SEATTLE--(BUSINESS WIRE)--Aug. 12, 1999--

SAFECO (Nasdaq:SAFC) today announced that it has selected Canyon Park Commons in Bothell as the home of one of four state-of-the-art Contact Centers it will be developing over the next two years.

SAFECO's Bothell Contact Center, scheduled to open in mid-2000, will eventually employ as many as 300 Contact Center representatives and 70 support and management positions.

SAFECO has signed a 10-year lease for the site, approximately 95,000 rentable square feet which is located at 2300 223rd Street S.E. The property is owned by CarrAmerica.

The Bothell announcement is part of a larger strategy by SAFECO to consolidate more than 20 existing call center operations located in nine cities into four Contact Centers that will service property/casualty agents and customers nationwide.

The site selection process began in December 1998 with New York-based site consultants Ernst & Young, Kenneth Levanthal leading the confidential, national search. The Economic Development Council of Seattle/King County facilitated the local research.

Company officials stated that more than six communities were in the final running as Contact Center sites. The greater Seattle area was a top finalist due to the qualified, dedicated workforce as well as available real estate, a solid economic base, strong telecommunications infrastructure, and convenient air access. Proximity to other SAFECO facilities and resources in the area was another asset.

The Bothell site will expand SAFECO's already significant presence in the Puget Sound area, where the company has had its corporate headquarters for 76 years, as well as major property/casualty, life, investment, asset management and credit operations. SAFECO employs more than 4,500 people in the area.

"While we considered many cities that were new to SAFECO, we found the best fit right in our own backyard," said David Wiley, vice president of administration for SAFECO Property/Casualty Insurance Companies.

"Our state-of-the-art Contact Center will be a stand-alone facility that embraces SAFECO's historic relationship with the Eastside and Greater Seattle, yet will have the independence and autonomy to service all of SAFECO's property/casualty customers and agents nationwide," said Wiley.

When they move to the Bothell facility, Contact Center representatives, who currently operate out of SAFECO's Seattle Region building in Redmond, will respond to customer and agent inquiries from a variety of sources, including the Internet, direct phone calls, mail and interactive voice technologies.

Superior customer service will be facilitated by advanced technology and systems currently under development, including workforce management software that will schedule representatives nationwide to better manage call volumes, and a new desktop design that will enhance easy access to customer information.

"We're taking a holistic approach to customer service," Wiley said. "It's all about what the customer needs and wants in a busy, competitive environment. We're building our Contact Centers and our infrastructure to enhance flexibility -- to provide customers and agents with choices about how they access SAFECO and how their needs are taken care of once they're in the system.

"It's also a key part of our strategy to support independent agents," he continued. "Not only will their service needs be taken care of through the Contact Centers, but they'll be assured their customers are receiving excellent care when they contact SAFECO directly."

Seattle-based SAFECO, the premier company selling insurance and financial products through independent agents, was founded in 1923. Its operations include property and casualty insurance, life insurance, annuities, mutual funds and retirement services, surety, business lending, asset management and financial services distribution operations. SAFECO employs more than 12,000 people nationwide and is represented by more than 8,000 independent agencies and brokerages across the country.