<PAGE>
GE LIFE & ANNUITY SEPARATE ACCOUNT 4
Financial Statements
For the six months ended June 30, 2000
(Unaudited)
<PAGE>
GE LIFE & ANNUITY SEPARATE ACCOUNT 4
Table of Contents
For the six months ended June 30, 2000
<TABLE>
<CAPTION>
Page
----
<S> <C>
Financial Statements (Unaudited):
Statements of Assets and Liabilities...................................... F-1
Statements of Operations.................................................. F-11
Statements of Changes in Net Assets....................................... F-17
Notes to Financial Statements (Unaudited).................................. F-27
</TABLE>
<PAGE>
GE LIFE & ANNUITY SEPARATE ACCOUNT 4
Statements of Assets and Liabilities
June 30, 2000
(Unaudited)
<TABLE>
<CAPTION>
GE Investments Funds, Inc.
-------------------------------------------------------------
Real
S&P 500 Money Total International Estate
Index Market Return Equity Securities
Fund Fund Fund Fund Fund
------------ ----------- ----------- ------------- ----------
<S> <C> <C> <C> <C> <C>
Assets
Investment in GE
Investments Funds,
Inc., at fair value
(note 2):
S&P 500 Index Fund
(25,163,442 shares;
cost --
$627,744,395)........ $702,814,933 -- -- -- --
Money Market Fund
(426,322,189 shares;
cost --
$426,322,189)........ -- 426,322,189 -- -- --
Total Return Fund
(6,912,789 shares;
cost --
$104,080,524)........ -- -- 113,093,225 -- --
International Equity
Fund (3,052,017
shares;
cost -- $41,617,536).. -- -- -- 45,169,854 --
Real Estate Securities
Fund (4,066,423
shares; cost --
$52,860,829)......... -- -- -- -- 51,399,588
Receivable from
affiliate.............. -- 212,405 -- -- --
Receivable for units
sold................... 343,530 -- 3,457 28,049 577,194
------------ ----------- ----------- ---------- ----------
Total assets........... 703,158,463 426,534,594 113,096,682 45,197,903 51,976,782
------------ ----------- ----------- ---------- ----------
Liabilities
Accrued expenses payable
to affiliate (note 3).. 550,441 276,289 67,870 40,197 19,932
Payable for units
withdrawn.............. 123,575 10,766,752 55,564 49 2,020
------------ ----------- ----------- ---------- ----------
Total liabilities...... 674,016 11,043,041 123,434 40,246 21,952
------------ ----------- ----------- ---------- ----------
Analysis of net assets:
Attributable to:
Variable deferred
annuity
contractholders....... $702,484,446 415,491,552 112,973,247 25,171,154 33,761,875
GE Life and Annuity
Assurance Company..... -- -- -- 19,986,502 18,192,954
------------ ----------- ----------- ---------- ----------
Net assets.............. $702,484,447 415,491,553 112,973,248 45,157,657 51,954,830
============ =========== =========== ========== ==========
Outstanding units: Type
I (note 2)............. 929,209 3,910,177 430,910 115,600 221,534
============ =========== =========== ========== ==========
Net asset value per
unit: Type I........... $ 59.19 16.34 38.48 19.05 17.13
============ =========== =========== ========== ==========
Outstanding units: Type
II (note 2)............ 8,672,897 12,066,404 1,957,187 851,109 1,486,856
============ =========== =========== ========== ==========
Net asset value per
unit: Type II.......... $ 57.41 15.84 37.33 18.90 16.91
============ =========== =========== ========== ==========
Outstanding units: Type
III (note 2)........... 12,060,639 13,497,375 1,947,742 508,109 393,929
============ =========== =========== ========== ==========
Net asset value per
unit: Type III......... $ 11.43 10.54 11.20 12.54 11.51
============ =========== =========== ========== ==========
Outstanding units: Type
IV (note 2)............ 1,099,480 1,742,115 140,962 41,571 27,553
============ =========== =========== ========== ==========
Net asset value per
unit: Type IV.......... $ 10.66 10.45 10.75 12.30 10.53
============ =========== =========== ========== ==========
</TABLE>
F-1
<PAGE>
GE LIFE & ANNUITY SEPARATE ACCOUNT 4
Statements of Assets and Liabilities, Continued
June 30, 2000
(Unaudited)
<TABLE>
<CAPTION>
GE Investments Funds, Inc. (continued)
------------------------------------------------------
Mid-Cap Premier
Global Value U.S. Growth
Income Equity Income Equity Equity
Fund Fund Fund Fund Fund
---------- ---------- ---------- ---------- ----------
<S> <C> <C> <C> <C> <C>
Assets
Investment in GE
Investments Funds,
Inc., at fair value
(note 2):
Global Income Fund
(884,096 shares;
cost -- $8,955,329)... $8,381,230 -- -- -- --
Mid-Cap Value Equity
Fund (5,612,394
shares;
cost -- $83,008,375).. -- 84,803,278 -- -- --
Income Fund (4,089,678
shares; cost --
$49,516,401)......... -- -- 48,667,167 -- --
U.S. Equity Fund
(1,467,346 shares;
cost -- $54,418,141).. -- -- -- 55,744,463 --
Premier Growth Equity
Fund (657,454 shares;
cost -- $56,150,370).. -- -- -- -- 57,974,322
Receivable for units
sold................... 202 112,161 78,223 68,186 152,433
---------- ---------- ---------- ---------- ----------
Total assets........... 8,381,432 84,915,439 48,745,390 55,812,649 58,126,755
---------- ---------- ---------- ---------- ----------
Liabilities
Accrued expenses payable
to affiliate (note 3).. 3,195 65,497 120,524 26,446 33,312
Payable for units
withdrawn.............. -- 3,350 64,217 3 --
---------- ---------- ---------- ---------- ----------
Total liabilities...... 3,195 68,847 184,741 26,449 33,312
---------- ---------- ---------- ---------- ----------
Analysis of net assets:
Attributable to:
Variable deferred
annuity
contractholders....... $3,019,686 80,085,829 48,560,649 55,786,201 58,093,443
GE Life and Annuity
Assurance Company..... 5,358,550 4,760,763 -- -- --
---------- ---------- ---------- ---------- ----------
Net assets.............. $8,378,237 84,846,592 48,560,649 55,786,200 58,093,443
========== ========== ========== ========== ==========
Outstanding units: Type
I (note 2)............. 28,767 412,493 949,254 76,406 94,271
========== ========== ========== ========== ==========
Net asset value per
unit: Type I........... $ 10.33 15.30 10.70 12.58 11.64
========== ========== ========== ========== ==========
Outstanding units: Type
II (note 2)............ 265,612 3,445,664 2,710,824 2,206,692 1,778,085
========== ========== ========== ========== ==========
Net asset value per
unit: Type II.......... $ 10.25 15.18 10.63 12.51 11.60
========== ========== ========== ========== ==========
Outstanding units: Type
III (note 2)........... -- 1,786,481 583,580 2,203,680 2,916,360
========== ========== ========== ========== ==========
Net asset value per
unit: Type III......... $ -- 10.61 9.96 11.50 11.58
========== ========== ========== ========== ==========
Outstanding units: Type
IV (note 2)............ -- 272,475 376,007 178,929 224,624
========== ========== ========== ========== ==========
Net asset value per
unit: Type IV.......... $ -- 9.23 10.04 10.49 11.57
========== ========== ========== ========== ==========
</TABLE>
F-2
<PAGE>
GE LIFE & ANNUITY SEPARATE ACCOUNT 4
Statements of Assets and Liabilities, Continued
June 30, 2000
(Unaudited)
<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>
Assets
Investment in
Oppenheimer Variable
Account Funds, at fair
value (note 2):
Bond Fund/VA (7,287,844
shares;
cost -- $84,203,142).. $78,781,592 -- -- -- --
Capital Appreciation
Fund/VA (6,651,466
shares;
cost --
$255,047,792)........ -- 340,155,968 -- -- --
Aggressive Growth
Fund/VA (4,870,000
shares; cost --
$291,900,773)........ -- -- 470,636,783 -- --
High Income Fund/VA
(15,190,623 shares;
cost --
$163,375,208)........ -- -- -- 145,374,258 --
Multiple Strategies
Fund/VA (5,016,834
shares; cost --
$79,193,619)......... -- -- -- -- 83,229,269
Receivable for units
sold................... -- 447,378 181,736 -- 26,344
----------- ----------- ----------- ----------- ----------
Total assets........... 78,781,592 340,603,346 470,818,519 145,374,258 83,255,613
----------- ----------- ----------- ----------- ----------
Liabilities
Accrued expenses payable
to affiliate (note 3).. 85,895 283,499 625,886 141,008 174,927
Payable for units
withdrawn.............. 80,004 14,614 42,878 49,216 876
----------- ----------- ----------- ----------- ----------
Total liabilities...... 165,899 298,113 668,764 190,224 175,803
----------- ----------- ----------- ----------- ----------
Net assets attributable
to variable deferred
annuity
contractholder......... $78,615,693 340,305,233 470,149,755 145,184,034 83,079,810
=========== =========== =========== =========== ==========
Outstanding units: Type
I (note 2)............. 641,875 892,401 1,650,445 1,035,358 889,614
=========== =========== =========== =========== ==========
Net asset value per
unit: Type I........... $ 21.80 70.25 88.71 31.63 32.67
=========== =========== =========== =========== ==========
Outstanding units: Type
II (note 2)............ 2,527,559 3,462,324 3,118,306 3,235,459 1,494,720
=========== =========== =========== =========== ==========
Net asset value per
unit: Type II.......... $ 21.14 68.14 86.04 30.68 31.69
=========== =========== =========== =========== ==========
Outstanding units: Type
III (note 2)........... 1,060,972 2,638,264 2,521,824 1,236,433 547,397
=========== =========== =========== =========== ==========
Net asset value per
unit: Type III......... $ 9.78 14.37 20.66 9.96 11.59
=========== =========== =========== =========== ==========
Outstanding units: Type
IV (note 2)............ 82,714 272,688 172,641 88,981 28,080
=========== =========== =========== =========== ==========
Net asset value per
unit: Type IV.......... $ 9.84 13.86 19.34 9.63 10.83
=========== =========== =========== =========== ==========
</TABLE>
F-3
<PAGE>
GE LIFE & ANNUITY SEPARATE ACCOUNT 4
Statements of Assets and Liabilities, Continued
June 30, 2000
(Unaudited)
<TABLE>
<CAPTION>
Variable Insurance Product 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 (27,029,726
shares;
cost -- $598,198,251).................. $619,251,022 -- --
Growth Portfolio (14,678,438 shares;
cost -- $604,410,832).................. -- 756,526,711 --
Overseas Portfolio (5,280,121 shares;
cost -- $123,150,352).................. -- -- 123,871,644
Receivable for units sold................ 410,371 752,086 3,269,173
------------ ----------- -----------
Total assets............................ 619,661,393 757,278,797 127,140,817
------------ ----------- -----------
Liabilities
Accrued expenses payable to affiliate
(note 3)................................ 582,122 858,031 304,872
Payable for units withdrawn.............. 132,031 9,344 --
------------ ----------- -----------
Total liabilities....................... 714,153 867,375 304,872
------------ ----------- -----------
Net assets attributable to variable
deferred annuity contractholders........ $618,947,240 756,411,422 126,835,945
============ =========== ===========
Outstanding units: Type I (note 2)....... 3,650,041 2,945,345 2,020,774
============ =========== ===========
Net asset value per unit: Type I......... $ 41.93 77.13 31.38
============ =========== ===========
Outstanding units: Type II (note 2)...... 10,265,780 5,155,624 1,589,470
============ =========== ===========
Net asset value per unit: Type II........ $ 40.67 74.81 30.44
============ =========== ===========
Outstanding units: Type III (note 2)..... 4,348,853 10,135,751 858,156
============ =========== ===========
Net asset value per unit: Type III....... $ 10.28 13.27 13.00
============ =========== ===========
Outstanding units: Type IV (note 2)...... 409,503 703,209 315,305
============ =========== ===========
Net asset value per unit: Type IV........ $ 9.00 12.86 12.32
============ =========== ===========
</TABLE>
F-4
<PAGE>
GE LIFE & ANNUITY SEPARATE ACCOUNT 4
Statements of Assets and Liabilities, Continued
June 30, 2000
(Unaudited)
<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>
Assets
Investment in Variable
Insurance Products
Fund II, at fair value
(note 2):
Asset Manager Portfolio
(25,675,121 shares;
cost -- $400,358,191).... $424,666,508 -- -- --
Contrafund Portfolio
(21,992,498 shares;
cost -- $487,492,777).... -- 551,791,783 -- --
Investment in Variable
Insurance Products
Fund III, at fair value
(note 2):
Growth & Income Portfolio
(8,502,465 shares;
cost -- $132,961,072).... -- -- 131,618,161 --
Growth Opportunities
Portfolio (4,824,341
shares;
cost -- $102,398,912).... -- -- -- 99,429,664
Receivable for units sold.. 17,644 444,177 51,869 92,490
------------ ----------- ----------- ----------
Total assets.............. 424,684,152 552,235,960 131,670,030 99,522,154
------------ ----------- ----------- ----------
Liabilities
Accrued expenses payable to
affiliate (note 3)........ 601,898 423,986 97,733 71,574
Payable for units
withdrawn................. 287,981 -- -- 35,337
------------ ----------- ----------- ----------
Total liabilities......... 889,879 423,986 97,733 106,911
------------ ----------- ----------- ----------
Net assets attributable to
variable deferred annuity
contractholders........... $423,794,273 551,811,974 131,572,297 99,415,243
============ =========== =========== ==========
Outstanding units: Type I
(note 2).................. 10,341,982 2,297,952 476,232 427,160
============ =========== =========== ==========
Net asset value per unit:
Type I.................... $ 30.25 31.70 16.64 14.96
============ =========== =========== ==========
Outstanding units: Type II
(note 2).................. 3,271,645 12,047,361 5,310,409 4,653,937
============ =========== =========== ==========
Net asset value per unit:
Type II................... $ 29.44 31.27 16.51 14.84
============ =========== =========== ==========
Outstanding units: Type III
(note 2).................. 1,252,695 8,124,332 3,172,899 2,237,558
============ =========== =========== ==========
Net asset value per unit:
Type III.................. $ 10.65 11.51 10.37 9.90
============ =========== =========== ==========
Outstanding units: Type IV
(note 2).................. 124,004 789,770 315,517 191,394
============ =========== =========== ==========
Net asset value per unit:
Type IV................... $ 10.41 11.06 9.73 9.45
============ =========== =========== ==========
</TABLE>
F-5
<PAGE>
GE LIFE & ANNUITY SEPARATE ACCOUNT 4
Statements of Assets and Liabilities, Continued
June 30, 2000
(Unaudited)
<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 (5,093,614
shares; cost -- $101,729,731)............ $97,746,451 -- --
High Income Bond Fund II (7,390,521
shares; cost -- $73,781,060)............. -- 67,401,550 --
Utility Fund II (4,472,717 shares; cost --
$60,640,753)............................ -- -- 60,336,955
Receivable for units sold.................. 52,013 -- 3,592
----------- ---------- ----------
Total assets.............................. 97,798,464 67,401,550 60,340,547
----------- ---------- ----------
Liabilities
Accrued expenses payable to affiliate (note
3)........................................ 57,704 49,945 49,653
Payable for units withdrawn................ -- 102,294 45,609
----------- ---------- ----------
Total liabilities......................... 57,704 152,239 95,262
----------- ---------- ----------
Net assets attributable to variable
deferred annuity contractholders.......... $97,740,760 67,249,311 60,245,285
=========== ========== ==========
Outstanding units: Type I (note 2)......... 371,058 406,156 328,227
=========== ========== ==========
Net asset value per unit: Type I........... $ 16.89 15.13 18.76
=========== ========== ==========
Outstanding units: Type II (note 2)........ 4,445,196 3,312,416 2,489,639
=========== ========== ==========
Net asset value per unit: Type II.......... $ 16.72 14.92 18.50
=========== ========== ==========
Outstanding units: Type III (note 2)....... 1,557,050 1,104,575 717,649
=========== ========== ==========
Net asset value per unit: Type III......... $ 9.97 9.63 10.22
=========== ========== ==========
Outstanding units: Type IV (note 2)........ 181,690 111,856 71,140
=========== ========== ==========
Net asset value per unit: Type IV.......... $ 8.95 9.35 9.77
=========== ========== ==========
</TABLE>
F-6
<PAGE>
GE LIFE & ANNUITY SEPARATE ACCOUNT 4
Statements of Assets and Liabilities, Continued
June 30, 2000
(Unaudited)
<TABLE>
<CAPTION>
PBHG Insurance
Alger American 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,
at fair value (note 2):
Small Capitalization
Portfolio (5,875,930
shares;
cost -- $224,795,584)...... $189,557,499 -- -- --
Growth Portfolio (6,989,592
shares; cost --
$387,602,455)............. -- 401,202,582 -- --
PBHG Insurance Series Fund,
Inc., at fair value (note
2):
PBHG Large Cap Growth
Portfolio (1,545,454
shares;
cost -- $35,261,482)....... -- -- 46,487,263 --
PBHG Growth II Portfolio
(2,393,389 shares;
cost -- $52,671,294)....... -- -- -- 66,249,009
Receivable for units sold.... 2,022,380 1,753,817 177,900 218,814
------------ ----------- ---------- ----------
Total assets................ 191,579,879 402,956,399 46,665,163 66,467,823
------------ ----------- ---------- ----------
Liabilities
Accrued expenses payable to
affiliate (note 3).......... 151,718 327,694 75,794 35,086
Payable for units withdrawn.. -- -- 32 25
------------ ----------- ---------- ----------
Total liabilities........... 151,718 327,694 75,826 35,111
------------ ----------- ---------- ----------
Net assets attributable to
variable deferred annuity
contractholders............. $191,428,161 402,628,705 46,589,337 66,432,712
============ =========== ========== ==========
Outstanding units: Type I
(note 2).................... 1,200,698 1,125,691 205,275 413,055
============ =========== ========== ==========
Net asset value per unit:
Type I...................... $ 17.12 26.72 29.00 26.69
============ =========== ========== ==========
Outstanding units: Type II
(note 2).................... 7,304,311 9,864,832 1,412,456 2,093,248
============ =========== ========== ==========
Net asset value per unit:
Type II..................... $ 16.92 26.40 28.77 26.47
============ =========== ========== ==========
Outstanding units: Type III
(note 2).................... 3,013,634 8,169,759 -- --
============ =========== ========== ==========
Net asset value per unit:
Type III.................... $ 14.02 12.84 -- --
============ =========== ========== ==========
Outstanding units: Type IV
(note 2).................... 370,280 592,204 -- --
============ =========== ========== ==========
Net asset value per unit:
Type IV..................... $ 13.59 12.19 -- --
============ =========== ========== ==========
</TABLE>
F-7
<PAGE>
GE LIFE & ANNUITY SEPARATE ACCOUNT 4
Statements of Assets and Liabilities, Continued
June 30, 2000
(Unaudited)
<TABLE>
<CAPTION>
Janus Aspen Series
---------------------------------------------------
Aggressive Worldwide
Growth Growth Growth Balanced
Portfolio Portfolio Portfolio Portfolio
------------- ----------- ------------- -----------
<S> <C> <C> <C> <C>
Assets
Investment in Janus Aspen
Series, at fair value
(note 2):
Aggressive Growth
Portfolio (13,101,914
shares;
cost -- $665,335,759)... $ 731,086,786 -- -- --
Growth Portfolio
(26,356,249 shares;
cost -- $681,186,147)... -- 866,857,029 -- --
Worldwide Growth
Portfolio (23,725,229
shares;
cost -- $799,519,622)... -- -- 1,139,522,761 --
Balanced Portfolio
(21,989,294 shares;
cost -- $533,838,282)... -- -- -- 578,758,211
Receivable for units
sold..................... 1,705,387 1,111,614 1,038,935 511,572
------------- ----------- ------------- -----------
Total assets............. 732,792,173 867,968,643 1,140,561,696 579,269,783
============= =========== ============= ===========
Liabilities
Accrued expenses payable
to affiliate (note 3).... 579,983 726,980 831,254 372,855
Payable for units
withdrawn................ 26,249 125,380 -- 24,938
------------- ----------- ------------- -----------
Total liabilities........ 606,232 852,360 831,254 397,793
------------- ----------- ------------- -----------
Net assets attributable to
variable deferred annuity
contractholders.......... $ 732,185,941 867,116,283 1,139,730,442 578,871,990
============= =========== ============= ===========
Outstanding units: Type I
(note 2)................. 1,754,230 3,790,389 4,034,343 2,588,067
============= =========== ============= ===========
Net asset value per unit:
Type I................... $ 60.50 36.97 48.56 24.54
============= =========== ============= ===========
Outstanding units: Type II
(note 2)................. 6,754,922 13,770,038 15,899,170 15,269,473
============= =========== ============= ===========
Net asset value per unit:
Type II.................. $ 59.48 36.35 47.74 24.24
============= =========== ============= ===========
Outstanding units: Type
III (note 2)............. 9,559,477 15,285,452 10,800,543 11,395,820
============= =========== ============= ===========
Net asset value per unit:
Type III................. $ 21.11 13.59 15.47 11.92
============= =========== ============= ===========
Outstanding units: Type IV
(note 2)................. 1,234,031 1,451,934 1,168,339 831,027
============= =========== ============= ===========
Net asset value per unit:
Type IV.................. $ 18.21 12.89 15.16 11.30
============= =========== ============= ===========
</TABLE>
F-8
<PAGE>
GE LIFE & ANNUITY SEPARATE ACCOUNT 4
Statements of Assets and Liabilities, Continued
June 30, 2000
(Unaudited)
<TABLE>
<CAPTION>
Janus Aspen Series (continued)
-----------------------------------------------------------
Global
Flexible International Capital Life Global
Income Growth Appreciation Sciences Technology
Portfolio Portfolio Portfolio Portfolio Portfolio
----------- ------------- ------------ --------- ----------
<S> <C> <C> <C> <C> <C>
Assets
Investment in Janus
Aspen Series, at fair
value (note 2):
Flexible Income
Portfolio (5,530,605
shares;
cost -- $64,812,316).. $62,219,301 -- -- -- --
International Growth
Portfolio (7,082,754
shares;
cost --
$250,873,501)........ -- 281,114,487 -- -- --
Capital Appreciation
Portfolio (15,317,348
shares; cost --
$436,650,395)........ -- -- 486,019,459 -- --
Global Life Sciences
Portfolio (874,174
shares;
cost -- $7,292,488)... -- -- -- 7,535,378 --
Global Technology
Portfolio (1,056,572
shares;
cost -- $10,157,108).. -- -- -- -- 10,375,539
Receivable from
affiliate.............. -- -- -- 50,215 71
Receivable for units
sold................... 18,600 3,810,524 368,416 82,183 75,260
----------- ----------- ----------- --------- ----------
Total assets........... 62,237,901 284,925,011 486,387,875 7,667,776 10,450,870
=========== =========== =========== ========= ==========
Liabilities
Accrued expenses payable
to affiliate (note 3).. 36,528 178,456 362,207 2,136 3,318
Payable for units
withdrawn.............. 129,068 55,433 5,523 20,176 --
----------- ----------- ----------- --------- ----------
Total liabilities...... 165,596 233,889 367,730 22,312 3,318
----------- ----------- ----------- --------- ----------
Net assets attributable
to variable deferred
annuity
contractholders........ $62,072,305 284,691,122 486,020,145 7,645,464 10,447,552
=========== =========== =========== ========= ==========
Outstanding units: Type
I (note 2)............. 462,292 1,077,844 1,014,747 38,321 97,860
=========== =========== =========== ========= ==========
Net asset value per
unit: Type I........... $ 13.65 29.24 30.88 10.66 10.22
=========== =========== =========== ========= ==========
Outstanding units: Type
II (note 2)............ 3,260,786 6,156,929 8,243,903 334,926 339,415
=========== =========== =========== ========= ==========
Net asset value per
unit: Type II.......... $ 13.48 28.94 30.63 10.66 10.22
=========== =========== =========== ========= ==========
Outstanding units: Type
III (note 2)........... 1,042,197 3,632,286 12,996,105 335,248 563,511
=========== =========== =========== ========= ==========
Net asset value per
unit: Type III......... $ 10.01 17.47 14.35 10.65 10.21
=========== =========== =========== ========= ==========
Outstanding units: Type
IV (note 2)............ 138,114 666,517 1,245,423 9,038 22,053
=========== =========== =========== ========= ==========
Net asset value per
unit: Type IV.......... $ 9.95 17.31 12.59 10.65 10.21
=========== =========== =========== ========= ==========
</TABLE>
F-9
<PAGE>
GE LIFE & ANNUITY SEPARATE ACCOUNT 4
Statements of Assets and Liabilities, Concluded
June 30, 2000
(Unaudited)
<TABLE>
<CAPTION>
Goldman Sachs
Variable Insurance Salomon Brothers
Trust Variable Series Funds 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 & Income
Portfolio (1,305,765
shares;
cost -- $13,894,011)... $14,324,246 -- -- -- --
Mid Cap Value Portfolio
(2,740,513 shares;
cost -- $23,757,829)... -- 23,979,487 -- -- --
Investment in Salomon
Brothers Variable Series
Funds Inc., at fair
value (note 2):
Strategic Bond Portfolio
(784,154 shares;
cost -- $7,769,756).... -- -- 7,763,124 -- --
Investors Fund (676,479
shares; cost --
$8,488,331)........... -- -- -- 9,030,995 --
Total Return Fund
(467,921 shares;
cost -- $4,891,454).... -- -- -- -- 4,936,569
Receivable for units
sold.................... 636 111,616 62,538 198,215 4,527
----------- ---------- --------- --------- ---------
Total assets............ 14,324,882 24,091,103 7,825,662 9,229,210 4,941,096
----------- ---------- --------- --------- ---------
Liabilities
Accrued expenses payable
to affiliate (note 3)... 12,281 16,875 3,878 7,925 6,452
Payable for units
withdrawn............... 5,088 -- 166 -- 4,753
----------- ---------- --------- --------- ---------
Total liabilities....... 17,369 16,875 4,044 7,925 11,205
----------- ---------- --------- --------- ---------
Net assets attributable
to variable deferred
annuity
contractholders......... $14,307,513 24,074,228 7,821,618 9,221,285 4,929,891
=========== ========== ========= ========= =========
Outstanding units: Type I
(note 2)................ 77,327 154,884 35,154 39,030 27,063
=========== ========== ========= ========= =========
Net asset value per unit:
Type I.................. $ 9.25 8.67 10.36 14.55 10.90
=========== ========== ========= ========= =========
Outstanding units: Type
II (note 2)............. 880,171 1,416,045 335,467 223,928 228,950
=========== ========== ========= ========= =========
Net asset value per unit:
Type II................. $ 9.20 8.62 10.31 14.48 10.86
=========== ========== ========= ========= =========
Outstanding units: Type
III (note 2)............ 467,723 947,739 356,587 439,774 193,960
=========== ========== ========= ========= =========
Net asset value per unit:
Type III................ $ 10.43 10.33 10.07 11.90 10.14
=========== ========== ========= ========= =========
Outstanding units: Type
IV (note 2)............. 64,739 80,233 40,875 16,462 18,527
=========== ========== ========= ========= =========
Net asset value per unit:
Type IV................. $ 9.52 9.16 9.98 10.79 9.81
=========== ========== ========= ========= =========
</TABLE>
See accompanying notes to unaudited financial statements.
F-10
<PAGE>
GE LIFE & ANNUITY SEPARATE ACCOUNT 4
Statements of Operations
(Unaudited)
<TABLE>
<CAPTION>
GE Investments Funds, Inc.
-------------------------------------------------------------
Real
Money Total Estate
S&P 500 Market Return International Securities
Index Fund Fund Fund Equity Fund Fund
------------ ---------- --------- ------------- ----------
Six months ended June 30, 2000
-------------------------------------------------------------
<S> <C> <C> <C> <C> <C>
Investment income:
Income -- Ordinary
Dividends............. $ -- 12,191,297 -- -- --
Expenses -- Mortality &
expense risk charges
and administrative
expenses -- Type I
(note 3).............. 324,496 431,311 98,664 16,118 18,359
Expenses -- Mortality &
expense risk charges
and administrative
expenses -- Type II
(note 3).............. 3,231,267 1,347,206 478,477 101,182 152,240
Expenses -- Mortality &
expense risk charges
and administrative
expenses -- Type III
(note 3).............. 875,512 1,022,706 136,891 27,470 16,705
Expenses -- Mortality &
expense risk charges
and administrative
expenses -- Type IV
(note 3).............. 70,161 120,143 8,523 2,687 1,643
------------ ---------- --------- ---------- ---------
Net investment income
(expense).............. (4,501,436) 9,269,931 (722,555) (147,457) (188,947)
------------ ---------- --------- ---------- ---------
Net realized and
unrealized gain (loss)
on investments:
Net realized gain
(loss)............... 13,938,971 -- 889,609 2,331,720 (597,765)
Unrealized
appreciation
(depreciation) on
investments.......... (15,583,848) -- 2,535,316 (2,152,672) 6,435,723
Capital gain
distribution......... -- -- -- -- --
------------ ---------- --------- ---------- ---------
Net realized and
unrealized gain (loss)
on investments......... (1,644,877) -- 3,424,925 179,048 5,837,958
------------ ---------- --------- ---------- ---------
Increase (decrease) in
net assets from
operations............. $ (6,146,313) 9,269,931 2,702,370 31,591 5,649,011
============ ========== ========= ========== =========
<CAPTION>
GE Investments Funds, Inc., continued
-------------------------------------------------------------
Mid-Cap Premier
Value Growth
Global Equity Income U.S. Equity Equity
Income Fund Fund Fund Fund Fund
------------ ---------- --------- ------------- ----------
Six months ended June 30, 2000
-------------------------------------------------------------
<S> <C> <C> <C> <C> <C>
Investment income:
Income -- Ordinary
Dividends............. $ -- -- -- -- --
Expenses -- Mortality &
expense risk charges
and administrative
expenses -- Type I
(note 3).............. 2,396 37,272 61,413 5,075 5,546
Expenses -- Mortality &
expense risk charges
and administrative
expenses -- Type II
(note 3).............. 19,971 343,315 189,374 163,670 109,473
Expenses -- Mortality &
expense risk charges
and administrative
expenses -- Type III
(note 3).............. -- 122,503 37,997 157,444 187,204
Expenses -- Mortality &
expense risk charges
and administrative
expenses -- Type IV
(note 3).............. -- 15,785 20,548 10,760 14,901
------------ ---------- --------- ---------- ---------
Net investment income
(expense).............. (22,367) (518,875) (309,332) (336,949) (317,124)
------------ ---------- --------- ---------- ---------
Net realized and
unrealized gain (loss)
on investments:
Net realized gain
(loss)............... 12,600 683,729 (515,929) 21,795 308,573
Unrealized
appreciation
(depreciation) on
investments.......... (71,632) (3,951,869) 2,080,686 355,982 (225,545)
Capital gain
distribution......... -- -- -- -- --
------------ ---------- --------- ---------- ---------
Net realized and
unrealized gain (loss)
on investments......... (59,032) (3,268,140) 1,564,757 377,777 83,028
------------ ---------- --------- ---------- ---------
Increase (decrease) in
net assets from
operations............. $ (81,399) (3,787,015) 1,255,425 40,828 (234,096)
============ ========== ========= ========== =========
</TABLE>
F-11
<PAGE>
GE LIFE & ANNUITY SEPARATE ACCOUNT 4
Statements of Operations, Continued
(Unaudited)
<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
----------- ------------ ---------- ----------- ----------
Six months ended June 30, 2000
-------------------------------------------------------------
<S> <C> <C> <C> <C> <C>
Investment income:
Income -- Ordinary
Dividends............. $ 6,081,883 376,811 -- 15,635,851 3,699,313
Expenses -- Mortality &
expense risk charges
and administrative
expenses -- Type I
(note 3).............. 86,777 357,328 825,668 200,604 172,110
Expenses -- Mortality &
expense risk charges
and administrative
expenses -- Type II
(note 3).............. 358,019 1,528,658 1,703,214 725,027 316,264
Expenses -- Mortality &
expense risk charges
and administrative
expenses -- Type III
(note 3).............. 65,512 194,255 259,376 81,948 34,606
Expenses -- Mortality &
expense risk charges
and administrative
expenses -- Type IV
(note 3).............. 4,809 18,460 14,113 4,954 1,309
----------- ---------- ---------- ----------- ----------
Net investment income
(expense).............. 5,566,766 (1,721,890) (2,802,371) 14,623,318 3,175,024
----------- ---------- ---------- ----------- ----------
Net realized and
unrealized gain (loss)
on investments:
Net realized gain
(loss)................ (893,331) 11,475,453 32,940,757 (3,089,194) 1,078,263
Unrealized appreciation
(depreciation) on
investments........... (3,672,667) (4,041,322) 27,330,656 (13,594,678) (4,893,400)
Capital gain
distribution.......... -- 20,108,476 15,829,517 -- 5,372,892
----------- ---------- ---------- ----------- ----------
Net realized and
unrealized gain (loss)
on investments......... (4,565,998) 27,542,607 76,100,930 (16,683,872) 1,557,755
----------- ---------- ---------- ----------- ----------
Increase (decrease) in
net assets from
operations............. $ 1,000,768 25,820,717 73,298,559 (2,060,554) 4,732,779
=========== ========== ========== =========== ==========
</TABLE>
F-12
<PAGE>
GE LIFE & ANNUITY SEPARATE ACCOUNT 4
Statements of Operations, Continued
(Unaudited)
<TABLE>
<CAPTION>
Variable Insurance Products Fund
--------------------------------------
Equity-
Income Growth Overseas
Portfolio Portfolio Portfolio
------------ ----------- -----------
Six months ended June 30, 2000
--------------------------------------
<S> <C> <C> <C>
Investment income:
Income -- Ordinary Dividends.......... $ 11,330,359 748,608 1,808,871
Expenses -- Mortality & expense risk
charges and administrative
expenses -- Type I (note 3).......... 943,157 1,331,972 396,179
Expenses -- Mortality & expense risk
charges and administrative
expenses -- Type II (note 3)......... 2,920,094 2,477,744 331,461
Expenses -- Mortality & expense risk
charges and administrative
expenses -- Type III (note 3)........ 286,502 817,378 63,059
Expenses -- Mortality & expense risk
charges and administrative
expenses -- Type IV (note 3)......... 23,416 50,864 11,155
------------ ----------- -----------
Net investment income (expense)........ 7,157,190 (3,929,350) 1,007,017
------------ ----------- -----------
Net realized and unrealized gain (loss)
on investments:
Net realized gain (loss).............. 5,283,875 27,274,839 3,510,408
Unrealized appreciation (depreciation)
on investments....................... (79,035,980) (66,909,333) (21,525,261)
Capital gain distribution............. 42,686,468 74,486,477 11,390,996
------------ ----------- -----------
Net realized and unrealized gain (loss)
on investments........................ (31,065,637) 34,851,983 (6,623,857)
------------ ----------- -----------
Increase (decrease) in net assets from
operations............................ $(23,908,447) 30,922,633 (5,616,841)
============ =========== ===========
</TABLE>
<TABLE>
<CAPTION>
Variable Insurance Variable Insurance
Products Fund II Products Fund III
------------------------- --------------------------
Asset Growth & Growth
Manager Contrafund Income Opportunities
Portfolio Portfolio Portfolio Portfolio
------------ ----------- ----------- -------------
Six months ended Six months ended
June 30, 2000 June 30, 2000
------------------------- --------------------------
<S> <C> <C> <C> <C>
Investment income:
Income -- Ordinary
Dividends.............. $ 14,824,317 1,822,052 1,350,001 1,218,779
Expenses -- Mortality &
expense risk charges
and administrative
expenses -- Type I
(note 3)............... 1,907,358 450,758 49,286 39,704
Expenses -- Mortality &
expense risk charges
and administrative
expenses -- Type II
(note 3)............... 665,946 2,557,129 577,904 472,959
Expenses -- Mortality &
expense risk charges
and administrative
expenses -- Type III
(note 3)............... 79,228 592,484 208,589 147,424
Expenses -- Mortality &
expense risk charges
and administrative
expenses -- Type IV
(note 3)............... 6,611 48,651 16,801 10,576
------------ ----------- ----------- -----------
Net investment income
(expense)............... 12,165,174 (1,826,970) 497,421 548,116
------------ ----------- ----------- -----------
Net realized and
unrealized gain (loss)
on investments:
Net realized gain
(loss)................. 5,695,762 12,136,678 (113,233) (658,234)
Unrealized appreciation
(depreciation) on
investments............ (58,970,817) (87,264,587) (12,528,665) (10,436,275)
Capital gain
distribution........... 34,925,087 66,140,474 8,810,533 6,180,953
------------ ----------- ----------- -----------
Net realized and
unrealized gain (loss)
on investments.......... (18,349,968) (8,987,435) (3,831,365) (4,913,556)
------------ ----------- ----------- -----------
Increase (decrease) in
net assets from
operations.............. $ (6,184,794) (10,814,405) (3,333,945) (4,365,439)
============ =========== =========== ===========
</TABLE>
F-13
<PAGE>
GE LIFE & ANNUITY SEPARATE ACCOUNT 4
Statements of Operations, Continued
(Unaudited)
<TABLE>
<CAPTION>
Federated Insurance Series
-------------------------------------
American High Income
Leaders Bond Utility
Fund II Fund II Fund II
------------ ----------- ----------
Six months ended June 30, 2000
-------------------------------------
<S> <C> <C> <C>
Investment income:
Income -- Ordinary Dividends............ $ 913,438 5,621,471 1,775,511
Expenses -- Mortality & expense risk
charges and administrative
expenses -- Type I (note 3)............ 38,787 31,134 37,290
Expenses -- Mortality & expense risk
charges and administrative
expenses -- Type II (note 3)........... 519,131 328,055 319,083
Expenses -- Mortality & expense risk
charges and administrative
expenses -- Type III (note 3).......... 103,487 71,951 46,974
Expenses -- Mortality & expense risk
charges and administrative
expenses -- Type IV (note 3)........... 8,759 6,083 4,081
------------ ---------- ----------
Net investment income (expense).......... 243,274 5,184,248 1,368,083
------------ ---------- ----------
Net realized and unrealized gain (loss)
on investments:
Net realized gain (loss)................ (680,363) (1,281,447) 400,171
Unrealized appreciation (depreciation)
on investments......................... (7,301,885) (5,522,217) (4,064,247)
Capital gain distribution............... 2,763,969 -- 1,180,071
------------ ---------- ----------
Net realized and unrealized gain (loss)
on investments.......................... (5,218,279) (6,803,664) (2,484,005)
------------ ---------- ----------
Increase (decrease) in net assets from
operations.............................. $ (4,975,005) (1,619,416) (1,115,922)
============ ========== ==========
</TABLE>
<TABLE>
<CAPTION>
PBHG Insurance
Alger American Fund Series Fund, Inc.
-------------------------- --------------------
PBHG
Small Large Cap PBHG
Capitalization Growth Growth Growth II
Portfolio Portfolio Portfolio Portfolio
-------------- ----------- --------- ---------
Six months ended Six months ended
June 30, 2000 June 30, 2000
-------------------------- --------------------
<S> <C> <C> <C> <C>
Investment income:
Income -- Ordinary
Dividends.................. $ -- -- -- --
Expenses -- Mortality &
expense risk charges and
administrative expenses --
Type I (note 3)........... 115,774 173,907 26,290 47,929
Expenses -- Mortality &
expense risk charges and
administrative expenses --
Type II (note 3).......... 810,652 1,654,069 209,247 286,601
Expenses -- Mortality &
expense risk charges and
administrative expenses --
Type III (note 3)......... 227,086 659,145 -- --
Expenses -- Mortality &
expense risk charges and
administrative expenses --
Type IV (note 3).......... 22,268 37,748 -- --
----------- ----------- --------- ---------
Net investment income
(expense)................... (1,175,780) (2,524,869) (235,537) (334,530)
----------- ----------- --------- ---------
Net realized and unrealized
gain (loss) on investments:
Net realized gain (loss).... 1,988,160 14,266,110 3,077,134 4,943,274
Unrealized appreciation
(depreciation) on
investments................ (67,214,231) (51,355,663) 1,910,806 1,576,617
Capital gain distribution... 63,049,078 49,596,493 -- --
----------- ----------- --------- ---------
Net realized and unrealized
gain (loss) on investments.. (2,176,993) 12,506,940 4,987,940 6,519,891
----------- ----------- --------- ---------
Increase (decrease) in net
assets from operations...... $(3,352,773) 9,982,071 4,752,403 6,185,361
=========== =========== ========= =========
</TABLE>
F-14
<PAGE>
GE LIFE & ANNUITY SEPARATE ACCOUNT 4
Statements of Operations, Continued
(Unaudited)
<TABLE>
<CAPTION>
Janus Aspen Series
-----------------------------------------------------
Aggressive Worldwide
Growth Growth Growth Balanced
Portfolio Portfolio Portfolio Portfolio
------------- ----------- ------------ -----------
Six months ended June 30, 2000
-----------------------------------------------------
<S> <C> <C> <C> <C>
Investment income:
Income -- Ordinary
Dividends............. $ -- -- -- --
Expenses -- Mortality &
expense risk charges
and administrative
expenses -- Type I
(note 3).............. 656,066 839,242 1,186,644 372,473
Expenses -- Mortality &
expense risk charges
and administrative
expenses -- Type II
(note 3).............. 2,556,214 3,212,353 5,137,344 2,315,015
Expenses -- Mortality &
expense risk charges
and administrative
expenses -- Type III
(note 3).............. 1,205,506 1,233,880 1,026,072 833,560
Expenses -- Mortality &
expense risk charges
and administrative
expenses -- Type IV
(note 3).............. 126,691 94,254 94,861 51,956
------------- ----------- ------------ -----------
Net investment income
(expense).............. (4,544,477) (5,379,729) (7,444,921) (3,573,004)
------------- ----------- ------------ -----------
Net realized and
unrealized gain (loss)
on investments:
Net realized gain
(loss)................ 78,937,130 37,598,508 72,276,797 11,889,176
Unrealized appreciation
(depreciation) on
investments........... (137,937,708) (60,329,548) (71,183,400) (44,557,389)
Capital gain
distribution.......... 56,964,582 33,400,339 16,274,329 36,663,407
------------- ----------- ------------ -----------
Net realized and
unrealized gain (loss)
on investments......... (2,035,996) 10,669,299 17,367,726 3,995,194
------------- ----------- ------------ -----------
Increase (decrease) in
net assets from
operations............. $ (6,580,473) 5,289,570 9,922,805 422,190
============= =========== ============ ===========
</TABLE>
<TABLE>
<CAPTION>
Janus Aspen Series
--------------------------------------------------------------
Flexible International Capital Global Life Global
Income Growth Appreciation Sciences Technology
Portfolio Portfolio Portfolio Portfolio Portfolio
---------- ------------- ------------ ----------- ----------
Period from
May 2, 2000 to
Six months ended June 30, 2000 June 30, 2000
-------------------------------------- ----------------------
<S> <C> <C> <C> <C> <C>
Investment income:
Income -- Ordinary
Dividends............. $ -- -- -- -- --
Expenses -- Mortality &
expense risk charges
and administrative
expenses -- Type I
(note 3).............. 37,970 181,322 196,735 375 938
Expenses -- Mortality &
expense risk charges
and administrative
expenses -- Type II
(note 3).............. 296,659 1,121,886 1,656,006 3,104 3,688
Expenses -- Mortality &
expense risk charges
and administrative
expenses -- Type III
(note 3).............. 64,375 337,409 1,225,782 3,717 4,902
Expenses -- Mortality &
expense risk charges
and administrative
expenses -- Type IV
(note 3).............. 8,459 46,511 87,182 90 225
---------- ----------- ----------- ------- -------
Net investment income
(expense).............. (407,463) (1,687,128) (3,165,705) (7,286) (9,753)
---------- ----------- ----------- ------- -------
Net realized and
unrealized gain (loss)
on investments:
Net realized gain
(loss)................ (361,359) 42,787,485 22,613,600 46,408 2,544
Unrealized appreciation
(depreciation) on
investments........... (585,181) (41,934,732) (46,541,401) 242,890 218,431
Capital gain
distribution.......... 1,669,618 710,718 1,719,074 -- --
---------- ----------- ----------- ------- -------
Net realized and
unrealized gain (loss)
on investments......... 723,078 1,563,471 (22,208,727) 289,298 220,975
---------- ----------- ----------- ------- -------
Increase (decrease) in
net assets from
operations............. $ 315,615 (123,657) (25,374,432) 282,012 211,222
========== =========== =========== ======= =======
</TABLE>
F-15
<PAGE>
GE LIFE & ANNUITY SEPARATE ACCOUNT 4
Statements of Operations, Continued
(Unaudited)
<TABLE>
<CAPTION>
Goldman Sachs Salomon Brothers Variable
Variable Insurance Trust Series Funds Inc.
--------------------------- ---------------------------
Growth & Mid Cap Strategic Total
Income Value Bond Investors Return
Portfolio Portfolio Fund Fund Fund
------------ ------------ --------- --------- -------
Six months ended June 30, Six months ended June 30,
2000 2000
--------------------------- ---------------------------
<S> <C> <C> <C> <C> <C>
Investment income:
Income -- Ordinary
Dividends............. $ -- -- -- -- --
Expenses -- Mortality &
expense risk charges
and administrative
expenses -- Type I
(note 3).............. 4,124 8,015 2,544 2,097 964
Expenses -- Mortality &
expense risk charges
and administrative
expenses -- Type II
(note 3).............. 51,541 73,520 19,756 12,545 14,938
Expenses -- Mortality &
expense risk charges
and administrative
expenses -- Type III
(note 3).............. 27,533 54,501 21,056 25,718 12,015
Expenses -- Mortality &
expense risk charges
and administrative
expenses -- Type IV
(note 3).............. 2,670 4,711 2,297 913 1,322
------------ ------------ ------- ------- -------
Net investment income
(expense).............. (85,868) (140,747) (45,653) (41,273) (29,239)
------------ ------------ ------- ------- -------
Net realized and
unrealized gain (loss)
on investments:
Net realized gain
(loss)................ 26,342 (168,721) (38,097) 150,947 (14,005)
Unrealized appreciation
(depreciation) on
investments........... 174,776 995,199 203,172 462,655 156,375
Capital gain
distribution.......... -- -- -- -- --
------------ ------------ ------- ------- -------
Net realized and
unrealized gain (loss)
on investments......... 201,118 826,478 165,075 613,602 142,370
------------ ------------ ------- ------- -------
Increase (decrease) in
net assets from
operations............. $ 115,250 685,731 119,422 572,329 113,131
============ ============ ======= ======= =======
</TABLE>
See accompanying notes to unaudited financial statements.
F-16
<PAGE>
GE LIFE & ANNUITY SEPARATE ACCOUNT 4
Statements of Changes in Net Assets
(Unaudited)
<TABLE>
<CAPTION>
GE Investments Funds, Inc.
-----------------------------------------------------------------
Real
S&P 500 International Estate
Index Money Market Total Equity Securities
Fund Fund Return Fund Fund Fund
------------ ------------ ----------- ------------- ----------
Six months ended June 30, 2000
-----------------------------------------------------------------
<S> <C> <C> <C> <C> <C>
Increase (decrease) in
net assets
From operations:
Net investment income
(expense)............. $ (4,501,436) 9,269,931 (722,555) (147,457) (188,947)
Net realized gain
(loss)................ 13,938,971 -- 889,609 2,331,720 (597,765)
Unrealized appreciation
(depreciation) on
investments........... (15,583,848) -- 2,535,316 (2,152,672) 6,435,723
Capital gain
distribution.......... -- -- -- -- --
------------ ------------ ----------- ---------- ----------
Increase (decrease) in
net assets from
operations........... (6,146,313) 9,269,931 2,702,370 31,591 5,649,011
------------ ------------ ----------- ---------- ----------
From capital
transactions:
Net premiums........... 75,717,372 347,306,993 8,363,534 3,222,439 968,352
Transfers (to) from the
general account of GE
Life and Annuity:
Death benefits........ (1,899,002) (2,345,969) (696,835) (33,133) (58,772)
Surrenders............ (19,347,079) (67,649,691) (3,930,313) (728,328) (727,507)
Administrative expense
(note 3)............. (252,962) (155,733) (49,732) (8,210) (12,447)
Transfer gain (loss)
and transfer fees.... (1,101,472) (5,537,012) (137,668) 1,079,053 924,196
Transfers (to) from the
Guarantee Account
(note 1).............. 45,514,861 17,937,331 5,276,070 844,857 679,904
Interfund transfers.... (13,973,240) (327,776,449) (1,592,924) 1,285,323 3,831,020
------------ ------------ ----------- ---------- ----------
Increase (decrease) in
net assets from capital
transactions........... 84,658,478 (38,220,530) 7,232,132 5,662,001 5,604,746
------------ ------------ ----------- ---------- ----------
Increase (decrease) in
net assets............. 78,512,165 (28,950,599) 9,934,502 5,693,592 11,253,757
Net assets at beginning
of year................ 623,972,282 444,442,152 103,038,746 39,464,065 40,701,073
------------ ------------ ----------- ---------- ----------
Net assets at end of
period................. $702,484,447 415,491,553 112,973,248 45,157,657 51,954,830
============ ============ =========== ========== ==========
</TABLE>
F-17
<PAGE>
GE LIFE & ANNUITY SEPARATE ACCOUNT 4
Statements of Changes in Net Assets, Continued
(Unaudited)
<TABLE>
<CAPTION>
GE Investments Funds, Inc. (continued)
------------------------------------------------------------
Global Mid-Cap U.S. Premier
Income Value Equity Income Equity Growth
Fund Fund Fund Fund Equity Fund
---------- ------------ ---------- ---------- -----------
Six months ended June 30, 2000
------------------------------------------------------------
<S> <C> <C> <C> <C> <C>
Increase (decrease) in
net assets
From operations:
Net investment income
(expense)............. $ (22,367) (518,875) (309,332) (336,949) (317,124)
Net realized gain
(loss)................ 12,600 683,729 (515,929) 21,795 308,573
Unrealized appreciation
(depreciation) on
investments........... (71,632) (3,951,869) 2,080,686 355,982 (225,545)
Capital gain
distribution.......... -- -- -- -- --
---------- ---------- ---------- ---------- ----------
Increase (decrease) in
net assets from
operations............. (81,399) (3,787,015) 1,255,425 40,828 (234,096)
---------- ---------- ---------- ---------- ----------
From capital
transactions:
Net premiums........... 59,375 9,919,791 2,617,049 11,240,878 19,385,851
Transfers (to) from the
general account of GE
Life and Annuity:
Death benefits....... -- (127,647) (268,315) (523,012) (95,102)
Surrenders........... (287,313) (2,783,964) (2,818,403) (901,833) (817,022)
Administrative
expense (note 3).... (1,279) (27,415) (21,073) (11,631) (4,151)
Transfer gain (loss)
and transfer fees... (64,989) 21,661 (40,506) (95,702) (220,204)
Transfers (to) from the
Guarantee Account
(note 1).............. 185,272 4,978,479 2,574,380 4,308,736 4,621,598
Interfund transfers.... (431,538) 2,348,290 412,058 2,659,333 8,145,373
---------- ---------- ---------- ---------- ----------
Increase (decrease) in
net assets from capital
transactions........... (540,472) 14,329,195 2,455,190 16,676,769 31,016,343
---------- ---------- ---------- ---------- ----------
Increase (decrease) in
net assets............. (621,871) 10,542,180 3,710,615 16,717,597 30,782,247
Net assets at beginning
of year................ 9,000,108 74,304,412 44,850,034 39,068,603 27,311,196
---------- ---------- ---------- ---------- ----------
Net assets at end of
period................. $8,378,237 84,846,592 48,560,649 55,786,200 58,093,443
========== ========== ========== ========== ==========
</TABLE>
F-18
<PAGE>
GE LIFE & ANNUITY SEPARATE ACCOUNT 4
Statements of Changes in Net Assets, Continued
(Unaudited)
<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
----------- ------------ ----------- ----------- ----------
Six months ended June 30, 2000
---------------------------------------------------------------
<S> <C> <C> <C> <C> <C>
Increase (decrease) in
net assets
From operations:
Net investment income
(expense)............. $ 5,566,766 (1,721,890) (2,802,371) 14,623,318 3,175,024
Net realized gain
(loss)................ (893,331) 11,475,453 32,940,757 (3,089,194) 1,078,263
Unrealized appreciation
(depreciation) on
investments........... (3,672,667) (4,041,322) 27,330,656 (13,594,678) (4,893,400)
Capital gain
distribution.......... -- 20,108,476 15,829,517 -- 5,372,892
----------- ----------- ----------- ----------- ----------
Increase (decrease) in
net assets from
operations............. 1,000,768 25,820,717 73,298,559 (2,060,554) 4,732,779
----------- ----------- ----------- ----------- ----------
From capital
transactions:
Net premiums........... 5,414,096 26,263,839 32,492,719 4,365,613 2,787,602
Transfers (to) from the
general account of GE
Life and Annuity:
Death benefits........ (629,671) (1,424,037) (806,517) (398,322) (375,268)
Surrenders............ (3,730,235) (12,424,059) (24,682,377) (15,964,679) (4,623,658)
Administrative expense
(note 3)............. (37,132) (139,064) (227,495) (77,600) (51,614)
Transfer gain (loss)
and transfer fees.... (75,035) (605,313) (1,754,445) 41,217 37,970
Transfers (to) from the
Guarantee Account
(note 1).............. 4,269,236 9,520,452 5,602,454 3,325,062 1,305,665
Interfund transfers.... (4,062,856) 11,623,015 27,893,744 (11,524,876) (1,570,960)
----------- ----------- ----------- ----------- ----------
Increase (decrease) in
net assets from capital
transactions........... 1,148,403 32,814,833 38,518,083 (20,233,585) (2,490,263)
----------- ----------- ----------- ----------- ----------
Increase (decrease) in
net assets............. 2,149,171 58,635,550 111,816,642 (22,294,139) 2,242,516
Net assets at beginning
of year................ 76,466,522 281,669,683 358,333,113 167,478,173 80,837,294
----------- ----------- ----------- ----------- ----------
Net assets at end of
period................. $78,615,693 340,305,233 470,149,755 145,184,034 83,079,810
=========== =========== =========== =========== ==========
</TABLE>
F-19
<PAGE>
GE LIFE & ANNUITY SEPARATE ACCOUNT 4
Statements of Changes in Net Assets, Continued
(Unaudited)
<TABLE>
<CAPTION>
Variable Insurance Products Fund
-----------------------------------------
Equity- Growth Overseas
Income Portfolio Portfolio Portfolio
---------------- ----------- -----------
Six months ended June 30, 2000
-----------------------------------------
<S> <C> <C> <C>
Increase (decrease) in net assets
From operations:
Net investment income (expense).... $ 7,157,190 (3,929,350) 1,007,017
Net realized gain (loss)........... 5,283,875 27,274,839 3,510,408
Unrealized appreciation
(depreciation) on investments..... (79,035,980) (66,909,333) (21,525,261)
Capital gain distribution.......... 42,686,468 74,486,477 11,390,996
------------ ----------- -----------
Increase (decrease) in net assets
from operations.................... (23,908,447) 30,922,633 (5,616,841)
------------ ----------- -----------
From capital transactions:
Net premiums....................... 15,970,040 63,143,795 7,411,394
Transfers (to) from the general
account of GE Life and Annuity:
Death benefits................... (2,467,993) (2,101,583) (275,688)
Surrenders....................... (36,699,518) (41,986,543) (8,838,131)
Administrative expense (note 3).. (339,578) (393,062) (92,941)
Transfer gain (loss) and transfer
fees............................ (7,911) (1,153,125) (680,415)
Transfers (to) from the Guarantee
Account (note 1).................. 12,477,928 18,584,920 1,433,171
Interfund transfers................ (36,824,084) 16,257,881 3,890,008
------------ ----------- -----------
Increase (decrease) in net assets
from capital transactions.......... (47,891,116) 52,352,283 2,847,398
------------ ----------- -----------
Increase (decrease) in net assets... (71,799,563) 83,274,916 (2,769,443)
Net assets at beginning of year..... 690,746,803 673,136,506 129,605,388
------------ ----------- -----------
Net assets at end of period......... $618,947,240 756,411,422 126,835,945
============ =========== ===========
</TABLE>
F-20
<PAGE>
GE LIFE & ANNUITY SEPARATE ACCOUNT 4
Statements of Changes in Net Assets, Continued
(Unaudited)
<TABLE>
<CAPTION>
Variable Insurance Variable Insurance
Products Fund II Products Fund III
------------------------- --------------------------
Asset Growth & Growth
Manager Contrafund Income Opportunities
Portfolio Portfolio Portfolio Portfolio
------------ ----------- ----------- -------------
Six months ended Six months ended
June 30, 2000 June 30, 2000
------------------------- --------------------------
<S> <C> <C> <C> <C>
Increase (decrease) in
net assets
From operations:
Net investment income
(expense)............. $ 12,165,174 (1,826,970) 497,421 548,116
Net realized gain
(loss)................ 5,695,762 12,136,678 (113,233) (658,234)
Unrealized appreciation
(depreciation) on
investments........... (58,970,817) (87,264,587) (12,528,665) (10,436,275)
Capital gain
distribution.......... 34,925,087 66,140,474 8,810,533 6,180,953
------------ ----------- ----------- -----------
Increase (decrease) in
net assets from
operations............. (6,184,794) (10,814,405) (3,333,945) (4,365,439)
------------ ----------- ----------- -----------
From capital
transactions:
Net premiums........... 7,939,007 49,041,192 15,310,377 8,825,248
Transfers (to) from the
general account of
GE Life and Annuity:
Death benefits....... (1,600,908) (1,012,148) (309,041) (187,431)
Surrenders........... (41,842,509) (22,149,924) (4,143,611) (2,814,461)
Administrative
expense (note 3).... (486,337) (217,190) (50,213) (37,757)
Transfer gain (loss)
and transfer fees... (266,584) (5,337,103) (218,012) (234,604)
Transfers (to) from
Gurantee Account (note
1).................... 4,090,974 18,194,399 10,571,757 5,812,250
Interfund transfers.... (14,320,858) 2,574,086 (6,464,153) (8,310,648)
------------ ----------- ----------- -----------
Increase (decrease) in
net assets from capital
transactions........... (46,487,215) 41,093,312 14,697,104 3,052,597
------------ ----------- ----------- -----------
Increase (decrease) in
net assets............. (52,672,009) 30,278,907 11,363,159 (1,312,842)
Net assets at beginning
of year................ 476,466,282 521,533,067 120,209,138 100,728,085
------------ ----------- ----------- -----------
Net assets at end of
period................. $423,794,273 551,811,974 131,572,297 99,415,243
============ =========== =========== ===========
</TABLE>
F-21
<PAGE>
GE LIFE & ANNUITY SEPARATE ACCOUNT 4
Statements of Changes in Net Assets, Continued
(Unaudited)
<TABLE>
<CAPTION>
Federated Insurance Series
------------------------------------
High
American Income
Leaders Bond Utility
Fund II Fund II Fund II
------------ ---------- ----------
Six months ended June 30, 2000
------------------------------------
<S> <C> <C> <C>
Increase (decrease) in net assets
From operations:
Net investment income (expense)......... $ 243,274 5,184,248 1,368,083
Net realized gain (loss)................ (680,363) (1,281,447) 400,171
Unrealized appreciation (depreciation)
on investments......................... (7,301,885) (5,522,217) (4,064,247)
Capital gain distribution............... 2,763,969 -- 1,180,071
------------ ---------- ----------
Increase (decrease) in net assets from
operations.............................. (4,975,005) (1,619,416) (1,115,922)
------------ ---------- ----------
From capital transactions:
Net premiums............................ 6,816,213 4,138,924 3,489,238
Transfers (to) from the general account
of GE Life and Annuity:
Death benefits........................ (549,303) (321,490) (129,849)
Surrenders............................ (3,659,561) (2,712,828) (2,299,391)
Administrative expense (note 3)....... (40,360) (24,661) (27,223)
Transfer gain (loss) and transfer
fees................................. (166,193) (43,586) (119,501)
Transfers (to) from the Guarantee
Account (note 1)....................... 4,577,632 3,616,199 3,114,907
Interfund transfers..................... (5,243,777) (2,937,517) (1,987,924)
------------ ---------- ----------
Increase (decrease) in net assets from
capital transactions.................... 1,734,651 1,715,041 2,040,257
------------ ---------- ----------
Increase (decrease) in net assets........ (3,240,354) 95,625 924,335
Net assets at beginning of year.......... 100,981,114 67,153,686 59,320,950
------------ ---------- ----------
Net assets at end of period.............. $ 97,740,760 67,249,311 60,245,285
============ ========== ==========
</TABLE>
F-22
<PAGE>
GE LIFE & ANNUITY SEPARATE ACCOUNT 4
Statements of Changes in Net Assets, Continued
(Unaudited)
<TABLE>
<CAPTION>
PBHG Insurance
Alger American Series Fund, Inc.
-------------------------- ----------------------
Small PBHG Large PBHG
Capitalization Growth Cap Growth Growth II
Portfolio Portfolio Portfolio Portfolio
-------------- ----------- ---------- ----------
Six months ended Six months ended
June 30, 2000 June 30, 2000
-------------------------- ----------------------
<S> <C> <C> <C> <C>
Increase (decrease) in net
assets
From operations:
Net investment income
(expense)............... $ (1,175,780) (2,524,869) (235,537) (334,530)
Net realized gain
(loss).................. 1,988,160 14,266,110 3,077,134 4,943,274
Unrealized appreciation
(depreciation) on
investments............. (67,214,231) (51,355,663) 1,910,806 1,576,617
Capital gain
distribution............ 63,049,078 49,596,493 -- --
------------ ----------- ---------- ----------
Increase (decrease) in net
assets from operations... (3,352,773) 9,982,071 4,752,403 6,185,361
------------ ----------- ---------- ----------
From capital transactions:
Net premiums............. 28,669,432 53,971,888 6,299,772 8,327,973
Transfers (to) from the
general account of
GE Life and Annuity:
Death benefits......... (177,943) (1,367,949) (90,805) (89,895)
Surrenders............. (6,241,546) (11,224,045) (1,206,461) (2,556,052)
Administrative expense
(note 3).............. (57,139) (124,862) (13,294) (18,399)
Transfer gain (loss)
and transfer fees..... (367,874) (750,011) (52,501) (192,199)
Transfers (to) from the
Guarantee Account (note
1)...................... 6,745,695 19,409,428 4,643,352 3,640,632
Interfund transfers...... 22,151,796 10,118,262 9,053,215 18,487,040
------------ ----------- ---------- ----------
Increase (decrease) in net
assets from capital
transactions............. 22,052,989 16,060,823 12,333,506 19,271,127
------------ ----------- ---------- ----------
Increase (decrease) in net
assets................... 47,369,648 80,014,782 23,385,681 33,784,461
Net assets at beginning of
year..................... 144,058,513 322,613,923 23,203,656 32,648,251
------------ ----------- ---------- ----------
Net assets at end of
period................... $191,428,161 402,628,705 46,589,337 66,432,712
============ =========== ========== ==========
</TABLE>
F-23
<PAGE>
GE LIFE & ANNUITY SEPARATE ACCOUNT 4
Statements of Changes in Net Assets, Continued
(Unaudited)
<TABLE>
<CAPTION>
Janus Aspen Series
-------------------------------------------------------------------
Aggressive Worldwide Flexible
Growth Growth Growth Balanced Income
Portfolio Portfolio Portfolio Portfolio Portfolio
------------- ----------- ------------- ----------- -----------
Six months ended June 30, 2000
-------------------------------------------------------------------
<S> <C> <C> <C> <C> <C>
Increase (decrease) in
net assets
From operations:
Net investment income
(expense)............. $ (4,544,477) (5,379,729) (7,444,921) (3,573,004) (407,463)
Net realized gain
(loss)................ 78,937,130 37,598,508 72,276,797 11,889,176 (361,359)
Unrealized appreciation
(depreciation) on
investments........... (137,937,708) (60,329,548) (71,183,400) (44,557,389) (585,181)
Capital gain
distribution.......... 56,964,582 33,400,339 16,274,329 36,663,407 1,669,618
------------- ----------- ------------- ----------- -----------
Increase (decrease) in
net assets from
operations............. (6,580,473) 5,289,570 9,922,805 422,190 315,615
------------- ----------- ------------- ----------- -----------
From capital
transactions:
Net premiums........... 135,915,977 124,743,160 114,490,440 72,354,784 23,199,773
Transfers (to) from the
general account of GE
Life and Annuity:
Death benefits....... (1,255,901) 425,248 (2,949,806) (2,557,094) (377,176)
Surrenders........... (34,771,534) (32,259,882) (46,283,260) (19,146,688) (7,161,873)
Administrative
expense (note 3).... (220,236) (331,252) (466,504) (224,422) (75,696)
Transfer gain (loss)
and transfer fees... 4,920,783 (3,814,410) (2,362,503) (589,946) (13,800,567)
Transfers (to) from the
Guarantee Account
(note 1).............. 28,064,748 30,666,076 30,867,729 43,514,309 4,842,681
Interfund transfers.... 90,603,988 52,220,777 48,655,037 24,871,601 (1,322,893)
------------- ----------- ------------- ----------- -----------
Increase (decrease) in
net assets from capital
transactions........... 223,257,825 171,649,717 141,951,133 118,222,544 5,304,249
------------- ----------- ------------- ----------- -----------
Increase (decrease) in
net assets............. 216,677,352 176,939,287 151,873,938 118,644,734 5,619,864
Net assets at beginning
of year................ 515,508,589 690,176,996 987,856,504 460,227,256 56,452,441
------------- ----------- ------------- ----------- -----------
Net assets at end of
period................. $ 732,185,941 867,116,283 1,139,730,442 578,871,990 62,072,305
============= =========== ============= =========== ===========
</TABLE>
F-24
<PAGE>
GE LIFE & ANNUITY SEPARATE ACCOUNT 4
Statements of Changes in Net Assets, Continued
(Unaudited)
<TABLE>
<CAPTION>
Janus Aspen Series (continued)
---------------------------------------------------
International Capital Global Life Global
Growth Appreciation Sciences Technology
Portfolio Portfolio Portfolio Portfolio
------------- ------------ ----------- ----------
Six months ended June 30, Period from May 2,
2000 2000 to June 30, 2000
--------------------------- ----------------------
<S> <C> <C> <C> <C>
Increase (decrease) in net
assets
From operations:
Net investment income
(expense)................. $ (1,687,128) (3,165,705) (7,286) (9,753)
Net realized gain (loss)... 42,787,485 22,613,600 46,408 2,544
Unrealized appreciation
(depreciation) on
investments............... (41,934,732) (46,541,401) 242,890 218,431
Capital gain distribution.. 710,718 1,719,074 -- --
------------ ----------- --------- ----------
Increase (decrease) in net
assets from operations..... (123,657) (25,374,432) 282,012 211,222
------------ ----------- --------- ----------
From capital transactions:
Net premiums............... 72,332,277 107,866,254 1,434,417 3,101,357
Transfers (to) from the
general account of GE Life
and Annuity:
Death benefits............ (701,393) (726,163) -- --
Surrenders................ (10,253,858) (13,194,537) (56,522) (7,557)
Administrative expense
(note 3)................. (134,090) (147,667) (370) (627)
Transfer gain (loss) and
transfer fees............ (12,061,503) (525,067) 18,679 44,964
Transfer (to) from the
Guarantee Account
(note 1).................. 9,662,710 27,152,746 130,466 79,694
Interfund transfers........ 41,770,709 21,392,129 5,836,782 7,018,499
------------ ----------- --------- ----------
Increase (decrease) in net
assets from capital
transactions............... 100,614,852 141,817,695 7,363,452 10,236,330
------------ ----------- --------- ----------
Increase (decrease) in net
assets..................... 100,491,195 116,443,263 7,645,464 10,447,552
Net assets at beginning of
year....................... 184,199,927 369,576,882 -- --
------------ ----------- --------- ----------
Net assets at end of
period..................... $284,691,122 486,020,145 7,645,464 10,447,552
============ =========== ========= ==========
</TABLE>
F-25
<PAGE>
GE LIFE & ANNUITY SEPARATE ACCOUNT 4
Statements of Changes in Net Assets
(Unaudited)
<TABLE>
<CAPTION>
Goldman Sachs
Variable Insurance Salomon Brothers Variable Series
Trust Funds Inc.
----------------------- ----------------------------------
Growth & Mid Cap Strategic Investors Total Return
Income Fund Value Fund Bond Fund Fund Fund
----------- ---------- --------- --------- ------------
Six months ended
June 30, 2000 Six months ended June 30, 2000
----------------------- ----------------------------------
<S> <C> <C> <C> <C> <C>
Increase (decrease) in
net assets From
operations:
Net investment income
(expense)............. $ (85,868) (140,747) (45,653) (41,273) (29,239)
Net realized gain
(loss)................ 26,342 (168,721) (38,097) 150,947 (14,005)
Unrealized appreciation
(depreciation) on
investments........... 174,776 995,199 203,172 462,655 156,375
Capital gain
distribution.......... -- -- -- -- --
----------- ---------- --------- --------- ---------
Increase (decrease) in
net assets from
operations............. 115,250 685,731 119,422 572,329 113,131
----------- ---------- --------- --------- ---------
From capital
transactions:
Net premiums........... 3,492,969 3,756,347 1,917,574 2,814,916 592,123
Transfers (to) from the
general account of GE
Life and Annuity:
Death benefits....... -- (43,738) (22,162) -- (20,505)
Surrenders........... (491,782) (640,253) (356,985) (119,965) (52,565)
Administrative
expense (note 3).... (3,686) (5,493) (1,635) (1,000) (1,824)
Transfer gain (loss)
and transfer fees... (8,757) (120,767) 15,067 (43,804) (3,742)
Transfer (to) from the
Guarantee Account
(note 1).............. 717,213 1,593,178 581,699 449,638 429,087
Interfund transfers..... 287,616 2,335,727 240,638 1,757,264 623,487
----------- ---------- --------- --------- ---------
Increase (decrease) in
net assets from capital
transactions........... 3,993,573 6,875,001 2,374,196 4,857,049 1,566,061
----------- ---------- --------- --------- ---------
Increase (decrease) in
net assets............. 4,108,823 7,560,732 2,493,618 5,429,378 1,679,192
Net assets at beginning
of year................ 10,198,690 16,513,496 5,328,000 3,791,907 3,250,699
----------- ---------- --------- --------- ---------
Net assets at end of
period................. $14,307,513 24,074,228 7,821,618 9,221,285 4,929,891
=========== ========== ========= ========= =========
</TABLE>
See accompanying notes to unaudited financial statements.
F-26
<PAGE>
GE LIFE & ANNUITY SEPARATE ACCOUNT 4
Notes to Financial Statements
June 30, 2000
(Unaudited)
(1) Description of Entity
GE Life & Annuity Separate Account 4 is a separate investment account
established in 1987 by GE Life and Annuity Assurance Company (GE Life &
Annuity) 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 indirect, wholly-
owned subsidiaries of General Electric Capital (GE Capital). GE Capital, a
diversified financial services company, is a wholly-owned subsidiary of
General Electric Company (GE), a New York corporation.
During the second quarter of 2000, two new investment subdivisions were
added to the Account for Type I, Type II, Type III, and Type IV policies (see
note 2). The Global Life Sciences Portfolio and the Global Technology
Portfolio each invests solely in a designated portfolio of the Janus Aspen
Series. 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 forms P1140 and P1141. Type II units are sold under policy forms
P1142, P1142N and P1143. Type III are sold under policy form P1152. Type IV
units are sold under policy form P1151. Effective third quarter 2000, Type V
and Type VI units will be sold under policy forms P1153 and P1154
respectively.
(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 period.
F-27
<PAGE>
GE LIFE & ANNUITY SEPARATE ACCOUNT 4
Notes to Financial Statements -- Continued
June 30, 2000
(Unaudited)
(2) Summary of Significant Accounting Policies -- Continued
The aggregate cost of investments acquired and the aggregate proceeds of
investments sold, for the six months or lesser period ended June 30, 2000
were:
<TABLE>
<CAPTION>
Cost of Proceeds from
Fund/Portfolio Shares Acquired Shares Sold
-------------- --------------- -------------
<S> <C> <C>
GE Investment Funds, Inc.:
S&P 500 Index Fund............................... $ 213,974,825 133,769,952
Money Market Fund................................ 1,520,910,064 1,535,620,629
Total Return Fund................................ 21,098,517 14,414,474
International Equity Fund........................ 38,815,141 33,280,484
Real Estate Securities Fund...................... 13,424,268 8,605,090
Global Income Fund............................... 1,851,000 2,415,177
Mid-Cap Value Equity Fund........................ 33,274,020 19,601,975
Income Fund...................................... 12,060,082 9,930,475
U.S. Equity Fund................................. 23,401,809 7,059,229
Premier Growth Equity Fund....................... 39,803,276 9,036,716
Oppenheimer Variable Account Funds:
Bond Fund/VA..................................... 22,572,410 15,777,491
Capital Appreciation Fund/VA..................... 91,676,781 40,692,053
Aggressive Growth Fund/VA........................ 156,158,876 103,130,879
High Income Fund/VA.............................. 41,869,964 47,536,629
Multiple Strategies Fund/VA...................... 17,858,238 11,994,039
Variable Insurance Products Fund:
Equity-Income Portfolio.......................... 121,383,835 120,064,685
Growth Portfolio................................. 245,420,112 122,744,690
Overseas Portfolio............................... 322,639,561 310,086,057
Variable Insurance Products Fund II:
Asset Manager Portfolio.......................... 74,670,360 74,731,524
Contrafund Portfolio............................. 182,281,789 76,548,579
Variable Insurance Products Fund III:
Growth & Income Portfolio........................ 49,974,355 25,977,427
Growth Opportunties Portfolio.................... 34,573,028 24,709,657
</TABLE>
F-28
<PAGE>
GE LIFE & ANNUITY SEPARATE ACCOUNT 4
Notes to Financial Statements -- Continued
June 30, 2000
(Unaudited)
(2) Summary of Significant Accounting Policies -- Continued
<TABLE>
<CAPTION>
Cost of Proceeds
Shares from Shares
Fund/Portfolio Acquired Sold
-------------- ------------ -----------
<S> <C> <C>
Federated Insurance Series:
American Leaders Fund II............................. $ 33,448,820 28,683,169
High Income Bond Fund II............................. 35,695,053 28,715,832
Utility Fund II...................................... 14,999,234 10,284,540
Alger American Fund:
Small Capitalization Portfolio....................... 196,011,572 85,230,932
Growth Portfolio..................................... 234,641,301 118,743,747
PBHG Insurance Series Fund, Inc.:
PBHG Large Cap Growth Portfolio...................... 29,497,117 11,250,777
PBHG Growth II Portfolio............................. 56,678,479 29,501,540
Janus Aspen Series:
Aggressive Growth Portfolio.......................... 578,399,565 310,343,488
Growth Portfolio..................................... 331,969,089 132,626,057
Worldwide Growth Portfolio........................... 348,274,320 197,016,709
Balanced Portfolio................................... 221,799,435 70,640,455
Flexible Income Portfolio............................ 20,434,171 13,716,476
International Growth Portfolio....................... 281,304,551 185,040,267
Capital Appreciation Portfolio....................... 258,049,989 117,884,602
Global Life Sciences Portfolio....................... 12,757,845 5,511,765
Global Technology Portfolio.......................... 13,348,725 3,194,161
Goldman Sachs Variable Insurance Trust:
Growth and Income Fund............................... 7,908,997 3,974,637
Mid Cap Value Fund................................... 16,814,952 10,103,028
Salomon Brothers Variable Series Funds Inc.:
Strategic Bond Fund.................................. 3,743,571 1,493,761
Investors Fund....................................... 7,889,780 3,239,237
Total Return Fund.................................... 2,197,932 656,371
</TABLE>
F-29
<PAGE>
GE LIFE & ANNUITY SEPARATE ACCOUNT 4
Notes to Financial Statements -- Continued
June 30, 2000
(Unaudited)
(2) Summary of Significant Accounting Policies -- Continued
(c) Capital Transactions
The increase (decrease) in outstanding units for Type I, Type II, Type III
and Type IV units from capital transactions for the six months or lesser
period ended June 30, 2000 is as follows:
<TABLE>
<CAPTION>
GE Investments Funds, Inc.
-----------------------------------------------------------
S&P 500 Money Total Real Estate
Index Market Return International Securities
Fund Fund Fund Equity Fund Fund
--------- ---------- --------- ------------- -----------
<S> <C> <C> <C> <C> <C>
Type I Units:
Units outstanding at
December 31, 1999...... 1,079,890 5,265,274 513,721 203,538 218,219
--------- ---------- --------- ------- -------
From capital
transactions:
Net premiums........... 2,767 11,106 853 1 499
Transfers (to) from the
general account of GE
Life & Annuity:
Death benefits....... (1,547) (26,690) (8,364) -- (528)
Surrenders........... (84,553) (1,991,572) (36,715) (14,650) (9,121)
Cost of insurance and
administrative
expense............. (1,158) (5,250) (580) (144) (134)
Transfers (to) from the
Guarantee Account..... 7,366 43,192 549 167 --
Interfund transfers.... (73,556) 614,117 (38,554) (73,312) 12,599
--------- ---------- --------- ------- -------
Net increase (decrease)
from capital
transactions........... (150,681) (1,355,097) (82,811) (87,938) 3,315
--------- ---------- --------- ------- -------
Units outstanding at
June 30, 2000.......... 929,209 3,910,177 430,910 115,600 221,534
========= ========== ========= ======= =======
<CAPTION>
GE Investments Funds, Inc. (continued)
-----------------------------------------------------------
Mid-Cap
Global Value Premier
Income Equity Income U.S. Equity Growth
Fund Fund Fund Fund Equity Fund
--------- ---------- --------- ------------- -----------
<S> <C> <C> <C> <C> <C>
Type I Units:
Units outstanding at
December 31, 1999...... 50,781 419,746 1,124,188 82,891 --
--------- ---------- --------- ------- -------
From capital
transactions:
Net premiums........... 44 2,263 187 228 46,815
Transfers (to) from the
general account of GE
Life & Annuity:
Death benefits....... -- -- (1,394) -- --
Surrenders........... (7,953) (51,559) (126,860) (2,447) (8,158)
Cost of insurance and
administrative
expense............. (50) (465) (1,165) (95) (97)
Transfers (to) from the
Guarantee Account..... -- 3,123 2,345 -- 540
Interfund transfers.... (14,055) 39,385 (48,047) (4,171) 55,171
--------- ---------- --------- ------- -------
Net increase (decrease)
from capital
transactions........... (22,014) (7,253) (174,934) (6,485) 94,271
--------- ---------- --------- ------- -------
Units outstanding at
June 30, 2000.......... 28,767 412,493 949,254 76,406 94,271
========= ========== ========= ======= =======
</TABLE>
F-30
<PAGE>
GE LIFE & ANNUITY SEPARATE ACCOUNT 4
Notes to Financial Statements -- Continued
June 30, 2000
(Unaudited)
(2) Summary of Significant Accounting Policies -- Continued
<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
Type I Units: -------- ------------ ---------- --------- ----------
<S> <C> <C> <C> <C> <C>
Units outstanding at
December 31, 1999...... 768,244 957,458 1,804,530 1,245,529 1,051,087
-------- ------- --------- --------- ---------
From capital
transactions:
Net premiums........... 1,932 1,154 3,253 3,410 1,478
Transfers (to) from the
general account of
GE Life & Annuity:
Death benefits....... (3,370) (4,879) (2,822) (2,450) (5,557)
Surrenders........... (79,468) (58,096) (165,769) (128,338) (109,759)
Cost of insurance and
administrative
expense............. (827) (1,053) (2,037) (1,329) (1,143)
Transfers (to) from the
Guarantee Account..... 1,002 932 1,478 (1,103) 699
Interfund transfers.... (45,638) (3,115) 11,812 (80,361) (47,191)
-------- ------- --------- --------- ---------
Net increase (decrease)
from capital
transactions........... (126,369) (65,057) (154,085) (210,171) (161,473)
-------- ------- --------- --------- ---------
Units outstanding at
June 30, 2000.......... 641,875 892,401 1,650,445 1,035,358 889,614
======== ======= ========= ========= =========
</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 I Units: --------- --------- --------- ---------- ---------- --------- -------------
<S> <C> <C> <C> <C> <C> <C> <C>
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
--------- --------- --------- ---------- --------- -------- -------
From capital
transactions:
Net premiums........... 5,933 5,193 3,745 24,773 11,080 1,831 2,127
Transfers (to) from the
general account of GE
Life & Annuity:
Death benefits....... (16,743) (2,537) (4,645) (42,180) (1,805) (1,110) (3,583)
Surrenders........... (460,120) (321,283) (182,254) (1,247,541) (291,802) (82,360) (34,149)
Cost of insurance and
administrative
expense............. (4,756) (3,659) (2,151) (15,086) (2,918) (629) (565)
Transfers (to) from the
Guarantee Account..... 3,034 549 (1,414) 1,840 7,694 6,876 3,302
Interfund transfers.... (331,926) (43,041) (36,779) (368,635) (74,550) (67,191) (65,353)
--------- --------- --------- ---------- --------- -------- -------
Net increase (decrease)
from capital
transactions........... (804,578) (364,778) (223,498) (1,646,829) (352,301) (142,583) (98,221)
--------- --------- --------- ---------- --------- -------- -------
Units outstanding at
June 30, 2000.......... 3,650,041 2,945,345 2,020,774 10,341,982 2,297,952 476,232 427,160
========= ========= ========= ========== ========= ======== =======
</TABLE>
F-31
<PAGE>
GE LIFE & ANNUITY SEPARATE ACCOUNT 4
Notes to Financial Statements -- Continued
June 30, 2000
(Unaudited)
(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, 1999...... 474,111 450,443 363,909 1,090,003 1,237,526 132,343 226,702
-------- ------- ------- --------- --------- ------- -------
From capital
transactions:
Net premiums........... 790 317 2,168 4,950 3,842 176 2,106
Transfers (to) from the
general account of GE
Life & Annuity:
Death benefits....... (1,125) (2,189) (271) -- (1,232) -- --
Surrenders........... (44,214) (39,173) (35,407) (107,578) (80,263) (10,452) (42,793)
Cost of insurance and
administrative
expense............. (475) (398) (425) (1,430) (1,278) (184) (316)
Transfers (to) from the
Guarantee Account..... 3,632 1,308 764 5,178 4,297 352 1,701
Interfund transfers.... (61,661) (4,152) (2,511) 209,575 (37,201) 83,040 225,655
-------- ------- ------- --------- --------- ------- -------
Net increase (decrease)
from capital
transactions........... (103,053) (44,287) (35,682) 110,695 (111,835) 72,932 186,353
-------- ------- ------- --------- --------- ------- -------
Units outstanding at
June 30, 2000.......... 371,058 406,156 328,227 1,200,698 1,125,691 205,275 413,055
======== ======= ======= ========= ========= ======= =======
</TABLE>
F-32
<PAGE>
GE LIFE & ANNUITY SEPARATE ACCOUNT 4
Notes to Financial Statements -- Continued
June 30, 2000
(Unaudited)
(2) Summary of Significant Accounting Policies -- Continued
<TABLE>
<CAPTION>
Janus Aspen Series
------------------------------------------------------
Aggressive Worldwide Flexible
Growth Growth Growth Balanced Income
Portfolio Portfolio Portfolio Portfolio Portfolio
Type I Units: ---------- --------- --------- --------- ---------
<S> <C> <C> <C> <C> <C>
Units outstanding at
December 31, 1999....... 1,789,828 4,139,512 4,314,377 2,796,176 514,641
--------- --------- --------- --------- -------
From capital
transactions:
Net premiums............ 21,267 19,244 19,445 9,244 4,054
Transfers (to) from the
general account of GE
Life & Annuity:
Death benefits......... (3,301) (9,159) (8,530) (5,274) (679)
Surrenders............. (468,507) (412,502) (404,308) (284,949) (51,466)
Cost of insurance and
administrative
expense............... (5,963) (4,733) (4,834) (3,237) (732)
Transfers (to) from the
Guarantee Account...... 5,683 12,069 9,820 15,707 (37)
Interfund transfers..... 415,223 45,958 108,373 60,400 (3,489)
--------- --------- --------- --------- -------
Net increase (decrease)
from capital
transactions............ (35,598) (349,123) (280,034) (208,109) (52,349)
--------- --------- --------- --------- -------
Units outstanding at June
30, 2000................ 1,754,230 3,790,389 4,034,343 2,588,067 462,292
========= ========= ========= ========= =======
</TABLE>
<TABLE>
<CAPTION>
Janus Aspen Series (continued)
-----------------------------------------------
Global
International Capital Life Global
Growth Appreciation Sciences Technology
Portfolio Portfolio Portfolio Portfolio
Type I Units: ------------- ------------ --------- ----------
<S> <C> <C> <C> <C>
Units outstanding at December
31, 1999...................... 949,972 1,124,173 -- --
--------- --------- ------ ------
From capital transactions:
Net premiums.................. 4,452 4,162 -- --
Transfers (to) from the
general account of GE Life &
Annuity:
Death benefits............... (1,442) (1,348) -- --
Surrenders................... (76,232) (71,267) -- --
Cost of insurance and
administrative expense...... (1,275) (1,192) (7) (19)
Transfers (to) from the
Guarantee Account............ 3,561 4,328 -- 1,367
Interfund transfers........... 198,808 (44,109) 38,328 96,512
--------- --------- ------ ------
Net increase (decrease) from
capital transactions.......... 127,872 (109,426) 38,321 97,860
--------- --------- ------ ------
Units outstanding at June 30,
2000.......................... 1,077,844 1,014,747 38,321 97,860
========= ========= ====== ======
</TABLE>
F-33
<PAGE>
GE LIFE & ANNUITY SEPARATE ACCOUNT 4
Notes to Financial Statements -- Continued
June 30, 2000
(Unaudited)
(2) Summary of Significant Accounting Policies -- Continued
<TABLE>
<CAPTION>
Goldman Sachs
Variable Insurance Salomon Brothers Variable
Trust Series Funds Inc.
------------------ --------------------------
Growth and Mid Cap Total
Income Value Strategic Investors Return
Fund Fund Bond Fund Fund Fund
Type I Units: ---------- ------- --------- --------- ------
<S> <C> <C> <C> <C> <C>
Units outstanding at December
31, 1999...................... 80,699 195,348 46,435 15,929 6,185
------- ------- ------- ------ ------
From capital transactions:
Net premiums.................. 2,889 780 149 8 14
Transfers (to) from the
general account of GE Life &
Annuity:
Death benefits............... -- -- -- -- --
Surrenders................... (17,897) (40,172) (13,453) (2,193) (15)
Cost of insurance and
administrative expense...... (86) (232) (51) (31) (20)
Transfers (to) from the
Guarantee Account............ -- 3,980 42 336 1,690
Interfund transfers........... 11,722 (4,820) 2,032 24,981 19,209
------- ------- ------- ------ ------
Net increase (decrease) from
capital transactions.......... (3,372) (40,464) (11,281) 23,101 20,878
------- ------- ------- ------ ------
Units outstanding at June 30,
2000.......................... 77,327 154,884 35,154 39,030 27,063
======= ======= ======= ====== ======
</TABLE>
F-34
<PAGE>
GE LIFE & ANNUITY SEPARATE ACCOUNT 4
Notes to Financial Statements -- Continued
June 30, 2000
(Unaudited)
(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 II Units: --------- ------------ --------- ------------- -------------
<S> <C> <C> <C> <C> <C>
Units outstanding at
December 31, 1999...... 7,955,210 13,992,458 1,884,184 735,974 1,409,644
--------- ---------- --------- --------- ---------
From capital
transactions:
Net premiums........... 520,685 7,226,274 53,749 57,235 19,162
Transfers (to) from the
general account of
GE Life & Annuity:
Death benefits....... (24,454) (119,142) (9,590) (1,773) (2,636)
Surrenders........... (220,524) (2,426,854) (53,581) (19,342) (26,367)
Cost of insurance and
administrative
expense............. (3,107) (4,982) (688) (255) (485)
Transfers (to) from the
Guarantee Account..... 730,256 1,386,135 119,838 37,953 36,607
Interfund transfers.... (285,169) (7,987,485) (36,725) 41,317 50,931
--------- ---------- --------- --------- ---------
Net increase (decrease)
from capital
transactions........... 717,687 (1,926,054) 73,003 115,135 77,212
--------- ---------- --------- --------- ---------
Units outstanding at
June 30, 2000.......... 8,672,897 12,066,404 1,957,187 851,109 1,486,856
========= ========== ========= ========= =========
<CAPTION>
GE Investments Funds, Inc. (continued)
--------------------------------------------------------------
Global Mid-Cap Premier
Income Value Equity Income U.S. Equity Growth Equity
Fund Fund Fund Fund Fund
Type II Units: --------- ------------ --------- ------------- -------------
<S> <C> <C> <C> <C> <C>
Units outstanding at
December 31, 1999...... 291,731 3,011,792 2,729,732 1,613,261 802,961
--------- ---------- --------- --------- ---------
From capital
transactions:
Net premiums........... 6,106 223,776 85,095 249,356 407,773
Transfers (to) from the
general account of
GE Life & Annuity:
Death benefits....... -- (5,747) (22,250) (15,795) (6,101)
Surrenders........... (21,407) (107,392) (135,236) (35,730) (23,487)
Cost of insurance and
administrative
expense............. (80) (1,219) (844) (785) (234)
Transfers (to) from the
Guarantee Account..... 19,197 289,062 221,519 307,841 318,769
Interfund transfers.... (29,935) 35,392 (167,192) 88,544 278,404
--------- ---------- --------- --------- ---------
Net increase (decrease)
from capital
transactions........... (26,119) 433,872 (18,908) 593,431 975,124
--------- ---------- --------- --------- ---------
Units outstanding at
June 30, 2000.......... 265,612 3,445,664 2,710,824 2,206,692 1,778,085
========= ========== ========= ========= =========
</TABLE>
F-35
<PAGE>
GE LIFE & ANNUITY SEPARATE ACCOUNT 4
Notes to Financial Statements -- Continued
June 30, 2000
(Unaudited)
(2) Summary of Significant Accounting Policies -- Continued
<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
Type II Units: --------- ------------ ---------- --------- ----------
<S> <C> <C> <C> <C> <C>
Units outstanding at
December 31, 1999...... 2,531,310 3,232,987 2,933,967 3,792,914 1,504,814
--------- --------- --------- --------- ---------
From capital transac-
tions:
Net premiums........... 65,510 172,022 112,466 61,421 37,170
Transfers (to) from the
general account of GE
Life & Annuity:
Death benefits....... (18,454) (16,648) (6,045) (10,027) (6,506)
Surrenders........... (62,786) (123,415) (107,136) (380,244) (33,679)
Cost of insurance and
administrative
expense............. (654) (1,002) (585) (1,105) (486)
Transfers (to) from the
Guarantee Account..... 136,451 133,202 55,475 96,981 35,798
Interfund transfers.... (123,818) 65,178 130,164 (324,481) (42,391)
--------- --------- --------- --------- ---------
Net increase (decrease)
from capital
transactions........... (3,751) 229,337 184,339 (557,455) (10,094)
--------- --------- --------- --------- ---------
Units outstanding at
June 30, 2000.......... 2,527,559 3,462,324 3,118,306 3,235,459 1,494,720
========= ========= ========= ========= =========
</TABLE>
<TABLE>
<CAPTION>
Variable Insurance Products Variable Insurance
Fund Products Fund II
-------------------------------- ---------------------
Equity- Asset
Income Growth Overseas Manager Contrafund
Portfolio Portfolio Portfolio Portfolio Portfolio
Type II Units: ---------- --------- --------- --------- ----------
<S> <C> <C> <C> <C> <C>
Units outstanding at
December 31, 1999...... 10,963,577 4,760,717 1,525,527 3,361,601 11,622,130
---------- --------- --------- --------- ----------
From capital transac-
tions:
Net premiums........... 159,732 318,363 49,025 74,959 434,954
Transfers (to) from the
general account of GE
Life & Annuity:
Death benefits....... (42,635) (16,658) (2,685) (10,719) (20,070)
Surrenders........... (424,076) (214,478) (51,337) (140,245) (292,239)
Cost of insurance and
administrative
expense............. (3,466) (1,439) (319) (1,083) (2,948)
Transfers (to) from the
Guarantee Account..... 275,877 219,701 29,865 110,904 391,306
Interfund transfers.... (663,229) 89,418 39,394 (123,772) (85,772)
---------- --------- --------- --------- ----------
Net increase (decrease)
from capital
transactions........... (697,797) 394,907 63,943 (89,956) 425,231
---------- --------- --------- --------- ----------
Units outstanding at
June 30, 2000.......... 10,265,780 5,155,624 1,589,470 3,271,645 12,047,361
========== ========= ========= ========= ==========
</TABLE>
F-36
<PAGE>
GE LIFE & ANNUITY SEPARATE ACCOUNT 4
Notes to Financial Statements -- Continued
June 30, 2000
(Unaudited)
(2) Summary of Significant Accounting Policies -- Continued
<TABLE>
<CAPTION>
Variable Insurance
Products Fund III Federated Insurance Series
------------------------ --------------------------------
Growth & Growth American High Income
Income Opportunities Leaders Bond Utility
Portfolio Portfolio Fund II Fund II Fund II
Type II Units: --------- ------------- --------- ----------- ---------
<S> <C> <C> <C> <C> <C>
Units outstanding at
December 31, 1999...... 5,051,739 4,766,024 4,554,700 3,376,105 2,483,985
--------- --------- --------- --------- ---------
From capital
transactions:
Net premiums........... 261,838 245,132 174,336 68,802 122,749
Transfers (to) from the
general account of
GE Life & Annuity:
Death benefits....... (15,855) (7,968) (31,598) (17,153) (8,160)
Surrenders........... (119,835) (136,216) (164,479) (114,032) (120,853)
Cost of insurance and
administrative
expense............. (2,143) (1,979) (1,888) (1,078) (1,461)
Transfers (to) from the
Guarantee Account..... 540,979 376,535 253,091 188,453 219,196
Interfund transfers.... (406,314) (587,591) (338,966) (188,681) (205,817)
--------- --------- --------- --------- ---------
Net increase (decrease)
from capital
transactions........... 258,670 (112,087) (109,504) (63,689) 5,654
--------- --------- --------- --------- ---------
Units outstanding at
June 30, 2000.......... 5,310,409 4,653,937 4,445,196 3,312,416 2,489,639
========= ========= ========= ========= =========
</TABLE>
<TABLE>
<CAPTION>
PBHG Insurance
Alger American Fund Series Fund, Inc.
------------------------ --------------------
PBHG
Small Large Cap PBHG
Capitalization Growth Growth Growth II
Portfolio Portfolio Portfolio Portfolio
Type II Units: -------------- --------- --------- ---------
<S> <C> <C> <C> <C>
Units outstanding at December
31, 1999...................... 6,310,836 8,583,493 811,131 1,242,408
--------- --------- --------- ---------
From capital transactions:
Net premiums.................. 460,140 840,124 228,203 314,149
Transfers (to) from the
general account of GE Life &
Annuity:
Death benefits............... (8,282) (23,138) (3,292) (3,416)
Surrenders................... (224,677) (279,884) (32,833) (50,000)
Cost of insurance and
administrative expense...... (1,822) (3,127) (290) (351)
Transfers (to) from the
Guarantee Account............ 321,763 649,947 167,969 136,473
Interfund transfers........... 446,353 97,417 241,568 453,985
--------- --------- --------- ---------
Net increase (decrease) from
capital transactions.......... 993,475 1,281,339 601,325 850,840
--------- --------- --------- ---------
Units outstanding at June 30,
2000.......................... 7,304,311 9,864,832 1,412,456 2,093,248
========= ========= ========= =========
</TABLE>
F-37
<PAGE>
GE LIFE & ANNUITY SEPARATE ACCOUNT 4
Notes to Financial Statements -- Continued
June 30, 2000
(Unaudited)
(2) Summary of Significant Accounting Policies -- Continued
<TABLE>
<CAPTION>
Janus Aspen Series
---------------------------------------------------------
Aggressive Worldwide Flexible
Growth Growth Growth Balanced Income
Portfolio Portfolio Portfolio Portfolio Portfolio
Type II Units: ---------- ---------- ---------- ---------- ---------
<S> <C> <C> <C> <C> <C>
Units outstanding at
December 31, 1999...... 5,067,599 11,701,274 14,578,854 12,451,725 3,172,870
--------- ---------- ---------- ---------- ---------
From capital
transactions:
Net premiums........... 844,832 1,103,984 851,556 1,240,468 103,750
Transfers (to) from the
general account of
GE Life & Annuity:
Death benefits....... (9,769) 34,194 (37,544) (67,193) (1,648)
Surrenders........... (373,243) (368,641) (474,529) (417,557) (23,460)
Cost of insurance and
administrative
expense............. (1,347) (3,826) (4,363) (5,552) (208)
Transfers (to) from the
Guarantee Account..... 445,413 692,551 554,732 1,618,132 22,894
Interfund transfers.... 781,437 610,502 430,464 449,450 (13,412)
--------- ---------- ---------- ---------- ---------
Net increase (decrease)
from capital
transactions........... 1,687,323 2,068,764 1,320,316 2,817,748 87,916
--------- ---------- ---------- ---------- ---------
Units outstanding at
June 30, 2000.......... 6,754,922 13,770,038 15,899,170 15,269,473 3,260,786
========= ========== ========== ========== =========
</TABLE>
<TABLE>
<CAPTION>
Janus Aspen Series (continued)
-------------------------------------------------
International Capital Global Life Global
Growth Appreciation Sciences Technology
Portfolio Portfolio Portfolio Portfolio
Type II Units: ------------- ------------ ----------- ----------
<S> <C> <C> <C> <C>
Units outstanding at December
31, 1999.................... 4,728,347 6,407,884 -- --
--------- --------- ------- -------
From capital transactions:
Net premiums................ 902,079 1,058,590 59,656 96,505
Transfers (to) from the
general account of GE Life
& Annuity:
Death benefits............. (9,063) (10,635) -- --
Surrenders................. (191,483) (224,706) (47) (168)
Cost of insurance and
administrative expense.... (2,440) (2,863) (26) (44)
Transfers (to) from the
Guarantee Account.......... 231,025 767,351 11,005 5,800
Interfund transfers......... 498,464 248,282 264,338 237,322
--------- --------- ------- -------
Net increase (decrease) from
capital transactions........ 1,428,582 1,836,019 334,926 339,415
--------- --------- ------- -------
Units outstanding at June 30,
2000........................ 6,156,929 8,243,903 334,926 339,415
========= ========= ======= =======
</TABLE>
F-38
<PAGE>
GE LIFE & ANNUITY SEPARATE ACCOUNT 4
Notes to Financial Statements -- Continued
June 30, 2000
(Unaudited)
(2) Summary of Significant Accounting Policies -- Continued
<TABLE>
<CAPTION>
Goldman Sachs
Variable Insurance Salomon Brothers Variable
Trust Series Funds 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, 1999.......... 779,766 1,156,388 245,779 111,934 175,544
------- --------- ------- ------- -------
From capital transactions:
Net premiums............... 71,053 145,618 68,432 25,547 13,168
Transfers (to) from the
general account of GE Life
& Annuity:
Death benefits............ -- (3,255) -- -- (448)
Surrenders................ (26,843) (21,003) (16,702) (3,185) (2,693)
Cost of insurance and
administrative expense... (302) (380) (99) (29) (146)
Transfers (to) from the
Guarantee Account......... 59,026 143,856 49,311 20,595 30,439
Interfund transfers........ (2,529) (5,179) (11,254) 69,066 13,086
------- --------- ------- ------- -------
Net increase (decrease) from
capital transactions....... 100,405 259,657 89,688 111,994 53,406
------- --------- ------- ------- -------
Units outstanding at June
30, 2000................... 880,171 1,416,045 335,467 223,928 228,950
======= ========= ======= ======= =======
</TABLE>
F-39
<PAGE>
GE LIFE & ANNUITY SEPARATE ACCOUNT 4
Notes to Financial Statements -- Continued
June 30, 2000
(Unaudited)
(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
---------- ------------ --------- ------------- -----------
<S> <C> <C> <C> <C> <C>
Type III Units:
Units outstanding at
December 31, 1999...... 7,821,903 12,703,804 1,305,705 179,463 107,802
---------- ----------- --------- ------- -------
From capital
transactions:
Net premiums........... 3,645,204 21,677,634 512,400 151,712 52,018
Transfers (to) from the
general account of
GE Life & Annuity:
Death benefits....... (36,251) (43,845) (1,541) -- --
Surrenders........... (151,743) (329,392) (41,850) (3,276) (2,373)
Cost of insurance and
administrative
expense............. (832) (690) (156) (20) (50)
Transfers (to) from the
Guarantee Account..... 296,453 44,733 60,914 10,379 7,218
Interfund transfers.... 485,905 (20,554,869) 112,270 169,851 229,314
---------- ----------- --------- ------- -------
Net increase (decrease)
from capital
transactions........... 4,238,736 793,571 642,037 328,646 286,127
---------- ----------- --------- ------- -------
Units outstanding at
June 30, 2000.......... 12,060,639 13,497,375 1,947,742 508,109 393,929
========== =========== ========= ======= =======
</TABLE>
<TABLE>
<CAPTION>
GE Investments Funds, Inc. (continued)
----------------------------------------------
Mid-Cap U.S. Premier
Value Equity Income Equity Growth Equity
Fund Fund Fund Fund
------------ ------- --------- -------------
<S> <C> <C> <C> <C>
Type III Units:
Units outstanding at December
31, 1999....................... 1,168,256 433,696 1,442,844 1,380,484
--------- ------- --------- ---------
From capital transactions:
Net premiums................... 495,516 102,433 642,519 1,145,339
Transfers (to) from the general
account of GE Life & Annuity:
Death benefits................ (3,730) (2,872) (28,689) (2,065)
Surrenders.................... (22,871) (10,778) (30,839) (36,912)
Cost of insurance and
administrative expense....... (121) (28) (68) (25)
Transfers (to) from the
Guarantee Account............. 46,796 30,437 41,770 77,194
Interfund transfers............ 102,635 30,692 136,143 352,345
--------- ------- --------- ---------
Net increase (decrease) from
capital transactions........... 618,225 149,884 760,836 1,535,876
--------- ------- --------- ---------
Units outstanding at June 30,
2000........................... 1,786,481 583,580 2,203,680 2,916,360
========= ======= ========= =========
</TABLE>
F-40
<PAGE>
GE LIFE & ANNUITY SEPARATE ACCOUNT 4
Notes to Financial Statements -- Continued
June 30, 2000
(Unaudited)
(2) Summary of Significant Accounting Policies -- Continued
<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>
Type III Units:
Units outstanding at
December 31, 1999...... 690,965 1,214,374 894,256 923,199 305,825
--------- --------- --------- --------- -------
From capital
transactions:
Net premiums.......... 319,289 918,568 977,549 205,156 125,168
Transfers (to) from
the general account
of GE Life & Annuity:
Death benefits...... (3,397) -- (430) (1,063) --
Surrenders.......... (22,348) (22,614) (39,694) (12,657) (7,905)
Cost of insurance
and administrative
expense............ (88) (103) (120) (101) (29)
Transfers (to) from
the Guarantee
Account.............. 37,775 50,056 14,996 36,523 16,949
Interfund transfers... 38,776 477,983 675,267 85,376 107,389
--------- --------- --------- --------- -------
Net increase (decrease)
from capital
transactions........... 370,007 1,423,890 1,627,568 313,234 241,572
--------- --------- --------- --------- -------
Units outstanding at
June 30, 2000.......... 1,060,972 2,638,264 2,521,824 1,236,433 547,397
========= ========= ========= ========= =======
</TABLE>
<TABLE>
<CAPTION>
Variable Insurance Products Fund
-----------------------------------
Equity-Income Growth Overseas
Portfolio Portfolio Portfolio
------------- ---------- ---------
<S> <C> <C> <C>
Type III Units:
Units outstanding at December 31, 1999..... 3,203,653 6,561,710 388,067
--------- ---------- -------
From capital transactions:
Net premiums............................. 769,016 2,694,980 352,661
Transfers (to) from the general account
of GE Life & Annuity:
Death benefits.......................... (5,039) (51,330) --
Surrenders.............................. (59,330) (137,605) (5,782)
Cost of insurance and administrative
expense................................ (394) (931) (58)
Transfers (to) from the Guarantee
Account................................. 121,097 161,677 25,210
Interfund transfers...................... 319,850 907,250 98,058
--------- ---------- -------
Net increase (decrease) from capital
transactions.............................. 1,145,200 3,574,041 470,089
--------- ---------- -------
Units outstanding at June 30, 2000......... 4,348,853 10,135,751 858,156
========= ========== =======
</TABLE>
F-41
<PAGE>
GE LIFE & ANNUITY SEPARATE ACCOUNT 4
Notes to Financial Statements -- Continued
June 30, 2000
(Unaudited)
(2) Summary of Significant Accounting Policies -- Continued
<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>
Type III Units:
Units outstanding at December
31, 1999....................... 777,512 5,211,986 2,078,979 1,709,162
--------- --------- --------- ---------
From capital transactions:
Net premiums.................. 380,237 2,220,052 907,228 456,588
Transfers (to) from the
general account of GE Life &
Annuity:
Death benefits............... -- (10,821) (2,158) (2,406)
Surrenders................... (19,418) (92,160) (70,893) (41,255)
Cost of insurance and
administrative expense...... (101) (545) (356) (198)
Transfers (to) from the
Guarantee Account............ 70,546 173,228 115,549 50,070
Interfund transfers........... 43,919 622,592 144,550 65,597
--------- --------- --------- ---------
Net increase (decrease) from
capital transactions........... 475,183 2,912,346 1,093,920 528,396
--------- --------- --------- ---------
Units outstanding at June 30,
2000........................... 1,252,695 8,124,332 3,172,899 2,237,558
========= ========= ========= =========
</TABLE>
<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
--------- ----------- ------- -------------- ---------
<S> <C> <C> <C> <C> <C>
Type III Units:
Units outstanding at
December 31, 1999...... 1,114,543 799,186 491,571 1,160,756 5,377,154
--------- --------- ------- --------- ---------
From capital
transactions:
Net premiums.......... 320,904 264,850 150,581 1,157,947 2,190,319
Transfers (to) from
the general account
of GE Life & Annuity:
Death benefits...... (1,849) (666) (1,777) (1,953) (56,868)
Surrenders.......... (21,859) (19,788) (6,247) (28,124) (123,617)
Cost of insurance
and administrative
expense............ (168) (71) (41) (96) (572)
Transfers (to) from
the Guarantee
Account.............. 40,534 50,510 23,794 58,755 164,910
Interfund transfers... 104,945 10,554 59,768 666,349 618,433
--------- --------- ------- --------- ---------
Net increase (decrease)
from capital
transactions........... 442,507 305,389 226,078 1,852,878 2,792,605
--------- --------- ------- --------- ---------
Units outstanding at
June 30, 2000.......... 1,557,050 1,104,575 717,649 3,013,634 8,169,759
========= ========= ======= ========= =========
</TABLE>
F-42
<PAGE>
GE LIFE & ANNUITY SEPARATE ACCOUNT 4
Notes to Financial Statements -- Continued
June 30, 2000
(Unaudited)
(2) Summary of Significant Accounting Policies -- Continued
<TABLE>
<CAPTION>
Janus Aspen Series
---------------------------------------------------------
Aggressive Worldwide Flexible
Growth Growth Growth Balanced Income
Portfolio Portfolio Portfolio Portfolio Portfolio
---------- ---------- ---------- ---------- ---------
<S> <C> <C> <C> <C> <C>
Type III Units:
Units outstanding at
December 31, 1999...... 4,781,470 8,278,915 5,789,831 7,205,031 606,070
--------- ---------- ---------- ---------- ---------
From capital
transactions:
Net premiums........... 3,403,783 5,238,217 3,875,085 3,118,743 272,446
Transfers (to) from the
general account of GE
Life & Annuity:
Death benefits....... (27,402) (38,960) (41,269) (65,851) (2,907)
Surrenders........... (120,232) (219,224) (162,544) (162,501) (16,446)
Cost of insurance and
administrative
expense............. (485) (996) (748) (973) (67)
Transfers (to) from the
Guarantee Account..... 93,799 268,149 167,222 318,984 43,246
Interfund transfers.... 1,428,544 1,759,351 1,172,966 982,387 139,855
--------- ---------- ---------- ---------- ---------
Net increase (decrease)
from capital
transactions........... 4,778,007 7,006,537 5,010,712 4,190,789 436,127
--------- ---------- ---------- ---------- ---------
Units outstanding at
June 30, 2000.......... 9,559,477 15,285,452 10,800,543 11,395,820 1,042,197
--------- ---------- ---------- ---------- ---------
</TABLE>
<TABLE>
<CAPTION>
Janus Aspen Series (continued)
-------------------------------------------------
International Capital Global Life Global
Growth Appreciation Sciences Technology
Portfolio Portfolio Portfolio Portfolio
------------- ------------ ----------- ----------
<S> <C> <C> <C> <C>
Type III Units:
Units outstanding at December
31, 1999.................... 1,251,115 8,073,338 -- --
--------- ---------- ------- -------
From capital transactions:
Net premiums................ 1,714,317 4,195,529 74,218 200,314
Transfers (to) from the
general account of GE Life
& Annuity:
Death benefits............. (16,823) (21,257) -- --
Surrenders................. (30,362) (204,247) (5,494) (587)
Cost of insurance and
administrative expense.... (142) (1,057) (3) --
Transfers (to) from the
Guarantee Account.......... 40,217 135,755 1,690 865
Interfund transfers......... 673,964 818,044 264,837 362,919
--------- ---------- ------- -------
Net increase (decrease) from
capital transactions........ 2,381,171 4,922,767 335,248 563,511
--------- ---------- ------- -------
Units outstanding at June 30,
2000........................ 3,632,286 12,996,105 335,248 563,511
--------- ---------- ------- -------
</TABLE>
F-43
<PAGE>
GE LIFE & ANNUITY SEPARATE ACCOUNT 4
Notes to Financial Statements -- Continued
June 30, 2000
(Unaudited)
(2) Summary of Significant Accounting Policies -- Continued
<TABLE>
<CAPTION>
Goldman Sachs Variable Salomon Brothers Variable
Insurance Trust Series Funds Inc.
-------------------------- ---------------------------
Growth and Mid Cap Strategic Total
Income Value Bond Investors Return
Fund Fund Fund Fund Fund
------------ ----------- --------- --------- -------
<S> <C> <C> <C> <C> <C>
Type III Units:
Units outstanding at
December 31, 1999...... 204,598 482,846 223,881 187,111 117,856
----------- ----------- ------- ------- -------
From capital
transactions:
Net premiums........... 240,500 215,365 99,497 204,953 43,441
Transfers (to) from the
general account of GE
Life & Annuity:
Death benefits........ -- (1,478) (2,184) -- (1,589)
Surrenders............ (5,796) (12,255) (4,909) (3,930) (2,300)
Cost of insurance and
administrative
expense.............. (18) (54) (11) (15) (5)
Transfers (to) from the
Guarantee Account..... 17,344 28,836 7,194 13,472 8,659
Interfund transfers.... 11,095 234,479 33,119 38,183 27,898
----------- ----------- ------- ------- -------
Net increase (decrease)
from capital transac-
tions.................. 263,125 464,893 132,706 252,663 76,104
----------- ----------- ------- ------- -------
Units outstanding at
June 30, 2000.......... 467,723 947,739 356,587 439,774 193,960
=========== =========== ======= ======= =======
</TABLE>
F-44
<PAGE>
GE LIFE & ANNUITY SEPARATE ACCOUNT 4
Notes to Financial Statements -- Continued
June 30, 2000
(Unaudited)
(2) Summary of Significant Accounting Policies -- Continued
<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, 1999...... 543,614 1,214,273 78,079 15,200 10,487
--------- ---------- ------- ------ ------
From capital
transactions:
Net premiums........... 464,211 3,643,017 62,325 22,967 6,990
Transfers (to) from the
general account of GE
Life & Annuity:
Death benefits....... (866) -- -- -- --
Surrenders........... (20,026) (134,626) (4,702) (123) (11)
Cost of insurance and
administrative
expense............. -- -- -- -- --
Transfers (to) from the
Guarantee Account..... 13,864 (8,946) 3,125 290 53
Interfund transfers.... 98,683 (2,971,603) 2,135 3,237 10,034
--------- ---------- ------- ------ ------
Net increase (decrease)
from capital
transactions........... 555,866 527,842 62,883 26,371 17,066
--------- ---------- ------- ------ ------
Units outstanding at
June 30, 2000.......... 1,099,480 1,742,115 140,962 41,571 27,553
========= ========== ======= ====== ======
</TABLE>
<TABLE>
<CAPTION>
GE Investments Funds, Inc. (continued)
--------------------------------------------
Mid-Cap U.S. Premier
Value Equity Income Equity Growth Equity
Fund Fund Fund Fund
Type IV Units: ------------ ------- ------- -------------
<S> <C> <C> <C> <C>
Units outstanding at December 31,
1999............................. 147,340 67,078 100,906 96,385
------- ------- ------- -------
From capital transactions:
Net premiums..................... 122,728 74,783 78,111 115,372
Transfers (to) from the general
account of GE Life & Annuity:
Death benefits.................. -- -- -- --
Surrenders...................... (7,179) (860) (7,487) (1,684)
Cost of insurance and
administrative expense......... -- -- -- --
Transfers (to) from the Guarantee
Account......................... 2,383 611 1,815 264
Interfund transfers.............. 7,203 234,395 5,584 14,287
------- ------- ------- -------
Net increase (decrease) from
capital transactions............. 125,135 308,929 78,023 128,239
------- ------- ------- -------
Units outstanding at June 30,
2000............................. 272,475 376,007 178,929 224,624
======= ======= ======= =======
</TABLE>
F-45
<PAGE>
GE LIFE & ANNUITY SEPARATE ACCOUNT 4
Notes to Financial Statements -- Continued
June 30, 2000
(Unaudited)
(2) Summary of Significant Accounting Policies -- Continued
<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
Type IV Units: ------- ------------ ---------- ------- ----------
<S> <C> <C> <C> <C> <C>
Units outstanding at
December 31, 1999.......... 41,749 81,428 24,750 35,858 10,366
------ ------- ------- ------ ------
From capital transactions:
Net premiums............... 38,486 136,815 94,781 32,144 17,437
Transfers (to) from the
general account of GE Life
& Annuity:
Death benefits............ -- -- -- -- --
Surrenders................ (2,721) (3,498) (1,651) (291) (134)
Cost of insurance and
administrative expense... (1) -- -- -- --
Transfers (to) from the
Guarantee Account......... 103 1,287 1,152 276 283
Interfund transfers........ 5,098 56,656 53,609 20,994 128
------ ------- ------- ------ ------
Net increase (decrease) from
capital transactions....... 40,965 191,260 147,891 53,123 17,714
------ ------- ------- ------ ------
Units outstanding at June
30, 2000................... 82,714 272,688 172,641 88,981 28,080
====== ======= ======= ====== ======
</TABLE>
<TABLE>
<CAPTION>
Variable Insurance Variable Insurance
Products Fund Products Fund II
----------------------------- --------------------
Equity- Asset
Income Growth Overseas Manager Contrafund
Portfolio Portfolio Portfolio Portfolio Portfolio
Type IV Units: --------- --------- --------- --------- ----------
<S> <C> <C> <C> <C> <C>
Units outstanding at
December 31, 1999.......... 242,696 333,735 28,190 44,890 336,615
------- ------- ------- ------- -------
From capital transactions:
Net premiums............... 153,407 302,627 64,788 87,328 381,101
Transfers (to) from the
general account of GE Life
& Annuity:
Death benefits............ (1,736) -- -- (1,696) (1,274)
Surrenders................ (8,160) (13,987) (1,671) (1,435) (7,114)
Cost of insurance and
administrative expense... -- (1) -- -- --
Transfers (to) from the
Guarantee Account......... 5,199 4,742 352 1,574 5,192
Interfund transfers........ 18,097 76,093 223,646 (6,657) 75,250
------- ------- ------- ------- -------
Net increase (decrease) from
capital transactions....... 166,807 369,474 287,115 79,114 453,155
------- ------- ------- ------- -------
Units outstanding at June
30, 2000................... 409,503 703,209 315,305 124,004 789,770
======= ======= ======= ======= =======
</TABLE>
F-46
<PAGE>
GE LIFE & ANNUITY SEPARATE ACCOUNT 4
Notes to Financial Statements -- Continued
June 30, 2000
(Unaudited)
(2) Summary of Significant Accounting Policies -- Continued
<TABLE>
<CAPTION>
Variable Insurance
Products Fund III Federated Insurance Series Alger American Fund
----------------------- ----------------------------- ------------------------
Growth & Growth American High Small
Income Opportunities Leaders Income Bond Utility Capitalization Growth
Portfolio Portfolio Fund II Fund II Fund II Portfolio Portfolio
--------- ------------- -------- ----------- ------- -------------- ---------
<S> <C> <C> <C> <C> <C> <C> <C>
Type IV Units:
Units outstanding at
December 31, 1999...... 150,665 92,620 85,187 55,873 36,259 97,659 231,761
------- ------- ------- ------- ------ ------- -------
From capital
transactions:
Net premiums........... 156,096 81,335 75,014 45,038 26,161 217,408 304,219
Transfers (to) from the
general account of GE
Life & Annuity:
Death benefits....... -- -- -- -- -- -- --
Surrenders........... (4,648) (572) (2,174) (3,467) (1,393) (4,002) (5,249)
Cost of insurance and
administrative
expense............. -- -- -- -- -- -- --
Transfers (to) from the
Guarantee Account..... 10,300 2,846 485 2,157 -- 308 6,091
Interfund transfers.... 3,104 15,165 23,178 12,255 10,113 58,907 55,382
------- ------- ------- ------- ------ ------- -------
Net increase (decrease)
from capital
transactions........... 164,852 98,774 96,503 55,983 34,881 272,621 360,443
------- ------- ------- ------- ------ ------- -------
Units outstanding at
June 30, 2000.......... 315,517 191,394 181,690 111,856 71,140 370,280 592,204
======= ======= ======= ======= ====== ======= =======
</TABLE>
F-47
<PAGE>
GE LIFE & ANNUITY SEPARATE ACCOUNT 4
Notes to Financial Statements -- Continued
June 30, 2000
(Unaudited)
(2) Summary of Significant Accounting Policies -- Continued
<TABLE>
<CAPTION>
Janus Aspen Series
-----------------------------------------------------
Aggressive Worldwide Flexible
Growth Growth Growth Balanced Income
Portfolio Portfolio Portfolio Portfolio Portfolio
---------- --------- --------- --------- ---------
<S> <C> <C> <C> <C> <C>
Type IV Units:
Units outstanding at
December 31, 1999........ 513,109 500,424 406,948 347,931 89,213
--------- --------- --------- ------- -------
From capital transactions:
Net premiums............. 514,252 735,584 571,803 423,357 47,208
Transfers (to) from the
general account of GE
Life & Annuity:
Death benefits.......... -- (844) -- (1,272) --
Surrenders.............. (7,571) (16,607) (13,213) (17,370) (3,374)
Cost of insurance and
administrative
expense................ -- -- -- -- (1)
Transfers (to) from the
Guarantee Account....... 2,932 6,300 5,927 9,488 3,408
Interfund transfers...... 211,309 227,077 196,874 68,893 1,660
--------- --------- --------- ------- -------
Net increase (decrease)
from capital
transactions............. 720,922 951,510 761,391 483,096 48,901
--------- --------- --------- ------- -------
Units outstanding at June
30, 2000................. 1,234,031 1,451,934 1,168,339 831,027 138,114
========= ========= ========= ======= =======
</TABLE>
<TABLE>
<CAPTION>
Janus Aspen Series (continued)
-------------------------------------------------
International Capital Global Life Global
Growth Appreciation Sciences Technology
Portfolio Portfolio Portfolio Portfolio
------------- ------------ ----------- ----------
<S> <C> <C> <C> <C>
Type IV Units:
Units outstanding at December
31, 1999.................... 102,381 428,091 -- --
------- --------- ----- ------
From capital transactions:
Net premiums................ 332,975 678,544 6,239 12,953
Transfers (to) from the
general account of GE Life
& Annuity:
Death benefits............. -- (884) -- --
Surrenders................. (5,357) (34,971) -- --
Cost of insurance and
administrative expense.... -- (1) -- --
Transfers (to) from the
Guarantee Account.......... 1,814 7,337 -- --
Interfund transfers......... 234,704 167,307 2,799 9,100
------- --------- ----- ------
Net increase (decrease) from
capital transactions........ 564,136 817,332 9,038 22,053
------- --------- ----- ------
Units outstanding at June 30,
2000........................ 666,517 1,245,423 9,038 22,053
======= ========= ===== ======
</TABLE>
F-48
<PAGE>
GE LIFE & ANNUITY SEPARATE ACCOUNT 4
Notes to Financial Statements -- Continued
June 30, 2000
(Unaudited)
(2) Summary of Significant Accounting Policies -- Continued
<TABLE>
<CAPTION>
Goldman Sachs Variable Salomon Brothers Variable
Insurance Trust Series Funds Inc.
-------------------------- --------------------------
Mid Cap Total
Growth and Value Strategic Investors Return
Income Fund Fund Bond Fund Fund Fund
------------ ----------- --------- --------- ------
<S> <C> <C> <C> <C> <C>
Type IV Units:
Units outstanding at
December 31, 1999...... 15,109 42,809 15,296 2,865 16,292
----------- ----------- ------ ------ ------
From capital
transactions:
Net premiums........... 41,518 37,560 25,304 11,878 2,221
Transfers (to) from the
general account of GE
Life & Annuity:
Death benefits........ -- -- -- -- --
Surrenders............ (2,762) (7,223) (75) (68) 32
Cost of insurance and
administrative
expense.............. -- -- -- -- --
Transfers (to) from the
Guarantee Account..... 1,473 -- 451 303 --
Interfund transfers.... 9,401 7,087 (101) 1,484 (18)
----------- ----------- ------ ------ ------
Net increase (decrease)
from capital
transactions........... 49,630 37,424 25,579 13,597 2,235
----------- ----------- ------ ------ ------
Units outstanding at
June 30, 2000.......... 64,739 80,233 40,875 16,462 18,527
----------- ----------- ------ ------ ------
</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 .15% annually for Type II policies, and $25 plus
.25% per year for both Type III and Type 4 policies. For Type II, Type III and
Type 4 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--1.30% and Type IV--1.35%. Administrative expenses as well as
mortality and risk charges are deducted daily and reflect the effective annual
rates.
F-49
<PAGE>
GE LIFE & ANNUITY SEPARATE ACCOUNT 4
Notes to Financial Statements -- Continued
June 30, 2000
(Unaudited)
(2) 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 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-50
