NU Online News Service, Oct. 21, 2004, 10:40 a.m. EST
Allstate Corp. reports a sharp decline in net income for the 3nd quarter compared to last year.[@@]
Allstate, in Northbrook, Ill., reports a net income of $56 million in the quarter, a $635 million drop from $691 million in the same period last year. It attributed the drop mostly to property-casualty insurance losses due to the severe hurricane season.
Company revenues for the period were more than $8.4 billion, up from $8.1 billion a year earlier.
The company’s Allstate Financial division had $88 million in net income for the quarter on revenues of $1.3 billion, down from $119 million on $1.4 billion in the same period last year. The decline was largely due to realized capital losses in the period, the company says, as well as the elimination of most of its direct response distribution business.