Spreadsheet: 07296c68-386c-439e-ae6d-c17a93d8cce3
Sheet: 43

THE ALLSTATE CORPORATION
ALLSTATE FINANCIAL SUPPLEMENTAL PRODUCT INFORMATION
($ in millions)
 |  |  |  |  | As of December 31, 2012 |  |  |  | Twelve months ended December 31, 2012 |  |  |  | Twelve months ended
 |  |  |  |  |  |  |  |  |  |  |  |  | Dec. |  | Sept. |  | June |  | March |  | Dec.
 |  |  |  |  |  |  | Attributed equity |  |  |  |  |  | 2012 |  | 2012 |  | 2012 |  | 2012 |  | 2011
 |  |  |  |  | Reserves and |  | excluding unrealized |  | Operating |  |  |  | Operating income return
 |  |  |  |  | Contractholder funds |  | capital gains/losses (3)(4) |  | income (5) |  |  |  | on attributed equity (%)
Underwritten products
 | Life insurance |  |  | $ | 14317 | $ | 2603 | $ | 224 |  |  |  | 9 | % | 9 | % | 10.8 | % | 11.3 | % | 11.2 | %
 | Accident and health insurance |  |  |  | 2013 |  | 644 |  | 80 |  |  |  | 12.7 |  | 16.6 |  | 16.3 |  | 15.9 |  | 16.2
 |  | Subtotal |  |  | 16330 |  | 3247 |  | 304 |  |  |  | 9.7 |  | 10.6 |  | 11.89 |  | 12.2 |  | 12.3
Annuities and institutional and bank products:
 | Deferred Annuities |  |  |  | 22542 |  | 1954 |  | 197 |  |  |  | 9.8 |  | 9.1 |  | 9.2 |  | 9.2 |  | 9.2
 | Immediate Annuities:
 |  | Sub-standard structured settlements and group
 |  | pension terminations (1) |  |  | 5171 |  | 1005 |  | -7 |  |  |  | -0.7 |  | -0.7 |  | -0.7 |  | -1 |  | -2.9
 |  | Standard structured settlements and SPIA (2) |  |  | 8304 |  | 504 |  | 39 |  |  |  | 9 |  | 5.3 |  | 5.3 |  | 5.7 |  | -0.3
 |  | Subtotal |  |  | 13475 |  | 1509 |  | 32 |  |  |  | 2.4 |  | 1.1 |  | 1.1 |  | 0.9 |  | -2.2
 | Institutional products |  |  |  | 1867 |  | 58 |  | -4
 |  | Subtotal |  |  | 37884 |  | 3521 |  | 225 |  |  |  | 6.5 |  | 5.7 |  | 5.9 |  | 5.9 |  | 4.9
Total Allstate Financial |  |  |  | $ | 54214 | $ | 6768 | $ | 529 |  |  |  | 8 |  | 8 |  | 8.7 |  | 8.8 |  | 8.3
 |  |  |  |  | Twelve months ended December 31, 2012
 |  |  |  |  | Life |  | Accident and |  | Annuities and |  | Allstate
 |  |  |  |  | insurance |  | health insurance |  | institutional products |  | Financial
Operating income |  |  |  | $ | 224 | $ | 80 | $ | 225 | $ | 529
 | Realized capital gains and losses, after-tax |  |  |  | 6 |  | 1 |  | -15 |  | -8
 | Valuation changes on embedded derivatives that are not
 | hedged, after-tax |  |  |  | 0 |  | 0 |  | 82 |  | 82
 | DAC and DSI (amortization) accretion relating to
 | realized capital gains and losses and valuation changes
 | on embedded derivatives that are not hedged, after-tax |  |  |  | -11 |  | 0 |  | -31 |  | -42
 | DAC and DSI unlocking relating to realized capital gains
 | and losses, after-tax |  |  |  | 4 |  | 0 |  | 0 |  | 4
 | Reclassification of periodic settlements and accruals on
 | non-hedge derivative instruments, after-tax |  |  |  | 1 |  | 0 |  | -37 |  | -36
 | Gain on disposition of operations, after-tax |  |  |  | 2 |  | 0 |  | 10 |  | 12
Net income |  |  |  | $ | 226 | $ | 81 | $ | 234 | $ | 541
(1) | Structured settlement annuities for annuitants with severe injuries or other health impairments which significantly reduced their life expectancy at the time the annuity was issued and group annuity contracts issued to sponsors of terminated pension plans.
(2) | Life-contingent structured settlement annuities for annuitants with standard life expectancy, period certain structured settlements and single premium immediate annuities with and without life contingencies.
(3) | Total Allstate Financial attributed equity is the sum of equity for Allstate Life Insurance Company, the applicable equity for American Heritage Life Investment Corporation, and the equity for Allstate Bank. Allstate Bank's equity is zero beginning March 31, 2012.
(4) | Attributed equity is allocated to each product line based on statutory capital adjusted for GAAP reporting differences and the amount of capital held in Allstate Financial may vary from economic capital. The calculation of statutory capital by product incorporates internal factors for invested asset risk, insurance risk (mortality and morbidity), interest rate risk and business risk.  Due to the unavailability of final statutory financial statements at the time we release our GAAP financial results, the allocation is derived from average statutory capital over the prior four quarters.  Statutory capital is adjusted for appropriate GAAP accounting differences.  Changes in internal capital factors, investment portfolio mix and risk as well as changes in GAAP and statutory reporting differences will result in changes to the allocation of attributed equity to products.
(5) | Product line operating income includes allocation of income on investments supporting capital. Operating income reflects a trailing twelve-month period.