Allstate Announces 2-for-1 Stock Split, Quarterly Dividend

The Allstate Corporation's board of directors has approved a 2 for 1 split of its common shares. The split, which will be effected by means of a stock dividend, will be payable on July 1, 1998 to shareholders of record at the close of business on May 29, 1998.

"The board's declaration of the stock split shows its continuing confidence in Allstate's strength and business strategies. We are pleased that the stock split will make our stock attractive to a broader spectrum of investors," says Jerry D. Choate, Allstate's chairman and CEO.

Upon completion of the split, the 450 million shares of Allstate common stock issued, including treasury shares, will increase to 900 million. The stock split will not change a shareholder's proportional interest in The Allstate Corporation.

Shareholders will be mailed written notification of their new account balances on July 1. The new shares will be issued electronically on July 1 in book-entry form, using the Direct Registration System and the statement-based accounting offered by Allstate's transfer agent, First Chicago Trust Company of New York. Certificates will be available on request.

Separately, the board also declared the regular quarterly dividend on a pre-split basis of 27 cents per share on the common stock of the company. The dividend is payable July 1, 1998 to shareholders of record at the close of business on May 29, 1998.