UNITED STATES SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
FORM 10-Q
Quarterly Report Pursuant to Section 13 or 15(d)
of the Securities Exchange Act of 1934
For the Quarterly Period Ended September 30, 1995
Commission file numbers 33-72968, 33-67614,
33-47754, 33-84306, 33-71110 and 33-58536
American Skandia Life Assurance Corporation
Incorporated in the State of Connecticut 06-1241288
(IRS Employer Identification No.)
One Corporate Drive
Shelton, Connecticut 06484
Telephone Number (203) 926-1888
Indicate by check mark whether the registrant (1) has filed all reports to be
filed by Section 13 or 15(d) of the Securities Exchange Act of 1934 during the
preceding 12 months and (2) has been subject to such filing requirements for
the past 90 days.
Yes x No __
As of October 31, 1995, there were 25,000 shares of outstanding common stock,
par value $80 per share, of the registrant, consisting of 100 shares of voting
and 24,900 shares of non-voting common stock, all of which were owned by
American Skandia Investment Holding Corporation, a wholly-owned subsidiary of
Skandia Insurance Company Ltd., a Swedish corporation.
American Skandia Life Assurance Corporation
Table of Contents
<TABLE>
<CAPTION>
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Page
PART I. FINANCIAL INFORMATION:
Item 1. Financial Statements:
Consolidated Statements of Financial Condition -
September 30, 1995 (unaudited)
and December 31, 1994 4
Consolidated Statements of Operations (unaudited) -
Nine months ended September 30, 1995
and September 30, 1994 5
Consolidated Statements of Operations (unaudited) -
Three Months Ended September 30, 1995
and September 30, 1994 6
Consolidated Statements of Cash Flows (unaudited) -
Nine months ended September 30, 1995
and September 30, 1994 7
Notes to Consolidated Unaudited Financial Statements 8
Item 2.
Management's Discussion and Analysis
of Financial Condition and Results of
Operations - Nine months ended
September 30, 1995 10
PART II. OTHER INFORMATION:
Item 4. Action Taken by Shareholder 13
Item 6. Exhibits and Reports on Form 8-K 13
Signature 14
Exhibit Index 15
</TABLE>
(2)
PART I. FINANCIAL INFORMATION
Item 1.
FINANCIAL STATEMENTS
(3)
AMERICAN SKANDIA LIFE ASSURANCE CORPORATION
(a wholly-owned subsidiary of Skandia Insurance Company Ltd.)
<TABLE>
<CAPTION>
CONSOLIDATED STATEMENTS OF FINANCIAL CONDITION
<S> <C> <C> <C> <C>
SEPTEMBER 30, DECEMBER 31,
1995 1994
------------ ------------
ASSETS (unaudited)
Investments:
Fixed maturities - at amortized cost $ 10,118,259 $ 9,621,865
Investment in mutual funds -
at market value 1,659,577 840,637
Short-term investments - at amortized cost 0 24,000,000
------------ -----------
Total investments 11,777,836 34,462,502
Cash and cash equivalents 6,261,488 23,909,463
Accrued investment income 221,053 173,654
Furniture & equipment(net of accum depr. $509) 50,280 0
Deferred acquisition costs 236,934,373 174,009,609
Receivable from affiliates 757,968 459,960
State insurance licenses 4,900,000 5,012,500
Other assets 2,309,064 1,261,513
Separate account assets 4,208,559,454 2,625,127,128
------------- -------------
Total Assets $4,471,771,516 $2,864,416,329
============= =============
LIABILITIES AND SHAREHOLDER'S EQUITY
LIABILITIES:
Reserve for future contractowner benefits $ 27,540,846 $ 11,422,381
Annuity policy reserves 16,512,818 24,054,255
Income tax payable 0 36,999
Accounts payable and accrued expenses 28,254,323 31,753,380
Payable to affiliates 5,234,568 261,552
Payable to reinsurer 53,531,111 40,105,406
Short-term borrowing-parent 10,000,000 10,000,000
Surplus notes 69,000,000 69,000,000
Deferred contract charges 356,056 449,704
Separate account liabilities 4,208,559,454 2,625,127,128
------------- -------------
Total Liabilities 4,418,989,176 2,812,210,805
------------- -------------
SHAREHOLDER'S EQUITY:
Common stock, $80 par, 25,000 shares
authorized, issued and outstanding 2,000,000 2,000,000
Additional paid-in capital 72,929,572 71,623,932
Unrealized investment gains and losses 183,225 (41,655)
Foreign exchange translation (136,815) 0
Accumulated deficit (22,193,642) (21,376,753)
------------- ------------
Total Shareholder's Equity 52,782,340 52,205,524
------------- ------------
Total Liabilities and
Shareholder's Equity $4,471,771,516 $2,864,416,329
============= =============
</TABLE>
See notes to consolidated unaudited financial statements.
(4)
AMERICAN SKANDIA LIFE ASSURANCE CORPORATION
(a wholly-owned subsidiary of Skandia Insurance Company Ltd.)
<TABLE>
<CAPTION>
CONSOLIDATED STATEMENTS OF OPERATIONS
(unaudited)
<S> <C> <C> <C> <C>
NINE MONTHS NINE MONTHS
ENDED ENDED
SEPT 30, 1995 SEPT 30, 1994
------------- -------------
REVENUES:
Net investment income $ 1,279,298 $ 853,668
Annuity premium income 27,480 145,000
Annuity charges & fees 27,438,534 17,701,920
Net realized/unrealized capital losses 28,192 (4,915)
Fee income 3,411,409 1,486,229
Other 41,488 21,379
---------- ----------
Total Revenues 32,226,401 20,203,281
---------- ----------
BENEFITS AND EXPENSES:
Benefits:
Annuity benefits 347,115 278,239
Decrease in annuity policy reserves (5,705,857) 4,735,614
Return credited to contractowners (net) 9,167,943 (92,661)
--------- ---------
3,809,201 4,921,192
--------- ---------
Expenses:
Underwriting, acquisition and
other insurance expenses 24,257,570 14,413,682
Amortization of insurance license 112,500 112,500
Interest expense 4,828,709 2,295,450
--------- ---------
29,198,779 16,821,632
---------- ----------
Total Benefits and Expenses 33,007,980 21,742,824
---------- ----------
Income (loss) from operations
before federal income taxes (781,579) (1,539,543)
Income taxes 35,311 117,382
---------- ----------
Net income (loss) $ (816,890) $ (1,656,925)
------------- -------------
See notes to consolidated unaudited financial statements.
(5)
AMERICAN SKANDIA LIFE ASSURANCE CORPORATION
(a wholly-owned subsidiary of Skandia Insurance Company Ltd.)
</TABLE>
<TABLE>
<CAPTION>
CONSOLIDATED STATEMENTS OF OPERATIONS
(unaudited)
<S> <C> <C> <C>
THREE MONTHS THREE MONTHS
ENDED ENDED
SEPT 30, 1995 SEPT 30, 1994
------------- -------------
REVENUES:
Net investment income $ 293,335 $ 264,605
Annuity premium income 0 0
Annuity charges & fees 10,564,222 6,806,536
Net realized/unrealized
capital losses 44,644 25,914
Fee income 1,379,998 586,620
Other 16,310 18,530
------------- -------------
Total Revenues 12,298,509 7,702,205
------------- -------------
BENEFITS AND EXPENSES:
Benefits:
Annuity benefits 94,534 95,628
Decrease in annuity policy
reserves (2,104,559) (5,025)
Return credited to
contractowners (net) 4,745,061 (178,664)
------------- -------------
2,735,036 (88,061)
------------- -------------
Expenses:
Underwriting, acquisition and
other insurance expenses 7,208,417 7,354,402
Amortization of insurance licensE 37,500 37,500
Interest expense 1,619,634 853,694
------------- -------------
8,865,551 8,245,596
------------- -------------
Total Benefits and Expenses 11,600,587 8,157,535
------------- -------------
Income (loss) from operations
before federal income taxes 697,922 (455,330)
Income taxes 19,610 48,463
------------- -------------
Net income (loss) $ 678,312 $ (503,793)
============= =============
</TABLE>
See notes to consolidated unaudited financial statements.
(6)
AMERICAN SKANDIA LIFE ASSURANCE CORPORATION
(wholly-owned subsidiary of Skandia Insurance Company Ltd.)
<TABLE>
<CAPTION>
CONSOLIDATED STATEMENT OF CASH FLOWS
(unaudited)
<S> <C> <C> <C> <C>
NINE MONTHS NINE MONTHS
ENDED ENDED
SEPT 30, 1995 SEPT 30, 1994
------------- -------------
CASH FLOW FROM OPERATING ACTIVITIES:
Net (loss)/gain $ (816,890) $ (1,656,925)
Adjustments to reconcile net income to net cash
used in operating activities:
(Decrease)/increase in policy
reserves (7,541,437) 5,469,691
Increase in policy and contract claims 0 65,019
Amortization of bond discount 17,895 16,367
Amortization of insurance licenses 112,500 112,500
Increase due to/due from affiliates 4,675,008 356,466
Change in other assets (1,097,829) (860,283)
Increase in accrued investment
income (47,399) (153,012)
Increase in accounts payables (3,536,056) (2,300,287)
Change in deferred acquisition
cost (62,924,764) (62,449,659)
Change in deferred contract charges (93,648) (37,042)
Realized (gain)/loss on sale of
investments (28,192) 1,094
Unrealized gain on mutual funds 0 3,821
----------- ------------
Net cash used in operating activities (71,280,812) (61,432,250)
----------- ------------
CASH FLOW FROM INVESTING ACTIVITIES:
Purchase of fixed maturity investments (614,289) 0
Proceeds from maturity of
fixed maturity investments 100,000 0
Purchase of shares in mutual funds (1,368,059) (772,934)
Proceeds from sale of mutual funds 798,073 12,330
Purchase of short-term investments (168,500,000) (479,100,000)
Proceeds from sale of
short-term investments 192,500,000 498,500,000
Change in investments of
separate account assets (1,082,573,172) (1,050,747,442)
------------- -------------
Net cash used in investing
activities (1,059,657,447) (1,032,108,046)
------------- -------------
CASH FLOW FROM FINANCING ACTIVITIES:
Capital & surplus contributions
from parent 1,172,942 0
Short term borrowing 0 0
Surplus notes 0 35,000,000
Payable to reinsurer 13,425,705 22,253,667
Proceeds from annuity sales 1,098,691,637 1,054,183,171
------------- -------------
Net cash provided by financing
activities 1,113,290,284 1,111,436,838
------------- -------------
Net (decrease)/increase in
cash & cash equivalents (17,647,975) 17,896,542
----------- ------------
Cash and cash equivalents at
beginning of period 23,909,463 9,834,854
----------- ------------
Cash and cash equivalents at
end of period $ 6,261,488 $ 27,731,396
=========== ============
SUPPLEMENTAL CASH FLOW DISCLOSURE:
Income taxes paid $ 72,310 $ 131,008
=========== ============
Interest paid $ 540,319 $ 314,722
=========== ============
</TABLE>
See notes to consolidated unaudited financial statements.
(7)
AMERICAN SKANDIA LIFE ASSURANCE CORPORATION
(a wholly owned subsidiary of
Skandia Insurance Company Ltd.)
Notes to Consolidated Unaudited Financial Statements
September 30, 1995
1. BASIS OF PRESENTATION
The accompanying unaudited financial statements have been prepared in
accordance with generally accepted accounting principles for interim
financial information and with the instructions to Form 10-Q and Article 10
of Regulation S-X. Accordingly, they do not include all of the information
and footnotes required by generally accepted accounting principles for
complete financial statements. In the opinion of management, all adjustments
(consisting of normal recurring accruals) considered necessary for a fair
presentation have been included. Operating results for the nine month period
ended September 30, 1995 are not necessarily indicative of the results that
may be expected for the year ended December 31, 1995. For further
information, refer to the financial statements and footnotes thereto in the
Company's audited financial statements for the year ended December 31, 1994.
Beginning with the third quarter of 1995, the accompanying financial
statements are presented on a consolidated basis as a result of the
acquisition of the foreign entity, Skandia Vida, S.A. de C.V. Intercompany
transactions and balances have been eliminated in consolidation.
2. FOREIGN ENTITY
As of July 1995, Skandia Vida, S.A. de C.V. was formed by the ultimate
parent Skandia Insurance Company, Ltd., a Swedish corporation. The Company
owns 99.9% ownership in Skandia Vida, S.A. de C.V. which is a Mexican life
insurance company. This Mexican life insurer is a start up company with
expectations of selling long term savings product within Mexico. The assets
and liabilities of Skandia Vida, S.A. de C.V. are translated at the period
ended exchange rate. The effects of these translation adjustments are
reported in a separate component of shareholder's equity. Total
shareholder's equity of Skandia Vida, S.A. de C.V. is $1,141,339 as of
September 30, 1995.
3. SURPLUS NOTES
During 1994, the Company received $49 million from its parent in
exchange for four surplus notes, two in the amount of $10 million, one in the
amount of $15 million and one in the amount of $14 million, at interest rates
of 7.28%, 7.90%, 9.13% and 9.78%, respectively. Interest payable at
September 30, 1995 for these notes is $4,850,293.
(8)
During 1993, the Company received $20 million from its parent in
exchange for a surplus note in the amount of $20 million at a 6.84% interest
rate. Interest payable at September 30, 1995 is $2,435,800.
Payment of interest and repayment of principal for these notes require
approval of the Commissioner of Insurance of the State of Connecticut.
4. REINSURANCE
The Company cedes reinsurance under modified coinsurance arrangements.
The reinsurance arrangements provide additional capacity for growth in
supporting the cash flow strain from the Company's variable annuity business.
The reinsurance is effected under quota share contracts.
Effective January 1, 1995, the Company reinsured certain mortality
risks. These risks result from the Guaranteed Minimum Death Benefit feature
in the variable annuity products.
The effect of the reinsurance agreements on the Company's operations
was to reduce annuity charges and fee income, death benefit expense, and
reserve exposure. The effect of reinsurance is summarized as follows:
<TABLE>
<CAPTION>
For the period ended September 30, 1995
<S> <C> <C> <C>
Annuity Annuity Return Credited
Charges & Fees Policy Reserves to Contractowners
Gross $35,351,011 ($ 1,631,551) $ 9,534,582
Ceded 7,912,477 4,074,306 366,639
Net $27,438,534 ($ 5,705,857) $ 9,167,943
</TABLE>
For the period ended September 30, 1994
<TABLE>
<CAPTION>
Annuity
Charges & Fees
<S> <C>
Gross $ 21,036,876
Ceded 3,334,956
Net $ 17,701,920
</TABLE>
Such ceded reinsurance does not relieve the Company from its
obligations to policyholders. The Company remains liable to its
policyholders for the portion reinsured to the extent that any reinsurer does
not meet the obligations assumed under the reinsurance agreement.
(9)
MANAGEMENT'S DISCUSSION AND ANALYSIS
OF FINANCIAL CONDITION AND RESULTS OF OPERATIONS
Nine months ended September 30, 1995
American Skandia Life Assurance Corporation (the Company) is a stock
insurance company domiciled in Connecticut with licenses in all 50 states.
It is a wholly-owned subsidiary of American Skandia Investment Holding
Corporation, whose ultimate parent is Skandia Insurance Company Ltd., a
Swedish company.
The Company is in the business of issuing annuity policies, and has been so
since its business inception in 1988. The Company currently offers the
following annuity products: a) certain deferred annuities that are registered
with the Securities and Exchange Commission, including variable annuities and
fixed interest rate annuities that include a market value adjustment feature;
b) certain other fixed deferred annuities that are not registered with the
Securities and Exchange Commission; and c) fixed and adjustable immediate
annuities.
The Company markets its products to broker-dealers and financial planners
through an internal field marketing staff. In addition, the Company markets
through and in conjunction with financial institutions such as banks that are
permitted directly, or through affiliates, to sell annuities.
As of July 1995, Skandia Vida, S.A. de C.V. was formed by the ultimate parent
Skandia Insurance Company Ltd., a Swedish corporation. The Company owns
99.9% ownership in Skandia Vida, S.A. de C.V. which is a Mexican life
insurance company. This Mexican life insurer is a start up company with
expectations of selling long term savings product within Mexico. Total
shareholder's equity of Skandia Vida, S.A. de C.V. is $1,141,339 as of
September 30, 1995.
Results of Operations
The Company's long term business plan was developed reflecting the current
sales and marketing approach. The sales volume for the nine month period
ended September 30, 1995 and 1994 was $1.099 billion and $1.054 billion,
respectively. This represents an increase of 4% compared to the same period
last year. This increase is a direct result of an outstanding third quarter
sales effort by the Company coupled with an overall increase in the variable
annuity marketplace. Assets grew $1.607 billion or 56% since December 31,
1994. This increase is a direct result of the sales volume increasing
separate account assets and deferred acquisition costs. Liabilities grew
$1.607 billion or 57% as a result of the reserves required for the increased
sales activity and increased reinsurance to support the acquisition costs of
the Company's variable annuity business.
The Company experienced a net loss of $816,890 after tax for the current
period which was in excess of plan. This loss is a result of the asset
performance relative to the liability
(10)
structure for the market value adjusted annuity product along with a
strengthening of the reserves for this same business due to historically
lower spreads in the corporate bond market, as well as a higher than expected
general expense relative to sales volume. For the same period last year, the
Company experienced a net loss of $1.657 million which was greater than plan
as a result of an additional reserving to cover the guaranteed minimum death
benefit exposure in the Company's variable annuity contracts.
Revenues:
Increasing volume of annuity sales results in higher assets under management.
The fees realized on assets under management has resulted in annuity charges
& fees to increase 55% and 133% over the periods ended September 30, 1995 and
1994 respectively.
Net investment income increased 50% and 57% over the periods ended September
30, 1995 and 1994 respectively. This was a result of an increase in the
Company's bonds and short term investments throughout the periods.
Fee income increased 130% and 153% for the periods ended September 30, 1995
and 1994 respectively, as a result of income from transfer agency type
activities.
Benefits:
Annuity benefits represent payments on annuity contracts with mortality
risks, this being the immediate annuity with life contingencies and
supplementary contracts with life contingencies.
Increase in annuity policy reserves represent change in reserves for the
immediate annuity with life contingencies, supplementary contracts with life
contingencies and guaranteed minimum death benefit. During the most recent
quarter the Company entered into an agreement to reinsure the guaranteed
minimum death benefit exposure on the variable annuity product line. This
agreement allows the Company to take a reserve credit for the required
reserve on this book of business. The financial result for the period was
positively impacted by this transaction in the amount of $4.4 million.
Return credited to contractowners represents revenues on the variable and
market value adjusted annuities offset by the benefit payments and change in
reserves required on this business. Also included are the benefit payments
and change in reserves on immediate annuity contracts without significant
mortality risks. The amount for the period September 30, 1995 reflects a
lower than expected separate account investment return on the market value
adjusted contracts in support of the benefits and required reserves. In
addition the result represents a strengthening of the reserves on this
product. The reserve strengthening is due to historically lower interest
rate spreads that are currently being realized in the corporate bond market.
(11)
Expenses:
Underwriting, acquisition and other insurance expenses is made up of $42.4
million of commissions and $28.1 million of general expenses offset by the
net capitalization of deferred acquisition costs totaling $46.2 million.
This compares to the same period last year of $33.4 million of commissions
and $19.3 million of general expenses offset by the net capitalization of
deferred acquisition costs totaling $38.3 million.
Interest expense increased 110% over the same period last year as a result of
the increase in surplus notes.
Liquidity and Capital Resources
The liquidity requirement of the Company was met by cash from insurance
operations, investment activities and borrowings from the parent.
The Company had significant growth during the nine month period in 1995. The
sales volume of $1.099 million was made up of approximately 75% variable
annuities which carry a contingent deferred sales charge. This type of
product causes a temporary cash strain in that 100% of the proceeds are
invested in separate accounts supporting the product leaving a cash (but not
capital) strain caused by the acquisition costs for the new business. This
cash strain required the Company to look beyond the insurance operations and
investments of the Company. The Company extended its reinsurance agreements
(initiated in 1993 and 1994) and entered into a third reinsurance agreement,
effective May 1, 1995, with a large reinsurer in support of its cash needs.
The reinsurance agreements are modified coinsurance arrangements where the
reinsurer shares in the experience of a specific book of business. The
income and expense items presented above are net of reinsurance.
The Company is reviewing various options to fund the cash strain anticipated
from the acquisition costs on the expected future volume.
The tremendous growth of this young organization has depended on capital
support from its parent. In 1992 and 1993 the parent contributed the capital
needed to provide a strong capital base for the Company's planned future
growth.
As of September 30, 1995 and December 31, 1994, shareholder's equity was
$52,782,340 and $52,205,524 respectively, which includes the carrying value
of the state insurance licenses in the amount of $4,900,000 and $5,012,500
respectively.
The Company has long term surplus notes and short term borrowing with its
parent. No dividends have been paid to its parent company.
(12)
PART II. OTHER INFORMATION
ITEM 4. ACTION TAKEN BY SHAREHOLDER
Not applicable for this quarter.
ITEM 6. EXHIBITS AND REPORTS ON FORM 8-K
(a) See Exhibit Index
(b) ASLAC did not file any Report Form 8-K during the
quarter covered by this report.
(13)
SIGNATURE
Pursuant to the requirements of the Securities Exchange Act of 1934, the
registrant has duly caused this report to be signed on its behalf by the
undersigned thereunto duly authorized.
American Skandia Life
Assurance Corporation
(Registrant)
by s/Thomas M. Mazzaferro
Thomas M. Mazzaferro
Executive Vice President and
Chief Financial Officer
November 14, 1995
(14)
SIGNATURE
Pursuant to the requirements of the Securities Exchange Act of 1934, the
registrant has duly caused this report to be signed on its behalf by the
undersigned thereunto duly authorized.
American Skandia Life
Assurance Corporation
(Registrant)
by ________________________
Thomas M. Mazzaferro
Executive Vice President and
Chief Financial Officer
November 14, 1995
(14)
EXHIBIT INDEX
<TABLE>
<CAPTION>
<S> <C> <C>
Exhibit
Number Description Location
(2) Plan of acquisition, reorganization,
arrangement, liquidation or succession None
(4) Instruments defining the rights of
security holders, including indentures None
(10) Material Contracts None
(11) Statement re computation of per share
earnings None
(15) Letter re unaudited interim financial
information None
(18) Letter re change in accounting
principles None
(19) Report furnished to security holders None
(22) Published report regarding matters
submitted to vote of security holders None
(23) Consents of experts and counsel None
(24) Power of attorney None
(99) Additional exhibits None
</TABLE>
(15)
<TABLE> <S> <C>
<ARTICLE> 7
<CIK> 0000881453
<NAME> AMERICAN SKANDIA LIFE ASSURANCE CORPORATION
<S> <C> <C>
<PERIOD-TYPE> 9-MOS 12-MOS
<FISCAL-YEAR-END> SEP-30-1995 DEC-31-1994
<PERIOD-END> SEP-30-1995 SEP-30-1994
<DEBT-HELD-FOR-SALE> 0 0
<DEBT-CARRYING-VALUE> 10,118,259 9,621,865
<DEBT-MARKET-VALUE> 0 0
<EQUITIES> 1,659,577 840,637
<MORTGAGE> 0 0
<REAL-ESTATE> 0 0
<TOTAL-INVEST> 11,777,836 34,462,502
<CASH> 6,261,488 23,909,463
<RECOVER-REINSURE> 0 0
<DEFERRED-ACQUISITION> 236,934,373 174,009,609
<TOTAL-ASSETS> 4,471,771,516<F1> 2,864,416,329<F1>
<POLICY-LOSSES> 44,053,664 35,476,636
<UNEARNED-PREMIUMS> 0 0
<POLICY-OTHER> 0 0
<POLICY-HOLDER-FUNDS> 0 0
<NOTES-PAYABLE> 79,000,000 79,000,000
<COMMON> 2,000,000 2,000,000
0 0
0 0
<OTHER-SE> 50,782,340 50,205,524
<TOTAL-LIABILITY-AND-EQUITY> 4,471,771,516<F2> 2,864,416,329<F2>
0 0
<INVESTMENT-INCOME> 1,279,298 853,668
<INVESTMENT-GAINS> 28,192 (4,915)
<OTHER-INCOME> 30,918,911 19,354,528
<BENEFITS> 3,809,201 4,921,192
<UNDERWRITING-AMORTIZATION> 24,370,070 14,526,182
<UNDERWRITING-OTHER> 0 0
<INCOME-PRETAX> (781,579) (1,539,543)
<INCOME-TAX> 35,311 117,382
<INCOME-CONTINUING> 0 0
<DISCONTINUED> 0 0
<EXTRAORDINARY> 0 0
<CHANGES> 0 0
<NET-INCOME> (816,890) (1,656,925)
<EPS-PRIMARY> 0 0
<EPS-DILUTED> 0 0
<RESERVE-OPEN> 0 0
<PROVISION-CURRENT> 0 0
<PROVISION-PRIOR> 0 0
<PAYMENTS-CURRENT> 0 0
<PAYMENTS-PRIOR> 0 0
<RESERVE-CLOSE> 0 0
<CUMULATIVE-DEFICIENCY> 0 0
<FN>
<F1>Included in Total Assets are Assets Held in Separate Accounts of
$4,208,559,454 and $2,625,127,128 as of September 30, 1995 and
December 31, 1994, respectively.
<F2>Included in Total Liabilities and Equity are Liabilities Related to
Separate Accounts of $4,208,559,454 and $2,625,127,128 as of
September 30, 1995 and December 31, 1994, respectively.
</FN>
