Item 7.
Management’s Discussion and Analysis of Financial Condition and Results of Operations Results of Operations – CNA Financial – (Continued) CNA Specialty’s average rate decreased 2.0% for 2009 as compared to a decrease of 4.0% for 2008 for policies that renewed in each period.
Retention rates of 85.0% were achieved for those policies that were available for renewal in each period.
Net income improved $200 million in 2009 as compared with 2008.
This increase was due to improved net operating income and lower net realized investment losses.
See the Investments section of this MD&A for further discussion of net investment income and net realized investment results.
Net operating income improved $160 million in 2009 as compared with 2008, primarily due to higher net investment income and increased favorable net prior year development.
The combined ratio improved 3.0 points in 2009 as compared with 2008.
The loss ratio improved 4.8 points primarily due to increased favorable net prior year development.
The expense ratio increased 2.0 points in 2009 as compared with 2008, primarily due to higher underwriting expenses and the lower net earned premium base.
Underwriting expenses increased primarily due to higher employee-related costs.
Favorable net prior year development of $224 million was recorded in 2009 compared to $106 million in 2008.
Further information on CNA Specialty net prior year development for 2009 and 2008 is included in Note 9 of the Notes to Consolidated Financial Statements included under Item 8.
The following table summarizes the gross and net carried reserves for CNA Specialty:
## Table 0 ##
2008 Compared with 2007 Net written premiums for CNA Specialty decreased $47 million in 2008 as compared with 2007.
Premiums written in 2008 were unfavorably impacted by competitive market conditions resulting in decreased production, as compared with 2007, primarily in professional management and liability lines.
The unfavorable impact in premiums written was partially offset by decreased ceded premiums primarily due to decreased use of reinsurance.
Net earned premiums decreased $4 million as compared with the same period in 2007, consistent with the decrease in net written premiums.
CNA Specialty’s rate on average decreased 4.0% for 2008, as compared to a decrease of 5.0% for 2007 for policies that renewed in each period.
Retention rates of 85.0% and 83.0% were achieved for those policies that were up for renewal in each period.
Net income decreased $204 million in 2008 as compared with 2007.
This decrease was primarily attributable to higher net realized investment losses and lower net operating income.
See the Investments section of this MD&A for further discussion of net investment income and net realized investment results.
Net operating income decreased $95 million in 2008 as compared with 2007.
This decrease was primarily driven by significantly lower net investment income and decreased current accident year underwriting results.
These unfavorable results were partially offset by the impact of favorable net prior year development in 2008 as compared to unfavorable net prior year development in 2007.
Item 7.
Management’s Discussion and Analysis of Financial Condition and Results of Operations Results of Operations – CNA Financial – (Continued) impacted by loss experience in several lines of business, including workers’ compensation and renewable energy, as well as several significant property losses.
The expense ratio increased 4.0 points in 2009 as compared with 2008, primarily related to higher underwriting expenses, unfavorable changes in estimates for insurance-related assessments and the lower net earned premium base.
Underwriting expenses increased primarily due to higher employee-related costs.
In 2008, the amount due from policyholders related to losses under deductible policies within CNA Commercial was reduced by $90 million for insolvent insureds.
The reduction of this amount, which was reflected as unfavorable net prior year reserve development in 2008, had no effect on 2008 results of operations as CNA had previously recognized provisions in prior years.
These impacts were reported in Insurance claims and policyholders’ benefits in the 2008 Consolidated Statements of Income.
Favorable net prior year development of $168 million was recorded in 2009, compared to favorable net prior year development of $96 million in 2008.
Excluding the impact of the $90 million of unfavorable net prior year reserve development discussed above, which had no net impact on the 2008 results of operations, favorable net prior year development was $186 million.
Further information on CNA Commercial net prior year development for 2009 and 2008 is included in Note 9 of the Notes to Consolidated Financial Statements included under Item 8.
The following table summarizes the gross and net carried reserves for CNA Commercial:
## Table 1 ##
2008 Compared with 2007 Net written premiums for CNA Commercial decreased $237 million in 2008 as compared with 2007.
Premiums written in 2008 were unfavorably impacted by competitive market conditions resulting in decreased production, as compared with 2007, across most lines of business.
This unfavorable impact was partially offset by decreased ceded premiums.
Net earned premiums decreased $317 million in 2008 as compared with 2007, consistent with the decreased net written premiums.
CNA Commercial’s average rate decreased 4.0% for 2008, as compared to a decrease of 3.0% for 2007 for policies that renewed in each period.
Retention rates of 81.0% and 79.0% were achieved for those policies that were available for renewal in each period.
Net results decreased $567 million in 2008 as compared with 2007.
This decrease was attributable to decreased net operating income and higher net realized investment losses.
See the Investments section of this MD&A for further discussion of the net realized investment results and net investment income.
Net operating income decreased $358 million in 2008 as compared with 2007.
This decrease was primarily driven by significantly lower net investment income and higher catastrophe impacts.
The catastrophe impacts were $207 million after tax and noncontrolling interest in 2008, which included a $6 million after tax and noncontrolling interest catastrophe-related insurance assessment, as compared to catastrophe losses of $44 million after tax and noncontrolling interest in 2007.
Item 7.
Management’s Discussion and Analysis of Financial Condition and Results of Operations Liquidity and Capital Resources – Corporate and Other – (Continued) We continue to pursue conservative financial strategies while seeking opportunities for responsible growth.
These include the expansion of existing businesses, full or partial acquisitions and dispositions, and opportunities for efficiencies and economies of scale.
Off-Balance Sheet Arrangements At December 31, 2009 and 2008, we did not have any off-balance sheet arrangements.
Contractual Obligations Our contractual payment obligations are as follows:
## Table 2 ##
(a) Includes estimated future interest payments.
(b) Claim and claim adjustment expense reserves are not discounted and represent CNA's estimate of the amount and timing of the ultimate settlement and administration of gross claims based on its assessment of facts and circumstances known as of December 31, 2009.
See the Reserves - Estimates and Uncertainties section of this MD&A for further information.
Claim and claim adjustment expense reserves of $19 related to business which has been 100% ceded to unaffiliated parties in connection with the sale of the individual life business in 2004 are not included.
(c) Future policy benefits and policyholder funds reserves are not discounted and represent CNA's estimate of the ultimate amount and timing of the settlement of benefits based on its assessment of facts and circumstances known as of December 31, 2009.
Future policy benefit reserves of $777 and policyholder fund reserves of $39 related to business which has been 100% ceded to unaffiliated parties in connection with the sale of CNA's individual life business in 2004 are not included.
Additional information on future policy benefits and policyholder funds reserves is included in Note 1 of the Notes to Consolidated Financial Statements included under Item 8.
(d) Includes obligations of approximately $48 related to Boardwalk Pipeline's expansion and growth projects as further discussed in Item 7, Management's Discussion and Analysis of Financial Condition and Results of Operations.
(e) The commitments related to pipeline capacity agreements are associated with various pipeline capacity agreements on thirdparty pipelines that allow Boardwalk Pipeline's operating subsidiaries to transport gas to off-system markets on behalf of Boardwalk Pipeline's customers.
(f) Does not include expected contribution of approximately $87 to the Company’s pension and postretirement plans in 2010.
Further information on our commitments, contingencies and guarantees is provided in Notes 3, 5, 9, 12, 19 and 20 of the Notes to Consolidated Financial Statements included under Item 8.
INVESTMENTS Investment activities of non-insurance companies include investments in fixed income securities, equity securities including short sales, derivative instruments and short term investments, and are carried at fair value.
Securities that are considered part of our trading portfolio, short sales and certain derivative instruments are marked to market and reported as Net investment income in the Consolidated Statements of Income.
We enter into short sales and invest in certain derivative instruments that are used for asset and liability management activities, income enhancements to our portfolio management strategy and to benefit from anticipated future movements in the underlying markets.
If such movements do not occur as anticipated, then significant losses may occur.
Monitoring
Item 5.
Market for the Registrant’s Common Equity, Related Stockholder Matters and Issuer Purchases of Equity Securities The following graph compares annual total return of our Common Stock, the Standard & Poor’s 500 Composite Stock Index (“S&P 500 Index”) and our Peer Group (“Loews Peer Group”) for the five years ended December 31, 2009.
The graph assumes that the value of the investment in our Common Stock, the S&P 500 Index and the Loews Peer Group was $100 on December 31, 2004 and that all dividends were reinvested.
## Table 3 ##
(a) The Loews Peer Group consists of the following companies that are industry competitors of our principal operating subsidiaries: Ace Limited, W. R.  Berkley Corporation, Cabot Oil & Gas Corporation, The Chubb Corporation, Energy Transfer Partners L. P. , ENSCO International Incorporated, The Hartford Financial Services Group, Inc. , Kinder Morgan Energy Partners, L. P. , Noble Corporation, Range Resources Corporation, Spectra Energy Corporation (included from December 14, 2006 when it began trading), Transocean, Ltd.  and The Travelers Companies, Inc.  Dividend Information We have paid quarterly cash dividends on Loews common stock in each year since 1967.
Regular dividends of $0.0625 per share of Loews common stock were paid in each calendar quarter of 2009 and 2008.
We paid quarterly cash dividends on the former Carolina Group stock until the Separation.
Regular dividends of $0.455 per share of the former Carolina Group stock were paid in the firs t and second quarters of 2008.

<table><tr><td> December 31</td><td> 2009</td><td>2008</td></tr><tr><td colspan="3"> (In millions)</td></tr><tr><td>Gross Case Reserves</td><td>$2,208</td><td>$2,105</td></tr><tr><td>Gross IBNR Reserves</td><td>4,714</td><td>4,616</td></tr><tr><td>Total Gross Carried Claim and Claim Adjustment Expense Reserves</td><td>6,922</td><td>$6,721</td></tr><tr><td>Net Case Reserves</td><td>$1,781</td><td>$1,639</td></tr><tr><td>Net IBNR Reserves</td><td>4,085</td><td>3,896</td></tr><tr><td>Total Net Carried Claim and Claim Adjustment Expense Reserves</td><td>$5,866</td><td>$5,535</td></tr></table>
<table><tr><td> December 31</td><td> 2009</td><td>2008</td></tr><tr><td colspan="3"> (In millions)</td></tr><tr><td>Gross Case Reserves</td><td>$6,510</td><td>$6,772</td></tr><tr><td>Gross IBNR Reserves</td><td>6,495</td><td>6,837</td></tr><tr><td>Total Gross Carried Claim and Claim Adjustment Expense Reserves</td><td>$13,005</td><td>$13,609</td></tr><tr><td>Net Case Reserves</td><td>$5,269</td><td>$5,505</td></tr><tr><td>Net IBNR Reserves</td><td>5,580</td><td>5,673</td></tr><tr><td>Total Net Carried Claim and Claim Adjustment Expense Reserves</td><td>$10,849</td><td>$11,178</td></tr></table>
<table><tr><td></td><td colspan="5"> Payments Due by Period</td></tr><tr><td> December 31, 2009</td><td> Total</td><td> Less than 1 year</td><td> 1-3 years</td><td> 4-5 years</td><td> More than 5 years</td></tr><tr><td> (In millions)</td><td></td><td></td><td></td><td></td><td></td></tr><tr><td> Debt (a)</td><td>$13,668</td><td>$534</td><td>$4,199</td><td>$1,696</td><td>$7,239</td></tr><tr><td> Operating leases</td><td>282</td><td>67</td><td>115</td><td>62</td><td>38</td></tr><tr><td> Claim and claim expense reserves (b)</td><td>28,310</td><td>6,042</td><td>7,347</td><td>4,061</td><td>10,860</td></tr><tr><td> Future policy benefits reserves (c)</td><td>12,505</td><td>177</td><td>337</td><td>326</td><td>11,665</td></tr><tr><td> Policyholder funds reserves (c)</td><td>155</td><td>19</td><td>9</td><td>7</td><td>120</td></tr><tr><td> Purchase and other obligations (d)</td><td>88</td><td>70</td><td>13</td><td>5</td><td></td></tr><tr><td> Pipeline capacity agreements (e)</td><td>80</td><td>12</td><td>21</td><td>21</td><td>26</td></tr><tr><td> Total (f)</td><td>$55,088</td><td>$6,921</td><td>$12,041</td><td>$6,178</td><td>$29,948</td></tr></table>
<table><tr><td></td><td>2004</td><td>2005</td><td>2006</td><td>2007</td><td>2008</td><td>2009</td></tr><tr><td>Loews Common Stock</td><td>100.00</td><td>135.92</td><td>179.47</td><td>219.01</td><td>123.70</td><td>160.62</td></tr><tr><td>S&P 500 Index</td><td>100.00</td><td>104.91</td><td>121.48</td><td>128.16</td><td>80.74</td><td>102.11</td></tr><tr><td>Loews Peer Group (a)</td><td>100.00</td><td>133.59</td><td>152.24</td><td>174.46</td><td>106.30</td><td>136.35</td></tr></table>

Question: what is the return on investment for s&p500 from 2007 to 2008?
Answer: -0.37001