- --------------------------------------------------------------------------------
PROSPECTUS SUPPLEMENT September 15, 1999
- --------------------------------------------------------------------------------
American Express Retirement Advisor Variable AnnuitySM
American Express Retirement Advisor Variable AnnuitySM- Band 3
We are applying for an exemptive order of the Securities and Exchange Commission
that would permit us to administer the contract's terms relating to recovery of
certain purchase payment credits upon
o exercise of free look rights,
o payment of death benefits within twelve months of a purchase payment, or
o payment of nursing home confinement benefits within twelve months of a
purchase payment
in the way described in this Prospectus. There is no assurance that such relief
will be granted. Prior to receiving the requested order, the following
provisions will apply:
The paragraph under "The Contract in Brief" entitled "Free look period" is
deleted in its entirety and replaced with the following paragraph:
You may return your contract to our office within 10 days after it is
delivered to you and receive a full refund of your purchase payments or, if
greater, we will refund the contract value less the amount of any purchase
payment credits. (See, "Valuing Your Investment - Purchase payment
credits.")
The following three sections of the prospectus refer to potential reversal of
purchase payment credits:
o the section under "Charges" entitled "Waiver of surrender charges;"
o the section under "Valuing Your Investment" entitled "Purchase payment
credits;" and
o the section under "Benefits in Case of Death" entitled "Payments."
Each of these sections is modified by adding the following to each section:
We currently are waiving our contractual right to reverse purchase
payment credits applied within twelve months of death or nursing home
confinement, as defined in the applicable section.
S-6479 A (9/99)
