State Farm Press Release

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State Farm Announces Cost-Effective Building Consolidation

May 9, 2011 - State Farm announced today a statewide facilities plan that will maximize building efficiencies throughout a three-state area. In Indiana, two operations centers in West Lafayette and Indianapolis will remain open, while seven field offices across the state will consolidate to remaining offices in Indiana and Michigan. Some employees will stay in local mobile-worker roles. Local agent’s offices and State Farm’s Corporate Headquarters, also located in Bloomington, are not part of this announcement.

The announcement is the result of a study analyzing office space capacity and will allow State Farm to utilize technology while gaining operational efficiencies. The company will sell or end leases at the following seven offices over the next few years: Evansville, New Albany, Muncie, Fort Wayne, Mishawaka, Indianapolis -Washington Point, and Valparaiso, Indiana.

“It’s our responsibility to our customers and associates to make sure we continually evaluate our business operations to remain competitive in today’s marketplace” says Valerie Clinton, State Farm Vice President - Operations based in West Lafayette. “Technology allows us to improve our efficiency and reduce facility related expenses while at the same time enhance service to our customers.”

As part of today’s announcement State Farm will be consolidating field operations from 12 to two offices in Illinois and nine to two offices in Michigan. These announcements do not affect any of the approximately 530 State Farm Agents offices in communities throughout Indiana..

Contact

Missy Lundberg, State Farm Insurance, (630) 541-4355.

About State Farm®

State Farm® insures more cars and homes than any other insurer in the U.S., the leading insurer of watercraft and is also a leading insurer in Canada. State Farm's 18,000 agents and 68,000 employees serve over 76 million auto, fire, life and health policies in the United States and Canada, and more than 1.7 million bank accounts. State Farm Mutual Automobile Insurance Company is the parent of the State Farm family of companies. State Farm is ranked No. 31 on the Fortune 500 list of largest companies. For more information, please visit statefarm.com® or in Canada statefarm.ca®.