American Financial Group, Inc. Announces Agreement To Sell Medicare Supplement And Critical Illness Businesses To CIGNA Corporation

American Financial Group, Inc. announced that it reached a definitive agreement to sell its Medicare Supplement and Critical Illness businesses (headquartered in Austin, Texas and doing business as Great American Supplemental Benefits Group) to CIGNA Corporation for approximately $295 million in cash, subject to post-closing adjustments based upon statutory capital and surplus of transferred businesses as of the closing date. AFG expects to realize an after tax gain of approximately $95-$105 million on the sale, which is expected to close late in the third quarter or early in the fourth quarter of 2012.