<PAGE>
GE LIFE & ANNUITY SEPARATE ACCOUNT 4
(formerly Life of Virginia Separate Account 4)
Financial Statements
Year ended December 31, 1999
(With Independent Auditors' Report Thereon)
<PAGE>
GE LIFE & ANNUITY SEPARATE ACCOUNT 4
Table of Contents
Year ended December 31, 1999
<TABLE>
<CAPTION>
Page
----
<S> <C>
Independent Auditors' Report............................................... F-1
Statements of Assets and Liabilities....................................... F-2
Statements of Operations................................................... F-12
Statements of Changes in Net Assets........................................ F-17
Notes to Financial Statements.............................................. F-34
</TABLE>
<PAGE>
Independent Auditors' Report
Contractholders
GE Life & Annuity Separate Account 4
and
The Board of Directors
GE Life and Annuity Assurance Company:
We have audited the accompanying statements of assets and liabilities of GE
Life & Annuity Separate Account 4 (the Account) (comprising the GE Investments
Funds, Inc.--S&P 500 Index, Money Market, Total Return, International Equity,
Real Estate Securities, Global Income, Value Equity, Income, U.S. Equity and
Premier Growth Equity Funds; the Oppenheimer Variable Account Funds--Bond/VA,
Capital Appreciation/VA, Aggressive Growth/VA, High Income/VA and Multiple
Strategies/VA Funds; the Variable Insurance Products Fund--Equity-Income,
Growth and Overseas Portfolios; the Variable Insurance Products Fund II--Asset
Manager and Contrafund Portfolios; the Variable Insurance Products III--Growth
& Income and Growth Opportunities Portfolios; the Federated Insurance Series--
American Leaders, High Income Bond and Utility Funds II; the Alger American
Fund--Small Capitalization and Growth Portfolios; the PBHG Insurance Series
Fund, Inc.--PBHG Large Cap Growth and PBHG Growth II Portfolios; the Janus
Aspen Series--Aggressive Growth, Growth, Worldwide Growth, Balanced, Flexible
Income, International Growth and Capital Appreciation Portfolios; the Goldman
Sachs Variable Insurance Trust--Growth and Income and Mid Cap Value Funds; and
the Salomon Brothers Variable Series Fund Inc.--Strategic Bond, Investors, and
Total Return Funds) as of December 31, 1999, the related statements of
operations for the aforementioned funds of GE Life & Annuity Separate Account
4 for the year or lesser period ended December 31, 1999 and the related
statements of changes in net assets for the aforementioned funds of GE Life &
Annuity Separate Account 4 for each of the years or lesser periods in the two-
year period ended December 31, 1999. These financial statements are the
responsibility of the Account's 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 securities owned as of December 31, 1999,
by correspondence with the underlying mutual funds or their transfer agent. 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 each of the respective
portfolios constituting GE Life & Annuity Separate Account 4 as of December
31, 1999, the results of their operations for the year or lesser period then
ended, and changes in their net assets for each of the years or lesser periods
in the two-year period ended December 31, 1999 in conformity with generally
accepted accounting principles.
KPMG LLP
Richmond, Virginia
February 11, 2000
F-1
<PAGE>
GE LIFE & ANNUITY SEPARATE ACCOUNT 4
Statements of Assets and Liabilities
December 31, 1999
<TABLE>
<CAPTION>
GE Investments Funds, Inc.
-------------------------------------------------------------
Real
S&P 500 Money Total International Estate
Index Market Return Equity Securities
Fund Fund Fund Fund Fund
Assets ------------ ----------- ----------- ------------- ----------
<S> <C> <C> <C> <C> <C>
Investment in GE
Investments Funds,
Inc., at fair value
(note 2):
S&P 500 Index Fund
(22,215,478 shares;
cost --
$533,600,551)......... $624,254,935 -- -- -- --
Money Market Fund
(441,032,754 shares;
cost --
$441,032,754)........ -- 441,032,754 -- -- --
Total Return Fund
(6,493,333 shares;
cost -- $96,506,872).. -- -- 102,984,256 -- --
International Equity
Fund (2,726,755
shares; cost --
$33,751,159)......... -- -- -- 39,456,150 --
Real Estate Securities
Fund (3,748,156
shares; cost --
$48,639,416)......... -- -- -- -- 40,742,452
Receivable from
affiliate.............. -- 232,035 -- 1 --
Receivable for units
sold................... 345,348 6,011,576 154,310 25,071 --
------------ ----------- ----------- ---------- ----------
Total assets........... 624,600,283 447,276,365 103,138,566 39,481,222 40,742,452
------------ ----------- ----------- ---------- ----------
Liabilities
Accrued expenses payable
to affiliate (note 3).. 571,063 340,766 83,321 17,115 26,319
Payable for units
withdrawn.............. 56,938 2,493,447 16,499 42 15,060
------------ ----------- ----------- ---------- ----------
Total liabilities...... 628,001 2,834,213 99,820 17,157 41,379
------------ ----------- ----------- ---------- ----------
Net assets.............. $623,972,282 444,442,152 103,038,746 39,464,065 40,701,073
------------ ----------- ----------- ---------- ----------
Analysis of net assets:
Attributable to:
Variable deferred
annuity
contractholders...... $623,972,282 444,442,152 103,038,746 19,905,813 25,055,708
GE Life and Annuity
Assurance Company.... -- -- -- 19,558,252 15,645,365
------------ ----------- ----------- ---------- ----------
Net assets.............. $623,972,282 444,442,152 103,038,746 39,464,065 40,701,073
============ =========== =========== ========== ==========
Outstanding units: Type
I (note 2)............. 1,079,890 5,265,274 513,721 203,538 218,219
============ =========== =========== ========== ==========
Net asset value per
unit: Type I........... $ 59.90 15.96 37.52 18.74 14.82
============ =========== =========== ========== ==========
Outstanding units: Type
II (note 2)............ 7,955,210 13,992,458 1,884,184 735,974 1,409,644
============ =========== =========== ========== ==========
Net asset value per
unit: Type II.......... $ 58.17 15.50 36.44 18.60 14.65
============ =========== =========== ========== ==========
Outstanding units: Type
III (note 2)........... 7,821,903 12,703,804 1,305,705 179,463 107,802
============ =========== =========== ========== ==========
Net asset value per
unit: Type III......... $ 11.59 10.32 10.94 12.36 9.97
============ =========== =========== ========== ==========
Outstanding units: Type
IV (note 2)............ 543,614 1,214,273 78,079 15,200 10,487
============ =========== =========== ========== ==========
Net asset value per
unit: Type IV.......... $ 10.81 10.23 10.50 12.12 9.12
============ =========== =========== ========== ==========
</TABLE>
F-2
<PAGE>
GE LIFE & ANNUITY SEPARATE ACCOUNT 4
Statements of Assets and Liabilities, Continued
December 31, 1999
<TABLE>
<CAPTION>
GE Investments Funds, Inc. (continued)
-------------------------------------------------------
Global Value U.S. Premier
Income Equity Income Equity Growth
Fund Fund Fund Fund Equity Fund
Assets ---------- ---------- ---------- ---------- -----------
<S> <C> <C> <C> <C> <C>
Investment in GE
Investments Funds,
Inc.,
at fair value (note 2):
Global Income Fund
(938,940 shares;
cost -- $9,506,906).. $9,004,438 -- -- -- --
Value Equity Fund
(4,711,803 shares;
cost --
$68,652,601).......... -- 74,399,373 -- -- --
Income Fund (3,907,281
shares;
cost --
$47,902,723).......... -- -- 44,972,802 -- --
U.S. Equity Fund
(1,029,660 shares;
cost -- $38,053,766).. -- -- -- 39,024,108 --
Premier Growth Equity
Fund (305,976 shares;
cost --
$25,075,237).......... -- -- -- -- 27,124,734
Receivable from affili-
ate.................... -- -- -- -- --
Receivable for units
sold................... -- 56,630 27,145 95,306 201,431
---------- ---------- ---------- ---------- ----------
Total assets........... 9,004,438 74,456,003 44,999,947 39,119,414 27,326,165
---------- ---------- ---------- ---------- ----------
Liabilities
Accrued expenses payable
to affiliate (note 3).. 4,330 66,736 118,416 50,811 14,969
Payable for units with-
drawn.................. -- 84,855 31,497 -- --
---------- ---------- ---------- ---------- ----------
Total liabilities...... 4,330 151,591 149,913 50,811 14,969
---------- ---------- ---------- ---------- ----------
Net assets.............. $9,000,108 74,304,412 44,850,034 39,068,603 27,311,196
---------- ---------- ---------- ---------- ----------
Analysis of net assets:
Attributable to:
Variable deferred an-
nuity
contractholders...... $3,579,380 69,329,399 44,850,034 39,068,603 27,311,196
GE Life and Annuity
Assurance Company.... 5,420,728 4,975,013 -- -- --
---------- ---------- ---------- ---------- ----------
Net assets.............. $9,000,108 74,304,412 44,850,034 39,068,603 27,311,196
========== ========== ========== ========== ==========
Outstanding units: Type
I (note 2)............. 50,781 419,746 1,124,188 82,891 46,603
========== ========== ========== ========== ==========
Net asset value per
unit: Type I........... $ 10.51 16.08 10.41 12.62 11.76
========== ========== ========== ========== ==========
Outstanding units: Type
II (note 2)............ 291,731 3,011,792 2,729,732 1,613,261 802,961
========== ========== ========== ========== ==========
Net asset value per
unit: Type II.......... $ 10.44 15.97 10.36 12.57 11.75
========== ========== ========== ========== ==========
Outstanding units: Type
III (note 2)........... -- 1,168,256 433,696 1,442,844 1,380,434
========== ========== ========== ========== ==========
Net asset value per
unit: Type III......... $ -- 11.17 9.71 11.56 11.73
========== ========== ========== ========== ==========
Outstanding units: Type
IV (note 2)............ -- 147,340 67,078 100,906 96,385
========== ========== ========== ========== ==========
Net asset value per
unit: Type IV.......... $ -- 9.72 9.78 10.55 11.73
========== ========== ========== ========== ==========
</TABLE>
F-3
<PAGE>
GE LIFE & ANNUITY SEPARATE ACCOUNT 4
Statements of Assets and Liabilities, Continued
December 31, 1999
<TABLE>
<CAPTION>
Oppenheimer Variable Account Funds
-----------------------------------------------------------
Capital Aggressive High Multiple
Bond Appreciation Growth Income Strategies
Fund/VA Fund/VA Fund/VA Fund/VA Fund/VA
Assets ----------- ------------ ----------- ----------- ----------
<S> <C> <C> <C> <C> <C>
Investment in Oppen-
heimer Variable Account
Funds, at fair value
(note 2):
Bond Fund/VA (6,645,197
shares;
cost --
$78,301,554).......... $76,552,671 -- -- -- --
Capital Appreciation
Fund/VA (5,652,831
shares;
cost --
$192,587,611)........ -- 281,737,110 -- -- --
Aggressive Growth
Fund/VA (4,341,360
shares;
cost --
$205,932,019)......... -- -- 357,337,373 -- --
High Income Fund/VA
(15,645,970 shares;
cost --
$172,131,067)........ -- -- -- 167,724,795 --
Multiple Strategies
Fund/VA (4,649,496
shares;
cost -- $72,251,157).. -- -- -- -- 81,180,209
Receivable from affili-
ate.................... -- 6 234 -- --
Receivable for units
sold................... 24,846 375,005 1,533,710 3,506 4,203
----------- ----------- ----------- ----------- ----------
Total assets........... 76,577,517 282,112,121 358,871,317 167,728,301 81,184,412
----------- ----------- ----------- ----------- ----------
Liabilities
Accrued expenses payable
to affiliate (note 3).. 86,300 299,509 538,204 155,738 167,256
Payable for units with-
drawn.................. 24,695 142,929 -- 94,390 179,862
----------- ----------- ----------- ----------- ----------
Total liabilities...... 110,995 442,438 538,204 250,128 347,118
----------- ----------- ----------- ----------- ----------
Net assets attributable
to variable deferred
annuity
contractholders........ $76,466,522 281,669,683 358,333,113 167,478,173 80,837,294
=========== =========== =========== =========== ==========
Outstanding units: Type
I (note 2)............. 768,244 957,458 1,804,530 1,245,529 1,051,087
=========== =========== =========== =========== ==========
Net asset value per
unit: Type I........... $ 21.51 64.57 73.61 32.02 30.80
=========== =========== =========== =========== ==========
Outstanding units: Type
II (note 2)............ 2,531,310 3,232,987 2,933,967 3,792,914 1,504,814
=========== =========== =========== =========== ==========
Net asset value per
unit: Type II.......... $ 20.88 62.71 71.49 31.09 29.91
=========== =========== =========== =========== ==========
Outstanding units: Type
III (note 2)........... 690,965 1,214,374 894,256 923,199 305,825
=========== =========== =========== =========== ==========
Net asset value per
unit: Type III......... $ 9.67 13.23 17.17 10.10 10.95
=========== =========== =========== =========== ==========
Outstanding units: Type
IV (note 2)............ 41,749 81,428 24,750 35,858 10,366
=========== =========== =========== =========== ==========
Net asset value per
unit: Type IV.......... $ 9.73 12.77 16.08 9.77 10.23
=========== =========== =========== =========== ==========
</TABLE>
F-4
<PAGE>
GE LIFE & ANNUITY SEPARATE ACCOUNT 4
Statements of Assets and Liabilities, Continued
December 31, 1999
<TABLE>
<CAPTION>
Variable Insurance
Products Fund
------------------------------------
Equity-
Income Growth Overseas
Portfolio Portfolio Portfolio
------------ ----------- -----------
<S> <C> <C> <C>
Assets
Investment in Variable Insurance Products
Fund, at fair value (note 2):
Equity-Income Portfolio (26,903,305
shares; cost -- $591,595,226).......... $691,683,976 -- --
Growth Portfolio (12,260,801 shares;
cost -- $454,460,571).................. -- 673,485,783 --
Overseas Portfolio (4,713,302 shares;
cost -- $107,086,440).................. -- -- 129,332,995
Receivable from affiliate................ -- 25 63
Receivable for units sold................ 164,930 862,358 669,332
------------ ----------- -----------
Total assets............................ 691,848,906 674,348,166 130,002,390
------------ ----------- -----------
Liabilities
Accrued expenses payable to affiliate
(note 3)................................ 749,836 911,873 325,471
Payable for units withdrawn.............. 352,267 299,787 71,531
------------ ----------- -----------
Total liabilities...................... 1,102,103 1,211,660 397,002
------------ ----------- -----------
Net assets attributable to variable de-
ferred annuity contractholders.......... $690,746,803 673,136,506 129,605,388
============ =========== ===========
Outstanding units: Type I (note 2)....... 4,454,619 3,310,123 2,244,272
============ =========== ===========
Net asset value per unit: Type I......... $ 43.33 73.80 33.25
============ =========== ===========
Outstanding units: Type II (note 2)...... 10,963,577 4,760,717 1,525,527
============ =========== ===========
Net asset value per unit: Type II........ $ 42.08 71.67 32.29
============ =========== ===========
Outstanding units: Type III (note 2)..... 3,203,653 6,561,710 388,067
============ =========== ===========
Net asset value per unit: Type III....... $ 10.65 12.73 13.80
============ =========== ===========
Outstanding units: Type IV (note 2)...... 242,696 333,735 28,190
============ =========== ===========
Net asset value per unit: Type IV........ $ 9.32 12.34 13.08
============ =========== ===========
</TABLE>
F-5
<PAGE>
GE LIFE & ANNUITY SEPARATE ACCOUNT 4
Statements of Assets and Liabilities, Continued
December 31, 1999
<TABLE>
<CAPTION>
Variable Insurance Variable Insurance
Products Fund II Products Fund III
------------------------ -------------------------
Asset Growth & Growth
Manager Contrafund Income Opportunities
Portfolio Portfolio Portfolio Portfolio
Assets ------------ ----------- ----------- -------------
<S> <C> <C> <C> <C>
Investment in Variable In-
surance Products Fund II,
at fair value (note 2):
Asset Manager Portfolio
(25,602,717 shares;
cost -- $394,723,593).... $478,002,728 -- -- --
Contrafund Portfolio
(17,879,468 shares;
cost -- $369,622,889).... -- 521,186,482 -- --
Investment in Variable In-
surance Products Fund III,
at fair value (note 2):
Growth & Income Portfolio
(6,951,626 shares;
cost -- $109,077,377).... -- -- 120,263,132 --
Growth Opportunities Port-
folio (4,348,199 shares;
cost -- $93,193,775)..... -- -- -- 100,660,801
Receivable from affiliate.. 1 14 -- --
Receivable for units sold.. 14,591 897,435 96,740 155,275
------------ ----------- ----------- -----------
Total assets.............. 478,017,320 522,083,931 120,359,872 100,816,076
------------ ----------- ----------- -----------
Liabilities
Accrued expenses payable to
affiliate (note 3)........ 655,233 451,120 98,967 87,841
Payable for units with-
drawn..................... 895,805 99,744 51,767 150
------------ ----------- ----------- -----------
Total liabilities......... 1,551,038 550,864 150,734 87,991
------------ ----------- ----------- -----------
Net assets attributable to
variable deferred annuity
contractholders........... $476,466,282 521,533,067 120,209,138 100,728,085
============ =========== =========== ===========
Outstanding units: Type I
(note 2).................. 11,988,811 2,650,253 618,815 525,381
============ =========== =========== ===========
Net asset value per unit:
Type I.................... $ 30.63 32.31 17.12 15.61
============ =========== =========== ===========
Outstanding units: Type II
(note 2).................. 3,361,601 11,622,130 5,051,739 4,766,024
============ =========== =========== ===========
Net asset value per
unit:Type II.............. $ 29.86 31.91 17.00 15.51
============ =========== =========== ===========
Outstanding units: Type III
(note 2).................. 777,512 5,211,986 2,078,979 1,709,162
============ =========== =========== ===========
Net asset value per unit:
Type III.................. $ 10.80 11.75 10.69 10.35
============ =========== =========== ===========
Outstanding units: Type IV
(note 2).................. 44,890 336,615 150,665 92,620
============ =========== =========== ===========
Net asset value per unit:
Type IV................... $ 10.57 11.29 10.03 9.89
============ =========== =========== ===========
</TABLE>
F-6
<PAGE>
GE LIFE & ANNUITY SEPARATE ACCOUNT 4
Statements of Assets and Liabilities, Continued
December 31, 1999
<TABLE>
<CAPTION>
Federated Insurance Series
-----------------------------------
American High
Leaders Income Bond Utility
Fund II Fund II Fund II
------------ ----------- ----------
<S> <C> <C> <C>
Assets
Investments in Federated Insurance
Series, at fair value (note 2):
American Leaders Fund II (4,849,330 shares;
cost -- $97,644,443)...................... $100,963,047 -- --
High Income Bond Fund II (6,565,038 shares;
cost -- $68,083,286)...................... -- 67,225,993 --
Utility Fund II (4,131,452 shares; cost --
$55,525,888)............................. -- -- 59,286,336
Receivable from affiliate................... -- -- --
Receivable for units sold................... 108,314 42,829 84,008
------------ ---------- ----------
Total assets............................... 101,071,361 67,268,822 59,370,344
------------ ---------- ----------
Liabilities
Accrued expenses payable to affiliate (note
3)......................................... 87,229 56,158 49,394
Payable for units withdrawn................. 3,018 58,978 --
------------ ---------- ----------
Total liabilities.......................... 90,247 115,136 49,394
------------ ---------- ----------
Net assets attributable to variable deferred
annuity contractholders.................... $100,981,114 67,153,686 59,320,950
============ ========== ==========
Oustanding units: Type I (note 2)........... 474,111 450,443 363,909
============ ========== ==========
Net asset value per unit: Type I............ $ 17.75 15.52 19.11
============ ========== ==========
Outstanding units: Type II (note 2)......... 4,554,700 3,376,105 2,483,985
============ ========== ==========
Net asset value per unit: Type II........... $ 17.58 15.32 18.87
============ ========== ==========
Oustanding units: Type III (note 2)......... 1,114,543 799,186 491,571
============ ========== ==========
Net asset value per unit: Type III.......... $ 10.49 9.89 10.44
============ ========== ==========
Outstanding units: Type IV (note 2)......... 85,187 55,873 36,259
============ ========== ==========
Net asset value per unit: Type IV........... $ 9.42 9.61 9.98
============ ========== ==========
</TABLE>
F-7
<PAGE>
GE LIFE & ANNUITY SEPARATE ACCOUNT 4
Statements of Assets and Liabilities, Continued
December 31, 1999
<TABLE>
<CAPTION>
PBHG Insurance
Alger American Fund Series Fund, Inc.
-------------------------- ---------------------
Small PBHG Large PBHG
Capitalization Growth Cap Growth Growth II
Portfolio Portfolio Portfolio Portfolio
-------------- ----------- ---------- ----------
<S> <C> <C> <C> <C>
Assets
Investment in Alger American
Fund, at fair value (note 2):
Small Capitalization Portfo-
lio (2,611,114 shares;
cost -- $112,026,784)....... $144,002,930 -- -- --
Growth Portfolio (5,007,682
shares; cost --
$257,438,791).............. -- 322,394,581 -- --
PBHG Insurance Series Fund,
Inc. at fair value (note 2):
PBHG Large Cap Growth Portfo-
lio (911,524 shares; cost --
$13,938,008)............... -- -- 23,252,983 --
PBHG Growth II Portfolio
(1,412,242 shares; cost --
$20,551,081)............... -- -- -- 32,552,176
Receivable from affiliate..... 141 9 -- --
Receivable for units sold..... 183,401 610,966 10,833 136,648
------------ ----------- ---------- ----------
Total assets................. 144,186,472 323,005,556 23,263,816 32,688,824
============ =========== ========== ==========
Liabilities
Accrued expenses payable to
affiliate (note 3)........... 120,119 336,052 60,138 24,223
Payable for units withdrawn... 7,840 55,581 22 16,350
------------ ----------- ---------- ----------
Total liabilities............ 127,959 391,633 60,160 40,573
------------ ----------- ---------- ----------
Net assets attributable to
variable deferred annuity
contractholders.............. $144,058,513 322,613,923 23,203,656 32,648,251
============ =========== ========== ==========
Oustanding units: Type I (note
2)........................... 1,090,003 1,237,526 132,343 226,702
============ =========== ========== ==========
Net asset value per unit: Type
I............................ $ 17.22 25.97 24.74 22.35
============ =========== ========== ==========
Outstanding units: Type II
(note 2)..................... 6,310,836 8,583,493 811,131 1,242,408
============ =========== ========== ==========
Net asset value per unit: Type
II........................... $ 17.04 25.69 24.57 22.20
============ =========== ========== ==========
Oustanding units: Type III
(note 2)..................... 1,160,756 5,377,154 -- --
============ =========== ========== ==========
Net asset value per unit: Type
III.......................... $ 14.14 12.50 -- --
============ =========== ========== ==========
Outstanding units: Type IV
(note 2)..................... 97,659 231,761 -- --
============ =========== ========== ==========
Net asset value per unit: Type
IV........................... $ 13.71 11.87 -- --
============ =========== ========== ==========
</TABLE>
F-8
<PAGE>
GE LIFE & ANNUITY SEPARATE ACCOUNT 4
Statements of Assets and Liabilities, Continued
December 31, 1999
<TABLE>
<CAPTION>
Janus Aspen Series
------------------------------------
Aggressive Worldwide
Growth Growth Growth
Portfolio Portfolio Portfolio
------------ ----------- -----------
<S> <C> <C> <C>
Assets
Investment in Janus Aspen Series, at fair
value (note 2):
Aggressive Growth Portfolio (8,745,708
shares; cost -- $318,342,552)........... $522,031,288 -- --
Growth Portfolio (20,512,483 shares;
cost -- $444,244,607)................... -- 690,245,038 --
Worldwide Growth Portfolio (20,673,754
shares; cost -- $575,985,214)........... -- -- 987,171,753
Receivable from affiliate................. 1,301 30 1,440
Receivable for units sold................. 749,946 866,106 1,663,028
------------ ----------- -----------
Total assets............................. 522,782,535 691,111,174 988,836,221
============ =========== ===========
Liabilities
Accrued expenses payable to affiliate
(note 3)................................. 524,669 912,334 912,014
Payable for units withdrawn............... 6,749,277 21,844 67,703
------------ ----------- -----------
Total liabilities........................ 7,273,946 934,178 979,717
------------ ----------- -----------
Net assets attributable to variable
deferred annuity contractholders......... $515,508,589 690,176,996 987,856,504
============ =========== ===========
Outstanding units: Type I (note 2)........ 1,789,828 4,139,512 4,314,377
============ =========== ===========
Net asset value per unit: Type I.......... $ 59.91 36.56 47.86
============ =========== ===========
Outstanding units: Type II (note 2)....... 5,067,599 11,701,274 14,578,854
============ =========== ===========
Net asset value per unit: Type II......... $ 58.97 35.98 47.11
============ =========== ===========
Outstanding units: Type III (note 2)...... 4,781,470 8,278,915 5,789,831
============ =========== ===========
Net asset value per unit: Type III........ $ 20.95 13.46 15.28
============ =========== ===========
Outstanding units: Type IV (note 2)....... 513,109 500,424 406,948
============ =========== ===========
Net asset value per unit: Type IV......... $ 18.07 12.77 14.97
============ =========== ===========
</TABLE>
F-9
<PAGE>
GE LIFE & ANNUITY SEPARATE ACCOUNT 4
Statements of Assets and Liabilities, Continued
December 31, 1999
<TABLE>
<CAPTION>
Janus Aspen Series (continued)
--------------------------------------------------
Flexible International Capital
Balanced Income Growth Appreciation
Portfolio Portfolio Portfolio Portfolio
------------ ---------- ------------- ------------
<S> <C> <C> <C> <C>
Assets
Investment in Janus Aspen
Series, at fair value
(note 2):
Balanced Portfolio
(16,485,224 shares;
cost -- $370,790,126).... $460,267,444 -- -- --
Flexible Income Portfolio
(4,942,920 shares;
cost -- $58,455,980)..... -- 56,448,148 -- --
International Growth
Portfolio (4,758,145
shares; cost --
$111,821,732)........... -- -- 183,997,451 --
Capital Appreciation
Portfolio (11,148,082
shares; cost --
$273,871,408)........... -- -- -- 369,781,874
Receivable from affiliate.. -- -- 478 313
Receivable for units sold.. 388,151 102,588 489,862 949,581
------------ ---------- ----------- -----------
Total assets.............. 460,655,595 56,550,736 184,487,791 370,731,768
------------ ---------- ----------- -----------
Liabilities
Accrued expenses payable to
affiliate (note 3)........ 373,020 51,802 161,387 373,639
Payable for units
withdrawn................. 55,319 46,493 126,477 781,247
------------ ---------- ----------- -----------
Total liabilities......... 428,339 98,295 287,864 1,154,886
------------ ---------- ----------- -----------
Net assets attributable to
variable deferred annuity
contractholders........... $460,227,256 56,452,441 184,199,927 369,576,882
============ ========== =========== ===========
Outstanding units: Type I
(note 2).................. 2,796,176 514,641 949,972 1,124,173
============ ========== =========== ===========
Net asset value per unit:
Type I.................... $ 24.50 13.56 28.58 32.35
============ ========== =========== ===========
Outstanding units: Type II
(note 2).................. 12,451,725 3,172,870 4,728,347 6,407,884
============ ========== =========== ===========
Net asset value per unit:
Type II................... $ 24.24 13.41 28.32 32.13
============ ========== =========== ===========
Outstanding units: Type III
(note 2).................. 7,205,031 606,070 1,251,115 8,073,338
============ ========== =========== ===========
Net asset value per unit:
Type III.................. $ 11.93 9.97 17.11 15.07
============ ========== =========== ===========
Outstanding units: Type IV
(note 2).................. 347,931 89,213 102,381 428,091
============ ========== =========== ===========
Net asset value per unit:
Type IV................... $ 11.31 9.90 16.96 13.22
============ ========== =========== ===========
</TABLE>
F-10
<PAGE>
GE LIFE & ANNUITY SEPARATE ACCOUNT 4
Statements of Assets and Liabilities, Concluded
December 31, 1999
<TABLE>
<CAPTION>
Goldman Sachs
Variable Insurance Salomon Brothers
Trust Variable Series Fund Inc.
---------------------- ------------------------------
Growth and Mid Cap Strategic Total
Income Value Bond Investors Return
Fund Fund Fund Fund Fund
----------- ---------- ---------- --------- ---------
<S> <C> <C> <C> <C> <C>
Assets
Investment in Goldman
Sachs Variable
Insurance Trust,
at fair value (note 2):
Growth and Income Fund
(935,608 shares;
cost -- $9,933,309)... $10,188,769 -- -- -- --
Mid Cap Value Fund
(1,952,623 shares;
cost -- $17,214,626).. -- 16,441,086 -- -- --
Investment in Salomon
Brothers Variable
Series Fund Inc., at
fair value (note 2):
Strategic Bond Fund
(553,648 shares;
cost -- $5,558,043)... -- -- 5,348,241 -- --
Investors Fund (308,001
shares; cost --
$3,686,841).......... -- -- -- 3,766,850 --
Total Return Fund
(317,951 shares;
cost -- $3,363,898)... -- -- -- -- 3,252,640
Receivable from
affiliate.............. -- -- -- -- --
Receivable for units
sold................... 17,081 109,340 26,541 37,265 --
----------- ---------- ---------- --------- ---------
Total assets........... 10,205,850 16,550,426 5,374,782 3,804,115 3,252,640
----------- ---------- ---------- --------- ---------
Liabilities
Accrued expenses payable
to affiliate (note 3).. 7,156 10,490 3,220 12,176 1,941
Payable for units
withdrawn.............. 4 26,440 43,562 32 --
----------- ---------- ---------- --------- ---------
Total liabilities...... 7,160 36,930 46,782 12,208 1,941
----------- ---------- ---------- --------- ---------
Net assets attributable
to variable deferred
annuity
contractholders........ $10,198,690 16,513,496 5,328,000 3,791,907 3,250,699
=========== ========== ========== ========= =========
Outstanding units: Type
I (note 2)............. 80,699 195,348 46,435 15,929 6,185
=========== ========== ========== ========= =========
Net asset value per
unit: Type I........... $ 9.23 8.39 10.16 13.40 10.63
=========== ========== ========== ========= =========
Outstanding units: Type
II (note 2)............ 779,766 1,156,388 245,779 111,934 175,544
=========== ========== ========== ========= =========
Net asset value per
unit: Type II.......... $ 9.20 8.35 10.13 13.36 10.60
=========== ========== ========== ========= =========
Outstanding units: Type
III (note 2)........... 204,598 482,846 223,881 187,111 117,856
=========== ========== ========== ========= =========
Net asset value per
unit: Type III......... $ 10.44 10.02 9.90 10.98 9.91
=========== ========== ========== ========= =========
Outstanding units: Type
IV (note 2)............ 15,109 42,809 15,296 2,865 16,292
=========== ========== ========== ========= =========
Net asset value per
unit: Type IV.......... $ 9.53 8.89 9.81 9.96 9.59
=========== ========== ========== ========= =========
</TABLE>
See accompanying notes to financial statements.
F-11
<PAGE>
GE LIFE & ANNUITY SEPARATE ACCOUNT 4
Statements of Operations
Year ended December 31, 1999
<TABLE>
<CAPTION>
GE Investments Funds, Inc.
-------------------------------------------------------------------
S&P 500 Money International Real Estate
Index Market Total Return Equity Securities
Fund Fund Fund Fund Fund
----------- ----------- ------------ ------------- --------------
<S> <C> <C> <C> <C> <C>
Investment income:
Income -- Ordinary
Dividends............. $ 4,410,071 15,088,188 2,067,235 46,113 1,381,537
Expenses -- Mortality
& expense risk charges
and administrative
expenses -- Type I
(note 3).............. 704,948 950,843 220,301 30,656 43,767
Expenses -- Mortality &
expense risk charges
and administrative
expenses -- Type II
(note 3).............. 4,907,040 2,464,886 799,585 148,148 322,329
Expenses -- Mortality &
expense risk charges
and administrative
expenses -- Type III
(note 3).............. 460,991 701,862 85,952 8,603 7,954
Expenses -- Mortality &
expense risk charges
and administrative
expenses -- Type IV
(note 3).............. 21,523 57,198 3,143 449 224
----------- ----------- ---------- ---------- -----------
Net investment income
(expense).............. (1,684,431) 10,913,399 958,254 (141,743) 1,007,263
----------- ----------- ---------- ---------- -----------
Net realized and
unrealized gain (loss)
on investments:
Net realized gain
(loss)............... 30,003,910 (10) 1,021,209 2,767,291 (2,823,490)
Unrealized
appreciation
(depreciation) on
investments.......... 47,259,421 10 5,281,350 4,958,674 1,207,080
Capital gain
distribution......... 6,090,099 -- 2,426,755 1,106,722 72,712
----------- ----------- ---------- ---------- -----------
Net realized and
unrealized gain (loss)
on investments......... 83,353,430 -- 8,729,314 8,832,687 (1,543,698)
----------- ----------- ---------- ---------- -----------
Increase (decrease) in
net assets from
operations............. $81,668,999 10,913,399 9,687,568 8,690,944 (536,435)
=========== =========== ========== ========== ===========
<CAPTION>
GE Investments Funds, Inc., continued
-------------------------------------------------------------------
Premier
Global Value U.S. Equity Growth
Income Fund Equity Fund Income Fund Fund Equity Fund-a)
----------- ----------- ------------ ------------- --------------
<S> <C> <C> <C> <C> <C>
Investment income:
Income -- Ordinary
Dividends............. $ 55,082 512,848 2,343,057 200,089 23,826
Expenses -- Mortality
& expense risk charges
and administrative
expenses -- Type I
(note 3).............. 6,916 72,657 151,247 7,322 1,847
Expenses -- Mortality &
expense risk charges
and administrative
expenses -- Type II
(note 3).............. 44,108 547,672 337,337 130,281 28,109
Expenses -- Mortality &
expense risk charges
and administrative
expenses -- Type III
(note 3).............. -- 71,148 21,574 67,105 42,760
Expenses -- Mortality &
expense risk charges
and administrative
expenses -- Type IV
(note 3).............. -- 6,988 3,666 3,951 2,973
----------- ----------- ---------- ---------- -----------
Net investment income
(expense).............. 4,058 (185,617) 1,829,233 (8,570) (51,863)
----------- ----------- ---------- ---------- -----------
Net realized and
unrealized gain (loss)
on investments:
Net realized gain
(loss)............... (134,013) 1,440,840 (265,204) 288,484 559,025
Unrealized
appreciation
(depreciation) on
investments.......... (715,675) 5,153,071 (2,672,230) 816,588 2,049,497
Capital gain
distribution......... 4,146 -- 72,466 1,800,801 770,369
----------- ----------- ---------- ---------- -----------
Net realized and
unrealized gain (loss)
on investments......... (845,542) 6,593,911 (2,864,968) 2,905,873 3,378,891
----------- ----------- ---------- ---------- -----------
Increase (decrease) in
net assets from
operations............. $ (841,484) 6,408,294 (1,035,735) 2,897,303 3,327,028
=========== =========== ========== ========== ===========
- -a) Reflects period covering May 5, 1999 to December 31, 1999.
</TABLE>
F-12
<PAGE>
GE LIFE & ANNUITY SEPARATE ACCOUNT 4
Statements of Operations, Continued
Year Ended December 31, 1999
<TABLE>
<CAPTION>
Oppenheimer Variable Account Funds
-------------------------------------------------------------
Capital Aggressive High Multiple
Bond Appreciation Growth Income Strategies
Fund/VA Fund/VA Fund/VA Fund/VA Fund/VA
----------- ------------ ----------- ---------- ----------
<S> <C> <C> <C> <C> <C>
Investment income:
Income -- Ordinary Div-
idends................ $ 3,095,204 647,295 -- 11,617,048 2,750,715
Expenses -- Mortality &
expense risk charges
and administrative ex-
penses -- Type I (note
3).................... 211,534 610,992 1,107,841 525,530 397,035
Expenses -- Mortality &
expense risk charges
and administrative ex-
penses -- Type II
(note 3).............. 684,021 2,181,875 1,965,558 1,624,725 609,540
Expenses -- Mortality &
expense risk charges
and administrative ex-
penses -- Type III
(note 3).............. 37,302 71,673 44,712 74,133 15,762
Expenses -- Mortality &
expense risk charges
and administrative ex-
penses -- Type IV
(note 3).............. 2,616 2,934 913 1,234 367
----------- ---------- ----------- ---------- ---------
Net investment income
(expense).............. 2,159,731 (2,220,179) (3,119,024) 9,391,426 1,728,011
----------- ---------- ----------- ---------- ---------
Net realized and
unrealized gain (loss)
on investments:
Net realized gain
(loss)................ (367,634) 8,028,813 43,460,518 (2,467,228) 1,998,615
Unrealized appreciation
(depreciation) on
investments........... (4,062,392) 64,932,288 120,804,294 (1,860,876) 249,173
Capital gain distribu-
tion.................. 306,119 7,443,892 -- -- 3,958,345
----------- ---------- ----------- ---------- ---------
Net realized and
unrealized gain (loss)
on investments......... (4,123,907) 80,404,993 164,264,812 (4,328,104) 6,206,133
----------- ---------- ----------- ---------- ---------
Increase (decrease) in
net assets from opera-
tions.................. $(1,964,176) 78,184,814 161,145,788 5,063,322 7,934,144
=========== ========== =========== ========== =========
</TABLE>
<TABLE>
<CAPTION>
Variable Insurance Products Fund
-------------------------------------
Equity-
Income Growth Overseas
Portfolio Portfolio Portfolio
------------ ----------- ----------
<S> <C> <C> <C>
Investment income:
Income -- Ordinary Dividends............ $ 10,155,685 956,132 1,571,786
Expenses -- Mortality & expense risk
charges and administrative expenses --
Type I (note 3)....................... 2,492,600 2,538,686 777,904
Expenses -- Mortality & expense risk
charges and administrative expenses --
Type II (note 3)...................... 6,522,445 3,548,591 559,606
Expenses -- Mortality & expense risk
charges and administrative expenses --
Type III (note 3)..................... 186,038 405,119 21,330
Expenses -- Mortality & expense risk
charges and administrative expenses --
Type IV (note 3)...................... 10,576 11,944 1,011
------------ ----------- ----------
Net investment income (expense).......... 944,026 (5,548,208) 211,935
------------ ----------- ----------
Net realized and unrealized gain (loss)
on investments:
Net realized gain (loss)................ 32,608,373 40,501,315 22,135,968
Unrealized appreciation (depreciation)
on investments......................... (23,171,445) 83,757,029 16,842,471
Capital gain distribution............... 22,604,590 46,850,486 2,564,494
------------ ----------- ----------
Net realized and unrealized gain (loss)
on investments.......................... 32,041,518 171,108,830 41,542,933
------------ ----------- ----------
Increase (decrease) in net assets from
operations.............................. $ 32,985,544 165,560,622 41,754,868
============ =========== ==========
</TABLE>
F-13
<PAGE>
GE LIFE & ANNUITY SEPARATE ACCOUNT 4
Statements of Operations, Continued
Year ended December 31, 1999
<TABLE>
<CAPTION>
Variable Insurance Variable Insurance
Products Fund II Products Fund III
------------------------ ------------------------
Asset Growth & Growth
Manager Contrafund Income Opportunities
Portfolio Portfolio Portfolio Portfolio
------------ ---------- --------- -------------
<S> <C> <C> <C> <C>
Investment income:
Income -- Ordinary
Dividends................. $ 16,324,271 1,703,921 387,131 567,056
Expenses -- Mortality &
expense risk charges and
administrative expenses --
Type I (note 3).......... 4,367,086 941,924 161,230 107,137
Expenses -- Mortality &
expense risk charges and
administrative expenses --
Type II (note 3)......... 1,287,699 4,240,466 951,315 852,938
Expenses -- Mortality &
expense risk charges and
administrative expenses --
Type III (note 3)........ 41,993 286,944 137,297 99,378
Expenses -- Mortality &
expense risk charges and
administrative expenses --
Type IV (note 3)......... 1,982 13,783 5,408 3,459
------------ ---------- --------- ---------
Net investment income
(expense).................. 10,625,511 (3,779,196) (868,119) (495,856)
------------ ---------- --------- ---------
Net realized and unrealized
gain (loss) on investments:
Net realized gain (loss)... 16,067,053 24,922,273 3,957,786 2,346,277
Unrealized appreciation
(depreciation) on
investments............... (2,840,015) 55,449,896 2,814,926 (404,266)
Capital gain distribution.. 20,776,345 12,495,419 785,993 1,053,105
------------ ---------- --------- ---------
Net realized and unrealized
gain (loss) on
investments................ 34,003,383 92,867,588 7,558,705 2,995,116
------------ ---------- --------- ---------
Increase (decrease) in net
assets from operations..... $ 44,628,894 89,088,392 6,690,586 2,499,260
============ ========== ========= =========
</TABLE>
<TABLE>
<CAPTION>
Federated Insurance Series
------------------------------------
American High Income
Leaders Bond Utility
Fund II Fund II Fund II
----------- ----------- ----------
<S> <C> <C> <C>
Investment income:
Income -- Ordinary Dividends............. $ 704,366 4,281,850 1,190,082
Expenses -- Mortality & expense risk
charges and administrative
expenses -- Type I (note 3)............. 95,183 83,957 88,850
Expenses -- Mortality & expense risk
charges and administrative
expenses -- Type II (note 3)............ 1,047,440 681,714 588,434
Expenses -- Mortality & expense risk
charges and administrative
expenses -- Type III (note 3)........... 72,076 45,805 29,308
Expenses -- Mortality & expense risk
charges and administrative
expenses -- Type IV (note 3)............ 2,887 3,002 1,836
----------- ---------- ----------
Net investment income (expense)........... (513,220) 3,467,372 481,654
----------- ---------- ----------
Net realized and unrealized gain (loss) on
investments:
Net realized gain (loss)................. 1,360,681 (1,194,670) 1,236,132
Unrealized appreciation (depreciation) on
investments............................. (4,248,287) (1,948,643) (3,774,428)
Capital gain distribution................ 7,121,918 372,335 2,310,160
----------- ---------- ----------
Net realized and unrealized gain (loss) on
investments.............................. 4,234,312 (2,770,978) (228,136)
----------- ---------- ----------
Increase (decrease) in net assets from op-
erations................................. $ 3,721,092 696,394 253,518
=========== ========== ==========
</TABLE>
F-14
<PAGE>
GE LIFE & ANNUITY SEPARATE ACCOUNT 4
Statements of Operations, Continued
Year ended December 31, 1999
<TABLE>
<CAPTION>
PBHG Insurance
Alger American Fund Series Fund, Inc.
------------------------- ---------------------
PBHG
Small Large Cap PBHG
Capitalization Growth Growth Growth II
Portfolio Portfolio Portfolio Portfolio
-------------- ---------- --------- ----------
<S> <C> <C> <C> <C>
Investment income:
Income -- Ordinary Divi-
dends...................... $ -- 165,319 -- --
Expenses -- Mortality &
expense risk charges and
administrative expenses --
Type I (note 3)........... 192,915 338,789 20,933 27,493
Expenses -- Mortality &
expense risk charges and
administrative expenses --
Type II (note 3).......... 1,098,622 2,152,122 162,402 183,640
Expenses -- Mortality &
expense risk charges and
administrative expenses --
Type III (note 3)......... 53,181 347,936 -- --
Expenses -- Mortality &
expense risk charges and
administrative expenses --
Type IV (note 3).......... 4,140 8,392 -- --
----------- ---------- --------- ----------
Net investment income (ex-
pense)...................... (1,348,858) (2,681,920) (183,335) (211,133)
----------- ---------- --------- ----------
Net realized and unrealized
gain (loss) on investments:
Net realized gain (loss).... 4,496,020 16,000,254 1,293,989 2,553,635
Unrealized appreciation (de-
preciation) on invest-
ments...................... 25,658,694 34,200,259 7,139,998 11,061,365
Capital gain distribution... 11,288,748 16,366,607 -- --
----------- ---------- --------- ----------
Net realized and unrealized
gain (loss) on investments.. 41,443,462 66,567,120 8,433,987 13,615,000
----------- ---------- --------- ----------
Increase (decrease) in net
assets from operations...... $40,094,604 63,885,200 8,250,652 13,403,867
=========== ========== ========= ==========
</TABLE>
<TABLE>
<CAPTION>
Janus Aspen Series
--------------------------------------
Aggressive Worldwide
Growth Growth Growth
Portfolio Portfolio Portfolio
------------ ----------- -----------
<S> <C> <C> <C>
Investment income:
Income -- Ordinary Dividends......... $ 2,881,876 1,107,540 1,115,148
Expenses -- Mortality & expense risk
charges and
administrative expenses -- Type I
(note 3)............................ 677,194 1,417,071 1,769,864
Expenses -- Mortality & expense risk
charges and
administrative expenses -- Type II
(note 3)............................ 2,051,000 4,084,205 6,316,146
Expenses -- Mortality & expense risk
charges and
administrative expenses -- Type III
(note 3)............................ 308,490 483,682 361,048
Expenses -- Mortality & expense risk
charges and
administrative expenses -- Type IV
(note 3)............................ 20,061 19,248 18,635
------------ ----------- -----------
Net investment income (expense)....... (174,869) (4,896,666) (7,350,545)
------------ ----------- -----------
Net realized and unrealized gain
(loss) on investments:
Net realized gain (loss)............. 62,362,096 35,813,367 59,273,825
Unrealized appreciation (deprecia-
tion) on investments................ 163,992,838 142,877,179 309,685,852
Capital gain distribution............ 4,906,978 2,247,871 --
------------ ----------- -----------
Net realized and unrealized gain
(loss) on investments................ 231,261,912 180,938,417 368,959,677
------------ ----------- -----------
Increase (decrease) in net assets from
operations........................... $231,087,043 176,041,751 361,609,132
============ =========== ===========
</TABLE>
F-15
<PAGE>
GE LIFE & ANNUITY SEPARATE ACCOUNT 4
Statements of Operations, Continued
Year ended December 31, 1999
<TABLE>
<CAPTION>
Janus Aspen Series (continued)
--------------------------------------------------
Flexible International Capital
Balanced Income Growth Appreciation
Portfolio Portfolio Portfolio Portfolio
----------- ---------- ------------- ------------
<S> <C> <C> <C> <C>
Investment income:
Income -- Ordinary
Dividends................. $ 7,970,337 3,387,191 230,552 79,084
Expenses -- Mortality &
expense risk charges and
administrative expenses --
Type I (note 3).......... 724,446 84,668 201,248 280,059
Expenses -- Mortality &
expense risk charges and
administrative expenses --
Type II (note 3)......... 2,795,494 492,939 1,061,078 1,375,897
Expenses -- Mortality &
expense risk charges and
administrative expenses --
Type III (note 3)........ 489,490 41,297 67,763 546,887
Expenses -- Mortality &
expense risk charges and
administrative expenses --
Type IV (note 3)......... 15,454 5,523 4,306 15,737
----------- ---------- ---------- -----------
Net investment income
(expense).................. 3,945,453 2,762,764 (1,103,843) (2,139,496)
----------- ---------- ---------- -----------
Net realized and unrealized
gain (loss) on investments:
Net realized gain (loss)... 13,526,836 (288,141) 6,798,898 12,257,740
Unrealized appreciation
(depreciation) on
investments............... 55,762,394 (2,373,888) 68,867,033 88,365,393
Capital gain distribution.. -- 146,515 -- 909,471
----------- ---------- ---------- -----------
Net realized and unrealized
gain (loss) on
investments................ 69,289,230 (2,515,514) 75,665,931 101,532,604
----------- ---------- ---------- -----------
Increase (decrease) in net
assets from operations..... $73,234,683 247,250 74,562,088 99,393,108
=========== ========== ========== ===========
</TABLE>
<TABLE>
<CAPTION>
Goldman Sachs
Variable Insurance Salomon Brothers Variable
Trust Series Fund Inc.
------------------- -----------------------------
Growth and Mid Cap Strategic Total
Income Value Bond Investors Return
Fund Fund Fund Fund Fund
---------- -------- --------- --------- --------
<S> <C> <C> <C> <C> <C>
Investment income:
Income -- Ordinary
Dividends................. 112,074 116,838 266,587 19,120 78,025
Expenses -- Mortality &
expense risk charges and
administrative expenses --
Type I (note 3).......... 7,339 13,312 7,088 1,561 1,042
Expenses -- Mortality &
expense risk charges and
administrative expenses --
Type II (note 3)......... 78,696 79,328 16,165 7,237 16,090
Expenses -- Mortality &
expense risk charges and
administrative expenses --
Type III (note 3)........ 9,532 30,093 13,973 10,004 6,754
Expenses -- Mortality &
expense risk charges and
administrative expenses --
Type IV (note 3)......... 497 2,096 1,648 174 711
-------- -------- -------- ------- --------
Net investment income
(expense).................. 16,010 (7,991) 227,713 144 53,428
-------- -------- -------- ------- --------
Net realized and unrealized
gain (loss) on investments:
Net realized gain (loss)... 9,945 40,722 1,001 (45,705) 1,801
Unrealized appreciation
(depreciation) on
investments............... 215,378 (786,328) (204,979) 79,688 (108,299)
Capital gain distribution.. -- -- -- -- --
-------- -------- -------- ------- --------
Net realized and unrealized
gain (loss) on
investments................ 225,323 (745,606) (203,978) 33,983 (106,498)
-------- -------- -------- ------- --------
Increase (decrease) in net
assets from operations..... $241,333 (753,597) 23,735 34,127 (53,070)
======== ======== ======== ======= ========
</TABLE>
See accompanying notes to financial statements.
F-16
<PAGE>
GE LIFE & ANNUITY SEPARATE ACCOUNT 4
Statements of Changes in Net Assets
<TABLE>
<CAPTION>
GE Investments Funds, Inc.
-------------------------------------------------------------------------------
S&P 500
Index Money Market Total Return
Fund Fund Fund
------------------------- ------------------------- -------------------------
Year ended December 31, Year ended December 31, Year ended December 31,
------------------------- ------------------------- -------------------------
1999 1998 1999 1998 1999 1998
------------ ----------- ------------ ----------- ------------ -----------
<S> <C> <C> <C> <C> <C> <C>
Increase (decrease) in
net assets
From operations:
Net investment income
(expense)............. $ (1,684,431) (394,895) 10,913,399 6,916,677 958,254 2,668,826
Net realized gain
(loss)................ 30,003,910 8,830,544 (10) 545,381 1,021,209 (144,205)
Unrealized appreciation
(depreciation) on
investments........... 47,259,421 35,731,485 10 (545,381) 5,281,350 5,408,858
Capital gain distribu-
tion.................. 6,090,099 8,918,905 -- -- 2,426,755 --
------------ ----------- ------------ ----------- ------------ -----------
Increase (decrease) in
net assets from oper-
ations............... 81,668,999 53,086,039 10,913,399 6,916,677 9,687,568 7,933,479
------------ ----------- ------------ ----------- ------------ -----------
From capital
transactions:
Net premiums........... 150,605,950 53,735,217 455,850,801 103,629,024 20,100,592 7,103,374
Transfers (to) from the
general account of GE
Life and Annuity:
Death benefits....... (1,914,921) (1,018,619) (6,110,039) (4,961,886) (782,405) (336,462)
Surrenders........... (23,948,873) (11,869,972) (119,079,947) (46,255,514) (5,649,875) (3,264,071)
Administrative
expense (note 3).... (346,732) (193,962) (308,122) (222,910) (83,454) (63,853)
Transfer gain (loss)
and transfer fees... 957,648 623,320 5,822,636 6,222,666 67,204 76,515
Capital contribution
(withdrawal)........ -- -- -- -- -- --
Transfers (to) from the
Guarantee Account
(note 1).............. 89,343,041 40,155,936 19,221,784 24,299,736 13,514,725 9,157,868
Interfund transfers.... 18,779,770 20,883,117 (140,405,301) 5,214,444 76,047 974,377
------------ ----------- ------------ ----------- ------------ -----------
Increase (decrease) in
net assets from capital
transactions........... 233,475,883 102,315,037 214,991,812 87,925,560 27,242,834 13,647,748
------------ ----------- ------------ ----------- ------------ -----------
Increase (decrease) in
net assets............. 315,144,882 155,401,076 225,905,211 94,842,237 36,930,402 21,581,227
Net assets at beginning
of year................ 308,827,400 153,426,324 218,536,941 123,694,704 66,108,344 44,527,117
------------ ----------- ------------ ----------- ------------ -----------
Net assets at end of
year................... $623,972,282 308,827,400 444,442,152 218,536,941 103,038,746 66,108,344
============ =========== ============ =========== ============ ===========
</TABLE>
F-17
<PAGE>
GE LIFE & ANNUITY SEPARATE ACCOUNT 4
Statements of Changes in Net Assets, Continued
<TABLE>
<CAPTION>
GE Investments Funds, Inc. (continued)
----------------------------------------------------
International Real Estate
Equity Securities
Fund Fund
------------------------- -------------------------
Year ended December 31, Year ended December 31,
------------------------- -------------------------
1999 1998 1999 1998
------------ ----------- ----------- ------------
<S> <C> <C> <C> <C>
Increase (decrease) in
net assets
From operations:
Net investment income
(expense)............. $ (141,743) 1,294,582 1,007,263 1,409,122
Net realized gain
(loss)................ 2,767,291 441,842 (2,823,490) (878,569)
Unrealized appreciation
(depreciation) on
investments........... 4,958,674 2,296,938 1,207,080 (12,908,191)
Capital gain
distribution.......... 1,106,722 -- 72,712 1,726,962
------------ ----------- ----------- ------------
Increase (decrease) in
net assets from
operations............. 8,690,944 4,033,362 (536,435) (10,650,676)
------------ ----------- ----------- ------------
From capital
transactions:
Net premiums........... 2,858,308 985,487 2,212,512 5,008,291
Transfers (to) from the
general account of
GE Life and Annuity:
Death benefits....... (66,512) (49,268) (124,447) (182,572)
Surrenders........... (545,373) (558,600) (2,167,345) (1,142,178)
Administrative
expense (note 3).... (12,619) (13,254) (24,242) (30,467)
Transfer gain (loss)
and transfer fees... 108,529 (258,988) (129,406) (443,138)
Capital contribution
(withdrawal)........ (198,516) -- -- --
Transfers (to) from the
Guarantee Account
(note 1).............. 1,447,720 1,469,927 2,498,480 6,836,059
Interfund transfers.... 361,833 (1,665,448) (7,573,589) (5,533,571)
------------ ----------- ----------- ------------
Increase (decrease) in
net assets from capital
transactions........... 3,953,370 (90,144) (5,308,037) 4,512,424
------------ ----------- ----------- ------------
Increase (decrease) in
net assets............. 12,644,314 3,943,218 (5,844,472) (6,138,252)
Net assets at beginning
of year................ 26,819,751 22,876,533 46,545,545 52,683,797
------------ ----------- ----------- ------------
Net assets at end of
year................... $ 39,464,065 26,819,751 40,701,073 46,545,545
============ =========== =========== ============
</TABLE>
F-18
<PAGE>
GE LIFE & ANNUITY SEPARATE ACCOUNT 4
Statements of Changes in Net Assets, Continued
<TABLE>
<CAPTION>
GE Investments Funds, Inc. (continued)
--------------------------------------------------
Global Income Fund Value Equity Fund
------------------------- ------------------------
Year ended December 31, Year ended December 31,
------------------------- ------------------------
1999 1998 1999 1998
------------ ----------- ----------- -----------
<S> <C> <C> <C> <C>
Increase (decrease) in net
assets
From operations:
Net investment income (ex-
pense)................... $ 4,058 504,065 (185,617) (158,569)
Net realized gain (loss).. (134,013) 96,320 1,440,840 576,810
Unrealized appreciation
(depreciation) on invest-
ments.................... (715,675) 337,555 5,153,071 (292,099)
Capital gain distribu-
tion..................... 4,146 22,214 -- 929,149
------------ ---------- ----------- -----------
Increase (decrease) in net
assets from operations.... (841,484) 960,154 6,408,294 1,055,291
------------ ---------- ----------- -----------
From capital transactions:
Net premiums.............. 298,133 600,772 21,173,356 9,579,320
Transfers (to) from the
general account of GE
Life and Annuity:
Death benefits........... -- -- (219,644) (25,562)
Surrenders............... (230,326) (63,958) (3,878,411) (1,731,724)
Administrative expense
(note 3)................ (2,504) -- (39,635) (18,611)
Transfer gain (loss) and
transfer fees........... 41,185 (1,623) (24,010) 1,014,745
Capital contribution
(withdrawal)............ -- 45,130 -- --
Transfers (to) from the
Guarantee Account (note
1)....................... 1,130,309 986,575 9,162,615 8,817,658
Interfund transfers....... (1,065,929) 1,028,376 2,580,708 4,550,014
------------ ---------- ----------- -----------
Increase (decrease) in net
assets from capital
transactions.............. 170,868 2,595,272 28,754,979 22,185,840
------------ ---------- ----------- -----------
Increase (decrease) in net
assets.................... (670,616) 3,555,426 35,163,273 23,214,131
Net assets at beginning of
year...................... 9,670,724 6,115,298 39,141,139 15,900,008
------------ ---------- ----------- -----------
Net assets at end of year.. $ 9,000,108 9,670,724 74,304,412 39,114,139
============ ========== =========== ===========
</TABLE>
F-19
<PAGE>
GE LIFE & ANNUITY SEPARATE ACCOUNT 4
Statements of Changes in Net Assets, Continued
<TABLE>
<CAPTION>
GE Investments Funds, Inc. (continued)
-----------------------------------------------------------------------
U.S. Premier
Income Equity Growth
Fund Fund Equity Fund
------------------------- ---------------------------- ---------------
Period from Period from
Year ended December 31, Year ended May 4, 1998 May 5, 1999
------------------------- December 31, to December 31, to December 31,
1999 1998 1999 1998 1999
------------ ----------- ------------ --------------- ---------------
<S> <C> <C> <C> <C> <C>
Increase (decrease) in
net assets
From operations:
Net investment income
(expense)............. $ 1,829,233 1,286,221 (8,570) 9,991 (51,863)
Net realized gain
(loss)................ (265,204) 335,927 288,484 9,452 559,025
Unrealized appreciation
(depreciation) on
investments........... (2,672,230) (245,492) 816,588 153,754 2,049,497
Capital gain distribu-
tion.................. 72,466 285,194 1,800,801 36,079 770,369
------------ ----------- ---------- --------- ----------
Increase (decrease) in
net assets from
operations............. (1,035,735) 1,661,850 2,897,303 209,276 3,327,028
------------ ----------- ---------- --------- ----------
From capital
transactions:
Net premiums........... 6,923,805 1,921,255 22,445,779 864,801 14,174,762
Transfers (to) from the
general account of
GE Life and Annuity:
Death benefits....... (489,017) (145,003) (45,279) -- (3,881)
Surrenders........... (2,870,344) (1,961,475) (528,852) (8,236) (153,976)
Administrative ex-
pense (note 3)...... (44,669) (34,884) (5,653) (374) (1,218)
Transfer gain (loss)
and transfer fees... 62,981 (172,635) 129,249 4,703 205,591
Capital contribution
(withdrawal)........ -- -- -- -- --
Transfers (to) from the
Guarantee Account
(note 1).............. 8,054,862 4,132,905 6,635,234 500,876 1,787,824
Interfund transfers.... (75,826) 6,911,104 5,339,842 629,934 7,975,066
------------ ----------- ---------- --------- ----------
Increase (decrease) in
net assets from capital
transactions........... 11,561,792 10,651,267 33,970,320 1,991,704 23,984,168
------------ ----------- ---------- --------- ----------
Increase (decrease) in
net assets............. 10,526,057 12,313,117 36,867,623 2,200,980 27,311,196
Net assets at beginning
of year................ 34,323,977 22,010,860 2,200,980 -- --
------------ ----------- ---------- --------- ----------
Net assets at end of
year................... $ 44,850,034 34,323,977 39,068,603 2,200,980 27,311,196
============ =========== ========== ========= ==========
</TABLE>
F-20
<PAGE>
GE LIFE & ANNUITY SEPARATE ACCOUNT 4
Statements of Changes in Net Assets, Continued
<TABLE>
<CAPTION>
Oppenheimer Variable Account Funds
----------------------------------------------------
Capital
Bond Appreciation
Fund/VA Fund/VA
------------------------- -------------------------
Year ended December 31, Year ended December 31,
------------------------- -------------------------
1999 1998 1999 1998
------------ ----------- ------------ -----------
<S> <C> <C> <C> <C>
Increase (decrease) in
net assets
From operations:
Net investment income
(expense).............. $ 2,159,731 67,918 (2,220,179) (932,825)
Net realized gain
(loss)................. (367,634) 557,479 8,028,813 19,777,101
Unrealized appreciation
(depreciation) on
investments............ (4,062,392) 1,205,533 64,932,288 922,343
Capital gain
distribution........... 306,119 628,926 7,443,892 13,330,660
------------ ----------- ------------ -----------
Increase (decrease) in
net assets from
operations.............. (1,964,176) 2,459,856 78,184,814 33,097,279
------------ ----------- ------------ -----------
From capital
transactions:
Net premiums............ 12,174,256 6,231,291 23,530,758 17,725,498
Transfers (to) from the
general account of
GE Life and Annuity:
Death benefits........ (689,793) (410,382) (1,199,344) (894,216)
Surrenders............ (5,269,460) (4,432,337) (14,095,955) (9,299,680)
Administrative expense
(note 3)............. (69,547) (55,996) (221,476) (184,119)
Transfer gain (loss)
and transfer fees.... (235,556) (86,859) 87,768 (3,882)
Transfers (to) from the
Guarantee Account (note
1)..................... 13,999,173 8,638,887 14,646,072 17,267,813
Interfund transfers..... (4,224,435) 10,655,917 (8,629,648) (7,357,815)
------------ ----------- ------------ -----------
Increase (decrease) in
net assets from capital
transactions............ 15,684,638 20,540,521 14,118,175 17,253,599
------------ ----------- ------------ -----------
Increase (decrease) in
net assets.............. 13,720,462 23,000,377 92,302,989 50,350,878
Net assets at beginning
of year................. 62,746,060 39,745,683 189,366,694 139,015,816
------------ ----------- ------------ -----------
Net assets at end of
year.................... $ 76,466,522 62,746,060 281,669,683 189,366,694
============ =========== ============ ===========
</TABLE>
F-21
<PAGE>
GE LIFE & ANNUITY SEPARATE ACCOUNT 4
Statements of Changes in Net Assets, Continued
<TABLE>
<CAPTION>
Oppenheimer Variable Account Funds (continued)
------------------------------------------------------------------------------
Aggressive High Multiple
Growth Income Strategies
Fund/VA Fund/VA Fund/VA
-------------------------- ------------------------ ------------------------
Year ended December 31, Year ended December 31, Year ended December 31,
-------------------------- ------------------------ ------------------------
1999 1998 1999 1998 1999 1998
------------- ----------- ----------- ----------- ----------- -----------
<S> <C> <C> <C> <C> <C> <C>
Increase (decrease) in
net assets
From operations:
Net investment income
(expense)............. $ (3,119,024) (2,113,073) 9,391,426 1,269,071 1,728,011 (243,868)
Net realized gain
(loss)................ 43,460,518 19,896,478 (2,467,228) (99,049) 1,998,615 1,712,582
Unrealized appreciation
(depreciation) on
investments........... 120,804,294 (396,149) (1,860,876) (7,301,468) 249,173 (1,662,556)
Capital gain
distribution.......... -- 5,372,387 -- 4,091,636 3,958,345 4,043,187
------------- ----------- ----------- ----------- ----------- -----------
Increase (decrease) in
net assets from
operations............. 161,145,788 22,759,643 5,063,322 (2,039,810) 7,934,144 3,849,345
------------- ----------- ----------- ----------- ----------- -----------
From capital
transactions:
Net premiums........... 13,548,977 9,377,106 14,520,822 13,886,757 5,277,206 5,911,134
Transfers (to) from the
general account of GE
Life and Annuity:
Death benefits....... (1,088,159) (796,601) (1,064,649) (1,060,654) (560,764) (527,685)
Surrenders........... (20,015,823) (11,332,990) (13,777,348) (10,775,891) (7,655,266) (6,115,145)
Administrative ex-
pense
(note 3)............ (320,865) (280,687) (181,388) (189,819) (112,560) (118,214)
Transfer gain (loss)
and
transfer fees....... 978,941 (1,028,582) (340,605) (612,294) (334,258) (298,427)
Transfers (to) from the
Guarantee Account
(note 1).............. 5,300,960 11,708,764 13,711,757 20,861,727 4,683,850 8,281,940
Interfund transfers.... (19,243,413) (20,227,182) (14,458,320) (4,351,060) (8,149,619) (3,251,940)
------------- ----------- ----------- ----------- ----------- -----------
Increase (decrease) in
net assets from capital
transactions........... (20,839,382) (12,580,172) (1,589,731) 17,758,766 (6,851,411) 3,881,663
------------- ----------- ----------- ----------- ----------- -----------
Increase (decrease) in
net assets............. 140,306,406 10,179,471 3,473,591 15,718,956 1,082,733 7,731,008
Net assets at beginning
of year................ 218,026,707 207,847,236 164,004,582 148,285,626 79,754,561 72,023,553
------------- ----------- ----------- ----------- ----------- -----------
Net assets at end of
year................... $ 358,333,113 218,026,707 167,478,173 164,004,582 80,837,294 79,754,561
============= =========== =========== =========== =========== ===========
</TABLE>
F-22
<PAGE>
GE LIFE & ANNUITY SEPARATE ACCOUNT 4
Statements of Changes in Net Assets, Continued
<TABLE>
<CAPTION>
Variable Insurance Products Fund
-----------------------------------------------------------------------------
Equity-Income Portfolio Growth Portfolio Overseas Portfolio
------------------------- ------------------------ ------------------------
Year ended December 31, Year ended December 31, Year ended December 31,
------------------------- ------------------------ ------------------------
1999 1998 1999 1998 1999 1998
------------ ----------- ----------- ----------- ----------- -----------
<S> <C> <C> <C> <C> <C> <C>
Increase (decrease) in
net assets
From operations:
Net investment income
(expense)............. $ 944,026 365,176 (5,548,208) (2,577,337) 211,935 761,025
Net realized gain
(loss)................ 32,608,373 40,058,923 40,501,315 17,030,101 22,135,968 12,998,779
Unrealized appreciation
(depreciation) on
investments........... (23,171,445) (9,194,909) 83,757,029 58,825,099 16,842,471 (6,292,784)
Capital gain
distribution.......... 22,604,590 31,355,502 46,850,486 41,858,263 2,564,494 6,294,605
------------ ----------- ----------- ----------- ----------- -----------
Increase (decrease) in
net assets from
operations............. 32,985,544 62,584,692 165,560,622 115,136,126 41,754,868 13,761,625
------------ ----------- ----------- ----------- ----------- -----------
From capital
transactions:
Net premiums........... 55,451,274 46,774,052 102,689,652 15,214,848 5,626,757 1,843,855
Transfers (to) from the
general account of GE
Life and Annuity:
Death benefits....... (3,558,664) (3,800,272) (2,182,323) (2,191,698) (566,490) (439,740)
Surrenders........... (58,264,096) (39,388,010) (50,608,296) (23,927,419) (11,598,256) (6,306,537)
Administrative
expense (note 3).... (810,775) (787,804) (662,552) (510,394) (182,204) (183,116)
Transfer gain (loss)
and transfer fees... (463,678) (4,002,591) (193,058) (1,467,259) 691,511 (1,416,329)
Transfers (to) from the
Guarantee Account
(note 1).............. 32,482,731 49,734,168 27,141,802 9,000,692 1,257,466 2,209,192
Interfund transfers.... (59,307,860) (32,464,680) 13,823,927 (8,701,771) (10,841,539) (14,310,296)
------------ ----------- ----------- ----------- ----------- -----------
Increase (decrease) in
net assets from capital
transactions........... (34,471,068) 16,064,863 90,009,152 (12,583,001) (15,612,755) (18,602,971)
------------ ----------- ----------- ----------- ----------- -----------
Increase (decrease) in
net assets............. (1,485,524) 78,649,555 255,569,774 102,553,125 26,142,113 (4,841,346)
Net assets at beginning
of year................ 692,232,327 613,582,772 417,566,732 315,013,607 103,463,275 108,304,621
------------ ----------- ----------- ----------- ----------- -----------
Net assets at end of
year................... $690,746,803 692,232,327 673,136,506 417,566,732 129,605,388 103,463,275
============ =========== =========== =========== =========== ===========
</TABLE>
F-23
<PAGE>
GE LIFE & ANNUITY SEPARATE ACCOUNT 4
Statements of Changes in Net Assets, Continued
<TABLE>
<CAPTION>
Variable Insurance Products Fund II
---------------------------------------------------
Asset Manager Portfolio Contrafund Portfolio
------------------------- ------------------------
Year ended December 31, Year ended December 31,
------------------------- ------------------------
1999 1998 1999 1998
------------ ----------- ----------- -----------
<S> <C> <C> <C> <C>
Increase (decrease) in net
assets
From operations:
Net investment income
(expense)............... $ 10,625,511 9,625,658 (3,779,196) (1,952,491)
Net realized gain (loss)
........................ 16,067,053 12,994,733 24,922,273 14,314,697
Unrealized appreciation
(depreciation) on
investments............. (2,840,015) (5,404,033) 55,449,896 47,868,379
Capital gain
distribution............ 20,776,345 45,774,419 12,495,419 12,625,996
------------ ----------- ----------- -----------
Increase (decrease) in net
assets from operations... 44,628,894 62,990,777 89,088,392 72,856,581
------------ ----------- ----------- -----------
From capital transactions:
Net premiums............. 14,653,091 10,264,331 82,802,444 25,285,801
Transfers (to) from the
general account of
GE Life and Annuity:
Death benefits.......... (2,929,710) (2,712,196) (1,793,088) (1,246,412)
Surrenders.............. (65,155,121) (43,729,546) (26,567,889) (13,148,361)
Administrative expense
(note 3)............... (1,071,066) (1,091,339) (379,551) (296,892)
Transfer gain (loss) and
transfer fees.......... (2,618,892) (6,077,325) (2,525,155) (122,549)
Transfers (to) from
Guarantee Account
(note 1)................ 9,583,071 9,427,060 32,522,703 25,805,412
Interfund transfers...... (21,111,137) (12,459,422) 4,661,245 (7,547,010)
------------ ----------- ----------- -----------
Increase (decrease) in net
assets from capital
transactions............. (68,649,764) (46,378,437) 88,720,709 28,729,989
------------ ----------- ----------- -----------
Increase (decrease) in net
assets................... (24,020,870) 16,612,340 177,809,101 101,586,570
Net assets at beginning of
year..................... 500,487,152 483,874,812 343,723,966 242,137,396
------------ ----------- ----------- -----------
Net assets at end of
year..................... $476,466,282 500,487,152 521,533,067 343,723,966
============ =========== =========== ===========
</TABLE>
F-24
<PAGE>
GE LIFE & ANNUITY SEPARATE ACCOUNT 4
Statements of Changes in Net Assets, Continued
<TABLE>
<CAPTION>
Variable Insurance Products Fund III
---------------------------------------------------
Growth & Income Growth Opportunities
Portfolio Portfolio
------------------------ -------------------------
Year ended December 31, Year ended December 31,
------------------------ -------------------------
1999 1998 1999 1998
------------ ---------- ------------ -----------
<S> <C> <C> <C> <C>
Increase (decrease) in net
assets
From operations:
Net investment income
(expense)............... $ (868,119) (420,269) (495,856) (241,549)
Net realized gain
(loss).................. 3,957,786 983,225 2,346,277 378,467
Unrealized appreciation
(depreciation) on
investments............. 2,814,926 7,912,728 (404,266) 6,815,534
Capital gain
distribution............ 785,993 102,863 1,053,105 739,930
------------ ---------- ------------ -----------
Increase (decrease) in net
assets from operations... 6,690,586 8,578,547 2,499,260 7,692,382
------------ ---------- ------------ -----------
From capital transactions:
Net premiums............. 37,343,267 13,303,380 31,843,565 10,151,968
Transfers (to) from the
general account of
GE Life and Annuity:
Death benefits.......... (452,650) (688,026) (291,426) (104,398)
Surrenders.............. (4,513,761) (1,264,908) (4,617,789) (1,515,091)
Administrative expense
(note 3)............... (71,973) (29,641) (57,526) (29,463)
Transfer gain (loss) and
transfer fees.......... 351,485 732,615 253,392 483,076
Transfers (to) from
Guarantee Account (note
1)...................... 24,539,942 10,185,026 15,970,057 10,705,328
Interfund transfers...... (525,341) 10,322,368 1,492,494 9,164,481
------------ ---------- ------------ -----------
Increase (decrease) in net
assets from capital
transactions............. 56,670,969 32,560,814 44,592,767 28,855,901
------------ ---------- ------------ -----------
Increase (decrease) in net
assets................... 63,361,555 41,139,361 47,092,027 36,548,283
Net assets at beginning of
year..................... 56,847,583 15,708,222 53,636,058 17,087,775
------------ ---------- ------------ -----------
Net assets at end of
year..................... $120,209,138 56,847,583 100,728,085 53,636,058
============ ========== ============ ===========
</TABLE>
F-25
<PAGE>
GE LIFE & ANNUITY SEPARATE ACCOUNT 4
Statements of Changes in Net Assets, Continued
<TABLE>
<CAPTION>
Federated Insurance Series
------------------------------------------------------------------------
American High Income
Leaders Bond Utility
Fund II Fund II Fund II
------------------------ ---------------------- ----------------------
Year ended December Year ended December
Year ended December 31, 31, 31,
------------------------ ---------------------- ----------------------
1999 1998 1999 1998 1998 1996
------------ ---------- ---------- ---------- ---------- ----------
<S> <C> <C> <C> <C> <C> <C>
Increase (decrease) in
net assets
From operations:
Net investment income
(expense)............. $ (513,220) (550,126) 3,467,372 377,590 481,654 (182,451)
Net realized gain
(loss)................ 1,360,681 1,333,508 (1,194,670) 901,146 1,236,132 1,730,044
Unrealized appreciation
(depreciation) on
investments........... (4,248,287) 4,019,536 (1,948,643) (615,798) (3,774,428) 1,205,055
Capital gain
distribution.......... 7,121,918 2,704,294 372,335 273,209 2,310,160 1,841,863
------------ ---------- ---------- ---------- ---------- ----------
Increase (decrease) in
net assets from
operations............. 3,721,092 7,507,212 696,394 936,147 253,518 4,594,511
------------ ---------- ---------- ---------- ---------- ----------
From capital
transactions:
Net premiums........... 21,419,498 17,174,298 12,914,758 7,609,375 9,759,421 5,300,423
Transfers (to) from the
general account of GE
Life and Annuity:
Death benefits....... (221,728) (702,585) (245,085) (420,052) (562,420) (295,533)
Surrenders........... (5,313,269) (2,256,129) (3,914,221) (3,031,255) (3,154,249) (1,872,219)
Administrative
expense (note 3).... (77,785) (47,545) (43,801) (34,940) (45,364) (36,851)
Transfer gain (loss)
and transfer fees... (56,238) 404,576 989 650,014 (154,923) (738,016)
Transfers (to) from the
Guarantee Account
(note 1).............. 15,009,686 15,132,233 11,169,833 12,815,682 10,141,825 5,791,377
Interfund transfers.... (7,715,367) 2,109,439 (5,891,810) (1,253,689) (2,728,703) 2,670,259
------------ ---------- ---------- ---------- ---------- ----------
Increase (decrease) in
net assets from capital
transactions........... 23,044,797 31,814,287 13,990,663 16,335,135 13,255,587 10,819,440
------------ ---------- ---------- ---------- ---------- ----------
Increase (decrease) in
net assets............. 26,765,889 39,321,499 14,687,057 17,271,282 13,509,105 15,413,951
Net assets at beginning
of year................ 74,215,225 34,893,726 52,466,629 35,195,347 45,811,845 30,397,894
------------ ---------- ---------- ---------- ---------- ----------
Net assets at end of
year................... $100,981,114 74,215,225 67,153,686 52,466,629 59,320,950 45,811,845
============ ========== ========== ========== ========== ==========
</TABLE>
F-26
<PAGE>
GE LIFE & ANNUITY SEPARATE ACCOUNT 4
Statements of Changes in Net Assets, Continued
<TABLE>
<CAPTION>
Alger American Fund
--------------------------------------------------
Small Capitalization
Portfolio Growth Portfolio
------------------------ ------------------------
Year ended December 31, Year ended December 31,
------------------------ ------------------------
1999 1998 1999 1998
------------ ---------- ----------- -----------
<S> <C> <C> <C> <C>
Increase (decrease) in net
assets
From operations:
Net investment income
(expense)............... $ (1,348,858) (1,053,686) (2,681,920) (966,536)
Net realized gain
(loss).................. 4,496,020 411,066 16,000,254 4,172,054
Unrealized appreciation
(depreciation) on in-
vestments............... 25,658,694 2,406,527 34,200,259 20,408,775
Capital gain distribu-
tion.................... 11,288,748 10,556,556 16,366,607 13,947,299
------------ ---------- ----------- -----------
Increase (decrease) in net
assets from operations... 40,094,604 12,320,463 63,885,200 37,561,592
------------ ---------- ----------- -----------
From capital transactions:
Net premiums............. 18,801,609 6,622,636 92,259,433 11,725,922
Transfers (to) from the
general account of
GE Life and Annuity:
Death benefits......... (420,284) (459,998) (1,648,447) (663,235)
Surrenders............. (7,370,878) (3,709,013) (13,584,719) (5,345,156)
Administrative expense
(note 3).............. (95,877) (83,804) (148,219) (89,422)
Transfer gain (loss)
and transfer fees..... 339,009 246,716 622,265 (10,013)
Transfers (to) from the
Guarantee Account (note
1)...................... 7,500,439 8,384,117 26,764,387 9,961,009
Interfund transfers...... (9,144,368) (2,794,548) 22,462,752 6,706,761
------------ ---------- ----------- -----------
Increase (decrease) in net
assets from capital
transactions............. 9,609,650 8,206,106 126,727,452 22,285,866
------------ ---------- ----------- -----------
Increase (decrease) in net
assets................... 49,704,254 20,526,569 190,612,652 59,847,458
Net assets at beginning of
year..................... 94,354,259 73,827,690 132,001,271 72,153,813
------------ ---------- ----------- -----------
Net assets at end of
year..................... $144,058,513 94,354,259 322,613,923 132,001,271
============ ========== =========== ===========
</TABLE>
F-27
<PAGE>
GE LIFE & ANNUITY SEPARATE ACCOUNT 4
Statements of Changes in Net Assets, Continued
<TABLE>
<CAPTION>
PBHG Insurance Series Fund, Inc.
-----------------------------------------------
PBHG PBHG
Large Cap Growth II
Growth Portfolio Portfolio
----------------------- ----------------------
Year ended December Year ended December
31, 31,
----------------------- ----------------------
1999 1998 1999 1998
----------- ---------- ---------- ----------
<S> <C> <C> <C> <C>
Increase (decrease) in net
assets
From operations:
Net investment income (ex-
pense)...................... $ (183,335) (106,500) (211,133) (119,244)
Net realized gain (loss)..... 1,293,989 282,909 2,553,635 (281,878)
Unrealized appreciation (de-
preciation) on investments.. 7,139,998 2,025,080 11,061,365 1,029,558
Capital gain distribution.... -- -- -- --
----------- ---------- ---------- ----------
Increase (decrease) in net
assets from operations....... 8,250,652 2,201,489 13,403,867 628,436
----------- ---------- ---------- ----------
From capital transactions:
Net premiums................. 1,893,719 2,342,871 2,634,384 1,855,144
Transfers (to) from the gen-
eral account of GE Life and
Annuity:
Death benefits.............. (120,414) (42,994) (31,216) (117,890)
Surrenders.................. (2,112,511) (588,848) (1,282,939) (409,105)
Administrative expense (note
3)......................... (13,054) (7,464) (13,646) (8,868)
Transfer gain (loss) and
transfer fees.............. 8,735 40,495 92,029 27,528
Transfers (to) from the
Guarantee Account (note 1) 2,244,446 2,026,921 1,647,321 2,485,422
Interfund transfers.......... 1,070,497 1,290,849 5,263,684 (477,840)
----------- ---------- ---------- ----------
Increase (decrease) in net
assets from capital
transactions................. 2,971,418 5,061,830 8,309,617 3,354,391
----------- ---------- ---------- ----------
Increase (decrease) in net
assets....................... 11,222,070 7,263,319 21,713,484 3,982,827
Net assets at beginning of
year......................... 11,981,586 4,718,267 10,934,767 6,951,940
----------- ---------- ---------- ----------
Net assets at end of year..... $23,203,656 11,981,586 32,648,251 10,934,767
=========== ========== ========== ==========
</TABLE>
F-28
<PAGE>
GE LIFE & ANNUITY SEPARATE ACCOUNT 4
Statements of Changes in Net Assets, Continued
<TABLE>
<CAPTION>
Janus Aspen Series
---------------------------------------------------
Aggressive
Growth Growth
Portfolio Portfolio
------------------------- ------------------------
Year ended December 31, Year ended December 31,
------------------------- ------------------------
1999 1998 1999 1998
------------ ----------- ----------- -----------
<S> <C> <C> <C> <C>
Increase (decrease) in net
assets
From operations:
Net investment income
(expense)............... $ (174,869) (1,431,833) (4,896,666) 6,056,709
Net realized gain
(loss).................. 62,362,096 11,413,034 35,813,367 11,096,226
Unrealized appreciation
(depreciation) on
investments............. 163,992,838 24,333,274 142,877,179 56,452,101
Capital gain
distribution............ 4,906,978 -- 2,247,871 7,613,462
------------ ----------- ----------- -----------
Increase (decrease) in
net assets from
operations............. 231,087,043 34,314,475 176,041,751 81,218,498
------------ ----------- ----------- -----------
From capital transactions:
Net premiums............. 82,694,488 4,886,885 129,921,095 19,968,429
Transfers (to) from the
general account of
GE Life and Annuity:
Death benefits......... (693,006) (815,476) (2,337,901) (1,360,596)
Surrenders............. (14,862,560) (5,681,643) (28,100,426) (11,799,421)
Administrative expense
(note 3).............. (206,645) (120,730) (458,087) (317,146)
Transfer gain (loss)
and transfer fees..... (5,761,812) (352,260) 893,020 (691,664)
Transfers (to) from the
Guarantee Account (note
1)...................... 14,163,240 4,693,626 37,755,657 19,406,972
Interfund transfers...... 74,808,346 (8,460,504) 42,077,065 3,890,833
------------ ----------- ----------- -----------
Increase (decrease) in net
assets from capital
transactions............. 150,142,051 (5,850,102) 179,750,423 29,097,407
------------ ----------- ----------- -----------
Increase (decrease) in net
assets................... 381,229,094 28,464,373 355,792,174 110,315,905
Net assets at beginning of
year..................... 134,279,495 105,815,122 334,384,822 224,068,917
------------ ----------- ----------- -----------
Net assets at end of
year..................... $515,508,589 134,279,495 690,176,996 334,384,822
============ =========== =========== ===========
</TABLE>
F-29
<PAGE>
GE LIFE & ANNUITY SEPARATE ACCOUNT 4
Statements of Changes in Net Assets, Continued
<TABLE>
<CAPTION>
Janus Aspen Series (continued)
-----------------------------------------------------------------------------
Worldwide Flexible
Growth Balanced Income
Portfolio Portfolio Portfolio
------------------------- ------------------------ ------------------------
Year ended December 31, Year ended December 31, Year ended December 31,
------------------------- ------------------------ ------------------------
1999 1998 1999 1998 1999 1998
------------ ----------- ----------- ----------- ----------- -----------
<S> <C> <C> <C> <C> <C> <C>
Increase (decrease) in
net assets
From operations:
Net investment income
(expense)............. $ (7,350,545) 6,523,226 3,945,453 3,182,878 2,762,764 1,259,217
Net realized gain
(loss)................ 59,273,825 46,111,510 13,526,836 3,053,389 (288,141) 222,001
Unrealized appreciation
(depreciation) on
investments........... 309,685,852 41,481,543 55,762,394 28,743,051 (2,373,888) 30,008
Capital gain
distribution.......... -- 4,933,615 -- 722,300 146,515 66,130
------------ ----------- ----------- ----------- ----------- -----------
Increase (decrease) in
net assets from
operations............. 361,609,132 99,049,894 73,234,683 35,701,618 247,250 1,577,356
------------ ----------- ----------- ----------- ----------- -----------
From capital
transactions:
Net premiums........... 103,924,205 44,526,187 123,717,725 24,644,401 12,258,667 4,066,867
Transfers (to) from the
general account of GE
Life and Annuity:
Death benefits....... (2,973,664) (1,373,901) (1,474,438) (857,556) (202,784) (36,188)
Surrenders........... (40,772,035) (19,617,340) (20,730,548) (9,165,787) (2,936,151) (813,459)
Administrative
expense (note 3).... (619,954) (469,515) (267,776) (138,515) (34,631) (21,644)
Transfer gain (loss)
and transfer fees... 934,945 125,152 456,442 1,031,515 (128,719) 453,024
Transfers (to) from the
Guarantee Account
(note 1).............. 51,917,924 41,574,483 78,194,170 24,485,481 13,890,840 7,043,148
Interfund transfers.... 5,019,615 (124,706) 32,520,849 21,236,757 312,624 6,439,490
------------ ----------- ----------- ----------- ----------- -----------
Increase (decrease) in
net assets from capital
transactions........... 117,431,036 64,640,360 212,416,424 61,236,296 23,159,846 17,131,238
------------ ----------- ----------- ----------- ----------- -----------
Increase (decrease) in
net assets............. 479,040,168 163,690,254 285,651,107 96,937,914 23,407,096 18,708,594
Net assets at beginning
of year................ 508,816,336 345,126,082 174,576,149 77,638,235 33,045,345 14,336,751
------------ ----------- ----------- ----------- ----------- -----------
Net assets at end of
year................... $987,856,504 508,816,336 460,227,256 174,576,149 56,452,441 33,045,345
============ =========== =========== =========== =========== ===========
</TABLE>
F-30
<PAGE>
GE LIFE & ANNUITY SEPARATE ACCOUNT 4
Statements of Changes in Net Assets, Continued
<TABLE>
<CAPTION>
Janus Aspen Series (continued)
-------------------------------------------------
International Growth Capital Appreciation
Portfolio Portfolio
------------------------ -----------------------
Year ended December
Year ended December 31, 31,
------------------------ -----------------------
1999 1998 1999 1998
------------ ---------- ----------- ----------
<S> <C> <C> <C> <C>
Increase (decrease) in net
assets
From operations:
Net investment income
(expense)................. $ (1,103,843) 285,215 (2,139,496) (129,163)
Net realized gain (loss)... 6,798,898 7,205,182 12,257,740 336,728
Unrealized appreciation
(depreciation) on
investments............... 68,867,033 1,486,427 88,365,393 7,532,890
Capital gain distribution.. -- 168,340 909,471 --
------------ ---------- ----------- ----------
Increase (decrease) in net
assets from operations... 74,562,088 9,145,164 99,393,108 7,740,455
------------ ---------- ----------- ----------
From capital transactions:
Net premiums............... 19,686,581 7,538,624 136,931,557 8,764,540
Transfers (to) from the
general account of GE Life
and Annuity:
Death benefits............ (397,836) (372,667) (1,194,716) (52,380)
Surrenders................ (5,164,544) (2,368,354) (7,042,061) (765,563)
Administrative expense
(note 3)................. (84,094) (70,684) (94,871) (11,745)
Transfer gain (loss) and
transfer fees............ 96,657 74,891 280,719 485,206
Transfer (to) from the
Guarantee Account (note
1)........................ 8,757,358 10,288,178 34,911,459 4,797,081
Interfund transfers........ 9,262,544 (1,419,705) 67,308,216 15,456,302
------------ ---------- ----------- ----------
Increase (decrease) in net
assets from capital
transactions............... 32,156,666 13,670,283 231,100,303 28,673,441
------------ ---------- ----------- ----------
Increase (decrease) in net
assets..................... 106,718,754 22,815,447 330,493,411 36,413,896
Net assets at beginning of
year....................... 77,481,173 54,665,726 39,083,471 2,669,575
------------ ---------- ----------- ----------
Net assets at end of year... $184,199,927 77,481,173 369,576,882 39,083,471
============ ========== =========== ==========
</TABLE>
F-31
<PAGE>
GE LIFE & ANNUITY SEPARATE ACCOUNT 4
Statements of Changes in Net Assets, Continued
<TABLE>
<CAPTION>
Goldman Sachs
Variable Insurance
Trust
----------------------------------------------------
Growth and Mid Cap
Income Value
Fund Fund
-------------------------- -------------------------
Period from Period from
May 12, May 8,
Year ended 1998 to Year ended 1998 to
December 31, December 31, December 31, December 31,
1999 1998 1999 1998
------------ ------------ ------------ ------------
<S> <C> <C> <C> <C>
Increase (decrease) in net
assets
From operations:
Net investment income
(expense)................ $ 16,010 20,010 (7,991) 12,176
Net realized gain (loss).. 9,945 (32,043) 40,722 (72,641)
Unrealized appreciation
(depreciation) on
investments.............. 215,378 40,081 (786,328) 12,789
Capital gain
distribution............. -- -- -- --
----------- --------- ---------- ---------
Increase (decrease) in net
assets from operations.... 241,333 28,048 (753,597) (47,676)
----------- --------- ---------- ---------
From capital transactions:
Net premiums.............. 3,188,933 1,873,044 7,662,493 1,653,452
Transfers (to) from the
general account of GE
Life and Annuity:
Death benefits........... -- -- (44,741) --
Surrenders............... (312,406) (42,593) (399,418) (42,773)
Administrative expense
(note 3)................ (5,657) (447) (6,665) (527)
Transfer gain (loss) and
transfer fees........... (17,014) 89,687 129,599 (48,872)
Transfer (to) from the
Guarantee Account (note
1)....................... 2,602,797 1,085,095 3,097,131 1,327,515
Interfund transfers....... 238,136 1,229,734 3,205,503 782,072
----------- --------- ---------- ---------
Increase (decrease) in net
assets from capital
transactions.............. 5,694,789 4,234,520 13,643,902 3,670,867
----------- --------- ---------- ---------
Increase (decrease) in net
assets.................... 5,936,122 4,262,568 12,890,305 3,623,191
Net assets at beginning of
year...................... 4,262,568 -- 3,623,191 --
----------- --------- ---------- ---------
Net assets at end of year.. $10,198,690 4,262,568 16,513,496 3,623,191
=========== ========= ========== =========
</TABLE>
F-32
<PAGE>
GE LIFE & ANNUITY SEPARATE ACCOUNT 4
Statements of Changes in Net Assets, Continued
<TABLE>
<CAPTION>
Salomon Brothers Variable Series Fund Inc.
-----------------------------------------------------------------------------
Strategic Total
Bond Investors Return
Fund Fund Fund
------------------------- ------------------------- -------------------------
Period from Period from Period from
October 22, November 27, October 30,
Year ended 1998 to Year ended 1998 to Year ended 1998 to
December 31, December 31, December 31, December 31, December 31, December 31,
1999 1998 1999 1998 1999 1998
------------ ------------ ------------ ------------ ------------ ------------
<S> <C> <C> <C> <C> <C> <C>
Increase (decrease) in
net assets
From operations:
Net investment income
(expense)............. $ 227,713 5,736 144 40 53,428 4,787
Net realized gain
(loss)................ 1,001 322 (45,705) -- 1,801 1
Unrealized appreciation
(depreciation) on
investments........... (204,979) (4,823) 79,688 321 (108,299) (2,958)
Capital gain
distribution.......... -- 121 -- -- -- 1,011
---------- ------- --------- ------ --------- -------
Increase (decrease) in
net assets from
operations............. 23,735 1,356 34,127 361 (53,070) 2,841
---------- ------- --------- ------ --------- -------
From capital
transactions:
Net premiums........... 2,763,150 19,355 2,330,816 9,900 1,867,404 168,401
Transfers (to) from the
general account of GE
Life and Annuity:
Death benefits........ (10,950) -- -- -- -- --
Surrenders............ (107,247) -- (29,589) -- (26,394) (16)
Administrative expense
(note 3)............. (1,739) (17) (405) (3) (1,097) --
Transfer gain (loss)
and transfer fees.... (3,392) (48) 39,941 123 741 140
Transfer (to) from the
Guarantee Account
(note 1).............. 1,179,490 14,903 425,716 606 1,001,197 14,269
Interfund transfers.... 1,352,931 96,473 980,314 -- 118,197 158,086
---------- ------- --------- ------ --------- -------
Increase (decrease) in
net assets from capital
transactions........... 5,172,243 130,666 3,746,793 10,626 2,960,048 340,880
---------- ------- --------- ------ --------- -------
Increase (decrease) in
net assets............. 5,195,978 132,022 3,780,920 10,987 2,906,978 343,721
Net assets at beginning
of year................ 132,022 -- 10,987 -- 343,721 --
---------- ------- --------- ------ --------- -------
Net assets at end of
year................... $5,328,000 132,022 3,791,907 10,987 3,250,699 343,721
========== ======= ========= ====== ========= =======
</TABLE>
See accompanying notes to financial statements.
F-33
<PAGE>
GE LIFE & ANNUITY SEPARATE ACCOUNT 4
Notes to Financial Statements
December 31, 1999
(1) Description of Entity
GE Life & Annuity Separate Account 4 (the Account), formerly Life of
Virginia Separate Account 4, is a separate investment account established in
1987 by GE Life and Annuity Assurance Company (GE Life & Annuity), formerly
The Life Insurance Company of Virginia, under the laws of the Commonwealth of
Virginia. The Account operates as a unit investment trust under the Investment
Company Act of 1940. The Account is used to fund certain benefits for flexible
premium variable deferred annuity life insurance policies issued by GE Life &
Annuity. GE Life and Annuity Assurance Company is a stock life insurance
company operating under a charter granted by the Commonwealth of Virginia on
March 21, 1871. A majority of the capital stock of GE Life & Annuity is owned
by General Electric Capital Assurance Company. General Electric Capital
Assurance Company and its parent, GE Financial Assurance Holdings, Inc. are
indirectly, wholly-owned subsidiaries of General Electric Capital Corporation
(GE Capital). GE Capital, a diversified financial services company, is a
wholly-owned subsidiary of General Electric Company (GE), a New York
corporation.
In June 1999, a new investment subdivision was added to the Account for all
types of units (see Note 2). The Premier Growth Equity Fund invests solely in
a designated portfolio of the GE Investment Funds, Inc. and is a series type
mutual fund. Between 1997 and 1999, the Oppenheimer Variable Account Capital
Appreciation Fund changed its name to the Oppenheimer Variable Account
Aggressive Growth Fund/VA and the Oppenheimer Variable Account Growth Fund
changed its name to the Oppenheimer Variable Account Capital Appreciation
Fund/VA.
In October 1998, three new investment subdivisions were added to the
Account. The Investors Fund, Strategic Bond Fund, and the Total Return Fund
each invest solely in a designated portfolio of the Salomon Brothers Variable
Series Fund Inc.
In May 1998, three new investment subdivisions were added to the Account.
The U.S. Equity Portfolio invests solely in a designated portfolio of the GE
Investments Funds, Inc. The Mid Cap Value Fund (formerly known as the Mid Cap
Equity Fund) and Growth and Income Fund each invest solely in a designated
portfolio of the Goldman Sachs Variable Insurance Trust. All designated
portfolios described above are series type mutual funds.
Policyowners may transfer cash values between the Account's portfolios and
the Guarantee Account that is part of the general account of GE Life &
Annuity. Amounts transferred to the Guarantee Account earn interest at the
interest rate in effect at the time of such transfer and remain in effect for
one year, after which a new rate may be declared.
(2) Summary of Significant Accounting Policies
(a) Unit Classes
There are four unit classes included in the Account. Type I units are sold
under policy form P1140 and P1141. Type II units are sold under policy forms
P1142, P1142N and P1143. Type III units are sold under policy form P1152 and
began sales in the first quarter of 1999. Type IV unit sales are sold under
Policy Form P1151 and began sales in the second quarter of 1999.
F-34
<PAGE>
GE LIFE & ANNUITY SEPARATE ACCOUNT 4
Notes to Financial Statements -- Continued
December 31, 1999
(2) Summary of Significant Accounting Policies -- Continued
(b) Investments
Investments are stated at fair value which is based on the underlying net
asset value per share of the respective portfolios or funds. Purchases and
sales of investments are recorded on the trade date and income distributions
are recorded on the ex-dividend date. Realized gains and losses on investments
are determined on the average cost basis. The units and unit values are
disclosed as of the last business day in the applicable year.
The aggregate cost of investments acquired and the aggregate proceeds of
investments sold, for the year ended December 31, 1999 were:
<TABLE>
<CAPTION>
Cost of Proceeds
Shares from
Fund/Portfolio Acquired Shares Sold
- -------------- -------------- --------------
<S> <C> <C>
GE Investment Funds, Inc.:
S&P 500 Index Fund............................... $ 479,953,109 240,675,116
Money Market Fund................................ 2,709,722,205 2,475,380,915
Total Return Fund................................ 51,675,569 21,161,494
International Equity Fund........................ 58,643,467 54,760,704
Real Estate Securities Fund...................... 10,713,861 15,004,297
Global Income Fund............................... 6,954,217 7,026,889
Value Equity Fund................................ 54,346,586 25,721,299
Income Fund...................................... 29,457,972 16,007,415
U.S. Equity Fund................................. 43,581,601 7,797,307
Premier Growth Equity Fund....................... 38,883,748 14,367,536
Oppenheimer Variable Account Funds:
Bond Fund/VA..................................... 45,060,045 26,657,558
Aggressive Growth Fund/VA........................ 197,174,231 222,386,370
Capital Appreciation Fund/VA..................... 71,654,277 52,761,076
High Income Fund/VA.............................. 92,366,718 84,579,951
Multiple Strategies Fund/VA...................... 23,029,714 24,055,134
Variable Insurance Products Fund:
Equity-Income Portfolio.......................... 179,598,082 191,780,961
Growth Portfolio................................. 297,222,394 166,464,545
Overseas Portfolio............................... 631,917,400 655,516,215
Variable Insurance Products Fund II:
Asset Manager Portfolio.......................... 89,283,720 126,101,734
Contrafund Portfolio............................. 201,949,816 105,373,757
Variable Insurance Products Fund III:
Growth & Income Portfolio........................ 101,691,761 44,939,988
Growth Opportunties Portfolio.................... 74,653,003 29,331,119
Goldman Sachs Variable Insurance Trust:
Growth and Income Fund........................... 8,838,178 3,077,278
Mid Cap Value Fund............................... 24,173,203 10,663,003
Janus Aspen Series:
Aggressive Growth Portfolio...................... 407,424,565 246,382,506
Growth Portfolio................................. 297,235,227 120,740,868
Worldwide Growth Portfolio....................... 352,769,148 245,642,656
Balanced Portfolio............................... 308,476,408 91,408,986
Flexible Income Portfolio........................ 50,727,756 24,540,205
</TABLE>
F-35
<PAGE>
GE LIFE & ANNUITY SEPARATE ACCOUNT 4
Notes to Financial Statements -- Continued
December 31, 1999
(2) Summary of Significant Accounting Policies -- Continued
<TABLE>
<CAPTION>
Cost of Proceeds
Shares from
Fund/Portfolio Acquired Shares Sold
- -------------- ------------ -----------
<S> <C> <C>
International Growth Portfolio........................ $104,597,851 73,668,969
Capital Appreciation Portfolio........................ 342,016,654 110,984,538
Federated Insurance Series:
Utility Fund II....................................... 32,061,371 16,065,087
High Income Bond Fund II.............................. 100,193,253 81,675,988
American Leaders Fund II.............................. 61,138,187 31,509,097
The Alger American Fund:
Small Capitalization Portfolio........................ 206,574,736 187,536,157
Growth Portfolio...................................... 278,969,806 138,086,817
PBHG Insurance Series Fund, Inc.:
PBHG Large Cap Growth Portfolio....................... 10,200,499 7,400,345
PBHG Growth II Portfolio.............................. 19,335,309 11,354,160
Salomon Brothers Variable Series Fund Inc.:
Strategic Bond Fund................................... 6,599,848 1,173,721
Investors Fund........................................ 5,284,092 1,562,172
Total Return Fund..................................... 4,562,928 1,541,701
</TABLE>
F-36
<PAGE>
GE LIFE & ANNUITY SEPARATE ACCOUNT 4
Notes to Financial Statements -- Continued
December 31, 1999
(2) Summary of Significant Accounting Policies -- Continued
(c) Capital Transactions
The increase (decrease) in outstanding units for Types I, II, III and IV from
capital transactions for the years or periods ended December 31, 1999 and 1998
are as follows:
<TABLE>
<CAPTION>
GE Investments Funds, Inc.
---------------------------------------------------------
S&P 500 Money Total International Real Estate
Index Market Return Equity Securities
Fund Fund Fund Fund Fund
Type I Units: --------- ---------- ------- ------------- -----------
<S> <C> <C> <C> <C> <C>
Units outstanding at
December 31, 1997...... 918,847 3,512,260 631,828 181,530 353,450
--------- ---------- ------- ------- --------
From capital
transactions:
Net premiums........... 43,692 3,088,601 8,156 37,608 139,356
Transfers (to) from the
general account
of GE Life & Annuity:
Death benefits....... (4,853) (89,832) (2,466) (463) (1,816)
Surrenders........... (75,788) (2,689,646) (56,739) (24,253) (85,757)
Cost of insurance and
administrative
expenses............ (2,222) (13,914) (1,299) (767) (3,200)
Transfers (to) from the
Guarantee Account..... 44,702 269,329 8,553 14,103 112,800
Interfund transfers.... 172,435 1,145,551 (3,122) (46,225) (198,141)
--------- ---------- ------- ------- --------
Net increase (decrease)
in units from capital
transactions........... 177,966 1,710,089 (46,917) (19,997) (36,758)
--------- ---------- ------- ------- --------
Units outstanding at
December 31, 1998...... 1,096,813 5,222,349 584,911 161,533 316,692
--------- ---------- ------- ------- --------
From capital
transactions:
Net premiums........... 26,703 759,952 3,914 4,903 4,743
Transfers (to) from the
general account
of GE Life & Annuity:
Death benefits...... (2,575) (38,073) (6,637) (820) (798)
Surrenders.......... (92,539) (2,984,885) (69,560) (18,356) (28,756)
Cost of insurance
and administrative
expenses........... (1,912) (9,559) (1,381) (453) (656)
Transfers (to) from the
Guarantee Account..... 16,215 158,666 11,706 2,536 5,966
Interfund transfers.... 37,185 2,156,824 (9,232) 54,195 (78,972)
--------- ---------- ------- ------- --------
Net increase (decrease)
in units from capital
transactions........... (16,923) 42,925 (71,190) 42,005 (98,473)
--------- ---------- ------- ------- --------
Units outstanding at
December 31, 1999...... 1,079,890 5,265,274 513,721 203,538 218,219
========= ========== ======= ======= ========
</TABLE>
F-37
<PAGE>
GE LIFE & ANNUITY SEPARATE ACCOUNT 4
Notes to Financial Statements -- Continued
December 31, 1999
(2) Summary of Significant Accounting Policies -- Continued
<TABLE>
<CAPTION>
GE Investments Funds, Inc. (continued)
---------------------------------------------------
Global Value U.S. Premier
Income Equity Income Equity Growth Equity
Fund Fund Fund Fund Fund
Type I Units: ------- ------- --------- ------- -------------
<S> <C> <C> <C> <C> <C>
Units outstanding at
December 31, 1997......... 12,950 177,211 1,295,638 -- --
------- ------- --------- ------- ------
From capital transactions:
Net premiums.............. 3,542 73,340 14,672 2,951 --
Transfers (to) from the
general account of GE
Life & Annuity:
Death benefits........... -- (261) (5,419) -- --
Surrenders............... (3,547) (33,659) (93,554) (67) --
Cost of insurance and
administrative
expenses................ (80) (1,036) (1,780) (24) --
Transfers (to) from the
Guarantee Account........ 8,901 54,595 34,085 660 --
Interfund transfers....... 24,866 115,186 89,003 22,607 --
------- ------- --------- ------- ------
Net increase (decrease) in
units from capital
transactions.............. 33,682 208,165 37,007 26,127 --
------- ------- --------- ------- ------
Units outstanding at
December 31, 1998......... 46,632 385,376 1,332,645 26,127 --
------- ------- --------- ------- ------
From capital transactions:
Net premiums.............. 316 59,988 7,628 19,691 1,385
Transfers (to) from the
general account of GE
Life & Annuity:
Death benefits........... -- (5,314) (28,458) -- --
Surrenders............... (11,174) (63,009) (154,718) (12,593) (2,995)
Cost of insurance and
administrative
expenses................ (106) (667) (2,892) (127) (39)
Transfers (to) from the
Guarantee Account........ (322) 11,639 33,529 2,525 3,139
Interfund transfers....... 15,435 31,733 (63,546) 47,268 45,113
------- ------- --------- ------- ------
Net increase (decrease) in
units from capital
transactions.............. 4,149 34,370 (208,457) 56,764 46,603
------- ------- --------- ------- ------
Units outstanding at
December 31, 1999......... 50,781 419,746 1,124,188 82,891 46,603
======= ======= ========= ======= ======
</TABLE>
F-38
<PAGE>
GE LIFE & ANNUITY SEPARATE ACCOUNT 4
Notes to Financial Statements -- Continued
December 31, 1999
(2) Summary of Significant Accounting Policies -- Continued
<TABLE>
<CAPTION>
Oppenheimer Variable Account Funds
--------------------------------------------------------
Aggressive Capital High Multiple
Bond Growth Appreciation Income Strategies
Fund/VA Fund/VA Fund/VA Fund/VA Fund/VA
Type I Units: -------- ---------- ------------ --------- ----------
<S> <C> <C> <C> <C> <C>
Units outstanding at
December 31, 1997...... 929,630 2,591,419 1,291,813 1,869,843 1,553,549
-------- --------- --------- --------- ---------
From capital
transactions:
Net premiums........... 74,703 19,338 34,584 31,959 40,822
Transfers (to) from the
general account of
GE Life & Annuity:
Death benefits....... (15,395) (5,238) (2,748) (10,837) (8,380)
Surrenders........... (407,204) (170,429) (110,751) (182,095) (161,263)
Cost of insurance and
administrative
expenses............ (5,618) (5,190) (2,659) (4,385) (3,584)
Transfers (to) from the
Guarantee Account..... 81,767 15,924 19,698 51,660 19,533
Interfund transfers.... 257,976 (101,296) (56,877) (97,711) (96,211)
-------- --------- --------- --------- ---------
Net increase (decrease)
in units from capital
transactions........... (13,771) (246,891) (118,753) (211,409) (209,083)
-------- --------- --------- --------- ---------
Units outstanding at
December 31, 1998...... 915,859 2,344,528 1,173,060 1,658,434 1,344,466
-------- --------- --------- --------- ---------
From capital
transactions:
Net premiums........... 16,723 8,891 9,743 6,374 5,456
Loan interest.......... -- -- -- -- --
Transfers (to) from the
general account of
GE Life & Annuity:
Death benefits....... (1,308) (5,005) (5,270) (15,916) (12,309)
Surrenders........... (131,944) (252,917) (131,083) (219,777) (185,583)
Cost of insurance and
administrative
expenses............ (2,123) (4,988) (2,494) (3,586) (2,994)
Transfers (to) from
the Guarantee
Account.............. 31,638 (1,082) 4,151 8,252 4,406
Interfund transfers... (60,601) (284,897) (90,649) (188,252) (102,355)
-------- --------- --------- --------- ---------
Net increase (decrease)
in units from capital
transactions........... (147,615) (539,998) (215,602) (412,905) (293,379)
-------- --------- --------- --------- ---------
Units outstanding at
December 31, 1999...... 768,244 1,804,530 957,458 1,245,529 1,051,087
======== ========= ========= ========= =========
</TABLE>
F-39
<PAGE>
GE LIFE & ANNUITY SEPARATE ACCOUNT 4
Notes to Financial Statements -- Continued
December 31, 1999
(2) Summary of Significant Accounting Policies -- Continued
<TABLE>
<CAPTION>
Variable Insurance Products Variable Insurance Variable Insurance
Fund Products Fund II Products Fund III
-------------------------------- ---------------------- ------------------------
Equity - Asset Growth & Growth
Income Growth Overseas Manager Contrafund Income Opportunities
Portfolio Portfolio Portfolio Portfolio Portfolio Portfolio Portfolio
Type I Units ---------- --------- --------- ---------- ---------- --------- -------------
<S> <C> <C> <C> <C> <C> <C> <C>
Units outstanding at
December 31, 1997...... 6,589,338 4,467,825 3,398,260 17,101,510 3,296,201 294,329 341,417
---------- --------- --------- ---------- --------- -------- --------
From capital
transactions:
Net premiums........... 92,608 28,017 20,092 71,298 74,775 36,361 51,350
Transfers (to) from the
general account of GE
Life & Annuity:
Death benefits....... (21,942) (20,703) (8,411) (86,711) (3,720) -- --
Surrenders........... (584,254) (406,572) (201,390) (1,581,072) (275,339) (33,956) (51,341)
Cost of insurance and
administrative
expenses............ (14,640) (9,624) (6,558) (41,759) (6,747) (1,229) (1,181)
Transfers (to) from the
Guarantee Account..... 51,832 6,585 16,016 16,975 48,507 44,357 39,391
Interfund transfers.... (359,182) (96,107) (404,695) (645,083) (51,589) 411,418 215,578
---------- --------- --------- ---------- --------- -------- --------
Net increase (decrease)
in units from capital
transactions........... (835,578) (498,404) (584,946) (2,266,352) (214,113) 456,951 253,797
---------- --------- --------- ---------- --------- -------- --------
Units outstanding at
December 31, 1998...... 5,753,760 3,969,421 2,813,314 14,835,158 3,082,088 751,280 595,214
---------- --------- --------- ---------- --------- -------- --------
From capital
transactions:
Net premiums........... 32,040 21,432 6,715 55,870 34,968 18,249 62,572
Loan interest.......... -- -- -- -- -- -- --
Transfers (to) from the
general account of GE
Life & Annuity:
Death benefits....... (32,919) (19,611) (10,390) (83,836) (15,176) (4,731) (538)
Surrenders........... (740,369) (578,929) (309,058) (2,113,665) (367,961) (73,634) (116,547)
Cost of insurance and
administrative
expenses............ (12,151) (8,612) (5,175) (36,211) (6,633) (1,662) (1,314)
Transfers (to) from the
Guarantee Account..... (9,305) 6,821 (324) (19,440) 11,652 36,628 14,682
Interfund transfers.... (536,437) (80,399) (250,810) (649,065) (88,685) (107,315) (28,688)
---------- --------- --------- ---------- --------- -------- --------
Net increase (decrease)
in units from capital
transactions........... (1,299,141) (659,298) (569,042) (2,846,347) (431,835) (132,465) (69,833)
---------- --------- --------- ---------- --------- -------- --------
Units outstanding at
December 31, 1999...... 4,454,619 3,310,123 2,244,272 11,988,811 2,650,253 618,815 525,381
========== ========= ========= ========== ========= ======== ========
</TABLE>
F-40
<PAGE>
GE LIFE & ANNUITY SEPARATE ACCOUNT 4
Notes to Financial Statements -- Continued
December 31, 1999
(2) Summary of Significant Accounting Policies -- Continued
<TABLE>
<CAPTION>
PBHG Insurance
Federated Insurance Series Alger American Fund Series Fund, Inc.
------------------------------ ------------------------ --------------------
American High Small PBHG Large PBHG
Leaders Income Bond Utility Capitalization Growth Cap Growth Growth II
Fund II Fund II Fund II Portfolio Portfolio Portfolio Portfolio
Type I Units: -------- ----------- -------- -------------- --------- ---------- ---------
<S> <C> <C> <C> <C> <C> <C> <C>
Units outstanding at
December 31, 1997...... 361,619 456,124 485,332 1,325,070 1,022,514 55,997 76,611
------- ------- -------- --------- --------- ------- -------
From capital
transactions:
Net premiums........... 49,226 (16,663) (2,080) 429,477 25,796 12,832 43,391
Transfers (to) from the
general account of GE
Life & Annuity:
Death benefits....... -- 1,444 816 (384) (6,748) -- --
Surrenders........... (38,733) 22,376 6,445 (28,813) (101,948) (13,525) (2,223)
Cost of insurance and
administrative
expenses............ (1,089) 466 179 (1,249) (2,260) (192) (222)
Transfers (to) from the
Guarantee Account..... 23,362 (25,648) (2,909) 27,106 20,996 8,053 7,385
Interfund transfers.... 86,081 33,576 (9,318) (17,778) 203,074 34,878 (2,510)
------- ------- -------- --------- --------- ------- -------
Net increase (decrease)
in units from capital
transactions........... 118,847 15,551 (6,867) 408,359 138,910 42,046 45,821
------- ------- -------- --------- --------- ------- -------
Units outstanding at
December 31, 1998...... 480,466 471,675 478,465 1,733,429 1,161,424 98,043 122,432
------- ------- -------- --------- --------- ------- -------
From capital
transactions:
Net premiums........... (22,424) 23,352 8,540 8,057 65,273 4,242 4,265
Loan interest.......... -- -- -- -- -- -- --
Transfers (to) from the
general account of GE
Life & Annuity:
Death benefits....... 642 -- (616) (333) (7,424) -- --
Surrenders........... 61,366 (66,408) (58,803) (168,826) (220,228) (11,876) (13,149)
Cost of insurance and
administrative
expenses............ 1,380 (837) (1,105) (2,952) (3,876) (229) (390)
Transfers (to) from the
Guarantee Account..... (21,326) 5,873 1,829 6,564 21,695 1,395 2,631
Interfund transfers.... (25,993) 16,788 (64,401) (485,936) 220,662 40,768 110,913
------- ------- -------- --------- --------- ------- -------
Net increase (decrease)
in units from capital
transactions........... (6,355) (21,232) (114,556) (643,426) 76,102 34,300 104,270
------- ------- -------- --------- --------- ------- -------
Units outstanding at
December 31, 1999...... 474,111 450,443 363,909 1,090,003 1,237,526 132,343 226,702
======= ======= ======== ========= ========= ======= =======
</TABLE>
F-41
<PAGE>
GE LIFE & ANNUITY SEPARATE ACCOUNT 4
Notes to Financial Statements -- Continued
December 31, 1999
(2) Summary of Significant Accounting Policies -- Continued
<TABLE>
<CAPTION>
Janus Aspen Series
---------------------------------------------------------------------------------
Aggressive Worldwide Flexible International Capital
Growth Growth Growth Balanced Income Growth Appreciation
Portfolio Portfolio Portfolio Portfolio Portfolio Portfolio Portfolio
Type I Units: ---------- --------- --------- --------- --------- ------------- ------------
<S> <C> <C> <C> <C> <C> <C> <C>
Units outstanding at
December 31, 1997...... 1,817,576 4,505,765 4,938,272 2,481,552 280,878 1,004,669 49,257
--------- --------- --------- --------- ------- --------- ---------
From capital
transactions:
Net premiums........... 16,545 85,570 235,218 127,113 37,137 55,993 124,428
Transfers (to) from the
general account of GE
Life & Annuity:
Death benefits....... (8,425) (16,960) (17,077) (16,246) (1,939) (2,564) --
Surrenders........... (137,584) (306,115) (371,035) (424,576) (20,362) (67,352) (9,789)
Cost of insurance and
administrative
expenses............ (3,687) (10,854) (11,204) (6,797) (928) (2,002) (416)
Transfers (to) from the
Guarantee Account..... 13,161 60,329 69,943 102,984 62,318 28,874 11,707
Interfund transfers.... (145,916) (10,306) 50,630 652,003 195,121 35,806 331,630
--------- --------- --------- --------- ------- --------- ---------
Net increase (decrease)
in units from capital
transactions........... (265,906) (198,336) (43,525) 434,481 271,347 48,755 457,560
--------- --------- --------- --------- ------- --------- ---------
Units outstanding at
December 31, 1998...... 1,551,670 4,307,429 4,894,747 2,916,033 552,225 1,053,424 506,817
--------- --------- --------- --------- ------- --------- ---------
From capital
transactions:
Net premiums........... 16,117 66,898 87,098 41,784 38,041 20,440 112,397
Loan interest.......... -- -- -- -- -- -- --
Transfers (to) from the
general account of GE
Life & Annuity:
Death benefits....... (5,060) (24,078) (19,731) (10,763) -- (5,129) (829)
Surrenders........... (154,266) (441,863) (536,289) (398,768) (87,684) (170,441) (110,831)
Cost of insurance and
administrative
expenses............ (3,157) (9,579) (10,670) (6,116) (2,017) (2,552) (2,368)
Transfers (to) from the
Guarantee Account..... 6,581 22,989 9,986 47,747 67,950 14,917 18,113
Interfund transfers.... 377,943 217,716 (110,764) 206,259 (53,874) 39,313 600,874
--------- --------- --------- --------- ------- --------- ---------
Net increase (decrease)
in units from capital
transactions........... 238,158 (167,917) (580,370) (119,857) (37,584) (103,452) 617,356
--------- --------- --------- --------- ------- --------- ---------
Units outstanding at
December 31, 1999...... 1,789,828 4,139,512 4,314,377 2,796,176 514,641 949,972 1,124,173
========= ========= ========= ========= ======= ========= =========
</TABLE>
F-42
<PAGE>
GE LIFE & ANNUITY SEPARATE ACCOUNT 4
Notes to Financial Statements -- Continued
December 31, 1999
(2) Summary of Significant Accounting Policies -- Continued
<TABLE>
<CAPTION>
Goldman Sachs
Variable
Insurance Salomon Brothers Variable
Trust Series Fund Inc.
--------------- ---------------------------
Growth
and Mid Cap Strategic Total
Income Value Bond Investors Return
Fund Fund Fund Fund Fund
Type I Units: ------ ------- --------- --------- -------
<S> <C> <C> <C> <C> <C>
Units outstanding at December 31,
1997............................ -- -- -- -- --
------ ------- ------ ------ -------
From capital transactions:
Net premiums.................... -- -- -- -- --
Transfers (to) from the general
account of GE Life & Annuity:
Death benefits................. -- -- -- -- --
Surrenders..................... -- -- -- -- --
Cost of insurance and
administrative expenses....... -- -- -- -- --
Transfers (to) from the
Guarantee Account.............. -- -- -- -- --
Interfund transfers............. -- -- -- -- --
------ ------- ------ ------ -------
Net increase (decrease) in units
from capital transactions....... -- -- -- -- --
------ ------- ------ ------ -------
Units outstanding at December 31,
1998............................ -- -- -- -- --
------ ------- ------ ------ -------
From capital transactions:
Net premiums.................... 54,553 87,322 3,309 1,543 2,537
Loan interest................... -- -- -- -- --
Transfers (to) from the general
account of GE Life & Annuity:
Death benefits................. -- -- -- -- --
Surrenders..................... (1,073) (11,503) (908) (171) 369
Cost of insurance and
administrative expenses....... (141) (314) (133) (23) 161
Transfers (to) from the
Guarantee Account.............. 8,811 1,315 11,419 66 (34,628)
Interfund transfers............. 18,549 118,528 32,748 14,514 37,746
------ ------- ------ ------ -------
Net increase (decrease) in units
from capital transactions....... 80,699 195,348 46,435 15,929 6,185
------ ------- ------ ------ -------
Units outstanding at December 31,
1999............................ 80,699 195,348 46,435 15,929 6,185
====== ======= ====== ====== =======
</TABLE>
F-43
<PAGE>
GE LIFE & ANNUITY SEPARATE ACCOUNT 4
Notes to Financial Statements -- Continued
December 31, 1999
(2) Summary of Significant Accounting Policies -- Continued
<TABLE>
<CAPTION>
GE Investments Funds, Inc.
----------------------------------------------------------
Real
S&P 500 Money Total Estate
Index Market Return International Securities
Fund Fund Fund Equity Fund Fund
Type II Units: --------- ---------- --------- ------------- ----------
<S> <C> <C> <C> <C> <C>
Units outstanding at
December 31, 1997...... 3,025,140 4,980,487 928,145 614,410 1,478,247
--------- ---------- --------- -------- ---------
From capital
transactions:
Net premiums........... 1,191,108 4,686,359 224,832 71,002 242,837
Transfers (to) from the
general account of
GE Life & Annuity:
Death benefits....... (18,705) (269,042) (8,405) (4,372) (9,506)
Surrenders........... (199,459) (1,083,395) (46,133) (38,542) (44,578)
Cost of insurance and
administrative
expenses............ (2,313) (4,489) (698) (803) (1,006)
Transfers (to) from the
Guarantee Account..... 878,507 1,448,793 291,977 130,273 346,955
Interfund transfers.... 313,281 (525,766) 35,416 (130,050) (259,466)
--------- ---------- --------- -------- ---------
Net increase (decrease)
in units from capital
transactions........... 2,162,419 4,252,460 496,989 27,508 275,236
--------- ---------- --------- -------- ---------
Units outstanding at
December 31, 1998...... 5,187,559 9,232,947 1,425,134 641,918 1,753,483
--------- ---------- --------- -------- ---------
From capital
transactions:
Net premiums........... 1,370,969 10,416,167 205,390 75,458 76,678
Transfers (to) from the
general account of
GE Life & Annuity:
Death benefits....... (30,271) (277,340) (16,416) (3,637) (7,735)
Surrenders........... (313,331) (4,042,604) (90,526) (19,183) (118,250)
Cost of insurance and
administrative
expenses............ (3,902) (8,097) (1,063) (429) (1,038)
Transfers (to) from the
Guarantee Account..... 1,648,875 1,088,704 382,126 89,711 159,941
Interfund transfers.... 95,311 (2,417,319) (20,461) (47,864) (453,435)
--------- ---------- --------- -------- ---------
Net increase (decrease)
in units from capital
transactions........... 2,767,651 4,759,511 459,050 94,056 (343,839)
--------- ---------- --------- -------- ---------
Units outstanding at
December 31, 1999...... 7,955,210 13,992,458 1,884,184 735,974 1,409,644
========= ========== ========= ======== =========
</TABLE>
F-44
<PAGE>
GE LIFE & ANNUITY SEPARATE ACCOUNT 4
Notes to Financial Statements -- Continued
December 31, 1999
(2) Summary of Significant Accounting Policies -- Continued
<TABLE>
<CAPTION>
GE Investments Funds, Inc. (continued)
-------------------------------------------------------
Global Value U.S. Premier
Income Equity Income Equity Growth Equity
Fund Fund Fund Fund Fund
Type II Units: ------- --------- --------- --------- -------------
<S> <C> <C> <C> <C> <C>
Units outstanding at
December 31, 1997...... 79,290 730,616 903,249 -- --
------- --------- --------- --------- -------
From capital
transactions:
Net premiums........... 52,447 651,133 162,212 86,729 --
Transfers (to) from the
general account of
GE Life & Annuity:
Death benefits....... -- (1,696) (5,856) -- --
Surrenders........... (2,877) (104,573) (49,209) (787) --
Cost of insurance and
administrative
expenses............ (81) (689) (703) (16) --
Transfers (to) from the
Guarantee Account..... 83,494 607,675 345,204 51,261 --
Interfund transfers.... 73,722 257,534 529,843 43,108 --
------- --------- --------- --------- -------
Net increase (decrease)
in units from capital
transactions........... 206,705 1,409,384 981,491 180,295 --
------- --------- --------- --------- -------
Units outstanding at
December 31, 1998...... 285,995 2,140,000 1,884,740 180,295 --
------- --------- --------- --------- -------
From capital
transactions:
Net premiums........... 21,353 458,276 312,773 715,249 386,311
Transfers (to) from the
general account of
GE Life & Annuity:
Death benefits....... -- (2,410) (15,900) (3,000) (383)
Surrenders........... (6,818) (146,114) (111,572) (22,241) (5,342)
Cost of insurance and
administrative
expenses............ (88) (1,590) (1,338) (359) (82)
Transfers (to) from the
Guarantee Account..... 82,304 546,156 729,550 557,143 145,917
Interfund transfers.... (91,015) 17,474 (68,521) 186,174 276,540
------- --------- --------- --------- -------
Net increase (decrease)
in units from capital
transactions........... 5,736 871,792 844,992 1,432,966 802,961
------- --------- --------- --------- -------
Units outstanding at
December 31, 1999...... 291,731 3,011,792 2,729,732 1,613,261 802,961
======= ========= ========= ========= =======
</TABLE>
F-45
<PAGE>
GE LIFE & ANNUITY SEPARATE ACCOUNT 4
Notes to Financial Statements -- Continued
December 31, 1999
(2) Summary of Significant Accounting Policies -- Continued
<TABLE>
<CAPTION>
Oppenheimer Variable Account Funds
---------------------------------------------------------
Aggressive Capital High Multiple
Bond Growth Appreciation Income Strategies
Fund/VA Fund/VA Fund/VA Fund/VA Fund/VA
Type II Units: --------- ---------- ------------ --------- ----------
<S> <C> <C> <C> <C> <C>
Units outstanding at De-
cember 31, 1997........ 994,017 3,176,448 2,462,359 2,934,974 1,200,126
--------- --------- --------- --------- ---------
From capital transac-
tions:
Net premiums........... 270,558 267,347 407,290 416,094 182,920
Transfers (to) from the
general account of
GE Life & Annuity:
Death benefits....... (14,333) (18,426) (19,533) (24,017) (11,769)
Surrenders........... (74,631) (147,815) (120,149) (177,425) (74,629)
Cost of insurance and
administrative
expenses............ (785) (2,506) (1,908) (2,036) (993)
Transfers (to) from the
Guarantee Account..... 382,347 343,625 410,907 621,713 292,547
Interfund transfers.... 419,337 (505,666) (126,117) (49,276) (29,622)
--------- --------- --------- --------- ---------
Net increase (decrease)
in units from capital
transactions........... 982,493 (63,441) 550,490 785,053 358,454
--------- --------- --------- --------- ---------
Units outstanding at
December 31, 1998...... 1,976,510 3,113,007 3,012,849 3,720,027 1,558,580
--------- --------- --------- --------- ---------
From capital
transactions:
Net premiums........... 261,544 114,559 235,472 187,738 66,844
Transfers (to) from the
general account of
GE Life & Annuity:
Death benefits....... (20,072) (17,306) (18,769) (20,088) (7,328)
Surrenders........... (114,443) (173,315) (149,959) (247,870) (82,238)
Cost of insurance and
administrative
expenses............ (1,229) (1,900) (1,972) (2,515) (972)
Transfers (to) from the
Guarantee Account..... 611,535 110,666 286,238 480,849 153,230
Interfund transfers.... (182,535) (211,744) (130,872) (325,227) (183,302)
--------- --------- --------- --------- ---------
Net increase (decrease)
in units from capital
transactions........... 554,800 (179,040) 220,138 72,887 (53,766)
--------- --------- --------- --------- ---------
Units outstanding at
December 31, 1999...... 2,531,310 2,933,967 3,232,987 3,792,914 1,504,814
========= ========= ========= ========= =========
</TABLE>
F-46
<PAGE>
GE LIFE & ANNUITY SEPARATE ACCOUNT 4
Notes to Financial Statements -- Continued
December 31, 1999
(2) Summary of Significant Accounting Policies -- Continued
<TABLE>
<CAPTION>
Variable Insurance Products Variable Insurance Variable Insurance
Fund Products Fund II Products Fund III
-------------------------------- --------------------- ------------------------
Equity - Asset Growth & Growth
Income Growth Overseas Manager Contrafund Income Opportunities
Portfolio Portfolio Portfolio Portfolio Portfolio Portfolio Portfolio
Type II Units: ---------- --------- --------- --------- ---------- --------- -------------
<S> <C> <C> <C> <C> <C> <C> <C>
Units outstanding at De-
cember 31, 1997........ 10,074,173 3,614,598 1,762,588 2,678,933 8,595,677 976,086 1,049,540
---------- --------- --------- --------- ---------- --------- ---------
From capital transac-
tions:
Net premiums........... 1,114,775 299,241 60,690 252,836 1,051,752 918,372 716,944
Transfers (to) from the
general account of GE
Life & Annuity:
Death benefits....... (77,675) (28,379) (10,651) (17,250) (51,811) (49,171) (7,825)
Surrenders........... (485,863) (150,297) (67,437) (134,438) (317,883) (60,159) (69,582)
Cost of insurance and
administrative
expenses............ (7,075) (2,366) (1,208) (1,548) (6,665) (1,024) (1,197)
Transfers (to) from the
Guarantee Account..... 1,227,043 185,849 81,221 283,280 1,100,294 688,392 768,665
Interfund transfers.... (509,932) (100,385) (208,247) 114,498 (285,564) 371,319 502,246
---------- --------- --------- --------- ---------- --------- ---------
Net increase (decrease)
in units from capital
transactions........... 1,261,273 203,663 (145,632) 497,378 1,490,123 1,867,729 1,909,251
---------- --------- --------- --------- ---------- --------- ---------
Units outstanding at
December 31, 1998...... 11,335,446 3,818,261 1,616,956 3,176,311 10,085,800 2,843,815 2,958,791
---------- --------- --------- --------- ---------- --------- ---------
From capital
transactions:
Net premiums........... 508,048 671,122 32,780 212,839 1,125,622 1,010,227 984,520
Transfers (to) from the
general account of GE
Life & Annuity:
Death benefits....... (52,314) (14,943) (6,271) (20,795) (42,873) (21,323) (17,744)
Surrenders........... (641,881) (252,347) (52,978) (208,601) (526,069) (166,818) (170,732)
Cost of insurance and
administrative
expenses............ (7,133) (2,405) (621) (2,033) (6,316) (2,437) (2,365)
Transfers (to) from the
Guarantee Account..... 782,737 434,475 31,394 356,995 1,034,910 1,417,083 988,048
Interfund transfers.... (961,326) 106,554 (95,733) (153,115) (48,944) (28,808) 25,506
---------- --------- --------- --------- ---------- --------- ---------
Net increase (decrease)
in units from capital
transactions........... (371,869) 942,456 (91,429) 185,290 1,536,330 2,207,924 1,807,233
---------- --------- --------- --------- ---------- --------- ---------
Units outstanding at
December 31, 1999...... 10,963,577 4,760,717 1,525,527 3,361,601 11,622,130 5,051,739 4,766,024
========== ========= ========= ========= ========== ========= =========
</TABLE>
F-47
<PAGE>
GE LIFE & ANNUITY SEPARATE ACCOUNT 4
Notes to Financial Statements -- Continued
December 31, 1999
(2) Summary of Significant Accounting Policies -- Continued
<TABLE>
<CAPTION>
PBHG Insurance Series
Federated Insurance Series Alger American Fund Fund, Inc.
-------------------------------- ------------------------ ------------------------
American High Small PBHG Large PBHG
Leaders Income Bond Utility Capitalization Growth Cap Growth Growth II
Fund II Fund II Fund II Portfolio Portfolio Portfolio Portfolio
Type II Units: --------- ----------- --------- -------------- --------- ----------- -----------
<S> <C> <C> <C> <C> <C> <C> <C>
Units outstanding at
December 31, 1997...... 2,056,691 1,886,887 1,325,701 5,645,458 4,380,186 346,833 576,010
--------- --------- --------- --------- --------- --------- -----------
From capital
transactions:
Net premiums............ 1,050,794 473,760 292,385 543,439 690,044 168,982 126,932
Transfers (to) from the
general account of GE
Life & Annuity:
Death benefits....... (44,621) (24,952) (12,603) (35,528) (33,911) (3,311) (11,165)
Surrenders........... (111,859) (152,690) (73,103) (238,113) (227,269) (33,291) (36,248)
Cost of insurance and
administrative
expenses............ (2,136) (1,284) (1,163) (4,762) (3,266) (404) (590)
Transfers (to) from the
Guarantee Account..... 942,089 803,434 316,103 719,382 587,070 148,909 227,092
Interfund transfers.... 64,125 (7,464) 103,595 (547,462) 212,429 68,319 (42,435)
--------- --------- --------- --------- --------- --------- -----------
Net increase (decrease)
in units from capital
transactions........... 1,898,392 1,090,804 625,214 436,956 1,225,097 349,204 263,586
--------- --------- --------- --------- --------- --------- -----------
Units outstanding at
December 31, 1998...... 3,955,083 2,977,691 1,950,915 6,082,414 5,605,283 696,037 839,596
--------- --------- --------- --------- --------- --------- -----------
From capital
transactions:
Net premiums........... 435,360 341,570 266,112 402,251 1,791,980 90,269 153,521
Transfers (to) from the
general account of GE
Life & Annuity:
Death benefits....... (12,111) (15,026) (29,633) (26,201) (52,245) (5,995) (1,861)
Surrenders........... (247,366) (162,671) (112,310) (332,834) (428,283) (93,949) (65,505)
Cost of insurance and
administrative
expenses............ (3,320) (1,784) (1,448) (3,705) (3,739) (434) (487)
Transfers (to) from the
Guarantee Account..... 814,778 708,367 535,523 475,632 1,181,832 110,416 96,030
Interfund transfers.... (387,724) (472,042) (125,174) (286,721) 488,665 14,787 221,114
--------- --------- --------- --------- --------- --------- -----------
Net increase (decrease)
in units from capital
transactions........... 599,617 398,414 533,070 228,422 2,978,210 115,094 402,812
--------- --------- --------- --------- --------- --------- -----------
Units outstanding at
December 31, 1999...... 4,554,700 3,376,105 2,483,985 6,310,836 8,583,493 811,131 1,242,408
========= ========= ========= ========= ========= ========= ===========
</TABLE>
F-48
<PAGE>
GE LIFE & ANNUITY SEPARATE ACCOUNT 4
Notes to Financial Statements -- Continued
December 31, 1999
(2) Summary of Significant Accounting Policies -- Continued
<TABLE>
<CAPTION>
Janus Aspen Series
--------------------------------------------------------------------------------------
Aggressive Worldwide Flexible International Capital
Growth Growth Growth Balanced Income Growth Appreciation
Portfolio Portfolio Portfolio Portfolio Portfolio Portfolio Portfolio
Type II Units: ----------- ---------- ---------- ---------- --------- ------------- ------------
<S> <C> <C> <C> <C> <C> <C> <C>
Units outstanding at
December 31, 1997...... 3,442,667 7,270,898 10,111,685 2,804,435 869,089 3,001,600 163,550
----------- ---------- ---------- ---------- --------- --------- ---------
From capital
transactions:
Net premiums........... 8,584,230 859,963 1,450,914 1,375,800 279,606 441,888 430,714
Transfers (to) from the
general account of GE
Life & Annuity:
Death benefits....... (1,210,219) (49,261) (36,063) (37,836) (1,075) (22,070) (3,280)
Surrenders........... (5,336,460) (293,814) (402,150) (191,342) (44,562) (83,852) (38,646)
Cost of insurance and
administrative
expenses............ (83,426) (5,694) (7,564) (2,568) (846) (2,512) (341)
Transfers (to) from the
Guarantee Account..... 8,351,873 854,937 1,487,450 1,386,720 485,989 655,579 289,248
Interfund transfers.... (10,259,970) 190,192 (49,539) 724,982 322,950 (134,423) 653,113
----------- ---------- ---------- ---------- --------- --------- ---------
Net increase (decrease)
in units from capital
transactions........... 46,028 1,556,323 2,443,048 3,255,756 1,042,062 854,610 1,330,808
----------- ---------- ---------- ---------- --------- --------- ---------
Units outstanding at
December 31, 1998...... 3,488,695 8,827,221 12,554,733 6,060,191 1,911,151 3,856,210 1,494,358
----------- ---------- ---------- ---------- --------- --------- ---------
From capital
transactions:
Net premiums........... 638,515 1,601,777 1,366,984 2,443,910 407,985 403,321 2,091,905
Transfers (to) from the
general account of GE
Life & Annuity:
Death benefits....... (7,927) (51,477) (70,333) (56,072) (15,328) (13,648) (26,724)
Surrenders........... (177,407) (468,271) (691,964) (481,019) (152,834) (118,139) (153,401)
Cost of insurance and
administrative
expenses............ (1,613) (5,722) (8,181) (5,586) (1,366) (2,208) (1,683)
Transfers (to) from the
Guarantee Account..... 304,246 1,198,630 1,538,151 3,543,222 1,004,702 411,856 1,373,095
Interfund transfers.... 823,090 599,116 (110,536) 947,079 18,560 190,955 1,630,334
----------- ---------- ---------- ---------- --------- --------- ---------
Net increase (decrease)
in units from capital
transactions........... 1,578,904 2,874,053 2,024,121 6,391,534 1,261,719 872,137 4,913,526
----------- ---------- ---------- ---------- --------- --------- ---------
Units outstanding at
December 31, 1999...... 5,067,599 11,701,274 14,578,854 12,451,725 3,172,870 4,728,347 6,407,884
=========== ========== ========== ========== ========= ========= =========
</TABLE>
F-49
<PAGE>
GE LIFE & ANNUITY SEPARATE ACCOUNT 4
Notes to Financial Statements -- Continued
December 31, 1999
(2) Summary of Significant Accounting Policies -- Continued
<TABLE>
<CAPTION>
Goldman Sachs
Variable Salomon Brothers Variable
Insurance Trust Series Fund Inc.
------------------ ---------------------------
Growth
and Mid Cap Strategic Total
Income Value Bond Investors Return
Fund Fund Fund Fund Fund
Type II Units: ------- --------- --------- --------- -------
<S> <C> <C> <C> <C> <C>
Units outstanding at December
31, 1997..................... -- -- -- -- --
------- --------- ------- ------- -------
From capital transactions:
Net premiums................. 205,860 187,855 -- 811 15,933
Transfers (to) from the
general account of GE Life &
Annuity:
Death benefits.............. -- -- -- -- --
Surrenders.................. (4,646) (4,160) -- -- (2)
Cost of insurance and
administrative expenses.... (13) (9) 1,466 -- --
Transfers (to) from the
Guarantee Account........... 104,669 147,037 8,628 52 1,350
Interfund transfers.......... 123,066 14,810 -- -- 8,634
------- --------- ------- ------- -------
Net increase (decrease) in
units from capital
transactions................. 428,936 345,533 10,094 863 25,915
------- --------- ------- ------- -------
Units outstanding at December
31, 1998..................... 428,936 345,533 10,094 863 25,915
------- --------- ------- ------- -------
From capital transactions:
Net premiums................. 136,381 275,911 87,824 38,147 63,047
Transfers (to) from the
general account of GE Life &
Annuity:
Death benefits.............. -- (1,270) (1,085) -- --
Surrenders.................. (29,344) (30,281) (3,421) (962) (1,857)
Cost of insurance and
administrative expenses.... (460) (479) (43) (6) (80)
Transfers (to) from the
Guarantee Account........... 265,191 332,699 101,045 24,576 86,095
Interfund transfers.......... (20,938) 234,275 51,365 49,316 2,424
------- --------- ------- ------- -------
Net increase (decrease) in
units from capital
transactions................. 350,830 810,855 235,685 111,071 149,629
------- --------- ------- ------- -------
Units outstanding at December
31, 1999..................... 779,766 1,156,388 245,779 111,934 175,544
======= ========= ======= ======= =======
</TABLE>
F-50
<PAGE>
GE LIFE & ANNUITY SEPARATE ACCOUNT 4
Notes to Financial Statements -- Continued
December 31, 1999
(2) Summary of Significant Accounting Policies -- Continued
<TABLE>
<CAPTION>
GE Investments Funds, Inc.
-------------------------------------------------------------
S&P 500 Total Real Estate
Index Money Market Return International Securities
Fund Fund Fund Equity Fund Fund
Type III Units: --------- ------------ --------- ------------- -----------
<S> <C> <C> <C> <C> <C>
Units outstanding at
December 31, 1998...... -- -- -- -- --
--------- ----------- --------- ------- -------
From capital
transactions:
Net premiums........... 6,802,805 26,606,289 1,215,947 145,060 95,069
Transfers (to) from the
general account of
GE Life & Annuity:
Death benefits....... (12,776) (144,732) -- -- --
Surrenders........... (58,579) (148,000) (18,907) (644) (3,611)
Transfers (to) from the
Guarantee Account..... 150,344 82,774 21,136 4,164 6,696
Interfund transfers.... 940,109 (13,692,527) 87,529 30,883 9,648
--------- ----------- --------- ------- -------
Net increase (decrease)
in units from capital
transactions........... 7,821,903 12,703,804 1,305,705 179,463 107,802
--------- ----------- --------- ------- -------
Units outstanding at
December 31, 1999...... 7,821,903 12,703,804 1,305,705 179,463 107,802
========= =========== ========= ======= =======
</TABLE>
<TABLE>
<CAPTION>
GE Investments Funds, Inc. (continued)
--------------------------------------------
Value U.S. Premier
Equity Income Equity Growth Equity
Fund Fund Fund Fund
Type III Units: --------- ------- --------- -------------
<S> <C> <C> <C> <C>
Units outstanding at December 31,
1998............................. -- -- -- --
--------- ------- --------- ---------
From capital transactions:
Net premiums..................... 1,036,116 314,012 1,220,973 936,093
Transfers (to) from the general
account of GE Life & Annuity:
Death benefits.................. (6,042) (2,147) (973) --
Surrenders...................... (17,768) (6,141) (11,217) (6,629)
Transfers (to) from the Guarantee
Account......................... 22,379 6,119 13,194 26,808
Interfund transfers.............. 133,571 121,853 220,867 424,162
--------- ------- --------- ---------
Net increase (decrease) in units
from capital transactions........ 1,168,256 433,696 1,442,844 1,380,434
--------- ------- --------- ---------
Units outstanding at December 31,
1999............................. 1,168,256 433,696 1,442,844 1,380,434
========= ======= ========= =========
</TABLE>
F-51
<PAGE>
GE LIFE & ANNUITY SEPARATE ACCOUNT 4
Notes to Financial Statements -- Continued
December 31, 1999
(2) Summary of Significant Accounting Policies -- Continued
<TABLE>
<CAPTION>
Oppenheimer Variable Account Funds
----------------------------------------------------
Aggressive Capital High Multiple
Bond Growth Appreciation Income Strategies
Fund/VA Fund/VA Fund/VA Fund/VA Fund/VA
Type III Units: ------- ---------- ------------ ------- ----------
<S> <C> <C> <C> <C> <C>
Units outstanding at
December 31, 1998........ -- -- -- -- --
------- ------- --------- ------- -------
From capital transactions:
Net premiums............. 598,416 593,660 986,033 879,869 293,357
Transfers (to) from the
general account of
GE Life & Annuity:
Death benefits......... (24,269) (3,451) (1,032) (1,416) --
Surrenders............. (13,660) (10,533) (15,060) (8,322) (2,950)
Transfers (to) from the
Guarantee Account....... 30,987 12,469 29,811 23,655 5,153
Interfund transfers...... 99,491 302,111 214,622 29,413 10,265
------- ------- --------- ------- -------
Net increase (decrease) in
units from capital
transactions............. 690,965 894,256 1,214,374 923,199 305,825
------- ------- --------- ------- -------
Units outstanding at
December 31, 1999........ 690,965 894,256 1,214,374 923,199 305,825
======= ======= ========= ======= =======
</TABLE>
<TABLE>
<CAPTION>
Variable Insurance Products Variable Insurance Variable Insurance
Fund Products Fund II Products Fund III
------------------------------- -------------------- ------------------------
Equity - Asset Growth & Growth
Income Growth Overseas Manager Contrafund Income Opportunities
Portfolio Portfolio Portfolio Portfolio Portfolio Portfolio Portfolio
Type III Units: --------- --------- --------- --------- ---------- --------- -------------
<S> <C> <C> <C> <C> <C> <C> <C>
Units outstanding at
December 31, 1998...... -- -- -- -- -- -- --
--------- --------- ------- ------- --------- --------- ---------
From capital
transactions:
Net premiums........... 2,911,113 5,455,784 342,131 655,968 4,350,101 1,863,827 1,517,495
Transfers (to) from the
general account of GE
Life & Annuity:
Death benefits........ (1,168) (10,565) -- -- (7,525) (1,287) (1,320)
Surrenders............ (35,105) (64,018) (7,322) (11,671) (25,586) (35,107) (10,269)
Transfers (to) from the
Guarantee Account..... 76,560 94,771 1,189 13,510 129,791 66,596 72,775
Interfund transfers.... 252,253 1,085,738 52,069 119,705 765,205 184,950 130,481
--------- --------- ------- ------- --------- --------- ---------
Net increase (decrease)
in units from capital
transactions........... 3,203,653 6,561,710 388,067 777,512 5,211,986 2,078,979 1,709,162
--------- --------- ------- ------- --------- --------- ---------
Units outstanding at
December 31, 1999...... 3,203,653 6,561,710 388,067 777,512 5,211,986 2,078,979 1,709,162
========= ========= ======= ======= ========= ========= =========
</TABLE>
F-52
<PAGE>
GE LIFE & ANNUITY SEPARATE ACCOUNT 4
Notes to Financial Statements -- Continued
December 31, 1999
(2) Summary of Significant Accounting Policies -- Continued
<TABLE>
<CAPTION>
Federated Insurance Series Alger American Fund
------------------------------ ------------------------
American High Small
Leaders Income Bond Utility Capitalization Growth
Fund II Fund II Fund II Portfolio Portfolio
Type III Units: --------- ----------- ------- -------------- ---------
<S> <C> <C> <C> <C> <C>
Units outstanding at
December 31, 1998...... -- -- -- -- --
--------- ------- ------- --------- ---------
From capital
transactions:
Net premiums........... 1,215,352 684,526 421,560 998,630 4,680,722
Transfers (to) from the
general account of
GE Life & Annuity:
Death benefits....... -- (2,079) (120) (1,650) (35,922)
Surrenders........... (9,777) (12,146) (8,023) (4,078) (43,905)
Transfers (to) from the
Guarantee Account..... 38,379 45,896 15,150 18,113 66,471
Interfund transfers.... (129,411) 82,989 63,004 149,741 709,788
--------- ------- ------- --------- ---------
Net increase (decrease)
in units from capital
transactions........... 1,114,543 799,186 491,571 1,160,756 5,377,154
--------- ------- ------- --------- ---------
Units outstanding at
December 31, 1999...... 1,114,543 799,186 491,571 1,160,756 5,377,154
========= ======= ======= ========= =========
</TABLE>
<TABLE>
<CAPTION>
Janus Aspen Series
---------------------------------------------------------------------------------
Aggressive Worldwide Flexible International Capital
Growth Growth Growth Balanced Income Growth Appreciation
Portfolio Portfolio Portfolio Portfolio Portfolio Portfolio Portfolio
Type III Units: ---------- --------- --------- --------- --------- ------------- ------------
<S> <C> <C> <C> <C> <C> <C> <C>
Units outstanding at
December 31, 1998...... -- -- -- -- -- -- --
--------- --------- --------- --------- ------- --------- ---------
From capital transac-
tions:
Net premiums........... 3,433,215 6,733,050 4,679,934 6,431,170 572,513 863,953 6,946,766
Transfers (to) from the
general account of GE
Life & Annuity:
Death benefits....... (8,849) (7,911) (2,840) (2,310) -- (3,678) (45,793)
Surrenders........... (31,999) (80,226) (40,954) (74,010) (18,968) (11,168) (66,978)
Transfers (to) from the
Guarantee Account..... 44,684 140,668 134,338 185,544 2,662 21,060 97,938
Interfund transfers.... 1,344,419 1,493,334 1,019,353 664,637 49,863 380,948 1,141,405
--------- --------- --------- --------- ------- --------- ---------
Net increase (decrease)
in units from capital
transactions........... 4,781,470 8,278,915 5,789,831 7,205,031 606,070 1,251,115 8,073,338
--------- --------- --------- --------- ------- --------- ---------
Units outstanding at
December 31, 1999...... 4,781,470 8,278,915 5,789,831 7,205,031 606,070 1,251,115 8,073,338
========= ========= ========= ========= ======= ========= =========
</TABLE>
F-53
<PAGE>
GE LIFE & ANNUITY SEPARATE ACCOUNT 4
Notes to Financial Statements -- Continued
December 31, 1999
(2) Summary of Significant Accounting Policies -- Continued
<TABLE>
<CAPTION>
Goldman Sachs
Variable Insurance Salomon Brothers Variable
Trust Series Fund Inc.
------------------ ---------------------------
Growth and Mid Cap Strategic Total
Income Value Bond Investors Return
Fund Fund Fund Fund Fund
Type III Units: ---------- ------- --------- --------- -------
<S> <C> <C> <C> <C> <C>
Units outstanding at December
31, 1998..................... -- -- -- -- --
------- ------- ------- ------- -------
From capital transactions:
Net premiums................. 179,877 448,554 166,205 164,131 100,325
Transfers (to) from the
general account of GE Life &
Annuity:
Death benefits.............. -- (3,176) -- -- --
Surrenders.................. (3,320) (4,186) (6,562) (1,317) (577)
Transfers (to) from the
Guarantee Account........... 9,236 20,162 4,931 9,264 2,093
Interfund transfers.......... 18,805 21,492 59,307 15,033 16,015
------- ------- ------- ------- -------
Net increase (decrease) in
units from capital
transactions................. 204,598 482,846 223,881 187,111 117,856
------- ------- ------- ------- -------
Units outstanding at December
31, 1999..................... 204,598 482,846 223,881 187,111 117,856
======= ======= ======= ======= =======
</TABLE>
<TABLE>
<CAPTION>
GE Investments Funds, Inc.
------------------------------------------------------
S&P 500 Money Total International Real Estate
Index Market Return Equity Securities
Fund Fund Fund Fund Fund
Type IV Units: ------- ---------- ------ ------------- -----------
<S> <C> <C> <C> <C> <C>
Units outstanding at
December 31, 1998...... -- -- -- -- --
------- ---------- ------ ------ ------
From capital
transactions:
Net premiums........... 436,947 2,333,947 58,534 11,080 3,519
Transfers (to) from the
general account of GE
Life & Annuity:
Death benefits........ -- -- -- -- --
Surrenders............ (1,506) (30,516) (465) -- --
Transfers (to) from the
Guarantee Account..... 5,872 -- 1,056 -- --
Interfund transfers.... 102,301 (1,089,158) 18,954 4,120 6,968
------- ---------- ------ ------ ------
Net increase (decrease)
in units from capital
transactions........... 543,614 1,214,273 78,079 15,200 10,487
------- ---------- ------ ------ ------
Units outstanding at
December 31, 1999...... 543,614 1,214,273 78,079 15,200 10,487
======= ========== ====== ====== ======
</TABLE>
<TABLE>
<CAPTION>
GE Investments Funds, Inc.
(continued)
---------------------------------------
Value U.S. Premier
Equity Income Equity Growth Equity
Fund Fund Fund Fund
Type IV Units: ------- ------ ------- -------------
<S> <C> <C> <C> <C>
Units outstanding at December 31,
1998.................................. -- -- -- --
------- ------ ------- ------
From capital transactions:
Net premiums.......................... 130,022 53,541 76,072 61,341
Transfers (to) from the general
account of GE Life & Annuity:
Death benefits....................... -- -- -- --
Surrenders........................... (527) (216) (213) (194)
Transfers (to) from the Guarantee Ac-
count................................ 2,195 -- 385 105
Interfund transfers................... 15,650 13,753 24,662 35,583
------- ------ ------- ------
Net increase (decrease) in units from
capital transactions.................. 147,340 67,078 100,906 96,835
------- ------ ------- ------
Units outstanding at December 31,
1999.................................. 147,340 67,078 100,906 96,835
======= ====== ======= ======
</TABLE>
F-54
<PAGE>
GE LIFE & ANNUITY SEPARATE ACCOUNT 4
Notes to Financial Statements -- Continued
December 31, 1999
(2) Summary of Significant Accounting Policies -- Continued
<TABLE>
<CAPTION>
Oppenheimer Variable Account Funds
----------------------------------------------------
Aggressive Capital High Multiple
Bond Growth Appreciation Income Strategies
Fund/VA Fund/VA Fund/VA Fund/VA Fund/VA
Type IV Units: ------- ---------- ------------ ------- ----------
<S> <C> <C> <C> <C> <C>
Units outstanding at
December 31, 1998.......... -- -- -- -- --
------ ------ ------ ------ ------
From capital transactions:
Net premiums............... 47,460 17,619 78,714 28,067 9,815
Transfers (to) from the
general account of GE Life
& Annuity:
Death benefits............ -- -- -- -- --
Surrenders................ (245) (66) (899) (48) --
Transfers (to) from the
Guarantee Account......... -- 168 -- -- 152
Interfund transfers........ (5,466) 7,029 3,613 7,839 399
------ ------ ------ ------ ------
Net increase (decrease) in
units from capital
transactions............... 41,749 24,750 81,428 35,858 10,366
------ ------ ------ ------ ------
Units outstanding at
December 31, 1999.......... 41,749 24,750 81,428 35,858 10,366
====== ====== ====== ====== ======
</TABLE>
<TABLE>
<CAPTION>
Variable Insurance Variable Insurance
Variable Insurance Products Fund Products Fund II Products Fund III
-------------------------------------- -------------------- -----------------------
Equity- Asset Growth & Growth
Income Growth Overseas Manager Contrafund Income Opportunities
Portfolio Portfolio Portfolio Portfolio Portfolio Portfolio Portfolio
Type IV Units: ----------- ----------- ---------- --------- ---------- --------- -------------
<S> <C> <C> <C> <C> <C> <C> <C>
Units outstanding at
December 31, 1998...... -- -- -- -- -- -- --
----------- ----------- ---------- ------ ------- ------- ------
From capital
transactions:
Net premiums........... 216,084 270,338 25,780 34,594 269,745 134,288 65,370
Transfers (to) from the
general account of GE
Life & Annuity:
Death benefits....... -- -- -- -- -- -- --
Surrenders........... (756) (1,836) (2) (134) (1,607) (368) (519)
Transfers (to) from the
Guarantee Account..... 3,774 2,002 -- 358 2,732 4,476 165
Interfund transfers.... 23,594 63,231 2,412 10,072 65,745 12,269 27,604
----------- ----------- ---------- ------ ------- ------- ------
Net increase (decrease)
in units from capital
transactions........... 242,696 333,735 28,190 44,890 336,615 150,665 92,620
----------- ----------- ---------- ------ ------- ------- ------
Units outstanding at
December 31, 1999...... 242,696 333,735 28,190 44,890 336,615 150,665 92,620
=========== =========== ========== ====== ======= ======= ======
</TABLE>
F-55
<PAGE>
GE LIFE & ANNUITY SEPARATE ACCOUNT 4
Notes to Financial Statements -- Continued
December 31, 1999
(2) Summary of Significant Accounting Policies -- Continued
<TABLE>
<CAPTION>
Federated Insurance Series Alger American Fund
---------------------------- ------------------------
American High Small
Leaders Income Bond Utility Capitalization Growth
Fund II Fund II Fund II Portfolio Portfolio
Type IV Units: -------- ----------- ------- -------------- ---------
<S> <C> <C> <C> <C> <C>
Units outstanding at
December 31, 1998....... -- -- -- -- --
------ ------ ------ ------ -------
From capital
transactions:
Net premiums............ 76,520 55,116 33,820 97,052 188,807
Transfers (to) from the
general account of
GE Life & Annuity:
Death benefits........ -- -- -- -- --
Surrenders............ (68) (345) (210) (852) (828)
Transfers (to) from the
Guarantee Account...... -- 846 -- 45 3,434
Interfund transfers..... 8,735 256 2,649 1,414 40,348
------ ------ ------ ------ -------
Net increase (decrease)
in units from capital
transactions............ 85,187 55,873 36,259 97,659 231,761
------ ------ ------ ------ -------
Units outstanding at
December 31, 1999....... 85,187 55,873 36,259 97,659 231,761
====== ====== ====== ====== =======
</TABLE>
<TABLE>
<CAPTION>
Janus Aspen Series
-----------------------------------------------------------------------------
Aggressive Worldwide Flexible International Capital
Growth Growth Growth Balanced Income Growth Appreciation
Portfolio Portfolio Portfolio Portfolio Portfolio Portfolio Portfolio
Type IV Units: ---------- --------- --------- --------- --------- ------------- ------------
<S> <C> <C> <C> <C> <C> <C> <C>
Units outstanding at
December 31, 1998...... -- -- -- -- -- -- --
------- ------- ------- ------- ------ ------- -------
From capital
transactions:
Net premiums........... 290,801 414,640 334,265 302,041 86,807 79,968 343,133
Transfers (to) from the
general account of GE
Life & Annuity:
Death benefits....... -- -- -- -- -- -- --
Surrenders........... (971) (1,895) (1,705) (1,671) (692) (353) (1,763)
Transfers (to) from the
Guarantee Account..... 767 1,935 4,641 6,715 1,497 41 3,287
Interfund transfers.... 222,512 85,744 69,747 40,846 1,601 22,725 83,434
------- ------- ------- ------- ------ ------- -------
Net increase (decrease)
in units from capital
transactions........... 513,109 500,424 406,948 347,931 89,213 102,381 428,091
------- ------- ------- ------- ------ ------- -------
Units outstanding at
December 31, 1999...... 513,109 500,424 406,948 347,931 89,213 102,381 428,091
======= ======= ======= ======= ====== ======= =======
</TABLE>
F-56
<PAGE>
GE LIFE & ANNUITY SEPARATE ACCOUNT 4
Notes to Financial Statements -- Continued
December 31, 1999
(2) Summary of Significant Accounting Policies -- Continued
<TABLE>
<CAPTION>
Goldman Sachs
Variable Insurance Salomon Brothers
Trust Variable Series Fund Inc.
------------------ --------------------------
Growth and Mid Cap Strategic Total
Income Value Bond Investors Return
Fund Fund Fund Fund Fund
Type IV Units: ---------- ------- --------- --------- ------
<S> <C> <C> <C> <C> <C>
Units outstanding at December
31, 1998....................... -- -- -- -- --
------ ------ ------ ------ ------
From capital transactions:
Net premiums................... 10,321 42,856 20,339 6,921 17,669
Transfers (to) from the general
account of GE Life & Annuity:
Death benefits................ -- -- -- -- --
Surrenders.................... -- (88) -- (44) --
Transfers (to) from the
Guarantee Account............. -- -- -- -- --
Interfund transfers............ 4,788 41 (5,043) (4,012) (1,377)
------ ------ ------ ------ ------
Net increase (decrease) in units
from capital transactions...... 15,109 42,809 15,296 2,865 16,292
------ ------ ------ ------ ------
Units outstanding at December
31, 1999....................... 15,109 42,809 15,296 2,865 16,292
====== ====== ====== ====== ======
</TABLE>
(d) Federal Income Taxes
The Account is not taxed separately because the operations of the Account
are part of the total operations of GE Life & Annuity. GE Life & Annuity is
taxed as a life insurance company under the Internal Revenue Code (the Code).
GE Life & Annuity is included in the General Electric Capital Assurance
Company consolidated federal income tax return. The Account will not be taxed
as a regulated investment company under subchapter M of the Code. Under
existing federal income tax law, no taxes are payable on the investment income
or on the capital gains of the Account.
(e) Use of Estimates
Financial statements prepared in conformity with generally accepted
accounting principles require management to make estimates and assumptions
that affect amounts and disclosures reported therein. Actual results could
differ from those estimates.
(3) Related Party Transactions
Net premiums transferred from GE Life & Annuity to the Account represent
gross premiums recorded by GE Life & Annuity on its flexible premium variable
deferred annuity products, less deductions retained as compensation for
premium taxes. For policies issued on or after May 1, 1993, the deduction for
premium taxes will be deferred until surrender. For Type I policies, during
the first ten years following a premium payment, a charge of .20% of the
premium payment is deducted monthly from the policy Account values to
reimburse GE Life & Annuity for certain distribution expenses. In addition, a
charge is imposed on full and certain partial surrenders that occur within six
years of any premium payment for Type I policies, seven years for certain Type
II policies, and eight years for Type III policies. These surrender charges
are assessed to cover certain expenses relating to the sale of a policy.
Subject to certain limitations, the charge equals 6% (or less) of the premium
surrendered for Type I and Type II policies and 8% (or less) for Type III
policies, depending on the time between premium payment and surrender. There
is no surrender charge for Type IV policies.
GE Life & Annuity will deduct the following charges from the policy account
values to cover certain administrative expenses incurred: $30 per year for
Type I policies, $25 plus 0.15% per year for Type II policies, and $25 plus
0.25% per year for both Type III and Type IV policies. For Type II, III and IV
policies, the $25 charge may be waived if the account value is greater than
$75,000, $10,000, and $25,000, respectively. In addition, GE Life & Annuity
charges the Account for the mortality and expense risk that GE Life & Annuity
assumes based on the following rates: Type I--1.15%, Type II--1.25%, Type
III--1.3%, and Type IV--1.35%. Administrative expenses as well as mortality
and risk charges are deducted daily and reflect the effective annual rates.
F-57
<PAGE>
GE LIFE & ANNUITY SEPARATE ACCOUNT 4
Notes to Financial Statements -- Continued
December 31, 1999
(3) Related Party Transactions -- Continued
GE Investments Funds, Inc. (the Fund) is an open-end diversified management
investment company.
Capital Brokerage Corporation, an affiliate of GE Life & Annuity, is a
Washington Corporation registered with the Commission under the Securities
Exchange Act of 1934 as a broker-dealer and is a member of the National
Association of Securities Dealers, Inc. Capital Brokerage Corporation also
serves as principal underwriter for variable life insurance policies issued by
GE Life & Annuity.
GE Investment Management Incorporated (Investment Advisor), a wholly-owned
subsidiary of GE, currently serves as investment advisor to GE Investments
Funds, Inc. As compensation for its services, the Investment Advisor is paid an
investment advisory fee by the Fund based on the average daily net assets at an
effective annual rate of .35% for the S&P 500 Index Fund, .50% for the Money
Market, Income Fund, and Total Return Funds, 1.00% for the International Equity
Fund, .85% for the Real Estate Securities Fund, .60% for the Global Income
Fund, .65% for the Value Equity and Premier Growth Equity Funds, and .55% for
the U.S. Equity Fund.
Certain officers and directors of GE Life & Annuity are also officers and
directors of Capital Brokerage Corporation.
F-58
