-----BEGIN PRIVACY-ENHANCED MESSAGE----- Proc-Type: 2001,MIC-CLEAR Originator-Name: webmaster@www.sec.gov Originator-Key-Asymmetric: MFgwCgYEVQgBAQICAf8DSgAwRwJAW2sNKK9AVtBzYZmr6aGjlWyK3XmZv3dTINen TWSM7vrzLADbmYQaionwg5sDW3P6oaM5D3tdezXMm7z1T+B+twIDAQAB MIC-Info: RSA-MD5,RSA, SWuAkxMqTJcUBWjU4kWiv8R3++xTmGs1lOl/5RkCfyuAVIhJExaQnsN6Mt6U958Z /hyJbDbin9fc0CswAsiGSg== 0000899051-96-000013.txt : 19961027 0000899051-96-000013.hdr.sgml : 19961027 ACCESSION NUMBER: 0000899051-96-000013 CONFORMED SUBMISSION TYPE: 8-K PUBLIC DOCUMENT COUNT: 1 CONFORMED PERIOD OF REPORT: 19961008 ITEM INFORMATION: Other events ITEM INFORMATION: Financial statements and exhibits FILED AS OF DATE: 19961008 SROS: NYSE FILER: COMPANY DATA: COMPANY CONFORMED NAME: ALLSTATE CORP CENTRAL INDEX KEY: 0000899051 STANDARD INDUSTRIAL CLASSIFICATION: 6331 IRS NUMBER: 363871531 STATE OF INCORPORATION: DE FISCAL YEAR END: 1231 FILING VALUES: FORM TYPE: 8-K SEC ACT: 1934 Act SEC FILE NUMBER: 001-11840 FILM NUMBER: 96640635 BUSINESS ADDRESS: STREET 1: ALLSTATE PLZ CITY: NORTHBROOK STATE: IL ZIP: 60062 BUSINESS PHONE: 7084026075 MAIL ADDRESS: STREET 1: 1209 ORANGE STREET CITY: NEW CASTLE COUNTY STATE: DE ZIP: 19801 8-K 1 THE ALLSTATE CORPORATION SECURITIES AND EXCHANGE COMMISSION Washington, D.C. --------------------- 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) October 8, 1996 The Allstate Corporation (Exact Name of Registrant as Specified in Charter) Delaware 1-11840 36-3871531 (State or Other (Commission (IRS Employer Jurisdiction of File Number) Identification Incorporation) Number) Allstate Plaza, Northbrook, Illinois 60062 (Address of Principal Executive Offices) (Zip Code) Registrant's telephone number, including area code (847) 402-6075 Page 1 of 6 Exhibit Index at page 4 Item 5. Other Events ------------ On October 8, 1996, the Registrant issued the press release attached hereto as Exhibit 99. Item 7. Financial Statements and Exhibits --------------------------------- (c) Exhibits Exhibit No. Description - - ---------- ------------ 99 Registrant's press release dated October 8, 1996. Page 2 of 6 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, thereunto duly authorized. THE ALLSTATE CORPORATION By /s/ Samuel H. Pilch -------------------- Samuel H. Pilch Controller October 8, 1996 Page 3 of 6 Index to Exhibits ----------------- Sequential Page Number Description Number - - ------ ----------- ------ 99 Registrant's press release dated October 8, 1996 5 Page 4 of 6 Allstate Insurance Company Exhibit No. 99 NEWS FOR MORE INFORMATION Allstate Media Relations 847-402-5600 FOR IMMEDIATE RELEASE ALLSTATE STRENGTHENS RESERVES NORTHBROOK, Ill., October 8, 1996 -- The Allstate Corporation (NYSE: ALL) today announced that it will increase net loss reserves for discontinued lines and coverages by $405 million, based on the results of a previously disclosed study the company conducted of its environmental liabilities as well as a comprehensive internal assessment of its asbestos and other contractual liabilities related to other discontinued lines and coverages. An after-tax charge for the increased loss reserves of $262 million, or 58 cents per share, will be recorded in the third quarter. The reserve strengthening relates to lines and coverages that Allstate previously discontinued. These consist of excess and surplus insurance, reinsurance and mortgage pool business, which the company no longer writes. The company said that asbestos loss reserves will be increased by approximately $75 million and environmental loss reserves by $170 million, bringing total net A&E reserves to approximately $1.2 billion. It also said that loss reserves for other latent exposures and run-off businesses will be increased by $160 million. "This action to strengthen our reserves follows several repositioning activities we've recently undertaken to enhance our financial position and focus on the company's core businesses of auto, home and life insurance," said Allstate Chairman and Chief Executive Officer Jerry Choate. "In the past year, Allstate has sold those operations that do not fit with our strategic direction, and set in motion programs to reduce our catastrophe exposure in California and Florida." -more- Page 5 of 6 ALLSTATE RESERVES/PAGE 2 Management believes its reserves for environmental and asbestos coverages are appropriately established based on available facts, technology, laws and regulations. However, due to the inconsistencies of court coverage decisions, plaintiffs' expanded theories of liability, the risks inherent in major litigation and other uncertainties, the ultimate cost of these claims may vary materially from the amounts currently recorded, resulting in an increase in loss reserves. Due to the uncertainties and factors described above, management believes it is not practicable to develop a meaningful range for any such additional reserves that may be required. The Allstate Corporation, the parent of Allstate Insurance Company, is the nation's largest publicly held personal lines insurance company, insuring one of every eight homes and automobiles in the country. The company provides insurance for more than 20 million customers and has approximately 15,000 full-time agents in the U.S. and Canada. Allstate is also a major life insurer. # # # Page 6 of 6 -----END PRIVACY-ENHANCED MESSAGE-----