<PAGE>
PROSPECTUS
MAY 1, 2000
[ARTWORK APPEARS HERE]
SIMPLE BY DESIGN
Clarity
VARIABLE ANNUITY
<PAGE>
NOT FDIC INSURED
------------------
No bank guarantee
May lose value
<PAGE>
THE FIXED AND VARIABLE ANNUITY
ISSUED BY
BMA VARIABLE ANNUITY ACCOUNT A
AND
BUSINESS MEN'S ASSURANCE COMPANY OF AMERICA
This prospectus describes the Fixed and Variable Annuity Contract offered by
Business Men's Assurance Company of America (BMA).
The annuity contract has 25 investment choices--2 FIXED ACCOUNT options and
23 INVESTMENT PORTFOLIOS listed below. The 23 INVESTMENT PORTFOLIOS are part of
Investors Mark Series Fund, Inc., Berger Institutional Products Trust, The
Alger American Fund, American Century Variable Portfolios, Inc., Dreyfus Stock
Index Fund, Dreyfus Variable Investment Fund, Variable Insurance Products Fund,
Variable Insurance Products Fund II, INVESCO Variable Investment Funds, Inc.
and Lazard Retirement Series, Inc. You can put your money in Fixed Account I,
any currently available GUARANTEE PERIOD of Fixed Account II and/or any of
these INVESTMENT PORTFOLIOS.
INVESTORS MARK SERIES FUND, INC.
MANAGED BY STANDISH, AYER & WOOD, INC.
Intermediate Fixed Income Portfolio
Mid Cap Equity Portfolio
Money Market Portfolio
MANAGED BY STANDISH INTERNATIONAL MANAGEMENT COMPANY, L.P.
Global Fixed Income Portfolio
MANAGED BY STEIN ROE & FARNHAM INCORPORATED
Small Cap Equity Portfolio
Large Cap Growth Portfolio
MANAGED BY DAVID L. BABSON & CO., INC.
Large Cap Value Portfolio
MANAGED BY LORD, ABBETT & CO.
Growth & Income Portfolio
MANAGED BY KORNITZER CAPITAL MANAGEMENT, INC.
Balanced Portfolio
BERGER INSTITUTIONAL PRODUCTS TRUST
MANAGED BY BERGER LLC
Berger IPT--International Fund
THE ALGER AMERICAN FUND
MANAGED BY FRED ALGER MANAGEMENT, INC.
Alger American Growth Portfolio (available as of July 14, 2000)
Alger American Leveraged AllCap Portfolio (available as of July 14,
2000)
Alger American MidCap Growth Portfolio (available as of July 14, 2000)
AMERICAN CENTURY VARIABLE PORTFOLIOS, INC.
MANAGED BY AMERICAN CENTURY INVESTMENT MANAGEMENT, INC.
VP Income & Growth
VP Value
The Securities and Exchange Commission has not approved or disapproved these
securities or determined if this prospectus is accurate or complete. Any
representation to the contrary is a criminal offense.
1
<PAGE>
DREYFUS STOCK INDEX FUND
MANAGED BY THE DREYFUS CORPORATION (Index Fund Manager--Mellon Equity
Associates)
DREYFUS VARIABLE INVESTMENT FUND ("Dreyfus VIF")
MANAGED BY THE DREYFUS CORPORATION
Dreyfus VIF Disciplined Stock Portfolio
VARIABLE INSURANCE PRODUCTS FUND ("VIP"),
VARIABLE INSURANCE PRODUCTS FUND II ("VIP II")
MANAGED BY FIDELITY MANAGEMENT & RESEARCH COMPANY
Fidelity VIP Overseas Portfolio (available as of July 14, 2000)
Fidelity VIP Growth Portfolio (available as of July 14, 2000)
Fidelity VIP II Contrafund Portfolio (available as of July 14, 2000)
INVESCO VARIABLE INVESTMENT FUNDS, INC.
MANAGED BY INVESCO FUNDS GROUP, INC.
INVESCO VIF--High Yield Fund
INVESCO VIF--Equity Income Fund
LAZARD RETIREMENT SERIES, INC.
MANAGED BY LAZARD ASSET MANAGEMENT
Lazard Retirement Small Cap Portfolio
Please read this prospectus before investing and keep it on file for future
reference. It contains important information about the BMA Fixed and Variable
Annuity Contract.
To learn more about the BMA Fixed and Variable Annuity Contract, you can
obtain a copy of the Statement of Additional Information (SAI) dated May 1,
2000. The SAI has been filed with the Securities and Exchange Commission (SEC)
and is legally a part of this prospectus. The SEC has a web site
(http://www.sec.gov) that contains the SAI, material incorporated by reference,
and other information regarding companies that file electronically with the
SEC. The Table of Contents of the SAI is on Page 33 of this prospectus. For a
free copy of the SAI, call us at 1-800-423-9398 or write us at: 9735 Landmark
Parkway Drive, St. Louis, MO 63127-1690.
The Contracts:
. are not bank deposits
. are not federally insured
. are not endorsed by any bank or government agency
. are not guaranteed and may be subject to loss of principal
This prospectus is not an offering of the securities in any state, country,
or jurisdiction in which we are not authorized to sell these securities. You
should rely only on the information contained in this prospectus or that we
have referred you to. We have not authorized anyone to provide you with
information that is different.
May 1, 2000
2
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TABLE OF CONTENTS
<TABLE>
<CAPTION>
Page
----
<S> <C>
INDEX OF SPECIAL TERMS.................................................... 4
SUMMARY................................................................... 4
FEE TABLE................................................................. 6
EXAMPLES.................................................................. 8
1. THE ANNUITY CONTRACT.................................................. 12
2. ANNUITY PAYMENTS (THE INCOME PHASE)................................... 13
Annuity Date.......................................................... 13
Annuity Payments...................................................... 13
Annuity Options....................................................... 14
3. PURCHASE.............................................................. 15
Purchase Payments..................................................... 15
Allocation of Purchase Payments....................................... 15
Free Look............................................................. 15
Accumulation Units.................................................... 15
4. INVESTMENT OPTIONS.................................................... 16
Transfers............................................................. 20
Dollar Cost Averaging Option.......................................... 21
Asset Rebalancing Option.............................................. 21
Asset Allocation Option............................................... 22
Voting Rights......................................................... 22
Substitution.......................................................... 22
5. EXPENSES.............................................................. 23
Coverage Charge....................................................... 23
Contract Maintenance Charge........................................... 23
Withdrawal Charge..................................................... 24
Free Withdrawal Amount................................................ 24
Waiver of Withdrawal Charge Benefits.................................. 24
Reduction or Elimination of the Withdrawal Charge..................... 25
Premium Taxes......................................................... 25
Transfer Fee.......................................................... 25
Income Taxes.......................................................... 25
Investment Portfolio Expenses......................................... 25
6. TAXES................................................................. 25
Annuity Contracts in General.......................................... 26
Qualified and Non-Qualified Contracts................................. 26
Withdrawals--Non-Qualified Contracts.................................. 26
Withdrawals--Qualified Contracts...................................... 27
Death Benefits........................................................ 27
Diversification....................................................... 27
7. ACCESS TO YOUR MONEY.................................................. 28
Automatic Withdrawal Program.......................................... 28
Minimum Distribution Program.......................................... 28
Suspension of Payments or Transfers................................... 29
8. PERFORMANCE........................................................... 29
9. DEATH BENEFIT......................................................... 29
Upon Your Death....................................................... 29
Death of Annuitant.................................................... 31
10 .OTHER INFORMATION.................................................... 31
BMA................................................................... 31
The Separate Account.................................................. 32
Distributor........................................................... 32
Administration........................................................ 32
Ownership............................................................. 32
Beneficiary........................................................... 32
Assignment............................................................ 32
Financial Statements.................................................. 33
TABLE OF CONTENTS OF THE STATEMENT OF ADDITIONAL INFORMATION.............. 33
APPENDIX A--CONDENSED FINANCIAL INFORMATION............................... A-1
APPENDIX B--ADDITIONAL DEATH BENEFIT OPTION............................... B-1
</TABLE>
3
<PAGE>
INDEX OF SPECIAL TERMS
We have written this prospectus to make it as understandable as possible.
By the very nature of the contract, however, certain technical words or terms
are unavoidable and need an explanation. We have identified the following as
some of these words or terms. They appear capitalized in the text and the page
that is indicated below is where we believe you will find the best explanation
for the word or term.
<TABLE>
<CAPTION>
Page
----
<S> <C>
Accumulation Phase......................................................... 12
Accumulation Unit.......................................................... 15
Annuitant.................................................................. 13
Annuity Date............................................................... 13
Annuity Options............................................................ 14
Annuity Payments........................................................... 12
Annuity Unit............................................................... 15
Beneficiary................................................................ 32
Fixed Account.............................................................. 12
Guarantee Period........................................................... 12
Income Phase............................................................... 12
Investment Portfolios...................................................... 16
Joint Owner................................................................ 32
Non-Qualified.............................................................. 26
Owner...................................................................... 32
Purchase Payment........................................................... 15
Qualified.................................................................. 26
Tax Deferral............................................................... 26
</TABLE>
SUMMARY
The sections in this summary correspond to sections in this prospectus
which discuss the topics in more detail.
The Annuity Contract: The fixed and variable annuity contract offered by
BMA provides a means for investing on a tax-deferred basis in two BMA fixed
accounts (available in most states) and the 23 INVESTMENT PORTFOLIOS. The
contract is intended for retirement savings or other long-term investment
purposes and provides for a death benefit and guaranteed income options.
Annuity Payments: If you want to receive regular income from your annuity,
you can choose one of the ANNUITY OPTIONS BMA offers. You can choose whether
to have payments come from our general account, the available INVESTMENT
PORTFOLIOS or both. If you choose to have any part of your payments come from
the INVESTMENT PORTFOLIOS, the dollar amount of your payments may go up or
down.
Purchase: You can buy the contract with $10,000 or more under most
circumstances. You can add $1,000 or more any time you like during the
ACCUMULATION PHASE.
Investment Options: You can put your money into the BMA FIXED ACCOUNTS
and/or the INVESTMENT PORTFOLIOS. The returns on the INVESTMENT PORTFOLIOS are
not guaranteed. You can lose money. You can make transfers between investment
options.
Expenses: The contract has insurance features and investment features, and
there are costs related to each.
Each year, BMA deducts a $35 contract maintenance charge from your
contract. BMA currently waives this charge during the ACCUMULATION PHASE if
the value of your contract is at least $100,000.
4
<PAGE>
BMA deducts a coverage charge which varies depending upon whether you elect
the additional death benefit option (ADBO) (if you purchased the contract on or
after May 3, 1999). The charge is equal, on an annual basis, to 1.45% of
amounts invested in an investment portfolio if you elect the ADBO and 1.25% of
amounts invested in an investment portfolio if you do not elect the ADBO.
In certain states, the ADBO may not be available (check with your registered
representative). If you bought your contract before May 3, 1999, the ADBO is
not available.
If you take money out of the contract, BMA may assess a withdrawal charge
against each PURCHASE PAYMENT withdrawn. The withdrawal charge starts at 7% in
the first year and declines to 0% after 7 years.
There are also daily investment charges which range, on an annual basis,
from .26% to 1.25% of the average daily value of the INVESTMENT PORTFOLIO,
depending upon the INVESTMENT PORTFOLIO.
Taxes: Your earnings are not taxed until you take them out. If you take
money out during the ACCUMULATION PHASE, earnings come out first and are taxed
as income. If you are younger than 59 1/2 when you take money out, you may be
charged a 10% federal tax penalty.
Access to Your Money: You can take money out of your contract during the
ACCUMULATION PHASE. Withdrawals may be subject to a withdrawal charge. You may
also have to pay income tax and a tax penalty on any money you take out.
Death Benefit: If you die before moving to the INCOME PHASE, the person you
have chosen as a BENEFICIARY will receive a death benefit.
Free-Look: You can cancel the contract within 10 days after receiving it (or
whatever period is required in your state). BMA will refund the value of your
contract on the day it receives your request to cancel the contract. This may
be more or less than your original payment. In certain states, or if you have
purchased the contract as an individual retirement annuity, BMA will refund the
greater of your PURCHASE PAYMENT or contract value. BMA will put your money in
the Money Market Portfolio for 15 days (or the period required in your state)
during the free-look period.
5
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FEE TABLE
The purpose of the Fee Table is to show you the various expenses you will
incur directly or indirectly with the contract. The Fee Table reflects
expenses of the Separate Account as well as the INVESTMENT PORTFOLIOS.
OWNER TRANSACTION EXPENSES
Withdrawal Charge (as a percentage of PURCHASE PAYMENT withdrawn) (See Note
1 on page 12)
<TABLE>
<CAPTION>
Number of Complete Years Withdrawal
From Date of Purchase Payment Charge
----------------------------- ----------
<S> <C>
0.......................................................... 7%
1.......................................................... 6%
2.......................................................... 5%
3.......................................................... 4%
4.......................................................... 3%
5.......................................................... 2%
6.......................................................... 1%
7 and thereafter........................................... 0%
</TABLE>
Transfer Fee (see Note 2 on page 12)
No charge for first 12 transfers in a contract year during the
ACCUMULATION PHASE and no charge for four transfers in a contract year
during the INCOME PHASE; thereafter, the fee is $25 per transfer.
CONTRACT MAINTENANCE CHARGE (see Note 3 on page 12)....... $35 per contract per
year
SEPARATE ACCOUNT ANNUAL EXPENSES
(as a percentage of average account value)
Mortality and Expense Risk Fees and Account Fees and Expenses (See Note 4
on page 12).
<TABLE>
<S> <C>
If you elect Additional Death Benefit Option........................... 1.45%
If you do not elect Additional Death Benefit Option.................... 1.25%
</TABLE>
6
<PAGE>
INVESTMENT PORTFOLIO EXPENSES
(as a percentage of the average daily net assets of an INVESTMENT PORTFOLIO for
the most recent fiscal year, except as noted)
<TABLE>
<CAPTION>
Total Annual
Other Expenses Portfolio Expenses
(After Expense (After Expense
Reimbursement with Reimbursement with
Management 12b-1 Respect to Respect to
Fees Fees Certain Portfolios) Certain Portfolios)
---------- ----- ------------------- -------------------
<S> <C> <C> <C> <C>
INVESTORS MARK SERIES
FUND, INC.(a)
Intermediate Fixed
Income Portfolio...... .60% -- .20% .80%
Mid Cap Equity
Portfolio............. .80% -- .10% .90%
Money Market
Portfolio............. .40% -- .10% .50%
Global Fixed Income
Portfolio............. .75% -- .25% 1.00%
Small Cap Equity
Portfolio............. .95% -- .10% 1.05%
Large Cap Growth
Portfolio............. .80% -- .10% .90%
Large Cap Value
Portfolio............. .80% -- .10% .90%
Growth & Income
Portfolio............. .80% -- .10% .90%
Balanced Portfolio..... .80% -- .10% .90%
BERGER INSTITUTIONAL
PRODUCTS TRUST
Berger IPT--
International
Fund(b)............... .85% -- .35% 1.20%
THE ALGER AMERICAN FUND
Alger American Growth
Portfolio............. .75% -- .04% .79%
Alger American
Leveraged AllCap
Portfolio(c).......... .85% -- .08% .93%
Alger American MidCap
Growth Portfolio...... .80% -- .05% .85%
AMERICAN CENTURY
VARIABLE PORTFOLIOS,
INC.
VP Value............... 1.00% -- .00% 1.00%
VP Income & Growth..... .70% -- .00% .70%
DREYFUS STOCK INDEX
FUND................... .25% -- .01% .26%
DREYFUS VARIABLE
INVESTMENT FUND
Dreyfus VIF Disciplined
Stock Portfolio....... .75% -- .06% .81%
VARIABLE INSURANCE
PRODUCTS FUND, VARIABLE
INSURANCE PRODUCTS FUND
II, Service Class II
Fidelity VIP Overseas
Portfolio............. .73% .25% .18% 1.16%
Fidelity VIP Growth
Portfolio............. .58% .25% .10% .93%
Fidelity VIP II
Contrafund Portfolio.. .58% .25% .12% .95%
INVESCO VARIABLE
INVESTMENT FUNDS,
INC.(d)
INVESCO VIF--High Yield
Fund.................. .60% -- .47% 1.07%
INVESCO VIF--Equity
Income Fund........... .75% -- .42% 1.17%
LAZARD RETIREMENT
SERIES, INC.
Lazard Retirement Small
Cap Portfolio(e)...... .75% .25% .25% 1.25%
</TABLE>
--------
(a) Investors Mark Advisors, LLC voluntarily agreed to reimburse expenses of
each Portfolio of Investors Mark Series Fund, Inc. for the year ended
December 31, 1999 and will continue this arrangement until April 30, 2001
so that the annual expenses do not exceed the amounts set forth above under
"Total Annual Portfolio Expenses" for each Portfolio. Absent such expense
reimbursement, the Total Annual Portfolio Expenses for the year ended
December 31, 1999 were: 2.72% for the Money Market Portfolio; 2.25% for the
Intermediate Fixed Income Portfolio; 1.67% for the Global Fixed Income
Portfolio; 2.33% for the Mid Cap Equity Portfolio; 1.72% for the Balanced
Portfolio; 1.67% for the Growth & Income
7
<PAGE>
Portfolio; 2.53% for the Small Cap Equity Portfolio; 1.49% for the Large Cap
Growth Portfolio; and 1.49% for the Large Cap Value Portfolio.
(b) Berger LLC has agreed to waive its advisory fee and reimburse the Berger
IPT--International Fund for additional expenses to the extent that normal
operating expenses in any fiscal year exceed 1.20% of the Fund's average
daily net assets. Absent the voluntary waiver and reimbursement, for the
year ended December 31, 1999, the management fee for the Fund would have
been .85% and its "Total Annual Portfolio Expenses" were 2.40%.
(c) The Alger American Leveraged AllCap Portfolio's "Other Expenses" include
.01% of interest expense.
(d) The Fund's actual Total Annual Portfolio Expenses were lower than the
figures shown because its custodian fees were reduced under an expense
offset arrangement. The expense information presented has been restated
from the financials to reflect a change in the administrative services fee.
Certain expenses of the Fund were absorbed voluntarily by INVESCO in order
to ensure that expenses did not exceed 1.05% of the High Yield Fund's
average net assets and 1.15% of the Equity Income Fund's average net assets
pursuant to a commitment between the Fund and INVESCO. This commitment may
be changed at any time following consultation with the board of directors.
Without such absorption, but excluding any expense offset arrangements,
Other Expenses and Total Annual Operating Expenses for the fiscal year
ended December 31, 1999 were 0.48% and 1.08% respectively of the High Yield
Fund's average net assets, and 0.44% and 1.19% respectively of the Equity
Income Fund's average net assets.
(e) Lazard Asset Management, Inc., the Fund's investment adviser, has
voluntarily agreed to reimburse all expenses through December 31, 1999 to
the extent total annual portfolio expenses exceed in any fiscal year 1.25%
of the Portfolio's average daily net assets. Total annual portfolio
expenses prior to waivers and/or reimbursements by the investment manager
totaled 7.31% for the Lazard Retirement Small Cap Portfolio at December 31,
1999.
EXAMPLES
There are two sets of examples below.
. Example 1 assumes you elect the Additional Death Benefit Option (ADBO).
. Example 2 assumes you do not elect the ADBO.
Premium taxes are not reflected. Premium taxes may apply depending on the
state where you live.
The assumed average contract size is $60,000.
The examples should not be considered a representation of past or future
expenses. Actual expenses may be greater or less than those shown.
8
<PAGE>
EXAMPLE 1:
You would pay the following expenses on a $1,000 investment, assuming a 5%
annual return on assets and assuming you elect the ADBO:
(a) if you surrender the contract at the end of each time period;
(b) if you do not surrender the contract or if your contract value is
applied to an ANNUITY OPTION with a life contingency or another ANNUITY
OPTION with an ANNUITY PAYMENT period of more than 5 years.
<TABLE>
<CAPTION>
Time Periods
--------------------------------------
1 Year 3 Years 5 Years 10 Years
-------- --------- --------- ---------
<S> <C> <C> <C> <C>
INVESTORS MARK SERIES FUND, INC.
Intermediate Fixed Income Portfolio... a)$77.79 a)$109.40 a)$143.85 a)$269.56
b)$23.94 b)$ 73.72 b)$126.12 b)$269.56
Mid Cap Equity Portfolio.............. a)$78.82 a)$112.49 a)$148.99 a)$279.79
b)$24.97 b)$ 76.80 b)$131.26 b)$279.79
Money Market Portfolio................ a)$74.68 a)$100.06 a)$128.25 a)$238.19
b)$20.86 b)$ 64.42 b)$110.56 b)$238.19
Global Fixed Income Portfolio......... a)$79.85 a)$115.58 a)$154.11 a)$289.90
b)$25.99 b)$ 79.87 b)$136.37 b)$289.90
Small Cap Equity Portfolio............ a)$80.37 a)$117.12 a)$156.66 a)$294.92
b)$26.51 b)$ 81.40 b)$138.91 b)$294.92
Large Cap Growth Portfolio............ a)$78.82 a)$112.49 a)$148.99 a)$279.79
b)$24.97 b)$ 76.80 b)$131.26 b)$279.79
Large Cap Value Portfolio............. a)$78.82 a)$112.49 a)$148.99 a)$279.79
b)$24.97 b)$ 76.80 b)$131.26 b)$279.79
Growth & Income Portfolio............. a)$78.82 a)$112.49 a)$148.99 a)$279.79
b)$24.97 b)$ 76.80 b)$131.26 b)$279.79
Balanced Portfolio.................... a)$78.82 a)$112.49 a)$148.99 a)$279.79
b)$24.97 b)$ 76.80 b)$131.26 b)$279.79
BERGER INSTITUTIONAL PRODUCTS TRUST
Berger IPT--International Fund........ a)$81.91 a)$121.72 a)$164.27 a)$309.81
b)$28.04 b)$ 85.99 b)$146.50 b)$309.81
THE ALGER AMERICAN FUND
American Growth Portfolio............. a)$77.68 a)$109.09 a)$143.33 a)$268.53
b)$23.84 b)$ 73.41 b)$125.61 b)$268.53
American Leveraged AllCap Portfolio... a)$79.13 a)$113.42 a)$150.53 a)$282.83
b)$25.28 b)$ 77.72 b)$132.79 b)$282.83
American MidCap Growth Portfolio...... a)$78.30 a)$110.95 a)$146.42 a)$274.68
b)$24.46 b)$ 75.26 b)$128.69 b)$274.68
AMERICAN CENTURY VARIABLE PORTFOLIOS, INC.
VP Value.............................. a)$79.85 a)$115.58 a)$154.11 a)$289.90
b)$25.99 b)$ 79.87 b)$136.37 b)$289.90
VP Income & Growth.................... a)$76.75 a)$106.30 a)$138.68 a)$259.21
b)$22.92 b)$ 70.63 b)$120.96 b)$259.21
DREYFUS STOCK INDEX FUND............... a)$72.20 a)$ 92.53 a)$115.59 a)$212.34
b)$18.39 b)$ 56.92 b)$ 97.93 b)$212.34
DREYFUS VARIABLE INVESTMENT FUND
Dreyfus VIF Disciplined Stock
Portfolio............................ a)$77.89 a)$109.71 a)$144.36 a)$270.58
b)$24.05 b)$ 74.03 b)$126.64 b)$270.58
</TABLE>
9
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<TABLE>
<CAPTION>
Time Periods
--------------------------------------
1 Year 3 Years 5 Years 10 Years
-------- --------- --------- ---------
<S> <C> <C> <C> <C>
VARIABLE INSURANCE PRODUCTS FUND,
VARIABLE INSURANCE PRODUCTS FUND II,
SERVICE CLASS II
Fidelity VIP Overseas Portfolio........ a)$81.50 a)$120.49 a)$162.25 a)$305.87
b)$27.63 b)$ 84.77 b)$144.48 b)$305.87
Fidelity VIP Growth Portfolio.......... a)$79.13 a)$113.42 a)$150.53 a)$282.83
b)$25.28 b)$ 77.72 b)$132.79 b)$282.83
Fidelity VIP II Contrafund Portfolio... a)$79.34 a)$114.04 a)$151.56 a)$284.86
b)$25.48 b)$ 78.34 b)$133.82 b)$284.86
INVESCO VARIABLE INVESTMENT FUNDS, INC.
INVESCO VIF--High Yield Fund........... a)$80.57 a)$117.73 a)$157.68 a)$296.92
b)$26.71 b)$ 82.02 b)$139.93 b)$296.92
INVESCO VIF--Equity Income Fund........ a)$81.60 a)$120.80 a)$162.76 a)$306.85
b)$27.73 b)$ 85.07 b)$144.99 b)$306.85
LAZARD RETIREMENT SERIES, INC.
Lazard Retirement Small Cap Portfolio.. a)$82.42 a)$123.25 a)$166.80 a)$314.72
b)$28.55 b)$ 87.51 b)$149.02 b)$314.72
</TABLE>
EXAMPLE 2:
You would pay the following expenses on a $1,000 investment, assuming a 5%
annual return on assets and assuming you do not elect the ADBO:
(a) if you surrender the contract at the end of each time period;
(b) if you do not surrender the contract or if your contract value is
applied to an ANNUITY OPTION with a life contingency or another ANNUITY
OPTION with an ANNUITY PAYMENT period of more than 5 years.
<TABLE>
<CAPTION>
Time Periods
--------------------------------------
1 Year 3 Years 5 Years 10 Years
-------- --------- --------- ---------
<S> <C> <C> <C> <C>
INVESTORS MARK SERIES FUND, INC.
Intermediate Fixed Income Portfolio.... a)$75.72 a)$103.18 a)$133.47 a)$248.75
b)$21.89 b)$ 67.53 b)$115.77 b)$248.75
Mid Cap Equity Portfolio............... a)$76.75 a)$106.29 a)$138.67 a)$259.21
b)$22.92 b)$ 70.63 b)$120.96 b)$259.21
Money Market Portfolio................. a)$72.61 a)$ 93.79 a)$117.71 a)$216.70
b)$18.80 b)$ 58.17 b)$100.04 b)$216.70
Global Fixed Income Portfolio.......... a)$77.79 a)$109.40 a)$143.85 a)$269.55
b)$23.94 b)$ 73.72 b)$126.12 b)$269.55
Small Cap Equity Portfolio............. a)$78.30 a)$110.95 a)$146.42 a)$274.68
b)$24.46 b)$ 75.26 b)$128.69 b)$274.68
Large Cap Growth Portfolio............. a)$76.75 a)$106.29 a)$138.67 a)$259.21
b)$22.92 b)$ 70.63 b)$120.96 b)$259.21
Large Cap Value Portfolio.............. a)$76.75 a)$106.29 a)$138.67 a)$259.21
b)$22.92 b)$ 70.63 b)$120.96 b)$259.21
Growth & Income Portfolio.............. a)$76.75 a)$106.29 a)$138.67 a)$259.21
b)$22.92 b)$ 70.63 b)$120.96 b)$259.21
Balanced Portfolio..................... a)$76.75 a)$106.29 a)$138.67 a)$259.21
b)$22.92 b)$ 70.63 b)$120.96 b)$259.21
BERGER INSTITUTIONAL PRODUCTS TRUST
Berger IPT--International Fund......... a)$79.85 a)$115.58 a)$154.11 a)$289.90
b)$25.99 b)$ 79.87 b)$136.36 b)$289.90
</TABLE>
10
<PAGE>
<TABLE>
<CAPTION>
Time Periods
--------------------------------------
1 Year 3 Years 5 Years 10 Years
-------- --------- --------- ---------
<S> <C> <C> <C> <C>
THE ALGER AMERICAN FUND
American Growth Portfolio.............. a)$75.62 a)$102.87 a)$132.95 a)$247.70
b)$21.79 b)$ 67.22 b)$115.25 b)$247.70
American Leveraged AllCap Portfolio.... a)$77.06 a)$107.23 a)$140.23 a)$262.32
b)$23.22 b)$ 71.56 b)$122.51 b)$262.32
American MidCap Growth................. a)$76.24 a)$104.74 a)$136.08 a)$254.00
b)$22.40 b)$ 69.08 b)$118.37 b)$254.00
AMERICAN CENTURY VARIABLE PORTFOLIOS, INC.
VP Value............................... a)$77.79 a)$109.40 a)$143.85 a)$269.55
b)$23.94 b)$ 73.72 b)$126.12 b)$269.55
VP Income & Growth..................... a)$74.68 a)$100.06 a)$128.25 a)$238.18
b)$20.86 b)$ 64.42 b)$110.55 b)$238.18
DREYFUS STOCK INDEX FUND................ a)$70.12 a)$ 86.21 a)$104.92 a)$190.28
b)$16.32 b)$ 50.62 b)$ 87.28 b)$190.28
DREYFUS VARIABLE INVESTMENT FUND
Dreyfus VIF Disciplined Stock
Portfolio............................. a)$75.82 a)$103.49 a)$133.99 a)$249.81
b)$21.99 b)$ 67.84 b)$116.29 b)$249.81
VARIABLE INSURANCE PRODUCTS FUND,
VARIABLE INSURANCE PRODUCTS FUND II,
SERVICE CLASS II
Fidelity VIP Overseas Portfolio........ a)$79.44 a)$114.34 a)$152.07 a)$285.87
b)$25.58 b)$ 78.64 b)$134.32 b)$285.87
Fidelity VIP Growth Portfolio.......... a)$77.06 a)$107.23 a)$140.23 a)$262.32
b)$23.22 b)$ 71.56 b)$122.51 b)$262.32
Fidelity VIP II Contrafund Portfolio... a)$77.27 a)$107.85 a)$141.26 a)$264.40
b)$23.43 b)$ 72.17 b)$123.54 b)$264.40
INVESCO VARIABLE INVESTMENT FUNDS, INC.
INVESCO VIF--High Yield Fund........... a)$78.51 a)$111.56 a)$147.45 a)$276.73
b)$24.66 b)$ 75.88 b)$129.72 b)$276.73
INVESCO VIF--Equity Income Fund........ a)$79.54 a)$114.65 a)$152.58 a)$286.88
b)$25.69 b)$ 78.95 b)$134.83 b)$286.88
LAZARD RETIREMENT SERIES, INC.
Lazard Retirement Small Cap Portfolio.. a)$80.37 a)$117.11 a)$156.66 a)$294.92
b)$26.51 b)$ 81.40 b)$138.91 b)$294.92
</TABLE>
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EXPLANATION OF FEE TABLE AND EXAMPLES
1. After BMA has had a PURCHASE PAYMENT for 7 years, there is no charge by BMA
for a withdrawal of that PURCHASE PAYMENT. You may also have to pay income
tax and a tax penalty on any money you take out. The first 10% of contract
value withdrawn is not subject to a withdrawal charge, unless you have
already made another withdrawal during that same contract year.
2. BMA will not charge you the transfer fee even if there are more than 12
transfers in a year during the ACCUMULATION PHASE if the transfer is for the
Dollar Cost Averaging Option, the Asset Allocation Option or Asset
Rebalancing Option.
3. During the ACCUMULATION PHASE, BMA will not charge the contract maintenance
charge if the value of your contract is $100,000 or more. If you make a
complete withdrawal and the contract value is less than $100,000, BMA will
charge the contract maintenance charge. If you own more than one BMA
contract, we will determine the total value of all the contracts (except in
South Carolina). If the total value of all the contracts is more than
$100,000, we will not assess the contract maintenance charge. During the
INCOME PHASE, BMA will deduct the contract maintenance charge from each
ANNUITY PAYMENT on a pro rata basis.
4. The coverage charge is an aggregate charge which consists of mortality and
expense risk fees and account fees and expenses which is referred to as a
coverage charge throughout this prospectus and in your contract. The amount
of the coverage charge for your contract depends upon whether you elect the
Additional Death Benefit Option. If you purchased your contract before May
3, 1999, the Additional Death Benefit Option was not available. In certain
states, the Additional Death Benefit Option may not be available. Check with
your registered representative regarding availability.
There is an ACCUMULATION UNIT value history (Condensed Financial
Information) contained in Appendix A.
1. THE ANNUITY CONTRACT
This prospectus describes the Fixed and Variable Annuity Contract offered by
BMA.
An annuity is a contract between you, the owner, and an insurance company
(in this case BMA), where the insurance company promises to pay you an income,
in the form of ANNUITY PAYMENTS, beginning on a designated date that's at least
one year after we issue your contract. Until you decide to begin receiving
ANNUITY PAYMENTS, your annuity is in the ACCUMULATION PHASE. Once you begin
receiving ANNUITY PAYMENTS, your contract switches to the INCOME PHASE.
The contract benefits from TAX DEFERRAL. TAX DEFERRAL means that you are not
taxed on earnings or appreciation on the assets in your contract until you take
money out of your contract.
The contract is called a variable annuity because you can choose among 23
INVESTMENT PORTFOLIOS and, depending upon market conditions, you can make or
lose money in any of these portfolios. If you select the variable annuity
portion of the contract, the amount of money you are able to accumulate in your
contract during the ACCUMULATION PHASE depends upon the investment performance
of the INVESTMENT PORTFOLIO(S) you select. The amount of the ANNUITY PAYMENTS
you receive during the INCOME PHASE from the variable annuity portion of the
contract also depends upon the investment performance of the INVESTMENT
PORTFOLIOS you select for the INCOME PHASE.
The contract also contains two FIXED ACCOUNT options (Fixed Account I and
Fixed Account II). The FIXED ACCOUNTS offer interest rates that are guaranteed
by BMA. For Fixed Account I, an interest rate is set at the time of each
PURCHASE PAYMENT or transfer to the account. This initial interest rate is
guaranteed for 12 months. Fixed Account II offers different GUARANTEE PERIODS.
A GUARANTEE PERIOD is the time period for which an interest rate is credited in
Fixed Account II. Currently, the following
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GUARANTEE PERIODS are available: three years, five years, and seven years. Each
PURCHASE PAYMENT or transfer to a GUARANTEE PERIOD has its own interest rate.
BMA guarantees that the interest credited to the FIXED ACCOUNT options will not
be less than 3% per year. Currently, if you purchase the contract on or after
May 3, 1999 and elect the Additional Death Benefit Option (ADBO), the amount of
interest we credit to any amounts you have allocated to Fixed Account II will
be reduced in consideration of the cost of the ADBO accordingly. If you make a
withdrawal, transfer or if your contract switches to the INCOME PHASE before
the end of the GUARANTEE PERIOD you have selected, an interest adjustment will
be made to the value of your contract.
If you select either FIXED ACCOUNT option, your money will be placed with
the other general assets of BMA. If you select either FIXED ACCOUNT, the amount
of money you are able to accumulate in your contract during the ACCUMULATION
PHASE depends upon the total interest credited to your contract. The amount of
the ANNUITY PAYMENTS you receive during the INCOME PHASE from the general
account will remain level for the entire INCOME PHASE.
As OWNER of the contract, you exercise all rights under the contract. You
can change the OWNER at any time by notifying BMA in writing. You and your
spouse can be named JOINT OWNERS (subject to state laws). We have described
more information on this in Section 10--Other Information.
2. ANNUITY PAYMENTS (THE INCOME PHASE)
Annuity Date
Under the contract you can receive regular income payments. You can choose
the date on which those payments begin. We call that date the ANNUITY DATE.
Your first ANNUITY PAYMENT will be made one month (or one modal period if you
do not choose monthly payments) after the ANNUITY DATE.
We ask you to choose your ANNUITY DATE when you purchase the contract. You
can change it at any time before the ANNUITY DATE with 30 days notice to us.
Your ANNUITY DATE cannot be any earlier than one year after we issue the
contract.
Annuity Payments
ANNUITY PAYMENTS must begin by the later of the first day of the first
calendar month after the ANNUITANT'S 95th birthday or 10 years after we issue
your contract (or the maximum date allowed under state law). The ANNUITANT is
the person whose life we look to when we make ANNUITY PAYMENTS. Currently, the
amount of each payment is determined ten business days prior to the payment
date. At the ANNUITY DATE, you can choose whether payments will come from:
. a FIXED ACCOUNT, referred to as a fixed annuity,
. the INVESTMENT PORTFOLIO(s) available, referred to as a variable annuity,
or
. a combination of both.
If you choose to have any portion of your ANNUITY PAYMENTS come from the
FIXED ACCOUNTS, Fixed Accounts I and II will be terminated, and the fixed
annuity payments will be made from BMA's general account. The general account
of BMA contains all of our assets except the assets of the Separate Account and
other separate accounts we may have. The dollar amount of each fixed annuity
payment will be determined in accordance with the annuity tables in the
contract. If, on the ANNUITY DATE, we are using annuity payment tables for
similar fixed annuity contracts which would provide a larger ANNUITY PAYMENT,
we will use those tables. Once determined, the amount of the fixed annuity
payment will not change, unless you transfer a portion of your variable annuity
payment into the fixed annuity. Up to four times each contract year you may
increase the amount of your fixed annuity payment by a transfer of all or
portion of your variable annuity
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payment to the fixed annuity payment. After the ANNUITY DATE, you may not
transfer any portion of the fixed annuity into the variable annuity payment.
If you choose to have any portion of your ANNUITY PAYMENTS come from the
INVESTMENT PORTFOLIO(s), the dollar amount of the initial variable annuity
payment will depend upon the value of your contract in the INVESTMENT
PORTFOLIO(s) and the annuity tables in the contract. The dollar amount of this
variable annuity payment is not guaranteed to remain level.
Each variable annuity payment will vary depending on the investment
performance of the INVESTMENT PORTFOLIO(s) you have selected. A 3.5% annual
investment rate is used in the annuity tables in the contract. If the actual
performance of the INVESTMENT PORTFOLIO(s) you have selected equals 3.5%, then
the variable annuity payments will remain level. If the actual performance of
the INVESTMENT PORTFOLIO(s) you have selected exceeds the 3.5% assumption, the
variable annuity payments will increase. Conversely, if the performance is less
than the 3.5%, the variable annuity payments will decrease.
ANNUITY PAYMENTS are made monthly unless you have less than $10,000 to apply
toward a payment. In that case, BMA may provide your ANNUITY PAYMENT in a
single lump sum. Likewise, if your ANNUITY PAYMENTS would be or become less
than $250 a month, BMA has the right to change the frequency of payments so
that your ANNUITY PAYMENTS are at least $250.
Annuity Options
You can choose among income plans. We call those ANNUITY OPTIONS.
You can select and/or change an ANNUITY OPTION at any time prior to the
ANNUITY DATE (with 30 days notice to us). If you do not choose an ANNUITY
OPTION, we will assume that you selected Option 2 which will provide a life
annuity with 120 monthly payments guaranteed. You can choose one of the
following ANNUITY OPTIONS. Any other ANNUITY OPTION acceptable to us may also
be selected. After ANNUITY PAYMENTS begin, you cannot change the ANNUITY
OPTION.
OPTION 1. LIFE ANNUITY. Under this option, we will make an ANNUITY PAYMENT
each month so long as the ANNUITANT is alive. After the ANNUITANT dies, we stop
making ANNUITY PAYMENTS.
OPTION 2. LIFE ANNUITY WITH 10 OR 20 YEARS GUARANTEED. Under this option, we
will make an ANNUITY PAYMENT each month so long as the ANNUITANT is alive.
However, if, when the ANNUITANT dies, we have made ANNUITY PAYMENTS for less
than the selected guaranteed period, we will then continue to make ANNUITY
PAYMENTS for the rest of the guaranteed period to the BENEFICIARY. If the
BENEFICIARY does not want to receive ANNUITY PAYMENTS, he or she can ask us for
a single lump sum.
OPTION 3. JOINT AND LAST SURVIVOR ANNUITY. Under this option, we will make
ANNUITY PAYMENTS each month so long as the ANNUITANT and a second person are
both alive. When either of these people dies, we will continue to make ANNUITY
PAYMENTS, so long as the survivor continues to live. The amount of the ANNUITY
PAYMENTS we will make to the survivor can be equal to 100%, 75% or 50% of the
amount that we would have paid if both were alive.
OPTION 4. JOINT AND LAST SURVIVOR ANNUITY WITH 10 OR 20 YEARS GUARANTEED.
Under this option, we will make ANNUITY PAYMENTS each month so long as the
ANNUITANT and a second person (joint ANNUITANT) are both alive. However, if when
the last ANNUITANT dies, we have made ANNUITY PAYMENTS for less than the
selected guaranteed period, we will then continue to make ANNUITY PAYMENTS for
the rest of the guaranteed period to the BENEFICIARY. If the BENEFICIARY does
not want to receive ANNUITY PAYMENTS, he or she can ask us for a single lump
sum.
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3. PURCHASE
Purchase Payments
A PURCHASE PAYMENT is the money you give us to buy the contract. The minimum
we will accept for a NON-QUALIFIED contract is $10,000. If you buy the contract
as part of an Individual Retirement Annuity (IRA), the minimum PURCHASE PAYMENT
we will accept is $2,000. The maximum PURCHASE PAYMENTS we accept are $1
million without our prior approval. You can make additional PURCHASE PAYMENTS
of $1,000 or more.
Allocation of Purchase Payments
When you purchase a contract, we will allocate your PURCHASE PAYMENT to:
. Fixed Account I;
. any currently available GUARANTEE PERIOD of Fixed Account II; and/or
. one or more of the INVESTMENT PORTFOLIOS you have selected.
If you make additional PURCHASE PAYMENTS, we will allocate them in the same
way as your first PURCHASE PAYMENT unless you tell us otherwise. Any allocation
to Fixed Account I or to any GUARANTEE PERIOD of Fixed Account II must be at
least $5,000. Allocation percentages need to be in whole numbers. Each
allocation must be at least 1%. Any allocation to an INVESTMENT PORTFOLIO must
be at least $1,000. BMA reserves the right to decline any PURCHASE PAYMENT.
At its discretion, BMA may refuse PURCHASE PAYMENTS into Fixed Account I or
Fixed Account II if the total value of Fixed Accounts I and II is greater than
or equal to 30% of the value of your contract at the time of the PURCHASE
PAYMENT.
Once we receive your PURCHASE PAYMENT and the necessary information, we will
issue your contract and allocate your first PURCHASE PAYMENT within 2 business
days. If you do not give us all of the information we need, we will contact you
to get it. If for some reason we are unable to complete this process within 5
business days, we will either send back your money or get your permission to
keep it until we get all of the necessary information. If you add more money to
your contract by making additional PURCHASE PAYMENTS, we will credit these
amounts to your contract within one business day. Our business day closes when
the New York Stock Exchange closes, usually 4:00 P.M. Eastern time.
Free Look
If you change your mind about owning the contract, you can cancel it within
10 days after receiving it, or the period required in your state. When you
cancel the contract within this time period, BMA will not assess a withdrawal
charge. You will receive back whatever your contract is worth on the day we
receive your request. In certain states, or if you have purchased the contract
as an IRA, we will refund the greater of your PURCHASE PAYMENT (less
withdrawals) or the value of your contract if you decide to cancel your
contract within 10 days after receiving it (or whatever period is required in
your state). If that is the case, we will put your PURCHASE PAYMENT in the
Money Market Portfolio for 15 days beginning when we allocate your first
PURCHASE PAYMENT. (In some states, the period may be longer.) At the end of
that period, we will re-allocate those funds as you selected.
Accumulation Units
The value of the variable annuity portion of your contract will go up or
down depending upon the investment performance of the INVESTMENT PORTFOLIO(S)
you choose. In order to keep track of the value of your contract, we use a unit
of measure we call an ACCUMULATION UNIT. (An ACCUMULATION UNIT works like a
share of a mutual fund.) During the INCOME PHASE of the contract we call the
unit an ANNUITY UNIT.
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Every business day we determine the value of an ACCUMULATION UNIT for each
of the INVESTMENT PORTFOLIOS by multiplying the ACCUMULATION UNIT value for
the previous business day by a factor for the current business day. The factor
is determined by:
1. dividing the value of an INVESTMENT PORTFOLIO share at the end of the
current business day by the value of an INVESTMENT PORTFOLIO share for the
previous business day; and
2. multiplying it by one minus the daily amount of the coverage charge
and any charges for taxes.
The value of an ACCUMULATION UNIT may go up or down from day to day.
When you make a PURCHASE PAYMENT, we credit your contract with ACCUMULATION
UNITS. The number of ACCUMULATION UNITS credited is determined by dividing the
amount of the PURCHASE PAYMENT allocated to an INVESTMENT PORTFOLIO by the
value of the ACCUMULATION UNIT for that INVESTMENT PORTFOLIO.
We calculate the value of an ACCUMULATION UNIT for each INVESTMENT
PORTFOLIO after the New York Stock Exchange closes each day and then credit
your contract.
Example:
On Monday we receive an additional PURCHASE PAYMENT of $4,000 from you. You
have told us you want this to go to the Balanced Portfolio. When the New York
Stock Exchange closes on that Monday, we determine that the value of an
ACCUMULATION UNIT for the Balanced Portfolio is $12.70. We then divide $4,000
by $12.70 and credit your contract on Monday night with 314.960630
ACCUMULATION UNITS for the Balanced Portfolio.
4. INVESTMENT OPTIONS
The contract offers 23 INVESTMENT PORTFOLIOS which are listed below.
Additional INVESTMENT PORTFOLIOS may be available in the future.
Shares of the portfolios may be offered in connection with certain variable
annuity contracts and variable life insurance policies of various life
insurance companies which may or may not be affiliated with BMA. Certain
portfolios may also be sold directly to qualified plans. The funds believe
that offering their shares in this manner will not be disadvantageous to you.
BMA may enter into certain arrangements under which it is reimbursed by the
INVESTMENT PORTFOLIOS' advisers, distributors and/or affiliates for the
administrative services which it provides to the portfolios.
The investment objectives and policies of certain of the investment
portfolios are similar to the investment objectives and policies of other
mutual funds that certain of the investment advisers manage. Although the
objectives and policies may be similar, the investment results of the
investment portfolios may be higher or lower than the results of such other
mutual funds. The investment advisers cannot guarantee, and make no
representation, that the investment results of similar funds will be
comparable even though the investment portfolios have the same investment
advisers.
A portfolio's performance may be affected by risks specific to certain
types of investments, such as foreign securities, derivative investments, non-
investment grade debt securities, initial public offerings (IPOs)
or companies with relatively small market capitalizations. IPOs and other
investment techniques may have a magnified performance impact on a portfolio
with a small asset base. A portfolio may not experience similar performance as
its assets grow.
You should read the prospectuses for these funds carefully. Copies of these
prospectuses will be sent to you with your contract. Certain portfolios
contained in the fund prospectuses may not be available with your
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contract. Below is a summary of the investment objectives and strategies of
each investment portfolio available under the contract. There can be no
assurance that the investment objectives will be achieved. The fund
prospectuses contain more complete information including a description of the
investment objectives, policies, restrictions and risks of each portfolio.
INVESTORS MARK SERIES FUND, INC.
Investors Mark Series Fund, Inc. is managed by Investors Mark Advisors, LLC
(Adviser), which is an affiliate of BMA. Investors Mark Series Fund, Inc. is a
mutual fund with multiple portfolios. Each INVESTMENT PORTFOLIO has a
different investment objective. The Adviser has engaged sub-advisers to
provide investment advice for the individual INVESTMENT PORTFOLIOS. The
following INVESTMENT PORTFOLIOS are available under the contract:
Standish, Ayer & Wood, Inc. is the sub-adviser to the following portfolios:
Intermediate Fixed Income Portfolio
The goal of this Portfolio is a high level of current income with
stability of principal and liquidity. The Portfolio seeks to accomplish
this by investing in intermediate term, high-quality corporate and
mortgage-backed fixed income investments. The average maturity of the
investments in the Portfolio is five to thirteen years. The Portfolio
also looks for other opportunities to invest in securities that have the
potential for capital appreciation, but are not likely to add risk to
the Portfolio.
Mid Cap Equity Portfolio
The goal of the Portfolio is to achieve long-term growth by investing in
the common stock of mid-sized U.S. companies.
Stocks must meet two criteria in order to be included in the Portfolio:
. they must have above-average growth potential and momentum, and
. they must be undervalued, or "cheap," relative to other stocks and
the market as a whole.
The Portfolio's Adviser uses both mathematical models and years of
experience in individual judgment to make the stock buy and sell
decisions for the Portfolio.
Money Market Portfolio
The goal of this Portfolio is to earn the highest possible level of
current income while preserving capital and maintaining liquidity. It
invests in carefully selected short-term fixed income securities issued
by the U.S. government and its agencies and by other stable financial
institutions.
Standish International Management Company, L.P. is the sub-adviser to the
following portfolio:
Global Fixed Income Portfolio
The Portfolio's objective is to maximize total return and to generate a
market level return while preserving both liquidity and principal.
Typically, assets are diversified across ten or more countries.
Stein Roe & Farnham Incorporated is the sub-adviser to the following
portfolios:
Small Cap Equity Portfolio
This Portfolio seeks long-term growth by investing in small and medium-
sized entrepreneurially managed companies that the Portfolio's Adviser
believes are selling at attractive prices and that enjoy good
management.
Large Cap Growth Portfolio
The goal of this Portfolio is long-term capital appreciation. The
Portfolio invests, under normal circumstances, at least 65 percent of
its total assets in common stocks and other equity type securities
believed to have the ability to appreciate in value over time. The
Portfolio's Adviser seeks to invest in companies that it believes have
the potential to maintain their competitive advantages and to create
wealth over a long period of time.
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David L. Babson & Co., Inc. is the sub-adviser to the following portfolio:
Large Cap Value Portfolio
The goal of this Portfolio is long-term capital growth. It invests in
common stocks that are seen as undervalued, or "cheap," relative to
corporate earnings, dividends, and/or assets--striving to achieve above-
average return with below average risk.
Lord, Abbett & Co. is the sub-adviser to the following portfolio:
Growth & Income Portfolio
This Portfolio is value driven, seeking long-term growth of capital and
income without a lot of fluctuation in market value. It invests in
large, seasoned companies in sound financial condition that are expected
to show above average price appreciation.
Kornitzer Capital Management, Inc. is the sub-adviser to the following
portfolio:
Balanced Portfolio
The goal of this Portfolio is both long-term capital growth and high
current income. It invests in both stocks and fixed income securities.
The balance of stocks and bonds in the Portfolio can change based on the
Portfolio Adviser's view of economic conditions, interest rates, and
stock prices. The fund also invests in convertible bonds and convertible
preferred stocks. Convertible securities offer current income like a
corporate bond, but can also provide capital appreciation through their
conversion feature (the right to convert to common stock).
BERGER INSTITUTIONAL PRODUCTS TRUST
Berger Institutional Products Trust is a mutual fund with multiple
portfolios, all of which are managed by Berger LLC. Berger LLC has retained
Bank of Ireland Asset Management (U.S.) Limited ("BIAM") as subadviser to the
Berger IPT--International Fund. The following INVESTMENT PORTFOLIO is
available under the contract:
Berger IPT--International Fund
The goal of this Fund is long-term capital appreciation through
investments in non-U.S. equity securities of well-established companies.
The primary focus of the fund is on undervalued, or "cheap," stocks of
mid-sized to large companies.
THE ALGER AMERICAN FUND
The Alger American Fund is a series of portfolios managed by Fred Alger
Management, Inc. The following INVESTMENT PORTFOLIOS are available under the
contract:
Alger American Growth Portfolio (available as of July 14, 2000)
This Portfolio seeks long-term capital appreciation. It focuses on
growing companies that generally have broad product lines, markets,
financial resources and depth of management. Under normal circumstances,
the portfolio invests primarily in the equity securities of large
companies.
Alger American Leveraged AllCap Portfolio (available as of July 14,
2000)
This Portfolio seeks long-term capital appreciation. Under normal
circumstances, the Portfolio invests in the equity securities of
companies of any size which demonstrate promising growth potential. The
Portfolio can leverage, that is, borrow money, in amounts up to one-
third of its total assets to buy additional securities.
Alger American MidCap Growth Portfolio (available as of July 14, 2000)
This Portfolio seeks long-term capital appreciation. It focuses on
midsize companies with promising growth potential that generally have
broad product lines, markets, financial resources and depth of
management. Under normal circumstances, the Portfolio invests primarily
in the equity securities of companies having a market capitalization
within the range of companies in the S&P MidCap 400 Index(R).
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AMERICAN CENTURY VARIABLE PORTFOLIOS, INC.
American Century Variable Portfolios, Inc. is a series of funds managed by
American Century Investment Management, Inc. The following INVESTMENT
PORTFOLIOS are available under the contract:
VP Income & Growth
This Portfolio seeks dividend growth, current income, and capital
appreciation by investing in common stocks. The Portfolio invests in
mainly large company stocks, such as those in the Standard & Poor's 500
Composite Stock Price Index, but it also may invest in the stocks of
small and medium-size companies. The management team strives to
outperform the Standard & Poor's 500 Composite Stock Price Index over
time while matching its risk characteristics.
VP Value
This Portfolio seeks long-term capital growth as a primary objective and
income as a secondary objective. It invests in well-established
companies that the Portfolio's Adviser believes are undervalued at the
time of purchase.
DREYFUS STOCK INDEX FUND
The Dreyfus Corporation serves as the Fund's manager. Dreyfus has hired its
affiliate, Mellon Equity Associates, to serve as the Fund's index fund manager
and provide day-to-day management of the Fund's investments.
The objective of this Portfolio is to match, as closely as possible, the
performance of the Standard & Poor's 500 Composite Price Index (S&P
500). To pursue this goal, the fund generally invests in all 500 stocks
in the S&P 500 in proportion to their weighting in the index.
DREYFUS VARIABLE INVESTMENT FUND
The Dreyfus Variable Investment Fund ("Dreyfus VIF") is a mutual fund with
multiple portfolios. The Dreyfus Corporation serves as the investment adviser.
The following INVESTMENT PORTFOLIO is available under the contract:
Dreyfus VIF Disciplined Stock Portfolio
The Portfolio seeks investment returns (consisting of capital
appreciation and income) that are greater than the total return
performance of stocks represented by the Standard & Poor's 500 Composite
Stock Price Index. To pursue this goal, the portfolio invests in a
blended portfolio of growth and value stocks chosen through a
disciplined investment process.
VARIABLE INSURANCE PRODUCTS FUND AND VARIABLE INSURANCE PRODUCTS FUND II
Variable Insurance Products Fund and Variable Insurance Products Fund II
are each mutual funds managed by Fidelity Management & Research Company. The
following INVESTMENT PORTFOLIOS are available under the contract:
Fidelity VIP Overseas Portfolio (available as of July 14, 2000)
This Portfolio seeks long-term growth of capital by investing at least
65% of its total assets in foreign securities and allocating investments
across countries and regions considering the size of the market in each
country and region relative to the size of the international market as a
whole.
Fidelity VIP Growth Portfolio (available as of July 14, 2000)
This Portfolio seeks to achieve capital appreciation by investing
primarily in common stocks of companies that the Adviser believes have
above-average growth potential (stocks of these companies are often
called "growth" stocks).
Fidelity VIP II Contrafund Portfolio (available as of July 14, 2000)
This Portfolio seeks long-term capital appreciation by investing
primarily in common stocks of companies whose value the Adviser believes
is not fully recognized by the public.
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INVESCO VARIABLE INVESTMENT FUNDS, INC.
INVESCO Variable Investment Funds, Inc. is a mutual fund with multiple
portfolios. INVESCO Funds Group, Inc. is the investment adviser. The following
INVESTMENT PORTFOLIOS are available under the contract:
INVESCO VIF--High Yield Fund
The objective of this Portfolio is to seek a high level of current
income by investing substantially all of its assets in lower-rated bonds
and other debt securities as well as preferred stock. A secondary goal
is long-term capital appreciation.
INVESCO VIF--Equity Income Fund
This Portfolio seeks capital appreciation with high current income as a
secondary goal. The Portfolio normally invests at least 65 percent of
its assets in dividend paying common and preferred stocks. The remaining
assets are generally invested in income producing securities such as
corporate bonds; however, in order to take advantage of strong equity
markets, there are no limits on the amount of equity securities in which
the Portfolio may invest. The Portfolio may invest up to 30 percent of
its total assets in non-dividend paying common stocks.
LAZARD RETIREMENT SERIES, INC.
Lazard Retirement Series, Inc. is a mutual fund with multiple portfolios.
Lazard Asset Management, a division of Lazard Freres & Co. LLC, a New York
limited liability company, is the investment manager for each portfolio. The
following INVESTMENT PORTFOLIO is available under the contract:
Lazard Retirement Small Cap Portfolio
The Portfolio seeks long-term capital appreciation. It invests primarily
in equity securities, principally common stocks, of relatively small
U.S. companies in the range of the Russell 2000 Index that the manager
believes are undervalued based on their earnings, cash flow or asset
values.
Transfers
You can transfer money among the FIXED ACCOUNTS and the 23 INVESTMENT
PORTFOLIOS.
Telephone Transfers
You can make transfers by telephone. If you own the contract with a JOINT
OWNER, unless BMA is instructed otherwise, BMA will accept instructions from
either you or the other OWNER. BMA will use reasonable procedures to confirm
that instructions given us by telephone are genuine. If BMA fails to use such
procedures, we may be liable for any losses due to unauthorized or fraudulent
instructions. BMA tape records all telephone instructions.
Transfers During the Accumulation Phase
You can make 12 transfers every year during the ACCUMULATION PHASE without
charge. We measure a year from the anniversary of the day we issued your
contract. You can make a transfer to or from the FIXED ACCOUNTS and to or from
any INVESTMENT PORTFOLIO. If you make more than 12 transfers in a year, there
is a transfer fee deducted. The fee is $25 per transfer. The following apply
to any transfer during the ACCUMULATION PHASE:
1. The minimum amount which you can transfer from the INVESTMENT
PORTFOLIO, Fixed Account I or any GUARANTEE PERIOD of Fixed Account II is
$250 or your entire interest in the INVESTMENT PORTFOLIO, Fixed Account I
or GUARANTEE PERIOD of Fixed Account II, if less.
2. We reserve the right to restrict the maximum amount which you can
transfer from any FIXED ACCOUNT option (unless the transfer is from a
GUARANTEE PERIOD of Fixed Account II just
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expiring) to 25% of the amount in Fixed Account I or any GUARANTEE PERIOD
of Fixed Account II. Currently, BMA is waiving this restriction. This
requirement is waived if the transfer is part of the Dollar Cost Averaging,
Asset Allocation or Asset Rebalancing options. This requirement is also
waived if the transfer is to switch your contract to the INCOME PHASE.
3. At its discretion, BMA may refuse transfers to Fixed Account I or
Fixed Account II if the total value of Fixed Accounts I and II is greater
than or equal to 30% of the value of your contract at the time of the
transfer.
4. The minimum amount which must remain in any INVESTMENT PORTFOLIO
after a transfer is $1,000. The minimum amount which must remain in Fixed
Account I or any GUARANTEE PERIOD of Fixed Account II after a transfer is
$5,000.
5. You may not make a transfer until after the end of the free look
period.
6. We reserve the right to restrict the number of transfers per year and
to restrict transfers made on consecutive business days.
Your right to make transfers may be modified if we determine, in our sole
opinion, that the exercise of the transfer right by one or more OWNERS is, or
would be, harmful to other OWNERS.
Transfers During the Income Phase
Each year, during the INCOME PHASE, you can make 4 transfers between the
INVESTMENT PORTFOLIO(s). We measure a year from the anniversary of the day we
issued your contract. You can also make 4 transfers each contract year from the
INVESTMENT PORTFOLIOS to the general account. You may not make a transfer from
the general account to the INVESTMENT PORTFOLIOS. These four transfers each
contract year during the INCOME PHASE are free. If you make more than 4
transfers in a year during the INCOME PHASE, a transfer fee of $25 per transfer
(after the 4 free) will be charged.
Dollar Cost Averaging Option
The Dollar Cost Averaging Option allows you to systematically transfer a set
amount each month from the Money Market Portfolio or Fixed Account I to any of
the other INVESTMENT PORTFOLIO(s). By allocating amounts on a regular schedule
as opposed to allocating the total amount at one particular time, you may be
less susceptible to the impact of market fluctuations.
The minimum amount which can be transferred each month is $ 250. The value of
your contract must be at least $10,000 in order to participate in Dollar Cost
Averaging.
All Dollar Cost Averaging transfers will be made on the 15th day of the
month unless that day is not a business day. If it is not, then the transfer
will be made the next business day. You must participate in Dollar Cost
Averaging for at least 6 months.
If you participate in Dollar Cost Averaging, the transfers made under this
option are not taken into account in determining any transfer fee. Currently,
there is no charge for participating in the Dollar Cost Averaging Option.
No Automatic Withdrawals and Minimum Distributions will be allowed if you
are participating in Dollar Cost Averaging.
Asset Rebalancing Option
Once your money has been allocated among the INVESTMENT PORTFOLIOS, the
performance of each portfolio may cause your allocation to shift. If the value
of your contract is at least $10,000, you can direct us to automatically
rebalance your contract each quarter to return to your original percentage
allocations by selecting our Asset Rebalancing Option.
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The program will ignore any new PURCHASE PAYMENTS or transfers allocated to
portfolios other than the original (or most current) rebalancing portfolio
allocations. You may change your allocations to incorporate new PURCHASE
PAYMENTS or transfers by contacting the BMA Service Center.
The minimum period to participate in this program is 6 months. The transfer
date will be the 15th of the month unless that day is not a business day. If it
is not, then the transfer will be made the next business day. The FIXED ACCOUNT
options are not part of asset rebalancing. Currently, there is no charge for
participating in the Asset Rebalancing Option.
If you participate in the Asset Rebalancing Option, the transfers made under
the program are not taken into account in determining any transfer fee.
Example:
Assume that you want your initial PURCHASE PAYMENT split between 2
INVESTMENT PORTFOLIOS. You want 40% to be in the Intermediate Fixed Income
Portfolio and 60% to be in the Mid Cap Equity Portfolio. Over the next 2 1/2
months the bond market does very well while the stock market performs poorly.
At the end of the first quarter, the Intermediate Fixed Income Portfolio now
represents 50% of your holdings because of its increase in value. If you had
chosen to have your holdings rebalanced quarterly, on the first day of the next
quarter, BMA would sell some of your units in the Intermediate Fixed Income
Portfolio to bring its value back to 40% and use the money to buy more units in
the Mid Cap Equity Portfolio to increase those holdings to 60%.
Asset Allocation Option
BMA recognizes the value to certain OWNERS of having available, on a
continuous basis, advice for the allocation of your money among the investment
options available under the contract.
Even though BMA may allow the use of approved Asset Allocation Programs, the
contract was not designed for professional market timing organizations.
Repeated patterns of frequent transfers are disruptive to the operations of the
INVESTMENT PORTFOLIOS, and should BMA become aware of such disruptive
practices, we may modify the transfer provisions of the contract.
If you participate in an approved Asset Allocation Program, the transfers
made under the program will not be taken into account in determining any
transfer fee. Currently, BMA does not charge for participating in an Asset
Allocation Program.
Voting Rights
BMA is the legal owner of the INVESTMENT PORTFOLIO shares. However, BMA
believes that when an INVESTMENT PORTFOLIO solicits proxies in conjunction with
a vote of shareholders, it is required to obtain from you and other OWNERS
instructions as to how to vote those shares. When we receive those
instructions, we will vote all of the shares we own in proportion to those
instructions. This will also include any shares that BMA owns on its own
behalf. Should BMA determine that it is no longer required to comply with the
above, it will vote the shares in its own right.
Substitution
BMA may be required to substitute one of the INVESTMENT PORTFOLIOS you have
selected with another portfolio. We would not do this without the prior
approval of the Securities and Exchange Commission. We will give you notice of
our intent to do this. We may also limit further investment in an INVESTMENT
PORTFOLIO if we deem the investment inappropriate.
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5. EXPENSES
There are charges and other expenses associated with the contracts that
reduce the return on your investment in the contract. These charges and
expenses are:
Coverage Charge
Each day, BMA makes a deduction for its coverage charge. BMA does this as
part of its calculation of the value of the ACCUMULATION UNITS and the ANNUITY
UNITS. The amount of the charge depends upon whether you elected the Additional
Death Benefit Option (ADBO).
The chart below tells you the amount, on an annual basis, of the coverage
charge for your contract. It is a percentage of the average daily value of the
contract invested in an INVESTMENT PORTFOLIO.
<TABLE>
<S> <C>
If you elect the ADBO............................. 1.45%
If you do not elect the ADBO...................... 1.25%
</TABLE>
In certain states, the ADBO may not be available. Check with your registered
representative regarding availability. If you purchased your contract before
May 3, 1999, the ADBO is not available.
We reserve the right to increase the coverage charge but it will never be
more than 1.75% of the average daily value of the contract invested in an
INVESTMENT PORTFOLIO.
This charge is for all the insurance benefits e.g., guarantee of annuity
rates, the death benefit, and for assuming the risk that the current charges
will be insufficient in the future to cover the cost of administering the
contract. This charge is also for administrative expenses, including
preparation of the contract, confirmations, annual statements, maintenance of
contract records, personnel costs, legal and accounting fees, filing fees and
computer and system costs and certain distribution expenses.
Contract Maintenance Charge
During the ACCUMULATION PHASE, every year on the anniversary of the date
when your contract was issued, BMA deducts $35 from your contract as a contract
maintenance charge. If you make a complete withdrawal from your contract, the
charge will also be deducted. A pro rata portion of the charge will be deducted
if the ANNUITY DATE is other than an anniversary. We reserve the right to
increase this charge but it will never be more than $60 each year. This charge
is for administrative expenses.
BMA will not deduct this charge, if when the deduction is to be made, the
value of your contract is $100,000 or more. If you own more than one BMA
contract, we will determine the total value of all your contracts (except in
South Carolina). If the OWNER is a non-natural person (e.g., a corporation), we
will look to the ANNUITANT to determine this information. BMA may some time in
the future discontinue this practice and deduct the charge.
After the ANNUITY DATE, the charge will be collected monthly out of each
ANNUITY PAYMENT regardless of the size of the contract.
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Withdrawal Charge
During the ACCUMULATION PHASE, you can make withdrawals from your contract.
BMA keeps track of each PURCHASE PAYMENT. The withdrawal charge is equal to:
<TABLE>
<CAPTION>
Number of Complete Years Withdrawal
From Date of PURCHASE PAYMENT Charge
----------------------------- ----------
<S> <C>
0.............................................................. 7%
1.............................................................. 6%
2.............................................................. 5%
3.............................................................. 4%
4.............................................................. 3%
5.............................................................. 2%
6.............................................................. 1%
7 and thereafter............................................... 0%
</TABLE>
After BMA has had a PURCHASE PAYMENT for 7 years, there is no charge when
you withdraw that PURCHASE PAYMENT. For purposes of the withdrawal charge, BMA
treats withdrawals as coming from the oldest PURCHASE PAYMENT first. When the
withdrawal is for only part of the value of your contract, the withdrawal
charge is deducted from the remaining value in your contract.
Free Withdrawal Amount
The first 10% of the contract value withdrawn (free withdrawal amount) is
not subject to the withdrawal charge (unless you have already made another
withdrawal during that same contract year), if on the day you make your
withdrawal, the value of your contract is $10,000 or more. A withdrawal charge
will be assessed against each PURCHASE PAYMENT withdrawn in excess of the free
withdrawal amount and will result in a reduction in remaining contract value.
The withdrawal charge and the free withdrawal amount are calculated at the time
of each withdrawal.
BMA does not assess the withdrawal charge on any amounts paid out as death
benefits or as ANNUITY PAYMENTS if a life ANNUITY OPTION or another option with
an ANNUITY PAYMENT period of more than 5 years is selected.
NOTE: For tax purposes, withdrawals are considered to have come from the
last money into the contract. Thus, for tax purposes, earnings are considered
to come out first.
The withdrawal charge compensates us for expenses associated with selling
the contract. Commissions will be paid to broker-dealers who sell the
contracts. In no event are commissions deducted from your PURCHASE PAYMENTS or
contract value. Rather, BMA pays commissions to the selling broker-dealer.
Broker-dealers will be paid commissions of up to 6% of PURCHASE PAYMENTS.
Sometimes, BMA may enter into an agreement with the broker-dealer to pay the
broker-dealer commissions as a combination of a certain amount of the
commission at the time of sale and a trail commission (which when totaled will
not exceed 6% of PURCHASE PAYMENTS). BMA may, from time to time, pay
promotional cash incentives that increase the amount of compensation.
Waiver of Withdrawal Charge Benefits
Under certain circumstances, after the first year, BMA will allow you to
take your money out of the contract without deducting the withdrawal charge:
1) if you become confined to a long term care facility, nursing facility
or hospital for at least 90 consecutive days;
2) if you become totally disabled;
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3) if you become terminally ill (which means that you are not expected
to live more than 12 months);
4) if you are involuntarily unemployed for at least 90 consecutive days;
or
5) if you get divorced.
These benefits may not be available in your state.
Reduction or Elimination of the Withdrawal Charge
BMA will reduce or eliminate the amount of the withdrawal charge when the
contract is sold under circumstances which reduce its sales expense. Some
examples are: if there is a large group of individuals that will be purchasing
the contract or a prospective purchaser already had a relationship with BMA.
BMA will not deduct a withdrawal charge under a contract issued to an officer,
director or employee of BMA or any of its affiliates.
Premium Taxes
Some states and other governmental entities (e.g., municipalities) charge
premium taxes or similar taxes. BMA is responsible for the payment of these
taxes and will make a deduction from the value of the contract for them. Some
of these taxes are due when the contract is issued, others are due when
ANNUITY PAYMENTS begin.
It is BMA's current practice, for all states except South Dakota, to not
charge anyone for these taxes until ANNUITY PAYMENTS begin. In South Dakota,
BMA will assess a charge equal to the amount of the premium tax at the time
each PURCHASE PAYMENT is made.
BMA may some time in the future discontinue this practice and assess the
charge when the tax is due. Premium taxes generally range from 0% to 4%,
depending on the state.
Transfer Fee
You can make 12 free transfers every year during the ACCUMULATION PHASE and
4 free transfers every year during the INCOME PHASE. We measure a year from
the day we issue your contract. If you make more than 12 transfers a year
during the ACCUMULATION PHASE or more than 4 transfers a year during the
INCOME PHASE, we will deduct a transfer fee of $25. The transfer fee is
deducted from the amount which is transferred. The transfer fee is for
expenses in connection with transfers.
If the transfer is part of the Dollar Cost Averaging Option, the Asset
Rebalancing Option or an approved Asset Allocation Program, it will not count
in determining the transfer fee.
Income Taxes
BMA will deduct from the contract for any income taxes which it incurs
because of the contract. At the present time, we are not making any such
deductions.
Investment Portfolio Expenses
There are deductions from and expenses paid out of the assets of the
various INVESTMENT PORTFOLIOS, which are described in the fund prospectuses.
6. TAXES
NOTE: BMA has prepared the following information on taxes as a general
discussion of the subject. It is not intended as tax advice to any individual.
You should consult your own tax adviser about your own circumstances. BMA has
included in the Statement of Additional Information an additional discussion
regarding taxes.
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Annuity Contracts In General
Annuity contracts are a means of setting aside money for future needs
usually retirement. Congress recognized how important saving for retirement was
and provided special rules in the Internal Revenue Code (Code) for annuities.
Simply stated, these rules provide that you will not be taxed on the
earnings on the money held in your annuity contract until you take the money
out. This is referred to as TAX DEFERRAL. There are different rules as to how
you will be taxed depending on how you take the money out and the type of
contract (QUALIFIED or NON-QUALIFIED, see the following sections).
You, as the OWNER, will not be taxed on increases in the value of your
contract until a distribution occurs--either as a withdrawal or as ANNUITY
PAYMENTS. When you make a withdrawal you are taxed on the amount of the
withdrawal that is earnings. For ANNUITY PAYMENTS, different rules apply. A
portion of each ANNUITY PAYMENT is treated as a partial return of your PURCHASE
PAYMENTS and will not be taxed. The remaining portion of the ANNUITY PAYMENT
will be treated as ordinary income. How the ANNUITY PAYMENT is divided between
taxable and non-taxable portions depends upon the period over which the ANNUITY
PAYMENTS are expected to be made. ANNUITY PAYMENTS received after you have
received all of your PURCHASE PAYMENTS are fully includible in income.
When a NON-QUALIFIED contract is owned by a non-natural person (e.g.,
corporation or certain other entities other than a trust holding the contract
as an agent for a natural person), the contract will generally not be treated
as an annuity for tax purposes.
Qualified and Non-Qualified Contracts
If you purchase the contract as an individual and not an Individual
Retirement Annuity (IRA), your contract is referred to as a NON-QUALIFIED
contract.
If you purchase the contract under an IRA, your contract is referred to as a
QUALIFIED contract.
A qualified contract will not provide any necessary or additional tax
deferral if it is used to fund a qualified plan that is tax deferred. However,
the contract has features and benefits other than tax deferral that make it an
important investment for a qualified plan. You should consult your tax adviser
regarding these features and benefits prior to purchasing a qualified contract.
Withdrawals--Non-Qualified Contracts
If you make a withdrawal from your non-qualified contract, the Code treats
such a withdrawal as first coming from earnings and then from your PURCHASE
PAYMENTS. Such withdrawn earnings are includible in income.
The Code also provides that any amount received under an annuity contract
which is included in income may be subject to a penalty. The amount of the
penalty is equal to 10% of the amount that is includible in income. Some
withdrawals will be exempt from the penalty. They include any amounts:
(1)paid on or after the taxpayer reaches age 59 1/2;
(2)paid after you die;
(3)paid if the taxpayer becomes totally disabled (as that term is
defined in the Code);
(4) paid in a series of substantially equal payments made annually (or
more frequently) for life or a period not exceeding life
expectancy;
(5)paid under an immediate annuity; or
(6)which come from PURCHASE PAYMENTS made prior to August 14, 1982.
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Withdrawals--Qualified Contracts
If you make a withdrawal from your qualified contract, a portion of the
withdrawal is treated as taxable income. This portion depends on the ratio of
pre-tax purchase payments to the after-tax purchase payments in your contract.
If all of your purchase payments were made with pre-tax money then the full
amount of any withdrawal is includible in taxable income. Special rules may
apply to withdrawals from certain types of qualified contracts.
The Code also provides that any amount received under a qualified contract
which is included in income may be subject to a penalty. The amount of the
penalty is equal to 10% of the amount that is includible in income. Some
withdrawals will be exempt from the penalty. They include any amounts:
(1) paid on or after you reach age 59 1/2;
(2) paid after you die;
(3) paid if you become totally disabled (as that term is defined in the
Code);
(4) paid in a series of substantially equal periodic payments made
annually (or more frequently) under a lifetime annuity;
(5) paid for certain allowable medical expenses (as defined in the
Code);
(6) paid on account of an IRS levy upon the qualified contract;
(7) paid from an IRA for medical insurance (as defined in the Code);
(8) paid from an IRA for qualified higher education expenses; or
(9) paid from an IRA for up to $10,000 for qualified first-time
homebuyer expenses (as defined in the Code).
We have provided a more complete discussion in the Statement of Additional
Information.
Death Benefits
Any death benefits paid under the contract are taxable to the BENEFICIARY.
The rules governing the taxation of payments from an annuity contract, as
discussed above, generally apply to the payment of death benefits and depend on
whether the death benefits are paid as a lump sum or as ANNUITY PAYMENTS.
Diversification
The Code provides that the underlying investments for a variable annuity
must satisfy certain diversification requirements in order to be treated as an
annuity contract. BMA believes that the INVESTMENT PORTFOLIOS are being managed
so as to comply with the requirements.
Neither the Code nor the Internal Revenue Service Regulations issued to date
provide guidance as to the circumstances under which you, because of the degree
of control you exercise over the underlying investments, and not BMA, would be
considered the owner of the shares of the INVESTMENT PORTFOLIOS. If you are
considered the owner of the shares, it will result in the loss of the favorable
tax treatment for the contract. It is unknown to what extent under federal tax
law OWNERS are permitted to select INVESTMENT PORTFOLIOS, to make transfers
among the INVESTMENT PORTFOLIOS or the number and type of INVESTMENT PORTFOLIOS
OWNERS may select from without being considered the owner of the shares. If any
guidance is provided which is considered a new position, then the guidance
would generally be applied prospectively. However, if such guidance is
considered not to be a new position, it may be applied retroactively. This
would mean that you, as the OWNER of the contract, could be treated as the
OWNER of the INVESTMENT PORTFOLIOS.
Due to the uncertainty in this area, BMA reserves the right to modify the
contract in an attempt to maintain favorable tax treatment.
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<PAGE>
7. ACCESS TO YOUR MONEY
You can have access to the money in your contract:
(1) by making a withdrawal (either a partial or a complete withdrawal);
(2) by electing to receive ANNUITY PAYMENTS; or
(3) when a death benefit is paid to your BENEFICIARY.
Withdrawals can only be made during the ACCUMULATION PHASE.
When you make a complete withdrawal you will receive the value of the
contract on the day you made the withdrawal:
. less any applicable withdrawal charge,
. less any premium tax,
. less any contract maintenance charge, and
. less an interest adjustment (for amounts allocated to Fixed Account II),
if applicable.
(See Section 5. Expenses for a discussion of the charges.)
Unless you instruct BMA otherwise, any partial withdrawal will be made pro
rata from all the INVESTMENT PORTFOLIO(S) and the FIXED ACCOUNT option(s) you
selected. Under most circumstances the amount of any partial withdrawal must be
for at least $1,000 (withdrawals made pursuant to the automatic withdrawal
program and the minimum distribution option are not subject to this minimum).
BMA requires that after a partial withdrawal is made you keep at least $1,000
in any INVESTMENT PORTFOLIO and $5,000 in Fixed Account I or any GUARANTEE
PERIOD of Fixed Account II. BMA also requires that after a partial withdrawal
is made you keep at least $10,000 in your contract.
We will pay the amount of any withdrawal from the INVESTMENT PORTFOLIOS
within 7 days of a receipt in good order of your request unless the suspension
or deferral of payments or transfers provision is in effect (see Section 10--
Other Information--Suspension of Payments or Transfers). Use of a certified
check to purchase the contract may expedite the payment of your withdrawal
request if the withdrawal request is soon after your payment by certified
check.
Income taxes and tax penalties may apply to any withdrawal you make.
Automatic Withdrawal Program
The Automatic Withdrawal Program provides periodic payments to you. Each
payment must be for at least $250. You may select to have payments made
monthly, quarterly, semi-annually or annually. The first 10% of the contract
value withdrawn is not subject to the withdrawal charge. A withdrawal charge
will be applied to any withdrawals in excess of the first 10% withdrawn and
will result in a reduction in remaining contract value. If you use this
program, you may not make any other withdrawals (including a partial
withdrawal). For a discussion of the withdrawal charge and the 10% free
withdrawal, see Section 5. Expenses.
All Automatic Withdrawals will be made on the 15th day of the month unless
that day is not a business day. If it is not, then the payment will be the next
business day.
No Minimum Distribution payments and/or Dollar Cost Averaging transfers will
be allowed if you are participating in the Automatic Withdrawal Program.
Income taxes and tax penalties may apply to automatic withdrawals.
Minimum Distribution Program
If you own an IRA contract, you may select the Minimum Distribution Program.
Under this program, BMA will make payments to you from your contract that are
designed to meet the applicable minimum
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<PAGE>
distribution requirements imposed by the Internal Revenue Code for QUALIFIED
plans. BMA will make payments to you periodically (currently, monthly,
quarterly, semi-annually or annually). The payments will not be subject to the
withdrawal charge and will be instead of the 10% single free withdrawal amount
each year.
No Dollar Cost Averaging transfers or Automatic Withdrawals will be allowed
if you are participating in the Minimum Distribution Program.
Suspension of Payments or Transfers
BMA may be required to suspend or postpone payments for withdrawals or
transfers for any period when:
1. the New York Stock Exchange is closed (other than customary weekend
and holiday closings);
2. trading on the New York Stock Exchange is restricted;
3. an emergency exists as a result of which disposal of shares of the
INVESTMENT PORTFOLIOS is not reasonably practicable or BMA cannot
reasonably value the shares of the INVESTMENT PORTFOLIOS;
4. during any other period when the Securities and Exchange Commission,
by order, so permits for the protection of OWNERS.
BMA has reserved the right to defer payment for a withdrawal or transfer
from the FIXED ACCOUNTS for the period permitted by law but not for more than
six months.
8. PERFORMANCE
BMA may periodically advertise performance of the various INVESTMENT
PORTFOLIOS. BMA will calculate performance by determining the percentage
change in the value of an ACCUMULATION UNIT by dividing the increase
(decrease) for that unit by the value of the ACCUMULATION UNIT at the
beginning of the period. This performance number reflects the deduction of the
coverage charge and the fees and expenses of the INVESTMENT PORTFOLIO. It does
not reflect the deduction of any applicable contract maintenance charge and
withdrawal charge. The deduction of any applicable contract maintenance charge
and withdrawal charge would reduce the percentage increase or make greater any
percentage decrease. Any advertisement will also include average annual total
return figures which will reflect the deduction of the coverage charge,
contract maintenance charges, withdrawal charges as well as the fees and
expenses of the INVESTMENT PORTFOLIO.
BMA may also advertise the historical performance of certain INVESTMENT
PORTFOLIOS whose inception dates precede the date the ACCUMULATION UNITS of
your contract invested in the Portfolio.
BMA may advertise yield information. If it does, it will provide you with
information regarding how yield is calculated.
BMA may, from time to time, include in its advertising and sales materials,
tax deferred compounding charts and other hypothetical illustrations, which
may include comparisons of currently taxable and tax deferred investment
programs, based on selected tax brackets.
More detailed information regarding how performance is calculated is found
in the SAI.
Future performance will vary and the results shown are not necessarily
representative of future results.
9. DEATH BENEFIT
Upon Your Death
If you die during the ACCUMULATION PHASE, BMA will pay a death benefit to
your BENEFICIARY (see below). If you have a JOINT OWNER, the death benefit
will be paid when the first of you dies. The surviving JOINT OWNER will be
treated as the BENEFICIARY.
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<PAGE>
The amount of the death benefit depends on how old you are on the day we
issue your contract. If BMA issues your contract prior to your 80th birthday,
the death benefit will be:
During the first contract year, the greater of:
(1) the payments you have made, less any money you have taken out and
related withdrawal charges;
or
(2) the value of your contract.
During the second and subsequent contract years, the greater of:
(1) the payments you have made, less any money you have taken out and
related withdrawal charges;
or
(2) the value of your contract; or
(3) the highest year end death benefit value. The year end death benefit
value is the Contract value on the last day of each Contract year prior to
your 81st birthday, plus payments you have made, less withdrawals and
charges since that day.
If BMA issues your contract on or after your 80th birthday, the death
benefit will be the greater of:
(1) the payments you have made, less any money you have taken out and
related withdrawal charges;
or
(2) the value of your contract.
THE ABOVE DEATH BENEFIT MAY NOT BE AVAILABLE IN YOUR STATE, in which case,
the death benefit will be the greater of:
1. total PURCHASE PAYMENTS, less withdrawals (and any withdrawal charges
paid on the withdrawals);
or
2. the value of your contract at the time the death benefit is to be
paid.
Additional Death Benefit Option (ADBO)
If you bought your contract on or after May 3, 1999, you can elect the ADBO
at the time you buy the contract. The ADBO may not be available in your state
(check with your registered representative regarding the availability of the
Additional Death Benefit Option). We will determine the benefit as of the date
we receive at our Service Center proof of death, an authorized request for
payment and any other necessary information for a payment option.
The Additional Death Benefit is equal to 15% of the excess of: the
"Additional Death Benefit Ending Value" over the "Additional Death Benefit
Base Value" (as defined below).
If the BENEFICIARY is your spouse, is under age 81 and elects to continue
the contract after you die, the Additional Death Benefit will be added to the
contract value on the date your spouse elects to continue the contract. In
that case, a second Additional Death Benefit will apply to the continued
contract. We deem any election to continue the contract valid on the date we
receive an authorized request at our Service Center. The second Additional
Death Benefit is equal to 15% of the excess of your spouse's "Additional Death
Benefit Ending Value" over his or her "Additional Death Benefit Base Value"
(as defined below). If your spouse is 81 or older at the time we receive proof
of your death, your spouse may continue the contract, but there will not be a
second Additional Death Benefit.
Additional Death Benefit Base Value means:
. For the OWNER, the sum of the PURCHASE PAYMENTS made.
30
<PAGE>
. For your surviving spouse, the contract value on the date of his or her
election to continue the contract, including all death benefits for the
OWNER plus any PURCHASE PAYMENTS that were made after the date of the
election.
Additional Death Benefit Ending Value means the lesser of:
. The contract value on the date BMA receives at its Service Center proof
of death and any other necessary information; and
. The contract value on the decedent's 81st birthday, if BMA receives at
its Service Center proof of death after the decedent's 81st birthday.
If you select the ADBO, the coverage charge for your contract will be higher
than it would have been without this benefit and currently, the interest rate
we credit on amounts you have allocated to Fixed Account II will be reduced.
Appendix B to this prospectus contains examples of how the Additional Death
Benefit is calculated.
The entire death benefit must be paid within 5 years of the date of death
unless the BENEFICIARY elects to have the death benefit payable under an
ANNUITY OPTION. The death benefit payable under an ANNUITY OPTION must be paid
over the BENEFICIARY'S lifetime or for a period not extending beyond the
BENEFICIARY'S life expectancy. Payment must begin within one year of the date
of death. If the BENEFICIARY is the spouse of the OWNER, he/she can continue
the contract in his/her own name. Payment to the BENEFICIARY (other than a lump
sum) may only be elected during the 60 day period beginning with the date we
receive proof of death. If a lump sum payment is elected and all the necessary
requirements are met, the payment will be made within 7 days.
If you or any JOINT OWNER dies during the INCOME PHASE (and you are not the
ANNUITANT) any remaining payments under the ANNUITY OPTION chosen will continue
at least as rapidly as under the method of distribution in effect at the time
of death. If you die during the INCOME PHASE, the BENEFICIARY becomes the
OWNER.
See Section 6. Taxes--Death Benefits regarding the tax treatment of death
proceeds.
Death of Annuitant
If the ANNUITANT, who is not an OWNER or JOINT OWNER, dies during the
ACCUMULATION PHASE, you can name a new ANNUITANT. If no ANNUITANT is named
within 30 days of the death of the ANNUITANT, you will become the ANNUITANT.
However, if the OWNER is a non-natural person (for example, a corporation),
then the death of the ANNUITANT will be treated as the death of the OWNER, and
a new ANNUITANT may not be named.
Upon the death of the ANNUITANT during the INCOME PHASE, the death benefit,
if any, will be as provided for in the ANNUITY OPTION selected. The death
benefits will be paid at least as rapidly as under the method of distribution
in effect at the ANNUITANT'S death.
10. OTHER INFORMATION
BMA
Business Men's Assurance Company of America (BMA), BMA Tower, 700 Karnes
Blvd., Kansas City, Missouri 64108 was incorporated in 1909 under the laws of
the state of Missouri. BMA is licensed in the District of Columbia, Puerto Rico
and all states except New York. BMA is a wholly owned subsidiary of
Assicurazioni Generali S.p.A., which is the largest insurance organization in
Italy.
BMA's obligations arising under the contracts are general obligations of
BMA.
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The Separate Account
BMA has established a separate account, BMA Variable Annuity Account A
(Separate Account), to hold the assets that underlie the contracts. The Board
of Directors of BMA adopted a resolution to establish the Separate Account
under Missouri insurance law on September 9, 1996. We have registered the
Separate Account with the Securities and Exchange Commission as a unit
investment trust under the Investment Company Act of 1940. The Separate Account
is divided into sub-accounts.
The assets of the Separate Account are held in BMA's name on behalf of the
Separate Account and legally belong to BMA. However, those assets that underlie
the contracts, are not chargeable with liabilities arising out of any other
business BMA may conduct. All the income, gains and losses (realized or
unrealized) resulting from these assets are credited to or charged against the
contracts and not against any other contracts BMA may issue.
Distributor
Jones & Babson, Inc., acts as the distributor of the contracts. Jones &
Babson, Inc. is a wholly owned subsidiary of BMA.
Administration
BMA has hired NAVISYS (formerly GENELCO, Incorporated), 9735 Landmark
Parkway Drive, St. Louis, Missouri to perform certain administrative services
regarding the contracts. The administrative services include issuance of the
contracts and maintenance of contract owners' records.
Ownership
Owner. You, as the OWNER of the contract, have all the rights under the
contract. The OWNER is as designated at the time the contract is issued, unless
changed. The BENEFICIARY becomes the OWNER upon the death of the OWNER.
Joint Owner. The contract can be owned by JOINT OWNERS. Any JOINT OWNER must
be the spouse of the other OWNER (except in Pennsylvania and Oregon). Upon the
death of either JOINT OWNER, the surviving OWNER will be the primary
BENEFICIARY. Any other BENEFICIARY designation will be treated as a contingent
BENEFICIARY unless otherwise indicated.
Beneficiary
The BENEFICIARY is the person(s) or entity you name to receive any death
benefit. The BENEFICIARY is named at the time the contract is issued unless
changed at a later date. Unless an irrevocable BENEFICIARY has been named, you
can change the BENEFICIARY at any time before you die.
Assignment
You can assign the contract at any time during your lifetime. BMA will not
be bound by the assignment until it receives the written notice of the
assignment. We will not be liable for any payment or other action we take in
accordance with the contract before we receive notice of the assignment. An
assignment may be a taxable event.
If the contract is issued pursuant to a QUALIFIED plan, there may be
limitations on your ability to assign the contract.
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Financial Statements
The financial statements of BMA and the Separate Account have been included
in the Statement of Additional Information.
Table of Contents of The
Statement of Additional Information
<TABLE>
<S> <C>
Company
Experts
Legal Opinions
Distributor
Reduction or Elimination of Withdrawal Charge
Calculation of Performance Data
Federal Tax Status
Annuity Provisions
Mortality and Expense Guarantee
Financial Statements
</TABLE>
33
<PAGE>
APPENDIX A - CONDENSED FINANCIAL INFORMATION
ACCUMULATION UNIT Value History--The following schedule includes
ACCUMULATION UNIT values for the years or periods ended December 31, 1999 and
1998. This data has been extracted from the Separate Account's audited December
31, 1999 financial statements. This information should be read in conjunction
with the Separate Account's financial statements and related notes which are
included in the Statement of Additional Information. There is no ACCUMULATION
UNIT value history for contracts with a 1.45% coverage charge because as of
December 31, 1999, there were no contracts in force with this coverage charge.
Therefore, there are no ACCUMULATION UNIT values for contracts with that
coverage charge for the periods shown below.
<TABLE>
<CAPTION>
Contracts with 1.25%
Coverage Charge
--------------------
Year Period from
Ended 9/6/98 to
12/31/99 12/31/98
-------- -----------
<S> <C> <C>
INVESTORS MARK SERIES FUND, INC.:
MONEY MARKET SUB-ACCOUNT
Unit value at beginning of period........................ $10.0910 $ 10.00
Unit value at end of period.............................. $10.7272 $10.0910
No. of ACCUMULATION UNITS Outstanding at end of period... 6,648 17,747
INTERMEDIATE FIXED INCOME SUB-ACCOUNT
Unit value at beginning of period........................ $10.0531 $ 10.00
Unit value at end of period.............................. $10.3128 $10.0531
No. of ACCUMULATION UNITS Outstanding at end of period... 28,681 0
GLOBAL FIXED INCOME SUB-ACCOUNT
Unit value at beginning of period........................ $10.1741 $ 10.00
Unit value at end of period.............................. $10.6143 $10.1741
No. of ACCUMULATION UNITS Outstanding at end of
period................................................... 5,890 0
MID CAP EQUITY SUB-ACCOUNT
Unit value at beginning of period........................ $12.0489 $ 10.00
Unit value at end of period.............................. $10.7602 $12.0489
No. of ACCUMULATION UNITS Outstanding at end of period... 37,267 6,884
SMALL CAP EQUITY SUB-ACCOUNT
Unit value at beginning of period........................ $11.6860 $ 10.00
Unit value at end of period.............................. $12.8633 $11.6860
No. of ACCUMULATION UNITS Outstanding at end of period... 29,139 6,990
LARGE CAP GROWTH SUB-ACCOUNT
Unit value at beginning of period........................ $12.1679 $ 10.00
Unit value at end of period.............................. $17.0939 $12.1679
No. of ACCUMULATION UNITS Outstanding at end of period... 24,654 8,207
LARGE CAP VALUE SUB-ACCOUNT
Unit value at beginning of period........................ $11.3245 $ 10.00
Unit value at end of period.............................. $9.9680 $11.3245
No. of ACCUMULATION UNITS Outstanding at end of period... 47,627 7,921
GROWTH & INCOME SUB-ACCOUNT
Unit value at beginning of period........................ $11.9485 $ 10.00
Unit value at end of period.............................. $12.7758 $11.9485
No. of ACCUMULATION UNITS Outstanding at end of period... 51,979 1,966
BALANCED SUB-ACCOUNT
Unit value at beginning of period........................ $10.5555 $ 10.00
Unit value at end of period.............................. $ 9.9724 $10.5555
No. of ACCUMULATION UNITS Outstanding at end of period... 41,270 0
</TABLE>
A-1
<PAGE>
<TABLE>
<CAPTION>
Contracts with 1.25%
Coverage Charge
--------------------
Year Period from
Ended 9/6/98 to
12/31/99 12/31/98
-------- -----------
<S> <C> <C>
BERGER INSTITUTIONAL PRODUCTS TRUST:
BERGER IPT--INTERNATIONAL SUB-ACCOUNT
Unit value at beginning of period........................ $11.2656 $ 10.00
Unit value at end of period.............................. $15.4324 $11.2656
No. of ACCUMULATION UNITS Outstanding at end of period... 35,993 938
DREYFUS STOCK INDEX SUB-ACCOUNT:
Unit value at beginning of period........................ $ 10.00 $ 0
Unit value at end of period.............................. $11.8936 $ 10.00
No. of ACCUMULATION UNITS Outstanding at end of period... 3,788 0
DREYFUS VARIABLE INVESTMENT FUND:
DREYFUS VIF DISCIPLINED STOCK SUB-ACCOUNT
Unit value at beginning of period........................ $ 10.00 $ 0
Unit value at end of period.............................. $11.6811 $ 10.00
No. of ACCUMULATION UNITS Outstanding at end of period... 9,494 0
INVESCO VARIABLE INVESTMENT FUNDS, INC.:
INVESCO VIF--HIGH YIELD SUB-ACCOUNT
Unit value at beginning of period........................ $ 10.00 $ 0
Unit value at end of period.............................. $10.7689 $ 10.00
No. of ACCUMULATION UNITS Outstanding at end of period... 7,453 0
INVESCO VIF--EQUITY INCOME SUB-ACCOUNT
Unit value at beginning of period........................ $ 10.00 $ 0
Unit value at end of period.............................. $11.3253 $ 10.00
No. of ACCUMULATION UNITS Outstanding at end of period... 2,016 0
LAZARD RETIREMENT SERIES, INC.:
LAZARD RETIREMENT SMALL CAP SUB-ACCOUNT
Unit value at beginning of period........................ $ 10.00 $ 0
Unit value at end of period.............................. $10.3673 $ 10.00
No. of ACCUMULATION UNITS Outstanding at end of period... 6,992 0
AMERICAN CENTURY VARIABLE PORTFOLIOS, INC.:
VP INCOME & GROWTH SUB-ACCOUNT
Unit value at beginning of period........................ $ 10.00 $ 0
Unit value at end of period.............................. $11.6388 $ 10.00
No. of ACCUMULATION UNITS Outstanding at end of period... 10,395 0
VP VALUE SUB-ACCOUNT
Unit value at beginning of period........................ $ 10.00 $ 0
Unit value at end of period.............................. $ 9.7779 $ 10.00
No. of ACCUMULATION UNITS Outstanding at end of period... 10,905 0
</TABLE>
There are no accumulation unit values shown for sub-accounts investing The
Alger American Fund, Variable Insurance Products Fund and Variable Insurance
Products Fund II because they were not available under the contracts until May
1, 2000.
A-2
<PAGE>
APPENDIX B--ADDITIONAL DEATH BENEFIT OPTION
The following examples show you how we calculate the additional death
benefit (ADB) if you elect the Additional Death Benefit Option.
EXAMPLE #1
Owner purchases contract at age 50;
Spouse, who is age 45, is named BENEFICIARY;
Total PURCHASE PAYMENTS at death of $100,000;
OWNER dies at age 70, with contract value of $250,000.
The Additional Death Benefit payable to the BENEFICIARY would be $22,500.
This is determined by .15 x [ADB Ending Value ($250,000) - ADB Base Value
($100,000)]--i.e. .15 x $150,000. If the basic death benefit under the contract
were equal to the contract value, the total death benefit would be $272,500.
EXAMPLE #2
Same assumptions as Example #1, except that surviving spouse elects to
continue the contract.
The contract value ($250,000) on the date of election to continue the
contract would be increased by $22,500 to $272,500. The ADB Base Value would be
$272,500. Assume the surviving spouse dies at age 75, no additional PURCHASE
PAYMENTS were made, and the contract value was $400,000. The second Additional
Death Benefit payable to the current BENEFICIARY would be $19,125. This is
determined by .15 x [ADB Ending Value ($400,000) - spouse's ADB Base Value
($272,500)]--i.e. .15 x $127,500. If the basic death benefit were equal to the
contract value, the total death benefit would be $419,125.
EXAMPLE #3
Owner purchases contract at age 70;
Spouse who is also age 70 is named as BENEFICIARY;
PURCHASE PAYMENTS total $100,000;
OWNER dies at age 85 with a contract value of $250,000;
The contract value on the OWNER'S 81st birthday was $200,000.
The Additional Death Benefit payable to the BENEFICIARY would be $15,000.
This is determined by .15 x [ADB Ending Value ($200,000, since the value at the
Owner's 81st birthday is less than the value at death) - ADB Base Value
($100,000)]--i.e. .15 x $100,000. If the basic death benefit under the contract
were equal to the contract value, the total death benefit would be $265,000. If
the surviving spouse elects to continue the contract, the contract value would
be increased to $265,000. However, since the surviving spouse is older than age
80, there would be no second Additional Death Benefit at his/her death.
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Detach and mail to:
BUSINESS MEN'S ASSURANCE COMPANY OF AMERICA
9735 LANDMARK PARKWAY DRIVE
ST. LOUIS, MO 63127-1690
Please send me, at no charge, the Statement of Additional Information dated
May 1, 2000 for the Annuity Contract issued by BMA.
(Please print or type and fill in all information)
________________________________________________________________________________
Name
________________________________________________________________________________
Address
________________________________________________________________________________
City State Zip Code
Business Men's Assurance Company of America
P.O. Box 412879 / Kansas City, MO 64141
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B-3
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[BMA LOGO]
Business Men's Assurance Company of America
P.O. Box 412879 / Kansas City, MO 64141
This cover is not part of the prospectus.
