<PAGE>
Registration No. 33-89510
- -------------------------------------------------------------------------------
SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
------------------------------------
POST EFFECTIVE AMENDMENT NO. 5
TO
FORM S-3
REGISTRATION STATEMENT UNDER THE SECURITIES ACT OF 1933
The Equitable Life Assurance Society of the United States
(Exact name of registrant as specified in its charter)
---------------------------------------------------------
New York
(State or other jurisdiction of incorporation or organization)
13-5570651
(I.R.S. Employer Identification No.)
1290 Avenue of the Americas, New York, New York 10104
(212)554-1234
(Address, including zip code, and telephone number, including area code,
of registrant's principal executive offices)
------------------------------------------------------------------------
MARY JOAN HOENE
VICE PRESIDENT AND COUNSEL
The Equitable Life Assurance Society of the United States
1290 Avenue of the Americas, New York, New York 10104
(212)554-1234
(Name, address, including zip code, and telephone number,
including area code, of agent for service)
------------------------------------------------------------------
<PAGE>
EQUI-VEST(Reg. TM)
A combination variable and fixed deferred
annuity contract
MAY 1, 1999
Please read and keep this prospectus for future reference. It contains important
information that you should know before purchasing, or taking any other action
under your contract. Also, at the end of this prospectus you will find attached
the prospectuses for The Hudson River Trust and EQ Advisors Trust which contain
important information about their Portfolios.
- --------------------------------------------------------------------------------
WHAT IS EQUI-VEST?
EQUI-VEST is a deferred annuity contract issued by The Equitable Life Assurance
Society of the United States. It provides for the accumulation of retirement
savings and for income. The contract also offers death benefit protection and a
number of payout options. You invest to accumulate value on a tax-deferred basis
in one or more of our variable investment options, our guaranteed interest
option or in our fixed maturity options ("investment options").
Variable Investment Options
<TABLE>
<CAPTION>
<S> <C>
- -------------------------------------------------------------------------
FIXED INCOME
OPTIONS:
- -------------------------------------------------------------------------
DOMESTIC FIXED INCOME AGGRESSIVE FIXED INCOME
- -------------------------------------------------------------------------
o Alliance Money Market o Alliance High Yield
o Alliance Intermediate
Government Securities
o Alliance Quality Bond
- -------------------------------------------------------------------------
EQUITY OPTIONS:
- -------------------------------------------------------------------------
DOMESTIC EQUITY INTERNATIONAL EQUITY
- -------------------------------------------------------------------------
o T. Rowe Price Equity Income o Alliance Global
o EQ/Putnam Growth & o Alliance International
Income Value o T. Rowe Price International
o Alliance Growth & Income Stock
o Alliance Equity Index o Morgan Stanley Emerging
o Merrill Lynch Basic Value Markets Equity
Equity
o Alliance Common Stock
o MFS Research
- -------------------------------------------------------------------------
AGGRESSIVE EQUITY
- -------------------------------------------------------------------------
o Alliance Aggressive Stock o Alliance Small Cap Growth
o Warburg Pincus Small o MFS Emerging Growth
Company Value Companies
- -------------------------------------------------------------------------
ASSET ALLOCATION OPTIONS:
- -------------------------------------------------------------------------
o Alliance Conservative o Alliance Growth Investors
Investors o Merrill Lynch World Strategy
o EQ/Putnam Balanced
o Alliance Balanced
- -------------------------------------------------------------------------
</TABLE>
You may allocate amounts to any of the variable investment options. They, in
turn, invest in a corresponding securities portfolio ("Portfolio") of The Hudson
River Trust or EQ Advisors Trust. Your investment results in a variable
investment option will depend on the investment performance of the related
Portfolio. Each variable investment option is a subaccount of our Separate
Account A.
GUARANTEED INTEREST OPTION. You may allocate amounts to the guaranteed interest
option. This option is part of our general account and pays interest at
guaranteed rates.
FIXED MATURITY OPTIONS. You may allocate amounts to one or more fixed maturity
options. These amounts will receive a fixed rate of interest for a specified
period. Interest is earned at a guaranteed rate we set. We make a market value
adjustment (up or down) if you make transfers or withdrawals from a fixed
maturity option before its maturity date.
TYPES OF CONTRACTS. We offer different "series" of contracts for use as:
o A nonqualified annuity ("NQ") for after-tax contributions only
o An individual retirement annuity ("IRA"), either Traditional IRA or Roth
IRA (Standard Roth IRA, or Roth Advantage)
o A Traditional IRA as a conduit to hold rollover distributions ("QP IRA")
from a qualified plan or a Tax-Sheltered Annuity ("TSA")
Minimum contribution amounts ranging from $20 to $2,500 are required to purchase
a contract. The minimum amount required depends on the type of contract, NQ, IRA
or QP IRA, and the series purchased.
Registration statements relating to this offering have been filed with the
Securities and Exchange Commission ("SEC"). The statement of additional
information ("SAI") dated May 1, 1999, is a part of the registration statement.
The SAI is available free of charge. You may request one by writing to our
Processing Office or calling 1 (800) 628-6673. The SAI has been incorporated by
reference into this prospectus. This prospectus and the SAI can also be obtained
from the SEC's website at http://www.sec.gov. The table of contents for the SAI
appears at the back of this prospectus.
THE SEC 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. THE CONTRACTS ARE NOT INSURED BY THE FDIC OR ANY OTHER AGENCY.
THEY ARE NOT DEPOSITS OR OTHER OBLIGATIONS OF ANY BANK AND ARE NOT BANK
GUARANTEED. THEY ARE SUBJECT TO INVESTMENT RISKS AND POSSIBLE LOSS OF PRINCIPAL.
<PAGE>
Contents of this prospectus
- -------------------------------------------------------------------------------
<TABLE>
<CAPTION>
<S> <C>
- ----------------------------------------------------------------
Index of key words and phrases 4
Who is Equitable Life? 6
How to reach us 7
Equi-Vest at a glance - key features 10
- ----------------------------------------------------------------
FEE TABLE 13
- ----------------------------------------------------------------
EQUI-VEST series 300, 400 and 500 contracts 13
EQUI-VEST series 200 contracts 20
EQUI-VEST series 100 contracts 27
Condensed financial information 33
- ----------------------------------------------------------------
1
CONTRACT FEATURES AND BENEFITS 34
- ----------------------------------------------------------------
How you can purchase and contribute to your contract 34
Owner and annuitant requirements 36
How you can make your contributions 36
What are your investment options under the contract? 36
Selecting your investment method 40
Allocating your contributions 41
Your right to cancel within a certain number of days 41
- ----------------------------------------------------------------
2
DETERMINING YOUR CONTRACT'S VALUE 42
- ----------------------------------------------------------------
Your account value 42
Your contract's value in the variable investment
options 42
Your contract's value in the guaranteed interest option 42
Your contract's value in the fixed maturity options 42
</TABLE>
- -------------------------------------------------------------------------------
"We," "our" and "us" refer to Equitable Life.
When we address the reader of this prospectus with words such as "you" and
"your," we mean the person who has the right or responsibility that the
prospectus is discussing at that point. This is usually the contract owner.
When we use the word "contract" it also includes certificates that are issued
under group contracts in some states.
2
<PAGE>
- -------------------------------------------------------------------------------
<TABLE>
<CAPTION>
<S> <C>
- ----------------------------------------------------------------
3
TRANSFERRING YOUR MONEY AMONG
INVESTMENT OPTIONS 43
- ----------------------------------------------------------------
Transferring your account value 43
Rebalancing your account value 44
- ----------------------------------------------------------------
4
ACCESSING YOUR MONEY 45
- ----------------------------------------------------------------
Withdrawing your account value 45
Surrender of your contract to receive its cash value 46
When we may terminate your contract 46
When to expect payments 46
Choosing your annuity payout options 47
- ----------------------------------------------------------------
5
CHARGES AND EXPENSES 49
- ----------------------------------------------------------------
Charges that Equitable Life deducts 49
Charges that the trusts deduct 56
Group or sponsored arrangements 56
Other distribution arrangements 57
- ----------------------------------------------------------------
6
PAYMENT OF DEATH BENEFIT 58
- ----------------------------------------------------------------
Your beneficiary and payment of benefit 58
How death benefit payment is made 59
Beneficiary continuation option under series 400
Traditional IRA and QP IRA contracts 59
- ----------------------------------------------------------------
7
TAX INFORMATION 61
- ----------------------------------------------------------------
Overview 61
Transfers among investment options 61
Taxation of nonqualified annuities 61
Special rules for NQ contracts issued in Puerto Rico 62
Individual retirement arrangements ("IRAs") 63
Federal and state income tax withholding and
information reporting 76
Impact of taxes to Equitable Life 77
- ----------------------------------------------------------------
8
MORE INFORMATION 78
- ----------------------------------------------------------------
About our Separate Account A 78
About The Hudson River Trust and EQ Advisors Trust 78
About the general account 78
About our fixed maturity options 79
About other methods of payment 80
Dates and prices at which contract events occur 81
About your voting rights 81
About our year 2000 progress 82
About legal proceedings 83
About our independent accountants 83
Transfers of ownership, collateral assignments, loans,
and borrowing 83
Distribution of the contracts 83
- ----------------------------------------------------------------
9
INVESTMENT PERFORMANCE 85
- ----------------------------------------------------------------
Benchmarks 85
Communicating performance data 94
- ----------------------------------------------------------------
10
INCORPORATION OF CERTAIN DOCUMENTS
BY REFERENCE 96
- ----------------------------------------------------------------
Appendices
I - Original contracts A-1
II - Condensed financial information B-1
III - Market Value Adjustment Example C-1
- ----------------------------------------------------------------
STATEMENT OF ADDITIONAL INFORMATION
TABLE OF CONTENTS
- ----------------------------------------------------------------
</TABLE>
3
<PAGE>
Index of key words and phrases
- -------------------------------------------------------------------------------
This index should help you locate more information on the terms used in this
prospectus.
<TABLE>
<CAPTION>
Page
<S> <C>
account value 45
annuitant 36
beneficiary 67
business day 37
cash value 45
conduit IRA 79
contract date 11
contract date anniversary 11
contract year 11
contributions 35
Contributions to Roth IRAs
Regular contribution 76
Rollover contributions 79
Conversion contributions 88
Direct custodian-to-custodian
transfers 35
Contributions to Traditional IRAs
Regular contributions 76
Rollover contributions 79
Direct custodian-to-custodian
transfers 35
fixed maturity amount 41
fixed maturity options 41
guaranteed interest option 41
IRA cover
IRS 70
investment options 38
market adjusted amount 42
market value adjustment 42
maturity value 42
NQ cover
payout option 52
Portfolio 38
Processing Office 6
QP IRAc cover
rate to maturity 41
recharacterized 79
regular IRA contribution 76
regular after-tax contribution 86
required beginning date 82
Roth Advantage cover
Roth IRA cover
Standard Roth cover
SAI 130
SEC cover
TOPS 7
Traditional IRA cover
TSA cover
Unit 45
unit investment trust 93
variable investment options cover
</TABLE>
To make this prospectus easier to read, we sometimes use different words than
in the contract. This is illustrated below. Although we do use different words,
they have the same meaning in this prospectus as in the contract. Your
Equitable associate can provide further explanation about your contract.
<TABLE>
<CAPTION>
- -------------------------------------------------------------------------------
Prospectus Contract
- -------------------------------------------------------------------------------
<S> <C>
fixed maturity options Guarantee Periods
variable investment options Investment Funds or Investment Divisions
account value Annuity Account Value
rate to maturity Guaranteed Rates
guaranteed interest option Guaranteed Interest Account
- -------------------------------------------------------------------------------
</TABLE>
4
<PAGE>
- -------------------------------------------------------------------------------
In this prospectus, we use a "series" number when necessary to identify a
particular contract. We discuss five series of contracts. However, only four
are available for new purchasers. Once you have purchased a contract you can
identify the EQUI-VEST series you have by referring to your confirmation
notice, or you may contact your Equitable associate, or you may call our
toll-free number. The series designations are as follows:
<TABLE>
<S> <C>
- -------------------------------------------------------------------------------------------------------------------------
o NQ, Traditional IRA, and QP IRA contracts issued before January 3, 1994; series 100
and
This series is no longer available for
o Standard Roth IRA contracts converted from such IRA and QP IRA contacts. new purchasers. Information in this
prospectus on this series is provided
for our existing contract owners only.
- -------------------------------------------------------------------------------------------------------------------------
o All NQ, Traditional IRA and QP IRA contracts issued in the state of Oregon series 200
on or after August 17, 1995.
- -------------------------------------------------------------------------------------------------------------------------
o NQ, Traditional IRA, QP IRA, and Standard Roth IRA contracts issued on or series 300
after January 3, 1994 and before the date series 400 contracts became
available in a state; and
o Standard Roth IRA contracts converted from such IRA and QP IRA contracts.
- -------------------------------------------------------------------------------------------------------------------------
o NQ, Traditional IRA, QP IRA, and Standard Roth IRA contracts issued on or series 400
after July 10, 1995 in states where approved; and
o Standard Roth IRA contracts converted from such IRA and QP IRA contracts.
- -------------------------------------------------------------------------------------------------------------------------
o Roth Advantage contracts. series 500
- -------------------------------------------------------------------------------------------------------------------------
</TABLE>
We also have contracts that we refer to as "original contracts." These
contracts are no longer available for new purchasers. Any information about
original contracts which is different from the current series we offer can be
found in Appendix I, which will be referenced throughout this prospectus when
it applies.
5
<PAGE>
Who is Equitable Life?
- -------------------------------------------------------------------------------
We are The Equitable Life Assurance Society of the United States ("Equitable
Life"), a New York stock life insurance corporation. We have been doing business
since 1859. Equitable Life is a wholly owned subsidiary of The Equitable
Companies Incorporated ("Equitable Companies"), whose majority shareholder is
AXA, a French holding company for an international group of insurance and
related financial services companies. As a majority shareholder, and under its
other arrangements with Equitable Life and Equitable Life's parent, AXA
exercises significant influence over the operations and capital structure of
Equitable Life and its parent. No company other than Equitable Life, however,
has any legal responsibility to pay amounts that Equitable Life owes under the
contracts. During 1999, Equitable Companies plans to change its name to AXA
Financial, Inc.
Equitable Companies and its consolidated subsidiaries managed approximately
$347.5 billion in assets as of December 31, 1998. For over 100 years we have
been among the largest insurance companies in the United States. We are licensed
to sell life insurance and annuities in all fifty states, the District of
Columbia, Puerto Rico, and the U.S. Virgin Islands. Our home office is located
at 1290 Avenue of the Americas, New York, N.Y. 10104.
6
<PAGE>
- -------------------------------------------------------------------------------
HOW TO REACH US
You may communicate with our Processing Office as listed below for any of the
following purposes:
- -------------------------------------------------------------------------------
FOR NQ AND IRA OWNERS WHO SEND CONTRIBUTIONS INDIVIDUALLY BY REGULAR MAIL:
- -------------------------------------------------------------------------------
Equitable Life
EQUI-VEST
Individual Collections
P.O. Box 13459
Newark, NJ 07188-0459
- -------------------------------------------------------------------------------
FOR NQ AND IRA OWNERS WHO SEND CONTRIBUTIONS INDIVIDUALLY BY EXPRESS DELIVERY:
- -------------------------------------------------------------------------------
Equitable Life
c/o First Chicago National Processing Center
300 Harmon Meadow Boulevard 3rd Floor
Secaucus, NJ 07094
Attn: Box 13459
- -------------------------------------------------------------------------------
FOR ALL OTHER COMMUNICATIONS (E.G., REQUESTS FOR TRANSFERS, WITHDRAWALS, OR
REQUIRED NOTICES) SENT BY REGULAR MAIL:
- -------------------------------------------------------------------------------
Equitable Life
EQUI-VEST
P.O. Box 2996
New York, NY 10116-2996
- -------------------------------------------------------------------------------
FOR ALL OTHER COMMUNICATIONS (E.G., REQUESTS FOR TRANSFERS, WITHDRAWALS, OR
REQUIRED NOTICES) SENT BY EXPRESS DELIVERY:
- -------------------------------------------------------------------------------
Equitable Life
EQUI-VEST
200 Plaza Drive, 2nd Floor
Secaucus, NJ 07094
- -------------------------------------------------------------------------------
FOR NQ AND IRA CONTRIBUTIONS REMITTED BY EMPLOYERS AND SENT BY REGULAR MAIL:
- -------------------------------------------------------------------------------
Equitable Life
EQUI-VEST
Unit Collections
P.O. Box 13463
Newark, New Jersey 07188-0463
- -------------------------------------------------------------------------------
FOR NQ AND IRA CONTRIBUTIONS REMITTED BY EMPLOYERS AND SENT BY EXPRESS DELIVERY:
- -------------------------------------------------------------------------------
Equitable Life
c/o First Chicago National Processing Center
300 Harmon Meadow Boulevard 3rd Floor
Secaucus, NJ 07094
Attn: Box 13463
- -------------------------------------------------------------------------------
REPORTS WE PROVIDE:
- -------------------------------------------------------------------------------
o written confirmation of financial transactions;
o annual statement of your contract values as of the close of the calendar
year;
o statement of your contract values as of the last day of the contract year.
We reserve the right to change the frequency of these reports.
- -------------------------------------------------------------------------------
TELEPHONE OPERATED PROGRAM SUPPORT ("TOPS") SYSTEM:
- -------------------------------------------------------------------------------
TOPS is designed to provide you with up-to-date information via touch-tone
telephone. You can obtain information on:
o your current account value;
o your current allocation percentages;
o the number of units you have in the variable investment options.
7
<PAGE>
- -------------------------------------------------------------------------------
You can also:
o change your allocation percentages and/or transfer among the variable
investment options and the guaranteed interest option;
o elect the investment simplifier; and
o change your personal identification number ("PIN").
TOPS is normally available seven days a week, 24 hours a day, by calling
toll-free 1 (800) 755-7777. Of course, for reasons beyond our control, the
service may sometimes be unavailable.
We have established procedures to reasonably confirm that the instructions
communicated by telephone are genuine. For example, we will require certain
personal identification information before we will act on telephone instructions
and we will provide written confirmation of your transfers. We will not be
liable for following telephone instructions we reasonably believe to be genuine.
- -------------------------------------------------------------------------------
BY INTERNET:
- -------------------------------------------------------------------------------
You can also access information about your contract on the Internet. Please
visit our website at http://www.equitable.com, and click on EQAccess.
- -------------------------------------------------------------------------------
CUSTOMER SERVICE REPRESENTATIVE:
- -------------------------------------------------------------------------------
You may also use our toll-free number 1 (800) 628-6673 to speak with one of our
customer service representatives. Our customer service representatives are
available on each business day Monday through Thursday from 8:00 a.m. to 7:00
p.m., and on Fridays until 5:00 p.m. Eastern Time.
- -------------------------------------------------------------------------------
TOLL-FREE TELEPHONE SERVICE:
- -------------------------------------------------------------------------------
You may reach us toll-free by calling 1 (800) 841-0801 for a recording of daily
unit values for the variable investment options.
You should send all contributions, notices, and requests to our Processing
Office at an address above.
WE REQUIRE THAT THE FOLLOWING TYPES OF COMMUNICATIONS BE ON SPECIFIC FORMS WE
PROVIDE FOR THAT PURPOSE:
(1) cancellation of your Standard Roth IRA or Roth Advantage contract and
return to a Traditional IRA contract;
(2) election of the automatic investment program;
(3) election of the automatic transfer options investment simplifier;
(4) election of the automatic NQ deposit service;
(5) election of the rebalancing program;
(6) to obtain a PIN required for TOPS;
(7) election of required minimum distribution option;
(8) tax withholding election;
(9) beneficiary continuation option election;
(10) conversion of your Traditional IRA to a Standard Roth IRA or Roth
Advantage; and
(11) request for a transfer/rollover of assets or 1035 exchange to another
carrier.
WE ALSO HAVE SPECIFIC FORMS THAT WE RECOMMEND YOU USE FOR THE FOLLOWING TYPES OF
REQUESTS:
(1) address changes;
(2) beneficiary changes;
(3) transfers among investment options;
(4) withdrawal requests; and
(5) contract surrender.
8
<PAGE>
- -------------------------------------------------------------------------------
TO CHANGE OR CANCEL ANY OF THE FOLLOWING WE REQUIRE WRITTEN NOTIFICATION
GENERALLY AT LEAST SEVEN CALENDAR DAYS BEFORE THE NEXT SCHEDULED TRANSACTION:
(1) automatic investment program;
(2) automatic transfer options investment simplifier; and
(3) rebalancing program.
You must sign and date all these requests. Any written request that is not on
one of our forms must include your name and your contract number along with
adequate details about the notice you wish to give or the action you wish us to
take.
SIGNATURES:
The proper person to sign forms, notices and requests would normally be the
owner.
9
<PAGE>
EQUI-VEST at a glance - key features
- -------------------------------------------------------------------------------
<TABLE>
<S> <C>
- ----------------------------------------------------------------------------------------------------------------------
PROFESSIONAL EQUI-VEST's variable investment options invest in 24 different Portfolios managed by
INVESTMENT professional investment advisers.
MANAGEMENT
- ----------------------------------------------------------------------------------------------------------------------
GUARANTEED INTEREST o Principal and interest guarantees.
OPTION o Interest rates set periodically.
- ----------------------------------------------------------------------------------------------------------------------
FIXED MATURITY o 10 fixed maturity options with maturities ranging from approximately 1 to 10 years.
OPTIONS o Each fixed maturity option offers a guarantee of principal and interest rate if you hold
it to maturity.
o Principal guarantees.
-- If you make withdrawals or transfers from a fixed maturity option before maturity, there
will be a market value adjustment due to differences in interest rates. This may increase
or decrease any value that you have left in that fixed maturity option.
o Only available under series 400 and 500 contracts in states where approved.
- ----------------------------------------------------------------------------------------------------------------------
TAX ADVANTAGES o ON EARNINGS INSIDE THE No tax on any dividends, interest or capital gains until you
CONTRACT make withdrawals from your contract or receive annuity
payments
-----------------------------------------------------------------------------------------------
o ON TRANSFERS INSIDE THE No tax on transfers among investment options.
CONTRACT
If you are buying a contract to fund a retirement plan that already provides tax deferral
under the Internal Revenue Code (IRA and QP IRA) you should do so for the contract's features
and benefits other than tax deferral. In such situations, the tax deferral of the contract
does not provide additional benefits.
- ----------------------------------------------------------------------------------------------------------------------
MINIMUM CONTRIBUTION o NQ:
AMOUNTS -- $1,000 (initial) or $50 (initial for payroll deduction); $50 (additional).
o TRADITIONAL IRA, STANDARD ROTH IRA AND ROTH ADVANTAGE:
-- series 300, 400 and 500 - $50 (initial and additional);
-- series 100 and 200 - $20 (initial and additional).
o QP IRA:
-- series 300 and 400 - $2,500 each rollover amount;
-- series 100 and 200 - $1,000 each rollover amount.
-----------------------------------------------------------------------------------------------
Maximum limits may apply.
- ----------------------------------------------------------------------------------------------------------------------
10
<PAGE>
- ----------------------------------------------------------------------------------------------------------------------
ACCESS TO YOUR MONEY o Lump sum withdrawals
o Withdrawals on a periodic basis
o Contract surrender
You may be subject to a withdrawal charge for certain withdrawals. You may also
incur income tax and a penalty tax.
- ----------------------------------------------------------------------------------------------------------------------
PAYOUT ALTERNATIVES o Annuity payout options
- ----------------------------------------------------------------------------------------------------------------------
ADDITIONAL FEATURES o Dollar-cost averaging by automatic transfers
-- Interest sweep option
-- Fixed-dollar option
o Automatic investment program
o Account value rebalancing (quarterly, semiannually and annually)
o No charge on transfers among investment options
o Waiver of withdrawal charge for disability, confinement to a nursing home and terminal
illness (series 300, 400 and 500 only)
- ----------------------------------------------------------------------------------------------------------------------
FEES AND CHARGES UNDER o Daily charge on amounts invested in variable investment options for mortality and expense
SERIES 300, 400 AND 500 risks and other expenses at annual rates determined by contract series.
-- series 300 and 400 - 1.35%
-- series 500 - 1.45%.
o Annual administrative charge.
-- $30 currently or during the first two contract years 2% of the account value if less
($65 maximum).
o Third party transfer or exchange. - $25 currently ($65 maximum) per occurrence.
o No sales charge deducted when you make contributions under any series.
o Withdrawal charge.
All contract types:
6% of contributions that have been withdrawn if such contributions were made in
the current and five prior contract years. There is no charge in any contract
year in which the amount withdrawn does not exceed 10% of your account value at
the time of your withdrawal request minus prior withdrawals in that contract
year. There are many circumstances under which the withdrawal charge will not
apply. They are discussed under "Charges and expenses" later in this prospectus.
--------------------------------------------------------------------------------------------
The 12-month period beginning on your contract date and each 12-month period
after that date is a "contract year." The end of each 12-month period is your
"contract date anniversary." The "contract date" is the effective date of a
contract. This usually is the business day we receive your initial contribution.
Your contract date will be shown in your contract.
--------------------------------------------------------------------------------------------
11
<PAGE>
- ----------------------------------------------------------------------------------------------------------------------
Fees and charges under o We also deduct a charge for taxes such as premium taxes that may be imposed in your state.
series 300, 400, and 500 The charge is generally deducted from the amount applied to an annuity payout option.
(continued) o We generally deduct a $350 annuity administrative fee from amounts applied to purchase
certain life annuity payout options.
o Annual expenses of The Hudson River Trust and EQ Advisors Trust Portfolios are calculated
as a percentage of the average daily net assets invested in each Portfolio. These expenses
expenses include management and advisory fees ranging from 0.31% to 1.15% annually, other
expenses and, for EQ Advisors Trust, 12b-1 fees of 0.25% annually.
- ----------------------------------------------------------------------------------------------------------------------
Fees and charges under o Daily charge on amounts invested in variable investment options for mortality and expense
series 100 and 200 risks and other expenses at annual rates determined by contract series.
series 100 - 1.34%;
three options at 1.49%
series 200 - 1.34%; three options at 1.40%
o Annual administrative charge: $30 maximum
o Third party transfer or exchange: none
o No sales charges are deducted when you make contributions
o Withdrawal charge:
-- 6% of the contributions that have been withdrawn if such contributions were made in
the current and five prior contract years, or
-- 6% generally declining for the first through 12th contract years. The total of all
withdrawal charges may not exceed 8% of all contributions made during a specified
period before the withdrawal is made.
o We also deduct a charge for taxes such as premium taxes that may be imposed in
your state. The charge is generally deducted from the amount applied to an
annuity payout option.
o We generally deduct a $350 annuity administrative fee from amounts applied to
purchase certain life annuity payout options.
o Annual expenses of The Hudson River Trust and EQ Advisors Trust Portfolios are
calculated as a percentage of the average daily net assets invested in each
Portfolio. These expenses include management and advisory fees ranging from
0.31% to 1.15% annually, other expenses and, for EQ Advisors Trust, 12b-1 fees
of 0.25% annually.
- -------------------------------------------------------------------------------------------------------------------------
</TABLE>
THE ABOVE IS NOT A COMPLETE DESCRIPTION OF ALL MATERIAL PROVISIONS OF THE
CONTRACT. IN SOME CASES RESTRICTIONS OR EXCEPTIONS APPLY. MAXIMUM EXPENSE
LIMITATIONS APPLY TO CERTAIN VARIABLE INVESTMENT OPTIONS, AND RIGHTS ARE
RESERVED TO CHANGE OR WAIVE CERTAIN CHARGES WITHIN SPECIFIED LIMITS. ALSO, ALL
FEATURES OF THE CONTRACT ARE NOT NECESSARILY AVAILABLE IN YOUR STATE OR AT
CERTAIN AGES.
For more detailed information we urge you to read the contents of this
prospectus, as well as your contract. Please feel free to speak with your
Equitable associate, or call us, if you have any questions.
12
<PAGE>
Fee table
- -------------------------------------------------------------------------------
The fee tables below will help you understand the various charges and expenses
that apply to your contract series. The tables reflect charges you will directly
incur under the contract, as well as charges and expenses of the Portfolios that
you will bear indirectly. Charges for taxes, such as premium taxes, may also
apply. Also, an administrative fee may apply when your annuity payments are to
begin. Each of the charges and expenses is more fully described under "Charges
and expenses" later in this prospectus. For a complete description of Portfolio
charges and expenses, please see the attached prospectuses for The Hudson River
Trust and EQ Advisors Trust.
The guaranteed interest option and fixed maturity options are not covered by the
fee tables and examples. The only charges shown in the tables that apply to the
guaranteed interest option and fixed maturity options are the withdrawal charge,
the annual administrative charge, and the third party transfer or exchange fee.
Also, an administrative fee may apply when your annuity payments are to begin. A
market value adjustment (up or down) may apply as a result of a withdrawal,
transfer or surrender of amounts from a fixed maturity option.
EQUI-VEST SERIES 300, 400 AND 500 CONTRACTS
<TABLE>
<CAPTION>
- --------------------------------------------------------------------------------------------------------------------------
CHARGES WE DEDUCT FROM YOUR VARIABLE INVESTMENT OPTIONS (SEPARATE ACCOUNT A) EXPRESSED AS AN
ANNUAL PERCENTAGE OF DAILY NET ASSETS
- --------------------------------------------------------------------------------------------------------------------------
SERIES 300 AND 400 SERIES 500
------------------------------- -----------
<S> <C> <C>
Mortality and expense risk(1) 1.10% 1.20%
Other expenses 0.25%(2) 0.25%
------ ----
Total Separate Account A annual 1.35% 1.45%
expenses(3)
- ---------------------------------------------------------------------------------------------------------------------------
CHARGES WE DEDUCT FROM YOUR ACCOUNT VALUE ON EACH CONTRACT DATE ANNIVERSARY
- ---------------------------------------------------------------------------------------------------------------------------
Annual administrative charge(4) $30
- ---------------------------------------------------------------------------------------------------------------------------
CHARGES WE DEDUCT FROM YOUR ACCOUNT VALUE AT THE TIME YOU REQUEST CERTAIN TRANSACTIONS
- ---------------------------------------------------------------------------------------------------------------------------
Maximum withdrawal charge(5) 6%
Third party transfer or exchange fee(6) $25 for each occurrence
- ---------------------------------------------------------------------------------------------------------------------------
</TABLE>
13
<PAGE>
- -------------------------------------------------------------------------------
THE HUDSON RIVER TRUST ANNUAL EXPENSES
(AS A PERCENTAGE OF AVERAGE DAILY NET ASSETS IN EACH PORTFOLIO)
<TABLE>
<CAPTION>
- -------------------------------------------------------------------------------------------
INVESTMENT TOTAL
MANAGEMENT & OTHER ANNUAL
ADVISORY FEES EXPENSES EXPENSES(7)
- -------------------------------------------------------------------------------------------
<S> <C> <C> <C>
Alliance Aggressive Stock 0.54% 0.02% 0.56%
Alliance Balanced 0.41% 0.04% 0.45%
Alliance Common Stock 0.36% 0.03% 0.39%
Alliance Conservative Investors 0.48% 0.05% 0.53%
Alliance Equity Index 0.31% 0.03% 0.34%
Alliance Global 0.64% 0.07% 0.71%
Alliance Growth & Income 0.55% 0.03% 0.58%
Alliance Growth Investors 0.51% 0.04% 0.55%
Alliance High Yield 0.60% 0.03% 0.63%
Alliance Intermediate Government Securities 0.50% 0.05% 0.55%
Alliance International 0.90% 0.16% 1.06%
Alliance Money Market 0.35% 0.02% 0.37%
Alliance Quality Bond 0.53% 0.04% 0.57%
Alliance Small Cap Growth 0.90% 0.06% 0.96%
- -------------------------------------------------------------------------------------------
</TABLE>
EQ ADVISORS TRUST ANNUAL EXPENSES
(AS A PERCENTAGE OF AVERAGE DAILY NET ASSETS IN EACH PORTFOLIO
<TABLE>
<CAPTION>
- --------------------------------------------------------------------------------------------------------------------------------
Total
Investment Other Annual
Management & Expenses Expenses(9)
Advisory Fees 12b-1 Fee(8) (After Expense Limitation) (After Expense Limitation)
- --------------------------------------------------------------------------------------------------------------------------------
<S> <C> <C> <C> <C>
MFS Emerging Growth Companies 0.55% 0.25% 0.05% 0.85%
MFS Research 0.55% 0.25% 0.05% 0.85%
Merrill Lynch Basic Value Equity 0.55% 0.25% 0.05% 0.85%
Merrill Lynch World Strategy 0.70% 0.25% 0.25% 1.20%
Morgan Stanley Emerging Markets Equity 1.15% 0.25% 0.35% 1.75%
EQ/Putnam Balanced 0.55% 0.25% 0.10% 0.90%
EQ/Putnam Growth & Income Value 0.55% 0.25% 0.05% 0.85%
T. Rowe Price Equity Income 0.55% 0.25% 0.05% 0.85%
T. Rowe Price International Stock 0.75% 0.25% 0.20% 1.20%
Warburg Pincus Small Company Value 0.65% 0.25% 0.10% 1.00%
- --------------------------------------------------------------------------------------------------------------------------------
</TABLE>
14
<PAGE>
- -------------------------------------------------------------------------------
Notes:
(1) A portion of this charge is for providing the death benefit.
(2) For the series 300 and 400 contracts we currently charge 0.25% for the
Alliance Aggressive Stock, Alliance Balanced, Alliance Common Stock, and
Alliance Money Market Portfolios. The charge is 0.24% for all the other
Portfolios. We reserve the right to increase this charge to 0.25% at our
discretion.
(3) The total Separate Account A annual expenses of the variable investment
options are not permitted to exceed a total annual rate of 1.35% (for
series 300 and 400 contracts) and 2.00% (for series 500 contracts).
(4) For the first two contract years this charge is equal to the lesser of
$30 or 2% of your account value. Thereafter, the charge is $30 for each
contract year. We reserve the right to waive or increase this charge to
an annual maximum of $65.
(5) Deducted upon a withdrawal of amounts in excess of the 10% free
withdrawal amount. Important exceptions and limitations may eliminate or
reduce this charge.
(6) We reserve the right to increase this charge to a maximum of $65 for each
occurrence.
(7) The fees and expenses shown for all Portfolios are for the year ended
December 31, 1998. The investment management and advisory fee for each
Portfolio of The Hudson River Trust may vary from year to year depending
upon the average daily net assets of the respective Portfolio. The
maximum investment management and advisory fees, however, cannot be
increased without a vote of that Portfolio's shareholders. See the
prospectus for The Hudson River Trust. The other direct operating
expenses will also fluctuate from year to year depending on actual
expenses.
(8) The Class IB shares of EQ Advisors Trust are subject to fees imposed
under a distribution plan (the "Rule 12b-1 Plan") adopted by EQ Advisors
Trust pursuant to Rule 12b-1 under the Investment Company Act of 1940, as
amended. The 12b-1 fee will not be increased for the life of the
contracts.
(9) The maximum investment management and advisory fees for each Portfolio of
EQ Advisors Trust cannot be increased without a vote of that Portfolio's
shareholders. See the prospectus for EQ Advisors Trust. The amounts shown
as "Other Expenses" will fluctuate from year to year depending on actual
expenses. However, EQ Financial Consultants, Inc. ("EQF"), EQ Advisors
Trust 's manager, has entered into an expense limitation agreement with
respect to each Portfolio. Under this agreement EQF has agreed to waive
or limit its fees and assume other expenses. Under the expense limitation
agreement, total annual operating expenses of each Portfolio (other than
interest, taxes, brokerage commissions, capitalized expenditures,
extraordinary expenses and 12b-1 fees) are limited for the average daily
net assets of each Portfolio as follows: 0.60% for EQ/Putnam Growth &
Income Value, MFS Emerging Growth Companies, MFS Research, Merrill Lynch
Basic Value Equity, and T. Rowe Price Equity Income; 0.65% for EQ/Putnam
Balanced; 0.75% for Warburg Pincus Small Company Value; 0.95% for Merrill
Lynch World Strategy and T. Rowe Price International Stock; and 1.50% for
Morgan Stanley Emerging Markets Equity.
Absent the expense limitation, "Other Expenses" for 1998 on an annualized
basis for each of the Portfolios would have been as follows: 0.24% for MFS
Emerging Growth Companies, EQ/Putnam Growth and Income Value, and T. Rowe
Price Equity Income; 0.25% for MFS Research; 0.26% for Merrill Lynch Basic
Value Equity; 0.66% for Merrill Lynch World Strategy; 1.23% for Morgan
Stanley Emerging Markets Equity, 0.45% for EQ/Putnam Balanced; 0.40% for
T. Rowe Price International Stock; and 0.27% for Warburg Pincus Small
Company Value.
Each Portfolio may at a later date make a reimbursement to EQF for any of
the management fees waived or limited and other expenses assumed and paid
by EQF pursuant to the expense limitation agreement provided, that among
other things, such Portfolio has reached sufficient size to permit such
reimbursement to be made and provided that the Portfolio's current annual
operating expenses do not exceed the operating expense limit determined
for such Portfolio.
15
<PAGE>
- -------------------------------------------------------------------------------
EXAMPLES: EQUI-VEST SERIES 300 AND 400 CONTRACTS
For each type of series 300 and 400 contract, the examples below show the
expenses that a hypothetical contract owner would pay in the situations
illustrated. We assume a $1,000 contribution is invested in one of the variable
investment options listed, and a 5% annual return is earned on the assets in
that option. We also assume there is no waiver of the withdrawal charge.(1) We
calculate the annual administrative charge by using the total actual annual
administrative charges for 1998 under all EQUI-VEST contracts as a percentage
of the total assets held under all EQUI-VEST contracts.
These examples should not be considered a representation of past or future
expenses for each option. Actual expenses may be greater or less than those
shown. Similarly, the annual rate of return assumed in the examples is not an
estimate or guarantee of future investment performance.
<TABLE>
<CAPTION>
- -----------------------------------------------------------------------------------------------
IF YOU SURRENDER YOUR CONTRACT AT THE END
OF EACH PERIOD SHOWN, THE EXPENSES
WOULD BE:
-------------------------------------------------
1 YEAR 3 YEARS 5 YEARS 10 YEARS
- -----------------------------------------------------------------------------------------------
<S> <C> <C> <C> <C>
THE HUDSON RIVER TRUST OPTIONS
- -----------------------------------------------------------------------------------------------
Alliance Aggressive Stock $ 76.23 $ 122.66 $ 169.46 $ 235.96
Alliance Balanced $ 75.14 $ 119.37 $ 163.58 $ 223.95
Alliance Common Stock $ 75.53 $ 120.57 $ 165.72 $ 228.34
Alliance Conservative Investors $ 75.83 $ 121.47 $ 167.33 $ 231.61
Alliance Equity Index $ 73.95 $ 115.76 $ 157.13 $ 210.70
Alliance Global $ 77.62 $ 126.85 $ 176.91 $ 251.05
Alliance Growth & Income $ 76.33 $ 122.96 $ 169.99 $ 237.05
Alliance Growth Investors $ 76.03 $ 122.07 $ 168.39 $ 233.79
Alliance High Yield $ 76.82 $ 124.46 $ 172.66 $ 242.45
Alliance Intermediate Government Securities $ 76.03 $ 122.07 $ 168.39 $ 233.79
Alliance International $ 81.09 $ 137.27 $ 195.33 $ 287.85
Alliance Money Market $ 74.34 $ 116.96 $ 159.28 $ 215.14
Alliance Quality Bond $ 76.23 $ 122.66 $ 169.46 $ 235.96
Alliance Small Cap Growth $ 80.10 $ 134.30 $ 190.09 $ 277.47
- -----------------------------------------------------------------------------------------------
<CAPTION>
- -----------------------------------------------------------------------------------------------
IF YOU DO NOT SURRENDER YOUR CONTRACT AT
THE END OF EACH PERIOD SHOWN, THE
EXPENSES WOULD BE:
------------------------------------------------
1 YEAR 3 YEARS 5 YEARS 10 YEARS
- -----------------------------------------------------------------------------------------------
<S> <C> <C> <C> <C>
THE HUDSON RIVER TRUST OPTIONS
- -----------------------------------------------------------------------------------------------
Alliance Aggressive Stock $ 20.64 $ 63.77 $ 109.46 $ 235.96
Alliance Balanced $ 19.49 $ 60.27 $ 103.58 $ 223.95
Alliance Common Stock $ 19.91 $ 61.54 $ 105.72 $ 228.34
Alliance Conservative Investors $ 20.22 $ 62.50 $ 107.33 $ 231.61
Alliance Equity Index $ 18.23 $ 56.45 $ 97.13 $ 210.70
Alliance Global $ 22.11 $ 68.21 $ 116.91 $ 251.05
Alliance Growth & Income $ 20.75 $ 64.09 $ 109.99 $ 237.05
Alliance Growth Investors $ 20.43 $ 63.13 $ 108.39 $ 233.79
Alliance High Yield $ 21.27 $ 65.67 $ 112.66 $ 242.45
Alliance Intermediate Government Securities $ 20.43 $ 63.13 $ 108.39 $ 233.79
Alliance International $ 25.79 $ 79.25 $ 135.33 $ 287.85
Alliance Money Market $ 18.65 $ 57.72 $ 99.28 $ 215.14
Alliance Quality Bond $ 20.64 $ 63.77 $ 109.46 $ 235.96
Alliance Small Cap Growth $ 24.74 $ 76.10 $ 130.09 $ 277.47
- -----------------------------------------------------------------------------------------------
</TABLE>
16
<PAGE>
<TABLE>
<CAPTION>
- ------------------------------------------------------------------------------------------
IF YOU SURRENDER YOUR CONTRACT AT THE END
OF EACH PERIOD SHOWN, THE EXPENSES
WOULD BE:
-------------------------------------------------
1 YEAR 3 YEARS 5 YEARS 10 YEARS
- ------------------------------------------------------------------------------------------
<S> <C> <C> <C> <C>
EQ ADVISORS TRUST OPTIONS
- ------------------------------------------------------------------------------------------
MFS Emerging Growth Companies $ 79.01 $ 131.03 $ 184.31 $ 265.93
MFS Research $ 79.01 $ 131.03 $ 184.31 $ 265.93
Merrill Lynch Basic Value Equity $ 79.01 $ 131.03 $ 184.31 $ 265.93
Merrill Lynch World Strategy $ 82.48 $ 141.41 $ 202.62 $ 302.21
Morgan Stanley Emerging Markets Equity $ 87.94 $ 157.57 $ 229.58 $ 356.67
EQ/Putnam Balanced $ 79.51 $ 132.51 $ 186.94 $ 271.19
EQ/Putnam Growth & Income Value $ 79.01 $ 131.03 $ 184.31 $ 265.93
T. Rowe Price Equity Income $ 79.01 $ 131.03 $ 184.31 $ 265.93
T. Rowe Price International Stock $ 82.48 $ 141.41 $ 202.62 $ 302.21
Warburg Pincus Small Company Value $ 80.50 $ 135.49 $ 192.19 $ 281.64
- ------------------------------------------------------------------------------------------
<CAPTION>
- ------------------------------------------------------------------------------------------
IF YOU DO NOT SURRENDER YOUR CONTRACT AT
THE END OF EACH PERIOD SHOWN, THE
EXPENSES WOULD BE:
------------------------------------------------
1 YEAR 3 YEARS 5 YEARS 10 YEARS
- ------------------------------------------------------------------------------------------
<S> <C> <C> <C> <C>
EQ ADVISORS TRUST OPTIONS
- ------------------------------------------------------------------------------------------
MFS Emerging Growth Companies $ 23.58 $ 72.63 $ 124.31 $ 265.93
MFS Research $ 23.58 $ 72.63 $ 124.31 $ 265.93
Merrill Lynch Basic Value Equity $ 23.58 $ 72.63 $ 124.31 $ 265.93
Merrill Lynch World Strategy $ 27.26 $ 83.64 $ 142.62 $ 302.21
Morgan Stanley Emerging Markets Equity $ 33.03 $ 100.77 $ 170.84 $ 356.67
EQ/Putnam Balanced $ 24.11 $ 74.21 $ 126.94 $ 271.19
EQ/Putnam Growth & Income Value $ 23.58 $ 72.63 $ 124.31 $ 265.93
T. Rowe Price Equity Income $ 23.58 $ 72.63 $ 124.31 $ 265.93
T. Rowe Price International Stock $ 27.26 $ 83.64 $ 142.62 $ 302.21
Warburg Pincus Small Company Value $ 25.16 $ 77.36 $ 132.19 $ 281.64
- ------------------------------------------------------------------------------------------
</TABLE>
- ----------
(1) The amount accumulated from the $1,000 contribution could not be paid in
the form of an annuity payout option at the end of any of the periods
shown in the examples. This is because if the amount applied to purchase
an annuity payout option is less than $2,000, or the initial payment is
less than $20, we may pay the amount to you in a single sum instead of as
payments under an annuity payout option. See "Accessing your money."
IF YOU ELECT AN ANNUITY PAYOUT OPTION:
Assuming an annuity payout option could be issued, (see Note (1) above), and you
elect a life annuity payout option, the expenses shown in the above example for
"if you do not surrender your contract" would, in each case, be increased by
$4.43 based on the average amount applied to annuity payout options in 1998.
See "Annuity administrative fee" under "Charges and expenses."
17
<PAGE>
- -------------------------------------------------------------------------------
EXAMPLES: EQUI-VEST SERIES 500 CONTRACTS
For the series 500 Roth Advantage contract, the examples show the expenses that
a hypothetical contract Owner would pay in the situations illustrated. We
assume a single contribution of $1,000 is invested in one of the variable
investment options listed and a 5% annual return is earned on assets in that
option. We also assume there is no waiver of the withdrawal charge.(1) We
calculate the annual administrative charge by using the total actual annual
administrative charges for 1998 under all EQUI-VEST contracts as a percentage
of the total assets held under all EQUI-VEST contracts.
These examples should not be considered a representation of past or future
expense for each option. Actual expenses may be greater or less than those
show. Similarly, the annual rate of return assumed in the examples is not an
estimate or guarantee of future investment performance.
<TABLE>
<CAPTION>
- ------------------------------------------------------------------------------------------
IF YOU SURRENDER YOUR IF YOU DO NOT SURRENDER
CONTRACT AT THE END YOUR CONTRACT AT
OF EACH PERIOD SHOWN, THE THE END OF EACH PERIOD
EXPENSES SHOWN, THE
WOULD BE: EXPENSES WOULD BE:
-------------------------- ----------------------------
1 YEAR 3 YEARS 1 YEAR 3 YEARS
- ------------------------------------------------------------------------------------------
<S> <C> <C> <C> <C>
THE HUDSON RIVER TRUST OPTIONS
- ------------------------------------------------------------------------------------------
Alliance Aggressive Stock $ 77.22 $ 125.66 $ 21.69 $ 66.94
Alliance Balanced $ 76.13 $ 122.37 $ 20.54 $ 63.45
Alliance Common Stock $ 76.53 $ 123.56 $ 20.96 $ 64.72
Alliance Conservative Investors $ 76.92 $ 124.76 $ 21.38 $ 65.99
Alliance Equity Index $ 75.04 $ 119.07 $ 19.38 $ 59.95
Alliance Global $ 78.71 $ 130.13 $ 23.27 $ 71.69
Alliance Growth & Income $ 77.42 $ 126.25 $ 21.90 $ 67.57
Alliance Growth Investors $ 77.12 $ 125.36 $ 21.59 $ 66.62
Alliance High Yield $ 77.92 $ 127.75 $ 22.43 $ 69.16
Alliance Intermediate Government
Securities $ 77.12 $ 125.36 $ 21.59 $ 66.62
Alliance International $ 82.19 $ 140.52 $ 26.94 $ 82.70
Alliance Money Market $ 75.34 $ 119.97 $ 19.70 $ 60.91
Alliance Quality Bond $ 77.32 $ 125.96 $ 21.80 $ 67.26
Alliance Small Cap Growth $ 81.19 $ 137.56 $ 25.89 $ 79.56
- ------------------------------------------------------------------------------------------
</TABLE>
18
<PAGE>
- -------------------------------------------------------------------------------
<TABLE>
<CAPTION>
- ------------------------------------------------------------------------------------------------
IF YOU SURRENDER YOUR IF YOU DO NOT SURRENDER
CONTRACT AT THE END YOUR CONTRACT AT
OF EACH PERIOD SHOWN, THE THE END OF EACH PERIOD
EXPENSES SHOWN, THE
WOULD BE: EXPENSES WOULD BE:
-------------------------- ----------------------------
1 YEAR 3 YEARS 1 YEAR 3 YEARS
- ------------------------------------------------------------------------------------------------
<S> <C> <C> <C> <C>
EQ ADVISORS TRUST OPTIONS
- ------------------------------------------------------------------------------------------------
MFS Emerging Growth Companies $ 80.10 $ 134.30 $ 24.74 $ 76.10
MFS Research $ 80.10 $ 134.30 $ 24.74 $ 76.10
Merrill Lynch Basic Value Equity $ 80.10 $ 134.30 $ 24.74 $ 76.10
Merrill Lynch World Strategy $ 83.58 $ 144.66 $ 28.41 $ 87.08
Morgan Stanley Emerging Markets
Equity $ 89.04 $ 160.78 $ 34.18 $ 104.17
EQ/Putnam Balanced $ 80.60 $ 135.78 $ 25.26 $ 77.67
EQ/Putnam Growth & Income Value $ 80.10 $ 134.30 $ 24.74 $ 76.10
T. Rowe Price Equity Income $ 80.10 $ 134.30 $ 24.74 $ 76.10
T. Rowe Price International Stock $ 83.58 $ 144.66 $ 28.41 $ 87.08
Warburg Pincus Small Company Value $ 81.59 $ 138.75 $ 26.31 $ 80.82
- ------------------------------------------------------------------------------------------------
</TABLE>
- ----------
(1) The amount accumulated from the $1,000 contribution could not be paid in
the form of an annuity payout option at the end of any of the periods
shown in the examples. This is because if the amount applied to purchase
an annuity payout option is less than $2,000, or the initial payment is
less than $20, we may pay the amount to you in a single sum instead of as
payments under an annuity payout option. See "Accessing your money."
IF YOU ELECT AN ANNUITY PAYOUT OPTION:
Assuming an annuity payout option could be issued, (see note (1) above), and
you elect a life annuity payout option, the expenses shown in the example for
"if you do not surrender your contract" would, in each case, be increased by
$4.43 based on the average amount applied to annuity payout options in 1998.
See "Annuity Administrative fee "under" charges and expenses."
19
<PAGE>
- -------------------------------------------------------------------------------
EQUI-VEST SERIES 200 CONTRACTS
<TABLE>
<CAPTION>
- --------------------------------------------------------------------------------------------------------------------------
CHARGES WE DEDUCT FROM YOUR VARIABLE INVESTMENT OPTIONS (SEPARATE ACCOUNT A) EXPRESSED AS AN
ANNUAL PERCENTAGE OF DAILY NET ASSETS
- --------------------------------------------------------------------------------------------------------------------------
ALLIANCE BALANCED,
ALLIANCE COMMON STOCK, AND ALL OTHER VARIABLE
ALLIANCE MONEY MARKET OPTIONS INVESTMENT OPTIONS
------------------------------- ----------------------
<S> <C> <C>
Mortality and expense risk(1) 1.15% 1.09%
Other expenses 0.25% 0.25%(2)
---- -----
Total Separate Account A annual expenses(3)(4) 1.40% 1.34%
- ---------------------------------------------------------------------------------------------------------------------------
CHARGES WE DEDUCT FROM YOUR ACCOUNT VALUE ON EACH CONTRACT DATE ANNIVERSARY
- ---------------------------------------------------------------------------------------------------------------------------
Annual administrative charges(5) $30
CHARGES WE DEDUCT FROM YOUR ACCOUNT VALUE AT THE TIME YOU REQUEST CERTAIN TRANSACTIONS
- ---------------------------------------------------------------------------------------------------------------------------
Maximum withdrawal charge(6) 6%
- ---------------------------------------------------------------------------------------------------------------------------
</TABLE>
THE HUDSON RIVER TRUST ANNUAL EXPENSES
(AS A PERCENTAGE OF AVERAGE DAILY NET ASSETS IN EACH PORTFOLIO)
<TABLE>
<CAPTION>
- ----------------------------------------------------------------------------------------------------------
TOTAL
INVESTMENT ANNUAL
MANAGEMENT & OTHER EXPENSES(4)(7)
ADVISORY FEES EXPENSES (AFTER EXPENSE LIMITATION)
- ----------------------------------------------------------------------------------------------------------
<S> <C> <C> <C>
Alliance Aggressive Stock 0.54% 0.02% 0.56%
Alliance Balanced 0.41% 0.04% 0.45%
Alliance Common Stock 0.36% 0.03% 0.39%
Alliance Conservative Investors 0.48% 0.05% 0.53%
Alliance Equity Index 0.31% 0.03% 0.34%
Alliance Global 0.64% 0.07% 0.71%
Alliance Growth & Income 0.55% 0.03% 0.58%
Alliance Growth Investors 0.51% 0.04% 0.55%
Alliance High Yield 0.60% 0.03% 0.63%
Alliance Intermediate Government Securities 0.50% 0.05% 0.55%
Alliance International 0.90% 0.16% 1.06%
Alliance Money Market 0.35% 0.02% 0.37%
Alliance Quality Bond 0.53% 0.04% 0.57%
Alliance Small Cap Growth 0.90% 0.06% 0.96%
- ----------------------------------------------------------------------------------------------------------
</TABLE>
20
<PAGE>
EQ ADVISORS TRUST ANNUAL EXPENSES
(AS A PERCENTAGE OF AVERAGE DAILY NET ASSETS IN EACH PORTFOLIO)
<TABLE>
<CAPTION>
- ---------------------------------------------------------------------------------------------------------------------------------
TOTAL
INVESTMENT OTHER ANNUAL
MANAGEMENT & EXPENSES EXPENSES(9)
ADVISORY FEES 12B-1 FEE(8) (AFTER EXPENSE LIMITATION) (AFTER EXPENSE LIMITATION)
- ---------------------------------------------------------------------------------------------------------------------------------
<S> <C> <C> <C> <C>
MFS Emerging Growth Companies 0.55% 0.25% 0.05% 0.85%
MFS Research 0.55% 0.25% 0.05% 0.85%
Merrill Lynch Basic Value Equity 0.55% 0.25% 0.05% 0.85%
Merrill Lynch World Strategy 0.70% 0.25% 0.25% 1.20%
Morgan Stanley Emerging Markets Equity 1.15% 0.25% 0.35% 1.75%
EQ/Putnam Balanced 0.55% 0.25% 0.10% 0.90%
EQ/Putnam Growth & Income Value 0.55% 0.25% 0.05% 0.85%
T. Rowe Price Equity Income 0.55% 0.25% 0.05% 0.85%
T. Rowe Price International Stock 0.75% 0.25% 0.20% 1.20%
Warburg Pincus Small Company Value 0.65% 0.25% 0.10% 1.00%
- ---------------------------------------------------------------------------------------------------------------------------------
</TABLE>
Notes:
(1) A portion of this charge is for providing the death benefit.
(2) This charge is for financial accounting and other administrative services
related to the contract.
(3) Total Separate Account A annual expenses of the variable investment
options (not including The Hudson River Trust or the EQ Advisors Trust
fees and other expenses) are guaranteed not to exceed a total annual rate
of 1.40% for the Alliance Balanced, Alliance Common Stock, and Alliance
Money Market options and an annual rate of 1.34% for all the other
options.
(4) The total Separate Account A annual expenses of the variable investment
options and total annual expenses of The Hudson River Trust fees when
added together are not permitted to exceed an annual rate of 1.75% for
the Alliance Aggressive Stock, Alliance Balanced, Alliance Common Stock,
and Alliance Money Market options. Without this expense limitation, the
total annual expenses deducted from the variable investment options plus
The Hudson River Trust annual expenses for 1998 would have been 1.77% for
the Alliance Money Market option; 1.79% for the Alliance Common Stock
option; 1.90% for the Alliance Aggressive Stock option; and 1.85% for the
Alliance Balanced option.
(5) 2% of your account value if less.
(6) Deducted upon a withdrawal of amounts in excess of the 10% free
withdrawal amount. Important exceptions and limitations may eliminate or
reduce this charge.
(7) The fees and expenses shown for all Portfolio's are for the year ended
December 31, 1998. The investment management and advisory fee for each
Portfolio of The Hudson River Trust may vary from year to year depending
upon the average daily net assets of the respective Portfolio. The
maximum investment advisory fees, however, cannot be increased without a
vote of that Portfolio's shareholders. See the prospectus for The Hudson
River Trust. The other direct operating expenses will also fluctuate from
year to year depending on actual expenses. See the expense limitations
discussed in footnote (4).
(8) The Class IB shares of EQ Advisors Trust are subject to fees imposed
under a distribution plan (the "Rule 12b-1 Plan") adopted by EQ Advisors
Trust pursuant to Rule 12b-1 under the Investment Company Act of 1940, as
amended. The 12b-1 fee will not be increased for the life of the
contracts.
(9) The maximum investment management and advisory fees for each Portfolio of
EQ Advisors Trust cannot be increased without a vote of that Portfolio's
shareholders. See the prospectus for EQ Advisors Trust. The amounts shown
as "Other Expenses" will fluctuate from year to year depending on actual
expenses. However, EQ Financial Consultants, Inc. ("EQF"), EQ Advisors
Trust 's manager, has entered into an expense limitation agreement with
respect to each Portfolio. Under this agreement EQF has agreed to waive
or limit its fees and assume other expenses. Under the expense limitation
agreement, total annual operating expenses of each Portfolio (other than
interest, taxes, brokerage commissions, capitalized expenditures,
extraordinary expenses and 12b-1 fees) are limited for the average daily
net assets of each Portfolio as follows: 0.60% for EQ/Putnam Growth &
Income Value, MFS Emerging Growth Companies, MFS Research, Merrill Lynch
Basic Value Equity, and T. Rowe Price Equity Income; 0.65% for EQ/Putnam
Balanced; 0.75% for Warburg Pincus Small Company Value; 0.95% for Merrill
Lynch World Strategy and T. Rowe Price International Stock; and 1.50% for
Morgan Stanley Emerging Markets Equity.
21
<PAGE>
- -------------------------------------------------------------------------------
Absent the expense limitation, "Other Expenses" for 1998 on an annualized
basis for each of the Portfolios would have been as follows: 0.24% for MFS
Emerging Growth Companies, EQ/Putnam Growth and Income Value, and T. Rowe
Price Equity Income; 0.25% for MFS Research; 0.26% for Merrill Lynch Basic
Value Equity; 0.66% for Merrill Lynch World Strategy; 1.23% for Morgan
Stanley Emerging Markets Equity; 0.45% for EQ/Putnam Balanced; 0.40% for
T. Rowe Price International Stock; and 0.27% for Warburg Pincus Small
Company Value.
Each Portfolio may at a later date make a reimbursement to EQF for any of
the management fees waived or limited and other expenses assumed and paid
by EQF pursuant to the expense limitation agreement provided, that among
other things, such Portfolio has reached sufficient size to permit such
reimbursement to be made and provided that the Portfolio's current annual
operating expenses do not exceed the operating expense limit determined
for such Portfolio.
22
<PAGE>
- -------------------------------------------------------------------------------
EXAMPLES: EQUI-VEST SERIES 200 CONTRACTS
The examples below show the expenses that a hypothetical contract owner would
pay in the situations illustrated. We assume a $1,000 contribution is invested
in one of the variable investment options listed, and a 5% annual return is
earned on the assets in that option. We also assume there is no waiver of the
withdrawal charge. (1) We calculate the annual administrative charge by using
the total actual annual administrative charges for 1998 under all EQUI-VEST
contracts as a percentage of the total assets held under all EQUI-VEST
contracts.
These examples should not be considered a representation of past or future
expenses for each option. Actual expenses may be greater or less than those
shown. Similarly, the annual rate of return assumed in the examples is not an
estimate or guarantee of future investment performance.
FOR IRA (TRADITIONAL, STANDARD ROTH AND CERTAIN QP IRA(2) CONTRACTS WHERE THE
FREE WITHDRAWAL AMOUNT APPLIES AFTER THE THIRD CONTRACT YEAR):
<TABLE>
<CAPTION>
- ---------------------------------------------------------------------------------------
IF YOU SURRENDER YOUR CONTRACT AT THE END OF EACH
PERIOD SHOWN, THE EXPENSES WOULD BE:
--------------------------------------------------
1 YEAR 3 YEARS 5 YEARS 10 YEARS
- ---------------------------------------------------------------------------------------
<S> <C> <C> <C> <C>
THE HUDSON RIVER TRUST OPTIONS
- ---------------------------------------------------------------------------------------
Alliance Aggressive Stock $ 80.83 $ 124.44 $ 163.81 $ 255.10
Alliance Balanced $ 80.83 $ 124.44 $ 163.81 $ 255.10
Alliance Common Stock $ 80.83 $ 124.44 $ 163.81 $ 255.10
Alliance Conservative Investors $ 82.01 $ 128.02 $ 169.86 $ 267.82
Alliance Equity Index $ 80.14 $ 122.35 $ 160.27 $ 247.62
Alliance Global $ 83.79 $ 133.37 $ 178.87 $ 286.60
Alliance Growth & Income $ 82.50 $ 129.51 $ 172.37 $ 273.07
Alliance Growth Investors $ 82.21 $ 128.61 $ 170.86 $ 269.92
Alliance High Yield $ 83.00 $ 130.99 $ 174.87 $ 278.29
Alliance Intermediate Government $ 82.21 $ 128.61 $ 170.86 $ 269.92
Securities
Alliance International $ 87.24 $ 143.71 $ 196.19 $ 322.15
Alliance Money Market $ 80.83 $ 124.44 $ 163.81 $ 255.10
Alliance Quality Bond $ 82.41 $ 129.21 $ 171.87 $ 272.02
Alliance Small Cap Growth $ 86.25 $ 140.76 $ 191.27 $ 312.12
- ---------------------------------------------------------------------------------------
EQ ADVISORS TRUST OPTIONS
- ---------------------------------------------------------------------------------------
MFS Emerging Growth Companies $ 85.17 $ 137.51 $ 185.83 $ 300.97
MFS Research $ 85.17 $ 137.51 $ 185.83 $ 300.97
Merrill Lynch Basic Value Equity $ 85.17 $ 137.51 $ 185.83 $ 300.97
Merrill Lynch World Strategy $ 88.62 $ 147.83 $ 203.05 $ 336.02
Morgan Stanley Emerging Markets $ 94.05 $ 163.88 $ 229.58 $ 388.62
Equity
EQ/Putnam Balanced $ 85.66 $ 138.99 $ 188.30 $ 306.06
EQ/Putnam Growth & Income Value $ 85.17 $ 137.51 $ 185.83 $ 300.97
T. Rowe Price Equity Income $ 85.17 $ 137.51 $ 185.83 $ 300.97
T. Rowe Price International Stock $ 88.62 $ 147.83 $ 203.05 $ 336.02
Warburg Pincus Small Company Value $ 86.65 $ 141.94 $ 193.24 $ 316.15
- ---------------------------------------------------------------------------------------
</TABLE>
23
<PAGE>
- -------------------------------------------------------------------------------
FOR QP IRA(3) CONTRACTS (WHERE THE FREE WITHDRAWAL AMOUNT APPLIES IN THE FIRST
CONTRACT YEAR):
<TABLE>
<CAPTION>
- ---------------------------------------------------------------------------------------
IF YOU SURRENDER YOUR CONTRACT AT THE END OF EACH
PERIOD SHOWN, THE EXPENSES WOULD BE:
--------------------------------------------------
1 YEAR 3 YEARS 5 YEARS 10 YEARS
- ---------------------------------------------------------------------------------------
<S> <C> <C> <C> <C>
THE HUDSON RIVER TRUST OPTIONS
- ---------------------------------------------------------------------------------------
Alliance Aggressive Stock $ 74.64 $ 117.86 $ 163.81 $ 255.10
Alliance Balanced $ 74.64 $ 117.86 $ 163.81 $ 255.10
Alliance Common Stock $ 74.64 $ 117.86 $ 163.81 $ 255.10
Alliance Conservative Investors $ 75.83 $ 121.47 $ 169.86 $ 267.82
Alliance Equity Index $ 73.95 $ 115.76 $ 160.27 $ 247.62
Alliance Global $ 77.62 $ 126.85 $ 178.87 $ 286.60
Alliance Growth & Income $ 76.33 $ 122.96 $ 172.37 $ 273.07
Alliance Growth Investors $ 76.03 $ 122.07 $ 170.86 $ 269.92
Alliance High Yield $ 76.82 $ 124.46 $ 174.87 $ 278.29
Alliance Intermediate Government $ 76.03 $ 122.07 $ 170.86 $ 269.92
Securities
Alliance International $ 81.09 $ 137.27 $ 196.19 $ 322.15
Alliance Money Market $ 74.64 $ 117.86 $ 163.81 $ 255.10
Alliance Quality Bond $ 76.23 $ 122.66 $ 171.87 $ 272.02
Alliance Small Cap Growth $ 80.10 $ 134.30 $ 191.27 $ 312.12
- ---------------------------------------------------------------------------------------
EQ ADVISORS TRUST OPTIONS
- ---------------------------------------------------------------------------------------
MFS Emerging Growth Companies $ 79.01 $ 131.03 $ 185.83 $ 300.97
MFS Research $ 79.01 $ 131.03 $ 185.83 $ 300.97
Merrill Lynch Basic Value Equity $ 79.01 $ 131.03 $ 185.83 $ 300.97
Merrill Lynch World Strategy $ 82.48 $ 141.41 $ 203.05 $ 336.02
Morgan Stanley Emerging Markets $ 87.94 $ 157.57 $ 229.58 $ 388.62
Equity
EQ/Putnam Balanced $ 79.51 $ 132.51 $ 188.30 $ 306.06
EQ/Putnam Growth & Income Value $ 79.01 $ 131.03 $ 185.83 $ 300.97
T. Rowe Price Equity Income $ 79.01 $ 131.03 $ 185.83 $ 300.97
T. Rowe Price International Stock $ 82.48 $ 141.41 $ 203.05 $ 336.02
Warburg Pincus Small Company Value $ 80.50 $ 135.49 $ 193.24 $ 316.15
- ---------------------------------------------------------------------------------------
</TABLE>
24
<PAGE>
- -------------------------------------------------------------------------------
FOR NQ CONTRACTS:
<TABLE>
<CAPTION>
- ---------------------------------------------------------------------------------------
IF YOU SURRENDER YOUR CONTRACT AT THE END OF EACH
PERIOD SHOWN, THE EXPENSES WOULD BE:
--------------------------------------------------
1 YEAR 3 YEARS 5 YEARS 10 YEARS
- ---------------------------------------------------------------------------------------
<S> <C> <C> <C> <C>
THE HUDSON RIVER TRUST OPTIONS
- ---------------------------------------------------------------------------------------
Alliance Aggressive Stock $ 74.64 $ 117.86 $ 160.90 $ 218.45
Alliance Balanced $ 74.64 $ 117.86 $ 160.90 $ 218.45
Alliance Common Stock $ 74.64 $ 117.86 $ 160.90 $ 218.45
Alliance Conservative Investors $ 75.83 $ 121.47 $ 167.33 $ 231.61
Alliance Equity Index $ 73.95 $ 115.76 $ 157.13 $ 210.70
Alliance Global $ 77.62 $ 126.85 $ 176.91 $ 251.05
Alliance Growth & Income $ 76.33 $ 122.96 $ 169.99 $ 237.05
Alliance Growth Investors $ 76.03 $ 122.07 $ 168.39 $ 233.79
Alliance High Yield $ 76.82 $ 124.46 $ 172.66 $ 242.45
Alliance Intermediate Government $ 76.03 $ 122.07 $ 168.39 $ 233.79
Securities
Alliance International $ 81.09 $ 137.27 $ 195.33 $ 287.85
Alliance Money Market $ 74.64 $ 117.86 $ 160.90 $ 218.45
Alliance Quality Bond $ 76.23 $ 122.66 $ 169.46 $ 235.96
Alliance Small Cap Growth $ 80.10 $ 134.30 $ 190.09 $ 277.47
- ---------------------------------------------------------------------------------------
EQ ADVISORS TRUST OPTIONS
- ---------------------------------------------------------------------------------------
MFS Emerging Growth Companies $ 79.01 $ 131.03 $ 184.31 $ 265.93
MFS Research $ 79.01 $ 131.03 $ 184.31 $ 265.93
Merrill Lynch Basic Value Equity $ 79.01 $ 131.03 $ 184.31 $ 265.93
Merrill Lynch World Strategy $ 82.48 $ 141.41 $ 202.62 $ 302.21
Morgan Stanley Emerging Markets $ 87.94 $ 157.57 $ 229.58 $ 356.67
Equity
EQ/Putnam Balanced $ 79.51 $ 132.51 $ 186.94 $ 271.19
EQ/Putnam Growth & Income $ 79.01 $ 131.03 $ 184.31 $ 265.93
Value
T. Rowe Price Equity Income $ 79.01 $ 131.03 $ 184.31 $ 265.93
T. Rowe Price International Stock $ 82.48 $ 141.41 $ 202.62 $ 302.21
Warburg Pincus Small Company $ 80.50 $ 135.49 $ 192.19 $ 281.64
Value
- ---------------------------------------------------------------------------------------
</TABLE>
25
<PAGE>
- -------------------------------------------------------------------------------
FOR ALL SERIES 200 CONTRACTS:
<TABLE>
<CAPTION>
- ---------------------------------------------------------------------------------------
IF YOU SURRENDER YOUR CONTRACT AT THE END OF EACH
PERIOD SHOWN, THE EXPENSES WOULD BE:
--------------------------------------------------
1 YEAR 3 YEARS 5 YEARS 10 YEARS
- ---------------------------------------------------------------------------------------
<S> <C> <C> <C> <C>
THE HUDSON RIVER TRUST OPTIONS
- ---------------------------------------------------------------------------------------
Alliance Aggressive Stock $ 18.97 $ 58.68 $ 100.90 $ 218.45
Alliance Balanced $ 18.97 $ 58.68 $ 100.90 $ 218.45
Alliance Common Stock $ 18.97 $ 58.68 $ 100.90 $ 218.45
Alliance Conservative Investors $ 20.22 $ 62.50 $ 107.33 $ 231.61
Alliance Equity Index $ 18.23 $ 56.45 $ 97.13 $ 210.70
Alliance Global $ 22.11 $ 68.21 $ 116.91 $ 251.05
Alliance Growth & Income $ 20.75 $ 64.09 $ 109.99 $ 237.05
Alliance Growth Investors $ 20.43 $ 63.13 $ 108.39 $ 233.79
Alliance High Yield $ 21.27 $ 65.67 $ 112.66 $ 242.45
Alliance Intermediate Government
Securities $ 20.43 $ 63.13 $ 108.39 $ 233.79
Alliance International $ 25.79 $ 79.25 $ 135.33 $ 287.85
Alliance Money Market $ 18.97 $ 58.68 $ 100.90 $ 218.45
Alliance Quality Bond $ 20.64 $ 63.77 $ 109.46 $ 235.96
Alliance Small Cap Growth $ 24.74 $ 76.10 $ 130.09 $ 277.47
- ---------------------------------------------------------------------------------------
EQ ADVISORS TRUST OPTIONS
- ---------------------------------------------------------------------------------------
MFS Emerging Growth Companies $ 23.58 $ 72.63 $ 124.31 $ 265.93
MFS Research $ 23.58 $ 72.63 $ 124.31 $ 265.93
Merrill Lynch Basic Value Equity $ 23.58 $ 72.63 $ 124.31 $ 265.93
Merrill Lynch World Strategy $ 27.26 $ 83.64 $ 142.62 $ 302.21
Morgan Stanley Emerging Markets
Equity $ 33.03 $ 100.77 $ 170.84 $ 356.67
EQ/Putnam Balanced $ 24.11 $ 74.21 $ 126.94 $ 271.19
EQ/Putnam Growth & Income $ 23.58 $ 72.63 $ 124.31 $ 265.93
Value
T. Rowe Price Equity Income $ 23.58 $ 72.63 $ 124.31 $ 265.93
T. Rowe Price International Stock $ 27.26 $ 83.64 $ 142.62 $ 302.21
Warburg Pincus Small Company $ 25.16 $ 77.36 $ 132.19 $ 281.64
Value
- ---------------------------------------------------------------------------------------
</TABLE>
- ----------
(1) The amount accumulated from the $1,000 contribution could not be paid in
the form of an annuity payout option at the end of any of the periods
shown in the examples. This is because if the amount applied to purchase
an payout option is less than $2,000, or the initial payment is less than
$20, we may pay the amount to you in a single sum instead of as payments
under an annuity payout option. See "Accessing your money."
(2) These expenses also apply to a QP IRA with the number 11933I in the lower
left corner of the first page of your contract, or those QP IRA contracts
issued in Oregon.
(3) These expenses apply only to a QP IRA with the number 92QPI in the lower
left corner of the first page of your contract.
IF YOU ELECT AN ANNUITY PAYOUT OPTION:
Assuming an annuity payout option could be issued, (see note (1) above), and
you elect a life annuity payout option, the expenses shown in the above example
for "if you do not surrender your contract" would, in each case, be increased by
$4.43 based on the average amount applied to annuity payout options in 1998.
See "Annuity administrative fee" under "Charges and expenses."
26
<PAGE>
- -------------------------------------------------------------------------------
EQUI-VEST SERIES 100 CONTRACTS
<TABLE>
<CAPTION>
- ------------------------------------------------------------------------------------------------------------------
CHARGES WE DEDUCT FROM YOUR VARIABLE INVESTMENT OPTIONS (SEPARATE ACCOUNT A) EXPRESSED AS AN
ANNUAL PERCENTAGE OF DAILY NET ASSETS
- ------------------------------------------------------------------------------------------------------------------
ALLIANCE BALANCED,
ALLIANCE COMMON STOCK, AND ALL OTHER VARIABLE
ALLIANCE MONEY MARKET OPTIONS INVESTMENT OPTIONS
- ------------------------------------------------------------------------------------------------------------------
<S> <C> <C>
Mortality and expense risk(1) 0.65% 0.50%
Other expenses(2) 0.84% 0.84%
---- ----
Total Separate Account A annual expenses(3)(4) 1.49% 1.34%
- ------------------------------------------------------------------------------------------------------------------
CHARGES WE DEDUCT FROM YOUR ACCOUNT VALUE ON EACH CONTRACT DATE ANNIVERSARY
- ------------------------------------------------------------------------------------------------------------------
Annual administrative charge(5) $ 30
CHARGES WE DEDUCT FROM YOUR ACCOUNT VALUE AT THE TIME YOU REQUEST CERTAIN TRANSACTIONS
- ------------------------------------------------------------------------------------------------------------------
Maximum withdrawal charge(6) 6%
- ------------------------------------------------------------------------------------------------------------------
</TABLE>
THE HUDSON RIVER TRUST ANNUAL EXPENSES
(AS A PERCENTAGE OF AVERAGE DAILY NET ASSETS IN EACH PORTFOLIO)
<TABLE>
<CAPTION>
- ----------------------------------------------------------------------------------------------------------
TOTAL
INVESTMENT ANNUAL
MANAGEMENT & OTHER EXPENSES(4)(7)
ADVISORY FEES EXPENSES (AFTER EXPENSE LIMITATION)
- ----------------------------------------------------------------------------------------------------------
<S> <C> <C> <C>
Alliance Aggressive Stock 0.54% 0.02% 0.56%
Alliance Balanced 0.41% 0.04% 0.45%
Alliance Common Stock 0.36% 0.03% 0.39%
Alliance Conservative Investors 0.48% 0.05% 0.53%
Alliance Equity Index 0.31% 0.03% 0.34%
Alliance Global 0.64% 0.07% 0.71%
Alliance Growth & Income 0.55% 0.03% 0.58%
Alliance Growth Investors 0.51% 0.04% 0.55%
Alliance High Yield 0.60% 0.03% 0.63%
Alliance Intermediate Government Securities 0.50% 0.05% 0.55%
Alliance International 0.90% 0.16% 1.06%
Alliance Money Market 0.35% 0.02% 0.37%
Alliance Quality Bond 0.53% 0.04% 0.57%
Alliance Small Cap Growth 0.90% 0.06% 0.96%
- ----------------------------------------------------------------------------------------------------------
</TABLE>
27
<PAGE>
- -------------------------------------------------------------------------------
EQ ADVISORS TRUST ANNUAL EXPENSES
(AS A PERCENTAGE OF AVERAGE DAILY NET ASSETS IN EACH PORTFOLIO)
<TABLE>
<CAPTION>
- --------------------------------------------------------------------------------------------------------------------------------
TOTAL
INVESTMENT OTHER ANNUAL
MANAGEMENT & EXPENSES EXPENSES(9)
ADVISORY FEES 12B-1 FEE(8) (AFTER EXPENSE LIMITATION) (AFTER EXPENSE LIMITATION
- --------------------------------------------------------------------------------------------------------------------------------
<S> <C> <C> <C> <C>
MFS Emerging Growth Companies 0.55% 0.25% 0.05% 0.85%
MFS Research 0.55% 0.25% 0.05% 0.85%
Merrill Lynch Basic Value Equity 0.55% 0.25% 0.05% 0.85%
Merrill Lynch World Strategy 0.70% 0.25% 0.25% 1.20%
Morgan Stanley Emerging Markets Equity 1.15% 0.25% 0.35% 1.75%
EQ/Putnam Balanced 0.55% 0.25% 0.10% 0.90%
EQ/Putnam Growth & Income Value 0.55% 0.25% 0.05% 0.85%
T. Rowe Price Equity Income 0.55% 0.25% 0.05% 0.85%
T. Rowe Price International Stock 0.75% 0.25% 0.20% 1.20%
Warburg Pincus Small Company Value 0.65% 0.25% 0.10% 1.00%
- --------------------------------------------------------------------------------------------------------------------------------
</TABLE>
- ----------
(1) A portion of this charge is for providing the death benefit.
(2) This charge is for financial accounting and other administrative services
related to the contract.
(3) Total Separate Account A annual expenses of the variable investment
options (not including The Hudson River Trust or EQ Advisors Trust fees
and other expenses) are guaranteed not to exceed a total annual rate of
1.49% for the Alliance Balanced, Alliance Common Stock, and Alliance
Money Market options and an annual rate of 1.34% for all the other
options.
(4) The total Separate Account A annual expenses of the variable investment
options and total annual expenses of The Hudson River Trust fees when
added together are not permitted to exceed an annual rate of 1.75% for
the Alliance Aggressive Stock, Alliance Balanced, Alliance Common Stock,
and Alliance Money Market options. Without this expense limitation, the
total annual expenses deducted from the variable investment options plus
The Hudson River Trust annual expenses for 1998 would have been 1.86% for
the Alliance Money Market option; 1.88% for the Alliance Common Stock
option; 1.90% for the Alliance Aggressive Stock option; and 1.94% for the
Alliance Balanced option.
(5) 2% of your account value if less.
(6) Deducted upon a withdrawal of amounts in excess of the 10% free
withdrawal amount. Important exceptions and limitations may eliminate or
reduce this charge.
(7) The fees and expenses for all Portfolio's are for the year ended December
31, 1998. The investment management and advisory fee for each Portfolio
of The Hudson River Trust may vary from year to year depending upon the
average daily net assets of the respective Portfolio. The maximum
investment advisory fees, however, cannot be increased without a vote of
that Portfolio's shareholders. See the prospectus for The Hudson River
Trust. The other direct operating expenses will also fluctuate from year
to year depending on actual expenses. See the expense limitations
discussed in footnote (4).
(8) The Class IB shares of EQ Advisors Trust are subject to fees imposed
under a distribution plan (the "Rule 12b-1 Plan") adopted by EQ Advisors
Trust pursuant to Rule 12b-1 under the Investment Company Act of 1940, as
amended. The 12b-1 fee will not be increased for the life of the
contracts.
(9) The maximum investment management and advisory fees for each Portfolio of
EQ Advisors Trust cannot be increased without a vote of that Portfolio's
shareholders. See the prospectus for EQ Advisors Trust. The amounts shown
as "Other Expenses" will fluctuate from year to year depending on actual
expenses. However, EQ Financial Consultants, Inc. ("EQF"), EQ Advisors
Trust 's manager, has entered into an expense limitation agreement with
respect to each Portfolio. Under this agreement EQF has agreed to waive
or limit its fees and assume other expenses. Under the expense limitation
agreement, total annual operating expenses of each Portfolio (other than
interest, taxes, brokerage commissions, capitalized expenditures,
extraordinary expenses and 12b-1 fees) are limited for the average daily
net assets of each Portfolio as follows: 0.60% for EQ/Putnam Growth &
Income Value, MFS Emerging Growth Companies, MFS Research,
28
<PAGE>
- -------------------------------------------------------------------------------
Merrill Lynch Basic Value Equity, and T. Rowe Price Equity Income; 0.65%
for EQ/Putnam Balanced; 0.75% for Warburg Pincus Small Company Value;
0.95% for Merrill Lynch World Strategy and T. Rowe Price International
Stock; and 1.50% for Morgan Stanley Emerging Markets Equity.
Absent the expense limitation, "Other Expenses" for 1998 on an annualized
basis for each of the Portfolios would have been as follows: 0.24% for MFS
Emerging Growth Companies, EQ/Putnam Growth and Income Value, and T. Rowe
Price Equity Income; 0.25% for MFS Research; 0.26% for Merrill Lynch Basic
Value Equity; 0.66% for Merrill Lynch World Strategy; 1.23% for Morgan
Stanley Emerging Markets Equity ; 0.45% for EQ/Putnam Balanced; 0.40% for
T. Rowe Price International Stock; and 0.27% for Warburg Pincus Small
Company Value.
Each Portfolio may at a later date make a reimbursement to EQF for any of
the management fees waived or limited and other expenses assumed and paid
by EQF pursuant to the expense limitation agreement provided, that among
other things, such Portfolio has reached sufficient size to permit such
reimbursement to be made and provided that the Portfolio's current annual
operating expenses do not exceed the operating expense limit determined
for such Portfolio.
29
<PAGE>
- -------------------------------------------------------------------------------
EXAMPLES: EQUI-VEST SERIES 100 CONTRACTS
The examples below show the expenses that a hypothetical contract owner would
pay in the situations illustrated. We assume a $1,000 contribution is invested
in one of the variable investment options listed, and a 5% annual return is
earned on the assets in that option. We also assume there is no waiver of the
withdrawal charge. (1) We calculate the annual administrative charge by using
the total actual annual administrative charges for 1998 under all EQUI-VEST
contracts as a percentage of the total assets held under all EQUI-VEST
contracts.
These examples should not be considered a representation of past or future
expenses for each option. Actual expenses may be greater or less than those
shown. Similarly, the annual rate of return assumed in the examples is not an
estimate or guarantee of future investment performance.
FOR IRA (TRADITIONAL, STANDARD ROTH AND CERTAIN QP IRA(2) CONTRACTS WHERE THE
FREE WITHDRAWAL AMOUNT APPLIES AFTER THE THIRD CONTRACT YEAR):
<TABLE>
<CAPTION>
- ------------------------------------------------------------------------------------------------------
IF YOU SURRENDER YOUR CONTRACT AT THE END OF EACH
PERIOD SHOWN, THE EXPENSES WOULD BE:
------------------------------------------------------
1 YEAR 3 YEARS 5 YEARS 10 YEARS
- ------------------------------------------------------------------------------------------------------
<S> <C> <C> <C> <C>
THE HUDSON RIVER TRUST OPTIONS
- ------------------------------------------------------------------------------------------------------
Alliance Aggressive Stock $ 80.83 $ 124.44 $ 163.81 $ 255.10
Alliance Balanced $ 80.83 $ 124.44 $ 163.81 $ 255.10
Alliance Common Stock $ 80.83 $ 124.44 $ 163.81 $ 255.10
Alliance Conservative Investors $ 82.01 $ 128.02 $ 169.86 $ 267.82
Alliance Equity Index $ 80.14 $ 122.35 $ 160.27 $ 247.62
Alliance Global $ 83.79 $ 133.37 $ 178.87 $ 286.60
Alliance Growth & Income $ 82.50 $ 129.51 $ 172.37 $ 273.07
Alliance Growth Investors $ 82.21 $ 128.61 $ 170.86 $ 269.92
Alliance High Yield $ 83.00 $ 130.99 $ 174.87 $ 278.29
Alliance Intermediate Government Securities $ 82.21 $ 128.61 $ 170.86 $ 269.92
Alliance International $ 87.24 $ 143.71 $ 196.19 $ 322.15
Alliance Money Market $ 80.83 $ 124.44 $ 163.81 $ 255.10
Alliance Quality Bond $ 82.41 $ 129.21 $ 171.87 $ 272.02
Alliance Small Cap Growth $ 86.25 $ 140.76 $ 191.27 $ 312.12
- ------------------------------------------------------------------------------------------------------
EQ ADVISORS TRUST OPTIONS
- ------------------------------------------------------------------------------------------------------
MFS Emerging Growth Companies $ 85.17 $ 137.51 $ 185.83 $ 300.97
MFS Research $ 85.17 $ 137.51 $ 185.83 $ 300.97
Merrill Lynch Basic Value Equity $ 85.17 $ 137.51 $ 185.83 $ 300.97
Merrill Lynch World Strategy $ 88.62 $ 147.83 $ 203.05 $ 336.02
Morgan Stanley Emerging Markets Equity $ 94.05 $ 163.88 $ 229.58 $ 388.62
EQ/Putnam Balanced $ 85.66 $ 138.99 $ 188.30 $ 306.06
EQ/Putnam Growth & Income Value $ 85.17 $ 137.51 $ 185.83 $ 300.97
T. Rowe Price Equity Income $ 85.17 $ 137.51 $ 185.83 $ 300.97
T. Rowe Price International Stock $ 88.62 $ 147.83 $ 203.05 $ 336.02
Warburg Pincus Small Company Value $ 86.65 $ 141.94 $ 193.24 $ 316.15
- ------------------------------------------------------------------------------------------------------
</TABLE>
30
<PAGE>
- -------------------------------------------------------------------------------
FOR QP IRA(3) CONTRACTS (WHERE THE FREE WITHDRAWAL AMOUNT APPLIES STARTING IN
THE FIRST CONTRACT YEAR):
<TABLE>
<CAPTION>
- -------------------------------------------------------------------------------------------------------
IF YOU SURRENDER YOUR CONTRACT AT THE END OF EACH
PERIOD SHOWN, THE EXPENSES WOULD BE:
-------------------------------------------------------
1 YEAR 3 YEARS 5 YEARS 10 YEARS
- ------------------------------------------------------------------------------------------------------
<S> <C> <C> <C> <C>
THE HUDSON RIVER TRUST OPTIONS
- ------------------------------------------------------------------------------------------------------
Alliance Aggressive Stock $ 74.64 $ 117.86 $ 163.81 $ 255.10
Alliance Balanced $ 74.64 $ 117.86 $ 163.81 $ 255.10
Alliance Common Stock $ 74.64 $ 117.86 $ 163.81 $ 255.10
Alliance Conservative Investors $ 75.83 $ 121.47 $ 169.86 $ 267.82
Alliance Equity Index $ 73.95 $ 115.76 $ 160.27 $ 247.62
Alliance Global $ 77.62 $ 126.85 $ 178.87 $ 286.60
Alliance Growth & Income $ 76.33 $ 122.96 $ 172.37 $ 273.07
Alliance Growth Investors $ 76.03 $ 122.07 $ 170.86 $ 269.92
Alliance High Yield $ 76.82 $ 124.46 $ 174.87 $ 278.29
Alliance Intermediate Government Securities $ 76.03 $ 122.07 $ 170.86 $ 269.92
Alliance International $ 81.09 $ 137.27 $ 196.19 $ 322.15
Alliance Money Market $ 74.64 $ 117.86 $ 163.81 $ 255.10
Alliance Quality Bond $ 76.23 $ 122.66 $ 171.87 $ 272.02
Alliance Small Cap Growth $ 80.10 $ 134.30 $ 191.27 $ 312.12
- ------------------------------------------------------------------------------------------------------
EQ ADVISORS TRUST OPTIONS
- ------------------------------------------------------------------------------------------------------
MFS Emerging Growth Companies $ 79.01 $ 131.03 $ 185.83 $ 300.97
MFS Research $ 79.01 $ 131.03 $ 185.83 $ 300.97
Merrill Lynch Basic Value Equity $ 79.01 $ 131.03 $ 185.83 $ 300.97
Merrill Lynch World Strategy $ 82.48 $ 141.41 $ 203.05 $ 336.02
Morgan Stanley Emerging Markets Equity $ 87.94 $ 157.57 $ 229.58 $ 388.62
EQ/Putnam Balanced $ 79.51 $ 132.51 $ 188.30 $ 306.06
EQ/Putnam Growth & Income Value $ 79.01 $ 131.03 $ 185.83 $ 300.97
T. Rowe Price Equity Income $ 79.01 $ 131.03 $ 185.83 $ 300.97
T. Rowe Price International Stock $ 82.48 $ 141.41 $ 203.05 $ 336.02
Warburg Pincus Small Company Value $ 80.50 $ 135.49 $ 193.24 $ 316.15
- ------------------------------------------------------------------------------------------------------
</TABLE>
31
<PAGE>
- -------------------------------------------------------------------------------
FOR NQ CONTRACTS:
<TABLE>
<CAPTION>
- ------------------------------------------------------------------------------------------------------
IF YOU SURRENDER YOUR CONTRACT AT THE END OF EACH
PERIOD SHOWN, THE EXPENSES WOULD BE:
------------------------------------------------------
1 YEAR 3 YEARS 5 YEARS 10 YEARS
- ------------------------------------------------------------------------------------------------------
<S> <C> <C> <C> <C>
THE HUDSON RIVER TRUST OPTIONS
- ------------------------------------------------------------------------------------------------------
Alliance Aggressive Stock $ 74.64 $ 117.86 $ 160.90 $ 218.45
Alliance Balanced $ 74.64 $ 117.86 $ 160.90 $ 218.45
Alliance Common Stock $ 74.64 $ 117.86 $ 160.90 $ 218.45
Alliance Conservative Investors $ 75.83 $ 121.47 $ 167.33 $ 231.61
Alliance Equity Index $ 73.95 $ 115.76 $ 157.13 $ 210.70
Alliance Global $ 77.62 $ 126.85 $ 176.91 $ 251.05
Alliance Growth & Income $ 76.33 $ 122.96 $ 169.99 $ 237.05
Alliance Growth Investors $ 76.03 $ 122.07 $ 168.39 $ 233.79
Alliance High Yield $ 76.82 $ 124.46 $ 172.66 $ 242.45
Alliance Intermediate Government Securities $ 76.03 $ 122.07 $ 168.39 $ 233.79
Alliance International $ 81.09 $ 137.27 $ 195.33 $ 287.85
Alliance Money Market $ 74.64 $ 117.86 $ 160.90 $ 218.45
Alliance Quality Bond $ 76.23 $ 122.66 $ 169.46 $ 235.96
Alliance Small Cap Growth $ 80.10 $ 134.30 $ 190.09 $ 277.47
- ------------------------------------------------------------------------------------------------------
EQ ADVISORS TRUST OPTIONS
- ------------------------------------------------------------------------------------------------------
MFS Emerging Growth Companies $ 79.01 $ 131.03 $ 184.31 $ 265.93
MFS Research $ 79.01 $ 131.03 $ 184.31 $ 265.93
Merrill Lynch Basic Value Equity $ 79.01 $ 131.03 $ 184.31 $ 265.93
Merrill Lynch World Strategy $ 82.48 $ 141.41 $ 202.62 $ 302.21
Morgan Stanley Emerging Markets Equity $ 87.94 $ 157.57 $ 229.58 $ 356.67
EQ/Putnam Balanced $ 79.51 $ 132.51 $ 186.94 $ 271.19
EQ/Putnam Growth & Income Value $ 79.01 $ 131.03 $ 184.31 $ 265.93
T. Rowe Price Equity Income $ 79.01 $ 131.03 $ 184.31 $ 265.93
T. Rowe Price International Stock $ 82.48 $ 141.41 $ 202.62 $ 302.21
Warburg Pincus Small Company Value $ 80.50 $ 135.49 $ 192.19 $ 281.64
- ------------------------------------------------------------------------------------------------------
</TABLE>
32
<PAGE>
- -------------------------------------------------------------------------------
FOR ALL SERIES 100 CONTRACTS:
<TABLE>
<CAPTION>
- ----------------------------------------------------------------------------------------------
IF YOU DO NOT SURRENDER YOUR CONTRACT AT THE
END OF EACH PERIOD SHOWN, THE EXPENSES WOULD BE:
------------------------------------------------
1 YEAR 3 YEARS 5 YEARS 10 YEARS
- ----------------------------------------------------------------------------------------------
<S> <C> <C> <C> <C>
THE HUDSON RIVER TRUST OPTIONS
- ----------------------------------------------------------------------------------------------
Alliance Aggressive Stock $ 18.97 $ 58.68 $ 100.90 $ 218.45
Alliance Balanced $ 18.97 $ 58.68 $ 100.90 $ 218.45
Alliance Common Stock $ 18.97 $ 58.68 $ 100.90 $ 218.45
Alliance Conservative Investors $ 20.22 $ 62.50 $ 107.33 $ 231.61
Alliance Equity Index $ 18.23 $ 56.45 $ 97.13 $ 210.70
Alliance Global $ 22.11 $ 68.21 $ 116.91 $ 251.05
Alliance Growth & Income $ 20.75 $ 64.09 $ 109.99 $ 237.05
Alliance Growth Investors $ 20.43 $ 63.13 $ 108.39 $ 233.79
Alliance High Yield $ 21.27 $ 65.67 $ 112.66 $ 242.45
Alliance Intermediate Government Securities $ 20.43 $ 63.13 $ 108.39 $ 233.79
Alliance International $ 25.79 $ 79.25 $ 135.33 $ 287.85
Alliance Money Market $ 18.97 $ 58.68 $ 100.90 $ 218.45
Alliance Quality Bond $ 20.64 $ 63.77 $ 109.46 $ 235.96
Alliance Small Cap Growth $ 24.74 $ 76.10 $ 130.09 $ 277.47
- ----------------------------------------------------------------------------------------------
EQ ADVISORS TRUST OPTIONS
- ----------------------------------------------------------------------------------------------
MFS Emerging Growth Companies $ 23.58 $ 72.63 $ 124.31 $ 265.93
MFS Research $ 23.58 $ 72.63 $ 124.31 $ 265.93
Merrill Lynch Basic Value Equity $ 23.58 $ 72.63 $ 124.31 $ 265.93
Merrill Lynch World Strategy $ 27.26 $ 83.64 $ 142.62 $ 302.21
Morgan Stanley Emerging Markets Equity $ 33.03 $ 100.77 $ 170.84 $ 356.67
EQ/Putnam Balanced $ 24.11 $ 74.21 $ 126.94 $ 271.19
EQ/Putnam Growth & Income Value $ 23.58 $ 72.63 $ 124.31 $ 265.93
T. Rowe Price Equity Income $ 23.58 $ 72.63 $ 124.31 $ 265.93
T. Rowe Price International Stock $ 27.26 $ 83.64 $ 142.62 $ 302.21
Warburg Pincus Small Company Value $ 25.16 $ 77.36 $ 132.19 $ 281.64
- ----------------------------------------------------------------------------------------------
</TABLE>
- ----------
(1) The amount accumulated from the $1,000 contribution could not be paid in
the form of an annuity payout option at the end of any of the periods
shown in the examples. This is because if the amount applied to purchase
an annuity payout option is less than $2,000, or the initial payment is
less than $20, we may pay the amount to you in a single sum instead of as
payments under an annuity payout option. See "Accessing your money."
(2) These expenses also apply to a QP IRA with the number 11933I in the lower
left hand corner of the first page of your contract, or those QP IRA
contracts issued in Oregon.
(3) These expenses apply only to a QP IRA with the number 92QPI in the lower
left corner of the first page of your contract.
IF YOU ELECT AN ANNUITY PAYOUT OPTION:
Assuming an annuity payout option could be issued, (see Note(1) above), and you
elect a life annuity payout option, the expenses shown in the above example for
"if you do not surrender your contract" would, in each case, be increased by
$4.43 based on the average amount applied to annuity payout options in 1998.
See "Annuity administrative fee" under "Charges and expenses."
CONDENSED FINANCIAL INFORMATION
Please see Appendix II at the end of this prospectus, for the unit values and
number of units outstanding as of the periods shown for each of the variable
investment options.
33
<PAGE>
1
Contract features and benefits
- -------------------------------------------------------------------------------
HOW YOU CAN PURCHASE AND CONTRIBUTE TO YOUR CONTRACT
You may purchase a contract by making payments to us we call "contributions."
We require a minimum contribution amount for each type and series of contract.
The following table summarizes our rules regarding contributions to your
contract.
<TABLE>
<CAPTION>
- -----------------------------------------------------------------------------------------------------------------------------------
CONTRACT MINIMUM LIMITATIONS ON
TYPE CONTRIBUTIONS SOURCE OF CONTRIBUTIONS CONTRIBUTIONS
- -----------------------------------------------------------------------------------------------------------------------------------
<S> <C> <C> <C>
NQ o $1,000 (initial), $50 (additional) o After-tax money. Not applicable
(all series)
o Paid to us by check or transfer
of contract value in a tax
deferred exchange under
Section 1035 of the Internal
Revenue Code.
Paid to us by an employer who
establishes a payroll deduction
program.
- -----------------------------------------------------------------------------------------------------------------------------------
Traditional IRA o $20 (initial and additional) o "Regular" IRA contributions. o Total contributions may not
(series 100 and 200) Paid to us by an employer who exceed $2,000 each year.
establishes a payroll deduction
o $50 (initial and additional) program. o No additional regular IRA
(series 300 and 400) contributions in the year you
o Rollovers from a qualified plan. turn age 70 1/2 and thereafter.
o Rollovers from a TSA. o Rollover contributions after age
70 1/2 must be net of required
o Rollovers from another minimum distributions.
traditional individual retirement
arrangement.
o Direct custodian-to-custodian
transfers from other traditional
individual retirement
arrangements.
Although we accept rollover and direct transfer contributions under the
Traditional IRA contracts, we intend that these contracts be used for
ongoing regular contributions.
- -----------------------------------------------------------------------------------------------------------------------------------
</TABLE>
34
<PAGE>
- -------------------------------------------------------------------------------
<TABLE>
<CAPTION>
- -----------------------------------------------------------------------------------------------------------------------------------
CONTRACT MINIMUM LIMITATIONS ON
TYPE CONTRIBUTIONS SOURCE OF CONTRIBUTIONS CONTRIBUTIONS
- -----------------------------------------------------------------------------------------------------------------------------------
<S> <C> <C> <C>
Standard Roth o $20 (initial and additional) o Regular after-tax contributions. o Total contributions may not
IRA and Roth (series 100 and 200) exceed $2,000 each year.
Advantage o Paid to us by an employer who
o $50 (initial and additional) establishes a payroll deduction o Contributions are subject to
(series 300, 400 and 500) program. income limits. See "Tax
information - Contributions to
o Rollovers from another Standard Roth IRAs."
Roth IRA or Roth Advantage.
o Conversion rollovers from a
Traditional IRA or QP IRA.
o Direct transfers from another
Standard Roth IRA or Roth
Advantage.
- -----------------------------------------------------------------------------------------------------------------------------------
QP IRA o $1,000 (series 100 and 200) o Rollovers from a qualified plan. o Rollover contributions after age
70 1/2 must be net of required
o $2,500 (series 300 and 400) o Rollovers from a TSA. minimum distributions.
o "Regular" after-tax
contributions are not permitted.
- -----------------------------------------------------------------------------------------------------------------------------------
</TABLE>
See "Tax information" for a more detailed discussion of sources of
contributions and certain contribution limitations. We may refuse to accept any
contribution if the sum of all contributions under all EQUI-VEST contracts with
the same annuitant would then total more than $1,000,000. We may also refuse to
accept any contribution if the sum of all contributions under all Equitable
Life annuity accumulation contracts that you own would then total more than
$2,500,000.
- ------------------------------------------------------------------------------
The "annuitant" is the person who is the measuring life for determining
contract benefits. The annuitant is not necessarily the contract owner.
- ------------------------------------------------------------------------------
For information on when contributions are credited see "Dates and prices at
which contract events occur" later in this prospectus.
35
<PAGE>
- -------------------------------------------------------------------------------
OWNER AND ANNUITANT REQUIREMENTS
Under NQ contracts, the annuitant can be different than the owner.
Under any type of the IRA contract, the owner and annuitant must be the same
person.
HOW YOU CAN MAKE YOUR CONTRIBUTIONS
Except as indicated below, contributions must be by check drawn on a bank in the
U.S. clearing through the Federal Reserve System, in U.S. dollars, and made
payable to Equitable Life. We do not accept third party checks endorsed to us
except for rollover contributions, tax-free exchanges or trustee checks that
involve no refund. All checks are subject to our ability to collect the funds.
We reserve the right to reject a payment if it is received in an unacceptable
form.
You may also make contributions by wire transfer or our automatic investment
program. See "Other methods of payment" later in this prospectus.
Your initial contribution must generally be accompanied by an application and
any other form we need to process the payments. If any information is missing or
unclear, we will try to obtain that information. If we are unable to obtain all
of the information we require within five business days after we receive an
incomplete application or form, we will inform the Equitable associate
submitting the application on your behalf. We will then return the contribution
to you unless you specifically direct us to keep your contribution until we
receive the required information.
Generally, you may make additional contributions at any time. You may do so in
single sum amounts, on a regular basis, or as your financial situation permits.
- -----------------------------------------------------------------------------
Generally our "business day" is any day on which Equitable Life is open and the
New York Stock Exchange is open for trading.
- -----------------------------------------------------------------------------
SECTION 1035 EXCHANGES
You may apply the value of an existing nonqualified deferred annuity contract,
(or life insurance or endowment contract) to purchase an NQ contract in a
tax-free exchange if you follow certain procedures as shown in the form that we
require you to use. Also see "Tax information" later in this prospectus.
WHAT ARE YOUR INVESTMENT OPTIONS UNDER THE CONTRACT?
Your investment options are the variable investment options, the guaranteed
interest option and the fixed maturity options.
VARIABLE INVESTMENT OPTIONS
Your investment results in any one of the 24 variable investment options will
depend on the investment performance of the underlying Portfolios. Listed below
are the currently available Portfolios, their investment objectives, and their
advisers.
- -----------------------------------------------------------------------------
You can choose among 24 variable investment options.
- -----------------------------------------------------------------------------
36
<PAGE>
- -------------------------------------------------------------------------------
PORTFOLIOS OF THE HUDSON RIVER TRUST
<TABLE>
<CAPTION>
- -----------------------------------------------------------------------------------------------------------------------
PORTFOLIO NAME OBJECTIVE ADVISER
- -----------------------------------------------------------------------------------------------------------------------
<S> <C> <C>
Alliance Aggressive Stock Long-term growth of capital Alliance Capital Management L.P.
- -----------------------------------------------------------------------------------------------------------------------
Alliance Balanced High return through a combination of current Alliance Capital Management L.P.
income and capital appreciation
- -----------------------------------------------------------------------------------------------------------------------
Alliance Common Stock Long-term growth of capital and increasing Alliance Capital Management L.P.
income
- -----------------------------------------------------------------------------------------------------------------------
Alliance Conservative Investors High total return without, in the adviser's Alliance Capital Management L.P.
opinion, undue risk to principal
- -----------------------------------------------------------------------------------------------------------------------
Alliance Equity Index Total return (before The Hudson River Trust and Alliance Capital Management L.P.
Separate Account A annual expenses) that
approximates the total return performance of the
Standard & Poor's 500 Composite Stock Price
Index
- -----------------------------------------------------------------------------------------------------------------------
Alliance Global Long-term growth of capital Alliance Capital Management L.P.
- -----------------------------------------------------------------------------------------------------------------------
Alliance Growth & Income High total return through a combination of Alliance Capital Management L.P.
current income and capital appreciation
- -----------------------------------------------------------------------------------------------------------------------
Alliance Growth Investors High total return consistent with the adviser's Alliance Capital Management L.P.
determination of reasonable risk
- -----------------------------------------------------------------------------------------------------------------------
Alliance High Yield High return by maximizing current income and, Alliance Capital Management L.P.
to the extent consistent with that objective,
capital appreciation
- -----------------------------------------------------------------------------------------------------------------------
Alliance Intermediate High current income consistent with relative Alliance Capital Management L.P.
- -----------------------------------------------------------------------------------------------------------------------
Government Securities stability of principal
- -----------------------------------------------------------------------------------------------------------------------
Alliance International Long-term growth of capital Alliance Capital Management L.P.
- -----------------------------------------------------------------------------------------------------------------------
Alliance Money Market High level of current income while preserving Alliance Capital Management L.P.
assets and maintaining liquidity
- -----------------------------------------------------------------------------------------------------------------------
Alliance Small Cap Growth Long-term growth of capital Alliance Capital Management L.P.
- -----------------------------------------------------------------------------------------------------------------------
Alliance Quality Bond High current income consistent with preservation Alliance Capital Management L.P.
of capital
- -----------------------------------------------------------------------------------------------------------------------
</TABLE>
37
<PAGE>
- -------------------------------------------------------------------------------
PORTFOLIOS OF THE EQ ADVISORS TRUST
<TABLE>
<CAPTION>
- -------------------------------------------------------------------------------------------------------------------------------
PORTFOLIO NAME OBJECTIVE ADVISER
- -------------------------------------------------------------------------------------------------------------------------------
<S> <C> <C>
MFS Emerging Growth Long-term growth of capital Massachusetts Financial Services
Companies Company
- -------------------------------------------------------------------------------------------------------------------------------
MFS Research Long-term growth of capital and future income Massachusetts Financial Services
Company
- -------------------------------------------------------------------------------------------------------------------------------
Merrill Lynch Basic Value Equity Capital appreciation and, secondarily, income Merrill Lynch Asset Management, L.P.
- -------------------------------------------------------------------------------------------------------------------------------
Merrill Lynch World Strategy High total investment return Merrill Lynch Asset Management, L.P.
- -------------------------------------------------------------------------------------------------------------------------------
Morgan Stanley Emerging Long-term capital appreciation Morgan Stanley Asset Management
Markets Equity
- -------------------------------------------------------------------------------------------------------------------------------
EQ/Putnam Balanced Balanced investment Putnam Investment Management, Inc.
- -------------------------------------------------------------------------------------------------------------------------------
EQ/Putnam Growth & Income Capital growth, current income is a secondary Putnam Investment Management, Inc.
Value objective
- -------------------------------------------------------------------------------------------------------------------------------
T. Rowe Price Equity Income Substantial dividend income and also capital T. Rowe Price Associates, Inc.
appreciation
- -------------------------------------------------------------------------------------------------------------------------------
T. Rowe Price International Long-term growth capital Rowe Price-Fleming International, Inc.
Stock
- -------------------------------------------------------------------------------------------------------------------------------
Warburg Pincus Small Company Long-term capital appreciation Warburg Pincus Asset Management, Inc.
Value
- -------------------------------------------------------------------------------------------------------------------------------
</TABLE>
Other important information about the Portfolios is included in the separate
prospectuses for The Hudson River Trust and EQ
Advisors Trust attached at the end of this prospectus.
GUARANTEED INTEREST OPTION
The guaranteed interest option is part of our general account and pays interest
at guaranteed rates. We discuss our general account under "More information."
We assign an interest rate to each amount allocated to the guaranteed interest
option. This rate is guaranteed for a specified period, depending on when the
allocation is made. Therefore, different interest rates may apply to different
amounts in the guaranteed interest option.
We credit interest daily to amounts in the guaranteed interest option. There are
three levels of interest in effect at the same time in the guaranteed interest
option:
(1) the minimum interest rate guaranteed over the life of the contract,
(2) the yearly guaranteed interest rate for the calendar year, and
(3) the current interest rate.
38
<PAGE>
- -------------------------------------------------------------------------------
We set current interest rates periodically, according to our procedures that we
have in effect at the time. All interest rates are effective annual rates, but
before deduction of annual administrative charges or any withdrawal charges.
The yearly guaranteed interest rate is 4% for 1999 and 4% for the year 2000. The
yearly rates we set will never be less than the minimum guaranteed interest rate
of 3% for the life of the contract. A 4% minimum may apply under some contracts.
Current interest rates will never be less than the yearly guaranteed interest
rate.
For series 500 contracts, however, the guaranteed interest rate, generally will
be 0.10% lower than the rates we set for the other contract series.
FIXED MATURITY OPTIONS
(series 400 and 500 contracts only)
We offer fixed maturity options with maturity dates ranging from one to ten
years. You can allocate your contributions to one or more of these fixed
maturity options. However, you may not allocate more than one contribution to
any one fixed maturity option. These amounts become part of our general account
assets. They will accumulate interest at the "rate to maturity" for each fixed
maturity option. The total amount you allocate to and accumulate in each fixed
maturity option is called the "fixed maturity amount." The fixed maturity
options are not available in contracts issued in Maryland. For contracts issued
in New York see "Charges and expenses" for information on withdrawal charges
when amounts are allocated to the fixed maturity options.
- -----------------------------------------------------------------------------
Fixed maturity options ranging from one to ten years to maturity.
- -----------------------------------------------------------------------------
The rate to maturity you will receive for each fixed maturity option is the rate
to maturity in effect for new contributions allocated to that fixed maturity
option on the date we apply your contribution. If you make any withdrawals or
transfers from a fixed maturity option before the maturity date, we will make a
market value adjustment that may increase or decrease any fixed maturity amount
you have left in that fixed maturity option. We discuss the market value
adjustment below and in greater detail later in this prospectus under "More
information."
On the maturity date of a fixed maturity option your fixed maturity amount,
assuming you have not made any withdrawals or transfers, will equal your
contribution to that fixed maturity option plus interest, at the rate to
maturity for that contribution, to the date of the calculation. This is the
fixed maturity option's "maturity value." Before maturity, the current value we
will report for your fixed maturity amount will reflect a market value
adjustment. It will reflect the market value adjustment that we would make if
you were to withdraw all of your fixed maturity amounts on the date of the
report. We call this your "market adjusted amount."
FIXED MATURITY OPTIONS AND MATURITY DATES. We currently offer fixed maturity
options ending on June 15th for each of the maturity years 2000 through 2009.
See "Allocating your contributions" below. As fixed maturity options expire, we
expect to add maturity years so that generally 10 are available at any time.
We will not accept allocations to a fixed maturity option if on the date the
contribution is to be applied:
o you previously allocated a contribution or made a transfer to the same
fixed maturity option; or
o the fixed maturity option's maturity date is within the current calendar
year; or
o the fixed maturity option's maturity date is later than the date annuity
payments are to begin.
OPTIONS AT MATURITY DATE. We will notify you at least 45 days before each of
your fixed maturity options is scheduled to mature. At that time, you may choose
to have one of the following options take place on the maturity date, as long as
none of the conditions listed above or in "Allocating your contributions," below
would apply:
(a) transfer the maturity value into another available fixed maturity option,
or into any of the variable investment options; or
39
<PAGE>
- -------------------------------------------------------------------------------
(b) withdraw the maturity value (there may be a withdrawal charge).
If we do not receive your choice on or before the fixed maturity option's
maturity date, we will automatically transfer your maturity value into the
Alliance Money Market option, or another investment option if we are required to
do so by any state regulation. Such a case is the State of New York where a
different rule applies. See "Series 400 and 500 contracts issued in New York -
fixed maturity options."
MARKET VALUE ADJUSTMENT.
If you make any withdrawals (including transfers, surrender or termination of
your contract, or when we make deductions for charges) from a fixed maturity
option before it matures we will make a market value adjustment, which will
increase or decrease any fixed maturity amount you have left in that fixed
maturity option. The amount of the adjustment will depend on two factors:
(a) the difference between the rate to maturity that applies to the amount
being withdrawn and the rate to maturity in effect at that time for new
allocations to that same fixed maturity option, and
(b) the length of time remaining until the maturity date.
In general, if interest rates rise from the time that you originally allocate an
amount to a fixed maturity option to the time that you take a withdrawal, the
market value adjustment will be negative. Likewise, if interest rates drop at
the end of that time, the market value adjustment will be positive. Also, the
amount of the market value adjustment, either up or down, will be greater the
longer the time remaining until the fixed maturity option's maturity date.
Therefore, it is possible that the market value adjustment could greatly reduce
your value in the fixed maturity options, particularly in the fixed maturity
options with later maturity dates.
We provide an illustration of the market adjusted amount of target maturity
values, an explanation of how we calculate the market value adjustment, and
information concerning our general account and investments purchased with
amounts allocated to the fixed maturity options, under "More information" later
in this prospectus. Appendix III of this prospectus provides an example of how
the market value adjustment is calculated.
SELECTING YOUR INVESTMENT METHOD
You can choose either of the following two methods for selecting your investment
options:
o MAXIMUM INVESTMENT OPTIONS CHOICE. Under this method you may allocate
contributions to any of the available investment options listed in A and B
in the chart below. You can make transfers whenever you choose. However,
there will be restrictions on the amount you can transfer out of the
guaranteed interest option listed in A.
o MAXIMUM TRANSFER FLEXIBILITY. Under this method you may allocate
contributions to any of the investment options listed in A in the chart
below and no transfer restrictions will apply.
40
<PAGE>
- -------------------------------------------------------------------------------
<TABLE>
<CAPTION>
- -------------------------------------------------------------------
Investment Options
- -------------------------------------------------------------------
A
- -------------------------------------------------------------------
<S> <C>
o Guaranteed Interest Option
- -------------------------------------------------------------------
DOMESTIC EQUITY INTERNATIONAL EQUITY
- -------------------------------------------------------------------
o Alliance Common Stock o Alliance Global
o Alliance Equity Index o Alliance International
o Alliance Growth & Income o Morgan Stanley Emerging
Markets Equity
o MFS Research
o T. Rowe Price International
o Merrill Lynch Basic Value Stock
Equity
o EQ/Putnam Growth & Income
Value
o T. Rowe Price Equity Income
- -------------------------------------------------------------------
ASSET ALLOCATION AGGRESSIVE EQUITY
- -------------------------------------------------------------------
o Alliance Balanced o Alliance Aggressive Stock
o Alliance Growth Investors o Alliance Small Cap Growth
o Merrill Lynch World Strategy o MFS Emerging Growth
Companies
o EQ/Putnam Balanced
o Warburg Pincus Small
Company Value
- -------------------------------------------------------------------
B
- -------------------------------------------------------------------
AGGRESSIVE FIXED INCOME
- -------------------------------------------------------------------
o Alliance High Yield
- -------------------------------------------------------------------
DOMESTIC FIXED INCOME ASSET ALLOCATION
- -------------------------------------------------------------------
o Alliance Intermediate o Alliance Conservative
Government Securities Investors
o Alliance Money Market o Fixed Maturity Options
o Alliance Quality Bond The fixed maturity options are
only available under series
400 and 500 contracts.
Transfer restrictions apply as
indicated above under "Fixed
maturity options and maturity
dates."
- -------------------------------------------------------------------
</TABLE>
ALLOCATING YOUR CONTRIBUTIONS
Once you have made your investment method choice, you may allocate your
contributions among only the investment options that you have chosen.
Allocations must be in whole percentages and you may change your allocation
percentages at any time. However, the total of your allocations must equal 100%.
After your contract is issued, you may request that we add or eliminate any
variable investment options that result in transfer restrictions. We reserve the
right to deny your request. See "Transferring your money among investment
options."
YOUR RIGHT TO CANCEL WITHIN A CERTAIN NUMBER OF DAYS
If for any reason you are not satisfied with your contract, you may return it to
us for a refund. To exercise this cancellation right you must mail the contract
directly to our Processing Office within 10 days after you receive it. In some
states, this "free look" period may be longer.
For contributions allocated to the variable investment options, your refund will
equal your contributions, reflecting any investment gain or loss which also
reflects the daily charges we deduct. For contributions allocated to the
guaranteed interest option, your refund will equal the amount of the
contributions but will not include interest. For contributions allocated to the
fixed maturity options, your refund will equal the amount of the contribution
allocated to the fixed maturity options reflecting any positive or negative
market value adjustments. However, some states require that we refund the full
amount of your contribution (not including any investment gain or loss,
interest, or market value adjustment). For IRA contracts returned to us within
seven days after you receive it, we are required to refund the full amount of
your contribution.
We may require that you wait six months before you apply for a contract with us
again if:
o you cancel your contract during the free look period; or
o you change your mind before you receive your contract whether we have
received your contribution or not.
Please see "Tax information" for possible consequences of cancelling your
contract.
If you fully or partially convert an existing Traditional IRA contract to a
Standard Roth IRA or Roth Advantage contract, you may cancel your Standard Roth
IRA or Roth Advantage contract and return to a Traditional IRA contract. Our
Processing Office, or your Equitable associate, can provide you with the
cancellation instructions. Ask for the form entitled "EQUI-VEST Roth IRA
Re-Characterization Form."
41
<PAGE>
2
Determining your contract's value
- -------------------------------------------------------------------------------
YOUR ACCOUNT VALUE
Your "account value" is the total of the values you have allocated to the (i)
variable investment options, (ii) guaranteed interest option, and (iii) fixed
maturity options. These amounts are subject to certain fees and charges
discussed under "Charges and expenses."
Your contract also has a "cash value." At any time before annuity payments
begin, your contract's cash value is equal to the account value, less any
withdrawal charge that may apply, and less the total amount or a pro rata
portion of the annual administrative change. Please see "Surrendering your
contract to receive its cash value" below.
YOUR CONTRACT'S VALUE IN THE VARIABLE INVESTMENT OPTIONS
Each variable investment option invests in shares of a corresponding Portfolio.
Your value in each variable investment option is measured by "units." The value
of your units will increase or decrease as though you had invested it in the
corresponding Portfolio's shares directly. Your value, however, will be reduced
by the amount of the fees and charges that we deduct under the contract. Your
value will also be reduced by the dollar amount of any withdrawals that you
make.
- -----------------------------------------------------------------------------
Units measure your value in each variable investment option.
- -----------------------------------------------------------------------------
The unit value for each variable investment option depends on the investment
performance of that option minus daily charges for mortality and expense risks
and other expenses. On any day, your value in any variable investment option
equals the number of units credited to your contract under that option,
multiplied by that day's value for one unit. The number of your contract units
in any variable investment option does not change unless you make additional
contributions, make a withdrawal, or transfer amounts between investment
options. In addition, when we deduct the withdrawal charge, the annual
administrative charge, or third party transfer or exchange charge, the number of
units credited to your contract will be reduced. A description of how unit
values are calculated is found in the SAI.
YOUR CONTRACT'S VALUE IN THE GUARANTEED INTEREST OPTION
Your value in the guaranteed interest option at any time will equal: your
contributions and transfers to that option, plus interest, minus withdrawals and
transfers out of the option, and charges we deduct.
YOUR CONTRACT'S VALUE IN THE FIXED MATURITY OPTIONS
Your value in each fixed maturity option at any time before the maturity date is
the market adjusted amount in each option. This is equivalent to your fixed
maturity amount increased or decreased by the market value adjustment. Your
value, therefore, may be higher or lower than your contributions (less
withdrawals) accumulated at the rate to maturity. At the maturity date, your
value in the fixed maturity option will equal its maturity value.
42
<PAGE>
3
Transferring your money among investment options
- -------------------------------------------------------------------------------
TRANSFERRING YOUR ACCOUNT VALUE
At any time before the date annuity payments are to begin, you can transfer some
or all of your account value among the investment options, subject to the
following:
o You must transfer at least $300 of account value or, if less, the entire
amount in the investment option. We may waive the $300 requirement.
o You may not transfer to a fixed maturity option in which you already have
value.
o You may not transfer to a fixed maturity option if its maturity date is
later than the date annuity payments are to begin.
o If you make transfers out of a fixed maturity option other than at its
maturity date the transfer may cause a market value adjustment.
o If you choose the maximum investment options choice method for selecting
investment options, the maximum amount you may transfer in any contract
year from the guaranteed interest option to any other investment option is
(a) 25% of the amount you had in the guaranteed interest option on the
last day of the prior contract year or, if greater, (b) the total of all
amounts you transferred from the guaranteed interest option to any other
investment option in the prior contract year.
If you transfer money from another financial institution into the guaranteed
interest option during your first contract year, and if you have selected
maximum investment options choice, you may, during the balance of that contract
year, transfer up to 25% of such initial guaranteed interest option balance to
any other investment option.
See Appendix I for transfer restrictions under original contracts.
Subject to the terms of your contract upon 90 days advance notice, we may change
or establish additional restrictions on transfers among the investment options.
A transfer request does not change your percentages for allocating current or
future contributions among the investment options.
You may request a transfer in writing or by telephone using TOPS. You must send
in all signed written requests directly to our Processing Office. Transfer
requests should specify:
(1) the contract number,
(2) the dollar amounts to be transferred, and
(3) the investment options to and from which you are transferring.
We will confirm all transfers in writing.
AUTOMATIC TRANSFER OPTIONS INVESTMENT SIMPLIFIER
You may choose from two automatic options for transferring amounts from the
guaranteed interest option to the variable investment options. The transfer
options are the "fixed-dollar option" and the "interest sweep." You may select
one or the other, but not both.
FIXED-DOLLAR OPTION. Under this option you may elect to have a fixed-dollar
amount transferred out of the guaranteed interest option and into the variable
investment options of your choice on a monthly basis. You can specify the number
of monthly transfers or instruct us to continue to make monthly transfers until
all available amounts in the guaranteed interest option have been transferred
out.
See Appendix I for transfer restrictions under original contracts.
In order to elect the fixed-dollar option you must have a minimum of $5,000 in
the guaranteed interest option on the date we receive your election form at our
Processing Office. You also must elect to transfer at least $50 per month. The
fixed-dollar option is subject to the guaranteed interest option transfer
limitation described above under "Transferring your account value."
The fixed-dollar option is a form of dollar-cost averaging. Dollar-cost
averaging allows you to gradually allocate amounts to the variable investment
options by periodically transferring approximately the same dollar amount to the
variable investment options you select. This will cause you to purchase more
units if the unit's value is low and fewer units if the unit's value is high.
Therefore, you may get a lower
43
<PAGE>
- -------------------------------------------------------------------------------
average cost per unit over the long term. This plan of investing, however, does
not guarantee that you will earn a profit or be protected against losses.
INTEREST SWEEP. Under the interest sweep, we will make transfers on a monthly
basis from amounts in the guaranteed interest option. The amount we will
transfer will be the interest credited to amounts you have in the guaranteed
interest option from the last business day of the prior month to the last
business day of the current month. You must have at least $7,500 in the
guaranteed interest option on the date we receive your election and on the last
business day of each month thereafter to participate in the interest sweep
option.
WHEN YOUR PARTICIPATION IN AN AUTOMATIC TRANSFER OPTION WILL END. Your
participation in an automatic transfer option will end:
o Under the fixed-dollar option, when either the number of designated monthly
transfers have been completed or the amount you have available in the
guaranteed interest option has been transferred out.
o Under the interest sweep, when the amount you have in the guaranteed
interest option falls below $7,500 (determined on the last business day of
the month) for two months in a row.
o Under either option, on the date we receive at our Processing Office, your
written request to cancel automatic transfers, or on the date your
contract terminates.
REBALANCING YOUR ACCOUNT VALUE
We currently offer a rebalancing program that you can use to automatically
reallocate your account value among the variable investment options. You must
tell us:
(a) the percentage you want invested in each variable investment option (whole
percentages only), and
(b) how often you want the rebalancing to occur (quarterly, semiannually or
annually).
While your rebalancing program is in effect, we will transfer amounts among each
variable investment option so that the percentage of your account value that you
specify is invested in each option at the end of each rebalancing date. You may
not rebalance only a portion of your account value in the variable investment
options.
- -----------------------------------------------------------------------------
Rebalancing does not assure a profit or protect against loss. You should
periodically review your allocation percentages as your needs change. You may
want to discuss the rebalancing program with your Equitable associate and/or
financial adviser before electing the program.
- -----------------------------------------------------------------------------
You may elect the rebalancing program at any time. To be eligible, you must have
at least $5,000 of account value in the variable investment options. Rebalancing
is not available for amounts you have allocated in the guaranteed interest
option or in the fixed maturity options.
You may change your allocation instructions or cancel the program at any time.
44
<PAGE>
4
Accessing your money
- -------------------------------------------------------------------------------
WITHDRAWING YOUR ACCOUNT VALUE
You have several ways to withdraw your account value before annuity payments
begin. The table below shows the methods available under each type of contract.
More information follows the table. For the tax consequences of taking
withdrawals, see "Tax information."
<TABLE>
<CAPTION>
- --------------------------------------------------------------------
METHOD OF WITHDRAWAL
- --------------------------------------------------------------------
MINIMUM
CONTRACT LUMP SUM SYSTEMATIC DISTRIBUTION
- --------------------------------------------------------------------
<S> <C> <C> <C>
NQ Yes Yes No
- --------------------------------------------------------------------
Traditional IRA Yes Yes Yes
- --------------------------------------------------------------------
QP IRA Yes Yes Yes
- --------------------------------------------------------------------
Standard Roth IRA Yes Yes No
- --------------------------------------------------------------------
Roth Advantage Yes Yes No
- --------------------------------------------------------------------
</TABLE>
LUMP SUM WITHDRAWALS
You may take lump sum withdrawals from your account value at any time while the
annuitant is living and before annuity payments begin. The minimum amount you
may withdraw at any time is $300. If your account value is less than $500 after
a withdrawal, we may terminate your contract and pay you its cash value.
Lump sum withdrawals in excess of the 10% free withdrawal amount may be subject
to a withdrawal charge.
SYSTEMATIC WITHDRAWALS
If you have at least $20,000 of account value in the variable investment options
and the guaranteed interest option you may elect systematic withdrawals. You may
elect to have your systematic withdrawals made on a monthly or quarterly basis.
The minimum amount you may take for each withdrawal is $300. We will make the
withdrawal on any day of the month that you select as long as it is not later
than the 28th day of the month. If you do not select a date, your withdrawals
will be made on the first day of the month. A check for the amount of the
withdrawal will be mailed to you or, if you prefer, we will electronically
transfer the money to your checking account.
You may withdraw either the amount of interest earned in the guaranteed interest
option or a fixed-dollar amount from either the variable investment options or
the guaranteed interest option. If you elect the interest option, a minimum of
$20,000 must be maintained in the guaranteed interest option. If you elect the
fixed-dollar option you do not have to maintain a minimum amount. You may elect
to have the amount of the withdrawal subtracted from your account value in one
of three ways:
(1) pro rata from more than one variable investment option (without using up
your total value in those options); or
(2) pro rata from more than one variable investment option (until your value
in those options is used up); or
(3) you may specify a dollar amount from only one variable investment option.
You can cancel the systematic withdrawal option at any time.
Amounts withdrawn in excess of the 10% free withdrawal amount may be subject to
a withdrawal charge.
MINIMUM DISTRIBUTION WITHDRAWALS
(Traditional IRA contracts - See "Tax information")
We offer the minimum distribution withdrawal option to help you meet required
minimum distributions under federal income tax rules. You may elect this option
in the year in which you reach age 701/2 and have account value in the variable
investment options and the guaranteed interest option of at least $2,000. The
minimum amount we will pay out is $300, or if less, your account value. If your
account value is less than $500 after the withdrawal, we may terminate your
contract and pay you its cash value. You elect the method you want us to use to
calculate your minimum distribution withdrawal from the choices we offer.
Currently, minimum distribution withdrawal payments will be made annually.
Unless you specify otherwise, we will subtract your withdrawals on a pro rata
basis from your values in the variable investment options and the guaranteed
interest option. If those amounts are insufficient, we will make up required
amounts from the fixed maturity options to the extent you have value in those
options. A market value
45
<PAGE>
- -------------------------------------------------------------------------------
adjustment may apply. We will calculate your payment each year based on your
account value at the end of each calendar year, based on the method you choose.
- -----------------------------------------------------------------------------
For Traditional IRA retirement benefits subject to minimum distribution
requirements, we will send a form outlining the distribution options available
before you reach age 70 1/2 (if you have not begun your annuity payments before
that time).
- -----------------------------------------------------------------------------
AUTOMATIC NQ DEPOSIT SERVICE
If you are receiving required minimum distribution payments from a Traditional
IRA or QP IRA contract you may use our automatic NQ deposit service.
Under this service we will automatically deposit the required minimum
distribution payment from your Traditional IRA or QP IRA contract directly into
an existing EQUI-VEST NQ contract according to your allocation instructions.
DEPOSIT OPTION FOR NQ CONTRACTS ONLY
You can elect the deposit option for your benefit while you live, or for the
benefit of your beneficiary.
Proceeds from your NQ contract can be deposited with us for a period you select
(including one for as long as the annuitant lives). We will hold the amounts in
our general account. We will credit interest on the amounts at a guaranteed rate
for the specified period. We will pay out the interest on the amount deposited
at least once each year.
If you elect this option for your benefit, you deposit the amount with us that
you would otherwise apply to an annuity payout option. If you elect this option
for your beneficiary before the annuitant's death, death benefit proceeds can be
left on deposit with us subject to certain restrictions, instead of being paid
out to the beneficiary.
Other restrictions apply to the deposit option. Your Equitable associate can
provide more information about this option, or you may call our Processing
Office.
SURRENDER OF YOUR CONTRACT TO RECEIVE ITS CASH VALUE
You may surrender your contract to receive its cash value at any time while the
annuitant is living and before you begin to receive annuity payments. For a
surrender to be effective, we must receive your written request and your
contract at our Processing Office. We will determine your cash value on the date
we receive the required information. All benefits under the contract will
terminate as of that date.
You may receive your cash value in a single sum payment or apply it to one or
more of the annuity payout options. See "Choosing your annuity payout options"
below. We will usually pay the cash value within seven calendar days, but we may
delay payment as described in "When to expect payments," below. For the tax
consequences of surrenders, see "Tax information."
WHEN WE MAY TERMINATE YOUR CONTRACT
We may terminate your contract and pay you the cash value if:
(1) your account value is less than $500 and you have not made contributions
to your contract for a period of three years; or
(2) you request a lump sum withdrawal that reduces your account value to an
amount less than $500; or
(3) you have not made any contributions within 120 days from your contract
date.
WHEN TO EXPECT PAYMENTS
Generally, we will fulfill requests for payments out of the variable investment
options within seven calendar days after the date of the transaction to which
the request relates. These transactions may include applying proceeds to a
variable annuity, payment of a death benefit, payment of any amount you withdraw
(less any withdrawal charge) and, upon surrender or termination, payment of the
cash value. We may postpone such payments or applying proceeds for any period
during which:
46
<PAGE>
- -------------------------------------------------------------------------------
(1) the New York Stock Exchange is closed or restricts trading,
(2) sales of securities or determination of the fair value of a variable
investment option's assets is not reasonably practicable because of an
emergency, or
(3) the SEC, by order, permits us to defer payment to protect people remaining
in the variable investment options.
We can defer payment of any portion of your values in the guaranteed interest
option and the fixed maturity options (other than for death benefits) for up to
six months while you are living. We also may defer payments for a reasonable
amount of time (not to exceed 15 days) while we are waiting for a contribution
check to clear.
All payments are made by check and are mailed to you (or the payee named in a
tax-free exchange) by U.S. mail, unless you request that we use an express
delivery service at your expense.
CHOOSING YOUR ANNUITY PAYOUT OPTIONS
The EQUI-VEST contract offers you several choices for receiving retirement
income. Each choice enables you to receive fixed or, in some cases, variable
annuity payments.
You can choose from among the different forms of annuity payout options listed
below. Restrictions apply, depending on the type of contract you own.
ANNUITY PAYOUT OPTIONS
You can choose from among the following annuity payout options:
o Life annuity: An annuity that guarantees payments for the rest of the
annuitant's life. Payments end with the last monthly payment before the
annuitant's death. Because there is no continuation of benefits following
the annuitant's death with this payout option, it provides the highest
monthly payment of any of the life annuity options, so long as the annuitant
is living.
o Life annuity - period certain: An annuity that guarantees payments for the
rest of the annuitant's life. If the annuitant dies before the end of a
selected period of time ("period certain"), payments continue to the
beneficiary for the balance of the period certain. Under IRAs, the period
certain cannot exceed your life expectancy or the joint life expectancy of
you and your spouse.
o Life annuity - refund certain: An annuity that guarantees payments for the
rest of the annuitant's life. If the annuitant dies before the amount
applied to purchase the annuity option has been recovered, payments to the
beneficiary will continue until that amount has been recovered. This payout
option is available only as a fixed annuity.
o Period certain annuity: An annuity that guarantees payments for a specific
period of time, usually 5, 10, 15 or 20 years. This option does not
guarantee payments for the rest of the annuitant's life. It does not permit
any repayment of the unpaid principal, so you cannot elect to receive part
of the payments as a single sum payment with the rest paid in monthly
annuity payments. Currently, this payout option is available only as a fixed
annuity.
All of the above payout options are available as fixed annuities. With fixed
annuities, we guarantee fixed annuity payments that will be based either on the
tables of guaranteed annuity payments in your contract or on our then current
annuity rates, whichever is more favorable for you.
The life annuity, life annuity - period certain, and life annuity - refund
certain payout options are available on a single life or joint and survivor life
basis. The joint and survivor life annuity guarantees payments for the rest of
the annuitant's life and, after the annuitant's death, payments continue to the
survivor. Generally, under IRA contracts, unless you elect otherwise with the
written consent of your spouse, this will be the normal form of annuity payment
if you are married.
The following annuity payout options are available as variable annuities:
47
<PAGE>
- -------------------------------------------------------------------------------
o Life annuity (except in New York).
o Life annuity - period certain.
o Joint and survivor life annuity (100% to survivor).
o Joint and survivor life period certain annuity (100% to survivor).
Variable annuities may be funded through your choice of variable investment
options investing in Portfolios of The Hudson River Trust. The contract also
offers a fixed income annuity option which can be elected in combination with
the variable income annuity options. The amount of each variable annuity payment
will fluctuate, depending upon the performance of the variable investment
options, and whether the actual rate of investment return is higher or lower
than an assumed base rate. Please see "Annuity unit values" in the SAI.
We also make the variable annuity payout options available to owners of our
single premium deferred annuity ("SPDA") contract and certain other combination
fixed and variable annuity contracts. Such contractholders who are considering
purchasing a variable payout option should also review the information in this
prospectus relating to the variable investment options. The Hudson River Trust
prospectus (directly following this prospectus), and the sections of the SAI
which discuss the variable annuity payout option should also be reviewed.
We may offer other payout options not outlined here. Your Equitable associate
can provide details.
SELECTING AN ANNUITY PAYOUT OPTION
When you select a payout option, we will issue you a separate written agreement
confirming your right to receive annuity payments. Unless you choose a different
payout option, we will pay annuity payments under a life annuity with a period
certain of 10 years, or, for IRA contracts, a joint and survivor life annuity if
you are married. We require you to return your contract before annuity payments
begin.
You can choose the date annuity payments are to begin. You can change the date
your annuity payments are to begin anytime before that date as long as you do
not choose a date later than the 28th day of any month. Also, that date may not
be later than the contract date anniversary that follows the annuitant's 85th
birthday. This may be different in some states.
Before your annuity payments are to begin, we will notify you by letter that the
annuity payout options are available. Once you have selected a payout option and
payments have begun, no change can be made, other than transfers (if permitted
in the future) among the variable investment options if a variable annuity is
selected.
The amount of the annuity payments will depend on the amount applied to purchase
the annuity, the type of annuity chosen and whether it is fixed or variable,
and, in the case of a life annuity, the annuitant's age (or the annuitant's and
joint annuitant's ages) and in certain instances, the sex of the annuitant(s).
In no event will you ever receive less than the minimum amounts guaranteed by
the contract.
If, at the time you elect a payout option, the amount to be applied is less than
$2,000 or the initial payment under the form elected is less than $20 monthly,
we reserve the right to pay the account value in a single sum rather than as
payments under the payout option chosen.
48
<PAGE>
5
Charges and expenses
- -------------------------------------------------------------------------------
CHARGES THAT EQUITABLE LIFE DEDUCTS
We deduct the following charges each day from the net assets of each variable
investment option. These charges are reflected in the unit value of each
variable investment option:
o A mortality and expense risks charge.
o An expense charge.
We deduct the following charges from your account value. When we deduct these
charges from your variable investment options, we reduce the number of units
credited to your contract:
o An annual administrative charge.
o Third party transfer or exchange fee (series 300, 400 and 500 only).
o At the time you make certain withdrawals or surrender your contract, or your
contract is terminated - a withdrawal charge.
o At the time annuity payments are to begin - charges for state premium and
other applicable taxes. An annuity administrative fee may also apply.
More information about these charges appears below. The charges differ depending
on which contract series you purchase.
CHARGES UNDER SERIES 300, 400 AND 500 CONTRACTS
MORTALITY AND EXPENSE RISKS CHARGE
We deduct a daily charge from the net assets in each variable investment option
to compensate us for mortality and expense risks, including the death benefit.
The daily charge is equivalent to an annual rate of:
o 1.10% of net assets in each variable investment option under series 300 and
400 contracts.
o 1.20% of the net assets in each variable investment option for series 500
contracts.
The mortality risk we assume is the risk that annuitants as a group will live
for a longer time than our actuarial tables predict. If that happens, we would
be paying more in annuity benefits than we planned. We also assume a risk that
the mortality assumptions reflected in our guaranteed annuity payment tables,
shown in each contract, will differ from actual mortality experience. We may
change the actuarial basis for our guaranteed annuity payment tables, but only
for new contributions and only at five year intervals from the contract date.
Lastly, we assume a mortality risk to the extent that at the time of death, the
guaranteed death benefit exceeds the cash value of the contract. In addition, we
waive any withdrawal charge upon payment of a death benefit.
The expense risk we assume is the risk that it will cost us more to issue and
administer the contracts than we expect.
To the extent that the mortality and expense risk charges are not needed to
cover the actual expenses incurred, they may be considered an indirect
reimbursement for certain sales and promotional expenses relating to the
contracts.
CHARGE FOR OTHER EXPENSES
We deduct this daily charge from the net assets in each variable investment
option. This charge, together with the annual administrative charge described
below, is for providing administrative and financial accounting services under
the contracts. The daily charge is equivalent to a maximum annual rate of 0.25%
of net assets in each variable investment option. Currently, the charge we
deduct for variable investment options other than the Alliance Money Market,
Alliance Common Stock and Alliance Balanced options, is 0.24% of net assets. We
may, upon advance notice to you, increase the charge to 0.25% of net assets for
all variable investment options.
SERIES 500 - MAXIMUM TOTAL CHARGES. Under series 500 contracts, the total annual
rate for the above charges is 1.45%. We may increase or decrease this total
annual rate, but we may not increase it above a maximum rate of 2.00%. We will
only make any increase after we have sent you advance notice. Any increase or
decrease will apply only
49
<PAGE>
- -------------------------------------------------------------------------------
to contributions you may make after the date of the change. Any changes we make
will reflect differences in costs and anticipated expenses, and will not be
unfairly discriminatory.
ANNUAL ADMINISTRATIVE CHARGE
We deduct an administrative charge from your account value on the last business
day of each contract year. We will deduct a pro rata portion of the charge if
you surrender your contract, elect an annuity payout, or the annuitant dies
during the contract year. During the first two contract years, the charge is
equal to $30 or, if less, 2% of your current account value. The charge is $30
for contract years three and later for series 300, 400 and 500 contracts.
The charge is deducted pro rata from the variable investment options, and the
guaranteed interest option. If those amounts are insufficient, we will make up
the required amounts from the fixed maturity options to the extent you have
value in those options unless you tell us othewise.
We may increase this charge if our administrative costs rise, but the charge
will never exceed $65 annually for series 400 and 500 contracts. We also may
waive the administrative charge for IRA and NQ contracts having an account value
of a specified amount on the last business day of each contract year - currently
$25,000 for NQ contracts and $20,000 for IRA contracts. We reserve the right to
deduct this charge on a quarterly, rather than annual basis.
CHARGE FOR THIRD PARTY TRANSFER OR EXCHANGE
We impose a charge for making a direct transfer of amounts from your contract to
a third party, or if you request that your contract be exchanged for a contract
issued by another insurance company. In either case, we will deduct from your
account value any withdrawal charge that applies and (except for series 300
contracts in Florida) a charge of $25 for each direct transfer or exchange. We
reserve the right to increase this charge to a maximum of $65.
WITHDRAWAL CHARGE
A withdrawal charge may apply in three circumstances: (1) you make one or more
withdrawals during a contract year; (2) you surrender your contract to receive
its cash value; or (3) we terminate your contract. The amount of the charge will
depend on whether the free withdrawal amount applies, and the availability of
one or more exceptions.
In order to give you the exact dollar amount of the withdrawal you request, we
deduct the amount of the withdrawal and the amount of the withdrawal charge from
your account value. Any amount deducted to pay a withdrawal charge is also
subject to a withdrawal charge. We deduct the withdrawal amount and the
withdrawal charge pro rata from the variable investment options and the
guaranteed interest option. If those amounts are insufficient, we will make up
the required amounts from the fixed maturity options to the extent you have
value in those options.
The amount of the withdrawal charge we deduct is equal to 6% of contributions
withdrawn that were made in the current and five prior contract years. In the
case of surrenders, we will pay you the greater of (i) the account value after
any withdrawal charge has been imposed (cash value), or (ii) the free withdrawal
amount plus 94% of the remaining account value.
For purposes of calculating the withdrawal charge, amounts withdrawn up to the
free withdrawal amount are not considered a withdrawal of any contribution. We
also treat contributions that have been invested the longest as being withdrawn
first. We treat contributions as withdrawn before earnings for purposes of
calculating the withdrawal charge. However, the federal income tax rules treat
earnings under most NQ contracts as withdrawn first. See "Tax information."
For series 300 and 400 contracts, we reserve the right to change the amount of
the withdrawal charge, but it will not exceed 6% of the contributions withdrawn.
50
<PAGE>
- -------------------------------------------------------------------------------
For series 500 contracts, we reserve the right to change the amount of the
withdrawal charge, but it will not exceed 8% of the contributions withdrawn.
Any change would not be unfairly discriminatory. We may also reduce the
withdrawal charge in order to comply with any state law requirement. See
"Contracts issued in New York - fixed maturity options" below.
The withdrawal charge does not apply in the circumstances described below.
10% FREE WITHDRAWAL AMOUNT. Each contract year you can withdraw up to 10% of
your account value without paying a withdrawal charge. The 10% free withdrawal
amount is determined using your account value at the time you request a
withdrawal, minus any other withdrawals made during the contract year.
DEATH OR PURCHASE OF ANNUITY. The withdrawal charge does not apply:
o If the annuitant dies and a death benefit is payable to the beneficiary.
o If we receive a properly completed election form providing for the account
value to be used to buy a life contingent annuity or a non-life annuity with
a period certain for a term of at least ten years.
DISABILITY, TERMINAL ILLNESS, OR CONFINEMENT TO NURSING HOME. The withdrawal
charge also does not apply:
o If the annuitant has qualified to receive social security disability
benefits as certified by the Social Security Administration; or
o If we receive proof satisfactory to us (including certification by a
licensed physician) that the annuitant's life expectancy is six months or
less; or
o If the annuitant has been confined to a nursing home for more than 90 days
(or such other period, as required in your state) as verified by a licensed
physician. A nursing home for this purpose means one that is (a) approved by
Medicare as a provider of skilled nursing care service, or (b) licensed as a
skilled nursing home by the state or territory in which it is located (it
must be within the United States, Puerto Rico, U.S. Virgin Islands, or Guam)
and meets all of the following:
- its main function is to provide skilled, intermediate, or custodial
nursing care;
- it provides continuous room and board to three or more persons;
- it is supervised by a registered nurse or licensed practical nurse;
- it keeps daily medical records of each patient;
- it controls and records all medications dispensed; and
- its primary service is other than to provide housing for residents.
We reserve the right to impose a withdrawal charge, in accordance with your
contract and applicable state law, if the disability is caused by a preexisting
condition or a condition that began within 12 months of the contract date. Some
states may not permit us to waive the withdrawal charge in the above
circumstances, or may limit the circumstances for which the withdrawal charge
may be waived. Your Equitable associate can provide more information or you may
contact our Processing Office.
For Traditional IRA, QP IRA, and Standard Roth IRA contracts the withdrawal
charge also does not apply:
o after six contract years and the annuitant is at least age 59 1/2; or
o if you request a refund of a contribution in excess of amounts allowed to be
contributed under the federal income tax rules within one month of the date
on which you made the contribution.
For Roth Advantage contracts the withdrawal charge also does not apply:
o after five contract years and the annuitant is at least age 59 1/2; or
51
<PAGE>
- -------------------------------------------------------------------------------
o if you withdraw an amount which is less than or equal to 25% of the account
value at the time the withdrawal is requested, minus any amount previously
withdrawn during that contract year, and you use the withdrawal to pay
specified higher education expenses as defined in the federal income tax
rules. We must receive evidence satisfactory to us that such withdrawal is
in fact for such purpose; or
o after five contract years and the withdrawal is a "qualified first-time
homebuyer distribution" (special federal income tax definition; $10,000
lifetime total limit). We must receive evidence satisfactory to us that such
withdrawal is in fact for such purpose; or
o if you request a refund of a contribution in excess of amounts allowed to be
contributed under federal income tax rules within one month of the date on
which you made the contribution.
SERIES 400 AND 500 CONTRACTS ISSUED IN NEW YORK - FIXED MATURITY OPTIONS
For contracts issued in New York, the withdrawal charge that applies to
withdrawals taken from amounts in the fixed maturity options will never exceed
6%.
The withdrawal charge will be the greater of the charge determined by applying
the New York Declining Scale ("declining scale") and the New York Alternative
Scale ("alternative scale") method of accessing withdrawal charges, not to
exceed 6%. If you withdraw amounts that have been transferred from one fixed
maturity option to another, we use the alternative scale if it produces a higher
charge than the declining scale.
<TABLE>
<CAPTION>
- -----------------------------------------------------------
DECLINING SCALE ALTERNATIVE SCALE
- -----------------------------------------------------------
<S> <C> <C> <C>
Year of investment in Year of transfer within
fixed maturity option* fixed maturity option*
- -----------------------------------------------------------
Within year 1 6% Within year 1 5%
- -----------------------------------------------------------
2 6% 2 4%
- -----------------------------------------------------------
3 5% 3 3%
- -----------------------------------------------------------
4 4% 4 2%
- -----------------------------------------------------------
5 3% 5 1%
- -----------------------------------------------------------
6 2% After year 5 0%
- -----------------------------------------------------------
After year 6 0% Not to exceed 1%
times the number of
years remaining in the
fixed maturity option,
rounded to the higher
number of years. In
other words, if 4.3
years remain, it would
be a 5% charge.
- -----------------------------------------------------------
</TABLE>
* Measured from the contract date anniversary prior to the date of the
contribution or transfer.
In the following example we compare the withdrawal charge that would apply to a
withdrawal from a series 400 NQ, Traditional IRA or QP IRA contract that has an
account value of $10,000; $8,000 from a contribution made three years ago and
$2,000 from positive investment performance.
o If you were to withdraw the total amount of the contribution within the
first six years after it was made the series 400 withdrawal charge that
generally applies would be $480 (6% of $8,000). However, if when you made
your contribution you allocated it to a fixed maturity option, the
withdrawal charge would be lower. According to the declining scale method
described above, the withdrawal charge would be limited to 5% of the $8,000,
or $400 in the third year.
o The withdrawal charge may be different if when you made your contribution
three years ago, you allocated it to a fixed maturity option and then in the
third year, you transfer the amounts that apply to such contribution to a
new fixed maturity option. In this example we assume that there is one year
remaining in the new fixed maturity option. Because you made a transfer
among the fixed maturity options, the alternative scale may now apply. Based
on this alternative scale, a contribution that is
52
<PAGE>
- -------------------------------------------------------------------------------
transferred will be subject to a 5% withdrawal charge if you withdraw that
contribution in the same year that you make the transfer. However, the
withdrawal charge may not exceed 1% for each year remaining in the new fixed
maturity option. Since, in this example, the time remaining in the new fixed
maturity option is one year, the withdrawal charge under the alternative
scale would be limited to 1%. Because New York regulations permit us to use
the greater of the declining scale or the alternative scale, the withdrawal
charge would be 5%, or $400, based on the declining scale.
o The withdrawal charge may not exceed the charge that would normally apply
under the contract. Use of a New York scale can only result in a lower
charge. If your contribution has been in the contract for more than six
years and therefore would not have a withdrawal charge associated with it,
no withdrawal charge would apply.
o If you take a withdrawal from an investment option other than the fixed
maturity options, the amount available for withdrawal without a withdrawal
charge is reduced. It will be reduced by the amount of the contribution in
the fixed maturity options to which no withdrawal charge applies.
o As of any date on which 50% or more of your account value is held in fixed
maturity options, the free withdrawal amount is zero.
For contracts issued in New York, you should consider that on the maturity date
of a fixed maturity option if we have not received your instructions for
allocation of your maturity value, we will transfer your maturity value to the
fixed maturity option scheduled to mature next. If we are not offering other
fixed maturity options, we will transfer your maturity value to the Alliance
Money Market option.
The potential for lower withdrawal charges for withdrawals from the fixed
maturity options and the potential for a lower free withdrawal amount than those
that would normally apply, should be taken into account when deciding whether to
allocate amounts to, or transfer amounts to or from, the fixed maturity options.
We will deduct the annual administrative charge and the withdrawal charge from
the variable investment options and the guaranteed interest option as discussed
above. If the amounts in those options are insufficient to cover the charges, we
reserve the right to deduct the charges from the fixed maturity options. Charges
deducted from the fixed maturity options are considered withdrawals and, as
such, will result in a market value adjustment.
CHARGES FOR STATE PREMIUM AND OTHER APPLICABLE TAXES
We deduct a charge for applicable taxes such as premium taxes that may be
imposed in your state. Generally, we deduct the charge from the amount applied
to provide an annuity payout. The current tax charge that might be imposed
varies by state and ranges from 0% to 3.5% (1% in Puerto Rico and 5% in the U.S.
Virgin Islands).
We reserve the right to deduct any applicable charges for taxes such as premium
taxes from each contribution, or from withdrawals, or for surrender and
termination of your contract. If we have deducted any applicable charges from
contributions, we will not deduct a charge for the same taxes later. If,
however, an additional tax charge is later imposed upon us when you make a
withdrawal, or surrender your contract, or it is terminated, or you elect to
begin receiving annuity payments, we reserve the right to deduct a charge at
that time.
ANNUITY ADMINISTRATIVE FEE
We generally deduct a fee of up to $350 from the amount to be applied to
purchase a life annuity payout option.
CHARGES UNDER SERIES 100 AND 200 CONTRACTS
MORTALITY AND EXPENSE RISKS CHARGE
We deduct a daily charge from the net assets in each variable investment option
to compensate us for mortality and expense risks, including the minimum death
benefit. The daily charge is a percentage of the net assets in each of the
variable investment options. Under series 100 contracts the percentage is
equivalent to an annual rate that will not
53
<PAGE>
- -------------------------------------------------------------------------------
exceed 0.65%, and 1.15% under series 200 contracts for the Alliance Money
Market, Alliance Balanced and Alliance Common Stock options. The daily charge
for all other variable investment options is equivalent to an annual rate not to
exceed 0.50% under series 100 contracts and 1.09% under series 200 contracts.
The mortality risk we assume is the risk that annuitants as a group will live
for a longer time than our actuarial tables predict. If that happens, we would
be paying more in annuity benefits than we planned. We also assume a risk that
the mortality assumptions reflected in our guaranteed annuity payment tables,
shown in each contract, will differ from actual mortality experience. Lastly, we
assume a mortality risk to the extent that at the time of death, the guaranteed
death benefit exceeds the cash value of the contract. In addition, we waive any
withdrawal charge upon payment of a death benefit.
The expense risk we assume is the risk that it will cost us more to issue and
administer the contracts than we expect.
To the extent that the mortality and expense risk charges are not needed to
cover the actual expenses incurred, they may be considered to be an indirect
reimbursement for certain sales and promotional expenses relating to the
contracts.
CHARGE FOR OTHER EXPENSES
We deduct this daily charge from the net assets in each variable investment
option. This charge, together with the annual administrative charge described
below, is for providing administrative and financial accounting services under
the contracts. The daily charge is equivalent to a maximum annual rate of 0.84%
of net assets in each variable investment option under series 100 contracts.
0.60% of this charge is designed to reimburse us for research and development
costs and for administrative expenses that are not covered by the annual
administrative charge described below. The remaining 0.24% is to reimburse us
for the cost of financial accounting services we provide under the contracts.
Under series 200 contracts, the charge for expenses and financial accounting is
0.25% of the net asset value in each variable investment option.
LIMITATION ON CHARGES. For the Alliance Money Market, Alliance Balanced,
Alliance Common Stock and Alliance Aggressive Stock options, the combined amount
of the variable investment option charges and The Hudson River Trust charges for
investment advisory fees and direct operating expenses may not exceed a total
annual rate of 1.75% of the value of the assets held in those variable
investment options.
ANNUAL ADMINISTRATIVE CHARGE
We deduct an administrative charge from your account value on the last business
day of each contract year. We will deduct a pro rata portion of the charge if
you surrender your contract, elect an annuity payout, or the annuitant dies
during the contract year. The charge is equal to $30 or, if less, 2% of the
current account value.
The charge is deducted pro rata from each investment option in which you have
account value.
TRADITIONAL IRA, QP IRA, AND ROTH IRA. At the end of any contract year that your
account value is at least $10,000, we will waive the annual administrative
charge.
WITHDRAWAL CHARGE
FOR NQ CONTRACTS. A withdrawal charge may apply in three circumstances: (1) if
you make one or more withdrawals during a contract year; (2) you surrender your
contract to receive its cash value; or (3) we terminate your contract. The
amount of the charge will depend on whether the free withdrawal amount applies,
and the availability of one or more exceptions.
In order to give you the exact dollar amount of the withdrawal you request, we
deduct the amount of the withdrawal and the amount of the withdrawal charge from
your account value. Any amount deducted to pay a withdrawal charge is also
subject to a withdrawal charge. The amount of the withdrawal and the applicable
withdrawal charge are deducted pro rata from your account value.
54
<PAGE>
- -------------------------------------------------------------------------------
The amount of the withdrawal charge we deduct is equal to 6% of contributions
withdrawn that were made in the current and five prior contract years. In the
case of surrenders or terminations, we will pay you the greater of (i) the
account value after any withdrawal charge has been imposed (cash value), or (ii)
the free withdrawal amount plus 94% of the remaining account value. If the
annuitant is age 59 or older when the contract is issued, this percentage will
be 95% in the fifth contract year and 96% in the sixth contract year. There is a
reduction in the withdrawal charge for older annuitants in the fifth and sixth
contract year.
For purposes of calculating the withdrawal charge, amounts withdrawn up to the
free withdrawal amount are not considered withdrawal of any contribution. We
also treat contributions that have been invested the longest as being withdrawn
first. We treat contributions as withdrawn before earnings for purposes of
calculating the withdrawal charge. However, the federal income tax rules treat
earnings under most NQ contracts as withdrawn first. See "Tax information."
The withdrawal charge does not apply in the circumstances described below.
10% FREE WITHDRAWAL AMOUNT. Each contract year you can withdraw up to 10% of
your account value without paying a withdrawal charge. The 10% free withdrawal
amount is determined using your account value at the time you request a
withdrawal, minus any other withdrawals made during the contract year.
For NQ contracts the withdrawal charge does not apply if:
o the annuitant dies and a death benefit is payable to the beneficiary; or
o we receive a properly completed election form providing for the account
value to be used to buy a life annuity payout option.
TRADITIONAL IRA, QP IRA, AND STANDARD ROTH IRA.
The withdrawal charge equals a percentage of the amount withdrawn. The
percentage that applies depends on the contract year in which the withdrawal is
made, according to the following table:
<TABLE>
<CAPTION>
- ---------------------------------------------
Contract
Year(s) Charge
- ---------------------------------------------
<S> <C>
1 through 5 6%*
6 through 8 5
9 4
10 3
11 2
12 1
13 and later 0
- ---------------------------------------------
</TABLE>
* This percentage may be reduced at older ages for certain contract series.
Your Equitable associate can provide further details about the contract
series you own.
The total of all withdrawal charges assessed will not exceed 8% of all
contributions made during the current contract year and the nine contract years
before the withdrawal is made.
---------------------------------
We reserve the right to reduce or waive the withdrawal charge including
transfers to a Traditional IRA, QP IRA, and, Standard Roth IRA from another
EQUI-VEST contract. Any such charge will not be unfairly discriminatory. The
withdrawal charge may be reduced in order to comply with any state law
requirement.
The withdrawal charge does not apply in the circumstances described below.
10% FREE WITHDRAWAL AMOUNT FOR A TRADITIONAL IRA, QP IRA, STANDARD ROTH IRA.
Each contract year you can withdraw up to 10% of your account value without
paying a withdrawal charge. The 10% free withdrawal amount is determined using
your account value at the time you request a withdrawal, minus any other
withdrawals made during the contract year.
For existing contract owners, if you have QP IRA contract number 11933I, the
free withdrawal amount became available after the third contract year. If you
have QP IRA
55
<PAGE>
- -------------------------------------------------------------------------------
contract number 92QPI, the free withdrawal amount was available in the first
contract year.
No withdrawal charge applies:
o after five contract years and the annuitant is at least age 59 1/2; or
o if you request a refund of an excess contribution within one month of the
date on which the contribution is made; or
o the annuitant dies and the death benefit is made available to the
beneficiary; or
o after five contract years and the annuitant is at least age 55 and the
amount withdrawn is used to purchase from us a period certain annuity that
extends beyond the annuitant's age 59 1/2 and allows no prepayment; or
o after three contract years and the amount withdrawn is used to purchase from
us a period certain annuity for a term of at least 10 years and allows no
prepayment; or
o if the amount withdrawn is applied to the election of a life contingent
annuity payout option.
CHARGES FOR STATE PREMIUM AND OTHER APPLICABLE TAXES
We deduct a charge for applicable taxes such as premium taxes that may be
imposed in your state. Generally, we deduct the charge from the amount applied
to provide an annuity payout. The current tax charge that might be imposed
varies by state and ranges from 0% to 3.5% (1% in Puerto Rico and 5% in the U.S.
Virgin Islands).
We reserve the right to deduct any applicable charges for taxes such as premium
taxes from each contribution, or from withdrawals, or for surrender and
termination of your contract. If we have deducted any applicable charges from
contributions, we will not deduct a charge for the same taxes later. If,
however, an additional tax charge is later imposed upon us when you make a
withdrawal, or surrender your contract, or it is terminated, or you elect to
begin receiving annuity payments, we reserve the right to deduct a charge at
that time.
ANNUITY ADMINISTRATIVE FEE
We generally deduct a fee of up to $350 from the amount to be applied to
purchase a life annuity payout option.
CHARGES THAT THE TRUSTS DEDUCT
The Hudson River Trust and EQ Advisors Trust each deducts charges for the
following types of fees and expenses:
o Investment advisory fees ranging from 0.31% to 1.15%.
o 12b-1 fees of 0.25% applicable to Class IB shares of EQ Advisors Trust.
o Operating expenses, such as trustees' fees, independent auditors' fees,
legal counsel fees, administrative service fees, custodian fees, and
liability insurance.
o Investment-related expenses, such as brokerage commissions.
These charges are reflected in the daily share price of each Portfolio. Since
shares of each trust are purchased at their net asset value, these fees and
expenses are, in effect, passed on to the variable investment options and are
reflected in their unit values. For more information about these charges, please
refer to the prospectuses for The Hudson River Trust and EQ Advisors Trust
following this prospectus.
GROUP OR SPONSORED ARRANGEMENTS
For certain group or sponsored arrangements, we may reduce the withdrawal charge
or the mortality and expense risks charge, or change the minimum initial
contribution requirements. We also may change the minimum death benefit or offer
variable investment options that invest in shares of EQ Advisors Trust that are
not subject to the 12b-1 fee. Group arrangements include those in which a
trustee or an employer, for example, purchases contracts covering a group of
individuals on a group basis. Group arrangements are not available for
Traditional IRA, Standard Roth IRA, and Roth Advantage contracts. Sponsored
arrangements include those in which an employer allows us to sell contracts to
its employees or retirees on an individual basis.
56
<PAGE>
- -------------------------------------------------------------------------------
Our costs for sales, administration, and mortality generally vary with the size
and stability of the group or sponsoring organization, among other factors. We
take all these factors into account when reducing charges. To qualify for
reduced charges, a group or sponsored arrangement must meet certain
requirements, such as requirements for size and number of years in existence.
Group or sponsored arrangements that have been set up solely to buy contracts or
that have been in existence less than six months will not qualify for reduced
charges.
We also may establish different rates to maturity for the fixed maturity options
under different classes of contracts for group or sponsored arrangements.
We will make these and any similar reductions according to our rules in effect
when we approve a contract for issue. We may change these rules from time to
time. Any variation in the withdrawal charge will reflect differences in costs
or services and will not be unfairly discriminatory.
Group or sponsored arrangements may be governed by federal income tax rules, the
Employee Retirement Income Security Act of 1974, or both. We make no
representations with regard to the impact of these and other applicable laws on
such programs. We recommend that employers, trustees, and others purchasing or
making contracts available for purchase under such programs seek the advice of
their own legal and benefits advisers.
OTHER DISTRIBUTION ARRANGEMENTS
We may reduce or eliminate charges when sales are made in a manner that results
in savings of sales and administrative expenses, such as sales through persons
who are compensated by clients for recommending investments and who receive no
commission or reduced commissions in connection with the sale of the contracts.
We will not permit a reduction or elimination of charges where it will be
unfairly discriminatory.
57
<PAGE>
6
Payment of death benefit
- -------------------------------------------------------------------------------
YOUR BENEFICIARY AND PAYMENT OF BENEFIT
You designate your beneficiary when you apply for your contract. You may change
your beneficiary at any time by writing to our Processing Office.
The death benefit is equal to your account value, or, if greater, the "minimum
death benefit." The minimum death benefit is equal to your total contributions,
less withdrawals (less any taxes that apply). We determine the amount of the
death benefit as of the date we receive satisfactory proof of the annuitant's
death and any required instructions for the method of payment.
On the date we determine the death benefit, your account value will be deducted
from the investment options. We will hold this amount in our general account and
credit it with credit at a rate not less than the rate required by law. If you
have transferred the value of another annuity contract that we issue to your
EQUI-VEST contract, the value of the other contract's minimum death benefit
calculated as of the time of the transfer will be included in the total
contributions for the purpose of calculating the minimum death benefit.
EFFECT OF THE ANNUITANT'S DEATH
If the annuitant dies before the annuity payments begin, we will pay the death
benefit to your beneficiary.
Generally, the death of the annuitant terminates the contract. However, a
beneficiary who is the surviving spouse of the owner/annuitant can choose to be
treated as the successor owner/annuitant and continue the contract. Only a
spouse can be a successor owner/annuitant. If you do not want the person named
to receive the death benefit upon the annuitant's death to be the successor
owner, you should name a successor owner.
For Traditional IRA and QP IRA contracts, a beneficiary who is not a surviving
spouse may be able to have limited ownership.
Only a spouse can be a successor owner/annuitant. Under Traditional IRA, QP IRA,
Standard Roth IRA and Roth Advantage, only a beneficiary who is the surviving
spouse can be treated as the successor owner/annuitant.
WHEN AN NQ CONTRACT OWNER DIES BEFORE THE ANNUITANT
Under certain conditions the owner can change after the original owner's death.
When you are not the annuitant under an NQ contract and you die before annuity
payments begin, the beneficiary named to receive the death benefit upon the
annuitant's death will automatically become the successor owner. If you do not
want the person named to receive the death benefit upon the annuitant's death to
be the successor owner, you should name a specific successor owner. You may name
a different person that will become the successor owner at any time by sending
satisfactory notice to our Processing Office. This person will be considered the
"beneficiary" for purposes of the distribution rules described in this section.
The surviving owner automatically takes the place of any other beneficiary
designation.
Under NQ contracts when the owner dies the person designated as successor owner
becomes the new owner.
Unless the surviving spouse of the owner who has died is the successor owner for
this purpose, the entire interest in the contract must be distributed under the
following rules:
o The cash value of the contract must be fully paid to the designated
beneficiary (new owner) by December 31st of the fifth calendar year after
your death.
o The successor owner may instead elect to receive the cash value as a life
annuity (or payments for a period certain of not longer than the new owner's
life expectancy). Payments must begin no later than December 31st following
the calendar year of the non-annuitant owner's death. Unless this
alternative is elected, we will pay any cash value on December 31st of the
fifth calendar year following the year of your death.
o If the surviving spouse is the successor owner, the spouse may elect to
continue the contract. No distributions are required as long as the
surviving spouse and annuitant are living.
58
<PAGE>
- -------------------------------------------------------------------------------
HOW DEATH BENEFIT PAYMENT IS MADE
We will pay the death benefit to the beneficiary in the form of the annuity
payout option you have chosen. If you have not chosen an annuity payout option
as of the time of the annuitant's death, the beneficiary will receive the death
benefit in a single sum. However, subject to any exceptions in the contract, our
rules and any applicable requirements under federal income tax rules, the
beneficiary may elect to apply the death benefit to one or more annuity payout
options we offer at the time. See "Choosing your annuity payout options" earlier
in this prospectus. Please note that if you are both the contract owner and the
annuitant, you may elect only a life annuity or an annuity that does not extend
beyond the life expectancy of the beneficiary.
Single sum payments generally are paid through the Equitable Life Access
Account(TM), an interest bearing checking account. Beneficiaries have immediate
access to the proceeds by writing a check on the account. We pay interest from
the date the single sum is deposited into the Access Account until the account
is closed.
SUCCESSOR OWNER AND ANNUITANT
SERIES 300 AND 400 CONTRACTS ONLY. If you are both the contract owner and the
annuitant, your surviving spouse can automatically become both the successor
annuitant and contract owner if you elect to have your spouse be the sole
primary beneficiary, as well as the successor annuitant and contract owner. In
such a case, no death benefit is payable until your surviving spouse's death.
SERIES 400 TRADITIONAL IRA AND QP IRA CONTRACTS. If your spouse is the sole
primary beneficiary, then upon your death, your spouse may elect to receive the
death benefit or continue the contract as the successor annuitant and contract
owner.
BENEFICIARY CONTINUATION OPTION UNDER SERIES 400 TRADITIONAL IRA AND QP IRA
CONTRACTS
Upon your death, a non-spouse beneficiary may generally elect to keep the
contract in your name and receive distributions under the contract instead of
the death benefit being paid in a single sum. The account value used to provide
the distributions will be increased to equal the amount of the death benefit.
The beneficiary's choices depend in part on whether or not you were taking
required minimum distributions withdrawals under the contract prior to your
death.
(1) If you were taking required minimum distributions under the contract, the
distributions to the beneficiary must continue be made at least as rapidly
as prior to your death.
(2) If you die before you must take required minimum distributions under the
contract, the beneficiary may begin taking minimum distributions under the
contract, but such withdrawals must be based on the beneficiary's life
expectancy. The withdrawals must begin by December 31st of the calendar year
following your death. If there is more than one beneficiary, the shortest
life expectancy must be used.
(3) The withdrawals must be taken annually. There will not be a withdrawal
charge for these withdrawals. The beneficiary along with his or her tax
adviser will be responsible for determining the amount of the withdrawals.
(4) The designated beneficiary must be a natural person and of legal age at the
time of election. The beneficiary must elect this option within 30 days
following the date we receive proof of your death. If no election is made
within 30 days to: (1) receive the death benefit, or (2) continue the
contract and take annual withdrawals as described above, or (3) defer
payment of the account value for five years, the death benefit will be paid
to the beneficiary according to our standard procedures.
59
<PAGE>
- -------------------------------------------------------------------------------
(5) While the contract continues in your name, the beneficiary may transfer the
contract's account value among the investment options. However, additional
contributions will not be permitted and the death benefit (including the
minimum death benefit) provisions will no longer be in effect. Although the
only withdrawals that will be permitted are minimum distribution
withdrawals, the beneficiary may choose at any time to withdraw all of the
account value and no withdrawal charges will apply.
60
<PAGE>
7
Tax information
- -------------------------------------------------------------------------------
OVERVIEW
In this part of the prospectus, we discuss the current federal income tax rules
that generally apply to EQUI-VEST contracts owned by United States taxpayers.
The tax rules can differ, depending on the type of contract, whether NQ,
Traditional IRA, QP IRA, Standard Roth IRA, or Roth Advantage. Therefore, we
discuss the tax aspects of each type of contract separately.
We cannot provide detailed information on all tax aspects of the contracts.
Moreover, the tax aspects that apply to a particular person's contract may vary
depending on the facts applicable to that person. We do not discuss state income
and other state taxes, federal income tax and withholding rules for non-U.S.
taxpayers, or federal gift and estate taxes. Transfers of the contract, rights
under the contract, or payments under the contract may be subject to gift or
estate taxes. You should not rely only on this document, but should consult your
tax adviser before your purchase.
If you are buying a contract to fund a retirement plan that already provides tax
deferral under the Internal Revenue Code (IRA and QP IRA) you should do so for
the contracts' features and benefits other than tax deferral. In such
situations, the tax deferral of the contract does not provide additional
benefits.
Federal income tax rules include the United States laws in the Internal Revenue
Code, and Treasury Department Regulations and Internal Revenue Service ("IRS")
interpretations of the Internal Revenue Code. These tax rules may change. We
cannot predict whether, when, or how these rules could change. Any change could
affect contracts purchased before the change.
TRANSFERS AMONG INVESTMENT OPTIONS
You can make transfers among investment options inside the contract without
triggering taxable income.
TAXATION OF NONQUALIFIED ANNUITIES
CONTRIBUTIONS
You may not deduct the amount of your contributions for a nonqualified annuity
contract.
CONTRACT EARNINGS
Generally, you are not taxed on contract earnings until you receive a
distribution from your contract, whether as a withdrawal or as an annuity
payment. However, earnings are taxable, even without a distribution:
o if a contract fails investment diversification requirements as specified in
federal income tax rules (these rules are based on or are similar to those
specified for mutual funds under securities laws);
o if you transfer a contract, for example, as a gift to someone other than
your spouse (or former spouse);
o if you use a contract as security for a loan (in this case, the amount
pledged will be treated as a distribution); and
o if the owner is other than an individual (such as a corporation,
partnership, trust, or other non-natural person).
All nonqualified deferred annuity contracts that we issue to you during the same
calendar year are linked together and treated as one contract for calculating
the taxable amount of any distribution from any of those contracts.
ANNUITY PAYMENTS
Once annuity payments begin, a portion of each payment is taxable as ordinary
income. You get back the remaining portion without paying taxes on it. This is
your "investment in the contract." Generally, your investment in the contract
equals the contributions you made, less any amounts you previously withdrew that
were not taxable.
For fixed annuity payments, the tax-free portion of each payment is determined
by (1) dividing your investment in the contract by the total amount you are
expected to receive out of the contract, and (2) multiplying the result by the
amount of the payment. For variable annuity payments, your
61
<PAGE>
- -------------------------------------------------------------------------------
investment in the contract divided by the number of expected payments is your
tax-free portion of each payment.
Once you have received the amount of your investment in the contract, all
payments after that are fully taxable. If payments under a life annuity stop
because the annuitant dies, there is an income tax deduction for any unrecovered
investment in the contract.
PAYMENTS MADE BEFORE ANNUITY PAYMENTS BEGIN
If you make withdrawals before annuity payments begin under your contract, they
are taxable to you as ordinary income if there are earnings in the contract.
Generally, earnings are your account value less your investment in the contract.
If you withdraw an amount which is more than the earnings in the contract as of
the date of the withdrawal, the balance of the distribution is treated as a
return of your investment in the contract and is not taxable.
CONTRACTS PURCHASED THROUGH EXCHANGES
You may purchase your NQ contract through an exchange of another contract.
Normally, exchanges of contracts are taxable events. The exchange will not be
taxable under Section 1035 of the Internal Revenue Code if:
o The contract which is the source of the funds your are using to purchase the
NQ contract is another nonqualified deferred annuity contract (or life
insurance or endowment contract).
o The owner and the annuitant are the same under the source contract and the
EQUI-VEST NQ contract (if you are using a life insurance or endowment
contract the owner and the insured must be the same on both sides of the
exchange transaction).
The tax basis of the source contract carries over to the EQUI-VEST NQ contract.
Surrenders
If you surrender or cancel the contract, the distribution is taxable as ordinary
income (not capital gain) to the extent it exceeds your investment in the
contract.
Death benefit payments made to a beneficiary after your death
For the rules applicable to death benefits, see "Payment of death benefit" and
"When an NQ contract owner dies before the annuitant" earlier in this
prospectus. The tax treatment of a death benefit taken as a single sum is
generally the same as the tax treatment of a withdrawal from or surrender of
your contract. The tax treatment of a death benefit taken as annuity payments is
generally the same as the tax treatment of annuity payments under your contract.
EARLY DISTRIBUTION PENALTY TAX
If you take distributions before you are age 59 1/2 a penalty tax of 10% of the
taxable portion of your distribution applies in addition to the income tax. The
extra penalty tax does not apply to pre-age 59 1/2 distributions made:
o on or after your death; or
o because you are disabled (special federal income tax definition); or
o in the form of substantially equal periodic annuity payments for your life
(or life expectancy) or the joint lives (or joint life expectancy) of you
and a beneficiary.
SPECIAL RULES FOR NQ CONTRACTS ISSUED IN PUERTO RICO
Under current law we treat income from NQ contracts as U.S.-source. A Puerto
Rico resident is subject to U.S. taxation on such U.S.-source income. Only
Puerto Rico-source income of Puerto Rico residents is excludable from U.S.
taxation. Income from NQ contracts is also subject to Puerto Rico tax. The
calculation of the taxable portion of amounts distributed from a contract may
differ in the two jurisdictions. Therefore, you might have to file both U.S. and
Puerto Rico tax returns, showing different amounts of income from the contract
for each tax return. Puerto Rico generally provides a credit against Puerto Rico
tax for U.S. tax paid. Depending on your
62
<PAGE>
- -------------------------------------------------------------------------------
personal situation and the timing of the different tax liabilities, you may not
be able to take full advantage of this credit.
INDIVIDUAL RETIREMENT ARRANGEMENTS ("IRAS")
GENERAL
"IRA" stands for individual retirement arrangement. There are two basic types of
such arrangements, individual retirement accounts and individual retirement
annuities. In an individual retirement account, a trustee or custodian holds the
assets for the benefit of the IRA owner. The assets can include mutual funds and
certificates of deposit. In an individual retirement annuity, an insurance
company issues an annuity contract that serves as the IRA.
There are several types of IRAs, as follows:
o "Traditional IRAs," typically funded on a pre-tax basis;
o Roth IRAs, first available in 1998, funded on an after-tax basis; and
o SEP-IRAs and SIMPLE-IRAs, issued and funded in connection with
employer-sponsored retirement plans.
Regardless of the type of IRA, your ownership interest in the IRA cannot be
forfeited. You or your beneficiaries who survive you are the only ones who can
receive the IRA's benefits or payments.
You can hold your IRA assets in as many different accounts and annuities as you
would like, as long as you meet the rules for setting up and making
contributions to IRAs. However, if you own multiple IRAs, you may be required to
combine IRA values or contributions for tax purposes. For further information
about individual retirement arrangements, you can read Internal Revenue Service
Publication 590 ("Individual Retirement Arrangements (IRAs)"). This publication
is usually updated annually, and can be obtained from any IRS district office or
the IRS website (www.irs.ustreas.gov).
The EQUI-VEST Traditional IRA contract is designed to qualify as an "individual
retirement annuity" under Section 408(b) of the Internal Revenue Code. This
prospectus contains the information that the IRS requires you to have before you
purchase an IRA. This section of the prospectus covers some of the special tax
rules that apply to IRAs. The next section covers Roth IRAs. Education IRAs are
not discussed in this prospectus because they are not available in individual
retirement annuity form.
The EQUI-VEST IRA contract has been approved by the IRS as to form for use as a
Traditional IRA. We expect to submit the Roth IRA version for formal IRS
approval in 1999. This IRS approval is a determination only as to the form of
the annuity. It does not represent a determination of the merits of the annuity
as an investment. The IRS approval does not address every feature possibly
available under the EQUI-VEST IRA contract.
CANCELLATION
You can cancel an EQUI-VEST IRA contract (Traditional IRA, QP IRA, Standard Roth
IRA or Roth Advantage) by following the directions under "Your right to cancel
within a certain number of days" earlier in the prospectus. You can cancel an
EQUI-VEST Standard Roth IRA or a Roth Advantage contract issued as a result of a
full or partial conversion of an EQUI-VEST Traditional IRA contract by following
the instructions in the "EQUI-VEST Roth IRA Re-Characterization Form." The form
is available from our Processing Office or your Equitable associate. If you
cancel a Traditional IRA, Standard Roth IRA or Roth Advantage contract, we may
have to withhold tax, and we must report the transaction to the IRS. A contract
cancellation could have an unfavorable tax impact.
TRADITIONAL INDIVIDUAL RETIREMENT ANNUITIES (TRADITIONAL IRAS)
CONTRIBUTIONS TO TRADITIONAL IRAS
Individuals may make three different types of contributions to a Traditional
IRA:
63
<PAGE>
- -------------------------------------------------------------------------------
o regular contributions out of earned income or compensation; or
o tax-free "rollover" contributions; or
o direct custodian-to-custodian transfers from other Traditional IRAs ("direct
transfers").
REGULAR CONTRIBUTIONS TO TRADITIONAL IRAS
Limits on contributions to Traditional IRAs
Generally, $2,000 is the maximum amount that you may contribute to all IRAs
(including Roth IRAs) in any taxable year. When your earnings are below $2,000,
your earned income or compensation for the year is the most you can contribute.
This $2,000 limit does not apply to rollover contributions or direct
custodian-to-custodian transfers into a Traditional IRA. You cannot make regular
contributions for the tax year in which you reach age 70 1/2 or any tax year
after that.
Special rules for spouses
If you are married and file a joint income tax return, you and your spouse may
combine your compensation to determine the amount of regular contributions you
are permitted to make to Traditional IRAs (Roth IRAs discussed below). Even if
one spouse has no compensation or compensation under $2,000, married individuals
filing jointly can contribute up to $4,000 for any taxable year to any
combination of Traditional IRAs and Roth IRAs. (Any contributions to Roth IRAs
reduce the ability to contribute to Traditional IRAs and vice versa.) The
maximum amount may be less if earned income is less and the other spouse has
made IRA contributions. No more than a combined total of $2,000 can be
contributed annually to either spouse's Traditional IRAs and Roth IRAs. Each
spouse owns his or her Traditional IRAs and Roth IRAs even if the other spouse
funded the contributions. A working spouse age 70 1/2 or over can contribute up
to the lesser of $2,000 or 100% of "earned income" to a Traditional IRA for a
nonworking spouse until the year in which the nonworking spouse reaches age
70 1/2.
Deductibility of contributions
The amount of Traditional IRA contributions that you can deduct for a tax year
depends on whether you are covered by an employer-sponsored tax-favored
retirement plan, as defined under special federal income tax rules. Your Form
W-2 will indicate whether or not you are covered by such a retirement plan.
IF YOU ARE NOT COVERED BY A RETIREMENT PLAN DURING ANY PART OF THE YEAR, you can
make fully deductible contributions to your Traditional IRAs for each tax year
up to $2,000 or, if less, your earned income.
IF YOU ARE COVERED BY A RETIREMENT PLAN DURING ANY PART OF THE YEAR, and your
adjusted gross income (AGI) is BELOW THE LOWER DOLLAR FIGURE IN A PHASE-OUT
RANGE, you can make fully deductible contributions to your Traditional IRAs. For
each tax year your fully deductible contribution can be up to $2,000 or, if
less, your earned income.
IF YOU ARE COVERED BY A RETIREMENT PLAN DURING ANY PART OF THE YEAR, and your
AGI falls within a PHASE-OUT range, you can make partially deductible
contributions to your Traditional IRAs.
IF YOU ARE COVERED BY A RETIREMENT PLAN DURING ANY PART OF THE YEAR, and your
AGI falls ABOVE THE HIGHER FIGURE IN THE PHASE-OUT RANGE, you may not deduct any
of your regular contribution to your Traditional IRAs.
If you are single and covered by a retirement plan during any part of the
taxable year, the deduction for IRA contributions phases out with AGI between
$31,000 and $41,000 in 1999. This range will increase every year until 2005 when
the range is $50,000-$60,000.
If you are married and file a joint return, and you are covered by a retirement
plan during any part of the taxable year, the deduction for Traditional IRA
contributions phases out with AGI between $51,000 and $61,000 in 1999. This
range will increase every year until 2007 when the range is $80,000-$100,000.
64
<PAGE>
- -------------------------------------------------------------------------------
Married individuals filing separately and living apart at all times are not
considered married for purposes of this deductible contribution calculation.
Generally, the active participation in an employer-sponsored retirement plan of
an individual is determined independently for each spouse. Where spouses have
"married filing jointly" status, however, the maximum deductible Traditional IRA
contribution for an individual who is not an active participant (but whose
spouse is an active participant) is phased out for taxpayers with AGI of between
$150,000 and $160,000.
To determine the deductible amount of the contribution in 1999, you determine
AGI and subtract $31,000 if you are single, or $51,000 if you are married and
file a joint return with your spouse. The resulting amount is your Excess AGI.
You then determine the limit on the deduction for Traditional IRA contributions
using the following formula:
($10,000-excess AGI) times $2,000 (or earned Equals the adjusted
- --------------------- x income, if less) = deductible
divided by $10,000 contribution
limit
Nondeductible regular contributions
If you are not eligible to deduct part or all of the Traditional IRA
contribution, you may still make nondeductible contributions on which earnings
will accumulate on a tax-deferred basis. The combined deductible and
nondeductible contributions to your Traditional IRA (or the nonworking spouse's
Traditional IRA) may not, however, exceed the maximum $2,000 per person limit.
See "Excess Contributions" below. You must keep your own records of deductible
and nondeductible contributions in order to prevent double taxation on the
distribution of previously taxed amounts. See "Withdrawals, payments and
transfer of funds out of Traditional IRAs" below.
If you are making nondeductible contributions in any taxable year, or you have
made nondeductible contributions to a Traditional IRA in prior years and are
receiving distributions from any Traditional IRA, you must file the required
information with the IRS. Moreover, if you are making nondeductible Traditional
IRA contributions, you must retain all income tax returns and records pertaining
to such contributions until interests in all Traditional IRAs are fully
distributed.
When you can make regular contributions
If you file your tax returns on a calendar year basis like most taxpayers, you
have until the April 15 return filing deadline (without extensions) of the
following calendar year to make your regular contributions for a tax year.
EXCESS CONTRIBUTIONS
Excess contributions to IRAs are subject to a 6% excise tax for the year in
which made and for each year after until withdrawn. The following are excess
contributions to IRAs:
o regular contributions of more than $2,000; or
o regular contributions of more than earned income for the year, if that
amount is under $2,000; or
o regular contributions to a Traditional IRA made after you reach age 70 1/2;
or
o rollover contributions of amounts which are not eligible to be rolled over.
For example, after-tax contributions to a qualified plan or minimum
distributions required to be made after age 70 1/2.
You can avoid the excise tax by withdrawing an excess contribution (rollover or
regular) before the due date (including extensions) for filing your federal
income tax return for the year. If it is an excess regular contribution, you
cannot take a tax deduction for the amount withdrawn. You do not have to include
the excess contribution withdrawn as part of your income. It is also not subject
to the 10% additional penalty tax on early distributions discussed below under
"Early distribution penalty tax." You do have to withdraw any earnings that are
attributed to the excess contribution. The withdrawn earnings would be included
in your gross income and could be subject to the 10% penalty tax.
Even after the due date for filing your return, you may withdraw an excess
rollover contribution, without income inclusion or 10% penalty, if:
65
<PAGE>
- -------------------------------------------------------------------------------
(1) the rollover was from a qualified retirement plan to a Traditional IRA;
(2) the excess contribution was due to incorrect information that the plan
provided; and
(3) you took no tax deduction for the excess contribution.
ROLLOVERS AND TRANSFERS
Rollover contributions may be made to a Traditional IRA from these sources:
o qualified plans;
o TSAs (including Internal Revenue Code Section 403(b)(7) custodial accounts);
and
o other Traditional IRAs.
You may also change your Roth IRA funds to Traditional IRA funds, in accordance
with special federal income tax rules, if you use the forms we prescribe. This
is referred to as having "recharacterized" your contribution.
Any amount contributed to a Traditional IRA after you reach age 70 1/2 must be
net of your required minimum distribution for the year in which the rollover or
direct transfer contribution is made.
ROLLOVERS FROM QUALIFIED PLANS OR TSAS
There are two ways to do rollovers:
o Do it yourself
You actually receive a distribution that can be rolled over and you roll
it over to a Traditional IRA within 60 days after the date you receive the
funds. The distribution from your qualified plan or TSA will be net of 20%
mandatory federal income tax withholding. If you want, you can replace the
withheld funds yourself and roll over the full amount.
o Direct rollover
You tell your qualified plan trustee or TSA issuer/custodian/fiduciary to
send the distribution directly to your Traditional IRA issuer. Direct
rollovers are not subject to mandatory federal income tax withholding.
All distributions from a TSA or qualified plan are eligible rollover
distributions, unless the distribution is:
o only after-tax contributions you made to the plan; or
o "required minimum distributions" after age 70 1/2 or separation from
service; or
o substantially equal periodic payments made at least annually for your life
(or life expectancy) or the joint lives (or joint life expectancies) of
you and your designated beneficiary; or
o a hardship withdrawal; or
o substantially equal periodic payments made for a specified period of 10
years or more; or
o corrective distributions which fit specified technical tax rules; or
o loans that are treated as distributions; or
o a death benefit payment to a beneficiary who is not your surviving spouse;
or
o a qualified domestic relations order distribution to a beneficiary who is
not your current spouse or former spouse.
ROLLOVERS FROM TRADITIONAL IRAS TO TRADITIONAL IRAS
You may roll over amounts from one Traditional IRA to one or more of your other
Traditional IRAs if you complete the transaction within 60 days after you
receive the funds. You may make such a rollover only once in every 12-month
period for the same funds. Trustee-to-trustee or custodian-to-custodian direct
transfers are not rollover transactions. You can make these more frequently than
once in every 12-month period.
The surviving spouse beneficiary of a deceased individual can roll over or
directly transfer an inherited Traditional IRA to one or more other Traditional
IRAs. Also, in some cases, Traditional IRAs can be transferred on a tax-free
basis between spouses or former spouses as a result of a court ordered divorce
or separation decree.
66
<PAGE>
- -------------------------------------------------------------------------------
WITHDRAWALS, PAYMENTS AND TRANSFERS OF FUNDS OUT OF TRADITIONAL IRAS
No federal income tax law restrictions on withdrawals
You can withdraw any or all of your funds from a Traditional IRA at any time.
You do not need to wait for a special event like retirement.
Taxation of payments
Earnings in Traditional IRAs are not subject to federal income tax until you or
your beneficiary receives them. Taxable payments or distributions include
withdrawals from your contract, surrender of your contract and annuity payments
from your contract. Death benefits are also taxable. Except as discussed below,
the total amount of any distribution from a Traditional IRA must be included in
your gross income as ordinary income.
If you have ever made nondeductible IRA contributions to any Traditional IRA (it
does not have to be to this particular Traditional IRA contract), those
contributions are recovered tax free when you get distributions from any
Traditional IRA. You must keep permanent tax records of all of your
nondeductible contributions to Traditional IRAs. At the end of any year in which
you have received a distribution from any Traditional IRA, you calculate the
ratio of your total nondeductible Traditional IRA contributions (less any
amounts previously withdrawn tax free) to the total account balances of all
Traditional IRAs you own at the end of the year plus all Traditional IRA
distributions made during the year. Multiply this by all distributions from the
Traditional IRA during the year to determine the nontaxable portion of each
distribution.
In addition, a distribution is not taxable if:
o the amount received is a withdrawal of excess contributions, as described
under "Excess contributions" above; or
o the entire amount received is rolled over to another Traditional IRA (see
"Rollovers and transfers" above); or
o in certain limited circumstances, where the Traditional IRA acts as a
"conduit," you roll over the entire amount into a qualified plan or TSA that
accepts rollover contributions. To get this "conduit" Traditional IRA
treatment:
o the source of funds you used to establish the Traditional IRA must have been
a rollover contribution from a qualified plan, and
o the entire amount received from the Traditional IRA (including any earnings
on the rollover contribution) must be rolled over into another qualified
plan within 60 days of the date received.
Similar rules apply in the case of a TSA.
However, you may lose conduit treatment, if you make an eligible rollover
distribution contribution to a Traditional IRA and you commingle this
contribution with other contributions. In that case, you may not be able to roll
over these eligible rollover distribution contributions and earnings to another
qualified plan or TSA at a future date.
Distributions from a Traditional IRA are not eligible for favorable five-year
averaging (or, in some cases, ten-year averaging and long-term capital gain
treatment) available to certain distributions from qualified plans.
The EQUI-VEST QP IRA contract can be used as a conduit IRA if amounts are not
commingled.
REQUIRED MINIMUM DISTRIBUTIONS
Lifetime required minimum distributions
You must start taking annual distributions from your Traditional IRAs beginning
at age 70 1/2.
When you have to take the first required minimum distribution
The first required minimum distribution is for the calendar year in which you
turn age 70 1/2. You have the choice to take this first required minimum
distribution during the calendar year you actually reach age 70 1/2, or to delay
taking it until the first three-month period in the next calendar year (January
1 - April 1). Distributions must start no later than your "required beginning
date," which is April 1st of the
67
<PAGE>
- -------------------------------------------------------------------------------
calendar year after the calendar year in which you turn age 70 1/2. If you
choose to delay taking the first annual minimum distribution, then you will have
to take two minimum distributions in that year - the delayed one for the first
year and the one actually for that year. Once minimum distributions begin, they
must be made at some time each year.
How you calculate required minimum distributions
There are two approaches to taking required minimum distributions -
"account-based" or "annuity-based."
Account - based method. If you choose an "account-based" method, you divide the
value of your Traditional IRA as of December 31st of the past calendar year by a
life expectancy factor from IRS tables. This gives you the required minimum
distribution amount for that particular IRA for that year. The required minimum
distribution amount will vary each year as the account value and your life
expectancy factors change.
You have a choice of life expectancy factors, depending on whether you choose a
method based only on your life expectancy, or the joint life expectancies of you
and another individual. You can decide to "recalculate" your life expectancy
every year by using your current life expectancy factor. You can decide instead
to use the "term certain" method, where you reduce your life expectancy by one
every year after the initial year. If your spouse is your designated beneficiary
for the purpose of calculating annual account-based required minimum
distributions, you can also annually "recalculate" your spouse's life expectancy
if you want. If you choose someone who is not your spouse as your designated
beneficiary for the purpose of calculating annual account-based required minimum
distributions, you have to use the "term certain" method of calculating that
person's life expectancy. If you pick a nonspouse designated beneficiary, you
may also have to do another special calculation.
You can later apply your Traditional IRA funds to a life annuity-based payout.
You can only do this if you already chose to recalculate your life expectancy
annually (and your spouse's life expectancy if you select a spousal joint
annuity). For example, if you anticipate selecting any form of life annuity
payout after you are age 70 1/2, you must have elected to recalculate life
expectancies.
Annuity - based method. If you choose an annuity - based method you do not have
to do annual calculations. You apply the account value to an annuity payout for
your life or the joint lives of you and a designated beneficiary, or for a
period certain not extending beyond applicable life expectancies.
Do you have to pick the same method to calculate your required minimum
distributions for all of your Traditional IRAs and other retirement plans?
No. If you want, you can choose a different method and a different beneficiary
for each of your Traditional IRAs and other retirement plans. For example, you
can choose an annuity payout from one IRA, a different annuity payout from a
qualified plan, and an account-based annual withdrawal from another IRA.
Will we pay you the annual amount every year from your Traditional IRA based on
the method you choose?
No, unless you affirmatively select an annuity payout option or an account-based
withdrawal option such as our minimum distribution withdrawal option. Because
the options we offer do not cover every option permitted under federal income
tax rules, you may prefer to do your own required minimum distribution
calculations for one or more of your Traditional IRAs.
What if you take more than you need to for any year?
The required minimum distribution amount for your Traditional IRAs is calculated
on a year-by-year basis. There are no carry-back or carry-forward provisions.
Also, you cannot apply required minimum distribution amounts you take from your
qualified plans to the amounts you have to take from your Traditional IRAs and
vice-versa. However, the IRS will let you calculate the required minimum
distribution for each Traditional IRA that you maintain, using the method that
you picked for that particular IRA. You can add these
68
<PAGE>
- -------------------------------------------------------------------------------
required minimum distribution amount calculations together. As long as the total
amount you take out every year satisfies your overall Traditional IRA required
minimum distribution amount, you may choose to take your annual required minimum
distribution from any one or more Traditional IRAs that you own.
What if you take less than you need to for any year?
Your IRA could be disqualified, and you could have to pay tax on the entire
value. Even if your IRA is not disqualified, you could have to pay a 50% penalty
tax on the shortfall (required amount for Traditional IRAs less amount actually
taken). It is your responsibility to meet the required minimum distribution
rules. We will remind you when our records show that your age 70 1/2 is
approaching. If you do not select a method with us, we will assume you are
taking your required minimum distribution from another Traditional IRA that you
own.
What are the required minimum distribution payments after you die?
If you die after either (a) the start of annuity payments, or (b) your required
beginning date, your beneficiary must receive payment of the remaining values in
the contract at least as rapidly as under the distribution method before your
death. In some circumstances, your surviving spouse may elect to become the
owner of the Traditional IRA and halt distributions until he or she reaches age
70 1/2.
If you die before your required beginning date and before annuity payments
begin, federal income tax rules require complete distribution of your entire
value in the contract within five years after your death. Payments to a
designated beneficiary over the beneficiary's life or over a period certain that
does not extend beyond the beneficiary's life expectancy are also permitted, if
these payments start within one year of your death. A surviving spouse
beneficiary can also (a) delay starting any payments until you would have
reached age 70 1/2 or (b) roll over your Traditional IRA into his or her own
Traditional IRA.
SUCCESSOR ANNUITANT AND OWNER
If your spouse is the sole primary beneficiary and elects to become the
successor annuitant and owner, no death benefit is payable until your surviving
spouse's death.
PAYMENTS TO A BENEFICIARY AFTER YOUR DEATH
IRA death benefits are taxed the same as IRA distributions.
BORROWING AND LOANS ARE PROHIBITED TRANSACTIONS
You cannot get loans from a Traditional IRA. You cannot use a Traditional IRA as
collateral for a loan or other obligation. If you borrow against your IRA or use
it as collateral, its tax-favored status will be lost as of the first day of the
tax year in which this prohibited event occurs. If this happens, you must
include the value of the Traditional IRA in your federal gross income. Also, the
early distribution penalty tax of 10% will apply if you have not reached age
59 1/2 before the first day of that tax year.
EARLY DISTRIBUTION PENALTY TAX
A penalty tax of 10% of the taxable portion of a distribution applies to
distributions from a Traditional IRA made before you reach age 59 1/2. The extra
penalty tax does not apply to pre-age 59 1/2 distributions made:
o on or after your death; or
o because you are disabled (special federal income tax definition); or
o to pay for certain extraordinary medical expenses (special federal income
tax definition); or
o to pay medical insurance premiums for unemployed individuals (special
federal income tax definition); or
o to pay certain first-time home buyer expenses (special federal income tax
definition); or
o to pay certain higher education expenses (special federal income tax
definition); or
o in the form of substantially equal periodic payments made at least annually
over your life (or your life expectancy), or
69
<PAGE>
- -------------------------------------------------------------------------------
over the joint lives of you and your beneficiary (or your joint life
expectancy) using an IRS-approved distribution method.
ILLUSTRATION OF GUARANTEED INTEREST RATES
In the following two tables, we provide information that the IRS requires us to
furnish to prospective IRA contract owners. In the tables we illustrate the 3%
minimum guaranteed interest rate for contributions we assume are allocated
entirely to the guaranteed interest option under series 300 and 400 contracts.
In Table I we assume a $1,000 contribution made annually on the contract date
and on each anniversary after that. We assume no withdrawals or transfers were
made under the contract. In Table II we assume a single initial contribution of
$1,000, and no additional contributions. We also assume no withdrawals or
transfers. The 3% guaranteed interest rate is in the contract.
The values shown assume the withdrawal charge applies. These values reflect the
effect of the annual administrative charge deducted at the end of each contract
year in which the account value is less than $20,000.
To find the appropriate value for the end of the contract year at any particular
age, you subtract the age (nearest birthday) at issue of the contract from the
current age and find the corresponding year in the table. Years that correspond
to a current age over 70, should be ignored, unless the contract is a Roth IRA.
You should consider the information shown in the tables in light of your present
age. Also, with respect to Table I, you should consider your ability to
contribute $1,000 annually. Any change in the amounts contributed annually, or
in the amount of the single contribution would, of course, change the results
shown.
70
<PAGE>
- -------------------------------------------------------------------------------
TABLE I
ACCOUNT VALUES AND CASH VALUES
(assuming $1,000 contributions made annually
at the beginning of the contract year)
<TABLE>
<CAPTION>
- -----------------------------------------------
3% MINIMUM GUARANTEE
- -----------------------------------------------
CONTRACT ACCOUNT CASH
YEAR END VALUE VALUE
- -----------------------------------------------
<S> <C> <C>
1 $ 1,009.40 $ 954.89
- -----------------------------------------------
2 2,039.68 1,929.54
- -----------------------------------------------
3 3,100.87 2,933.43
- -----------------------------------------------
4 4,193.90 3,967.43
- -----------------------------------------------
5 5,319.72 5,032.45
- -----------------------------------------------
6 6,479.31 6,129.42
- -----------------------------------------------
7 7,673.69 7,313.69
- -----------------------------------------------
8 8,903.90 8,543.90
- -----------------------------------------------
9 10,171.01 9,811.01
- -----------------------------------------------
10 11,476.14 11,116.14
- -----------------------------------------------
11 12,820.43 12,460.43
- -----------------------------------------------
12 14,205.04 13,845.04
- -----------------------------------------------
13 15,631.19 15,271.19
- -----------------------------------------------
14 17,100.13 16,740.13
- -----------------------------------------------
15 18,613.13 18,253.13
- -----------------------------------------------
16 20,201.53 19,841.53
- -----------------------------------------------
17 21,837.57 21,477.57
- -----------------------------------------------
18 23,522.70 23,162.70
- -----------------------------------------------
19 25,258.38 24,898.38
- -----------------------------------------------
20 27,046.13 26,686.13
- -----------------------------------------------
21 28,887.52 28,527.52
- -----------------------------------------------
22 30,784.14 30,424.14
- -----------------------------------------------
23 32,737.67 32,377.67
- -----------------------------------------------
24 34,749.80 34,389.80
- -----------------------------------------------
25 36,822.29 36,462.29
- -----------------------------------------------
</TABLE>
TABLE II
ACCOUNT VALUES AND CASH VALUES
(assuming a single contribution of $1,000 and
no further contribution)
<TABLE>
<CAPTION>
- -----------------------------------------
3% MINIMUM GUARANTEE
- -----------------------------------------
CONTRACT ACCOUNT CASH
YEAR END VALUE VALUE
- -----------------------------------------
<S> <C> <C>
1 $ 1,009.40 $ 954.89
- -----------------------------------------
2 1,018.89 963.87
- -----------------------------------------
3 1,019.46 964.40
- -----------------------------------------
4 1,020.04 964.96
- -----------------------------------------
5 1,020.64 965.53
- -----------------------------------------
6 1,021.26 966.11
- -----------------------------------------
7 1,021.90 1,021.90
- -----------------------------------------
8 1,022.55 1,022.55
- -----------------------------------------
9 1,023.23 1,023.23
- -----------------------------------------
10 1,023.93 1,023.93
- -----------------------------------------
11 1,024.65 1,024.65
- -----------------------------------------
12 1,025.38 1,025.38
- -----------------------------------------
13 1,026.15 1,026.15
- -----------------------------------------
14 1,026.93 1,026.93
- -----------------------------------------
15 1,027.74 1,027.74
- -----------------------------------------
16 1,028.57 1,028.57
- -----------------------------------------
17 1,029.43 1,029.43
- -----------------------------------------
18 1,030.31 1,030.31
- -----------------------------------------
19 1,031.22 1,031.22
- -----------------------------------------
20 1,032.16 1,032.16
- -----------------------------------------
21 1,033.12 1,033.12
- -----------------------------------------
22 1,034.11 1,034.11
- -----------------------------------------
23 1,035.14 1,035.14
- -----------------------------------------
24 1,036.19 1,036.19
- -----------------------------------------
25 1,037.28 1,037.28
- -----------------------------------------
</TABLE>
71
<PAGE>
- -------------------------------------------------------------------------------
TABLE I
ACCOUNT VALUES AND CASH VALUES
(assuming $1,000 contributions made annually
at the beginning of the contract year)
<TABLE>
<CAPTION>
- --------------------------------------------
3% MINIMUM GUARANTEE
- --------------------------------------------
CONTRACT ACCOUNT CASH
YEAR END VALUE VALUE
- --------------------------------------------
<S> <C> <C>
26 38,956.96 38,596.96
- --------------------------------------------
27 41,155.67 40,795.67
- --------------------------------------------
28 43,420.34 43,060.34
- --------------------------------------------
29 45,752.95 45,392.95
- --------------------------------------------
30 48,155.53 47,795.53
- --------------------------------------------
31 50,630.20 50,270.20
- --------------------------------------------
32 53,179.11 52,819.11
- --------------------------------------------
33 55,804.48 55,444.48
- --------------------------------------------
34 58,508.61 58,148.61
- --------------------------------------------
35 61,293.87 60,933.87
- --------------------------------------------
36 64,162.69 63,802.69
- --------------------------------------------
37 67,117.57 66,757.57
- --------------------------------------------
38 70,161.10 69,801.10
- --------------------------------------------
39 73,295.93 72,935.93
- --------------------------------------------
40 76,524.81 76,164.81
- --------------------------------------------
41 79,850.55 79,490.55
- --------------------------------------------
42 83,276.07 82,916.07
- --------------------------------------------
43 86,804.35 86,444.35
- --------------------------------------------
44 90,438.48 90,078.48
- --------------------------------------------
45 94,181.64 93,821.64
- --------------------------------------------
46 98,037.08 97,677.08
- --------------------------------------------
47 102,008.20 101,648.20
- --------------------------------------------
48 106,098.44 105,738.44
- --------------------------------------------
49 110,311.40 109,951.40
- --------------------------------------------
50 114,650.74 114,290.74
- --------------------------------------------
</TABLE>
TABLE II
ACCOUNT VALUES AND CASH VALUES
(assuming a single contribution of $1,000 and
no further contribution)
<TABLE>
<CAPTION>
- -----------------------------------------------
3% MINIMUM GUARANTEE
- -----------------------------------------------
CONTRACT ACCOUNT CASH
YEAR END VALUE VALUE
- -----------------------------------------------
<S> <C> <C>
26 1,038.40 1,038.40
- -----------------------------------------------
27 1,039.55 1,039.55
- -----------------------------------------------
28 1,040.73 1,040.73
- -----------------------------------------------
29 1,041.96 1,041.96
- -----------------------------------------------
30 1,043.22 1,043.22
- -----------------------------------------------
31 1,044.51 1,044.51
- -----------------------------------------------
32 1,045.85 1,045.85
- -----------------------------------------------
33 1,047.22 1,047.22
- -----------------------------------------------
34 1,048.64 1,048.64
- -----------------------------------------------
35 1,050.10 1,050.10
- -----------------------------------------------
36 1,051.60 1,051.60
- -----------------------------------------------
37 1,053.15 1,053.15
- -----------------------------------------------
38 1,054.74 1,054.74
- -----------------------------------------------
39 1,056.39 1,056.39
- -----------------------------------------------
40 1,058.08 1,058.08
- -----------------------------------------------
41 1,059.82 1,059.82
- -----------------------------------------------
42 1,061.61 1,061.61
- -----------------------------------------------
43 1,063.46 1,063.46
- -----------------------------------------------
44 1,065.37 1,065.37
- -----------------------------------------------
45 1,067.33 1,067.33
- -----------------------------------------------
46 1,069.35 1,069.35
- -----------------------------------------------
47 1,071.43 1,071.43
- -----------------------------------------------
48 1,073.57 1,073.57
- -----------------------------------------------
49 1,075.78 1,075.78
- -----------------------------------------------
50 1,078.05 1,078.05
- -----------------------------------------------
</TABLE>
72
<PAGE>
- -------------------------------------------------------------------------------
ROTH INDIVIDUAL RETIREMENT ANNUITIES (ROTH IRAS)
This section of the prospectus covers some of the special tax rules that apply
to Standard Roth IRAs. If the rules are the same as those that apply to the
Traditional IRA, we will refer you to the same topic under "Traditional IRAs."
The EQUI-VEST Standard Roth IRA and Roth Advantage contracts are designed to
qualify as Roth individual retirement annuities under Sections 408A and 408(b)
of the Internal Revenue Code.
CONTRIBUTIONS TO ROTH IRAS
Individuals may make four different types of contributions to a Roth IRA:
o regular after-tax contributions out of earnings; or
o taxable rollover contributions from Traditional IRAs ("conversion"
contributions); or
o tax-free rollover contributions from other Roth IRAs; or
o tax-free direct custodian-to-custodian transfers from other Roth IRAs
("direct transfers").
If you use the forms we require, we will also accept Traditional IRA funds which
are subsequently recharacterized as Roth IRA funds following special federal
income tax rules.
REGULAR CONTRIBUTIONS TO ROTH IRAS
Limits on regular contributions.
Generally, $2,000 is the maximum amount that you may contribute to all IRAs
(including Roth IRAs) in any taxable year. This $2,000 limit does not apply to
rollover contributions or direct custodian-to-custodian transfers into a Roth
IRA. Any contributions to Roth IRAs reduce your ability to contribute to
Traditional IRAs and vice versa. When your earnings are below $2,000, your
earned income or compensation for the year is the most you can contribute. If
you are married and file a joint income tax return, you and your spouse may
combine your compensation to determine the amount of regular IRA and after-tax
contributions you are permitted to make to Roth IRAs and Traditional IRAs. See
the discussion above under Traditional IRAs.
With a Roth IRA, you can make regular contributions when you reach 70 1/2, as
long as you have sufficient earnings. But, you cannot make contributions for any
year that:
o your federal income tax filing status is "married filing jointly" and your
adjusted gross income is over $160,000; or,
o your federal income tax filing status is "single" and your adjusted gross
income is over $110,000.
However, you can make regular Roth IRA contributions in reduced amounts when:
o your federal income tax filing status is "married filing jointly" and your
adjusted gross income is between $150,000 and $160,000; or
o your federal income tax filing status is "single" and your adjusted gross
income is between $95,000 and $110,000.
If you are married and filing separately and your adjusted gross income is
between $0 and $10,000 the amount of regular contribution you are permitted to
make is phased out. If your adjusted gross income is more than $10,000 you
cannot make a regular Roth IRA contribution.
When you can make contributions?
Same as Traditional IRAs.
Deductibility of contributions
Roth IRA contributions are not tax deductible.
ROLLOVERS AND DIRECT TRANSFERS
What is the difference between rollover and direct transfer transactions?
You may make rollover contributions to a Roth IRA from only two sources:
o another Roth IRA ("tax-free rollover contribution"); or
o another Traditional IRA, including a SEP-IRA or SIMPLE-IRA, in a taxable
"conversion" rollover ("conversion contribution").
73
<PAGE>
- --------------------------------------------------------------------------------
You may not make contributions to a Roth IRA from a qualified plan under Section
401(a) of the Internal Revenue Code, or a TSA under Section 403(b) of the
Internal Revenue Code. You may make direct transfer contributions to a Roth IRA
only from another Roth IRA.
The difference between a rollover transaction and a direct transfer transaction
is the following, in a rollover transaction you actually take possession of the
funds rolled over, or are considered to have received them under tax law in the
case of a change from one type of plan to another. In a direct transfer
transaction, you never take possession of the funds, but direct the first Roth
IRA custodian, trustee, or issuer to transfer the first Roth IRA funds directly
to Equitable Life, as the Roth IRA issuer. You can make direct transfer
transactions only between identical plan types (for example, Roth IRA to Roth
IRA). You can also make rollover transactions between identical plan types.
However, you can only use rollover transactions between different plan types
(for example, Traditional IRA to Roth IRA).
You may make both Roth IRA to Roth IRA rollover transactions and Roth IRA to
Roth IRA direct transfer transactions. This can be accomplished on a completely
tax-free basis. However you may make Roth IRA to Roth IRA rollover transactions
only once in any 12-month period for the same funds. Trustee-to-trustee or
custodian-to-custodian direct transfers can be made more frequently than once a
year. Also, if you send us the rollover contribution to apply it to a Roth IRA,
you must do so within 60 days after you receive the proceeds from the original
IRA to get rollover treatment.
The surviving spouse beneficiary of a deceased individual can roll over or
directly transfer an inherited Roth IRA to one or more other Roth IRAs. In some
cases, Roth IRAs can be transferred on a tax-free basis between spouses or
former spouses as a result of a court ordered divorce or separation decree.
CONVERSION CONTRIBUTIONS TO ROTH IRAS
In a conversion rollover transaction, you withdraw (or are considered to have
withdrawn) all or a portion of funds from a Traditional IRA you maintain and
convert it to a Roth IRA within 60 days after you receive (or are considered to
have received) the Traditional IRA proceeds. Unlike a rollover from a
Traditional IRA to another Traditional IRA, the conversion rollover transaction
is not tax-free. Instead, the distribution from the Traditional IRA is generally
fully taxable. For this reason, we are required to withhold 10% federal income
tax from the amount converted unless you elect out of such withholding. (If you
have ever made nondeductible regular IRA contributions to any Traditional IRA -
whether or not it is the Traditional IRA you are converting - a pro rata portion
of the distribution is tax exempt.)
There is, however, no early distribution penalty tax on the Traditional IRA
withdrawal that you are converting to a Roth IRA, even if you are under age
59 1/2.
You cannot make conversion contributions to a Roth IRA for any taxable year in
which your adjusted gross income exceeds $100,000. (For this purpose, your
adjusted gross income is calculated without the gross income stemming from the
Traditional IRA conversion.) You also cannot make conversion contributions to a
Roth IRA for any taxable year in which your federal income tax filing status is
"married filing separately."
Finally, you cannot make conversion contributions to a Roth IRA to the extent
that the funds in your Traditional IRA are subject to the annual required
minimum distribution rule applicable to Traditional IRAs beginning at age
70 1/2.
WITHDRAWALS, PAYMENTS AND TRANSFERS OF FUNDS OUT OF ROTH IRAS
NO FEDERAL INCOME TAX LAW RESTRICTIONS ON WITHDRAWALS
You can withdraw any or all of your funds from a Roth IRA at any time; you do
not need to wait for a special event like retirement.
74
<PAGE>
- -------------------------------------------------------------------------------
DISTRIBUTIONS FROM ROTH IRAS
Distributions include withdrawals from your contract, surrender and termination
of your contract and annuity payments from your contract. Death benefits are
also distributions.
The following distributions from Roth IRAs are free of income tax:
o Rollovers from a Roth IRA to another Roth IRA;
o Direct transfers from a Roth IRA to another Roth IRA;
o "Qualified Distributions" from Roth IRAs; and
o Return of excess contributions or amounts recharacterized to a Traditional
IRA.
QUALIFIED DISTRIBUTIONS FROM ROTH IRAS
Qualified distributions from Roth IRAs made because of one of the following four
qualifying events or reasons are not includable in income:
o you reach age 59 1/2; or
o you die; or
o you become disabled (special federal income tax definition); or
o your distribution is a "qualified first-time homebuyer distribution"
(special federal income tax definition; $10,000 lifetime total limit for
these distributions from all of your Traditional and Roth IRAs).
You also have to meet a five-year aging period. A qualified distribution is any
distribution made after the five-taxable year period beginning with the first
taxable year for which you made any contribution to any Roth IRA (whether or not
the one from which the distribution is being made). It is not possible to have a
tax-free qualified distribution before the year 2003 because of the five-year
aging requirement.
NONQUALIFIED DISTRIBUTIONS FROM ROTH IRAS
Nonqualified distributions from Roth IRAs are distributions that do not meet the
qualifying event and five-year aging period tests described above. Such
distributions are potentially taxable as ordinary income. Nonqualified
distributions receive return-of-investment-first treatment. Only the difference
between the amount of the distribution and the amount of contributions to all of
your Roth IRAs is taxable. You have to reduce the amount of contributions to all
of your Roth IRAs to reflect any previous tax-free recoveries.
You must keep your own records of regular and conversion contributions to all
Roth IRAs to assure appropriate taxation. You may have to file information on
your contributions to and distributions from any Roth IRA on your tax return.
You may have to retain all income tax returns and records pertaining to such
contributions and distributions until your interests in all Roth IRAs are
distributed.
Like Traditional IRAs, taxable distributions from a Roth IRA are not entitled to
the special favorable five-year averaging method (or, in certain cases,
favorable ten-year averaging and long-term capital gain treatment) available in
certain cases to distributions from qualified plans.
REQUIRED MINIMUM DISTRIBUTIONS AT DEATH
Same as Traditional IRA under "What are the required minimum distribution
payments after you die?" Lifetime required minimum distributions do not apply.
PAYMENTS TO A BENEFICIARY AFTER YOUR DEATH
Distributions to a beneficiary generally receive the same tax treatment as if
the distribution had been made to you.
BORROWING AND LOANS ARE PROHIBITED TRANSACTIONS
Same as Traditional IRA.
EXCESS CONTRIBUTIONS
Same as Traditional IRA, except that "regular" contributions made after age
70 1/2 are not "excess contributions."
Excess rollover contributions to Roth IRAs are contributions not eligible to be
rolled over (for example, conversion contributions from a Traditional IRA if
your adjusted gross income is in excess of $100,000 in the conversion year).
75
<PAGE>
- -------------------------------------------------------------------------------
You can withdraw or recharacterize any contribution to a Roth IRA before the due
date (including extensions) for filing your federal income tax return for the
tax year. If you do this, you must also withdraw or recharacterize any earnings
attributable to the contribution.
EARLY DISTRIBUTION PENALTY TAX
Same as Traditional IRA.
For Roth IRAs, special penalty rules may apply to amounts withdrawn attributable
to 1998 conversion rollovers.
FEDERAL AND STATE INCOME TAX WITHHOLDING AND INFORMATION REPORTING
We must withhold federal income tax from distributions from annuity contracts.
You may be able to elect out of this income tax withholding in some cases.
Generally, we do not have to withhold if your distributions are not taxable. The
rate of withholding will depend on the type of distribution and, in certain
cases, the amount of your distribution. Any income tax withheld is a credit
against your income tax liability. If you do not have sufficient income tax
withheld or do not make sufficient estimated income tax payments, you may incur
penalties under the estimated income tax rules.
You must file your request not to withhold in writing before the payment or
distribution is made. Our Processing Office will provide forms for this purpose.
You cannot elect out of withholding unless you provide us with your correct
taxpayer Identification Number and a United States residence address. You cannot
elect out of withholding if we are sending the payment out of the United States.
You should note the following special situations:
o We might have to withhold on amounts we pay under a free look or
cancellation.
o We are generally required to withhold on conversion rollovers of Traditional
IRAs to Roth IRAs, as it is considered a withdrawal from the Traditional IRA
and is taxable.
o We are required to withhold on the gross amount of a distribution from a
Roth IRA unless you elect out of withholding. This may result in tax being
withheld even though the Roth IRA distribution is not taxable in whole or in
part.
Special withholding rules apply to foreign recipients and United States citizens
residing outside the United States. We do not discuss these rules here. Certain
states have indicated that state income tax withholding will also apply to
payments from the contracts made to residents. In some states, you may elect out
of state withholding, even if federal withholding applies. Generally, an
election out of federal withholding will also be considered an election out of
state withholding. If you need more information concerning a particular state or
any required forms, call our Processing Office at the toll-free number.
FEDERAL INCOME TAX WITHHOLDING ON PERIODIC ANNUITY PAYMENTS
We withhold differently on "periodic" and "non-periodic" payments. For a
periodic annuity payment, for example, unless you specify a different number of
withholding exemptions, we withhold assuming that you are married and claiming
three withholding exemptions. If you do not give us your correct Taxpayer
Identification Number, we withhold as if you are single with no exemptions.
Based on the assumption that you are married and claiming three withholding
exemptions, if you receive less than $14,700 in periodic annuity payments in
1999 your payments will generally be exempt from federal income tax withholding.
You could specify a different choice of withholding exemption or request that
tax be withheld. Your withholding election remains effective unless and until
you revoke it. You may revoke or change your withholding election at any time.
FEDERAL INCOME TAX WITHHOLDING ON NON-PERIODIC ANNUITY PAYMENTS (WITHDRAWALS)
For a non-periodic distribution (total surrender, termination, or partial
withdrawal), we generally withhold at a flat 10%
76
<PAGE>
- -------------------------------------------------------------------------------
rate. We apply that rate to the taxable amount in the case of nonqualified
contracts, and to the payment amount in the case of IRAs and Roth IRAs.
IMPACT OF TAXES TO EQUITABLE LIFE
The contracts provide that we may charge Separate Account A for taxes. We do not
now, but may in the future set up reserves for such taxes.
77
<PAGE>
8
More information
- -------------------------------------------------------------------------------
ABOUT OUR SEPARATE ACCOUNT A
Each variable investment option is a subaccount of our Separate Account A. We
established Separate Account A in 1968 under special provisions of the New York
Insurance Law. These provisions prevent creditors from any other business we
conduct from reaching the assets we hold in our variable investment options for
owners of our variable annuity contracts, including these contracts. We are the
legal owner of all of the assets in Separate Account A and may withdraw any
amounts that exceed our reserves and other liabilities with respect to variable
investment options under our contracts. The results of Separate Account A's
operations are accounted for without regard to Equitable Life's other
operations.
Separate Account A is registered under the Investment Company Act of 1940 and is
classified by that act as a "unit investment trust." The SEC, however, does not
manage or supervise Equitable Life or Separate Account A.
Each subaccount (variable investment option) within Separate Account A invests
solely in Class IA or Class IB shares, respectively, issued by the corresponding
Portfolios of The Hudson River Trust and EQ Advisors Trust.
We reserve the right subject to compliance with laws that apply:
(1) to add variable investment options to, or to remove variable investment
options from, Separate Account A, or to add other separate accounts;
(2) to combine any two or more variable investment options;
(3) to transfer the assets we determine to be the shares of the class of
contracts to which the contracts belong from any variable investment option
to another variable investment option;
(4) to operate Separate Account A or any variable investment option as a
management investment company under the Investment Company Act of 1940 (in
which case, charges and expenses that otherwise would be assessed against an
underlying mutual fund would be assessed against Separate Account A or a
variable investment option directly);
(5) to deregister Separate Account A under the Investment Company Act of 1940;
(6) to restrict or eliminate any voting rights as to Separate Account A; and
(7) to cause one or more variable investment options to invest some or all of
their assets in one or more other trusts or investment companies.
ABOUT THE HUDSON RIVER TRUST AND EQ ADVISORS TRUST
The Hudson River Trust and EQ Advisors Trust are registered under the Investment
Company Act of 1940. They are classified as "open-end management investment
companies," more commonly called mutual funds. Each trust issues different
shares relating to each Portfolio.
The Hudson River Trust and EQ Advisors Trust do not impose sales charges or
"loads" for buying and selling their shares. All dividends and other
distributions on a trust's shares are reinvested in full. The Board of Trustees
of each the Hudson River Trust and EQ Advisors Trust may establish additional
Portfolios or eliminate existing Portfolios at any time. More detailed
information about the Hudson River Trust and EQ Advisors Trust, their investment
objectives, policies, restrictions, risks, expenses, the Rule 12b-1 plan
relating to the Class IB shares of EQ Advisors Trust, and other aspects of their
operations, appears in their prospectuses, or in their SAIs which are available
upon request.
ABOUT THE GENERAL ACCOUNT
Our general account supports all of our policy and contract guarantees,
including those that apply to the guaranteed interest option and the fixed
maturity options, as well as our general obligations.
The general account is subject to regulation and supervision by the Insurance
Department of the State of New York and to the insurance laws and regulations of
all jurisdictions
78
<PAGE>
- -------------------------------------------------------------------------------
where we are authorized to do business. Because of exemptions and exclusionary
provisions that apply, interests in the general account have not been registered
under the Securities Act of 1933, nor is the general account an investment
company under the Investment Company Act of 1940. However, the market value
adjustment interests under the contracts are registered under the Securities Act
of 1933.
We have been advised that the staff of the SEC has not reviewed the portions of
this prospectus that relate to the general account (other than market value
adjustment interests). The disclosure with regard to general accounts, however,
may be subject to certain provisions of the federal securities laws relating to
the accuracy and completeness of statements made in prospectuses.
ABOUT OUR FIXED MATURITY OPTIONS
RATES TO MATURITY AND PRICE PER $100 OF MATURITY VALUE
We can determine the amount required to be allocated to one or more fixed
maturity options in order to produce target maturity values. For example, we can
tell you how much you need to allocate per $100 of maturity value.
The rates to maturity for new allocations as of April 1, 1999 and the related
price per $100 of maturity value were as follows:
<TABLE>
<CAPTION>
- --------------------------------------------------------------
FIXED MATURITY
OPTIONS
WITH JUNE 15TH
MATURITY DATE RATE TO MATURITY AS PRICE
OF OF PER $100 OF
MATURITY YEAR APRIL 1, 1999 MATURITY VALUE
- --------------------------------------------------------------
<S> <C> <C>
2000 3.25% $96
2001 4.04% $92
2002 4.33% $87
2003 4.46% $83
2004 4.52% $79
2005 4.67% $75
2006 4.77% $71
2007 4.79% $68
2008 4.87% $65
2009 4.97% $61
- --------------------------------------------------------------
</TABLE>
HOW WE DETERMINE THE MARKET VALUE ADJUSTMENT
We use the following procedure to calculate the market value adjustment (up or
down) we make if you withdraw all of your value from a fixed maturity option
before its maturity date.
(1) We determine the market adjusted amount on the date of the withdrawal as
follows:
(a) We determine the fixed maturity amount that would be payable on the
maturity date, using the rate to maturity for the fixed maturity option.
(b) We determine the period remaining in your fixed maturity option (based
on the withdrawal date) and convert it to fractional years based on a
365-day year. For example, three years and 12 days becomes 3.0329.
(c) We determine the current rate to maturity that applies on the withdrawal
date to new allocations to the same fixed maturity option.
(d) We determine the present value of the fixed maturity amount payable at
the maturity date, using the period determined in (b) and the rate
determined in (c).
(2) We determine the fixed maturity amount as of the current date.
(3) We subtract (2) from the result in (1)(d). The result is the market value
adjustment applicable to such fixed maturity option, which may be positive
or negative.
- -----------------------------------------------------------------------------
Your market adjusted amount is the present value of the maturity value
discounted at the rate to maturity in effect for new contributions to that same
fixed maturity option on the date of the calculation.
- -----------------------------------------------------------------------------
If you withdraw only a portion of the amount in a fixed maturity option, the
market value adjustment will be a percentage of the market value adjustment that
would have applied if you had withdrawn the entire value in that fixed maturity
option. This percentage is equal to the percentage of the value in the fixed
maturity option that you are
79
<PAGE>
- -------------------------------------------------------------------------------
withdrawing. Any withdrawal charges that are deducted from a fixed maturity
option will result in a market value adjustment calculated in the same way. See
Appendix III for an example.
For purposes of calculating the rate to maturity for new allocations to a fixed
maturity option (see (1)(c) above), we use the rate we have in effect for new
allocations to that fixed maturity option. We use this rate even if new
allocations to that option would not be accepted at that time. This rate will
not be less than 3%. If we do not have a rate to maturity in effect for a fixed
maturity option to which the "current rate to maturity" in (1)(c) above would
apply, we will use the rate at the next closest maturity date. If we are no
longer offering new fixed maturity options, the "current rate to maturity" will
be determined in accordance with our procedures then in effect. We reserve the
right to add up to 0.50% to the current rate in (1)(c) above for purposes of
calculating the market value adjustment only.
INVESTMENTS UNDER THE FIXED MATURITY OPTIONS
Amounts allocated to the fixed maturity options are held in a "nonunitized"
separate account we have established under the New York Insurance Law. This
separate account provides an additional measure of assurance that we will make
full payment of amounts due under the fixed maturity options. Under New York
Insurance Law, the portion of the separate account's assets equal to the
reserves and other contract liabilities relating to the contracts are not
chargeable with liabilities from any other business we may conduct. We own the
assets of the separate account, as well as any favorable investment performance
on those assets. You do not participate in the performance of the assets held in
this separate account. We may, subject to state law that applies, transfer all
assets allocated to the separate account to our general account. We guarantee
all benefits relating to your value in the fixed maturity options, regardless of
whether assets supporting fixed maturity options are held in a separate account
or our general account.
We have no specific formula for establishing the rates to maturity for the fixed
maturity options. We expect the rates to be influenced by, but not necessarily
correspond to, among other things, the yields that we can expect to realize on
the separate account's investments from time to time. Our current plans are to
invest in fixed-income obligations, including corporate bonds, mortgage-backed
and asset-backed securities and government and agency issues having durations in
the aggregate consistent with those of the fixed maturity options.
Although the above generally describes our plans for investing the assets
supporting our obligations under the fixed maturity options under the contracts,
we are not obligated to invest those assets according to any particular plan
except as we may be require to by state insurance laws. We will not determine
the rates to maturity we establish by the performance of the nonunitized
separate account.
ABOUT OTHER METHODS OF PAYMENT
AUTOMATIC INVESTMENT PROGRAM - FOR NQ, TRADITIONAL IRA, STANDARD ROTH IRA AND
ROTH ADVANTAGE CONTRACTS
You may use our automatic investment program, or "AIP," to have a specified
amount automatically deducted from a bank checking account, bank money market
account, or credit union checking account and contributed as an additional
contribution into an NQ, Traditional IRA, Standard Roth IRA and Roth Advantage
contracts on a monthly basis.
AIP additional contributions may be allocated to any of the variable investment
options and the guaranteed interest option, but not the fixed maturity options.
Our minimum contribution amount requirements apply to AIP. You choose the day of
the month you wish to have your account debited. However, you may not choose a
date later than the 28th day of the month.
You may cancel AIP at any time by notifying our Processing Office. We are not
responsible for any debits made to your account before the time written notice
of cancellation is received at our Processing Office.
PAYROLL DEDUCTION PROGRAM. You can authorize your employer to remit your IRA
contributions to us if your
80
<PAGE>
- -------------------------------------------------------------------------------
employer has a payroll deduction program. Those contributions are still your
contributions, not your employer's.
WIRE TRANSFERS. You may also send your contributions by wire transfer from your
bank.
DATES AND PRICES AT WHICH CONTRACT EVENTS OCCUR
We describe below the general rules for when, and at what prices, events under
your contract will occur. Other portions of this prospectus describe
circumstances that may cause exceptions. We generally do not repeat those
exceptions below.
Our "business day" is any day on which Equitable Life is open and the New York
Stock Exchange is open for trading. We are closed on national business holidays
including Martin Luther King, Jr. Day and the Friday after Thanksgiving.
Additionally, we may choose to close on the day immediately preceding or
following a national business holiday or due to emergency conditions. Our
business day ends at 4:00 p.m., Eastern Time for purposes of determining the
date when contributions are applied and any other transaction requests are
processed. Contributions will be applied and any other transaction requests will
be processed when they are received along with all the required information
unless another date applies as indicated below.
o If your contribution, transfer or any other transaction request, containing
all the required information, reaches us on a non-business day or after 4:00
p.m. on a business day, we will use the next business day.
o When a charge is to be deducted on a contract date anniversary that is a
non-business day, we will deduct the charge on the next business day.
o Quarterly rebalancing will be processed on a calendar year basis and
semiannual or annual rebalancing will be processed on the first business day
of the month. Rebalancing will not be done retroactively.
CONTRIBUTIONS AND TRANSFERS
o Contributions allocated to the variable investment options are invested at
the unit value next determined after the close of the business day.
o Contributions allocated to a fixed maturity option will receive the rate to
maturity in effect for that fixed maturity option on that business day.
o Contributions allocated to the guaranteed interest option will receive the
guaranteed interest rate in effect on that business day.
o Transfers to or from variable investment options will be made at the unit
value next determined after the close of the business day.
o Transfers to the guaranteed interest option will receive the guaranteed
interest rate in effect on that business day.
o Transfers to a fixed maturity option will receive the rate to maturity in
effect for that fixed maturity option on that business day.
o Transfers out of a fixed maturity option will be at the market adjusted
amount on that business day.
o For the fixed-dollar option, the first monthly transfer will occur on the
last business day of the month in which we receive your election form at our
Processing Office.
o For the interest sweep, the first monthly transfer will occur on the last
business day of the following month we receive your election form at our
Processing Office.
ABOUT YOUR VOTING RIGHTS
As the owner of the shares of The Hudson River Trust and EQ Advisors Trust we
have the right to vote on certain matters involving the Portfolios, such as:
o The election of trustees.
o The formal approval of independent auditors selected for each trust.
81
<PAGE>
- -------------------------------------------------------------------------------
o Any other matters described in the prospectuses for the trusts or requiring
a shareholders' vote under the Investment Company Act of 1940.
We will give contract owners the opportunity to instruct us how to vote the
number of shares attributable to their contracts if a shareholder vote is taken.
If we do not receive instructions in time from all contract owners, we will vote
the shares of a Portfolio for which no instructions have been received in the
same proportion as we vote shares of that Portfolio for which we have received
instructions. We will also vote any shares that we are entitled to vote directly
because of amounts we have in a Portfolio in the same proportions that contract
owners vote.
VOTING RIGHTS OF OTHERS
Currently, we control each trust. EQ Advisors Trust shares are sold only to our
separate accounts and an affiliated qualified plan trust. The Hudson River Trust
shares are held by other separate accounts of ours and by separate accounts of
insurance companies unaffiliated with us. Shares held by these separate accounts
will probably be voted according to the instructions of the owners of insurance
policies and contracts issued by those insurance companies. While this will
dilute the effect of the voting instructions of the contract owners, we
currently do not foresee any disadvantages because of this. The Hudson River
Trust Board of Trustees intends to monitor events in order to identify any
material irreconcilable conflicts that may arise and to determine what action,
if any, should be taken in response. If we believe that a response to any of
those events insufficiently protects our contract owners, we will see to it that
appropriate action is taken.
SEPARATE ACCOUNT A VOTING RIGHTS
If actions relating to Separate Account A require contract owner approval,
contract owners will be entitled to one vote for each unit they have in the
variable investment options. Each contract owner who has elected a variable
annuity payout option may cast the number of votes equal to the dollar amount of
reserves we are holding for that annuity in a variable investment option divided
by the annuity unit value for that option. We will cast votes attributable to
any amounts we have in the variable investment options in the same proportion as
votes cast by contract owners.
CHANGES IN APPLICABLE LAW
The voting rights we describe in this prospectus are created under applicable
federal securities laws. To the extent that those laws or the regulations
published under those laws eliminate the necessity to submit matters for
approval by persons having voting rights in separate accounts of insurance
companies, we reserve the right to proceed in accordance with those laws or
regulations.
ABOUT OUR YEAR 2000 PROGRESS
Equitable Life relies upon various computer systems in order to administer your
contract and operate the investment options. Some of these systems belong to
service providers who are not affiliated with Equitable Life.
In 1995, Equitable Life began addressing the question of whether its computer
systems would recognize the year 2000 before, on or after January 1, 2000, and
Equitable Life has identified those of its systems critical to business
operations that were not year 2000 compliant. By year end 1998, the work of
modifying or replacing non-compliant systems was substantially completed.
Equitable Life has begun comprehensive testing of its year 2000 compliance and
expects that the testing will be substantially completed by June 30, 1999.
Equitable Life has contacted third-party service providers to seek confirmation
that they are acting to address the year 2000 issue with the goal of avoiding
any material adverse effect on services provided to contract owners and on
operations of the investment options. Most third-party service providers have
provided Equitable Life confirmation of their year 2000 compliance. Equitable
Life believes it is on schedule for substantially all such systems and services,
including those considered to be mission-critical, to be confirmed as year 2000
compliant, renovated, replaced or the subject of contingency plans, by June 30,
1999, except for one investment accounting system which is scheduled to be
replaced by August 31, 1999 and confirmed as year 2000 compliant by September
30, 1999.
82
<PAGE>
- -------------------------------------------------------------------------------
Additionally, Equitable Life will be supplementing its existing business
continuity and disaster recovery plans to cover certain categories of
contingencies that could arise as a result of year 2000 related failures. Year
2000 specific contingency plans are anticipated to be in place by June 30, 1999.
There are many risks associated with year 2000 issues, including the risk that
Equitable Life's computer systems will not operate as intended. Additionally,
there can be no assurance that the systems of third parties will be year 2000
compliant. Any significant unresolved difficulty related to the year 2000
compliance initiatives could result in an interruption in, or a failure of,
normal business operations and, accordingly, could have a material adverse
effect on our ability to administer your contract and operate the investment
options.
To the fullest extent permitted by law, the foregoing year 2000 discussion is a
"Year 2000 Readiness Disclosure" within the meaning of The Year 2000 Information
and Readiness Disclosure Act, 15 U.S.C. Sec. 1 (1998).
ABOUT LEGAL PROCEEDINGS
Equitable Life and its affiliates are parties to various legal proceedings. In
our view, none of these proceedings is likely to have a material adverse effect
upon Separate Account A, our ability to meet our obligations under the
contracts, or the distribution of the contracts.
ABOUT OUR INDEPENDENT ACCOUNTANTS
The financial statements of Equitable Life incorporated in this prospectus by
reference to the Annual Report on Form 10-K at December 31, 1998 and 1997, and
for the three years ended December 31, 1998, have been so incorporated in
reliance on the report of PricewaterhouseCoopers LLP, independent accountants,
given on the authority of said firm as experts in auditing and accounting.
TRANSFERS OF OWNERSHIP, COLLATERAL ASSIGNMENTS, LOANS, AND BORROWING
You can transfer ownership of an NQ contract at any time before annuity payments
begin. We will continue to treat you as the owner until we receive written
notification of any change at our Processing Office. You cannot assign your NQ
contract as collateral or security for a loan. Loans are also not available
under your NQ contract. In some cases, an assignment or change of ownership may
have adverse tax consequences. See "Tax information" above.
You cannot assign or transfer ownership of a Traditional IRA, QP IRA or Roth IRA
contract except by surrender to us. Loans are not available and you cannot
assign Traditional IRA, QP IRA and Roth IRA contracts as security for a loan or
other obligation.
For limited transfers of ownership after the owner's death see "Payment of death
benefit" and "Beneficiary continuation option under series 400 Traditional IRA
and QP IRA contracts." You may direct the transfer of the values under your
Traditional IRA, QP IRA and Roth IRA contract to another similar arrangement.
DISTRIBUTION OF THE CONTRACTS
Equitable Financial Consultants, Inc. ("EQF"), an indirect, wholly owned
subsidiary of Equitable Life, is the distributor of the contracts and has
responsibility for sales and marketing functions. During 1999, EQF plans to
change its name to AXA Advisors, Inc. EQF serves as the principal underwriter of
Separate Account A. EQF is registered with the SEC as a broker-dealer and is a
member of the National Association of Securities Dealers, Inc. EQF's principal
business address is 1290 Avenue of the Americas, New York, NY 10104. Under a
Distribution and Servicing Agreement between EQF, Equitable life, and certain of
Equitable Life's separate accounts, including Separate Account A, Equitable Life
paid EQF fees of $325,380 for 1998 and $325,380 for 1997, as distributor of
certain contracts and as the principal underwriter of certain separate accounts
including Separate Account A.
83
<PAGE>
- -------------------------------------------------------------------------------
The contracts will be sold by registered representatives of EQF and its
affiliates, who are also our licensed insurance agents. EQF may also receive
compensation and reimbursement for its marketing services under the terms of its
distributions agreement with Equitable Life. The offering of the contracts is
intended to be continuous.
84
<PAGE>
9
Investment Performance
- -------------------------------------------------------------------------------
We provide the following tables to show five different measurements of the
investment performance of the variable investment options and/or the Portfolios
in which they invest. We include these tables because they may be of general
interest to you. THE RESULTS SHOWN REFLECT PAST PERFORMANCE. THEY DO NOT
INDICATE HOW THE VARIABLE INVESTMENT OPTIONS MAY PERFORM IN THE FUTURE. THEY
ALSO DO NOT REPRESENT THE RESULTS EARNED BY ANY PARTICULAR INVESTOR. YOUR
RESULTS WILL DIFFER.
Table 1 shows the average annual total return of the variable investment
options. Average annual total return is the annual rate of growth that would be
necessary to achieve the ending value of a contribution invested in the variable
investment options for the periods shown.
Table 2 shows the growth of a hypothetical $1,000 investment in the variable
investment options over the periods shown. Both Tables 1 and 2 take into account
all fees and charges under the contract, but do not reflect the charges for any
applicable taxes such as premium taxes, or any applicable annuity administrative
fee, into account.
Tables 3, 4 and 5 show the rates of return of the variable investment options on
an annualized, cumulative, and year-by-year basis. These tables take into
account all fees and charges under the contract, but do not reflect the annual
administrative charge and any withdrawal charge, or charges for any applicable
taxes such as premium taxes, or any applicable annuity administrative fee. If
the charges were reflected they would effectively reduce the rates of return
shown.
In all cases the results shown are based on the actual historical investment
experience of the Portfolios in which the variable investment options invest. In
some cases, the results shown relate to periods when the variable investment
options and/or the contracts were not available. In those cases, we adjusted the
results of the Portfolios to reflect the charges under the contracts that would
have applied had the investment options and/or contracts been available. Since
charges under the contracts vary, we have assumed, for each charge, the highest
that might apply which is 1.45% for mortality and expense risks and other
expenses.
Finally, the results shown for the Alliance Money Market, Alliance Balanced,
Alliance Common Stock and Alliance Aggressive Stock options for periods before
those options were operated as a unit investment trust reflect the results of
the separate accounts that preceded them. The "Since inception" figures for
these options are based on the date of inception of the preceding separate
accounts. We have adjusted these results to reflect the fee and expense
structure in effect for unit investment trust. See "The Reorganization" in the
SAI for additional information.
All rates of return presented are time-weighted and include reinvestment of
investment income, including interest and dividends.
BENCHMARKS
Tables 3 and 4 compare the performance of variable investment options to market
indices that serve as benchmarks. Market indices are not subject to any charges
for investment advisory fees, brokerage commission or other operating expenses
typically associated with a managed portfolio. Also, they do not reflect other
charges such as the mortality and expense risks charge, administration charge,
or any withdrawal or optional benefit charge, under the contracts. Comparisons
with these benchmarks, therefore, may be of limited use. We include them because
they are widely known and may help you to understand the universe of securities
from which each Portfolio is likely to select its holdings. Benchmark data
reflect the reinvestment of dividend income. The benchmarks include:
85
<PAGE>
- -------------------------------------------------------------------------------
ALLIANCE AGGRESSIVE STOCK: 50% Russell 2000 Small Stock Index and 50% Standard &
Poor's Mid-Cap Total Return Index.
ALLIANCE BALANCED: 50% Standard & Poor's 500 and 50% Lehman Government/Corporate
Bond Index.
ALLIANCE COMMON STOCK: Standard & Poor's 500 Index.
ALLIANCE CONSERVATIVE INVESTORS: 70% Lehman Treasury Bond Composite Index and
30% Standard & Poor's 500 Index.
ALLIANCE EQUITY INDEX: Standard & Poor's 500 Index.
ALLIANCE GLOBAL: Morgan Stanley Capital International World Index.
ALLIANCE GROWTH & INCOME: 75% Standard & Poor's 500 Index and 25% Value Line
Convertibles Index.
ALLIANCE GROWTH INVESTORS: 30% Lehman Government/Corporate Bond Index and 70%
Standard & Poor's 500 Index.
ALLIANCE HIGH YIELD: Merrill Lynch High Yield Master Index.
ALLIANCE INTERMEDIATE GOVERNMENT SECURITIES: Lehman Intermediate Government Bond
Index.
ALLIANCE INTERNATIONAL: Morgan Stanley Capital International Europe, Australia,
Far East Index.
ALLIANCE MONEY MARKET: Salomon Brothers Three-Month T-Bill Index.
ALLIANCE QUALITY BOND: Lehman Aggregate Bond Index.
ALLIANCE SMALL CAP GROWTH: Russell 2000 Growth Index.
MFS EMERGING GROWTH COMPANIES: Russell 2000 Index.
MFS RESEARCH: Standard & Poor's 500 Index.
MERRILL LYNCH BASIC VALUE EQUITY: Standard & Poor's 500 Index.
MERRILL LYNCH STRATEGY: 36% Standard & Poor's 500 Index 24% Morgan Stanley
Capital International Europe, Australia, Far East Index/21% Salomon Brothers
U.S. Treasury Bond 1 Year+ 14% Salomon Brothers World Government Bond
(excluding U.S.)/and 5% Three-Month U.S. Treasury Bill.
MORGAN STANLEY EMERGING MARKETS EQUITY: Morgan Stanley Capital International
Emerging Markets Free Price Return Index.
EQ/PUTNAM BALANCED: 60% Standard & Poor's 500 Index and 40% Lehman
Government/Corporate Bond Index.
EQ/PUTNAM GROWTH & INCOME VALUE: Standard & Poor's 500 Index.
T. ROWE PRICE EQUITY INCOME: Standard & Poor's 500 Index.
T. ROWE PRICE INTERNATIONAL STOCK: Morgan Stanley Capital International Europe,
Australia, Far East Index.
WARBURG PINCUS SMALL COMPANY VALUE: Russell 2000 Index.
LIPPER SURVEY. The Lipper Variable Insurance Products Performance Analysis
Survey (Lipper Survey) records the performance of a large group of variable
annuity products, including managed separate accounts of insurance companies.
According to Lipper Analytical Services, Inc., the data are presented net of
investment management fees, direct operating expenses and asset-based charges
applicable under annuity contracts. Lipper data provide a more accurate picture
than market benchmarks of the EQUI-VEST performance relative to other variable
annuity products.
86
<PAGE>
- -------------------------------------------------------------------------------
TABLE 1
AVERAGE ANNUAL TOTAL RETURN UNDER A CONTRACT SURRENDERED ON DECEMBER 31, 1998
<TABLE>
<CAPTION>
- ----------------------------------------------------------------------------------------------------------------------------------
LENGTH OF INVESTMENT PERIOD
------------------------------------------------------------------------------------
SINCE SINCE PORTFOLIO
1 3 5 10 OPTION PORTFOLIO INCEPTION
VARIABLE INVESTMENT OPTIONS YEAR YEARS YEARS YEARS INCEPTION* INCEPTION DATE
- ----------------------------------------------------------------------------------------------------------------------------------
<S> <C> <C> <C> <C> <C> <C> <C>
Alliance Equity Index 17.14% 21.81% - - 21.38% 19.74% 3/1/94
- ----------------------------------------------------------------------------------------------------------------------------------
Alliance Growth & Income 10.55% 16.64% 13.10% - 13.20% 12.14% 10/1/93
- ----------------------------------------------------------------------------------------------------------------------------------
E/Q Putnam Growth & Income Value 3.08% - - - 7.30% 10.01% 5/1/97
- ----------------------------------------------------------------------------------------------------------------------------------
Merrill Lynch Basic Value Equity (0.04)% - - - 4.28% 8.62% 5/1/97
- ----------------------------------------------------------------------------------------------------------------------------------
T. Rowe Price Equity Income (0.35)% - - - 8.55% 11.06% 5/1/97
- ----------------------------------------------------------------------------------------------------------------------------------
Alliance Common Stock 18.31% 21.76% 17.26% 14.96% - - 8/1/68
- ----------------------------------------------------------------------------------------------------------------------------------
MFS Research 13.51% - - - 12.93% 16.37% 5/1/97
- ----------------------------------------------------------------------------------------------------------------------------------
Alliance Aggressive Stock (8.37)% 5.17% 6.68% 15.83% - - 5/1/84
- ----------------------------------------------------------------------------------------------------------------------------------
Alliance Quality Bond (0.70)% 2.15% 2.04% - 2.09% 1.66% 10/1/93
- ----------------------------------------------------------------------------------------------------------------------------------
MFS Emerging Growth Companies 23.04% - - - 21.32% 26.35% 5/1/97
- ----------------------------------------------------------------------------------------------------------------------------------
Warburg Pincus Small Company Value (17.78)% - - - (6.50)% (2.60)% 5/1/97
- ----------------------------------------------------------------------------------------------------------------------------------
Alliance Global 11.41% 10.01% 9.42% 11.11% - - 8/27/87
- ----------------------------------------------------------------------------------------------------------------------------------
Alliance International 1.02% 0.10% - - 1.10% 1.32% 4/3/95
- ----------------------------------------------------------------------------------------------------------------------------------
Morgan Stanley Emerging Markets Equity (33.32)% - - - (37.56)% (37.51)% 8/20/97
- ----------------------------------------------------------------------------------------------------------------------------------
T. Rowe Price International Stock 3.88% - - - (2.17)% (0.02)% 5/1/97
- ----------------------------------------------------------------------------------------------------------------------------------
Alliance Balanced 8.07% 9.08% 5.96% 8.81% - - 5/1/84
- ----------------------------------------------------------------------------------------------------------------------------------
Alliance Conservative Investors 4.04% 5.07% 4.60% - 4.69% 6.09% 10/2/89
- ----------------------------------------------------------------------------------------------------------------------------------
Alliance Growth Investors 8.18% 10.23% 9.04% - 9.22% 9.16% 10/2/89
- ----------------------------------------------------------------------------------------------------------------------------------
E/Q Putnam Balanced 2.16% - - - 6.57% 8.44% 5/1/97
- ----------------------------------------------------------------------------------------------------------------------------------
Merrill Lynch World Strategy (2.40)% (3.07)% (0.09)% 5/1/97
- ----------------------------------------------------------------------------------------------------------------------------------
Alliance High Yield (13.34)% 5.69% 5.17% 7.41% - - 1/2/87
- ----------------------------------------------------------------------------------------------------------------------------------
Alliance Intermediate Government Securities (1.56)% 0.74% 0.66% - 1.84% 2.93% 4/1/91
- ----------------------------------------------------------------------------------------------------------------------------------
Alliance Money Market (3.76)% (0.11)% 0.45% 1.80% - - 5/11/82
- ----------------------------------------------------------------------------------------------------------------------------------
Alliance Small Cap Growth (12.54)% - - - (1.33)% 4.97% 5/1/97
- ----------------------------------------------------------------------------------------------------------------------------------
</TABLE>
* Option inception dates are: Alliance Equity Index (3/1/94), Alliance Growth
& Income (10/1/93), EQ/Putnam Growth & Income Value (5/1/97), Merrill Lynch
Basic Value Equity (5/1/97),T. Rowe Price Equity Income (5/1/97), Alliance
Common Stock (8/1/68), MFS Research (5/1/97), Alliance Aggressive Stock
(5/1/84), Alliance Quality Bond (10/1/93), MFS Emerging Growth Companies
(5/1/97), Warburg Pincus Small Company Value (5/1/97), Alliance Global
(8/27/87), Alliance International (4/3/95), Morgan Stanley Emerging Markets
Equity (8/20/97), T. Rowe Price International Stock (5/1/97), Alliance
Balanced (5/1/84), Alliance Conservative Investors (10/2/89), Alliance
Growth Investors (10/2/89), EQ/Putnam Balanced (5/1/97), Merrill Lynch World
Strategy (5/1/97), Alliance High Yield (1/2/87), Alliance Intermediate
Government Securities (4/1/91), Alliance Money Market (5/11/82), Alliance
Small Cap Growth (5/1/97).
87
<PAGE>
- -------------------------------------------------------------------------------
TABLE 2
GROWTH OF $1,000 UNDER A CONTRACT SURRENDERED ON DECEMBER 31, 1998
<TABLE>
<CAPTION>
- ----------------------------------------------------------------------------------------------------------------------
LENGTH OF INVESTMENT PERIOD
-----------------------------------------------------------------------
SINCE
1 3 5 10 PORTFOLIO
VARIABLE INVESTMENT OPTIONS YEAR YEARS YEARS YEARS INCEPTION*
- ----------------------------------------------------------------------------------------------------------------------
<S> <C> <C> <C> <C> <C>
Alliance Equity Index $1,171.42 $1,807.49 - - $2,390.38
- ----------------------------------------------------------------------------------------------------------------------
Alliance Growth & Income $1,105.50 $1,586.70 $1,850.98 - $1,825.29
- ----------------------------------------------------------------------------------------------------------------------
E/Q Putnam Growth & Income Value $1,030.77 - - - $1,172.64
- ----------------------------------------------------------------------------------------------------------------------
Merrill Lynch Basic Value Equity $ 999.57 - - - $1,148.15
- ----------------------------------------------------------------------------------------------------------------------
T. Rowe Price Equity Income $ 996.54 - - - $1,191.39
- ----------------------------------------------------------------------------------------------------------------------
Alliance Common Stock $1,183.15 $1,805.17 $2,217.34 $4,031.95 -
- ----------------------------------------------------------------------------------------------------------------------
MFS Research $1,135.14 - - - $1,288.14
- ----------------------------------------------------------------------------------------------------------------------
Alliance Aggressive Stock $ 916.26 $1,163.21 $1,381.52 $4,347.57 -
- ----------------------------------------------------------------------------------------------------------------------
Alliance Quality Bond $ 993.00 $1,065.78 $1,106.28 - $1,090.26
- ----------------------------------------------------------------------------------------------------------------------
MFS Emerging Growth Companies $1,230.38 - - - $1,477.97
- ----------------------------------------------------------------------------------------------------------------------
Warburg Pincus Small Company Value $ 822.21 - - - $ 957.02
- ----------------------------------------------------------------------------------------------------------------------
Alliance Global $1,114.06 $1,331.21 $1,568.49 $2,868.34 -
- ----------------------------------------------------------------------------------------------------------------------
Alliance International $1,010.19 $1,003.00 - - $1,083.76
- ----------------------------------------------------------------------------------------------------------------------
Morgan Stanley Emerging Markets Equity $ 666.76 - - - $ 525.40
- ----------------------------------------------------------------------------------------------------------------------
T. Rowe Price International Stock $1,038.79 - - - $ 999.69
- ----------------------------------------------------------------------------------------------------------------------
Alliance Balanced $1,080.72 $1,297.77 $1,335.75 $2,326.22 -
- ----------------------------------------------------------------------------------------------------------------------
Alliance Conservative Investors $1,040.45 $1,159.86 $1,252.10 - $1,727.45
- ----------------------------------------------------------------------------------------------------------------------
Alliance Growth Investors $1,081.83 $1,339.33 $1,541.49 - $2,947.24
- ----------------------------------------------------------------------------------------------------------------------
E/Q Putnam Balanced $1,021.57 - - - $1,144.83
- ----------------------------------------------------------------------------------------------------------------------
Merrill Lynch World Strategy $ 975.98 - - - $ 998.55
- ----------------------------------------------------------------------------------------------------------------------
Alliance High Yield $ 866.58 $1,180.55 $1,286.90 $2,044.10 -
- ----------------------------------------------------------------------------------------------------------------------
Alliance Intermediate Government Securities $ 984.41 $1,022.25 $1,033.41 - $1,251.19
- ----------------------------------------------------------------------------------------------------------------------
Alliance Money Market $ 962.41 $ 996.69 $1,022.63 $1,195.40 -
- ----------------------------------------------------------------------------------------------------------------------
Alliance Small Cap Growth $ 874.57 - - - $1,084.35
- ----------------------------------------------------------------------------------------------------------------------
</TABLE>
* Portfolios inception dates are shown in Table 1.
88
<PAGE>
- -------------------------------------------------------------------------------
TABLE 3
ANNUALIZED RATES OF RETURN FOR PERIODS ENDED DECEMBER 31, 1998
<TABLE>
<CAPTION>
- --------------------------------------------------------------------------------------------------------------------------
SINCE
PORTFOLIO
1 YEAR 3 YEARS 5 YEARS 10 YEARS 20 YEARS INCEPTION*
- --------------------------------------------------------------------------------------------------------------------------
<S> <C> <C> <C> <C> <C> <C>
ALLIANCE EQUITY INDEX 26.22% 25.75% - - - 22.53%
- --------------------------------------------------------------------------------------------------------------------------
Lipper S&P 500 Index Funds 28.05% 27.67% - - - 24.31%
- --------------------------------------------------------------------------------------------------------------------------
Benchmark 28.58% 28.23% - - - 24.79%
- --------------------------------------------------------------------------------------------------------------------------
ALLIANCE GROWTH & INCOME 19.11% 20.75% 16.10% - - 15.15%
- --------------------------------------------------------------------------------------------------------------------------
Lipper Growth & Income 15.61% 21.25% 18.35% - - 17.89%
- --------------------------------------------------------------------------------------------------------------------------
Benchmark 20.10% 23.99% 21.07% - - 20.48%
- --------------------------------------------------------------------------------------------------------------------------
EQ/PUTNAM GROWTH & INCOME VALUE 11.19% - - - - 15.94%
- --------------------------------------------------------------------------------------------------------------------------
Lipper Growth & Income 15.54% - - - - 21.32%
- --------------------------------------------------------------------------------------------------------------------------
Benchmark 28.58% - - - - 31.63%
- --------------------------------------------------------------------------------------------------------------------------
MERRILL LYNCH BASIC VALUE EQUITY 7.82 - - - - 14.29%
- --------------------------------------------------------------------------------------------------------------------------
Lipper Growth & Income 15.54% - - - - 21.32%
- --------------------------------------------------------------------------------------------------------------------------
Benchmark 28.58% - - - - 31.63%
- --------------------------------------------------------------------------------------------------------------------------
T. ROWE PRICE EQUITY INCOME 7.49% - - - - 17.04%
- --------------------------------------------------------------------------------------------------------------------------
Lipper Equity Income 10.76% - - - - 19.07%
- --------------------------------------------------------------------------------------------------------------------------
Benchmark 28.58% - - - - 31.63%
- --------------------------------------------------------------------------------------------------------------------------
ALLIANCE COMMON STOCK 27.51% 25.75% 20.15% 16.96% 17.08% 11.96%
- --------------------------------------------------------------------------------------------------------------------------
Lipper Growth 22.86% 22.23% 18.63% 16.72% 16.30% 11.34%
- --------------------------------------------------------------------------------------------------------------------------
Benchmark 28.58% 28.23% 24.06% 19.21% 17.76% 12.75%
- --------------------------------------------------------------------------------------------------------------------------
MFS RESEARCH 22.31% - - - - 22.66%
- --------------------------------------------------------------------------------------------------------------------------
Lipper Growth 25.82% - - - - 28.73%
- --------------------------------------------------------------------------------------------------------------------------
Benchmark 28.58% - - - - 31.63%
- --------------------------------------------------------------------------------------------------------------------------
ALLIANCE AGGRESSIVE STOCK (1.17)% 9.13% 9.83% 17.17% - 15.91%
- --------------------------------------------------------------------------------------------------------------------------
Lipper Mid-Cap Growth 12.16% 16.33% 14.87% 15.44% - 13.95%
- --------------------------------------------------------------------------------------------------------------------------
Benchmark 8.28% 17.77% 15.56% 16.49% - 15.78%
- --------------------------------------------------------------------------------------------------------------------------
ALLIANCE QUALITY BOND 7.11% 6.15% 5.23% - - 4.80%
- --------------------------------------------------------------------------------------------------------------------------
Lipper Corporate Bond A-Rated 7.47% 6.38% 6.54% - - 6.21%
- --------------------------------------------------------------------------------------------------------------------------
Benchmark 8.69% 7.29% 7.27% - - 6.92%
- --------------------------------------------------------------------------------------------------------------------------
MFS EMERGING GROWTH COMPANIES 32.57% - - - - 32.93%
- --------------------------------------------------------------------------------------------------------------------------
Lipper Mid-Cap 15.97% - - - - 22.72%
- --------------------------------------------------------------------------------------------------------------------------
Benchmark (2.54)% - - - - 14.53%
- --------------------------------------------------------------------------------------------------------------------------
WARBURG PINCUS SMALL COMPANY
VALUE (11.31)% - - - - 2.75%
- --------------------------------------------------------------------------------------------------------------------------
Lipper Small-Cap 1.53% - - - - 16.77%
- --------------------------------------------------------------------------------------------------------------------------
Benchmark (2.54)% - - - - 14.53%
- --------------------------------------------------------------------------------------------------------------------------
ALLIANCE GLOBAL 20.03% 14.22% 12.59% 13.14% - 10.92%
- --------------------------------------------------------------------------------------------------------------------------
Lipper Global 14.34% 14.67% 11.98% 11.21% - 9.64%
- --------------------------------------------------------------------------------------------------------------------------
Benchmark 24.34% 17.77% 15.68% 10.66% - 9.55%
- --------------------------------------------------------------------------------------------------------------------------
ALLIANCE INTERNATIONAL 8.96% 4.05% - - - 5.77%
- --------------------------------------------------------------------------------------------------------------------------
Lipper International 13.02% 9.94% - - - 10.74%
- --------------------------------------------------------------------------------------------------------------------------
Benchmark 20.00% 9.00% - - - 9.68%
- --------------------------------------------------------------------------------------------------------------------------
</TABLE>
89
<PAGE>
- -------------------------------------------------------------------------------
<TABLE>
<CAPTION>
- --------------------------------------------------------------------------------------------------------------------------
SINCE
PORTFOLIO
1 YEAR 3 YEARS 5 YEARS 10 YEARS 20 YEARS INCEPTION*
- --------------------------------------------------------------------------------------------------------------------------
<S> <C> <C> <C> <C> <C> <C>
MORGAN STANLEY EMERGING MARKETS
EQUITY (28.08)% - - - - (33.65)%
- --------------------------------------------------------------------------------------------------------------------------
Lipper Emerging Markets (30.50)% - - - - (36.28)%
- --------------------------------------------------------------------------------------------------------------------------
Benchmark (25.34)% - - - - (28.92)%
- --------------------------------------------------------------------------------------------------------------------------
T. ROWE PRICE INTERNATIONAL STOCK 2.05% - - - - 5.47%
- --------------------------------------------------------------------------------------------------------------------------
Lipper International 12.17% - - - - 9.06%
- --------------------------------------------------------------------------------------------------------------------------
Benchmark 20.00% - - - - 13.43%
- --------------------------------------------------------------------------------------------------------------------------
ALLIANCE BALANCED 6.40% 13.23% 9.20% 10.96% - 10.71%
- --------------------------------------------------------------------------------------------------------------------------
Lipper Balanced 13.48% 15.79% 13.84% 12.97% - 13.56%
- --------------------------------------------------------------------------------------------------------------------------
Benchmark 19.02% 18.70% 16.88% 15.21% - 15.37%
- --------------------------------------------------------------------------------------------------------------------------
ALLIANCE CONSERVATIVE INVESTORS 12.23% 9.09% 7.80% - - 8.40%
- --------------------------------------------------------------------------------------------------------------------------
Lipper Income 14.20% 15.62% 14.31% - - 12.55%
- --------------------------------------------------------------------------------------------------------------------------
Benchmark 15.59% 14.45% 13.37% - - 12.08%
- --------------------------------------------------------------------------------------------------------------------------
ALLIANCE GROWTH INVESTORS 16.51% 14.16% 12.08% - - 14.31%
- --------------------------------------------------------------------------------------------------------------------------
Lipper Flexible Portfolio 14.20% 15.62% 14.31% - - 12.55%
- --------------------------------------------------------------------------------------------------------------------------
Benchmark 22.85% 22.69% 19.96% - - 15.55%
- --------------------------------------------------------------------------------------------------------------------------
EQ/PUTNAM BALANCED 10.19% - - - - 14.28%
- --------------------------------------------------------------------------------------------------------------------------
Lipper Balanced 14.61% - - - - 17.83%
- --------------------------------------------------------------------------------------------------------------------------
Benchmark 21.36% - - - - 23.48%
- --------------------------------------------------------------------------------------------------------------------------
MERRILL LYNCH WORLD STRATEGY 5.27% - - - - 5.40%
- --------------------------------------------------------------------------------------------------------------------------
Lipper Global Flexible Portfolio 9.34% - - - - 11.15%
- --------------------------------------------------------------------------------------------------------------------------
Benchmark 19.55% - - - - 20.00%
- --------------------------------------------------------------------------------------------------------------------------
ALLIANCE HIGH YIELD (6.53)% 9.74% 8.39% 9.55% - 8.89%
- --------------------------------------------------------------------------------------------------------------------------
Lipper High Yield (0.44)% 8.21% 7.37% 9.34% - 8.97%
- --------------------------------------------------------------------------------------------------------------------------
Benchmark 3.66% 9.11% 9.01% 11.08% - 10.72%
- --------------------------------------------------------------------------------------------------------------------------
ALLIANCE INTERMEDIATE GOVERNMENT
SECURITIES 6.18% 4.71% 3.86% - - 5.54%
- --------------------------------------------------------------------------------------------------------------------------
Lipper U.S. Government 7.68% 6.21% 5.91% - - 7.25%
- --------------------------------------------------------------------------------------------------------------------------
Benchmark 8.49% 6.74% 6.45% - - 7.60%
- --------------------------------------------------------------------------------------------------------------------------
ALLIANCE MONEY MARKET 3.81% 3.83% 3.64% 4.07% - 5.24%
- --------------------------------------------------------------------------------------------------------------------------
Lipper Money Market 4.84% 4.87% 4.77% 5.20% - 6.34%
- --------------------------------------------------------------------------------------------------------------------------
Benchmark 5.05% 5.18% 5.11% 5.44% 6.41%
- --------------------------------------------------------------------------------------------------------------------------
ALLIANCE SMALL CAP GROWTH (5.66)% - - - - 10.63%
- --------------------------------------------------------------------------------------------------------------------------
Lipper Small-Cap (0.33)% - - - - 16.72%
- --------------------------------------------------------------------------------------------------------------------------
Benchmark 1.23% - - - - 16.58%
- --------------------------------------------------------------------------------------------------------------------------
</TABLE>
* Portfolios inception dates are shown in Table 1.
90
<PAGE>
- -------------------------------------------------------------------------------
TABLE 4
CUMULATIVE RATES OF RETURN FOR PERIODS ENDED DECEMBER 31, 1998
<TABLE>
<CAPTION>
- --------------------------------------------------------------------------------------------------------------------------
SINCE
1 YEAR 3 YEARS 5 YEARS 10 YEARS 20 YEARS INCEPTION*
- --------------------------------------------------------------------------------------------------------------------------
<S> <C> <C> <C> <C> <C> <C>
ALLIANCE EQUITY INDEX 26.22% 98.86% - - - 167.12%
- --------------------------------------------------------------------------------------------------------------------------
Lipper S&P 500 Index Funds 28.05% 108.12% - - - 186.34%
- --------------------------------------------------------------------------------------------------------------------------
Benchmark 28.58% 110.85% - - - 192.17%
- --------------------------------------------------------------------------------------------------------------------------
ALLIANCE GROWTH & INCOME 19.11% 76.07% 110.97% - - 109.67%
- --------------------------------------------------------------------------------------------------------------------------
Lipper Growth & Income 15.61% 79.05% 133.95% - - 139.10%
- --------------------------------------------------------------------------------------------------------------------------
Benchmark 20.10% 90.62% 160.09% - - 166.00%
- --------------------------------------------------------------------------------------------------------------------------
EQ/PUTNAM GROWTH & INCOME VALUE 11.19% - - - - 27.96%
- --------------------------------------------------------------------------------------------------------------------------
Lipper Growth & Income 15.54% - - - - 38.49%
- --------------------------------------------------------------------------------------------------------------------------
Benchmark 28.58% - - - - 57.60%
- --------------------------------------------------------------------------------------------------------------------------
MERRILL LYNCH BASIC VALUE EQUITY 7.82% - - - - 24.95%
- --------------------------------------------------------------------------------------------------------------------------
Lipper Growth & Income 15.54% - - - - 15.59%
- --------------------------------------------------------------------------------------------------------------------------
Benchmark 28.58% - - - - 57.60%
- --------------------------------------------------------------------------------------------------------------------------
T. ROWE PRICE EQUITY INCOME 7.49% - - - - 30.01%
- --------------------------------------------------------------------------------------------------------------------------
Lipper Equity Income 10.76% - - - - 33.92%
- --------------------------------------------------------------------------------------------------------------------------
Benchmark 28.58% - - - - 57.60%
- --------------------------------------------------------------------------------------------------------------------------
ALLIANCE COMMON STOCK 27.51% 98.85% 150.34% 378.95% 2,242.69% 3,003.56%
- --------------------------------------------------------------------------------------------------------------------------
Lipper Growth 22.86% 84.52% 138.97% 388.00% 2,185.68% 1,208.81%
- --------------------------------------------------------------------------------------------------------------------------
Benchmark 28.58% 110.85% 193.91% 479.62% 2,530.43% 3,755.68%
- --------------------------------------------------------------------------------------------------------------------------
MFS RESEARCH 22.31% - - - - 40.56%
- --------------------------------------------------------------------------------------------------------------------------
Lipper Growth 25.82% - - - - 52.86%
- --------------------------------------------------------------------------------------------------------------------------
Benchmark 28.58% - - - - 57.60%
- --------------------------------------------------------------------------------------------------------------------------
ALLIANCE AGGRESSIVE STOCK (1.17)% 29.96% 59.83% 387.81% - 772.65%
- --------------------------------------------------------------------------------------------------------------------------
Lipper Mid-Cap Growth 12.16% 58.64% 102.73% 334.88% - 613.05%
- --------------------------------------------------------------------------------------------------------------------------
Benchmark 8.28% 63.35% 106.12% 360.30% - 759.55%
- --------------------------------------------------------------------------------------------------------------------------
ALLIANCE QUALITY BOND 7.11% 19.61% 29.02% - - 27.90%
- --------------------------------------------------------------------------------------------------------------------------
Lipper Corporate Bond A-Rated 7.47% 20.42% 37.37% - - 37.26%
- --------------------------------------------------------------------------------------------------------------------------
Benchmark 8.69% 23.51% 42.06% - - 42.14%
- --------------------------------------------------------------------------------------------------------------------------
MFS EMERGING GROWTH COMPANIES 32.57% - - - - 60.74%
- --------------------------------------------------------------------------------------------------------------------------
Lipper Mid-Cap 15.97% - - - - 42.16%
- --------------------------------------------------------------------------------------------------------------------------
Benchmark (2.54)% - - - - 25.40%
- --------------------------------------------------------------------------------------------------------------------------
WARBURG PINCUS SMALL COMPANY
VALUE (11.31)% - - - - 4.63%
- --------------------------------------------------------------------------------------------------------------------------
Lipper Small-Cap 1.53% - - - - 29.95%
- --------------------------------------------------------------------------------------------------------------------------
Benchmark (2.54)% - - - - 25.40%
- --------------------------------------------------------------------------------------------------------------------------
ALLIANCE GLOBAL 20.03% 49.01% 80.96% 243.69% - 224.10%
- --------------------------------------------------------------------------------------------------------------------------
Lipper Global 14.34% 51.58% 77.94% 194.96% - 188.08%
- --------------------------------------------------------------------------------------------------------------------------
Benchmark 24.34% 63.34% 107.19% 175.31% - 181.57%
- --------------------------------------------------------------------------------------------------------------------------
</TABLE>
91
<PAGE>
- -------------------------------------------------------------------------------
<TABLE>
<CAPTION>
- --------------------------------------------------------------------------------------------------------------------------
SINCE
1 YEAR 3 YEARS 5 YEARS 10 YEARS 20 YEARS INCEPTION*
- --------------------------------------------------------------------------------------------------------------------------
<S> <C> <C> <C> <C> <C> <C>
ALLIANCE INTERNATIONAL 8.96% 12.65% - - - 23.37%
- --------------------------------------------------------------------------------------------------------------------------
Lipper International 13.02% 33.62% - - - 47.74%
- --------------------------------------------------------------------------------------------------------------------------
Benchmark 20.00% 29.52% - - - 41.40%
- --------------------------------------------------------------------------------------------------------------------------
MORGAN STANLEY EMERGING MARKETS
EQUITY (28.08)% - - - - (42.91)%
- --------------------------------------------------------------------------------------------------------------------------
Lipper Emerging Markets (30.50)% - - - - (45.67)%
- --------------------------------------------------------------------------------------------------------------------------
Benchmark (25.34)% - - - - (36.71)%
- --------------------------------------------------------------------------------------------------------------------------
T. ROWE PRICE INTERNATIONAL STOCK 12.05% - - - - 9.29%
- --------------------------------------------------------------------------------------------------------------------------
Lipper International 12.17% - - - - 15.88%
- --------------------------------------------------------------------------------------------------------------------------
Benchmark 20.00% - - - - 23.42%
- --------------------------------------------------------------------------------------------------------------------------
ALLIANCE BALANCED 16.40% 45.16% 55.30% 183.04% - 344.57%
- --------------------------------------------------------------------------------------------------------------------------
Lipper Balanced 13.48% 55.60% 91.92% 240.69% - 553.21%
- --------------------------------------------------------------------------------------------------------------------------
Benchmark 19.02% 67.24% 118.08% 311.86% - 715.64%
- --------------------------------------------------------------------------------------------------------------------------
ALLIANCE CONSERVATIVE INVESTORS 12.23% 29.83% 45.61% - - 110.82%
- --------------------------------------------------------------------------------------------------------------------------
Lipper Income 14.20% 55.28% 97.15% - - 202.48%
- --------------------------------------------------------------------------------------------------------------------------
Benchmark 15.59% 49.92% 87.28% - - 187.40%
- --------------------------------------------------------------------------------------------------------------------------
ALLIANCE GROWTH INVESTORS 16.51% 48.79% 76.88% - - 244.44%
- --------------------------------------------------------------------------------------------------------------------------
Lipper Flexible Portfolio 14.20% 55.28% 97.15% - - 202.45%
- --------------------------------------------------------------------------------------------------------------------------
Benchmark 22.85% 84.68% 148.41% - - 280.88%
- --------------------------------------------------------------------------------------------------------------------------
EQ/PUTNAM BALANCED 10.19% - - - - 24.93%
- --------------------------------------------------------------------------------------------------------------------------
Lipper Balanced 14.61% - - - - 31.59%
- --------------------------------------------------------------------------------------------------------------------------
Benchmark 21.36% - - - - 42.22%
- --------------------------------------------------------------------------------------------------------------------------
MERRILL LYNCH WORLD STRATEGY 5.27% - - - - 9.17%
- --------------------------------------------------------------------------------------------------------------------------
Lipper Global Flexible Portfolio 9.34% - - - - 19.41%
- --------------------------------------------------------------------------------------------------------------------------
Benchmark 19.55% - - - - 33.33%
- --------------------------------------------------------------------------------------------------------------------------
ALLIANCE HIGH YIELD (6.53)% 32.15% 49.63% 148.97% - 177.76%
- --------------------------------------------------------------------------------------------------------------------------
Lipper High Yield (0.44)% 26.80% 43.00% 145.62% - 182.21%
- --------------------------------------------------------------------------------------------------------------------------
Benchmark 3.66% 29.90% 53.96% 186.01% - 239.69%
- --------------------------------------------------------------------------------------------------------------------------
ALLIANCE INTERMEDIATE
GOVERNMENT SECURITIES 6.18% 14.81% 20.85% - - 51.92%
- --------------------------------------------------------------------------------------------------------------------------
Lipper U.S. Government 7.68% 19.84% 33.36% - - 72.35%
- --------------------------------------------------------------------------------------------------------------------------
Benchmark 8.49% 21.61% 36.71% - - 76.55%
- --------------------------------------------------------------------------------------------------------------------------
ALLIANCE MONEY MARKET 3.81% 11.94% 19.59% 49.04% - 133.76%
- --------------------------------------------------------------------------------------------------------------------------
Lipper Money Market 4.84% 15.34% 26.25% 66.09% - 178.83%
- --------------------------------------------------------------------------------------------------------------------------
Benchmark 5.05% 16.35% 28.27% 69.88% - 181.74%
- --------------------------------------------------------------------------------------------------------------------------
ALLIANCE SMALL CAP GROWTH (5.66)% - - - - 18.35%
- --------------------------------------------------------------------------------------------------------------------------
Lipper Small-Cap (0.33)% - - - - 28.98%
- --------------------------------------------------------------------------------------------------------------------------
Benchmark 1.23% - - - - 29.23%
- --------------------------------------------------------------------------------------------------------------------------
</TABLE>
* Portfolios inception dates are shown in Table 1.
92
<PAGE>
- -------------------------------------------------------------------------------
TABLE 5
YEAR-BY-YEAR RATES OF RETURN
<TABLE>
<CAPTION>
- -----------------------------------------------------------------------------------------------------------------------------------
1989 1990 1991 1992 1993 1994 1995 1996 1997 1998
<S> <C> <C> <C> <C> <C> <C> <C> <C> <C> <C>
- -----------------------------------------------------------------------------------------------------------------------------------
Alliance Equity Index - - - - - (0.14)%** 34.51% 20.60% 30.65% 26.22%
- -----------------------------------------------------------------------------------------------------------------------------------
Alliance Growth & Income - - - - (0.62)%** (2.01)% 22.28% 18.34% 24.92% 19.11%
- -----------------------------------------------------------------------------------------------------------------------------------
E/Q Putnam Growth & Income Value - - - - - - - - 15.09%** 11.19%
- -----------------------------------------------------------------------------------------------------------------------------------
Merrill Lynch Basic Value Equity - - - - - - - - 15.89%** 7.82%
- -----------------------------------------------------------------------------------------------------------------------------------
T. Rowe Price Equity Income - - - - - - - - 20.95%** 7.49%
- -----------------------------------------------------------------------------------------------------------------------------------
Alliance Common Stock 24.07% (9.27)% 35.81% 1.72% 23.02% (3.56)% 30.54% 22.46% 27.34% 27.51%
- -----------------------------------------------------------------------------------------------------------------------------------
MFS Research - - - - - - - - 14.93%** 22.31%
- -----------------------------------------------------------------------------------------------------------------------------------
Alliance Aggressive Stock 42.73% 5.62% 84.38% (4.57)% 15.06% (5.21)% 29.73% 20.42% 9.20% (1.17)%
- -----------------------------------------------------------------------------------------------------------------------------------
Alliance Quality Bond - - - - (0.87)% (6.47)% 15.33% 3.82% 7.56% 7.11%
- -----------------------------------------------------------------------------------------------------------------------------------
MFS Emerging Growth Companies - - - - - - - - 21.25%** 32.57%
- -----------------------------------------------------------------------------------------------------------------------------------
Warburg Pincus Small Company
Value - - - - - - - - 17.97%** (11.31)%
- -----------------------------------------------------------------------------------------------------------------------------------
Alliance Global 24.90% (7.42)% 28.66% (1.96)% 30.21% 3.71% 17.10% 12.93% 9.93% 20.03%
- -----------------------------------------------------------------------------------------------------------------------------------
Alliance International - - - - - - 9.51%** 8.21% (4.46)% 8.96%
- -----------------------------------------------------------------------------------------------------------------------------------
Morgan Stanley Emerging Markets
Equity - - - - - - - - (20.62)%** (28.08)%
- -----------------------------------------------------------------------------------------------------------------------------------
T. Rowe Price International Stock - - - - - - - - (2.46)%** 12.05%
- -----------------------------------------------------------------------------------------------------------------------------------
Alliance Balanced 24.60% (1.46)% 40.02% (4.25)% 10.68% (9.35)% 18.02% 10.05% 13.33% 16.40%
- -----------------------------------------------------------------------------------------------------------------------------------
Alliance Conservative Investors 2.72%** 4.86% 18.11% 4.26% 9.16% (5.49)% 18.66% 3.67% 11.59% 12.23%
- -----------------------------------------------------------------------------------------------------------------------------------
Alliance Growth Investors 3.62%** 9.01% 46.75% 3.41% 13.59% (4.55)% 24.54% 10.96% 15.08% 16.51%
- -----------------------------------------------------------------------------------------------------------------------------------
E/Q Putnam Balanced - - - - - - - - 13.37%** 10.19%
- -----------------------------------------------------------------------------------------------------------------------------------
Merrill Lynch World Strategy - - - - - - - - 3.70%** 5.27%
- -----------------------------------------------------------------------------------------------------------------------------------
Alliance High Yield 3.61% (2.53)% 22.66% 10.68% 21.36% (4.19)% 18.18% 21.09% 16.75% (6.53)%
- -----------------------------------------------------------------------------------------------------------------------------------
Alliance Intermediate Government
Securities - - 10.85%** 4.06% 8.98% (5.76)% 11.69% 2.26% 5.74% 6.18%
- -----------------------------------------------------------------------------------------------------------------------------------
Alliance Money Market 7.67% 6.78% 4.67% 2.06% 1.47% 2.51% 4.22% 3.79% 3.89% 3.81%
- -----------------------------------------------------------------------------------------------------------------------------------
Alliance Small Cap Growth - - - - - - - - 25.46%** (5.66)%
- -----------------------------------------------------------------------------------------------------------------------------------
</TABLE>
** Return for these options represent less than 12 months of performance.
The returns are as of each Portfolio's inception date as shown in Table 1
93
<PAGE>
- -------------------------------------------------------------------------------
COMMUNICATING PERFORMANCE DATA
In reports or other communications to contract owners or in advertising
material, we may describe general economic and market conditions affecting our
variable investment options, and the Portfolios and may compare the performance
or ranking of those options and the Portfolios with:
o those of other insurance company separate accounts or mutual funds included
in the rankings prepared by Lipper Analytical Services, Inc., Morningstar,
Inc., VARDS, or similar investment services that monitor the performance of
insurance company separate accounts or mutual funds;
o other appropriate indices of investment securities and averages for peer
universes of mutual funds which are shown under "Benchmarks" above; or
o data developed by us derived from such indices or averages.
We also may furnish to present or prospective contract owners advertisements or
other communications that include evaluations of a variable investment option or
Portfolio by nationally recognized financial publications. Examples of such
publications are:
- ------------------------------------------------------------------------------
Barron's Money Management Letter
Morningstar's Variable Annuity Investment Dealers Digest
Sourcebook National Underwriter
Business Week Pension & Investments
Forbes USA Today
Fortune Investor's Business Daily
Institutional Investor The New York Times
Money The Wall Street Journal
Kiplinger's Personal Finance The Los Angeles Times
Financial Planning The Chicago Tribune
Investment Adviser
Investment Management Weekly
- ------------------------------------------------------------------------------
Lipper Analytical Services, Inc. (Lipper) compiles performance data for peer
universes of funds with similar investment objectives in its Lipper Survey.
Morningstar, Inc. compiles similar data in the Morningstar Variable Annuity/Life
Report (Morningstar Report).
The Lipper Survey records performance data as reported to it by over 800 mutual
funds underlying variable annuity and life insurance products. It divides these
actively managed portfolios into 25 categories by portfolio objectives. The
Lipper Survey contains two different universes, which reflect different types of
fees in performance data:
o The "separate account" universe reports performance data net of investment
management fees, direct operating expenses and asset-based charges
applicable under variable insurance and annuity contracts; and
o The "mutual fund" universe reports performance net only of investment
management fees and direct operating expenses, and therefore reflects only
charges that relate to the underlying mutual fund.
The Morningstar Variable Annuity/Life Report consists of nearly 700 variable
life and annuity funds, all of which report their data net of investment
management fees, direct operating expenses and separate account level charges.
VARDS is a monthly reporting service that monitors approximately 2,500 variable
life and variable annuity funds on performance and account information.
We also may advertise the current yield and effective yield of the Alliance
Money Market and other options, described below.
YIELD INFORMATION
Current yield for the Alliance Money Market option will be based on net changes
in a hypothetical investment over a given seven-day period, exclusive of capital
changes, and then "annualized" (assuming that the same seven-day result would
occur each week for 52 weeks). Current yield for the other options will be based
on net changes in a hypothetical investment over a given 30-day period,
exclusive of capital changes, and then "annualized" (assuming that the same
30-day result would occur each month for 12 months).
"Effective yield" is calculated in a similar manner, but when annualized, any
income earned by the investment is assumed to be reinvested. The "effective
yield" will be slightly higher than the "current yield" because any earnings are
compounded weekly for the Alliance Money Market option and monthly for the other
options. The yields and effective
94
<PAGE>
- -------------------------------------------------------------------------------
yields assume the deduction of all contract charges and expenses other than the
annual administrative charge, withdrawal charge, and any charge for taxes such
as premium tax. For more information, see "Alliance Money Market Option and
other Yield information" in the SAI.
95
<PAGE>
10
Incorporation of certain documents by reference
- -------------------------------------------------------------------------------
Equitable Life's annual report on Form 10-K for the year ended December 31,
1998 and a current report on Form 8-K dated April 9, 1999, are considered to be
a part of this prospectus because they are incorporated by reference.
After the date of this prospectus and before we terminate the offering of
the securities under this prospectus, all documents or reports we file with the
SEC under the Securities Exchange Act of 1934 ("Exchange Act") will be
considered to become part of this prospectus because they are incorporated by
reference.
Any statement contained in a document that is or becomes part of this
prospectus, will be considered changed or replaced for purposes of this
prospectus if a statement contained in this prospectus changes or is replaced.
Any statement that is considered to be a part of this prospectus because of its
incorporation, will be considered changed or replaced for the purpose of this
prospectus if a statement contained in any other subsequently filed document
that is considered to be part of this prospectus changes or replaces that
statement. After that, only the statement that is changed or replaced will be
considered to be part of this prospectus.
We file our Exchange Act documents and reports, including our annual and
quarterly reports on Form 10-K and Form 10-Q, electronically according to EDGAR
under CIK No. 0000727920. The SEC maintains a website that contains reports,
proxy and information statements and other information regarding registrants
that file electronically with the SEC. The address of the site is
http://www.sec.gov.
Upon written or oral request, we will provide, free of charge, to each
person to whom this prospectus is delivered a copy of any or all of the
documents considered to be part of this prospectus because they are incorporated
herein. This does not include exhibits not specifically incorporated by
reference into the text of such documents. Requests for documents should be
directed to The Equitable Life Assurance Society of the United States, 1290
Avenue of the Americas, New York, New York 10104. Attention: Corporate Secretary
(telephone: (212) 554-1234).
96
<PAGE>
Appendix I: Original contracts
- -------------------------------------------------------------------------------
Original Contracts are EQUI-VEST contracts under which the contract owner has
not elected to add Alliance Intermediate Government Securities, Alliance
Quality Bond, Alliance High Yield, Alliance Growth and Income, Alliance Equity
Index, Alliance Global, Alliance International, Alliance Small Cap Growth,
Alliance Conservative Investors, Alliance Growth Investors options and any of
the EQ Advisors Trust variable Investment options as investment options.
SELECTING YOUR INVESTMENT METHOD If you own an original contract, only the
guaranteed interest option and the Alliance Money Market, Alliance Balanced,
Alliance Common Stock and Alliance Aggressive Stock options are available. In
most cases, you may request that we add additional variable investment options
to your original contract. We reserve the right to deny your request.
TRANSFERRING YOUR ACCOUNT VALUE If you own an original contract, including
original contract owners who elect to amend their contract by selecting maximum
transfer flexibility, the Alliance Money Market option is always available.
However, we will not permit transfers into the Alliance Money Market option
from any other investment option. There will not be any other transfer
limitations under your original contract.
A-1
<PAGE>
Appendix II: Condensed financial information
- --------------------------------------------------------------------------------
The following tables show the accumulation unit values and the number of
outstanding units for each variable investment option under each contract
series at the last business day of the periods shown. The information presented
is shown for the past ten years, or from the first year the particular
contracts were offered if less than ten years ago.
SERIES 300 AND 400 CONTRACTS
UNIT VALUES AND NUMBER OF UNITS OUTSTANDING FOR EACH HUDSON RIVER TRUST
VARIABLE INVESTMENT OPTION
<TABLE>
<CAPTION>
- --------------------------------------------------------------------------------------------------------------
DECEMBER 31,
----------------------------------------------------------------------
1994 1995 1996 1997 1998
- --------------------------------------------------------------------------------------------------------------
<S> <C> <C> <C> <C> <C>
THE HUDSON RIVER TRUST
OPTIONS
- --------------------------------------------------------------------------------------------------------------
ALLIANCE AGGRESSIVE STOCK
- --------------------------------------------------------------------------------------------------------------
Unit value $ 95.45 $ 123.95 $ 149.41 $ 163.33 $ 161.59
- --------------------------------------------------------------------------------------------------------------
Number of units outstanding (000's) 664 1,310 2,468 3,226 3,342
- --------------------------------------------------------------------------------------------------------------
ALLIANCE BALANCED
- --------------------------------------------------------------------------------------------------------------
Unit value $ 91.64 $ 108.26 $ 119.26 $ 135.29 $ 157.63
- --------------------------------------------------------------------------------------------------------------
Number of units outstanding (000's) 289 386 548 655 752
- --------------------------------------------------------------------------------------------------------------
ALLIANCE COMMON STOCK
- --------------------------------------------------------------------------------------------------------------
Unit value $ 97.03 $ 126.78 $ 155.42 $ 198.12 $ 252.88
- --------------------------------------------------------------------------------------------------------------
Number of units outstanding (000's) 948 1,989 3,457 4,765 5,808
- --------------------------------------------------------------------------------------------------------------
ALLIANCE CONSERVATIVE INVESTORS
- --------------------------------------------------------------------------------------------------------------
Unit value $ 95.10 $ 112.97 $ 117.25 $ 130.98 $ 147.17
- --------------------------------------------------------------------------------------------------------------
Number of units outstanding (000's) 325 491 567 553 661
- --------------------------------------------------------------------------------------------------------------
ALLIANCE EQUITY INDEX
- --------------------------------------------------------------------------------------------------------------
Unit value $ 100.95 $ 135.94 $ 164.12 $ 214.66 $ 271.24
- --------------------------------------------------------------------------------------------------------------
Number of units outstanding (000's) 47 592 1,486 2,686 3,805
- --------------------------------------------------------------------------------------------------------------
ALLIANCE GLOBAL
- --------------------------------------------------------------------------------------------------------------
Unit value $ 104.12 $ 122.06 $ 138.00 $ 151.87 $ 182.50
- --------------------------------------------------------------------------------------------------------------
Number of units outstanding (000's) 1,305 2,121 2,995 3,369 3,395
- --------------------------------------------------------------------------------------------------------------
ALLIANCE GROWTH & INCOME
- --------------------------------------------------------------------------------------------------------------
Unit value $ 98.86 $ 121.02 $ 143.37 $ 179.30 $ 213.81
- --------------------------------------------------------------------------------------------------------------
Number of units outstanding (000's) 210 498 975 1,800 2,475
- --------------------------------------------------------------------------------------------------------------
ALLIANCE GROWTH INVESTORS
- --------------------------------------------------------------------------------------------------------------
Unit value $ 96.31 $ 120.08 $ 133.40 $ 153.69 $ 180.63
- --------------------------------------------------------------------------------------------------------------
Number of units outstanding (000's) 1,023 2,113 3,325 3,704 3,962
- --------------------------------------------------------------------------------------------------------------
</TABLE>
B-1
<PAGE>
- --------------------------------------------------------------------------------
<TABLE>
<CAPTION>
- --------------------------------------------------------------------------------------------------------------
DECEMBER 31,
----------------------------------------------------------------------
1994 1995 1996 1997 1998
- --------------------------------------------------------------------------------------------------------------
<S> <C> <C> <C> <C> <C>
ALLIANCE HIGH YIELD
- --------------------------------------------------------------------------------------------------------------
Unit value $ 95.88 $ 113.44 $ 137.53 $ 160.74 $ 150.42
- --------------------------------------------------------------------------------------------------------------
Number of units outstanding (000's) 99 209 444 831 1,164
- --------------------------------------------------------------------------------------------------------------
ALLIANCE INTERMEDIATE GOVERNMENT
SECURITIES
- --------------------------------------------------------------------------------------------------------------
Unit value $ 98.19 $ 109.80 $ 112.40 $ 118.98 $ 126.48
- --------------------------------------------------------------------------------------------------------------
Number of units outstanding (000's) 32 89 146 202 314
- --------------------------------------------------------------------------------------------------------------
ALLIANCE INTERNATIONAL
- --------------------------------------------------------------------------------------------------------------
Unit value - $ 104.15 $ 112.83 $ 107.92 $ 117.72
- --------------------------------------------------------------------------------------------------------------
Number of units outstanding (000's) - 141 763 968 971
- --------------------------------------------------------------------------------------------------------------
ALLIANCE MONEY MARKET
- --------------------------------------------------------------------------------------------------------------
Unit value $ 102.61 $ 107.04 $ 111.21 $ 115.66 $ 120.19
- --------------------------------------------------------------------------------------------------------------
Number of units outstanding (000's) 63 81 165 146 262
- --------------------------------------------------------------------------------------------------------------
ALLIANCE QUALITY BOND
- --------------------------------------------------------------------------------------------------------------
Unit value $ 93.87 $ 108.38 $ 112.65 $ 121.30 $ 130.07
- --------------------------------------------------------------------------------------------------------------
Number of units outstanding (000's) 53 135 196 283 557
- --------------------------------------------------------------------------------------------------------------
ALLIANCE SMALL CAP GROWTH
- --------------------------------------------------------------------------------------------------------------
Unit value - - - $ 125.55 $ 118.57
- --------------------------------------------------------------------------------------------------------------
Number of units outstanding (000's) - - - 488 1,101
- --------------------------------------------------------------------------------------------------------------
</TABLE>
B-2
<PAGE>
- --------------------------------------------------------------------------------
SERIES 100 THROUGH 400 CONTRACTS
UNIT VALUES AND NUMBER OF UNITS OUTSTANDING FOR EACH EQ ADVISORS TRUST VARIABLE
INVESTMENT OPTION
<TABLE>
<CAPTION>
- --------------------------------------------------------------------------------
DECEMBER 31, DECEMBER 31,
1997 1998
- --------------------------------------------------------------------------------
<S> <C> <C>
EQ ADVISORS TRUST OPTIONS
- --------------------------------------------------------------------------------
MFS EMERGING GROWTH COMPANIES
- --------------------------------------------------------------------------------
Unit value $ 121.34 $ 161.04
- --------------------------------------------------------------------------------
Number of units outstanding (000's) 256 1,090
- --------------------------------------------------------------------------------
MFS RESEARCH
- --------------------------------------------------------------------------------
Unit value $ 115.01 $ 140.83
- --------------------------------------------------------------------------------
Number of units outstanding (000's) 236 720
- --------------------------------------------------------------------------------
MERRILL LYNCH BASIC VALUE EQUITY
- --------------------------------------------------------------------------------
Unit value $ 115.97 $ 127.67
- --------------------------------------------------------------------------------
Number of units outstanding (000's) 145 444
- --------------------------------------------------------------------------------
MERRILL LYNCH WORLD STRATEGY
- --------------------------------------------------------------------------------
Unit value $ 103.77 $ 109.37
- --------------------------------------------------------------------------------
Number of units outstanding (000's) 52 84
- --------------------------------------------------------------------------------
MORGAN STANLEY EMERGING MARKETS EQUITY
- --------------------------------------------------------------------------------
Unit value $ 79.41 $ 57.18
- --------------------------------------------------------------------------------
Number of units outstanding (000's) 109 217
- --------------------------------------------------------------------------------
EQ/PUTNAM BALANCED
- --------------------------------------------------------------------------------
Unit value $ 113.46 $ 125.16
- --------------------------------------------------------------------------------
Number of units outstanding (000's) 109 275
- --------------------------------------------------------------------------------
EQ/PUTNAM GROWTH & INCOME VALUE
- --------------------------------------------------------------------------------
Unit value $ 115.17 $ 128.20
- --------------------------------------------------------------------------------
Number of units outstanding (000's) 250 581
- --------------------------------------------------------------------------------
T. ROWE PRICE EQUITY INCOME
- --------------------------------------------------------------------------------
Unit value $ 121.04 $ 130.25
- --------------------------------------------------------------------------------
Number of units outstanding (000's) 475 1,070
- --------------------------------------------------------------------------------
T. ROWE PRICE INTERNATIONAL STOCK
- --------------------------------------------------------------------------------
Unit value $ 97.61 $ 109.49
- --------------------------------------------------------------------------------
Number of units outstanding (000's) 387 671
- --------------------------------------------------------------------------------
WARBURG PINCUS SMALL COMPANY VALUE
- --------------------------------------------------------------------------------
Unit value $ 118.06 $ 104.82
- --------------------------------------------------------------------------------
Number of units outstanding (000's) 577 859
- --------------------------------------------------------------------------------
</TABLE>
B-3
<PAGE>
- -------------------------------------------------------------------------------
SERIES 500 CONTRACTS
UNIT VALUES AND NUMBER OF UNITS OUTSTANDING FOR EACH VARIABLE INVESTMENT OPTION
<TABLE>
<CAPTION>
- -----------------------------------------------------------------
DECEMBER 31,
1998
- -----------------------------------------------------------------
<S> <C>
THE HUDSON RIVER TRUST OPTIONS
- -----------------------------------------------------------------
ALLIANCE AGGRESSIVE STOCK
- -----------------------------------------------------------------
Unit value $ 90.25
- -----------------------------------------------------------------
Number of units outstanding (000's) 1
- -----------------------------------------------------------------
ALLIANCE BALANCED
- -----------------------------------------------------------------
Unit value $ 102.39
- -----------------------------------------------------------------
Number of units outstanding (000's) -
- -----------------------------------------------------------------
ALLIANCE COMMON STOCK
- -----------------------------------------------------------------
Unit value $ 102.87
- -----------------------------------------------------------------
Number of units outstanding (000's) 5
- -----------------------------------------------------------------
ALLIANCE CONSERVATIVE INVESTORS
- -----------------------------------------------------------------
Unit value $ 102.74
- -----------------------------------------------------------------
Number of units outstanding (000's) -
- -----------------------------------------------------------------
ALLIANCE EQUITY INDEX
- -----------------------------------------------------------------
Unit value $ 103.68
- -----------------------------------------------------------------
Number of units outstanding (000's) 2
- -----------------------------------------------------------------
ALLIANCE GLOBAL
- -----------------------------------------------------------------
Unit value $ 98.37
- -----------------------------------------------------------------
Number of units outstanding (000's) -
- -----------------------------------------------------------------
ALLIANCE GROWTH & INCOME
- -----------------------------------------------------------------
Unit value $ 102.73
- -----------------------------------------------------------------
Number of units outstanding (000's) 1
- -----------------------------------------------------------------
ALLIANCE GROWTH INVESTORS
- -----------------------------------------------------------------
Unit value 101.93
- -----------------------------------------------------------------
Number of units outstanding (000's) 1
- -----------------------------------------------------------------
ALLIANCE HIGH YIELD
- -----------------------------------------------------------------
Unit value $ 89.20
- -----------------------------------------------------------------
Number of units outstanding (000's) -
- -----------------------------------------------------------------
ALLIANCE INTERMEDIATE GOVERNMENT SECURITIES
- -----------------------------------------------------------------
Unit value $ 103.32
- -----------------------------------------------------------------
Number of units outstanding (000's) -
- -----------------------------------------------------------------
</TABLE>
B-4
<PAGE>
- --------------------------------------------------------------------------------
<TABLE>
<CAPTION>
- -----------------------------------------------------------------
DECEMBER 31,
1998
- -----------------------------------------------------------------
<S> <C>
ALLIANCE INTERNATIONAL
- -----------------------------------------------------------------
Unit value $ 93.00
- -----------------------------------------------------------------
Number of units outstanding (000's) 1
- -----------------------------------------------------------------
ALLIANCE MONEY MARKET
- -----------------------------------------------------------------
Unit value $ 101.68
- -----------------------------------------------------------------
Number of units outstanding (000's) -
- -----------------------------------------------------------------
ALLIANCE QUALITY BOND
- -----------------------------------------------------------------
Unit value $ 103.62
- -----------------------------------------------------------------
Number of units outstanding (000's) -
- -----------------------------------------------------------------
ALLIANCE SMALL CAP GROWTH
- -----------------------------------------------------------------
Unit value $ 86.93
- -----------------------------------------------------------------
Number of units outstanding (000's) 1
- -----------------------------------------------------------------
EQ ADVISORS TRUST OPTIONS
- -----------------------------------------------------------------
MFS EMERGING GROWTH COMPANIES
- -----------------------------------------------------------------
Unit value $ 103.41
- -----------------------------------------------------------------
Number of units outstanding (000's) 1
- -----------------------------------------------------------------
MFS RESEARCH
- -----------------------------------------------------------------
Unit value $ 98.99
- -----------------------------------------------------------------
Number of units outstanding (000's) 1
- -----------------------------------------------------------------
MERRILL LYNCH BASIC VALUE EQUITY
- -----------------------------------------------------------------
Unit value $ 97.80
- -----------------------------------------------------------------
Number of units outstanding (000's) -
- -----------------------------------------------------------------
MERRILL LYNCH WORLD STRATEGY
- -----------------------------------------------------------------
Unit value $ 94.86
- -----------------------------------------------------------------
Number of units outstanding (000's) -
- -----------------------------------------------------------------
MORGAN STANLEY EMERGING MARKETS EQUITY
- -----------------------------------------------------------------
Unit value $ 81.40
- -----------------------------------------------------------------
Number of units outstanding (000's) -
- -----------------------------------------------------------------
EQ/PUTNAM BALANCED
- -----------------------------------------------------------------
Unit value $ 101.05
- -----------------------------------------------------------------
Number of units outstanding (000's) -
- -----------------------------------------------------------------
EQ/PUTNAM GROWTH & INCOME VALUE
- -----------------------------------------------------------------
Unit value $ 100.48
- -----------------------------------------------------------------
Number of units outstanding (000's) -
- -----------------------------------------------------------------
</TABLE>
B-5
<PAGE>
- -------------------------------------------------------------------------------
<TABLE>
<CAPTION>
- -----------------------------------------------------------------
DECEMBER 31,
1998
- -----------------------------------------------------------------
<S> <C>
T. ROWE PRICE EQUITY INCOME
- -----------------------------------------------------------------
Unit value $ 101.00
- -----------------------------------------------------------------
Number of units outstanding (000's) -
- -----------------------------------------------------------------
T. ROWE PRICE INTERNATIONAL STOCK
- -----------------------------------------------------------------
Unit value $ 94.04
- -----------------------------------------------------------------
Number of units outstanding (000's) -
- -----------------------------------------------------------------
WARBURG PINCUS SMALL COMPANY VALUE
- -----------------------------------------------------------------
Unit value $ 82.78
- -----------------------------------------------------------------
Number of units outstanding (000's) -
- -----------------------------------------------------------------
</TABLE>
B-6
<PAGE>
- --------------------------------------------------------------------------------
SERIES 100 AND 200 CONTRACTS
UNIT VALUES AND NUMBER OF UNITS OUTSTANDING FOR EACH HUDSON RIVER TRUST
VARIABLE INVESTMENT OPTION
<TABLE>
<CAPTION>
- -----------------------------------------------------------------------------------------------------------------------------------
DECEMBER 31,
------------------------------------------------------------------------------------------------------------
1989 1990 1991 1992 1993 1994 1995 1996 1997 1998
- -----------------------------------------------------------------------------------------------------------------------------------
<S> <C> <C> <C> <C> <C> <C> <C> <C> <C> <C>
THE HUDSON
RIVER TRUST
OPTIONS
- -----------------------------------------------------------------------------------------------------------------------------------
ALLIANCE AGGRESSIVE
STOCK
- -----------------------------------------------------------------------------------------------------------------------------------
Unit value $ 25.86 $ 27.36 $ 50.51 $ 48.30 $ 55.68 $ 52.88 $ 68.73 $ 82.91 $ 90.75 $ 89.92
- -----------------------------------------------------------------------------------------------------------------------------------
Number of units
outstanding (000's) 8,134 9,545 12,962 17,986 21,496 24,787 25,821 27,945 28,030 25,634
- -----------------------------------------------------------------------------------------------------------------------------------
ALLIANCE BALANCED
- -----------------------------------------------------------------------------------------------------------------------------------
Unit value $ 19.69 $ 19.40 $ 27.17 $ 26.04 $ 28.85 $ 26.18 $ 30.92 $ 34.06 $ 38.66 $ 45.07
- -----------------------------------------------------------------------------------------------------------------------------------
Number of units
outstanding (000's) 16,810 19,423 21,100 25,975 31,259 32,664 30,212 28,319 26,036 24,361
- -----------------------------------------------------------------------------------------------------------------------------------
ALLIANCE COMMON
STOCK
- -----------------------------------------------------------------------------------------------------------------------------------
Unit value $ 83.40 $ 75.67 $102.76 $104.63 $128.81 $124.32 $162.42 $199.05 $253.68 $323.75
- -----------------------------------------------------------------------------------------------------------------------------------
Number of units
outstanding (000's) 8,645 9,670 10,292 11,841 13,917 15,749 16,292 16,933 17,386 17,231
- -----------------------------------------------------------------------------------------------------------------------------------
ALLIANCE
CONSERVATIVE
INVESTORS
- -----------------------------------------------------------------------------------------------------------------------------------
Unit value - - - - - - - - - -
- -----------------------------------------------------------------------------------------------------------------------------------
Number of units
outstanding (000's) - - - - - - - - - -
- -----------------------------------------------------------------------------------------------------------------------------------
ALLIANCE EQUITY INDEX
- -----------------------------------------------------------------------------------------------------------------------------------
Unit value - - - - - - - - - -
- -----------------------------------------------------------------------------------------------------------------------------------
Number of units
outstanding (000's) - - - - - - - - - -
- -----------------------------------------------------------------------------------------------------------------------------------
ALLIANCE GLOBAL
- -----------------------------------------------------------------------------------------------------------------------------------
Unit value - - - - - - - - - -
- -----------------------------------------------------------------------------------------------------------------------------------
Number of units
outstanding (000's) - - - - - - - - - -
- -----------------------------------------------------------------------------------------------------------------------------------
ALLIANCE GROWTH &
INCOME
- -----------------------------------------------------------------------------------------------------------------------------------
Unit value - - - - - - - - - -
- -----------------------------------------------------------------------------------------------------------------------------------
Number of units
outstanding (000's) - - - - - - - - - -
- -----------------------------------------------------------------------------------------------------------------------------------
ALLIANCE GROWTH
INVESTORS
- -----------------------------------------------------------------------------------------------------------------------------------
Unit value - - - - - - - - - -
- -----------------------------------------------------------------------------------------------------------------------------------
Number of units
outstanding (000's) - - - - - - - - - -
- -----------------------------------------------------------------------------------------------------------------------------------
</TABLE>
B-7
<PAGE>
- -------------------------------------------------------------------------------
<TABLE>
<CAPTION>
- -----------------------------------------------------------------------------------------------------------------------------
DECEMBER 31,
-----------------------------------------------------------------------------------------------------
1989 1990 1991 1992 1993 1994 1995 1996 1997 1998
- -----------------------------------------------------------------------------------------------------------------------------
<S> <C> <C> <C> <C> <C> <C> <C> <C> <C> <C>
ALLIANCE HIGH YIELD
- -----------------------------------------------------------------------------------------------------------------------------
Unit value - - - - - - - - - -
- -----------------------------------------------------------------------------------------------------------------------------
Number of units
outstanding (000's) - - - - - - - - - -
- -----------------------------------------------------------------------------------------------------------------------------
ALLIANCE
INTERMEDIATE
GOVERNMENT
SECURITIES
- -----------------------------------------------------------------------------------------------------------------------------
Unit value - - - - - - - - - -
- -----------------------------------------------------------------------------------------------------------------------------
Number of units
outstanding (000's) - - - - - - - - - -
- -----------------------------------------------------------------------------------------------------------------------------
ALLIANCE
INTERNATIONAL
- -----------------------------------------------------------------------------------------------------------------------------
Unit value - - - - - - - - - -
- -----------------------------------------------------------------------------------------------------------------------------
Number of units
outstanding (000's) - - - - - - - - - -
- -----------------------------------------------------------------------------------------------------------------------------
ALLIANCE MONEY
MARKET
- -----------------------------------------------------------------------------------------------------------------------------
Unit value $21.89 $23.38 $24.48 $25.01 $25.41 $26.08 $27.22 $28.28 $29.41 $30.55
- -----------------------------------------------------------------------------------------------------------------------------
Number of units
outstanding (000's) 1,045 1,307 1,325 1,201 1,065 1,000 1,021 1,013 973 1,261
- -----------------------------------------------------------------------------------------------------------------------------
ALLIANCE QUALITY
BOND
- -----------------------------------------------------------------------------------------------------------------------------
Unit value - - - - - - - - - -
- -----------------------------------------------------------------------------------------------------------------------------
Number of units
outstanding (000's) - - - - - - - - - -
- -----------------------------------------------------------------------------------------------------------------------------
ALLIANCE SMALL CAP
GROWTH
- -----------------------------------------------------------------------------------------------------------------------------
Unit value - - - - - - - - - -
- -----------------------------------------------------------------------------------------------------------------------------
Number of units
outstanding (000's) - - - - - - - - - -
- -----------------------------------------------------------------------------------------------------------------------------
</TABLE>
B-8
<PAGE>
Appendix III: Market value adjustment example
- -------------------------------------------------------------------------------
The example below shows how the market value adjustment would be determined and
how it would be applied to a withdrawal, assuming that $100,000 had been
invested on June 14, 1999 to a fixed maturity option with a maturity date of
June 15, 2008 (i.e., nine years later) at a rate to maturity of 7.00%,
resulting in a maturity value at the maturity date of $183,846. We further
assume that a withdrawal of $50,000 is made four years later, on June 15, 2003.
<TABLE>
<CAPTION>
- ---------------------------------------------------------------------------------------------
ASSUMED RATE TO
MATURITY ON JUNE 15, 2003
-------------------------
5.00% 9.00%
- ---------------------------------------------------------------------------------------------
<S> <C> <C>
AS OF JUNE 15, 2003 (BEFORE WITHDRAWAL)
- ---------------------------------------------------------------------------------------------
(1) Market adjusted amount $144,048 $ 119,487
- ---------------------------------------------------------------------------------------------
(2) Fixed maturity amount 131,080 131,080
- ---------------------------------------------------------------------------------------------
(3) Market value adjustment:
(1) - (2) 12,968 (11,593)
- ---------------------------------------------------------------------------------------------
ON JUNE 15, 2003 (AFTER WITHDRAWAL)
- ---------------------------------------------------------------------------------------------
(4) Portion of market value adjustment associated with withdrawal:
(3) x [$50,000/(1)] $ 4,501 $ (4,851)
- ---------------------------------------------------------------------------------------------
(5) Reduction in fixed maturity amount
[$50,000 - (4)] 45,499 54,851
- ---------------------------------------------------------------------------------------------
(6) Fixed maturity amount (2) - (5) 85,581 76,229
- ---------------------------------------------------------------------------------------------
(7) Maturity value 120,032 106,915
- ---------------------------------------------------------------------------------------------
(8) Market adjusted amount of (7) 94,048 69,487
- ---------------------------------------------------------------------------------------------
</TABLE>
You should note that under this example if a withdrawal is made when rates have
increased from 7.00% to 9.00% (right column), a negative market value
adjustment is realized. On the other hand, if a withdrawal is made when rates
have decreased from 7.00% to 5.00% (left column), a positive market value
adjustment is realized.
C-1
<PAGE>
Statement of additional information
- --------------------------------------------------------------------------------
TABLE OF CONTENTS
<TABLE>
<CAPTION>
Page
<S> <C>
Required Minimum Distributions Option 2
Accumulation Unit Values 2
Calculation of Annuity Payments 2
The Reorganization 4
Alliance Money Market Fund Yield Information 4
Other Yield Information 4
Key Factors in Retirement Planning 5
Long-Term Market Trends 5
Custodian and Independent Accountants 9
Financial Statements 11
</TABLE>
HOW TO OBTAIN AN EQUI-VEST STATEMENT OF ADDITIONAL INFORMATION FOR SEPARATE
ACCOUNT A
Call 1-800-628-6673 or send this request form to:
EQUI-VEST
Processing Office
The Equitable Life
P.O. Box 2996
New York, NY 10116-2996
Please send me an EQUI-VEST Statement of Additional Information dated May 1,
1999. (Combination variable and fixed deferred annuity)
- ------------------------------------------------------------------------------
Name:
- ------------------------------------------------------------------------------
Address:
- ------------------------------------------------------------------------------
City State Zip
<PAGE>
PART II
INFORMATION NOT REQUIRED IN PROSPECTUS
Item 15. Indemnification of Directors and Officers
-----------------------------------------
Equitable Life's by-laws provide, in Article VII, as follows:
7.5 Indemnification of Directors, Officers and Employees.
-----------------------------------------------------
(a) To the extent permitted by the law of the State of
New York and subject to all applicable requirements
thereof:
(i) any person made or threatened to be made a party to
any action or proceeding, whether civil or criminal,
by reason of the fact that he or she, or his or her
testator or intestate, is or was a director, officer
or employee of the Company shall be indemnified by
the Company;
(ii) any person made or threatened to be made a party to
any action or proceeding, whether civil or criminal,
by reason of the fact that he or she, or his or her
testator or intestate serves or served any other
organization in any capacity at the request of the
Company may be indemnified by the Company; and
(iii) the related expenses of any such person in any of
said categories may be advanced by the Company
(b) To the extent permitted by the law of the
State of New York, the Company may provide
for further indemnification or advancement
of expenses by resolution of shareholders of
the Company or the Board of Directors, by
amendment of these By-Laws, or by agreement.
{Business Corporation Law ss.ss. 721 -726;
Insurance Law ss.1216}
The directors and officers of Equitable Life are insured under
policies issued by Lloyd's of London, X. L. Insurance Company
and ACE Insurance Company. The annual limit on such policies is
$100 million, and the policies insure the officers and directors
against certain liabilities arising out of their conduct in such
capacities.
Item 16. Exhibits
--------
Exhibits No.
------------
(1) (a) Distribution and Servicing Agreement among
Equico Securities, Inc. (now EQ Financial
Consultants, Inc.), Equitable and Equitable
Variable Life Insurance Company, dated as of
May 1, 1994, incorporated by reference to
Exhibit 3.(c) to Registration Statement File
No. 2-30070, previously filed on February
14, 1995, refiled electronically on July 10,
1998.
II-1
<PAGE>
(b) Sales Agreement dated as of January 1, 1995
by and among Equico Securities, Inc. (now EQ
Financial Consultants, Inc.), Equitable,
Separate Account A, Separate Account No. 301
and Separate Account No. 51, previously
filed as Exhibit 1(c) to this Registration
Statement No. 33-89510 on April 24, 1995,
incorporated by reference to Exhibit 3(e) to
Registration Statement File No. 2-30070,
filed electronically July 10, 1998.
(2) Not applicable.
(4) (a) Form of group annuity contract no.
1050-94IC, previously filed with this
Registration Statement No. 33-89510 on April
24, 1995, incorporated herein by reference
to Exhibit 4(f) to Registration Statement
File No. 2-30070, refiled electronically
July 10, 1998.
(b) Form of group annuity certificate nos. 94ICA
and 94ICB, previously filed with this
Registration Statement No. 33-89510 on April
24, 1995, incorporated herein by reference
to Exhibit 4(g) to Registration Statement
File No. 2-30070, refiled electronically
July 10, 1998.
(c) Forms of endorsement nos. 94ENIRAI, 94ENNQI
and 94ENMVAI to contract no. 1050-94IC,
previously filed with this Registration
Statement No. 33-89510 on April 24, 1995,
incorporated herein by reference to Exhibit
4(h) to Registration Statement File No.
2-30070, refiled electronically July 10,
1998.
(d) Forms of data pages to endorsement nos.
94ENIRAI, 94ENNQI and 94ENMVAI, previously
filed with this Registration Statement No.
33-89510 on April 24, 1995, incorporated
herein by reference to Registration
Statement File No. 2-30070, refiled
electronically July 10, 1998.
(e) Form of application used with the annuity
contract identified above, previously filed
with this Registration Statement No.
33-89510 on April 26, 1996.
(f) Form of data pages for standard Roth IRA
Certificates, incorporated herein by
reference to Exhibit 4(m) to the
Registration Statement on Form N-4, File No.
2-30070, filed June 9, 1998.
(g) Form of endorsement for standard Roth IRA
Certificates, incorporated herein by
reference to Exhibit 4(n) to the
Registration Statement on Form N-4, File No.
2-30070, filed June 9, 1998.
(h) Form of data pages for Roth Advantage
Certificates, incorporated herein by
reference to Exhibit 4(o) to the
Registration Statement on Form N-4, File No.
2-30070, filed June 9, 1998.
(i) Form of endorsement for Roth Advantage
Certificates, incorporated herein by
reference to Exhibit 4(p) to the
Registration Statement on Form N-4, File No.
2-30070, filed June 9, 1998.
(5) (a) Opinion and Consent of Jonathan E. Gaines,
Esq., Vice President and Associate
General Counsel of Equitable, as to the
legality of the securities being registered,
previously filed with this Registration No.
33-89510 on February 14, 1995, refiled
electronically, July 10, 1998.
(b) Copies of the Internal Revenue Service
determination letters regarding
qualification under Section 408 of the
Internal Revenue Code, previously filed with
this Registration Statement No. 33-89510 on
April 26, 1996.
(c) Form of application for use with standard
IRA Certificates and Roth Advantage
Certificates, incorporated herein by
reference to Exhibit No. 5(c) to the
Registration Statement on Form N-4, File No.
2-30070, filed June 9, 1998.
(8) Not applicable.
(12) Not applicable.
(15) Not applicable.
(23) Consent of PricewaterhouseCoopers LLP.
II-2
<PAGE>
(24) Powers of Attorney.
(26) Not applicable.
(27) Not applicable.
(28) Not applicable.
Item 17. Undertakings
------------
(a) The undersigned registrant hereby undertakes:
(1) To file, during any period in which offers
or sales are being made, a post-effective
amendment to this registration statement:
(i) To include any prospectus
required by section 10(a)(3) of
the Securities Act of 1933;
(ii) to reflect in the Prospectus any
facts or events arising after the
effective date of the
registration statement (or the
most recent post-effective
amendment thereof) which,
individually or in the aggregate,
represent a fundamental change in
the information set forth in the
registration statement;
(iii) To include any material
information with respect to the
plan distribution not previously
disclosed in the registration
statement of or any material
change to such information in the
registration statement;
The directors and officers of Equitable Life are insured under
Policies issued by Lloyd's of London, X.L. Insurance Company
and Ace Insurance Company. The annual limit on such policies
is $100 million, and the policies insure the officers and
directors against certain liabilities arising out of their
conduct in such capacities.
(2) That, for the purpose of determining any
liability under the Securities Act of 1933,
each such post-effective amendment shall be
deemed to be a new registration statement
relating to the securities offered therein,
and the offering of such securities at that
time shall be deemed to be the initial bona
fide offering thereof;
(3) To remove from registration by means of a
post-effective amendment any of the
securities being registered which remain
unsold at the termination of the offering.
(b) The undersigned registrant hereby undertakes that,
for purposes of determining any liability under the
Securities Act of 1933, each filing of the
registrant's annual report pursuant to Section 13(a)
or 15(d) of the Securities Exchange Act of 1934 that
is incorporated by reference in the registration
statement shall be deemed to be a new registration
statement relating to the securities offered therein,
and the offering of such securities at that time
shall be deemed to be the initial bona fide offering
thereof.
(c) Insofar as indemnification for liabilities arising
under the Securities Act of 1933 may be permitted to
directors, officers and controlling persons of the
registrant pursuant to the foregoing provisions, or
otherwise, the registrant has been advised that in
the opinion of the Securities and Exchange Commission
such indemnification is against public policy as
expressed in the Act and is, therefore,
unenforceable. In the event that claim for
indemnification against such liabilities (other than
the payment by the registrant of expenses incurred or
paid by a director, officer or controlling person of
the registrant in the successful defense of any
action, suit or proceeding) is asserted by such
director, officer or controlling person in connection
with the securities being registered, the registrant
will, unless in the opinion of its counsel the matter
has been settled by controlling precedent, submit to
a court of appropriate jurisdiction the question
whether such indemnification by it is against public
policy as expressed in the Act and will be governed
by the final adjudication of such issue.
II-3
<PAGE>
SIGNATURES
Pursuant to the requirements of the Securities Act of 1933, the
registrant certifies that it has reasonable grounds to believe that it meets all
of the requirements for filing on Form S-3 and has duly caused this amendment to
the Registration Statement to be signed on its behalf by the undersigned,
thereunto duly authorized, in the City and State of New York, on April 30, 1999.
THE EQUITABLE LIFE ASSURANCE SOCIETY OF THE
UNITED STATES
(Registrant)
By: /s/ Naomi J. Weinstein
----------------------
Naomi J. Weinstein
Vice President
Pursuant to the requirements of the Securities Act of 1933, this
amendment to the Registration Statement has been signed by or on behalf of the
following persons in the capacities and on the date indicated.
PRINCIPAL EXECUTIVE OFFICERS:
Michael Hegarty President, Chief Operating Officer and
Director
Edward D. Miller Chairman of the Board, Chief Executive
Officer and Director
PRINCIPAL FINANCIAL OFFICER:
Stanley B. Tulin Vice Chairman of the Board,
Chief Financial Officer and Director
PRINCIPAL ACCOUNTING OFFICER:
/s/ Alvin H. Fenichel
- ---------------------
Alvin H. Fenichel Senior Vice President and
April 30, 1999 Controller
DIRECTORS:
Francoise Colloc'h Donald J. Greene George T. Lowy
Henri de Castries John T. Hartley Edward D. Miller
Joseph L. Dionne John H.F. Haskell, Jr. Didier Pineau Valencienne
Denis Duverne Michael Hegarty George J. Sella, Jr.
Jean-Rene Fourtou Mary R. (Nina) Henderson Peter J. Tobin
Norman C. Francis W. Edwin Jarmain Stanley B. Tulin
Dave H. Williams
/s/ Naomi J. Weinstein
- ----------------------
Naomi J. Weinstein
Attorney-in-Fact
April 30, 1999.
II-4
<PAGE>
EXHIBIT LIST
Exhibit No. TAG VALUE
- ----------- ---------
23 Consent of PricewaterhouseCoopers LLP. EX-99.23
24 Powers of Attorney. EX-99.24
23959
II-5
CONSENT OF INDEPENDENT ACCOUNTANTS
We hereby consent to the incorporation by reference in the Prospectus and
Prospectus Supplement constituting part of this Post-Effective Amendment No. 5
to the Registration Statement No. 33-89510 on Form S-3 of our report dated
appearing on page F-1 of The Equitable Life Assurance
Society of the United States' Annual Report on Form 10-K for the year ended
December 31, 1998. We also consent to the incorporation by reference of our
report on the Consolidated Financial Statement Schedules dated
which appears on page F-54 of such Annual Report on Form 10-K. We also consent
to the reference to us under the heading "Independent Accountants" in this
Prospectus.
/s/ PricewaterhouseCoopers LLP
PricewaterhouseCoopers LLP
New York, New York
April 30, 1999
POWER OF ATTORNEY
KNOW ALL PERSONS BY THESE PRESENTS, that the undersigned officer or
Director of The Equitable Life Assurance Society of the United States (the
"Company"), a New York stock life insurance company, hereby constitutes and
appoints Jerome S. Golden, Mark A. Hug, James D. Goodwin, Pauline Sherman,
Michael F. McNelis, Naomi J. Weinstein, Maureen K. Wolfson, Mildred Oliver, Mary
P. Breen and each of them (with full power to each of them to act alone), his or
her true and lawful attorney-in-fact and agent, with full power of substitution
to each, for him or her and on his or her behalf and in his or her name, place
and stead, to execute and file any of the documents referred to below relating
to registrations under the Securities Act of 1933, the Securities Exchange Act
of 1934 and the Investment Company Act of 1940 with respect to any insurance or
annuity contracts or other agreements providing for allocation of amounts to
Separate Accounts of the Company, and related units or interests in Separate
Accounts: registration statements on any form or forms under the Securities Act
of 1933 and the Investment Company Act of 1940 and annual reports on any form or
forms under the Securities Exchange Act of 1934, and any and all amendments and
supplements thereto, with all exhibits and all instruments necessary or
appropriate in connection therewith, each of said attorneys-in-fact and agents
and his, her or their substitutes being empowered to act with or without the
others, and to have full power and authority to do or cause to be done in the
name and on behalf of the undersigned each and every act and thing requisite and
necessary or appropriate with respect thereto to be done in and about the
premises in order to effectuate the same, as fully to all intents and purposes
as the undersigned might or could do in person, hereby ratifying and confirming
all that said attorneys-in-fact and agents, or any of them, may do or cause to
be done by virtue hereof.
IN WITNESS WHEREOF, the undersigned has hereunto set his hand this 16th day
of February, 1999.
/s/ Henri de Castries
---------------------
Henri de Castries
59838v2
<PAGE>
POWER OF ATTORNEY
KNOW ALL PERSONS BY THESE PRESENTS, that the undersigned officer or
Director of The Equitable Life Assurance Society of the United States (the
"Company"), a New York stock life insurance company, hereby constitutes and
appoints Jerome S. Golden, Mark A. Hug, James D. Goodwin, Pauline Sherman,
Michael F. McNelis, Naomi J. Weinstein, Maureen K. Wolfson, Mildred Oliver, Mary
P. Breen and each of them (with full power to each of them to act alone), his or
her true and lawful attorney-in-fact and agent, with full power of substitution
to each, for him or her and on his or her behalf and in his or her name, place
and stead, to execute and file any of the documents referred to below relating
to registrations under the Securities Act of 1933, the Securities Exchange Act
of 1934 and the Investment Company Act of 1940 with respect to any insurance or
annuity contracts or other agreements providing for allocation of amounts to
Separate Accounts of the Company, and related units or interests in Separate
Accounts: registration statements on any form or forms under the Securities Act
of 1933 and the Investment Company Act of 1940 and annual reports on any form or
forms under the Securities Exchange Act of 1934, and any and all amendments and
supplements thereto, with all exhibits and all instruments necessary or
appropriate in connection therewith, each of said attorneys-in-fact and agents
and his, her or their substitutes being empowered to act with or without the
others, and to have full power and authority to do or cause to be done in the
name and on behalf of the undersigned each and every act and thing requisite and
necessary or appropriate with respect thereto to be done in and about the
premises in order to effectuate the same, as fully to all intents and purposes
as the undersigned might or could do in person, hereby ratifying and confirming
all that said attorneys-in-fact and agents, or any of them, may do or cause to
be done by virtue hereof.
IN WITNESS WHEREOF, the undersigned has hereunto set his hand this 10th day
of February, 1999.
/s/ Joseph L. Dionne
--------------------
Joseph L. Dionne
59838v2
<PAGE>
POWER OF ATTORNEY
KNOW ALL PERSONS BY THESE PRESENTS, that the undersigned officer or
Director of The Equitable Life Assurance Society of the United States (the
"Company"), a New York stock life insurance company, hereby constitutes and
appoints Jerome S. Golden, Mark A. Hug, James D. Goodwin, Pauline Sherman,
Michael F. McNelis, Naomi J. Weinstein, Maureen K. Wolfson, Mildred Oliver, Mary
P. Breen and each of them (with full power to each of them to act alone), his or
her true and lawful attorney-in-fact and agent, with full power of substitution
to each, for him or her and on his or her behalf and in his or her name, place
and stead, to execute and file any of the documents referred to below relating
to registrations under the Securities Act of 1933, the Securities Exchange Act
of 1934 and the Investment Company Act of 1940 with respect to any insurance or
annuity contracts or other agreements providing for allocation of amounts to
Separate Accounts of the Company, and related units or interests in Separate
Accounts: registration statements on any form or forms under the Securities Act
of 1933 and the Investment Company Act of 1940 and annual reports on any form or
forms under the Securities Exchange Act of 1934, and any and all amendments and
supplements thereto, with all exhibits and all instruments necessary or
appropriate in connection therewith, each of said attorneys-in-fact and agents
and his, her or their substitutes being empowered to act with or without the
others, and to have full power and authority to do or cause to be done in the
name and on behalf of the undersigned each and every act and thing requisite and
necessary or appropriate with respect thereto to be done in and about the
premises in order to effectuate the same, as fully to all intents and purposes
as the undersigned might or could do in person, hereby ratifying and confirming
all that said attorneys-in-fact and agents, or any of them, may do or cause to
be done by virtue hereof.
IN WITNESS WHEREOF, the undersigned has hereunto set his hand this 6th day
of February, 1999.
/s/ Denis Duverne
-----------------
Denis Duverne
59838v2
<PAGE>
POWER OF ATTORNEY
KNOW ALL PERSONS BY THESE PRESENTS, that the undersigned officer or
Director of The Equitable Life Assurance Society of the United States (the
"Company"), a New York stock life insurance company, hereby constitutes and
appoints Jerome S. Golden, Mark A. Hug, James D. Goodwin, Pauline Sherman,
Michael F. McNelis, Naomi J. Weinstein, Maureen K. Wolfson, Mildred Oliver, Mary
P. Breen and each of them (with full power to each of them to act alone), his or
her true and lawful attorney-in-fact and agent, with full power of substitution
to each, for him or her and on his or her behalf and in his or her name, place
and stead, to execute and file any of the documents referred to below relating
to registrations under the Securities Act of 1933, the Securities Exchange Act
of 1934 and the Investment Company Act of 1940 with respect to any insurance or
annuity contracts or other agreements providing for allocation of amounts to
Separate Accounts of the Company, and related units or interests in Separate
Accounts: registration statements on any form or forms under the Securities Act
of 1933 and the Investment Company Act of 1940 and annual reports on any form or
forms under the Securities Exchange Act of 1934, and any and all amendments and
supplements thereto, with all exhibits and all instruments necessary or
appropriate in connection therewith, each of said attorneys-in-fact and agents
and his, her or their substitutes being empowered to act with or without the
others, and to have full power and authority to do or cause to be done in the
name and on behalf of the undersigned each and every act and thing requisite and
necessary or appropriate with respect thereto to be done in and about the
premises in order to effectuate the same, as fully to all intents and purposes
as the undersigned might or could do in person, hereby ratifying and confirming
all that said attorneys-in-fact and agents, or any of them, may do or cause to
be done by virtue hereof.
IN WITNESS WHEREOF, the undersigned has hereunto set his hand this 18th day
of February, 1999.
/s/ F. COLLOC'H
---------------
F. COLLOC'H
59838v2
<PAGE>
POWER OF ATTORNEY
KNOW ALL PERSONS BY THESE PRESENTS, that the undersigned officer or
Director of The Equitable Life Assurance Society of the United States (the
"Company"), a New York stock life insurance company, hereby constitutes and
appoints Jerome S. Golden, Mark A. Hug, James D. Goodwin, Pauline Sherman,
Michael F. McNelis, Naomi J. Weinstein, Maureen K. Wolfson, Mildred Oliver, Mary
P. Breen and each of them (with full power to each of them to act alone), his or
her true and lawful attorney-in-fact and agent, with full power of substitution
to each, for him or her and on his or her behalf and in his or her name, place
and stead, to execute and file any of the documents referred to below relating
to registrations under the Securities Act of 1933, the Securities Exchange Act
of 1934 and the Investment Company Act of 1940 with respect to any insurance or
annuity contracts or other agreements providing for allocation of amounts to
Separate Accounts of the Company, and related units or interests in Separate
Accounts: registration statements on any form or forms under the Securities Act
of 1933 and the Investment Company Act of 1940 and annual reports on any form or
forms under the Securities Exchange Act of 1934, and any and all amendments and
supplements thereto, with all exhibits and all instruments necessary or
appropriate in connection therewith, each of said attorneys-in-fact and agents
and his, her or their substitutes being empowered to act with or without the
others, and to have full power and authority to do or cause to be done in the
name and on behalf of the undersigned each and every act and thing requisite and
necessary or appropriate with respect thereto to be done in and about the
premises in order to effectuate the same, as fully to all intents and purposes
as the undersigned might or could do in person, hereby ratifying and confirming
all that said attorneys-in-fact and agents, or any of them, may do or cause to
be done by virtue hereof.
IN WITNESS WHEREOF, the undersigned has hereunto set his hand this 8th day
of February, 1999.
/s/ Jean Rene Fourtou
---------------------
Jean Rene Fourtou
59838v2
<PAGE>
POWER OF ATTORNEY
KNOW ALL PERSONS BY THESE PRESENTS, that the undersigned officer or
Director of The Equitable Life Assurance Society of the United States (the
"Company"), a New York stock life insurance company, hereby constitutes and
appoints Jerome S. Golden, Mark A. Hug, James D. Goodwin, Pauline Sherman,
Michael F. McNelis, Naomi J. Weinstein, Maureen K. Wolfson, Mildred Oliver, Mary
P. Breen and each of them (with full power to each of them to act alone), his or
her true and lawful attorney-in-fact and agent, with full power of substitution
to each, for him or her and on his or her behalf and in his or her name, place
and stead, to execute and file any of the documents referred to below relating
to registrations under the Securities Act of 1933, the Securities Exchange Act
of 1934 and the Investment Company Act of 1940 with respect to any insurance or
annuity contracts or other agreements providing for allocation of amounts to
Separate Accounts of the Company, and related units or interests in Separate
Accounts: registration statements on any form or forms under the Securities Act
of 1933 and the Investment Company Act of 1940 and annual reports on any form or
forms under the Securities Exchange Act of 1934, and any and all amendments and
supplements thereto, with all exhibits and all instruments necessary or
appropriate in connection therewith, each of said attorneys-in-fact and agents
and his, her or their substitutes being empowered to act with or without the
others, and to have full power and authority to do or cause to be done in the
name and on behalf of the undersigned each and every act and thing requisite and
necessary or appropriate with respect thereto to be done in and about the
premises in order to effectuate the same, as fully to all intents and purposes
as the undersigned might or could do in person, hereby ratifying and confirming
all that said attorneys-in-fact and agents, or any of them, may do or cause to
be done by virtue hereof.
IN WITNESS WHEREOF, the undersigned has hereunto set his hand this 8th day
of February, 1999.
/s/ Norman C. Francis
---------------------
Norman C. Francis
59838v2
<PAGE>
POWER OF ATTORNEY
KNOW ALL PERSONS BY THESE PRESENTS, that the undersigned officer or
Director of The Equitable Life Assurance Society of the United States (the
"Company"), a New York stock life insurance company, hereby constitutes and
appoints Jerome S. Golden, Mark A. Hug, James D. Goodwin, Pauline Sherman,
Michael F. McNelis, Naomi J. Weinstein, Maureen K. Wolfson, Mildred Oliver, Mary
P. Breen and each of them (with full power to each of them to act alone), his or
her true and lawful attorney-in-fact and agent, with full power of substitution
to each, for him or her and on his or her behalf and in his or her name, place
and stead, to execute and file any of the documents referred to below relating
to registrations under the Securities Act of 1933, the Securities Exchange Act
of 1934 and the Investment Company Act of 1940 with respect to any insurance or
annuity contracts or other agreements providing for allocation of amounts to
Separate Accounts of the Company, and related units or interests in Separate
Accounts: registration statements on any form or forms under the Securities Act
of 1933 and the Investment Company Act of 1940 and annual reports on any form or
forms under the Securities Exchange Act of 1934, and any and all amendments and
supplements thereto, with all exhibits and all instruments necessary or
appropriate in connection therewith, each of said attorneys-in-fact and agents
and his, her or their substitutes being empowered to act with or without the
others, and to have full power and authority to do or cause to be done in the
name and on behalf of the undersigned each and every act and thing requisite and
necessary or appropriate with respect thereto to be done in and about the
premises in order to effectuate the same, as fully to all intents and purposes
as the undersigned might or could do in person, hereby ratifying and confirming
all that said attorneys-in-fact and agents, or any of them, may do or cause to
be done by virtue hereof.
IN WITNESS WHEREOF, the undersigned has hereunto set his hand this 15th day
of February, 1999.
/s/ Donald J. Greene
--------------------
Donald J. Greene
59838v2
<PAGE>
POWER OF ATTORNEY
KNOW ALL PERSONS BY THESE PRESENTS, that the undersigned officer or
Director of The Equitable Life Assurance Society of the United States (the
"Company"), a New York stock life insurance company, hereby constitutes and
appoints Jerome S. Golden, Mark A. Hug, James D. Goodwin, Pauline Sherman,
Michael F. McNelis, Naomi J. Weinstein, Maureen K. Wolfson, Mildred Oliver, Mary
P. Breen and each of them (with full power to each of them to act alone), his or
her true and lawful attorney-in-fact and agent, with full power of substitution
to each, for him or her and on his or her behalf and in his or her name, place
and stead, to execute and file any of the documents referred to below relating
to registrations under the Securities Act of 1933, the Securities Exchange Act
of 1934 and the Investment Company Act of 1940 with respect to any insurance or
annuity contracts or other agreements providing for allocation of amounts to
Separate Accounts of the Company, and related units or interests in Separate
Accounts: registration statements on any form or forms under the Securities Act
of 1933 and the Investment Company Act of 1940 and annual reports on any form or
forms under the Securities Exchange Act of 1934, and any and all amendments and
supplements thereto, with all exhibits and all instruments necessary or
appropriate in connection therewith, each of said attorneys-in-fact and agents
and his, her or their substitutes being empowered to act with or without the
others, and to have full power and authority to do or cause to be done in the
name and on behalf of the undersigned each and every act and thing requisite and
necessary or appropriate with respect thereto to be done in and about the
premises in order to effectuate the same, as fully to all intents and purposes
as the undersigned might or could do in person, hereby ratifying and confirming
all that said attorneys-in-fact and agents, or any of them, may do or cause to
be done by virtue hereof.
IN WITNESS WHEREOF, the undersigned has hereunto set his hand this 11th day
of February, 1999.
/s/ John T. Hartley
-------------------
John T. Hartley
59838v2
<PAGE>
POWER OF ATTORNEY
KNOW ALL PERSONS BY THESE PRESENTS, that the undersigned officer or
Director of The Equitable Life Assurance Society of the United States (the
"Company"), a New York stock life insurance company, hereby constitutes and
appoints Jerome S. Golden, Mark A. Hug, James D. Goodwin, Pauline Sherman,
Michael F. McNelis, Naomi J. Weinstein, Maureen K. Wolfson, Mildred Oliver, Mary
P. Breen and each of them (with full power to each of them to act alone), his or
her true and lawful attorney-in-fact and agent, with full power of substitution
to each, for him or her and on his or her behalf and in his or her name, place
and stead, to execute and file any of the documents referred to below relating
to registrations under the Securities Act of 1933, the Securities Exchange Act
of 1934 and the Investment Company Act of 1940 with respect to any insurance or
annuity contracts or other agreements providing for allocation of amounts to
Separate Accounts of the Company, and related units or interests in Separate
Accounts: registration statements on any form or forms under the Securities Act
of 1933 and the Investment Company Act of 1940 and annual reports on any form or
forms under the Securities Exchange Act of 1934, and any and all amendments and
supplements thereto, with all exhibits and all instruments necessary or
appropriate in connection therewith, each of said attorneys-in-fact and agents
and his, her or their substitutes being empowered to act with or without the
others, and to have full power and authority to do or cause to be done in the
name and on behalf of the undersigned each and every act and thing requisite and
necessary or appropriate with respect thereto to be done in and about the
premises in order to effectuate the same, as fully to all intents and purposes
as the undersigned might or could do in person, hereby ratifying and confirming
all that said attorneys-in-fact and agents, or any of them, may do or cause to
be done by virtue hereof.
IN WITNESS WHEREOF, the undersigned has hereunto set his hand this 10th day
of February, 1999.
/s/ John H.F. Haskell, Jr.
--------------------------
John H.F. Haskell, Jr.
59838v2
<PAGE>
POWER OF ATTORNEY
KNOW ALL PERSONS BY THESE PRESENTS, that the undersigned officer or
Director of The Equitable Life Assurance Society of the United States (the
"Company"), a New York stock life insurance company, hereby constitutes and
appoints Jerome S. Golden, Mark A. Hug, James D. Goodwin, Pauline Sherman,
Michael F. McNelis, Naomi J. Weinstein, Maureen K. Wolfson, Mildred Oliver, Mary
P. Breen and each of them (with full power to each of them to act alone), his or
her true and lawful attorney-in-fact and agent, with full power of substitution
to each, for him or her and on his or her behalf and in his or her name, place
and stead, to execute and file any of the documents referred to below relating
to registrations under the Securities Act of 1933, the Securities Exchange Act
of 1934 and the Investment Company Act of 1940 with respect to any insurance or
annuity contracts or other agreements providing for allocation of amounts to
Separate Accounts of the Company, and related units or interests in Separate
Accounts: registration statements on any form or forms under the Securities Act
of 1933 and the Investment Company Act of 1940 and annual reports on any form or
forms under the Securities Exchange Act of 1934, and any and all amendments and
supplements thereto, with all exhibits and all instruments necessary or
appropriate in connection therewith, each of said attorneys-in-fact and agents
and his, her or their substitutes being empowered to act with or without the
others, and to have full power and authority to do or cause to be done in the
name and on behalf of the undersigned each and every act and thing requisite and
necessary or appropriate with respect thereto to be done in and about the
premises in order to effectuate the same, as fully to all intents and purposes
as the undersigned might or could do in person, hereby ratifying and confirming
all that said attorneys-in-fact and agents, or any of them, may do or cause to
be done by virtue hereof.
IN WITNESS WHEREOF, the undersigned has hereunto set his hand this 10th day
of February, 1999.
/s/ Michael Hegarty
-------------------
Michael Hegarty
59838v2
<PAGE>
POWER OF ATTORNEY
KNOW ALL PERSONS BY THESE PRESENTS, that the undersigned officer or
Director of The Equitable Life Assurance Society of the United States (the
"Company"), a New York stock life insurance company, hereby constitutes and
appoints Jerome S. Golden, Mark A. Hug, James D. Goodwin, Pauline Sherman,
Michael F. McNelis, Naomi J. Weinstein, Maureen K. Wolfson, Mildred Oliver, Mary
P. Breen and each of them (with full power to each of them to act alone), his or
her true and lawful attorney-in-fact and agent, with full power of substitution
to each, for him or her and on his or her behalf and in his or her name, place
and stead, to execute and file any of the documents referred to below relating
to registrations under the Securities Act of 1933, the Securities Exchange Act
of 1934 and the Investment Company Act of 1940 with respect to any insurance or
annuity contracts or other agreements providing for allocation of amounts to
Separate Accounts of the Company, and related units or interests in Separate
Accounts: registration statements on any form or forms under the Securities Act
of 1933 and the Investment Company Act of 1940 and annual reports on any form or
forms under the Securities Exchange Act of 1934, and any and all amendments and
supplements thereto, with all exhibits and all instruments necessary or
appropriate in connection therewith, each of said attorneys-in-fact and agents
and his, her or their substitutes being empowered to act with or without the
others, and to have full power and authority to do or cause to be done in the
name and on behalf of the undersigned each and every act and thing requisite and
necessary or appropriate with respect thereto to be done in and about the
premises in order to effectuate the same, as fully to all intents and purposes
as the undersigned might or could do in person, hereby ratifying and confirming
all that said attorneys-in-fact and agents, or any of them, may do or cause to
be done by virtue hereof.
IN WITNESS WHEREOF, the undersigned has hereunto set his hand this 10th day
of February, 1999.
/s/ Mary R. (Nina) Henderson
----------------------------
Mary R. (Nina) Henderson
59838v2
<PAGE>
POWER OF ATTORNEY
KNOW ALL PERSONS BY THESE PRESENTS, that the undersigned officer or
Director of The Equitable Life Assurance Society of the United States (the
"Company"), a New York stock life insurance company, hereby constitutes and
appoints Jerome S. Golden, Mark A. Hug, James D. Goodwin, Pauline Sherman,
Michael F. McNelis, Naomi J. Weinstein, Maureen K. Wolfson, Mildred Oliver, Mary
P. Breen and each of them (with full power to each of them to act alone), his or
her true and lawful attorney-in-fact and agent, with full power of substitution
to each, for him or her and on his or her behalf and in his or her name, place
and stead, to execute and file any of the documents referred to below relating
to registrations under the Securities Act of 1933, the Securities Exchange Act
of 1934 and the Investment Company Act of 1940 with respect to any insurance or
annuity contracts or other agreements providing for allocation of amounts to
Separate Accounts of the Company, and related units or interests in Separate
Accounts: registration statements on any form or forms under the Securities Act
of 1933 and the Investment Company Act of 1940 and annual reports on any form or
forms under the Securities Exchange Act of 1934, and any and all amendments and
supplements thereto, with all exhibits and all instruments necessary or
appropriate in connection therewith, each of said attorneys-in-fact and agents
and his, her or their substitutes being empowered to act with or without the
others, and to have full power and authority to do or cause to be done in the
name and on behalf of the undersigned each and every act and thing requisite and
necessary or appropriate with respect thereto to be done in and about the
premises in order to effectuate the same, as fully to all intents and purposes
as the undersigned might or could do in person, hereby ratifying and confirming
all that said attorneys-in-fact and agents, or any of them, may do or cause to
be done by virtue hereof.
IN WITNESS WHEREOF, the undersigned has hereunto set his hand this 5th day
of February, 1999.
/s/ W. Edwin Jarmain
--------------------
W. Edwin Jarmain
59838v2
<PAGE>
POWER OF ATTORNEY
KNOW ALL PERSONS BY THESE PRESENTS, that the undersigned officer or
Director of The Equitable Life Assurance Society of the United States (the
"Company"), a New York stock life insurance company, hereby constitutes and
appoints Jerome S. Golden, Mark A. Hug, James D. Goodwin, Pauline Sherman,
Michael F. McNelis, Naomi J. Weinstein, Maureen K. Wolfson, Mildred Oliver, Mary
P. Breen and each of them (with full power to each of them to act alone), his or
her true and lawful attorney-in-fact and agent, with full power of substitution
to each, for him or her and on his or her behalf and in his or her name, place
and stead, to execute and file any of the documents referred to below relating
to registrations under the Securities Act of 1933, the Securities Exchange Act
of 1934 and the Investment Company Act of 1940 with respect to any insurance or
annuity contracts or other agreements providing for allocation of amounts to
Separate Accounts of the Company, and related units or interests in Separate
Accounts: registration statements on any form or forms under the Securities Act
of 1933 and the Investment Company Act of 1940 and annual reports on any form or
forms under the Securities Exchange Act of 1934, and any and all amendments and
supplements thereto, with all exhibits and all instruments necessary or
appropriate in connection therewith, each of said attorneys-in-fact and agents
and his, her or their substitutes being empowered to act with or without the
others, and to have full power and authority to do or cause to be done in the
name and on behalf of the undersigned each and every act and thing requisite and
necessary or appropriate with respect thereto to be done in and about the
premises in order to effectuate the same, as fully to all intents and purposes
as the undersigned might or could do in person, hereby ratifying and confirming
all that said attorneys-in-fact and agents, or any of them, may do or cause to
be done by virtue hereof.
IN WITNESS WHEREOF, the undersigned has hereunto set his hand this 5th day
of February, 1999.
/s/ George T. Lowy
------------------
George T. Lowy
59838v2
<PAGE>
POWER OF ATTORNEY
KNOW ALL PERSONS BY THESE PRESENTS, that the undersigned officer or
Director of The Equitable Life Assurance Society of the United States (the
"Company"), a New York stock life insurance company, hereby constitutes and
appoints Jerome S. Golden, Mark A. Hug, James D. Goodwin, Pauline Sherman,
Michael F. McNelis, Naomi J. Weinstein, Maureen K. Wolfson, Mildred Oliver, Mary
P. Breen and each of them (with full power to each of them to act alone), his or
her true and lawful attorney-in-fact and agent, with full power of substitution
to each, for him or her and on his or her behalf and in his or her name, place
and stead, to execute and file any of the documents referred to below relating
to registrations under the Securities Act of 1933, the Securities Exchange Act
of 1934 and the Investment Company Act of 1940 with respect to any insurance or
annuity contracts or other agreements providing for allocation of amounts to
Separate Accounts of the Company, and related units or interests in Separate
Accounts: registration statements on any form or forms under the Securities Act
of 1933 and the Investment Company Act of 1940 and annual reports on any form or
forms under the Securities Exchange Act of 1934, and any and all amendments and
supplements thereto, with all exhibits and all instruments necessary or
appropriate in connection therewith, each of said attorneys-in-fact and agents
and his, her or their substitutes being empowered to act with or without the
others, and to have full power and authority to do or cause to be done in the
name and on behalf of the undersigned each and every act and thing requisite and
necessary or appropriate with respect thereto to be done in and about the
premises in order to effectuate the same, as fully to all intents and purposes
as the undersigned might or could do in person, hereby ratifying and confirming
all that said attorneys-in-fact and agents, or any of them, may do or cause to
be done by virtue hereof.
IN WITNESS WHEREOF, the undersigned has hereunto set his hand this 10th day
of February, 1999.
/s/ Edward D. Miller
--------------------
Edward D. Miller
59838v2
<PAGE>
POWER OF ATTORNEY
KNOW ALL PERSONS BY THESE PRESENTS, that the undersigned officer or
Director of The Equitable Life Assurance Society of the United States (the
"Company"), a New York stock life insurance company, hereby constitutes and
appoints Jerome S. Golden, Mark A. Hug, James D. Goodwin, Pauline Sherman,
Michael F. McNelis, Naomi J. Weinstein, Maureen K. Wolfson, Mildred Oliver, Mary
P. Breen and each of them (with full power to each of them to act alone), his or
her true and lawful attorney-in-fact and agent, with full power of substitution
to each, for him or her and on his or her behalf and in his or her name, place
and stead, to execute and file any of the documents referred to below relating
to registrations under the Securities Act of 1933, the Securities Exchange Act
of 1934 and the Investment Company Act of 1940 with respect to any insurance or
annuity contracts or other agreements providing for allocation of amounts to
Separate Accounts of the Company, and related units or interests in Separate
Accounts: registration statements on any form or forms under the Securities Act
of 1933 and the Investment Company Act of 1940 and annual reports on any form or
forms under the Securities Exchange Act of 1934, and any and all amendments and
supplements thereto, with all exhibits and all instruments necessary or
appropriate in connection therewith, each of said attorneys-in-fact and agents
and his, her or their substitutes being empowered to act with or without the
others, and to have full power and authority to do or cause to be done in the
name and on behalf of the undersigned each and every act and thing requisite and
necessary or appropriate with respect thereto to be done in and about the
premises in order to effectuate the same, as fully to all intents and purposes
as the undersigned might or could do in person, hereby ratifying and confirming
all that said attorneys-in-fact and agents, or any of them, may do or cause to
be done by virtue hereof.
IN WITNESS WHEREOF, the undersigned has hereunto set his hand this 22th day
of February, 1999.
/s/ Didier Pineau Valencienne
-----------------------------
Didier Pineau Valencienne
59838v2
<PAGE>
POWER OF ATTORNEY
KNOW ALL PERSONS BY THESE PRESENTS, that the undersigned officer or
Director of The Equitable Life Assurance Society of the United States (the
"Company"), a New York stock life insurance company, hereby constitutes and
appoints Jerome S. Golden, Mark A. Hug, James D. Goodwin, Pauline Sherman,
Michael F. McNelis, Naomi J. Weinstein, Maureen K. Wolfson, Mildred Oliver, Mary
P. Breen and each of them (with full power to each of them to act alone), his or
her true and lawful attorney-in-fact and agent, with full power of substitution
to each, for him or her and on his or her behalf and in his or her name, place
and stead, to execute and file any of the documents referred to below relating
to registrations under the Securities Act of 1933, the Securities Exchange Act
of 1934 and the Investment Company Act of 1940 with respect to any insurance or
annuity contracts or other agreements providing for allocation of amounts to
Separate Accounts of the Company, and related units or interests in Separate
Accounts: registration statements on any form or forms under the Securities Act
of 1933 and the Investment Company Act of 1940 and annual reports on any form or
forms under the Securities Exchange Act of 1934, and any and all amendments and
supplements thereto, with all exhibits and all instruments necessary or
appropriate in connection therewith, each of said attorneys-in-fact and agents
and his, her or their substitutes being empowered to act with or without the
others, and to have full power and authority to do or cause to be done in the
name and on behalf of the undersigned each and every act and thing requisite and
necessary or appropriate with respect thereto to be done in and about the
premises in order to effectuate the same, as fully to all intents and purposes
as the undersigned might or could do in person, hereby ratifying and confirming
all that said attorneys-in-fact and agents, or any of them, may do or cause to
be done by virtue hereof.
IN WITNESS WHEREOF, the undersigned has hereunto set his hand this 5th day
of February, 1999.
/s/ George J. Sella, Jr.
------------------------
George J. Sella, Jr.
59838v2
<PAGE>
POWER OF ATTORNEY
KNOW ALL PERSONS BY THESE PRESENTS, that the undersigned officer or
Director of The Equitable Life Assurance Society of the United States (the
"Company"), a New York stock life insurance company, hereby constitutes and
appoints Jerome S. Golden, Mark A. Hug, James D. Goodwin, Pauline Sherman,
Michael F. McNelis, Naomi J. Weinstein, Maureen K. Wolfson, Mildred Oliver, Mary
P. Breen and each of them (with full power to each of them to act alone), his or
her true and lawful attorney-in-fact and agent, with full power of substitution
to each, for him or her and on his or her behalf and in his or her name, place
and stead, to execute and file any of the documents referred to below relating
to registrations under the Securities Act of 1933, the Securities Exchange Act
of 1934 and the Investment Company Act of 1940 with respect to any insurance or
annuity contracts or other agreements providing for allocation of amounts to
Separate Accounts of the Company, and related units or interests in Separate
Accounts: registration statements on any form or forms under the Securities Act
of 1933 and the Investment Company Act of 1940 and annual reports on any form or
forms under the Securities Exchange Act of 1934, and any and all amendments and
supplements thereto, with all exhibits and all instruments necessary or
appropriate in connection therewith, each of said attorneys-in-fact and agents
and his, her or their substitutes being empowered to act with or without the
others, and to have full power and authority to do or cause to be done in the
name and on behalf of the undersigned each and every act and thing requisite and
necessary or appropriate with respect thereto to be done in and about the
premises in order to effectuate the same, as fully to all intents and purposes
as the undersigned might or could do in person, hereby ratifying and confirming
all that said attorneys-in-fact and agents, or any of them, may do or cause to
be done by virtue hereof.
IN WITNESS WHEREOF, the undersigned has hereunto set his hand this 25th day
of March, 1999.
/s/ Peter J. Tobin
------------------
Peter J. Tobin
58017/36
<PAGE>
POWER OF ATTORNEY
KNOW ALL PERSONS BY THESE PRESENTS, that the undersigned officer or
Director of The Equitable Life Assurance Society of the United States (the
"Company"), a New York stock life insurance company, hereby constitutes and
appoints Jerome S. Golden, Mark A. Hug, James D. Goodwin, Pauline Sherman,
Michael F. McNelis, Naomi J. Weinstein, Maureen K. Wolfson, Mildred Oliver, Mary
P. Breen and each of them (with full power to each of them to act alone), his or
her true and lawful attorney-in-fact and agent, with full power of substitution
to each, for him or her and on his or her behalf and in his or her name, place
and stead, to execute and file any of the documents referred to below relating
to registrations under the Securities Act of 1933, the Securities Exchange Act
of 1934 and the Investment Company Act of 1940 with respect to any insurance or
annuity contracts or other agreements providing for allocation of amounts to
Separate Accounts of the Company, and related units or interests in Separate
Accounts: registration statements on any form or forms under the Securities Act
of 1933 and the Investment Company Act of 1940 and annual reports on any form or
forms under the Securities Exchange Act of 1934, and any and all amendments and
supplements thereto, with all exhibits and all instruments necessary or
appropriate in connection therewith, each of said attorneys-in-fact and agents
and his, her or their substitutes being empowered to act with or without the
others, and to have full power and authority to do or cause to be done in the
name and on behalf of the undersigned each and every act and thing requisite and
necessary or appropriate with respect thereto to be done in and about the
premises in order to effectuate the same, as fully to all intents and purposes
as the undersigned might or could do in person, hereby ratifying and confirming
all that said attorneys-in-fact and agents, or any of them, may do or cause to
be done by virtue hereof.
IN WITNESS WHEREOF, the undersigned has hereunto set his hand this 10th day
of February, 1999.
/s/ Stanley B. Tulin
--------------------
Stanley B. Tulin
59838v2
<PAGE>
POWER OF ATTORNEY
KNOW ALL PERSONS BY THESE PRESENTS, that the undersigned officer or
Director of The Equitable Life Assurance Society of the United States (the
"Company"), a New York stock life insurance company, hereby constitutes and
appoints Jerome S. Golden, Mark A. Hug, James D. Goodwin, Pauline Sherman,
Michael F. McNelis, Naomi J. Weinstein, Maureen K. Wolfson, Mildred Oliver, Mary
P. Breen and each of them (with full power to each of them to act alone), his or
her true and lawful attorney-in-fact and agent, with full power of substitution
to each, for him or her and on his or her behalf and in his or her name, place
and stead, to execute and file any of the documents referred to below relating
to registrations under the Securities Act of 1933, the Securities Exchange Act
of 1934 and the Investment Company Act of 1940 with respect to any insurance or
annuity contracts or other agreements providing for allocation of amounts to
Separate Accounts of the Company, and related units or interests in Separate
Accounts: registration statements on any form or forms under the Securities Act
of 1933 and the Investment Company Act of 1940 and annual reports on any form or
forms under the Securities Exchange Act of 1934, and any and all amendments and
supplements thereto, with all exhibits and all instruments necessary or
appropriate in connection therewith, each of said attorneys-in-fact and agents
and his, her or their substitutes being empowered to act with or without the
others, and to have full power and authority to do or cause to be done in the
name and on behalf of the undersigned each and every act and thing requisite and
necessary or appropriate with respect thereto to be done in and about the
premises in order to effectuate the same, as fully to all intents and purposes
as the undersigned might or could do in person, hereby ratifying and confirming
all that said attorneys-in-fact and agents, or any of them, may do or cause to
be done by virtue hereof.
IN WITNESS WHEREOF, the undersigned has hereunto set his hand this 7th day
of February, 1999.
/s/ Dave H. Williams
--------------------
Dave H. Williams
59838v2
