and policy fees	$	—		$	—		$	—		$	—		$	2
	Fee income:
	Loss and loss adjustment expenses	$	(1	)	$	5		$	4		$	4		$	4
	Other underwriting expenses	5			2			4			3			4
	Total fee income	$	4		$	7		$	8		$	7		$	8

See Glossary of Financial Measures and Description of Operating Segments on page 35.

14

The St. Paul Travelers Companies, Inc.

Selected Statistics - Specialty

($ in millions)

	1Q			2Q			3Q			4Q			1Q
	2004			2004			2004			2004			2005
Statutory underwriting
Gross written premiums	$	398		$	1,988		$	1,880		$	1,981		$	1,913
Net written premiums (1)	$	269		$	1,468		$	1,546		$	1,620		$	1,216
Net earned premiums	$	311		$	1,435		$	1,515		$	1,537		$	1,500
Losses and loss adjustment expenses	304			2,382			1,225			1,060			967
Underwriting expenses	114			513			422			430			429
Statutory underwriting gain (loss)	(107		)	(1,460		)	(132		)	47			104
Policyholder dividends	1			4			5			(8		)	(3		)
Statutory underwriting gain (loss) after policyholder dividends	$	(108	)	$	(1,464	)	$	(137	)	$	55		$	107
Other statistics
Effective tax rate on net investment income	25.2		%	26.0		%	24.8		%	24.2		%	24.5		%
Net investment income (after-tax)	$	38		$	99		$	117		$	127		$	136
Catastrophes, net of reinsurance:
Pre-tax	$	—		$	—		$	186		$	39		$	19
After-tax	—			—			126			29			13

(1)Net written premiums incorporate a modest adjustment to 2004 ceded written premiums to report at inception all ceded written premiums for reinsurance agreements that have minimum amounts required to be ceded.  Previously, ceded written premiums for certain of these agreements were reported over the life of the reinsurance contracts.  This change only affected the statistical disclosure of net written premiums and had no effect on gross written premiums or GAAP or statutory quarterly earned premiums, operating results or capital.

See Glossary of Financial Measures and Description of Operating Segments on page 35.

15

The St. Paul Travelers Companies, Inc.

Net Written Premiums - Specialty

($ in millions)

	1Q		2Q		3Q		4Q		1Q
	2004		2004		2004		2004		2005
Net written premiums by market (1)
Construction	$	126	$	274	$	194	$	252	$	251
Bond	142		303		414		359		163
Financial & Professional Services	—		184		221		230		119
Other	—		349		476		460		419
Total Domestic Specialty	268		1,110		1,305		1,301		952
International Specialty	1		358		241		319		264
Total	$	269	$	1,468	$	1,546	$	1,620	$	1,216
Net written premiums by product line (1, 2)
Workers’ compensation	$	28	$	138	$	116	$	130	$	139
Commercial automobile	30		123		135		135		112
Property	5		57		133		118		149
General liability	71		471		481		543		384
Fidelity & Surety	91		241		353		299		130
Commercial multi-peril	43		80		87		76		38
International	1		358		241		319		264
Total	$	269	$	1,468	$	1,546	$	1,620	$	1,216

(1)Net written premiums incorporate a modest adjustment to 2004 ceded written premiums to report at inception all ceded written premiums for reinsurance agreements that have minimum amounts required to be ceded.  Previously, ceded written premiums for certain of these agreements were reported over the life of the reinsurance contracts.  This change only affected the statistical disclosure of net written premiums and had no effect on gross written premiums or GAAP or statutory quarterly earned premiums, operating results or capital.

(2)Prior periods have been restated to conform to current product line definitions for the Specialty segment.

16

The St. Paul Travelers Companies, Inc.

Proforma Net and Gross Written Premiums - Specialty

($ in millions)

This page displays proforma combined net and gross written premiums of Travelers and St. Paul, prior to the merger, and reported net and gross written premiums for St. Paul Travelers for second quarter 2004 and beyond.

	1Q		2Q		3Q		4Q		1Q
	2004		2004		2004		2004		2005
Gross written premiums	$	1,953	$	1,988	$	1,880	$	1,981	$	1,913
Net written premiums by market (1)
Construction	$	325	$	274	$	194	$	252	$	251
Bond	132		303		414		359		163
Financial & Professional Services	163		184		221		230		119
Other	468		349		476		460		419
Total Domestic Specialty	1,088		1,110		1,305		1,301		952
International Specialty	295		358		241		319		264
Total	1,383		$	1,468	$	1,546	$	1,620	$	1,216
Less: Pre-Merger St. Paul	1,114
Total Specialty excluding Pre-Merger St. Paul	$	269
Net written premiums by product line (1, 2)
Workers’ compensation	$	169	$	138	$	116	$	130	$	139
Commercial automobile	163		123		135		135		112
Property	114		57		133		118		149
General liability	458		471		481		543		384
Fidelity & Surety	97		241		353		299		130
Commercial multi-peril	87		80		87		76		38
International	295		358		241		319		264
Total	$	1,383	$	1,468	$	1,546	$	1,620	$	1,216

(1)Net written premiums incorporate a modest adjustment to 2004 ceded written premiums to report at inception all ceded written premiums for reinsurance agreements that have minimum amounts required to be ceded.  Previously, ceded written premiums for certain of these agreements were reported over the life of the reinsurance contracts.  This change only affected the statistical disclosure of net written premiums and had no effect on gross written premiums or GAAP or statutory quarterly earned premiums, operating results or capital.

(2)Prior periods have been restated to conform to current product line definitions for the Specialty segment.

17

The St. Paul Travelers Companies, Inc.

Operating Income - Personal

($ in millions)

	1Q		2Q		3Q		4Q		1Q
	2004		2004		2004		2004		2005
Revenues
Premiums	$	1,297	$	1,368	$	1,439	$	1,476	$	1,459
Net investment income	145		93		92		112		109
Other revenues	23		21		22		25		24
Total revenues	1,465		1,482		1,553		1,613		1,592
Claims and expenses
Claims and claim adjustment expenses	779		833		1,000		643		765
Amortization of deferred acquisition costs	216		228		245		252		253
General and administrative expenses	119		132		129		156		154
Total claims and expenses	1,114		1,193		1,374		1,051		1,172
Operating income before federal income taxes	351		289		179		562		420
Income taxes	114		92		52		184		135
Operating income	$	237	$	197	$	127	$	378	$	285

See Glossary of Financial Measures and Description of Operating Segments on page 35.

18

The St. Paul Travelers Companies, Inc.

Operating Income by Major Component and Combined Ratio - Personal

($ in millions, net of tax)

		1Q			2Q			3Q			4Q			1Q
		2004			2004			2004			2004			2005
Underwriting gain		$	119		$	113		$	41		$	278		$	186
Net investment income		102			70			72			85			83
Other		16			14			14			15			16
Operating income		$	237		$	197		$	127		$	378		$	285
GAAP Combined ratio (1)
Loss and loss adjustment expense ratio		60.1		%	60.9		%	69.5		%	43.6		%	52.4		%
Underwriting expense ratio		24.2		%	24.7		%	24.5		%	26.1		%	26.3		%
Combined ratio		84.3		%	85.6		%	94.0		%	69.7		%	78.7		%
Impact of catastrophes on combined ratio		1.5		%	1.8		%	9.9		%	0.2		%	0.8		%
Impact of prior year reserve development on combined ratio		-7.8		%	-7.3		%	-2.6		%	-9.5		%	-7.8		%
(1)Billing and policy fees, which are a component of other revenues, are allocated as a reduction of other underwriting expenses. Billing and policy fees are as follows:
		1Q			2Q			3Q			4Q			1Q
		2004			2004			2004			2004			2005
	Billing and policy fees	$	21		$	22		$	23		$	22		$	23

See Glossary of Financial Measures and Description of Operating Segments on page 35.

19

The St. Paul Travelers Companies, Inc.

Selected Statistics - Personal

($ in millions)

	1Q			2Q			3Q			4Q			1Q
	2004			2004			2004			2004			2005
Statutory underwriting
Gross written premiums	$	1,421		$	1,580		$	1,649		$	1,477		$	1,479
Net written premiums	$	1,366		$	1,558		$	1,572		$	1,433		$	1,434
Net earned premiums	$	1,297		$	1,368		$	1,439		$	1,476		$	1,459
Losses and loss adjustment expenses	779			829			1,003			644			765
Underwriting expenses	346			397			405			396			402
Statutory underwriting gain (loss)	$	172		$	142		$	31		$	436		$	292
Other statistics
Effective tax rate on net investment income	29.6		%	24.2		%	22.6		%	23.7		%	24.2		%
Net investment income (after-tax)	$	102		$	70		$	72		$	85		$	83
Catastrophes, net of reinsurance:
Pre-tax	$	20		$	24		$	142		$	3		$	12
After-tax	13			16			92			2			7
Policies in force (in thousands)
Automobile	2,157			2,234			2,260			2,264			2,270
Homeowners and other (1)	3,607			3,766			3,906			4,001			4,028

(1)Effective 1Q 2005, homeowners and other policies in force include certain endorsements to homeowners’ policies not previously counted.  All prior quarters have been restated to the same basis.

See Glossary of Financial Measures and Description of Operating Segments on page 35.

20

The St. Paul Travelers Companies, Inc.

Selected Statistics - Personal (Automobile)

($ in millions)

		1Q			2Q			3Q			4Q			1Q
		2004			2004			2004			2004			2005
Statutory underwriting
Gross written premiums		$	854		$	900		$	897		$	819		$	870
Net written premiums		$	847		$	892		$	884		$	810		$	854
Net earned premiums		$	782		$	825		$	851		$	862		$	840
Losses and loss adjustment expenses		577			596			617			468			505
Underwriting expenses		199			205			207			206			213
Statutory underwriting gain (loss)		$	6		$	24		$	27		$	188		$	122
GAAP Combined ratio (1)
Loss and loss adjustment expense ratio		73.7		%	72.7		%	72.1		%	54.3		%	60.1		%
Underwriting expense ratio		22.7		%	22.4		%	22.3		%	24.0		%	23.5		%
Combined ratio		96.4		%	95.1		%	94.4		%	78.3		%	83.6		%
Impact of catastrophes on combined ratio		0.0		%	0.0		%	0.6		%	0.3		%	0.0		%
Catastrophe losses, net of reinsurance:
Pre-tax		$	—		$	—		$	5		$	3		$	—
After-tax		—			—			3			2			—
Policies in force (in thousands)		2,157			2,234			2,260			2,264			2,270
Change from prior year quarter		8.1		%	10.8		%	10.5		%	9.4		%	5.2		%
Change from prior quarter		4.3		%	3.6		%	1.2		%	0.2		%	0.3		%
(1)  Billing and policy fees, which are a component of other revenues, are allocated as a reduction of other underwriting expenses. Billing and policy fees are as follows:
		1Q			2Q			3Q			4Q			1Q
		2004			2004			2004			2004			2005
	Billing and policy fees	$	14		$	14		$	15		$	14		$	15

See Glossary of Financial Measures and Description of Operating Segments on page 35.

21

The St. Paul Travelers Companies, Inc.

Selected Statistics - Personal (Homeowners and Other)

($ in millions)

		1Q			2Q			3Q			4Q			1Q
		2004			2004			2004			2004			2005
Statutory underwriting
Gross written premiums		$	567		$	680		$	752		$	658		$	609
Net written premiums		$	519		$	666		$	688		$	623		$	580
Net earned premiums		$	515		$	543		$	588		$	614		$	619
Losses and loss adjustment expenses		202			233			386			176			260
Underwriting expenses		147			192			198			190			189
Statutory underwriting gain (loss)		$	166		$	118		$	4		$	248		$	170
GAAP Combined ratio (1)
Loss and loss adjustment expense ratio		39.2		%	42.9		%	65.7		%	28.6		%	42.0		%
Underwriting expense ratio		26.6		%	28.2		%	27.7		%	29.0		%	30.1		%
Combined ratio		65.8		%	71.1		%	93.4		%	57.6		%	72.1		%
Impact of catastrophes on combined ratio		3.9		%	4.4		%	23.3		%	0.0		%	1.9		%
Catastrophe losses, net of reinsurance:
Pre-tax		$	20		$	24		$	137		$	—		$	12
After-tax		13			16			89			—			7
Policies in force (in thousands) (2)		3,607			3,766			3,906			4,001			4,028
Change from prior year quarter		9.4		%	12.3		%	14.2		%	14.9		%	11.7		%
Change from prior quarter		3.6		%	4.4		%	3.7		%	2.4		%	0.7		%
(1)  Billing and policy fees, which are a component of other revenues, are allocated as a reduction of other underwriting expenses. Billing and policy fees are as follows:
		1Q			2Q			3Q			4Q			1Q
		2004			2004			2004			2004			2005
	Billing and policy fees	$	7		$	8		$	8		$	8		$	8

(2)Effective 1Q 2005, homeowners and other policies in force include certain endorsements to homeowners’ policies not previously counted.  All prior quarters have been restated to the same basis.

See Glossary of Financial Measures and Description of Operating Segments on page 35.

22

The St. Paul Travelers Companies, Inc.

Interest Expense and Other

($ in millions)

	1Q			2Q			3Q			4Q			1Q
	2004			2004			2004			2004			2005
Revenues
Net investment income	$	—		$	1		$	2		$	3		$	6
Other revenues	—			2			4			2			(1		)
Total revenues	—			3			6			5			5
Claims and expenses
Interest expense	35			62			66			70			71
General and administrative expenses	3			28			11			10			7
Total claims and expenses	38			90			77			80			78
Operating loss before federal income tax benefit	(38		)	(87		)	(71		)	(75		)	(73		)
Income taxes	(13		)	(26		)	(25		)	(24		)	(26		)
Minority Interest, net of tax	—			(1		)	—			—			—
Operating loss	$	(25	)	$	(60	)	$	(46	)	$	(51	)	$	(47	)

See Glossary of Financial Measures and Description of Operating Segments on page 35.

23

The St. Paul Travelers Companies, Inc.

Consolidated Balance Sheet

($ in millions)

	March 31,		December 31,
	2005 (1)		2004
Assets
Fixed maturities, available for sale at fair value (including $1,969 and $2,603 subject to securities lending and repurchase agreements) (amortized cost $54,982 and $53,017)	$	55,411	$	54,269
Equity securities, at fair value (cost $679 and $687)	730		759
Real estate	778		773
Mortgage loans	191		191
Short-term securities	3,964		4,944
Other investments	3,183		3,432
Total investments	64,257		64,368
Cash	541		262
Investment income accrued	701		671
Premiums receivable	6,109		6,201
Reinsurance recoverables	18,826		19,054
Ceded unearned premiums	1,777		1,565
Deferred acquisition costs	1,557		1,559
Deferred tax asset	2,455		2,198
Contractholder receivables	5,755		5,629
Goodwill	3,560		3,564
Intangible assets	1,028		1,062
Assets of discontinued operations	2,855		2,840
Other assets	2,811		3,072
Total assets	$	112,232	$	112,045

	March 31,			December 31,
	2005 (1)			2004
Liabilities
Claims and claim adjustment expense reserves	$	58,630		$	59,070
Unearned premium reserves	11,162			11,310
Contractholder payables	5,755			5,629
Payables for reinsurance premiums	1,045			896
Debt	6,295			6,313
Liabilities of discontinued operations	1,482			799
Other liabilities	7,131			6,827
Total liabilities	91,500			90,844
Shareholders’ equity
Preferred stock:
Stock Ownership Plan - convertible preferred stock (0.5 and 0.6 shares issued and outstanding)	179			193
Guaranteed obligation - Stock Ownership Plan	—			(5		)
Common stock (1,750.0 shares authorized; 674.2 and 670.0 shares issued; 673.6 and 670.3 shares outstanding)	17,538			17,414
Retained earnings	2,818			2,744
Accumulated other changes in equity from nonowner sources	358			952
Treasury stock, at cost (0.6 and 0.4 shares)	(22		)	(14		)
Unearned compensation	(139		)	(83		)
Total shareholders’ equity	20,732			21,201
Total liabilities and shareholders’ equity	$	112,232		$	112,045

(1)Preliminary.

24

The St. Paul Travelers Companies, Inc.

Investment Portfolio

(at carrying value, $ in millions)

	March 31,		Pre-tax Book		December 31,		Pre-tax Book
	2005		Yield		2004		Yield
Investment portfolio
Taxable fixed maturities (including redeemable preferred stock)	$	27,592	4.67	%	$	27,686	4.78	%
Tax-exempt fixed maturities	27,819		4.18	%	26,583		4.14	%
Total fixed maturities	55,411		4.43	%	54,269		4.47	%
Non-redeemable preferred stocks	569		6.78	%	581		6.71	%
Common stocks	161		N/A		178		N/A
Total equity securities	730		N/A		759		N/A
Mortgage loans	191		9.00	%	191		8.25	%
Real estate	778		N/A		773		N/A
Short-term securities	3,964		2.75	%	4,944		2.23	%
Private equities	1,632		N/A		1,807		N/A
Arbitrage funds	789		N/A		844		N/A
Real estate joint ventures & other	725		N/A		743		N/A
Trading securities	37		N/A		38		N/A
Total other investments	3,183		N/A		3,432		N/A
Total investments	$	64,257	4.35	%	$	64,368	4.31	%
Net unrealized gain on investment securities, net of tax and minority interest, included in shareholders’ equity	$	277			$	866

25

The St. Paul Travelers Companies, Inc.

Investment Portfolio - Fixed Maturities Data

(at carrying value, $ in millions)

	March 31,		December 31,
	2005		2004
Fixed maturities
Mortgage-backed securities - principally obligations of U.S. Government agencies	$	7,637	$	8,678
U.S. Treasury securities and obligations of U.S. Government corporations and agencies	3,052		3,033
Corporates (including redeemable preferreds)	14,891		13,856
Obligations of states and political subdivisions	28,163		26,841
Debt securities issued by foreign governments	1,668		1,861
Subtotal - Available-for-sale securities	55,411		54,269
Trading securities	12		15
Total fixed maturities	$	55,423	$	54,284
Fixed Maturities
Quality Characteristics (1)
	March 31, 2005
	Amount		% of Total
Quality Ratings
Aaa	$	34,146	61.7		%
Aa	11,017		19.9
A	4,650		8.4
Baa	3,828		6.9
Total investment grade	53,641		96.9
Ba	798		1.4
B	624		1.1
Caa and lower	348		0.6
Total below investment grade	1,770		3.1
Total fixed maturities, excluding trading securities	$	55,411	100.0		%
Trading securities	$	12
Average weighted quality	AA1, AA+
Average duration of fixed maturities and short-term securities, net of securities lending activities and net receivables and payables on investment sales and purchases	4.2

(1)Rated using external rating agencies or by St. Paul Travelers when a public rating does not exist.  Below investment grade assets refer to securities rated “Ba” or below.

26

The St. Paul Travelers Companies, Inc.

Net Investment Income

($ in millions)

	1Q			2Q			3Q			4Q			1Q
	2004			2004			2004			2004			2005
Gross investment income
Fixed maturities	$	412		$	555		$	583		$	579		$	609
Short-term securities	9			12			21			27			30
Mortgage loans	4			14			4			3			4
Other (1)	249			67			69			161			139
	674			648			677			770			782
Investment expenses (1)	55			6			10			35			17
Net investment income, pre-tax	619			642			667			735			765
Income taxes	165			152			153			173			182
Net investment income, after-tax	$	454		$	490		$	514		$	562		$	583
Effective tax rate	26.6		%	23.7		%	23.0		%	23.4		%	23.9		%
Average invested assets (2)	$	37,097		$	59,292		$	61,274		$	62,892		$	64,218
Average yield pre-tax	6.7		%	4.3		%	4.4		%	4.7		%	4.8		%
Average yield after-tax	4.9		%	3.3		%	3.4		%	3.6		%	3.6		%

(1)Includes $166 million and $39 million of gross investment income and investment expenses, respectively, in 1Q 2004 resulting from the the impact of an initial public offering of a private equity investment. Commercial, Specialty and Personal include $82 million, $3 million and $42 million of pre-tax net investment income ($54 million, $2 million and $27 million after-tax), respectively, related to this private equity investment.

(2)Reduced by payables for securities lending and repurchase agreements and excludes net unrealized investment gains and losses, receivables for investment sales, and payables on investment purchases.

27

The St. Paul Travelers Companies, Inc.

Net Realized and Unrealized Investment Gains (Losses)

($ in millions)

	1Q			2Q			3Q			4Q			1Q
	2004			2004			2004			2004			2005
Net realized investment gains (losses)
Fixed maturities	$	12		$	38		$	11		$	2		$	14
Equity securities	1			1			8			14			4
Other	(55		)	16			(68		)	(19		)	(18		)
Realized investment gains (losses) before tax	(42		)	55			(49		)	(3		)	—
Related taxes	(15		)	20			(17		)	1			(18		)
Net realized investment gains (losses)	$	(27	)	$	35		$	(32	)	$	(4	)	$	18
Gross investment gains (1)	$	135		$	371		$	185		$	326		$	203
Gross investment losses before impairments (1)	(166		)	(293		)	(206		)	(311		)	(194		)
Impairments	(11		)	(23		)	(28		)	(18		)	(9		)
Realized investment gains (losses) before tax	(42		)	55			(49		)	(3		)	—
Related taxes	(15		)	20			(17		)	1			(18		)
Net realized investment gains (losses)	$	(27	)	$	35		$	(32	)	$	(4	)	$	18
	March 31,			June 30,			September 30,			December 31,			March 31,
	2004			2004			2004			2004			2005
Net unrealized investment gains (losses), by asset type
Fixed maturities	$	1,805		$	154		$	1,268		$	1,252		$	429
Equity securities & other	75			71			57			83			21
Unrealized investment gains before tax and minority interest	1,880			225			1,325			1,335			450
Related taxes	658			84			466			469			173
Minority interest, net of tax	(1		)	—			—			—			—
Balance, end of period	$	1,223		$	141		$	859		$	866		$	277
(1)Includes the following gross investment gains and gross investment losses related to U.S. Treasury futures, which are settled daily:
Gross investment Treasury future gains	$	105		$	161		$	78		$	86		$	85
Gross investment Treasury future losses	$	160		$	104		$	124		$	85		$	66

The Company entered into these arrangements as part of its strategy to shorten the duration of the fixed maturity portfolio. 

In a changing interest rate environment the change in the value of the futures contracts can be expected to partially offset changes in the value of the fixed maturity portfolio.

28

The St. Paul Travelers Companies, Inc.

Reinsurance Recoverables

($ in millions)

	March 31,			December 31,
	2005			2004
Gross reinsurance recoverables on paid and unpaid claims and claim adjustment expenses	$	13,169		$	13,367
Allowance for uncollectible reinsurance	(752		)	(751		)
Net reinsurance recoverables	12,417			12,616
Mandatory pools and associations	2,437			2,497
Structured settlements	3,972			3,941
Total reinsurance recoverables	$	18,826		$	19,054

The Company’s top five reinsurers, including retroactive reinsurance, by reinsurance recoverable at December 31, 2004 is as follows:

	December 31,		December 31,
Reinsurer	2004		2003		A.M. Best Rating of Reinsurer
American Re-Insurance Company	$	1,198	$	913	A third highest of 16 ratings
General Reinsurance Corporation	826		437		A++ highest of 16 ratings
XL Reinsurance America Inc.	613		216		A+ second highest of 16 ratings
Transatlantic Reinsurance Company	604		397		A+ second highest of 16 ratings
Swiss Reinsurance America Corporation	493		301		A+ second highest of 16 ratings

The gross reinsurance recoverable on paid and unpaid claims and claim adjustment expenses represent the current and estimated future amounts due from reinsurers on known and unasserted claims.  The ceded reserves are estimated in a manner consistent with the underlying direct and assumed reserves.  Although this total comprises recoverables due from nearly one thousand different reinsurance entities, about half is attributable to 10 reinsurer groups.

The allowance for uncollectible reinsurance is based upon the Company’s ongoing review of amounts outstanding, length of collection periods, changes in reinsurer credit standing, and other relevant factors.

The mandatory pools and associations represent various involuntary assigned risk pools that the Company is required to participate in.  These pools principally involve workers’ compensation and automobile insurance, which provide various insurance coverages to insureds that otherwise are unable to purchase coverage in the open market.  The costs of these mandatory pools in most states are usually charged back to the participating members in proportion to voluntary writings of related business in that state.  In the event that a member of the pool becomes insolvent, the remaining members assume an additional pro rata share of the pool’s liabilities.

The structured settlements represent annuities that are purchased from life insurance companies to settle personal physical injury claims, with workers’ compensation claims comprising a significant proportion.  The Company retains the ultimate liability to the claimant in the event that the assigned company fails to pay, so the amount is reflected as a liability and as a recoverable for GAAP purposes.

29

The St. Paul Travelers Companies, Inc.

Net Reserves for Losses and Loss Adjustment Expense

($ in millions)

	1Q			2Q			3Q			4Q			1Q
	2004			2004			2004			2004			2005
Commercial
Beginning of period	$	18,791		$	18,847		$	27,442		$	27,795		$	28,413
Incurred	1,126			1,607			1,812			2,435			1,395
Paid	(1,070		)	(1,448		)	(1,460		)	(1,881		)	(1,675		)
Acquired reserves, foreign exchange and other (1)	—			8,436			1			64			30
End of period	$	18,847		$	27,442		$	27,795		$	28,413		$	28,163
Specialty
Beginning of period	$	2,020		$	2,204		$	9,231		$	9,742		$	9,981
Incurred	304			2,382			1,225			1,060			967
Paid	(120		)	(607		)	(682		)	(944		)	(724		)
Acquired reserves, foreign exchange and other (1)	—			5,252			(32		)	123			(33		)
End of period	$	2,204		$	9,231		$	9,742		$	9,981		$	10,191
Personal
Beginning of period	$	3,218		$	3,233		$	3,335		$	3,553		$	3,334
Incurred	779			829			1,003			643			765
Paid	(764		)	(752		)	(785		)	(862		)	(816		)
Acquired reserves, foreign exchange and other (1)	—			25			—			—			—
End of period	$	3,233		$	3,335		$	3,553		$	3,334		$	3,283
Total
Beginning of period	$	24,029		$	24,284		$	40,008		$	41,090		$	41,728
Incurred	2,209			4,818			4,040			4,138			3,127
Paid	(1,954		)	(2,807		)	(2,927		)	(3,687		)	(3,215		)
Acquired reserves, foreign exchange and other (1)	—			13,713			(31		)	187			(3		)
End of period	$	24,284		$	40,008		$	41,090		$	41,728		$	41,637
Commercial
Prior year reserve development:
Asbestos	$	—		$	5		$	—		$	922		$	—
Environmental	—			197			5			84			—
All other	(6		)	(69		)	43			2			7
Accretion of discount	16			17			15			25			13
Total Commercial	10			150			63			1,033			20
Specialty
Prior year reserve development:
Asbestos	—			—			1			—			$	—
Environmental	—			7			(3		)	—			—
All other	150			1,357			74			—			52
Accretion of discount	—			1			1			—			2
Total Specialty	150			1,365			73			—			54
Personal	(101		)	(100		)	(37		)	(140		)	(114		)
Total (2)	$	59		$	1,415		$	99		$	893		$	(40	)

(1)All St Paul 1Q 2004 ending reserve balances are shown as acquired reserves during 2Q 2004.

(2)Prior year reserve development within incurred losses does not include the benefit (detriment) of retroactive reinsurance which totals $(15) million; $5 million for 2Q 2004 and 3Q 2004, respectively.

See Glossary of Financial Measures and Description of Operating Segments on page 35.

30

The St. Paul Travelers Companies, Inc.

Asbestos and Environmental Reserves

($ in millions)

	1Q			2Q			3Q			4Q			1Q
	2004			2004			2004			2004			2005
Asbestos reserves
Beginning reserves:
Direct	$	3,782		$	3,688		$	4,052		$	3,976		$	4,775
Ceded	(805		)	(799		)	(999		)	(868		)	(843		)
Net	2,977			2,889			3,053			3,108			3,932
Acquired reserves:
Direct	—			502			—			—			—
Ceded	—			(191		)	—			—			—
Incurred losses and loss expenses:
Direct	—			7			2			932			—
Ceded	—			(2		)	(1		)	(10		)	—
Accretion of discount:
Direct	5			5			3			4			—
Ceded	—			—			—			—			—
Losses paid:
Direct	99			150			81			137			100
Ceded	(6		)	7			(132		)	(35		)	(25		)
Ending reserves:
Direct	3,688			4,052			3,976			4,775			4,675
Ceded	(799		)	(999		)	(868		)	(843		)	(818		)
Net	$	2,889		$	3,053		$	3,108		$	3,932		$	3,857
Environmental reserves
Beginning reserves:
Direct	$	331		$	287		$	764		$	701		$	725
Ceded	(41		)	(39		)	(108		)	(98		)	(84		)
Net	290			248			656			603			641
Acquired reserves:
Direct	—			271			—			—			—
Ceded	—			(58		)	—			—			—
Incurred losses and loss expenses:
Direct	—			242			1			80			—
Ceded	—			(38		)	1			4			—
Losses paid:
Direct	44			36			64			56			101
Ceded	(2		)	(27		)	(9		)	(10		)	1
Ending reserves:
Direct	287			764			701			725			624
Ceded	(39		)	(108		)	(98		)	(84		)	(85		)
Net	$	248		$	656		$	603		$	641		$	539

See Glossary of Financial Measures and Description of Operating Segments on page 35.

31

The St. Paul Travelers Companies, Inc.

Capitalization

($ in millions)

	March 31,			December 31,
	2005			2004
Debt
Commercial paper	$	498		$	499
Convertible notes
4.5% Convertible Junior Subordinated Notes due April 15, 2032	893			893
Zero coupon convertible notes	118			117
	1,011			1,010
Debt issuance costs	(22		)	(23		)
	989			987
Long-term debt
Medium-term notes with various due dates from 2004 to 2010	397			397
7.875% Notes due April 15, 2005	238			238
7.125% Notes due June 1, 2005	79			79
6.75% Notes due November 15, 2006	150			150
5.75% Notes due March 15, 2007	500			500
5.25% Notes due August 16, 2007	442			442
3.75% Notes due March 15, 2008	400			400
8.125% Notes due April 15, 2010	250			250
7.81% Notes with various due dates from September 16, 2004 - September 16, 2011	20			20
5.00% Notes due March 15, 2013	500			500
7.75% Notes due April 15, 2026	200			200
7.625% Subordinated debentures due December 15, 2027	125			125
8.47% Subordinated debentures due January 10, 2027	81			81
6.375% Notes due March 15, 2033	500			500
8.50% Subordinated debentures due December 15, 2045	56			56
8.312% Subordinated debentures due July 1, 2046	73			73
7.60% Subordinated debentures due October 15, 2050	593			593
Total long-term debt	4,604			4,604
Unamortized fair value premium	220			239
Debt issuance costs	(16		)	(16		)
	4,808			4,827
Total debt (1)	6,295			6,313
Minority interest	18			20
Preferred equity	179			188
Common equity (excluding SFAS 115)	20,275			20,145
Total capital	$	26,767		$	26,666
Total debt to capital (2)	23.5		%	23.7		%

(1)Total debt does not include debt related to discontinued operations of $310 million and $311 million for March 31, 2005 and December 31, 2004, respectively.  Total debt including debt related to discontinue operations was $6,605 and $6,624 in March 31, 2005 and December 31, 2004, respectively.

(2)Total debt to capital including debt related to discontinued operations was 24.4% and 24.6% for March 31, 2005, and December 31, 2004, respectively.

32

The St. Paul Travelers Companies, Inc.

Statement of Cash Flows - Preliminary

($ in millions)

	1Q			2Q			3Q			4Q			1Q
	2004			2004			2004			2004			2005
Cash flows from operating activities
Net income (loss)	$	587		$	(275	)	$	340		$	303		$	212
Adjustments to reconcile net income (loss) to net cash provided by operating activities:
(Income) loss from discontinued operations, net of tax	—			(27		)	(29		)	(32		)	665
Net realized investment (gains) losses	42			(55		)	49			3			—
Depreciation and amortization	25			179			144			174			150
Deferred federal income taxes (benefit)	(17		)	(98		)	(63		)	(100		)	110
Amortization of deferred policy acquisition costs	526			805			820			828			810
Premium balances receivable	(12		)	(90		)	320			102			92
Reinsurance recoverables	239			(24		)	(126		)	495			228
Deferred acquisition costs	(549		)	(819		)	(810		)	(770		)	(808		)
Claim and claim adjustment expense reserves	96			2,140			1,081			156			(433		)
Unearned premium reserves	151			(4		)	(84		)	(105		)	(148		)
Trading account activities	2			13			4			1			—
Other	(309		)	(326		)	206			(41		)	197
Net cash provided by operating activities	781			1,419			1,852			1,014			1,075
Cash flows from investing activities
Proceeds from maturities of investments
Fixed maturities	865			1,822			1,332			1,602			1,073
Mortgage loans	4			46			18			8			5
Proceeds from sales of investments
Fixed maturities	2,158			1,855			950			2,982			1,052
Equity securities	68			39			46			112			39
Mortgage loans	29			12			20			—			—
Real estate	—			21			8			—			—
Purchase of investments
Fixed maturities	(3,676		)	(2,980		)	(4,890		)	(4,976		)	(4,175		)
Equity securities	(28		)	(20		)	(11		)	(35		)	(21		)
Mortgage loans	(2		)	(53		)	—			—			—
Real estate	—			(10		)	(22		)	10			(8		)
Short-term securities, (purchases) sales, net	224			(1,476		)	(160		)	(501		)	980
Other investments, net	107			302			172			301			180
Securities transactions in course of settlement	(681		)	(563		)	712			(576		)	196
Net cash acquired in merger	—			151			—			—			—
Other	—			11			15			(29		)	—
Net cash used by investing activities	(932		)	(843		)	(1,810		)	(1,102		)	(679		)

33

The St. Paul Travelers Companies, Inc.

Statement of Cash Flows - Preliminary (Continued)

($ in millions)

	1Q			2Q			3Q			4Q			1Q
	2004			2004			2004			2004			2005
Cash flows from financing activities
Issuance of debt	—			—			128			174			—
Payment of debt	—			(224		)	(3		)	—			(2		)
Treasury stock acquired:
Net employee stock-based compensation	(9		)	(11		)	—			(3		)	(8		)
Issuance of common stock - employee stock options	29			39			12			31			32
Dividends to shareholders	(81		)	(263		)	(149		)	(149		)	(150		)
Repurchase of Minority Interest	—			(76		)	—			—			—
Other	—			11			38			30			13
Net cash provided (used) by financing activities	(61		)	(524		)	26			83			(115		)
Effect of exchange rate changes on cash	—			—			(2		)	9			(2		)
Net increase (decrease) in cash	(212		)	52			66			4			279
Cash at beginning of period	352			140			192			258			262
Cash at end of period	$	140		$	192		$	258		$	262		$	541
Discontinued operations:
Net cash provided (used) by discontinued operations	—			16			(2		)	(2		)	7
Cash of discontinued operations at beginning of period	—			—			16			14			12
Cash of discontinued operations at end of period (1)	—			16			14			12			19
Income taxes (received) paid	108			438			—			(18		)	13
Interest paid	47			72			83			79			87

(1)Cash of discontinued operations is included in ‘assets of discontinued operations’ on the balance sheet.

34

The St. Paul Travelers Companies, Inc.

Financial Supplement - First Quarter 2005

All historical information through the first quarter of 2004 included in this Financial Supplement presents only results of Travelers as Travelers is being treated as the accounting acquirer.  Where applicable, historical results conform with current business segment definitions.

The following measures are used by the Company’s management to evaluate financial performance against historical results and establish targets on a consolidated basis.  In some cases, these measures are considered non-GAAP financial measures under applicable SEC rules because they are not displayed as separate line items in the consolidated statement of income or required to be disclosed in the notes to financial statements, and in some cases, include or exclude of certain items not ordinarily included or excluded in the most comparable GAAP financial measure. In the opinion of the Company’s management, a discussion of these measures provides investors with a better understanding of the significant factors that comprise the Company’s periodic results of operations and how management evaluates the Company’s financial performance.

Operating income is net income excluding the after-tax impact of net realized investment gains (losses) and discontinued operations.  Operating income per share is operating income on a per share basis.

Return on equity is the ratio of net income to average equity.  Continuing operations return on equity is the ratio of income from continuing operations to average equity.  Operating return on equity is the ratio of operating income to average equity excluding net unrealized gains and losses on investment securities and discontinued operations, net of tax.

In the opinion of the Company's management, operating income, operating income per share and operating return on equity are meaningful indicators of underwriting and operating results.  These measures exclude net realized investment gains or losses which can be significantly impacted by both discretionary and other economic factors and are not necessarily indicative of operating trends.  Internally, the Company's management uses operating income, operating income per share and operating return on equity to evaluate performance against historical results and establish financial targets on a consolidated basis.

Underwriting gain or loss is the net earned premiums and the fee income less claims and claim adjustment expenses and insurance-related expenses.  This profit or loss calculation includes reinsurance assumed and ceded but excludes net investment income and net realized investment gains (losses).

A catastrophe is a severe loss, resulting from natural and manmade events, including risks such as fire, earthquake, windstorm, explosion, terrorism and other similar events.  Each catastrophe has unique characteristics.  Catastrophes are not predictable as to timing or amount in advance, and therefore their effects are not included in earnings or claims and claim adjustment expense reserves prior to occurrence.  In the opinion of the Company's management, a discussion of the impact of catastrophes is meaningful for investors to understand the variability in periodic earnings.

Loss reserve development is the increase or decrease in incurred claims and claim adjustment expenses as a result of the re-estimation of claims and claim adjustment expense reserves at successive valuation dates for a given group of claims.  Loss reserve development may be related to prior year or current year development.  In the opinion of the Company's management, discussion of prior year loss reserve development is useful to investors as it allows them to assess the impact between prior year and current year development on current earnings and changes in claims and claim adjustment expense reserve levels from period to period.

GAAP combined ratio is the sum of the loss and loss adjustment expense ratio (loss and LAE ratio), the underwriting expense ratio and, where applicable, the ratio of dividends to policyholders to net premiums earned.  For GAAP, the loss and LAE ratio is the ratio of incurred losses and loss adjustment expenses reduced by an allocation of fee income to net earned premiums.  The underwriting expense ratio is the ratio of underwriting expenses incurred reduced by an allocation of fee income, billing and policy fees to net earned premium. A GAAP combined ratio under 100% generally indicates an underwriting profit. A GAAP combined ratio over 100% generally indicates an underwriting loss. The GAAP combined ratio is an operating statistic that includes GAAP measures in the numerator and the denominator.

Gross written premiums reflect the direct and assumed contractually determined amounts charged to the policyholders for the effective period of the contract based on the terms and conditions of the insurance contract.  Gross written premiums are a measure of overall business volume.

Pro forma combined gross and net written premiums reflect the addition of gross and net written premiums, respectively, of The St. Paul and Travelers for periods prior to the merger on April 1, 2004. The pro forma combined gross and net written premium amounts are not affected by purchase accounting adjustments. Gross and net written premiums are a measure of business volume before and after reinsurance.  The pro forma information presented is not necessarily indicative of what would have occurred had the acquisition and related transactions been made at the beginning of the applicable period, or of future results of the company.

Adjusted book value per share represents assets less liabilities and preferred shareholders' equity excluding the after-tax impact of net unrealized investment gains and losses, divided by the number of shares outstanding. In the opinion of the company’s management, adjusted book value is useful in an analysis of a property-casualty company’s book value on a nominal basis as it removes the effect of changing prices on invested assets, which do not have an equivalent impact on unpaid claims and claim adjustment expense reserves.

St. Paul Travelers has organized its businesses into the following operating and reporting segments, beginning with the second quarter 2004:

Commercial: Commercial – Core offers a broad array of property and casualty insurance and insurance-related services and is organized into the following three marketing and underwriting groups focusing on a particular client base or product grouping to provide products and services that specifically address clients’ needs: Commercial Accounts, Select Accounts and National Accounts. Commercial - Other  includes policies written by Gulf, primarily management and professional liability coverages (prior to the integration of these products into Specialty in April 2004), the Special Liability Group and runoff operations.

Specialty provides dedicated underwriting, claim and risk control services that require specialized expertise, domestically and internationally. Domestic Specialty includes Financial and Professional Services, Bond, Construction, Technology, Ocean Marine, Oil and Gas, Public Sector, and Excess and Umbrella, among others.  International Specialty includes operations in the U.K., Ireland, Canada, and the company's participation in Lloyds.

Personal writes virtually all types of property and casualty insurance covering personal risks.  The primary coverages in this segment are personal automobile and homeowners insurance sold to individuals.

Discontinued Operations (Asset Management) comprisesNuveen Investments, whose core businesses are asset management and related research, as well as the development, marketing and distribution of investment products and services for the affluent, high net worth and institutional market segments.  The Company held a 78% interest in Nuveen Investments as of March 31, 2005.

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Segment results for periods begining prior to April 1, 2004 have been restated from the historical presentation of  Travelers to conform to the new St. Paul Travelers segment arrangement where practicable.  As a result, prior quarter Bond and Construction results were disaggregated from historical Travelers Commercial Lines segment to create a historical Specialty segment and to restate Commercial into the new format.

Invested and other assets and net investment income (NII) of historical Travelers had been specifically identified by reporting segment prior to the merger.  Beginning in the second quarter 2004, the Company developed a methodology to allocate NII and invested assets to the identified  segments.  This methodology allocates pretax NII based upon an investable funds concept, which takes into account liabilities (net of non-invested assets) and appropriate capital considerations for each segment.  It is not practicable to apply the methodology to historical businesses and as such, actual (versus allocated) NII is included in revenues and operating income of the restated segments for periods prior to the merger.  It is also not practicable to present total assets for restated Specialty and Commercial segments for periods prior to the merger.  The Company believes that the differences, if any, are not significant to a comparison with the new segment presentation.

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