Allstate has entered into an agreement to sell Sterling Collision Centers, Inc. to Service King Collision Repair Centers. The transaction is expected to close by the end of the second quarter of 2014 and result in a small after-tax gain.
"This sale reflects a continued focus on investing capital where we have a competitive advantage in providing unique offerings to the four consumer insurance segments," said Thomas J. Wilson, chairman, president and chief executive officer of The Allstate Corporation. "Our ownership of Sterling has deepened the company's understanding of the collision-repair business and helped us build industry relationships. The transition for our customers and Allstate agencies will be seamless."
Allstate purchased Sterling Collision Centers, Inc. in 2001. Sterling operates 62 collision-repair facilities in 16 states and has 1,200 employees.
Service King has been repairing Allstate customers' vehicles for more than 30 years and is part of Allstate's Good Hands Repair Network of more than 3,200 prequalified repair shops across the country that offer excellent service and high-quality options for collision repair.
The Allstate Corporation (NYSE: ALL) is the nation's largest publicly held personal lines insurer, serving approximately 16 million households through its Allstate, Encompass, Esurance and Answer Financial brand names and Allstate Financial business segment. Allstate branded insurance products (auto, home, life and retirement) and services are offered through Allstate agencies, independent agencies, and Allstate exclusive financial representatives, as well as via www.allstate.com, www.allstate.com/financial and 1-800 Allstate®, and are widely known through the slogan "You're In Good Hands With Allstate®." In 2013, $29 million was given by The Allstate Foundation, Allstate, its employees and agency owners to support local communities. Allstate employees and agency owners donated 200,000 hours of service across the country.