<PAGE> 1
UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
_______________________
FORM 10-Q
X Quarterly Report Under Section 13 or 15 (d) of the Securities
----- Exchange Act of 1934
For the Quarterly Period Ended March 31, 1995
Transition Report Pursuant to Section 13 or 15 (d) of the
----- Securities Exchange Act of 1934
_______________________
Commission File Number 0-4604
CINCINNATI FINANCIAL CORPORATION
--------------------------------
(Exact name of registrant as specified in its charter)
An Ohio Corporation 31-0746871
(State or other jurisdiction of (I.R.S. Employer
incorporation or organization) Identification No.)
6200 South Gilmore Road
Fairfield, Ohio 45014-5141
(Address of principal executive offices)
Registrant's telephone number, including area code: 513/870-2000
*Indicate by check mark whether the registrant (1) has filed all reports
required to be filed by Section 13 or 15 (d) of the Securities Exchange
Act of 1934 during the preceding 12 months (or for such shorter period
that the registrant was required to file such reports) and (2) has been
subject to such filing requirements for the past 90 days.
YES X . NO .
------- ------
Securities registered pursuant to Section 12(g) of the Act:
$2.00 Par Common--53,003,715 shares outstanding at March 31, 1995
$80,000,000 of 5-1/2% Convertible Senior Debentures Due 2002
<PAGE> 2
PART I
------
ITEM 1. FINANCIAL STATEMENTS
CINCINNATI FINANCIAL CORPORATION AND SUBSIDIARIES
CONSOLIDATED BALANCE SHEETS
<TABLE>
<CAPTION>
(Unaudited)
March 31, December 31,
1995 1994
-------------- --------------
ASSETS
- ------
<S> <C> <C>
Cash . . . . . . . . . . . . . . . . . . . . . . . . . . . $ 33,160,127 $ 48,254,464
Investments
Fixed Maturities (Cost: 1995--$2,076,941,596;
1994--$1,976,314,328). . . . . . . . . . . . . . . . 2,118,523,014 1,943,116,277
Equity Securities (Cost: 1995--$1,325,853,464;
1994--$1,289,443,730). . . . . . . . . . . . . . . . 2,368,209,991 2,230,246,516
Other Invested Assets. . . . . . . . . . . . . . . . . 39,324,943 38,815,948
Finance Receivables. . . . . . . . . . . . . . . . . . . . 16,941,738 16,168,514
Premiums Receivable. . . . . . . . . . . . . . . . . . . . 141,164,973 141,972,017
Reinsurance Receivable . . . . . . . . . . . . . . . . . . 85,150,775 67,125,191
Prepaid Reinsurance Premiums . . . . . . . . . . . . . . . 24,506,172 24,066,171
Investment Income Receivable . . . . . . . . . . . . . . . 58,065,096 56,069,113
Land, Buildings and Equipment for Company Use (at Cost
Less Accumulated Depreciation) . . . . . . . . . . . . 32,649,328 32,672,741
Deferred Acquisition Costs Pertaining to Unearned
Premiums and to Life Policies in Force . . . . . . . . 110,513,864 109,503,487
Other Assets . . . . . . . . . . . . . . . . . . . . . . . 28,406,100 26,268,434
-------------- --------------
Total Assets $5,056,616,121 $4,734,278,873
-------------- --------------
LIABILITIES
- -----------
Insurance Reserves:
Life Policy Reserves . . . . . . . . . . . . . . . . . $ 376,722,490 $ 370,095,301
Losses and Loss Expenses . . . . . . . . . . . . . . . 1,616,759,517 1,552,296,866
Unearned Premiums. . . . . . . . . . . . . . . . . . . . . 380,725,002 382,119,017
Notes Payable. . . . . . . . . . . . . . . . . . . . . . . 139,616,197 129,115,650
5-1/2% Convertible Senior Debentures Due 2002. . . . . . . 80,000,000 80,000,000
Federal Income Taxes
Current. . . . . . . . . . . . . . . . . . . . . . . . 24,789,108 -0-
Deferred . . . . . . . . . . . . . . . . . . . . . . . 253,892,346 195,447,391
Other Liabilities. . . . . . . . . . . . . . . . . . . . . 83,003,582 85,157,413
-------------- --------------
Total Liabilities 2,955,508,242 2,794,231,638
-------------- --------------
SHAREHOLDERS' EQUITY
- --------------------
*Common Stock, $2 per Share; Authorized 80,000,000
Shares; Issued 1995--53,022,326; 1994--52,957,773
Shares; Outstanding 1995--53,003,715; 1994--52,938,838
Shares . . . . . . . . . . . . . . . . . . . . . . . . 106,044,652 100,871,948
Paid-In Capital. . . . . . . . . . . . . . . . . . . . . . 234,836,748 105,791,761
Retained Earnings. . . . . . . . . . . . . . . . . . . . . 1,046,620,288 1,133,104,811
Unrealized Gain on Investments, Less Taxes . . . . . . . . 714,509,491 601,192,480
-------------- --------------
2,102,011,179 1,940,961,000
*Less Treasury Shares at Cost (1995--18,611 Shares;
1994--18,935 Shares) . . . . . . . . . . . . . . . . . (903,300) (913,765)
-------------- -------------
Total Shareholders' Equity . . . . . . . . . . . . 2,101,107,879 1,940,047,235
-------------- --------------
Total Liabilities and Shareholders' Equity . . . $5,056,616,121 $4,734,278,873
============== ==============
*Adjusted to reflect 5% stock dividend effective March 17, 1995.
Accompanying notes are an integral part of these financial statements.
</TABLE>
10Q/sa
<PAGE> 3
CINCINNATI FINANCIAL CORPORATION AND SUBSIDIARIES
CONSOLIDATED STATEMENTS OF INCOME
(UNAUDITED)
<TABLE>
<CAPTION>
Three Months Ended March 31,
----------------------------
Revenues: 1995 1994
---- ----
<S> <C> <C>
Premiums Earned:
Property and Casualty . . . . . . . . . . . . . . . . . . . $ 307,146,925 $ 281,727,271
Life. . . . . . . . . . . . . . . . . . . . . . . . . . . . 10,949,844 10,729,336
Accident and Health . . . . . . . . . . . . . . . . . . . . 1,833,146 1,811,567
------------- -------------
Net Premiums Earned . . . . . . . . . . . . . . . . . . . 319,929,915 294,268,174
Investment Income, Less Expenses. . . . . . . . . . . . . . . . 71,813,695 63,774,572
Realized Gain on Investments. . . . . . . . . . . . . . . . . . 21,018,001 18,924,075
Other Income. . . . . . . . . . . . . . . . . . . . . . . . . . 1,926,188 2,735,699
------------- -------------
Total Revenues. . . . . . . . . . . . . . . . . . . . . . . 414,687,799 379,702,520
------------- -------------
Benefits & Expenses:
Insurance Losses and Policyholder Benefits. . . . . . . . . . . 233,385,026 234,542,096
Commissions . . . . . . . . . . . . . . . . . . . . . . . . . . 59,217,649 53,463,326
Other Operating Expenses. . . . . . . . . . . . . . . . . . . . 24,805,094 20,555,397
Taxes, Licenses & Fees. . . . . . . . . . . . . . . . . . . . . 8,944,612 8,627,550
Increase in Deferred Acquisition. . . . . . . . . . . . . . . .
Costs Pertaining to Unearned
Premiums and to Life Policies
in Force. . . . . . . . . . . . . . . . . . . . . . . . . . (1,010,378) (75,723)
Interest Expense. . . . . . . . . . . . . . . . . . . . . . . . 3,662,971 1,938,566
Other Expenses. . . . . . . . . . . . . . . . . . . . . . . . . 1,859,960 759,937
------------- -------------
Total Expenses. . . . . . . . . . . . . . . . . . . . . . . 330,864,934 319,811,149
------------- -------------
Income Before Income Taxes . . . . . . . . . . . . . . . . . . . . 83,822,865 59,891,371
------------- -------------
Provision (Benefit) for Income Taxes:
Current . . . . . . . . . . . . . . . . . . . . . . . . . . . . 21,313,367 22,354,007
Deferred. . . . . . . . . . . . . . . . . . . . . . . . . . . . (735,101) (10,962,106)
------------- -------------
Total . . . . . . . . . . . . . . . . . . . . . . . . . . . 20,578,266 11,391,901
------------- -------------
Net Income . . . . . . . . . . . . . . . . . . . . . . . . . . . . $ 63,244,599 $ 48,499,470
============= =============
Increase (Decrease) in Unrealized Gains on Fixed Maturities and
Equity Investments . . . . . . . . . . . . . . . . . . . . . . $ 174,333,863 $(108,657,240)
Less Provision (Benefits) for Federal Income
Taxes. . . . . . . . . . . . . . . . . . . . . . . . . . . . . 61,016,852 (38,030,015)
------------- -------------
Increase (Decrease) in Unrealized Gains on Fixed Maturities
and Equity Investments Less Applicable Federal Income Taxes . $ 113,317,011 (70,627,225)
============= =============
Weighted Average Shares Outstanding . . . . . . . . . . . . . . . 54,876,028 54,825,665*
============= =============
Per Common Share:
Total Net Income. . . . . . . . . . . . . . . . . . . . . . . $1.17 $ .90*
===== =====
Cash Dividends Declared . . . . . . . . . . . . . . . . . . . . . $ .32 $ .30*
===== =====
*Adjusted to reflect 5% stock dividend effective March 17, 1995.
Accompanying notes are an integral part of these financial statements.
</TABLE>
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<PAGE> 4
CINCINNATI FINANCIAL CORPORATION AND SUBSIDIARIES
CONSOLIDATED STATEMENT OF SHAREHOLDERS' EQUITY
(UNAUDITED)
THREE MONTHS ENDED MARCH 31, 1995
---------------------------------
<TABLE>
<CAPTION>
Unrealized
Common Stock Treasury Paid-In Retained Capital Gains
Shares Amount Stock Capital Earnings (Losses)
------ ------ -------- ------- -------- -------------
<S> <C> <C> <C> <C> <C> <C>
Balance December 31,
1994 50,435,974 $100,871,948 $(913,765) $105,791,761 $1,133,104,811 $601,192,480
Net Income 63,244,599
Change in Unrealized
Gains Net of
Income Taxes of
$61,016,852 113,317,011
Dividends Declared (17,164,239)
5% Stock Dividend
at Market 2,521,546 5,043,092 127,338,073 (132,564,883)
Issuance of Treasury
Shares 10,465 4,437
Stock Options
Exercised 64,806 129,612 1,702,477
---------- ------------ ---------- ------------ -------------- ------------
Balance March 31,
1995 53,022,326 $106,044,652 $(903,300) $234,836,748 $1,046,620,288 $714,509,491
========== ============ ========== ============ ============== ============
Accompanying notes are an integral part of these financial statements.
</TABLE>
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<PAGE> 5
CINCINNATI FINANCIAL CORPORATION AND SUBSIDARIES
CONSOLIDATED STATEMENTS OF CASH FLOWS
(UNAUDITED)
<TABLE>
<CAPTION>
Three Months Ended March 31,
----------------------------
1995 1994
---- ----
<S> <C> <C>
Cash flows from operating activities:
Net income . . . . . . . . . . . . . . . . . . . . . . $63,244,599 $48,499,470
Adjustments to reconcile operating income to net cash
provided by operating activities:
Depreciation and amortization. . . . . . . . . . . . 2,432,438 2,178,070
Decrease in net unearned premiums. . . . . . . . . . (1,834,016) (6,295,956)
Increase in net life policy reserves . . . . . . . . 6,627,189 7,056,431
Increase in net loss and loss expense reserves . . . 46,437,067 66,164,808
Decrease in net premiums receivable. . . . . . . . . 807,044 2,829,669
Increase in deferred acquisition costs . . . . . . . (1,010,377) (75,722)
Decrease in other liabilities. . . . . . . . . . . . (3,569,850) (25,649,675)
Increase in investment income receivable . . . . . . (1,995,983) (836,003)
(Increase) decrease in policy loans and accounts
receivable . . . . . . . . . . . . . . . . . . . . (5,759,188) 3,231,902
Decrease in deferred income taxes. . . . . . . . . . (2,571,897) (10,962,107)
Increase in current income taxes . . . . . . . . . . 26,725,886 16,531,740
Realized gain on investments . . . . . . . . . . . . (21,018,001) (18,924,075)
Other. . . . . . . . . . . . . . . . . . . . . . . . 1,216,919 (391,115)
------------ -------------
Net cash provided by operating activities. . . . . 109,731,830 83,357,437
------------ -------------
Cash flows from investing activities:
Sale of fixed maturities investments . . . . . . . . . 20,509,272 24,314,205
Maturity of fixed maturities investments . . . . . . . 47,190,434 99,484,580
Sale of equity securities investments. . . . . . . . . 83,764,258 38,406,775
Collection of mortgage loans . . . . . . . . . . . . . 65,418 236,835
Collection of finance receivables. . . . . . . . . . . 1,828,410 1,549,313
Purchase of fixed maturities investments . . . . . . . (167,264,970) (156,711,199)
Purchase of equity securities investments. . . . . . . (102,142,181) (100,233,806)
Investment in mortgage loans . . . . . . . . . . . . . -0- (690,943)
Investment in land, buildings and equipment. . . . . . (2,334,980) (3,190,298)
Investment in finance receivables. . . . . . . . . . . (2,601,634) (2,114,237)
Investment in real estate and other. . . . . . . . . . (53,991) (761,872)
------------ -------------
Net cash used in investing activities. . . . . . . (121,039,964) (99,710,647)
------------ -------------
Cash flows from financing activities:
Proceeds from stock options exercised. . . . . . . . . 1,832,089 1,215,805
Issuance (purchase) of treasury shares . . . . . . . . 14,902 (149,607)
Increase in notes payable. . . . . . . . . . . . . . . 10,500,547 10,512,454
Payment of cash dividends to shareholders. . . . . . . (16,133,741) (14,085,764)
------------ -------------
Net cash used in financing activities. . . . . . . . (3,786,203) (2,507,112)
------------ -------------
Net decrease in cash . . . . . . . . . . . . . . . . . . (15,094,337) (18,860,322)
Cash at beginning of period. . . . . . . . . . . . . . . 48,254,464 48,113,639
------------ -------------
Cash at end of period. . . . . . . . . . . . . . . . . . $ 33,160,127 $ 29,253,317
============ =============
Supplemental disclosures of cash flow information
Interest paid. . . . . . . . . . . . . . . . . . . . . $ 2,234,417 $ 751,533
============ =============
Income taxes paid. . . . . . . . . . . . . . . . . . . $ -0- $ 6,000,000
============ =============
Accompanying notes are an integral part of these financial statements.
</TABLE>
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<PAGE> 6
CINCINNATI FINANCIAL CORPORATION AND SUBSIDARIES
NOTES TO CONSOLIDATED FINANCIAL STATEMENTS
(UNAUDITED)
NOTE I - ACCOUNTING POLICIES
The consolidated financial statements include the accounts of the Company and
all of its subsidiaries, each of which is wholly owned, and are presented in
conformity with generally accepted accounting principles. All significant
inter-company investments and transactions have been eliminated in
consolidation. The December 31, 1994 consolidated balance sheet amounts are
derived from the audited financial statements but do not include all
disclosures required by generally accepted accounting principles.
INVESTMENTS--Fixed maturities and equity securities have been classified as
available for sale and are carried at fair values at March 31, 1995 and
December 31, 1994.
UNREALIZED GAINS AND LOSSES--The increases (decreases) in unrealized gains for
fixed maturities and equity securities for the three-month periods ended March
31 are as follows:
1995 Fixed Equity
---- Maturities Securities
---------- ----------
Increase in Unrealized Gains
(Net of Income Tax Effects) $ 47,307,079 $ 66,009,932
1994
----
Decrease in Unrealized Gains
(Net of Income Tax Effects) $(28,436,090) $(121,531,440)
Such amounts are included as additions to and deductions from shareholders'
equity.
REINSURANCE--Premiums earned are net of $18,720,168 and $24,585,613 of premium
on ceded business for March 31, 1995 and 1994, respectively. Insurance losses
and policyholder benefits in the accompanying statements of income are net of
$14,617,542 and $3,429,385 reinsurance recoveries for March 31, 1995 and 1994,
respectively.
NOTE II - STOCK OPTIONS
The Company has primarily qualified stock option plans under which options are
granted to employees of the Company at prices which are not less than market
price at the date of grant and which are exercisable over a five-year period,
or over a ten-year period if granted on or after July 25, 1990. On March 31,
1995, outstanding options for Stock Option Plan No. III totalled 87,977 shares
with purchase prices ranging from a low of $12.46 to a high of $23.13 and
outstanding options for Stock Option Plan No. IV totalled 734,919 shares with
purchase prices ranging from a low of $23.50 to a high of $59.29. All
outstanding shares have been adjusted for the 5% stock dividend declared
February 4, 1995, payable April 28, 1995 to shareholders of record of March 17,
1995.
<PAGE> 7
NOTE III INTERIM ADJUSTMENTS
The preceding summary of financial information for Cincinnati Financial
Corporation and consolidated subsidiaries is unaudited, but the Company
believes that all adjustments (consisting only of normal recurring accruals)
necessary for fair presentation have been made. The results of operations for
interim periods are not necessarily indications of results to be expected for
this year.
10Q/sa
<PAGE> 8
ITEM 2. Management's Discussion and Analysis of Financial Condition and
Results of Operations
Premiums earned for the three months ended March 31, 1995 have increased
$25,661,741 (9%) over the three months ended March 31, 1994. The growth rate
of our property and casualty subsidiaries on a gross written basis is greater
than last year; and with lower costs of reinsurance, our premiums earned
increased 9% in the three-month period ended March 31, 1995 over March 31,
1994. The premium growth is attributable to new business and rate increases.
The premium volume of our life and health company has increased approximately
2% as the Company had slight increases in both life and health insurance
production. For the three-month period ended March 31, 1995, Investment
Income, net of expenses, has increased $8,039,123 (13%) when compared with the
first three months of 1994. This increase is the result of the growth of the
investment portfolio because of investing cash flows from increased premiums
written. The growth is greater than last year because of higher yields on new
investments.
Realized gains on investments for the three months ended March 31, 1995
amounted to $21,018,001 compared to $18,924,075 for the comparable three-month
period ended March 31, 1994. The realized gains are predominantly the result
of the sale of equity securities and management's decision
to realize the gains and reinvest the proceeds at higher yields.
Insurance losses and policyholder benefits (net of reinsurance recoveries)
decreased $1,157,070 (1%) for the first three months of 1995 over the same
period in 1994. The losses and benefits of the property and casualty companies
have decreased $2,419,732 because the catastrophe losses for the first quarter
of 1995 were only $0.1 million compared to $18.8 million in 1994. The lower
incidence and severity of these weather related catastrophe claims more than
offset the increased claims due to the growth in business. Policyholder
benefits increased $1,262,662 over the first quarter of 1994 in the life
insurance subsidiary. The majority of the increase is the result of a higher
incidence of death and disability income claims and related costs.
Commission expenses increased $5,754,323 for the first quarter of 1995 compared
to the first quarter of 1994. The increase is mainly attributable to the
increases in new business and the effects of favorable underwriting results.
Other operating expenses increased $4,249,697 for the first quarter of 1995
compared to the first quarter of 1994. Most of the increase is the result of
general wage increases and the increase in the number of employees from 1,975
at December 31, 1993 to 2,150 at March 31, 1995.
Provision for income taxes, current and deferred, have increased by $9,186,365
for the first three months of 1995 compared to the first three months of 1994.
The increase in federal taxes is attributable to higher underwriting profits in
our property and casualty companies, because of lower catastrophe claims and
higher taxable investment income, dividends received and capital gains for the
corporation.
Unrealized appreciation will fluctuate with changes in the overall fixed
maturities and equity securities market. Changes in unrealized appreciation
are discussed in Note 1. The Company's equity investment portfolio continues
to be primarily investments in common stocks of public utility companies and
financial institutions.
10Q/sa
<PAGE> 9
PART II
OTHER INFORMATION
ITEM 1. Legal Proceedings
-----------------
The Company is involved in no material litigation other than routine litigation
incident to the nature of the insurance industry.
ITEM 2. Changes in Securities
---------------------
On February 4, 1995, the Company declared a 5% stock dividend payable on April
28, 1995 to shareholders of record of March 17, 1995.
ITEM 3. Defaults Upon Senior Securities
-------------------------------
The Company has not defaulted on any interest or principal payment, and no
arrearage in the payment of dividends has occurred.
ITEM 4. Submission of Matters to a Vote of Security Holders
---------------------------------------------------
No special matters were voted upon by security holders during the first
quarter.
ITEM 5. Other Information
-----------------
No matters to report.
ITEM 6. Exhibits and Reports on Form 8-K
--------------------------------
(a) Exhibits included:
Exhibit 11--Statement re Computation of Per Share Earnings.
Exhibit 27--Financial Data Schedule
(b) The Company was not required to file any reports on Form 8-K
during the quarter ended March 31, 1995.
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 thereunto duly authorized.
CINCINNATI FINANCIAL CORPORATION
--------------------------------
(Registrant)
Date May 11, 1995
----------------------
By/s/ Robert J. Driehaus
--------------------------------
R. J. Driehaus
Financial Vice President & Treasurer
(Principal Financial Officer)
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<PAGE> 1
EXHIBIT 11
CINCINNATI FINANCIAL CORPORATION
STATEMENT RE COMPUTATION OF PER SHARE EARNINGS
FOR THE QUARTER ENDED MARCH 31,
(in thousands except for per share amounts)
1995 1994*
------ ------
Weighted average shares outstanding 52,974 52,835
Equivalent shares assumed to be
outstanding for:
Stock options 195 284
Convertible debentures 1,707 1,707
------- -------
Number of shares for primary
computation 54,876 54,826
Other dilutive equivalent shares--
stock options 2 0
------- -------
Number of shares assuming full
dilution 54,878 54,826
======= =======
Net income $63,245 $48,499
Interest on convertible debentures--
net of tax 715 715
------- -------
Net income for per share computation $63,960 $49,214
======= =======
Earnings per share:
Primary $ 1.17 $ .90
======= =======
Fully Diluted $ 1.17 $ .90
======= =======
*Common shares and their equivalent have been adjusted to reflect the 5% stock
dividend effective March 17, 1995.
10Q/sa
<TABLE> <S> <C>
<ARTICLE> 7
<S> <C>
<PERIOD-TYPE> 3-MOS
<FISCAL-YEAR-END> DEC-31-1995
<PERIOD-START> JAN-31-1995
<PERIOD-END> MAR-31-1995
<DEBT-HELD-FOR-SALE> 2,118,523,014
<DEBT-CARRYING-VALUE> 0
<DEBT-MARKET-VALUE> 0
<EQUITIES> 2,368,209,991
<MORTGAGE> 5,529,985
<REAL-ESTATE> 15,929,968
<TOTAL-INVEST> 4,526,057,948<F1>
<CASH> 33,160,127
<RECOVER-REINSURE> 2,846,446
<DEFERRED-ACQUISITION> 110,513,864
<TOTAL-ASSETS> 5,056,616,121
<POLICY-LOSSES> 1,940,294,341<F2>
<UNEARNED-PREMIUMS> 380,725,002
<POLICY-OTHER> 50,265,836<F2>
<POLICY-HOLDER-FUNDS> 4,791,452
<NOTES-PAYABLE> 219,616,197<F3>
<COMMON> 105,141,352<F4>
0
0
<OTHER-SE> 1,995,966,527<F4>
<TOTAL-LIABILITY-AND-EQUITY> 5,056,616,121
319,929,915
<INVESTMENT-INCOME> 71,813,695
<INVESTMENT-GAINS> 21,018,001
<OTHER-INCOME> 1,926,188
<BENEFITS> 233,385,026
<UNDERWRITING-AMORTIZATION> 19,223,416<F5>
<UNDERWRITING-OTHER> 78,256,492<F5>
<INCOME-PRETAX> 83,822,865
<INCOME-TAX> 20,578,266
<INCOME-CONTINUING> 63,244,599
<DISCONTINUED> 0
<EXTRAORDINARY> 0
<CHANGES> 0
<NET-INCOME> 63,244,599
<EPS-PRIMARY> 1.17
<EPS-DILUTED> 1.17
<RESERVE-OPEN> 1,510,150,293<F6>
<PROVISION-CURRENT> 0
<PROVISION-PRIOR> 0
<PAYMENTS-CURRENT> 0
<PAYMENTS-PRIOR> 0
<RESERVE-CLOSE> 1,563,712,336<F7>
<CUMULATIVE-DEFICIENCY> 0
<FN>
<F1> Equals the sum of Fixed Maturities, Equity Securities and other Invested
Assets
<F2> Equals the sum of Life Policy Reserves and Losses and Loss Expenses less
the Life Company liability for Supplementary Contracts without Life
Contingencies of $2,921,829 which is classified as Other Policyholder Funds
<F3> Equals the sum of Notes Payable and the 5-1/2% Convertible Senior
Debenture
<F4> Equals the Total Shareholders Equity
<F5> Equals the Sum of Commissions, Other Operating Expenses, Taxes licenses
and Fees, Increase in deferred acquisition costs, Interest expense and other
expenses
<F6> Equals the reserve for unpaid claims for the property casualty
subsidiaries less loss checks payable as of December 31, 1994
<F7> Equals the reserve for unpaid claims for the property casualty
subsidiaries less loss checks payable as of March 31, 1995
</FN>
</TABLE>
