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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): FEBRUARY 10, 1997
TRAVELERS/AETNA PROPERTY CASUALTY CORP.
(Exact name of registrant as specified in its charter)
DELAWARE 1-14328 06-1445591
(State or other (Commission File Number) (IRS Employer
jurisdiction of Identification No.)
incorporation)
ONE TOWER SQUARE, HARTFORD, CONNECTICUT 06183
(Address of principal executive offices) (Zip Code)
Registrant's telephone number, including area code: (860) 277-0111
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TRAVELERS/AETNA PROPERTY CASUALTY CORP.
CURRENT REPORT ON FORM 8-K
ITEM 5. OTHER EVENTS
Travelers/Aetna Property Casualty Corp. (the "Registrant") is filing this
Current Report on Form 8-K to provide certain additional financial information
of the Registrant as of December 31, 1996, which information is also being
disclosed to members of the research analyst community.
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CONSOLIDATED BALANCE SHEET Travelers/Aetna Property Casualty Corp.
(in millions, except shares)
<TABLE>
<CAPTION>
DEC. 31, 1996
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<S> <C>
ASSETS
Fixed maturities, available for sale at fair value
(cost, $24,052.3) $ 24,445.9
Equity securities, at fair value (cost, $756.0) 778.6
Mortgage loans 1,005.6
Real estate held for sale 156.7
Short-term securities 2,311.3
Other investments 666.2
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Total investments 29,364.3
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Cash 106.0
Investment income accrued 381.1
Premium balances receivable 2,976.0
Reinsurance recoverables 9,714.3
Deferred acquisition costs 426.4
Deferred federal income taxes 1,583.2
Contractholder receivables 1,828.2
Other assets 3,399.6
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TOTAL ASSETS $ 49,779.1
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LIABILITIES
Claims and claim adjustment expense reserves $ 31,176.7
Unearned premium reserves 3,554.3
Contractholder payables 1,828.2
Commercial paper 25.0
Long-term debt 1,249.3
Other liabilities 4,565.8
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TOTAL LIABILITIES 42,399.3
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TAP - Obligated Mandatorily Redeemable
Preferred Securities of Subsidiary Trusts holding
solely Junior Subordinated Debt Securities of TAP 900.0
STOCKHOLDERS' EQUITY
Common Stock:
Class A, $.01 par value, 700 million shares authorized,
71,979,829 shares issued 0.7
Class B, $.01 par value, 700 million shares authorized,
328,020,170 shares issued and outstanding 3.3
Additional paid-in capital 5,455.0
Retained earnings 749.2
Treasury stock, at cost (shares, 406,860) (12.9)
Unrealized gain on investment securities, net of tax 284.5
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TOTAL STOCKHOLDERS' EQUITY 6,479.8
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TOTAL LIABILITIES AND STOCKHOLDERS' EQUITY $ 49,779.1
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</TABLE>
Note: Financial data for the Aetna Casualty and Surety Company and The Standard
Fire Insurance Company (Aetna P&C) is included from the date of acquisition
(April 2, 1996).
This report is for information purposes only. It should be read in conjunction
with documents filed by Travelers/Aetna Property Casualty Corp. with the
Securities and Exchange Commission, including the registration statement on
Form S-1 filed April 22, 1996 and the most recent Quarterly Reports on Form
10-Q.
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<TABLE>
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SELECTED FIXED-INCOME INVESTMENT DATA Travelers/Aetna Property Casualty Corp.
(In millions)
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<CAPTION>
At December 31, 1996 Amount
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<S> <C>
FIXED-INCOME PORTFOLIO (at carrying value)
Fixed-Income investments
Available for sale, at market:
Mortgage-backed securities - principally obligations
of U.S. Government agencies $ 4,527.2
U.S. Treasury securities and obligations of U.S.
Government corporation and agencies 2,450.6
Corporates (including redeemable preferreds) 11,653.4
Obligations of states and political subdivisions 5,218.8
Debt securities issued by foreign governments 595.9
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Total fixed-income investments $24,445.9
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</TABLE>
<TABLE>
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FIXED-INCOME INVESTMENTS
QUALITY CHARACTERISTICS*
<CAPTION>
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At December 31, 1996 Amount % of Total
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<S> <C> <C>
Quality Ratings
Aaa $10,531.7 43.1%
Aa 3,867.9 15.8
A 6,306.3 25.8
Baa 3,141.5 12.9
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Total investment grade 23,847.4 97.6
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Ba 454.2 1.8
B 120.1 0.5
Caa and lower 24.2 0.1
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Total below investment grade 598.5 2.4
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Total fixed-income investments $24,445.9 100.0%
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Average weighted quality AA3
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Average duration of fixed maturities and short-term securities 5.3 years
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</TABLE>
* Rated using external rating agencies, or by TAP's internal analysts when a
public rating does not exist. Below investment grade assets refer to
securities rated "Ba1" or below.
Note: Financial data for The Aetna Casualty and Surety Company and The Standard
Fire Insurance Company (Aetna P&C) is included from the date of
acquisition (April 2, 1996).
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SIGNATURE
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.
Dated: February 10, 1997
Travelers/Aetna Property Casualty Corp.
By: /s/ William P. Hannon
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William P. Hannon
Chief Financial Officer
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