AUL American Unit Trust
STATEMENT OF OPERATIONS AND CHANGES IN NET ASSETS
(continued)
for the six months ended June 30, 1995 and 1994
(unaudited)
Series FundFidelity
ManagedHigh IncomeGrowth
199519941995199419951994
Operations:
Dividend income$259,966$148,280$245,640$108,343$61,007$196,573
Mortality & expense charges76,68154,57124,20110,00179,65928,470
Net Investment Income
(Expense)183,28593,709221,43998,342(18,652)168,103
Gain (Loss) on Investments:
Net realized gain (loss)25,80945,684(44,588)(14,363)16,364(38,789)
Net unrealized gain
(loss)1,066,248(565,333)233,631(141,050)2,872,038(756,333)
Net Gain (Loss)1,092,057(519,649)189,043(155,413)2,888,402(795,122)
Increase
(Decrease)1,275,342(425,940)410,482(57,071)2,869,750(627,019)
Contract Owner Transactions:
Proceeds from units
sold1,816,7253,980,6851,289,2971,780,4734,343,0434,987,702
Cost of units
redeemed(968,496)(513,459)(270,801)(232,313)(895,599)(470,000)
Increase848,2293,467,2261,018,4961,548,1603,447,4444,517,702
Net increase2,123,5713,041,2861,428,9781,491,0896,317,1943,890,683
Net Assets,
beginning11,526,7296,784,4433,250,024662,87010,413,7512,334,792
Net Assets,
ending$13,650,300$9,825,729$4,679,002$2,153,959$16,730,945$6,225,475
Units sold1,224,3412,762,2821,121,8911,593,8913,562,8834,454,628
Units redeemed(659,811)(358,824)(237,707)(209,149)(732,897)(426,403)
Net increase564,5302,403,458884,1841,384,7422,829,9864,028,225
Units outstanding,
beginning8,146,9564,691,2863,013,462598,0519,247,2902,051,512
Units outstanding,
ending8,711,4867,094,7443,897,6461,982,79312,077,2766,079,737
The accompanying notes are an integral part of the financial statements.
6
AUL American Unit Trust
STATEMENT OF OPERATIONS AND CHANGES IN NET ASSETS
(continued)
for the six months ended June 30, 1995 and 1994
(unaudited)
Fidelity
OverseasAsset ManagerIndex 500
199519941995199419951994
Operations:
Dividend income$42,737$8,118$447,091$436,473$42,514$1,510
Mortality & expense charges36,68414,676139,26073,97316,7286,220
Net Investment Income
(Expense)6,053(6,558)307,831362,50025,786(4,710)
Gain (Loss) on Investments:
Net realized gain (loss)(15,086)35,486(196,100)(20,211)42,462(1,836)
Net unrealized gain
(loss)246,175(19,145)1,113,680(1,214,830)404,924(48,053)
Net Gain (Loss)231,08916,341917,580(1,235,041)447,386(49,889)
Increase (Decrease)237,1429,7831,225,411(872,541)473,172(54,599)
Contract Owner Transactions:
Proceeds from units
sold2,418,7512,434,5264,462,29010,683,0311,277,466835,517
Cost of units
redeemed(1,584,391)(59,616)(2,038,225)(982,436)(410,833)(43,355)
Increase834,3602,374,9102,424,0659,700,595866,633792,162
Net increase1,071,5022,384,6933,649,4768,828,0541,339,805737,563
Net Assets,
beginning5,424,635990,72420,452,2336,618,0832,086,818541,838
Net Assets,
ending$6,496,137$3,375,417$24,101,709$15,446,137$3,426,623$1,279,401
Units sold2,129,7392,077,4714,181,0849,656,5431,081,231789,421
Units
redeemed(1,384,287)(50,767)(1,892,288)(905,018)(340,858)(41,382)
Net increase745,4522,026,7042,288,7968,751,525740,373748,039
Units outstanding,
beginning4,748,284872,24819,540,3765,859,6071,966,816507,196
Units outstanding,
ending5,493,7362,898,95221,829,17214,611,1322,707,1891,255,235
The accompanying notes are an integral part of the financial statements.
7
AUL American Unit Trust
STATEMENT OF OPERATIONS AND CHANGES IN NET ASSETS
(continued)
for the six months ended June 30, 1995 and 1994
(unaudited)
Fidelity(1)TCIAlger(1)Calvert(1)
Equity-IncomeContraGrowthAmericanCapital
GrowthAccumulation
1995199519951994(2)19951995
Operations:
Dividend income$--$--$294$--$1$--
Mortality & expense charges14--2,08830----
Net Investment Income
(Expense)(14)--(1,794)(30)1--
Gain (Loss) on Investments:
Net realized gain----626------
Net unrealized gain (loss)(363)1464,644(2,628)1714
Net Gain (Loss)(363)1465,270(2,628)1714
Increase (Decrease)(377)1463,476(2,658)1814
Contract Owner Transactions:
Proceeds from units sold52,659100154,29760,964185100
Cost of units redeemed(7)--(1,957)------
Increase52,652100152,34060,964185100
Net increase52,275114215,81658,306203114
Net Assets, beginning----254,724------
Net Assets, ending$52,275$114$470,540$58,306$203$114
Units sold48,981100143,15961,521174100
Units redeemed(7)--(1,807)------
Net increase48,974100141,35261,521174100
Units outstanding, beginning----254,316------
Units outstanding, ending48,974100395,66861,521174100
(1) for the period from March 31, 1995 through June 30, 1995
(2) for the period from March 31, 1994 through June 30, 1994
The accompanying notes are an integral part of the financial statements.
8
AUL American Unit Trust
STATEMENT OF OPERATIONS AND CHANGES IN NET ASSETS
for the six months ended June 30, 1995 and 1994
(unaudited)
Series Fund
EquityMoney MarketBond
199519941995199419951994
Operations:
Dividend income$140,982$63,200$39,137$9,786$135,406$81,398
Mortality & expense charges80,45349,5209,0944,26725,45616,567
Net Investment Income60,52913,68030,0435,519109,95064,831
Gain (Loss) on Investments:
Net realized gain (loss)113,18197,273----(20,790)(5,204)
Net unrealized gain (loss)1,148,602(341,611)----303,693(195,853)
Net Gain (Loss)1,261,783(244,338)----282,903(201,057)
Increase (Decrease)1,322,312(230,658)30,0435,519392,853(136,226)
Contract Owner Transactions:
Proceeds from units
sold2,771,1392,668,3801,844,2041,150,849814,6241,354,955
Cost of units
redeemed(786,896)(659,172)(1,301,581)(685,478)(268,902)(300,376)
Increase1,984,2432,009,208542,623465,371545,7221,054,579
Net increase3,306,5551,778,550572,666470,890938,575918,353
Net Assets,
beginning11,341,9376,956,3851,239,527462,5273,631,8442,176,259
Net Assets,
ending$14,648,492$8,734,935$1,812,193$933,417$4,570,419$3,094,612
Units sold1,772,9411,765,2601,592,4181,025,088560,778959,357
Units
redeemed(499,224)(433,148)(1,122,994)(610,411)(183,489)(211,982)
Net increase1,273,7171,332,112469,424414,677377,289747,375
Units outstanding,
beginning7,471,1554,644,9741,083,828413,5172,640,9001,507,011
Units outstanding,
ending8,744,8725,977,0861,553,252828,1943,018,1892,254,386
The accompanying notes are an integral part of the financial statements.
5
AUL American Unit Trust
STATEMENT OF NET ASSETS (continued)
June 30, 1995
(unaudited)
TCIAlgerCalvertT. Rowe Price
GrowthAmericanCapitalEquity-Income
GrowthAccumulation
Assets:
Investment at market value$471,001$197$114$106
Receivable for units sold--6----
Liabilities:
Due to AUL461------
Net Assets$470,540$203$114$106
Units outstanding395,668174100100
Net Asset Value per unit$1.19$1.16$1.14$1.06
The accompanying notes are an integral part of the financial statements.
4
AUL American Unit Trust
STATEMENT OF OPERATIONS AND CHANGES IN NET ASSETS
(continued)
for the period from March 31, 1995 through June 30, 1995
(unaudited)
T. Rowe Price
Equity-Income
1995
Operations:
Dividend income$1
Mortality & expense charges--
Net Investment Income1
Gain on Investments:
Net realized gain--
Net unrealized gain5
Net Gain5
Increase6
Contract Owner Transactions:
Proceeds from units sold100
Cost of units redeemed--
Increase100
Net increase106
Net Assets, beginning--
Net Assets, ending$106
Units sold100
Units redeemed--
Net increase100
Units outstanding, beginning--
Units outstanding, ending100
The accompanying notes are an integral part of the financial statements.
9
NOTES TO FINANCIAL STATEMENTS
1.Summary of Significant Accounting Policies
The AUL American Unit Trust (Variable Account) was established by
American
United Life
Insurance Company (AUL) on August 17, 1989, under procedures
established by
Indiana law and
is registered as a unit investment trust under the Investment Company Act
of 1940,
as amended.
The Variable Account is a segregated series of investment accounts for
group
annuity contracts
issued by AUL and invests exclusively in shares of mutual fund portfolios
offered
by the AUL
American Series Fund, Inc. (Series Fund), Fidelity Investments Variable
Insurance
Products Fund
and Variable Insurance Products Fund II (Fidelity), Twentieth Century
(TCI),
Alger American
Fund (Alger), Calvert Group (Calvert), and T. Rowe Price.
Income
Dividend income is recorded on the ex-dividend date.
Mortality and Expense Risks Charges
AUL deducts a daily charge as compensation for the mortality and expense
risks
assumed by
AUL. The charge is equal on an annual basis to 1.25% of the average daily
net
assets of each
investment account. AUL guarantees the
mortality and expense charges shall not increase. The charges incurred
during the
six months
ended June 30, 1995
and 1994, were $490,318 and $258,295, respectively.
Taxes
Operations of the Variable Account are part of, and are taxed with, the
operations
of AUL, which
is taxed as a "life insurance company" under the Internal Revenue Code.
Under
current law,
investment income, including realized and unrealized capital gains of the
investment accounts, is
not taxed to AUL to the extent it is applied to increase reserves under the
contracts. The Variable
Account has not been charged for federal and state income taxes since
none have
been imposed.
2.Account Charges
AUL may assess a premium tax charge based on premium taxes incurred.
Premium
tax rates
currently range between 0% and 3.5%, but are subject to change.
AUL deducts an administrative charge from each participant's account
equal to the
lesser of 0.5%
of the participant's account value or $7.50 per quarter. The charge is
assessed
every quarter on a
participant account if it is in effect on the quarterly contract anniversary,
and the
charge is
assessed only during the accumulation period. The charges incurred during
the six
months ended
June 30, 1995 and 1994, were $63,067 and $46,103, respectively.
AUL may assess a withdrawal charge on withdrawals in excess of 10% of
the
participant's
account value as of the last contract anniversary preceding the request for
the
withdrawal. The
amount of the charge depends upon the number of account years the
participant's
account has
been in existence, as follows:
Account YearWithdrawal Charge
1-58%
6-104%
11 or more0%
The aggregate withdrawal charges will not exceed 9% of the contributions
made
by or on behalf
of a participant under a contract. The charges incurred during the six
months
ended June 30, 1995
and 1994, were $44,160 and $11,749, respectively.
10
AUL American Unit Trust
STATEMENT OF NET ASSETS (continued)
June 30, 1995
(unaudited)
Fidelity
OverseasAsset ManagerIndex 500Equity-IncomeContra
Assets:
Investment at market
value$6,502,792$24,126,276$3,430,002$52,289$114
Liabilities:
Due to AUL6,65524,5673,37914--
Net Assets$6,496,137$24,101,709$3,426,623$52,275$114
Units outstanding5,493,73621,829,1722,707,18948,974100
Net Asset Value per unit$1.18$1.10$1.27$1.07$1.14
The accompanying notes are an integral part of the financial statements.
3
AUL American Unit Trust
STATEMENT OF NET ASSETS
June 30, 1995
(unaudited)
Series FundFidelity
EquityMoney MarketBondManagedHigh IncomeGrowth
Assets:
Investment at market
value$14,663,328$1,814,044$4,575,117$13,664,121$4,683,704$16,747,177
Liabilities:
Due to AUL14,8361,8514,69813,8214,70216,232
Net
Assets$14,648,492$1,812,193$4,570,419$13,650,300$4,679,002$16,730,945
Units
outstanding8,744,8721,553,2523,018,1898,711,4863,897,64612,077,276
Net Asset Value per unit$1.67$1.17$1.51$1.57$1.20$1.39
The accompanying notes are an integral part of the financial statements.
2
NOTES TO FINANCIAL STATEMENTS (continued)
3.Net Asset Value Per Unit
The change in the Net Asset Value per unit for the six months ended June
30,
1995, or from
commencement of operations, March 31, 1995, through June 30, 1995, is:
6/30/9512/31/94Change
Series Fund:
Equity$1.674679$1.51774710.3%
Money Market1.1670391.1436022.0%
Bond1.5141571.37514210.1%
Managed1.5666691.41465710.7%
Fidelity:
High Income1.2004031.07849411.3%
Growth1.3851981.12607823.0%
Overseas1.1823991.1424083.5%
Asset Manager1.1040611.0466505.5%
Index 5001.2656371.06099119.3%
TCI:
Growth1.1891531.00159118.7%
6/30/953/31/95Change
Fidelity:
Equity-Income$1.067386$1.0000006.7%
Contra1.1402031.00000014.0%
Alger:
American Growth1.1629061.00000016.3%
Calvert:
Capital Accumulation1.1417241.00000014.2%
T. Rowe Price:
Equity-Income1.0635581.0000006.4%
11
NOTES TO FINANCIAL STATEMENTS (continued)
4.Cost of Investments
Series Fund:
Equity$13,647,275
Money Market1,814,044
Bond4,545,411
Managed13,178,066
Fidelity:
High Income4,562,147
Growth13,732,066
Overseas6,365,504
Asset Manager24,098,075
Index 5003,015,040
Equity-Income52,652
Contra100
TCI:
Growth$403,991
Alger:
American Growth180
Calvert:
Capital Accumulation100
T. Rowe Price:
Equity-Income101
5.Net Assets
Series FundFidelity
EquityMoney MarketBondManagedHigh IncomeGrowth
Proceeds from units
sold$15,682,918$5,347,386$5,351,412$14,712,077$4,947,414$15,803,609
Cost of units
redeemed(3,346,485)(3,592,823)(1,177,971)(2,720,443)(619,226)(2,076,911)
Net investment income917,42357,630409,6951,027,269300,87691,763
Net realized gains (losses)378,583--(42,423)145,342(71,619)(102,627)
Unrealized gain1,016,053--29,706486,055121,5573,015,111
$14,648,492$1,812,193$4,570,419$13,650,300$4,679,002$16,730,945
FidelityTCI
OverseasAsset ManagerIndex 500Equity-IncomeContraGrowth
Proceeds from units
sold$8,218,899$28,254,959$3,431,990$52,659$100$408,500
Cost of units redeemed(1,895,756)(4,463,210)(484,038)(7)--(2,478)
Net investment income
(expense)(31,857)552,26524,227(14)--(2,631)
Net realized gains (losses)67,563(270,506)39,482----139
Unrealized gain (loss)137,28828,201414,962(363)1467,010
$6,496,137$24,101,709$3,426,623$52,275$114$470,540
AlgerCalvertT. Rowe Price
AmericanCapitalEquity-Income
GrowthAccumulation
Proceeds from units sold$185$100$100
Cost of units redeemed------
Net investment income1--1
Net realized gains------
Unrealized gain17145
$203$114$106
12
A Message
From
The Chairman of the Board
and President of
AUL American Series Fund, Inc.
To Participants in AUL American Unit Trust
I am pleased to announce five new investment accounts to provide you
with a
wider selection of
quality, professionally managed investments. The new options enhance
AUL's
retirement savings
products through mutual funds managed by industry leaders such as Alger,
Calvert
Group,
Fidelity Investments and
T. Rowe Price. These new accounts join existing options investing in
mutual funds
managed by
AUL, Fidelity Investments and Twentieth Century.
We are excited about this value added enhancement to our retirement
products
because these
mutual funds have exceptional name recognition and reputation. The
enhancement
keeps us on
the cutting edge of our industry, but more importantly, it provides you with
more
diversity as you
plan for retirement. In addition to announcing our new investment options,
I will
briefly recap the
economic conditions for the last six months to explain how the economy
and
financial markets
may have affected your investments.
After a disappointing 1994, some stocks skyrocketed during the first half of
1995.
Stock returns
showed promise, confirming the "bull" market that began in 1990 remained
in
place. The stock
market's driving force was the strength of a few large, growth stocks.
Investors
also focused on
specific technology stocks that offered strong unit growth prospects,
favorable
product cycles,
and potential improvement from export sales.
Large consumer stocks tend to dominate the S&P 500, so their
phenomenal
returns masked the
weakness in the marketplace. As a result, the broader market, which is
comprised
of smaller
companies, did not fare as well. The large, growth stock dominance
lessened some
in the second
quarter as investors focused on smaller, more economically sensitive
companies.
The bond market also reversed course after negative returns during 1994.
Weaker
economic
conditions fueled a strong rally in bond prices during the first half of 1995.
The
result was double
digit returns for many bond investments during the period.
Investors were anxiously awaiting the Federal Reserve Board's next move
as the
second quarter
ended. The Federal Reserve eased monetary policy in July by lowering
short-term
interest rates in
response to weak economic data. This represents the first rate cut in nearly
three
years, and the
markets assume more rate cuts are possible before the end of the year.
James W. Murphy
Chairman of the Board of Directors and President
Indianapolis, Indiana
July 10, 1995
1
