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Tuesday, October 26, 2004

Allmerica profits up

Allmerica Financial Corp.'s third-quarter earnings rose 55 percent, and the property and casualty operations reported ''solid" pretax segment earnings for the period despite being hurt by catastrophe losses primarily related to hurricanes in the Southeast. The Worcester insurance and financial services holding company said earnings were $17.7 million, or 33 cents a share, for the quarter, up from net income of $11.4 million, or 21 cents a share, a year earlier. Total segment income after taxes was $19.6 million, or 37 cents a share, nearly flat from $19.7 million, or 37 cents a share, in the third quarter of last year. During the quarter, the company incurred gross catastrophe losses of about $99 million, primarily related to hurricanes in the Southeast. After reinsurance, pretax catastrophe losses were about $62 million, compared to $17 million in the year-ago period.

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