<PAGE>
GT Global
Allocator
A VARIABLE ANNUITY ISSUED
BY GENERAL AMERICAN LIFE
INSURANCE COMPANY
ANNUAL REPORT
DECEMBER 31, 1998
<PAGE>
GT GLOBAL
ALLOCATOR
DIVISIONS'
FINANCIAL
STATEMENTS
<PAGE>
INDEPENDENT AUDITORS' REPORT
- --------------------------------------------------------------------------------
The Board of Directors
General American Life Insurance Company
and Contractholders of General American Life
Insurance Company Separate Account Twenty-eight
and Separate Account Twenty-nine:
We have audited the statements of assets and liabilities, including the schedule
of investments of the Money Market, Variable Strategic Income, Variable Global
Government Income, and Variable U.S. Government Income Divisions of General
American Separate Account Twenty-eight and of the Variable New Pacific, Variable
Europe, Variable America, Variable Growth & Income, Variable Latin America,
Variable Telecommunications, Variable International, Variable Emerging Markets,
Variable Natural Resources, and Variable Infrastructure Divisions of General
American Separate Account Twenty-nine as of December 31, 1998, and the related
statements of operations for the year then ended, changes in net assets for each
of the years in the two-year period then ended, and the condensed financial
information for the periods presented. These financial statements and condensed
financial information are the responsibility of the management of General
American Separate Accounts Twenty-eight and Twenty-nine. Our responsibility is
to express an opinion on these financial statements and condensed financial
information based on our audits.
We conducted our audits in accordance with generally accepted auditing
standards. Those standards require that we plan and perform the audit to obtain
reasonable assurance about whether the financial statements and condensed
financial information are free of material misstatement. An audit includes
examining, on a test basis, evidence supporting the amounts and disclosures in
the financial statements. Our procedures included confirmation of investments
owned as of December 31, 1998, by correspondence with GT Global Variable
Investment Funds. An audit also includes assessing the accounting principles
used and significant estimates made by management, as well as evaluating the
overall financial statement presentation. We believe that our audits provide a
reasonable basis for our opinion.
In our opinion, the financial statements and condensed financial information
referred to above present fairly, in all material respects, the financial
position of the Money Market, Variable Strategic Income, Variable Global
Government Income, and Variable U.S. Government Income Divisions of General
American Separate Account Twenty-eight and of the Variable New Pacific, Variable
Europe, Variable America, Variable Growth & Income, Variable Latin America,
Variable Telecommunications, Variable International, Variable Emerging Markets,
Variable Natural Resources and Variable Infrastructure Divisions of General
American Separate Account Twenty-nine as of December 31, 1998, the results of
their operations for the year then ended, the changes in their net assets for
each of the years in the two-year period then ended, and the condensed financial
information for all periods presented, in conformity with generally accepted
accounting principles.
[SIGNATURE]
ST. LOUIS, MISSOURI
FEBRUARY 12, 1999
D1
<PAGE>
(THIS PAGE INTENTIONALLY LEFT BLANK)
D2
<PAGE>
GENERAL AMERICAN SEPARATE ACCOUNT TWENTY-EIGHT
STATEMENTS OF ASSETS
AND LIABILITIES
December 31, 1998
- --------------------------------------------------------------------------------
<TABLE>
<CAPTION>
VARIABLE VARIABLE GLOBAL VARIABLE U.S.
MONEY STRATEGIC GOVERNMENT GOVERNMENT
MARKET INCOME INCOME INCOME
DIVISION DIVISION DIVISION DIVISION
----------- ----------- --------------- -------------
<S> <C> <C> <C> <C>
Assets:
Investments in GT Global Variable
Investment Funds, at market value
(see Schedule of Investments):....... $34,254,658 $21,352,753 $8,896,473 $7,434,652
Receivable from GT Global Financial
Services, Inc........................ 130,265 0 0 0
----------- ----------- --------------- -------------
Total assets........................ 34,384,923 21,352,753 8,896,473 7,434,652
----------- ----------- --------------- -------------
Liability:
Payable to General American Life
Insurance Company.................... 3,055,592 28,623 92,130 68,231
----------- ----------- --------------- -------------
Total net assets.................... $31,329,331 $21,324,130 $8,804,343 $7,366,421
----------- ----------- --------------- -------------
----------- ----------- --------------- -------------
Total net assets represented by:
Individual variable annuity contracts
cash value invested in
Separate Account..................... $31,329,331 $21,230,067 $8,766,456 $7,350,944
Individual variable annuity contracts
cash value in payment period......... 0 94,063 37,887 15,477
----------- ----------- --------------- -------------
Total net assets.................... $31,329,331 $21,324,130 $8,804,343 $7,366,421
----------- ----------- --------------- -------------
----------- ----------- --------------- -------------
Total individual units held............. 2,203,682 1,179,085 551,577 482,545
Individual unit value................... $ 14.22 $ 18.09 $ 15.96 $ 15.27
Cost of investments..................... $34,254,658 $22,746,695 $8,914,837 $7,428,628
</TABLE>
See accompanying notes to the financial statements.
D3
<PAGE>
GENERAL AMERICAN SEPARATE ACCOUNT TWENTY-EIGHT
STATEMENTS OF OPERATIONS
For the year ended December 31, 1998
- --------------------------------------------------------------------------------
<TABLE>
<CAPTION>
VARIABLE VARIABLE GLOBAL VARIABLE U.S.
MONEY STRATEGIC GOVERNMENT GOVERNMENT
MARKET INCOME INCOME INCOME
DIVISION DIVISION DIVISION DIVISION
---------- ----------- --------------- -------------
<S> <C> <C> <C> <C>
Investment income:
Dividend income....................... $1,489,559 $ 1,724,505 $ 474,106 $ 367,257
Expenses:
Mortality, expense and administrative
charges.............................. (443,328) (338,014) (121,937) (101,078)
---------- ----------- --------------- -------------
Net investment income................. 1,046,231 1,386,491 352,169 266,179
---------- ----------- --------------- -------------
Net realized gain (loss) on investments:
Realized gain from distributions...... 0 0 0 0
Realized gain (loss) on sales......... 0 (688,015) 591,887 418,601
---------- ----------- --------------- -------------
Net realized gain (loss) on
investments.......................... 0 (688,015) 591,887 418,601
---------- ----------- --------------- -------------
Net unrealized gain (loss) on
investments:
Unrealized gain (loss) on investments,
beginning of period.................. 0 (197,919) 26,963 146,515
Unrealized gain (loss) on investments,
end of period........................ 0 (1,393,942) (18,364) 6,024
---------- ----------- --------------- -------------
Net unrealized (loss) on
investments.......................... 0 (1,196,023) (45,327) (140,491)
---------- ----------- --------------- -------------
Net gain (loss) on investments........ 0 (1,884,038) 546,560 278,110
---------- ----------- --------------- -------------
Net increase (decrease) in net assets
resulting from operations............ $1,046,231 $ (497,547) $ 898,729 $ 544,289
---------- ----------- --------------- -------------
---------- ----------- --------------- -------------
</TABLE>
See accompanying notes to the financial statements.
D4
<PAGE>
GENERAL AMERICAN SEPARATE ACCOUNT TWENTY-EIGHT
STATEMENTS OF CHANGES IN NET ASSETS
For the years ended December 31, 1998 and 1997
- --------------------------------------------------------------------------------
<TABLE>
<CAPTION>
VARIABLE
STRATEGIC INCOME
MONEY MARKET DIVISION DIVISION
------------------------ ------------------------
1998 1997 1998 1997
----------- ----------- ----------- -----------
<S> <C> <C> <C> <C>
Operations:
Net investment income................. $ 1,046,231 $ 725,948 $ 1,386,491 $ 1,595,442
Net realized gain (loss) on
investments.......................... 0 0 (688,015) 2,366,466
Net unrealized gain (loss) on
investments.......................... 0 0 (1,196,023) (2,341,472)
----------- ----------- ----------- -----------
Net increase in net assets resulting
from operations.................... 1,046,231 725,948 (497,547) 1,620,436
----------- ----------- ----------- -----------
Deposits into Separate Account........ 4,126,570 11,693,462 589,616 2,322,838
Transfers to (from) Separate
Account.............................. 10,874,210 3,257,598 (1,661,337) (4,271,620)
Withdrawals from Separate Account..... (11,447,788) (8,768,848) (4,875,464) (3,453,930)
----------- ----------- ----------- -----------
Net deposits into (withdrawals from)
Separate Account................... 3,552,992 6,182,212 (5,947,185) (5,402,712)
----------- ----------- ----------- -----------
Increase (decrease) in net assets..... 4,599,223 6,908,160 (6,444,732) (3,782,276)
Net assets, beginning of period....... 26,730,108 19,821,948 27,768,862 31,551,138
----------- ----------- ----------- -----------
Net assets, end of period............. $31,329,331 $26,730,108 $21,324,130 $27,768,862
----------- ----------- ----------- -----------
----------- ----------- ----------- -----------
</TABLE>
<TABLE>
<CAPTION>
VARIABLE VARIABLE
GLOBAL GOVERNMENT U.S. GOVERNMENT
INCOME DIVISION INCOME DIVISION
------------------------ ------------------------
1998 1997 1998 1997
----------- ----------- ----------- -----------
<S> <C> <C> <C> <C>
Operations:
Net investment income................. $ 352,169 $ 485,143 $ 266,179 $ 224,099
Net realized gain (loss) on
investments.......................... 591,887 (55,446) 418,601 (21,381)
Net unrealized gain (loss) on
investments.......................... (45,327) (201,827) (140,491) 173,803
----------- ----------- ----------- -----------
Net increase in net assets resulting
from operations.................... 898,729 227,870 544,289 376,521
----------- ----------- ----------- -----------
Deposits into Separate Account........ 232,266 859,739 274,206 1,727,218
Transfers to (from) Separate
Account.............................. 867,608 (1,767,441) 448,034 818,277
Withdrawals from Separate Account..... (1,401,213) (1,479,355) (1,203,725) (1,071,382)
----------- ----------- ----------- -----------
Net deposits into (withdrawals from)
Separate Account................... (301,339) (2,387,057) (481,485) 1,474,113
----------- ----------- ----------- -----------
Increase (decrease) in net assets..... 597,390 (2,159,187) 62,804 1,850,634
Net assets, beginning of period....... 8,206,953 10,366,140 7,303,617 5,452,983
----------- ----------- ----------- -----------
Net assets, end of period............. $ 8,804,343 $ 8,206,953 $ 7,366,421 $ 7,303,617
----------- ----------- ----------- -----------
----------- ----------- ----------- -----------
</TABLE>
See accompanying notes to the financial statements.
D5
<PAGE>
GENERAL AMERICAN SEPARATE ACCOUNT TWENTY-NINE
STATEMENTS OF ASSETS
AND LIABILITIES
December 31, 1998
- --------------------------------------------------------------------------------
<TABLE>
<CAPTION>
VARIABLE VARIABLE VARIABLE
NEW PACIFIC EUROPE AMERICA
DIVISION DIVISION DIVISION
------------ ------------ ------------
<S> <C> <C> <C>
Assets:
Investments in GT Global Variable
Investment Funds, at market value
(see Schedule of Investments):....... $ 9,795,249 $ 31,555,510 $ 38,365,879
Receivable from General American Life
Insurance Company.................... -- 834,732 2,178,157
------------ ------------ ------------
Total assets........................ 9,795,249 32,390,242 40,544,036
------------ ------------ ------------
Liability:
Payable to General American Life
Insurance Company.................... 28,762 -- --
------------ ------------ ------------
Total net assets.................... $ 9,766,487 $ 32,390,242 $ 40,544,036
------------ ------------ ------------
------------ ------------ ------------
Total net assets represented by:
Individual variable annuity contracts
cash value invested in Separate
Account.............................. $ 9,753,047 $ 32,356,720 $ 40,454,813
Individual variable annuity contracts
cash value in payment period......... 13,440 33,522 89,223
------------ ------------ ------------
Total net assets.................... $ 9,766,487 $ 32,390,242 $ 40,544,036
------------ ------------ ------------
------------ ------------ ------------
Total individual units held............. 1,146,208 1,209,667 1,458,252
Individual unit value................... $ 8.52 $ 26.78 $ 27.80
Cost of investments..................... $ 9,564,303 $ 30,086,433 $ 38,776,103
</TABLE>
See accompanying notes to the financial statements.
D6
<PAGE>
GENERAL AMERICAN SEPARATE ACCOUNT TWENTY-NINE
STATEMENTS OF ASSETS
AND LIABILITIES (cont'd)
December 31, 1998
- --------------------------------------------------------------------------------
<TABLE>
<CAPTION>
VARIABLE VARIABLE VARIABLE VARIABLE
GROWTH & VARIABLE TELECOM- VARIABLE EMERGING NATURAL VARIABLE
INCOME LATIN AMERICA MUNICATIONS INTERNATIONAL MARKETS RESOURCES INFRASTRUCTURE
DIVISION DIVISION DIVISION DIVISION DIVISION DIVISION DIVISION
------------ ------------- ------------ ------------- ------------ ------------ --------------
<S> <C> <C> <C> <C> <C> <C> <C>
Assets:
Investments in GT
Global Variable
Investment Funds,
at market value
(see Schedule of
Investments):.... $ 55,232,648 $ 8,919,049 $69,169,968 $ 7,078,025 $ 5,517,251 $ 6,224,119 $ 6,173,230
Receivable from
General American
Life Insurance
Company.......... 59,389 -- -- -- -- -- --
------------ ------------- ------------ ------------- ------------ ------------ --------------
Total assets.... 55,292,037 8,919,049 69,169,968 7,078,025 5,517,251 6,224,119 6,173,230
------------ ------------- ------------ ------------- ------------ ------------ --------------
Liability:
Payable to General
American Life
Insurance
Company.......... -- 33,697 389,723 43,272 20,248 15,205 22,323
------------ ------------- ------------ ------------- ------------ ------------ --------------
Total net
assets......... $ 55,292,037 $ 8,885,352 $68,780,245 $ 7,034,753 $ 5,497,003 $ 6,208,914 $ 6,150,907
------------ ------------- ------------ ------------- ------------ ------------ --------------
------------ ------------- ------------ ------------- ------------ ------------ --------------
Total net assets
represented by:
Individual
variable annuity
contracts cash
value invested in
Separate
Account.......... $ 55,089,022 $ 8,882,812 $68,678,341 $ 7,021,056 $ 5,489,777 $ 6,187,367 $ 6,140,510
Individual
variable annuity
contracts cash
value in payment
period........... 203,015 2,540 101,904 13,697 7,226 21,547 10,397
------------ ------------- ------------ ------------- ------------ ------------ --------------
Total net
assets......... $ 55,292,037 $ 8,885,352 $68,780,245 $ 7,034,753 $ 5,497,003 $ 6,208,914 $ 6,150,907
------------ ------------- ------------ ------------- ------------ ------------ --------------
------------ ------------- ------------ ------------- ------------ ------------ --------------
Total individual
units held......... 2,341,622 805,893 2,557,657 580,885 738,674 436,185 351,122
Individual unit
value.............. $ 23.61 $ 11.03 $ 26.89 $ 12.11 $ 7.44 $ 14.23 $ 17.52
Cost of
investments........ $ 52,978,416 $ 9,793,550 $64,258,399 $ 6,839,183 $ 5,610,801 $ 9,300,842 $ 6,086,697
</TABLE>
See accompanying notes to the financial statements.
D7
<PAGE>
GENERAL AMERICAN SEPARATE ACCOUNT TWENTY-NINE
STATEMENTS OF OPERATIONS
For the year ended December 31, 1998
- --------------------------------------------------------------------------------
<TABLE>
<CAPTION>
VARIABLE VARIABLE VARIABLE
NEW PACIFIC EUROPE AMERICA
DIVISION DIVISION DIVISION
----------- ---------- -----------
<S> <C> <C> <C>
Investment income:
Dividend income....................... $ 323,237 $ 60,495 $ 0
Expenses:
Mortality, expense and administrative
charges.............................. (163,324 ) (500,692) (559,355)
----------- ---------- -----------
Net investment income (loss)............ 159,913 (440,197) (559,355)
----------- ---------- -----------
Net realized gain (loss) on investments:
Realized gain from distributions...... 0 3,888,940 6,014,808
Realized gain (loss) on sales......... (1,303,057 ) 3,298,537 658,943
----------- ---------- -----------
Net realized gain (loss) on
investments........................ (1,303,057 ) 7,187,477 6,673,751
----------- ---------- -----------
Net unrealized gain (loss) on
investments:
Unrealized gain (loss) on investments,
beginning of period.................. (355,703 ) 760,316 3,499,457
Unrealized gain (loss) on investments,
end of period........................ 230,946 1,469,077 (410,224)
----------- ---------- -----------
Net unrealized gain (loss) on
investments........................ 586,649 708,761 (3,909,681)
----------- ---------- -----------
Net gain (loss) on investments...... (716,408 ) 7,896,238 2,764,070
----------- ---------- -----------
Net increase (decrease) in net assets
resulting from operations.............. $ (556,495 ) $7,456,041 $ 2,204,715
----------- ---------- -----------
----------- ---------- -----------
</TABLE>
See accompanying notes to the financial statements.
D8
<PAGE>
GENERAL AMERICAN SEPARATE ACCOUNT TWENTY-NINE
STATEMENTS OF OPERATIONS (cont'd)
For the year ended December 31, 1998
- --------------------------------------------------------------------------------
<TABLE>
<CAPTION>
VARIABLE VARIABLE VARIABLE VARIABLE
GROWTH & VARIABLE TELECOM- VARIABLE EMERGING NATURAL
INCOME LATIN AMERICA MUNICATIONS INTERNATIONAL MARKETS RESOURCES
DIVISION DIVISION DIVISION DIVISION DIVISION DIVISION
------------ ------------- ----------- ------------- ----------- -----------
<S> <C> <C> <C> <C> <C> <C>
Investment income:
Dividend income....................... $ 1,161,313 $ 280,405 $ 0 $ 54,600 $ 4,537 $ 0
Expenses:
Mortality, expense and administrative
charges.............................. (765,215) (203,424) (952,157 ) (89,263) (126,637) (141,096)
------------ ------------- ----------- ------------- ----------- -----------
Net investment income (loss)............ 396,098 76,981 (952,157 ) (34,663) (122,100) (141,096)
------------ ------------- ----------- ------------- ----------- -----------
Net realized gain (loss) on investments:
Realized gain from distributions...... 688,656 135,341 5,707,799 451,796 816,584 1,957,466
Realized gain (loss) on sales......... 7,133,317 (8,063,814) 2,427,177 (63,604) (7,502,716) (5,049,897)
------------ ------------- ----------- ------------- ----------- -----------
Net realized gain (loss) on
investments........................ 7,821,973 (7,928,473) 8,134,976 388,192 (6,686,132) (3,092,431)
------------ ------------- ----------- ------------- ----------- -----------
Net unrealized gain (loss) on
investments:
Unrealized gain (loss) on investments,
beginning of period.................. 1,607,745 (443,493) (248,171 ) 118,551 (2,835,733) (1,687,220)
Unrealized gain (loss) on investments,
end of period........................ 2,254,232 (874,501) 4,911,569 238,842 (93,550) (3,076,723)
------------ ------------- ----------- ------------- ----------- -----------
Net unrealized gain (loss) on
investments........................ 646,487 (431,008) 5,159,740 120,291 2,742,183 (1,389,503)
------------ ------------- ----------- ------------- ----------- -----------
Net gain (loss) on investments...... 8,468,460 (8,359,481) 13,294,716 508,483 (3,943,949) (4,481,934)
------------ ------------- ----------- ------------- ----------- -----------
Net increase (decrease) in net assets
resulting from operations.............. $ 8,864,558 $(8,282,500) $12,342,559 $473,820 $(4,066,049) $(4,623,030)
------------ ------------- ----------- ------------- ----------- -----------
------------ ------------- ----------- ------------- ----------- -----------
<CAPTION>
VARIABLE
INFRASTRUCTURE
DIVISION
--------------
<S> <C>
Investment income:
Dividend income....................... $ 74,835
Expenses:
Mortality, expense and administrative
charges.............................. (103,177)
--------------
Net investment income (loss)............ (28,342)
--------------
Net realized gain (loss) on investments:
Realized gain from distributions...... 0
Realized gain (loss) on sales......... 280,277
--------------
Net realized gain (loss) on
investments........................ 280,277
--------------
Net unrealized gain (loss) on
investments:
Unrealized gain (loss) on investments,
beginning of period.................. (22,448)
Unrealized gain (loss) on investments,
end of period........................ 86,533
--------------
Net unrealized gain (loss) on
investments........................ 108,981
--------------
Net gain (loss) on investments...... 389,258
--------------
Net increase (decrease) in net assets
resulting from operations.............. $ 360,916
--------------
--------------
</TABLE>
See accompanying notes to the financial statements.
D9
<PAGE>
GENERAL AMERICAN SEPARATE ACCOUNT TWENTY-NINE
STATEMENTS OF CHANGES IN NET ASSETS
For the years ended December 31, 1998 and 1997
- --------------------------------------------------------------------------------
<TABLE>
<CAPTION>
VARIABLE VARIABLE VARIABLE
NEW PACIFIC DIVISION EUROPE DIVISION AMERICA DIVISION
---------------------- ---------------------- ----------------------
1998 1997 1998 1997 1998 1997
---------- ---------- ---------- ---------- ---------- ----------
<S> <C> <C> <C> <C> <C> <C>
Operations:
Net investment income (loss).......... $ 159,913 $ (182,681) $ (440,197) $ (319,019) $ (559,355) $ (357,782)
Net realized gain (loss) on
investments.......................... (1,303,057) (8,240,926) 7,187,477 4,699,239 6,673,751 3,281,908
Net unrealized gain (loss) on
investments.......................... 586,649 (1,413,022) 708,761 (249,802) (3,909,681) 2,257,731
---------- ---------- ---------- ---------- ---------- ----------
Net increase (decrease) in net
assets resulting from operations... (556,495) (9,836,629) 7,456,041 4,130,418 2,204,715 5,181,857
Deposits into Separate Account........ 437,207 2,938,675 1,221,006 2,784,903 1,322,117 2,899,511
Transfers to (from) Separate
Account.............................. (3,613,152) (5,841,440) 3,539,888 (1,364,288) 2,386,380 (7,332)
Withdrawals from Separate Account..... (1,845,816) (2,847,511) (7,120,193) (2,631,950) (9,151,241) (5,773,807)
---------- ---------- ---------- ---------- ---------- ----------
Net deposits into (withdrawals from)
Separate Account................... (5,021,761) (5,750,276) (2,359,299) (1,211,335) (5,442,744) (2,881,628)
---------- ---------- ---------- ---------- ---------- ----------
Increase (decrease) in net assets..... (5,578,256) (15,586,905) 5,096,742 2,919,083 (3,238,029) 2,300,229
Net assets, beginning of period....... 15,344,743 30,931,648 27,293,500 24,374,417 43,782,065 41,481,836
---------- ---------- ---------- ---------- ---------- ----------
Net assets, end of period............. $9,766,487 $15,344,743 $32,390,242 $27,293,500 $40,544,036 $43,782,065
---------- ---------- ---------- ---------- ---------- ----------
---------- ---------- ---------- ---------- ---------- ----------
</TABLE>
<TABLE>
<CAPTION>
VARIABLE VARIABLE VARIABLE
EMERGING MARKETS NATURAL RESOURCES INFRASTRUCTURE
DIVISION DIVISION DIVISION
---------------------- ---------------------- ----------------------
1998 1997 1998 1997 1998 1997
---------- ---------- ---------- ---------- ---------- ----------
<S> <C> <C> <C> <C> <C> <C>
Operations:
Net investment income (loss).......... $ (122,100) $ (200,012) $ (141,096) $ (246,069) $ (28,342) $ (68,225)
Net realized gain (loss) on
investments.......................... (6,686,132) 1,728,201 (3,092,431) 2,832,149 280,277 713,970
Net unrealized gain (loss) on
investments.......................... 2,742,183 (3,766,102) (1,389,503) (2,761,942) 108,981 (447,579)
---------- ---------- ---------- ---------- ---------- ----------
Net increase (decrease) in net
assets resulting from operations... (4,066,049) (2,237,913) (4,623,030) (175,862) 360,916 198,166
Deposits into Separate Account........ 384,193 2,609,384 785,669 4,014,997 314,984 2,336,821
Transfers to (from) Separate
Account.............................. (5,088,834) 523,758 (4,279,195) (2,016,970) (1,757,657) 822,498
Withdrawals from Separate Account..... (2,005,301) (1,972,242) (2,120,793) (1,475,571) (1,413,107) (619,227)
---------- ---------- ---------- ---------- ---------- ----------
Net deposits into (withdrawals from)
Separate Account................... (6,709,942) 1,160,900 (5,614,319) 522,456 (2,855,780) 2,540,092
---------- ---------- ---------- ---------- ---------- ----------
Increase (decrease) in net assets..... (10,775,991) (1,077,013) (10,237,349) 346,594 (2,494,864) 2,738,258
Net assets, beginning of period....... 16,272,994 17,350,007 16,446,263 16,099,669 8,645,771 5,907,513
---------- ---------- ---------- ---------- ---------- ----------
Net assets, end of period............. $5,497,003 $16,272,994 $6,208,914 $16,446,263 $6,150,907 $8,645,771
---------- ---------- ---------- ---------- ---------- ----------
---------- ---------- ---------- ---------- ---------- ----------
</TABLE>
See accompanying notes to the financial statements.
D10
<PAGE>
GENERAL AMERICAN SEPARATE ACCOUNT TWENTY-NINE
STATEMENTS OF CHANGES IN NET ASSETS (cont'd)
For the years ended December 31, 1998 and 1997
- --------------------------------------------------------------------------------
<TABLE>
<CAPTION>
VARIABLE VARIABLE VARIABLE
GROWTH & INCOME VARIABLE TELECOMMUNICATIONS INTERNATIONAL
DIVISION LATIN AMERICA DIVISION DIVISION DIVISION
---------------------- ---------------------- ---------------------- ---------
1998 1997 1998 1997 1998 1997 1998
---------- ---------- ---------- ---------- ---------- ---------- ---------
<S> <C> <C> <C> <C> <C> <C> <C>
Operations:
Net investment income (loss).......... $ 396,098 $ 705,425 $ 76,981 $ (392,175) $ (952,157) $ (948,489) $ (34,663)
Net realized gain (loss) on
investments.......................... 7,821,973 7,956,869 (7,928,473) 5,652,203 8,134,976 16,144,141 388,192
Net unrealized gain (loss) on
investments.......................... 646,487 (2,609,309) (431,008) (2,046,668) 5,159,740 (7,331,066) 120,291
---------- ---------- ---------- ---------- ---------- ---------- ---------
Net increase (decrease) in net
assets resulting from operations... 8,864,558 6,052,985 (8,282,500) 3,213,360 12,342,559 7,864,586 473,820
Deposits into Separate Account........ 1,394,718 4,320,103 566,968 2,589,354 1,541,601 4,817,136 192,290
Transfers to (from) Separate
Account.............................. 4,831,962 8,674,747 (7,364,854) 2,508,321 (349,612) (919,250) 1,676,410
Withdrawals from Separate Account..... (9,978,026) (5,205,730) (3,434,437) (2,847,642) (12,413,145) (6,885,267) (915,108)
---------- ---------- ---------- ---------- ---------- ---------- ---------
Net deposits into (withdrawals from)
Separate Account................... (3,751,346) 7,789,120 (10,232,323) 2,250,033 (11,221,156) (2,987,381) 953,592
---------- ---------- ---------- ---------- ---------- ---------- ---------
Increase (decrease) in net assets..... 5,113,212 13,842,105 (18,514,823) 5,463,393 1,121,403 4,877,205 1,427,412
Net assets, beginning of period....... 50,178,825 36,336,720 27,400,175 21,936,782 67,658,842 62,781,637 5,607,341
---------- ---------- ---------- ---------- ---------- ---------- ---------
Net assets, end of period............. $55,292,037 $50,178,825 $8,885,352 $27,400,175 $68,780,245 $67,658,842 $7,034,753
---------- ---------- ---------- ---------- ---------- ---------- ---------
---------- ---------- ---------- ---------- ---------- ---------- ---------
<CAPTION>
1997
---------
<S> <C>
Operations:
Net investment income (loss).......... $ (67,241)
Net realized gain (loss) on
investments.......................... 569,720
Net unrealized gain (loss) on
investments.......................... (59,770)
---------
Net increase (decrease) in net
assets resulting from operations... 442,709
Deposits into Separate Account........ 930,625
Transfers to (from) Separate
Account.............................. 322,481
Withdrawals from Separate Account..... (578,830)
---------
Net deposits into (withdrawals from)
Separate Account................... 674,276
---------
Increase (decrease) in net assets..... 1,116,985
Net assets, beginning of period....... 4,490,356
---------
Net assets, end of period............. $5,607,341
---------
---------
</TABLE>
See accompanying notes to the financial statements.
D11
<PAGE>
GENERAL AMERICAN SEPARATE ACCOUNT TWENTY-EIGHT AND
GENERAL AMERICAN SEPARATE ACCOUNT TWENTY-NINE
NOTES TO FINANCIAL STATEMENTS
December 31, 1998
- --------------------------------------------------------------------------------
NOTE 1 -- ORGANIZATION
General American Separate Account Twenty-eight and General American Separate
Account Twenty-nine (the Separate Accounts) commenced operations on February 10,
1993, and are registered under the Investment Company Act of 1940 (1940 Act) as
unit investment trusts. The Separate Accounts receive purchase payments from
individual variable annuity contracts issued by General American Life Insurance
Company (General American) which may be qualified or non- qualified.
Separate Account Twenty-eight is divided into four divisions and Separate
Account Twenty-nine is divided into ten divisions. Each division invests
exclusively in shares of a single fund of GT Global Variable Investment Funds
(the Funds), an open-end diversified management investment company. Separate
Account Twenty-eight invests in the Money Market, Variable Strategic Income,
Variable Global Government Income, and Variable U.S. Government Income Funds.
Separate Account Twenty-nine invests in the Variable New Pacific, Variable
Europe, Variable America, Variable Growth & Income, Variable Latin America,
Variable Telecommunications, Variable International, Variable Emerging Markets,
Variable Natural Resources and Variable Infrastructure Funds.
Contractholders have the option of directing their deposits into one or all of
the Divisions as well as a fixed account of General American, which is not
generally subject to regulation under the Securities Act of 1933 or the 1940
Act. The unit values for the Separate Accounts for all divisions began at $12.00
on February 10, 1993, except the following Divisions of Separate Account
Twenty-nine which began at $12.00: the Variable Telecommunications Division on
October 18, 1993, the Variable International Division on July 12, 1994, the
Variable Emerging Markets Division on July 6, 1994, and the Variable Natural
Resources and Variable Infrastructure Divisions on January 31, 1995.
NOTE 2 -- SIGNIFICANT ACCOUNTING POLICIES
The following is a summary of significant accounting policies followed by the
Separate Accounts in the preparation of financial statements. The policies
followed are in conformity with generally accepted accounting principles.
(A) INVESTMENTS
The Separate Accounts' investments in the GT Global Variable Funds are valued
daily on the respective shares held and based on the net asset values as
reported to General American by the Funds at the close of each business day. The
specific identification method is used in determining the cost of shares sold on
withdrawals by the Separate Accounts. Share transactions are recorded on the
trade date, which is the same as the settlement date.
(B) FEDERAL INCOME TAXES
Under current Federal income tax law, the investment income and capital gains
from sales of investments of the Separate Accounts are not taxable. Therefore,
no Federal income tax expense has been provided.
(C) DIVIDEND REIMBURSEMENT
Dividends received from the underlying mutual funds are recorded on the
ex-dividend date and immediately reinvested on the pay date.
(D) USE OF ESTIMATES
The preparation of financial statements in conformity with generally accepted
accounting principles requires management to make estimates and assumptions that
affect the reported amounts of assets and liabilities and disclosure of
contingent assets and liabilities at the date of the financial statements and
the reported amounts of increase and decrease in net assets from operations
during the period. Actual results could differ from those estimates.
NOTE 3 -- CONTRACT CHARGES
MORTALITY AND EXPENSE RISK CHARGE: General American assumes the mortality and
expense risks and provides certain administrative services related to operating
the Separate Accounts, for which the Separate Accounts are charged an annual fee
of 1.25% based on the values at the end of each valuation period. Mortality and
expense charges for Separate Account Twenty-eight totaled $896,747 for the
period ended December 31, 1998. Mortality and expense charges for Separate
Account Twenty-nine totaled $3,218,161 for the period ended December 31, 1998.
SURRENDER CHARGE (CONTINGENT DEFERRED SALES CHARGE): Under Separate Account
contractual arrangements, General American is entitled to collect payment for
sales charges. Contracts are subject to a deferred sales charge contingent upon
full surrender of the contract or partial withdrawal of accumulated value. The
sales charge is 6% the first contract year, decreasing by 1% each subsequent
year. The contingent deferred sales charge will be waived in the event of
annuitization after the third year or on death if the date of issue is prior to
the annuitant's 80th birthday. Sales charges as a result of surrenders are
disclosed in Note 6.
ACCOUNT FEE AND ADMINISTRATIVE CHARGES: General American has the responsibility
for the administration of the contract. As reimbursement for account
administrative expenses, on the last day of the contract year, General American
deducts an account fee. For contracts with accumulated values less than $20,000,
the fee is the lesser of $30 or 2% of the accumulated value for contract years
ending prior to December 31, 1999. Thereafter, the account fee may be adjusted
annually. The account fee is waived for contracts with accumulated values of
$20,000 or more. General American charges an amount equal to the lesser of $25
or 2% of the amount transferred, for each transfer in excess of twelve (12)
during the contract year, excluding transfers made under the dollar cost
averaging program, personal portfolio rebalancing, or interest sweep program and
reserves the right to charge a fee to cover the expenses for special handling.
Account fees are disclosed in Note 6. General
12
<PAGE>
GENERAL AMERICAN SEPARATE ACCOUNT TWENTY-EIGHT AND
GENERAL AMERICAN SEPARATE ACCOUNT TWENTY-NINE
American also provides certain administrative services for which it charges an
administrative charge to the Separate Accounts at an annual rate of 0.15%.
Administrative charges for Separate Account Twenty-eight totaled $107,610 for
the period ended December 31, 1998. Administrative charges for Separate Account
Twenty-nine totaled $386,179 for the period ended December 31, 1998.
PREMIUM TAXES: In states which charge premium taxes, the taxes are withdrawn
from the purchase payment or the accumulated value of the contract. Premium
taxes are disclosed in Note 6.
NOTE 4 -- PURCHASES AND SALES OF GT GLOBAL VARIABLE INVESTMENT FUND SHARES
During the year ended December 31, 1998, cost of purchases and proceeds from
sales of GT Global Variable Investment Fund shares were as follows:
<TABLE>
<CAPTION>
SEPARATE ACCOUNT TWENTY-EIGHT PURCHASES SALES
- -------------------------------------------------------------------------------- ------------ ------------
<S> <C> <C>
Money Market Fund............................................................... $577,065,768 $559,927,800
Variable Strategic Income Fund.................................................. 19,470,553 23,990,461
Variable Global Government Income Fund.......................................... 15,006,630 14,864,251
Variable U.S. Government Income Fund............................................ 11,639,871 11,765,510
<CAPTION>
SEPARATE ACCOUNT TWENTY-NINE
- --------------------------------------------------------------------------------
<S> <C> <C>
Variable New Pacific Fund....................................................... $144,069,403 $151,475,672
Variable Europe Fund............................................................ 291,796,474 294,935,365
Variable America Fund........................................................... 45,431,229 48,421,304
Variable Growth & Income Fund................................................... 59,952,417 64,413,881
Variable Latin America Fund..................................................... 13,111,967 23,194,978
Variable Telecommunications Fund................................................ 34,660,959 40,781,480
Variable International Fund..................................................... 59,613,552 58,364,220
Variable Emerging Markets Fund.................................................. 28,336,567 35,046,721
Variable Natural Resources Fund................................................. 12,598,807 16,507,022
Variable Infrastructure Fund.................................................... 919,762 3,749,492
</TABLE>
NOTE 5 -- ACCUMULATION UNIT ACTIVITY
The following is a summary of the accumulation unit activity for the years ended
December 31, 1998 and 1997 for Separate Account Twenty-eight (in thousands):
<TABLE>
<CAPTION>
VARIABLE
STRATEGIC
MONEY MARKET INCOME
DIVISION DIVISION
------------- ------------
1998 1997 1998 1997
----- ------ ----- -----
<S> <C> <C> <C> <C>
Individual units held:
Deposits............................................................ 297 866 32 132
Transfers........................................................... 781 236 (93) (241)
Withdrawals......................................................... (817) (649) (265) (193)
Outstanding units, beginning of period.............................. 1,943 1,490 1,505 1,807
----- ------ ----- -----
Outstanding units, end of period.................................... 2,204 1,943 1,179 1,505
----- ------ ----- -----
----- ------ ----- -----
General American Life Insurance Company seed money:
Deposits............................................................ 0 0 0 0
Transfers........................................................... 0 0 0 0
Withdrawals......................................................... 0 0 0 0
Outstanding units, beginning of period.............................. 0 0 0 0
----- ------ ----- -----
Outstanding units, end of period.................................... 0 0 0 0
----- ------ ----- -----
----- ------ ----- -----
<CAPTION>
VARIABLE VARIABLE
GLOBAL U.S.
GOVERNMENT GOVERNMENT
INCOME INCOME
DIVISION DIVISION
------------ ------------
1998 1997 1998 1997
----- ----- ----- -----
<S> <C> <C> <C> <C>
Individual units held:
Deposits............................................................ 16 62 19 130
Transfers........................................................... 58 (127) 30 54
Withdrawals......................................................... (93) (107) (81) (62)
Outstanding units, beginning of period.............................. 571 743 515 393
----- ----- ----- -----
Outstanding units, end of period.................................... 552 571 483 515
----- ----- ----- -----
----- ----- ----- -----
General American Life Insurance Company seed money:
Deposits............................................................ 0 0 0 0
Transfers........................................................... 0 0 0 0
Withdrawals......................................................... 0 0 0 (17)
Outstanding units, beginning of period.............................. 0 0 0 17
----- ----- ----- -----
Outstanding units, end of period.................................... 0 0 0 0
----- ----- ----- -----
----- ----- ----- -----
</TABLE>
13
<PAGE>
GENERAL AMERICAN SEPARATE ACCOUNT TWENTY-EIGHT AND
GENERAL AMERICAN SEPARATE ACCOUNT TWENTY-NINE
NOTE 5 -- ACCUMULATION UNIT ACTIVITY (CONT'D)
The following is a summary of the accumulation unit activity for the years ended
December 31, 1998 and 1997 for Separate Account Twenty-nine (in thousands).
There was no activity in Separate Account Twenty-nine relating to General
American Life Insurance Company seed money.
<TABLE>
<CAPTION>
VARIABLE NEW VARIABLE VARIABLE
PACIFIC EUROPE AMERICA
DIVISION DIVISION DIVISION
------------- ------------ ------------
1998 1997 1998 1997 1998 1997
----- ------ ----- ----- ----- -----
<S> <C> <C> <C> <C> <C> <C>
Individual units held:
Deposits........................................ 43 181 43 129 50 130
Transfers....................................... (203) (253) 265 (26) 82 (5)
Withdrawals..................................... (212) (186) (264) (119) (353) (248)
Outstanding units, beginning of period.......... 1,518 1,776 1,166 1,182 1,679 1,802
----- ------ ----- ----- ----- -----
Outstanding units, end of period................ 1,146 1,518 1,210 1,166 1,458 1,679
----- ------ ----- ----- ----- -----
----- ------ ----- ----- ----- -----
<CAPTION>
VARIABLE VARIABLE
GROWTH & LATIN
INCOME AMERICA
DIVISION DIVISION
------------ ------------
1998 1997 1998 1997
----- ----- ----- -----
<S> <C> <C> <C> <C>
Individual units held:
Deposits........................................ 65 238 35 135
Transfers....................................... 226 469 (434) 149
Withdrawals..................................... (455) (281) (224) (147)
Outstanding units, beginning of period.......... 2,506 2,080 1,429 1,292
----- ----- ----- -----
Outstanding units, end of period................ 2,342 2,506 806 1,429
----- ----- ----- -----
----- ----- ----- -----
</TABLE>
<TABLE>
<CAPTION>
VARIABLE VARIABLE
TELECOMMUNICA- VARIABLE EMERGING
TIONS INTERNATIONAL MARKETS
DIVISION DIVISION DIVISION
------------- ------------ ------------
1998 1997 1998 1997 1998 1997
----- ------ ----- ----- ----- -----
<S> <C> <C> <C> <C> <C> <C>
Individual units held:
Deposits........................................ 63 235 16 73 36 175
Transfers....................................... (37) (65) 184 45 (456) 86
Withdrawals..................................... (498) (317) (73) (48) (202) (134)
Outstanding units, beginning of period.......... 3,030 3,177 454 384 1,361 1,234
----- ------ ----- ----- ----- -----
Outstanding units, end of period................ 2,558 3,030 581 454 739 1,361
----- ------ ----- ----- ----- -----
----- ------ ----- ----- ----- -----
<CAPTION>
VARIABLE
NATURAL VARIABLE
RESOURCES INFRASTRUCTURE
DIVISION DIVISION
------------ ------------
1998 1997 1998 1997
----- ----- ----- -----
<S> <C> <C> <C> <C>
Individual units held:
Deposits........................................ 41 197 17 140
Transfers....................................... (244) (109) (103) 48
Withdrawals..................................... (124) (71) (81) (36)
Outstanding units, beginning of period.......... 763 746 518 366
----- ----- ----- -----
Outstanding units, end of period................ 436 763 351 518
----- ----- ----- -----
----- ----- ----- -----
</TABLE>
NOTE 6 -- SUMMARY OF GROSS AND NET DEPOSITS INTO SEPARATE ACCOUNT
Deposits into the Separate Account are used to purchase shares in GT Global
Variable Investment Funds. Net deposits represent the amounts available for
investment in such shares after deduction of premium taxes, administrative
costs, and surrender charges. Activity for Separate Account Twenty-eight
follows.
<TABLE>
<CAPTION>
VARIABLE STRATEGIC
MONEY MARKET DIVISION INCOME DIVISION
-------------------------------- --------------------------------
1998 1997 1998 1997
--------------- --------------- --------------- ---------------
<S> <C> <C> <C> <C>
Total gross deposits.............................. $ 4,216,030 $ 11,762,049 $ 596,851 $ 2,330,258
Transfers between fund divisions and General
American......................................... 10,874,210 3,257,598 (1,661,337) (4,271,620)
Surrenders and withdrawals........................ (11,222,268) (8,576,294) (4,797,048) (3,390,198)
--------------- --------------- --------------- ---------------
Total of gross deposits, transfers, and
surrenders between fund divisions............ 3,867,972 6,443,353 (5,861,534) (5,331,560)
--------------- --------------- --------------- ---------------
Deductions:
Premium taxes................................... (3,705) (3,730) (1,688) (51)
Account Fees.................................... (85,755) (64,857) (5,548) (7,370)
Surrender charges............................... (225,520) (192,554) (78,415) (63,731)
--------------- --------------- --------------- ---------------
Total deductions.............................. (314,980) (261,141) (85,651) (71,152)
--------------- --------------- --------------- ---------------
Net deposits into (deductions from) Separate
Account.......................................... $ 3,552,992 $ 6,182,212 $ (5,947,185) $ (5,402,712)
--------------- --------------- --------------- ---------------
--------------- --------------- --------------- ---------------
</TABLE>
14
<PAGE>
GENERAL AMERICAN SEPARATE ACCOUNT TWENTY-EIGHT AND
GENERAL AMERICAN SEPARATE ACCOUNT TWENTY-NINE
<TABLE>
<CAPTION>
VARIABLE GLOBAL GOVERNMENT VARIABLE U.S. GOVERNMENT INCOME
INCOME DIVISION DIVISION
-------------------------------- --------------------------------
1998 1997 1998 1997
--------------- --------------- --------------- ---------------
<S> <C> <C> <C> <C>
Total gross deposits.............................. $ 236,964 $ 861,470 $ 278,136 $ 1,728,413
Transfers between fund divisions and General
American......................................... 867,608 (1,767,441) 448,034 818,277
Surrenders and withdrawals........................ (1,384,864) (1,451,204) (1,183,992) (1,059,973)
--------------- --------------- --------------- ---------------
Total of gross deposits, transfers, and
surrenders between fund divisions............ (280,292) (2,357,175) (457,822) 1,486,717
--------------- --------------- --------------- ---------------
Deductions:
Premium taxes................................... (1,093) (81) (1,530) (40)
Account Fees.................................... (3,605) (1,650) (2,400) (1,155)
Surrender charges............................... (16,349) (28,151) (19,733) (11,409)
--------------- --------------- --------------- ---------------
Total deductions.............................. (21,047) (29,882) (23,663) (12,604)
--------------- --------------- --------------- ---------------
Net deposits into (deductions from) Separate
Account.......................................... $ (301,339) $ (2,387,057) $ (481,485) $ 1,474,113
--------------- --------------- --------------- ---------------
--------------- --------------- --------------- ---------------
</TABLE>
Deposits into the Separate Account are used to purchase shares in GT Global
Variable Investment Funds. Net deposits represent the amounts available for
investment in such shares after deduction of premium taxes, administrative
costs, and surrender charges. Activity for Separate Account Twenty-nine follows.
<TABLE>
<CAPTION>
VARIABLE NEW PACIFIC DIVISION VARIABLE EUROPE DIVISION
-------------------------------- --------------------------------
1998 1997 1998 1997
--------------- --------------- --------------- ---------------
<S> <C> <C> <C> <C>
Total gross deposits.............................. $ 467,192 $ 2,973,353 $ 1,263,348 $ 2,802,922
Transfers between fund divisions and General
American......................................... (3,613,152) (5,841,440) 3,539,888 (1,364,288)
Surrenders and withdrawals........................ (1,811,064) (2,789,649) (6,981,674) (2,584,983)
--------------- --------------- --------------- ---------------
Total of gross deposits, transfers, and
surrenders between fund divisions............ (4,957,024) (5,657,736) (2,178,438) (1,146,349)
--------------- --------------- --------------- ---------------
Deductions:
Premium taxes................................... (669) (510) (264) (627)
Account Fees.................................... (29,317) (34,169) (42,079) (17,392)
Surrender charges............................... (34,751) (57,861) (138,518) (46,967)
--------------- --------------- --------------- ---------------
Total deductions.............................. (64,737) (92,540) (180,861) (64,986)
Net deposits into (deductions from) Separate
Account.......................................... $ (5,021,761) $ (5,750,276) $ (2,359,299) $ (1,211,335)
--------------- --------------- --------------- ---------------
--------------- --------------- --------------- ---------------
<CAPTION>
VARIABLE AMERICA DIVISION
--------------------------------
1998 1997
--------------- ---------------
<S> <C> <C>
Total gross deposits.............................. $ 1,342,670 $ 2,915,843
Transfers between fund divisions and General
American......................................... 2,386,380 (7,332)
Surrenders and withdrawals........................ (8,968,710) (5,643,007)
--------------- ---------------
Total of gross deposits, transfers, and
surrenders between fund divisions............ (5,239,660) (2,734,496)
--------------- ---------------
Deductions:
Premium taxes................................... (2,032) (649)
Account Fees.................................... (18,522) (15,683)
Surrender charges............................... (182,530) (130,800)
--------------- ---------------
Total deductions.............................. (203,084) (147,132)
Net deposits into (deductions from) Separate
Account.......................................... $ (5,442,744) $ (2,881,628)
--------------- ---------------
--------------- ---------------
</TABLE>
<TABLE>
<CAPTION>
VARIABLE EMERGING MARKETS VARIABLE NATURAL RESOURCES
DIVISION DIVISION
-------------------------------- --------------------------------
1998 1997 1998 1997
--------------- --------------- --------------- ---------------
<S> <C> <C> <C> <C>
Total gross deposits.............................. $ 388,910 $ 2,618,157 $ 791,216 $ 4,026,534
Transfers between fund divisions and General
American......................................... (5,088,834) 523,758 (4,279,195) (2,016,970)
Surrenders and withdrawals........................ (1,955,068) (1,930,698) (2,064,704) (1,444,994)
--------------- --------------- --------------- ---------------
Total of gross deposits, transfers, and
surrenders between fund divisions............ (6,654,992) 1,211,217 (5,552,683) 564,570
--------------- --------------- --------------- ---------------
Deductions:
Premium taxes................................... (1,079) (415) 0 (562)
Account Fees.................................... (3,638) (8,358) (5,547) (10,975)
Surrender charges............................... (50,233) (41,544) (56,089) (30,577)
--------------- --------------- --------------- ---------------
Total deductions.............................. (54,950) (50,317) (61,636) (42,114)
--------------- --------------- --------------- ---------------
Net deposits into (deductions from) Separate
Account.......................................... $ (6,709,942) $ 1,160,900 $ (5,614,319) $ 522,456
--------------- --------------- --------------- ---------------
--------------- --------------- --------------- ---------------
<CAPTION>
VARIABLE INFRASTRUCTURE DIVISION
--------------------------------
1998 1997
--------------- ---------------
<S> <C> <C>
Total gross deposits.............................. $ 316,330 $ 2,337,828
Transfers between fund divisions and General
American......................................... (1,757,657) 822,498
Surrenders and withdrawals........................ (1,371,569) (607,136)
--------------- ---------------
Total of gross deposits, transfers, and
surrenders between fund divisions............ (2,812,896) 2,553,190
--------------- ---------------
Deductions:
Premium taxes................................... 0 0
Account Fees.................................... (1,346) (1,007)
Surrender charges............................... (41,538) (12,091)
--------------- ---------------
Total deductions.............................. (42,884) (13,098)
--------------- ---------------
Net deposits into (deductions from) Separate
Account.......................................... $ (2,855,780) $ 2,540,092
--------------- ---------------
--------------- ---------------
</TABLE>
15
<PAGE>
GENERAL AMERICAN SEPARATE ACCOUNT TWENTY-EIGHT AND
GENERAL AMERICAN SEPARATE ACCOUNT TWENTY-NINE
<TABLE>
<CAPTION>
VARIABLE VARIABLE
GROWTH & INCOME DIVISION LATIN AMERICA DIVISION
--------------------------------- ---------------------------------
1998 1997 1998 1997
---------------- --------------- ---------------- ---------------
<S> <C> <C> <C> <C>
Total gross deposits.............................. $ 1,415,739 $ 4,331,413 $ 574,021 $ 2,602,831
Transfers between fund divisions and General
American......................................... 4,831,962 8,674,747 (7,364,854) 2,508,321
Surrenders and withdrawals........................ (9,801,457) (5,112,202) (3,366,528) (2,791,244)
---------------- --------------- ---------------- ---------------
Total of gross deposits, transfers, and
surrenders between fund divisions............ (3,553,756) 7,893,958 (10,157,361) 2,319,908
---------------- --------------- ---------------- ---------------
Deductions:
Premium taxes................................... (2,685) (479) (1,300) (555)
Account Fees.................................... (18,337) (10,830) (5,753) (12,923)
Surrender charges............................... (176,568) (93,529) (67,909) (56,397)
---------------- --------------- ---------------- ---------------
Total deductions.............................. (197,590) (104,838) (74,962) (69,875)
---------------- --------------- ---------------- ---------------
Net deposits into (deductions from) Separate
Account.......................................... $ (3,751,346) $ 7,789,120 $ (10,232,323) $ 2,250,033
---------------- --------------- ---------------- ---------------
---------------- --------------- ---------------- ---------------
</TABLE>
<TABLE>
<CAPTION>
VARIABLE VARIABLE
TELECOMMUNICATIONS DIVISION INTERNATIONAL DIVISION
--------------------------------- ---------------------------------
1998 1997 1998 1997
---------------- --------------- ---------------- ---------------
<S> <C> <C> <C> <C>
Total gross deposits.............................. $ 1,581,728 $ 4,855,387 $ 202,306 $ 936,339
Transfers between fund divisions and General
American......................................... (349,612) (919,250) 1,676,410 322,481
Surrenders and withdrawals........................ (12,173,840) (6,748,959) (899,949) (565,656)
---------------- --------------- ---------------- ---------------
Total of gross deposits, transfers, and
surrenders between fund divisions............ (10,941,724) (2,812,822) 978,767 693,164
---------------- --------------- ---------------- ---------------
Deductions:
Premium taxes................................... (3,520) (1,705) 0 0
Account Fees.................................... (36,607) (36,546) (10,016) (5,715)
Surrender charges............................... (239,305) (136,308) (15,159) (13,173)
---------------- --------------- ---------------- ---------------
Total deductions.............................. (279,432) (174,559) (25,175) (18,888)
---------------- --------------- ---------------- ---------------
Net deposits into (deductions from) Separate
Account.......................................... $ (11,221,156) $ (2,987,381) $ 953,592 $ 674,276
---------------- --------------- ---------------- ---------------
---------------- --------------- ---------------- ---------------
</TABLE>
16
<PAGE>
GENERAL AMERICAN SEPARATE ACCOUNT TWENTY-EIGHT AND
GENERAL AMERICAN SEPARATE ACCOUNT TWENTY-NINE
SCHEDULE OF INVESTMENTS
December 31, 1998
- --------------------------------------------------------------------------------
<TABLE>
<CAPTION>
SEPARATE ACCOUNT TWENTY-EIGHT: NO. OF SHARES MARKET VALUE
- -------------------------------------------------------------------------------- ------------- ------------
<S> <C> <C>
GT Global: Money Market Fund.................................................. 34,254,658 $ 34,254,658
GT Global: Variable Strategic Income Fund..................................... 1,723,386 21,352,753
GT Global: Variable Global Government Income Fund............................. 746,975 8,896,473
GT Global: Variable U.S. Government Income Fund............................... 613,927 7,434,652
<CAPTION>
SEPARATE ACCOUNT TWENTY-NINE:
- --------------------------------------------------------------------------------
<S> <C> <C>
GT Global: Variable New Pacific Fund.......................................... 1,123,308 9,795,249
GT Global: Variable Europe Fund............................................... 1,353,152 31,555,510
GT Global: Variable America Fund.............................................. 1,904,014 38,365,879
GT Global: Variable Growth & Income Fund...................................... 2,567,766 55,232,648
GT Global: Variable Latin America Fund........................................ 928,101 8,919,049
GT Global: Variable Telecommunications Fund................................... 3,348,014 69,169,968
GT Global: Variable International Fund........................................ 596,295 7,078,025
GT Global: Variable Emerging Markets Fund..................................... 824,701 5,517,251
GT Global: Variable Natural Resources Fund.................................... 571,020 6,224,119
GT Global: Variable Infrastructure Fund....................................... 358,492 6,173,230
</TABLE>
See accompanying independent auditors' report.
17
<PAGE>
GENERAL AMERICAN SEPARATE ACCOUNT TWENTY-EIGHT
CONDENSED FINANCIAL INFORMATION
December 31, 1998
- --------------------------------------------------------------------------------
<TABLE>
<CAPTION>
ACCUMULATION TOTAL UNITS
ACCUMULATION UNIT VALUE: OUTSTANDING,
UNIT VALUE: END OF END OF PERIOD
BEGINNING OF PERIOD* PERIOD (IN THOUSANDS)
-------------------- ------------ --------------
<S> <C> <C> <C> <C>
Money Market Division................................................. 1998 13.75 14.22 2,204
1997 13.30 13.75 1,943
1996 12.87 13.30 1,490
1995 12.40 12.87 1,158
1994 12.15 12.40 1,572
1993 12.00 12.15 303
Variable Strategic Income Division.................................... 1998 18.45 18.09 1,179
1997 17.46 18.45 1,505
1996 14.56 17.46 1,807
1995 12.36 14.56 1,737
1994 15.11 12.36 1,886
1993 12.00 15.11 1,187
Variable Global Government Income Division............................ 1998 14.36 15.96 552
1997 13.95 14.36 571
1996 13.33 13.95 743
1995 11.66 13.33 893
1994 12.95 11.66 825
1993 12.00 12.95 464
Variable U.S. Government Income Division.............................. 1998 14.19 15.27 483
1997 13.29 14.19 515
1996 13.18 13.29 410
1995 11.65 13.18 452
1994 12.61 11.65 205
1993 12.00 12.61 69
</TABLE>
- --------------
* At inception of Separate Account on February 10, 1993.
See accompanying independent auditors' report.
18
<PAGE>
GENERAL AMERICAN SEPARATE ACCOUNT TWENTY-NINE
CONDENSED FINANCIAL INFORMATION
December 31, 1998
- --------------------------------------------------------------------------------
<TABLE>
<CAPTION>
ACCUMULATION TOTAL UNITS
ACCUMULATION UNIT VALUE: OUTSTANDING,
UNIT VALUE: END OF END OF PERIOD
BEGINNING OF PERIOD* PERIOD (IN THOUSANDS)
-------------------- ------------ --------------
<S> <C> <C> <C> <C>
Variable New Pacific Division......................................... 1998 10.11 8.52 1,146
1997 17.41 10.11 1,518
1996 13.48 17.41 1,776
1995 13.70 13.48 1,687
1994 15.87 13.70 1,410
1993 12.00 15.87 492
Variable Europe Division.............................................. 1998 23.41 26.78 1,210
1997 20.62 23.41 1,166
1996 16.05 20.62 1,182
1995 14.84 16.05 970
1994 15.14 14.84 1,007
1993 12.00 15.14 349
Variable America Division............................................. 1998 26.08 27.80 1,458
1997 23.02 26.08 1,679
1996 19.69 23.02 1,802
1995 15.93 19.69 1,906
1994 13.59 15.93 953
1993 12.00 13.59 117
Variable Growth & Income Division..................................... 1998 20.02 23.61 2,342
1997 17.47 20.02 2,506
1996 15.23 17.47 2,080
1995 13.37 15.23 2,002
1994 13.96 13.37 1,908
1993 12.00 13.96 827
Variable Latin America Division....................................... 1998 19.18 11.03 806
1997 16.98 19.18 1,429
1996 14.06 16.98 1,292
1995 18.79 14.06 1,380
1994 17.46 18.79 1,412
1993 12.00 17.46 463
Variable Telecommunications Division.................................. 1998 22.33 26.89 2,558
1997 19.76 22.33 3,030
1996 16.79 19.76 3,177
1995 13.77 16.79 3,019
1994 13.03 13.77 2,612
1993 12.00 13.03 605
Variable International Division....................................... 1998 12.34 12.11 581
1997 11.70 12.34 454
1996 10.94 11.70 384
1995 11.22 10.94 314
1994 12.00 11.22 172
Variable Emerging Markets Division.................................... 1998 11.96 7.44 739
1997 14.06 11.96 1,361
1996 10.88 14.06 1,234
1995 11.93 10.88 809
1994 12.00 11.93 574
</TABLE>
19
<PAGE>
GENERAL AMERICAN SEPARATE ACCOUNT TWENTY-NINE
<TABLE>
<CAPTION>
ACCUMULATION TOTAL UNITS
ACCUMULATION UNIT VALUE: OUTSTANDING,
UNIT VALUE: END OF END OF PERIOD
BEGINNING OF PERIOD* PERIOD (IN THOUSANDS)
-------------------- ------------ --------------
<S> <C> <C> <C> <C>
Variable Natural Resources Division................................... 1998 21.54 14.23 436
1997 21.57 21.54 763
1996 14.47 21.57 746
1995 12.00 14.47 86
Variable Infrastructure Division...................................... 1998 16.71 17.52 351
1997 16.13 16.71 518
1996 13.10 16.13 366
1995 12.00 13.10 113
</TABLE>
- --------------
* At inception of Separate Account on February 10, 1993, except for the Variable
Telecommunications Division, which commenced operations on October 18, 1993;
the Variable International Growth Division, which commenced operations on July
12, 1994; the Variable Emerging Markets Division, which commenced operations
on July 6, 1994; and the Variable Natural Resources Division and Variable
Infrastructure Division which commenced operations on January 31, 1995.
See accompanying independent auditors' report.
20
<PAGE>
[LOGO]
GT Global, Inc.
Fifty California Street
27th Floor
San Francisco, CA
94111-4624
GT GLOBAL, INC., PRINCIPAL UNDERWRITER AND DISTRIBUTOR
Policy Form #10079
GAL-AR-1
<PAGE>
EXHIBIT I
The following documents have been previously filed via EDGAR and are herein
incorporated by reference. Financial information may be obtained from the
following.
<TABLE>
<CAPTION>
DATE FORM 40 ACT
FUND NAME CIK # SUBMITTED TYPE FILE # ACCESSION #
- --------- ----- --------- ---- ------ -----------
<S> <C> <C> <C> <C> <C>
G.T. Global Variable Investment Series 0000887700 3/10/99 N-30D 811-7166
GT Global Variable New Pacific 0000887700 3/10/99 N-30D 811-7166
GT Global Variable Europe Fund 0000887700 3/10/99 N-30D 811-7166
GT Global Variable America Fund 0000887700 3/10/99 N-30D 811-7166
GT Global Variable International Fund 0000887700 3/10/99 N-30D 811-7166
GT Global Money Market Fund 0000887700 3/10/99 N-30D 811-7166
G.T. Global Variable Investment Trust 0000891761 3/10/99 N-30D 811-7164
GT Global Variable Latin America Fund 0000891761 3/10/99 N-30D 811-7164
GT Global Variable Telecommunications Fund 0000891761 3/10/99 N-30D 811-7164
GT Global Variable Growth and Income Fund 0000891761 3/10/99 N-30D 811-7164
GT Global Variable Strategic Income Fund 0000891761 3/10/99 N-30D 811-7164
GT Global Variable Emerging Markets Fund 0000891761 3/10/99 N-30D 811-7164
GT Global Variable Global Government Income Fund 0000891761 3/10/99 N-30D 811-7164
GT Global Variable U.S. Government Fund 0000891761 3/10/99 N-30D 811-7164
GT Global Variable Infrastructure Fund 0000891761 3/10/99 N-30D 811-7164
GT Global Variable Natural Resources Fund 0000891761 3/10/99 N-30D 811-7164
</TABLE>
