1
UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
FORM 10-Q
/X/ QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d)
OF THE SECURITIES EXCHANGE ACT OF 1934
FOR QUARTER ENDED SEPTEMBER 30, 1995
/ / TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d)
OF THE SECURITIES EXCHANGE ACT OF 1934
For the transition period____________to___________
Commission File Number 1-6563
SAFECO CORPORATION
(Exact name of registrant as specified in its charter)
Washington 91-0742146
(State of Incorporation) (I.R.S. Employer
Identification No.)
SAFECO Plaza, Seattle, Washington 98185
(Address of principal executive offices)
Registrant's Telephone Number, Including Area Code (206)545-5000
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
62,984,415 shares of no par value common
stock were outstanding at September 30, 1995
2
SAFECO CORPORATION
- - - --------------------------------------------------------------------------------
TABLE OF CONTENTS AND SIGNATURES
Part I - Financial Information* Page
----
Item 1. Financial Statements:
Consolidated Balance Sheet,
September 30, 1995 and December 31, 1994 3
Statement of Consolidated Income and Retained Earnings for
the Quarters and Nine Months Ended September 30, 1995 and
1994 5
Statement of Consolidated Cash Flows for
the Nine Months Ended September 30, 1995 and 1994 6
Item 2. Management's Discussion and Analysis 8
Part II - Other Information
Item 6. Exhibits and Reports on Form 8-K 13
* The accompanying unaudited condensed financial statements have been prepared
in accordance with the instructions to Form 10-Q. In the opinion of management,
they include all adjustments (none of which were other than normal and recurring
adjustments) which are necessary for a fair presentation of results for the
interim periods. It is suggested that these condensed financial statements be
read in conjunction with the financial statements and the notes thereto included
in the Company's Form 10-K for the year ended December 31, 1994 which has
previously been filed with the Commission.
SIGNATURES
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.
SAFECO CORPORATION
(Registrant)
BOH A. DICKEY
----------------------------
Boh A. Dickey
Executive Vice President and
Dated November 7, 1995 Chief Financial Officer
ROD A. PIERSON
----------------------------
Rod A. Pierson
Senior Vice President, Secretary,
Dated November 7, 1995 Controller and Chief Accounting Officer
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SAFECO CORPORATION AND SUBSIDIARIES
CONSOLIDATED BALANCE SHEET
(In Thousands)
- - - ---------------------------------------------------------------------------------------------------------
September 30 December 31
ASSETS 1995 1994
------ ------------ -----------
Investments:
Fixed Maturities Available-for-Sale, at Market Value
(Amortized cost: 1995 - $10,154,948; 1994 - $9,608,210) $10,823,121 $ 9,509,071
Fixed Maturities Held-to-Maturity, at Amortized Cost
(Market value: 1995 - $2,438,970; 1994 - $1,948,309) 2,223,211 2,053,132
Marketable Equity Securities, at Market Value
(Cost: 1995 - $616,410; 1994 - $565,007) 1,101,912 855,054
Mortgage Loans 414,505 418,983
Real Estate (At cost less accumulated depreciation) 500,353 475,865
Policy Loans 55,350 53,329
Short-Term Investments 76,790 101,574
----------- -----------
Total Investments 15,195,242 13,467,008
Cash 55,340 63,504
Accrued Investment Income 230,606 229,964
Finance Receivables 682,025 619,059
Premiums and Other Service Fees Receivable 443,004 418,733
Other Notes and Accounts Receivable 84,237 69,572
Reinsurance Recoverables 148,108 172,510
Land, Buildings and Equipment for Company Use
(At cost less accumulated depreciation) 170,818 160,973
Deferred Policy Acquisition Costs 356,677 388,843
Other Assets 412,754 311,563
----------- -----------
TOTAL $17,778,811 $15,901,729
=========== ===========
(continued)
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SAFECO CORPORATION AND SUBSIDIARIES
CONSOLIDATED BALANCE SHEET
(In Thousands Except Share Amounts) (continued)
- - - ----------------------------------------------------------------------------------------------------------
September 30 December 31
LIABILITIES AND STOCKHOLDERS' EQUITY 1995 1994
------------------------------------ ------------ -----------
Losses and Adjustment Expense $ 2,217,911 $ 2,265,854
Unearned Premiums 930,953 866,964
Life Policy Liabilities 158,427 155,322
Funds Held Under Deposit Contracts 8,564,980 7,988,456
Notes and Mortgages Payable:
Credit Company Borrowings ($564,800 maturing within one year) 611,300 510,600
10.75% Notes Due September 1995 -- 200,000
Other Notes and Mortgages ($42,093 maturing within one year) 275,899 272,309
7.875% Notes Due 2005 200,000 --
Other Liabilities 815,469 754,258
Federal and Canadian Income Taxes:
Current 35,715 22,627
Deferred (Includes tax on unrealized appreciation
of investment securities:
1995 - $386,583; 1994 - $66,818) 357,775 35,860
----------- -----------
Total Liabilities 14,168,429 13,072,250
----------- -----------
Preferred Stock, No Par Value:
Shares Authorized: 10,000,000
Shares Issued and Outstanding: None -- --
Common Stock, No Par Value:
Shares Authorized: 150,000,000
Shares Reserved for Options:
1995 - 1,889,803; 1994 - 2,042,691
Shares Issued and Outstanding:
1995 - 62,984,415; 1994 - 62,951,634 216,125 211,194
Retained Earnings 2,674,991 2,495,800
Unrealized Appreciation of Investment
Securities, Net of Tax 721,974 128,123
Unrealized Loss from Foreign Currency
Translation, Net of Tax (2,708) (5,638)
----------- -----------
Total Stockholders' Equity 3,610,382 2,829,479
----------- -----------
TOTAL $17,778,811 $15,901,729
=========== ===========
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SAFECO CORPORATION AND SUBSIDIARIES
STATEMENT OF CONSOLIDATED INCOME AND RETAINED EARNINGS
(In Thousands Except Per Share Amounts)
- - - ---------------------------------------------------------------------------------------------------------------------------
Nine Months Ended Three Months Ended
September 30 September 30
----------------------------- ---------------------------
1995 1994 1995 1994
----------- ----------- ---------- ----------
REVENUES:
Insurance:
Property and Casualty Earned Premiums $ 1,605,580 $ 1,517,223 $ 544,479 $ 529,234
Life and Health Premiums and Other Revenues 200,610 209,984 65,929 68,451
----------- ----------- ---------- ----------
Total 1,806,190 1,727,207 610,408 597,685
Real Estate 57,127 84,220 18,298 30,931
Finance 47,939 38,737 16,962 13,948
Asset Management 13,320 13,130 4,588 5,687
Net Investment Income 799,792 735,927 271,521 249,303
Realized Investment Gain 43,238 24,983 22,512 4,242
----------- ----------- ---------- ----------
Total 2,767,606 2,624,204 944,289 901,796
----------- ----------- ---------- ----------
EXPENSES:
Losses, Adjustment Expense and Policy Benefits 1,689,749 1,646,327 546,929 570,804
Commissions 302,731 295,657 101,649 105,420
Personnel Costs 171,675 165,840 60,066 55,453
Interest 67,021 50,801 23,034 17,670
Dividends to Policyholders 11,996 17,339 3,431 6,469
Other 176,345 200,243 60,338 69,361
Amortization of Deferred Policy Acquisition Costs 305,293 293,615 102,857 101,096
Deferral of Policy Acquisition Costs (319,029) (313,022) (107,021) (110,256)
----------- ----------- ---------- ----------
Total 2,405,781 2,356,800 791,283 816,017
----------- ----------- ---------- ----------
Income before Income Taxes 361,825 267,404 153,006 85,779
----------- ----------- ---------- ----------
Provision (Benefit) for Federal
and Canadian Income Taxes:
Current 78,051 63,689 31,157 17,112
Deferred 1,008 (14,872) 6,992 (3,845)
----------- ----------- ---------- ----------
Total 79,059 48,817 38,149 13,267
----------- ----------- ---------- ----------
Net Income 282,766 218,587 114,857 72,512
Retained Earnings, Beginning of Period 2,495,800 2,307,322 2,595,172 2,392,445
Dividends Declared (97,631) (90,065) (33,384) (30,868)
Common Stock Reacquired (5,944) (2,189) (1,654) (434)
----------- ----------- ---------- ----------
Retained Earnings, End of Period $ 2,674,991 $ 2,433,655 $2,674,991 $2,433,655
=========== =========== ========== ==========
Net Income Per Share of Common Stock $ 4.49 $ 3.47 $ 1.82 $ 1.15
=========== =========== ========== ==========
Average Number of Shares Outstanding
During the Period (In Thousands) 62,979 62,971 62,987 62,988
=========== =========== ========== ==========
Cash Dividends Paid to Common
Stockholders $ 1.51 $ 1.39 $ 0.53 $ 0.49
=========== =========== ========== ==========
Income per share of common stock is based on the average number of common shares
outstanding. Stock options do not have a significant dilutive effect on income
per share.
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SAFECO CORPORATION AND SUBSIDIARIES
STATEMENT OF CONSOLIDATED CASH FLOWS
(In Thousands)
- - - ------------------------------------------------------------------------------------------------------------
Nine Months Ended
September 30
------------------------------------
1995 1994
------------ -----------
OPERATING ACTIVITIES:
Insurance Premiums Received $ 1,806,409 $ 1,730,935
Dividends and Interest Received 793,156 721,356
Other Operating Receipts 127,819 133,648
Insurance Claims and Policy Benefits Paid (1,366,578) (1,269,183)
Underwriting, Acquisition and Insurance Operating
Costs Paid (611,644) (596,378)
Interest Paid (62,249) (54,181)
Other Operating Costs Paid (66,467) (75,101)
Income Taxes Paid (64,766) (76,470)
------------ -----------
Net Cash Provided by Operating Activities 555,680 514,626
------------ -----------
INVESTING ACTIVITIES:
Purchases of:
Fixed Maturities Available-for-Sale (1,440,097) (1,584,272)
Fixed Maturities Held-to-Maturity (161,483) (262,546)
Equities (151,437) (98,908)
Other Investments (270,636) (130,009)
Maturities of Fixed Maturities Available-for-Sale 521,397 626,188
Maturities of Fixed Maturities Held-to-Maturity 10,493 52,991
Sales of:
Fixed Maturities Available-for-Sale 372,383 562,861
Fixed Maturities Held-to-Maturity -- --
Equities 124,955 73,365
Other Investments 278,448 96,622
Net Decrease in Short-Term Investments 22,084 23,362
Finance Receivables Originated or Acquired (251,667) (220,595)
Principal Payments Received on Finance Receivables 175,166 161,616
Other (46,709) (34,652)
------------ -----------
Net Cash Used in Investing Activities (817,103) (733,977)
------------ -----------
FINANCING ACTIVITIES:
Funds Received Under Deposit Contracts 772,396 731,442
Return of Funds Held Under Deposit Contracts (528,136) (482,157)
Proceeds from Notes and Mortgage Borrowings 199,001 38,174
Repayment of Notes and Mortgage Borrowings (219,896) (119,395)
Net Proceeds from Short-Term Borrowings 127,617 119,163
Common Stock Reaquired (6,312) (2,325)
Dividends Paid to Stockholders (95,095) (87,520)
Other 3,684 1,483
------------ -----------
Net Cash Provided by Financing Activities 253,259 198,865
------------ -----------
Net Decrease in Cash (8,164) (20,486)
Cash at Beginning of Period 63,504 67,833
------------ -----------
Cash at End of Period $ 55,340 $ 47,347
============ ===========
(continued)
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SAFECO CORPORATION AND SUBSIDIARIES
STATEMENT OF CONSOLIDATED CASH FLOWS
(In Thousands) (continued)
- - - ------------------------------------------------------------------------------------------------------------
Nine Months Ended
September 30
--------------------------------
1995 1994
-------- --------
Net Income $282,766 $218,587
Adjustments to Reconcile Net Income to Net Cash
Provided by Operating Activities:
Realized Investment Gain (43,238) (24,983)
Depreciation and Amortization 37,772 28,993
Amortization of Fixed Maturity Investments (26,388) (16,270)
Deferred Income Tax Expense (Benefit) 1,008 (14,872)
Interest Expense on Deposit Contracts 326,083 293,490
Other Adjustments 6,431 8,789
Changes in:
Losses and Adjustment Expense Liabilities (47,943) 140,082
Unearned Premiums 63,989 70,058
Life Policy Liabilities 3,105 4,305
Accrued Income Taxes 13,088 (19,307)
Accrued Interest on Accrual Bonds (25,163) (32,275)
Accrued Investment Income (642) (9,690)
Deferred Policy Acquisition Costs (16,985) (18,360)
Other Assets and Liabilities (18,203) (113,921)
-------- --------
Total Adjustments 272,914 296,039
-------- --------
Net Cash Provided by Operating Activities $555,680 $514,626
======== ========
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SAFECO CORPORATION
MANAGEMENT'S DISCUSSION AND ANALYSIS
- - - --------------------------------------------------------------------------------
SAFECO Corporation
Our net income for the first nine months of 1995 was $282.8 million or $4.49 per
share, compared with $3.47 per share for 1994. If we exclude realized gain from
investments, our income was $4.05 per share, compared with $3.21 per share in
1994.
The following summarized financial information sets forth the contributions of
each business segment to our consolidated income.
NINE MONTHS ENDED THREE MONTHS ENDED
SEPTEMBER 30 SEPTEMBER 30
---------------------------------------------------------
1995 1994 1995 1994
(IN THOUSANDS EXCEPT PER SHARE AMOUNTS)
- - - -------------------------------------------------------------------------------------------------------------------
Income (Loss) before Realized Gain
and Income Taxes:
Property and Casualty Insurance:
Underwriting Gain (Loss) $ (6,762) $ (73,657) $ 23,676 $(29,075)
Net Investment Income 218,320 211,070 72,786 70,891
--------- --------- --------- --------
Total Property and Casualty 211,558 137,413 96,462 41,816
Life and Health Insurance 98,708 95,619 31,970 35,841
Real Estate 5,907 7,724 2,152 2,531
Credit 8,976 7,440 3,512 2,961
Asset Management 4,951 4,694 1,744 1,586
Corporate (11,513) (10,469) (5,346) (3,198)
--------- --------- --------- --------
Total 318,587 242,421 130,494 81,537
--------- --------- --------- --------
Realized Gain (Loss), before Tax, from:
Security Investments 42,477 25,034 22,228 4,242
Real Estate Investments 761 (51) 284 -
--------- --------- --------- --------
Total 43,238 24,983 22,512 4,242
--------- --------- --------- --------
Income before Income Taxes 361,825 267,404 153,006 85,779
--------- --------- --------- --------
Provision for Income Taxes on:
Income before Realized Gain 63,729 40,434 29,658 11,854
Realized Gain 15,330 8,383 8,491 1,413
--------- --------- --------- --------
Total 79,059 48,817 38,149 13,267
--------- --------- --------- --------
Net Income $ 282,766 $ 218,587 $ 114,857 $ 72,512
========= ========= ========= ========
Net Income Per Share of Common Stock $ 4.49 $ 3.47 $ 1.82 $ 1.15
========= ========= ========= ========
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SAFECO CORPORATION
MANAGEMENT'S DISCUSSION AND ANALYSIS (Continued)
- - - --------------------------------------------------------------------------------
Property and Casualty Insurance
Property and casualty operations for the first nine months of 1995 produced
pretax income of $211.6 million before realized gain from investments, compared
with $137.4 million for the first nine months of last year. The loss from
underwriting was $6.8 million for the first nine months, compared with $73.7
million a year ago. The third quarter produced an underwriting profit of $23.7
million. This compares favorably with a profit of $6.9 million last quarter and
a loss of $29.1 million for the third quarter last year. During the quarter, the
estimated cost of claims from the January 1994 Los Angeles earthquake was
increased by $17 million to bring our estimate of total gross losses from the
event to $267 million. For the first nine months of 1995, catastrophe losses
totaled $111 million, including $42 million from the first and third quarter
increases in the estimated cost of the Los Angeles earthquake. For the first
nine months of 1994, the charge to earnings from catastrophe losses was $145
million, including $113 million, after reinsurance, for the Los Angeles
earthquake. The combined loss and expense ratio was 100.4 for the first nine
months, compared with 104.9 last year. Investment income was $218.3 million, up
3% from a year ago. Cash flow from operations is positive but declining interest
rates are slowing the growth of investment income.
Personal auto, our largest line, produced an underwriting profit of $66.4
million for the first nine months, compared with $47.2 million for the first
nine months last year. The profit for the third quarter was $37.3 million. Loss
costs are up less than 5% over a year ago.
Homeowners produced an underwriting loss of $38.7 million for the first nine
months, compared with a loss of $27.5 million for the first nine months of 1994.
Catastrophe losses continue to impact results for this line. For the first nine
months, losses from catastrophes were $46 million, compared with $30 million a
year ago. We continue to pursue additional premium for this coverage through a
combination of increased rates and proper insurance to value.
Other personal lines, which provide coverage for earthquake, dwelling fire,
inland marine and boats, produced an underwriting loss of $32.6 million,
compared with a loss of $85.6 million for the first nine months last year.
Results for both years reflect our experience with losses from the Los Angeles
earthquake.
Commercial lines continues to produce results that compare favorably with the
industry. For the first nine months, commercial lines produced an underwriting
loss of $17.7 million, operating at a combined ratio of 104.3. A year ago, the
loss was $17.6 million and the combined ratio was 104.4. These strong results
reflect our target marketing initiatives, a focus on efficient operations and
our ability to deliver value-added service to customers. In addition, we
continue to maintain rate adequacy in the face of stiff price competition.
The surety line continues to experience excellent results for both contract and
commercial bond business. The profit for this line was $16.9 million for the
first nine months, compared with a profit of $11.2 million for the first nine
months last year. Premiums written for the first nine months increased 10% over
a year ago, primarily due to increases in both the number and size of contract
bonds written.
Including surety, total premiums written for the first nine months increased 4%
over a year ago with personal lines up 5%, and commercial lines down less than
1%.
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SAFECO CORPORATION
MANAGEMENT'S DISCUSSION AND ANALYSIS (Continued)
- - - --------------------------------------------------------------------------------
Life and Health Insurance
Life and health operations produced a pretax profit, before realized gain from
investments, of $98.7 million for the first nine months of 1995, compared with
$95.6 million for the same period last year. The third quarter profit was $32.0
million. This compares with $35.8 million, which was a record quarter, posted
for the same period last year.
The annuity and pension lines combined first nine months' earnings were $43.4
million. This is an increase over the $35.1 million reported for the first nine
months of 1994. Increased investment income during these reporting periods and a
focus on expense management continue to benefit these lines. Group insurance
earnings declined to $7.8 million for the first nine months, compared with $15.8
million for the same period last year. This reduction in earnings continues to
reflect increased competition.
Real Estate
SAFECO Properties' pretax income was $5.9 million for the first nine months of
1995, compared with $7.7 million for 1994. Our commercial and medical real
estate operations continue to perform well. In the Statement of Consolidated
Income and Retained Earnings, the decrease in Real Estate Revenues and Other
Expenses is due primarily to a lower level of sales of properties held for sale
in 1995 compared with 1994.
Construction on our 1.4 million square-foot, mixed-use development in Redmond,
Washington began in July 1995 and is progressing as planned. Additionally, our
extensive expansion and remodel of our Washington Square Shopping Center
property in Portland, Oregon was completed this summer and is near full
occupancy.
Credit
SAFECO Credit Company produced a pretax profit of $9.0 million in the first nine
months of 1995, compared with $7.4 million in the same period of 1994. Income in
the third quarter was $3.5 million, compared with $3.0 million in the third
quarter of 1994. New commercial loan and lease fundings in 1995 were 9% greater
than in the first nine months of 1994. Non-affiliate receivables and operating
leases reached $733 million at September 30, 1995, an annualized 14% increase
from December 1994. Delinquency experience continued at very low levels with
accounts past due 30 days or more totaling less than 1% at September 30, 1995.
SAFECO Credit summarized financial information is as follows (in thousands):
September 30 December 31
1995 1994
------------ -----------
Finance Receivables $682,025 $619,059
Other Assets 112,736 138,107
-------- --------
Total Assets $794,761 $757,166
======== ========
Credit Company Borrowings $611,300 $510,600
Other Liabilities 89,258 156,973
-------- --------
Total Liabilities $700,558 $667,573
======== ========
Nine Months Ended September 30
------------------------------
1995 1994
------- -------
Revenues $52,466 $41,825
Expenses 43,490 34,385
------- -------
Income before Income Taxes 8,976 7,440
Provision for Federal Income Taxes 2,985 2,272
------- -------
Net Income $ 5,991 $ 5,168
======= =======
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SAFECO CORPORATION
MANAGEMENT'S DISCUSSION AND ANALYSIS (Continued)
- - - --------------------------------------------------------------------------------
Asset Management
The pretax income from our investment management operations for the first nine
months of 1995 was $5.0 million, compared with $4.7 million last year. Assets
under management have grown to $2.9 billion, an increase of 16% over September
30, 1994.
Investment Portfolios
The market value of our consolidated bond portfolio was $884 million in excess
of amortized cost at September 30, 1995. This compares with market value being
in excess of amortized cost by $826 million at June 30, 1995 and market value
being below amortized cost by $204 million at December 31, 1994. These higher
market values reflect the strength in the bond market during 1995 as a result of
declining interest rates.
The market value of our equity securities was $486 million in excess of cost at
September 30, 1995.
Debt Issue
On March 29, 1995, we issued $200 million of 7-7/8% notes, due April 1, 2005.
The proceeds of this issue were invested in short-term treasury securities and
were subsequently used to redeem our existing 10-3/4% notes on September 15,
1995.
Subsequent Event -- Hurricane Opal
Hurricane Opal struck the southeastern portion of the United States on October
4, 1995. SAFECO's losses are expected to approximate $10 million. The losses
will be recorded in the fourth quarter.
Stock Split
SAFECO Corporation declared a 2-for-1 stock split on November 1, 1995. The stock
split will be paid on December 1, 1995, to shareholders of record on November
13, 1995.
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SAFECO CORPORATION
MANAGEMENT'S DISCUSSION AND ANALYSIS (Continued)
- - - --------------------------------------------------------------------------------
Other -- Footnotes
The following additional footnote disclosures relate to new accounting
standards.
Summary of Significant Accounting Policies - New Accounting
Standards
In March of 1995, the Financial Accounting Standards Board (FASB)
issued Statement 121, "Accounting for the Impairment of Long-Lived
Assets and for Long-Lived Assets to Be Disposed Of." Statement 121
requires that under specified circumstances certain assets be
reviewed for impairment. If an impairment is indicated the asset
shall be written down to fair value. Statement 121 is effective for
financial statements for fiscal years beginning after December 15,
1995 and SAFECO will adopt it in the first quarter of 1996. Although
the impact of the Statement is currently being studied, it is not
expected to have a material effect on SAFECO's financial position or
results of operations.
Investments
In May of 1993, the FASB issued Statement 114, "Accounting by
Creditors for Impairment of a Loan," which provides guidance on
valuing impaired loans (FAS 114). The FASB also issued Statement
118, "Accounting by Creditors for Impairment of a Loan -- Income
Recognition and Disclosures" (FAS 118), in October of 1994, which
amends Statement 114. Both statements are effective for 1995 and
were adopted by SAFECO on January 1, 1995. Adoption did not affect
net income.
The following table summarizes SAFECO's consolidated allowance for
credit losses for the first nine months of 1995 (in thousands):
Allowance as of December 31, 1994 $ 24,557
Provision for Credit Losses 3,200
Recoveries 512
Loans Charged Off as Uncollectible (605)
--------
Allowance as of September 30, 1995 $ 27,664
========
This allowance relates to SAFECO Credit's Finance Receivables ($682
million at September 30, 1995) and to Mortgage Loan investments
($415 million at September 30, 1995) nearly all of which are held by
SAFECO's life and health company. The allowance includes amounts
determined under FAS 114 and FAS 118 (specific reserves), as well as
general reserve amounts. The total investment in impaired loans, as
defined under FAS 114 and 118 and before any reserve for losses, is
$10.1 million at September 30, 1995. A specific loan loss reserve
has been established for each impaired loan, the total of which is
$3.7 million at September 30, 1995 and is included in the overall
allowance of $27.7 million at September 30, 1995.
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SAFECO CORPORATION
Part II - Other Information
Item 6. Exhibits and Reports on Form 8-K
(a) Exhibits
Exhibit 27 Financial Data Schedule.
(b) Reports on Form 8-K
No Form 8-Ks were filed, nor required to be filed for any event during
the quarter ended September 30, 1995.
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