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
FEBRUARY 29, 2000
---------------------------------------------------
Date of Report (Date of earliest event reported)
TRAVELERS PROPERTY CASUALTY CORP.
---------------------------------------------------
(Exact name of registrant as specified in charter)
DELAWARE 1-14328 06-1445591
--------------- ----------------- ------------------
(State or other (Commission File Number) (IRS Employer
jurisdiction of Identification
incorporation) Number)
ONE TOWER SQUARE, HARTFORD, CONNECTICUT 06183
---------------------------------------- ----------
(Address of principal executive offices) (Zip Code)
(860) 277-0111
----------------------------------------------------
(Registrant's telephone number, including area code)
<PAGE>
Travelers Property Casualty Corp.
Current Report on Form 8-K
Item 5. Other Events.
On February 29, 2000, Travelers Property Casualty Corp. issued a press release
announcing that it has signed a letter of intent to acquire the surety business
of Reliance Group Holdings, Inc. A copy of the press release is attached hereto
as Exhibit 99.01 and incorporated herein by reference.
Item 7. Financial Statements, Pro Forma Financial Information
and Exhibits.
(a) Not applicable.
(b) Not applicable.
(c) Exhibits
Exhibit No. Description
----------- ------------------
99.01 Press Release of Travelers Property
Casualty Corp. dated February 29, 2000
2
<PAGE>
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 29, 2000
TRAVELERS PROPERTY CASUALTY CORP.
By: /s/ Paul H. Eddy
--------------------------
Name: Paul H. Eddy
Title: Assistant Secretary
3
Exhibit 99.01
TRAVELERS PROPERTY CAUALTY TO PURCHASE SURETY BUSINESS
OF RELIANCE GROUP HOLDINGS
HARTFORD, Conn. (February 29, 2000) -- Travelers Property Casualty
announced today that it has signed a letter of intent to acquire the surety
business of Reliance Group Holdings for $580 million. Reliance Surety recorded
net written premiums of $213 million in 1999, and at year end, had statutory
surplus of approximately $105 million and a GAAP net worth of $162 million.
"The combination of the surety operations of Reliance and Travelers will
create a premier competitor in one of the most attractive segments of the
property and casualty industry," said Jay S. Fishman, President and Chief
Executive officer of Travelers Property Casualty. "The professionals of Reliance
Surety have an excellent reputation and have built one of the industry's best
organizations, a business that shares our strong commitment to quality
underwriting and long-term relationships and has a geographic scope that
complements our own. While augmenting our U.S. capabilities, Reliance Surety
brings to Travelers a team of international surety underwriters whose expertise
can be leveraged through the global network of Citigroup."
"This transaction is a merger of two compatible organizations, and we are
excited about bringing together our two teams," said Joseph P. Kiernan,
President and CEO of Travelers Bond. "Reliance Surety has an excellent
management group headed by Brian Schmalz. By combining our two teams, we will be
able to deliver to agents and customers an even higher level of product
capability and services than they have come to expect, as well as the strength
and stability we possess as a member of the Citigroup organization."
The purchase is subject to execution of definitive agreements and to
various approvals including those of the Boards of Directors of Reliance,
Travelers, and Travelers' major shareholder, Citigroup, as well as various
regulatory authorities. The transaction is expected to close by the end of May
2000 and to be modestly accretive to earnings in the first year.
Travelers Property Caualty [LOGO]
A member of citigroup
One Tower Square
Hartford, CT 06183
www.travelers.com
