<TABLE>
<CAPTION>
ALLIANZ LIFE VARIABLE ACCOUNT B
of
ALLIANZ LIFE INSURANCE COMPANY OF NORTH AMERICA
Statements of Assets and Liabilities
June 30, 1995 (unaudited)
(In thousands)
U.S.
Money Growth and Precious High Real Estate Government Utility
Market Income Metals Income Securities Securities Equity
Fund Fund Fund Fund Fund Fund Fund
-------- ---------- -------- ------- ----------- ---------- ---------
<S> <C> <C> <C> <C> <C> <C> <C>
Investments at net asset value:
Franklin Valuemark Funds:
Money Market Fund, 415,389 shares,
cost $415,389 $415,389 - - - - - -
Growth and Income Fund, 40,611 shares,
cost $531,696 - 603,485 - - - - -
Precious Metals Fund, 8,034 shares,
cost $109,500 - - 111,598 - - - -
High Income Fund, 22,888 shares,
cost $285,054 - - - 295,943 - - -
Real Estate Securities Fund, 11,758 shares,
cost $176,121 - - - - 181,420 - -
U.S. Government Securities Fund, 42,308 shares,
cost $547,411 - - - - - 557,622 -
Utility Equity Fund, 76,321 shares,
cost $1,191,565 - - - - - - 1,172,296
-------- ---------- -------- ------- ----------- ---------- ---------
Total assets 415,389 603,485 111,598 295,943 181,420 557,622 1,172,296
-------- ---------- -------- ------- ----------- ---------- ---------
Liabilities:
Accrued mortality and expense risk charges 301 316 66 166 105 311 638
Accrued administrative charges 36 38 8 20 13 37 77
-------- ---------- -------- ------- ----------- ---------- ---------
Total liabilities 337 354 74 186 118 348 715
-------- ---------- -------- ------- ----------- ---------- ---------
Net Assets 415,052 603,131 111,524 295,757 181,302 557,274 1,171,581
======== ========== ======== ======= =========== ========== =========
Contract Owners Equity:
Contracts in accumulation period (note 6) 415,007 602,748 111,524 295,757 181,302 557,274 1,171,106
Contracts in annuity payment period (note 2) 45 383 - - - - 475
-------- ---------- -------- ------- ----------- ---------- ---------
Total contract owner's equity $415,052 603,131 111,524 295,757 181,302 557,274 1,171,581
======== ========== ======== ======= =========== ========== =========
</TABLE>
See accompanying notes to financial statements.
<PAGE>
<TABLE>
<CAPTION>
ALLIANZ LIFE VARIABLE ACCOUNT B
of
ALLIANZ LIFE INSURANCE COMPANY OF NORTH AMERICA
Statements of Assets and Liabilities (Continued)
June 30, 1995 (unaudited)
(In thousands)
Zero Zero Zero Zero Investment
Coupon Coupon Coupon Coupon Global Grade Income
Fund - Fund - Fund - Fund - Income Intermediate Securities
1995 2000 2005 2010 Fund Bond Fund Fund
------- ------ ------ ------ ------- ------------ ----------
<S> <C> <C> <C> <C> <C> <C> <C>
Investments at net asset value:
Franklin Valuemark Funds:
Zero Coupon Fund - 1995, 3,597 shares,
cost $42,853 $42,117 - - - - - -
Zero Coupon Fund - 2000, 6,658 shares,
cost $91,320 - 98,743 - - - - -
Zero Coupon Fund - 2005, 3,937 shares,
cost $56,006 - - 61,935 - - - -
Zero Coupon Fund - 2010, 3,976 shares,
cost $55,953 - - - 62,220 - - -
Global Income Fund, 17,884 shares,
cost $227,698 - - - - 226,768 - -
Investment Grade Intermediate Bond Fund,
10,955 shares, cost $144,592 - - - - - 148,114 -
Income Securities Fund, 70,594 shares,
cost $1,037,100 - - - - - - 1,064,559
------- ------ ------ ------ ------- ------------ ----------
Total assets 42,117 98,743 61,935 62,220 226,768 148,114 1,064,559
------- ------ ------ ------ ------- ------------ ----------
Liabilities:
Accrued mortality and expense risk charges 28 59 38 38 130 86 579
Accrued administrative charges 3 7 5 5 16 10 69
------- ------ ------ ------ ------- ------------ ----------
Total liabilities 31 66 43 43 146 96 648
------- ------ ------ ------ ------- ------------ ----------
Net Assets 42,086 98,677 61,892 62,177 226,622 148,018 1,063,911
======= ====== ====== ====== ======= ============ ==========
Contract Owners Equity:
Contracts in accumulation period (note 6) 42,086 98,677 61,892 62,177 226,622 148,018 1,063,210
Contracts in annuity payment period (note 2) - - - - - - 701
------- ------ ------ ------ ------- ------------ ----------
Total contract owner's equity $42,086 98,677 61,892 62,177 226,622 148,018 1,063,911
======= ====== ====== ====== ======= ============ ==========
</TABLE>
See accompanying notes to financial statements.
<PAGE>
<TABLE>
<CAPTION>
ALLIANZ LIFE VARIABLE ACCOUNT B
of
ALLIANZ LIFE INSURANCE COMPANY OF NORTH AMERICA
Statements of Assets and Liabilities (Continued)
June 30, 1995 (unaudited)
(In thousands)
Templeton
Adjustable Templeton Templeton Developing Templeton
U.S. Pacific Rising International Markets Global
Government Growth Dividends Equity Equity Growth
Fund Fund Fund Fund Fund Fund
----------- --------- --------- ------------- ---------- ---------
<S> <C> <C> <C> <C> <C> <C>
Investments at net asset value:
Franklin Valuemark Funds:
Adjustable U.S. Government Fund,
18,145 shares, cost $196,928 $ 188,344 - - - - -
Templeton Pacific Growth Fund, 24,484 shares,
cost $324,914 - 322,940 - - - -
Rising Dividends Fund, 31,204 shares,
cost $328,218 - - 346,362 - - -
Templeton International Equity Fund,
59,256 shares,cost $732,004 - - - 768,548 - -
Templeton Developing Markets Equity Fund,
12,747 shares, cost $127,301 - - - - 125,050 -
Templeton Global Growth Fund, 21,285 shares,
cost $224,327 - - - - - 237,751
Templeton Global Asset Allocation Fund,
399 shares,cost $4,011 - - - - - -
----------- --------- --------- ------------- ---------- ---------
Total assets 188,344 322,940 346,362 768,548 125,050 237,751
----------- --------- --------- ------------- ---------- ---------
Liabilities:
Accrued mortality and expense risk charges 107 170 191 454 47 122
Accrued administrative charges 13 20 23 54 6 15
----------- --------- --------- ------------- ---------- ---------
Total liabilities 120 190 214 508 53 137
----------- --------- --------- ------------- ---------- ---------
Net Assets 188,224 322,750 346,148 768,040 124,997 237,614
=========== ========= ========= ============= ========== =========
Contract Owners Equity:
Contracts in accumulation period (note 6) 188,224 322,458 345,792 767,989 124,552 237,091
Contracts in annuity payment period (note 2) - 292 356 51 445 523
----------- --------- --------- ------------- ---------- ---------
Total contract owner's equity $ 188,224 322,750 346,148 768,040 124,997 237,614
=========== ========= ========= ============= ========== =========
Templeton
Global
Asset Total
Allocation All
Fund Funds
---------- ---------
<S> <C> <C>
Investments at net asset value:
Franklin Valuemark Funds:
Adjustable U.S. Government Fund,
18,145 shares, cost $196,928 -
Templeton Pacific Growth Fund, 24,484 shares,
cost $324,914 -
Rising Dividends Fund, 31,204 shares,
cost $328,218 -
Templeton International Equity Fund,
59,256 shares,cost $732,004 -
Templeton Developing Markets Equity Fund,
12,747 shares, cost $127,301 -
Templeton Global Growth Fund, 21,285 shares,
cost $224,327 -
Templeton Global Asset Allocation Fund,
399 shares,cost $4,011 4,038
----------
Total assets 4,038 7,035,242
---------- ---------
Liabilities:
Accrued mortality and expense risk charges 9 3,961
Accrued administrative charges 1 476
---------- ---------
Total liabilities 10 4,437
---------- ---------
Net Assets 4,028 7,030,805
========== =========
Contract Owners Equity:
Contracts in accumulation period (note 6) 4,028 7,027,534
Contracts in annuity payment period (note 2) - 3,271
---------- ---------
Total contract owner's equity 4,028 7,030,805
========== =========
</TABLE>
See accompanying notes to financial statements.
<PAGE>
<TABLE>
<CAPTION>
ALLIANZ LIFE VARIABLE ACCOUNT B
of
ALLIANZ LIFE INSURANCE COMPANY OF NORTH AMERICA
Statements of Operations
For the period ended June 30, 1995 (unaudited)
(In thousands)
Growth Real U.S.
Money and Precious High Estate Government
Market Income Metals Income Securities Securities
Fund Fund Fund Fund Fund Fund
---------- -------- --------- -------- ----------- -----------
<S> <C> <C> <C> <C> <C> <C>
Investment Income:
Dividends reinvested in fund shares $ 12,431 7,314 1,546 19,247 5,958 37,956
---------- -------- --------- -------- ----------- -----------
Expenses:
Mortality and expense risk charges 2,746 3,313 680 1,675 1,110 3,358
Administrative charges 329 398 82 201 133 403
---------- -------- --------- -------- ----------- -----------
Total expenses 3,075 3,711 762 1,876 1,243 3,761
---------- -------- --------- -------- ----------- -----------
Investment income (loss), net 9,356 3,603 784 17,371 4,715 34,195
Realized gains (losses) and unrealized
appreciation (depreciation) on investments:
Realized capital gain distributions on mutual funds - 15,921 1,145 - - -
---------- -------- --------- -------- ----------- -----------
Realized gains (losses) on sales of investments:
Proceeds from sales 211,549 22,810 35,170 21,592 18,078 39,330
Cost of investments sold (211,549) (20,328) (34,901) (19,993) (17,790) (38,151)
---------- -------- --------- -------- ----------- -----------
Total realized gains (losses) on
sales of investments, net - 2,482 269 1,599 288 1,179
---------- -------- --------- -------- ----------- -----------
Realized gains (losses) on investments, net - 18,403 1,414 1,599 288 1,179
Net change in unrealized appreciation
(depreciation) on investments - 48,514 (2,626) 12,277 986 23,345
---------- -------- --------- -------- ----------- -----------
Total realized gains (losses) and unrealized
appreciation (depreciation) on investments, net - 66,917 (1,212) 13,876 1,274 24,524
---------- -------- --------- -------- ----------- -----------
Net increase (decrease) in net assets from operations $ 9,356 70,520 (428) 31,247 5,989 58,719
========== ======== ========= ======== =========== ===========
Utility
Equity
Fund
--------
<S> <C>
Investment Income:
Dividends reinvested in fund shares 65,100
--------
Expenses:
Mortality and expense risk charges 7,089
Administrative charges 851
--------
Total expenses 7,940
--------
Investment income (loss), net 57,160
Realized gains (losses) and unrealized
appreciation (depreciation) on investments:
Realized capital gain distributions on mutual funds -
--------
Realized gains (losses) on sales of investments:
Proceeds from sales 63,393
Cost of investments sold (64,295)
--------
Total realized gains (losses) on
sales of investments, net (902)
--------
Realized gains (losses) on investments, net (902)
Net change in unrealized appreciation
(depreciation) on investments 70,115
--------
Total realized gains (losses) and unrealized
appreciation (depreciation) on investments, net 69,213
--------
Net increase (decrease) in net assets from operations 126,373
========
</TABLE>
See accompanying notes to financial statements.
<PAGE>
<TABLE>
<CAPTION>
ALLIANZ LIFE VARIABLE ACCOUNT B
of
ALLIANZ LIFE INSURANCE COMPANY OF NORTH AMERICA
Statements of Operations (Continued)
For the period ended June 30, 1995 (unaudited)
(In thousands)
Zero Zero Zero Zero Investment
Coupon Coupon Coupon Coupon Global Grade Income
Fund - Fund - Fund - Fund - Income Intermediate Securities
1995 2000 2005 2010 Fund Bond Fund Fund
-------- ------- ------- -------- -------- ------------- -----------
<S> <C> <C> <C> <C> <C> <C> <C>
Investment Income:
Dividends reinvested in fund shares $ 2,930 4,248 2,593 1,881 8,424 5,974 58,967
-------- ------- ------- -------- -------- ------------- -----------
Expenses:
Mortality and expense risk charges 281 564 343 333 1,410 893 6,141
Administrative charges 34 68 41 40 169 107 737
-------- ------- ------- -------- -------- ------------- -----------
Total expenses 315 632 384 373 1,579 1,000 6,878
-------- ------- ------- -------- -------- ------------- -----------
Investment income (loss), net 2,615 3,616 2,209 1,508 6,845 4,974 52,089
Realized gains (losses) and unrealized
appreciation (depreciation) on investments:
Realized capital gain distributions on mutual funds 14 - - - - - 4,746
-------- ------- ------- -------- -------- ------------- -----------
Realized gains (losses) on sales of investments:
Proceeds from sales 10,250 6,716 3,750 16,583 26,611 7,603 26,978
Cost of investments sold (9,888) (6,065) (3,455) (15,250) (27,220) (7,350) (26,746)
-------- ------- ------- -------- -------- ------------- -----------
Total realized gains (losses) on
sales of investments, net 362 651 295 1,333 (609) 253 232
-------- ------- ------- -------- -------- ------------- -----------
Realized gains (losses) on investments, net 376 651 295 1,333 (609) 253 4,978
Net change in unrealized appreciation
(depreciation) on investments (1,333) 6,761 6,818 8,077 9,499 1,874 48,953
-------- ------- ------- -------- -------- ------------- -----------
Total realized gains (losses) and unrealized
appreciation (depreciation) on investments, net (957) 7,412 7,113 9,410 8,890 2,127 53,931
-------- ------- ------- -------- -------- ------------- -----------
Net increase (decrease) in net assets from operations $ 1,658 11,028 9,322 10,918 15,735 7,101 106,020
======== ======= ======= ======== ======== ============= ===========
</TABLE>
See accompanying notes to financial statements.
<PAGE>
<TABLE>
<CAPTION>
ALLIANZ LIFE VARIABLE ACCOUNT B
of
ALLIANZ LIFE INSURANCE COMPANY OF NORTH AMERICA
Statements of Operations (Continued)
For the period ended June 30, 1995 (unaudited)
(In thousands)
Templeton
Adjustable Templeton Templeton Developing
U.S. Pacific Rising International Markets
Government Growth Dividends Equity Equity
Fund Fund Fund Fund Fund
------------ ---------- ---------- -------------- -----------
<S> <C> <C> <C> <C> <C>
Investment Income:
Dividends reinvested in fund shares $ 12,390 6,144 7,357 12,759 465
------------ ---------- ---------- -------------- -----------
Expenses:
Mortality and expense risk charges 1,248 2,053 1,955 4,579 624
Administrative charges 150 246 235 549 75
------------ ---------- ---------- -------------- -----------
Total expenses 1,398 2,299 2,190 5,128 699
------------ ---------- ---------- -------------- -----------
Investment income (loss), net 10,992 3,845 5,167 7,631 (234)
Realized gains (losses) and unrealized
appreciation (depreciation) on investments:
Realized capital gain distributions on mutual funds - 2,555 - 15,808 109
------------ ---------- ---------- -------------- -----------
Realized gains (losses) on sales of investments:
Proceeds from sales 54,158 81,608 7,738 53,818 6,086
Cost of investments sold (54,610) (82,256) (7,812) (52,646) (6,425)
------------ ---------- ---------- -------------- -----------
Total realized gains (losses) on
sales of investments, net (452) (648) (74) 1,172 (339)
------------ ---------- ---------- -------------- -----------
Realized gains (losses) on investments, net (452) 1,907 (74) 16,980 (230)
Net change in unrealized appreciation
(depreciation) on investments (1,121) (631) 32,488 24,944 4,137
------------ ---------- ---------- -------------- -----------
Total realized gains (losses) and unrealized
appreciation (depreciation) on investments, net (1,573) 1,276 32,414 41,924 3,907
------------ ---------- ---------- -------------- -----------
Net increase (decrease) in net assets from operations $ 9,419 5,121 37,581 49,555 3,673
============ ========== ========== ============== ===========
Templeton
Templeton Global
Global Asset Total
Growth Allocation All
Fund Fund Funds
---------- ----------- ---------
<S> <C> <C> <C>
Investment Income:
Dividends reinvested in fund shares 1,261 - 274,945
---------- ----------- ---------
Expenses:
Mortality and expense risk charges 1,167 9 41,571
Administrative charges 140 1 4,989
---------- ----------- ---------
Total expenses 1,307 10 46,560
---------- ----------- ---------
Investment income (loss), net (46) (10) 228,385
Realized gains (losses) and unrealized
appreciation (depreciation) on investments:
Realized capital gain distributions on mutual funds - - 40,298
---------- ----------- ---------
Realized gains (losses) on sales of investments:
Proceeds from sales 2,426 - 716,247
Cost of investments sold (2,397) - (709,127)
---------- ----------- ---------
Total realized gains (losses) on
sales of investments, net 29 - 7,120
---------- ----------- ---------
Realized gains (losses) on investments, net 29 - 47,418
Net change in unrealized appreciation
(depreciation) on investments 13,067 27 306,171
---------- ----------- ---------
Total realized gains (losses) and unrealized
appreciation (depreciation) on investments, net 13,096 27 353,589
---------- ----------- ---------
Net increase (decrease) in net assets from operations 13,050 17 581,974
========== =========== =========
</TABLE>
See accompanying notes to financial statements.
<PAGE>
<TABLE>
<CAPTION>
ALLIANZ LIFE VARIABLE ACCOUNT B
of
ALLIANZ LIFE INSURANCE COMPANY OF NORTH AMERICA
Statements of Changes in Net Assets
For the periods ended June 30, 1995 and 1994 (unaudited)
(In thousands)
Money Market Fund Growth and Income Fund Precious Metals Fund
-------------- -------- ----------- ------------ --------- ------------
1995 1994 1995 1994 1995 1994
-------------- -------- ----------- ------------ --------- ------------
<S> <C> <C> <C> <C> <C> <C>
Increase (decrease) in net assets:
Operations:
Investment income (loss), net $ 9,356 2,297 3,603 (138) 784 (13)
Realized gains (losses) on investments, net - - 18,403 7,195 1,414 1,150
Net change in unrealized appreciation
(depreciation) on investments - - 48,514 (29,738) (2,626) (7,177)
-------------- -------- ----------- ------------ --------- ------------
Net increase (decrease) in net assets
from operations 9,356 2,297 70,520 (22,681) (428) (6,040)
-------------- -------- ----------- ------------ --------- ------------
Contract transactions:
Purchase payments 93,045 208,236 38,720 84,755 5,515 26,009
Transfers between funds (107,153) 127,258 56,617 24,393 (3,012) 9,922
Surrenders and terminations (66,274) (21,599) (33,681) (12,659) (6,186) (1,596)
Rescissions (1,569) (4,156) (1,014) (1,092) (211) (211)
Other transactions (note 2) 408 51 196 23 18 (1)
-------------- -------- ----------- ------------ --------- ------------
Net increase (decrease) in net assets
resulting from contract transactions (81,543) 309,790 60,838 95,420 (3,876) 34,123
-------------- -------- ----------- ------------ --------- ------------
Increase (decrease) in net assets (72,187) 312,087 131,358 72,739 (4,304) 28,083
-------------- -------- ----------- ------------ --------- ------------
Net assets at beginning of period 487,239 123,639 471,773 338,082 115,828 67,770
-------------- -------- ----------- ------------ --------- ------------
Net assets at end of period $ 415,052 435,726 603,131 410,821 111,524 95,853
============== ======== =========== ============ ========= ============
High Income Fund
------------ --------
1995 1994
------------ --------
<S> <C> <C>
Increase (decrease) in net assets:
Operations:
Investment income (loss), net 17,371 8,094
Realized gains (losses) on investments, net 1,599 2,920
Net change in unrealized appreciation
(depreciation) on investments 12,277 (19,395)
------------ --------
Net increase (decrease) in net assets
from operations 31,247 (8,381)
------------ --------
Contract transactions:
Purchase payments 20,870 53,756
Transfers between funds 33,534 (13,259)
Surrenders and terminations (18,143) (6,461)
Rescissions (822) (565)
Other transactions (note 2) 45 8
------------ --------
Net increase (decrease) in net assets
resulting from contract transactions 35,484 33,479
------------ --------
Increase (decrease) in net assets 66,731 25,098
------------ --------
Net assets at beginning of period 229,026 178,627
------------ --------
Net assets at end of period 295,757 203,725
============ ========
</TABLE>
See accompanying notes to financial statements.
<PAGE>
<TABLE>
<CAPTION>
ALLIANZ LIFE VARIABLE ACCOUNT B
of
ALLIANZ LIFE INSURANCE COMPANY OF NORTH AMERICA
Statements of Changes in Net Assets (Continued)
For the periods ended June 30, 1995 and 1994 (unaudited)
(In thousands)
Real Estate Securities Fund U.S. Government Securities Fund Utility
------------- ---------------- ---------------- ---------------- ----------
1995 1994 1995 1994 1995
------------- ---------------- ---------------- ---------------- ----------
<S> <C> <C> <C> <C> <C>
Increase (decrease) in net assets:
Operations:
Investment income (loss), net $ 4,715 845 34,195 24,045 57,160
Realized gains (losses) on investments, net 288 265 1,179 3,527 (902)
Net change in unrealized appreciation
(depreciation) on investments 986 67 23,345 (65,312) 70,115
------------- ---------------- ---------------- ---------------- ----------
Net increase (decrease) in net assets
from operations 5,989 1,177 58,719 (37,740) 126,373
------------- ---------------- ---------------- ---------------- ----------
Contract transactions:
Purchase payments 10,942 46,279 20,853 82,493 37,040
Transfers between funds (8,300) 34,800 14,023 (61,691) 18,454
Surrenders and terminations (8,850) (2,520) (40,155) (24,545) (68,216)
Rescissions (181) (292) (917) (2,604) (1,162)
Other transactions (note 2) 103 4 (86) 41 561
------------- ---------------- ---------------- ---------------- ----------
Net increase (decrease) in net assets
resulting from contract transactions (6,286) 78,271 (6,282) (6,306) (13,323)
------------- ---------------- ---------------- ---------------- ----------
Increase (decrease) in net assets (297) 79,448 52,437 (44,046) 113,050
------------- ---------------- ---------------- ---------------- ----------
Net assets at beginning of period 181,599 85,896 504,837 593,842 1,058,531
------------- ---------------- ---------------- ---------------- ----------
Net assets at end of period $ 181,302 165,344 557,274 549,796 1,171,581
============= ================ ================ ================ ==========
Equity Fund
------------
1994
------------
<S> <C>
Increase (decrease) in net assets:
Operations:
Investment income (loss), net 39,233
Realized gains (losses) on investments, net 7,898
Net change in unrealized appreciation
(depreciation) on investments (281,192)
------------
Net increase (decrease) in net assets
from operations (234,061)
------------
Contract transactions:
Purchase payments 158,186
Transfers between funds (244,657)
Surrenders and terminations (41,052)
Rescissions (2,822)
Other transactions (note 2) (252)
------------
Net increase (decrease) in net assets
resulting from contract transactions (130,597)
------------
Increase (decrease) in net assets (364,658)
------------
Net assets at beginning of period 1,458,533
------------
Net assets at end of period 1,093,875
============
</TABLE>
See accompanying notes to financial statements.
<PAGE>
<TABLE>
<CAPTION>
ALLIANZ LIFE VARIABLE ACCOUNT B
of
ALLIANZ LIFE INSURANCE COMPANY OF NORTH AMERICA
Statements of Changes in Net Assets (Continued)
For the periods ended June 30, 1995 and 1994 (unaudited)
(In thousands)
Zero Coupon Fund - 1995 Zero Coupon Fund - 2000 Zero Coupon Fund - 2005
------------- ------------ ------------ ------------ ------------ ------------
1995 1994 1995 1994 1995 1994
------------- ------------ ------------ ------------ ------------ ------------
<S> <C> <C> <C> <C> <C> <C>
Increase (decrease) in net assets:
Operations:
Investment income (loss), net $ 2,615 2,340 3,616 2,681 2,209 1,320
Realized gains (losses) on investments, net 376 553 651 764 295 706
Net change in unrealized appreciation
(depreciation) on investments (1,333) (3,478) 6,761 (8,072) 6,818 (6,204)
------------- ------------ ------------ ------------ ------------ ------------
Net increase (decrease) in net assets
from operations 1,658 (585) 11,028 (4,627) 9,322 (4,178)
------------- ------------ ------------ ------------ ------------ ------------
Contract transactions:
Purchase payments 1,264 2,588 9,882 13,398 6,791 10,167
Transfers between funds 1,303 1,128 6,290 (2,303) 3,359 (2,515)
Surrenders and terminations (8,146) (1,500) (4,430) (1,995) (2,200) (1,096)
Rescissions (41) (11) (216) (133) (137) (246)
Other transactions (note 2) 107 (3) (17) (15) 1 (8)
------------- ------------ ------------ ------------ ------------ ------------
Net increase (decrease) in net assets
resulting from contract transactions (5,513) 2,202 11,509 8,952 7,814 6,302
------------- ------------ ------------ ------------ ------------ ------------
Increase (decrease) in net assets (3,855) 1,617 22,537 4,325 17,136 2,124
------------- ------------ ------------ ------------ ------------ ------------
Net assets at beginning of period 45,941 44,771 76,140 63,301 44,756 36,469
------------- ------------ ------------ ------------ ------------ ------------
Net assets at end of period $ 42,086 46,388 98,677 67,626 61,892 38,593
============= ============ ============ ============ ============ ============
Zero Coupon Fund - 2010
------------ ------------
1995 1994
------------ ------------
<S> <C> <C>
Increase (decrease) in net assets:
Operations:
Investment income (loss), net 1,508 933
Realized gains (losses) on investments, net 1,333 559
Net change in unrealized appreciation
(depreciation) on investments 8,077 (5,133)
------------ ------------
Net increase (decrease) in net assets
from operations 10,918 (3,641)
------------ ------------
Contract transactions:
Purchase payments 5,479 4,962
Transfers between funds 7,576 54
Surrenders and terminations (2,777) (1,194)
Rescissions (323) (35)
Other transactions (note 2) 49 (4)
------------ ------------
Net increase (decrease) in net assets
resulting from contract transactions 10,004 3,783
------------ ------------
Increase (decrease) in net assets 20,922 142
------------ ------------
Net assets at beginning of period 41,255 25,489
------------ ------------
Net assets at end of period 62,177 25,631
============ ============
</TABLE>
See accompanying notes to financial statements.
<PAGE>
<TABLE>
<CAPTION>
ALLIANZ LIFE VARIABLE ACCOUNT B
of
ALLIANZ LIFE INSURANCE COMPANY OF NORTH AMERICA
Statements of Changes in Net Assets (Continued)
For the periods ended June 30, 1995 and 1994 (unaudited)
(In thousands)
Global Income Fund Investment Grade Intermediate Bond Fund Income
--------- ------------ ----------------- ----------------------- ----------
1995 1994 1995 1994 1995
--------- ------------ ----------------- ----------------------- ----------
<S> <C> <C> <C> <C> <C>
Increase (decrease) in net assets:
Operations:
Investment income (loss), net $ 6,845 4,718 4,974 2,693 52,089
Realized gains (losses) on investments, net (609) 2,556 253 634 4,978
Net change in unrealized appreciation
(depreciation) on investments 9,499 (27,015) 1,874 (5,362) 48,953
--------- ------------ ----------------- ----------------------- ----------
Net increase (decrease) in net assets
from operations 15,735 (19,741) 7,101 (2,035) 106,020
--------- ------------ ----------------- ----------------------- ----------
Contract transactions:
Purchase payments 6,804 65,081 8,157 29,237 65,659
Transfers between funds (12,429) 9,885 2,531 (3,068) 27,627
Surrenders and terminations (14,558) (6,559) (8,938) (3,353) (61,711)
Rescissions (263) (1,008) (189) (375) (1,756)
Other transactions (note 2) (35) (1) 31 (11) 729
--------- ------------ ----------------- ----------------------- ----------
Net increase (decrease) in net assets
resulting from contract transactions (20,481) 67,398 1,592 22,430 30,548
--------- ------------ ----------------- ----------------------- ----------
Increase (decrease) in net assets (4,746) 47,657 8,693 20,395 136,568
--------- ------------ ----------------- ----------------------- ----------
Net assets at beginning of period 231,368 191,246 139,325 110,466 927,343
--------- ------------ ----------------- ----------------------- ----------
Net assets at end of period $226,622 238,903 148,018 130,861 1,063,911
========= ============ ================= ======================= ==========
Securities Fund
----------------
1994
----------------
<S> <C>
Increase (decrease) in net assets:
Operations:
Investment income (loss), net 19,888
Realized gains (losses) on investments, net 4,562
Net change in unrealized appreciation
(depreciation) on investments (81,483)
----------------
Net increase (decrease) in net assets
from operations (57,033)
----------------
Contract transactions:
Purchase payments 243,562
Transfers between funds 32,591
Surrenders and terminations (23,687)
Rescissions (3,826)
Other transactions (note 2) (58)
----------------
Net increase (decrease) in net assets
resulting from contract transactions 248,582
----------------
Increase (decrease) in net assets 191,549
----------------
Net assets at beginning of period 691,056
----------------
Net assets at end of period 882,605
================
</TABLE>
See accompanying notes to financial statements.
<PAGE>
<TABLE>
<CAPTION>
ALLIANZ LIFE VARIABLE ACCOUNT B
of
ALLIANZ LIFE INSURANCE COMPANY OF NORTH AMERICA
Statements of Changes in Net Assets (Continued)
For the periods ended June 30, 1995 and 1994 (unaudited)
(In thousands)
Adjustable U.S. Templeton Pacific Templeton
Government Fund Growth Fund Rising Dividends Fund Equity
------------ -------- ---------- -------- -------- --------------- ----------
1995 1994 1995 1994 1995 1994 1995
------------ -------- ---------- -------- -------- --------------- ----------
<S> <C> <C> <C> <C> <C> <C> <C>
Increase (decrease) in net assets:
Operations:
Investment income (loss), net $ 10,992 9,941 3,845 (1,223) 5,167 2,705 7,631
Realized gains (losses) on investments, net (452) 331 1,907 1,895 (74) (428) 16,980
Net change in unrealized appreciation
(depreciation) on investments (1,121) (12,515) (631) (21,024) 32,488 (18,241) 24,944
------------ -------- ---------- -------- -------- --------------- ----------
Net increase (decrease) in net assets
from operations 9,419 (2,243) 5,121 (20,352) 37,581 (15,964) 49,555
------------ -------- ---------- -------- -------- --------------- ----------
Contract transactions:
Purchase payments 19,399 82,815 14,806 108,979 17,392 43,892 51,997
Transfers between funds (44,949) (76,561) (26,911) 34,934 24,881 (23,244) (32,763)
Surrenders and terminations (14,959) (13,410) (18,171) (5,663) (14,529) (6,897) (34,873)
Rescissions (737) (921) (740) (1,453) (409) (297) (1,362)
Other transactions (note 2) 9 54 (10) 33 87 (43) 147
------------ -------- ---------- -------- -------- --------------- ----------
Net increase (decrease) in net assets
resulting from contract transactions (41,237) (8,023) (31,026) 136,830 27,422 13,411 (16,854)
------------ -------- ---------- -------- -------- --------------- ----------
Increase (decrease) in net assets (31,818) (10,266) (25,905) 116,478 65,003 (2,553) 32,701
------------ -------- ---------- -------- -------- --------------- ----------
Net assets at beginning of period 220,042 281,061 348,655 202,676 281,145 271,147 735,339
------------ -------- ---------- -------- -------- --------------- ----------
Net assets at end of period $ 188,224 270,795 322,750 319,154 346,148 268,594 768,040
============ ======== ========== ======== ======== =============== ==========
International
Fund
--------------
1994
--------------
<S> <C>
Increase (decrease) in net assets:
Operations:
Investment income (loss), net (1,778)
Realized gains (losses) on investments, net 4,684
Net change in unrealized appreciation
(depreciation) on investments (15,900)
--------------
Net increase (decrease) in net assets
from operations (12,994)
--------------
Contract transactions:
Purchase payments 201,003
Transfers between funds 111,939
Surrenders and terminations (8,255)
Rescissions (1,897)
Other transactions (note 2) 59
--------------
Net increase (decrease) in net assets
resulting from contract transactions 302,849
--------------
Increase (decrease) in net assets 289,855
--------------
Net assets at beginning of period 293,740
--------------
Net assets at end of period 583,595
==============
</TABLE>
See accompanying notes to financial statements.
<PAGE>
<TABLE>
<CAPTION>
ALLIANZ LIFE VARIABLE ACCOUNT B
of
ALLIANZ LIFE INSURANCE COMPANY OF NORTH AMERICA
Statements of Changes in Net Assets (Continued)
For the periods ended June 30, 1995 and 1994 (unaudited)
(In thousands)
Templeton Developing Templeton Global Templeton Global
Markets Equity Fund Growth Fund Asset Allocation Fund
----------- ------------ ---------- ------- ---------- ---------------
1995 1994 1995 1994 1995 1994
----------- ------------ ---------- ------- ---------- ---------------
<S> <C> <C> <C> <C> <C> <C>
Increase (decrease) in net assets:
Operations:
Investment income (loss), net ($234) (58) (46) (92) (10) -
Realized gains (losses) on investments, net (230) - 29 1 - -
Net change in unrealized appreciation
(depreciation) on investments 4,137 (117) 13,067 (139) 27 -
----------- ------------ ---------- ------- ---------- ---------------
Net increase (decrease) in net assets
from operations 3,673 (175) 13,050 (230) 17 -
----------- ------------ ---------- ------- ---------- ---------------
Contract transactions:
Purchase payments 21,837 15,650 57,067 20,836 600 -
Transfers between funds 10,797 15,930 25,599 24,464 2,926 -
Investment by Allianz Life - - - 500 500 -
Surrenders and terminations (3,099) (136) (6,323) (233) (15) -
Rescissions (668) (59) (1,179) (87) - -
Other transactions (note 2) (12) (1) 7 (1) - -
----------- ------------ ---------- ------- ---------- ---------------
Net increase (decrease) in net assets
resulting from contract transactions 28,855 31,384 75,171 45,479 4,011 -
----------- ------------ ---------- ------- ---------- ---------------
Increase (decrease) in net assets 32,528 31,209 88,221 45,249 4,028 -
----------- ------------ ---------- ------- ---------- ---------------
Net assets at beginning of period 92,469 - 149,393 - - -
----------- ------------ ---------- ------- ---------- ---------------
Net assets at end of period $ 124,997 31,209 237,614 45,249 4,028 -
=========== ============ ========== ======= ========== ===============
Total All Funds
---------- ----------
1995 1994
---------- ----------
<S> <C> <C>
Increase (decrease) in net assets:
Operations:
Investment income (loss), net 228,385 118,431
Realized gains (losses) on investments, net 47,418 39,772
Net change in unrealized appreciation
(depreciation) on investments 306,171 (607,430)
---------- ----------
Net increase (decrease) in net assets
from operations 581,974 (449,227)
---------- ----------
Contract transactions:
Purchase payments 514,119 1,501,884
Transfers between funds - -
Investment by Allianz Life 500 500
Surrenders and terminations (436,234) (184,410)
Rescissions (13,896) (22,090)
Other transactions (note 2) 2,338 (125)
---------- ----------
Net increase (decrease) in net assets
resulting from contract transactions 66,827 1,295,759
---------- ----------
Increase (decrease) in net assets 648,801 846,532
---------- ----------
Net assets at beginning of period 6,382,004 5,057,811
---------- ----------
Net assets at end of period 7,030,805 5,904,343
========== ==========
</TABLE>
See accompanying notes to financial statements.
<PAGE>
ALLIANZ LIFE VARIABLE ACCOUNT B
of
ALLIANZ LIFE INSURANCE COMPANY OF NORTH AMERICA
Notes to Financial Statements
June 30, 1995 (unaudited)
1. ORGANIZATION
Allianz Life Variable Account B (Variable Account) is a segregated investment
account of Allianz Life Insurance Company of North America (Allianz Life) and
is registered with the Securities and Exchange Commission as a unit investment
trust pursuant to the provisions of the Investment Company Act of 1940 (as
amended). The Variable Account was established on May 31, 1985 and commenced
operations January 24, 1989. Accordingly, it is an accounting entity wherein
all segregated account transactions are reflected.
The Variable Account's assets are the property of Allianz Life and are held
for the benefit of the owners and other persons entitled to payments under
variable annuity contracts issued through the Variable Account and
underwritten by Allianz Life. The assets of the Variable Account, equal to
the reserves and other liabilities of the Variable Account, are not chargeable
with liabilities that arise from any other business which Allianz Life may
conduct.
The Variable Account's sub-accounts may invest, at net asset values, in one or
more of the funds of the Franklin Valuemark Funds (FVF), managed by Franklin
Advisers, Inc., in accordance with the selection made by the contract owner.
Not all funds are available as investment options for the products which
comprise the Variable Account.
Certain officers and trustees of the FVF are also officers and/or directors of
Franklin Advisers, Inc. and/or Allianz Life.
2. SIGNIFICANT ACCOUNTING POLICIES
INVESTMENTS
Investments of the Variable Account are valued daily at market value using net
asset values provided by Franklin Advisers, Inc.
Realized investment gains include realized gain distributions received from
the respective funds and gains on the sale of fund shares as determined by the
average cost method. Realized gain distributions are reinvested in the
respective funds. Dividend distributions received from the FVF are reinvested
in additional shares of the FVF and are recorded as income to the Variable
Account on the ex-dividend date.
The Templeton Developing Markets Equity Fund and Templeton Global Growth Fund
were added as available investment options on March 15, 1994. The Templeton
Global Asset Allocation Fund was added as an available investment option on
May 1, 1995.
In April 1995, the Equity Growth Fund name was changed to Growth and Income
Fund.
CONTRACTS IN ANNUITY PAYMENT PERIOD
Annuity reserves are computed for currently payable contracts according to
the 1983 Individual Annuity Mortality Table, using an assumed investment
return (AIR) equal to the AIR of the specific contracts, either 3% or 5%.
Charges to annuity reserves for mortality and risk expense are reimbursed to
Allianz Life if the reserves required are less than originally estimated. If
additional reserves are required, Allianz Life reimburses the account.
EXPENSES
ASSET BASED EXPENSES
A mortality and expense risk charge is deducted from the Variable Account on a
daily basis equal, on an annual basis, to 1.25% of the daily net assets of the
Variable Account.
An administrative charge is deducted from the Variable Account on a daily
basis equal, on an annual basis, to .15% of the daily net assets of the
Variable Account.
CONTRACT BASED EXPENSES
A contract maintenance charge is paid by the contract owner annually from each
contract by liquidating contract units at the end of the contract year and at
the time of full surrender. The amount of the charge is $30 each year.
Contract maintenance charges paid by the contract owners during the periods
ended June 30, 1995 and 1994 were $2,169,639 and $1,260,106, respectively.
These contract charges are reflected in the financial statements as other
transactions.
A contingent deferred sales charge is deducted from the contract value at the
time of a surrender. This charge applies only to a surrender of purchase
payments received within five years of the date of surrender. For this
purpose, purchase payments are allocated on a first-in, first-out basis. The
amount of the contingent deferred sales charge is calculated by: (a)
allocating purchase payments to the amount surrendered; and (b) multiplying
each allocated purchase payment that has been held under the contract for the
period shown below by the charge shown below:
<TABLE>
<CAPTION>
<S> <C> <C> <C>
VALUEMARK II VALUEMARK III
- ------------------- -------------------
Years Since Payment Charge Years Since Payment Charge
- ------------------- ------- ------------------- -------
0-1 5% 0-1 6%
1-2 5% 1-2 5%
2-3 4% 2-3 4%
3-4 3% 3-4 3%
4-5 1.5% 4-5 1.5%
5+ 0 5+ 0
</TABLE>
and (c) adding the products of each multiplication in (b) above.
A contract owner may, not more frequently than once annually on a cumulative
basis, make a surrender each contract year of fifteen percent (15%) of
purchase payments paid, less any prior surrenders, without incurring a
contingent deferred sales charge.
For a partial surrender, the contingent deferred sales charge will be deducted
from the remaining contract value, if sufficient; otherwise it will be
deducted from the amount surrendered.
Total contingent deferred sales charges paid by the contract owners for the
periods ended June 30, 1995 and 1994 were $6,597,070 and $3,056,630,
respectively.
Currently, twelve transfers are permitted each contract year. Thereafter, the
fee is $25 per transfer, or 2% of the amount transferred, if less. Currently,
transfers associated with the dollar cost averaging program are not counted.
Total transfer charges paid by the contract owners for the periods ended June
30, 1995 and 1994 were $66,942 and $36,245, respectively. Transfer charges
are reflected in the financial statements as other transactions.
Premium taxes or other taxes payable to a state or other governmental entity
will be charged against the contract values. Allianz Life may, in its sole
discretion, pay taxes when due and deduct that amount from the contract value
at a later date. Payment at an earlier date does not waive any right Allianz
Life may have to deduct such amounts at a later date.
On certain contracts, a systematic withdrawal plan is available which allows
an owner to withdraw up to 9% of purchase payments less prior surrenders
annually, paid monthly or quarterly, without incurring a contingent deferred
sales charge. The exercise of the systematic withdrawal plan in any contract
year replaces the 15% penalty free privilege for that year.
A rescission is defined as a contract that is returned to the Company by the
Contract Owner and canceled within the free-look period, generally within 10
days.
3. CAPITALIZATION
On January 5, 1994, $100 and $500,100 was provided by Allianz Life for the
establishment of the Templeton Developing Markets Equity Fund and Templeton
Global Growth Fund, respectively. All investments were withdrawn by Allianz
Life on August 29, 1994 at the then-current market value of $535,212.
On April 18, 1995, $500,000 was provided by Allianz Life for the
establishment of the Templeton Global Asset Allocation Fund. On June 30,
1995, the market value of this investment was $506,500.
4. INVESTMENT TRANSACTIONS
The sub-account purchases of fund shares, including reinvestment of dividend
distributions, were as follows during the period ended June 30, 1995 (in
thousands):
<TABLE>
<CAPTION>
<S> <C>
Money Market Fund $139,590
Growth and Income Fund 103,485
Precious Metals Fund 33,284
High Income Fund 74,611
Real Estate Securities Fund 16,605
U.S. Government Securities Fund 67,547
Utility Equity Fund 107,858
Zero Coupon Fund - 1995 7,387
Zero Coupon Fund - 2000 21,895
Zero Coupon Fund - 2005 13,807
Zero Coupon Fund - 2010 28,129
Global Income Fund 13,097
Investment Grade Intermediate Bond Fund 14,250
Income Securities Fund 114,924
Adjustable U.S. Government Fund 24,011
Templeton Pacific Growth Fund 57,140
Rising Dividends Fund 40,515
Templeton International Equity Fund 60,839
Templeton Developing Markets Equity Fund 34,852
Templeton Global Growth Fund 77,671
Templeton Global Asset Allocation Fund 4,011
</TABLE>
5. FEDERAL INCOME TAXES
Operations of the Variable Account form a part of, and are taxed with,
operations of Allianz Life, which is taxed as a life insurance company under
the Internal Revenue Code.
Allianz Life does not expect to incur any federal income taxes in the
operation of the Variable Account. If in the future Allianz Life determines
that the Variable Account may incur federal income taxes, it may then assess a
charge against the Variable Account for such taxes.
<PAGE>
<TABLE>
<CAPTION>
6. CONTRACT TRANSACTIONS - ACCUMULATION UNIT ACTIVITY (IN THOUSANDS EXCEPT PER UNIT DATA)
Transactions in units for each fund for the period ended June 30, 1995 and the year ended December 31, 1994 were as
follows:
Real U.S.
Money Growth and Precious High Estate Government Utility
Market Income Metals Income Securities Securities Equity
Fund Fund Fund Fund Fund Fund Fund
--------- ----------- --------- -------- ----------- ----------- ----------
<S> <C> <C> <C> <C> <C> <C> <C>
Accumulation units outstanding at
December 31, 1993 10,247 24,719 4,685 11,787 5,589 40,402 84,217
Contract transactions:
Purchase payments 33,071 9,135 2,732 4,967 4,417 7,429 12,472
Transfers between funds 2,902 4,379 1,303 422 2,206 (6,649) (19,941)
Surrenders and terminations (6,011) (2,397) (409) (1,428) (525) (4,458) (6,391)
Rescissions (792) (137) (26) (75) (41) (239) (264)
Other transactions 20 (4) - 6 (1) 5 (11)
--------- ----------- --------- -------- ----------- ----------- ----------
Net increase (decrease) in
accumulation units resulting
from contract transactions 29,190 10,976 3,600 3,892 6,056 (3,912) (14,135)
--------- ----------- --------- -------- ----------- ----------- ----------
Accumulation units outstanding at
December 31, 1994 39,437 35,695 8,285 15,679 11,645 36,490 70,082
========= =========== ========= ======== =========== =========== ==========
Accumulation unit value per unit at
December 31, 1994 $ 12.354 13.215 13.979 14.608 15.594 13.835 15.104
========= =========== ========= ======== =========== =========== ==========
Contract transactions:
Purchase payments 7,421 2,692 406 1,324 708 1,409 2,291
Transfers between funds (8,574) 3,930 (266) 2,193 (542) 979 1,185
Surrenders and terminations (5,313) (2,377) (455) (1,161) (572) (2,743) (4,250)
Rescissions (126) (70) (15) (53) (12) (61) (72)
Other transactions 33 15 1 3 7 (6) 36
--------- ----------- --------- -------- ----------- ----------- ----------
Net increase (decrease) in
accumulation units resulting
from contract transactions (6,559) 4,190 (329) 2,306 (411) (422) (810)
--------- ----------- --------- -------- ----------- ----------- ----------
Accumulation units outstanding at
June 30, 1995 32,878 39,885 7,956 17,985 11,234 36,068 69,272
========= =========== ========= ======== =========== =========== ==========
Accumulation unit value per unit at
June 30, 1995 $ 12.622 15.112 14.016 16.444 16.139 15.451 16.906
========= =========== ========= ======== =========== =========== ==========
Accumulation net assets at June 30, 1995 $415,007 602,748 111,524 295,757 181,302 557,274 1,171,106
========= =========== ========= ======== =========== =========== ==========
Zero Zero Zero Zero
Coupon Coupon Coupon Coupon
Fund - Fund - Fund - Fund -
1995 2000 2005 2010
------- ------- ------- -------
<S> <C> <C> <C> <C>
Accumulation units outstanding at
December 31, 1993 3,092 3,787 2,020 1,405
Contract transactions:
Purchase payments 344 1,434 942 541
Transfers between funds 224 114 (4) 864
Surrenders and terminations (462) (357) (154) (204)
Rescissions (2) (24) (18) (17)
Other transactions (1) (1) (6) -
------- ------- ------- -------
Net increase (decrease) in
accumulation units resulting
from contract transactions 103 1,166 760 1,184
------- ------- ------- -------
Accumulation units outstanding at
December 31, 1994 3,195 4,953 2,780 2,589
======= ======= ======= =======
Accumulation unit value per unit at
December 31, 1994 14.380 15.373 16.096 15.930
======= ======= ======= =======
Contract transactions:
Purchase payments 86 607 393 320
Transfers between funds 92 404 207 437
Surrenders and terminations (556) (268) (125) (157)
Rescissions (3) (13) (8) (19)
Other transactions 7 (1) - 3
------- ------- ------- -------
Net increase (decrease) in
accumulation units resulting
from contract transactions (374) 729 467 584
------- ------- ------- -------
Accumulation units outstanding at
June 30, 1995 2,821 5,682 3,247 3,173
======= ======= ======= =======
Accumulation unit value per unit at
June 30, 1995 14.915 17.368 19.061 19.596
======= ======= ======= =======
Accumulation net assets at June 30, 1995 42,086 98,677 61,892 62,177
======= ======= ======= =======
</TABLE>
<PAGE>
<TABLE>
<CAPTION>
6. CONTRACT TRANSACTIONS - ACCUMULATION UNIT ACTIVITY (IN THOUSANDS EXCEPT PER UNIT DATA) (CONTINUED)
Investment Adjustable Templeton Templeton
Global Grade Income U.S. Pacific Rising International
Income Intermediate Securities Government Growth Dividends Equity
Fund Bond Fund Fund Fund Fund Fund Fund
--------- ------------- ----------- ----------- ---------- ---------- --------------
<S> <C> <C> <C> <C> <C> <C> <C>
Accumulation units outstanding
at December 31, 1993 13,054 7,677 38,967 24,975 14,240 26,256 24,026
Contract transactions:
Purchase payments 5,526 2,779 19,487 10,678 10,676 6,295 23,800
Transfers between funds (465) (28) 2,539 (12,898) 3,849 (1,955) 15,240
Surrenders and terminations (1,178) (619) (4,065) (2,716) (1,371) (1,748) (2,341)
Rescissions (92) (37) (364) (184) (164) (83) (268)
Other transactions 10 - 5 10 1 13 7
--------- ------------- ----------- ----------- ---------- ---------- --------------
Net increase (decrease) in
accumulation units resulting
from contract transactions 3,801 2,095 17,602 (5,110) 12,991 2,522 36,438
--------- ------------- ----------- ----------- ---------- ---------- --------------
Accumulation units outstanding
at December 31, 1994 16,855 9,772 56,569 19,865 27,231 28,778 60,464
========= ============= =========== =========== ========== ========== ==============
Accumulation unit value per
unit at December 31, 1994 $ 13.726 14.257 16.392 11.077 12.802 9.769 12.161
========= ============= =========== =========== ========== ========== ==============
Contract transactions:
Purchase payments 483 556 3,784 1,702 1,157 1,643 4,235
Transfers between funds (895) 173 1,593 (3,973) (2,113) 2,334 (2,704)
Investment by Allianz Life - - - - - - -
Surrenders and terminations (1,033) (613) (3,607) (1,318) (1,441) (1,390) (2,842)
Rescissions (19) (13) (101) (65) (59) (39) (111)
Other transactions (2) 2 45 1 - 9 12
--------- ------------- ----------- ----------- ---------- ---------- --------------
Net increase (decrease) in
accumulation units resulting
from contract transactions (1,466) 105 1,714 (3,653) (2,456) 2,557 (1,410)
--------- ------------- ----------- ----------- ---------- ---------- --------------
Accumulation units outstanding
at June 30, 1995 15,389 9,877 58,283 16,212 24,775 31,335 59,054
========= ============= =========== =========== ========== ========== ==============
Accumulation unit value per
unit at June 30, 1995 $ 14.725 14.984 18.242 11.610 13.015 11.035 13.005
========= ============= =========== =========== ========== ========== ==============
Accumulation net assets at
June 30, 1995 $226,622 148,018 1,063,210 188,224 322,458 345,792 767,989
========= ============= =========== =========== ========== ========== ==============
Templeton Templeton
Developing Templeton Global
Markets Global Asset Total
Equity Growth Allocation All
Fund Fund Fund Funds
----------- ---------- ----------- ----------
<S> <C> <C> <C> <C>
Accumulation units outstanding
at December 31, 1993 - - - 341,145
Contract transactions:
Purchase payments 5,673 8,665 - 171,063
Transfers between funds 4,296 6,300 - 2,698
Surrenders and terminations (146) (215) - (37,195)
Rescissions (49) (114) - (2,990)
Other transactions - 1 - 54
----------- ---------- ----------- ----------
Net increase (decrease) in
accumulation units resulting
from contract transactions 9,774 14,637 - 133,630
----------- ---------- ----------- ----------
Accumulation units outstanding
at December 31, 1994 9,774 14,637 - 474,775
=========== ========== =========== ==========
Accumulation unit value per
unit at December 31, 1994 9.454 10.201 -
=========== ========== ===========
Contract transactions:
Purchase payments 2,349 5,465 60 39,091
Transfers between funds 1,153 2,458 291 (1,638)
Investment by Allianz Life - - 50 50
Surrenders and terminations (334) (608) (1) (31,164)
Rescissions (72) (112) - (1,043)
Other transactions - 2 - 167
----------- ---------- ----------- ----------
Net increase (decrease) in
accumulation units resulting
from contract transactions 3,096 7,205 400 5,463
----------- ---------- ----------- ----------
Accumulation units outstanding
at June 30, 1995 12,870 21,842 400 480,238
=========== ========== =========== ==========
Accumulation unit value per
unit at June 30, 1995 9.678 10.855 10.097
=========== ========== ===========
Accumulation net assets at
June 30, 1995 124,552 237,091 4,028 7,027,534
=========== ========== =========== ==========
</TABLE>
<PAGE>
