<PAGE> 1
UNIVERSAL ANNUITY
SEMI-ANNUAL REPORT
THE TRAVELERS FUND BD FOR VARIABLE ANNUITIES
JUNE 30, 1995
[TRAVELERS INSURANCE LOGO]
THE TRAVELERS INSURANCE COMPANY
ONE TOWER SQUARE
HARTFORD, CONNECTICUT 06183
<PAGE> 2
THE TRAVELERS FUND BD
FOR VARIABLE ANNUITIES
STATEMENT OF ASSETS AND LIABILITIES (UNAUDITED)
JUNE 30, 1995
<TABLE>
<S> <C>
ASSETS:
Investments in eligible mutual funds at market value:
Smith Barney/Travelers Series Fund Inc.:
Alliance Growth Portfolio, 4,873,819 shares (cost $52,516,775)................... $ 61,263,908
American Capital Enterprise Portfolio, 1,069,786 shares (cost $11,343,577)....... 12,997,900
TBC Managed Income Portfolio, 690,564 shares (cost $6,993,118)................... 7,492,615
G.T. Global Strategic Income Portfolio, 559,304 shares (cost $5,522,858)......... 5,799,982
Smith Barney High Income Portfolio, 979,340 shares (cost $10,063,869)............ 10,508,262
Smith Barney International Equity Portfolio, 3,213,066 shares (cost $32,008,679). 32,901,791
Smith Barney Income and Growth Portfolio, 1,683,829 shares (cost $17,459,855).... 19,263,010
Smith Barney Money Market Portfolio, 18,615,651 shares (cost $18,615,651)........ 18,615,651
Putnam Diversified Income Portfolio, 1,655,653 shares (cost $17,106,714)......... 18,311,521
Smith Barney Pacific Basin Portfolio, 442,251 shares (cost $4,205,892)........... 4,143,896
MFS Total Return Portfolio, 2,375,466 shares (cost $24,151,957).................. 26,130,126
Smith Barney Series Fund:
Total Return Portfolio, 1,164,901 shares (cost $13,254,483)...................... 14,095,306
Receivables:
Dividends........................................................................ 74,000
Purchase payments and transfers from other Travelers accounts.................... 5,672,052
Other assets............................................................................ 1,537
-----------------
Total Assets..................................................................... 237,271,557
-----------------
LIABILITIES:
Payable for contract surrenders and transfers to other Travelers accounts........... 10,975
Accrued liabilities................................................................. 32,433
-----------------
Total Liabilities................................................................ 43,408
-----------------
NET ASSETS:................................................................................ $ 237,228,149
=================
</TABLE>
See Notes to Financial Statements
-1-
<PAGE> 3
THE TRAVELERS FUND BD
FOR VARIABLE ANNUITIES
STATEMENT OF OPERATIONS (UNAUDITED)
FOR THE SIX MONTHS ENDED JUNE 30, 1995
<TABLE>
<S> <C> <C>
INVESTMENT INCOME:
Dividends............................................................ $ 649,785
EXPENSES:
Insurance charges.................................................... $ 849,973
Administrative fees.................................................. 116,567
-----------------
Total expenses................................................... 966,540
------------------
Net investment loss........................................... (316,755)
------------------
REALIZED GAIN AND CHANGE IN UNREALIZED GAIN (LOSS) ON
INVESTMENTS:
Realized gain from investment transactions:
Proceeds from investments sold................................... 6,151,926
Cost of investments sold......................................... 6,151,184
-----------------
Net realized gain............................................. 742
Change in unrealized gain (loss) on investments:
Unrealized loss at December 31, 1994............................. (2,023,137)
Unrealized gain at June 30, 1995................................. 18,280,540
-----------------
Net change in unrealized gain (loss) for the period........... 20,303,677
------------------
Net realized gain and change in unrealized gain (loss).... 20,304,419
------------------
Net increase in net assets resulting from operations................. $ 19,987,664
==================
</TABLE>
See Notes to Financial Statements
-2-
<PAGE> 4
THE TRAVELERS FUND BD
FOR VARIABLE ANNUITIES
STATEMENT OF CHANGES IN NET ASSETS
<TABLE>
<CAPTION>
SIX MONTHS JUNE 20, *
ENDED TO
JUNE 30, DECEMBER 31,
1995 1994
---- ----
(UNAUDITED)
<S> <C> <C>
OPERATIONS:
Net investment income (loss)......................................... $ (316,755) $ 434,171
Net realized gain (loss) from investment transactions................ 742 (3,136)
Net change in unrealized gain (loss) on investments.................. 20,303,677 (2,023,137)
------------------ ------------------
Net increase (decrease) in net assets resulting from operations.. 19,987,664 (1,592,102)
------------------ ------------------
UNIT TRANSACTIONS:
Participant purchase payments
(applicable to 98,564,271 and 107,339,545 units, respectively)... 105,337,855 108,566,524
Participant transfers from other Travelers accounts
(applicable to 19,665,402 and 6,423,931 units, respectively)..... 20,757,230 6,471,798
Administrative charges
(applicable to 126 and 811 units, respectively).................. (134) (830)
Contract surrenders
(applicable to 1,874,635 and 761,076 units, respectively)........ (1,992,019) (766,681)
Participant transfers to other Travelers accounts
(applicable to 12,662,995 and 5,473,688 units, respectively)..... (12,990,972) (5,520,208)
Other payments to participants
(applicable to 354,478 and 651,396 units, respectively).......... (374,322) (655,654)
------------------ ------------------
Net increase in net assets resulting from unit transactions...... 110,737,638 108,094,949
------------------ ------------------
Net increase in net assets.................................... 130,725,302 106,502,847
NET ASSETS:
Beginning of period.................................................. 106,502,847 -
------------------ ------------------
End of period........................................................ $ 237,228,149 $ 106,502,847
================== ==================
</TABLE>
* Date operations commenced.
See Notes to Financial Statements
-3-
<PAGE> 5
NOTES TO FINANCIAL STATEMENTS (UNAUDITED)
1. SIGNIFICANT ACCOUNTING POLICIES
The Travelers Fund BD for Variable Annuities ("Fund BD") is a separate account
of The Travelers Insurance Company ("The Travelers"), an indirect wholly owned
subsidiary of Travelers Group Inc., and is available for funding certain
variable annuity contracts issued by The Travelers. Fund BD is registered under
the Investment Company Act of 1940, as amended, as a unit investment trust.
Participant purchase payments applied to Fund BD are invested in one or more
eligible mutual funds in accordance with the selection made by the contract
owner. As of June 30, 1995, the eligible mutual funds available under Fund BD
are: Alliance Growth Portfolio, American Capital Enterprise Portfolio, TBC
Managed Income Portfolio, G.T. Global Strategic Income Portfolio, Smith Barney
High Income Portfolio, Smith Barney International Equity Portfolio, Smith
Barney Income and Growth Portfolio, Smith Barney Money Market Portfolio, Putnam
Diversified Income Portfolio, Smith Barney Pacific Basin Portfolio, and MFS
Total Return Portfolio of Smith Barney/Travelers Series Fund Inc.; and Total
Return Portfolio of Smith Barney Series Fund. Smith Barney/Travelers Series
Fund Inc. is incorporated under Maryland law. Smith Barney Series Fund is
registered as a Massachusetts business trust.
The following is a summary of significant accounting policies consistently
followed by Fund BD in the preparation of its financial statements. Certain
prior period amounts have been reclassified to conform to the current period's
presentation.
SECURITY VALUATION. Investments are valued daily at the net asset values per
share of the underlying mutual funds.
FEDERAL INCOME TAXES. The operations of Fund BD form a part of the total
operations of The Travelers and are not taxed separately. The Travelers is
taxed as a life insurance company under the Internal Revenue Code of 1986, as
amended (the "Code"). Under existing federal income tax law, no taxes are
payable on the investment income of Fund BD. Fund BD is not taxed as a
"regulated investment company" under Subchapter M of the Code.
OTHER. Security transactions are accounted for on the trade date. Dividend
income is recorded on the ex-dividend date.
2. INVESTMENTS
Purchases and sales of investments aggregated $111,646,052 and $6,151,926,
respectively, for the six months ended June 30, 1995. Realized gains and losses
from investment transactions are reported on an identified cost basis. The cost
of investments in eligible mutual funds was $213,243,428 at June 30, 1995.
Gross unrealized appreciation for all investments at June 30, 1995 was
$18,342,536. Gross unrealized depreciation for all investments at June 30,
1995 was $61,996.
3. CONTRACT CHARGES
Insurance charges are paid to The Travelers for the mortality and expense risks
assumed by The Travelers. For contracts with a standard death benefit
provision, these charges are equivalent to 1.02% of the average net assets of
Fund BD on an annual basis. For contracts with an enhanced death benefit
provision, these charges are equivalent to 1.30% of the average net assets of
Fund BD on an annual basis.
For contracts in the accumulation phase with a contract value less than
$40,000, an annual charge of $30 (prorated for partial periods and the
level of participation in other separate accounts of The Travelers) is deducted
from participant account balances and paid to The Travelers to cover contract
administrative charges.
Administrative fees are paid to The Travelers for administrative expenses
incurred by The Travelers. This charge is equivalent to 0.15% of the average
net assets of Fund BD on an annual basis.
No sales charge is deducted from participant purchase payments when they are
received. However, The Travelers generally assesses a contingent deferred
sales charge of up to 6% if a participant's purchase payment is surrendered
within six years of its payment date. Contract surrender payments are stated
prior to the deduction of $52,540 and $70 of contingent deferred sales charges
for the six months ended June 30, 1995 and the period June 20, 1994 (date
operations commenced) to December 31, 1994, respectively.
-4-
<PAGE> 6
NOTES TO FINANCIAL STATEMENTS (UNAUDITED) - CONTINUED
4. NET CONTRACT OWNERS' EQUITY
<TABLE>
<CAPTION>
JUNE 30, 1995
--------------------------------------------------------
ACCUMULATION ANNUITY UNIT NET
UNITS UNITS VALUE ASSETS
----- ----- ----- ------
<S> <C> <C> <C> <C>
Smith Barney/Travelers Series Fund Inc.:
Alliance Growth Portfolio
Standard................................. 38,060,345 - $ 1.272 $ 48,401,241
Enhanced................................. 11,184,841 - 1.268 14,182,796
American Capital Enterprise Portfolio
Standard................................. 8,017,331 - 1.247 9,997,813
Enhanced................................. 2,909,779 - 1.243 3,618,168
TBC Managed Income Portfolio
Standard................................. 5,831,163 - 1.087 6,338,176
Enhanced................................. 1,132,268 - 1.084 1,227,258
G.T. Global Strategic Income Portfolio
Standard................................. 4,126,283 - 1.035 4,271,983
Enhanced................................. 1,503,052 - 1.032 1,551,672
Smith Barney High Income Portfolio
Standard................................. 8,001,936 - 1.083 8,664,252
Enhanced................................. 1,714,457 14,631 1.080 1,866,836
Smith Barney International Equity Portfolio
Standard................................. 25,490,019 - 1.012 25,789,347
Enhanced................................. 7,765,857 - 1.009 7,834,388
Smith Barney Income and Growth Portfolio
Standard................................. 13,516,053 - 1.136 15,348,529
Enhanced................................. 4,160,997 - 1.132 4,711,512
Smith Barney Money Market Portfolio
Standard................................. 14,662,587 - 1.037 15,206,237
Enhanced................................. 4,136,230 11,253 1.034 4,288,914
Putnam Diversified Income Portfolio
Standard................................. 11,897,247 - 1.102 13,114,600
Enhanced................................. 4,949,498 13,451 1.099 5,455,027
Smith Barney Pacific Basin Portfolio
Standard................................. 3,175,713 - .926 2,939,781
Enhanced................................. 1,321,829 - .923 1,220,134
MFS Total Return Portfolio
Standard................................. 19,177,655 - 1.099 21,074,100
Enhanced................................. 4,975,626 - 1.096 5,451,975
Smith Barney Series Fund:
Total Return Portfolio
Standard................................. 10,887,938 - 1.178 12,820,854
Enhanced................................. 1,575,905 - 1.176 1,852,556
-------------
Net Contract Owners' Equity.......................................................... $237,228,149
=============
</TABLE>
-5-
<PAGE> 7
NOTES TO FINANCIAL STATEMENTS (UNAUDITED) - CONTINUED
5. SCHEDULE OF FUND BD OPERATIONS AND CHANGES IN NET ASSETS FOR THE SIX
MONTHS ENDED JUNE 30, 1995 AND THE PERIOD JUNE 20, 1994 (DATE OPERATIONS
COMMENCED) TO DECEMBER 31, 1994
<TABLE>
<CAPTION>
ALLIANCE GROWTH AMERICAN CAPITAL TBC MANAGED
PORTFOLIO ENTERPRISE PORTFOLIO INCOME PORTFOLIO
---------------------------- ---------------------------- ---------------------------
JUNE 30, DECEMBER 31, JUNE 30, DECEMBER 31, JUNE 30, DECEMBER 31,
1995 1994 1995 1994 1995 1994
---- ---- ---- ---- ---- ----
<S> <C> <C> <C> <C> <C> <C>
INVESTMENT INCOME:
Dividends................................ $ - $ 282,361 $ - $ 21,050 $ - $ 49,991
------------- ------------- ------------ ------------ ------------ ------------
EXPENSES:
Insurance charges........................ 215,738 67,623 44,313 14,518 31,265 10,802
Administrative fees...................... 29,608 9,140 5,979 1,949 4,366 1,489
------------- ------------- ------------ ------------ ------------ ------------
Net investment income (loss)........... (245,346) 205,598 (50,292) 4,583 (35,631) 37,700
------------- ------------- ------------ ------------ ------------ ------------
REALIZED GAIN (LOSS) AND CHANGE IN
UNREALIZED
GAIN (LOSS) ON INVESTMENTS:
Realized gain (loss) from investment
transactions:
Proceeds from investments sold......... 116,819 5,096 71,225 35,014 139,577 20,259
Cost of investments sold............... 109,210 5,111 58,957 33,739 137,765 20,167
------------- ------------- ------------ ------------ ------------ ------------
Net realized gain (loss)............. 7,609 (15) 12,268 1,275 1,812 92
------------- ------------- ------------ ------------ ------------ ------------
Change in unrealized gain (loss) on
investments:
Unrealized gain (loss) beginning of
period............................... 141,949 - 32,282 - (51,965) -
Unrealized gain (loss) end of period... 8,747,133 141,949 1,654,323 32,282 499,497 (51,965)
------------- ------------- ------------ ------------ ------------ ------------
Net change in unrealized gain (loss)
for the period..................... 8,605,184 141,949 1,622,041 32,282 551,462 (51,965)
------------- ------------- ------------ ------------ ------------ ------------
Net increase (decrease) in net assets
resulting from operations.............. 8,367,447 347,532 1,584,017 38,140 517,643 (14,173)
------------- ------------- ------------ ------------ ------------ ------------
UNIT TRANSACTIONS:
Participant purchase payments............ 25,669,769 23,776,112 6,344,681 4,637,048 2,969,583 3,694,743
Participant transfers from other
Travelers accounts...................... 5,434,516 1,597,148 1,246,605 232,338 599,395 182,215
Administrative charges................... (28) (198) (15) (34) (3) (12)
Contract surrenders...................... (582,333) (67,588) (107,880) (24,746) (70,899) (6,923)
Participant transfers to other Travelers
accounts................................ (1,233,075) (595,026) (183,492) (88,314) (245,893) (33,091)
Other payments to participants........... (46,466) (83,773) - (62,367) (19,140) (8,011)
------------- ------------- ------------ ------------ ------------ ------------
Net increase in net assets resulting
from unit transactions............... 29,242,383 24,626,675 7,299,899 4,693,925 3,233,043 3,828,921
------------- ------------- ------------ ------------ ------------ ------------
Net increase in net assets........... 37,609,830 24,974,207 8,883,916 4,732,065 3,750,686 3,814,748
NET ASSETS:
Beginning of period.................... 24,974,207 - 4,732,065 - 3,814,748 -
------------- ------------- ------------ ------------ ------------ ------------
End of period.......................... $ 62,584,037 $ 24,974,207 $13,615,981 $ 4,732,065 $ 7,565,434 $ 3,814,748
============= ============= ============ ============ ============ ============
</TABLE>
-6-
<PAGE> 8
NOTES TO FINANCIAL STATEMENTS (UNAUDITED) - CONTINUED
<TABLE>
<CAPTION>
G.T. GLOBAL STRATEGIC SMITH BARNEY SMITH BARNEY INTERNATIONAL SMITH BARNEY INCOME
INCOME PORTFOLIO HIGH INCOME PORTFOLIO EQUITY PORTFOLIO AND GROWTH PORTFOLIO
--------------------------- --------------------------- --------------------------- ---------------------------
JUNE 30, DECEMBER 31, JUNE 30, DECEMBER 31, JUNE 30, DECEMBER 31, JUNE 30, DECEMBER 31,
1995 1994 1995 1994 1995 1994 1995 1994
---- ---- ---- ---- ---- ---- ---- ----
<S> <C> <C> <C> <C> <C> <C> <C>
$ - $ 31,413 $ - $ 86,229 $ - $ - $ - $ 51,640
------------ ------------ ------------ ------------ ------------ ------------ ------------- ------------
23,846 9,319 33,669 10,840 130,400 51,391 73,660 25,244
3,237 1,269 4,664 1,461 17,925 6,926 10,113 3,390
------------ ------------ ------------ ------------ ------------ ------------ ------------- ------------
(27,083) 20,825 (38,333) 73,928 (148,325) (58,317) (83,773) 23,006
------------ ------------ ------------ ------------ ------------ ------------ ------------- ------------
77,067 27,857 537,983 59,482 253,301 3,916 33,176 144,879
82,771 28,070 531,682 59,585 272,621 4,123 31,363 146,756
------------ ------------ ------------ ------------ ------------ ------------ ------------- ------------
(5,704) (213) 6,301 (103) (19,320) (207) 1,813 (1,877)
------------ ------------ ------------ ------------ ------------ ------------ ------------- ------------
(179,821) - (113,195) - (1,182,006) - (196,959) -
277,124 (179,821) 444,393 (113,195) 893,112 (1,182,006) 1,803,155 (196,959)
------------ ------------ ------------ ------------ ------------ ------------ ------------- ------------
456,945 (179,821) 557,588 (113,195) 2,075,118 (1,182,006) 2,000,114 (196,959)
------------ ------------ ------------ ------------ ------------ ------------ ------------- ------------
424,158 (159,209) 525,556 (39,370) 1,907,473 (1,240,530) 1,918,154 (175,830)
------------ ------------ ------------ ------------ ------------ ------------ ------------- ------------
2,043,579 3,465,431 5,966,473 4,196,111 10,992,636 19,715,616 7,825,425 9,570,839
244,441 89,455 590,595 149,421 3,063,139 1,189,569 1,132,195 355,350
- (29) (16) (68) (15) (169) (10) (70)
(42,203) (30,970) (229,558) (5,626) (168,470) (59,760) (115,274) (47,477)
(100,065) (89,376) (525,107) (86,624) (1,254,983) (405,848) (176,463) (150,971)
(16,500) (5,057) (9,775) (924) (43,341) (71,582) (9,040) (66,787)
------------ ------------ ------------ ------------ ------------ ------------ ------------- ------------
2,129,252 3,429,454 5,792,612 4,252,290 12,588,966 20,367,826 8,656,833 9,660,884
------------ ------------ ------------ ------------ ------------ ------------ ------------- ------------
2,553,410 3,270,245 6,318,168 4,212,920 14,496,439 19,127,296 10,574,987 9,485,054
3,270,245 - 4,212,920 - 19,127,296 - 9,485,054 -
------------ ------------ ------------ ------------ ------------ ------------ ------------- ------------
$ 5,823,655 $ 3,270,245 $ 10,531,088 $ 4,212,920 $33,623,735 $19,127,296 $ 20,060,041 $9,485,054
============ ============ ============= ============ ============ ============ ============= ===========
</TABLE>
-7-
<PAGE> 9
NOTES TO FINANCIAL STATEMENTS (UNAUDITED) - CONTINUED
5. SCHEDULE OF FUND BD OPERATIONS AND CHANGES IN NET ASSETS FOR THE SIX
MONTHS ENDED JUNE 30, 1995 AND THE PERIOD JUNE 20, 1994 (DATE OPERATIONS
COMMENCED) TO DECEMBER 31, 1994 (CONTINUED)
<TABLE>
<CAPTION>
SMITH BARNEY PUTNAM DIVERSIFIED SMITH BARNEY
MONEY MARKET PORTFOLIO INCOME PORTFOLIO PACIFIC BASIN PORTFOLIO
---------------------------- ---------------------------- ---------------------------
JUNE 30, DECEMBER 31, JUNE 30, DECEMBER 31, JUNE 30, DECEMBER 31,
1995 1994 1995 1994 1995 1994
---- ---- ---- ---- ---- ----
<S> <C> <C> <C> <C> <C> <C>
INVESTMENT INCOME:
Dividends................................ $ 358,308 $ 94,196 $ - $ 78,181 $ - $ -
------------- ------------- ------------- ------------ ------------ ------------
EXPENSES:
Insurance charges........................ 73,455 23,636 74,830 26,796 17,000 7,615
Administrative fees...................... 9,981 3,180 10,082 3,552 2,304 1,035
------------- ------------- ------------- ------------ ------------ ------------
Net investment income (loss)........... 274,872 67,380 (84,912) 47,833 (19,304) (8,650)
------------- ------------- ------------- ------------ ------------ ------------
REALIZED GAIN (LOSS) AND CHANGE IN
UNREALIZED GAIN (LOSS) ON INVESTMENTS:
Realized gain (loss) from investment
transactions:
Proceeds from investments sold......... 4,476,261 1,183,375 215,090 110,000 64,224 51,475
Cost of investments sold............... 4,476,261 1,183,375 212,363 108,632 72,972 55,325
------------- ------------- ------------- ------------ ------------ ------------
Net realized gain (loss)............. - - 2,727 1,368 (8,748) (3,850)
------------- ------------- ------------- ------------ ------------ ------------
Change in unrealized gain (loss) on
investments:
Unrealized gain (loss) beginning of - - (62,230) - (219,183) -
period...............................
Unrealized gain (loss) end of period... - - 1,204,807 (62,230) (61,996) (219,183)
------------- ------------- ------------- ------------ ------------ ------------
Net change in unrealized gain (loss)
for the period..................... - - 1,267,037 (62,230) 157,187 (219,183)
------------- ------------- ------------- ------------ ------------ ------------
Net increase (decrease) in net assets
resulting from operations.............. 274,872 67,380 1,184,852 (13,029) 129,135 (231,683)
------------- ------------- ------------- ------------ ------------ ------------
UNIT TRANSACTIONS:
Participant purchase payments............ 14,200,624 14,531,209 7,107,963 9,015,388 1,225,731 2,824,957
Participant transfers from other
Travelers accounts..................... 2,238,657 705,274 1,442,255 650,976 354,829 113,041
Administrative charges................... (21) (34) (6) (87) (3) (19)
Contract surrenders...................... (325,522) (387,190) (137,403) (31,316) (34,352) (24,246)
Participant transfers to other Travelers
accounts............................... (7,977,569) (3,580,900) (561,742) (51,683) (41,012) (111,286)
Other payments to participants........... (440) (251,189) (27,622) (8,919) (9,609) (35,568)
------------- ------------- ------------- ------------ ------------ ------------
Net increase in net assets resulting
from unit transactions............... 8,135,729 11,017,170 7,823,445 9,574,359 1,495,584 2,766,879
------------- ------------- ------------- ------------ ------------ ------------
Net increase in net assets........... 8,410,601 11,084,550 9,008,297 9,561,330 1,624,719 2,535,196
NET ASSETS:
Beginning of period.................... 11,084,550 - 9,561,330 - 2,535,196 -
------------- ------------- ------------- ------------ ------------ ------------
End of period.......................... $ 19,495,151 $ 11,084,550 $ 18,569,627 $ 9,561,330 $ 4,159,915 $ 2,535,196
============= ============= ============= ============ ============ ============
</TABLE>
-8-
<PAGE> 10
NOTES TO FINANCIAL STATEMENTS (UNAUDITED) - CONTINUED
<TABLE>
<CAPTION>
MFS TOTAL RETURN
TOTAL RETURN PORTFOLIO PORTFOLIO COMBINED
--------------------------- --------------------------- --------------------------------
JUNE 30, DECEMBER 31, JUNE 30, DECEMBER 31, JUNE 30, DECEMBER 31,
1995 1994 1995 1994 1995 1994
---- ---- ---- ---- ---- ----
<S> <C> <C> <C> <C> <C>
$ - $ 61,075 $ 291,477 $ - $ 649,785 $ 756,136
------------ ------------ ------------ ------------ --------------- ---------------
98,290 35,131 33,507 748 849,973 283,663
13,557 4,808 4,751 103 116,567 38,302
------------ ------------ ------------ ------------ --------------- ---------------
(111,847) 21,136 253,219 (851) (316,755) 434,171
------------ ------------ ------------ ------------ --------------- ---------------
152,604 76,984 14,599 105 6,151,926 1,718,442
151,549 76,589 13,670 106 6,151,184 1,721,578
------------ ------------ ------------ ------------ --------------- ---------------
1,055 395 929 (1) 742 (3,136)
------------ ------------ ------------ ------------ --------------- ---------------
(205,882) - 13,873 - (2,023,137) -
1,978,169 (205,882) 840,823 13,873 18,280,540 (2,023,137)
------------ ------------ ------------ ------------ --------------- ---------------
2,184,051 (205,882) 826,950 13,873 20,303,677 (2,023,137)
------------ ------------ ------------ ------------ --------------- ---------------
2,073,259 (184,351) 1,081,098 13,021 19,987,664 (1,592,102)
------------ ------------ ------------ ------------ --------------- ---------------
10,136,176 11,987,268 10,855,215 1,151,802 105,337,855 108,566,524
2,772,712 971,906 1,637,891 235,105 20,757,230 6,471,798
(15) (110) (2) - (134) (830)
(142,696) (80,839) (35,429) - (1,992,019) (766,681)
(526,549) (327,089) (165,022) - (12,990,972) (5,520,208)
(92,120) (61,477) (100,269) - (374,322) (655,654)
------------ ------------ ------------ ------------ --------------- ---------------
12,147,508 12,489,659 12,192,384 1,386,907 110,737,638 108,094,949
------------ ------------ ------------ ------------ --------------- ---------------
14,220,767 12,305,308 13,273,482 1,399,928 130,725,302 106,502,847
12,305,308 - 1,399,928 - 106,502,847 -
------------ ------------ ------------ ------------ --------------- ---------------
$ 26,526,075 $ 12,305,308 $ 14,673,410 $ 1,399,928 $ 237,228,149 $ 106,502,847
============ ============ ============ ============ =============== ===============
</TABLE>
-9-
<PAGE> 11
NOTES TO FINANCIAL STATEMENTS (UNAUDITED) - CONTINUED
6. SCHEDULE OF ACCUMULATION AND ANNUITY UNITS FOR FUND BD FOR THE SIX MONTHS
ENDED JUNE 30, 1995 AND THE PERIOD JUNE 20, 1994 (DATE OPERATIONS
COMMENCED) TO DECEMBER 31, 1994
<TABLE>
<CAPTION>
AMERICAN CAPITAL TBC MANAGED
ALLIANCE GROWTH PORTFOLIO ENTERPRISE PORTFOLIO INCOME PORTFOLIO
---------------------------- ---------------------------- ---------------------------
JUNE 30, DECEMBER 31, JUNE 30, DECEMBER 31, JUNE 30, DECEMBER 31,
1995 1994 1995 1994 1995 1994
---- ---- ---- ---- ---- ----
<S> <C> <C> <C> <C> <C> <C>
Accumulation and annuity units
beginning of period.................... 23,860,599 - 4,558,743 - 3,829,067 -
Accumulation units purchased and
transferred from other Travelers 27,031,931 24,584,144 6,616,727 4,729,348 3,457,993 3,877,253
accounts...............................
Accumulation units redeemed and
transferred to other Travelers accounts (1,647,344) (723,545) (248,360) (170,605) (323,629) (48,186)
Annuity units............................ - - - - - -
------------- ----------- ------------ ----------- ------------ -----------
Accumulation and annuity units
end of period.......................... 49,245,186 23,860,599 10,927,110 4,558,743 6,963,431 3,829,067
============= =========== ============ =========== ============ ===========
</TABLE>
<TABLE>
<CAPTION>
G.T. GLOBAL STRATEGIC SMITH BARNEY SMITH BARNEY INTERNATIONAL
INCOME PORTFOLIO HIGH INCOME PORTFOLIO EQUITY PORTFOLIO
---------------------------- ---------------------------- ---------------------------
JUNE 30, DECEMBER 31, JUNE 30, DECEMBER 31, JUNE 30, DECEMBER 31,
1995 1994 1995 1994 1995 1994
---- ---- ---- ---- ---- ----
<S> <C> <C> <C> <C> <C> <C>
Accumulation and annuity units
beginning of period.................... 3,462,455 - 4,267,721 - 20,039,144 -
Accumulation units purchased and
transferred from other Travelers
accounts............................... 2,330,989 3,588,907 6,201,935 4,360,944 14,794,293 20,573,922
Accumulation units redeemed and
transferred to other Travelers accounts (164,109) (126,452) (738,073) (92,280) (1,577,561) (534,778)
Annuity units............................ - - (559) (943) - -
------------- ----------- ----------- ----------- ----------- -----------
Accumulation and annuity units
end of period.......................... 5,629,335 3,462,455 9,731,024 4,267,721 33,255,876 20,039,144
============= =========== =========== =========== =========== ===========
</TABLE>
<TABLE>
<CAPTION>
SMITH BARNEY INCOME SMITH BARNEY PUTNAM DIVERSIFIED
AND GROWTH PORTFOLIO MONEY MARKET PORTFOLIO INCOME PORTFOLIO
---------------------------- ---------------------------- ---------------------------
JUNE 30, DECEMBER 31, JUNE 30, DECEMBER 31, JUNE 30, DECEMBER 31,
1995 1994 1995 1994 1995 1994
---- ---- ---- ---- ---- ----
<S> <C> <C> <C> <C> <C> <C>
Accumulation and annuity units
beginning of period.................... 9,668,753 - 10,919,262 - 9,486,475 -
Accumulation units purchased and
transferred from other Travelers 8,294,600 9,936,934 15,994,458 15,099,263 8,070,540 9,577,518
accounts...............................
Accumulation units redeemed and
transferred to other Travelers accounts (286,303) (268,181) (8,103,220) (4,179,275) (696,305) (90,159)
Annuity units............................ - - (430) (726) (514) (884)
------------- ---------- ----------- ----------- ----------- ----------
Accumulation and annuity units
end of period.......................... 17,677,050 9,668,753 18,810,070 10,919,262 16,860,196 9,486,475
============= ========== =========== =========== =========== ==========
</TABLE>
<TABLE>
<CAPTION>
SMITH BARNEY MFS TOTAL RETURN
PACIFIC BASIN PORTFOLIO TOTAL RETURN PORTFOLIO PORTFOLIO
---------------------------- ---------------------------- ---------------------------
JUNE 30, DECEMBER 31, JUNE 30, DECEMBER 31, JUNE 30, DECEMBER 31,
1995 1994 1995 1994 1995 1994
---- ---- ---- ---- ---- ----
<S> <C> <C> <C> <C> <C> <C>
Accumulation and annuity units
beginning of period.................... 2,820,564 - 12,577,846 - 1,385,876 -
Accumulation units purchased and
transferred from other Travelers 1,774,717 2,997,045 12,317,555 13,052,322 11,343,935 1,385,876
accounts...............................
Accumulation units redeemed and
transferred to other Travelers accounts (97,739) (176,481) (742,120) (474,476) (265,968) -
Annuity units............................ - - - - - -
------------- ---------- ----------- ----------- ----------- ----------
Accumulation and annuity units
end of period.......................... 4,497,542 2,820,564 24,153,281 12,577,846 12,463,843 1,385,876
============= ========== =========== =========== =========== ==========
</TABLE>
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Independent Accountants
-----------------------
COOPERS & LYBRAND, L.L.P.
Hartford, Connecticut
The financial information included herein has been taken from the records of
Fund BD. This financial information has not been audited by the Fund's
independent accountants, who therefore express no opinion concerning its
accuracy. However, it is management's opinion that all proper adjustments have
been made.
This report is prepared for the general information of contract owners and is
not an offer of shares of The Travelers Fund BD for Variable Annuities or Fund
BD's underlying mutual funds. It should not be used in connection with any
offer except in conjunction with the Prospectuses for the Variable Annuity
products offered by The Travelers Insurance Company and the Prospectuses of the
underlying mutual funds, which collectively contain all pertinent information,
including the applicable selling commissions.
VG-FNBD (S/A) (6-95) Printed in U.S.A.
