Allstate (ALL)

Realized capital gains and losses, after-tax

        Realized capital gains and losses by security type for the years ended December 31 are as follows:

        Realized capital gains and losses by transaction type for the years ended December 31 are as follows:

(1)

Dispositions include sales, losses recognized in anticipation of dispositions and other transactions such as calls and prepayments. The Company recognized losses of $147 million, $112 million and $208 million in 2007, 2006 and 2005, respectively, due to changes in intent to hold impaired securities.

        Gross gains of $261 million, $272 million and $501 million and gross losses of $286 million, $314 million and $189 million were realized on sales of fixed income securities during 2007, 2006 and 2005, respectively.

163

Realized capital gains and losses, after-tax

        Realized capital gains and losses by security type for the years ended December 31 are as follows:

156

        Realized capital gains and losses by transaction type for the years ended December 31 are as follows:

(1)

Dispositions include sales, losses recognized in anticipation of dispositions and other transactions such as calls and prepayments. The Company recognized losses of $112 million and $208 million in 2006 and 2005, respectively, due to changes in intent to hold impaired securities. There were no losses recognized due to change in intent during 2004.

        Gross gains of $275 million, $506 million and $454 million and gross losses of $317 million, $192 million and $224 million were realized on sales of fixed income securities during 2006, 2005 and 2004, respectively.

Realized capital gains and losses, after-tax

        Realized capital gains and losses by security type for the years ended December 31 are as follows:

144

        Realized capital gains and losses by transaction type for the years ended December 31 are as follows:

(1)

Dispositions include sales, losses recognized in anticipation of dispositions and other transactions such as calls and prepayments. The Company may sell securities during the period in which fair value has declined below amortized cost for fixed income securities or cost for equity securities. In certain situations new factors such as negative developments, subsequent credit deterioration, relative value opportunities, market liquidity concerns and portfolio reallocations can subsequently change our previous intent to continue holding a security. The Company recognized losses of $208 million due to a change in intent to hold certain securities during 2005.

        Gross gains of $506 million, $454 million and $394 million and gross losses of $192 million, $224 million and $264 million were realized on sales of fixed income securities during 2005, 2004 and 2003, respectively.