|
|
|
|
|
|
|
|
|
|
Previous: VANGUARD SPECIALIZED PORTFOLIOS INC, 485APOS, 1996-02-22 |
Next: LNB BANCORP INC, PRE 14A, 1996-02-22 |
<PAGE> 1
THE TRAVELERS FUND UL
FOR VARIABLE LIFE INSURANCE
ANNUAL REPORT
December 31, 1995
[TRAVELERS GROUP LOGO]
THE TRAVELERS INSURANCE COMPANY
ONE TOWER SQUARE
HARTFORD, CONNECTICUT 06183
<PAGE> 2
THE TRAVELERS FUND UL
FOR VARIABLE LIFE INSURANCE
STATEMENT OF ASSETS AND LIABILITIES
DECEMBER 31, 1995
<TABLE>
<S> <C>
ASSETS:
Investments in eligible funds at market value:
The Travelers Variable Products Funds, 1,878,268 shares (cost $6,952,620) . . . . . . . . . . . $ 7,391,226
Templeton Variable Products Series Fund, 222,079 shares (cost $3,789,970) . . . . . . . . . . . 4,316,102
Fidelity's Variable Insurance Products Fund, 262,013 shares (cost $4,759,718) . . . . . . . . . 5,459,211
Fidelity's Variable Insurance Products Fund II, 150,252 shares (cost $2,127,550) . . . . . . . 2,372,477
Dreyfus Stock Index Fund, 19,047 shares (cost $294,821) . . . . . . . . . . . . . . . . . . . . 327,609
American Odyssey Funds, Inc., 26,030 shares (cost $347,967) . . . . . . . . . . . . . . . . . . 357,659
Smith Barney/Travelers Series Fund Inc., 7,844 shares (cost $92,977) . . . . . . . . . . . . . 95,755
Smith Barney Series Fund, 164 shares (cost $2,096) . . . . . . . . . . . . . . . . . . . . . . 2,084
Dividends receivable . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 27,273
Receivable for premium payments and transfers from other Travelers accounts . . . . . . . . . . . 360,529
Other assets . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 422
----------------
Total Assets . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 20,710,347
----------------
LIABILITIES:
Payable for contract surrenders and transfers to other Travelers accounts . . . . . . . . . . . . 18,777
Accrued liabilities . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 1,869
----------------
Total Liabilities . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 20,646
----------------
NET ASSETS . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $ 20,689,701
================
</TABLE>
See Notes to Financial Statements
-1-
<PAGE> 3
THE TRAVELERS FUND UL
FOR VARIABLE LIFE INSURANCE
STATEMENT OF OPERATIONS
FOR THE YEAR ENDED DECEMBER 31, 1995
<TABLE>
<S> <C> <C>
INVESTMENT INCOME:
Dividends . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $ 308,603
EXPENSES:
Insurance charges . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $ 75,850
Administrative charges . . . . . . . . . . . . . . . . . . . . . . . . . . . 148
-----------------
Total expenses . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 75,998
-----------------
Net investment income . . . . . . . . . . . . . . . . . . . . . . . . . . . 232,605
-----------------
REALIZED GAIN AND CHANGE IN UNREALIZED GAIN (LOSS) ON INVESTMENTS:
Realized gain from investment transactions:
Proceeds from investments sold . . . . . . . . . . . . . . . . . . . . . . . 4,961,292
Cost of investments sold . . . . . . . . . . . . . . . . . . . . . . . . . . 4,810,313
-----------------
Net realized gain . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 150,979
Change in unrealized gain (loss) on investments:
Unrealized loss at December 31, 1994 . . . . . . . . . . . . . . . . . . . . (79,932)
Unrealized gain at December 31, 1995 . . . . . . . . . . . . . . . . . . . . 1,954,404
-----------------
Net change in unrealized gain (loss) for the year . . . . . . . . . . . . . 2,034,336
-----------------
Net realized gain and change in unrealized gain (loss) . . . . . . . . . . 2,185,315
-----------------
Net increase in net assets resulting from operations . . . . . . . . . . . . . $ 2,417,920
-----------------
</TABLE>
See Notes to Financial Statements
-2-
<PAGE> 4
THE TRAVELERS FUND UL
FOR VARIABLE LIFE INSURANCE
STATEMENT OF CHANGES IN NET ASSETS
FOR THE YEARS ENDED DECEMBER 31, 1995 AND 1994
<TABLE>
<CAPTION>
1995 1994
---- ----
<S> <C> <C>
OPERATIONS:
Net investment income . . . . . . . . . . . . . . . . . . . . . . . . . . . . $ 232,605 $ 94,073
Net realized gain (loss) from investment transactions . . . . . . . . . . . . . 150,979 (6,549)
Net change in unrealized gain (loss) on investments . . . . . . . . . . . . . . 2,034,336 (140,954)
------------- ------------
Net increase (decrease) in net assets resulting from operations . . . . . . . 2,417,920 (53,430)
------------- ------------
UNIT TRANSACTIONS:
Participant premium payments
(applicable to 10,466,712 and 4,481,114 units, respectively) . . . . . . . . 12,301,017 5,311,444
Participant transfers from other Travelers accounts
(applicable to 4,576,712 and 4,833,697 units, respectively) . . . . . . . . . 5,501,026 5,175,800
Contract surrenders
(applicable to 1,594,372 and 723,287 units, respectively) . . . . . . . . . . (1,932,840) (835,173)
Participant transfers to other Travelers accounts
(applicable to 3,881,875 and 2,824,076 units, respectively) . . . . . . . . . (5,170,119) (3,873,682)
Other payments to participants
(applicable to 1,265 units) . . . . . . . . . . . . . . . . . . . . . . . . . (1,498) -
------------- ------------
Net increase in net assets resulting from unit transactions . . . . . . . . 10,697,586 5,778,389
------------- ------------
Net increase in net assets . . . . . . . . . . . . . . . . . . . . . . . . 13,115,506 5,724,959
NET ASSETS:
Beginning of year . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 7,574,195 1,849,236
------------- ------------
End of year . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $ 20,689,701 $ 7,574,195
============= ============
</TABLE>
See Notes to Financial Statements
-3-
<PAGE> 5
NOTES TO FINANCIAL STATEMENTS
1. SIGNIFICANT ACCOUNTING POLICIES
The Travelers Fund UL for Variable Life Insurance ("Fund UL") is a
separate account of The Travelers Insurance Company ("The Travelers"), an
indirect wholly owned subsidiary of Travelers Group Inc., and is available
for funding certain variable life insurance contracts issued by The
Travelers. Fund UL is registered under the Investment Company Act of
1940, as amended, as a unit investment trust. The Travelers interest in
the net assets of Fund UL was $3,684,328 at December 31, 1995.
Premium payments applied to Fund UL are invested in one or more eligible
funds in accordance with the selection made by the owner. As of December
31, 1995, the eligible funds available under Fund UL are: Managed Assets
Trust; High Yield Bond Trust; Capital Appreciation Fund; Cash Income
Trust; U.S. Government Securities Portfolio, Utilities Portfolio, Zero
Coupon Bond Fund Portfolio Series 1998, Zero Coupon Bond Fund Portfolio
Series 2000 and Zero Coupon Bond Fund Portfolio Series 2005 of The
Travelers Series Trust; Smith Barney Income and Growth Portfolio, Alliance
Growth Portfolio, Smith Barney High Income Portfolio, and MFS Total Return
Portfolio of the Smith Barney/Travelers Series Fund Inc.; the Total Return
Portfolio of the Smith Barney Series Fund (all of which are managed by
affiliates of The Travelers); Templeton Bond Fund, Templeton Stock Fund
and Templeton Asset Allocation Fund of Templeton Variable Products Series
Fund; High Income Portfolio, Growth Portfolio and Equity-Income Portfolio
of Fidelity's Variable Insurance Products Fund; Asset Manager Portfolio of
Fidelity's Variable Insurance Products Fund II; and Dreyfus Stock Index
Fund. All of the funds are Massachusetts business trusts, except for
Smith Barney/Travelers Series Fund Inc. and Dreyfus Stock Index Fund which
are incorporated under Maryland law. Not all funds are available in all
states.
Effective July 12, 1995, the following funds were no longer available to
new contract owners under Fund UL. These funds are: American Odyssey Core
Equity Fund, American Odyssey Emerging Opportunities Fund, American
Odyssey International Equity Fund, American Odyssey Long-Term Bond Fund,
American Odyssey Intermediate-Term Bond Fund and American Odyssey
Short-Term Bond Fund of American Odyssey Funds, Inc.
The following is a summary of significant accounting policies consistently
followed by Fund UL in the preparation of its financial statements.
SECURITY VALUATION. Investments are valued daily at the net asset values
per share of the underlying funds.
FEDERAL INCOME TAXES. The operations of Fund UL form a part of the total
operations of The Travelers and are not taxed separately. The Travelers
is taxed as a life insurance company under the Internal Revenue Code of
1986, as amended (the "Code"). Under existing federal income tax law, no
taxes are payable on the investment income of Fund UL. Fund UL is not
taxed as a "regulated investment company" under Subchapter M of the Code.
OTHER. The preparation of financial statements in conformity with
generally accepted accounting principles requires management to make
estimates and assumptions that affect the reported amounts of assets and
liabilities and disclosure of contingent assets and liabilities at the
date of the financial statements and the reported amounts of revenues and
expenses during the reporting period. Actual results could differ from
those estimates.
Security transactions are accounted for on the trade date. Dividend
income is recorded on the ex-dividend date.
2. INVESTMENTS
Purchases and sales of investments aggregated $15,569,717 and $4,810,313,
respectively, for the year ended December 31, 1995. Realized gains and
losses from investment transactions are reported on an identified-cost
basis. The cost of investments in eligible funds was $18,367,719 at
December 31, 1995. Gross unrealized appreciation for all investments at
December 31, 1995 was $1,956,142. Gross unrealized depreciation for all
investments at December 31, 1995 was $1,738.
-4-
<PAGE> 6
NOTES TO FINANCIAL STATEMENTS - CONTINUED
3. CONTRACT CHARGES
Insurance charges and administrative charges up to a maximum of 0.80% and
0.10%, respectively, of the value of Fund UL on an annual basis, are
allowed for mortality and expense risks and administrative expenses
assumed by The Travelers. For Price I contracts (all Invest Contracts and
MarketLife Contracts issued prior to July 12, 1995, and MarketLife
Contracts issued on or after July 12, 1995 where state approval for
Enhanced MarketLife is pending), the insurance charges were 0.60% and the
administrative charges were waived by The Travelers for the year ended
December 31, 1995. For Price II contracts (all MarketLife Contracts
issued on or after July 12, 1995, where state approval has been received),
the insurance charges were 0.80% and the administrative charges were 0.10%
for the year ended December 31, 1995.
The Travelers received contingent surrender charges on full or partial
contract surrenders. Such charges are computed by applying various
percentages to premiums and/or stated contract amounts. The Travelers
received $23,577 and $8,349 in satisfaction of such surrender charges for
the years ended December 31, 1995 and 1994, respectively.
4. NET CONTRACT OWNERS' EQUITY
<TABLE>
<CAPTION>
DECEMBER 31, 1995
----------------------------------------------------
UNIT NET
UNITS VALUE ASSETS
----- ----- ------
<S> <C> <C> <C>
Managed Assets Trust
Price I . . . . . . . . . . . . . . . . . . . . . . . . . 591,017 $ 1.972 $ 1,165,742
Price II . . . . . . . . . . . . . . . . . . . . . . . . 14,541 1.970 28,646
High Yield Bond Trust . . . . . . . . . . . . . . . . . . . . 150,362 1.881 282,885
Capital Appreciation Fund
Price I . . . . . . . . . . . . . . . . . . . . . . . . . 635,922 1.697 1,078,849
Price II . . . . . . . . . . . . . . . . . . . . . . . . 53,012 1.694 89,824
Cash Income Trust
Price I . . . . . . . . . . . . . . . . . . . . . . . . . 723,616 1.435 1,038,229
Price II . . . . . . . . . . . . . . . . . . . . . . . . 448,613 1.433 642,862
The Travelers Series Trust
U.S. Government Securities Portfolio
Price I . . . . . . . . . . . . . . . . . . . . . . . . . 120,735 1.151 139,017
Price II . . . . . . . . . . . . . . . . . . . . . . . . 24,747 1.150 28,459
Utilities Portfolio
Price I . . . . . . . . . . . . . . . . . . . . . . . . . 47,425 1.275 60,482
Price II . . . . . . . . . . . . . . . . . . . . . . . . 7,850 1.274 9,999
Zero Coupon Bond Fund Portfolio Series 1998
Price I . . . . . . . . . . . . . . . . . . . . . . . . . 1,000,000 1.024 1,023,638
Price II . . . . . . . . . . . . . . . . . . . . . . . . - 1.023 -
Zero Coupon Bond Fund Portfolio Series 2000
Price I . . . . . . . . . . . . . . . . . . . . . . . . . 1,000,000 1.030 1,029,637
Price II . . . . . . . . . . . . . . . . . . . . . . . . - 1.029 -
Zero Coupon Bond Fund Portfolio Series 2005
Price I . . . . . . . . . . . . . . . . . . . . . . . . . 1,000,000 1.047 1,046,616
Price II . . . . . . . . . . . . . . . . . . . . . . . . 2,884 1.046 3,017
Templeton Variable Products Series Fund
Templeton Bond Fund
Price I . . . . . . . . . . . . . . . . . . . . . . . . . 134,329 1.075 144,457
Price II . . . . . . . . . . . . . . . . . . . . . . . . 5,080 1.074 5,456
Templeton Stock Fund
Price I . . . . . . . . . . . . . . . . . . . . . . . . . 1,915,203 1.195 2,288,806
Price II . . . . . . . . . . . . . . . . . . . . . . . . 102,203 1.194 121,988
Templeton Asset Allocation Fund
Price I . . . . . . . . . . . . . . . . . . . . . . . . . 1,471,489 1.153 1,696,850
Price II . . . . . . . . . . . . . . . . . . . . . . . . 67,028 1.152 77,198
</TABLE>
-5-
<PAGE> 7
NOTES TO FINANCIAL STATEMENTS - CONTINUED
4. NET CONTRACT OWNERS' EQUITY (CONTINUED)
<TABLE>
<CAPTION>
UNIT NET
UNITS VALUE ASSETS
----- ----- ------
<S> <C> <C> <C>
Fidelity's Variable Insurance Products Fund
High Income Portfolio
Price I . . . . . . . . . . . . . . . . . . . . . . . . . 637,203 $ 1.143 $ 728,312
Price II . . . . . . . . . . . . . . . . . . . . . . . . 62,746 1.142 71,629
Growth Portfolio
Price I . . . . . . . . . . . . . . . . . . . . . . . . . 1,845,407 1.314 2,425,081
Price II . . . . . . . . . . . . . . . . . . . . . . . . 157,672 1.313 206,941
Equity-Income Portfolio
Price I . . . . . . . . . . . . . . . . . . . . . . . . . 1,412,750 1.370 1,934,935
Price II . . . . . . . . . . . . . . . . . . . . . . . . 95,794 1.368 131,039
Fidelity's Variable Insurance Products Fund II
Asset Manager Portfolio
Price I . . . . . . . . . . . . . . . . . . . . . . . . . 2,186,204 1.069 2,336,175
Price II . . . . . . . . . . . . . . . . . . . . . . . . 42,204 1.067 45,043
Dreyfus Stock Index Fund
Price I . . . . . . . . . . . . . . . . . . . . . . . . . 182,879 1.369 250,285
Price II . . . . . . . . . . . . . . . . . . . . . . . . 61,022 1.367 83,410
American Odyssey Funds, Inc.
American Odyssey Core Equity Fund . . . . . . . . . . . . . 31,923 1.383 44,161
American Odyssey Emerging Opportunities Fund . . . . . . . 156,674 1.426 223,351
American Odyssey International Equity Fund . . . . . . . . 58,634 1.113 65,236
American Odyssey Long-Term Bond Fund . . . . . . . . . . . 31,305 1.218 38,115
American Odyssey Intermediate-Term Bond Fund . . . . . . . 356 1.056 375
American Odyssey Short-Term Bond Fund . . . . . . . . . . . 2,102 1.110 2,333
Smith Barney/Travelers Series Fund Inc.
Alliance Growth Portfolio
Price I . . . . . . . . . . . . . . . . . . . . . . . . . 10,380 1.044 10,833
Price II . . . . . . . . . . . . . . . . . . . . . . . . 9,504 1.043 9,907
Smith Barney Income and Growth Portfolio
Price I . . . . . . . . . . . . . . . . . . . . . . . . . 123 1.068 131
Price II . . . . . . . . . . . . . . . . . . . . . . . . 960 1.067 1,025
MFS Total Return Portfolio
Price I . . . . . . . . . . . . . . . . . . . . . . . . . 55,860 1.087 60,722
Price II . . . . . . . . . . . . . . . . . . . . . . . . 14,648 1.086 15,906
Smith Barney Series Fund
Total Return Portfolio
Price I . . . . . . . . . . . . . . . . . . . . . . . . . 183 1.036 190
Price II . . . . . . . . . . . . . . . . . . . . . . . . 1,846 1.035 1,909
-------------
Net Contract Owners' Equity . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $ 20,689,701
-------------
</TABLE>
-6-
<PAGE> 8
NOTES TO FINANCIAL STATEMENTS - CONTINUED
5. STATEMENT OF INVESTMENTS
<TABLE>
<CAPTION>
NO. OF MARKET
INVESTMENT OPTIONS SHARES VALUE
-------------- ----------------
<S> <C> <C>
THE TRAVELERS VARIABLE PRODUCTS FUNDS (36.4%)
Managed Assets Trust (Cost $1,077,815) 76,843 $ 1,191,073
High Yield Bond Trust (Cost $262,753) 31,025 279,229
Capital Appreciation Fund (Cost $985,701) 35,069 1,163,591
Cash Income Trust (Cost $1,416,684) 1,416,494 1,416,684
U.S. Government Securities Portfolio (Cost $147,464) 13,452 167,203
Utilities Portfolio (Cost $62,955) 5,470 70,284
Zero Coupon Fund Portfolio Series 1998 (Cost $998,753) 99,875 1,023,722
Zero Coupon Fund Portfolio Series 2000 (Cost $998,759) 99,876 1,029,721
Zero Coupon Fund Portfolio Series 2005 (Cost $1,001,736) 100,164 1,049,719
----------------
Total Cost $6,952,620 7,391,226
----------------
TEMPLETON VARIABLE PRODUCTS SERIES Fund (21.2%)
Templeton Bond Fund (Cost $138,667) 12,593 149,600
Templeton Stock Fund (Cost $2,104,447) 115,084 2,398,348
Templeton Asset Allocation Fund (Cost $1,546,856) 94,402 1,768,154
----------------
Total Cost $3,789,970 4,316,102
----------------
FIDELITY'S VARIABLE INSURANCE PRODUCTS FUND (26.9%)
High Income Portfolio (Cost $739,082) 66,070 796,145
Growth Portfolio (Cost $2,226,636) 89,352 2,609,065
Equity-Income Portfolio (Cost $1,794,000) 106,591 2,054,001
----------------
Total Cost $4,759,718 5,459,211
----------------
FIDELITY'S VARIABLE INSURANCE PRODUCTS FUND II (11.7%)
Asset Manager Portfolio (Cost $2,127,550)
Total Cost $2,127,550 150,252 2,372,477
----------------
DREYFUS STOCK INDEX FUND (1.6%)
Total Cost $294,821 19,047 327,609
----------------
AMERICAN ODYSSEY FUNDS, INC. (1.8%)
American Odyssey Core Equity Fund (Cost $39,054) 3,168 42,197
American Odyssey Emerging Opportunities Fund (Cost $209,565) 14,238 213,853
American Odyssey International Equity Fund (Cost $60,399) 5,053 64,075
American Odyssey Long-Term Bond Fund (Cost $36,337) 3,324 34,996
American Odyssey Short-Term Bond Fund (Cost $2,290) 217 2,222
American Odyssey Intermediate-Term Bond Fund (Cost $322) 30 316
----------------
Total Cost $347,967 357,659
----------------
SMITH BARNEY/TRAVELERS SERIES FUND INC. (0.4%)
Alliance Growth Portfolio (Cost $20,428) 1,495 20,118
Smith Barney Income And Growth Portfolio (Cost $1,137) 88 1,136
MFS Total Return Portfolio (Cost $71,412) 6,261 74,501
----------------
Total Cost $92,977 95,755
----------------
SMITH BARNEY SERIES FUND (0.0%)
Total Return Portfolio (Cost $2,096)
Total Cost $2,096 164 2,084
----------------
TOTAL INVESTMENT OPTIONS (100.0%)
(COST $18,367,719) $ 20,322,123
================
</TABLE>
-7-
<PAGE> 9
NOTES TO FINANCIAL STATEMENTS - continued
6. SCHEDULE OF FUND UL OPERATIONS AND CHANGES IN NET ASSETS
FOR THE YEARS ENDED DECEMBER 31, 1995 AND 1994
<TABLE>
<CAPTION>
CAPITAL
MANAGED ASSETS TRUST HIGH YIELD BOND TRUST APPRECIATION FUND
------------------------- ---------------------------- ------------------------
1995 1994 1995 1994 1995 1994
---- ---- ---- ---- ---- ----
<S> <C> <C> <C> <C> <C> <C>
INVESTMENT INCOME:
Dividends. . . . . . . . . . . . . . . . $ 40,936 $ 70,237 $ 18,822 $ 11,348 $ 2,760 $ 841
----------- ------------- ---------- ---------- ------------- -----------
EXPENSES:
Insurance charges . . . . . . . . . . . . 5,330 5,908 1,571 772 4,395 1,554
Administrative charges. . . . . . . . . . 3 - - - 8 -
----------- ------------- ---------- ---------- -------------- ----------
Net investment income (loss) . . . . . . 35,603 64,329 17,251 10,576 (1,643) (713)
----------- ------------- ---------- ---------- -------------- ----------
REALIZED GAIN (LOSS) AND CHANGE IN
UNREALIZED GAIN (LOSS) ON INVESTMENTS:
Realized gain (loss) from investment
transactions
Proceeds from investments sold. . . . . 376,022 238,758 77,846 101,106 96,468 39,915
Cost of investments sold . . . . . . . 359,634 242,915 81,477 106,114 81,467 33,059
----------- ------------- ---------- ---------- ------------- -----------
Net realized gain (loss) . . . . . . . 16,388 (4,157) (3,631) (5,008) 15,001 6,856
----------- ------------- ---------- ---------- ------------- -----------
Change in unrealized gain (loss) on
investments:
Unrealized gain (loss) beginning of
year . . . . . . . . . . . . . . . . . (39,140) 46,522 (4,540) 2,981 (3,117) 11,519
Unrealized gain (loss) end of year. . . 113,258 (39,140) 16,476 (4,540) 177,890 (3,117)
----------- ------------- ---------- ---------- ------------- -----------
Net change in unrealized gain (loss)
for the year . . . . . . . . . . . . 152,398 (85,662) 21,016 (7,521) 181,007 (14,636)
----------- ------------- ---------- ---------- ------------- -----------
Net increase (decrease) in net assets
resulting from operations. . . . . . . 204,389 (25,490) 34,636 (1,953) 194,365 (8,493)
----------- ------------- ---------- ---------- ------------- -----------
UNIT TRANSACTIONS:
Participant premium payments . . . . . . 252,223 183,898 97,670 45,381 329,154 152,844
Participant transfers from other
Travelers accounts . . . . . . . . . . . 206,853 69,184 8,164 149,268 407,754 187,041
Contract surrenders. . . . . . . . . . . (213,318) (123,712) (63,621) (40,505) (126,174) (55,126)
Participant transfers to other Travelers
accounts . . . . . . . . . . . . . . . (80,934) (185,767) (24,590) (74,029) (29,551) (24,764)
Other payments to participants . . . . . - - - - (324)
----------- ------------- ---------- ---------- ------------- -----------
Net increase (decrease) in net assets
resulting from unit transactions . . 164,824 (56,397) 17,623 80,115 580,859 259,995
----------- ------------- ---------- ---------- ------------- -----------
Net increase (decrease) in net assets 369,213 (81,887) 52,259 78,162 775,224 251,502
NET ASSETS:
Beginning of year . . . . . . . . . . . 825,175 907,062 230,626 152,464 393,449 141,947
----------- ------------- ----------- ---------- ------------- -----------
End of year . . . . . . . . . . . . . . $ 1,194,388 $ 825,175 $ 282,885 $ 230,626 $ 1,168,673 $ 393,449
=========== ============= =========== ========== ============= ===========
</TABLE>
-8-
<PAGE> 10
NOTES TO FINANCIAL STATEMENTS - CONTINUED
<TABLE>
<CAPTION>
ZERO COUPON BOND
CASH U.S. GOVERNMENT FUND PORTFOLIO
INCOME TRUST SECURITIES PORTFOLIO UTILITIES PORTFOLIO SERIES 1998
--------------------------------- ---------------------------- --------------------------- ----------------------------
1995 1994 1995 1994 1995 1994 1995 1994
---- ---- ---- ---- ---- ---- ---- ----
<S> <C> <C> <C> <C> <C> <C> <C>
$ 51,414 $ 29,710 $ 6,396 $ - $ 57 $ - $ - $ -
-------------- -------------- ----------- ------------ ----------- ----------- ------------- ------------
7,336 6,114 776 324 200 3 1,346 -
70 - 2 - 1 - - -
-------------- -------------- ----------- ------------ ----------- ----------- ------------- ------------
44,008 23,596 5,618 (324) (144) (3) (1,346) -
-------------- -------------- ----------- ------------ ----------- ----------- ------------- ------------
3,122,783 2,478,281 43,281 8,194 22,221 46 1,261 -
3,122,783 2,478,281 42,077 8,507 20,300 47 1,246 -
-------------- -------------- ----------- ------------ ----------- ----------- ------------- ------------
- - 1,204 (313) 1,921 (1) 15 -
-------------- -------------- ----------- ------------ ----------- ----------- ------------- ------------
- - (680) - (1) - - -
- - 19,739 (680) 7,329 (1) 24,969 -
-------------- -------------- ----------- ------------ ----------- ----------- ------------- ------------
- - 20,419 (680) 7,330 (1) 24,969 -
-------------- -------------- ----------- ------------ ----------- ----------- ------------- ------------
44,008 23,596 27,241 (1,317) 9,107 (5) 23,638 -
-------------- -------------- ----------- ------------ ----------- ----------- ------------- ------------
3,808,981 2,960,609 52,081 32,322 30,285 2,180 1,000,000 -
809,577 1,334,856 29,366 86,590 43,375 305 - -
(209,087) (207,394) (17,273) (7,983) (5,130) (89) - -
(3,996,433) (3,535,385) (32,113) (1,438) (9,529) (18) - -
- - - - - - - -
-------------- -------------- ----------- ------------ ----------- ----------- ------------- ------------
413,038 552,686 32,061 109,491 59,001 2,378 1,000,000 -
-------------- -------------- ----------- ------------ ----------- ----------- ------------- ------------
457,046 576,282 59,302 108,174 68,108 2,373 1,023,638 -
1,224,045 647,763 108,174 - 2,373 - - -
-------------- -------------- ----------- ------------ ----------- ----------- ------------- ------------
$ 1,681,091 $ 1,224,045 $ 167,476 $ 108,174 $ 70,481 $ 2,373 $ 1,023,638 $ -
============== ============== =========== ============ =========== =========== ============= ============
</TABLE>
-9-
<PAGE> 11
NOTES TO FINANCIAL STATEMENTS - CONTINUED
6. SCHEDULE OF FUND UL OPERATIONS AND CHANGES IN NET ASSETS
FOR THE YEARS ENDED DECEMBER 31, 1995 AND 1994 (CONTINUED)
<TABLE>
<CAPTION>
ZERO COUPON BOND ZERO COUPON BOND
FUND PORTFOLIO FUND PORTFOLIO
SERIES 2000 SERIES 2005 TEMPLETON BOND FUND
------------------------- ------------------------ ---------------------------
1995 1994 1995 1994 1995 1994
---- ---- ---- ---- ---- ----
<S> <C> <C> <C> <C> <C> <C>
INVESTMENT INCOME:
Dividends . . . . . . . . . . . . . . . $ - $ - $ - $ - $ 5,066 $ 11
------------ --------- ----------- --------- ---------- ------------
EXPENSES:
Insurance charges . . . . . . . . . . . 1,341 - 1,346 - 813 160
Administrative charges . . . . . . . . - - - - - -
------------ --------- ----------- --------- ---------- ------------
Net investment income (loss) . . . . (1,341) - (1,346) - 4,253 (149)
------------ --------- ----------- --------- ---------- ------------
REALIZED GAIN (LOSS) AND CHANGE IN
UNREALIZED GAIN (LOSS) ON INVESTMENTS:
Realized gain (loss) from investment
transactions
Proceeds from investments sold . . . 1,257 - 1,190 - 62,279 24,059
Cost of investments sold . . . . . . 1,241 - 1,171 - 59,015 24,114
------------ --------- ----------- --------- ---------- ------------
Net realized gain (loss) . . . . . . 16 - 19 - 3,264 (55)
------------ --------- ----------- --------- ---------- ------------
Change in unrealized gain (loss) on
investments:
Unrealized gain (loss) beginning of year - - - - 332 -
Unrealized gain (loss) end of year . 30,962 - 47,983 - 10,933 332
------------ --------- ----------- --------- ---------- ------------
Net change in unrealized gain (loss) for
the year . . . . . . . . . . . . . . . 30,962 - 47,983 - 10,601 332
------------ --------- ----------- --------- ---------- ------------
Net increase (decrease) in net assets
resulting from operations . . . . . . 29,637 - 46,656 - 18,118 128
------------ --------- ----------- --------- ---------- ------------
UNIT TRANSACTIONS:
Participant premium payments . . . . . 1,000,000 - 1,003,016 - 105,490 44,718
Participant transfers from other
Travelers accounts . . . . . . . . . . - - - - 23,219 43,641
Contract surrenders . . . . . . . . . . - - (39) - (20,727) (5,011)
Participant transfers to other Travelers
accounts - - - - (49,818) (9,845)
Other payments to participants - - - - - -
------------ --------- ----------- --------- ---------- ------------
Net increase (decrease) in net assets
resulting from unit transactions . . 1,000,000 - 1,002,977 - 58,164 73,503
------------ --------- ----------- --------- ---------- ------------
Net increase (decrease) in net assets 1,029,637 - 1,049,633 - 76,282 73,631
NET ASSETS:
Beginning of year . . . . . . . . . . - - - - 73,631 -
------------ --------- ----------- --------- ---------- ------------
End of year . . . . . . . . . . . . . $ 1,029,637 $ - $ 1,049,633 $ - $ 149,913 $ 73,631
============ ========= =========== ========= ========== ============
</TABLE>
-10-
<PAGE> 12
NOTES TO FINANCIAL STATEMENTS - CONTINUED
<TABLE>
<CAPTION>
TEMPLETON ASSET FIDELITY'S HIGH FIDELITY'S
TEMPLETON STOCK FUND ALLOCATION FUND INCOME PORTFOLIO GROWTH PORTFOLIO
----------------------------- ------------------------------ ---------------------------- ----------------------------
1995 1994 1995 1994 1995 1994 1995 1994
---- ---- ---- ---- ---- ---- ---- ----
<S> <C> <C> <C> <C> <C> <C> <C>
$ 19,051 $ 120 $ 26,362 $ 97 $ 19,756 $ 408 $ 4,488 $ 651
------------ ------------ ------------- ------------- ------------ ----------- ----------- ------------
9,643 2,207 7,988 2,572 2,933 644 9,674 1,988
11 - 9 - 9 - 20 -
------------ ------------ ------------- ------------- ------------ ----------- ----------- ------------
9,397 (2,087) 18,365 (2,475) 16,814 (236) (5,206) (1,337)
------------ ------------ ------------- ------------- ------------ ----------- ----------- ------------
207,815 17,171 107,532 13,283 48,286 11,230 181,771 18,549
187,264 17,388 97,472 13,585 45,475 12,052 149,497 20,245
------------ ------------ ------------- ------------- ------------ ----------- ----------- ------------
20,551 (217) 10,060 (302) 2,811 (822) 32,274 (1,696)
------------ ------------ ------------- ------------- ------------ ----------- ----------- ------------
(19,006) - (10,005) - (924) - 30,533 -
293,901 (19,006) 221,298 (10,005) 57,063 (924) 382,429 30,533
------------ ------------ ------------- ------------- ------------ ----------- ----------- ------------
312,907 (19,006) 231,303 (10,005) 57,987 (924) 351,896 30,533
------------ ------------ ------------- ------------- ------------ ----------- ----------- ------------
342,855 (21,310) 259,728 (12,782) 77,612 (1,982) 378,964 27,500
------------ ------------ ------------- ------------- ------------ ----------- ----------- ------------
895,929 390,647 619,275 277,719 317,211 107,547 902,843 312,051
812,982 534,732 222,974 714,112 271,515 180,024 1,043,981 487,427
(268,346) (77,915) (157,512) (59,628) (83,202) (26,639) (277,564) (79,931)
(186,328) (12,082) (84,478) (4,995) (36,291) (5,415) (155,582) (7,667)
(370) - (365) - (439) - - -
------------ ------------ ------------- ------------- ------------ ----------- ----------- ------------
1,253,867 835,382 599,894 927,208 468,794 255,517 1,513,678 711,880
------------ ------------ ------------- ------------- ------------ ----------- ----------- ------------
1,596,722 814,072 859,622 914,426 546,406 253,535 1,892,642 739,380
814,072 - 914,426 - 253,535 - 739,380 -
------------ ------------ ------------- ------------- ------------ ----------- ----------- -------------
$ 2,410,794 $ 814,072 $ 1,774,048 $ 914,426 $ 799,941 $ 253,535 $ 2,632,022 $ 739,380
============ ============ ============= ============= ============ =========== =========== =============
</TABLE>
-11-
<PAGE> 13
NOTES TO FINANCIAL STATEMENTS - CONTINUED
6. SCHEDULE OF FUND UL OPERATIONS AND CHANGES IN NET ASSETS
FOR THE YEARS ENDED DECEMBER 31, 1995 AND 1994 (CONTINUED)
<TABLE>
<CAPTION>
FIDELITY'S EQUITY- FIDELITY'S ASSET DREYFUS STOCK
INCOME PORTFOLIO MANAGER PORTFOLIO INDEX FUND
--------------------------- ---------------------------- ------------------------
1995 1994 1995 1994 1995 1994
---- ---- ---- ---- ---- ----
<S> <C> <C> <C> <C> <C> <C>
INVESTMENT INCOME:
Dividends . . . . . . . . . . . . . . . $ 57,205 $ 5,526 $ 32,170 $ 871 $ 6,430 $ 807
------------ ----------- ------------ ------------- ----------- ---------
EXPENSES:
Insurance charges . . . . . . . . . . . 7,158 1,064 11,730 4,081 949 112
Administrative charges . . . . . . . . - - 4 - 9 -
------------ ----------- ------------ ------------- ----------- ---------
Net investment income (loss) . . . . 50,047 4,462 20,436 (3,210) 5,472 695
------------ ----------- ------------ ------------- ----------- ---------
REALIZED GAIN (LOSS) AND CHANGE IN
UNREALIZED GAIN (LOSS) ON INVESTMENTS:
Realized gain (loss) from investment
transactions
Proceeds from investments sold . . . 129,546 14,686 357,375 26,613 29,459 4,995
Cost of investments sold . . . . . . 106,630 14,486 348,343 27,788 23,404 4,858
------------ ----------- ------------ ------------- ----------- ---------
Net realized gain (loss) . . . . . . 22,916 200 9,032 (1,175) 6,055 137
------------ ----------- ------------ ------------- ----------- ---------
Change in unrealized gain (loss) on
investments:
Unrealized gain (loss) beginning of year (795) - (31,871) - (201) -
Unrealized gain (loss) end of year . 260,001 (795) 244,927 (31,871) 32,788 (201)
------------ ----------- ------------ ------------- ----------- ---------
Net change in unrealized gain (loss) for
the year. . . . . . . . . . . . . . . 260,796 (795) 276,798 (31,871) 32,989 (201)
------------ ----------- ------------ ------------- ----------- ---------
Net increase (decrease) in net assets
resulting from operations . . . . . . 333,759 3,867 306,266 (36,256) 44,516 631
------------ ----------- ------------ ------------- ----------- ---------
UNIT TRANSACTIONS:
Participant premium payments . . . . . 745,361 184,990 807,194 591,289 162,950 17,235
Participant transfers from other
Travelers accounts . . . . . . . . . . 762,957 343,599 466,673 972,105 104,338 34,387
Contract surrenders . . . . . . . . . . (172,156) (34,496) (263,503) (111,946) (23,466) (4,088)
Participant transfers to other Travelers
accounts . . . . . . . . . . . . . . (99,376) (2,531) (341,312) (9,292) (2,423) (385)
Other payments to participants . . . . - - - - - -
------------ ----------- ------------ ------------- ----------- ---------
Net increase (decrease) in net assets
resulting from unit transactions . . 1,236,786 491,562 669,052 1,442,156 241,399 47,149
------------ ----------- ------------ ------------- ----------- ---------
Net increase (decrease) in net assets 1,570,545 495,429 975,318 1,405,900 285,915 47,780
NET ASSETS:
Beginning of year . . . . . . . . 495,429 - 1,405,900 - 47,780 -
------------ ----------- ------------ ------------- ----------- ---------
End of year . . . . . . . . . . . $ 2,065,974 $ 495,429 $ 2,381,218 $ 1,405,900 $ 333,695 $ 47,780
============ =========== ============ ============= =========== =========
</TABLE>
-12-
<PAGE> 14
NOTES TO FINANCIAL STATEMENTS - CONTINUED
<TABLE>
<CAPTION>
AMERICAN ODYSSEY AMERICAN ODYSSEY
AMERICAN ODYSSEY EMERGING OPPORTUNITIES INTERNATIONAL EQUITY AMERICAN ODYSSEY
CORE EQUITY FUND FUND FUND LONG-TERM BOND FUND
- ------------------------------ ------------------------------- ------------------------------ -----------------------------
1995 1994 1995 1994 1995 1994 1995 1994
---- ---- ---- ---- ---- ---- ---- ----
<S> <C> <C> <C> <C> <C> <C> <C>
$ 1,960 $ 3 $ 9,047 $ 339 $ 626 $ 504 $ 3,134 $ 150
- ------------- ------------- -------------- -------------- ------------- ------------- -------------- ------------
126 - 670 25 270 20 102 3
- - - - - - - -
- ------------- ------------- -------------- -------------- ------------- ------------- -------------- ------------
1,834 3 8,377 314 356 484 3,032 147
- ------------- ------------- -------------- -------------- ------------- ------------- -------------- ------------
8,482 - 37,648 148 29,695 85 13,624 98
7,288 - 29,526 142 27,426 87 12,319 98
- ------------- ------------- -------------- -------------- ------------- ------------- -------------- ------------
1,194 - 8,122 6 2,269 (2) 1,305 -
- ------------- ------------- -------------- -------------- ------------- ------------- -------------- ------------
(2) - 625 - (1,033) - (106) -
3,143 (2) 4,288 625 3,676 (1,033) (1,341) (106)
- ------------- ------------- -------------- -------------- ------------- ------------- -------------- ------------
3,145 (2) 3,663 625 4,709 (1,033) (1,235) (106)
- ------------- ------------- -------------- -------------- ------------- ------------- -------------- ------------
6,173 1 20,162 945 7,334 (551) 3,102 41
- ------------- ------------- -------------- -------------- ------------- ------------- -------------- ------------
3,391 10 93,588 3,320 26,719 3,257 19,931 1,410
37,760 176 118,650 21,735 30,284 12,193 24,193 4,424
(1,806) (8) (16,696) (327) (7,735) (232) (3,415) (136)
(1,536) - (18,006) (20) (5,985) (48) (11,434) (1)
- - - - - - - -
- ------------- ------------- -------------- -------------- ------------- ------------- -------------- ------------
37,809 178 177,536 24,708 43,283 15,170 29,275 5,697
- ------------- ------------- -------------- -------------- ------------- ------------- -------------- ------------
43,982 179 197,698 25,653 50,617 14,619 32,377 5,738
179 - 25,653 - 14,619 - 5,738 -
- ------------- ------------- -------------- -------------- ------------- ------------- -------------- ------------
$ 44,161 $ 179 $ 223,351 $ 25,653 $ 65,236 $ 14,619 $ 38,115 $ 5,738
============= ============= ============== ============== ============= ============= ============== ============
</TABLE>
-13-
<PAGE> 15
NOTES TO FINANCIAL STATEMENTS - CONTINUED
6. SCHEDULE OF FUND UL OPERATIONS AND CHANGES IN NET ASSETS
FOR THE YEARS ENDED DECEMBER 31, 1995 AND 1994 (CONTINUED)
<TABLE>
<CAPTION>
AMERICAN ODYSSEY
INTERMEDIATE-TERM AMERICAN ODYSSEY ALLIANCE GROWTH
BOND FUND SHORT-TERM BOND FUND PORTFOLIO
-------------------- ------------------------ -----------------------
1995 1994 1995 1994 1995 1994
---- ---- ---- ---- ---- ----
<S> <C> <C> <C> <C> <C> <C>
INVESTMENT INCOME:
Dividends . . . . . . . . . . . . . . . $ 20 $ - $ 111 $ 1 $ 620 $ -
-------- --------- ----------- ---------- ---------- ---------
EXPENSES:
Insurance charges . . . . . . . . . . . 1 - 12 - 14 -
Administrative charges . . . . . . . . - - - - 1 -
-------- --------- ----------- ---------- ---------- ---------
Net investment income (loss) . . . . 19 - 99 1 605 -
-------- --------- ----------- ---------- ---------- ---------
REALIZED GAIN (LOSS) AND CHANGE IN
UNREALIZED
GAIN (LOSS) ON INVESTMENTS:
Realized gain (loss) from investment
transactions
Proceeds from investments sold . . . - - 4,486 - 284 -
Cost of investments sold . . . . . . - - 4,330 - 275 -
-------- --------- ----------- ---------- ---------- ---------
Net realized gain (loss) . . . . . . - - 156 - 9 -
-------- --------- ----------- ---------- ---------- ---------
Change in unrealized gain (loss) on
investments:
Unrealized gain (loss) beginning of year - - (1) - - -
Unrealized gain (loss) end of year . (6) - (68) (1) (310) -
-------- --------- ----------- ---------- ---------- ---------
Net change in unrealized gain (loss) for
the year . . . . . . . . . . . . . . (6) - (67) (1) (310) -
-------- --------- ----------- ---------- ---------- ---------
Net increase (decrease) in net assets
resulting from operations . . . . . . 13 - 188 - 304 -
-------- --------- ----------- ---------- ---------- ---------
UNIT TRANSACTIONS:
Participant premium payments . . . . . 408 - 3,744 17 6,840 -
Participant transfers from other
Travelers accounts . . . . . . . . . . 44 - 2,961 1 14,239 -
Contract surrenders . . . . . . . . . . (81) - (516) (7) (568) -
Participant transfers to other Travelers
accounts . . . . . . . . . . . . . . . (9) - (4,055) - (75) -
Other payments to participants . . . . - - - - - -
-------- --------- ----------- ---------- ---------- ---------
Net increase (decrease) in net assets
resulting from unit transactions . . 362 - 2,134 11 20,436 -
-------- --------- ----------- ---------- ---------- ---------
Net increase (decrease) in net assets 375 - 2,322 11 20,740 -
NET ASSETS:
Beginning of year . . . . . . . . . . - - 11 - - -
-------- --------- ----------- ---------- ---------- ---------
End of year . . . . . . . . . . . . . $ 375 $ - $ 2,333 $ 11 $ 20,740 $ -
======== ========= =========== ========== ========== =========
</TABLE>
-14-
<PAGE> 16
NOTES TO FINANCIAL STATEMENTS - CONTINUED
<TABLE>
<CAPTION>
SMITH BARNEY INCOME MFS TOTAL RETURN
AND GROWTH PORTFOLIO PORTFOLIO TOTAL RETURN PORTFOLIO COMBINED
- ------------------------ ------------------------------ ----------------------------- -------------------------------
1995 1994 1995 1994 1995 1994 1995 1994
---- ---- ---- ---- ---- ---- ---- ----
<S> <C> <C> <C> <C> <C> <C> <C>
$ 20 $ - $ 2,147 $ - $ 5 $ - $ 308,603 $ 121,624
- -------- ------------ ------------- ------------- ------------ ------------ -------------- ------------
1 - 124 - 1 - 75,850 27,551
- - 1 - - - 148 -
- -------- ------------ ------------- ------------- ------------ ------------ -------------- ------------
19 - 2,022 - 4 - 232,605 94,073
- -------- ------------ ------------- ------------- ------------ ------------ -------------- ------------
35 - 593 - 53 - 4,961,292 2,997,217
33 - 569 - 51 - 4,810,313 3,003,766
- -------- ------------ ------------- ------------- ------------ ------------ -------------- ------------
2 - 24 - 2 - 150,979 (6,549)
- -------- ------------ ------------- ------------- ------------ ------------ -------------- ------------
- - - - - - (79,932) 61,022
(1) - 3,089 - (12) - 1,954,404 (79,932)
- -------- ------------ ------------- ------------- ------------ ------------ -------------- ------------
(1) - 3,089 - (12) - 2,034,336 (140,954)
- -------- ------------ ------------- ------------- ------------ ------------ -------------- ------------
20 - 5,135 (6) - 2,417,920 (53,430)
- -------- ------------ ------------- ------------- ------------ ------------ -------------- ------------
301 - 14,644 - 1,788 - 12,301,017 5,311,444
1,052 - 57,736 - 379 - 5,501,026 5,175,800
(138) - (705) - (62) - (1,932,840) (835,173)
(79) - (182) - - - (5,170,119) (3,873,682)
- - - - - - (1,498) -
- -------- ------------ ------------- ------------- ------------ ------------ -------------- ------------
1,136 - 71,493 - 2,105 - 10,697,586 5,778,389
- -------- ------------ ------------- ------------- ------------ ------------ -------------- ------------
1,156 - 76,628 - 2,099 - 13,115,506 5,724,959
- - - - - - 7,574,195 1,849,236
- -------- ------------ ------------- ------------- ------------ ------------ -------------- ------------
$ 1,156 $ - $ 76,628 $ - $ 2,099 $ - $ 20,689,701 $ 7,574,195
======== ============ ============= ============= ============ ============ ============== ============
</TABLE>
-15-
<PAGE> 17
REPORT OF INDEPENDENT ACCOUNTANTS
To the Owners of Variable Life Insurance Contracts of
The Travelers Fund UL for Variable Life Insurance:
We have audited the accompanying statement of assets and liabilities of The
Travelers Fund UL for Variable Life Insurance as of December 31, 1995, and the
related statement of operations for the year then ended, and the statement of
changes in net assets for each of the two years in the period then ended.
These financial statements are the responsibility of management. Our
responsibility is to express an opinion on these financial statements based on
our audits.
We conducted our audits in accordance with generally accepted auditing
standards. Those standards require that we plan and perform the audit to
obtain reasonable assurance about whether the financial statements are free of
material misstatement. An audit includes examining, on a test basis, evidence
supporting the amounts and disclosures in the financial statements. Our
procedures included confirmation of shares owned as of December 31, 1995, by
correspondence with the underlying funds. An audit also includes assessing the
accounting principles used and significant estimates made by management, as
well as evaluating the overall financial statement presentation. We believe
that our audits provide a reasonable basis for our opinion.
In our opinion, the financial statements referred to above present fairly, in
all material respects, the financial position of The Travelers Fund UL for
Variable Life Insurance as of December 31, 1995, the results of its operations
for the year then ended and the changes in its net assets for each of the two
years in the period then ended, in conformity with generally accepted
accounting principles.
COOPERS & LYBRAND L.L.P.
Hartford, Connecticut
February 7, 1996
-16-
<PAGE> 18
Independent Accountants
COOPERS & LYBRAND L.L.P.
Hartford, Connecticut
This report is prepared for the general information of contract owners and is
not an offer of shares of The Travelers Fund UL for Variable Life Insurance or
Fund UL's underlying funds. It should not be used in connection with any offer
except in conjunction with the applicable Variable Universal Life Insurance
Prospectus and the Prospectuses for the underlying funds, which collectively
contain all pertinent information, including the applicable sales commissions.
VG-156 (Annual) (12-95) Printed in U.S.A.
|
|