Operator: Good day, everyone and welcome to The Chubb Corporation's First Quarter 2013 Earnings Conference Call. Today's call is being recorded. Before we begin, Chubb has asked me to make the following statements.
In order to help you understand Chubb, its industry and its results, members of Chubb's management team will include in today's presentation, forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995.
It is possible that actual results might differ materially from estimates and forecasts that Chubb's management team makes today. Additional information regarding factors that could cause such differences appears in Chubb's filings with the Securities and Exchange Commission.
In the prepared remarks and responses to questions during today's presentation Chubb's management may refer to financial measures that are not derived from generally accepted accounting principles or GAAP. Reconciliations of these non-GAAP financial measures to the most directly comparable GAAP measures and related information are provided in the press release and the financial supplement for the first quarter 2013, which are available on the Investors section of Chubb's website at www.chubb.com.
Please also note that no portion of this conference call may be reproduced or rebroadcast in any form without Chubb's prior written consent. Replays of this webcast will be available through May 24, 2013. Those listening after April 25, 2013, should please note that the information and forecasts provided in this recording will not necessarily be updated and it is possible that the information will no longer be current.
Now, I will turn the call over to Mr. Finnegan.
John D. Finnegan - Chairman, President and CEO: Thank you for joining us. As you can see from our earnings release, Chubb had a great first quarter. We recorded the highest operating income per share and the highest net income per share of any quarter in the Company's history.
The quarter was highlighted by strong underlying performance in each of our business units and relatively benign catastrophe losses. We were also very pleased that the positive rate momentum we have seen in recent quarters has continued.
Operating income per share was $2.14, a 26% increase over last year's first quarter. Annualized operating ROE was 16.3% for the first quarter of this year. The combined ratio for the quarter was 84.6% compared to 90.2% last year. Excluding the impact of cats, the combined ratio for the first quarter was 84% in 2013, a 5.4 point improvement over last year's first quarter.
Our overall growth and net loss estimates for storm Sandy remained unchanged although the CCI loss estimate declined slightly and the CPI loss estimate increased by a similar amount.
During the first quarter, we had net realized investment gains of $138 million before tax, but $0.34 per share after-tax. This brought our first quarter net income per share to $2.48, resulting in an annualized ROE of 16.5%.
GAAP book value per share at March 31, 2013 was $61.79, that's a 2% increase since year-end 2012 and an 8% increase this March 31 a year ago. Our capital position is excellent. During the first quarter, we increased our common stock dividend for the 31st consecutive year and we also continued our share repurchase program as Ricky will discuss later.