NORTHBROOK, Ill., June 30, 2015 /PRNewswire/ -- Twenty years ago today, The Allstate Corporation (NYSE: ALL) became fully independent, marking a pivotal moment in its evolution as a public company.
On June 30, 1995, Sears, Roebuck and Co. completed the spin-off of its one-time insurance subsidiary by divesting all its Allstate shares to Sears shareholders – just two years after offering 20 percent of its Allstate shares to investors in an initial public offering.
For Allstate – founded in 1931 – the spin-off heralded a period of growth and progress. The company expanded its relationship with customers, defined its shared purpose and persevered through severe weather and economic storms.
Since the spin-off, Allstate's total shareholder return of 610 percent has exceeded the 460 percent return of the S&P 500 stock index, as well as the 375 percent return of the S&P Property-Casualty Index. Over the past 20 years, Allstate has provided more than $36 billion in cash returns to common shareholders.
"Being public enabled us to build a stronger organization as we helped to protect millions of customers from life's uncertainties, recover from unexpected events and prepare for the future," said Thomas J. Wilson, chairman and chief executive officer. "We look forward to additional decades of making a difference in the communities we serve and being a Force for Good for our shareholders, employees, agency owners and other stakeholders."
Before the spinoff, Sears still had a controlling interest in Allstate and decisions were influenced by them, said Steven Shebik, chief financial officer. "Our Independence Day was 20 years ago," Shebik said. "It changed our attitudes in a powerful way. As a fully independent public company, we were able to take charge of our future and focus on growth by providing auto, home and life insurance to middle America."
The Allstate Corporation (NYSE: ALL) is the nation's largest publicly held personal lines insurer, protecting approximately 16 million households from life's uncertainties through auto, home, life and other insurance offered through its Allstate, Esurance, Encompass and Answer Financial brand names. Allstate is widely known through the slogan "You're In Good Hands With Allstate®." The Allstate brand's network of small businesses offers auto, home, life and retirement products and services to customers in the United States and Canada.
SOURCE The Allstate Corporation