Supplement to Prospectus Dated May 1, 1997
Aetna Life Insurance and Annuity Company
Variable Annuity Account C
Group Variable Retirement Annuity Contracts for Tax-Deferred
Annuity Plans (Section 403(b)), Qualified 401 Plans, and HR 10 Plans.
The prospectus dated May 1, 1997 is amended as follows:
Cover:
The following Fund will be replaced with the designated Substitute Fund after
the close of business of the New York Stock Exchange on November 26, 1997:
<TABLE>
<CAPTION>
Replaced Fund Substitute Fund
<S> <C>
American Century VP Capital Appreciation Portfolio Partners MFS Research Growth Portfolio
(formerly TCI Growth)
</TABLE>
The Date of this Supplement is August 21, 1997
Form No. X75974-97
<PAGE>
Fee Table - Page 8
The table under Annual Expenses of the Funds is amended by deleting the
Replaced Fund and adding the following designated Substitute Fund:
<TABLE>
<CAPTION>
Investment
Advisory Fees Other Expenses
(after expense (after expense Total Annual
reimbursement) reimbursement) Fund Expenses
<S> <C> <C> <C>
Portfolio Partners MFS Research Growth Portfolio .70%(1) .15% .85%(2)
</TABLE>
(1) The advisory fee is .70% of the first $500 million in assets and .65% on the
excess.
(2) The Company has agreed to reimburse the Fund for expenses and/or waive its
fees so that the aggregate expenses will not exceed this amount through
April 30, 1999. Without such reimbursements or waivers, Total Annual Fund
Expenses are estimated to be .92%.
The Hypothetical Illustrations (Example) in the Fee Table are amended by
deleting all information with respect to the Replaced Fund for periods after
November 26, 1997, and adding the following:
<TABLE>
<CAPTION>
If you make a complete withdrawal of If you do not make a complete
your contract at the end of the withdrawal of your
applicable time period: contract or if you annuitize:
Portfolio Partners MFS
Research Growth 1 year 3 years 5 years 10 years 1 year 3 years 5 years 10 years
-------- -------- -------- --------- ------- --------- ------- ---------
<S> <C> <C> <C> <C> <C> <C> <C> <C>
403(b) Plans $ 99 $142 $188 $289 $80 $122 $166 $289
401 Plans $119 $142 $165 $275 $70 $111 $154 $275
HR 10 Plans $ 59 $104 $151 $256 $38 $ 82 $128 $256
</TABLE>
Prospectus, Page 12
In the section The Funds, the Substitute Fund will take the place of the
Replaced Fund after the close of business of the New York Stock Exchange on
November 26, 1997. Any amounts allocated to the Replaced Fund will
automatically be allocated to the Substitute Fund after that date. The
following will be added:
Portfolio Partners MFS Research Growth Portfolio seeks long-term growth of
capital and future income by investing primarily in common stocks or securities
convertible into common stocks issued by companies that the subadviser believes
to possess better-than-average prospects for long-term growth, and to a lesser
extent, in income-producing securities including bonds and preferred stock.
Aetna Life Insurance and Annuity Company serves as the investment adviser, and
Massachusetts Financial Services Company serves as the subadviser.
Form No. X75974-97
