X0303 4 2008-09-22 1 0000086104 SAFECO CORP SAF 0001307621 Hughes Michael H SAFECO PLAZA SEATTLE WA 98185 0 1 0 0 Executive Vice President Common Stock 2008-09-22 4 U 0 9932 68.25 D 0 D Common Stock 2008-09-23 4 D 0 126.789 43.20 D 0 I By 401K plan Employee Stock Option (right to buy) 42.48 2008-09-22 4 D 0 30385 D 2008-09-22 Common Stock 30385 0 D Employee Stock Option (right to buy) 42.48 2008-09-22 4 D 0 2354 D 2008-09-22 Common Stock 2354 0 D Employee Stock Option (right to buy) 33.32 2008-09-22 4 D 0 889 D 2008-09-22 Common Stock 889 0 D Employee Stock Option (right to buy) 38.19 2008-09-22 4 D 0 2618 D 2008-09-22 Common Stock 2618 0 D Employee Stock Option (right to buy) 38.19 2008-09-22 4 D 0 12882 D 2008-09-22 Common Stock 12882 0 D Employee Stock Option (right to buy) 33.32 2008-09-22 4 D 0 3001 D 2008-09-22 Common Stock 3001 0 D Restricted Stock Rights 2008-09-22 4 D 0 16697 D 2008-09-22 Common Stock 16697 0 D Restricted Stock Rights 2008-09-22 4 D 0 8138 D 2008-09-22 Common Stock 8138 0 D Restricted Stock Rights 2008-09-22 4 D 0 2480 D 2008-09-22 Common Stock 2480 0 D Restricted Stock Rights 2008-09-22 4 D 0 1766 D 2008-09-22 Common Stock 1766 0 D Number of units in the Safeco Stock Ownership Fund under the Safeco Corporation 401(k) Plan. These units may be converted to shares of Safeco stock as follows: The number of units multiplied by the price of the units on the transaction date divided by the closing price of Safeco stock on the transaction date. Vesting of option accelerated pursuant to a merger agreement between Safeco Corporation and Liberty Mutual. Pursuant to the merger agreement and upon the effective date of the merger referenced above, each outstanding stock option to purchase shares was canceled and converted into the right to receive a cash payment in an amount equal to $68.25 per share, minus the exercise price per share of the option and any applicable tax withholdings. Grant of Restricted Stock Rights ("RSRs") exempt under 16b-3. RSRs represent the right to receive shares equal to the value thereof, provided the Reporting Person remains in the issuer's service until the specified vesting date. RSRs are convertible into common stock on a 1 for 1 basis. Vesting of RSRs accelerated pursuant to the merger agreement referenced above. Pursuant to the merger agreement and upon the effective date of the merger referenced above, the Reporting Person received $68.25 per share for the number of RSRs held, minus any applicable tax withholding. Karri J. Harrington, Attorney-in-Fact for Michael H. Hughes 2008-09-24