INDIVIDUAL FLEXIBLE PREMIUM DEFERRED VARIABLE
ANNUITY CONTRACT
ISSUED BY
LUTHERAN BROTHERHOOD
Supplement to Prospectus Dated May 1, 1997
The general purpose of this supplement is to provide information about the
new Mid Cap Growth Subaccount, now available under LB Variable Annuity
Account I (the "Variable Account"). The assets of the Mid Cap Growth
Subaccount will be invested exclusively in shares of the new Mid Cap Growth
Portfolio of LB Series Fund, Inc. (the "Fund"). The investment objectives
of the new Portfolio is:
Mid Cap Growth Portfolio. To achieve long term growth of capital by
investing primarily in a professionally managed diversified portfolio of
common stocks of companies with medium market capitalizations.
The prospectus for the Fund fully describes the investment objectives and
attendant risks of the Mid Cap Growth Portfolio, along with the six other
Portfolios.
Accordingly, the following changes are made to the prospectus for the
Contract:
1. All current references to the various Subaccounts of the Variable
Account and Portfolios of the Fund are changed to include the Mid Cap Growth
Subaccount and the Mid Cap Growth Portfolio.
2. The current references to the Fund and its investment adviser are
amended to include the following:
Lutheran Brotherhood ("LB") is the investment adviser of the Fund. LB was
founded in 1917 as a fraternal benefit society, owned by and operated for
its members, under the laws of Minnesota. LB has been engaged in the
investment advisory business since 1970, either directly or through the
indirect ownership of Lutheran Brotherhood Research Corp., the Fund's
investment adviser prior to January 31, 1994.
For its services, LB receives from the Fund a daily investment advisory fee
equal to an annual rate of .40% of the aggregate average daily net assets of
the Money Market, Income, High Yield, Growth, Mid Cap Growth and Opportunity
Growth Portfolios. LB also receives an annual investment advisory fee from
the Fund equal to .85% of the aggregate average daily net assets of the
World Growth Portfolio.
3. The Summary Fee Table on pages 6-7 of the prospectus for the Growth,
High Yield, Income, Mid Cap Growth, Opportunity Growth, and Money Market
Subaccounts is amended to include the Mid Cap Growth Subaccount. The
Summary Fee Table on pages 6-7 of the prospectus for the Growth, High Yield,
Income, Mid Cap Growth, Opportunity Growth, and Money Market Portfolio is
amended to include the Mid Cap Growth Portfolio.
4. The administrative charge as described in the Summary section and the
section entitled "Charges and Deductions" is changed to read as follows:
Administrative Charge. On each Contract Anniversary prior to and including
the Maturity Date, LB deducts an annual administrative charge of $30 from
the Accumulated Value of each Contract. No such charge is deducted if on
that Contract Anniversary the total amount of premiums paid under the
Contract, less the amount of all prior partial surrenders (which includes
the amount of related surrender charges), is equal to or greater than
$5,000, or the Accumulated Value is greater than $5,000.
The date of this Supplement is January 30, 1998
