AS FILED WITH THE SECURITIES AND EXCHANGE COMMISSION ON APRIL 26, 2000
REGISTRATION NO. 33-89848
811-8190
SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
FORM N-4
REGISTRATION STATEMENT UNDER THE SECURITIES ACT OF 1933
PRE-EFFECTIVE AMENDMENT NO. [ ]
POST-EFFECTIVE AMENDMENT NO. 9 [x]
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and
REGISTRATION STATEMENT UNDER THE INVESTMENT COMPANY ACT OF 1940 [x]
Amendment No. 22
UNITED OF OMAHA SEPARATE ACCOUNT C
(EXACT NAME OF REGISTRANT)
UNITED OF OMAHA LIFE INSURANCE COMPANY
(NAME OF DEPOSITOR)
Mutual of Omaha Plaza, Omaha, Nebraska, 68175
(ADDRESS OF DEPOSITOR'S PRINCIPAL EXECUTIVE OFFICES)
DEPOSITOR'S TELEPHONE NUMBER, INCLUDING AREA CODE
(402) 351-5225
NAME AND ADDRESS OF AGENT FOR SERVICE:
Michael E. Huss, Esquire
Mutual of Omaha Companies
Mutual of Omaha Plaza, 3-Law
Omaha, Nebraska, 68175-1008
Internet: [email protected]
It is proposed that this filing will become effective (check appropriate
box):
[ ] immediately upon filing pursuant to paragraph (b) of Rule 485.
|X| on May 1, 2000 pursuant to paragraph (b) of Rule 485.
[ ] 60 days after filing pursuant to paragraph (a)(i) of Rule 485.
[ ] on (date) pursuant to paragraph (a)(i) of Rule 485.
If appropriate, check the following box:
|X| this post-effective amendment designates a new effective date for
a previously filed post-effective amendment.
<PAGE>
CROSS REFERENCE SHEET
Pursuant to Rule 495 (a)
Showing Location in Part A (Prospectus) and
Part B (Statement of Additional Information)
of Registration Statement of Information Required by Form N-4
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PART A
Item of Form N-4 Prospectus Caption
1. Cover Page................................ Cover Page
2. Definitions............................... Definitions
3. Synopsis.................................. Introduction and Summary
4. Condensed Financial Information........... Financial Statements
5. General
(a) Depositor................................. About Us
(b) Registrant................................ Variable Investment Options
(c) Portfolio Company......................... Variable Investment Options
(d) Fund Prospectus........................... Variable Investment Options
(e) Voting Rights............................. Voting Rights
6. Deductions and Expenses
(a) General................................... Expenses
(b) Sales Load %.............................. Expenses; Withdrawal Charge
(c) Special Purchase Plan.................... N/A
(d) Commissions............................... Distributor of the Policies
(e) Expenses - Registrant..................... N/A
(f) Fund Expenses............................. Other Expenses
(g) Organizational Expenses................... N/A
7. General Description of Variable Annuity Contracts
(a) Persons with Rights....................... Important Policy Provisions;
Policy Distributions; Voting
Rights
(b) (i) Allocation of Premium
Payments............................ Introduction and Summary: How
the Policy Operates; Dollar
Cost Averaging; STEP Program;
Asset Allocation Program
(ii) Transfers........................... Transfers
(iii) Exchanges........................... N/A
(c) Changes................................... Variable Investment Options;
Policy Distributions
(d) Inquiries................................. Miscellaneous: Do You Have
Questions?
8. Annuity Period............................ Policy Distributions
9. Death Benefit............................. Death Benefits
10. Purchases and Contract Value
(a) Purchases................................. Policy Application and
Issuance
(b) Valuation................................. Accumulation Value
(c) Daily Calculation......................... Accumulation Value
(d) Underwriter............................... Distributor of the Policies
2
<PAGE>
11. Redemptions
(a) By Owners................................. Withdrawals
By Annuitant.............................. N/A
(b) Check Delay............................... Policy Application and
Issuance
(c) Lapse..................................... N/A
(d) Free Look................................. Introduction and Summary
12. Taxes..................................... Federal Tax Matters
13. Legal Proceedings......................... Legal Proceedings
14. Table of Contents for the
Statement of
Additional Information........................ Statement of Additional
Information
PART B
Item of Form N-4 Statement of Additional
Information Caption
15. Cover Page................................ Cover Page
16. Table of Contents......................... Table of Contents
17. General Information
and History................................... (Prospectus) About Us
18. Services
(a) Fees and Expenses
of Registrant............................. N/A
(b) Management Policies....................... N/A
(c) Custodian................................. Custody of Assets
Independent
Auditors ................................ Financial Statements
(d) Assets of Registrant...................... Custody of Assets
(e) Affiliated Person......................... N/A
(f) Principal Underwriter..................... Distribution of the Policies
19. Purchase of Securities
Being Offered................................. Distribution of the Policies
Offering Sales Load........................... N/A
20. Underwriters.............................. Distribution of the Policies;
(Prospectus) Distributor of
the Policies
21. Calculation of Performance................ Historical Performance Data
22. Annuity Payments.......................... (Prospectus) Annuity Payments
23. Financial Statements...................... Financial Statements
PART C -- OTHER INFORMATION
Item of Form N-4 Part C Caption
24. Financial Statements
and Exhibits.................................. Financial Statements and
Exhibits
(a) Financial Statements...................... Financial Statements
(b) Exhibits.................................. Exhibits
25. Directors and Officers of the Depositor... Directors and Officers of the
Depositor
3
<PAGE>
26. Persons Controlled By or Under Common Control Persons Controlled By or
with the Depositor or Registrant .......... Under Common
Control with the Depositor or
Registrant
27. Number of Contractowners.................. Number of Policy Owners
28. Indemnification........................... Indemnification
29. Principal Underwriters.................... Principal Underwriters
30. Location of Accounts and Records.......... Location of Accounts and
Records
31. Management Services....................... Management Services
32. Undertakings.............................. Undertakings
Signature Page................................ Signatures
4
<PAGE>
UNITED OF OMAHA
A MUTUAL OF OMAHA COMPANY LOGO PROSPECTUS: May 1, 2000
ULTRANNUITY SERIES V
Flexible Payment
Variable Deferred Annuity Policy
This Prospectus describes ULTRANNUITY SERIES V, a variable annuity policy
offered by UNITED OF OMAHA LIFE INSURANCE COMPANY. To purchase a Policy,
generally you must invest at least $5,000. Further investment is optional.
<TABLE>
<CAPTION>
<S> <C>
The Policy includes 30 variable options (where you
The investment portfolios offered have the investment risk) with investment portfolios
through the Policy may have names that from:
are nearly the same or similar to the
names of retail mutual funds. However, THE ALGER AMERICAN FUND
these investment portfolios are not the DEUTSCHE ASSET MANAGEMENT VIT FUNDS
same as those retail mutual funds, even FEDERATED'S INSURANCE SERIES
though they have similar names and may FIDELITY'S VARIABLE INSURANCE PRODUCTS FUND AND
have similar characteristics and the VARIABLE INSURANCE PRODUCTS FUND II
same managers. The investment MFS VARIABLE INSURANCE TRUST
performance of these investment MORGAN STANLEY DEAN WITTER UNIVERSAL FUNDS
portfolios is not necessarily related to PIONEER VARIABLE CONTRACTS TRUST
the performance of the retail mutual SCUDDER VARIABLE LIFE INVESTMENT FUND
funds. The investment portfolios are T. ROWE PRICE EQUITY SERIES, FIXED INCOME SERIES
described in separate prospectuses that AND INTERNATIONAL SERIES
accompany this Prospectus.
and three fixed rate options (where we have the
investment risk).
</TABLE>
The variable options are not direct investments in mutual fund shares, but
are offered through subaccounts of United of Omaha Separate Account C. THE VALUE
OF YOUR POLICY WILL GO UP OR DOWN BASED ON THE INVESTMENT PERFORMANCE OF THE
VARIABLE OPTIONS THAT YOU CHOOSE.
A Statement of Additional Information about us and the Policy, with the same
date as this Prospectus, is on file with the Securities and Exchange Commission
("SEC") and is incorporated into this Prospectus by reference. You may obtain a
copy of the Statement of Additional Information by writing or calling us, or you
may access it in our registration on the SEC's web site (HTTP://WWW.SEC.GOV), or
you may review and copy it at the SEC's Public Reference Room in Washington D.C.
(call the SEC at 1-800-SEC-0330 for details and public hours). The table of
contents for the Statement of Additional Information is at the end of this
Prospectus.
Please Read This Prospectus Carefully. It
provides information you should consider before
investing in a Policy. Keep this Prospectus and
the prospectuses for the investment portfolios
for future reference.
THE SEC DOES NOT PASS UPON THE ACCURACY OR ADEQUACY OF THIS
PROSPECTUS, AND HAS NOT APPROVED OR DISAPPROVED THE POLICY.
ANY REPRESENTATION TO THE CONTRARY IS A CRIMINAL OFFENSE.
REMEMBER THAT THE POLICY AND THE INVESTMENT PORTFOLIOS:
o ARE SUBJECT TO RISK, INCLUDING POSSIBLE LOSS OF PRINCIPAL
o ARE NOT BANK DEPOSITS
o ARE NOT GOVERNMENT INSURED
o ARE NOT ENDORSED BY ANY BANK OR GOVERNMENT AGENCY
o MAY NOT ACHIEVE THEIR GOALS
UNITED OF OMAHA, Variable Product Services, P. O. Box 8430, Omaha, Nebraska
68103-0430 1-800-238-9354
<PAGE>
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CONTENTS
PAGE(S)
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DEFINITIONS 3
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INTRODUCTION AND SUMMARY 4-10
Comparison to Other Policies and
Investments
How the Policy Operates
Summary of Charges and Expenses
Examples of Expenses
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FINANCIAL STATEMENTS 11-15
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ABOUT US 16
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INVESTMENT OPTIONS 17-25
Variable Investment Options
Fixed Rate Options
Transfers
Dollar Cost Averaging
STEP Program
Asset Allocation Program
Rebalancing Program
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IMPORTANT POLICY PROVISIONS 26-29
Policy Application and Issuance
Accumulation Value
Telephone Transactions
Death of Annuitant
Delay of Payments
Minor Owner or Beneficiary
Policy Termination
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EXPENSES 30-32
Withdrawal Charge
Mortality and Expense Risk Charge
Administrative Charges
Enhanced Death Benefit Charge
Transfer Fee
Premium Tax Charge
Other Taxes
Other Expenses; Investment Advisory Fees
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POLICY DISTRIBUTIONS 33-37
Withdrawals
Annuity Payments
Death Benefits
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FEDERAL TAX MATTERS 38-40
Taxation of Nonqualified Policies
Taxation of Qualified Policies
Possible Tax Law Changes
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MISCELLANEOUS 41
Distributor of the Policies
Voting Rights
Distribution of Materials
Legal Proceedings
Do You Have Questions?
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STATEMENT OF ADDITIONAL INFORMATION 42
Table of Contents
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2
<PAGE>
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DEFINITIONS
ACCUMULATION UNIT is a measurement of value in a particular Subaccount prior to
the Annuity Starting Date. Purchase payments that are invested in the variable
investment options are used to purchase Accumulation Units. The Policy sets
forth the calculation of the value of Accumulation Units.
ACCUMULATION VALUE is the dollar value of all amounts accumulated under the
Policy (in both the variable investment options and the fixed investment
options).
ANNUITANT is the person on whose life annuity payments involving life
contingencies are based.
ANNUITY STARTING DATE is the date when annuity payments are scheduled to begin
(the end of the accumulation phase). The latest Annuity Starting Date permitted
is the Annuitant's 95th birthday (85th birthday in Pennsylvania).
AVERAGE DEATH BENEFIT AMOUNT is the mean of the death benefit amount on the most
recent Policy anniversary and the death benefit amount on the immediately
preceding Policy anniversary. The Average Death Benefit Amount is the basis used
to calculate the enhanced death benefit charge for Policies issued prior to May
1, 1998.
BENEFICIARY is the person(s) or other legal entity who receives Policy benefits,
if any, upon your death. If there are joint Owners, the surviving joint Owner is
the primary Beneficiary and any named Beneficiary is a contingent Beneficiary.
BUSINESS DAY is each day that the New York Stock Exchange is open for trading.
CASH SURRENDER VALUE is the Accumulation Value less any applicable withdrawal
charge, Policy fee, any premium tax charge not previously deducted and any
enhanced death benefit charge (for Policies issued prior to May 1, 1998 that
elect this benefit).
OWNER is you -- the person(s) who may exercise all rights and privileges under
the Policy. If there are joint Owners, the signatures of both Owners are needed
to exercise rights under the Policy.
POLICY is the Ultrannuity Series V, a variable annuity policy offered by us
through this Prospectus.
POLICY YEAR is measured from the annual anniversary dates of the date of issue
of the Policy.
SERIES FUNDS are diversified, open-end investment management companies in which
the Variable Account invests.
SUBACCOUNT is a segregated account within the Variable Account investing in a
specified investment portfolio of one of the Series Funds.
US, WE, OUR, UNITED OF OMAHA is United of Omaha Life Insurance Company.
VALUATION PERIOD is the period commencing at the close of business of the New
York Stock Exchange on each Business Day and ending at the close of business for
the next succeeding Business Day.
VARIABLE ACCOUNT is United of Omaha Separate Account C, a separate account
maintained by us.
VARIABLE ANNUITY UNIT is a measurement of value in a particular Subaccount after
the Annuity Starting Date. The Policy sets forth the calculation of the value of
Variable Annuity Units.
WRITTEN NOTICE is written notice, signed by you, that gives us the information
we require and is received at United of Omaha, Variable Product Services, P.O.
Box 8430, Omaha, Nebraska 68103-0430.
- -----------------------------------------------------------
THIS PROSPECTUS MAY ONLY BE USED TO OFFER THE POLICY WHERE THE POLICY MAY
LAWFULLY BE SOLD. NO ONE IS AUTHORIZED TO GIVE INFORMATION OR MAKE
REPRESENTATIONS ABOUT THE POLICY THAT ISN'T IN THE PROSPECTUS; IF ANYONE DOES
SO, YOU SHOULD NOT RELY UPON IT AS BEING ACCURATE OR ADEQUATE.
THIS PROSPECTUS GENERALLY DESCRIBES ONLY THE VARIABLE INVESTMENT OPTIONS,
EXCEPT WHEN THE FIXED RATE OPTIONS ARE SPECIFICALLY MENTIONED.
3
<PAGE>
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INTRODUCTION AND SUMMARY
THIS INTRODUCTION AND SUMMARY BRIEFLY NOTES SOME OF THE IMPORTANT THINGS
ABOUT THE POLICY, BUT IT IS NOT A COMPLETE DESCRIPTION OF THE POLICY. THE REST
OF THIS PROSPECTUS CONTAINS MORE COMPLETE INFORMATION, AND YOU SHOULD READ THE
ENTIRE PROSPECTUS CAREFULLY.
The ULTRANNUITY SERIES V Policy described in this Prospectus is a contract
between you and United of Omaha Life Insurance Company. The Policy is a variable
annuity policy, which means that you can allocate your purchase payments to up
to 30 different variable investment options, where you can gain or lose money on
your investment. The variable investment options are not direct investments in
mutual funds, but are Subaccounts of the Variable Account. Each Subaccount in
turn invests in a particular investment portfolio. You can also allocate your
purchase payments to three fixed rate options, where we guarantee you will earn
a fixed rate of interest. It is a deferred annuity, which means it has two
phases: an accumulation (or deferral) phase and an annuity payout phase.
During the accumulation phase, any earnings that you leave in the Policy are
not taxed. During this phase you can invest additional money into the Policy,
transfer amounts among the investment options, and withdraw some or all of the
value of your Policy. Some restrictions may apply to transfers (especially to
transfers out of the fixed rate options). Withdrawals may be subject to a
withdrawal charge, they may be taxable, and a penalty tax may apply.
The accumulation phase ends and the annuity payout phase begins on the
Annuity Starting Date that you select. During the annuity payout phase, we will
make periodic payments to you. You can select payments that are guaranteed to
last for your entire life or for some other period. You can select payments that
vary in amount, depending on the investment performance of the portfolios you
pick, or payments that are fixed in amount. Some or all of each payment will be
taxable.
o COMPARISON TO OTHER POLICIES AND INVESTMENTS
COMPARED TO FIXED ANNUITIES. Like fixed-interest annuities, the Policy:
o offers the ability to accumulate capital on a tax-deferred basis;
o offers the ability to have a guaranteed minimum return on your investment
(if you choose a fixed rate option);
o allows you to make partial or full withdrawals from your Policy; and
o can provide annuity payments for the rest of your life or for some other
period.
A significant advantage of the Policy is that it
provides the ability to accumulate capital on a
tax-deferred basis. The purchase of a Policy to
fund a tax-qualified retirement account does not
provide any additional tax deferred treatment
beyond the treatment provided by the
tax-qualified retirement plan itself. However,
the Policy does provide benefits such as
lifetime income payments, family protection
through death benefits, guaranteed fees, and
asset allocation models.
The Policy is different from fixed-interest annuities in that, to the extent
you select variable investment options, your Accumulation Value will reflect the
investment experience of the selected variable investment options, so you have
both the investment risk and opportunity, not us.
COMPARED TO MUTUAL FUNDS. Although the underlying investment portfolios
operate like mutual funds and have the same investment risks, in many ways the
Policy differs from mutual fund investments. The main differences are:
o The Policy provides a death benefit that could be higher than the value of the
Policy.
o Insurance-related charges not associated with direct mutual fund
investments are deducted from the value of the Policy.
o Federal income tax liability on any earnings generally is deferred until
you receive a distribution from the Policy.
o You can make transfers from one underlying investment portfolio to another
without tax liability.
o Dividends and capital gains distributed by the investment portfolios are
automatically reinvested.
o Withdrawals before age 59 1/2generally are subject to a 10% federal tax
penalty. Also, Policy earnings that would be treated as capital gains in a
mutual fund are treated as ordinary income when distributed, although
taxation of them is deferred until such earnings are distributed. Taxable
earnings are considered to be paid out first followed by the return of your
purchase payments.
o Withdrawals of more than 15% of the Accumulation Value of the Policy can
result in a withdrawal charge during the first seven years of the Policy.
o Most states grant you a short time period to review your Policy and cancel
it for a return of premium paid. The terms of this "right to examine"
period vary by state (see the cover of your Policy).
o We, not you, own the shares of the underlying investment portfolios. You
have interests in our Subaccounts that invest in the investment portfolios
that you select.
4
<PAGE>
o HOW THE POLICY OPERATES
The following chart summarizes how the Policy operates. For more
information, refer to specific sections of this Prospectus.
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PURCHASE PAYMENT FLOW CHART
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PURCHASE PAYMENTS
o Minimum initial purchase payment is $5,000
($2,000 if you elect to make electronic
funds transfer payments of at least $100 per
month, or quarterly, semiannual or annual
purchase payment equivalents).
o Minimum additional purchase payment is $500.
o No additional purchase payments will be
accepted after earlier of the Annuity
Starting Date or your 88th birthday.
--------------------------------------------------
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DEDUCTIONS BEFORE ALLOCATING PURCHASE PAYMENTS
In some states we are required to pay premium taxes, which may be up to
3.5% of the purchase payment you make. The amount of premium tax we are
required to pay in your state may be deducted from your purchase payment
upon surrender, upon the death of an Owner, or at the Annuity Starting
Date. The timing of the deduction will vary in accordance with state law.
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INVESTMENT OF PURCHASE PAYMENTS
You direct the allocation of all net purchase payments among the
30 Subaccounts of the Variable Account, the fixed account and
the systematic transfer accounts. Each Subaccount invests in a
corresponding investment portfolio of one of the Series Funds.
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DEDUCTIONS FROM ASSETS
o Daily charges deducted from the net assets in the Variable Account equal an
annual rate of:
- 1.00% for our mortality and expense risk;
- 0.20% for our administrative expenses;
- 0.35% if you elect the optional Enhanced Death Benefit*
o Annual Policy Fee of $30 per year assessed on each Policy
anniversary (waived if Accumulation Value is more than $50,000).
o $10 fee for transfers among the Subaccounts and the fixed account (first
12 transfers per Policy Year are free).
o Investment advisory fees and operating expenses are deducted from the
assets of each investment portfolio.
*This charge is deducted annually (and on surrender) on Policies issued
before 5/01/98 based upon the Average Death Benefit of these Policies.
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5
<PAGE>
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ACCUMULATION VALUE
o Your Accumulation Value is equal to your purchase payments adjusted
up or down each Business Day to reflect the Subaccounts' investment
experience, earnings on amounts you have invested in the fixed
account and the systematic transfer accounts, charges deducted and
other Policy transactions (such as partial withdrawals).
o Accumulation Value may vary daily. There is no minimum guaranteed
Accumulation Value for the Subaccounts.
o Accumulation Value can be transferred among the Subaccounts and the
fixed account.
o Dollar cost averaging, asset allocation and rebalancing programs are
available.
o Accumulation Value is the starting point for calculating certain
values under the Policy, such as the Cash Surrender Value and the
death benefit.
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<TABLE>
<CAPTION>
- ------------------------------------------------------------------- --------------------------------------
<S> <C>
ACCUMULATION VALUE BENEFITS DEATH BENEFITS
o You can withdraw all or part of the Cash Surrender Value.
Each Policy Year, up to 15% of the Accumulation Value as of o Available as a lump-sum or under
the date of the first withdrawal that Policy Year may be a variety of payment options.
withdrawn without a withdrawal charge. Thereafter, the o If you die by accident, you may
withdrawal charge is calculated separately for each purchase receive double the death benefit
payment withdrawn based on the number of years elapsed since that would be paid if death was
the purchase payment was made; the charge is 7% if the not by accident as a result of
withdrawal is made in the first year after a purchase the accidental death benefit.*
payment is made and then the withdrawal charge decreases by o An enhanced death benefit also
1% in each successive year to 0% after the seventh year. may be available (for an extra
(Taxes and tax penalties may also apply to withdrawals.) charge).*
o Fixed and variable annuity payout options are available.
*Accidental and enhanced death benefit
may not be available in all states.
</TABLE>
6
<PAGE>
o SUMMARY OF CHARGES AND EXPENSES
The following table lists various costs and expenses that you will pay (directly
or indirectly) if you invest in a Policy. In addition to these expenses, in some
states you will pay a premium tax charge.
POLICY OWNER TRANSACTION EXPENSES
o Maximum Withdrawal Charge/1 7%
(as a % of each purchase payment withdrawn)
o Transfer Fee - First 12 Transfers Per Year: NO FEE
- Over 12 Transfers in One $10 each
Policy Year:
VARIABLE ACCOUNT ANNUAL EXPENSES
(deducted daily to equal this annual % of Accumulation Value)
o Mortality and Expense Risk Fees 1.00%
o Administrative Expense Charge 0.20%
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Total Variable Account Annual Expenses 1.20%
OTHER ANNUAL EXPENSES
o Annual Policy Fee $30 Per Year
(waived if Accumulation Value is greater than
$50,000 on the Policy anniversary)
o Current Annual Enhanced Death Benefit Charge (Optional)
o Prior to May 1, 1998, deducted annually as a 0.35%
percentage of the Average Death Benefit Amount.
o After May, 1, 1998, deducted daily as a 0.0009589%
percentage of Accumulation Value of the
Subaccounts (equal to an annual charge of 0.35%).
SERIES FUND ANNUAL EXPENSES
o The following table shows the management fees and other expenses
for each investment portfolio for 1999. Expenses could be higher
(or lower) in the future. These expenses may reflect fee waivers
and/or expense reimbursements. Fee waivers and expense
reimbursements can be terminated at any time.
/1 Each Policy Year up to 15% of the Accumulation Value as of the date of the
first withdrawal that year can be withdrawn without a withdrawal charge.
Thereafter, the withdrawal charge is calculated separately for each purchase
payment withdrawn based on the number of years elapsed since the purchase
payment was made; it is 7% in the first year after a purchase payment is made
and then decreases by 1% in each successive year to 0% after the seventh year.
7
<PAGE>
<TABLE>
<CAPTION>
Series Fund Annual Expenses1 Total Portfolio
(as a percentage of average net assets) Management Other Expenses Annual Expenses
Fees ( after (after fee waiver
Portfolio: (after fee expense and expense
waiver)(a) reimbursement)(a)reimbursement)(a)
================================================= ================ ================ ===================
<S> <C> <C> <C>
Alger American Growth 0.75% 0.04% 0.79%
Alger American Small Capitalization 0.85% 0.05% 0.90%
Deutsche VIT EAFE Equity Index Fund (a) 0.26% 0.39% 0.65%
Deutsche VIT Small Cap Equity Index Fund (a) 0.13% 0.32% 0.45%
Federated Prime Money Fund II (a) 0.50% 0.23% 0.73%
Federated Fund for U.S.
Government Securities II (a) 0.60% 0.18% 0.78%
Fidelity VIP II Asset Manager (a) 0.58% 0.12% 0.70%
Fidelity VIP II Contrafund (a) 0.58% 0.07% 0.65%
Fidelity VIP Equity Income (a) 0.48% 0.08% 0.56%
Fidelity VIP II Index 500 (a) 0.24% 0.04% 0.28%
MFS Capital Opportunities Series (a) 0.75% 0.16% 0.91%
MFS Emerging Growth Series 0.75% 0.09% 0.84%
MFS Global Governments Series (a) 0.75% 0.16% 0.91%
MFS High Income Series (a) 0.75% 0.16% 0.91%
MFS Research Series 0.75% 0.11% 0.86%
MSDW Emerging Markets Equity (a) 0.42% 1.37% 1.79%
MSDW Fixed Income (a) 0.14% 0.56% 0.70%
Pioneer Equity-Income 0.64% 0.06% 0.70%
Pioneer Growth Shares 0.65% 0.11% 0.76%
Pioneer Fund 0.63% 0.07% 0.70%
Pioneer Midcap Value Fund 0.65% 0.11% 0.76%
Pioneer Real Estate Growth (a) 1.00% 0.14% 1.14%
Scudder VLIF Global Discovery (b), (d) 0.98% 0.90% 1.88%
Scudder VLIF Growth and Income (b) 0.48% 0.32% 0.80%
Scudder VLIF International 0.85% 0.18% 1.03%
T. Rowe Price Equity Income (c) 0.00% 0.85% 0.85%
T. Rowe Price International Stock (c) 0.00% 1.05% 1.05%
T. Rowe Price Limited Term Bond (c) 0.00% 0.70% 0.70%
T. Rowe Price New America Growth (c) 0.00% 0.85% 0.85%
T. Rowe Price Personal Strategy Balanced (c) 0.00% 0.90% 0.90%
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(a) Without fee waiver or expense reimbursement limits, the following funds
would have had the charges set forth below:
TOTAL PORTFOLIO
PORTFOLIO MANAGEMENT FEES OTHER EXPENSES ANNUAL EXPENSES
-------------------------------------- ------------------ --------------- -------------------
Deutsche VIT EAFE Equity Index Fund 0.45% 0.69% 1.l5%
Deutsche VIT Small Cap Equity Index
Fund 0.35% 0.83% 1.18%
Federated Prime Money Fund II 0.50% 0.48% 0.98%
Federated Fund for U.S. Government
Securities II 0.60% 0.43% 1.03%
Fidelity VIP II Asset Manager 0.58% 0.13% 0.71%
Fidelity VIP II Contrafund 0.58% 0.09% 0.67%
Fidelity VIP Equity Income 0.48% 0.09% 0.57%
Fidelity VIP II Index 500 0.24% 0.10% 0.34%
MFS Capital Opportunities 0.75% 0.27% 1.02%
MFS Global Governments 0.75% 0.30% 1.05%
MFS High Income 0.75% 0.22% 0.97%
MSDW Emerging Markets Equity 1.25% 1.37% 2.62%
MSDW Fixed Income 0.40% 0.56% 0.96%
Pioneer Real Estate Growth 1.00% 0.30% 1.30%
-------------------------------------- ------------------ --------------- -------------------
(b) Other Expenses include a 0.25% 12b-1 fee assessed for payment of
distribution administration expenses. (c) T. Rowe Price Funds do not itemize
management fees and other expenses. (d) Effective May 1, 2000, Scudder Kemper
Investments has agreed to waive all or a portion of its management fees to limit
the expenses of the Global Discovery Portfolio to 1.50% of the portfolio's
average daily net assets. These expenses will remain in effect until at least
April 30, 2001.
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</TABLE>
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/2 The fee and expense data regarding each Series Fund, which are fees and
expenses for 1999, was provided to United of Omaha by the respective Series
Fund. The Series Funds are not affiliated with United of Omaha. We have not
independently verified these figures.
8
<PAGE>
o EXAMPLES OF EXPENSES
The following tables contain examples of the overall expenses you would pay,
in different situations, over different time periods. These examples are based
on certain assumptions, so your actual expenses will, in all likelihood, be
different. In addition, the examples do not reflect any premium tax charges,
which apply in some states. These examples can help you compare the expenses of
the Policy with expenses of other variable annuity policies. There are two sets
of examples - one shows expenses without the optional enhanced death benefit and
the other shows expenses with the enhanced death benefit. These examples assume
that the fee waiver and expense reimbursement limits set forth in the table
above will be received.
<TABLE>
<CAPTION>
==================================== ======================== ====================== =======================
Examples/3 1. Surrender Policy 2. Annuitize Policy 3. Policy is not
An Owner would pay the following at end of the time at the end of the surrendered and is
expenses on a $1,000 investment, period or annuitize time period and not annuitized
assuming a 5% annual return on and annuity option 4 annuity option 4
assets (excluding the enhanced (lifetime income) is (lifetime income) IS
death benefit) if: NOT chosen chosen
- ------------------------------------ ------------------------ ---------------------- -----------------------
Portfolio 1Yr 3Yr 5Yr 10Yr 1Yr 3Yr 5Yr 10Yr 1Yr 3Yr 5Yr 10Yr
- ------------------------------------ ----- ----- ----- ------ ---- ----- ----- ----- ----- ---- ----- ------
<S> <C> <C> <C> <C> <C> <C> <C> <C> <C> <C> <C> <C>
Alger American Growth 83 115 148 260 83 66 115 260 21 66 115 260
Alger American Small Capitalization 84 118 154 274 84 69 121 274 22 69 121 274
- ------------------------------------ ----- ----- ----- ------ ---- ----- ----- ----- ----- ---- ----- ------
Deutsche VIT EAFE Equity Index Fund 82 111 140 243 82 61 107 243 20 61 107 243
Deutsche VIT Small Cap Equity
Index Fund 80 104 129 218 80 55 96 218 18 55 96 218
- ------------------------------------ ----- ----- ----- ------ ---- ----- ----- ----- ----- ---- ----- ------
Federated Prime Money Fund II 83 113 144 253 83 64 112 253 20 64 112 253
Federated Fund for U.S. Government
Securities II 83 115 147 259 83 65 114 259 21 65 114 259
- ------------------------------------ ----- ----- ----- ------ ---- ----- ----- ----- ----- ---- ----- ------
Fidelity VIP II Asset Manager 82 112 143 249 82 63 110 249 20 63 110 249
Fidelity VIP II Contrafund 82 111 140 243 82 61 107 243 20 61 107 243
Fidelity VIP Equity Income 81 108 135 231 81 58 102 231 19 58 102 231
Fidelity VIP II Index 500 78 99 119 196 78 50 87 196 16 50 87 196
- ------------------------------------ ----- ----- ----- ------ ---- ----- ----- ----- ----- ---- ----- ------
MFS Capital Opportunities Series 85 119 154 275 85 70 122 275 22 70 122 275
MFS Emerging Growth Series 85 119 154 275 85 70 122 275 22 70 122 275
MFS High Income Series 84 117 150 267 84 67 118 267 21 67 118 267
MFS Research Series 85 119 154 275 85 70 122 275 22 70 122 275
MFS Global Governments Series 84 117 151 269 84 68 119 269 22 68 119 269
- ------------------------------------ ----- ----- ----- ------ ---- ----- ----- ----- ----- ---- ----- ------
MSDW Emerging Markets Equity 93 146 203 386 93 97 170 386 31 97 170 386
MSDW Fixed Income 82 112 143 249 82 63 110 249 20 63 110 249
- ------------------------------------ ----- ----- ----- ------ ---- ----- ----- ----- ----- ---- ----- ------
Pioneer Midcap Value Fund 83 114 146 257 83 65 113 257 21 65 113 257
Pioneer Real Estate Growth 87 126 167 304 87 77 134 304 24 77 134 304
Pioneer Equity-Income 82 112 143 249 82 63 110 249 20 63 110 249
Pioneer Growth Shares 83 114 146 257 83 65 113 257 21 65 113 257
Pioneer Fund 82 112 143 249 82 63 110 249 20 63 110 249
- ------------------------------------ ----- ----- ----- ------ ---- ----- ----- ----- ----- ---- ----- ------
Scudder VLIF Global Discovery 94 149 208 397 94 100 175 397 32 100 175 397
Scudder VLIF Growth and Income 83 115 148 262 83 66 116 262 21 66 116 262
Scudder VLIF International 86 122 161 290 86 73 128 290 23 73 128 290
- ------------------------------------ ----- ----- ----- ------ ---- ----- ----- ----- ----- ---- ----- ------
T. Rowe Price Equity Income 84 117 151 268 84 68 118 268 22 68 118 268
T. Rowe Price International Stock 86 123 162 293 86 74 129 293 24 74 129 293
T. Rowe Price Limited Term Bond 82 112 143 249 82 63 110 249 20 63 110 249
T. Rowe Price New America Growth 84 117 151 268 84 68 118 268 22 68 118 268
T. Rowe Price Personal Strategy
Balanced 84 118 154 274 84 69 121 274 22 69 121 274
==================================== ===== ===== ===== ====== ==== ===== ===== ===== ===== ==== ===== ======
</TABLE>
These examples should not be considered representations of past or future
expenses. These examples are based on each investment portfolios' expenses for
1999. Actual expenses paid may be greater than or less than those shown, subject
to guarantees in the Policy. The assumed 5% annual rate of return is
hypothetical and should not be considered a representation of past or future
annual returns, which may be greater or less than this assumed rate.
/3 The $30 annual Policy fee is reflected as a daily 0.10% charge in these
examples, based on an average Accumulation Value of $30,000.
9
<PAGE>
<TABLE>
<CAPTION>
==================================== ======================== ====================== =======================
Examples4 1. Surrender Policy 2. Annuitize Policy 3. Policy is not
An Owner would pay the following at end of the time at the end of the surrendered and is
expenses on a $1,000 investment, period or annuitize time period and not annuitized
assuming a 5% annual return on and annuity option 4 annuity option 4
assets (including the enhanced (lifetime income) is (lifetime income) IS
death benefit as applied to NOT chosen chosen
Policies electing this benefit
after May 1, 1998) if:
- ------------------------------------ ------------------------ ---------------------- -----------------------
Portfolio 1Yr 3Yr 5Yr 10Yr 1Yr 3Yr 5Yr 10Yr 1Yr 3Yr 5Yr 10Yr
- ------------------------------------ ----- ----- ----- ------ ---- ----- ----- ----- ----- ---- ----- ------
<S> <C> <C> <C> <C> <C> <C> <C> <C> <C> <C> <C> <C>
Alger American Growth 87 126 167 304 87 77 134 304 24 77 134 304
Alger American Small Capitalization 88 129 173 318 88 80 140 318 26 80 140 318
- ------------------------------------ ----- ----- ----- ------ ---- ----- ----- ----- ----- ---- ----- ------
Deutsche VIT EAFE Equity Index Fund 85 122 159 287 85 72 127 287 23 72 127 287
Deutsche VIT Small Cap Equity
Index Fund 83 115 148 262 83 66 116 262 21 66 116 262
- ------------------------------------ ----- ----- ----- ------ ---- ----- ----- ----- ----- ---- ----- ------
Federated Prime Money Fund II 86 124 164 297 86 75 131 297 24 75 131 297
Federated Fund for U.S. Government
Securities II 87 126 166 303 87 76 134 303 24 76 134 303
- ------------------------------------ ----- ----- ----- ------ ---- ----- ----- ----- ----- ---- ----- ------
Fidelity VIP II Asset Manager 86 123 162 293 86 74 129 293 24 74 129 293
Fidelity VIP II Contrafund 85 122 159 287 85 72 127 287 23 72 127 287
Fidelity VIP Equity Income 85 119 154 275 85 70 122 275 22 70 122 275
Fidelity VIP II Index 500 82 110 139 240 82 61 106 240 19 61 106 240
- ------------------------------------ ----- ----- ----- ------ ---- ----- ----- ----- ----- ---- ----- ------
MFS Capital Opportunities Series 88 130 173 319 88 81 141 319 26 81 141 319
MFS Emerging Growth Series 88 130 173 319 88 81 141 319 26 81 141 319
MFS High Income Series 87 128 170 311 87 78 137 311 25 78 137 311
MFS Research Series 88 130 173 319 88 81 141 319 26 81 141 319
MFS Global Governments Series 88 128 171 313 88 79 137 313 25 79 137 313
- ------------------------------------ ----- ----- ----- ------ ---- ----- ----- ----- ----- ---- ----- ------
MSDW Emerging Markets Equity 97 157 222 430 97 108 190 430 34 108 190 430
MSDW Fixed Income 86 123 162 293 86 74 129 293 24 74 129 293
- ------------------------------------ ----- ----- ----- ------ ---- ----- ----- ----- ----- ---- ----- ------
Pioneer Midcap Value Fund 87 125 165 301 87 76 133 301 24 76 133 301
Pioneer Real Estate Growth 90 137 186 348 90 88 154 348 28 88 154 348
Pioneer Equity-Income 86 123 162 293 86 74 129 293 24 74 129 293
Pioneer Growth Shares 87 125 165 301 87 76 133 301 24 76 133 301
Pioneer Fund 86 123 162 293 86 74 129 293 24 74 129 293
- ------------------------------------ ----- ----- ----- ------ ---- ----- ----- ----- ----- ---- ----- ------
Scudder VLIF Global Discovery 98 160 227 441 98 111 195 441 35 111 195 441
Scudder VLIF Growth and Income 87 126 167 306 87 77 135 306 25 77 135 306
Scudder VLIF International 89 134 180 335 89 84 148 335 27 84 148 335
- ------------------------------------ ----- ----- ----- ------ ---- ----- ----- ----- ----- ---- ----- ------
T. Rowe Price Equity Income 87 128 170 312 87 79 138 312 25 79 138 312
T. Rowe Price International Stock 89 134 181 337 89 85 149 337 27 85 149 337
T. Rowe Price Limited Term Bond 86 123 162 293 86 74 129 293 24 74 129 293
T. Rowe Price New America Growth 87 128 170 312 87 79 138 312 25 79 138 312
T. Rowe Price Personal Strategy
Balanced 88 129 173 318 88 80 140 318 26 80 140 318
==================================== ===== ===== ===== ====== ==== ===== ===== ===== ===== ==== ===== ======
</TABLE>
These examples should not be considered representations of past or future
expenses. These examples are based on each investment portfolios' expenses for
1999. Actual expenses paid may be greater than or less than those shown, subject
to guarantees in the Policy. The assumed 5% annual rate of return is
hypothetical and should not be considered a representation of past or future
annual returns, which may be greater or less than this assumed rate.
For more detailed information about the Policy,
please read the rest of this Prospectus and the Policy.
- --------
/4 The $30 annual Policy Fee is reflected as a daily 0.10% charge in these
examples, based on an average Accumulation Value of $30,000.
10
<PAGE>
- -----------------------------------------------------------
FINANCIAL STATEMENTS
The financial statements for United of Omaha and the Variable Account and the
related independent auditors reports are contained in the Statement of
Additional Information. (See the cover page on how to get a copy.) At December
31, 1999, net assets of the Subaccounts were represented by the following
Accumulation Unit values and Accumulation Units. This information should be read
in conjunction with the Variable Account's financial statements and related
notes included in the Statement of Additional Information.
<TABLE>
<CAPTION>
THIS TABLE DEMONSTRATES INFORMATION FOR POLICIES WITHOUT THE
ENHANCED DEATH BENEFIT AND FOR POLICIES ISSUED BEFORE MAY
1, 1998 WITH THE ENHANCED DEATH BENEFIT.
Accumulation Unit Accumulation Unit Number of
Subaccount Value on Value at End of Accumulation Units
(Date of Inception) Commencement Date Year at End of Year**
($)* (December 31) (December 31)
($)*
- ------------------------------------------- -------- --------------------- ---------------------
<S> <C> <C> <C>
ALGER AMERICAN GROWTH (6/5/95) 10.000
1995..................................... 11.673 140,897
1996..................................... 13.071 1,358,882
1997..................................... 16.240 1,918,481
1998..................................... 23.759 2,036,293
1999......................................... 31.395 2,311,743
ALGER AMERICAN SMALL CAPITALIZATION 10.000
(6/5/95)
1995..................................... 12.094 148,670
1996..................................... 12.448 1,474,107
1997..................................... 13.690 2,021,476
1998..................................... 15.638 2,100,494
1999..................................... 22.159 2,109,902
FEDERATED PRIME MONEY FUND II (6/5/95) 1.000
1995..................................... 1.023 3,065,603
1996..................................... 1.059 21,525,823
1997..................................... 1.098 19,485,025
1998..................................... 1.138 33,973,580
1999..................................... 1.176 49,202,545
FEDERATED FUND FOR U.S. GOVERNMENT 10.000
SECURITIES II (6/5/95)
1995..................................... 10.570 122,440
1996..................................... 10.882 1,128,539
1997..................................... 11.674 1,824,790
1998..................................... 12.417 2,467,353
1999..................................... 12.195 2,340,323
FIDELITY VIP II ASSET MANAGER (6/5/95) 10.000
1995..................................... 11.269 199,570
1996..................................... 13.353 1,655,034
1997..................................... 16.500 2,748,520
1998..................................... 19.167 2,845,580
1999..................................... 21.827 2,600,716
FIDELITY VIP II CONTRAFUND (6/5/95) 10.000
1995..................................... 11.740 150,364
1996..................................... 14.070 1,785,274
1997..................................... 17.257 2,992,115
1998..................................... 22.162 3,141,626
1999..................................... 27.208 3,149,291
FIDELITY VIP EQUITY INCOME (6/5/95) 10.000
1995..................................... 11.596 233,679
1996..................................... 13.090 2,256,678
1997..................................... 16.571 3,528,096
1998..................................... 18.276 3,872,254
1999..................................... 19.200 3,977,876
FIDELITY VIP II INDEX 500 (5/1/97) 10.000
1997..................................... 12.166 829,118
1998..................................... 15.425 2,004,924
1999..................................... 18.367 3,009,822
11
<PAGE>
MFS EMERGING GROWTH SERIES (6/5/95) 10.000
1995..................................... 11.659 123,460
1996..................................... 13.480 1,854,145
1997..................................... 16.230 2,890,806
1998..................................... 21.521 3,084,172
1999..................................... 37.575 2,822,806
MFS HIGH INCOME SERIES (6/5/95) 10.000
1995..................................... 10.452 87,378
1996..................................... 11.548 859,361
1997..................................... 12.960 1,729,635
1998..................................... 12.782 1,972,690
1999..................................... 13.442 1,994,619
MFS RESEARCH SERIES (6/5/95) 10.000
1995..................................... 10.986 117,165
1996..................................... 13.277 1,381,316
1997..................................... 15.775 2,608,735
1998..................................... 19.231 2,790,110
1999..................................... 23.571 2,379,511
MFS CAPITAL OPPORTUNITIES SERIES (5/1/97) 10.000
1997..................................... 12.394 292,197
1998..................................... 15.528 1,117,680
1999..................................... 22.618 1,460,323
MFS GLOBAL GOVERNMENTS SERIES (6/5/95) 10.000
1995..................................... 10.243 56,393
1996..................................... 10.527 819,686
1997..................................... 10.283 1,302,843
1998..................................... 10.963 1,429,007
1999..................................... 10.561 1,456,763
MSDW EMERGING MARKETS EQUITY (5/1/98) 10.000
1998..................................... 7.002 14,713
1999..................................... 13.469 93,730
MSDW FIXED INCOME (5/1/98) 10.000
1998..................................... 10.462 80,837
1999..................................... 10.167 163,976
PIONEER MIDCAP VALUE FUND (5/1/97) 10.000
1997..................................... 11.756 383,956
1998..................................... 11.156 704,800
1999..................................... 12.461 625,307
PIONEER REAL ESTATE GROWTH (5/1/97) 10.000
1997..................................... 12.229 428,572
1998..................................... 9.818 650,669
1999..................................... 9.295 735,185
SCUDDER VLIF GLOBAL DISCOVERY (5/1/97) 10.000
1997..................................... 11.478 194,110
1998..................................... 13.176 297,502
1999..................................... 21.562 298,875
SCUDDER VLIF GROWTH AND INCOME (5/1/97) 10.000
1997..................................... 12.190 561,594
1998..................................... 12.847 1,049,444
1999..................................... 13.425 965,074
SCUDDER VLIF INTERNATIONAL (6/5/95) 10.000
1995..................................... 10.642 99,029
1996..................................... 12.067 1,269,457
1997..................................... 13.004 2,391,655
1998..................................... 15.223 2,421,576
1999..................................... 23.241 2,206,568
12
<PAGE>
T. ROWE PRICE EQUITY INCOME (6/5/95) 10.000
1995..................................... 11.625 121,994
1996..................................... 13.731 1,861,298
1997..................................... 17.481 3,837,388
1998..................................... 18.839 4,275,300
1999..................................... 19.305 3,796,628
T. ROWE PRICE INTERNATIONAL (6/5/95) 10.000
1995..................................... 10.569 181,399
1996..................................... 11.976 1,736,784
1997..................................... 12.200 2,857,269
1998..................................... 13.964 2,922,881
1999..................................... 18.394 2,715,037
T. ROWE PRICE LIMITED TERM BOND (6/5/95) 10.000
1995..................................... 10.373 56,018
1996..................................... 10.582 631,437
1997..................................... 11.160 1,302,580
1998..................................... 11.828 2,255,863
1999..................................... 11.785 2,777,488
T. ROWE PRICE NEW AMERICA GROWTH (6/5/95) 10.000
1995..................................... 13.061 58,555
1996..................................... 15.496 917,255
1997..................................... 18.543 1,599,824
1998..................................... 21.712 1,885,279
1999..................................... 24.187 1,701,273
T. ROWE PRICE PERSONAL STRATEGY BALANCED 10.000
(6/5/95)
1995..................................... 11.272 123,287
1996..................................... 12.719 1,703,217
1997..................................... 14.833 2,792,934
1998..................................... 16.755 3,064,410
1999..................................... 17.946 2,780,445
* Accumulation Unit values are rounded to the nearest hundredth of a cent.
** Number of Accumulation Units is rounded to the nearest unit.
</TABLE>
13
<PAGE>
<TABLE>
<CAPTION>
THIS TABLE DEMONSTRATES INFORMATION FOR
POLICIES ISSUED ON OR AFTER MAY 1, 1998
WITH THE ENHANCED DEATH BENEFIT.
Accumulation Unit Accumulation Unit Number of
Subaccount Value on Value at End of Accumulation Units
(Date of Inception) Commencement Date Year at End of Year**
($)* (December 31) (December 31)
($)*
- ------------------------------------------- -------- --------------------- ---------------------
<S> <C> <C> <C>
ALGER AMERICAN GROWTH (6/5/95) 10.000
1998..................................... 12.418 28,408
1999..................................... 16.352 127,509
ALGER AMERICAN SMALL CAPITALIZATION 10.000
(6/5/95)
1998..................................... 10.202 37,709
1999..................................... 14.406 74,834
FEDERATED PRIME MONEY FUND II (6/5/95) 1.000
1998..................................... 1.021 441,406
1999..................................... 1.052 1,947,391
FEDERATED FUND FOR U.S. GOVERNMENT 10.000
SECURITIES II (6/5/95)
1998..................................... 10.430 20,339
1999..................................... 10.207 37,232
FIDELITY VIP II ASSET MANAGER (6/5/95) 10.000
1998..................................... 10.560 30,012
1999..................................... 11.983 74,734
FIDELITY VIP II CONTRAFUND (6/5/95) 10.000
1998..................................... 11.260 31,672
1999..................................... 13.776 136,641
FIDELITY VIP EQUITY INCOME (6/5/95) 10.000
1998..................................... 9.842 123,838
1999..................................... 10.304 243,840
FIDELITY VIP II INDEX 500 (5/1/97) 10.000
1998..................................... 10.964 145,269
1999..................................... 13.009 410,449
MFS EMERGING GROWTH SERIES (6/5/95) 10.000
1998..................................... 11.125 13,343
1999..................................... 19.356 33,702
MFS HIGH INCOME SERIES (6/5/95) 10.000
1998..................................... 9.469 29,844
1999..................................... 9.924 61,932
MFS RESEARCH SERIES (6/5/95) 10.000
1998..................................... 10.382 21,020
1999..................................... 12.680 53,943
MFS CAPITAL OPPORTUNITIES SERIES (5/1/97) 10.000
1998..................................... 10.447 65,927
1999..................................... 15.164 123,562
MFS GLOBAL GOVERNMENTS SERIES (6/5/95) 10.000
1998..................................... 10.495 15,750
1999..................................... 10.074 27,691
MSDW EMERGING MARKETS EQUITY (5/1/98) 10.000
1998..................................... 6.985 0
1999..................................... 13.391 13,983
MSDW FIXED INCOME (5/1/98) 10.000
1998..................................... 10.438 2,775
1999..................................... 10.108 5,585
14
<PAGE>
PIONEER MIDCAP VALUE FUND (5/1/97) 10.000
1998..................................... 8.379 17,889
1999..................................... 9.327 21,682
PIONEER REAL ESTATE GROWTH (5/1/97) 10.000
1998..................................... 8.215 18,420
1999..................................... 7.750 37,542
SCUDDER VLIF GLOBAL DISCOVERY (5/1/97) 10.000
1998..................................... 9.609 2,498
1999..................................... 15.669 2,808
SCUDDER VLIF GROWTH AND INCOME (5/1/97) 10.000
1998..................................... 9.367 26,462
1999..................................... 9.754 52,982
SCUDDER VLIF INTERNATIONAL (6/5/95) 10.000
1998..................................... 9.972 34,058
1999..................................... 15.171 69,529
T. ROWE PRICE EQUITY INCOME (6/5/95) 10.000
1998..................................... 9.870 131,786
1999..................................... 10.079 226,893
T. ROWE PRICE INTERNATIONAL (6/5/95) 10.000
1998..................................... 9.937 43,648
1999..................................... 13.044 85,678
T. ROWE PRICE LIMITED TERM BOND (6/5/95) 10.000
1998..................................... 10.391 90,690
1999..................................... 10.316 170,293
T. ROWE PRICE NEW AMERICA GROWTH (6/5/95) 10.000
1998..................................... 10.183 29,468
1999..................................... 11.304 53,230
T. ROWE PRICE PERSONAL STRATEGY BALANCED 10.000
(6/5/95)
1998..................................... 10.361 25,663
1999..................................... 11.059 69,282
* Accumulation Unit values are rounded to the nearest hundredth of a cent.
** Number of Accumulation Units is rounded to the nearest unit.
</TABLE>
15
<PAGE>
- -----------------------------------------------------------
ABOUT US
We are United of Omaha Life Insurance Company, a stock life insurance
company organized under the laws of the State of Nebraska in 1926. We are a
wholly-owned subsidiary of Mutual of Omaha Insurance Company. The Mutual of
Omaha family of companies provide life, health, disability, home and auto
insurance, trust services, and investment sales and brokerage services. The
Mutual of Omaha Companies have a proud tradition of supporting environmental
education, beginning with its long-running MUTUAL OF OMAHA'S WILD KINGDOM
television program, and continued through its Wildlife Heritage Trust. United of
Omaha is principally engaged in the business of issuing group and individual
life insurance and annuity policies, and group accident and health insurance in
all states (except New York), and the District of Columbia. As of December 31,
1999, United of Omaha had assets of over $10 billion.
We may from time to time publish (in advertisements, sales literature and
reports to Policy Owners) the ratings and other information assigned to us by
one or more independent rating organizations such as A.M. Best Company, Moody's
Investors Service, Inc., Standard & Poor's, and Duff & Phelps Credit Rating
Company. The purpose of the ratings is to reflect our financial strength and/or
claims-paying ability. The ratings do not bear on the investment performance of
assets held in the Variable Account or on the safety or the degree of risk
associated with an investment in the Variable Account.
16
<PAGE>
- -----------------------------------------------------------
INVESTMENT OPTIONS
The investment results of each investment
portfolio, whose investment objectives are
described below, are likely to differ
significantly. You should consider carefully,
and on a continuing basis, which portfolios or
combination of investment portfolios and fixed
rate options best suits your long-term
investment objectives.
We recognize you have very personal goals and investment strategies. The
Policy allows you to choose from a wide array of investment options --- each
chosen for its potential to meet specific investment objectives. You may
allocate all or a part of your purchase payments to one or a combination of the
variable investment options or the fixed rate options (although allocations to
the systematic transfer accounts are limited to initial purchase payments and
rollovers only). Allocations must be in whole percentages and total 100%.
You can choose among 30 variable investment options and three fixed rate
options.
o VARIABLE INVESTMENT OPTIONS
The investment portfolios are not available for
purchase directly by the general public, and are
not the same as other mutual fund portfolios
with very similar or nearly identical names that
are sold directly to the public. However, the
investment objectives and policies of certain
portfolios available under the Policy are very
similar to the investment objectives and
policies of other portfolios that are or may be
managed by the same investment adviser or
manager. Nevertheless, the investment
performance and results of the portfolios
available under the Policy may be lower, or
higher, than the investment results of such
other (publicly available) portfolios. There can
be no assurance, and no representation is made,
that the investment results of any of the
portfolios available under the Policy will be
comparable to the investment results of any
other mutual fund portfolio, even if the other
portfolio has the same investment adviser or
manager and the same investment objectives and
policies, and a very similar name.
For detailed information about any investment
portfolio, including its performance history,
refer to the prospectus for that investment
portfolio.
With the Policy's variable investment options, you bear the investment
risk, not us. You control the amount of money you invest in each of the
investment portfolios, and you bear the risk those portfolios will perform worse
than you expect.
The Variable Account, United of Omaha Separate Account C, provides you
with 30 variable investment options in the form of Series Fund investment
portfolios. Each Series Fund is an open-end investment management company. When
you allocate Policy funds to a Series Fund portfolio, those funds are placed in
a Subaccount of the Variable Account corresponding to that portfolio, and the
Subaccount in turn invests in the portfolio. The Accumulation Value of your
Policy depends directly on the investment performance of the portfolios that you
select.
The Variable Account is registered with the SEC as a unit investment trust.
However, the SEC does not supervise the management or the investment practices
or policies of the Variable Account or United of Omaha. The Variable Account was
established as a separate investment account of United of Omaha under Nebraska
law on December 1, 1993. Under Nebraska law, we own the Variable Account assets,
but they are held separately from our other assets and are not charged with any
liability or credited with any gain of business unrelated to the Variable
Account. Any and all distributions made by the Series Funds with respect to the
shares held by the Variable Account will be reinvested in additional shares at
net asset value. We are responsible to you for meeting the obligations of the
Policy, but we do not guarantee the investment performance of any of the
investment portfolios. We do not make any representations about their future
performance. The investment portfolios may fail to meet their objectives, and
they could go down in value. Each portfolio operates as a separate investment
fund, and the income or losses of one portfolio generally have no effect on the
investment performance of any other portfolio. Complete descriptions of each
portfolio's investment objectives and restrictions and other material
information related to an investment in the portfolio are contained in the
prospectuses for each of the Series Funds which accompany this Prospectus.
17
<PAGE>
<TABLE>
<CAPTION>
- ------------------- ---------------------------------------------------- ------------------------------------
Variable Investment Options
Asset Under United of Omaha Separate Account C Objective
Category * (Series Fund - Portfolio)
- ------------------- -----------------------------------------------------------------------------------------
Investments
- ------------------- -----------------------------------------------------------------------------------------
<S> <C> <C> <C>
MFS Variable Insurance Trust -
MFS EMERGING GROWTH SERIES PORTFOLIO (5) Long-term capital appreciation.
AGGRESSIVE
GROWTH
- ------------------- ---------------------------------------------------- ------------------------------------
Common stock of emerging growth companies
- ------------------- -----------------------------------------------------------------------------------------
Alger American Fund -
ALGER AMERICAN SMALL CAPITALIZATION PORTFOLIO (1) Long-term capital appreciation.
- ------------------- ---------------------------------------------------- ------------------------------------
Common stock of small capitalization companies.
- ------------------- -----------------------------------------------------------------------------------------
Deutsche Asset Management VIT Funds -
DEUTSCHE VIT SMALL CAP EQUITY INDEX FUND Long-term capital appreciation.
PORTFOLIO(12)
- ------------------- -----------------------------------------------------------------------------------------
Common stock of small capitalization companies.
- ------------------- -----------------------------------------------------------------------------------------
Pioneer Variable Contracts Trust - Long-term capital appreciation
REAL ESTATE PIONEER REAL ESTATE GROWTH PORTFOLIO(8) with current income.
- ------------------- ---------------------------------------------------- ------------------------------------
Real estate investment trusts (REITs) and other
real estate industry companies.
- ------------------- -----------------------------------------------------------------------------------------
T. Rowe Price International Series, Inc. -
T. ROWE PRICE INTERNATIONAL STOCK PORTFOLIO(10) Long-term capital appreciation.
INTERNATIONAL
- ------------------- -----------------------------------------------------------------------------------------
Common stock of non-U.S. companies.
- ------------------- -----------------------------------------------------------------------------------------
Scudder Variable Life Investment Fund -
SCUDDER VLIF INTERNATIONAL PORTFOLIO (9) Long-term capital appreciation.
- ------------------- ---------------------------------------------------- ------------------------------------
Common stock of non-U.S. companies.
- ------------------- -----------------------------------------------------------------------------------------
Scudder Variable Life Investment Fund -
SCUDDER VLIF GLOBAL DISCOVERY PORTFOLIO (9) Long-term capital appreciation.
- ------------------- -----------------------------------------------------------------------------------------
Common stock of small U.S. and non-U.S. companies.
- ------------------- -----------------------------------------------------------------------------------------
Morgan Stanley Dean Witter Universal Funds, Inc. -
MSDW EMERGING MARKETS EQUITY PORTFOLIO (6) Long-term capital appreciation.
- ------------------- ---------------------------------------------------- ------------------------------------
Equity securities of growth companies located in
"emerging" foreign countries (countries whose
economies are less economically mature than those
of developed nations).
- ------------------- -----------------------------------------------------------------------------------------
Deutsche Asset Management VIT Funds - Long-term capital appreciation.
DEUTSCHE VIT EAFE EQUITY INDEX FUND PORTFOLIO (12)
- ------------------- -----------------------------------------------------------------------------------------
Common stock of non-U.S. companies.
- ------------------- -----------------------------------------------------------------------------------------
MFS Variable Insurance Trust -
BOND - MFS HIGH INCOME SERIES PORTFOLIO (5) High current income.
HIGH YIELD
- ------------------- ---------------------------------------------------- ------------------------------------
High yield, lower-rated bonds or comparable
unrated securities.
- ------------------- -----------------------------------------------------------------------------------------
T. Rowe Price Equity Series, Inc. -
T. ROWE PRICE NEW AMERICA GROWTH PORTFOLIO (11) Long-term capital appreciation.
GROWTH
- ------------------- -----------------------------------------------------------------------------------------
Common stock of U.S. growth companies.
- ------------------- -----------------------------------------------------------------------------------------
18
<PAGE>
MFS Variable Insurance Trust - Long-term capital appreciation
MFS RESEARCH SERIES PORTFOLIO (5) and future income.
- ------------------- ---------------------------------------------------- ------------------------------------
Common stock or comparable securities of
companies expected to possess better-than-average
prospects for long-term growth.
- ------------------- -----------------------------------------------------------------------------------------
Fidelity Variable Insurance Products Fund II -
FIDELITY VIP II CONTRAFUND PORTFOLIO (3) Long-term capital appreciation.
- ------------------- ---------------------------------------------------- ------------------------------------
Common stock of companies, foreign and domestic,
which the fund manager believes are currently
undervalued.
- ------------------- -----------------------------------------------------------------------------------------
Alger American Fund -
ALGER AMERICAN GROWTH PORTFOLIO (1) Long-term capital appreciation.
- ------------------- ---------------------------------------------------- ------------------------------------
Equity securities of companies with total market
capitalization of $1 billion or more.
- ------------------- -----------------------------------------------------------------------------------------
Pioneer Variable Contracts Trust -
PIONEER MIDCAP VALUE FUND PORTFOLIO (8) Long-term capital appreciation.
- ------------------- ---------------------------------------------------- ------------------------------------
Securities of mid-size companies, which the fund
manager believes are currently undervalued.
- ------------------- ---------------------------------------------------- ------------------------------------
MFS Variable Insurance Trust -
MFS CAPITAL OPPORTUNITIES SERIES PORTFOLIO (5) Capital appreciation.
- ------------------- ---------------------------------------------------- ------------------------------------
Common stock and related securities of foreign
and domestic companies.
- ------------------- -----------------------------------------------------------------------------------------
Pioneer Variable Contracts Trust - Capital appreciation.
PIONEER GROWTH SHARES PORTFOLIO (8)
- ------------------- ---------------------------------------------------- ------------------------------------
Common stock and equity securities of U.S. companies.
- ------------------- -----------------------------------------------------------------------------------------
Fidelity Variable Insurance Products Fund II - Capital appreciation
FIDELITY VIP II INDEX 500 PORTFOLIO (3) with current income.
GROWTH &
INCOME
- ------------------- ---------------------------------------------------- ------------------------------------
Common stock of companies that comprise the S&P
500 index.
- ------------------- -----------------------------------------------------------------------------------------
Scudder Variable Life Investment Fund - Long-term capital appreciation
SCUDDER VLIF GROWTH AND INCOME PORTFOLIO (9) with current income.
- ------------------- -----------------------------------------------------------------------------------------
Common and preferred stock, and securities
convertible into common stock, of companies that
offer the prospect for growth while paying
current dividends.
- ------------------- ---------------------------------------------------- ------------------------------------
Pioneer Variable Contracts Trust -
PIONEER FUND PORTFOLIO (8) Current income and capital
appreciation.
- ------------------- -----------------------------------------------------------------------------------------
Equity securities, primarily of U.S. companies.
- ------------------- -----------------------------------------------------------------------------------------
T. Rowe Price Equity Series, Inc. - Dividend income and long-term
T. ROWE PRICE EQUITY INCOME PORTFOLIO (11) capital appreciation.
EQUITY
INCOME
- ------------------- ---------------------------------------------------- ------------------------------------
Common stock of established companies that pay
dividends.
- ------------------- -----------------------------------------------------------------------------------------
Fidelity Variable Insurance Products Fund - Dividend income and capital
FIDELITY VIP EQUITY INCOME PORTFOLIO (3) appreciation surpassing
the S&P 500 average.
- ------------------- ---------------------------------------------------- ------------------------------------
Securities of established companies that produce
income and capital appreciation.
- ------------------- -----------------------------------------------------------------------------------------
Pioneer Variable Contracts Trust - Current income and long-term
PIONEER EQUITY-INCOME PORTFOLIO (8) capital appreciation.
- ------------------- -----------------------------------------------------------------------------------------
Income producing equity securities of U.S. companies.
- ------------------- -----------------------------------------------------------------------------------------
T. Rowe Price Equity Series, Inc. -
T. ROWE PRICE PERSONAL STRATEGY BALANCED Capital appreciation and income.
PORTFOLIO(11)
BALANCED
- ------------------- ---------------------------------------------------- ------------------------------------
Diversified portfolio of stock, bonds and money
market securities.
- ------------------- -----------------------------------------------------------------------------------------
Fidelity Variable Insurance Products Fund II -
FIDELITY VIP II ASSET MANAGER PORTFOLIO (3, 4) High total return.
- ------------------- ---------------------------------------------------- ------------------------------------
Diversified portfolio of domestic and foreign
stock, bonds, short-term and money market
securities.
- ------------------- ---------------------------------------------------- ------------------------------------
MFS Variable Insurance Trust -
BOND - MFS GLOBAL GOVERNMENTS SERIES PORTFOLIO (5) Income and capital appreciation.
INTERNATIONAL
- ------------------- ---------------------------------------------------- ------------------------------------
Foreign and U.S. government bonds or other debt securities.
- ------------------- -----------------------------------------------------------------------------------------
Federated Insurance Series -
FEDERATED FUND FOR U.S. GOVERNMENT SECURITIES II Current income.
PORTFOLIO (2)
BOND -
DOMESTIC
- ------------------- ---------------------------------------------------- ------------------------------------
U.S. government securities.
- ------------------- -----------------------------------------------------------------------------------------
T. Rowe Price Fixed Income Series, Inc. -
T. ROWE PRICE LIMITED TERM BOND PORTFOLIO (11) Current income.
- ------------------- ---------------------------------------------------- ------------------------------------
Short- and intermediate-term investment grade
debt securities.
- ------------------- -----------------------------------------------------------------------------------------
Morgan Stanley Dean Witter Universal Funds, Inc. -
MSDW FIXED INCOME PORTFOLIO (7) Current income.
- ------------------- ---------------------------------------------------- ------------------------------------
Diversified portfolio of fixed income securities.
- ------------------- ---------------------------------------------------- ------------------------------------
Federated Insurance Series -
MONEY MARKET FEDERATED PRIME MONEY FUND II PORTFOLIO (2) Current income.
- ------------------- -----------------------------------------------------------------------------------------
High quality fixed income securities maturing in
13 months or less.
- ------------------- -----------------------------------------------------------------------------------------
</TABLE>
(*) Asset Category designations are our own to help you gain insight into each
portfolio's intended objectives, but do not assure any portfolio will perform
consistent with the categorization. INFORMATION CONTAINED IN THE SERIES FUNDS'
PROSPECTUSES SHOULD BE READ CAREFULLY BEFORE INVESTING IN ANY SUBACCOUNT.
19
<PAGE>
INVESTMENT ADVISERS OF THE SERIES FUNDS:
We do not assure that any portfolio will achieve
its stated objective. Detailed information,
including a description of each portfolio's
investment objective and policies, a description
of risks involved in investing in each of the
portfolios, and each portfolio's fees and
expenses, is contained in the prospectuses for
the Series Funds, current copies of which
accompany this Prospectus. None of these
portfolios are insured or guaranteed by the U.S.
government.
(1) Fred Alger Management, Inc.
(2) Federated Investment Management Company.
(3) Fidelity Management & Research Company.
(4) Fidelity Management & Research (U.K.) Inc., and Fidelity Management
and Research Far East Inc., regarding research and investment
recommendations with respect to companies based outside the United
States.
(5) Massachusetts Financial Services Company.
(6) Morgan Stanley Dean Witter Investment Management Inc.
(7) Miller Anderson & Sherrerd, LLP.
(8) Pioneer Investment Management, Inc.
(9) Scudder Kemper Investments, Inc.
(10) Rowe Price-Fleming International, Inc., a joint venture
between T. Rowe Price Associates, Inc. and Robert
Fleming Holdings Limited.
(11) T. Rowe Price Associates, Inc.
(12) Bankers Trust Company.
The investment advisers of the Series Funds and the investment portfolios
are described in greater detail in the prospectuses for the Series Funds.
The performance history of each Variable Account Subaccount, which gives you
an indication of how each portfolio has performed and the effect of Policy
expenses on that performance, is discussed in the Statement of Additional
Information. You may obtain a copy from us. The performance history of each
portfolio is more fully described in the Series Fund prospectus for each
portfolio. Past performance may not be an indication of future performance.
Each investment portfolio is designed to provide an investment vehicle for
variable annuity and variable life insurance contracts issued by various
insurance companies. For more information about the risks associated with the
use of the same funding vehicle for both variable annuity and variable life
insurance contracts of various insurance companies, see the prospectuses of the
Series Funds which accompany this Prospectus.
We may receive revenues from the investment portfolios or their investment
advisers. These revenues may depend on the amount our Variable Account invests
in the Series Fund and/or any portfolio thereof.
o ADDING, DELETING, OR SUBSTITUTING VARIABLE INVESTMENTS
We do not control the Series Funds, so we cannot guarantee that any of the
portfolios will always be available. We retain the right to change the
investments of the Variable Account. This means we may eliminate the shares of
any investment portfolio held in our Variable Account and to substitute shares
of another open-end management investment company for the shares of any
portfolio, if the shares of the portfolio are no longer available for investment
or if, in our judgment, investment in any portfolio would be inappropriate in
view of the purposes of the Variable Account. We will first notify you and
receive any necessary SEC and state approval before making such a change
New portfolios may be added, or existing portfolios eliminated, when, in our
sole discretion, conditions warrant such a change. If a portfolio is eliminated,
we will ask you to reallocate any amount in the eliminated portfolio. If you do
not reallocate these amounts, we will automatically reinvest them in the
Federated Prime Money Fund II Portfolio.
If we make a portfolio substitution or change, we may change the Policy to
reflect the substitution or change. Our Variable Account may be (i) operated as
an investment management company or any other form permitted by law, (ii)
deregistered with the SEC if registration is no longer required or (iii)
combined with one or more other separate accounts. To the extent permitted by
law, we also may transfer assets of the Variable Account to other accounts.
20
<PAGE>
o FIXED RATE OPTIONS
All amounts allocated to the fixed rate options
become part of the general account assets of
United of Omaha. Interests in the general
account have not been registered with the SEC
and are not subject to the SEC's regulation, nor
is the general account registered as an
investment company with the SEC. Therefore, SEC
staff have not reviewed the fixed account
disclosures in this Prospectus.
There are three fixed rate options: a fixed account and two systematic
transfer accounts. With fixed rate options, we bear the investment risk. This
means we guarantee that you will earn a minimum interest rate. This minimum
interest rate is guaranteed to yield at least 3% per year, compounded annually.
We may declare a higher current interest rate. Whatever interest rate we declare
will be guaranteed for at least one year. However, you bear the risk that we
will not credit more interest than will yield 3% per year for the life of the
Policy. We have full control over how assets allocated to fixed rate options are
invested, and we bear the risk that those assets will perform better or worse
than the amount of interest we have declared. The focus of this Prospectus is to
disclose the Variable Account aspects of the Policy. For additional details
regarding the fixed investment options, see the Policy.
o SYSTEMATIC TRANSFER ACCOUNTS
A systematic transfer account is the fixed rate option used if you elect
(when you buy the Policy) to participate in the systematic transfer enrollment
program ("STEP program"). You may only elect one program: the four-month or
12-month account. The STEP program is used to automatically transfer a
predetermined dollar amount on a monthly basis to any of the Subaccounts you
choose. You cannot transfer amounts from the STEP program to the fixed account.
The allocation and the predetermined dollar amount may not be changed once the
STEP program is elected. You must have a minimum of $5,000 in your systematic
transfer account in order to participate in the STEP program. No additional
funds may be allocated to a systematic transfer account after you purchase the
Policy (except for funds designated to be transferred into the Policy pursuant
to an Internal Revenue Code Section 1035 exchange or an IRA rollover or
transfer).
Funds allocated to the systematic transfer account must be completely
transferred to the Variable Account in either four or 12 months (whichever you
choose). We may credit a different rate of interest to the four-month account
than to the 12-month account. Transfers from the systematic transfer accounts do
not count toward the 12 free transfers allowed each Policy Year. You may not
transfer funds into any systematic transfer account. The systematic transfer
accounts may not be used to practice "market timing", and we may disallow
transactions involving this account on that basis.
o FIXED ACCOUNT AND SYSTEMATIC TRANSFER ACCOUNTS
The fixed account and the systematic transfer accounts are part of our
general account assets. Our general account includes all our assets except those
segregated in the Variable Account or in any other separate investment account.
You may allocate purchase payments to the fixed account or transfer amounts from
the Variable Account to the fixed account. Instead of you bearing the investment
risk, as you do with investments allocated to the Variable Account, we bear the
full investment risk for investments in the fixed rate options. We have sole
discretion to invest the assets of our general account, subject to applicable
law.
We have sole discretion to set current interest
rates of fixed rate options. We do not guarantee
the level of future interest rates of fixed rate
options, except that they will not be less than
the minimum interest rate.
We guarantee that money invested in any fixed rate option will earn an
effective rate of interest which will yield at least 3% per year, compounded
annually. However, we have complete discretion to declare interest in excess of
the guaranteed minimum rate, or not to declare any excess interest. Once
declared, we guarantee that any rate will last for at least one year. Different
rates of interest may be credited to each systematic transfer account and to the
fixed account.
We guarantee that, at any time prior to the Annuity Starting Date or the
death of the Owner, the amount in your fixed account or systematic transfer
account will not be less than:
(i) the amount of purchase payment allocated or Accumulation Value
transferred to the fixed account or systematic transfer account, plus
(ii) interest at a rate which is guaranteed to yield 3% per year, plus
(iii)excess interest (if any) credited to amounts in the fixed account or
systematic transfer account, less
(iv) premium taxes or other taxes allocable to the fixed account or
systematic transfer account, and less
(v) any amounts deducted from the fixed account or systematic transfer
account in connection with partial withdrawals (including any
withdrawal charges) or transfers to the Variable Account.
21
<PAGE>
o TRANSFERS
The Policy is designed for long-term investment, not for active trading or
"market timing." Excessive transfers could harm other Policy Owners by having a
detrimental effect on portfolio management. Subject to restrictions during the
"right to examine period" and prior to the Annuity Starting Date, you may
transfer Policy value from one Subaccount to another, from the Variable Account
to the fixed account, or from the fixed account to any Subaccount, subject to
these rules:
TRANSFER RULES:
o We must receive notice of the transfer --- either Written Notice or an
authorized telephone transaction.
o The transferred amount must be at least $500, or the entire Subaccount
value if it is less. (If the Subaccount value remaining after a transfer
will be less than $500, we will include that amount as part of the
transfer.)
o The first 12 transfers each Policy Year from Subaccounts are free. The rest
cost $10 each. This fee is deducted from the amount transferred. We will
never allow more than 24 transfers in a Policy Year.
o A transfer from the fixed account:
- may be made only once each Policy Year;
- is free;
- may be delayed up to six months (30 days in West Virginia);
- does not count toward the 12 free transfer limit; and
- is limited during any Policy Year to 10% of the fixed account value on
the date of the initial transfer during that year.
o We reserve the right to limit transfers, or to modify transfer privileges.
o If the Accumulation Value in any Subaccount falls below $500, we may
transfer the remaining balance, without charge, to the Federated Prime
Money Fund II Portfolio.
o Transfers made pursuant to participation in the dollar cost averaging,
STEP, asset allocation or rebalancing programs are not subject to the
amount or timing limitations of these rules, nor are they subject to a
transfer fee. See the sections of this Prospectus describing those programs
for the rules of each program.
o If you transfer amounts from the fixed account to the Variable Account, we
can restrict or limit any transfer of those amounts back to the fixed
account.
THIRD-PARTY TRANSFERS. Where permitted and subject to our rules, we may
accept your authorization to have a third party exercise transfers on your
behalf. Third-party transfers are subject to the same rules as all other
transfers.
o DOLLAR COST AVERAGING
Our dollar cost averaging program allows you to automatically transfer, on a
periodic basis, a set dollar amount or percentage from one Subaccount or the
fixed account to any Subaccount(s). You can begin dollar cost averaging when you
purchase the Policy or later. You can increase or decrease the amount or
percentage of transfers or discontinue the program at any time. Rules of the
dollar cost averaging program are:
DOLLAR COST AVERAGING RULES:
The dollar cost averaging and the STEP program
are intended to result in the purchase of more
Accumulation Units when the Accumulation Unit
value is low, and fewer units when the
Accumulation Unit value is high. However, there
is no guarantee that either program will result
in a higher Accumulation Value or otherwise be
successful.
o The dollar cost averaging program is free.
o We must receive notice of your election and any changed instruction ---
either Written Notice or an authorized telephone transaction.
o Automatic transfers can occur monthly, quarterly, semi-annually, or
annually.
o There must be at least $5,000 of Accumulation Value in the Subaccount or
fixed account from which transfers are being made to begin dollar cost
averaging.
o Amount of each transfer must be at least $100, and must be $50 per
Subaccount.
o If transfers are made from the fixed account, the maximum annual transfer
amount is 10% of that account's value at the time of the first dollar cost
averaging transfer during that year. There is no maximum transfer amount
limitation out of the Subaccounts.
o Dollar cost averaging program transfers cannot begin before the end of a
Policy's "right to examine"period.
o You may specify that transfers be made on the 1st through the 28th day of
the month. Transfers will be made on the date you specify (or if that is
not a Business Day, then on the next Business Day). If you do not select a
date, the program will begin on the next Policy monthly anniversary
following the date the Policy's "right to examine" period ends.
o You can limit the number of transfers to be made, in which case the program
will end when that number has been made. Otherwise, the program will
terminate when the amount remaining in the applicable Subaccount or the
fixed account is less than $500.
22
<PAGE>
o SYSTEMATIC TRANSFER ENROLLMENT
PROGRAM ("STEP PROGRAM")
You cannot transfer amounts from the STEP
program to the fixed account.
The STEP program allows you to automatically transfer funds on a monthly
basis from the systematic transfer account to any other Subaccount. It allows
you to use a dollar cost averaging concept to move your initial purchase payment
from a fixed interest rate account into variable investment options within
either a four-month or a 12-month period, depending upon which time period you
elect. You cannot transfer funds from the STEP account into the fixed account.
If you want to move funds from a fixed interest rate account into variable
investment options over a longer time period using the same concept, then you
should use the dollar cost averaging program. We may credit different interest
rates to amounts in a systematic transfer account than to amounts in the fixed
account.
STEP PROGRAM RULES:
o The STEP program is free.
o Can only be selected on the initial application.
o Must have at least $5,000 in a systematic transfer account to begin the
program.
o You may only participate in one systematic transfer account, but not both.
o Amount transferred each month must be at least an amount sufficient to
transfer the entire amount out of the systematic transfer account in either
four or 12 equal monthly payments.
o Transfers must be at least $50 per Subaccount.
o No new purchase payments may be allocated to this account after you
purchase the the Policy, except for funds designated in the application to
be transferred into the Policy pursuant to an Internal Revenue Code Section
1035 exchange or an IRA rollover or transfer.
o Upon receipt of funds by Section 1035 exchange, the four or 12 monthly
payment requirement is restarted and the minimum monthly transfer amount is
recalculated.
o Cannot begin before the end of the Policy's "right to examine" period.
o You may specify transfers be made on the 1st through the 28th day of the
month. Transfers will be made on the date you specify (or if that is not a
Business Day, the transfers will be made on the next Business Day). If you
do not select a start date, the STEP program will begin on the next Policy
Monthly Anniversary following the date the Policy's "right to examine"
period ends.
o No transfers may be made into the systematic transfer account.
o All funds remaining in the systematic transfer account on the date of the
last monthly transfer will be transferred to the Subaccounts in a pro rata
amount consistent with your allocation instructions.
o The STEP program ends the earlier of the date when all amounts in the
systematic transfer account have been transferred or the date of the last
monthly STEP program transfer.
o ASSET ALLOCATION PROGRAM
The asset allocation program does not protect
against a loss, and otherwise is not guaranteed
to achieve your goal.
The asset allocation program allows you to allocate purchase payments and
policy value among designated Subaccounts and the fixed account. You can specify
your own desired allocation instructions, or you can choose to use one of the
five asset allocation models outlined below. The fixed rate options are not
included in this program.
ASSET ALLOCATION PROGRAM RULES:
o The asset allocation program is free.
o You must request the asset allocation program in the Policy application or
by Written Notice or an authorized telephone transaction. Changed
instructions, or a request to end this program, must also be by Written
Notice or authorized telephone transaction.
o You must have at least $10,000 of Accumulation Value to begin the asset
allocation program.
o Transfers made pursuant to this program do not count in determining whether
a transfer fee applies.
o Asset allocation and STEP programs cannot run at the same time.
o The asset allocation program will automatically rebalance your Accumulation
Value in the Subaccounts to the model you select on an annual basis, unless
you designate semiannual or quarterly rebalancing. Your Accumulation Value
will be rebalanced to the then-current version of the model in effect.
o The Series Funds that are included in a model may change from period to
period. Your election to use a model will remain in effect, without regard
to changes in the funds in that model, unless you provide us with changed
instructions.
23
<PAGE>
The asset allocation program does not protect against a loss, and otherwise
is not guaranteed to achieve your goal.
<TABLE>
<CAPTION>
- --------------------------------------------------------------------------------------------------------
ASSET ALLOCATION MODELS
CURRENT ALLOCATIONS*
- ------------------------------------ ------------- ------------- ----------- -------------- ------------
Portfolio Principal Portfolio Income Capital Equity
Conserver Protector Builder Accumulator Maximizer
(conservative)(moderately (moderate) (moderately (aggressive)
conservative) aggressive)
% % % % %
- ------------------------------------ ------------- ------------- ----------- -------------- ------------
<S> <C> <C> <C> <C> <C>
MFS Emerging Growth Series 3 5
Alger American Small Capitalization 5 10
Deutsche Small Cap Equity Index 3 4 6 7
VIT Fund
Pioneer Real Estate Growth 4 5 6
T. Rowe Price International Stock 6 7 12
Scudder VLIF International 15
Deutsche EAFE Equity Index VIT Fund 5 7 9 9 10
MFS High Income Series 5 5 5
T. Rowe Price New America Growth 5 7 9
MFS Capital Opportunities Series 4 8 10 10 9
Fidelity VIP II Index 500 5 10 10 11 12
Pioneer Equity Income 7 10 10 8 6
Fidelity VIP Equity Income 5 9 11
MFS Global Governments Series 5 6 6
T. Rowe Price Limited Term Bond 43 32 20 15
MSDW Fixed Income 6
Federated Prime Money Fund II 20 13 5
- --------------------------------------------------------------------------------------------------------
* WE RETAIN THE RIGHT TO CHANGE MODEL ALLOCATIONS OR TO SUBSTITUTE
PORTFOLIO OPTIONS THEREIN IN FUTURE PROSPECTUSES. AMOUNTS YOU ALLOCATE
TO A MODEL PORTFOLIO WILL BE INVESTED
PURSUANT TO THE THEN CURRENT PORTFOLIO ALLOCATIONS FOR THAT MODEL.
- --------------------------------------------------------------------------------------------------------
</TABLE>
We use Ibbotson Associates, Inc. to develop the asset allocation model
allocations. They are an investment consulting firm specializing in applying
investment theories and empirical findings (such as historical return data
collected on the investment portfolios) to quantify the benefits of
diversification for particular investment profiles.
o REBALANCING PROGRAM
The rebalancing program allows you to rebalance your Accumulation Value among
designated Subaccounts and the fixed account pursuant to your instructions on a
quarterly, semi-annual, or annual basis. Rebalancing utilizes your allocation
instructions in effect at the end of any STEP program period (so never
rebalances any assets to the systematic transfer account). You may change your
rebalancing allocation instructions at any time. Any change will be effective
when the next rebalancing occurs.
REBALANCING PROGRAM RULES:
The rebalancing program does not protect against
a loss, and otherwise is not guaranteed to
achieve your goal.
o The rebalancing program is free.
o You must request the rebalancing program and give us your rebalancing
instructions by Written Notice. Changed instructions, or a request to end
this program must also be by Written Notice.
o You must have at least $10,000 of Policy Accumulation Value to begin the
rebalancing program.
o You may have rebalancing occur quarterly, semi-annually or annually.
o Transfers made pursuant to this program do not count in determining whether
a transfer fee applies.
o If you elect the asset allocation program, your Accumulation Value in the
Subaccounts will automatically be rebalanced to the model you choose on an
annual basis, unless you elect semi-annual or quarterly rebalancing. Your
Accumulation Value will be rebalanced to the then-current version of the
model in effect.
The rebalancing program does not protect against a loss and may not achieve
your investment goal.
24
<PAGE>
- ----------------------------------------------------------------------
IMPORTANT POLICY PROVISIONS
The Ultrannuity Series V Policy is a flexible purchase payment variable
deferred annuity policy. The Policy allows you to save and invest your assets on
a tax-deferred basis. A feature of the Policy distinguishing it from non-annuity
investments is its ability to guarantee annuity payments to you for as long as
you live. In addition, if you die before those payments begin, the Policy will
pay a death benefit to your Beneficiary. Some key rights and benefits under the
Policy are summarized in this Prospectus; however, you must refer to the Policy
itself for the actual terms of the Policy. You may obtain a copy of the Policy
from us. The Policy can be purchased as a tax-qualified or nonqualified annuity.
The Policy remains in force until surrendered for its Cash Surrender Value, or
all proceeds have been paid under an annuity payout option or as a death
benefit.
o POLICY APPLICATION AND ISSUANCE
Replacing an existing annuity policy is not
always your best choice. Evaluate any
replace-ment carefully.
To purchase a Policy, you must submit an application and a minimum initial
purchase payment. A Policy usually will be issued only if you are age 0 through
85 (0 through 78 in Pennsylvania). We reserve the right to reject any
application or purchase payment for any reason.
If your application is in good order upon receipt, we will credit your
initial net purchase payment to the Policy's Accumulation Value in accordance
with the "right to examine" rules in your state within two Business Days after
the later of the date we receive your application or your payment. If the
application is incomplete or otherwise not in good order, we will contact you
within five Business Days to explain the delay; at that time we will refund your
initial purchase payment unless you consent to our retaining it to apply it to
your Policy once all Policy issuance requirements are met. The date we credit
your initial net purchase payment to your Policy's Accumulation Value is the
date of issue of the Policy.
You can purchase a tax-qualified policy in connection with a Section 401(a)
pension or profit-sharing plan, a Section 403(b) tax-sheltered annuity or an IRA
or Roth IRA, subject to certain limitations. See the FEDERAL TAX MATTERS section
of this Prospectus for details.
o APPLICATION IN GOOD ORDER. All questions must be answered, but particularly
note these requirements:
- - The Owner's and the Annuitant's full name, Social Security number, and date
of birth must be included.
- - Your purchase payment allocations must be completed, be in whole
percentages, and total 100%.
- - Initial purchase payment must meet minimum purchase payment requirements.
- - Your signature and your agent's signature must be on the application.
- - Identify the type of plan, whether it is nonqualified or qualified.
- - City, state, and date application was signed must be completed.
- - Your agent must be both properly licensed and appointed with us.
o PURCHASE PAYMENT REQUIREMENTS
Your purchase payment checks should be made payable to "United of Omaha Life
Insurance Company." We may postpone crediting any payment made by check to your
Policy's Accumulation Value until the check has been honored by your bank.
Payment by certified check, banker's draft, or cashier's check will be promptly
applied. Under our Electronic Fund Transfer program, you may select a monthly
payment schedule for us to automatically deduct purchase payments from your bank
account or other sources.
Initial Purchase Payment:
------------------------
- - The only purchase payment required. All others are optional.
- - Must be at least $5,000; $2,000 if payment is made via our electronic fund
transfer program and you elect to make additional electronic fund
transfer payments of $100 per month, or quarterly, semiannual or annual
payment equivalents. We have the right to change these payment
requirements.
Additional Purchase Payments:
----------------------------
- - Must be at least $500; $100 if payments are made via our Electronic Fund
Transfer program. We have the right to change these payment
requirements.
- - Will not be accepted on or after the sooner of (i) the Policy anniversary
following your 88th birthday (78th birthday in Pennsylvania) or (ii)
your Annuity Starting Date.
25
<PAGE>
o ALLOCATING YOUR PURCHASE PAYMENTS
You must allocate your purchase payments to one or more of the variable
investment or fixed rate options. Initial allocations in your Policy application
will be used for additional purchase payments until you change your allocation.
If you do not specify any allocation, we will not accept your purchase payment.
- - Allocations must be in whole percentages, and total 100%.
- - The minimum allocation amount is $500 ($100 under the electronic fund
transfer program).
- - You may change your allocation by sending us Written Notice or through an
authorized telephone transaction. The change will apply to payments
received on or after the date we receive your Written Notice or authorized
telephone transaction.
- - All purchase payments will be allocated pursuant to your instructions on
record with us, except your initial purchase payment and any additional
purchase payments received during your Policy's "right to examine" period
may be subject to special requirements.
"Right to Examine" Period Allocations:
-------------------------------------
RETURN OF VALUE STATES. In states that permit us to refund your Accumulation
Value upon your cancellation of the Policy during the "right to examine" period,
we will allocate your initial purchase payment to your selected Subaccounts on
the date of issue of the Policy.
RETURN OF PURCHASE PAYMENT STATES. In states that require us to refund at
least your full purchase payment upon your cancellation of the Policy during the
"right to examine" period, we will hold the portion of your initial purchase
payment allocated to the Variable Account in the Federated Prime Money Fund II
Subaccount for the applicable "right to examine" period specified by the state
of issue, plus five days from the date we mail the Policy to you. (Since the
"right to examine" period is measured from the date you receive the Policy, the
extra five days is to allow for estimated time needed to deliver the Policy.) At
the end of that period, if you decide to keep your Policy, we will invest your
initial purchase payment in the Subaccounts pursuant to your application
instructions. (Any additional purchase payments we receive during the "right to
examine" period plus five days will be allocated in the same manner.)
o ACCUMULATION VALUE
On your Policy's date of issue, the Accumulation Value equals the initial
purchase payment less any charge for applicable premium taxes. On any Business
Day thereafter, the Accumulation Value equals the sum of the values in the
Variable Account and the fixed rate options. The Accumulation Value is expected
to change from day to day, reflecting the expenses and investment experience of
the selected investment portfolios (and interest earned in the fixed rate
options) as well as the Policy's deductions for charges.
o VARIABLE ACCOUNT VALUE.
The value in the Variable Account equals the sum of the Accumulation Values
for each Subaccount. The Accumulation Value for each Subaccount equals:
(a) the current number of Accumulation Units in the Subaccount for the
Policy; multiplied by (b) the current Accumulation Unit value.
A net purchase payment or transfer allocated to a Subaccount is converted
into Accumulation Units by dividing the purchase payment or transfer by the
Accumulation Unit value for the day during which the net purchase payment or
transfer is allocated to the Variable Account. The initial Accumulation Unit
value for each Subaccount was set at $10 when the Subaccount was established
(except it was $1 for the Federated Prime Money Fund II Subaccount). The
Accumulation Unit value may increase or decrease from one day to the next.
The Accumulation Unit value for a Subaccount on any Business Day is
calculated as follows:
(a) The net asset value per share of the applicable investment
portfolio multiplied by the number of shares held in the
Subaccount, before the purchase or redemption of any shares on
that date; minus
(b) the cumulative unpaid charge for the mortality and expense risk
charge, administrative expense charge and a charge for the enhanced
death benefit, if any; minus
(c) any applicable charge for federal and state income taxes, if any;
the result divided by
(d) the total number of Accumulation Units held in the Subaccount on
that date, before the purchase or redemption of any Accumulation
Units on that day.
Positive investment experience of the applicable portfolio will increase the
Accumulation Unit values and negative investment experience will decrease the
Accumulation Unit values. Expenses and deductions will have a negative effect on
unit values.
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<PAGE>
o FIXED ACCOUNT VALUE.
The Accumulation Value of the fixed account on any Business Day equals:
(a) the Accumulation Value at the end of the preceding Policy month; plus
(b) any net purchase payments credited since the end of the previous Policy
month; plus
(c) any transfers from the Subaccounts credited to the fixed account since the
end of the previous Policy month; minus
(d) any transfers from the fixed account to the Subaccounts since the end of
the previous Policy month; minus
(e) any partial withdrawal and withdrawal charge taken from the fixed account
since the end of the previous Policy month; plus
(f) interest credited on the fixed account balance.
o SYSTEMATIC TRANSFER ACCOUNT VALUE.
The Accumulation Value of any systematic transfer account on any Business
Day equals:
(a) the value at the Policy issue date; minus
(b) any transfers from the systematic transfer account to the Subaccounts since
the end of the previous Policy month; plus
(c) interest credited on the systematic transfer account balance.
<TABLE>
<CAPTION>
o TELEPHONE TRANSACTIONS
<S> <C>
TELEPHONE TRANSACTIONS PERMITTED TELEPHONE TRANSACTION RULES:
o Transfers. o Only you may elect. Do so on the Policy application
o Partial withdrawals of $10,000 or less or by prior Written Notice to us.
by you (may be restricted in o Must be received by close of the New York Stock
community property states). Exchange ("NYSE") (usually 3 p.m. Central Time); if
o Change of purchase payment allocations. later, the transaction will be processed the next day
the NYSE is open.
o Will be recorded for your protection.
o For security, you must provide your Social Security
number and/or other identification information.
o May be discontinued at any time as to some or all
Owners.
We are not liable for following telephone transaction instructions we
reasonably believe to be genuine.
</TABLE>
o DEATH OF ANNUITANT
Upon the Annuitant's death, you may name a new Annuitant. If any Owner is
the Annuitant, then upon that Owner's death, the Policy's applicable death
benefit becomes payable to the named Beneficiary(ies). However, if the
Beneficiary is the deceased Owner's spouse, then upon that Owner's death the
spouse may be permitted under federal tax law to become the new owner of the
Policy and to name an Annuitant and different Beneficiaries.
o DELAY OF PAYMENTS
We will usually pay any amounts from the Variable Account requested as a
partial withdrawal or cash surrender within seven days after we receive your
Written Notice. We can postpone such payments or any transfers out of a
Subaccount if: (i) the NYSE is closed for other than customary weekend and
holiday closings; (ii) trading on the NYSE is restricted; (iii) an emergency
exists as determined by the SEC, as a result of which it is not reasonably
practical to dispose of securities, or not reasonably practical to determine the
value of the net assets of the Variable Account; or (iv) the SEC permits delay
for the protection of security holders. The applicable rules of the SEC will
govern as to whether the conditions in (iii) or (iv) exist.
We may defer payments of partial withdrawals or a cash surrender from the
fixed account for up to six months (30 days in West Virginia) from the date we
receive your Written Notice.
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<PAGE>
o MINOR OWNER OR BENEFICIARY
A minor may not own the Policy solely in the minor's name and cannot receive
payments directly as a Policy Beneficiary. Contrary to common belief, in most
states parental status does not automatically give parents the power to provide
an adequate release to us to make Beneficiary payments to the parent for the
minor's benefit. A minor can "own" a Policy through the trustee of a trust
established for the minor's benefit, or through the minor's named and court
appointed guardian, who owns the Policy in his or her capacity as trustee or
guardian. Where a minor is a named Beneficiary, we are able to pay the minor's
Beneficiary payments to the minor's trustee or guardian. Some states allow us to
make such payments up to a limited amount directly to parents. Parents seeking
to have a minor's interest made payable to them for the minor's benefit are
encouraged to check with their local court to determine the process to be
appointed as the minor's guardian; it is often a very simple process that can be
accomplished without the assistance of an attorney. If there is no adult
representative able to give us an adequate release for payment of the minor's
Beneficiary interest, we will retain the minor's interest on deposit until the
minor attains the age of majority.
o POLICY TERMINATION
We may cancel your Policy upon 60 days' notice to you if the Accumulation
Value falls below $500. This cancellation would be a full surrender of the
Policy.
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<PAGE>
- -----------------------------------------------------------
EXPENSES
The charges and fees described below compensate us for our expenses in
distributing the Policy, bearing mortality and expense risks under the Policy,
and administering the investment options and the Policy. Except where stated
otherwise, charges and fees shown are the maximum we will charge, and some
actual expenses may be less. Each Series Fund also deducts expenses from each
portfolio; those expenses are described in each Series Fund prospectus.
o WITHDRAWAL CHARGE
---------------------------------------------------------------------------
Years Since Receipt of Purchase 1 2 3 4 5 6 7 8+
Payment
---------------------------------------------------------------------------
---------------------------------------------------------------------------
Applicable Withdrawal Charge 7% 6% 5% 4% 3% 2% 1% 0%
Percentage
---------------------------------------------------------------------------
We determine the amount of the withdrawal charge by multiplying the amount of
each purchase payment withdrawn by the applicable withdrawal charge percentages.
The oldest purchase payment is considered to be withdrawn first; the next oldest
purchase payment is considered to be withdrawn next, and so on (this is a
"first-in, first-out" procedure). All purchase payments are deemed to be
withdrawn before any earnings.
We will deduct a withdrawal charge, expressed as a percentage of any
purchase payment surrendered or withdrawn, upon a full surrender or partial
withdrawal, except as provided below. A withdrawal charge may also be deducted
on the Annuity Starting Date from amounts applied to provide annuity payments.
This charge partially covers our distribution expenses, including commissions
and other promotional expenses. The withdrawal charge percentage varies
depending upon the number of years elapsed since the date the purchase payment
was made. The amount of a partial withdrawal you request plus the withdrawal
charge is deducted from the Accumulation Value on the date we receive your
withdrawal request. Partial withdrawals (including any charge) are deducted from
the Subaccounts and the fixed account and the systematic transfer accounts on a
pro rata basis, unless you instruct us otherwise.
The withdrawal charge will not cover our cost of distributing the Policies.
Any deficiency is met from our general funds, including amounts derived from the
mortality and expense risk charge (described below).
o FREE PARTIAL WITHDRAWALS
Each Policy Year, you can withdraw up to 15% of Accumulation Value without
incurring a withdrawal charge. This "free withdrawal amount" is based on the
Accumulation Value at the time of the first withdrawal each Policy Year.
Additional limits apply to withdrawals from the fixed account. A withdrawal
charge is not applied on the Annuity Starting Date if you apply the Accumulation
Value after the second Policy Anniversary to provide lifetime annuity payments
under payout option 4 (but it does apply to proceeds placed under any other
payout options). No withdrawal charge is deducted upon death benefit payments
or, under tax-qualified plans, any refund of contributions paid in excess of
your deductible amounts.
o WITHDRAWAL CHARGE WAIVERS
We will waive the withdrawal charge upon partial withdrawals and surrenders
in the following situations. Each waiver may not be available in every state.
NURSING HOME WAIVER. Any partial withdrawal or surrender made pursuant to
your confinement, upon the recommendation of a licensed physician, to the
following facilities for 30 or more consecutive days: (a) a hospital licensed or
recognized as a general hospital by the state in which it is located; (b) a
hospital recognized as a general hospital by the Joint Commission on the
Accreditation of Hospitals; (c) a Medicare certified hospital; (d) a state
licensed nursing home with a registered nurse on duty 24 hours a day; and (e) a
Medicare certified long-term care facility. This waiver only applies to partial
withdrawals and surrenders requested no later than 91 days after the last day of
confinement to such facility. Proof of confinement must be provided. The nursing
home waiver is not available if any Owner is confined to any of these facilities
on the date of issue of the Policy (except in Pennsylvania).
We will not accept any additional purchase payments under your Policy once
this waiver is elected.
29
<PAGE>
DISABILITY WAIVER. Any partial withdrawal or surrender where you are
physically disabled. We may require proof of such disability, including written
confirmation of approval of any claim for Social Security Disability Benefits.
Proof of continued disability may be required through the date of any partial
withdrawal or surrender. We reserve the right to have any Owner claiming such
disability examined by a licensed physician of our choice and at our expense.
We will not accept any additional purchase payments under a Policy once
this waiver has been elected. The disability waiver is not available if any
Owner is receiving Social Security Disability Benefits on the date of issue of
the Policy (not applicable in certain states) or is age 65 or older on the date
of withdrawal.
TERMINAL ILLNESS WAIVER (LIMITED LIFE EXPECTANCY WAIVER IN PENNSYLVANIA).
Any partial withdrawal or surrender after you are diagnosed with a terminal
illness. A terminal illness is a medical condition that, with a reasonable
degree of medical certainty, will result in your death within 12 months or less
(24 months or less in Massachusetts). We may require proof of such illness
including written confirmation from a licensed physician. We reserve the right
to have an Owner diagnosed with such illness examined by a licensed physician of
our choice and at our expense.
We will not accept any additional purchase payments under a Policy once
this waiver has been elected. The terminal illness waiver is not available if
any Owner is diagnosed with a terminal illness prior to or on the date of issue
of the Policy (not applicable in certain states).
UNEMPLOYMENT WAIVER. Any partial withdrawal or surrender in the event you
become unemployed. The unemployment waiver is only available upon submission of
a determination letter from a state department of labor indicating you received
unemployment benefits for at least 60 consecutive days prior to the election of
such waiver. The unemployment waiver may be exercised only once and is not
available if any Owner or Annuitant is receiving unemployment benefits on the
date of issue of the Policy (except in Pennsylvania).
TRANSPLANT WAIVER. Any partial withdrawal or surrender if you undergo
transplant surgery as an organ donor or recipient for the following body organs:
heart, liver, lung, kidney, pancreas; or as a recipient of a bone marrow
transplant. Within 91 days of surgery, you must submit a letter from a licensed
physician (who is not the Owner of this policy) stating that you underwent
transplant surgery for any of these organs. We reserve the right to have you
examined by a physician of our choice and at our expense. This waiver may be
exercised only once per transplant surgery.
RESIDENCE DAMAGE WAIVER. Any partial withdrawal or surrender if your
primary residence suffers physical damage in the amount of $50,000 or more. To
claim this waiver, send us a certified copy of a licensed appraiser's report
stating the amount of the damage. This certified copy must be submitted within
91 days of the date of the appraiser's report. We reserve the right to obtain a
second opinion by having the affected residence inspected by a licensed
appraiser of our choice and at our expense, and to rely upon our appraiser's
opinion. This waiver may be exercised only once per occurrence.
DEATH OF SPOUSE OR MINOR DEPENDENT WAIVER. Partial withdrawals or
surrenders of the following percentage of Accumulation Value made within six
months of your spouse's or minor dependent(s)' death: death of spouse, 50%;
death of minor dependent(s), 25%. We must receive proof of death. This waiver
may be exercised once for a spouse and once for each minor dependent, subject to
no more than 50% of the Accumulation Value being withdrawn pursuant to this
waiver each year. Subsequent withdrawals, or withdrawals above the waiver limit,
are subject to the withdrawal charge.
o MORTALITY AND EXPENSE RISK CHARGE
1.00% annual rate, deducted daily from net
assets in the Variable Account.
We impose a DAILY CHARGE to compensate us for the mortality and expense
risks we have under the Policy. This charge is equal to an annual rate of 1.00%
(.0027535% daily) of the value of the net assets in the Variable Account, and
will not increase. This charge is reflected in the Accumulation Unit values for
each Subaccount.
Our MORTALITY RISK arises from our obligation to make annuity payments and
to pay death benefits prior to the Annuity Starting Date. The mortality risk we
assume is that Annuitants will live longer than we project, so our cost in
making annuity payments will be higher than projected. However, an Annuitant's
own longevity, or improvement in general life expectancy, will not affect the
periodic annuity payments we pay under your Policy.
Our EXPENSE RISK is that our costs to administer your Policy will exceed the
amount we collect through administrative charges.
If the mortality and expense risk charge does not cover our costs, we bear
the loss, not you. If the charge exceeds our costs, the excess is profit to us.
We expect a profit from this charge. If the withdrawal charge does not cover our
Policy distribution costs, the deficiency is met from our general corporate
assets, which may include amounts, if any, derived from this mortality and
expense risk charge.
30
<PAGE>
o ADMINISTRATIVE CHARGES
Policy Fee $30 annually
------------------- ------------------------------------
0.20% annual Rate (0.0005485%
Administrative daily), deducted daily from the
Expense Charge net assets of each Subaccount
These charges help cover our cost to administer your Policy and will not
increase.
We deduct the Policy fee from your Policy's Accumulation Value on the last
Business Day of each Policy Year prior to the Annuity Starting Date (and upon a
complete surrender). This fee is levied by canceling Accumulation Units. The
Policy fee is deducted from each Subaccount in the same proportion that the
value in each Subaccount bears to the total value in the Variable Account. This
fee is waived if your Policy's Accumulation Value exceeds $50,000 on the last
Business Day of the applicable Policy Year. This fee is also waived for
employees of ours or our affiliated Mutual of Omaha Companies.
o ENHANCED DEATH BENEFIT CHARGE
0.35% annual rate, or less, of the Average Death
Benefit Amount for Policies issued prior to May
1, 1998;.a daily charge of .00009589%, which is
equivalent to an annual charge of 0.35% on
Policies issued on or after May 1, 1998.
This charge compensates us for expenses and increased risks associated with
providing the Enhanced Death Benefit. If you elect the enhanced death benefit
amendment, we deduct a daily charge of .00009589%, which is equivalent to an
annual charge of 0.35%, assessed on the net assets of each Subaccount. (If you
elected this benefit prior to May 1, 1998, we deduct an annual charge of 0.35%
of the Average Death Benefit Amount from your Variable Account assets by
canceling Accumulation Units at each Policy Anniversary and at surrender.)
The 0.35% annual charge for an election of this benefit prior to May 1,
1998 will differ from the .00009589% daily charge for those Policies electing
this benefit after May 1, 1998 if the Average Death Benefit Amount is more or
less than the average Accumulation Value of the Policy's Subaccounts during the
Policy Year.
o TRANSFER FEE
$10 per Subaccount transfer after 12 free
transfers each Policy Year.
The first 12 transfers from Subaccounts, and all transfers from the fixed
account or the systematic transfer accounts are free. A transfer fee of $10 may
be imposed for any transfer in excess of 12 per Policy Year. The transfer fee is
deducted from the amount transferred. Simultaneous requests are treated as a
single request. We will not impose the fee for transfers that are not the result
of your request. Dollar cost averaging, asset allocation, STEP program and
rebalancing program transfers do not count toward the 12 free transfers.
o PREMIUM TAX CHARGE
Varies, up to 3.5%.
Some states and municipalities levy a tax on annuity contracts issued by
insurance companies, ranging up to 3.5% of your purchase payments. These tax
rates, and the timing of the tax, vary and may change. Depending upon when the
tax is paid by us in the state governing your Policy, if any, we deduct a charge
for the tax (except in Oregon) we are obliged to remit either (a) from purchase
payments as they are received, (b) upon surrender of the Policy, (c) upon your
death, or (d) upon applying the Policy proceeds to an annuity payout option.
o OTHER TAXES
Currently, NONE.
No charges are currently made for taxes other than premium taxes. We reserve
the right to levy charges in the future for taxes or other economic burdens
resulting from taxes that we determine are properly attributable to the Variable
Account.
o OTHER EXPENSES;
INVESTMENT ADVISORY FEES
See the INTRODUCTION AND SUMMARY section and
each Series Fund's prospectus.
Each Series Fund portfolio is responsible for its own expenses. The net
assets of each portfolio reflects deductions for investment advisory fees and
other expenses. These charges are disclosed in each Series Fund's prospectus
which accompany this Prospectus. They are also summarized in the Series Fund
annual expenses table in the INTRODUCTION AND SUMMARY section at the beginning
of this Prospectus.
31
<PAGE>
- -----------------------------------------------------------
POLICY DISTRIBUTIONS
There are several ways to take all or part of your investment out of your
Policy, both before and after the Annuity Starting Date. Tax penalties and
withdrawal charges may apply to amounts taken out of your Policy before the
Annuity Starting Date. Your Policy also provides several kinds of death benefits
that may be paid upon your death prior to the Annuity Starting Date. All or part
of a death benefit may be taxable.
o WITHDRAWALS
Withdrawals may be subject to:
- Income Tax
- Penalty Tax
- Withdrawal Charge
- Premium Tax Charge
You may withdraw all or part of your Policy's Cash Surrender Value prior to
the Annuity Starting Date. Amounts withdrawn, except for "free" partial
withdrawals described below, are subject to a withdrawal charge. Following a
full surrender of the Policy, or at any time the Accumulation Value is zero, all
your rights in the Policy end. Total surrender requires you to return your
Policy to us.
"FREE" PARTIAL WITHDRAWALS
Each Policy Year you may withdraw up to 15% of your Policy's Accumulation
Value, calculated as of the date of the first withdrawal that year, without
deduction of a withdrawal charge (additional limits apply to withdrawals from
the fixed account). The 15% amount is determined when the first withdrawal is
made; additional purchase payments contributed later in that Policy Year or on
the date of your request are not included in determining that 15% amount.
SYSTEMATIC WITHDRAWAL PLAN
The systematic withdrawal plan allows you to automatically withdraw payments
of a predetermined dollar amount or fixed percentage of Accumulation Value from
a specified investment option monthly, quarterly, semiannually or annually.
Although this Plan mimics annuity payments, each distribution is a withdrawal
that may be taxable and subject to the charges and expenses described above; you
may wish to consult a tax adviser before requesting this plan.
WITHDRAWAL RULES
o Withdrawals must be by Written Notice or authorized telephone
transaction. The "Request for Systematic Withdrawal Plan" form must
specify a date for the first payment, which must be at least 30 but not
more than 90 days after the form is received by us.
o Minimum withdrawal is $500 from any investment option ($100 for the
systematic withdrawal plan).
o Any partial withdrawal must leave an Accumulation Value of at least
$500. If less than $500 remains in an investment option, we will
treat your withdrawal request as a full withdrawal of that investment
option.
o No more than a pro rata amount (or 10% of the fixed account, whichever
is less) may be withdrawn from the fixed account or systematic transfer
account for any partial withdrawal. Withdrawals from the systematic
transfer account will not affect the minimum monthly transfer amount
from that account, so they will cause the total amount to be
transferred to be complete in less time than originally anticipated.
Only one withdrawal per year is allowed out of the fixed account.
o Withdrawals result in cancellation of Accumulation Units from each
applicable Subaccount and deduction of Accumulation Value from the
fixed rate options in the ratio that the value of each such investment
option bears to the Policy's total Accumulation Value (i.e., pro rata
from each applicable investment option). If you do not specify which
investment option(s) to take the withdrawal from, it will be taken from
each investment option in the proportion that the Accumulation Value in
each investment option bears to the Policy's total Accumulation Value.
o Because a withdrawal charge and a premium tax charge may apply to
withdrawals, and because you bear the investment risk for all amounts
you allocate the Variable Account, the total amount paid to you upon
total surrender of the Policy (taking any prior partial withdrawals
into account) may be less than the total purchase payments made.
o Unless you give us Written Notice to not withhold taxes from a
withdrawal, we must withhold 10% of the amount withdrawn to be paid as
a federal tax, as well as any amounts required by state law to be
withheld for state income taxes.
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<PAGE>
o ANNUITY PAYMENTS
Annuity payments:
- - may be fixed or variable;
- - may be subject to a withdrawal charge if made within
2 years of the last purchase payment.
- - may be taxable, and if premature, subject to a tax penalty.
A primary function of an annuity contract, like this Policy, is to provide
annuity payments to the payee(s) that you name. The level of annuity payments is
determined by your Policy Accumulation Value, the Annuitant's sex (except where
prohibited by law) and age, and the annuity payout option selected.
Annuity payments may be subject to a withdrawal charge. A withdrawal charge
is not applied on the Annuity Starting Date if you apply the Accumulation Value
after the second Policy anniversary to provide lifetime annuity payments under
annuity payout option 4. However, the withdrawal charge does apply to
Accumulation Value placed under other annuity payout options.
Annuity payment payees must be individuals receiving payments on their own
behalf, unless otherwise agreed to by us. Any annuity payout option is only
effective once we acknowledge it. We may require initial and ongoing proof of
the Owner's or Annuitant's age or survival. Unless you specify otherwise, the
payee is the Annuitant.
FIXED ANNUITY PAYMENTS. Fixed annuity payments are based on a fixed rate of
interest at or higher than the minimum effective annual rate which is
guaranteed to yield 3% on an annual basis. We have sole discretion whether
or not to pay a higher rate for payout options 1, 2, 3, or 6 (see below).
Current immediate annuity rates for the same class of annuities are used if
higher than the guaranteed amounts (guaranteed amounts are based upon the
tables contained in the Policy). The guaranteed amounts are based on the
1983 Table "A" mortality table, and an interest rate which is guaranteed to
yield 3% on an annual basis. Current interest rates, and further
information, may be obtained from us.
Fixed annuity payments are available under all six annuity payout
options. The amount of each fixed annuity payment is set and begins on the
Annuity Starting Date, and does not change.
VARIABLE ANNUITY PAYMENTS. Variable annuity payments, other than the first,
vary in amount depending upon the investment performance of the applicable
Subaccounts.
The first variable annuity payment amount is determined by applying the
Annuity Purchase Value allocated to variable annuity payments to the annuity
table applicable to the payout option chosen. The tables are determined from the
1983 Table "A" mortality table with an assumed investment rate of 4%. If more
than one Subaccount has been selected, the Annuity Purchase Value of each
Subaccount is applied separately to the annuity table to determine the amount of
the first annuity payment attributable to that particular Subaccount.
"Annuity Purchase Value" is the Accumulation
Value on the Annuity Starting Date reduced by
any applicable withdrawal charge, annual Policy
fee, premium taxes, and income taxes and penalty
tax.
Subsequent annuity payment amounts (after the first) are the sum of: the
number of Variable Annuity Units for each Subaccount as determined for the first
annuity payment multiplied by the value of a Variable Annuity Unit for that
Subaccount 10 days prior to the date the variable annuity payment is due. This
amount may increase or decrease from month to month. The number of Variable
Annuity Units for each Subaccount is calculated by dividing the dollar amount of
the first payment attributable to that Subaccount by the annuity unit value as
of the date the amount of the first payment is calculated.
If the net investment return of a Subaccount for a payment period is equal
to the pro rated portion of the assumed investment rate, the variable annuity
payment attributable to that Subaccount for that period will equal the payment
for the prior period. To the extent that such net investment return exceeds the
assumed investment rate for a payment period, the payment for that period will
be greater than the payment for the prior period. To the extent that such return
for a period falls short of the assumed investment rate, the payment for that
period will be less than the payment for the prior period.
Only annuity payout options 2, 4 and 6 are available for variable annuity
payments.
o ANNUITY STARTING DATE
You select the Annuity Starting Date by completing an election form that you
can request from us at any time. The Annuity Starting Date is the date that
annuity payments begin. This date may not be any earlier than the second Policy
anniversary. This date may be as late as the Policy's annual anniversary date
following the Annuitant's 95th birthday (85th in Pennsylvania). Tax-qualified
Policies may require an earlier Annuity Starting Date. You may change this date
by sending Written Notice for our receipt at least 30 days before the then
current Annuity Starting Date.
o TRANSFERS AFTER THE ANNUITY STARTING DATE
Only 4 transfers are allowed each Policy Year
after the Annuity Starting Date.
After the Annuity Starting Date, you may transfer amounts applied to
variable annuity payments from one Subaccount to another or to the fixed
account. Transfers are based on the Variable Annuity Unit values for the
Business Day during which we receive your transfer request. A designated number
of Variable Annuity Units of the designated Subaccount(s) is exchanged for
another Subaccount(s) Variable Annuity Units, the value of which is such that
the dollar amount of an annuity payment made on the date of the exchange would
be unaffected by the exchange.
o SELECTING AN ANNUITY PAYOUT OPTION
The longer the guaranteed or projected annuity
payout option period, the lower the amount of
each annuity payment.
You choose the annuity payout option by completing an election form that you
can request from us at any time. You may change your selection during your life
by sending Written Notice for our receipt at least 30 days before the Annuity
Starting Date. If no selection is made by then, we will apply Accumulation Value
in the Variable Account to provide variable annuity payments, and Accumulation
Value in the fixed account to provide fixed annuity payments, and annuity
payments will be made under payout option 4 providing lifetime income with
payments guaranteed for 10 years. We may pay your Policy proceeds in one sum if
they are less than $2,000, or when the payout option chosen would result in
periodic payments of less than $20.
If you die before the Annuity Starting Date (and the Policy is in force),
your Beneficiary may elect to receive the death benefit under one of the annuity
payout options (unless applicable law or a settlement agreement dictate
otherwise).
o ANNUITY PAYOUT OPTIONS
If the continuation of variable payments being made under option 2 or 6 does
not depend upon the payee remaining alive, you may surrender your Policy and
receive the commuted value of any unpaid payments. However, if your payments
under option 2 or 6 depends upon the payee's continued life, you cannot
surrender your Policy for cash. In this case, once option payments commence,
payments will end upon the payee's death.
When the Owner dies, we will pay any unpaid guaranteed payments to your
Beneficiary. Upon the last payee's death, we will pay any unpaid guaranteed
payments to that payee's estate.
NOTE: UNLESS YOU ELECT A PAYOUT OPTION WITH A GUARANTEED PERIOD OR OPTION 1,
IT IS POSSIBLE THAT ONLY ONE ANNUITY PAYMENT WOULD BE MADE UNDER THE ANNUITY
PAYOUT OPTION IF THE ANNUITANT DIES BEFORE THE DUE DATE OF THE SECOND ANNUITY
PAYMENT, ONLY TWO ANNUITY PAYMENTS WOULD BE MADE IF THE ANNUITANT DIED BEFORE
THE DUE DATE OF THE THIRD ANNUITY PAYMENT, ETC.
Part or all of any annuity payment may be taxable as ordinary income. If, at
the time annuity payments begin, you have not given us Written Notice to not
withhold federal income taxes, we must by law withhold such taxes from the
taxable portion of each annuity payment and remit it to the Internal Revenue
Service.
(Withholding is mandatory for certain tax-qualified Policies.)
The following annuity payout options are currently available:
1) PROCEEDS HELD ON DEPOSIT AT INTEREST. While proceeds remain on deposit, we
annually credit interest to the proceeds. The interest may be paid to the
payee or added to the amount on deposit.
2) INCOME OF A SPECIFIED AMOUNT. Proceeds are paid in monthly installments of a
specified amount over at least a five-year period until proceeds, with
interest, have been fully paid.
3) INCOME FOR A SPECIFIED PERIOD. Periodic payments of proceeds are paid for
the number of years chosen. If no other frequency is selected, payments will
be made monthly. Monthly incomes for each $1,000 of proceeds, which include
interest, are illustrated by a table in the Policy.
4) LIFETIME INCOME. Proceeds are paid as monthly income during the Annuitant's
life. The amount of the monthly income annuity payment will be an amount
computed using either the Lifetime Monthly Income Table set forth in the
Policy (based on the 1983 Table "A" mortality table) or, if more favorable
to the Annuitant, our then current lifetime monthly income rates for payment
of proceeds. If a variable payout option is chosen, all variable annuity
payments, other than the first variable annuity payment, will vary in amount
according to the investment performance of the applicable variable
investment options.
GUARANTEES AVAILABLE FOR THE LIFETIME INCOME OPTION Guaranteed Period - An
amount of monthly income is guaranteed for a specified number of years, and
thereafter as long as the Annuitant lives. Guaranteed Amount - An amount of
monthly income is guaranteed until the sum of the payments equal the
proceeds placed under the option and as long after that as the Annuitant
lives.
5) LUMP-SUM. Proceeds are paid in one sum.
6) ALTERNATIVE SCHEDULES. We may be able to accommodate making annuity
payments under other options, including joint and survivor periods. Contact
us for more information.
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o DEATH BENEFITS
A death benefit is payable upon:
- - purchase payment check or draft being honored (i.e., your Policy is in
force);
- - receipt of Due Proof of Death of the first Owner to die;
- - election of an annuity payout option (or lump- sum payment); and
- - proof that such Owner died before annuity payments begin.
"Due Proof of Death" is a certified copy of a death certificate, a certified
copy of a decree of a court of competent jurisdiction as to the finding of
death, a written statement by the attending physician, or any other proof
satisfactory to us.
We will pay the death benefit after we receive necessary documentation of an
Owner's death, or as soon thereafter as we have sufficient information about the
Beneficiary to make the payment. Death benefits may be paid pursuant to an
annuity payout option (including a lump-sum payment) to the extent allowed by
applicable law and any settlement agreement in effect at your death. If the
Beneficiary does not make an annuity payout option election within 60 days of
our receipt of Due Proof of Death regarding your death, we will issue a lump-sum
payment to the Beneficiary.
If an Owner of the Policy is a corporation, trust or other nonindividual, we
treat the primary Annuitant as an Owner for purposes of the death benefit. The
"primary Annuitant" is that individual whose life affects the timing or the
amount of the death benefit payout under the Policy. A change in the primary
Annuitant will be treated as the death of an Owner.
If the Annuitant is an Owner or joint Owner, the Annuitant's death is
treated as an Owner's death.
If the Annuitant is not an Owner and the Annuitant dies before the Annuity
Starting Date, the Owner may name a new Annuitant if such Owner(s) is not a
corporation or other non-individual or if such Owner is the trustee of an
Internal Revenue Code Section 401(a) retirement plan. If the Owner does not name
a new Annuitant, the Owner will become the Annuitant.
We will deduct any applicable premium tax not previously deducted from the
death benefit payable.
o STANDARD DEATH BENEFIT
If you or a joint Owner dies before the Annuity Starting Date (and the
Policy is in force), the Policy will terminate, and we will pay a death benefit
to your Beneficiary. The death benefit equals the largest of:
1) your Policy's Accumulation Value (without deduction of the withdrawal
charge) on the later of the date we receive Due Proof of Death and an
annuity payout option election less any charge for applicable premium
taxes; or
2) the sum of net purchase payments, less partial withdrawals.
If you or a joint Owner dies on or after the Annuity Starting Date and
before all proceeds have been paid, no death benefit is payable, but any
remaining proceeds will be paid at least as rapidly as under the annuity payout
option then in effect.
o ENHANCED DEATH BENEFIT
The enhanced death benefit is only available to Owners under age 80 in lieu
of the standard death benefit. There is a charge for the enhanced death benefit
which is a daily charge of .00009589, which is equivalent to an annual rate of
0.35% assessed upon the net assets of each Subaccount. Once elected, you may
only revoke the enhanced death benefit as of the next Policy anniversary after
the date we receive Written Notice of your revocation. Once revoked, you may not
again elect the enhanced death benefit. The enhanced death benefit may not be
available in all states.
If you elect the enhanced death benefit and you or any joint Owner dies
before attaining age 81 and a such death qualifies for a standard death benefit,
we will pay an enhanced death benefit equal to the greatest of:
1) the Accumulation Value as of the end of the Valuation Period during
which we receive due proof of death and an election of an annuity payout
option;
2) the greatest Anniversary Value/5 plus subsequent purchase payments, less
any subsequent partial withdrawals and undeducted premium tax; and
3) the sum of all net purchase payments, less any partial withdrawals,
accumulated at an amount which will yield a 4.5% annual rate of interest
up to a maximum of two times each purchase payment.
/5 The Anniversary Value equals the Accumulation Value on a Policy anniversary
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If you elect the enhanced death benefit and you or any joint Owner dies
after attaining age 81 and such death qualifies for a standard death benefit, we
will pay an enhanced death benefit equal to the greatest of:
1) the Accumulation Value as of the end of the Valuation Period during which
we receive due proof of death and an election of an annuity payout option;
2) the greatest Anniversary Value prior to the last Policy anniversary before
the Owner attained age 81; and
3) the sum of all net purchase payments paid prior to the last Policy
anniversary before the Owner attained age 81, less any partial withdrawals
accumulated at a 4.5% annual rate of interest up to a maximum of two times
each purchase payment. If the enhanced death benefit payable equals(3) we
will add to the death benefit amount any purchase payments paid after the
last Policy anniversary before the Owner attained age 81.
o ACCIDENTAL DEATH BENEFIT
If you or any joint Owner die from bodily injury sustained in a common
carrier accident, we will pay double the standard death benefit or the enhanced
death benefit, as applicable, instead of the amount otherwise payable.
For the accidental death benefit to be payable, bodily injury must be
sustained by the Owner while a passenger in a common carrier. Death must be
independent of any sickness or other causes and must occur within 90 days of the
date of the accident. We will pay only the standard death benefit or the
enhanced death benefit, if applicable, instead of the accidental death benefit,
if the Owner's death results from the following: (a) suicide; (b) an act of
declared or undeclared war; (c) an injury received while intoxicated; (d) an
injury received while the Owner is under the influence of a controlled
substance, unless administered on the advice of a physician; or (e) an injury
received while committing a felony or engaged in an illegal occupation. The
accidental death benefit may not be available in all states.
o BENEFICIARY
You may change your Beneficiary by sending Written Notice to us, unless the
named Beneficiary is irrevocable. Once we record and acknowledge the change, it
is effective as of the date you signed the Written Notice. The change will not
apply to any payments made or other action taken by us before recording. If the
named Beneficiary is irrevocable, you may change the named Beneficiary only by
Written Notice signed by both you and the Beneficiary. If more than one named
Beneficiary is designated, and you fail to specify their interests, they will
share equally.
If there are joint Owners, the surviving joint Owner will be deemed the
Beneficiary, and the Beneficiary named in the Policy application or as
subsequently changed will be deemed the contingent Beneficiary. If both joint
Owners die simultaneously, the death benefit will be paid to the contingent
Beneficiary.
If the Beneficiary is your surviving spouse, the spouse may elect either to
receive the death benefit, in which case the Policy will terminate, or to
continue the Policy in force with the spouse as Owner.
If the named Beneficiary dies before you, then your estate is the
Beneficiary until you name a new Beneficiary.
o IRS REQUIRED DISTRIBUTION
Federal law requires that if your Policy is tax non-qualified and you die
before the Annuity Starting Date, then the entire value of your Policy must be
distributed within five years of your death. Therefore, any death benefit must
be paid within five years after your death. The five-year rule does not apply to
that portion of the proceeds which (a) is for the benefit of an individual
Beneficiary; and (b) will be paid over the lifetime or the life expectancy of
that Beneficiary as long as payments begin not later than one year after the
date of your death. Special rules may apply to your surviving spouse. The
Statement of Additional Information has a more detailed description of these
rules. Other required distribution rules apply to tax-qualified Policies.
35
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FEDERAL TAX MATTERS
The following discussion is general in nature and is not intended as tax
advice. Each person concerned should consult a competent tax advisor. No attempt
is made to consider any applicable state tax or other tax laws, or to address
any federal estate, or state and local estate, inheritance and other tax
consequences of ownership or receipt of distributions under a Policy. This
discussion of federal income tax considerations relating to the Policy is based
upon our understanding of laws as they now exist and are currently interpreted
by the Internal Revenue Service ("IRS").
When you invest in an annuity contract, you usually do not pay taxes on
your investment gains until you withdraw the money - generally for retirement
purposes. If you invest in a variable annuity as part of a pension plan or
employer-sponsored retirement program, your contract is called a "Qualified
Policy." If your annuity is independent of any formal retirement or pension
plan, it is termed a "Nonqualified Policy." The tax rules applicable to
Qualified Policies vary according to the type of retirement plan and the terms
and conditions of the plan.
o TAXATION OF NONQUALIFIED POLICIES
If a non-natural person (e.g., a corporation or a trust) owns a
Nonqualified Policy, the taxpayer generally must include in income any increase
in the excess of the Accumulation Value over the investment in the Policy
(generally, the purchase payments paid for the Policy) during the taxable year.
There are some exceptions to this rule and a prospective owner that is not a
natural person should discuss these with a tax adviser.
The following discussion generally applies to Policies owned by natural
persons.
o WITHDRAWALS. When a withdrawal from a Nonqualified Policy occurs, the amount
received will be treated as ordinary income subject to tax up to an amount equal
to the excess (if any) of the Accumulation Value immediately before the
distribution over the Owner's investment in the Policy (generally, the purchase
payments paid for the Policy, reduced by any amount previously distributed from
the Policy that was not subject to tax) at that time. In the case of a surrender
under a Nonqualified Policy, the amount received generally will be taxable only
to the extent it exceeds the Owner's investment in the Policy.
o PENALTY TAX ON CERTAIN WITHDRAWALS. In the case of a distribution from a
Nonqualified Policy, there may be imposed a federal tax penalty equal to ten
percent of the amount treated as income. In general, however, there is no
penalty on distributions:
- - made on or after the taxpayer reaches age 59 1/2;
- - made on or after an Owner's death;
- - attributable to the taxpayer's becoming disabled; or
- - made as part of a series of substantially equal periodic payments for the
life (or life expectancy) of the taxpayer.
Other exceptions may be applicable under certain circumstances and special rules
may be applicable in connection with the exceptions enumerated above. Also,
additional exceptions apply to distributions from a Qualified Policy. You should
consult a tax adviser with regard to exceptions from the penalty tax.
o ANNUITY PAYMENTS. Although tax consequences may vary depending on the payout
option elected under an annuity contract, a portion of each annuity payment is
generally not taxed and the remainder is taxed as ordinary income. The
non-taxable portion of an annuity payment is generally determined in a manner
that is designed to allow you to recover your investment in the Policy ratably
on a tax-free basis over the expected stream of annuity payments, as determined
when annuity payments start. Once your investment in the Policy has been fully
recovered, however, the full amount of each annuity payment is subject to tax as
ordinary income.
o TAXATION OF DEATH BENEFIT PROCEEDS. Amounts may be distributed from the Policy
because of your death or the death of the Annuitant. Generally, such amounts are
includible in the income of the recipient as follows: (i) if distributed in a
lump sum, they are taxed in the same manner as a surrender of the Policy, or
(ii) if distributed under a payout option, they are taxed in the same way as
annuity payments.
o TRANSFERS, ASSIGNMENTS OR EXCHANGES OF A POLICY. A transfer or assignment of
ownership of the Policy, the designation of an Annuitant, the selection of
certain Annuity Starting Dates, or the exchange of the Policy may result in
certain tax consequences to you that are not discussed herein. An Owner
contemplating any such transfer, assignment, or exchange, should consult a tax
advisor as to the tax consequences.
o WITHHOLDING. Annuity distributions are generally subject to withholding for
the recipient's federal income tax liability. Recipients can generally elect,
however, not to have tax withheld from distributions.
o MULTIPLE POLICIES. All Non-Qualified deferred annuity contracts that are
issued by us (or our affiliates) to the same Owner during any calendar year are
treated as one annuity contract for purposes of determining the amount
includible in such Owner's income when a taxable distribution occurs.
o FURTHER INFORMATION. We believe that the Policy qualifies as an annuity
contract for Federal income tax purposes and the above discussion is based on
that assumption. Further details can be found in the Statement of Additional
Information under the heading "Tax Status of the Policy." o
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<PAGE>
o TAXATION OF QUALIFIED POLICIES
The tax rules applicable to Qualified Policies vary according to the type
of retirement plan and the terms and conditions of the plan. Your rights under a
Qualified Policy may be subject to the terms of the retirement plan itself,
regardless of the terms of the Policy. Adverse tax consequences may result if
you do not ensure that contributions, distributions and other transactions with
respect to the Policy comply with the law. Also, you may wish to consult a tax
and/or financial adviser regarding the use of the Policy within a qualified or
other retirement plan, since the purchase of a Policy to fund a tax-qualified
retirement account does not provide any additional tax deferred treatment of
earnings beyond the treatment provided by the tax-qualified retirement plan
itself. However, the Policy does provide benefits such as lifetime income
payments, family protection through death benefits, guaranteed fees and asset
allocation models that many retirement plans do not provide.
<PAGE>
o INDIVIDUAL RETIREMENT ACCOUNTS (IRAs), as defined in Section 408 of the
Internal Revenue Code (Code), permit individuals to make annual contributions of
up to the lesser of $2,000 or 100% of adjusted gross income. The contributions
may be deductible in whole or in part, depending on the individual's income.
Distributions from certain pension plans may be "rolled over" into an IRA on a
tax-deferred basis without regard to these limits. Amounts in the IRA (other
than nondeductible contributions) are taxed when distributed from the IRA. A 10%
penalty tax generally applies to distributions made before age 59 1/2, unless
certain exceptions apply. The Internal Revenue Service has not reviewed the
Policy for qualification as an IRA, and has not addressed in a ruling of general
applicability whether a death benefit provision such as the enhanced death
benefit provision in the Policy comports with IRA qualification requirements.
o ROTH IRAS, as described in Code section 408A, permit certain eligible
individuals to make non-deductible contributions to a Roth IRA in cash or as a
rollover or transfer from another Roth IRA or other IRA. A rollover from or
conversion of an IRA to a Roth IRA is generally subject to tax and other special
rules apply. The Owner may wish to consult a tax adviser before combining any
converted amounts with any other Roth IRA contributions, including any other
conversion amounts from other tax years. Distributions from a Roth IRA generally
are not taxed, except that, once aggregate distributions exceed contributions to
the Roth IRA, income tax and a 10% penalty tax may apply to distributions made
(1) before age 59 1/2 (subject to certain exceptions) or (2) during the five
taxable years starting with the year in which the first contribution is made to
any Roth IRA. A 10% penalty tax may apply to amounts attributable to a
conversion from an IRA if they are distributed during the five taxable years
beginning with the year in which the conversion was made.
o CORPORATE PENSION AND PROFIT-SHARING PLANS under Section 401(a) of the Code
allow corporate employers to establish various types of retirement plans for
employees, and self-employed individuals to establish qualified plans for
themselves and their employees. Adverse tax consequences to the retirement plan,
the participant, or both may result if the Policy is transferred to any
individual as a means to provide benefit payments, unless the plan complies with
all the requirements applicable to such benefits prior to transferring the
Policy. The Policy includes an enhanced death benefit that in some cases may
exceed the greater of the purchase payments or the Accumulation Value (and is
not available to non-person Owners). The standard death benefit could be
characterized as an incidental benefit, the amount of which is limited in any
pension or profit-sharing plan. Because the death benefit may exceed this
limitation, employers using the Policy in connection with such plans should
consult their tax adviser.
o TAX-SHELTERED ANNUITIES under section 403(b) of the Code allow employees of
certain Section 501(c)(3) organizations and public schools to exclude from their
gross income the purchase payments made, within certain limits, on a policy that
will provide an annuity for the employee's retirement. The Policy will only
accept transfers from an existing tax-sheltered annuity contract, and will not
accept direct payments of salary reduction contributions. Distributions of (1)
salary reduction contributions made in years beginning after December 31, 1988;
(2) earnings on those contributions; and (3) earnings on amounts held as of the
last year beginning before January 1, 1989, are not allowed prior to age 59 1/2,
separation from service, death or disability. Salary reduction contributions may
also be distributed upon hardship, but would generally be subject to penalties.
The Policy includes an enhanced death benefit that in some cases may exceed the
greater of the purchase payments or the account value. The standard death
benefit could be characterized as an incidental benefit, the amount of which is
limited in a tax-sheltered annuity. Because the death benefit may exceed this
limitation, individuals using the Policy in connection with such plans should
consult their tax adviser.
o OTHER TAX ISSUES. Qualified Policies have minimum distribution rules that
govern the timing and amount of distributions. You should refer to your
retirement plan, adoption agreement, or consult a tax advisor for more
information about these distribution rules.
Distributions from Qualified Policies generally are subject to withholding
for the Owner's Federal Income Tax liability. The withholding rate varies
according to the type of distribution and the Owner's tax status. The Owner will
be provided the opportunity to elect not to have tax withheld from
distributions.
"Eligible rollover distributions" from section 401(a) plans are subject to
a mandatory federal income tax withholding of 20%. An eligible rollover
distribution is the taxable portion of any distribution from such a plan, except
certain distributions such as distributions required by the Code or
distributions in a specified annuity form. The 20% withholding does not apply,
however, if the Owner chooses a "direct rollover" from the plan to another
tax-qualified plan or IRA.
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<PAGE>
o POSSIBLE TAX LAW CHANGES
Although the likelihood of legislative change is uncertain, there is always
the possibility that the tax treatment of the Policy could change by legislation
or otherwise. Consult a tax adviser with respect to legislative developments and
their effect on the Policy.
We have the right to modify the Policy in response to legislative changes
that could otherwise diminish the favorable tax treatment that annuity contract
Owners currently receive. We make no guarantee regarding the tax status of any
Policy and do not intend the above discussion as tax advice.
38
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MISCELLANEOUS
o DISTRIBUTOR OF THE POLICIES
Mutual of Omaha Investor Services, Inc. ("MOIS"), Mutual of Omaha Plaza,
Omaha Nebraska 68175, is the principal underwriter of the Policies. Like us,
MOIS is an affiliate of Mutual of Omaha Insurance Company. MOIS enters into
contracts with various broker-dealers ("Distributors") to distribute Policies.
All persons selling the Policy will be registered representatives of the
Distributors, and may also be licensed as insurance agents to sell variable
annuities. MOIS is registered with the Securities and Exchange Commission as a
broker-dealer and is a member of the National Association of Securities Dealers,
Inc. Commissions paid to distributors may be up to 7 1/2% of purchase
payments. We may also pay other distribution expenses such as production
incentive bonuses, including non-cash awards. These distribution expenses do not
result in any charges under the Policy that are not described under the EXPENSES
section of the Prospectus.
o VOTING RIGHTS
As required by law, we will vote Series Fund shares held by the Variable
Account at regular and special shareholder meetings of the Series Funds pursuant
to instructions received from persons having voting interests in the Series
Funds. The Series Funds may not hold routine annual shareholder meetings.
As a Policy Owner, you may have a voting interest in the Series Fund
portfolios you are invested in. You will receive proxy material, reports, and
other materials relating to each Series Fund in which you have voting interests.
q DISTRIBUTION OF MATERIALS
We will distribute proxy statements, updated prospectuses and other materials to
you from time to time. In order to achieve cost savings, we may send
consolidated mailings to several owners with the same last name who share a
common address or post office box in accordance with the rules of the Securities
and Exchange Commission.
o LEGAL PROCEEDINGS
As of the date of this Prospectus, there are no legal proceedings affecting
the Variable Account, or that are material in relation to our total assets.
DO YOU HAVE QUESTIONS?
If you have questions about your Policy or this Prospectus, you may
contact your agent or broker who gave this Prospectus to you, or you may contact
us at: UNITED OF OMAHA, Variable Product Services, P.O. Box 8430, Omaha,
Nebraska 68103-0430. Telephone 1-800-238-9354.
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<PAGE>
- --------------------------------------------------------------------------
STATEMENT OF ADDITIONAL INFORMATION
You may obtain, at no cost, a Statement of Additional Information which
contains more details concerning the disclosures in this Prospectus by
contacting us. You may also access it in our registration on the SEC's web site
(http://www.sec.gov), or you may review and copy it at the SEC's Public
Reference Room in Washington D.C. (call the SEC at 1-800-SEC-0330 for details
and public hours).
Here is the table of contents to our Statement of Additional Information:
CONTENTS PAGE(S)
-------------------------------------- --------
The Policy - General Provisions 2-3
Owner and Joint Owner
Entire Contract
Deferment of Payment and
Transfers
Incontestability
Misstatement of Age or Sex
Nonparticipating
Assignment
Evidence of Age or Survival
-------------------------------------- --------
Federal Tax Matters 3-4
Tax Status of the Policy
Taxation of United of Omaha
-------------------------------------- --------
State Regulation of United Omaha 4
Administration
Records and Reports
Distribution of the Policies
Custody of Assets
-------------------------------------- --------
Historical Performance Data 5-14
Money Market Yields
Other Subaccount Yields
Average Annual Total Returns
Other Performance Information
-------------------------------------- --------
Other Information 15
-------------------------------------- --------
Financial Statements 15
-------------------------------------- --------
<PAGE>
STATEMENT OF ADDITIONAL INFORMATION
ULTRANNUITY SERIES V VARIABLE ANNUITY
Issued through: UNITED OF OMAHA SEPARATE ACCOUNT C
Offered by: UNITED OF OMAHA LIFE INSURANCE COMPANY ("we, us, our")
Mutual of Omaha Plaza
Omaha, Nebraska 68175
This Statement of Additional Information expands upon subjects discussed in
the current Prospectus for the Ultrannuity Series V Variable Annuity Policy (the
"Policy"). You may obtain a copy of the Prospectus dated May 1, 2000 by calling
1-800-238-9354 or by writing to us at: United of Omaha, Variable Product
Services, P.O. Box 8430, Omaha, Nebraska 68103-0430. Terms used in the current
Prospectus for the Policy have the same meaning in this Statement.
This Statement of Additional Information is not a
prospectus. You should read it only in conjunction with the prospectuses for
the Policy and the Series Funds.
Dated: May 1, 2000
CONTENTS PAGE(S)
-------------------------------------- ---------
The Policy - General Provisions 2-3
Owner and Joint Owner
Entire Contract
Deferment of Payment and
Transfers
Incontestability
Misstatement of Age or Sex
Nonparticipating
Assignment
Evidence of Age or Survival
-------------------------------------- ---------
Federal Tax Matters 3-4
Tax Status of the Policy
Taxation of United of Omaha
-------------------------------------- ---------
State Regulation of United of Omaha 4
Administration
Records and Reports
Distribution of the Policies
Custody of Assets
-------------------------------------- ---------
Historical Performance Data 5-14
Money Market Yields
Other Subaccount Yields
Average Annual Total Returns
Other Performance Information
-------------------------------------- ---------
Other Information 15
-------------------------------------- ---------
Financial Statements 15
-------------------------------------- ---------
<PAGE>
The following provides additional information about us and the Policy which
may be of interest to you and is not addressed in the Prospectus.
THE POLICY - GENERAL PROVISIONS
OWNER AND JOINT OWNER
While you are alive, only you may exercise the rights under the Policy. You
may change the Owner of the Policy as described below under "Assignment." If
there are joint Owners, the signatures of both Owners are needed to exercise
rights under the Policy. If the Annuitant is other than the Owner, the Annuitant
has no rights under the Policy.
ENTIRE CONTRACT
The entire contract is the Policy, as well as the data page and any riders
to the Policy and the signed application, a copy of which will be attached to
the Policy. All statements made in the application are deemed representations
and not warranties. No statement, unless it is in the application, will be used
by us to contest the Policy or deny a claim.
Any change of the Policy and any riders requires the consent of our
authorized officer. No agent or registered representative has authority to
change or waive any provision of the Policy.
We reserve the right to amend the Policy to meet the requirements of, or
take advantage of, the Internal Revenue Code, regulations or published rulings.
You can refuse such a change by giving Written Notice, but a refusal may result
in adverse tax consequences.
DEFERMENT OF PAYMENT AND TRANSFERS
We will usually pay any amounts payable from the Variable Account as a
result of a partial withdrawal or cash surrender within seven days after
receiving Written Notice. We can postpone such payments or any transfers of
amounts between Subaccounts or into the fixed account if:
(a) the New York Stock Exchange is closed for other than customary weekend
and holiday closings;
(b) trading on the New York Stock Exchange is restricted;
(c) an emergency exists as determined by the Securities Exchange
Commission, as a result of which it is not reasonably practical to
dispose of securities, or not reasonably practical to determine the
value of the net assets of the Variable Account; or
(d) the Securities Exchange Commission permits delay for the protection of
security holders.
The applicable rules of the Securities Exchange Commission will govern as
to whether the conditions in (c) or (d) exist.
We may defer transfers, payment of partial withdrawals or a surrender from
the fixed account for up to six months from the date we receive Written Notice.
INCONTESTABILITY
We will not contest the validity of the Policy after it has been in force
during the lifetime of the Owner for two years from the date of its Issue.
MISSTATEMENT OF AGE OR SEX
We may require proof of the Annuitant's age before making any life annuity
payment provided for by the Policy. If the Annuitant's age or sex has been
misstated, the Annuity Starting Date and monthly annuity payments will be
determined using the correct age and sex.
If a misstatement of age or sex results in monthly annuity payments that are
too large, the overpayments will be deducted from future monthly annuity
payments. If we have made payments that are too small, the underpayments will be
added to the next payment. Adjustments for overpayments or underpayments will
include 6% interest.
NONPARTICIPATING
No dividends will be paid. Neither you nor the Beneficiary shares in our
surplus earnings or profits.
ASSIGNMENT
You may change the Owner of the Policy or pledge it as collateral by
assigning it. No assignment is binding on us until we record and acknowledge it.
The rights of any payee will be subject to a collateral assignment.
If the Beneficiary designation is irrevocable, the Owner may be changed or
the Policy assigned only upon Written Notice signed by both you and the
Beneficiary. On the Annuity Starting Date, you may select another payee, but you
retain all rights of ownership unless you sign an absolute assignment of the
Policy.
2
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EVIDENCE OF AGE OR SURVIVAL
We may require proof of the age or survival of any Owner, Annuitant or
payee. No payment will be made until we receive such proof.
FEDERAL TAX MATTERS
TAX STATUS OF THE POLICY
DIVERSIFICATION REQUIREMENTS. Section 817(h) of the Internal Revenue Code
(the "Code") provides that in order for a variable contract based on a
segregated asset account to qualify as an annuity contract under the Code, the
investments made by such account must be "adequately diversified." The Treasury
regulations issued under Section 817(h) (Treas. Reg. ss. 1.817-5) apply a
diversification requirement to each of the Subaccounts of the Variable Account.
The Variable Account, through the Series Funds and their portfolios, intends to
comply with those diversification requirements. We and the Series Funds have
entered into agreements regarding participation in the Series Funds that
requires the Series Funds and their portfolios to comply with the Treasury
regulations.
OWNER CONTROL. In certain circumstances, owners of variable annuity
contracts may be considered the owners, for federal income tax purposes, of the
assets of the separate account used to support their contracts. In those
circumstances, income and gains from the separate account assets would be
includible in the variable contract owner's gross income. The IRS has stated in
published rulings that a variable contract owner will be considered the owner of
separate account assets if the contract owner possesses incidents of ownership
in those assets, such as the ability to exercise investment control over the
assets. The Treasury Department also announced, in connection with the issuance
of regulations concerning diversification, that those regulations "do not
provide guidance concerning the circumstances in which investor control of the
investments of a segregated asset account may cause the investor (i.e., the
Owner), rather than the insurance company, to be treated as the owner of the
assets in the account." This announcement also stated that guidance would be
issued by way of regulations or rulings on the "extent to which policyholders
may direct their investments to particular Subaccounts without being treated as
owners of the underlying assets." As of the date of the Prospectus, no such
guidance has been issued.
The Owner's rights under the Policy are similar to, but different in
certain respects from, those described by the IRS in rulings in which it was
determined that policy owners were not owners of separate account assets. For
example, you have additional flexibility in allocating premium payments and
Policy values. These differences could result in you being treated as the Owner
of a pro-rata portion of the assets of the Separate Account. In addition, we do
not know what standards will be set forth, if any, in future regulations or
rulings issued by the Treasury Department. We therefore reserve the right to
modify the Policy as necessary to attempt to prevent you from being considered
the Owner of a pro-rata share of the assets of the Variable Account or to
otherwise qualify the Policy for favorable tax treatment.
DISTRIBUTION REQUIREMENTS. The Code also requires that nonqualified policies
contain specific provisions for distribution of policy proceeds upon your death.
In order to be treated as an annuity contract for federal income tax purposes,
the Code requires that such policies provide that if you die on or after the
annuity starting date and before the entire interest in the policy has been
distributed, the remaining portion must be distributed at least as rapidly as
under the method in effect on your death. If you die before the Annuity Starting
Date, the entire interest in your Policy must generally be distributed within
five years after your death. This requirement can be satisfied if the entire
interest in your Policy is used to purchase an immediate annuity under which
payments will begin within one year of your death and will be made for the life
of the Beneficiary or for a period not extending beyond the life expectancy of
the Beneficiary. If the Beneficiary is your surviving spouse, the Policy may be
continued with your surviving spouse as the new Owner. The Policy contains
provisions intended to comply with these requirements of the Code. No
regulations interpreting these requirements of the Code have yet been issued and
thus no assurance can be given that the provisions contained in the Policy
satisfies all such Code requirements. The provisions contained in the Policy
will be reviewed and modified if necessary to assure that they comply with the
Code requirements when clarified by regulation or otherwise.
3
<PAGE>
TAXATION OF UNITED OF OMAHA
We at present are taxed as a life insurance company under part I of
Subchapter L of the Code. The Variable Account is treated as part of us and,
accordingly, is not taxed separately as a "regulated investment company" under
Subchapter M of the Code. We do not expect to incur any federal income tax
liability with respect to investment income and net capital gains arising from
the activities of the Variable Account retained as part of the reserves under
the Policy. Based on this expectation, it is anticipated that no charges will be
made against the Variable Account for federal income taxes. If, in future years,
any federal income taxes or related economic burdens are incurred by us with
respect to the Variable Account, we may make a charge to the Variable Account.
STATE REGULATION OF UNITED OF OMAHA
We are subject to Nebraska law and to regulation by the Nebraska Department
of Insurance. We file an annual statement with the Nebraska Department of
Insurance covering our operation for the preceding year and our financial
condition as of the end of such year. Regulation by the Department of Insurance
includes periodic examination to determine our contract liabilities and
reserves. Our books and accounts are subject to review by the Department of
Insurance at all times and a full examination of our operations is conducted
periodically by the National Association of Insurance Commissioners. In
addition, we are subject to regulation under the insurance laws of other
jurisdictions in which we operate.
ADMINISTRATION
Effective on or about March 3, 1997, we began to perform all administration
for your Policy. Before then, we had an administrative services agreement with
The Continuum Company, Inc. (a/k/a Vantage Computer Systems), ("Vantage"), P.O.
Box 419472, Kansas City, Missouri 64141-6472. The services provided by Vantage
included issuance and redemption of the Policies, maintenance of records
concerning the Policies, and certain valuation services. We have not paid any
fees to Vantage since 1997. For the fiscal year ended December 31, 1997, United
of Omaha paid $200,000 total compensation to Vantage, and in fiscal year ended
December 31, 1996 the amount was $650,000.
RECORDS AND REPORTS
All our records and accounts relating to the Variable Account are maintained
by us. As presently required by the Investment Company Act of 1940 and
regulations promulgated thereunder, we will mail to all Policy Owners at their
last known address of record, at least annually, financial statements of the
Variable Account and such other information as may be required under that Act or
by any other applicable law or regulation. Policy Owners will also receive
confirmation of each financial transaction and any other reports required by
applicable state and federal laws, rules, and regulations.
DISTRIBUTION OF THE POLICIES
The Policies are offered to the public through agents and brokers licensed
under the federal securities laws and state insurance laws. The offering of the
Policies is continuous and we do not anticipate discontinuing the offering of
the Policies. However, we reserve the right to discontinue the offering of the
Policies.
Mutual of Omaha Investor Services, Inc. ("MOIS") is the principal
underwriter of the Policies. The Policies will be distributed by MOIS through
retail broker-dealers. Commissions payable to a broker-dealer will be up to 7.5%
of Purchase Payments. For the fiscal year ended December 31, 1999, we paid
$6,849,661 in total compensation to MOIS; of this amount MOIS retained
$2,737,475 as concessions for its services as Principal Underwriter and for
distribution concessions, with the remaining amount paid to other
broker-dealers. In 1998, these amounts were $10,559,128 and $2,996,217
respectively. In 1997, these amounts were $17,001,437 and $3,069,756
respectively. In 1996, these amounts were $18,853,282 and $1,626,399
respectively.
CUSTODY OF ASSETS
We hold the assets of each of the Subaccounts of the Variable Account. The
assets of the Variable Account are segregated and held separate and apart from
our general account assets. We maintain records of all purchases and redemptions
of shares of the Series Funds held by each of the Subaccounts. Additional
protection for the assets of the Variable Account is afforded by our fidelity
bond, presently in the amount of $10 million, covering the acts of our officers
and employees.
4
<PAGE>
HISTORICAL PERFORMANCE DATA
From time to time, we may disclose yields, total returns, and other
performance data pertaining to the Policies for a Subaccount. Such performance
data will be computed, or accompanied by performance data computed, in
accordance with the standards defined by the Securities and Exchange Commission.
The yields and total returns of the Subaccounts of the Variable Account
normally will fluctuate over time. THEREFORE, THE DISCLOSED YIELDS AND TOTAL
RETURNS FOR ANY GIVEN PAST PERIOD ARE NOT AN INDICATION OR REPRESENTATION OF
FUTURE YIELDS OR RATES OF RETURN. A Subaccount's actual yield and total return
is affected by the types and quality of portfolio securities held by the
portfolio and its operating expenses.
Because of the charges and deductions imposed under a Policy, the yields and
total returns for the Subaccounts will be lower than the yields and total
returns for their respective portfolios. In addition, the yield figures will not
reflect any withdrawal charge. The calculations of yields, total returns, and
other performance data do not reflect the effect of any premium tax charge that
may be applicable to a particular Policy. Premium taxes currently range for 0%
to 3.5% of purchase payments based on the state in which the Policy is sold. For
the class of Policies issued with the Enhanced Death Benefit Amendment, the
Enhanced Death Benefit Charge is reflected.
MONEY MARKET YIELDS
From time to time, advertisements and sales literature may quote the current
annualized yield of the money market Subaccount (Federated Price Money Fund II
Portfolio) for a seven-day period in a manner which does not take into
consideration any realized or unrealized gains or losses on shares of the money
market portfolio or on its portfolio securities. As of 12/31/99, this current
annualized yield is 3.81%.
This current annualized yield is computed by determining the net change
(exclusive of realized gains and losses on the sale of securities, unrealized
appreciation and depreciation, and excluding income other than investment
income) at the end of the seven-day period in the value of a hypothetical
account under a Policy having a balance of one Accumulation Unit of the money
market Subaccount at the beginning of the period to determine the base period
return, and annualizing this quotient on a 365-day basis. The net change in
account value reflects: (1) net income from the portfolio attributable to the
hypothetical account; and (2) charges and deductions imposed under the Policy
which are attributable to the hypothetical account. The charges and deductions
include the per unit charges for the hypothetical account for: (1) the annual
Policy fee; (2) the administrative expense charge; and (3) the mortality and
expense risk charge. The $30 annual Policy fee is reflected as an annual 0.10%
charged daily, based on an average Accumulation Value of $30,000. Yield figures
will not reflect the withdrawal charge.
Because of the charges and deductions imposed under the Policy, the yield
for the money market Subaccount will be lower than the yield for the money
market portfolio.
The Securities and Exchange Commission also permits United of Omaha to
disclose the effective yield of the money market Subaccount for the same
seven-day period, determined on a compounded basis. The effective yield is
calculated by compounding the unannualized base period return by adding one to
the base period return, raising the sum to a power equal to 365 divided by 7,
and subtracting one from the result.
The current and effective yields on amounts held in the money market
Subaccount normally will fluctuate on a daily basis. THEREFORE, THE DISCLOSED
YIELD FOR ANY GIVEN PAST PERIOD IS NOT AN INDICATION OR REPRESENTATION OF FUTURE
YIELDS OR RATES OF RETURN. The money market Subaccount's actual yield is
affected by changes in interest rates on money market securities, average
portfolio maturity of the money market portfolio, the types of quality of
portfolio securities held by the money market portfolio and the money market
portfolio's operating expenses. Yields figures do not reflect the effect of any
withdrawal charge that may be applicable to a Policy. For the class of Policies
issued with the Enhanced Death Benefit Amendment, the Enhanced Death Benefit
Charge is included.
OTHER SUBACCOUNT YIELDS
From time to time, sales literature or advertisements may quote the current
annualized yield of one or more of the Subaccounts (except the money market
Subaccount) for a Policy for 30-day or one-month periods. The annualized yield
of a Subaccount refers to income generated by the Subaccount over a specific
30-day or one-month period. Because the yield is annualized, the yield generated
by a Subaccount during a 30-day or one-month period is assumed to be generated
each period over a 12-month period.
The yield is computed by: (a) dividing the net investment income of the
portfolio attributable to the Subaccount Accumulation Units less Subaccount
expenses for the period by the maximum offering price per Accumulation Unit on
the last day of the period times the daily average number of Accumulation Units
outstanding for the period; (b) compounding that yield for a six-month period;
and (c) multiplying that result by 2. Expenses attributable to the Subaccount
include: (a) the annual Policy fee; (b) the administrative expense charge; and
(c) the mortality and expense risk charge. The $30 annual Policy fee is
reflected as an annual 0.10% charged daily in the yield calculation, based on an
average Accumulation Value of $30,000. For the class of Policies issued with the
5
<PAGE>
Elective Death Benefit Amendment, the Enhanced Death Benefit Charge is included.
The 30-day or one-month yield is calculated according to the following formula:
Yield = [2 {A-B + 1} 6 - 1]
[ cd ]
Where:
a =-- net income of the portfolio for the 30-day or
one-month period attributable to the Subaccount's
Accumulation Units.
b =-- expenses of the Subaccount for the 30-day or one-month period.
c =-- the average number of Accumulation Units outstanding.
d =-- the Accumulation Unit value at the close of the last day in
the 30-day or one-month period.
Because of the charges and deductions imposed under the Policies, the yield
for a Subaccount will be lower than the yield for the corresponding Series Fund
portfolio.
Yield calculations do not take into account the withdrawal charge under the
Policy (a maximum of 7% of the purchase payments surrendered or withdrawn).
AVERAGE ANNUAL TOTAL RETURNS
From time to time, sales literature or advertisements may also quote average
annual total returns for one or more of the Subaccounts for various periods of
time.
When a Subaccount has been in operation for 1, 5, and 10 years,
respectively, the average annual total return for these periods will be
provided. Until a Subaccount has been in operation for 10 years, we will always
include quotes of average annual total return for the period measured from the
date the Policies were first offered for sale. Average annual total returns for
other periods of time may, from time to time, also be disclosed.
Average annual total returns represent the average annual compounded rates
of return that would equate to an initial investment of $1,000 under a Policy to
the redemption value of that investment as of the last day of each of the
periods. Average annual total returns will be calculated using Subaccount
Accumulation Unit values which we calculate at the end of each Valuation Period
based on the performance of the Subaccount's underlying portfolio, the
deductions for (a) the annual Policy fee; (b) the administrative expense charge;
and (c) the mortality and expense risk charge. The $30 annual Policy fee is
reflected as an annual 0.10% charged daily in the calculation of average annual
total returns, based on an anticipated average Accumulation Value of $30,000.
The calculation also assumes surrender of the Policy at the end of the period
for the return quotation. Standard total returns will therefore reflect a
deduction of any applicable withdrawal charge. For the class of Policies issued
with the Enhanced Death Benefit Amendment, the deduction for the Enhanced Death
Benefit Charge is also reflected. The total return will then be calculated
according to the following formula:
P(1+TR) n = ERV
Where:
P =-- a hypothetical initial purchase payment of $1,000.
TR = -- the average annual total return.
ERV = -- the ending redeemable value (net of any applicable
withdrawal charge) of the hypothetical account at the end
of the period.
n =-- the number of years in the period.
PERFORMANCE DATA. Effective yields and total returns for the Subaccounts are
based on the investment performance of the corresponding portfolios of the
Series Funds. The Series Funds' performance in part reflects the Series Funds'
expenses. See the prospectuses for the Series Funds.
The yield of a Subaccount (except the money market Subaccount) refers to the
annualized income generated by an investment in the Subaccount over a specified
30-day or one-month period. The yield is calculated by assuming that the income
generated by the investment during that 30-day or one-month period is generated
each period over a 12-month period and is shown as a percentage of the
investment.
Such average annual total return information for the Subaccounts of Policies
is as follows:
6
<PAGE>
================================================== ============ ===========
SUBACCOUNT 1 Year From
AVERAGE ANNUAL TOTAL RETURN (REFLECTS Ended Inception
WITHDRAWAL CHARGES) 12/31/99 to
Subaccount (date of inception) % 12/31/99
(Policy issued without Enhanced Death Benefit) %
- -------------------------------------------------- ------------ -----------
Alger American Growth (6/5/95) 24.20% 25.48%
Alger American Small Capitalization (6/5/95) 33.19% 15.49%
Federated Prime Money Fund II (6/5/95) -2.89% 2.85%
Federated Fund for U.S. Govt. Securities II (6/5/95) -7.72% 3.70%
Fidelity VIP II Asset Manager (6/5/95) 7.01% 17.11%
Fidelity VIP II Contrafund (6/5/95) 15.38% 22.12%
Fidelity VIP Equity Income (6/5/95) -1.28% 14.27%
Fidelity VIP II Index 500 (5/1/97) 11.90% 20.67%
MFS Emerging Growth Series (6/5/95) 64.14% 32.68%
MFS High Income Series (6/5/95) -1.18% 6.00%
MFS Research Series (6/5/95) 15.19% 19.83%
MFS Capital Opportunities Series (5/1/97) 36.92% 30.57%
MFS Global Governments Series (6/5/95) -9.49% 0.52%
MSDW Emerging Markets Equity (5/1/98) 80.87% 26.90%
MSDW Fixed Income (5/1/98) -8.69% -2.48%
Pioneer Midcap Value Fund (5/1/97) 4.96% 4.07%
Pioneer Real Estate Growth (5/1/97) -11.05% -5.21%
Scudder VLIF Global Discovery (5/2/97) 53.84% 27.22%
Scudder VLIF Growth & Income (5/1/97) -1.81% 7.47%
Scudder VLIF International (6/5/95) 43.50% 19.32%
T. Rowe Price Personal Strategy Balanced (6/5/95) 0.65% 12.36%
T. Rowe Price Equity Income (6/5/95) -3.71% 14.60%
T. Rowe Price International (6/5/95) 23.80% 13.65%
T. Rowe Price Limited Term Bond (6/5/95) -6.39% 2.96%
T. Rowe Price New America Growth (6/5/95) 4.68% 18.55%
================================================== ============ ===========
7
<PAGE>
================================================== ============ ===========
1 Year From
Subaccount (date of inception ) Ended Inception
(Policy issued with Enhanced Death Benefit) 12/31/99 to
12/31/99
================================================== ============ ===========
Alger American Growth (6/5/95) 23.77% 25.05%
Alger American Small Capitalization (6/5/95) 32.74% 15.10%
Federated Prime Money Fund II (6/5/95) -3.22% 2.49%
Federated Fund for U.S. Govt. Securities II (6/5/95) -8.05% 3.35%
Fidelity VIP II Asset Manager (6/5/95) 6.64% 16.72%
Fidelity VIP II Contrafund (6/5/95) 14.98% 21.71%
Fidelity VIP Equity Income (6/5/95) -1.63% 13.88%
Fidelity VIP II Index 500 (5/1/97) 11.51% 20.27%
MFS Emerging Growth Series (6/5/95) 63.59% 32.23%
MFS High Income Series (6/5/95) -1.52% 5.64%
MFS Research Series (6/5/95) 14.79% 19.43%
MFS Capital Opportunities Series (5/1/97) 36.45% 30.14%
MFS Global Governments Series (6/5/95) -9.81% 0.17%
MSDW Emerging Markets Equity (5/1/98) 80.27% 26.49%
MSDW Fixed Income (5/1/98) -9.01% -2.80%
Pioneer Midcap Value Fund (5/1/97) 4.60% 3.72%
Pioneer Real Estate Growth (5/1/97) -11.36% -5.53%
Scudder VLIF Global Discovery (5/2/97) 53.32% 26.80%
Scudder VLIF Growth & Income (5/1/97) -2.15% 7.11%
Scudder VLIF International (6/5/95) 43.02% 18.92%
T. Rowe Price Personal Strategy Balanced (6/5/95) 0.30% 11.98%
T. Rowe Price Equity Income (6/5/95) -4.05% 14.21%
T. Rowe Price International (6/5/95) 23.38% 13.27%
T. Rowe Price Limited Term Bond (6/5/95) -6.71% 2.60%
T. Rowe Price New America Growth (6/5/95) 4.32% 18.15%
================================================== ============ ===========
8
<PAGE>
NON-STANDARDIZED PERFORMANCE DATA. In addition to the version described above,
total return performance information computed on different non-standard bases
may be used in advertisements. Average annual total return information may be
presented, computed on the same basis as described above, except deductions will
not include a withdrawal charge. Such non-standardized average annual total
return information for the Subaccounts of Policies is as follows:
================================================= ============= ============
SUBACCOUNT NON-STANDARDIZED 1 Year From
AVERAGE ANNUAL TOTAL RETURN Ended Inception
(DOES NOT REFLECT WITHDRAWAL CHARGES) 12/31/99 to 12/31/99
Subaccount (date of inception) % %
(Policy issued without Enhanced Death Benefit)
- ------------------------------------------------- ------------- ------------
Alger American Growth (6/5/95) 32.05% 26.18%
Alger American Small Capitalization (6/5/95) 41.62% 16.14%
Federated Prime Money Fund II (6/5/95) 3.26% 3.43%
Federated Fund for U.S. Govt. Securities II (6/5/95) -1.88% 4.29%
Fidelity VIP II Asset Manager (6/5/95) 13.78% 17.78%
Fidelity VIP II Contrafund (6/5/95) 22.68% 22.81%
Fidelity VIP Equity Income (6/5/95) 4.96% 14.92%
Fidelity VIP II Index 500 (5/1/97) 18.98% 22.65%
MFS Emerging Growth Series (6/5/95) 74.53% 33.43%
MFS High Income Series (6/5/95) 5.08% 6.60%
MFS Research Series (6/5/95) 22.47% 20.51%
MFS Capital Opportunities Series (5/1/97) 45.58% 32.71%
MFS Global Governments Series (6/5/95) -3.76% 1.09%
MSDW Emerging Markets Equity (5/1/98) 92.31% 30.95%
MSDW Fixed Income (5/1/98) -2.92% 0.63%
Pioneer Midcap Value Fund (5/1/97) 11.60% 5.77%
Pioneer Real Estate Growth (5/1/97) -5.42% -3.65%
Scudder VLIF Global Discovery (5/2/97) 63.57% 29.31%
Scudder VLIF Growth & Income (5/1/97) 4.40% 9.23%
Scudder VLIF International (6/5/95) 52.58% 19.99%
T. Rowe Price Personal Strategy Balanced (6/5/95) 7.02% 12.99%
T. Rowe Price Equity Income (6/5/95) 2.38% 15.24%
T. Rowe Price International (6/5/95) 31.64% 14.30%
T. Rowe Price Limited Term Bond (6/5/95) -0.47% 3.54%
T. Rowe Price New America Growth (6/5/95) 11.31% 19.22%
================================================= ============= ============
9
<PAGE>
================================================= ============= ============
Subaccount (date of inception) 1 Year From
(Policy issued with Enhanced Death Benefit) Ended Inception
----
12/31/99 to 12/31/99
================================================= ============= ============
Alger American Growth (6/5/95) 31.60% 25.76%
Alger American Small Capitalization (6/5/95) 41.13% 15.75%
Federated Prime Money Fund II (6/5/95) 2.90% 3.07%
Federated Fund for U.S. Govt. Securities II (6/5/95) -2.23% 3.93%
Fidelity VIP II Asset Manager (6/5/95) 13.39% 17.38%
Fidelity VIP II Contrafund (6/5/95) 22.25% 22.40%
Fidelity VIP Equity Income (6/5/95) 4.60% 14.53%
Fidelity VIP II Index 500 (5/1/97) 18.57% 22.24%
MFS Emerging Growth Series (6/5/95) 73.94% 32.98%
MFS High Income Series (6/5/95) 4.71% 6.24%
MFS Research Series (6/5/95) 22.05% 20.10%
MFS Capital Opportunities Series (5/1/97) 45.08% 32.27%
MFS Global Governments Series (6/5/95) -4.10% 0.74%
MSDW Emerging Markets Equity (5/1/98) 91.67% 30.52%
MSDW Fixed Income (5/1/98) -3.26% 0.30%
Pioneer Midcap Value Fund (5/1/97) 11.22% 5.42%
Pioneer Real Estate Growth (5/1/97) -5.75% -3.98%
Scudder VLIF Global Discovery (5/2/97) 63.02% 28.88%
Scudder VLIF Growth & Income (5/1/97) 4.04% 8.87%
Scudder VLIF International (6/5/95) 52.07% 19.59%
T. Rowe Price Personal Strategy Balanced (6/5/95) 6.65% 12.61%
T. Rowe Price Equity Income (6/5/95) 2.02% 14.85%
T. Rowe Price International (6/5/95) 31.19% 13.91%
T. Rowe Price Limited Term Bond (6/5/95) -0.81% 3.18%
T. Rowe Price New America Growth (6/5/95) 10.92% 18.82%
================================================= ============= ============
In addition, we may from time to time disclose average annual total return in
non-standard formats and cumulative total return for Policies funded by the
Subaccounts.
THE FIGURES ABOVE ARE AN INDICATION OF PAST, BUT NOT FUTURE, PERFORMANCE OF THE
APPLICABLE SUBACCOUNTS AVAILABLE UNDER THE POLICY.
10
<PAGE>
ADJUSTED HISTORICAL PERFORMANCE DATA. We may, from time to time, also
disclose yield, standard total returns, and non-standard total returns for the
Portfolios of the Series Funds, including such disclosure for periods prior to
the dates the Subaccounts commenced operations. For periods prior to the date
the Subaccount commenced operations, performance information for Policies will
be calculated based on the performance of the Series Fund Portfolios and the
assumption that the Subaccounts were in existence for the same periods as those
indicated for the Series Fund Portfolios, with the level of Policy charges that
were in effect at the inception of the Subaccounts (this is referred to as
"adjusted historical" performance data). Such standardized but "adjusted
historical" average annual total return information for the Subaccounts of
Policies is as follows:
11
<PAGE>
<TABLE>
<CAPTION>
================================================= ========= ========= ============ ============
SUBACCOUNT 1 Year 5 Years 10 Years Since
"ADJUSTED HISTORICAL" Ended Ended Ended Inception
AVERAGE ANNUAL TOTAL RETURN TABLE 12/31/99 12/31/99 12/31/99 to 12/31/99
(REFLECTS WITHDRAWAL CHARGES) % % % %
Subaccount (date of inception of corresponding
portfolio)
(Policy issued without Enhanced Death Benefit)
- ------------------------------------------------- --------- --------- ------------ ------------
<S> <C> <C> <C> <C>
Alger American Growth (1/9/89) 24.20% 28.62% 21.33% 21.49%
- ------------------------------------------------- --------- --------- ------------ ------------
Alger American Small Capitalization (9/21/88) 33.19% 20.46% 16.71% 19.32%
- ------------------------------------------------- --------- --------- ------------ ------------
Deutsche VIT EAFE Equity Index Fund (3/20/98) 18.49% - - 13.40%
- ------------------------------------------------- --------- --------- ------------ ------------
Deutsche VIT Small Cap Equity Index Fund (3/20/98) 11.57% - - 5.97%
- ------------------------------------------------- --------- --------- ------------ ------------
Federated Prime Money Fund II (11/21/94) -7.72% 3.76% - 3.69%
- ------------------------------------------------- --------- --------- ------------ ------------
Federated Fund for U.S. Govt.
Securities II (3/28/94) -2.89% 2.99% - 3.16%
- ------------------------------------------------- --------- --------- ------------ ------------
Fidelity VIP II Asset Manager (1/3/95) 7.01% 18.00% - 18.03%
- ------------------------------------------------- --------- --------- ------------ ------------
Fidelity VIP II Contrafund (1/3/95) 15.38% 25.43% - 25.48%
- ------------------------------------------------- --------- --------- ------------ ------------
Fidelity VIP Equity Income (10/9/86) -1.28% 16.49% 13.03% 12.33%
- ------------------------------------------------- --------- --------- ------------ ------------
Fidelity VIP II Index 500 (8/27/92) 11.90% 25.89% - 19.53%
- ------------------------------------------------- --------- --------- ------------ ------------
MFS Emerging Growth Series (7/24/95) 64.14% - - 33.91%
- ------------------------------------------------- --------- --------- ------------ ------------
MFS High Income Series (7/26/95) -1.18% - - 6.21%
- ------------------------------------------------- --------- --------- ------------ ------------
MFS Research Series (7/26/95) 15.19% - - 20.57%
- ------------------------------------------------- --------- --------- ------------ ------------
MFS Capital Opportunities Series (8/14/96) 36.92% - - 28.63%
- ------------------------------------------------- --------- --------- ------------ ------------
MFS Global Governments Series (6/14/95) -9.49% 2.48% - 2.40%
- ------------------------------------------------- --------- --------- ------------ ------------
MSDW Emerging Markets Equity (10/1/96) 80.87% - - 9.52%
- ------------------------------------------------- --------- --------- ------------ ------------
MSDW Fixed Income (1/2/97) -8.69% - - 2.43%
- ------------------------------------------------- --------- --------- ------------ ------------
Pioneer Midcap Value Fund (3/1/95) 4.96% - - 11.20%
- ------------------------------------------------- --------- --------- ------------ ------------
Pioneer Equity-Income (2/26/1999) -11.05% - - 6.72%
- ------------------------------------------------- --------- --------- ------------ ------------
Pioneer Growth Shares (10/9/1999) N/A N/A N/A N/A
- ------------------------------------------------- --------- --------- ------------ ------------
Pioneer Fund (5/3/99) N/A N/A N/A N/A
- ------------------------------------------------- --------- --------- ------------ ------------
Pioneer Real Estate Growth (3/1/95) N/A N/A N/A N/A
- ------------------------------------------------- --------- --------- ------------ ------------
Scudder VLIF Global Discovery (5/2/97) 53.84% - - 31.49%
- ------------------------------------------------- --------- --------- ------------ ------------
Scudder VLIF Growth & Income (5/1/97) -1.81% - - 9.69%
- ------------------------------------------------- --------- --------- ------------ ------------
Scudder VLIF International (5/1/87) 43.50% 18.41% 11.80% 12.07%
- ------------------------------------------------- --------- --------- ------------ ------------
T. Rowe Price Personal Strategy Balanced (12/31/94) 0.65% 14.45% - 14.45%
- ------------------------------------------------- --------- --------- ------------ ------------
T. Rowe Price Equity Income (3/31/94) -3.71% 16.53% - 15.58%
- ------------------------------------------------- --------- --------- ------------ ------------
T. Rowe Price International (3/31/94) 23.80% 13.16% - 11.67%
- ------------------------------------------------- --------- --------- ------------ ------------
T. Rowe Price Limited Term Bond (5/13/94) -6.39% 3.65% - 3.71%
- ------------------------------------------------- --------- --------- ------------ ------------
T. Rowe Price New America Growth (3/31/94) 4.68% 21.83% - 18.91%
================================================= ========= ========= ============ ============
12
<PAGE>
================================================= ========= ========= ============ ============
Subaccount (date of inception of corresponding 1 Year 5 Years 10 Years Since
Portfolio) Ended Ended Ended Inception
(Policy issued with Enhanced Death Benefit) 12/31/99 12/31/99 12/31/99 to 12/31/99
================================================= ========= ========= ============ ============
Alger American Growth (1/9/89) 23.77% 28.18% 20.91% 21.07%
Alger American Small Capitalization (9/21/88) 32.74% 20.04% 16.30% 18.90%
Deutsche VIT EAFE Equity Index Fund (3/20/98) 18.08% - - 12.99%
Deutsche VIT Small Cap Equity Index Fund (3/20/98) 11.19% - - 5.59%
Federated Prime Money Fund II (11/21/94) -8.05% 3.40% - 3.32%
Federated Fund for U.S. Govt.
Securities II (3/28/94) -3.22% 2.63% - 2.80%
Fidelity VIP II Asset Manager (1/3/95) 6.64% 17.59% - 17.62%
Fidelity VIP II Contrafund (1/3/95) 14.98% 25.00% - 25.05%
Fidelity VIP Equity Income (10/9/86) -1.63% 16.09% 12.63% 11.94%
Fidelity VIP II Index 500 (8/27/92) 11.51% 25.45% - 19.11%
MFS Emerging Growth Series (7/24/95) 63.59% - - 33.45%
MFS High Income Series (7/26/95) -1.52% - - 5.84%
MFS Research Series (7/26/95) 14.79% - - 20.15%
MFS Capital Opportunities Series (8/14/96) 36.45% - - 28.19%
MFS Global Governments Series (6/14/95) -9.81% 2.13% - 2.04%
MSDW Emerging Markets Equity (10/1/96) 80.27% - - 9.14%
MSDW Fixed Income (1/2/97) -9.01% - - 2.07%
Pioneer Midcap Value Fund (3/1/95) 4.60% - - 10.81%
Pioneer Equity-Income (2/26/1999) N/A N/A N/A N/A
Pioneer Growth Shares (10/9/1999) N/A N/A N/A N/A
Pioneer Fund (5/3/1999) N/A N/A N/A N/A
Pioneer Real Estate Growth (3/1/95) -11.36% - - 6.35%
Scudder VLIF Global Discovery (5/2/97) 53.32% - - 31.04%
Scudder VLIF Growth & Income (5/1/97) -2.15% - - 9.31%
Scudder VLIF International (5/1/87) 43.02% 18.00% 11.41% 11.69%
T. Rowe Price Personal Strategy Balanced (12/31/94) 0.30% 14.06% - 14.05%
T. Rowe Price Equity Income (3/31/94) -4.05% 16.13% - 15.18%
T. Rowe Price International (3/31/94) 23.38% 12.77% - 11.28%
T. Rowe Price Limited Term Bond (5/13/94) -6.71% 3.29% - 3.35%
T. Rowe Price New America Growth (3/31/94) 4.32% 21.41% - 18.50%
================================================= ========= ========= ============ ============
</TABLE>
13
<PAGE>
<TABLE>
<CAPTION>
Such non-standardized (i.e., assuming no withdrawal charge) but adjusted
historical average annual total return information for the Subaccounts is as
follows:
================================================= ========= ========= ============ ============
SUBACCOUNT NON-STANDARDIZED 1 Year 5 Years 10 Years Since
"ADJUSTED HISTORICAL" Ended Ended Ended Inception
AVERAGE ANNUAL TOTAL RETURN TABLE 12/31/99 12/31/99 12/31/99 to 12/31/99
(DOES NOT REFLECT SURRENDER CHARGES) % % % %
Subaccount (date of inception of corresponding
Portfolio)
(Policy issued without Enhanced Death Benefit)
- ------------------------------------------------- --------- --------- ------------ ------------
<S> <C> <C> <C> <C>
Alger American Growth (1/9/89) 32.05% 29.28% 21.33% 21.49%
Alger American Small Capitalization (9/21/88) 41.62% 21.08% 16.71% 19.32%
Deutsche VIT EAFE Equity Index Fund (3/20/98) 25.98% - - 15.50%
Deutsche VIT Small Cap Equity Index Fund (3/20/98) 18.63% - - 7.93%
Federated Prime Money Fund II (11/21/94) -1.88% 4.30% - 3.99%
Federated Fund for U.S. Govt. Securities (3/28/94) 3.26% 3.52% - 3.51%
Fidelity VIP II Asset Manager (1/3/95) 13.78% 18.61% - 18.64%
Fidelity VIP II Contrafund (1/3/95) 22.68% 26.08% - 26.13%
Fidelity VIP Equity Income (10/9/86) 4.96% 17.10% 13.03% 12.33%
Fidelity VIP II Index 500 (8/27/92) 18.98% 26.54% - 19.53%
MFS Emerging Growth Series (7/24/95) 74.53% - - 34.69%
MFS High Income Series (7/26/95) 5.08% - - 6.83%
MFS Research Series (7/26/95) 22.47% - - 21.27%
MFS Capital Opportunities Series (8/14/96) 45.58% - - 29.96%
MFS Global Governments Series (6/14/95) -3.76% 3.01% - 2.72%
MSDW Emerging Markets Equity (10/1/96) 92.31% - - 10.69%
MSDW Fixed Income (1/2/97) -2.92% - - 3.93%
Pioneer Midcap Value Fund (3/1/95) 11.60% - - 11.79%
Pioneer Equity-Income (2/26/99) -5.42% - - 7.29%
Pioneer Growth Shares (10/9/99) N/A N/A N/A N/A
Pioneer Fund (5/3/1999) N/A N/A N/A N/A
Pioneer Real Estate Growth (3/1/95) N/A N/A N/A N/A
Scudder VLIF Global Discovery (5/2/97) 63.57% - - 33.65%
Scudder VLIF Growth & Income (5/1/97) 4.40% - - 11.49%
Scudder VLIF International (5/1/87) 52.58% 19.02% 11.80% 12.07%
T. Rowe Price Personal Strategy Balanced (12/31/94) 7.02% 15.05% - 15.04%
T. Rowe Price Equity Income (3/31/94) 2.38% 17.14% - 15.92%
T. Rowe Price International (3/31/94) 31.64% 13.75% - 12.00%
T. Rowe Price Limited Term Bond (5/13/94) -0.47% 4.19% - 4.03%
T. Rowe Price New America Growth (3/31/94) 11.31% 22.46% - 19.26%
================================================= ========= ========= ============ ============
14
<PAGE>
================================================= ========= ========= ============ ============
Subaccount (date of inception of corresponding 1 Year 5 Years 10 Years Since
Portfolio) Ended Ended Ended Inception
(Policy issued with Enhanced Death Benefit) 12/31/99 12/31/99 12/31/99 to 12/31/99
- ------------------------------------------------- --------- --------- ------------ ------------
Alger American Growth (1/9/89) 31.60% 28.84% 20.91% 21.07%
Alger American Small Capitalization (9/21/88) 41.13% 20.66% 16.30% 18.90%
Deutsche VIT EAFE Equity Index Fund (3/20/98) 25.55% - - 15.09%
Deutsche VIT Small Cap Equity Index Fund (3/20/98) 18.22% - - 7.55%
Federated Prime Money Fund II (11/21/94) -2.23% 3.94% - 3.63%
Federated Fund for U.S. Govt.
Securities II (3/28/94) 2.90% 3.16% - 3.14%
Fidelity VIP II Asset Manager (1/3/95) 13.39% 18.20% - 18.23%
Fidelity VIP II Contrafund (1/3/95) 22.25% 25.65% - 25.69%
Fidelity VIP Equity Income (10/9/86) 4.60% 16.69% 12.63% 11.94%
Fidelity VIP II Index 500 (8/27/92) 18.57% 26.10% - 19.11%
MFS Emerging Growth Series (7/24/95) 73.94% - - 34.22%
MFS High Income Series (7/26/95) 4.71% - - 6.45%
MFS Research Series (7/26/95) 22.05% - - 20.85%
MFS Capital Opportunities Series (8/14/96) 45.08% - - 29.51%
MFS Global Governments Series (6/14/95) -4.10% 2.65% - 2.36%
MSDW Emerging Markets Equity (10/1/96) 91.67% - - 10.31%
MSDW Fixed Income (1/2/97) -3.26% - - 3.56%
Pioneer Midcap Value Fund (3/1/95) 11.22% - - 11.41%
Pioneer Equity-Income (2/26/99) N/A N/A N/A N/A
Pioneer Growth Shares (10/9/99) N/A N/A N/A N/A
Pioneer Fund (5/3/99) N/A N/A N/A N/A
Pioneer Real Estate Growth (3/1/95) -5.75% - - 6.92%
Scudder VLIF Global Discovery (5/2/97) 63.02% - - 33.19%
Scudder VLIF Growth & Income (5/1/97) 4.04% - - 11.10%
Scudder VLIF International (5/1/87) 52.07% 18.61% 11.41% 11.69%
T. Rowe Price Personal Strategy Balanced (12/31/94) 6.65% 14.65% - 14.64%
T. Rowe Price Equity Income (3/31/94) 2.02% 16.73% - 15.52%
T. Rowe Price International (3/31/94) 31.19% 13.35% - 11.61%
T. Rowe Price Limited Term Bond (5/13/94) -0.81% 3.83% - 3.66%
T. Rowe Price New America Growth (3/31/94) 10.92% 22.04% - 18.85%
================================================= ========= ========= ============ ============
</TABLE>
THE FIGURES ABOVE ARE NOT AN INDICATION OF PRESENT, PAST, OR FUTURE PERFORMANCE
OF THE APPLICABLE SUBACCOUNTS OR OF THE ACTUAL PORTFOLIOS AVAILABLE UNDER THE
POLICY.
We may disclose cumulative total returns in conjunction with the standard
formats described above. The cumulative total returns will be calculated using
the following formula:
CTR = (ERV/P) - 1
Where:
CTR = -- The cumulative total return net of Subaccount recurring
charges for the period.
ERV = -- The ending redeemable value of the hypothetical investment
at the end of the period.
P = -- A hypothetical initial purchase payment of $1,000.
OTHER PERFORMANCE INFORMATION
The following is a partial list of those publications which may be cited in
the Series Funds' advertising shareholder materials which contain articles
describing investment results or other data relative to one or more of the
Subaccounts. Other publications may also be cited.
15
<PAGE>
Across the Board
Advertising Age
American Banker
Barron's
Best's Review
Broker World
Business Insurance
Business Month
Business Week
Changing Times
Consumer Reports
Economist
Financial Planning
Financial World
Forbes
Fortune
Inc.
Institutional Investor
Insurance Forum
Insurance Sales
Insurance Week
Journal of Accountancy
Journal of the American Society
of CLU & ChFC
Journal of Commerce
Life Association News
Life Insurance Selling
Manager's Magazine
Market Facts
Money
OTHER INFORMATION
A registration statement has been filed with the Securities and Exchange
Commission ("SEC"), under the Securities Act of 1933 as amended, with respect to
the Policies discussed in this Statement of Additional Information. Not all of
the information set forth in the Registration Statement, amendments and exhibits
thereto has been included in the Prospectus or this Statement of Additional
Information. Statements contained in the Prospectus and this Statement of
Additional Information concerning the content of the Policies and other legal
instruments are intended to be summaries. For a complete statement of the terms
of these documents, refer to the instruments filed with the SEC. They may be
accessed on the SEC's Web site: HTTP://WWW.SEC.GOV.
FINANCIAL STATEMENTS
This Statement of Additional Information contains financial statements
for the Variable Account as of December 31, 1999 and for the years ended
December 31, 1999 and 1998 which have been audited by Deloitte & Touche, LLP,
independent auditors, Omaha, Nebraska, as stated in their report appearing
herein.
The Financial Statements of United of Omaha Life Insurance Company as of
December 31, 1999 and 1998, and for the years ended December 31, 1997, 1998 and
1999 included in this Statement of Additional Information have been audited by
Deloitte & Touche LLP, independent auditors, Omaha, Nebraska, as stated in their
report appearing herein. The financial statements of United of Omaha Life
Insurance Company should be considered only as bearing on the ability of United
of Omaha to meet its obligations under the Policies. They should not be
considered as bearing on the investment performance of the assets held in the
Variable Account.
16
<PAGE>
- -----------------------------------------------------------
FINANCIAL STATEMENTS
UNITED OF OMAHA
LIFE INSURANCE COMPANY
(A WHOLLY-OWNED SUBSIDIARY OF MUTUAL
OF OMAHA INSURANCE COMPANY)
STATUTORY BASIS FINANCIAL STATEMENTS
AND INDEPENDENT AUDITORS' REPORT
DECEMBER 31, 1999, 1998 AND 1997
17
<PAGE>
INDEPENDENT AUDITORS' REPORT
To the Board of Directors
United of Omaha Life Insurance Company
Omaha, Nebraska
We have audited the accompanying statutory basis statements of admitted assets,
liabilities, and surplus of United of Omaha Life Insurance Company (the
"Company") (a wholly-owned subsidiary of Mutual of Omaha Insurance Company) as
of December 31, 1999 and 1998, and the related statutory basis statements of
income, changes in surplus, and cash flows for each of the three years in the
period ended December 31, 1999. The financial statements are the responsibility
of the Company's management. Our responsibility is to express an opinion on
these financial statements 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 are free of material
misstatement. An audit includes examining, on a test basis, evidence supporting
the amounts and disclosures in the financial statements. 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.
As more fully described in Note 1 to the financial statements, the Company has
prepared these financial statements in conformity with accounting practices
prescribed or permitted by the Insurance Department of the State of Nebraska,
which practices differ from generally accepted accounting principles. The
effects on such financial statements of the differences between the statutory
basis of accounting and generally accepted accounting principles are described
in Note 13.
In our opinion, because of the effects of the matters discussed in the preceding
paragraph, the financial statements do not present fairly, in conformity with
generally accepted accounting principles, the financial position of United of
Omaha Life Insurance Company as of December 31, 1999 and 1998, or the results of
its operations or its cash flows for each of the three years in the period ended
December 31, 1999.
In our opinion, the statutory basis financial statements referred to above
present fairly, in all material respects, the admitted assets, liabilities, and
surplus of United of Omaha Life Insurance Company as of December 31, 1999 and
1998, and the results of its operations and its cash flows for each of the three
years in the period ended December 31, 1999, on the basis of accounting
described in Note 1 to the financial statements.
18
<PAGE>
Our audits were conducted for the purpose of forming an opinion on the basic
financial statements taken as a whole. Schedule 1 - Selected Financial Data is
presented to comply with the National Association of Insurance Commissioners
Annual Statement Instructions and is not a required part of the basic financial
statements. This schedule is the responsibility of the Company's management.
This schedule has been subjected to the auditing procedures applied in our audit
of the basic financial statements and, in our opinion, is fairly stated in all
material respects when considered in relation to the basic financial statements
taken as a whole.
/s/ DELOITTE & TOUCHE LLP
Omaha, Nebraska
February 11, 2000
19
<PAGE>
<TABLE>
<CAPTION>
[UNITED OF OMAHA LIFE INSURANCE COMPANY
(A WHOLLY-OWNED SUBSIDIARY OF MUTUAL OF OMAHA INSURANCE COMPANY)
STATUTORY BASIS STATEMENTS OF ADMITTED ASSETS, LIABILITIES AND SURPLUS
DECEMBER 31, 1999 AND 1998
- -----------------------------------------------------------------------------------------------------
ADMITTED ASSETS 1999 1998
<S> <C> <C>
Cash and invested assets:
Bonds $ 7,686,772,659 $7,253,217,367
Preferred stocks 0 3,954,659
Common stocks - unaffiliated 9,984,000 13,838,123
Common stocks - affiliated 95,788,706 90,269,520
Mortgage loans 655,076,191 599,396,008
Real estate occupied by the Company, net of
accumulated depreciation of $62,841,429
in 1999 and $59,318,600 in 1998 76,636,056 79,261,655
Real estate acquired in satisfaction of debt, net of
accumulated depreciation of $211,026
in 1999 and $180,255 in 1998 5,467,051 8,048,921
Investment real estate, net of accumulated depreciation
of $4,166,244 in 1999 and
$4,000,880 in 1998 2,095,524 2,260,888
Policy loans 137,852,831 133,473,608
Cash and short-term investments 78,892,569 208,351,098
Other invested assets 132,785,146 90,478,302
------------- -------------
Total cash and invested assets 8,881,350,733 8,482,550,149
Premiums deferred and uncollected 122,227,550 112,869,786
Investment income due and accrued 87,758,433 83,741,880
Electronic data processing equipment, net of accumulated depreciation
of $85,709,043 in 1999 and $83,572,760 in 1998 23,152,822 40,003,368
Receivable from parent, subsidiaries and affiliates 61,263,672 64,865,536
Other assets 108,508,586 110,226,256
Separate accounts assets 1,463,646,824 1,128,411,359
------------- -------------
Total admitted assets $ 10,747,908,620 $10,022,668,334
============== ===============
LIABILITIES
Policy reserves:
Aggregate reserve for policies and contracts $ 6,380,304,112 $6,115,600,947
Liability for premium and other deposit funds 1,828,111,153 1,767,287,656
Policy and contract claims 79,515,156 69,435,931
Other 73,438,833 73,861,169
------------- -------------
Total policy reserves 8,361,369,254 8,026,185,703
Interest maintenance reserve 27,418,733 28,297,114
Asset valuation reserve 122,704,340 99,408,763
General expenses and taxes due or accrued 34,725,171 34,224,408
Federal income taxes due or accrued 24,753,676 30,643,535
Other liabilities 55,493,246 78,153,618
Separate accounts liabilities 1,434,665,900 1,106,149,444
------------- -------------
Total liabilities 10,061,130,320 9,403,062,585
-------------- -------------
SURPLUS
Capital stock, $10 par value, 900,000 shares
authorized issued and outstanding 9,000,000 9,000,000
Gross paid-in and contributed surplus 62,723,580 62,723,580
Unassigned surplus 615,054,720 547,882,169
------------- -------------
Total surplus 686,778,300 619,605,749
------------- -------------
Total liabilities and surplus $10,747,908,620 $10,022,668,334
============== ===============
The accompanying notes are an integral part of these statutory basis financial statements.
</TABLE>
20
<PAGE>
<TABLE>
<CAPTION>
UNITED OF OMAHA LIFE INSURANCE COMPANY
(A WHOLLY-OWNED SUBSIDIARY OF MUTUAL OF OMAHA INSURANCE COMPANY)
STATUTORY BASIS STATEMENTS OF INCOME
FOR THE YEARS ENDED DECEMBER 31, 1999, 1998 AND 1997
- ---------------------------------------------------------------------------------------------------
1999 1998 1997
Income:
<S> <C> <C> <C>
Net premiums and annuity considerations $1,140,044,210 $1,084,975,517 $1,187,103,621
Other considerations and fund deposits 275,898,803 236,637,747 293,227,972
Net investment income 612,041,206 579,276,068 587,480,573
Other income 61,053,155 44,797,965 25,019,350
------------- ------------- -------------
Total income 2,089,037,374 1,945,687,297 2,092,831,516
------------- ------------- -------------
Benefits and expenses:
Policyholder and beneficiary benefits 1,284,737,992 1,163,584,636 1,030,686,286
Increase in reserves for policyholder and
beneficiary benefits 263,438,655 262,888,025 365,393,381
Commissions 118,993,023 118,498,787 130,342,914
Operating expenses 231,963,954 225,066,608 208,126,020
Net transfers to separate accounts 101,849,962 87,759,133 278,479,918
------------- ------------- -------------
Total benefits and expenses 2,000,983,586 1,857,797,189 2,013,028,519
------------- ------------- -------------
Net gain from operations before federal
income taxes and
net realized capital gains 88,053,788 87,890,108 79,802,997
Federal income taxes 45,205,000 47,032,000 37,918,000
------------- ------------- -------------
Net gain from operations before net
realized capital gains 42,848,788 40,858,108 41,884,997
Net realized capital gains 12,124,165 8,691,807 51,537,439
------------- ------------- -------------
Net income $ 54,972,953 $ 49,549,915 $ 93,422,436
============= ============= =============
The accompanying notes are an integral part of these statutory basis financial statements.
</TABLE>
21
<PAGE>
<TABLE>
<CAPTION>
UNITED OF OMAHA LIFE INSURANCE COMPANY
(A WHOLLY-OWNED SUBSIDIARY OF MUTUAL OF OMAHA INSURANCE COMPANY)
STATUTORY BASIS STATEMENTS OF CHANGES IN SURPLUS
FOR THE YEARS ENDED DECEMBER 31, 1999, 1998 AND 1997
- --------------------------------------------------------------------------------------------------
1999 1998 1997
Capital stock:
<S> <C> <C> <C>
Balance at beginning and end of year $ 9,000,000 $ 9,000,000 $ 9,000,000
---------- ---------- ----------
Gross paid-in and contributed surplus:
Balance at beginning and end of year 62,723,580 62,723,580 62,723,580
---------- ---------- ----------
Unassigned surplus:
Balance at beginning of year 547,882,169 516,351,285 463,096,236
Net income 54,972,953 49,549,915 93,422,436
Change in net unrealized capital gains and losses 25,943,741 (1,875,466) (45,543,494)
(Increase) decrease in:
Non-admitted assets 5,596,094 3,153,680 (15,448,463)
Asset valuation reserve (23,295,577) (5,265,183) 20,352,007
Additional pension plan contribution 0 (9,732,000) 0
Change in group pension reserve valuation basis 0 0 17,437,454
Adoption of actuarial guidelines 0 0 (17,235,000)
Surplus contributed to separate account 0 0 (20,000,000)
Change in surplus in separate account 3,964,183 0 20,000,000
Other, net (8,843) (4,300,062) 270,109
---------- ---------- ----------
Balance at end of year 615,054,720 547,882,169 516,351,285
----------- ----------- -----------
Total surplus $ 686,778,300 $ 619,605,749 $ 588,074,865
=========== =========== ===========
The accompanying notes are an integral part of these statutory basis financial statements.
</TABLE>
22
<PAGE>
<TABLE>
<CAPTION>
UNITED OF OMAHA LIFE INSURANCE COMPANY
(A WHOLLY-OWNED SUBSIDIARY OF MUTUAL OF OMAHA INSURANCE COMPANY)
STATUTORY BASIS STATEMENTS OF CASH FLOWS
FOR THE YEARS ENDED DECEMBER 31, 1999, 1998 AND 1997
- ---------------------------------------------------------------------------------------------------
1999 1998 1997
<S> <C> <C> <C>
Cash from operations:
Premiums, annuity considerations and
other fund deposits $ 1,405,400,064 $ 1,318,297,844 $ 1,467,305,934
Net investment income 592,873,645 568,917,450 572,888,599
Other income 67,077,830 38,788,628 24,599,736
Benefits (1,277,572,534) (1,167,243,929) (1,015,334,974)
Commissions and general expenses (344,072,398) (364,713,014) (358,217,598)
Federal income taxes (57,072,123) (6,095,871) (50,033,368)
Net transfers to separate accounts (104,327,662) (88,584,356) (291,034,339)
------------- ------------ -------------
Net cash from operations 282,306,822 299,366,752 350,173,990
------------- ------------ -------------
Cash from investments:
Proceeds from investments sold, redeemed or matured:
Bonds 1,522,098,100 1,193,524,488 1,061,409,895
Mortgage loans 88,676,462 146,103,815 335,103,045
Stocks 17,382,690 9,347,151 143,363,377
Real estate 4,050,000 26,750,000 37,927,500
Other invested assets 39,411,955 25,274,875 40,376,307
Tax on capital gains (7,555,834) (34,196,691) (15,797,771)
Cost of investments acquired:
Bonds (1,941,582,149) (1,502,417,064) (1,774,643,430)
Mortgage loans (141,987,030) (152,354,622) (19,862,952)
Stocks (12,911,323) (8,357,754) (23,479,436)
Other invested assets (25,079,860) (38,744,814) (27,563,717)
Real estate (1,777,668) (7,991,164) (3,082,524)
Net increase in policy loans (4,380,901) (7,849,129) (7,474,627)
------------- ------------ -------------
Net cash from investments (463,655,558) (350,910,909) (253,724,333)
------------- ------------ -------------
Cash from financing and other sources:
Decrease (increase) in receivable from parent,
subsidiaries and affiliates 53,617,926 (78,025,309) (28,781,394)
Increase (decrease) in other nonqualified deposits 58,702,188 213,068,165 (49,216,009)
Other cash provided 52,076,765 18,348,507 18,880,708
Other cash used (112,506,672) (8,691,343) (39,639,966)
------------- ------------ -------------
Net cash from financing and other sources 51,890,207 144,700,020 (98,756,661)
------------- ------------ -------------
Net change in cash and short-term investments (129,458,529) 93,155,863 (2,307,004)
Cash and short-term investments:
Beginning of year 208,351,098 115,195,235 117,502,239
------------- ------------ -------------
End of year $ 78,892,569 $ 208,351,098 $ 115,195,235
============= ============ =============
The accompanying notes are an integral part of these statutory basis financial statements.
</TABLE>
23
<PAGE>
UNITED OF OMAHA LIFE INSURANCE COMPANY
(A WHOLLY-OWNED SUBSIDIARY OF MUTUAL OF OMAHA INSURANCE COMPANY)
NOTES TO STATUTORY BASIS FINANCIAL STATEMENTS
FOR THE YEARS ENDED DECEMBER 31, 1999, 1998 AND 1997
- --------------------------------------------------------------------------------
1. NATURE OF OPERATIONS AND SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES
NATURE OF OPERATIONS - United of Omaha Life Insurance Company (the
"Company") is a wholly-owned subsidiary of Mutual of Omaha Insurance Company
("Mutual of Omaha"), a mutual health and accident and life insurance company
domiciled in the State of Nebraska. At December 31, 1999, the Company owned 100%
of the outstanding common stock of the following entities: Companion Life
Insurance Company ("Companion"), United World Life Insurance Company ("United
World"), Mutual of Omaha Structured Settlement Company-Connecticut
("MOSSCO-CT"), and Mutual of Omaha Structured Settlement Company of New York,
Inc. ("MOSSCO-NY"). The Company has insurance licenses to operate in 49 states,
the District of Columbia, Guam, Puerto Rico, and the U.S. Virgin Islands.
Individual life insurance and annuity products are sold through a network of
career agents, direct mail, brokers, financial planners and banks. Group
business is produced by representatives located in Mutual of Omaha group offices
throughout the country.
BASIS OF PRESENTATION - The accompanying financial statements have been
prepared in conformity with accounting practices prescribed or permitted by the
Insurance Department of the State of Nebraska. Prescribed statutory accounting
practices are contained in a variety of publications of the National Association
of Insurance Commissioners ("NAIC"), as well as state laws, regulations, and
general administrative rules. Permitted statutory accounting practices encompass
all accounting practices which may not necessarily be prescribed but are not
prohibited.
The accompanying statutory financial statements vary in some respects from
those that would be presented in conformity with generally accepted accounting
principles. The most significant differences include: (a) bonds are generally
carried at amortized cost rather than being valued at either amortized cost or
fair value based on their classification according to the Company's ability and
intent to hold or trade the securities; (b) acquisition costs, such as
commissions and other costs related to acquiring new business, are charged to
operations as incurred and not deferred, whereas premiums are taken into income
on a pro rata basis over the respective term of the policies; (c) deferred
federal income taxes are not provided for temporary differences between tax and
financial reporting; (d) no provision has been made for federal income taxes on
unrealized appreciation of investments which are carried at market value; (e)
asset valuation reserves ("AVR") and interest maintenance reserves ("IMR") are
established; (f) different actuarial assumptions are used for calculating
certain policy reserves; (g) changes in certain assets designated as
"non-admitted" have been charged to unassigned surplus; (h) comprehensive income
and its components are not presented in the financial statements; and (i) the
change in the underlying book value of wholly-owned subsidiaries is reported as
a change in net unrealized capital gains (losses), a component of unassigned
surplus, rather than as a component of the Company's net income.
USE OF ESTIMATES - The preparation of financial statements in accordance
with statutory accounting practices 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 revenues and expenses during the
reporting period. Actual results could differ significantly from those
estimates.
INVESTMENTS - Bonds are generally stated at amortized cost. Premiums and
discounts on bonds not backed by other loans are amortized using the scientific
method. Premiums and discounts on loan-backed bonds and structured securities
are amortized using the retrospective method based on anticipated prepayments at
the date of purchase. Changes in estimated cash flows from the original purchase
assumptions are accounted for using the retrospective method. Preferred stocks
are stated at cost. Common stocks of unaffiliated companies are stated at
estimated fair value and stocks of affiliated companies (principally insurance
companies) are valued at the Company's equity in the underlying book value. The
change in the stated value is recorded as a change in net unrealized capital
gains (losses), a component of unassigned surplus, ignoring the effect of income
taxes.
Mortgage loans and policy loans are stated at the aggregate unpaid balance.
In accordance with statutory accounting practices, the Company records a general
reserve for losses on mortgage loans as part of the asset valuation reserve.
The home office properties, investment real estate, and electronic data
processing equipment are valued at cost, less accumulated depreciation. Property
acquired in satisfaction of debt is initially valued at the lower of cost or
estimated fair value. Depreciation is provided on the straight-line basis over
the estimated useful lives of the related assets.
Short-term investments include all investments whose maturities, at the time
of acquisition, are one year or less and are stated at cost which approximates
market.
24
<PAGE>
Investment income is recorded when earned. Realized gains and losses on the
sale or maturity of investments are determined on the specific identification
basis. Any portion of invested assets designated as "non-admitted" is excluded
from the statutory basis statements of admitted assets, liabilities and surplus.
ASSET VALUATION AND INTEREST MAINTENANCE RESERVES - The Company establishes
certain reserves as promulgated by the NAIC. The AVR is established for the
specific risk characteristics of invested assets of the Company. The IMR is
established for the realized gains and losses on the redemption of fixed income
securities resulting from changes in interest rates, net of tax. Gains and
losses pertaining to the IMR are subsequently amortized into investment income
over the expected remaining period to maturity of the investments sold or
called.
POLICY RESERVES - Policy reserves provide amounts adequate to discharge
estimated future obligations in excess of estimated future premiums on policies
in force. Reserves for life policies are computed principally by using the
Commissioners' Reserve Valuation Method ("CRVM") or the Net Level Premium Method
with assumed interest rates (2.5% to 6%) and mortality (American Experience,
1941 CSO, 1958 CSO, 1960 CSG and 1980 CSO tables) as prescribed by regulatory
authorities. Reserves for annuities and deposit administration contracts are
computed on the basis of interest rates ranging from 2.5% to 12.75%. Policy and
contract claim liabilities include provisions for reported claims and estimates
for claims incurred but not reported. To the extent the ultimate liability
differs from the amounts recorded, such differences are reflected in operations
when additional information becomes known.
PREMIUMS AND RELATED COMMISSIONS - Premiums are recognized as income over
the premium paying period of the policies. Commissions and other expenses
related to the acquisition of policies are charged to operations as incurred.
FEDERAL INCOME TAXES - The Company files a consolidated federal income tax
return with its parent and other eligible subsidiaries. The method of allocating
taxes among the companies is prescribed by a written agreement approved by the
Board of Directors. Each company's provision for federal income taxes is based
on a separate return calculation with each company recognizing tax benefits of
net operating losses and tax credits on a separate return basis.
The provision for federal income taxes is based on income which is currently
taxable. Deferred federal income taxes are not provided for temporary
differences between income tax and statutory reporting. The Company recognizes
the benefits of net operating loss, foreign tax and general business credit
carryforwards when realized.
NON-ADMITTED ASSETS - Certain assets designated as "non-admitted",
principally receivables greater than ninety days due and office furniture and
equipment, are excluded from the statutory basis statements of admitted assets,
liabilities, and surplus. The net change in such assets is charged or credited
to unassigned surplus.
FAIR VALUES OF FINANCIAL INSTRUMENTS - The following methods and assumptions
were used by the Company in estimating its fair value disclosures for financial
instruments:
CASH, SHORT-TERM INVESTMENTS AND OTHER INVESTED ASSETS - The carrying
amounts for these instruments approximate their fair values.
BONDS - The fair values for bonds are based on quoted market prices,
where available. For bonds not actively traded, fair values are estimated
using values obtained from independent pricing services and based on
expected future cash flows using a current market rate applicable to the
yield, credit quality and maturity of the investments.
UNAFFILIATED COMMON STOCKS - The fair values for unaffiliated common
stocks are based on quoted market prices.
AFFILIATED COMMON STOCK - The fair values of affiliated common stocks are
based on the Company's equity in the underlying book value.
PREFERRED STOCKS - The fair values for preferred stocks are based on
quoted market prices.
MORTGAGE LOANS - The fair values for mortgage loans are estimated using
discounted cash flow calculations which are based on interest rates
currently being offered for similar loans to borrowers with similar
credit ratings, credit quality, and maturity of the investments.
POLICY LOANS - The Company does not believe an estimate of the fair value
of policy loans can be made without incurring excessive cost. Policy
loans have no stated maturities and are usually repaid by reductions to
benefits and surrenders. Because of the numerous assumptions which would
have to be made to estimate fair value, the Company believes that such
information would not be meaningful.
25
<PAGE>
INVESTMENT CONTRACTS - The fair values for liabilities under
investment-type insurance contracts are estimated using discounted cash
flow calculations, which are based on interest rates currently being
offered for similar contracts with maturities consistent with those
remaining for the contracts being valued.
DERIVATIVES - The fair value of interest-rate swaps, foreign currency
swaps and interest-rate caps represents the amount at which the contracts
could be settled based upon estimates obtained from issuing brokers. The
fair value of equity-linked notes represents the appreciation of the
underlying debt security based upon the accumulative return of the
designated index.
DERIVATIVES - The Company invests in certain derivative financial
instruments to reduce exposure to interest-rate risks associated with assets
held or liabilities incurred. Derivative financial instruments utilized by the
Company include interest-rate swaps, interest-rate caps and equity-linked notes.
The Company does not engage in trading of these instruments.
Interest-rate swap transactions generally involve the exchange of fixed and
floating rate interest payment obligations without the exchange of the
underlying principal amount. Net settlement amounts are reported as adjustments
to net investment income on an accrual basis over the life of the swap
agreement. Gains and losses resulting from early termination of interest-rate
swaps used for hedging are deferred and amortized over the remaining period
originally covered by the swap. The Company enters into interest-rate swap
agreements to manage interest-rate exposure. The primary purpose for the
interest-rate swap agreements is to modify the interest-rate sensitivities of
certain investments so that they are highly correlated with the interest-rate
sensitivities of certain insurance liabilities.
Interest-rate caps represent a right to receive the excess of a referenced
interest rate over a given rate in exchange for the payment of a premium.
Premiums are amortized and recorded as an adjustment to net investment income
over the life of the investment using the effective interest method. The Company
uses interest-rate caps to more effectively manage interest-rate risk associated
with single premium deferred annuity contracts. This allows the Company to limit
the risk associated with an increase in interest rates.
Equity-linked notes are stated at amortized cost. These instruments pay
interest based on a very modest (or no) semi-annual or annual coupon rate and
pay at maturity all principal plus "contingent" interest based on a coupon rate
equal to the percentage increase in a designated index. If the index has
declined over the term of the note, no contingent interest is payable, but at
maturity all principal would nevertheless be payable. The designated index is
typically linked to the performance of a known stock index or basket of indices.
Interest income is accrued at the coupon rate while "contingent" interest is
recognized upon maturity. The Company uses equity-linked notes to more cost
effectively diversify its exposure to equity markets and as an asset replication
instrument to match the liabilities of certain group annuity contracts where the
customer seeks equity market participation. Equity-linked notes help reduce the
Company's exposure to fluctuations in equity instruments by linking a
substantial portion of their expected total return to certain market indices
while preserving the invested principal.
SEPARATE ACCOUNTS - The assets of the separate accounts shown in the
statutory basis statements of admitted assets are carried at fair value and
consist primarily of common stock, mutual funds and commercial paper held by the
Company for the benefit of certificate holders under specific individual and
group annuity contracts. Deposits received from, and benefits paid to, separate
account certificate holders are reflected in the statutory basis statements of
income, but are offset by transfers from the separate accounts. Net investment
income and realized capital gains and losses on the separate accounts are not
reflected in the statutory basis statements of income. Mortality, policy
administration and surrender charges to all separate accounts are included in
revenue.
RECLASSIFICATIONS - Certain reclassifications have been made to the prior
year amounts to conform with current year presentation with no changes to
unassigned surplus or net income.
26
<PAGE>
<TABLE>
<CAPTION>
2. INVESTMENTS
The cost or amortized cost, gross unrealized gains, gross unrealized losses
and estimated fair value of the Company's investment securities were as follows:
Cost or Gross Gross Estimated
Amortized Unrealized Unrealized Fair
Cost Gains Losses Value
At December 31, 1999:
<S> <C> <C> <C> <C>
U.S. Government $ 46,168,157 $ 457 $ 3,177,130 $ 42,991,484
Political subdivisions 8,901,869 29,232 153,840 8,777,261
Mortgage-backed securities 548,241,963 1,154,597 20,511,842 528,884,718
Special revenue 78,011,554 1,991,241 544,672 79,458,123
Public utilities 437,618,913 5,884,840 10,832,743 432,671,010
Industrial and
miscellaneous 5,314,640,630 86,295,749 162,461,206 5,238,475,173
Collateralized mortgage
obligations 1,143,743,612 12,587,089 21,602,019 1,134,728,682
Credit-tenant loans 192,017,120 1,909,775 5,299,337 188,627,558
------------- ----------- ----------- -------------
Total $ 7,769,343,818 $ 109,852,980 $ 224,582,789 $ 7,654,614,009
============= =========== =========== =============
Bonds $ 7,688,459,932
Short-term investments 80,883,886
-------------
$ 7,769,343,818
==============
Preferred stocks $ 0 $ 0 $ 0 $ 0
============= =========== =========== =============
Common stocks - unaffiliated $ 19,336 $ 9,964,664 $ 0 $ 9,984,000
============= =========== =========== =============
The amortized cost of bonds includes $1,687,273 of non-admitted assets
related to bonds that were in or near default.
27
<PAGE>
Cost or Gross Gross Estimated
Amortized Unrealized Unrealized Fair
Cost Gains Losses Value
At December 31, 1998:
U.S. Government $ 30,199,066 $ 2,299,673 $ 62,962 $ 32,435,777
Political subdivisions 10,549,019 301,829 20 10,850,828
Mortgage-backed securities 380,824,126 15,036,684 2,221,337 393,639,473
Special revenue 52,399,410 3,220,019 0 55,619,429
Public utilities 419,752,875 21,077,425 1,270,460 439,559,840
Industrial and miscellaneous 4,991,608,991 186,244,422 32,747,478 5,145,105,935
Collateralized mortgage
obligations 1,370,459,693 38,427,779 3,697,538 1,405,189,934
Credit-tenant loans 219,090,991 20,303,274 179,976 239,214,289
------------- ----------- ---------- -------------
Total $ 7,474,884,171 $ 286,911,105 $ 40,179,771 $ 7,721,615,505
============= =========== ========== =============
Bonds $ 7,257,722,248
Short-term investments 214,404,693
-------------
$ 7,472,126,941
=============
Preferred stocks $ 3,954,659 $ 2,036,021 $ 0 $ 5,990,680
========= ========= ======== ==========
Common stocks - unaffiliated $ 165,254 $ 13,722,869 $ 50,000 $ 13,838,123
========= ========= ======== ==========
</TABLE>
The amortized cost of bonds includes $4,504,881 of non-admitted assets
related to bonds that were in or near default.
The amortized cost and estimated fair value of debt securities at December
31, 1999, by contractual maturity, are shown below. Expected maturities will
differ from contractual maturities because borrowers may have the right to call
or prepay obligations with or without call or prepayment penalties.
<TABLE>
<CAPTION>
Amortized Estimated
Cost Fair Value
<S> <C> <C>
Due in one year or less $ 388,795,092 $ 388,940,177
Due after one year through five years 1,468,765,587 1,484,657,528
Due after five years through ten years 1,794,735,444 1,750,136,290
Due after ten years 2,425,062,120 2,367,266,614
------------- -------------
6,077,358,243 5,991,000,609
Collateralized mortgage obligations and mortgage backed
securities 1,691,985,575 1,663,613,400
------------- -------------
$ 7,769,343,818 $ 7,654,614,009
============= =============
</TABLE>
28
<PAGE>
<TABLE>
<CAPTION>
The sources of net investment income were as follows:
1999 1998 1997
<S> <C> <C> <C>
Bonds $544,343,674 $515,151,979 $501,101,332
Preferred stocks 87,536 299,096 398,794
Common stocks 161,075 145,600 448,589
Mortgage loans 49,565,958 52,305,094 70,469,627
Real estate 18,318,351 19,833,382 25,531,545
Policy loans 9,465,535 7,323,862 7,454,749
Short-term investments 7,990,378 4,961,823 4,657,874
Other (2,910,505) (1,969,054) (1,239,823)
----------- ----------- -----------
627,022,002 598,051,782 608,822,687
Investment expense (19,083,356) (22,067,317) (25,194,958)
Amortization of interest maintenance
reserve 4,102,560 3,291,603 3,852,844
----------- ----------- -----------
$612,041,206 $579,276,068 $587,480,573
=========== =========== ===========
Gross realized gains and losses from investment securities consist of the
following:
Net
Gross Gross Realized
Realized Realized Gains
Gains Losses (Losses)
Year ended December 31, 1999:
Bonds $ 5,963,118 $4,998,234 $ 964,884
Common stocks 112,286 1,716,877 (1,604,591)
Preferred stocks 1,975,380 0 1,975,380
Mortgage loans 2,313,158 0 2,313,158
Real estate 779,916 0 779,916
Other invested assets 19,800,435 647,740 19,152,695
----------- --------- -----------
$30,944,293 $7,362,851 23,581,442
========== =========
Capital gains tax (8,233,097)
Transfer to IMR (3,224,180)
----------
Net realized capital gains $12,124,165
==========
29
<PAGE>
Net
Gross Gross Realized
Realized Realized Gains
Gains Losses (Losses)
Year ended December 31, 1998:
Bonds $13,939,103 $ 239,888 $13,699,215
Common stocks 375,644 54,386 321,258
Mortgage loans 5,818,177 180,586 5,637,591
Real estate 4,248,433 697,886 3,550,547
Other 9,711,346 76,758 9,634,588
----------- ---------- -----------
$34,092,703 $1,249,504 32,843,199
========== =========
Capital gains tax (11,465,087)
Transfer to IMR (12,686,305)
----------
Net realized capital gains $ 8,691,807
=========
Net
Gross Gross Realized
Realized Realized Gains
Gains Losses (Losses)
Year ended December 31, 1997:
Bonds $ 8,303,767 $ 5,237,203 $ 3,066,564
Common stocks 64,382,938 4,130,324 60,252,614
Mortgage loans 1,519,891 5,317,698 (3,797,807)
Real estate 2,799,542 5,108,653 (2,309,111)
Derivative instruments 7,544 8,910,996 (8,903,452)
Other 24,572,499 48,747 24,523,752
----------- ----------- -----------
$101,586,181 $28,753,621 72,832,560
=========== ==========
Capital gains tax (25,411,492)
Transfer to IMR 4,116,371
-----------
Net realized capital gains $51,537,439
===========
</TABLE>
Proceeds from the sale of bonds were $321,474,524, $141,015,129 and
$265,701,061 during 1999, 1998 and 1997, respectively.
The Company invests in mortgage loans collateralized principally by
commercial real estate. The maximum and minimum lending rates for mortgage loans
during 1999 ranged from 6.4% to 9.6%. The maximum percentage of any one loan to
the value of security at the time the loan was originated, exclusive of insured,
guaranteed or purchase money mortgages, was 75%. The estimated fair value of the
mortgage loan portfolio was $652,163,412 and $645,961,540 at December 31, 1999
and 1998, respectively.
30
<PAGE>
The Company's mortgage loans finance various types of commercial properties
throughout the United States. The geographic distributions of the mortgage loans
at December 31, 1999 and 1998 were as follows:
1999 1998
Texas $ 76,057,533 $ 43,616,098
California 49,904,476 39,923,263
Florida 46,980,000 28,948,059
New York 40,206,436 17,553,448
Alabama 34,241,544 34,492,873
Nebraska 31,536,113 34,078,520
All other states 376,150,089 400,783,747
----------- -----------
$655,076,191 $599,396,008
=========== ===========
At December 31, 1999, the Company held non-performing loans of $441,432.
There were no restructured mortgage loans at December 31, 1999. There were no
non-performing or restructured mortgage loans at December 31, 1998.
Securities with an amortized cost of $5,417,960 and $5,493,285 were on
deposit with government agencies at December 31, 1999 and 1998, respectively, as
required by law in various jurisdictions in which the Company conducts business.
The Company has a securities lending program whereby securities are loaned
to third parties, primarily major brokerage firms. Company policy requires a
minimum of 102% of the fair value of the loaned securities to be separately
maintained as collateral for the loans. The collateral is recorded in memorandum
records and is not reflected in the accompanying statutory basis statements of
admitted assets, liabilities and surplus. To further minimize the credit risks
related to this lending program, the Company regularly monitors the financial
condition of counterparties to these agreements and also receives an
indemnification from the financial intermediary who structures the transactions.
The Company has commitments to fund bond investments of approximately
$27,155,005 as of December 31, 1999. The Company also has commitments to fund
mortgage loans of approximately $20,142,500 as of December 31, 1999. These
commitments are legally binding and have fixed expiration dates or other
termination clauses that may require a payment of a fee. In the event that the
financial condition of a borrower deteriorates materially, the commitment may be
terminated. Since some of the commitments may expire or terminate, the total
commitments do not necessarily represent future liquidity requirements.
3. DERIVATIVE FINANCIAL INSTRUMENTS
The following table summarizes the Company's derivative financial
instruments. Notional amounts are used on certain instruments to express the
volume of these transactions, but do not represent the much smaller amounts
potentially subject to credit risk.
<TABLE>
<CAPTION>
ESTIMATED
NOTIONAL STATEMENT FAIR YEAR(S) OF INTEREST RATE
Amount Value Value Maturity Paid Received
At December 31, 1999:
<S> <C> <C> <C> <C> <C> <C>
Interest-rate swaps $ 202,500,000 $ 0 $ 880,563 2002 - 2003 6.97 % 6.23 %
============== ==== =========
Interest-rate caps $ 685,000,000 $ 2,950,371 $ 3,484,314 2000 - 2004 0 0
============= =========== ===========
Equity-linked notes $ 101,000,000 $ 2,360,800 $ 89,887,364 2001 -2016 0 0
============= =========== ============
AT DECEMBER 31, 1998:
Interest-rate swaps $ 202,500,000 $ 0 $(9,712,510) 2002 - 2003 6.97 % 6.50 %
============== ==== =============
Interest-rate caps $ 600,000,000 $ 2,924,037 $ 632,846 2000 - 2003 0 0
============= =========== ==========
Equity-linked notes $ 101,000,000 $ 3,541,200 $ 62,670,541 2001 - 2016 0 0
============= =========== ===========
</TABLE>
31
<PAGE>
These derivative financial instruments involve, to varying degrees, elements
of credit and market risk which are not recognized in the statutory basis
statements of admitted assets, liabilities and surplus. Credit risk is defined
as the possibility that a loss may occur from the failure of another party to
perform in accordance with the terms of the contract which exceeds the value of
existing collateral, if any. Market risk is the possibility that future changes
in market conditions may make the derivative financial instrument less valuable.
The Company evaluates the risk associated with derivatives in much the same way
as the risks with on-balance sheet financial instruments. The derivative's risk
of credit loss is generally a small fraction of the notional value of the
instrument and is represented by the fair value of the derivative financial
instrument. The Company attempts to limit its credit risk by dealing with
creditworthy counterparties and obtaining collateral where appropriate.
The Company has considerable experience in evaluating and managing credit
risk. Each issuer or counterparty is extensively reviewed to evaluate its
financial stability before entering into each agreement and throughout the
period that the financial instrument is owned.
During 1997, the Company terminated two interest-rate swap transactions with
a combined notional amount of $200,000,000 at a cost of approximately
$8,900,000. This amount was charged to IMR in accordance with statutory
accounting practices. These swaps were replaced with four other interest-rate
swap agreements with a combined notional amount of $200,000,000. Terms of the
new interest-rate swaps allow for more frequent repricing of the variable rate
paid by the Company thereby reducing its exposure.
4. FEDERAL INCOME TAXES
The provision for federal income taxes reflects an effective income tax rate
which differs from the prevailing federal income tax rate primarily as a result
of income and expense recognition differences between statutory and income tax
reporting. The major differences include capitalization and amortization of
certain policy acquisition amounts for tax purposes, different methods for
determining statutory and tax insurance reserves, timing of the recognition of
market discounts on bonds and certain accrued expenses, and the acceleration of
depreciation for tax purposes.
The tax returns for 1993 through 1995 are currently under examination by the
Internal Revenue Service ("IRS"). Management believes the result of this
examination will have no material impact on the Company's statutory financial
statements.
Under federal income tax law in effect prior to 1984, the Company
accumulated approximately $31,615,000 of deferred taxable income which could
become subject to income taxes in the future under certain conditions.
Management believes the chance that those conditions will exist is not likely.
5. RETIREMENT BENEFITS
The Company participates with Mutual of Omaha and certain subsidiaries (the
"Companies") in a noncontributory defined benefit plan covering all United
States employees meeting certain minimum requirements. Retirement benefits are
based upon years of credited service and final average earnings history.
Information regarding accrued benefits and net assets has not been
determined on an individual company basis. The Company's allocation of salary
expense was approximately 31%, 28% and 30% of the total Companies' salary
expense in 1999, 1998 and 1997, respectively. The Companies expensed
contributions of $12,971,440, $10,254,308 and $7,972,335 in 1999, 1998 and 1997,
respectively. Total benefit costs were $26,101,000, $26,160,000 and $24,148,000
in 1999, 1998 and 1997, respectively. Plan assets include United of Omaha Life
Insurance Company guaranteed investment contracts of $291,281,000 and
$267,183,000 at December 31, 1999 and 1998, respectively. In 1998, the Companies
changed the plan's assumed annual investment return and, in order to improve the
funding status of the plan, increased the amount that was contributed for 1998.
At December 31, 1998, the Companies recorded a direct charge to surplus of
$37,540,647, which represented an additional contribution of $57,814,647, net of
tax. The Company's share of this contribution was $9,731,808, net of tax. The
valuation date for the pension benefit amounts in the table below is January 1,
1999.
The Companies also provide certain postretirement medical and life insurance
benefits to employees hired before January 1, 1995. Benefits are based on hire
date, age and years of service. The cost of these postretirement benefits is
allocated to the Companies in accordance with an intercompany cost-sharing
agreement. Plan assets are invested in a United of Omaha Life Insurance Company
investment contract. The Companies use the accrual method of accounting for
postretirement benefits and elected to amortize the original transition
obligation over 20 years. Employer contributions for other benefits were
$3,684,000, $2,709,000 and $2,600,000 during the years ended December 31, 1999,
1998 and 1997, respectively. Total benefit costs were $10,129,600, $9,853,410
and $11,602,000 in 1999, 1998 and 1997, respectively.
32
<PAGE>
<TABLE>
<CAPTION>
January 1, December 31,
Pension Benefits Other Benefits
---------------------- ---------------------
1999 1998 1999 1998
<S> <C> <C> <C> <C>
Benefit obligation $ 475,851,413 $ 445,896,799 $ 90,913,152 $ 88,227,132
Fair value of plan assets 458,944,992 389,955,899 9,564,322 5,641,539
----------- ----------- ---------- ----------
Funded status $ (16,906,421) $ (55,940,900) $(81,348,830) $(82,585,593)
=========== =========== ========== ============
Pension Benefits Other Benefits
----------------- ----------------
Weighted average assumptions 1999 1998 1999 1998
Discount rate 6.55 % 6.73 % 7.75 % 7.00 %
Expected return on plan assets 9.00 % 9.00 % N/A N/A
Rate of compensation increase 5.00 % 5.00 % N/A N/A
Health care cost trend rate N/A N/A 5.00 % 5.00 %
</TABLE>
The health care cost trend rate assumption has a significant effect on the
amounts reported. To illustrate, increasing the assumed health care cost trend
rate by one percentage point in each year would increase the Companies'
accumulated postretirement benefit obligation as of December 31, 1999 by
approximately $6,200,000 and the estimated eligibility and interest cost
components of the net periodic postretirement benefit costs for 1999 by
approximately $800,000.
The Companies sponsor various savings and investment plans. The expense for
defined contribution plans was $10,526,000, $6,472,000 and $14,817,000 in 1999,
1998 and 1997, respectively.
6. RELATED PARTY TRANSACTIONS
The home office properties are occupied jointly by the Company, Mutual of
Omaha and certain affiliates. Because of this relationship, the Companies incur
joint operating expenses subject to allocation. Management believes the method
of allocating such expenses is fair and reasonable.
The Company paid $302,133, $410,598 and $427,447 during 1999, 1998 and 1997,
respectively, to Kirkpatrick, Pettis, Smith, Polian, Inc., an affiliate, for
equity investment management services. In addition, the Company paid assignment
fees of $750 to MOSSCO-CT for the year ended December 31, 1999, $7,500 to
MOSSCO-CT for the year ended December 31, 1998, and $165,000 to MOSSCO-NY and
MOSSCO-CT for the year ended December 31, 1997.
Under the terms of a reinsurance treaty effected June 1, 1955, all health
and accident insurance written by the Company is ceded to Mutual of Omaha. The
operating results of certain lines of group health and accident and life
insurance are shared equally by the Company and Mutual of Omaha. The amounts
ceded were as follows:
<TABLE>
<CAPTION>
1999 1998
<S> <C> <C>
Aggregate reserve for policies and contracts $ 91,073,753 $84,042,215
========== ==========
Policy and contract claims $100,988,273 $98,669,575
=========== ==========
1999 1998 1997
Premium considerations $440,864,375 $387,138,546 $378,854,027
=========== =========== ===========
Policyholder and beneficiary benefits $370,484,415 $337,101,103 $286,033,083
=========== =========== ===========
Group reinsurance settlement expense
(included in operating expenses) $ 25,391,147 $ 18,777,060 $ 10,405,717
=========== =========== ===========
</TABLE>
33
<PAGE>
The Company also assumes group and individual life insurance from Companion.
The Company entered into a coinsurance treaty with Companion relating to bank
annuity business in which Companion cedes 90% of the 1999 and 1998 related
premiums to the Company and the Company pays 90% of the related benefits, in
1999 and 1998, respectively. The total amounts assumed by the Company relating
to the treaties with Companion were as follows:
1999 1998
Aggregate reserve for policies and contracts $67,290,793 $47,633,504
========== ==========
Policy and contract claims $ 2,740,908 $ 2,916,924
========== ==========
The amounts assumed by the Company from Companion and included in the
statutory statements of income were as follows:
1999 1998 1997
Premium considerations $23,134,359 $19,789,981 $31,343,629
========== ========== ==========
Policyholder and beneficiary benefits $ 7,951,294 $ 7,559,683 $ 3,570,731
========== ========== ==========
7. REINSURANCE
In the normal course of business, the Company assumes and cedes insurance
business. The ceding of insurance business does not discharge an insurer from
its primary legal liability to a policyholder. The Company remains liable to the
extent that a reinsurer is unable to meet its obligations.
The reconciliation of total premiums to net premiums is as follows:
1999 1998 1997
Direct $ 1,567,106,907 $ 1,460,515,466 $ 1,541,126,581
Assumed:
Affiliated 23,134,359 19,789,981 31,343,629
Nonaffiliates 32,345,121 26,437,129 23,548,361
Ceded:
Affiliated (440,864,375) (387,138,546) (378,854,027)
Nonaffiliated (41,677,802) (34,628,513) (30,060,923)
-------------- -------------- -------------
Net $ 1,140,044,210 $ 1,084,975,517 $ 1,187,103,621
============= ============= =============
8. CREDIT ARRANGEMENTS
The Company and Mutual of Omaha are authorized by their Boards of Directors
to borrow a maximum of $125,000,000 on a joint basis under certain lines of
credit. At December 31, 1999, the Company had no outstanding borrowings against
its uncommitted, uncollateralized revolving lines of credit. Interest rates
applicable to borrowings under these lines of credit are negotiated with the
lender at the time of borrowing.
9. COMMITMENTS AND CONTINGENCIES
Various lawsuits have arisen in the ordinary course of the Company's
business. The Company believes that its defenses are meritorious and the
eventual outcome of those lawsuits will not have a material effect on the
Company's financial position.
LEASES - The Company leases certain property to house Home Office operations
in Omaha, Nebraska, from its parent, Mutual of Omaha. The current lease expires
December 31, 2035.
34
<PAGE>
The Company and Mutual of Omaha rent office space, equipment and computer
software under noncancellable operating leases. Future required minimum rental
payments under those leases as of December 31, 1999 were approximately:
2000 $20,124,290
2001 14,722,563
2002 9,635,808
2003 5,475,019
2004 2,572,647
Thereafter 2,938,052
------------
Total $55,468,379
============
10. DEPOSIT FUNDS
The estimated fair value and statement value of guaranteed investment and
select maturity contracts were:
1999 1998
Estimated fair value $ 1,138,068,000 $ 1,346,065,000
============= =============
Statement value $ 1,406,712,000 $ 1,353,266,000
============= =============
The fair values of liabilities under all insurance contracts are taken into
consideration in the Company's overall management of interest-rate risk, which
minimizes exposure to changing interest rates through the matching of investment
maturities with amounts due under insurance contracts.
At December 31, 1999 and 1998, the Company held annuity reserves and deposit
fund liabilities of $2,472,653,621 and $1,877,116,893, respectively, that were
subject to discretionary withdrawal at book value with a surrender charge of
less than 5%.
11. STOCKHOLDER DIVIDENDS
Regulatory restrictions limit the amount of dividends available for
distribution without prior approval of regulatory authorities. The maximum
amount of dividends which can be paid to the stockholder without prior approval
of the Director of Insurance of the State of Nebraska is the greater of 10% of
the insurer's surplus as of the previous December 31 or net gain from operations
for the previous twelve month period ending December 31. Based upon these
restrictions, the Company is permitted a maximum dividend distribution of
$67,777,830 in 2000.
12. BUSINESS RISKS
The Company is subject to regulation by state insurance departments and
undergoes periodic examinations by those departments. The following is a
description of the most significant risks facing life and health insurers and
how the Company manages those risks:
LEGAL/REGULATORY RISK is the risk that changes in the legal or
regulatory environment in which an insurer operates will occur and create
additional costs or expenses not anticipated by the insurer in pricing
its products. The Company mitigates this risk by operating throughout the
United States, thus reducing its exposure to any single jurisdiction, and
by diversifying its products.
CREDIT RISK is the risk that issuers of securities owned by the
Company will default, or that other parties, including reinsurers which
owe the Company money, will not pay. The Company minimizes this risk by
adhering to a conservative investment strategy and by maintaining sound
reinsurance, credit and collection policies.
INTEREST-RATE RISK is the risk that interest rates will change and
cause a decrease in the value of an insurer's investments. The Company
mitigates this risk by attempting to match the maturity schedule of its
assets with the expected payouts of its liabilities. To the extent that
liabilities come due more quickly than assets mature, the Company may
have to sell assets prior to maturity and recognize a gain or loss.
35
<PAGE>
13. RECONCILIATION OF STATUTORY NET INCOME AND SURPLUS TO GAAP NET INCOME
AND EQUITY
As described in Note 1, the Company has prepared these financial statements
in conformity with statutory accounting practices prescribed or permitted by the
Insurance Department of the State of Nebraska. These practices differ from
generally accepted accounting principles (GAAP). The following tables reconcile
statutory net income to GAAP net income and statutory surplus to GAAP equity.
<TABLE>
<CAPTION>
1999 1998 1997
<S> <C> <C> <C>
Statutory net income as reported $ 54,972,953 $ 49,549,915 $ 93,422,436
Future policy benefits and policyholder
account balances 14,442,932 (36,682,957) (39,572,000)
Deferred policy acquisition costs 28,205,163 47,066,276 63,151,000
Deferred income taxes and other tax
reclassifications (6,785,000) 16,252,000 (4,793,000)
Valuation of investments 15,115,420 (118,976) 14,183,000
Earnings of subsidiaries 10,828,173 10,515,942 7,846,000
Other 2,983,278 7,916,496 (2,833,000)
----------- ---------- ------------
Net income in conformity with generally
accepted accounting principles $ 119,762,919 $ 94,498,696 $131,404,436
=========== =========== ===========
1999 1998
Statutory surplus $ 686,778,300 $ 619,605,749
Future policy benefits and policyholder
account balances (312,316,678) (325,783,497)
Deferred policy acquisition costs 845,530,005 774,559,624
Deferred income taxes (7,514,000) (130,475,000)
Valuation of investments (144,254,888) 261,236,362
Statutory asset valuation reserve 122,704,340 99,408,763
Subsidiary equity 25,350,012 36,681,569
Statutory interest maintenance reserve 27,418,733 28,297,114
Other (13,214,697) 5,138,810
------------ -----------
Equity in conformity with generally
accepted accounting principles $1,230,481,127 $1,368,669,494
============== =============
</TABLE>
14. CODIFICATION OF STATUTORY ACCOUNTING PRINCIPLES
In March 1998, the National Association of Insurance Commissioners adopted
the Codification of Statutory Accounting Principles ("Codification").
Codification, which is intended to standardize regulatory accounting and
reporting for the insurance industry, is proposed to be effective January 1,
2001. During 1999, the State of Nebraska adopted the Codification. The Company
has not finalized the quantification of the effects of Codification on its
statutory financial statements.
36
<PAGE>
UNITED OF OMAHA LIFE INSURANCE COMPANY
(A WHOLLY-OWNED SUBSIDIARY OF MUTUAL OF OMAHA INSURANCE COMPANY)
ANNUAL STATEMENT FOR THE YEAR ENDED DECEMBER 31, 1999
SCHEDULE 1 - SELECTED FINANCIAL DATA
- --------------------------------------------------------------------------------
Investment income earned:
U.S. Government bonds $ 2,888,604
Other bonds (unaffiliated) 541,455,069
Bonds (affiliated) 0
Preferred stocks (unaffiliated) 87,536
Preferred stocks (affiliated) 0
Common stocks (unaffiliated) 161,075
Common stocks (affiliated) 0
Mortgage loans 49,565,958
Real estate 18,318,351
Premium notes, policy loans and liens 9,465,535
Collateral loans 0
Cash on hand and on deposit 0
Short-term investments 7,990,378
Other invested assets 783,375
Derivative instruments (4,223,126)
Aggregate write-ins for investment income 529,247
-------
Gross investment income $627,022,002
============
Real estate owned - book value less encumbrances $ 84,198,631
============
Mortgage loans - book value:
Farm mortgages $ 0
Residential mortgages 0
Commercial mortgages 655,076,191
-----------
Total mortgage loans $655,076,191
============
Mortgage loans by standing - book value:
Good standing $654,634,759
============
Good standing with restructured terms $ 0
===
Interest overdue more than three months, not in foreclosure $ 441,432
=========
Foreclosure in process $ 0
===
Other long-term assets - statement value $114,018,939
============
Collateral loans $ 0
===
37
<PAGE>
UNITED OF OMAHA LIFE INSURANCE COMPANY
(A WHOLLY-OWNED SUBSIDIARY OF MUTUAL OF OMAHA INSURANCE COMPANY)
ANNUAL STATEMENT FOR THE YEAR ENDED DECEMBER 31, 1999
SCHEDULE 1 - SELECTED FINANCIAL DATA (CONTINUED)
- --------------------------------------------------------------------------------
Bonds and stocks of subsidiaries and affiliates - book value:
Bonds $ 0
===
Preferred stocks $ 0
===
Common stocks $ 66,086,000
============
Bonds and short-term investments by class and
expected maturity; Bonds by
expected maturity - statement value:
Due within one year or less $ 955,764,084
Over 1 year and through 5 years 3,069,851,220
Over 5 years through 10 years 2,270,225,205
Over 10 years through 20 years 1,132,674,991
Over 20 years 339,141,045
-----------
Total by maturity 7,767,656,545
==============
Bonds by class - statement value:
Class 1 4,277,993,415
Class 2 3,054,217,918
Class 3 333,664,012
Class 4 97,251,871
Class 5 3,844,571
Class 6 684,758
-------
Total by class 7,767,656,545
==============
Total bonds publicly traded 3,475,922,697
==============
Total bonds privately placed 4,291,733,848
==============
Preferred stocks - statement value $ 0
===
Common stocks - market value $ 105,772,706
=============
Short-term investments - book value $ 80,883,886
============
Options, caps and floors owned - statement value $ 5,311,171
===========
Options, caps and floors written and in force - statement value $ 0
===
Collar, swap and forward agreements open - statement value $ 0
===
Futures contracts open - current value $ 0
===
Cash on deposit $ (1,991,317)
=============
38
<PAGE>
UNITED OF OMAHA LIFE INSURANCE COMPANY
(A WHOLLY-OWNED SUBSIDIARY OF MUTUAL OF OMAHA INSURANCE COMPANY)
ANNUAL STATEMENT FOR THE YEAR ENDED DECEMBER 31, 1999
SCHEDULE 1 - SELECTED FINANCIAL DATA (CONTINUED)
- --------------------------------------------------------------------------------
Life insurance in force (in thousands):
Industrial $ 0
===
Ordinary $ 58,020,660
============
Credit life $ 411
=====
Group life $ 65,721,874
============
Amount of accidental death insurance in force
under ordinary policies (in thousands) $ 2,582,244
===========
Life insurance policies with disability provisions
in force (in thousands):
Industrial $ 0
===
Ordinary $ 9,283,592
===========
Credit life $ 0
===
Group life $ 37,209,356
============
Supplementary contracts in force: Ordinary -
not involving life contingencies:
Amount on deposit $ 16,935,580
============
Income payable $ 3,174,827
===========
Ordinary - involving life contingencies - income payable $ 1,521,854
===========
Group - not involving life contingencies:
Amount on deposit $ 0
===
Income payable $ 0
===
Group - involving life contingencies - income payable $ 0
===
Annuities:
Ordinary:
Immediate - amount of income payable $ 44,488,735
============
Deferred - fully paid - account balance $ 2,506,338,292
===============
Deferred - not fully paid - account balance $ 437,543,222
=============
39
<PAGE>
UNITED OF OMAHA LIFE INSURANCE COMPANY
(A WHOLLY-OWNED SUBSIDIARY OF MUTUAL OF OMAHA INSURANCE COMPANY)
ANNUAL STATEMENT FOR THE YEAR ENDED DECEMBER 31, 1999
SCHEDULE 1 - SELECTED FINANCIAL DATA (CONTINUED)
- --------------------------------------------------------------------------------
Group:
Amount of income payable $ 169,310,272
=============
Fully paid - account balance $ 108,056,340
=============
Not fully paid - account balance $ 0
===
Accident and health insurance - premiums in force:
Ordinary $ 147,887
=========
Group $ 540,489,071
=============
Credit $ 0
===
Deposit funds and dividend accumulations:
Deposit funds - account balance $ 2,900,133,519
===============
Dividend accumulations - account balance $ 51,107
========
Claim payments 1999:
Group accident and health - year ended December 31, 1999:
1999 $ 0
===
1998 $ 0
===
1997 $ 0
===
1996 $ 0
===
1995 $ 0
===
Prior $ 0
===
40
<PAGE>
UNITED OF OMAHA LIFE INSURANCE COMPANY
(A WHOLLY-OWNED SUBSIDIARY OF MUTUAL OF OMAHA INSURANCE COMPANY)
ANNUAL STATEMENT FOR THE YEAR ENDED DECEMBER 31, 1999
SCHEDULE 1 - SELECTED FINANCIAL DATA (CONTINUED)
- --------------------------------------------------------------------------------
Claim payments 1999:
Other accident and health:
1999 $ 0
===
1998 $ 0
===
1997 $ 0
===
1996 $ 0
===
1995 $ 0
===
Prior $ 0
===
Other coverages that use developmental methods to calculate claim reserves:
1999 $ 1,018
=======
1998 $ 916
=====
1997 $ 611
=====
1996 $ 0
===
1995 $ 0
===
Prior $ 0
===
41
<PAGE>
UNITED OF OMAHA
SEPARATE ACCOUNT C
FINANCIAL STATEMENTS AND
INDEPENDENT AUDITORS' REPORT AS OF
DECEMBER 31, 1999 AND FOR THE YEARS
ENDED DECEMBER 31, 1999 AND 1998
42
<PAGE>
INDEPENDENT AUDITORS' REPORT
To the Board of Directors
United of Omaha Life Insurance Company
We have audited the accompanying statement of net assets of each of the
sub-accounts ("portfolios" that include American Growth, American Small
Capitalization, Prime Money Fund II, U.S. Government Securities II, Asset
Manager, Asset Manager: Growth, Contrafund, Equity Income (Fidelity), Growth,
Index 500, Capital Opportunities, Emerging Growth, Global Governments, High
Income, Research, Emerging Markets Equity, Fixed Income, Capital Growth, Real
Estate Growth, Bond, Global Discovery, Growth & Income, Money Market,
International (Scudder), Equity Income (T. Rowe Price), International Stock,
Limited-Term Bond, New America Growth and Personal Strategy Balanced) that
comprise United of Omaha Separate Account C (the "Separate Account") as of
December 31, 1999, and the related statements of operations and changes in net
assets for the years ended December 31, 1999 and 1998. These financial
statements are the responsibility of the Company's management. Our
responsibility is to express an opinion on these financial statements based on
our audits.
We conducted our audits in accordance with generally accepted auditing
standards. Those standards require that we plan and perform the audits to obtain
reasonable assurance about whether the financial statements 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, 1999 by correspondence with
the transfer agents. 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 referred to above present fairly, in
all material respects, the financial position of each of the respective
portfolios constituting the Separate Account as of December 31, 1999, and the
results of their operations and changes in their net assets for the years ended
December 31, 1999 and 1998 in conformity with generally accepted accounting
principles.
/s/ DELOITTE & TOUCHE LLP
Omaha, Nebraska
March 31, 2000
43
<PAGE>
<TABLE>
<CAPTION>
UNITED OF OMAHA SEPARATE ACCOUNT C
STATEMENT OF NET ASSETS
DECEMBER 31, 1999
- ---------------------------------------------------------------------------------------------------
Market
Units Market Value
ASSETS Cost Outstanding Value per Unit
Investments:
Alger:
<S> <C> <C> <C> <C>
American Growth $ 51,734,990 2,449,006 $ 74,650,753 $ 30.48
American Small Capitalization 35,683,606 2,185,680 47,845,738 21.89
Federated:
Prime Money Fund II 60,045,795 51,447,904 60,219,917 1.17
U.S. Government Securities II 29,123,256 2,385,800 29,002,468 12.16
Fidelity:
Asset Manager 583,808 36,652 684,390 18.67
Asset Manager: Growth 45,365,740 2,682,326 57,747,743 21.53
Contrafund 56,842,852 3,297,195 87,727,414 26.61
Equity Income 68,962,787 4,232,981 79,103,997 18.69
Growth 1,051,323 39,917 1,424,604 35.69
Index 500 48,827,439 3,448,542 61,314,022 17.78
MFS:
Capital Opportunities 23,488,722 1,589,008 34,989,297 22.02
Emerging Growth 49,012,611 2,860,288 106,797,471 37.34
Global Governments 16,052,148 1,485,152 15,670,360 10.55
High Income 27,403,753 2,062,583 27,487,503 13.33
Research 38,749,295 2,438,674 56,842,707 23.31
Morgan Stanley Dean Witter:
Emerging Markets Equity 1,014,749 107,744 1,414,880 13.13
Fixed Income 1,830,977 170,627 1,734,240 10.16
Pioneer:
Capital Growth 7,986,502 649,244 8,017,720 12.35
Real Estate Growth 8,848,069 773,039 7,127,459 9.22
Scudder:
Bond 295,290 21,626 281,438 13.01
Global Discovery 4,257,047 302,927 6,503,532 21.47
Growth & Income 14,084,592 1,019,652 13,490,316 13.23
Money Market 239,297 195,617 239,316 1.22
International 37,713,248 2,344,482 53,416,405 22.78
T. Rowe Price:
Equity Income 72,205,142 4,058,263 76,252,217 18.79
International Stock 39,096,522 2,915,312 52,861,556 18.13
Limited-Term Bond 35,788,640 2,961,717 34,645,511 11.70
New America Growth 32,297,450 1,778,300 42,385,714 23.83
Personal Strategy Balanced 46,233,478 2,855,213 50,728,354 17.77
----------- -----------
Total invested assets $ 854,819,128 $ 1,090,607,042
============== ===============
LIABILITIES $ - $ -
---- ---
Net assets $ 854,819,128 $ 1,090,607,042
============== ===============
The accompanying notes are an integral part of these financial statements.
</TABLE>
44
<PAGE>
<TABLE>
<CAPTION>
UNITED OF OMAHA SEPARATE ACCOUNT C
STATEMENTS OF OPERATIONS AND CHANGES IN NET ASSETS
FOR THE YEARS ENDED DECEMBER 31, 1999 AND 1998
- ---------------------------------------------------------------------------------------------------
Alger Federated
------------------------------------------------ -------------------------
American American Prime Money
Growth Small Capitalization Fund II
----------------------- ----------------------- -------------------------
1999 1998 1999 1998 1999 1998
<S> <C> <C> <C> <C> <C> <C>
Income:
Investment income:
Reinvested dividends and
capital gain
distributions $5,530,832 $ 5,897,690 $ 4,300,844 $ 3,823,721 $ 2,325,388 $ 1,451,901
Expenses:
Mortality and expense
risk charges 726,305 460,057 444,473 347,043 570,568 366,184
-------- -------- -------- -------- -------- -------
Net investment
income
(expense) 4,804,527 5,437,633 3,856,371 3,476,678 1,754,820 1,085,717
Net realized gains
(losses) 2,243,216 1,971,427 184,639 (255,903) - -
Net change in unrealized
gains (losses) 10,206,081 7,452,117 9,931,186 829,458 - -
----------- ---------- ---------- -------- -- --
Net increase (decrease) in
net assets from
operations 17,253,824 14,861,177 13,972,196 4,050,233 1,754,820 1,085,717
Purchases made by
policyowners 13,193,891 9,530,357 4,440,009 4,518,346 108,884,735 86,150,077
Withdrawals made by
policyowners (4,532,126) (6,812,535) (3,798,301) (3,014,435) (89,526,996)(69,514,719)
----------- ---------- ----------- ------------ ------------ -----------
Net policyowner
transactions 8,661,765 2,717,822 641,708 1,503,911 19,357,739 16,635,358
---------- ---------- -------- ---------- ----------- ----------
Increase (decrease) in
net assets 25,915,589 17,578,999 14,613,904 5,554,144 21,112,559 17,721,075
Net assets, beginning of
year 48,735,164 31,156,165 33,231,834 27,677,690 39,107,358 21,386,283
----------- ----------- ----------- ----------- ----------- ----------
Net assets, end
of year $74,650,753 $48,735,164 $47,845,738 $33,231,834 $ 60,219,917 $39,107,358
========== ============ =========== ============ ============ ============
Accumulation unit:
Purchases 572,950 522,470 295,730 345,456 97,743,427 77,323,685
Withdrawals (188,870) (376,025) (248,285) (228,697) (80,710,900)(62,393,332)
--------- ---------- ---------- --------- -----------------------
Net increase (decrease) in
units outstanding 384,080 146,445 47,445 116,759 17,032,527 14,930,353
Units outstanding,
beginning of year 2,064,926 1,918,481 2,138,235 2,021,476 34,415,377 19,485,024
---------- ---------- ---------- ---------- ----------- ----------
Units outstanding, end
of year 2,449,006 2,064,926 2,185,680 2,138,235 51,447,904 34,415,377
========== ========== ========== ========== =========== ==========
The accompanying notes are an integral part of these financial statements.
45
<PAGE>
Fidelity
- ------------------------- ----------------------------------------------------------------------
U.S. Government Asset Asset Manager:
Securities II Manager Growth Contrafund
- ------------------------- ------------------- ----------------------- -----------------------
1999 1998 1999 1998 1999 1998 1999 1998
$ 1,386,713 $ 407,214 $ 48,763 $ 81,607 $ 3,485,423 $ 5,406,960 $ 2,887,608$ 3,089,619
356,923 334,326 9,219 9,085 669,434 607,791 929,971 710,977
-------- -------- ------ ------ -------- -------- -------- -------
1,029,790 72,888 39,544 72,522 2,815,989 4,799,169 1,957,637 2,378,642
381,973 696,005 6,757 14,474 2,081,653 870,446 3,393,824 1,456,092
(1,964,520) 941,440 12,859 (5,205) 2,324,333 1,704,498 10,854,759 11,277,313
------------ -------- ------- -------- ---------- ---------- ----------- ----------
(552,757) 1,710,333 59,160 81,791 7,221,975 7,374,113 16,206,220 15,112,047
4,852,194 14,895,491 17,585 23,896 2,731,354 5,710,428 8,613,937 8,442,500
(6,146,409) (7,058,231) (44,853) (92,144) (7,063,950) (3,578,049) (7,075,286)(5,208,496)
----------- ----------- --------- --------- ----------- ----------- ----------- -----------
(1,294,215) 7,837,260 (27,268) (68,248) (4,332,596) 2,132,379 1,538,651 3,234,004
----------- ----------- -------- --------- ----------- --------- ---------- ---------
(1,846,972) 9,547,593 31,892 13,543 2,889,379 9,506,492 17,744,871 18,346,051
30,849,440 21,301,847 652,498 638,955 54,858,364 45,351,872 69,982,543 51,636,492
----------- ----------- -------- -------- ----------- ----------- ----------- ----------
$29,002,468 $30,849,440 $684,390 $652,498 $57,747,743 $54,858,364 $87,727,414 69,982,543
============ ============ ======== ========= =========== =========== =========== ==========
414,270 1,254,460 976 1,525 177,473 358,922 447,757 477,393
(516,162) (591,558) (2,602) (5,769) (370,738) (231,851) (323,860) (296,210)
---------- ---------- -------- -------- ---------- ---------- ---------- ---------
(101,892) 662,902 (1,626) (4,244) (193,265) 127,071 123,897 181,183
2,487,692 1,824,790 38,278 42,522 2,875,591 2,748,520 3,173,298 2,992,115
---------- ---------- ------- ------- ---------- ---------- ---------- ---------
2,385,800 2,487,692 36,652 38,278 2,682,326 2,875,591 3,297,195 3,173,298
========== ========== ======= ======= ========== ========== ========== =========
</TABLE>
46
<PAGE>
<TABLE>
<CAPTION>
UNITED OF OMAHA SEPARATE ACCOUNT C
STATEMENTS OF OPERATIONS AND CHANGES IN NET ASSETS
FOR THE YEARS ENDED DECEMBER 31, 1999 AND 1998 (Continued)
- ---------------------------------------------------------------------------------------------------
Fidelity (continued)
------------------------------------------------------------------------
Equity Income Growth Index 500
----------------------- ---------------------- -----------------------
1999 1998 1999 1998 1999 1998
<S> <C> <C> <C> <C> <C> <C>
Income:
Investment income:
Reinvested dividends and
capital gain
distributions $3,484,880 $ 3,813,349 $ 142,681 $ 134,152 $ 597,576 $ 475,145
Expenses:
Mortality and expense
risk charges 953,450 796,919 18,153 14,853 584,535 244,317
-------- -------- ------- ------- -------- -------
Net investment
income
(expense) 2,531,430 3,016,430 124,528 119,299 13,041 230,828
Net realized gains (losses) 1,720,983 1,100,664 207,807 38,962 905,876 305,227
Net change in unrealized
gains (losses) (600,778) 2,139,634 52,183 204,637 7,615,261 4,337,279
--------- ---------- ------- -------- ---------- ---------
Net increase (decrease) in
net assets from operations 3,651,635 6,256,728 384,518 362,898 8,534,178 4,873,334
Purchases made by
policyowners 10,078,467 13,239,127 435,940 272,659 22,630,890 19,839,175
Withdrawals made by
policyowners (6,618,092) (5,968,305) (652,526) (324,590) (2,871,947) (2,204,768)
---------- ------------ ---------- ---------- ---------- ------------
Net policyowner
transactions 3,460,375 7,270,822 (216,586) (51,931) 19,758,943 17,634,407
---------- ---------- ---------- --------- ---------- ----------
Increase (decrease) in
net assets 7,112,010 13,527,550 167,932 310,967 28,293,121 22,507,741
Net assets, beginning of
year 71,991,987 58,464,437 1,256,672 945,705 33,020,901 10,513,160
----------- ----------- ---------- -------- ----------- ----------
Net assets, end of year $79,103,997 $71,991,987 $1,424,604 $1,256,672 $61,314,022 33,020,901
=========== ============ ========== =========== =========== ==========
Accumulation unit:
Purchases 627,088 851,493 14,529 12,597 1,490,382 1,509,239
Withdrawals (390,542) (383,154) (22,330) (14,262) (210,332) (189,464)
---------- ---------- --------- --------- ---------- ---------
Net increase (decrease) in
units outstanding 236,546 468,339 (7,801) (1,665) 1,280,050 1,319,775
Units outstanding,
beginning of year 3,996,435 3,528,096 47,718 49,383 2,168,492 848,717
---------- ---------- ------- ------- ---------- -------
Units outstanding, end
of year 4,232,981 3,996,435 39,917 47,718 3,448,542 2,168,492
========== ========== ======= ======= ========== =========
The accompanying notes are an integral part of these financial statements.
47
<PAGE>
MFS
- --------------------------------------------------------------------------------------------------------------------------
Capital Emerging Global High
Opportunities Growth Governments Income Research
- --------------------- --------------------------- ----------------------- ----------------------- -----------------------
1999 1998 1999 1998 1999 1998 1999 1998 1999 1998
$ 66,931 $ 34,126 $ - $ 489,487 $ 861,319 $ 179,273 $ 1,690,567 $ 1,714,934 $ 667,353 $ 1,077,367
288,480 119,210 874,802 678,228 190,155 181,446 311,397 295,312 635,281 582,668
-------- -------- -------- -------- -------- -------- -------- -------- -------- -------
(221,549) (85,084) (874,802) (188,741) 671,164 (2,173) 1,379,170 1,419,622 32,072 494,699
541,338 49,710 5,850,262 4,564,396 66,612 103,089 (1,022,376) 479,122 4,304,401 2,087,913
9,606,220 2,151,845 41,118,570 11,325,013 (1,323,133) 895,000 991,427 (1,990,063) 6,423,949 6,571,348
---------- ---------- ----------- ----------- ------------ -------- -------- ------------ ---------- ---------
9,926,009 2,116,471 46,094,030 15,700,668 (585,357) 995,916 1,348,221 (91,319) 10,760,422 9,153,960
9,883,061 11,602,172 6,783,296 24,074,623 2,367,677 3,184,647 20,934,824 25,681,655 4,187,672 10,044,190
(1,841,770) (318,230) (12,314,536)(20,466,865) (1,943,382)(1,746,557) (20,294,051)(22,507,105)(11,981,358)(6,476,665)
------------ -------- ------------- ------------ ---------- ----------- ----------- ------------ ----------- ----------
8,041,291 11,283,942 (5,531,240) 3,607,758 424,295 1,438,090 640,773 3,174,550 (7,793,686)3,567,525
---------- ----------- ----------- ---------- -------- ---------- -------- ---------- --------------------
17,967,300 13,400,413 40,562,790 19,308,426 (161,062) 2,434,006 1,988,994 3,083,231 2,966,736 12,721,485
17,021,997 3,621,584 66,234,681 46,926,255 15,831,422 13,397,416 25,498,509 22,415,278 53,875,971 41,154,486
----------- ---------- ----------- ----------- ----------- ----------- ----------- ----------- ----------- ----------
$ 34,989,297 $ 17,021,997 $106,797,471 $66,234,681 $15,670,360 $15,831,422 $27,487,503 $25,498,509 $56,842,707 $53,875,971
============ ============= =========== =========== ============ =========== =========== =========== =========== ==========
596,937 857,379 293,704 1,345,849 231,787 315,249 1,606,829 1,964,939 242,371 540,416
(125,793) (31,712) (517,588) (1,152,483) (191,430) (173,297) (1,546,950)(1,691,870) (614,826) (338,022)
---------- --------- --------- ------------ ---------- ---------- ----------- ----------- ---------- ---------
471,144 825,667 (223,884) 193,366 40,357 141,952 59,879 273,069 (372,455) 202,394
1,117,864 292,197 3,084,172 2,890,806 1,444,795 1,302,843 2,002,704 1,729,635 2,811,129 2,608,735
---------- -------- ---------- ---------- ---------- ---------- ---------- ---------- ---------- ---------
1,589,008 1,117,864 2,860,288 3,084,172 1,485,152 1,444,795 2,062,583 2,002,704 2,438,674 2,811,129
========== ========== ========== ========== ========== ========== ========== ========== ========== =========
</TABLE>
48
<PAGE>
<TABLE>
<CAPTION>
UNITED OF OMAHA SEPARATE ACCOUNT C
STATEMENTS OF OPERATIONS AND CHANGES IN NET ASSETS
FOR THE YEARS ENDED DECEMBER 31, 1999 AND 1998 (Continued)
- ----------------------------------------------------------------------------------------------------------------
Morgan Stanley Dean Witter Pioneer
------------------------------------------ ---------------------------------------------
Emerging Markets Fixed Capital Real Estate
Equity Income Growth Growth
-------------------- -------------------- ---------------------- -------------------------
1999 1998 1999 1998 1999 1998 1999 1998
<S> <C> <C> <C> <C> <C> <C> <C> <C>
Income:
Investment income:
Reinvested dividends and
capital
gain distributions $105 $ 531 $ 79,814 $ 34,976 $ 68,141 $ 501,544 $ 437,196 $ 298,938
Expenses:
Mortality and expense
risk charges 6,421 425 19,465 2,619 96,863 83,985 81,863 72,153
------ ---- ------- ------ ------- ------- ------- - -----
Net investment
income
(expense) (6,316) 106 60,349 32,357 (28,722) 417,559 355,333 226,785
Net realized gains
(losses) 60,496 (2,895) (27,552) 1,380 (95,435) (5,064) (314,427) (29,215)
Net change in unrealized
gains (losses) 395,932 4,199 (78,482) (18,255) 992,728 (1,004,636) (419,533)(1,537,728)
-------- ------ ------- --------- -------- ------------ --------- -----------
Net increase (decrease) in
net assets from
operations 450,112 1,410 (45,685) 15,482 868,571 (592,141) (378,627)(1,340,158)
Purchases made by
policyowners 1,091,719 109,733 1,767,199 867,518 882,944 4,528,117 2,113,462 4,652,337
Withdrawals made by
policyowners (229,968) (8,126) (828,717) (41,557) (1,750,957) (432,785) (966,398) (2,194,334)
---------- -------- ------------------- ------------ ---------- --------- -----------
Net policyowner
transactions 861,751 101,607 938,482 825,961 (868,013) 4,095,332 1,147,064 2,458,003
-------- -------- -------- -------- ---------- --------- ---------- ---------
Increase (decrease) in
net assets 1,311,863 103,017 892,797 841,443 558 3,503,191 768,437 1,117,845
Net assets, beginning of
year 103,017 - 841,443 - 8,017,162 4,513,971 6,359,022 5,241,177
-------- -- -------- -- ---------- ---------- ---------- ---------
Net assets, end
of year $1,414,880 $103,017 $1,734,240 $841,443 $8,017,720 8,017,162 $7,127,459 $6,359,022
========== ========= ========== ========= =========== =========== ========= ===========
Accumulation unit:
Purchases 117,757 15,973 171,274 85,024 81,586 378,915 231,879 421,925
Withdrawals (24,726) (1,260) (81,484) (4,187) (155,031) (40,182) (109,544) (199,793)
--------- -------- --------- -------- ---------- --------- --------- ---------
Net increase (decrease) in
units outstanding 93,031 14,713 89,790 80,837 (73,445) 338,733 122,335 222,132
Units outstanding,
beginning of year 14,713 - 80,837 - 722,689 383,956 650,704 428,572
------- -- ------- -- -------- -------- -------- -------
Units outstanding, end
of year 107,744 14,713 170,627 80,837 649,244 722,689 773,039 650,704
======== ======= ======== ======= ======== ======== ======== =======
The accompanying notes are an integral part of these financial statements.
49
<PAGE>
- --------------------------------------------------------------------------------------------
Scudder
- --------------------------------------------------------------------------------------------
Global Growth & Money
Bond Discovery Income Market
- --------------------- --------------------- ----------------------- --------------------
1999 1998 1999 1998 1999 1998 1999 1998
$ 15,176 $ 24,094 $ 36,736 $ 65,852 $1,153,628 $ 799,685 $ 11,862 $ 7,255
4,559 5,317 48,432 39,278 167,247 142,819 3,426 1,955
------ ------ ------- ------- -------- -------- ------ -----
10,617 18,777 (11,696) 26,574 986,381 656,866 8,436 5,300
3,996 2,489 327,096 68,569 (11,082) 65,051 - -
(22,075) (3,266) 1,974,754 251,048 (360,096) (504,207) - -
--------- -------- ---------- -------- ---------- ---------- -- --
(7,462) 18,000 2,290,154 346,191 615,203 217,710 8,436 5,300
39,715 239,999 2,000,755 2,066,128 1,680,074 8,142,779 680,385 654,064
(222,456) (110,837) (1,731,158) (696,644) (2,534,946) (1,476,579) (563,085) (664,205)
--------- --------- ---------- ------------ ----------- ----------- ---------- ---------
(182,741) 129,162 269,597 1,369,484 (854,872) 6,666,200 117,300 (10,141)
------------------ -------- ---------- -------------------- -------- --------
(190,203) 147,162 2,559,751 1,715,675 (239,669) 6,883,910 125,736 (4,841)
471,641 324,479 3,943,781 2,228,106 13,729,985 6,846,075 113,580 118,421
-------- -------- ---------- ---------- ----------- ---------- -------- -------
$281,438 $471,641 $6,503,532 $3,943,781 $13,490,316 13,729,985 $ 239,316 $ 113,580
========= ========= ========== =========== =========== =========== ========= ==========
3,071 18,429 126,988 167,565 142,434 641,880 567,340 562,756
(16,841) (8,626) (124,061) (61,675) (198,688) (127,568) (467,837) (570,692)
--------- -------- ---------- --------- ---------- ---------- --------- ---------
(13,770) 9,803 2,927 105,890 (56,254) 514,312 99,503 (7,936)
35,396 25,593 300,000 194,110 1,075,906 561,594 96,114 104,050
------- ------- -------- -------- ---------- -------- ------- -------
21,626 35,396 302,927 300,000 1,019,652 1,075,906 195,617 96,114
======= ======= ======== ======== ========== ========== ======== ======
</TABLE>
50
<PAGE>
<TABLE>
<CAPTION>
UNITED OF OMAHA SEPARATE ACCOUNT C
STATEMENTS OF OPERATIONS AND CHANGES IN NET ASSETS
FOR THE YEARS ENDED DECEMBER 31, 1999 AND 1998 (Continued)
- -------------------------------------------------------------------------------------------------------------
Scudder (continued) T. Rowe Price
----------------------- ---------------------------------------------------
Equity International
International Income Stock
----------------------- ------------------------ -------------------------
1999 1998 1999 1998 1999 1998
<S> <C> <C> <C> <C> <C> <C>
Income:
Investment income:
Reinvested dividends and
capital gain distributions $3,786,673 $4,144,357 $ 4,878,975 $ 4,108,447 $ 782,580 $ 652,192
Expenses:
Mortality and expense
risk charges 494,220 417,876 991,084 931,829 528,197 479,501
-------- -------- -------- -------- -------- -------
Net investment
income (expense) 3,292,453 3,726,481 3,887,891 3,176,618 254,383 172,691
Net realized gains (losses) 1,384,984 1,053,943 4,416,430 2,008,143 2,577,767 1,357,082
Net change in unrealized
gains (losses) 13,980,163 (22,111) (6,038,020) 271,262 10,048,430 3,646,882
----------- --------- ------------ -------- ----------- ---------
Net increase (decrease) in
net assets from operations 18,657,600 4,758,313 2,266,301 5,456,023 12,880,580 5,176,655
Purchases made by
policyowners 18,425,569 11,056,886 5,501,762 15,786,635 17,507,231 11,544,542
Withdrawals made by
policyowners (20,874,728) (9,708,314) (14,022,457) (6,417,042) (19,411,903)(10,255,941)
------------ ----------- ------------ ---------- ------------- -----------
Net policyowner
transactions (2,449,159) 1,348,572 (8,520,695) 9,369,593 (1,904,672) 1,288,601
----------- ----------- --------- ----------- ---------- -----------
Increase (decrease) in
net assets 16,208,441 6,106,885 (6,254,394) 14,825,616 10,975,908 6,465,256
Net assets, beginning of
year 37,207,964 31,101,079 82,506,611 67,680,995 41,885,648 35,420,392
---------- ----------- ----------- ----------- ----------- ----------
Net assets, end of year $53,416,405 $37,207,964 $ 76,252,217 $82,506,611 $ 52,861,556 $41,885,648
=========== =========== ============= =========== ============ =============
Accumulation unit:
Purchases 1,426,789 786,536 366,614 963,737 1,372,957 910,786
Withdrawals (1,538,304) (722,194) (745,677) (392,992) (1,469,021) (802,100)
------------ ---------- ---------- ---------- ------------ ---------
Net increase (decrease) in
units outstanding (111,515) 64,342 (379,063) 570,745 (96,064) 108,686
Units outstanding,
beginning of year 2,455,997 2,391,655 4,437,326 3,866,581 3,011,376 2,902,690
---------- ---------- ---------- ---------- ---------- ---------
Units outstanding, end
of year 2,344,482 2,455,997 4,058,263 4,437,326 2,915,312 3,011,376
========== ========== ========== ========== ========== =========
The accompanying notes are an integral part of these financial statements.
51
<PAGE>
Limited-Term New America Personal Strategy
Bond Growth Balanced Total
- ------------------------- ----------------------- ------------------------ --------------------------
1999 1998 1999 1998 1999 1998 1999 1998
$ 1,783,798 $ 1,263,338 $2,425,063 $ 831,599 $ 4,558,783 $ 3,316,357 $ 47,495,408 $ 44,125,710
392,924 260,609 492,872 428,981 622,030 571,457 11,512,749 9,187,220
-------- -------- -------- -------- -------- -------- ----------- ---------
1,390,874 1,002,729 1,932,191 402,618 3,936,753 2,744,900 35,982,659 34,938,490
(42,941) 65,295 2,150,036 481,957 1,664,651 644,781 32,960,984 19,193,140
(1,460,233) 187,916 308,903 4,721,857 (2,095,790) 2,185,079 112,475,078 56,012,354
------------ -------- -------- ---------- ---------------------- ------------ ----------
(112,300) 1,255,940 4,391,130 5,606,432 3,505,614 5,574,760 181,418,721 110,143,984
10,215,807 14,476,167 1,809,996 7,763,385 3,034,671 7,426,015 286,786,821 326,523,648
(3,161,106) (2,628,570) (5,701,573) (1,703,878) (7,421,204) (2,819,625) (256,126,239)(194,450,131)
----------- ------------ ----------- ------------ ----------- ------------ ------------- ------------
7,054,701 11,847,597 (3,891,577) 6,059,507 (4,386,533) 4,606,390 30,660,582 132,073,517
---------- ----------- ----------- ----------- ----------- ---------- ----------- -----------
6,942,401 13,103,537 499,553 11,665,939 (880,919) 10,181,150 212,079,303 242,217,501
27,703,110 14,599,573 41,886,161 30,220,222 51,609,273 41,428,123 878,527,739 636,310,238
----------- ----------- ----------- ----------- ----------- ----------- ------------ -----------
$34,645,511 $27,703,110 $42,385,714 $41,886,161 $50,728,354 $51,609,273 $1,090,607,042 878,527,739
============ ============ ============ =========== ======================== ============== ============
909,488 1,292,173 101,420 500,626 215,029 524,423
(300,553) (247,334) (264,319) (185,429) (449,889) (227,284)
---------- ---------- ---------- ---------- ---------- ---------
608,935 1,044,839 (162,899) 315,197 (234,860) 297,139
2,352,782 1,307,943 1,941,199 1,626,002 3,090,073 2,792,934
---------- ---------- ---------- ---------- ---------- ---------
2,961,717 2,352,782 1,778,300 1,941,199 2,855,213 3,090,073
========== ========== ========== ========== ========== =========
</TABLE>
52
<PAGE>
UNITED OF OMAHA SEPARATE ACCOUNT C
NOTES TO FINANCIAL STATEMENTS
FOR THE YEARS ENDED DECEMBER 31, 1999 AND 1998
- --------------------------------------------------------------------------------
1. NATURE OF OPERATIONS
United of Omaha Separate Account C (the "Separate Account") was established
by United of Omaha Life Insurance Company ("United") on December 1, 1993,
under procedures established by Nebraska law, and is registered as a unit
investment trust under the Investment Company Act of 1940, as amended. The
assets of the Separate Account are owned by United, however, the net assets
of the Separate Account are restricted from use in the ordinary business of
United.
A separate policyholder may allocate funds to a fixed income account, which
is part of United's general account, in addition to those sub-accounts
detailed below. Because of interests in the fixed income account has not
been registered under the Securities Act of 1933 and United has not been
registered as an investment company under the Investment Company Act of
1940, due to exemptive and exclusionary provisions under such accounts.
2. SUB-ACCOUNTS
The Separate Account is divided into sub-accounts, each of which invests
exclusively in shares of a corresponding mutual fund portfolio. The
available portfolios are:
ALGER MORGAN STANLEY DEAN WITTER
American Growth Emerging Markets Equity
American Small Capitalization Fixed Income
FEDERATED PIONEER
Prime Money Fund II Capital Growth
U.S. Government Securities II Real Estate Growth
FIDELITY SCUDDER
Asset Manager Bond
Asset Manager: Growth Global Discovery
Contrafund Growth & Income
Equity Income Money Market
Growth International
Index 500
53
<PAGE>
MFS T. ROWE PRICE
Capital Opportunities Equity Income
Emerging Growth International Stock
Global Governments Limited-Term Bond
High Income New America Growth
Research Personal Strategy Balanced
The availability of some portfolios is dependent upon the product under
which each policy was written.
3. SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES
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 disclosures of contingent assets and liabilities at the
date of the financial statements and the reported amounts of revenues and
expenses during the reporting period. Actual results could differ from
those estimates.
SECURITY VALUATION AND RELATED INVESTMENT INCOME - The market value of
investments is based on year-end closing bid prices. Investment
transactions are accounted for on the trade date (the date the order to buy
or sell is executed) and dividend income and capital gain distributions are
recorded on the ex-dividend date. Realized gains and losses on the sales of
investments are computed on the specific identification basis. Charges for
investment advisory fees and other expenses are reflected in the net asset
values of the mutual fund portfolios.
ANNUITY RESERVES - Annuity reserves are computed for policies receiving
annuity payments using the 1983 Individual Annuity Mortality Table. The
assumed investment return is 4.0%. The mortality risk is fully borne by
United and may result in additional amounts being transferred into the
Separate Account by United.
FEDERAL INCOME TAXES - Operations of the Separate Account are included in
the federal income tax return of United, which is taxed as a life insurance
company under the Internal Revenue Code. Under existing federal income tax
law, no taxes are payable on the investment income or on the capital gains
of the Separate Accounts.
RECLASSIFICATIONS - Certain reclassifications have been made to the prior
year amounts to conform with current year presentation with no changes to
net assets.
4. ACCOUNT CHARGES
United deducts a daily charge as compensation for the mortality and expense
risks assumed by United. The annual rate is a percentage of the net asset
value of each sub-account for the various products offered. The percentages
by product are:
Series I 1.25%
Series V 1.00%
Ultra-Access 1.40%
United guarantees that the mortality and expense charge shall not increase
above these levels.
54
<PAGE>
United may incur premium taxes relating to the policies. United will deduct
a charge of up to 3.5% of purchase payments for any premium taxes related
to a particular policy at the time of purchase payments, upon surrender,
upon death of any owner, or at the annuity start date.
Net taxable income (loss) of the Separate Account is included in the
federal income tax return of United, which is taxed as a life insurance
company under the Internal Revenue Code. No charges are currently made to
the Separate Account for taxes other than premium taxes. United reserves
the right to levy charges in the future for taxes or other economic burdens
resulting from taxes that United determines are properly attributable to
the Separate Account.
United deducts a daily administrative expense charge from the net assets of
the Separate Account. The annual rate is a percentage of the net asset
value of each sub-account by product based on the following:
Series I .15%
Series V .20%
Ultra-Access .20%
There is also an annual policy fee of $30 that is deducted from the
accumulation value on the last valuation date of each policy year or at
complete surrender. The annual policy fee is waived if the accumulation
value is greater than $50,000 on the last valuation date of the applicable
policy year. United guarantees that the daily administrative expense charge
and the annual policy fee will not increase.
One of the variable annuity products includes a feature which provides the
policyowner an option to purchase an enhanced death benefit. A daily charge
equivalent to an annual rate of .35% of the net assets is deducted from
each policy with this feature.
A withdrawal charge will be assessed on withdrawals in excess of an
allowable percentage of the participant's accumulation value as of the last
contract anniversary preceding the request for the withdrawal. The
allowable withdrawal percentage by product is as follows:
Series I 10%
Series V 15%
Ultra-Access 0%
The amount of the charge will depend upon the period of time elapsed since
the purchase payment (first-in, first-out arrangement) was made, as
follows:
CHARGE ON WITHDRAWAL
EXCEEDING
PURCHASE PAYMENT YEAR ALLOWABLE AMOUNT
1 7%
2 6%
3 5%
4 4%
5 3%
6 2%
7 1%
55
<PAGE>
All account charges are paid through the redemption of shares. Shares are
redeemed based on each policyowner's variable portfolio allocation.
There is no charge for the first 12 transfers between sub-accounts of the
Separate Account in each policy year. However, there is a $10 fee for the
13th and each subsequent request during a single policy year. Any
applicable transfer fee is deducted from the amount transferred. All
transfer requests made simultaneously are treated as a single request. No
transfer fee is imposed for any transfer which is not at the policyowner's
request. United guarantees that the transfer fee will not increase above
these levels.
5. MARKET VALUE PER UNIT
The market value per unit on the Statement of Net Assets is calculated as
an aggregate valuation for all assets and all products combined for each
sub-account. The distinct market values per unit for Series I, Series V and
Ultra-Access products may differ from the aggregate amount calculated due
to differing product fees and the timing of the initial valuation of each
product.
6. NET ASSETS
The components of net assets consist of the following cumulative
investment-related accounts at December 31, 1999:
<TABLE>
<CAPTION>
Net Net Changes in
Investment Realized Unrealized
Shares Shares Income Gains Gains Net
Purchased Sold (Expense) (Losses) (Losses) Assets
Alger:
<S> <C> <C> <C> <C> <C> <C>
American Growth $ 52,213,736 $ (15,939,852 $10,672,991$ 4,791,115 $ 22,912,763 $ 74,650,753
American Small
Capitalization 41,066,184 (13,748,461) 8,204,206 161,677 12,162,132 47,845,738
Federated:
Prime Money
Fund II 372,369,397 (316,827,560) 4,678,080 - - 60,219,917
U.S. Government
Securities II 43,173,534 (17,197,121) 2,078,856 1,067,987 (120,788) 29,002,468
Fidelity:
Asset Manager 816,023 (501,613) 205,104 64,294 100,582 684,390
Asset Manager:
Growth 47,211,159 (13,885,109) 8,702,536 3,337,154 12,382,003 57,747,743
Contrafund 70,167,358 (24,876,960) 5,219,149 6,333,305 30,884,562 87,727,414
Equity Income 77,733,412 (21,345,165) 9,027,039 3,547,501 10,141,210 79,103,997
Growth 2,308,020 (2,018,291) 323,022 438,572 373,281 1,424,604
Index 500 52,993,346 (5,768,175) 271,363 1,330,905 12,486,583 61,314,022
MFS:
Capital
Opportunities 24,920,181 (2,186,780) 160,029 595,292 11,500,575 34,989,297
Emerging Growth 104,356,985 (67,565,299) (817,310) 13,038,235 57,784,860 106,797,471
Global Governments 21,748,454 (6,768,139) 947,758 124,075 (381,788) 15,670,360
High Income 85,333,706 (62,142,589) 3,358,663 853,973 83,750 27,487,503
Research 55,764,194 (25,497,602) 801,991 7,680,712 18,093,412 56,842,707
Morgan Stanley Dean
Witter:
Emerging Markets
Equity 1,201,452 (238,094) (6,210) 57,601 400,131 1,414,880
Fixed Income 2,634,717 (870,274) 92,706 (26,172) (96,737) 1,734,240
56
<PAGE>
(continued) Net Net Changes in
Investment Realized Unrealized
Shares Shares Income Gains Gains Net
Purchased Sold (Expense) (Losses) (Losses) Assets
Pioneer:
Capital Growth 9,894,390 (2,200,936) 392,071 (99,023) 31,218 8,017,720
Real Estate Growth 12,080,895 (3,593,611) 655,440 (294,655) (1,720,610) 7,127,459
Scudder:
Bond 1,389,796 (1,201,108) 97,694 8,908 (13,852) 281,438
Global Discovery 6,530,387 (2,705,213) 14,878 416,995 2,246,485 6,503,532
Growth & Income 16,473,807 (4,143,385) 1,680,125 74,045 (594,276) 13,490,316
Money Market 5,728,349 (5,525,529) 36,496 - - 239,316
International 64,443,017 (37,102,812) 7,525,529 2,847,514 15,703,157 53,416,405
T. Rowe Price:
Equity Income 79,375,861 (25,088,352) 10,824,341 7,093,292 4,047,075 76,252,217
International
Stock 74,036,220 (41,491,307) 1,516,345 5,035,264 13,765,034 52,861,556
Limited Term Bond 40,170,301 (7,571,396) 3,198,082 (8,347) (1,143,129) 34,645,511
New America Growth 38,006,993 (11,527,430) 2,557,003 3,260,884 10,088,264 42,385,714
Personal Strategy
Balanced 47,392,245 (12,791,404) 9,148,982 2,483,655 4,494,876 50,728,354
Total $1,451,534,119 (752,319,567) $91,566,959 $64,214,758 235,610,773 1,090,607,042
</TABLE>
57
<PAGE>
PART C OTHER INFORMATION
ITEM 24. FINANCIAL STATEMENTS AND EXHIBITS
(a) Financial Statements
All required financial statements are included in Part B of this
Registration Statement.
(b) Exhibits: The following exhibits are filed herewith:
Exhibit No. Description of Exhibit
(1) (a) Resolution of the Board of Directors of United of Omaha Life
Insurance Company establishing the Variable Account. *
(2) Not applicable.
(3) (a) Principal Underwriter Agreement by and between United of
Omaha Life Insurance Company, on its own behalf and on behalf
of the Variable Account, and Mutual of Omaha Investor Services,
Inc. *
(b) Form of Broker/Dealer Supervision and Sales Agreement by and between
Mutual of Omaha Investor Services, Inc. and the Broker/Dealer.*
(4) (a) Form of Policy for the SERIES V variable annuity Policy.*
(b) Form of Riders to the Policy.*
(1) Systematic Transfer Enrollment Program Endorsement to the Policy. **
(5) Form of Application to the Policy. ***
(6) (a) Articles of Incorporation of United of Omaha Life Insurance Company.*
(b) Bylaws of United of Omaha Life Insurance Company.*
(7) Not applicable.
(8) (a) Participation Agreement by and between United of Omaha Life Insurance
Company and the Alger American Fund*
(b) Participation Agreement by and between United of Omaha Life Insurance
Company and the Insurance Management Series*
(c) Participation Agreement by and between United of Omaha Life Insurance
Company and the Fidelity VIP Fund and Fidelity VIP Fund II.*
(d) Participation Agreement by and between United of Omaha Life Insurance
Company and the MFS Variable Insurance Trust.*
(e) Participation Agreement by and between United of Omaha Life Insurance
Company and the Pioneer Variable Contracts Trust.*
(f) Participation Agreement by and between United of Omaha Life Insurance
Company and the Scudder Variable Life Investment Fund.*
(g) Participation Agreement by and between United of Omaha Life Insurance
Company and T. Rowe Price International Series, T. Rowe Price Fixed
Income Series, and T. Rowe Price Equity Series.*
(h) Participation Agreement by and between United of Omaha Life Insurance
Company and Morgan Stanley Universal Fund, et. al.**
(i) Participation Agreement by and between United of Omaha Life Insurance
Company and BT Insurance Funds Trust.
(j) Administrative Services Agreement with Vantage Computer Systems.*
<PAGE>
(9) Opinion and Consent of Counsel.
(10) Consent of Independent Auditors.
(11) Not applicable.
(12) Not applicable.
(13) Schedules of Computation of Performance Data.
(14) Powers of Attorney.****
* Incorporated by reference to the Registration Statement for United of Omaha
Separate Account C filed on April 24, 1997 (File No. 33-89848).
** Incorporated by reference to the Registration Statement for United of Omaha
Separate Account B filed on April 7, 1998 (File No. 333-18881).
*** Incorporated by reference to the Registration Statement for United of Omaha
Separate Account C filed on April 16, 1998 (File No. 33-89848).
****Incorporated by reference to the Registration Statement for United of Omaha
Separate Account filed on April 26, 1999 (File No. 33-89848).
<PAGE>
ITEM 25. DIRECTORS AND OFFICERS OF THE DEPOSITOR
Our Directors and Senior Officers are:
DIRECTORS*
Samuel L. Foggie, Sr. Retired Banking and Finance Industry Executive
Carol B. Hallett President and CEO, Air Transport Association of America
Jeffrey M. Heller President & COO, Electronic Data Systems
Thomas W. Osborne University of Nebraska Alumni Association
Richard J. Sampson Retired Insurance Executive of our Company
Oscar S. Straus II Chairman, The Daniel and Florence Guggenheim Foundation
John A. Sturgeon President and COO of our Company
Michael A. Wayne John Wayne Cancer Institute and John Wayne Foundation
Executive
John W. Weekly Chairman of the Board and CEO of our Company
SENIOR OFFICERS*
John W. Weekly Chairman and Chief Executive Officer
John A. Sturgeon President and Chief Operating Officer
G. Ronald Ames Executive Vice President
Cecil D. Bykerk Executive Vice President (Chief Actuary)
James L. Hanson Executive Vice President (Information Services)
Randall C. Horn Executive Vice President (Individual Insurance)
M. Jane Huerter Executive Vice President (Corporate Secretary)
William C. Mattox Executive Vice President (Federal Government Affairs)
Thomas J. McCusker Executive Vice President (General Counsel)
Daniel P. Neary Executive Vice President (Group Insurance)
Tommie D. Thompson Executive Vice President (Treasurer; Comptroller)
Richard A. Witt Executive Vice President (Chief Investment Officer)
* Business address for all directors and officers is Mutual of Omaha Plaza,
Omaha, Nebraska 68175.
<PAGE>
ITEM 26. PERSONS CONTROLLED BY OR UNDER COMMON CONTROL WITH THE DEPOSITOR OR
REGISTRANT
<TABLE>
<CAPTION>
<S> <C>
Name of Corporation (where organized)* Type of Corporation
- -------------------------------------- -------------------
Mutual of Omaha Insurance Company (NE) Accident & Health Insurance
KFS Corporation (NE) Holding Corporation
Fulcrum Growth Partners, L.L.C. (NE) Investment Partnership
Kirkpatrick, Pettis, Smith, Polian Inc. (NE) Registered broker-dealer &
investment advisor
KPM Investment Management, Inc. (NE) Investment advisor
Kirkpatrick Pettis Trust Company (NE) Trust company
Mutual of Omaha Health Plans, Inc. (NE) Holding corporation
Exclusive Healthcare, Inc. (NE) HMO
Mutual of Omaha Health Plans of Lincoln, Inc. (NE) Staff Model HMO
Preferred Health Alliance, Inc. (NE) Joint venture w/physician & hospital
organization
Mutual of Omaha Health Plans of Ohio, Inc. (OH) HMO
Mutual of Omaha of South Dakota & Community Health
Plus HMO, Inc. (SD) HMO
Mutual of Omaha Holdings, Inc. (NE) Holding corporation
innowave incorporated (NE) Markets water distillation products
Mutual Asset Management Co. (NE) Asset management services
Mutual of Omaha Investor Services, Inc. (NE) Registered securities
Broker-Dealer
Mutual of Omaha Marketing Corporation (NE) Markets health insurance
Mutual of Omaha U.K. Limited (U.K.) Insurance in United Kingdom (inactive)
The Omaha Indemnity Company (WI) Property & casualty insurance (inactive)
Omaha Property and Casualty Insurance Company (NE) Property & casualty insurance
Adjustment Services, Inc. (NE) Claims adjusting services
United of Omaha Life Insurance Company (NE) Life, H&A insurance/annuities
Companion Life Insurance Company (NY) Life insurance/annuities
Mutual of Omaha Structured Settlement Company, Inc. (CT) Structured settlements
Mutual of Omaha Structure Settlement Company of
New York, Inc. (NY) Structured settlements
United World Life Insurance Company (NE) Accident & health and life insurance
*Subsidiaries of subsidiaries are indicated by indentations.
</TABLE>
ITEM 27. NUMBER OF POLICYOWNERS
As of December 31, 1999, there were 16,974 Owners of the Policies.
ITEM 28. INDEMNIFICATION
The Nebraska Business Corporation Act (Section 21-2004(15)) provides for
permissive indemnification in certain situations, mandatory indemnification in
other situations, and prohibits indemnification in certain situations. The
Nebraska Business Corporation Act also specifies procedures for determining when
indemnification payments can be made.
Insofar as indemnification for liabilities arising under the Securities Act
of 1933 may be permitted to directors, officers and controlling persons of
United of Omaha Life Insurance Company pursuant to the foregoing provisions, or
otherwise, United has been advised that in the opinion of the Securities and
Exchange Commission such indemnification is against public policy as expressed
in the Act and is, therefore, unenforceable. In the event that a claim for
indemnification against such liabilities (other than the payment by United of
expenses incurred or paid by a director, officer or controlling person in
connection with the securities being registered), United will, unless in the
opinion of its counsel the matter has been settled by controlling precedent,
submit to a court of appropriate jurisdiction the question whether such
indemnification by it is against public policy as expressed in the Act and will
be governed by the final adjudication of such issue. With respect to
indemnification, Section XI of United's Articles of Incorporation provides as
follows:
<PAGE>
An outside director of the Company shall not be personally liable to
the Company or its Stockholders for monetary damages for breach of
fiduciary duty as a director, except for liability for: (i) any act or
omission not in good faith which involves intentional misconduct or a
knowing violation of the law; (ii) any transaction from which the outside
director derived an improper direct or indirect financial benefit; (iii)
paying or approving a dividend which is in violation of Nebraska law; (iv)
any act or omission which violates a declaratory or injunctive order
obtained by the Company or its Stockholders; and (v) any act or omission
occurring prior to the effective date of the amendments to the Articles of
Incorporation of the Company incorporating this ARTICLE XI.
For purposes of this ARTICLE XI, an outside director shall mean a
member of the Board of Directors who is not an officer or a person who may
control the conduct of the Company through management agreements, voting
trusts, directorships in related corporations, or any other device or
relationship.
If the Nebraska Business Corporation Act is amended after approval by
the Stockholders of this ARTICLE XI to authorize corporate action further
eliminating or limiting the personal liability of directors, then the
liability of a director of the Company shall be eliminated or limited to
the fullest extent permitted by the Nebraska Business Corporation Act as
so amended.
Any repeal or modification of the foregoing ARTICLE XI by the
Stockholders of the Company shall not adversely affect any right or
protection of a director of the Company existing at the time of such
repeal or modification.
Article VII of United of Omaha's Bylaws provides as follows:
Any person made or threatened to be made a party to any action or
proceeding, whether civil or criminal, by reason of the fact that such
person then is or was a director, officer, employee, or agent of the
Company (or is or was serving at the request of the Company in any such
capacity for an other legal entity or enterprise, shall be indemnified by
the Company against expense, judgements, fines, and amounts paid in
settlement to the full extent that such persons are permitted to be
indemnified by the laws of the State of Nebraska as in effect as of any
date of determination. The provisions of this Article shall not adversely
affect any right to indemnification which any person may have apart from
the provisions of this Article.
ITEM 29. PRINCIPAL UNDERWRITER
(a) In addition to Registrant, Mutual of Omaha Investor Services, Inc.
is the principal underwriter for policies offered by United of Omaha Life
Insurance Company through United of Omaha Separate Account B and offered by
Companion Life Insurance Company through Companion Life Separate Account C and
Companion Life Separate Account B.
(b) The directors and principal officers of Mutual of Omaha Investor
Services, Inc. (principal address: Mutual of Omaha Plaza, Omaha, Nebraska 68175)
are as follows:
NAME TITLE
John W. Weekly Chairman, Director
Richard A. Witt President, Director
M. Jane Huerter Secretary and Director
Brian P. McGinty Director
Randall C. Horn Director
William J. Bluvas Vice President, Treasurer
(c) Mutual of Omaha Investor Services, Inc. is the principal underwriter
of the Policies. Commissions payable to a broker-dealer may be up to 7.5% of
purchase payments. For the fiscal year ended December 31, 1999, United paid
$6,849,661 in total compensation to MOIS; of this amount MOIS retained
$2,737,475 as concessions for its services as principal underwriter and for
distribution concessions, with the remaining amount paid to other
broker-dealers.
<PAGE>
ITEM 30. LOCATION OF ACCOUNTS AND RECORDS
The records required to be maintained by Section 31(a) of the Investment
Company Act of 1940 and Rules 31a-1 to 31a-3 promulgated thereunder, are
maintained by United at Mutual of Omaha Plaza, Omaha, Nebraska 68175.
ITEM 31. MANAGEMENT SERVICES.
All management policies are discussed in Part A or Part B of this
registration statement.
ITEM 32. UNDERTAKINGS
(a)Registrant undertakes that it will file a post-effective amendment to
this registration statement as frequently as is necessary to ensure
that the audited financial statements in the registration statement
are never more than 16 months old for so long as purchase payments
under the Policy may be accepted.
(b)Registrant undertakes that it will include either (i) a postcard or
similar written communication affixed to or included in the
Prospectus that the applicant can remove to send for a Statement of
Additional Information or (ii) a space in the Policy application that
an applicant can check to request a Statement of Additional
Information.
(c)Registrant undertakes to deliver any Statement of Additional
Information and any financial statements required to be made
available under this form promptly upon written or oral request to
United at the address or phone number listed in the Prospectus.
(d)Registrant represents that the fees and charges under the Policy, in
the aggregate, are reasonable in relation to the services rendered,
the expenses expected to be incurred, and the risks assumed by
United.
SECTION 403(B) REPRESENTATIONS
United represents that it is relying on a no-action letter dated
November 28, 1988, to the American Council of Life Insurance (Ref. No. IP-6-88),
regarding Sections 22(e), 27(c)(1), and 27(d) of the Investment Company Act of
1940, in connection with redeemability restrictions on Section 403(b) Policies,
and that paragraphs numbered (1) through (4) of that letter will be complied
with.
STATEMENT PURSUANT TO RULE 6C-7: TEXAS OPTIONAL RETIREMENT PROGRAM
United and the Variable Account rely on 17 C.F.R. ss. 270.6c-7, and
represent that the provisions of that Rule have been or will be complied with.
<PAGE>
SIGNATURES
As required by the Securities Act of 1933 and the Investment Company Act
of 1940, the registrant certifies that it meets the requirements of Securities
Act Rule 485(b) for effectiveness of this registration statement and has caused
this post-effective amendment No.9 to the registration statement to be signed on
its behalf, in the City of Omaha and State of Nebraska, on April 26, 2000.
UNITED OF OMAHA SEPARATE ACCOUNT C
UNITED OF OMAHA LIFE INSURANCE COMPANY
Depositor
/s/ Thomas J. McCusker
---------------------------------------
By: Thomas J. McCusker
As required by the Securities Act of 1933, this post-effective amendment
No. 9 to the registration statement has been signed by the following persons on
April 26, 2000 in the capacities and on the duties indicated.
Signatures Title Date
by__________________________* Chairman of the Board, 4/26/00
John W. Weekly Chief Executive Officer
by__________________________* President, Chief Operation Officer, 4/26/00
John A. Sturgeon Director
by__________________________* Treasurer and Comptroller 4/26/00
Tommie Thompson (Principal Financial Officer and
Principal Accounting Officer)
by__________________________ * Director 4/26/00
Samuel L. Foggie, Sr.
by__________________________* Director 4/26/00
Carol B. Hallett
by__________________________* Director 4/26/00
Jeffrey M. Heller
by__________________________* Director 4/26/00
Thomas W. Osborn
by_________________________* Director 4/26/00
Richard J. Sampson
by________________________* Director 4/26/00
Oscar S. Straus II
by_______________________* Director 4/26/00
Michael A. Wayne
* Signed by Thomas J. McCusker under Powers of Attorney effective January 1,
1999.
<PAGE>
Registration No. 33-89848
811-8910
SECURITIES AND EXCHANGE COMMISSION
WASHINGTON, D.C. 20549
------------
UNITED OF OMAHA SEPARATE ACCOUNT C
OF
UNITED OF OMAHA LIFE INSURANCE COMPANY
EXHIBITS
TO
THE REGISTRATION STATEMENT ON FORM N-4
under
THE SECURITIES ACT OF 1933, Post-Effective Amendment No. 9
and
THE INVESTMENT COMPANY ACT OF 1940, Amendment No. 22
April 26, 2000
<PAGE>
EXHIBIT INDEX
Exhibit No. Description of Exhibit
(8)(j) Participation Agreement between United of Omaha Life Insurance
Company and BT Insurance Funds Trust.
(9) Opinion and Consent of Counsel.
(10) Consent of Independent Auditors.
(13) Schedules of Computation of Performance Data.
Exhibit (8)(j): Participation Agreement between United of Omaha Life Insurance
Company and BT Insurance Funds Trust.
FUND PARTICIPATION AGREEMIENT
THIS AGREEMENT made as of the 1st day of May, 2000 by and among BT
Insurance Funds Trust ("TRUST"), a Massachusetts business trust, Bankers Trust
Company ("ADVISER"), a New York banking corporation, and United of Omaha Life
Insurance Company ("LIFE COMPANY"), a life insurance company organized under the
laws of the State of Nebraska.
WHEREAS, TRUST is registered with the Securities and Exchange Commission
("SEC") under the Investment Company Act of 1940, as amended (the "'40 Act"), as
an open-end, diversified management investment company; and
WHEREAS, TRUST is comprised of several series funds (each a
"Portfolio"), with those Portfolios currently available being listed on Appendix
A hereto; and
WHEREAS, TRUST was organized to act as the funding vehicle for certain
variable life insurance and/or variable annuity contracts ("Variable Contracts")
offered by life insurance companies through separate accounts ("Separate
Accounts") of such life insurance companies ("Participating Insurance
Companies"); and
WHEREAS, TRUST may also offer its shares to certain qualified pension
and retirement plans ("Qualified Plans"); and
WHEREAS, TRUST has received an order from the SEC, granting
Participating Insurance Companies and their Separate Accounts exemptions from
the provisions of Sections 9(a), 13(a), 15(a) and 15(b) of the '40 Act, and
Rules 6e-2(b)(15) and 6e-3(T)(b)(15) thereunder, to the extent necessary to
permit shares of the Portfolios of the TRUST to be sold to and held by Variable
Contract Separate Accounts of both affiliated and unaffiliated Participating
Insurance Companies and Qualified Plans ("Exemptive Order"); and
WHEREAS, LIFE COMPANY has established or will establish one or more
Separate Accounts to offer Variable Contracts and is desirous of having TRUST as
one of the underlying funding vehicles for such Variable Contracts; and
WHEREAS, ADVISER is a "bank" as defined in the Investment Advisers Act
of 1940, as amended (the "Advisers Act") and as such is excluded from the
definition of "Investment Adviser" and is not required to register as an
investment adviser pursuant to the Advisers Act; and
WHEREAS, ADVISER serves as the TRUST's investment adviser; and
WHEREAS, to the extent permitted by applicable insurance laws and
regulations, LIFE COMPANY intends to purchase shares of the Portfolios to fund
the aforementioned Variable Contracts and TRUST is authorized to sell such
shares to LIFE COMPANY at such shares' net asset value;
NOW, THEREFORE, in consideration of their mutual promises, LIFE COMPANY,
TRUST, and ADVISER agree as follows:
Article I. SALE OF TRUST SHARES
--------------------
1.1 TRUST agrees to make available to the Separate Accounts of LIFE COMPANY that
are listed on Appendix B, shares of the selected Portfolios as listed on
Appendix A for investment of purchase payments of Variable Contracts allocated
to the designed Separate Accounts as provided in TRUST's Registration Statement.
1.2 TRUST agrees to sell to LIFE COMPANY those shares of the selected Portfolios
of TRUST which LIFE COMPANY orders, executing such orders on a daily basis at
the net asset value next computed after receipt by TRUST or its designee of the
order for the shares of TRUST. For purposes of this Section 1.2, LIFE COMPANY
shall be designee of TRUST for receipt of such orders from the designated
Separate Account and receipt by such designee shall constitute receipt by TRUST;
provided that LIFE COMPANY receives the order by 4:00 p.m. New York time and
TRUST receives notice from LIFE COMPANY by telephone or facsimile (or by such
other means as TRUST and LIFE COMPANY may agree in writing) of such order by
8:00 a.m. New York time on the next Business Day. "Business Day" shall mean any
day on which the New York Stock Exchange is open for trading and on which TRUST
calculates its net asset value pursuant to the rules of the SEC.
1
<PAGE>
1.3 TRUST agrees to redeem on LIFE COMPANY's request, any full or fractional
shares of TRUST held by LIFE COMPANY, executing such requests on a daily basis
at the net asset value next computed after receipt by TRUST or it designee of
the request for redemption, in accordance with the provisions of this Agreement
and TRUST's Registration Statement. (In the event of a conflict between the
provisions of this Agreement and the TRUST's Re3gistration Statement, the
provisions of the Registration Statement shall govern.) For purposes of this
Section 1.3, LIFE COMPANY shall be the designee of TRUST for receipt of requests
for redemption from the designated Separate Account and receipt by such designee
shall constitute receipt by TRUST; provided that LIFE COMPANY receives the
request for redemption by 4:00 p.m. New York time and TRUST receives notice from
LIFE COMPANY by telephone or facsimile (or by such other means as TRUST and LIFE
COMPANY may agree in writing) of such request for redemption by 9:00 a.m. New
York time on the next Business Day.
1.4 TRUST shall furnish, on or before each ex-dividend date, notice to LIFE
COMPANY of any income, dividends or capital gain distributions payable on the
shares of each Portfolio of TRUST. LIFE COMPANY hereby elects to receive all
such income, dividends and capital gain distributions as are payable on a
Portfolio's shares in additional shares of the Portfolio. LIFE COMPANY reserves
the right to revoke this election and to receive all such income, dividends and
capital gain distributions in cash. TRUST shall notify LIFE COMPANY or its
designee of the number of shares so issued as payment of such dividends and
distributions.
1.5 TRUST shall make the net asset value per share for the selected Portfolio(s)
available to LIFE COMPANY on a daily basis as soon as reasonably practicable
after the net asset value per share is calculated but shall use its best efforts
to make such net asset value available by 6:30 p.m. New York time. If TRUST
provides LIFE COMPANY with materially incorrect share net asset value
information through no fault of LIFE COMPANY, LIFE COMPANY on behalf of the
Separate Accounts, shall be entitled to an adjustment to the number of shares
purchased or redeemed to reflect the correct share net asset value. Any material
error in the calculation of net asset value per share, dividend or capital gain
information shall be reported promptly upon discovery to LIFE. COMPANY.
1.6 At the end of each Business Day, LIFE COMPANY shall use the information
described in Section 1.5 to calculate Separate Account unit values for the day.
Using these unit values, LIFE COMPANY shall process each such Business Day's
Separate Account transactions based on requests and premiums received by it by
the close of trading on the floor of the New York Stock Exchange (currently 4:00
p.m. New York time) to determine the net dollar amount of TRUST shares which
shall be purchased or redeemed at that day's closing net asset value per share.
The net purchase or redemption orders so determined shall be transmitted to
TRUST by LIFE COMPANY by 8:00 a.m. New York Time on the Business Day next
following LIFE COMPANY's receipt of such requests and premiums in accordance
with the terms of Sections 1.2 and 1.3 hereof.
1.7 If LIFE COMPANY's order requests the purchase of Portfolio shares, LIFE
COMPANY shall pay for such purchase by wiring federal funds to TRUST or its
designated custodial account on the day the order is transmitted by LIFE
COMPANY. Upon receipt of the TRUST or its designated custodial account of the
Federal Funds so wired, such Funds shall cease to be the responsibility of LIFE
COMPANY and shall be the responsibility of the TRUST. If LIFE COMPANY's order
requests a net redemption resulting in a payment of redemption proceeds to LIFE
COMPANY, TRUST shall use its best efforts to wire the redemption proceeds to
LIFE COMPANY by the next Business Day, unless doing so would require TRUST to
dispose of Portfolio securities or otherwise incur additional costs. If proceeds
are not wired to LIFE COMPANY by the next Business Day, proceeds shall be wired
to LIFE COMPANY within the time period permitted by the '40 Act or the rules,
orders or regulations thereunder, and TRUST shall notify the person designated
in writing by LIFE COMPANY as the recipient for such notice of such delay by
3:00 p.m. New York Time on the same Business Day that LIFE COMPANY transmits the
redemption order to TRUST. If LIFE COMPANY's order requests the application of
redemption proceeds from the redemption of shares to the purchase of shares of
another Fund advised by ADVISER, TRUST shall so apply such proceeds on the same
Business Day that LIFE COMPANY transmits such order to TRUST.
1.8 TRUST agrees that all shares of the Portfolios of TRUST will be sold only to
Participating Insurance Companies which have agreed to participate in TRUST to
fund their Separate Accounts and/or to Qualified Plans, all in accordance with
the requirements of Section 817(h)(4) of the Internal Revenue Code of 1986, as
amended ("Code") and Treasury Regulation 1.817-5. Shares of the TRUST's
Portfolios will not be sold directly to the general public.
1.9 TRUST may refuse to sell shares of any Portfolio to any person, or
suspend or terminate the offering of the shares of or liquidate any Portfolio of
TRUST if such action is required by law or by regulatory authorities having
jurisdiction or is, in the sole discretion of the Board of Trustees of the TRUST
(the "Board"), acting in good faith and in light of its duties under federal and
any applicable state laws, deemed necessary, desirable or appropriate and in the
best interests of the shareholders of such Portfolios.
2
<PAGE>
1.10 Issuance and transfer of Portfolio shares will be by book entry
only. Stock certificates will not be issued to LIFE COMPANY or the Separate
Accounts. Shares ordered from the Portfolios will be recorded in appropriate
book entry titles for each of the Separate Accounts.
Article II. REPRESENTATIONS AND WARRANTIES
2.1 LIFE COMPANY represents and warrants that it is an insurance company
duly organized and in good standing under the laws of the State of Nebraska and
that it has legally and validly established each Separate Account as a
segregated asset account under such laws, and that Mutual of Omaha Investor
Services, Inc., the principal underwriter for the Variable Contracts, is
registered as a broker-dealer under the Securities Exchange Act of 1934 (the
11134 Act").
2.2 LIFE COMPANY represents and warrants that it has registered or,
prior to any issuance or sale of the Variable Contracts, will register each
Separate Account as a unit investment trust ("UIT") in accordance with the
provisions of the '40 Act and cause each Separate Account to remain so
registered to serve as a segregated asset account for the Variable Contracts,
unless an exemption from registration is available.
2.3 LIFE COMPANY represents and warrants that the Variable Contracts
will be registered under the Securities Act of 1933 (the "33 Act") unless an
exemption from registration is available prior to any issuance or sale of the
Variable Contracts, and that the Variable Contracts will be issued and sold in
compliance in all material respects with all applicable federal and state laws
(including all applicable blue sky laws) and further that the sale of the
Variable Contracts shall comply in all material respects with applicable state
insurance law suitability requirements.
2.4 LIFE, COMPANY represents and warrants that the Variable Contracts
are currently and at the time of issuance will be treated as life insurance,
endowment or annuity contracts under applicable provisions of the Code, that it
will maintain such treatment and that it will notify TRUST immediately upon
having a reasonable basis for believing that the Variable Contracts have ceased
to be so treated or that they might not be so treated in the future.
2.5 TRUST represents and warrants that the Portfolio shares offered and
sold pursuant to this Agreement will be registered under the '33 Act and duly
authorized for issuance and sold in accordance with all applicable federal and
state laws, and TRUST shall be registered under the 140 Act prior to and at the
time of any issuance or sale of such shares. TRUST, subject to Section 1.9
above, shall amend its registration statements for Portfolio shares under the
'33 Act and the '40 Act from time to time as required in order to effect the
continuous offering of its shares. TRUST shall register and qualify its shares
for sale in accordance with the laws of the various states only if and to the
extent deemed advisable by TRUST.
2.6 TRUST represents and warrants that each Portfolio will comply with
the diversification requirements set forth in Section 817(h) of the Code, and
the rules and regulations thereunder, including without limitation Treasury
Regulation 1.817-5, and will notify LIFE COMPANY immediately upon having a
reasonable basis for believing any Portfolio has ceased to comply and will
immediately take all reasonable steps to adequately diversify the Portfolio to
achieve compliance.
2.7 TRUST represents and warrants that each Portfolio invested in by a
Separate Account will be treated as a "regulated investment company" under
Subchapter M of the Code, and will notify LIFE COMPANY immediately upon having a
reasonable basis for believing it has ceased to so qualify or might not so
qualify in the future.
2.8 ADVISER represents and warrants that it is lawfully organized and
validly existing under the laws of the State of New York and that it shall
perform its obligations hereunder in compliance in all material respects with
any applicable state and federal laws.
2.9 TRUST represents and warrants that its investment policies, fees and
expenses are and at all times shall remain in compliance with the laws of the
State of Nebraska to the extent required to perform this Agreement.
2. 10 TRUST represents and warrants that it is lawfully organized and
validly existing under the laws of the State of Massachusetts and that it does
and will comply in all material respects with the '40 Act.
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Article III. PROSPECTUS AND PROXY STATEMENTS
3.1 TRUST shall prepare and be responsible for filing with the SEC and
any state regulators requiring such filing all shareholder reports, notices,
proxy materials (or similar materials such as voting instruction solicitation
materials), prospectuses and statements of additional information of TRUST.
TRUST shall bear the costs of registration and qualification of shares of the
Portfolios, preparation and filing of the documents listed in this Section 3.1
and all taxes and filing fees to which an issuer is subject on the issuance and
transfer of its shares.
3.2 TRUST or its designee shall provide LIFE COMPANY, free of charge,
with as many copies of the current prospectus (or prospectuses), statements of
additional information, annual and semi-annual reports to shareholders, other
communications to shareholders and proxy statements for the shares of the
Portfolios as LIFE COMPANY may reasonably request for distribution to existing
Variable Contract owners whose Variable Contracts are funded by such shares.
TRUST or its designee shall provide LIFE COMPANY, at LIFE COMPANY's expense,
with as many copies of the current prospectus (or prospectuses) for the shares
as LIFE COMPANY may reasonably request for distribution to prospective
purchasers of Variable Contracts. If requested by LIFE COMPANY, TRUST or its
designee shall provide such documentation (including a "camera ready" copy of
the current prospectus (or prospectuses) as set in type or, at the request of
LIFE COMPANY, as a diskette in the form sent to the financial printer) and other
assistance as is reasonably necessary in order for the parties hereto once a
year (or more frequently if the prospectus (or prospectuses) for the shares is
supplemented or amended) to have the prospectus for the Variable Contracts and
the prospectus (or prospectuses) for the TRUST shares printed together in one
document. The expenses of such printing will be apportioned between LIFE COMPANY
and TRUST in proportion to the number of pages of the Variable Contract and
TRUST prospectus, taking account of other relevant factors affecting the expense
of printing, such as covers, columns, graphs and charts; TRUST shall bear the
cost of printing the TRUST prospectus portion of such document for distribution
only to owners of existing Variable Contracts funded by the TRUST shares and
LIFE COMPANY shall bear the expense of printing the portion of such documents
relating to the Separate Account; provided, however, LIFE COMPANY shall bear all
printing expenses of such combined documents where used for distribution to
prospective purchasers or to owners of existing Variable Contracts not funded by
the shares. In the event that LIFE COMPANY requests that TRUST or its designee
provide TRUST's prospectus in a "camera ready" or diskette forrnat, TRUST shall
be responsible for providing the prospectus (or prospectuses) in the format in
which it is accustomed to formatting prospectuses and shall bear the expense of
providing the prospectus (or prospectuses) in such format (e.g. typesetting
expenses), and LIFE COMPANY shall bear the expense of adjusting or changing the
format to conform with any of its prospectuses.
3.3 TRUST will provide LIFE COMPANY with at least one complete copy of
all prospectuses, statements of additional information, annual and semi-annual
reports, proxy statements, exemptive applications and all amendments or
supplements to any of the above that relate to the Portfolios within fifteen
days of the filing of each such document with the SEC or other regulatory
authority. LIFE COMPANY will provide TRUST with at least one complete copy of
all prospectuses, statements of additional information, annual and semi-annual
reports, proxy statements, exemptive applications and all amendments or
supplements to any of the above that relate to a Separate Account within fifteen
days of the filing of each such document with the SEC or other regulatory
authority.
3.4 TRUST will provide LIFE COMPANY with as much notice as is reasonably
practicable of any proxy solicitation for any Portfolio.
3.5 TRUST will provide LIFE COMPANY with as much notice as is reasonably
practicable of any proxy solicitation for any Portfolio.
Article IV. SALES MATERIALS
4.1 LIFE COMPANY will furnish, or will cause to be furnished, to TRUST
and ADVISER, each piece of sales literature or other promotional material in
which TRUST or ADVISER is named, at least fifteen (15) Business Days prior to
its intended use. No such material will be used if TRUST or ADVISER reasonably
objects to its use in writing within ten (10) Business Days after receipt of
such material.
4.2 TRUST and ADVISER will furnish, or will cause to be furnished, to
LIFE COMPANY, each piece of sales literature or other promotional material in
which LIFE COMPANY or its Separate Accounts are named, at least fifteen (15)
Business Days prior to its intended use. No such material will be used if LIFE
COMPANY reasonably objects to its use in writing within ten (10) Business Days
after receipt of such material.
4.3 TRUST and its affiliates and agents shall not give any information
or make any representations on behalf of LIFE COMPANY or concerning LIFE
COMPANY, the Separate Accounts, or the Variable Contracts issued by LIFE
COMPANY, other than the information or representations contained in a
registration statement or prospectus for such Variable Contracts, as such
registration statement and prospectus may be amended or supplemented from time
to time, or in reports of the Separate Accounts or reports prepared for
distribution to owners of such Variable Contracts, or in sales literature or
other promotional material approved by LIFE COMPANY or its designee, except with
the written permission of LIFE COMPANY.
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4.4 LIFE COMPANY and its affiliates and agents shall not give any
information or make any representations on behalf of TRUST or concerning TRUST
other than the information or representations contained in a registration
statement or prospectus for TRUST, as such registration statement and prospectus
may be amended or supplemented from time to time, or in sales literature or
other promotional material approved by TRUST or its designee, except with the
written permission of TRUST.
4.5 For purposes of this Agreement, the phrase "sales literature or
other promotional material" or words of similar import include, without
limitation, advertisements (such as material published, or designed for use, in
a newspaper, magazine or other periodical, radio, television, telephone or tape
recording, videotape display, signs or billboards, motion pictures or other
public media), sales literature (such as any written communication distributed
or made generally available to customers or the public, including brochures,
circulars, research reports, market letters, form letters, seminar texts, or
reprints or excerpts of any other advertisement, sales literature, or published
article), educational or training materials or other communications distributed
or made generally available to some or all agents or employees, registration
statements, prospectuses, statements of additional information, shareholder
reports and proxy materials, and any other material constituting sales
literature or advertising under National Association of Securities Dealers, Inc.
("NASD") rules, the '40 Act, the '33 Act or rules thereunder.
Article V. POTENTIAL CONFLICTS
5.1 The parties acknowledge that TRUST has received an order from the
SEC granting relief from various provisions of the '40 Act and the rules
thereunder to the extent necessary to permit Portfolio shares to be sold to and
held by Variable Contract separate accounts of both affiliated and unaffiliated
Participating Insurance Companies and Qualified Plans. The Exemptive Order
requires TRUST and each Participating Insurance Company to comply with
conditions and undertakings substantially as provided in this Section 5. The
TRUST will not enter into a participation agreement with any other Participating
Insurance Company unless it imposes the same conditions and undertakings as are
imposed on LIFE COMPANY hereby.
5.2 The Board will monitor TRUST for the existence of any material
irreconcilable conflict between the interests of Variable Contract owners of all
separate accounts and with participants of Qualified Plans investing in TRUST.
An irreconcilable material conflict may arise for a variety of reasons, which
may include: (a) an action by any state insurance regulatory authority; (b) a
change in applicable federal or state insurance, tax, or securities laws or
regulations, or a public ruling, private letter ruling or any similar action by
insurance, tax or securities regulatory authorities; (c) an administrative or
judicial decision in any relevant proceeding; (d) the manner in which the
investments of TRUST are being managed; (e) a difference in voting instructions
given by Variable Contract owners; (f) a decision by a Participating Insurance
Company to disregard the voting instructions of Variable Contract owners and (g)
if applicable, a decision by a Qualified Plan to disregard the voting
instructions of plan participants.
5.3 LIFE COMPANY will report any potential or existing conflicts of
which it becomes aware to the Board. LIFE COMPANY will be responsible for
assisting the Board in carrying out its duties in this regard by providing the
Board with all information reasonably necessary for the Board to consider any
issues raised. The responsibility includes, but is not limited to, an obligation
by the LIFE COMPANY to inform the Board whenever it has determined to disregard
Variable Contract owner voting instructions. These responsibilities of LIFE
COMPANY will be carried out with a view only to the interests of the Variable
Contract owners.
5.4 If a majority of the Board or majority of its disinterested
Trustees, determines that a material irreconcilable conflict exists affecting
LIFE COMPANY, LIFE COMPANY, at its expense and to the extent reasonably
practicable (as determined by a majority of the Board's disinterested Trustees),
will take any steps necessary to remedy or eliminate the irreconcilable material
conflict, including; (a) withdrawing the assets allocable to some or all of the
Separate Accounts from TRUST or any Portfolio thereof and reinvesting those
assets in a different investment medium, which may include another Portfolio of
TRUST, or another investment company; (b) submitting the question as to whether
such segregation should be implemented to a vote of all affected Variable
Contract owners and as appropriate, segregating the assets of any appropriate
group (i.e., variable annuity or variable life insurance Contract owners of one
or more Participating Insurance Companies) that votes in favor of such
segregation, or offering to the affected Variable Contract owners the option of
making such a change; and (c) establishing a new registered management
investment company (or series thereof) or managed separate account. If a
material irreconcilable conflict arises because of LIFE COMPANY's decision to
disregard Variable Contract owner voting instructions, and that decision
represents a minority position or would preclude a majority vote, LIFE COMPANY
may be required, at the election of TRUST, to withdraw the Separate Account's
investment in TRUST, and no charge or penalty will be imposed as a result of
such withdrawal. Any such withdrawal must take place within six (6) months after
TRUST gives written notice that this provision is being implemented, and until
the end of that six month period TRUST shall continue to accept and implement
orders by LIFE COMPANY for the purchase (and redemption) of shares of the
Portfolios. The responsibility to take such remedial action shall be carried out
with a view only to the interests of the Variable Contract owners.
For the purposes of this Section 5.4, a majority of the disinterested
members of the Board shall determine whether or not any proposed action
adequately remedies any irreconcilable material conflict, but in no event will
TRUST or ADVISER (or any other investment adviser of TRUST) be required to
establish a new funding medium for any Variable Contract. Further, LIFE COMPANY
shall not be required by this Section 5.4 to establish a new funding medium for
any Variable Contracts if any offer to do so has been declined by a vote of a
majority of Variable Contract owners materially and adversely affected by the
irreconcilable material conflict.
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5.5 The Board's determination of the existence of an irreconcilable
material conflict and its implications shall be made known promptly and in
writing to LIFE COMPANY.
5.6 No less than annually, LIFE COMPANY shall submit to the Board such
reports, materials or data as the Board may reasonably request so that the Board
may fully carry out its obligations. Such reports, materials, and data shall be
submitted more frequently if deemed appropriate by the Board.
Article VI. VOTING
6.1 LIFE COMPANY will provide pass-through voting privileges to all
Variable Contract owners so long as the SEC continues to interpret the '40 Act
as requiring pass-through voting privileges for Variable Contract owners.
Accordingly, LIFE COMPANY, where applicable, will vote shares of the Portfolio
held in its Separate Accounts in a manner consistent with voting instructions
timely received from its Variable Contract owners. LIFE COMPANY will be
responsible for assuring that each of its Separate Accounts that participates in
TRUST calculates voting privileges in a manner consistent with other
Participating Insurance Companies. LIFE COMPANY will vote shares for which it
has not received timely voting instructions, as well as shares it owns, in the
same proportion as its votes those shares for which it has received voting
instructions.
6.2 If and to the extent Rule 6e-2 and Rule 6e-3(T) are amended, or if
Rule 6e-3 is adopted, to provide exemptive relief from any provision of the '40
Act or the rules thereunder with respect to mixed and shared funding on terms
and conditions materially different from any exemptions granted in the Exemptive
Order, then TRUST, and/or the Participating Insurance Companies, as appropriate,
shall take such steps as may be necessary to comply with Rule 6e-2 and Rule
6e-3(T), as amended, and Rule 6e-3, as adopted, to the extent such Rules are
applicable.
Article VII. INDEMNIFICATION
7.1 Indemnification by LIFE COMPANY. LIFE COMPANY agrees to indemnify
and hold harmless TRUST, ADVISER and each of their Trustees, directors,
principals, officers, employees and agents and each person, if any, who controls
TRUST or ADVISER within the meaning of Section 15 of the '33 Act (collectively,
the "Indemnified Parties" for purposes of this Section 7.1) against any and all
losses, claims, damages, liabilities (including amounts paid in settlement with
the written consent of LIFE COMPANY, which consent shall not be unreasonably
withheld) or litigation or threatened litigation (including legal and other
expenses), to which the Indemnified Parties may become subject under any
statute, regulation, at common law or otherwise, insofar as such losses, claims,
damages, liabilities or expenses (or actions in respect thereof) or settlements
are related to the sale or acquisition of TRUST's shares or the Variable
Contracts and:
(a) arise out of or are based upon any untrue statements or alleged
untrue statements of any material fact contained in the Registration Statement
or prospectus for the Variable Contracts or contained in the Variable Contracts
(or any amendment or supplement to any of the foregoing), or arise out of or are
based upon the omission or the alleged omission to state therein a material fact
required to be stated therein or necessary to make the statements therein not
misleading, provided that this agreement to indemnify shall not apply as to any
Indemnified Party if such statement or omission or such alleged statement or
omission was made in reliance upon and in conformity with information furnished
in writing to LIFE COMPANY by or on behalf of TRUST for use in the registration
statement or prospectus for the Variable Contracts or in the Variable Contracts
or sales literature (or any amendment or supplement) or otherwise for use in
connection with the sale of the Variable Contracts or Portfolio shares; or
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(b) arise out of or result from (i) statements or representations (other
than statements or representations contained in the registration statement,
prospectus or sales literature of TRUST not supplied by LIFE COMPANY, or persons
under its control) or (ii) wrongful conduct of LIFE COMPANY or persons under its
control, with respect to the sale or distribution of the Variable Contracts or
Portfolio shares; or
(c) arise out of any untrue statement or alleged untrue statement of a
material fact contained in a registration statement, prospectus, or sales
literature of TRUST or any amendment thereof or supplement thereto or the
omission or alleged omission to state therein a material fact required to be
stated therein or necessary to make the statements therein not misleading if
such statement or omission or such alleged statement or omission was made in
reliance upon and in conformity with information furnished in writing to TRUST
by or on behalf of LIFE COMPANY; or
(d) arise as a result of any failure by LIFE COMPANY to provide
substantially the services and furnish the materials under the terms of this
Agreement; or
(e) arise out of or result from any material breach of any
representation and/or warranty made by LIFE COMPANY in this Agreement or arise
out of or result from any other material breach of this Agreement by LIFE
COMPANY.
7.2 LIFE COMPANY shall not be liable under this indemnification
provision with respect to any losses, claims, damages, liabilities or litigation
incurred or assessed against an Indemnified Party to the extent that such
losses, claims, damages, liabilities or litigation are attributable to such
Indemnified Party's willful misfeasance, bad faith, or gross negligence in the
performance of such Indemnified Party's duties or by reason of such Indemnified
Party's reckless disregard of obligations or duties under this Agreement.
7.3 LIFE COMPANY shall not be liable under this indemnification
provision with respect to any claim made against an Indemnified Party unless
such Indemnified Party shall have notified LIFE COMPANY in writing within a
reasonable time after the summons or other first legal process giving
information of the nature of the claim shall have been served upon such
Indemnified Party (or after such Indemnified Party shall have received notice of
such service on any designated agent), but failure to notify LIFE COMPANY of any
such claim shall not relieve LIFE COMPANY from any liability which it may have
to the Indemnified Party against whom such action is brought otherwise than on
account of this indemnification provision. In case any such action is brought
against an Indemnified Party, LIFE COMPANY shall be entitled to participate at
its own expense in the defense of such action. LIFE COMPANY also shall be
entitled to assume the defense thereof, with counsel satisfactory to the party
named in the action. After notice from LIFE COMPANY to such party of LIFE
COMPANY's election to assume the defense thereof, the Indemnified Party shall
bear the fees and expenses of any additional counsel retained by it, and LIFE
COMPANY will not be liable to such party under this Agreement for any legal or
other expenses subsequently incurred by such party independently in connection
with the defense thereof other than reasonable costs of investigation.
7.4 Indemnification by TRUST. TRUST and ADVISER, jointly and severally,
agree to indemnify and hold harmless LIFE COMPANY and each of its directors,
officers, employees, and agents and each person, if any, who controls LIFE
COMPANY within the meaning of Section 15 of the '33 Act (collectively, the
"Indemnified Parties" for purposes of this Section 7.4) against any and all
losses, claims, damages, liabilities (including amounts paid in settlement with
the written consent of TRUST which consent shall not be unreasonably withheld)
or litigation or threatened litigation (including legal and other expenses) to
which the Indemnified Parties may become subject under any statute, or
regulation, at common law or otherwise, insofar as such losses, claims, damages,
liabilities or expenses (or actions in respect thereof) or settlements are
related to the sale or acquisition of Portfolio shares or the Variable Contracts
and:
(a) arise out of or are based upon any untrue statement or alleged
untrue statement of any material fact contained in the registration statement or
prospectus or sales literature of TRUST (or any amendment or supplement to any
of the foregoing), or arise out of or are based upon the omission or the alleged
omission to state therein a material fact required to be stated therein or
necessary to make the statements therein not misleading, provided that this
agreement to indemnify shall not apply as to any Indemnified Party if such
statement or omission or such alleged statement or omission was made in reliance
upon and in conformity with information furnished in writing to ADVISER or TRUST
by or on behalf of LIFE COMPANY for use in the registration statement or
prospectus for TRUST or in sales literature (or any amendment or supplement) or
otherwise for use in connection with the sale of the Variable Contracts or
Portfolio shares; or
(b) arise out of or result from (i) statements or representations (other
than statements or representations contained in the registration statement,
prospectus or sales literature for the Variable Contracts not supplied by
ADVISER or TRUST or persons under its control) or (ii) gross negligence or
wrongful conduct or willful misfeasance of TRUST or ADVISER or persons under
their control, with respect to the sale or distribution of the Variable
Contracts or Portfolio shares; or
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(c) arise out of any untrue statement or alleged untrue statement of a
material fact contained in a registration statement, prospectus, or sales
literature covering the Variable Contracts, or any amendment thereof or
supplement thereto or the omission or alleged omission to state therein a
material fact required to be stated therein or necessary to make the statements
therein not misleading, if such statement or omission or such alleged statement
or omission was made in reliance upon and in conformity with information
furnished in writing to LIFE COMPANY for inclusion therein by or on behalf of
TRUST or ADVISER; or
(d) arise as a result of (i) a failure by TRUST to provide substantially
the services and furnish the materials under the terms of this Agreement; or
(ii) a failure by a Portfolio(s) invested in by any Separate Account to comply
with the diversification requirements of Section 817(h) of the Code; or (iii) a
failure by a Portfolio(s) invested in by any Separate Account to qualify as a
"regulated investment company" under Subchapter M of the Code; or
(e) arise out of or result from any material breach of any
representation and/or warranty made by TRUST or ADVISER in this Agreement or
arise out of or result from any other material breach of this Agreement by TRUST
or ADVISER.
7.5 Neither TRUST nor ADVISER shall be liable under this indemnification
provision with respect to any losses, claims, damages, liabilities or litigation
incurred or assessed against an Indemnified Party to the extent that such
losses, claims, damages, liabilities or litigation are attributable to such
Indemnified Party's willful misfeasance, bad faith, or gross negligence in the
performance of such Indemnified Party's duties or by reason of such Indemnified
Party's reckless disregard of obligations and duties under this Agreement.
7.6 Neither TRUST nor ADVISER shall be liable under this indemnification
provision with respect to any claim made against an Indemnified Party unless
such Indemnified Party shall have notified TRUST in writing within a reasonable
time after the summons or other first legal process giving information of the
nature of the claim shall have been served upon such Indemnified Party (or after
such Indemnified Party shall have received notice of such service on any
designated agent), but failure to notify TRUST of any such claim shall not
relieve TRUST or ADVISER from any liability which it may have to the Indemnified
Party against whom such action is brought otherwise than on account of this
indemnification provision. In case any such action is brought against the
Indemnified Parties, TRUST and ADVISER shall be entitled to participate at their
own expense in the defense thereof. TRUST and ADVISER also shall be entitled to
assume the defense thereof, with counsel satisfactory to the party named in the
action. After notice from TRUST or ADVISER to such party of an election to
assume the defense thereof, the Indemnified Party shall bear the fees and
expenses of any additional counsel retained by it, and TRUST or ADVISER will not
be liable to such party under this Agreement for any legal or other expenses
subsequently incurred by such party independently in connection with the defense
thereof other than reasonable costs of investigation.
Article VIII. TERM; TERMINATION
8.1 This Agreement shall be effective as of the date hereof and shall
continue in force until 16rminated in accordance with the provisions herein.
8.2 This Agreement shall terminate in accordance with the following
provisions:
(a) At the option of LIFE COMPANY or TRUST at any time from the date
hereof upon 180 days' notice, with respect to some or all of the Portfolios
unless a shorter time is agreed to by the parties;
(b) At the option of LIFE COMPANY, if TRUST shares are not reasonably
available to meet the requirements of the Variable Contracts as determined by
LIFE COMPANY. Prompt notice of election to terminate shall be furnished by LIFE
COMPANY, said termination to be effective ten days after receipt of notice
unless TRUST makes available a sufficient number of shares to reasonably meet
the requirements of the Variable Contracts within said ten-day period;
(c) At the option of LIFE COMPANY, upon the institution of formal
proceedings against TRUST by the SEC, the NASD, or any other regulatory body,
the expected or anticipated ruling, judgment or outcome of which would, in LIFE
COMPANY's reasonable judgment, materially impair TRUST's ability to meet and
perform TRUST's obligations and duties hereunder. Prompt notice of election to
terminate shall be furnished by LIFE COMPANY with said termination to be
effective upon receipt of notice;
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(d) At the option of TRUST, upon the institution of formal proceedings
against LIFE COMPANY and/or its broker-dealer affiliates by the SEC, the NASD,
or any other regulatory body, the expected or anticipated ruling, judgment or
outcome of which would, in TRUST's reasonable judgment, materially impair LIFE
COMPANY's ability to meet and perform its obligations and duties hereunder.
Prompt notice of election to terminate shall be furnished by TRUST with said
termination to be effective upon receipt of notice;
(e) At the, option of LIFE COMPANY, in the event TRUST's shares are not
registered, issued or sold in accordance with applicable state or federal law,
or such law precludes the use of such shares as the underlying investment medium
of Variable Contracts issued or to be issued by LIFE COMPANY. Termination shall
be effective upon such occurrence without notice;
(f) At the option of TRUST if the Variable Contracts cease to qualify as
annuity contracts or life insurance contracts, as applicable, under the Code, or
if TRUST reasonably believes that the Variable Contracts may fail to so qualify.
Termination shall be effective upon receipt of notice by LIFE COMPANY;
(g) At the option of LIFE COMPANY, upon TRUST's breach of any material
provision of this Agreement, which breach has not been cured to the satisfaction
of LIFE COMPANY within ten days after written notice of such breach is delivered
to TRUST;
(h) At the option of TRUST, upon LIFE COMPANY's breach of any material
provision of this Agreement, which breach has not been cured to the satisfaction
of TRUST within ten days after written notice of such breach is delivered to
LIFE COMPANY;
(i) At the option of TRUST, if the Variable Contracts are not
registered, issued or sold in accordance with applicable federal and/or state
law. Termination shall be effective immediately upon such occurrence without
notice;
(j) At the option of LIFE COMPANY, by written notice to TRUST, with
respect to any Portfolio in the event the Portfolio ceases to qualify as a
Regulated Investment Company under Subchapter M or fails to comply with the
Section 817(h) diversification requirements of the Code and the Regulations
thereunder, or if LIFE COMPANY reasonably believes that such Portfolio may fail
to qualify or so comply.
(k) At the option of TRUST, by written notice to LIFE COMPANY, if TRUST
shall determine, in its sole judgment exercised in good faith, that LIFE COMPANY
has suffered a material adverse change in its financial condition since the date
of this Agreement or is the subject of material adverse publicity.
(l) At the option of LIFE COMPANY, by written notice to TRUST, if LIFE
COMPANY shall determine, in its sole judgment exercised in good faith, that
TRUST has suffered a material adverse change in its financial condition since
the date of this Agreement 'or is the subject of material adverse publicity.
In the event this Agreement is assigned without the prior written
consent of LIFE COMPANY, TRUST, and ADVISER, termination shall be effective
immediately upon such occurrence without notice.
8.3 Notwithstanding any termination of this Agreement pursuant to
Section 8.2 hereof, LIFE COMPANY at its option may elect to continue to purchase
additional Portfolio shares, as provided below, for so long as LIFE COMPANY
desires pursuant to the terms and conditions of this Agreement, for all Variable
Contracts in effect on the effective date of termination of this Agreement
(hereinafter referred to as "Existing Contracts"). Specifically, without
limitation, if LIFE COMPANY so elects to purchase additional Portfolio shares,
the owners of the Existing Contracts or LIFE COMPANY, whichever shall have legal
authority to do so, shall be permitted to reallocate investments in the
Portfolios of the TRUST, redeem investments in the Portfolios of the TRUST
and/or invest in the Portfolios of the TRUST upon the payment of additional
premiums under the Existing Contracts. In the event of a termination of this
Agreement pursuant to Section 8.2 hereof, LIFE COMPANY, within ten (10) days of
the date of the notice of termination, shall notify TRUST whether LIFE COMPANY
elects to continue to purchase Portfolio shares after such termination. If
Portfolio shares continue to be purchased after such termination, the provisions
of this Agreement shall remain in effect. In no event shall the election to
continue by LIFE COMPANY be effective for more than six (6) months after the
date of termination.
8.4 Except as necessary to implement Variable Contract owner initiated
transactions, or as required by state insurance laws or regulations, LIFE
COMPANY shall not redeem the shares attributable to the Variable Contracts (as
opposed to the shares attributable to LIFE COMPANY's assets held in the Separate
Accounts), and LIFE COMPANY shall not prevent Variable Contract owners from
allocating payments to a Portfolio that was otherwise available under the
Variable Contracts until thirty (30) days after the LIFE COMPANY shall have
notified TRUST of its intention to do so.
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Article IX. NOTICES
Any notice hereunder shall be given by registered or certified mail
return receipt requested to the other party at the address of such party set
forth below or at such other address as such party may from time to time specify
in writing to the other party.
If to TRUST:
BT Insurance Funds Trust
c/o First Data Investor Services Group, Inc.
101 Federal Street Boston, MA 02110
Attn: Elizabeth Russell, Legal Department
and
c/o BT Alex. Brown
One South Street, Mail Stop 1-18-6
Baltimore, MD 21202
Attn: Mutual Fund Services
If to ADVISER:
Bankers Trust Company
130 Liberty Street, Mail Stop 2355
New York, NY 10006
Attn.: Mutual Fund Marketing
If to LIFE COMPANY:
United of Omaha Life Insurance Company
Mutual of Omaha Plaza 3-2AN
Omaha, NE 68175-1008
Attn: Variable Products Counsel
Notice shall be deemed given on the date of receipt by the addressee as
evidenced by the return receipt.
Article X. MISCELLANEOUS
10. 1 The captions in this Agreement are included for convenience of
reference only and in no way define or delineate any of the provisions hereof or
otherwise affect their construction or effect.
10.2 This Agreement may be executed simultaneously in two or more
counterparts, each of which taken together shall constitute one and the same
instrument.
10.3 If any provision of this Agreement shall be held or made invalid by
a court decision, statute, rule or otherwise, the remainder of the Agreement
shall not be affected thereby.
10.4 This Agreement shall be construed and the provisions hereof
interpreted under and in accordance with the laws of the State of New York. It
shall also be subject to the provisions of the federal securities laws and the
rules and regulations thereunder and to any orders of the SEC granting exemptive
relief therefrom and the conditions of such orders.
10.5 It is understood and expressly stipulated that neither the
shareholders of shares of any Portfolio nor the Trustees or officers of TRUST or
any Portfolio shall be personally liable hereunder. No Portfolio shall be liable
for the liabilities of any other Portfolio. All persons dealing with TRUST or a
Portfolio must look solely to the property of TRUST or that Portfolio,
respectively, for enforcement of any claims against TRUST or that Portfolio. It
is also understood that each of the Portfolios shall be deemed to be entering
into a separate Agreement with LIFE COMPANY so that it is as if each of the
Portfolios had signed a separate Agreement with LIFE COMPANY and that a single
document is being signed simply to facilitate the execution and administration
of the Agreement.
10
<PAGE>
10.6 Each party shall cooperate with each other party and all
appropriate governmental authorities (including without limitation the SEC, the
NASD and state insurance regulators) and shall permit such authorities
reasonable access to its books and records in connection with any investigation
or inquiry relating to this Agreement or the transactions contemplated hereby.
Notwithstanding the generality of the foregoing, each party hereto further
agrees to furnish the Nebraska Insurance Director with any information or
reports in connection with services provided under this Agreement which such
Director may request in order to ascertain whether the variable annuity and
variable life operations of LIFE COMPANY are being conducted in a manner
consistent with the Nebraska variable annuity laws and regulations and any other
applicable law or regulations.
10.7 The rights, remedies and obligations contained in this Agreement
are cumulative and are in addition to any and all rights, remedies and
obligations, at law or in equity, which the parties hereto are entitled to under
state and federal laws.
10.8 If the Agreement terminates, the parties agree that Article 7 and
Sections 10.5, 10.6 and 10.7 shall remain in effect after termination.
10.9 No provision of this Agreement may be amended or modified in any
manner except by a written agreement properly authorized and executed by TRUST,
ADVISER and the LIFE COMPANY.
10.10 No failure or delay by a party in exercising any right or remedy
under this Agreement will operate as a waiver thereof and no single or partial
exercise of rights shall preclude a further or subsequent exercise. The rights
and remedies provided in this Agreement are cumulative and not exclusive of any
rights or remedies provided by law.
11
<PAGE>
IN WITNESS WHEREOF, the parties have caused their duly authorized
officers to execute this Fund Participation Agreement as of the date and year
first above written.
BT INSURANCE FUNDS TRUST
By: /s/ Elizabeth Russell
Name: Elizabeth Russell
Title: Secretary
BANKERS TRUST COMPANY
By: /s/ Lawrence Russell
Name: Lawrence Russell
Title: Director
UNITED OF OMAHA LIFE INSURANCE COMPANY
By: /s/ Richard A. Witt
Name: Richard A. Witt
Title: Assistant Treasurer
12
<PAGE>
Appendix A
to Participation Agreement by and among BT Insurance Funds Trust, Bankers Trust
Company, and United of Omaha Life Insurance Company.
List of Portfolios:
EAFE Equity Index Fund
Small Cap Index Fund
<PAGE>
Appendix B
to Participation Agreement by and among BT Insurance Funds Trust, Bankers Trust
Company, and United of Omaha Life Insurance Company.
List of Variable Separate Accounts:
United of Omaha Separate Account B
United of Omaha Separate Account C
Exhibit (9): Opinion and Consent of Counsel.
UNITED OF OMAHA LIFE INSURANCE COMPANY
Mutual of Omaha Plaza, 3-Law
Omaha, Nebraska 68175-1008
April 21, 2000
United of Omaha Life Insurance Company
Mutual of Omaha Plaza
Omaha, NE 68175-1008
To Whom It May Concern:
With reference to the Post-Effective Amendment for Registration Number 33-89848
on Form N-4 filed by United of Omaha Life Insurance Company and United of Omaha
Separate Account C with the Securities and Exchange Commission covering variable
annuity contracts, I have examined such documents and such laws as I considered
necessary and appropriate, and on the basis of such examination, it is my
opinion that:
1. United of Omaha Life Insurance Company is duly organized and validly
existing under the laws of the State of Nebraska and has been duly
authorized to issue variable annuity contracts by the Insurance
Department of the State of Nebraska.
2. United of Omaha Separate Account C is a duly authorized and existing
separate account established pursuant to the provisions of Sections
44-402.01 and 44-2221 of the Statutes of the State of Nebraska.
3. The variable annuity contracts, when issued as contemplated by the Form
N-4 Registration Statement, will constitute legal, validly issued and
binding obligations of United of Omaha Life Insurance Company.
I hereby consent to the filing of this opinion as an exhibit to the
Post-Effective Amendment to the Form N-4 Registration Statement and to the use
of my name under the caption "Legal Proceedings" in the Prospectus contained in
the Registration Statement.
Sincerely,
/s/ Thomas J. McCusker
General Counsel
United of Omaha Life Insurance Company
Exhibit (10): Consent of Independent Auditors.
INDEPENDENT AUDITORS CONSENT
We consent to the use in this Post-Effective Amendment No. 9 to Registration
Statement No. 33-89848 of United of Omaha Separate Account C of our report dated
March 31, 2000 on the financial statements of United of Omaha Separate Account C
and our report dated February 11, 2000 on the financial statements of United of
Omaha Life Insurance Company appearing in the Statement of Additional
Information, which is a part of such Registration Statement, and to the related
reference to us under the heading "Financial Statements" in such Statement of
Additional Information.
/s/ DELOITTE & TOUCHE LLP
Omaha, Nebraska
April 26, 2000
Exhibit (13): Schedules of Computations of Performance Data
Alger American Growth
12/1999
Assume ($10000 @ $10.00 on 1/ 9/1989)
DATE DIV PR/SH REINVEST NAV REINVEST SHARES SHARE BASIS
(incl cap gain)
100.000000
4/90 0.0600000000 12.18 0.493 100.492611
4/91 0.0470000000 15.77 0.300 100.792113
4/92 0.0490000000 16.96 0.291 101.083317
4/93 0.0250000000 19.63 0.129 101.212053
5/94 1.7590000000 21.45 8.300 109.511913
5/95 0.3180000000 25.96 1.341 110.853392
5/96 0.9520000000 33.02 3.196 114.049407
5/97 0.3570000000 37.31 1.091 115.140686
5/98 7.9500000000 41.91 21.841 136.981976
5/99 5.4730000000 51.83 14.465 151.446618
M and E Charge = 0.0010833
Death Benefit Charge = 0.0002917
<TABLE>
<CAPTION>
Return for YTD
WITH DEATH BENEFIT CHARGE
FUND GROSS ADMIN/ ADMIN/
MONTH YEAR NAV SHARES VALUE MTHLY M&E ERV MTHLY M&E ERV
<S> <C> <C> <C> <C> <C> <C> <C> <C>
12 1998 53.22 136.9819763 7290.18078 1000.00000 1000.00000
1 1999 57.00 136.9819763 7807.97265 1.08333 1069.94260 1.37503 1069.65090
2 1999 55.33 136.9819763 7579.21275 1.15910 1037.43605 1.47081 1036.84120
3 1999 59.06 136.9819763 8090.15552 1.12389 1106.24956 1.42569 1105.31281
4 1999 59.03 136.9819763 8086.04606 1.19844 1104.48920 1.51984 1103.23151
5 1999 50.97 151.4466175 7719.23410 1.19653 1053.18909 1.51698 1051.66801
6 1999 55.84 151.4466175 8456.77912 1.14095 1152.67656 1.44608 1150.70502
7 1999 53.98 151.4466175 8175.08841 1.24873 1113.03280 1.58226 1110.79340
8 1999 53.28 151.4466175 8069.07578 1.20579 1097.39347 1.52738 1094.86152
9 1999 52.92 151.4466175 8014.55500 1.18884 1088.78980 1.50547 1085.95833
10 1999 56.04 151.4466175 8487.06845 1.17952 1151.80197 1.49323 1148.48986
11 1999 59.35 151.4466175 8988.35675 1.24779 1218.58531 1.57921 1214.74615
12 1999 64.38 151.4466175 9750.13324 1.32013 1320.54208 1.67032 1316.02736
</TABLE>
SURRENDER CHARGE = 7.00%
FREE WITHDRAWAL AVAILABLE = 15.00% OF PRINCIPAL + 15.00% OF INTEREST
GROSS RETURN = 33.74%
WITHOUT WITH
SURRENDER SURRENDER
CHARGE CHARGE
WITHOUT DEATH BENEFIT CHARGE
ERV 1320.54 1241.97
TOTAL RETURN 32.05% 24.20%
WITH DEATH BENEFIT CHARGE
ERV 1316.03 1237.72
TOTAL RETURN 31.60% 23.77%
<TABLE>
<CAPTION>
Return for 1 Year
WITH DEATH BENEFIT CHARGE
FUND GROSS ADMIN/ ADMIN/
MONTH YEAR NAV SHARES VALUE MTHLY M&E ERV MTHLY M&E ERV
<S> <C> <C> <C> <C> <C> <C> <C> <C>
12 1998 53.22 136.9819763 7290.18078 1000.00000 1000.00000
1 1999 57.00 136.9819763 7807.97265 1.08333 1069.94260 1.37503 1069.65090
2 1999 55.33 136.9819763 7579.21275 1.15910 1037.43605 1.47081 1036.84120
3 1999 59.06 136.9819763 8090.15552 1.12389 1106.24956 1.42569 1105.31281
4 1999 59.03 136.9819763 8086.04606 1.19844 1104.48920 1.51984 1103.23151
5 1999 50.97 151.4466175 7719.23410 1.19653 1053.18909 1.51698 1051.66801
6 1999 55.84 151.4466175 8456.77912 1.14095 1152.67656 1.44608 1150.70502
7 1999 53.98 151.4466175 8175.08841 1.24873 1113.03280 1.58226 1110.79340
8 1999 53.28 151.4466175 8069.07578 1.20579 1097.39347 1.52738 1094.86152
9 1999 52.92 151.4466175 8014.55500 1.18884 1088.78980 1.50547 1085.95833
10 1999 56.04 151.4466175 8487.06845 1.17952 1151.80197 1.49323 1148.48986
11 1999 59.35 151.4466175 8988.35675 1.24779 1218.58531 1.57921 1214.74615
12 1999 64.38 151.4466175 9750.13324 1.32013 1320.54208 1.67032 1316.02736
</TABLE>
SURRENDER CHARGE = 7.00%
FREE WITHDRAWAL AVAILABLE = 15.00% OF PRINCIPAL + 15.00% OF INTEREST
GROSS RETURN = 33.74%
WITHOUT WITH
SURRENDER SURRENDER
CHARGE CHARGE
WITHOUT DEATH BENEFIT CHARGE
ERV 1320.54 1241.97
TOTAL RETURN 32.05% 24.20%
WITH DEATH BENEFIT CHARGE
ERV 1316.03 1237.72
TOTAL RETURN 31.60% 23.77%
<TABLE>
<CAPTION>
Return for 3 Years
WITH DEATH BENEFIT CHARGE
FUND GROSS ADMIN/ ADMIN/
MONTH YEAR NAV SHARES VALUE MTHLY M&E ERV MTHLY M&E ERV
<S> <C> <C> <C> <C> <C> <C> <C> <C>
12 1996 34.33 114.0494069 3915.31614 1000.00000 1000.00000
1 1997 36.86 114.0494069 4203.86114 1.08333 1072.61314 1.37503 1072.32144
2 1997 35.51 114.0494069 4049.89444 1.16200 1032.16662 1.47448 1031.57312
3 1997 34.09 114.0494069 3887.94428 1.11818 989.77340 1.41845 988.90337
4 1997 35.60 114.0494069 4060.15889 1.07225 1032.54267 1.35978 1031.34659
5 1997 37.43 115.1406864 4309.71589 1.11859 1094.88915 1.41814 1093.32000
6 1997 39.53 115.1406864 4551.51133 1.18613 1155.13148 1.50335 1153.15707
7 1997 43.66 115.1406864 5027.04237 1.25139 1274.56547 1.58563 1272.05054
8 1997 41.90 115.1406864 4824.39476 1.38078 1221.80505 1.74911 1219.02316
9 1997 44.28 115.1406864 5098.42960 1.32362 1289.88229 1.67620 1286.58981
10 1997 42.19 115.1406864 4857.78556 1.39737 1227.60294 1.76910 1224.09413
11 1997 42.92 115.1406864 4941.83826 1.32990 1247.51385 1.68317 1243.59107
12 1997 42.76 115.1406864 4923.41575 1.35147 1241.51181 1.70998 1237.24515
1 1998 43.50 115.1406864 5008.61986 1.34497 1261.65231 1.70125 1256.95553
2 1998 46.92 115.1406864 5402.40101 1.36679 1359.47750 1.72836 1354.04988
3 1998 49.67 115.1406864 5719.03790 1.47277 1437.68425 1.86186 1431.54943
4 1998 50.23 115.1406864 5783.51668 1.55749 1452.33580 1.96843 1445.72087
5 1998 41.91 136.9819763 5740.91463 1.57336 1440.06437 1.98791 1433.08361
6 1998 45.66 136.9819763 6254.59704 1.56007 1567.35759 1.97054 1559.34175
7 1998 46.65 136.9819763 6390.20919 1.69797 1599.64306 2.14415 1591.00724
8 1998 38.66 136.9819763 5295.72320 1.73295 1323.93052 2.18769 1316.31906
9 1998 42.26 136.9819763 5788.85832 1.43426 1445.78001 1.80998 1437.08406
10 1998 44.21 136.9819763 6055.97317 1.56626 1510.92627 1.97604 1501.41928
11 1998 47.46 136.9819763 6501.16459 1.63684 1620.36182 2.06450 1609.72829
12 1998 53.22 136.9819763 7290.18078 1.75539 1815.26223 2.21343 1802.88011
1 1999 57.00 136.9819763 7807.97265 1.96653 1942.22638 2.47902 1928.45233
2 1999 55.33 136.9819763 7579.21275 2.10408 1883.21848 2.65169 1869.30037
3 1999 59.06 136.9819763 8090.15552 2.04015 2008.13305 2.57035 1992.74647
4 1999 59.03 136.9819763 8086.04606 2.17548 2004.93752 2.74009 1988.99415
5 1999 50.97 151.4466175 7719.23410 2.17202 1911.81437 2.73493 1896.03133
6 1999 55.84 151.4466175 8456.77912 2.07113 2092.41022 2.60711 2074.58319
7 1999 53.98 151.4466175 8175.08841 2.26678 2020.44640 2.85262 2002.62733
8 1999 53.28 151.4466175 8069.07578 2.18882 1992.05691 2.75368 1973.90405
9 1999 52.92 151.4466175 8014.55500 2.15806 1976.43900 2.71418 1957.85268
10 1999 56.04 151.4466175 8487.06845 2.14114 2090.82261 2.69211 2070.58952
11 1999 59.35 151.4466175 8988.35675 2.26506 2212.05189 2.84713 2190.04166
12 1999 64.38 151.4466175 9750.13324 2.39639 2397.13016 3.01138 2372.63954
</TABLE>
SURRENDER CHARGE = 5.00%
FREE WITHDRAWAL AVAILABLE = 15.00% OF PRINCIPAL + 15.00% OF INTEREST
GROSS RETURN = 149.03%
GROSS ANNUAL RETURN = 35.54%
WITHOUT WITH
SURRENDER SURRENDER
CHARGE CHARGE
WITHOUT DEATH BENEFIT CHARGE
ERV 2397.13 2295.25
TOTAL RETURN 139.71% 129.53%
AVERAGE ANNUAL RETURN 33.83% 31.91%
WITH DEATH BENEFIT CHARGE
ERV 2372.64 2271.80
TOTAL RETURN 137.26% 127.18%
AVERAGE ANNUAL RETURN 33.38% 31.46%
<TABLE>
<CAPTION>
Return for 5 Years
WITH DEATH BENEFIT CHARGE
FUND GROSS ADMIN/ ADMIN/
MONTH YEAR NAV SHARES VALUE MTHLY M&E ERV MTHLY M&E ERV
<S> <C> <C> <C> <C> <C> <C> <C> <C>
12 1994 23.13 109.5119128 2533.01054 1000.00000 1000.00000
1 1995 23.07 109.5119128 2526.43983 1.08333 996.32263 1.37503 996.03093
2 1995 24.14 109.5119128 2643.61757 1.07935 1041.45331 1.36958 1040.85785
3 1995 24.71 109.5119128 2706.03936 1.12824 1064.91613 1.43121 1064.00364
4 1995 26.05 109.5119128 2852.78533 1.15366 1121.51187 1.46304 1120.24052
5 1995 26.27 110.8533915 2912.11860 1.21497 1143.62251 1.54037 1141.99932
6 1995 28.60 110.8533915 3170.40700 1.23892 1243.81642 1.57029 1241.71790
7 1995 30.91 110.8533915 3426.47833 1.34747 1342.93105 1.70740 1340.30309
8 1995 31.52 110.8533915 3494.09890 1.45484 1367.97856 1.84296 1364.91063
9 1995 32.73 110.8533915 3628.23150 1.48198 1419.01099 1.87680 1415.43046
10 1995 31.63 110.8533915 3506.29277 1.53726 1369.78317 1.94626 1365.91397
11 1995 31.59 110.8533915 3501.85864 1.48393 1366.56698 1.87818 1362.30843
12 1995 31.16 110.8533915 3454.19168 1.48045 1346.48496 1.87322 1341.89160
1 1996 32.17 110.8533915 3566.15361 1.45869 1388.67035 1.84515 1383.54166
2 1996 33.26 110.8533915 3686.98380 1.50439 1434.21758 1.90242 1428.51709
3 1996 32.70 110.8533915 3624.90590 1.55374 1408.51586 1.96426 1402.50083
4 1996 33.53 110.8533915 3716.91422 1.52589 1442.74129 1.92849 1436.17099
5 1996 33.06 114.0494069 3770.47339 1.56297 1461.96762 1.97478 1454.89083
6 1996 32.25 114.0494069 3678.09337 1.58380 1424.56429 2.00052 1417.24416
7 1996 29.89 114.0494069 3408.93677 1.54328 1318.77383 1.94876 1311.58389
8 1996 31.14 114.0494069 3551.49853 1.42867 1372.49628 1.80347 1364.63087
9 1996 33.15 114.0494069 3780.73784 1.48687 1459.60021 1.87641 1450.83757
10 1996 33.47 114.0494069 3817.23365 1.58123 1472.10864 1.99495 1462.84768
11 1996 35.37 114.0494069 4033.92752 1.59478 1554.08142 2.01146 1543.87807
12 1996 34.33 114.0494069 3915.31614 1.68359 1506.70247 2.12288 1496.35984
1 1997 36.86 114.0494069 4203.86114 1.63226 1616.10887 2.05754 1604.57874
2 1997 35.51 114.0494069 4049.89444 1.75078 1555.16799 2.20635 1543.60459
3 1997 34.09 114.0494069 3887.94428 1.68477 1491.29403 2.12251 1479.75529
4 1997 35.60 114.0494069 4060.15889 1.61557 1555.73460 2.03471 1543.26561
5 1997 37.43 115.1406864 4309.71589 1.68538 1649.67220 2.12204 1636.00014
6 1997 39.53 115.1406864 4551.51133 1.78714 1740.43946 2.24955 1725.53793
7 1997 43.66 115.1406864 5027.04237 1.88548 1920.39095 2.37267 1903.44534
8 1997 41.90 115.1406864 4824.39476 2.08042 1840.89669 2.61730 1824.09731
9 1997 44.28 115.1406864 5098.42960 1.99430 1943.46883 2.50819 1925.20132
10 1997 42.19 115.1406864 4857.78556 2.10542 1849.63238 2.64722 1831.68530
11 1997 42.92 115.1406864 4941.83826 2.00377 1879.63220 2.51863 1860.85974
12 1997 42.76 115.1406864 4923.41575 2.03627 1870.58892 2.55874 1851.36396
1 1998 43.50 115.1406864 5008.61986 2.02647 1900.93466 2.54569 1880.85778
2 1998 46.92 115.1406864 5402.40101 2.05935 2048.32811 2.58624 2026.14587
3 1998 49.67 115.1406864 5719.03790 2.21902 2166.16242 2.78602 2142.11307
4 1998 50.23 115.1406864 5783.51668 2.34668 2188.23795 2.94548 2163.31866
5 1998 41.91 136.9819763 5740.91463 2.37059 2169.74854 2.97464 2144.40877
6 1998 45.66 136.9819763 6254.59704 2.35056 2361.54155 2.94863 2333.33637
7 1998 46.65 136.9819763 6390.20919 2.55834 2410.18615 3.20842 2380.71934
8 1998 38.66 136.9819763 5295.72320 2.61103 1994.76939 3.27357 1969.68699
9 1998 42.26 136.9819763 5788.85832 2.16100 2178.36032 2.70839 2150.39487
10 1998 44.21 136.9819763 6055.97317 2.35989 2276.51635 2.95686 2246.66352
11 1998 47.46 136.9819763 6501.16459 2.46623 2441.40317 3.08924 2408.73276
12 1998 53.22 136.9819763 7290.18078 2.64485 2735.06009 3.31209 2697.75739
1 1999 57.00 136.9819763 7807.97265 2.96298 2926.35729 3.70951 2885.65862
2 1999 55.33 136.9819763 7579.21275 3.17022 2837.44994 3.96788 2797.14600
3 1999 59.06 136.9819763 8090.15552 3.07390 3025.65903 3.84617 2981.86580
4 1999 59.03 136.9819763 8086.04606 3.27780 3020.84433 4.10016 2976.25097
5 1999 50.97 151.4466175 7719.23410 3.27258 2880.53545 4.09244 2837.14514
6 1999 55.84 151.4466175 8456.77912 3.12058 3152.63966 3.90117 3104.32297
7 1999 53.98 151.4466175 8175.08841 3.41536 3044.21159 4.26855 2996.65112
8 1999 53.28 151.4466175 8069.07578 3.29790 3001.43707 4.12050 2953.67075
9 1999 52.92 151.4466175 8014.55500 3.25156 2977.90553 4.06140 2929.65212
10 1999 56.04 151.4466175 8487.06845 3.22606 3150.24759 4.02837 3098.34701
11 1999 59.35 151.4466175 8988.35675 3.41277 3332.90405 4.26033 3277.09040
12 1999 64.38 151.4466175 9750.13324 3.61065 3611.76194 4.50611 3550.32253
</TABLE>
SURRENDER CHARGE = 3.00%
FREE WITHDRAWAL AVAILABLE = 15.00% OF PRINCIPAL + 15.00% OF INTEREST
GROSS RETURN = 284.92%
GROSS ANNUAL RETURN = 30.94%
WITHOUT WITH
SURRENDER SURRENDER
CHARGE CHARGE
WITHOUT DEATH BENEFIT CHARGE
ERV 3611.76 3519.66
TOTAL RETURN 261.18% 251.97%
AVERAGE ANNUAL RETURN 29.28% 28.62%
WITH DEATH BENEFIT CHARGE
ERV 3550.32 3459.79
TOTAL RETURN 255.03% 245.98%
AVERAGE ANNUAL RETURN 28.84% 28.18%
<TABLE>
<CAPTION>
Return for 10 Years
WITH DEATH BENEFIT CHARGE
FUND GROSS ADMIN/ ADMIN/
MONTH YEAR NAV SHARES VALUE MTHLY M&E ERV MTHLY M&E ERV
<S> <C> <C> <C> <C> <C> <C> <C> <C>
12 1989 12.41 100.0000000 1241.00000 1000.00000 1000.00000
1 1990 11.27 100.0000000 1127.00000 1.08333 907.05526 1.37503 906.76356
2 1990 11.24 100.0000000 1124.00000 0.98264 903.65810 1.24683 903.10299
3 1990 11.74 100.0000000 1174.00000 0.97896 942.87745 1.24180 942.03481
4 1990 11.75 100.4926108 1180.78818 1.02145 947.30781 1.29533 946.18642
5 1990 13.27 100.4926108 1333.53695 1.02625 1068.82691 1.30104 1067.28566
6 1990 13.63 100.4926108 1369.71429 1.15790 1096.66507 1.46755 1094.77236
7 1990 13.12 100.4926108 1318.46305 1.18805 1054.44259 1.50535 1052.30341
8 1990 11.93 100.4926108 1198.87685 1.14231 957.66105 1.44695 955.41125
9 1990 11.42 100.4926108 1147.62562 1.03747 915.68418 1.31372 913.25430
10 1990 11.74 100.4926108 1179.78325 0.99199 940.35058 1.25576 937.58886
11 1990 12.43 100.4926108 1249.12315 1.01871 994.59950 1.28922 991.40495
12 1990 12.86 100.4926108 1292.33498 1.07748 1027.92891 1.36321 1024.33812
1 1991 13.73 100.4926108 1379.76355 1.11359 1096.35639 1.40850 1092.22777
2 1991 14.76 100.4926108 1483.27094 1.18772 1177.41537 1.50185 1172.66289
3 1991 15.33 100.4926108 1540.55172 1.27553 1221.60913 1.61245 1216.33620
4 1991 14.98 100.7921132 1509.86586 1.32341 1195.95279 1.67250 1190.43580
5 1991 15.50 100.7921132 1562.27776 1.29562 1236.17222 1.63689 1230.12245
6 1991 14.67 100.7921132 1478.62030 1.33919 1168.63801 1.69146 1162.55992
7 1991 15.81 100.7921132 1593.52331 1.26602 1258.18639 1.59856 1251.30344
8 1991 16.43 100.7921132 1656.01442 1.36304 1306.16400 1.72058 1298.65358
9 1991 16.59 100.7921132 1672.14116 1.41501 1317.46878 1.78569 1309.51454
10 1991 16.30 100.7921132 1642.91145 1.42726 1293.01163 1.80063 1284.82307
11 1991 16.00 100.7921132 1612.67381 1.40076 1267.81310 1.76667 1259.40934
12 1991 18.00 100.7921132 1814.25804 1.37346 1424.91628 1.73173 1415.10378
1 1992 18.60 100.7921132 1874.73331 1.54366 1470.86983 1.94581 1460.32809
2 1992 18.73 100.7921132 1887.83628 1.59344 1479.55666 2.00800 1468.52669
3 1992 17.57 100.7921132 1770.91743 1.60285 1386.32083 2.01927 1375.55755
4 1992 17.10 101.0833169 1728.52472 1.50185 1351.63285 1.89144 1340.73764
5 1992 17.04 101.0833169 1722.45972 1.46427 1345.42601 1.84356 1334.18973
6 1992 16.54 101.0833169 1671.91806 1.45754 1304.49000 1.83456 1293.20642
7 1992 17.36 101.0833169 1754.80638 1.41320 1367.74922 1.77820 1355.54123
8 1992 17.03 101.0833169 1721.44889 1.48173 1340.26765 1.86391 1327.90954
9 1992 17.66 101.0833169 1785.13138 1.45196 1388.39694 1.82592 1375.20770
10 1992 18.31 101.0833169 1850.83553 1.50410 1437.99466 1.89096 1423.93310
11 1992 19.38 101.0833169 1958.99468 1.55783 1520.47038 1.95796 1505.18697
12 1992 20.17 101.0833169 2038.85050 1.64718 1580.80316 2.06968 1564.47424
1 1993 20.90 101.0833169 2112.64132 1.71254 1636.30363 2.15120 1618.94506
2 1993 19.96 101.0833169 2017.62300 1.77266 1560.93645 2.22610 1543.90516
3 1993 20.59 101.0833169 2081.30549 1.69101 1608.51347 2.12292 1590.51271
4 1993 19.70 101.2120526 1993.87744 1.74256 1539.20312 2.18701 1521.51406
5 1993 20.98 101.2120526 2123.42886 1.66747 1637.54479 2.09213 1618.28172
6 1993 21.20 101.2120526 2145.69552 1.77401 1652.94237 2.22519 1633.02612
7 1993 21.32 101.2120526 2157.84096 1.79069 1660.50796 2.24547 1640.02420
8 1993 22.50 101.2120526 2277.27118 1.79888 1750.61336 2.25509 1728.53968
9 1993 23.30 101.2120526 2358.24083 1.89650 1810.96090 2.37680 1787.62207
10 1993 23.68 101.2120526 2396.70141 1.96187 1838.53401 2.45804 1814.31838
11 1993 23.29 101.2120526 2357.22871 1.99175 1806.26235 2.49475 1781.94255
12 1993 24.67 101.2120526 2496.90134 1.95678 1911.33185 2.45023 1885.07758
1 1994 25.75 101.2120526 2606.21035 2.07061 1992.93527 2.59204 1965.01021
2 1994 25.50 101.2120526 2580.90734 2.15901 1971.42737 2.70195 1943.23048
3 1994 23.64 101.2120526 2392.65292 2.13571 1825.49343 2.67201 1798.81696
4 1994 23.94 101.2120526 2423.01654 1.97762 1846.68197 2.47343 1819.17115
5 1994 21.72 109.5119128 2378.59875 2.00057 1810.82874 2.50142 1783.32140
6 1994 20.68 109.5119128 2264.70636 1.96173 1722.16066 2.45213 1695.48003
7 1994 21.42 109.5119128 2345.74517 1.86567 1781.91969 2.33134 1753.81867
8 1994 23.15 109.5119128 2535.20078 1.93041 1923.90717 2.41156 1893.05540
9 1994 22.44 109.5119128 2457.44732 2.08423 1862.81757 2.60301 1832.39324
10 1994 23.48 109.5119128 2571.33971 2.01805 1947.13331 2.51960 1914.79738
11 1994 22.58 109.5119128 2472.77899 2.10939 1870.38934 2.63291 1838.76934
12 1994 23.13 109.5119128 2533.01054 2.02626 1913.92172 2.52837 1881.02942
1 1995 23.07 109.5119128 2526.43983 2.07342 1906.88353 2.58648 1873.56349
2 1995 24.14 109.5119128 2643.61757 2.06579 1993.26010 2.57621 1957.88424
3 1995 24.71 109.5119128 2706.03936 2.15937 2038.16612 2.69216 2001.42216
4 1995 26.05 109.5119128 2852.78533 2.20801 2146.48593 2.75202 2107.20538
5 1995 26.27 110.8533915 2912.11860 2.32536 2188.80397 2.89748 2148.13432
6 1995 28.60 110.8533915 3170.40700 2.37120 2380.56726 2.95376 2335.70790
7 1995 30.91 110.8533915 3426.47833 2.57895 2570.26490 3.21168 2521.14955
8 1995 31.52 110.8533915 3494.09890 2.78445 2618.20389 3.46666 2567.43705
9 1995 32.73 110.8533915 3628.23150 2.83639 2715.87596 3.53031 2662.46635
10 1995 31.63 110.8533915 3506.29277 2.94220 2621.65776 3.66098 2569.32437
11 1995 31.59 110.8533915 3501.85864 2.84013 2615.50223 3.53291 2562.54224
12 1995 31.16 110.8533915 3454.19168 2.83346 2577.06680 3.52358 2524.13758
1 1996 32.17 110.8533915 3566.15361 2.79182 2657.80635 3.47077 2602.48257
2 1996 33.26 110.8533915 3686.98380 2.87929 2744.98018 3.57850 2687.08268
3 1996 32.70 110.8533915 3624.90590 2.97373 2695.78911 3.69483 2638.14533
4 1996 33.53 110.8533915 3716.91422 2.92044 2761.29390 3.62754 2701.47989
5 1996 33.06 114.0494069 3770.47339 2.99140 2798.09158 3.71462 2736.69246
6 1996 32.25 114.0494069 3678.09337 3.03127 2726.50454 3.76304 2665.87797
7 1996 29.89 114.0494069 3408.93677 2.95371 2524.02987 3.66567 2467.12789
8 1996 31.14 114.0494069 3551.49853 2.73437 2626.85045 3.39238 2566.91081
9 1996 33.15 114.0494069 3780.73784 2.84575 2793.56055 3.52959 2729.06815
10 1996 33.47 114.0494069 3817.23365 3.02636 2817.50069 3.75256 2751.65953
11 1996 35.37 114.0494069 4033.92752 3.05229 2974.39018 3.78362 2904.08007
12 1996 34.33 114.0494069 3915.31614 3.22226 2883.71059 3.99321 2814.69689
1 1997 36.86 114.0494069 4203.86114 3.12402 3093.10588 3.87030 3018.25983
2 1997 35.51 114.0494069 4049.89444 3.35086 2976.46980 4.15021 2903.56565
3 1997 34.09 114.0494069 3887.94428 3.22451 2854.22003 3.99250 2783.46323
4 1997 35.60 114.0494069 4060.15889 3.09207 2977.55425 3.82735 2902.92803
5 1997 37.43 115.1406864 4309.71589 3.22568 3157.34345 3.99162 3077.36440
6 1997 39.53 115.1406864 4551.51133 3.42046 3331.06490 4.23148 3245.78762
7 1997 43.66 115.1406864 5027.04237 3.60865 3675.47795 4.46307 3580.43670
8 1997 41.90 115.1406864 4824.39476 3.98177 3523.33216 4.92322 3431.18071
9 1997 44.28 115.1406864 5098.42960 3.81694 3719.64721 4.71799 3621.36034
10 1997 42.19 115.1406864 4857.78556 4.02962 3540.05159 4.97949 3445.45395
11 1997 42.92 115.1406864 4941.83826 3.83506 3597.46891 4.73761 3500.33191
12 1997 42.76 115.1406864 4923.41575 3.89726 3580.16077 4.81307 3482.47007
1 1998 43.50 115.1406864 5008.61986 3.87851 3638.24014 4.78851 3537.94882
2 1998 46.92 115.1406864 5402.40101 3.94143 3920.33966 4.86480 3811.24000
3 1998 49.67 115.1406864 5719.03790 4.24703 4145.86531 5.24058 4029.37772
4 1998 50.23 115.1406864 5783.51668 4.49135 4188.11614 5.54053 4069.26605
5 1998 41.91 136.9819763 5740.91463 4.53713 4152.72887 5.59538 4033.69599
6 1998 45.66 136.9819763 6254.59704 4.49879 4519.80568 5.54647 4389.07436
7 1998 46.65 136.9819763 6390.20919 4.89646 4612.90763 6.03512 4478.20313
8 1998 38.66 136.9819763 5295.72320 4.99732 3817.83246 6.15768 3705.03917
9 1998 42.26 136.9819763 5788.85832 4.13599 4169.21114 5.09455 4044.95603
10 1998 44.21 136.9819763 6055.97317 4.51665 4357.07409 5.56195 4226.04018
11 1998 47.46 136.9819763 6501.16459 4.72016 4672.65455 5.81095 4530.89720
12 1998 53.22 136.9819763 7290.18078 5.06204 5234.69092 6.23013 5074.56103
1 1999 57.00 136.9819763 7807.97265 5.67091 5600.81879 6.97769 5428.00876
2 1999 55.33 136.9819763 7579.21275 6.06755 5430.65707 7.46369 5261.51393
3 1999 59.06 136.9819763 8090.15552 5.88321 5790.87455 7.23476 5608.97730
4 1999 59.03 136.9819763 8086.04606 6.27345 5781.65958 7.71253 5598.41564
5 1999 50.97 151.4466175 7719.23410 6.26346 5513.11936 7.69801 5336.75348
6 1999 55.84 151.4466175 8456.77912 5.97255 6033.90552 7.33821 5839.32285
7 1999 53.98 151.4466175 8175.08841 6.53673 5826.38268 8.02926 5636.78892
8 1999 53.28 151.4466175 8069.07578 6.31191 5744.51560 7.75077 5555.94159
9 1999 52.92 151.4466175 8014.55500 6.22323 5699.47808 7.63960 5510.76184
10 1999 56.04 151.4466175 8487.06845 6.17443 6029.32730 7.57748 5828.08188
11 1999 59.35 151.4466175 8988.35675 6.53177 6378.91747 8.01381 6164.30346
12 1999 64.38 151.4466175 9750.13324 6.91049 6912.62963 8.47612 6678.26115
</TABLE>
SURRENDER CHARGE = 0.00%
FREE WITHDRAWAL AVAILABLE = 15.00% OF PRINCIPAL + 15.00% OF INTEREST
GROSS RETURN = 685.67%
GROSS ANNUAL RETURN = 22.89%
WITHOUT WITH
SURRENDER SURRENDER
CHARGE CHARGE
WITHOUT DEATH BENEFIT CHARGE
ERV 6912.63 6912.63
TOTAL RETURN 591.26% 591.26%
AVERAGE ANNUAL RETURN 21.33% 21.33%
WITH DEATH BENEFIT CHARGE
ERV 6678.26 6678.26
TOTAL RETURN 567.83% 567.83%
AVERAGE ANNUAL RETURN 20.91% 20.91%
<TABLE>
<CAPTION>
Return for Inception
WITH DEATH BENEFIT CHARGE
FUND GROSS ADMIN/ ADMIN/
MONTH YEAR NAV SHARES VALUE MTHLY M&E ERV MTHLY M&E ERV
<S> <C> <C> <C> <C> <C> <C> <C> <C>
12 1988 10.00 100.0000000 1000.00000 1000.00000 1000.00000
1 1989 10.31 100.0000000 1031.00000 1.08333 1029.91667 1.37503 1029.62497
2 1989 10.07 100.0000000 1007.00000 1.11574 1004.82614 1.41577 1004.24121
3 1989 10.25 100.0000000 1025.00000 1.08856 1021.69872 1.38087 1020.81103
4 1989 10.92 100.0000000 1092.00000 1.10684 1087.37609 1.40365 1086.13356
5 1989 11.40 100.0000000 1140.00000 1.17799 1133.99485 1.49347 1132.38223
6 1989 11.15 100.0000000 1115.00000 1.22849 1107.89805 1.55706 1105.99222
7 1989 11.98 100.0000000 1198.00000 1.20022 1189.16916 1.52078 1186.80091
8 1989 12.47 100.0000000 1247.00000 1.28827 1236.51970 1.63189 1233.71096
9 1989 12.59 100.0000000 1259.00000 1.33956 1247.07928 1.69639 1243.88669
10 1989 12.12 100.0000000 1212.00000 1.35100 1199.17330 1.71039 1195.74050
11 1989 12.41 100.0000000 1241.00000 1.29910 1226.56728 1.64418 1222.70727
12 1989 12.41 100.0000000 1241.00000 1.32878 1225.23850 1.68126 1221.02600
1 1990 11.27 100.0000000 1127.00000 1.32734 1111.35903 1.67895 1107.18189
2 1990 11.24 100.0000000 1124.00000 1.20397 1107.19670 1.52241 1102.71223
3 1990 11.74 100.0000000 1174.00000 1.19946 1155.24976 1.51627 1150.24900
4 1990 11.75 100.4926108 1180.78818 1.25152 1160.67800 1.58163 1155.31822
5 1990 13.27 100.4926108 1333.53695 1.25740 1309.56788 1.58860 1303.18355
6 1990 13.63 100.4926108 1369.71429 1.41870 1343.67626 1.79192 1336.74552
7 1990 13.12 100.4926108 1318.46305 1.45565 1291.94366 1.83807 1284.88982
8 1990 11.93 100.4926108 1198.87685 1.39961 1173.36319 1.76677 1166.58198
9 1990 11.42 100.4926108 1147.62562 1.27114 1121.93151 1.60409 1115.10725
10 1990 11.74 100.4926108 1179.78325 1.21543 1152.15374 1.53331 1144.82038
11 1990 12.43 100.4926108 1249.12315 1.24817 1218.62160 1.57417 1210.53122
12 1990 12.86 100.4926108 1292.33498 1.32017 1259.45808 1.66452 1250.74349
1 1991 13.73 100.4926108 1379.76355 1.36441 1343.29807 1.71981 1333.63851
2 1991 14.76 100.4926108 1483.27094 1.45524 1442.61464 1.83380 1431.85189
3 1991 15.33 100.4926108 1540.55172 1.56283 1496.76254 1.96884 1485.17814
4 1991 14.98 100.7921132 1509.86586 1.62149 1465.32740 2.04217 1453.55307
5 1991 15.50 100.7921132 1562.27776 1.58744 1514.60580 1.99868 1502.01150
6 1991 14.67 100.7921132 1478.62030 1.64082 1431.86028 2.06532 1419.51589
7 1991 15.81 100.7921132 1593.52331 1.55118 1541.57840 1.95188 1527.87404
8 1991 16.43 100.7921132 1656.01442 1.67004 1600.36242 2.10088 1585.68979
9 1991 16.59 100.7921132 1672.14116 1.73373 1614.21347 2.18038 1598.95131
10 1991 16.30 100.7921132 1642.91145 1.74873 1584.24763 2.19861 1568.80238
11 1991 16.00 100.7921132 1612.67381 1.71627 1553.37343 2.15716 1537.77156
12 1991 18.00 100.7921132 1814.25804 1.68282 1745.86229 2.11449 1727.87852
1 1992 18.60 100.7921132 1874.73331 1.89135 1802.16635 2.37589 1783.09858
2 1992 18.73 100.7921132 1887.83628 1.95235 1812.80978 2.45182 1793.10927
3 1992 17.57 100.7921132 1770.91743 1.96388 1698.57365 2.46558 1679.59154
4 1992 17.10 101.0833169 1728.52472 1.84012 1656.07260 2.30949 1637.07552
5 1992 17.04 101.0833169 1722.45972 1.79408 1648.46775 2.25103 1629.08036
6 1992 16.54 101.0833169 1671.91806 1.78584 1598.31137 2.24004 1579.03867
7 1992 17.36 101.0833169 1754.80638 1.73150 1675.81901 2.17123 1655.15109
8 1992 17.03 101.0833169 1721.44889 1.81547 1642.14753 2.27589 1621.41208
9 1992 17.66 101.0833169 1785.13138 1.77899 1701.11739 2.22950 1679.16436
10 1992 18.31 101.0833169 1850.83553 1.84288 1761.88642 2.30891 1738.65935
11 1992 19.38 101.0833169 1958.99468 1.90871 1862.93885 2.39071 1837.87243
12 1992 20.17 101.0833169 2038.85050 2.01818 1936.86090 2.52714 1910.26373
1 1993 20.90 101.0833169 2112.64132 2.09827 2004.86221 2.62668 1976.77401
2 1993 19.96 101.0833169 2017.62300 2.17193 1912.51944 2.71813 1885.14834
3 1993 20.59 101.0833169 2081.30549 2.07190 1970.81263 2.59214 1942.05738
4 1993 19.70 101.2120526 1993.87744 2.13505 1885.89093 2.67039 1857.80823
5 1993 20.98 101.2120526 2123.42886 2.04305 2006.38293 2.55455 1975.96407
6 1993 21.20 101.2120526 2145.69552 2.17358 2025.24863 2.71702 1993.96736
7 1993 21.32 101.2120526 2157.84096 2.19402 2034.51829 2.74177 2002.51220
8 1993 22.50 101.2120526 2277.27118 2.20406 2144.91889 2.75352 2110.59190
9 1993 23.30 101.2120526 2358.24083 2.32366 2218.85902 2.90213 2182.73303
10 1993 23.68 101.2120526 2396.70141 2.40376 2252.64265 3.00133 2215.32993
11 1993 23.29 101.2120526 2357.22871 2.44036 2213.10218 3.04615 2175.79819
12 1993 24.67 101.2120526 2496.90134 2.39753 2341.83737 2.99179 2301.72874
1 1994 25.75 101.2120526 2606.21035 2.53699 2441.82102 3.16495 2399.32856
2 1994 25.50 101.2120526 2580.90734 2.64531 2415.46872 3.29916 2372.73495
3 1994 23.64 101.2120526 2392.65292 2.61676 2236.66483 3.26259 2196.40229
4 1994 23.94 101.2120526 2423.01654 2.42305 2262.62585 3.02013 2221.25529
5 1994 21.72 109.5119128 2378.59875 2.45118 2218.69710 3.05430 2177.48180
6 1994 20.68 109.5119128 2264.70636 2.40359 2110.05755 2.99411 2070.22521
7 1994 21.42 109.5119128 2345.74517 2.28590 2183.27662 2.84663 2141.45821
8 1994 23.15 109.5119128 2535.20078 2.36522 2357.24513 2.94458 2311.46987
9 1994 22.44 109.5119128 2457.44732 2.55368 2282.39581 3.17835 2237.39979
10 1994 23.48 109.5119128 2571.33971 2.47260 2385.70270 3.07650 2338.01740
11 1994 22.58 109.5119128 2472.77899 2.58451 2291.67303 3.21485 2245.18519
12 1994 23.13 109.5119128 2533.01054 2.48265 2345.01058 3.08720 2296.78584
1 1995 23.07 109.5119128 2526.43983 2.54043 2336.38712 3.15816 2287.66974
2 1995 24.14 109.5119128 2643.61757 2.53109 2442.21902 3.14562 2390.62757
3 1995 24.71 109.5119128 2706.03936 2.64574 2497.23960 3.28719 2443.78850
4 1995 26.05 109.5119128 2852.78533 2.70534 2629.95721 3.36029 2572.95256
5 1995 26.27 110.8533915 2912.11860 2.84912 2681.80689 3.53790 2622.92787
6 1995 28.60 110.8533915 3170.40700 2.90529 2916.76266 3.60661 2851.96008
7 1995 30.91 110.8533915 3426.47833 3.15983 3149.18752 3.92154 3078.38916
8 1995 31.52 110.8533915 3494.09890 3.41162 3207.92421 4.23289 3134.90740
9 1995 32.73 110.8533915 3628.23150 3.47525 3327.59580 4.31060 3250.94065
10 1995 31.63 110.8533915 3506.29277 3.60490 3212.15603 4.47015 3137.21187
11 1995 31.59 110.8533915 3501.85864 3.47984 3204.61403 4.31377 3128.93071
12 1995 31.16 110.8533915 3454.19168 3.47167 3157.52147 4.30238 3082.03763
1 1996 32.17 110.8533915 3566.15361 3.42065 3256.44667 4.23790 3177.69889
2 1996 33.26 110.8533915 3686.98380 3.52782 3363.25541 4.36944 3280.99783
3 1996 32.70 110.8533915 3624.90590 3.64353 3302.98461 4.51148 3221.24405
4 1996 33.53 110.8533915 3716.91422 3.57823 3383.24360 4.42932 3298.57720
5 1996 33.06 114.0494069 3770.47339 3.66518 3428.32954 4.53565 3341.57266
6 1996 32.25 114.0494069 3678.09337 3.71402 3340.61833 4.59477 3255.10632
7 1996 29.89 114.0494069 3408.93677 3.61900 3092.53858 4.47588 3012.42731
8 1996 31.14 114.0494069 3551.49853 3.35025 3218.51831 4.14219 3134.26486
9 1996 33.15 114.0494069 3780.73784 3.48673 3422.77795 4.30972 3332.26318
10 1996 33.47 114.0494069 3817.23365 3.70801 3452.11033 4.58197 3359.84785
11 1996 35.37 114.0494069 4033.92752 3.73979 3644.33737 4.61990 3545.95728
12 1996 34.33 114.0494069 3915.31614 3.94803 3533.23325 4.87581 3436.81810
1 1997 36.86 114.0494069 4203.86114 3.82767 3789.79241 4.72574 3685.37374
2 1997 35.51 114.0494069 4049.89444 4.10561 3646.88540 5.06751 3545.32916
3 1997 34.09 114.0494069 3887.94428 3.95079 3497.10027 4.87495 3398.68099
4 1997 35.60 114.0494069 4060.15889 3.78853 3648.21411 4.67330 3544.55061
5 1997 37.43 115.1406864 4309.71589 3.95223 3868.49876 4.87388 3757.54196
6 1997 39.53 115.1406864 4551.51133 4.19087 4081.34896 5.16675 3963.19109
7 1997 43.66 115.1406864 5027.04237 4.42146 4503.33710 5.44952 4371.80631
8 1997 41.90 115.1406864 4824.39476 4.87862 4316.92222 6.01138 4189.56087
9 1997 44.28 115.1406864 5098.42960 4.67667 4557.45497 5.76079 4421.77514
10 1997 42.19 115.1406864 4857.78556 4.93724 4337.40750 6.08009 4206.98887
11 1997 42.92 115.1406864 4941.83826 4.69886 4407.75741 5.78475 4273.99629
12 1997 42.76 115.1406864 4923.41575 4.77507 4386.55081 5.87689 4252.18652
1 1998 43.50 115.1406864 5008.61986 4.75210 4457.71190 5.84690 4319.92751
2 1998 46.92 115.1406864 5402.40101 4.82919 4803.35109 5.94004 4653.62314
3 1998 49.67 115.1406864 5719.03790 5.20363 5079.67380 6.39889 4919.97497
4 1998 50.23 115.1406864 5783.51668 5.50298 5131.44115 6.76513 4968.67967
5 1998 41.91 136.9819763 5740.91463 5.55906 5088.08330 6.83210 4925.24770
6 1998 45.66 136.9819763 6254.59704 5.51209 5537.83993 6.77238 5359.17393
7 1998 46.65 136.9819763 6390.20919 5.99933 5651.91204 7.36904 5468.00248
8 1998 38.66 136.9819763 5295.72320 6.12290 4677.75532 7.51869 4523.94918
9 1998 42.26 136.9819763 5788.85832 5.06757 5108.27801 6.22058 4938.99650
10 1998 44.21 136.9819763 6055.97317 5.53397 5338.45493 6.79128 5160.10496
11 1998 47.46 136.9819763 6501.16459 5.78333 5725.11627 7.09532 5532.34330
12 1998 53.22 136.9819763 7290.18078 6.20221 6413.74486 7.60716 6196.17099
1 1999 57.00 136.9819763 7807.97265 6.94822 6862.33883 8.51994 6627.73985
2 1999 55.33 136.9819763 7579.21275 7.43420 6653.85014 9.11336 6424.44534
3 1999 59.06 136.9819763 8090.15552 7.20834 7095.20245 8.83383 6848.70714
4 1999 59.03 136.9819763 8086.04606 7.68647 7083.91192 9.41720 6835.81108
5 1999 50.97 151.4466175 7719.23410 7.67424 6754.88611 9.39947 6516.31478
6 1999 55.84 151.4466175 8456.77912 7.31779 7392.97336 8.96015 7129.96505
7 1999 53.98 151.4466175 8175.08841 8.00905 7138.70839 9.80394 6882.66586
8 1999 53.28 151.4466175 8069.07578 7.73360 7038.40169 9.46389 6783.94916
9 1999 52.92 151.4466175 8014.55500 7.62493 6983.21999 9.32816 6728.78351
10 1999 56.04 151.4466175 8487.06845 7.56515 7387.36395 9.25230 7116.23953
11 1999 59.35 151.4466175 8988.35675 8.00298 7815.69528 9.78507 7526.77483
12 1999 64.38 151.4466175 9750.13324 8.46700 8469.61997 10.34957 8154.33052
</TABLE>
SURRENDER CHARGE = 0.00%
FREE WITHDRAWAL AVAILABLE = 15.00% OF PRINCIPAL + 15.00% OF INTEREST
GROSS RETURN = 875.01%
GROSS ANNUAL RETURN = 23.06%
WITHOUT WITH
SURRENDER SURRENDER
CHARGE CHARGE
WITHOUT DEATH BENEFIT CHARGE
ERV 8469.62 8469.62
TOTAL RETURN 746.96% 746.96%
AVERAGE ANNUAL RETURN 21.49% 21.49%
WITH DEATH BENEFIT CHARGE
ERV 8154.33 8154.33
TOTAL RETURN 715.43% 715.43%
AVERAGE ANNUAL RETURN 21.07% 21.07%
<TABLE>
<CAPTION>
Return for Product Inception
WITH DEATH BENEFIT CHARGE
FUND GROSS ADMIN/ ADMIN/
MONTH YEAR NAV SHARES VALUE MTHLY M&E ERV MTHLY M&E ERV
<S> <C> <C> <C> <C> <C> <C> <C> <C>
6 1995 28.60 110.8533915 3170.40700 1000.00000 1000.00000
7 1995 30.91 110.8533915 3426.47833 1.08333 1079.68590 1.37503 1079.39420
8 1995 31.52 110.8533915 3494.09890 1.16966 1099.82353 1.48420 1099.21153
9 1995 32.73 110.8533915 3628.23150 1.19148 1140.85244 1.51145 1139.89697
10 1995 31.63 110.8533915 3506.29277 1.23592 1101.27439 1.56740 1100.01956
11 1995 31.59 110.8533915 3501.85864 1.19305 1098.68865 1.51256 1097.11589
12 1995 31.16 110.8533915 3454.19168 1.19025 1082.54316 1.50857 1080.67348
1 1996 32.17 110.8533915 3566.15361 1.17276 1116.45925 1.48596 1114.21577
2 1996 33.26 110.8533915 3686.98380 1.20950 1153.07819 1.53208 1150.43610
3 1996 32.70 110.8533915 3624.90590 1.24917 1132.41459 1.58189 1129.48427
4 1996 33.53 110.8533915 3716.91422 1.22678 1159.93106 1.55308 1156.60006
5 1996 33.06 114.0494069 3770.47339 1.25659 1175.38858 1.59036 1171.67582
6 1996 32.25 114.0494069 3678.09337 1.27334 1145.31716 1.61109 1141.35760
7 1996 29.89 114.0494069 3408.93677 1.24076 1060.26404 1.56940 1056.26560
8 1996 31.14 114.0494069 3551.49853 1.14862 1103.45567 1.45240 1098.98623
9 1996 33.15 114.0494069 3780.73784 1.19541 1173.48524 1.51114 1168.41158
10 1996 33.47 114.0494069 3817.23365 1.27128 1183.54173 1.60660 1178.08376
11 1996 35.37 114.0494069 4033.92752 1.28217 1249.44597 1.61990 1243.34043
12 1996 34.33 114.0494069 3915.31614 1.35357 1211.35439 1.70963 1205.07230
1 1997 36.86 114.0494069 4203.86114 1.31230 1299.31463 1.65701 1292.22487
2 1997 35.51 114.0494069 4049.89444 1.40759 1250.31956 1.77685 1243.12019
3 1997 34.09 114.0494069 3887.94428 1.35451 1198.96635 1.70933 1191.70006
4 1997 35.60 114.0494069 4060.15889 1.29888 1250.77510 1.63863 1242.84720
5 1997 37.43 115.1406864 4309.71589 1.35501 1326.29878 1.70896 1317.52965
6 1997 39.53 115.1406864 4551.51133 1.43682 1399.27359 1.81165 1389.63765
7 1997 43.66 115.1406864 5027.04237 1.51588 1543.95047 1.91080 1532.91287
8 1997 41.90 115.1406864 4824.39476 1.67261 1480.03890 2.10781 1469.01105
9 1997 44.28 115.1406864 5098.42960 1.60338 1562.50456 2.01994 1550.43374
10 1997 42.19 115.1406864 4857.78556 1.69271 1487.06220 2.13190 1475.12193
11 1997 42.92 115.1406864 4941.83826 1.61098 1511.18137 2.02834 1498.61715
12 1997 42.76 115.1406864 4923.41575 1.63711 1503.91078 2.06065 1490.96986
1 1998 43.50 115.1406864 5008.61986 1.62924 1528.30806 2.05013 1514.72229
2 1998 46.92 115.1406864 5402.40101 1.65567 1646.80903 2.08279 1631.72801
3 1998 49.67 115.1406864 5719.03790 1.78404 1741.54512 2.24368 1725.12056
4 1998 50.23 115.1406864 5783.51668 1.88667 1759.29335 2.37210 1742.19818
5 1998 41.91 136.9819763 5740.91463 1.90590 1744.42829 2.39558 1726.96937
6 1998 45.66 136.9819763 6254.59704 1.88980 1898.62549 2.37464 1879.11954
7 1998 46.65 136.9819763 6390.20919 2.05684 1937.73464 2.58385 1917.27876
8 1998 38.66 136.9819763 5295.72320 2.09921 1603.74904 2.63632 1586.25964
9 1998 42.26 136.9819763 5788.85832 1.73739 1751.35196 2.18116 1731.79019
10 1998 44.21 136.9819763 6055.97317 1.89730 1830.26716 2.38127 1809.31879
11 1998 47.46 136.9819763 6501.16459 1.98279 1962.83240 2.48787 1939.83897
12 1998 53.22 136.9819763 7290.18078 2.12640 2198.92586 2.66734 2172.60088
1 1999 57.00 136.9819763 7807.97265 2.38217 2352.72445 2.98740 2323.92448
2 1999 55.33 136.9819763 7579.21275 2.54878 2281.24496 3.19547 2252.64210
3 1999 59.06 136.9819763 8090.15552 2.47135 2432.56078 3.09746 2401.40358
4 1999 59.03 136.9819763 8086.04606 2.63527 2428.68986 3.30201 2396.88176
5 1999 50.97 151.4466175 7719.23410 2.63108 2315.88473 3.29579 2284.85484
6 1999 55.84 151.4466175 8456.77912 2.50888 2534.65030 3.14175 2500.02274
7 1999 53.98 151.4466175 8175.08841 2.74587 2447.47661 3.43761 2413.31073
8 1999 53.28 151.4466175 8069.07578 2.65143 2413.08687 3.31838 2378.69710
9 1999 52.92 151.4466175 8014.55500 2.61418 2394.16805 3.27079 2359.35403
10 1999 56.04 151.4466175 8487.06845 2.59368 2532.72713 3.24419 2495.21008
11 1999 59.35 151.4466175 8988.35675 2.74379 2679.57876 3.43100 2639.15855
12 1999 64.38 151.4466175 9750.13324 2.90288 2903.77413 3.62893 2859.20220
</TABLE>
SURRENDER CHARGE = 3.00%
FREE WITHDRAWAL AVAILABLE = 15.00% OF PRINCIPAL + 15.00% OF INTEREST
GROSS RETURN = 207.54%
GROSS ANNUAL RETURN = 27.77%
WITHOUT WITH
SURRENDER SURRENDER
CHARGE CHARGE
WITHOUT DEATH BENEFIT CHARGE
ERV 2903.77 2829.73
TOTAL RETURN 190.38% 182.97%
AVERAGE ANNUAL RETURN 26.18% 25.48%
WITH DEATH BENEFIT CHARGE
ERV 2859.20 2786.29
TOTAL RETURN 185.92% 178.63%
AVERAGE ANNUAL RETURN 25.76% 25.05%
<PAGE>
Alger American Small Capitalization
12/1999
Assume ($10000 @ $10.00 on 9/21/1988)
DATE DIV PR/SH REINVEST NAV REINVEST SHARES SHARE BASIS
(incl cap gain)
100.000000
12/88 0.0650000000 9.60 0.677 100.677083
4/90 0.1400000000 16.33 0.863 101.540206
4/91 0.0200000000 22.07 0.092 101.632222
4/92 0.3810000000 21.55 1.797 103.429061
5/94 2.0910000000 25.74 8.402 111.831166
5/96 0.1640000000 45.19 0.406 112.237015
5/97 1.5570000000 37.42 4.670 116.907058
5/98 6.0570000000 40.51 17.480 134.386842
5/99 5.6800000000 39.60 19.276 153.662531
M and E Charge = 0.0010833
Death Benefit Charge = 0.0002917
<TABLE>
<CAPTION>
Return for YTD
WITH DEATH BENEFIT CHARGE
FUND GROSS ADMIN/ ADMIN/
MONTH YEAR NAV SHARES VALUE MTHLY M&E ERV MTHLY M&E ERV
<S> <C> <C> <C> <C> <C> <C> <C> <C>
12 1998 43.97 134.3868421 5908.98945 1000.00000 1000.00000
1 1999 44.47 134.3868421 5976.18287 1.08333 1010.28806 1.37503 1009.99636
2 1999 42.46 134.3868421 5706.06532 1.09448 963.52956 1.38878 962.95674
3 1999 44.28 134.3868421 5950.64937 1.04382 1003.78634 1.32410 1002.90870
4 1999 45.36 134.3868421 6095.78716 1.08744 1027.18150 1.37903 1025.99085
5 1999 39.59 153.6625306 6083.49959 1.11278 1023.99818 1.41077 1022.51194
6 1999 43.58 153.6625306 6696.61308 1.10933 1126.09048 1.40599 1124.15780
7 1999 41.62 153.6625306 6395.43452 1.21993 1074.22490 1.54575 1072.05332
8 1999 40.61 153.6625306 6240.23537 1.16374 1046.99275 1.47411 1044.56350
9 1999 42.08 153.6625306 6466.11929 1.13424 1083.75753 1.43631 1080.93828
10 1999 44.05 153.6625306 6768.83447 1.17407 1133.32021 1.48633 1130.05672
11 1999 48.17 153.6625306 7401.92410 1.22776 1238.09198 1.55387 1234.19715
12 1999 55.15 153.6625306 8474.48856 1.34127 1416.15453 1.69706 1411.33953
</TABLE>
SURRENDER CHARGE = 7.00%
FREE WITHDRAWAL AVAILABLE = 15.00% OF PRINCIPAL + 15.00% OF INTEREST
GROSS RETURN = 43.42%
WITHOUT WITH
SURRENDER SURRENDER
CHARGE CHARGE
WITHOUT DEATH BENEFIT CHARGE
ERV 1416.15 1331.89
TOTAL RETURN 41.62% 33.19%
WITH DEATH BENEFIT CHARGE
ERV 1411.34 1327.36
TOTAL RETURN 41.13% 32.74%
<TABLE>
<CAPTION>
Return for 1 Year
WITH DEATH BENEFIT CHARGE
FUND GROSS ADMIN/ ADMIN/
MONTH YEAR NAV SHARES VALUE MTHLY M&E ERV MTHLY M&E ERV
<S> <C> <C> <C> <C> <C> <C> <C> <C>
12 1998 43.97 134.3868421 5908.98945 1000.00000 1000.00000
1 1999 44.47 134.3868421 5976.18287 1.08333 1010.28806 1.37503 1009.99636
2 1999 42.46 134.3868421 5706.06532 1.09448 963.52956 1.38878 962.95674
3 1999 44.28 134.3868421 5950.64937 1.04382 1003.78634 1.32410 1002.90870
4 1999 45.36 134.3868421 6095.78716 1.08744 1027.18150 1.37903 1025.99085
5 1999 39.59 153.6625306 6083.49959 1.11278 1023.99818 1.41077 1022.51194
6 1999 43.58 153.6625306 6696.61308 1.10933 1126.09048 1.40599 1124.15780
7 1999 41.62 153.6625306 6395.43452 1.21993 1074.22490 1.54575 1072.05332
8 1999 40.61 153.6625306 6240.23537 1.16374 1046.99275 1.47411 1044.56350
9 1999 42.08 153.6625306 6466.11929 1.13424 1083.75753 1.43631 1080.93828
10 1999 44.05 153.6625306 6768.83447 1.17407 1133.32021 1.48633 1130.05672
11 1999 48.17 153.6625306 7401.92410 1.22776 1238.09198 1.55387 1234.19715
12 1999 55.15 153.6625306 8474.48856 1.34127 1416.15453 1.69706 1411.33953
</TABLE>
SURRENDER CHARGE = 7.00%
FREE WITHDRAWAL AVAILABLE = 15.00% OF PRINCIPAL + 15.00% OF INTEREST
GROSS RETURN = 43.42%
WITHOUT WITH
SURRENDER SURRENDER
CHARGE CHARGE
WITHOUT DEATH BENEFIT CHARGE
ERV 1416.15 1331.89
TOTAL RETURN 41.62% 33.19%
WITH DEATH BENEFIT CHARGE
ERV 1411.34 1327.36
TOTAL RETURN 41.13% 32.74%
<TABLE>
<CAPTION>
Return for 3 Years
WITH DEATH BENEFIT CHARGE
FUND GROSS ADMIN/ ADMIN/
MONTH YEAR NAV SHARES VALUE MTHLY M&E ERV MTHLY M&E ERV
<S> <C> <C> <C> <C> <C> <C> <C> <C>
12 1996 40.91 112.2370145 4591.61626 1000.00000 1000.00000
1 1997 41.55 112.2370145 4663.44795 1.08333 1014.56076 1.37503 1014.26906
2 1997 38.60 112.2370145 4332.34876 1.09911 941.42906 1.39465 940.86253
3 1997 36.06 112.2370145 4047.26674 1.01988 878.46022 1.29372 877.65713
4 1997 35.68 112.2370145 4004.61668 0.95167 868.25135 1.20681 867.20158
5 1997 37.56 116.9070581 4391.02910 0.94061 951.08983 1.19243 949.68694
6 1997 39.53 116.9070581 4621.33601 1.03035 999.94358 1.30585 998.19161
7 1997 43.50 116.9070581 5085.45703 1.08327 1099.28470 1.37255 1097.06750
8 1997 43.38 116.9070581 5071.42818 1.19089 1095.06130 1.50850 1092.53260
9 1997 46.66 116.9070581 5454.88333 1.18632 1176.67353 1.50227 1173.63768
10 1997 43.95 116.9070581 5138.06520 1.27473 1107.05792 1.61379 1103.85934
11 1997 43.44 116.9070581 5078.44260 1.19931 1093.01221 1.51784 1089.53220
12 1997 43.75 116.9070581 5114.68379 1.18410 1099.62815 1.49814 1095.80927
1 1998 42.94 116.9070581 5019.98908 1.19126 1078.07806 1.50677 1074.01437
2 1998 46.10 116.9070581 5389.41538 1.16792 1156.24704 1.47681 1151.57542
3 1998 48.62 116.9070581 5684.02117 1.25260 1218.19927 1.58345 1212.94142
4 1998 48.75 116.9070581 5699.21908 1.31972 1220.13677 1.66783 1214.51674
5 1998 40.51 134.3868421 5444.01098 1.32181 1164.17786 1.67000 1158.46131
6 1998 43.13 134.3868421 5796.10450 1.26119 1238.21032 1.59292 1231.79232
7 1998 40.70 134.3868421 5469.54448 1.34139 1167.10655 1.69376 1160.69779
8 1998 32.72 134.3868421 4397.13747 1.26437 937.00901 1.59600 931.52517
9 1998 35.27 134.3868421 4739.82392 1.01509 1009.01877 1.28088 1002.84176
10 1998 36.44 134.3868421 4897.05653 1.09310 1041.39751 1.37894 1034.72976
11 1998 39.00 134.3868421 5241.08684 1.12818 1113.43007 1.42279 1105.99929
12 1998 43.97 134.3868421 5908.98945 1.20622 1254.11482 1.52079 1245.42252
1 1999 44.47 134.3868421 5976.18287 1.35862 1267.01722 1.71250 1257.87221
2 1999 42.46 134.3868421 5706.06532 1.37260 1208.37669 1.72962 1199.28801
3 1999 44.28 134.3868421 5950.64937 1.30907 1258.86332 1.64906 1249.04508
4 1999 45.36 134.3868421 6095.78716 1.36377 1288.20354 1.71748 1277.79212
5 1999 39.59 153.6625306 6083.49959 1.39555 1284.21129 1.75701 1273.45940
6 1999 43.58 153.6625306 6696.61308 1.39123 1412.24676 1.75105 1400.05144
7 1999 41.62 153.6625306 6395.43452 1.52993 1347.20137 1.92512 1335.15935
8 1999 40.61 153.6625306 6240.23537 1.45947 1313.04912 1.83589 1300.92291
9 1999 42.08 153.6625306 6466.11929 1.42247 1359.15638 1.78881 1346.22488
10 1999 44.05 153.6625306 6768.83447 1.47242 1421.31367 1.85110 1407.39809
11 1999 48.17 153.6625306 7401.92410 1.53976 1552.70949 1.93522 1537.09692
12 1999 55.15 153.6625306 8474.48856 1.68210 1776.02038 2.11356 1757.71404
</TABLE>
SURRENDER CHARGE = 5.00%
FREE WITHDRAWAL AVAILABLE = 15.00% OF PRINCIPAL + 15.00% OF INTEREST
GROSS RETURN = 84.56%
GROSS ANNUAL RETURN = 22.66%
WITHOUT WITH
SURRENDER SURRENDER
CHARGE CHARGE
WITHOUT DEATH BENEFIT CHARGE
ERV 1776.02 1700.54
TOTAL RETURN 77.60% 70.05%
AVERAGE ANNUAL RETURN 21.10% 19.36%
WITH DEATH BENEFIT CHARGE
ERV 1757.71 1683.01
TOTAL RETURN 75.77% 68.30%
AVERAGE ANNUAL RETURN 20.68% 18.95%
<TABLE>
<CAPTION>
Return for 5 Years
WITH DEATH BENEFIT CHARGE
FUND GROSS ADMIN/ ADMIN/
MONTH YEAR NAV SHARES VALUE MTHLY M&E ERV MTHLY M&E ERV
<S> <C> <C> <C> <C> <C> <C> <C> <C>
12 1994 27.31 111.8311656 3054.10913 1000.00000 1000.00000
1 1995 26.84 111.8311656 3001.54849 1.08333 981.70685 1.37503 981.41515
2 1995 28.76 111.8311656 3216.26432 1.06352 1050.86976 1.34948 1050.27123
3 1995 29.59 111.8311656 3309.08419 1.13844 1080.05892 1.44416 1079.13740
4 1995 30.89 111.8311656 3454.46471 1.17006 1126.33991 1.48385 1125.06412
5 1995 32.07 111.8311656 3586.42548 1.22020 1168.14596 1.54700 1166.49464
6 1995 36.02 111.8311656 4028.15859 1.26549 1310.75876 1.60397 1308.56556
7 1995 41.18 111.8311656 4605.20740 1.41999 1497.10987 1.79932 1494.22316
8 1995 41.72 111.8311656 4665.59623 1.62187 1515.11985 2.05461 1511.76255
9 1995 42.83 111.8311656 4789.72882 1.64138 1553.78966 2.07872 1549.90569
10 1995 40.83 111.8311656 4566.06649 1.68327 1479.55025 2.13117 1475.39975
11 1995 40.76 111.8311656 4558.23831 1.60285 1475.41083 2.02872 1470.84157
12 1995 39.41 111.8311656 4407.26624 1.59836 1424.94582 2.02246 1420.10380
1 1996 39.55 111.8311656 4422.92260 1.54369 1428.46410 1.95269 1423.19588
2 1996 41.24 111.8311656 4611.91727 1.54750 1487.95590 1.95694 1482.05313
3 1996 40.87 111.8311656 4570.53974 1.61195 1472.99420 2.03787 1466.71846
4 1996 44.02 111.8311656 4922.80791 1.59574 1584.92749 2.01679 1577.74702
5 1996 45.10 112.2370145 5061.88935 1.71700 1627.98859 2.16945 1620.15280
6 1996 42.33 112.2370145 4750.99282 1.76365 1526.23539 2.22776 1518.41676
7 1996 37.34 112.2370145 4190.93012 1.65342 1344.66431 2.08787 1337.33291
8 1996 39.67 112.2370145 4452.44237 1.45672 1427.11407 1.83888 1418.94303
9 1996 42.45 112.2370145 4764.46127 1.54604 1525.57753 1.95109 1516.42884
10 1996 40.49 112.2370145 4544.47672 1.65271 1453.48591 2.08514 1444.32719
11 1996 41.18 112.2370145 4621.92026 1.57461 1476.68051 1.98600 1466.95433
12 1996 40.91 112.2370145 4591.61626 1.59974 1465.39879 2.01711 1455.31901
1 1997 41.55 112.2370145 4663.44795 1.58752 1486.73612 2.00111 1476.08505
2 1997 38.60 112.2370145 4332.34876 1.61063 1379.56901 2.02967 1369.25512
3 1997 36.06 112.2370145 4047.26674 1.49453 1287.29455 1.88277 1277.27111
4 1997 35.68 112.2370145 4004.61668 1.39457 1272.33448 1.75629 1262.05495
5 1997 37.56 116.9070581 4391.02910 1.37836 1393.72588 1.73537 1382.09745
6 1997 39.53 116.9070581 4621.33601 1.50987 1465.31612 1.90043 1452.68723
7 1997 43.50 116.9070581 5085.45703 1.58743 1610.89047 1.99749 1596.58319
8 1997 43.38 116.9070581 5071.42818 1.74513 1604.70150 2.19536 1589.98347
9 1997 46.66 116.9070581 5454.88333 1.73843 1724.29597 2.18628 1708.01723
10 1997 43.95 116.9070581 5138.06520 1.86799 1622.28135 2.34858 1606.46748
11 1997 43.44 116.9070581 5078.44260 1.75747 1601.69877 2.20895 1585.61693
12 1997 43.75 116.9070581 5114.68379 1.73517 1611.39377 2.18028 1594.75206
1 1998 42.94 116.9070581 5019.98908 1.74568 1579.81428 2.19284 1563.03353
2 1998 46.10 116.9070581 5389.41538 1.71147 1694.36302 2.14922 1675.90960
3 1998 48.62 116.9070581 5684.02117 1.83556 1785.14774 2.30443 1765.21671
4 1998 48.75 116.9070581 5699.21908 1.93391 1787.98695 2.42723 1767.50931
5 1998 40.51 134.3868421 5444.01098 1.93699 1705.98483 2.43038 1685.93076
6 1998 43.13 134.3868421 5796.10450 1.84815 1814.47191 2.31821 1792.65078
7 1998 40.70 134.3868421 5469.54448 1.96568 1710.27654 2.46495 1689.18556
8 1998 32.72 134.3868421 4397.13747 1.85280 1373.09188 2.32269 1355.66630
9 1998 35.27 134.3868421 4739.82392 1.48752 1478.61488 1.86409 1459.45469
10 1998 36.44 134.3868421 4897.05653 1.60183 1526.06265 2.00680 1505.86189
11 1998 39.00 134.3868421 5241.08684 1.65323 1631.61909 2.07061 1609.58180
12 1998 43.97 134.3868421 5908.98945 1.76759 1837.77834 2.21323 1812.48707
1 1999 44.47 134.3868421 5976.18287 1.99093 1856.68551 2.49223 1830.60534
2 1999 42.46 134.3868421 5706.06532 2.01141 1770.75375 2.51714 1745.34665
3 1999 44.28 134.3868421 5950.64937 1.91832 1844.73680 2.39991 1817.75905
4 1999 45.36 134.3868421 6095.78716 1.99846 1887.73191 2.49948 1859.59516
5 1999 39.59 153.6625306 6083.49959 2.04504 1881.88168 2.55701 1853.28968
6 1999 43.58 153.6625306 6696.61308 2.03871 2069.50470 2.54834 2037.52149
7 1999 41.62 153.6625306 6395.43452 2.24196 1974.18726 2.80166 1943.08279
8 1999 40.61 153.6625306 6240.23537 2.13870 1924.14060 2.67180 1893.25785
9 1999 42.08 153.6625306 6466.11929 2.08449 1991.70612 2.60329 1959.18667
10 1999 44.05 153.6625306 6768.83447 2.15768 2082.79134 2.69395 2048.21320
11 1999 48.17 153.6625306 7401.92410 2.25636 2275.33862 2.81636 2236.96638
12 1999 55.15 153.6625306 8474.48856 2.46495 2602.57812 3.07590 2558.03466
</TABLE>
SURRENDER CHARGE = 3.00%
FREE WITHDRAWAL AVAILABLE = 15.00% OF PRINCIPAL + 15.00% OF INTEREST
GROSS RETURN = 177.48%
GROSS ANNUAL RETURN = 22.64%
WITHOUT WITH
SURRENDER SURRENDER
CHARGE CHARGE
WITHOUT DEATH BENEFIT CHARGE
ERV 2602.58 2536.21
TOTAL RETURN 160.26% 153.62%
AVERAGE ANNUAL RETURN 21.08% 20.46%
WITH DEATH BENEFIT CHARGE
ERV 2558.03 2492.80
TOTAL RETURN 155.80% 149.28%
AVERAGE ANNUAL RETURN 20.66% 20.04%
<TABLE>
<CAPTION>
Return for 10 Years
WITH DEATH BENEFIT CHARGE
FUND GROSS ADMIN/ ADMIN/
MONTH YEAR NAV SHARES VALUE MTHLY M&E ERV MTHLY M&E ERV
<S> <C> <C> <C> <C> <C> <C> <C> <C>
12 1989 15.79 100.6770833 1589.69115 1000.00000 1000.00000
1 1990 14.39 100.6770833 1448.74323 1.08333 910.25296 1.37503 909.96126
2 1990 15.15 100.6770833 1525.25781 0.98611 957.34136 1.25123 956.76914
3 1990 16.04 100.6770833 1614.86042 1.03712 1012.54410 1.31559 1011.65979
4 1990 15.85 101.5402059 1609.41226 1.09692 1008.03109 1.39107 1006.85562
5 1990 18.05 101.5402059 1832.80072 1.09203 1146.85505 1.38446 1145.22399
6 1990 18.24 101.5402059 1852.09336 1.24243 1157.68478 1.57472 1155.70426
7 1990 17.23 101.5402059 1749.53775 1.25416 1092.32636 1.58913 1090.12054
8 1990 15.63 101.5402059 1587.07342 1.18335 989.70818 1.49895 987.39159
9 1990 14.46 101.5402059 1468.27138 1.07218 914.55035 1.35770 912.12166
10 1990 14.22 101.5402059 1443.90173 0.99076 898.38033 1.25420 895.72852
11 1990 15.75 101.5402059 1599.25824 0.97325 994.06826 1.23166 990.87271
12 1990 17.02 101.5402059 1728.21430 1.07691 1073.14797 1.36248 1069.40917
1 1991 18.25 101.5402059 1853.10876 1.16258 1149.53956 1.47047 1145.22268
2 1991 19.58 101.5402059 1988.15723 1.24533 1232.06889 1.57472 1227.10802
3 1991 21.40 101.5402059 2172.96041 1.33474 1345.25741 1.68731 1339.48284
4 1991 20.56 101.6322224 2089.55849 1.45736 1292.16678 1.84183 1286.22938
5 1991 21.70 101.6322224 2205.41923 1.39985 1362.41431 1.76861 1355.77894
6 1991 20.17 101.6322224 2049.92193 1.47595 1264.87874 1.86424 1258.32291
7 1991 21.85 101.6322224 2220.66406 1.37029 1368.86276 1.73024 1361.40093
8 1991 22.01 101.6322224 2236.92522 1.48293 1377.40353 1.87197 1369.49802
9 1991 22.65 101.6322224 2301.96984 1.49219 1415.96306 1.88311 1407.43676
10 1991 23.75 101.6322224 2413.76528 1.53396 1483.19552 1.93527 1473.85383
11 1991 22.82 101.6322224 2319.24732 1.60680 1423.50991 2.02660 1414.11421
12 1991 26.79 101.6322224 2722.72724 1.54214 1669.61608 1.94445 1658.18350
1 1992 27.52 101.6322224 2796.91876 1.80875 1713.30265 2.28006 1701.08724
2 1992 27.27 101.6322224 2771.51071 1.85608 1695.88241 2.33905 1683.29499
3 1992 24.23 101.6322224 2462.54875 1.83721 1504.99194 2.31459 1493.33036
4 1992 22.15 103.4290612 2290.95371 1.63041 1398.49086 2.05338 1387.21890
5 1992 22.15 103.4290612 2290.95371 1.51503 1396.97582 1.90747 1385.31143
6 1992 21.21 103.4290612 2193.73039 1.51339 1336.17768 1.90485 1324.61684
7 1992 22.06 103.4290612 2281.64509 1.44753 1388.27806 1.82139 1375.88005
8 1992 21.67 103.4290612 2241.30776 1.50397 1362.23064 1.89188 1349.66391
9 1992 22.87 103.4290612 2365.42263 1.47575 1436.18991 1.85583 1422.54719
10 1992 23.93 103.4290612 2475.05744 1.55587 1501.19990 1.95605 1486.52468
11 1992 25.96 103.4290612 2685.01843 1.62630 1626.92152 2.04402 1610.58367
12 1992 27.26 103.4290612 2819.47621 1.76250 1706.63044 2.21461 1689.02233
1 1993 26.52 103.4290612 2742.93870 1.84885 1658.45340 2.32246 1640.84967
2 1993 24.38 103.4290612 2521.60051 1.79666 1522.82981 2.25622 1506.18702
3 1993 24.96 103.4290612 2581.58937 1.64973 1557.40819 2.07106 1539.94814
4 1993 24.29 103.4290612 2512.29190 1.68719 1513.91557 2.11748 1496.49391
5 1993 26.36 103.4290612 2726.39005 1.64008 1641.29176 2.05773 1621.96778
6 1993 26.72 103.4290612 2763.62452 1.77807 1661.92891 2.23026 1641.88882
7 1993 26.72 103.4290612 2763.62452 1.80042 1660.12849 2.25765 1639.63117
8 1993 28.89 103.4290612 2988.06558 1.79847 1793.15332 2.25455 1770.53529
9 1993 30.17 103.4290612 3120.45478 1.94258 1870.65817 2.43454 1846.54606
10 1993 30.16 103.4290612 3119.42049 2.02655 1868.01158 2.53906 1843.39495
11 1993 29.06 103.4290612 3005.64852 2.02368 1797.85751 2.53473 1773.62765
12 1993 30.88 103.4290612 3193.88941 1.94768 1908.50793 2.43880 1882.26945
1 1994 30.54 103.4290612 3158.72353 2.06755 1885.42701 2.58818 1858.95680
2 1994 30.23 103.4290612 3126.66052 2.04255 1864.24621 2.55613 1837.53111
3 1994 28.11 103.4290612 2907.39091 2.01960 1731.48887 2.52667 1706.14020
4 1994 28.37 103.4290612 2934.28247 1.87578 1745.62828 2.34600 1719.57494
5 1994 25.48 111.8311656 2849.45810 1.89110 1693.27448 2.36447 1667.50092
6 1994 24.29 111.8311656 2716.37901 1.83438 1612.35860 2.29287 1587.33026
7 1994 24.74 111.8311656 2766.70304 1.74672 1640.48267 2.18263 1614.55473
8 1994 26.69 111.8311656 2984.77381 1.77719 1768.00787 2.22007 1739.59342
9 1994 26.52 111.8311656 2965.76251 1.91534 1754.83133 2.39200 1726.12121
10 1994 27.76 111.8311656 3104.43316 1.90107 1834.98120 2.37347 1804.45627
11 1994 26.40 111.8311656 2952.34277 1.98790 1743.09509 2.48119 1713.57233
12 1994 27.31 111.8311656 3054.10913 1.88835 1801.29070 2.35622 1770.28243
1 1995 26.84 111.8311656 3001.54849 1.95140 1768.33942 2.43420 1737.38200
2 1995 28.76 111.8311656 3216.26432 1.91570 1892.92192 2.38896 1859.27670
3 1995 29.59 111.8311656 3309.08419 2.05067 1945.50009 2.55657 1910.37798
4 1995 30.89 111.8311656 3454.46471 2.10763 2028.86560 2.62683 1991.68124
5 1995 32.07 111.8311656 3586.42548 2.19794 2104.17046 2.73863 2065.02496
6 1995 36.02 111.8311656 4028.15859 2.27952 2361.05755 2.83948 2316.53062
7 1995 41.18 111.8311656 4605.20740 2.55781 2696.73009 3.18531 2645.19701
8 1995 41.72 111.8311656 4665.59623 2.92146 2729.17129 3.63723 2676.24667
9 1995 42.83 111.8311656 4789.72882 2.95660 2798.82686 3.67993 2743.77081
10 1995 40.83 111.8311656 4566.06649 3.03206 2665.10011 3.77278 2611.87425
11 1995 40.76 111.8311656 4558.23831 2.88719 2657.64380 3.59141 2603.80498
12 1995 39.41 111.8311656 4407.26624 2.87911 2566.74164 3.58032 2513.98480
1 1996 39.55 111.8311656 4422.92260 2.78064 2573.07910 3.45681 2519.45866
2 1996 41.24 111.8311656 4611.91727 2.78750 2680.24112 3.46434 2623.65260
3 1996 40.87 111.8311656 4570.53974 2.90359 2653.29074 3.60761 2596.50592
4 1996 44.02 111.8311656 4922.80791 2.87440 2854.91514 3.57028 2793.05782
5 1996 45.10 112.2370145 5061.88935 3.09282 2932.48070 3.84055 2868.12803
6 1996 42.33 112.2370145 4750.99282 3.17685 2749.19361 3.94377 2688.02651
7 1996 37.34 112.2370145 4190.93012 2.97829 2422.13131 3.69613 2367.45695
8 1996 39.67 112.2370145 4452.44237 2.62398 2570.64729 3.25533 2511.92992
9 1996 42.45 112.2370145 4764.46127 2.78487 2748.00861 3.45399 2684.50732
10 1996 40.49 112.2370145 4544.47672 2.97701 2618.15064 3.69129 2556.86705
11 1996 41.18 112.2370145 4621.92026 2.83633 2659.93086 3.51578 2596.92347
12 1996 40.91 112.2370145 4591.61626 2.88159 2639.60921 3.57086 2576.32568
1 1997 41.55 112.2370145 4663.44795 2.85958 2678.04394 3.54253 2613.08743
2 1997 38.60 112.2370145 4332.34876 2.90121 2485.00483 3.59308 2423.96828
3 1997 36.06 112.2370145 4047.26674 2.69209 2318.79170 3.33304 2261.13060
4 1997 35.68 112.2370145 4004.61668 2.51202 2291.84426 3.10913 2234.19369
5 1997 37.56 116.9070581 4391.02910 2.48283 2510.50547 3.07209 2446.70283
6 1997 39.53 116.9070581 4621.33601 2.71971 2639.46030 3.36430 2571.66667
7 1997 43.50 116.9070581 5085.45703 2.85942 2901.68202 3.53613 2826.40316
8 1997 43.38 116.9070581 5071.42818 3.14349 2890.53389 3.88640 2814.71979
9 1997 46.66 116.9070581 5454.88333 3.13141 3105.95829 3.87033 3023.67290
10 1997 43.95 116.9070581 5138.06520 3.36479 2922.20030 4.15765 2843.90115
11 1997 43.44 116.9070581 5078.44260 3.16572 2885.12509 3.91046 2806.98979
12 1997 43.75 116.9070581 5114.68379 3.12555 2902.58860 3.85970 2823.16155
1 1998 42.94 116.9070581 5019.98908 3.14447 2845.70477 3.88194 2767.01079
2 1998 46.10 116.9070581 5389.41538 3.08285 3052.04035 3.80473 2966.83331
3 1998 48.62 116.9070581 5684.02117 3.30638 3215.57002 4.07949 3124.93212
4 1998 48.75 116.9070581 5699.21908 3.48353 3220.68426 4.29689 3128.99067
5 1998 40.51 134.3868421 5444.01098 3.48907 3072.97460 4.30247 2984.57361
6 1998 43.13 134.3868421 5796.10450 3.32906 3268.39137 4.10389 3173.49818
7 1998 40.70 134.3868421 5469.54448 3.54076 3080.70522 4.36367 2990.33552
8 1998 32.72 134.3868421 4397.13747 3.33743 2473.33762 4.11181 2399.91222
9 1998 35.27 134.3868421 4739.82392 2.67945 2663.41523 3.29996 2583.64699
10 1998 36.44 134.3868421 4897.05653 2.88537 2748.88245 3.55260 2665.80085
11 1998 39.00 134.3868421 5241.08684 2.97796 2939.02028 3.66556 2849.41438
12 1998 43.97 134.3868421 5908.98945 3.18394 3310.37303 3.91804 3208.61402
1 1999 44.47 134.3868421 5976.18287 3.58624 3344.43033 4.41195 3240.68847
2 1999 42.46 134.3868421 5706.06532 3.62313 3189.64226 4.45605 3089.75650
3 1999 44.28 134.3868421 5950.64937 3.45545 3322.90723 4.24852 3217.94691
4 1999 45.36 134.3868421 6095.78716 3.59982 3400.35393 4.42478 3292.00863
5 1999 39.59 153.6625306 6083.49959 3.68372 3389.81596 4.52662 3280.84615
6 1999 43.58 153.6625306 6696.61308 3.67230 3727.77957 4.51127 3606.98848
7 1999 41.62 153.6625306 6395.43452 4.03843 3556.08515 4.95973 3439.80531
8 1999 40.61 153.6625306 6240.23537 3.85243 3465.93657 4.72985 3351.60110
9 1999 42.08 153.6625306 6466.11929 3.75476 3587.64171 4.60856 3468.31372
10 1999 44.05 153.6625306 6768.83447 3.88661 3751.71266 4.76905 3625.91583
11 1999 48.17 153.6625306 7401.92410 4.06436 4098.54629 4.98576 3960.06227
12 1999 55.15 153.6625306 8474.48856 4.44009 4687.99976 5.44522 4528.44380
</TABLE>
SURRENDER CHARGE = 0.00%
FREE WITHDRAWAL AVAILABLE = 15.00% OF PRINCIPAL + 15.00% OF INTEREST
GROSS RETURN = 433.09%
GROSS ANNUAL RETURN = 18.22%
WITHOUT WITH
SURRENDER SURRENDER
CHARGE CHARGE
WITHOUT DEATH BENEFIT CHARGE
ERV 4688.00 4688.00
TOTAL RETURN 368.80% 368.80%
AVERAGE ANNUAL RETURN 16.71% 16.71%
WITH DEATH BENEFIT CHARGE
ERV 4528.44 4528.44
TOTAL RETURN 352.84% 352.84%
AVERAGE ANNUAL RETURN 16.30% 16.30%
<TABLE>
<CAPTION>
Return for Inception
WITH DEATH BENEFIT CHARGE
FUND GROSS ADMIN/ ADMIN/
MONTH YEAR NAV SHARES VALUE MTHLY M&E ERV MTHLY M&E ERV
<S> <C> <C> <C> <C> <C> <C> <C> <C>
8 1988 10.00 100.0000000 1000.00000 1000.00000 1000.00000
9 1988 10.10 100.0000000 1010.00000 1.08333 1008.91667 1.37503 1008.62497
10 1988 9.95 100.0000000 995.00000 1.09299 992.83976 1.38689 992.25850
11 1988 9.69 100.0000000 969.00000 1.07558 965.82063 1.36439 964.96574
12 1988 9.60 100.6770833 966.50000 1.04631 962.28253 1.32686 961.14929
1 1989 10.69 100.6770833 1076.23802 1.04247 1070.49922 1.32161 1068.95817
2 1989 10.90 100.6770833 1097.38021 1.15971 1090.36897 1.46985 1088.48750
3 1989 11.72 100.6770833 1179.93542 1.18123 1171.21549 1.49671 1168.87701
4 1989 12.64 100.6770833 1272.55833 1.26882 1261.88509 1.60724 1259.02461
5 1989 13.31 100.6770833 1340.01198 1.36704 1327.40594 1.73120 1324.02968
6 1989 13.12 100.6770833 1320.88333 1.43802 1307.01923 1.82058 1303.30860
7 1989 14.48 100.6770833 1457.80417 1.41594 1441.08699 1.79209 1436.61557
8 1989 15.59 100.6770833 1569.55573 1.56118 1549.99588 1.97539 1544.76747
9 1989 16.25 100.6770833 1636.00260 1.67916 1613.93553 2.12411 1608.04084
10 1989 15.32 100.6770833 1542.37292 1.74843 1519.82033 2.21111 1513.80031
11 1989 15.71 100.6770833 1581.63698 1.64647 1556.86380 2.08153 1550.25548
12 1989 15.79 100.6770833 1589.69115 1.68660 1563.10521 2.13165 1556.01819
1 1990 14.39 100.6770833 1448.74323 1.69336 1422.82114 2.13958 1415.91626
2 1990 15.15 100.6770833 1525.25781 1.54139 1496.42527 1.94693 1488.75018
3 1990 16.04 100.6770833 1614.86042 1.62113 1582.71295 2.04708 1574.16103
4 1990 15.85 101.5402059 1609.41226 1.71461 1575.65865 2.16452 1566.68566
5 1990 18.05 101.5402059 1832.80072 1.70696 1792.65510 2.15424 1781.98936
6 1990 18.24 101.5402059 1852.09336 1.94204 1809.58311 2.45029 1798.29685
7 1990 17.23 101.5402059 1749.53775 1.96038 1707.42103 2.47272 1696.24739
8 1990 15.63 101.5402059 1587.07342 1.84971 1547.01801 2.33240 1536.39927
9 1990 14.46 101.5402059 1468.27138 1.67594 1429.53842 2.11260 1419.27790
10 1990 14.22 101.5402059 1443.90173 1.54867 1404.26297 1.95155 1393.76986
11 1990 15.75 101.5402059 1599.25824 1.52128 1553.83328 1.91648 1541.81596
12 1990 17.02 101.5402059 1728.21430 1.68332 1677.44318 2.12005 1664.02012
1 1991 18.25 101.5402059 1853.10876 1.81723 1796.85128 2.28808 1781.98731
2 1991 19.58 101.5402059 1988.15723 1.94659 1925.85330 2.45029 1909.40240
3 1991 21.40 101.5402059 2172.96041 2.08634 2102.77886 2.62549 2084.25966
4 1991 20.56 101.6322224 2089.55849 2.27801 2019.79263 2.86593 2001.39631
5 1991 21.70 101.6322224 2205.41923 2.18811 2129.59691 2.75199 2109.61669
6 1991 20.17 101.6322224 2049.92193 2.30706 1977.13854 2.90079 1957.97333
7 1991 21.85 101.6322224 2220.66406 2.14190 2139.67650 2.69228 2118.36460
8 1991 22.01 101.6322224 2236.92522 2.31798 2153.02663 2.91282 2130.96384
9 1991 22.65 101.6322224 2301.96984 2.33245 2213.29923 2.93015 2189.99720
10 1991 23.75 101.6322224 2413.76528 2.39774 2318.39064 3.01132 2293.34336
11 1991 22.82 101.6322224 2319.24732 2.51159 2225.09575 3.15342 2200.38744
12 1991 26.79 101.6322224 2722.72724 2.41052 2609.78559 3.02561 2580.16368
1 1992 27.52 101.6322224 2796.91876 2.82727 2678.07230 3.54781 2646.92268
2 1992 27.27 101.6322224 2771.51071 2.90124 2650.84263 3.63961 2619.23763
3 1992 24.23 101.6322224 2462.54875 2.87175 2352.46074 3.60154 2323.64920
4 1992 22.15 103.4290612 2290.95371 2.54850 2185.98834 3.19510 2158.53785
5 1992 22.15 103.4290612 2290.95371 2.36815 2183.62019 2.96806 2155.56978
6 1992 21.21 103.4290612 2193.73039 2.36559 2088.58629 2.96398 2061.12790
7 1992 22.06 103.4290612 2281.64509 2.26264 2170.02467 2.83412 2140.89438
8 1992 21.67 103.4290612 2241.30776 2.35086 2129.30982 2.94380 2100.10158
9 1992 22.87 103.4290612 2365.42263 2.30675 2244.91593 2.88771 2213.50930
10 1992 23.93 103.4290612 2475.05744 2.43199 2346.53338 3.04365 2313.05944
11 1992 25.96 103.4290612 2685.01843 2.54208 2543.04951 3.18053 2506.09749
12 1992 27.26 103.4290612 2819.47621 2.75497 2667.64293 3.44597 2628.14947
1 1993 26.52 103.4290612 2742.93870 2.88995 2592.33715 3.61379 2553.19192
2 1993 24.38 103.4290612 2521.60051 2.80837 2380.34321 3.51072 2343.65440
3 1993 24.96 103.4290612 2581.58937 2.57871 2434.39285 3.22260 2396.18732
4 1993 24.29 103.4290612 2512.29190 2.63726 2366.40931 3.29484 2328.57175
5 1993 26.36 103.4290612 2726.39005 2.56361 2565.51170 3.20186 2523.81136
6 1993 26.72 103.4290612 2763.62452 2.77930 2597.76973 3.47032 2554.80887
7 1993 26.72 103.4290612 2763.62452 2.81425 2594.95548 3.51295 2551.29592
8 1993 28.89 103.4290612 2988.06558 2.81120 2802.88730 3.50812 2754.98512
9 1993 30.17 103.4290612 3120.45478 3.03646 2924.03553 3.78820 2873.25926
10 1993 30.16 103.4290612 3119.42049 3.16771 2919.89864 3.95083 2868.35607
11 1993 29.06 103.4290612 3005.64852 3.16322 2810.24044 3.94409 2759.79688
12 1993 30.88 103.4290612 3193.88941 3.04443 2983.19868 3.79481 2928.84551
1 1994 30.54 103.4290612 3158.72353 3.23180 2947.12078 4.02726 2892.57060
2 1994 30.23 103.4290612 3126.66052 3.19271 2914.01296 3.97738 2859.23182
3 1994 28.11 103.4290612 2907.39091 3.15685 2706.49927 3.93154 2654.78518
4 1994 28.37 103.4290612 2934.28247 2.93204 2728.60066 3.65042 2675.68988
5 1994 25.48 111.8311656 2849.45810 2.95598 2646.76617 3.67916 2594.66175
6 1994 24.29 111.8311656 2716.37901 2.86733 2520.28613 3.56775 2469.91475
7 1994 24.74 111.8311656 2766.70304 2.73031 2564.24700 3.39622 2512.27653
8 1994 26.69 111.8311656 2984.77381 2.77793 2763.58231 3.45446 2706.83901
9 1994 26.52 111.8311656 2965.76251 2.99388 2742.98599 3.72199 2685.87600
10 1994 27.76 111.8311656 3104.43316 2.97157 2868.26867 3.69317 2807.76678
11 1994 26.40 111.8311656 2952.34277 3.10729 2724.64101 3.86077 2666.34971
12 1994 27.31 111.8311656 3054.10913 2.95169 2815.60687 3.66632 2754.59165
1 1995 26.84 111.8311656 3001.54849 3.05024 2764.10056 3.78766 2703.39799
2 1995 28.76 111.8311656 3216.26432 2.99444 2958.83611 3.71726 2893.06837
3 1995 29.59 111.8311656 3309.08419 3.20541 3041.02132 3.97807 2972.58288
4 1995 30.89 111.8311656 3454.46471 3.29444 3171.33039 4.08740 3099.09223
5 1995 32.07 111.8311656 3586.42548 3.43561 3289.03980 4.26136 3213.21640
6 1995 36.02 111.8311656 4028.15859 3.56313 3690.58136 4.41828 3604.56378
7 1995 41.18 111.8311656 4605.20740 3.99813 4215.27284 4.95640 4115.97466
8 1995 41.72 111.8311656 4665.59623 4.56655 4265.98185 5.65960 4164.28850
9 1995 42.83 111.8311656 4789.72882 4.62148 4374.86085 5.72604 4269.35729
10 1995 40.83 111.8311656 4566.06649 4.73943 4165.83186 5.87051 4064.12385
11 1995 40.76 111.8311656 4558.23831 4.51298 4154.17687 5.58831 4051.56790
12 1995 39.41 111.8311656 4407.26624 4.50036 4012.08723 5.57104 3911.80607
1 1996 39.55 111.8311656 4422.92260 4.34643 4021.99334 5.37886 3920.32350
2 1996 41.24 111.8311656 4611.91727 4.35716 4189.49885 5.39058 4082.45117
3 1996 40.87 111.8311656 4570.53974 4.53862 4147.37258 5.61351 4040.21043
4 1996 44.02 111.8311656 4922.80791 4.49299 4462.53273 5.55542 4346.04877
5 1996 45.10 112.2370145 5061.88935 4.83441 4583.77586 5.97596 4462.85938
6 1996 42.33 112.2370145 4750.99282 4.96576 4297.27885 6.13658 4182.61814
7 1996 37.34 112.2370145 4190.93012 4.65539 3786.04607 5.75124 3683.80608
8 1996 39.67 112.2370145 4452.44237 4.10155 4018.19217 5.06536 3908.60864
9 1996 42.45 112.2370145 4764.46127 4.35304 4295.42658 5.37447 4177.14222
10 1996 40.49 112.2370145 4544.47672 4.65338 4092.44491 5.74371 3978.53164
11 1996 41.18 112.2370145 4621.92026 4.43348 4157.75178 5.47061 4040.86015
12 1996 40.91 112.2370145 4591.61626 4.50423 4125.98691 5.55632 4008.80961
1 1997 41.55 112.2370145 4663.44795 4.46982 4186.06443 5.51225 4066.01157
2 1997 38.60 112.2370145 4332.34876 4.53490 3884.32399 5.59090 3771.73874
3 1997 36.06 112.2370145 4047.26674 4.20802 3624.51538 5.18627 3518.36034
4 1997 35.68 112.2370145 4004.61668 3.92656 3582.39371 4.83786 3476.44602
5 1997 37.56 116.9070581 4391.02910 3.88093 3924.18418 4.78023 3807.11411
6 1997 39.53 116.9070581 4621.33601 4.25120 4125.75414 5.23491 4001.56011
7 1997 43.50 116.9070581 5085.45703 4.46957 4535.63428 5.50228 4397.93472
8 1997 43.38 116.9070581 5071.42818 4.91360 4518.20858 6.04731 4379.75518
9 1997 46.66 116.9070581 5454.88333 4.89473 4854.93958 6.02231 4704.89002
10 1997 43.95 116.9070581 5138.06520 5.25952 4567.70651 6.46938 4425.16192
11 1997 43.44 116.9070581 5078.44260 4.94835 4509.75406 6.08474 4367.72717
12 1997 43.75 116.9070581 5114.68379 4.88557 4537.05136 6.00577 4392.89073
1 1998 42.94 116.9070581 5019.98908 4.91514 4448.13595 6.04037 4305.51912
2 1998 46.10 116.9070581 5389.41538 4.81881 4770.66017 5.92023 4616.44659
3 1998 48.62 116.9070581 5684.02117 5.16822 5026.27424 6.34777 4862.45122
4 1998 48.75 116.9070581 5699.21908 5.44513 5034.26835 6.68603 4868.76639
5 1998 40.51 134.3868421 5444.01098 5.45379 4803.38260 6.69472 4644.05082
6 1998 43.13 134.3868421 5796.10450 5.20366 5108.83958 6.38572 4938.02088
7 1998 40.70 134.3868421 5469.54448 5.53458 4815.46637 6.78994 4653.01646
8 1998 32.72 134.3868421 4397.13747 5.21676 3866.08692 6.39805 3734.30707
9 1998 35.27 134.3868421 4739.82392 4.18826 4163.19822 5.13480 4020.20170
10 1998 36.44 134.3868421 4897.05653 4.51013 4296.79248 5.52791 4148.03461
11 1998 39.00 134.3868421 5241.08684 4.65486 4593.99791 5.70369 4433.74060
12 1998 43.97 134.3868421 5908.98945 4.97683 5174.46132 6.09654 4992.66177
1 1999 44.47 134.3868421 5976.18287 5.60567 5227.69647 6.86508 5042.57020
2 1999 42.46 134.3868421 5706.06532 5.66334 4985.74643 6.93370 4807.71731
3 1999 44.28 134.3868421 5950.64937 5.40123 5194.05360 6.61077 5007.18392
4 1999 45.36 134.3868421 6095.78716 5.62689 5315.11094 6.88504 5122.42531
5 1999 39.59 153.6625306 6083.49959 5.75804 5298.63898 7.04351 5105.05629
6 1999 43.58 153.6625306 6696.61308 5.74019 5826.91166 7.01962 5612.53968
7 1999 41.62 153.6625306 6395.43452 6.31249 5558.53522 7.71743 5352.39963
8 1999 40.61 153.6625306 6240.23537 6.02175 5417.62350 7.35973 5215.15227
9 1999 42.08 153.6625306 6466.11929 5.86909 5607.86144 7.17101 5396.75924
10 1999 44.05 153.6625306 6768.83447 6.07518 5864.32160 7.42072 5641.99098
11 1999 48.17 153.6625306 7401.92410 6.35301 6406.45905 7.75793 6161.92892
12 1999 55.15 153.6625306 8474.48856 6.94033 7327.83685 8.47286 7046.34092
</TABLE>
SURRENDER CHARGE = 0.00%
FREE WITHDRAWAL AVAILABLE = 15.00% OF PRINCIPAL + 15.00% OF INTEREST
GROSS RETURN = 747.45%
GROSS ANNUAL RETURN = 20.87%
WITHOUT WITH
SURRENDER SURRENDER
CHARGE CHARGE
WITHOUT DEATH BENEFIT CHARGE
ERV 7327.84 7327.84
TOTAL RETURN 632.78% 632.78%
AVERAGE ANNUAL RETURN 19.32% 19.32%
WITH DEATH BENEFIT CHARGE
ERV 7046.34 7046.34
TOTAL RETURN 604.63% 604.63%
AVERAGE ANNUAL RETURN 18.90% 18.90%
<TABLE>
<CAPTION>
Return for Product Inception
WITH DEATH BENEFIT CHARGE
FUND GROSS ADMIN/ ADMIN/
MONTH YEAR NAV SHARES VALUE MTHLY M&E ERV MTHLY M&E ERV
<S> <C> <C> <C> <C> <C> <C> <C> <C>
6 1995 36.02 111.8311656 4028.15859 1000.00000 1000.00000
7 1995 41.18 111.8311656 4605.20740 1.08333 1142.17041 1.37503 1141.87871
8 1995 41.72 111.8311656 4665.59623 1.23735 1155.91053 1.57012 1155.28223
9 1995 42.83 111.8311656 4789.72882 1.25224 1185.41238 1.58855 1184.43106
10 1995 40.83 111.8311656 4566.06649 1.28420 1128.77388 1.62863 1127.49395
11 1995 40.76 111.8311656 4558.23831 1.22284 1125.61585 1.55034 1124.01060
12 1995 39.41 111.8311656 4407.26624 1.21942 1087.11524 1.54555 1085.23702
1 1996 39.55 111.8311656 4422.92260 1.17771 1089.79940 1.49224 1087.59998
2 1996 41.24 111.8311656 4611.91727 1.18062 1135.18669 1.49549 1132.57842
3 1996 40.87 111.8311656 4570.53974 1.22979 1123.77216 1.55733 1120.85974
4 1996 44.02 111.8311656 4922.80791 1.21742 1209.16796 1.54122 1205.70727
5 1996 45.10 112.2370145 5061.88935 1.30993 1242.02000 1.65789 1238.11358
6 1996 42.33 112.2370145 4750.99282 1.34552 1164.39076 1.70245 1160.36735
7 1996 37.34 112.2370145 4190.93012 1.26142 1025.86712 1.59554 1021.98388
8 1996 39.67 112.2370145 4452.44237 1.11136 1088.76943 1.40526 1084.34997
9 1996 42.45 112.2370145 4764.46127 1.17950 1163.88887 1.49102 1158.84819
10 1996 40.49 112.2370145 4544.47672 1.26088 1108.88895 1.59345 1103.74844
11 1996 41.18 112.2370145 4621.92026 1.20130 1126.58451 1.51769 1121.03999
12 1996 40.91 112.2370145 4591.61626 1.22047 1117.97750 1.54147 1112.14833
1 1997 41.55 112.2370145 4663.44795 1.21114 1134.25610 1.52924 1128.01765
2 1997 38.60 112.2370145 4332.34876 1.22878 1052.49651 1.55106 1046.37869
3 1997 36.06 112.2370145 4047.26674 1.14020 982.09876 1.43881 976.08492
4 1997 35.68 112.2370145 4004.61668 1.06394 970.68547 1.34215 964.45679
5 1997 37.56 116.9070581 4391.02910 1.05158 1063.29702 1.32616 1056.19274
6 1997 39.53 116.9070581 4621.33601 1.15191 1117.91442 1.45230 1110.13713
7 1997 43.50 116.9070581 5085.45703 1.21107 1228.97556 1.52648 1220.10179
8 1997 43.38 116.9070581 5071.42818 1.33139 1224.25389 1.67768 1215.05831
9 1997 46.66 116.9070581 5454.88333 1.32628 1315.49453 1.67075 1305.25919
10 1997 43.95 116.9070581 5138.06520 1.42512 1237.66585 1.79477 1227.65532
11 1997 43.44 116.9070581 5078.44260 1.34080 1221.96305 1.68807 1211.72143
12 1997 43.75 116.9070581 5114.68379 1.32379 1229.35953 1.66616 1218.70245
1 1998 42.94 116.9070581 5019.98908 1.33181 1205.26701 1.67576 1194.46329
2 1998 46.10 116.9070581 5389.41538 1.30571 1292.65818 1.64243 1280.72268
3 1998 48.62 116.9070581 5684.02117 1.40038 1361.91937 1.76104 1348.97078
4 1998 48.75 116.9070581 5699.21908 1.47541 1364.08545 1.85488 1350.72277
5 1998 40.51 134.3868421 5444.01098 1.47776 1301.52465 1.85729 1288.38081
6 1998 43.13 134.3868421 5796.10450 1.40998 1384.29127 1.77157 1369.93578
7 1998 40.70 134.3868421 5469.54448 1.49965 1304.79886 1.88371 1290.86811
8 1998 32.72 134.3868421 4397.13747 1.41353 1047.55499 1.77499 1035.99417
9 1998 35.27 134.3868421 4739.82392 1.13485 1128.06027 1.42453 1115.30880
10 1998 36.44 134.3868421 4897.05653 1.22207 1164.25898 1.53359 1150.77298
11 1998 39.00 134.3868421 5241.08684 1.26128 1244.78977 1.58235 1230.03527
12 1998 43.97 134.3868421 5908.98945 1.34852 1402.07214 1.69134 1385.09458
1 1999 44.47 134.3868421 5976.18287 1.51891 1416.49674 1.90455 1398.94048
2 1999 42.46 134.3868421 5706.06532 1.53454 1350.93795 1.92359 1333.78617
3 1999 44.28 134.3868421 5950.64937 1.46352 1407.38087 1.83400 1389.12341
4 1999 45.36 134.3868421 6095.78716 1.52466 1440.18257 1.91009 1421.09437
5 1999 39.59 153.6625306 6083.49959 1.56020 1435.71932 1.95405 1416.27575
6 1999 43.58 153.6625306 6696.61308 1.55536 1578.86010 1.94743 1557.06488
7 1999 41.62 153.6625306 6395.43452 1.71043 1506.14082 2.14102 1484.89525
8 1999 40.61 153.6625306 6240.23537 1.63165 1467.95937 2.04178 1446.81925
9 1999 42.08 153.6625306 6466.11929 1.59029 1519.50625 1.98942 1497.20176
10 1999 44.05 153.6625306 6768.83447 1.64613 1588.99670 2.05870 1565.23544
11 1999 48.17 153.6625306 7401.92410 1.72141 1735.89427 2.15225 1709.47978
12 1999 55.15 153.6625306 8474.48856 1.88055 1985.55082 2.35059 1954.83874
</TABLE>
SURRENDER CHARGE = 3.00%
FREE WITHDRAWAL AVAILABLE = 15.00% OF PRINCIPAL + 15.00% OF INTEREST
GROSS RETURN = 110.38%
GROSS ANNUAL RETURN = 17.62%
WITHOUT WITH
SURRENDER SURRENDER
CHARGE CHARGE
WITHOUT DEATH BENEFIT CHARGE
ERV 1985.55 1934.92
TOTAL RETURN 98.56% 93.49%
AVERAGE ANNUAL RETURN 16.14% 15.49%
WITH DEATH BENEFIT CHARGE
ERV 1954.84 1904.99
TOTAL RETURN 95.48% 90.50%
AVERAGE ANNUAL RETURN 15.75% 15.10%
<PAGE>
Federated Prime Money12/1999Assume ($10000 @ $10.00 on 11/21/1994)
DATE DIV PR/SH REINVEST NAV REINVEST SHARES SHARE BASIS
(incl cap gain)
100.000000
10/94 0.0000000000 1.00 0.000 100.000000
11/94 0.0012659720 1.00 0.127 100.126597
12/94 0.0037707980 1.00 0.378 100.504154
1/95 0.0037829400 1.00 0.380 100.884356
2/95 0.0038735110 1.00 0.391 101.275132
3/95 0.0044113260 1.00 0.447 101.721890
4/95 0.0042677160 1.00 0.434 102.156010
5/95 0.0045457280 1.00 0.464 102.620383
6/95 0.0043985090 1.00 0.451 103.071760
7/95 0.0043850150 1.00 0.452 103.523731
8/95 0.0043262630 1.00 0.448 103.971602
9/95 0.0041606740 1.00 0.433 104.404194
10/95 0.0042481520 1.00 0.444 104.847719
11/95 0.0041265140 1.00 0.433 105.280375
12/95 0.0042405070 1.00 0.446 105.726817
1/96 0.0039644280 1.00 0.419 106.145963
2/96 0.0036463730 1.00 0.387 106.533011
3/96 0.0038803070 1.00 0.413 106.946392
4/96 0.0037531920 1.00 0.401 107.347782
5/96 0.0038792420 1.00 0.416 107.764210
6/96 0.0037639920 1.00 0.406 108.169834
7/96 0.0039246140 1.00 0.425 108.594359
8/96 0.0039447460 1.00 0.428 109.022736
9/96 0.0035630470 1.00 0.388 109.411189
10/96 0.0039363050 1.00 0.431 109.841865
11/96 0.0038677480 1.00 0.425 110.266705
12/96 0.0039950720 1.00 0.441 110.707229
1/97 0.0039476070 1.00 0.437 111.144257
2/97 0.0035105160 1.00 0.390 111.534431
3/97 0.0039524920 1.00 0.441 111.975270
4/97 0.0038910440 1.00 0.436 112.410971
5/97 0.0040826040 1.00 0.459 112.869900
6/97 0.0040162330 1.00 0.453 113.323212
7/97 0.0041567170 1.00 0.471 113.794264
8/97 0.0041616600 1.00 0.474 114.267838
9/97 0.0040263600 1.00 0.460 114.727921
10/97 0.0041704510 1.00 0.478 115.206388
11/97 0.0040698850 1.00 0.469 115.675265
12/97 0.0042698450 1.00 0.494 116.169180
1/98 0.0042412960 1.00 0.493 116.661888
2/98 0.0037723400 1.00 0.440 117.101977
3/98 0.0041885600 1.00 0.490 117.592465
4/98 0.0040065850 1.00 0.471 118.063609
5/98 0.0041321570 1.00 0.488 118.551467
6/98 0.0040199110 1.00 0.477 119.028033
7/98 0.0041630600 1.00 0.496 119.523554
8/98 0.0041412200 1.00 0.495 120.018527
9/98 0.0039845110 1.00 0.478 120.496742
10/98 0.0039935070 1.00 0.481 120.977947
11/98 0.0037441480 1.00 0.453 121.430906
12/98 0.0037968280 1.00 0.461 121.891959
1/99 0.0037577460 1.00 0.458 122.349998
2/99 0.0032804910 1.00 0.401 122.751366
3/99 0.0036061150 1.00 0.443 123.194021
4/99 0.0034557690 1.00 0.426 123.619751
5/99 0.0036217100 1.00 0.448 124.067466
6/99 0.0035657240 1.00 0.442 124.509857
7/99 0.0037650200 1.00 0.469 124.978639
8/99 0.0039044250 1.00 0.488 125.466608
9/99 0.0038986980 1.00 0.489 125.955765
10/99 0.0040849430 1.00 0.515 126.470287
11/99 0.0038243960 1.00 0.484 126.953959
12/99 0.0043464291 1.00 0.552 127.505756
M and E Charge = 0.0010833
Death Benefit Charge = 0.0002917
<TABLE>
<CAPTION>
Return for YTD
WITH DEATH BENEFIT CHARGE
FUND GROSS ADMIN/ ADMIN/
MONTH YEAR NAV SHARES VALUE MTHLY M&E ERV MTHLY M&E ERV
<S> <C> <C> <C> <C> <C> <C> <C> <C>
12 1998 1.00 121.8919586 121.89196 1000.00000 1000.00000
1 1999 1.00 122.3499976 122.35000 1.08333 1002.67441 1.37503 1002.38271
2 1999 1.00 122.7513657 122.75137 1.08623 1004.87745 1.37831 1004.29271
3 1999 1.00 123.1940213 123.19402 1.08862 1007.41253 1.38094 1006.53337
4 1999 1.00 123.6197513 123.61975 1.09136 1009.80255 1.38402 1008.62770
5 1999 1.00 124.0674662 124.06747 1.09395 1012.36581 1.38690 1010.89376
6 1999 1.00 124.5098566 124.50986 1.09673 1014.87890 1.39001 1013.10832
7 1999 1.00 124.9786387 124.97864 1.09945 1017.60049 1.39306 1015.52963
8 1999 1.00 125.4666084 125.46661 1.10240 1020.47123 1.39639 1018.09830
9 1999 1.00 125.9557648 125.95576 1.10551 1023.34423 1.39992 1020.66764
10 1999 1.00 126.4702869 126.47029 1.10862 1026.41591 1.40345 1023.43356
11 1999 1.00 126.9539594 126.95396 1.11195 1029.22938 1.40726 1025.94032
12 1999 1.00 127.5057558 127.50576 1.11500 1032.58786 1.41070 1028.98879
</TABLE>
SURRENDER CHARGE = 7.00%
FREE WITHDRAWAL AVAILABLE = 15.00% OF PRINCIPAL + 15.00% OF INTEREST
GROSS RETURN = 4.61%
WITHOUT WITH
SURRENDER SURRENDER
CHARGE CHARGE
WITHOUT DEATH BENEFIT CHARGE
ERV 1032.59 971.15
TOTAL RETURN 3.26% -2.89%
WITH DEATH BENEFIT CHARGE
ERV 1028.99 967.76
TOTAL RETURN 2.90% -3.22%
<TABLE>
<CAPTION>
Return for 1 Year
WITH DEATH BENEFIT CHARGE
FUND GROSS ADMIN/ ADMIN/
MONTH YEAR NAV SHARES VALUE MTHLY M&E ERV MTHLY M&E ERV
<S> <C> <C> <C> <C> <C> <C> <C> <C>
12 1998 1.00 121.8919586 121.89196 1000.00000 1000.00000
1 1999 1.00 122.3499976 122.35000 1.08333 1002.67441 1.37503 1002.38271
2 1999 1.00 122.7513657 122.75137 1.08623 1004.87745 1.37831 1004.29271
3 1999 1.00 123.1940213 123.19402 1.08862 1007.41253 1.38094 1006.53337
4 1999 1.00 123.6197513 123.61975 1.09136 1009.80255 1.38402 1008.62770
5 1999 1.00 124.0674662 124.06747 1.09395 1012.36581 1.38690 1010.89376
6 1999 1.00 124.5098566 124.50986 1.09673 1014.87890 1.39001 1013.10832
7 1999 1.00 124.9786387 124.97864 1.09945 1017.60049 1.39306 1015.52963
8 1999 1.00 125.4666084 125.46661 1.10240 1020.47123 1.39639 1018.09830
9 1999 1.00 125.9557648 125.95576 1.10551 1023.34423 1.39992 1020.66764
10 1999 1.00 126.4702869 126.47029 1.10862 1026.41591 1.40345 1023.43356
11 1999 1.00 126.9539594 126.95396 1.11195 1029.22938 1.40726 1025.94032
12 1999 1.00 127.5057558 127.50576 1.11500 1032.58786 1.41070 1028.98879
</TABLE>
SURRENDER CHARGE = 7.00%
FREE WITHDRAWAL AVAILABLE = 15.00% OF PRINCIPAL + 15.00% OF INTEREST
GROSS RETURN = 4.61%
WITHOUT WITH
SURRENDER SURRENDER
CHARGE CHARGE
WITHOUT DEATH BENEFIT CHARGE
ERV 1032.59 971.15
TOTAL RETURN 3.26% -2.89%
WITH DEATH BENEFIT CHARGE
ERV 1028.99 967.76
TOTAL RETURN 2.90% -3.22%
<TABLE>
<CAPTION>
Return for 3 Years
WITH DEATH BENEFIT CHARGE
FUND GROSS ADMIN/ ADMIN/
MONTH YEAR NAV SHARES VALUE MTHLY M&E ERV MTHLY M&E ERV
<S> <C> <C> <C> <C> <C> <C> <C> <C>
12 1996 1.00 110.7072287 110.70723 1000.00000 1000.00000
1 1997 1.00 111.1442573 111.14426 1.08333 1002.86427 1.37503 1002.57257
2 1997 1.00 111.5344310 111.53443 1.08644 1005.29841 1.37857 1004.71355
3 1997 1.00 111.9752700 111.97527 1.08907 1008.18277 1.38151 1007.30316
4 1997 1.00 112.4109707 112.41097 1.09220 1011.01345 1.38508 1009.83754
5 1997 1.00 112.8699002 112.86990 1.09526 1014.04576 1.38856 1012.57175
6 1997 1.00 113.3232120 113.32321 1.09855 1017.01985 1.39232 1015.24615
7 1997 1.00 113.7942645 113.79426 1.10177 1020.14554 1.39600 1018.07025
8 1997 1.00 114.2678375 114.26784 1.10516 1023.28589 1.39988 1020.90723
9 1997 1.00 114.7279210 114.72792 1.10856 1026.29744 1.40378 1023.61399
10 1997 1.00 115.2063882 115.20639 1.11182 1029.46574 1.40750 1026.47542
11 1997 1.00 115.6752649 115.67526 1.11525 1032.54030 1.41144 1029.24162
12 1997 1.00 116.1691804 116.16918 1.11859 1035.83050 1.41524 1032.22108
1 1998 1.00 116.6618882 116.66189 1.12215 1039.10161 1.41934 1035.17969
2 1998 1.00 117.1019765 117.10198 1.12569 1041.89576 1.42341 1037.66134
3 1998 1.00 117.5924652 117.59247 1.12872 1045.13109 1.42682 1040.58082
4 1998 1.00 118.0636094 118.06361 1.13223 1048.18627 1.43083 1043.31917
5 1998 1.00 118.5514668 118.55147 1.13554 1051.38200 1.43460 1046.19573
6 1998 1.00 119.0280331 119.02803 1.13900 1054.46947 1.43855 1048.96279
7 1998 1.00 119.5235540 119.52355 1.14234 1057.71695 1.44236 1051.88732
8 1998 1.00 120.0185273 120.01853 1.14586 1060.95132 1.44638 1054.79704
9 1998 1.00 120.4967424 120.49674 1.14936 1064.02933 1.45038 1057.54951
10 1998 1.00 120.9779470 120.97795 1.15270 1067.12584 1.45417 1060.31867
11 1998 1.00 121.4309064 121.43091 1.15605 1069.96527 1.45797 1062.83069
12 1998 1.00 121.8919586 121.89196 1.15913 1072.86861 1.46143 1065.40465
1 1999 1.00 122.3499976 122.35000 1.16227 1075.73791 1.46497 1067.94320
2 1999 1.00 122.7513657 122.75137 1.16538 1078.10147 1.46846 1069.97812
3 1999 1.00 123.1940213 123.19402 1.16794 1080.82129 1.47126 1072.36533
4 1999 1.00 123.6197513 123.61975 1.17089 1083.38546 1.47454 1074.59664
5 1999 1.00 124.0674662 124.06747 1.17367 1086.13551 1.47761 1077.01091
6 1999 1.00 124.5098566 124.50986 1.17665 1088.83172 1.48093 1079.37031
7 1999 1.00 124.9786387 124.97864 1.17957 1091.75162 1.48417 1081.94999
8 1999 1.00 125.4666084 125.46661 1.18273 1094.83156 1.48772 1084.68666
9 1999 1.00 125.9557648 125.95576 1.18607 1097.91391 1.49148 1087.42405
10 1999 1.00 126.4702869 126.47029 1.18941 1101.20941 1.49524 1090.37087
11 1999 1.00 126.9539594 126.95396 1.19298 1104.22790 1.49930 1093.04158
12 1999 1.00 127.5057558 127.50576 1.19625 1107.83110 1.50297 1096.28944
</TABLE>
SURRENDER CHARGE = 5.00%
FREE WITHDRAWAL AVAILABLE = 15.00% OF PRINCIPAL + 15.00% OF INTEREST
GROSS RETURN = 15.17%
GROSS ANNUAL RETURN = 4.82%
WITHOUT WITH
SURRENDER SURRENDER
CHARGE CHARGE
WITHOUT DEATH BENEFIT CHARGE
ERV 1107.83 1060.75
TOTAL RETURN 10.78% 6.07%
AVERAGE ANNUAL RETURN 3.47% 1.99%
WITH DEATH BENEFIT CHARGE
ERV 1096.29 1049.70
TOTAL RETURN 9.63% 4.97%
AVERAGE ANNUAL RETURN 3.11% 1.63%
<TABLE>
<CAPTION>
Return for 5 Years
WITH DEATH BENEFIT CHARGE
FUND GROSS ADMIN/ ADMIN/
MONTH YEAR NAV SHARES VALUE MTHLY M&E ERV MTHLY M&E ERV
<S> <C> <C> <C> <C> <C> <C> <C> <C>
12 1994 1.00 100.5041544 100.50415 1000.00000 1000.00000
1 1995 1.00 100.8843556 100.88436 1.08333 1002.69961 1.37503 1002.40791
2 1995 1.00 101.2751322 101.27513 1.08626 1005.49732 1.37834 1004.91240
3 1995 1.00 101.7218898 101.72189 1.08929 1008.84360 1.38179 1007.96361
4 1995 1.00 102.1560100 102.15601 1.09291 1012.05615 1.38598 1010.87933
5 1995 1.00 102.6203834 102.62038 1.09639 1015.56029 1.38999 1014.08452
6 1995 1.00 103.0717601 103.07176 1.10019 1018.92705 1.39440 1017.15058
7 1995 1.00 103.5237313 103.52373 1.10384 1022.29122 1.39862 1020.21218
8 1995 1.00 103.9716022 103.97160 1.10748 1025.60644 1.40283 1023.22306
9 1995 1.00 104.4041941 104.40419 1.11107 1028.76258 1.40697 1026.07339
10 1995 1.00 104.8477190 104.84772 1.11449 1032.01843 1.41089 1029.02142
11 1995 1.00 105.2803746 105.28037 1.11802 1035.15904 1.41494 1031.85276
12 1995 1.00 105.7268168 105.72682 1.12142 1038.42722 1.41883 1034.80950
1 1996 1.00 106.1459631 106.14596 1.12496 1041.41903 1.42290 1037.48903
2 1996 1.00 106.5330109 106.53301 1.12820 1044.08823 1.42658 1039.84552
3 1996 1.00 106.9463917 106.94639 1.13110 1047.00851 1.42982 1042.45062
4 1996 1.00 107.3477820 107.34778 1.13426 1049.80388 1.43340 1044.92974
5 1996 1.00 107.7642101 107.76421 1.13729 1052.73903 1.43681 1047.54646
6 1996 1.00 108.1698337 108.16983 1.14047 1055.56107 1.44041 1050.04900
7 1996 1.00 108.5943585 108.59436 1.14352 1058.56021 1.44385 1052.72619
8 1996 1.00 109.0227357 109.02274 1.14677 1061.58919 1.44753 1055.43139
9 1996 1.00 109.4111888 109.41119 1.15005 1064.22163 1.45125 1057.74069
10 1996 1.00 109.8418646 109.84186 1.15291 1067.25782 1.45443 1060.44985
11 1996 1.00 110.2667053 110.26671 1.15620 1070.22951 1.45815 1063.09325
12 1996 1.00 110.7072287 110.70723 1.15942 1073.34574 1.46179 1065.87860
1 1997 1.00 111.1442573 111.14426 1.16279 1076.42010 1.46562 1068.62065
2 1997 1.00 111.5344310 111.53443 1.16612 1079.03276 1.46939 1070.90267
3 1997 1.00 111.9752700 111.97527 1.16895 1082.12868 1.47253 1073.66287
4 1997 1.00 112.4109707 112.41097 1.17231 1085.16699 1.47632 1076.36422
5 1997 1.00 112.8699002 112.86990 1.17560 1088.42169 1.48004 1079.27855
6 1997 1.00 113.3232120 113.32321 1.17912 1091.61393 1.48404 1082.12914
7 1997 1.00 113.7942645 113.79426 1.18258 1094.96887 1.48796 1085.13929
8 1997 1.00 114.2678375 114.26784 1.18622 1098.33955 1.49210 1088.16316
9 1997 1.00 114.7279210 114.72792 1.18987 1101.57199 1.49626 1091.04824
10 1997 1.00 115.2063882 115.20639 1.19337 1104.97267 1.50023 1094.09818
11 1997 1.00 115.6752649 115.67526 1.19705 1108.27273 1.50442 1097.04661
12 1997 1.00 116.1691804 116.16918 1.20063 1111.80425 1.50848 1100.22235
1 1998 1.00 116.6618882 116.66189 1.20445 1115.31529 1.51284 1103.37588
2 1998 1.00 117.1019765 117.10198 1.20826 1118.31438 1.51718 1106.02101
3 1998 1.00 117.5924652 117.59247 1.21151 1121.78700 1.52082 1109.13283
4 1998 1.00 118.0636094 118.06361 1.21527 1125.06627 1.52509 1112.05157
5 1998 1.00 118.5514668 118.55147 1.21882 1128.49639 1.52911 1115.11763
6 1998 1.00 119.0280331 119.02803 1.22254 1131.81031 1.53332 1118.06698
7 1998 1.00 119.5235540 119.52355 1.22613 1135.29598 1.53738 1121.18418
8 1998 1.00 120.0185273 120.01853 1.22990 1138.76758 1.54167 1124.28559
9 1998 1.00 120.4967424 120.49674 1.23366 1142.07135 1.54593 1127.21938
10 1998 1.00 120.9779470 120.97795 1.23724 1145.39498 1.54996 1130.17098
11 1998 1.00 121.4309064 121.43091 1.24084 1148.44266 1.55402 1132.84848
12 1998 1.00 121.8919586 121.89196 1.24415 1151.55895 1.55770 1135.59201
1 1999 1.00 122.3499976 122.35000 1.24752 1154.63870 1.56148 1138.29780
2 1999 1.00 122.7513657 122.75137 1.25086 1157.17562 1.56520 1140.46678
3 1999 1.00 123.1940213 123.19402 1.25361 1160.09492 1.56818 1143.01125
4 1999 1.00 123.6197513 123.61975 1.25677 1162.84717 1.57168 1145.38956
5 1999 1.00 124.0674662 124.06747 1.25975 1165.79892 1.57495 1147.96288
6 1999 1.00 124.5098566 124.50986 1.26295 1168.69289 1.57849 1150.47771
7 1999 1.00 124.9786387 124.97864 1.26608 1171.82695 1.58195 1153.22733
8 1999 1.00 125.4666084 125.46661 1.26948 1175.13279 1.58573 1156.14430
9 1999 1.00 125.9557648 125.95576 1.27306 1178.44121 1.58974 1159.06202
10 1999 1.00 126.4702869 126.47029 1.27664 1181.97843 1.59375 1162.20297
11 1999 1.00 126.9539594 126.95396 1.28048 1185.21831 1.59807 1165.04963
12 1999 1.00 127.5057558 127.50576 1.28399 1189.08579 1.60198 1168.51145
</TABLE>
SURRENDER CHARGE = 3.00%
FREE WITHDRAWAL AVAILABLE = 15.00% OF PRINCIPAL + 15.00% OF INTEREST
GROSS RETURN = 26.87%
GROSS ANNUAL RETURN = 4.87%
WITHOUT WITH
SURRENDER SURRENDER
CHARGE CHARGE
WITHOUT DEATH BENEFIT CHARGE
ERV 1189.09 1158.76
TOTAL RETURN 18.91% 15.88%
AVERAGE ANNUAL RETURN 3.52% 2.99%
WITH DEATH BENEFIT CHARGE
ERV 1168.51 1138.71
TOTAL RETURN 16.85% 13.87%
AVERAGE ANNUAL RETURN 3.16% 2.63%
<TABLE>
<CAPTION>
Return for Inception
WITH DEATH BENEFIT CHARGE
FUND GROSS ADMIN/ ADMIN/
MONTH YEAR NAV SHARES VALUE MTHLY M&E ERV MTHLY M&E ERV
<S> <C> <C> <C> <C> <C> <C> <C> <C>
10 1994 1.00 100.0000000 100.00000 1000.00000 1000.00000
11 1994 1.00 100.1265972 100.12660 1.08333 1000.18264 1.37503 999.89094
12 1994 1.00 100.5041544 100.50415 1.08353 1002.87059 1.37488 1002.28644
1 1995 1.00 100.8843556 100.88436 1.08644 1005.57795 1.37818 1004.69985
2 1995 1.00 101.2751322 101.27513 1.08938 1008.38369 1.38150 1007.21007
3 1995 1.00 101.7218898 101.72189 1.09242 1011.73959 1.38495 1010.26826
4 1995 1.00 102.1560100 102.15601 1.09605 1014.96135 1.38915 1013.19064
5 1995 1.00 102.6203834 102.62038 1.09954 1018.47555 1.39317 1016.40316
6 1995 1.00 103.0717601 103.07176 1.10335 1021.85197 1.39759 1019.47623
7 1995 1.00 103.5237313 103.52373 1.10701 1025.22580 1.40181 1022.54484
8 1995 1.00 103.9716022 103.97160 1.11066 1028.55054 1.40603 1025.56260
9 1995 1.00 104.4041941 104.40419 1.11426 1031.71574 1.41018 1028.41945
10 1995 1.00 104.8477190 104.84772 1.11769 1034.98093 1.41411 1031.37422
11 1995 1.00 105.2803746 105.28037 1.12123 1038.13057 1.41817 1034.21203
12 1995 1.00 105.7268168 105.72682 1.12464 1041.40812 1.42208 1037.17554
1 1996 1.00 106.1459631 106.14596 1.12819 1044.40852 1.42615 1039.86119
2 1996 1.00 106.5330109 106.53301 1.13144 1047.08538 1.42984 1042.22307
3 1996 1.00 106.9463917 106.94639 1.13434 1050.01405 1.43309 1044.83413
4 1996 1.00 107.3477820 107.34778 1.13752 1052.81744 1.43668 1047.31891
5 1996 1.00 107.7642101 107.76421 1.14055 1055.76102 1.44010 1049.94161
6 1996 1.00 108.1698337 108.16983 1.14374 1058.59116 1.44370 1052.44988
7 1996 1.00 108.5943585 108.59436 1.14681 1061.59891 1.44715 1055.13318
8 1996 1.00 109.0227357 109.02274 1.15007 1064.63658 1.45084 1057.84457
9 1996 1.00 109.4111888 109.41119 1.15336 1067.27658 1.45457 1060.15915
10 1996 1.00 109.8418646 109.84186 1.15622 1070.32149 1.45775 1062.87451
11 1996 1.00 110.2667053 110.26671 1.15951 1073.30171 1.46149 1065.52395
12 1996 1.00 110.7072287 110.70723 1.16274 1076.42688 1.46513 1068.31566
1 1997 1.00 111.1442573 111.14426 1.16613 1079.51006 1.46897 1071.06399
2 1997 1.00 111.5344310 111.53443 1.16947 1082.13023 1.47275 1073.35122
3 1997 1.00 111.9752700 111.97527 1.17231 1085.23503 1.47589 1076.11774
4 1997 1.00 112.4109707 112.41097 1.17567 1088.28206 1.47970 1078.82527
5 1997 1.00 112.8699002 112.86990 1.17897 1091.54611 1.48342 1081.74626
6 1997 1.00 113.3232120 113.32321 1.18251 1094.74751 1.48744 1084.60337
7 1997 1.00 113.7942645 113.79426 1.18598 1098.11209 1.49137 1087.62039
8 1997 1.00 114.2678375 114.26784 1.18962 1101.49243 1.49551 1090.65119
9 1997 1.00 114.7279210 114.72792 1.19328 1104.73416 1.49968 1093.54286
10 1997 1.00 115.2063882 115.20639 1.19680 1108.14460 1.50366 1096.59977
11 1997 1.00 115.6752649 115.67526 1.20049 1111.45413 1.50786 1099.55494
12 1997 1.00 116.1691804 116.16918 1.20408 1114.99579 1.51192 1102.73795
1 1998 1.00 116.6618882 116.66189 1.20791 1118.51691 1.51630 1105.89868
2 1998 1.00 117.1019765 117.10198 1.21173 1121.52461 1.52065 1108.54986
3 1998 1.00 117.5924652 117.59247 1.21498 1125.00720 1.52429 1111.66880
4 1998 1.00 118.0636094 118.06361 1.21876 1128.29587 1.52858 1114.59421
5 1998 1.00 118.5514668 118.55147 1.22232 1131.73585 1.53260 1117.66728
6 1998 1.00 119.0280331 119.02803 1.22605 1135.05928 1.53683 1120.62338
7 1998 1.00 119.5235540 119.52355 1.22965 1138.55495 1.54089 1123.74770
8 1998 1.00 120.0185273 120.01853 1.23343 1142.03652 1.54519 1126.85620
9 1998 1.00 120.4967424 120.49674 1.23721 1145.34978 1.54946 1129.79671
10 1998 1.00 120.9779470 120.97795 1.24080 1148.68294 1.55351 1132.75505
11 1998 1.00 121.4309064 121.43091 1.24441 1151.73937 1.55758 1135.43868
12 1998 1.00 121.8919586 121.89196 1.24772 1154.86461 1.56127 1138.18848
1 1999 1.00 122.3499976 122.35000 1.25110 1157.95320 1.56505 1140.90045
2 1999 1.00 122.7513657 122.75137 1.25445 1160.49740 1.56878 1143.07439
3 1999 1.00 123.1940213 123.19402 1.25721 1163.42509 1.57177 1145.62468
4 1999 1.00 123.6197513 123.61975 1.26038 1166.18524 1.57527 1148.00842
5 1999 1.00 124.0674662 124.06747 1.26337 1169.14545 1.57855 1150.58763
6 1999 1.00 124.5098566 124.50986 1.26657 1172.04773 1.58210 1153.10821
7 1999 1.00 124.9786387 124.97864 1.26972 1175.19079 1.58556 1155.86412
8 1999 1.00 125.4666084 125.46661 1.27312 1178.50612 1.58935 1158.78776
9 1999 1.00 125.9557648 125.95576 1.27671 1181.82404 1.59337 1161.71215
10 1999 1.00 126.4702869 126.47029 1.28031 1185.37141 1.59739 1164.86028
11 1999 1.00 126.9539594 126.95396 1.28415 1188.62059 1.60172 1167.71345
12 1999 1.00 127.5057558 127.50576 1.28767 1192.49917 1.60564 1171.18319
</TABLE>
SURRENDER CHARGE = 2.00%
FREE WITHDRAWAL AVAILABLE = 15.00% OF PRINCIPAL + 15.00% OF INTEREST
GROSS RETURN = 27.51%
GROSS ANNUAL RETURN = 4.87%
WITHOUT WITH
SURRENDER SURRENDER
CHARGE CHARGE
WITHOUT DEATH BENEFIT CHARGE
ERV 1192.50 1172.23
TOTAL RETURN 19.25% 17.22%
AVERAGE ANNUAL RETURN 3.51% 3.16%
WITH DEATH BENEFIT CHARGE
ERV 1171.18 1151.27
TOTAL RETURN 17.12% 15.13%
AVERAGE ANNUAL RETURN 3.14% 2.80%
<TABLE>
<CAPTION>
Return for Product Inception
WITH DEATH BENEFIT CHARGE
FUND GROSS ADMIN/ ADMIN/
MONTH YEAR NAV SHARES VALUE MTHLY M&E ERV MTHLY M&E ERV
<S> <C> <C> <C> <C> <C> <C> <C> <C>
6 1995 1.00 103.0717601 103.07176 1000.00000 1000.00000
7 1995 1.00 103.5237313 103.52373 1.08333 1003.30168 1.37503 1003.00998
8 1995 1.00 103.9716022 103.97160 1.08691 1006.55532 1.37917 1005.97009
9 1995 1.00 104.4041941 104.40419 1.09043 1009.65283 1.38324 1008.77237
10 1995 1.00 104.8477190 104.84772 1.09379 1012.84820 1.38710 1011.67069
11 1995 1.00 105.2803746 105.28037 1.09725 1015.93048 1.39108 1014.45428
12 1995 1.00 105.7268168 105.72682 1.10059 1019.13795 1.39491 1017.36117
1 1996 1.00 106.1459631 106.14596 1.10407 1022.07418 1.39891 1019.99552
2 1996 1.00 106.5330109 106.53301 1.10725 1024.69380 1.40253 1022.31228
3 1996 1.00 106.9463917 106.94639 1.11008 1027.55984 1.40571 1024.87345
4 1996 1.00 107.3477820 107.34778 1.11319 1030.30328 1.40924 1027.31076
5 1996 1.00 107.7642101 107.76421 1.11616 1033.18391 1.41259 1029.88336
6 1996 1.00 108.1698337 108.16983 1.11928 1035.95353 1.41612 1032.34371
7 1996 1.00 108.5943585 108.59436 1.12228 1038.89696 1.41951 1034.97576
8 1996 1.00 109.0227357 109.02274 1.12547 1041.86968 1.42313 1037.63535
9 1996 1.00 109.4111888 109.41119 1.12869 1044.45321 1.42678 1039.90571
10 1996 1.00 109.8418646 109.84186 1.13149 1047.43301 1.42990 1042.56919
11 1996 1.00 110.2667053 110.26671 1.13472 1050.34950 1.43357 1045.16801
12 1996 1.00 110.7072287 110.70723 1.13788 1053.40784 1.43714 1047.90640
1 1997 1.00 111.1442573 111.14426 1.14119 1056.42509 1.44091 1050.60221
2 1997 1.00 111.5344310 111.53443 1.14446 1058.98923 1.44461 1052.84575
3 1997 1.00 111.9752700 111.97527 1.14724 1062.02763 1.44770 1055.55942
4 1997 1.00 112.4109707 112.41097 1.15053 1065.00950 1.45143 1058.21522
5 1997 1.00 112.8699002 112.86990 1.15376 1068.20375 1.45508 1061.08041
6 1997 1.00 113.3232120 113.32321 1.15722 1071.33669 1.45902 1063.88294
7 1997 1.00 113.7942645 113.79426 1.16061 1074.62931 1.46287 1066.84232
8 1997 1.00 114.2678375 114.26784 1.16418 1077.93738 1.46694 1069.81522
9 1997 1.00 114.7279210 114.72792 1.16777 1081.10977 1.47103 1072.65164
10 1997 1.00 115.2063882 115.20639 1.17120 1084.44729 1.47493 1075.65015
11 1997 1.00 115.6752649 115.67526 1.17482 1087.68604 1.47905 1078.54887
12 1997 1.00 116.1691804 116.16918 1.17833 1091.15197 1.48304 1081.67107
1 1998 1.00 116.6618882 116.66189 1.18208 1094.59779 1.48733 1084.77142
2 1998 1.00 117.1019765 117.10198 1.18581 1097.54117 1.49160 1087.37195
3 1998 1.00 117.5924652 117.59247 1.18900 1100.94928 1.49517 1090.43130
4 1998 1.00 118.0636094 118.06361 1.19270 1104.16763 1.49938 1093.30083
5 1998 1.00 118.5514668 118.55147 1.19618 1107.53405 1.50333 1096.31519
6 1998 1.00 119.0280331 119.02803 1.19983 1110.78641 1.50747 1099.21481
7 1998 1.00 119.5235540 119.52355 1.20335 1114.20732 1.51146 1102.27945
8 1998 1.00 120.0185273 120.01853 1.20706 1117.61444 1.51567 1105.32856
9 1998 1.00 120.4967424 120.49674 1.21075 1120.85684 1.51986 1108.21289
10 1998 1.00 120.9779470 120.97795 1.21426 1124.11873 1.52383 1111.11472
11 1998 1.00 121.4309064 121.43091 1.21780 1127.10980 1.52782 1113.74708
12 1998 1.00 121.8919586 121.89196 1.22104 1130.16821 1.53144 1116.44435
1 1999 1.00 122.3499976 122.35000 1.22435 1133.19074 1.53515 1119.10451
2 1999 1.00 122.7513657 122.75137 1.22762 1135.68054 1.53881 1121.23692
3 1999 1.00 123.1940213 123.19402 1.23032 1138.54562 1.54174 1123.73849
4 1999 1.00 123.6197513 123.61975 1.23342 1141.24674 1.54518 1126.07669
5 1999 1.00 124.0674662 124.06747 1.23635 1144.14366 1.54839 1128.60662
6 1999 1.00 124.5098566 124.50986 1.23949 1146.98387 1.55187 1131.07905
7 1999 1.00 124.9786387 124.97864 1.24257 1150.05972 1.55527 1133.78231
8 1999 1.00 125.4666084 125.46661 1.24590 1153.30414 1.55899 1136.65009
9 1999 1.00 125.9557648 125.95576 1.24941 1156.55112 1.56293 1139.51862
10 1999 1.00 126.4702869 126.47029 1.25293 1160.02263 1.56688 1142.60661
11 1999 1.00 126.9539594 126.95396 1.25669 1163.20233 1.57112 1145.40527
12 1999 1.00 127.5057558 127.50576 1.26014 1166.99797 1.57497 1148.80872
</TABLE>
SURRENDER CHARGE = 3.00%
FREE WITHDRAWAL AVAILABLE = 15.00% OF PRINCIPAL + 15.00% OF INTEREST
GROSS RETURN = 23.71%
GROSS ANNUAL RETURN = 4.75%
WITHOUT WITH
SURRENDER SURRENDER
CHARGE CHARGE
WITHOUT DEATH BENEFIT CHARGE
ERV 1167.00 1137.24
TOTAL RETURN 16.70% 13.72%
AVERAGE ANNUAL RETURN 3.43% 2.85%
WITH DEATH BENEFIT CHARGE
ERV 1148.81 1119.51
TOTAL RETURN 14.88% 11.95%
AVERAGE ANNUAL RETURN 3.07% 2.49%
<PAGE>
Federated US Government Bond
12/1999
Assume ($10000 @ $10.00 on 3/28/1994)
DATE DIV PR/SH REINVEST NAV REINVEST SHARES SHARE BASIS
(incl cap gain)
100.000000
3/94 0.0000000000 10.00 0.000 100.000000
4/94 0.0240000000 9.99 0.240 100.240240
5/94 0.0190000000 9.97 0.191 100.431270
6/94 0.0290000000 9.98 0.292 100.723104
7/94 0.0320000000 9.96 0.324 101.046713
8/94 0.0310000000 9.97 0.314 101.360900
9/94 0.0290000000 9.97 0.295 101.655731
10/94 0.0300000000 9.98 0.306 101.961309
11/94 0.0360000000 9.97 0.368 102.329475
12/94 0.0380000000 9.97 0.390 102.719497
1/95 0.0350000000 9.97 0.361 103.080097
2/95 0.0390000000 9.98 0.403 103.482915
3/95 0.0420000000 9.97 0.436 103.918851
4/95 0.0400000000 9.98 0.417 104.335359
5/95 0.0400000000 9.98 0.418 104.753537
6/95 0.0400000000 9.98 0.420 105.173391
7/95 0.0400000000 9.99 0.421 105.594505
8/95 0.0520000000 9.96 0.551 106.145802
9/95 0.0520000000 10.07 0.548 106.693923
10/95 0.0520000000 10.12 0.548 107.242153
11/95 0.0530000000 10.17 0.559 107.801035
12/95 0.0530000000 10.22 0.559 108.360082
1/96 0.0490000000 10.28 0.517 108.876584
2/96 0.0490000000 10.21 0.523 109.399107
3/96 0.0893000000 10.04 0.973 110.372148
4/96 0.0480000000 9.98 0.531 110.902996
5/96 0.0480000000 9.94 0.536 111.438544
6/96 0.0480000000 9.83 0.544 111.982700
7/96 0.0440000000 9.87 0.499 112.481913
8/96 0.0440000000 9.98 0.496 112.977826
9/96 0.0480000000 9.89 0.548 113.526151
10/96 0.0480000000 10.02 0.544 114.069989
11/96 0.0480000000 10.21 0.536 114.606263
12/96 0.0480000000 10.11 0.544 115.150387
1/97 0.0480000000 10.05 0.550 115.700359
2/97 0.0480000000 10.12 0.549 116.249136
3/97 0.0480000000 9.96 0.560 116.809373
4/97 0.0480000000 9.92 0.565 117.374579
5/97 0.0480000000 10.00 0.563 117.937977
6/97 0.0480000000 10.12 0.559 118.497367
7/97 0.0510000000 10.16 0.595 119.092186
8/97 0.0510000000 10.15 0.598 119.690581
3/98 0.1864000000 10.54 2.117 121.807310
3/99 0.5252000000 10.60 6.035 127.842517
M and E Charge = 0.0010833
Death Benefit Charge = 0.0002917
<TABLE>
<CAPTION>
Return for YTD
WITH DEATH BENEFIT CHARGE
FUND GROSS ADMIN/ ADMIN/
MONTH YEAR NAV SHARES VALUE MTHLY M&E ERV MTHLY M&E ERV
<S> <C> <C> <C> <C> <C> <C> <C> <C>
12 1998 11.15 121.8073097 1358.15150 1000.00000 1000.00000
1 1999 11.21 121.8073097 1365.45994 1.08333 1004.29783 1.37503 1004.00613
2 1999 11.08 121.8073097 1349.62499 1.08799 991.56321 1.38054 990.98234
3 1999 10.61 127.8425171 1356.40911 1.07419 995.47328 1.36263 994.60105
4 1999 10.64 127.8425171 1360.24438 1.07843 997.20957 1.36761 996.04569
5 1999 10.55 127.8425171 1348.73856 1.08031 987.69422 1.36960 986.25090
6 1999 10.49 127.8425171 1341.06800 1.07000 981.00700 1.35613 979.28576
7 1999 10.43 127.8425171 1333.39745 1.06276 974.33314 1.34655 972.33796
8 1999 10.42 127.8425171 1332.11903 1.05553 972.34345 1.33700 970.06871
9 1999 10.58 127.8425171 1352.57383 1.05337 986.22050 1.33388 983.63032
10 1999 10.61 127.8425171 1356.40911 1.06841 987.94856 1.35252 985.06692
11 1999 10.61 127.8425171 1356.40911 1.07028 986.87828 1.35450 983.71242
12 1999 10.56 127.8425171 1350.01698 1.06912 981.15846 1.35264 977.72400
</TABLE>
SURRENDER CHARGE = 7.00%
FREE WITHDRAWAL AVAILABLE = 15.00% OF PRINCIPAL + 15.00% OF INTEREST
GROSS RETURN = -0.60%
WITHOUT WITH
SURRENDER SURRENDER
CHARGE CHARGE
WITHOUT DEATH BENEFIT CHARGE
ERV 981.16 922.78
TOTAL RETURN -1.88% -7.72%
WITH DEATH BENEFIT CHARGE
ERV 977.72 919.55
TOTAL RETURN -2.23% -8.05%
<TABLE>
<CAPTION>
Return for 1 Year
WITH DEATH BENEFIT CHARGE
FUND GROSS ADMIN/ ADMIN/
MONTH YEAR NAV SHARES VALUE MTHLY M&E ERV MTHLY M&E ERV
<S> <C> <C> <C> <C> <C> <C> <C> <C>
12 1998 11.15 121.8073097 1358.15150 1000.00000 1000.00000
1 1999 11.21 121.8073097 1365.45994 1.08333 1004.29783 1.37503 1004.00613
2 1999 11.08 121.8073097 1349.62499 1.08799 991.56321 1.38054 990.98234
3 1999 10.61 127.8425171 1356.40911 1.07419 995.47328 1.36263 994.60105
4 1999 10.64 127.8425171 1360.24438 1.07843 997.20957 1.36761 996.04569
5 1999 10.55 127.8425171 1348.73856 1.08031 987.69422 1.36960 986.25090
6 1999 10.49 127.8425171 1341.06800 1.07000 981.00700 1.35613 979.28576
7 1999 10.43 127.8425171 1333.39745 1.06276 974.33314 1.34655 972.33796
8 1999 10.42 127.8425171 1332.11903 1.05553 972.34345 1.33700 970.06871
9 1999 10.58 127.8425171 1352.57383 1.05337 986.22050 1.33388 983.63032
10 1999 10.61 127.8425171 1356.40911 1.06841 987.94856 1.35252 985.06692
11 1999 10.61 127.8425171 1356.40911 1.07028 986.87828 1.35450 983.71242
12 1999 10.56 127.8425171 1350.01698 1.06912 981.15846 1.35264 977.72400
</TABLE>
SURRENDER CHARGE = 7.00%
FREE WITHDRAWAL AVAILABLE = 15.00% OF PRINCIPAL + 15.00% OF INTEREST
GROSS RETURN = -0.60%
WITHOUT WITH
SURRENDER SURRENDER
CHARGE CHARGE
WITHOUT DEATH BENEFIT CHARGE
ERV 981.16 922.78
TOTAL RETURN -1.88% -7.72%
WITH DEATH BENEFIT CHARGE
ERV 977.72 919.55
TOTAL RETURN -2.23% -8.05%
<TABLE>
<CAPTION>
Return for 3 Years
WITH DEATH BENEFIT CHARGE
FUND GROSS ADMIN/ ADMIN/
MONTH YEAR NAV SHARES VALUE MTHLY M&E ERV MTHLY M&E ERV
<S> <C> <C> <C> <C> <C> <C> <C> <C>
12 1996 10.09 115.1503875 1161.86741 1000.00000 1000.00000
1 1997 10.08 115.7003595 1166.25962 1.08333 1002.69697 1.37503 1002.40527
2 1997 10.05 116.2491359 1168.30382 1.08626 1003.36822 1.37834 1002.78392
3 1997 9.91 116.8093727 1157.58088 1.08698 993.07212 1.37886 992.20131
4 1997 10.00 117.3745793 1173.74579 1.07583 1005.86394 1.36431 1004.69248
5 1997 10.04 117.9379773 1184.09729 1.08969 1013.64517 1.38149 1012.17158
6 1997 10.10 118.4973669 1196.82341 1.09812 1023.44123 1.39177 1021.65815
7 1997 10.21 119.0921864 1215.93122 1.10873 1038.67219 1.40481 1036.56456
8 1997 10.17 119.6905806 1217.25321 1.12523 1038.67623 1.42531 1036.26622
9 1997 10.29 119.6905806 1231.61607 1.12523 1049.80676 1.42490 1047.06865
10 1997 10.42 119.6905806 1247.17585 1.13729 1061.93233 1.43975 1058.85717
11 1997 10.45 119.6905806 1250.76657 1.15043 1063.83929 1.45596 1060.44974
12 1997 10.54 119.6905806 1261.53872 1.15249 1071.84905 1.45815 1068.12464
1 1998 10.67 119.6905806 1277.09850 1.16117 1083.90803 1.46871 1079.83015
2 1998 10.67 119.6905806 1277.09850 1.17423 1082.73380 1.48480 1078.34535
3 1998 10.52 121.8073097 1281.41290 1.17296 1085.21862 1.48276 1080.50554
4 1998 10.57 121.8073097 1287.50326 1.17565 1089.20085 1.48573 1084.15530
5 1998 10.66 121.8073097 1298.46592 1.17997 1097.29506 1.49075 1091.89576
6 1998 10.71 121.8073097 1304.55629 1.18874 1101.25311 1.50139 1095.51583
7 1998 10.76 121.8073097 1310.64665 1.19302 1105.20133 1.50637 1099.12392
8 1998 10.91 121.8073097 1328.91775 1.19730 1119.41111 1.51133 1112.93494
9 1998 11.11 121.8073097 1353.27921 1.21270 1138.71924 1.53032 1131.80673
10 1998 11.07 121.8073097 1348.40692 1.23361 1133.38583 1.55627 1126.17554
11 1998 11.11 121.8073097 1353.27921 1.22783 1136.25334 1.54853 1128.69630
12 1998 11.15 121.8073097 1358.15150 1.23094 1139.11332 1.55200 1131.20802
1 1999 11.21 121.8073097 1365.45994 1.23404 1144.00903 1.55545 1135.73979
2 1999 11.08 121.8073097 1349.62499 1.23934 1129.50286 1.56168 1121.00718
3 1999 10.61 127.8425171 1356.40911 1.22363 1133.95687 1.54142 1125.10068
4 1999 10.64 127.8425171 1360.24438 1.22845 1135.93470 1.54705 1126.73488
5 1999 10.55 127.8425171 1348.73856 1.23060 1125.09563 1.54930 1115.65493
6 1999 10.49 127.8425171 1341.06800 1.21885 1117.47813 1.53406 1107.77591
7 1999 10.43 127.8425171 1333.39745 1.21060 1109.87585 1.52323 1099.91650
8 1999 10.42 127.8425171 1332.11903 1.20237 1107.60937 1.51242 1097.34951
9 1999 10.58 127.8425171 1352.57383 1.19991 1123.41690 1.50889 1112.69051
10 1999 10.61 127.8425171 1356.40911 1.21703 1125.38536 1.52999 1114.31560
11 1999 10.61 127.8425171 1356.40911 1.21917 1124.16619 1.53222 1112.78338
12 1999 10.56 127.8425171 1350.01698 1.21785 1117.65067 1.53011 1106.00924
</TABLE>
SURRENDER CHARGE = 5.00%
FREE WITHDRAWAL AVAILABLE = 15.00% OF PRINCIPAL + 15.00% OF INTEREST
GROSS RETURN = 16.19%
GROSS ANNUAL RETURN = 5.13%
WITHOUT WITH
SURRENDER SURRENDER
CHARGE CHARGE
WITHOUT DEATH BENEFIT CHARGE
ERV 1117.65 1070.15
TOTAL RETURN 11.77% 7.02%
AVERAGE ANNUAL RETURN 3.78% 2.29%
WITH DEATH BENEFIT CHARGE
ERV 1106.01 1059.00
TOTAL RETURN 10.60% 5.90%
AVERAGE ANNUAL RETURN 3.42% 1.93%
<TABLE>
<CAPTION>
Return for 5 Years
WITH DEATH BENEFIT CHARGE
FUND GROSS ADMIN/ ADMIN/
MONTH YEAR NAV SHARES VALUE MTHLY M&E ERV MTHLY M&E ERV
<S> <C> <C> <C> <C> <C> <C> <C> <C>
12 1994 9.98 102.7194966 1025.14058 1000.00000 1000.00000
1 1995 9.99 103.0800966 1029.77017 1.08333 1003.43272 1.37503 1003.14102
2 1995 9.99 103.4829147 1033.79432 1.08705 1006.26690 1.37935 1005.68176
3 1995 9.99 103.9188507 1038.14932 1.09012 1009.41581 1.38285 1008.53548
4 1995 9.99 104.3353591 1042.31024 1.09353 1012.36803 1.38677 1011.19094
5 1995 9.99 104.7535369 1046.48783 1.09673 1015.32889 1.39042 1013.85339
6 1995 9.99 105.1733908 1050.68217 1.09994 1018.29840 1.39408 1016.52285
7 1995 10.01 105.5945055 1057.00100 1.10316 1023.31932 1.39775 1021.23849
8 1995 10.07 106.1458021 1068.88823 1.10860 1033.71916 1.40424 1031.31928
9 1995 10.11 106.6939234 1078.67557 1.11986 1042.06461 1.41810 1039.34452
10 1995 10.16 107.2421530 1089.58027 1.12890 1051.47030 1.42913 1048.42249
11 1995 10.23 107.8010354 1102.80459 1.13909 1063.09298 1.44162 1059.70565
12 1995 10.29 108.3600819 1115.02524 1.15168 1073.72189 1.45713 1069.99158
1 1996 10.32 108.8765842 1123.60635 1.16320 1080.82193 1.47127 1076.75483
2 1996 10.17 109.3991065 1112.58891 1.17089 1069.05312 1.48057 1064.71622
3 1996 10.03 110.3721484 1107.03265 1.15814 1062.55613 1.46402 1057.93501
4 1996 9.94 110.9029964 1102.37578 1.15110 1056.93526 1.45470 1052.02999
5 1996 9.87 111.4385441 1099.89843 1.14501 1053.41501 1.44658 1048.21920
6 1996 9.94 111.9826997 1113.10804 1.14120 1064.92516 1.44134 1059.36681
7 1996 9.92 112.4819134 1115.82058 1.15367 1066.36662 1.45666 1060.49173
8 1996 9.85 112.9778256 1112.83158 1.15523 1062.35486 1.45821 1056.19273
9 1996 9.96 113.5261508 1130.72046 1.15088 1078.28144 1.45230 1071.71883
10 1996 10.11 114.0699886 1153.24758 1.16814 1098.59569 1.47365 1091.59683
11 1996 10.21 114.6062628 1170.12994 1.19015 1113.48786 1.50098 1106.07570
12 1996 10.09 115.1503875 1161.86741 1.20628 1104.41901 1.52089 1096.74458
1 1997 10.08 115.7003595 1166.25962 1.19645 1107.39760 1.50806 1099.38255
2 1997 10.05 116.2491359 1168.30382 1.19968 1108.13894 1.51169 1099.79783
3 1997 9.91 116.8093727 1157.58088 1.20048 1096.76773 1.51226 1088.19140
4 1997 10.00 117.3745793 1173.74579 1.18816 1110.89525 1.49630 1101.89103
5 1997 10.04 117.9379773 1184.09729 1.20347 1119.48899 1.51514 1110.09369
6 1997 10.10 118.4973669 1196.82341 1.21278 1130.30794 1.52642 1120.49804
7 1997 10.21 119.0921864 1215.93122 1.22450 1147.12931 1.54072 1136.84656
8 1997 10.17 119.6905806 1217.25321 1.24272 1147.13377 1.56320 1136.51936
9 1997 10.29 119.6905806 1231.61607 1.24273 1159.42654 1.56275 1148.36687
10 1997 10.42 119.6905806 1247.17585 1.25605 1172.81826 1.57904 1161.29586
11 1997 10.45 119.6905806 1250.76657 1.27055 1174.92434 1.59682 1163.04250
12 1997 10.54 119.6905806 1261.53872 1.27283 1183.77047 1.59922 1171.45991
1 1998 10.67 119.6905806 1277.09850 1.28242 1197.08864 1.61080 1184.29786
2 1998 10.67 119.6905806 1277.09850 1.29685 1195.79179 1.62845 1182.66941
3 1998 10.52 121.8073097 1281.41290 1.29544 1198.53607 1.62621 1185.03860
4 1998 10.57 121.8073097 1287.50326 1.29841 1202.93413 1.62947 1189.04144
5 1998 10.66 121.8073097 1298.46592 1.30318 1211.87353 1.63497 1197.53076
6 1998 10.71 121.8073097 1304.55629 1.31286 1216.24487 1.64664 1201.50105
7 1998 10.76 121.8073097 1310.64665 1.31760 1220.60536 1.65210 1205.45820
8 1998 10.91 121.8073097 1328.91775 1.32232 1236.29891 1.65755 1220.60537
9 1998 11.11 121.8073097 1353.27921 1.33932 1257.62317 1.67837 1241.30289
10 1998 11.07 121.8073097 1348.40692 1.36243 1251.73285 1.70683 1235.12692
11 1998 11.11 121.8073097 1353.27921 1.35604 1254.89978 1.69834 1237.89155
12 1998 11.15 121.8073097 1358.15150 1.35947 1258.05840 1.70214 1240.64627
1 1999 11.21 121.8073097 1365.45994 1.36290 1263.46532 1.70593 1245.61646
2 1999 11.08 121.8073097 1349.62499 1.36875 1247.44443 1.71276 1229.45854
3 1999 10.61 127.8425171 1356.40911 1.35140 1252.36352 1.69055 1233.94808
4 1999 10.64 127.8425171 1360.24438 1.35673 1254.54788 1.69672 1235.74037
5 1999 10.55 127.8425171 1348.73856 1.35909 1242.57701 1.69918 1223.58850
6 1999 10.49 127.8425171 1341.06800 1.34613 1234.16409 1.68247 1214.94722
7 1999 10.43 127.8425171 1333.39745 1.33701 1225.76799 1.67059 1206.32746
8 1999 10.42 127.8425171 1332.11903 1.32792 1223.26484 1.65874 1203.51212
9 1999 10.58 127.8425171 1352.57383 1.32520 1240.72298 1.65487 1220.33729
10 1999 10.61 127.8425171 1356.40911 1.34412 1242.89698 1.67800 1222.11960
11 1999 10.61 127.8425171 1356.40911 1.34647 1241.55051 1.68046 1220.43914
12 1999 10.56 127.8425171 1350.01698 1.34501 1234.35464 1.67814 1213.00963
</TABLE>
SURRENDER CHARGE = 3.00%
FREE WITHDRAWAL AVAILABLE = 15.00% OF PRINCIPAL + 15.00% OF INTEREST
GROSS RETURN = 31.69%
GROSS ANNUAL RETURN = 5.66%
WITHOUT WITH
SURRENDER SURRENDER
CHARGE CHARGE
WITHOUT DEATH BENEFIT CHARGE
ERV 1234.35 1202.88
TOTAL RETURN 23.44% 20.29%
AVERAGE ANNUAL RETURN 4.30% 3.76%
WITH DEATH BENEFIT CHARGE
ERV 1213.01 1182.08
TOTAL RETURN 21.30% 18.21%
AVERAGE ANNUAL RETURN 3.94% 3.40%
<TABLE>
<CAPTION>
Return for Inception
WITH DEATH BENEFIT CHARGE
FUND GROSS ADMIN/ ADMIN/
MONTH YEAR NAV SHARES VALUE MTHLY M&E ERV MTHLY M&E ERV
<S> <C> <C> <C> <C> <C> <C> <C> <C>
3 1994 10.00 100.0000000 1000.00000 1000.00000 1000.00000
4 1994 9.97 100.2402402 999.39520 1.08333 998.31186 1.37503 998.02016
5 1994 9.98 100.4312698 1002.30407 1.08150 1000.13608 1.37231 999.55273
6 1994 9.99 100.7231041 1006.22381 1.08348 1002.96386 1.37442 1002.08729
7 1994 9.97 101.0467125 1007.43572 1.08654 1003.08530 1.37790 1001.91631
8 1994 9.98 101.3608999 1011.58178 1.08668 1006.12678 1.37767 1004.66199
9 1994 9.97 101.6557310 1013.50764 1.08997 1006.95228 1.38144 1005.19323
10 1994 9.99 101.9613093 1018.59348 1.09086 1010.91436 1.38217 1008.85517
11 1994 9.98 102.3294745 1021.24816 1.09516 1012.45387 1.38721 1010.09726
12 1994 9.98 102.7194966 1025.14058 1.09682 1015.21595 1.38892 1012.55826
1 1995 9.99 103.0800966 1029.77017 1.09982 1018.70090 1.39230 1015.73873
2 1995 9.99 103.4829147 1033.79432 1.10359 1021.57820 1.39667 1018.31137
3 1995 9.99 103.9188507 1038.14932 1.10671 1024.77503 1.40021 1021.20094
4 1995 9.99 104.3353591 1042.31024 1.11017 1027.77217 1.40419 1023.88974
5 1995 9.99 104.7535369 1046.48783 1.11342 1030.77808 1.40788 1026.58563
6 1995 9.99 105.1733908 1050.68217 1.11668 1033.79278 1.41159 1029.28861
7 1995 10.01 105.5945055 1057.00100 1.11994 1038.89009 1.41531 1034.06347
8 1995 10.07 106.1458021 1068.88823 1.12546 1049.44817 1.42187 1044.27086
9 1995 10.11 106.6939234 1078.67557 1.13690 1057.92060 1.43591 1052.39688
10 1995 10.16 107.2421530 1089.58027 1.14608 1067.46941 1.44708 1061.58885
11 1995 10.23 107.8010354 1102.80459 1.15643 1079.26895 1.45972 1073.01371
12 1995 10.29 108.3600819 1115.02524 1.16921 1090.05958 1.47543 1083.42881
1 1996 10.32 108.8765842 1123.60635 1.18090 1097.26766 1.48975 1090.27700
2 1996 10.17 109.3991065 1112.58891 1.18871 1085.31977 1.49917 1078.08721
3 1996 10.03 110.3721484 1107.03265 1.17576 1078.72393 1.48241 1071.22084
4 1996 9.94 110.9029964 1102.37578 1.16862 1073.01753 1.47296 1065.24166
5 1996 9.87 111.4385441 1099.89843 1.16244 1069.44372 1.46474 1061.38301
6 1996 9.94 111.9826997 1113.10804 1.15856 1081.12900 1.45944 1072.67062
7 1996 9.92 112.4819134 1115.82058 1.17122 1082.59239 1.47496 1073.80966
8 1996 9.85 112.9778256 1112.83158 1.17281 1078.51960 1.47652 1069.45667
9 1996 9.96 113.5261508 1130.72046 1.16840 1094.68851 1.47054 1085.17776
10 1996 10.11 114.0699886 1153.24758 1.18591 1115.31187 1.49216 1105.30539
11 1996 10.21 114.6062628 1170.12994 1.20825 1130.43063 1.51983 1119.96609
12 1996 10.09 115.1503875 1161.86741 1.22463 1121.22379 1.53999 1110.51778
1 1997 10.08 115.7003595 1166.25962 1.21466 1124.24770 1.52700 1113.18888
2 1997 10.05 116.2491359 1168.30382 1.21793 1125.00032 1.53067 1113.60938
3 1997 9.91 116.8093727 1157.58088 1.21875 1113.45608 1.53125 1101.85720
4 1997 10.00 117.3745793 1173.74579 1.20624 1127.79857 1.51509 1115.72887
5 1997 10.04 117.9379773 1184.09729 1.22178 1136.52307 1.53416 1124.03454
6 1997 10.10 118.4973669 1196.82341 1.23123 1147.50665 1.54558 1134.56954
7 1997 10.21 119.0921864 1215.93122 1.24313 1164.58397 1.56007 1151.12338
8 1997 10.17 119.6905806 1217.25321 1.26163 1164.58849 1.58283 1150.79207
9 1997 10.29 119.6905806 1231.61607 1.26164 1177.06831 1.58238 1162.78836
10 1997 10.42 119.6905806 1247.17585 1.27516 1190.66379 1.59887 1175.87972
11 1997 10.45 119.6905806 1250.76657 1.28989 1192.80192 1.61687 1177.64829
12 1997 10.54 119.6905806 1261.53872 1.29220 1201.78266 1.61931 1186.17141
1 1998 10.67 119.6905806 1277.09850 1.30193 1215.30347 1.63103 1199.17058
2 1998 10.67 119.6905806 1277.09850 1.31658 1213.98689 1.64890 1197.52169
3 1998 10.52 121.8073097 1281.41290 1.31515 1216.77293 1.64663 1199.92062
4 1998 10.57 121.8073097 1287.50326 1.31817 1221.23790 1.64993 1203.97374
5 1998 10.66 121.8073097 1298.46592 1.32301 1230.31333 1.65550 1212.56966
6 1998 10.71 121.8073097 1304.55629 1.33284 1234.75119 1.66732 1216.58982
7 1998 10.76 121.8073097 1310.64665 1.33765 1239.17802 1.67285 1220.59666
8 1998 10.91 121.8073097 1328.91775 1.34244 1255.11036 1.67836 1235.93405
9 1998 11.11 121.8073097 1353.27921 1.35970 1276.75910 1.69945 1256.89150
10 1998 11.07 121.8073097 1348.40692 1.38316 1270.77915 1.72827 1250.63797
11 1998 11.11 121.8073097 1353.27921 1.37668 1273.99427 1.71967 1253.43732
12 1998 11.15 121.8073097 1358.15150 1.38016 1277.20095 1.72352 1256.22663
1 1999 11.21 121.8073097 1365.45994 1.38363 1282.69014 1.72735 1261.25924
2 1999 11.08 121.8073097 1349.62499 1.38958 1266.42548 1.73427 1244.89841
3 1999 10.61 127.8425171 1356.40911 1.37196 1271.41941 1.71178 1249.44432
4 1999 10.64 127.8425171 1360.24438 1.37737 1273.63701 1.71803 1251.25912
5 1999 10.55 127.8425171 1348.73856 1.37977 1261.48399 1.72052 1238.95464
6 1999 10.49 127.8425171 1341.06800 1.36661 1252.94307 1.70360 1230.20485
7 1999 10.43 127.8425171 1333.39745 1.35735 1244.41921 1.69157 1221.47683
8 1999 10.42 127.8425171 1332.11903 1.34812 1241.87797 1.67957 1218.62614
9 1999 10.58 127.8425171 1352.57383 1.34537 1259.60175 1.67565 1235.66260
10 1999 10.61 127.8425171 1356.40911 1.36457 1261.80883 1.69908 1237.46729
11 1999 10.61 127.8425171 1356.40911 1.36696 1260.44187 1.70156 1235.76573
12 1999 10.56 127.8425171 1350.01698 1.36548 1253.13652 1.69922 1228.24293
</TABLE>
SURRENDER CHARGE = 2.00%
FREE WITHDRAWAL AVAILABLE = 15.00% OF PRINCIPAL + 15.00% OF INTEREST
GROSS RETURN = 35.00%
GROSS ANNUAL RETURN = 5.35%
WITHOUT WITH
SURRENDER SURRENDER
CHARGE CHARGE
WITHOUT DEATH BENEFIT CHARGE
ERV 1253.14 1231.83
TOTAL RETURN 25.31% 23.18%
AVERAGE ANNUAL RETURN 3.99% 3.69%
WITH DEATH BENEFIT CHARGE
ERV 1228.24 1207.36
TOTAL RETURN 22.82% 20.74%
AVERAGE ANNUAL RETURN 3.63% 3.32%
<TABLE>
<CAPTION>
Return for Product Inception
WITH DEATH BENEFIT CHARGE
FUND GROSS ADMIN/ ADMIN/
MONTH YEAR NAV SHARES VALUE MTHLY M&E ERV MTHLY M&E ERV
<S> <C> <C> <C> <C> <C> <C> <C> <C>
6 1995 9.99 105.1733908 1050.68217 1000.00000 1000.00000
7 1995 10.01 105.5945055 1057.00100 1.08333 1004.93069 1.37503 1004.63899
8 1995 10.07 106.1458021 1068.88823 1.08867 1015.14365 1.38141 1014.55593
9 1995 10.11 106.6939234 1078.67557 1.09974 1023.33913 1.39505 1022.45072
10 1995 10.16 107.2421530 1089.58027 1.10862 1032.57581 1.40590 1031.38113
11 1995 10.23 107.8010354 1102.80459 1.11862 1043.98964 1.41818 1042.48090
12 1995 10.29 108.3600819 1115.02524 1.13099 1054.42754 1.43345 1052.59963
1 1996 10.32 108.8765842 1123.60635 1.14230 1061.40000 1.44736 1059.25296
2 1996 10.17 109.3991065 1112.58891 1.14985 1049.84267 1.45651 1047.41003
3 1996 10.03 110.3721484 1107.03265 1.13733 1043.46243 1.44022 1040.73904
4 1996 9.94 110.9029964 1102.37578 1.13042 1037.94257 1.43105 1034.93000
5 1996 9.87 111.4385441 1099.89843 1.12444 1034.48558 1.42306 1031.18115
6 1996 9.94 111.9826997 1113.10804 1.12069 1045.78889 1.41791 1042.14756
7 1996 9.92 112.4819134 1115.82058 1.13294 1047.20445 1.43299 1043.25420
8 1996 9.85 112.9778256 1112.83158 1.13447 1043.26478 1.43451 1039.02508
9 1996 9.96 113.5261508 1130.72046 1.13020 1058.90517 1.42869 1054.29882
10 1996 10.11 114.0699886 1153.24758 1.14715 1078.85438 1.44970 1073.85371
11 1996 10.21 114.6062628 1170.12994 1.16876 1093.47894 1.47658 1088.09724
12 1996 10.09 115.1503875 1161.86741 1.18460 1084.57305 1.49617 1078.91778
1 1997 10.08 115.7003595 1166.25962 1.17495 1087.49812 1.48355 1081.51288
2 1997 10.05 116.2491359 1168.30382 1.17812 1088.22613 1.48712 1081.92141
3 1997 9.91 116.8093727 1157.58088 1.17891 1077.05926 1.48768 1070.50363
4 1997 10.00 117.3745793 1173.74579 1.16681 1090.93292 1.47198 1083.98059
5 1997 10.04 117.9379773 1184.09729 1.18184 1099.37223 1.49051 1092.04992
6 1997 10.10 118.4973669 1196.82341 1.19099 1109.99677 1.50161 1102.28515
7 1997 10.21 119.0921864 1215.93122 1.20250 1126.51587 1.51568 1118.36794
8 1997 10.17 119.6905806 1217.25321 1.22039 1126.52024 1.53779 1118.04605
9 1997 10.29 119.6905806 1231.61607 1.22040 1138.59212 1.53735 1129.70099
10 1997 10.42 119.6905806 1247.17585 1.23347 1151.74319 1.55338 1142.41983
11 1997 10.45 119.6905806 1250.76657 1.24772 1153.81143 1.57087 1144.13808
12 1997 10.54 119.6905806 1261.53872 1.24996 1162.49860 1.57323 1152.41867
1 1998 10.67 119.6905806 1277.09850 1.25937 1175.57744 1.58461 1165.04795
2 1998 10.67 119.6905806 1277.09850 1.27354 1174.30390 1.60198 1163.44597
3 1998 10.52 121.8073097 1281.41290 1.27216 1176.99887 1.59978 1165.77665
4 1998 10.57 121.8073097 1287.50326 1.27508 1181.31789 1.60298 1169.71443
5 1998 10.66 121.8073097 1298.46592 1.27976 1190.09666 1.60840 1178.06576
6 1998 10.71 121.8073097 1304.55629 1.28927 1194.38945 1.61988 1181.97152
7 1998 10.76 121.8073097 1310.64665 1.29392 1198.67158 1.62525 1185.86434
8 1998 10.91 121.8073097 1328.91775 1.29856 1214.08312 1.63060 1200.76530
9 1998 11.11 121.8073097 1353.27921 1.31526 1235.02420 1.65109 1221.12641
10 1998 11.07 121.8073097 1348.40692 1.33794 1229.23973 1.67909 1215.05082
11 1998 11.11 121.8073097 1353.27921 1.33168 1232.34975 1.67074 1217.77052
12 1998 11.15 121.8073097 1358.15150 1.33505 1235.45161 1.67448 1220.48045
1 1999 11.21 121.8073097 1365.45994 1.33841 1240.76137 1.67820 1225.36986
2 1999 11.08 121.8073097 1349.62499 1.34416 1225.02836 1.68492 1209.47458
3 1999 10.61 127.8425171 1356.40911 1.32711 1229.85906 1.66307 1213.89114
4 1999 10.64 127.8425171 1360.24438 1.33235 1232.00417 1.66914 1215.65430
5 1999 10.55 127.8425171 1348.73856 1.33467 1220.24841 1.67157 1203.69994
6 1999 10.49 127.8425171 1341.06800 1.32194 1211.98667 1.65513 1195.19913
7 1999 10.43 127.8425171 1333.39745 1.31299 1203.74144 1.64344 1186.71947
8 1999 10.42 127.8425171 1332.11903 1.30405 1201.28328 1.63178 1183.94990
9 1999 10.58 127.8425171 1352.57383 1.30139 1218.42769 1.62797 1200.50158
10 1999 10.61 127.8425171 1356.40911 1.31996 1220.56263 1.65073 1202.25492
11 1999 10.61 127.8425171 1356.40911 1.32228 1219.24035 1.65314 1200.60178
12 1999 10.56 127.8425171 1350.01698 1.32084 1212.17380 1.65087 1193.29303
</TABLE>
SURRENDER CHARGE = 3.00%
FREE WITHDRAWAL AVAILABLE = 15.00% OF PRINCIPAL + 15.00% OF INTEREST
GROSS RETURN = 28.49%
GROSS ANNUAL RETURN = 5.62%
WITHOUT WITH
SURRENDER SURRENDER
CHARGE CHARGE
WITHOUT DEATH BENEFIT CHARGE
ERV 1212.17 1181.26
TOTAL RETURN 21.22% 18.13%
AVERAGE ANNUAL RETURN 4.29% 3.70%
WITH DEATH BENEFIT CHARGE
ERV 1193.29 1162.86
TOTAL RETURN 19.33% 16.29%
AVERAGE ANNUAL RETURN 3.93% 3.35%
<PAGE>
Fidelity Asset Manager Growth12/1999Assume ($10000 @ $10.00 on 1/ 3/1995)
DATE DIV PR/SH REINVEST NAV REINVEST SHARES SHARE BASIS
(incl cap gain)
100.000000
12/95 0.5300000000 11.72 4.522 104.522184
2/96 0.4200000000 11.62 3.778 108.300095
12/96 0.5400000000 13.21 4.427 112.727199
2/97 0.0200000000 13.67 0.165 112.892126
2/98 1.9300000000 14.91 14.613 127.505258
2/99 1.0900000000 16.05 8.659 136.164493
M and E Charge = 0.0010833
Death Benefit Charge = 0.0002917
<TABLE>
<CAPTION>
Return for YTD
WITH DEATH BENEFIT CHARGE
FUND GROSS ADMIN/ ADMIN/
MONTH YEAR NAV SHARES VALUE MTHLY M&E ERV MTHLY M&E ERV
<S> <C> <C> <C> <C> <C> <C> <C> <C>
12 1998 17.03 127.5052578 2171.41454 1000.00000 1000.00000
1 1999 17.53 127.5052578 2235.16717 1.08333 1028.27662 1.37503 1027.98492
2 1999 15.99 136.1644934 2177.27025 1.11397 1000.52749 1.41351 999.94380
3 1999 16.15 136.1644934 2199.05657 1.08390 1009.45511 1.37496 1008.57453
4 1999 16.63 136.1644934 2264.41553 1.09358 1038.36392 1.38682 1037.16392
5 1999 16.34 136.1644934 2224.92782 1.12489 1019.13166 1.42613 1017.65134
6 1999 17.15 136.1644934 2335.22106 1.10406 1068.54759 1.39930 1066.69864
7 1999 16.80 136.1644934 2287.56349 1.15759 1045.58290 1.46675 1043.46254
8 1999 16.76 136.1644934 2282.11691 1.13271 1041.96070 1.43480 1039.54331
9 1999 16.42 136.1644934 2235.82098 1.12879 1019.69428 1.42941 1017.02531
10 1999 17.09 136.1644934 2327.05119 1.10467 1060.19712 1.39844 1057.12547
11 1999 17.39 136.1644934 2367.90054 1.14855 1077.65940 1.45358 1074.22880
12 1999 18.38 136.1644934 2502.70339 1.16746 1137.84230 1.47710 1133.90676
</TABLE>
SURRENDER CHARGE = 7.00%
FREE WITHDRAWAL AVAILABLE = 15.00% OF PRINCIPAL + 15.00% OF INTEREST
GROSS RETURN = 15.26%
WITHOUT WITH
SURRENDER SURRENDER
CHARGE CHARGE
WITHOUT DEATH BENEFIT CHARGE
ERV 1137.84 1070.14
TOTAL RETURN 13.78% 7.01%
WITH DEATH BENEFIT CHARGE
ERV 1133.91 1066.44
TOTAL RETURN 13.39% 6.64%
<TABLE>
<CAPTION>
Return for 1 Year
WITH DEATH BENEFIT CHARGE
FUND GROSS ADMIN/ ADMIN/
MONTH YEAR NAV SHARES VALUE MTHLY M&E ERV MTHLY M&E ERV
<S> <C> <C> <C> <C> <C> <C> <C> <C>
12 1998 17.03 127.5052578 2171.41454 1000.00000 1000.00000
1 1999 17.53 127.5052578 2235.16717 1.08333 1028.27662 1.37503 1027.98492
2 1999 15.99 136.1644934 2177.27025 1.11397 1000.52749 1.41351 999.94380
3 1999 16.15 136.1644934 2199.05657 1.08390 1009.45511 1.37496 1008.57453
4 1999 16.63 136.1644934 2264.41553 1.09358 1038.36392 1.38682 1037.16392
5 1999 16.34 136.1644934 2224.92782 1.12489 1019.13166 1.42613 1017.65134
6 1999 17.15 136.1644934 2335.22106 1.10406 1068.54759 1.39930 1066.69864
7 1999 16.80 136.1644934 2287.56349 1.15759 1045.58290 1.46675 1043.46254
8 1999 16.76 136.1644934 2282.11691 1.13271 1041.96070 1.43480 1039.54331
9 1999 16.42 136.1644934 2235.82098 1.12879 1019.69428 1.42941 1017.02531
10 1999 17.09 136.1644934 2327.05119 1.10467 1060.19712 1.39844 1057.12547
11 1999 17.39 136.1644934 2367.90054 1.14855 1077.65940 1.45358 1074.22880
12 1999 18.38 136.1644934 2502.70339 1.16746 1137.84230 1.47710 1133.90676
</TABLE>
SURRENDER CHARGE = 7.00%
FREE WITHDRAWAL AVAILABLE = 15.00% OF PRINCIPAL + 15.00% OF INTEREST
GROSS RETURN = 15.26%
WITHOUT WITH
SURRENDER SURRENDER
CHARGE CHARGE
WITHOUT DEATH BENEFIT CHARGE
ERV 1137.84 1070.14
TOTAL RETURN 13.78% 7.01%
WITH DEATH BENEFIT CHARGE
ERV 1133.91 1066.44
TOTAL RETURN 13.39% 6.64%
<TABLE>
<CAPTION>
Return for 3 Years
WITH DEATH BENEFIT CHARGE
FUND GROSS ADMIN/ ADMIN/
MONTH YEAR NAV SHARES VALUE MTHLY M&E ERV MTHLY M&E ERV
<S> <C> <C> <C> <C> <C> <C> <C> <C>
12 1996 13.10 112.7271991 1476.72631 1000.00000 1000.00000
1 1997 13.66 112.7271991 1539.85354 1.08333 1041.66476 1.37503 1041.37306
2 1997 13.77 112.8921255 1554.52457 1.12847 1050.46080 1.43192 1049.86287
3 1997 13.12 112.8921255 1481.14469 1.13800 999.73678 1.44360 998.86147
4 1997 13.67 112.8921255 1543.23536 1.08305 1040.56343 1.37347 1039.36101
5 1997 14.50 112.8921255 1636.93582 1.12728 1102.61593 1.42916 1101.03863
6 1997 14.93 112.8921255 1685.47943 1.19450 1134.11970 1.51396 1132.17616
7 1997 15.94 112.8921255 1799.50048 1.22863 1209.61317 1.55678 1207.20999
8 1997 15.44 112.8921255 1743.05442 1.31041 1170.36006 1.65995 1167.68273
9 1997 16.01 112.8921255 1807.40293 1.26789 1212.29846 1.60560 1209.18458
10 1997 15.63 112.8921255 1764.50392 1.31332 1182.21103 1.66267 1178.82172
11 1997 16.08 112.8921255 1815.30538 1.28073 1214.96709 1.62092 1211.14000
12 1997 16.36 112.8921255 1846.91517 1.31621 1234.80702 1.66536 1230.56415
1 1998 16.36 112.8921255 1846.91517 1.33771 1233.46931 1.69207 1228.87208
2 1998 15.37 127.5052578 1959.75581 1.33626 1307.49410 1.68974 1302.26251
3 1998 15.94 127.5052578 2032.43381 1.41645 1354.56637 1.79065 1348.76656
4 1998 15.89 127.5052578 2026.05855 1.46745 1348.84997 1.85460 1342.68120
5 1998 15.73 127.5052578 2005.65771 1.46125 1333.80684 1.84623 1327.31521
6 1998 16.10 127.5052578 2052.83465 1.44496 1363.73560 1.82510 1356.71113
7 1998 15.96 127.5052578 2034.98391 1.47738 1350.39965 1.86552 1343.04812
8 1998 13.95 127.5052578 1778.69835 1.46293 1178.86759 1.84674 1172.05810
9 1998 14.47 127.5052578 1845.00108 1.27711 1221.53393 1.61162 1214.13611
10 1998 15.39 127.5052578 1962.30592 1.32333 1297.87551 1.66948 1289.66118
11 1998 16.16 127.5052578 2060.48497 1.40603 1361.40542 1.77333 1352.41282
12 1998 17.03 127.5052578 2171.41454 1.47486 1433.22405 1.85961 1423.36256
1 1999 17.53 127.5052578 2235.16717 1.55266 1473.75078 1.95717 1463.19524
2 1999 15.99 136.1644934 2177.27025 1.59656 1433.98006 2.01194 1423.28256
3 1999 16.15 136.1644934 2199.05657 1.55348 1446.77535 1.95706 1435.56722
4 1999 16.63 136.1644934 2264.41553 1.56734 1488.20814 1.97395 1476.26028
5 1999 16.34 136.1644934 2224.92782 1.61223 1460.64400 2.02991 1448.48681
6 1999 17.15 136.1644934 2335.22106 1.58236 1531.46810 1.99172 1518.29891
7 1999 16.80 136.1644934 2287.56349 1.65909 1498.55456 2.08771 1485.22550
8 1999 16.76 136.1644934 2282.11691 1.62343 1493.36314 2.04223 1479.64702
9 1999 16.42 136.1644934 2235.82098 1.61781 1461.45037 2.03456 1447.59575
10 1999 17.09 136.1644934 2327.05119 1.58324 1519.50001 1.99049 1504.67281
11 1999 17.39 136.1644934 2367.90054 1.64612 1544.52738 2.06898 1529.01705
12 1999 18.38 136.1644934 2502.70339 1.67324 1630.78295 2.10245 1613.96042
</TABLE>
SURRENDER CHARGE = 5.00%
FREE WITHDRAWAL AVAILABLE = 15.00% OF PRINCIPAL + 15.00% OF INTEREST
GROSS RETURN = 69.48%
GROSS ANNUAL RETURN = 19.23%
WITHOUT WITH
SURRENDER SURRENDER
CHARGE CHARGE
WITHOUT DEATH BENEFIT CHARGE
ERV 1630.78 1561.47
TOTAL RETURN 63.08% 56.15%
AVERAGE ANNUAL RETURN 17.71% 16.01%
WITH DEATH BENEFIT CHARGE
ERV 1613.96 1545.37
TOTAL RETURN 61.40% 54.54%
AVERAGE ANNUAL RETURN 17.30% 15.61%
<TABLE>
<CAPTION>
Return for 5 Years
WITH DEATH BENEFIT CHARGE
FUND GROSS ADMIN/ ADMIN/
MONTH YEAR NAV SHARES VALUE MTHLY M&E ERV MTHLY M&E ERV
<S> <C> <C> <C> <C> <C> <C> <C> <C>
12 1994 10.00 100.0000000 1000.00000 1000.00000 1000.00000
1 1995 10.02 100.0000000 1002.00000 1.08333 1000.91667 1.37503 1000.62497
2 1995 10.17 100.0000000 1017.00000 1.08433 1014.81612 1.37589 1014.22849
3 1995 10.31 100.0000000 1031.00000 1.09938 1027.68668 1.39460 1026.79574
4 1995 10.58 100.0000000 1058.00000 1.11333 1053.48658 1.41188 1052.27376
5 1995 10.73 100.0000000 1073.00000 1.14128 1067.28131 1.44691 1065.74566
6 1995 11.16 100.0000000 1116.00000 1.15622 1108.89592 1.46544 1106.98951
7 1995 11.57 100.0000000 1157.00000 1.20130 1148.43362 1.52215 1146.13633
8 1995 12.09 100.0000000 1209.00000 1.24414 1198.80448 1.57598 1196.07210
9 1995 12.27 100.0000000 1227.00000 1.29870 1215.35398 1.64464 1212.23499
10 1995 11.80 100.0000000 1180.00000 1.31663 1167.48344 1.66686 1164.13370
11 1995 12.01 100.0000000 1201.00000 1.26477 1186.99592 1.60072 1183.25061
12 1995 11.78 104.5221843 1231.27133 1.28591 1215.62836 1.62701 1211.44756
1 1996 12.05 104.5221843 1259.49232 1.31693 1242.17388 1.66578 1237.54840
2 1996 11.67 108.3000946 1263.86210 1.34569 1245.13789 1.70167 1240.14038
3 1996 11.88 108.3000946 1286.60512 1.34890 1266.19507 1.70523 1260.75129
4 1996 12.16 108.3000946 1316.92915 1.37171 1294.66634 1.73358 1288.73240
5 1996 12.35 108.3000946 1337.50617 1.40256 1313.49295 1.77205 1307.09679
6 1996 12.40 108.3000946 1342.92117 1.42295 1317.38778 1.79730 1310.59138
7 1996 12.09 108.3000946 1309.34814 1.42717 1283.02592 1.80211 1276.02449
8 1996 12.18 108.3000946 1319.09515 1.38994 1291.18703 1.75458 1283.76885
9 1996 12.68 108.3000946 1373.24520 1.39879 1342.79264 1.76522 1334.70350
10 1996 13.05 108.3000946 1413.31623 1.45469 1380.52039 1.83526 1371.81463
11 1996 13.90 108.3000946 1505.37131 1.49556 1468.94377 1.88629 1459.28025
12 1996 13.10 112.7271991 1476.72631 1.59136 1439.40057 2.00656 1429.50573
1 1997 13.66 112.7271991 1539.85354 1.55935 1499.37285 1.96562 1488.64876
2 1997 13.77 112.8921255 1554.52457 1.62432 1512.03388 2.04694 1500.78499
3 1997 13.12 112.8921255 1481.14469 1.63804 1439.02169 2.06363 1427.87820
4 1997 13.67 112.8921255 1543.23536 1.55894 1497.78760 1.96338 1485.77252
5 1997 14.50 112.8921255 1636.93582 1.62260 1587.10601 2.04299 1573.94104
6 1997 14.93 112.8921255 1685.47943 1.71936 1632.45255 2.16422 1618.45231
7 1997 15.94 112.8921255 1799.50048 1.76849 1741.11789 2.22543 1725.71361
8 1997 15.44 112.8921255 1743.05442 1.88621 1684.61694 2.37291 1669.20915
9 1997 16.01 112.8921255 1807.40293 1.82500 1744.98310 2.29522 1728.53629
10 1997 15.63 112.8921255 1764.50392 1.89040 1701.67524 2.37679 1685.13240
11 1997 16.08 112.8921255 1815.30538 1.84348 1748.82433 2.31711 1731.33158
12 1997 16.36 112.8921255 1846.91517 1.89456 1777.38194 2.38064 1759.09850
1 1998 16.36 112.8921255 1846.91517 1.92550 1775.45644 2.41882 1756.67968
2 1998 15.37 127.5052578 1959.75581 1.92341 1882.00776 2.41549 1861.59173
3 1998 15.94 127.5052578 2032.43381 2.03884 1949.76362 2.55975 1928.06954
4 1998 15.89 127.5052578 2026.05855 2.11224 1941.53543 2.65116 1919.37048
5 1998 15.73 127.5052578 2005.65771 2.10333 1919.88234 2.63920 1897.40471
6 1998 16.10 127.5052578 2052.83465 2.07987 1962.96181 2.60899 1939.42634
7 1998 15.96 127.5052578 2034.98391 2.12654 1943.76603 2.66678 1919.89498
8 1998 13.95 127.5052578 1778.69835 2.10575 1696.86268 2.63992 1675.46378
9 1998 14.47 127.5052578 1845.00108 1.83827 1758.27665 2.30382 1735.61452
10 1998 15.39 127.5052578 1962.30592 1.90480 1868.16276 2.38653 1843.57806
11 1998 16.16 127.5052578 2060.48497 2.02384 1959.60775 2.53498 1933.28187
12 1998 17.03 127.5052578 2171.41454 2.12291 2062.98352 2.65833 2034.70493
1 1999 17.53 127.5052578 2235.16717 2.23490 2121.31772 2.79779 2091.64599
2 1999 15.99 136.1644934 2177.27025 2.29809 2064.07172 2.87608 2034.59057
3 1999 16.15 136.1644934 2199.05657 2.23608 2082.48927 2.79763 2052.15157
4 1999 16.63 136.1644934 2264.41553 2.25603 2142.12766 2.82178 2110.32254
5 1999 16.34 136.1644934 2224.92782 2.32064 2102.45182 2.90176 2070.62020
6 1999 17.15 136.1644934 2335.22106 2.27766 2204.39607 2.84717 2170.41699
7 1999 16.80 136.1644934 2287.56349 2.38810 2157.02030 2.98440 2123.13837
8 1999 16.76 136.1644934 2282.11691 2.33677 2149.54776 2.91939 2115.16390
9 1999 16.42 136.1644934 2235.82098 2.32868 2103.61251 2.90842 2069.34642
10 1999 17.09 136.1644934 2327.05119 2.27891 2187.16918 2.84542 2150.93840
11 1999 17.39 136.1644934 2367.90054 2.36943 2223.19359 2.95761 2185.73863
12 1999 18.38 136.1644934 2502.70339 2.40846 2347.34992 3.00546 2307.16567
</TABLE>
SURRENDER CHARGE = 3.00%
FREE WITHDRAWAL AVAILABLE = 15.00% OF PRINCIPAL + 15.00% OF INTEREST
GROSS RETURN = 150.27%
GROSS ANNUAL RETURN = 20.14%
WITHOUT WITH
SURRENDER SURRENDER
CHARGE CHARGE
WITHOUT DEATH BENEFIT CHARGE
ERV 2347.35 2287.49
TOTAL RETURN 134.73% 128.75%
AVERAGE ANNUAL RETURN 18.61% 18.00%
WITH DEATH BENEFIT CHARGE
ERV 2307.17 2248.33
TOTAL RETURN 130.72% 124.83%
AVERAGE ANNUAL RETURN 18.20% 17.59%
<TABLE>
<CAPTION>
Return for Inception
WITH DEATH BENEFIT CHARGE
FUND GROSS ADMIN/ ADMIN/
MONTH YEAR NAV SHARES VALUE MTHLY M&E ERV MTHLY M&E ERV
<S> <C> <C> <C> <C> <C> <C> <C> <C>
12 1994 10.00 100.0000000 1000.00000 1000.00000 1000.00000
1 1995 10.02 100.0000000 1002.00000 1.08333 1000.91667 1.37503 1000.62497
2 1995 10.17 100.0000000 1017.00000 1.08433 1014.81612 1.37589 1014.22849
3 1995 10.31 100.0000000 1031.00000 1.09938 1027.68668 1.39460 1026.79574
4 1995 10.58 100.0000000 1058.00000 1.11333 1053.48658 1.41188 1052.27376
5 1995 10.73 100.0000000 1073.00000 1.14128 1067.28131 1.44691 1065.74566
6 1995 11.16 100.0000000 1116.00000 1.15622 1108.89592 1.46544 1106.98951
7 1995 11.57 100.0000000 1157.00000 1.20130 1148.43362 1.52215 1146.13633
8 1995 12.09 100.0000000 1209.00000 1.24414 1198.80448 1.57598 1196.07210
9 1995 12.27 100.0000000 1227.00000 1.29870 1215.35398 1.64464 1212.23499
10 1995 11.80 100.0000000 1180.00000 1.31663 1167.48344 1.66686 1164.13370
11 1995 12.01 100.0000000 1201.00000 1.26477 1186.99592 1.60072 1183.25061
12 1995 11.78 104.5221843 1231.27133 1.28591 1215.62836 1.62701 1211.44756
1 1996 12.05 104.5221843 1259.49232 1.31693 1242.17388 1.66578 1237.54840
2 1996 11.67 108.3000946 1263.86210 1.34569 1245.13789 1.70167 1240.14038
3 1996 11.88 108.3000946 1286.60512 1.34890 1266.19507 1.70523 1260.75129
4 1996 12.16 108.3000946 1316.92915 1.37171 1294.66634 1.73358 1288.73240
5 1996 12.35 108.3000946 1337.50617 1.40256 1313.49295 1.77205 1307.09679
6 1996 12.40 108.3000946 1342.92117 1.42295 1317.38778 1.79730 1310.59138
7 1996 12.09 108.3000946 1309.34814 1.42717 1283.02592 1.80211 1276.02449
8 1996 12.18 108.3000946 1319.09515 1.38994 1291.18703 1.75458 1283.76885
9 1996 12.68 108.3000946 1373.24520 1.39879 1342.79264 1.76522 1334.70350
10 1996 13.05 108.3000946 1413.31623 1.45469 1380.52039 1.83526 1371.81463
11 1996 13.90 108.3000946 1505.37131 1.49556 1468.94377 1.88629 1459.28025
12 1996 13.10 112.7271991 1476.72631 1.59136 1439.40057 2.00656 1429.50573
1 1997 13.66 112.7271991 1539.85354 1.55935 1499.37285 1.96562 1488.64876
2 1997 13.77 112.8921255 1554.52457 1.62432 1512.03388 2.04694 1500.78499
3 1997 13.12 112.8921255 1481.14469 1.63804 1439.02169 2.06363 1427.87820
4 1997 13.67 112.8921255 1543.23536 1.55894 1497.78760 1.96338 1485.77252
5 1997 14.50 112.8921255 1636.93582 1.62260 1587.10601 2.04299 1573.94104
6 1997 14.93 112.8921255 1685.47943 1.71936 1632.45255 2.16422 1618.45231
7 1997 15.94 112.8921255 1799.50048 1.76849 1741.11789 2.22543 1725.71361
8 1997 15.44 112.8921255 1743.05442 1.88621 1684.61694 2.37291 1669.20915
9 1997 16.01 112.8921255 1807.40293 1.82500 1744.98310 2.29522 1728.53629
10 1997 15.63 112.8921255 1764.50392 1.89040 1701.67524 2.37679 1685.13240
11 1997 16.08 112.8921255 1815.30538 1.84348 1748.82433 2.31711 1731.33158
12 1997 16.36 112.8921255 1846.91517 1.89456 1777.38194 2.38064 1759.09850
1 1998 16.36 112.8921255 1846.91517 1.92550 1775.45644 2.41882 1756.67968
2 1998 15.37 127.5052578 1959.75581 1.92341 1882.00776 2.41549 1861.59173
3 1998 15.94 127.5052578 2032.43381 2.03884 1949.76362 2.55975 1928.06954
4 1998 15.89 127.5052578 2026.05855 2.11224 1941.53543 2.65116 1919.37048
5 1998 15.73 127.5052578 2005.65771 2.10333 1919.88234 2.63920 1897.40471
6 1998 16.10 127.5052578 2052.83465 2.07987 1962.96181 2.60899 1939.42634
7 1998 15.96 127.5052578 2034.98391 2.12654 1943.76603 2.66678 1919.89498
8 1998 13.95 127.5052578 1778.69835 2.10575 1696.86268 2.63992 1675.46378
9 1998 14.47 127.5052578 1845.00108 1.83827 1758.27665 2.30382 1735.61452
10 1998 15.39 127.5052578 1962.30592 1.90480 1868.16276 2.38653 1843.57806
11 1998 16.16 127.5052578 2060.48497 2.02384 1959.60775 2.53498 1933.28187
12 1998 17.03 127.5052578 2171.41454 2.12291 2062.98352 2.65833 2034.70493
1 1999 17.53 127.5052578 2235.16717 2.23490 2121.31772 2.79779 2091.64599
2 1999 15.99 136.1644934 2177.27025 2.29809 2064.07172 2.87608 2034.59057
3 1999 16.15 136.1644934 2199.05657 2.23608 2082.48927 2.79763 2052.15157
4 1999 16.63 136.1644934 2264.41553 2.25603 2142.12766 2.82178 2110.32254
5 1999 16.34 136.1644934 2224.92782 2.32064 2102.45182 2.90176 2070.62020
6 1999 17.15 136.1644934 2335.22106 2.27766 2204.39607 2.84717 2170.41699
7 1999 16.80 136.1644934 2287.56349 2.38810 2157.02030 2.98440 2123.13837
8 1999 16.76 136.1644934 2282.11691 2.33677 2149.54776 2.91939 2115.16390
9 1999 16.42 136.1644934 2235.82098 2.32868 2103.61251 2.90842 2069.34642
10 1999 17.09 136.1644934 2327.05119 2.27891 2187.16918 2.84542 2150.93840
11 1999 17.39 136.1644934 2367.90054 2.36943 2223.19359 2.95761 2185.73863
12 1999 18.38 136.1644934 2502.70339 2.40846 2347.34992 3.00546 2307.16567
</TABLE>
SURRENDER CHARGE = 3.00%
FREE WITHDRAWAL AVAILABLE = 15.00% OF PRINCIPAL + 15.00% OF INTEREST
GROSS RETURN = 150.27%
GROSS ANNUAL RETURN = 20.17%
WITHOUT WITH
SURRENDER SURRENDER
CHARGE CHARGE
WITHOUT DEATH BENEFIT CHARGE
ERV 2347.35 2287.49
TOTAL RETURN 134.73% 128.75%
AVERAGE ANNUAL RETURN 18.64% 18.03%
WITH DEATH BENEFIT CHARGE
ERV 2307.17 2248.33
TOTAL RETURN 130.72% 124.83%
AVERAGE ANNUAL RETURN 18.23% 17.62%
<TABLE>
<CAPTION>
Return for Product Inception
WITH DEATH BENEFIT CHARGE
FUND GROSS ADMIN/ ADMIN/
MONTH YEAR NAV SHARES VALUE MTHLY M&E ERV MTHLY M&E ERV
<S> <C> <C> <C> <C> <C> <C> <C> <C>
6 1995 11.16 100.0000000 1116.00000 1000.00000 1000.00000
7 1995 11.57 100.0000000 1157.00000 1.08333 1035.65502 1.37503 1035.36332
8 1995 12.09 100.0000000 1209.00000 1.12196 1081.07935 1.42366 1080.47284
9 1995 12.27 100.0000000 1227.00000 1.17117 1096.00366 1.48569 1095.07360
10 1995 11.80 100.0000000 1180.00000 1.18734 1052.83411 1.50576 1051.62125
11 1995 12.01 100.0000000 1201.00000 1.14057 1070.43042 1.44601 1068.89053
12 1995 11.78 104.5221843 1231.27133 1.15963 1096.25109 1.46976 1094.36227
1 1996 12.05 104.5221843 1259.49232 1.18761 1120.18979 1.50478 1117.94049
2 1996 11.67 108.3000946 1263.86210 1.21354 1122.86272 1.53721 1120.28196
3 1996 11.88 108.3000946 1286.60512 1.21643 1141.85205 1.54042 1138.90085
4 1996 12.16 108.3000946 1316.92915 1.23701 1167.52738 1.56603 1164.17760
5 1996 12.35 108.3000946 1337.50617 1.26482 1184.50517 1.60078 1180.76709
6 1996 12.40 108.3000946 1342.92117 1.28321 1188.01753 1.62359 1183.92393
7 1996 12.09 108.3000946 1309.34814 1.28702 1157.03007 1.62793 1152.69790
8 1996 12.18 108.3000946 1319.09515 1.25345 1164.38975 1.58500 1159.69378
9 1996 12.68 108.3000946 1373.24520 1.26142 1210.92757 1.59462 1205.70564
10 1996 13.05 108.3000946 1413.31623 1.31184 1244.95037 1.65789 1239.23002
11 1996 13.90 108.3000946 1505.37131 1.34870 1324.69040 1.70398 1318.24217
12 1996 13.10 112.7271991 1476.72631 1.43508 1298.04840 1.81263 1291.34533
1 1997 13.66 112.7271991 1539.85354 1.40622 1352.13128 1.77564 1344.77223
2 1997 13.77 112.8921255 1554.52457 1.46481 1363.54896 1.84911 1355.73551
3 1997 13.12 112.8921255 1481.14469 1.47718 1297.70673 1.86418 1289.87510
4 1997 13.67 112.8921255 1543.23536 1.40585 1350.70170 1.77362 1342.17398
5 1997 14.50 112.8921255 1636.93582 1.46326 1431.24885 1.84553 1421.82109
6 1997 14.93 112.8921255 1685.47943 1.55052 1472.14227 1.95505 1462.03039
7 1997 15.94 112.8921255 1799.50048 1.59482 1570.13644 2.01034 1558.92498
8 1997 15.44 112.8921255 1743.05442 1.70098 1519.18400 2.14357 1507.88163
9 1997 16.01 112.8921255 1807.40293 1.64578 1573.62208 2.07339 1561.47486
10 1997 15.63 112.8921255 1764.50392 1.70476 1534.56715 2.14708 1522.26591
11 1997 16.08 112.8921255 1815.30538 1.66245 1577.08610 2.09317 1563.99998
12 1997 16.36 112.8921255 1846.91517 1.70851 1602.83928 2.15055 1589.08326
1 1998 16.36 112.8921255 1846.91517 1.73641 1601.10287 2.18504 1586.89822
2 1998 15.37 127.5052578 1959.75581 1.73453 1697.19064 2.18204 1681.67061
3 1998 15.94 127.5052578 2032.43381 1.83862 1758.29272 2.31235 1741.72340
4 1998 15.89 127.5052578 2026.05855 1.90482 1750.87256 2.39493 1733.86510
5 1998 15.73 127.5052578 2005.65771 1.89678 1731.34585 2.38412 1714.02230
6 1998 16.10 127.5052578 2052.83465 1.87562 1770.19482 2.35684 1751.98257
7 1998 15.96 127.5052578 2034.98391 1.91771 1752.88411 2.40903 1734.33891
8 1998 13.95 127.5052578 1778.69835 1.89896 1530.22719 2.38477 1513.53175
9 1998 14.47 127.5052578 1845.00108 1.65775 1585.61017 2.08116 1567.86899
10 1998 15.39 127.5052578 1962.30592 1.71774 1684.70524 2.15587 1665.39794
11 1998 16.16 127.5052578 2060.48497 1.82510 1767.17014 2.28998 1746.43197
12 1998 17.03 127.5052578 2171.41454 1.91443 1860.39419 2.40140 1838.05258
1 1999 17.53 127.5052578 2235.16717 2.01543 1912.99985 2.52738 1889.49034
2 1999 15.99 136.1644934 2177.27025 2.07242 1861.37553 2.59811 1837.94928
3 1999 16.15 136.1644934 2199.05657 2.01649 1877.98443 2.52724 1853.81302
4 1999 16.63 136.1644934 2264.41553 2.03448 1931.76621 2.54905 1906.36182
5 1999 16.34 136.1644934 2224.92782 2.09275 1895.98662 2.62131 1870.49667
6 1999 17.15 136.1644934 2335.22106 2.05399 1987.91973 2.57200 1960.64820
7 1999 16.80 136.1644934 2287.56349 2.15358 1945.19636 2.69596 1917.93901
8 1999 16.76 136.1644934 2282.11691 2.10730 1938.45764 2.63723 1910.73526
9 1999 16.42 136.1644934 2235.82098 2.10000 1897.03333 2.62732 1869.34600
10 1999 17.09 136.1644934 2327.05119 2.05512 1972.38456 2.57041 1943.05219
11 1999 17.39 136.1644934 2367.90054 2.13675 2004.87130 2.67176 1974.48901
12 1999 18.38 136.1644934 2502.70339 2.17194 2116.83521 2.71499 2084.18024
</TABLE>
SURRENDER CHARGE = 3.00%
FREE WITHDRAWAL AVAILABLE = 15.00% OF PRINCIPAL + 15.00% OF INTEREST
GROSS RETURN = 124.26%
GROSS ANNUAL RETURN = 19.27%
WITHOUT WITH
SURRENDER SURRENDER
CHARGE CHARGE
WITHOUT DEATH BENEFIT CHARGE
ERV 2116.84 2062.86
TOTAL RETURN 111.68% 106.29%
AVERAGE ANNUAL RETURN 17.78% 17.11%
WITH DEATH BENEFIT CHARGE
ERV 2084.18 2031.03
TOTAL RETURN 108.42% 103.10%
AVERAGE ANNUAL RETURN 17.38% 16.72%
<PAGE>
Fidelity Contrafund12/1999Assume ($10000 @ $10.00 on 1/ 3/1995)
DATE DIV PR/SH REINVEST NAV REINVEST SHARES SHARE BASIS
(incl cap gain)
100.000000
12/95 0.1800000000 13.64 1.320 101.319648
2/96 0.1300000000 13.78 0.956 102.275494
2/97 0.5100000000 16.46 3.169 105.444419
2/98 1.1700000000 19.35 6.376 111.820128
2/99 1.0000000000 23.94 4.671 116.490977
M and E Charge = 0.0010833
Death Benefit Charge = 0.0002917
<TABLE>
<CAPTION>
Return for YTD
WITH DEATH BENEFIT CHARGE
FUND GROSS ADMIN/ ADMIN/
MONTH YEAR NAV SHARES VALUE MTHLY M&E ERV MTHLY M&E ERV
<S> <C> <C> <C> <C> <C> <C> <C> <C>
12 1998 24.44 111.8201276 2732.88392 1000.00000 1000.00000
1 1999 25.84 111.8201276 2889.43210 1.08333 1056.19981 1.37503 1055.90811
2 1999 23.89 116.4909767 2782.96943 1.14422 1016.13935 1.45191 1015.55070
3 1999 24.74 116.4909767 2881.98676 1.10082 1051.19251 1.39642 1050.28732
4 1999 25.27 116.4909767 2943.72698 1.13879 1072.57320 1.44418 1071.34323
5 1999 24.76 116.4909767 2884.31658 1.16195 1049.76453 1.47313 1048.24821
6 1999 26.10 116.4909767 3040.41449 1.13724 1105.44007 1.44138 1103.53756
7 1999 25.67 116.4909767 2990.32337 1.19756 1086.03028 1.51740 1083.83927
8 1999 24.92 116.4909767 2902.95514 1.17653 1053.12322 1.49032 1050.68244
9 1999 24.84 116.4909767 2893.63586 1.14088 1048.60152 1.44472 1045.86474
10 1999 25.75 116.4909767 2999.64265 1.13598 1085.88049 1.43810 1082.74133
11 1999 26.77 116.4909767 3118.46345 1.17637 1127.71763 1.48881 1124.14169
12 1999 29.15 116.4909767 3395.71197 1.22169 1226.75623 1.54573 1222.53833
</TABLE>
SURRENDER CHARGE = 7.00%
FREE WITHDRAWAL AVAILABLE = 15.00% OF PRINCIPAL + 15.00% OF INTEREST
GROSS RETURN = 24.25%
WITHOUT WITH
SURRENDER SURRENDER
CHARGE CHARGE
WITHOUT DEATH BENEFIT CHARGE
ERV 1226.76 1153.76
TOTAL RETURN 22.68% 15.38%
WITH DEATH BENEFIT CHARGE
ERV 1222.54 1149.80
TOTAL RETURN 22.25% 14.98%
<TABLE>
<CAPTION>
Return for 1 Year
WITH DEATH BENEFIT CHARGE
FUND GROSS ADMIN/ ADMIN/
MONTH YEAR NAV SHARES VALUE MTHLY M&E ERV MTHLY M&E ERV
<S> <C> <C> <C> <C> <C> <C> <C> <C>
12 1998 24.44 111.8201276 2732.88392 1000.00000 1000.00000
1 1999 25.84 111.8201276 2889.43210 1.08333 1056.19981 1.37503 1055.90811
2 1999 23.89 116.4909767 2782.96943 1.14422 1016.13935 1.45191 1015.55070
3 1999 24.74 116.4909767 2881.98676 1.10082 1051.19251 1.39642 1050.28732
4 1999 25.27 116.4909767 2943.72698 1.13879 1072.57320 1.44418 1071.34323
5 1999 24.76 116.4909767 2884.31658 1.16195 1049.76453 1.47313 1048.24821
6 1999 26.10 116.4909767 3040.41449 1.13724 1105.44007 1.44138 1103.53756
7 1999 25.67 116.4909767 2990.32337 1.19756 1086.03028 1.51740 1083.83927
8 1999 24.92 116.4909767 2902.95514 1.17653 1053.12322 1.49032 1050.68244
9 1999 24.84 116.4909767 2893.63586 1.14088 1048.60152 1.44472 1045.86474
10 1999 25.75 116.4909767 2999.64265 1.13598 1085.88049 1.43810 1082.74133
11 1999 26.77 116.4909767 3118.46345 1.17637 1127.71763 1.48881 1124.14169
12 1999 29.15 116.4909767 3395.71197 1.22169 1226.75623 1.54573 1222.53833
</TABLE>
SURRENDER CHARGE = 7.00%
FREE WITHDRAWAL AVAILABLE = 15.00% OF PRINCIPAL + 15.00% OF INTEREST
GROSS RETURN = 24.25%
WITHOUT WITH
SURRENDER SURRENDER
CHARGE CHARGE
WITHOUT DEATH BENEFIT CHARGE
ERV 1226.76 1153.76
TOTAL RETURN 22.68% 15.38%
WITH DEATH BENEFIT CHARGE
ERV 1222.54 1149.80
TOTAL RETURN 22.25% 14.98%
<TABLE>
<CAPTION>
Return for 3 Years
WITH DEATH BENEFIT CHARGE
FUND GROSS ADMIN/ ADMIN/
MONTH YEAR NAV SHARES VALUE MTHLY M&E ERV MTHLY M&E ERV
<S> <C> <C> <C> <C> <C> <C> <C> <C>
12 1996 16.56 102.2754938 1693.68218 1000.00000 1000.00000
1 1997 17.20 102.2754938 1759.13849 1.08333 1037.56401 1.37503 1037.27231
2 1997 16.22 105.4444186 1710.30847 1.12403 1007.63936 1.42628 1007.05350
3 1997 15.80 105.4444186 1666.02181 1.09161 980.45598 1.38473 979.59217
4 1997 16.18 105.4444186 1706.09069 1.06216 1002.97441 1.34697 1001.80501
5 1997 17.18 105.4444186 1811.53511 1.08656 1063.87638 1.37752 1062.34375
6 1997 17.93 105.4444186 1890.61843 1.15253 1109.16781 1.46076 1107.26005
7 1997 19.47 105.4444186 2053.00283 1.20160 1203.23216 1.52252 1200.83962
8 1997 18.92 105.4444186 1995.00840 1.30350 1167.93905 1.65119 1165.26640
9 1997 20.20 105.4444186 2129.97726 1.26527 1245.68869 1.60228 1242.49821
10 1997 19.59 105.4444186 2065.65616 1.34950 1206.72186 1.70848 1203.26875
11 1997 19.58 105.4444186 2064.60172 1.30728 1204.79859 1.65453 1200.99999
12 1997 19.94 105.4444186 2102.56171 1.30520 1225.64495 1.65141 1221.43029
1 1998 19.92 105.4444186 2100.45282 1.32778 1223.08784 1.67951 1218.52568
2 1998 20.15 111.8201276 2253.17557 1.32501 1310.69286 1.67551 1305.44849
3 1998 21.13 111.8201276 2362.75930 1.41992 1373.01880 1.79504 1367.14425
4 1998 21.33 111.8201276 2385.12332 1.48744 1384.52728 1.87987 1378.20469
5 1998 20.83 111.8201276 2329.21326 1.49990 1350.57244 1.89508 1344.00289
6 1998 21.95 111.8201276 2454.45180 1.46312 1421.72772 1.84805 1414.42000
7 1998 21.98 111.8201276 2457.80641 1.54020 1422.13065 1.94487 1414.40828
8 1998 18.69 111.8201276 2089.91819 1.54064 1207.72332 1.94486 1200.75263
9 1998 19.78 111.8201276 2211.80212 1.30837 1276.84932 1.65107 1269.12939
10 1998 20.43 111.8201276 2284.48521 1.38325 1317.42522 1.74510 1309.08976
11 1998 21.79 111.8201276 2436.56058 1.42721 1403.69739 1.80004 1394.43422
12 1998 24.44 111.8201276 2732.88392 1.52067 1572.88797 1.91739 1562.10153
1 1999 25.84 111.8201276 2889.43210 1.70396 1661.28397 2.14794 1649.43567
2 1999 23.89 116.4909767 2782.96943 1.79972 1598.27335 2.26803 1586.39331
3 1999 24.74 116.4909767 2881.98676 1.73146 1653.40804 2.18134 1640.65542
4 1999 25.27 116.4909767 2943.72698 1.79119 1687.03748 2.25596 1673.54690
5 1999 24.76 116.4909767 2884.31658 1.82762 1651.16200 2.30118 1637.47013
6 1999 26.10 116.4909767 3040.41449 1.78876 1738.73339 2.25158 1723.83770
7 1999 25.67 116.4909767 2990.32337 1.88363 1708.20396 2.37033 1693.06698
8 1999 24.92 116.4909767 2902.95514 1.85055 1656.44484 2.32802 1641.27264
9 1999 24.84 116.4909767 2893.63586 1.79448 1649.33271 2.25680 1633.74690
10 1999 25.75 116.4909767 2999.64265 1.78678 1707.96835 2.24646 1691.35188
11 1999 26.77 116.4909767 3118.46345 1.85030 1773.77350 2.32567 1756.02346
12 1999 29.15 116.4909767 3395.71197 1.92159 1929.55011 2.41459 1909.72899
</TABLE>
SURRENDER CHARGE = 5.00%
FREE WITHDRAWAL AVAILABLE = 15.00% OF PRINCIPAL + 15.00% OF INTEREST
GROSS RETURN = 100.49%
GROSS ANNUAL RETURN = 26.10%
WITHOUT WITH
SURRENDER SURRENDER
CHARGE CHARGE
WITHOUT DEATH BENEFIT CHARGE
ERV 1929.55 1847.54
TOTAL RETURN 92.96% 84.75%
AVERAGE ANNUAL RETURN 24.50% 22.71%
WITH DEATH BENEFIT CHARGE
ERV 1909.73 1828.57
TOTAL RETURN 90.97% 82.86%
AVERAGE ANNUAL RETURN 24.07% 22.28%
<TABLE>
<CAPTION>
Return for 5 Years
WITH DEATH BENEFIT CHARGE
FUND GROSS ADMIN/ ADMIN/
MONTH YEAR NAV SHARES VALUE MTHLY M&E ERV MTHLY M&E ERV
<S> <C> <C> <C> <C> <C> <C> <C> <C>
12 1994 10.00 100.0000000 1000.00000 1000.00000 1000.00000
1 1995 9.87 100.0000000 987.00000 1.08333 985.91667 1.37503 985.62497
2 1995 10.37 100.0000000 1037.00000 1.06808 1034.79371 1.35527 1034.20004
3 1995 10.89 100.0000000 1089.00000 1.12103 1085.56205 1.42206 1084.63758
4 1995 11.48 100.0000000 1148.00000 1.17603 1143.19976 1.49141 1141.90982
5 1995 11.73 100.0000000 1173.00000 1.23847 1166.85676 1.57016 1165.20703
6 1995 12.50 100.0000000 1250.00000 1.26409 1242.18940 1.60220 1240.09327
7 1995 13.47 100.0000000 1347.00000 1.34571 1337.23759 1.70517 1334.61934
8 1995 13.64 100.0000000 1364.00000 1.44867 1352.66571 1.83515 1349.62794
9 1995 13.94 100.0000000 1394.00000 1.46539 1380.95104 1.85578 1377.45606
10 1995 13.65 100.0000000 1365.00000 1.49603 1350.72647 1.89405 1346.90618
11 1995 13.90 100.0000000 1390.00000 1.46329 1374.00176 1.85204 1369.72275
12 1995 13.78 101.3196481 1396.18475 1.48850 1378.62683 1.88341 1373.93387
1 1996 13.89 101.3196481 1407.32991 1.49351 1388.13832 1.88920 1383.01220
2 1996 13.81 102.2754938 1412.42457 1.50382 1391.65969 1.90169 1386.11714
3 1996 14.26 102.2754938 1458.44854 1.50763 1435.49940 1.90596 1429.37792
4 1996 14.73 102.2754938 1506.51802 1.55512 1481.25737 1.96544 1474.52382
5 1996 14.90 102.2754938 1523.90486 1.60470 1496.74797 2.02752 1489.51388
6 1996 14.78 102.2754938 1511.63180 1.62148 1483.07215 2.04813 1475.46967
7 1996 14.09 102.2754938 1441.06171 1.60666 1412.22870 2.02882 1404.55898
8 1996 14.63 102.2754938 1496.29047 1.52991 1464.82252 1.93132 1456.45746
9 1996 15.25 102.2754938 1559.70128 1.58689 1525.31287 2.00268 1516.17752
10 1996 15.72 102.2754938 1607.77076 1.65242 1570.67009 2.08479 1560.82082
11 1996 16.66 102.2754938 1703.90973 1.70156 1662.88901 2.14618 1652.00616
12 1996 16.56 102.2754938 1693.68218 1.80146 1651.10622 2.27156 1639.81859
1 1997 17.20 102.2754938 1759.13849 1.78870 1713.12839 2.25481 1700.93842
2 1997 16.22 105.4444186 1710.30847 1.85589 1663.71962 2.33885 1651.38506
3 1997 15.80 105.4444186 1666.02181 1.80236 1618.83697 2.27071 1606.35346
4 1997 16.18 105.4444186 1706.09069 1.75374 1656.01728 2.20879 1642.77848
5 1997 17.18 105.4444186 1811.53511 1.79402 1756.57291 2.25888 1742.05104
6 1997 17.93 105.4444186 1890.61843 1.90295 1831.35387 2.39538 1815.70562
7 1997 19.47 105.4444186 2053.00283 1.98397 1986.66410 2.49666 1969.15913
8 1997 18.92 105.4444186 1995.00840 2.15222 1928.39143 2.70766 1910.82551
9 1997 20.20 105.4444186 2129.97726 2.08909 2056.76434 2.62745 2037.47167
10 1997 19.59 105.4444186 2065.65616 2.22816 1992.42597 2.80159 1973.14247
11 1997 19.58 105.4444186 2064.60172 2.15846 1989.25044 2.71314 1969.42211
12 1997 19.94 105.4444186 2102.56171 2.15502 2023.67000 2.70802 2002.92410
1 1998 19.92 105.4444186 2100.45282 2.19231 2019.44793 2.75409 1998.16106
2 1998 20.15 111.8201276 2253.17557 2.18774 2164.09313 2.74754 2140.69870
3 1998 21.13 111.8201276 2362.75930 2.34443 2266.99987 2.94353 2241.86855
4 1998 21.33 111.8201276 2385.12332 2.45592 2286.00160 3.08264 2260.00568
5 1998 20.83 111.8201276 2329.21326 2.47650 2229.93856 3.10758 2203.92094
6 1998 21.95 111.8201276 2454.45180 2.41577 2347.42347 3.03046 2319.39222
7 1998 21.98 111.8201276 2457.80641 2.54304 2348.08876 3.18924 2319.37299
8 1998 18.69 111.8201276 2089.91819 2.54376 1994.07948 3.18922 1969.01648
9 1998 19.78 111.8201276 2211.80212 2.16025 2108.21386 2.70746 2081.14197
10 1998 20.43 111.8201276 2284.48521 2.28390 2175.20898 2.86164 2146.66973
11 1998 21.79 111.8201276 2436.56058 2.35648 2317.65349 2.95174 2286.61916
12 1998 24.44 111.8201276 2732.88392 2.51079 2597.00510 3.14418 2561.56313
1 1999 25.84 111.8201276 2889.43210 2.81342 2742.95629 3.52223 2704.77528
2 1999 23.89 116.4909767 2782.96943 2.97154 2638.91907 3.71916 2601.39724
3 1999 24.74 116.4909767 2881.98676 2.85883 2729.95230 3.57701 2690.37727
4 1999 25.27 116.4909767 2943.72698 2.95745 2785.47806 3.69936 2744.31332
5 1999 24.76 116.4909767 2884.31658 3.01760 2726.24385 3.77352 2685.15397
6 1999 26.10 116.4909767 3040.41449 2.95343 2870.83350 3.69218 2826.78111
7 1999 25.67 116.4909767 2990.32337 3.11007 2820.42618 3.88692 2776.32270
8 1999 24.92 116.4909767 2902.95514 3.05546 2734.96637 3.81754 2691.38939
9 1999 24.84 116.4909767 2893.63586 2.96288 2723.22350 3.70075 2679.04855
10 1999 25.75 116.4909767 2999.64265 2.95016 2820.03716 3.68378 2773.51026
11 1999 26.77 116.4909767 3118.46345 3.05504 2928.68845 3.81367 2879.55991
12 1999 29.15 116.4909767 3395.71197 3.17275 3185.89219 3.95949 3131.60911
</TABLE>
SURRENDER CHARGE = 3.00%
FREE WITHDRAWAL AVAILABLE = 15.00% OF PRINCIPAL + 15.00% OF INTEREST
GROSS RETURN = 239.57%
GROSS ANNUAL RETURN = 27.70%
WITHOUT WITH
SURRENDER SURRENDER
CHARGE CHARGE
WITHOUT DEATH BENEFIT CHARGE
ERV 3185.89 3104.65
TOTAL RETURN 218.59% 210.47%
AVERAGE ANNUAL RETURN 26.08% 25.43%
WITH DEATH BENEFIT CHARGE
ERV 3131.61 3051.75
TOTAL RETURN 213.16% 205.18%
AVERAGE ANNUAL RETURN 25.65% 25.00%
<TABLE>
<CAPTION>
Return for Inception
WITH DEATH BENEFIT CHARGE
FUND GROSS ADMIN/ ADMIN/
MONTH YEAR NAV SHARES VALUE MTHLY M&E ERV MTHLY M&E ERV
<S> <C> <C> <C> <C> <C> <C> <C> <C>
12 1994 10.00 100.0000000 1000.00000 1000.00000 1000.00000
1 1995 9.87 100.0000000 987.00000 1.08333 985.91667 1.37503 985.62497
2 1995 10.37 100.0000000 1037.00000 1.06808 1034.79371 1.35527 1034.20004
3 1995 10.89 100.0000000 1089.00000 1.12103 1085.56205 1.42206 1084.63758
4 1995 11.48 100.0000000 1148.00000 1.17603 1143.19976 1.49141 1141.90982
5 1995 11.73 100.0000000 1173.00000 1.23847 1166.85676 1.57016 1165.20703
6 1995 12.50 100.0000000 1250.00000 1.26409 1242.18940 1.60220 1240.09327
7 1995 13.47 100.0000000 1347.00000 1.34571 1337.23759 1.70517 1334.61934
8 1995 13.64 100.0000000 1364.00000 1.44867 1352.66571 1.83515 1349.62794
9 1995 13.94 100.0000000 1394.00000 1.46539 1380.95104 1.85578 1377.45606
10 1995 13.65 100.0000000 1365.00000 1.49603 1350.72647 1.89405 1346.90618
11 1995 13.90 100.0000000 1390.00000 1.46329 1374.00176 1.85204 1369.72275
12 1995 13.78 101.3196481 1396.18475 1.48850 1378.62683 1.88341 1373.93387
1 1996 13.89 101.3196481 1407.32991 1.49351 1388.13832 1.88920 1383.01220
2 1996 13.81 102.2754938 1412.42457 1.50382 1391.65969 1.90169 1386.11714
3 1996 14.26 102.2754938 1458.44854 1.50763 1435.49940 1.90596 1429.37792
4 1996 14.73 102.2754938 1506.51802 1.55512 1481.25737 1.96544 1474.52382
5 1996 14.90 102.2754938 1523.90486 1.60470 1496.74797 2.02752 1489.51388
6 1996 14.78 102.2754938 1511.63180 1.62148 1483.07215 2.04813 1475.46967
7 1996 14.09 102.2754938 1441.06171 1.60666 1412.22870 2.02882 1404.55898
8 1996 14.63 102.2754938 1496.29047 1.52991 1464.82252 1.93132 1456.45746
9 1996 15.25 102.2754938 1559.70128 1.58689 1525.31287 2.00268 1516.17752
10 1996 15.72 102.2754938 1607.77076 1.65242 1570.67009 2.08479 1560.82082
11 1996 16.66 102.2754938 1703.90973 1.70156 1662.88901 2.14618 1652.00616
12 1996 16.56 102.2754938 1693.68218 1.80146 1651.10622 2.27156 1639.81859
1 1997 17.20 102.2754938 1759.13849 1.78870 1713.12839 2.25481 1700.93842
2 1997 16.22 105.4444186 1710.30847 1.85589 1663.71962 2.33885 1651.38506
3 1997 15.80 105.4444186 1666.02181 1.80236 1618.83697 2.27071 1606.35346
4 1997 16.18 105.4444186 1706.09069 1.75374 1656.01728 2.20879 1642.77848
5 1997 17.18 105.4444186 1811.53511 1.79402 1756.57291 2.25888 1742.05104
6 1997 17.93 105.4444186 1890.61843 1.90295 1831.35387 2.39538 1815.70562
7 1997 19.47 105.4444186 2053.00283 1.98397 1986.66410 2.49666 1969.15913
8 1997 18.92 105.4444186 1995.00840 2.15222 1928.39143 2.70766 1910.82551
9 1997 20.20 105.4444186 2129.97726 2.08909 2056.76434 2.62745 2037.47167
10 1997 19.59 105.4444186 2065.65616 2.22816 1992.42597 2.80159 1973.14247
11 1997 19.58 105.4444186 2064.60172 2.15846 1989.25044 2.71314 1969.42211
12 1997 19.94 105.4444186 2102.56171 2.15502 2023.67000 2.70802 2002.92410
1 1998 19.92 105.4444186 2100.45282 2.19231 2019.44793 2.75409 1998.16106
2 1998 20.15 111.8201276 2253.17557 2.18774 2164.09313 2.74754 2140.69870
3 1998 21.13 111.8201276 2362.75930 2.34443 2266.99987 2.94353 2241.86855
4 1998 21.33 111.8201276 2385.12332 2.45592 2286.00160 3.08264 2260.00568
5 1998 20.83 111.8201276 2329.21326 2.47650 2229.93856 3.10758 2203.92094
6 1998 21.95 111.8201276 2454.45180 2.41577 2347.42347 3.03046 2319.39222
7 1998 21.98 111.8201276 2457.80641 2.54304 2348.08876 3.18924 2319.37299
8 1998 18.69 111.8201276 2089.91819 2.54376 1994.07948 3.18922 1969.01648
9 1998 19.78 111.8201276 2211.80212 2.16025 2108.21386 2.70746 2081.14197
10 1998 20.43 111.8201276 2284.48521 2.28390 2175.20898 2.86164 2146.66973
11 1998 21.79 111.8201276 2436.56058 2.35648 2317.65349 2.95174 2286.61916
12 1998 24.44 111.8201276 2732.88392 2.51079 2597.00510 3.14418 2561.56313
1 1999 25.84 111.8201276 2889.43210 2.81342 2742.95629 3.52223 2704.77528
2 1999 23.89 116.4909767 2782.96943 2.97154 2638.91907 3.71916 2601.39724
3 1999 24.74 116.4909767 2881.98676 2.85883 2729.95230 3.57701 2690.37727
4 1999 25.27 116.4909767 2943.72698 2.95745 2785.47806 3.69936 2744.31332
5 1999 24.76 116.4909767 2884.31658 3.01760 2726.24385 3.77352 2685.15397
6 1999 26.10 116.4909767 3040.41449 2.95343 2870.83350 3.69218 2826.78111
7 1999 25.67 116.4909767 2990.32337 3.11007 2820.42618 3.88692 2776.32270
8 1999 24.92 116.4909767 2902.95514 3.05546 2734.96637 3.81754 2691.38939
9 1999 24.84 116.4909767 2893.63586 2.96288 2723.22350 3.70075 2679.04855
10 1999 25.75 116.4909767 2999.64265 2.95016 2820.03716 3.68378 2773.51026
11 1999 26.77 116.4909767 3118.46345 3.05504 2928.68845 3.81367 2879.55991
12 1999 29.15 116.4909767 3395.71197 3.17275 3185.89219 3.95949 3131.60911
</TABLE>
SURRENDER CHARGE = 3.00%
FREE WITHDRAWAL AVAILABLE = 15.00% OF PRINCIPAL + 15.00% OF INTEREST
GROSS RETURN = 239.57%
GROSS ANNUAL RETURN = 27.75%
WITHOUT WITH
SURRENDER SURRENDER
CHARGE CHARGE
WITHOUT DEATH BENEFIT CHARGE
ERV 3185.89 3104.65
TOTAL RETURN 218.59% 210.47%
AVERAGE ANNUAL RETURN 26.13% 25.48%
WITH DEATH BENEFIT CHARGE
ERV 3131.61 3051.75
TOTAL RETURN 213.16% 205.18%
AVERAGE ANNUAL RETURN 25.69% 25.05%
<TABLE>
<CAPTION>
Return for Product Inception
WITH DEATH BENEFIT CHARGE
FUND GROSS ADMIN/ ADMIN/
MONTH YEAR NAV SHARES VALUE MTHLY M&E ERV MTHLY M&E ERV
<S> <C> <C> <C> <C> <C> <C> <C> <C>
6 1995 12.50 100.0000000 1250.00000 1000.00000 1000.00000
7 1995 13.47 100.0000000 1347.00000 1.08333 1076.51667 1.37503 1076.22497
8 1995 13.64 100.0000000 1364.00000 1.16623 1088.93677 1.47985 1088.32777
9 1995 13.94 100.0000000 1394.00000 1.17968 1111.70731 1.49649 1110.76811
10 1995 13.65 100.0000000 1365.00000 1.20435 1087.37562 1.52734 1086.13296
11 1995 13.90 100.0000000 1390.00000 1.17799 1106.11293 1.49347 1104.53204
12 1995 13.78 101.3196481 1396.18475 1.19829 1109.83625 1.51877 1107.92784
1 1996 13.89 101.3196481 1407.32991 1.20232 1117.49329 1.52344 1115.24853
2 1996 13.81 102.2754938 1412.42457 1.21062 1120.32809 1.53350 1117.75233
3 1996 14.26 102.2754938 1458.44854 1.21369 1155.62039 1.53695 1152.63743
4 1996 14.73 102.2754938 1506.51802 1.25192 1192.45694 1.58491 1189.04267
5 1996 14.90 102.2754938 1523.90486 1.29183 1204.92734 1.63497 1201.13053
6 1996 14.78 102.2754938 1511.63180 1.30534 1193.91789 1.65159 1189.80540
7 1996 14.09 102.2754938 1441.06171 1.29341 1136.88677 1.63602 1132.62366
8 1996 14.63 102.2754938 1496.29047 1.23163 1179.22639 1.55740 1174.47412
9 1996 15.25 102.2754938 1559.70128 1.27750 1227.92295 1.61494 1222.63184
10 1996 15.72 102.2754938 1607.77076 1.33025 1264.43688 1.68116 1258.63179
11 1996 16.66 102.2754938 1703.90973 1.36981 1338.67589 1.73066 1332.16283
12 1996 16.56 102.2754938 1693.68218 1.45023 1329.19039 1.83177 1322.33488
1 1997 17.20 102.2754938 1759.13849 1.43996 1379.12011 1.81825 1371.62136
2 1997 16.22 105.4444186 1710.30847 1.49405 1339.34456 1.88603 1331.66198
3 1997 15.80 105.4444186 1666.02181 1.45096 1303.21267 1.83108 1295.34890
4 1997 16.18 105.4444186 1706.09069 1.41181 1333.14395 1.78115 1324.72171
5 1997 17.18 105.4444186 1811.53511 1.44424 1414.09427 1.82154 1404.77420
6 1997 17.93 105.4444186 1890.61843 1.53194 1474.29520 1.93161 1464.16859
7 1997 19.47 105.4444186 2053.00283 1.59715 1599.32463 2.01328 1587.91212
8 1997 18.92 105.4444186 1995.00840 1.73260 1552.41337 2.18343 1540.87241
9 1997 20.20 105.4444186 2129.97726 1.68178 1655.75744 2.11875 1642.99873
10 1997 19.59 105.4444186 2065.65616 1.79374 1603.96310 2.25918 1591.12424
11 1997 19.58 105.4444186 2064.60172 1.73763 1601.40671 2.18785 1588.12418
12 1997 19.94 105.4444186 2102.56171 1.73486 1629.11549 2.18372 1615.13988
1 1998 19.92 105.4444186 2100.45282 1.76488 1625.71660 2.22087 1611.29901
2 1998 20.15 111.8201276 2253.17557 1.76119 1742.16035 2.21559 1726.24007
3 1998 21.13 111.8201276 2362.75930 1.88734 1825.00339 2.37364 1807.82253
4 1998 21.33 111.8201276 2385.12332 1.97709 1840.30035 2.48582 1822.44814
5 1998 20.83 111.8201276 2329.21326 1.99366 1795.16792 2.50593 1777.22191
6 1998 21.95 111.8201276 2454.45180 1.94477 1889.74682 2.44374 1870.33691
7 1998 21.98 111.8201276 2457.80641 2.04723 1890.28239 2.57178 1870.32141
8 1998 18.69 111.8201276 2089.91819 2.04781 1605.29423 2.57175 1587.79708
9 1998 19.78 111.8201276 2211.80212 1.73907 1697.17585 2.18327 1678.21407
10 1998 20.43 111.8201276 2284.48521 1.83861 1751.10895 2.30760 1731.05506
11 1998 21.79 111.8201276 2436.56058 1.89703 1865.78108 2.38026 1843.90901
12 1998 24.44 111.8201276 2732.88392 2.02126 2090.66757 2.53544 2065.62134
1 1999 25.84 111.8201276 2889.43210 2.26489 2208.16269 2.84030 2181.10633
2 1999 23.89 116.4909767 2782.96943 2.39218 2124.40958 2.99909 2097.74321
3 1999 24.74 116.4909767 2881.98676 2.30144 2197.69408 2.88447 2169.49590
4 1999 25.27 116.4909767 2943.72698 2.38084 2242.39400 2.98313 2212.98944
5 1999 24.76 116.4909767 2884.31658 2.42926 2194.70867 3.04293 2165.28388
6 1999 26.10 116.4909767 3040.41449 2.37760 2311.10771 2.97734 2279.49073
7 1999 25.67 116.4909767 2990.32337 2.50370 2270.52829 3.13438 2238.80152
8 1999 24.92 116.4909767 2902.95514 2.45974 2201.73056 3.07843 2170.31207
9 1999 24.84 116.4909767 2893.63586 2.38521 2192.27719 2.98425 2160.36052
10 1999 25.75 116.4909767 2999.64265 2.37497 2270.21512 2.97057 2236.53359
11 1999 26.77 116.4909767 3118.46345 2.45940 2357.68269 3.07531 2322.05107
12 1999 29.15 116.4909767 3395.71197 2.55416 2564.73947 3.19290 2525.30127
</TABLE>
SURRENDER CHARGE = 3.00%
FREE WITHDRAWAL AVAILABLE = 15.00% OF PRINCIPAL + 15.00% OF INTEREST
GROSS RETURN = 171.66%
GROSS ANNUAL RETURN = 24.36%
WITHOUT WITH
SURRENDER SURRENDER
CHARGE CHARGE
WITHOUT DEATH BENEFIT CHARGE
ERV 2564.74 2499.34
TOTAL RETURN 156.47% 149.93%
AVERAGE ANNUAL RETURN 22.81% 22.12%
WITH DEATH BENEFIT CHARGE
ERV 2525.30 2460.91
TOTAL RETURN 152.53% 146.09%
AVERAGE ANNUAL RETURN 22.40% 21.71%
<PAGE>
Fidelity Equity Income 12/1999
Assume ($10000 @ $10.00 on 10/ 9/1986)
DATE DIV PR/SH REINVEST NAV REINVEST SHARES SHARE BASIS
(incl cap gain)
100.000000
3/87 0.0700000000 11.62 0.602 100.602410
6/87 0.1200000000 11.72 1.030 101.632468
9/87 0.1200000000 11.80 1.034 102.666019
12/87 0.2300000000 9.45 2.499 105.164769
3/88 0.1400000000 10.60 1.389 106.553737
6/88 0.1400000000 10.89 1.370 107.923574
9/88 0.1400000000 10.87 1.390 109.313574
12/88 0.1100000000 10.95 1.098 110.411701
3/89 0.2200000000 11.56 2.101 112.512962
6/89 0.1300000000 12.49 1.171 113.684034
9/89 0.1300000000 12.93 1.143 114.827029
12/89 0.1300000000 12.03 1.241 116.067886
2/90 0.3900000000 11.20 4.042 120.109536
3/90 0.2000000000 11.05 2.174 122.283464
6/90 0.1300000000 11.24 1.414 123.697774
9/90 0.1300000000 9.67 1.663 125.360723
12/90 0.1300000000 9.57 1.703 127.063638
3/91 0.2300000000 10.60 2.757 129.820679
6/91 0.1200000000 11.10 1.403 131.224146
9/91 0.1200000000 11.38 1.384 132.607880
12/91 0.1200000000 11.18 1.423 134.031220
3/92 0.1200000000 12.33 1.304 135.335660
6/92 0.1000000000 12.45 1.087 136.422694
9/92 0.1000000000 12.56 1.086 137.508862
12/92 0.1000000000 13.29 1.035 138.543541
3/93 0.1000000000 14.36 0.965 139.508329
6/93 0.1000000000 14.40 0.969 140.477137
9/93 0.1000000000 15.18 0.925 141.402546
12/93 0.0900000000 15.29 0.832 142.234870
2/94 0.7700000000 15.04 7.282 149.516841
3/94 0.1000000000 14.97 0.999 150.515618
6/94 0.0900000000 14.96 0.906 151.421126
9/94 0.0900000000 15.79 0.863 152.284198
12/94 0.0900000000 15.34 0.893 153.177651
2/95 0.7800000000 15.11 7.907 161.084903
3/95 0.1000000000 15.60 1.033 162.117498
6/95 0.1000000000 16.78 0.966 163.083633
9/95 0.1000000000 18.32 0.890 163.973828
12/95 0.1000000000 19.01 0.863 164.836394
2/96 0.8900000000 18.86 7.779 172.614994
2/97 2.1700000000 19.80 18.918 191.532900
2/98 1.5500000000 23.41 12.682 204.214488
2/99 1.2200000000 23.78 10.477 214.691430
M and E Charge = 0.0010833
Death Benefit Charge = 0.0002917
<TABLE>
<CAPTION>
Return for YTD
WITH DEATH BENEFIT CHARGE
FUND GROSS ADMIN/ ADMIN/
MONTH YEAR NAV SHARES VALUE MTHLY M&E ERV MTHLY M&E ERV
<S> <C> <C> <C> <C> <C> <C> <C> <C>
12 1998 25.42 204.2144884 5191.13230 1000.00000 1000.00000
1 1999 25.34 204.2144884 5174.79514 1.08333 995.76954 1.37503 995.47784
2 1999 23.81 214.6914302 5111.80295 1.07875 982.56940 1.36882 981.99119
3 1999 24.68 214.6914302 5298.58450 1.06445 1017.40732 1.35027 1016.52216
4 1999 26.87 214.6914302 5768.75873 1.10219 1106.58560 1.39775 1105.32633
5 1999 26.14 214.6914302 5612.03399 1.19880 1075.32325 1.51986 1073.77713
6 1999 27.25 214.6914302 5850.34147 1.16493 1119.82048 1.47648 1117.89716
7 1999 26.44 214.6914302 5676.44141 1.21314 1085.32093 1.53715 1083.13078
8 1999 25.72 214.6914302 5521.86359 1.17576 1054.59028 1.48934 1052.14620
9 1999 24.88 214.6914302 5341.52278 1.14247 1019.00552 1.44674 1016.33699
10 1999 25.79 214.6914302 5536.89199 1.10392 1055.17229 1.39750 1052.11259
11 1999 25.45 214.6914302 5463.89690 1.14310 1040.11843 1.44669 1036.79547
12 1999 25.71 214.6914302 5519.71667 1.12679 1049.61760 1.42563 1045.96186
</TABLE>
SURRENDER CHARGE = 7.00%
FREE WITHDRAWAL AVAILABLE = 15.00% OF PRINCIPAL + 15.00% OF INTEREST
GROSS RETURN = 6.33%
WITHOUT WITH
SURRENDER SURRENDER
CHARGE CHARGE
WITHOUT DEATH BENEFIT CHARGE
ERV 1049.62 987.17
TOTAL RETURN 4.96% -1.28%
WITH DEATH BENEFIT CHARGE
ERV 1045.96 983.73
TOTAL RETURN 4.60% -1.63%
<TABLE>
<CAPTION>
Return for 1 Year
WITH DEATH BENEFIT CHARGE
FUND GROSS ADMIN/ ADMIN/
MONTH YEAR NAV SHARES VALUE MTHLY M&E ERV MTHLY M&E ERV
<S> <C> <C> <C> <C> <C> <C> <C> <C>
12 1998 25.42 204.2144884 5191.13230 1000.00000 1000.00000
1 1999 25.34 204.2144884 5174.79514 1.08333 995.76954 1.37503 995.47784
2 1999 23.81 214.6914302 5111.80295 1.07875 982.56940 1.36882 981.99119
3 1999 24.68 214.6914302 5298.58450 1.06445 1017.40732 1.35027 1016.52216
4 1999 26.87 214.6914302 5768.75873 1.10219 1106.58560 1.39775 1105.32633
5 1999 26.14 214.6914302 5612.03399 1.19880 1075.32325 1.51986 1073.77713
6 1999 27.25 214.6914302 5850.34147 1.16493 1119.82048 1.47648 1117.89716
7 1999 26.44 214.6914302 5676.44141 1.21314 1085.32093 1.53715 1083.13078
8 1999 25.72 214.6914302 5521.86359 1.17576 1054.59028 1.48934 1052.14620
9 1999 24.88 214.6914302 5341.52278 1.14247 1019.00552 1.44674 1016.33699
10 1999 25.79 214.6914302 5536.89199 1.10392 1055.17229 1.39750 1052.11259
11 1999 25.45 214.6914302 5463.89690 1.14310 1040.11843 1.44669 1036.79547
12 1999 25.71 214.6914302 5519.71667 1.12679 1049.61760 1.42563 1045.96186
</TABLE>
SURRENDER CHARGE = 7.00%
FREE WITHDRAWAL AVAILABLE = 15.00% OF PRINCIPAL + 15.00% OF INTEREST
GROSS RETURN = 6.33%
WITHOUT WITH
SURRENDER SURRENDER
CHARGE CHARGE
WITHOUT DEATH BENEFIT CHARGE
ERV 1049.62 987.17
TOTAL RETURN 4.96% -1.28%
WITH DEATH BENEFIT CHARGE
ERV 1045.96 983.73
TOTAL RETURN 4.60% -1.63%
<TABLE>
<CAPTION>
Return for 3 Years
WITH DEATH BENEFIT CHARGE
FUND GROSS ADMIN/ ADMIN/
MONTH YEAR NAV SHARES VALUE MTHLY M&E ERV MTHLY M&E ERV
<S> <C> <C> <C> <C> <C> <C> <C> <C>
12 1996 21.03 172.6149937 3630.09332 1000.00000 1000.00000
1 1997 21.85 172.6149937 3771.63761 1.08333 1037.90858 1.37503 1037.61688
2 1997 19.91 191.5328996 3813.42003 1.12440 1048.28219 1.42676 1047.68490
3 1997 19.17 191.5328996 3671.68569 1.13564 1008.18478 1.44060 1007.30473
4 1997 19.85 191.5328996 3801.92806 1.09220 1042.85501 1.38508 1041.65086
5 1997 21.08 191.5328996 4037.51352 1.12976 1106.34548 1.43230 1104.76418
6 1997 22.06 191.5328996 4225.21577 1.19854 1156.58046 1.51909 1154.60509
7 1997 23.67 191.5328996 4533.58373 1.25296 1239.73795 1.58762 1237.28376
8 1997 22.56 191.5328996 4320.98221 1.34305 1180.25763 1.70131 1177.56027
9 1997 23.80 191.5328996 4558.48301 1.27861 1243.85134 1.61918 1240.66514
10 1997 22.93 191.5328996 4391.84939 1.34751 1197.03532 1.70596 1193.60714
11 1997 23.77 191.5328996 4552.73702 1.29679 1239.58980 1.64125 1235.69158
12 1997 24.28 191.5328996 4650.41880 1.34289 1264.84307 1.69912 1260.50499
1 1998 24.22 191.5328996 4638.92683 1.37025 1260.34719 1.73324 1255.65683
2 1998 24.18 204.2144884 4937.90633 1.36538 1340.21137 1.72657 1334.85752
3 1998 25.30 204.2144884 5166.62656 1.45190 1400.83709 1.83547 1394.85168
4 1998 25.30 204.2144884 5166.62656 1.51757 1399.31951 1.91797 1392.93371
5 1998 24.89 204.2144884 5082.89862 1.51593 1375.12686 1.91533 1368.44515
6 1998 25.17 204.2144884 5140.07867 1.48972 1389.10663 1.88166 1381.95781
7 1998 24.55 204.2144884 5013.46569 1.50487 1353.38460 1.90024 1346.01650
8 1998 20.80 204.2144884 4247.66136 1.46617 1145.18962 1.85082 1138.56235
9 1998 22.02 204.2144884 4496.80304 1.24062 1211.11878 1.56556 1203.77785
10 1998 23.65 204.2144884 4829.67265 1.31205 1299.45812 1.65523 1291.23060
11 1998 24.65 204.2144884 5033.88714 1.40775 1352.99575 1.77549 1344.05260
12 1998 25.42 204.2144884 5191.13230 1.46575 1393.79397 1.84812 1384.18909
1 1999 25.34 204.2144884 5174.79514 1.50994 1387.89758 1.90331 1377.92956
2 1999 23.81 214.6914302 5111.80295 1.50356 1369.49930 1.89470 1359.26149
3 1999 24.68 214.6914302 5298.58450 1.48362 1418.05618 1.86903 1407.05888
4 1999 26.87 214.6914302 5768.75873 1.53623 1542.35233 1.93475 1529.98065
5 1999 26.14 214.6914302 5612.03399 1.67088 1498.77906 2.10377 1486.31059
6 1999 27.25 214.6914302 5850.34147 1.62368 1560.79902 2.04373 1547.38105
7 1999 26.44 214.6914302 5676.44141 1.69087 1512.71377 2.12770 1499.25780
8 1999 25.72 214.6914302 5521.86359 1.63877 1469.88158 2.06153 1456.36928
9 1999 24.88 214.6914302 5341.52278 1.59237 1420.28374 2.00256 1406.80257
10 1999 25.79 214.6914302 5536.89199 1.53864 1470.69278 1.93440 1456.32276
11 1999 25.45 214.6914302 5463.89690 1.59325 1449.71079 2.00249 1435.12098
12 1999 25.71 214.6914302 5519.71667 1.57052 1462.95067 1.97334 1447.80899
</TABLE>
SURRENDER CHARGE = 5.00%
FREE WITHDRAWAL AVAILABLE = 15.00% OF PRINCIPAL + 15.00% OF INTEREST
GROSS RETURN = 52.05%
GROSS ANNUAL RETURN = 14.99%
WITHOUT WITH
SURRENDER SURRENDER
CHARGE CHARGE
WITHOUT DEATH BENEFIT CHARGE
ERV 1462.95 1400.78
TOTAL RETURN 46.30% 40.08%
AVERAGE ANNUAL RETURN 13.52% 11.89%
WITH DEATH BENEFIT CHARGE
ERV 1447.81 1386.28
TOTAL RETURN 44.78% 38.63%
AVERAGE ANNUAL RETURN 13.13% 11.50%
<TABLE>
<CAPTION>
Return for 5 Years
WITH DEATH BENEFIT CHARGE
FUND GROSS ADMIN/ ADMIN/
MONTH YEAR NAV SHARES VALUE MTHLY M&E ERV MTHLY M&E ERV
<S> <C> <C> <C> <C> <C> <C> <C> <C>
12 1994 15.35 153.1776512 2351.27695 1000.00000 1000.00000
1 1995 15.59 153.1776512 2388.03958 1.08333 1014.55185 1.37503 1014.26015
2 1995 15.39 161.0849025 2479.09665 1.09910 1052.13809 1.39464 1051.53972
3 1995 15.82 162.1174981 2564.69882 1.13982 1087.32816 1.44590 1086.40304
4 1995 16.26 162.1174981 2636.03052 1.17794 1116.39196 1.49384 1115.12522
5 1995 16.75 162.1174981 2715.46809 1.20942 1148.82535 1.53333 1147.19652
6 1995 16.89 163.0836333 2754.48257 1.24456 1164.08653 1.57743 1162.10142
7 1995 17.54 163.0836333 2860.48693 1.26109 1207.62450 1.59793 1205.22617
8 1995 17.76 163.0836333 2896.36533 1.30826 1221.46318 1.65723 1218.68580
9 1995 18.25 163.9738278 2992.52236 1.32325 1260.69154 1.67573 1257.46947
10 1995 18.04 163.9738278 2958.08785 1.36575 1244.81920 1.72906 1241.27090
11 1995 18.82 163.9738278 3085.98744 1.34855 1297.29321 1.70679 1293.23325
12 1995 19.27 164.8363940 3176.39731 1.40540 1333.89448 1.77824 1329.34274
1 1996 19.83 164.8363940 3268.70569 1.44505 1371.21336 1.82789 1366.14650
2 1996 19.00 172.6149937 3279.68488 1.48548 1374.33362 1.87850 1368.85672
3 1996 19.20 172.6149937 3314.20788 1.48886 1387.31142 1.88222 1381.38352
4 1996 19.45 172.6149937 3357.36163 1.50292 1403.87246 1.89945 1397.47083
5 1996 19.66 172.6149937 3393.61078 1.52086 1417.50909 1.92157 1410.63764
6 1996 19.48 172.6149937 3362.54008 1.53563 1402.99524 1.93967 1395.78267
7 1996 18.53 172.6149937 3198.55583 1.51991 1333.05410 1.91925 1325.79394
8 1996 18.91 172.6149937 3264.14953 1.44414 1358.94728 1.82301 1351.15936
9 1996 19.72 172.6149937 3403.96768 1.47219 1415.68489 1.85789 1407.17768
10 1996 20.04 172.6149937 3459.20447 1.53366 1437.12380 1.93492 1428.07729
11 1996 21.38 172.6149937 3690.50857 1.55688 1531.66202 1.96365 1521.60383
12 1996 21.03 172.6149937 3630.09332 1.65930 1504.92874 2.09226 1494.60225
1 1997 21.85 172.6149937 3771.63761 1.63034 1561.97846 2.05513 1550.82453
2 1997 19.91 191.5328996 3813.42003 1.69214 1577.59000 2.13244 1565.87222
3 1997 19.17 191.5328996 3671.68569 1.70906 1517.24626 2.15313 1505.51992
4 1997 19.85 191.5328996 3801.92806 1.64368 1569.42248 2.07014 1556.85372
5 1997 21.08 191.5328996 4037.51352 1.70021 1664.97112 2.14073 1651.18303
6 1997 22.06 191.5328996 4225.21577 1.80372 1740.57118 2.27043 1725.67537
7 1997 23.67 191.5328996 4533.58373 1.88562 1865.71727 2.37286 1849.24709
8 1997 22.56 191.5328996 4320.98221 2.02119 1776.20363 2.54278 1759.98423
9 1997 23.80 191.5328996 4558.48301 1.92422 1871.90763 2.42004 1854.30092
10 1997 22.93 191.5328996 4391.84939 2.02790 1801.45285 2.54973 1783.96793
11 1997 23.77 191.5328996 4552.73702 1.95157 1865.49432 2.45302 1846.86742
12 1997 24.28 191.5328996 4650.41880 2.02095 1903.49870 2.53950 1883.95359
1 1998 24.22 191.5328996 4638.92683 2.06212 1896.73270 2.59050 1876.70753
2 1998 24.18 204.2144884 4937.90633 2.05479 2016.92261 2.58054 1995.08106
3 1998 25.30 204.2144884 5166.62656 2.18500 2108.15999 2.74330 2084.74846
4 1998 25.30 204.2144884 5166.62656 2.28384 2105.87615 2.86660 2081.88186
5 1998 24.89 204.2144884 5082.89862 2.28137 2069.46794 2.86266 2045.28120
6 1998 25.17 204.2144884 5140.07867 2.24192 2090.50649 2.81233 2065.47726
7 1998 24.55 204.2144884 5013.46569 2.26472 2036.74738 2.84010 2011.75929
8 1998 20.80 204.2144884 4247.66136 2.20648 1723.42878 2.76624 1701.69785
9 1998 22.02 204.2144884 4496.80304 1.86705 1822.64746 2.33989 1799.16908
10 1998 23.65 204.2144884 4829.67265 1.97453 1955.59187 2.47392 1929.87616
11 1998 24.65 204.2144884 5033.88714 2.11856 2036.16219 2.65364 2008.82405
12 1998 25.42 204.2144884 5191.13230 2.20584 2097.56060 2.76220 2068.81213
1 1999 25.34 204.2144884 5174.79514 2.27236 2088.68695 2.84469 2059.45663
2 1999 23.81 214.6914302 5111.80295 2.26274 2060.99887 2.83182 2031.55528
3 1999 24.68 214.6914302 5298.58450 2.23275 2134.07351 2.79346 2102.99337
4 1999 26.87 214.6914302 5768.75873 2.31191 2321.13036 2.89169 2286.71252
5 1999 26.14 214.6914302 5612.03399 2.51456 2255.55569 3.14431 2221.44316
6 1999 27.25 214.6914302 5850.34147 2.44352 2348.89131 3.05456 2312.71920
7 1999 26.44 214.6914302 5676.44141 2.54463 2276.52642 3.18007 2240.79409
8 1999 25.72 214.6914302 5521.86359 2.46624 2212.06703 3.08117 2176.69281
9 1999 24.88 214.6914302 5341.52278 2.39641 2137.42582 2.99303 2102.61029
10 1999 25.79 214.6914302 5536.89199 2.31554 2213.28783 2.89116 2176.62328
11 1999 25.45 214.6914302 5463.89690 2.39773 2181.71144 2.99293 2144.93505
12 1999 25.71 214.6914302 5519.71667 2.36352 2201.63652 2.94936 2163.89858
</TABLE>
SURRENDER CHARGE = 3.00%
FREE WITHDRAWAL AVAILABLE = 15.00% OF PRINCIPAL + 15.00% OF INTEREST
GROSS RETURN = 134.75%
GROSS ANNUAL RETURN = 18.61%
WITHOUT WITH
SURRENDER SURRENDER
CHARGE CHARGE
WITHOUT DEATH BENEFIT CHARGE
ERV 2201.64 2145.49
TOTAL RETURN 120.16% 114.55%
AVERAGE ANNUAL RETURN 17.10% 16.49%
WITH DEATH BENEFIT CHARGE
ERV 2163.90 2108.72
TOTAL RETURN 116.39% 110.87%
AVERAGE ANNUAL RETURN 16.69% 16.09%
<TABLE>
<CAPTION>
Return for 10 Years
WITH DEATH BENEFIT CHARGE
FUND GROSS ADMIN/ ADMIN/
MONTH YEAR NAV SHARES VALUE MTHLY M&E ERV MTHLY M&E ERV
<S> <C> <C> <C> <C> <C> <C> <C> <C>
12 1989 12.29 116.0678861 1426.47432 1000.00000 1000.00000
1 1990 11.46 116.0678861 1330.13797 1.08333 931.38209 1.37503 931.09039
2 1990 11.14 120.1095357 1338.02023 1.00900 935.89236 1.28028 935.32765
3 1990 10.96 122.2834639 1340.22676 1.01388 936.42186 1.28611 935.58399
4 1990 10.58 122.2834639 1293.75905 1.01446 902.94022 1.28646 901.85940
5 1990 11.28 122.2834639 1379.35747 0.97819 961.70288 1.24009 960.28865
6 1990 11.04 123.6977744 1365.62343 1.04184 951.08552 1.32043 949.40678
7 1990 10.77 123.6977744 1332.22503 1.03034 926.79493 1.30547 924.88213
8 1990 9.91 123.6977744 1225.84494 1.00403 851.78499 1.27174 849.75722
9 1990 9.02 125.3607228 1130.75372 0.92277 784.78757 1.16844 782.67142
10 1990 8.79 125.3607228 1101.92075 0.85019 763.92617 1.07620 761.63797
11 1990 9.42 125.3607228 1180.89801 0.82759 817.85097 1.04728 815.17907
12 1990 9.51 127.0636375 1208.37519 0.88601 835.99476 1.12090 833.02580
1 1991 10.02 127.0636375 1273.17765 0.90566 879.92163 1.14544 876.55367
2 1991 10.71 127.0636375 1360.85156 0.95325 939.56178 1.20529 935.70986
3 1991 10.70 129.8206787 1389.08126 1.01786 958.03433 1.28663 953.83373
4 1991 10.75 129.8206787 1395.57230 1.03787 961.47326 1.31155 956.97934
5 1991 11.34 129.8206787 1472.16650 1.04160 1013.20089 1.31588 1008.18605
6 1991 10.76 131.2241455 1411.97181 1.09763 970.67498 1.38629 965.57654
7 1991 11.37 131.2241455 1492.01853 1.05156 1024.65239 1.32770 1018.98877
8 1991 11.61 131.2241455 1523.51233 1.11004 1045.17090 1.40114 1039.09662
9 1991 11.41 132.6078799 1513.05591 1.13227 1036.86524 1.42879 1030.53613
10 1991 11.60 132.6078799 1538.25141 1.12327 1053.00791 1.41702 1046.27966
11 1991 11.10 132.6078799 1471.94747 1.14076 1006.47888 1.43867 999.74273
12 1991 11.85 134.0312203 1588.26996 1.09035 1084.92679 1.37468 1077.37397
1 1992 12.01 134.0312203 1609.71496 1.17534 1098.40025 1.48143 1090.43937
2 1992 12.40 134.0312203 1661.98713 1.18993 1132.87860 1.49939 1124.34975
3 1992 12.13 135.3356604 1641.62156 1.22729 1117.76931 1.54602 1109.02623
4 1992 12.51 135.3356604 1693.04911 1.21092 1151.57507 1.52495 1142.24407
5 1992 12.61 135.3356604 1706.58268 1.24754 1159.53277 1.57062 1149.80410
6 1992 12.40 136.4226938 1691.64140 1.25616 1148.12480 1.58102 1138.15645
7 1992 12.78 136.4226938 1743.48203 1.24380 1182.06547 1.56500 1171.47043
8 1992 12.50 136.4226938 1705.28367 1.28057 1154.88675 1.61081 1144.19360
9 1992 12.53 137.5088618 1722.98604 1.25113 1165.62438 1.57330 1154.49805
10 1992 12.68 137.5088618 1743.61237 1.26276 1178.31562 1.58747 1166.73138
11 1992 13.14 137.5088618 1806.86644 1.27651 1219.78558 1.60429 1207.45330
12 1992 13.40 138.5435409 1856.48345 1.32143 1251.95976 1.66029 1238.94998
1 1993 13.80 138.5435409 1911.90087 1.35629 1287.97540 1.70360 1274.22997
2 1993 14.11 138.5435409 1954.84936 1.39531 1315.51288 1.75211 1301.10187
3 1993 14.43 139.5083288 2013.10519 1.42514 1353.29090 1.78906 1338.08652
4 1993 14.37 139.5083288 2004.73469 1.46607 1346.19785 1.83991 1330.68283
5 1993 14.63 139.5083288 2041.00685 1.45838 1369.09656 1.82973 1352.92948
6 1993 14.70 140.4771367 2065.01391 1.48319 1383.71718 1.86032 1366.98280
7 1993 14.90 140.4771367 2093.10934 1.49903 1401.04424 1.87965 1383.70156
8 1993 15.47 140.4771367 2173.18130 1.51780 1453.12344 1.90264 1434.73247
9 1993 15.31 141.4025460 2164.87298 1.57422 1445.99376 1.97280 1427.27452
10 1993 15.45 141.4025460 2184.66934 1.56649 1457.64994 1.96255 1438.36346
11 1993 15.18 141.4025460 2146.49065 1.57912 1430.59732 1.97780 1411.24922
12 1993 15.44 142.2348697 2196.10639 1.54981 1462.11551 1.94051 1441.92947
1 1994 16.12 142.2348697 2292.82610 1.58396 1524.92524 1.98270 1503.45144
2 1994 14.94 149.5168411 2233.78161 1.65200 1484.00360 2.06730 1462.66750
3 1994 14.22 150.5156176 2140.33208 1.60767 1420.31312 2.01122 1399.46606
4 1994 14.71 150.5156176 2214.08473 1.53867 1467.71632 1.92431 1445.76526
5 1994 14.85 150.5156176 2235.15692 1.59003 1480.09505 1.98798 1457.53712
6 1994 14.67 151.4211260 2221.34792 1.60344 1469.34745 2.00416 1446.52816
7 1994 15.16 151.4211260 2295.54427 1.59179 1516.83406 1.98902 1492.85535
8 1994 15.94 151.4211260 2413.65275 1.64324 1593.23374 2.05273 1567.61180
9 1994 15.59 152.2841976 2374.11064 1.72600 1565.40629 2.15552 1539.77460
10 1994 15.91 152.2841976 2422.84158 1.69586 1595.84193 2.11724 1569.26274
11 1994 15.39 152.2841976 2343.65380 1.72883 1541.95485 2.15779 1515.81540
12 1994 15.35 153.1776512 2351.27695 1.67045 1545.29988 2.08430 1518.66156
1 1995 15.59 153.1776512 2388.03958 1.67407 1567.78684 2.08821 1540.31790
2 1995 15.39 161.0849025 2479.09665 1.69844 1625.86886 2.11799 1596.93295
3 1995 15.82 162.1174981 2564.69882 1.76136 1680.24807 2.19584 1649.87854
4 1995 16.26 162.1174981 2636.03052 1.82027 1725.16036 2.26864 1693.49780
5 1995 16.75 162.1174981 2715.46809 1.86892 1775.27967 2.32862 1742.20326
6 1995 16.89 163.0836333 2754.48257 1.92322 1798.86277 2.39559 1764.83876
7 1995 17.54 163.0836333 2860.48693 1.94877 1866.14199 2.42671 1830.33066
8 1995 17.76 163.0836333 2896.36533 2.02165 1887.52691 2.51677 1850.77129
9 1995 18.25 163.9738278 2992.52236 2.04482 1948.14649 2.54487 1909.67055
10 1995 18.04 163.9738278 2958.08785 2.11049 1923.61897 2.62586 1885.07040
11 1995 18.82 163.9738278 3085.98744 2.08392 2004.70704 2.59203 1963.98363
12 1995 19.27 164.8363940 3176.39731 2.17177 2061.26698 2.70054 2018.82172
1 1996 19.83 164.8363940 3268.70569 2.23304 2118.93584 2.77595 2074.71418
2 1996 19.00 172.6149937 3279.68488 2.29551 2123.75757 2.85280 2078.83009
3 1996 19.20 172.6149937 3314.20788 2.30074 2143.81218 2.85846 2097.85405
4 1996 19.45 172.6149937 3357.36163 2.32246 2169.40393 2.88462 2122.28524
5 1996 19.66 172.6149937 3393.61078 2.35019 2190.47662 2.91821 2142.28116
6 1996 19.48 172.6149937 3362.54008 2.37302 2168.04837 2.94571 2119.72149
7 1996 18.53 172.6149937 3198.55583 2.34872 2059.96834 2.91469 2013.43229
8 1996 18.91 172.6149937 3264.14953 2.23163 2099.98107 2.76854 2051.95379
9 1996 19.72 172.6149937 3403.96768 2.27498 2187.65768 2.82150 2137.02665
10 1996 20.04 172.6149937 3459.20447 2.36996 2220.78724 2.93848 2168.76609
11 1996 21.38 172.6149937 3690.50857 2.40585 2366.87714 2.98213 2310.80125
12 1996 21.03 172.6149937 3630.09332 2.56412 2325.56620 3.17743 2269.79499
1 1997 21.85 172.6149937 3771.63761 2.51936 2413.72512 3.12104 2355.17761
2 1997 19.91 191.5328996 3813.42003 2.61487 2437.84964 3.23845 2378.02995
3 1997 19.17 191.5328996 3671.68569 2.64100 2344.60046 3.26987 2286.37524
4 1997 19.85 191.5328996 3801.92806 2.53998 2425.22836 3.14384 2364.33391
5 1997 21.08 191.5328996 4037.51352 2.62733 2572.87966 3.25104 2507.58820
6 1997 22.06 191.5328996 4225.21577 2.78729 2689.70443 3.44802 2620.71686
7 1997 23.67 191.5328996 4533.58373 2.91385 2883.09268 3.60357 2808.38048
8 1997 22.56 191.5328996 4320.98221 3.12335 2744.76726 3.86162 2672.82041
9 1997 23.80 191.5328996 4558.48301 2.97350 2892.65863 3.67522 2816.05553
10 1997 22.93 191.5328996 4391.84939 3.13371 2783.78487 3.87217 2709.24352
11 1997 23.77 191.5328996 4552.73702 3.01577 2882.74814 3.72530 2804.76656
12 1997 24.28 191.5328996 4650.41880 3.12298 2941.47630 3.85665 2861.08791
1 1998 24.22 191.5328996 4638.92683 3.18660 2931.02082 3.93409 2850.08359
2 1998 24.18 204.2144884 4937.90633 3.17527 3116.75026 3.91896 3029.85292
3 1998 25.30 204.2144884 5166.62656 3.37648 3257.73938 4.16615 3166.02736
4 1998 25.30 204.2144884 5166.62656 3.52922 3254.21017 4.35339 3161.67396
5 1998 24.89 204.2144884 5082.89862 3.52539 3197.94856 4.34741 3106.08994
6 1998 25.17 204.2144884 5140.07867 3.46444 3230.45943 4.27098 3136.76092
7 1998 24.55 204.2144884 5013.46569 3.49966 3147.38548 4.31315 3055.18151
8 1998 20.80 204.2144884 4247.66136 3.40967 2663.21428 4.20098 2584.30311
9 1998 22.02 204.2144884 4496.80304 2.88515 2816.53689 3.55350 2732.32893
10 1998 23.65 204.2144884 4829.67265 3.05125 3021.97589 3.75704 2930.82875
11 1998 24.65 204.2144884 5033.88714 3.27381 3146.48119 4.02999 3050.72387
12 1998 25.42 204.2144884 5191.13230 3.40869 3241.36015 4.19485 3141.82546
1 1999 25.34 204.2144884 5174.79514 3.51147 3227.64770 4.32011 3127.61762
2 1999 23.81 214.6914302 5111.80295 3.49662 3184.86130 4.30058 3085.24492
3 1999 24.68 214.6914302 5298.58450 3.45027 3297.78353 4.24231 3193.73520
4 1999 26.87 214.6914302 5768.75873 3.57260 3586.84246 4.39149 3472.74241
5 1999 26.14 214.6914302 5612.03399 3.88575 3485.50993 4.77514 3373.62035
6 1999 27.25 214.6914302 5850.34147 3.77597 3629.74146 4.63884 3512.23776
7 1999 26.44 214.6914302 5676.44141 3.93222 3517.91601 4.82944 3403.00786
8 1999 25.72 214.6914302 5521.86359 3.81108 3418.30692 4.67925 3305.65971
9 1999 24.88 214.6914302 5341.52278 3.70317 3302.96387 4.54539 3193.15343
10 1999 25.79 214.6914302 5536.89199 3.57821 3420.19342 4.39069 3305.55412
11 1999 25.45 214.6914302 5463.89690 3.70521 3371.39842 4.54525 3257.43041
12 1999 25.71 214.6914302 5519.71667 3.65235 3402.18865 4.47908 3286.22961
</TABLE>
SURRENDER CHARGE = 0.00%
FREE WITHDRAWAL AVAILABLE = 15.00% OF PRINCIPAL + 15.00% OF INTEREST
GROSS RETURN = 286.95%
GROSS ANNUAL RETURN = 14.49%
WITHOUT WITH
SURRENDER SURRENDER
CHARGE CHARGE
WITHOUT DEATH BENEFIT CHARGE
ERV 3402.19 3402.19
TOTAL RETURN 240.22% 240.22%
AVERAGE ANNUAL RETURN 13.03% 13.03%
WITH DEATH BENEFIT CHARGE
ERV 3286.23 3286.23
TOTAL RETURN 228.62% 228.62%
AVERAGE ANNUAL RETURN 12.63% 12.63%
<TABLE>
<CAPTION>
Return for Inception
WITH DEATH BENEFIT CHARGE
FUND GROSS ADMIN/ ADMIN/
MONTH YEAR NAV SHARES VALUE MTHLY M&E ERV MTHLY M&E ERV
<S> <C> <C> <C> <C> <C> <C> <C> <C>
9 1986 10.00 100.0000000 1000.00000 1000.00000 1000.00000
10 1986 10.11 100.0000000 1011.00000 1.08333 1009.91667 1.37503 1009.62497
11 1986 10.33 100.0000000 1033.00000 1.09408 1030.79902 1.38827 1030.20678
12 1986 10.02 100.0000000 1002.00000 1.11670 998.74837 1.41657 997.87403
1 1987 11.17 100.0000000 1117.00000 1.08198 1112.29320 1.37211 1111.02838
2 1987 11.43 100.0000000 1143.00000 1.20498 1136.97866 1.52770 1135.36168
3 1987 11.65 100.6024096 1172.01807 1.23173 1164.61213 1.56116 1162.62468
4 1987 11.36 100.6024096 1142.84337 1.26166 1134.36013 1.59865 1132.08516
5 1987 11.43 100.6024096 1149.88554 1.22889 1140.12113 1.55665 1137.50438
6 1987 11.55 101.6324684 1173.85501 1.23513 1162.65193 1.56411 1159.65165
7 1987 11.99 101.6324684 1218.57330 1.25954 1205.68389 1.59456 1202.23430
8 1987 12.32 101.6324684 1252.11201 1.30616 1237.56169 1.65311 1233.67021
9 1987 11.94 102.6660190 1225.83227 1.34069 1210.24664 1.69634 1206.08119
10 1987 9.61 102.6660190 986.62044 1.31110 972.76514 1.65840 969.06523
11 1987 9.18 102.6660190 942.47405 1.05383 928.18487 1.33250 924.37186
12 1987 9.42 105.1647686 990.65212 1.00553 974.62696 1.27104 970.35352
1 1988 10.09 105.1647686 1061.11252 1.05585 1042.89172 1.33427 1038.03590
2 1988 10.59 105.1647686 1113.69490 1.12980 1093.44139 1.42733 1088.04741
3 1988 10.27 106.5537373 1094.30688 1.18456 1073.22140 1.49610 1067.60979
4 1988 10.44 106.5537373 1112.42102 1.16266 1089.82385 1.46800 1083.81400
5 1988 10.58 106.5537373 1127.33854 1.18064 1103.25770 1.49028 1096.85763
6 1988 11.04 107.9235741 1191.47626 1.19520 1164.83019 1.50822 1157.75298
7 1988 11.02 107.9235741 1189.31779 1.26190 1161.45809 1.59195 1154.06365
8 1988 10.88 107.9235741 1174.20849 1.25825 1145.44448 1.58688 1137.81535
9 1988 11.01 109.3135742 1203.54245 1.24090 1172.81897 1.56453 1164.67561
10 1988 11.20 109.3135742 1224.31203 1.27055 1191.78780 1.60147 1183.17299
11 1988 11.02 109.3135742 1204.63559 1.29110 1171.34296 1.62690 1162.53081
12 1988 11.01 110.4117014 1215.63283 1.26895 1180.76732 1.59852 1171.54516
1 1989 11.69 110.4117014 1290.71279 1.27916 1252.41475 1.61091 1242.29126
2 1989 11.68 110.4117014 1289.60867 1.35678 1249.98661 1.70819 1239.52037
3 1989 11.66 112.5129621 1311.90114 1.35415 1270.24001 1.70438 1259.24262
4 1989 12.11 112.5129621 1362.53197 1.37609 1317.88690 1.73150 1306.10967
5 1989 12.47 112.5129621 1403.03664 1.42771 1355.63667 1.79594 1343.14110
6 1989 12.35 113.6840338 1403.99782 1.46861 1355.09677 1.84686 1342.21439
7 1989 13.07 113.6840338 1485.85032 1.46802 1432.63034 1.84559 1418.61935
8 1989 13.28 113.6840338 1509.72397 1.55202 1454.09687 1.95065 1439.46213
9 1989 13.00 114.8270287 1492.75137 1.57527 1436.17437 1.97931 1421.30012
10 1989 12.25 114.8270287 1406.63110 1.55586 1351.76230 1.95433 1337.34770
11 1989 12.32 114.8270287 1414.66899 1.46441 1358.02225 1.83890 1343.15079
12 1989 12.29 116.0678861 1426.47432 1.47119 1367.88367 1.84688 1352.51242
1 1990 11.46 116.0678861 1330.13797 1.48187 1274.02234 1.85975 1259.31131
2 1990 11.14 120.1095357 1338.02023 1.38019 1280.19187 1.73159 1265.04226
3 1990 10.96 122.2834639 1340.22676 1.38687 1280.91617 1.73948 1265.38898
4 1990 10.58 122.2834639 1293.75905 1.38766 1235.11718 1.73995 1219.77605
5 1990 11.28 122.2834639 1379.35747 1.33804 1315.49767 1.67723 1298.80233
6 1990 11.04 123.6977744 1365.62343 1.42512 1300.97434 1.78590 1284.08447
7 1990 10.77 123.6977744 1332.22503 1.40939 1267.74765 1.76566 1250.91457
8 1990 9.91 123.6977744 1225.84494 1.37339 1165.14278 1.72005 1149.30719
9 1990 9.02 125.3607228 1130.75372 1.26224 1073.49811 1.58034 1058.57282
10 1990 8.79 125.3607228 1101.92075 1.16296 1044.96214 1.45557 1030.12481
11 1990 9.42 125.3607228 1180.89801 1.13204 1118.72499 1.41646 1102.53983
12 1990 9.51 127.0636375 1208.37519 1.21195 1143.54358 1.51603 1126.67774
1 1991 10.02 127.0636375 1273.17765 1.23884 1203.63042 1.54922 1185.54972
2 1991 10.71 127.0636375 1360.85156 1.30393 1285.21122 1.63017 1265.55921
3 1991 10.70 129.8206787 1389.08126 1.39231 1310.47952 1.74019 1290.07197
4 1991 10.75 129.8206787 1395.57230 1.41969 1315.18357 1.77389 1294.32645
5 1991 11.34 129.8206787 1472.16650 1.42478 1385.94095 1.77974 1363.58416
6 1991 10.76 131.2241455 1411.97181 1.50144 1327.77046 1.87497 1305.95426
7 1991 11.37 131.2241455 1492.01853 1.43842 1401.60527 1.79573 1378.19497
8 1991 11.61 131.2241455 1523.51233 1.51841 1429.67220 1.89506 1405.39110
9 1991 11.41 132.6078799 1513.05591 1.54881 1418.31103 1.93246 1393.81292
10 1991 11.60 132.6078799 1538.25141 1.53650 1440.39233 1.91654 1415.10624
11 1991 11.10 132.6078799 1471.94747 1.56042 1376.74603 1.94582 1352.16446
12 1991 11.85 134.0312203 1588.26996 1.49147 1484.05363 1.85927 1457.16169
1 1992 12.01 134.0312203 1609.71496 1.60772 1502.48376 2.00365 1474.83280
2 1992 12.40 134.0312203 1661.98713 1.62769 1549.64614 2.02794 1520.69701
3 1992 12.13 135.3356604 1641.62156 1.67878 1528.97838 2.09101 1499.97176
4 1992 12.51 135.3356604 1693.04911 1.65639 1575.22073 2.06251 1544.89930
5 1992 12.61 135.3356604 1706.58268 1.70649 1586.10594 2.12429 1555.12432
6 1992 12.40 136.4226938 1691.64140 1.71828 1570.50116 2.13835 1539.37073
7 1992 12.78 136.4226938 1743.48203 1.70138 1616.92805 2.11669 1584.42831
8 1992 12.50 136.4226938 1705.28367 1.75167 1579.75072 2.17864 1547.53606
9 1992 12.53 137.5088618 1722.98604 1.71140 1594.43855 2.12791 1561.47295
10 1992 12.68 137.5088618 1743.61237 1.72731 1611.79869 2.14708 1578.01869
11 1992 13.14 137.5088618 1806.86644 1.74612 1668.52477 2.16983 1633.09559
12 1992 13.40 138.5435409 1856.48345 1.80757 1712.53531 2.24556 1675.69525
1 1993 13.80 138.5435409 1911.90087 1.85525 1761.80052 2.30414 1723.41186
2 1993 14.11 138.5435409 1954.84936 1.90862 1799.46858 2.36975 1759.75644
3 1993 14.43 139.5083288 2013.10519 1.94942 1851.14453 2.41972 1809.77864
4 1993 14.37 139.5083288 2004.73469 2.00541 1841.44205 2.48851 1799.76506
5 1993 14.63 139.5083288 2041.00685 1.99490 1872.76483 2.47474 1829.85393
6 1993 14.70 140.4771367 2065.01391 2.02883 1892.76414 2.51611 1848.86122
7 1993 14.90 140.4771367 2093.10934 2.05049 1916.46553 2.54225 1871.47355
8 1993 15.47 140.4771367 2173.18130 2.07617 1987.70382 2.57334 1940.49349
9 1993 15.31 141.4025460 2164.87298 2.15335 1977.95125 2.66824 1930.40652
10 1993 15.45 141.4025460 2184.66934 2.14278 1993.89555 2.65437 1945.40445
11 1993 15.18 141.4025460 2146.49065 2.16005 1956.89072 2.67500 1908.73210
12 1993 15.44 142.2348697 2196.10639 2.11996 2000.00392 2.62457 1950.22752
1 1994 16.12 142.2348697 2292.82610 2.16667 2085.92033 2.68163 2033.43675
2 1994 14.94 149.5168411 2233.78161 2.25975 2029.94429 2.79604 1978.27596
3 1994 14.22 150.5156176 2140.33208 2.19911 1942.82313 2.72020 1892.79524
4 1994 14.71 150.5156176 2214.08473 2.10472 2007.66519 2.60266 1955.41548
5 1994 14.85 150.5156176 2235.15692 2.17497 2024.59784 2.68876 1971.33707
6 1994 14.67 151.4211260 2221.34792 2.19331 2009.89638 2.71065 1956.44731
7 1994 15.16 151.4211260 2295.54427 2.17739 2074.85255 2.69018 2019.10541
8 1994 15.94 151.4211260 2413.65275 2.24776 2179.35842 2.77634 2120.21444
9 1994 15.59 152.2841976 2374.11064 2.36097 2141.29371 2.91537 2082.56427
10 1994 15.91 152.2841976 2422.84158 2.31973 2182.92612 2.86360 2122.44735
11 1994 15.39 152.2841976 2343.65380 2.36484 2109.21486 2.91844 2050.15917
12 1994 15.35 153.1776512 2351.27695 2.28498 2113.79047 2.81904 2054.00863
1 1995 15.59 153.1776512 2388.03958 2.28994 2144.55002 2.82433 2083.29910
2 1995 15.39 161.0849025 2479.09665 2.32326 2223.99946 2.86461 2159.87166
3 1995 15.82 162.1174981 2564.69882 2.40933 2298.38389 2.96990 2231.48123
4 1995 16.26 162.1174981 2636.03052 2.48992 2359.81869 3.06836 2290.47682
5 1995 16.75 162.1174981 2715.46809 2.55647 2428.37607 3.14948 2356.35155
6 1995 16.89 163.0836333 2754.48257 2.63074 2460.63501 3.24006 2386.96636
7 1995 17.54 163.0836333 2860.48693 2.66569 2552.66516 3.28216 2475.54495
8 1995 17.76 163.0836333 2896.36533 2.76539 2581.91724 3.40396 2503.19116
9 1995 18.25 163.9738278 2992.52236 2.79708 2664.83776 3.44197 2582.85315
10 1995 18.04 163.9738278 2958.08785 2.88691 2631.28697 3.55151 2549.58114
11 1995 18.82 163.9738278 3085.98744 2.85056 2742.20602 3.50576 2656.31226
12 1995 19.27 164.8363940 3176.39731 2.97072 2819.57344 3.65252 2730.48146
1 1996 19.83 164.8363940 3268.70569 3.05454 2898.45773 3.75450 2806.07670
2 1996 19.00 172.6149937 3279.68488 3.14000 2905.05330 3.85845 2811.64353
3 1996 19.20 172.6149937 3314.20788 3.14714 2932.48567 3.86610 2837.37367
4 1996 19.45 172.6149937 3357.36163 3.17686 2967.49221 3.90148 2870.41716
5 1996 19.66 172.6149937 3393.61078 3.21478 2996.31719 3.94692 2897.46189
6 1996 19.48 172.6149937 3362.54008 3.24601 2965.63796 3.98411 2866.94965
7 1996 18.53 172.6149937 3198.55583 3.21277 2817.79705 3.94215 2723.19219
8 1996 18.91 172.6149937 3264.14953 3.05261 2872.52981 3.74448 2775.29299
9 1996 19.72 172.6149937 3403.96768 3.11191 2992.46122 3.81612 2890.35510
10 1996 20.04 172.6149937 3459.20447 3.24183 3037.77860 3.97433 2933.28308
11 1996 21.38 172.6149937 3690.50857 3.29093 3237.61259 4.03336 3125.38741
12 1996 21.03 172.6149937 3630.09332 3.50741 3181.10403 4.29751 3069.92593
1 1997 21.85 172.6149937 3771.63761 3.44620 3301.69518 4.22125 3185.40697
2 1997 19.91 191.5328996 3813.42003 3.57684 3334.69471 4.38004 3216.31505
3 1997 19.17 191.5328996 3671.68569 3.61259 3207.14068 4.42254 3092.35092
4 1997 19.85 191.5328996 3801.92806 3.47440 3317.43027 4.25209 3197.79099
5 1997 21.08 191.5328996 4037.51352 3.59388 3519.40008 4.39707 3391.54419
6 1997 22.06 191.5328996 4225.21577 3.81268 3679.20277 4.66349 3544.55212
7 1997 23.67 191.5328996 4533.58373 3.98580 3943.73539 4.87388 3798.36949
8 1997 22.56 191.5328996 4320.98221 4.27238 3754.52231 5.22288 3615.02281
9 1997 23.80 191.5328996 4558.48301 4.06740 3956.82050 4.97078 3808.75010
10 1997 22.93 191.5328996 4391.84939 4.28656 3807.89387 5.23716 3664.28552
11 1997 23.77 191.5328996 4552.73702 4.12522 3943.26411 5.03851 3793.48162
12 1997 24.28 191.5328996 4650.41880 4.27187 4023.59740 5.21616 3869.65695
1 1998 24.22 191.5328996 4638.92683 4.35890 4009.29551 5.32091 3854.77346
2 1998 24.18 204.2144884 4937.90633 4.34340 4263.35178 5.30044 4097.91372
3 1998 25.30 204.2144884 5166.62656 4.61863 4456.20850 5.63477 4282.09134
4 1998 25.30 204.2144884 5166.62656 4.82756 4451.38094 5.88802 4276.20332
5 1998 24.89 204.2144884 5082.89862 4.82233 4374.42161 5.87992 4201.02524
6 1998 25.17 204.2144884 5140.07867 4.73896 4418.89270 5.77655 4242.50811
7 1998 24.55 204.2144884 5013.46569 4.78713 4305.25720 5.83359 4132.17095
8 1998 20.80 204.2144884 4247.66136 4.66403 3642.96732 5.68187 3495.30207
9 1998 22.02 204.2144884 4496.80304 3.94655 3852.69482 4.80616 3695.50882
10 1998 23.65 204.2144884 4829.67265 4.17375 4133.71146 5.08145 3963.98229
11 1998 24.65 204.2144884 5033.88714 4.47819 4304.02023 5.45061 4126.14193
12 1998 25.42 204.2144884 5191.13230 4.66269 4433.80361 5.67358 4249.35798
1 1999 25.34 204.2144884 5174.79514 4.80329 4415.04658 5.84301 4230.14169
2 1999 23.81 214.6914302 5111.80295 4.78297 4356.51976 5.81659 4172.83208
3 1999 24.68 214.6914302 5298.58450 4.71956 4510.98424 5.73778 4319.56653
4 1999 26.87 214.6914302 5768.75873 4.88690 4906.38322 5.93955 4696.92726
5 1999 26.14 214.6914302 5612.03399 5.31525 4767.77211 6.45843 4562.86343
6 1999 27.25 214.6914302 5850.34147 5.16509 4965.06407 6.27409 4750.34521
7 1999 26.44 214.6914302 5676.44141 5.37882 4812.09986 6.53188 4602.61041
8 1999 25.72 214.6914302 5521.86359 5.21311 4675.84621 6.32874 4470.94583
9 1999 24.88 214.6914302 5341.52278 5.06550 4518.07034 6.14770 4318.77968
10 1999 25.79 214.6914302 5536.89199 4.89458 4678.42672 5.93847 4470.80301
11 1999 25.45 214.6914302 5463.89690 5.06830 4611.68084 6.14750 4405.71510
12 1999 25.71 214.6914302 5519.71667 4.99599 4653.79829 6.05800 4444.66637
</TABLE>
SURRENDER CHARGE = 0.00%
FREE WITHDRAWAL AVAILABLE = 15.00% OF PRINCIPAL + 15.00% OF INTEREST
GROSS RETURN = 451.97%
GROSS ANNUAL RETURN = 13.79%
WITHOUT WITH
SURRENDER SURRENDER
CHARGE CHARGE
WITHOUT DEATH BENEFIT CHARGE
ERV 4653.80 4653.80
TOTAL RETURN 365.38% 365.38%
AVERAGE ANNUAL RETURN 12.33% 12.33%
WITH DEATH BENEFIT CHARGE
ERV 4444.67 4444.67
TOTAL RETURN 344.47% 344.47%
AVERAGE ANNUAL RETURN 11.94% 11.94%
<TABLE>
<CAPTION>
Return for Product Inception
WITH DEATH BENEFIT CHARGE
FUND GROSS ADMIN/ ADMIN/
MONTH YEAR NAV SHARES VALUE MTHLY M&E ERV MTHLY M&E ERV
<S> <C> <C> <C> <C> <C> <C> <C> <C>
6 1995 16.89 163.0836333 2754.48257 1000.00000 1000.00000
7 1995 17.54 163.0836333 2860.48693 1.08333 1037.40098 1.37503 1037.10928
8 1995 17.76 163.0836333 2896.36533 1.12385 1049.28900 1.42606 1048.69143
9 1995 18.25 163.9738278 2992.52236 1.13673 1082.98783 1.44199 1082.06517
10 1995 18.04 163.9738278 2958.08785 1.17324 1069.35281 1.48788 1068.12613
11 1995 18.82 163.9738278 3085.98744 1.15847 1114.43022 1.46871 1112.84026
12 1995 19.27 164.8363940 3176.39731 1.20730 1145.87228 1.53019 1143.91284
1 1996 19.83 164.8363940 3268.70569 1.24136 1177.93079 1.57292 1175.58285
2 1996 19.00 172.6149937 3279.68488 1.27609 1180.61122 1.61647 1177.91502
3 1996 19.20 172.6149937 3314.20788 1.27900 1191.75971 1.61967 1188.69445
4 1996 19.45 172.6149937 3357.36163 1.29107 1205.98634 1.63449 1202.53775
5 1996 19.66 172.6149937 3393.61078 1.30649 1217.70079 1.65353 1213.86792
6 1996 19.48 172.6149937 3362.54008 1.31918 1205.23278 1.66911 1201.08507
7 1996 18.53 172.6149937 3198.55583 1.30567 1145.15036 1.65153 1140.85906
8 1996 18.91 172.6149937 3264.14953 1.24058 1167.39370 1.56872 1162.68626
9 1996 19.72 172.6149937 3403.96768 1.26468 1216.13373 1.59873 1210.89059
10 1996 20.04 172.6149937 3459.20447 1.31748 1234.55067 1.66501 1228.87492
11 1996 21.38 172.6149937 3690.50857 1.33743 1315.76304 1.68974 1309.35545
12 1996 21.03 172.6149937 3630.09332 1.42541 1292.79801 1.80041 1286.12032
1 1997 21.85 172.6149937 3771.63761 1.40053 1341.80615 1.76846 1334.50016
2 1997 19.91 191.5328996 3813.42003 1.45362 1355.21713 1.83498 1347.44884
3 1997 19.17 191.5328996 3671.68569 1.46815 1303.37928 1.85279 1295.51508
4 1997 19.85 191.5328996 3801.92806 1.41199 1348.20088 1.78138 1339.68834
5 1997 21.08 191.5328996 4037.51352 1.46055 1430.28124 1.84212 1420.85966
6 1997 22.06 191.5328996 4225.21577 1.54947 1495.22491 1.95373 1484.96107
7 1997 23.67 191.5328996 4533.58373 1.61983 1602.73075 2.04187 1591.29578
8 1997 22.56 191.5328996 4320.98221 1.73629 1525.83471 2.18808 1514.48419
9 1997 23.80 191.5328996 4558.48301 1.65299 1608.04853 2.08247 1595.64465
10 1997 22.93 191.5328996 4391.84939 1.74205 1547.52487 2.19406 1535.12240
11 1997 23.77 191.5328996 4552.73702 1.67649 1602.53922 2.11084 1589.24805
12 1997 24.28 191.5328996 4650.41880 1.73608 1635.18660 2.18527 1621.16108
1 1998 24.22 191.5328996 4638.92683 1.77145 1629.37433 2.22915 1614.92576
2 1998 24.18 204.2144884 4937.90633 1.76516 1732.62258 2.22058 1716.78738
3 1998 25.30 204.2144884 5166.62656 1.87701 1810.99939 2.36064 1793.94709
4 1998 25.30 204.2144884 5166.62656 1.96192 1809.03748 2.46674 1791.48035
5 1998 24.89 204.2144884 5082.89862 1.95979 1777.76127 2.46335 1759.98511
6 1998 25.17 204.2144884 5140.07867 1.92591 1795.83428 2.42004 1777.36402
7 1998 24.55 204.2144884 5013.46569 1.94549 1749.65291 2.44393 1731.13917
8 1998 20.80 204.2144884 4247.66136 1.89546 1480.49886 2.38037 1464.32817
9 1998 22.02 204.2144884 4496.80304 1.60387 1565.73194 2.01350 1548.20315
10 1998 23.65 204.2144884 4829.67265 1.69621 1679.93687 2.12883 1660.67791
11 1998 24.65 204.2144884 5033.88714 1.81993 1749.15021 2.28349 1728.61336
12 1998 25.42 204.2144884 5191.13230 1.89491 1801.89406 2.37690 1780.23371
1 1999 25.34 204.2144884 5174.79514 1.95205 1794.27122 2.44788 1772.18321
2 1999 23.81 214.6914302 5111.80295 1.94379 1770.48597 2.43681 1748.17381
3 1999 24.68 214.6914302 5298.58450 1.91803 1833.26021 2.40380 1809.64701
4 1999 26.87 214.6914302 5768.75873 1.98603 1993.95002 2.48832 1967.73919
5 1999 26.14 214.6914302 5612.03399 2.16011 1937.61858 2.70571 1911.57425
6 1999 27.25 214.6914302 5850.34147 2.09909 2017.79787 2.62848 1990.11821
7 1999 26.44 214.6914302 5676.44141 2.18595 1955.63334 2.73648 1928.22592
8 1999 25.72 214.6914302 5521.86359 2.11860 1900.25997 2.65137 1873.06613
9 1999 24.88 214.6914302 5341.52278 2.05861 1836.13999 2.57553 1809.31737
10 1999 25.79 214.6914302 5536.89199 1.98915 1901.30869 2.48787 1873.00630
11 1999 25.45 214.6914302 5463.89690 2.05975 1874.18322 2.57545 1845.73825
12 1999 25.71 214.6914302 5519.71667 2.03037 1891.29972 2.53795 1862.05656
</TABLE>
SURRENDER CHARGE = 3.00%
FREE WITHDRAWAL AVAILABLE = 15.00% OF PRINCIPAL + 15.00% OF INTEREST
GROSS RETURN = 100.39%
GROSS ANNUAL RETURN = 16.38%
WITHOUT WITH
SURRENDER SURRENDER
CHARGE CHARGE
WITHOUT DEATH BENEFIT CHARGE
ERV 1891.30 1843.07
TOTAL RETURN 89.13% 84.31%
AVERAGE ANNUAL RETURN 14.92% 14.27%
WITH DEATH BENEFIT CHARGE
ERV 1862.06 1814.57
TOTAL RETURN 86.21% 81.46%
AVERAGE ANNUAL RETURN 14.53% 13.88%
<PAGE>
Fidelity Index 500
12/1999
Assume ($10000 @ $10.00 on 8/27/1992)
DATE DIV PR/SH REINVEST NAV REINVEST SHARES SHARE BASIS
(incl cap gain)
100.000000
12/92 0.5500000000 52.28 1.052 101.052028
2/93 0.1500000000 54.16 0.280 101.331898
12/93 1.8200000000 55.63 3.315 104.647089
2/94 0.1000000000 56.17 0.186 104.833393
2/95 1.0800000000 57.65 1.964 106.797315
2/96 3.2500000000 75.06 4.624 111.421499
2/97 3.1200000000 91.92 3.782 115.203430
2/98 4.5100000000 114.96 4.520 119.722980
2/99 2.3500000000 140.00 2.010 121.732615
M and E Charge = 0.0010833
Death Benefit Charge = 0.0002917
<TABLE>
<CAPTION>
Return for YTD
WITH DEATH BENEFIT CHARGE
FUND GROSS ADMIN/ ADMIN/
MONTH YEAR NAV SHARES VALUE MTHLY M&E ERV MTHLY M&E ERV
<S> <C> <C> <C> <C> <C> <C> <C> <C>
12 1998 141.25 119.7229796 16910.87087 1000.00000 1000.00000
1 1999 146.92 119.7229796 17589.70017 1.08333 1039.05826 1.37503 1038.76656
2 1999 139.95 121.7326154 17036.47952 1.12565 1005.25278 1.42834 1004.66756
3 1999 145.58 121.7326154 17721.83414 1.08902 1044.60372 1.38145 1043.70253
4 1999 151.13 121.7326154 18397.45016 1.13165 1083.29588 1.43513 1082.05686
5 1999 147.50 121.7326154 17955.56076 1.17357 1056.10256 1.48786 1054.57901
6 1999 155.65 121.7326154 18947.68158 1.14411 1113.31259 1.45008 1111.39889
7 1999 150.79 121.7326154 18356.06107 1.20609 1077.34455 1.52821 1075.16847
8 1999 149.99 121.7326154 18258.67498 1.16712 1070.46169 1.47839 1067.98589
9 1999 145.84 121.7326154 17753.48462 1.15967 1039.68394 1.46852 1036.96780
10 1999 155.01 121.7326154 18869.77271 1.12632 1103.92995 1.42587 1100.74349
11 1999 158.11 121.7326154 19247.14381 1.19592 1124.81120 1.51356 1121.24338
12 1999 167.41 121.7326154 20379.25714 1.21855 1189.75384 1.54175 1185.65295
</TABLE>
SURRENDER CHARGE = 7.00%
FREE WITHDRAWAL AVAILABLE = 15.00% OF PRINCIPAL + 15.00% OF INTEREST
GROSS RETURN = 20.51%
WITHOUT WITH
SURRENDER SURRENDER
CHARGE CHARGE
WITHOUT DEATH BENEFIT CHARGE
ERV 1189.75 1118.96
TOTAL RETURN 18.98% 11.90%
WITH DEATH BENEFIT CHARGE
ERV 1185.65 1115.11
TOTAL RETURN 18.57% 11.51%
<TABLE>
<CAPTION>
Return for 1 Year
WITH DEATH BENEFIT CHARGE
FUND GROSS ADMIN/ ADMIN/
MONTH YEAR NAV SHARES VALUE MTHLY M&E ERV MTHLY M&E ERV
<S> <C> <C> <C> <C> <C> <C> <C> <C>
12 1998 141.25 119.7229796 16910.87087 1000.00000 1000.00000
1 1999 146.92 119.7229796 17589.70017 1.08333 1039.05826 1.37503 1038.76656
2 1999 139.95 121.7326154 17036.47952 1.12565 1005.25278 1.42834 1004.66756
3 1999 145.58 121.7326154 17721.83414 1.08902 1044.60372 1.38145 1043.70253
4 1999 151.13 121.7326154 18397.45016 1.13165 1083.29588 1.43513 1082.05686
5 1999 147.50 121.7326154 17955.56076 1.17357 1056.10256 1.48786 1054.57901
6 1999 155.65 121.7326154 18947.68158 1.14411 1113.31259 1.45008 1111.39889
7 1999 150.79 121.7326154 18356.06107 1.20609 1077.34455 1.52821 1075.16847
8 1999 149.99 121.7326154 18258.67498 1.16712 1070.46169 1.47839 1067.98589
9 1999 145.84 121.7326154 17753.48462 1.15967 1039.68394 1.46852 1036.96780
10 1999 155.01 121.7326154 18869.77271 1.12632 1103.92995 1.42587 1100.74349
11 1999 158.11 121.7326154 19247.14381 1.19592 1124.81120 1.51356 1121.24338
12 1999 167.41 121.7326154 20379.25714 1.21855 1189.75384 1.54175 1185.65295
</TABLE>
SURRENDER CHARGE = 7.00%
FREE WITHDRAWAL AVAILABLE = 15.00% OF PRINCIPAL + 15.00% OF INTEREST
GROSS RETURN = 20.51%
WITHOUT WITH
SURRENDER SURRENDER
CHARGE CHARGE
WITHOUT DEATH BENEFIT CHARGE
ERV 1189.75 1118.96
TOTAL RETURN 18.98% 11.90%
WITH DEATH BENEFIT CHARGE
ERV 1185.65 1115.11
TOTAL RETURN 18.57% 11.51%
<TABLE>
<CAPTION>
Return for 3 Years
WITH DEATH BENEFIT CHARGE
FUND GROSS ADMIN/ ADMIN/
MONTH YEAR NAV SHARES VALUE MTHLY M&E ERV MTHLY M&E ERV
<S> <C> <C> <C> <C> <C> <C> <C> <C>
12 1996 89.13 111.4214989 9930.99819 1000.00000 1000.00000
1 1997 94.57 111.4214989 10537.13115 1.08333 1059.95111 1.37503 1059.65941
2 1997 92.15 115.2034296 10615.99604 1.14828 1066.73601 1.45707 1066.13334
3 1997 88.32 115.2034296 10174.76690 1.15563 1021.24398 1.46597 1020.35602
4 1997 93.57 115.2034296 10779.58491 1.10635 1080.84337 1.40302 1079.60595
5 1997 99.26 115.2034296 11435.09243 1.17091 1145.39864 1.48449 1143.77239
6 1997 103.62 115.2034296 11937.37938 1.24085 1194.46948 1.57273 1192.43992
7 1997 111.86 115.2034296 12886.65564 1.29401 1288.16127 1.63964 1285.62468
8 1997 105.60 115.2034296 12165.48217 1.39551 1214.67664 1.76778 1211.90974
9 1997 111.31 115.2034296 12823.29375 1.31590 1279.04070 1.66642 1275.77367
10 1997 107.63 115.2034296 12399.34513 1.38563 1235.36893 1.75423 1231.84131
11 1997 112.50 115.2034296 12960.38583 1.33832 1289.92810 1.69382 1285.88536
12 1997 114.39 115.2034296 13178.12032 1.39742 1310.20147 1.76814 1305.72010
1 1998 115.64 115.2034296 13322.12460 1.41938 1323.09935 1.79541 1318.19298
2 1998 119.18 119.7229796 14268.58471 1.43336 1415.66457 1.81256 1410.03043
3 1998 125.21 119.7229796 14990.51428 1.53364 1485.75753 1.93884 1479.43312
4 1998 126.45 119.7229796 15138.97077 1.60957 1498.86195 2.03427 1492.05022
5 1998 124.19 119.7229796 14868.39684 1.62377 1470.44951 2.05162 1463.33167
6 1998 129.25 119.7229796 15474.19512 1.59299 1528.76855 2.01213 1520.94155
7 1998 127.85 119.7229796 15306.58295 1.65617 1510.55319 2.09135 1502.37579
8 1998 109.35 119.7229796 13091.70782 1.63643 1290.33847 2.06582 1282.91497
9 1998 116.38 119.7229796 13933.36037 1.39787 1371.89515 1.76405 1363.62821
10 1998 125.83 119.7229796 15064.74253 1.48622 1481.80615 1.87503 1472.47913
11 1998 133.41 119.7229796 15972.24271 1.60529 1569.46488 2.02471 1559.15657
12 1998 141.25 119.7229796 16910.87087 1.70025 1659.99613 2.14389 1648.63840
1 1999 146.92 119.7229796 17589.70017 1.79833 1724.83268 2.26693 1712.55044
2 1999 139.95 121.7326154 17036.47952 1.86857 1668.71572 2.35481 1656.33352
3 1999 145.58 121.7326154 17721.83414 1.80778 1734.03813 2.27751 1720.68808
4 1999 151.13 121.7326154 18397.45016 1.87854 1798.26696 2.36600 1783.92050
5 1999 147.50 121.7326154 17955.56076 1.94812 1753.12616 2.45295 1738.61946
6 1999 155.65 121.7326154 18947.68158 1.89922 1848.09459 2.39066 1832.29490
7 1999 150.79 121.7326154 18356.06107 2.00210 1788.38777 2.51947 1772.56404
8 1999 149.99 121.7326154 18258.67498 1.93742 1776.96225 2.43733 1760.72256
9 1999 145.84 121.7326154 17753.48462 1.92504 1725.87131 2.42105 1709.58493
10 1999 155.01 121.7326154 18869.77271 1.86969 1832.51944 2.35074 1814.72798
11 1999 158.11 121.7326154 19247.14381 1.98523 1867.18224 2.49531 1848.52489
12 1999 167.41 121.7326154 20379.25714 2.02278 1974.98676 2.54178 1954.71299
</TABLE>
SURRENDER CHARGE = 5.00%
FREE WITHDRAWAL AVAILABLE = 15.00% OF PRINCIPAL + 15.00% OF INTEREST
GROSS RETURN = 105.21%
GROSS ANNUAL RETURN = 27.08%
WITHOUT WITH
SURRENDER SURRENDER
CHARGE CHARGE
WITHOUT DEATH BENEFIT CHARGE
ERV 1974.99 1891.05
TOTAL RETURN 97.50% 89.10%
AVERAGE ANNUAL RETURN 25.46% 23.66%
WITH DEATH BENEFIT CHARGE
ERV 1954.71 1871.64
TOTAL RETURN 95.47% 87.16%
AVERAGE ANNUAL RETURN 25.03% 23.24%
<TABLE>
<CAPTION>
Return for 5 Years
WITH DEATH BENEFIT CHARGE
FUND GROSS ADMIN/ ADMIN/
MONTH YEAR NAV SHARES VALUE MTHLY M&E ERV MTHLY M&E ERV
<S> <C> <C> <C> <C> <C> <C> <C> <C>
12 1994 56.22 104.8333932 5893.73337 1000.00000 1000.00000
1 1995 57.71 104.8333932 6049.93512 1.08333 1025.41969 1.37503 1025.12799
2 1995 58.82 106.7973146 6281.81804 1.11087 1063.61128 1.40959 1063.00968
3 1995 60.54 106.7973146 6465.50942 1.15225 1093.56089 1.46167 1092.63228
4 1995 62.32 106.7973146 6655.60864 1.18469 1124.52913 1.50241 1123.25550
5 1995 64.77 106.7973146 6917.26207 1.21824 1167.51975 1.54451 1165.86978
6 1995 66.24 106.7973146 7074.25412 1.26481 1192.75261 1.60311 1190.72689
7 1995 68.45 106.7973146 7310.27618 1.29215 1231.25489 1.63729 1228.81645
8 1995 68.62 106.7973146 7328.43173 1.33386 1232.97894 1.68966 1230.17863
9 1995 71.49 106.7973146 7634.94002 1.33573 1283.21199 1.69154 1279.93875
10 1995 71.25 106.7973146 7609.30866 1.39015 1277.51395 1.75996 1273.88189
11 1995 74.35 106.7973146 7940.38034 1.38397 1331.71304 1.75163 1327.55530
12 1995 75.71 106.7973146 8085.62469 1.44269 1354.62987 1.82543 1350.01332
1 1996 78.30 106.7973146 8362.22973 1.46752 1399.50354 1.85631 1394.34027
2 1996 75.75 111.4214989 8440.17854 1.51613 1411.03293 1.91726 1405.42040
3 1996 76.53 111.4214989 8527.08731 1.52862 1424.03376 1.93250 1417.95955
4 1996 77.60 111.4214989 8646.30831 1.54270 1442.40110 1.94974 1435.83493
5 1996 79.58 111.4214989 8866.92288 1.56260 1477.64204 1.97432 1470.49661
6 1996 79.92 111.4214989 8904.80619 1.60078 1482.35438 2.02198 1474.75722
7 1996 76.38 111.4214989 8510.37408 1.60588 1415.08866 2.02784 1407.40605
8 1996 77.95 111.4214989 8685.30584 1.53301 1442.64296 1.93523 1434.40022
9 1996 82.31 111.4214989 9171.10357 1.56286 1521.77186 1.97235 1512.65859
10 1996 84.58 111.4214989 9424.03037 1.64859 1562.09171 2.07996 1552.29574
11 1996 90.92 111.4214989 10130.44268 1.69227 1677.49169 2.13446 1666.51923
12 1996 89.13 111.4214989 9930.99819 1.81728 1642.64856 2.29152 1631.41789
1 1997 94.57 111.4214989 10537.13115 1.77954 1741.12716 2.24325 1728.74732
2 1997 92.15 115.2034296 10615.99604 1.88622 1752.27236 2.37709 1739.30900
3 1997 88.32 115.2034296 10174.76690 1.89830 1677.54495 2.39161 1664.62706
4 1997 93.57 115.2034296 10779.58491 1.81734 1775.44581 2.28892 1761.28846
5 1997 99.26 115.2034296 11435.09243 1.92340 1881.48742 2.42183 1865.97074
6 1997 103.62 115.2034296 11937.37938 2.03828 1962.09357 2.56577 1945.36782
7 1997 111.86 115.2034296 12886.65564 2.12560 2115.99625 2.67495 2097.39110
8 1997 105.60 115.2034296 12165.48217 2.29233 1995.28682 2.88398 1977.13122
9 1997 111.31 115.2034296 12823.29375 2.16156 2101.01435 2.71862 2081.31998
10 1997 107.63 115.2034296 12399.34513 2.27610 2029.27699 2.86188 2009.64795
11 1997 112.50 115.2034296 12960.38583 2.19838 2118.89854 2.76333 2097.81638
12 1997 114.39 115.2034296 13178.12032 2.29547 2152.20056 2.88457 2130.17512
1 1998 115.64 115.2034296 13322.12460 2.33155 2173.38724 2.92906 2150.52361
2 1998 119.18 119.7229796 14268.58471 2.35450 2325.43937 2.95704 2300.34887
3 1998 125.21 119.7229796 14990.51428 2.51923 2440.57746 3.16306 2413.57366
4 1998 126.45 119.7229796 15138.97077 2.64396 2462.10343 3.31874 2434.15741
5 1998 124.19 119.7229796 14868.39684 2.66728 2415.43177 3.34705 2387.30545
6 1998 129.25 119.7229796 15474.19512 2.61672 2511.22945 3.28262 2481.29125
7 1998 127.85 119.7229796 15306.58295 2.72050 2481.30802 3.41186 2451.00274
8 1998 109.35 119.7229796 13091.70782 2.68808 2119.57263 3.37021 2092.97042
9 1998 116.38 119.7229796 13933.36037 2.29620 2253.54158 2.87790 2224.64745
10 1998 125.83 119.7229796 15064.74253 2.44134 2434.08674 3.05896 2402.22879
11 1998 133.41 119.7229796 15972.24271 2.63693 2578.07921 3.30314 2543.63592
12 1998 141.25 119.7229796 16910.87087 2.79292 2726.79024 3.49758 2689.61818
1 1999 146.92 119.7229796 17589.70017 2.95402 2833.29392 3.69831 2793.88542
2 1999 139.95 121.7326154 17036.47952 3.06940 2741.11346 3.84169 2702.17214
3 1999 145.58 121.7326154 17721.83414 2.96954 2848.41523 3.71558 2807.16130
4 1999 151.13 121.7326154 18397.45016 3.08578 2953.92063 3.85994 2910.31981
5 1999 147.50 121.7326154 17955.56076 3.20008 2879.77016 4.00179 2836.41489
6 1999 155.65 121.7326154 18947.68158 3.11975 3035.76991 3.90016 2989.23866
7 1999 150.79 121.7326154 18356.06107 3.28875 2937.69259 4.11030 2891.79267
8 1999 149.99 121.7326154 18258.67498 3.18250 2918.92448 3.97631 2872.47427
9 1999 145.84 121.7326154 17753.48462 3.16217 2835.00002 3.94975 2789.04743
10 1999 155.01 121.7326154 18869.77271 3.07125 3010.18542 3.83503 2960.57969
11 1999 158.11 121.7326154 19247.14381 3.26103 3067.12421 4.07090 3015.71656
12 1999 167.41 121.7326154 20379.25714 3.32272 3244.20915 4.14671 3188.95373
</TABLE>
SURRENDER CHARGE = 3.00%
FREE WITHDRAWAL AVAILABLE = 15.00% OF PRINCIPAL + 15.00% OF INTEREST
GROSS RETURN = 245.78%
GROSS ANNUAL RETURN = 28.16%
WITHOUT WITH
SURRENDER SURRENDER
CHARGE CHARGE
WITHOUT DEATH BENEFIT CHARGE
ERV 3244.21 3161.48
TOTAL RETURN 224.42% 216.15%
AVERAGE ANNUAL RETURN 26.54% 25.89%
WITH DEATH BENEFIT CHARGE
ERV 3188.95 3107.64
TOTAL RETURN 218.90% 210.76%
AVERAGE ANNUAL RETURN 26.10% 25.45%
<TABLE>
<CAPTION>
Return for Inception
WITH DEATH BENEFIT CHARGE
FUND GROSS ADMIN/ ADMIN/
MONTH YEAR NAV SHARES VALUE MTHLY M&E ERV MTHLY M&E ERV
<S> <C> <C> <C> <C> <C> <C> <C> <C>
7 1992 50.00 100.0000000 5000.00000 1000.00000 1000.00000
8 1992 50.07 100.0000000 5007.00000 1.08333 1000.31667 1.37503 1000.02497
9 1992 50.65 100.0000000 5065.00000 1.08368 1010.82044 1.37507 1010.23397
10 1992 50.76 100.0000000 5076.00000 1.09506 1011.92065 1.38911 1011.03886
11 1992 52.49 100.0000000 5249.00000 1.09625 1045.31264 1.39021 1044.10683
12 1992 52.60 101.0520275 5315.33665 1.13242 1057.39084 1.43568 1055.86652
1 1993 52.98 101.0520275 5353.73642 1.14551 1063.88427 1.45185 1062.04261
2 1993 53.57 101.3318984 5428.34980 1.15254 1077.55876 1.46034 1075.38362
3 1993 54.75 101.3318984 5547.92144 1.16736 1100.12707 1.47869 1097.59268
4 1993 53.40 101.3318984 5411.12337 1.19180 1071.80884 1.50923 1069.01953
5 1993 54.79 101.3318984 5551.97471 1.16113 1098.54686 1.46994 1095.37613
6 1993 54.93 101.3318984 5566.16118 1.19009 1100.16378 1.50618 1096.66887
7 1993 54.68 101.3318984 5540.82820 1.19184 1093.96482 1.50796 1090.16970
8 1993 56.75 101.3318984 5750.58523 1.18513 1134.19351 1.49902 1129.94082
9 1993 56.29 101.3318984 5703.97256 1.22871 1123.77133 1.55371 1119.22812
10 1993 57.44 101.3318984 5820.50424 1.21742 1145.51247 1.53898 1140.55488
11 1993 56.88 101.3318984 5763.75838 1.24097 1133.10355 1.56830 1127.86697
12 1993 55.74 104.6470890 5833.02874 1.22753 1145.49396 1.55085 1139.87111
1 1994 57.62 104.6470890 6029.76527 1.24095 1182.88825 1.56736 1176.74935
2 1994 55.96 104.8333932 5866.47669 1.28146 1149.57368 1.61807 1143.26441
3 1994 53.53 104.8333932 5611.73154 1.24537 1098.40936 1.57203 1092.04742
4 1994 54.17 104.8333932 5678.82491 1.18994 1110.35190 1.50160 1103.60224
5 1994 55.01 104.8333932 5766.88496 1.20288 1126.36696 1.51749 1119.19802
6 1994 53.67 104.8333932 5626.40822 1.22023 1097.70932 1.53893 1090.39631
7 1994 55.44 104.8333932 5811.96332 1.18919 1132.72184 1.49933 1124.85750
8 1994 57.65 104.8333932 6043.64512 1.22712 1176.64832 1.54672 1168.15089
9 1994 56.25 104.8333932 5896.87837 1.27470 1146.79933 1.60625 1138.17671
10 1994 57.50 104.8333932 6027.92011 1.24237 1171.04140 1.56503 1161.90449
11 1994 55.41 104.8333932 5808.81832 1.26863 1127.20796 1.59766 1118.07413
12 1994 56.22 104.8333932 5893.73337 1.22114 1142.46468 1.53739 1132.88109
1 1995 57.71 104.8333932 6049.93512 1.23767 1171.50578 1.55775 1161.34811
2 1995 58.82 106.7973146 6281.81804 1.26913 1215.13832 1.59689 1204.26356
3 1995 60.54 106.7973146 6465.50942 1.31640 1249.35469 1.65590 1237.82244
4 1995 62.32 106.7973146 6655.60864 1.35347 1284.73481 1.70205 1272.51491
5 1995 64.77 106.7973146 6917.26207 1.39180 1333.85008 1.74975 1320.79182
6 1995 66.24 106.7973146 7074.25412 1.44500 1362.67773 1.81613 1348.95197
7 1995 68.45 106.7973146 7310.27618 1.47623 1406.66523 1.85485 1392.10291
8 1995 68.62 106.7973146 7328.43173 1.52389 1408.63489 1.91419 1393.64610
9 1995 71.49 106.7973146 7634.94002 1.52602 1466.02437 1.91631 1450.01840
10 1995 71.25 106.7973146 7609.30866 1.58819 1459.51457 1.99382 1443.15670
11 1995 74.35 106.7973146 7940.38034 1.58114 1521.43511 1.98439 1503.96229
12 1995 75.71 106.7973146 8085.62469 1.64822 1547.61678 2.06800 1529.40456
1 1996 78.30 106.7973146 8362.22973 1.67658 1598.88336 2.10298 1579.62172
2 1996 75.75 111.4214989 8440.17854 1.73212 1612.05528 2.17203 1592.17419
3 1996 76.53 111.4214989 8527.08731 1.74639 1626.90827 2.18929 1606.37956
4 1996 77.60 111.4214989 8646.30831 1.76248 1647.89232 2.20883 1626.63024
5 1996 79.58 111.4214989 8866.92288 1.78522 1688.15384 2.23667 1665.89780
6 1996 79.92 111.4214989 8904.80619 1.82883 1693.53752 2.29066 1670.72456
7 1996 76.38 111.4214989 8510.37408 1.83467 1616.68881 2.29730 1594.42370
8 1996 77.95 111.4214989 8685.30584 1.75141 1648.16863 2.19239 1625.00488
9 1996 82.31 111.4214989 9171.10357 1.78552 1738.57061 2.23444 1713.66231
10 1996 84.58 111.4214989 9424.03037 1.88345 1784.63461 2.35634 1758.56649
11 1996 90.92 111.4214989 10130.44268 1.93335 1916.47500 2.41809 1887.96812
12 1996 89.13 111.4214989 9930.99819 2.07618 1876.66796 2.59602 1848.20247
1 1997 94.57 111.4214989 10537.13115 2.03306 1989.17629 2.54134 1958.46514
2 1997 92.15 115.2034296 10615.99604 2.15494 2001.90928 2.69295 1970.43027
3 1997 88.32 115.2034296 10174.76690 2.16873 1916.53586 2.70941 1885.82452
4 1997 93.57 115.2034296 10779.58491 2.07625 2028.38412 2.59307 1995.33039
5 1997 99.26 115.2034296 11435.09243 2.19742 2149.53293 2.74365 2113.92296
6 1997 103.62 115.2034296 11937.37938 2.32866 2241.62260 2.90671 2203.87041
7 1997 111.86 115.2034296 12886.65564 2.42842 2417.45098 3.03040 2376.09472
8 1997 105.60 115.2034296 12165.48217 2.61891 2279.54472 3.26721 2239.85457
9 1997 111.31 115.2034296 12823.29375 2.46951 2400.33469 3.07987 2357.88804
10 1997 107.63 115.2034296 12399.34513 2.60036 2318.37729 3.24217 2276.69215
11 1997 112.50 115.2034296 12960.38583 2.51158 2420.76674 3.13053 2376.57650
12 1997 114.39 115.2034296 13178.12032 2.62250 2458.81313 3.26787 2413.23511
1 1998 115.64 115.2034296 13322.12460 2.66371 2483.01816 3.31828 2436.28753
2 1998 119.18 119.7229796 14268.58471 2.68994 2656.73234 3.34998 2606.02173
3 1998 125.21 119.7229796 14990.51428 2.87813 2788.27355 3.58337 2734.29195
4 1998 126.45 119.7229796 15138.97077 3.02063 2812.86620 3.75974 2757.61089
5 1998 124.19 119.7229796 14868.39684 3.04727 2759.54548 3.79181 2704.53320
6 1998 129.25 119.7229796 15474.19512 2.98951 2868.99095 3.71882 2811.00793
7 1998 127.85 119.7229796 15306.58295 3.10807 2834.80677 3.86523 2776.69465
8 1998 109.35 119.7229796 13091.70782 3.07104 2421.53686 3.81805 2371.08661
9 1998 116.38 119.7229796 13933.36037 2.62333 2574.59167 3.26032 2520.26102
10 1998 125.83 119.7229796 15064.74253 2.78914 2780.85813 3.46544 2721.43956
11 1998 133.41 119.7229796 15972.24271 3.01260 2945.36445 3.74207 2881.63703
12 1998 141.25 119.7229796 16910.87087 3.19081 3115.26154 3.96235 3047.01757
1 1999 146.92 119.7229796 17589.70017 3.37487 3236.93823 4.18975 3165.13996
2 1999 139.95 121.7326154 17036.47952 3.50668 3131.62532 4.35217 3061.23971
3 1999 145.58 121.7326154 17721.83414 3.39259 3254.21379 4.20931 3180.17995
4 1999 151.13 121.7326154 18397.45016 3.52540 3374.74999 4.37285 3297.04627
5 1999 147.50 121.7326154 17955.56076 3.65598 3290.03570 4.53355 3213.32078
6 1999 155.65 121.7326154 18947.68158 3.56421 3468.25990 4.41842 3386.45195
7 1999 150.79 121.7326154 18356.06107 3.75728 3356.21002 4.65648 3276.05723
8 1999 149.99 121.7326154 18258.67498 3.63589 3334.76812 4.50469 3254.17177
9 1999 145.84 121.7326154 17753.48462 3.61267 3238.88739 4.47459 3159.65909
10 1999 155.01 121.7326154 18869.77271 3.50879 3439.03052 4.34464 3353.98474
11 1999 158.11 121.7326154 19247.14381 3.72562 3504.08108 4.61184 3416.44826
12 1999 167.41 121.7326154 20379.25714 3.79609 3706.39437 4.69773 3612.70537
</TABLE>
SURRENDER CHARGE = 0.00%
FREE WITHDRAWAL AVAILABLE = 15.00% OF PRINCIPAL + 15.00% OF INTEREST
GROSS RETURN = 307.59%
GROSS ANNUAL RETURN = 21.08%
WITHOUT WITH
SURRENDER SURRENDER
CHARGE CHARGE
WITHOUT DEATH BENEFIT CHARGE
ERV 3706.39 3706.39
TOTAL RETURN 270.64% 270.64%
AVERAGE ANNUAL RETURN 19.53% 19.53%
WITH DEATH BENEFIT CHARGE
ERV 3612.71 3612.71
TOTAL RETURN 261.27% 261.27%
AVERAGE ANNUAL RETURN 19.11% 19.11%
<TABLE>
<CAPTION>
Return for Product Inception
WITH DEATH BENEFIT CHARGE
FUND GROSS ADMIN/ ADMIN/
MONTH YEAR NAV SHARES VALUE MTHLY M&E ERV MTHLY M&E ERV
<S> <C> <C> <C> <C> <C> <C> <C> <C>
5 1997 99.26 115.2034296 11435.09243 1000.00000 1000.00000
6 1997 103.62 115.2034296 11937.37938 1.08333 1042.84171 1.37503 1042.55001
7 1997 111.86 115.2034296 12886.65564 1.12975 1124.64012 1.43354 1124.02143
8 1997 105.60 115.2034296 12165.48217 1.21836 1060.48374 1.54557 1059.57247
9 1997 111.31 115.2034296 12823.29375 1.14886 1116.67733 1.45695 1115.40869
10 1997 107.63 115.2034296 12399.34513 1.20973 1078.54933 1.53372 1076.99864
11 1997 112.50 115.2034296 12960.38583 1.16843 1126.18267 1.48091 1124.24934
12 1997 114.39 115.2034296 13178.12032 1.22003 1143.88251 1.54588 1141.59085
1 1998 115.64 115.2034296 13322.12460 1.23921 1155.14312 1.56973 1152.49589
2 1998 119.18 119.7229796 14268.58471 1.25141 1235.95797 1.58472 1232.78936
3 1998 125.21 119.7229796 14990.51428 1.33895 1297.15322 1.69513 1293.46812
4 1998 126.45 119.7229796 15138.97077 1.40525 1308.59415 1.77856 1304.49924
5 1998 124.19 119.7229796 14868.39684 1.41764 1283.78842 1.79373 1279.39061
6 1998 129.25 119.7229796 15474.19512 1.39077 1334.70435 1.75920 1329.75893
7 1998 127.85 119.7229796 15306.58295 1.44593 1318.80128 1.82846 1313.52689
8 1998 109.35 119.7229796 13091.70782 1.42870 1126.54095 1.80614 1121.65232
9 1998 116.38 119.7229796 13933.36037 1.22042 1197.74470 1.54231 1192.21990
10 1998 125.83 119.7229796 15064.74253 1.29756 1293.70343 1.63934 1287.38824
11 1998 133.41 119.7229796 15972.24271 1.40151 1370.23463 1.77020 1363.17031
12 1998 141.25 119.7229796 16910.87087 1.48442 1449.27370 1.87440 1441.40426
1 1999 146.92 119.7229796 17589.70017 1.57005 1505.87981 1.98198 1497.28255
2 1999 139.95 121.7326154 17036.47952 1.63137 1456.88641 2.05881 1448.13210
3 1999 145.58 121.7326154 17721.83414 1.57829 1513.91670 1.99123 1504.39728
4 1999 151.13 121.7326154 18397.45016 1.64008 1569.99223 2.06860 1559.68137
5 1999 147.50 121.7326154 17955.56076 1.70082 1530.58167 2.14461 1520.07469
6 1999 155.65 121.7326154 18947.68158 1.65813 1613.49466 2.09015 1601.97510
7 1999 150.79 121.7326154 18356.06107 1.74795 1561.36711 2.20277 1549.75242
8 1999 149.99 121.7326154 18258.67498 1.69148 1551.39197 2.13096 1539.39942
9 1999 145.84 121.7326154 17753.48462 1.68067 1506.78659 2.11673 1494.68980
10 1999 155.01 121.7326154 18869.77271 1.63235 1599.89665 2.05525 1586.61635
11 1999 158.11 121.7326154 19247.14381 1.73322 1630.15929 2.18165 1616.16498
12 1999 167.41 121.7326154 20379.25714 1.76601 1724.27895 2.22228 1709.00521
</TABLE>
SURRENDER CHARGE = 5.00%
FREE WITHDRAWAL AVAILABLE = 15.00% OF PRINCIPAL + 15.00% OF INTEREST
GROSS RETURN = 78.22%
GROSS ANNUAL RETURN = 24.18%
WITHOUT WITH
SURRENDER SURRENDER
CHARGE CHARGE
WITHOUT DEATH BENEFIT CHARGE
ERV 1724.28 1651.00
TOTAL RETURN 72.43% 65.10%
AVERAGE ANNUAL RETURN 22.65% 20.67%
WITH DEATH BENEFIT CHARGE
ERV 1709.01 1636.37
TOTAL RETURN 70.90% 63.64%
AVERAGE ANNUAL RETURN 22.24% 20.27%
<PAGE>
MFS Capital Opportunities Series12/1999
Assume ($10000 @ $10.00 on 8/14/1996)
DATE DIV PR/SH REINVEST NAV REINVEST SHARES SHARE BASIS
(incl cap gain) 100.000000
11/96 0.0538500000 10.59 0.508 100.508499
12/97 1.7629200000 11.43 15.502 116.010550
12/98 0.0299500000 14.65 0.237 116.247718
6/99 0.0475400000 17.44 0.317 116.564600
M and E Charge = 0.0010833
Death Benefit Charge = 0.0002917
<TABLE>
<CAPTION>
Return for YTD
WITH DEATH BENEFIT CHARGE
FUND GROSS ADMIN/ ADMIN/
MONTH YEAR NAV SHARES VALUE MTHLY M&E ERV MTHLY M&E ERV
<S> <C> <C> <C> <C> <C> <C> <C> <C>
12 1998 14.78 116.2477179 1718.14127 1000.00000 1000.00000
1 1999 15.69 116.2477179 1823.92669 1.08333 1060.48636 1.37503 1060.19466
2 1999 15.28 116.2477179 1776.26513 1.14886 1031.62561 1.45780 1031.03259
3 1999 15.42 116.2477179 1792.53981 1.11759 1039.96009 1.41770 1039.06152
4 1999 16.33 116.2477179 1898.32523 1.12662 1100.20595 1.42874 1098.95223
5 1999 16.49 116.2477179 1916.92487 1.19189 1109.79378 1.51110 1108.20858
6 1999 17.44 116.5645995 2032.88662 1.20228 1175.72697 1.52382 1173.72432
7 1999 17.28 116.5645995 2014.23628 1.27370 1163.66678 1.61391 1161.34230
8 1999 16.85 116.5645995 1964.11350 1.26064 1133.44915 1.59688 1130.84627
9 1999 16.99 116.5645995 1980.43255 1.22790 1141.63863 1.55495 1138.68707
10 1999 17.88 116.5645995 2084.17504 1.23678 1200.20517 1.56573 1196.77005
11 1999 19.26 116.5645995 2245.03419 1.30022 1291.53824 1.64560 1287.49261
12 1999 21.73 116.5645995 2532.94875 1.39917 1455.77248 1.77035 1450.83684
</TABLE>
SURRENDER CHARGE = 7.00%
FREE WITHDRAWAL AVAILABLE = 15.00% OF PRINCIPAL + 15.00% OF INTEREST
GROSS RETURN = 47.42%
WITHOUT WITH
SURRENDER SURRENDER
CHARGE CHARGE
WITHOUT DEATH BENEFIT CHARGE
ERV 1455.77 1369.15
TOTAL RETURN 45.58% 36.92%
WITH DEATH BENEFIT CHARGE
ERV 1450.84 1364.51
TOTAL RETURN 45.08% 36.45%
<TABLE>
<CAPTION>
Return for 1 Year
WITH DEATH BENEFIT CHARGE
FUND GROSS ADMIN/ ADMIN/
MONTH YEAR NAV SHARES VALUE MTHLY M&E ERV MTHLY M&E ERV
<S> <C> <C> <C> <C> <C> <C> <C> <C>
12 1998 14.78 116.2477179 1718.14127 1000.00000 1000.00000
1 1999 15.69 116.2477179 1823.92669 1.08333 1060.48636 1.37503 1060.19466
2 1999 15.28 116.2477179 1776.26513 1.14886 1031.62561 1.45780 1031.03259
3 1999 15.42 116.2477179 1792.53981 1.11759 1039.96009 1.41770 1039.06152
4 1999 16.33 116.2477179 1898.32523 1.12662 1100.20595 1.42874 1098.95223
5 1999 16.49 116.2477179 1916.92487 1.19189 1109.79378 1.51110 1108.20858
6 1999 17.44 116.5645995 2032.88662 1.20228 1175.72697 1.52382 1173.72432
7 1999 17.28 116.5645995 2014.23628 1.27370 1163.66678 1.61391 1161.34230
8 1999 16.85 116.5645995 1964.11350 1.26064 1133.44915 1.59688 1130.84627
9 1999 16.99 116.5645995 1980.43255 1.22790 1141.63863 1.55495 1138.68707
10 1999 17.88 116.5645995 2084.17504 1.23678 1200.20517 1.56573 1196.77005
11 1999 19.26 116.5645995 2245.03419 1.30022 1291.53824 1.64560 1287.49261
12 1999 21.73 116.5645995 2532.94875 1.39917 1455.77248 1.77035 1450.83684
</TABLE>
SURRENDER CHARGE = 7.00%
FREE WITHDRAWAL AVAILABLE = 15.00% OF PRINCIPAL + 15.00% OF INTEREST
GROSS RETURN = 47.42%
WITHOUT WITH
SURRENDER SURRENDER
CHARGE CHARGE
WITHOUT DEATH BENEFIT CHARGE
ERV 1455.77 1369.15
TOTAL RETURN 45.58% 36.92%
WITH DEATH BENEFIT CHARGE
ERV 1450.84 1364.51
TOTAL RETURN 45.08% 36.45%
<TABLE>
<CAPTION>
Return for 3 Years
WITH DEATH BENEFIT CHARGE
FUND GROSS ADMIN/ ADMIN/
MONTH YEAR NAV SHARES VALUE MTHLY M&E ERV MTHLY M&E ERV
<S> <C> <C> <C> <C> <C> <C> <C> <C>
12 1996 10.66 100.5084986 1071.42059 1000.00000 1000.00000
1 1997 10.96 100.5084986 1101.57314 1.08333 1027.05926 1.37503 1026.76756
2 1997 10.85 100.5084986 1090.51721 1.11265 1015.63853 1.41184 1015.05057
3 1997 10.50 100.5084986 1055.33924 1.10028 981.77572 1.39573 980.91127
4 1997 10.76 100.5084986 1081.47144 1.06359 1005.02277 1.34879 1003.85172
5 1997 11.46 100.5084986 1151.82739 1.08877 1069.31652 1.38033 1067.77773
6 1997 11.86 100.5084986 1192.03079 1.15843 1105.48153 1.46823 1103.57923
7 1997 12.66 100.5084986 1272.43759 1.19760 1178.85266 1.51746 1176.50219
8 1997 12.54 100.5084986 1260.37657 1.27709 1166.40161 1.61773 1163.73278
9 1997 13.11 100.5084986 1317.66642 1.26360 1218.15627 1.60017 1215.02955
10 1997 12.85 100.5084986 1291.53421 1.31967 1192.67789 1.67071 1189.26215
11 1997 13.30 100.5084986 1336.76303 1.29207 1233.15275 1.63528 1229.27419
12 1997 11.68 116.0105495 1355.00322 1.33592 1248.64326 1.69029 1244.35739
1 1998 11.88 116.0105495 1378.20533 1.35270 1268.67144 1.71103 1263.95385
2 1998 12.88 116.0105495 1494.21588 1.37439 1374.08757 1.73798 1368.60929
3 1998 13.66 116.0105495 1584.70411 1.48859 1455.81235 1.88188 1449.60903
4 1998 13.95 116.0105495 1618.34717 1.57713 1485.14193 1.99326 1478.39077
5 1998 13.69 116.0105495 1588.18442 1.60890 1455.85296 2.03284 1448.80370
6 1998 13.87 116.0105495 1609.06632 1.57717 1473.41775 1.99215 1465.86083
7 1998 13.48 116.0105495 1563.82221 1.59620 1430.39164 2.01561 1422.62779
8 1998 11.52 116.0105495 1336.44153 1.54959 1220.86225 1.95616 1213.82071
9 1998 11.94 116.0105495 1385.16596 1.32260 1264.05026 1.66904 1256.40554
10 1998 13.22 116.0105495 1533.65946 1.36939 1398.19044 1.72760 1389.36799
11 1998 13.95 116.0105495 1618.34717 1.51471 1473.88292 1.91043 1464.17758
12 1998 14.78 116.2477179 1718.14127 1.59671 1563.17205 2.01329 1552.45164
1 1999 15.69 116.2477179 1823.92669 1.69344 1657.72263 2.13467 1645.90093
2 1999 15.28 116.2477179 1776.26513 1.79587 1612.60832 2.26317 1600.62824
3 1999 15.42 116.2477179 1792.53981 1.74699 1625.63654 2.20092 1613.09277
4 1999 16.33 116.2477179 1898.32523 1.76111 1719.81118 2.21806 1706.07020
5 1999 16.49 116.2477179 1916.92487 1.86313 1734.79862 2.34590 1720.44023
6 1999 17.44 116.5645995 2032.88662 1.87937 1837.86353 2.36566 1822.15025
7 1999 17.28 116.5645995 2014.23628 1.99102 1819.01138 2.50552 1802.92776
8 1999 16.85 116.5645995 1964.11350 1.97060 1771.77603 2.47909 1755.58415
9 1999 16.99 116.5645995 1980.43255 1.91942 1784.57759 2.41399 1767.75662
10 1999 17.88 116.5645995 2084.17504 1.93329 1876.12718 2.43072 1857.92762
11 1999 19.26 116.5645995 2245.03419 2.03247 2018.89647 2.55471 1998.77001
12 1999 21.73 116.5645995 2532.94875 2.18714 2275.62284 2.74838 2252.35403
</TABLE>
SURRENDER CHARGE = 5.00%
FREE WITHDRAWAL AVAILABLE = 15.00% OF PRINCIPAL + 15.00% OF INTEREST
GROSS RETURN = 136.41%
GROSS ANNUAL RETURN = 33.22%
WITHOUT WITH
SURRENDER SURRENDER
CHARGE CHARGE
WITHOUT DEATH BENEFIT CHARGE
ERV 2275.62 2178.91
TOTAL RETURN 127.56% 117.89%
AVERAGE ANNUAL RETURN 31.53% 29.64%
WITH DEATH BENEFIT CHARGE
ERV 2252.35 2156.63
TOTAL RETURN 125.24% 115.66%
AVERAGE ANNUAL RETURN 31.08% 29.20%
<TABLE>
<CAPTION>
Return for Inception
WITH DEATH BENEFIT CHARGE
FUND GROSS ADMIN/ ADMIN/
MONTH YEAR NAV SHARES VALUE MTHLY M&E ERV MTHLY M&E ERV
<S> <C> <C> <C> <C> <C> <C> <C> <C>
7 1996 10.00 100.0000000 1000.00000 1000.00000 1000.00000
8 1996 9.96 100.0000000 996.00000 1.08333 994.91667 1.37503 994.62497
9 1996 10.46 100.0000000 1046.00000 1.07783 1043.78446 1.36764 1043.18830
10 1996 10.37 100.0000000 1037.00000 1.13077 1033.67275 1.43442 1032.77807
11 1996 10.80 100.5084986 1085.49178 1.11981 1080.88914 1.42010 1079.65233
12 1996 10.66 100.5084986 1071.42059 1.17096 1065.70665 1.48456 1064.17228
1 1997 10.96 100.5084986 1101.57314 1.15452 1094.54388 1.46327 1092.65757
2 1997 10.85 100.5084986 1090.51721 1.18576 1082.37274 1.50244 1080.18867
3 1997 10.50 100.5084986 1055.33924 1.17257 1046.28492 1.48530 1043.85858
4 1997 10.76 100.5084986 1081.47144 1.13348 1071.05945 1.43534 1068.27117
5 1997 11.46 100.5084986 1151.82739 1.16031 1139.57772 1.46891 1136.29945
6 1997 11.86 100.5084986 1192.03079 1.23454 1178.11902 1.56245 1174.39842
7 1997 12.66 100.5084986 1272.43759 1.27630 1256.31112 1.61484 1252.00101
8 1997 12.54 100.5084986 1260.37657 1.36100 1243.04195 1.72154 1238.41216
9 1997 13.11 100.5084986 1317.66642 1.34663 1298.19723 1.70286 1293.00076
10 1997 12.85 100.5084986 1291.53421 1.40638 1271.04476 1.77792 1265.57981
11 1997 13.30 100.5084986 1336.76303 1.37697 1314.17909 1.74021 1308.15951
12 1997 11.68 116.0105495 1355.00322 1.42369 1330.68742 1.79876 1324.21064
1 1998 11.88 116.0105495 1378.20533 1.44158 1352.03159 1.82083 1345.06464
2 1998 12.88 116.0105495 1494.21588 1.46470 1464.37426 1.84951 1456.43606
3 1998 13.66 116.0105495 1584.70411 1.58641 1551.46891 2.00265 1542.63374
4 1998 13.95 116.0105495 1618.34717 1.68076 1582.72563 2.12117 1573.26248
5 1998 13.69 116.0105495 1588.18442 1.71462 1551.51218 2.16329 1541.77673
6 1998 13.87 116.0105495 1609.06632 1.68080 1570.23110 2.11999 1559.92846
7 1998 13.48 116.0105495 1563.82221 1.70108 1524.37788 2.14495 1513.92106
8 1998 11.52 116.0105495 1336.44153 1.65141 1301.08102 2.08169 1291.71435
9 1998 11.94 116.0105495 1385.16596 1.40950 1347.10676 1.77615 1337.03195
10 1998 13.22 116.0105495 1533.65946 1.45937 1490.06085 1.83846 1478.52689
11 1998 13.95 116.0105495 1618.34717 1.61423 1570.72683 2.03302 1558.13718
12 1998 14.78 116.2477179 1718.14127 1.70162 1665.88284 2.14249 1652.07600
1 1999 15.69 116.2477179 1823.92669 1.80471 1766.64603 2.27166 1751.52214
2 1999 15.28 116.2477179 1776.26513 1.91387 1718.56741 2.40840 1703.34420
3 1999 15.42 116.2477179 1792.53981 1.86178 1732.45167 2.34215 1716.60860
4 1999 16.33 116.2477179 1898.32523 1.87682 1832.81421 2.36039 1815.55261
5 1999 16.49 116.2477179 1916.92487 1.98555 1848.78643 2.49645 1830.84480
6 1999 17.44 116.5645995 2032.88662 2.00285 1958.62338 2.51747 1939.08178
7 1999 17.28 116.5645995 2014.23628 2.12184 1938.53252 2.66630 1918.62573
8 1999 16.85 116.5645995 1964.11350 2.10008 1888.19349 2.63817 1868.24398
9 1999 16.99 116.5645995 1980.43255 2.04554 1901.83621 2.56890 1881.19758
10 1999 17.88 116.5645995 2084.17504 2.06032 1999.40121 2.58671 1977.15507
11 1999 19.26 116.5645995 2245.03419 2.16602 2151.55139 2.71865 2127.03563
12 1999 21.73 116.5645995 2532.94875 2.33085 2425.14639 2.92474 2396.89271
</TABLE>
SURRENDER CHARGE = 4.00%
FREE WITHDRAWAL AVAILABLE = 15.00% OF PRINCIPAL + 15.00% OF INTEREST
GROSS RETURN = 153.29%
GROSS ANNUAL RETURN = 31.64%
WITHOUT WITH
SURRENDER SURRENDER
CHARGE CHARGE
WITHOUT DEATH BENEFIT CHARGE
ERV 2425.15 2342.69
TOTAL RETURN 142.51% 134.27%
AVERAGE ANNUAL RETURN 29.96% 28.63%
WITH DEATH BENEFIT CHARGE
ERV 2396.89 2315.40
TOTAL RETURN 139.69% 131.54%
AVERAGE ANNUAL RETURN 29.51% 28.19%
<TABLE>
<CAPTION>
Return for Product Inception
WITH DEATH BENEFIT CHARGE
FUND GROSS ADMIN/ ADMIN/
MONTH YEAR NAV SHARES VALUE MTHLY M&E ERV MTHLY M&E ERV
<S> <C> <C> <C> <C> <C> <C> <C> <C>
5 1997 11.46 100.5084986 1151.82739 1000.00000 1000.00000
6 1997 11.86 100.5084986 1192.03079 1.08333 1033.82068 1.37503 1033.52898
7 1997 12.66 100.5084986 1272.43759 1.11997 1102.43566 1.42114 1101.82312
8 1997 12.54 100.5084986 1260.37657 1.19431 1090.79173 1.51504 1089.86426
9 1997 13.11 100.5084986 1317.66642 1.18169 1139.19148 1.49860 1137.90494
10 1997 12.85 100.5084986 1291.53421 1.23412 1115.36470 1.56466 1113.77314
11 1997 13.30 100.5084986 1336.76303 1.20831 1153.21585 1.53148 1151.24539
12 1997 11.68 116.0105495 1355.00322 1.24932 1167.70221 1.58300 1165.37118
1 1998 11.88 116.0105495 1378.20533 1.26501 1186.43210 1.60242 1183.72374
2 1998 12.88 116.0105495 1494.21588 1.28530 1285.01482 1.62766 1281.73613
3 1998 13.66 116.0105495 1584.70411 1.39210 1361.44194 1.76243 1357.59437
4 1998 13.95 116.0105495 1618.34717 1.47490 1388.87028 1.86674 1384.54918
5 1998 13.69 116.0105495 1588.18442 1.50461 1361.47991 1.90380 1356.84016
6 1998 13.87 116.0105495 1609.06632 1.47494 1377.90610 1.86570 1372.81458
7 1998 13.48 116.0105495 1563.82221 1.49273 1337.66907 1.88767 1332.32578
8 1998 11.52 116.0105495 1336.44153 1.44914 1141.72206 1.83199 1136.77283
9 1998 11.94 116.0105495 1385.16596 1.23687 1182.11047 1.56310 1176.65457
10 1998 13.22 116.0105495 1533.65946 1.28062 1307.55526 1.61794 1301.17716
11 1998 13.95 116.0105495 1618.34717 1.41652 1378.34112 1.78916 1371.23817
12 1998 14.78 116.2477179 1718.14127 1.49320 1461.84223 1.88550 1453.90899
1 1999 15.69 116.2477179 1823.92669 1.58366 1550.26374 1.99917 1541.42655
2 1999 15.28 116.2477179 1776.26513 1.67945 1508.07389 2.11951 1499.02756
3 1999 15.42 116.2477179 1792.53981 1.63375 1520.25758 2.06121 1510.70090
4 1999 16.33 116.2477179 1898.32523 1.64695 1608.32752 2.07726 1597.77654
5 1999 16.49 116.2477179 1916.92487 1.74235 1622.34343 2.19700 1611.23443
6 1999 17.44 116.5645995 2032.88662 1.75754 1718.72733 2.21550 1706.48835
7 1999 17.28 116.5645995 2014.23628 1.86195 1701.09724 2.34648 1688.48601
8 1999 16.85 116.5645995 1964.11350 1.84286 1656.92384 2.32172 1644.14756
9 1999 16.99 116.5645995 1980.43255 1.79500 1668.89556 2.26076 1655.54738
10 1999 17.88 116.5645995 2084.17504 1.80797 1754.51061 2.27643 1739.99474
11 1999 19.26 116.5645995 2245.03419 1.90072 1888.02514 2.39255 1871.89708
12 1999 21.73 116.5645995 2532.94875 2.04536 2128.10969 2.57392 2109.38473
</TABLE>
SURRENDER CHARGE = 5.00%
FREE WITHDRAWAL AVAILABLE = 15.00% OF PRINCIPAL + 15.00% OF INTEREST
GROSS RETURN = 119.91%
GROSS ANNUAL RETURN = 34.35%
WITHOUT WITH
SURRENDER SURRENDER
CHARGE CHARGE
WITHOUT DEATH BENEFIT CHARGE
ERV 2128.11 2037.67
TOTAL RETURN 112.81% 103.77%
AVERAGE ANNUAL RETURN 32.71% 30.57%
WITH DEATH BENEFIT CHARGE
ERV 2109.38 2019.74
TOTAL RETURN 110.94% 101.97%
AVERAGE ANNUAL RETURN 32.27% 30.14%
<PAGE>
MFS Emerging Growth Series 12/1999
Assume ($10000 @ $10.00 on 7/24/1995)
DATE DIV PR/SH REINVEST NAV REINVEST SHARES SHARE BASIS
(incl cap gain)
100.000000
12/95 0.3276700000 11.30 2.900 102.899735
12/96 0.1128000000 13.27 0.875 103.774421
4/98 0.1585900000 18.55 0.887 104.661622
M and E Charge = 0.0010833
Death Benefit Charge = 0.0002917
<TABLE>
<CAPTION>
Return for YTD
WITH DEATH BENEFIT CHARGE
FUND GROSS ADMIN/ ADMIN/
MONTH YEAR NAV SHARES VALUE MTHLY M&E ERV MTHLY M&E ERV
<S> <C> <C> <C> <C> <C> <C> <C> <C>
12 1998 21.47 104.6616224 2247.08503 1000.00000 1000.00000
1 1999 23.50 104.6616224 2459.54813 1.08333 1093.46720 1.37503 1093.17550
2 1999 21.80 104.6616224 2281.62337 1.18459 1013.18073 1.50315 1012.59157
3 1999 22.25 104.6616224 2328.72110 1.09761 1032.99740 1.39235 1032.10134
4 1999 22.57 104.6616224 2362.21282 1.11908 1046.73491 1.41917 1045.52587
5 1999 22.32 104.6616224 2336.04741 1.13396 1034.00663 1.43763 1032.50731
6 1999 24.22 104.6616224 2534.90449 1.12017 1120.90673 1.41973 1118.98023
7 1999 23.81 104.6616224 2491.99323 1.21432 1100.71753 1.53864 1098.49932
8 1999 23.94 104.6616224 2505.59924 1.19244 1105.53489 1.51047 1102.98653
9 1999 24.47 104.6616224 2561.06990 1.19766 1128.81231 1.51664 1125.88856
10 1999 25.82 104.6616224 2702.36309 1.22288 1189.86554 1.54813 1186.45524
11 1999 29.71 104.6616224 3109.49680 1.28902 1367.83977 1.63142 1363.57328
12 1999 37.94 104.6616224 3970.86195 1.48183 1745.26475 1.87496 1739.42326
</TABLE>
SURRENDER CHARGE = 7.00%
FREE WITHDRAWAL AVAILABLE = 15.00% OF PRINCIPAL + 15.00% OF INTEREST
GROSS RETURN = 76.71%
WITHOUT WITH
SURRENDER SURRENDER
CHARGE CHARGE
WITHOUT DEATH BENEFIT CHARGE
ERV 1745.26 1641.42
TOTAL RETURN 74.53% 64.14%
WITH DEATH BENEFIT CHARGE
ERV 1739.42 1635.93
TOTAL RETURN 73.94% 63.59%
<TABLE>
<CAPTION>
Return for 1 Year
WITH DEATH BENEFIT CHARGE
FUND GROSS ADMIN/ ADMIN/
MONTH YEAR NAV SHARES VALUE MTHLY M&E ERV MTHLY M&E ERV
<S> <C> <C> <C> <C> <C> <C> <C> <C>
12 1998 21.47 104.6616224 2247.08503 1000.00000 1000.00000
1 1999 23.50 104.6616224 2459.54813 1.08333 1093.46720 1.37503 1093.17550
2 1999 21.80 104.6616224 2281.62337 1.18459 1013.18073 1.50315 1012.59157
3 1999 22.25 104.6616224 2328.72110 1.09761 1032.99740 1.39235 1032.10134
4 1999 22.57 104.6616224 2362.21282 1.11908 1046.73491 1.41917 1045.52587
5 1999 22.32 104.6616224 2336.04741 1.13396 1034.00663 1.43763 1032.50731
6 1999 24.22 104.6616224 2534.90449 1.12017 1120.90673 1.41973 1118.98023
7 1999 23.81 104.6616224 2491.99323 1.21432 1100.71753 1.53864 1098.49932
8 1999 23.94 104.6616224 2505.59924 1.19244 1105.53489 1.51047 1102.98653
9 1999 24.47 104.6616224 2561.06990 1.19766 1128.81231 1.51664 1125.88856
10 1999 25.82 104.6616224 2702.36309 1.22288 1189.86554 1.54813 1186.45524
11 1999 29.71 104.6616224 3109.49680 1.28902 1367.83977 1.63142 1363.57328
12 1999 37.94 104.6616224 3970.86195 1.48183 1745.26475 1.87496 1739.42326
</TABLE>
SURRENDER CHARGE = 7.00%
FREE WITHDRAWAL AVAILABLE = 15.00% OF PRINCIPAL + 15.00% OF INTEREST
GROSS RETURN = 76.71%
WITHOUT WITH
SURRENDER SURRENDER
CHARGE CHARGE
WITHOUT DEATH BENEFIT CHARGE
ERV 1745.26 1641.42
TOTAL RETURN 74.53% 64.14%
WITH DEATH BENEFIT CHARGE
ERV 1739.42 1635.93
TOTAL RETURN 73.94% 63.59%
<TABLE>
<CAPTION>
Return for 3 Years
WITH DEATH BENEFIT CHARGE
FUND GROSS ADMIN/ ADMIN/
MONTH YEAR NAV SHARES VALUE MTHLY M&E ERV MTHLY M&E ERV
<S> <C> <C> <C> <C> <C> <C> <C> <C>
12 1996 13.24 103.7744210 1373.97333 1000.00000 1000.00000
1 1997 14.07 103.7744210 1460.10610 1.08333 1061.60549 1.37503 1061.31379
2 1997 13.44 103.7744210 1394.72822 1.15007 1012.92084 1.45934 1012.33293
3 1997 12.39 103.7744210 1285.76508 1.09733 932.68907 1.39199 931.85243
4 1997 12.88 103.7744210 1336.61454 1.01041 968.56467 1.28133 967.42402
5 1997 14.09 103.7744210 1462.18159 1.04928 1058.50632 1.33024 1056.97756
6 1997 14.67 103.7744210 1522.37076 1.14672 1100.93190 1.45338 1099.03355
7 1997 16.03 103.7744210 1663.50397 1.19268 1201.80244 1.51121 1199.40957
8 1997 15.57 103.7744210 1615.76774 1.30195 1166.01334 1.64923 1163.34185
9 1997 16.68 103.7744210 1730.95734 1.26318 1247.87635 1.59963 1244.67796
10 1997 16.10 103.7744210 1670.76818 1.35187 1203.13310 1.71147 1199.68632
11 1997 16.30 103.7744210 1691.52306 1.30339 1216.77545 1.64961 1212.93964
12 1997 16.14 103.7744210 1674.91916 1.31817 1203.51347 1.66783 1199.36565
1 1998 16.55 103.7744210 1717.46667 1.30381 1232.78219 1.64917 1228.18364
2 1998 18.13 103.7744210 1881.43025 1.33551 1349.13827 1.68879 1343.74743
3 1998 19.48 103.7744210 2021.52572 1.46157 1448.13653 1.84770 1441.95814
4 1998 19.07 104.6616224 1995.89714 1.56881 1428.20847 1.98274 1421.69449
5 1998 18.25 104.6616224 1910.07461 1.54723 1365.24903 1.95488 1358.60749
6 1998 19.45 104.6616224 2035.66856 1.47902 1453.53981 1.86813 1446.07246
7 1998 18.96 104.6616224 1984.38436 1.57467 1415.34640 1.98840 1407.65344
8 1998 15.41 104.6616224 1612.83560 1.53329 1148.80890 1.93557 1142.15407
9 1998 16.90 104.6616224 1768.78142 1.24454 1258.64322 1.57050 1251.01897
10 1998 17.31 104.6616224 1811.69268 1.36353 1287.81482 1.72019 1279.64894
11 1998 18.98 104.6616224 1986.47759 1.39513 1410.66295 1.75956 1401.34483
12 1998 21.47 104.6616224 2247.08503 1.52822 1594.20063 1.92690 1583.26138
1 1999 23.50 104.6616224 2459.54813 1.72705 1743.20610 2.17704 1730.78255
2 1999 21.80 104.6616224 2281.62337 1.88847 1615.21335 2.37988 1603.19712
3 1999 22.25 104.6616224 2328.72110 1.74981 1646.80510 2.20445 1634.08619
4 1999 22.57 104.6616224 2362.21282 1.78404 1668.70545 2.24692 1655.34073
5 1999 22.32 104.6616224 2336.04741 1.80776 1648.41402 2.27615 1634.72895
6 1999 24.22 104.6616224 2534.90449 1.78578 1786.95022 2.24781 1771.63818
7 1999 23.81 104.6616224 2491.99323 1.93586 1754.76458 2.43606 1739.21155
8 1999 23.94 104.6616224 2505.59924 1.90099 1762.44441 2.39147 1746.31598
9 1999 24.47 104.6616224 2561.06990 1.90931 1799.55328 2.40124 1782.57587
10 1999 25.82 104.6616224 2702.36309 1.94952 1896.88440 2.45110 1878.46875
11 1999 29.71 104.6616224 3109.49680 2.05496 2180.61101 2.58296 2158.89290
12 1999 37.94 104.6616224 3970.86195 2.36233 2782.30216 2.96855 2753.96167
</TABLE>
SURRENDER CHARGE = 5.00%
FREE WITHDRAWAL AVAILABLE = 15.00% OF PRINCIPAL + 15.00% OF INTEREST
GROSS RETURN = 189.01%
GROSS ANNUAL RETURN = 42.44%
WITHOUT WITH
SURRENDER SURRENDER
CHARGE CHARGE
WITHOUT DEATH BENEFIT CHARGE
ERV 2782.30 2664.05
TOTAL RETURN 178.23% 166.41%
AVERAGE ANNUAL RETURN 40.65% 38.63%
WITH DEATH BENEFIT CHARGE
ERV 2753.96 2636.92
TOTAL RETURN 175.40% 163.69%
AVERAGE ANNUAL RETURN 40.17% 38.15%
<TABLE>
<CAPTION>
Return for Inception
WITH DEATH BENEFIT CHARGE
FUND GROSS ADMIN/ ADMIN/
MONTH YEAR NAV SHARES VALUE MTHLY M&E ERV MTHLY M&E ERV
<S> <C> <C> <C> <C> <C> <C> <C> <C>
6 1995 10.00 100.0000000 1000.00000 1000.00000 1000.00000
7 1995 10.07 100.0000000 1007.00000 1.08333 1005.91667 1.37503 1005.62497
8 1995 10.37 100.0000000 1037.00000 1.08974 1034.79465 1.38277 1034.20123
9 1995 10.87 100.0000000 1087.00000 1.12103 1083.56729 1.42206 1082.64423
10 1995 11.06 100.0000000 1106.00000 1.17386 1101.33342 1.48867 1100.07942
11 1995 11.69 100.0000000 1169.00000 1.19311 1162.87449 1.51265 1161.22953
12 1995 11.41 102.8997345 1174.08597 1.25978 1166.67403 1.59673 1164.68496
1 1996 11.61 102.8997345 1194.66592 1.26390 1185.86016 1.60148 1183.49864
2 1996 12.07 102.8997345 1241.99980 1.28468 1231.56047 1.62735 1228.76271
3 1996 12.19 102.8997345 1254.34776 1.33419 1242.47046 1.68959 1239.28949
4 1996 13.05 102.8997345 1342.84154 1.34601 1328.78028 1.70406 1325.01684
5 1996 13.42 102.8997345 1380.91444 1.43951 1365.01500 1.82194 1360.76242
6 1996 13.13 102.8997345 1351.07351 1.47877 1334.03889 1.87109 1329.48588
7 1996 12.18 102.8997345 1253.31877 1.44521 1236.07144 1.82809 1231.46498
8 1996 12.51 102.8997345 1287.27568 1.33908 1268.22199 1.69331 1263.13649
9 1996 13.58 102.8997345 1397.37839 1.37391 1375.32110 1.73685 1369.43769
10 1996 13.38 102.8997345 1376.79845 1.48993 1353.57608 1.88302 1347.38622
11 1996 13.97 102.8997345 1437.50929 1.46637 1411.79654 1.85270 1404.94741
12 1996 13.24 103.7744210 1373.97333 1.52945 1347.86760 1.93185 1340.91880
1 1997 14.07 103.7744210 1460.10610 1.46019 1430.90365 1.84381 1423.13561
2 1997 13.44 103.7744210 1394.72822 1.55015 1365.28319 1.95686 1357.45626
3 1997 12.39 103.7744210 1285.76508 1.47906 1257.14138 1.86655 1249.53844
4 1997 12.88 103.7744210 1336.61454 1.36190 1305.49694 1.71816 1297.23706
5 1997 14.09 103.7744210 1462.18159 1.41429 1426.72638 1.78374 1417.32108
6 1997 14.67 103.7744210 1522.37076 1.54562 1483.91045 1.94886 1473.71475
7 1997 16.03 103.7744210 1663.50397 1.60757 1619.87058 2.02641 1608.31084
8 1997 15.57 103.7744210 1615.76774 1.75486 1571.63160 2.21148 1559.94696
9 1997 16.68 103.7744210 1730.95734 1.70260 1681.97210 2.14498 1669.01207
10 1997 16.10 103.7744210 1670.76818 1.82214 1621.66412 2.29495 1608.68193
11 1997 16.30 103.7744210 1691.52306 1.75680 1640.05222 2.21199 1626.45357
12 1997 16.14 103.7744210 1674.91916 1.77672 1622.17682 2.23643 1608.25195
1 1998 16.55 103.7744210 1717.46667 1.75736 1661.62718 2.21140 1646.89453
2 1998 18.13 103.7744210 1881.43025 1.80010 1818.45977 2.26453 1801.85618
3 1998 19.48 103.7744210 2021.52572 1.97000 1951.89632 2.47761 1933.54878
4 1998 19.07 104.6616224 1995.89714 2.11455 1925.03593 2.65869 1906.37686
5 1998 18.25 104.6616224 1910.07461 2.08546 1840.17494 2.62133 1821.78232
6 1998 19.45 104.6616224 2035.66856 1.99352 1959.17922 2.50501 1939.06574
7 1998 18.96 104.6616224 1984.38436 2.12244 1907.69956 2.66628 1887.54896
8 1998 15.41 104.6616224 1612.83560 2.06667 1548.44230 2.59544 1531.53586
9 1998 16.90 104.6616224 1768.78142 1.67748 1696.48443 2.10591 1677.51485
10 1998 17.31 104.6616224 1811.69268 1.83786 1735.80388 2.30664 1715.90532
11 1998 18.98 104.6616224 1986.47759 1.88045 1901.38689 2.35943 1879.08962
12 1998 21.47 104.6616224 2247.08503 2.05984 2148.77138 2.58381 2123.02494
1 1999 23.50 104.6616224 2459.54813 2.32784 2349.61103 2.91923 2320.83886
2 1999 21.80 104.6616224 2281.62337 2.54541 2177.09375 3.19123 2149.75715
3 1999 22.25 104.6616224 2328.72110 2.35852 2219.67525 2.95599 2191.17689
4 1999 22.57 104.6616224 2362.21282 2.40465 2249.19402 3.01294 2219.67750
5 1999 22.32 104.6616224 2336.04741 2.43663 2221.84385 3.05213 2192.03878
6 1999 24.22 104.6616224 2534.90449 2.40700 2408.57231 3.01413 2375.62294
7 1999 23.81 104.6616224 2491.99323 2.60929 2365.19033 3.26656 2332.14145
8 1999 23.94 104.6616224 2505.59924 2.56229 2375.54172 3.20677 2341.66792
9 1999 24.47 104.6616224 2561.06990 2.57350 2425.55958 3.21987 2390.28949
10 1999 25.82 104.6616224 2702.36309 2.62769 2556.74903 3.28673 2518.87406
11 1999 29.71 104.6616224 3109.49680 2.76981 2939.17494 3.46354 2894.90007
12 1999 37.94 104.6616224 3970.86195 3.18411 3750.17494 3.98058 3692.83896
</TABLE>
SURRENDER CHARGE = 3.00%
FREE WITHDRAWAL AVAILABLE = 15.00% OF PRINCIPAL + 15.00% OF INTEREST
GROSS RETURN = 297.09%
GROSS ANNUAL RETURN = 36.44%
WITHOUT WITH
SURRENDER SURRENDER
CHARGE CHARGE
WITHOUT DEATH BENEFIT CHARGE
ERV 3750.17 3654.55
TOTAL RETURN 275.02% 265.45%
AVERAGE ANNUAL RETURN 34.69% 33.91%
WITH DEATH BENEFIT CHARGE
ERV 3692.84 3598.67
TOTAL RETURN 269.28% 259.87%
AVERAGE ANNUAL RETURN 34.22% 33.45%
<TABLE>
<CAPTION>
Return for Product Inception
WITH DEATH BENEFIT CHARGE
FUND GROSS ADMIN/ ADMIN/
MONTH YEAR NAV SHARES VALUE MTHLY M&E ERV MTHLY M&E ERV
<S> <C> <C> <C> <C> <C> <C> <C> <C>
6 1995 10.00 100.0000000 1000.00000 1000.00000 1000.00000
7 1995 10.07 100.0000000 1007.00000 1.08333 1005.91667 1.37503 1005.62497
8 1995 10.37 100.0000000 1037.00000 1.08974 1034.79465 1.38277 1034.20123
9 1995 10.87 100.0000000 1087.00000 1.12103 1083.56729 1.42206 1082.64423
10 1995 11.06 100.0000000 1106.00000 1.17386 1101.33342 1.48867 1100.07942
11 1995 11.69 100.0000000 1169.00000 1.19311 1162.87449 1.51265 1161.22953
12 1995 11.41 102.8997345 1174.08597 1.25978 1166.67403 1.59673 1164.68496
1 1996 11.61 102.8997345 1194.66592 1.26390 1185.86016 1.60148 1183.49864
2 1996 12.07 102.8997345 1241.99980 1.28468 1231.56047 1.62735 1228.76271
3 1996 12.19 102.8997345 1254.34776 1.33419 1242.47046 1.68959 1239.28949
4 1996 13.05 102.8997345 1342.84154 1.34601 1328.78028 1.70406 1325.01684
5 1996 13.42 102.8997345 1380.91444 1.43951 1365.01500 1.82194 1360.76242
6 1996 13.13 102.8997345 1351.07351 1.47877 1334.03889 1.87109 1329.48588
7 1996 12.18 102.8997345 1253.31877 1.44521 1236.07144 1.82809 1231.46498
8 1996 12.51 102.8997345 1287.27568 1.33908 1268.22199 1.69331 1263.13649
9 1996 13.58 102.8997345 1397.37839 1.37391 1375.32110 1.73685 1369.43769
10 1996 13.38 102.8997345 1376.79845 1.48993 1353.57608 1.88302 1347.38622
11 1996 13.97 102.8997345 1437.50929 1.46637 1411.79654 1.85270 1404.94741
12 1996 13.24 103.7744210 1373.97333 1.52945 1347.86760 1.93185 1340.91880
1 1997 14.07 103.7744210 1460.10610 1.46019 1430.90365 1.84381 1423.13561
2 1997 13.44 103.7744210 1394.72822 1.55015 1365.28319 1.95686 1357.45626
3 1997 12.39 103.7744210 1285.76508 1.47906 1257.14138 1.86655 1249.53844
4 1997 12.88 103.7744210 1336.61454 1.36190 1305.49694 1.71816 1297.23706
5 1997 14.09 103.7744210 1462.18159 1.41429 1426.72638 1.78374 1417.32108
6 1997 14.67 103.7744210 1522.37076 1.54562 1483.91045 1.94886 1473.71475
7 1997 16.03 103.7744210 1663.50397 1.60757 1619.87058 2.02641 1608.31084
8 1997 15.57 103.7744210 1615.76774 1.75486 1571.63160 2.21148 1559.94696
9 1997 16.68 103.7744210 1730.95734 1.70260 1681.97210 2.14498 1669.01207
10 1997 16.10 103.7744210 1670.76818 1.82214 1621.66412 2.29495 1608.68193
11 1997 16.30 103.7744210 1691.52306 1.75680 1640.05222 2.21199 1626.45357
12 1997 16.14 103.7744210 1674.91916 1.77672 1622.17682 2.23643 1608.25195
1 1998 16.55 103.7744210 1717.46667 1.75736 1661.62718 2.21140 1646.89453
2 1998 18.13 103.7744210 1881.43025 1.80010 1818.45977 2.26453 1801.85618
3 1998 19.48 103.7744210 2021.52572 1.97000 1951.89632 2.47761 1933.54878
4 1998 19.07 104.6616224 1995.89714 2.11455 1925.03593 2.65869 1906.37686
5 1998 18.25 104.6616224 1910.07461 2.08546 1840.17494 2.62133 1821.78232
6 1998 19.45 104.6616224 2035.66856 1.99352 1959.17922 2.50501 1939.06574
7 1998 18.96 104.6616224 1984.38436 2.12244 1907.69956 2.66628 1887.54896
8 1998 15.41 104.6616224 1612.83560 2.06667 1548.44230 2.59544 1531.53586
9 1998 16.90 104.6616224 1768.78142 1.67748 1696.48443 2.10591 1677.51485
10 1998 17.31 104.6616224 1811.69268 1.83786 1735.80388 2.30664 1715.90532
11 1998 18.98 104.6616224 1986.47759 1.88045 1901.38689 2.35943 1879.08962
12 1998 21.47 104.6616224 2247.08503 2.05984 2148.77138 2.58381 2123.02494
1 1999 23.50 104.6616224 2459.54813 2.32784 2349.61103 2.91923 2320.83886
2 1999 21.80 104.6616224 2281.62337 2.54541 2177.09375 3.19123 2149.75715
3 1999 22.25 104.6616224 2328.72110 2.35852 2219.67525 2.95599 2191.17689
4 1999 22.57 104.6616224 2362.21282 2.40465 2249.19402 3.01294 2219.67750
5 1999 22.32 104.6616224 2336.04741 2.43663 2221.84385 3.05213 2192.03878
6 1999 24.22 104.6616224 2534.90449 2.40700 2408.57231 3.01413 2375.62294
7 1999 23.81 104.6616224 2491.99323 2.60929 2365.19033 3.26656 2332.14145
8 1999 23.94 104.6616224 2505.59924 2.56229 2375.54172 3.20677 2341.66792
9 1999 24.47 104.6616224 2561.06990 2.57350 2425.55958 3.21987 2390.28949
10 1999 25.82 104.6616224 2702.36309 2.62769 2556.74903 3.28673 2518.87406
11 1999 29.71 104.6616224 3109.49680 2.76981 2939.17494 3.46354 2894.90007
12 1999 37.94 104.6616224 3970.86195 3.18411 3750.17494 3.98058 3692.83896
</TABLE>
SURRENDER CHARGE = 3.00%
FREE WITHDRAWAL AVAILABLE = 15.00% OF PRINCIPAL + 15.00% OF INTEREST
GROSS RETURN = 297.09%
GROSS ANNUAL RETURN = 35.10%
WITHOUT WITH
SURRENDER SURRENDER
CHARGE CHARGE
WITHOUT DEATH BENEFIT CHARGE
ERV 3750.17 3654.55
TOTAL RETURN 275.02% 265.45%
AVERAGE ANNUAL RETURN 33.43% 32.68%
WITH DEATH BENEFIT CHARGE
ERV 3692.84 3598.67
TOTAL RETURN 269.28% 259.87%
AVERAGE ANNUAL RETURN 32.98% 32.23%
<PAGE>
MFS Global Governments Series 12/1999
Assume ($10000 @ $10.00 on 6/14/1994)
DATE DIV PR/SH REINVEST NAV REINVEST SHARES SHARE BASIS
(incl cap gain)
100.000000
12/94 0.2600000000 9.86 2.637 102.636917
12/95 1.0600000000 10.15 10.719 113.355649
4/97 0.2459000000 10.02 2.782 116.137501
4/98 0.1280000000 10.20 1.457 117.594913
4/99 0.5925000000 10.28 6.778 124.372635
M and E Charge = 0.0010833
Death Benefit Charge = 0.0002917
<TABLE>
<CAPTION>
Return for YTD
WITH DEATH BENEFIT CHARGE
FUND GROSS ADMIN/ ADMIN/
MONTH YEAR NAV SHARES VALUE MTHLY M&E ERV MTHLY M&E ERV
<S> <C> <C> <C> <C> <C> <C> <C> <C>
12 1998 10.88 117.5949125 1279.43265 1000.00000 1000.00000
1 1999 10.97 117.5949125 1290.01619 1.08333 1007.18873 1.37503 1006.89703
2 1999 10.72 117.5949125 1260.61746 1.09112 983.14435 1.38452 982.56590
3 1999 10.79 117.5949125 1268.84911 1.06507 988.49906 1.35106 987.63085
4 1999 10.25 124.3726349 1274.81951 1.07087 992.07944 1.35803 990.91999
5 1999 10.09 124.3726349 1254.91989 1.07475 975.51857 1.36255 974.08942
6 1999 9.99 124.3726349 1242.48262 1.05681 964.79359 1.33941 963.09601
7 1999 10.01 124.3726349 1244.97007 1.04519 965.67991 1.32429 963.69984
8 1999 9.99 124.3726349 1242.48262 1.04615 962.70433 1.32512 960.44925
9 1999 10.13 124.3726349 1259.89479 1.04293 975.15275 1.32065 972.58835
10 1999 10.11 124.3726349 1257.40734 1.05642 972.17106 1.33734 969.33079
11 1999 10.04 124.3726349 1248.70125 1.05319 964.38672 1.33286 961.28644
12 1999 10.03 124.3726349 1247.45753 1.04475 962.38142 1.32180 959.00718
</TABLE>
SURRENDER CHARGE = 7.00%
FREE WITHDRAWAL AVAILABLE = 15.00% OF PRINCIPAL + 15.00% OF INTEREST
GROSS RETURN = -2.50%
WITHOUT WITH
SURRENDER SURRENDER
CHARGE CHARGE
WITHOUT DEATH BENEFIT CHARGE
ERV 962.38 905.12
TOTAL RETURN -3.76% -9.49%
WITH DEATH BENEFIT CHARGE
ERV 959.01 901.95
TOTAL RETURN -4.10% -9.81%
<TABLE>
<CAPTION>
Return for 1 Year
WITH DEATH BENEFIT CHARGE
FUND GROSS ADMIN/ ADMIN/
MONTH YEAR NAV SHARES VALUE MTHLY M&E ERV MTHLY M&E ERV
<S> <C> <C> <C> <C> <C> <C> <C> <C>
12 1998 10.88 117.5949125 1279.43265 1000.00000 1000.00000
1 1999 10.97 117.5949125 1290.01619 1.08333 1007.18873 1.37503 1006.89703
2 1999 10.72 117.5949125 1260.61746 1.09112 983.14435 1.38452 982.56590
3 1999 10.79 117.5949125 1268.84911 1.06507 988.49906 1.35106 987.63085
4 1999 10.25 124.3726349 1274.81951 1.07087 992.07944 1.35803 990.91999
5 1999 10.09 124.3726349 1254.91989 1.07475 975.51857 1.36255 974.08942
6 1999 9.99 124.3726349 1242.48262 1.05681 964.79359 1.33941 963.09601
7 1999 10.01 124.3726349 1244.97007 1.04519 965.67991 1.32429 963.69984
8 1999 9.99 124.3726349 1242.48262 1.04615 962.70433 1.32512 960.44925
9 1999 10.13 124.3726349 1259.89479 1.04293 975.15275 1.32065 972.58835
10 1999 10.11 124.3726349 1257.40734 1.05642 972.17106 1.33734 969.33079
11 1999 10.04 124.3726349 1248.70125 1.05319 964.38672 1.33286 961.28644
12 1999 10.03 124.3726349 1247.45753 1.04475 962.38142 1.32180 959.00718
</TABLE>
SURRENDER CHARGE = 7.00%
FREE WITHDRAWAL AVAILABLE = 15.00% OF PRINCIPAL + 15.00% OF INTEREST
GROSS RETURN = -2.50%
WITHOUT WITH
SURRENDER SURRENDER
CHARGE CHARGE
WITHOUT DEATH BENEFIT CHARGE
ERV 962.38 905.12
TOTAL RETURN -3.76% -9.49%
WITH DEATH BENEFIT CHARGE
ERV 959.01 901.95
TOTAL RETURN -4.10% -9.81%
<TABLE>
<CAPTION>
Return for 3 Years
WITH DEATH BENEFIT CHARGE
FUND GROSS ADMIN/ ADMIN/
MONTH YEAR NAV SHARES VALUE MTHLY M&E ERV MTHLY M&E ERV
<S> <C> <C> <C> <C> <C> <C> <C> <C>
12 1996 10.58 113.3556490 1199.30277 1000.00000 1000.00000
1 1997 10.33 113.3556490 1170.96385 1.08333 975.28718 1.37503 974.99548
2 1997 10.33 113.3556490 1170.96385 1.05656 974.23062 1.34065 973.65483
3 1997 10.24 113.3556490 1160.76185 1.05542 964.68723 1.33881 963.83306
4 1997 9.87 116.1375007 1146.27713 1.04508 951.60418 1.32530 950.48045
5 1997 10.08 116.1375007 1170.66601 1.03090 970.82017 1.30694 969.39649
6 1997 10.15 116.1375007 1178.79563 1.05172 976.51026 1.33295 974.79546
7 1997 10.04 116.1375007 1166.02051 1.05789 964.86950 1.34038 962.89080
8 1997 10.06 116.1375007 1168.34326 1.04528 965.74628 1.32401 963.48490
9 1997 10.30 116.1375007 1196.21626 1.04623 987.73972 1.32482 985.14580
10 1997 10.41 116.1375007 1208.99138 1.07005 997.21835 1.35461 994.31217
11 1997 10.24 116.1375007 1189.24801 1.08032 979.85300 1.36721 976.70739
12 1997 10.21 116.1375007 1185.76388 1.06151 975.92083 1.34301 972.50293
1 1998 10.28 116.1375007 1193.89351 1.05725 981.55452 1.33722 977.83321
2 1998 10.31 116.1375007 1197.37763 1.06335 983.35563 1.34455 979.34226
3 1998 10.20 116.1375007 1184.60251 1.06530 971.79866 1.34663 967.54678
4 1998 10.24 117.5949125 1204.17190 1.05278 986.79979 1.33041 982.20005
5 1998 10.33 117.5949125 1214.75545 1.06903 994.40381 1.35056 989.48211
6 1998 10.30 117.5949125 1211.22760 1.07727 990.43862 1.36057 985.24792
7 1998 10.26 117.5949125 1206.52380 1.07298 985.51929 1.35475 980.06697
8 1998 10.21 117.5949125 1200.64406 1.06765 979.64891 1.34762 973.94319
9 1998 10.72 117.5949125 1260.61746 1.06129 1027.52210 1.33920 1021.25345
10 1998 10.74 117.5949125 1262.96936 1.11315 1028.32597 1.40426 1021.75451
11 1998 10.74 117.5949125 1262.96936 1.11402 1027.21195 1.40495 1020.34957
12 1998 10.88 117.5949125 1279.43265 1.11281 1039.48924 1.40301 1032.24720
1 1999 10.97 117.5949125 1290.01619 1.12611 1046.96184 1.41937 1039.36664
2 1999 10.72 117.5949125 1260.61746 1.13421 1021.96797 1.42916 1014.25090
3 1999 10.79 117.5949125 1268.84911 1.10713 1027.53414 1.39463 1019.47918
4 1999 10.25 124.3726349 1274.81951 1.11316 1031.25590 1.40182 1022.87439
5 1999 10.09 124.3726349 1254.91989 1.11719 1014.04105 1.40649 1005.50108
6 1999 9.99 124.3726349 1242.48262 1.09854 1002.89255 1.38260 994.15316
7 1999 10.01 124.3726349 1244.97007 1.08647 1003.81388 1.36699 994.77646
8 1999 9.99 124.3726349 1242.48262 1.08746 1000.72079 1.36785 991.42105
9 1999 10.13 124.3726349 1259.89479 1.08411 1013.66079 1.36324 1003.95160
10 1999 10.11 124.3726349 1257.40734 1.09813 1010.56135 1.38047 1000.58900
11 1999 10.04 124.3726349 1248.70125 1.09477 1002.46961 1.37584 992.28524
12 1999 10.03 124.3726349 1247.45753 1.08601 1000.38513 1.36443 989.93248
</TABLE>
SURRENDER CHARGE = 5.00%
FREE WITHDRAWAL AVAILABLE = 15.00% OF PRINCIPAL + 15.00% OF INTEREST
GROSS RETURN = 4.02%
GROSS ANNUAL RETURN = 1.32%
WITHOUT WITH
SURRENDER SURRENDER
CHARGE CHARGE
WITHOUT DEATH BENEFIT CHARGE
ERV 1000.39 957.87
TOTAL RETURN 0.04% -4.21%
AVERAGE ANNUAL RETURN 0.01% -1.42%
WITH DEATH BENEFIT CHARGE
ERV 989.93 947.86
TOTAL RETURN -1.01% -5.21%
AVERAGE ANNUAL RETURN -0.34% -1.77%
<TABLE>
<CAPTION>
Return for 5 Years
WITH DEATH BENEFIT CHARGE
FUND GROSS ADMIN/ ADMIN/
MONTH YEAR NAV SHARES VALUE MTHLY M&E ERV MTHLY M&E ERV
<S> <C> <C> <C> <C> <C> <C> <C> <C>
12 1994 9.82 102.6369168 1007.89452 1000.00000 1000.00000
1 1995 9.91 102.6369168 1017.13185 1.08333 1008.08164 1.37503 1007.78994
2 1995 10.12 102.6369168 1038.68560 1.09209 1028.35152 1.38574 1027.75998
3 1995 10.64 102.6369168 1092.05680 1.11405 1080.07767 1.41320 1079.15658
4 1995 10.69 102.6369168 1097.18864 1.17008 1083.98314 1.48388 1082.74393
5 1995 10.88 102.6369168 1116.68966 1.17432 1102.07513 1.48881 1100.49940
6 1995 10.91 102.6369168 1119.76876 1.19391 1103.92002 1.51322 1102.02064
7 1995 10.89 102.6369168 1117.71602 1.19591 1100.70042 1.51532 1098.48512
8 1995 10.73 102.6369168 1101.29412 1.19243 1083.33609 1.51045 1080.83531
9 1995 10.86 102.6369168 1114.63692 1.17361 1095.28771 1.48618 1092.44405
10 1995 11.02 102.6369168 1131.05882 1.18656 1110.23798 1.50215 1107.03685
11 1995 11.21 102.6369168 1150.55984 1.20276 1128.17726 1.52221 1124.60148
12 1995 10.17 113.3556490 1152.82695 1.22219 1129.17807 1.54636 1125.27108
1 1996 10.13 113.3556490 1148.29272 1.22328 1123.51359 1.54729 1119.29795
2 1996 9.95 113.3556490 1127.88871 1.21714 1102.33273 1.53907 1097.87007
3 1996 9.94 113.3556490 1126.75515 1.19419 1100.03066 1.50961 1095.25707
4 1996 10.01 113.3556490 1134.69005 1.19170 1106.58566 1.50601 1101.46413
5 1996 10.04 113.3556490 1138.09072 1.19880 1108.70330 1.51455 1103.25067
6 1996 10.10 113.3556490 1144.89206 1.20110 1114.12792 1.51701 1108.32680
7 1996 10.27 113.3556490 1164.16252 1.20697 1131.67360 1.52399 1125.45782
8 1996 10.29 113.3556490 1166.42963 1.22598 1132.65146 1.54754 1126.10202
9 1996 10.34 113.3556490 1172.09741 1.22704 1136.92807 1.54843 1130.02542
10 1996 10.52 113.3556490 1192.50143 1.23167 1155.48818 1.55382 1148.14322
11 1996 10.66 113.3556490 1208.37122 1.25178 1169.61363 1.57874 1161.84395
12 1996 10.58 113.3556490 1199.30277 1.26708 1159.56896 1.59757 1151.52710
1 1997 10.33 113.3556490 1170.96385 1.25620 1130.91273 1.58339 1122.73371
2 1997 10.33 113.3556490 1170.96385 1.22516 1129.68758 1.54380 1121.18992
3 1997 10.24 113.3556490 1160.76185 1.22383 1118.62136 1.54167 1109.87989
4 1997 9.87 116.1375007 1146.27713 1.21184 1103.45066 1.52612 1094.50399
5 1997 10.08 116.1375007 1170.66601 1.19540 1125.73293 1.50498 1116.28633
6 1997 10.15 116.1375007 1178.79563 1.21954 1132.33098 1.53493 1122.50339
7 1997 10.04 116.1375007 1166.02051 1.22669 1118.83272 1.54348 1108.79485
8 1997 10.06 116.1375007 1168.34326 1.21207 1119.84940 1.52463 1109.47897
9 1997 10.30 116.1375007 1196.21626 1.21317 1145.35232 1.52557 1134.42209
10 1997 10.41 116.1375007 1208.99138 1.24080 1156.34344 1.55987 1144.97740
11 1997 10.24 116.1375007 1189.24801 1.25271 1136.20712 1.57438 1124.70502
12 1997 10.21 116.1375007 1185.76388 1.23089 1131.64750 1.54651 1119.86348
1 1998 10.28 116.1375007 1193.89351 1.22595 1138.18015 1.53985 1126.00144
2 1998 10.31 116.1375007 1197.37763 1.23303 1140.26866 1.54829 1127.73915
3 1998 10.20 116.1375007 1184.60251 1.23529 1126.86755 1.55068 1114.15634
4 1998 10.24 117.5949125 1204.17190 1.22077 1144.26241 1.53200 1131.02998
5 1998 10.33 117.5949125 1214.75545 1.23962 1153.07978 1.55520 1139.41546
6 1998 10.30 117.5949125 1211.22760 1.24917 1148.48188 1.56673 1134.53968
7 1998 10.26 117.5949125 1206.52380 1.24419 1142.77757 1.56003 1128.57367
8 1998 10.21 117.5949125 1200.64406 1.23801 1135.97047 1.55183 1121.52198
9 1998 10.72 117.5949125 1260.61746 1.23063 1191.48273 1.54213 1176.00102
10 1998 10.74 117.5949125 1262.96936 1.29077 1192.41487 1.61704 1176.57801
11 1998 10.74 117.5949125 1262.96936 1.29178 1191.12309 1.61783 1174.96018
12 1998 10.88 117.5949125 1279.43265 1.29038 1205.35945 1.61561 1188.66062
1 1999 10.97 117.5949125 1290.01619 1.30581 1214.02445 1.63445 1196.85885
2 1999 10.72 117.5949125 1260.61746 1.31519 1185.04233 1.64572 1167.93740
3 1999 10.79 117.5949125 1268.84911 1.28380 1191.49669 1.60595 1173.95790
4 1999 10.25 124.3726349 1274.81951 1.29079 1195.81233 1.61423 1177.86758
5 1999 10.09 124.3726349 1254.91989 1.29546 1175.85053 1.61961 1157.86174
6 1999 9.99 124.3726349 1242.48262 1.27384 1162.92307 1.59210 1144.79431
7 1999 10.01 124.3726349 1244.97007 1.25983 1163.99141 1.57413 1145.51206
8 1999 9.99 124.3726349 1242.48262 1.26099 1160.40476 1.57512 1141.64820
9 1999 10.13 124.3726349 1259.89479 1.25711 1175.40958 1.56980 1156.07747
10 1999 10.11 124.3726349 1257.40734 1.27336 1171.81557 1.58965 1152.20534
11 1999 10.04 124.3726349 1248.70125 1.26947 1162.43264 1.58432 1142.64334
12 1999 10.03 124.3726349 1247.45753 1.25930 1160.01554 1.57117 1139.93408
</TABLE>
SURRENDER CHARGE = 3.00%
FREE WITHDRAWAL AVAILABLE = 15.00% OF PRINCIPAL + 15.00% OF INTEREST
GROSS RETURN = 23.77%
GROSS ANNUAL RETURN = 4.36%
WITHOUT WITH
SURRENDER SURRENDER
CHARGE CHARGE
WITHOUT DEATH BENEFIT CHARGE
ERV 1160.02 1130.44
TOTAL RETURN 16.00% 13.04%
AVERAGE ANNUAL RETURN 3.01% 2.48%
WITH DEATH BENEFIT CHARGE
ERV 1139.93 1110.87
TOTAL RETURN 13.99% 11.09%
AVERAGE ANNUAL RETURN 2.65% 2.13%
<TABLE>
<CAPTION>
Return for Inception
WITH DEATH BENEFIT CHARGE
FUND GROSS ADMIN/ ADMIN/
MONTH YEAR NAV SHARES VALUE MTHLY M&E ERV MTHLY M&E ERV
<S> <C> <C> <C> <C> <C> <C> <C> <C>
5 1994 10.00 100.0000000 1000.00000 1000.00000 1000.00000
6 1994 10.02 100.0000000 1002.00000 1.08333 1000.91667 1.37503 1000.62497
7 1994 9.92 100.0000000 992.00000 1.08433 989.84315 1.37589 989.26280
8 1994 9.90 100.0000000 990.00000 1.07233 986.77517 1.36027 985.90805
9 1994 9.94 100.0000000 994.00000 1.06901 989.69313 1.35566 988.53586
10 1994 10.16 100.0000000 1016.00000 1.07217 1010.52564 1.35927 1009.05565
11 1994 10.06 100.0000000 1006.00000 1.09474 999.48479 1.38749 997.73651
12 1994 9.82 102.6369168 1007.89452 1.08278 1000.28427 1.37192 998.24356
1 1995 9.91 102.6369168 1017.13185 1.08364 1008.36820 1.37262 1006.01981
2 1995 10.12 102.6369168 1038.68560 1.09240 1028.64385 1.38331 1025.95478
3 1995 10.64 102.6369168 1092.05680 1.11436 1080.38470 1.41072 1077.26110
4 1995 10.69 102.6369168 1097.18864 1.17042 1084.29128 1.48127 1080.84215
5 1995 10.88 102.6369168 1116.68966 1.17465 1102.38841 1.48619 1098.56643
6 1995 10.91 102.6369168 1119.76876 1.19425 1104.23383 1.51057 1100.08500
7 1995 10.89 102.6369168 1117.71602 1.19625 1101.01332 1.51265 1096.55569
8 1995 10.73 102.6369168 1101.29412 1.19276 1083.64405 1.50780 1078.93688
9 1995 10.86 102.6369168 1114.63692 1.17395 1095.59906 1.48357 1090.52524
10 1995 11.02 102.6369168 1131.05882 1.18690 1110.55358 1.49951 1105.09240
11 1995 11.21 102.6369168 1150.55984 1.20310 1128.49796 1.51954 1122.62618
12 1995 10.17 113.3556490 1152.82695 1.22254 1129.49906 1.54365 1123.29460
1 1996 10.13 113.3556490 1148.29272 1.22362 1123.83296 1.54457 1117.33196
2 1996 9.95 113.3556490 1127.88871 1.21749 1102.64609 1.53637 1095.94172
3 1996 9.94 113.3556490 1126.75515 1.19453 1100.34337 1.50696 1093.33331
4 1996 10.01 113.3556490 1134.69005 1.19204 1106.90023 1.50337 1099.52947
5 1996 10.04 113.3556490 1138.09072 1.19914 1109.01847 1.51189 1101.31288
6 1996 10.10 113.3556490 1144.89206 1.20144 1114.44463 1.51434 1106.38009
7 1996 10.27 113.3556490 1164.16252 1.20731 1131.99529 1.52131 1123.48101
8 1996 10.29 113.3556490 1166.42963 1.22633 1132.97344 1.54482 1124.12408
9 1996 10.34 113.3556490 1172.09741 1.22739 1137.25126 1.54571 1128.04059
10 1996 10.52 113.3556490 1192.50143 1.23202 1155.81665 1.55109 1146.12657
11 1996 10.66 113.3556490 1208.37122 1.25213 1169.94611 1.57596 1159.80324
12 1996 10.58 113.3556490 1199.30277 1.26744 1159.89858 1.59477 1149.50451
1 1997 10.33 113.3556490 1170.96385 1.25656 1131.23422 1.58061 1120.76169
2 1997 10.33 113.3556490 1170.96385 1.22550 1130.00871 1.54108 1119.22061
3 1997 10.24 113.3556490 1160.76185 1.22418 1118.93935 1.53897 1107.93045
4 1997 9.87 116.1375007 1146.27713 1.21218 1103.76434 1.52344 1092.58156
5 1997 10.08 116.1375007 1170.66601 1.19574 1126.05294 1.50234 1114.32564
6 1997 10.15 116.1375007 1178.79563 1.21989 1132.65286 1.53223 1120.53177
7 1997 10.04 116.1375007 1166.02051 1.22704 1119.15077 1.54077 1106.84731
8 1997 10.06 116.1375007 1168.34326 1.21241 1120.16774 1.52195 1107.53023
9 1997 10.30 116.1375007 1196.21626 1.21352 1145.67791 1.52289 1132.42954
10 1997 10.41 116.1375007 1208.99138 1.24115 1156.67215 1.55713 1142.96631
11 1997 10.24 116.1375007 1189.24801 1.25306 1136.53011 1.57162 1122.72954
12 1997 10.21 116.1375007 1185.76388 1.23124 1131.96919 1.54379 1117.89650
1 1998 10.28 116.1375007 1193.89351 1.22630 1138.50370 1.53714 1124.02368
2 1998 10.31 116.1375007 1197.37763 1.23338 1140.59280 1.54557 1125.75834
3 1998 10.20 116.1375007 1184.60251 1.23564 1127.18789 1.54796 1112.19938
4 1998 10.24 117.5949125 1204.17190 1.22112 1144.58768 1.52931 1129.04338
5 1998 10.33 117.5949125 1214.75545 1.23997 1153.40757 1.55247 1137.41414
6 1998 10.30 117.5949125 1211.22760 1.24952 1148.80836 1.56398 1132.54693
7 1998 10.26 117.5949125 1206.52380 1.24454 1143.10242 1.55729 1126.59140
8 1998 10.21 117.5949125 1200.64406 1.23836 1136.29339 1.54910 1119.55208
9 1998 10.72 117.5949125 1260.61746 1.23098 1191.82143 1.53942 1173.93544
10 1998 10.74 117.5949125 1262.96936 1.29114 1192.75384 1.61420 1174.51142
11 1998 10.74 117.5949125 1262.96936 1.29215 1191.46169 1.61499 1172.89643
12 1998 10.88 117.5949125 1279.43265 1.29075 1205.70209 1.61277 1186.57281
1 1999 10.97 117.5949125 1290.01619 1.30618 1214.36955 1.63158 1194.75663
2 1999 10.72 117.5949125 1260.61746 1.31557 1185.37920 1.64283 1165.88598
3 1999 10.79 117.5949125 1268.84911 1.28416 1191.83539 1.60313 1171.89591
4 1999 10.25 124.3726349 1274.81951 1.29115 1196.15226 1.61140 1175.79872
5 1999 10.09 124.3726349 1254.91989 1.29583 1176.18478 1.61676 1155.82802
6 1999 9.99 124.3726349 1242.48262 1.27420 1163.25365 1.58930 1142.78354
7 1999 10.01 124.3726349 1244.97007 1.26019 1164.32229 1.57137 1143.50003
8 1999 9.99 124.3726349 1242.48262 1.26135 1160.73462 1.57235 1139.64296
9 1999 10.13 124.3726349 1259.89479 1.25746 1175.74371 1.56705 1154.04689
10 1999 10.11 124.3726349 1257.40734 1.27372 1172.14868 1.58685 1150.18156
11 1999 10.04 124.3726349 1248.70125 1.26983 1162.76309 1.58154 1140.63635
12 1999 10.03 124.3726349 1247.45753 1.25966 1160.34530 1.56841 1137.93185
</TABLE>
SURRENDER CHARGE = 2.00%
FREE WITHDRAWAL AVAILABLE = 15.00% OF PRINCIPAL + 15.00% OF INTEREST
GROSS RETURN = 24.75%
GROSS ANNUAL RETURN = 4.07%
WITHOUT WITH
SURRENDER SURRENDER
CHARGE CHARGE
WITHOUT DEATH BENEFIT CHARGE
ERV 1160.35 1140.62
TOTAL RETURN 16.03% 14.06%
AVERAGE ANNUAL RETURN 2.72% 2.40%
WITH DEATH BENEFIT CHARGE
ERV 1137.93 1118.59
TOTAL RETURN 13.79% 11.86%
AVERAGE ANNUAL RETURN 2.36% 2.04%
<TABLE>
<CAPTION>
Return for Product Inception
WITH DEATH BENEFIT CHARGE
FUND GROSS ADMIN/ ADMIN/
MONTH YEAR NAV SHARES VALUE MTHLY M&E ERV MTHLY M&E ERV
<S> <C> <C> <C> <C> <C> <C> <C> <C>
6 1995 10.91 102.6369168 1119.76876 1000.00000 1000.00000
7 1995 10.89 102.6369168 1117.71602 1.08333 997.08349 1.37503 996.79179
8 1995 10.73 102.6369168 1101.29412 1.08017 981.35378 1.37062 980.77592
9 1995 10.86 102.6369168 1114.63692 1.06313 992.18031 1.34860 991.30998
10 1995 11.02 102.6369168 1131.05882 1.07486 1005.72320 1.36308 1004.55183
11 1995 11.21 102.6369168 1150.55984 1.08953 1021.97372 1.38129 1020.49039
12 1995 10.17 113.3556490 1152.82695 1.10714 1022.88033 1.40321 1021.09800
1 1996 10.13 113.3556490 1148.29272 1.10812 1017.74908 1.40404 1015.67784
2 1996 9.95 113.3556490 1127.88871 1.10256 998.56213 1.39659 996.23367
3 1996 9.94 113.3556490 1126.75515 1.08178 996.47677 1.36985 993.86257
4 1996 10.01 113.3556490 1134.69005 1.07952 1002.41470 1.36659 999.49501
5 1996 10.04 113.3556490 1138.09072 1.08595 1004.33299 1.37434 1001.11616
6 1996 10.10 113.3556490 1144.89206 1.08803 1009.24695 1.37657 1005.72236
7 1996 10.27 113.3556490 1164.16252 1.09335 1025.14093 1.38290 1021.26746
8 1996 10.29 113.3556490 1166.42963 1.11057 1026.02674 1.40428 1021.85202
9 1996 10.34 113.3556490 1172.09741 1.11153 1029.90076 1.40508 1025.41221
10 1996 10.52 113.3556490 1192.50143 1.11573 1046.71368 1.40998 1041.85273
11 1996 10.66 113.3556490 1208.37122 1.13394 1059.50939 1.43258 1054.28511
12 1996 10.58 113.3556490 1199.30277 1.14780 1050.41029 1.44968 1044.92335
1 1997 10.33 113.3556490 1170.96385 1.13794 1024.45169 1.43680 1018.79554
2 1997 10.33 113.3556490 1170.96385 1.10982 1023.34187 1.40088 1017.39466
3 1997 10.24 113.3556490 1160.76185 1.10862 1013.31739 1.39895 1007.13167
4 1997 9.87 116.1375007 1146.27713 1.09776 999.57482 1.38484 993.17921
5 1997 10.08 116.1375007 1170.66601 1.08287 1019.75950 1.36565 1012.94503
6 1997 10.15 116.1375007 1178.79563 1.10474 1025.73642 1.39283 1018.58654
7 1997 10.04 116.1375007 1166.02051 1.11121 1013.50885 1.40059 1006.14708
8 1997 10.06 116.1375007 1168.34326 1.09797 1014.42983 1.38349 1006.76787
9 1997 10.30 116.1375007 1196.21626 1.09897 1037.53197 1.38434 1029.40185
10 1997 10.41 116.1375007 1208.99138 1.12399 1047.48842 1.41546 1038.98000
11 1997 10.24 116.1375007 1189.24801 1.13478 1029.24768 1.42863 1020.58436
12 1997 10.21 116.1375007 1185.76388 1.11502 1025.11729 1.40334 1016.19102
1 1998 10.28 116.1375007 1193.89351 1.11054 1031.03497 1.39730 1021.76076
2 1998 10.31 116.1375007 1197.37763 1.11695 1032.92687 1.40496 1023.33759
3 1998 10.20 116.1375007 1184.60251 1.11900 1020.78731 1.40712 1011.01222
4 1998 10.24 117.5949125 1204.17190 1.10585 1036.54466 1.39018 1026.32377
5 1998 10.33 117.5949125 1214.75545 1.12292 1044.53199 1.41123 1033.93296
6 1998 10.30 117.5949125 1211.22760 1.13158 1040.36693 1.42169 1029.50856
7 1998 10.26 117.5949125 1206.52380 1.12706 1035.19960 1.41561 1024.09486
8 1998 10.21 117.5949125 1200.64406 1.12147 1029.03330 1.40816 1017.69598
9 1998 10.72 117.5949125 1260.61746 1.11479 1079.31979 1.39937 1067.13157
10 1998 10.74 117.5949125 1262.96936 1.16926 1080.16418 1.46734 1067.65515
11 1998 10.74 117.5949125 1262.96936 1.17018 1078.99401 1.46806 1066.18709
12 1998 10.88 117.5949125 1279.43265 1.16891 1091.89019 1.46604 1078.61920
1 1999 10.97 117.5949125 1290.01619 1.18288 1099.73949 1.48314 1086.05847
2 1999 10.72 117.5949125 1260.61746 1.19138 1073.48568 1.49337 1059.81445
3 1999 10.79 117.5949125 1268.84911 1.16294 1079.33244 1.45728 1065.27760
4 1999 10.25 124.3726349 1274.81951 1.16928 1083.24181 1.46479 1068.82533
5 1999 10.09 124.3726349 1254.91989 1.17351 1065.15916 1.46967 1050.67156
6 1999 9.99 124.3726349 1242.48262 1.15392 1053.44866 1.44471 1038.81385
7 1999 10.01 124.3726349 1244.97007 1.14124 1054.41643 1.42840 1039.46516
8 1999 9.99 124.3726349 1242.48262 1.14228 1051.16742 1.42930 1035.95900
9 1999 10.13 124.3726349 1259.89479 1.13876 1064.75973 1.42448 1049.05247
10 1999 10.11 124.3726349 1257.40734 1.15349 1061.50405 1.44248 1045.53881
11 1999 10.04 124.3726349 1248.70125 1.14996 1053.00440 1.43765 1036.86201
12 1999 10.03 124.3726349 1247.45753 1.14075 1050.81484 1.42572 1034.40356
</TABLE>
SURRENDER CHARGE = 3.00%
FREE WITHDRAWAL AVAILABLE = 15.00% OF PRINCIPAL + 15.00% OF INTEREST
GROSS RETURN = 11.40%
GROSS ANNUAL RETURN = 2.38%
WITHOUT WITH
SURRENDER SURRENDER
CHARGE CHARGE
WITHOUT DEATH BENEFIT CHARGE
ERV 1050.81 1024.02
TOTAL RETURN 5.08% 2.40%
AVERAGE ANNUAL RETURN 1.09% 0.52%
WITH DEATH BENEFIT CHARGE
ERV 1034.40 1008.03
TOTAL RETURN 3.44% 0.80%
AVERAGE ANNUAL RETURN 0.74% 0.17%
<PAGE>
MFS High Income Series 12/1999
Assume ($10000 @ $10.00 on 7/26/1995)
DATE DIV PR/SH REINVEST NAV REINVEST SHARES SHARE BASIS
(incl cap gain)
100.000000
12/95 0.2343800000 10.26 2.284 102.284405
12/96 0.6346600000 10.87 5.972 108.256422
4/98 0.8327900000 12.03 7.494 115.750592
4/99 0.7865000000 11.54 7.889 123.639486
M and E Charge = 0.0010833
Death Benefit Charge = 0.0002917
<TABLE>
<CAPTION>
Return for YTD
WITH DEATH BENEFIT CHARGE
FUND GROSS ADMIN/ ADMIN/
MONTH YEAR NAV SHARES VALUE MTHLY M&E ERV MTHLY M&E ERV
<S> <C> <C> <C> <C> <C> <C> <C> <C>
12 1998 11.53 115.7505921 1334.60433 1000.00000 1000.00000
1 1999 11.83 115.7505921 1369.32951 1.08333 1024.93575 1.37503 1024.64405
2 1999 11.90 115.7505921 1377.43205 1.11035 1029.89011 1.40892 1029.29811
3 1999 12.10 115.7505921 1400.58216 1.11571 1046.08347 1.41532 1045.18192
4 1999 11.57 123.6394865 1430.50886 1.13326 1067.30222 1.43716 1066.07750
5 1999 11.39 123.6394865 1408.25375 1.15624 1049.54145 1.46589 1048.02613
6 1999 11.33 123.6394865 1400.83538 1.13700 1042.87569 1.44107 1041.06429
7 1999 11.36 123.6394865 1404.54457 1.12978 1044.50728 1.43150 1042.38936
8 1999 11.25 123.6394865 1390.94422 1.13155 1033.26166 1.43332 1030.86248
9 1999 11.20 123.6394865 1384.76225 1.11937 1027.55002 1.41747 1024.86340
10 1999 11.18 123.6394865 1382.28946 1.11318 1024.60193 1.40922 1021.62407
11 1999 11.40 123.6394865 1409.49015 1.10999 1043.65406 1.40477 1040.32282
12 1999 11.49 123.6394865 1420.61770 1.13063 1050.76280 1.43048 1047.10541
</TABLE>
SURRENDER CHARGE = 7.00%
FREE WITHDRAWAL AVAILABLE = 15.00% OF PRINCIPAL + 15.00% OF INTEREST
GROSS RETURN = 6.44%
WITHOUT WITH
SURRENDER SURRENDER
CHARGE CHARGE
WITHOUT DEATH BENEFIT CHARGE
ERV 1050.76 988.24
TOTAL RETURN 5.08% -1.18%
WITH DEATH BENEFIT CHARGE
ERV 1047.11 984.80
TOTAL RETURN 4.71% -1.52%
<TABLE>
<CAPTION>
Return for 1 Year
WITH DEATH BENEFIT CHARGE
FUND GROSS ADMIN/ ADMIN/
MONTH YEAR NAV SHARES VALUE MTHLY M&E ERV MTHLY M&E ERV
<S> <C> <C> <C> <C> <C> <C> <C> <C>
12 1998 11.53 115.7505921 1334.60433 1000.00000 1000.00000
1 1999 11.83 115.7505921 1369.32951 1.08333 1024.93575 1.37503 1024.64405
2 1999 11.90 115.7505921 1377.43205 1.11035 1029.89011 1.40892 1029.29811
3 1999 12.10 115.7505921 1400.58216 1.11571 1046.08347 1.41532 1045.18192
4 1999 11.57 123.6394865 1430.50886 1.13326 1067.30222 1.43716 1066.07750
5 1999 11.39 123.6394865 1408.25375 1.15624 1049.54145 1.46589 1048.02613
6 1999 11.33 123.6394865 1400.83538 1.13700 1042.87569 1.44107 1041.06429
7 1999 11.36 123.6394865 1404.54457 1.12978 1044.50728 1.43150 1042.38936
8 1999 11.25 123.6394865 1390.94422 1.13155 1033.26166 1.43332 1030.86248
9 1999 11.20 123.6394865 1384.76225 1.11937 1027.55002 1.41747 1024.86340
10 1999 11.18 123.6394865 1382.28946 1.11318 1024.60193 1.40922 1021.62407
11 1999 11.40 123.6394865 1409.49015 1.10999 1043.65406 1.40477 1040.32282
12 1999 11.49 123.6394865 1420.61770 1.13063 1050.76280 1.43048 1047.10541
</TABLE>
SURRENDER CHARGE = 7.00%
FREE WITHDRAWAL AVAILABLE = 15.00% OF PRINCIPAL + 15.00% OF INTEREST
GROSS RETURN = 6.44%
WITHOUT WITH
SURRENDER SURRENDER
CHARGE CHARGE
WITHOUT DEATH BENEFIT CHARGE
ERV 1050.76 988.24
TOTAL RETURN 5.08% -1.18%
WITH DEATH BENEFIT CHARGE
ERV 1047.11 984.80
TOTAL RETURN 4.71% -1.52%
<TABLE>
<CAPTION>
Return for 3 Years
WITH DEATH BENEFIT CHARGE
FUND GROSS ADMIN/ ADMIN/
MONTH YEAR NAV SHARES VALUE MTHLY M&E ERV MTHLY M&E ERV
<S> <C> <C> <C> <C> <C> <C> <C> <C>
12 1996 10.87 108.2564221 1176.74731 1000.00000 1000.00000
1 1997 11.02 108.2564221 1192.98577 1.08333 1012.71611 1.37503 1012.42441
2 1997 11.24 108.2564221 1216.80218 1.09711 1031.83657 1.39212 1031.24404
3 1997 11.01 108.2564221 1191.90321 1.11782 1009.60465 1.41799 1008.72407
4 1997 11.13 108.2564221 1204.89398 1.09374 1019.51478 1.38703 1018.33131
5 1997 11.42 108.2564221 1236.28834 1.10447 1044.97448 1.40024 1043.46441
6 1997 11.61 108.2564221 1256.85706 1.13206 1061.22817 1.43480 1059.39023
7 1997 11.87 108.2564221 1285.00373 1.14966 1083.84416 1.45670 1081.65804
8 1997 11.89 108.2564221 1287.16886 1.17416 1084.49619 1.48732 1081.99323
9 1997 12.12 108.2564221 1312.06784 1.17487 1104.29980 1.48778 1101.43551
10 1997 12.09 108.2564221 1308.82014 1.19632 1100.37006 1.51451 1097.19468
11 1997 12.20 108.2564221 1320.72835 1.19207 1109.18963 1.50868 1105.66874
12 1997 12.35 108.2564221 1336.96681 1.20162 1121.62558 1.52033 1117.74270
1 1998 12.60 108.2564221 1364.03092 1.21509 1143.11546 1.53693 1138.83214
2 1998 12.66 108.2564221 1370.52630 1.23838 1147.32049 1.56593 1142.68922
3 1998 12.84 108.2564221 1390.01246 1.24293 1162.39018 1.57124 1157.36475
4 1998 12.04 115.7505921 1393.63713 1.25926 1164.16203 1.59142 1158.79134
5 1998 12.08 115.7505921 1398.26715 1.26118 1166.76850 1.59338 1161.04777
6 1998 12.09 115.7505921 1399.42466 1.26400 1166.47037 1.59648 1160.41242
7 1998 12.21 115.7505921 1413.31473 1.26368 1176.78456 1.59561 1170.33455
8 1998 11.29 115.7505921 1306.82419 1.27485 1086.84126 1.60925 1080.54285
9 1998 11.21 115.7505921 1297.56414 1.17741 1077.96258 1.48578 1071.40043
10 1998 10.92 115.7505921 1263.99647 1.16779 1048.90816 1.47321 1042.21035
11 1998 11.62 115.7505921 1345.02188 1.13632 1115.00955 1.43307 1107.58563
12 1998 11.53 115.7505921 1334.60433 1.20793 1105.16557 1.52297 1097.48412
1 1999 11.83 115.7505921 1369.32951 1.19726 1132.72370 1.50908 1124.53057
2 1999 11.90 115.7505921 1377.43205 1.22712 1138.19909 1.54627 1129.63833
3 1999 12.10 115.7505921 1400.58216 1.23305 1156.09544 1.55329 1147.07055
4 1999 11.57 123.6394865 1430.50886 1.25244 1179.54567 1.57726 1170.00312
5 1999 11.39 123.6394865 1408.25375 1.27784 1159.91707 1.60879 1150.19203
6 1999 11.33 123.6394865 1400.83538 1.25658 1152.55031 1.58155 1142.55152
7 1999 11.36 123.6394865 1404.54457 1.24860 1154.35348 1.57105 1144.00577
8 1999 11.25 123.6394865 1390.94422 1.25055 1141.92521 1.57305 1131.35520
9 1999 11.20 123.6394865 1384.76225 1.23709 1135.61290 1.55565 1124.77131
10 1999 11.18 123.6394865 1382.28946 1.23025 1132.35478 1.54660 1121.21619
11 1999 11.40 123.6394865 1409.49015 1.22672 1153.41053 1.54171 1141.73777
12 1999 11.49 123.6394865 1420.61770 1.24953 1161.26688 1.56993 1149.18156
</TABLE>
SURRENDER CHARGE = 5.00%
FREE WITHDRAWAL AVAILABLE = 15.00% OF PRINCIPAL + 15.00% OF INTEREST
GROSS RETURN = 20.72%
GROSS ANNUAL RETURN = 6.48%
WITHOUT WITH
SURRENDER SURRENDER
CHARGE CHARGE
WITHOUT DEATH BENEFIT CHARGE
ERV 1161.27 1111.91
TOTAL RETURN 16.13% 11.19%
AVERAGE ANNUAL RETURN 5.11% 3.60%
WITH DEATH BENEFIT CHARGE
ERV 1149.18 1100.34
TOTAL RETURN 14.92% 10.03%
AVERAGE ANNUAL RETURN 4.74% 3.24%
<TABLE>
<CAPTION>
Return for Inception
WITH DEATH BENEFIT CHARGE
FUND GROSS ADMIN/ ADMIN/
MONTH YEAR NAV SHARES VALUE MTHLY M&E ERV MTHLY M&E ERV
<S> <C> <C> <C> <C> <C> <C> <C> <C>
6 1995 10.00 100.0000000 1000.00000 1000.00000 1000.00000
7 1995 9.97 100.0000000 997.00000 1.08333 995.91667 1.37503 995.62497
8 1995 9.93 100.0000000 993.00000 1.07891 990.84210 1.36902 990.26147
9 1995 10.08 100.0000000 1008.00000 1.07341 1004.73609 1.36164 1003.85846
10 1995 10.30 100.0000000 1030.00000 1.08846 1025.57639 1.38034 1024.38773
11 1995 10.35 100.0000000 1035.00000 1.11104 1029.44388 1.40857 1027.95191
12 1995 10.29 102.2844055 1052.50653 1.11523 1045.74120 1.41347 1043.92576
1 1996 10.48 102.2844055 1071.94057 1.13289 1063.91743 1.43543 1061.76593
2 1996 10.51 102.2844055 1075.00910 1.15258 1065.81042 1.45996 1063.34537
3 1996 10.42 102.2844055 1065.80350 1.15463 1055.52897 1.46214 1052.77752
4 1996 10.51 102.2844055 1075.00910 1.14349 1063.50233 1.44760 1060.42300
5 1996 10.57 102.2844055 1081.14617 1.15213 1068.42158 1.45812 1065.01868
6 1996 10.59 102.2844055 1083.19185 1.15746 1069.28573 1.46444 1065.56942
7 1996 10.71 102.2844055 1095.46598 1.15839 1080.24389 1.46519 1076.17866
8 1996 10.90 102.2844055 1114.90002 1.17026 1098.23762 1.47978 1093.79075
9 1996 11.18 102.2844055 1143.53965 1.18976 1125.25947 1.50400 1120.38413
10 1996 11.19 102.2844055 1144.56250 1.21903 1125.04693 1.54057 1119.84570
11 1996 11.41 102.2844055 1167.06507 1.21880 1145.94702 1.53983 1140.32250
12 1996 10.87 108.2564221 1176.74731 1.24144 1154.21262 1.56798 1148.21490
1 1997 11.02 108.2564221 1192.98577 1.25040 1168.88972 1.57883 1162.48080
2 1997 11.24 108.2564221 1216.80218 1.26630 1190.95878 1.59845 1184.08977
3 1997 11.01 108.2564221 1191.90321 1.29021 1165.29843 1.62816 1158.23201
4 1997 11.13 108.2564221 1204.89398 1.26241 1176.73682 1.59261 1169.26319
5 1997 11.42 108.2564221 1236.28834 1.27480 1206.12273 1.60778 1198.12139
6 1997 11.61 108.2564221 1256.85706 1.30663 1224.88294 1.64746 1216.40765
7 1997 11.87 108.2564221 1285.00373 1.32696 1250.98661 1.67260 1241.97587
8 1997 11.89 108.2564221 1287.16886 1.35524 1251.73918 1.70776 1242.36074
9 1997 12.12 108.2564221 1312.06784 1.35605 1274.59676 1.70829 1264.68467
10 1997 12.09 108.2564221 1308.82014 1.38081 1270.06100 1.73898 1259.81528
11 1997 12.20 108.2564221 1320.72835 1.37590 1280.24066 1.73229 1269.54533
12 1997 12.35 108.2564221 1336.96681 1.38693 1294.59440 1.74567 1283.40882
1 1998 12.60 108.2564221 1364.03092 1.40248 1319.39829 1.76473 1307.62403
2 1998 12.66 108.2564221 1370.52630 1.42935 1324.25179 1.79803 1312.05278
3 1998 12.84 108.2564221 1390.01246 1.43461 1341.64541 1.80412 1328.90345
4 1998 12.04 115.7505921 1393.63713 1.45345 1343.69050 1.82729 1330.54148
5 1998 12.08 115.7505921 1398.26715 1.45566 1346.69892 1.82954 1333.13234
6 1998 12.09 115.7505921 1399.42466 1.45892 1346.35482 1.83310 1332.40283
7 1998 12.21 115.7505921 1413.31473 1.45855 1358.25959 1.83210 1343.79557
8 1998 11.29 115.7505921 1306.82419 1.47145 1254.44590 1.84776 1240.69540
9 1998 11.21 115.7505921 1297.56414 1.35898 1244.19801 1.70600 1230.19794
10 1998 10.92 115.7505921 1263.99647 1.34788 1210.66303 1.69156 1196.68145
11 1998 11.62 115.7505921 1345.02188 1.31155 1286.95808 1.64548 1271.74632
12 1998 11.53 115.7505921 1334.60433 1.39420 1275.59604 1.74869 1260.14761
1 1999 11.83 115.7505921 1369.32951 1.38190 1307.40399 1.73274 1291.20275
2 1999 11.90 115.7505921 1377.43205 1.41635 1313.72375 1.77545 1297.06756
3 1999 12.10 115.7505921 1400.58216 1.42320 1334.37994 1.78351 1317.08350
4 1999 11.57 123.6394865 1430.50886 1.44558 1361.44649 1.81103 1343.41502
5 1999 11.39 123.6394865 1408.25375 1.47490 1338.79092 1.84724 1320.66763
6 1999 11.33 123.6394865 1400.83538 1.45036 1330.28811 1.81596 1311.89468
7 1999 11.36 123.6394865 1404.54457 1.44115 1332.36935 1.80390 1313.56447
8 1999 11.25 123.6394865 1390.94422 1.44340 1318.02449 1.80619 1299.03890
9 1999 11.20 123.6394865 1384.76225 1.42786 1310.73874 1.78622 1291.47917
10 1999 11.18 123.6394865 1382.28946 1.41997 1306.97817 1.77583 1287.39713
11 1999 11.40 123.6394865 1409.49015 1.41589 1331.28099 1.77021 1310.96031
12 1999 11.49 123.6394865 1420.61770 1.44222 1340.34888 1.80261 1319.50739
</TABLE>
SURRENDER CHARGE = 3.00%
FREE WITHDRAWAL AVAILABLE = 15.00% OF PRINCIPAL + 15.00% OF INTEREST
GROSS RETURN = 42.06%
GROSS ANNUAL RETURN = 8.24%
WITHOUT WITH
SURRENDER SURRENDER
CHARGE CHARGE
WITHOUT DEATH BENEFIT CHARGE
ERV 1340.35 1306.17
TOTAL RETURN 34.03% 30.62%
AVERAGE ANNUAL RETURN 6.83% 6.21%
WITH DEATH BENEFIT CHARGE
ERV 1319.51 1285.86
TOTAL RETURN 31.95% 28.59%
AVERAGE ANNUAL RETURN 6.45% 5.84%
<TABLE>
<CAPTION>
Return for Product Inception
WITH DEATH BENEFIT CHARGE
FUND GROSS ADMIN/ ADMIN/
MONTH YEAR NAV SHARES VALUE MTHLY M&E ERV MTHLY M&E ERV
<S> <C> <C> <C> <C> <C> <C> <C> <C>
6 1995 10.00 100.0000000 1000.00000 1000.00000 1000.00000
7 1995 9.97 100.0000000 997.00000 1.08333 995.91667 1.37503 995.62497
8 1995 9.93 100.0000000 993.00000 1.07891 990.84210 1.36902 990.26147
9 1995 10.08 100.0000000 1008.00000 1.07341 1004.73609 1.36164 1003.85846
10 1995 10.30 100.0000000 1030.00000 1.08846 1025.57639 1.38034 1024.38773
11 1995 10.35 100.0000000 1035.00000 1.11104 1029.44388 1.40857 1027.95191
12 1995 10.29 102.2844055 1052.50653 1.11523 1045.74120 1.41347 1043.92576
1 1996 10.48 102.2844055 1071.94057 1.13289 1063.91743 1.43543 1061.76593
2 1996 10.51 102.2844055 1075.00910 1.15258 1065.81042 1.45996 1063.34537
3 1996 10.42 102.2844055 1065.80350 1.15463 1055.52897 1.46214 1052.77752
4 1996 10.51 102.2844055 1075.00910 1.14349 1063.50233 1.44760 1060.42300
5 1996 10.57 102.2844055 1081.14617 1.15213 1068.42158 1.45812 1065.01868
6 1996 10.59 102.2844055 1083.19185 1.15746 1069.28573 1.46444 1065.56942
7 1996 10.71 102.2844055 1095.46598 1.15839 1080.24389 1.46519 1076.17866
8 1996 10.90 102.2844055 1114.90002 1.17026 1098.23762 1.47978 1093.79075
9 1996 11.18 102.2844055 1143.53965 1.18976 1125.25947 1.50400 1120.38413
10 1996 11.19 102.2844055 1144.56250 1.21903 1125.04693 1.54057 1119.84570
11 1996 11.41 102.2844055 1167.06507 1.21880 1145.94702 1.53983 1140.32250
12 1996 10.87 108.2564221 1176.74731 1.24144 1154.21262 1.56798 1148.21490
1 1997 11.02 108.2564221 1192.98577 1.25040 1168.88972 1.57883 1162.48080
2 1997 11.24 108.2564221 1216.80218 1.26630 1190.95878 1.59845 1184.08977
3 1997 11.01 108.2564221 1191.90321 1.29021 1165.29843 1.62816 1158.23201
4 1997 11.13 108.2564221 1204.89398 1.26241 1176.73682 1.59261 1169.26319
5 1997 11.42 108.2564221 1236.28834 1.27480 1206.12273 1.60778 1198.12139
6 1997 11.61 108.2564221 1256.85706 1.30663 1224.88294 1.64746 1216.40765
7 1997 11.87 108.2564221 1285.00373 1.32696 1250.98661 1.67260 1241.97587
8 1997 11.89 108.2564221 1287.16886 1.35524 1251.73918 1.70776 1242.36074
9 1997 12.12 108.2564221 1312.06784 1.35605 1274.59676 1.70829 1264.68467
10 1997 12.09 108.2564221 1308.82014 1.38081 1270.06100 1.73898 1259.81528
11 1997 12.20 108.2564221 1320.72835 1.37590 1280.24066 1.73229 1269.54533
12 1997 12.35 108.2564221 1336.96681 1.38693 1294.59440 1.74567 1283.40882
1 1998 12.60 108.2564221 1364.03092 1.40248 1319.39829 1.76473 1307.62403
2 1998 12.66 108.2564221 1370.52630 1.42935 1324.25179 1.79803 1312.05278
3 1998 12.84 108.2564221 1390.01246 1.43461 1341.64541 1.80412 1328.90345
4 1998 12.04 115.7505921 1393.63713 1.45345 1343.69050 1.82729 1330.54148
5 1998 12.08 115.7505921 1398.26715 1.45566 1346.69892 1.82954 1333.13234
6 1998 12.09 115.7505921 1399.42466 1.45892 1346.35482 1.83310 1332.40283
7 1998 12.21 115.7505921 1413.31473 1.45855 1358.25959 1.83210 1343.79557
8 1998 11.29 115.7505921 1306.82419 1.47145 1254.44590 1.84776 1240.69540
9 1998 11.21 115.7505921 1297.56414 1.35898 1244.19801 1.70600 1230.19794
10 1998 10.92 115.7505921 1263.99647 1.34788 1210.66303 1.69156 1196.68145
11 1998 11.62 115.7505921 1345.02188 1.31155 1286.95808 1.64548 1271.74632
12 1998 11.53 115.7505921 1334.60433 1.39420 1275.59604 1.74869 1260.14761
1 1999 11.83 115.7505921 1369.32951 1.38190 1307.40399 1.73274 1291.20275
2 1999 11.90 115.7505921 1377.43205 1.41635 1313.72375 1.77545 1297.06756
3 1999 12.10 115.7505921 1400.58216 1.42320 1334.37994 1.78351 1317.08350
4 1999 11.57 123.6394865 1430.50886 1.44558 1361.44649 1.81103 1343.41502
5 1999 11.39 123.6394865 1408.25375 1.47490 1338.79092 1.84724 1320.66763
6 1999 11.33 123.6394865 1400.83538 1.45036 1330.28811 1.81596 1311.89468
7 1999 11.36 123.6394865 1404.54457 1.44115 1332.36935 1.80390 1313.56447
8 1999 11.25 123.6394865 1390.94422 1.44340 1318.02449 1.80619 1299.03890
9 1999 11.20 123.6394865 1384.76225 1.42786 1310.73874 1.78622 1291.47917
10 1999 11.18 123.6394865 1382.28946 1.41997 1306.97817 1.77583 1287.39713
11 1999 11.40 123.6394865 1409.49015 1.41589 1331.28099 1.77021 1310.96031
12 1999 11.49 123.6394865 1420.61770 1.44222 1340.34888 1.80261 1319.50739
</TABLE>
SURRENDER CHARGE = 3.00%
FREE WITHDRAWAL AVAILABLE = 15.00% OF PRINCIPAL + 15.00% OF INTEREST
GROSS RETURN = 42.06%
GROSS ANNUAL RETURN = 7.96%
WITHOUT WITH
SURRENDER SURRENDER
CHARGE CHARGE
WITHOUT DEATH BENEFIT CHARGE
ERV 1340.35 1306.17
TOTAL RETURN 34.03% 30.62%
AVERAGE ANNUAL RETURN 6.60% 6.00%
WITH DEATH BENEFIT CHARGE
ERV 1319.51 1285.86
TOTAL RETURN 31.95% 28.59%
AVERAGE ANNUAL RETURN 6.24% 5.64%
<PAGE>
MFS Research Series12/1999
Assume ($10000 @ $10.00 on 7/26/1995)
DATE DIV PR/SH REINVEST NAV REINVEST SHARES SHARE BASIS
(incl cap gain)
100.000000
12/95 0.1712900000 10.82 1.583 101.583087
12/96 0.1927500000 13.18 1.486 103.068682
4/98 0.3991400000 17.58 2.340 105.408775
4/99 0.2447200000 19.61 1.315 106.724207
M and E Charge = 0.0010833
Death Benefit Charge = 0.0002917
<TABLE>
<CAPTION>
Return for YTD
WITH DEATH BENEFIT CHARGE
FUND GROSS ADMIN/ ADMIN/
MONTH YEAR NAV SHARES VALUE MTHLY M&E ERV MTHLY M&E ERV
<S> <C> <C> <C> <C> <C> <C> <C> <C>
12 1998 19.05 105.4087746 2008.03716 1000.00000 1000.00000
1 1999 19.65 105.4087746 2071.28242 1.08333 1030.41273 1.37503 1030.12103
2 1999 18.93 105.4087746 1995.38810 1.11628 991.54087 1.41645 990.95969
3 1999 19.34 105.4087746 2038.60570 1.07417 1011.94223 1.36260 1011.06002
4 1999 19.43 106.7242073 2073.65135 1.09627 1028.24224 1.39024 1027.05090
5 1999 19.16 106.7242073 2044.83581 1.11393 1012.83982 1.41223 1011.36674
6 1999 20.48 106.7242073 2185.71177 1.09724 1081.52069 1.39066 1079.65270
7 1999 19.89 106.7242073 2122.74448 1.17165 1049.19195 1.48456 1047.06486
8 1999 19.61 106.7242073 2092.86171 1.13662 1033.28540 1.43975 1030.88514
9 1999 19.15 106.7242073 2043.76857 1.11939 1007.92780 1.41750 1005.28573
10 1999 20.24 106.7242073 2160.09796 1.09192 1064.20618 1.38230 1061.12335
11 1999 21.26 106.7242073 2268.95665 1.15289 1116.68424 1.45908 1113.13985
12 1999 23.34 106.7242073 2490.94300 1.20974 1224.72676 1.53060 1220.51474
</TABLE>
SURRENDER CHARGE = 7.00%
FREE WITHDRAWAL AVAILABLE = 15.00% OF PRINCIPAL + 15.00% OF INTEREST
GROSS RETURN = 24.05%
WITHOUT WITH
SURRENDER SURRENDER
CHARGE CHARGE
WITHOUT DEATH BENEFIT CHARGE
ERV 1224.73 1151.86
TOTAL RETURN 22.47% 15.19%
WITH DEATH BENEFIT CHARGE
ERV 1220.51 1147.89
TOTAL RETURN 22.05% 14.79%
<TABLE>
<CAPTION>
Return for 1 Year
WITH DEATH BENEFIT CHARGE
FUND GROSS ADMIN/ ADMIN/
MONTH YEAR NAV SHARES VALUE MTHLY M&E ERV MTHLY M&E ERV
<S> <C> <C> <C> <C> <C> <C> <C> <C>
12 1998 19.05 105.4087746 2008.03716 1000.00000 1000.00000
1 1999 19.65 105.4087746 2071.28242 1.08333 1030.41273 1.37503 1030.12103
2 1999 18.93 105.4087746 1995.38810 1.11628 991.54087 1.41645 990.95969
3 1999 19.34 105.4087746 2038.60570 1.07417 1011.94223 1.36260 1011.06002
4 1999 19.43 106.7242073 2073.65135 1.09627 1028.24224 1.39024 1027.05090
5 1999 19.16 106.7242073 2044.83581 1.11393 1012.83982 1.41223 1011.36674
6 1999 20.48 106.7242073 2185.71177 1.09724 1081.52069 1.39066 1079.65270
7 1999 19.89 106.7242073 2122.74448 1.17165 1049.19195 1.48456 1047.06486
8 1999 19.61 106.7242073 2092.86171 1.13662 1033.28540 1.43975 1030.88514
9 1999 19.15 106.7242073 2043.76857 1.11939 1007.92780 1.41750 1005.28573
10 1999 20.24 106.7242073 2160.09796 1.09192 1064.20618 1.38230 1061.12335
11 1999 21.26 106.7242073 2268.95665 1.15289 1116.68424 1.45908 1113.13985
12 1999 23.34 106.7242073 2490.94300 1.20974 1224.72676 1.53060 1220.51474
</TABLE>
SURRENDER CHARGE = 7.00%
FREE WITHDRAWAL AVAILABLE = 15.00% OF PRINCIPAL + 15.00% OF INTEREST
GROSS RETURN = 24.05%
WITHOUT WITH
SURRENDER SURRENDER
CHARGE CHARGE
WITHOUT DEATH BENEFIT CHARGE
ERV 1224.73 1151.86
TOTAL RETURN 22.47% 15.19%
WITH DEATH BENEFIT CHARGE
ERV 1220.51 1147.89
TOTAL RETURN 22.05% 14.79%
<TABLE>
<CAPTION>
Return for 3 Years
WITH DEATH BENEFIT CHARGE
FUND GROSS ADMIN/ ADMIN/
MONTH YEAR NAV SHARES VALUE MTHLY M&E ERV MTHLY M&E ERV
<S> <C> <C> <C> <C> <C> <C> <C> <C>
12 1996 13.13 103.0686817 1353.29179 1000.00000 1000.00000
1 1997 13.64 103.0686817 1405.85682 1.08333 1037.75901 1.37503 1037.46731
2 1997 13.61 103.0686817 1402.76476 1.12424 1034.35231 1.42655 1033.75894
3 1997 12.86 103.0686817 1325.46325 1.12055 976.23219 1.42145 975.37061
4 1997 13.45 103.0686817 1386.27377 1.05758 1019.96286 1.34117 1018.77817
5 1997 14.38 103.0686817 1482.12764 1.10496 1089.38321 1.40085 1087.82072
6 1997 14.92 103.0686817 1537.78473 1.18017 1129.11174 1.49579 1127.17494
7 1997 16.03 103.0686817 1652.19097 1.22320 1211.89081 1.54990 1209.48323
8 1997 15.33 103.0686817 1580.04289 1.31288 1157.65694 1.66308 1155.00428
9 1997 16.12 103.0686817 1661.46715 1.25413 1216.06027 1.58817 1212.93688
10 1997 15.30 103.0686817 1576.95083 1.31740 1152.88373 1.66783 1149.56879
11 1997 15.76 103.0686817 1624.36242 1.24896 1186.29664 1.58070 1182.55030
12 1997 15.79 103.0686817 1627.45448 1.28515 1187.26966 1.62605 1183.17530
1 1998 16.12 103.0686817 1661.46715 1.28621 1210.79656 1.62691 1206.27593
2 1998 17.41 103.0686817 1794.42575 1.31170 1306.37863 1.65867 1301.14927
3 1998 18.30 103.0686817 1886.15688 1.41524 1371.74553 1.78912 1365.87496
4 1998 18.02 105.4087746 1899.46612 1.48606 1379.93888 1.87812 1373.63482
5 1998 17.69 105.4087746 1864.68122 1.49493 1353.17315 1.88879 1346.59067
6 1998 18.35 105.4087746 1934.25101 1.46594 1402.19304 1.85161 1394.97931
7 1998 17.91 105.4087746 1887.87115 1.51904 1367.05193 1.91814 1359.61207
8 1998 14.85 105.4087746 1565.32030 1.48097 1132.00430 1.86951 1125.44703
9 1998 15.66 105.4087746 1650.70141 1.22634 1192.52365 1.54753 1185.28752
10 1998 16.56 105.4087746 1745.56931 1.29190 1259.76759 1.62981 1251.77768
11 1998 17.78 105.4087746 1874.16801 1.36475 1351.21180 1.72124 1342.27678
12 1998 19.05 105.4087746 2008.03716 1.46381 1446.26312 1.84568 1436.30802
1 1999 19.65 105.4087746 2071.28242 1.56678 1490.24793 1.97497 1479.57110
2 1999 18.93 105.4087746 1995.38810 1.61444 1434.02899 2.03446 1423.32335
3 1999 19.34 105.4087746 2038.60570 1.55353 1463.53472 1.95712 1452.19362
4 1999 19.43 106.7242073 2073.65135 1.58550 1487.10884 1.99681 1475.16145
5 1999 19.16 106.7242073 2044.83581 1.61103 1464.83288 2.02840 1452.63416
6 1999 20.48 106.7242073 2185.71177 1.58690 1564.16349 1.99742 1550.71383
7 1999 19.89 106.7242073 2122.74448 1.69451 1517.40762 2.13228 1503.90766
8 1999 19.61 106.7242073 2092.86171 1.64386 1494.40257 2.06792 1480.66859
9 1999 19.15 106.7242073 2043.76857 1.61894 1457.72881 2.03597 1443.89996
10 1999 20.24 106.7242073 2160.09796 1.57921 1539.12216 1.98541 1524.09998
11 1999 21.26 106.7242073 2268.95665 1.66738 1615.01923 2.09569 1598.81170
12 1999 23.34 106.7242073 2490.94300 1.74960 1771.27715 2.19842 1753.03512
</TABLE>
SURRENDER CHARGE = 5.00%
FREE WITHDRAWAL AVAILABLE = 15.00% OF PRINCIPAL + 15.00% OF INTEREST
GROSS RETURN = 84.07%
GROSS ANNUAL RETURN = 22.55%
WITHOUT WITH
SURRENDER SURRENDER
CHARGE CHARGE
WITHOUT DEATH BENEFIT CHARGE
ERV 1771.28 1696.00
TOTAL RETURN 77.13% 69.60%
AVERAGE ANNUAL RETURN 20.99% 19.25%
WITH DEATH BENEFIT CHARGE
ERV 1753.04 1678.53
TOTAL RETURN 75.30% 67.85%
AVERAGE ANNUAL RETURN 20.58% 18.84%
<TABLE>
<CAPTION>
Return for Inception
WITH DEATH BENEFIT CHARGE
FUND GROSS ADMIN/ ADMIN/
MONTH YEAR NAV SHARES VALUE MTHLY M&E ERV MTHLY M&E ERV
<S> <C> <C> <C> <C> <C> <C> <C> <C>
6 1995 10.00 100.0000000 1000.00000 1000.00000 1000.00000
7 1995 10.00 100.0000000 1000.00000 1.08333 998.91667 1.37503 998.62497
8 1995 10.10 100.0000000 1010.00000 1.08216 1007.82367 1.37314 1007.23807
9 1995 10.40 100.0000000 1040.00000 1.09181 1036.66722 1.38499 1035.77105
10 1995 10.47 100.0000000 1047.00000 1.12306 1042.52173 1.42422 1041.31837
11 1995 10.81 100.0000000 1081.00000 1.12940 1075.24691 1.43185 1073.70202
12 1995 10.89 101.5830869 1106.23982 1.16485 1099.18755 1.47638 1097.29506
1 1996 11.12 101.5830869 1129.60393 1.19079 1121.21192 1.50882 1118.96143
2 1996 11.54 101.5830869 1172.26882 1.21465 1162.34521 1.53861 1159.68576
3 1996 11.52 101.5830869 1170.23716 1.25921 1159.07154 1.59461 1156.08130
4 1996 11.98 101.5830869 1216.96538 1.25566 1204.09825 1.58965 1200.65462
5 1996 12.37 101.5830869 1256.58278 1.30444 1241.99233 1.65094 1238.09009
6 1996 12.21 101.5830869 1240.32949 1.34549 1224.58227 1.70242 1220.37358
7 1996 11.60 101.5830869 1178.36381 1.32663 1162.07667 1.67805 1157.72682
8 1996 11.96 101.5830869 1214.93372 1.25892 1196.88220 1.59191 1192.06436
9 1996 12.68 101.5830869 1288.07354 1.29662 1267.63869 1.63913 1262.18830
10 1996 12.79 101.5830869 1299.24768 1.37328 1277.26228 1.73555 1271.40234
11 1996 13.55 101.5830869 1376.45083 1.38370 1351.77532 1.74822 1345.20265
12 1996 13.13 103.0686817 1353.29179 1.46442 1327.56703 1.84970 1320.71967
1 1997 13.64 103.0686817 1405.85682 1.43820 1377.69465 1.81603 1370.20349
2 1997 13.61 103.0686817 1402.76476 1.49250 1373.17203 1.88408 1365.30577
3 1997 12.86 103.0686817 1325.46325 1.48760 1296.01367 1.87734 1288.19115
4 1997 13.45 103.0686817 1386.27377 1.40401 1354.06907 1.77131 1345.52037
5 1997 14.38 103.0686817 1482.12764 1.46691 1446.22924 1.85014 1436.70622
6 1997 14.92 103.0686817 1537.78473 1.56675 1498.97152 1.97552 1488.68212
7 1997 16.03 103.0686817 1652.19097 1.62389 1608.86629 2.04699 1597.38829
8 1997 15.33 103.0686817 1580.04289 1.74294 1536.86718 2.19646 1525.43688
9 1997 16.12 103.0686817 1661.46715 1.66494 1614.40153 2.09753 1601.94960
10 1997 15.30 103.0686817 1576.95083 1.74893 1530.53043 2.20273 1518.25812
11 1997 15.76 103.0686817 1624.36242 1.65807 1574.88831 2.08766 1561.81744
12 1997 15.79 103.0686817 1627.45448 1.70613 1576.18006 2.14755 1562.64289
1 1998 16.12 103.0686817 1661.46715 1.70753 1607.41360 2.14869 1593.15235
2 1998 17.41 103.0686817 1794.42575 1.74136 1734.30521 2.19064 1718.45344
3 1998 18.30 103.0686817 1886.15688 1.87883 1821.08414 2.36293 1803.93792
4 1998 18.02 105.4087746 1899.46612 1.97284 1831.96137 2.48047 1814.18653
5 1998 17.69 105.4087746 1864.68122 1.98462 1796.42806 2.49457 1778.46879
6 1998 18.35 105.4087746 1934.25101 1.94613 1861.50525 2.44545 1842.37661
7 1998 17.91 105.4087746 1887.87115 2.01663 1814.85307 2.53333 1795.66641
8 1998 14.85 105.4087746 1565.32030 1.96609 1502.81158 2.46910 1486.40003
9 1998 15.66 105.4087746 1650.70141 1.62805 1583.15508 2.04385 1565.43255
10 1998 16.56 105.4087746 1745.56931 1.71508 1672.42592 2.15252 1653.24741
11 1998 17.78 105.4087746 1874.16801 1.81179 1793.82425 2.27327 1772.77135
12 1998 19.05 105.4087746 2008.03716 1.94331 1920.01124 2.43762 1896.96026
1 1999 19.65 105.4087746 2071.28242 2.08001 1978.40402 2.60838 1954.09866
2 1999 18.93 105.4087746 1995.38810 2.14327 1903.76961 2.68695 1879.81114
3 1999 19.34 105.4087746 2038.60570 2.06242 1942.94045 2.58480 1917.94069
4 1999 19.43 106.7242073 2073.65135 2.10485 1974.23667 2.63723 1948.27475
5 1999 19.16 106.7242073 2044.83581 2.13876 1944.66384 2.67894 1918.52251
6 1999 20.48 106.7242073 2185.71177 2.10672 2076.53188 2.63803 2048.05826
7 1999 19.89 106.7242073 2122.74448 2.24958 2014.46034 2.81615 1986.24044
8 1999 19.61 106.7242073 2092.86171 2.18233 1983.91959 2.73115 1955.54814
9 1999 19.15 106.7242073 2043.76857 2.14925 1935.23271 2.68894 1906.98708
10 1999 20.24 106.7242073 2160.09796 2.09650 2043.28783 2.62217 2012.90882
11 1999 21.26 106.7242073 2268.95665 2.21356 2144.04629 2.76782 2111.58206
12 1999 23.34 106.7242073 2490.94300 2.32272 2351.48915 2.90350 2315.26797
</TABLE>
SURRENDER CHARGE = 3.00%
FREE WITHDRAWAL AVAILABLE = 15.00% OF PRINCIPAL + 15.00% OF INTEREST
GROSS RETURN = 149.09%
GROSS ANNUAL RETURN = 22.86%
WITHOUT WITH
SURRENDER SURRENDER
CHARGE CHARGE
WITHOUT DEATH BENEFIT CHARGE
ERV 2351.49 2291.53
TOTAL RETURN 135.15% 129.15%
AVERAGE ANNUAL RETURN 21.27% 20.57%
WITH DEATH BENEFIT CHARGE
ERV 2315.27 2256.23
TOTAL RETURN 131.53% 125.62%
AVERAGE ANNUAL RETURN 20.85% 20.15%
<TABLE>
<CAPTION>
Return for Product Inception
WITH DEATH BENEFIT CHARGE
FUND GROSS ADMIN/ ADMIN/
MONTH YEAR NAV SHARES VALUE MTHLY M&E ERV MTHLY M&E ERV
<S> <C> <C> <C> <C> <C> <C> <C> <C>
6 1995 10.00 100.0000000 1000.00000 1000.00000 1000.00000
7 1995 10.00 100.0000000 1000.00000 1.08333 998.91667 1.37503 998.62497
8 1995 10.10 100.0000000 1010.00000 1.08216 1007.82367 1.37314 1007.23807
9 1995 10.40 100.0000000 1040.00000 1.09181 1036.66722 1.38499 1035.77105
10 1995 10.47 100.0000000 1047.00000 1.12306 1042.52173 1.42422 1041.31837
11 1995 10.81 100.0000000 1081.00000 1.12940 1075.24691 1.43185 1073.70202
12 1995 10.89 101.5830869 1106.23982 1.16485 1099.18755 1.47638 1097.29506
1 1996 11.12 101.5830869 1129.60393 1.19079 1121.21192 1.50882 1118.96143
2 1996 11.54 101.5830869 1172.26882 1.21465 1162.34521 1.53861 1159.68576
3 1996 11.52 101.5830869 1170.23716 1.25921 1159.07154 1.59461 1156.08130
4 1996 11.98 101.5830869 1216.96538 1.25566 1204.09825 1.58965 1200.65462
5 1996 12.37 101.5830869 1256.58278 1.30444 1241.99233 1.65094 1238.09009
6 1996 12.21 101.5830869 1240.32949 1.34549 1224.58227 1.70242 1220.37358
7 1996 11.60 101.5830869 1178.36381 1.32663 1162.07667 1.67805 1157.72682
8 1996 11.96 101.5830869 1214.93372 1.25892 1196.88220 1.59191 1192.06436
9 1996 12.68 101.5830869 1288.07354 1.29662 1267.63869 1.63913 1262.18830
10 1996 12.79 101.5830869 1299.24768 1.37328 1277.26228 1.73555 1271.40234
11 1996 13.55 101.5830869 1376.45083 1.38370 1351.77532 1.74822 1345.20265
12 1996 13.13 103.0686817 1353.29179 1.46442 1327.56703 1.84970 1320.71967
1 1997 13.64 103.0686817 1405.85682 1.43820 1377.69465 1.81603 1370.20349
2 1997 13.61 103.0686817 1402.76476 1.49250 1373.17203 1.88408 1365.30577
3 1997 12.86 103.0686817 1325.46325 1.48760 1296.01367 1.87734 1288.19115
4 1997 13.45 103.0686817 1386.27377 1.40401 1354.06907 1.77131 1345.52037
5 1997 14.38 103.0686817 1482.12764 1.46691 1446.22924 1.85014 1436.70622
6 1997 14.92 103.0686817 1537.78473 1.56675 1498.97152 1.97552 1488.68212
7 1997 16.03 103.0686817 1652.19097 1.62389 1608.86629 2.04699 1597.38829
8 1997 15.33 103.0686817 1580.04289 1.74294 1536.86718 2.19646 1525.43688
9 1997 16.12 103.0686817 1661.46715 1.66494 1614.40153 2.09753 1601.94960
10 1997 15.30 103.0686817 1576.95083 1.74893 1530.53043 2.20273 1518.25812
11 1997 15.76 103.0686817 1624.36242 1.65807 1574.88831 2.08766 1561.81744
12 1997 15.79 103.0686817 1627.45448 1.70613 1576.18006 2.14755 1562.64289
1 1998 16.12 103.0686817 1661.46715 1.70753 1607.41360 2.14869 1593.15235
2 1998 17.41 103.0686817 1794.42575 1.74136 1734.30521 2.19064 1718.45344
3 1998 18.30 103.0686817 1886.15688 1.87883 1821.08414 2.36293 1803.93792
4 1998 18.02 105.4087746 1899.46612 1.97284 1831.96137 2.48047 1814.18653
5 1998 17.69 105.4087746 1864.68122 1.98462 1796.42806 2.49457 1778.46879
6 1998 18.35 105.4087746 1934.25101 1.94613 1861.50525 2.44545 1842.37661
7 1998 17.91 105.4087746 1887.87115 2.01663 1814.85307 2.53333 1795.66641
8 1998 14.85 105.4087746 1565.32030 1.96609 1502.81158 2.46910 1486.40003
9 1998 15.66 105.4087746 1650.70141 1.62805 1583.15508 2.04385 1565.43255
10 1998 16.56 105.4087746 1745.56931 1.71508 1672.42592 2.15252 1653.24741
11 1998 17.78 105.4087746 1874.16801 1.81179 1793.82425 2.27327 1772.77135
12 1998 19.05 105.4087746 2008.03716 1.94331 1920.01124 2.43762 1896.96026
1 1999 19.65 105.4087746 2071.28242 2.08001 1978.40402 2.60838 1954.09866
2 1999 18.93 105.4087746 1995.38810 2.14327 1903.76961 2.68695 1879.81114
3 1999 19.34 105.4087746 2038.60570 2.06242 1942.94045 2.58480 1917.94069
4 1999 19.43 106.7242073 2073.65135 2.10485 1974.23667 2.63723 1948.27475
5 1999 19.16 106.7242073 2044.83581 2.13876 1944.66384 2.67894 1918.52251
6 1999 20.48 106.7242073 2185.71177 2.10672 2076.53188 2.63803 2048.05826
7 1999 19.89 106.7242073 2122.74448 2.24958 2014.46034 2.81615 1986.24044
8 1999 19.61 106.7242073 2092.86171 2.18233 1983.91959 2.73115 1955.54814
9 1999 19.15 106.7242073 2043.76857 2.14925 1935.23271 2.68894 1906.98708
10 1999 20.24 106.7242073 2160.09796 2.09650 2043.28783 2.62217 2012.90882
11 1999 21.26 106.7242073 2268.95665 2.21356 2144.04629 2.76782 2111.58206
12 1999 23.34 106.7242073 2490.94300 2.32272 2351.48915 2.90350 2315.26797
</TABLE>
SURRENDER CHARGE = 3.00%
FREE WITHDRAWAL AVAILABLE = 15.00% OF PRINCIPAL + 15.00% OF INTEREST
GROSS RETURN = 149.09%
GROSS ANNUAL RETURN = 22.03%
WITHOUT WITH
SURRENDER SURRENDER
CHARGE CHARGE
WITHOUT DEATH BENEFIT CHARGE
ERV 2351.49 2291.53
TOTAL RETURN 135.15% 129.15%
AVERAGE ANNUAL RETURN 20.51% 19.83%
WITH DEATH BENEFIT CHARGE
ERV 2315.27 2256.23
TOTAL RETURN 131.53% 125.62%
AVERAGE ANNUAL RETURN 20.10% 19.43%
<PAGE>
MSDW Emerging Markets12/1999 Assume ($10000 @ $10.00 on 10/ 1/1996)
DATE DIV PR/SH REINVEST NAV REINVEST SHARES SHARE BASIS
(incl cap gain)
100.000000
12/96 0.0171000000 9.76 0.175 100.175205
12/97 0.3656000000 9.07 4.038 104.213138
7/98 0.0040000000 8.15 0.051 104.264286
12/98 0.0361000000 7.01 0.537 104.801225
7/99 0.0021000000 10.02 0.022 104.823189
M and E Charge = 0.0010833
Death Benefit Charge = 0.0002917
<TABLE>
<CAPTION>
Return for YTD
WITH DEATH BENEFIT CHARGE
FUND GROSS ADMIN/ ADMIN/
MONTH YEAR NAV SHARES VALUE MTHLY M&E ERV MTHLY M&E ERV
<S> <C> <C> <C> <C> <C> <C> <C> <C>
12 1998 7.11 104.8012245 745.13671 1000.00000 1000.00000
1 1999 7.20 104.8012245 754.56882 1.08333 1011.57489 1.37503 1011.28319
2 1999 7.13 104.8012245 747.23273 1.09587 1000.64427 1.39055 1000.06073
3 1999 7.97 104.8012245 835.26576 1.08403 1117.44820 1.37512 1116.50483
4 1999 8.82 104.8012245 924.34680 1.21057 1235.41341 1.53523 1234.04476
5 1999 8.75 104.8012245 917.01071 1.33836 1224.27018 1.69685 1222.55391
6 1999 9.82 104.8012245 1029.14802 1.32629 1372.65464 1.68105 1370.37373
7 1999 9.57 104.8231888 1003.15792 1.48704 1336.50257 1.88431 1333.88200
8 1999 9.56 104.8231888 1002.10969 1.44788 1333.65814 1.83413 1330.65405
9 1999 9.26 104.8231888 970.66273 1.44480 1290.36215 1.82969 1287.06743
10 1999 9.74 104.8231888 1020.97786 1.39789 1355.85128 1.76976 1352.01391
11 1999 11.30 104.8231888 1184.50203 1.46884 1571.54137 1.85906 1566.69917
12 1999 13.84 104.8231888 1450.75293 1.70250 1923.08799 2.15426 1916.70560
</TABLE>
SURRENDER CHARGE = 7.00%
FREE WITHDRAWAL AVAILABLE = 15.00% OF PRINCIPAL + 15.00% OF INTEREST
GROSS RETURN = 94.70%
WITHOUT WITH
SURRENDER SURRENDER
CHARGE CHARGE
WITHOUT DEATH BENEFIT CHARGE
ERV 1923.09 1808.66
TOTAL RETURN 92.31% 80.87%
WITH DEATH BENEFIT CHARGE
ERV 1916.71 1802.66
TOTAL RETURN 91.67% 80.27%
<TABLE>
<CAPTION>
Return for 1 Year
WITH DEATH BENEFIT CHARGE
FUND GROSS ADMIN/ ADMIN/
MONTH YEAR NAV SHARES VALUE MTHLY M&E ERV MTHLY M&E ERV
<S> <C> <C> <C> <C> <C> <C> <C> <C>
12 1998 7.11 104.8012245 745.13671 1000.00000 1000.00000
1 1999 7.20 104.8012245 754.56882 1.08333 1011.57489 1.37503 1011.28319
2 1999 7.13 104.8012245 747.23273 1.09587 1000.64427 1.39055 1000.06073
3 1999 7.97 104.8012245 835.26576 1.08403 1117.44820 1.37512 1116.50483
4 1999 8.82 104.8012245 924.34680 1.21057 1235.41341 1.53523 1234.04476
5 1999 8.75 104.8012245 917.01071 1.33836 1224.27018 1.69685 1222.55391
6 1999 9.82 104.8012245 1029.14802 1.32629 1372.65464 1.68105 1370.37373
7 1999 9.57 104.8231888 1003.15792 1.48704 1336.50257 1.88431 1333.88200
8 1999 9.56 104.8231888 1002.10969 1.44788 1333.65814 1.83413 1330.65405
9 1999 9.26 104.8231888 970.66273 1.44480 1290.36215 1.82969 1287.06743
10 1999 9.74 104.8231888 1020.97786 1.39789 1355.85128 1.76976 1352.01391
11 1999 11.30 104.8231888 1184.50203 1.46884 1571.54137 1.85906 1566.69917
12 1999 13.84 104.8231888 1450.75293 1.70250 1923.08799 2.15426 1916.70560
</TABLE>
SURRENDER CHARGE = 7.00%
FREE WITHDRAWAL AVAILABLE = 15.00% OF PRINCIPAL + 15.00% OF INTEREST
GROSS RETURN = 94.70%
WITHOUT WITH
SURRENDER SURRENDER
CHARGE CHARGE
WITHOUT DEATH BENEFIT CHARGE
ERV 1923.09 1808.66
TOTAL RETURN 92.31% 80.87%
WITH DEATH BENEFIT CHARGE
ERV 1916.71 1802.66
TOTAL RETURN 91.67% 80.27%
<TABLE>
<CAPTION>
Return for 3 Years
WITH DEATH BENEFIT CHARGE
FUND GROSS ADMIN/ ADMIN/
MONTH YEAR NAV SHARES VALUE MTHLY M&E ERV MTHLY M&E ERV
<S> <C> <C> <C> <C> <C> <C> <C> <C>
12 1996 9.78 100.1752049 979.71350 1000.00000 1000.00000
1 1997 10.60 100.1752049 1061.85717 1.08333 1082.76125 1.37503 1082.46955
2 1997 10.94 100.1752049 1095.91674 1.17299 1116.31833 1.48843 1115.70184
3 1997 10.57 100.1752049 1058.85192 1.20934 1077.35416 1.53413 1076.43374
4 1997 10.83 100.1752049 1084.89747 1.16713 1102.68770 1.48013 1101.43163
5 1997 11.26 100.1752049 1127.97281 1.19458 1145.27481 1.51451 1143.64895
6 1997 12.02 100.1752049 1204.10596 1.24071 1221.33506 1.57256 1219.26762
7 1997 12.83 100.1752049 1285.24788 1.32311 1302.31490 1.67653 1299.75471
8 1997 11.64 100.1752049 1166.03939 1.41084 1180.11257 1.78721 1177.41348
9 1997 12.05 100.1752049 1207.11122 1.27846 1220.40166 1.61898 1217.26697
10 1997 10.21 100.1752049 1022.78884 1.32210 1032.72777 1.67378 1029.72005
11 1997 9.87 100.1752049 988.72927 1.11879 997.21843 1.41590 994.01377
12 1997 9.45 104.2131382 984.81416 1.08032 992.18938 1.36680 988.71093
1 1998 9.07 104.2131382 945.21316 1.07487 951.21695 1.35951 947.59373
2 1998 9.73 104.2131382 1013.99383 1.03048 1019.40401 1.30297 1015.24465
3 1998 10.00 104.2131382 1042.13138 1.10435 1046.58734 1.39600 1042.02091
4 1998 10.10 104.2131382 1052.55270 1.13380 1055.91941 1.43281 1051.00831
5 1998 8.70 104.2131382 906.65430 1.14391 908.41043 1.44517 903.87882
6 1998 7.98 104.2131382 831.62084 0.98411 832.24752 1.24286 827.83219
7 1998 8.28 104.2642858 863.30829 0.90160 863.05724 1.13830 858.23698
8 1998 6.08 104.2642858 633.92686 0.93498 632.80754 1.18010 629.02289
9 1998 6.24 104.2642858 650.60914 0.68554 648.77483 0.86493 644.71120
10 1998 6.80 104.2642858 708.99714 0.70284 706.29537 0.88650 701.68340
11 1998 7.25 104.2642858 755.91607 0.76515 752.27035 0.96484 747.15349
12 1998 7.11 104.8012245 745.13671 0.81496 740.72801 1.02736 735.47172
1 1999 7.20 104.8012245 754.56882 0.80246 749.30186 1.01130 743.77019
2 1999 7.13 104.8012245 747.23273 0.81174 741.20524 1.02271 735.51638
3 1999 7.97 104.8012245 835.26576 0.80297 827.72518 1.01136 821.15772
4 1999 8.82 104.8012245 924.34680 0.89670 915.10532 1.12912 907.60502
5 1999 8.75 104.8012245 917.01071 0.99136 906.85122 1.24799 899.15382
6 1999 9.82 104.8012245 1029.14802 0.98242 1016.76374 1.23637 1007.87112
7 1999 9.57 104.8231888 1003.15792 1.10149 989.98489 1.38586 981.03249
8 1999 9.56 104.8231888 1002.10969 1.07248 987.87794 1.34895 978.65842
9 1999 9.26 104.8231888 970.66273 1.07020 955.80739 1.34569 946.60170
10 1999 9.74 104.8231888 1020.97786 1.03546 1004.31702 1.30161 994.36799
11 1999 11.30 104.8231888 1184.50203 1.08801 1164.08471 1.36729 1152.26293
12 1999 13.84 104.8231888 1450.75293 1.26109 1424.48514 1.58440 1409.68276
</TABLE>
SURRENDER CHARGE = 5.00%
FREE WITHDRAWAL AVAILABLE = 15.00% OF PRINCIPAL + 15.00% OF INTEREST
GROSS RETURN = 48.08%
GROSS ANNUAL RETURN = 13.98%
WITHOUT WITH
SURRENDER SURRENDER
CHARGE CHARGE
WITHOUT DEATH BENEFIT CHARGE
ERV 1424.49 1363.94
TOTAL RETURN 42.45% 36.39%
AVERAGE ANNUAL RETURN 12.52% 10.90%
WITH DEATH BENEFIT CHARGE
ERV 1409.68 1349.77
TOTAL RETURN 40.97% 34.98%
AVERAGE ANNUAL RETURN 12.13% 10.51%
<TABLE>
<CAPTION>
Return for Inception
WITH DEATH BENEFIT CHARGE
FUND GROSS ADMIN/ ADMIN/
MONTH YEAR NAV SHARES VALUE MTHLY M&E ERV MTHLY M&E ERV
<S> <C> <C> <C> <C> <C> <C> <C> <C>
9 1996 10.00 100.0000000 1000.00000 1000.00000 1000.00000
10 1996 9.57 100.0000000 957.00000 1.08333 955.91667 1.37503 955.62497
11 1996 9.69 100.0000000 969.00000 1.03558 966.86751 1.31402 966.29371
12 1996 9.78 100.1752049 979.71350 1.04744 976.50999 1.32869 975.64861
1 1997 10.60 100.1752049 1061.85717 1.05789 1057.32718 1.34155 1056.10990
2 1997 10.94 100.1752049 1095.91674 1.14544 1090.09601 1.45219 1088.53294
3 1997 10.57 100.1752049 1058.85192 1.18094 1052.04711 1.49677 1050.22107
4 1997 10.83 100.1752049 1084.89747 1.13972 1076.78556 1.44409 1074.61024
5 1997 11.26 100.1752049 1127.97281 1.16652 1118.37230 1.47762 1115.79950
6 1997 12.02 100.1752049 1204.10596 1.21157 1192.64589 1.53426 1189.57675
7 1997 12.83 100.1752049 1285.24788 1.29203 1271.72351 1.63571 1268.10387
8 1997 11.64 100.1752049 1166.03939 1.37770 1152.39172 1.74369 1148.74182
9 1997 12.05 100.1752049 1207.11122 1.24842 1191.73441 1.57956 1187.62482
10 1997 10.21 100.1752049 1022.78884 1.29105 1008.46898 1.63302 1004.64493
11 1997 9.87 100.1752049 988.72927 1.09251 973.79377 1.38142 969.80815
12 1997 9.45 104.2131382 984.81416 1.05494 968.88285 1.33352 964.63444
1 1998 9.07 104.2131382 945.21316 1.04962 928.87286 1.32640 924.51850
2 1998 9.73 104.2131382 1013.99383 1.00628 995.45821 1.27124 990.52203
3 1998 10.00 104.2131382 1042.13138 1.07841 1022.00299 1.36200 1016.64625
4 1998 10.10 104.2131382 1052.55270 1.10717 1031.11585 1.39792 1025.41479
5 1998 8.70 104.2131382 906.65430 1.11704 887.07186 1.40998 881.86811
6 1998 7.98 104.2131382 831.62084 0.96099 812.69802 1.21260 807.67332
7 1998 8.28 104.2642858 863.30829 0.88042 842.78402 1.11058 837.33771
8 1998 6.08 104.2642858 633.92686 0.91302 617.94288 1.15137 613.70531
9 1998 6.24 104.2642858 650.60914 0.66944 633.53510 0.84387 629.01158
10 1998 6.80 104.2642858 708.99714 0.68633 689.70449 0.86491 684.59643
11 1998 7.25 104.2642858 755.91607 0.74718 734.59951 0.94134 728.95926
12 1998 7.11 104.8012245 745.13671 0.79582 723.32831 1.00234 717.56196
1 1999 7.20 104.8012245 754.56882 0.78361 731.70076 0.98667 725.65835
2 1999 7.13 104.8012245 747.23273 0.79268 723.79432 0.99780 717.60553
3 1999 7.97 104.8012245 835.26576 0.78411 808.28191 0.98673 801.16139
4 1999 8.82 104.8012245 924.34680 0.87564 893.60949 1.10162 885.50358
5 1999 8.75 104.8012245 917.01071 0.96808 885.54927 1.21760 877.25817
6 1999 9.82 104.8012245 1029.14802 0.95935 992.87995 1.20626 983.32806
7 1999 9.57 104.8231888 1003.15792 1.07562 966.73014 1.35211 957.14298
8 1999 9.56 104.8231888 1002.10969 1.04729 964.67268 1.31610 954.82672
9 1999 9.26 104.8231888 970.66273 1.04506 933.35547 1.31292 923.55062
10 1999 9.74 104.8231888 1020.97786 1.01114 980.72561 1.26991 970.15375
11 1999 11.30 104.8231888 1184.50203 1.06245 1136.74036 1.33399 1124.20372
12 1999 13.84 104.8231888 1450.75293 1.23147 1391.02398 1.54582 1375.35502
</TABLE>
SURRENDER CHARGE = 4.00%
FREE WITHDRAWAL AVAILABLE = 15.00% OF PRINCIPAL + 15.00% OF INTEREST
GROSS RETURN = 45.08%
GROSS ANNUAL RETURN = 12.13%
WITHOUT WITH
SURRENDER SURRENDER
CHARGE CHARGE
WITHOUT DEATH BENEFIT CHARGE
ERV 1391.02 1343.73
TOTAL RETURN 39.10% 34.37%
AVERAGE ANNUAL RETURN 10.69% 9.52%
WITH DEATH BENEFIT CHARGE
ERV 1375.36 1328.59
TOTAL RETURN 37.54% 32.86%
AVERAGE ANNUAL RETURN 10.31% 9.14%
<TABLE>
<CAPTION>
Return for Product Inception
WITH DEATH BENEFIT CHARGE
FUND GROSS ADMIN/ ADMIN/
MONTH YEAR NAV SHARES VALUE MTHLY M&E ERV MTHLY M&E ERV
<S> <C> <C> <C> <C> <C> <C> <C> <C>
5 1998 8.70 104.2131382 906.65430 1000.00000 1000.00000
6 1998 7.98 104.2131382 831.62084 1.08333 916.15805 1.37503 915.86635
7 1998 8.28 104.2642858 863.30829 0.99250 950.07413 1.25935 949.50447
8 1998 6.08 104.2642858 633.92686 1.02925 696.60972 1.30560 695.91507
9 1998 6.24 104.2642858 650.60914 0.75466 714.18690 0.95691 713.27172
10 1998 6.80 104.2642858 708.99714 0.77370 777.50689 0.98077 776.30251
11 1998 7.25 104.2642858 755.91607 0.84230 828.11726 1.06744 826.60803
12 1998 7.11 104.8012245 745.13671 0.89713 815.41117 1.13661 813.68398
1 1999 7.20 104.8012245 754.56882 0.88336 824.84947 1.11884 822.86494
2 1999 7.13 104.8012245 747.23273 0.89359 815.93652 1.13147 813.73340
3 1999 7.97 104.8012245 835.26576 0.88393 911.17975 1.11891 908.48210
4 1999 8.82 104.8012245 924.34680 0.98711 1007.36990 1.24919 1004.12246
5 1999 8.75 104.8012245 917.01071 1.09132 998.28358 1.38070 994.77253
6 1999 9.82 104.8012245 1029.14802 1.08147 1119.27793 1.36785 1115.05116
7 1999 9.57 104.8231888 1003.15792 1.21255 1089.79913 1.53323 1085.35842
8 1999 9.56 104.8231888 1002.10969 1.18062 1087.47975 1.49240 1082.73189
9 1999 9.26 104.8231888 970.66273 1.17810 1052.17571 1.48879 1047.26616
10 1999 9.74 104.8231888 1020.97786 1.13986 1105.57628 1.44003 1100.11206
11 1999 11.30 104.8231888 1184.50203 1.19771 1281.45239 1.51269 1274.79802
12 1999 13.84 104.8231888 1450.75293 1.38824 1568.10743 1.75289 1559.59265
</TABLE>
SURRENDER CHARGE = 6.00%
FREE WITHDRAWAL AVAILABLE = 15.00% OF PRINCIPAL + 15.00% OF INTEREST
GROSS RETURN = 60.01%
GROSS ANNUAL RETURN = 32.54%
WITHOUT WITH
SURRENDER SURRENDER
CHARGE CHARGE
WITHOUT DEATH BENEFIT CHARGE
ERV 1568.11 1488.13
TOTAL RETURN 56.81% 48.81%
AVERAGE ANNUAL RETURN 30.95% 26.90%
WITH DEATH BENEFIT CHARGE
ERV 1559.59 1480.05
TOTAL RETURN 55.96% 48.01%
AVERAGE ANNUAL RETURN 30.52% 26.49%
<PAGE>
MSDW Fixed Income 12/1999
Assume ($10000 @ $10.00 on 1/ 2/1997)
DATE DIV PR/SH REINVEST NAV REINVEST SHARES SHARE BASIS
(incl cap gain)
100.000000
12/97 0.5830000000 10.41 5.600 105.600384
7/98 0.0386000000 10.77 0.378 105.978859
12/98 0.4906000000 10.66 4.877 110.856273
12/99 0.4771000000 10.11 5.231 116.087680
M and E Charge = 0.0010833
Death Benefit Charge = 0.0002917
<TABLE>
<CAPTION>
Return for YTD
WITH DEATH BENEFIT CHARGE
FUND GROSS ADMIN/ ADMIN/
MONTH YEAR NAV SHARES VALUE MTHLY M&E ERV MTHLY M&E ERV
<S> <C> <C> <C> <C> <C> <C> <C> <C>
12 1998 10.70 110.8562727 1186.16212 1000.00000 1000.00000
1 1999 10.79 110.8562727 1196.13918 1.08333 1007.32788 1.37503 1007.03618
2 1999 10.60 110.8562727 1175.07649 1.09127 988.49868 1.38471 987.91868
3 1999 10.68 110.8562727 1183.94499 1.07087 994.88817 1.35842 994.01625
4 1999 10.71 110.8562727 1187.27068 1.07780 996.60500 1.36681 995.44162
5 1999 10.56 110.8562727 1170.64224 1.07966 981.56730 1.36877 980.13110
6 1999 10.49 110.8562727 1162.88230 1.06336 973.99733 1.34771 972.28630
7 1999 10.38 110.8562727 1150.68811 1.05516 962.72866 1.33693 960.75381
8 1999 10.37 110.8562727 1149.57955 1.04296 960.75822 1.32107 958.50716
9 1999 10.53 110.8562727 1167.31655 1.04082 974.54105 1.31798 971.97810
10 1999 10.59 110.8562727 1173.96793 1.05575 979.03824 1.33650 976.17994
11 1999 10.59 110.8562727 1173.96793 1.06062 977.97762 1.34228 974.83766
12 1999 10.05 116.0876800 1166.68118 1.05948 970.84789 1.34043 967.44647
</TABLE>
SURRENDER CHARGE = 7.00%
FREE WITHDRAWAL AVAILABLE = 15.00% OF PRINCIPAL + 15.00% OF INTEREST
GROSS RETURN = -1.64%
WITHOUT WITH
SURRENDER SURRENDER
CHARGE CHARGE
WITHOUT DEATH BENEFIT CHARGE
ERV 970.85 913.08
TOTAL RETURN -2.92% -8.69%
WITH DEATH BENEFIT CHARGE
ERV 967.45 909.88
TOTAL RETURN -3.26% -9.01%
<TABLE>
<CAPTION>
Return for 1 Year
WITH DEATH BENEFIT CHARGE
FUND GROSS ADMIN/ ADMIN/
MONTH YEAR NAV SHARES VALUE MTHLY M&E ERV MTHLY M&E ERV
<S> <C> <C> <C> <C> <C> <C> <C> <C>
12 1998 10.70 110.8562727 1186.16212 1000.00000 1000.00000
1 1999 10.79 110.8562727 1196.13918 1.08333 1007.32788 1.37503 1007.03618
2 1999 10.60 110.8562727 1175.07649 1.09127 988.49868 1.38471 987.91868
3 1999 10.68 110.8562727 1183.94499 1.07087 994.88817 1.35842 994.01625
4 1999 10.71 110.8562727 1187.27068 1.07780 996.60500 1.36681 995.44162
5 1999 10.56 110.8562727 1170.64224 1.07966 981.56730 1.36877 980.13110
6 1999 10.49 110.8562727 1162.88230 1.06336 973.99733 1.34771 972.28630
7 1999 10.38 110.8562727 1150.68811 1.05516 962.72866 1.33693 960.75381
8 1999 10.37 110.8562727 1149.57955 1.04296 960.75822 1.32107 958.50716
9 1999 10.53 110.8562727 1167.31655 1.04082 974.54105 1.31798 971.97810
10 1999 10.59 110.8562727 1173.96793 1.05575 979.03824 1.33650 976.17994
11 1999 10.59 110.8562727 1173.96793 1.06062 977.97762 1.34228 974.83766
12 1999 10.05 116.0876800 1166.68118 1.05948 970.84789 1.34043 967.44647
</TABLE>
SURRENDER CHARGE = 7.00%
FREE WITHDRAWAL AVAILABLE = 15.00% OF PRINCIPAL + 15.00% OF INTEREST
GROSS RETURN = -1.64%
WITHOUT WITH
SURRENDER SURRENDER
CHARGE CHARGE
WITHOUT DEATH BENEFIT CHARGE
ERV 970.85 913.08
TOTAL RETURN -2.92% -8.69%
WITH DEATH BENEFIT CHARGE
ERV 967.45 909.88
TOTAL RETURN -3.26% -9.01%
<TABLE>
<CAPTION>
Return for 3 Years
WITH DEATH BENEFIT CHARGE
FUND GROSS ADMIN/ ADMIN/
MONTH YEAR NAV SHARES VALUE MTHLY M&E ERV MTHLY M&E ERV
<S> <C> <C> <C> <C> <C> <C> <C> <C>
12 1996 10.00 100.0000000 1000.00000 1000.00000 1000.00000
1 1997 10.07 100.0000000 1007.00000 1.08333 1005.91667 1.37503 1005.62497
2 1997 10.11 100.0000000 1011.00000 1.08974 1008.82262 1.38277 1008.23674
3 1997 9.99 100.0000000 999.00000 1.09289 995.75557 1.38636 994.88318
4 1997 10.13 100.0000000 1013.00000 1.07874 1008.63137 1.36800 1007.45749
5 1997 10.22 100.0000000 1022.00000 1.09268 1016.49987 1.38529 1015.02296
6 1997 10.35 100.0000000 1035.00000 1.10121 1028.32870 1.39569 1026.53852
7 1997 10.63 100.0000000 1063.00000 1.11402 1055.03420 1.41152 1052.89808
8 1997 10.53 100.0000000 1053.00000 1.14295 1043.96618 1.44777 1041.54534
9 1997 10.69 100.0000000 1069.00000 1.13096 1058.69796 1.43216 1055.93913
10 1997 10.82 100.0000000 1082.00000 1.14692 1070.42575 1.45195 1067.32835
11 1997 10.89 100.0000000 1089.00000 1.15963 1076.19124 1.46761 1072.76582
12 1997 10.41 105.6003842 1099.30000 1.16587 1085.20422 1.47509 1081.43719
1 1998 10.56 105.6003842 1115.14006 1.17564 1099.66553 1.48701 1095.53284
2 1998 10.55 105.6003842 1114.08405 1.19130 1097.43288 1.50639 1092.98901
3 1998 10.58 105.6003842 1117.25207 1.18889 1099.36465 1.50290 1094.59414
4 1998 10.63 105.6003842 1122.53208 1.19098 1103.36916 1.50510 1098.26198
5 1998 10.71 105.6003842 1130.98012 1.19532 1110.47766 1.51015 1105.01721
6 1998 10.78 105.6003842 1138.37214 1.20302 1116.53266 1.51944 1110.72011
7 1998 10.77 105.9788592 1141.39231 1.20958 1118.28532 1.52728 1112.13964
8 1998 10.85 105.9788592 1149.87062 1.21148 1125.38051 1.52923 1118.87143
9 1998 11.09 105.9788592 1175.30555 1.21916 1149.05456 1.53849 1142.08217
10 1998 11.02 105.9788592 1167.88703 1.24481 1140.55692 1.57040 1133.30296
11 1998 11.18 105.9788592 1184.84365 1.23560 1155.88113 1.55833 1148.19912
12 1998 10.70 110.8562727 1186.16212 1.25220 1155.91517 1.57881 1147.89800
1 1999 10.79 110.8562727 1196.13918 1.25224 1164.38558 1.57840 1155.97482
2 1999 10.60 110.8562727 1175.07649 1.26142 1142.62062 1.58950 1134.02987
3 1999 10.68 110.8562727 1183.94499 1.23784 1150.00633 1.55933 1141.02926
4 1999 10.71 110.8562727 1187.27068 1.24584 1151.99084 1.56895 1142.66545
5 1999 10.56 110.8562727 1170.64224 1.24799 1134.60853 1.57120 1125.09052
6 1999 10.49 110.8562727 1162.88230 1.22916 1125.85829 1.54704 1116.08550
7 1999 10.38 110.8562727 1150.68811 1.21968 1112.83266 1.53465 1102.84738
8 1999 10.37 110.8562727 1149.57955 1.20557 1110.55500 1.51645 1100.26845
9 1999 10.53 110.8562727 1167.31655 1.20310 1126.48679 1.51291 1115.73172
10 1999 10.59 110.8562727 1173.96793 1.22036 1131.68515 1.53417 1120.55500
11 1999 10.59 110.8562727 1173.96793 1.22599 1130.45916 1.54080 1119.01420
12 1999 10.05 116.0876800 1166.68118 1.22466 1122.21781 1.53868 1110.52987
</TABLE>
SURRENDER CHARGE = 5.00%
FREE WITHDRAWAL AVAILABLE = 15.00% OF PRINCIPAL + 15.00% OF INTEREST
GROSS RETURN = 16.67%
GROSS ANNUAL RETURN = 5.27%
WITHOUT WITH
SURRENDER SURRENDER
CHARGE CHARGE
WITHOUT DEATH BENEFIT CHARGE
ERV 1122.22 1074.52
TOTAL RETURN 12.22% 7.45%
AVERAGE ANNUAL RETURN 3.92% 2.42%
WITH DEATH BENEFIT CHARGE
ERV 1110.53 1063.33
TOTAL RETURN 11.05% 6.33%
AVERAGE ANNUAL RETURN 3.56% 2.07%
<TABLE>
<CAPTION>
Return for Inception
WITH DEATH BENEFIT CHARGE
FUND GROSS ADMIN/ ADMIN/
MONTH YEAR NAV SHARES VALUE MTHLY M&E ERV MTHLY M&E ERV
<S> <C> <C> <C> <C> <C> <C> <C> <C>
12 1996 10.00 100.0000000 1000.00000 1000.00000 1000.00000
1 1997 10.07 100.0000000 1007.00000 1.08333 1005.91667 1.37503 1005.62497
2 1997 10.11 100.0000000 1011.00000 1.08974 1008.82262 1.38277 1008.23674
3 1997 9.99 100.0000000 999.00000 1.09289 995.75557 1.38636 994.88318
4 1997 10.13 100.0000000 1013.00000 1.07874 1008.63137 1.36800 1007.45749
5 1997 10.22 100.0000000 1022.00000 1.09268 1016.49987 1.38529 1015.02296
6 1997 10.35 100.0000000 1035.00000 1.10121 1028.32870 1.39569 1026.53852
7 1997 10.63 100.0000000 1063.00000 1.11402 1055.03420 1.41152 1052.89808
8 1997 10.53 100.0000000 1053.00000 1.14295 1043.96618 1.44777 1041.54534
9 1997 10.69 100.0000000 1069.00000 1.13096 1058.69796 1.43216 1055.93913
10 1997 10.82 100.0000000 1082.00000 1.14692 1070.42575 1.45195 1067.32835
11 1997 10.89 100.0000000 1089.00000 1.15963 1076.19124 1.46761 1072.76582
12 1997 10.41 105.6003842 1099.30000 1.16587 1085.20422 1.47509 1081.43719
1 1998 10.56 105.6003842 1115.14006 1.17564 1099.66553 1.48701 1095.53284
2 1998 10.55 105.6003842 1114.08405 1.19130 1097.43288 1.50639 1092.98901
3 1998 10.58 105.6003842 1117.25207 1.18889 1099.36465 1.50290 1094.59414
4 1998 10.63 105.6003842 1122.53208 1.19098 1103.36916 1.50510 1098.26198
5 1998 10.71 105.6003842 1130.98012 1.19532 1110.47766 1.51015 1105.01721
6 1998 10.78 105.6003842 1138.37214 1.20302 1116.53266 1.51944 1110.72011
7 1998 10.77 105.9788592 1141.39231 1.20958 1118.28532 1.52728 1112.13964
8 1998 10.85 105.9788592 1149.87062 1.21148 1125.38051 1.52923 1118.87143
9 1998 11.09 105.9788592 1175.30555 1.21916 1149.05456 1.53849 1142.08217
10 1998 11.02 105.9788592 1167.88703 1.24481 1140.55692 1.57040 1133.30296
11 1998 11.18 105.9788592 1184.84365 1.23560 1155.88113 1.55833 1148.19912
12 1998 10.70 110.8562727 1186.16212 1.25220 1155.91517 1.57881 1147.89800
1 1999 10.79 110.8562727 1196.13918 1.25224 1164.38558 1.57840 1155.97482
2 1999 10.60 110.8562727 1175.07649 1.26142 1142.62062 1.58950 1134.02987
3 1999 10.68 110.8562727 1183.94499 1.23784 1150.00633 1.55933 1141.02926
4 1999 10.71 110.8562727 1187.27068 1.24584 1151.99084 1.56895 1142.66545
5 1999 10.56 110.8562727 1170.64224 1.24799 1134.60853 1.57120 1125.09052
6 1999 10.49 110.8562727 1162.88230 1.22916 1125.85829 1.54704 1116.08550
7 1999 10.38 110.8562727 1150.68811 1.21968 1112.83266 1.53465 1102.84738
8 1999 10.37 110.8562727 1149.57955 1.20557 1110.55500 1.51645 1100.26845
9 1999 10.53 110.8562727 1167.31655 1.20310 1126.48679 1.51291 1115.73172
10 1999 10.59 110.8562727 1173.96793 1.22036 1131.68515 1.53417 1120.55500
11 1999 10.59 110.8562727 1173.96793 1.22599 1130.45916 1.54080 1119.01420
12 1999 10.05 116.0876800 1166.68118 1.22466 1122.21781 1.53868 1110.52987
</TABLE>
SURRENDER CHARGE = 5.00%
FREE WITHDRAWAL AVAILABLE = 15.00% OF PRINCIPAL + 15.00% OF INTEREST
GROSS RETURN = 16.67%
GROSS ANNUAL RETURN = 5.28%
WITHOUT WITH
SURRENDER SURRENDER
CHARGE CHARGE
WITHOUT DEATH BENEFIT CHARGE
ERV 1122.22 1074.52
TOTAL RETURN 12.22% 7.45%
AVERAGE ANNUAL RETURN 3.93% 2.43%
WITH DEATH BENEFIT CHARGE
ERV 1110.53 1063.33
TOTAL RETURN 11.05% 6.33%
AVERAGE ANNUAL RETURN 3.56% 2.07%
<TABLE>
<CAPTION>
Return for Product Inception
WITH DEATH BENEFIT CHARGE
FUND GROSS ADMIN/ ADMIN/
MONTH YEAR NAV SHARES VALUE MTHLY M&E ERV MTHLY M&E ERV
<S> <C> <C> <C> <C> <C> <C> <C> <C>
5 1998 10.71 105.6003842 1130.98012 1000.00000 1000.00000
6 1998 10.78 105.6003842 1138.37214 1.08333 1005.45261 1.37503 1005.16091
7 1998 10.77 105.9788592 1141.39231 1.08924 1007.03090 1.38213 1006.44554
8 1998 10.85 105.9788592 1149.87062 1.09095 1013.42022 1.38390 1012.53756
9 1998 11.09 105.9788592 1175.30555 1.09787 1034.73901 1.39227 1033.54243
10 1998 11.02 105.9788592 1167.88703 1.12097 1027.08678 1.42116 1025.59756
11 1998 11.18 105.9788592 1184.84365 1.11268 1040.88644 1.41023 1039.07804
12 1998 10.70 110.8562727 1186.16212 1.12763 1040.91709 1.42877 1038.80554
1 1999 10.79 110.8562727 1196.13918 1.12766 1048.54481 1.42839 1046.11477
2 1999 10.60 110.8562727 1175.07649 1.13592 1028.94516 1.43844 1026.25540
3 1999 10.68 110.8562727 1183.94499 1.11469 1035.59610 1.41114 1032.58959
4 1999 10.71 110.8562727 1187.27068 1.12190 1037.38318 1.41985 1034.07027
5 1999 10.56 110.8562727 1170.64224 1.12383 1021.73017 1.42188 1018.16561
6 1999 10.49 110.8562727 1162.88230 1.10687 1013.85046 1.40001 1010.01640
7 1999 10.38 110.8562727 1150.68811 1.09834 1002.12071 1.38881 998.03638
8 1999 10.37 110.8562727 1149.57955 1.08563 1000.06965 1.37233 995.70255
9 1999 10.53 110.8562727 1167.31655 1.08341 1014.41643 1.36912 1009.69624
10 1999 10.59 110.8562727 1173.96793 1.09895 1019.09763 1.38837 1014.06113
11 1999 10.59 110.8562727 1173.96793 1.10402 1017.99361 1.39437 1012.66676
12 1999 10.05 116.0876800 1166.68118 1.10283 1010.57216 1.39245 1004.98875
</TABLE>
SURRENDER CHARGE = 6.00%
FREE WITHDRAWAL AVAILABLE = 15.00% OF PRINCIPAL + 15.00% OF INTEREST
GROSS RETURN = 3.16%
GROSS ANNUAL RETURN = 1.88%
WITHOUT WITH
SURRENDER SURRENDER
CHARGE CHARGE
WITHOUT DEATH BENEFIT CHARGE
ERV 1010.57 959.03
TOTAL RETURN 1.06% -4.10%
AVERAGE ANNUAL RETURN 0.63% -2.48%
WITH DEATH BENEFIT CHARGE
ERV 1004.99 953.73
TOTAL RETURN 0.50% -4.63%
AVERAGE ANNUAL RETURN 0.30% -2.80%
<PAGE>
Pioneer Capital Growth
12/1999
Assume ($10000 @ $10.00 on 3/ 1/1995)
DATE DIV PR/SH REINVEST NAV REINVEST SHARES SHARE BASIS
(incl cap gain)
100.000000
12/95 0.1475000000 11.57 1.275 101.274849
6/96 0.0729000000 13.29 0.556 101.830374
12/96 0.1855000000 13.05 1.447 103.277848
6/97 0.1139000000 15.09 0.780 104.057394
6/98 1.1295000000 16.19 7.260 111.316988
6/99 0.1339000000 16.47 0.905 112.221988
M and E Charge = 0.0010833
Death Benefit Charge = 0.0002917
<TABLE>
<CAPTION>
Return for YTD
WITH DEATH BENEFIT CHARGE
FUND GROSS ADMIN/ ADMIN/
MONTH YEAR NAV SHARES VALUE MTHLY M&E ERV MTHLY M&E ERV
<S> <C> <C> <C> <C> <C> <C> <C> <C>
12 1998 14.50 111.3169882 1614.09633 1000.00000 1000.00000
1 1999 14.49 111.3169882 1612.98316 1.08333 998.22701 1.37503 997.93531
2 1999 14.08 111.3169882 1567.34319 1.08141 968.90039 1.37219 968.32616
3 1999 14.83 111.3169882 1650.83093 1.04964 1019.46121 1.33148 1018.57456
4 1999 15.82 111.3169882 1761.03475 1.10442 1086.41253 1.40057 1085.17053
5 1999 16.10 111.3169882 1792.20351 1.17695 1104.46412 1.49215 1102.88494
6 1999 16.77 112.2219879 1881.96274 1.19650 1158.58268 1.51650 1156.60441
7 1999 16.38 112.2219879 1838.19616 1.25513 1130.38377 1.59037 1128.11626
8 1999 15.67 112.2219879 1758.51855 1.22458 1080.16209 1.55120 1077.66625
9 1999 14.96 112.2219879 1678.84094 1.17018 1030.05030 1.48183 1027.35590
10 1999 15.12 112.2219879 1696.79646 1.11589 1039.95099 1.41265 1036.93101
11 1999 15.69 112.2219879 1760.76299 1.12661 1078.02888 1.42581 1074.59585
12 1999 16.26 112.2219879 1824.72952 1.16786 1116.02459 1.47761 1112.15710
</TABLE>
SURRENDER CHARGE = 7.00%
FREE WITHDRAWAL AVAILABLE = 15.00% OF PRINCIPAL + 15.00% OF INTEREST
GROSS RETURN = 13.05%
WITHOUT WITH
SURRENDER SURRENDER
CHARGE CHARGE
WITHOUT DEATH BENEFIT CHARGE
ERV 1116.02 1049.62
TOTAL RETURN 11.60% 4.96%
WITH DEATH BENEFIT CHARGE
ERV 1112.16 1045.98
TOTAL RETURN 11.22% 4.60%
<TABLE>
<CAPTION>
Return for 1 Year
WITH DEATH BENEFIT CHARGE
FUND GROSS ADMIN/ ADMIN/
MONTH YEAR NAV SHARES VALUE MTHLY M&E ERV MTHLY M&E ERV
<S> <C> <C> <C> <C> <C> <C> <C> <C>
12 1998 14.50 111.3169882 1614.09633 1000.00000 1000.00000
1 1999 14.49 111.3169882 1612.98316 1.08333 998.22701 1.37503 997.93531
2 1999 14.08 111.3169882 1567.34319 1.08141 968.90039 1.37219 968.32616
3 1999 14.83 111.3169882 1650.83093 1.04964 1019.46121 1.33148 1018.57456
4 1999 15.82 111.3169882 1761.03475 1.10442 1086.41253 1.40057 1085.17053
5 1999 16.10 111.3169882 1792.20351 1.17695 1104.46412 1.49215 1102.88494
6 1999 16.77 112.2219879 1881.96274 1.19650 1158.58268 1.51650 1156.60441
7 1999 16.38 112.2219879 1838.19616 1.25513 1130.38377 1.59037 1128.11626
8 1999 15.67 112.2219879 1758.51855 1.22458 1080.16209 1.55120 1077.66625
9 1999 14.96 112.2219879 1678.84094 1.17018 1030.05030 1.48183 1027.35590
10 1999 15.12 112.2219879 1696.79646 1.11589 1039.95099 1.41265 1036.93101
11 1999 15.69 112.2219879 1760.76299 1.12661 1078.02888 1.42581 1074.59585
12 1999 16.26 112.2219879 1824.72952 1.16786 1116.02459 1.47761 1112.15710
</TABLE>
SURRENDER CHARGE = 7.00%
FREE WITHDRAWAL AVAILABLE = 15.00% OF PRINCIPAL + 15.00% OF INTEREST
GROSS RETURN = 13.05%
WITHOUT WITH
SURRENDER SURRENDER
CHARGE CHARGE
WITHOUT DEATH BENEFIT CHARGE
ERV 1116.02 1049.62
TOTAL RETURN 11.60% 4.96%
WITH DEATH BENEFIT CHARGE
ERV 1112.16 1045.98
TOTAL RETURN 11.22% 4.60%
<TABLE>
<CAPTION>
Return for 3 Years
WITH DEATH BENEFIT CHARGE
FUND GROSS ADMIN/ ADMIN/
MONTH YEAR NAV SHARES VALUE MTHLY M&E ERV MTHLY M&E ERV
<S> <C> <C> <C> <C> <C> <C> <C> <C>
12 1996 13.05 103.2778483 1347.77592 1000.00000 1000.00000
1 1997 13.77 103.2778483 1422.13597 1.08333 1054.08908 1.37503 1053.79738
2 1997 13.92 103.2778483 1437.62765 1.14193 1064.42960 1.44901 1063.82765
3 1997 13.82 103.2778483 1427.29986 1.15313 1055.62971 1.46280 1054.72241
4 1997 13.60 103.2778483 1404.57874 1.14360 1037.68158 1.45028 1036.48205
5 1997 14.71 103.2778483 1519.21715 1.12416 1121.25056 1.42520 1119.65208
6 1997 14.94 104.0573942 1554.61747 1.21469 1146.16290 1.53956 1144.20230
7 1997 15.81 104.0573942 1645.14740 1.24168 1211.66565 1.57332 1209.25924
8 1997 16.14 104.0573942 1679.48634 1.31264 1235.64394 1.66277 1232.83717
9 1997 16.88 104.0573942 1756.48881 1.33861 1290.95815 1.69519 1287.66611
10 1997 15.98 104.0573942 1662.83716 1.39854 1220.72890 1.77058 1217.24035
11 1997 16.03 104.0573942 1668.04003 1.32246 1223.22600 1.67375 1219.37524
12 1997 16.15 104.0573942 1680.52692 1.32516 1231.05786 1.67668 1226.82675
1 1998 15.98 104.0573942 1662.83716 1.33365 1216.76571 1.68693 1212.22586
2 1998 17.01 104.0573942 1770.01628 1.31816 1293.87488 1.66685 1288.69372
3 1998 17.93 104.0573942 1865.74908 1.40170 1362.45348 1.77200 1356.62179
4 1998 18.20 104.0573942 1893.84457 1.47599 1381.49408 1.86540 1375.18516
5 1998 17.86 104.0573942 1858.46506 1.49662 1354.18933 1.89093 1347.60397
6 1998 16.38 111.3169882 1823.37227 1.46704 1327.15157 1.85300 1320.30460
7 1998 15.50 111.3169882 1725.41332 1.43775 1254.41386 1.81546 1247.55702
8 1998 12.85 111.3169882 1430.42330 1.35895 1038.59061 1.71543 1032.54958
9 1998 12.95 111.3169882 1441.55500 1.12514 1045.54788 1.41979 1039.16520
10 1998 13.79 111.3169882 1535.06127 1.13268 1112.23453 1.42889 1105.14162
11 1998 13.97 111.3169882 1555.09833 1.20492 1125.54754 1.51961 1118.04736
12 1998 14.50 111.3169882 1614.09633 1.21934 1167.02971 1.53735 1158.92698
1 1999 14.49 111.3169882 1612.98316 1.26428 1164.96058 1.59356 1156.53415
2 1999 14.08 111.3169882 1567.34319 1.26204 1130.73554 1.59027 1122.21931
3 1999 14.83 111.3169882 1650.83093 1.22496 1189.74152 1.54309 1180.45353
4 1999 15.82 111.3169882 1761.03475 1.28889 1267.87570 1.62316 1257.63340
5 1999 16.10 111.3169882 1792.20351 1.37353 1288.94245 1.72929 1278.16311
6 1999 16.77 112.2219879 1881.96274 1.39635 1352.10041 1.75752 1340.42005
7 1999 16.38 112.2219879 1838.19616 1.46478 1319.19144 1.84312 1307.40437
8 1999 15.67 112.2219879 1758.51855 1.42912 1260.58125 1.79772 1248.93649
9 1999 14.96 112.2219879 1678.84094 1.36563 1202.09930 1.71733 1190.63046
10 1999 15.12 112.2219879 1696.79646 1.30227 1213.65370 1.63716 1201.72732
11 1999 15.69 112.2219879 1760.76299 1.31479 1258.09173 1.65242 1245.37812
12 1999 16.26 112.2219879 1824.72952 1.36293 1302.43385 1.71244 1288.90886
</TABLE>
SURRENDER CHARGE = 5.00%
FREE WITHDRAWAL AVAILABLE = 15.00% OF PRINCIPAL + 15.00% OF INTEREST
GROSS RETURN = 35.39%
GROSS ANNUAL RETURN = 10.63%
WITHOUT WITH
SURRENDER SURRENDER
CHARGE CHARGE
WITHOUT DEATH BENEFIT CHARGE
ERV 1302.43 1247.08
TOTAL RETURN 30.24% 24.71%
AVERAGE ANNUAL RETURN 9.21% 7.64%
WITH DEATH BENEFIT CHARGE
ERV 1288.91 1234.13
TOTAL RETURN 28.89% 23.41%
AVERAGE ANNUAL RETURN 8.83% 7.26%
<TABLE>
<CAPTION>
Return for Inception
WITH DEATH BENEFIT CHARGE
FUND GROSS ADMIN/ ADMIN/
MONTH YEAR NAV SHARES VALUE MTHLY M&E ERV MTHLY M&E ERV
<S> <C> <C> <C> <C> <C> <C> <C> <C>
2 1995 10.00 100.0000000 1000.00000 1000.00000 1000.00000
3 1995 9.91 100.0000000 991.00000 1.08333 989.91667 1.37503 989.62497
4 1995 10.07 100.0000000 1007.00000 1.07241 1004.82677 1.36077 1004.24200
5 1995 10.13 100.0000000 1013.00000 1.08856 1009.72526 1.38087 1008.84470
6 1995 10.65 100.0000000 1065.00000 1.09387 1060.46328 1.38720 1059.24420
7 1995 11.46 100.0000000 1146.00000 1.14884 1139.96940 1.45650 1138.34994
8 1995 11.80 100.0000000 1180.00000 1.23497 1172.55552 1.56527 1170.55771
9 1995 11.98 100.0000000 1198.00000 1.27027 1189.17169 1.60956 1186.80412
10 1995 11.60 100.0000000 1160.00000 1.28827 1150.16345 1.63190 1147.52735
11 1995 11.84 100.0000000 1184.00000 1.24601 1172.71393 1.57789 1169.69141
12 1995 11.57 101.2748487 1171.75000 1.27044 1159.31025 1.60836 1155.98108
1 1996 11.83 101.2748487 1198.08146 1.25592 1184.10625 1.58951 1180.36867
2 1996 11.87 101.2748487 1202.13245 1.28278 1186.82721 1.62305 1182.73673
3 1996 12.47 101.2748487 1262.89736 1.28573 1245.53275 1.62630 1240.89493
4 1996 13.21 101.2748487 1337.84075 1.34933 1318.09635 1.70627 1312.82637
5 1996 13.74 101.2748487 1391.51642 1.42794 1369.55191 1.80518 1363.69325
6 1996 13.29 101.8303744 1353.32568 1.48368 1330.48031 1.87512 1324.39100
7 1996 12.20 101.8303744 1242.33057 1.44135 1219.91755 1.82108 1213.94793
8 1996 12.71 101.8303744 1294.26406 1.32158 1269.59252 1.66922 1263.02572
9 1996 12.91 101.8303744 1314.63013 1.37539 1288.19498 1.73670 1281.16354
10 1996 12.75 101.8303744 1298.33727 1.39554 1270.83420 1.76164 1263.52380
11 1996 13.13 101.8303744 1337.03282 1.37674 1307.33331 1.73739 1299.44438
12 1996 13.05 103.2778483 1347.77592 1.41628 1316.42150 1.78678 1308.09868
1 1997 13.77 103.2778483 1422.13597 1.42612 1387.62553 1.79868 1378.47096
2 1997 13.92 103.2778483 1437.62765 1.50326 1401.23801 1.89544 1391.59154
3 1997 13.82 103.2778483 1427.29986 1.51801 1389.65364 1.91348 1379.68099
4 1997 13.60 103.2778483 1404.57874 1.50546 1366.02635 1.89711 1355.82080
5 1997 14.71 103.2778483 1519.21715 1.47986 1476.03834 1.86430 1464.61541
6 1997 14.94 104.0573942 1554.61747 1.59904 1508.83348 2.01389 1496.72952
7 1997 15.81 104.0573942 1645.14740 1.63457 1595.06271 2.05805 1581.83041
8 1997 16.14 104.0573942 1679.48634 1.72798 1626.62825 2.17507 1612.67268
9 1997 16.88 104.0573942 1756.48881 1.76218 1699.44506 2.21748 1684.39434
10 1997 15.98 104.0573942 1662.83716 1.84107 1606.99377 2.31610 1592.27049
11 1997 16.03 104.0573942 1668.04003 1.74091 1610.28100 2.18942 1595.06314
12 1997 16.15 104.0573942 1680.52692 1.74447 1620.59104 2.19326 1604.81046
1 1998 15.98 104.0573942 1662.83716 1.75564 1601.77654 2.20667 1585.71105
2 1998 17.01 104.0573942 1770.01628 1.73526 1703.28471 2.18041 1685.73855
3 1998 17.93 104.0573942 1865.74908 1.84523 1793.56305 2.31795 1774.59517
4 1998 18.20 104.0573942 1893.84457 1.94303 1818.62850 2.44013 1798.87790
5 1998 17.86 104.0573942 1858.46506 1.97018 1782.68394 2.47352 1762.79897
6 1998 16.38 111.3169882 1823.37227 1.93124 1747.09086 2.42391 1727.08870
7 1998 15.50 111.3169882 1725.41332 1.89268 1651.33738 2.37480 1631.92769
8 1998 12.85 111.3169882 1430.42330 1.78895 1367.22300 2.24395 1350.67674
9 1998 12.95 111.3169882 1441.55500 1.48116 1376.38171 1.85723 1359.33062
10 1998 13.79 111.3169882 1535.06127 1.49108 1464.16945 1.86912 1445.63429
11 1998 13.97 111.3169882 1555.09833 1.58618 1481.69498 1.98780 1462.51627
12 1998 14.50 111.3169882 1614.09633 1.60517 1536.30300 2.01101 1515.99085
1 1999 14.49 111.3169882 1612.98316 1.66433 1533.57915 2.08454 1512.86080
2 1999 14.08 111.3169882 1567.34319 1.66138 1488.52458 2.08023 1467.97360
3 1999 14.83 111.3169882 1650.83093 1.61257 1566.20132 2.01851 1544.14970
4 1999 15.82 111.3169882 1761.03475 1.69672 1669.05883 2.12326 1645.10859
5 1999 16.10 111.3169882 1792.20351 1.80815 1696.79155 2.26208 1671.96348
6 1999 16.77 112.2219879 1881.96274 1.83819 1779.93405 2.29901 1753.40170
7 1999 16.38 112.2219879 1838.19616 1.92826 1736.61197 2.41099 1710.21393
8 1999 15.67 112.2219879 1758.51855 1.88133 1659.45626 2.35160 1633.73217
9 1999 14.96 112.2219879 1678.84094 1.79774 1582.46936 2.24644 1557.46214
10 1999 15.12 112.2219879 1696.79646 1.71434 1597.67983 2.14156 1571.97792
11 1999 15.69 112.2219879 1760.76299 1.73082 1656.17900 2.16152 1629.07747
12 1999 16.26 112.2219879 1824.72952 1.79419 1714.55192 2.24004 1686.01998
</TABLE>
SURRENDER CHARGE = 3.00%
FREE WITHDRAWAL AVAILABLE = 15.00% OF PRINCIPAL + 15.00% OF INTEREST
GROSS RETURN = 82.47%
GROSS ANNUAL RETURN = 13.24%
WITHOUT WITH
SURRENDER SURRENDER
CHARGE CHARGE
WITHOUT DEATH BENEFIT CHARGE
ERV 1714.55 1670.83
TOTAL RETURN 71.46% 67.08%
AVERAGE ANNUAL RETURN 11.79% 11.20%
WITH DEATH BENEFIT CHARGE
ERV 1686.02 1643.03
TOTAL RETURN 68.60% 64.30%
AVERAGE ANNUAL RETURN 11.41% 10.81%
<TABLE>
<CAPTION>
Return for Product Inception
WITH DEATH BENEFIT CHARGE
FUND GROSS ADMIN/ ADMIN/
MONTH YEAR NAV SHARES VALUE MTHLY M&E ERV MTHLY M&E ERV
<S> <C> <C> <C> <C> <C> <C> <C> <C>
5 1997 14.71 103.2778483 1519.21715 1000.00000 1000.00000
6 1997 14.94 104.0573942 1554.61747 1.08333 1022.21835 1.37503 1021.92665
7 1997 15.81 104.0573942 1645.14740 1.10740 1080.63772 1.40518 1080.03125
8 1997 16.14 104.0573942 1679.48634 1.17069 1102.02304 1.48508 1101.08952
9 1997 16.88 104.0573942 1756.48881 1.19386 1151.35564 1.51403 1150.05915
10 1997 15.98 104.0573942 1662.83716 1.24730 1088.72089 1.58137 1087.15946
11 1997 16.03 104.0573942 1668.04003 1.17945 1090.94795 1.49488 1089.06620
12 1997 16.15 104.0573942 1680.52692 1.18186 1097.93289 1.49750 1095.72141
1 1998 15.98 104.0573942 1662.83716 1.18943 1085.18627 1.50665 1082.68085
2 1998 17.01 104.0573942 1770.01628 1.17562 1153.95695 1.48872 1150.97693
3 1998 17.93 104.0573942 1865.74908 1.25012 1215.11956 1.58263 1211.64585
4 1998 18.20 104.0573942 1893.84457 1.31638 1232.10113 1.66605 1228.22544
5 1998 17.86 104.0573942 1858.46506 1.33478 1207.74908 1.68885 1203.59172
6 1998 16.38 111.3169882 1823.37227 1.30839 1183.63515 1.65498 1179.20970
7 1998 15.50 111.3169882 1725.41332 1.28227 1118.76320 1.62145 1114.23633
8 1998 12.85 111.3169882 1430.42330 1.21199 926.27879 1.53211 922.20575
9 1998 12.95 111.3169882 1441.55500 1.00347 932.48371 1.26806 928.11438
10 1998 13.79 111.3169882 1535.06127 1.01019 991.95895 1.27619 987.04021
11 1998 13.97 111.3169882 1555.09833 1.07462 1003.83231 1.35721 998.56677
12 1998 14.50 111.3169882 1614.09633 1.08748 1040.82866 1.37306 1035.07777
1 1999 14.49 111.3169882 1612.98316 1.12756 1038.98328 1.42327 1032.94066
2 1999 14.08 111.3169882 1567.34319 1.12557 1008.45929 1.42033 1002.29288
3 1999 14.83 111.3169882 1650.83093 1.09250 1061.08444 1.37819 1054.30388
4 1999 15.82 111.3169882 1761.03475 1.14951 1130.76929 1.44970 1123.23589
5 1999 16.10 111.3169882 1792.20351 1.22500 1149.55791 1.54449 1141.57169
6 1999 16.77 112.2219879 1881.96274 1.24535 1205.88606 1.56970 1197.17551
7 1999 16.38 112.2219879 1838.19616 1.30638 1176.53582 1.64616 1167.68806
8 1999 15.67 112.2219879 1758.51855 1.27458 1124.26365 1.60561 1115.46838
9 1999 14.96 112.2219879 1678.84094 1.21795 1072.10587 1.53381 1063.39325
10 1999 15.12 112.2219879 1696.79646 1.16145 1082.41079 1.46220 1073.30424
11 1999 15.69 112.2219879 1760.76299 1.17261 1122.04335 1.47583 1112.29028
12 1999 16.26 112.2219879 1824.72952 1.21555 1161.59037 1.52944 1151.16909
</TABLE>
SURRENDER CHARGE = 5.00%
FREE WITHDRAWAL AVAILABLE = 15.00% OF PRINCIPAL + 15.00% OF INTEREST
GROSS RETURN = 20.11%
GROSS ANNUAL RETURN = 7.11%
WITHOUT WITH
SURRENDER SURRENDER
CHARGE CHARGE
WITHOUT DEATH BENEFIT CHARGE
ERV 1161.59 1112.22
TOTAL RETURN 16.16% 11.22%
AVERAGE ANNUAL RETURN 5.77% 4.07%
WITH DEATH BENEFIT CHARGE
ERV 1151.17 1102.24
TOTAL RETURN 15.12% 10.22%
AVERAGE ANNUAL RETURN 5.42% 3.72%
<PAGE>
Pioneer Real Estate 12/1999
Assume ($10000 @ $10.00 on 3/ 1/1995)
DATE DIV PR/SH REINVEST NAV REINVEST SHARES SHARE BASIS
(incl cap gain)
100.000000
6/95 0.1500000000 10.57 1.419 101.419111
9/95 0.1700000000 11.15 1.546 102.965411
12/95 0.1252000000 11.23 1.148 104.113342
3/96 0.1500000000 11.39 1.371 105.484458
6/96 0.1600000000 11.51 1.466 106.950792
9/96 0.1400000000 12.52 1.196 108.146728
12/96 0.1987000000 14.46 1.486 109.632810
3/97 0.1300000000 14.61 0.976 110.608325
6/97 0.1200000000 14.88 0.892 111.500327
7/97 0.0270000000 15.70 0.192 111.692079
9/97 0.1200000000 16.59 0.808 112.499979
12/97 0.1703000000 16.29 1.176 113.676084
3/98 0.1500000000 16.02 1.064 114.740466
6/98 0.2409000000 15.14 1.826 116.566158
9/98 0.1600000000 13.52 1.379 117.945640
12/98 0.1604000000 12.69 1.491 119.436458
3/99 0.1600000000 11.88 1.609 121.045029
6/99 0.2739000000 13.28 2.497 123.541583
9/99 0.1700000000 11.89 1.766 125.307947
12/99 0.2016000000 11.39 2.218 127.525865
M and E Charge = 0.0010833
Death Benefit Charge = 0.0002917
<TABLE>
<CAPTION>
Return for YTD
WITH DEATH BENEFIT CHARGE
FUND GROSS ADMIN/ ADMIN/
MONTH YEAR NAV SHARES VALUE MTHLY M&E ERV MTHLY M&E ERV
<S> <C> <C> <C> <C> <C> <C> <C> <C>
12 1998 13.07 119.4364576 1561.03450 1000.00000 1000.00000
1 1999 12.69 119.4364576 1515.64865 1.08333 969.84245 1.37503 969.55075
2 1999 12.56 119.4364576 1500.12191 1.05066 958.85644 1.33316 958.28523
3 1999 12.06 121.0450295 1459.80306 1.03876 932.04645 1.31767 931.21168
4 1999 13.46 121.0450295 1629.26610 1.00972 1039.23450 1.28045 1038.03209
5 1999 13.80 121.0450295 1670.42141 1.12584 1064.35975 1.42733 1062.82548
6 1999 13.27 123.5415832 1639.39681 1.15306 1043.43843 1.46142 1041.62429
7 1999 12.75 123.5415832 1575.15519 1.13039 1001.41972 1.43227 999.37479
8 1999 12.65 123.5415832 1562.80103 1.08487 992.48058 1.37417 990.16238
9 1999 12.00 125.3079473 1503.69537 1.07519 953.86944 1.36151 951.35260
10 1999 11.65 125.3079473 1459.83759 1.03336 925.01489 1.30814 922.29668
11 1999 11.55 125.3079473 1447.30679 1.00210 916.07275 1.26819 913.11178
12 1999 11.73 127.5258650 1495.87840 0.99241 945.82373 1.25556 942.50025
</TABLE>
SURRENDER CHARGE = 7.00%
FREE WITHDRAWAL AVAILABLE = 15.00% OF PRINCIPAL + 15.00% OF INTEREST
GROSS RETURN = -4.17%
WITHOUT WITH
SURRENDER SURRENDER
CHARGE CHARGE
WITHOUT DEATH BENEFIT CHARGE
ERV 945.82 889.55
TOTAL RETURN -5.42% -11.05%
WITH DEATH BENEFIT CHARGE
ERV 942.50 886.42
TOTAL RETURN -5.75% -11.36%
<TABLE>
<CAPTION>
Return for 1 Year
WITH DEATH BENEFIT CHARGE
FUND GROSS ADMIN/ ADMIN/
MONTH YEAR NAV SHARES VALUE MTHLY M&E ERV MTHLY M&E ERV
<S> <C> <C> <C> <C> <C> <C> <C> <C>
12 1998 13.07 119.4364576 1561.03450 1000.00000 1000.00000
1 1999 12.69 119.4364576 1515.64865 1.08333 969.84245 1.37503 969.55075
2 1999 12.56 119.4364576 1500.12191 1.05066 958.85644 1.33316 958.28523
3 1999 12.06 121.0450295 1459.80306 1.03876 932.04645 1.31767 931.21168
4 1999 13.46 121.0450295 1629.26610 1.00972 1039.23450 1.28045 1038.03209
5 1999 13.80 121.0450295 1670.42141 1.12584 1064.35975 1.42733 1062.82548
6 1999 13.27 123.5415832 1639.39681 1.15306 1043.43843 1.46142 1041.62429
7 1999 12.75 123.5415832 1575.15519 1.13039 1001.41972 1.43227 999.37479
8 1999 12.65 123.5415832 1562.80103 1.08487 992.48058 1.37417 990.16238
9 1999 12.00 125.3079473 1503.69537 1.07519 953.86944 1.36151 951.35260
10 1999 11.65 125.3079473 1459.83759 1.03336 925.01489 1.30814 922.29668
11 1999 11.55 125.3079473 1447.30679 1.00210 916.07275 1.26819 913.11178
12 1999 11.73 127.5258650 1495.87840 0.99241 945.82373 1.25556 942.50025
</TABLE>
SURRENDER CHARGE = 7.00%
FREE WITHDRAWAL AVAILABLE = 15.00% OF PRINCIPAL + 15.00% OF INTEREST
GROSS RETURN = -4.17%
WITHOUT WITH
SURRENDER SURRENDER
CHARGE CHARGE
WITHOUT DEATH BENEFIT CHARGE
ERV 945.82 889.55
TOTAL RETURN -5.42% -11.05%
WITH DEATH BENEFIT CHARGE
ERV 942.50 886.42
TOTAL RETURN -5.75% -11.36%
<TABLE>
<CAPTION>
Return for 3 Years
WITH DEATH BENEFIT CHARGE
FUND GROSS ADMIN/ ADMIN/
MONTH YEAR NAV SHARES VALUE MTHLY M&E ERV MTHLY M&E ERV
<S> <C> <C> <C> <C> <C> <C> <C> <C>
12 1996 14.46 109.6328103 1585.29044 1000.00000 1000.00000
1 1997 14.68 109.6328103 1609.40966 1.08333 1014.13105 1.37503 1013.83935
2 1997 14.68 109.6328103 1609.40966 1.09864 1013.03241 1.39406 1012.44529
3 1997 14.61 110.6083247 1615.98762 1.09745 1016.07542 1.39215 1015.19120
4 1997 13.98 110.6083247 1546.30438 1.10075 971.16033 1.39592 970.01907
5 1997 14.44 110.6083247 1597.18421 1.05209 1002.06344 1.33381 1000.60291
6 1997 15.09 111.5003273 1682.53994 1.08557 1054.52953 1.37586 1052.70065
7 1997 15.89 111.6920795 1774.78714 1.14241 1111.20293 1.44750 1108.96869
8 1997 15.74 111.6920795 1758.03333 1.20380 1099.50948 1.52487 1096.97527
9 1997 17.17 112.4999788 1931.62464 1.19114 1206.88584 1.50838 1203.78416
10 1997 16.56 112.4999788 1862.99965 1.30746 1162.70125 1.65524 1159.36197
11 1997 16.54 112.4999788 1860.74965 1.25959 1160.03743 1.59416 1156.36762
12 1997 16.90 113.6760836 1921.12581 1.25671 1196.42072 1.59004 1192.29849
1 1998 16.66 113.6760836 1893.84355 1.29612 1178.13401 1.63945 1173.72699
2 1998 16.46 113.6760836 1871.10834 1.27631 1162.71443 1.61391 1158.02272
3 1998 16.63 114.7404664 1908.13396 1.25961 1184.46269 1.59232 1179.34543
4 1998 16.18 114.7404664 1856.50075 1.28317 1151.12852 1.62164 1145.81126
5 1998 16.07 114.7404664 1843.87929 1.24706 1142.05550 1.57553 1136.44591
6 1998 15.51 116.5661585 1807.94112 1.23723 1118.55901 1.56265 1112.73333
7 1998 14.60 116.5661585 1701.86591 1.21177 1051.71934 1.53005 1045.91719
8 1998 12.88 116.5661585 1501.37212 1.13936 926.67880 1.43817 921.26138
9 1998 13.27 117.9456396 1565.13864 1.00390 965.03294 1.26677 959.12258
10 1998 13.04 117.9456396 1538.01114 1.04545 947.26122 1.31883 941.17992
11 1998 13.10 117.9456396 1545.08788 1.02620 950.59359 1.29415 944.21635
12 1998 13.07 119.4364576 1561.03450 1.02981 959.37471 1.29833 952.66314
1 1999 12.69 119.4364576 1515.64865 1.03932 930.44232 1.30994 923.65526
2 1999 12.56 119.4364576 1500.12191 1.00798 919.90263 1.27006 912.92302
3 1999 12.06 121.0450295 1459.80306 0.99656 894.18179 1.25530 887.13104
4 1999 13.46 121.0450295 1629.26610 0.96870 997.01530 1.21983 988.89491
5 1999 13.80 121.0450295 1670.42141 1.08010 1021.11983 1.35976 1012.51466
6 1999 13.27 123.5415832 1639.39681 1.10621 1001.04845 1.39224 992.31707
7 1999 12.75 123.5415832 1575.15519 1.08447 960.73676 1.36447 952.06753
8 1999 12.65 123.5415832 1562.80103 1.04080 952.16077 1.30912 943.29121
9 1999 12.00 125.3079473 1503.69537 1.03151 915.11822 1.29706 906.31856
10 1999 11.65 125.3079473 1459.83759 0.99138 887.43590 1.24622 878.63805
11 1999 11.55 125.3079473 1447.30679 0.96139 878.85703 1.20816 869.88794
12 1999 11.73 127.5258650 1495.87840 0.95210 907.39937 1.19612 897.88524
</TABLE>
SURRENDER CHARGE = 5.00%
FREE WITHDRAWAL AVAILABLE = 15.00% OF PRINCIPAL + 15.00% OF INTEREST
GROSS RETURN = -5.64%
GROSS ANNUAL RETURN = -1.92%
WITHOUT WITH
SURRENDER SURRENDER
CHARGE CHARGE
WITHOUT DEATH BENEFIT CHARGE
ERV 907.40 868.83
TOTAL RETURN -9.26% -13.12%
AVERAGE ANNUAL RETURN -3.19% -4.58%
WITH DEATH BENEFIT CHARGE
ERV 897.89 859.73
TOTAL RETURN -10.21% -14.03%
AVERAGE ANNUAL RETURN -3.53% -4.91%
<TABLE>
<CAPTION>
Return for Inception
WITH DEATH BENEFIT CHARGE
FUND GROSS ADMIN/ ADMIN/
MONTH YEAR NAV SHARES VALUE MTHLY M&E ERV MTHLY M&E ERV
<S> <C> <C> <C> <C> <C> <C> <C> <C>
2 1995 10.00 100.0000000 1000.00000 1000.00000 1000.00000
3 1995 10.00 100.0000000 1000.00000 1.08333 998.91667 1.37503 998.62497
4 1995 9.83 100.0000000 983.00000 1.08216 980.85292 1.37314 980.27520
5 1995 10.35 100.0000000 1035.00000 1.06259 1031.67675 1.34791 1030.78315
6 1995 10.57 101.4191107 1072.00000 1.11765 1067.44030 1.41736 1066.21504
7 1995 10.90 101.4191107 1105.46831 1.15639 1099.60986 1.46608 1098.03666
8 1995 11.06 101.4191107 1121.69536 1.19124 1114.55968 1.50984 1112.64479
9 1995 11.15 102.9654110 1148.06433 1.20744 1139.55346 1.52992 1137.27107
10 1995 10.77 102.9654110 1108.93748 1.23452 1099.48214 1.56379 1096.94827
11 1995 10.79 102.9654110 1110.99679 1.19111 1100.33279 1.50834 1097.47698
12 1995 11.23 104.1133424 1169.19284 1.19203 1156.77821 1.50907 1153.45577
1 1996 11.34 104.1133424 1180.64530 1.25318 1166.85590 1.58604 1163.16805
2 1996 11.54 104.1133424 1201.46797 1.26409 1186.17127 1.59939 1182.08308
3 1996 11.39 105.4844576 1201.46797 1.28502 1184.88626 1.62540 1180.45768
4 1996 11.36 105.4844576 1198.30344 1.28363 1180.48177 1.62317 1175.72531
5 1996 11.59 105.4844576 1222.56486 1.27886 1203.10351 1.61666 1197.91295
6 1996 11.51 106.9507923 1231.00362 1.30336 1210.10458 1.64717 1204.53437
7 1996 11.68 106.9507923 1249.18525 1.31095 1226.66659 1.65627 1220.66879
8 1996 12.27 106.9507923 1312.28622 1.32889 1287.30117 1.67846 1280.65083
9 1996 12.52 108.1467277 1353.99703 1.39458 1326.82326 1.76094 1319.59517
10 1996 12.79 108.1467277 1383.19665 1.43739 1353.99946 1.81449 1346.23841
11 1996 13.29 108.1467277 1437.27001 1.46683 1405.46459 1.85112 1397.01584
12 1996 14.46 109.6328103 1585.29044 1.52259 1548.68688 1.92094 1538.96966
1 1997 14.68 109.6328103 1609.40966 1.67774 1570.57145 2.11613 1560.26800
2 1997 14.68 109.6328103 1609.40966 1.70145 1568.87000 2.14542 1558.12258
3 1997 14.61 110.6083247 1615.98762 1.69961 1573.58266 2.14247 1562.34845
4 1997 13.98 110.6083247 1546.30438 1.70471 1504.02326 2.14828 1492.82991
5 1997 14.44 110.6083247 1597.18421 1.62936 1551.88250 2.05269 1539.89752
6 1997 15.09 111.5003273 1682.53994 1.68121 1633.13604 2.11741 1620.07436
7 1997 15.89 111.6920795 1774.78714 1.76923 1720.90539 2.22766 1706.66916
8 1997 15.74 111.6920795 1758.03333 1.86431 1702.79590 2.34673 1688.21165
9 1997 17.17 112.4999788 1931.62464 1.84470 1869.08827 2.32135 1852.58729
10 1997 16.56 112.4999788 1862.99965 2.02485 1800.66017 2.54737 1784.22290
11 1997 16.54 112.4999788 1860.74965 1.95072 1796.53474 2.45337 1779.61467
12 1997 16.90 113.6760836 1921.12581 1.94625 1852.88107 2.44703 1834.91120
1 1998 16.66 113.6760836 1893.84355 2.00729 1824.56067 2.52306 1806.33023
2 1998 16.46 113.6760836 1871.10834 1.97661 1800.68058 2.48376 1782.16183
3 1998 16.63 114.7404664 1908.13396 1.95074 1834.36183 2.45053 1814.97684
4 1998 16.18 114.7404664 1856.50075 1.98723 1782.73763 2.49565 1763.36876
5 1998 16.07 114.7404664 1843.87929 1.93130 1768.68636 2.42469 1748.95578
6 1998 15.51 116.5661585 1807.94112 1.91608 1732.29766 2.40487 1712.46284
7 1998 14.60 116.5661585 1701.86591 1.87666 1628.78394 2.35469 1609.63482
8 1998 12.88 116.5661585 1501.37212 1.76452 1435.13529 2.21330 1417.79331
9 1998 13.27 117.9456396 1565.13864 1.55473 1494.53385 1.94951 1476.06054
10 1998 13.04 117.9456396 1538.01114 1.61908 1467.01102 2.02963 1448.44734
11 1998 13.10 117.9456396 1545.08788 1.58926 1472.17181 1.99166 1453.12032
12 1998 13.07 119.4364576 1561.03450 1.59485 1485.77103 1.99809 1466.11967
1 1999 12.69 119.4364576 1515.64865 1.60959 1440.96381 2.01596 1421.47742
2 1999 12.56 119.4364576 1500.12191 1.56104 1424.64112 1.95458 1404.96082
3 1999 12.06 121.0450295 1459.80306 1.54336 1384.80761 1.93187 1365.26775
4 1999 13.46 121.0450295 1629.26610 1.50021 1544.06450 1.87729 1521.87925
5 1999 13.80 121.0450295 1670.42141 1.67274 1581.39488 2.09263 1558.22934
6 1999 13.27 123.5415832 1639.39681 1.71318 1550.31059 2.14262 1527.14585
7 1999 12.75 123.5415832 1575.15519 1.67950 1487.88041 2.09988 1465.20304
8 1999 12.65 123.5415832 1562.80103 1.61187 1474.59889 2.01470 1451.69654
9 1999 12.00 125.3079473 1503.69537 1.59748 1417.23158 1.99613 1394.79676
10 1999 11.65 125.3079473 1459.83759 1.53533 1374.36033 1.91789 1352.19730
11 1999 11.55 125.3079473 1447.30679 1.48889 1361.07435 1.85932 1338.73114
12 1999 11.73 127.5258650 1495.87840 1.47450 1405.27750 1.84080 1381.81814
</TABLE>
SURRENDER CHARGE = 3.00%
FREE WITHDRAWAL AVAILABLE = 15.00% OF PRINCIPAL + 15.00% OF INTEREST
GROSS RETURN = 49.59%
GROSS ANNUAL RETURN = 8.68%
WITHOUT WITH
SURRENDER SURRENDER
CHARGE CHARGE
WITHOUT DEATH BENEFIT CHARGE
ERV 1405.28 1369.44
TOTAL RETURN 40.53% 36.94%
AVERAGE ANNUAL RETURN 7.29% 6.72%
WITH DEATH BENEFIT CHARGE
ERV 1381.82 1346.58
TOTAL RETURN 38.18% 34.66%
AVERAGE ANNUAL RETURN 6.92% 6.35%
<TABLE>
<CAPTION>
Return for Product Inception
WITH DEATH BENEFIT CHARGE
FUND GROSS ADMIN/ ADMIN/
MONTH YEAR NAV SHARES VALUE MTHLY M&E ERV MTHLY M&E ERV
<S> <C> <C> <C> <C> <C> <C> <C> <C>
5 1997 14.44 110.6083247 1597.18421 1000.00000 1000.00000
6 1997 15.09 111.5003273 1682.53994 1.08333 1052.35805 1.37503 1052.06635
7 1997 15.89 111.6920795 1774.78714 1.14005 1108.91474 1.44663 1108.30048
8 1997 15.74 111.6920795 1758.03333 1.20132 1097.24538 1.52395 1096.31428
9 1997 17.17 112.4999788 1931.62464 1.18868 1204.40063 1.50747 1203.05882
10 1997 16.56 112.4999788 1862.99965 1.30477 1160.30703 1.65425 1158.66340
11 1997 16.54 112.4999788 1860.74965 1.25700 1157.64869 1.59320 1155.67085
12 1997 16.90 113.6760836 1921.12581 1.25412 1193.95706 1.58909 1191.58008
1 1998 16.66 113.6760836 1893.84355 1.29345 1175.70800 1.63846 1173.01977
2 1998 16.46 113.6760836 1871.10834 1.27368 1160.32018 1.61294 1157.32496
3 1998 16.63 114.7404664 1908.13396 1.25701 1182.02366 1.59136 1178.63482
4 1998 16.18 114.7404664 1856.50075 1.28053 1148.75813 1.62066 1145.12085
5 1998 16.07 114.7404664 1843.87929 1.24449 1139.70379 1.57458 1135.76115
6 1998 15.51 116.5661585 1807.94112 1.23468 1116.25568 1.56171 1112.06286
7 1998 14.60 116.5661585 1701.86591 1.20928 1049.55365 1.52912 1045.28698
8 1998 12.88 116.5661585 1501.37212 1.13702 924.77058 1.43730 920.70628
9 1998 13.27 117.9456396 1565.13864 1.00183 963.04575 1.26600 958.54466
10 1998 13.04 117.9456396 1538.01114 1.04330 945.31063 1.31803 940.61282
11 1998 13.10 117.9456396 1545.08788 1.02409 948.63613 1.29337 943.64742
12 1998 13.07 119.4364576 1561.03450 1.02769 957.39918 1.29755 952.08911
1 1999 12.69 119.4364576 1515.64865 1.03718 928.52636 1.30915 923.09872
2 1999 12.56 119.4364576 1500.12191 1.00590 918.00837 1.26929 912.37294
3 1999 12.06 121.0450295 1459.80306 0.99451 892.34050 1.25454 886.59650
4 1999 13.46 121.0450295 1629.26610 0.96670 994.96225 1.21910 988.29905
5 1999 13.80 121.0450295 1670.42141 1.07788 1019.01715 1.35894 1011.90457
6 1999 13.27 123.5415832 1639.39681 1.10394 998.98709 1.39140 991.71915
7 1999 12.75 123.5415832 1575.15519 1.08224 958.75842 1.36365 951.49386
8 1999 12.65 123.5415832 1562.80103 1.03865 950.20009 1.30834 942.72283
9 1999 12.00 125.3079473 1503.69537 1.02938 913.23382 1.29628 905.77246
10 1999 11.65 125.3079473 1459.83759 0.98934 885.60849 1.24547 878.10863
11 1999 11.55 125.3079473 1447.30679 0.95941 877.04730 1.20743 869.36379
12 1999 11.73 127.5258650 1495.87840 0.95013 905.53086 1.19540 897.34422
</TABLE>
SURRENDER CHARGE = 5.00%
FREE WITHDRAWAL AVAILABLE = 15.00% OF PRINCIPAL + 15.00% OF INTEREST
GROSS RETURN = -6.34%
GROSS ANNUAL RETURN = -2.43%
WITHOUT WITH
SURRENDER SURRENDER
CHARGE CHARGE
WITHOUT DEATH BENEFIT CHARGE
ERV 905.53 867.05
TOTAL RETURN -9.45% -13.30%
AVERAGE ANNUAL RETURN -3.65% -5.21%
WITH DEATH BENEFIT CHARGE
ERV 897.34 859.21
TOTAL RETURN -10.27% -14.08%
AVERAGE ANNUAL RETURN -3.98% -5.53%
<PAGE>
Scudder Global Discovery 12/1999
Assume ($10000 @ $10.00 on 5/ 2/1997)
DATE DIV PR/SH REINVEST NAV REINVEST SHARES SHARE BASIS
(incl cap gain)
100.000000
2/98 0.1900000000 7.47 2.544 102.543507
4/99 0.1000000000 8.35 1.228 103.771573
M and E Charge = 0.0010833
Death Benefit Charge = 0.0002917
<TABLE>
<CAPTION>
Return for YTD
WITH DEATH BENEFIT CHARGE
FUND GROSS ADMIN/ ADMIN/
MONTH YEAR NAV SHARES VALUE MTHLY M&E ERV MTHLY M&E ERV
<S> <C> <C> <C> <C> <C> <C> <C> <C>
12 1998 8.01 102.5435074 821.37349 1000.00000 1000.00000
1 1999 8.41 102.5435074 862.39090 1.08333 1048.85424 1.37503 1048.56254
2 1999 7.72 102.5435074 791.63588 1.13626 961.66455 1.44181 961.09123
3 1999 8.15 102.5435074 835.72959 1.04180 1014.18696 1.32153 1013.30198
4 1999 8.33 103.7715733 864.41721 1.09870 1047.90168 1.39332 1046.69170
5 1999 8.11 103.7715733 841.58746 1.13523 1019.09078 1.43924 1017.60875
6 1999 8.75 103.7715733 908.00127 1.10401 1098.40824 1.39925 1096.51402
7 1999 8.98 103.7715733 931.86873 1.18994 1126.09074 1.50774 1123.82893
8 1999 9.14 103.7715733 948.47218 1.21993 1144.93478 1.54530 1142.30730
9 1999 9.30 103.7715733 965.07563 1.24035 1163.73706 1.57071 1160.73322
10 1999 9.72 103.7715733 1008.65969 1.26072 1215.03221 1.59605 1211.55738
11 1999 11.29 103.7715733 1171.58106 1.31628 1409.97113 1.66593 1405.58539
12 1999 13.11 103.7715733 1360.44533 1.52747 1635.73750 1.93273 1630.23950
</TABLE>
SURRENDER CHARGE = 7.00%
FREE WITHDRAWAL AVAILABLE = 15.00% OF PRINCIPAL + 15.00% OF INTEREST
GROSS RETURN = 65.63%
WITHOUT WITH
SURRENDER SURRENDER
CHARGE CHARGE
WITHOUT DEATH BENEFIT CHARGE
ERV 1635.74 1538.41
TOTAL RETURN 63.57% 53.84%
WITH DEATH BENEFIT CHARGE
ERV 1630.24 1533.24
TOTAL RETURN 63.02% 53.32%
<TABLE>
<CAPTION>
Return for 1 Year
WITH DEATH BENEFIT CHARGE
FUND GROSS ADMIN/ ADMIN/
MONTH YEAR NAV SHARES VALUE MTHLY M&E ERV MTHLY M&E ERV
<S> <C> <C> <C> <C> <C> <C> <C> <C>
12 1998 8.01 102.5435074 821.37349 1000.00000 1000.00000
1 1999 8.41 102.5435074 862.39090 1.08333 1048.85424 1.37503 1048.56254
2 1999 7.72 102.5435074 791.63588 1.13626 961.66455 1.44181 961.09123
3 1999 8.15 102.5435074 835.72959 1.04180 1014.18696 1.32153 1013.30198
4 1999 8.33 103.7715733 864.41721 1.09870 1047.90168 1.39332 1046.69170
5 1999 8.11 103.7715733 841.58746 1.13523 1019.09078 1.43924 1017.60875
6 1999 8.75 103.7715733 908.00127 1.10401 1098.40824 1.39925 1096.51402
7 1999 8.98 103.7715733 931.86873 1.18994 1126.09074 1.50774 1123.82893
8 1999 9.14 103.7715733 948.47218 1.21993 1144.93478 1.54530 1142.30730
9 1999 9.30 103.7715733 965.07563 1.24035 1163.73706 1.57071 1160.73322
10 1999 9.72 103.7715733 1008.65969 1.26072 1215.03221 1.59605 1211.55738
11 1999 11.29 103.7715733 1171.58106 1.31628 1409.97113 1.66593 1405.58539
12 1999 13.11 103.7715733 1360.44533 1.52747 1635.73750 1.93273 1630.23950
</TABLE>
SURRENDER CHARGE = 7.00%
FREE WITHDRAWAL AVAILABLE = 15.00% OF PRINCIPAL + 15.00% OF INTEREST
GROSS RETURN = 65.63%
WITHOUT WITH
SURRENDER SURRENDER
CHARGE CHARGE
WITHOUT DEATH BENEFIT CHARGE
ERV 1635.74 1538.41
TOTAL RETURN 63.57% 53.84%
WITH DEATH BENEFIT CHARGE
ERV 1630.24 1533.24
TOTAL RETURN 63.02% 53.32%
<TABLE>
<CAPTION>
Return for Inception
WITH DEATH BENEFIT CHARGE
FUND GROSS ADMIN/ ADMIN/
MONTH YEAR NAV SHARES VALUE MTHLY M&E ERV MTHLY M&E ERV
<S> <C> <C> <C> <C> <C> <C> <C> <C>
4 1997 6.07 100.0000000 607.00000 1000.00000 1000.00000
5 1997 6.63 100.0000000 663.00000 1.08333 1091.17367 1.37503 1090.88197
6 1997 6.93 100.0000000 693.00000 1.18210 1139.36594 1.50000 1138.74314
7 1997 7.06 100.0000000 706.00000 1.23431 1159.50501 1.56581 1158.53904
8 1997 6.98 100.0000000 698.00000 1.25613 1145.11001 1.59303 1143.81809
9 1997 7.31 100.0000000 731.00000 1.24054 1198.00792 1.57279 1196.32266
10 1997 6.98 100.0000000 698.00000 1.29784 1142.62764 1.64498 1140.67132
11 1997 6.89 100.0000000 689.00000 1.23785 1126.65677 1.56846 1124.39506
12 1997 7.07 100.0000000 707.00000 1.22054 1154.86993 1.54608 1152.22360
1 1998 7.08 100.0000000 708.00000 1.25111 1155.25230 1.58435 1152.26899
2 1998 7.60 102.5435074 779.33066 1.25152 1270.39189 1.58441 1266.77512
3 1998 8.09 102.5435074 829.57697 1.37626 1350.92247 1.74186 1346.70692
4 1998 8.22 102.5435074 842.90763 1.46350 1371.16725 1.85177 1366.49569
5 1998 7.93 102.5435074 813.17001 1.48543 1321.30730 1.87898 1316.40701
6 1998 8.04 102.5435074 824.44980 1.43142 1338.20423 1.81010 1332.85728
7 1998 8.04 102.5435074 824.44980 1.44972 1336.75451 1.83272 1331.02455
8 1998 6.54 102.5435074 670.63454 1.44815 1085.91186 1.83020 1080.86887
9 1998 6.65 102.5435074 681.91432 1.17640 1103.00003 1.48623 1097.56240
10 1998 6.85 102.5435074 702.42303 1.19492 1134.97805 1.50918 1129.06261
11 1998 7.38 102.5435074 756.77108 1.22956 1221.56431 1.55250 1214.86824
12 1998 8.01 102.5435074 821.37349 1.32336 1324.52083 1.67048 1316.90602
1 1999 8.41 102.5435074 862.39090 1.43490 1389.22929 1.81079 1380.85832
2 1999 7.72 102.5435074 791.63588 1.50500 1273.74472 1.89873 1265.66682
3 1999 8.15 102.5435074 835.72959 1.37989 1343.31175 1.74033 1334.42347
4 1999 8.33 103.7715733 864.41721 1.45525 1387.96760 1.83488 1378.39460
5 1999 8.11 103.7715733 841.58746 1.50363 1349.80697 1.89534 1340.09509
6 1999 8.75 103.7715733 908.00127 1.46229 1454.86458 1.84268 1444.00591
7 1999 8.98 103.7715733 931.86873 1.57610 1491.53063 1.98556 1479.97708
8 1999 9.14 103.7715733 948.47218 1.61582 1516.48997 2.03502 1504.31136
9 1999 9.30 103.7715733 965.07563 1.64286 1541.39397 2.06848 1528.57656
10 1999 9.72 103.7715733 1008.65969 1.66984 1609.33547 2.10184 1595.50721
11 1999 11.29 103.7715733 1171.58106 1.74345 1867.53613 2.19388 1851.02386
12 1999 13.11 103.7715733 1360.44533 2.02316 2166.56839 2.54522 2146.87221
</TABLE>
SURRENDER CHARGE = 5.00%
FREE WITHDRAWAL AVAILABLE = 15.00% OF PRINCIPAL + 15.00% OF INTEREST
GROSS RETURN = 124.13%
GROSS ANNUAL RETURN = 35.36%
WITHOUT WITH
SURRENDER SURRENDER
CHARGE CHARGE
WITHOUT DEATH BENEFIT CHARGE
ERV 2166.57 2074.49
TOTAL RETURN 116.66% 107.45%
AVERAGE ANNUAL RETURN 33.65% 31.49%
WITH DEATH BENEFIT CHARGE
ERV 2146.87 2055.63
TOTAL RETURN 114.69% 105.56%
AVERAGE ANNUAL RETURN 33.19% 31.04%
<TABLE>
<CAPTION>
Return for Product Inception
WITH DEATH BENEFIT CHARGE
FUND GROSS ADMIN/ ADMIN/
MONTH YEAR NAV SHARES VALUE MTHLY M&E ERV MTHLY M&E ERV
<S> <C> <C> <C> <C> <C> <C> <C> <C>
5 1997 6.63 100.0000000 663.00000 1000.00000 1000.00000
6 1997 6.93 100.0000000 693.00000 1.08333 1044.16554 1.37503 1043.87384
7 1997 7.06 100.0000000 706.00000 1.13118 1062.62188 1.43536 1062.02052
8 1997 6.98 100.0000000 698.00000 1.15117 1049.42966 1.46031 1048.52598
9 1997 7.31 100.0000000 731.00000 1.13688 1097.90765 1.44176 1096.65637
10 1997 6.98 100.0000000 698.00000 1.18940 1047.15470 1.50794 1045.64137
11 1997 6.89 100.0000000 689.00000 1.13442 1032.51829 1.43779 1030.72110
12 1997 7.07 100.0000000 707.00000 1.11856 1058.37408 1.41728 1056.23122
1 1998 7.08 100.0000000 708.00000 1.14657 1058.72450 1.45235 1056.27283
2 1998 7.60 102.5435074 779.33066 1.14695 1164.24353 1.45241 1161.23940
3 1998 8.09 102.5435074 829.57697 1.26126 1238.04534 1.59674 1234.51204
4 1998 8.22 102.5435074 842.90763 1.34122 1256.59855 1.69750 1252.65219
5 1998 7.93 102.5435074 813.17001 1.36132 1210.90468 1.72244 1206.73642
6 1998 8.04 102.5435074 824.44980 1.31181 1226.38978 1.65930 1221.81621
7 1998 8.04 102.5435074 824.44980 1.32859 1225.06119 1.68004 1220.13618
8 1998 6.54 102.5435074 670.63454 1.32715 995.17785 1.67773 990.82110
9 1998 6.65 102.5435074 681.91432 1.07811 1010.83820 1.36241 1006.12388
10 1998 6.85 102.5435074 702.42303 1.09507 1040.14428 1.38345 1034.99979
11 1998 7.38 102.5435074 756.77108 1.12682 1119.49577 1.42316 1113.65690
12 1998 8.01 102.5435074 821.37349 1.21279 1213.84970 1.53132 1207.19386
1 1999 8.41 102.5435074 862.39090 1.31500 1273.15141 1.65993 1265.81827
2 1999 7.72 102.5435074 791.63588 1.37925 1167.31622 1.74054 1160.22343
3 1999 8.15 102.5435074 835.72959 1.26459 1231.07053 1.59535 1223.25193
4 1999 8.33 103.7715733 864.41721 1.33366 1271.99514 1.68201 1263.55980
5 1999 8.11 103.7715733 841.58746 1.37799 1237.02304 1.73744 1228.45104
6 1999 8.75 103.7715733 908.00127 1.34011 1333.30250 1.68916 1323.70499
7 1999 8.98 103.7715733 931.86873 1.44441 1366.90490 1.82014 1356.67938
8 1999 9.14 103.7715733 948.47218 1.48081 1389.77874 1.86548 1378.98637
9 1999 9.30 103.7715733 965.07563 1.50559 1412.60188 1.89615 1401.23002
10 1999 9.72 103.7715733 1008.65969 1.53032 1474.86648 1.92674 1462.58464
11 1999 11.29 103.7715733 1171.58106 1.59777 1711.49303 2.01110 1696.81406
12 1999 13.11 103.7715733 1360.44533 1.85412 1985.53947 2.33318 1968.01512
</TABLE>
SURRENDER CHARGE = 5.00%
FREE WITHDRAWAL AVAILABLE = 15.00% OF PRINCIPAL + 15.00% OF INTEREST
GROSS RETURN = 105.20%
GROSS ANNUAL RETURN = 30.91%
WITHOUT WITH
SURRENDER SURRENDER
CHARGE CHARGE
WITHOUT DEATH BENEFIT CHARGE
ERV 1985.54 1901.15
TOTAL RETURN 98.55% 90.12%
AVERAGE ANNUAL RETURN 29.31% 27.22%
WITH DEATH BENEFIT CHARGE
ERV 1968.02 1884.37
TOTAL RETURN 96.80% 88.44%
AVERAGE ANNUAL RETURN 28.88% 26.80%
<PAGE>
Scudder Growth & Income 12/1999
Assume ($10000 @ $10.00 on 5/ 1/1997)
DATE DIV PR/SH REINVEST NAV REINVEST SHARES SHARE BASIS
(incl cap gain)
100.000000
4/97 0.0650000000 9.22 0.705 100.704989
7/97 0.0650000000 10.97 0.597 101.301691
10/97 0.0600000000 11.06 0.550 101.851249
1/98 0.0550000000 11.42 0.491 102.341776
2/98 0.7900000000 11.35 7.123 109.465124
4/98 0.0550000000 11.62 0.518 109.983246
7/98 0.0600000000 11.16 0.591 110.574554
10/98 0.0550000000 10.42 0.584 111.158201
1/99 0.0600000000 10.75 0.620 111.778619
4/99 0.8950000000 11.37 8.799 120.577375
M and E Charge = 0.0010833
Death Benefit Charge = 0.0002917
<TABLE>
<CAPTION>
Return for YTD
WITH DEATH BENEFIT CHARGE
FUND GROSS ADMIN/ ADMIN/
MONTH YEAR NAV SHARES VALUE MTHLY M&E ERV MTHLY M&E ERV
<S> <C> <C> <C> <C> <C> <C> <C> <C>
12 1998 11.21 111.1582009 1246.08343 1000.00000 1000.00000
1 1999 10.94 111.7786187 1222.85809 1.08333 980.27799 1.37503 979.98629
2 1999 10.92 111.7786187 1220.62252 1.06197 977.42393 1.34751 976.84721
3 1999 11.16 111.7786187 1247.44938 1.05888 997.84689 1.34320 996.97319
4 1999 11.36 120.5773754 1369.75898 1.08100 1094.60253 1.37087 1093.35329
5 1999 11.11 120.5773754 1339.61464 1.18582 1069.32775 1.50340 1067.78842
6 1999 11.56 120.5773754 1393.87446 1.15844 1111.48142 1.46824 1109.56993
7 1999 11.12 120.5773754 1340.82041 1.20410 1067.97179 1.52570 1065.81147
8 1999 10.69 120.5773754 1288.97214 1.15697 1025.51735 1.46553 1023.13201
9 1999 10.30 120.5773754 1241.94697 1.11098 986.99274 1.40684 984.39856
10 1999 10.67 120.5773754 1286.56060 1.06924 1021.37857 1.35358 1018.40687
11 1999 10.63 120.5773754 1281.73750 1.10649 1016.44311 1.40034 1013.18869
12 1999 10.93 120.5773754 1317.91071 1.10115 1044.02803 1.39317 1040.38975
</TABLE>
SURRENDER CHARGE = 7.00%
FREE WITHDRAWAL AVAILABLE = 15.00% OF PRINCIPAL + 15.00% OF INTEREST
GROSS RETURN = 5.76%
WITHOUT WITH
SURRENDER SURRENDER
CHARGE CHARGE
WITHOUT DEATH BENEFIT CHARGE
ERV 1044.03 981.91
TOTAL RETURN 4.40% -1.81%
WITH DEATH BENEFIT CHARGE
ERV 1040.39 978.49
TOTAL RETURN 4.04% -2.15%
<TABLE>
<CAPTION>
Return for 1 Year
WITH DEATH BENEFIT CHARGE
FUND GROSS ADMIN/ ADMIN/
MONTH YEAR NAV SHARES VALUE MTHLY M&E ERV MTHLY M&E ERV
<S> <C> <C> <C> <C> <C> <C> <C> <C>
12 1998 11.21 111.1582009 1246.08343 1000.00000 1000.00000
1 1999 10.94 111.7786187 1222.85809 1.08333 980.27799 1.37503 979.98629
2 1999 10.92 111.7786187 1220.62252 1.06197 977.42393 1.34751 976.84721
3 1999 11.16 111.7786187 1247.44938 1.05888 997.84689 1.34320 996.97319
4 1999 11.36 120.5773754 1369.75898 1.08100 1094.60253 1.37087 1093.35329
5 1999 11.11 120.5773754 1339.61464 1.18582 1069.32775 1.50340 1067.78842
6 1999 11.56 120.5773754 1393.87446 1.15844 1111.48142 1.46824 1109.56993
7 1999 11.12 120.5773754 1340.82041 1.20410 1067.97179 1.52570 1065.81147
8 1999 10.69 120.5773754 1288.97214 1.15697 1025.51735 1.46553 1023.13201
9 1999 10.30 120.5773754 1241.94697 1.11098 986.99274 1.40684 984.39856
10 1999 10.67 120.5773754 1286.56060 1.06924 1021.37857 1.35358 1018.40687
11 1999 10.63 120.5773754 1281.73750 1.10649 1016.44311 1.40034 1013.18869
12 1999 10.93 120.5773754 1317.91071 1.10115 1044.02803 1.39317 1040.38975
</TABLE>
SURRENDER CHARGE = 7.00%
FREE WITHDRAWAL AVAILABLE = 15.00% OF PRINCIPAL + 15.00% OF INTEREST
GROSS RETURN = 5.76%
WITHOUT WITH
SURRENDER SURRENDER
CHARGE CHARGE
WITHOUT DEATH BENEFIT CHARGE
ERV 1044.03 981.91
TOTAL RETURN 4.40% -1.81%
WITH DEATH BENEFIT CHARGE
ERV 1040.39 978.49
TOTAL RETURN 4.04% -2.15%
<TABLE>
<CAPTION>
Return for Inception
WITH DEATH BENEFIT CHARGE
FUND GROSS ADMIN/ ADMIN/
MONTH YEAR NAV SHARES VALUE MTHLY M&E ERV MTHLY M&E ERV
<S> <C> <C> <C> <C> <C> <C> <C> <C>
4 1997 9.46 100.7049892 952.66920 1000.00000 1000.00000
5 1997 10.00 100.7049892 1007.04989 1.08333 1055.99912 1.37503 1055.70742
6 1997 10.54 100.7049892 1061.43059 1.14400 1111.87907 1.45163 1111.26399
7 1997 11.17 101.3016915 1131.53989 1.20454 1184.11605 1.52802 1183.13685
8 1997 10.76 101.3016915 1090.00620 1.28279 1139.36974 1.62685 1138.08242
9 1997 11.43 101.3016915 1157.87833 1.23432 1209.08130 1.56490 1207.38324
10 1997 11.01 101.8512486 1121.38225 1.30984 1169.66147 1.66019 1167.66658
11 1997 11.33 101.8512486 1153.97465 1.26713 1202.38995 1.60558 1199.99863
12 1997 11.47 101.8512486 1168.23382 1.30259 1215.94478 1.65004 1213.17646
1 1998 11.43 102.3417756 1169.76649 1.31727 1216.22278 1.66816 1213.09994
2 1998 11.42 109.4651238 1250.09171 1.31757 1298.42047 1.66805 1294.73272
3 1998 12.03 109.4651238 1316.86544 1.40662 1366.36906 1.78030 1362.11064
4 1998 11.86 109.9832462 1304.40130 1.48023 1351.95613 1.87295 1347.34531
5 1998 11.65 109.9832462 1281.30482 1.46462 1326.55300 1.85264 1321.63579
6 1998 11.67 109.9832462 1283.50448 1.43710 1327.39324 1.81729 1322.08740
7 1998 11.16 110.5745540 1234.01202 1.43801 1274.77040 1.81791 1269.28925
8 1998 9.75 110.5745540 1078.10190 1.38100 1112.32970 1.74531 1107.17675
9 1998 10.14 110.5745540 1121.22598 1.20502 1155.61787 1.52240 1149.94141
10 1998 10.70 111.1582009 1189.39275 1.25192 1224.62363 1.58121 1218.27278
11 1998 11.14 111.1582009 1238.30236 1.32668 1273.65531 1.67517 1266.69481
12 1998 11.21 111.1582009 1246.08343 1.37979 1280.27874 1.74175 1272.91255
1 1999 10.94 111.7786187 1222.85809 1.38697 1255.02907 1.75030 1247.43685
2 1999 10.92 111.7786187 1220.62252 1.35961 1251.37507 1.71527 1243.44107
3 1999 11.16 111.7786187 1247.44938 1.35566 1277.52216 1.70977 1269.05968
4 1999 11.36 120.5773754 1369.75898 1.38398 1401.39635 1.74500 1391.74312
5 1999 11.11 120.5773754 1339.61464 1.51818 1369.03758 1.91369 1359.20128
6 1999 11.56 120.5773754 1393.87446 1.48312 1423.00602 1.86895 1412.38549
7 1999 11.12 120.5773754 1340.82041 1.54159 1367.30157 1.94208 1356.68479
8 1999 10.69 120.5773754 1288.97214 1.48124 1312.94806 1.86549 1302.35757
9 1999 10.30 120.5773754 1241.94697 1.42236 1263.62581 1.79079 1253.05327
10 1999 10.67 120.5773754 1286.56060 1.36893 1307.64927 1.72299 1296.34288
11 1999 10.63 120.5773754 1281.73750 1.41662 1301.33050 1.78251 1289.70060
12 1999 10.93 120.5773754 1317.91071 1.40977 1336.64689 1.77338 1324.32516
</TABLE>
SURRENDER CHARGE = 5.00%
FREE WITHDRAWAL AVAILABLE = 15.00% OF PRINCIPAL + 15.00% OF INTEREST
GROSS RETURN = 38.34%
GROSS ANNUAL RETURN = 12.93%
WITHOUT WITH
SURRENDER SURRENDER
CHARGE CHARGE
WITHOUT DEATH BENEFIT CHARGE
ERV 1336.65 1279.84
TOTAL RETURN 33.66% 27.98%
AVERAGE ANNUAL RETURN 11.49% 9.69%
WITH DEATH BENEFIT CHARGE
ERV 1324.33 1268.04
TOTAL RETURN 32.43% 26.80%
AVERAGE ANNUAL RETURN 11.10% 9.31%
<TABLE>
<CAPTION>
Return for Product Inception
WITH DEATH BENEFIT CHARGE
FUND GROSS ADMIN/ ADMIN/
MONTH YEAR NAV SHARES VALUE MTHLY M&E ERV MTHLY M&E ERV
<S> <C> <C> <C> <C> <C> <C> <C> <C>
5 1997 10.00 100.7049892 1007.04989 1000.00000 1000.00000
6 1997 10.54 100.7049892 1061.43059 1.08333 1052.91667 1.37503 1052.62497
7 1997 11.17 101.3016915 1131.53989 1.14066 1121.32296 1.44739 1120.70525
8 1997 10.76 101.3016915 1090.00620 1.21477 1078.94951 1.54101 1078.02824
9 1997 11.43 101.3016915 1157.87833 1.16886 1144.96431 1.48232 1143.67221
10 1997 11.01 101.8512486 1121.38225 1.24038 1107.63489 1.57259 1106.05131
11 1997 11.33 101.8512486 1153.97465 1.19994 1138.62780 1.52086 1136.67727
12 1997 11.47 101.8512486 1168.23382 1.23351 1151.46382 1.56297 1149.15974
1 1998 11.43 102.3417756 1169.76649 1.24742 1151.72708 1.58013 1149.08726
2 1998 11.42 109.4651238 1250.09171 1.24770 1229.56586 1.58003 1226.41245
3 1998 12.03 109.4651238 1316.86544 1.33203 1293.91117 1.68636 1290.23498
4 1998 11.86 109.9832462 1304.40130 1.40174 1280.26256 1.77412 1276.24878
5 1998 11.65 109.9832462 1281.30482 1.38695 1256.20654 1.75488 1251.89590
6 1998 11.67 109.9832462 1283.50448 1.36089 1257.00223 1.72140 1252.32368
7 1998 11.16 110.5745540 1234.01202 1.36175 1207.16995 1.72199 1202.31158
8 1998 9.75 110.5745540 1078.10190 1.30777 1053.34340 1.65322 1048.75340
9 1998 10.14 110.5745540 1121.22598 1.14112 1094.33601 1.44207 1089.26147
10 1998 10.70 111.1582009 1189.39275 1.18553 1159.68243 1.49777 1153.98713
11 1998 11.14 111.1582009 1238.30236 1.25632 1206.11399 1.58677 1199.85404
12 1998 11.21 111.1582009 1246.08343 1.30662 1212.38618 1.64984 1205.74368
1 1999 10.94 111.7786187 1222.85809 1.31342 1188.47549 1.65794 1181.61228
2 1999 10.92 111.7786187 1220.62252 1.28752 1185.01526 1.62476 1177.82735
3 1999 11.16 111.7786187 1247.44938 1.28377 1209.77578 1.61955 1202.09412
4 1999 11.36 120.5773754 1369.75898 1.31059 1327.08098 1.65292 1318.30382
5 1999 11.11 120.5773754 1339.61464 1.43767 1296.43818 1.81271 1287.47914
6 1999 11.56 120.5773754 1393.87446 1.40447 1347.54470 1.77033 1337.85693
7 1999 11.12 120.5773754 1340.82041 1.45984 1294.79424 1.83960 1285.09544
8 1999 10.69 120.5773754 1288.97214 1.40269 1243.32306 1.76705 1233.63495
9 1999 10.30 120.5773754 1241.94697 1.34693 1196.61635 1.69629 1186.93234
10 1999 10.67 120.5773754 1286.56060 1.29633 1238.30527 1.63207 1227.93764
11 1999 10.63 120.5773754 1281.73750 1.34150 1232.32157 1.68846 1221.64586
12 1999 10.93 120.5773754 1317.91071 1.33501 1265.76515 1.67980 1254.44336
</TABLE>
SURRENDER CHARGE = 5.00%
FREE WITHDRAWAL AVAILABLE = 15.00% OF PRINCIPAL + 15.00% OF INTEREST
GROSS RETURN = 30.87%
GROSS ANNUAL RETURN = 10.61%
WITHOUT WITH
SURRENDER SURRENDER
CHARGE CHARGE
WITHOUT DEATH BENEFIT CHARGE
ERV 1265.77 1211.97
TOTAL RETURN 26.58% 21.20%
AVERAGE ANNUAL RETURN 9.23% 7.47%
WITH DEATH BENEFIT CHARGE
ERV 1254.44 1201.13
TOTAL RETURN 25.44% 20.11%
AVERAGE ANNUAL RETURN 8.87% 7.11%
<PAGE>
Scudder International12/1999
Assume ($10000 @ $10.00 on 5/ 1/1987)
DATE DIV PR/SH REINVEST NAV REINVEST SHARES SHARE BASIS
(incl cap gain)
100.000000
12/87 0.1020000000 5.26 1.939 101.939163
1/90 0.0350000000 8.34 0.428 102.366966
2/91 0.2000000000 8.44 2.426 104.792723
2/92 0.0900000000 8.23 1.146 105.938695
2/93 0.2550000000 8.12 3.327 109.265587
2/94 0.0700000000 11.01 0.695 109.960282
2/95 0.0500000000 10.18 0.540 110.500362
2/96 0.2750000000 11.89 2.556 113.056090
4/96 0.0100000000 12.52 0.090 113.146390
2/97 0.3200000000 13.23 2.737 115.883113
2/98 1.9700000000 13.29 17.178 133.060670
4/99 1.5100000000 14.24 14.110 147.170334
M and E Charge = 0.0010833
Death Benefit Charge = 0.0002917
<TABLE>
<CAPTION>
Return for YTD
WITH DEATH BENEFIT CHARGE
FUND GROSS ADMIN/ ADMIN/
MONTH YEAR NAV SHARES VALUE MTHLY M&E ERV MTHLY M&E ERV
<S> <C> <C> <C> <C> <C> <C> <C> <C>
12 1998 14.56 133.0606699 1937.36335 1000.00000 1000.00000
1 1999 14.90 133.0606699 1982.60398 1.08333 1022.26832 1.37503 1021.97662
2 1999 14.29 133.0606699 1901.43697 1.10746 979.30960 1.40525 978.73205
3 1999 14.90 133.0606699 1982.60398 1.06092 1020.05266 1.34579 1019.16559
4 1999 14.26 147.1703336 2098.64896 1.10506 1078.65292 1.40139 1077.41759
5 1999 13.51 147.1703336 1988.27121 1.16854 1020.75298 1.48149 1019.26968
6 1999 14.48 147.1703336 2131.02643 1.10582 1092.93587 1.40153 1091.05036
7 1999 15.07 147.1703336 2217.85693 1.18401 1136.28447 1.50023 1134.00591
8 1999 15.43 147.1703336 2270.83825 1.23097 1162.19765 1.55930 1159.53634
9 1999 15.76 147.1703336 2319.40446 1.25905 1185.79441 1.59440 1182.74083
10 1999 16.40 147.1703336 2413.59347 1.28461 1232.66389 1.62631 1229.14461
11 1999 17.75 147.1703336 2612.27342 1.33539 1332.79779 1.69011 1328.63408
12 1999 20.34 147.1703336 2993.44459 1.44386 1525.82977 1.82692 1520.67546
</TABLE>
SURRENDER CHARGE = 7.00%
FREE WITHDRAWAL AVAILABLE = 15.00% OF PRINCIPAL + 15.00% OF INTEREST
GROSS RETURN = 54.51%
WITHOUT WITH
SURRENDER SURRENDER
CHARGE CHARGE
WITHOUT DEATH BENEFIT CHARGE
ERV 1525.83 1435.04
TOTAL RETURN 52.58% 43.50%
WITH DEATH BENEFIT CHARGE
ERV 1520.68 1430.20
TOTAL RETURN 52.07% 43.02%
<TABLE>
<CAPTION>
Return for 1 Year
WITH DEATH BENEFIT CHARGE
FUND GROSS ADMIN/ ADMIN/
MONTH YEAR NAV SHARES VALUE MTHLY M&E ERV MTHLY M&E ERV
<S> <C> <C> <C> <C> <C> <C> <C> <C>
12 1998 14.56 133.0606699 1937.36335 1000.00000 1000.00000
1 1999 14.90 133.0606699 1982.60398 1.08333 1022.26832 1.37503 1021.97662
2 1999 14.29 133.0606699 1901.43697 1.10746 979.30960 1.40525 978.73205
3 1999 14.90 133.0606699 1982.60398 1.06092 1020.05266 1.34579 1019.16559
4 1999 14.26 147.1703336 2098.64896 1.10506 1078.65292 1.40139 1077.41759
5 1999 13.51 147.1703336 1988.27121 1.16854 1020.75298 1.48149 1019.26968
6 1999 14.48 147.1703336 2131.02643 1.10582 1092.93587 1.40153 1091.05036
7 1999 15.07 147.1703336 2217.85693 1.18401 1136.28447 1.50023 1134.00591
8 1999 15.43 147.1703336 2270.83825 1.23097 1162.19765 1.55930 1159.53634
9 1999 15.76 147.1703336 2319.40446 1.25905 1185.79441 1.59440 1182.74083
10 1999 16.40 147.1703336 2413.59347 1.28461 1232.66389 1.62631 1229.14461
11 1999 17.75 147.1703336 2612.27342 1.33539 1332.79779 1.69011 1328.63408
12 1999 20.34 147.1703336 2993.44459 1.44386 1525.82977 1.82692 1520.67546
</TABLE>
SURRENDER CHARGE = 7.00%
FREE WITHDRAWAL AVAILABLE = 15.00% OF PRINCIPAL + 15.00% OF INTEREST
GROSS RETURN = 54.51%
WITHOUT WITH
SURRENDER SURRENDER
CHARGE CHARGE
WITHOUT DEATH BENEFIT CHARGE
ERV 1525.83 1435.04
TOTAL RETURN 52.58% 43.50%
WITH DEATH BENEFIT CHARGE
ERV 1520.68 1430.20
TOTAL RETURN 52.07% 43.02%
<TABLE>
<CAPTION>
Return for 3 Years
WITH DEATH BENEFIT CHARGE
FUND GROSS ADMIN/ ADMIN/
MONTH YEAR NAV SHARES VALUE MTHLY M&E ERV MTHLY M&E ERV
<S> <C> <C> <C> <C> <C> <C> <C> <C>
12 1996 13.25 113.1463899 1499.18967 1000.00000 1000.00000
1 1997 13.25 113.1463899 1499.18967 1.08333 998.91667 1.37503 998.62497
2 1997 13.15 115.8831129 1523.86293 1.08216 1014.27441 1.37314 1013.68693
3 1997 13.21 115.8831129 1530.81592 1.09880 1017.80348 1.39385 1016.91826
4 1997 13.28 115.8831129 1538.92774 1.10262 1022.09422 1.39830 1020.90863
5 1997 14.04 115.8831129 1626.99891 1.10727 1079.48030 1.40378 1077.93034
6 1997 14.76 115.8831129 1710.43475 1.16944 1133.66882 1.48219 1131.72663
7 1997 15.33 115.8831129 1776.48812 1.22814 1176.22058 1.55616 1173.87536
8 1997 14.01 115.8831129 1623.52241 1.27424 1073.66707 1.61412 1071.18391
9 1997 14.96 115.8831129 1733.61137 1.16314 1145.30791 1.47291 1142.34660
10 1997 13.93 115.8831129 1614.25176 1.24075 1065.21240 1.57076 1062.12496
11 1997 13.98 115.8831129 1620.04592 1.15398 1067.88187 1.46046 1064.47687
12 1997 14.11 115.8831129 1635.11072 1.15687 1076.65523 1.46369 1072.91175
1 1998 14.47 115.8831129 1676.82864 1.16638 1102.95844 1.47529 1098.81054
2 1998 13.44 133.0606699 1788.33540 1.19487 1175.10876 1.51090 1170.36900
3 1998 14.00 133.0606699 1862.84938 1.27303 1222.79859 1.60930 1217.52508
4 1998 14.32 133.0606699 1905.42879 1.32470 1249.42358 1.67414 1243.68009
5 1998 14.68 133.0606699 1953.33063 1.35354 1279.48012 1.71010 1273.23569
6 1998 14.83 133.0606699 1973.28973 1.38610 1291.16773 1.75074 1284.49485
7 1998 15.05 133.0606699 2002.56308 1.39876 1308.92317 1.76622 1301.78384
8 1998 13.04 133.0606699 1735.11114 1.41800 1132.69218 1.79000 1126.13434
9 1998 12.64 133.0606699 1681.88687 1.22708 1096.71993 1.54847 1090.04187
10 1998 13.55 133.0606699 1802.97208 1.18811 1174.48871 1.49884 1167.01914
11 1998 14.02 133.0606699 1865.51059 1.27236 1213.95507 1.60469 1205.89408
12 1998 14.56 133.0606699 1937.36335 1.31512 1259.39714 1.65814 1250.68264
1 1999 14.90 133.0606699 1982.60398 1.36435 1287.44179 1.71973 1278.16841
2 1999 14.29 133.0606699 1901.43697 1.39473 1233.33972 1.75752 1224.08319
3 1999 14.90 133.0606699 1982.60398 1.33612 1284.65141 1.68316 1274.65271
4 1999 14.26 147.1703336 2098.64896 1.39171 1358.45240 1.75269 1347.50748
5 1999 13.51 147.1703336 1988.27121 1.47166 1285.53339 1.85287 1274.78290
6 1999 14.48 147.1703336 2131.02643 1.39266 1376.44031 1.75287 1364.55774
7 1999 15.07 147.1703336 2217.85693 1.49114 1431.03341 1.87631 1418.28151
8 1999 15.43 147.1703336 2270.83825 1.55029 1463.66839 1.95018 1450.21197
9 1999 15.76 147.1703336 2319.40446 1.58564 1493.38610 1.99409 1479.23343
10 1999 16.40 147.1703336 2413.59347 1.61783 1552.41338 2.03400 1537.26983
11 1999 17.75 147.1703336 2612.27342 1.68178 1678.52173 2.11380 1661.69958
12 1999 20.34 147.1703336 2993.44459 1.81840 1921.62565 2.28489 1901.88240
</TABLE>
SURRENDER CHARGE = 5.00%
FREE WITHDRAWAL AVAILABLE = 15.00% OF PRINCIPAL + 15.00% OF INTEREST
GROSS RETURN = 99.67%
GROSS ANNUAL RETURN = 25.92%
WITHOUT WITH
SURRENDER SURRENDER
CHARGE CHARGE
WITHOUT DEATH BENEFIT CHARGE
ERV 1921.63 1839.96
TOTAL RETURN 92.16% 84.00%
AVERAGE ANNUAL RETURN 24.32% 22.54%
WITH DEATH BENEFIT CHARGE
ERV 1901.88 1821.05
TOTAL RETURN 90.19% 82.11%
AVERAGE ANNUAL RETURN 23.90% 22.12%
<TABLE>
<CAPTION>
Return for 5 Years
WITH DEATH BENEFIT CHARGE
FUND GROSS ADMIN/ ADMIN/
MONTH YEAR NAV SHARES VALUE MTHLY M&E ERV MTHLY M&E ERV
<S> <C> <C> <C> <C> <C> <C> <C> <C>
12 1994 10.69 109.9602821 1175.47542 1000.00000 1000.00000
1 1995 10.18 109.9602821 1119.39567 1.08333 951.20853 1.37503 950.91683
2 1995 10.14 110.5003621 1120.47367 1.03048 951.09408 1.30754 950.52504
3 1995 10.39 110.5003621 1148.09876 1.03035 973.51280 1.30700 972.65307
4 1995 10.93 110.5003621 1207.76896 1.05464 1023.05459 1.33743 1021.86739
5 1995 10.94 110.5003621 1208.87396 1.10831 1022.88229 1.40510 1021.39720
6 1995 11.09 110.5003621 1225.44902 1.10812 1035.79906 1.40446 1033.99728
7 1995 11.75 110.5003621 1298.37925 1.12212 1096.32053 1.42178 1094.11186
8 1995 11.53 110.5003621 1274.06917 1.18768 1074.60600 1.50444 1072.12192
9 1995 11.82 110.5003621 1306.11428 1.16416 1100.47009 1.47420 1097.61349
10 1995 11.55 110.5003621 1276.27918 1.19218 1074.14027 1.50926 1071.03184
11 1995 11.66 110.5003621 1288.43422 1.16365 1083.20653 1.47270 1079.75944
12 1995 11.82 110.5003621 1306.11428 1.17347 1096.89695 1.48471 1093.09133
1 1996 12.04 110.5003621 1330.42436 1.18830 1116.12467 1.50304 1111.93348
2 1996 11.84 113.0560895 1338.58410 1.20914 1121.76093 1.52895 1117.22423
3 1996 12.09 113.0560895 1366.84812 1.21524 1144.23152 1.53622 1139.27805
4 1996 12.48 113.1463899 1412.06695 1.23958 1180.84604 1.56655 1175.40173
5 1996 12.48 113.1463899 1412.06695 1.27925 1179.56679 1.61622 1173.78551
6 1996 12.61 113.1463899 1426.77598 1.27786 1190.57608 1.61399 1184.39845
7 1996 12.14 113.1463899 1373.59717 1.28979 1144.91113 1.62859 1138.62496
8 1996 12.33 113.1463899 1395.09499 1.24032 1161.58951 1.56565 1154.87964
9 1996 12.61 113.1463899 1426.77598 1.25839 1186.70948 1.58800 1179.51761
10 1996 12.55 113.1463899 1419.98719 1.28560 1179.77736 1.62188 1172.28344
11 1996 13.11 113.1463899 1483.34917 1.27809 1231.14272 1.61193 1222.98058
12 1996 13.25 113.1463899 1499.18967 1.33374 1242.95619 1.68164 1234.35899
1 1997 13.25 113.1463899 1499.18967 1.34654 1241.60966 1.69728 1232.66170
2 1997 13.15 115.8831129 1523.86293 1.34508 1260.69866 1.69495 1251.25357
3 1997 13.21 115.8831129 1530.81592 1.36576 1265.08515 1.72052 1255.24220
4 1997 13.28 115.8831129 1538.92774 1.37051 1270.41834 1.72600 1260.16775
5 1997 14.04 115.8831129 1626.99891 1.37629 1341.74672 1.73277 1330.55301
6 1997 14.76 115.8831129 1710.43475 1.45356 1409.10069 1.82955 1396.95694
7 1997 15.33 115.8831129 1776.48812 1.52653 1461.99065 1.92086 1448.98361
8 1997 14.01 115.8831129 1623.52241 1.58382 1334.52113 1.99240 1322.22549
9 1997 14.96 115.8831129 1733.61137 1.44573 1423.56756 1.81810 1410.06579
10 1997 13.93 115.8831129 1614.25176 1.54220 1324.01235 1.93889 1311.04350
11 1997 13.98 115.8831129 1620.04592 1.43435 1327.33038 1.80273 1313.94660
12 1997 14.11 115.8831129 1635.11072 1.43794 1338.23529 1.80672 1324.35826
1 1998 14.47 115.8831129 1676.82864 1.44975 1370.92902 1.82104 1356.32666
2 1998 13.44 133.0606699 1788.33540 1.48517 1460.60871 1.86499 1444.65550
3 1998 14.00 133.0606699 1862.84938 1.58233 1519.88508 1.98645 1502.86303
4 1998 14.32 133.0606699 1905.42879 1.64654 1552.97877 2.06649 1535.14769
5 1998 14.68 133.0606699 1953.33063 1.68239 1590.33775 2.11088 1571.62991
6 1998 14.83 133.0606699 1973.28973 1.72287 1604.86492 2.16104 1585.52776
7 1998 15.05 133.0606699 2002.56308 1.73860 1626.93416 2.18015 1606.86858
8 1998 13.04 133.0606699 1735.11114 1.76251 1407.88676 2.20950 1390.05405
9 1998 12.64 133.0606699 1681.88687 1.52521 1363.17483 1.91137 1345.50298
10 1998 13.55 133.0606699 1802.97208 1.47677 1459.83802 1.85011 1440.52057
11 1998 14.02 133.0606699 1865.51059 1.58149 1508.89298 1.98076 1488.50620
12 1998 14.56 133.0606699 1937.36335 1.63463 1565.37548 2.04675 1543.79136
1 1999 14.90 133.0606699 1982.60398 1.69582 1600.23375 2.12276 1577.71867
2 1999 14.29 133.0606699 1901.43697 1.73359 1532.98724 2.16942 1510.95809
3 1999 14.90 133.0606699 1982.60398 1.66074 1596.76543 2.07762 1573.37903
4 1999 14.26 147.1703336 2098.64896 1.72983 1688.49683 2.16345 1663.30797
5 1999 13.51 147.1703336 1988.27121 1.82920 1597.86169 2.28710 1573.53973
6 1999 14.48 147.1703336 2131.02643 1.73102 1710.85501 2.16367 1684.35412
7 1999 15.07 147.1703336 2217.85693 1.85343 1778.71184 2.31604 1750.66853
8 1999 15.43 147.1703336 2270.83825 1.92694 1819.27570 2.40723 1790.08218
9 1999 15.76 147.1703336 2319.40446 1.97088 1856.21350 2.46142 1825.90508
10 1999 16.40 147.1703336 2413.59347 2.01090 1929.58183 2.51068 1897.54283
11 1999 17.75 147.1703336 2612.27342 2.09038 2086.32898 2.60918 2051.13382
12 1999 20.34 147.1703336 2993.44459 2.26019 2388.49651 2.82038 2347.60564
</TABLE>
SURRENDER CHARGE = 3.00%
FREE WITHDRAWAL AVAILABLE = 15.00% OF PRINCIPAL + 15.00% OF INTEREST
GROSS RETURN = 154.66%
GROSS ANNUAL RETURN = 20.56%
WITHOUT WITH
SURRENDER SURRENDER
CHARGE CHARGE
WITHOUT DEATH BENEFIT CHARGE
ERV 2388.50 2327.59
TOTAL RETURN 138.85% 132.76%
AVERAGE ANNUAL RETURN 19.02% 18.41%
WITH DEATH BENEFIT CHARGE
ERV 2347.61 2287.74
TOTAL RETURN 134.76% 128.77%
AVERAGE ANNUAL RETURN 18.61% 18.00%
<TABLE>
<CAPTION>
Return for 10 Years
WITH DEATH BENEFIT CHARGE
FUND GROSS ADMIN/ ADMIN/
MONTH YEAR NAV SHARES VALUE MTHLY M&E ERV MTHLY M&E ERV
<S> <C> <C> <C> <C> <C> <C> <C> <C>
12 1989 8.46 101.9391635 862.40532 1000.00000 1000.00000
1 1990 8.43 102.3669657 862.95352 1.08333 999.55233 1.37503 999.26063
2 1990 8.32 102.3669657 851.69315 1.08285 985.42669 1.37402 984.84762
3 1990 8.53 102.3669657 873.19022 1.06755 1009.23169 1.35420 1008.35136
4 1990 8.43 102.3669657 862.95352 1.09333 996.30680 1.38652 995.14361
5 1990 8.87 102.3669657 907.99499 1.07933 1047.22924 1.36836 1045.71632
6 1990 9.02 102.3669657 923.35003 1.13450 1063.80437 1.43789 1061.96246
7 1990 9.27 102.3669657 948.94177 1.15245 1092.13652 1.46023 1089.93578
8 1990 8.40 102.3669657 859.88251 1.18315 988.45512 1.49870 986.14537
9 1990 7.46 102.3669657 763.65756 1.07083 876.77146 1.35598 874.43503
10 1990 8.03 102.3669657 822.00673 0.94984 942.81355 1.20238 940.04605
11 1990 7.82 102.3669657 800.50967 1.02138 917.13577 1.29259 914.16944
12 1990 7.78 102.3669657 796.41499 0.99356 911.45097 1.25701 908.23637
1 1991 7.99 102.3669657 817.91206 0.98741 935.06572 1.24886 931.50289
2 1991 8.45 104.7927232 885.49851 1.01299 1011.31993 1.28085 1007.19484
3 1991 8.23 104.7927232 862.44411 1.09560 983.89411 1.38493 979.58709
4 1991 8.25 104.7927232 864.53997 1.06589 985.21922 1.34696 980.62065
5 1991 8.44 104.7927232 884.45058 1.06732 1006.84180 1.34839 1001.85625
6 1991 7.92 104.7927232 829.95837 1.09075 943.71815 1.37759 938.75293
7 1991 8.23 104.7927232 862.44411 1.02236 979.63425 1.29082 974.20623
8 1991 8.08 104.7927232 846.72520 1.06127 960.71816 1.33957 955.11078
9 1991 8.41 104.7927232 881.30680 1.04078 998.91463 1.31331 992.80570
10 1991 8.26 104.7927232 865.58789 1.08216 980.01593 1.36514 973.73297
11 1991 8.05 104.7927232 843.58142 1.06168 954.03858 1.33892 947.63813
12 1991 8.47 104.7927232 887.59437 1.03354 1002.78097 1.30303 995.77709
1 1992 8.54 104.7927232 894.92986 1.08635 1009.98207 1.36923 1002.63742
2 1992 8.38 105.9386947 887.76626 1.09415 1000.80337 1.37866 993.23301
3 1992 8.04 105.9386947 851.74711 1.08420 959.11378 1.36573 951.56904
4 1992 8.15 105.9386947 863.61224 1.03904 971.43553 1.30844 963.51629
5 1992 8.55 105.9386947 905.77584 1.05239 1017.81093 1.32487 1009.23258
6 1992 8.53 105.9386947 903.65707 1.10263 1014.32746 1.38773 1005.48407
7 1992 8.26 105.9386947 875.05362 1.09885 981.12211 1.38257 972.27492
8 1992 8.53 105.9386947 903.65707 1.06288 1012.12980 1.33691 1002.71939
9 1992 8.40 105.9386947 889.88504 1.09647 995.60814 1.37877 986.05885
10 1992 8.13 105.9386947 861.28159 1.07858 962.52787 1.35586 953.00824
11 1992 8.10 105.9386947 858.10343 1.04274 957.93337 1.31042 948.18118
12 1992 8.12 105.9386947 860.22220 1.03776 959.26088 1.30378 949.21859
1 1993 8.14 105.9386947 862.34097 1.03920 960.58439 1.30521 950.25136
2 1993 8.15 109.2655872 890.51454 1.04063 990.92703 1.30663 979.99042
3 1993 8.62 109.2655872 941.86936 1.07350 1046.99901 1.34752 1035.15768
4 1993 9.00 109.2655872 983.39028 1.13425 1092.02017 1.42338 1079.36771
5 1993 9.17 109.2655872 1001.96543 1.18302 1111.46420 1.48417 1098.27160
6 1993 9.02 109.2655872 985.57560 1.20409 1092.07913 1.51016 1078.79625
7 1993 9.24 109.2655872 1009.61403 1.18309 1117.53212 1.48338 1103.62498
8 1993 9.86 109.2655872 1077.35869 1.21066 1191.30738 1.51752 1176.16021
9 1993 10.03 109.2655872 1095.93384 1.29058 1210.55658 1.61726 1194.82158
10 1993 10.34 109.2655872 1129.80617 1.31144 1246.66015 1.64292 1230.10734
11 1993 9.93 109.2655872 1085.00728 1.35055 1195.87724 1.69144 1179.63989
12 1993 10.85 109.2655872 1185.53162 1.29553 1305.37798 1.62204 1287.30975
1 1994 11.31 109.2655872 1235.79379 1.41416 1359.30704 1.77009 1340.11685
2 1994 11.08 109.9602821 1218.35993 1.47258 1338.65814 1.84271 1319.36855
3 1994 10.72 109.9602821 1178.77422 1.45021 1293.71362 1.81418 1274.68680
4 1994 10.95 109.9602821 1204.06509 1.40152 1320.06901 1.75274 1300.28276
5 1994 10.86 109.9602821 1194.16866 1.43007 1307.78905 1.78793 1287.80757
6 1994 10.86 109.9602821 1194.16866 1.41677 1306.37228 1.77078 1286.03679
7 1994 11.12 109.9602821 1222.75834 1.41524 1336.23299 1.76834 1315.05754
8 1994 11.42 109.9602821 1255.74642 1.44759 1370.83486 1.80825 1348.72746
9 1994 11.12 109.9602821 1222.75834 1.48507 1333.33836 1.85455 1311.44225
10 1994 11.37 109.9602821 1250.24841 1.44445 1361.87004 1.80328 1339.12284
11 1994 10.76 109.9602821 1183.17264 1.47536 1287.33042 1.84134 1265.43762
12 1994 10.69 109.9602821 1175.47542 1.39461 1277.56098 1.74002 1255.46520
1 1995 10.18 109.9602821 1119.39567 1.38402 1215.22690 1.72631 1193.84298
2 1995 10.14 110.5003621 1120.47367 1.31650 1215.08069 1.64157 1193.35110
3 1995 10.39 110.5003621 1148.09876 1.31634 1243.72197 1.64090 1221.13208
4 1995 10.93 110.5003621 1207.76896 1.34737 1307.01463 1.67910 1282.91894
5 1995 10.94 110.5003621 1208.87396 1.41593 1306.79450 1.76406 1282.32864
6 1995 11.09 110.5003621 1225.44902 1.41569 1323.29646 1.76324 1298.14760
7 1995 11.75 110.5003621 1298.37925 1.43357 1400.61633 1.78500 1373.61936
8 1995 11.53 110.5003621 1274.06917 1.51733 1372.87469 1.88877 1346.01176
9 1995 11.82 110.5003621 1306.11428 1.48728 1405.91765 1.85081 1378.01554
10 1995 11.55 110.5003621 1276.27918 1.52308 1372.27970 1.89482 1344.64321
11 1995 11.66 110.5003621 1288.43422 1.48664 1383.86240 1.84893 1355.60040
12 1995 11.82 110.5003621 1306.11428 1.49918 1401.35275 1.86400 1372.33813
1 1996 12.04 110.5003621 1330.42436 1.51813 1425.91732 1.88701 1395.99379
2 1996 11.84 113.0560895 1338.58410 1.54474 1433.11800 1.91954 1402.63614
3 1996 12.09 113.0560895 1366.84812 1.55254 1461.82555 1.92867 1430.32394
4 1996 12.48 113.1463899 1412.06695 1.58364 1508.60282 1.96674 1475.67597
5 1996 12.48 113.1463899 1412.06695 1.63432 1506.96850 2.02910 1473.64686
6 1996 12.61 113.1463899 1426.77598 1.63255 1521.03354 2.02631 1486.97104
7 1996 12.14 113.1463899 1373.59717 1.64779 1462.69378 2.04463 1429.50401
8 1996 12.33 113.1463899 1395.09499 1.58458 1484.00144 1.96562 1449.91119
9 1996 12.61 113.1463899 1426.77598 1.60767 1516.09372 1.99368 1480.84332
10 1996 12.55 113.1463899 1419.98719 1.64243 1507.23752 2.03621 1471.76106
11 1996 13.11 113.1463899 1483.34917 1.63284 1572.85990 2.02372 1535.40955
12 1996 13.25 113.1463899 1499.18967 1.70393 1587.95234 2.11124 1549.69475
1 1997 13.25 113.1463899 1499.18967 1.72028 1586.23205 2.13088 1547.56387
2 1997 13.15 115.8831129 1523.86293 1.71842 1610.61942 2.12795 1570.90532
3 1997 13.21 115.8831129 1530.81592 1.74484 1616.22342 2.16005 1575.91290
4 1997 13.28 115.8831129 1538.92774 1.75091 1623.03691 2.16693 1582.09675
5 1997 14.04 115.8831129 1626.99891 1.75829 1714.16326 2.17544 1670.46300
6 1997 14.76 115.8831129 1710.43475 1.85701 1800.21206 2.29694 1753.83083
7 1997 15.33 115.8831129 1776.48812 1.95023 1867.78221 2.41158 1819.14849
8 1997 14.01 115.8831129 1623.52241 2.02343 1704.93213 2.50139 1660.00809
9 1997 14.96 115.8831129 1733.61137 1.84701 1818.69437 2.28257 1770.28853
10 1997 13.93 115.8831129 1614.25176 1.97025 1691.50652 2.43421 1645.96948
11 1997 13.98 115.8831129 1620.04592 1.83247 1695.74551 2.26326 1649.61422
12 1997 14.11 115.8831129 1635.11072 1.83706 1709.67719 2.26827 1662.68571
1 1998 14.47 115.8831129 1676.82864 1.85215 1751.44543 2.28625 1702.82092
2 1998 13.44 133.0606699 1788.33540 1.89740 1866.01670 2.34144 1813.71470
3 1998 14.00 133.0606699 1862.84938 2.02152 1941.74588 2.49392 1886.79223
4 1998 14.32 133.0606699 1905.42879 2.10356 1984.02509 2.59440 1927.32450
5 1998 14.68 133.0606699 1953.33063 2.14936 2031.75345 2.65014 1973.12666
6 1998 14.83 133.0606699 1973.28973 2.20107 2050.31281 2.71311 1990.57492
7 1998 15.05 133.0606699 2002.56308 2.22117 2078.50761 2.73711 2017.36758
8 1998 13.04 133.0606699 1735.11114 2.25172 1798.66119 2.77395 1745.16448
9 1998 12.64 133.0606699 1681.88687 1.94855 1741.53898 2.39966 1689.23217
10 1998 13.55 133.0606699 1802.97208 1.88667 1865.03210 2.32275 1808.52344
11 1998 14.02 133.0606699 1865.51059 2.02045 1927.70280 2.48678 1868.76773
12 1998 14.56 133.0606699 1937.36335 2.08834 1999.86263 2.56962 1938.17633
1 1999 14.90 133.0606699 1982.60398 2.16652 2044.39620 2.66506 1980.77088
2 1999 14.29 133.0606699 1901.43697 2.21476 1958.48468 2.72363 1896.95530
3 1999 14.90 133.0606699 1982.60398 2.12169 2039.96521 2.60838 1975.32262
4 1999 14.26 147.1703336 2098.64896 2.20996 2157.15767 2.71613 2088.22527
5 1999 13.51 147.1703336 1988.27121 2.33692 2041.36575 2.87138 1975.52437
6 1999 14.48 147.1703336 2131.02643 2.21148 2185.72161 2.71641 2114.64798
7 1999 15.07 147.1703336 2217.85693 2.36787 2272.41284 2.90771 2197.90341
8 1999 15.43 147.1703336 2270.83825 2.46178 2324.23564 3.02219 2247.38588
9 1999 15.76 147.1703336 2319.40446 2.51792 2371.42594 3.09023 2292.36028
10 1999 16.40 147.1703336 2413.59347 2.56904 2465.15845 3.15207 2382.29898
11 1999 17.75 147.1703336 2612.27342 2.67059 2665.41249 3.27574 2575.12712
12 1999 20.34 147.1703336 2993.44459 2.88753 3051.44994 3.54089 2947.33718
</TABLE>
SURRENDER CHARGE = 0.00%
FREE WITHDRAWAL AVAILABLE = 15.00% OF PRINCIPAL + 15.00% OF INTEREST
GROSS RETURN = 247.10%
GROSS ANNUAL RETURN = 13.25%
WITHOUT WITH
SURRENDER SURRENDER
CHARGE CHARGE
WITHOUT DEATH BENEFIT CHARGE
ERV 3051.45 3051.45
TOTAL RETURN 205.14% 205.14%
AVERAGE ANNUAL RETURN 11.80% 11.80%
WITH DEATH BENEFIT CHARGE
ERV 2947.34 2947.34
TOTAL RETURN 194.73% 194.73%
AVERAGE ANNUAL RETURN 11.41% 11.41%
<TABLE>
<CAPTION>
Return for Inception
WITH DEATH BENEFIT CHARGE
FUND GROSS ADMIN/ ADMIN/
MONTH YEAR NAV SHARES VALUE MTHLY M&E ERV MTHLY M&E ERV
<S> <C> <C> <C> <C> <C> <C> <C> <C>
4 1987 6.00 100.0000000 600.00000 1000.00000 1000.00000
5 1987 5.96 100.0000000 596.00000 1.08333 992.25000 1.37503 991.95830
6 1987 6.37 100.0000000 637.00000 1.07494 1059.43387 1.36398 1058.83307
7 1987 6.75 100.0000000 675.00000 1.14772 1121.48629 1.45593 1120.54143
8 1987 7.17 100.0000000 717.00000 1.21494 1190.05271 1.54078 1188.72323
9 1987 7.23 100.0000000 723.00000 1.28922 1198.72209 1.63453 1197.03617
10 1987 5.31 100.0000000 531.00000 1.29862 879.09064 1.64596 877.50508
11 1987 5.04 100.0000000 504.00000 0.95235 833.43877 1.20660 831.67958
12 1987 5.26 101.9391635 536.20000 0.90289 885.78335 1.14359 883.67108
1 1988 5.16 101.9391635 526.00608 0.95960 867.98376 1.21508 865.65617
2 1988 5.46 101.9391635 556.58783 0.94032 917.50762 1.19031 914.79471
3 1988 5.71 101.9391635 582.07262 0.99397 958.52408 1.25787 955.42304
4 1988 5.94 101.9391635 605.51863 1.03840 996.09523 1.31374 992.59394
5 1988 5.89 101.9391635 600.42167 1.07910 986.63148 1.36485 982.87393
6 1988 5.83 101.9391635 594.30532 1.06885 975.51206 1.35148 971.51014
7 1988 5.82 101.9391635 593.28593 1.05680 972.78199 1.33586 968.50789
8 1988 5.49 101.9391635 559.64601 1.05385 916.57040 1.33173 912.26076
9 1988 5.57 101.9391635 567.80114 0.99295 928.93367 1.25439 924.29979
10 1988 5.86 101.9391635 597.36350 1.00634 976.29191 1.27094 971.15217
11 1988 6.10 101.9391635 621.82890 1.05765 1015.21891 1.33537 1009.59096
12 1988 6.14 101.9391635 625.90646 1.09982 1020.77627 1.38822 1014.82301
1 1989 6.49 101.9391635 661.58517 1.10584 1077.85800 1.39542 1071.27581
2 1989 6.68 101.9391635 680.95361 1.16768 1108.24548 1.47304 1101.16523
3 1989 6.72 101.9391635 685.03118 1.20060 1113.68108 1.51414 1106.24490
4 1989 7.00 101.9391635 713.57414 1.20649 1158.87797 1.52112 1150.81731
5 1989 7.02 101.9391635 715.61293 1.25545 1160.93360 1.58241 1152.52295
6 1989 6.97 101.9391635 710.51597 1.25768 1151.40717 1.58476 1142.72934
7 1989 7.60 101.9391635 774.73764 1.24736 1254.23248 1.57129 1244.44635
8 1989 7.64 101.9391635 778.81521 1.35875 1259.47495 1.71116 1249.28491
9 1989 7.94 101.9391635 809.39696 1.36443 1307.56634 1.71781 1296.62280
10 1989 7.54 101.9391635 768.62129 1.41653 1240.27745 1.78290 1229.51885
11 1989 7.93 101.9391635 808.37757 1.34363 1303.08610 1.69063 1291.42402
12 1989 8.46 101.9391635 862.40532 1.41168 1388.76593 1.77575 1375.96034
1 1990 8.43 102.3669657 862.95352 1.50450 1388.14422 1.89199 1374.94300
2 1990 8.32 102.3669657 851.69315 1.50382 1368.52701 1.89059 1355.11128
3 1990 8.53 102.3669657 873.19022 1.48257 1401.58659 1.86332 1387.45148
4 1990 8.43 102.3669657 862.95352 1.51839 1383.63694 1.90779 1369.27814
5 1990 8.87 102.3669657 907.99499 1.49894 1454.35630 1.88280 1438.86418
6 1990 9.02 102.3669657 923.35003 1.57555 1477.37527 1.97849 1461.21824
7 1990 9.27 102.3669657 948.94177 1.60049 1516.72199 2.00922 1499.70841
8 1990 8.40 102.3669657 859.88251 1.64312 1372.73280 2.06215 1356.89693
9 1990 7.46 102.3669657 763.65756 1.48713 1217.63033 1.86578 1203.18792
10 1990 8.03 102.3669657 822.00673 1.31910 1309.34733 1.65442 1293.46609
11 1990 7.82 102.3669657 800.50967 1.41846 1273.68691 1.77856 1257.86089
12 1990 7.78 102.3669657 796.41499 1.37983 1265.79206 1.72960 1249.69722
1 1991 7.99 102.3669657 817.91206 1.37127 1298.58741 1.71838 1281.71103
2 1991 8.45 104.7927232 885.49851 1.40680 1404.48667 1.76240 1385.86015
3 1991 8.23 104.7927232 862.44411 1.52153 1366.39862 1.90560 1347.87298
4 1991 8.25 104.7927232 864.53997 1.48027 1368.23889 1.85337 1349.29512
5 1991 8.44 104.7927232 884.45058 1.48226 1398.26759 1.85533 1378.51447
6 1991 7.92 104.7927232 829.95837 1.51479 1310.60361 1.89550 1291.68680
7 1991 8.23 104.7927232 862.44411 1.41982 1360.48267 1.77611 1340.46914
8 1991 8.08 104.7927232 846.72520 1.47386 1334.21265 1.84319 1314.19455
9 1991 8.41 104.7927232 881.30680 1.44540 1387.25861 1.80706 1366.06128
10 1991 8.26 104.7927232 865.58789 1.50286 1361.01273 1.87838 1339.81795
11 1991 8.05 104.7927232 843.58142 1.47443 1324.93628 1.84229 1303.91249
12 1991 8.47 104.7927232 887.59437 1.43535 1392.62804 1.79292 1370.14978
1 1992 8.54 104.7927232 894.92986 1.50868 1402.62868 1.88400 1379.58933
2 1992 8.38 105.9386947 887.76626 1.51951 1389.88163 1.89698 1366.64923
3 1992 8.04 105.9386947 851.74711 1.50571 1331.98454 1.87919 1309.32127
4 1992 8.15 105.9386947 863.61224 1.44298 1349.09657 1.80036 1325.76021
5 1992 8.55 105.9386947 905.77584 1.46152 1413.50115 1.82296 1388.66401
6 1992 8.53 105.9386947 903.65707 1.53129 1408.66342 1.90946 1383.50621
7 1992 8.26 105.9386947 875.05362 1.52605 1362.54896 1.90237 1337.81174
8 1992 8.53 105.9386947 903.65707 1.47609 1405.61139 1.83954 1379.70212
9 1992 8.40 105.9386947 889.88504 1.52275 1382.66666 1.89714 1356.77787
10 1992 8.13 105.9386947 861.28159 1.49789 1336.72592 1.86561 1311.30154
11 1992 8.10 105.9386947 858.10343 1.44812 1330.34523 1.80308 1304.65971
12 1992 8.12 105.9386947 860.22220 1.44121 1332.18883 1.79395 1306.08714
1 1993 8.14 105.9386947 862.34097 1.44320 1334.02687 1.79591 1307.50819
2 1993 8.15 109.2655872 890.51454 1.44520 1376.16570 1.79787 1348.42795
3 1993 8.62 109.2655872 941.86936 1.49085 1454.03656 1.85413 1424.33592
4 1993 9.00 109.2655872 983.39028 1.57521 1516.56041 1.95851 1485.16716
5 1993 9.17 109.2655872 1001.96543 1.64294 1543.56361 2.04215 1511.17816
6 1993 9.02 109.2655872 985.57560 1.67219 1516.64228 2.07792 1484.38086
7 1993 9.24 109.2655872 1009.61403 1.64303 1551.99053 2.04107 1518.54420
8 1993 9.86 109.2655872 1077.35869 1.68132 1654.44710 2.08805 1618.34981
9 1993 10.03 109.2655872 1095.93384 1.79232 1681.17973 2.22528 1644.02711
10 1993 10.34 109.2655872 1129.80617 1.82128 1731.31914 2.26059 1692.57892
11 1993 9.93 109.2655872 1085.00728 1.87560 1660.79356 2.32735 1623.13770
12 1993 10.85 109.2655872 1185.53162 1.79919 1812.86447 2.23187 1771.28717
1 1994 11.31 109.2655872 1235.79379 1.96394 1887.75930 2.43558 1843.94764
2 1994 11.08 109.9602821 1218.35993 2.04507 1859.08281 2.53549 1815.39880
3 1994 10.72 109.9602821 1178.77422 2.01401 1796.66539 2.49623 1753.91849
4 1994 10.95 109.9602821 1204.06509 1.94639 1833.26686 2.41170 1789.13751
5 1994 10.86 109.9602821 1194.16866 1.98604 1816.21288 2.46012 1771.97215
6 1994 10.86 109.9602821 1194.16866 1.96756 1814.24531 2.43652 1769.53562
7 1994 11.12 109.9602821 1222.75834 1.96543 1855.71485 2.43317 1809.46703
8 1994 11.42 109.9602821 1255.74642 2.01036 1903.76874 2.48808 1855.79551
9 1994 11.12 109.9602821 1222.75834 2.06242 1851.69489 2.55178 1804.49253
10 1994 11.37 109.9602821 1250.24841 2.00600 1891.31872 2.48124 1842.57992
11 1994 10.76 109.9602821 1183.17264 2.04893 1787.80062 2.53361 1741.19198
12 1994 10.69 109.9602821 1175.47542 1.93678 1774.23317 2.39420 1727.47033
1 1995 10.18 109.9602821 1119.39567 1.92209 1687.66572 2.37533 1642.68060
2 1995 10.14 110.5003621 1120.47367 1.82830 1687.46267 2.25874 1642.00380
3 1995 10.39 110.5003621 1148.09876 1.82808 1727.23869 2.25781 1680.22931
4 1995 10.93 110.5003621 1207.76896 1.87118 1815.13738 2.31037 1765.24559
5 1995 10.94 110.5003621 1208.87396 1.96640 1814.83168 2.42727 1764.43336
6 1995 11.09 110.5003621 1225.44902 1.96607 1837.74904 2.42615 1786.19962
7 1995 11.75 110.5003621 1298.37925 1.99089 1945.12824 2.45608 1890.04577
8 1995 11.53 110.5003621 1274.06917 2.10722 1906.60160 2.59888 1852.05880
9 1995 11.82 110.5003621 1306.11428 2.06549 1952.49053 2.54664 1896.09473
10 1995 11.55 110.5003621 1276.27918 2.11520 1905.77530 2.60719 1850.17573
11 1995 11.66 110.5003621 1288.43422 2.06459 1921.86095 2.54405 1865.25240
12 1995 11.82 110.5003621 1306.11428 2.08202 1946.15095 2.56478 1888.28284
1 1996 12.04 110.5003621 1330.42436 2.10833 1980.26540 2.59645 1920.83209
2 1996 11.84 113.0560895 1338.58410 2.14529 1990.26545 2.64121 1929.97171
3 1996 12.09 113.0560895 1366.84812 2.15612 2030.13351 2.65378 1968.06902
4 1996 12.48 113.1463899 1412.06695 2.19931 2095.09620 2.70616 2030.47161
5 1996 12.48 113.1463899 1412.06695 2.26969 2092.82651 2.79197 2027.67964
6 1996 12.61 113.1463899 1426.77598 2.26723 2112.35956 2.78813 2046.01318
7 1996 12.14 113.1463899 1373.59717 2.28839 2031.33929 2.81334 1966.94083
8 1996 12.33 113.1463899 1395.09499 2.20062 2060.93064 2.70461 1995.02030
9 1996 12.61 113.1463899 1426.77598 2.23267 2105.49931 2.74322 2037.58168
10 1996 12.55 113.1463899 1419.98719 2.28096 2093.20012 2.80174 2025.08486
11 1996 13.11 113.1463899 1483.34917 2.26763 2184.33424 2.78456 2112.66265
12 1996 13.25 113.1463899 1499.18967 2.36636 2205.29410 2.90498 2132.31852
1 1997 13.25 113.1463899 1499.18967 2.38907 2202.90503 2.93201 2129.38651
2 1997 13.15 115.8831129 1523.86293 2.38648 2236.77338 2.92798 2161.50342
3 1997 13.21 115.8831129 1530.81592 2.42317 2244.55602 2.97214 2168.39365
4 1997 13.28 115.8831129 1538.92774 2.43160 2254.01836 2.98161 2176.90239
5 1997 14.04 115.8831129 1626.99891 2.44185 2380.57153 2.99331 2298.49084
6 1997 14.76 115.8831129 1710.43475 2.57895 2500.07317 3.16050 2413.20167
7 1997 15.33 115.8831129 1776.48812 2.70841 2593.91230 3.31823 2503.07618
8 1997 14.01 115.8831129 1623.52241 2.81007 2367.75166 3.44181 2284.10530
9 1997 14.96 115.8831129 1733.61137 2.56506 2525.74078 3.14072 2435.84681
10 1997 13.93 115.8831129 1614.25176 2.73622 2349.10663 3.34937 2264.78874
11 1997 13.98 115.8831129 1620.04592 2.54487 2354.99359 3.11416 2269.80375
12 1997 14.11 115.8831129 1635.11072 2.55124 2374.34143 3.12106 2287.78960
1 1998 14.47 115.8831129 1676.82864 2.57220 2432.34774 3.14579 2343.01406
2 1998 13.44 133.0606699 1788.33540 2.63504 2591.46042 3.22172 2495.59950
3 1998 14.00 133.0606699 1862.84938 2.80742 2696.63053 3.43153 2596.15128
4 1998 14.32 133.0606699 1905.42879 2.92135 2755.34645 3.56979 2651.92209
5 1998 14.68 133.0606699 1953.33063 2.98496 2821.62997 3.64648 2714.94404
6 1998 14.83 133.0606699 1973.28973 3.05677 2847.40458 3.73314 2738.95215
7 1998 15.05 133.0606699 2002.56308 3.08469 2886.56055 3.76615 2775.81780
8 1998 13.04 133.0606699 1735.11114 3.12711 2497.91938 3.81684 2401.27712
9 1998 12.64 133.0606699 1681.88687 2.70608 2418.59000 3.30184 2324.31647
10 1998 13.55 133.0606699 1802.97208 2.62014 2590.09304 3.19601 2488.45653
11 1998 14.02 133.0606699 1865.51059 2.80593 2677.12797 3.42171 2571.35029
12 1998 14.56 133.0606699 1937.36335 2.90022 2777.34109 3.53569 2666.85377
1 1999 14.90 133.0606699 1982.60398 3.00879 2839.18780 3.66701 2725.46219
2 1999 14.29 133.0606699 1901.43697 3.07579 2719.87681 3.74760 2610.13526
3 1999 14.90 133.0606699 1982.60398 2.94653 2833.03418 3.58902 2717.96559
4 1999 14.26 147.1703336 2098.64896 3.06912 2995.78707 3.73729 2873.31516
5 1999 13.51 147.1703336 1988.27121 3.24544 2834.97920 3.95090 2718.24319
6 1999 14.48 147.1703336 2131.02643 3.07123 3035.45571 3.73767 2909.67176
7 1999 15.07 147.1703336 2217.85693 3.28841 3155.84954 4.00090 3024.22793
8 1999 15.43 147.1703336 2270.83825 3.41884 3227.81928 4.15841 3092.31384
9 1999 15.76 147.1703336 2319.40446 3.49680 3293.35555 4.25203 3154.19684
10 1999 16.40 147.1703336 2413.59347 3.56780 3423.52807 4.33713 3277.94893
11 1999 17.75 147.1703336 2612.27342 3.70882 3701.63406 4.50729 3543.27280
12 1999 20.34 147.1703336 2993.44459 4.01010 4237.74972 4.87212 4055.41908
</TABLE>
SURRENDER CHARGE = 0.00%
FREE WITHDRAWAL AVAILABLE = 15.00% OF PRINCIPAL + 15.00% OF INTEREST
GROSS RETURN = 398.91%
GROSS ANNUAL RETURN = 13.53%
WITHOUT WITH
SURRENDER SURRENDER
CHARGE CHARGE
WITHOUT DEATH BENEFIT CHARGE
ERV 4237.75 4237.75
TOTAL RETURN 323.77% 323.77%
AVERAGE ANNUAL RETURN 12.07% 12.07%
WITH DEATH BENEFIT CHARGE
ERV 4055.42 4055.42
TOTAL RETURN 305.54% 305.54%
AVERAGE ANNUAL RETURN 11.69% 11.69%
<TABLE>
<CAPTION>
Return for Product Inception
WITH DEATH BENEFIT CHARGE
FUND GROSS ADMIN/ ADMIN/
MONTH YEAR NAV SHARES VALUE MTHLY M&E ERV MTHLY M&E ERV
<S> <C> <C> <C> <C> <C> <C> <C> <C>
6 1995 11.09 110.5003621 1225.44902 1000.00000 1000.00000
7 1995 11.75 110.5003621 1298.37925 1.08333 1058.42974 1.37503 1058.13804
8 1995 11.53 110.5003621 1274.06917 1.14663 1037.46570 1.45498 1036.87112
9 1995 11.82 110.5003621 1306.11428 1.12392 1062.43589 1.42573 1061.52454
10 1995 11.55 110.5003621 1276.27918 1.15097 1037.01608 1.45963 1035.81689
11 1995 11.66 110.5003621 1288.43422 1.12343 1045.76898 1.42428 1044.25753
12 1995 11.82 110.5003621 1306.11428 1.13292 1058.98624 1.43589 1057.15107
1 1996 12.04 110.5003621 1330.42436 1.14724 1077.54941 1.45362 1075.37370
2 1996 11.84 113.0560895 1338.58410 1.16735 1082.99088 1.47867 1080.49049
3 1996 12.09 113.0560895 1366.84812 1.17324 1104.68484 1.48571 1101.81919
4 1996 12.48 113.1463899 1412.06695 1.19674 1140.03390 1.51504 1136.75515
5 1996 12.48 113.1463899 1412.06695 1.23504 1138.79886 1.56308 1135.19207
6 1996 12.61 113.1463899 1426.77598 1.23370 1149.42765 1.56093 1145.45606
7 1996 12.14 113.1463899 1373.59717 1.24521 1105.34096 1.57504 1101.18757
8 1996 12.33 113.1463899 1395.09499 1.19745 1121.44291 1.51417 1116.90781
9 1996 12.61 113.1463899 1426.77598 1.21490 1145.69468 1.53579 1140.73570
10 1996 12.55 113.1463899 1419.98719 1.24117 1139.00215 1.56855 1133.73939
11 1996 13.11 113.1463899 1483.34917 1.23392 1188.59223 1.55893 1182.76962
12 1996 13.25 113.1463899 1499.18967 1.28764 1199.99742 1.62635 1193.77392
1 1997 13.25 113.1463899 1499.18967 1.30000 1198.69742 1.64148 1192.13244
2 1997 13.15 115.8831129 1523.86293 1.29859 1217.12668 1.63922 1210.11302
3 1997 13.21 115.8831129 1530.81592 1.31855 1221.36155 1.66395 1213.97050
4 1997 13.28 115.8831129 1538.92774 1.32314 1226.51042 1.66925 1218.73410
5 1997 14.04 115.8831129 1626.99891 1.32872 1295.37357 1.67580 1286.80513
6 1997 14.76 115.8831129 1710.43475 1.40332 1360.39966 1.76940 1351.02574
7 1997 15.33 115.8831129 1776.48812 1.47377 1411.46165 1.85771 1401.34179
8 1997 14.01 115.8831129 1623.52241 1.52908 1288.39771 1.92689 1278.75142
9 1997 14.96 115.8831129 1733.61137 1.39576 1374.36653 1.75833 1363.70358
10 1997 13.93 115.8831129 1614.25176 1.48890 1278.25213 1.87514 1267.93708
11 1997 13.98 115.8831129 1620.04592 1.38477 1281.45548 1.74346 1270.74473
12 1997 14.11 115.8831129 1635.11072 1.38824 1291.98349 1.74732 1280.81407
1 1998 14.47 115.8831129 1676.82864 1.39965 1323.54728 1.76116 1311.73136
2 1998 13.44 133.0606699 1788.33540 1.43384 1410.12748 1.80367 1397.15599
3 1998 14.00 133.0606699 1862.84938 1.52764 1467.35515 1.92114 1453.44969
4 1998 14.32 133.0606699 1905.42879 1.58963 1499.30506 1.99854 1484.67285
5 1998 14.68 133.0606699 1953.33063 1.62425 1535.37284 2.04147 1519.95556
6 1998 14.83 133.0606699 1973.28973 1.66332 1549.39794 2.08999 1533.39645
7 1998 15.05 133.0606699 2002.56308 1.67851 1570.70442 2.10847 1554.03560
8 1998 13.04 133.0606699 1735.11114 1.70160 1359.22768 2.13685 1344.34981
9 1998 12.64 133.0606699 1681.88687 1.47250 1316.06109 1.84853 1301.26356
10 1998 13.55 133.0606699 1802.97208 1.42573 1409.38342 1.78928 1393.15702
11 1998 14.02 133.0606699 1865.51059 1.52683 1456.74295 1.91564 1439.56491
12 1998 14.56 133.0606699 1937.36335 1.57814 1511.27332 1.97945 1493.03232
1 1999 14.90 133.0606699 1982.60398 1.63721 1544.92683 2.05297 1525.84412
2 1999 14.29 133.0606699 1901.43697 1.67367 1480.00447 2.09809 1461.27859
3 1999 14.90 133.0606699 1982.60398 1.60334 1541.57837 2.00931 1521.64716
4 1999 14.26 147.1703336 2098.64896 1.67004 1630.13937 2.09232 1608.61929
5 1999 13.51 147.1703336 1988.27121 1.76598 1542.63675 2.21191 1521.80258
6 1999 14.48 147.1703336 2131.02643 1.67119 1651.72482 2.09253 1628.97345
7 1999 15.07 147.1703336 2217.85693 1.78937 1717.23639 2.23989 1693.10747
8 1999 15.43 147.1703336 2270.83825 1.86034 1756.39829 2.32808 1731.22523
9 1999 15.76 147.1703336 2319.40446 1.90276 1792.05946 2.38049 1765.87029
10 1999 16.40 147.1703336 2413.59347 1.94140 1862.89205 2.42813 1835.15263
11 1999 17.75 147.1703336 2612.27342 2.01813 2014.22173 2.52340 1983.69363
12 1999 20.34 147.1703336 2993.44459 2.18207 2305.94582 2.72764 2270.41762
</TABLE>
SURRENDER CHARGE = 3.00%
FREE WITHDRAWAL AVAILABLE = 15.00% OF PRINCIPAL + 15.00% OF INTEREST
GROSS RETURN = 144.27%
GROSS ANNUAL RETURN = 21.51%
WITHOUT WITH
SURRENDER SURRENDER
CHARGE CHARGE
WITHOUT DEATH BENEFIT CHARGE
ERV 2305.95 2247.14
TOTAL RETURN 130.59% 124.71%
AVERAGE ANNUAL RETURN 19.99% 19.32%
WITH DEATH BENEFIT CHARGE
ERV 2270.42 2212.52
TOTAL RETURN 127.04% 121.25%
AVERAGE ANNUAL RETURN 19.59% 18.92%
<PAGE>
TRP Equity Income 12/1999
Assume ($10000 @ $10.00 on 3/31/1994)
DATE DIV PR/SH REINVEST NAV REINVEST SHARES SHARE BASIS
(incl cap gain)
100.000000
6/94 0.0900000000 10.10 0.891 100.891089
9/94 0.1000000000 10.52 0.959 101.850130
12/94 0.1000000000 10.43 0.977 102.826641
1/95 0.2600000000 10.54 2.537 105.363162
3/95 0.1100000000 10.95 1.058 106.421604
6/95 0.1100000000 11.57 1.012 107.433392
9/95 0.1100000000 12.27 0.963 108.396527
12/95 0.1100000000 13.15 0.907 109.303266
1/96 0.0100000000 13.39 0.082 109.384897
3/96 0.1000000000 13.76 0.795 110.179845
6/96 0.1100000000 13.92 0.871 111.050519
9/96 0.1000000000 14.32 0.775 111.826012
12/96 0.1800000000 15.46 1.302 113.127996
3/97 0.1900000000 16.00 1.343 114.471391
6/97 0.0900000000 17.17 0.600 115.071416
9/97 0.1000000000 18.42 0.625 115.696125
12/97 0.6300000000 18.40 3.961 119.657460
3/98 0.1400000000 20.07 0.835 120.492140
6/98 0.1000000000 19.50 0.618 121.110049
9/98 0.1000000000 18.33 0.661 121.770769
12/98 0.6534299020 18.06 4.406 126.176565
3/99 0.1600000000 19.33 1.044 127.220964
6/99 0.1000000000 20.98 0.606 127.827356
9/99 0.0900000000 19.32 0.595 128.422825
12/99 0.8800000000 18.59 6.079 134.502012
M and E Charge = 0.0010833
Death Benefit Charge = 0.0002917
<TABLE>
<CAPTION>
Return for YTD
WITH DEATH BENEFIT CHARGE
FUND GROSS ADMIN/ ADMIN/
MONTH YEAR NAV SHARES VALUE MTHLY M&E ERV MTHLY M&E ERV
<S> <C> <C> <C> <C> <C> <C> <C> <C>
12 1998 19.25 126.1765645 2428.89887 1000.00000 1000.00000
1 1999 18.76 126.1765645 2367.07235 1.08333 973.46212 1.37503 973.17042
2 1999 18.61 126.1765645 2348.14587 1.05458 964.62399 1.33814 964.05107
3 1999 18.96 127.2209644 2412.10949 1.04501 989.85539 1.32560 988.98627
4 1999 21.04 127.2209644 2676.72909 1.07234 1097.37478 1.35989 1096.12276
5 1999 20.87 127.2209644 2655.10153 1.18882 1087.31934 1.50721 1085.75905
6 1999 21.35 127.8273561 2729.11405 1.17793 1116.45108 1.49295 1114.53227
7 1999 20.89 127.8273561 2670.31347 1.20949 1091.18690 1.53252 1088.98641
8 1999 20.26 127.8273561 2589.78223 1.18212 1057.09680 1.49739 1054.64740
9 1999 19.45 128.4228251 2497.82395 1.14519 1018.41610 1.45018 1015.74868
10 1999 20.09 128.4228251 2580.01456 1.10328 1050.82368 1.39669 1047.77509
11 1999 19.77 128.4228251 2538.91925 1.13839 1032.94743 1.44073 1029.64506
12 1999 18.73 134.5020121 2519.22269 1.11903 1023.81495 1.41580 1020.24143
</TABLE>
SURRENDER CHARGE = 7.00%
FREE WITHDRAWAL AVAILABLE = 15.00% OF PRINCIPAL + 15.00% OF INTEREST
GROSS RETURN = 3.72%
WITHOUT WITH
SURRENDER SURRENDER
CHARGE CHARGE
WITHOUT DEATH BENEFIT CHARGE
ERV 1023.81 962.90
TOTAL RETURN 2.38% -3.71%
WITH DEATH BENEFIT CHARGE
ERV 1020.24 959.54
TOTAL RETURN 2.02% -4.05%
<TABLE>
<CAPTION>
Return for 1 Year
WITH DEATH BENEFIT CHARGE
FUND GROSS ADMIN/ ADMIN/
MONTH YEAR NAV SHARES VALUE MTHLY M&E ERV MTHLY M&E ERV
<S> <C> <C> <C> <C> <C> <C> <C> <C>
12 1998 19.25 126.1765645 2428.89887 1000.00000 1000.00000
1 1999 18.76 126.1765645 2367.07235 1.08333 973.46212 1.37503 973.17042
2 1999 18.61 126.1765645 2348.14587 1.05458 964.62399 1.33814 964.05107
3 1999 18.96 127.2209644 2412.10949 1.04501 989.85539 1.32560 988.98627
4 1999 21.04 127.2209644 2676.72909 1.07234 1097.37478 1.35989 1096.12276
5 1999 20.87 127.2209644 2655.10153 1.18882 1087.31934 1.50721 1085.75905
6 1999 21.35 127.8273561 2729.11405 1.17793 1116.45108 1.49295 1114.53227
7 1999 20.89 127.8273561 2670.31347 1.20949 1091.18690 1.53252 1088.98641
8 1999 20.26 127.8273561 2589.78223 1.18212 1057.09680 1.49739 1054.64740
9 1999 19.45 128.4228251 2497.82395 1.14519 1018.41610 1.45018 1015.74868
10 1999 20.09 128.4228251 2580.01456 1.10328 1050.82368 1.39669 1047.77509
11 1999 19.77 128.4228251 2538.91925 1.13839 1032.94743 1.44073 1029.64506
12 1999 18.73 134.5020121 2519.22269 1.11903 1023.81495 1.41580 1020.24143
</TABLE>
SURRENDER CHARGE = 7.00%
FREE WITHDRAWAL AVAILABLE = 15.00% OF PRINCIPAL + 15.00% OF INTEREST
GROSS RETURN = 3.72%
WITHOUT WITH
SURRENDER SURRENDER
CHARGE CHARGE
WITHOUT DEATH BENEFIT CHARGE
ERV 1023.81 962.90
TOTAL RETURN 2.38% -3.71%
WITH DEATH BENEFIT CHARGE
ERV 1020.24 959.54
TOTAL RETURN 2.02% -4.05%
<TABLE>
<CAPTION>
Return for 3 Years
WITH DEATH BENEFIT CHARGE
FUND GROSS ADMIN/ ADMIN/
MONTH YEAR NAV SHARES VALUE MTHLY M&E ERV MTHLY M&E ERV
<S> <C> <C> <C> <C> <C> <C> <C> <C>
12 1996 15.26 113.1279961 1726.33322 1000.00000 1000.00000
1 1997 15.69 113.1279961 1774.97826 1.08333 1027.09491 1.37503 1026.80321
2 1997 16.07 113.1279961 1817.96690 1.11269 1050.85769 1.41189 1050.25972
3 1997 15.54 114.4713911 1778.88542 1.13843 1027.12860 1.44414 1026.23777
4 1997 15.93 114.4713911 1823.52926 1.11272 1051.79324 1.41111 1050.58167
5 1997 16.68 114.4713911 1909.38280 1.13944 1100.17325 1.44458 1098.59949
6 1997 17.22 115.0714158 1981.52978 1.19185 1140.55199 1.51061 1138.60001
7 1997 18.20 115.0714158 2094.29977 1.23560 1204.22585 1.56561 1201.83277
8 1997 17.72 115.0714158 2039.06549 1.30458 1171.16147 1.65256 1168.48352
9 1997 18.47 115.6961249 2136.90743 1.26876 1226.08939 1.60670 1222.94500
10 1997 17.98 115.6961249 2080.21633 1.32826 1192.23358 1.68159 1188.81928
11 1997 18.67 115.6961249 2160.04665 1.29159 1236.69512 1.63467 1232.80671
12 1997 18.59 119.6574597 2224.43217 1.33975 1272.21812 1.69515 1267.85841
1 1998 18.47 119.6574597 2210.07328 1.37824 1262.62761 1.74335 1257.93093
2 1998 19.37 119.6574597 2317.76499 1.36785 1322.78466 1.72970 1317.49727
3 1998 20.13 120.4921405 2425.50679 1.43302 1382.84156 1.81160 1376.92981
4 1998 20.01 120.4921405 2411.04773 1.49808 1373.10002 1.89332 1366.82826
5 1998 19.67 120.4921405 2370.08040 1.48752 1348.28146 1.87943 1341.72436
6 1998 19.53 121.1100489 2365.27925 1.46064 1344.08956 1.84492 1337.16147
7 1998 18.96 121.1100489 2296.24653 1.45610 1303.40505 1.83864 1296.29661
8 1998 17.13 121.1100489 2074.61514 1.41202 1176.18969 1.78245 1169.39692
9 1998 17.96 121.7707693 2187.00302 1.27421 1238.63307 1.60796 1231.13856
10 1998 19.03 121.7707693 2317.29774 1.34185 1311.08506 1.69286 1302.79305
11 1998 19.79 121.7707693 2409.84352 1.42034 1362.02544 1.79138 1353.03123
12 1998 19.25 126.1765645 2428.89887 1.47553 1371.31985 1.86046 1361.86959
1 1999 18.76 126.1765645 2367.07235 1.48560 1334.92793 1.87262 1325.33120
2 1999 18.61 126.1765645 2348.14587 1.44617 1322.80803 1.82237 1312.91183
3 1999 18.96 127.2209644 2412.10949 1.43304 1357.40835 1.80530 1346.87032
4 1999 21.04 127.2209644 2676.72909 1.47053 1504.85182 1.85199 1492.77625
5 1999 20.87 127.2209644 2655.10153 1.63026 1491.06259 2.05262 1478.66223
6 1999 21.35 127.8273561 2729.11405 1.61532 1531.01152 2.03321 1517.84760
7 1999 20.89 127.8273561 2670.31347 1.65860 1496.36626 2.08709 1483.05747
8 1999 20.26 127.8273561 2589.78223 1.62106 1449.61783 2.03925 1436.29222
9 1999 19.45 128.4228251 2497.82395 1.57042 1396.57421 1.97495 1383.31724
10 1999 20.09 128.4228251 2580.01456 1.51296 1441.01537 1.90211 1426.93302
11 1999 19.77 128.4228251 2538.91925 1.56110 1416.50131 1.96208 1402.24229
12 1999 18.73 134.5020121 2519.22269 1.53454 1403.97776 1.92813 1389.43577
</TABLE>
SURRENDER CHARGE = 5.00%
FREE WITHDRAWAL AVAILABLE = 15.00% OF PRINCIPAL + 15.00% OF INTEREST
GROSS RETURN = 45.93%
GROSS ANNUAL RETURN = 13.43%
WITHOUT WITH
SURRENDER SURRENDER
CHARGE CHARGE
WITHOUT DEATH BENEFIT CHARGE
ERV 1403.98 1344.31
TOTAL RETURN 40.40% 34.43%
AVERAGE ANNUAL RETURN 11.97% 10.37%
WITH DEATH BENEFIT CHARGE
ERV 1389.44 1330.38
TOTAL RETURN 38.94% 33.04%
AVERAGE ANNUAL RETURN 11.59% 9.98%
<TABLE>
<CAPTION>
Return for 5 Years
WITH DEATH BENEFIT CHARGE
FUND GROSS ADMIN/ ADMIN/
MONTH YEAR NAV SHARES VALUE MTHLY M&E ERV MTHLY M&E ERV
<S> <C> <C> <C> <C> <C> <C> <C> <C>
12 1994 10.42 102.8266412 1071.45360 1000.00000 1000.00000
1 1995 10.57 105.3631618 1113.68862 1.08333 1038.33510 1.37503 1038.04340
2 1995 10.87 105.3631618 1145.29757 1.12486 1066.68048 1.42734 1066.07802
3 1995 10.90 106.4216045 1159.99549 1.15557 1079.21392 1.46589 1078.29340
4 1995 11.18 106.4216045 1189.79354 1.16915 1105.76770 1.48269 1104.50999
5 1995 11.58 106.4216045 1232.36218 1.19791 1144.13213 1.51874 1142.50861
6 1995 11.55 107.4333916 1240.85567 1.23948 1150.77806 1.57099 1148.81184
7 1995 11.80 107.4333916 1267.71402 1.24668 1174.44000 1.57965 1172.09824
8 1995 11.99 107.4333916 1288.12636 1.27231 1192.07817 1.61167 1189.35934
9 1995 12.33 108.3965271 1336.52918 1.29142 1235.58044 1.63541 1232.41546
10 1995 12.40 108.3965271 1344.11694 1.33855 1241.25655 1.69461 1237.71753
11 1995 12.90 108.3965271 1398.31520 1.34469 1289.96252 1.70190 1285.92359
12 1995 13.21 109.3032661 1443.89615 1.39746 1330.61403 1.76819 1326.07271
1 1996 13.57 109.3848966 1484.35305 1.44150 1366.45535 1.82339 1361.40489
2 1996 13.62 109.3848966 1489.82229 1.48033 1370.00986 1.87198 1364.54915
3 1996 13.70 110.1798450 1509.46388 1.48418 1386.58768 1.87630 1380.66285
4 1996 13.78 110.1798450 1518.27826 1.50214 1393.18241 1.89846 1386.82666
5 1996 14.01 110.1798450 1543.61963 1.50928 1414.92653 1.90693 1408.06705
6 1996 13.99 111.0505191 1553.59676 1.53284 1422.53903 1.93614 1415.23190
7 1996 13.59 111.0505191 1509.17655 1.54108 1380.32492 1.94599 1372.82181
8 1996 13.88 111.0505191 1541.38120 1.49535 1408.28462 1.88768 1400.22908
9 1996 14.37 111.8260115 1606.93979 1.52564 1466.65665 1.92536 1457.85877
10 1996 14.70 111.8260115 1643.84237 1.58888 1498.74882 2.00460 1489.33318
11 1996 15.55 111.8260115 1738.89448 1.62364 1583.78753 2.04788 1573.40320
12 1996 15.26 113.1279961 1726.33322 1.71577 1570.63094 2.16348 1559.87392
1 1997 15.69 113.1279961 1774.97826 1.70152 1613.18705 2.14488 1601.68355
2 1997 16.07 113.1279961 1817.96690 1.74762 1650.50961 2.20237 1638.27275
3 1997 15.54 114.4713911 1778.88542 1.78805 1613.23996 2.25268 1600.80154
4 1997 15.93 114.4713911 1823.52926 1.74768 1651.97900 2.20116 1638.77494
5 1997 16.68 114.4713911 1909.38280 1.78964 1727.96615 2.25337 1713.67670
6 1997 17.22 115.0714158 1981.52978 1.87196 1791.38625 2.35636 1776.07246
7 1997 18.20 115.0714158 2094.29977 1.94067 1891.39439 2.44216 1874.70760
8 1997 17.72 115.0714158 2039.06549 2.04901 1839.46245 2.57779 1822.68697
9 1997 18.47 115.6961249 2136.90743 1.99275 1925.73394 2.50626 1907.64001
10 1997 17.98 115.6961249 2080.21633 2.08621 1872.55896 2.62307 1854.40819
11 1997 18.67 115.6961249 2160.04665 2.02861 1942.39162 2.54987 1923.02304
12 1997 18.59 119.6574597 2224.43217 2.10426 1998.18514 2.64422 1977.69927
1 1998 18.47 119.6574597 2210.07328 2.16470 1983.12199 2.71940 1962.21365
2 1998 19.37 119.6574597 2317.76499 2.14838 2077.60652 2.69811 2055.12964
3 1998 20.13 120.4921405 2425.50679 2.25074 2171.93375 2.82587 2147.83690
4 1998 20.01 120.4921405 2411.04773 2.35293 2156.63338 2.95335 2132.07976
5 1998 19.67 120.4921405 2370.08040 2.33635 2117.65258 2.93168 2092.92083
6 1998 19.53 121.1100489 2365.27925 2.29412 2111.06866 2.87784 2085.80330
7 1998 18.96 121.1100489 2296.24653 2.28699 2047.16830 2.86805 2022.05927
8 1998 17.13 121.1100489 2074.61514 2.21777 1847.35992 2.78040 1824.11176
9 1998 17.96 121.7707693 2187.00302 2.00131 1945.43543 2.50821 1920.42093
10 1998 19.03 121.7707693 2317.29774 2.10755 2059.23076 2.64064 2032.19290
11 1998 19.79 121.7707693 2409.84352 2.23083 2139.23931 2.79433 2110.55813
12 1998 19.25 126.1765645 2428.89887 2.31751 2153.83739 2.90209 2124.34485
1 1999 18.76 126.1765645 2367.07235 2.33332 2096.67912 2.92104 2067.34957
2 1999 18.61 126.1765645 2348.14587 2.27140 2077.64322 2.84267 2047.97692
3 1999 18.96 127.2209644 2412.10949 2.25078 2131.98756 2.81604 2100.94788
4 1999 21.04 127.2209644 2676.72909 2.30965 2363.56683 2.88887 2328.54274
5 1999 20.87 127.2209644 2655.10153 2.56053 2341.90904 3.20182 2306.52665
6 1999 21.35 127.8273561 2729.11405 2.53707 2404.65407 3.17155 2367.65089
7 1999 20.89 127.8273561 2670.31347 2.60504 2350.23915 3.25560 2313.38267
8 1999 20.26 127.8273561 2589.78223 2.54609 2276.81462 3.18098 2240.43477
9 1999 19.45 128.4228251 2497.82395 2.46655 2193.50267 3.08067 2157.80048
10 1999 20.09 128.4228251 2580.01456 2.37629 2263.30333 2.96705 2225.83561
11 1999 19.77 128.4228251 2538.91925 2.45191 2224.80079 3.06060 2187.32118
12 1999 18.73 134.5020121 2519.22269 2.41020 2205.13091 3.00764 2167.34462
</TABLE>
SURRENDER CHARGE = 3.00%
FREE WITHDRAWAL AVAILABLE = 15.00% OF PRINCIPAL + 15.00% OF INTEREST
GROSS RETURN = 135.12%
GROSS ANNUAL RETURN = 18.65%
WITHOUT WITH
SURRENDER SURRENDER
CHARGE CHARGE
WITHOUT DEATH BENEFIT CHARGE
ERV 2205.13 2148.90
TOTAL RETURN 120.51% 114.89%
AVERAGE ANNUAL RETURN 17.14% 16.53%
WITH DEATH BENEFIT CHARGE
ERV 2167.34 2112.08
TOTAL RETURN 116.73% 111.21%
AVERAGE ANNUAL RETURN 16.73% 16.13%
<TABLE>
<CAPTION>
Return for Inception
WITH DEATH BENEFIT CHARGE
FUND GROSS ADMIN/ ADMIN/
MONTH YEAR NAV SHARES VALUE MTHLY M&E ERV MTHLY M&E ERV
<S> <C> <C> <C> <C> <C> <C> <C> <C>
3 1994 10.00 100.0000000 1000.00000 1000.00000 1000.00000
4 1994 10.16 100.0000000 1016.00000 1.08333 1014.91667 1.37503 1014.62497
5 1994 10.35 100.0000000 1035.00000 1.09949 1032.79691 1.39514 1032.20411
6 1994 10.08 100.8910891 1016.98218 1.11886 1013.69858 1.41932 1012.81564
7 1994 10.36 100.8910891 1045.23168 1.09817 1040.75870 1.39266 1039.55676
8 1994 10.82 100.8910891 1091.64158 1.12749 1085.84251 1.42943 1084.28526
9 1994 10.50 101.8501299 1069.42636 1.17633 1062.56897 1.49093 1060.72881
10 1994 10.65 101.8501299 1084.70388 1.15112 1076.59741 1.45854 1074.42354
11 1994 10.41 101.8501299 1060.25985 1.16631 1051.16975 1.47737 1048.73381
12 1994 10.42 102.8266412 1071.45360 1.13877 1061.12876 1.44204 1058.36383
1 1995 10.57 105.3631618 1113.68862 1.14956 1101.80723 1.45529 1098.62759
2 1995 10.87 105.3631618 1145.29757 1.19362 1131.88534 1.51065 1128.29842
3 1995 10.90 106.4216045 1159.99549 1.22621 1145.18493 1.55145 1141.22674
4 1995 11.18 106.4216045 1189.79354 1.24062 1173.36190 1.56922 1168.97343
5 1995 11.58 106.4216045 1232.36218 1.27114 1214.07151 1.60738 1209.18979
6 1995 11.55 107.4333916 1240.85567 1.31524 1221.12370 1.66268 1215.86090
7 1995 11.80 107.4333916 1267.71402 1.32288 1246.23206 1.67185 1240.50639
8 1995 11.99 107.4333916 1288.12636 1.35008 1264.94843 1.70574 1258.77490
9 1995 12.33 108.3965271 1336.52918 1.37036 1311.10994 1.73086 1304.34395
10 1995 12.40 108.3965271 1344.11694 1.42037 1317.13302 1.79352 1309.95547
11 1995 12.90 108.3965271 1398.31520 1.42689 1368.81633 1.80123 1360.97502
12 1995 13.21 109.3032661 1443.89615 1.48288 1411.95281 1.87139 1403.46740
1 1996 13.57 109.3848966 1484.35305 1.52962 1449.98507 1.92981 1440.86170
2 1996 13.62 109.3848966 1489.82229 1.57082 1453.75687 1.98123 1444.18947
3 1996 13.70 110.1798450 1509.46388 1.57490 1471.34807 1.98581 1461.24363
4 1996 13.78 110.1798450 1518.27826 1.59396 1478.34592 2.00926 1467.76718
5 1996 14.01 110.1798450 1543.61963 1.60154 1501.41924 2.01823 1490.24724
6 1996 13.99 111.0505191 1553.59676 1.62654 1509.49707 2.04914 1497.83026
7 1996 13.59 111.0505191 1509.17655 1.63529 1464.70247 2.05957 1452.94496
8 1996 13.88 111.0505191 1541.38120 1.58676 1494.37132 1.99785 1481.95182
9 1996 14.37 111.8260115 1606.93979 1.61890 1556.31155 2.03773 1542.94500
10 1996 14.70 111.8260115 1643.84237 1.68600 1590.36548 2.12160 1576.25637
11 1996 15.55 111.8260115 1738.89448 1.72290 1680.60249 2.16740 1665.23304
12 1996 15.26 113.1279961 1726.33322 1.82065 1666.64167 2.28975 1650.91414
1 1997 15.69 113.1279961 1774.97826 1.80553 1711.79917 2.27006 1695.16394
2 1997 16.07 113.1279961 1817.96690 1.85445 1751.40321 2.33091 1733.88863
3 1997 15.54 114.4713911 1778.88542 1.89735 1711.85532 2.38415 1694.23045
4 1997 15.93 114.4713911 1823.52926 1.85451 1752.96243 2.32962 1734.42013
5 1997 16.68 114.4713911 1909.38280 1.89904 1833.59458 2.38489 1813.69344
6 1997 17.22 115.0714158 1981.52978 1.98639 1900.89147 2.49389 1879.73086
7 1997 18.20 115.0714158 2094.29977 2.05930 2007.01298 2.58469 1984.12272
8 1997 17.72 115.0714158 2039.06549 2.17426 1951.90651 2.72823 1929.06597
9 1997 18.47 115.6961249 2136.90743 2.11457 2043.45167 2.65253 2018.97720
10 1997 17.98 115.6961249 2080.21633 2.21374 1987.02616 2.77616 1962.63856
11 1997 18.67 115.6961249 2160.04665 2.15261 2061.12762 2.69869 2035.25804
12 1997 18.59 119.6574597 2224.43217 2.23289 2120.33172 2.79855 2093.12538
1 1998 18.47 119.6574597 2210.07328 2.29703 2104.34778 2.87812 2076.73596
2 1998 19.37 119.6574597 2317.76499 2.27971 2204.60803 2.85558 2175.07488
3 1998 20.13 120.4921405 2425.50679 2.38833 2304.70137 2.99080 2273.19289
4 1998 20.01 120.4921405 2411.04773 2.49676 2288.46570 3.12572 2256.51610
5 1998 19.67 120.4921405 2370.08040 2.47917 2247.10206 3.10278 2215.07171
6 1998 19.53 121.1100489 2365.27925 2.43436 2240.11567 3.04580 2207.53877
7 1998 18.96 121.1100489 2296.24653 2.42679 2172.30916 3.03544 2140.07440
8 1998 17.13 121.1100489 2074.61514 2.35333 1960.28674 2.94267 1930.57391
9 1998 17.96 121.7707693 2187.00302 2.12364 2064.35748 2.65460 2032.50406
10 1998 19.03 121.7707693 2317.29774 2.23639 2185.10898 2.79476 2150.79946
11 1998 19.79 121.7707693 2409.84352 2.36720 2270.00835 2.95742 2233.73839
12 1998 19.25 126.1765645 2428.89887 2.45918 2285.49880 3.07146 2248.32976
1 1999 18.76 126.1765645 2367.07235 2.47596 2224.84651 3.09153 2188.00802
2 1999 18.61 126.1765645 2348.14587 2.41025 2204.64698 3.00858 2167.50470
3 1999 18.96 127.2209644 2412.10949 2.38837 2262.31331 2.98039 2223.56725
4 1999 21.04 127.2209644 2676.72909 2.45084 2508.04874 3.05748 2464.44542
5 1999 20.87 127.2209644 2655.10153 2.71705 2485.06704 3.38869 2441.14438
6 1999 21.35 127.8273561 2729.11405 2.69216 2551.64759 3.35665 2505.83607
7 1999 20.89 127.8273561 2670.31347 2.76428 2493.90636 3.44561 2448.40055
8 1999 20.26 127.8273561 2589.78223 2.70173 2415.99347 3.36663 2371.19513
9 1999 19.45 128.4228251 2497.82395 2.61733 2327.58877 3.26047 2283.73799
10 1999 20.09 128.4228251 2580.01456 2.52155 2401.65626 3.14022 2355.74391
11 1999 19.77 128.4228251 2538.91925 2.60179 2360.80011 3.23923 2314.98163
12 1999 18.73 134.5020121 2519.22269 2.55753 2339.92783 3.18318 2293.83916
</TABLE>
SURRENDER CHARGE = 2.00%
FREE WITHDRAWAL AVAILABLE = 15.00% OF PRINCIPAL + 15.00% OF INTEREST
GROSS RETURN = 151.92%
GROSS ANNUAL RETURN = 17.42%
WITHOUT WITH
SURRENDER SURRENDER
CHARGE CHARGE
WITHOUT DEATH BENEFIT CHARGE
ERV 2339.93 2300.15
TOTAL RETURN 133.99% 130.01%
AVERAGE ANNUAL RETURN 15.92% 15.58%
WITH DEATH BENEFIT CHARGE
ERV 2293.84 2254.84
TOTAL RETURN 129.38% 125.48%
AVERAGE ANNUAL RETURN 15.52% 15.18%
<TABLE>
<CAPTION>
Return for Product Inception
WITH DEATH BENEFIT CHARGE
FUND GROSS ADMIN/ ADMIN/
MONTH YEAR NAV SHARES VALUE MTHLY M&E ERV MTHLY M&E ERV
<S> <C> <C> <C> <C> <C> <C> <C> <C>
6 1995 11.55 107.4333916 1240.85567 1000.00000 1000.00000
7 1995 11.80 107.4333916 1267.71402 1.08333 1020.56169 1.37503 1020.26999
8 1995 11.99 107.4333916 1288.12636 1.10561 1035.88885 1.40291 1035.29516
9 1995 12.33 108.3965271 1336.52918 1.12221 1073.69134 1.42357 1072.77399
10 1995 12.40 108.3965271 1344.11694 1.16317 1078.62375 1.47510 1077.38925
11 1995 12.90 108.3965271 1398.31520 1.16851 1120.94813 1.48145 1119.35092
12 1995 13.21 109.3032661 1443.89615 1.21436 1156.27337 1.53914 1154.29931
1 1996 13.57 109.3848966 1484.35305 1.25263 1187.41867 1.58720 1185.05472
2 1996 13.62 109.3848966 1489.82229 1.28637 1190.50746 1.62949 1187.79168
3 1996 13.70 110.1798450 1509.46388 1.28972 1204.91320 1.63325 1201.81809
4 1996 13.78 110.1798450 1518.27826 1.30532 1210.64387 1.65254 1207.18347
5 1996 14.01 110.1798450 1543.61963 1.31153 1229.53902 1.65992 1225.67247
6 1996 13.99 111.0505191 1553.59676 1.33200 1236.15411 1.68534 1231.90923
7 1996 13.59 111.0505191 1509.17655 1.33917 1199.47101 1.69392 1194.99274
8 1996 13.88 111.0505191 1541.38120 1.29943 1223.76735 1.64315 1218.84980
9 1996 14.37 111.8260115 1606.93979 1.32575 1274.49132 1.67596 1269.01440
10 1996 14.70 111.8260115 1643.84237 1.38070 1302.37869 1.74494 1296.41176
11 1996 15.55 111.8260115 1738.89448 1.41091 1376.27539 1.78261 1369.59173
12 1996 15.26 113.1279961 1726.33322 1.49096 1364.84262 1.88323 1357.81498
1 1997 15.69 113.1279961 1774.97826 1.47858 1401.82291 1.86704 1394.20878
2 1997 16.07 113.1279961 1817.96690 1.51864 1434.25536 1.91708 1426.05838
3 1997 15.54 114.4713911 1778.88542 1.55378 1401.86889 1.96088 1393.44102
4 1997 15.93 114.4713911 1823.52926 1.51869 1435.53224 1.91603 1426.49552
5 1997 16.68 114.4713911 1909.38280 1.55516 1501.56334 1.96148 1491.69485
6 1997 17.22 115.0714158 1981.52978 1.62669 1556.67396 2.05113 1546.00815
7 1997 18.20 115.0714158 2094.29977 1.68640 1643.57877 2.12581 1631.86654
8 1997 17.72 115.0714158 2039.06549 1.78054 1598.45109 2.24387 1586.58443
9 1997 18.47 115.6961249 2136.90743 1.73166 1673.41906 2.18161 1660.53304
10 1997 17.98 115.6961249 2080.21633 1.81287 1627.21121 2.28329 1614.19663
11 1997 18.67 115.6961249 2160.04665 1.76281 1687.89421 2.21957 1673.92342
12 1997 18.59 119.6574597 2224.43217 1.82855 1736.37751 2.30170 1721.51714
1 1998 18.47 119.6574597 2210.07328 1.88108 1723.28797 2.36714 1708.03746
2 1998 19.37 119.6574597 2317.76499 1.86690 1805.39288 2.34861 1788.91753
3 1998 20.13 120.4921405 2425.50679 1.95584 1887.36110 2.45982 1869.61592
4 1998 20.01 120.4921405 2411.04773 2.04464 1874.06543 2.57078 1855.89988
5 1998 19.67 120.4921405 2370.08040 2.03024 1840.19200 2.55192 1821.81343
6 1998 19.53 121.1100489 2365.27925 1.99354 1834.47072 2.50505 1815.61787
7 1998 18.96 121.1100489 2296.24653 1.98734 1778.94276 2.49654 1760.13095
8 1998 17.13 121.1100489 2074.61514 1.92719 1605.31382 2.42024 1587.82465
9 1998 17.96 121.7707693 2187.00302 1.73909 1690.53920 2.18331 1671.65838
10 1998 19.03 121.7707693 2317.29774 1.83142 1789.42476 2.29859 1768.95191
11 1998 19.79 121.7707693 2409.84352 1.93854 1858.95037 2.43237 1837.16607
12 1998 19.25 126.1765645 2428.89887 2.01386 1871.63578 2.52616 1849.16692
1 1999 18.76 126.1765645 2367.07235 2.02761 1821.96653 2.54267 1799.55455
2 1999 18.61 126.1765645 2348.14587 1.97380 1805.42477 2.47445 1782.69134
3 1999 18.96 127.2209644 2412.10949 1.95588 1852.64877 2.45126 1828.80069
4 1999 21.04 127.2209644 2676.72909 2.00704 2053.88590 2.51466 2026.91395
5 1999 20.87 127.2209644 2655.10153 2.22504 2035.06577 2.78707 2007.74972
6 1999 21.35 127.8273561 2729.11405 2.20465 2089.58978 2.76072 2060.95621
7 1999 20.89 127.8273561 2670.31347 2.26372 2042.30445 2.83388 2013.71765
8 1999 20.26 127.8273561 2589.78223 2.21250 1978.50019 2.76893 1950.21908
9 1999 19.45 128.4228251 2497.82395 2.14338 1906.10401 2.68162 1878.28886
10 1999 20.09 128.4228251 2580.01456 2.06495 1966.75919 2.58271 1937.51103
11 1999 19.77 128.4228251 2538.91925 2.13066 1933.30136 2.66414 1903.98559
12 1999 18.73 134.5020121 2519.22269 2.09441 1916.20868 2.61804 1886.59670
</TABLE>
SURRENDER CHARGE = 3.00%
FREE WITHDRAWAL AVAILABLE = 15.00% OF PRINCIPAL + 15.00% OF INTEREST
GROSS RETURN = 103.02%
GROSS ANNUAL RETURN = 16.71%
WITHOUT WITH
SURRENDER SURRENDER
CHARGE CHARGE
WITHOUT DEATH BENEFIT CHARGE
ERV 1916.21 1867.35
TOTAL RETURN 91.62% 86.73%
AVERAGE ANNUAL RETURN 15.24% 14.60%
WITH DEATH BENEFIT CHARGE
ERV 1886.60 1838.49
TOTAL RETURN 88.66% 83.85%
AVERAGE ANNUAL RETURN 14.85% 14.21%
<PAGE>
TRP International Stock 12/1999
Assume ($10000 @ $10.00 on 3/31/1994)
DATE DIV PR/SH REINVEST NAV REINVEST SHARES SHARE BASIS
(incl cap gain)
100.000000
1/95 0.0500000000 9.73 0.514 100.513875
1/96 0.1000000000 11.31 0.889 101.402591
12/96 0.1600000000 12.47 1.301 102.703667
12/97 0.2900000000 12.70 2.345 105.048869
12/98 0.2300000000 13.91 1.737 106.785838
12/99 0.2900000000 17.36 1.784 108.569703
M and E Charge = 0.0010833
Death Benefit Charge = 0.0002917
<TABLE>
<CAPTION>
Return for YTD
WITH DEATH BENEFIT CHARGE
FUND GROSS ADMIN/ ADMIN/
MONTH YEAR NAV SHARES VALUE MTHLY M&E ERV MTHLY M&E ERV
<S> <C> <C> <C> <C> <C> <C> <C> <C>
12 1998 14.52 106.7858381 1550.53037 1000.00000 1000.00000
1 1999 14.34 106.7858381 1531.30892 1.08333 986.51997 1.37503 986.22827
2 1999 14.10 106.7858381 1505.68032 1.06873 968.94045 1.35610 968.36626
3 1999 14.69 106.7858381 1568.68396 1.04969 1008.43508 1.33154 1007.55502
4 1999 15.23 106.7858381 1626.34831 1.09247 1044.41238 1.38542 1043.20702
5 1999 14.55 106.7858381 1553.73394 1.13145 996.64926 1.43444 995.19471
6 1999 15.07 106.7858381 1609.26258 1.07970 1031.18863 1.36843 1029.39339
7 1999 15.36 106.7858381 1640.23047 1.11712 1049.91522 1.41545 1047.78710
8 1999 15.50 106.7858381 1655.18049 1.13741 1058.34735 1.44074 1055.89650
9 1999 15.61 106.7858381 1666.92693 1.14654 1064.71166 1.45189 1061.93806
10 1999 16.12 106.7858381 1721.38771 1.15344 1098.34381 1.46020 1095.17283
11 1999 17.24 106.7858381 1840.98785 1.18987 1173.46566 1.50590 1169.75834
12 1999 19.04 108.5697029 2067.16714 1.27125 1316.36355 1.60846 1311.86355
</TABLE>
SURRENDER CHARGE = 7.00%
FREE WITHDRAWAL AVAILABLE = 15.00% OF PRINCIPAL + 15.00% OF INTEREST
GROSS RETURN = 33.32%
WITHOUT WITH
SURRENDER SURRENDER
CHARGE CHARGE
WITHOUT DEATH BENEFIT CHARGE
ERV 1316.36 1238.04
TOTAL RETURN 31.64% 23.80%
WITH DEATH BENEFIT CHARGE
ERV 1311.86 1233.81
TOTAL RETURN 31.19% 23.38%
<TABLE>
<CAPTION>
Return for 1 Year
WITH DEATH BENEFIT CHARGE
FUND GROSS ADMIN/ ADMIN/
MONTH YEAR NAV SHARES VALUE MTHLY M&E ERV MTHLY M&E ERV
<S> <C> <C> <C> <C> <C> <C> <C> <C>
12 1998 14.52 106.7858381 1550.53037 1000.00000 1000.00000
1 1999 14.34 106.7858381 1531.30892 1.08333 986.51997 1.37503 986.22827
2 1999 14.10 106.7858381 1505.68032 1.06873 968.94045 1.35610 968.36626
3 1999 14.69 106.7858381 1568.68396 1.04969 1008.43508 1.33154 1007.55502
4 1999 15.23 106.7858381 1626.34831 1.09247 1044.41238 1.38542 1043.20702
5 1999 14.55 106.7858381 1553.73394 1.13145 996.64926 1.43444 995.19471
6 1999 15.07 106.7858381 1609.26258 1.07970 1031.18863 1.36843 1029.39339
7 1999 15.36 106.7858381 1640.23047 1.11712 1049.91522 1.41545 1047.78710
8 1999 15.50 106.7858381 1655.18049 1.13741 1058.34735 1.44074 1055.89650
9 1999 15.61 106.7858381 1666.92693 1.14654 1064.71166 1.45189 1061.93806
10 1999 16.12 106.7858381 1721.38771 1.15344 1098.34381 1.46020 1095.17283
11 1999 17.24 106.7858381 1840.98785 1.18987 1173.46566 1.50590 1169.75834
12 1999 19.04 108.5697029 2067.16714 1.27125 1316.36355 1.60846 1311.86355
</TABLE>
SURRENDER CHARGE = 7.00%
FREE WITHDRAWAL AVAILABLE = 15.00% OF PRINCIPAL + 15.00% OF INTEREST
GROSS RETURN = 33.32%
WITHOUT WITH
SURRENDER SURRENDER
CHARGE CHARGE
WITHOUT DEATH BENEFIT CHARGE
ERV 1316.36 1238.04
TOTAL RETURN 31.64% 23.80%
WITH DEATH BENEFIT CHARGE
ERV 1311.86 1233.81
TOTAL RETURN 31.19% 23.38%
<TABLE>
<CAPTION>
Return for 3 Years
WITH DEATH BENEFIT CHARGE
FUND GROSS ADMIN/ ADMIN/
MONTH YEAR NAV SHARES VALUE MTHLY M&E ERV MTHLY M&E ERV
<S> <C> <C> <C> <C> <C> <C> <C> <C>
12 1996 12.64 102.7036672 1298.17435 1000.00000 1000.00000
1 1997 12.48 102.7036672 1281.74177 1.08333 986.25844 1.37503 985.96674
2 1997 12.65 102.7036672 1299.20139 1.06845 998.62460 1.35574 998.04164
3 1997 12.62 102.7036672 1296.12028 1.08184 995.17448 1.37234 994.30240
4 1997 12.71 102.7036672 1305.36361 1.07811 1001.19350 1.36720 1000.02611
5 1997 13.53 102.7036672 1389.58062 1.08463 1064.70200 1.37507 1063.16885
6 1997 14.11 102.7036672 1449.14874 1.15343 1109.18990 1.46189 1107.28256
7 1997 14.47 102.7036672 1486.12206 1.20162 1136.28795 1.52255 1134.01102
8 1997 13.16 102.7036672 1351.58026 1.23098 1032.18640 1.55930 1029.78728
9 1997 14.03 102.7036672 1440.93245 1.11820 1099.30544 1.41599 1096.44993
10 1997 12.98 102.7036672 1333.09360 1.19091 1015.84292 1.50766 1012.88437
11 1997 12.96 102.7036672 1331.03953 1.10050 1013.17718 1.39275 1009.93093
12 1997 12.74 105.0488691 1338.32259 1.09761 1017.62338 1.38869 1014.06830
1 1998 13.18 105.0488691 1384.54409 1.10243 1051.66650 1.39438 1047.69668
2 1998 13.94 105.0488691 1464.38123 1.13931 1111.16958 1.44062 1106.66953
3 1998 14.42 105.0488691 1514.80469 1.20377 1148.22703 1.52171 1143.25409
4 1998 14.56 105.0488691 1529.51153 1.24391 1158.13095 1.57201 1152.78163
5 1998 14.47 105.0488691 1520.05714 1.25464 1149.71753 1.58511 1144.07081
6 1998 14.49 105.0488691 1522.15811 1.24553 1150.06111 1.57314 1144.07898
7 1998 14.70 105.0488691 1544.21838 1.24590 1165.48276 1.57315 1159.08668
8 1998 12.81 105.0488691 1345.67601 1.26261 1014.37237 1.59378 1008.46747
9 1998 12.49 105.0488691 1312.06037 1.09890 987.93396 1.38668 981.88879
10 1998 13.64 105.0488691 1432.86657 1.07026 1077.82639 1.35013 1070.94475
11 1998 14.29 105.0488691 1501.14834 1.16765 1128.02144 1.47258 1120.50692
12 1998 14.52 106.7858381 1550.53037 1.22202 1163.90700 1.54073 1155.82658
1 1999 14.34 106.7858381 1531.30892 1.26090 1148.21750 1.58930 1139.90885
2 1999 14.10 106.7858381 1505.68032 1.24390 1127.75657 1.56741 1119.26346
3 1999 14.69 106.7858381 1568.68396 1.22174 1173.72465 1.53902 1164.55887
4 1999 15.23 106.7858381 1626.34831 1.27153 1215.59888 1.60131 1205.76639
5 1999 14.55 106.7858381 1553.73394 1.31690 1160.00705 1.65797 1150.27250
6 1999 15.07 106.7858381 1609.26258 1.25667 1200.20767 1.58166 1189.80023
7 1999 15.36 106.7858381 1640.23047 1.30022 1222.00368 1.63601 1211.06017
8 1999 15.50 106.7858381 1655.18049 1.32384 1231.81789 1.66525 1220.43324
9 1999 15.61 106.7858381 1666.92693 1.33447 1239.22536 1.67814 1227.41624
10 1999 16.12 106.7858381 1721.38771 1.34249 1278.37005 1.68774 1265.82986
11 1999 17.24 106.7858381 1840.98785 1.38490 1365.80490 1.74056 1352.03778
12 1999 19.04 108.5697029 2067.16714 1.47962 1532.12475 1.85910 1516.28676
</TABLE>
SURRENDER CHARGE = 5.00%
FREE WITHDRAWAL AVAILABLE = 15.00% OF PRINCIPAL + 15.00% OF INTEREST
GROSS RETURN = 59.24%
GROSS ANNUAL RETURN = 16.77%
WITHOUT WITH
SURRENDER SURRENDER
CHARGE CHARGE
WITHOUT DEATH BENEFIT CHARGE
ERV 1532.12 1467.01
TOTAL RETURN 53.21% 46.70%
AVERAGE ANNUAL RETURN 15.28% 13.63%
WITH DEATH BENEFIT CHARGE
ERV 1516.29 1451.84
TOTAL RETURN 51.63% 45.18%
AVERAGE ANNUAL RETURN 14.88% 13.23%
<TABLE>
<CAPTION>
Return for 5 Years
WITH DEATH BENEFIT CHARGE
FUND GROSS ADMIN/ ADMIN/
MONTH YEAR NAV SHARES VALUE MTHLY M&E ERV MTHLY M&E ERV
<S> <C> <C> <C> <C> <C> <C> <C> <C>
12 1994 10.18 100.0000000 1018.00000 1000.00000 1000.00000
1 1995 9.66 100.5138746 970.96403 1.08333 952.71237 1.37503 952.42067
2 1995 9.72 100.5138746 976.99486 1.03211 957.59774 1.30961 957.02672
3 1995 10.10 100.5138746 1015.19013 1.03740 993.99729 1.31594 993.12540
4 1995 10.46 100.5138746 1051.37513 1.07683 1028.35006 1.36558 1027.15835
5 1995 10.52 100.5138746 1057.40596 1.11405 1033.13477 1.41238 1031.63789
6 1995 10.52 100.5138746 1057.40596 1.11923 1032.01555 1.41854 1030.21936
7 1995 11.05 100.5138746 1110.67831 1.11802 1082.89071 1.41659 1080.70546
8 1995 10.84 100.5138746 1089.57040 1.17313 1061.13775 1.48601 1058.68116
9 1995 10.97 100.5138746 1102.63720 1.14957 1072.71401 1.45572 1069.92180
10 1995 10.82 100.5138746 1087.56012 1.16211 1056.88398 1.47118 1053.82088
11 1995 10.90 100.5138746 1095.60123 1.14496 1063.55332 1.44904 1060.16349
12 1995 11.26 100.5138746 1131.78623 1.15218 1097.52767 1.45776 1093.72030
1 1996 11.45 101.4025915 1161.05967 1.18899 1124.72603 1.50390 1120.50528
2 1996 11.52 101.4025915 1168.15785 1.21845 1130.38364 1.54073 1125.81480
3 1996 11.72 101.4025915 1188.43837 1.22458 1148.78377 1.54803 1143.81216
4 1996 12.06 101.4025915 1222.91525 1.24452 1180.86575 1.57278 1175.42164
5 1996 12.02 101.4025915 1218.85915 1.27927 1175.66984 1.61624 1169.90682
6 1996 12.17 101.4025915 1234.06954 1.27364 1189.06762 1.60866 1182.89766
7 1996 11.78 101.4025915 1194.52253 1.28816 1149.67458 1.62652 1143.36398
8 1996 11.96 101.4025915 1212.77499 1.24548 1165.99628 1.57216 1159.26258
9 1996 12.23 101.4025915 1240.15369 1.26316 1191.05578 1.59402 1183.83919
10 1996 12.17 101.4025915 1234.06954 1.29031 1183.92219 1.62782 1176.40350
11 1996 12.71 101.4025915 1288.82694 1.28258 1235.17190 1.61759 1226.98458
12 1996 12.64 102.7036672 1298.17435 1.33810 1242.79207 1.68714 1234.19633
1 1997 12.48 102.7036672 1281.74177 1.34636 1225.71416 1.69706 1216.87653
2 1997 12.65 102.7036672 1299.20139 1.32786 1241.08273 1.67325 1231.77933
3 1997 12.62 102.7036672 1296.12028 1.34451 1236.79495 1.69374 1227.16437
4 1997 12.71 102.7036672 1305.36361 1.33986 1244.27534 1.68739 1234.22855
5 1997 13.53 102.7036672 1389.58062 1.34796 1323.20320 1.69711 1312.15909
6 1997 14.11 102.7036672 1449.14874 1.43347 1378.49241 1.80426 1366.60408
7 1997 14.47 102.7036672 1486.12206 1.49337 1412.16965 1.87913 1399.59224
8 1997 13.16 102.7036672 1351.58026 1.52985 1282.79307 1.92449 1270.95968
9 1997 14.03 102.7036672 1440.93245 1.38969 1366.20808 1.74761 1353.23448
10 1997 12.98 102.7036672 1333.09360 1.48006 1262.48152 1.86074 1250.09817
11 1997 12.96 102.7036672 1331.03953 1.36769 1259.16856 1.71893 1246.45305
12 1997 12.74 105.0488691 1338.32259 1.36410 1264.69427 1.71391 1251.55937
1 1998 13.18 105.0488691 1384.54409 1.37009 1307.00279 1.72094 1293.06340
2 1998 13.94 105.0488691 1464.38123 1.41592 1380.95274 1.77801 1365.84748
3 1998 14.42 105.0488691 1514.80469 1.49603 1427.00744 1.87809 1411.00001
4 1998 14.56 105.0488691 1529.51153 1.54592 1439.31596 1.94017 1422.75886
5 1998 14.47 105.0488691 1520.05714 1.55926 1428.85983 1.95634 1412.00800
6 1998 14.49 105.0488691 1522.15811 1.54793 1429.28683 1.94156 1412.01807
7 1998 14.70 105.0488691 1544.21838 1.54839 1448.45273 1.94157 1430.54053
8 1998 12.81 105.0488691 1345.67601 1.56916 1260.65394 1.96704 1244.64685
9 1998 12.49 105.0488691 1312.06037 1.36571 1227.79649 1.71143 1211.84354
10 1998 13.64 105.0488691 1432.86657 1.33011 1339.51409 1.66633 1321.75608
11 1998 14.29 105.0488691 1501.14834 1.45114 1401.89610 1.81746 1382.92553
12 1998 14.52 106.7858381 1550.53037 1.51872 1446.49439 1.90157 1426.51692
1 1999 14.34 106.7858381 1531.30892 1.56704 1426.99560 1.96151 1406.87132
2 1999 14.10 106.7858381 1505.68032 1.54591 1401.56692 1.93449 1381.39086
3 1999 14.69 106.7858381 1568.68396 1.51836 1458.69568 1.89946 1437.29428
4 1999 15.23 106.7858381 1626.34831 1.58025 1510.73665 1.97633 1488.15246
5 1999 14.55 106.7858381 1553.73394 1.63663 1441.64756 2.04626 1419.66210
6 1999 15.07 106.7858381 1609.26258 1.56178 1491.60857 1.95208 1468.44708
7 1999 15.36 106.7858381 1640.23047 1.61591 1518.69648 2.01916 1494.68602
8 1999 15.50 106.7858381 1655.18049 1.64525 1530.89351 2.05524 1506.25422
9 1999 15.61 106.7858381 1666.92693 1.65847 1540.09945 2.07115 1514.87262
10 1999 16.12 106.7858381 1721.38771 1.66844 1588.74816 2.08300 1562.28257
11 1999 17.24 106.7858381 1840.98785 1.72114 1697.41150 2.14819 1668.68007
12 1999 19.04 108.5697029 2067.16714 1.83886 1904.11249 2.29449 1871.39556
</TABLE>
SURRENDER CHARGE = 3.00%
FREE WITHDRAWAL AVAILABLE = 15.00% OF PRINCIPAL + 15.00% OF INTEREST
GROSS RETURN = 103.06%
GROSS ANNUAL RETURN = 15.22%
WITHOUT WITH
SURRENDER SURRENDER
CHARGE CHARGE
WITHOUT DEATH BENEFIT CHARGE
ERV 1904.11 1855.56
TOTAL RETURN 90.41% 85.56%
AVERAGE ANNUAL RETURN 13.75% 13.16%
WITH DEATH BENEFIT CHARGE
ERV 1871.40 1823.67
TOTAL RETURN 87.14% 82.37%
AVERAGE ANNUAL RETURN 13.35% 12.77%
<TABLE>
<CAPTION>
Return for Inception
WITH DEATH BENEFIT CHARGE
FUND GROSS ADMIN/ ADMIN/
MONTH YEAR NAV SHARES VALUE MTHLY M&E ERV MTHLY M&E ERV
<S> <C> <C> <C> <C> <C> <C> <C> <C>
3 1994 10.00 100.0000000 1000.00000 1000.00000 1000.00000
4 1994 10.23 100.0000000 1023.00000 1.08333 1021.91667 1.37503 1021.62497
5 1994 10.23 100.0000000 1023.00000 1.10708 1020.80959 1.40477 1020.22020
6 1994 10.10 100.0000000 1010.00000 1.10588 1006.73155 1.40284 1005.85269
7 1994 10.41 100.0000000 1041.00000 1.09063 1036.54060 1.38308 1035.34231
8 1994 10.79 100.0000000 1079.00000 1.12292 1073.25490 1.42363 1071.71216
9 1994 10.52 100.0000000 1052.00000 1.16269 1045.23597 1.47364 1043.42088
10 1994 10.73 100.0000000 1073.00000 1.13234 1064.96861 1.43474 1062.81489
11 1994 10.32 100.0000000 1032.00000 1.15372 1023.12178 1.46141 1020.74266
12 1994 10.18 100.0000000 1018.00000 1.10838 1008.13384 1.40356 1005.49182
1 1995 9.66 100.5138746 970.96403 1.09214 960.46158 1.38258 957.65120
2 1995 9.72 100.5138746 976.99486 1.04050 965.38668 1.31680 962.28254
3 1995 10.10 100.5138746 1015.19013 1.04584 1002.08230 1.32317 998.57947
4 1995 10.46 100.5138746 1051.37513 1.08559 1036.71449 1.37308 1032.79932
5 1995 10.52 100.5138746 1057.40596 1.12311 1041.53812 1.42013 1037.30347
6 1995 10.52 100.5138746 1057.40596 1.12833 1040.40979 1.42633 1035.87714
7 1995 11.05 100.5138746 1110.67831 1.12711 1091.69876 1.42437 1086.64050
8 1995 10.84 100.5138746 1089.57040 1.18267 1069.76887 1.49417 1064.49525
9 1995 10.97 100.5138746 1102.63720 1.15892 1081.43929 1.46372 1075.79762
10 1995 10.82 100.5138746 1087.56012 1.17156 1065.48050 1.47926 1059.60827
11 1995 10.90 100.5138746 1095.60123 1.15427 1072.20409 1.45700 1065.98572
12 1995 11.26 100.5138746 1131.78623 1.16155 1106.45478 1.46577 1099.72682
1 1996 11.45 101.4025915 1161.05967 1.19866 1133.87437 1.51216 1126.65889
2 1996 11.52 101.4025915 1168.15785 1.22836 1139.57799 1.54919 1131.99757
3 1996 11.72 101.4025915 1188.43837 1.23454 1158.12779 1.55653 1150.09377
4 1996 12.06 101.4025915 1222.91525 1.25464 1190.47071 1.58142 1181.87685
5 1996 12.02 101.4025915 1218.85915 1.28968 1185.23254 1.62512 1176.33174
6 1996 12.17 101.4025915 1234.06954 1.28400 1198.73930 1.61750 1189.39392
7 1996 11.78 101.4025915 1194.52253 1.29863 1159.02584 1.63546 1149.64313
8 1996 11.96 101.4025915 1212.77499 1.25561 1175.48031 1.58080 1165.62904
9 1996 12.23 101.4025915 1240.15369 1.27344 1200.74363 1.60278 1190.34063
10 1996 12.17 101.4025915 1234.06954 1.30081 1193.55202 1.63676 1182.86410
11 1996 12.71 101.4025915 1288.82694 1.29301 1245.21858 1.62648 1233.72296
12 1996 12.64 102.7036672 1298.17435 1.34899 1252.90073 1.69641 1240.97432
1 1997 12.48 102.7036672 1281.74177 1.35731 1235.68392 1.70638 1223.55940
2 1997 12.65 102.7036672 1299.20139 1.33866 1251.17750 1.68243 1238.54404
3 1997 12.62 102.7036672 1296.12028 1.35544 1246.85484 1.70304 1233.90374
4 1997 12.71 102.7036672 1305.36361 1.35076 1254.39607 1.69666 1241.00671
5 1997 13.53 102.7036672 1389.58062 1.35893 1333.96592 1.70643 1319.36524
6 1997 14.11 102.7036672 1449.14874 1.44513 1389.70484 1.81417 1374.10922
7 1997 14.47 102.7036672 1486.12206 1.50551 1423.65601 1.88945 1407.27855
8 1997 13.16 102.7036672 1351.58026 1.54229 1293.22709 1.93505 1277.93956
9 1997 14.03 102.7036672 1440.93245 1.40100 1377.32059 1.75721 1360.66620
10 1997 12.98 102.7036672 1333.09360 1.49210 1272.75033 1.87096 1256.96348
11 1997 12.96 102.7036672 1331.03953 1.37881 1269.41043 1.72837 1253.29835
12 1997 12.74 105.0488691 1338.32259 1.37519 1274.98108 1.72333 1258.43271
1 1998 13.18 105.0488691 1384.54409 1.38123 1317.63373 1.73039 1300.16468
2 1998 13.94 105.0488691 1464.38123 1.42744 1392.18518 1.78777 1373.34847
3 1998 14.42 105.0488691 1514.80469 1.50820 1438.61449 1.88840 1418.74897
4 1998 14.56 105.0488691 1529.51153 1.55850 1451.02312 1.95083 1430.57240
5 1998 14.47 105.0488691 1520.05714 1.57194 1440.48194 1.96708 1419.76249
6 1998 14.49 105.0488691 1522.15811 1.56052 1440.91241 1.95222 1419.77262
7 1998 14.70 105.0488691 1544.21838 1.56099 1460.23421 1.95223 1438.39680
8 1998 12.81 105.0488691 1345.67601 1.58192 1270.90789 1.97784 1251.48223
9 1998 12.49 105.0488691 1312.06037 1.37682 1237.78318 1.72083 1218.49877
10 1998 13.64 105.0488691 1432.86657 1.34093 1350.40947 1.67548 1329.01493
11 1998 14.29 105.0488691 1501.14834 1.46294 1413.29889 1.82744 1390.52031
12 1998 14.52 106.7858381 1550.53037 1.53107 1458.25993 1.91201 1434.35110
1 1999 14.34 106.7858381 1531.30892 1.57978 1438.60255 1.97228 1414.59760
2 1999 14.10 106.7858381 1505.68032 1.55849 1412.96703 1.94512 1388.97721
3 1999 14.69 106.7858381 1568.68396 1.53071 1470.56047 1.90989 1445.18764
4 1999 15.23 106.7858381 1626.34831 1.59311 1523.02473 1.98718 1496.32513
5 1999 14.55 106.7858381 1553.73394 1.64994 1453.37368 2.05750 1427.45863
6 1999 15.07 106.7858381 1609.26258 1.57449 1503.74107 1.96280 1476.51153
7 1999 15.36 106.7858381 1640.23047 1.62905 1531.04930 2.03025 1502.89457
8 1999 15.50 106.7858381 1655.18049 1.65864 1543.34554 2.06653 1514.52630
9 1999 15.61 106.7858381 1666.92693 1.67196 1552.62636 2.08252 1523.19203
10 1999 16.12 106.7858381 1721.38771 1.68201 1601.67077 2.09444 1570.86235
11 1999 17.24 106.7858381 1840.98785 1.73514 1711.21796 2.15999 1677.84416
12 1999 19.04 108.5697029 2067.16714 1.85382 1919.60023 2.30709 1881.67293
</TABLE>
SURRENDER CHARGE = 2.00%
FREE WITHDRAWAL AVAILABLE = 15.00% OF PRINCIPAL + 15.00% OF INTEREST
GROSS RETURN = 106.72%
GROSS ANNUAL RETURN = 13.45%
WITHOUT WITH
SURRENDER SURRENDER
CHARGE CHARGE
WITHOUT DEATH BENEFIT CHARGE
ERV 1919.60 1886.97
TOTAL RETURN 91.96% 88.70%
AVERAGE ANNUAL RETURN 12.00% 11.67%
WITH DEATH BENEFIT CHARGE
ERV 1881.67 1849.68
TOTAL RETURN 88.17% 84.97%
AVERAGE ANNUAL RETURN 11.61% 11.28%
<TABLE>
<CAPTION>
Return for Product Inception
WITH DEATH BENEFIT CHARGE
FUND GROSS ADMIN/ ADMIN/
MONTH YEAR NAV SHARES VALUE MTHLY M&E ERV MTHLY M&E ERV
<S> <C> <C> <C> <C> <C> <C> <C> <C>
6 1995 10.52 100.5138746 1057.40596 1000.00000 1000.00000
7 1995 11.05 100.5138746 1110.67831 1.08333 1049.29689 1.37503 1049.00519
8 1995 10.84 100.5138746 1089.57040 1.13674 1028.21877 1.44242 1027.62693
9 1995 10.97 100.5138746 1102.63720 1.11390 1039.43590 1.41302 1038.53785
10 1995 10.82 100.5138746 1087.56012 1.12606 1024.09696 1.42802 1022.90922
11 1995 10.90 100.5138746 1095.60123 1.10944 1030.55940 1.40653 1029.06578
12 1995 11.26 100.5138746 1131.78623 1.11644 1063.47978 1.41500 1061.63828
1 1996 11.45 101.4025915 1161.05967 1.15210 1089.83439 1.45979 1087.63757
2 1996 11.52 101.4025915 1168.15785 1.18065 1095.31648 1.49554 1092.79134
3 1996 11.72 101.4025915 1188.43837 1.18659 1113.14580 1.50262 1110.26079
4 1996 12.06 101.4025915 1222.91525 1.20591 1144.23252 1.52665 1140.94308
5 1996 12.02 101.4025915 1218.85915 1.23959 1139.19780 1.56883 1135.59002
6 1996 12.17 101.4025915 1234.06954 1.23413 1152.17995 1.56147 1148.19980
7 1996 11.78 101.4025915 1194.52253 1.24819 1114.00898 1.57881 1109.82576
8 1996 11.96 101.4025915 1212.77499 1.20684 1129.82434 1.52605 1125.25800
9 1996 12.23 101.4025915 1240.15369 1.22398 1154.10643 1.54727 1149.11372
10 1996 12.17 101.4025915 1234.06954 1.25028 1147.19414 1.58007 1141.89613
11 1996 12.71 101.4025915 1288.82694 1.24279 1196.85396 1.57015 1190.99352
12 1996 12.64 102.7036672 1298.17435 1.29659 1204.23774 1.63766 1197.99373
1 1997 12.48 102.7036672 1281.74177 1.30459 1187.68963 1.64728 1181.18197
2 1997 12.65 102.7036672 1299.20139 1.28666 1202.58143 1.62416 1195.64762
3 1997 12.62 102.7036672 1296.12028 1.30280 1198.42667 1.64406 1191.16804
4 1997 12.71 102.7036672 1305.36361 1.29830 1205.67499 1.63790 1198.02500
5 1997 13.53 102.7036672 1389.58062 1.30615 1282.15433 1.64732 1273.66962
6 1997 14.11 102.7036672 1449.14874 1.38900 1335.72834 1.75134 1326.51757
7 1997 14.47 102.7036672 1486.12206 1.44704 1368.36083 1.82401 1358.53809
8 1997 13.16 102.7036672 1351.58026 1.48239 1242.99781 1.86804 1233.67870
9 1997 14.03 102.7036672 1440.93245 1.34658 1323.82510 1.69635 1313.54014
10 1997 12.98 102.7036672 1333.09360 1.43414 1223.31638 1.80616 1213.42912
11 1997 12.96 102.7036672 1331.03953 1.32526 1220.10619 1.66851 1209.89092
12 1997 12.74 105.0488691 1338.32259 1.32178 1225.46048 1.66364 1214.84746
1 1998 13.18 105.0488691 1384.54409 1.32758 1266.45649 1.67046 1255.13406
2 1998 13.94 105.0488691 1464.38123 1.37199 1338.11234 1.72585 1325.78316
3 1998 14.42 105.0488691 1514.80469 1.44962 1382.73832 1.82300 1369.61123
4 1998 14.56 105.0488691 1529.51153 1.49797 1394.66500 1.88326 1381.02517
5 1998 14.47 105.0488691 1520.05714 1.51089 1384.53324 1.89896 1370.58966
6 1998 14.49 105.0488691 1522.15811 1.49991 1384.94699 1.88461 1370.59944
7 1998 14.70 105.0488691 1544.21838 1.50036 1403.51833 1.88462 1388.57858
8 1998 12.81 105.0488691 1345.67601 1.52048 1221.54549 1.90934 1208.13771
9 1998 12.49 105.0488691 1312.06037 1.32334 1189.70736 1.66123 1176.29661
10 1998 13.64 105.0488691 1432.86657 1.28885 1297.95922 1.61745 1282.98510
11 1998 14.29 105.0488691 1501.14834 1.40612 1358.40599 1.76415 1342.36027
12 1998 14.52 106.7858381 1550.53037 1.47161 1401.62074 1.84579 1384.67299
1 1999 14.34 106.7858381 1531.30892 1.51842 1382.72685 1.90397 1365.60365
2 1999 14.10 106.7858381 1505.68032 1.49795 1358.08702 1.87775 1340.87061
3 1999 14.69 106.7858381 1568.68396 1.47126 1413.44352 1.84374 1395.13422
4 1999 15.23 106.7858381 1626.34831 1.53123 1463.87005 1.91836 1444.50058
5 1999 14.55 106.7858381 1553.73394 1.58586 1396.92427 1.98624 1378.01924
6 1999 15.07 106.7858381 1609.26258 1.51333 1445.33537 1.89482 1425.37322
7 1999 15.36 106.7858381 1640.23047 1.56578 1471.58295 1.95994 1450.84249
8 1999 15.50 106.7858381 1655.18049 1.59421 1483.40160 1.99496 1462.07136
9 1999 15.61 106.7858381 1666.92693 1.60702 1492.32195 2.01040 1470.43696
10 1999 16.12 106.7858381 1721.38771 1.61668 1539.46146 2.02190 1516.45624
11 1999 17.24 106.7858381 1840.98785 1.66775 1644.75381 2.08518 1619.73278
12 1999 19.04 108.5697029 2067.16714 1.78182 1845.04245 2.22719 1816.50203
</TABLE>
SURRENDER CHARGE = 3.00%
FREE WITHDRAWAL AVAILABLE = 15.00% OF PRINCIPAL + 15.00% OF INTEREST
GROSS RETURN = 95.49%
GROSS ANNUAL RETURN = 15.75%
WITHOUT WITH
SURRENDER SURRENDER
CHARGE CHARGE
WITHOUT DEATH BENEFIT CHARGE
ERV 1845.04 1797.99
TOTAL RETURN 84.50% 79.80%
AVERAGE ANNUAL RETURN 14.30% 13.65%
WITH DEATH BENEFIT CHARGE
ERV 1816.50 1770.18
TOTAL RETURN 81.65% 77.02%
AVERAGE ANNUAL RETURN 13.91% 13.27%
<PAGE>
TRP Limited Term Bond12/1999
Assume ($10000 @ $10.00 on 5/13/1994)
DATE DIV PR/SH REINVEST NAV REINVEST SHARES SHARE BASIS
(incl cap gain)
100.000000
5/94 0.0101080000 5.00 0.202 100.202160
6/94 0.0227390860 4.99 0.457 100.658774
7/94 0.0254802850 5.04 0.509 101.167666
8/94 0.0310070990 5.04 0.622 101.790070
9/94 0.0333695090 5.01 0.678 102.468051
10/94 0.0289283280 4.98 0.595 103.063278
11/94 0.0311052550 4.93 0.650 103.713543
12/94 0.0273000000 4.92 0.575 104.289027
1/95 0.0280000000 4.94 0.591 104.880139
2/95 0.0287000000 4.96 0.607 105.487006
3/95 0.0301000000 4.97 0.639 106.125871
4/95 0.0262000000 4.98 0.558 106.684204
5/95 0.0283000000 5.02 0.601 107.285631
6/95 0.0295000000 5.01 0.632 107.917352
7/95 0.0254251330 5.00 0.549 108.466115
8/95 0.0274278140 5.00 0.595 109.061113
9/95 0.0286146590 5.00 0.624 109.685262
10/95 0.0264917600 5.01 0.580 110.265253
11/95 0.0261262300 5.04 0.572 110.836844
12/95 0.0265365700 5.06 0.581 111.418114
1/96 0.0242378560 5.07 0.533 111.950764
2/96 0.0235427380 4.99 0.528 112.478946
3/96 0.0239636480 4.94 0.546 113.024575
4/96 0.0235631940 4.90 0.544 113.568089
5/96 0.0250830810 4.87 0.585 114.153025
6/96 0.0220828540 4.89 0.516 114.668531
7/96 0.0238193190 4.88 0.560 115.228229
8/96 0.0255629680 4.86 0.606 115.834315
9/96 0.0221304100 4.89 0.524 116.358540
10/96 0.0240874040 4.94 0.567 116.925903
11/96 0.0247578130 4.97 0.582 117.508364
12/96 0.0241618420 4.93 0.576 118.084270
1/97 0.0251917050 4.92 0.605 118.688893
2/97 0.0236114340 4.91 0.571 119.259650
3/97 0.0226738380 4.86 0.556 119.816043
4/97 0.0238675950 4.88 0.586 120.402052
5/97 0.0250013980 4.89 0.616 121.017639
6/97 0.0235752560 4.91 0.581 121.598702
7/97 0.0249375280 4.96 0.611 122.210067
8/97 0.0256476800 4.92 0.637 122.847141
9/97 0.0238382100 4.95 0.592 123.438749
10/97 0.0260796860 4.96 0.649 124.087790
11/97 0.0224935020 4.95 0.564 124.651662
12/97 0.0248429880 4.96 0.624 125.276001
1/98 0.0241935100 4.99 0.607 125.883389
2/98 0.0235600440 4.97 0.597 126.480133
3/98 0.0233776860 4.97 0.595 127.075065
4/98 0.0239243030 4.96 0.613 127.688005
5/98 0.0236435830 4.97 0.607 128.295450
6/98 0.0233259920 4.97 0.602 128.897587
7/98 0.0248340500 4.97 0.644 129.541661
8/98 0.0216810700 4.99 0.563 130.104507
9/98 0.0229926270 5.08 0.589 130.693374
10/98 0.0234590180 5.06 0.606 131.299291
11/98 0.0219889630 5.04 0.573 131.872135
12/98 0.0350158400 5.05 0.914 132.786514
1/99 0.0203619440 5.02 0.539 133.325118
2/99 0.0222086770 4.95 0.598 133.923295
3/99 0.0223930540 4.96 0.605 134.527922
4/99 0.0235243380 4.96 0.638 135.165962
5/99 0.0210175620 4.90 0.580 135.745729
6/99 0.0226967120 4.88 0.631 136.377078
7/99 0.0232992890 4.86 0.654 137.030882
8/99 0.0217921510 4.84 0.617 137.647865
9/99 0.0226363830 4.85 0.642 138.290309
10/99 0.0227915630 4.83 0.653 138.942866
11/99 0.0230826770 4.81 0.667 139.609638
12/99 0.0246172520 4.79 0.717 140.327134
M and E Charge = 0.0010833
Death Benefit Charge = 0.0002917
<TABLE>
<CAPTION>
Return for YTD
WITH DEATH BENEFIT CHARGE
FUND GROSS ADMIN/ ADMIN/
MONTH YEAR NAV SHARES VALUE MTHLY M&E ERV MTHLY M&E ERV
<S> <C> <C> <C> <C> <C> <C> <C> <C>
12 1998 5.02 132.7865140 666.58830 1000.00000 1000.00000
1 1999 5.02 133.3251179 669.29209 1.08333 1002.97283 1.37503 1002.68113
2 1999 4.95 133.9232945 662.92031 1.08655 992.33779 1.37872 991.75670
3 1999 4.96 134.5279219 667.25849 1.07503 997.75667 1.36370 996.88311
4 1999 4.96 135.1659623 670.42317 1.08090 1001.40794 1.37075 1000.24039
5 1999 4.90 135.7457294 665.15407 1.08486 992.45265 1.37536 991.00377
6 1999 4.88 136.3770781 665.52014 1.07516 991.92369 1.36266 990.18651
7 1999 4.86 137.0308824 665.97009 1.07458 991.51973 1.36154 989.49442
8 1999 4.84 137.6478654 666.21567 1.07415 990.81121 1.36059 988.49871
9 1999 4.85 138.2903087 670.70800 1.07338 996.41892 1.35922 993.80499
10 1999 4.83 138.9428661 671.09404 1.07945 995.91299 1.36651 993.01049
11 1999 4.81 139.6096381 671.52236 1.07891 995.46971 1.36542 992.27885
12 1999 4.79 140.3271340 672.16697 1.07843 995.34686 1.36442 991.86695
</TABLE>
SURRENDER CHARGE = 7.00%
FREE WITHDRAWAL AVAILABLE = 15.00% OF PRINCIPAL + 15.00% OF INTEREST
GROSS RETURN = 0.84%
WITHOUT WITH
SURRENDER SURRENDER
CHARGE CHARGE
WITHOUT DEATH BENEFIT CHARGE
ERV 995.35 936.12
TOTAL RETURN -0.47% -6.39%
WITH DEATH BENEFIT CHARGE
ERV 991.87 932.85
TOTAL RETURN -0.81% -6.71%
<TABLE>
<CAPTION>
Return for 1 Year
WITH DEATH BENEFIT CHARGE
FUND GROSS ADMIN/ ADMIN/
MONTH YEAR NAV SHARES VALUE MTHLY M&E ERV MTHLY M&E ERV
<S> <C> <C> <C> <C> <C> <C> <C> <C>
12 1998 5.02 132.7865140 666.58830 1000.00000 1000.00000
1 1999 5.02 133.3251179 669.29209 1.08333 1002.97283 1.37503 1002.68113
2 1999 4.95 133.9232945 662.92031 1.08655 992.33779 1.37872 991.75670
3 1999 4.96 134.5279219 667.25849 1.07503 997.75667 1.36370 996.88311
4 1999 4.96 135.1659623 670.42317 1.08090 1001.40794 1.37075 1000.24039
5 1999 4.90 135.7457294 665.15407 1.08486 992.45265 1.37536 991.00377
6 1999 4.88 136.3770781 665.52014 1.07516 991.92369 1.36266 990.18651
7 1999 4.86 137.0308824 665.97009 1.07458 991.51973 1.36154 989.49442
8 1999 4.84 137.6478654 666.21567 1.07415 990.81121 1.36059 988.49871
9 1999 4.85 138.2903087 670.70800 1.07338 996.41892 1.35922 993.80499
10 1999 4.83 138.9428661 671.09404 1.07945 995.91299 1.36651 993.01049
11 1999 4.81 139.6096381 671.52236 1.07891 995.46971 1.36542 992.27885
12 1999 4.79 140.3271340 672.16697 1.07843 995.34686 1.36442 991.86695
</TABLE>
SURRENDER CHARGE = 7.00%
FREE WITHDRAWAL AVAILABLE = 15.00% OF PRINCIPAL + 15.00% OF INTEREST
GROSS RETURN = 0.84%
WITHOUT WITH
SURRENDER SURRENDER
CHARGE CHARGE
WITHOUT DEATH BENEFIT CHARGE
ERV 995.35 936.12
TOTAL RETURN -0.47% -6.39%
WITH DEATH BENEFIT CHARGE
ERV 991.87 932.85
TOTAL RETURN -0.81% -6.71%
<TABLE>
<CAPTION>
Return for 3 Years
WITH DEATH BENEFIT CHARGE
FUND GROSS ADMIN/ ADMIN/
MONTH YEAR NAV SHARES VALUE MTHLY M&E ERV MTHLY M&E ERV
<S> <C> <C> <C> <C> <C> <C> <C> <C>
12 1996 4.93 118.0842702 582.15545 1000.00000 1000.00000
1 1997 4.92 118.6888930 583.94935 1.08333 1001.99815 1.37503 1001.70645
2 1997 4.91 119.2596496 585.56488 1.08550 1003.68473 1.37738 1003.10034
3 1997 4.86 119.8160434 582.30597 1.08733 997.01149 1.37930 996.13838
4 1997 4.88 120.4020518 587.56201 1.08010 1004.93067 1.36972 1003.76006
5 1997 4.89 121.0176386 591.77625 1.08867 1011.04978 1.38020 1009.57924
6 1997 4.91 121.5987021 597.04963 1.09530 1018.96404 1.38821 1017.18749
7 1997 4.96 122.2100673 606.16193 1.10388 1033.41182 1.39867 1031.31337
8 1997 4.92 122.8471414 604.40794 1.11953 1029.30199 1.41809 1026.91106
9 1997 4.95 123.4387487 611.02181 1.11508 1039.45029 1.41204 1036.73623
10 1997 4.96 124.0877897 615.47544 1.12607 1045.90059 1.42555 1042.86727
11 1997 4.95 124.6516623 617.02573 1.13306 1047.40200 1.43398 1044.06012
12 1997 4.96 125.2760009 621.36896 1.13469 1053.63996 1.43562 1049.97363
1 1998 4.99 125.8833889 628.15811 1.14144 1064.01070 1.44375 1060.00201
2 1998 4.97 126.4801330 628.60626 1.15268 1063.61713 1.45754 1059.30071
3 1998 4.97 127.0750652 631.56307 1.15225 1067.46788 1.45657 1062.82683
4 1998 4.96 127.6880052 633.33251 1.15642 1069.30215 1.46142 1064.34310
5 1998 4.97 128.2954502 637.62839 1.15841 1075.39679 1.46351 1070.09901
6 1998 4.97 128.8975868 640.62101 1.16501 1079.27900 1.47142 1073.64995
7 1998 4.97 129.5416611 643.82206 1.16922 1083.50271 1.47630 1077.53845
8 1998 4.99 130.1045071 649.22149 1.17379 1091.41575 1.48165 1085.09361
9 1998 5.08 130.6933741 663.92234 1.18237 1114.94720 1.49204 1108.17223
10 1998 5.06 131.2992908 664.37441 1.20786 1114.49852 1.52377 1107.40302
11 1998 5.04 131.8721351 664.63556 1.20737 1113.72922 1.52272 1106.31560
12 1998 5.02 132.7865140 666.58830 1.20654 1115.79489 1.52122 1108.04480
1 1999 5.02 133.3251179 669.29209 1.20878 1119.11196 1.52360 1111.01561
2 1999 4.95 133.9232945 662.92031 1.21237 1107.24544 1.52768 1098.91085
3 1999 4.96 134.5279219 667.25849 1.19952 1113.29179 1.51104 1104.59114
4 1999 4.96 135.1659623 670.42317 1.20607 1117.36586 1.51885 1108.31116
5 1999 4.90 135.7457294 665.15407 1.21048 1107.37359 1.52396 1098.07658
6 1999 4.88 136.3770781 665.52014 1.19965 1106.78338 1.50989 1097.17101
7 1999 4.86 137.0308824 665.97009 1.19902 1106.33264 1.50865 1096.40414
8 1999 4.84 137.6478654 666.21567 1.19853 1105.54208 1.50759 1095.30086
9 1999 4.85 138.2903087 670.70800 1.19767 1111.79914 1.50608 1101.18045
10 1999 4.83 138.9428661 671.09404 1.20445 1111.23462 1.51416 1100.30011
11 1999 4.81 139.6096381 671.52236 1.20384 1110.74001 1.51295 1099.48941
12 1999 4.79 140.3271340 672.16697 1.20330 1110.60294 1.51183 1099.03301
</TABLE>
SURRENDER CHARGE = 5.00%
FREE WITHDRAWAL AVAILABLE = 15.00% OF PRINCIPAL + 15.00% OF INTEREST
GROSS RETURN = 15.46%
GROSS ANNUAL RETURN = 4.91%
WITHOUT WITH
SURRENDER SURRENDER
CHARGE CHARGE
WITHOUT DEATH BENEFIT CHARGE
ERV 1110.60 1063.40
TOTAL RETURN 11.06% 6.34%
AVERAGE ANNUAL RETURN 3.56% 2.07%
WITH DEATH BENEFIT CHARGE
ERV 1099.03 1052.32
TOTAL RETURN 9.90% 5.23%
AVERAGE ANNUAL RETURN 3.20% 1.71%
<TABLE>
<CAPTION>
Return for 5 Years
WITH DEATH BENEFIT CHARGE
FUND GROSS ADMIN/ ADMIN/
MONTH YEAR NAV SHARES VALUE MTHLY M&E ERV MTHLY M&E ERV
<S> <C> <C> <C> <C> <C> <C> <C> <C>
12 1994 4.92 104.2890271 513.10201 1000.00000 1000.00000
1 1995 4.94 104.8801389 518.10789 1.08333 1008.67276 1.37503 1008.38106
2 1995 4.96 105.4870059 523.21555 1.09273 1017.52383 1.38656 1016.93543
3 1995 4.97 106.1258708 527.44558 1.10232 1024.64787 1.39832 1023.75870
4 1995 4.98 106.6842037 531.28733 1.11004 1031.00106 1.40770 1029.80776
5 1995 5.02 107.2856306 538.57387 1.11692 1044.02418 1.41602 1042.51540
6 1995 5.01 107.9173524 540.66594 1.13103 1046.94863 1.43349 1045.13152
7 1995 5.00 108.4661150 542.33058 1.13419 1049.03785 1.43709 1046.91225
8 1995 5.00 109.0611127 545.30556 1.13646 1053.65595 1.43954 1051.21562
9 1995 5.00 109.6852620 548.42631 1.14146 1058.54450 1.44546 1055.78620
10 1995 5.01 110.2652532 552.42892 1.14676 1065.12337 1.45174 1062.03996
11 1995 5.04 110.8368435 558.61769 1.15388 1075.90189 1.46034 1072.47748
12 1995 5.06 111.4181142 563.77566 1.16556 1084.67061 1.47469 1080.90545
1 1996 5.07 111.9507643 567.59038 1.17506 1090.83484 1.48628 1086.73298
2 1996 4.99 112.4789462 561.26994 1.18174 1077.50605 1.49429 1073.13731
3 1996 4.94 113.0245749 558.34140 1.16730 1070.71665 1.47560 1066.06240
4 1996 4.90 113.5680892 556.48364 1.15994 1065.99412 1.46587 1061.04943
5 1996 4.87 114.1530250 555.92523 1.15483 1063.76962 1.45898 1058.52574
6 1996 4.89 114.6685311 560.72912 1.15242 1071.80949 1.45551 1066.21721
7 1996 4.88 115.2282291 562.31376 1.16113 1073.67734 1.46608 1067.76429
8 1996 4.86 115.8343146 562.95477 1.16315 1073.73813 1.46821 1067.51328
9 1996 4.89 116.3585397 568.99326 1.16322 1084.09228 1.46787 1077.49601
10 1996 4.94 116.9259031 577.61396 1.17443 1099.34271 1.48159 1092.33934
11 1996 4.97 117.5083638 584.01657 1.19095 1110.33751 1.50200 1102.94546
12 1996 4.93 118.0842702 582.15545 1.20287 1105.59627 1.51659 1097.91406
1 1997 4.92 118.6888930 583.94935 1.19773 1107.80542 1.50967 1099.78760
2 1997 4.91 119.2596496 585.56488 1.20012 1109.67009 1.51224 1101.31797
3 1997 4.86 119.8160434 582.30597 1.20214 1102.29218 1.51435 1093.67434
4 1997 4.88 120.4020518 587.56201 1.19415 1111.04760 1.50384 1102.04228
5 1997 4.89 121.0176386 591.77625 1.20363 1117.81287 1.51534 1108.43124
6 1997 4.91 121.5987021 597.04963 1.21096 1126.56284 1.52413 1116.78445
7 1997 4.96 122.2100673 606.16193 1.22044 1142.53625 1.53562 1132.29345
8 1997 4.92 122.8471414 604.40794 1.23775 1137.99245 1.55694 1127.46009
9 1997 4.95 123.4387487 611.02181 1.23283 1149.21236 1.55030 1138.24728
10 1997 4.96 124.0877897 615.47544 1.24498 1156.34379 1.56513 1144.97864
11 1997 4.95 124.6516623 617.02573 1.25271 1158.00374 1.57438 1146.28828
12 1997 4.96 125.2760009 621.36896 1.25450 1164.90041 1.57618 1152.78081
1 1998 4.99 125.8833889 628.15811 1.26198 1176.36627 1.58511 1163.79111
2 1998 4.97 126.4801330 628.60626 1.27440 1175.93113 1.60025 1163.02115
3 1998 4.97 127.0750652 631.56307 1.27393 1180.18850 1.59919 1166.89253
4 1998 4.96 127.6880052 633.33251 1.27854 1182.21647 1.60452 1168.55726
5 1998 4.97 128.2954502 637.62839 1.28073 1188.95468 1.60681 1174.87675
6 1998 4.97 128.8975868 640.62101 1.28803 1193.24684 1.61549 1178.77538
7 1998 4.97 129.5416611 643.82206 1.29268 1197.91656 1.62086 1183.04462
8 1998 4.99 130.1045071 649.22149 1.29774 1206.66518 1.62673 1191.33953
9 1998 5.08 130.6933741 663.92234 1.30722 1232.68146 1.63813 1216.67787
10 1998 5.06 131.2992908 664.37441 1.33540 1232.18540 1.67297 1215.83335
11 1998 5.04 131.8721351 664.63556 1.33487 1231.33488 1.67181 1214.63945
12 1998 5.02 132.7865140 666.58830 1.33395 1233.61867 1.67017 1216.53796
1 1999 5.02 133.3251179 669.29209 1.33642 1237.28601 1.67278 1219.79966
2 1999 4.95 133.9232945 662.92031 1.34039 1224.16642 1.67727 1206.50968
3 1999 4.96 134.5279219 667.25849 1.32618 1230.85125 1.65899 1212.74615
4 1999 4.96 135.1659623 670.42317 1.33342 1235.35552 1.66757 1216.83041
5 1999 4.90 135.7457294 665.15407 1.33830 1224.30811 1.67318 1205.59371
6 1999 4.88 136.3770781 665.52014 1.32633 1223.65558 1.65773 1204.59948
7 1999 4.86 137.0308824 665.97009 1.32563 1223.15724 1.65636 1203.75753
8 1999 4.84 137.6478654 666.21567 1.32509 1222.28320 1.65521 1202.54621
9 1999 4.85 138.2903087 670.70800 1.32414 1229.20099 1.65354 1209.00150
10 1999 4.83 138.9428661 671.09404 1.33163 1228.57685 1.66242 1208.03496
11 1999 4.81 139.6096381 671.52236 1.33096 1228.03002 1.66109 1207.14489
12 1999 4.79 140.3271340 672.16697 1.33037 1227.87847 1.65986 1206.64379
</TABLE>
SURRENDER CHARGE = 3.00%
FREE WITHDRAWAL AVAILABLE = 15.00% OF PRINCIPAL + 15.00% OF INTEREST
GROSS RETURN = 31.00%
GROSS ANNUAL RETURN = 5.55%
WITHOUT WITH
SURRENDER SURRENDER
CHARGE CHARGE
WITHOUT DEATH BENEFIT CHARGE
ERV 1227.88 1196.57
TOTAL RETURN 22.79% 19.66%
AVERAGE ANNUAL RETURN 4.19% 3.65%
WITH DEATH BENEFIT CHARGE
ERV 1206.64 1175.87
TOTAL RETURN 20.66% 17.59%
AVERAGE ANNUAL RETURN 3.83% 3.29%
<TABLE>
<CAPTION>
Return for Inception
WITH DEATH BENEFIT CHARGE
FUND GROSS ADMIN/ ADMIN/
MONTH YEAR NAV SHARES VALUE MTHLY M&E ERV MTHLY M&E ERV
<S> <C> <C> <C> <C> <C> <C> <C> <C>
4 1994 5.00 100.0000000 500.00000 1000.00000 1000.00000
5 1994 5.00 100.2021600 501.01080 1.08333 1000.93827 1.37503 1000.64657
6 1994 4.99 100.6587743 502.28728 1.08435 1002.40412 1.37592 1001.82011
7 1994 5.04 101.1676661 509.88504 1.08594 1016.48086 1.37754 1015.59641
8 1994 5.04 101.7900700 513.02195 1.10119 1021.63327 1.39648 1020.44809
9 1994 5.01 102.4680510 513.36494 1.10677 1021.20952 1.40315 1019.72716
10 1994 4.98 103.0632777 513.25512 1.10631 1019.88476 1.40216 1018.10688
11 1994 4.93 103.7135434 511.30777 1.10488 1014.91032 1.39993 1012.84412
12 1994 4.92 104.2890271 513.10201 1.09949 1017.37228 1.39269 1015.00563
1 1995 4.94 104.8801389 518.10789 1.10215 1026.19571 1.39567 1023.51245
2 1995 4.96 105.4870059 523.21555 1.11171 1035.20054 1.40736 1032.19518
3 1995 4.97 106.1258708 527.44558 1.12147 1042.44834 1.41930 1039.12085
4 1995 4.98 106.6842037 531.28733 1.12932 1048.91190 1.42883 1045.26067
5 1995 5.02 107.2856306 538.57387 1.13632 1062.16126 1.43727 1058.15900
6 1995 5.01 107.9173524 540.66594 1.15067 1065.13651 1.45500 1060.81438
7 1995 5.00 108.4661150 542.33058 1.15390 1067.26203 1.45866 1062.62183
8 1995 5.00 109.0611127 545.30556 1.15620 1071.96036 1.46114 1066.98977
9 1995 5.00 109.6852620 548.42631 1.16129 1076.93383 1.46715 1071.62893
10 1995 5.01 110.2652532 552.42892 1.16668 1083.62699 1.47353 1077.97653
11 1995 5.04 110.8368435 558.61769 1.17393 1094.59276 1.48225 1088.57068
12 1995 5.06 111.4181142 563.77566 1.18581 1103.51382 1.49682 1097.12511
1 1996 5.07 111.9507643 567.59038 1.19547 1109.78513 1.50858 1103.04009
2 1996 4.99 112.4789462 561.26994 1.20227 1096.22479 1.51672 1089.24041
3 1996 4.94 113.0245749 558.34140 1.18758 1089.31744 1.49774 1082.05933
4 1996 4.90 113.5680892 556.48364 1.18009 1084.51287 1.48787 1076.97114
5 1996 4.87 114.1530250 555.92523 1.17489 1082.24972 1.48087 1074.40958
6 1996 4.89 114.6685311 560.72912 1.17244 1090.42927 1.47735 1082.21647
7 1996 4.88 115.2282291 562.31376 1.18130 1092.32956 1.48808 1083.78677
8 1996 4.86 115.8343146 562.95477 1.18336 1092.39141 1.49024 1083.53199
9 1996 4.89 116.3585397 568.99326 1.18342 1102.92544 1.48989 1093.66452
10 1996 4.94 116.9259031 577.61396 1.19484 1118.44080 1.50383 1108.73058
11 1996 4.97 117.5083638 584.01657 1.21164 1129.62660 1.52454 1119.49585
12 1996 4.93 118.0842702 582.15545 1.22376 1124.80300 1.53934 1114.38895
1 1997 4.92 118.6888930 583.94935 1.21854 1127.05052 1.53232 1116.29060
2 1997 4.91 119.2596496 585.56488 1.22097 1128.94760 1.53494 1117.84394
3 1997 4.86 119.8160434 582.30597 1.22303 1121.44151 1.53707 1110.08560
4 1997 4.88 120.4020518 587.56201 1.21489 1130.34903 1.52640 1118.57911
5 1997 4.89 121.0176386 591.77625 1.22454 1137.23183 1.53808 1125.06395
6 1997 4.91 121.5987021 597.04963 1.23200 1146.13381 1.54700 1133.54250
7 1997 4.96 122.2100673 606.16193 1.24164 1162.38471 1.55866 1149.28422
8 1997 4.92 122.8471414 604.40794 1.25925 1157.76197 1.58030 1144.37833
9 1997 4.95 123.4387487 611.02181 1.25424 1169.17680 1.57356 1155.32739
10 1997 4.96 124.0877897 615.47544 1.26661 1176.43212 1.58861 1162.15976
11 1997 4.95 124.6516623 617.02573 1.27447 1178.12091 1.59801 1163.48906
12 1997 4.96 125.2760009 621.36896 1.27630 1185.13739 1.59984 1170.07901
1 1998 4.99 125.8833889 628.15811 1.28390 1196.80243 1.60890 1181.25452
2 1998 4.97 126.4801330 628.60626 1.29654 1196.35974 1.62426 1180.47301
3 1998 4.97 127.0750652 631.56307 1.29606 1200.69107 1.62319 1184.40248
4 1998 4.96 127.6880052 633.33251 1.30075 1202.75426 1.62859 1186.09219
5 1998 4.97 128.2954502 637.62839 1.30298 1209.60954 1.63092 1192.50652
6 1998 4.97 128.8975868 640.62101 1.31041 1213.97626 1.63974 1196.46364
7 1998 4.97 129.5416611 643.82206 1.31514 1218.72710 1.64518 1200.79694
8 1998 4.99 130.1045071 649.22149 1.32029 1227.62771 1.65114 1209.21633
9 1998 5.08 130.6933741 663.92234 1.32993 1254.09595 1.66271 1234.93489
10 1998 5.06 131.2992908 664.37441 1.35860 1253.59127 1.69808 1234.07769
11 1998 5.04 131.8721351 664.63556 1.35806 1252.72597 1.69690 1232.86588
12 1998 5.02 132.7865140 666.58830 1.35712 1255.04944 1.69523 1234.79288
1 1999 5.02 133.3251179 669.29209 1.35964 1258.78049 1.69788 1238.10352
2 1999 4.95 133.9232945 662.92031 1.36368 1245.43299 1.70243 1224.61411
3 1999 4.96 134.5279219 667.25849 1.34922 1252.23395 1.68389 1230.94417
4 1999 4.96 135.1659623 670.42317 1.35659 1256.81647 1.69259 1235.08971
5 1999 4.90 135.7457294 665.15407 1.36155 1245.57714 1.69829 1223.68440
6 1999 4.88 136.3770781 665.52014 1.34938 1244.91327 1.68261 1222.67525
7 1999 4.86 137.0308824 665.97009 1.34866 1244.40628 1.68122 1221.82066
8 1999 4.84 137.6478654 666.21567 1.34811 1243.51705 1.68004 1220.59117
9 1999 4.85 138.2903087 670.70800 1.34714 1250.55501 1.67835 1227.14333
10 1999 4.83 138.9428661 671.09404 1.35477 1249.92004 1.68736 1226.16229
11 1999 4.81 139.6096381 671.52236 1.35408 1249.36370 1.68601 1225.25885
12 1999 4.79 140.3271340 672.16697 1.35348 1249.20952 1.68477 1224.75024
</TABLE>
SURRENDER CHARGE = 2.00%
FREE WITHDRAWAL AVAILABLE = 15.00% OF PRINCIPAL + 15.00% OF INTEREST
GROSS RETURN = 34.43%
GROSS ANNUAL RETURN = 5.39%
WITHOUT WITH
SURRENDER SURRENDER
CHARGE CHARGE
WITHOUT DEATH BENEFIT CHARGE
ERV 1249.21 1227.97
TOTAL RETURN 24.92% 22.80%
AVERAGE ANNUAL RETURN 4.03% 3.71%
WITH DEATH BENEFIT CHARGE
ERV 1224.75 1203.93
TOTAL RETURN 22.48% 20.39%
AVERAGE ANNUAL RETURN 3.66% 3.35%
<TABLE>
<CAPTION>
Return for Product Inception
WITH DEATH BENEFIT CHARGE
FUND GROSS ADMIN/ ADMIN/
MONTH YEAR NAV SHARES VALUE MTHLY M&E ERV MTHLY M&E ERV
<S> <C> <C> <C> <C> <C> <C> <C> <C>
6 1995 5.01 107.9173524 540.66594 1000.00000 1000.00000
7 1995 5.00 108.4661150 542.33058 1.08333 1001.99554 1.37503 1001.70384
8 1995 5.00 109.0611127 545.30556 1.08550 1006.40655 1.37738 1005.82137
9 1995 5.00 109.6852620 548.42631 1.09027 1011.07587 1.38304 1010.19458
10 1995 5.01 110.2652532 552.42892 1.09533 1017.35973 1.38905 1016.17828
11 1995 5.04 110.8368435 558.61769 1.10214 1027.65491 1.39728 1026.16509
12 1995 5.06 111.4181142 563.77566 1.11329 1036.03041 1.41101 1034.22912
1 1996 5.07 111.9507643 567.59038 1.12237 1041.91821 1.42210 1039.80500
2 1996 4.99 112.4789462 561.26994 1.12874 1029.18713 1.42977 1026.79643
3 1996 4.94 113.0245749 558.34140 1.11495 1022.70218 1.41188 1020.02703
4 1996 4.90 113.5680892 556.48364 1.10793 1018.19143 1.40257 1015.23053
5 1996 4.87 114.1530250 555.92523 1.10304 1016.06668 1.39598 1012.81582
6 1996 4.89 114.6685311 560.72912 1.10074 1023.74602 1.39266 1020.17515
7 1996 4.88 115.2282291 562.31376 1.10906 1025.53011 1.40277 1021.65543
8 1996 4.86 115.8343146 562.95477 1.11099 1025.58817 1.40481 1021.41526
9 1996 4.89 116.3585397 568.99326 1.11105 1035.47801 1.40448 1030.96691
10 1996 4.94 116.9259031 577.61396 1.12177 1050.04456 1.41761 1045.16926
11 1996 4.97 117.5083638 584.01657 1.13755 1060.54631 1.43714 1055.31738
12 1996 4.93 118.0842702 582.15545 1.14893 1056.01769 1.45110 1050.50325
1 1997 4.92 118.6888930 583.94935 1.14402 1058.12777 1.44448 1052.29588
2 1997 4.91 119.2596496 585.56488 1.14631 1059.90883 1.44694 1053.76017
3 1997 4.86 119.8160434 582.30597 1.14823 1052.86177 1.44896 1046.44661
4 1997 4.88 120.4020518 587.56201 1.14060 1061.22457 1.43890 1054.45320
5 1997 4.89 121.0176386 591.77625 1.14966 1067.68645 1.44991 1060.56627
6 1997 4.91 121.5987021 597.04963 1.15666 1076.04405 1.45831 1068.55876
7 1997 4.96 122.2100673 606.16193 1.16571 1091.30116 1.46930 1083.39805
8 1997 4.92 122.8471414 604.40794 1.18224 1086.96112 1.48971 1078.77340
9 1997 4.95 123.4387487 611.02181 1.17754 1097.67789 1.48335 1089.09477
10 1997 4.96 124.0877897 615.47544 1.18915 1104.48952 1.49754 1095.53545
11 1997 4.95 124.6516623 617.02573 1.19653 1106.07504 1.50640 1096.78855
12 1997 4.96 125.2760009 621.36896 1.19825 1112.66244 1.50812 1103.00071
1 1998 4.99 125.8833889 628.15811 1.20538 1123.61413 1.51666 1113.53555
2 1998 4.97 126.4801330 628.60626 1.21725 1123.19850 1.53115 1112.79884
3 1998 4.97 127.0750652 631.56307 1.21680 1127.26496 1.53014 1116.50304
4 1998 4.96 127.6880052 633.33251 1.22120 1129.20198 1.53523 1118.09589
5 1998 4.97 128.2954502 637.62839 1.22330 1135.63804 1.53742 1124.14249
6 1998 4.97 128.8975868 640.62101 1.23027 1139.73772 1.54573 1127.87276
7 1998 4.97 129.5416611 643.82206 1.23472 1144.19803 1.55086 1131.95764
8 1998 4.99 130.1045071 649.22149 1.23955 1152.55434 1.55648 1139.89436
9 1998 5.08 130.6933741 663.92234 1.24860 1177.40396 1.56739 1164.13853
10 1998 5.06 131.2992908 664.37441 1.27552 1176.93015 1.60073 1163.33047
11 1998 5.04 131.8721351 664.63556 1.27501 1176.11776 1.59962 1162.18813
12 1998 5.02 132.7865140 666.58830 1.27413 1178.29914 1.59805 1164.00466
1 1999 5.02 133.3251179 669.29209 1.27649 1181.80203 1.60055 1167.12551
2 1999 4.95 133.9232945 662.92031 1.28029 1169.27077 1.60484 1154.40942
3 1999 4.96 134.5279219 667.25849 1.26671 1175.65583 1.58735 1160.37659
4 1999 4.96 135.1659623 670.42317 1.27363 1179.95811 1.59556 1164.28448
5 1999 4.90 135.7457294 665.15407 1.27829 1169.40610 1.60093 1153.53301
6 1999 4.88 136.3770781 665.52014 1.26686 1168.78283 1.58615 1152.58171
7 1999 4.86 137.0308824 665.97009 1.26618 1168.30684 1.58484 1151.77612
8 1999 4.84 137.6478654 666.21567 1.26567 1167.47200 1.58373 1150.61711
9 1999 4.85 138.2903087 670.70800 1.26476 1174.07956 1.58214 1156.79365
10 1999 4.83 138.9428661 671.09404 1.27192 1173.48342 1.59063 1155.86884
11 1999 4.81 139.6096381 671.52236 1.27127 1172.96111 1.58936 1155.01720
12 1999 4.79 140.3271340 672.16697 1.27071 1172.81636 1.58819 1154.53775
</TABLE>
SURRENDER CHARGE = 3.00%
FREE WITHDRAWAL AVAILABLE = 15.00% OF PRINCIPAL + 15.00% OF INTEREST
GROSS RETURN = 24.32%
GROSS ANNUAL RETURN = 4.86%
WITHOUT WITH
SURRENDER SURRENDER
CHARGE CHARGE
WITHOUT DEATH BENEFIT CHARGE
ERV 1172.82 1142.91
TOTAL RETURN 17.28% 14.29%
AVERAGE ANNUAL RETURN 3.54% 2.96%
WITH DEATH BENEFIT CHARGE
ERV 1154.54 1125.10
TOTAL RETURN 15.45% 12.51%
AVERAGE ANNUAL RETURN 3.18% 2.60%
<PAGE>
TRP New American Growth12/1999Assume ($10000 @ $10.00 on 3/31/1994)
DATE DIV PR/SH REINVEST NAV REINVEST SHARES SHARE BASIS
(incl cap gain)
100.000000
1/95 0.0200000000 10.31 0.194 100.193986
1/96 0.4000000000 14.88 2.693 102.887373
12/96 0.1400000000 17.53 0.822 103.709064
12/97 0.0500000000 20.66 0.251 103.960054
12/98 0.5000000000 22.05 2.357 106.317424
12/99 1.5900000000 24.28 6.962 113.279727
M and E Charge = 0.0010833
Death Benefit Charge = 0.0002917
<TABLE>
<CAPTION>
Return for YTD
WITH DEATH BENEFIT CHARGE
FUND GROSS ADMIN/ ADMIN/
MONTH YEAR NAV SHARES VALUE MTHLY M&E ERV MTHLY M&E ERV
<S> <C> <C> <C> <C> <C> <C> <C> <C>
12 1998 24.74 106.3174243 2630.29308 1000.00000 1000.00000
1 1999 25.28 106.3174243 2687.70449 1.08333 1020.74367 1.37503 1020.45197
2 1999 24.20 106.3174243 2572.88167 1.10581 976.03014 1.40316 975.45355
3 1999 24.90 106.3174243 2647.30387 1.05737 1003.20505 1.34128 1002.32787
4 1999 25.41 106.3174243 2701.52575 1.08681 1022.66582 1.37823 1021.47924
5 1999 26.11 106.3174243 2775.94795 1.10789 1049.73054 1.40457 1048.21460
6 1999 27.47 106.3174243 2920.53965 1.13721 1103.27099 1.44133 1101.37196
7 1999 26.29 106.3174243 2795.08509 1.19521 1054.68372 1.51442 1052.54706
8 1999 24.04 106.3174243 2555.87088 1.14257 963.27723 1.44729 961.01872
9 1999 24.14 106.3174243 2566.50262 1.04355 966.24066 1.32143 963.69487
10 1999 25.36 106.3174243 2696.20988 1.04676 1014.02628 1.32511 1011.07347
11 1999 25.88 106.3174243 2751.49494 1.09853 1033.72009 1.39026 1030.41500
12 1999 26.18 113.2797268 2965.66325 1.11986 1113.06197 1.41685 1109.20263
</TABLE>
SURRENDER CHARGE = 7.00%
FREE WITHDRAWAL AVAILABLE = 15.00% OF PRINCIPAL + 15.00% OF INTEREST
GROSS RETURN = 12.75%
WITHOUT WITH
SURRENDER SURRENDER
CHARGE CHARGE
WITHOUT DEATH BENEFIT CHARGE
ERV 1113.06 1046.83
TOTAL RETURN 11.31% 4.68%
WITH DEATH BENEFIT CHARGE
ERV 1109.20 1043.21
TOTAL RETURN 10.92% 4.32%
<TABLE>
<CAPTION>
Return for 1 Year
WITH DEATH BENEFIT CHARGE
FUND GROSS ADMIN/ ADMIN/
MONTH YEAR NAV SHARES VALUE MTHLY M&E ERV MTHLY M&E ERV
<S> <C> <C> <C> <C> <C> <C> <C> <C>
12 1998 24.74 106.3174243 2630.29308 1000.00000 1000.00000
1 1999 25.28 106.3174243 2687.70449 1.08333 1020.74367 1.37503 1020.45197
2 1999 24.20 106.3174243 2572.88167 1.10581 976.03014 1.40316 975.45355
3 1999 24.90 106.3174243 2647.30387 1.05737 1003.20505 1.34128 1002.32787
4 1999 25.41 106.3174243 2701.52575 1.08681 1022.66582 1.37823 1021.47924
5 1999 26.11 106.3174243 2775.94795 1.10789 1049.73054 1.40457 1048.21460
6 1999 27.47 106.3174243 2920.53965 1.13721 1103.27099 1.44133 1101.37196
7 1999 26.29 106.3174243 2795.08509 1.19521 1054.68372 1.51442 1052.54706
8 1999 24.04 106.3174243 2555.87088 1.14257 963.27723 1.44729 961.01872
9 1999 24.14 106.3174243 2566.50262 1.04355 966.24066 1.32143 963.69487
10 1999 25.36 106.3174243 2696.20988 1.04676 1014.02628 1.32511 1011.07347
11 1999 25.88 106.3174243 2751.49494 1.09853 1033.72009 1.39026 1030.41500
12 1999 26.18 113.2797268 2965.66325 1.11986 1113.06197 1.41685 1109.20263
</TABLE>
SURRENDER CHARGE = 7.00%
FREE WITHDRAWAL AVAILABLE = 15.00% OF PRINCIPAL + 15.00% OF INTEREST
GROSS RETURN = 12.75%
WITHOUT WITH
SURRENDER SURRENDER
CHARGE CHARGE
WITHOUT DEATH BENEFIT CHARGE
ERV 1113.06 1046.83
TOTAL RETURN 11.31% 4.68%
WITH DEATH BENEFIT CHARGE
ERV 1109.20 1043.21
TOTAL RETURN 10.92% 4.32%
<TABLE>
<CAPTION>
Return for 3 Years
WITH DEATH BENEFIT CHARGE
FUND GROSS ADMIN/ ADMIN/
MONTH YEAR NAV SHARES VALUE MTHLY M&E ERV MTHLY M&E ERV
<S> <C> <C> <C> <C> <C> <C> <C> <C>
12 1996 17.67 103.7090635 1832.53915 1000.00000 1000.00000
1 1997 17.99 103.7090635 1865.72605 1.08333 1017.02646 1.37503 1016.73476
2 1997 17.91 103.7090635 1857.42933 1.10178 1011.40205 1.39804 1010.81538
3 1997 16.90 103.7090635 1752.68317 1.09569 953.27029 1.38990 952.42249
4 1997 17.05 103.7090635 1768.23953 1.03271 960.69856 1.30961 959.56633
5 1997 18.33 103.7090635 1900.98713 1.04076 1031.78063 1.31944 1030.28472
6 1997 19.25 103.7090635 1996.39947 1.11776 1082.44891 1.41668 1080.57900
7 1997 20.25 103.7090635 2100.10854 1.17265 1137.50737 1.48583 1135.22714
8 1997 19.82 103.7090635 2055.51364 1.23230 1112.12059 1.56098 1109.56011
9 1997 21.23 103.7090635 2201.74342 1.20480 1190.03234 1.52568 1186.96883
10 1997 20.61 103.7090635 2137.44380 1.28920 1153.98949 1.63212 1150.67252
11 1997 20.82 103.7090635 2159.22270 1.25016 1164.49760 1.58221 1160.81477
12 1997 21.35 103.9600535 2219.54714 1.26154 1195.76983 1.59616 1191.64950
1 1998 21.33 103.9600535 2217.46794 1.29542 1193.35426 1.63856 1188.89464
2 1998 23.40 103.9600535 2432.66525 1.29280 1307.87221 1.63477 1302.63783
3 1998 24.99 103.9600535 2597.96174 1.41686 1395.32358 1.79117 1389.35923
4 1998 24.42 103.9600535 2538.70451 1.51160 1361.98588 1.91042 1355.75875
5 1998 23.35 103.9600535 2427.46725 1.47548 1300.83288 1.86421 1294.48987
6 1998 25.00 103.9600535 2599.00134 1.40924 1391.34545 1.77997 1384.18349
7 1998 23.94 103.9600535 2488.80368 1.50729 1330.84511 1.90330 1323.59082
8 1998 19.06 103.9600535 1981.47862 1.44175 1058.11998 1.81998 1051.96619
9 1998 19.79 103.9600535 2057.36946 1.14630 1097.49979 1.44649 1090.81012
10 1998 21.51 103.9600535 2236.18075 1.18896 1191.69738 1.49990 1184.11534
11 1998 22.57 103.9600535 2346.37841 1.29101 1249.13251 1.62820 1240.83964
12 1998 24.74 106.3174243 2630.29308 1.35323 1398.92585 1.70620 1389.27657
1 1999 25.28 106.3174243 2687.70449 1.51550 1427.94470 1.91030 1417.69001
2 1999 24.20 106.3174243 2572.88167 1.54694 1365.39379 1.94937 1355.17477
3 1999 24.90 106.3174243 2647.30387 1.47918 1403.40948 1.86341 1392.51063
4 1999 25.41 106.3174243 2701.52575 1.52036 1430.63365 1.91475 1419.11718
5 1999 26.11 106.3174243 2775.94795 1.54985 1468.49519 1.95133 1456.25998
6 1999 27.47 106.3174243 2920.53965 1.59087 1543.39431 2.00241 1530.11026
7 1999 26.29 106.3174243 2795.08509 1.67201 1475.42432 2.10395 1462.27896
8 1999 24.04 106.3174243 2555.87088 1.59838 1347.55342 2.01068 1335.12079
9 1999 24.14 106.3174243 2566.50262 1.45985 1351.69904 1.83584 1338.83870
10 1999 25.36 106.3174243 2696.20988 1.46434 1418.54757 1.84095 1404.66068
11 1999 25.88 106.3174243 2751.49494 1.53676 1446.09775 1.93146 1431.53142
12 1999 26.18 113.2797268 2965.66325 1.56661 1557.09116 1.96840 1540.98923
</TABLE>
SURRENDER CHARGE = 5.00%
FREE WITHDRAWAL AVAILABLE = 15.00% OF PRINCIPAL + 15.00% OF INTEREST
GROSS RETURN = 61.83%
GROSS ANNUAL RETURN = 17.41%
WITHOUT WITH
SURRENDER SURRENDER
CHARGE CHARGE
WITHOUT DEATH BENEFIT CHARGE
ERV 1557.09 1490.91
TOTAL RETURN 55.71% 49.09%
AVERAGE ANNUAL RETURN 15.91% 14.24%
WITH DEATH BENEFIT CHARGE
ERV 1540.99 1475.50
TOTAL RETURN 54.10% 47.55%
AVERAGE ANNUAL RETURN 15.50% 13.84%
<TABLE>
<CAPTION>
Return for 5 Years
WITH DEATH BENEFIT CHARGE
FUND GROSS ADMIN/ ADMIN/
MONTH YEAR NAV SHARES VALUE MTHLY M&E ERV MTHLY M&E ERV
<S> <C> <C> <C> <C> <C> <C> <C> <C>
12 1994 10.10 100.0000000 1010.00000 1000.00000 1000.00000
1 1995 10.37 100.1939864 1039.01164 1.08333 1027.64106 1.37503 1027.34936
2 1995 10.66 100.1939864 1068.06790 1.11328 1055.26606 1.41264 1054.66684
3 1995 11.37 100.1939864 1139.20563 1.14320 1124.40793 1.45020 1123.46180
4 1995 11.23 100.1939864 1125.17847 1.21811 1109.34487 1.54480 1108.08370
5 1995 11.55 100.1939864 1157.24054 1.20179 1139.75397 1.52365 1138.13501
6 1995 12.48 100.1939864 1250.42095 1.23473 1230.29164 1.56497 1228.21207
7 1995 13.43 100.1939864 1345.60524 1.33282 1322.61083 1.68883 1320.01695
8 1995 13.76 100.1939864 1378.66925 1.43283 1353.67700 1.81507 1350.63715
9 1995 14.36 100.1939864 1438.78565 1.46648 1411.23713 1.85717 1407.67404
10 1995 14.58 100.1939864 1460.82832 1.52884 1431.32892 1.93560 1427.30448
11 1995 15.05 100.1939864 1507.91950 1.55061 1475.91854 1.96259 1471.35238
12 1995 15.23 100.1939864 1525.95441 1.59891 1491.97181 2.02316 1486.92680
1 1996 15.14 102.8873732 1557.71483 1.61630 1521.40863 2.04457 1515.83034
2 1996 15.59 102.8873732 1604.01415 1.64819 1564.98064 2.08432 1558.80042
3 1996 16.19 102.8873732 1665.74657 1.69540 1623.51542 2.14340 1616.64934
4 1996 16.47 102.8873732 1694.55504 1.75881 1649.83470 2.22295 1642.38574
5 1996 16.82 102.8873732 1730.56562 1.78732 1683.10762 2.25834 1675.02935
6 1996 16.84 102.8873732 1732.62336 1.82337 1683.28557 2.30322 1674.71784
7 1996 15.65 102.8873732 1610.18739 1.82356 1562.51250 2.30279 1554.07097
8 1996 16.45 102.8873732 1692.49729 1.69272 1640.69262 2.13690 1631.37540
9 1996 17.38 102.8873732 1788.18255 1.77742 1731.67168 2.24320 1721.36194
10 1996 17.27 102.8873732 1776.86493 1.87598 1718.83576 2.36693 1708.10031
11 1996 17.98 102.8873732 1849.91497 1.86207 1787.63804 2.34869 1775.97462
12 1996 17.67 103.7090635 1832.53915 1.93661 1768.91057 2.44202 1756.85128
1 1997 17.99 103.7090635 1865.72605 1.91632 1799.02885 2.41573 1786.25176
2 1997 17.91 103.7090635 1857.42933 1.94895 1789.07977 2.45616 1775.85229
3 1997 16.90 103.7090635 1752.68317 1.93817 1686.24989 2.44186 1673.26466
4 1997 17.05 103.7090635 1768.23953 1.82677 1699.38983 2.30079 1685.81533
5 1997 18.33 103.7090635 1900.98713 1.84101 1825.12766 2.31805 1810.05702
6 1997 19.25 103.7090635 1996.39947 1.97722 1914.75531 2.48889 1898.41660
7 1997 20.25 103.7090635 2100.10854 2.07432 2012.14880 2.61039 1994.42526
8 1997 19.82 103.7090635 2055.51364 2.17983 1967.24187 2.74240 1949.33210
9 1997 21.23 103.7090635 2201.74342 2.13118 2105.06079 2.68040 2085.32770
10 1997 20.61 103.7090635 2137.44380 2.28048 2041.30420 2.86740 2021.56049
11 1997 20.82 103.7090635 2159.22270 2.21141 2059.89211 2.77971 2039.37892
12 1997 21.35 103.9600535 2219.54714 2.23155 2115.20989 2.80421 2093.55094
1 1998 21.33 103.9600535 2217.46794 2.29148 2110.93696 2.87870 2088.71107
2 1998 23.40 103.9600535 2432.66525 2.28685 2313.50897 2.87205 2288.54094
3 1998 24.99 103.9600535 2597.96174 2.50630 2468.20263 3.14682 2440.89754
4 1998 24.42 103.9600535 2538.70451 2.67389 2409.23121 3.35632 2381.86649
5 1998 23.35 103.9600535 2427.46725 2.61000 2301.05702 3.27515 2274.22619
6 1998 25.00 103.9600535 2599.00134 2.49281 2461.16567 3.12714 2431.80454
7 1998 23.94 103.9600535 2488.80368 2.66626 2354.14598 3.34381 2325.35222
8 1998 19.06 103.9600535 1981.47862 2.55032 1871.71962 3.19744 1848.14815
9 1998 19.79 103.9600535 2057.36946 2.02770 1941.37898 2.54127 1916.39115
10 1998 21.51 103.9600535 2236.18075 2.10316 2108.00608 2.63510 2080.31455
11 1998 22.57 103.9600535 2346.37841 2.28367 2209.60369 2.86050 2179.97071
12 1998 24.74 106.3174243 2630.29308 2.39374 2474.57472 2.99753 2440.75232
1 1999 25.28 106.3174243 2687.70449 2.68079 2525.90647 3.35612 2490.67050
2 1999 24.20 106.3174243 2572.88167 2.73640 2415.25951 3.42475 2380.84052
3 1999 24.90 106.3174243 2647.30387 2.61653 2482.50586 3.27373 2446.43407
4 1999 25.41 106.3174243 2701.52575 2.68938 2530.66298 3.36393 2493.17783
5 1999 26.11 106.3174243 2775.94795 2.74155 2597.63667 3.42820 2558.43221
6 1999 27.47 106.3174243 2920.53965 2.81411 2730.12650 3.51793 2688.17617
7 1999 26.29 106.3174243 2795.08509 2.95764 2609.89368 3.69633 2569.00667
8 1999 24.04 106.3174243 2555.87088 2.82738 2383.70149 3.53247 2345.60866
9 1999 24.14 106.3174243 2566.50262 2.58234 2391.03471 3.22529 2352.14048
10 1999 25.36 106.3174243 2696.20988 2.59029 2509.28379 3.23427 2467.77992
11 1999 25.88 106.3174243 2751.49494 2.71839 2558.01759 3.39328 2514.98781
12 1999 26.18 113.2797268 2965.66325 2.77119 2754.35500 3.45819 2707.28890
</TABLE>
SURRENDER CHARGE = 3.00%
FREE WITHDRAWAL AVAILABLE = 15.00% OF PRINCIPAL + 15.00% OF INTEREST
GROSS RETURN = 193.63%
GROSS ANNUAL RETURN = 24.04%
WITHOUT WITH
SURRENDER SURRENDER
CHARGE CHARGE
WITHOUT DEATH BENEFIT CHARGE
ERV 2754.36 2684.12
TOTAL RETURN 175.44% 168.41%
AVERAGE ANNUAL RETURN 22.46% 21.83%
WITH DEATH BENEFIT CHARGE
ERV 2707.29 2638.25
TOTAL RETURN 170.73% 163.83%
AVERAGE ANNUAL RETURN 22.04% 21.41%
<TABLE>
<CAPTION>
Return for Inception
WITH DEATH BENEFIT CHARGE
FUND GROSS ADMIN/ ADMIN/
MONTH YEAR NAV SHARES VALUE MTHLY M&E ERV MTHLY M&E ERV
<S> <C> <C> <C> <C> <C> <C> <C> <C>
3 1994 10.00 100.0000000 1000.00000 1000.00000 1000.00000
4 1994 10.12 100.0000000 1012.00000 1.08333 1010.91667 1.37503 1010.62497
5 1994 9.98 100.0000000 998.00000 1.09516 995.83649 1.38964 995.25435
6 1994 9.67 100.0000000 967.00000 1.07882 963.82487 1.36851 962.97112
7 1994 9.79 100.0000000 979.00000 1.04414 974.74133 1.32412 973.59701
8 1994 10.45 100.0000000 1045.00000 1.05597 1039.39826 1.33873 1037.89404
9 1994 10.22 100.0000000 1022.00000 1.12601 1015.39553 1.42714 1013.62330
10 1994 10.37 100.0000000 1037.00000 1.10001 1029.19859 1.39377 1027.10658
11 1994 9.95 100.0000000 995.00000 1.11497 986.39959 1.41231 984.09498
12 1994 10.10 100.0000000 1010.00000 1.06860 1000.20134 1.35316 997.57742
1 1995 10.37 100.1939864 1039.01164 1.08355 1027.84797 1.37170 1024.86052
2 1995 10.66 100.1939864 1068.06790 1.11350 1055.47852 1.40922 1052.11182
3 1995 11.37 100.1939864 1139.20563 1.14344 1124.63432 1.44669 1120.74012
4 1995 11.23 100.1939864 1125.17847 1.21835 1109.56822 1.54105 1105.39928
5 1995 11.55 100.1939864 1157.24054 1.20203 1139.98345 1.51996 1135.37778
6 1995 12.48 100.1939864 1250.42095 1.23498 1230.53934 1.56118 1225.23663
7 1995 13.43 100.1939864 1345.60524 1.33308 1322.87712 1.68474 1316.81910
8 1995 13.76 100.1939864 1378.66925 1.43312 1353.94955 1.81067 1347.36511
9 1995 14.36 100.1939864 1438.78565 1.46678 1411.52127 1.85267 1404.26383
10 1995 14.58 100.1939864 1460.82832 1.52915 1431.61710 1.93091 1423.84671
11 1995 15.05 100.1939864 1507.91950 1.55092 1476.21570 1.95784 1467.78791
12 1995 15.23 100.1939864 1525.95441 1.59923 1492.27220 2.01826 1483.32459
1 1996 15.14 102.8873732 1557.71483 1.61663 1521.71495 2.03962 1512.15811
2 1996 15.59 102.8873732 1604.01415 1.64852 1565.29573 2.07927 1555.02410
3 1996 16.19 102.8873732 1665.74657 1.69574 1623.84229 2.13821 1612.73287
4 1996 16.47 102.8873732 1694.55504 1.75916 1650.16688 2.21756 1638.40692
5 1996 16.82 102.8873732 1730.56562 1.78768 1683.44649 2.25286 1670.97145
6 1996 16.84 102.8873732 1732.62336 1.82373 1683.62448 2.29764 1670.66069
7 1996 15.65 102.8873732 1610.18739 1.82393 1562.82709 2.29721 1550.30610
8 1996 16.45 102.8873732 1692.49729 1.69306 1641.02295 2.13172 1627.42325
9 1996 17.38 102.8873732 1788.18255 1.77777 1732.02034 2.23776 1717.19179
10 1996 17.27 102.8873732 1776.86493 1.87636 1719.18183 2.36120 1703.96229
11 1996 17.98 102.8873732 1849.91497 1.86245 1787.99796 2.34300 1771.67217
12 1996 17.67 103.7090635 1832.53915 1.93700 1769.26672 2.43611 1752.59516
1 1997 17.99 103.7090635 1865.72605 1.91671 1799.39106 2.40988 1781.92441
2 1997 17.91 103.7090635 1857.42933 1.94934 1789.43998 2.45021 1771.55014
3 1997 16.90 103.7090635 1752.68317 1.93856 1686.58940 2.43594 1669.21104
4 1997 17.05 103.7090635 1768.23953 1.82714 1699.73199 2.29522 1681.73130
5 1997 18.33 103.7090635 1900.98713 1.84138 1825.49512 2.31244 1805.67201
6 1997 19.25 103.7090635 1996.39947 1.97762 1915.14083 2.48286 1893.81753
7 1997 20.25 103.7090635 2100.10854 2.07474 2012.55393 2.60406 1989.59360
8 1997 19.82 103.7090635 2055.51364 2.18027 1967.63795 2.73576 1944.60968
9 1997 21.23 103.7090635 2201.74342 2.13161 2105.48462 2.67390 2080.27582
10 1997 20.61 103.7090635 2137.44380 2.28094 2041.71519 2.86045 2016.66309
11 1997 20.82 103.7090635 2159.22270 2.21186 2060.30684 2.77298 2034.43835
12 1997 21.35 103.9600535 2219.54714 2.23200 2115.63577 2.79742 2088.47914
1 1998 21.33 103.9600535 2217.46794 2.29194 2111.36197 2.87173 2083.65099
2 1998 23.40 103.9600535 2432.66525 2.28731 2313.97476 2.86509 2282.99676
3 1998 24.99 103.9600535 2597.96174 2.50681 2468.69958 3.13920 2434.98426
4 1998 24.42 103.9600535 2538.70451 2.67442 2409.71628 3.34818 2376.09622
5 1998 23.35 103.9600535 2427.46725 2.61053 2301.52031 3.26721 2268.71668
6 1998 25.00 103.9600535 2599.00134 2.49331 2461.66120 3.11956 2425.91329
7 1998 23.94 103.9600535 2488.80368 2.66680 2354.61996 3.33571 2319.71886
8 1998 19.06 103.9600535 1981.47862 2.55084 1872.09647 3.18969 1843.67085
9 1998 19.79 103.9600535 2057.36946 2.02810 1941.76985 2.53511 1911.74853
10 1998 21.51 103.9600535 2236.18075 2.10358 2108.43050 2.62872 2075.27481
11 1998 22.57 103.9600535 2346.37841 2.28413 2210.04857 2.85357 2174.68955
12 1998 24.74 106.3174243 2630.29308 2.39422 2475.07294 2.99027 2434.83939
1 1999 25.28 106.3174243 2687.70449 2.68133 2526.41503 3.34799 2484.63664
2 1999 24.20 106.3174243 2572.88167 2.73695 2415.74580 3.41646 2375.07273
3 1999 24.90 106.3174243 2647.30387 2.61706 2483.00568 3.26580 2440.50738
4 1999 25.41 106.3174243 2701.52575 2.68992 2531.17250 3.35578 2487.13790
5 1999 26.11 106.3174243 2775.94795 2.74210 2598.15967 3.41990 2552.23420
6 1999 27.47 106.3174243 2920.53965 2.81467 2730.67618 3.50941 2681.66384
7 1999 26.29 106.3174243 2795.08509 2.95823 2610.41915 3.68738 2562.78304
8 1999 24.04 106.3174243 2555.87088 2.82795 2384.18142 3.52391 2339.92623
9 1999 24.14 106.3174243 2566.50262 2.58286 2391.51612 3.21748 2346.44222
10 1999 25.36 106.3174243 2696.20988 2.59081 2509.78900 3.22644 2461.80151
11 1999 25.88 106.3174243 2751.49494 2.71894 2558.53262 3.38506 2508.89504
12 1999 26.18 113.2797268 2965.66325 2.77174 2754.90956 3.44981 2700.73026
</TABLE>
SURRENDER CHARGE = 2.00%
FREE WITHDRAWAL AVAILABLE = 15.00% OF PRINCIPAL + 15.00% OF INTEREST
GROSS RETURN = 196.57%
GROSS ANNUAL RETURN = 20.80%
WITHOUT WITH
SURRENDER SURRENDER
CHARGE CHARGE
WITHOUT DEATH BENEFIT CHARGE
ERV 2754.91 2708.08
TOTAL RETURN 175.49% 170.81%
AVERAGE ANNUAL RETURN 19.26% 18.91%
WITH DEATH BENEFIT CHARGE
ERV 2700.73 2654.82
TOTAL RETURN 170.07% 165.48%
AVERAGE ANNUAL RETURN 18.85% 18.50%
<TABLE>
<CAPTION>
Return for Product Inception
WITH DEATH BENEFIT CHARGE
FUND GROSS ADMIN/ ADMIN/
MONTH YEAR NAV SHARES VALUE MTHLY M&E ERV MTHLY M&E ERV
<S> <C> <C> <C> <C> <C> <C> <C> <C>
6 1995 12.48 100.1939864 1250.42095 1000.00000 1000.00000
7 1995 13.43 100.1939864 1345.60524 1.08333 1075.03846 1.37503 1074.74676
8 1995 13.76 100.1939864 1378.66925 1.16462 1100.28952 1.47781 1099.67747
9 1995 14.36 100.1939864 1438.78565 1.19198 1147.07529 1.51209 1146.11643
10 1995 14.58 100.1939864 1460.82832 1.24266 1163.40620 1.57595 1162.09937
11 1995 15.05 100.1939864 1507.91950 1.26036 1199.64933 1.59793 1197.96281
12 1995 15.23 100.1939864 1525.95441 1.29962 1212.69768 1.64724 1210.64336
1 1996 15.14 102.8873732 1557.71483 1.31376 1236.62438 1.66467 1234.17639
2 1996 15.59 102.8873732 1604.01415 1.33968 1272.04038 1.69703 1269.16227
3 1996 16.19 102.8873732 1665.74657 1.37804 1319.61835 1.74514 1316.26237
4 1996 16.47 102.8873732 1694.55504 1.42959 1341.01107 1.80990 1337.21673
5 1996 16.82 102.8873732 1730.56562 1.45276 1368.05581 1.83872 1363.79489
6 1996 16.84 102.8873732 1732.62336 1.48206 1368.20045 1.87526 1363.54126
7 1996 15.65 102.8873732 1610.18739 1.48222 1270.03423 1.87491 1265.31159
8 1996 16.45 102.8873732 1692.49729 1.37587 1333.58024 1.73985 1328.25221
9 1996 17.38 102.8873732 1788.18255 1.44471 1407.52943 1.82639 1401.51849
10 1996 17.27 102.8873732 1776.86493 1.52482 1397.09619 1.92713 1390.72099
11 1996 17.98 102.8873732 1849.91497 1.51352 1453.01974 1.91229 1445.98368
12 1996 17.67 103.7090635 1832.53915 1.57410 1437.79777 1.98828 1430.41362
1 1997 17.99 103.7090635 1865.72605 1.55761 1462.27837 1.96687 1454.35125
2 1997 17.91 103.7090635 1857.42933 1.58413 1454.19161 1.99978 1445.88409
3 1997 16.90 103.7090635 1752.68317 1.57537 1370.60989 1.98814 1362.35810
4 1997 17.05 103.7090635 1768.23953 1.48483 1381.29024 1.87329 1372.57674
5 1997 18.33 103.7090635 1900.98713 1.49640 1483.49188 1.88734 1473.73329
6 1997 19.25 103.7090635 1996.39947 1.60712 1556.34262 2.02643 1545.67492
7 1997 20.25 103.7090635 2100.10854 1.68604 1635.50555 2.12535 1623.84437
8 1997 19.82 103.7090635 2055.51364 1.77180 1599.00450 2.23284 1587.12990
9 1997 21.23 103.7090635 2201.74342 1.73225 1711.02585 2.18236 1697.85638
10 1997 20.61 103.7090635 2137.44380 1.85361 1659.20351 2.33461 1645.93764
11 1997 20.82 103.7090635 2159.22270 1.79747 1674.31204 2.26322 1660.44526
12 1997 21.35 103.9600535 2219.54714 1.81384 1719.27519 2.28317 1704.55167
1 1998 21.33 103.9600535 2217.46794 1.86255 1715.80208 2.34382 1700.61109
2 1998 23.40 103.9600535 2432.66525 1.85879 1880.45574 2.33840 1863.31089
3 1998 24.99 103.9600535 2597.96174 2.03716 2006.19313 2.56211 1987.35837
4 1998 24.42 103.9600535 2538.70451 2.17338 1958.26025 2.73268 1939.29578
5 1998 23.35 103.9600535 2427.46725 2.12145 1870.33460 2.66660 1851.65595
6 1998 25.00 103.9600535 2599.00134 2.02620 2000.47338 2.54609 1979.95492
7 1998 23.94 103.9600535 2488.80368 2.16718 1913.48613 2.72250 1893.28233
8 1998 19.06 103.9600535 1981.47862 2.07294 1521.36255 2.60333 1504.74677
9 1998 19.79 103.9600535 2057.36946 1.64814 1577.98275 2.06908 1560.30965
10 1998 21.51 103.9600535 2236.18075 1.70948 1713.41982 2.14548 1693.77471
11 1998 22.57 103.9600535 2346.37841 1.85620 1795.99993 2.32900 1774.91392
12 1998 24.74 106.3174243 2630.29308 1.94567 2011.37246 2.44057 1987.24012
1 1999 25.28 106.3174243 2687.70449 2.17899 2053.09570 2.73252 2027.88310
2 1999 24.20 106.3174243 2572.88167 2.22419 1963.16015 2.78841 1938.46044
3 1999 24.90 106.3174243 2647.30387 2.12676 2017.81901 2.66545 1991.86616
4 1999 25.41 106.3174243 2701.52575 2.18597 2056.96187 2.73888 2029.92454
5 1999 26.11 106.3174243 2775.94795 2.22838 2111.39911 2.79121 2083.05411
6 1999 27.47 106.3174243 2920.53965 2.28735 2219.08889 2.86427 2188.69056
7 1999 26.29 106.3174243 2795.08509 2.40401 2121.36180 3.00952 2091.66375
8 1999 24.04 106.3174243 2555.87088 2.29814 1937.50930 2.87611 1909.77496
9 1999 24.14 106.3174243 2566.50262 2.09897 1943.46985 2.62600 1915.09311
10 1999 25.36 106.3174243 2696.20988 2.10543 2039.58453 2.63332 2009.24577
11 1999 25.88 106.3174243 2751.49494 2.20955 2079.19611 2.76278 2047.68204
12 1999 26.18 113.2797268 2965.66325 2.25246 2238.78218 2.81563 2204.25198
</TABLE>
SURRENDER CHARGE = 3.00%
FREE WITHDRAWAL AVAILABLE = 15.00% OF PRINCIPAL + 15.00% OF INTEREST
GROSS RETURN = 137.17%
GROSS ANNUAL RETURN = 20.73%
WITHOUT WITH
SURRENDER SURRENDER
CHARGE CHARGE
WITHOUT DEATH BENEFIT CHARGE
ERV 2238.78 2181.69
TOTAL RETURN 123.88% 118.17%
AVERAGE ANNUAL RETURN 19.22% 18.55%
WITH DEATH BENEFIT CHARGE
ERV 2204.25 2148.04
TOTAL RETURN 120.43% 114.80%
AVERAGE ANNUAL RETURN 18.82% 18.15%
<PAGE>
TRP Personal Strategy Bal 12/1999
Assume ($10000 @ $10.00 on 12/30/1994)
DATE DIV PR/SH REINVEST NAV REINVEST SHARES SHARE BASIS
(incl cap gain)
100.000000
3/95 0.0900000000 10.70 0.841 100.841121
6/95 0.1000000000 11.39 0.885 101.726469
9/95 0.1100000000 11.76 0.952 102.677992
12/95 0.1000000000 12.39 0.829 103.506709
1/96 0.0800000000 12.47 0.664 104.170746
3/96 0.0800000000 12.56 0.664 104.834254
6/96 0.1100000000 12.59 0.916 105.750200
9/96 0.1100000000 12.96 0.898 106.647771
12/96 0.3400000000 13.51 2.684 109.331727
3/97 0.1200000000 13.58 0.966 110.297840
6/97 0.1200000000 14.48 0.914 111.211910
9/97 0.1200000000 15.09 0.884 112.096299
12/97 0.3400000000 15.00 2.541 114.637149
3/98 0.1400000000 16.19 0.991 115.628452
6/98 0.1300000000 16.27 0.924 116.552342
9/98 0.1200000000 15.37 0.910 117.462315
12/98 0.6972405220 15.72 5.210 122.672206
3/99 0.4600000000 15.85 3.560 126.232409
6/99 0.1400000000 16.18 1.092 127.324655
9/99 0.1200000000 15.71 0.973 128.297217
12/99 0.7300000000 15.55 6.023 134.320174
M and E Charge = 0.0010833
Death Benefit Charge = 0.0002917
<TABLE>
<CAPTION>
Return for YTD
WITH DEATH BENEFIT CHARGE
FUND GROSS ADMIN/ ADMIN/
MONTH YEAR NAV SHARES VALUE MTHLY M&E ERV MTHLY M&E ERV
<S> <C> <C> <C> <C> <C> <C> <C> <C>
12 1998 16.16 122.6722061 1982.38285 1000.00000 1000.00000
1 1999 16.14 122.6722061 1979.92941 1.08333 997.67904 1.37503 997.38734
2 1999 15.80 122.6722061 1938.22086 1.08082 975.58144 1.37144 975.00526
3 1999 15.77 126.2324089 1990.68509 1.05688 1000.93184 1.34066 1000.05628
4 1999 16.39 126.2324089 2068.94918 1.08434 1039.19928 1.37511 1037.99854
5 1999 16.10 126.2324089 2032.34178 1.12580 1019.68619 1.42728 1018.20520
6 1999 16.39 127.3246547 2086.85109 1.10466 1045.93047 1.40007 1044.11435
7 1999 16.21 127.3246547 2063.93265 1.13309 1033.31065 1.43569 1031.21188
8 1999 16.06 127.3246547 2044.83395 1.11942 1022.62944 1.41795 1020.25156
9 1999 15.75 128.2972173 2020.68117 1.10785 1009.44269 1.40288 1006.79786
10 1999 16.08 128.2972173 2063.01925 1.09356 1029.49935 1.38438 1026.50830
11 1999 16.23 128.2972173 2082.26384 1.11529 1037.98760 1.41148 1034.67245
12 1999 16.00 134.3201735 2149.12278 1.12449 1070.19162 1.42271 1066.47180
</TABLE>
SURRENDER CHARGE = 7.00%
FREE WITHDRAWAL AVAILABLE = 15.00% OF PRINCIPAL + 15.00% OF INTEREST
GROSS RETURN = 8.41%
WITHOUT WITH
SURRENDER SURRENDER
CHARGE CHARGE
WITHOUT DEATH BENEFIT CHARGE
ERV 1070.19 1006.52
TOTAL RETURN 7.02% 0.65%
WITH DEATH BENEFIT CHARGE
ERV 1066.47 1003.02
TOTAL RETURN 6.65% 0.30%
<TABLE>
<CAPTION>
Return for 1 Year
WITH DEATH BENEFIT CHARGE
FUND GROSS ADMIN/ ADMIN/
MONTH YEAR NAV SHARES VALUE MTHLY M&E ERV MTHLY M&E ERV
<S> <C> <C> <C> <C> <C> <C> <C> <C>
12 1998 16.16 122.6722061 1982.38285 1000.00000 1000.00000
1 1999 16.14 122.6722061 1979.92941 1.08333 997.67904 1.37503 997.38734
2 1999 15.80 122.6722061 1938.22086 1.08082 975.58144 1.37144 975.00526
3 1999 15.77 126.2324089 1990.68509 1.05688 1000.93184 1.34066 1000.05628
4 1999 16.39 126.2324089 2068.94918 1.08434 1039.19928 1.37511 1037.99854
5 1999 16.10 126.2324089 2032.34178 1.12580 1019.68619 1.42728 1018.20520
6 1999 16.39 127.3246547 2086.85109 1.10466 1045.93047 1.40007 1044.11435
7 1999 16.21 127.3246547 2063.93265 1.13309 1033.31065 1.43569 1031.21188
8 1999 16.06 127.3246547 2044.83395 1.11942 1022.62944 1.41795 1020.25156
9 1999 15.75 128.2972173 2020.68117 1.10785 1009.44269 1.40288 1006.79786
10 1999 16.08 128.2972173 2063.01925 1.09356 1029.49935 1.38438 1026.50830
11 1999 16.23 128.2972173 2082.26384 1.11529 1037.98760 1.41148 1034.67245
12 1999 16.00 134.3201735 2149.12278 1.12449 1070.19162 1.42271 1066.47180
</TABLE>
SURRENDER CHARGE = 7.00%
FREE WITHDRAWAL AVAILABLE = 15.00% OF PRINCIPAL + 15.00% OF INTEREST
GROSS RETURN = 8.41%
WITHOUT WITH
SURRENDER SURRENDER
CHARGE CHARGE
WITHOUT DEATH BENEFIT CHARGE
ERV 1070.19 1006.52
TOTAL RETURN 7.02% 0.65%
WITH DEATH BENEFIT CHARGE
ERV 1066.47 1003.02
TOTAL RETURN 6.65% 0.30%
<TABLE>
<CAPTION>
Return for 3 Years
WITH DEATH BENEFIT CHARGE
FUND GROSS ADMIN/ ADMIN/
MONTH YEAR NAV SHARES VALUE MTHLY M&E ERV MTHLY M&E ERV
<S> <C> <C> <C> <C> <C> <C> <C> <C>
12 1996 13.44 109.3317272 1469.41841 1000.00000 1000.00000
1 1997 13.64 109.3317272 1491.28476 1.08333 1013.79762 1.37503 1013.50592
2 1997 13.75 109.3317272 1503.31125 1.09828 1020.87513 1.39360 1020.28575
3 1997 13.30 110.2978396 1466.96127 1.10595 995.08447 1.40293 994.21237
4 1997 13.61 110.2978396 1501.15360 1.07801 1017.20016 1.36708 1016.01867
5 1997 14.18 110.2978396 1564.02337 1.10197 1058.69953 1.39706 1057.17345
6 1997 14.48 111.2119101 1610.34846 1.14692 1088.91042 1.45365 1087.03242
7 1997 15.15 111.2119101 1684.86044 1.17965 1138.11543 1.49471 1135.83548
8 1997 14.63 111.2119101 1627.03025 1.23296 1097.81844 1.56181 1095.28790
9 1997 15.12 112.0962991 1694.89604 1.18930 1142.42074 1.50606 1139.46789
10 1997 14.92 112.0962991 1672.47678 1.23762 1126.07174 1.56681 1122.82876
11 1997 15.18 112.0962991 1701.62182 1.21991 1144.47506 1.54393 1140.85155
12 1997 15.13 114.6371485 1734.46006 1.23985 1165.32152 1.56871 1161.29923
1 1998 15.28 114.6371485 1751.65563 1.26243 1175.61218 1.59683 1171.21561
2 1998 15.84 114.6371485 1815.85243 1.27358 1217.42386 1.61046 1212.52928
3 1998 16.21 115.6284519 1874.33720 1.31888 1255.31564 1.66727 1249.91502
4 1998 16.28 115.6284519 1882.43120 1.35993 1259.37657 1.71867 1253.59388
5 1998 16.21 115.6284519 1874.33720 1.36432 1252.59723 1.72373 1246.48000
6 1998 16.35 116.5523424 1905.63080 1.35698 1272.15339 1.71395 1265.57706
7 1998 16.20 116.5523424 1888.14795 1.37817 1259.10409 1.74021 1252.22605
8 1998 14.82 116.5523424 1727.30571 1.36403 1150.48305 1.72185 1143.83309
9 1998 15.18 117.4623151 1783.07794 1.24636 1186.38414 1.57281 1179.19301
10 1998 15.82 117.4623151 1858.25383 1.28525 1235.11772 1.62143 1227.28723
11 1998 16.36 117.4623151 1921.68348 1.33804 1275.93919 1.68756 1267.49190
12 1998 16.16 122.6722061 1982.38285 1.38227 1314.85946 1.74284 1305.78477
1 1999 16.14 122.6722061 1979.92941 1.42443 1311.80773 1.79550 1302.37320
2 1999 15.80 122.6722061 1938.22086 1.42112 1282.75249 1.79081 1273.14702
3 1999 15.77 126.2324089 1990.68509 1.38965 1316.08469 1.75062 1305.85826
4 1999 16.39 126.2324089 2068.94918 1.42576 1366.40101 1.79560 1355.40268
5 1999 16.10 126.2324089 2032.34178 1.48027 1340.74403 1.86372 1329.55684
6 1999 16.39 127.3246547 2086.85109 1.45247 1375.25157 1.82818 1363.38862
7 1999 16.21 127.3246547 2063.93265 1.48986 1358.65828 1.87470 1346.54076
8 1999 16.06 127.3246547 2044.83395 1.47188 1344.61399 1.85154 1332.22894
9 1999 15.75 128.2972173 2020.68117 1.45667 1327.27527 1.83186 1314.66132
10 1999 16.08 128.2972173 2063.01925 1.43788 1353.64696 1.80770 1340.39890
11 1999 16.23 128.2972173 2082.26384 1.46645 1364.80782 1.84309 1351.05953
12 1999 16.00 134.3201735 2149.12278 1.47854 1407.15158 1.85775 1392.58264
</TABLE>
SURRENDER CHARGE = 5.00%
FREE WITHDRAWAL AVAILABLE = 15.00% OF PRINCIPAL + 15.00% OF INTEREST
GROSS RETURN = 46.26%
GROSS ANNUAL RETURN = 13.51%
WITHOUT WITH
SURRENDER SURRENDER
CHARGE CHARGE
WITHOUT DEATH BENEFIT CHARGE
ERV 1407.15 1347.35
TOTAL RETURN 40.72% 34.73%
AVERAGE ANNUAL RETURN 12.06% 10.45%
WITH DEATH BENEFIT CHARGE
ERV 1392.58 1333.40
TOTAL RETURN 39.26% 33.34%
AVERAGE ANNUAL RETURN 11.67% 10.07%
<TABLE>
<CAPTION>
Return for 5 Years
WITH DEATH BENEFIT CHARGE
FUND GROSS ADMIN/ ADMIN/
MONTH YEAR NAV SHARES VALUE MTHLY M&E ERV MTHLY M&E ERV
<S> <C> <C> <C> <C> <C> <C> <C> <C>
12 1994 10.00 100.0000000 1000.00000 1000.00000 1000.00000
1 1995 10.17 100.0000000 1017.00000 1.08333 1015.91667 1.37503 1015.62497
2 1995 10.49 100.0000000 1049.00000 1.10058 1046.78200 1.39652 1046.18518
3 1995 10.65 100.8411215 1073.95794 1.13401 1070.55316 1.43854 1069.63762
4 1995 10.86 100.8411215 1095.13458 1.15977 1090.50290 1.47079 1089.25828
5 1995 11.23 100.8411215 1132.44579 1.18138 1126.47493 1.49777 1124.87152
6 1995 11.39 101.7264694 1158.66449 1.22035 1151.33504 1.54674 1149.36811
7 1995 11.61 101.7264694 1181.04431 1.24728 1172.32601 1.58042 1169.98796
8 1995 11.63 101.7264694 1183.07884 1.27002 1173.07550 1.60877 1170.39467
9 1995 11.82 102.6779925 1213.65387 1.27083 1202.12118 1.60933 1199.03256
10 1995 11.90 102.6779925 1221.86811 1.30230 1208.95506 1.64871 1205.49913
11 1995 12.27 102.6779925 1259.85897 1.30970 1245.23472 1.65760 1241.32344
12 1995 12.43 103.5067091 1286.58839 1.34900 1270.30487 1.70686 1265.95275
1 1996 12.62 104.1707457 1314.63481 1.37616 1296.62016 1.74073 1291.80860
2 1996 12.59 104.1707457 1311.50969 1.40467 1292.13319 1.77628 1286.96146
3 1996 12.55 104.8342537 1315.66988 1.39981 1294.83211 1.76961 1289.27417
4 1996 12.62 104.8342537 1323.00828 1.40273 1300.65155 1.77279 1294.69255
5 1996 12.72 104.8342537 1333.49171 1.40904 1309.54878 1.78025 1303.17135
6 1996 12.67 105.7502003 1339.85504 1.41868 1314.37918 1.79190 1307.59810
7 1996 12.42 105.7502003 1313.41749 1.42391 1287.02040 1.79799 1279.99904
8 1996 12.59 105.7502003 1331.39502 1.39427 1303.24235 1.76004 1295.75911
9 1996 12.97 106.6477714 1383.22160 1.41185 1352.56119 1.78171 1344.41679
10 1996 13.19 106.6477714 1406.68411 1.46527 1374.03836 1.84862 1365.37247
11 1996 13.85 106.6477714 1477.07163 1.48854 1441.30382 1.87743 1431.81542
12 1996 13.44 109.3317272 1469.41841 1.56141 1432.27451 1.96879 1422.42789
1 1997 13.64 109.3317272 1491.28476 1.55163 1452.03649 1.95589 1441.63909
2 1997 13.75 109.3317272 1503.31125 1.57304 1462.17342 1.98230 1451.28291
3 1997 13.30 110.2978396 1466.96127 1.58402 1425.23413 1.99556 1414.19540
4 1997 13.61 110.2978396 1501.15360 1.54400 1456.90987 1.94457 1445.21329
5 1997 14.18 110.2978396 1564.02337 1.57832 1516.34835 1.98722 1503.75301
6 1997 14.48 111.2119101 1610.34846 1.64271 1559.61864 2.06771 1546.22523
7 1997 15.15 111.2119101 1684.86044 1.68959 1630.09373 2.12611 1615.64407
8 1997 14.63 111.2119101 1627.03025 1.76593 1572.37738 2.22156 1557.96806
9 1997 15.12 112.0962991 1694.89604 1.70341 1636.26012 2.14226 1620.81091
10 1997 14.92 112.0962991 1672.47678 1.77262 1612.84385 2.22867 1597.14294
11 1997 15.18 112.0962991 1701.62182 1.74725 1639.20246 2.19612 1622.77907
12 1997 15.13 114.6371485 1734.46006 1.77580 1669.06031 2.23138 1651.86441
1 1998 15.28 114.6371485 1751.65563 1.80815 1683.79936 2.27137 1665.96975
2 1998 15.84 114.6371485 1815.85243 1.82412 1743.68517 2.29076 1724.73547
3 1998 16.21 115.6284519 1874.33720 1.88899 1797.95659 2.37157 1777.91399
4 1998 16.28 115.6284519 1882.43120 1.94779 1803.77296 2.44469 1783.14690
5 1998 16.21 115.6284519 1874.33720 1.95409 1794.06309 2.45189 1773.02792
6 1998 16.35 116.5523424 1905.63080 1.94357 1822.07288 2.43797 1800.19210
7 1998 16.20 116.5523424 1888.14795 1.97391 1803.38270 2.47532 1781.20125
8 1998 14.82 116.5523424 1727.30571 1.95366 1647.80754 2.44921 1627.02008
9 1998 15.18 117.4623151 1783.07794 1.78512 1699.22777 2.23721 1677.31703
10 1998 15.82 117.4623151 1858.25383 1.84083 1769.02763 2.30637 1745.72758
11 1998 16.36 117.4623151 1921.68348 1.91645 1827.49519 2.40043 1802.91583
12 1998 16.16 122.6722061 1982.38285 1.97979 1883.23969 2.47907 1857.38467
1 1999 16.14 122.6722061 1979.92941 2.04018 1878.86878 2.55397 1852.53196
2 1999 15.80 122.6722061 1938.22086 2.03544 1837.25369 2.54729 1810.95983
3 1999 15.77 126.2324089 1990.68509 1.99036 1884.99457 2.49013 1857.48920
4 1999 16.39 126.2324089 2068.94918 2.04208 1957.06134 2.55411 1927.96257
5 1999 16.10 126.2324089 2032.34178 2.12015 1920.31351 2.65101 1891.19874
6 1999 16.39 127.3246547 2086.85109 2.08034 1969.73777 2.60046 1939.32199
7 1999 16.21 127.3246547 2063.93265 2.13388 1945.97162 2.66663 1915.35713
8 1999 16.06 127.3246547 2044.83395 2.10814 1925.85635 2.63368 1894.99961
9 1999 15.75 128.2972173 2020.68117 2.08634 1901.02254 2.60569 1870.01092
10 1999 16.08 128.2972173 2063.01925 2.05944 1938.79405 2.57133 1906.62078
11 1999 16.23 128.2972173 2082.26384 2.10036 1954.77945 2.62167 1921.78475
12 1999 16.00 134.3201735 2149.12278 2.11768 2015.42735 2.64252 1980.84838
</TABLE>
SURRENDER CHARGE = 3.00%
FREE WITHDRAWAL AVAILABLE = 15.00% OF PRINCIPAL + 15.00% OF INTEREST
GROSS RETURN = 114.91%
GROSS ANNUAL RETURN = 16.53%
WITHOUT WITH
SURRENDER SURRENDER
CHARGE CHARGE
WITHOUT DEATH BENEFIT CHARGE
ERV 2015.43 1964.03
TOTAL RETURN 101.54% 96.40%
AVERAGE ANNUAL RETURN 15.05% 14.45%
WITH DEATH BENEFIT CHARGE
ERV 1980.85 1930.34
TOTAL RETURN 98.08% 93.03%
AVERAGE ANNUAL RETURN 14.65% 14.06%
<TABLE>
<CAPTION>
Return for Inception
WITH DEATH BENEFIT CHARGE
FUND GROSS ADMIN/ ADMIN/
MONTH YEAR NAV SHARES VALUE MTHLY M&E ERV MTHLY M&E ERV
<S> <C> <C> <C> <C> <C> <C> <C> <C>
12 1994 10.00 100.0000000 1000.00000 1000.00000 1000.00000
1 1995 10.17 100.0000000 1017.00000 1.08333 1015.91667 1.37503 1015.62497
2 1995 10.49 100.0000000 1049.00000 1.10058 1046.78200 1.39652 1046.18518
3 1995 10.65 100.8411215 1073.95794 1.13401 1070.55316 1.43854 1069.63762
4 1995 10.86 100.8411215 1095.13458 1.15977 1090.50290 1.47079 1089.25828
5 1995 11.23 100.8411215 1132.44579 1.18138 1126.47493 1.49777 1124.87152
6 1995 11.39 101.7264694 1158.66449 1.22035 1151.33504 1.54674 1149.36811
7 1995 11.61 101.7264694 1181.04431 1.24728 1172.32601 1.58042 1169.98796
8 1995 11.63 101.7264694 1183.07884 1.27002 1173.07550 1.60877 1170.39467
9 1995 11.82 102.6779925 1213.65387 1.27083 1202.12118 1.60933 1199.03256
10 1995 11.90 102.6779925 1221.86811 1.30230 1208.95506 1.64871 1205.49913
11 1995 12.27 102.6779925 1259.85897 1.30970 1245.23472 1.65760 1241.32344
12 1995 12.43 103.5067091 1286.58839 1.34900 1270.30487 1.70686 1265.95275
1 1996 12.62 104.1707457 1314.63481 1.37616 1296.62016 1.74073 1291.80860
2 1996 12.59 104.1707457 1311.50969 1.40467 1292.13319 1.77628 1286.96146
3 1996 12.55 104.8342537 1315.66988 1.39981 1294.83211 1.76961 1289.27417
4 1996 12.62 104.8342537 1323.00828 1.40273 1300.65155 1.77279 1294.69255
5 1996 12.72 104.8342537 1333.49171 1.40904 1309.54878 1.78025 1303.17135
6 1996 12.67 105.7502003 1339.85504 1.41868 1314.37918 1.79190 1307.59810
7 1996 12.42 105.7502003 1313.41749 1.42391 1287.02040 1.79799 1279.99904
8 1996 12.59 105.7502003 1331.39502 1.39427 1303.24235 1.76004 1295.75911
9 1996 12.97 106.6477714 1383.22160 1.41185 1352.56119 1.78171 1344.41679
10 1996 13.19 106.6477714 1406.68411 1.46527 1374.03836 1.84862 1365.37247
11 1996 13.85 106.6477714 1477.07163 1.48854 1441.30382 1.87743 1431.81542
12 1996 13.44 109.3317272 1469.41841 1.56141 1432.27451 1.96879 1422.42789
1 1997 13.64 109.3317272 1491.28476 1.55163 1452.03649 1.95589 1441.63909
2 1997 13.75 109.3317272 1503.31125 1.57304 1462.17342 1.98230 1451.28291
3 1997 13.30 110.2978396 1466.96127 1.58402 1425.23413 1.99556 1414.19540
4 1997 13.61 110.2978396 1501.15360 1.54400 1456.90987 1.94457 1445.21329
5 1997 14.18 110.2978396 1564.02337 1.57832 1516.34835 1.98722 1503.75301
6 1997 14.48 111.2119101 1610.34846 1.64271 1559.61864 2.06771 1546.22523
7 1997 15.15 111.2119101 1684.86044 1.68959 1630.09373 2.12611 1615.64407
8 1997 14.63 111.2119101 1627.03025 1.76593 1572.37738 2.22156 1557.96806
9 1997 15.12 112.0962991 1694.89604 1.70341 1636.26012 2.14226 1620.81091
10 1997 14.92 112.0962991 1672.47678 1.77262 1612.84385 2.22867 1597.14294
11 1997 15.18 112.0962991 1701.62182 1.74725 1639.20246 2.19612 1622.77907
12 1997 15.13 114.6371485 1734.46006 1.77580 1669.06031 2.23138 1651.86441
1 1998 15.28 114.6371485 1751.65563 1.80815 1683.79936 2.27137 1665.96975
2 1998 15.84 114.6371485 1815.85243 1.82412 1743.68517 2.29076 1724.73547
3 1998 16.21 115.6284519 1874.33720 1.88899 1797.95659 2.37157 1777.91399
4 1998 16.28 115.6284519 1882.43120 1.94779 1803.77296 2.44469 1783.14690
5 1998 16.21 115.6284519 1874.33720 1.95409 1794.06309 2.45189 1773.02792
6 1998 16.35 116.5523424 1905.63080 1.94357 1822.07288 2.43797 1800.19210
7 1998 16.20 116.5523424 1888.14795 1.97391 1803.38270 2.47532 1781.20125
8 1998 14.82 116.5523424 1727.30571 1.95366 1647.80754 2.44921 1627.02008
9 1998 15.18 117.4623151 1783.07794 1.78512 1699.22777 2.23721 1677.31703
10 1998 15.82 117.4623151 1858.25383 1.84083 1769.02763 2.30637 1745.72758
11 1998 16.36 117.4623151 1921.68348 1.91645 1827.49519 2.40043 1802.91583
12 1998 16.16 122.6722061 1982.38285 1.97979 1883.23969 2.47907 1857.38467
1 1999 16.14 122.6722061 1979.92941 2.04018 1878.86878 2.55397 1852.53196
2 1999 15.80 122.6722061 1938.22086 2.03544 1837.25369 2.54729 1810.95983
3 1999 15.77 126.2324089 1990.68509 1.99036 1884.99457 2.49013 1857.48920
4 1999 16.39 126.2324089 2068.94918 2.04208 1957.06134 2.55411 1927.96257
5 1999 16.10 126.2324089 2032.34178 2.12015 1920.31351 2.65101 1891.19874
6 1999 16.39 127.3246547 2086.85109 2.08034 1969.73777 2.60046 1939.32199
7 1999 16.21 127.3246547 2063.93265 2.13388 1945.97162 2.66663 1915.35713
8 1999 16.06 127.3246547 2044.83395 2.10814 1925.85635 2.63368 1894.99961
9 1999 15.75 128.2972173 2020.68117 2.08634 1901.02254 2.60569 1870.01092
10 1999 16.08 128.2972173 2063.01925 2.05944 1938.79405 2.57133 1906.62078
11 1999 16.23 128.2972173 2082.26384 2.10036 1954.77945 2.62167 1921.78475
12 1999 16.00 134.3201735 2149.12278 2.11768 2015.42735 2.64252 1980.84838
</TABLE>
SURRENDER CHARGE = 3.00%
FREE WITHDRAWAL AVAILABLE = 15.00% OF PRINCIPAL + 15.00% OF INTEREST
GROSS RETURN = 114.91%
GROSS ANNUAL RETURN = 16.52%
WITHOUT WITH
SURRENDER SURRENDER
CHARGE CHARGE
WITHOUT DEATH BENEFIT CHARGE
ERV 2015.43 1964.03
TOTAL RETURN 101.54% 96.40%
AVERAGE ANNUAL RETURN 15.04% 14.45%
WITH DEATH BENEFIT CHARGE
ERV 1980.85 1930.34
TOTAL RETURN 98.08% 93.03%
AVERAGE ANNUAL RETURN 14.64% 14.05%
<TABLE>
<CAPTION>
Return for Product Inception
WITH DEATH BENEFIT CHARGE
FUND GROSS ADMIN/ ADMIN/
MONTH YEAR NAV SHARES VALUE MTHLY M&E ERV MTHLY M&E ERV
<S> <C> <C> <C> <C> <C> <C> <C> <C>
6 1995 11.39 101.7264694 1158.66449 1000.00000 1000.00000
7 1995 11.61 101.7264694 1181.04431 1.08333 1018.23186 1.37503 1017.94016
8 1995 11.63 101.7264694 1183.07884 1.10308 1018.88283 1.39970 1018.29401
9 1995 11.82 102.6779925 1213.65387 1.10379 1044.11066 1.40019 1043.21022
10 1995 11.90 102.6779925 1221.86811 1.13112 1050.04627 1.43445 1048.83642
11 1995 12.27 102.6779925 1259.85897 1.13755 1081.55722 1.44218 1080.00511
12 1995 12.43 103.5067091 1286.58839 1.17169 1103.33208 1.48504 1101.43368
1 1996 12.62 104.1707457 1314.63481 1.19528 1126.18840 1.51451 1123.92939
2 1996 12.59 104.1707457 1311.50969 1.22004 1122.29121 1.54544 1119.71217
3 1996 12.55 104.8342537 1315.66988 1.21582 1124.63538 1.53964 1121.72433
4 1996 12.62 104.8342537 1323.00828 1.21835 1129.68989 1.54241 1126.43855
5 1996 12.72 104.8342537 1333.49171 1.22383 1137.41764 1.54889 1133.81548
6 1996 12.67 105.7502003 1339.85504 1.23220 1141.61312 1.55903 1137.66693
7 1996 12.42 105.7502003 1313.41749 1.23675 1117.85046 1.56433 1113.65456
8 1996 12.59 105.7502003 1331.39502 1.21100 1131.94015 1.53131 1127.36650
9 1996 12.97 106.6477714 1383.22160 1.22627 1174.77637 1.55017 1169.70079
10 1996 13.19 106.6477714 1406.68411 1.27267 1193.43051 1.60838 1187.93314
11 1996 13.85 106.6477714 1477.07163 1.29288 1251.85439 1.63345 1245.74138
12 1996 13.44 109.3317272 1469.41841 1.35618 1244.01192 1.71294 1237.57382
1 1997 13.64 109.3317272 1491.28476 1.34768 1261.17633 1.70171 1254.28840
2 1997 13.75 109.3317272 1503.31125 1.36627 1269.98083 1.72469 1262.67894
3 1997 13.30 110.2978396 1466.96127 1.37581 1237.89695 1.73623 1230.41120
4 1997 13.61 110.2978396 1501.15360 1.34105 1265.40913 1.69186 1257.39811
5 1997 14.18 110.2978396 1564.02337 1.37086 1317.03484 1.72896 1308.33019
6 1997 14.48 111.2119101 1610.34846 1.42679 1354.61754 1.79900 1345.28287
7 1997 15.15 111.2119101 1684.86044 1.46750 1415.82917 1.84981 1405.68026
8 1997 14.63 111.2119101 1627.03025 1.53381 1365.69924 1.93286 1355.49963
9 1997 15.12 112.0962991 1694.89604 1.47951 1421.18503 1.86386 1410.17564
10 1997 14.92 112.0962991 1672.47678 1.53962 1400.84667 1.93904 1389.58348
11 1997 15.18 112.0962991 1701.62182 1.51758 1423.74062 1.91072 1411.88802
12 1997 15.13 114.6371485 1734.46006 1.54239 1449.67387 1.94139 1437.19352
1 1998 15.28 114.6371485 1751.65563 1.57048 1462.47557 1.97619 1449.46578
2 1998 15.84 114.6371485 1815.85243 1.58435 1514.48980 1.99306 1500.59450
3 1998 16.21 115.6284519 1874.33720 1.64070 1561.62762 2.06337 1546.86211
4 1998 16.28 115.6284519 1882.43120 1.69176 1566.67947 2.12699 1551.41498
5 1998 16.21 115.6284519 1874.33720 1.69724 1558.24589 2.13325 1542.61102
6 1998 16.35 116.5523424 1905.63080 1.68810 1582.57398 2.12114 1566.24504
7 1998 16.20 116.5523424 1888.14795 1.71446 1566.34050 2.15364 1549.72218
8 1998 14.82 116.5523424 1727.30571 1.69687 1431.21463 2.13092 1415.57789
9 1998 15.18 117.4623151 1783.07794 1.55048 1475.87602 1.94647 1459.33840
10 1998 15.82 117.4623151 1858.25383 1.59887 1536.50117 2.00664 1518.85855
11 1998 16.36 117.4623151 1921.68348 1.66454 1587.28357 2.08848 1568.61480
12 1998 16.16 122.6722061 1982.38285 1.71956 1635.70085 2.15690 1616.00505
1 1999 16.14 122.6722061 1979.92941 1.77201 1631.90446 2.22206 1611.78298
2 1999 15.80 122.6722061 1938.22086 1.76790 1595.75939 2.21626 1575.61343
3 1999 15.77 126.2324089 1990.68509 1.72874 1637.22505 2.16652 1616.09600
4 1999 16.39 126.2324089 2068.94918 1.77366 1699.81915 2.22219 1677.41087
5 1999 16.10 126.2324089 2032.34178 1.84147 1667.90156 2.30650 1645.42475
6 1999 16.39 127.3246547 2086.85109 1.80689 1710.82935 2.26251 1687.29406
7 1999 16.21 127.3246547 2063.93265 1.85340 1690.18710 2.32009 1666.44360
8 1999 16.06 127.3246547 2044.83395 1.83104 1672.71584 2.29142 1648.73167
9 1999 15.75 128.2972173 2020.68117 1.81211 1651.14626 2.26706 1626.99043
10 1999 16.08 128.2972173 2063.01925 1.78874 1683.95296 2.23717 1658.84259
11 1999 16.23 128.2972173 2082.26384 1.82428 1697.83720 2.28096 1672.03590
12 1999 16.00 134.3201735 2149.12278 1.83932 1750.51335 2.29911 1723.42382
</TABLE>
SURRENDER CHARGE = 3.00%
FREE WITHDRAWAL AVAILABLE = 15.00% OF PRINCIPAL + 15.00% OF INTEREST
GROSS RETURN = 85.48%
GROSS ANNUAL RETURN = 14.43%
WITHOUT WITH
SURRENDER SURRENDER
CHARGE CHARGE
WITHOUT DEATH BENEFIT CHARGE
ERV 1750.51 1705.88
TOTAL RETURN 75.05% 70.59%
AVERAGE ANNUAL RETURN 12.99% 12.36%
WITH DEATH BENEFIT CHARGE
ERV 1723.42 1679.48
TOTAL RETURN 72.34% 67.95%
AVERAGE ANNUAL RETURN 12.61% 11.98%
