Travelers 2002 Annual Report Download - page 92

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24. QUARTERLY RESULTS OF OPERATIONS (UNAUDITED)
The following is an unaudited summary of our quarterly results for the last two years.
First Second Third Fourth
2002 Quarter Quarter Quarter Quarter
(In millions, except per share data)
Revenues $2,311 $ 2,308 $ 2,288 $ 2,011
Income (loss) from continuing operations $148 $ (218) $ 69 $ 250
Cumulative effect of accounting change, net of taxes (6) — — —
Discontinued operations (9) (5) (5) (6)
Net income (loss) $133 $ (223) $ 64 $ 244
Earnings per common share:
Basic:
Income (loss) from continuing operations $0.69 $ (1.07) $ 0.29 $ 1.09
Cumulative effect of accounting change, net of taxes (0.03) — — —
Discontinued operations (0.04) (0.02) (0.02) (0.03)
Net income $0.62 $ (1.09) $ 0.27 $ 1.06
Diluted:
Income (loss) from continuing operations $0.67 $ (1.07) $ 0.29 $ 1.05
Cumulative effect of accounting change, net of taxes (0.03) — — —
Discontinued operations (0.04) (0.02) (0.02) (0.03)
Net income (loss) $0.60 $ (1.09) $ 0.27 $ 1.02
First Second Third Fourth
2001 Quarter Quarter Quarter Quarter
(In millions, except per share data)
Revenues $2,156 $ 2,157 $ 2,225 $ 2,381
Income (loss) from continuing operations $209 $ 96 $ (595) $ (719)
Discontinued operations (7) 8 (64) (16)
Net income (loss) $202 $ 104 $ (659) $ (735)
Earnings per common share:
Basic:
Income (loss) from continuing operations $0.95 $ 0.43 $ (2.86) $ (3.49)
Discontinued operations (0.04) 0.04 (0.30) (0.08)
Net income (loss) $0.91 $ 0.47 $ (3.16) $ (3.57)
Diluted:
Income (loss) from continuing operations $0.90 $ 0.41 $ (2.86) $ (3.49)
Discontinued operations (0.03) 0.04 (0.30) (0.08)
Net income (loss) $0.87 $ 0.45 $ (3.16) $ (3.57)
Included in fourth quarter 2002 net income were $56 million of net after-tax realized gains, comprised of an after-tax gain of $132 million
related to the divestiture of certain of the company’s international operations, an after-tax loss of $54 million related to the transfer of our ongo-
ing reinsurance business to Platinum Underwriters Holdings, Ltd., and after-tax net realized investment losses of $22 million.Fourth quarter 2002
pretax underwriting losses of $12 million were comprised of profits of $59 million from ongoing business segments and losses of $71 million from
segments that are being exited. Ongoing underwriting results included $175 million of reserve strengthening in the Surety & Construction seg-
ment, and a benefit of $115 million due primarily to our change in the estimated amount of reinsurance recoverable related to the Western
MacArthur settlement.
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