<DOCUMENT>
<TYPE>EX-99.1
<SEQUENCE>3
<FILENAME>e16802ex99_1.txt
<DESCRIPTION>PRESS RELEASE
<TEXT>

                                                                    Exhibit 99.1

         Cincinnati Financial Corporation Reports Record Fourth-Quarter
                          and Full-Year 2003 Results@<

     * Fourth-quarter net income reached $130 million, or 80 cents per share,
       compared with $56 million, or 35 cents

     * 2003 net income reached $374 million, or $2.31 per share, compared with
       $238 million, or $1.46

     * 2003 results included $38 million fourth-quarter pretax release of Ohio
       UM/UIM reserves and $23 million third-quarter pretax recovery from
       negotiated settlement

     * Property casualty full-year underwriting profit rose to record
       $140 million

     * Book value per share gained 11.7% to record high of $38.69


    CINCINNATI, Feb. 4 /PRNewswire-FirstCall/ -- Cincinnati Financial
Corporation (Nasdaq: CINF) today reported full-year 2003 net income of
$374 million, or $2.31 per diluted share, up 57.0 percent from $238 million,
or $1.46 per share, in 2002. Net income per share included net realized
investment losses of 17 cents in 2003 versus losses of 38 cents in 2002.
Reflecting the Ohio Supreme Court's November 2003 decision to limit its
earlier Scott-Pontzer ruling, pretax results included the fourth-quarter 2003
release of $38 million in uninsured motorist/underinsured motorist (UM/UIM)
reserves. Further, as the result of a settlement negotiated with a vendor,
full-year pretax results also included the third-quarter recovery of
$23 million of the $39 million one-time, pretax charge incurred in 2000 to
write off previously capitalized software development costs.

    Revenues from pretax investment income, the primary source of profits,
rose 4.7 percent to $465 million for the year. Total revenues advanced
$338 million, or 11.9 percent, to $3.181 billion.



    Financial Highlights*

    (Dollars in millions,      Fourth Quarter Ended     Twelve Months Ended
     except share data)           December 31,              December 31,
                                2003         2002         2003         2002

    Income Statement Data
      Net income               $ 130         $ 56        $ 374        $ 238
      Negotiated settlement
       - software cost recovery   --           --           15           --
      Net income
       before recovery*        $ 130         $ 56        $ 359        $ 238
      Net realized investment
       gains and losses            2          (40)         (27)         (62)
      Operating income
       before recovery*        $ 128         $ 96        $ 386        $ 300
    Per Share Data (diluted)
      Net income              $ 0.80       $ 0.35       $ 2.31       $ 1.46
      Negotiated settlement
       - software cost recovery   --           --         0.09           --
      Net income
       before recovery*       $ 0.80       $ 0.35       $ 2.22       $ 1.46
      Net realized investment
       gains and losses         0.01        (0.24)       (0.17)       (0.38)
      Operating income
       before recovery*       $ 0.79       $ 0.59       $ 2.39       $ 1.84
      Cash dividend declared    0.25       0.2225         1.00         0.89
      Book value                  --           --        38.69        34.65
      Average shares
       outstanding       162,215,733  162,500,454  161,716,324  163,193,184

    * The Definitions of Non-GAAP Information and Reconciliation to Comparable
      GAAP Measures on Page 10 of this news release defines and reconciles
      measures presented in this release that are not based on Generally
      Accepted Accounting Principles (non-GAAP).


    Chairman and Chief Executive Officer John J. Schiff, Jr., CPCU, commented,
"By any measure, 2003 was an excellent year for our company as we essentially
achieved or exceeded the targets we set for the year. Full-year 2003 revenue
and income reached record levels. The healthier equity markets and our strong
insurance results led to record assets, equity and book value. Our
94.7 percent combined ratio was the best it has been in more than 10 years.
Bottom line, we are reaping the rewards of our initiatives to provide a stable
market for our agencies' best business.

    "As a result, full-year operating income before the recovery gained
28.7 percent to $2.39 per share, including a benefit of 15 cents from the
released UM/UIM reserves. This compared with operating income of $1.84 in
2002. These results confirm our conviction that our strategy is working,"
Schiff said.

    After higher-than-normal catastrophe losses in the first nine months of
2003, catastrophe losses in the fourth quarter were in line with the company's
expectations. For the full year, catastrophe losses totaled $97 million,
contributing 3.6 percentage points to the combined ratio and reducing
after-tax earnings per share by 39 cents. In 2002, catastrophe losses totaled
$87 million, also contributing 3.6 percentage points to the combined ratio and
reducing after-tax earnings per share by 35 cents.


    UM/UIM Reserve Release Boosts Fourth-Quarter Results

    For the fourth quarter ended December 31, 2003, net income rose
130.4 percent to $130 million, or 80 cents per share. Operating income rose
33.1 percent to $128 million, or 79 cents per share.

    Total revenues advanced $117 million to $840 million, up 16.3 percent over
the fourth quarter of last year. Revenues from pretax investment income rose
4.2 percent to $118 million from $114 million in last year's fourth quarter.

    In the fourth quarter of 2003, the company released $38 million pretax in
previously established UM/UIM reserves following the Ohio Supreme Court's
limiting of its 1999 Scott-Pontzer v. Liberty Mutual decision. That action
added $25 million, or 15 cents per share, to after-tax net income. Up to
$37 million in additional case reserves may be released in coming quarters as
the company continues to review pending claims in light of the recent court
decision.

    As background, in 1999, the Ohio Supreme Court's decision in Scott-Pontzer
v. Liberty Mutual greatly increased insurer exposure on commercial auto
insurance policies. Additionally, the same court's 2000 decision in Linko v.
Indemnity effectively caused insurers to extend UM/UIM coverage, at the newly
increased level of exposure, to every auto insurance policy in Ohio at no
additional premium. The court rulings affected all auto insurers in the state.
In the November 2003 decision to limit the Scott-Pontzer decision, the court
ruled that an employer's commercial automobile insurance policy covers only
injured employees and only when the accident happens in the course and scope
of their employment.



    Property Casualty Insurance Operations

    (Dollars in millions - GAAP) Fourth Quarter Ended   Twelve Months Ended
                                    December 31,            December 31,
                                2003         2002         2003         2002

    Income Statement Data
     Earned premiums           $ 690        $ 642      $ 2,653      $ 2,393
     Loss and loss expenses
      excluding catastrophe
      losses                     408          423        1,700        1,658
     Catastrophe losses            7           21           97           87
     Underwriting expenses       200          166          716          641
       Underwriting profit      $ 75         $ 32        $ 140          $ 7
       Underwriting profit
        before recovery*        $ 75         $ 32        $ 117          $ 7
    Ratio Data
     Loss and loss expenses
      excluding catastrophe
      losses                    59.1%        65.8%       64.1%         69.3%
     Catastrophe losses          1.0          3.3         3.6           3.6
     Underwriting expenses      29.0         25.9        27.0          26.8
       Combined ratio           89.1%        95.0%       94.7%         99.7%
       Combined ratio
        before recovery*        89.1%        95.0%       95.5%         99.7%

    * Values that exclude the recovery are discussed in the attached
      Definitions of Non-GAAP Information and Reconciliation to Comparable
      GAAP Measures.


    Statutory net written premiums of the property casualty insurance
affiliates on an adjusted basis rose 14.2 percent to $698 million for the
fourth quarter compared with $612 million in last year's fourth quarter
(adjusted for the effect of a refinement adopted in 2002 of the company's
estimation process for matching written premiums to policy effective dates).
Full-year statutory net written premiums on an adjusted basis rose
11.8 percent to $2.789 billion from $2.496 billion.

    Fourth-quarter new business written directly by the company's agents was
$87 million, up 12.1 percent over last year, as growth in commercial lines new
business offset a decline in personal lines new business. Full-year new
business rose 3.4 percent to $328 million.

    The fourth-quarter 2003 combined ratio was 89.1 percent, including a
5.5 percentage-point benefit from the release of UM/UIM reserves. For the full
year, the combined ratio before the software recovery improved to
95.5 percent, including a 1.4 percentage-point benefit from the reserve
release, compared with a 99.7 percent full-year combined ratio for 2002.

    "Beyond the benefit of the release of the UM/UIM reserves, the improvement
in fourth-quarter and full-year loss results for the property casualty
operations reflected growth in premiums, in particular more adequate premiums
per policy, and the ongoing benefits of the commercial lines re-underwriting
program," Schiff said. "The improved loss and loss expense ratio more than
offset the anticipated rise in underwriting expenses primarily related to the
higher contingent commission expense we incurred in the second half of this
year.

    "We continue to rely on our agents as frontline underwriters who know the
businesses and individuals in their communities, and we continue to work with
agents and policyholders on managing risk. Our loss control services are
available in most areas for all of our agencies' commercial clients, not just
for the larger, potentially more complex risks. Our agent education programs
now include in-depth training focused on construction risks as well as classes
to enhance agents' skills in determining proper building valuation. These
types of programs work hand-in-hand with our underwriting effort to improve
results," Schiff said.

    "All of the technology initiatives we have under way are making great
strides, including WinCPP, our online system for commercial lines policy
quoting, and Diamond, our personal lines processing system." Schiff added, "A
highlight of the fourth quarter and the year was the rollout of our new claims
management system (CMS). Our property casualty companies consistently rank
high in independent industry surveys measuring customer satisfaction with
speed and fairness of claims service. CMS supports our continued commitment to
providing exemplary claims service with a personal touch. It lifts the
administrative burden from our field claims representatives, allowing them to
spend more time with people and less time with paper."



    Commercial Lines

    (Dollars in millions - GAAP) Fourth Quarter Ended   Twelve Months Ended
                                    December 31,            December 31,
                                2003         2002         2003         2002

    Income Statement Data
    Earned premiums            $ 498        $ 468      $ 1,908      $ 1,723
    Loss and loss expenses
     excluding catastrophe
     losses                      281          316        1,176        1,170
    Catastrophe losses            14            6           42           40
    Underwriting expenses        144          114          523          454
      Underwriting profit       $ 59         $ 32        $ 167         $ 59
      Underwriting profit
       before recovery*         $ 59         $ 32        $ 152         $ 59
    Ratio Data
    Loss and loss expenses
     excluding catastrophe
     losses                     56.5%       67.4%         61.6%        68.0%
    Catastrophe losses           2.9         1.3           2.2          2.3
    Underwriting expenses       29.1        24.5          27.4         26.3
    Combined ratio              88.5%       93.2%         91.2%        96.6%
    Combined ratio
     before recovery*           88.5%       93.2%         92.0%        96.6%

    * Values that exclude the recovery are discussed in the attached
      Definitions of Non-GAAP Information and Reconciliation to Comparable
      GAAP Measures.


    Statutory net written premiums for commercial lines of insurance on an
adjusted basis rose 14.7 percent to $507 million for the fourth quarter
compared with $443 million in last year's fourth quarter (adjusted for the
effect of a refinement adopted in 2002 of the company's estimation process for
matching written premiums to policy effective dates). Full-year commercial
lines statutory net written premiums on an adjusted basis rose 11.9 percent to
$2.009 billion from $1.796 billion.

    Fourth-quarter commercial lines new business written directly by the
company's agents increased 17.6 percent to $73 million. Full-year commercial
lines new business rose 6.8 percent to $268 million.

    The fourth-quarter 2003 commercial lines combined ratio was 88.5 percent,
including a 7.7 percentage-point benefit from the release of UM/UIM reserves.
For the full year, the combined ratio before the software recovery improved to
92.1 percent, including a 2.0 percentage-point benefit from the reserve
release, compared with a 96.6 percent full-year combined ratio for 2002.

    Schiff commented, "Even without taking into account the benefit of the
UM/UIM reserve release, for the full year we saw loss and loss expense ratio
improvement in the commercial multi-peril, commercial auto and other liability
business lines, with the workers' compensation line essentially even with
2002. The improvements bode well for 2004 and reflect the benefits of the
re-underwriting program of the past three years and growth in premiums.

    "While we may see some fluctuation in loss and loss expense ratios for
individual lines, our emphasis is on package business, and that means our
success is best measured on overall commercial lines results," Schiff said.
"The combined ratio for the full year marked our best commercial lines results
in many years. We believe market conditions will allow us to further improve
on that mark in 2004 while continuing to achieve satisfactory growth.

    "While there may be striking differences in market conditions from one
area to another, in most markets, disciplined underwriting remains the norm,
not the exception. There is more competition for high-quality accounts,
particularly from other regional carriers, but there seems to be little
inclination to aggressively price average accounts. The regional and national
carriers that are targeting small accounts continue to make their presence
known in that market segment," Schiff noted.

    "We are addressing these conditions with the same philosophy that has
guided us for more than 50 years," Schiff commented. "Our agencies' doors are
open to us, and we bring to the table both stability and a willingness to
evaluate each account individually. We will win our share of the business, and
we'll do it by focusing on relationships between our field associates and
agents as well as between those agents and policyholders in their communities.
We will continue to emphasize subdivided territories that enhance service,
package programs, high-quality claims service and industry-leading financial
strength. Our objectives remain steady growth and further improvements in
profitability."



    Personal Lines

    (Dollars in millions - GAAP) Fourth Quarter Ended   Twelve Months Ended
                                    December 31,            December 31,
                                 2003         2002         2003         2002

    Income Statement Data
     Earned premiums            $ 192        $ 174        $ 745        $ 670
     Loss and loss expenses
      excluding catastrophe
      losses                      127          107          524          487
     Catastrophe losses            (7)          15           55           47
     Underwriting expenses         56           52          193          187
       Underwriting profit (loss)$ 16         $ --        $ (27)       $ (51)
       Underwriting profit (loss)
        before recovery*         $ 16         $ --        $ (35)       $ (51)
    Ratio Data
     Loss and loss expenses
      excluding catastrophe
      losses                     65.8%        61.8%        70.3%        72.6%
     Catastrophe losses          (3.9)         8.6          7.3          7.1
     Underwriting expenses       28.8         29.9         26.0         27.9
       Combined ratio            90.7%       100.3%       103.6%       107.6%
       Combined ratio
        before recovery*         90.7%       100.3%       104.7%       107.6%

    * Values that exclude the recovery are discussed in the attached
      Definitions of Non-GAAP Information and Reconciliation to Comparable
      GAAP Measures.


    Statutory net written premiums for personal lines of insurance on an
adjusted basis rose 12.8 percent to $191 million for the fourth quarter
compared with $169 million in last year's fourth quarter (adjusted for the
effect of a refinement adopted in 2002 of the company's estimation process for
matching written premiums to policy effective dates). Full-year personal lines
statutory net written premiums on an adjusted basis rose 11.4 percent to
$780 million from $700 million.

    Fourth-quarter personal lines new business written directly by the
company's agents was $14 million compared with $16 million in last year's
fourth quarter. Full-year personal lines new business was $60 million compared
with $66 million in 2002.

    The fourth-quarter 2003 loss and loss expenses ratio excluding
catastrophes was 65.8 percent compared with 61.8 percent. Primarily because of
the change in catastrophe losses, the fourth-quarter 2003 combined ratio was
90.7 percent compared with 100.3 percent in last year's fourth quarter. For
the full year, the combined ratio before the software recovery improved to
104.7 percent compared with a 107.6 percent full-year combined ratio for 2002.
The release of the UM/UIM reserves had essentially no impact on the personal
lines fourth-quarter or full-year 2003 combined ratios.

    Schiff commented, "Across the board in personal lines, our premium growth
continues to be driven by higher premium rates. While we saw improvement in
the personal lines combined ratio for the full year, we have not yet reached
an overall performance level that we consider satisfactory.

    "We continue to address homeowner results with a number of actions
including re-underwriting programs with specific agencies, rate increases,
deductible changes and modifications in policy terms and conditions. For
example, 23 homeowner rate increases were effective in 2003 in 20 of the
25 states in which we write personal lines business. In 2004, another 16 rate
increases already are planned. For personal auto, we are continuing to receive
approval for low single-digit rate increases in 2004 that will build on the
slightly higher increases of 2003.

    "Coordinating with our agents to ensure quality underwriting and careful
risk selection, we achieved our second highest annual level of new business.
In addition, the new personal lines policy processing system will be deployed
in 2004 to three of our largest personal lines states - Michigan, Indiana and
Ohio. Our agencies in these states look forward to the advantages and
efficiencies of the Diamond system that have been reported by our Kansas
agencies since they began using it in 2002. We expect the deployment of
Diamond will help lead to increased levels of new business."

    Schiff noted, "While it will take time, we are committed to restoring
profitability in our homeowner line, maintaining our package approach and
achieving strong personal lines results."



    Life Insurance Operations

    (In millions)               Fourth Quarter Ended      Twelve Months Ended
                                    December 31,              December 31,
                                  2003         2002         2003         2002

    Earned premiums               $ 28         $ 24         $ 96         $ 87
    Investment income,
     net of expenses                22           22           89           86
    Other income                     1            0            2            0
      Total revenues excluding
       realized investment gains
       and losses                 $ 51         $ 46        $ 187        $ 173
    Policyholder benefits           26           23           91           83
    Expenses                        17           14           53           53
      Total benefits and expenses $ 43         $ 37        $ 144        $ 136
      Income before income tax
       and realized investment
       gains and losses            $ 8          $ 9         $ 43         $ 37
    Federal tax                      3            3           14           12
      Income before realized
       investment gains and losses $ 5          $ 6         $ 29         $ 25


    The Cincinnati Life Insurance Company's fourth-quarter 2003 net earned
premiums advanced 14.7 percent over last year. Income before realized
investment gains and losses declined 14.7 percent to $5 million due to an
increase in policyholder benefits and in expenses related to the strong life
company premium growth. Net income for the fourth quarter including realized
net capital gains and losses rose 1.3 percent to $7 million.

    For the full year, net earned premiums rose 9.2 percent to $96 million.
Income before realized investment gains and losses rose 15.7 percent to
$29 million in 2003. Net income including realized net capital gains and
losses rose 25.8 percent to $22 million versus $17 million for the comparable
2002 period.

    Cincinnati Life President David H. Popplewell, FALU, LLIF, commented, "The
life company had an excellent year. An 18.5 percent increase in policy face
amounts in force to $38.491 billion reflected a positive response to our
products and services. In 2004, we will continue to maintain a competitive
advantage for our agents by expanding our portfolio to include enhancements of
our term life insurance products and a new long-term guaranteed universal life
insurance product."



    Investment Operations

    (In millions, pretax)        Fourth Quarter Ended      Twelve Months Ended
                                    December 31,              December 31,
                                  2003         2002         2003         2002

    Investment income,
     net of expenses             $ 118        $ 114        $ 465        $ 445
    Realized investment gains and losses:
      Valuation of embedded derivatives
       (SFAS No. 133)             $ --          $ 4          $ 9         $ (4)
      Other-than-temporary
       impairment charges           (3)         (60)         (80)         (98)
      Realized investment gains and
       losses on security sales      7           (4)          30            8
        Total realized investment
         gains and losses          $ 4        $ (60)       $ (41)       $ (94)


    Consolidated pretax investment income rose 4.2 percent for the fourth
quarter and 4.7 percent for the full year, largely due to dividend increases
announced during 2003 by companies in the equity portfolio. Last year, 29 of
the 51 equity holdings in the portfolio announced dividend increases that
totaled $16 million on an annualized basis. Total realized investment gains
were $4 million in the fourth quarter, as the market sustained its overall
recovery and fewer securities were impaired. Offsetting $3 million in
impairments in the fourth quarter were $7 million in net gains from the sale
of securities.

    Chief Investment Officer Kenneth S. Miller, CLU, ChFC, commented,
"Fourth-quarter and full-year growth for investment income reflected the
satisfactory returns our bond and equity portfolios are generating. The
contribution of dividends from our equity holdings was particularly
significant, setting the stage for continued growth in the 3.5 percent to
4.5 percent range in 2004."

    Miller added, "Strong cash flow led to substantial new investments during
2003. The $179 million used for new portfolio investments in the fourth
quarter brought the net year-to-date total to $607 million. We have increased
the quality of the bond portfolio, as rated by Standard & Poor's and Moody's,
with purchases of U.S. agency paper and high-quality municipal bonds totaling
$631 million in 2003. Another $199 million, including $66 million in the
fourth quarter, has been invested in common stocks in 2003, in line with our
historical allocation."



    Balance Sheet

    (Dollars in millions)        Fourth Quarter Ended      Twelve Months Ended
                                    December 31,              December 31,
                                  2003         2002         2003         2002

    Balance Sheet Data
     Total assets                   --           --     $ 15,509     $ 14,122
     Invested assets                --           --       12,527       11,265
     Shareholders' equity           --           --        6,204        5,598
    Ratio Data
     Return on equity, annualized  8.7%         4.1%         6.3%         4.1%
     Return on equity, annualized,
      based on comprehensive
      income                      32.3          8.5         13.8         (4.0)


    At December 31, 2003, total assets rose 9.8 percent to a record $15.509
billion, up $1.387 billion from year-end 2002. Shareholders' equity reached
$6.204 billion, up 10.8 percent or $606 million from year-end 2002.
Accumulated other comprehensive income totaled $4.084 billion, up $441 million
from year-end 2002. Book value rose 11.7 percent to $38.69 from $34.65 at
year-end 2002.

    During the fourth quarter, the company repurchased 142,900 shares of
Cincinnati Financial common stock at a total cost of $6 million or $40.41 per
share. For the full year, 1.5 million shares were repurchased at a total cost
of $55 million, or $36.36 per share. Approximately 5.3 million shares remain
authorized by the board of directors for repurchase.

    At year-end 2003, statutory policyholder surplus for the property casualty
insurance group was $2.780 billion, up 19.0 percent from year-end 2002. As a
result, the ratio of net written premiums to surplus improved further to
1.01-to-1 from an already excellent 1.12-to-1 a year ago.


    Outlook Positive for 2004

    Schiff commented, "The Cincinnati Insurance Companies are well positioned
to benefit from the flight to quality that is occurring in the insurance
marketplace. Cincinnati's superior financial strength ratings provide our
agencies and their policyholders with comfort that we will be able to meet our
obligations today and in the future.

    "The strong results of 2003 add to the company's foundation of strength
and stability. We bolster that foundation through continuous efforts to
strengthen our service, reward our shareholders and position our company to
comply with new governance regulations," Schiff said.

    "As we begin the year, we are targeting full-year 2004 written premium
growth in the high single digits. We believe our strategies will allow us to
achieve a full-year 2004 GAAP combined ratio in the range of 95 percent. The
target does not include the benefits we anticipate from additional UM/UIM
reserve releases, and it assumes the combined ratio will include approximately
3.0 to 3.5 percentage points for catastrophe losses. We also have confidence
in our ability to achieve investment income growth of 3.5 percent to 4.5
percent.

    "Consistency and stability define our company and reward our agents,
policyholders, associates and investors. In short, we are looking ahead to
another year of consistently strong results," Schiff concluded.


    For additional information or to register for this afternoon's conference
call, please visit www.cinfin.com .


    Cincinnati Financial Corporation offers property and casualty insurance,
its main business, through The Cincinnati Insurance Company, The Cincinnati
Indemnity Company and The Cincinnati Casualty Company. The Cincinnati Life
Insurance Company markets life and disability income insurance and annuities.
CFC Investment Company supports the insurance subsidiaries and their
independent agent representatives through commercial leasing and financing
activities. CinFin Capital Management Company provides asset management
services to institutions, corporations and individuals. For additional
information, please visit the company's Web site at www.cinfin.com.


    This is a "Safe Harbor" statement under the Private Securities Litigation
Reform Act of 1995. Certain forward-looking statements contained herein
involve potential risks and uncertainties. The company's future results could
differ materially from those discussed. Factors that could cause or contribute
to such differences include, but are not limited to:


     * unusually high levels of catastrophe losses due to changes in weather
       patterns or other causes
     * increased frequency and/or severity of claims
     * circumstances that cause agencies to bring the company fewer new
       policyholder accounts
     * environmental events or changes
     * insurance regulatory actions, legislation or court decisions that
       increase expenses or place the company at a disadvantage in the
       marketplace
     * adverse outcomes from litigation or administrative proceedings
     * recession or other economic conditions resulting in lower demand for
       insurance products
     * sustained decline in overall stock market values negatively affecting
       the company's equity portfolio, in particular a sustained decline in
       market value of Fifth Third Bancorp shares
     * events that lead to a significant decline in the market value of a
       particular security and impairment of the asset
     * delays in the development, implementation and benefits of technology
       enhancements
     * decreased ability to generate growth in investment income


    Further, the company's insurance businesses are subject to the effects of
changing social, economic and regulatory environments. Public and regulatory
initiatives have included efforts to adversely influence and restrict premium
rates, restrict the ability to cancel policies, impose underwriting standards
and expand overall regulation. The company also is subject to public and
regulatory initiatives that can affect the market value for its common stock,
such as recent measures impacting corporate financial reporting and
governance. The ultimate changes and eventual effects, if any, of these
initiatives are uncertain.



                       Cincinnati Financial Corporation
                         Consolidated Balance Sheets

    (Dollars in millions except share data)       Years Ended December 31,
                                                     2003          2002
                                                  (unaudited)
    Assets
     Investments
      Fixed maturities, at fair value
       (amortized cost: 2003-$3,521; 2002-$3,220)  $ 3,925      $ 3,305
      Equity securities, at fair value
       (cost: 2003-$2,445; 2002-$2,375)              8,524        7,884
      Other invested assets                             78           76
     Cash                                               91          112
     Investment income receivable                       99           98
     Finance receivable                                 39           33
     Premiums receivable                             1,060          956
     Reinsurance receivable                            617          590
     Prepaid reinsurance premiums                       13           47
     Deferred policy acquisition                       372          343
     Property and equipment, net, for company use
      (accumulated depreciation: 2003-$172; 2002-$155) 136          128
     Other assets                                       92          123
     Separate accounts                                 463          427
       Total assets                               $ 15,509     $ 14,122

    Liabilities
     Insurance reserves
      Losses and loss expense                      $ 3,415      $ 3,176
      Life policy reserves                           1,025          917
     Unearned premiums                               1,446        1,319
     Other liabilities                                 404          345
     Deferred income tax                             1,949        1,737
     Notes payable                                     183          183
     6.9% senior debenture due 2028                    420          420
     Separate accounts                                 463          427
      Total liabilities                              9,305        8,524

    Shareholders' equity
     Common stock, par value-$2 per share;
      authorized 200 million shares;
      issued: 2003-176 million shares,
      2002-176 million shares                          352          352
     Paid-in capital                                   306          300
     Retained earnings                               1,986        1,772
     Accumulated other comprehensive income
      -unrealized gains on investments
      and derivatives                                4,084        3,643
     Treasury stock at cost (2003-16 million shares,
      2002-14 million shares)                         (524)        (469)
       Total shareholders' equity                    6,204        5,598
       Total liabilities and shareholders' equity $ 15,509     $ 14,122


                       Cincinnati Financial Corporation
                      Consolidated Statements of Income

    (In millions except per share data)           Years Ended December 31,
                                                     2003          2002
                                                  (unaudited)

    Revenues
     Earned premiums
      Property casualty                            $ 2,653        $ 2,391
      Life                                              95             87
     Investment income, net of expenses                465            445
     Realized investment gains and losses              (41)           (94)
     Other income                                        9             14
      Total revenues                                 3,181          2,843

    Benefits and expenses
     Insurance losses and policyholder benefits      1,887          1,826
     Commissions                                       536            472
     Other operating expenses                          204            202
     Taxes, licenses and fees                           67             80
     Increase in deferred policy acquisition costs     (42)           (57)
     Interest expense                                   34             35
     Other expenses                                     15              6
      Total benefits and expenses                    2,701          2,564
    Income before income taxes                         480            279

    Provision (benefit) for income taxes
     Current                                           130             53
     Deferred                                          (24)           (12)
      Total provision (benefit) for income taxes       106             41

    Net income                                       $ 374          $ 238
    Per common share
     Net income - basic                             $ 2.33         $ 1.47
     Net income - diluted                           $ 2.31         $ 1.46

    Since 1996, Cincinnati Financial has disclosed the estimated impact of
    stock options on net income and earnings per share in a Note to the
    Financial Statements. During 2003, net income would have been reduced by
    approximately 6 cents per share if option expense, calculated using the
    Black-Scholes and modified prospective transition methodologies, was
    included as an expense.

                       Cincinnati Financial Corporation
                   Definitions of Non-GAAP Information and
                  Reconciliation to Comparable GAAP Measures


    Cincinnati Financial Corporation prepares its public financial statements
in conformity with accounting principles generally accepted in the United
States of America (GAAP). Statutory data is prepared in accordance with
statutory accounting rules as defined by the National Association of Insurance
Commissioners' (NAIC) Accounting Practices and Procedures Manual and therefore
is not reconciled to GAAP data.

    Management uses non-GAAP and non-statutory financial measures to evaluate
its primary business areas - property casualty insurance, life insurance and
investments - where analyzing only GAAP measures may hinder analysis of trends
in the underlying business, possibly leading to incorrect or misleading
assumptions and conclusions about the success or failure of company
strategies. Management adjustments to GAAP measures generally apply to
non-recurring events unrelated to business performance that distort short-term
results, values that fluctuate based on events outside of management's control
and accounting refinements that decrease comparability between periods,
creating a need to analyze data on the same basis.

    Operating income. Operating income (also described as net income before
realized investment gains and losses) is calculated by excluding from net
income net realized investment gains and losses. Management evaluates
operating income to measure the success of pricing, rate and underwriting
strategies. While realized capital gains (or losses) are integral to the
company's insurance operations over the long-term, the determination to
realize capital gains or losses in any quarter is subject to management's
discretion and is independent of the insurance underwriting process. Moreover,
under applicable GAAP accounting requirements, losses can be recognized from
certain changes in market values of securities without actual realization.
Management believes that the level of realized gains or losses for any
particular period, while it may be material, is not indicative of the
performance of ongoing underlying business operations in that period.
Analyzing only GAAP net income could lead to incorrect or misleading
assumptions and conclusions about the success or failure of the insurance
operations.

    For these reasons, many investors and shareholders consider operating
income to be one of the most meaningful measures for evaluating insurance
company performance. Equity analysts who report on the insurance industry and
the company generally focus on operating income in their analyses. The company
presents operating income so all investors have what management believes to be
a useful supplement to GAAP information.

    Catastrophe losses: Due to the nature of catastrophic events, the
frequency and cost of catastrophe occurrences are unpredictable. Although
management anticipates an average level of catastrophe losses, to aid in
assessing the underlying performance of the business, management evaluates
trends in the company's overall performance and property casualty underwriting
profitability excluding the fluctuating impact of catastrophe losses.

    Statutory accounting rules: For public reporting, insurance companies
prepare financial statements in accordance with GAAP. However, certain data
also must be calculated according to statutory accounting rules as defined in
the NAIC's Accounting Practices and Procedures Manual, which may be, and has
been, modified by various state insurance departments. Statutory data is
publicly available and used by various organizations to calculate aggregate
industry data, study industry trends and make comparisons between various
insurance companies.

    Written premium: Under statutory accounting rules, written premium is the
amount recorded for policies issued and recognized on an annualized basis at
the effective date of the policy. Management analyzes trends in written
premium to assess business efforts. Earned premium, used in both statutory and
GAAP accounting, is calculated ratably over the policy term. The difference
between written and earned premium is unearned premium.

    Written premium adjustment - statutory-basis only: In 2002, the company
refined its estimation process for matching written premiums to policy
effective dates, which added $117 million to 2002 written premiums. To better
assess ongoing business trends, management excludes this adjustment when
evaluating trends in written premiums and statutory ratios that make use of
written premiums.

    Underwriting profit: Underwriting profit for property casualty insurance
represents premiums earned minus loss and loss expenses and insurance-related
underwriting expenses.

    Reserve reallocation: Management monitors claim activity on an ongoing
basis and appropriately modifies amounts added to loss reserves via incurred
but not yet reported (IBNR) reserve additions and loss expenses. Based on
prior-year loss development and changes in ultimate incurred loss ratios, the
company reallocates reserves between business lines and accident years to
reflect evolving trends. To better assess current-year performance, management
monitors accident-year business line loss and loss expenses data excluding
prior-year reserve reallocations.


    One-time charges or adjustments: Management analyzes results excluding the
impact of one-time items.

     * In 2003, as the result of a settlement negotiated with a vendor, pretax
       results included the recovery of $23 million of the $39 million
       one-time, pretax charge incurred in 2000.
     * In 2000, the company recorded a one-time charge of $39 million,
       pre-tax, to impair previously capitalized costs related to the
       development of software to process property casualty policies.
     * In 2000, the company earned $5 million in interest in the first quarter
       from a $303 million single-premium bank-owned life insurance (BOLI)
       policy booked at the end of 1999 that was segregated as a Separate
       Account effective April 1, 2000. Investment income and realized capital
       gains and losses from separate accounts generally accrue directly to
       the contract holder and, therefore, are not included in the company's
       consolidated financials.
     * In 1993, results included a credit related to the method of accounting
       for income taxes to conform with Statement of Accounting Financial
       Standards No. 109 and a charge related to the effect of 1993 increases
       in income tax rates on deferred taxes recorded for various prior-year
       items.


    Codification: Adoption of Codification of Statutory Accounting Principles
was required for Ohio-based insurance companies effective January 1, 2001. The
adoption of Codification changed the manner in which the company recognized
property casualty written premiums. As a result, 2001 statutory written
premiums included $402 million to account for unbooked premiums related to
policies with effective dates prior to January 1, 2001. To better assess
ongoing business trends, management excludes this $402 million when evaluating
written premiums and statutory ratios that make use of written premiums.

    Life insurance gross written premiums: In analyzing life insurance company
gross written premiums, management excludes three larger, single-pay life
insurance policies (BOLIs) to focus on the trend in premiums written through
the agency distribution channel.



              Cincinnati Financial Corporation and Subsidiaries
                     Quarterly Net Income Reconciliation

                                                   Quarters ended

    (In millions except               12/31/2003 9/30/2003 6/30/2003 3/31/2003
     per share data)

     Net income                          $ 130     $ 104     $ 84      $ 57
     One-time item                                    15
     Net income before one-time item     $ 130      $ 89     $ 84      $ 57
     Net realized investment
      gains and losses                       2        10        1       (40)
     Operating income
      before one-time item               $ 128      $ 79     $ 83      $ 97
     Catastrophe losses                     (4)      (27)     (30)       (2)
     Operating income before catastrophe
      losses and one-time item           $ 132     $ 106    $ 113      $ 99
    Diluted per share data
     Net income                         $ 0.80    $ 0.64   $ 0.52    $ 0.35
     One-time item                                  0.09
     Net income before one-time item    $ 0.80    $ 0.55   $ 0.52    $ 0.35
     Net realized investment
      gains and losses                    0.01      0.06     0.01     (0.25)
     Operating income
      before one-time item              $ 0.79    $ 0.49   $ 0.51    $ 0.60
     Catastrophe losses                  (0.03)    (0.17)   (0.19)    (0.01)
     Operating income before catastrophe
      losses and one-time item          $ 0.82    $ 0.66   $ 0.70    $ 0.61


    (In millions except               12/31/2002 9/30/2002 6/30/2002 3/31/2002
     per share data)

     Net income                          $ 56      $ 72      $ 35      $ 75
     One-time item
     Net income before one-time item     $ 56      $ 72      $ 35      $ 75
     Net realized investment
      gains and losses                    (40)      (11)       (6)       (5)
     Operating income
      before one-time item               $ 96      $ 83      $ 41      $ 80
     Catastrophe losses                   (14)       (3)      (31)       (9)
     Operating income before catastrophe
      losses and one-time item          $ 110      $ 86      $ 72      $ 89
    Diluted per share data
     Net income                        $ 0.35    $ 0.44    $ 0.21    $ 0.46
     One-time item
     Net income before one-time item   $ 0.35    $ 0.44    $ 0.21    $ 0.46
     Net realized investment
      gains and losses                  (0.24)    (0.07)    (0.04)    (0.03)
     Operating income
      before one-time item             $ 0.59    $ 0.51    $ 0.25    $ 0.49
     Catastrophe losses                 (0.08)    (0.02)    (0.19)    (0.06)
     Operating income before catastrophe
      losses and one-time item         $ 0.67    $ 0.53    $ 0.44    $ 0.55


                                Six months      Nine months     Twelve months
                                  ended           ended            ended
    (In millions except       6/30/   6/30/    9/30/   9/30/   12/31/   12/31/
     per share data)          2003    2002     2003    2002     2003     2002

     Net income              $ 141   $ 110    $ 245   $ 182    $ 374    $ 238
     One-time item                               15               15
     Net income before
      one-time item          $ 141   $ 110    $ 230   $ 182    $ 359    $ 238
     Net realized investment
      gains and losses         (39)    (12)     (29)    (22)     (27)     (62)
     Operating income before
      one-time item          $ 180   $ 122    $ 259   $ 204    $ 386    $ 300
     Catastrophe losses        (32)    (40)     (59)    (43)     (63)     (57)
     Operating income before
      catastrophe losses and
      one-time item          $ 212   $ 162    $ 318   $ 247    $ 449    $ 357
    Diluted per share data
     Net income             $ 0.87  $ 0.67   $ 1.51  $ 1.11   $ 2.31   $ 1.46
     One-time item                             0.09             0.09
     Net income before
      one-time item         $ 0.87  $ 0.67   $ 1.42  $ 1.11   $ 2.22   $ 1.46
     Net realized investment
      gains and losses       (0.24)  (0.07)   (0.18)  (0.14)   (0.17)   (0.38)
     Operating income before
      one-time item         $ 1.11  $ 0.74   $ 1.60  $ 1.25   $ 2.39   $ 1.84
     Catastrophe losses      (0.20)  (0.24)   (0.36)  (0.26)   (0.39)   (0.35)
     Operating income before
      catastrophe losses and
      one-time item         $ 1.31  $ 0.98   $ 1.96  $ 1.51   $ 2.78   $ 2.19

    Dollar amounts shown are rounded to millions; certain amounts may not add
     due to rounding. Ratios are calculated based on whole dollar amounts. The
     sum of quarterly amounts may not equal the full year as each is computed
     independently.


                          Cincinnati Insurance Group
               Quarterly Property Casualty Data - Consolidated

                                                  Quarters ended

    (Dollars in millions)            12/31/2003 9/30/2003 6/30/2003 3/31/2003

    Premiums
      Adjusted written
       premiums (statutory)             $ 698      $ 714     $ 707     $ 669
      Written premium adjustment --
       statutory only                     (19)         9        19        18
      Reported written premiums
       (statutory)*                     $ 679      $ 723     $ 726     $ 687
      Unearned premiums                    11        (45)      (72)      (56)
      Earned premiums                   $ 690      $ 678     $ 654     $ 631

    Statutory combined ratio
      Reported statutory
       combined ratio*                   89.8%      96.3%     98.4%     92.8%
      Written premium adjustment --
       statutory only                      NM         NM        NM        NM
      One-time item                         0        3.1         0         0
      Adjusted statutory
       combined ratio                    89.8%      99.4%     98.4%     92.8%
      Catastrophe losses                 (1.0)      (6.1)     (7.1)     (0.4)
      Adjusted statutory
       combined ratio
       excluding catastrophe
       losses                            88.8%      93.3%     91.3%     92.4%
      Reported commission
       expense ratio*                    18.8%      18.5%     17.0%     16.4%
      Written premium adjustment --
       statutory only                      NM         NM        NM        NM
      One-time item                         0          0         0         0
      Adjusted commission
       expense ratio                     18.8%      18.5%     17.0%     16.4%
      Reported other
       expense ratio*                    10.9%       6.5%      8.2%     10.0%
      Written premium adjustment --
       statutory only                      NM         NM        NM        NM
      One-time item                         0        3.1         0         0
      Adjusted other
       expense ratio                     10.9%       9.6%      8.2%     10.0%
      Reported statutory
       expense ratio*                    29.7%      25.0%     25.2%     26.4%
      Written premium adjustment --
       statutory only                      NM         NM        NM        NM
      One-time item                         0        3.1         0         0
      Adjusted statutory expense ratio   29.7%      28.1%     25.2%     26.4%
    GAAP Combined Ratio
      GAAP combined ratio                89.1%      96.6%     98.4%     95.1%
      One-time item                         0        3.4         0         0
      GAAP combined ratio before
       one-time item                     89.1%     100.0%     98.4%     95.1%


    (Dollars in millions)             12/31/2002 9/30/2002 6/30/2002 3/31/2002

    Premiums
      Adjusted written
       premiums (statutory)             $ 612      $ 637     $ 626     $ 621
      Written premium adjustment --
       statutory only                     117          0         0         0
      Reported written premiums
       (statutory)*                     $ 729      $ 637     $ 626     $ 621
      Unearned premiums                   (87)       (27)      (46)      (60)
      Earned premiums                   $ 642      $ 610     $ 580     $ 561

    Statutory combined ratio
      Reported statutory
       combined ratio*                   93.4%      97.4%    107.2%     96.3%
      Written premium adjustment --
       statutory only                     4.7          0         0         0
      One-time item                         0          0         0         0
      Adjusted statutory
       combined ratio                    98.1%      97.4%    107.2%     96.3%
      Catastrophe losses                 (3.3)      (0.8)     (8.1)     (2.6)
      Adjusted statutory combined ratio
       excluding catastrophe losses      94.8%      96.6%     99.1%     93.7%
      Reported commission expense ratio* 14.5%      17.5%     16.1%     15.5%
      Written premium adjustment --
       statutory only                     2.8        0.0       0.0       0.0
      One-time item                         0          0         0         0
      Adjusted commission
       expense ratio                     17.3%      17.5%     16.1%     15.5%
      Reported other expense ratio*       9.8%       9.9%      9.2%      9.6%
      Written premium adjustment --
       statutory only                     1.9        0.0       0.0       0.0
      One-time item                         0          0         0         0
      Adjusted other expense ratio       11.7%       9.9%      9.2%      9.6%
      Reported statutory expense ratio*  24.3%      27.4%     25.3%     25.1%
      Written premium adjustment --
       statutory only                     4.7        0.0       0.0       0.0
      One-time item                         0          0         0         0
      Adjusted statutory
       expense ratio                     29.0%      27.4%     25.3%     25.1%
    GAAP Combined Ratio
      GAAP combined ratio                95.0%      97.4%    108.1%     98.8%
      One-time item                         0          0         0         0
      GAAP combined ratio
       before one-time item              95.0%      97.4%    108.1%     98.8%


                               Six months       Nine months     Twelve months
                                  ended            ended            ended
    (Dollars in millions)     6/30/   6/30/    9/30/   9/30/   12/31/   12/31/
                              2003    2002     2003    2002     2003     2002

    Premiums
      Adjusted written
       premiums (statutory) $ 1,376 $ 1,247  $ 2,090 $ 1,884  $ 2,789 $ 2,496
      Written premium
       adjustment --
       statutory only            37       0       46       0       26     117
      Reported written
       premiums
       (statutory)*         $ 1,413 $ 1,247  $ 2,136 $ 1,884  $ 2,815 $ 2,613
      Unearned premiums        (127)   (106)    (173)   (133)    (162)   (220)
      Earned premiums       $ 1,286 $ 1,141  $ 1,963 $ 1,751  $ 2,653 $ 2,393

    Statutory combined ratio
      Reported statutory
       combined ratio*         95.7%  101.9%    96.0%  100.3%    94.2%   98.4%
      Written premium
       adjustment --
       statutory only            NM       0       NM       0       NM     1.2
      One-time item                       0      1.0       0      0.8       0
      Adjusted statutory
       combined ratio          95.7%  101.9%    97.0%  100.3%    95.0%   99.6%
       Catastrophe losses      (3.8)   (5.4)    (4.6)   (3.8)    (3.6)   (3.6)
       Adjusted statutory
        combined ratio
        excluding catastrophe
        losses                 91.9%   96.5%    92.4%   96.5%    91.4%   96.0%
       Reported commission
        expense ratio*         16.7%   15.8%    17.3%   16.4%    17.7%   15.9%
       Written premium
        adjustment --
        statutory only           NM     0.0       NM     0.0       NM     0.8
       One-time item              0       0        0       0        0       0
      Adjusted commission
       expense ratio           16.7%   15.8%    17.3%   16.4%    17.7%   16.7%
      Reported other
       expense ratio*           9.0%    9.5%     8.1%    9.6%     8.8%    9.6%
      Written premium
       adjustment --
       statutory only            NM     0.0       NM     0.0       NM     0.4
      One-time item               0       0      1.0       0      0.8       0
      Adjusted other
       expense ratio            9.0%    9.5%     9.1%    9.6%     9.6%   10.0%
      Reported statutory
       expense ratio*          25.7%   25.3%    25.5%   26.0%    26.5%   25.5%
      Written premium
       adjustment --
       statutory only            NM     0.0       NM     0.0       NM     1.2
      One-time item               0       0      1.0       0      0.8       0
      Adjusted statutory
       expense ratio           25.7%   25.3%    26.5%   26.0%    27.3%   26.7%
    GAAP Combined Ratio
      GAAP combined ratio      96.8%  103.6%     96.7% 101.4%    94.7%   99.7%
      One-time item               0       0       1.2      0      0.8       0
      GAAP combined ratio
       before one-time item    96.8%  103.6%     97.9% 101.4%    95.5%   99.7%

    Dollar amounts shown are rounded to millions; certain amounts may not add
     due to rounding. Ratios are calculated based on whole dollar amounts. The
     sum of quarterly amounts may not equal the full year as each is computed
     independently.

    NM - Not meaningful
    * Statutory data prepared in accordance with statutory accounting rules as
       defined by the National Association of Insurance Commissioners and
       filed with the appropriate regulatory bodies.


                          Cincinnati Insurance Group
             Quarterly Property Casualty Data - Commercial Lines

                                                     Quarters ended

    (Dollars in millions)             12/31/2003 9/30/2003 6/30/2003 3/31/2003

    Premiums
      Adjusted written
       premiums (statutory)              $ 507      $ 499     $ 496     $ 506
      Written premium adjustment -
       statutory only                      (16)         8        12        18
      Reported written
       premiums (statutory)*             $ 491      $ 507     $ 507     $ 526
      Unearned premiums                      7        (19)      (37)      (74)
      Earned premiums                    $ 498      $ 488     $ 470     $ 452

    Statutory combined ratio
      Reported statutory
       combined ratio*                    89.7%      91.9%     91.9%     90.3%
      Written premium adjustment --
       statutory only                       NM         NM        NM        NM
      One-time item                          0        2.9         0         0
      Adjusted statutory
       combined ratio                     89.7%      94.7%     91.9%     90.3%
      Catastrophe losses                  (2.9)      (2.0)     (2.9)     (1.0)
      Adjusted statutory
       combined ratio
       excluding catastrophe
       losses                             86.8%      92.7%     89.0%     89.3%
    GAAP Combined Ratio
      GAAP combined ratio                 88.5%      92.1%     91.4%     93.2%
      One-time item                          0        2.9         0         0
      GAAP combined ratio
       before one-time item               88.5%      95.0%     91.4%     93.2%


    (Dollars in millions)             12/31/2002 9/30/2002 6/30/2002 3/31/2002

    Premiums
      Adjusted written
       premiums (statutory)               $ 443     $ 441     $ 438     $ 474
      Written premium adjustment --
       statutory only                       109         0         0         0
      Reported written
       premiums (statutory)*              $ 552     $ 441     $ 438     $ 474
      Unearned premiums                     (84)       (1)      (23)      (74)
      Earned premiums                     $ 468     $ 440     $ 415     $ 400

    Statutory combined ratio
      Reported statutory
       combined ratio*                     91.9%     94.7%    102.3%     93.2%
      Written premium adjustment --
       statutory only                       5.8         0         0         0
      One-time item                           0         0         0         0
      Adjusted statutory
       combined ratio                      97.7%     94.7%    102.3%     93.2%
      Catastrophe losses                   (1.3)     (1.3)     (5.6)     (1.2)
     Adjusted statutory combined ratio
      excluding catastrophe losses         96.4%     93.4%     96.7%     92.0%
    GAAP Combined Ratio
     GAAP combined ratio                   93.2%     94.9%    103.3%     95.8%
     One-time item                            0         0         0         0
     GAAP combined ratio
      before one-time item                 93.2%     94.9%    103.3%     95.8%


                               Six months      Nine months     Twelve months
                                  ended           ended            ended
    (Dollars in millions)     6/30/   6/30/    9/30/   9/30/   12/31/   12/31/
                              2003    2002     2003    2002     2003     2002

    Premiums
      Adjusted written
       premiums
       (statutory)         $ 1,003   $ 912  $ 1,502 $ 1,353  $ 2,009  $ 1,796
      Written premium
       adjustment --
       statutory only           30       0       38       0       22      109
      Reported written
       premiums
       (statutory)*        $ 1,033   $ 912  $ 1,540 $ 1,353  $ 2,031  $ 1,905
      Unearned premiums       (111)    (97)    (130)    (98)    (123)    (182)
      Earned premiums        $ 922   $ 815  $ 1,410 $ 1,255  $ 1,908  $ 1,723

    Statutory combined ratio
      Reported statutory
       combined ratio*        91.1%   97.8%    91.4%   96.6%    90.9%    95.3%
      Written premium
       adjustment --
       statutory only           NM       0       NM       0       NM      1.5
      One-time item              0       0      0.9       0      0.7        0
      Adjusted statutory
       combined ratio         91.1%   97.8%    92.3%   96.6%    91.6%    96.8%
      Catastrophe losses      (2.0)   (3.4)    (2.0)   (2.7)    (2.2)    (2.3)
      Adjusted statutory
       combined ratio
       excluding catastrophe
       losses                 89.1%   94.4%    90.3%   93.9%    89.4%    94.5%
    GAAP Combined Ratio
      GAAP combined ratio     92.3%   99.6%    92.2%   98.0%    91.2%    96.6%
      One-time item              0       0      1.0       0      0.8        0
      GAAP combined ratio
       before one-time item   92.3%   99.6%    93.2%   98.0%    92.0%    96.6%

    Dollar amounts shown are rounded to millions; certain amounts may not add
     due to rounding. Ratios are calculated based on whole dollar amounts. The
     sum of quarterly amounts may not equal the full year as each is computed
     independently.

    NM - Not meaningful
    * Statutory data prepared in accordance with statutory accounting rules as
       defined by the National Association of Insurance Commissioners and
       filed with the appropriate regulatory bodies.


                          Cincinnati Insurance Group
              Quarterly Property Casualty Data - Personal Lines

    (Dollars in millions)                          Quarters ended
                                      12/31/2003 9/30/2003 6/30/2003 3/31/2003
    Premiums
      Adjusted written premiums
       (statutory)                      $ 191      $ 215     $ 212     $ 161
      Written premium adjustment --
       statutory only                      (3)         1         7         0
      Reported written premiums
       (statutory)*                     $ 188      $ 216     $ 219     $ 161
      Unearned premiums                     4        (26)      (35)       18
      Earned premiums                   $ 192      $ 190     $ 184     $ 179

    Statutory combined ratio
      Reported statutory
       combined ratio*                   90.0%     108.1%    115.2%     99.5%
      Written premium adjustment --
       statutory only                      NM         NM        NM        NM
      One-time item                         0        3.8         0         0
      Adjusted statutory
       combined ratio                    90.0%     111.9%    115.2%     99.5%
      Catastrophe losses                  3.9      (16.6)    (17.8)      1.3
      Adjusted statutory combined ratio
       excluding catastrophe losses      93.9%      95.3%     97.4%    100.8%
    GAAP Combined Ratio
      GAAP combined ratio                90.7%     108.4%    116.1%     99.9%
      One-time item                         0        4.3         0         0
      GAAP combined ratio
       before one-time item              90.7%     112.7%    116.1%     99.9%


    (Dollars in millions)             12/31/2002 9/30/2002 6/30/2002 3/31/2002
    Premiums
      Adjusted written
       premiums (statutory)             $ 169      $ 196     $ 188     $ 147
      Written premium
       adjustment --
       statutory only                       8          0         0         0
      Reported written
       premiums (statutory)*            $ 177      $ 196     $ 188     $ 147
      Unearned premiums                    (3)       (26)      (23)       14
      Earned premiums                   $ 174      $ 170     $ 165     $ 161

    Statutory combined ratio
      Reported statutory combined
       ratio*                            97.9%     104.5%    119.8%    104.9%
      Written premium adjustment --
       statutory only                     1.3          0         0         0
      One-time item                         0          0         0         0
     Adjusted statutory combined
      ratio                              99.2%     104.5%    119.8%    104.9%
     Catastrophe losses                  (8.6)       0.6     (14.5)     (6.0)
     Adjusted statutory
      combined ratio
      excluding catastrophe losses       90.6%     105.1%    105.3%     98.9%
     GAAP Combined Ratio
       GAAP combined ratio              100.3%     104.0%    120.2%    106.3%
       One-time item                        0          0         0         0
       GAAP combined ratio
        before one-time item            100.3%     104.0%    120.2%    106.3%


                                Six months      Nine months     Twelve months
                                  ended           ended            ended
    (Dollars in millions)     6/30/   6/30/    9/30/  9/30/    12/31/   12/31/
                              2003    2002     2003   2002     2003     2002

    Premiums
      Adjusted written
       premiums (statutory)  $ 373   $ 335    $ 588  $ 531    $ 780   $ 700
      Written premium
       adjustment --
       statutory only            7       0        8      0        4       8
      Reported written
       premiums (statutory)* $ 380   $ 335    $ 596  $ 531    $ 784   $ 708
      Unearned premiums        (16)     (9)     (43)   (35)     (39)    (38)
      Earned premiums        $ 364   $ 326    $ 553  $ 496    $ 745   $ 670

    Statutory combined ratio
      Reported statutory
       combined ratio*       107.2%  112.2%   107.5% 109.6%   102.9%  106.5%
      Written premium
       adjustment --
       statutory only           NM       0       NM      0       NM     0.3
      One-time item              0       0      1.3      0      1.0       0
      Adjusted statutory
       combined ratio        107.2%  112.2%   108.8% 109.6%   103.9%  106.8%
      Catastrophe losses      (8.4)  (10.3)   (11.2)  (6.6)    (7.3)   (7.1)
      Adjusted statutory
       combined ratio
       excluding catastrophe
       losses                 98.8%  101.9%    97.6% 103.0%    96.6%   99.7%
    GAAP Combined Ratio
      GAAP combined ratio    108.1%  113.3%   108.2% 110.1%   103.6%  107.6%
      One-time item              0       0      1.5      0      1.1       0
      GAAP combined ratio
       before one-time item  108.1%  113.3%   109.7% 110.1%   104.7%  107.6%

    Dollar amounts shown are rounded to millions; certain amounts may not add
     due to rounding. Ratios are calculated based on whole dollar amounts. The
     sum of quarterly amounts may not equal the full year as each is computed
     independently.

    NM - Not meaningful
    * Statutory data prepared in accordance with statutory accounting rules as
       defined by the National Association of Insurance Commissioners and
       filed with the appropriate regulatory bodies.



SOURCE  Cincinnati Financial Corporation
    -0-                             02/04/2004
    /CONTACT:  Investors, Heather J. Wietzel, +1-513-603-5236, or Media, Joan
O. Shevchik, +1-513-603-5323, both of Cincinnati Financial Corporation/
    /Web site:  http://www.cinfin.com /
    (CINF)

CO:  Cincinnati Financial Corporation
ST:  Ohio
IN:  FIN INS
SU:  ERN ERP

</TEXT>
</DOCUMENT>
