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AIM/CIGNA
Heritage
SEMIANNUAL REPORT
JUNE 30, 1997
[PHOTO APPEARS HERE]
A Lasting Investment
Structure for the
Retirement of Your Life
[LOGO OF AIM APPEARS HERE]
[LOGO OF CIGNA APPEARS HERE]
CIGNA Individual
Insurance
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TABLE OF CONTENTS
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Letter To Our Clients............................................... 1
Schedule of Changes In Unit Value................................. 2
AIM Variable Insurance Funds, Inc.
AIM V.I. Capital Appreciation Fund................................ 3
AIM V.I. Diversified Income Fund.................................. 15
AIM V.I. Global Utilities Fund.................................... 27
AIM V.I. Government Securities Fund............................... 38
AIM V.I. Growth Fund.............................................. 45
AIM V.I. Growth and Income Fund................................... 58
AIM V.I. International Equity Fund................................ 70
AIM V.I. Money Market Fund........................................ 80
AIM V.I. Value Fund............................................... 87
Directors and Officers of the Funds............................... Inside
Back
Cover
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The President's Letter
Dear Client:
[TCJ PHOTO It is a pleasure to provide you with this report on the performance of the
APPEARS HERE] AIM/CIGNA Heritage Variable Annuity product for the six-month period ended
June 30, 1997.
The report includes a summary of sub-account performance for the past six
months and financial data for each of the portfolio options. We are also
including an informative round-table discussion with the fund management team
for AIM Variable Insurance Funds, Inc. regarding the performance of the funds
during a period of dramatic market volatility. I hope you will take a few
minutes to read it carefully.
I would also like to inform you that Lincoln National Corporation (LNC) agreed
in late July to purchase CIGNA's individual life insurance and annuities
businesses. We expect that transaction, which is subject to regulatory
approval, to close by the end of the year.
As a current contract holder, we recognize that you may have questions about
this agreement and how it will affect your contract and your relationship with
CIGNA. I want to assure you that this is a positive step forward for both
organizations--and an exciting development for our clients.
First and foremost, your annuity contract will continue to be honored by
Connecticut General in accordance with the contract terms. You will always have
the right to remain a Connecticut General contract holder, and your annuity
contract will continue to be backed by the financial strength and integrity of
Connecticut General.
In addition, you will continue to receive the same level of exceptional
service. And because the combination brings together CIGNA's premier life
insurance and financial planning expertise with Lincoln National Life Insurance
Company's leadership position in annuities and investment products, you will
have access to a broader range of product and service solutions to meet your
complex estate and financial planning needs.
I firmly believe this is an outstanding development for clients. If you have
questions about the agreement, or about your annuity contract, you may call our
Annuity and Variable Life Service Center at 1.800.552.9898, Monday through
Friday, 8 a.m. to 7 p.m. Eastern time.
As always, I want to thank you for your business, and I look forward to working
with you to develop the appropriate customized plan to meet your changing
financial planning needs.
Sincerely,
Thomas C. Jones
President
CIGNA Individual Insurance
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AIM/CIGNA HERITAGE VARIABLE ANNUITY
SCHEDULE OF CHANGES IN UNIT VALUES
PERIOD ENDED JUNE 30, 1997 (UNAUDITED)
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12/31/96 6/30/97
ACCUMULATION ACCUMULATION
SUB-ACCOUNT UNIT VALUE UNIT VALUE % CHANGE
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AIM V.I. Capital Appreciation $18.467244 $19.872567 7.6
AIM V.I. Diversified Income 12.591387 12.857928 2.1
AIM V.I. Global Utilities 13.826403 14.849766 7.4
AIM V.I. Government Securities 11.089217 11.304895 1.9
AIM V.I. Growth 16.280681 18.679179 14.7
AIM V.I. Growth and Income 15.835279 18.355699 15.9
AIM V.I. International Equity 15.578350 17.280302 10.9
AIM V.I. Money Market 11.155653 11.355546 1.8
AIM V.I. Value 17.590804 20.261538 15.2
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Accumulation Unit Values are net of charges against the assets of the Variable
Account for the assumption of mortality and expense risks and for
administrative expenses.
2
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The mutual fund semiannual report is incorporated herein by reference. It has
been electronically filed with the Securities and Exchange Commission in
connection with the named entity's status as a registered investment company
under the Investment Company Act of 1940:
AIM/CIGNA Heritage SemiAnnual Report, June 30, 1997, consisting of pages
3-96, plus inside back cover. Filed: September 4, 1997, Form Type N-30D,
Registration Statement 811-7452.
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AIM Variable Insurance Funds, Inc.
AIM V.I. Capital Appreciation Fund
AIM V.I. Diversified Income Fund
AIM V.I. Global Utilities Fund*
AIM V.I. Government Securities Fund
AIM V.I. Growth Fund
AIM V.I. Growth & Income Fund
AIM V.I. International Equity Fund
AIM V.I. Money Market Fund
AIM V.I. Value Fund
*On May 1, 1995, AIM V.I. Utilities Fund broadended its investment
strategy to permit up to 80% of its total assets to be invested in
foreign securities, and was renamed AIM V.I. Global Utilities Fund.
This report may be distributed only to current shareholders or to
persons who have received a current prospectus of the Variable
Annuity.
National Distributor:
CIGNA Financial Advisors
900 Cottage Grove Road
[X] Bloomfield, CT 06002
CIGNA
Individual CIGNA Individual Insurance is a
A I M Distributors, Inc. Insurance division of CIGNA Corporation.
