Dear  , on equity exceeded 16 percent; our book value per share rose  19 percent from 2003 to $43.55; operating income per share* (See footnote on page 29.) grew to $5.90 in 2004 from $5.42  in 2003; and net income, as I noted earlier, topped $2.1 billion. As we move into 2005, we remain focused on growth and expect to overcome any challenges presented by changing mar- ket conditions, particularly a softening of the property and  casualty markets. The fiscal strength and discipline of The Hartford is reflected in our consistently strong external credit ratings. These ratings also reflect the strength we derive from our diverse financial prod- ucts and services.  The Hartford’s solid reputation comes from the leadership positions we enjoy in variable annuities, variable life insurance, small business insurance, AARP personal insurance programs, and group benefits. We’ve led the nation in sales of retail variable annuities  since 1993. Investors buy annuities from us because they trust us to be there for them in the future. In 2002, amid softening equity markets, investors’ focus shifted to protecting wealth.  The Hartford responded with “Principal First,” establishing a Our financial results in 2004 speak to The Hartford’s strength: revenues were up 21 percent over 2003; our return I am proud to report 2004 was a year of accomplishment across all The Hartford’s business lines, resulting in record net income of $2.1 billion. A year as strong as this is, in itself, noteworthy. What makes the story of The Hartford’s success even more outstand- ing is that it is the result of the effort to get our financial house in order, to sharpen the focus of our business model, and to push for better execution across and within every business seg- ment. In the past four years, we have sold parts of the business we deemed not central to our core mission, we shored up our asbestos reserves to move forward with real confidence about our financial future, and we have aggressively managed costs  to prepare for the cycles inherent in the insurance and invest- ment industries. We are now positioned to respond to a grow- ing market–baby boomers nearing retirement–that presents  an exceptional appetite for The Hartford’s asset protection and wealth accumulation products. In other words, The Hartford, on the eve of its 200 th birthday, is a strong company poised to grow even stronger. Financial Highlights (in millions except for per share data)  2004  2003  2002 Net income $ 2,115 $ (91) $ 1,000 Revenues  $ 22,693 $  18,733  $ 16,417 Total assets  $ 259,735 $ 225,850  $ 181,972 Net income per diluted share  $  7.12 $  (0.33)  $ 3.97 Ramani Ayer Chairman, President and  Chief Executive Officer