<PAGE> 1
2000
Nationwide(R) VA Separate Account - B
June 30, 2000
[THE BEST OF AMERICA(R) LOGO]
SEMI-ANNUAL REPORT
AMERICA'S
EXCLUSIVE
ANNUITY(SM)
[NATIONWIDE(R) LOGO]
Nationwide Life and Annuity Insurance Company
Home Office: Columbus, Ohio
APO-3233-J (06/00)
<PAGE> 2
[NATIONWIDE(R) LOGO]
NATIONWIDE LIFE AND ANNUITY INSURANCE COMPANY
ONE NATIONWIDE PLAZA, COLUMBUS, OHIO 43215-2220
[PHOTO]
PRESIDENT'S MESSAGE
We at Nationwide Life and Annuity Insurance Company are pleased
to bring you the 2000 semi-annual report of the Nationwide VA
Separate Account-B.
During the first half of 2000 fixed income and equity markets
took a hiatus from their recent advances. It appears the Federal
Reserve's interest rate hikers are accomplishing the intended
purpose. Recent economic statistics show some moderation in the
areas of home and vehicles sales because of the higher interest
costs. And, there are other favorable indications that the Fed
may yet "glide" the economy to a soft landing. Inflation remains
low. Sustained increases in worker productivity continue to
dampen pricing pressures of an increasingly tight labor pool.
Corporate profitability growth remains viable. An improving
global economy bodes well for U.S. exporting businesses. While
all this provides a positive backdrop, we expect the markets will
continue jittery and volatile during the second half of the year
as uncertainty over further Fed actions persists. However, we
believe patient investors in financial assets will be amply
rewarded when we move beyond this temporary respite.
Nationwide Life was a forerunner in the variable annuity and
variable life insurance business. We continue to develop new and
innovative investment products to better meet your financial
planning and retirement needs. And, we are equally committed to
providing you, our valued customer, the exceptional level of
customer service you expect and deserve.
/s/ Joseph J. Gasper
Joseph J. Gasper, President
August 16, 2000
2
<PAGE> 3
HOW TO READ THE SEMI-ANNUAL REPORT
This Semi-annual report is a presentation of the variable account as a whole and
only describes the underlying contracts and products of the variable account in
general terms. Please note the variable account may have more than one variable
product available. Such products may have different underlying mutual funds
available than those available in your contract. Therefore, not all funds listed
in this report may be available in your contract. Please refer to your most
recent account statement for specific information about your investment in the
Nationwide VA Separate Account-B. Rules and regulations of the United States
Securities and Exchange Commission and recognized conventions of Generally
Accepted Accounting Principals prescribe the format and content of this report.
We also invite you to call our service center at 1-800-848-6331 if you have
questions about your account, or you may access your account using our voice
response unit. And, please visit our web-site at www.bestofamerica.com for
additional information about your contract and to learn more about other
products and services offered by Nationwide Financial.
THE ANNUAL REPORT HAS FOUR MAJOR FINANCIAL SECTIONS:
STATEMENT OF ASSETS, LIABILITIES AND CONTRACT OWNER'S EQUITY
This statement begins on page 4 and lists all of the underlying mutual funds of
the variable account, the number of shares owned, the amount paid for the shares
and their market value as of the close of business on June 30, 2000. The mutual
funds are listed in alphabetical order. The market value of the assets changes
as the underlying mutual funds change in value. As contract owners make exchange
transactions between the funds, the number of shares increases or decreases
accordingly. When money is deposited or withdrawn by a contract owner, shares
are correspondingly purchased or redeemed. The total market value of the funds
is equal to the TOTAL INVESTMENTS of the variable account.
ACCOUNTS RECEIVABLE, if applicable, represents an asset of the variable
account for money market fund shares purchased by contract owners and reinvested
dividend shares added to contract owners' accounts, but not yet added to Total
investments. Total investments plus Accounts receivable equal TOTAL ASSETS of
the variable account.
ACCOUNTS PAYABLE, if applicable, is a liability of the variable account for
money market fund shares redeemed by contract owners' but not yet deducted from
Total investments.
Total assets minus Accounts payable equals CONTRACT OWNERS' EQUITY. A summary of
Contract owners' equity by funds series may be found on page 23. This summary
also includes investment return for the reporting period for each fund series.
STATEMENTS OF OPERATIONS AND STATEMENTS OF CHANGES IN CONTRACT OWNERS' EQUITY
These statements begin on page 7 and present the financial activity of each
underlying mutual fund sub-account of the variable account, for the periods
indicated.
The INVESTMENT ACTIVITY section shows income to the variable account for
reinvested dividends and capital gain distributions paid by the underlying
mutual funds. Also shown are the mortality, expense and administration charges
which are assessed through the daily unit value calculation and which represent
an expense to the variable account and its contract owners. This section also
shows the realized gain or loss as mutual fund shares are sold, and the change
in unrealized gain or loss, which represents the changes in market value of the
underlying fund shares.
The EQUITY TRANSACTIONS section illustrates the receipt of purchase payments, as
new contracts are sold or additional payments made to existing contracts. Also
presented are deductions from the variable account when the contract owners
withdraw money.
The sum of the above two sections represents the NET CHANGE IN CONTRACT OWNERS'
EQUITY which when added to the beginning Contract owners' equity equals Contract
owners' equity at the end of the reporting period.
NOTES TO FINANCIAL STATEMENTS, beginning on page 20, provide further disclosures
about the variable account and its underlying contract provisions.
<PAGE> 4
NATIONWIDE VA SEPARATE ACCOUNT-B
STATEMENT OF ASSETS, LIABILITIES AND CONTRACT OWNERS' EQUITY
JUNE 30, 2000
(UNAUDITED)
<TABLE>
<CAPTION>
<S> <C>
ASSETS:
Investments at market value:
American Century VP - American Century VP Balanced (ACVPBal)
465,642 shares (cost $3,512,493) ................................................................ $ 3,520,251
American Century VP - American Century VP Capital Appreciation (ACVPCapAp)
292,082 shares (cost $4,531,100) ................................................................ 4,962,473
American Century VP - American Century VP Income & Growth (ACVPIncGr)
789,542 shares (cost $6,165,535) ................................................................ 6,055,790
American Century VP - American Century VP International (ACVPInt)
2,451,311 shares (cost $28,105,222) ............................................................. 28,337,156
American Century VP - American Century VP Value (ACVPValue)
333,664 shares (cost $1,876,954) ................................................................ 1,808,458
The Dreyfus Socially Responsible Growth Fund, Inc. (DrySRGro)
173,421 shares (cost $6,212,847) ................................................................ 6,947,261
Dreyfus Stock Index Fund (DryStkIx)
1,560,296 shares (cost $58,004,629) ............................................................. 59,322,466
Dreyfus IP - European Equity Portfolio (DryEuroEq)
1,926 shares (cost $29,935) ..................................................................... 30,590
Dreyfus VIF - Appreciation Portfolio (DryAp)
101,539 shares (cost $4,061,472) ................................................................ 4,161,085
Dreyfus VIF - Growth and Income Portfolio (DryGrInc)
162,684 shares (cost $3,657,213) ................................................................ 4,096,385
Fidelity VIP - Equity-Income Portfolio (FidVIPEI)
1,039,543 shares (cost $25,268,701) ............................................................. 23,815,940
Fidelity VIP - Growth Portfolio (FidVIPGr)
1,015,947 shares (cost $52,955,873) ............................................................. 52,361,896
Fidelity VIP - High Income Portfolio (FidVIPHI)
2,051,097 shares (cost $21,380,026) ............................................................. 20,593,015
Fidelity VIP - Overseas Portfolio (FidVIPOv)
582,625 shares (cost $13,644,267) ............................................................... 13,668,393
Fidelity VIP-II - Asset Manager Portfolio (FidVIPAM)
648,854 shares (cost $11,106,409) ............................................................... 10,732,042
Fidelity VIP-II - Contrafund Portfolio (FidVIPCon)
1,193,471 shares (cost $30,468,823) ............................................................. 29,944,183
</TABLE>
4
<PAGE> 5
<TABLE>
<S> <C>
Fidelity VIP-III - Growth Opportunities Portfolio (FidVIPGrOp)
1,114,799 shares (cost $23,621,654) ............................................................. 22,976,013
Janus Aspen Series - Capital Appreciation Portfolio - Service Class (JanCapApp)
25,379 shares (cost $796,203) ................................................................... 797,398
Janus Aspen Series - Global Technology Portfolio - Service Class (JanGlTech)
61,288 shares (cost $587,518) ................................................................... 601,853
Janus Aspen Series - International Growth Portfolio - Service Class (JanIntGro)
37,478 shares (cost $1,444,276) ................................................................. 1,474,757
Morgan Stanley - Emerging Markets Debt Portfolio (MSEmMkt)
41,271 shares (cost $301,418) ................................................................... 303,754
Nationwide SAT - Capital Appreciation Fund (NSATCapAp)
448,708 shares (cost $11,710,228) ............................................................... 11,603,592
Nationwide SAT - Government Bond Fund (NSATGvtBd)
1,113,145 shares (cost $12,223,682) ............................................................. 12,122,151
Nationwide SAT - Mid Cap Index Fund (NSATMidCap)
486 shares (cost $6,608) ........................................................................ 6,459
Nationwide SAT - Money Market Fund (NSATMyMkt)
37,727,993 shares (cost $37,727,993) ............................................................ 37,727,993
Nationwide SAT - Multi Sector Bond Fund (NSATMSecBd)
67,888 shares (cost $631,499) ................................................................... 630,677
Nationwide SAT - Small Cap Growth Fund (NSATSmCapG)
911 shares (cost $16,973) ....................................................................... 18,874
Nationwide SAT - Small Cap Value Fund (NSATSmCapV)
154,104 shares (cost $1,694,712) ................................................................ 1,662,780
Nationwide SAT - Small Company Fund (NSATSmCo)
512,234 shares (cost $12,559,493) ............................................................... 12,191,163
Nationwide SAT - Strategic Growth Fund (NSATStrGro)
6,317 shares (cost $130,233) .................................................................... 135,630
Nationwide SAT - Total Return Fund (NSATTotRe)
589,703 shares (cost $11,280,772) ............................................................... 11,434,345
Neuberger Berman AMT - Growth Portfolio (NBAMTGro)
299,629 shares (cost $11,567,211) ............................................................... 11,877,310
Neuberger Berman AMT - Guardian Portfolio (NBAMTGuard)
31,119 shares (cost $479,866) ................................................................... 508,491
Neuberger Berman AMT - Limited Maturity Bond Portfolio (NBAMTLMat)
402,103 shares (cost $5,249,189) ................................................................ 5,062,481
Neuberger Berman AMT - Partners Portfolio (NBAMTPart)
621,902 shares (cost $10,885,029) ............................................................... 9,931,768
Oppenheimer - Aggressive Growth Fund/VA (OppAggGro)
6,707 shares (cost $642,829) .................................................................... 648,170
</TABLE>
(Continued)
5
<PAGE> 6
NATIONWIDE VA SEPARATE ACCOUNT-B
STATEMENT OF ASSETS, LIABILITIES AND CONTRACT OWNERS' EQUITY, CONTINUED
<TABLE>
<S> <C>
Oppenheimer - Bond Fund/VA (OppBdFd)
654,160 shares (cost $7,737,670) ................................................................ 7,071,465
Oppenheimer - Global Securities Fund/VA (OppGlSec)
449,094 shares (cost $14,226,286) ............................................................... 14,348,538
Oppenheimer - Growth Fund/VA (OppGro)
392,205 shares (cost $20,167,727) ............................................................... 20,057,382
Oppenheimer - Main Street Growth & Income Fund/VA (OppGroInc)
7,611 shares (cost $178,388) .................................................................... 177,711
Oppenheimer - Multiple Strategies Fund/VA (OppMult)
300,238 shares (cost $5,017,571) ................................................................ 4,980,940
Strong Opportunity Fund II, Inc. (StOpp2)
410,216 shares (cost $10,566,520) ............................................................... 11,096,355
Strong VIF - Strong Discovery Fund II (StDisc2)
83,471 shares (cost $865,682) ................................................................... 1,061,745
Strong VIF - Strong International Stock Fund II (StIntStk2)
138,429 shares (cost $1,997,489) ................................................................ 1,996,153
Van Eck WIT - Worldwide Bond Fund (VEWrldBd)
134,197 shares (cost $1,382,618) ................................................................ 1,363,442
Van Eck WIT - Worldwide Emerging Markets Fund (VEWrldEMkt)
135,423 shares (cost $1,692,170) ................................................................ 1,691,427
Van Eck WIT - Worldwide Hard Assets Fund (VEWrldHAs)
52,352 shares (cost $598,702) ................................................................... 589,488
Van Kampen LIT - Morgan Stanley Real Estate Securities Portfolio (MSRESec)
282,701 shares (cost $3,630,575) ................................................................ 3,805,150
Warburg Pincus Trust - Global Post Venture Capital Portfolio (WPGPVenCp)
69,893 shares (cost $1,469,426) ................................................................. 1,413,233
Warburg Pincus Trust - International Equity Portfolio (WPIntEq)
508,186 shares (cost $7,721,128) ................................................................ 7,744,757
Warburg Pincus Trust - Small Company Growth Portfolio (WPSmCoGr)
576,390 shares (cost $14,082,291) ............................................................... 15,464,544
-----------
Total investments ............................................................................ 504,935,375
Accounts receivable ................................................................................... 71,909
-----------
Total assets ................................................................................. 505,007,284
ACCOUNTS PAYABLE ......................................................................................... 41,517
-----------
CONTRACT OWNERS' EQUITY (NOTE 4) ......................................................................... $ 504,965,767
===========
</TABLE>
See accompanying notes to financial statements.
6
<PAGE> 7
NATIONWIDE VA SEPARATE ACCOUNT-B
STATEMENTS OF CHANGES IN
CONTRACT OWNERS' EQUITY
STATEMENTS OF OPERATIONS
SIX MONTH PERIODS ENDED JUNE 30, 2000 AND 1999
(UNAUDITED)
<TABLE>
<CAPTION>
Total ACVPBal
---------------------------------- ----------------------------------
2000 1999 2000 1999
--------------- --------------- --------------- ---------------
<S> <C> <C> <C> <C>
INVESTMENT ACTIVITY:
Reinvested dividends ............................ $ 7,654,865 9,238,628 107,025 84,936
Mortality, expense and administration
charges (note 2) ............................. (3,886,309) (3,842,081) (27,392) (31,070)
--------------- --------------- --------------- ---------------
Net investment activity ...................... 3,768,556 5,396,547 79,633 53,866
--------------- --------------- --------------- ---------------
Proceeds from mutual fund shares sold ........... 1,226,954,304 778,825,069 1,301,552 785,180
Cost of mutual fund shares sold ................. (1,213,580,374) (760,072,287) (1,363,986) (861,096)
--------------- --------------- --------------- ---------------
Realized gain (loss) on investments .......... 13,373,930 18,752,782 (62,434) (75,916)
Change in unrealized gain (loss) on investments . (36,644,783) 4,938,357 (52,283) (432,003)
--------------- --------------- --------------- ---------------
Net gain (loss) on investments ............... (23,270,853) 23,691,139 (114,717) (507,919)
--------------- --------------- --------------- ---------------
Reinvested capital gains ........................ 23,013,305 11,514,871 67,398 586,056
--------------- --------------- --------------- ---------------
Net increase (decrease) in contract owners'
equity resulting from operations ........ 3,511,008 40,602,557 32,314 132,003
--------------- --------------- --------------- ---------------
EQUITY TRANSACTIONS:
Purchase payments received from
contract owners .............................. 7,341,161 61,905,844 32,770 309,591
Transfers between funds ......................... -- -- (408,249) 234,793
Redemptions ..................................... (64,614,727) (54,623,228) (310,167) (374,800)
Annuity benefits ................................ (15,711) (7,786) -- --
Adjustments to maintain reserves ................ 71,537 22,661 76 (47)
--------------- --------------- --------------- ---------------
Net equity transactions .................... (57,217,740) 7,297,491 (685,570) 169,537
NET CHANGE IN CONTRACT OWNERS' EQUITY ............. (53,706,732) 47,900,048 (653,256) 301,540
CONTRACT OWNERS' EQUITY BEGINNING OF PERIOD ....... 558,672,499 504,387,087 4,173,448 3,982,699
--------------- --------------- --------------- ---------------
CONTRACT OWNERS' EQUITY END OF PERIOD ............. $ 504,965,767 552,287,135 3,520,192 4,284,239
=============== =============== =============== ===============
</TABLE>
<TABLE>
<CAPTION>
ACVPCapAp ACVPIncGr
---------------------------------- ----------------------------------
2000 1999 2000 1999
--------------- --------------- --------------- ---------------
<S> <C> <C> <C> <C>
INVESTMENT ACTIVITY:
Reinvested dividends ............................ -- -- 23,744 600
Mortality, expense and administration
charges (note 2) ............................. (33,741) (16,702) (36,525) (18,248)
--------------- --------------- --------------- ---------------
Net investment activity ...................... (33,741) (16,702) (12,781) (17,648)
--------------- --------------- --------------- ---------------
Proceeds from mutual fund shares sold ........... 2,821,837 3,279,520 4,092,309 2,392,098
Cost of mutual fund shares sold ................. (2,035,404) (3,074,329) (3,803,450) (2,173,822)
--------------- --------------- --------------- ---------------
Realized gain (loss) on investments .......... 786,433 205,191 288,859 218,276
Change in unrealized gain (loss) on investments . (308,896) 70,146 (449,380) 26,077
--------------- --------------- --------------- ---------------
Net gain (loss) on investments ............... 477,537 275,337 (160,521) 244,353
--------------- --------------- --------------- ---------------
Reinvested capital gains ........................ 163,820 -- -- --
--------------- --------------- --------------- ---------------
Net increase (decrease) in contract owners'
equity resulting from operations ........ 607,616 258,635 (173,302) 226,705
--------------- --------------- --------------- ---------------
EQUITY TRANSACTIONS:
Purchase payments received from
contract owners .............................. 9,082 80,331 67,471 375,930
Transfers between funds ......................... 1,005,354 709,432 3,335,669 608,944
Redemptions ..................................... (312,832) (180,488) (415,605) (505,961)
Annuity benefits ................................ -- -- -- --
Adjustments to maintain reserves ................ 120 24 444 2,206
--------------- --------------- --------------- ---------------
Net equity transactions .................... 701,724 609,299 2,987,979 481,119
NET CHANGE IN CONTRACT OWNERS' EQUITY ............. 1,309,340 867,934 2,814,677 707,824
CONTRACT OWNERS' EQUITY BEGINNING OF PERIOD ....... 3,653,233 1,551,448 3,241,260 2,478,206
--------------- --------------- --------------- ---------------
CONTRACT OWNERS' EQUITY END OF PERIOD ............. 4,962,573 2,419,382 6,055,937 3,186,030
=============== =============== =============== ===============
</TABLE>
(Continued)
7
<PAGE> 8
NATIONWIDE VA SEPARATE ACCOUNT-B
STATEMENTS OF CHANGES IN
CONTRACT OWNERS' EQUITY, CONTINUED
STATEMENTS OF OPERATIONS, CONTINUED
SIX MONTH PERIODS ENDED JUNE 30, 2000 AND 1999
(UNAUDITED)
<TABLE>
<CAPTION>
ACVPInt ACVPValue
------------------------------ ------------------------------
2000 1999 2000 1999
------------- ------------- ------------- -------------
<S> <C> <C> <C> <C>
INVESTMENT ACTIVITY:
Reinvested dividends ............................ $ 37,064 -- 23,018 22,101
Mortality, expense and administration
charges (note 2) ............................. (212,924) (109,830) (14,389) (19,125)
------------- ------------- ------------- -------------
Net investment activity ...................... (175,860) (109,830) 8,629 2,976
------------- ------------- ------------- -------------
Proceeds from mutual fund shares sold ........... 115,197,677 55,459,335 3,339,344 3,410,156
------------- ------------- ------------- -------------
Cost of mutual fund shares sold ................. (111,956,388) (53,730,004) (3,687,231) (3,482,510)
Realized gain (loss) on investments .......... 3,241,289 1,729,331 (347,887) (72,354)
Change in unrealized gain (loss) on investments . (3,712,738) (406,181) 169,752 65,481
------------- ------------- ------------- -------------
Net gain (loss) on investments ............... (471,449) 1,323,150 (178,135) (6,873)
------------- ------------- ------------- -------------
Reinvested capital gains ........................ 554,157 -- 58,898 209,382
------------- ------------- ------------- -------------
Net increase (decrease) in contract owners'
------------- ------------- ------------- -------------
equity resulting from operations ........ (93,152) 1,213,320 (110,608) 205,485
------------- ------------- ------------- -------------
EQUITY TRANSACTIONS:
Purchase payments received from
contract owners .............................. 183,997 902,934 4,652 269,885
Transfers between funds ......................... 6,206,804 2,659,014 46,085 (587,973)
Redemptions ..................................... (2,096,466) (959,339) (265,561) (156,832)
Annuity benefits ................................ (2,837) (1,154) (799) (702)
Adjustments to maintain reserves ................ 1,565 154 136 55
------------- ------------- ------------- -------------
Net equity transactions .................... 4,293,063 2,601,609 (215,487) (475,567)
------------- ------------- ------------- -------------
NET CHANGE IN CONTRACT OWNERS' EQUITY ............. 4,199,911 3,814,929 (326,095) (270,082)
CONTRACT OWNERS' EQUITY BEGINNING OF PERIOD ....... 24,132,148 13,661,390 2,134,682 3,278,763
------------- ------------- ------------- -------------
CONTRACT OWNERS' EQUITY END OF PERIOD ............. $ 28,332,059 17,476,319 1,808,587 3,008,681
============= ============= ============= =============
</TABLE>
<TABLE>
<CAPTION>
DrySRGro DryStkIx
- ------------------------------ ------------------------------
2000 1999 2000 1999
- ------------- ------------- ------------- -------------
<S> < <C> <C> <C> <C>
INVESTMENT ACTIVITY:
Reinvested dividends ............................ $ 1,092 -- 295,002 294,197
Mortality, expense and administration
charges (note 2) ............................. (51,400) (52,362) (449,761) (393,199)
- ------------- ------------- ------------- -------------
Net investment activity ...................... (50,308) (52,362) (154,759) (99,002)
- ------------- ------------- ------------- -------------
Proceeds from mutual fund shares sold ........... 2,347,713 1,720,685 34,645,918 23,219,799
- ------------- ------------- ------------- -------------
Cost of mutual fund shares sold ................. (1,970,573) (1,565,692) (32,066,548) (20,449,023)
Realized gain (loss) on investments .......... 377,140 154,993 2,579,370 2,770,776
Change in unrealized gain (loss) on investments . (229,768) 667,057 (3,697,409) 2,516,697
- ------------- ------------- ------------- -------------
Net gain (loss) on investments ............... 147,372 822,050 (1,118,039) 5,287,473
- ------------- ------------- ------------- -------------
Reinvested capital gains ........................ -- -- 72,276 226,425
- ------------- ------------- ------------- -------------
Net increase (decrease) in contract owners'
- ------------- ------------- ------------- -------------
equity resulting from operations ........ 97,064 769,688 (1,200,522) 5,414,896
- ------------- ------------- ------------- -------------
EQUITY TRANSACTIONS:
Purchase payments received from
contract owners .............................. 77,183 547,064 399,119 5,315,897
Transfers between funds ......................... 384,292 2,550,141 10,283,122 (2,983,961)
Redemptions ..................................... (1,159,196) (714,019) (11,062,850) (3,927,569)
Annuity benefits ................................ -- -- -- --
Adjustments to maintain reserves ................ 177 79 1,653 633
- ------------- ------------- ------------- -------------
Net equity transactions .................... (697,544) 2,383,265 (378,956) (1,595,000)
- ------------- ------------- ------------- -------------
NET CHANGE IN CONTRACT OWNERS' EQUITY ............. (600,480) 3,152,953 (1,579,478) 3,819,896
CONTRACT OWNERS' EQUITY BEGINNING OF PERIOD ....... 7,547,914 5,450,670 60,903,502 54,094,842
- ------------- ------------- ------------- -------------
CONTRACT OWNERS' EQUITY END OF PERIOD ............. $ 6,947,434 8,603,623 59,324,024 57,914,738
= ============= ============= ============= =============
</TABLE>
8
<PAGE> 9
NATIONWIDE VA SEPARATE ACCOUNT-B
STATEMENTS OF CHANGES IN
CONTRACT OWNERS' EQUITY, CONTINUED
STATEMENTS OF OPERATIONS, CONTINUED
SIX MONTH PERIODS ENDED JUNE 30, 2000 AND 1999
(UNAUDITED)
<TABLE>
<CAPTION>
DryEuroEq DryCapAp
-------------------------- --------------------------
2000 1999 2000 1999
----------- ----------- ----------- -----------
<S> <C> <C> <C> <C>
INVESTMENT ACTIVITY:
Reinvested dividends ............................ $ -- -- 219 286
Mortality, expense and administration
charges (note 2) ............................. (72) -- (32,126) (58,235)
----------- ----------- ----------- -----------
Net investment activity ...................... (72) -- (31,907) (57,949)
----------- ----------- ----------- -----------
Proceeds from mutual fund shares sold ........... 280,777 -- 2,191,931 10,656,133
----------- ----------- ----------- -----------
Cost of mutual fund shares sold ................. (279,985) -- (2,225,237) (9,884,455)
Realized gain (loss) on investments .......... 792 -- (33,306) 771,678
Change in unrealized gain (loss) on investments . 655 -- 109,493 (290,587)
----------- ----------- ----------- -----------
Net gain (loss) on investments ............... 1,447 -- 76,187 481,091
----------- ----------- ----------- -----------
Reinvested capital gains ........................ -- -- -- --
----------- ----------- ----------- -----------
Net increase (decrease) in contract owners'
equity resulting from operations ........ 1,375 -- 44,280 423,142
----------- ----------- ----------- -----------
EQUITY TRANSACTIONS:
Purchase payments received from
contract owners .............................. -- -- 26,669 719,481
Transfers between funds ......................... 61,132 -- (650,320) 2,404,106
Redemptions ..................................... (32,563) -- (440,094) (1,583,202)
Annuity benefits ................................ -- -- -- --
Adjustments to maintain reserves ................ 374 -- 119 11
----------- ----------- ----------- -----------
Net equity transactions .................... 28,943 -- (1,063,626) 1,540,396
----------- ----------- ----------- -----------
NET CHANGE IN CONTRACT OWNERS' EQUITY ............. 30,318 -- (1,019,346) 1,963,538
CONTRACT OWNERS' EQUITY BEGINNING OF PERIOD ....... -- -- 5,180,562 4,879,906
----------- ----------- ----------- -----------
CONTRACT OWNERS' EQUITY END OF PERIOD ............. $ 30,318 -- 4,161,216 6,843,444
=========== =========== =========== ===========
</TABLE>
<TABLE>
<CAPTION>
DryGrInc FidVIPEI
-------------------------- --------------------------
2000 1999 2000 1999
----------- ----------- ----------- -----------
<S> <C> <C> <C> <C>
INVESTMENT ACTIVITY:
Reinvested dividends ............................ 10,850 14,704 538,980 718,655
Mortality, expense and administration
charges (note 2) ............................. (28,346) (24,526) (199,611) (348,799)
----------- ----------- ----------- -----------
Net investment activity ...................... (17,496) (9,822) 339,369 369,856
----------- ----------- ----------- -----------
Proceeds from mutual fund shares sold ........... 773,124 696,865 19,914,955 26,076,211
----------- ----------- ----------- -----------
Cost of mutual fund shares sold ................. (652,003) (669,967) (23,076,984) (25,097,610)
Realized gain (loss) on investments .......... 121,121 26,898 (3,162,029) 978,601
Change in unrealized gain (loss) on investments . (153,106) 311,627 (545,586) 1,978,323
----------- ----------- ----------- -----------
Net gain (loss) on investments ............... (31,985) 338,525 (3,707,615) 2,956,924
----------- ----------- ----------- -----------
Reinvested capital gains ........................ 915 -- 2,030,575 1,588,606
----------- ----------- ----------- -----------
Net increase (decrease) in contract owners'
equity resulting from operations ........ (48,566) 328,703 (1,337,671) 4,915,386
----------- ----------- ----------- -----------
EQUITY TRANSACTIONS:
Purchase payments received from
contract owners .............................. 8,542 183,516 249,084 2,245,324
Transfers between funds ......................... 603,184 (108,972) (5,773,184) (8,293,751)
Redemptions ..................................... (346,058) (234,252) (2,794,354) (2,684,313)
Annuity benefits ................................ -- -- (1,391) (1,489)
Adjustments to maintain reserves ................ 109 29 581 470
----------- ----------- ----------- -----------
Net equity transactions .................... 265,777 (159,679) (8,319,264) (8,733,759)
----------- ----------- ----------- -----------
NET CHANGE IN CONTRACT OWNERS' EQUITY ............. 217,211 169,024 (9,656,935) (3,818,373)
CONTRACT OWNERS' EQUITY BEGINNING OF PERIOD ....... 3,879,271 3,454,067 33,477,720 49,039,213
----------- ----------- ----------- -----------
CONTRACT OWNERS' EQUITY END OF PERIOD ............. 4,096,482 3,623,091 23,820,785 45,220,840
=========== =========== =========== ===========
</TABLE>
(Continued)
9
<PAGE> 10
NATIONWIDE VA SEPARATE ACCOUNT-B
STATEMENTS OF CHANGES IN
CONTRACT OWNERS' EQUITY, CONTINUED
STATEMENTS OF OPERATIONS, CONTINUED
SIX MONTH PERIODS ENDED JUNE 30, 2000 AND 1999
(UNAUDITED)
<TABLE>
<CAPTION>
FidVIPGr FidVIPHI
---------------------------- ----------------------------
2000 1999 2000 1999
------------ ------------ ------------ ------------
<S> <C> <C> <C> <C>
INVESTMENT ACTIVITY:
Reinvested dividends ............................ $ 62,410 62,752 1,788,472 3,049,368
Mortality, expense and administration
charges (note 2) ............................. (382,757) (254,785) (165,999) (226,953)
------------ ------------ ------------ ------------
Net investment activity ...................... (320,347) (192,033) 1,622,473 2,822,415
------------ ------------ ------------ ------------
Proceeds from mutual fund shares sold ........... 34,597,792 27,338,277 19,233,790 28,163,035
------------ ------------ ------------ ------------
Cost of mutual fund shares sold ................. (31,813,011) (24,546,188) (20,843,274) (30,075,512)
Realized gain (loss) on investments .......... 2,784,781 2,792,089 (1,609,484) (1,912,477)
Change in unrealized gain (loss) on investments . (6,762,936) (2,445,544) (1,356,262) 1,272,527
------------ ------------ ------------ ------------
Net gain (loss) on investments ............... (3,978,155) 346,545 (2,965,746) (639,950)
------------ ------------ ------------ ------------
Reinvested capital gains ........................ 6,209,756 3,945,522 -- 113,995
------------ ------------ ------------ ------------
Net increase (decrease) in contract owners'
------------ ------------ ------------ ------------
equity resulting from operations ........ 1,911,254 4,100,034 (1,343,273) 2,296,460
------------ ------------ ------------ ------------
EQUITY TRANSACTIONS:
Purchase payments received from
contract owners .............................. 297,722 2,930,869 159,342 1,583,663
Transfers between funds ......................... 12,208,590 4,003,999 (5,006,485) (2,559,839)
Redemptions ..................................... (7,268,809) (2,703,742) (2,253,663) (1,752,475)
Annuity benefits ................................ (3,015) (1,725) -- --
Adjustments to maintain reserves ................ 20,342 421 429 132
------------ ------------ ------------ ------------
Net equity transactions .................... 5,254,830 4,229,822 (7,100,377) (2,728,519)
------------ ------------ ------------ ------------
NET CHANGE IN CONTRACT OWNERS' EQUITY ............. 7,166,084 8,329,856 (8,443,650) (432,059)
CONTRACT OWNERS' EQUITY BEGINNING OF PERIOD ....... 45,217,406 31,053,591 29,037,140 31,958,042
------------ ------------ ------------ ------------
CONTRACT OWNERS' EQUITY END OF PERIOD ............. $ 52,383,490 39,383,447 20,593,490 31,525,983
============ ============ ============ ============
</TABLE>
<TABLE>
<CAPTION>
FidVIPOv FidVIPAM
---------------------------- ----------------------------
2000 1999 2000 1999
------------ ------------ ------------ ------------
<S> <C> <C> <C> <C>
INVESTMENT ACTIVITY:
Reinvested dividends ............................ 165,188 82,634 371,852 365,259
Mortality, expense and administration
charges (note 2) ............................. (75,196) (50,407) (81,077) (84,042)
------------ ------------ ------------ ------------
Net investment activity ...................... 89,992 32,227 290,775 281,217
------------ ------------ ------------ ------------
Proceeds from mutual fund shares sold ........... 125,545,695 75,980,761 1,692,280 2,169,940
------------ ------------ ------------ ------------
Cost of mutual fund shares sold ................. (125,704,914) (75,103,454) (1,715,154) (2,160,665)
Realized gain (loss) on investments .......... (159,219) 877,307 (22,874) 9,275
Change in unrealized gain (loss) on investments . (553,272) 17,403 (1,322,604) (244,869)
------------ ------------ ------------ ------------
Net gain (loss) on investments ............... (712,491) 894,710 (1,345,478) (235,594)
------------ ------------ ------------ ------------
Reinvested capital gains ........................ 1,040,239 133,280 876,057 462,661
------------ ------------ ------------ ------------
Net increase (decrease) in contract owners'
------------ ------------ ------------ ------------
equity resulting from operations ........ 417,740 1,060,217 (178,646) 508,284
------------ ------------ ------------ ------------
EQUITY TRANSACTIONS:
Purchase payments received from
contract owners .............................. 87,802 333,138 73,919 1,382,618
Transfers between funds ......................... 5,880,139 1,339,615 (226,353) 2,083,474
Redemptions ..................................... (863,271) (290,763) (987,278) (964,854)
Annuity benefits ................................ -- -- -- --
Adjustments to maintain reserves ................ 131 80 352 80
------------ ------------ ------------ ------------
Net equity transactions .................... 5,104,801 1,382,070 (1,139,360) 2,501,318
------------ ------------ ------------ ------------
NET CHANGE IN CONTRACT OWNERS' EQUITY ............. 5,522,541 2,442,287 (1,318,006) 3,009,602
CONTRACT OWNERS' EQUITY BEGINNING OF PERIOD ....... 8,145,923 5,686,000 12,050,395 9,622,689
------------ ------------ ------------ ------------
CONTRACT OWNERS' EQUITY END OF PERIOD ............. 13,668,464 8,128,287 10,732,389 12,632,291
============ ============ ============ ============
</TABLE>
10
<PAGE> 11
NATIONWIDE VA SEPARATE ACCOUNT-B
STATEMENTS OF CHANGES IN
CONTRACT OWNERS' EQUITY, CONTINUED
STATEMENTS OF OPERATIONS, CONTINUED
SIX MONTH PERIODS ENDED JUNE 30, 2000 AND 1999
(UNAUDITED)
<TABLE>
<CAPTION>
FidVIPCon FidVIPGrOp
---------------------------- ----------------------------
2000 1999 2000 1999
------------ ------------ ------------ ------------
<S> <C> <C> <C> <C>
INVESTMENT ACTIVITY:
Reinvested dividends ............................ $ 120,841 193,521 352,364 219,859
Mortality, expense and administration
charges (note 2) ............................. (241,823) (274,748) (162,030) (175,380)
------------ ------------ ------------ ------------
Net investment activity ...................... (120,982) (81,227) 190,334 44,479
------------ ------------ ------------ ------------
Proceeds from mutual fund shares sold ........... 7,039,251 21,766,452 22,708,989 16,463,266
------------ ------------ ------------ ------------
Cost of mutual fund shares sold ................. (6,945,226) (18,613,138) (24,955,487) (14,251,955)
Realized gain (loss) on investments .......... 94,025 3,153,314 (2,246,498) 2,211,311
Change in unrealized gain (loss) on investments . (5,163,654) (790,330) (1,213,431) (1,161,221)
------------ ------------ ------------ ------------
Net gain (loss) on investments ............... (5,069,629) 2,362,984 (3,459,929) 1,050,090
------------ ------------ ------------ ------------
Reinvested capital gains ........................ 4,386,537 1,419,156 1,786,988 411,041
------------ ------------ ------------ ------------
Net increase (decrease) in contract owners'
equity resulting from operations ........ (804,074) 3,700,913 (1,482,607) 1,505,610
------------ ------------ ------------ ------------
EQUITY TRANSACTIONS:
Purchase payments received from
contract owners .............................. 184,116 2,037,947 9,608 736,560
Transfers between funds ......................... 1,483,800 (5,967,067) 5,890,888 (703,038)
Redemptions ..................................... (5,121,876) (2,799,711) (1,993,139) (1,335,448)
Annuity benefits ................................ (486) -- -- --
Adjustments to maintain reserves ................ 20,289 391 3,893 189
------------ ------------ ------------ ------------
Net equity transactions .................... (3,434,157) (6,728,440) 3,911,250 (1,301,737)
------------ ------------ ------------ ------------
NET CHANGE IN CONTRACT OWNERS' EQUITY ............. (4,238,231) (3,027,527) 2,428,643 203,873
CONTRACT OWNERS' EQUITY BEGINNING OF PERIOD ....... 34,196,758 38,126,162 20,543,079 21,511,059
------------ ------------ ------------ ------------
CONTRACT OWNERS' EQUITY END OF PERIOD ............. $ 29,958,527 35,098,635 22,971,722 21,714,932
============ ============ ============ ============
</TABLE>
<TABLE>
<CAPTION>
JanCapAp JanGlTech
---------------------------- ----------------------------
2000 1999 2000 1999
------------ ------------ ------------ ------------
<S> <C> <C> <C> <C>
INVESTMENT ACTIVITY:
Reinvested dividends ............................ 318 -- -- --
Mortality, expense and administration
charges (note 2) ............................. (1,153) -- (683) --
------------ ------------ ------------ ------------
Net investment activity ...................... (835) -- (683) --
------------ ------------ ------------ ------------
Proceeds from mutual fund shares sold ........... 88,904 -- 14,401 --
------------ ------------ ------------ ------------
Cost of mutual fund shares sold ................. (90,142) -- (14,775) --
Realized gain (loss) on investments .......... (1,238) -- (374) --
Change in unrealized gain (loss) on investments . 1,194 -- 14,335 --
------------ ------------ ------------ ------------
Net gain (loss) on investments ............... (44) -- 13,961 --
------------ ------------ ------------ ------------
Reinvested capital gains ........................ -- -- -- --
------------ ------------ ------------ ------------
Net increase (decrease) in contract owners'
equity resulting from operations ........ (879) -- 13,278 --
------------ ------------ ------------ ------------
EQUITY TRANSACTIONS:
Purchase payments received from
contract owners .............................. 5,875 -- 12 --
Transfers between funds ......................... 824,086 -- 589,509 --
Redemptions ..................................... (31,684) -- (947) --
Annuity benefits ................................ -- -- -- --
Adjustments to maintain reserves ................ (430) -- (241) --
------------ ------------ ------------ ------------
Net equity transactions .................... 797,847 -- 588,333 --
------------ ------------ ------------ ------------
NET CHANGE IN CONTRACT OWNERS' EQUITY ............. 796,968 -- 601,611 --
CONTRACT OWNERS' EQUITY BEGINNING OF PERIOD ....... -- -- -- --
------------ ------------ ------------ ------------
CONTRACT OWNERS' EQUITY END OF PERIOD ............. 796,968 -- 601,611 --
============ ============ ============ ============
</TABLE>
(Continued)
11
<PAGE> 12
NATIONWIDE VA SEPARATE ACCOUNT-B
STATEMENTS OF CHANGES IN
CONTRACT OWNERS' EQUITY, CONTINUED
STATEMENTS OF OPERATIONS, CONTINUED
SIX MONTH PERIODS ENDED JUNE 30, 2000 AND 1999
(UNAUDITED)
<TABLE>
<CAPTION>
JanIntGro MSEm,Mkt
-------------------------- --------------------------
2000 1999 2000 1999
----------- ----------- ----------- -----------
<S> <C> <C> <C> <C>
INVESTMENT ACTIVITY:
Reinvested dividends ............................ $ -- -- -- --
Mortality, expense and administration
charges (note 2) ............................. (2,066) -- (3,168) (2,664)
----------- ----------- ----------- -----------
Net investment activity ...................... (2,066) -- (3,168) (2,664)
----------- ----------- ----------- -----------
Proceeds from mutual fund shares sold ........... 352,518 -- 6,438,262 1,498,934
Cost of mutual fund shares sold ................. (343,834) -- (6,447,128) (1,489,391)
Realized gain (loss) on investments .......... 8,684 -- (8,866) 9,543
Change in unrealized gain (loss) on investments . 30,482 -- 5,766 17,248
Net gain (loss) on investments ............... 39,166 -- (3,100) 26,791
----------- ----------- ----------- -----------
Reinvested capital gains ........................ -- -- -- --
----------- ----------- ----------- -----------
Net increase (decrease) in contract owners'
----------- ----------- ----------- -----------
equity resulting from operations ........ 37,100 -- (6,268) 24,127
----------- ----------- ----------- -----------
EQUITY TRANSACTIONS:
Purchase payments received from
contract owners .............................. 2,222 -- 6,317 37,705
Transfers between funds ......................... 1,701,956 -- 322,605 (167,405)
Redemptions ..................................... (266,521) -- (211,651) (50,111)
Annuity benefits ................................ -- -- -- --
Adjustments to maintain reserves ................ (655) -- 9 4
----------- ----------- ----------- -----------
Net equity transactions .................... 1,437,002 -- 117,280 (179,807)
----------- ----------- ----------- -----------
NET CHANGE IN CONTRACT OWNERS' EQUITY ............. 1,474,102 -- 111,012 (155,680)
CONTRACT OWNERS' EQUITY BEGINNING OF PERIOD ....... -- -- 192,751 338,131
----------- ----------- ----------- -----------
CONTRACT OWNERS' EQUITY END OF PERIOD ............. $ 1,474,102 -- 303,763 182,451
=========== =========== =========== ===========
</TABLE>
<TABLE>
<CAPTION>
NSATCapAp NSATGvtBd
-------------------------- --------------------------
2000 1999 2000 1999
----------- ----------- ----------- -----------
<S> <C> <C> <C> <C>
INVESTMENT ACTIVITY:
Reinvested dividends ............................ 21,113 75,512 397,135 427,607
Mortality, expense and administration
charges (note 2) ............................. (87,404) (216,960) (97,955) (113,831)
----------- ----------- ----------- -----------
Net investment activity ...................... (66,291) (141,448) 299,180 313,776
----------- ----------- ----------- -----------
Proceeds from mutual fund shares sold ........... 7,050,069 18,276,339 8,302,992 7,083,397
Cost of mutual fund shares sold ................. (8,210,509) (16,029,925) (8,897,517) (7,308,997)
Realized gain (loss) on investments .......... (1,160,440) 2,246,414 (594,525) (225,600)
Change in unrealized gain (loss) on investments . 1,068,970 1,176,291 725,536 (512,376)
Net gain (loss) on investments ............... (91,470) 3,422,705 131,011 (737,976)
----------- ----------- ----------- -----------
Reinvested capital gains ........................ -- -- -- --
----------- ----------- ----------- -----------
Net increase (decrease) in contract owners'
----------- ----------- ----------- -----------
equity resulting from operations ........ (157,761) 3,281,257 430,191 (424,200)
----------- ----------- ----------- -----------
EQUITY TRANSACTIONS:
Purchase payments received from
contract owners .............................. 152,082 2,215,491 45,473 1,521,766
Transfers between funds ......................... (1,582,061) (4,785,700) (3,018,119) 1,319,667
Redemptions ..................................... (1,352,264) (2,746,087) (901,955) (1,151,013)
Annuity benefits ................................ -- -- -- --
Adjustments to maintain reserves ................ 251 206 284 (33)
----------- ----------- ----------- -----------
Net equity transactions .................... (2,781,992) (5,316,090) (3,874,317) 1,690,387
----------- ----------- ----------- -----------
NET CHANGE IN CONTRACT OWNERS' EQUITY ............. (2,939,753) (2,034,833) (3,444,126) 1,266,187
CONTRACT OWNERS' EQUITY BEGINNING OF PERIOD ....... 14,543,584 29,628,162 15,566,559 15,073,995
----------- ----------- ----------- -----------
CONTRACT OWNERS' EQUITY END OF PERIOD ............. 11,603,831 27,593,329 12,122,433 16,340,182
=========== =========== =========== ===========
</TABLE>
12
<PAGE> 13
NATIONWIDE VA SEPARATE ACCOUNT-B
STATEMENTS OF CHANGES IN
CONTRACT OWNERS' EQUITY, CONTINUED
STATEMENTS OF OPERATIONS, CONTINUED
SIX MONTH PERIODS ENDED JUNE 30, 2000 AND 1999
(UNAUDITED)
<TABLE>
<CAPTION>
NSATMidCap NSATMyMkt
---------------------------- ----------------------------
2000 1999 2000 1999
------------ ------------ ------------ ------------
<S> <C> <C> <C> <C>
INVESTMENT ACTIVITY:
Reinvested dividends ............................ $ 8 -- 1,702,687 1,550,479
Mortality, expense and administration
charges (note 2) ............................. (3) -- (449,116) (502,637)
------------ ------------ ------------ ------------
Net investment activity ...................... 5 -- 1,253,571 1,047,842
------------ ------------ ------------ ------------
Proceeds from mutual fund shares sold ........... 2 -- 552,180,997 310,430,223
------------ ------------ ------------ ------------
Cost of mutual fund shares sold ................. (2) -- (552,180,997) (310,430,223)
Realized gain (loss) on investments .......... -- -- -- --
Change in unrealized gain (loss) on investments . (150) -- -- --
------------ ------------ ------------ ------------
Net gain (loss) on investments ............... (150) -- -- --
------------ ------------ ------------ ------------
Reinvested capital gains ........................ -- -- -- --
------------ ------------ ------------ ------------
Net increase (decrease) in contract owners'
equity resulting from operations ........ (145) -- 1,253,571 1,047,842
------------ ------------ ------------ ------------
EQUITY TRANSACTIONS:
Purchase payments received from
contract owners .............................. -- -- 4,251,834 31,822,044
Transfers between funds ......................... 6,603 -- (55,242,114) 18,751,847
Redemptions ..................................... -- -- (9,162,896) (20,106,106)
Annuity benefits ................................ -- -- -- --
Adjustments to maintain reserves ................ -- -- 890 16,623
------------ ------------ ------------ ------------
Net equity transactions .................... 6,603 -- (60,152,286) 30,484,408
------------ ------------ ------------ ------------
NET CHANGE IN CONTRACT OWNERS' EQUITY ............. 6,458 -- (58,898,715) 31,532,250
CONTRACT OWNERS' EQUITY BEGINNING OF PERIOD ....... -- -- 96,627,605 51,148,025
------------ ------------ ------------ ------------
CONTRACT OWNERS' EQUITY END OF PERIOD ............. $ 6,458 -- 37,728,890 82,680,275
============ ============ ============ ============
</TABLE>
<TABLE>
<CAPTION>
NSATMSectBd NSATSmCapG
---------------------------- ----------------------------
2000 1999 2000 1999
------------ ------------ ------------ ------------
<S> <C> <C> <C> <C>
INVESTMENT ACTIVITY:
Reinvested dividends ............................ 9,064 -- -- --
Mortality, expense and administration
charges (note 2) ............................. (770) -- (31) --
------------ ------------ ------------ ------------
Net investment activity ...................... 8,294 -- (31) --
------------ ------------ ------------ ------------
Proceeds from mutual fund shares sold ........... 1,217,580 -- 7,271 --
------------ ------------ ------------ ------------
Cost of mutual fund shares sold ................. (1,209,491) -- (6,991) --
Realized gain (loss) on investments .......... 8,089 -- 280 --
Change in unrealized gain (loss) on investments . (821) -- 1,900 --
------------ ------------ ------------ ------------
Net gain (loss) on investments ............... 7,268 -- 2,180 --
------------ ------------ ------------ ------------
Reinvested capital gains ........................ -- -- -- --
------------ ------------ ------------ ------------
Net increase (decrease) in contract owners'
equity resulting from operations ........ 15,562 -- 2,149 --
------------ ------------ ------------ ------------
EQUITY TRANSACTIONS:
Purchase payments received from
contract owners .............................. 1 -- 1,886 --
Transfers between funds ......................... 617,429 -- 14,839 --
Redemptions ..................................... (2,420) -- -- --
Annuity benefits ................................ -- -- -- --
Adjustments to maintain reserves ................ (787) -- -- --
------------ ------------ ------------ ------------
Net equity transactions .................... 614,223 -- 16,725 --
------------ ------------ ------------ ------------
NET CHANGE IN CONTRACT OWNERS' EQUITY ............. 629,785 -- 18,874 --
CONTRACT OWNERS' EQUITY BEGINNING OF PERIOD ....... -- -- -- --
------------ ------------ ------------ ------------
CONTRACT OWNERS' EQUITY END OF PERIOD ............. 629,785 -- 18,874 --
============ ============ ============ ============
</TABLE>
(Continued)
13
<PAGE> 14
NATIONWIDE VA SEPARATE ACCOUNT-B
STATEMENTS OF CHANGES IN
CONTRACT OWNERS' EQUITY, CONTINUED
STATEMENTS OF OPERATIONS, CONTINUED
SIX MONTH PERIODS ENDED JUNE 30, 2000 AND 1999
(UNAUDITED)
<TABLE>
<CAPTION>
NSATSmCapV NSATSmCo
-------------------------- --------------------------
2000 1999 2000 1999
----------- ----------- ----------- -----------
<S> <C> <C> <C> <C>
INVESTMENT ACTIVITY:
Reinvested dividends ............................ $ -- -- 2,990 --
Mortality, expense and administration
charges (note 2) ............................. (13,181) (8,447) (94,293) (64,031)
----------- ----------- ----------- -----------
Net investment activity ...................... (13,181) (8,447) (91,303) (64,031)
----------- ----------- ----------- -----------
Proceeds from mutual fund shares sold ........... 6,494,663 10,922,184 14,355,721 13,492,734
----------- ----------- ----------- -----------
Cost of mutual fund shares sold ................. (6,385,925) (10,661,838) (11,204,756) (12,547,974)
Realized gain (loss) on investments .......... 108,738 260,346 3,150,965 944,760
Change in unrealized gain (loss) on investments . 42,955 165,584 (2,112,338) (263,334)
----------- ----------- ----------- -----------
Net gain (loss) on investments ............... 151,693 425,930 1,038,627 681,426
----------- ----------- ----------- -----------
Reinvested capital gains ........................ -- 21,718 -- --
----------- ----------- ----------- -----------
Net increase (decrease) in contract owners'
equity resulting from operations ........ 138,512 439,201 947,324 617,395
----------- ----------- ----------- -----------
EQUITY TRANSACTIONS:
Purchase payments received from
contract owners .............................. 4,514 58,299 109,775 359,438
Transfers between funds ......................... 461,352 2,159,966 831,818 670,022
Redemptions ..................................... (465,670) (44,063) (1,256,287) (577,814)
Annuity benefits ................................ -- -- (2,166) (756)
Adjustments to maintain reserves ................ 39 27 (8) 75
----------- ----------- ----------- -----------
Net equity transactions .................... 235 2,174,229 (316,868) 450,965
----------- ----------- ----------- -----------
NET CHANGE IN CONTRACT OWNERS' EQUITY ............. 138,747 2,613,430 630,456 1,068,360
CONTRACT OWNERS' EQUITY BEGINNING OF PERIOD ....... 1,524,070 496,578 11,567,239 8,771,862
----------- ----------- ----------- -----------
CONTRACT OWNERS' EQUITY END OF PERIOD ............. $ 1,662,817 3,110,008 12,197,695 9,840,222
=========== =========== =========== ===========
</TABLE>
<TABLE>
<CAPTION>
NSATStrGro NSATTotRe
-------------------------- --------------------------
2000 1999 2000 1999
----------- ----------- ----------- -----------
<S> <C> <C> <C> <C>
INVESTMENT ACTIVITY:
Reinvested dividends ............................ -- -- 29,851 55,279
Mortality, expense and administration
charges (note 2) ............................. (191) -- (84,674) (98,881)
----------- ----------- ----------- -----------
Net investment activity ...................... (191) -- (54,823) (43,602)
----------- ----------- ----------- -----------
Proceeds from mutual fund shares sold ........... 25,452 -- 12,020,487 9,105,845
----------- ----------- ----------- -----------
Cost of mutual fund shares sold ................. (24,342) -- (12,306,642) (8,250,525)
Realized gain (loss) on investments .......... 1,110 -- (286,155) 855,320
Change in unrealized gain (loss) on investments . 5,397 -- 539,525 445,164
----------- ----------- ----------- -----------
Net gain (loss) on investments ............... 6,507 -- 253,370 1,300,484
----------- ----------- ----------- -----------
Reinvested capital gains ........................ -- -- -- 6,561
----------- ----------- ----------- -----------
Net increase (decrease) in contract owners'
equity resulting from operations ........ 6,316 -- 198,547 1,263,443
----------- ----------- ----------- -----------
EQUITY TRANSACTIONS:
Purchase payments received from
contract owners .............................. 1,932 -- 21,326 1,235,850
Transfers between funds ......................... 127,692 -- (1,380,144) (714,034)
Redemptions ..................................... (310) -- (1,531,578) (1,054,346)
Annuity benefits ................................ -- -- -- --
Adjustments to maintain reserves ................ 1 -- 297 116
----------- ----------- ----------- -----------
Net equity transactions .................... 129,315 -- (2,890,099) (532,414)
----------- ----------- ----------- -----------
NET CHANGE IN CONTRACT OWNERS' EQUITY ............. 135,631 -- (2,691,552) 731,029
CONTRACT OWNERS' EQUITY BEGINNING OF PERIOD ....... -- -- 14,126,186 13,194,413
----------- ----------- ----------- -----------
CONTRACT OWNERS' EQUITY END OF PERIOD ............. 135,631 -- 11,434,634 13,925,442
=========== =========== =========== ===========
</TABLE>
14
<PAGE> 15
NATIONWIDE VA SEPARATE ACCOUNT-B
STATEMENTS OF CHANGES IN
CONTRACT OWNERS' EQUITY, CONTINUED
STATEMENTS OF OPERATIONS, CONTINUED
SIX MONTH PERIODS ENDED JUNE 30, 2000 AND 1999
(UNAUDITED)
<TABLE>
<CAPTION>
NBAMTGro NBAMTGuard
---------------------------- ----------------------------
2000 1999 2000 1999
------------ ------------ ------------ ------------
<S> <C> <C> <C> <C>
INVESTMENT ACTIVITY:
Reinvested dividends ............................ $ -- -- 9,101 2,390
Mortality, expense and administration
charges (note 2) ............................. (71,392) (15,483) (5,901) (6,066)
------------ ------------ ------------ ------------
Net investment activity ...................... (71,392) (15,483) 3,200 (3,676)
------------ ------------ ------------ ------------
Proceeds from mutual fund shares sold ........... 7,305,054 2,624,715 2,941,597 961,804
------------ ------------ ------------ ------------
Cost of mutual fund shares sold ................. (6,341,409) (2,471,064) (2,915,731) (860,129)
Realized gain (loss) on investments .......... 963,645 153,651 25,866 101,675
Change in unrealized gain (loss) on investments . (844,501) (275,288) (40,773) 20,293
------------ ------------ ------------ ------------
Net gain (loss) on investments ............... 119,144 (121,637) (14,907) 121,968
------------ ------------ ------------ ------------
Reinvested capital gains ........................ 785,729 102,839 -- --
------------ ------------ ------------ ------------
Net increase (decrease) in contract owners'
equity resulting from operations ........ 833,481 (34,281) (11,707) 118,292
------------ ------------ ------------ ------------
EQUITY TRANSACTIONS:
Purchase payments received from
contract owners .............................. 68,094 99,708 4,571 53,569
Transfers between funds ......................... 5,160,619 (1,263,813) (1,095,260) 1,080,573
Redemptions ..................................... (1,041,764) (206,068) (125,082) (229,566)
Annuity benefits ................................ -- -- -- --
Adjustments to maintain reserves ................ 164 5 14 1
------------ ------------ ------------ ------------
Net equity transactions .................... 4,187,113 (1,370,168) (1,215,757) 904,577
------------ ------------ ------------ ------------
NET CHANGE IN CONTRACT OWNERS' EQUITY ............. 5,020,594 (1,404,449) (1,227,464) 1,022,869
CONTRACT OWNERS' EQUITY BEGINNING OF PERIOD ....... 6,856,877 3,260,519 1,735,967 691,579
------------ ------------ ------------ ------------
CONTRACT OWNERS' EQUITY END OF PERIOD ............. $ 11,877,471 1,856,070 508,503 1,714,448
============ ============ ============ ============
</TABLE>
<TABLE>
<CAPTION>
NBAMTLMat NBAMTPart
---------------------------- ----------------------------
2000 1999 2000 1999
------------ ------------ ------------ ------------
<S> <C> <C> <C> <C>
INVESTMENT ACTIVITY:
Reinvested dividends ............................ 336,354 473,933 90,079 291,657
Mortality, expense and administration
charges (note 2) ............................. (38,738) (59,433) (82,547) (144,182)
------------ ------------ ------------ ------------
Net investment activity ...................... 297,616 414,500 7,532 147,475
------------ ------------ ------------ ------------
Proceeds from mutual fund shares sold ........... 2,164,690 2,940,067 7,617,394 11,901,192
------------ ------------ ------------ ------------
Cost of mutual fund shares sold ................. (2,334,555) (3,098,462) (8,163,341) (11,678,285)
Realized gain (loss) on investments .......... (169,865) (158,395) (545,947) 222,907
Change in unrealized gain (loss) on investments . (52,091) (287,879) (1,588,480) 1,058,621
------------ ------------ ------------ ------------
Net gain (loss) on investments ............... (221,956) (446,274) (2,134,427) 1,281,528
------------ ------------ ------------ ------------
Reinvested capital gains ........................ -- -- 1,915,674 507,229
------------ ------------ ------------ ------------
Net increase (decrease) in contract owners'
equity resulting from operations ........ 75,660 (31,774) (211,221) 1,936,232
------------ ------------ ------------ ------------
EQUITY TRANSACTIONS:
Purchase payments received from
contract owners .............................. 51,190 696,882 57,541 934,857
Transfers between funds ......................... (330,890) (1,791,154) (1,720,014) (8,327,643)
Redemptions ..................................... (274,140) (934,285) (1,225,418) (1,156,760)
Annuity benefits ................................ -- -- (1,155) (769)
Adjustments to maintain reserves ................ 112 (3) 583 226
------------ ------------ ------------ ------------
Net equity transactions .................... (553,728) (2,028,560) (2,888,463) (8,550,089)
------------ ------------ ------------ ------------
NET CHANGE IN CONTRACT OWNERS' EQUITY ............. (478,068) (2,060,334) (3,099,684) (6,613,857)
CONTRACT OWNERS' EQUITY BEGINNING OF PERIOD ....... 5,540,661 8,908,547 13,031,999 24,609,788
------------ ------------ ------------ ------------
CONTRACT OWNERS' EQUITY END OF PERIOD ............. 5,062,593 6,848,213 9,932,315 17,995,931
============ ============ ============ ============
</TABLE>
(Continued)
15
<PAGE> 16
NATIONWIDE VA SEPARATE ACCOUNT-B
STATEMENTS OF CHANGES IN
CONTRACT OWNERS' EQUITY, CONTINUED
STATEMENTS OF OPERATIONS, CONTINUED
SIX MONTH PERIODS ENDED JUNE 30, 2000 AND 1999
(UNAUDITED)
<TABLE>
<CAPTION>
OppAggGro OppBdFd
-------------------------- --------------------------
2000 1999 2000 1999
----------- ----------- ----------- -----------
<S> <C> <C> <C>
INVESTMENT ACTIVITY:
Reinvested dividends ............................ $ -- -- 626,493 521,048
Mortality, expense and administration
charges (note 2) ............................. (895) -- (56,007) (76,940)
----------- ----------- ----------- -----------
Net investment activity ...................... (895) -- 570,486 444,108
----------- ----------- ----------- -----------
Proceeds from mutual fund shares sold ........... 2,796,062 -- 1,737,492 2,992,177
Cost of mutual fund shares sold ................. (2,694,109) -- (1,874,126) (3,048,525)
----------- ----------- ----------- -----------
Realized gain (loss) on investments .......... 101,953 -- (136,634) (56,348)
Change in unrealized gain (loss) on investments . 5,340 -- (354,643) (675,002)
----------- ----------- ----------- -----------
Net gain (loss) on investments ............... 107,293 -- (491,277) (731,350)
----------- ----------- ----------- -----------
Reinvested capital gains ........................ -- -- -- 50,039
----------- ----------- ----------- -----------
Net increase (decrease) in contract owners'
equity resulting from operations ........ 106,398 -- 79,209 (237,203)
----------- ----------- ----------- -----------
EQUITY TRANSACTIONS:
Purchase payments received from
contract owners .............................. 2,380 -- 41,591 664,733
Transfers between funds ......................... 576,747 -- (1,107,095) (977,695)
Redemptions ..................................... (37,356) -- (435,900) (878,526)
Annuity benefits ................................ -- -- -- --
Adjustments to maintain reserves ................ 10 -- 139 (25)
----------- ----------- ----------- -----------
Net equity transactions .................... 541,781 -- (1,501,265) (1,191,513)
----------- ----------- ----------- -----------
NET CHANGE IN CONTRACT OWNERS' EQUITY ............. 648,179 -- (1,422,056) (1,428,716)
CONTRACT OWNERS' EQUITY BEGINNING OF PERIOD ....... -- -- 8,493,656 10,724,612
----------- ----------- ----------- -----------
CONTRACT OWNERS' EQUITY END OF PERIOD ............. $ 648,179 -- 7,071,600 9,295,896
=========== =========== =========== ===========
</TABLE>
<TABLE>
<CAPTION>
OppGlSec OppGro
-------------------------- --------------------------
2000 1999 2000 1999
----------- ----------- ----------- -----------
<S> <C> <C> <C> <C>
INVESTMENT ACTIVITY:
Reinvested dividends ............................ 35,968 113,678 13,401 13,874
Mortality, expense and administration
charges (note 2) ............................. (97,132) (73,762) (121,738) (24,655)
----------- ----------- ----------- -----------
Net investment activity ...................... (61,164) 39,916 (108,337) (10,781)
----------- ----------- ----------- -----------
Proceeds from mutual fund shares sold ........... 49,109,583 2,970,797 12,684,998 497,846
Cost of mutual fund shares sold ................. (48,065,707) (2,828,513) (11,131,309) (434,599)
----------- ----------- ----------- -----------
Realized gain (loss) on investments .......... 1,043,876 142,284 1,553,689 63,247
Change in unrealized gain (loss) on investments . (1,400,823) 729,268 (1,296,340) 279,855
----------- ----------- ----------- -----------
Net gain (loss) on investments ............... (356,947) 871,552 257,349 343,102
----------- ----------- ----------- -----------
Reinvested capital gains ........................ 2,010,402 318,556 715,120 152,407
----------- ----------- ----------- -----------
Net increase (decrease) in contract owners'
equity resulting from operations ........ 1,592,291 1,230,024 864,132 484,728
----------- ----------- ----------- -----------
EQUITY TRANSACTIONS:
Purchase payments received from
contract owners .............................. 186,306 522,256 39,564 174,904
Transfers between funds ......................... 2,943,047 (340,800) 11,413,782 3,155,009
Redemptions ..................................... (1,222,603) (619,891) (2,371,723) (364,884)
Annuity benefits ................................ (2,885) (1,192) -- --
Adjustments to maintain reserves ................ 12 118 427 37
----------- ----------- ----------- -----------
Net equity transactions .................... 1,903,877 (439,509) 9,082,050 2,965,066
----------- ----------- ----------- -----------
NET CHANGE IN CONTRACT OWNERS' EQUITY ............. 3,496,168 790,515 9,946,182 3,449,794
CONTRACT OWNERS' EQUITY BEGINNING OF PERIOD ....... 10,845,594 9,946,491 10,111,617 1,405,954
----------- ----------- ----------- -----------
CONTRACT OWNERS' EQUITY END OF PERIOD ............. 14,341,762 10,737,006 20,057,799 4,855,748
=========== =========== =========== ===========
</TABLE>
16
<PAGE> 17
NATIONWIDE VA SEPARATE ACCOUNT-B
STATEMENTS OF CHANGES IN
CONTRACT OWNERS' EQUITY, CONTINUED
STATEMENTS OF OPERATIONS, CONTINUED
SIX MONTH PERIODS ENDED JUNE 30, 2000 AND 1999
(UNAUDITED)
<TABLE>
<CAPTION>
OppGroInc OppMult
-------------------------- --------------------------
2000 1999 2000 1999
----------- ----------- ----------- -----------
<S> <C> <C> <C> <C>
INVESTMENT ACTIVITY:
Reinvested dividends ............................ $ -- -- 233,244 165,810
Mortality, expense and administration
charges (note 2) ............................. (229) -- (36,931) (35,884)
----------- ----------- ----------- -----------
Net investment activity ...................... (229) -- 196,313 129,926
----------- ----------- ----------- -----------
Proceeds from mutual fund shares sold ........... 5,312 -- 936,931 863,451
Cost of mutual fund shares sold ................. (5,383) -- (944,881) (873,005)
----------- ----------- ----------- -----------
Realized gain (loss) on investments .......... (71) -- (7,950) (9,554)
Change in unrealized gain (loss) on investments . (677) -- (237,733) 1,319
----------- ----------- ----------- -----------
Net gain (loss) on investments ............... (748) -- (245,683) (8,235)
----------- ----------- ----------- -----------
Reinvested capital gains ........................ -- -- 338,764 239,845
----------- ----------- ----------- -----------
Net increase (decrease) in contract owners'
equity resulting from operations ........ (977) -- 289,394 361,536
----------- ----------- ----------- -----------
EQUITY TRANSACTIONS:
Purchase payments received from
contract owners .............................. -- -- 29,849 210,159
Transfers between funds ......................... 178,688 -- (40,485) (356,011)
Redemptions ..................................... -- -- (568,044) (143,204)
Annuity benefits ................................ -- -- -- --
Adjustments to maintain reserves ................ -- -- 120 24
----------- ----------- ----------- -----------
Net equity transactions .................... 178,688 -- (578,560) (289,032)
----------- ----------- ----------- -----------
NET CHANGE IN CONTRACT OWNERS' EQUITY ............. 177,711 -- (289,166) 72,504
CONTRACT OWNERS' EQUITY BEGINNING OF PERIOD ....... -- -- 5,270,225 4,950,413
----------- ----------- ----------- -----------
CONTRACT OWNERS' EQUITY END OF PERIOD ............. $ 177,711 -- 4,981,059 5,022,917
=========== =========== =========== ===========
</TABLE>
<TABLE>
<CAPTION>
StOpp2 StDisc2
-------------------------- --------------------------
2000 1999 2000 1999
----------- ----------- ----------- -----------
<S> <C> <C> <C> <C>
INVESTMENT ACTIVITY:
Reinvested dividends ............................ -- -- -- --
Mortality, expense and administration
charges (note 2) ............................. (80,053) (60,424) (7,734) (8,198)
----------- ----------- ----------- -----------
Net investment activity ...................... (80,053) (60,424) (7,734) (8,198)
----------- ----------- ----------- -----------
Proceeds from mutual fund shares sold ........... 6,754,253 3,809,954 430,829 844,049
Cost of mutual fund shares sold ................. (5,394,232) (3,778,753) (359,399) (973,570)
----------- ----------- ----------- -----------
Realized gain (loss) on investments .......... 1,360,021 31,201 71,430 (129,521)
Change in unrealized gain (loss) on investments . (957,160) 591,917 55,819 (100,076)
----------- ----------- ----------- -----------
Net gain (loss) on investments ............... 402,861 623,118 127,249 (229,597)
----------- ----------- ----------- -----------
Reinvested capital gains ........................ -- 835,183 -- 148,014
----------- ----------- ----------- -----------
Net increase (decrease) in contract owners'
equity resulting from operations ........ 322,808 1,397,877 119,515 (89,781)
----------- ----------- ----------- -----------
EQUITY TRANSACTIONS:
Purchase payments received from
contract owners .............................. 51,742 327,444 7,219 50,166
Transfers between funds ......................... 488,855 (2,019,444) (98,856) (12,389)
Redemptions ..................................... (686,545) (406,313) (127,803) (72,924)
Annuity benefits ................................ -- -- -- --
Adjustments to maintain reserves ................ 236 142 20 5
----------- ----------- ----------- -----------
Net equity transactions .................... (145,712) (2,098,171) (219,420) (35,142)
----------- ----------- ----------- -----------
NET CHANGE IN CONTRACT OWNERS' EQUITY ............. 177,096 (700,294) (99,905) (124,923)
CONTRACT OWNERS' EQUITY BEGINNING OF PERIOD ....... 10,919,497 9,715,041 1,161,674 1,138,651
----------- ----------- ----------- -----------
CONTRACT OWNERS' EQUITY END OF PERIOD ............. 11,096,593 9,014,747 1,061,769 1,013,728
=========== =========== =========== ===========
</TABLE>
(Continued)
17
<PAGE> 18
NATIONWIDE VA SEPARATE ACCOUNT-B
STATEMENTS OF CHANGES IN
CONTRACT OWNERS' EQUITY, CONTINUED
STATEMENTS OF OPERATIONS, CONTINUED
SIX MONTH PERIODS ENDED JUNE 30, 2000 AND 1999
(UNAUDITED)
<TABLE>
<CAPTION>
StIntStk2 VEWrldBd
---------------------------- ----------------------------
2000 1999 2000 1999
------------ ------------ ------------ ------------
<S> <C> <C> <C> <C>
INVESTMENT ACTIVITY:
Reinvested dividends ............................ $ -- 5,672 74,475 81,369
Mortality, expense and administration
charges (note 2) ............................. (14,889) (8,845) (10,029) (13,941)
------------ ------------ ------------ ------------
Net investment activity ...................... (14,889) (3,173) 64,446 67,428
------------ ------------ ------------ ------------
Proceeds from mutual fund shares sold ........... 18,907,173 1,988,976 1,199,269 720,415
Cost of mutual fund shares sold ................. (18,251,004) (2,032,955) (1,332,313) (740,645)
------------ ------------ ------------ ------------
Realized gain (loss) on investments .......... 656,169 (43,979) (133,044) (20,230)
Change in unrealized gain (loss) on investments . (575,001) 153,272 44,333 (240,408)
------------ ------------ ------------ ------------
Net gain (loss) on investments ............... 81,168 109,293 (88,711) (260,638)
------------ ------------ ------------ ------------
Reinvested capital gains ........................ -- -- -- 36,356
------------ ------------ ------------ ------------
Net increase (decrease) in contract owners'
equity resulting from operations ........ 66,279 106,120 (24,265) (156,854)
------------ ------------ ------------ ------------
EQUITY TRANSACTIONS:
Purchase payments received from
contract owners .............................. 33,567 30,942 18,188 42,772
Transfers between funds ......................... (202,836) (667,485) (66,869) (226,751)
Redemptions ..................................... (132,939) (61,467) (88,421) (202,012)
Annuity benefits ................................ -- -- -- --
Adjustments to maintain reserves ................ 12 19 (135) (17)
------------ ------------ ------------ ------------
Net equity transactions .................... (302,196) (697,991) (137,237) (386,008)
------------ ------------ ------------ ------------
NET CHANGE IN CONTRACT OWNERS' EQUITY ............. (235,917) (591,871) (161,502) (542,862)
CONTRACT OWNERS' EQUITY BEGINNING OF PERIOD ....... 2,232,088 1,375,282 1,524,816 2,197,517
------------ ------------ ------------ ------------
CONTRACT OWNERS' EQUITY END OF PERIOD ............. $ 1,996,171 783,411 1,363,314 1,654,655
============ ============ ============ ============
</TABLE>
<TABLE>
<CAPTION>
VEWrldEMkt VEWrldHAs
---------------------------- ----------------------------
2000 1999 2000 1999
------------ ------------ ------------ ------------
<S> <C> <C> <C> <C>
INVESTMENT ACTIVITY:
Reinvested dividends ............................ -- -- 10,192 11,193
Mortality, expense and administration
charges (note 2) ............................. (20,432) (11,017) (5,275) (6,509)
------------ ------------ ------------ ------------
Net investment activity ...................... (20,432) (11,017) 4,917 4,684
------------ ------------ ------------ ------------
Proceeds from mutual fund shares sold ........... 11,120,262 10,441,127 2,735,351 8,803,055
Cost of mutual fund shares sold ................. (11,080,011) (9,855,502) (2,686,906) (8,686,114)
------------ ------------ ------------ ------------
Realized gain (loss) on investments .......... 40,251 585,625 48,445 116,941
Change in unrealized gain (loss) on investments . (379,903) 79,570 (43,019) 37,619
------------ ------------ ------------ ------------
Net gain (loss) on investments ............... (339,652) 665,195 5,426 154,560
------------ ------------ ------------ ------------
Reinvested capital gains ........................ -- -- -- --
------------ ------------ ------------ ------------
Net increase (decrease) in contract owners'
equity resulting from operations ........ (360,084) 654,178 10,343 159,244
------------ ------------ ------------ ------------
EQUITY TRANSACTIONS:
Purchase payments received from
contract owners .............................. 23,200 40,809 2,107 6,631
Transfers between funds ......................... (259,498) 2,591,443 (248,482) 42,855
Redemptions ..................................... (274,238) (139,385) (126,082) (173,095)
Annuity benefits ................................ (977) -- -- --
Adjustments to maintain reserves ................ 1,067 50 (1,762) 44
------------ ------------ ------------ ------------
Net equity transactions .................... (510,446) 2,492,917 (374,219) (123,565)
------------ ------------ ------------ ------------
NET CHANGE IN CONTRACT OWNERS' EQUITY ............. (870,530) 3,147,095 (363,876) 35,679
CONTRACT OWNERS' EQUITY BEGINNING OF PERIOD ....... 2,556,931 1,071,134 953,300 880,479
------------ ------------ ------------ ------------
CONTRACT OWNERS' EQUITY END OF PERIOD ............. 1,686,401 4,218,229 589,424 916,158
============ ============ ============ ============
</TABLE>
18
<PAGE> 19
NATIONWIDE VA SEPARATE ACCOUNT-B
STATEMENTS OF CHANGES IN
CONTRACT OWNERS' EQUITY, CONTINUED
STATEMENTS OF OPERATIONS, CONTINUED
SIX MONTH PERIODS ENDED JUNE 30, 2000 AND 1999
(UNAUDITED)
<TABLE>
<CAPTION>
MSRESec WPGPVenCp
-------------------------- --------------------------
2000 1999 2000 1999
----------- ----------- ----------- -----------
<S> <C> <C> <C> <C>
INVESTMENT ACTIVITY:
Reinvested dividends ............................ $ 164,271 340,255 -- --
Mortality, expense and administration
charges (note 2) ............................. (27,221) (39,835) (13,643) (5,331)
----------- ----------- ----------- -----------
Net investment activity ...................... 137,050 300,420 (13,643) (5,331)
----------- ----------- ----------- -----------
Proceeds from mutual fund shares sold ........... 4,933,765 3,329,977 1,592,866 534,755
Cost of mutual fund shares sold ................. (4,965,244) (4,049,883) (1,147,583) (471,722)
----------- ----------- ----------- -----------
Realized gain (loss) on investments .......... (31,479) (719,906) 445,283 63,033
Change in unrealized gain (loss) on investments . 368,176 775,695 (463,497) 19,672
----------- ----------- ----------- -----------
Net gain (loss) on investments ............... 336,697 55,789 (18,214) 82,705
----------- ----------- ----------- -----------
Reinvested capital gains ........................ -- -- -- --
----------- ----------- ----------- -----------
Net increase (decrease) in contract owners'
equity resulting from operations ........ 473,747 356,209 (31,857) 77,374
----------- ----------- ----------- -----------
EQUITY TRANSACTIONS:
Purchase payments received from
contract owners .............................. 20,842 343,916 32,772 45,376
Transfers between funds ......................... (171,099) (1,731,893) 182,271 (201,431)
Redemptions ..................................... (380,108) (525,762) (274,679) (57,924)
Annuity benefits ................................ -- -- -- --
Adjustments to maintain reserves ................ 95 32 11 3
----------- ----------- ----------- -----------
Net equity transactions .................... (530,270) (1,913,707) (59,625) (213,976)
----------- ----------- ----------- -----------
NET CHANGE IN CONTRACT OWNERS' EQUITY ............. (56,523) (1,557,498) (91,482) (136,602)
CONTRACT OWNERS' EQUITY BEGINNING OF PERIOD ....... 3,861,765 6,560,195 1,504,730 886,812
----------- ----------- ----------- -----------
CONTRACT OWNERS' EQUITY END OF PERIOD ............. $ 3,805,242 5,002,697 1,413,248 750,210
=========== =========== =========== ===========
</TABLE>
<TABLE>
<CAPTION>
WPIntEq WPSmCoGr
-------------------------- --------------------------
2000 1999 2000 1999
----------- ----------- ----------- -----------
<S> <C> <C> <C> <C>
INVESTMENT ACTIVITY:
Reinvested dividends ............................ -- -- -- --
Mortality, expense and administration
charges (note 2) ............................. (46,859) (44,591) (118,807) (61,123)
----------- ----------- ----------- -----------
Net investment activity ...................... (46,859) (44,591) (118,807) (61,123)
----------- ----------- ----------- -----------
Proceeds from mutual fund shares sold ........... 78,022,070 47,053,407 7,685,100 5,159,936
Cost of mutual fund shares sold ................. (77,334,218) (46,343,489) (4,141,007) (5,388,779)
----------- ----------- ----------- -----------
Realized gain (loss) on investments .......... 687,852 709,918 3,544,093 (228,843)
Change in unrealized gain (loss) on investments . (388,973) 5,542 (3,576,163) 581,187
----------- ----------- ----------- -----------
Net gain (loss) on investments ............... 298,879 715,460 (32,070) 352,344
----------- ----------- ----------- -----------
Reinvested capital gains ........................ -- -- -- --
----------- ----------- ----------- -----------
Net increase (decrease) in contract owners'
equity resulting from operations ........ 252,020 670,869 (150,877) 291,221
----------- ----------- ----------- -----------
EQUITY TRANSACTIONS:
Purchase payments received from
contract owners .............................. 66,824 175,199 129,287 280,180
Transfers between funds ......................... 2,539,074 841,395 2,258,382 (2,418,046)
Redemptions ..................................... (560,018) (465,049) (1,753,899) (1,088,805)
Annuity benefits ................................ -- -- -- --
Adjustments to maintain reserves ................ 19,939 66 33 10
----------- ----------- ----------- -----------
Net equity transactions .................... 2,065,819 551,611 633,803 (3,226,661)
----------- ----------- ----------- -----------
NET CHANGE IN CONTRACT OWNERS' EQUITY ............. 2,317,839 1,222,480 482,926 (2,935,440)
CONTRACT OWNERS' EQUITY BEGINNING OF PERIOD ....... 5,427,011 6,610,263 14,981,656 10,973,897
----------- ----------- ----------- -----------
CONTRACT OWNERS' EQUITY END OF PERIOD ............. 7,744,850 7,832,743 15,464,582 8,038,457
=========== =========== =========== ===========
</TABLE>
See accompanying notes to financial statements.
19
<PAGE> 20
NATIONWIDE VA SEPARATE ACCOUNT-B
NOTES TO FINANCIAL STATEMENTS
JUNE 30, 2000 AND 1999
(UNAUDITED)
(1) SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES
(a) Organization and Nature of Operations
The Nationwide VA Separate Account-B (the Account) was established
pursuant to a resolution of the Board of Directors of Nationwide Life
and Annuity Insurance Company (the Company) on March 6, 1991. The
Account has been registered as a unit investment trust under the
Investment Company Act of 1940.
The Company offers tax qualified and non-tax qualified Individual
Deferred Variable Annuity Contracts through the Account. The primary
distribution for the contracts is through the brokerage community;
however, other distributors are utilized.
(b) The Contracts
Only contracts without a sales charge, but with certain other fees are
offered for purchase. See note 2 for a discussion of contract expenses.
Contract owners in either the accumulation or payout phase may invest
in the following:
Portfolios of the American Century Variable Portfolios, Inc.
(American Century VP)
American Century VP - American Century VP Balanced (ACVPBal)
American Century VP - American Century VP Capital Appreciation
(ACVPCapAp)
American Century VP - American Century VP Income & Growth
(ACVPIncGr)
American Century VP - American Century VP International
(ACVPInt)
American Century VP - American Century VP Value (ACVPValue)
The Dreyfus Socially Responsible Growth Fund, Inc. (DrySRGro)
Dreyfus Stock Index Fund (DryStkIx)
Portfolio of the Dreyfus Investment Portfolios (Dreyfus IP);
Dreyfus IP - European Equity Portfolio (DryEuroEq)
Portfolios of the Dreyfus Variable Investment Fund (Dreyfus VIF);
Dreyfus VIF - Appreciation Portfolio (DryAp)
Dreyfus VIF - Growth andIncome Portfolio (DryGrInc)
Portfolios of the Fidelity Variable Insurance Products Fund
(Fidelity VIP);
Fidelity VIP - Equity-Income Portfolio (FidVIPEI)
Fidelity VIP - Growth Portfolio (FidVIPGr)
Fidelity VIP - High Income Portfolio (FidVIPHI)
Fidelity VIP - Overseas Portfolio (FidVIPOv)
Portfolios of the Fidelity Variable Insurance Products Fund II
(Fidelity VIP-II);
Fidelity VIP-II - Asset Manager Portfolio (FidVIPAM)
Fidelity VIP-II - Contrafund Portfolio (FidVIPCon)
Portfolio of the Fidelity Variable Insurance Products Fund III
(Fidelity VIP-III);
Fidelity VIP-III - Growth Opportunities Portfolio (FidVIPGrOp)
Portfolios of the Janus Aspen Series (Janus AS);
Janus AS - Capital Appreciation Portfolio (JanCapAp)
Janus AS - Global Technology Portfolio (JanGlTech)
Janus AS - International Growth Portfolio (JanIntGro)
20
<PAGE> 21
Portfolio of the Morgan Stanley Universal Funds, Inc. (Morgan
Stanley);
Morgan Stanley - Emerging Markets Debt Portfolio (MSEmMkt)
Funds of the Nationwide Separate Account Trust (Nationwide SAT)
(managed for a fee by an affiliated investment advisor);
Nationwide SAT - Capital Appreciation Fund (NSATCapAp)
Nationwide SAT - Government Bond Fund (NSATGvtBd)
Nationwide SAT - Mid Cap Index Fund (NSATMidCap)
Nationwide SAT - Money Market Fund (NSATMyMkt)
Nationwide SAT - Multi Sector Bond Fund (NSATMSecBd)
Nationwide SAT - Small Cap Growth Fund (NSATSmCapG)
Nationwide SAT - Small Cap Value Fund (NSATSmCapV)
Nationwide SAT - Small Company Fund (NSATSmCo)
Nationwide SAT - Strategic Growth Fund (NSATStrGro)
Nationwide SAT - Total Return Fund (NSATTotRe)
Portfolios of the Neuberger & Berman Advisers Management Trust
(Neuberger &Berman AMT);
Neuberger Berman AMT - Growth Portfolio (NBAMTGro)
Neuberger Berman AMT - Guardian Portfolio (NBAMTGuard)
Neuberger Berman AMT - Limited Maturity Bond Portfolio
(NBAMTLMat)
Neuberger Berman AMT - Partners Portfolio (NBAMTPart)
Funds of the Oppenheimer Variable Account Funds (Oppenheimer VAF);
Oppenheimer - Aggressive Growth Fund/VA (OppAggGr)
Oppenheimer - Bond Fund/VA (OppBdFd)
Oppenheimer - Global Securities Fund/VA (OppGlSec)
Oppenheimer - Growth Fund/VA (OppGro)
Oppenheimer - Main Street Growth & Income Fund/VA (OppGroInc)
Oppenheimer - Multiple Strategies Fund/VA (OppMult)
Strong Opportunity Fund II, Inc. (StOpp2)
Funds of the Strong Variable Insurance Funds, Inc. (Strong VIF);
Strong VIF - Strong Discovery Fund II (StDisc2)
Strong VIF - Strong International Stock Fund II (StIntStk2)
Funds of the Van Eck Worldwide Insurance Trust (Van Eck WIT);
Van Eck WIT - Worldwide Bond Fund (VEWrldBd)
Van Eck WIT - Worldwide Emerging Markets Fund (VEWrldEMkt)
Van Eck WIT - Worldwide Hard Assets Fund (VEWrldHAs)
Portfolio of the Van Kampen Life Investment Trust (Van Kampen
LIT);
Van Kampen LIT - Morgan Stanley Real Estate Securities Portfolio
(MSRESec)
Portfolios of the Warburg Pincus Trust;
Warburg Pincus Trust - Global Post Venture Capital Portfolio
(WPGPVenCap)
Warburg Pincus Trust - International Equity Portfolio (WPIntEq)
Warburg Pincus Trust - Small Company Growth Portfolio (WPSmCoGr)
At June 30, 2000, contract owners have invested in all of the above
funds. The contract owners' equity is affected by the investment
results of each fund, equity transactions by contract owners and
certain contract expenses (see note 2).
The accompanying financial statements include only contract owners'
purchase payments pertaining to the variable portions of their
contracts and exclude any purchase payments for fixed dollar benefits,
the latter being included in the accounts of the Company.
A contract owner may choose from among a number of different underlying
mutual fund options. The underlying mutual fund options are not
available to the general public directly. The underlying mutual funds
are available as investment options in variable life insurance policies
or variable annuity contracts issued by life insurance companies or, in
some cases, through participation in certain qualified pension or
retirement plans.
(Continued)
21
<PAGE> 22
NATIONWIDE VA SEPARATE ACCOUNT-B
NOTES TO FINANCIAL STATEMENTS, CONTINUED
Some of the underlying mutual funds have been established by investment
advisers which manage publicly traded mutual funds having similar names
and investment objectives. While some of the underlying mutual funds
may be similar to, and may in fact be modeled after, publicly traded
mutual funds, the underlying mutual funds are not otherwise directly
related to any publicly traded mutual fund. Consequently, the
investment performance of publicly traded mutual funds and any
corresponding underlying mutual funds may differ substantially.
(c) Security Valuation, Transactions and Related Investment Income
The market value of the underlying mutual funds is based on the closing
net asset value per share at June 30, 2000. The cost of investments
sold is determined on the specific identification basis. Investment
transactions are accounted for on the trade date (date the order to buy
or sell is executed) and dividend income is recorded on the ex-dividend
date.
(d) Federal Income Taxes
Operations of the Account form a part of, and are taxed with,
operations of the Company which is taxed as a life insurance company
under the Internal Revenue Code.
The Company does not provide for income taxes within the Account. Taxes
are the responsibility of the contract owner upon termination or
withdrawal.
(e) Use of Estimates in the Preparation of Financial Statements
The preparation of financial statements in conformity with generally
accepted accounting principles may require management to make estimates
and assumptions that affect the reported amounts of assets and
liabilities and disclosure of contingent assets and liabilities, if
any, at the date of the financial statements and the reported amounts
of revenues and expenses during the reporting period. Actual results
could differ from those estimates.
(f) Calculation of Annuity Reserves
Annuity reserves are computed for contracts in the variable payout
stage according to industry standard mortality tables. The assumed
investment return is 3.5 percent unless the annuitant elects otherwise,
in which case the rate may vary from 3.5 percent to 7 percent, as
regulated by the laws of the respective states. The mortality risk is
fully borne by the Company and may result in additional amounts being
transferred into the Account by the Company to cover greater longevity
of annuitants than expected. Conversely, if reserves exceed amounts
required, transfers may be made to the Company.
(2) EXPENSES
The Company does not deduct a sales charge from purchase payments made for
these contracts, nor is any sales charge deducted upon the surrender of the
contract.
The following contract charges are deducted by the Company: a mortality
risk charge, an expense risk charge and an administration charge assessed
through the daily unit value calculation equal to an annual rate of 0.80%,
0.45% and 0.20%, respectively.
(3) RELATED PARTY TRANSACTIONS
The Company performs various services on behalf of the Mutual Fund
Companies in which the Account invests and may receive fees for the
services performed. These services include, among other things, shareholder
communications, preparation, postage, fund transfer agency and various
other record keeping and customer service functions. These fees are paid to
an affiliate of the Company.
22
<PAGE> 23
(4) COMPONENTS OF CONTRACT OWNERS' EQUITY
The following is a summary of contract owners' equity at June 30, 2000:
<TABLE>
<CAPTION>
PERIOD
Contract owners' equity represented by: UNITS UNIT VALUE RETURN(b)
-------- ---------- ---------
<S> <C> <C> <C> <C>
American Century VP -
American Century VP Balanced:
Tax qualified .............................. 60,455 $ 15.431048 $ 932,884 0%
Non-tax qualified .......................... 167,669 15.431048 2,587,308 0%
American Century VP -
American Century VP Capital Appreciation:
Tax qualified .............................. 80,831 16.279327 1,315,874 17%
Non-tax qualified .......................... 224,008 16.279327 3,646,699 17%
American Century VP -
American Century VP Income & Growth:
Tax qualified .............................. 161,151 12.041182 1,940,449 (4)%
Non-tax qualified .......................... 341,784 12.041182 4,115,483 (4)%
American Century VP -
American Century VP International:
Tax qualified .............................. 319,033 23.000608 7,337,953 (7)%
Non-tax qualified .......................... 911,995 23.000608 20,976,439 (7)%
American Century VP -
American Century VP Value:
Tax qualified .............................. 32,733 12.122333 396,800 (5)%
Non-tax qualified .......................... 116,024 12.122333 1,406,482 (5)%
The Dreyfus Socially Responsible
Growth Fund, Inc.:
Tax qualified .............................. 132,660 24.018088 3,186,240 2%
Non-tax qualified .......................... 156,599 24.018088 3,761,209 2%
Dreyfus Stock Index Fund:
Tax qualified .............................. 1,028,891 22.623849 23,277,475 (1)%
Non-tax qualified .......................... 1,593,299 22.623849 36,046,556 (1)%
Dreyfus IP - European Equity Portfolio:
Tax qualified .............................. 1,440 9.754927 14,047 (2)%(a)
Non-tax qualified .......................... 1,668 9.754927 16,271 (2)%(a)
Dreyfus VIF - Appreciation Portfolio:
Tax qualified .............................. 95,535 14.650233 1,399,610 2%
Non-tax qualified .......................... 188,502 14.650233 2,761,598 2%
Dreyfus VIF - Growth and Income Portfolio:
Tax qualified .............................. 115,802 14.284486 1,654,172 (2)%
Non-tax qualified .......................... 170,976 14.284486 2,442,304 (2)%
Fidelity VIP - Equity-Income Portfolio:
Tax qualified .............................. 487,471 15.410951 7,512,392 (3)%
Non-tax qualified .......................... 1,057,664 15.410951 16,299,608 (3)%
Fidelity VIP - Growth Portfolio:
Tax qualified .............................. 744,462 26.144369 19,463,489 4%
Non-tax qualified .......................... 1,258,388 26.144369 32,899,760 4%
Fidelity VIP - High Income Portfolio:
Tax qualified .............................. 546,173 12.076463 6,595,838 (6)%
Non-tax qualified .......................... 1,159,085 12.076463 13,997,647 (6)%
Fidelity VIP - Overseas Portfolio:
Tax qualified .............................. 153,980 17.664686 2,720,008 (6)%
Non-tax qualified .......................... 619,793 17.664686 10,948,449 (6)%
</TABLE>
(Continued)
23
<PAGE> 24
NATIONWIDE VA SEPARATE ACCOUNT-B
NOTES TO FINANCIAL STATEMENTS, CONTINUED
<TABLE>
<CAPTION>
PERIOD
UNITS UNIT VALUE RETURN(b)
-------- ---------- ---------
<S> <C> <C> <C> <C>
Fidelity VIP-II - Asset Manager Portfolio:
Tax qualified .............................. 174,032 16.050358 2,793,276 (1)%
Non-tax qualified .......................... 494,638 16.050358 7,939,117 (1)%
Fidelity VIP-II - Contrafund Portfolio:
Tax qualified .............................. 400,921 22.21554 8,906,677 (2)%
Non-tax qualified .......................... 947,452 22.21554 21,048,158 (2)%
Fidelity VIP-III -
Growth Opportunities Portfolio:
Tax qualified .............................. 595,015 13.187046 7,846,490 (4)%
Non-tax qualified .......................... 1,146,977 13.187046 15,125,238 (4)%
Janus Aspen Series - Capital Appreciation
Portfolio - Service Class:
Tax qualified .............................. 10,876 9.299486 101,141 (7)%(a)
Non-tax qualified .......................... 74,824 9.299486 695,825 (7)%(a)
Janus Aspen Series - Global Technology
Portfolio - Service Class:
Tax qualified .............................. 26,848 10.078773 270,595 1%(a)
Non-tax qualified .......................... 32,843 10.078773 331,017 1%(a)
Janus Aspen Series - International Growth
Portfolio - Service Class:
Tax qualified .............................. 48,162 9.721625 468,213 (3)%(a)
Non-tax qualified .......................... 103,469 9.721625 1,005,887 (3)%(a)
Morgan Stanley -
Emerging Markets Debt Portfolio:
Tax qualified .............................. 9,689 9.328919 90,388 6%
Non-tax qualified .......................... 22,872 9.328919 213,371 6%
Nationwide SAT - Capital Appreciation Fund:
Tax qualified .............................. 183,537 20.765687 3,811,272 0%
Non-tax qualified .......................... 375,262 20.765687 7,792,573 0%
Nationwide SAT - Government Bond Fund:
Tax qualified .............................. 326,730 11.701224 3,823,141 3%
Non-tax qualified .......................... 709,267 11.701224 8,299,292 3%
Nationwide SAT - Mid Cap Index Fund:
Non-tax qualified .......................... 655 9.855355 6,455 (1)%(a)
Nationwide SAT - Money Market Fund:
Tax qualified .............................. 948,152 11.720971 11,113,262 2%
Non-tax qualified .......................... 2,270,770 11.720971 26,615,629 2%
Nationwide SAT - Multi-Sector Bond Fund:
Tax qualified .............................. 25,614 10.153955 260,083 2%(a)
Non-tax qualified .......................... 36,409 10.153955 369,695 2%(a)
Nationwide SAT - Small Cap Growth Fund:
Non-tax qualified .......................... 1,857 10.162596 18,872 2%(a)
Nationwide SAT - Small Cap Value Fund:
Tax qualified .............................. 42,544 11.829432 503,271 10%
Non-tax qualified .......................... 98,022 11.829432 1,159,545 10%
Nationwide SAT - Small Company Fund:
Tax qualified .............................. 171,992 21.215310 3,648,864 7%
Non-tax qualified .......................... 402,280 21.215310 8,534,495 7%
</TABLE>
24
<PAGE> 25
<TABLE>
<CAPTION>
PERIOD
UNITS UNIT VALUE RETURN(b)
-------- ---------- ---------
<S> <C> <C> <C> <C>
Nationwide SAT - Strategic Growth Fund:
Tax qualified .............................. 1,056 10.093688 10,659 1%(a)
Non-tax qualified .......................... 12,381 10.093688 124,970 1%(a)
Nationwide SAT - Total Return Fund:
Tax qualified .............................. 249,541 18.683819 4,662,379 3%
Non-tax qualified .......................... 362,467 18.683819 6,772,268 3%
Neuberger Berman AMT - Growth Portfolio:
Tax qualified .............................. 139,359 25.478752 3,550,693 13%
Non-tax qualified .......................... 326,813 25.478752 8,326,787 13%
Neuberger Berman AMT -
Guardian Portfolio:
Tax qualified .............................. 25,375 10.816571 274,470 3%
Non-tax qualified .......................... 21,637 10.816571 234,038 3%
Neuberger Berman AMT -
Limited Maturity Bond Portfolio:
Tax qualified .............................. 143,102 11.180616 1,599,969 1%
Non-tax qualified .......................... 309,699 11.180616 3,462,626 1%
Neuberger Berman AMT - Partners Portfolio:
Tax qualified .............................. 182,660 16.999214 3,105,076 (1)%
Non-tax qualified .......................... 401,158 16.999214 6,819,371 (1)%
Oppenheimer - Aggressive Growth Fund/VA:
Tax qualified .............................. 31,335 10.658929 333,998 7%(a)
Non-tax qualified .......................... 29,476 10.658929 314,183 7%(a)
Oppenheimer - Bond Fund/VA:
Tax qualified .............................. 153,567 11.453095 1,758,817 1%
Non-tax qualified .......................... 463,873 11.453095 5,312,782 1%
Oppenheimer - Global Securities Fund/VA:
Tax qualified .............................. 154,724 26.146927 4,045,557 10%
Non-tax qualified .......................... 393,030 26.146927 10,276,527 10%
Oppenheimer - Growth Fund/VA:
Tax qualified .............................. 509,225 19.311148 9,833,719 9%
Non-tax qualified .......................... 529,439 19.311148 10,224,075 9%
Oppenheimer -
Main Street Growth & Income Fund/VA:
Tax qualified .............................. 3,207 9.920895 31,816 (1)%(a)
Non-tax qualified .......................... 14,706 9.920895 145,897 (1)%(a)
Oppenheimer VAF - Multiple Strategies Fund:
Tax qualified .............................. 68,697 15.770381 1,083,378 6%
Non-tax qualified .......................... 247,152 15.770381 3,897,681 6%
Strong Opportunity Fund II, Inc.:
Tax qualified .............................. 133,189 21.513187 2,865,320 3%
Non-tax qualified .......................... 382,615 21.513187 8,231,268 3%
Strong VIF - Strong Discovery Fund II:
Tax qualified .............................. 24,676 13.205923 325,869 11%
Non-tax qualified .......................... 55,725 13.205923 735,900 11%
Strong VIF -
Strong International Stock Fund II:
Tax qualified .............................. 23,749 13.499733 320,605 (13)%
Non-tax qualified .......................... 124,119 13.499733 1,675,573 (13)%
Van Eck WIT - Worldwide Bond Fund:
Tax qualified .............................. 44,271 10.283363 455,255 (1)%
Non-tax qualified .......................... 88,304 10.283363 908,062 (1)%
</TABLE>
(Continued)
25
<PAGE> 26
NATIONWIDE VA SEPARATE ACCOUNT-B
NOTES TO FINANCIAL STATEMENTS, CONTINUED
<TABLE>
<CAPTION>
PERIOD
UNITS UNIT VALUE RETURN(b)
-------- ---------- ---------
<S> <C> <C> <C> <C>
Van Eck WIT -
Worldwide Emerging Markets Fund:
Tax qualified .............................. 43,695 9.780623 427,364 (13)%
Non-tax qualified .......................... 128,086 9.780623 1,252,761 (13)%
Van Eck WIT - Worldwide Hard Assets Fund:
Tax qualified .............................. 21,807 8.217232 179,193 3%
Non-tax qualified .......................... 49,924 8.217232 410,237 3%
Van Kampen LIT-
Morgan Stanley Real Estate Securities Portfolio:
Tax qualified .............................. 68,684 15.349031 1,054,233 13%
Non-tax qualified .......................... 179,230 15.349031 2,751,007 13%
Warburg Pincus Trust -
Global Post - Venture Capital Portfolio:
Tax qualified .............................. 24,071 20.010871 481,682 4%
Non-tax qualified .......................... 46,553 20.010871 931,566 4%
Warburg Pincus Trust -
International Equity Portfolio:
Tax qualified .............................. 88,725 14.317097 1,270,284 (9)%
Non-tax qualified .......................... 452,226 14.317097 6,474,564 (9)%
Warburg Pincus Trust -
Small Company Growth Portfolio:
Tax qualified .............................. 194,663 20.759895 4,041,183 2%
Non-tax qualified .......................... 550,263 20.759895 11,423,402 2%
======== =========
Reserve for annuity contracts in payout phase:
Tax qualified .............................. 60,570
Non-tax qualified .......................... 43,247
-----------
$504,965,767
===========
</TABLE>
(a) This investment option was not being utilized for the entire period.
Accordingly, the period return was computed for such period as the
investment option was utilized.
(b) The period return does not include contract charges satisfied by
surrendering units.
26
<PAGE> 27
[THIS PAGE LEFT BLANK INTENTIONALLY]
27
<PAGE> 28
NATIONWIDE LIFE AND ANNUITY INSURANCE COMPANY ------------------
HOME OFFICE: ONE NATIONWIDE PLAZA - COLUMBUS, OHIO 43215-2220 Bulk Rate
U.S. Postage
PAID
Columbus, Ohio
Permit No. 521
------------------
Nationwide(R) is a registered federal service mark of Nationwide Mutual
Insurance Company
