Exhibit 99.1
News fromThe Chubb Corporation
The Chubb Corporation
15 Mountain View Road • P.O. Box 1615
Warren, New Jersey 07061-1615
Telephone: 908-903-2000
Chubb Secures Full Cash Collateral for Aquila Surety Exposure
Warren, New Jersey, July 19, 2004 – The Chubb Corporation [NYSE: CB] announced today that two of its subsidiaries, Federal Insurance Company and Pacific Indemnity Company, have reached a settlement agreement with Aquila, Inc. under which Aquila is providing Chubb with collateral of $500 million.
This collateral represents Chubb’s complete exposure to Aquila under gas forward purchase surety bonds. In connection with the settlement, Chubb has agreed to pay Aquila up to $15 million following the complete discharge of Chubb’s exposure.
Chubb and Aquila jointly filed a motion with the United States District Court for the Western District of Missouri to approve the settlement and to dismiss the current litigation between the two companies.
| For further information contact: | Investors: | |||
| Glenn A. Montgomery | ||||
| 908-903-2365 | ||||
| Media: | ||||
| Mark E. Greenberg | ||||
| 908-903-2682 |
