CNA Financial Prices $400 Million Offering of Senior Notes

CHICAGO--(BUSINESS WIRE)--CNA Financial Corporation (NYSE: CNA) today announced that it has priced $400 million aggregate principal amount of 5.75% senior notes due August 15, 2021 in a public offering underwritten by BofA Merrill Lynch, J.P. Morgan and Wells Fargo Securities. The notes were offered to the public at 99.626% of the principal amount with a yield to maturity of 5.798%. CNA expects the offering to close on February 14, 2011, subject to customary closing conditions.

CNA intends to use all of the net proceeds from the offering, which are estimated to be approximately $395 million, after deducting the underwriting discounts and commissions and estimated offering expenses, together with cash on hand, to repurchase, redeem, repay or otherwise retire the $400 million outstanding aggregate principal balance of its 6.00% senior notes due August 15, 2011.

The offering is being made solely by means of a prospectus supplement and the accompanying prospectus. This press release does not constitute an offer to sell or a solicitation of an offer to purchase any securities. An electronic copy of the final prospectus supplement and accompanying prospectus will be available at the Securities and Exchange Commission’s website at www.sec.gov. In addition, a copy of the final prospectus supplement and accompanying prospectus relating to this offering may also be obtained, when available, from:

BofA Merrill Lynch, 4 World Financial Center, New York, NY 10080, attention: Syndicate Operations or e-mail [e-mail];

J.P. Morgan Securities LLC, 383 Madison Avenue, New York, NY 100179, Attn: High Grade Syndicate Desk - 3rd floor, Telephone No. [phone]; or

Wells Fargo Securities, LLC, 1525 West W.T. Harris Blvd., NC0675, Charlotte, North Carolina 28262, Attn: Syndicate Operations by calling toll-free 1-800-326-5897 or emailing: [e-mail].

Serving businesses and professionals since 1897, CNA is the country’s seventh largest commercial insurer and the 13^th largest property and casualty company. CNA’s insurance products include standard commercial lines, specialty lines, surety, marine and other property and casualty coverages. CNA's services include risk management, information services, underwriting, risk control and claims administration. For more information, please visit CNA at www.cna.com. CNA is a registered trademark of CNA Financial Corporation.

FORWARD-LOOKING STATEMENT

This press release includes statements which relate to anticipated future events (forward-looking statements) rather than actual present conditions or historical events. These statements are made pursuant to the safe harbor provisions of the Private Securities Litigation Reform Act of 1995 and generally include words such as “believes,” “expects,” “intends,” “anticipates,” “estimates,” and similar expressions. Forward-looking statements, by their nature, are subject to a variety of inherent risks and uncertainties that could cause actual results to differ materially from the results projected. Many of these risks and uncertainties cannot be controlled by CNA and include CNA’s successful completion of the offering and the satisfaction of other customary conditions to the closing of the redemption transaction. For a detailed description of these risks and uncertainties please refer to CNA’s filings with the Securities and Exchange Commission, available at www.cna.com, including the section captioned “Item 1A Risk Factors” of CNA’s Annual Report on Form 10-K for the year ended December 31, 2009 and Quarterly Report on Form 10-Q for the quarter ended September 30, 2010.

Any forward-looking statements made in this press release are made by CNA as of the date of this press release. Further, CNA does not have any obligation to update or revise any forward-looking statement contained in this press release, even if CNA’s expectations or any related events, conditions or circumstances change.