Selective Insurance (SIGI) 8-K Restated Unaudited Consolidated Statements of INCOME1

Exhibit 99.1

SELECTIVE INSURANCE GROUP, INC.

RESTATED UNAUDITED CONSOLIDATED STATEMENTS OF INCOME1

	Quarters ended
($ in thousands, except per share amounts)	March 2009			June  2009			September 2009
Revenues:
Net premiums written	$	375,783			365,263			376,718
Net increase in unearned premiums and prepaid reinsurance premiums		(11,910	)		(6,952	)		(20,812	)
Net premiums earned		363,873			358,311			355,906
Net investment income earned		15,717			26,368			36,585
Net realized (losses) gains:
Net realized investment (losses) gains		3,075			1,181			(741	)
Other-than-temporary impairments		(27,100	)		(12,534	)		(5,833	)
Other-than-temporary impairments on fixed maturity securities recognized in other comprehensive income		-			59			1,591
Total net realized investment losses		(24,025	)		(11,294	)		(4,983	)
Other income		1,281			3,810			2,667
Total revenues		356,846			377,195			390,175
Expenses:
Losses incurred		209,089			194,577			198,495
Loss expenses incurred		43,105			44,472			43,537
Policy acquisition costs		113,106			114,522			114,520
Dividends to policyholders		465			812			991
Interest expense		5,024			4,843			4,751
Other expenses		7,040			5,721			6,054
Total expenses		377,829			364,947			368,348
(Loss) income from continuing operations, before federal income tax		(20,983	)		12,248			21,827
Federal income tax expense (benefit):
Current		5,875			(1,631	)		(426	)
Deferred		(13,908	)		(1,479	)		1,647
Total federal income tax (benefit) expense		(8,033	)		(3,110	)		1,221
Net (loss) income from continuing operations		(12,950	)		15,358			20,606
Income (loss) from discontinued operations		61			383			(11,746	)
Federal income tax (benefit) expense		(12	)		53			(4,147	)
Total income (loss) from discontinued operations, net of tax		73			330			(7,599	)
Net (loss) income	$	(12,877	)		15,688			13,007
Earnings per share:
Basic net (loss) income from continuing operations		(0.25	)		0.29			0.39
Basic net income (loss) from discontinued operations		0.00			0.01			(0.14	)
Basic net (loss) income	$	(0.25	)		0.30			0.25
Diluted net (loss) income from continuing operations		(0.25	)		0.28			0.38
Diluted net income (loss) discontinued operations		0.00			0.01			(0.14	)
Diluted net (loss) income	$	(0.25	)		0.29			0.24
Dividends to stockholders	$	0.13			0.13			0.13
Summary of Discontinued Operations:
Other income	$	12,719			11,054			10,641
Other expense		(12,658	)		(10,671	)		(10,173	)
Goodwill impairment		-			-			(12,214	)
Federal income tax benefit (expense)		12			(53	)		4,147
Income (loss) from discontinued operations	$	73			330			(7,599	)

1Amounts have been restated to reflect Selective HR Solutions Inc. as a discontinued operation for all periods presented.

12b

SELECTIVE INSURANCE GROUP, INC.

RESTATED UNAUDITED CONSOLIDATED STATEMENTS OF INCOME1

	Quarters ended
($ in thousands, except per share amounts)	March 2008			June  2008			September  2008			December 2008
Revenues:
Net premiums written	$	391,954			389,394			402,739			308,651
Net (decrease) increase in unearned premiums and prepaid reinsurance premiums		(8,567	)		(12,140	)		(28,031	)		60,187
Net premiums earned		383,387			377,254			374,708			368,838
Net investment income earned		37,866			38,515			36,134			18,517
Net realized gains (losses):
Net realized investment gains (losses)		1,515			11,707			12,277			(21,851	)
Other-than-temporary impairments		-			(9,784	)		(34,854	)		(8,462	)
Other-than-temporary impairments on fixed maturity securities recognized in other comprehensive income		-			-			-			-
Total net realized investment gains (losses)		1,515			1,923			(22,577	)		(30,313	)
Other income		1,161			2,163			946			(98	)
Total revenues		423,929			419,855			389,211			356,944
Expenses:
Losses incurred		210,130			209,915			215,095			210,516
Loss expenses incurred		42,946			42,889			39,453			40,600
Policy acquisition costs		127,677			122,966			119,825			115,234
Dividends to policyholders		535			1,579			1,151			1,946
Interest expense		5,309			5,127			5,036			5,036
Other expenses		11,466			2,135			7,175			6,031
Total expenses		398,063			384,611			387,735			379,363
Income (loss) from continuing operations, before federal income tax		25,866			35,244			1,476			(22,419	)
Federal income tax expense (benefit):
Current		11,060			12,828			10,252			(12,145	)
Deferred		(5,190	)		(5,628	)		(17,016	)		1,905
Total federal income tax expense (benefit)		5,870			7,200			(6,764	)		(10,240	)
Net income (loss) from continuing operations		19,996			28,044			8,240			(12,179	)
Income (loss) from discontinued operations		736			841			1,090			(3,448	)
Federal income tax expense (benefit)		229			(234	)		338			(1,239	)
Total income (loss) from discontinued operations, net of tax		507			607			752			(2,209	)
Net income (loss)	$	20,503			28,651			8,992			(14,388	)
Earnings per share:
Basic net income (loss) from continuing operations		0.38			0.54			0.16			(0.24	)
Basic net income (loss) from discontinued operations		0.01			0.01			0.01			(0.04	)
Basic net income	$	0.39			0.55			0.17			(0.28	)
Diluted net income (loss) from continuing operations		0.37			0.53			0.16			(0.24	)
Diluted net income (loss) from discontinued operations		0.01			0.01			0.01			(0.04	)
Diluted net income	$	0.38			0.54			0.17			(0.28	)
Dividends to stockholders	$	0.13			0.13			0.13			0.13
Summary of Discontinued Operations:
Other income	$	15,118			13,498			12,695			11,836
Other expense		(14,382	)		(12,657	)		(11,605	)		(11,284	)
Goodwill impairment		-			-			-			(4,000	)
Federal income tax (expense) benefit		(229	)		(234	)		(338	)		1,239
Income (loss) from discontinued operations	$	507			607			752			(2,209	)

1Amounts have been restated to reflect Selective HR Solutions Inc. as a discontinued operation for all periods presented.

12c