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Trial Date Set in Nationwide Class Action Against State Farm

27 February 1998

Trial Date Set in Nationwide Class Action Against State Farm

    MARION, Ill., Feb. 27 -- If you've had vehicle repairs done
under a State Farm Mutual Automobile Insurance Company vehicle casualty
insurance policy, a current class action lawsuit may affect your rights.
    The case is pending in Williamson County, Illinois and is entitled Tammy
Snider and Michael Avery, on behalf of themselves and all others similarly
situated, Plaintiffs, v. State Farm Mutual Automobile Insurance Company,
Defendant, No. 97-L-114.
    Trial has been scheduled to commence on February 2, 1999.
    Class members are U.S. residents (except people residing in Arkansas and
Tennessee) who were insured by a vehicle casualty insurance policy issued by
State Farm and who made a claim for vehicle repairs under their policy and had
non-factory-authorized and/or Non-OEM (Original Equipment Manufacturer) "crash
parts" installed on their vehicles or received monetary compensation
determined in relation to the cost of such parts.  "Crash parts" are vehicle
components typically repaired or replaced as a result of crash damage rather
than as a result of normal vehicle usage.  Excluded from the Class are
employees of State Farm, its officers, its directors, its subsidiaries, or its
affiliates and persons who resided or garaged their vehicles in Illinois, and
whose Illinois insurance policies were issued/executed prior to April 16,
1994, and persons who resided in California and whose policies were
issued/executed prior to September 26, 1996.
    The Plaintiffs allege that State Farm violated the terms of its policies
and breached its contract with its policyholders by using non-OEM "crash
parts" to repair their vehicles.  The Plaintiffs also allege violations of the
Illinois Consumer Fraud and Deceptive Business Practices Act and seek
compensatory damages and an injunction against State Farm.  State Farm denies
Plaintiffs' allegations, any wrongdoing and that it is liable to the
Plaintiffs.  Plaintiffs will be required to prove the class claims at trial.
    Class counsel will represent the interests of the class.  Class counsel
include G. Patrick Murphy of Marion, Illinois, Barrett Law Offices of
Lexington, Mississippi, the Rose Law Firm of Little Rock, Arkansas, Much
Shelist Freed Denenberg Ament Bell & Rubenstein, P.C. of Chicago, Illinois and
Lieff, Cabraser, Heimann & Bernstein, LLP of San Francisco, California.  Class
members will not be charged for class counsel's services.  If a recovery is
obtained for the class, class counsel may apply to the court for payment of
their reasonable attorneys' fees and costs by State Farm or from any funds
recovered before distribution of the net proceeds to the class.
    Class members who wish to remain members of the class, need not do
anything at this time.  Class members will be bound by all orders and
judgments of the court.  Class members' claims will be terminated by the
judgment in this case.
    Class members may exclude themselves by sending a letter postmarked by
June 5, 1998, expressly stating they wish to be excluded from the class, to
the following address:  Snider, et. al. v. State Farm, Plaintiffs' Class
Counsel, P.O. Box 1500, Marion, Illinois 62959.  Class members who exclude
themselves from the class cannot participate in any recovery for the class,
and will not be bound by any court orders or judgments.
    For more information, please write to the above address, call
1-888-299-9777 or see the web site at http://www.sfparts.com.
    Class Members are asked not to contact the Court.

SOURCE  The Circuit Court for the First Judicial Circuit, Williamson County,