Variable Annuity Account I
Statement of Assets and Liabilities - December 31, 1999
ASSETS:
Investments, at net asset value: (Note 1)
<TABLE>
<CAPTION>
Net
Shares Cost Assets
------ ---- ------
<S> <C> <C> <C>
Aetna Ascent VP: 98,549 $ 1,441,978 $ 1,470,348
Aetna Balanced VP, Inc.: 557,539 8,767,974 8,680,876
Aetna Bond VP: 739,056 9,634,497 8,994,313
Aetna Crossroads VP: 56,645 755,380 779,995
Aetna Growth and Income VP: 1,020,890 33,613,864 31,331,110
Aetna Growth VP: 292,478 4,120,278 5,065,711
Aetna Index Plus Large Cap VP: 743,541 13,901,112 15,517,692
Aetna International VP: 13,977 185,060 222,514
Aetna Legacy VP: 147,021 1,844,896 1,836,294
Aetna Money Market VP: 2,727,313 36,358,603 36,587,176
Aetna Real Estate Securities VP: 8,462 73,578 65,413
Aetna Small Company VP: 206,047 2,722,620 3,403,889
Aetna Value Opportunity VP: 237,023 3,577,573 3,891,915
Alger American Funds:
Balanced Portfolio: 107,852 1,131,021 1,679,252
Income and Growth Portfolio: 277,446 3,026,333 4,877,501
Leveraged AllCap Portfolio: 98,150 2,334,799 5,689,755
American Century VP Funds:
Balanced Fund: 56,639 431,564 441,215
International Fund: 201,394 1,363,555 2,517,425
Calvert Social Balanced Portfolio: 141,949 299,835 307,888
Federated Insurance Series:
American Leaders Fund II: 7,049,841 118,900,852 146,777,686
Equity Income Fund II: 1,972,702 25,202,208 32,115,589
Growth Strategies Fund II: 1,943,752 29,249,157 60,023,050
High Income Bond Fund II: 2,647,360 27,752,392 27,108,963
International Equity Fund II: 1,718,847 20,983,632 47,508,933
Prime Money Fund II: 5,198,805 5,198,805 5,198,805
U.S. Government Securities Fund II: 557,235 5,903,292 5,884,407
Utility Fund II: 1,718,542 21,150,847 24,661,073
Fidelity Investments Variable Insurance Product Fund:
Equity-Income Portfolio: 2,000,000 50,284,313 51,420,003
Growth Portfolio: 952,726 36,779,260 52,333,245
High Income Portfolio: 1,495,284 17,961,357 16,911,658
Overseas Portfolio: 196,306 4,027,977 5,386,624
Fidelity Investments Variable Insurance Product Fund II:
Asset Manager Portfolio: 436,199 7,454,280 8,143,844
Contrafund Portfolio: 1,672,869 34,735,648 48,764,135
Index 500 Portfolio: 339,239 47,264,972 56,791,976
Investment Grade Bond Portfolio: 80,835 979,182 982,952
Janus Aspen Series:
Aggressive Growth Portfolio: 653,778 25,668,610 39,024,034
Balanced Portfolio: 952,218 19,892,640 26,585,922
Flexible Income Portfolio: 419,102 5,053,689 4,786,150
Growth Portfolio: 1,112,231 30,223,126 37,426,575
Worldwide Growth Portfolio: 2,327,732 64,584,136 111,149,183
Lexington Emerging Markets Fund: 69,270 648,653 887,346
Lexington Natural Resources Trust Fund: 55,518 829,326 694,528
</TABLE>
<PAGE>
Variable Annuity Account I
Statement of Assets and Liabilities - December 31, 1999 (continued):
<TABLE>
<CAPTION>
Net
Shares Cost Assets
------ ---- ------
<S> <C> <C> <C>
MFS Funds:
Global Government Series: 38,832 $ 405,353 $ 389,484
Total Return Series: 870,282 15,042,240 15,447,502
Oppenheimer Funds:
Aggressive Growth Fund/VA: 94,224 6,090,644 7,755,576
Global Securities Fund/VA: 87,285 1,888,593 2,916,182
Main Street Growth & Income Fund/VA: 548,378 11,343,088 13,506,554
Strategic Bond Fund/VA: 855,465 4,315,619 4,251,662
Portfolio Partners, Inc. (PPI):
PPI MFS Emerging Equities Portfolio: 621,330 37,561,315 51,464,749
PPI MFS Research Growth Portfolio: 1,516,002 16,180,033 22,406,513
PPI MFS Value Equity Portfolio: 209,146 8,139,912 11,454,930
PPI Scudder International Growth Portfolio: 87,523 2,037,148 2,230,964
PPI T. Rowe Price Growth Equity Portfolio: 495,296 22,259,382 32,689,557
------------ ---------------
NET ASSETS $851,576,201 $1,108,440,636
============ ===============
</TABLE>
<PAGE>
Variable Annuity Account I
Statement of Assets and Liabilities - December 31, 1999 (continued):
Net assets represented by:
Reserves for annuity contracts in accumulation and payment period:
(Notes 1 and 6)
<TABLE>
<S> <C>
Aetna Ascent VP:
Annuity contracts in accumulation .............................................. $ 1,470,348
Aetna Balanced VP, Inc.:
Annuity contracts in accumulation .............................................. 8,680,876
Aetna Bond VP:
Annuity contracts in accumulation .............................................. 8,994,313
Aetna Crossroads VP:
Annuity contracts in accumulation .............................................. 779,995
Aetna Growth and Income VP:
Annuity contracts in accumulation .............................................. 31,151,698
Annuity contracts in payment period ............................................ 179,412
Aetna Growth VP:
Annuity contracts in accumulation .............................................. 5,009,118
Annuity contracts in payment period ............................................ 56,593
Aetna Index Plus Large Cap VP:
Annuity contracts in accumulation .............................................. 15,517,692
Aetna International VP:
Annuity contracts in accumulation .............................................. 222,514
Aetna Legacy VP:
Annuity contracts in accumulation .............................................. 1,694,193
Annuity contracts in payment period ............................................ 142,101
Aetna Money Market VP:
Annuity contracts in accumulation .............................................. 36,587,176
Aetna Real Estate Securities VP:
Annuity contracts in accumulation .............................................. 65,413
Aetna Small Company VP:
Annuity contracts in accumulation .............................................. 3,403,889
Aetna Value Opportunity VP:
Annuity contracts in accumulation .............................................. 3,891,915
Alger American Funds:
Balanced Portfolio:
Annuity contracts in accumulation .............................................. 1,679,252
Income and Growth Portfolio:
Annuity contracts in accumulation .............................................. 4,877,501
Leveraged AllCap Portfolio:
Annuity contracts in accumulation .............................................. 5,689,755
American Century VP Funds:
Balanced Fund:
Annuity contracts in accumulation .............................................. 441,215
International Fund:
Annuity contracts in accumulation .............................................. 2,517,425
Calvert Social Balanced Portfolio:
Annuity contracts in accumulation .............................................. 307,888
Federated Insurance Series:
American Leaders Fund II:
Annuity contracts in accumulation .............................................. 146,474,824
Annuity contracts in payment period ............................................ 302,862
Equity Income Fund II:
Annuity contracts in accumulation .............................................. 32,004,404
Annuity contracts in payment period ............................................ 111,185
</TABLE>
<PAGE>
Variable Annuity Account I
Statement of Assets and Liabilities - December 31, 1999 (continued):
<TABLE>
<S> <C>
Growth Strategies Fund II:
Annuity contracts in accumulation .................... $ 60,023,050
High Income Bond Fund II:
Annuity contracts in accumulation .................... 27,090,172
Annuity contracts in payment period .................. 18,791
International Equity Fund II:
Annuity contracts in accumulation .................... 47,471,626
Annuity contracts in payment period .................. 37,307
Prime Money Fund II:
Annuity contracts in accumulation .................... 5,198,805
U.S. Government Securities Fund II:
Annuity contracts in accumulation .................... 5,884,407
Utility Fund II:
Annuity contracts in accumulation .................... 24,581,727
Annuity contracts in payment period .................. 79,346
Fidelity Investments Variable Insurance Product Fund:
Equity-Income Portfolio:
Annuity contracts in accumulation .................... 51,420,003
Growth Portfolio:
Annuity contracts in accumulation .................... 52,333,245
High Income Portfolio:
Annuity contracts in accumulation .................... 16,911,658
Overseas Portfolio:
Annuity contracts in accumulation .................... 5,386,624
Fidelity Investments Variable Insurance Product Fund II:
Asset Manager Portfolio:
Annuity contracts in accumulation .................... 8,143,844
Contrafund Portfolio:
Annuity contracts in accumulation .................... 48,764,135
Index 500 Portfolio:
Annuity contracts in accumulation .................... 56,791,976
Investment Grade Bond Portfolio:
Annuity contracts in accumulation .................... 982,952
Janus Aspen Series:
Aggressive Growth Portfolio:
Annuity contracts in accumulation .................... 39,024,034
Balanced Portfolio:
Annuity contracts in accumulation .................... 26,585,922
Flexible Income Portfolio:
Annuity contracts in accumulation .................... 4,786,150
Growth Portfolio:
Annuity contracts in accumulation .................... 37,367,199
Annuity contracts in payment period .................. 59,376
Worldwide Growth Portfolio:
Annuity contracts in accumulation .................... 111,093,250
Annuity contracts in payment period .................. 55,933
Lexington Emerging Markets Fund:
Annuity contracts in accumulation .................... 887,346
Lexington Natural Resources Trust Fund:
Annuity contracts in accumulation .................... 694,528
MFS Funds:
Global Government Series:
Annuity contracts in accumulation .................... 389,484
</TABLE>
<PAGE>
Variable Annuity Account I
Statement of Assets and Liabilities - December 31, 1999 (continued):
<TABLE>
<S> <C>
Total Return Series:
Annuity contracts in accumulation ........... $ 15,447,502
Oppenheimer Funds:
Aggressive Growth Fund/VA:
Annuity contracts in accumulation ........... 7,755,576
Global Securities Fund/VA:
Annuity contracts in accumulation ........... 2,916,182
Main Street Growth & Income Fund/VA:
Annuity contracts in accumulation ........... 13,506,554
Strategic Bond Fund/VA:
Annuity contracts in accumulation ........... 4,251,662
Portfolio Partners, Inc. (PPI):
PPI MFS Emerging Equities Portfolio:
Annuity contracts in accumulation ........... 51,452,372
Annuity contracts in payment period ......... 12,377
PPI MFS Research Growth Portfolio:
Annuity contracts in accumulation ........... 22,406,513
PPI MFS Value Equity Portfolio:
Annuity contracts in accumulation ........... 11,377,949
Annuity contracts in payment period ......... 76,981
PPI Scudder International Growth Portfolio:
Annuity contracts in accumulation ........... 2,190,372
Annuity contracts in payment period ......... 40,592
PPI T. Rowe Price Growth Equity Portfolio:
Annuity contracts in accumulation ........... 32,676,922
Annuity contracts in payment period ......... 12,635
--------------
$1,108,440,636
==============
</TABLE>
See Notes to Financial Statements
<PAGE>
Variable Annuity Account I
STATEMENT OF OPERATIONS
<TABLE>
<CAPTION>
Year Ended
December 31, 1999
------------------
INVESTMENT INCOME:
<S> <C>
Income: (Notes 1, 3 and 5)
Dividends ................................................... $ 48,743,207
Expenses: (Notes 2 and 5)
Valuation period deductions ................................. (13,474,655)
-------------
Net investment income ........................................ $ 35,268,552
-------------
NET REALIZED AND UNREALIZED GAIN
ON INVESTMENTS:
Net realized gain on sales of investments: (Notes 1, 4 and 5)
Proceeds from sales ......................................... $ 725,147,683
Cost of investments sold .................................... 655,820,063
-------------
Net realized gain on investments ........................... 69,327,620
-------------
Net unrealized gain on investments: (Note 5)
Beginning of year ........................................... 129,005,870
End of year ................................................. 256,846,161
-------------
Net change in unrealized gain on investments ............... 127,840,291
-------------
Net realized and unrealized gain on investments .............. 197,167,911
-------------
Net increase in net assets resulting from operations ......... $ 232,436,463
=============
</TABLE>
See Notes to Financial Statements
================================================================================
STATEMENTS OF CHANGES IN NET ASSETS
<TABLE>
<CAPTION>
Year Ended December 31,
1999 1998
---- ----
FROM OPERATIONS:
<S> <C> <C>
Net investment income ................................................... $ 35,268,552 $ 26,010,214
Net realized gain on investments ........................................ 69,327,620 25,517,782
Net change in unrealized gain on investments ............................ 127,840,291 66,477,702
-------------- -------------
Net increase in net assets resulting from operations .................... 232,436,463 118,005,698
-------------- -------------
FROM UNIT TRANSACTIONS:
Variable annuity contract purchase payments ............................. 20,077,461 168,355,044
Transfer from the Company for mortality guarantee adjustments ........... (11,560) 0
Transfers from the Company's fixed account options ...................... 25,886,558 75,081,637
Redemptions by contract holders ......................................... (61,593,899) (31,854,396)
Annuity Payments ........................................................ (206,606) (83,247)
Other ................................................................... 347,722 1,337,373
-------------- -------------
Net (decrease) increase in net assets from unit transactions (Note 6) .. (15,500,324) 212,836,411
-------------- -------------
Change in net assets .................................................... 216,936,139 330,842,109
NET ASSETS:
Beginning of year ....................................................... 891,504,497 560,662,388
-------------- -------------
End of year ............................................................. $1,108,440,636 $ 891,504,497
============== =============
</TABLE>
See Notes to Financial Statements
<PAGE>
Variable Annuity Account I
Condensed Financial Information - Year Ended December 31, 1999
<TABLE>
<CAPTION>
- --------------------------------------------------------------------------------------------------------------------------------
Value
Per Unit Increase (Decrease) Units
-------------------------- in Value of Outstanding Reserves
Beginning End of Accumulation at End at End
of Year Year Unit of Year of Year
----------- ------------ --------------------- --------------- -------------
<S> <C> <C> <C> <C> <C>
Aetna Ascent VP:
AICA I $ 15.409 $ 17.374 12.75% 74,094.2 $ 1,287,288
AICA II 10.059 11.359 12.92% 16,115.9 183,060
- --------------------------------------------------------------------------------------------------------------------------------
Aetna Balanced VP, Inc.:
AICA I 16.405 18.376 12.01% 387,565.2 7,121,786
AICA II 11.312 12.690 12.18% 122,859.8 1,559,090
- --------------------------------------------------------------------------------------------------------------------------------
Aetna Bond VP:
AICA I 11.943 11.689 (2.13%) 516,265.9 6,034,654
AICA II 10.606 10.396 (1.98%) 284,699.5 2,959,659
- --------------------------------------------------------------------------------------------------------------------------------
Aetna Crossroads VP:
AICA I 14.676 15.949 8.67% 42,322.1 674,993
AICA II 10.270 11.177 8.83% 9,394.2 105,002
- --------------------------------------------------------------------------------------------------------------------------------
Aetna Growth and Income VP:
AICA I 18.461 21.374 15.78% 1,172,636.9 25,064,085
AICA II 11.063 12.827 15.95% 474,578.0 6,087,613
Annuity contracts in payment period 179,412
- --------------------------------------------------------------------------------------------------------------------------------
Aetna Growth VP:
AICA I 17.862 23.771 33.08% 156,242.2 3,714,086
AICA II 12.977 17.296 33.28% 74,875.1 1,295,032
Annuity contracts in payment period 56,593
- --------------------------------------------------------------------------------------------------------------------------------
Aetna Index Plus Large Cap VP:
AICA I 18.704 22.923 22.56% 536,794.9 12,304,926
AICA II 12.535 15.387 22.75% 208,799.8 3,212,766
- --------------------------------------------------------------------------------------------------------------------------------
Aetna International VP:
AICA I 9.754 14.554 49.21% 12,771.0 185,874
AICA II 9.764 14.592 49.45% 2,511.0 36,640
- --------------------------------------------------------------------------------------------------------------------------------
Aetna Legacy VP:
AICA I 13.825 14.599 5.60% 94,121.1 1,374,066
AICA II 10.380 10.978 5.76% 29,161.9 320,127
Annuity contracts in payment period 142,101
- --------------------------------------------------------------------------------------------------------------------------------
Aetna Money Market VP:
AICA I 11.335 11.744 3.61% 2,775,865.5 32,598,385
AICA II 10.371 10.762 3.77% 370,653.2 3,988,791
- --------------------------------------------------------------------------------------------------------------------------------
Aetna Real Estate Securities VP:
AICA I 8.863 8.370 (5.56%) 4,887.5 40,910
AICA II 8.872 8.392 (5.41%) 2,919.9 24,503
- --------------------------------------------------------------------------------------------------------------------------------
Aetna Small Company VP:
AICA I 13.595 17.540 29.02% 136,570.6 2,395,454
AICA II 9.724 12.565 29.22% 80,257.6 1,008,435
- --------------------------------------------------------------------------------------------------------------------------------
Aetna Value Opportunity VP:
AICA I 15.985 18.847 17.90% 150,268.2 2,832,166
AICA II 11.644 13.750 18.09% 77,072.9 1,059,749
- --------------------------------------------------------------------------------------------------------------------------------
Alger American Funds:
Balanced Portfolio:
AICA I 16.412 20.910 27.41% 80,308.9 1,679,252
- --------------------------------------------------------------------------------------------------------------------------------
Income and Growth Portfolio:
AICA I 19.880 27.923 40.46% 174,676.8 4,877,501
- --------------------------------------------------------------------------------------------------------------------------------
Leveraged AllCap Portfolio:
AICA I 20.547 36.075 75.57% 157,721.1 5,689,755
- --------------------------------------------------------------------------------------------------------------------------------
</TABLE>
<PAGE>
Variable Annuity Account I
Condensed Financial Information - Year Ended December 31, 1999 (continued):
<TABLE>
<CAPTION>
- -------------------------------------------------------------------------------
Value
Per Unit
--------
Beginning End of
of Year Year
- -------------------------------------------------------------------------------
<S> <C> <C>
American Century VP Funds:
Balanced Fund:
AICA I $ 14.709 $ 15.962
- -------------------------------------------------------------------------------
International Fund:
AICA I 15.853 25.642
- -------------------------------------------------------------------------------
Calvert Social Balanced Portfolio:
AICA I 11.437 12.656
AICA II 11.208 12.421
- -------------------------------------------------------------------------------
Federated Insurance Series:
American Leaders Fund II:
AICA I 20.639 21.708
Annuity contracts in payment period
- -------------------------------------------------------------------------------
Equity Income Fund II:
AICA I 14.022 16.369
Annuity contracts in payment period
- -------------------------------------------------------------------------------
Growth Strategies Fund II:
AICA I 18.269 31.060
- -------------------------------------------------------------------------------
High Income Bond Fund II:
AICA I 13.547 13.666
Annuity contracts in payment period
- -------------------------------------------------------------------------------
International Equity Fund II:
AICA I 14.682 26.765
Annuity contracts in payment period
- -------------------------------------------------------------------------------
Prime Money Fund II:
AICA I 11.253 11.610
- -------------------------------------------------------------------------------
U.S. Government Securities Fund II:
AICA I 12.284 12.040
- -------------------------------------------------------------------------------
Utility Fund II:
AICA I 17.341 17.388
Annuity contracts in payment period
- -------------------------------------------------------------------------------
Fidelity Investments Variable Insurance Product Fund:
Equity-Income Portfolio:
AICA I 16.482 17.279
AICA II 10.806 11.346
- -------------------------------------------------------------------------------
Growth Portfolio:
AICA I 18.320 24.826
AICA II 13.253 17.986
- -------------------------------------------------------------------------------
High Income Portfolio:
AICA I 12.488 13.317
AICA II 9.222 9.849
- -------------------------------------------------------------------------------
Overseas Portfolio:
AICA I 13.997 19.684
AICA II 10.487 14.771
- -------------------------------------------------------------------------------
Fidelity Investments Variable Insurance Product Fund II:
Asset Manager Portfolio:
AICA I 15.754 17.257
AICA II 11.165 12.248
- -------------------------------------------------------------------------------
Contrafund Portfolio:
AICA I 18.970 23.242
AICA II 12.537 15.383
- -------------------------------------------------------------------------------
<CAPTION>
Increase (Decrease) Units
in Value of Outstanding Reserves
Accumulation at End at End
Unit of Year of Year
- ---------------------------------------------------------------------------------------------------------------
<S> <C> <C> <C>
American Century VP Funds:
Balanced Fund:
AICA I 8.52% 27,642.4 $ 441,215
- ---------------------------------------------------------------------------------------------------------------
International Fund:
AICA I 61.75% 98,174.8 2,517,425
- ---------------------------------------------------------------------------------------------------------------
Calvert Social Balanced Portfolio:
AICA I 10.66% 12,297.6 155,641
AICA II 10.82% 12,257.1 152,247
- ---------------------------------------------------------------------------------------------------------------
Federated Insurance Series:
American Leaders Fund II:
AICA I 5.18% 6,747,543.1 146,474,824
Annuity contracts in payment period 302,862
- ---------------------------------------------------------------------------------------------------------------
Equity Income Fund II:
AICA I 16.74% 1,955,219.8 32,004,404
Annuity contracts in payment period 111,185
- ---------------------------------------------------------------------------------------------------------------
Growth Strategies Fund II:
AICA I 70.01% 1,932,504.3 60,023,050
- ---------------------------------------------------------------------------------------------------------------
High Income Bond Fund II:
AICA I 0.88% 1,982,372.3 27,090,172
Annuity contracts in payment period 18,791
- ---------------------------------------------------------------------------------------------------------------
International Equity Fund II:
AICA I 82.30% 1,773,642.3 47,471,626
Annuity contracts in payment period 37,307
- ---------------------------------------------------------------------------------------------------------------
Prime Money Fund II:
AICA I 3.17% 447,801.6 5,198,805
- ---------------------------------------------------------------------------------------------------------------
U.S. Government Securities Fund II:
AICA I (1.99%) 488,753.9 5,884,407
- ---------------------------------------------------------------------------------------------------------------
Utility Fund II:
AICA I 0.27% 1,413,708.9 24,581,727
Annuity contracts in payment period 79,346
- ---------------------------------------------------------------------------------------------------------------
Fidelity Investments Variable Insurance Product Fund:
Equity-Income Portfolio:
AICA I 4.84% 2,597,042.4 44,875,527
AICA II 5.00% 576,813.0 6,544,476
- ---------------------------------------------------------------------------------------------------------------
Growth Portfolio:
AICA I 35.51% 1,858,231.6 46,132,878
AICA II 35.71% 344,724.1 6,200,367
- ---------------------------------------------------------------------------------------------------------------
High Income Portfolio:
AICA I 6.64% 1,086,377.4 14,467,135
AICA II 6.80% 248,198.1 2,444,523
- ---------------------------------------------------------------------------------------------------------------
Overseas Portfolio:
AICA I 40.63% 230,681.4 4,540,849
AICA II 40.85% 57,260.2 845,775
- ---------------------------------------------------------------------------------------------------------------
Fidelity Investments Variable Insurance Product Fund II:
Asset Manager Portfolio:
AICA I 9.54% 388,585.3 6,705,729
AICA II 9.70% 117,415.2 1,438,115
- ---------------------------------------------------------------------------------------------------------------
Contrafund Portfolio:
AICA I 22.52% 1,826,355.7 42,447,250
AICA II 22.70% 410,630.3 6,316,885
- ---------------------------------------------------------------------------------------------------------------
</TABLE>
<PAGE>
Variable Annuity Account I
Condensed Financial Information - Year Ended December 31, 1999 (continued):
<TABLE>
<CAPTION>
- ---------------------------------------------------------------------------------------------------------------------------
Value
Per Unit Increase (Decrease) Units
------------------------ in Value of Outstanding Reserves
Beginning End of Accumulation at End at End
of Year Year Unit of Year of Year
- ---------------------------------------------------------------------------------------------------------------------------
<S> <C> <C> <C> <C> <C>
Index 500 Portfolio:
AICA I $ 21.063 $ 25.027 18.82% 1,838,818.7 $ 46,020,760
AICA II 12.259 14.589 19.01% 738,297.6 10,771,216
- ---------------------------------------------------------------------------------------------------------------------------
Investment Grade Bond Portfolio:
AICA I 12.066 11.772 ( 2.44%) 83,500.0 982,952
- ---------------------------------------------------------------------------------------------------------------------------
Janus Aspen Series:
Aggressive Growth Portfolio:
AICA I 16.729 37.181 122.25% 950,030.0 35,323,066
AICA II 13.003 28.943 122.59% 127,870.3 3,700,968
- ---------------------------------------------------------------------------------------------------------------------------
Balanced Portfolio:
AICA I 19.189 23.983 24.98% 893,140.4 21,419,977
AICA II 12.689 15.883 25.17% 325,243.4 5,165,945
- ---------------------------------------------------------------------------------------------------------------------------
Flexible Income Portfolio:
AICA I 13.202 13.226 0.18% 254,250.2 3,362,650
AICA II 10.599 10.634 0.33% 133,859.8 1,423,500
- ---------------------------------------------------------------------------------------------------------------------------
Growth Portfolio:
AICA I 19.704 27.974 41.97% 1,130,099.4 31,613,802
AICA II 12.784 18.177 42.19% 316,527.3 5,753,397
Annuity contracts in payment period 59,376
- ---------------------------------------------------------------------------------------------------------------------------
Worldwide Growth Portfolio:
AICA I 20.506 33.250 62.15% 3,017,261.9 100,324,119
AICA II 11.960 19.422 62.39% 554,474.5 10,769,131
Annuity contracts in payment period 55,933
- ---------------------------------------------------------------------------------------------------------------------------
Lexington Emerging Markets Fund:
AICA I 6.399 14.331 123.96% 61,916.4 887,346
- ---------------------------------------------------------------------------------------------------------------------------
Lexington Natural Resources Trust Fund:
AICA I 11.047 12.428 12.50% 55,886.3 694,528
- ---------------------------------------------------------------------------------------------------------------------------
MFS Funds:
Global Government Series:
AICA I 10.860 10.440 ( 3.87%) 36,449.7 380,530
AICA II 10.514 10.123 ( 3.72%) 884.5 8,954
- ---------------------------------------------------------------------------------------------------------------------------
Total Return Series:
AICA I 14.432 14.669 1.64% 833,536.8 12,227,208
AICA II 10.942 11.139 1.80% 289,103.2 3,220,294
- ---------------------------------------------------------------------------------------------------------------------------
Oppenheimer Funds:
Aggressive Growth Fund/VA:
AICA I 13.520 24.477 81.04% 224,632.4 5,498,223
AICA II 10.886 19.738 81.32% 114,364.2 2,257,353
- ---------------------------------------------------------------------------------------------------------------------------
Global Securities Fund/VA:
AICA I 12.982 20.287 56.27% 115,001.5 2,333,056
AICA II 10.949 17.136 56.51% 34,029.7 583,126
- ---------------------------------------------------------------------------------------------------------------------------
Main Street Growth & Income Fund/VA:
AICA I 13.199 15.839 20.00% 650,435.0 10,302,541
AICA II 10.111 12.153 20.20% 263,646.0 3,204,013
- ---------------------------------------------------------------------------------------------------------------------------
Strategic Bond Fund/VA:
AICA I 10.921 11.072 1.38% 285,712.3 3,163,507
AICA II 10.037 10.191 1.53% 106,774.1 1,088,155
- ---------------------------------------------------------------------------------------------------------------------------
Portfolio Partners, Inc. (PPI):
PPI MFS Emerging Equities Portfolio:
AICA I 13.494 20.074 48.76% 2,336,393.4 46,901,720
AICA II 11.797 17.577 49.00% 258,891.9 4,550,652
Annuity contracts in payment period 12,377
- ---------------------------------------------------------------------------------------------------------------------------
</TABLE>
<PAGE>
Variable Annuity Account I
Condensed Financial Information - Year Ended December 31, 1999 (continued):
<TABLE>
<CAPTION>
- ----------------------------------------------------------------------
Value
Per Unit
--------
Beginning End of
of Year Year
- ----------------------------------------------------------------------
<S> <C> <C>
PPI MFS Research Growth Portfolio:
AICA I $ 10.656 $ 13.032
AICA II 11.634 14.250
- ----------------------------------------------------------------------
PPI MFS Value Equity Portfolio:
AICA I 12.686 18.612
AICA II 12.005 17.640
Annuity contracts in payment period
- ----------------------------------------------------------------------
PPI Scudder International Growth Portfolio:
AICA I 11.640 18.181
AICA II 10.995 17.201
Annuity contracts in payment period
- ----------------------------------------------------------------------
PPI T. Rowe Price Growth Equity Portfolio:
AICA I 17.406 20.993
AICA II 12.103 14.620
Annuity contracts in payment period
- ----------------------------------------------------------------------
Total
======================================================================
<CAPTION>
Increase (Decrease) Units
in Value of Outstanding Reserves
Accumulation at End at End
Unit of Year of Year
- --------------------------------------------------------------------------------------------------------
<S> <C> <C> <C> <C>
PPI MFS Research Growth Portfolio:
AICA I 22.30% 1,550,655.9 $ 20,207,838
AICA II 22.49% 154,289.8 2,198,675
- --------------------------------------------------------------------------------------------------------
PPI MFS Value Equity Portfolio:
AICA I 46.71% 473,281.8 8,808,785
AICA II 46.94% 145,648.0 2,569,164
Annuity contracts in payment period 76,981
- --------------------------------------------------------------------------------------------------------
PPI Scudder International Growth Portfolio:
AICA I 56.19% 87,649.8 1,593,541
AICA II 56.44% 34,698.3 596,831
Annuity contracts in payment period 40,592
- --------------------------------------------------------------------------------------------------------
PPI T. Rowe Price Growth Equity Portfolio:
AICA I 20.61% 1,472,257.8 30,907,801
AICA II 20.80% 121,007.6 1,769,121
Annuity contracts in payment period 12,635
- --------------------------------------------------------------------------------------------------------
Total $1,108,440,636
========================================================================================================
</TABLE>
<TABLE>
<S> <C>
AICA I Certain individual and group contracts issued as non-qualified deferred annuity contracts or Individual Retirement
Annuity contracts issued since June 28, 1995.
AICA II Certain individual and group contracts issued as non-qualified deferred annuity contracts or Individual Retirement
Annuity contracts issued since May 1, 1998.
</TABLE>
<PAGE>
Variable Annuity Account I
Notes to Financial Statements - December 31, 1999
1. Summary of Significant Accounting Policies
Variable Annuity Account I (the "Account") is a separate account
established by Aetna Insurance Company of America (the "Company") and is
registered under the Investment Company Act of 1940 as a unit investment
trust. The Account is sold exclusively for use with variable annuity
contracts that may be entitled to tax-deferred treatment under specific
sections of the Internal Revenue Code of 1986, as amended. The Account
commenced operations on June, 1995.
The preparation of financial statements in conformity with generally
accepted accounting principles requires management to make estimates and
assumptions that affect amounts reported therein. Actual results could
differ from these estimates.
a. Valuation of Investments
Investments in the following Funds are stated at the closing net asset
value per share as determined by each Fund on December 31, 1999:
Aetna Ascent VP
Aetna Balanced VP, Inc.
Aetna Bond VP
Aetna Crossroads VP
Aetna Growth and Income VP
Aetna Growth VP
Aetna Index Plus Large Cap VP
Aetna International VP
Aetna Legacy VP
Aetna Money Market VP
Aetna Real Estate Securities VP
Aetna Small Company VP
Aetna Value Opportunity VP
Alger American Funds:
o Balanced Portfolio
o Income and Growth Portfolio
o Leveraged AllCap Portfolio
American Century VP Funds:
o Balanced Fund
o International Fund
Calvert Social Balanced Portfolio
Federated Insurance Series:
o American Leaders Fund II
o Equity Income Fund II
o Growth Strategies Fund II
o High Income Bond Fund II
o International Equity Fund II
o Prime Money Fund II
o U.S. Government Securities Fund II
o Utility Fund II
Fidelity Investments Variable Insurance Products Fund:
o Equity-Income Portfolio
o Growth Portfolio
o High Income Portfolio
o Overseas Portfolio
Fidelity Investments Variable Insurance Products Fund II:
o Asset Manager Portfolio
o Contrafund Portfolio
o Index 500 Portfolio
o Investment Grade Bond Portfolio
Janus Aspen Series:
o Aggressive Growth Portfolio
o Balanced Portfolio
o Flexible Income Portfolio
o Growth Portfolio
o Worldwide Growth Portfolio
Lexington Emerging Markets Fund
Lexington Natural Resources Trust Fund
MFS Funds:
o Global Government Series
o Total Return Series
Oppenheimer Funds:
o Aggressive Growth Fund/VA
o Global Securities Fund/VA
o Main Street Growth & Income Fund/VA
o Strategic Bond Fund/VA
Portfolio Partners, Inc. (PPI):
o PPI MFS Emerging Equities Portfolio
o PPI MFS Research Growth Portfolio
o PPI MFS Value Equity Portfolio
o PPI Scudder International Growth Portfolio
o PPI T. Rowe Price Growth Equity Portfolio
b. Other
Investment transactions are accounted for on a trade date basis and
dividend income is recorded on the ex-dividend date. The cost of
investments sold is determined by specific identification.
c. Federal Income Taxes
The operations of the Account form a part of, and are taxed with, the total
operations of the Company which is taxed as a life insurance company under
the Internal Revenue Code of 1986, as amended.
<PAGE>
Variable Annuity Account I
Notes to Financial Statements - December 31, 1999 (continued):
d. Annuity Reserves
Annuity reserves held in the Account are computed for currently payable
contracts according to the 83a and 83GAM tables using various assumed
interest rates. Mortality experience is monitored by the Company. Charges
to annuity reserves for mortality experience are reimbursed to the Company
if the reserves required are less than originally estimated. If additional
reserves are required, the Company reimburses the Account.
2. Valuation Period Deductions
Deductions by the Account for mortality and expense risk charges are made
in accordance with the terms of the contracts and are paid to the Company.
3. Dividend Income
On an annual basis, the Funds distribute substantially all of their taxable
income and realized capital gains to their shareholders. Distributions to
the Account are automatically reinvested in shares of the Funds. The
Account's proportionate share of each Fund's undistributed net investment
income (distributions in excess of net investment income) and accumulated
net realized gain (loss) on investments is included in net unrealized gain
(loss) in the Statement of Operations.
4. Purchases and Sales of Investments
The cost of purchases and proceeds from sales of investments other than
short-term investments for the year ended December 31, 1999 aggregated
$744,897,637 and $725,147,683.
<PAGE>
Variable Annuity Account I
Notes to Financial Statements - December 31, 1999 (continued):
5. Supplemental Information to Statement of Operations
<TABLE>
<CAPTION>
- ----------------------------------------------------------------------------------------------
Year Ended December 31, 1999
Valuation Proceeds Cost of
Period from Investments
Dividends Deductions Sales Sold
- ----------------------------------------------------------------------------------------------
<S> <C> <C> <C> <C>
Aetna Ascent VP:
Annuity contracts in accumulation $98,284 ($19,735) $288,231 $299,859
- ----------------------------------------------------------------------------------------------
Aetna Balanced VP, Inc.:
Annuity contracts in accumulation 1,102,491 (112,293) 1,339,384 1,334,254
- ----------------------------------------------------------------------------------------------
Aetna Bond VP:
Annuity contracts in accumulation 565,203 (124,557) 4,914,083 5,033,164
- ----------------------------------------------------------------------------------------------
Aetna Crossroads VP:
Annuity contracts in accumulation 46,967 (11,032) 151,762 147,343
- ----------------------------------------------------------------------------------------------
Aetna Growth and Income VP:
Annuity contracts in accumulation 5,394,486 (397,991) 71,789,245 72,446,745
- ----------------------------------------------------------------------------------------------
Aetna Growth VP:
Annuity contracts in accumulation 240,808 (73,267) 5,576,554 4,492,326
- ----------------------------------------------------------------------------------------------
Aetna Index Plus Large Cap VP:
Annuity contracts in accumulation 687,527 (212,657) 13,983,564 11,767,428
- ----------------------------------------------------------------------------------------------
Aetna International VP:
Annuity contracts in accumulation 21,556 (2,872) 214,026 179,764
- ----------------------------------------------------------------------------------------------
Aetna Legacy VP:
Annuity contracts in accumulation 103,555 (23,286) 388,909 368,608
- ----------------------------------------------------------------------------------------------
Aetna Money Market VP:
Annuity contracts in accumulation 1,245,921 (452,053) 210,012,432 209,644,140
- ----------------------------------------------------------------------------------------------
Aetna Real Estate Securities VP:
Annuity contracts in accumulation 3,335 (1,811) 691,011 670,678
- ----------------------------------------------------------------------------------------------
Aetna Small Company VP:
Annuity contracts in accumulation 41,212 (44,330) 3,822,179 3,235,119
- ----------------------------------------------------------------------------------------------
Aetna Value Opportunity VP:
Annuity contracts in accumulation 182,092 (58,833) 5,626,230 4,830,502
- ----------------------------------------------------------------------------------------------
Alger American Funds:
Balanced Portfolio:
Annuity contracts in accumulation 104,509 (21,150) 117,830 76,479
- ----------------------------------------------------------------------------------------------
Income and Growth Portfolio:
Annuity contracts in accumulation 230,961 (57,179) 741,176 525,475
- ----------------------------------------------------------------------------------------------
Leveraged AllCap Portfolio:
Annuity contracts in accumulation 276,111 (60,243) 617,519 281,778
- ----------------------------------------------------------------------------------------------
American Century VP Funds:
Balanced Fund:
Annuity contracts in accumulation 65,109 (6,375) 163,077 155,590
- ----------------------------------------------------------------------------------------------
International Fund:
Annuity contracts in accumulation 0 (26,431) 358,184 261,500
- ----------------------------------------------------------------------------------------------
Calvert Social Balanced Portfolio:
Annuity contracts in accumulation 29,419 (3,758) 22,965 22,532
- ----------------------------------------------------------------------------------------------
<CAPTION>
- --------------------------------------------------------------------------------------------------------------------------
Year Ended December 31, 1999 Net Unrealized Net Net
Net Gain (Loss) Change in Increase (Decrease)
Realized ----------- Unrealized in Net Assets
Gain (Loss) Beginning End Gain (Loss) Resulting from
on Investments of Year of Year on Investments Operations
- --------------------------------------------------------------------------------------------------------------------------
<S> <C> <C> <C> <C> <C>
Aetna Ascent VP:
Annuity contracts in accumulation ($11,628) ($75,022) $28,369 $103,391 $170,312
- --------------------------------------------------------------------------------------------------------------------------
Aetna Balanced VP, Inc.:
Annuity contracts in accumulation 5,130 (36,287) (87,098) (50,811) 944,517
- --------------------------------------------------------------------------------------------------------------------------
Aetna Bond VP:
Annuity contracts in accumulation (119,081) (118,794) (640,184) (521,390) (199,825)
- --------------------------------------------------------------------------------------------------------------------------
Aetna Crossroads VP:
Annuity contracts in accumulation 4,419 (178) 24,615 24,793 65,147
- --------------------------------------------------------------------------------------------------------------------------
Aetna Growth and Income VP:
Annuity contracts in accumulation (657,500) (2,149,960) (2,282,754) (132,794) 4,206,201
- --------------------------------------------------------------------------------------------------------------------------
Aetna Growth VP:
Annuity contracts in accumulation 1,084,228 784,306 945,433 161,127 1,412,896
- --------------------------------------------------------------------------------------------------------------------------
Aetna Index Plus Large Cap VP:
Annuity contracts in accumulation 2,216,136 1,257,214 1,616,580 359,366 3,050,372
- --------------------------------------------------------------------------------------------------------------------------
Aetna International VP:
Annuity contracts in accumulation 34,262 2,750 37,455 34,705 87,651
- --------------------------------------------------------------------------------------------------------------------------
Aetna Legacy VP:
Annuity contracts in accumulation 20,301 (6,294) (8,602) (2,308) 98,262
- --------------------------------------------------------------------------------------------------------------------------
Aetna Money Market VP:
Annuity contracts in accumulation 368,292 215,976 228,573 12,597 1,174,757
- --------------------------------------------------------------------------------------------------------------------------
Aetna Real Estate Securities VP:
Annuity contracts in accumulation 20,333 (4,325) (8,166) (3,841) 18,016
- --------------------------------------------------------------------------------------------------------------------------
Aetna Small Company VP:
Annuity contracts in accumulation 587,060 487,449 681,270 193,821 777,763
- --------------------------------------------------------------------------------------------------------------------------
Aetna Value Opportunity VP:
Annuity contracts in accumulation 795,728 623,324 314,342 (308,982) 610,005
- --------------------------------------------------------------------------------------------------------------------------
Alger American Funds:
Balanced Portfolio:
Annuity contracts in accumulation 41,351 303,599 548,231 244,632 369,342
- --------------------------------------------------------------------------------------------------------------------------
Income and Growth Portfolio:
Annuity contracts in accumulation 215,701 776,309 1,851,167 1,074,858 1,464,341
- --------------------------------------------------------------------------------------------------------------------------
Leveraged AllCap Portfolio:
Annuity contracts in accumulation 335,741 1,364,191 3,354,956 1,990,765 2,542,374
- --------------------------------------------------------------------------------------------------------------------------
American Century VP Funds:
Balanced Fund:
Annuity contracts in accumulation 7,487 41,409 9,649 (31,760) 34,461
- --------------------------------------------------------------------------------------------------------------------------
International Fund:
Annuity contracts in accumulation 96,684 228,000 1,153,870 925,870 996,123
- --------------------------------------------------------------------------------------------------------------------------
Calvert Social Balanced Portfolio:
Annuity contracts in accumulation 433 5,430 8,053 2,623 28,717
- --------------------------------------------------------------------------------------------------------------------------
</TABLE>
<PAGE>
Variable Annuity Account I
Notes to Financial Statements - December 31, 1999 (continued):
5. Supplemental Information to Statement of Operations (continued):
<TABLE>
<CAPTION>
- --------------------------------------------------------------------------------------------------------
Year Ended December 31, 1999
Valuation Proceeds
Period from
Dividends Deductions Sales
- --------------------------------------------------------------------------------------------------------
<S> <C> <C> <C>
Federated Insurance Series:
American Leaders Fund II:
Annuity contracts in accumulation $15,147,294 ($ 2,131,371) $ 13,419,022
- --------------------------------------------------------------------------------------------------------
Equity Income Fund II:
Annuity contracts in accumulation 814,064 (421,048) 3,515,537
- --------------------------------------------------------------------------------------------------------
Growth Strategies Fund II:
Annuity contracts in accumulation 0 (596,338) 3,338,262
- --------------------------------------------------------------------------------------------------------
High Income Bond Fund II:
Annuity contracts in accumulation 2,476,236 (408,532) 4,570,928
- --------------------------------------------------------------------------------------------------------
International Equity Fund II:
Annuity contracts in accumulation 798,535 (434,267) 2,883,792
- --------------------------------------------------------------------------------------------------------
Prime Money Fund II:
Annuity contracts in accumulation 245,672 (76,271) 5,000,204
- --------------------------------------------------------------------------------------------------------
U.S. Government Securities Fund II:
Annuity contracts in accumulation 317,095 (90,658) 1,654,760
- --------------------------------------------------------------------------------------------------------
Utility Fund II:
Annuity contracts in accumulation 1,914,787 (359,395) 2,936,845
- --------------------------------------------------------------------------------------------------------
Fidelity Investments Variable Insurance Products Fund:
Equity-Income Portfolio:
Annuity contracts in accumulation 2,429,608 (751,656) 22,950,321
- --------------------------------------------------------------------------------------------------------
Growth Portfolio:
Annuity contracts in accumulation 4,436,638 (616,924) 6,409,422
- --------------------------------------------------------------------------------------------------------
High Income Portfolio:
Annuity contracts in accumulation 1,667,722 (250,431) 4,415,632
- --------------------------------------------------------------------------------------------------------
Overseas Portfolio:
Annuity contracts in accumulation 165,653 (61,642) 23,789,913
- --------------------------------------------------------------------------------------------------------
Fidelity Investments Variable Insurance Product Fund II:
Asset Manager Portfolio:
Annuity contracts in accumulation 576,382 (109,793) 1,653,501
- --------------------------------------------------------------------------------------------------------
Contrafund Portfolio:
Annuity contracts in accumulation 1,641,692 (601,503) 7,124,702
- --------------------------------------------------------------------------------------------------------
Index 500 Portfolio:
Annuity contracts in accumulation 792,073 (720,850) 25,115,115
- --------------------------------------------------------------------------------------------------------
Investment Grade Bond Portfolio:
Annuity contracts in accumulation 62,932 (16,016) 225,340
- --------------------------------------------------------------------------------------------------------
Janus Aspen Series:
Aggressive Growth Portfolio:
Annuity contracts in accumulation 745,754 (294,919) 107,667,722
- --------------------------------------------------------------------------------------------------------
Balanced Portfolio:
Annuity contracts in accumulation 539,596 (329,857) 6,639,707
- --------------------------------------------------------------------------------------------------------
Flexible Income Portfolio:
Annuity contracts in accumulation 339,434 (67,386) 1,183,274
- --------------------------------------------------------------------------------------------------------
<CAPTION>
- ------------------------------------------------------------------------------------------------------------------------
Year Ended December 31, 1999
Net Unrealized
Net Gain (Loss)
Cost of Realized -----------
Investments Gain (Loss) Beginning End
Sold on Investments of Year of Year
- ------------------------------------------------------------------------------------------------------------------------
<S> <C> <C> <C> <C>
Federated Insurance Series:
American Leaders Fund II:
Annuity contracts in accumulation $ 7,814,229 $5,604,793 $ 38,810,192 $ 27,876,834
- ------------------------------------------------------------------------------------------------------------------------
Equity Income Fund II:
Annuity contracts in accumulation 2,542,787 972,750 3,591,859 6,913,381
- ------------------------------------------------------------------------------------------------------------------------
Growth Strategies Fund II:
Annuity contracts in accumulation 1,771,526 1,566,736 7,028,743 30,773,893
- ------------------------------------------------------------------------------------------------------------------------
High Income Bond Fund II:
Annuity contracts in accumulation 4,349,704 221,224 1,387,517 (643,429)
- ------------------------------------------------------------------------------------------------------------------------
International Equity Fund II:
Annuity contracts in accumulation 1,785,573 1,098,219 6,385,323 26,525,301
- ------------------------------------------------------------------------------------------------------------------------
Prime Money Fund II:
Annuity contracts in accumulation 4,998,888 1,316 1,316 0
- ------------------------------------------------------------------------------------------------------------------------
U.S. Government Securities Fund II:
Annuity contracts in accumulation 1,548,456 106,304 441,091 (18,885)
- ------------------------------------------------------------------------------------------------------------------------
Utility Fund II:
Annuity contracts in accumulation 2,166,729 770,116 5,787,739 3,510,226
- ------------------------------------------------------------------------------------------------------------------------
Fidelity Investments Variable Insurance Products Fund:
Equity-Income Portfolio:
Annuity contracts in accumulation 19,463,453 3,486,868 3,977,202 1,135,690
- ------------------------------------------------------------------------------------------------------------------------
Growth Portfolio:
Annuity contracts in accumulation 4,797,592 1,611,830 7,153,104 15,537,760
- ------------------------------------------------------------------------------------------------------------------------
High Income Portfolio:
Annuity contracts in accumulation 5,346,224 (930,592) (1,709,684) (1,049,699)
- ------------------------------------------------------------------------------------------------------------------------
Overseas Portfolio:
Annuity contracts in accumulation 23,405,277 384,636 131,756 1,357,297
- ------------------------------------------------------------------------------------------------------------------------
Fidelity Investments Variable Insurance Product Fund II:
Asset Manager Portfolio:
Annuity contracts in accumulation 1,506,751 146,750 560,341 689,564
- ------------------------------------------------------------------------------------------------------------------------
Contrafund Portfolio:
Annuity contracts in accumulation 4,671,234 2,453,468 8,470,707 14,028,487
- ------------------------------------------------------------------------------------------------------------------------
Index 500 Portfolio:
Annuity contracts in accumulation 17,772,843 7,342,272 7,949,380 9,526,307
- ------------------------------------------------------------------------------------------------------------------------
Investment Grade Bond Portfolio:
Annuity contracts in accumulation 214,584 10,756 91,234 3,769
- ------------------------------------------------------------------------------------------------------------------------
Janus Aspen Series:
Aggressive Growth Portfolio:
Annuity contracts in accumulation 100,053,997 7,613,725 1,091,568 13,355,423
- ------------------------------------------------------------------------------------------------------------------------
Balanced Portfolio:
Annuity contracts in accumulation 4,272,426 2,367,281 3,925,885 6,693,282
- ------------------------------------------------------------------------------------------------------------------------
Flexible Income Portfolio:
Annuity contracts in accumulation 1,191,733 (8,459) (11,388) (267,539)
- ------------------------------------------------------------------------------------------------------------------------
<CAPTION>
- -----------------------------------------------------------------------------------------------
Year Ended December 31, 1999 Net Net
Change in Increase (Decrease)
Unrealized in Net Assets
Gain (Loss) Resulting from
on Investments Operations
- -----------------------------------------------------------------------------------------------
<S> <C> <C>
Federated Insurance Series:
American Leaders Fund II:
Annuity contracts in accumulation ($ 10,933,358) $ 7,687,358
- -----------------------------------------------------------------------------------------------
Equity Income Fund II:
Annuity contracts in accumulation 3,321,522 4,687,288
- -----------------------------------------------------------------------------------------------
Growth Strategies Fund II:
Annuity contracts in accumulation 23,745,150 24,715,548
- -----------------------------------------------------------------------------------------------
High Income Bond Fund II:
Annuity contracts in accumulation (2,030,946) 257,982
- -----------------------------------------------------------------------------------------------
International Equity Fund II:
Annuity contracts in accumulation 20,139,978 21,602,465
- -----------------------------------------------------------------------------------------------
Prime Money Fund II:
Annuity contracts in accumulation (1,316) 169,401
- -----------------------------------------------------------------------------------------------
U.S. Government Securities Fund II:
Annuity contracts in accumulation (459,976) (127,235)
- -----------------------------------------------------------------------------------------------
Utility Fund II:
Annuity contracts in accumulation (2,277,513) 47,995
- -----------------------------------------------------------------------------------------------
Fidelity Investments Variable Insurance Products Fund:
Equity-Income Portfolio:
Annuity contracts in accumulation (2,841,512) 2,323,308
- -----------------------------------------------------------------------------------------------
Growth Portfolio:
Annuity contracts in accumulation 8,384,656 13,816,200
- -----------------------------------------------------------------------------------------------
High Income Portfolio:
Annuity contracts in accumulation 659,985 1,146,684
- -----------------------------------------------------------------------------------------------
Overseas Portfolio:
Annuity contracts in accumulation 1,225,541 1,714,188
- -----------------------------------------------------------------------------------------------
Fidelity Investments Variable Insurance Product Fund II:
Asset Manager Portfolio:
Annuity contracts in accumulation 129,223 742,562
- -----------------------------------------------------------------------------------------------
Contrafund Portfolio:
Annuity contracts in accumulation 5,557,780 9,051,437
- -----------------------------------------------------------------------------------------------
Index 500 Portfolio:
Annuity contracts in accumulation 1,576,927 8,990,422
- -----------------------------------------------------------------------------------------------
Investment Grade Bond Portfolio:
Annuity contracts in accumulation (87,465) (29,793)
- -----------------------------------------------------------------------------------------------
Janus Aspen Series:
Aggressive Growth Portfolio:
Annuity contracts in accumulation 12,263,855 20,328,415
- -----------------------------------------------------------------------------------------------
Balanced Portfolio:
Annuity contracts in accumulation 2,767,397 5,344,417
- -----------------------------------------------------------------------------------------------
Flexible Income Portfolio:
Annuity contracts in accumulation (256,151) 7,438
- -----------------------------------------------------------------------------------------------
</TABLE>
<PAGE>
Variable Annuity Account I
Notes to Financial Statements - December 31, 1999 (continued):
5. Supplemental Information to Statement of Operations (continued):
<TABLE>
<CAPTION>
- ------------------------------------------------------------------------------------------------------------
Year Ended December 31, 1999
Valuation Proceeds Cost of
Period from Investments
Dividends Deductions Sales Sold
- ------------------------------------------------------------------------------------------------------------
<S> <C> <C> <C> <C>
Growth Portfolio:
Annuity contracts in accumulation $204,198 ($363,956) $19,469,244 $13,399,625
- ------------------------------------------------------------------------------------------------------------
Worldwide Growth Portfolio:
Annuity contracts in accumulation 141,437 (1,108,134) 20,066,248 12,593,996
- ------------------------------------------------------------------------------------------------------------
Lexington Emerging Markets Fund:
Annuity contracts in accumulation 3,369 (9,310) 307,273 488,538
- ------------------------------------------------------------------------------------------------------------
Lexington Natural Resources Trust Fund:
Annuity contracts in accumulation 4,893 (11,436) 290,732 339,388
- ------------------------------------------------------------------------------------------------------------
MFS Funds:
Global Government Series: (1)
Annuity contracts in accumulation 41,051 (8,619) 438,014 440,709
- ------------------------------------------------------------------------------------------------------------
Total Return Series:
Annuity contracts in accumulation 834,399 (219,911) 4,128,026 3,486,251
- ------------------------------------------------------------------------------------------------------------
Oppenheimer Funds:
Aggressive Growth Fund/VA: (2)
Annuity contracts in accumulation 0 (69,464) 32,152,168 29,938,377
- ------------------------------------------------------------------------------------------------------------
Global Securities Fund/VA: (3)
Annuity contracts in accumulation 93,445 (30,739) 580,959 526,490
- ------------------------------------------------------------------------------------------------------------
Main Street Growth & Income Fund/VA: (4)
Annuity contracts in accumulation 141,299 (171,240) 5,240,486 5,262,827
- ------------------------------------------------------------------------------------------------------------
Strategic Bond Fund/VA: (5)
Annuity contracts in accumulation 271,759 (63,247) 1,488,639 1,572,382
- ------------------------------------------------------------------------------------------------------------
Portfolio Partners, Inc. (PPI):
PPI MFS Emerging Equities Portfolio:
Annuity contracts in accumulation 390,949 (542,211) 50,081,279 40,350,194
- ------------------------------------------------------------------------------------------------------------
PPI MFS Research Growth Portfolio:
Annuity contracts in accumulation 39,985 (282,277) 5,283,349 4,170,538
- ------------------------------------------------------------------------------------------------------------
PPI MFS Value Equity Portfolio:
Annuity contracts in accumulation 239,457 (103,743) 2,663,649 2,210,485
- ------------------------------------------------------------------------------------------------------------
PPI Scudder International Growth Portfolio:
Annuity contracts in accumulation 70,542 (24,961) 13,302,856 12,403,075
- ------------------------------------------------------------------------------------------------------------
PPI T. Rowe Price Growth Equity Portfolio:
Annuity contracts in accumulation 715,711 (416,697) 4,342,401 3,189,898
- ------------------------------------------------------------------------------------------------------------
Total Variable Annuity Account I $48,743,207 ($ 13,474,655) $725,147,683 $655,820,063
============================================================================================================
<CAPTION>
- ------------------------------------------------------------------------------------------------------------------------------------
Year Ended December 31, 1999
Net Unrealized Net Net
Net Gain (Loss) Change in Increase (Decrease)
Realized ----------- Unrealized in Net Assets
Gain (Loss) Beginning End Gain (Loss) Resulting from
on Investments of Year of Year on Investments Operations
- ------------------------------------------------------------------------------------------------------------------------------------
<S> <C> <C> <C> <C> <C>
Growth Portfolio:
Annuity contracts in accumulation $6,069,619 $3,305,620 $7,203,450 $3,897,830 $9,807,691
- ------------------------------------------------------------------------------------------------------------------------------------
Worldwide Growth Portfolio:
Annuity contracts in accumulation 7,472,252 9,935,954 46,565,049 36,629,095 43,134,650
- ------------------------------------------------------------------------------------------------------------------------------------
Lexington Emerging Markets Fund:
Annuity contracts in accumulation (181,265) (506,254) 238,693 744,947 557,741
- ------------------------------------------------------------------------------------------------------------------------------------
Lexington Natural Resources Trust Fund:
Annuity contracts in accumulation (48,656) (281,919) (134,799) 147,120 91,921
- ------------------------------------------------------------------------------------------------------------------------------------
MFS Funds:
Global Government Series: (1)
Annuity contracts in accumulation (2,695) 38,917 (15,868) (54,785) (25,048)
- ------------------------------------------------------------------------------------------------------------------------------------
Total Return Series:
Annuity contracts in accumulation 641,775 1,378,265 405,262 (973,003) 283,260
- ------------------------------------------------------------------------------------------------------------------------------------
Oppenheimer Funds:
Aggressive Growth Fund/VA: (2)
Annuity contracts in accumulation 2,213,791 285,448 1,664,932 1,379,484 3,523,811
- ------------------------------------------------------------------------------------------------------------------------------------
Global Securities Fund/VA: (3)
Annuity contracts in accumulation 54,469 72,806 1,027,589 954,783 1,071,958
- ------------------------------------------------------------------------------------------------------------------------------------
Main Street Growth & Income Fund/VA: (4)
Annuity contracts in accumulation (22,341) (183,690) 2,163,466 2,347,156 2,294,874
- ------------------------------------------------------------------------------------------------------------------------------------
Strategic Bond Fund/VA: (5)
Annuity contracts in accumulation (83,743) 519 (63,957) (64,476) 60,293
- ------------------------------------------------------------------------------------------------------------------------------------
Portfolio Partners, Inc. (PPI):
PPI MFS Emerging Equities Portfolio:
Annuity contracts in accumulation 9,731,085 6,507,986 13,903,434 7,395,448 16,975,271
- ------------------------------------------------------------------------------------------------------------------------------------
PPI MFS Research Growth Portfolio:
Annuity contracts in accumulation 1,112,811 2,930,826 6,226,480 3,295,654 4,166,173
- ------------------------------------------------------------------------------------------------------------------------------------
PPI MFS Value Equity Portfolio:
Annuity contracts in accumulation 453,164 557,253 3,315,018 2,757,765 3,346,643
- ------------------------------------------------------------------------------------------------------------------------------------
PPI Scudder International Growth Portfolio:
Annuity contracts in accumulation 899,781 50,071 193,816 143,745 1,089,107
- ------------------------------------------------------------------------------------------------------------------------------------
PPI T. Rowe Price Growth Equity Portfolio:
Annuity contracts in accumulation 1,152,503 6,151,086 10,430,175 4,279,089 5,730,606
- ------------------------------------------------------------------------------------------------------------------------------------
Total Variable Annuity Account I $69,327,620 $129,005,870 $256,846,161 $127,840,291 $232,436,463
====================================================================================================================================
</TABLE>
(1) - Effective May 1, 1999, MFS Worldwide Government Series' name changed to
MFS Global Government Series.
(2) - Effective May 1, 1999, Oppenheimer Aggressive Growth Fund's name changed
to Oppenheimer Aggressive Growth Fund/VA.
(3) - Effective May 1, 1999, Oppenheimer Global Securities Fund's name changed
to Oppenheimer Global Securities Fund/VA.
(4) - Effective May 1, 1999, Oppenheimer Growth & Income Fund's name changed to
Oppenheimer Main Street Growth & Income Fund/VA.
(5) - Effective May 1, 1999, Oppenheimer Strategic Bond Fund's name changed to
Oppenheimer Strategic Bond Fund/VA.
<PAGE>
Variable Annuity Account I
Notes to Financial Statements - December 31, 1999 (continued):
6. Supplemental Information to Statements of Changes in Net Assets
<TABLE>
<CAPTION>
- -------------------------------------------------------------------------------------
Year Ended December 31, 1999 Net
Net Change in
Net Realized Unrealized
Investment Gain (Loss) Gain (Loss)
Income on Investments on Investments
- -------------------------------------------------------------------------------------
<S> <C> <C> <C>
Aetna Ascent VP:
Annuity contracts in accumulation $78,549 ($11,628) $103,391
- -------------------------------------------------------------------------------------
Aetna Balanced VP, Inc.:
Annuity contracts in accumulation 990,198 5,130 (50,811)
- -------------------------------------------------------------------------------------
Aetna Bond VP:
Annuity contracts in accumulation 440,646 (119,081) (521,390)
- -------------------------------------------------------------------------------------
Aetna Crossroads VP:
Annuity contracts in accumulation 35,935 4,419 24,793
- -------------------------------------------------------------------------------------
Aetna Growth and Income VP:
Annuity contracts in accumulation 4,996,495 (657,500) (132,794)
Annuity contracts in payment period
- -------------------------------------------------------------------------------------
Aetna Growth VP:
Annuity contracts in accumulation 167,541 1,084,228 161,127
Annuity contracts in payment period
- -------------------------------------------------------------------------------------
Aetna Index Plus Large Cap VP:
Annuity contracts in accumulation 474,870 2,216,136 359,366
- -------------------------------------------------------------------------------------
Aetna International VP:
Annuity contracts in accumulation 18,684 34,262 34,705
- -------------------------------------------------------------------------------------
Aetna Legacy VP:
Annuity contracts in accumulation 80,269 20,301 (2,308)
Annuity contracts in payment period
- -------------------------------------------------------------------------------------
Aetna Money Market VP:
Annuity contracts in accumulation 793,868 368,292 12,597
- -------------------------------------------------------------------------------------
Aetna Real Estate Securities VP:
Annuity contracts in accumulation 1,524 20,333 (3,841)
- -------------------------------------------------------------------------------------
Aetna Small Company VP:
Annuity contracts in accumulation (3,118) 587,060 193,821
- -------------------------------------------------------------------------------------
Aetna Value Opportunity VP:
Annuity contracts in accumulation 123,259 795,728 (308,982)
- -------------------------------------------------------------------------------------
Alger American Funds:
Balanced Portfolio:
Annuity contracts in accumulation 83,359 41,351 244,632
- -------------------------------------------------------------------------------------
Income and Growth Portfolio:
Annuity contracts in accumulation 173,782 215,701 1,074,858
- -------------------------------------------------------------------------------------
Leveraged AllCap Portfolio:
Annuity contracts in accumulation 215,868 335,741 1,990,765
- -------------------------------------------------------------------------------------
American Century VP Funds:
Balanced Fund:
Annuity contracts in accumulation 58,734 7,487 (31,760)
- -------------------------------------------------------------------------------------
International Fund:
Annuity contracts in accumulation (26,431) 96,684 925,870
- -------------------------------------------------------------------------------------
Calvert Social Balanced Portfolio:
Annuity contracts in accumulation 25,661 433 2,623
- -------------------------------------------------------------------------------------
<CAPTION>
- ----------------------------------------------------------------------------------------
Year Ended December 31, 1999 Net
Increase (Decrease) Net Assets
in Net Assets ----------------------------
from Unit Beginning End
Transactions of Year of Year
- ----------------------------------------------------------------------------------------
<S> <C> <C> <C>
Aetna Ascent VP:
Annuity contracts in accumulation ($168,403) $1,468,439 $1,470,348
- ----------------------------------------------------------------------------------------
Aetna Balanced VP, Inc.:
Annuity contracts in accumulation 397,681 7,338,678 8,680,876
- ----------------------------------------------------------------------------------------
Aetna Bond VP:
Annuity contracts in accumulation 982,700 8,211,438 8,994,313
- ----------------------------------------------------------------------------------------
Aetna Crossroads VP:
Annuity contracts in accumulation (70,653) 785,501 779,995
- ----------------------------------------------------------------------------------------
Aetna Growth and Income VP:
Annuity contracts in accumulation (4,172,788) 31,263,322 31,151,698
Annuity contracts in payment period 34,375 179,412
- ----------------------------------------------------------------------------------------
Aetna Growth VP:
Annuity contracts in accumulation (2,450,633) 6,066,474 5,009,118
Annuity contracts in payment period 36,974 56,593
- ----------------------------------------------------------------------------------------
Aetna Index Plus Large Cap VP:
Annuity contracts in accumulation (2,478,317) 14,945,637 15,517,692
- ----------------------------------------------------------------------------------------
Aetna International VP:
Annuity contracts in accumulation 90,852 44,011 222,514
- ----------------------------------------------------------------------------------------
Aetna Legacy VP:
Annuity contracts in accumulation 83,565 1,628,799 1,694,193
Annuity contracts in payment period 25,668 142,101
- ----------------------------------------------------------------------------------------
Aetna Money Market VP:
Annuity contracts in accumulation 8,960,205 26,452,214 36,587,176
- ----------------------------------------------------------------------------------------
Aetna Real Estate Securities VP:
Annuity contracts in accumulation 7,726 39,671 65,413
- ----------------------------------------------------------------------------------------
Aetna Small Company VP:
Annuity contracts in accumulation (1,141,097) 3,767,223 3,403,889
- ----------------------------------------------------------------------------------------
Aetna Value Opportunity VP:
Annuity contracts in accumulation (2,977,883) 6,259,793 3,891,915
- ----------------------------------------------------------------------------------------
Alger American Funds:
Balanced Portfolio:
Annuity contracts in accumulation (94,149) 1,404,059 1,679,252
- ----------------------------------------------------------------------------------------
Income and Growth Portfolio:
Annuity contracts in accumulation (662,264) 4,075,424 4,877,501
- ----------------------------------------------------------------------------------------
Leveraged AllCap Portfolio:
Annuity contracts in accumulation (487,379) 3,634,760 5,689,755
- ----------------------------------------------------------------------------------------
American Century VP Funds:
Balanced Fund:
Annuity contracts in accumulation (150,252) 557,006 441,215
- ----------------------------------------------------------------------------------------
International Fund:
Annuity contracts in accumulation (331,144) 1,852,446 2,517,425
- ----------------------------------------------------------------------------------------
Calvert Social Balanced Portfolio:
Annuity contracts in accumulation 13,994 265,177 307,888
- ----------------------------------------------------------------------------------------
</TABLE>
<PAGE>
Variable Annuity Account I
Notes to Financial Statements - December 31, 1999 (continued):
6. Supplemental Information to Statements of Changes in Net Assets (continued):
<TABLE>
<CAPTION>
- ---------------------------------------------------------------------------------------------------------
Year Ended December 31, 1999 Net
Net Change in
Net Realized Unrealized
Investment Gain (Loss) Gain (Loss)
Income on Investments on Investments
- ---------------------------------------------------------------------------------------------------------
<S> <C> <C> <C>
Federated Insurance Series:
American Leaders Fund II:
Annuity contracts in accumulation $13,015,923 $5,604,793 ($ 10,933,358)
Annuity contracts in payment period
- ---------------------------------------------------------------------------------------------------------
Equity Income Fund II:
Annuity contracts in accumulation 393,016 972,750 3,321,522
Annuity contracts in payment period
- ---------------------------------------------------------------------------------------------------------
Growth Strategies Fund II:
Annuity contracts in accumulation (596,338) 1,566,736 23,745,150
- ---------------------------------------------------------------------------------------------------------
High Income Bond Fund II:
Annuity contracts in accumulation 2,067,704 221,224 (2,030,946)
Annuity contracts in payment period
- ---------------------------------------------------------------------------------------------------------
International Equity Fund II:
Annuity contracts in accumulation 364,268 1,098,219 20,139,978
Annuity contracts in payment period
- ---------------------------------------------------------------------------------------------------------
Prime Money Fund II:
Annuity contracts in accumulation 169,401 1,316 (1,316)
- ---------------------------------------------------------------------------------------------------------
U.S. Government Securities Fund II:
Annuity contracts in accumulation 226,437 106,304 (459,976)
- ---------------------------------------------------------------------------------------------------------
Utility Fund II:
Annuity contracts in accumulation 1,555,392 770,116 (2,277,513)
Annuity contracts in payment period
- ---------------------------------------------------------------------------------------------------------
Fidelity Investments Variable Insurance Products Fund:
Equity-Income Portfolio:
Annuity contracts in accumulation 1,677,952 3,486,868 (2,841,512)
- ---------------------------------------------------------------------------------------------------------
Growth Portfolio:
Annuity contracts in accumulation 3,819,714 1,611,830 8,384,656
- ---------------------------------------------------------------------------------------------------------
High Income Portfolio:
Annuity contracts in accumulation 1,417,291 (930,592) 659,985
- ---------------------------------------------------------------------------------------------------------
Overseas Portfolio:
Annuity contracts in accumulation 104,011 384,636 1,225,541
- ---------------------------------------------------------------------------------------------------------
Fidelity Investments Variable Insurance Product Fund II:
Asset Manager Portfolio:
Annuity contracts in accumulation 466,589 146,750 129,223
- ---------------------------------------------------------------------------------------------------------
Contrafund Portfolio:
Annuity contracts in accumulation 1,040,189 2,453,468 5,557,780
- ---------------------------------------------------------------------------------------------------------
Index 500 Portfolio:
Annuity contracts in accumulation 71,223 7,342,272 1,576,927
- ---------------------------------------------------------------------------------------------------------
Investment Grade Bond Portfolio:
Annuity contracts in accumulation 46,916 10,756 (87,465)
- ---------------------------------------------------------------------------------------------------------
Janus Aspen Series:
Aggressive Growth Portfolio:
Annuity contracts in accumulation 450,835 7,613,725 12,263,855
- ---------------------------------------------------------------------------------------------------------
Balanced Portfolio:
Annuity contracts in accumulation 209,739 2,367,281 2,767,397
- ---------------------------------------------------------------------------------------------------------
<CAPTION>
- ----------------------------------------------------------------------------------------------------------------
Year Ended December 31, 1999 Net
Increase (Decrease) Net Assets
in Net Assets ---------
from Unit Beginning End
Transactions of Year of Year
- ----------------------------------------------------------------------------------------------------------------
<S> <C> <C> <C>
Federated Insurance Series:
American Leaders Fund II:
Annuity contracts in accumulation ($ 8,870,497) $147,843,450 $146,474,824
Annuity contracts in payment period 117,375 302,862
- ----------------------------------------------------------------------------------------------------------------
Equity Income Fund II:
Annuity contracts in accumulation (931,269) 28,317,427 32,004,404
Annuity contracts in payment period 42,143 111,185
- ----------------------------------------------------------------------------------------------------------------
Growth Strategies Fund II:
Annuity contracts in accumulation 158,077 35,149,425 60,023,050
- ----------------------------------------------------------------------------------------------------------------
High Income Bond Fund II:
Annuity contracts in accumulation (2,819,396) 29,644,378 27,090,172
Annuity contracts in payment period 25,999 18,791
- ----------------------------------------------------------------------------------------------------------------
International Equity Fund II:
Annuity contracts in accumulation (1,739,062) 27,616,968 47,471,626
Annuity contracts in payment period 28,562 37,307
- ----------------------------------------------------------------------------------------------------------------
Prime Money Fund II:
Annuity contracts in accumulation 362,815 4,666,589 5,198,805
- ----------------------------------------------------------------------------------------------------------------
U.S. Government Securities Fund II:
Annuity contracts in accumulation (515,189) 6,526,831 5,884,407
- ----------------------------------------------------------------------------------------------------------------
Utility Fund II:
Annuity contracts in accumulation (1,869,861) 26,418,108 24,581,727
Annuity contracts in payment period 64,831 79,346
- ----------------------------------------------------------------------------------------------------------------
Fidelity Investments Variable Insurance Products Fund:
Equity-Income Portfolio:
Annuity contracts in accumulation (2,084,806) 51,181,501 51,420,003
- ----------------------------------------------------------------------------------------------------------------
Growth Portfolio:
Annuity contracts in accumulation 190,468 38,326,577 52,333,245
- ----------------------------------------------------------------------------------------------------------------
High Income Portfolio:
Annuity contracts in accumulation (1,677,246) 17,442,220 16,911,658
- ----------------------------------------------------------------------------------------------------------------
Overseas Portfolio:
Annuity contracts in accumulation (464,372) 4,136,808 5,386,624
- ----------------------------------------------------------------------------------------------------------------
Fidelity Investments Variable Insurance Product Fund II:
Asset Manager Portfolio:
Annuity contracts in accumulation (729,768) 8,131,050 8,143,844
- ----------------------------------------------------------------------------------------------------------------
Contrafund Portfolio:
Annuity contracts in accumulation 111,080 39,601,618 48,764,135
- ----------------------------------------------------------------------------------------------------------------
Index 500 Portfolio:
Annuity contracts in accumulation 1,633,226 46,168,328 56,791,976
- ----------------------------------------------------------------------------------------------------------------
Investment Grade Bond Portfolio:
Annuity contracts in accumulation (207,094) 1,219,839 982,952
- ----------------------------------------------------------------------------------------------------------------
Janus Aspen Series:
Aggressive Growth Portfolio:
Annuity contracts in accumulation 8,020,415 10,675,204 39,024,034
- ----------------------------------------------------------------------------------------------------------------
Balanced Portfolio:
Annuity contracts in accumulation 511,393 20,730,112 26,585,922
- ----------------------------------------------------------------------------------------------------------------
</TABLE>
<PAGE>
Variable Annuity Account I
Notes to Financial Statements - December 31, 1999 (continued):
6. Supplemental Information to Statements of Changes in Net Assets (continued):
<TABLE>
<CAPTION>
- -----------------------------------------------------------------------------------------------
Year Ended December 31, 1999 Net
Net Change in
Net Realized Unrealized
Investment Gain (Loss) Gain (Loss)
Income on Investments on Investments
- -----------------------------------------------------------------------------------------------
<S> <C> <C> <C>
Flexible Income Portfolio:
Annuity contracts in accumulation $272,048 ($8,459) ($ 256,151)
- -----------------------------------------------------------------------------------------------
Growth Portfolio:
Annuity contracts in accumulation (159,758) 6,069,619 3,897,830
Annuity contracts in payment period
- -----------------------------------------------------------------------------------------------
Worldwide Growth Portfolio:
Annuity contracts in accumulation (966,697) 7,472,252 36,629,095
Annuity contracts in payment period
- -----------------------------------------------------------------------------------------------
Lexington Emerging Markets Fund:
Annuity contracts in accumulation (5,941) (181,265) 744,947
- -----------------------------------------------------------------------------------------------
Lexington Natural Resources Trust Fund:
Annuity contracts in accumulation (6,543) (48,656) 147,120
- -----------------------------------------------------------------------------------------------
MFS Funds:
Global Government Series: (1)
Annuity contracts in accumulation 32,432 (2,695) (54,785)
- -----------------------------------------------------------------------------------------------
Total Return Series:
Annuity contracts in accumulation 614,488 641,775 (973,003)
- -----------------------------------------------------------------------------------------------
Oppenheimer Funds:
Aggressive Growth Fund/VA: (2)
Annuity contracts in accumulation (69,464) 2,213,791 1,379,484
- -----------------------------------------------------------------------------------------------
Global Securities Fund/VA: (3)
Annuity contracts in accumulation 62,706 54,469 954,783
- -----------------------------------------------------------------------------------------------
Main Street Growth & Income Fund/VA: (4)
Annuity contracts in accumulation (29,941) (22,341) 2,347,156
- -----------------------------------------------------------------------------------------------
Strategic Bond Fund/VA: (5)
Annuity contracts in accumulation 208,512 (83,743) (64,476)
- -----------------------------------------------------------------------------------------------
Portfolio Partners, Inc. (PPI):
PPI MFS Emerging Equities Portfolio:
Annuity contracts in accumulation (151,262) 9,731,085 7,395,448
Annuity contracts in payment period
- -----------------------------------------------------------------------------------------------
PPI MFS Research Growth Portfolio:
Annuity contracts in accumulation (242,292) 1,112,811 3,295,654
- -----------------------------------------------------------------------------------------------
PPI MFS Value Equity Portfolio:
Annuity contracts in accumulation 135,714 453,164 2,757,765
Annuity contracts in payment period
- -----------------------------------------------------------------------------------------------
PPI Scudder International Growth Portfolio:
Annuity contracts in accumulation 45,581 899,781 143,745
Annuity contracts in payment period
- -----------------------------------------------------------------------------------------------
PPI T. Rowe Price Growth Equity Portfolio:
Annuity contracts in accumulation 299,014 1,152,503 4,279,089
Annuity contracts in payment period
- -----------------------------------------------------------------------------------------------
Total Variable Annuity Account I $35,268,552 $69,327,620 $127,840,291
===============================================================================================
<CAPTION>
- -----------------------------------------------------------------------------------------------------
Year Ended December 31, 1999 Net
Increase (Decrease) Net Assets
in Net Assets ----------
from Unit Beginning End
Transactions of Year of Year
- -----------------------------------------------------------------------------------------------------
<S> <C> <C> <C>
Flexible Income Portfolio:
Annuity contracts in accumulation $123,347 $4,655,365 $4,786,150
- -----------------------------------------------------------------------------------------------------
Growth Portfolio:
Annuity contracts in accumulation 9,390,049 18,191,718 37,367,199
Annuity contracts in payment period 37,117 59,376
- -----------------------------------------------------------------------------------------------------
Worldwide Growth Portfolio:
Annuity contracts in accumulation (2,335,260) 70,349,793 111,093,250
Annuity contracts in payment period 0 55,933
- -----------------------------------------------------------------------------------------------------
Lexington Emerging Markets Fund:
Annuity contracts in accumulation (297,528) 627,133 887,346
- -----------------------------------------------------------------------------------------------------
Lexington Natural Resources Trust Fund:
Annuity contracts in accumulation (267,199) 869,806 694,528
- -----------------------------------------------------------------------------------------------------
MFS Funds:
Global Government Series: (1)
Annuity contracts in accumulation (351,386) 765,918 389,484
- -----------------------------------------------------------------------------------------------------
Total Return Series:
Annuity contracts in accumulation (1,229,482) 16,393,724 15,447,502
- -----------------------------------------------------------------------------------------------------
Oppenheimer Funds:
Aggressive Growth Fund/VA: (2)
Annuity contracts in accumulation 838,692 3,393,073 7,755,576
- -----------------------------------------------------------------------------------------------------
Global Securities Fund/VA: (3)
Annuity contracts in accumulation (220,665) 2,064,889 2,916,182
- -----------------------------------------------------------------------------------------------------
Main Street Growth & Income Fund/VA: (4)
Annuity contracts in accumulation (294,623) 11,506,303 13,506,554
- -----------------------------------------------------------------------------------------------------
Strategic Bond Fund/VA: (5)
Annuity contracts in accumulation (254,540) 4,445,909 4,251,662
- -----------------------------------------------------------------------------------------------------
Portfolio Partners, Inc. (PPI):
PPI MFS Emerging Equities Portfolio:
Annuity contracts in accumulation (2,441,478) 36,930,956 51,452,372
Annuity contracts in payment period 0 12,377
- -----------------------------------------------------------------------------------------------------
PPI MFS Research Growth Portfolio:
Annuity contracts in accumulation (2,059,519) 20,299,859 22,406,513
- -----------------------------------------------------------------------------------------------------
PPI MFS Value Equity Portfolio:
Annuity contracts in accumulation 2,226,423 5,846,092 11,377,949
Annuity contracts in payment period 35,772 76,981
- -----------------------------------------------------------------------------------------------------
PPI Scudder International Growth Portfolio:
Annuity contracts in accumulation (122,023) 1,263,880 2,190,372
Annuity contracts in payment period 0 40,592
- -----------------------------------------------------------------------------------------------------
PPI T. Rowe Price Growth Equity Portfolio:
Annuity contracts in accumulation (2,635,807) 29,594,758 32,676,922
Annuity contracts in payment period 0 12,635
- -----------------------------------------------------------------------------------------------------
Total Variable Annuity Account I ($15,500,324) $891,504,497 $1,108,440,636
=====================================================================================================
</TABLE>
(1) - Effective May 1, 1999, MFS Worldwide Government Series' name changed to
MFS Global Government Series.
(2) - Effective May 1, 1999, Oppenheimer Aggressive Growth Fund's name changed
to Oppenheimer Aggressive Growth Fund/VA.
(3) - Effective May 1, 1999, Oppenheimer Global Securities Fund's name changed
to Oppenheimer Global Securities Fund/VA.
(4) - Effective May 1, 1999, Oppenheimer Growth & Income Fund's name changed to
Oppenheimer Main Street Growth & Income Fund/VA.
<PAGE>
Variable Annuity Account I
Notes to Financial Statements - December 31, 1999 (continued):
6. Supplemental Information to Statements of Changes in Net Assets (continued):
<TABLE>
<CAPTION>
- ---------------------------------------------------------------------------------------
Year Ended December 31, 199 Net
Net Change in
Net Realized Unrealized
Investment Gain (Loss) Gain (Loss)
Income on Investments on Investments
- ---------------------------------------------------------------------------------------
<S> <C> <C> <C>
Aetna Ascent VP: (1)
Annuity contracts in accumulation $52,298 $4,383 ($32,081)
- ---------------------------------------------------------------------------------------
Aetna Balanced VP: (2)
Annuity contracts in accumulation 909,957 95,814 (129,891)
- ---------------------------------------------------------------------------------------
Aetna Bond VP: (3)
Annuity contracts in accumulation 358,751 99,148 (107,929)
- ---------------------------------------------------------------------------------------
Aetna Crossroads VP: (4)
Annuity contracts in accumulation 21,126 14,619 (3,602)
- ---------------------------------------------------------------------------------------
Aetna Growth and Income VP: (5)
Annuity contracts in accumulation 4,340,565 (785,430) (1,018,692)
Annuity contracts in payment period
- ---------------------------------------------------------------------------------------
Aetna Growth VP: (6)
Annuity contracts in accumulation (38,465) (69,540) 1,049,101
Annuity contracts in payment period
- ---------------------------------------------------------------------------------------
Aetna Index Plus Large Cap VP: (7)
Annuity contracts in accumulation 535,601 654,268 1,150,576
- ---------------------------------------------------------------------------------------
Aetna International VP: (8)
Annuity contracts in accumulation 1,899 (1,435) 2,750
- ---------------------------------------------------------------------------------------
Aetna Legacy VP: (9)
Annuity contracts in accumulation 54,238 13,926 (10,602)
Annuity contracts in payment period
- ---------------------------------------------------------------------------------------
Aetna Money Market VP: (10)
Annuity contracts in accumulation 519,719 313,569 12,594
- ---------------------------------------------------------------------------------------
Aetna Real Estate Securities VP: (11)
Annuity contracts in accumulation 1,569 (2,322) (4,325)
- ---------------------------------------------------------------------------------------
Aetna Small Company VP: (12)
Annuity contracts in accumulation (12,813) (676,728) 657,427
- ---------------------------------------------------------------------------------------
Aetna Value Opportunity VP: (13)
Annuity contracts in accumulation 11,224 (47,855) 754,020
- ---------------------------------------------------------------------------------------
Alger American Funds:
Balanced Portfolio:
Annuity contracts in accumulation 100,972 69,331 178,470
- ---------------------------------------------------------------------------------------
Income and Growth Portfolio:
Annuity contracts in accumulation 325,406 145,054 530,428
- ---------------------------------------------------------------------------------------
Leveraged AllCap Portfolio:
Annuity contracts in accumulation 97,416 208,592 1,098,573
- ---------------------------------------------------------------------------------------
American Century VP Funds:
Balanced Fund:
Annuity contracts in accumulation 72,635 9,574 (2,689)
- ---------------------------------------------------------------------------------------
International Fund:
Annuity contracts in accumulation 99,463 91,984 119,096
- ---------------------------------------------------------------------------------------
Calvert Social Balanced Portfolio:
Annuity contracts in accumulation 17,403 (2,845) 11,262
- ---------------------------------------------------------------------------------------
<CAPTION>
- -----------------------------------------------------------------------------------------
Year Ended December 31, 1998 Net
Increase (Decrease) Net Assets
in Net Assets ----------
from Unit Beginning End
Transactions of Year of Year
- -----------------------------------------------------------------------------------------
<S> <C> <C> <C>
Aetna Ascent VP: (1)
Annuity contracts in accumulation $ 359,326 $ 1,084,513 $ 1,468,439
- -----------------------------------------------------------------------------------------
Aetna Balanced VP: (2)
Annuity contracts in accumulation 1,988,879 4,473,919 7,338,678
- -----------------------------------------------------------------------------------------
Aetna Bond VP: (3)
Annuity contracts in accumulation 4,840,848 3,020,620 8,211,438
- -----------------------------------------------------------------------------------------
Aetna Crossroads VP: (4)
Annuity contracts in accumulation 338,325 415,033 785,501
- -----------------------------------------------------------------------------------------
Aetna Growth and Income VP: (5)
Annuity contracts in accumulation 13,277,579 15,483,675 31,263,322
Annuity contracts in payment period 0 34,375
- -----------------------------------------------------------------------------------------
Aetna Growth VP: (6)
Annuity contracts in accumulation 4,256,569 905,783 6,066,474
Annuity contracts in payment period 0 36,974
- -----------------------------------------------------------------------------------------
Aetna Index Plus Large Cap VP: (7)
Annuity contracts in accumulation 8,689,925 3,915,267 14,945,637
- -----------------------------------------------------------------------------------------
Aetna International VP: (8)
Annuity contracts in accumulation 40,797 0 44,011
- -----------------------------------------------------------------------------------------
Aetna Legacy VP: (9)
Annuity contracts in accumulation 769,986 793,678 1,628,799
Annuity contracts in payment period 33,241 25,668
- -----------------------------------------------------------------------------------------
Aetna Money Market VP: (10)
Annuity contracts in accumulation 10,238,451 15,367,881 26,452,214
- -----------------------------------------------------------------------------------------
Aetna Real Estate Securities VP: (11)
Annuity contracts in accumulation 44,749 0 39,671
- -----------------------------------------------------------------------------------------
Aetna Small Company VP: (12)
Annuity contracts in accumulation 1,224,164 2,575,173 3,767,223
- -----------------------------------------------------------------------------------------
Aetna Value Opportunity VP: (13)
Annuity contracts in accumulation 4,650,918 891,486 6,259,793
- -----------------------------------------------------------------------------------------
Alger American Funds:
Balanced Portfolio:
Annuity contracts in accumulation (345,746) 1,401,032 1,404,059
- -----------------------------------------------------------------------------------------
Income and Growth Portfolio:
Annuity contracts in accumulation (693,378) 3,767,914 4,075,424
- -----------------------------------------------------------------------------------------
Leveraged AllCap Portfolio:
Annuity contracts in accumulation (689,303) 2,919,482 3,634,760
- -----------------------------------------------------------------------------------------
American Century VP Funds:
Balanced Fund:
Annuity contracts in accumulation (179,238) 656,724 557,006
- -----------------------------------------------------------------------------------------
International Fund:
Annuity contracts in accumulation (505,703) 2,047,606 1,852,446
- -----------------------------------------------------------------------------------------
Calvert Social Balanced Portfolio:
Annuity contracts in accumulation 206,857 32,500 265,177
- -----------------------------------------------------------------------------------------
</TABLE>
<PAGE>
Variable Annuity Account I
Notes to Financial Statements - December 31, 1999 (continued):
6. Supplemental Information to Statements of Changes in Net Assets (continued):
<TABLE>
<CAPTION>
- -----------------------------------------------------------------------------------------------------------
Year Ended December 31, 1998 Net
Net Change in
Net Realized Unrealized
Investment Gain (Loss) Gain (Loss)
Income on Investments on Investments
- -----------------------------------------------------------------------------------------------------------
<S> <C> <C> <C>
Fidelity Investments Variable Insurance Products Fund:
Equity-Income Portfolio:
Annuity contracts in accumulation $1,652,978 $2,847,387 ($596,181)
- -----------------------------------------------------------------------------------------------------------
Growth Portfolio:
Annuity contracts in accumulation 2,262,813 2,162,435 4,540,000
- -----------------------------------------------------------------------------------------------------------
High Income Portfolio:
Annuity contracts in accumulation 1,252,399 (115,300) (2,387,859)
- -----------------------------------------------------------------------------------------------------------
Overseas Portfolio:
Annuity contracts in accumulation 179,349 147,542 48,533
- -----------------------------------------------------------------------------------------------------------
Fidelity Investments Variable Insurance Product Fund II:
Asset Manager Portfolio:
Annuity contracts in accumulation 438,313 20,301 312,500
- -----------------------------------------------------------------------------------------------------------
Contrafund Portfolio:
Annuity contracts in accumulation 1,107,754 1,967,856 5,167,185
- -----------------------------------------------------------------------------------------------------------
Index 500 Portfolio:
Annuity contracts in accumulation 492,578 2,528,925 5,045,517
- -----------------------------------------------------------------------------------------------------------
Investment Grade Bond Portfolio:
Annuity contracts in accumulation 55,271 9,533 28,134
- -----------------------------------------------------------------------------------------------------------
Insurance Management Series:
American Leaders Fund II:
Annuity contracts in accumulation 6,222,251 1,619,186 11,237,298
Annuity contracts in payment period
- -----------------------------------------------------------------------------------------------------------
Equity Income Fund II:
Annuity contracts in accumulation (203,953) 221,389 2,875,619
Annuity contracts in payment period
- -----------------------------------------------------------------------------------------------------------
Growth Strategies Fund II:
Annuity contracts in accumulation 1,231,912 432,856 2,649,733
- -----------------------------------------------------------------------------------------------------------
High Income Bond Fund II:
Annuity contracts in accumulation 387,085 262,932 (467,855)
Annuity contracts in payment period
- -----------------------------------------------------------------------------------------------------------
International Equity Fund II:
Annuity contracts in accumulation (330,715) 487,183 4,543,111
Annuity contracts in payment period
- -----------------------------------------------------------------------------------------------------------
Prime Money Fund II:
Annuity contracts in accumulation 149,040 0 1,316
- -----------------------------------------------------------------------------------------------------------
U.S. Government Securities Fund II:
Annuity contracts in accumulation 16,106 119,456 216,175
- -----------------------------------------------------------------------------------------------------------
Utility Fund II:
Annuity contracts in accumulation 1,080,011 377,474 1,366,279
Annuity contracts in payment period
- -----------------------------------------------------------------------------------------------------------
Janus Aspen Series:
Aggressive Growth Portfolio:
Annuity contracts in accumulation (115,274) 2,566,801 405,622
- -----------------------------------------------------------------------------------------------------------
Balanced Portfolio:
Annuity contracts in accumulation 421,237 494,384 3,179,750
- -----------------------------------------------------------------------------------------------------------
<CAPTION>
- -------------------------------------------------------------------------------------------------------------
Year Ended December 31, 1998 Net
Increase (Decrease) Net Assets
in Net Assets ----------
from Unit Beginning End
Transactions of Year of Year
- -------------------------------------------------------------------------------------------------------------
<S> <C> <C> <C>
Fidelity Investments Variable Insurance Products Fund:
Equity-Income Portfolio:
Annuity contracts in accumulation $12,941,401 $ 34,335,916 $ 51,181,501
- -------------------------------------------------------------------------------------------------------------
Growth Portfolio:
Annuity contracts in accumulation 10,721,202 18,640,127 38,326,577
- -------------------------------------------------------------------------------------------------------------
High Income Portfolio:
Annuity contracts in accumulation 7,278,178 11,414,802 17,442,220
- -------------------------------------------------------------------------------------------------------------
Overseas Portfolio:
Annuity contracts in accumulation 772,708 2,988,676 4,136,808
- -------------------------------------------------------------------------------------------------------------
Fidelity Investments Variable Insurance Product Fund II:
Asset Manager Portfolio:
Annuity contracts in accumulation 3,571,525 3,788,411 8,131,050
- -------------------------------------------------------------------------------------------------------------
Contrafund Portfolio:
Annuity contracts in accumulation 6,461,571 24,897,252 39,601,618
- -------------------------------------------------------------------------------------------------------------
Index 500 Portfolio:
Annuity contracts in accumulation 15,200,754 22,900,554 46,168,328
- -------------------------------------------------------------------------------------------------------------
Investment Grade Bond Portfolio:
Annuity contracts in accumulation (314,286) 1,441,187 1,219,839
- -------------------------------------------------------------------------------------------------------------
Insurance Management Series:
American Leaders Fund II:
Annuity contracts in accumulation 14,814,848 114,050,410 147,843,450
Annuity contracts in payment period 16,832 117,375
- -------------------------------------------------------------------------------------------------------------
Equity Income Fund II:
Annuity contracts in accumulation 12,524,130 12,942,385 28,317,427
Annuity contracts in payment period 0 42,143
- -------------------------------------------------------------------------------------------------------------
Growth Strategies Fund II:
Annuity contracts in accumulation 6,249,006 24,585,918 35,149,425
- -------------------------------------------------------------------------------------------------------------
High Income Bond Fund II:
Annuity contracts in accumulation 3,527,318 25,944,158 29,644,378
Annuity contracts in payment period 16,739 25,999
- -------------------------------------------------------------------------------------------------------------
International Equity Fund II:
Annuity contracts in accumulation 2,840,676 20,105,275 27,616,968
Annuity contracts in payment period 0 28,562
- -------------------------------------------------------------------------------------------------------------
Prime Money Fund II:
Annuity contracts in accumulation 757,047 3,759,186 4,666,589
- -------------------------------------------------------------------------------------------------------------
U.S. Government Securities Fund II:
Annuity contracts in accumulation 530,017 5,645,077 6,526,831
- -------------------------------------------------------------------------------------------------------------
Utility Fund II:
Annuity contracts in accumulation 2,535,912 21,104,322 26,418,108
Annuity contracts in payment period 18,941 64,831
- -------------------------------------------------------------------------------------------------------------
Janus Aspen Series:
Aggressive Growth Portfolio:
Annuity contracts in accumulation 1,263,440 6,554,615 10,675,204
- -------------------------------------------------------------------------------------------------------------
Balanced Portfolio:
Annuity contracts in accumulation 8,908,355 7,726,386 20,730,112
- -------------------------------------------------------------------------------------------------------------
</TABLE>
<PAGE>
Variable Annuity Account I
Notes to Financial Statements - December 31, 1999 (continued):
6. Supplemental Information to Statements of Changes in Net Assets (continued):
<TABLE>
<CAPTION>
- -----------------------------------------------------------------------------------------------
Year Ended December 31, 1998 Net
Net Change in
Net Realized Unrealized
Investment Gain (Loss) Gain (Loss)
Income on Investments on Investments
- -----------------------------------------------------------------------------------------------
<S> <C> <C> <C>
Flexible Income Portfolio:
Annuity contracts in accumulation $189,921 $77,190 ($43,522)
- -----------------------------------------------------------------------------------------------
Growth Portfolio:
Annuity contracts in accumulation 685,730 1,082,289 2,279,102
Annuity contracts in payment period
- -----------------------------------------------------------------------------------------------
Worldwide Growth Portfolio:
Annuity contracts in accumulation 1,500,762 6,416,496 5,202,333
- -----------------------------------------------------------------------------------------------
Lexington Emerging Markets Fund:
Annuity contracts in accumulation 54,895 (141,767) (203,825)
- -----------------------------------------------------------------------------------------------
Lexington Natural Resources Trust Fund:
Annuity contracts in accumulation 57,565 (7,059) (293,131)
- -----------------------------------------------------------------------------------------------
MFS Funds:
Total Return Series:
Annuity contracts in accumulation 137,577 250,935 782,698
- -----------------------------------------------------------------------------------------------
Worldwide Government Series:
Annuity contracts in accumulation (771) 8,093 34,472
- -----------------------------------------------------------------------------------------------
Oppenheimer Funds:
Aggressive Growth Fund:
Annuity contracts in accumulation 1,809 155,613 298,445
- -----------------------------------------------------------------------------------------------
Global Securities Fund:
Annuity contracts in accumulation 124,660 (38,612) 65,980
- -----------------------------------------------------------------------------------------------
Growth & Income Fund:
Annuity contracts in accumulation 335,127 (388,568) (320,600)
- -----------------------------------------------------------------------------------------------
Strategic Bond Fund:
Annuity contracts in accumulation 21,812 (9,887) 7,313
- -----------------------------------------------------------------------------------------------
Portfolio Partners, Inc. (PPI):
PPI MFS Emerging Equities Portfolio:
Annuity contracts in accumulation (346,360) 882,018 6,779,827
- -----------------------------------------------------------------------------------------------
PPI MFS Research Growth Portfolio:
Annuity contracts in accumulation (234,149) 325,217 3,166,582
- -----------------------------------------------------------------------------------------------
PPI MFS Value Equity Portfolio:
Annuity contracts in accumulation (63,228) 243,533 533,057
Annuity contracts in payment period
- -----------------------------------------------------------------------------------------------
PPI Scudder International Growth Portfolio:
Annuity contracts in accumulation (7,335) 41,054 50,531
- -----------------------------------------------------------------------------------------------
PPI T. Rowe Price Growth Equity Portfolio:
Annuity contracts in accumulation (215,920) 336,790 5,719,077
- -----------------------------------------------------------------------------------------------
Total Variable Annuity Account I $26,010,214 $25,517,782 $66,477,702
===============================================================================================
<CAPTION>
- ---------------------------------------------------------------------------------------------------
Year Ended December 31, 1998 Net
Increase (Decrease) Net Assets
in Net Assets ----------
from Unit Beginning End
Transactions of Year of Year
- ---------------------------------------------------------------------------------------------------
<S> <C> <C> <C>
Flexible Income Portfolio:
Annuity contracts in accumulation $2,430,909 $2,000,867 $4,655,365
- ---------------------------------------------------------------------------------------------------
Growth Portfolio:
Annuity contracts in accumulation 4,104,069 10,077,645 18,191,718
Annuity contracts in payment period 0 37,117
- ---------------------------------------------------------------------------------------------------
Worldwide Growth Portfolio:
Annuity contracts in accumulation 12,501,656 44,728,546 70,349,793
- ---------------------------------------------------------------------------------------------------
Lexington Emerging Markets Fund:
Annuity contracts in accumulation (312,229) 1,230,059 627,133
- ---------------------------------------------------------------------------------------------------
Lexington Natural Resources Trust Fund:
Annuity contracts in accumulation (322,903) 1,435,334 869,806
- ---------------------------------------------------------------------------------------------------
MFS Funds:
Total Return Series:
Annuity contracts in accumulation 8,404,056 6,818,458 16,393,724
- ---------------------------------------------------------------------------------------------------
Worldwide Government Series:
Annuity contracts in accumulation 190,257 533,867 765,918
- ---------------------------------------------------------------------------------------------------
Oppenheimer Funds:
Aggressive Growth Fund:
Annuity contracts in accumulation 2,135,488 801,718 3,393,073
- ---------------------------------------------------------------------------------------------------
Global Securities Fund:
Annuity contracts in accumulation 902,520 1,010,341 2,064,889
- ---------------------------------------------------------------------------------------------------
Growth & Income Fund:
Annuity contracts in accumulation 7,350,914 4,529,430 11,506,303
- ---------------------------------------------------------------------------------------------------
Strategic Bond Fund:
Annuity contracts in accumulation 3,041,102 1,385,569 4,445,909
- ---------------------------------------------------------------------------------------------------
Portfolio Partners, Inc. (PPI):
PPI MFS Emerging Equities Portfolio:
Annuity contracts in accumulation 4,339,155 25,276,316 36,930,956
- ---------------------------------------------------------------------------------------------------
PPI MFS Research Growth Portfolio:
Annuity contracts in accumulation 2,849,219 14,192,990 20,299,859
- ---------------------------------------------------------------------------------------------------
PPI MFS Value Equity Portfolio:
Annuity contracts in accumulation 2,972,891 2,195,611 5,846,092
Annuity contracts in payment period 0 35,772
- ---------------------------------------------------------------------------------------------------
PPI Scudder International Growth Portfolio:
Annuity contracts in accumulation 1,154,164 25,466 1,263,880
- ---------------------------------------------------------------------------------------------------
PPI T. Rowe Price Growth Equity Portfolio:
Annuity contracts in accumulation 1,997,336 21,757,475 29,594,758
- ---------------------------------------------------------------------------------------------------
Total Variable Annuity Account I $212,836,411 $560,662,388 $891,504,497
===================================================================================================
</TABLE>
<PAGE>
Variable Annuity Account I
Notes to Financial Statements - December 31, 1999 (continued):
(1) - Effective May 1, 1998, Aetna Ascent Variable Portfolio's name changed to
Aetna Ascent VP.
(2) - Effective May 1, 1998, Aetna Investment Advisors Fund's name changed to
Aetna Balanced VP.
(3) - Effective May 1, 1998, Aetna Income Shares began doing business under
the name Aetna Bond VP.
(4) - Effective May 1, 1998, Aetna Crossroads Variable Portfolio's name
changed to Aetna Crossroads VP.
(5) - Effective May 1, 1998, Aetna Variable Fund began doing business under
the name Aetna Growth and Income VP.
(6) - Effective May 1, 1998, Aetna Variable Growth Portfolio's name changed to
Aetna Growth VP.
(7) - Effective May 1, 1998, Aetna Variable Index Plus Portfolio's name
changed to Aetna Index Plus Large Cap VP.
(8) - Effective May 1, 1998, Aetna International Portfolio's name changed to
Aetna International VP.
(9) - Effective May 1, 1998, Aetna Legacy Variable Portfolio's name changed to
Aetna Legacy VP.
(10) - Effective May 1, 1998, Aetna Variable Encore Fund began doing business
under the name Aetna Money Market VP.
(11) - Effective May 1, 1998, Aetna Real Estate Securities Portfolio's name
changed to Aetna Real Estate Securities VP.
(12) - Effective May 1, 1998, Aetna Variable Small Company Portfolio's name
changed to Aetna Small Company VP.
(13) - Effective May 1, 1998, Aetna Variable Capital Appreciation Portfolio's
name changed to Aetna Value Opportunity VP.
<PAGE>
Independent Auditors' Report
The Board of Directors of Aetna Insurance Company of America and
Contract Owners of Variable Annuity Account I:
We have audited the accompanying statement of assets and liabilities of Aetna
Insurance Company of America Variable Annuity Account I (the "Account") as of
December 31, 1999, and the related statement of operations for the year then
ended, statements of changes in net assets for each of the years in the
two-year period then ended and condensed financial information for the year
ended December 31, 1999. These financial statements and condensed financial
information are the responsibility of the Account's management. Our
responsibility is to express an opinion on these financial statements and
condensed financial information based on our audits.
We conducted our audits in accordance with generally accepted auditing
standards. Those standards require that we plan and perform the audit to obtain
reasonable assurance about whether the financial statements and condensed
financial information are free of material misstatement. An audit includes
examining, on a test basis, evidence supporting the amounts and disclosures in
the financial statements. Our procedures included confirmation of securities
owned as of December 31, 1999, by correspondence with the custodian. An audit
also includes assessing the accounting principles used and significant
estimates made by management, as well as evaluating the overall financial
statement presentation. We believe that our audits provide a reasonable basis
for our opinion.
In our opinion, the financial statements and condensed financial information
referred to above present fairly, in all material respects, the financial
position of Aetna Insurance Company of America Variable Annuity Account I as of
December 31, 1999, the results of its operations for the year then ended,
changes in its net assets for each of the years in the two-year period then
ended and condensed financial information for the year ended December 31, 1999,
in conformity with generally accepted accounting principles.
/s/ KPMG LLP
Hartford, Connecticut
February 11, 2000
