<PAGE> 1
NORTHWESTERN MUTUAL LIFE VARIABLE ANNUITY ACCOUNT B
SEMI-ANNUAL REPORT DATED JUNE 30, 1996
PERFORMANCE SUMMARY AS OF JUNE 30, 1996 (REVISED)
FRONT LOAD CONTRACT
<TABLE>
<CAPTION>
GROWTH & AGGRESSIVE
TOTAL RETURN INDEX 500 GROWTH INCOME GROWTH INTERNATIONAL SELECT HIGH YIELD MONEY
AT UNIT VALUE STOCK STOCK STOCK STOCK EQUITY BOND BOND MARKET BALANCED
(AS OF 6/30/96) PORTFOLIO PORTFOLIO PORTFOLIO PORTFOLIO PORTFOLIO PORTFOLIO PORTFOLIO PORTFOLIO PORTFOLIO
--------- --------- -------- ---------- ------------- --------- ---------- --------- --------
<S> <C> <C> <C> <C> <C> <C> <C> <C> <C>
1 year............ 20.37% 20.84% 14.69% 36.90% 10.38% 0.40% 6.82% 0.85% 10.83%
5 years........... 91.24% -- -- 159.54% -- 40.67% -- 14.91% 60.38%
Annualized...... 13.85% -- -- 21.02% -- 7.06% -- 2.82% 9.91%
10 years.......... -- -- -- -- -- 99.19% -- 58.54% 134.35%
Annualized...... -- -- -- -- -- 7.13% -- 4.72% 8.89%
Since inception... 121.43%* 39.29%# 33.64%# 224.41%* 46.69%+ -- 21.67%# -- --
Annualized...... 15.33% 16.59% 14.38% 23.51% 12.86% -- 9.51% -- --
</TABLE>
BACK LOAD CONTRACT WITHOUT SURRENDER CHARGE
<TABLE>
<CAPTION>
GROWTH & AGGRESSIVE
TOTAL RETURN INDEX 500 GROWTH INCOME GROWTH INTERNATIONAL SELECT HIGH YIELD MONEY
AT UNIT VALUE STOCK STOCK STOCK STOCK EQUITY BOND BOND MARKET BALANCED
(AS OF 6/30/96) PORTFOLIO PORTFOLIO PORTFOLIO PORTFOLIO PORTFOLIO PORTFOLIO PORTFOLIO PORTFOLIO PORTFOLIO
--------- --------- -------- ---------- ------------- --------- ---------- --------- --------
<S> <C> <C> <C> <C> <C> <C> <C> <C> <C>
1 year............ 24.33% 24.82% 18.46% 41.40% 14.01% 3.70% 10.33% 4.16% 14.47%
5 years........... 90.94% -- -- 159.05% -- 40.45% -- 14.73% 60.13%
Annualized...... 13.81% -- -- 20.97% -- 7.03% -- 2.79% 9.87%
10 years.......... -- -- -- -- -- 90.44% -- 51.73% 124.03%
Annualized...... -- -- -- -- -- 6.65% -- 4.26% 8.40%
Since inception... 119.97%* 42.47%# 36.70%# 221.98%* 48.77%+ -- 24.45%# -- --
Annualized...... 15.20% 17.82% 15.58% 23.35% 13.36% -- 10.66% -- --
</TABLE>
BACK LOAD CONTRACT WITH SURRENDER CHARGE
<TABLE>
<CAPTION>
GROWTH & AGGRESSIVE
TOTAL RETURN WITH INDEX 500 GROWTH INCOME GROWTH INTERNATIONAL SELECT HIGH YIELD MONEY
SURRENDER CHARGE STOCK STOCK STOCK STOCK EQUITY BOND BOND MARKET BALANCED
(AS OF 6/30/96) PORTFOLIO PORTFOLIO PORTFOLIO PORTFOLIO PORTFOLIO PORTFOLIO PORTFOLIO PORTFOLIO PORTFOLIO
--------- --------- -------- ---------- ------------- --------- ---------- --------- --------
<S> <C> <C> <C> <C> <C> <C> <C> <C> <C>
1 year............ 16.33% 16.82% 10.46% 33.40% 6.01% -4.30% 2.33% -3.84% 6.47%
5 years........... 86.94% -- -- 155.05% -- 36.45% -- 10.73% 56.13%
Annualized...... 13.33% -- -- 20.59% -- 6.41% -- 2.06% 9.32%
10 years.......... -- -- -- -- -- 90.44% -- 51.73% 124.03%
Annualized...... -- -- -- -- -- 6.65% -- 4.26% 8.40%
Since inception... 116.97%* 36.47%# 30.70%# 218.98%* 43.77%+ -- 18.45%# -- --
Annualized...... 14.91% 15.49% 13.20% 23.14% 12.15% -- 8.16% -- --
</TABLE>
All total return figures are for divisions of NML Variable Annuity Account B and
are based on the change in unit value, which reflects expenses, such as account
charges and fees applied at the contract level; figures for the Back Load
contract with surrender charge reflect deductions for a maximum 8% withdrawal
charge, declining at a rate of 1% per year. The data reflects an initial
contract size of $10,000 for the Front Load Contract (minimum size) and $1,000
for the Back Load Contract. Performance data represents past results and is not
a guarantee of future results. Future unit values and investment returns may
vary so an investor's units, when redeemed, may be worth more or less than their
original value. Performance for other separate accounts will differ.
* Inception date of 12/3/90.
# Inception date of 5/3/94.
+ Inception date of 4/30/93.
NOTE: The inception date referenced with a * above (for the Index 500 Stock and
Aggressive Growth Stock Portfolios) is corrected to read 12/3/90. The date was
printed incorrectly when the semi-annual report was published.
2
