AS FILED WITH THE SECURITIES AND EXCHANGE COMMISSION ON APRIL 16, 1998
REGISTRATION NO. 33-98062
811-8814
SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
FORM N-4
REGISTRATION STATEMENT UNDER THE SECURITIES ACT OF 1933 [ ]
PRE-EFFECTIVE AMENDMENT NO. ___ [ ]
POST-EFFECTIVE AMENDMENT NO. 2 [x]
and
REGISTRATION STATEMENT UNDER THE INVESTMENT COMPANY ACT OF 1940 [ ]
Amendment No.6 [x]
COMPANION LIFE SEPARATE ACCOUNT C
(EXACT NAME OF REGISTRANT)
COMPANION LIFE INSURANCE COMPANY
(NAME OF DEPOSITOR)
401 Theodore Fremd Avenue, Rye, New York 10580-1493
(ADDRESS OF DEPOSITOR'S PRINCIPAL EXECUTIVE OFFICES)
DEPOSITOR'S TELEPHONE NUMBER, INCLUDING AREA CODE
(402) 351-5087
NAME AND ADDRESS OF
AGENT FOR SERVICE:
Kenneth W. Reitz, Esquire
Mutual of Omaha Companies
Mutual of Omaha Plaza, 3-Law
Omaha, Nebraska 68175-1008
It is proposed that this filing will become effective (check appropriate
box):
o immediately upon filing pursuant to paragraph (b)
x on May 1, 1998 pursuant to paragraph (b)
o 60 days after filing pursuant to paragraph (a)(i)
o on __________ pursuant to paragraph (a)(i)
o 75 days after filing pursuant to paragraph (a)(ii)
o on ________pursuant to paragraph (a)(ii) or Rule 485
If appropriate, check the following box:
o This Post-Effective Amendment designates a new effective date for a
previously filed Post-Effective Amendment.
<PAGE>
CROSS REFERENCE SHEET
Pursuant to Rule 495
Showing Location in Part A (Prospectus) and
Part B (Statement of Additional Information)
of Registration Statement of Information Required by Form N-4
PART A
Item of Form N-4 Prospectus Caption
1. Cover Page...................... Cover Page
2. Definitions..................... Definitions
3. Synopsis........................ Summary; Historical Performance Data
4. Condensed Financial Information. Financial Statements
5. General
(a) Depositor....................... Companion Life Insurance Company
(b) Registrant...................... The Variable Account
(c) Portfolio Company............... The Series Funds
(d) Fund Prospectus................. The Series Funds
(e) Voting Rights................... Voting Rights
6. Deductions and Expenses
(a) General......................... Charges and Deductions
(b) Sales Load %.................... Withdrawal Charge
(c) Special Purchase Plan........... N/A
(d) Commissions..................... Distributor of the Policies
(e) Expenses - Registrant........... N/A
(f) Fund Expenses................... Expenses Including Investment
Advisory Fees
(g) Organizational Expenses......... N/A
7. Policies
(a) Persons with Rights............. The Policy; Election of Annuity Option;
Determination of Annuity Payments;
Annuity Starting Date; Ownership of the
Policy; Voting Rights
(b) (i) Allocation of Premium
Payments.................. Allocation of Purchase Payments
(ii) Transfers................. Transfers
(iii) Exchanges................. N/A
(c) Changes......................... Addition, Deletion or Substitution of
Investments; Election of Annuity Option;
Annuity Starting Date; Beneficiary;
Ownership of the Policy
(d) Inquiries....................... Summary
8. Annuity Period.................. Payout Options
9. Death Benefit................... Death of Annuitant or Owner Prior to
Annuity Starting Date
10. Purchase and Policy Values
ii
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(a) Purchases....................... Policy Application and Issuance of
Policies; Purchase Payments
(b) Valuation....................... Accumulation Value; The Variable Account
Value
(c) Daily Calculation............... The Variable Account Value
(d) Underwriter..................... Distributor of the Policies
11. Redemptions
(a) By Owners....................... Withdrawals
By Annuitant.................... N/A
(b) Check Delay..................... Payment not Honored by Bank
(c) Lapse........................... N/A
(d) Free Look....................... Summary
12. Taxes........................... Certain Federal Income Tax Consequences
13. Legal Proceedings............... Legal Proceedings
14. Table of Contents for the
Statement of Statement of Additional
Additional Information.............. Information
PART B
Item of Form N-4 Statement of Additional
Information Caption
15. Cover Page..................... Cover Page
16. Table of Contents.............. Table of Contents
17. General Information
and History........................ (Prospectus) Companion Life Insurance
Company
18. Services
(a) Fees and Expenses
of Registrant.................. N/A
(b) Management Policies............ N/A
(c) Custodian...................... Custody of Assets
Independent
Auditors ..................... Independent Auditors
(d) Assets of Registrant........... Custody of Assets
(e) Affiliated Person.............. N/A
(f) Principal Underwriter.......... Distribution of the Policies
19. Purchase of Securities
Being Offered...................... Distribution of the Policies
Offering Sales Load................ N/A
20. Underwriters................... Distribution of the Policies;
(Prospectus) Distributor of the Policies
21. Calculation of Performance
Data............................... Calculation of Yields and Total Returns;
Other Performance Data
22. Annuity Payments............... (Prospectus) Election of Payout Option;
(Prospectus) Determination of Annuity
Payments
iii
<PAGE>
23. Financial Statements........... Financial Statements
PART C -- OTHER INFORMATION
Item of Form N-4 Part C Caption
24. Financial Statements
and Exhibits....................... Financial Statements and Exhibits
(a) Financial Statements........... Financial Statements
(b) Exhibits....................... Exhibits
25. Directors and Officers of...... Directors and Officers of the
the Depositor................. Depositor
26. Persons Controlled By or Under
Common Control with the
Depositor or Registrant ....... Persons Controlled By or Under Common
Control with the Depositor or Registrant
27. Number of Policyowners........ Number of Policyowners
28. Indemnification............... Indemnification
29. Principal Underwriters........ Principal Underwriters
30. Location of Accounts
and Records....................... Location of Accounts and Records
31. Management Services........... Management Services
32. Undertakings.................. Undertakings
Signature Page.................... Signatures
iv
<PAGE>
Prospectus May 1, 1998
THE ULTRANNUITY SERIES V VARIABLE ANNUITY
Issued Through
COMPANION LIFE SEPARATE ACCOUNT C
by
COMPANION LIFE INSURANCE COMPANY
This Prospectus describes the Ultrannuity Series V Variable Annuity Policy (the
"Policy"), a Flexible Payment Variable Deferred Annuity offered by Companion
Life Insurance Company. The Policy is designed to aid in long-term financial
planning and provides for the accumulation of capital by individuals on a
tax-deferred basis for retirement or other long-term purposes.
The Owner may allocate Purchase Payments to one or more of the 24 Eligible
investments, which are the 23 Subaccounts of the Companion Life Separate Account
C (the "Variable Account") and the Fixed Account. Assets of each Subaccount of
the Variable Account are invested in a corresponding mutual fund. The mutual
funds offered through the Policy, while they may have the same or similar names
of retail mutual funds, are not the same as those well known funds. By law, the
Policy may not offer those retail mutual funds, so it offers funds whose names
and characteristics may be similar to them but whose performance may differ from
the retail funds. The Portfolios are described in separate prospectuses that
accompany this Prospectus. The Policy's available investment options are:
<PAGE>
ALGER AMERICAN GROWTH PORTFOLIO
ALGER AMERICAN SMALL CAPITALIZATION PORTFOLIO
FEDERATED PRIME MONEY FUND II ("MONEY MARKET") PORTFOLIO
FEDERATED FUND FOR U.S. GOVERNMENT SECURITIES PORTFOLIO
FIDELITY ASSET MANAGER: GROWTH PORTFOLIO
FIDELITY EQUITY INCOME PORTFOLIO
FIDELITY CONTRAFUND PORTFOLIO
FIDELITY INDEX 500 PORTFOLIO
MFS EMERGING GROWTH PORTFOLIO
MFS HIGH INCOME FUND PORTFOLIO
MFS RESEARCH PORTFOLIO
MFS WORLD GOVERNMENT PORTFOLIO
MFS VALUE SERIES PORTFOLIO
PIONEER CAPITAL GROWTH PORTFOLIO
PIONEER REAL ESTATE PORTFOLIO
SCUDDER GLOBAL DISCOVERY PORTFOLIO
SCUDDER GROWTH & INCOME PORTFOLIO
SCUDDER INTERNATIONAL PORTFOLIO
T. ROWE PRICE EQUITY INCOME PORTFOLIO
T. ROWE PRICE INTERNATIONAL PORTFOLIO
T. ROWE PRICE LIMITED TERM BOND PORTFOLIO
T. ROWE PRICE NEW AMERICA GROWTH PORTFOLIO
T. ROWE PRICE PERSONAL STRATEGY BALANCED PORTFOLIO
FIXED ACCOUNT
The Accumulation Value in the Variable Account will vary in accordance with
the investment performance of the Subaccounts selected by the Owner. Therefore,
the Owner bears the entire investment risk under this Policy for all amounts
allocated to the Variable Account. Amounts allocated to the Fixed Account are
guaranteed by Companion Life Insurance Company ("Companion") and will earn a
specified rate of interest declared periodically.
THESE SECURITIES HAVE NOT BEEN APPROVED OR DISAPPROVED BY THE SECURITIES AND
EXCHANGE COMMISSION NOR HAS THE COMMISSION PASSED UPON THE ACCURACY OR ADEQUACY
OF THIS PROSPECTUS. ANY REPRESENTATION TO THE CONTRARY IS A CRIMINAL OFFENSE.
AN INTEREST IN THE POLICY IS NOT A DEPOSIT OR OBLIGATION OF, OR GUARANTEED OR
ENDORSED BY ANY BANK, NOR IS THE POLICY FEDERALLY INSURED BY THE FEDERAL DEPOSIT
INSURANCE CORPORATION, THE FEDERAL RESERVE BOARD, OR ANY OTHER AGENCY.
This Prospectus sets forth the information that a prospective investor should
consider before investing in a Policy. A Statement of Additional Information
about the Policy and the Variable Account, which has the same date as this
Prospectus, has been filed with the Securities and Exchange Commission and is
incorporated herein by reference. The Statement of Additional Information is
available at no cost to any person requesting a copy by writing Companion at its
Service Office (Companion Life Variable Product Service, P.O. Box 3664, Omaha,
Nebraska 68103-0664) or by calling 1-800-494-0067. The table of contents of the
Statement of Additional Information is included at the end of this Prospectus.
<PAGE>
The Policy may be purchased with an initial Purchase Payment of at least
$5,000, and an Owner generally may pay additional Purchase Payments of at least
$500 each (but no additional Purchase Payments are required).
The Policy provides for periodic annuity payments to be made by Companion to
the Owner, if living, for the life of the Annuitant or for some other period,
beginning on the Annuity Starting Date selected by the Owner. Prior to the
Annuity Starting Date, the Owner can transfer Accumulation Value among the
Eligible Investments, that is, among the Fixed Account and the 24 Subaccounts of
the Variable Account (some prohibitions and restrictions apply, especially on
transfers out of the Fixed Account). The Owner can also elect to withdraw all or
a portion of the Cash Surrender Value; however, withdrawals may be taxable,
subject to a Withdrawal Charge and/or a tax penalty, and withdrawals from the
Fixed Account may be delayed.
THIS PROSPECTUS AND THE STATEMENT OF ADDITIONAL INFORMATION GENERALLY DESCRIBE
ONLY THE POLICIES AND THE VARIABLE ACCOUNT, EXCEPT WHEN THE FIXED ACCOUNT IS
SPECIFICALLY MENTIONED.
PLEASE READ THIS PROSPECTUS CAREFULLY
AND RETAIN IT FOR FUTURE REFERENCE.
THIS PROSPECTUS DOES NOT CONSTITUTE AN OFFERING IN ANY JURISDICTION IN WHICH
SUCH OFFERING MAY NOT LAWFULLY BE MADE. NO DEALER, SALESPERSON OR OTHER PERSON
IS AUTHORIZED TO GIVE ANY INFORMATION OR MAKE ANY REPRESENTATIONS IN CONNECTION
WITH THIS OFFERING OTHER THAN THOSE CONTAINED IN THIS PROSPECTUS, AND, IF GIVEN
OR MADE, SUCH OTHER INFORMATION OR REPRESENTATIONS MUST NOT BE RELIED UPON.
THIS PROSPECTUS MUST BE ACCOMPANIED OR PRECEDED
BY A CURRENT PROSPECTUS FOR EACH PORTFOLIO
2
<PAGE>
TABLE OF CONTENTS
Page
DEFINITIONS ............................................................ 4
SUMMARY ............................................................... 6
FINANCIAL STATEMENTS.................................................... 10
COMPANION LIFE INSURANCE COMPANY........................................ 10
THE ELIGIBLE INVESTMENTS................................................ 10
The Variable Account
Historical Performance Data
Standardized Performance Data
Non-Standardized Performance Data
The Fixed Account
Transfers
Dollar Cost Averaging
Asset Allocation Program
THE POLICY............................................................. 20
Policy Application and Issuance of Policies
Purchase Payments
Accumulation Value
DISTRIBUTIONS UNDER THE POLICY......................................... 21
Withdrawals
Systematic Withdrawal Plan
Annuity Payments
Annuity Starting Date
Election of Payout Option
Payout Options
Death Benefit
Death of Owner Prior to Annuity Starting Date
Death of Owner On or After Annuity Starting Date
Beneficiary
IRS Required Distributions
CHARGES AND DEDUCTIONS................................................. 25
Withdrawal Charge
Mortality and Expense Risk Charge
Administrative Charges
Transfer Fee
Federal, State and Local Taxes
Other Expenses Including Investment Advisory Fees
CERTAIN FEDERAL INCOME TAX CONSEQUENCES................................ 27
Tax Status of the Policy
Taxation of Annuities
DISTRIBUTOR OF THE POLICIES............................................ 30
VOTING RIGHTS.......................................................... 30
PREPARING FOR THE YEAR 2000............................................
LEGAL PROCEEDINGS...................................................... 30
STATEMENT OF ADDITIONAL INFORMATION.................................... 31
3
<PAGE>
DEFINITIONS
Accumulation Unit -- An accounting unit of measure used in calculating the
Accumulation Value in the Variable Account prior to the Annuity Starting Date.
Accumulation Value -- The dollar value as of any Valuation Date prior to the
Annuity Starting Date of all amounts accumulated under the Policy.
Anniversary Value -- An amount equal to the Accumulation Value on a Policy
Anniversary.
Annuitant -- The person on whose life Annuity Payments involving life
contingencies are based. If the Annuitant is other than the Owner, the Annuitant
has no rights under the Policy.
Annuity Payment -- A payment made by Companion under an annuity Payout Option.
Annuity Starting Date -- The date upon which Annuity Payments are to begin. The
latest Annuity Starting Date permitted is when the Annuitant attains age 90.
Beneficiary -- The person(s) or other legal entity listed by the Owner in the
Policy application and referred to in the Policy as the named beneficiary. In
the case of joint Owners, the surviving joint Owner is the primary Beneficiary
and the named Beneficiary is the contingent Beneficiary. If the named
Beneficiary does not survive the Owner, the estate of the Owner is the
Beneficiary.
Cash Surrender Value -- The Accumulation Value less any applicable Withdrawal
Charge and any applicable Policy Fee.
Companion -- Companion Life Insurance Company, the issuer of the Policies.
Current Interest Rate Guarantee -- Companion's guarantee to pay a declared
current interest rate on amounts under a Policy allocated to the Fixed Account.
A particular Current Interest Rate Guarantee will be in effect for at least one
year.
Date of Issue -- The date the Policy is issued, as shown on the Policy Data
Page.
Due Proof of Death -- A certified copy of a death certificate, a certified copy
of a decree of a court of competent jurisdiction as to the finding of death, a
written statement by the attending physician, or any other proof satisfactory to
Companion will constitute Due Proof of Death.
Eligible Investments -- The Fixed Account and any of the Subaccounts of the
Variable Account.
Fixed Account -- An account which consists of general account assets of
Companion Life Insurance Company.
Nonqualified Policy -- A Policy other than a Qualified Policy.
Payee -- The person who receives Annuity Payments under the Policy.
Payout Option -- Any method of payment of Policy Proceeds under the Policy.
Policy -- The variable annuity policy offered by this Prospectus.
Policy Anniversary -- The same month and day as the Date of Issue in each
calendar year after the calendar year in which the Date of Issue occurs.
Policy Owner or Owner(s) -- The person(s) who may exercise all rights and
privileges under the Policy. If there are joint Owners, the signatures of both
Owners are needed to exercise rights under the Policy. The Policy Owner may
change the ownership of the Policy or pledge it as collateral by assigning it.
Policy Year -- A Policy Year begins on the Date of Issue and each Policy
Anniversary.
4
<PAGE>
Portfolio -- A Series Fund's separate investment series that is available under
the Policy.
Purchase Payment -- An amount paid to Companion by the Policy Owner or on the
Policy Owner's behalf as consideration for the benefits provided by, and in
accordance with the provisions of, the Policy.
Proceeds -- The death benefit or the Accumulation Value reduced by any
Withdrawal Charge.
Qualified Policy -- A Policy that receives favorable tax treatment under Section
401, 403, 408, or 457 of the Internal Revenue Code of 1986, as amended.
Series Funds -- Diversified, open-end investment management companies in which
the Variable Account invests.
Service Office - Companion Life Variable Product Service, P.O. Box 3664, Omaha,
Nebraska 68103-0664. Telephone: 1-800-494-0067.
Subaccount -- A segregated account within the Variable Account which invests in
a specified Portfolio of one of the Series Funds.
Valuation Date -- Each day that the New York Stock Exchange is open for trading.
Valuation Period -- The period commencing at the close of business of the New
York Stock Exchange on each Valuation Date and ending at the close of business
for the next succeeding Valuation Date.
Variable Account -- Companion Life Separate Account C, a separate account
maintained by Companion in which a portion of Companion's assets has been
allocated for the Policy and certain other policies.
Written Notice or Request -- Written notice, signed by the Policy Owner, that
gives Companion the information it requires and is received at the Service
Office.
5
<PAGE>
SUMMARY
THE POLICY
The Ultrannuity Series V Variable Annuity is a Flexible Payment Variable
Deferred Annuity Policy. The Policy can be purchased on a non-tax qualified
basis ("Nonqualified Policy") or in connection with certain plans qualifying for
favorable federal income tax treatment ("Qualified Policy"). The Owner allocates
the Purchase Payments among the Eligible Investments offered under the Policy by
Companion Life Insurance Company ("Companion"). These Eligible Investments are
the 23 Subaccounts of Companion Life Separate Account C (the "Variable Account")
and the Fixed Account.
THE ELIGIBLE INVESTMENTS
THE VARIABLE ACCOUNT. The Variable Account is a segregated investment
account of Companion. It is divided into Subaccounts, each of which invests
exclusively in shares of a corresponding mutual fund Portfolio. The available
Portfolios are: the Alger American Growth Portfolio and the Alger American Small
Capitalization Portfolio of the Alger American Fund ("Alger Fund"); the
Federated Prime Money Fund II Portfolio and the Federated Fund for U.S.
Government Securities II Portfolio of the Insurance Management Series Trust
("Insurance Management Series"); the Fidelity VIP Equity-Income Portfolio of the
Variable Insurance Products Fund ("Fidelity VIP Fund"); the Fidelity VIP II
Asset Manager: Growth Portfolio and the Fidelity Contrafund Portfolio and
Fidelity Index 500 of the Variable Insurance Products Fund II ("Fidelity VIP
Fund II"); the MFS Emerging Growth Portfolio, the MFS High Income Fund
Portfolio, the MFS Research Portfolio, MFS Value Series and the MFS World
Government Portfolio of the MFS Variable Insurance Trust ("MFS Trust"); the
Pioneer Capital Growth Portfolio of the Pioneer Capital Growth Fund and the
Pioneer Real Estate Portfolio of the Pioneer Real Estate Fund, (collectively
"Pioneer Funds"), the Scudder International Portfolio of the Scudder Variable
Life Investment Fund ("Scudder Fund"); the T. Rowe Price International Stock
Portfolio of T. Rowe Price International Series, Inc. ("T. Rowe Price
International Series"); the T. Rowe Price Limited-Term Bond Portfolio of T. Rowe
Price Fixed Income Series, Inc. ("T. Rowe Price Fixed Income Series"); the T.
Rowe Price Personal Strategy Balanced Portfolio, the T. Rowe Price New America
Growth Portfolio and T. Rowe Price Equity Income Portfolio of T. Rowe Price
Equity Series, Inc. ("T. Rowe Price Equity Series") (each of the Alger Fund,
Insurance Management Series, Fidelity VIP Fund, Fidelity VIP Fund II, MFS Trust,
Scudder Fund, T. Rowe Price International Series, T. Rowe Price Fixed Income
Series, and T. Rowe Price Equity Series are referred to as the "Series Funds").
Because the Accumulation Value will increase or decrease in accordance with the
investment experience of the selected Subaccounts, the Owner bears the entire
investment risk with respect to Purchase Payments allocated to, and amounts
transferred to, the Variable Account. (See "THE ELIGIBLE INVESTMENTS: The
Variable Account.")
THE FIXED ACCOUNT. The Fixed Account guarantees safety of principal and a
minimum 3% effective annual return on Purchase Payments allocated to, and
amounts transferred to, the Fixed Account. Companion may, in its sole
discretion, declare a higher current interest rate. A current interest rate is
guaranteed for at least one year. (See "THE ELIGIBLE INVESTMENTS: The Fixed
Account.")
PURCHASE PAYMENTS
A Policy may be purchased with an Initial Purchase Payment of at least
$5,000 either on a non-tax qualified basis ("Nonqualified Policy") or in
connection with retirement plans or individual retirement accounts that qualify
for favorable federal income tax treatment ("Qualified Policy"). An Owner may
pay additional Purchase Payments of at least $500 each at any time prior to the
Annuity Starting Date and up to the Policy Anniversary next following such
Owner's 83rd birthday. There is no deduction from Purchase Payments for sales or
administrative expenses, although there is a Withdrawal Charge. (See "CHARGES
AND DEDUCTIONS: Withdrawal Charge.")
Purchase Payments will be allocated among the Eligible Investments (that
is, among the Fixed Account and/or the Subaccounts of the Variable Account) in
accordance with the allocation percentages specified by the Owner in the Policy
application. Any allocation must be in whole percentages, and the total
allocation must equal 100%. (The Policy provides for a "Free Look Period" during
which the Owner can return the Policy for a full refund of the Accumulation
Value.) Allocations for additional Purchase Payments may be changed by sending
Written Notice to Companion's Service Office.
TRANSFERS
An Owner can transfer Accumulation Value from one Subaccount to another
Subaccount or to the Fixed Account with certain limitations. The minimum amount
which may be transferred is the lesser of $500 or the entire Subaccount Value.
However, following a transfer out of a particular Subaccount, at least $500 must
remain in that Subaccount. Transfers out of the Variable Account currently may
be made as often as the Owner wishes by sending Written Notice to the Service
Office.
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<PAGE>
There is no charge for the first 12 transfers during any Policy Year.
However, a charge of $10 may be imposed for any transfers from Subaccounts in
excess of 12 per Policy Year. No such charge will be imposed on transfers out of
the Fixed Account.
Transfers from the Fixed Account to one or more Subaccounts of the Variable
Account may be made only once each Policy Year. The maximum amount that can be
transferred out of the Fixed Account during any Policy Year is of the Fixed
Account Value on the date of the transfer. (See "THE ELIGIBLE INVESTMENTS:
Transfers.") Transfers from the Fixed Account may be delayed up to 6 months.
WITHDRAWALS
The Owner may elect to surrender the Policy for its Cash Surrender Value,
or to withdraw a portion of the Cash Surrender Value ($500 minimum) at any time
prior to the earlier of the Owner's death or the Annuity Starting Date and after
the Annuity Starting Date if Payout Option 2 is elected as a variable annuity
payout option. The Cash Surrender Value equals the Accumulation Value less any
applicable Withdrawal Charge and any applicable Policy Fee. A surrender or
withdrawal request must be made by Written Request, and a request for a partial
withdrawal may specify the Eligible Investment(s) from which the withdrawal is
to be made, but no more than a pro-rata amount can be deducted from the Fixed
Account. If the Owner does not provide specific withdrawal instructions, the
withdrawal will be made pro-rata from each Eligible Investment. There is
currently no limit on the frequency or timing of withdrawals from the Variable
Account, but surrenders and partial withdrawals from the Fixed Account may be
delayed for up to six months. Withdrawals may be taxable, and subject to a
Withdrawal Charge and/or a tax penalty. (See "CHARGES AND DEDUCTIONS: Federal,
State and Local Taxes.") If the Contract is issued pursuant to a Qualified Plan,
withdrawals may be restricted by applicable law or the terms of the Qualified
Plan.
CHARGES AND DEDUCTIONS
WITHDRAWAL CHARGE. In order to permit maximum investment of Purchase
Payments, Companion does not deduct sales or other charges at the time of
investment. However, Purchase Payments surrendered or withdrawn within seven
years after they were made will be subject to a Withdrawal Charge to partially
cover sales expenses, but each Policy Year up to 15% of the Accumulation Value
may be withdrawn as of the date of the first withdrawal that Policy Year without
imposition of the Withdrawal Charge. In addition, amounts applied to provide a
death benefit or applied after the second Policy Year to the Payout Option that
provides a Lifetime Income (Option 4) will not be subject to a Withdrawal
Charge. The applicable Withdrawal Charge is calculated separately as to each
Purchase Payment based on the period of time elapsed since the Purchase Payment
was made. There will be no Charge imposed on any Purchase Payments in connection
with a withdrawal or surrender that occurs more than seven years after the
Purchase Payment was made. The Withdrawal Charge is 7% of any Purchase Payment
withdrawn within one year after the Purchase Payment is made, and the percentage
declines by 1% each year to zero after the seventh year following the date of
the Purchase Payment. For purposes of calculating the Withdrawal Charge, the
oldest Purchase Payment is deemed to be withdrawn first (a first-in, first-out
arrangement), and all Purchase Payments are deemed to be withdrawn before any
earnings. (See "CHARGES AND WITHDRAWALS: Withdrawal Charge.")
ACCOUNT CHARGES. Companion deducts a daily charge equal to a percentage of
the net assets in the Variable Account for the mortality and expense risks
assumed by Companion. The annual rate of this charge is 1.00% of the value of
each Subaccount's net assets. (See "CHARGES AND DEDUCTIONS: Mortality and
Expense Risk Charge.")
Companion also deducts a daily Administrative Expense Charge from the net
assets of the Variable Account to partially cover expenses incurred by Companion
in connection with the administration of the Variable Account and the Policies.
The annual rate of this charge is .20% of the value of each Subaccount's net
assets. (See "CHARGES AND DEDUCTIONS: Administrative Charges.")
The account charges for mortality and expense risks and administrative
expenses are guaranteed not to increase.
ANNUAL POLICY FEE. There is also an annual Policy Fee for Policy
maintenance and related administrative expenses. This fee is $30 per year and is
deducted from the Accumulation Value on the last Valuation Date of each Policy
Year (and upon complete surrender of the Policy). This fee will be waived if the
Accumulation Value is greater than $50,000 on the last Valuation Date of the
applicable Policy Year. This fee will not be increased in the future. (See
"CHARGES AND DEDUCTIONS: Administrative Charges.")
TRANSFER FEE. No fee is imposed for transfers from the Fixed Account or for
the first 12 transfers from Subaccounts of the Variable Account in each Policy
Year. However, a $10 Transfer Fee may be imposed for the thirteenth and each
subsequent request to transfer Accumulation Value from a Subaccount during a
single Policy Year. This fee will not be increased in the future.
(See "CHARGES AND DEDUCTIONS: Transfer Fee.")
7
<PAGE>
TAXES. No deductions are currently made for federal, state, or local income
taxes. Should Companion determine that charges for any such taxes should be
imposed with respect to any of the Accounts, Companion may deduct such taxes or
the economic burden thereof from Purchase Payments or from amounts held in the
relevant Account. (See "CHARGES AND DEDUCTIONS: Federal, State and Local
Taxes.")
CHARGES AGAINST THE SERIES FUNDS. The value of the net assets of the
Subaccounts of the Variable Account will reflect the investment advisory fee and
other expenses incurred by the Portfolios of the Series Funds. (See "CHARGES AND
DEDUCTIONS: Other Expenses Including Investment Advisory Fees.")
EXPENSE DATA. The charges and deductions are summarized in the following
table. The purpose of this table is to help the Owner understand the costs and
expenses that the Owner will bear directly and indirectly. This table and the
examples that follow should be considered only in conjunction with the detailed
descriptions under the heading "Charges and Deductions" of this prospectus. This
tabular information regarding expenses assumes that the entire Accumulation
Value is in the Variable Account and reflects expenses of the Variable Account
as well as of the Portfolios.
POLICY OWNER TRANSACTION EXPENSES
Maximum Withdrawal Charge (% of each Purchase Payment Surrendered) 1/ 7%
Transfer Fee - First 12 Transfers Per Year: NO FEE
- Over 12 Transfers in One Year: $10 each
VARIABLE ACCOUNT ANNUAL EXPENSES (% of account value)
Mortality and Expense Risk Fees 1.00%
Administrative Expense Charge 0.20%
TOTAL VARIABLE ACCOUNT ANNUAL EXPENSES 1.20%
OTHER ANNUAL EXPENSES
Annual Policy Fee $30 Per Year
1/Each Policy Year up to fifteen percent (15%) of the Accumulation Value as of
the date of the first withdrawal that year can be withdrawn without a Withdrawal
Charge. Thereafter, the Withdrawal Charge is calculated separately for each
Purchase Payment withdrawn based on the number of years elapsed since the
Purchase Payment was made; it is 7% in the first year after a Purchase Payment
is made and then decreases by 1% in each successive year to 0% after the seventh
year.
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<PAGE>
SERIES FUND ANNUAL EXPENSES 2/ MANAGEMENT OTHER TOTAL SERIES
(as a percentage of average net assets) FEES EXPENSES FUND ANNUAL
EXPENSES
========================================= ---------- -------- ==============
Portfolio:
Alger American Growth 0.75% 0.10% 0.85%
Alger American Small Capitalization 0.85% 0.07% 0.92%
Federated Prime Money Fund II * 0.30% 0.50% 0.80%
Federated Fund for U.S. Government
Securities II * 0.15% 0.65% 0.80%
Fidelity VIP II Asset Manager: Growth *** 0.65% 0.22% 0.87%
Fidelity VIP II Contrafund *** 0.61% 0.13% 0.74%
Fidelity VIP Equity Income *** 0.51% 0.07% 0.58%
Fidelity VIP II Index 500 ** 0.13% 0.15% 0.28%
MFS Emerging Growth 0.75% 0.25% 1.00%
MFS High Income Fund 0.75% 0.25% 1.00%
MFS Research 0.75% 0.25% 1.00%
MFS Value Series 0.75% 0.25% 1.00%
MFS World Government 0.75% 0.25% 1.00%
Pioneer Capital Growth 0.65% 0.60% 1.25%
Pioneer Real Estate ** 1.00% 0.25% 1.25%
Scudder Global Discovery **, ***** 0.16% 1.59% 1.75%
Scudder Growth & Income ***, ***** 0.48% 0.43% 0.91%
Scudder International 0.86% 0.44% 1.30%
T. Rowe Price Equity Income **** 0.00% 0.85% 0.85%
T. Rowe Price International **** 0.00% 1.05% 1.05%
T. Rowe Price Limited-Term Bond **** 0.00% 0.70% 0.70%
T. Rowe Price New America Growth **** 0.00% 0.85% 0.85%
T. Rowe Price Personal Strategy Balanced **** 0.00% 0.90% 0.90%
===============================================================================
* Both Federated Prime Money Fund II and Federated Fund for U.S. Government
Securities II currently bundle their fees and expenses and limit the total
charge. Absent any fee waiver or expense reimbursement, the total fees and
expenses for each fund would have been 1.00% and 1.25% respectively.
** Without fee waiver or expense reimbursement limits the following funds
would have had the charges set forth below:
MANAGEMENT OTHER TOTAL
FEES EXPENSES EXPENSES
-----------------------------------------
Fidelity VIP II Index 500 0.28% 0.15% 0.43%
Pioneer Real Estate 0.88% 0.48% 1.36%
Scudder Global Discovery 0.98% 2.00%***** 2.98%
*** These funds have voluntarily agreed to limit their total annual expenses to
the limits shown below:
Fidelity VIP II Asset Manager: Growth and Fidelity VIP II Contrafund - 1.00%
Fidelity VIP Equity Income and Scudder Growth & Income - 1.50%
**** T. Rowe Price Funds do not itemize management fees and other expenses.
***** Includes .25% 12b-1 fee assessed for payment of distribution
administration expenses.
===============================================================================
2/ The fee and expense data regarding each Series Fund, which are fees and
expenses for 1997, was provided to Companion by the Series Fund. The
Series Funds are not affiliated with United of Omaha.
9
<PAGE>
<TABLE>
<CAPTION>
======================== ====================== =======================
EXAMPLES. 3/ 1. SURRENDER POLICY 2. ANNUITIZE POLICY 3. POLICY IS NOT
AN OWNER WOULD PAY THE FOLLOWING AT END OF THE TIME AT THE END OF THE SURRENDERED AND IS
EXPENSES ON A $1,000 INVESTMENT, PERIOD OR ANNUITIZE TIME PERIOD AND NOT ANNUITIZED
ASSUMING A 5% ANNUAL RETURN ON AND ANNUITY OPTION 4 ANNUITY OPTION 4
ASSETS (EXCLUDING THE ENHANCED (LIFETIME INCOME) IS (LIFETIME INCOME) IS
DEATH BENEFIT) IF: NOT CHOSEN CHOSEN
- ---------------------------------- ----- ----- ----- ------ ----- ---- ----- ----- ----- ---- ----- ======
Portfolio 1Yr 3Yr 5Yr 10Yr 1Yr 3Yr 5Yr 10Yr 1Yr 3Yr 5Yr 10Yr
- ---------------------------------- ----- ----- ----- ------ ----- ---- ----- ----- ----- ---- ----- ======
<S> <C> <C> <C> <C> <C> <C> <C> <C> <C> <C> <C> <C>
Alger American Growth $83 115 148 260 $83 66 115 260 $21 66 115 260
Alger American Small
Capitalization 84 118 153 273 84 69 120 273 22 69 120 273
Federated Prime Money Fund II 83 115 148 262 83 66 116 262 21 66 116 262
Federated Fund for U.S.
Government Securities II 83 115 148 262 83 66 116 262 21 66 116 262
Fidelity VIP II Asset Manager:
Growth 84 115 152 270 84 66 119 270 21 66 119 270
Fidelity VIP II Contrafund 83 113 148 254 83 64 115 254 20 64 115 254
Fidelity VIP Equity Income 82 109 138 234 82 60 105 234 19 60 105 234
Fidelity VIP II Index 500 78 99 120 197 78 50 87 197 16 50 87 197
MFS Emerging Growth 85 122 159 287 85 72 127 287 23 72 127 287
MFS High Income Fund 85 122 159 287 85 72 127 287 23 72 127 287
MFS Research 85 122 159 287 85 72 127 287 23 72 127 287
MFS Value Series 85 122 159 287 85 72 127 287 23 72 127 287
MFS World Government 85 122 159 287 85 72 127 287 23 72 127 287
Pioneer Capital Growth 83 115 148 260 83 66 115 260 21 66 115 260
Pioneer Real Estate 88 129 173 318 88 80 141 318 26 80 141 318
Scudder Global Discovery 93 145 201 381 93 96 168 381 31 96 168 381
Scudder Growth & Income 83 115 148 262 83 66 116 262 21 66 116 262
Scudder International 85 121 159 286 85 72 127 286 23 72 127 286
T. Rowe Price Equity Income 84 117 151 268 84 68 118 268 22 68 118 268
T. Rowe Price International 86 123 162 293 86 74 129 293 24 74 129 293
T. Rowe Price Limited-Term Bond 82 112 143 249 82 63 110 249 20 63 110 249
T. Rowe Price New America Growth 84 117 151 268 84 68 118 268 22 68 118 268
T. Rowe Price Personal Strategy
Balanced 84 118 154 274 84 69 121 274 22 69 121 274
================================== ===== ===== ===== ====== ===== ==== ===== ===== ===== ==== ===== ======
The assumed 5% annual return is hypothetical and should not be considered a
representation or indication of past or future expenses (in either the Variable
or Fixed Account), which could be greater or lesser than the 5% rate assumed
solely for purposes of these examples.
3/ The $30 annual Policy Fee is reflected as a daily 0.10% charge in these
Examples, based on an average Accumulation Value of $30,000.
</TABLE>
10
<PAGE>
DEATH BENEFIT
In the event that any Owner dies prior to the Annuity Starting Date (and the
Policy is in force), the death benefit payable to the Beneficiary is calculated
and is payable upon Companion's receipt of Due Proof of Death of any Owner, as
well as an election of the method of settlement. If any Owner dies, the death
benefit will equal the greater of (a) the Accumulation Value (without deduction
of the Withdrawal Charge) on the later of the date on which Due Proof of Death
or an election of Payout Option is received by Companion's Service Office; or
(b) the sum of Purchase Payments less partial withdrawals. No Withdrawal Charge
is imposed upon amounts paid as a death benefit. Subject to any limitations of
state or federal law, the death benefit may be paid as either a lump sum cash
benefit or as an Annuity. (See "DISTRIBUTIONS UNDER THE POLICY: Death Benefit.")
FREE LOOK RIGHT
The Policy Owner may, within 10 days after receipt, examine the Policy and
return it to Companion's Service Office or the agent from whom it was purchased
for a refund. Return of the Policy is effective upon being postmarked, properly
addressed, and postage pre-paid. Companion will pay the refund within seven (7)
days after it receives written notice of cancellation and the returned Policy.
Companion will promptly refund the Accumulation Value calculated on the date
Companion receives the Policy and refund request. This amount may be more or
less than the Purchase Payments made.
FEDERAL INCOME TAX CONSEQUENCES OF INVESTMENT IN THE POLICY
With respect to Owners who are natural persons under existing tax law, there
should be no federal income tax on increases (if any) in the Accumulation Value
until a distribution under the Policy occurs (e.g., a withdrawal or Annuity
Payment) or is deemed to occur (e.g., a pledge or assignment of a Policy).
Generally, a portion of any distribution or deemed distribution will be taxable
as ordinary income. The taxable portion of certain distributions will be subject
to withholding unless the recipient (if permitted) elects otherwise. In
addition, a penalty tax of 10% of the amount withdrawn may apply to certain
distributions or deemed distributions under the Policy made prior to the Owner's
attaining age 59 1/2. (See "CERTAIN FEDERAL INCOME TAX CONSEQUENCES.")
INQUIRIES AND WRITTEN NOTICES AND REQUESTS
Any questions about procedures or the Policy, or any Written Notice or
Written Request required to be sent to Companion, should be sent to Companion's
Service Office: Companion Variable Product Service, P.O. Box 3664, Omaha,
Nebraska 68103-0664. Telephone requests and inquiries may be made by calling
1-800-494-0067. All inquiries, Notices and Requests should include the Policy
number, the Owner's name and the Annuitant's name.
NOTE: THE FOREGOING SUMMARY IS QUALIFIED IN ITS ENTIRETY BY THE DETAILED
INFORMATION IN THE REMAINDER OF THIS PROSPECTUS AND IN THE STATEMENT OF
ADDITIONAL INFORMATION AND IN THE PROSPECTUSES FOR THE SERIES FUNDS AND IN THE
POLICY, ALL OF WHICH SHOULD BE REFERRED TO FOR MORE DETAILED INFORMATION. THIS
PROSPECTUS GENERALLY DESCRIBES ONLY THE POLICY AND THE VARIABLE ACCOUNT.
SEPARATE PROSPECTUSES DESCRIBE THE SERIES FUNDS. (THERE IS NO PROSPECTUS FOR THE
FIXED ACCOUNT SINCE INTERESTS IN THE FIXED ACCOUNT ARE NOT SECURITIES. SEE " THE
FIXED ACCOUNT.".)
FINANCIAL STATEMENTS
The Financial Statements for Companion and the Variable Account and their
related independent auditors' reports are contained in the Statement of
Additional Information, which is available free upon request.
At December 31, 1997, net assets of the Series V Subaccounts of the Variable
Account were represented by the following Accumulation Unit Values and
Accumulation Units. This information should be read in conjunction with the
Variable Account's financial statements and related notes included in the
Statement of Additional Information.
SUBACCOUNT ACCUMULATION UNIT ACCUMULATION UNIT NUMBER OF
(Date of Inception) VALUE ON VALUE AT END OF ACCUMULATION UNITS
COMMENCEMENT DATE YEAR AT END OF YEAR
($) (December 31) (December 31)
($)
- ------------------------------------------ ------------------ ------------------
ALGER AMERICAN GROWTH 12.972
(12/13/96)
1996.................................13.071 0
1997.................................16.240 26,564.
11
<PAGE>
SUBACCOUNT ACCUMULATION UNIT ACCUMULATION UNIT NUMBER OF
(Date of Inception) VALUE ON VALUE AT END OF ACCUMULATION UNITS
COMMENCEMENT DATE YEAR AT END OF YEAR
($) (December 31) (December 31)
($)
- ------------------------------------------ ------------------ ------------------
ALGER AMERICAN SMALL 12.400
CAPITALIZATION (12/13/96)
1996......................... 12.448 0
1997......................... 13.700 16,717.
FEDERATED PRIME MONEY 1.057
FUND II (12/13/96)
1996......................... 1.059 0
1997......................... 1.098 410,506.
FEDERATED FUND FOR U.S. 10.901
GOVERNMENT SECURITIES II
(12/13/96)
1996......................... 10.882 0
1997......................... 11.674 31,521
FIDELITY VIP II ASSET 13.346
MANAGER: GROWTH (12/13/96)
1996.......................... 13.353 0
1997.......................... 16.500 58,425
FIDELITY VIP II CONTRAFUND 13.704
(12/13/96)
1996.......................... 14.070 0
1997.......................... 17.257 27,082
FIDELITY VIP EQUITY INCOME 12.900
(12/13/96)
1996.......................... 13.090 0
1997.......................... 16.571 48,536
FIDELITY VIP II INDEX 500 N/A
(5/1/98)
1998.......................... N/A N/A
MFS EMERGING GROWTH 13.637
(12/13/96)
1996.......................... 13.480 0
1997.......................... 16.235 21,242
MFS HIGH INCOME FUND 11.517
(12/13/96)
1996................................. 11.548 0
1997................................. 12.960 17,267
MFS RESEARCH (12/13/96) 13.093
1996................................. 13.277 0
1997................................. 15.775 30,779
MFS VALUE SERIES (5/1/98) N/A
1998................................. N/A N/A
MFS WORLD GOVERNMENT 10.503
(12/13/96)
1996................................. 10.527 0
1997................................. 10.283 14,907
PIONEER CAPITAL GROWTH N/A
(5/1/98)
1998................................. N/A N/A
PIONEER REAL ESTATE (5/1/98) N/A
1998................................. N/A N/A
SCUDDER GLOBAL DISCOVERY N/A
(5/1/98)
1998................................. N/A N/A
12
<PAGE>
SUBACCOUNT ACCUMULATION UNIT ACCUMULATION UNIT NUMBER OF
(Date of Inception) VALUE ON VALUE AT END OF ACCUMULATION UNITS
COMMENCEMENT DATE YEAR AT END OF YEAR
($) (December 31) (December 31)
($)
- ------------------------------------------ ------------------ ------------------
SCUDDER GROWTH & INCOME N/A
(5/1/98)
1998................................. N/A N/A
SCUDDER INTERNATIONAL 11.719
(12/13/96)
1996................................. 12.067 0
1997................................. 13.004 15,759
T.ROWE PRICE EQUITY INCOME 13.501.
(12/13/96)
1996................................. 13.731 0
1997................................. 17.481 52,630
T.ROWE PRICE INTERNATIONAL 11.560
(12/13/96)
1996................................. 11.976 0
1997................................. 12.199 23,539
T.ROWE PRICE LIMITED-TERM 10.582
BOND (12/13/96)
1996................................. 10.582 0
1997................................. 11.160 31,032
T.ROWE PRICE NEW AMERICA 15.121
GROWTH (12/13/96)
1996................................. 15.496 0
1997................................. 18.543 19,742
T.ROWE PRICE PERSONAL 12.552
STRATEGY (12/13/96)
1996................................. 12.719 0
1997................................. 14.833 50,339
* Accumulation Unit Values are rounded to the nearest hundredth of a cent.
** Accumulation Units are rounded to the nearest unit.
COMPANION LIFE INSURANCE COMPANY
Companion Life Insurance Company, 401 Theodore Fremd Avenue, Rye, New York
10580, is a stock life insurance company. It was incorporated under the laws of
the State of New York on June 3, 1949. It is principally engaged in the sale of
life insurance and annuity policies in the State of New York. As of December 31,
1997, Companion had assets of over $ 465 million. Companion is a wholly-owned
subsidiary of United of Omaha Life Insurance Company. Both Companion and United
of Omaha are Mutual of Omaha Companies.
Companion may from time to time publish (in advertisements, sales literature
and reports to Owners) the ratings and other information assigned to it by one
or more independent rating organizations such as A.M. Best Company, and Duff &
Phelps. The purpose of the ratings is to reflect the financial strength and/or
claims-paying ability of Companion, and the ratings should not be considered as
bearing on the investment performance of assets held in the Variable Account.
Each year the A.M. Best Company reviews the financial status of thousands of
insurers, culminating in the assignment of Best's Ratings. These ratings reflect
A.M. Best Company's current opinion of the relative financial strength and
operating performance of an insurance company in comparison to the norms of the
life/health insurance industry. In addition, the claims-paying ability of
Companion, as measured by Duff & Phelps may be referred to in such
13
<PAGE>
advertisements, sales literature, or reports. These ratings are opinions
regarding an operating insurance company's financial capacity to meet the
obligations of its insurance and annuity policies in accordance with their
terms. Such ratings do not reflect the investment performance of the Variable
Account or the degree of risk associated with an investment in the Variable
Account.
THE ELIGIBLE INVESTMENTS
Purchase Payments made under a Policy may be allocated to one of the 23
Subaccounts of the Variable Account, to the Fixed Account, or to a combination
of these Eligible Investment(s).
THE VARIABLE ACCOUNT
The Companion Life Separate Account C of Companion Life Insurance Company
(the "Variable Account") was established as a separate investment account under
the laws of the State of New York on February 18, 1994. The Variable Account
will receive and invest the Purchase Payments under the Policies that are
allocated to it for investment in shares of a Series Fund.
The Variable Account currently is divided into 23 Subaccounts. Each
Subaccount invests exclusively in shares of a Portfolio of one of the Series
Funds. Under New York law, the assets of the Variable Account are owned by
Companion, but they are held separately from the other assets of Companion and
are not chargeable with any liabilities arising out of any other separate
investment account or any other business of Companion which has no specific and
determinable relation to or dependence upon the Variable Account. The income,
gains and losses, realized or unrealized, from assets allocated to the Variable
Account are credited to or charged against the Variable Account, without regard
to other income, gains, or losses of Companion. The investment performance of
any Subaccount should be entirely independent of the investment performance of
Companion's general account assets or any other accounts maintained by
Companion.
The Variable Account is registered with the Securities and Exchange
Commission (the "SEC") under the Investment Company Act of 1940 as a unit
investment trust. However, the SEC does not supervise the management or the
investment practices or policies of the Variable Account or Companion.
THE SERIES FUNDS. Each Subaccount of the Variable Account will invest
exclusively in shares of a specific Portfolio of one of the Series Funds, each
of which is a mutual fund registered with the SEC under the Investment Company
Act of 1940 (the "1940 Act") as an open-end, diversified investment management
company. 4/ The assets of each Portfolio of each Series Fund are held separate
from the assets of that Series Fund's other Portfolios, and each Portfolio has
its own distinct investment objectives and policies. Each Portfolio operates as
a separate investment fund, and the income or losses of one Portfolio generally
have no effect on the investment performance of any other Portfolio.
Each of the Series Funds is managed by an investment adviser registered with
the SEC under the Investment Advisers Act of 1940, as amended. Each investment
manager is responsible for selecting Portfolio investments consistent with the
investment objectives and policies of the Portfolio, and conducts securities
trading for the Portfolio. Alger Management is responsible for the overall
administration of the Alger American Fund, subject to the supervision of the
Alger Fund Board of Trustees; Federated Advisers is responsible for the
portfolio investment decisions of the Insurance Management Series, subject to
direction by the Insurance Management Series Trustees; Fidelity Management &
Research Company ("FMR") is the manager of the Fidelity VIP Fund and Fidelity
VIP Fund II. On behalf of the Asset Manager: Growth Portfolio of the Fidelity
VIP Fund II, FMR has entered into sub-advisory agreements with Fidelity
Investment Management and Research (U.K.) Inc. ("FMR (U.K.)") and Fidelity
Management and Research (Far East) Inc. ("FMR Far East") pursuant to which those
entities provide research and investment recommendations with respect to
companies based outside of the United States. FMR (U.K.) primarily focuses on
companies based in Europe, and FMR Far East focuses primarily on companies based
in Asia and the Pacific Basin. Massachusetts Financial Services Company is
responsible for the management of the assets of the MFS Variable Insurance
Trust. Pioneer Fund Group is responsible for the management of the assets of the
Pioneer Variable Contracts Trust, subject to direction by the Trust's own
Trustees. The investment advisor for each Pioneer Variable Contract's Trust
portfolio is Pioneer Management Corporation. Scudder Kemper Investments, Inc.
manages the daily business and affairs of the Scudder Fund, subject to policies
established by the Trustees of Scudder Variable Life Investment Fund. T. Rowe
Price Associates, Inc. is responsible for selection and management of the
portfolio investments of T. Rowe Price Equity Series and T. Rowe Price Fixed
Income Series. Rowe Price-Fleming International, Inc., incorporated in 1979 as a
joint venture between T. Rowe Price Associates, Inc. and Robert Fleming Holdings
Limited, is responsible for selection and management of the portfolio
investments of T. Rowe Price International Series.
4/ The registration of the Series Funds does not involve supervision of the
management or investment practices or policies of the Series Funds by the
SEC.
14
<PAGE>
The Variable Account Portfolios, while they may have the same or similar
names of retail mutual funds, are not the same as those funds. By law, insurance
product variable account portfolios and retail mutual funds must be separate
investment pools. A variable account portfolio and a retail mutual fund may have
similar names, the same or similar investment objective and strategy, and the
same investment manager. Even when these similarities exist, however, the
investment manager is under no obligation to ensure that the Variable Account
Portfolio and the retail mutual fund have duplicate holdings, trading activity
or performance. Any similarities in this regard are coincidental, and the
Variable Account Portfolio and retail mutual fund may differ substantially in
these areas. The investment manager's obligation is to attempt to achieve the
investment objective stated in the prospectus. For information about the
performance history of any Variable Account Portfolio, please refer to further
disclosure in this Prospectus or in the Series Fund prospectus for that
particular Variable Account Portfolio.
The investment objectives of each Portfolio are summarized as follows:
ALGER AMERICAN FUND
ALGER AMERICAN GROWTH PORTFOLIO -- seeks long-term capital appreciation by
investing in a diversified portfolio of equity securities, primarily of
companies with total market capitalization of $1 billion or greater.
ALGER AMERICAN SMALL CAPITALIZATION PORTFOLIO -- seeks long-term capital
appreciation by investing in a diversified portfolio of equity securities,
primarily of smaller, newer companies with total market capitalization of
less than $1 billion. The securities in such companies may have limited
marketability and may be subject to more abrupt or erratic market movements
than securities of larger, more established companies or the market
averages in general.(*)
INSURANCE MANAGEMENT SERIES
FEDERATED PRIME MONEY FUND II PORTFOLIO -- invests in money market
instruments maturing in thirteen months or less to achieve current income
consistent with stability of principal and liquidity. The Portfolio
attempts to maintain a stable net asset value of $1.00 per share, but there
can be no assurance the Portfolio will be able to do so.
FEDERATED FUND FOR U.S. GOVERNMENT SECURITIES II PORTFOLIO -- seeks current
income by investing in a diversified portfolio limited to U.S. government
securities.
FIDELITY VARIABLE INSURANCE PRODUCTS FUND
FIDELITY VIP EQUITY-INCOME PORTFOLIO -- seeks reasonable income by investing
mainly in income-producing equity securities. In selecting investments, the
Portfolio also considers the potential for capital appreciation. The
Portfolio seeks to achieve a yield that beats that of the S&P 500. The
Portfolio does not expect to invest in debt securities of companies that do
not have proven earnings or credit.(*)
FIDELITY VARIABLE INSURANCE PRODUCTS FUND II
FIDELITY VIP II ASSET MANAGER: GROWTH PORTFOLIO -- seeks to obtain high total
return with reduced risk over the long-term by allocating its assets among
stocks, bonds, and short-term fixed-income instruments. Although the
Portfolio seeks to reduce its overall risk by diversifying among different
types of investments, the fund aggressively invests in a wide variety of
security types, including stocks and bonds issued in developing countries
and derivative transactions. The Portfolio spreads investment risk by
limiting its holdings in any one company or industry.(*)
FIDELITY CONTRAFUND PORTFOLIO -- seeks to increase the value of the
Portfolio's return over the long term by investing in securities of
companies that are undervalued or out-of-favor. This strategy can lead to
investments in domestic or foreign companies, many of which may not be well
known. The stocks of small companies often involve more risk than those of
larger companies. The Portfolio may use various investment techniques to
hedge the Portfolio's risk, but there is no guarantee that these strategies
will work as intended.(*)
FIDELITY INDEX 500 PORTFOLIO -- seeks to match the total return of the S&P
500 while keeping expenses low. The Portfolio utilizes a "passive" or
"indexing" approach and tries to allocate its assets similarly to those of
the index. Normally 80% (65% if fund assets are below $20 million) of the
fund's assets are invested in equity securities of companies that compose
the S&P 500. The Standard & Poor's Corporation is neither an affiliate nor
a sponsor of the fund.
15
<PAGE>
MFS VARIABLE INSURANCE TRUST
MFS EMERGING GROWTH PORTFOLIO -- seeks to provide long-term growth of capital
through investing primarily in common stocks of emerging growth companies,
which involves greater risk than is customarily associated with investments
in more established companies. The Portfolio may invest in a limited extent
in lower rated fixed income securities or comparable unrated securities.(*)
MFS HIGH INCOME PORTFOLIO -- seeks high current income by investing primarily
in a diversified portfolio of fixed income securities, some of which may
involve equity features. The Portfolio may invest in lower rated fixed
income securities or comparable unrated securities.(*)
MFS RESEARCH PORTFOLIO -- seeks to provide long-term growth of capital and
future income by investing a substantial proportion of its assets in the
common stocks or securities convertible into common stocks of companies
believed to possess better than average prospects for long-term growth. No
more than 5% of the Portfolio's convertible securities, if any, will
consist of securities in lower rated categories or securities believed to
be of similar quality to lower rated securities. The Portfolio may invest
in a limited extent in lower rated fixed income securities or comparable
unrated securities.(*)
MFS VALUE SERIES PORTFOLIO -- seeks capital appreciation by investing
primarily in common stocks, including to a limited extent foreign
securities which are not traded on a U.S. exchange. The Portfolio may
invest to a limited extent in lower rated fixed income securities or
comparable unrated securities. (*)
MFS WORLD GOVERNMENT PORTFOLIO -- seeks preservation and growth of capital,
together with moderate current income by investing its assets in an
internationally diversified portfolio consisting primarily of debt
securities and to a lesser extent equity securities. The Portfolio
investments are expected to consist primarily of securities which are of
relatively high quality and minimal credit risk. However, an error of
judgment in selecting a currency or an interest rate environment could
result in a loss of capital, and a held security whose quality deteriorates
significantly will be sold only if the Portfolio investment adviser
believes it is advantageous to do so.
PIONEER VARIABLE CONTRACTS TRUST
PIONEER CAPITAL GROWTH PORTFOLIO - seeks capital appreciation by investing in
a diversified portfolio of securities consisting primarily of common
stocks.
PIONEER REAL ESTATE PORTFOLIO - seeks long-term growth of capital by
investing primarily in securities of real estate investment trusts (REITs)
and other real estate industry companies.
Current income is the Portfolio's secondary investment objective.
SCUDDER VARIABLE LIFE INVESTMENT FUND
SCUDDER GLOBAL DISCOVERY PORTFOLIO -- seeks above-average capital
appreciation over the long term by investing primarily in the equity
securities of small companies located throughout the world, including to a
limited extent in lower rated fixed income securities or comparable unrated
securities. Since the Portfolio normally will invest in both U.S. and
foreign securities markets, changes in the Portfolio's unit value may have
a low correlation with movements in the U.S. markets. (*)
SCUDDER GROWTH & INCOME PORTFOLIO -- seeks long term growth of capital,
current income and growth of income by investing primarily in common
stocks, preferred stocks, and securities convertible into common stocks of
companies which offer the prospect for growth of earnings while paying
higher than average current dividends.
SCUDDER INTERNATIONAL PORTFOLIO -- seeks long-term growth of capital
primarily through diversified holdings of marketable foreign equity
investments. The Portfolio invests in companies, wherever organized, which
do business primarily outside the United States. The Portfolio intends to
diversify investments among several countries, and does not intend to
concentrate investments in any particular industry.
16
<PAGE>
T. ROWE PRICE INTERNATIONAL SERIES, INC.
T.ROWE PRICE INTERNATIONAL STOCK PORTFOLIO -- seeks a total return on its
assets from long-term growth of capital and income, by investing
substantially all of its assets in common stocks of established non-U.S.
companies. The Portfolio will not purchase any debt security which at the
time of purchase is rated below investment grade. This would not prevent
the Portfolio from retaining a security downgraded to below investment
grade after purchase.
T. ROWE PRICE EQUITY SERIES, INC.
T.ROWE PRICE NEW AMERICA GROWTH PORTFOLIO -- seeks long-term growth of
capital through investments primarily in common stocks of U.S. growth
companies which operate in service industries believed to be above-average
performers in their fields. Total return will consist primarily of capital
appreciation or depreciation.
T.ROWE PRICE EQUITY-INCOME PORTFOLIO -- Seeks to provide substantial
dividend income and also capital appreciation by investing primarily in
dividend-paying common stocks of established companies.(*)
T.ROWE PRICE PERSONAL STRATEGY BALANCED PORTFOLIO -- seeks the highest total
return over time consistent with an emphasis on both capital appreciation
and income. There are no limitations on market capitalization or types of
stock the Portfolio can hold. While bond holdings are primarily investment
grade, the Portfolio can also invest in more volatile below-investment
grade bonds.(*)
T. ROWE PRICE FIXED INCOME SERIES, INC.
T.ROWE PRICE LIMITED-TERM BOND PORTFOLIO -- seeks a high level of income
consistent with modest price fluctuation by investing primarily in
investment grade debt securities.
(*) THE PORTFOLIOS' INVESTMENT STRATEGIES MAY PROVIDE THE OPPORTUNITY OF HIGHER
THAN AVERAGE YIELDS BY INVESTING IN SECURITIES WITH HIGHER THAN AVERAGE
RISK, SUCH AS LOWER AND UNRATED DEBT AND COMPARABLE EQUITY INSTRUMENTS.
PLEASE CONSULT EACH PORTFOLIO'S SERIES FUND PROSPECTUS ACCOMPANYING THIS
PROSPECTUS FOR MORE INFORMATION ABOUT THE RISK ASSOCIATED WITH SUCH
INVESTMENTS.
THERE IS NO ASSURANCE THAT ANY PORTFOLIO WILL ACHIEVE ITS STATED OBJECTIVE.
MORE DETAILED INFORMATION, INCLUDING A DESCRIPTION OF EACH PORTFOLIO'S
INVESTMENT OBJECTIVE AND POLICIES AND A DESCRIPTION OF RISKS INVOLVED IN
INVESTING IN EACH OF THE PORTFOLIOS AND OF EACH PORTFOLIO'S FEES AND EXPENSES,
IS CONTAINED IN THE PROSPECTUSES FOR THE SERIES FUNDS, CURRENT COPIES OF WHICH
ACCOMPANY THIS PROSPECTUS. INFORMATION CONTAINED IN THE SERIES FUNDS'
PROSPECTUSES SHOULD BE READ CAREFULLY BEFORE INVESTING IN A SUBACCOUNT OF THE
VARIABLE ACCOUNT.
An investment in the Variable Account, or in any Portfolio, including the
Money Market Portfolio, is not insured or guaranteed by the U.S. Government and
there can be no assurance that the Money Market Portfolio will be able to
maintain a stable net asset value per share.
Companion may receive compensation from certain Portfolios and/or
affiliate(s) of certain of the Portfolios. The amounts may be based upon an
annual percentage of the average assets held in that Portfolio by the Variable
Account. These amounts are intended to compensate Companion for administrative
and other services provided by Companion.
ADDITION, DELETION, OR SUBSTITUTION OF INVESTMENTS. Companion does not
control the Series Funds and cannot and does not guarantee that any of the
Portfolios will always be available for Purchase Payments, allocations, or
transfers. Companion retains the right, subject to any applicable law, to make
certain changes in the Variable Account and its investments. Companion reserves
the right to eliminate the shares of any Portfolio held by a Subaccount and to
substitute shares of another Portfolio of a Series Fund, or of another
registered open-end management investment company for the shares of any
Portfolio, if the shares of the Portfolio are no longer available for investment
or if, in Companion's judgment, investment in any Portfolio would be
inappropriate in view of the purposes of the Variable Account. To the extent
required by the 1940 Act, substitutions of shares attributable to an Owner's
interest in a Subaccount will not be made without prior notice to the Owner and
the prior approval of the SEC. If required, approval of or change of any
investment policy will be filed with the Insurance Department of any state in
which the Policy is sold. Nothing contained herein shall prevent the Variable
Account from purchasing other securities for other series or classes of variable
annuity policies, or from effecting an exchange between series or classes of
variable annuity policies on the basis of requests made by Owners.
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New Subaccounts may be established when, in the sole discretion of Companion,
marketing, tax, investment or other conditions warrant. Any new Subaccounts may
be made available to existing Owners on a basis to be determined by Companion.
Each additional Subaccount will purchase shares in a Portfolio of a Series Fund
or in another mutual fund or investment vehicle. Companion may also eliminate
one or more Subaccounts if, in its sole discretion, marketing, tax, investment
or other conditions warrant such change. In the event any Subaccount is
eliminated, Companion will notify Owners and request a reallocation of the
amounts invested in the eliminated Subaccount. If no such reallocation is
provided by the Owner, Companion will reinvest the amounts invested in the
eliminated Subaccount in the Subaccount that invests in the Money Market
Portfolio (or in a similar portfolio of money market instruments).
In the event of any such substitution or change, Companion may, by
appropriate endorsement, make such changes in the Policies as may be necessary
or appropriate to reflect such substitution or change. Furthermore, the Variable
Account may be (i) operated as a management company under the 1940 Act or any
other form permitted by law, (ii) deregistered under the 1940 Act in the event
such registration is no longer required or (iii) combined with one or more other
separate accounts. To the extent permitted by applicable law, Companion also may
transfer the assets of the Variable Account associated with the Policies to
another account or accounts.
HISTORICAL PERFORMANCE DATA
From time to time, Companion may advertise or include in sales literature
yields, effective yields, and total returns for the Subaccounts of the Variable
Account. THESE FIGURES ARE BASED ON HISTORICAL PERFORMANCE AND DO NOT INDICATE
OR PROJECT FUTURE PERFORMANCE. Performance relative to certain performance
rankings and indices compiled by independent organizations may also be
advertised or included in sales literature. More detailed information as to the
calculation of performance information, as well as comparisons with unmanaged
market indices, appears in the Statement of Additional Information.
PERFORMANCE DATA. Effective yields and total returns for the Subaccounts
are based on the investment performance of the corresponding Portfolios of the
Series Funds. The Series Funds' performance in part reflects the Series Funds'
expenses. See the Prospectuses for the Series Funds.
The yield of the Money Market Subaccount refers to the annualized income
generated by an investment in the Subaccount over a specified seven-day period.
The yield is calculated by assuming that the income generated for that seven-day
period is generated each seven-day period over a 52-week period and is shown as
a percentage of the investment. The effective yield is calculated similarly but,
when annualized, the income earned by an investment in the Subaccount is assumed
to be reinvested. The effective yield will be slightly higher than the yield
because of the compounding effect of this assumed reinvestment.
The yield of a Subaccount (except the Money Market Subaccount) refers to
the annualized income generated by an investment in the Subaccount over a
specified 30-day or one-month period. The yield is calculated by assuming that
the income generated by the investment during that 30-day or one-month period is
generated each period over a 12-month period and is shown as a percentage of the
investment.
Yield quotations do not reflect the Withdrawal Charge.
The total return of a Subaccount refers to return quotations assuming
Accumulation Value has been held in the Subaccount for various periods of time
including, but not limited to, a period measured from the date the Subaccount
commenced operations. When a Subaccount has been in operation for one, five, and
ten years, respectively, the total return for these periods will be provided.
The average annual total return quotations represent the average annual
compounded rates of return that would equate an initial investment of $1,000
under a Policy to the redemption value of that investment as of the last day of
each of the periods for which total return quotations are provided. Average
annual total return information shows the average percentage change in the value
of an investment in the Subaccount from the beginning date of the measuring
period to the end of that period. This standardized version of average annual
total return reflects all historical investment results, less all charges and
deductions applied against the Subaccount (including any Withdrawal Charge that
would apply if an Owner terminated the Policy at the end of each period
indicated). Such average annual total return information for the subaccounts of
the Policy is as follows:
18
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- ----------------------------------------------- ----------- =============
SUBACCOUNT 1 Year From
AVERAGE ANNUAL TOTAL RETURN TABLE Ended Inception
Subaccount (date of inception) 12/31/97 to 12/31/97
(Policy issued without Enhanced Death Benefit) % %
- ----------------------------------------------- ----------- =============
Alger American Growth (12/13/96) 16.76 15.92
Alger American Small Capitalization (12/13/96) 3.42 3.26
Federated Prime Money Fund II (12/13/96) -2.58 -2.46
Federated Fund for U.S. Government Securities
(12/13/96) 0.81 0.77
Fidelity VIP II Asset Manager: Growth
(12/13/96) 16.13 15.32
Fidelity VIP II Contrafund (12/13/96) 15.27 14.50
Fidelity VIP Equity Income (12/13/96) 18.96 17.99
Fidelity VIP II Index 500 (5/1/98) N/A N/A
MFS Emerging Growth (12/13/96) 13.19 12.53
MFS High Income (12/13/96) 5.49 5.22
MFS Research (12/13/96) 11.66 11.09
MFS Value Series (5/1/98) N/A N/A
MFS World Government (12/13/96) -8.21 -7.84
Pioneer Capital Growth (5/1/98) N/A N/A
Pioneer Real Estate (5/1/98) N/A N/A
Scudder Global Discovery (5/1/98) N/A N/A
Scudder Growth & Income (5/1/98) N/A N/A
Scudder International (12/13/96) 1.26 1.20
T. Rowe Price International (12/13/96) -4.29 -4.09
T. Rowe Price New America Growth (12/13/96) 12.46 11.84
T. Rowe Price Equity Income (12/13/96) 19.65 18.65
T. Rowe Price Limited-Term Bond (12/13/96) -0.91 0.86
T. Rowe Price Personal Strategy Balanced
(12/13/96) 9.60 9.13
=============================================== =========== =============
NON-STANDARDIZED PERFORMANCE DATA. In addition to the version described
above, total return performance information computed on different non-standard
bases may be used in advertisements. Average annual total return information may
be presented, computed on the same basis as described above, except deductions
will not include the Withdrawal Charge. In addition, Companion may from time to
time disclose average annual total return in non-standard formats and cumulative
total return for Policies funded by the Subaccounts. Such non-standardized
(i.e., assumes no Surrender Charge) average annual total return information for
the Subaccounts of Policies is as follows:
- ----------------------------------------------- ----------- =============
SUBACCOUNT NON-STANDARDIZED 1 Year From
AVERAGE ANNUAL TOTAL RETURN TABLE Ended Inception
Subaccount (date of inception) 12/31/97 to 12/31/97
(Policy issued without Enhanced Death Benefit) % %
- ----------------------------------------------- ----------- =============
Alger American Growth (12/13/96) 24.15 22.90
Alger American Small Capitalization (12/13/96) 9.96 9.47
Federated Prime Money Fund II (12/13/96) 3.58 3.41
Federated Fund for U.S. Government Securities
(12/13/96) 7.18 6.84
Fidelity VIP II Asset Manager: Growth
(12/13/96) 23.48 22.26
Fidelity VIP II Contrafund (12/13/96) 22.56 21.40
Fidelity VIP Equity Income (12/13/96) 26.48 25.10
Fidelity VIP II Index 500 (5/1/98) N/A N/A
MFS Emerging Growth (12/13/96) 20.35 19.31
MFS High Income (12/13/96) 12.16 11.56
MFS Research (12/13/96) 18.73 17.77
MFS Value Series (5/1/98) N/A N/A
MFS World Government (12/13/96) -2.41 -2.30
Pioneer Capital Growth (5/1/98) N/A N/A
Pioneer Real Estate (5/1/98) N/A N/A
Scudder Global Discovery (5/1/98) N/A N/A
Scudder Growth & Income (5/1/98) N/A N/A
Scudder International (12/13/96) 7.67 7.29
T. Rowe Price International (12/13/96) 1.76 1.68
T. Rowe Price New America Growth (12/13/96) 19.58 18.58
T. Rowe Price Equity Income (12/13/96) 27.22 25.79
T. Rowe Price Limited-Term Bond (12/13/96) 5.36 5.11
T. Rowe Price Personal Strategy Balanced
(12/13/96) 16.53 15.70
=============================================== =========== =============
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THE FIGURES ABOVE ARE NOT AN INDICATION OF PRESENT, PAST, OR FUTURE PERFORMANCE
OF THE APPLICABLE SUBACCOUNTS OR OF THE ACTUAL PORTFOLIOS AVAILABLE UNDER THE
POLICY.
ADJUSTED HISTORICAL PERFORMANCE DATA. Companion may, from time to time, also
disclose yield, standard total returns, and non-standard total returns for the
Portfolios of the Series Funds, including such disclosure for periods prior to
the dates the Subaccounts commenced operations. For periods prior to the date
the Subaccount commenced operations, performance information for Policies will
be calculated based on the performance of the Series Fund Portfolios and the
assumption that the Subaccounts were in existence for the same periods as those
indicated for the Series Fund Portfolios, with the level of Policy charges that
are currently in effect (this is referred to as "adjusted historical"
performance data).
PORTFOLIO PERFORMANCE DATA. Companion may also disclose average annual total
returns for Series Fund Portfolios since their inception, including such
disclosure for periods prior to the date the Variable Account commenced
operations. These figures do not reflect the Variable Account or Policy
expenses. Such average annual total return information is as follows:
- ------------------------------------------------- -------- ---------- ==========
1 Year 5 Years 10 Years Since
Ended Ended Ended Inception
Series Fund 12/31/96 12/31/96 12/31/96 to
(date of inception) % % % 12/31/96
%
- ------------------------------------------------- -------- ---------- ==========
Alger American Growth (1/9/89) 13.35 16.63 N/A 18.65
Alger American Small Capitalization
(9/21/88) 4.18 11.02 N/A 20.21
Federated Prime Money Fund II (11/21/94) 4.75 N/A N/A 4.95
Federated Fund for U.S. Government
Securities (3/28/94) 4.20 N/A N/A 5.62
Fidelity VIP II Asset Manager:
Growth (1/3/95) 20.04 N/A N/A 21.56
Fidelity VIP II Contrafund (1/3/95) 21.22 N/A N/A 30.19
Fidelity VIP Equity Income (10/9/86) 14.28 17.98 13.74 13.43
Fidelity VIP II Index 500 (8/27/92) 22.82 N/A N/A 17.08
MFS Emerging Growth (7/24/95) 17.02 N/A N/A 24.76
MFS High Income (7/26/95) 11.80 N/A N/A 12.00
MFS Research (7/26/95) 22.33 N/A N/A 23.46
MFS Value Series (8/14/96) N/A N/A N/A 8.78
-------- 4.03 N/A N/A 7.39
MFS World Government (6/14/94)
Pioneer Capital Growth (7/25/90) 11.66 20.34 N/A 17.48
Pioneer Real Estate (10/25/93) 36.46 N/A N/A 12.95
Scudder Global Discovery (5/1/96) N/A N/A N/A 5.50
Scudder Growth & Income (5/2/94) 22.17 N/A N/A 21.69
Scudder International (5/1/87) 14.78 11.05 N/A 9.93
T. Rowe Price International (3/31/94) 14.70 N/A N/A 9.94
T. Rowe Price New America Growth (3/31/94 20.09 N/A N/A 24.60
T. Rowe Price Equity Income (3/31/94) 19.56 N/A N/A 21.93
T. Rowe Price Limited-Term Bond (5/17/94) 3.26 N/A N/A 5.97
T. Rowe Price Personal Strategy Balanced
(12/31/94) 14.21 N/A N/A 21.22
================================ ============== ======== ========== ==========
Non-standard performance data will only be disclosed if the standard
performance data for the required periods is also disclosed. For additional
information regarding the calculation of other performance data, please refer to
the Statement of Additional Information.
In advertising and sales literature, the performance of each Subaccount
may be compared to the performance of other variable annuity issuers in general
or to the performance of particular types of variable annuities investing in
mutual funds, or mutual fund portfolios with investment objectives similar to
each of the Subaccounts. Lipper Analytical Services, Inc. ("Lipper") and the
Variable Annuity Research Data Service ("VARDS") are independent services which
monitor and rank the performance of variable annuity issuers in each of the
major categories of investment objectives on an industry-wide basis.
Lipper's rankings include variable life insurance issuers as well as
variable annuity issuers. VARDS rankings compare only variable annuity issuers.
The performance analyses prepared by Lipper and VARDS each rank such issuers on
the basis of total return, assuming reinvestment of distributions, but do not
take sales charges, redemption fees, or certain expense deductions at the
separate account level into consideration. In addition, VARDS prepares risk
adjusted rankings, which consider the effects of market risk on total return
performance. This type of ranking provides data as to which funds provide the
highest total return within various categories of funds defined by the degree of
risk inherent in their investment objectives.
20
<PAGE>
Advertising and sales literature may also compare the performance of each
Subaccount to the Standard & Poor's Index of 500 Common Stocks, a widely used
measure of stock performance. This unmanaged index assumes the reinvestment of
dividends but does not reflect any "deduction" for the expense of operating or
managing an investment portfolio. Other independent ranking services and indices
may also be used as a source of performance comparison.
Companion may also report other information including the effect of
tax-deferred compounding on a Subaccount's investment returns, or returns in
general, which may be illustrated by tables, graphs, or charts. All income and
capital gains derived from Subaccount investments are reinvested and can lead to
substantial long-term accumulation of assets, provided that the underlying
portfolio's investment experience is positive.
THE FIXED ACCOUNT
This Prospectus is generally intended to serve as a disclosure document only
for the Policy and the Variable Account. For complete details regarding the
Fixed Account, see the Policy itself.
PURCHASE PAYMENTS ALLOCATED AND AMOUNTS TRANSFERRED TO THE FIXED ACCOUNT
BECOME PART OF THE GENERAL ACCOUNT ASSETS OF COMPANION. INTERESTS IN THE GENERAL
ACCOUNT HAVE NOT BEEN REGISTERED UNDER THE SECURITIES ACT OF 1933 (THE "1933
ACT"), NOR IS THE GENERAL ACCOUNT REGISTERED AS AN INVESTMENT COMPANY UNDER THE
1940 ACT. ACCORDINGLY, NEITHER THE GENERAL ACCOUNT NOR ANY INTERESTS THEREIN ARE
GENERALLY SUBJECT TO THE PROVISIONS OF THE 1933 OR 1940 ACTS, AND COMPANION HAS
BEEN ADVISED THAT THE STAFF OF THE SECURITIES AND EXCHANGE COMMISSION HAS NOT
REVIEWED THE DISCLOSURES IN THIS PROSPECTUS WHICH RELATE TO THE FIXED ACCOUNT.
The Fixed Account includes all the assets of Companion except those
segregated in the Variable Account or in any other separate investment account.
The Policy Owner may allocate Purchase Payments to the Fixed Account at the time
of a Purchase Payment or transfer amounts from the Variable Account to the Fixed
Account. Instead of the Policy Owner bearing the investment risk, as is the case
for Accumulation Value in the Variable Account, Companion bears the full
investment risk for all Accumulation Value in the Fixed Account. Companion has
sole discretion to invest the assets of its general account, including the Fixed
Account, subject to applicable law.
Companion guarantees that it will credit interest to amounts in the Fixed
Account at an effective rate of at least 3% per year. Companion may, IN ITS SOLE
DISCRETION, credit amounts in the Fixed Account with interest at a current
interest rate in excess of 3%. Once declared, a current interest rate will be
guaranteed for at least one year. ONE TRANSFER OUT OF THE FIXED ACCOUNT IS
ALLOWED EACH POLICY YEAR. Moreover, the maximum amount that can be transferred
out of the Fixed Account during any Policy Year will be determined by Companion
in its sole discretion, but will not be less than 10% of Fixed Account Value on
the date of the transfer. No charge is imposed on such transfers. Companion
reserves the right to modify transfer privileges at any time. (See "THE ELIGIBLE
INVESTMENTS:Transfers.") Partial withdrawals from the Fixed Account are limited
to a pro rata amount (with withdrawals from the Variable Account). Withdrawals
and transfers from the Fixed Account may be delayed for up to six months, and
withdrawals may be subject to a Withdrawal Charge. (See "DISTRIBUTIONS UNDER THE
POLICY: Withdrawals.") For purposes of crediting interest, the oldest payment or
transfer into the Fixed Account, plus interest allocable to that payment or
transfer, is considered to be withdrawn or transferred out first; the next
oldest payment plus interest is considered to be transferred out next, and so on
(this is a " first-in, first-out" procedure).
Companion guarantees that, at any time prior to the Annuity Starting Date,
the amount in the Fixed Account allocable to a particular Policy will be not be
less than the amount of the Purchase Payments allocated or transferred to the
Fixed Account, plus interest at an effective rate of 3% per year, plus any
excess interest credited to amounts in the Fixed Account, less any amounts
deducted from the Fixed Account in connection with partial withdrawals
(including any Withdrawal Charges) or transfers to the Variable Account.
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<PAGE>
The current interest rates will be determined by Companion in its sole
discretion.
COMPANION'S MANAGEMENT HAS COMPLETE AND SOLE DISCRETION TO DETERMINE THE
CURRENT INTEREST RATES. COMPANION CANNOT PREDICT OR GUARANTEE THE LEVEL OF
FUTURE CURRENT INTEREST RATES, EXCEPT THAT COMPANION GUARANTEES THAT FUTURE
CURRENT INTEREST RATES WILL NOT BE BELOW AN EFFECTIVE RATE OF 3% PER YEAR
COMPOUNDED ANNUALLY. THE POLICY OWNER BEARS THE RISK THAT CURRENT INTEREST RATES
WILL NOT EXCEED AN EFFECTIVE RATE OF 3% PER YEAR.
TRANSFERS
SUBJECT TO the limitations and restrictions described below, transfers out of
a Subaccount of the Variable Account may be made any time prior to the Annuity
Starting Date, by sending Written Notice, signed by the Policy Owner, to the
Service Office. Companion reserves the right, at any time and without notice to
any party, to modify the transfer privileges under the Policy.
An Owner can transfer Accumulation Value from one Subaccount of the Variable
Account to another, or from the Variable Account to the Fixed Account within
certain limits. The minimum amount which may be transferred is the lesser of
$500 or the entire Subaccount Value. If the Subaccount Value remaining after a
transfer is less than $500, Companion will include that amount as part of the
transfer. Transfers out of a Subaccount currently may be made as often as the
Owner wishes, subject to the minimum amount specified above (Companion reserves
the right to otherwise limit or restrict transfers in the future or to eliminate
the transfer privilege). Companion reserves the right to restrict transfers from
the Variable Account to the Fixed Account of amounts previously transferred from
the Fixed Account, for a period of time determined by Companion.
A transfer fee of $10 may be imposed for any transfer in excess of 12 per
Policy Year. The transfer fee is deducted from the amount transferred. (See
"CHARGES AND DEDUCTIONS.")
Transfers from the Fixed Account currently may be made only once each Policy
Year. Transfers from the Fixed Account do not count toward the 12 free transfer
limit described above, and no transfer charge will be imposed on transfers from
the Fixed Account. Moreover, the maximum amount that can be transferred out of
the Fixed Account during any Policy Year is 10% of the Fixed Account Value on
the date of the transfer.
The Policy is designed as a long-term investment, for retirement or other
financial planning. The Policy is not intended for active trading or "market
timing." Excessive transfers could harm other Policy Owners by having a
detrimental effect on portfolio management (which could occur, for example, if
it caused excessive commission expense or caused the manager to keep higher cash
reserves than otherwise). Therefore, Companion reserves the right to limit the
number of Transfers from the Subaccounts of the Variable Account and the Fixed
Account if Companion believes that: (a) excessive trading by the Policy Owner or
a specific Transfer request would have a detrimental effect on Accumulation Unit
values or the share prices of the Portfolios; or (b) Companion is informed by
one or more of the Series Funds or the Variable Account that the purchase or
redemption of shares is to be restricted because of excessive trading or a
Transfer or group of Transfers is deemed to have a detrimental effect on share
prices of one or more Portfolios or the Variable Account.
Where permitted by law, Companion may accept a Policy Owner's authorization
of third party reallocation on such Owner's behalf, subject to Companion's
rules. Companion may suspend or cancel such acceptance at any time. For example,
third party reallocation by "market timers" could be suspended if they cause
harm to other Policy Owners. Companion will notify the Policy Owner of any such
suspension or cancellation. Companion may restrict the availability of
Subaccounts and the Fixed Account for Transfers during any period in which the
Policy Owner authorizes such third party to act on his behalf. Companion will
give Owners prior notification of any such restrictions. However, Companion will
not enforce such restrictions if it is provided with satisfactory evidence that:
(a) such third party has been appointed by a court of competent jurisdiction to
act on the Policy Owner's behalf; or (b) such third party has been appointed by
the Policy Owner to act on his behalf for all his financial affairs.
DOLLAR COST AVERAGING
Under the Dollar Cost Averaging program, the Policy Owner can instruct
Companion to automatically transfer, on a periodic basis, a predetermined amount
or percentage specified by the Policy Owner from any one Subaccount or the Fixed
Account to any Subaccount(s) of the Variable Account. The automatic transfers
can occur monthly, quarterly, semi-annually, or annually, and the amount
transferred each time must be at least $100 and must be $50 per Subaccount. At
the time the program begins, there must be at least $5,000 of Accumulation Value
in the applicable Subaccount or the Fixed Account. If transfers are made from
the Fixed Account, the maximum periodic transfer amount is 10% of that account's
value at the time of the first Dollar Cost Averaging transfer. There is no
maximum transfer amount requirement out of the Subaccounts of the Variable
Account.
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<PAGE>
If a percentage is specified for Dollar Cost Averaging transfers, the
percentage is calculated on the date each transfer is processed. This means the
amount of the transfer may vary with each transaction, and is dependent upon the
Accumulation Value of the Subaccount(s) or Fixed Account from which the transfer
is to be made. If a predetermined dollar amount is specified for Dollar Cost
Averaging transfers, the amount of the transfer will not vary with each
transaction regardless of changes in the Accumulation Value of the Subaccount(s)
or Fixed Account from which transfers are made. The predetermined dollar amount
may be changed by providing Written Notice to Companion. Dollar Cost Averaging
results in the purchase of more Accumulation Units when the Accumulation Unit
value is low, and fewer units when the Accumulation Unit value is high. However,
there is no guarantee that the Dollar Cost Averaging program will result in
higher Accumulation Value or otherwise be successful.
The Policy Owner can request participation in the Dollar Cost Averaging
program when purchasing the Policy or at a later date. Dollar Cost Averaging
program transfers cannot begin before the end of a Policy's free look (a/k/a
"right to examine") period. Transfers will begin on the first through the 25th
day (or, if not a Valuation Date, the next following Valuation Date). as
specified by the Owner, following the Policy's free look period. If no date is
selected, the Dollar Cost Averaging program will begin on the next Policy
monthly anniversary following the date the Policy's free look period ends.. The
Owner can specify that only a certain number of transfers will be made, in which
case the program will terminate when that number of transfers has been made.
Otherwise, the program will terminate when the amount remaining in the
applicable Subaccount or, if applicable, the Fixed Account is less than $500.
The Owner can increase or decrease the amount or percentage of the transfers
or discontinue the program by sending Written Notice to the Service Office or by
telephone, if telephone transactions are authorized. There is no charge for
participation in this program.
ASSET ALLOCATION PROGRAM
Under the Asset Allocation Program, the Policy Owner can instruct Companion
to allocate purchase payments and Accumulation Value among the Subaccounts of
the Variable Account and the Fixed Account in accordance with allocation
instructions specified by the Policy Owner. Companion will rebalance a Policy
Owner's investment by allocating purchase payments and transferring Accumulation
Value among the Subaccounts and the Fixed Account to ensure conformity with
current allocation instructions. Rebalancing will be performed on a quarterly,
semi-annual or annual basis as specified by the Policy Owner. Transfers of
Accumulation Value made pursuant this program will not be counted in determining
whether the Transfer Fee applies. At the time the program begins, there must be
at least $10,000 of Accumulation Value under the Policy.
The Policy Owner can request participation in the Asset Allocation Program
when purchasing the Policy or at a later date. The Owner can change his
allocation percentage or discontinue the program by sending Written Notice to
the Service Office. There is no charge for participation in this program.
THE POLICY
The Ultrannuity Series V Variable Annuity Policy is a Flexible Payment
Variable Deferred Annuity Policy. The rights and benefits under the Policy are
summarized below; however, the description of the Policy contained in this
Prospectus is qualified in its entirety by the Policy itself, a copy of which is
available upon request from Companion. The Policy may be purchased on a non-tax
qualified basis ("Nonqualified Policy") or in connection with retirement plans
or individual retirement accounts that qualify for favorable income tax
treatment ("Qualified Policy"). The Policy will remain in force until
surrendered for its Cash Surrender Value, or all Proceeds have been paid under a
Payout Option or as a death benefit or upon termination.
POLICY APPLICATION AND ISSUANCE OF POLICIES
Before it will issue a Policy, Companion must receive a completed Policy
application and a minimum initial Purchase Payment of $5,000. A Nonqualified
Policy ordinarily will be issued only in respect of Owners Age 0 through 83, and
a Qualified Policy ordinarily will be issued only in respect of Owners Age 0
through 70 1/2. Companion reserves the right to reject any application or
Purchase Payment.
Under Companion's Electronic Funds Transfer program, the Owner can select a
monthly payment schedule pursuant to which purchase payments will be
automatically deducted from a bank or credit union account or other sources. The
minimum size of an initial Purchase Payment must be at least $2,000. Each
subsequent monthly payment must be at least $100.
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If the application can be accepted in the form received, the initial Purchase
Payment will be credited to the Accumulation Value within two business days
after the later of receipt of the application or receipt of the initial Purchase
Payment. If the initial Purchase Payment cannot be credited because the
application or other issuing requirements are incomplete, the applicant will be
contacted within five business days of receipt and given an explanation for the
delay, and the initial Purchase Payment will be returned at that time unless the
applicant consents to Companion's retaining the initial Purchase Payment and
crediting it as soon as the necessary requirements are completed.
The date on which the initial Purchase Payment is credited to the
Accumulation Value is the Date of Issue. The Date of Issue is the date used to
determine Policy Years and Policy anniversaries.
PURCHASE PAYMENTS
All initial Purchase Payment checks or drafts should be made payable to
Companion Life Insurance Company and sent to the Service Office. Additional
Purchase Payments should be sent to the Service Office. The death benefit will
not take effect until the check or draft for the Purchase Payment is honored.
INITIAL PURCHASE PAYMENT. The minimum initial Purchase Payment that Companion
currently will accept under both a Nonqualified Policy and a Qualified Policy is
$5,000 except under the Electronic Funds Transfer Program where the minimum
initial Purchase Payment is $2,000. Companion reserves the right to increase or
decrease this amount. The initial Purchase Payment is the only Purchase Payment
required to be paid under a Policy.
ADDITIONAL PURCHASE PAYMENTS. The Owner may pay additional Purchase Payments.
The minimum additional Purchase Payment under both a Nonqualified Policy and a
Qualified Policy is $500 except under the Electronic Funds Transfer Program
where the minimum additional Purchase Payment is $100. Additional Purchase
Payments will be credited to the Policy and added to the Accumulation Value as
of the Valuation Date when they are received at the Service Office. Companion
will not accept any additional Purchase Payments beginning on the Policy
Anniversary following the Owner's 83rd birthday.
ALLOCATION OF PURCHASE PAYMENTS. An Owner must allocate Purchase Payments to
one or more of the Eligible Investments. The Owner must specify the initial
allocation in the Policy application. This allocation will be used for
additional Purchase Payments unless the Owner requests a change of allocation.
All allocations must be made in whole percentages and must total 100%. The
minimum allocation amount is $500. If the Owner fails to specify how Purchase
Payments are to be allocated, the Purchase Payment(s) cannot be accepted. The
initial Purchase Payment will be allocated to the Owner's selected Subaccounts
on the Date of Issue. All additional Purchase Payments received after the end of
the free look period will be allocated and credited to the Owner's Policy as of
the Valuation Period during which they are received.
The Owner may change the allocation instructions for future additional
Purchase Payments by sending Written Notice, signed by the Owner, to Companion's
Service Office. The allocation change will apply to payments received on or
after the date the Written Notice is received.
PAYMENT NOT HONORED BY BANK. Any payment due under the Policy which is
derived, all or in part, from any amount paid to Companion by check or draft may
be postponed until such time as Companion determines that such instrument has
been honored. Payment by certified check, banker's draft, or cashier's check
will be promptly applied.
ACCUMULATION VALUE
On the Date of Issue, the Accumulation Value equals the initial Purchase
Payment. On any Valuation Date thereafter, the Accumulation Value equals the sum
of the values in the Variable Account and the Fixed Account.
The Accumulation Value is expected to change from Valuation Period to
Valuation Period, reflecting the expenses and investment experience of the
selected Eligible Investments as well as the Variable Account deductions for
charges.
THE VARIABLE ACCOUNT VALUE. The Accumulation Value for each Subaccount is
equal to:
(a) the current number of Accumulation Units in the Subaccount for the
Policy; multiplied by
(b) the current Accumulation Unit value.
A Purchase Payment or transfer allocated to a Subaccount is converted into
Accumulation Units by dividing it by the Accumulation Unit value for the
Valuation Period during which the Purchase Payment or transfer is allocated to
the Variable Account. The initial Accumulation Unit value for each Subaccount
was set at $10 when the Subaccount was established. The Accumulation Unit value
may increase or decrease from one Valuation Date to the next.
The Accumulation Unit value for a Subaccount on any Valuation Date is
calculated as follows:
(a) The net asset value per share of the Portfolio multiplied by the
number of shares held in the Subaccount, before the purchase or
redemption of any shares on that date; minus
(b) the cumulative unpaid charge for the Mortality and Expense Risk
Charge and Administrative Expense Charge; minus
(c) any applicable charge for federal and state income taxes, if any;
the result divided by
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(d) the total number of Accumulation Units held in the Subaccount on
the Valuation Date, before the purchase or redemption of any
Accumulation Units on that day.
Positive investment experience of the applicable Portfolio will increase the
Accumulation Unit values and negative investment experience will decrease the
Unit values. Expenses and deductions will have a negative effect on Unit values.
THE FIXED ACCOUNT VALUE. The Accumulation Value of the Fixed Account on
any Valuation Date is equal to:
(a) the Accumulation Value at the end of the preceding Policy Month;
plus
(b) any Purchase Payments credited since the end of the previous
Policy Month; plus
(c) any transfers from the Subaccounts credited to the Fixed Account
since the end of the previous Policy Month; minus
(d) any transfers from the Fixed Account to the Subaccounts since the
end of the previous Policy Month; minus
(e) any partial withdrawal and Withdrawal Charge taken from the Fixed
Account since the end of the previous Policy Month; plus
(f) interest credited on the Fixed Account balance.
Companion guarantees that the Accumulation Value in the Fixed Account will be
credited with an effective annual interest rate of at least 3%.
NON-PARTICIPATING POLICY
The Policy does not participate or share in the profits or surplus earnings
of Companion. No dividends are payable on the Policy.
TERMINATION
If the Accumulation Value is less than $500, Companion may cancel the
Policy upon 60 days' notice to the Owner. This cancellation will be considered a
full surrender of the Policy. If the Accumulation Value in any Subaccount falls
below $500, Companion reserves the right to transfer the remaining balance,
without charge, to the Money Market Subaccount.
DISTRIBUTIONS UNDER THE POLICY
WITHDRAWALS
The Owner may withdraw all or a portion of the Cash Surrender Value in
exchange for a cash payment from Companion. The Cash Surrender Value is the
Accumulation Value less any applicable Withdrawal Charge and any applicable
Policy Fee. (See "CHARGES AND DEDUCTIONS.").
The Owner may withdraw Cash Surrender Value from the Variable Account at
any time prior to the Annuity Starting Date, and after the Annuity Starting Date
if Payout Option 2 is elected as a variable annuity payout option, by sending a
Written Request to Companion's Service Office. The minimum amount that can be
withdrawn from any Eligible Investment is $500. After a partial withdrawal, the
remaining Accumulation Value must be at least $500. In the absence of written
instructions from the Owner, withdrawals will result in cancellation of
Accumulation Units from each applicable Subaccount and the deduction of
Accumulation Value from the Fixed Account in the ratio that the value of each
such Eligible Investment bears to the total Accumulation Value of the Policy
(i.e., pro rata from each Eligible Investment). No more than a pro-rata amount
may be withdrawn from the Fixed Account for any partial withdrawal. If the Owner
requests a surrender, the Policy must be returned to the Service Office.
Withdrawals from the Fixed Account may be delayed for up to six months.
Each Policy Year the Owner may withdraw up to 15% of Accumulation Value as
of the date of the first withdrawal that year without deduction of a Withdrawal
Charge. Amounts withdrawn in excess of this free withdrawal amount may be
subject to the Withdrawal Charge of up to 7%. For a discussion of the Withdrawal
Charge, see "CHARGES AND DEDUCTIONS: Withdrawal Charge."
Withdrawals may be taxable and subject to a penalty tax. (See "CHARGES AND
DEDUCTIONS: Certain Federal Income Tax Consequences.")
Since the Owner assumes the investment risk with respect to Purchase
Payments allocated to the Variable Account, and because surrenders and
withdrawals are subject to a Withdrawal Charge, and possibly a charge for
premium taxes, the total amount paid upon total surrender of the Policy (taking
any prior partial withdrawals into account) may be more or less than the total
Purchase Payments made. Following a surrender of the Policy, or at any time the
Accumulation Value is zero, all rights of he Owner will terminate.
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SYSTEMATIC WITHDRAWAL PLAN
Under the Systematic Withdrawal Plan, the Policy Owner can instruct
Companion to make automatic payments of a predetermined dollar amount or fixed
percentage of Accumulation Value to them monthly, quarterly, semi-annually or
annually from a specified Eligible Investment. The minimum systematic withdrawal
payment is $100. The "Request for Systematic Withdrawal" form must specify a
date for the first payment, which must be at least 30 but not more than 90 days
after the form is submitted. The Owner may specify the Eligible Investments from
which Systematic Withdrawals will be made, but no more than a pro-rata amount
can be withdrawn from the Fixed Account. If the Owner does not specify the
Eligible Investments from which Systematic Withdrawals are to be taken,
Systematic Withdrawals will be taken from each Eligible Investment in the
proportion that the Accumulation Value in each Eligible Investment bears to the
total Accumulation Value of the Policy.
The Withdrawal Charge will apply in accordance with its terms.
A qualified tax adviser should be consulted before a Systematic Withdrawal
Plan is requested since distributions under such a Plan may be taxable and
subject to a penalty tax. (See "CHARGES AND DEDUCTIONS: Certain Federal Income
Tax Consequences.")
ANNUITY PAYMENTS
Payees receiving Annuity Payments under the Policy must be individuals who
receive payments in their own behalf unless otherwise agreed to by Companion.
Any Payout Option chosen will be effective when Companion acknowledges it.
Companion may require proof of the Owner's or the Annuitant's age or survival.
The level of Annuity Payments is determined by the Accumulation Value, the age
and sex of the Annuitant, and the Payout Option elected. Where required by law,
Annuity Payments will be determined without regard to the Annuitant's sex.
Amounts applied to Annuity Payments may be subject to an Withdrawal Charge.
(See "CHARGES AND DEDUCTIONS: Withdrawal Charge.") However, a Withdrawal Charge
will not apply on the Annuity Starting Date if the Accumulation Value is applied
after the second Policy Anniversary to provide lifetime Annuity Payments under
Payout Option 4.
ANNUITY STARTING DATE. Unless the Annuity Starting Date is changed, Annuity
Payments under a Policy will begin on the Annuity Starting Date which is
selected by the Policy Owner at the time the Policy is applied for. The latest
Annuity Starting Date permitted is when the Annuitant attains age 90. An earlier
Annuity Starting Date is required for Qualified Contracts. The Annuity Starting
Date may be changed from time to time by the Policy Owner by Written Notice to
Companion, provided that notice of each change is received by Companion at its
Service Office at least thirty (30) days prior to the then current Annuity
Starting Date.
ELECTION OF PAYOUT OPTION. The Policy Owner will choose a Payout Option,
under which the Policy Proceeds will be paid to the Payee(s), in the Policy
application. However, during the lifetime of the Owner and prior to the Annuity
Starting Date, the Policy Owner may change the election, but Written Notice of
any election or change of election must be received by Companion at its Service
Office at least thirty (30) days prior to the Annuity Starting Date. If no
election is made prior to the Annuity Starting Date, Annuity Payments will be
made under Option 4 providing lifetime income with guaranteed payments for 10
years. Companion reserves the right to pay the Proceeds in one sum when the
Proceeds are less than $2,000, or when the Payout Option chosen would result in
periodic payments of less than $20.
If the Owner dies prior to the Annuity Starting Date (and the Policy is in
force), the Beneficiary may elect to receive the death benefit under one of the
Payout Options, to the extent allowed by law and subject to the terms of any
settlement agreement. (See "DISTRIBUTIONS UNDER THE POLICY: Death Benefit.")
The longer the guaranteed or projected Payout Option period, the lower the
amount of each payment.
Unless the Policy Owner specifies otherwise, the Payee shall be the
Annuitant.
FIXED ANNUITY PAYMENTS. Fixed annuity payments are available under all six
Payout Options below. Under each fixed Payout Option the amount of each payment
will be set on the Annuity Starting Date and will not change. Annuity Payments
will begin on that date. The Accumulation Value reduced by any Withdrawal Charge
will be transferred to the general account of Companion, and the Annuity
Payments will be fixed in amount by the fixed annuity provisions selected and
the age and sex (if consideration of sex is allowed) of the Annuitant. The
guaranteed effective annual interest rate used in the Payout Options is 3%.
Using a procedure approved by its Board of Directors, Companion may, at its sole
discretion, declare additional interest to be paid or credited annually for
Payout Options 1, 2, 3, or 6. Current immediate annuity rates for the same class
of annuities will be used if higher than the guaranteed amounts (guaranteed
amounts are based upon the tables contained in the Policy). The guaranteed
amounts are based on the 1983 Table "A" mortality table, and 3.0% guaranteed
interest rate. Current amounts may be obtained from Companion. For further
information, contact Companion at its Service Office.
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VARIABLE ANNUITY PAYMENTS. Only Payout Options 2, 4, and 6 are available
for variable annuity payments. The dollar amount of the first monthly annuity
payment will be determined by applying the Accumulation Value reduced by any
Withdrawal Charge allocated to variable annuity payments to the annuity table
applicable to the Payout Option chosen. The tables are determined from the 1983
Table "a" mortality table with an assumed investment rate of 4%. If more than
one subaccount has been selected, the Accumulation Value reduced by any
Withdrawal Charge of each subaccount is applied separately to the annuity table
to determine the amount of the first annuity payment attributable to that
particular subaccount.
All variable annuity payments other than the first will vary in
amount according to the investment performance of the applicable subaccounts.
The amount of each subsequent payment is the sum of: the number of Variable
Annuity Units for each subaccount as determined for the first annuity payment
multiplied by the value of a Variable Annuity Unit for that subaccount 10 days
prior to the date the variable annuity payment is due. This amount may increase
or decrease from month to month.
If the net investment return of a subaccount for a payment period
is equal to the pro-rated portion of the 4% annual assumed investment rate, the
variable annuity payment attributable to that subaccount for that period will
equal the payment for the prior period. To the extent that such net investment
return exceeds an annualized rate of 4% for a payment period, the payment for
that period will be greater than the payment for the prior period and to the
extent that such return for a period falls short of an annualized rate of 4%,
the payment for that period will be less than the payment for the prior period.
TRANSFERS BETWEEN FIXED AND VARIABLE SUBACCOUNTS. After the Annuity
Starting Date the annuitant may exchange the value of a designated number of
Variable Annuity Units of a particular subaccount into other Variable Annuity
Units, the value of which would be such that the dollar amount of an annuity
payment made on the date of the exchange would be unaffected by the fact of the
exchange. No more than four (4) exchanges may be made within each account year.
Transfers may be made between subaccounts and from a subaccount to the
fixed account. No exchanges may be made from the fixed account to the variable
subaccounts. Transfers will be made using the Variable Annuity Unit values for
the Valuation Period during which any request is received by Companion.
Payout Options. The Policy provides six Payout Options which are described
below.
OPTION 1 -- PROCEEDS HELD ON DEPOSIT AT INTEREST. While the Proceeds
are held by Companion, Companion will annually:
(a) pay interest to the Payee; or
(b) add interest to the Proceeds.
OPTION 2 -- INCOME OF A SPECIFIED AMOUNT. The Proceeds will be paid in
monthly installments of a specified amount over at least a five year period
until the Proceeds, with interest or earnings thereon, have been fully paid.
OPTION 3 -- INCOME FOR A SPECIFIED PERIOD. The Proceeds will be paid in
installments for the number of years chosen. The monthly incomes for each $1,000
of Proceeds, shown in the table set forth in the Policy, include interest.
Companion will provide the income amounts for payments other than monthly upon
request.
OPTION 4 -- LIFETIME INCOME. The Proceeds will be paid as monthly
income for as long as the Annuitant lives. The following guarantees are
available:
GUARANTEED PERIOD - The monthly income will be paid for a minimum of
10 years and as long thereafter as the Annuitant lives; or
GUARANTEED AMOUNT - The monthly income will be paid until the sum of
all payments equals the Proceeds placed under this option and as
long thereafter as the Annuitant lives.
If a fixed annuity Payment Option is chosen, the monthly income will be the
amount computed using either the Lifetime Monthly Income Table set forth in the
Policy (which is based on the 1983 Table "A" mortality table and interest at 3%,
adjusted to age last birthday) or, if more favorable to the Annuitant,
Companion's then current lifetime monthly income rates for payment of Proceeds.
If a variable Payout Option is chosen, all variable annuity payments, other than
the first variable annuity payment, will vary in amount according to the
investment performance of the applicable Subaccounts (see "DISTRIBUTIONS UNDER
THE POLICY: Variable Annuity Payments.").
Note Carefully: If no guarantee is elected, then it would be possible for
only one Annuity Payment to be made if the Annuitant(s) were to die before the
due date of the second annuity payment; only two Annuity Payments if the
Annuitant(s) were to die before the due date of the third annuity payment; and
so forth.
When the Annuitant dies, any remaining guaranteed Annuity Payments will be
paid to the Beneficiary. When the last Payee dies, Companion will pay to the
estate of that Payee any remaining guaranteed Annuity Payments.
OPTION 5 -- LUMP SUM. The Proceeds will be paid in one sum.
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<PAGE>
OPTION 6 -- ALTERNATIVE SCHEDULE. Upon request and if available,
Companion will provide payments for other options, including joint and survivor
periods. Certain options may not be available in some states.
Additional information about any Payout Option may be obtained by
contacting the Service Office.
* * *
A portion or the entire amount of the Annuity Payments may be taxable as
ordinary income. If, at the time the Annuity Payments begin, the Policy Owner
has not provided Companion with a written election not to have federal income
taxes withheld, Companion must by law withhold such taxes from the taxable
portion of such annuity payments and remit that amount to the federal
government. Withholding is mandatory for certain Qualified Policies. (See
"CHARGES AND DEDUCTIONS: Certain Federal Income Tax Consequences.")
DEATH BENEFIT
DEATH OF OWNER PRIOR TO ANNUITY STARTING DATE. If any Owner or joint Owner
dies prior to the Annuity Starting Date (and the Policy is in force), the Policy
will terminate, and a death benefit will be paid to the Beneficiary. The death
benefit will equal the largest of (i) the Accumulation Value (without deduction
of the Withdrawal Charge), on the later of the date on which Due Proof of Death
or an election of Payout Option is received by Companion's Service Office; or
(ii) the sum of Purchase Payments, less partial withdrawals.
The death benefit is payable upon receipt of Due Proof of Death of the
first Owner to die, election of a Payout Option, and proof that such Owner died
prior to the commencement of Annuity Payments. The death benefit generally will
be paid within seven days, or as soon thereafter as Companion has sufficient
information about the Beneficiary to make the payment. The Beneficiary may
receive the amount payable in a lump sum cash benefit, or, subject to any
limitation under any state or federal law, rule, or regulation, under one of the
Payout Options described above, unless a settlement agreement is effective at
the death of the Owner that prevents such election. The Beneficiary must make
such election within sixty days of the date Companion receives Due Proof of
Death; otherwise a lump sum payment will be made.
If an Owner of the Policy is a corporation or other nonindividual, the
primary Annuitant will be treated as an Owner of the Policy for purposes of the
death benefit. The "primary Annuitant" is that individual whose life affects the
timing or the amount of the payout under the Policy. A change in the primary
Annuitant will be treated as the death of an Owner.
If the Annuitant is an Owner or joint Owner, the death of the Annuitant
will be treated as the death of an Owner rather than of the Annuitant.
(If the Annuitant is not an Owner and the Annuitant dies before the Annuity
Starting Date, the Owner may name a new Annuitant if such Owner(s) is not a
corporation or other non-individual. If the Owner does not name a new Annuitant,
the Owner will become the Annuitant.)
DEATH OF OWNER ON OR AFTER ANNUITY STARTING DATE. If any Owner or joint
Owner dies on or after the Annuity Starting Date and before all the Proceeds
have been paid, any remaining Proceeds will be paid at least as rapidly as under
the Payout Option in effect at the time of the death.
BENEFICIARY. The Owner may change the named Beneficiary by sending Written
Notice to the Service Office unless the named Beneficiary is irrevocable. When
recorded and acknowledged by Companion, the change will be effective as of the
date the Owner signed the request. The change will not apply to any payments
made or other action taken by Companion before recording. If the named
Beneficiary is irrevocable, the Owner may change the named Beneficiary only by
joint written request from the Owner and the Beneficiary. If more than one named
Beneficiary is designated, and the Policy Owner fails to specify their
interests, they will share equally.
If there are joint Owners, the surviving joint Owner will be deemed the
Beneficiary, and the Beneficiary named in the Policy application or as
subsequently changed will be deemed the contingent Beneficiary. If both joint
Owners die simultaneously, the death benefit will be paid to the contingent
Beneficiary.
If the Beneficiary is the deceased Owner's surviving spouse, the spouse may
elect either to receive the death benefit, in which case the Policy will
terminate, or to continue the Policy in force with the spouse as Owner.
If the named Beneficiary does not survive the Owner, then the estate of the
Owner is the Beneficiary.
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IRS REQUIRED DISTRIBUTION
Federal tax law requires that if a Policy Owner of a nonqualified Policy
dies before the Annuity Starting Date, then the entire value of the Policy must
generally be distributed within five years of the date of death of such Policy
Owner. Therefore, generally, any death benefit must be paid within five years
after the date of death. The five-year rule does not apply to that portion of
the Proceeds which (a) is payable to or for the benefit of an individual
Beneficiary; and (b) will be paid over the lifetime or the life expectancy of
that Beneficiary as long as payments begin not later than one year after the
date of the Owner's death. Special rules may apply to the spouse of the deceased
Owner. See "Federal Tax Matters" in the Statement of Additional Information for
a detailed description of these rules. Other required distribution rules apply
to Qualified Contracts. (See "CHARGES AND DEDUCTIONS: Certain Federal Income Tax
Consequences.") The Policy contains provisions designed to comply with these
requirements.
CHARGES AND DEDUCTIONS
Companion will make certain charges and deductions in connection with the
Policy in order to compensate it for incurring expenses in distributing the
Policy, bearing mortality and expense risks under the Policy, and administering
the Accounts and the Policies. Charges may also be made for federal, state or
local taxes (or the economic burden thereof), or for certain transfers.
Charges and expenses are also deducted from each Portfolio.
WITHDRAWAL CHARGE
Companion will incur expenses relating to the sale of Policies, including
commissions to registered representatives and other promotional expenses.
Companion will apply a Withdrawal Charge, expressed as a percentage of any
Purchase Payment surrendered or withdrawn, in connection with a full surrender
or partial withdrawal, in order to partially cover distribution expenses. The
Withdrawal Charge Percentage will vary depending upon the number of years that
have elapsed since the date the Purchase Payment was made. The amount of the
Withdrawal Charge is determined by multiplying the amount of each Purchase
Payment withdrawn by the applicable Withdrawal Charge Percentages. For purposes
of determining the Withdrawal Charge, the oldest Purchase Payment is considered
to be withdrawn first; the next oldest Purchase Payment is considered to be
withdrawn next, and so on (this is a "first-in, first-out" procedure), and all
Purchase Payments are deemed to be withdrawn before any earnings. The amount of
the partial withdrawal requested plus any Withdrawal Charge will be deducted
from the Accumulation Value on the date an Owner's Written Request is received
at the Service Office. In the absence of other instructions, partial withdrawals
(including any charge) will be deducted from the Subaccounts and the Fixed
Account on a pro-rata basis. No more than a pro-rata amount can be withdrawn
from the Fixed Account. The following is the table of Withdrawal Charge
Percentages:
Years Since Receipt of Purchase Payment 1 2 3 4 5 6 7 8+
Applicable Withdrawal Charge Percentage 7% 6% 5% 4% 3% 2% 1% 0%
Companion anticipates that the Withdrawal Charge will not generate
sufficient funds to pay the cost of distributing the Policies. If this charge is
insufficient to cover the distribution expenses, the deficiency will be met from
Companion's general funds, which will include amounts derived from the charge
for mortality and expense risks (described below).
Each Policy Year, the Owner can withdraw up to 15% of Accumulation Value at
the time of the first withdrawal each year without imposition of the Withdrawal
Charge. A Withdrawal Charge will also not be applied on the Annuity Starting
Date if the Accumulation Value is applied after the second Policy Anniversary to
provide lifetime Annuity Payments under Payout Option 4. (The Withdrawal Charge
will apply to Proceeds placed under Payout Options 1, 2, 3, 5, and 6.) No
Withdrawal Charge will be imposed as a result of any death benefit payment or,
under Qualified Plans, any refund of contributions paid in excess of the Owner's
deductible amounts. Companion will not increase the withdrawal charge.
WAIVER OF WITHDRAWAL CHARGE UPON DISABILITY
The Withdrawal Charge will not be imposed upon any withdrawal where the
Owner is physically disabled. Companion may require proof of such disability,
including written confirmation of receipt and approval of any claim for Social
Security Disability Benefits. Proof of continued disability may be required
through the date of any partial withdrawal or surrender. Companion reserves the
right to have any Owner claiming such disability examined by a licensed
physician. The Disability Waiver is not available if any Owner is receiving
Social Security Disability Benefits on the Date of Issue or is age 65 or older.
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MORTALITY AND EXPENSE RISK CHARGE
Companion imposes a daily charge as compensation for bearing certain
mortality and expense risks in connection with the Policies. This charge is
equal to an annual rate of 1.00% (.0027535% daily) of the value of the net
assets in the Variable Account and it will not increase. The Mortality and
Expense Risk Charge is reflected in the accumulation unit values for each
Subaccount.
Accumulation Values and Annuity Payments are not affected by changes in
actual mortality experience or by actual expenses incurred by Companion. The
mortality risks assumed by Companion arise from its contractual obligations to
make Annuity Payments (determined in accordance with the Annuity tables and
other provisions contained in the Policy) and to pay death benefits prior to the
Annuity Starting Date. Thus, Owners are assured that neither an Annuitant's own
longevity nor an unanticipated improvement in general life expectancy will
adversely affect the periodic Annuity Payments that the Payee will receive under
the Policy.
The expense risk assumed by Companion is the risk that Companion's actual
expenses in administering the Policy will exceed the amount recovered through
the Administrative Charges.
If the Mortality and Expense Risk Charge is insufficient to cover
Companion's actual costs, Companion will bear the loss; conversely, if the
charge is more than sufficient to cover costs, the excess will be profit to
Companion. Companion expects a profit from this charge. To the extent that the
proceeds of the Withdrawal Charge are insufficient to cover the actual cost of
Policy distribution, the deficiency will be met from Companion's general
corporate assets, which may include amounts, if any, derived from the Mortality
and Expense Risk Charge.
ADMINISTRATIVE CHARGES
In order to cover the costs of administering the Policies, Companion
deducts an annual Policy Fee from the Accumulation Value of the Variable Account
and also deducts a daily Administrative Expense Charge from the assets of each
Subaccount.
The annual Policy Fee is deducted from the Accumulation Value of the
Variable Account of each Policy on the last Valuation Date of each Policy Year
prior to the Annuity Starting Date (and upon a complete surrender). This annual
Policy Fee is $30, and it will not be increased. The annual Policy Fee will be
deducted from each Subaccount in the same proportion that the Variable Account
Subaccount Accumulation Value in each such Eligible Investment bears to the
total Variable Account Accumulation Value of the Policy. The portion of the
annual Policy Fee deducted from the Variable Account Subaccounts will be
deducted by canceling Accumulation Units. This fee is waived if the Accumulation
Value exceeds $50,000 on the last Valuation Date of the applicable Policy Year
and if the Variable Account Accumulation Value is insufficient to pay the Policy
Fee. The fee is also waived for sales of the Policy to employees of Companion
Life or its affiliates.
Companion also deducts a daily Administrative Expense Charge from the
assets of each Subaccount of the Variable Account. This charge is equal to an
annual rate of .20% (.0005485% daily) of the net assets of each Subaccount of
the Variable Account. The Administrative Expense Charge will not be increased in
the future.
TRANSFER FEE
There is no charge for transfers from the Fixed Account or for the first 12
transfers from Subaccounts of the Variable Account in each Policy Year. However,
there is a $10 fee for the thirteenth and each subsequent request made by the
Owner to transfer Accumulation Value from a Subaccount during a single Policy
Year. Any applicable Transfer Fee is deducted from the amount transferred. All
transfer requests made simultaneously will be treated as a single request. No
transfer fee will be imposed for any transfer which is not at the Owner's
request. The Transfer Fee will not increase.
FEDERAL, STATE AND LOCAL TAXES
No charges are currently made for federal, state, or local taxes. However,
Companion reserves the right to deduct amounts from the Subaccounts for such
taxes or any other economic burden resulting from imposition of the tax laws
that Companion determines to be properly attributable to the Variable Account in
the future.
OTHER EXPENSES INCLUDING INVESTMENT ADVISORY FEES
Each Portfolio of the Series Funds is responsible for all of its expenses.
The net assets of each Portfolio of the Series Funds will reflect deductions in
connection with the investment advisory fee and other expenses.
For more information concerning the investment advisory fee and other
charges against the Portfolios, see the Summary of this Prospectus and the
prospectuses for the Series Funds, current copies of which accompany this
Prospectus.
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CERTAIN FEDERAL INCOME TAX CONSEQUENCES
THE FOLLOWING DISCUSSION IS A GENERAL DESCRIPTION OF FEDERAL TAX
CONSIDERATIONS RELATING TO THE POLICY AND IS NOT INTENDED AS TAX ADVICE. THIS
DISCUSSION IS NOT INTENDED TO ADDRESS THE TAX CONSEQUENCES RESULTING FROM ALL OF
THE SITUATIONS IN WHICH A PERSON MAY BE ENTITLED TO OR MAY RECEIVE A
DISTRIBUTION UNDER THE POLICY. ANY PERSON CONCERNED ABOUT THESE TAX IMPLICATIONS
SHOULD CONSULT A COMPETENT TAX ADVISOR BEFORE INITIATING ANY TRANSACTION. THIS
DISCUSSION IS BASED UPON COMPANION'S UNDERSTANDING OF THE PRESENT FEDERAL INCOME
TAX LAWS AS THEY ARE CURRENTLY INTERPRETED BY THE INTERNAL REVENUE SERVICE. NO
REPRESENTATION IS MADE AS TO THE LIKELIHOOD OF THE CONTINUATION OF THE PRESENT
FEDERAL INCOME TAX LAWS OR OF THE CURRENT INTERPRETATION BY THE INTERNAL REVENUE
SERVICE. MOREOVER, THIS SUMMARY DISCUSSES ONLY CERTAIN FEDERAL INCOME TAX
CONSEQUENCES TO "UNITED STATES PERSONS," AND NO ATTEMPT HAS BEEN MADE TO
CONSIDER ANY APPLICABLE STATE OR OTHER TAX LAWS. UNITED STATES PERSONS MEANS
CITIZENS OR RESIDENTS OF THE UNITED STATES, DOMESTIC CORPORATIONS, DOMESTIC
PARTNERSHIPS AND TRUSTS OR ESTATES THAT ARE SUBJECT TO UNITED STATES FEDERAL
INCOME TAX REGARDLESS OF THE SOURCE OF THEIR INCOME.
The Policy may be purchased on a non-tax qualified basis ("Nonqualified
Policy") or purchased and used in connection with plans qualifying for favorable
tax treatment ("Qualified Policy"). Qualified Policies are designed for use by
individuals whose Purchase Payments are comprised solely of proceeds from and/or
contributions under retirement plans which are intended to qualify as plans
entitled to special income tax treatment under Sections 401(a), 403(b), 408A, or
457 of the Internal Revenue Code of 1986, as amended (the "Code"). The ultimate
effect of Federal income taxes on the amounts held under a Policy, on Annuity
Payments, and on the economic benefit to the Policy Owner, the Annuitant, or the
Beneficiary depends, among other things, on the type of retirement plan, on the
tax and employment status of the individual concerned and on the employer's tax
status. In addition, certain requirements must be satisfied in purchasing a
Qualified Policy with proceeds from a tax qualified plan and receiving
distributions from a Qualified Policy in order to continue receiving favorable
tax treatment. Therefore, purchasers of Qualified Policies should seek competent
legal and tax advice regarding the suitability of the Policy for their
situation, the applicable requirements, and the tax treatment of the rights and
benefits of the Policy. The following discussion assumes that a Qualified Policy
is purchased with proceeds from and/or contributions under retirement plans that
qualify for the intended special Federal income tax treatment.
TAX STATUS OF THE POLICY
The following discussion is based on the assumption that the Policy
qualifies as an annuity contract for federal income tax purposes. The Statement
of Additional Information discusses the requirements for qualifying as an
annuity.
TAXATION OF ANNUITIES
IN GENERAL. Section 72 of the Code governs taxation of annuities in
general. Companion believes that the Policy Owner who is a natural person
generally is not taxed on increases (if any) in the value of a Policy until
distribution occurs by withdrawing all or part of the Accumulation Value (e.g.,
partial withdrawals, full surrenders or Annuity Payments under the Payout Option
elected). For this purpose, the assignment, pledge, or agreement to assign or
pledge any portion of the Accumulation Value (and in the case of a Qualified
Policy, any portion of an interest in the qualified plan) generally will be
treated as a distribution. The taxable portion of a distribution (in the form of
a single sum payment or an annuity) is taxable as ordinary income.
The owner of any annuity contract who is not a natural person generally
must include in income any increase in the excess of the Policy's Accumulation
Value over the "investment in the contract" (discussed below) during the taxable
year. There are some exceptions to this rule, and a prospective Policy Owner
that is not a natural person may wish to discuss these with a competent tax
adviser.
THE FOLLOWING DISCUSSION GENERALLY APPLIES TO A POLICY OWNED BY A NATURAL
PERSON.
SURRENDERS AND PARTIAL WITHDRAWALS. In the case of a surrender or partial
withdrawal (including systematic withdrawals) under a QUALIFIED POLICY, under
Section 72(e) of the Code a ratable portion of the amount received is taxable,
generally based on the ratio of the "investment in the contract" to the
individual's total accrued benefit for balance under the retirement plan. The
"investment in the contract" generally equals the amount of any purchase
payments paid by or on behalf of any individual. For a Policy issued in
connection with qualified plans, the "investment in the contract" can be zero.
Special tax rules may be available for certain distributions from a Qualified
Policy.
With respect to NONQUALIFIED POLICIES, partial withdrawals (including
systematic withdrawals) are generally treated as taxable income to the extent
that the Accumulation Value immediately before the partial withdrawal exceeds
the "investment in the contract" at that time.
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Full surrenders are treated as taxable income to the extent that the amount
received exceeds the "investment in the contract."
ANNUITY PAYMENTS. Although tax consequences may vary depending on the
Payout Option elected under the Policy, in general, only the portion of the
payout that represents the amount by which the Accumulation Value exceeds the
"investment in the contract" will be taxed; after the "investment in the
contract" is recovered, the full amount of any additional payments is taxable.
For Variable Annuity Payments, the taxable portion is generally determined by an
equation that establishes a specific dollar amount of each payment that is not
taxed. The dollar amount is determined by dividing the "investment in the
contract" by the total number of expected periodic payments. However, the entire
distribution will be taxable once the recipient has recovered the dollar amount
of his or her "investment in the contract." For Fixed Annuity Payments, in
general there is no tax on the portion of each Annuity Payment which represents
the same ratio that the "investment in the contract" bears to the total expected
value of the Annuity Payments for the term of the payments; however, the
remainder of each Annuity Payment is taxable. Once the "investment in the
contract" has been fully recovered, the full amount of any additional Annuity
Payments is taxable. If Annuity Payments cease by reason of the death of the
Annuitant, the excess (if any) of the "investment in the contract" as of the
Annuity Starting Date over the aggregate amount of Annuity Payments received on
or after the Annuity Starting Date that was excluded from gross income is
allowable as a deduction for the last taxable year of the Annuitant.
PENALTY TAX. In the case of a distribution pursuant to a Nonqualified
Policy, there may be imposed a Federal penalty tax equal to 10% of the amount
treated as taxable income. In general, however, there is no penalty tax on
distributions: (a) made on or after the date on which the Policy Owner attains
age 59 1/2; (b) made as a result of death or disability of a Policy Owner; (c)
received in substantially equal periodic payments as a life annuity or a joint
and survivor annuity for the lives or life expectancies of the Policy Owner and
a "designated beneficiary"; (d) from a qualified plan; (e) allocable to
investment in the Policy before August 14, 1982; (f) under a qualified funding
asset (as defined in Code section 130(d)); (g) under an immediate annuity (as
defined in Code Section 72(u)(4)); or (h) which are purchased by an employer on
termination of certain types of qualified plans and which are held by the
employer until the employee separates from service. Other tax penalties may
apply to certain distributions under a Qualified Policy.
DEATH BENEFIT PROCEEDS. Amounts may be distributed from the Account because
of the death of a Policy Owner. Generally, such amounts are includible in the
income of the recipient as follows: (1) if distributed in a lump sum, they are
taxed in the same manner as a full surrender as described above; or (2) if
distributed under an Annuity Payout Option, they are taxed in the same manner as
Annuity Payments, as described above.
TRANSFERS, ASSIGNMENTS, OR EXCHANGES OF THE POLICY. A transfer of ownership
of a Policy, the designation of an Annuitant or Beneficiary who is not also the
Policy Owner, the selection of certain annuity starting dates, or the exchange
of a Policy may result in certain tax consequences to the Policy Owner that are
not discussed herein. Policy Owners contemplating any such transfer, assignment,
or exchange of a Policy should contact a competent tax adviser with respect to
the potential tax effects of such a transaction.
MULTIPLE POLICIES. All nonqualified deferred annuity contracts that are
issued by Companion (or its affiliates) to the same Policy Owner during any
calendar year are treated as one annuity contract for purposes of determining
the amount includible in gross income under section 72(e) of the Code. In
addition, the Treasury Department has specific authority to issue regulations
that prevent the avoidance of section 72(e) through the serial purchase of
annuity contracts or otherwise. Congress has also indicated that the Treasury
Department may have authority to treat the combination purchase of an immediate
annuity contract and separate deferred annuity contract as a single annuity
contract under its general authority to prescribe rules as may be necessary to
enforce the income tax laws. Any Policy Owner or prospective Policy Owner
contemplating the purchase of more than one annuity in a calendar year should
consult a tax advisor.
WITHHOLDING. Pension and annuity distributions generally are subject to
withholding for the recipient's federal income tax liability at rates that vary
according to the type of distribution and the recipient's tax status.
Recipients, however, generally are provided the opportunity to elect not to have
tax withheld from distributions. Effective January 1, 1994, distributions from
certain qualified plans are generally subject to mandatory withholding. Certain
states also require withholding of state income taxes whenever federal income
taxes are withheld.
POSSIBLE CHANGES IN TAXATION. Legislation has been proposed in 1998 that,
if enacted, would adversely affect the federal taxation of certain insurance and
annuity contracts. For example, one proposal would tax transfers among
investment options and tax exchanges involving variable insurance contracts. A
second proposal would reduce the "investment in the contract" under Cash Value
Life insurance and certain annuity contracts by certain amounts, thereby
increasing the amount of income for purposes of computing gain. Although the
likelihood of there being any changes is uncertain, there is always the
possibility that the tax treatment of the Policies could change by legislation
or other means. Moreover, it is also possible that any change could be
retroactive (that is, effective prior to the date of the change). You should
consult a tax advisor with respect to legislative developments and their effect
on the Policy.
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OTHER TAX CONSEQUENCES. As noted above, the foregoing discussion of the
Federal income tax consequences under the Policy is not exhaustive and special
rules are provided with respect to other tax situations not discussed in this
Prospectus. Further, the Federal income tax consequences discussed herein
reflect Companion's understanding of current law and the law may change. Federal
estate and state and local estate, inheritance, and other tax consequences of
ownership or receipt of distributions under the Policy depend on the individual
circumstances of each Policy Owner or recipient of the distribution. A competent
tax adviser should be consulted for further information.
QUALIFIED PLANS
The Policy may be used with certain qualified plans as described in the
following paragraphs. The tax rules applicable to Policy Owners in qualified
plans, including restrictions on contributions and benefits, taxation of
distributions and any tax penalties, vary according to the type of plan and the
terms and condition of the plan itself. Various tax penalties may apply to
contributions in excess of specified limits, distribution that do not satisfy
specified requirements and certain other transactions with respect to qualified
plans. Therefore, no attempt is made to provide more than general information
about the use of the Policy with qualified plans. Policy Owners, Annuitants and
Beneficiaries are cautioned that the rights of any person to any benefits under
qualified plans may be subject to the terms and conditions of the plans
themselves, regardless of the provisions of the Policy. Some retirement plans
are subject to distribution and other requirements that are not incorporated in
Companion Life Insurance Company's Policy provisions or administration
procedures. Policy Owners, participants and beneficiaries are responsible for
determining that contributions, distributions and other transactions with
respect to the Policy comply with applicable law. Following are brief
descriptions of the circumstances in which Companion Life Insurance Company will
issue the Policy in connection with qualified plans. When issued in connection
with a qualified plan, the Policy will be amended to conform with certain
requirements of the Code, and this amendment must be approved by the applicable
State Insurance Department before the Policy is available for use with a
qualified plan. The Policy may not be available in all States for all types of
qualified plans.
For qualified plans under Section 401(a) and 403(b), the Code requires that
distributions generally must commence no later than the later of April 1 of the
calendar year following the calendar year in which the Policy Owner (or plan
participant) (i) reaches age 70 1/2 or (ii) retires, and must be made in a
specified form or manner. If the plan participant is a "5 percent owner" (as
defined in the Code), distributions generally must begin no later than April 1
of the calendar year following the calendar year in which the Policy Owner (or
plan participant) reaches age 70 1/2. For IRSs described in Section 408,
distributions generally must commence no later than the later of April 1 of the
calendar year following the calendar year in which the Policy Owner (or plan
participant) reaches age 70 1/2. Roth IRAs under Section 408A do not require
distributions at any time prior to the Policy Owner's death.
QUALIFIED PENSION OR PROFIT SHARING PLANS. Section 401(a) of the Code
permits employers to establish retirement plans for employees and also permits
self-employed individuals to establish retirement plans for themselves and their
employees. Subject to the Policy's purchase payment limits, the Policy may be
issued to the trustee of such plan if the trustee is the Owner and Beneficiary
of the Policy, if the trustee or the employer selects the Policy as a plan
investment, and if the trustee arranges for plan services from a party other
than Companion (unless an officer of Companion agrees in writing to perform
services before the Policy is issued). If the participant directs investments
under the plan, an individual Policy must be issued for each participant.
Purchasers of a Policy for use with such plans should seek competent advice
regarding the suitability of the Policy to their specific needs. Adverse tax or
other legal consequences to the plan, the participant or to both may result if
the Policy is assigned or transferred to any individual as a means to provide
benefit payments, unless the plan establishes compliance with all legal
requirements applicable to such benefits prior to transfer of the Policy.
INDIVIDUAL RETIREMENT ANNUITIES. Section 408 of the Code permits eligible
individuals to contribute to an individual retirement program known as an
Individual Retirement Annuity ("IRA"). Also, distribution from certain other
types of qualified plans may be "rolled over" on a tax-deferred basis to an IRA.
The Taxpayer Relief Act of 1997 added several features to the IRA permitting
withdrawals prior to age 59 1/2 without federal tax penalty for such uses as
purchase of a first residence and education. This Act also created a new kind of
IRA, known as a "Roth IRA." Unlike the traditional IRA, deposits in a Roth IRA
are not deductible, but if certain specified conditions are met, distributions
from Roth IRA's can be tax free. Assets in a Roth IRA accumulate on a
tax-deferred, and potentially tax-free, basis. Subject to the Policy's purchase
payment limits, the Policy may be issued as an IRA or Roth IRA. Purchasers of a
Policy for use as an IRA or Roth IRA will be provided with supplemental
information required by the Internal Revenue Service. Such purchasers will have
the right to revoke their purchase within seven days of the earlier of the
establishment of the IRA/Roth IRA or their purchase. Purchasers should seek
competent advice as to the suitability of the Policy to their specific needs. An
IRA or Roth IRA cannot be assigned.
SIMPLE RETIREMENT ACCOUNTS. Certain small employers may establish Simple
Retirement Accounts as provided by Section 408(p) of the Code, under which
employees may elect to defer up to $6,000 (as increased for cost of living
adjustments) as a percentage of compensation. The sponsoring employer is
required to make a matching contribution on behalf of contributing employees.
Distributions from a Simple Retirement Account are subject to the same
restrictions that apply to IRA distributions and are taxed as ordinary income.
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Subject to certain exceptions, premature distributions prior to age 59 1/2 are
subject to a 10% penalty tax, which is increased to 25% if the distribution
occurs within the first two years after the commencement of the employee's
participation in the plan. The failure of the Simple Retirement Account to meet
Code requirements may result in adverse tax consequences. TAX-SHELTERED
ANNUITIES. Section 403(b) of the Code permits public school employees and
employees of certain types of religious, charitable, educational, and scientific
organizations specified in Section 501(c)(3) of the Code to direct the purchase
of annuity contracts and, subject to certain limitations, exclude the amount of
purchase payments from gross income for tax purposes. These annuity contracts
are commonly referred to as "Tax-Sheltered Annuities." Subject to the Policy's
purchase payment limits, the Policy may be issued as a Tax-Sheltered Annuity if
each purchase payment is a direct transfer or rollover from another
Tax-Sheltered Annuity that is either offered through a government employer such
as a public school or funded only with salary reduction contributions. Unlike
some other Tax-Sheltered Annuities, the Policy does not accept salary reduction
contributions directly from an employer's payroll office and it does not offer
loans or hardship withdrawals. Except in the case of a direct transfer to
another Tax-Sheltered Annuity, withdrawals under the Policy are prohibited
unless made after the Policy Owner attains age 59 1/2, upon the Policy Owner's
separation from service or upon the Policy Owner's death or disability.
Purchasers should seek competent advice as to the suitability of the Policy for
their specific needs.
DISTRIBUTOR OF THE POLICIES
Mutual of Omaha Investor Services, Inc. ("MOIS"), Mutual of Omaha Plaza,
Omaha Nebraska 68175, is the principal underwriter of the Policies. MOIS is a
100% owned subsidiary of Mutual of Omaha Insurance Company, which is the
ultimate parent company of Registrant, Companion Life Insurance Company. MOIS
has entered or will enter into one or more contracts with various broker-dealers
for the distribution of the Policies. MOIS is registered with the Securities and
Exchange Commission as a broker-dealer and is a member of the National
Association of Securities Dealers, Inc. Commission paid to a broker-dealer will
be up to 7% of Purchase Payments.
VOTING RIGHTS
To the extent required by law, Companion will vote Series Fund shares held
by the Variable Account at regular and special shareholder meetings of the
Series Funds in accordance with instructions received from persons having voting
interests in the portfolios. If, however, the 1940 Act or any regulation
thereunder should be amended or if the present interpretation thereof should be
amended or if the present interpretation thereof should change, and as a result
Companion determines that it is permitted to vote Series Fund shares in its own
right, it may elect to do so. The Series Funds may not hold routine annual
Shareholder meetings.
The Policy Owner holds the voting interest in the selected Portfolios. The
number of votes that an Owner has the right to instruct will be calculated
separately for each Subaccount. The number of votes that an Owner has the right
to instruct for a particular Subaccount will be determined by dividing his or
her Accumulation Value in the Subaccount by the net asset value per share of the
corresponding Portfolio in which the Subaccount invests. Fractional shares will
be counted. Each Owner having a voting interest in a Subaccount will receive
proxy material, reports, and other materials relating to the appropriate
Portfolio.
PREPARING FOR YEAR 2000
Like all financial services providers, Companion utilizes systems that may
be affected by Year 2000 transition issues and relies upon service providers,
including investment managers, whose own systems may also be affected. Companion
has developed, and is in the process of implementing, a Year 2000 transition
plan, and is confirming that its service providers are also so engaged. The
resources that are being devoted to this effort are substantial. It is difficult
to predict with precision whether the amount of resources ultimately devoted, or
the outcome of these efforts, will have any negative impact on Companion.
However, as of the date of this prospectus, it is not anticipated that Policy
Owners will experience negative effects on their investment, or on the services
provided in connection therewith, as a result of Year 20000 transition
implementation.
LEGAL PROCEEDINGS
There are no legal proceedings to which the Variable Account is a party or
to which the assets of the Variable Account are subject. Companion is not
involved in any litigation that is of material importance in relation to its
total assets or that relates to the Variable Account.
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STATEMENT OF ADDITIONAL INFORMATION
A Statement of Additional Information is available (at no cost) which
contains more details concerning the subjects discussed in this Prospectus. The
following is the Table of Contents for that Statement:
TABLE OF CONTENTS
Page
The Policy-General Provisions.............................................. 2
Owner and Joint Owner................................................. 2
Death of Annuitant.................................................... 2
Entire Contract...................................................... 2
Deferment of Payment and Transfers.................................... 2
Incontestability ..................................................... 2
Misstatement of Age or Sex............................................ 2
Nonparticipating...................................................... 2
Assignment ........................................................ 3
Evidence of Age or Survival........................................... 3
Federal Tax Matters . . . . ............................................... 3
Tax Status of the Policy.............................................. 3
Taxation of Companion................................................. 4
State Regulation of Companion ............................................. 4
Administration . . . . . . . . ............................................ 4
Records and Reports ....................................................... 5
Distribution of the Policies .............................................. 5
Custody of Assets . . . . . . . ........................................... 5
Historical Performance Data................................................ 5
Money Market Yields .................................................. 5
Other Subaccount Yields .............................................. 6
Average Annual Total Returns . . . . . . ............................ 6
Legal Matters . . . ...................................................... 7
Other Information . . . . . . ............................................. 7
Financial Statements . . . . . ........................................... 7
35
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STATEMENT OF ADDITIONAL INFORMATION
THE ULTRANNUITY SERIES V VARIABLE ANNUITY
Issued through: COMPANION LIFE SEPARATE ACCOUNT C
Offered by: COMPANION LIFE INSURANCE COMPANY
401 Theodore Fremd Avenue
Rye, New York 10580-1493
This Statement of Additional information expands upon subjects discussed in
the current Prospectus for the Ultrannuity Series V Variable Annuity Policy (the
"Policy") offered by Companion Life Insurance Company. You may obtain a copy of
the Prospectus dated May 1, 1998 by calling 1-800-494-0067 or by writing to the
Service Office: Companion Life Variable Product Service, P.O. Box 3664, Omaha,
Nebraska 68103-0664. Terms used in the current Prospectus for the Policy are
incorporated in this Statement.
THIS STATEMENT OF ADDITIONAL INFORMATION IS NOT A PROSPECTUS AND SHOULD BE
READ ONLY IN CONJUNCTION WITH THE PROSPECTUSES FOR THE POLICY AND THE SERIES
FUNDS
Dated: May 1, 1998
TABLE OF CONTENTS
Page
The Policy-General Provisions ...........................................2
Owner and Joint Owner...............................................2
Death of Annuitant..................................................2
Entire Contract ....................................................2
Deferment of Payment and Transfers..................................2
Incontestability ...................................................2
Misstatement of Age or Sex..........................................2
Nonparticipating....................................................2
Assignment..........................................................3
Evidence of Age or Survival.........................................3
Federal Tax Matters (33).................................................3
Tax Status of the Policy............................................3
Taxation of Companion...............................................4
State Regulation of Companion............................................4
Administration ..........................................................4
Records and Reports......................................................4
Distribution of the Policies (26)........................................4
Custody of Assets........................................................5
Historical Performance Data (17).........................................5
Money Market Yields.................................................5
Other Subaccount Yields.............................................6
Average Annual Total Returns........................................6
Legal Matters............................................................7
Other Information........................................................7
Financial Statements (13)................................................7
(Numbers in parentheses indicate corresponding sections of the Prospectus.)
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<PAGE>
In order to supplement the description in the Prospectus, the following
provides additional information about Companion and the Policy which may be of
interest to an Owner.
THE POLICY - GENERAL PROVISIONS
OWNER AND JOINT OWNER
While the Owner is alive, only the Owner may exercise the rights under the
Policy. Ownership may be changed as described below under "Assignment." If there
are joint Owners, the signatures of both Owners are needed to exercise rights
under the Policy. If the Annuitant is other than the Owner, the Annuitant has no
rights under the Policy.
DEATH OF ANNUITANT
If the Annuitant is an Owner or joint Owner, the death of the Annuitant
will be treated as the death of the Owner rather than of the Annuitant.
If the Annuitant is not an Owner and the Annuitant dies before the Annuity
Starting Date, the Owner may name a new Annuitant if such Owner(s) is not a
corporation or other non-individual. If the Owner does not name a new Annuitant,
the Owner will become the Annuitant.
ENTIRE CONTRACT
The entire contract is the Policy, data page, any riders and the signed
application, a copy of which will be attached to the Policy. All statements made
in the application will be deemed representations and not warranties. No
statement, unless it is in the application, will be used by Companion to contest
the Policy or deny a claim.
Any change of the Policy and any riders requires the consent of the
president, vice president, assistant vice president, the secretary or assistant
secretary of Companion. No agent or Registered Representative has authority to
change or waive any provision of the Policy.
Companion reserves the right to amend the Policies to meet the requirements
of, or take advantage of, the Internal Revenue Code, regulations or published
rulings. A Policy Owner can refuse such a change by giving Written Notice, but a
refusal may result in adverse tax consequences.
DEFERMENT OF PAYMENT AND TRANSFERS
Companion will usually pay any amounts payable from the Variable Account as
a result of a partial withdrawal or cash surrender within seven days after
receiving written request at the Service Office in a form satisfactory to
Companion. Companion can postpone such payments or any transfers of amounts
between Subaccounts or into the Fixed Account if:
(a) the New York Stock Exchange is closed for other than customary
weekend and holiday closings;
(b) trading on the New York Stock Exchange is restricted;
(c) an emergency exists as determined by the Securities Exchange
Commission, as a result of which it is not reasonably practical to
dispose of securities, or not reasonably practical to determine the
value of the net assets of the Variable Account; or
(d) the Securities Exchange Commission permits delay for the protection
of security holders. The applicable rules of the Securities Exchange Commission
will govern as to whether the conditions in (c) or (d) exist.
Companion may defer transfers, payment of partial withdrawals or a
surrender from the Fixed Account for up to six months from the date written
request is received at the Service Office.
INCONTESTABILITY
Companion will not contest the validity of the Policy after the Date of
Issue.
MISSTATEMENT OF AGE OR SEX
Companion may require proof of the age of the Annuitant before making
any life annuity payment. If the age or sex of the Annuitant has been misstated,
the Annuity Starting Date and Annuity Payments will be determined using the
correct age and sex. If misstatement of age or sex results in Annuity Payments
that are too large, the overpayments will be deducted from future Annuity
Payments. If Companion has made payments that are too small, the underpayments
will be added to the next payment. Adjustments for overpayments or underpayments
will include 6% interest.
NONPARTICIPATING
No dividends will be paid. Neither the Owner nor the Beneficiary will
have the right to share in Companion's surplus earnings or profits.
2
<PAGE>
ASSIGNMENT
The Owner may change the ownership of the Policy or pledge it as collateral
by assigning it. No assignment will be binding on Companion until Companion
records and acknowledges it. The rights of any Payee will be subject to a
collateral assignment.
If the named Beneficiary is irrevocable, a change of ownership or a
collateral assignment may be made only by joint written request from the Owner
and the named Beneficiary. On the Annuity Starting Date, the Owner may select
another Payee, but the Owner retains all rights of ownership unless the Owner
signs an absolute assignment.
EVIDENCE OF AGE OR SURVIVAL
Companion reserves the right to require proof of the age or survival of
any Owner, Annuitant or Payee. No payment will be made until Companion receives
such proof.
VARIABLE ANNUITY UNITS.
All variable annuity payments other than the first are determined by
means of Variable Annuity Units credited to the Policy with respect to the
particular Payee. The number of Variable Annuity Units for each applicable
Subaccount is the amount of the first annuity payment attributable to that
Subaccount divided by the Annuity Unit Value for that Subaccount as of the
Annuity Starting Date. The number of Variable Annuity Units of each particular
Subaccount credited with respect to the Payee or Annuitant then remains fixed
unless a transfer of Variable Annuity Units is made as described below. The
number of Variable Annuity Units will not change as a result of investment
experience.
For any Valuation Period, the value of a Variable Annuity Unit of
a particular Subaccount is the Variable Annuity Unit value during the last
Valuation Period for that particular Subaccount, multiplied by the Net
Investment Factor for that Subaccount for the current Valuation Period. The
value of a Subaccount may increase or decrease from one Valuation Period to the
next.
The Net Investment Factor for any Subaccount for any Valuation
Period is determined by dividing (a) by (b) and then subtracting (c) from the
result where:
(a) is the net result of:
(1)the net asset value of a Portfolio share held in the subaccount
determined as of the end of the current Valuation Period, plus
(2)the per share amount of any declared and unpaid dividends or
capital gains accruing to that Portfolio, plus or minus
(3)a per share credit or charge with respect to any taxes paid or
reserved for by Companion during the Valuation Period which is
determined by Companion to be attributable to the operations of
the Subaccount;
(b) is the net asset value per share of the Fund held in the Subaccount
determined as of the end of the preceding Valuation Period plus or
minus the per share credit or charge with respect to any taxes paid
or reserved for the preceding Valuation Period; and
(c) is the asset charge factor determined by Companion for the Valuation
Period to reflect the Mortality and Expense Risk Charge and the
Administrative Expense Charge deducted from the Variable Account.
This factor is equal, on an annual basis, to 1.20% of the net asset
value of the Variable Account.
The result is then multiplied by a factor that offsets the Assumed Investment
Rate used to establish the Annuity Payment Rates found in the applicable
Contract, which allows the actual investment rate to be credited. For a one day
Valuation Period the factor is 0.99989255 using an Assumed Investment Rate of 4%
per year.
FEDERAL TAX MATTERS
TAX STATUS OF THE POLICY
DIVERSIFICATION REQUIREMENTS. Section 817(h) of the Internal Revenue
Code provides that in order for a variable contract which is based on a
segregated asset account to qualify as an annuity contract under the Code, the
investments made by such account must be "adequately diversified" in accordance
with Treasury regulations. The Treasury regulations issued under Section 817(h)
(Treas. Reg. ss. 1.817-5) apply a diversification requirement to each of the
Subaccounts of the Variable Account. The Variable Account, through the Series
Funds and their Portfolios, intends to comply with those diversification
requirements. Companion and the Series Funds have entered into agreements
regarding participation in the Series Funds that requires the Series Funds and
their Portfolios to be operated in compliance with the Treasury regulations.
OWNER CONTROL. In certain circumstances, owners of variable annuity
contracts may be considered the owners, for federal income tax purposes, of the
assets of the separate account used to support their contracts. In those
circumstances, income and gains from the separate account assets would be
includible in the variable contract owner's gross income. The IRS has stated in
3
<PAGE>
published rulings that a variable contract owner will be considered the owner of
separate account assets if the contract owner possesses incidents of ownership
in those assets, such as the ability to exercise investment control over the
assets. The Treasury Department also announced, in connection with the issuance
of regulations concerning diversification, that those regulations "do not
provide guidance concerning the circumstances in which investor control of the
investments of a segregated asset account may cause the investor (i.e., the
Owner), rather than the insurance company, to be treated as the owner of the
assets in the account." This announcement also stated that guidance would be
issued by way of regulations or rulings on the "extent to which policyholders
may direct their investments to particular subaccounts without being treated as
owners of the underlying assets."
The ownership rights under the Policy are similar to, but different in
certain respects from, those described by the IRS in rulings in which it was
determined that policy owners were not owners of separate account assets. For
example, the Owner has additional flexibility in allocating premium payments and
policy values. These differences could result in an Owner being treated as the
owner of a pro-rata portion of the assets of the Separate Account. In addition,
Companion does not know what standards will be set forth, if any, in the
regulations or rulings which the Treasury Department has stated it expects to
issue. Companion therefore reserves the right to modify the Policy as necessary
to attempt to prevent an Owner from being considered the owner of a pro-rata
share of the assets of the Variable Account or to otherwise qualify the Policy
for favorable tax treatment.
DISTRIBUTION REQUIREMENTS. The Code also requires that Nonqualified
Policies contain specific provisions for distribution of Policy Proceeds upon
the death of an Owner. In order to be treated as an annuity contract for federal
income tax purposes, the Code requires that such Policies provide that if an
Owner dies on or after the Annuity Starting Date and before the entire interest
in the Policy has been distributed, the remaining portion must be distributed at
least as rapidly as under the method in effect on the Owner's death. If an Owner
dies before the Annuity Starting Date, the entire interest in the Policy must
generally be distributed within five years after the Owner's date of death,
these requirements are considered to be satisfied if the entire interest in the
Policy is used to purchase an immediate annuity under which payments will begin
within one year of the Owner's death and will be made for the life of the
Beneficiary or for a period not extending beyond the life expectancy of the
Beneficiary. If the Beneficiary is the deceased Owner's surviving spouse, the
Policy may be continued with the Owner's surviving spouse as the new Owner. The
Policy contains provisions intended to comply with these requirements of the
Code. No regulations interpreting these requirements of the Code have yet been
issued and thus no assurance can be given that the provisions contained in the
Policies satisfy all such Code requirements. The provisions contained in the
Policies will be reviewed and modified if necessary to assure that they comply
with the Code requirements when clarified by regulation or otherwise.
TAXATION OF COMPANION
Companion at present is taxed as a life insurance company under part I
of Subchapter L of the Code. The Variable Account is treated as part of
Companion and, accordingly, will not be taxed separately as a "regulated
investment company" under Subchapter M of the Code. Companion does not expect to
incur any federal income tax liability with respect to investment income and net
capital gains arising from the activities of the Variable Account retained as
part of the reserves under the Policy. Based on this expectation, it is
anticipated that no charges will be made against the Variable Account for
federal income taxes. If, in future years, any federal income taxes or related
economic burdens are incurred by Companion with respect to the Variable Account,
Companion may make a charge to the Variable Account.
STATE REGULATION OF COMPANION
Companion is subject to the laws of New York governing insurance
companies and to regulation by the New York Division of Insurance. An annual
statement in a prescribed form is filed with the Department of Insurance each
year covering the operation of Companion for the preceding year and its
financial condition as of the end of such year. Regulation by the Department of
Insurance includes periodic examination to determine Companion's contract
liabilities and reserves so that the Department may certify the items are
correct. Companion's books and accounts are subject to review by the Department
of Insurance at all times and a full examination of its operations is conducted
periodically by the National Association of Insurance Commissioners. In
addition, Companion is subject to regulation under the insurance laws of other
jurisdictions in which it may operate.
ADMINISTRATION
Effective March 3, 1997, Companion Life Insurance Company performs all
administration for the Policies. Prior to then, Companion had an administrative
services agreement with The Continuum Company, Inc. (a/k/a Vantage Computer
Systems), ("Vantage"), P.O. Box 419472, Kansas City, Missouri 64141-6472. The
services provided by Vantage under the agreement included issuance and
redemption of the Policies, maintenance of records concerning the Policies, and
certain valuation services. Since sales of the Policies did not commence until
January 1997, Companion paid no compensation to Vantage related to the sale of
Policies for any prior years. For the fiscal year ended December 31, 1997,
Companion paid $ 11,132 total compensation to Vantage. For the fiscal year ended
December 31, 1996, Companion paid $ 64,445 total compensation to Vantage.
4
<PAGE>
RECORDS AND REPORTS
All records and accounts relating to the Variable Account will be
maintained by Companion or by its Administrator. As presently required by the
Investment Company Act of 1940 and regulations promulgated thereunder, Companion
will mail to all Policy Owners at their last known address of record, at least
annually, financial statements of the Variable Account and such other
information as may be required under that Act or by any other applicable law or
regulation. Policy Owners will also receive confirmation of each financial
transaction and any other reports required by applicable state and federal laws,
rules, and regulations.
DISTRIBUTION OF THE POLICIES
The Policies are offered to the public through brokers licensed under
the federal securities laws and state insurance laws. The offering of the
Policies is continuous and Companion does not anticipate discontinuing the
offering of the Policies. However, Companion reserves the right to discontinue
the offering of the Policies.
Mutual of Omaha Investor Services, Inc. ("MOIS") will be the principal
underwriter of the Policies. The Policies will be distributed by MOIS through
retail broker-dealers. Commissions payable to a broker-dealer will be up to 7.0%
of Purchase Payments. For the fiscal year ended December 31, 1997, Companion
paid $ 261,234 in total compensation to MOIS; of this amount MOIS retained $ as
concessions for its services as Principal Underwriter and for distribution
concessions, with the remaining amount paid to other broker-dealers.
CUSTODY OF ASSETS
The assets of each of the Subaccounts of the Variable Account are held
by Companion. The assets of the Variable Account are segregated and held
separate and apart from Companion's general account assets. Companion or the
Administrator maintains records of all purchases and redemptions of shares of
the Series Funds held by each of the Subaccounts. Additional protection for the
assets of the Variable Account is afforded by Companion's fidelity bond,
presently in the amount of $10 million, covering the acts of officers and
employees of Companion.
HISTORICAL PERFORMANCE DATA
From time to time, Companion may disclose yields, total returns, and
other performance data pertaining to the Policies for a Subaccount. Such
performance data will be computed, or accompanied by performance data computed,
in accordance with the standards defined by the Securities and Exchange
Commission.
The yields and total returns of the Subaccounts of the Variable Account
normally will fluctuate over time. THEREFORE, THE DISCLOSED YIELDS AND TOTAL
RETURNS FOR ANY GIVEN PAST PERIOD ARE NOT AN INDICATION OR REPRESENTATION OF
FUTURE YIELDS OR RATES OF RETURN. A Subaccount's actual yield and total return
is affected by the types and quality of portfolio securities held by the
Portfolio and its operating expenses.
Because of the charges and deductions imposed under a Policy, the yields
and total returns for the Subaccounts will be lower than the yields and total
returns for their respective Portfolios. The yield figures will not reflect the
Withdrawal Charge.
MONEY MARKET YIELDS
From time to time, advertisements and sales literature may quote the
current annualized yield of the Money Market Subaccount for a seven-day period
in a manner which does not take into consideration any realized or unrealized
gains or losses on shares of the Money Market Portfolio or on its portfolio
securities. As of December 31, 1997, this current annualized yield is 3.89%.
This current annualized yield is computed by determining the net change
(exclusive of realized gains and losses on the sale of securities, unrealized
appreciation and depreciation and excluding income other than investment income)
at the end of the seven-day period in the value of a hypothetical account under
a Policy having a balance of one Accumulation Unit of the Money Market
Subaccount at the beginning of the period to determine the base period return,
and annualizing this quotient on a 365-day basis. The net change in account
value reflects: (1) net income from the Portfolio attributable to the
5
<PAGE>
hypothetical account; and (2) charges and deductions imposed under the Policy
which are attributable to the hypothetical account. The charges and deductions
include the per Unit charges for the hypothetical account for: (1) the annual
Policy Fee; (2) the Administrative Expense Charge; and (3) the Mortality and
Expense Risk Charge. The $30 annual Policy Fee is reflected as an annual 0.10%
charged daily, based on an average Accumulation Value of $30,000. Yield figures
will not reflect the Withdrawal Charge.
Because of the charges and deductions imposed under the Policy, the
yield for the Money Market Subaccount will be lower than the yield for the Money
Market Portfolio.
The Securities and Exchange Commission also permits Companion to
disclose the effective yield of the Money Market Subaccount for the same
seven-day period, determined on a compounded basis. The effective yield is
calculated by compounding the unannualized base period return by adding one to
the base period return, raising the sum to a power equal to 365 divided by 7,
and subtracting one from the result.
The current and effective yields on amounts held in the Money Market
Subaccount normally will fluctuate on a daily basis. THEREFORE, THE DISCLOSED
YIELD FOR ANY GIVEN PAST PERIOD IS NOT AN INDICATION OR REPRESENTATION OF FUTURE
YIELDS OR RATES OF RETURN. The Money Market Subaccount's actual yield is
affected by changes in interest rates on money market securities, average
portfolio maturity of the Money Market Portfolio, the types of quality of
portfolio securities held by the Money Market Portfolio and the Money Market
Portfolio's operating expenses. Yields figures do not reflect the effect of any
Withdrawal Charge that may be applicable to a Policy.
OTHER SUBACCOUNT YIELDS
From time to time, sales literature or advertisements may quote the
current annualized yield of one or more of the Subaccounts (except the Money
Market Subaccount) for a Policy for 30-day or one-month periods. The annualized
yield of a Subaccount refers to income generated by the Subaccount over a
specific 30-day or one-month period. Because the yield is annualized, the yield
generated by a Subaccount during a 30-day or one-month period is assumed to be
generated each period over a 12-month period.
The yield is computed by: (a) dividing the net investment income of the
Portfolio attributable to the Subaccount Accumulation Units less Subaccount
expenses for the period by the maximum offering price per Accumulation Unit on
the last day of the period times the daily average number of units outstanding
for the period; (b) compounding that yield for a six-month period; and (c)
multiplying that result by 2. Expenses attributable to the Subaccount include:
(a) the annual Policy Fee; (b) the Administrative Expense Charge; and (c) the
Mortality and Expense Risk Charge. The $30 annual Policy Fee is reflected as an
annual 0.10% charged daily in the yield calculation, based on an average
Accumulation Value of $30,000. The 30-day or one-month yield is calculated
according to the following formula:
Yield = [2 {a-b + 1} 6 - 1]
[ cd ]
Where:
a =-- net income of the Portfolio for the 30-day or
one-month period attributable to the Subaccount's
Accumulation Units.
b =-- expenses of the Subaccount for the 30-day or one-month period.
c =-- the average number of Accumulation Units outstanding.
d =-- the Accumulation Unit value at the close of the last day
in the 30-day or one-month period.
Because of the charges and deductions imposed under the Policies, the
yield for a Subaccount will be lower than the yield for the corresponding Series
Fund Portfolio.
Yield calculations do not take into account the Withdrawal Charge under
the Policy (a maximum of 7% of the Purchase Payments surrendered or withdrawn).
AVERAGE ANNUAL TOTAL RETURNS
From time to time, sales literature or advertisements may also quote
average annual total returns for one or more of the Subaccounts for various
periods of time.
When a Subaccount has been in operation for 1, 5, and 10 years,
respectively, the average annual total return for these periods will be
provided. Until a Subaccount has been in operation for 10 years, Companion will
always include quotes of average annual total return for the period measured
from the date the Policies were first offered for sale. Average annual total
returns for other periods of time may, from time to time, also be disclosed.
Average annual total returns represent the average annual compounded
rates of return that would equate an initial investment of $1,000 under a Policy
to the redemption value of that investment as of the last day of each of the
periods. Average annual total returns will be calculated using Subaccount
Accumulation Unit values which Companion calculates at the end of each Valuation
Period based on the performance of the Subaccount's underlying Portfolio, the
deductions for (a) the annual Policy Fee; (b) the Administrative Expense Charge;
and (c) the Mortality and Expense Risk Charge. The $30 annual Policy Fee is
6
<PAGE>
reflected as an annual 0.10% charged daily in the calculation of average annual
total returns, based on an anticipated average Accumulation Value of $30,000.
The calculation also assumes surrender of the Policy at the end of the period
for the return quotation. Standard total returns will therefore reflect a
deduction of any applicable Withdrawal Charge. The total return will then be
calculated according to the following formula:
P(1+TR) n = ERV
Where:
P =-- a hypothetical initial Purchase Payment of $1,000.
TR = -- the average annual total return.
ERV = -- the ending redeemable value (net of any applicable
Withdrawal Charge) of the hypothetical account at the end
of the period.
n =-- the number of years in the period.
ADJUSTED HISTORICAL PERFORMANCE DATA. Companion may, from time to time, also
disclose yield, standard total returns, and non-standard total returns for the
Portfolios of the Series Funds, including such disclosure for periods prior to
the dates the Subaccounts commenced operations. For periods prior to the date
the Subaccount commenced operations, performance information for Policies will
be calculated based on the performance of the Series Fund Portfolios and the
assumption that the Subaccounts were in existence for the same periods as those
indicated for the Series Fund Portfolios, with the level of Policy charges that
were in effect at the inception of the Subaccounts (this is referred to as
"adjusted historical" performance data). Such standardized but "adjusted
historical" average annual total return information for the Subaccounts of
Policies is as follows:
<TABLE>
<CAPTION>
------------------------------------------------ --------- --------- ------------ ===========
SUBACCOUNT 1 Year 5 Years 10 Years Since
"ADJUSTED HISTORICAL" Ended Ended Ended Inception
AVERAGE ANNUAL TOTAL RETURN TABLE 12/31/97 12/31/97 12/31/97 to
(REFLECTS WITHDRAWAL CHARGES) % % % 12/31/97
Subaccount (date of inception of corresponding %
Portfolio)
------------------------------------------------ --------- --------- ------------ ===========
<S> <C> <C> <C> <C>
Alger American Growth (1/9/89) 16.76 17.16 N/A 17.91
Alger American Small Capitalization (9/21/88) 3.42 10.63 N/A 17.71
Federated Prime Money Fund II (11/21/94) -2.58 N/A N/A 2.42
Federated Fund for U.S. Government Securities
(3/28/94) 0.81 N/A N/A 4.05
Fidelity VIP II Asset Manager: Growth (1/3/95) 16.13 N/A N/A 19.45
Fidelity VIP II Contrafund (1/3/95) 15.27 N/A N/A 24.74
Fidelity VIP Equity Income (10/9/86) 18.96 18.02 15.23 13.20
Fidelity VIP II Index 500 (8/27/92) 23.22 17.78 N/A 17.95
MFS Emerging Growth (7/24/95) 13.19 N/A N/A 19.79
MFS High Income (7/26/95) 5.49 N/A N/A 9.23
MFS Research (7/26/95) 11.66 N/A N/A 18.43
MFS Value Series (8/14/96) 17.43 N/A N/A 18.41
MFS World Government (6/14/94) -8.21 N/A N/A 2.55
Pioneer Capital Growth (3/1/95) 15.78 N/A N/A 16.76
Pioneer Real Estate (3/1/95) 12.52 N/A N/A 22.41
Scudder Global Discovery (5/2/97) N/A N/A N/A 8.62
Scudder Growth & Income (5/1/97) N/A N/A N/A 14.36
Scudder International (5/1/87) 1.26 11.67 10.36 8.44
T. Rowe Price International (3/31/94) -4.29 N/A N/A 5.71
T. Rowe Price New America Growth (3/31/94) 12.46 N/A N/A 20.98
T. Rowe Price Equity Income (3/31/94) 19.65 N/A N/A 21.05
T. Rowe Price Limited-Term Bond (5/13/94) -0.91 N/A N/A 3.79
T. Rowe Price Personal Strategy Balanced
(12/31/94) 9.60 N/A N/A 16.90
================================================ ========= ========= ============ ===========
1 Year 5 Years 10 Years Since
Subaccount (date of inception of Ended Ended Ended Inception
corresponding Portfolio) 12/31/96 12/31/96 12/31/96 to
12/31/96
================================================ ========= ========= ============ ===========
================================================ ========= ========= ============ ===========
Alger American Growth (1/9/89) 16.36 16.75 N/A 17.50
Alger American Small Capitalization (9/21/88) 3.06 10.25 N/A 17.30
Federated Prime Money Fund II (11/21/94) -2.92 N/A N/A 2.05
Federated Fund for U.S. Government Securities
(3/28/94) 0.46 N/A N/A 3.69
Fidelity VIP II Asset Manager: Growth (1/3/95) 15.73 N/A N/A 19.04
Fidelity VIP II Contrafund (1/3/95) 14.88 N/A N/A 24.32
Fidelity VIP Equity Income (10/9/86) 18.55 17.61 14.83 12.81
Fidelity VIP II Index 500 (8/27/92) 22.80 17.37 N/A 17.54
MFS Emerging Growth (7/24/95) 12.80 N/A N/A 19.37
MFS High Income (7/26/95) 5.12 N/A N/A 8.84
MFS Research (7/26/95) 11.28 N/A N/A 18.01
MFS Value Series (8/14/96) 17.03 N/A N/A 17.99
MFS World Government (6/14/94) -8.54 N/A N/A 2.19
Pioneer Capital Growth (3/1/95) 15.38 N/A N/A 16.36
Pioneer Real Estate (3/1/95) 12.14 N/A N/A 21.99
Scudder Global Discovery (5/2/97) N/A N/A N/A 8.37
Scudder Growth & Income (5/1/97) N/A N/A N/A 14.10
Scudder International (5/1/87) 0.91 11.29 9.98 8.07
T. Rowe Price International (3/31/94) -4.63 N/A N/A 5.34
T. Rowe Price New America Growth (3/31/94) 12.07 N/A N/A 20.56
T. Rowe Price Equity Income (3/31/94) 19.24 N/A N/A 20.63
T. Rowe Price Limited-Term Bond (5/13/94) -1.25 N/A N/A 3.43
T. Rowe Price Personal Strategy Balanced
(12/31/94) 9.22 N/A N/A 16.50
================================================ ========= ========= ============ ===========
</TABLE>
<PAGE>
7
Such non-standardized (i.e., assuming no Withdrawal Charge) but adjusted
historical average annual total return information for the Subaccounts is as
follows:
<TABLE>
<CAPTION>
------------------------------------------------ --------- --------- ------------ ===========
SUBACCOUNT NON-STANDARDIZED 1 Year 5 Years 10 Years Since
"ADJUSTED HISTORICAL" Ended Ended Ended Inception
AVERAGE ANNUAL TOTAL RETURN TABLE 12/31/97 12/31/97 12/31/97 to
(DOES NOT REFLECT SURRENDER CHARGES) % % % 12/31/97
Subaccount (date of inception of corresponding %
Portfolio)
------------------------------------------------ --------- --------- ------------ ===========
<S> <C> <C> <C> <C>
Alger American Growth (1/9/89) 24.15 17.76 N/A 17.91
Alger American Small Capitalization (9/21/88) 9.96 11.21 N/A 17.71
Federated Prime Money Fund II (11/21/94) 3.58 N/A N/A 3.56
Federated Fund for U.S. Government Securities
(3/28/94) 7.18 N/A N/A 5.01
Fidelity VIP II Asset Manager: Growth (1/3/95) 23.48 N/A N/A 21.20
Fidelity VIP II Contrafund (1/3/95) 22.56 N/A N/A 26.57
Fidelity VIP Equity Income (10/9/86) 26.48 18.63 15.23 13.20
Fidelity VIP II Index 500 (8/27/92) 31.02 18.39 N/A 18.33
MFS Emerging Growth (7/24/95) 20.35 N/A N/A 21.94
MFS High Income (7/26/95) 12.16 N/A N/A 11.20
MFS Research (7/26/95) 18.73 N/A N/A 20.57
MFS Value Series (8/14/96) 24.86 N/A N/A 22.99
MFS World Government (6/14/94) -2.41 N/A N/A 3.56
Pioneer Capital Growth (3/1/95) 23.11 N/A N/A 18.56
Pioneer Real Estate (3/1/95) 19.64 N/A N/A 24.30
Scudder Global Discovery (5/2/97) N/A N/A N/A 15.49
Scudder Growth & Income (5/1/97) N/A N/A N/A 21.59
Scudder International (5/1/87) 7.67 12.25 10.36 8.44
T. Rowe Price International (3/31/94) 1.76 N/A N/A 6.69
T. Rowe Price New America Growth (3/31/94) 19.58 N/A N/A 22.10
T. Rowe Price Equity Income (3/31/94) 27.22 N/A N/A 22.17
T. Rowe Price Limited-Term Bond (5/13/94) 5.36 N/A N/A 4.78
T. Rowe Price Personal Strategy Balanced
(12/31/94) 16.53 N/A N/A 18.60
================================================ ========= ========= ============ ===========
1 Year 5 Years 10 Years Since
Subaccount (date of inception of Ended Ended Ended Inception
corresponding Portfolio) 12/31/97 12/31/97 12/31/97 to
12/31/97
================================================ ========= ========= ============ ===========
================================================ ========= ========= ============ ===========
Alger American Growth (1/9/89) 23.72 17.36 N/A 17.50
Alger American Small Capitalization (9/21/88) 9.58 10.82 N/A 17.30
Federated Prime Money Fund II (11/21/94) 3.22 N/A N/A 3.19
Federated Fund for U.S. Government Securities
(3/28/94) 6.81 N/A N/A 4.64
Fidelity VIP II Asset Manager: Growth (1/3/95) 23.06 N/A N/A 20.78
Fidelity VIP II Contrafund (1/3/95) 22.14 N/A N/A 26.13
Fidelity VIP Equity Income (10/9/86) 26.05 18.22 14.83 12.81
Fidelity VIP II Index 500 (8/27/92) 30.57 17.98 N/A 17.92
MFS Emerging Growth (7/24/95) 19.94 N/A N/A 21.51
MFS High Income (7/26/95) 11.77 N/A N/A 10.80
MFS Research (7/26/95) 18.32 N/A N/A 20.14
MFS Value Series (8/14/96) 24.44 N/A N/A 22.55
MFS World Government (6/14/94) -2.75 N/A N/A 3.19
Pioneer Capital Growth (3/1/95) 22.68 N/A N/A 18.15
Pioneer Real Estate (3/1/95) 19.23 N/A N/A 23.87
Scudder Global Discovery (5/2/97) N/A N/A N/A 15.22
Scudder Growth & Income (5/1/97) N/A N/A N/A 21.32
Scudder International (5/1/87) 7.29 11.86 9.98 8.07
T. Rowe Price International (3/31/94) 1.41 N/A N/A 6.32
T. Rowe Price New America Growth (3/31/94) 19.16 N/A N/A 21.68
T. Rowe Price Equity Income (3/31/94) 26.79 N/A N/A 21.75
T. Rowe Price Limited-Term Bond (5/13/94) 5.00 N/A N/A 4.42
T. Rowe Price Personal Strategy Balanced
(12/31/94) 16.13 N/A N/A 18.19
================================================ ========= ========= ============ ===========
</TABLE>
8
<PAGE>
THE FIGURES ABOVE ARE NOT AN INDICATION OF PRESENT, PAST, OR FUTURE PERFORMANCE
OF THE APPLICABLE SUBACCOUNTS OR OF THE ACTUAL PORTFOLIOS AVAILABLE UNDER THE
POLICY.
Companion may disclose Cumulative Total Returns in conjunction with the
standard formats described above. The Cumulative Total Returns will be
calculated using the following formula:
CTR = (ERV/P) - 1
Where:
CTR = -- The Cumulative Total Return net of Subaccount
recurring charges for the period.
ERV = -- The ending redeemable value of the hypothetical
investment at the end of the period.
P = -- A hypothetical initial Purchase Payment of $1,000.
OTHER INFORMATION
The following is a partial list of those publications which may be cited
in the Series Funds' advertising shareholder materials which contain articles
describing investment results or other data relative to one or more of the
Subaccounts. Other publications may also be cited.
Across the Board
Advertising Age
American Banker
Barron's
Best's Review
Broker World
Business Insurance
Business Month
Business Week
Changing Times
Consumer Reports
Economist
Financial Planning
Financial World
Forbes
Fortune
Inc.
Institutional Investor
Insurance Forum
Insurance Sales
Insurance Week
Journal of Accountancy
Journal of the American Society of CLU & ChFC
Journal of Commerce
Life Association News
Life Insurance Selling
Manager's Magazine
Market Facts
Money
9
<PAGE>
LEGAL MATTERS
We know of no material legal proceedings pending to which the Variable
Account is a party or which would materially affect the Variable Account. We are
not involved in any litigation of material importance to our total assets or to
the Variable Account. Legal matters in connection with the Policy have been
passed upon by our Law Staff.
OTHER INFORMATION
A Registration Statement has been filed with the Securities and Exchange
Commission, under the Securities Act of 1933 as amended, with respect to the
Policies discussed in this Statement of Additional Information. Not all of the
information set forth in the Registration Statement, amendments and exhibits
thereto has been included in the Prospectus or this Statement of Additional
Information. Statements contained in the Prospectus and this Statement of
Additional Information concerning the content of the Policies and other legal
instruments are intended to be summaries. For a complete statement of the terms
of these documents, reference should be made to the instruments filed with the
Securities and Exchange Commission.
FINANCIAL STATEMENTS
This Statement of Additional Information contains financial statements
for the Variable Account as of December 31, 1997 and for the years ended
December 31, 1997 and 1996, which have been audited by Deloitte & Touche, LLP,
independent auditors, New York, New York, as stated in their reports appearing
herein.
The Financial Statements of Companion Life Insurance Company as of and
for the years ended December 31, 1997 and 1996 included in this Statement of
Additional Information have been audited by Deloitte & Touche LLP, independent
auditors, Omaha, Nebraska, as stated in their report appearing herein. The
financial statements of Companion Life Insurance Company for the year ended
December 31, 1995 has been audited by Coopers & Lybrand, L.L.P., independent
auditors, New York, New York as stated in their report appearing herein. The
financial statements of Companion Life Insurance Company should be considered
only as bearing on the ability of Companion Life to meet its obligations under
the Policies. They should not be considered as bearing on the investment
performance of the assets held in the Variable Account.
10
<PAGE>
COMPANION LIFE
INSURANCE COMPANY
(A WHOLLY-OWNED SUBSIDIARY OF
UNITED OF OMAHA LIFE INSURANCE COMPANY)
STATUTORY FINANCIAL STATEMENTS
AND INDEPENDENT AUDITORS' REPORT
DECEMBER 31, 1997, 1996 AND 1995
<PAGE>
INDEPENDENT AUDITORS' REPORT
To the Board of Directors
Companion Life Insurance Company
Rye, New York
We have audited the accompanying statutory statements of admitted assets,
liabilities, and surplus of Companion Life Insurance Company (a wholly-owned
subsidiary of United of Omaha Life Insurance Company) as of December 31, 1997
and 1996, and the related statutory statements of income and changes in surplus,
and cash flows for the years then ended. Our responsibility is to express an
opinion on these financial statements based on our audits. The financial
statements of Companion Life Insurance Company for the year ended December 31,
1995 were audited by other auditors whose report, dated April 9, 1997, expressed
an unqualified opinion on the presentation of those financial statements in
conformity with accounting practices prescribed or permitted by the Insurance
Department of the State of New York and also expressed an opinion that the
financial statements were not presented in conformity with generally accepted
accounting principles. The financial statements are the responsibility of the
Company's management.
We conducted our audits in accordance with generally accepted auditing
standards. Those standards require that we plan and perform the audit to obtain
reasonable assurance about whether the financial statements are free of material
misstatement. An audit includes examining, on a test basis, evidence supporting
the amounts and disclosures in the financial statements. An audit also includes
assessing the accounting principles used and significant estimates made by
management, as well as evaluating the overall financial statement presentation.
We believe that our audits provide a reasonable basis for our opinion.
As more fully described in Note 1 to the financial statements, the Company has
prepared these financial statements in conformity with accounting practices
prescribed or permitted by the Insurance Department of the State of New York.
Those practices differ from generally accepted accounting principles. The
effects on the financial statements of the differences between the statutory
basis of accounting and generally accepted accounting principles are not
reasonably determinable, but are presumed to be material.
In our opinion, because of the effects of the matter discussed in the preceding
paragraph, the financial statements referred to above do not present fairly, in
conformity with generally accepted accounting principles, the financial position
of Companion Life Insurance Company as of December 31, 1997 and 1996, or the
results of its operations or its cash flows for the years then ended.
<PAGE>
However, in our opinion, the statutory financial statements referred to above
present fairly, in all material respects, the admitted assets, liabilities, and
surplus of Companion Life Insurance Company as of December 31, 1997 and 1996,
and the results of its operations and its cash flows for the years then ended,
on the basis of accounting described in Note 1 to the financial statements.
DELOITTE & TOUCHE LLP
February 17, 1998
<PAGE>
To the Board of Directors
Companion Life Insurance Company
Rye, New York
We have audited the accompanying statements of operations, capital and surplus,
and cash flows of Companion Life Insurance Company (a New York Corporation and
wholly-owned subsidiary of United of Omaha Life Insurance Company) for the year
ended December 31, 1995. These financial statements are the responsibility of
the Company's management. Our responsibility is to report on these financial
statements based on our audit.
We conducted our audit in accordance with generally accepted auditing standards.
Those standards require that we plan and perform the audit to obtain reasonable
assurance about whether the financial statements are free of material
misstatement. An audit includes examining, on a test basis, evidence supporting
the amounts and disclosures in the financial statements. An audit also includes
assessing the accounting principles used and significant estimates made by
management, as well as evaluating the overall financial statement presentation.
We believe that our audit provides a reasonable basis for our opinion.
In our originally issued report dated February 23, 1996, we expressed an opinion
that the 1995 financial statements, prepared using accounting practices
prescribed or permitted by the Insurance Department of the State of New York,
presented fairly, in all material respects, the results of Companion Life
Insurance Company's operations and its cash flow for the year ended December 31,
1995 in conformity with generally accepted accounting principles. As described
in Note 1 to the financial statements, pursuant to the provisions of Statement
of Financial Accounting Standards Board Interpretation 40, Applicability of
Generally Accepted Accounting Principles to Mutual Life Insurance and Other
Enterprises, as amended ("FIN 40"), financial statements of mutual life
insurance enterprises for periods ending on or before December 15, 1996,
prepared using accounting practices prescribed or permitted by insurance
regulators (statutory financial statements) are no longer considered
presentations in conformity with generally accepted accounting principles.
Accordingly, our present opinion on the presentation of the 1995 financial
statements in accordance with generally accepted accounting principles, as
presented herein, is different from that expressed in our previous report.
In our opinion, because of the effects of the matter discussed in the preceding
paragraph, the financial statements referred to above do not present fairly, in
conformity with generally accepted accounting principles, the results of
Companion Life Insurance Company's operations and its cash flows for the year
ended December 31, 1995.
In our opinion, the financial statements referred to above present fairly, in
all material respects, the results of Companion Insurance Company's operations
and its cash flows for the year ended December 31, 1995, I conformity with
accounting practices prescribed or permitted by the Insurance Department of the
State of New York.
COOPERS & LYBRAND L.L.P.
New York, New York
February 23, 1996 (except for the change in Our opinion as required by FIN 40,
for which the date is April 9, 1997)
<PAGE>
COMPANION LIFE INSURANCE COMPANY
(A WHOLLY-OWNED SUBSIDIARY OF UNITED OF OMAHA LIFE INSURANCE COMPANY)
STATUTORY STATEMENTS OF ADMITTED ASSETS, LIABILITIES AND SURPLUS
AS OF DECEMBER 31, 1997 AND 1996
- --------------------------------------------------------------------------------
ADMITTED ASSETS 1997 1996
Cash and invested assets:
Bonds $ 415,833,604 $370,927,491
Mortgage loans 9,921,770 16,489,046
Policy loans 10,728,769 11,586,845
Cash and short-term investments 7,468,756 3,662,460
Other invested assets 125,749 61,197
------- ------
Total cash and invested assets 444,078,648 402,727,039
Premiums deferred and uncollected 4,519,554 4,051,720
Investment income due and accrued 4,245,616 3,736,086
Other assets 2,379,872 475,433
Separate accounts assets 10,586,320 2,110,579
---------- ---------
Total admitted assets $ 465,810,010$ 413,100,857
==========================
LIABILITIES
Policy reserves:
Aggregate reserve for policies and contracts $ 351,541,554$ 337,786,345
Policy and contract claims 4,255,129 4,569,530
Other reserves 396,966 408,523
------- -------
Total policy reserves 356,193,649 342,764,398
Interest maintenance reserve 611,679 665,315
Asset valuation reserve 2,599,582 3,178,271
General expenses and taxes due or accrued 702,378 926,323
Funds held under reinsurance treaties 35,481,219 7,488,832
Reinsurance in unauthorized companies 34,631 34,128
Amounts due reinsurers 35,897 79,885
Federal income taxes due or accrued 423,000 700,000
Other liabilities 4,040,282 3,439,757
Separate accounts liabilities 10,552,259 2,098,801
---------- ---------
Total liabilities 410,674,306 361,375,710
----------- -----------
SURPLUS
Capital stock, $400 par value; 5,000 shares
authorized and outstanding 2,000,000 2,000,000
Gross paid-in and contributed surplus 45,650,000 45,650,000
Special surplus and contingency reserve 428,417 400,297
Unassigned surplus 7,057,287 3,674,850
--------- ---------
Total surplus 55,135,704 51,725,147
---------- ----------
Total liabilities and surplus $ 465,810,010 $413,100,857
============= ============
The accompanying notes are an integral part of these statutory financial
statements.
<PAGE>
COMPANION LIFE INSURANCE COMPANY
(A WHOLLY-OWNED SUBSIDIARY OF UNITED OF OMAHA LIFE INSURANCE COMPANY)
<TABLE>
<CAPTION>
STATUTORY STATEMENTS OF INCOME
FOR THE YEARS ENDED DECEMBER 31, 1997, 1996 AND 1995
- --------------------------------------------------------------------------------------------
1997 1996 1995
Income:
Net premiums and annuity
<S> <C> <C> <C>
considerations $45,556,708 $ 90,179,915 $ 72,097,554
Other considerations and fund
deposits 8,684,292 2,048,423 668,323
Net investment income 31,122,199 27,824,853 23,605,272
Other income 2,768,489 179,622 380,099
---------- ------- -------
Total income 88,131,688 120,232,813 96,751,248
----------- ----------- ----------
Benefits and expenses:
Policyholder and beneficiary
benefits 42,230,053 32,338,175 22,458,731
Increase in reserves for
policyholder and
beneficiary benefits 13,755,209 63,390,378 54,205,859
Commissions 5,608,866 4,839,995 3,978,746
Operating expenses 14,693,625 14,298,328 13,378,018
Net transfers to separate accounts 7,143,343 1,219,275 545,430
---------- --------- -------
Total benefits and
expenses 83,431,096 116,086,151 94,566,784
----------- ----------- ----------
Net gain from operations before federal income
taxes and net realized
capital losses 4,700,592 4,146,662 2,184,464
Federal income taxes 2,424,710 2,544,690 1,445,927
---------- --------- ---------
Net gain from operations before net
realized capital losses 2,275,882 1,601,972 738,537
Net realized capital (gains) losses 336,684 - (691
-------- -- ----
Net income $ 1,939,198 $ 1,601,972 $ 737,846
============ =========== =========
The accompanying notes are an integral part of these statutory financial
statements.
</TABLE>
<PAGE>
COMPANION LIFE INSURANCE COMPANY
(A WHOLLY-OWNED SUBSIDIARY OF UNITED OF OMAHA LIFE INSURANCE COMPANY)
STATUTORY STATEMENTS OF CHANGES IN SURPLUS
FOR THE YEARS ENDED DECEMBER 31, 1997, 1996 AND 1995
- ---------------------------------------------------------------------------
1997 1996 1995
Capital stock:
Balance at beginning and
end of year $2,000,000 $ 2,000,000 $ 2,000,000
------------- --------------- --------------
Gross paid-in and contributed surplus:
Balance at beginning of year 45,650,000 45,650,000 45,650,000
Special surplus and contingency reserve:
Balance at beginning
of year 400,297 359,960 298,105
Increase in group contingency
life reserve 28,120 40,337 61,855
Balance at end of year 428,417 400,297 359,960
-------- -------- -------
Unassigned surplus:
Balance at beginning of year 3,674,850 2,856,838 2,761,491
Net income 1,939,198 1,601,972 737,846
Change in separate accounts
surplus 22,283 (1,578) 13,356
Increase (decrease) in net unrealized capital
gains and losses 599,129 (217,103) (382,026)
(Increase) decrease in:
Non-admitted assets 271,491 (126,840) (78,228)
Liability for reinsurance in
unanthorized companies (233) 13,049 (221)
Asset valuation reserve 578,689 (350,675) (133,525)
Contingency reserve (28,120) (40,337) (61,855)
Pension plan contribution - (60,476) -
Balance at end of year 7,057,287 3,674,850 2,856,838
---------- ---------- ---------
Total surplus $ 55,135,704 $ 51,725,147 $ 50,866,798
============= ============= ============
The accompanying notes are an integral part of these statutory financial
statements.
<PAGE>
COMPANION LIFE INSURANCE COMPANY
(A WHOLLY-OWNED SUBSIDIARY OF UNITED OF OMAHA LIFE INSURANCE COMPANY)
<TABLE>
<CAPTION>
STATUTORY STATEMENTS OF CASH FLOWS
FOR THE YEARS ENDED DECEMBER 31, 1997, 1996 AND 1995
- -------------------------------------------------------------------------------------------
1997 1996 1995 1995
Cash from operations:
<S> <C> <C> <C> <C>
Premiums, annuity
considerations and fund
deposits $53,672,663 $ 92,070,411 $ 71,904,608 $ 71,904,608
Net investment income 30,446,317 27,379,305 23,188,680 23,188,680
Other income 2,715,619 249,692 426,796 426,796
Benefits (44,468,851) (30,290,432) (21,974,648) (21,974,648)
Commissions and general(19,297,511) (18,543,667) (17,477,981) (17,477,981)
Federal income taxes (2,395,000) (2,346,798) (1,665,994) (1,665,994)
Other operating expenses(8,693,487) (1,670,344) (786,187) (786,187)
------------ ----------- --------- ---------
Net cash from
operations 11,979,750 66,848,167 53,615,274 53,615,274
----------- ----------- ----------- ----------
Cash from investments:
Proceeds from investments sold, redeemed or matured:
Bonds 41,740,375 32,351,850 16,456,527 16,456,527
Mortgage loans 6,500,559 5,134,099 6,273,360 6,273,360
Taxes on capital (gains) l(193,958) (48,286) 3,153 3,153
Cost of investments acquired:
Bonds (86,319,745) (103,666,996) (78,529,680) (78,529,680)
Other invested assets (64,552) (61,197 - -
Net (increase) decrease
in policy loans 858,076 509,218 (436,744) (436,744)
------- -------- --------- ---------
Net cash from
investments(37,479,245) (65,781,312) (56,233,384) (56,233,384)
------------- ------------ ------------ ------------
Cash from financing and other sources:
Other cash provided 29,732,631 260,521 2,204,401 2,204,401
Other cash used (426,840) (1,326,093) (139,002) (139,002)
---------- ----------- ---------
Net cash from
financing and other
sources 29,305,791 (1,065,572) 2,065,399 2,065,399
Net change in cash and
short-term investments 3,806,296 1,283 (552,711) (552,711)
Cash and short-term investments:
Beginning of year 3,662,460 3,661,177 4,213,888 4,213,888
---------- ---------- ---------- ---------
End of year $ 7,468,756 $ 3,662,460 $ 3,661,177 $ 3,661,177
============ ============ ============ ===========
The accompanying notes are an integral part of these statutory financial
statements.
</TABLE>
<PAGE>
COMPANION LIFE INSURANCE COMPANY
(A WHOLLY-OWNED SUBSIDIARY OF UNITED OF OMAHA LIFE INSURANCE COMPANY)
NOTES TO STATUTORY FINANCIAL STATEMENTS
FOR THE YEARS ENDED DECEMBER 31, 1997, 1996 AND 1995
- --------------------------------------------------------------------------------
1. SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES
NATURE OF OPERATIONS - Companion Life Insurance Company (the Company),
domiciled in the State of New York, is a wholly-owned subsidiary of United
of Omaha Life Insurance Company (United of Omaha), which is a wholly owned
subsidiary of Mutual of Omaha Insurance Company (Mutual of Omaha), a mutual
life and health and accident insurance company, domiciled in the State of
Nebraska. The Company has insurance licenses to operate in three states,
New York, New Jersey and Connecticut. Individual annuity and life insurance
products are sold primarily through a network of Mutual of Omaha career
agents, direct mail, stockbrokers, financial planners and banks.
BASIS OF PRESENTATION - The accompanying financial statements have been
prepared in conformity with accounting practices prescribed or permitted by
the Insurance Department of the State of New York. Prescribed statutory
accounting practices are contained in a variety of publications of the
National Association of Insurance Commissioners (NAIC), as well as state
laws, regulations, and general administrative rules. Permitted statutory
accounting practices encompass all accounting practices which may not
necessarily be prescribed but are not prohibited.
The accompanying statutory financial statements vary in some respects from
those that would be presented in conformity with generally accepted
accounting principles. The most significant differences include: (a) bonds
are generally carried at amortized cost rather than being valued at either
amortized cost or fair value based on their classification according to the
Company's ability and intent to hold or trade the securities; (b)
acquisition costs, such as commissions and other costs related to acquiring
new business, are charged to operations as incurred and not deferred,
whereas premiums are taken into income on a pro rata basis over the
respective term of the policies; (c) deferred federal income taxes are not
provided for temporary differences between tax and financial reporting; (d)
no provision has been made for federal income taxes on unrealized
appreciation of investments which are carried at market value; (e) asset
valuation reserves (AVR) and interest maintenance reserves (IMR) are
established; (f) different actuarial assumptions are used for calculating
certain policy reserves; and (g) changes in certain assets designated as
"non-admitted" assets have been charged to unassigned surplus. The effects
of the foregoing differences on the accompanying statutory financial
statements are not reasonably determinable, but are presumed to be
material.
USE OF ESTIMATES - The preparation of financial statements in accordance
with statutory accounting practices requires management to make estimates
and assumptions that affect the reported amounts of assets and liabilities
and disclosure of contingent assets and liabilities at the date of the
financial statements and the reported amounts of revenue and expenses
during the reporting period. Actual results could differ significantly from
those estimates.
<PAGE>
INVESTMENTS - Bonds are generally stated at amortized cost. Premiums and
discounts on bonds not backed by other loans are amortized using the
scientific method. Premiums and discounts on loan-backed bonds and
structured securities are amortized using the interest method based on
anticipated prepayments at the date of purchase. Changes in estimated cash
flows from the original purchase assumptions are accounted for using the
retrospective method.
Mortgage loans and policy loans are stated at the aggregate unpaid balance.
In accordance with statutory accounting practices, the Company records a
general reserve for losses on mortgage loans as part of the asset valuation
reserve.
Short-term investments include all investments whose maturities, at the
time of acquisition, are one year or less and are stated at cost which
approximates market.
Investment income is recorded when earned. Realized gains and losses on
sale or maturity of investments are determined on the specific
identification basis. Any portion of invested assets designated as
"non-admitted" are excluded from the statutory statements of admitted
assets, liabilities and surplus.
ASSET VALUATION AND INTEREST MAINTENANCE RESERVES - The Company establishes
certain reserves as promulgated by the National Association of Insurance
Commissioners (NAIC). The AVR is established for the specific risk
characteristics of invested assets of the Company. The IMR is established
for the realized gains and losses on the redemption of fixed income
securities resulting from changes in interest rates, net of tax. Gains and
losses pertaining to the IMR are subsequently amortized into investment
income over the expected remaining period to maturity of the investments
sold or called.
POLICY RESERVES - Policy reserves provide amounts adequate to discharge
estimated future obligations in excess of estimated future premiums on
policies in force. Reserves for life policies are computed principally by
using the Commissioners' Reserve Valuation Method (CRVM) basis or the Net
Level Premium Method with assumed interest rates (2.5% to 6.0%) and
mortality (1941, 1958 and 1980 CSO tables) as prescribed by regulatory
authorities. Annuity reserves are based primarily upon the 1937
Standardized Annuity Table with interest rates ranging from 2.5% to 3.5%,
the 1971 Individual Annuity Mortality Table with interest rates ranging
from 4.0% to 7.5%, or the 1983a Individual Annuity Mortality Table with
interest rates ranging from 5.25% to 9.25%. Policy and contract claim
liabilities include provisions for reported claims and estimates for claims
incurred but not reported. To the extent the ultimate liability differs
from the amounts recorded, such differences are reflected in operations
when additional information becomes known.
SPECIAL SURPLUS AND CONTINGENCY RESERVE - The Company is required by the
State of New York to maintain a group contingency life reserve. This
reserve is equal to an annual accumulation of 2% of the net group life
premiums less dividends thereon, up to a maximum accumulation of one-half
of the net aggregate group life premiums received. This reserve is held as
a portion of total surplus on the statement of admitted assets, liabilities
and surplus.
PREMIUMS AND RELATED COMMISSIONS - Premiums are recognized as income over
the premium paying period of the policies. Commissions and other expenses
related to the acquisition of policies are charged to operations as
incurred.
FEDERAL INCOME TAXES - The Company files a consolidated federal income tax
return with Mutual of Omaha and other eligible subsidiaries. The method of
allocating taxes among the companies is subject to a written agreement
approved by the Board of Directors. Each company's provision for federal
income taxes is based on a separate return calculation with each company
recognizing tax benefits of net operating loss carry-forwards and tax
credits on a separate return basis.
<PAGE>
The provision for federal income taxes is based on income which is
currently taxable. Deferred federal income taxes are not provided for
temporary differences between income tax and statutory reporting. The
Company recognizes the benefits of investment tax carry-forwards when
realized.
NON-ADMITTED ASSETS - Certain assets designated as "non-admitted",
principally receivables greater than ninety days due and office furniture
and equipment, are excluded from the statutory statements of admitted
assets, liabilities and surplus. The net change in such assets is charged
or credited directly to unassigned surplus.
FAIR VALUES OF FINANCIAL INSTRUMENTS - The following methods and
assumptions were used by the Company in estimating its fair value
disclosures for financial instruments:
CASH, SHORT-TERM INVESTMENTS AND OTHER INVESTED ASSETS - The carrying
amounts for these instruments approximate their fair values.
BONDS - The fair values for bonds are based on quoted market prices,
where available. For bonds not actively traded, fair values are estimated
using values obtained from independent pricing services or based on
expected future cash flows using a current market rate applicable to the
yield, credit quality, and maturity of the investments.
MORTGAGE LOANS - The fair values for mortgage loans are estimated using
discounted cash flow calculations, which are based on interest rates
currently being offered for similar loans to borrowers with similar
credit ratings, credit quality, and maturity of the investments.
POLICY LOANS - The Company does not believe an estimate of the fair value
of policy loans can be made without incurring excessive cost. Policy
loans have no stated maturities and are usually repaid by reductions to
benefits and surrenders. Because of the numerous assumptions which would
have to be made to estimate fair value, the Company believes that such
information would not be meaningful.
SEPARATE ACCOUNTS - The assets of the separate accounts shown in the
statutory statements of admitted assets, liabilities and surplus are
carried at fair value and consist primarily of mutual funds held by the
Company for the benefit of policyholders under specific individual annuity
contracts. Benefits paid to separate account policyholders are reflected in
the statutory statements of income, but are offset by transfers from the
separate accounts. The payment of such benefits and the earning of
investment income constitute the only significant activities in the
separate accounts.
RECLASSIFICATIONS - Certain reclassifications have been made to prior years
amounts to conform with current year presentation with no changes to
unassigned surplus or net income.
<PAGE>
2. INVESTMENTS
The cost or amortized cost, gross unrealized gains, gross unrealized losses
and estimated fair value of the Company's investment securities were as
follows:
COST OR GROSS GROSS
AMORTIZED UNREALIZED UNREALIZED ESTIMATED
COST GAINS LOSSES FAIR VALUE
AT DECEMBER 31, 1997:
U.S. Government $ 700,071 $ 21,689 $ - $ 721,760
Mortgage backed
securities 32,360,405 594,678 15,540 32,939,543
Special revenue 2,727,867 173,233 - 2,901,100
Industrial and misc. 272,298,590 8,501,766 195,242 280,605,114
Public utilities 25,397,122 862,841 31,288 26,228,675
Collateralized mortgage 88,457,664 702,903 151,331 89,009,236
Credit-tenant loans 1,621,885 91,951 - 1,713,836
--------- ------ -- ---------
$ 423,563,604 $ 10,949,061 $ 393,401 $ 434,119,264
============= ============ ========== =============
Bonds $ 415,833,604
Short-term investments 7,730,000
$ 423,563,604
AT DECEMBER 31, 1996:
U.S. Government $ 883,638 $ 39,602 $ - $ 923,240
Mortgage backed
securities 19,625,646 221,924 45,390 19,802,180
Special revenue 3,554,693 207,533 - 3,762,226
Industrial and misc. 242,214,347 6,309,679 1,164,175 247,359,851
Public utilities 25,163,593 784,702 46,436 25,901,859
Collateralized mortgage 81,231,906 590,887 701,760 81,121,033
Credit-tenant loans 1,778,668 85,048 - 1,863,716
--------- ------ -- ---------
$ 374,452,491 $ 8,239,375 $ 1,957,761 $ 380,734,105
============= =========== =========== =============
Bonds $ 370,927,491
Short-term investments 3,525,000
$ 374,452,491
<PAGE>
The amortized cost and estimated fair value of debt securities at December
31, 1997, by contractual maturity, are shown below. Expected maturities
will differ from contractual maturities because borrowers may have the
right to call or prepay obligations with or without call or prepayment
penalties.
AMORTIZED ESTIMATED
COST FAIR VALUE
Due in one year or less $ 12,722,381 $ 12,789,401
Due after one year through five years 88,750,646 91,270,778
Due after five years through ten years 87,819,603 91,634,888
Due after ten years 113,452,905 116,475,418
----------- -----------
302,745,535 312,170,485
Collateralized mortgage obligations and mortgage
backed securities 120,818,069 121,948,779
----------- -----------
$ 423,563,604 $ 434,119,264
============= =============
The sources of net investment income were as follows:
1997 1996 1995
Bonds $ 29,303,742 $ 25,415,169 $ 20,708,759
Mortgage loans 1,273,829 1,751,301 2,264,264
Policy loans 544,364 569,200 583,981
Short-term investments 389,780 442,382 406,836
Other 25,165 40,513 42,117
------- ------- ------
31,536,880 28,218,565 24,005,957
Investment expense (595,604) (542,595) (484,211)
Amortization of interest
maintenance reserve 180,923 148,883 83,526
-------- -------- ------
$ 31,122,199 $ 27,824,853 $ 23,605,272
============= ============= ============
<PAGE>
Gross realized gains and losses from investment securities consist of the
following:
NET
GROSS GROSS REALIZED
REALIZED REALIZED GAINS
GAINS LOSSES (LOSSES)
Year ended December 31, 1997:
Bonds $ 293,471 $ 548,904 $ (255,433)
Mortgage loans - 66,717 (66,717)
-- ------ --------
$ 293,471 $ 615,621 (322,150)
========= =========
Capital gains tax benefit 112,753
Net IMR capital gains (127,287)
Net realized capital losses $ (336,684)
===========
Year ended December 31, 1996:
Bonds $ 527,165 $ 2 $ 527,163
Mortgage loans 27,001 - 27,001
------ -- ------
$ 554,166 $ 2 554,164
========= ====
Capital gains tax (193,958)
Net IMR capital gains (360,206)
Net realized capital gains $ -
===
Year ended December 31, 1995:
Bonds $ 83,705 $ 1,063 $ 82,642
Mortgage loans 54,256 - 54,256
------ -- ------
$ 137,961 $ 1,063 136,898
========= ========
Capital gains tax (47,914
Net IMR capital gains (89,675)
Net realized capital losses $ (691)
=======
Proceeds from the sale of bonds were $5,707,696, $2,312,104, and $48,938
during 1997, 1996 and 1995, respectively.
At December 31, 1997 and 1996, securities with an amortized cost of
$274,376 and $274,028 were on deposit with the New York State Insurance
Department.
The Company invests in mortgage loans collateralized principally by
commercial real estate. The maximum percentage of any one loan to the value
of the security at the time the loan was originated, exclusive of insured,
guaranteed or purchase money mortgages, was 75%. The Company did not invest
in any new mortgage loans during 1997 or 1996. The estimated fair value of
the mortgage loan portfolio was $10,474,689 and $16,960,455 at December 31,
1997 and 1996, respectively.
The Company has commitments to fund bond investments of approximately
$3,600,000 as of December 31, 1997. These commitments are legally binding
and have fixed expiration dates or other termination clauses that may
require a payment of a fee. In the event that the financial condition of a
borrower deteriorates materially, the commitment may be terminated. Since
some of the commitments may expire or terminate, the total commitments do
not necessarily represent future liquidity requirements.
3. FEDERAL INCOME TAXES
The provision for federal income taxes reflects an effective income tax
rate which differs from the prevailing federal income tax rate primarily as
a result of income and expense recognition differences between statutory
and income tax reporting. The major differences include capitalization and
amortization of certain acquisition amounts for tax purposes, different
methods for determining statutory and tax insurance reserves, timing of the
recognition of market discount on bonds and certain accrued expenses, and
the acceleration of depreciation for tax purposes.
The Company's tax returns have been examined by the Internal Revenue
Service (IRS) through 1992. The tax returns for 1993 through 1995 are
currently under examination. Management believes the results of these
examinations will have no material impact on the Company's statutory
financial statements.
Under federal income tax law prior to 1984, the Company accumulated
approximately $2,623,000 of deferred taxable income which could become
subject to income taxes in the future under certain conditions. Management
believes the chance that those conditions will exist is remote.
4. RETIREMENT BENEFITS
The Company participates with affiliated companies in a noncontributory
defined benefit plan covering all United States employees meeting certain
minimum requirements. Mutual of Omaha and certain subsidiaries
(collectively referred to as the Companies) generally make annual
contributions to the plan in an amount between the minimum ERISA required
contribution and the maximum tax deductible contribution. Companion was not
required to make a contribution in 1997, 1996 and 1995. Funds for the plan
are held in the general and separate accounts of United of Omaha under a
group annuity contract and in domestic equity and international common
stock funds.
Information regarding accrued benefits and net assets has not been
determined on an individual company basis. The Company's allocation of
salary expense was less than 1% of the total Companies' salary expense in
1997, 1996 and 1995. The Companies expensed contributions of $7,972,335,
$12,152,156 and $9,114,637 in 1997, 1996 and 1995, respectively. During
1996, the Companies changed mortality tables from the 1971 group annuity
mortality table to the 1983 group annuity mortality table. As a result of
the table change, the actuarial present value of accrued benefits as of
January 1, 1996, increased by $21,637,154. The Companies made an additional
contribution of $21,637,154 and recorded it net of federal income taxes of
$7,573,004 as a direct charge to surplus. The Plan was amended effective
January 1, 1997, to include a postretirement medical 401(h) account for the
funding of certain postretirement medical benefits provided by the
Companies.
<PAGE>
A comparison of accrued benefits and net assets for the entire plan as of
January 1, 1997 and 1996 follows:
1997 1996
Actuarial present value of accrued benefits:
Vested $ 380,495,581 $ 352,736,411
Nonvested 2,203,724 4,036,059
--------- ---------
$ 382,699,305 $ 356,772,470
============= =============
Net assets available for benefits $ 369,871,820 $ 324,925,491
============= =============
Assumptions:
Annual investment return 9.00 % 9.00 %
Mortality table 1983 GAM 1983 GAM
Discount rate 7.37 % 7.62 %
The Companies also provide the Mutual of Omaha 401(k) Long-Term Savings
Plan covering all United States employees who have completed one year of
service and have reached their 21st birthday. Participants may elect to
contribute 1% to 16% of their salary annually subject to plan and IRS
limitations. The Companies match at least 25% of the first 6% of the
contributions made by each participant. The Companies match up to an
additional 75% of the first 6% of the contributions made by each
participant if certain company-wide performance measures are met.
Contributions by the Companies were $8,428,515, $5,600,402 and $5,774,963
in 1997, 1996 and 1995, respectively.
The Companies provide certain postretirement medical and life insurance
benefits. The Companies subsidize these benefits with certain limitations
to retirees and eligible employee groups. Employees retiring on or before
December 31, 1997, were eligible for the full subsidy if they were at least
age 55 with at least 10 years of service and 10 years of continuous
coverage under one of the Companies' health plans. Employees retiring after
December 31, 1997, must be at least age 60 with at least 15 years of
service and 15 years of continuous coverage under one of the Companies'
health plans to be eligible for a subsidy. Employees hired on or after
January 1, 1995, are not eligible for a subsidy. The cost of these
postretirement benefits is allocated to the Companies based on an actuarial
valuation. The Companies use the accrual method of accounting for
postretirement benefits and elected to amortize the original transition
obligation over 20 years.
<PAGE>
The following table compares the accumulated benefit obligations and
accrued liability for the Companies' postretirement benefit at December 31,
1997 and 1996:
1997 1996
Accumulated postretirement benefits obligation:
Fully eligible actives $ 9,694,945 $ 8,008,428
Retirees 76,208,522 76,135,759
---------- ----------
85,903,467 84,144,187
Plan assets in Postretirement
Medical 401(h) Account (2,713,304) -
Unrecognized transition obligation (60,275,474) (64,293,839)
Unrecognized gain 9,460,055 7,928,001
---------- ---------
Total accrued postretirement benefit
liabilities $32,374,744 $ 27,778,349
Assumptions:
Discount rate 7.25 % 7.50 %
Health care cost trend rate:
First year 5.00 % 8.50 %
Ultimate 5.00 % 5.00 %
Grading period - 8 years
The Companies' net periodic postretirement benefit costs include the
following components at December 31, 1997, 1996 and 1995:
1997 1996 1995
Eligibility costs $ 1,597,970 $ 1,384,687 $ 1,654,470
Interest costs 5,985,721 5,908,779 5,567,144
Deferral of gain on plan assets 55,859 - (683,259)
Amortization of transition obligation 4,018,365 4,018,365 4,100,979
Return on assets (55,859) - -
-------- -- -
Total benefit costs $ 11,602,056 $ 11,311,831 $ 10,639,334
============= ============= ============
The health care cost trend rate assumption has a significant effect on the
amounts reported. To illustrate, increasing the assumed health care cost
trend rate by one percentage point in each year would increase the
Companies' accumulated postretirement benefits obligation as of December
31, 1997 by approximately $6,200,000 and the estimated eligibility cost and
interest components of the net periodic postretirement benefit costs for
1997 by approximately $800,000.
5. RELATED PARTY TRANSACTIONS
At December 31, 1997 and 1996, approximately $9,922,000 and $14,879,000,
respectively, of the Company's investments in mortgage loans were held
through joint participants with United of Omaha.
United of Omaha provides actuarial, data processing, consulting and various
other services to the Company. Charges for these services amounted to
approximately $7,303,000, $7,164,000 and $6,320,000 for 1997, 1996 and
1995, respectively. Included in other liabilities are unsettled balances
related to these services of approximately $1,237,000 and $555,000 as of
December 31, 1997 and 1996, respectively.
The Company cedes group and individual life insurance and individual
annuity business to United of Omaha. In 1997, the Company entered into a
coinsurance treaty with United of Omaha relating to bank annuity business
in which the Company cedes 75% of the related premiums to United of Omaha
and United of Omaha pays 75% of the related benefits. The amounts ceded by
the Company relating to the treaties with United of Omaha and included in
the statutory statements of admitted assets, liabilities and surplus were
as follows:
1997 1996
Amounts recoverable from reinsurance $ 2,278 $ 28,945
======== ========
Policy and contract claims $ 2,368,173 $ 1,828,874
============ ===========
Aggregate reserve for policies and contracts $ 30,498,320 $ 3,749,310
============= ===========
Funds held under reinsurance treaties $ 35,481,219 $ 7,488,832
============= ===========
The amounts ceded by the Company and included in the statutory statements
of income were as follows:
1997 1996 1995
Premium considerations $ 31,394,836 $ 2,644,523 $ 4,369,203
============= ============ ===========
Policyholder and beneficiary benefits $ 4,001,768 $ 1,306,703 $ 2,807,917
============ ============ ===========
The Company also ceded group and individual accident and health insurance
to Mutual of Omaha. The amounts ceded by the Company were as follows:
1997 1996
Amounts recoverable from reinsurance $ 3,165 $ 2,556
======= =======
Policy and contract claims $ 442,312 $ 403
========= =====
Aggregate reserves for policies and contracts $ 1,236,251 $ 127,823
=========== =========
The amounts ceded by the Company and included in the statutory statements
of income were as follows:
1997 1996 1995
Premium considerations $ 2,530,305 $ 19,029 $ 25,034
============= ========== =======
Policyholder and beneficiary benefits $1,068,038 $ 36,964 $ (3,386)
============ ========== =======
United World Life Insurance Company, an affiliate domiciled in the State of
Nebraska, had reinsurance funds withheld of $500,000 on deposit with the
Company at December 31, 1995.
6. REINSURANCE
In the normal course of business, the Company assumes and cedes
reinsurance. The ceding of insurance business does not discharge an insurer
from its primary legal liability to a policyholder. The Company remains
liable to the extent that a reinsurer is unable to meet its obligations.
The reconciliation of total premiums to net premiums is as follows:
1997 1996 1995
Direct $ 80,118,628 $ 93,379,787 $ 76,428,002
Assumed 612,149 646,451 598,903
Ceded (35,174,069) (3,846,323) (4,929,351)
------------- ------------ -----------
Net $ 45,556,708 $ 90,179,915 $ 72,097,554
============= ============= ============
7. DEPOSIT FUNDS
At December 31, 1997 and 1996, the Company held annuity reserves and
deposit fund liabilities of $90,498,996 and $92,914,171, respectively, that
were subject to discretionary withdrawal at book value with a surrender
charge of less than 5%.
<PAGE>
8. CONTINGENT LIABILITIES
Various lawsuits have arisen in the ordinary course of the Company's
business. The Company believes that its defenses are meritorious and the
eventual outcome of those lawsuits will not have a material effect on the
Company's financial position.
9. STOCKHOLDER DIVIDENDS
Dividends to the Company's stockholder are subject to prior approval by the
Superintendent of Insurance of the State of New York.
10. BUSINESS RISKS
The Company is subject to regulation by state insurance departments and it
undergoes periodic examinations by those departments. The following is a
description of the most significant risks facing life and health insurers
and how the Company manages those risks:
LEGAL/REGULATORY RISK is the risk that changes in the legal or regulatory
environment in which an insurer operates will occur and create additional
costs or expenses not anticipated by the insurer in pricing its products.
The Company mitigates this risk by diversifying its products.
CREDIT RISK is the risk that issuers of securities owned by the Company
will default, or that other parties, including reinsurers which owe the
Company money, will not pay. The Company minimizes this risk by adhering
to a conservative investment strategy and by maintaining sound
reinsurance, credit and collection policies.
<PAGE>
INTEREST-RATE RISK is the risk that interest rates will change and cause
a decrease in the value of an insurer's investments. The Company
mitigates this risk by attempting to match the maturity schedule of its
assets with the expected payouts of its liabilities. To the extent that
liabilities come due more quickly than assets mature, the Company may
have to sell assets prior to maturity and recognize a gain or loss.
11. CONSOLIDATION OF OPERATIONS
During 1997, the Company consolidated some of its operations with those of
Mutual of Omaha. The Company incurred and expensed approximately $795,000
related to severance and other consolidation expenses.
<PAGE>
COMPANION LIFE
SEPARATE ACCOUNT C
FINANCIAL STATEMENTS AND
INDEPENDENT AUDITORS' REPORT AS OF
DECEMBER 31, 1997 AND FOR THE TWO YEARS
ENDED DECEMBER 31, 1997 AND 1996
<PAGE>
INDEPENDENT AUDITORS' REPORT
To the Board of Directors
Companion Life Insurance Company
We have audited the accompanying statement of net assets of Companion Life
Separate Account C as of December 31, 1997, and the related statements of
operations and changes in net assets for the years ended December 31, 1997 and
1996. Our responsibility is to express an opinion on these financial statements
based on our audits. The financial statements are the responsibility of the
Company's management.
We conducted our audits in accordance with generally accepted auditing
standards. Those standards require that we plan and perform the audit to obtain
reasonable assurance about whether the financial statements are free of material
misstatement. An audit includes examining, on a test basis, evidence supporting
the amounts and disclosures in the financial statements. Our procedures included
confirmation of securities owned as of December 31, 1997, by correspondence with
the custodian and brokers. An audit also includes assessing the accounting
principles used and significant estimates made by management, as well as
evaluating the overall financial statement presentation. We believe that our
audits provide a reasonable basis for our opinion.
In our opinion, the financial statements referred to above present fairly, in
all material respects, the financial position of Companion Life Separate Account
C as of December 31, 1997, and the results of its operations and changes in its
net assets for the two years ended December 31, 1997 and 1996 in conformity with
generally accepted accounting principles.
March 23, 1998
COMPANION LIFE SEPARATE ACCOUNT C
<TABLE>
<CAPTION>
STATEMENT OF NET ASSETS
DECEMBER 31, 1997
- ------------------------------------------------------------------------------------------------------------------------------------
SERIES I
-----------------------------------------------------------------------------------------------------
FIDELITY T. ROWE PRICE SCUDDER
------------------------------------ ---------------------------------------------------------------
NEW LIMITED
ASSET INDEX AMERICA EQUITY TERM MONEY
ASSETS GROWTH MANAGER 500 INTERNATIONAL GROWTH INCOME BOND MARKET BOND
<S> <C> <C> <C> <C> <C> <C> <C> <C> <C>
Investments in portfolio
shares, at cost $ 417,513 $ 396,407 $ 134,481 $ 211,715 511,045 $ 421,084 $ 13,502 $ 40,206 $ 147,228
========== ========== ================================= ======= ========
Investments in portfolio
shares, at market value $ 516,879 $ 465,318 $ 176,092 $ 228,601 641,070 $ 553,948 $ 13,483 $ 40,206 $ 156,705
---------- --------- ---------------------------------- ------- --------
Net assets $ 516,879 $ 465,318 $ 176,092 $ 228,601 641,070 $ 553,948 $ 13,483 $ 40,206 $ 156,705
========== ========= ================================= ======== ==========
Accumulation units outstanding 26,994 30,967 8,106 18,378 30,315 27,109 1,142 35,324 12,356
======= ====== ================== ======== ========= ========= ======= =======
Net asset value per unit $ 19.15 $ 15.03 $ 21.73 $ 12.44 $ 21.15 $ 20.43 $ 11.81 $ 1.14 $ 12.68
======== ======== ======= ======== ======== ======= ======== ======= =======
</TABLE>
<PAGE>
COMPANION LIFE SEPARATE ACCOUNT C
<TABLE>
<CAPTION>
STATEMENT OF NET ASSETS
DECEMBER 31, 1997 (CONTINUED)
- ------------------------------------------------------------------------------------------------------------------------------------
SERIES V
------------------------------------------------------------------------------------------------------
MFS T. ROWE PRICE
--------------------------------------------- -----------------------------------------------------
NEW LIMITED
EMERGING HIGH WORLD AMERICA PERSONAL EQUITY TERM
ASSETS GROWTH RESEARCH INCOME GOVERNMENT GROWTH STRATEGY INCOME INTERNATIONAL BOND
<S> <C> <C> <C> <C> <C> <C> <C> <C> <C>
Investments in portfolio
shares, at cost $ 328,300 $ 464,271 $ 207,350 $ 152,453 $ 342,613 $ 728,557 $ 876,412 $ 305,310 $ 344,206
========== ========== ========== ========= ========= ========== ========= ========= =========
Investments in portfolio
shares, at market value $ 344,872 $ 485,557 $ 223,771 $ 153,295 $ 366,093 $ 746,691 $ 920,066 $ 287,148 $ 346,304
---------- ---------- ---------- --------- --------- ---------- --------- --------- ---------
Net assets $ 344,872 $ 485,557 $ 223,771 $ 153,295 $ 366,093 $ 746,691 $ 920,066 $ 287,148 $ 346,304
========== ========== ========== ========= ========= ========== ========= ========= =========
Accumulation units outstanding 21,241 30,779 17,267 14,907 19,742 50,339 52,630 23,539 31,032
======= ======= ======= ====== ====== ======= ====== ====== ======
Net asset value per unit $ 16.24 $ 15.78 $ 12.96 $ 10.28 $ 18.54 $ 14.83 $ 17.48 $ 12.20 $ 11.16
======== ======== ======== ======== ======== ======== ======== ======== =======
</TABLE>
<PAGE>
COMPANION LIFE SEPARATE ACCOUNT C
<TABLE>
<CAPTION>
STATEMENT OF NET ASSETS
DECEMBER 31, 1997 (CONTINUED)
- ------------------------------------------------------------------------------------------------
SERIES V
-----------------------------------------------------------------
FIDELITY FEDERATED
--------------------------------- ---------------------------
U.S. PRIME
ASSET EQUITY GOVERNMENT MONEY
ASSETS CONTRAFUND MANAGER INCOME SECURITIES FUND II
<S> <C> <C> <C> <C> <C>
Investments in portfolio
shares, at cost $ 438,418 $ 910,346 $ 729,450 $ 358,611 $ 450,561
========= ========= ========== ========= =========
Investments in portfolio
shares, at market value $ 467,390 $ 964,045 $ 804,299 $ 367,967 $ 450,561
--------- --------- ---------- --------- ---------
Net assets $ 467,390 $ 964,045 $ 804,299 $ 367,967 $ 450,561
========= ========= ========== ========= =========
Accumulation units outstanding 27,082 58,425 48,536 31,521 410,506
====== ====== ======= ====== =======
Net asset value per unit $ 17.26 $ 16.50 $ 16.57 $ 11.67 $ 1.10
======== ======== ======== ======== =======
--------------------------------------------------------
ALGER SCUDDER
--------------------------- ---------------
AMERICAN
SMALL AMERICAN INTER-
CAPITALIZATION GROWTH NATIONAL TOTAL
Investments in portfolio shares, at cost $ 222,171 $ 401,291 $ 208,310 $ 9,761,811
========= ========== ========= ===========
Investments in portfolio shares, at market value $ 229,017 $ 431,393 $ 204,936 $ 10,585,707
--------- ---------- --------- ============
Net assets $ 229,017 $ 431,393 $ 204,936 $ 10,585,707
========= ========== ========= ============
Accumulation units outstanding 16,717 26,564 15,759
====== ======= ======
Net asset value per unit $ 13.70 $ 16.24 $ 13.00
======== ======== =======
The accompanying notes are an integral part of these financial statements.
</TABLE>
<PAGE>
COMPANION LIFE SEPARATE ACCOUNT C
<TABLE>
<CAPTION>
STATEMENTS OF OPERATIONS
FOR THE YEARS ENDED DECEMBER 31, 1997 AND 1996
- ------------------------------------------------------------------------------------------------------------------------------------
SERIES I
---------------------------------------------------------------------------------------
FIDELITY T. ROWE PRICE SCUDDER
-------------------------------------------------------------------------- ---------------
NEW LIMITED
ASSET INDEX AMERICA EQUITY TERM MONEY
1997 GROWTH MANAGER 500 INTERNATIONAL GROWTH INCOME BOND MARKET BOND
Investment income:
<S> <C> <C> <C> <C> <C> <C> <C> <C> <C>
Dividends and capital gain distributions $ 12,004 $ 43,575 $ 3,703 $ 5,094 $ 1,500 $ 28,974 $ 831 $ 2,580 $ 15,437
Expense:
Mortality risk charges $ (5,335) $ (5,165) $ (1,804) $ (3,004) $ (6,524) $ (6,119)$ (175) $ (623) $ (3,020)
Administrative expenses $ (637) $ (616) $ (215) $ (358) $ (779) $ (730) $ (21) $ (74) $ (360)
------- ------- ------- ------- ------- ------- ------ ------ -------
Net investment income (expense) $ 6,032 $ 37,794 $ 1,684 $ 1,732 $ (5,803) $ 22,125 $ 635 $ 1,883 $ 12,057
-------- --------- -------- -------- --------- --------- ------ -------- --------
Gains (losses) on investments:
Net realized gains (losses) $ 3,600 $ 1,295 $ 3,666 $ 3,871 $ 12,434 $ 13,187 $ (862) $ - $ 3,387
Net change in unrealized gains (losses) $ 75,023 $ 32,507 $ 31,991 $ (1,051) $ 93,840 $ 82,123 $ 744 $ - $ 7,360
--------- --------- --------- --------- --------- --------- ------ ---- -------
Net gains (losses) on $ 78,623 $ 33,802 $ 35,657 $ 2,820 $ 106,274 $ 95,310 $ (118) $ - $ 10,747
investments -------- --------- -------- -------- --------- -------- ------- ---- --------
Increase in net assets from operations $ 84,655 $ 71,596 $ 37,341 $ 4,552 $ 100,471 $ 117,435 $ 517 $ 1,883 $ 22,804
========= ========= ========= ======== ==================== ====== ======== ========
</TABLE>
The accompanying notes are an integral part of these financial statements.
<PAGE>
COMPANION LIFE SEPARATE ACCOUNT C
<TABLE>
<CAPTION>
STATEMENTS OF OPERATIONS
FOR THE YEARS ENDED DECEMBER 31, 1997 AND 1996 (CONTINUED)
- -----------------------------------------------------------------------------------------------------------------------------------
SERIES V
-----------------------------------------------------------------------------------------
MFS T. ROWE PRICE
--------------------------------------- ------------------------------------------------
NEW LIMITED
EMERGING HIGH WORLD AMERICA PERSONAL EQUITY TERM
1997 (CONTINUED) GROWTH RESEARCH INCOME GOVERNMENT GROWTH STRATEGY INCOME INTERNATIONAL BOND
Investment income:
<S> <C> <C> <C> <C> <C> <C> <C> <C> <C>
Dividends and capital gain distributions - - - 138 812 21,415 35,594 6,665 7,598
Expense:
Mortality risk charges (1,287) (1,982) (1,408) (612) (1,317) (2,758) (3,439) (1,017) (1,288)
Administrative expenses (257) (394) (281) (122) (263) (550) (685) (203) (256)
----- ----- ----- ----- ----- ----- ----- ----- -----
Net investment income (expense) (1,544) (2,376) (1,689) (596) (768) 18,107 31,470 5,445 6,054
------- ------- ------- ----- ----- ------- ------- ------ -----
Gains (losses) on investments:
Net realized gains 1,893 2,226 3,940 184 1,446 3,691 4,920 620 103
Net change in unrealized gains (losses) 16,572 21,286 16,421 842 23,480 18,134 43,654 (18,162) 2,098
------- ------- ------- ---- ------- ------- ------- -------- -----
Net gains (losses) on 18,465 23,512 20,361 1,026 24,926 21,825 48,574 (17,542) 2,201
investments ------- ------- ------- ------ ------- ------- ------- -------- -----
Increase (decrease) in net assets from 16,921 21,136 18,672 430 24,158 39,932 80,044 (12,097) 8,255
operations ======= ======= ======= ==== ======= ======= ======= ======== =====
</TABLE>
The accompanying notes are an integral part of these financial statements.
<PAGE>
COMPANION LIFE SEPARATE ACCOUNT C
<TABLE>
<CAPTION>
STATEMENTS OF OPERATIONS
FOR THE YEARS ENDED DECEMBER 31, 1997 AND 1996 (CONTINUED)
- -----------------------------------------------------------------------------------------------------------------------------------
SERIES V
--------------------------------------------------------------------------------------------
FIDELITY FEDERATED ALGER SCUDDER
----------------------------- --------------------- --------------------- ----------
U.S. PRIME AMERICAN
ASSET EQUITY GOVERNMENT MONEY SMALL AMERICAN INTER-
1997 (CONTINUED) CONTRAFUND MANAGER INCOME SECURITIES FUND II CAPITAL. GROWTH NATIONAL TOTAL
Investment income:
<S> <C> <C> <C> <C> <C> <C> <C> <C> <C>
Dividends and capital gain distributions 31 2 104 2,083 14,198 1,834 1,443 111 205,726
Expense:
Mortality risk charges (1,453) (3,202) (3,566) (1,242) (2,899) (843) (2,024) (738) (62,844)
Administrative expenses (290) (638) (710) (247) (575) (168) (403) (147) (9,979)
----- ----- ----- ----- ----- ----- ----- ----- -------
Net investment income (expense) (1,712) (3,838) (4,172) 594 10,724 823 (984) (774) 132,903
------- ------- ------- ---- ------- ---- ----- ----- -------
Gains (losses) on investments:
Net realized gains 347 6,205 5,490 649 - 765 1,378 1,036 75,471
Net change in unrealized gains (losses) 28,972 53,699 74,849 9,356 - 6,846 30,102 (3,374) 647,312
------- ------- ------- ------ -- ------ ------- ------- -------
Net gains (losses) on investments29,319 59,904 80,339 10,005 - 7,611 31,480 (2,338) 722,783
------- ------- ------- ------- -- ------ ------- ------- -------
Increase (decrease) in net assets from opera27,607 56,066 76,167 10,599 10,724 8,434 30,496 (3,112) 855,686
======= ======= ======= ======= ======= ====== ======= ======= =======
The accompanying notes are an integral part of these financial statements.
</TABLE>
<PAGE>
COMPANION LIFE SEPARATE ACCOUNT C
<TABLE>
<CAPTION>
STATEMENTS OF OPERATIONS
FOR THE YEARS ENDED DECEMBER 31, 1997 AND 1996 (CONTINUED)
- ------------------------------------------------------------------------------------------------------------------------------------
SERIES I
---------------------------------------------------------------------------------------------
FIDELITY T. ROWE PRICE SCUDDER
--------------------------- ------------------------------------------ -------------------
NEW LIMITED
ASSET INDEX AMERICA EQUITY TERM MONEY
1996 GROWTH MANAGER 500 INTERN. GROWTH INCOME BOND MARKET BOND TOTAL
Investment income:
<S> <C> <C> <C> <C> <C> <C> <C> <C> <C> <C>
Dividends and capital gain distr. 5,345 8,267 931 3,369 5,455 10,423 2,272 4,858 9,292 50,212
Expense:
Mortality risk charges (2,915) (3,524) (572) (1,789 (3,077) (3,337) (492) (1,233) (1,740) (18,679)
Administrative expenses (348) (421) (68) (214 (367) (398) (59) (147) (207) (2,229)
----- ----- ---- ---- ----- ----- ---- ----- ----- -------
Net investment income 2,082 4,322 291 1,366 2,011 6,688 1,721 3,478 7,345 29,304
------ ------ ---- ----- ------ ------ ------ ------ ------ ------
Gains (losses) on investments:
Net realized gains (losses) 1,757 995 1,006 224 2,647 2,943 (5) - (5,185) 4,382
Net change in unrealized gains (loss22,517 29,382 9,167 16,382 34,229 42,450 (971) - (38) 153,118
------- ------- ------ ------ ------- ------- ----- -- ---- -------
Net gains (losses) on
investments 24,274 30,377 10,173 16,606 36,876 45,393 (976) - (5,223) 157,500
------- ------- ------- ------ ------- ------- ----- -- ------- -------
Increase in net assets from
operations 26,356 34,699 10,464 17,972 38,887 52,081 745 3,478 2,122 186,804
======= ======= ======= ====== ======= ======= ==== ====== ====== =======
The accompanying notes are an integral part of these financial statements.
</TABLE>
<PAGE>
COMPANION LIFE SEPARATE ACCOUNT C
<TABLE>
<CAPTION>
STATEMENTS OF CHANGES IN NET ASSETS
FOR THE YEARS ENDED DECEMBER 31, 1997 AND 1996
- -----------------------------------------------------------------------------------------------------------------------------------
SERIES I
------------------------------------------------------------------------------------------------
FIDELITY T. ROWE PRICE SCUDDER
------------------------------- ------------------------------------------- ------------------
NEW LIMITED
ASSET INDEX AMERICA EQUITY TERM MONEY
1997 GROWTH MANAGER 500 INTERNATIONAL GROWTH INCOME BOND MARKET BOND
From operations:
<S> <C> <C> <C> <C> <C> <C> <C> <C> <C>
Net investment income (expense) 6,032 37,794 1,684 1,732 (5,803) 22,125 635 1,883 12,057
Net realized gains (losses) 3,600 1,295 3,666 3,871 12,434 13,187 (862) - 3,387
Net change in unrealized
gains (losses) 75,023 32,507 31,991 (1,051) 93,840 82,123 744 - 7,360
------- ------- ------- ------- ------- ------- ---- -- -----
84,655 71,596 37,341 4,552 100,471 117,435 517 1,883 22,804
------- ------- ------- ------ -------- -------- ---- ------ ------
From policyowner transactions:
Policy purchases 129,725 42,849 76,168 8,737 199,624 57,769 - 101,157 95,391
Policy withdrawals (21,643) (3,743) (9,962) (18,767) (58,796) (37,248) (32,674) (101,562) (186,558)
-------- ------- ------- -------- -------- -------- -------- --------- ---------
108,082 39,106 66,206 (10,030) 140,828 20,521 (32,674) (405) (91,167)
-------- ------- ------- -------- -------- ------- -------- ----- --------
Increase (decrease) in net assets 192,737 110,702 103,547 (5,478) 241,299 137,956 (32,157) 1,478 (68,363)
Net assets, beginning of year 324,142 354,616 72,545 234,079 399,771 415,992 45,640 38,728 225,068
-------- -------- ------- -------- -------- -------- ------- ------- -------
Net assets, end of year 516,879 465,318 176,092 228,601 641,070 553,948 13,483 40,206 156,705
======== ======== ======== ======== ======== ======== ======= ======= =======
Accumulation unit purchases 7,537 3,148 4,217 724 10,716 3,310 - 90,969 8,208
Accumulation unit withdrawals (1,154) (252) (479) (1,470) (2,992) (2,061) (2,927) (90,973) (14,943)
------- ----- ----- ------- ------- ------- ------- -------- --------
Net increase (decrease) in units 6,383 2,896 3,738 (746) 7,724 1,249 (2,927) (4) (6,735)
Standing
Units outstanding, beginning of year 20,611 28,071 4,368 19,124 22,591 25,860 4,069 35,328 19,091
------- ------- ------ ------- ------- ------- ------ ------- ------
Units outstanding, end of year 26,994 30,967 8,106 18,378 30,315 27,109 1,142 35,324 12,356
======= ======= ====== ======= ======= ======= ====== ======= ======
</TABLE>
The accompanying notes are an integral part of these financial statements.
<PAGE>
COMPANION LIFE SEPARATE ACCOUNT C
<TABLE>
<CAPTION>
STATEMENTS OF CHANGES IN NET ASSETS
FOR THE YEARS ENDED DECEMBER 31, 1997 AND 1996 (CONTINUED)
- --------------------------------------------------------------------------------------------------------------------------------
SERIES V
-------------------------------------------------------------------------------
MFS T. ROWE PRICE SCUDDER
------------------------------------- ----------------------------------------------
NEW LIMITE
EMERGING HIGH WORLD AMERICA PERSONAL EQUITY TERM MONEY
1997 (CONTINUED) GROWTH RESEARCH INCOME GOVERNMENT GROWTH STRATEGY INCOME INTERN BOND MARKET BOND
From operations:
<S> <C> <C> <C> <C> <C> <C> <C> <C> <C> <C> <C>
Net investment income
(expense) (1,544) (2,376) (1,689) (596) (768) 18,107 31,470 5,445 6,054 1,883 12,057
Net realized gains 1,893 2,226 3,940 184 1,446 3,691 4,920 620 103 - 3,387
Net change in unrealized
gains (losses) 16,572 21,286 16,421 842 23,480 18,134 43,654 (18,162) 2,098 - 7,360
------- ------- ------- ---- ------- ------- ------- -------- ------ -- -----
16,921 21,136 18,672 430 24,158 39,932 80,044 (12,097) 8,255 1,883 22,804
------- ------- ------- ---- ------- ------- ------- -------- ------ ------ ------
From policyowner transactions:
Policy purchases 340,236 479,858 308,293 162,987 354,167 753,260 879,735 325,828 362,520 101,157 95,391
Policy withdrawals (12,285) (15,437) (103,194) (10,122) (12,232) (46,501)(39,713) (26,583) (24,471) (101,562)(186,558)
-------- -------- --------- -------- -------- -------- -------- -------- -------- -----------------
327,951 464,421 205,099 152,865 341,935 706,759 840,022 299,245 338,049 (405) (91,167)
-------- -------- -------- -------- -------- ------- -------- -------- -------- ----- --------
Increase in net assets 344,872 485,557 223,771 153,295 366,093 746,691 920,066 287,148 346,304 1,478 (68,363)
Net assets, beginning of year - - - - - - - - - 38,728 225,068
-- -- -- -- -- -- -- -- -- ------- -------
Net assets, end of year 344,872 485,557 223,771 153,295 366,093 746,691 920,066 287,148 346,304 40,206 156,705
======== ======== ======== ======== ======== ======= ======== ======== ======== ======= =======
Accumulation unit purchases 21,846 31,643 25,473 15,726 20,329 52,946 54,601 25,413 32,713 90,969 8,208
Accumulation unit withdrawals (605) (864) (8,206) (819) (587) (2,607) (1,971) (1,874) (1,681) (90,973) (14,943)
----- ----- ------- ----- ----- ------- ------- ------- ------- -------- --------
Net increase in units outstanding21,241 30,779 17,267 14,907 19,742 50,339 52,630 23,539 31,032 (4 (6,735)
Units outstanding, beginning - - - - - - - - - 35,328 19,091
of year -- -- -- -- -- -- -- -- -- ------ ------
Units outstanding, end of year 21,241 30,779 17,267 14,907 19,742 50,339 52,630 23,539 31,032 35,324 12,356
======= ======= ====== ======= ====== ====== ======= ======= ======= ====== ======
The accompanying notes are an integral part of these financial statements.
</TABLE>
<PAGE>
COMPANION LIFE SEPARATE ACCOUNT C
<TABLE>
<CAPTION>
STATEMENTS OF CHANGES IN NET ASSETS
FOR THE YEARS ENDED DECEMBER 31, 1997 AND 1996 (CONTINUED)
- ------------------------------------------------------------------------------------------------------------------------------------
SERIES V
--------------------------------------------------------------------------------------------------------
FIDELITY FEDERATED ALGER SCUDDER
--------------------------------- ----------------------------------------------- ------------
U.S. PRIME AMERICAN
ASSET EQUITY GOVERNMENT MONEY SMALL AMERICAN INTER-
1997 (CONTINUED) CONTRAFUND MANAGER INCOME SECURITIES FUND II CAPITALIZATION GROWTH NATIONAL TOTAL
From operations:
<S> <C> <C> <C> <C> <C> <C> <C> <C> <C>
Net investment income
(expense) (1,712) (3,838) (4,172) 594 10,724 823 (984) (774) 132,903
Net realized gains 347 6,205 5,490 649 - 765 1,378 1,036 75,471
Net change in unrealized
gains (losses) 28,972 53,699 74,849 9,356 - 6,846 30,102 (3,374) 647,312
------- ------- ------- ------ -- ------ ------- ------- -------
27,607 56,066 76,167 10,599 10,724 8,434 30,496 (3,112) 855,686
------- ------- ------- ------- ------- ------ ------- ------- -------
From policyowner
transactions:
Policy purchases 441,927 965,580 772,884 381,170 718,572 230,256 414,426 222,894 8,826,013
Policy withdrawals (2,144) (57,601) (44,752) (23,802) (278,735) (9,673) (13,529) (14,846) (1,206,573
------- -------- -------- -------- --------- ------- -------- -------- ----------
439,783 907,979 728,132 357,368 439,837 220,583 400,897 208,048 7,619,440
-------- -------- -------- -------- -------- -------- -------- -------- ---------
Increase in net assets 467,390 964,045 804,299 367,967 450,561 229,017 431,393 204,936 8,475,126
Net assets, beginning of year - - - - - - - - 2,110,58
-- -- -- -- -- -- -- -- ---------
Net assets, end of year 467,390 964,045 804,299 367,967 450,561 229,017 431,393 204,936 10,585,707
======== ======== ======== ======== ======== ======== ======== ======== ==========
Accumulation unit purchases 27,130 60,997 50,915 33,143 655,432 17,324 27,017 16,585
Accumulation unit withdrawals (48) (2,572) (2,379) (1,622) (244,926) (607) (453) (826)
---- ------- ------- ------- --------- ----- ----- -----
Net increase in units
outstanding 27,082 58,425 48,536 31,521 410,506 16,717 26,564 15,759
Units outstanding, beginning - - - - - - - -
of year -- -- -- -- -- -- -- -
Units outstanding, end of year27,082 58,425 48,536 31,521 410,506 16,717 26,564 15,759
======= ======= ======= ======= ======== ======= ======= ======
</TABLE>
The accompanying notes are an integral part of these financial statements.
<PAGE>
COMPANION LIFE SEPARATE ACCOUNT C
<TABLE>
<CAPTION>
STATEMENTS OF CHANGES IN NET ASSETS
FOR THE YEARS ENDED DECEMBER 31, 1997 AND 1996 (CONTINUED)
- ------------------------------------------------------------------------------------------------------------------------------------
SERIES I
---------------------------------------------------------------------------------------------------
FIDELITY T. ROWE PRICE SCUDDER
------------------------------- ----------------------------------------------------------
NEW LIMITED
ASSET INDEX AMERICA EQUITY TERM MONEY
1996 GROWTH MANAGER 500 INTERN GROWTH INCOME BOND MARKET BOND TOTAL
From operations:
<S> <C> <C> <C> <C> <C> <C> <C> <C> <C> <C>
Net investment income 2,082 4,322 291 1,366 2,011 6,688 1,721 3,478 7,345 29,304
Net realized gains (losses) 1,757 995 1,006 224 2,647 2,943 (5) - (5,185) 4,382
Net change in unrealized gains
(losses 22,517 29,382 9,167 16,382 34,229 42,450 (971) - (38) 153,118
------- ------- ------ ------- ------- ------- ----- -- ---- -------
26,356 34,699 10,464 17,972 38,887 52,081 745 3,478 2,122 186,804
------- ------- ------- ------- ------- ------- ---- ------ ------ -------
From policyowner transactions:
Policy purchases 257,088 202,957 66,722 166,755 321,426 217,616 11,608 181,500 265,960 1,691,632
Policy withdrawals (17,123) (9,025) (10,063) (179) (38,560) (15,916) (3) (148,621) (123,284) (362,774)
-------- ------- -------- ----- -------- -------- --- --------- --------- ---------
239,965 193,932 56,659 166,576 282,866 201,700 11,605 32,879 142,676 1,328,858
-------- -------- ------- -------- -------- -------- ------- ------- -------- ---------
Increase in net assets 266,321 228,631 67,123 184,548 321,753 253,781 12,350 36,357 144,798 1,515,662
Net assets, beginning of year 57,821 125,985 5,422 49,531 78,018 162,211 33,290 2,371 80,270 594,919
------- -------- ------ ------- ------- -------- ------- ------ ------- -------
Net assets, end of year 324,142 354,616 72,545 234,079 399,771 415,992 45,640 38,728 225,068 2,110,581
======== ======== ======= ======== ======== ======== ======= ======= ======== =========
Accumulation unit purchases 17,666 17,636 4,681 14,566 19,524 15,044 1,047 169,328 22,895
Accumulation unit withdrawals (1,213) (833) (708) (15) (2,164) (1,071) - (136,260) (10,706)
------- ----- ----- ---- ------- ------- -- --------- --------
Net increase in units outstanding 16,453 16,803 3,973 14,551 17,360 13,973 1,047 33,068 12,189
Units outstanding, beginning of year 4,158 11,268 395 4,573 5,231 11,887 3,022 2,260 6,902
------ ------- ---- ------ ------ ------- ------ ------ -----
Units outstanding, end of year 20,611 28,071 4,368 19,124 22,591 25,860 4,069 35,328 19,091
======= ======= ====== ======= ======= ======= ====== ======= ======
</TABLE>
The accompanying notes are an integral part of these financial statements.
<PAGE>
COMPANION LIFE SEPARATE ACCOUNT C
NOTES TO FINANCIAL STATEMENTS
FOR THE YEARS ENDED DECEMBER 31, 1997 AND 1996
- --------------------------------------------------------------------------------
1. NATURE OF OPERATIONS
Companion Life Separate Account C (the Separate Account) was established by
Companion Life Insurance Company (Companion) on February 18, 1994, under
the laws of the State of New York, and is registered as a unit investment
trust under the Investment Company Act of 1940, as amended. The assets of
the Separate Account are owned by Companion. The net assets of the Separate
Account are restricted from use in the ordinary business of Companion.
2. SUB-ACCOUNTS
The Separate Account is divided into subaccounts, each of which invests
exclusively in shares of a corresponding mutual fund portfolio. The
available portfolios are:
SERIES I
FIDELITY T. ROWE PRICE
Growth International
Asset Manager New America Growth
Index 500 Equity Income
Limited Term Bond
SCUDDER
Money Market
Bond
SERIES V
FIDELITY ALGER
Contrafund American Small Capitalization
Asset Manager American Growth
Equity Income
SCUDDER FEDERATED
International U.S. Government Securities
Prime Money Fund II
T. ROWE PRICE MFS
New America Growth Emerging Growth
Personal Strategy Research
Equity Income High Income
International World Government
Limited Term Bond
3. SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES
USE OF ESTIMATES - The preparation of financial statements in conformity
with generally accepted accounting principles requires management to make
estimates and assumptions that affect the reported amounts of assets and
liabilities and disclosures of contingent assets and liabilities at the
date of the financial statements and the reported amounts of revenues and
expenses during the reporting period. Actual results could differ from
those estimates.
SECURITY VALUATION AND RELATED INVESTMENT INCOME - The market value of
investments is based on year end closing bid prices. Investment
transactions are accounted for on the trade date (date the order to buy or
sell is executed) and dividend income and capital gains distributions are
recorded on the ex-dividend date.
FEDERAL INCOME TAXES - Operations of the Separate Account are part of the
operations of Companion and are not taxed separately; the Separate Account
is not taxed as a regulated investment company. Companion qualifies for the
federal income tax treatment under Subchapter L of the Internal Revenue
Code. Under existing federal income tax law, investment income and capital
gains earned by the Separate Account on contract owner reserves are not
subject to tax.
4. ACCOUNT CHARGES
Companion deducts a daily charge as compensation for the mortality and
expense risks assumed by Companion. The nominal annual rate is a percentage
of the net asset value of each subaccount. Companion guarantees that the
mortality and expense charges shall not increase. The percentages are:
Series I 1.25%
Series V 1.00%
Companion may incur premium taxes relating to the policies. Companion will
deduct a charge for any premium taxes related to a particular policy at the
time of purchase payments, upon surrender, upon death of any owner, or at
the annuity start date.
No charges are currently deducted from the Separate Account for federal or
state income taxes, since none are currently imposed. Should such taxes be
imposed in the future, Companion may make deductions from the Separate
Account to pay such taxes.
Companion deducts a daily administrative expense charge from the net assets
of the Separate Account. The nominal annual rate is a percentage of the net
asset value of each subaccount as follows:
Series I .15%
Series V .20%
There is also an annual policy fee of $30 that is deducted from the
accumulation value on the last valuation date of each policy year or at
complete surrender. The annual policy fee is waived if the accumulation
value is greater than $50,000 on the last valuation date of the applicable
policy year. Companion guarantees that the daily administrative expense
charge and the annual policy fee will not increase.
On the Series V products, the policyowner has the option to purchase the
enhanced death benefit. A charge equal to the annual rate of .35% of the
average death benefit amount will be assessed on each policy anniversary or
pro rata upon full surrender.
A withdrawal charge will be assessed on withdrawals in excess of a
percentage of the participant's accumulation value as of the last contract
anniversary preceding the request for the withdrawal. The allowable
withdrawal percentage is as follows:
Series I 10%
Series V 15%
The amount of the charge will depend upon the period of time elapsed since
the purchase payment (first-in, first-out arrangement) was made, as
follows:
CHARGE ON WITHDRAWAL
EXCEEDING
PURCHASE PAYMENT YEAR ALLOWABLE AMOUNT
1 7%
2 6%
3 5%
4 4%
5 3%
6 2%
7 1%
There is no charge for the first 12 transfers between subaccounts of the
Separate Account in each policy year. However, there is a $10 fee for the
13th and each subsequent request during a single policy year. Any
applicable transfer fee is deducted from the amount transferred. All
transfer requests made simultaneously are treated as a single request. No
transfer fee is imposed for any transfer which is not at the policyowner's
request. The transfer fee will not increase.
<PAGE>
5. NET ASSETS
<TABLE>
<CAPTION>
Total net assets (policyowners' cumulative investment accounts) consist
of the following at December 31, 1997:
SERIES I
------------------------------------------------------------------------------------------------
FIDELITY T. ROWE PRICE SCUDDER
--------------------------------- -------------------------------------------- ---------------------
NEW LIMITED
ASSET INDEX AMERICA EQUITY TERM MONEY
GROWTH MANAGER 500 INTERNATIONAL GROWTH INCOME BOND MARKET BOND
<S> <C> <C> <C> <C> <C> <C> <C> <C> <C>
Shares purchased 442,941 374,114 147,878 253,680 646,694 431,453 44,513 385,017 482,253
Shares sold (48,170) (32,088) (22,708) (55,135) (161,466) (67,692) (33,472) (354,087) 359,052)
Dividends and capital gain distr. 17,349 51,842 4,634 8,463 6,955 41,043 3,327 9,276 25,508
Net realized gains (losses) 5,393 2,539 4,677 4,707 18,862 16,280 (866) - (1,481)
Unrealized gains (losses) on invest.99,366 68,911 41,611 16,886 130,025 132,864 (19) - 9,477
------- ------- ------- ------- -------- -------- ---- -- -----
Net assets at December 31, 1997 516,879 465,318 176,092 228,601 641,070 553,948 13,483 40,206 156,705
======== ======== ======== ======== ======== ======== ======= ======= =======
SERIES V
---------------------------------------------------------------------------------------------------
MFS T. ROWE PRICE
------------------------------------------ -------------------------------------------------------
NEW LIMITED
EMERGING HIGH WORLD AMERICA PERSONAL EQUITY INTER- TERM
GROWTH RESEARCH INCOME GOVERNMENT GROWTH STRATEGY INCOME NATIONAL BOND
Shares purchased 340,236 479,858 308,293 162,987 354,167 753,260 879,735 325,828 362,520
Shares sold (13,829) (17,813) (104,883) (10,856) (13,812) (49,809) (43,837) (27,803) (26,015)
Dividends and capital gain distributions - - - 138 812 21,415 35,594 6,665 7,598
Net realized gains 1,893 2,226 3,940 184 1,446 3,691 4,920 620 103
Unrealized gains (losses) on investme16,572 21,286 16,421 842 23,480 18,134 43,654 (18,162) 2,098
------- ------- ------- ---- ------- ------- ------- -------- -----
Net assets at December 31, 1997 344,872 485,557 223,771 153,295 366,093 746,691 920,066 287,148 346,304
======== ======== ======== ======== ======== ======== ======== ======== =======
<PAGE>
5. continued
SERIES V
--------------------------------------------------------------------------------------------------
FIDELITY FEDERATED ALGER SCUDDER
--------------------------------- ------------------------------------------------- -------------
U.S. PRIME AMERICAN
ASSET EQUITY GOVERNMENT MONEY SMALL AMERICAN INTER-
CONTRAFUND MANAGER INCOME BOND FUND II CAPITALIZATION GROWTH NATIONAL BOND
Shares purchased 441,927 965,580 772,884 381,170 718,572 230,256 414,426 222,894 386,862
Shares sold (3,887) (61,441) (49,028) (25,291) (282,209) (10,684) (15,956) (15,731) (169,114)
Dividends and capital gain distributions 31 2 104 2,083 14,198 1,834 1,443 111 10,071
Net realized gains 347 6,205 5,490 649 - 765 1,378 1,036 (4,868)
Unrealized gains (losses) on investmen28,972 53,699 74,849 9,356 - 6,846 30,102 (3,374) 2,117
------- ------- ------- ------ -- ------ ------- ------- -----
Net assets at December 31, 1997 467,390 964,045 804,299 367,967 450,561 229,017 431,393 204,936 225,068
======== ======== ======== ======== ======== ======== ======== ======== =======
</TABLE>
<PAGE>
PART C OTHER INFORMATION
ITEM 24. FINANCIAL STATEMENTS AND EXHIBITS
(a) Financial Statements
All required financial statements are included in Part B of this
Registration Statement.
(b) Exhibits: The following exhibits are filed herewith:
Exhibit No. Description of Exhibit
(1) (a) Resolution of the Board of Directors establishing the Variable Account.*
(2) Not applicable.
(3) (a Principal Underwriter Agreement by and between United, on its own
behalf and on behalf of the Variable Account, and Mutual of Omaha
Investor Services. *
(b) Form of Broker/Dealer Supervision and Sales Agreement by and between
Mutual of Omaha Investor Services, Inc. and the Broker/Dealer. *
(4) (a) Form of Policy for the SERIES V variable annuity Policy. *
(b) Form of Riders to the Policy. *
(5) Form of Application to the Policy. *
(6) (a) Articles of Incorporation of United of Omaha Life Insurance Company. *
(b) Bylaws of United of Omaha Life Insurance Company. *
(7) Not applicable.
(8) (a) Participation Agreement with the Alger American Fund. *
(b) Participation Agreement with the Insurance Management Series. *
(c) Participation Agreement with the Fidelity VIP Fund and Fidelity
VIP Fund II. *
(d) Participation Agreement with the MFS Variable Insurance Trust. *
(e) Participation Agreement with the Pioneer Variable Contracts Trust. *
(f) Participation Agreement with the Scudder Variable Life Investment
Fund. *
(g) Participation Agreement with T. Rowe Price International Series, T.
Rowe Price Fixed Income Series, and T. Rowe Price Equity Series *
(h) Administrative Services Agreement with Vantage Computer Systems. *
(9) Opinion and Consent of Counsel.
(10) Consents of Independent Auditors.
(11) Not applicable.
(12) Not applicable.
(13) Schedules of Computation of Performance Data.
(14) Powers of Attorney. *
* Incorporated by Reference to the Registration Statement for Companion
Life Separate Account C filed on April 24, 1997 (File No. 33-98062).
<PAGE>
ITEM 25. DIRECTORS AND OFFICERS OF THE DEPOSITOR
PRINCIPAL POSITIONS
NAME AND AND OFFICES WITH
BUSINESS ADDRESS 5/ DEPOSITOR
John W. Weekly Chairman
Kimberley S. Harm President, Director
William G. Campbell Director
Samuel L. Foggie Director
M. Jane Huerter Director, Vice President & Secretary
Charles T. Locke III Director
John L. Maginn Director, Vice President & Assistant Treasurer
James U. O'Neill Director
Oscar S. Straus Director
John A. Sturgeon Director
Fred C. Boddy Vice President, Treasurer and Assistant Secretary
ITEM 26. PERSONS CONTROLLED BY OR UNDER COMMON CONTROL WITH THE DEPOSITOR OR
REGISTRANT
<TABLE>
<CAPTION>
Name of Corporation (where organized) Type of Corporation
<S> <C>
Mutual of Omaha Insurance Company (NE) Accident & Health Insurance
KFS Corporation (NE) Holding corporation
Kirkpatrick, Pettis, Smith, Polian Inc. (NE) Registered broker-dealer & investment advisor
KPM Investment Management, Inc. (NE) Investment advisor
Kirkpatrick Pettis Trust Company (NE) Trust company
Mutual of Omaha Health Plans, Inc. (NE) Holding corporation
Exclusive Healthcare, Inc. (NE) HMO
Mutual of Omaha of Colorado, Inc. (CO) (50%) HMO
Mutual of Omaha Health Plans of Lincoln, Inc.(NE) Staff Model HMO
Preferred HealthAlliance, Inc. (NE) (51%) Joint venture w/physician &
hospital organization
Mutual of Omaha Dental Plans of Nebraska, Inc. (NE) Limited pre-paid DHMO
Mutual of Omaha Health Plans of Indiana, Inc. (IN) HMO
Mutual of Omaha Health Plans of Ohio, Inc. (OH) HMO
Mutual of Omaha of South Dakota & Community Health
Plus HMO, Inc. (SD) HMO
Mutual of Omaha Tri-State Health Plans, Inc. (TN) HMO
Mutual of Omaha Holdings, Inc. (NE) Holding corporation
innowave incorporated (NE) Markets water distillation products
Mutual Asset Management Co. (NE) Asset management services
Mutual of Omaha Investor Services, Inc. (NE) Registered securities Broker-Dealer
Mutual of Omaha Marketing Corporation (NE) Markets health insurance
Omex Realty, Inc. (NE) Real estate investments
Mutual of Omaha U.K. Limited (U.K.) Insurance in United Kingdom (inactive)
The Omaha Indemnity Company (WI) Property & casualty insurance (no new business since 1986)
Omaha Property and Casualty Insurance Company (NE) Property & casualty insurance
Adjustment Services, Inc. (NE) Claims adjusting services
Tele-Trip Company, Inc. (DE) Markets travel/flight insurance in airports
United of Omaha Life Insurance Company (NE) Life, H&A insurance/annuities
Companion Life Insurance Company (NY) Life insurance/annuities
Mutual of Omaha Structured Settlement Company,
Inc. (CT) Structured settlements
Mutual of Omaha Structure Settlement Company of
New York, Inc. (NY) Structured settlements
5/ Business address is Mutual of Omaha Insurance Company, Mutual of Omaha Plaza,
Omaha, Nebraska 68175.
<PAGE>
United World Life Insurance Company (NE) Accident & health and life insurance
United Properties Co. (CA) (50%) Real estate general partnership
*Subsidiaries of subsidiaries are indicated by indentations.
</TABLE>
ITEM 27. NUMBER OF POLICYOWNERS
As of December 31, 1997, there were 225 Owners of the Policies.
ITEM 28. INDEMNIFICATION
Insofar as indemnification for liabilities arising under the
Securities Act of 1933 may be permitted to directors, officers and controlling
persons of Companion pursuant to the foregoing provisions, or otherwise,
Companion has been advised that in the opinion of the Securities and Exchange
Commission such indemnification is against public policy as expressed in the Act
and is, therefore, unenforceable. In the event that a claim for indemnification
against such liabilities (other than the payment by Companion of expenses
incurred or paid by a director, officer or controlling person in connection with
the securities being registered), Companion will, unless in the opinion of its
counsel the matter has been settled by controlling precedent, submit to a court
of appropriate jurisdiction the question whether such indemnification by it is
against public policy as expressed in the Act and will be governed by the final
adjudication of such issue. With respect to indemnification, Article V, Section
8 of Companion's Bylaws provides as follows:
The Corporation shall indemnify any person, made, or threatened
to be made, a party to any action or proceeding other than one by or in the
right of the Corporation to procure a judgment in its favor, whether civil or
criminal, which any officer of the Corporation served in any capacity at the
request of the Corporation, by reason of the fact that he, his testator or
intestate, was an officer of the Corporation, against judgments, fines, amounts
paid in settlement and reasonable expenses, including attorneys' fees actually
and necessarily incurred as a result of such action or proceeding, or any appeal
therein, if such officer acted, in good faith, for a purpose which he is
reasonably believed to be in the best interests of the Corporation and, in
criminal actions or proceedings, in addition, had no reasonable cause to believe
that his conduct was unlawful.. The termination of any such civil or criminal
action proceeding by judgment, settlement, conviction or upon a plea of nolo
contendere, or its equivalent, shall not in itself create a presumption that any
such officer did not act, in good faith, for a purpose which he is reasonably
believed to be in the best interests of the Corporation or that he had
reasonable cause to believe that his conduct was unlawful.
ITEM 29. PRINCIPAL UNDERWRITER
(a) In addition to Registrant, Mutual of Omaha Investor Services,
Inc. is the Principal Underwriter for policies offered by Companion Life
Insurance Company through Companion Life Separate Account C.
(b) The directors and officers of Mutual of Omaha Investor
Services, Inc. (principal address: Mutual of Omaha Plaza, Omaha, Nebraska 68175)
are as follows:
NAME TITLE
John W. Weekly Chairman
Richard A. Witt President, Director
William J. Bluvas Vice President, Finance and Treasurer
M. Jane Huerter Secretary and Director
Lawrence F. Harr Director
John L. Maginn Director
(c) Mutual of Omaha Investor Services, Inc. ("MOIS") is the
principal underwriter of the Policies. Commissions payable to a broker-dealer
will be up to 7% of Purchase Payments. For the fiscal year ended December 31,
1997, Companion paid $329,337 in total compensation to MOIS; of this amount MOIS
retained $ 36,342 as concessions for its services as Principal Underwriter and
for distribution concessions, with the remaining amount paid to other
broker-dealers.
<PAGE>
ITEM 30. LOCATION OF ACCOUNTS AND RECORDS
The records required to be maintained by Section 31(a) of the
Investment Company Act of 1940 and Rules 31a-1 to 31a-3 promulgated thereunder,
are maintained by Companion Life Insurance Company at Mutual of Omaha Plaza,
Omaha, Nebraska 68175.
ITEM 31. MANAGEMENT SERVICES.
All management policies are discussed in Part A or Part B of this
registration statement.
ITEM 32. UNDERTAKINGS
(a) Registrant undertakes that it will file a post-effective
amendment to this registration statement as frequently as necessary to ensure
that the audited financial statements in the registration statement are never
more than 16 months old for so long as Purchase Payments under the Policy may be
accepted.
(b) Registrant undertakes that it will include either (i) a postcard
or similar written communication affixed to or included in the Prospectus that
the applicant can remove to send for a Statement of Additional Information or
(ii) a space in the Policy application that an applicant can check to request a
Statement of Additional Information.
(c) Registrant undertakes to deliver any Statement of Additional
Information and any financial statements required to be made available under
this Form promptly upon written or oral request to Companion at the address or
phone number listed in the Prospectus.
(d) Companion Life Insurance Company hereby represents that the fees
and charges deducted under the Policy, in the aggregate, are reasonable in
relation to the services rendered, the expenses expected to be incurred, and the
risks assumed by Companion Life Insurance Company.
<PAGE>
SIGNATURES
As required by the Securities Act of 1933 and the Investment Company Act
of 1940, the Registrant certifies that it meets all of the requirements for the
effectiveness of this Registration Statement pursuant to Rule 485(b) under the
Securities Act of 1993 and has caused this Post-effective Amendment No. 2 to the
Registration Statement to be signed on its behalf, in the City of Omaha and
State of Nebraska, on this 16th day of April, 1998.
COMPANION SEPARATE ACCOUNT C
COMPANION LIFE INSURANCE COMPANY
Depositor
/s/Kenneth W. Reitz
---------------------------------------
By: Kenneth W. Reitz
Assistant Secretary
As required by the Securities Act of 1933, this Post-effective amendment
No. 2 Registration Statement has been signed by the following persons on April
16, 1998 in the capacities and on the duties indicated.
Signatures Title
/s/ John W. Weekly by Kenneth W. Reitz*
- -----------------------
John W. Weekly Chairman
/s/ Fred C. Boddy by Kenneth W. Reitz*
- ------------------------
Fred C. Boddy Vice President and Treasurer
(Principal Financial Officer)
/s/ John C. Gribbon by Kenneth W. Reitz*
- ------------------------
John C. Gribbon Assistant Vice President
(Principal Accounting Officer)
/s/ Kenneth W. Reitz
by __________________________________, for and on behalf of:
Kenneth W. Reitz
John W. Weekly* Chairman
William G. Campbell* Director
Samuel L. Foggie* Director
Kimberley S. Harm Director
M. Jane Huerter* Director
Charles T. Locke* Director
John L. Maginn* Director
James J. O'Neill Director
Oscar S. Straus* Director
John A. Sturgeon* Director
* These individuals have granted Powers of Attorney executed on and between July
13 and August 1, 1995, whereby Kenneth W. Reitz is authorized to execute this
Registration Statement on their behalf.
- --------------------------------------------------------------------------------
<PAGE>
REGISTRATION NO. 33-98062
811-8814
SECURITIES AND EXCHANGE COMMISSION
WASHINGTON, D.C. 20549
------------
COMPANION LIFE SEPARATE ACCOUNT C
OF
COMPANION LIFE INSURANCE COMPANY
- --------------------------------------------------------------------------------
EXHIBITS
- --------------------------------------------------------------------------------
TO
THE REGISTRATION STATEMENT ON FORM N-4
under
THE SECURITIES ACT OF 1933, Post-Effective Amendment No. 2
and
THE INVESTMENT COMPANY ACT OF 1940, Amendment No. 6
April 16, 1998
<PAGE>
EXHIBIT INDEX
Exhibit No. Description of Exhibit
(9) Opinion and Consent of Counsel.
(10) Consents of Independent Auditors
(13) Schedules of Computation of Performance Data.
Exhibit (9): Opinion and Consent of Counsel
COMPANION LIFE INSURANCE COMPANY
Mutual of Omaha Plaza, 3-Law
Omaha, Nebraska 68175-1008
April 16, 1998
Companion Life Insurance Company
Mutual of Omaha Plaza
Omaha, NE 68175-1008
Re: Registration Statement
To Whom It May Concern:
With reference to the Registration Statement on Form N-4 as amended, filed by
Companion Life Insurance Company and Companion Life Separate Account C with the
Securities and Exchange Commission covering individual variable annuity
contracts, I have examined such documents and such laws I considered necessary
and appropriate and on the basis of such examination, it is my opinion that:
1. Companion Life Insurance Company is duly organized and validly existing
under the laws of the State of New York and has been duly authorized to
issue individual variable annuity contracts by the Insurance Department
of the State of New York.
2. Companion Life Separate Account C is a duly authorized and existing
separate account to establish pursuant to the provisions of New York
law.
3. The individual variable annuity contracts, when issued as contemplated
by said Form N-4 Registration Statement, will constitute legal, validly
issued and binding obligations of Companion Life Insurance Company.
I hereby consent to the filing of this opinion as an Exhibit to said Form N-4
Registration Statement and to the use of my name under the caption "Legal
Matters" in the Registration Statement.
Sincerely,
/s/ Kenneth W. Reitz
Kenneth W. Reitz
Assistant Secretary
Companion Life Insurance Company
Exhibit (10): Consents of Independent Auditors
Coopers & Lybrand L.L.P.
New York, New York
CONSENT OF INDEPENDENT ACCOUNTANTS
Board of Directors
United of Omaha Life Insurance Company
We consent to the inclusion in Part B of the Statement of Additional Information
filed as part of the Post-Effective Amendment No. 2 to the Registration
Statement of the Companion Life Separate Account C on Form N-4 (File No.
33-98062) of our report, which includes an explanatory paragraph regarding the
change in opinion as required by Financial Accounting Standards Board
Interpretation 40, Applicability of Generally Accepted Accounting Principles to
Mutual Life Insurance and Other Enterprises, as amended (FIN 40), dated February
23, 1996 (except for the change in our opinion as required by FIN 40, for which
the date is April 9, 1997, on our audit of the financial statements of Companion
Life Insurance Company (Companion) for the year ended December 31, 1995.
We also consent to the reference to our Firm as independent auditors for the
Companion.
/s/ Coopers & Lybrand L.L.P.
New York, New York
April 15, 1998
<PAGE>
INDEPENDENT AUDITOR'S CONSENT
We consent to the use in this Post-Effective Amendment No. 2 to Registration
Statement No. 33-98062 of Companion Life Separate Account C of our report dated
March 23, 1998 on the financial statements of Companion Life Separate Account C
and our report dated February 17, 1998 on the financial statements of Companion
Life Insurance Company appearing in the Statement of Additional Information,
which is a part of such Registration Statement, and to the related reference to
us under the heading ""Financial Statements."
DELOITTE & TOUCHE LLP
Omaha, Nebraska
April 15, 1998
Exhibit (13): Schedules of Computation of Performance Data
Alger American Growth
12/1997
Assume ($10000 @ $10.00 on 1/ 9/1989)
DATE DIV PR/SH REINVEST NAV REINVEST SHARES SHARE BASIS
(incl cap gain)
100.000000
4/90 0.0600000000 12.18 0.493 100.492611
4/91 0.0470000000 15.77 0.300 100.792113
4/92 0.0490000000 16.96 0.291 101.083317
4/93 0.0250000000 19.63 0.129 101.212053
5/94 1.7590000000 21.45 8.300 109.511913
5/95 0.3180000000 25.96 1.341 110.853392
5/96 0.9520000000 33.02 3.196 114.049407
5/97 0.3570000000 37.31 1.091 115.140686
M and E Charge = 0.0010833
Return for YTD
FUND GROSS ADMIN/
MONTH YEAR NAV SHARES VALUE MTHLY M&E ERV
12 1996 34.33 114.0494069 3915.31614 1000.00000
1 1997 36.86 114.0494069 4203.86114 1.08333 1072.61314
2 1997 35.51 114.0494069 4049.89444 1.16200 1032.16662
3 1997 34.09 114.0494069 3887.94428 1.11818 989.77340
4 1997 35.60 114.0494069 4060.15889 1.07225 1032.54267
5 1997 37.43 115.1406864 4309.71589 1.11859 1094.88915
6 1997 39.53 115.1406864 4551.51133 1.18613 1155.13148
7 1997 43.66 115.1406864 5027.04237 1.25139 1274.56547
8 1997 41.90 115.1406864 4824.39476 1.38078 1221.80505
9 1997 44.28 115.1406864 5098.42960 1.32362 1289.88229
10 1997 42.19 115.1406864 4857.78556 1.39737 1227.60294
11 1997 42.92 115.1406864 4941.83826 1.32990 1247.51385
12 1997 42.76 115.1406864 4923.41575 1.35147 1241.51181
SURRENDER CHARGE = 7.00%
FREE WITHDRAWAL AVAILABLE = 15.00% OF PRINCIPAL + 15.00% OF INTEREST
GROSS RETURN = 25.75%
WITHOUT WITH
SURRENDER SURRENDER
CHARGE CHARGE
ERV 1241.51 1167.64
TOTAL RETURN 24.15% 16.76%
Return for 1 Year
FUND GROSS ADMIN/
MONTH YEAR NAV SHARES VALUE MTHLY M&E ERV
12 1996 34.33 114.0494069 3915.31614 1000.00000
1 1997 36.86 114.0494069 4203.86114 1.08333 1072.61314
2 1997 35.51 114.0494069 4049.89444 1.16200 1032.16662
3 1997 34.09 114.0494069 3887.94428 1.11818 989.77340
4 1997 35.60 114.0494069 4060.15889 1.07225 1032.54267
5 1997 37.43 115.1406864 4309.71589 1.11859 1094.88915
6 1997 39.53 115.1406864 4551.51133 1.18613 1155.13148
7 1997 43.66 115.1406864 5027.04237 1.25139 1274.56547
8 1997 41.90 115.1406864 4824.39476 1.38078 1221.80505
9 1997 44.28 115.1406864 5098.42960 1.32362 1289.88229
10 1997 42.19 115.1406864 4857.78556 1.39737 1227.60294
11 1997 42.92 115.1406864 4941.83826 1.32990 1247.51385
12 1997 42.76 115.1406864 4923.41575 1.35147 1241.51181
SURRENDER CHARGE = 7.00%
FREE WITHDRAWAL AVAILABLE = 15.00% OF PRINCIPAL + 15.00% OF INTEREST
GROSS RETURN = 25.75%
WITHOUT WITH
SURRENDER SURRENDER
CHARGE CHARGE
ERV 1241.51 1167.64
TOTAL RETURN 24.15% 16.76%
Return for 3 Years
FUND GROSS ADMIN/
MONTH YEAR NAV SHARES VALUE MTHLY M&E ERV
12 1994 23.13 109.5119128 2533.01054 1000.00000
1 1995 23.07 109.5119128 2526.43983 1.08333 996.32263
2 1995 24.14 109.5119128 2643.61757 1.07935 1041.45331
3 1995 24.71 109.5119128 2706.03936 1.12824 1064.91613
4 1995 26.05 109.5119128 2852.78533 1.15366 1121.51187
5 1995 26.27 110.8533915 2912.11860 1.21497 1143.62251
6 1995 28.60 110.8533915 3170.40700 1.23892 1243.81642
7 1995 30.91 110.8533915 3426.47833 1.34747 1342.93105
8 1995 31.52 110.8533915 3494.09890 1.45484 1367.97856
9 1995 32.73 110.8533915 3628.23150 1.48198 1419.01099
10 1995 31.63 110.8533915 3506.29277 1.53726 1369.78317
11 1995 31.59 110.8533915 3501.85864 1.48393 1366.56698
12 1995 31.16 110.8533915 3454.19168 1.48045 1346.48496
1 1996 32.17 110.8533915 3566.15361 1.45869 1388.67035
2 1996 33.26 110.8533915 3686.98380 1.50439 1434.21758
3 1996 32.70 110.8533915 3624.90590 1.55374 1408.51586
4 1996 33.53 110.8533915 3716.91422 1.52589 1442.74129
5 1996 33.06 114.0494069 3770.47339 1.56297 1461.96762
6 1996 32.25 114.0494069 3678.09337 1.58380 1424.56429
7 1996 29.89 114.0494069 3408.93677 1.54328 1318.77383
8 1996 31.14 114.0494069 3551.49853 1.42867 1372.49628
9 1996 33.15 114.0494069 3780.73784 1.48687 1459.60021
10 1996 33.47 114.0494069 3817.23365 1.58123 1472.10864
11 1996 35.37 114.0494069 4033.92752 1.59478 1554.08142
12 1996 34.33 114.0494069 3915.31614 1.68359 1506.70247
1 1997 36.86 114.0494069 4203.86114 1.63226 1616.10887
2 1997 35.51 114.0494069 4049.89444 1.75078 1555.16799
3 1997 34.09 114.0494069 3887.94428 1.68477 1491.29403
4 1997 35.60 114.0494069 4060.15889 1.61557 1555.73460
5 1997 37.43 115.1406864 4309.71589 1.68538 1649.67220
6 1997 39.53 115.1406864 4551.51133 1.78714 1740.43946
7 1997 43.66 115.1406864 5027.04237 1.88548 1920.39095
8 1997 41.90 115.1406864 4824.39476 2.08042 1840.89669
9 1997 44.28 115.1406864 5098.42960 1.99430 1943.46883
10 1997 42.19 115.1406864 4857.78556 2.10542 1849.63238
11 1997 42.92 115.1406864 4941.83826 2.00377 1879.63220
12 1997 42.76 115.1406864 4923.41575 2.03627 1870.58892
SURRENDER CHARGE = 5.00%
FREE WITHDRAWAL AVAILABLE = 15.00% OF PRINCIPAL + 15.00% OF INTEREST
GROSS RETURN = 94.37%
GROSS ANNUAL RETURN = 24.80%
WITHOUT WITH
SURRENDER SURRENDER
CHARGE CHARGE
ERV 1870.59 1791.09
TOTAL RETURN 87.06% 79.11%
AVERAGE ANNUAL RETURN 23.21% 21.44%
Return for 5 Years
FUND GROSS ADMIN/
MONTH YEAR NAV SHARES VALUE MTHLY M&E ERV
12 1992 20.17 101.0833169 2038.85050 1000.00000
1 1993 20.90 101.0833169 2112.64132 1.08333 1035.10903
2 1993 19.96 101.0833169 2017.62300 1.12137 987.43252
3 1993 20.59 101.0833169 2081.30549 1.06972 1017.52926
4 1993 19.70 101.2120526 1993.87744 1.10232 973.68424
5 1993 20.98 101.2120526 2123.42886 1.05482 1035.89418
6 1993 21.20 101.2120526 2145.69552 1.12222 1045.63453
7 1993 21.32 101.2120526 2157.84096 1.13277 1050.42045
8 1993 22.50 101.2120526 2277.27118 1.13796 1107.42021
9 1993 23.30 101.2120526 2358.24083 1.19971 1145.59544
10 1993 23.68 101.2120526 2396.70141 1.24106 1163.03791
11 1993 23.29 101.2120526 2357.22871 1.25996 1142.62319
12 1993 24.67 101.2120526 2496.90134 1.23784 1209.08909
1 1994 25.75 101.2120526 2606.21035 1.30985 1260.71058
2 1994 25.50 101.2120526 2580.90734 1.36577 1247.10490
3 1994 23.64 101.2120526 2392.65292 1.35103 1154.78857
4 1994 23.94 101.2120526 2423.01654 1.25102 1168.19223
5 1994 21.72 109.5119128 2378.59875 1.26554 1145.51184
6 1994 20.68 109.5119128 2264.70636 1.24097 1089.42132
7 1994 21.42 109.5119128 2345.74517 1.18021 1127.22427
8 1994 23.15 109.5119128 2535.20078 1.22116 1217.04410
9 1994 22.44 109.5119128 2457.44732 1.31846 1178.39945
10 1994 23.48 109.5119128 2571.33971 1.27660 1231.73673
11 1994 22.58 109.5119128 2472.77899 1.33438 1183.18927
12 1994 23.13 109.5119128 2533.01054 1.28179 1210.72741
1 1995 23.07 109.5119128 2526.43983 1.31162 1206.27512
2 1995 24.14 109.5119128 2643.61757 1.30680 1260.91607
3 1995 24.71 109.5119128 2706.03936 1.36599 1289.32316
4 1995 26.05 109.5119128 2852.78533 1.39677 1357.84517
5 1995 26.27 110.8533915 2912.11860 1.47100 1384.61513
6 1995 28.60 110.8533915 3170.40700 1.50000 1505.92264
7 1995 30.91 110.8533915 3426.47833 1.63142 1625.92343
8 1995 31.52 110.8533915 3494.09890 1.76142 1656.24915
9 1995 32.73 110.8533915 3628.23150 1.79427 1718.03551
10 1995 31.63 110.8533915 3506.29277 1.86121 1658.43403
11 1995 31.59 110.8533915 3501.85864 1.79664 1654.54010
12 1995 31.16 110.8533915 3454.19168 1.79242 1630.22625
1 1996 32.17 110.8533915 3566.15361 1.76608 1681.30126
2 1996 33.26 110.8533915 3686.98380 1.82141 1736.44654
3 1996 32.70 110.8533915 3624.90590 1.88115 1705.32877
4 1996 33.53 110.8533915 3716.91422 1.84744 1746.76643
5 1996 33.06 114.0494069 3770.47339 1.89233 1770.04428
6 1996 32.25 114.0494069 3678.09337 1.91755 1724.75904
7 1996 29.89 114.0494069 3408.93677 1.86849 1596.67562
8 1996 31.14 114.0494069 3551.49853 1.72973 1661.71888
9 1996 33.15 114.0494069 3780.73784 1.80020 1767.17799
10 1996 33.47 114.0494069 3817.23365 1.91444 1782.32228
11 1996 35.37 114.0494069 4033.92752 1.93085 1881.56897
12 1996 34.33 114.0494069 3915.31614 2.03837 1824.20599
1 1997 36.86 114.0494069 4203.86114 1.97622 1956.66732
2 1997 35.51 114.0494069 4049.89444 2.11972 1882.88452
3 1997 34.09 114.0494069 3887.94428 2.03979 1805.55056
4 1997 35.60 114.0494069 4060.15889 1.95601 1883.57053
5 1997 37.43 115.1406864 4309.71589 2.04053 1997.30335
6 1997 39.53 115.1406864 4551.51133 2.16375 2107.19777
7 1997 43.66 115.1406864 5027.04237 2.28280 2325.06996
8 1997 41.90 115.1406864 4824.39476 2.51883 2228.82409
9 1997 44.28 115.1406864 5098.42960 2.41456 2353.01099
10 1997 42.19 115.1406864 4857.78556 2.54910 2239.40063
11 1997 42.92 115.1406864 4941.83826 2.42602 2275.72224
12 1997 42.76 115.1406864 4923.41575 2.46537 2264.77329
SURRENDER CHARGE = 3.00%
FREE WITHDRAWAL AVAILABLE = 15.00% OF PRINCIPAL + 15.00% OF INTEREST
GROSS RETURN = 141.48%
GROSS ANNUAL RETURN = 19.28%
WITHOUT WITH
SURRENDER SURRENDER
CHARGE CHARGE
ERV 2264.77 2207.02
TOTAL RETURN 126.48% 120.70%
AVERAGE ANNUAL RETURN 17.76% 17.16%
Return for Inception
FUND GROSS ADMIN/
MONTH YEAR NAV SHARES VALUE MTHLY M&E ERV
12 1988 10.00 100.0000000 1000.00000 1000.00000
1 1989 10.31 100.0000000 1031.00000 1.08333 1029.91667
2 1989 10.07 100.0000000 1007.00000 1.11574 1004.82614
3 1989 10.25 100.0000000 1025.00000 1.08856 1021.69872
4 1989 10.92 100.0000000 1092.00000 1.10684 1087.37609
5 1989 11.40 100.0000000 1140.00000 1.17799 1133.99485
6 1989 11.15 100.0000000 1115.00000 1.22849 1107.89805
7 1989 11.98 100.0000000 1198.00000 1.20022 1189.16916
8 1989 12.47 100.0000000 1247.00000 1.28827 1236.51970
9 1989 12.59 100.0000000 1259.00000 1.33956 1247.07928
10 1989 12.12 100.0000000 1212.00000 1.35100 1199.17330
11 1989 12.41 100.0000000 1241.00000 1.29910 1226.56728
12 1989 12.41 100.0000000 1241.00000 1.32878 1225.23850
1 1990 11.27 100.0000000 1127.00000 1.32734 1111.35903
2 1990 11.24 100.0000000 1124.00000 1.20397 1107.19670
3 1990 11.74 100.0000000 1174.00000 1.19946 1155.24976
4 1990 11.75 100.4926108 1180.78818 1.25152 1160.67800
5 1990 13.27 100.4926108 1333.53695 1.25740 1309.56788
6 1990 13.63 100.4926108 1369.71429 1.41870 1343.67626
7 1990 13.12 100.4926108 1318.46305 1.45565 1291.94366
8 1990 11.93 100.4926108 1198.87685 1.39961 1173.36319
9 1990 11.42 100.4926108 1147.62562 1.27114 1121.93151
10 1990 11.74 100.4926108 1179.78325 1.21543 1152.15374
11 1990 12.43 100.4926108 1249.12315 1.24817 1218.62160
12 1990 12.86 100.4926108 1292.33498 1.32017 1259.45808
1 1991 13.73 100.4926108 1379.76355 1.36441 1343.29807
2 1991 14.76 100.4926108 1483.27094 1.45524 1442.61464
3 1991 15.33 100.4926108 1540.55172 1.56283 1496.76254
4 1991 14.98 100.7921132 1509.86586 1.62149 1465.32740
5 1991 15.50 100.7921132 1562.27776 1.58744 1514.60580
6 1991 14.67 100.7921132 1478.62030 1.64082 1431.86028
7 1991 15.81 100.7921132 1593.52331 1.55118 1541.57840
8 1991 16.43 100.7921132 1656.01442 1.67004 1600.36242
9 1991 16.59 100.7921132 1672.14116 1.73373 1614.21347
10 1991 16.30 100.7921132 1642.91145 1.74873 1584.24763
11 1991 16.00 100.7921132 1612.67381 1.71627 1553.37343
12 1991 18.00 100.7921132 1814.25804 1.68282 1745.86229
1 1992 18.60 100.7921132 1874.73331 1.89135 1802.16635
2 1992 18.73 100.7921132 1887.83628 1.95235 1812.80978
3 1992 17.57 100.7921132 1770.91743 1.96388 1698.57365
4 1992 17.10 101.0833169 1728.52472 1.84012 1656.07260
5 1992 17.04 101.0833169 1722.45972 1.79408 1648.46775
6 1992 16.54 101.0833169 1671.91806 1.78584 1598.31137
7 1992 17.36 101.0833169 1754.80638 1.73150 1675.81901
8 1992 17.03 101.0833169 1721.44889 1.81547 1642.14753
9 1992 17.66 101.0833169 1785.13138 1.77899 1701.11739
10 1992 18.31 101.0833169 1850.83553 1.84288 1761.88642
11 1992 19.38 101.0833169 1958.99468 1.90871 1862.93885
12 1992 20.17 101.0833169 2038.85050 2.01818 1936.86090
1 1993 20.90 101.0833169 2112.64132 2.09827 2004.86221
2 1993 19.96 101.0833169 2017.62300 2.17193 1912.51944
3 1993 20.59 101.0833169 2081.30549 2.07190 1970.81263
4 1993 19.70 101.2120526 1993.87744 2.13505 1885.89093
5 1993 20.98 101.2120526 2123.42886 2.04305 2006.38293
6 1993 21.20 101.2120526 2145.69552 2.17358 2025.24863
7 1993 21.32 101.2120526 2157.84096 2.19402 2034.51829
8 1993 22.50 101.2120526 2277.27118 2.20406 2144.91889
9 1993 23.30 101.2120526 2358.24083 2.32366 2218.85902
10 1993 23.68 101.2120526 2396.70141 2.40376 2252.64265
11 1993 23.29 101.2120526 2357.22871 2.44036 2213.10218
12 1993 24.67 101.2120526 2496.90134 2.39753 2341.83737
1 1994 25.75 101.2120526 2606.21035 2.53699 2441.82102
2 1994 25.50 101.2120526 2580.90734 2.64531 2415.46872
3 1994 23.64 101.2120526 2392.65292 2.61676 2236.66483
4 1994 23.94 101.2120526 2423.01654 2.42305 2262.62585
5 1994 21.72 109.5119128 2378.59875 2.45118 2218.69710
6 1994 20.68 109.5119128 2264.70636 2.40359 2110.05755
7 1994 21.42 109.5119128 2345.74517 2.28590 2183.27662
8 1994 23.15 109.5119128 2535.20078 2.36522 2357.24513
9 1994 22.44 109.5119128 2457.44732 2.55368 2282.39581
10 1994 23.48 109.5119128 2571.33971 2.47260 2385.70270
11 1994 22.58 109.5119128 2472.77899 2.58451 2291.67303
12 1994 23.13 109.5119128 2533.01054 2.48265 2345.01058
1 1995 23.07 109.5119128 2526.43983 2.54043 2336.38712
2 1995 24.14 109.5119128 2643.61757 2.53109 2442.21902
3 1995 24.71 109.5119128 2706.03936 2.64574 2497.23960
4 1995 26.05 109.5119128 2852.78533 2.70534 2629.95721
5 1995 26.27 110.8533915 2912.11860 2.84912 2681.80689
6 1995 28.60 110.8533915 3170.40700 2.90529 2916.76266
7 1995 30.91 110.8533915 3426.47833 3.15983 3149.18752
8 1995 31.52 110.8533915 3494.09890 3.41162 3207.92421
9 1995 32.73 110.8533915 3628.23150 3.47525 3327.59580
10 1995 31.63 110.8533915 3506.29277 3.60490 3212.15603
11 1995 31.59 110.8533915 3501.85864 3.47984 3204.61403
12 1995 31.16 110.8533915 3454.19168 3.47167 3157.52147
1 1996 32.17 110.8533915 3566.15361 3.42065 3256.44667
2 1996 33.26 110.8533915 3686.98380 3.52782 3363.25541
3 1996 32.70 110.8533915 3624.90590 3.64353 3302.98461
4 1996 33.53 110.8533915 3716.91422 3.57823 3383.24360
5 1996 33.06 114.0494069 3770.47339 3.66518 3428.32954
6 1996 32.25 114.0494069 3678.09337 3.71402 3340.61833
7 1996 29.89 114.0494069 3408.93677 3.61900 3092.53858
8 1996 31.14 114.0494069 3551.49853 3.35025 3218.51831
9 1996 33.15 114.0494069 3780.73784 3.48673 3422.77795
10 1996 33.47 114.0494069 3817.23365 3.70801 3452.11033
11 1996 35.37 114.0494069 4033.92752 3.73979 3644.33737
12 1996 34.33 114.0494069 3915.31614 3.94803 3533.23325
1 1997 36.86 114.0494069 4203.86114 3.82767 3789.79241
2 1997 35.51 114.0494069 4049.89444 4.10561 3646.88540
3 1997 34.09 114.0494069 3887.94428 3.95079 3497.10027
4 1997 35.60 114.0494069 4060.15889 3.78853 3648.21411
5 1997 37.43 115.1406864 4309.71589 3.95223 3868.49876
6 1997 39.53 115.1406864 4551.51133 4.19087 4081.34896
7 1997 43.66 115.1406864 5027.04237 4.42146 4503.33710
8 1997 41.90 115.1406864 4824.39476 4.87862 4316.92222
9 1997 44.28 115.1406864 5098.42960 4.67667 4557.45497
10 1997 42.19 115.1406864 4857.78556 4.93724 4337.40750
11 1997 42.92 115.1406864 4941.83826 4.69886 4407.75741
12 1997 42.76 115.1406864 4923.41575 4.77507 4386.55081
SURRENDER CHARGE = 0.00%
FREE WITHDRAWAL AVAILABLE = 15.00% OF PRINCIPAL + 15.00% OF INTEREST
GROSS RETURN = 392.34%
GROSS ANNUAL RETURN = 19.43%
WITHOUT WITH
SURRENDER SURRENDER
CHARGE CHARGE
ERV 4386.55 4386.55
TOTAL RETURN 338.66% 338.66%
AVERAGE ANNUAL RETURN 17.91% 17.91%
Return for Product Inception
FUND GROSS ADMIN/
MONTH YEAR NAV SHARES VALUE MTHLY M&E ERV
12 1996 34.33 114.0494069 3915.31614 1000.00000
1 1997 36.86 114.0494069 4203.86114 1.08333 1072.61314
2 1997 35.51 114.0494069 4049.89444 1.16200 1032.16662
3 1997 34.09 114.0494069 3887.94428 1.11818 989.77340
4 1997 35.60 114.0494069 4060.15889 1.07225 1032.54267
5 1997 37.43 115.1406864 4309.71589 1.11859 1094.88915
6 1997 39.53 115.1406864 4551.51133 1.18613 1155.13148
7 1997 43.66 115.1406864 5027.04237 1.25139 1274.56547
8 1997 41.90 115.1406864 4824.39476 1.38078 1221.80505
9 1997 44.28 115.1406864 5098.42960 1.32362 1289.88229
10 1997 42.19 115.1406864 4857.78556 1.39737 1227.60294
11 1997 42.92 115.1406864 4941.83826 1.32990 1247.51385
12 1997 42.76 115.1406864 4923.41575 1.35147 1241.51181
SURRENDER CHARGE = 7.00%
FREE WITHDRAWAL AVAILABLE = 15.00% OF PRINCIPAL + 15.00% OF INTEREST
GROSS RETURN = 25.75%
GROSS ANNUAL RETURN = 24.40%
WITHOUT WITH
SURRENDER SURRENDER
CHARGE CHARGE
ERV 1241.51 1167.64
TOTAL RETURN 24.15% 16.76%
AVERAGE ANNUAL RETURN 22.90% 15.92%
Alger American Small Capitalization
12/1997
Assume ($10000 @ $10.00 on 9/21/1988)
DATE DIV PR/SH REINVEST NAV REINVEST SHARES SHARE BASIS
(incl cap gain)
100.000000
12/88 0.0650000000 9.60 0.677 100.677083
4/90 0.1400000000 16.33 0.863 101.540206
4/91 0.0200000000 22.07 0.092 101.632222
4/92 0.3810000000 21.55 1.797 103.429061
5/94 2.0910000000 25.74 8.402 111.831166
5/96 0.1640000000 45.19 0.406 112.237015
5/97 1.5570000000 37.42 4.670 116.907058
M and E Charge = 0.0010833
Return for YTD
FUND GROSS ADMIN/
MONTH YEAR NAV SHARES VALUE MTHLY M&E ERV
12 1996 40.91 112.2370145 4591.61626 1000.00000
1 1997 41.55 112.2370145 4663.44795 1.08333 1014.56076
2 1997 38.60 112.2370145 4332.34876 1.09911 941.42906
3 1997 36.06 112.2370145 4047.26674 1.01988 878.46022
4 1997 35.68 112.2370145 4004.61668 0.95167 868.25135
5 1997 37.56 116.9070581 4391.02910 0.94061 951.08983
6 1997 39.53 116.9070581 4621.33601 1.03035 999.94358
7 1997 43.50 116.9070581 5085.45703 1.08327 1099.28470
8 1997 43.38 116.9070581 5071.42818 1.19089 1095.06130
9 1997 46.66 116.9070581 5454.88333 1.18632 1176.67353
10 1997 43.95 116.9070581 5138.06520 1.27473 1107.05792
11 1997 43.44 116.9070581 5078.44260 1.19931 1093.01221
12 1997 43.75 116.9070581 5114.68379 1.18410 1099.62815
SURRENDER CHARGE = 7.00%
FREE WITHDRAWAL AVAILABLE = 15.00% OF PRINCIPAL + 15.00% OF INTEREST
GROSS RETURN = 11.39%
WITHOUT WITH
SURRENDER SURRENDER
CHARGE CHARGE
ERV 1099.63 1034.20
TOTAL RETURN 9.96% 3.42%
Return for 1 Year
FUND GROSS ADMIN/
MONTH YEAR NAV SHARES VALUE MTHLY M&E ERV
12 1996 40.91 112.2370145 4591.61626 1000.00000
1 1997 41.55 112.2370145 4663.44795 1.08333 1014.56076
2 1997 38.60 112.2370145 4332.34876 1.09911 941.42906
3 1997 36.06 112.2370145 4047.26674 1.01988 878.46022
4 1997 35.68 112.2370145 4004.61668 0.95167 868.25135
5 1997 37.56 116.9070581 4391.02910 0.94061 951.08983
6 1997 39.53 116.9070581 4621.33601 1.03035 999.94358
7 1997 43.50 116.9070581 5085.45703 1.08327 1099.28470
8 1997 43.38 116.9070581 5071.42818 1.19089 1095.06130
9 1997 46.66 116.9070581 5454.88333 1.18632 1176.67353
10 1997 43.95 116.9070581 5138.06520 1.27473 1107.05792
11 1997 43.44 116.9070581 5078.44260 1.19931 1093.01221
12 1997 43.75 116.9070581 5114.68379 1.18410 1099.62815
SURRENDER CHARGE = 7.00%
FREE WITHDRAWAL AVAILABLE = 15.00% OF PRINCIPAL + 15.00% OF INTEREST
GROSS RETURN = 11.39%
WITHOUT WITH
SURRENDER SURRENDER
CHARGE CHARGE
ERV 1099.63 1034.20
TOTAL RETURN 9.96% 3.42%
Return for 3 Years
FUND GROSS ADMIN/
MONTH YEAR NAV SHARES VALUE MTHLY M&E ERV
12 1994 27.31 111.8311656 3054.10913 1000.00000
1 1995 26.84 111.8311656 3001.54849 1.08333 981.70685
2 1995 28.76 111.8311656 3216.26432 1.06352 1050.86976
3 1995 29.59 111.8311656 3309.08419 1.13844 1080.05892
4 1995 30.89 111.8311656 3454.46471 1.17006 1126.33991
5 1995 32.07 111.8311656 3586.42548 1.22020 1168.14596
6 1995 36.02 111.8311656 4028.15859 1.26549 1310.75876
7 1995 41.18 111.8311656 4605.20740 1.41999 1497.10987
8 1995 41.72 111.8311656 4665.59623 1.62187 1515.11985
9 1995 42.83 111.8311656 4789.72882 1.64138 1553.78966
10 1995 40.83 111.8311656 4566.06649 1.68327 1479.55025
11 1995 40.76 111.8311656 4558.23831 1.60285 1475.41083
12 1995 39.41 111.8311656 4407.26624 1.59836 1424.94582
1 1996 39.55 111.8311656 4422.92260 1.54369 1428.46410
2 1996 41.24 111.8311656 4611.91727 1.54750 1487.95590
3 1996 40.87 111.8311656 4570.53974 1.61195 1472.99420
4 1996 44.02 111.8311656 4922.80791 1.59574 1584.92749
5 1996 45.10 112.2370145 5061.88935 1.71700 1627.98859
6 1996 42.33 112.2370145 4750.99282 1.76365 1526.23539
7 1996 37.34 112.2370145 4190.93012 1.65342 1344.66431
8 1996 39.67 112.2370145 4452.44237 1.45672 1427.11407
9 1996 42.45 112.2370145 4764.46127 1.54604 1525.57753
10 1996 40.49 112.2370145 4544.47672 1.65271 1453.48591
11 1996 41.18 112.2370145 4621.92026 1.57461 1476.68051
12 1996 40.91 112.2370145 4591.61626 1.59974 1465.39879
1 1997 41.55 112.2370145 4663.44795 1.58752 1486.73612
2 1997 38.60 112.2370145 4332.34876 1.61063 1379.56901
3 1997 36.06 112.2370145 4047.26674 1.49453 1287.29455
4 1997 35.68 112.2370145 4004.61668 1.39457 1272.33448
5 1997 37.56 116.9070581 4391.02910 1.37836 1393.72588
6 1997 39.53 116.9070581 4621.33601 1.50987 1465.31612
7 1997 43.50 116.9070581 5085.45703 1.58743 1610.89047
8 1997 43.38 116.9070581 5071.42818 1.74513 1604.70150
9 1997 46.66 116.9070581 5454.88333 1.73843 1724.29597
10 1997 43.95 116.9070581 5138.06520 1.86799 1622.28135
11 1997 43.44 116.9070581 5078.44260 1.75747 1601.69877
12 1997 43.75 116.9070581 5114.68379 1.73517 1611.39377
SURRENDER CHARGE = 5.00%
FREE WITHDRAWAL AVAILABLE = 15.00% OF PRINCIPAL + 15.00% OF INTEREST
GROSS RETURN = 67.47%
GROSS ANNUAL RETURN = 18.75%
WITHOUT WITH
SURRENDER SURRENDER
CHARGE CHARGE
ERV 1611.39 1542.91
TOTAL RETURN 61.14% 54.29%
AVERAGE ANNUAL RETURN 17.24% 15.55%
Return for 5 Years
FUND GROSS ADMIN/
MONTH YEAR NAV SHARES VALUE MTHLY M&E ERV
12 1992 27.26 103.4290612 2819.47621 1000.00000
1 1993 26.52 103.4290612 2742.93870 1.08333 971.77067
2 1993 24.38 103.4290612 2521.60051 1.05275 892.30203
3 1993 24.96 103.4290612 2581.58937 0.96666 912.56323
4 1993 24.29 103.4290612 2512.29190 0.98861 887.07873
5 1993 26.36 103.4290612 2726.39005 0.96100 961.71480
6 1993 26.72 103.4290612 2763.62452 1.04186 973.80714
7 1993 26.72 103.4290612 2763.62452 1.05496 972.75218
8 1993 28.89 103.4290612 2988.06558 1.05381 1050.69808
9 1993 30.17 103.4290612 3120.45478 1.13826 1096.11204
10 1993 30.16 103.4290612 3119.42049 1.18745 1094.56127
11 1993 29.06 103.4290612 3005.64852 1.18577 1053.45449
12 1993 30.88 103.4290612 3193.88941 1.14124 1118.29010
1 1994 30.54 103.4290612 3158.72353 1.21148 1104.76584
2 1994 30.23 103.4290612 3126.66052 1.19683 1092.35495
3 1994 28.11 103.4290612 2907.39091 1.18338 1014.56579
4 1994 28.37 103.4290612 2934.28247 1.09911 1022.85078
5 1994 25.48 111.8311656 2849.45810 1.10809 992.17408
6 1994 24.29 111.8311656 2716.37901 1.07486 944.76142
7 1994 24.74 111.8311656 2766.70304 1.02349 961.24071
8 1994 26.69 111.8311656 2984.77381 1.04134 1035.96410
9 1994 26.52 111.8311656 2965.76251 1.12229 1028.24331
10 1994 27.76 111.8311656 3104.43316 1.11393 1075.20712
11 1994 26.40 111.8311656 2952.34277 1.16481 1021.36646
12 1994 27.31 111.8311656 3054.10913 1.10648 1055.46617
1 1995 26.84 111.8311656 3001.54849 1.14342 1036.15837
2 1995 28.76 111.8311656 3216.26432 1.12250 1109.15748
3 1995 29.59 111.8311656 3309.08419 1.20159 1139.96565
4 1995 30.89 111.8311656 3454.46471 1.23496 1188.81367
5 1995 32.07 111.8311656 3586.42548 1.28788 1232.93855
6 1995 36.02 111.8311656 4028.15859 1.33568 1383.46152
7 1995 41.18 111.8311656 4605.20740 1.49875 1580.14882
8 1995 41.72 111.8311656 4665.59623 1.71183 1599.15774
9 1995 42.83 111.8311656 4789.72882 1.73242 1639.97242
10 1995 40.83 111.8311656 4566.06649 1.77664 1561.61524
11 1995 40.76 111.8311656 4558.23831 1.69175 1557.24622
12 1995 39.41 111.8311656 4407.26624 1.68702 1503.98210
1 1996 39.55 111.8311656 4422.92260 1.62931 1507.69553
2 1996 41.24 111.8311656 4611.91727 1.63334 1570.48711
3 1996 40.87 111.8311656 4570.53974 1.70136 1554.69554
4 1996 44.02 111.8311656 4922.80791 1.68425 1672.83735
5 1996 45.10 112.2370145 5061.88935 1.81224 1718.28688
6 1996 42.33 112.2370145 4750.99282 1.86148 1610.88982
7 1996 37.34 112.2370145 4190.93012 1.74513 1419.24769
8 1996 39.67 112.2370145 4452.44237 1.53752 1506.27062
9 1996 42.45 112.2370145 4764.46127 1.63179 1610.19547
10 1996 40.49 112.2370145 4544.47672 1.74438 1534.10520
11 1996 41.18 112.2370145 4621.92026 1.66195 1558.58632
12 1996 40.91 112.2370145 4591.61626 1.68847 1546.67885
1 1997 41.55 112.2370145 4663.44795 1.67557 1569.19968
2 1997 38.60 112.2370145 4332.34876 1.69997 1456.08842
3 1997 36.06 112.2370145 4047.26674 1.57743 1358.69585
4 1997 35.68 112.2370145 4004.61668 1.47192 1342.90600
5 1997 37.56 116.9070581 4391.02910 1.45481 1471.03052
6 1997 39.53 116.9070581 4621.33601 1.59362 1546.59159
7 1997 43.50 116.9070581 5085.45703 1.67547 1700.24040
8 1997 43.38 116.9070581 5071.42818 1.84193 1693.70815
9 1997 46.66 116.9070581 5454.88333 1.83485 1819.93606
10 1997 43.95 116.9070581 5138.06520 1.97160 1712.26308
11 1997 43.44 116.9070581 5078.44260 1.85495 1690.53886
12 1997 43.75 116.9070581 5114.68379 1.83142 1700.77161
SURRENDER CHARGE = 3.00%
FREE WITHDRAWAL AVAILABLE = 15.00% OF PRINCIPAL + 15.00% OF INTEREST
GROSS RETURN = 81.41%
GROSS ANNUAL RETURN = 12.65%
WITHOUT WITH
SURRENDER SURRENDER
CHARGE CHARGE
ERV 1700.77 1657.40
TOTAL RETURN 70.08% 65.74%
AVERAGE ANNUAL RETURN 11.21% 10.63%
Return for Inception
FUND GROSS ADMIN/
MONTH YEAR NAV SHARES VALUE MTHLY M&E ERV
8 1988 10.00 100.0000000 1000.00000 1000.00000
9 1988 10.10 100.0000000 1010.00000 1.08333 1008.91667
10 1988 9.95 100.0000000 995.00000 1.09299 992.83976
11 1988 9.69 100.0000000 969.00000 1.07558 965.82063
12 1988 9.60 100.6770833 966.50000 1.04631 962.28253
1 1989 10.69 100.6770833 1076.23802 1.04247 1070.49922
2 1989 10.90 100.6770833 1097.38021 1.15971 1090.36897
3 1989 11.72 100.6770833 1179.93542 1.18123 1171.21549
4 1989 12.64 100.6770833 1272.55833 1.26882 1261.88509
5 1989 13.31 100.6770833 1340.01198 1.36704 1327.40594
6 1989 13.12 100.6770833 1320.88333 1.43802 1307.01923
7 1989 14.48 100.6770833 1457.80417 1.41594 1441.08699
8 1989 15.59 100.6770833 1569.55573 1.56118 1549.99588
9 1989 16.25 100.6770833 1636.00260 1.67916 1613.93553
10 1989 15.32 100.6770833 1542.37292 1.74843 1519.82033
11 1989 15.71 100.6770833 1581.63698 1.64647 1556.86380
12 1989 15.79 100.6770833 1589.69115 1.68660 1563.10521
1 1990 14.39 100.6770833 1448.74323 1.69336 1422.82114
2 1990 15.15 100.6770833 1525.25781 1.54139 1496.42527
3 1990 16.04 100.6770833 1614.86042 1.62113 1582.71295
4 1990 15.85 101.5402059 1609.41226 1.71461 1575.65865
5 1990 18.05 101.5402059 1832.80072 1.70696 1792.65510
6 1990 18.24 101.5402059 1852.09336 1.94204 1809.58311
7 1990 17.23 101.5402059 1749.53775 1.96038 1707.42103
8 1990 15.63 101.5402059 1587.07342 1.84971 1547.01801
9 1990 14.46 101.5402059 1468.27138 1.67594 1429.53842
10 1990 14.22 101.5402059 1443.90173 1.54867 1404.26297
11 1990 15.75 101.5402059 1599.25824 1.52128 1553.83328
12 1990 17.02 101.5402059 1728.21430 1.68332 1677.44318
1 1991 18.25 101.5402059 1853.10876 1.81723 1796.85128
2 1991 19.58 101.5402059 1988.15723 1.94659 1925.85330
3 1991 21.40 101.5402059 2172.96041 2.08634 2102.77886
4 1991 20.56 101.6322224 2089.55849 2.27801 2019.79263
5 1991 21.70 101.6322224 2205.41923 2.18811 2129.59691
6 1991 20.17 101.6322224 2049.92193 2.30706 1977.13854
7 1991 21.85 101.6322224 2220.66406 2.14190 2139.67650
8 1991 22.01 101.6322224 2236.92522 2.31798 2153.02663
9 1991 22.65 101.6322224 2301.96984 2.33245 2213.29923
10 1991 23.75 101.6322224 2413.76528 2.39774 2318.39064
11 1991 22.82 101.6322224 2319.24732 2.51159 2225.09575
12 1991 26.79 101.6322224 2722.72724 2.41052 2609.78559
1 1992 27.52 101.6322224 2796.91876 2.82727 2678.07230
2 1992 27.27 101.6322224 2771.51071 2.90124 2650.84263
3 1992 24.23 101.6322224 2462.54875 2.87175 2352.46074
4 1992 22.15 103.4290612 2290.95371 2.54850 2185.98834
5 1992 22.15 103.4290612 2290.95371 2.36815 2183.62019
6 1992 21.21 103.4290612 2193.73039 2.36559 2088.58629
7 1992 22.06 103.4290612 2281.64509 2.26264 2170.02467
8 1992 21.67 103.4290612 2241.30776 2.35086 2129.30982
9 1992 22.87 103.4290612 2365.42263 2.30675 2244.91593
10 1992 23.93 103.4290612 2475.05744 2.43199 2346.53338
11 1992 25.96 103.4290612 2685.01843 2.54208 2543.04951
12 1992 27.26 103.4290612 2819.47621 2.75497 2667.64293
1 1993 26.52 103.4290612 2742.93870 2.88995 2592.33715
2 1993 24.38 103.4290612 2521.60051 2.80837 2380.34321
3 1993 24.96 103.4290612 2581.58937 2.57871 2434.39285
4 1993 24.29 103.4290612 2512.29190 2.63726 2366.40931
5 1993 26.36 103.4290612 2726.39005 2.56361 2565.51170
6 1993 26.72 103.4290612 2763.62452 2.77930 2597.76973
7 1993 26.72 103.4290612 2763.62452 2.81425 2594.95548
8 1993 28.89 103.4290612 2988.06558 2.81120 2802.88730
9 1993 30.17 103.4290612 3120.45478 3.03646 2924.03553
10 1993 30.16 103.4290612 3119.42049 3.16771 2919.89864
11 1993 29.06 103.4290612 3005.64852 3.16322 2810.24044
12 1993 30.88 103.4290612 3193.88941 3.04443 2983.19868
1 1994 30.54 103.4290612 3158.72353 3.23180 2947.12078
2 1994 30.23 103.4290612 3126.66052 3.19271 2914.01296
3 1994 28.11 103.4290612 2907.39091 3.15685 2706.49927
4 1994 28.37 103.4290612 2934.28247 2.93204 2728.60066
5 1994 25.48 111.8311656 2849.45810 2.95598 2646.76617
6 1994 24.29 111.8311656 2716.37901 2.86733 2520.28613
7 1994 24.74 111.8311656 2766.70304 2.73031 2564.24700
8 1994 26.69 111.8311656 2984.77381 2.77793 2763.58231
9 1994 26.52 111.8311656 2965.76251 2.99388 2742.98599
10 1994 27.76 111.8311656 3104.43316 2.97157 2868.26867
11 1994 26.40 111.8311656 2952.34277 3.10729 2724.64101
12 1994 27.31 111.8311656 3054.10913 2.95169 2815.60687
1 1995 26.84 111.8311656 3001.54849 3.05024 2764.10056
2 1995 28.76 111.8311656 3216.26432 2.99444 2958.83611
3 1995 29.59 111.8311656 3309.08419 3.20541 3041.02132
4 1995 30.89 111.8311656 3454.46471 3.29444 3171.33039
5 1995 32.07 111.8311656 3586.42548 3.43561 3289.03980
6 1995 36.02 111.8311656 4028.15859 3.56313 3690.58136
7 1995 41.18 111.8311656 4605.20740 3.99813 4215.27284
8 1995 41.72 111.8311656 4665.59623 4.56655 4265.98185
9 1995 42.83 111.8311656 4789.72882 4.62148 4374.86085
10 1995 40.83 111.8311656 4566.06649 4.73943 4165.83186
11 1995 40.76 111.8311656 4558.23831 4.51298 4154.17687
12 1995 39.41 111.8311656 4407.26624 4.50036 4012.08723
1 1996 39.55 111.8311656 4422.92260 4.34643 4021.99334
2 1996 41.24 111.8311656 4611.91727 4.35716 4189.49885
3 1996 40.87 111.8311656 4570.53974 4.53862 4147.37258
4 1996 44.02 111.8311656 4922.80791 4.49299 4462.53273
5 1996 45.10 112.2370145 5061.88935 4.83441 4583.77586
6 1996 42.33 112.2370145 4750.99282 4.96576 4297.27885
7 1996 37.34 112.2370145 4190.93012 4.65539 3786.04607
8 1996 39.67 112.2370145 4452.44237 4.10155 4018.19217
9 1996 42.45 112.2370145 4764.46127 4.35304 4295.42658
10 1996 40.49 112.2370145 4544.47672 4.65338 4092.44491
11 1996 41.18 112.2370145 4621.92026 4.43348 4157.75178
12 1996 40.91 112.2370145 4591.61626 4.50423 4125.98691
1 1997 41.55 112.2370145 4663.44795 4.46982 4186.06443
2 1997 38.60 112.2370145 4332.34876 4.53490 3884.32399
3 1997 36.06 112.2370145 4047.26674 4.20802 3624.51538
4 1997 35.68 112.2370145 4004.61668 3.92656 3582.39371
5 1997 37.56 116.9070581 4391.02910 3.88093 3924.18418
6 1997 39.53 116.9070581 4621.33601 4.25120 4125.75414
7 1997 43.50 116.9070581 5085.45703 4.46957 4535.63428
8 1997 43.38 116.9070581 5071.42818 4.91360 4518.20858
9 1997 46.66 116.9070581 5454.88333 4.89473 4854.93958
10 1997 43.95 116.9070581 5138.06520 5.25952 4567.70651
11 1997 43.44 116.9070581 5078.44260 4.94835 4509.75406
12 1997 43.75 116.9070581 5114.68379 4.88557 4537.05136
SURRENDER CHARGE = 0.00%
FREE WITHDRAWAL AVAILABLE = 15.00% OF PRINCIPAL + 15.00% OF INTEREST
GROSS RETURN = 411.47%
GROSS ANNUAL RETURN = 19.24%
WITHOUT WITH
SURRENDER SURRENDER
CHARGE CHARGE
ERV 4537.05 4537.05
TOTAL RETURN 353.71% 353.71%
AVERAGE ANNUAL RETURN 17.71% 17.71%
Return for Product Inception
FUND GROSS ADMIN/
MONTH YEAR NAV SHARES VALUE MTHLY M&E ERV
12 1996 40.91 112.2370145 4591.61626 1000.00000
1 1997 41.55 112.2370145 4663.44795 1.08333 1014.56076
2 1997 38.60 112.2370145 4332.34876 1.09911 941.42906
3 1997 36.06 112.2370145 4047.26674 1.01988 878.46022
4 1997 35.68 112.2370145 4004.61668 0.95167 868.25135
5 1997 37.56 116.9070581 4391.02910 0.94061 951.08983
6 1997 39.53 116.9070581 4621.33601 1.03035 999.94358
7 1997 43.50 116.9070581 5085.45703 1.08327 1099.28470
8 1997 43.38 116.9070581 5071.42818 1.19089 1095.06130
9 1997 46.66 116.9070581 5454.88333 1.18632 1176.67353
10 1997 43.95 116.9070581 5138.06520 1.27473 1107.05792
11 1997 43.44 116.9070581 5078.44260 1.19931 1093.01221
12 1997 43.75 116.9070581 5114.68379 1.18410 1099.62815
SURRENDER CHARGE = 7.00%
FREE WITHDRAWAL AVAILABLE = 15.00% OF PRINCIPAL + 15.00% OF INTEREST
GROSS RETURN = 11.39%
GROSS ANNUAL RETURN = 10.83%
WITHOUT WITH
SURRENDER SURRENDER
CHARGE CHARGE
ERV 1099.63 1034.20
TOTAL RETURN 9.96% 3.42%
AVERAGE ANNUAL RETURN 9.47% 3.26%
Federated Government Bond
12/1997
Assume ($10000 @ $10.00 on 3/28/1994)
DATE DIV PR/SH REINVEST NAV REINVEST SHARES SHARE BASIS
(incl cap gain)
100.000000
3/94 0.0000000000 10.00 0.000 100.000000
4/94 0.0240000000 9.99 0.240 100.240240
5/94 0.0190000000 9.97 0.191 100.431270
6/94 0.0290000000 9.98 0.292 100.723104
7/94 0.0320000000 9.96 0.324 101.046713
8/94 0.0310000000 9.97 0.314 101.360900
9/94 0.0290000000 9.97 0.295 101.655731
10/94 0.0300000000 9.98 0.306 101.961309
11/94 0.0360000000 9.97 0.368 102.329475
12/94 0.0380000000 9.97 0.390 102.719497
1/95 0.0350000000 9.97 0.361 103.080097
2/95 0.0390000000 9.98 0.403 103.482915
3/95 0.0420000000 9.97 0.436 103.918851
4/95 0.0400000000 9.98 0.417 104.335359
5/95 0.0400000000 9.98 0.418 104.753537
6/95 0.0400000000 9.98 0.420 105.173391
7/95 0.0400000000 9.99 0.421 105.594505
8/95 0.0520000000 9.96 0.551 106.145802
9/95 0.0520000000 10.07 0.548 106.693923
10/95 0.0520000000 10.12 0.548 107.242153
11/95 0.0530000000 10.17 0.559 107.801035
12/95 0.0530000000 10.22 0.559 108.360082
1/96 0.0490000000 10.28 0.517 108.876584
2/96 0.0490000000 10.21 0.523 109.399107
3/96 0.0893000000 10.04 0.973 110.372148
4/96 0.0480000000 9.98 0.531 110.902996
5/96 0.0480000000 9.94 0.536 111.438544
6/96 0.0480000000 9.83 0.544 111.982700
7/96 0.0440000000 9.87 0.499 112.481913
8/96 0.0440000000 9.98 0.496 112.977826
9/96 0.0480000000 9.89 0.548 113.526151
10/96 0.0480000000 10.02 0.544 114.069989
11/96 0.0480000000 10.21 0.536 114.606263
12/96 0.0480000000 10.11 0.544 115.150387
1/97 0.0480000000 10.05 0.550 115.700359
2/97 0.0480000000 10.12 0.549 116.249136
3/97 0.0480000000 9.96 0.560 116.809373
4/97 0.0480000000 9.92 0.565 117.374579
5/97 0.0480000000 10.00 0.563 117.937977
6/97 0.0480000000 10.12 0.559 118.497367
7/97 0.0510000000 10.16 0.595 119.092186
8/97 0.0510000000 10.15 0.598 119.690581
M and E Charge = 0.0010833
Return for YTD
FUND GROSS ADMIN/
MONTH YEAR NAV SHARES VALUE MTHLY M&E ERV
12 1996 10.09 115.1503875 1161.86741 1000.00000
1 1997 10.08 115.7003595 1166.25962 1.08333 1002.69697
2 1997 10.05 116.2491359 1168.30382 1.08626 1003.36822
3 1997 9.91 116.8093727 1157.58088 1.08698 993.07212
4 1997 10.00 117.3745793 1173.74579 1.07583 1005.86394
5 1997 10.04 117.9379773 1184.09729 1.08969 1013.64517
6 1997 10.10 118.4973669 1196.82341 1.09812 1023.44123
7 1997 10.21 119.0921864 1215.93122 1.10873 1038.67219
8 1997 10.17 119.6905806 1217.25321 1.12523 1038.67623
9 1997 10.29 119.6905806 1231.61607 1.12523 1049.80676
10 1997 10.42 119.6905806 1247.17585 1.13729 1061.93233
11 1997 10.45 119.6905806 1250.76657 1.15043 1063.83929
12 1997 10.54 119.6905806 1261.53872 1.15249 1071.84905
SURRENDER CHARGE = 7.00%
FREE WITHDRAWAL AVAILABLE = 15.00% OF PRINCIPAL + 15.00% OF INTEREST
GROSS RETURN = 8.58%
WITHOUT WITH
SURRENDER SURRENDER
CHARGE CHARGE
ERV 1071.85 1008.07
TOTAL RETURN 7.18% 0.81%
Return for 1 Year
FUND GROSS ADMIN/
MONTH YEAR NAV SHARES VALUE MTHLY M&E ERV
12 1996 10.09 115.1503875 1161.86741 1000.00000
1 1997 10.08 115.7003595 1166.25962 1.08333 1002.69697
2 1997 10.05 116.2491359 1168.30382 1.08626 1003.36822
3 1997 9.91 116.8093727 1157.58088 1.08698 993.07212
4 1997 10.00 117.3745793 1173.74579 1.07583 1005.86394
5 1997 10.04 117.9379773 1184.09729 1.08969 1013.64517
6 1997 10.10 118.4973669 1196.82341 1.09812 1023.44123
7 1997 10.21 119.0921864 1215.93122 1.10873 1038.67219
8 1997 10.17 119.6905806 1217.25321 1.12523 1038.67623
9 1997 10.29 119.6905806 1231.61607 1.12523 1049.80676
10 1997 10.42 119.6905806 1247.17585 1.13729 1061.93233
11 1997 10.45 119.6905806 1250.76657 1.15043 1063.83929
12 1997 10.54 119.6905806 1261.53872 1.15249 1071.84905
SURRENDER CHARGE = 7.00%
FREE WITHDRAWAL AVAILABLE = 15.00% OF PRINCIPAL + 15.00% OF INTEREST
GROSS RETURN = 8.58%
WITHOUT WITH
SURRENDER SURRENDER
CHARGE CHARGE
ERV 1071.85 1008.07
TOTAL RETURN 7.18% 0.81%
Return for 3 Years
FUND GROSS ADMIN/
MONTH YEAR NAV SHARES VALUE MTHLY M&E ERV
12 1994 9.98 102.7194966 1025.14058 1000.00000
1 1995 9.99 103.0800966 1029.77017 1.08333 1003.43272
2 1995 9.99 103.4829147 1033.79432 1.08705 1006.26690
3 1995 9.99 103.9188507 1038.14932 1.09012 1009.41581
4 1995 9.99 104.3353591 1042.31024 1.09353 1012.36803
5 1995 9.99 104.7535369 1046.48783 1.09673 1015.32889
6 1995 9.99 105.1733908 1050.68217 1.09994 1018.29840
7 1995 10.01 105.5945055 1057.00100 1.10316 1023.31932
8 1995 10.07 106.1458021 1068.88823 1.10860 1033.71916
9 1995 10.11 106.6939234 1078.67557 1.11986 1042.06461
10 1995 10.16 107.2421530 1089.58027 1.12890 1051.47030
11 1995 10.23 107.8010354 1102.80459 1.13909 1063.09298
12 1995 10.29 108.3600819 1115.02524 1.15168 1073.72189
1 1996 10.32 108.8765842 1123.60635 1.16320 1080.82193
2 1996 10.17 109.3991065 1112.58891 1.17089 1069.05312
3 1996 10.03 110.3721484 1107.03265 1.15814 1062.55613
4 1996 9.94 110.9029964 1102.37578 1.15110 1056.93526
5 1996 9.87 111.4385441 1099.89843 1.14501 1053.41501
6 1996 9.94 111.9826997 1113.10804 1.14120 1064.92516
7 1996 9.92 112.4819134 1115.82058 1.15367 1066.36662
8 1996 9.85 112.9778256 1112.83158 1.15523 1062.35486
9 1996 9.96 113.5261508 1130.72046 1.15088 1078.28144
10 1996 10.11 114.0699886 1153.24758 1.16814 1098.59569
11 1996 10.21 114.6062628 1170.12994 1.19015 1113.48786
12 1996 10.09 115.1503875 1161.86741 1.20628 1104.41901
1 1997 10.08 115.7003595 1166.25962 1.19645 1107.39760
2 1997 10.05 116.2491359 1168.30382 1.19968 1108.13894
3 1997 9.91 116.8093727 1157.58088 1.20048 1096.76773
4 1997 10.00 117.3745793 1173.74579 1.18816 1110.89525
5 1997 10.04 117.9379773 1184.09729 1.20347 1119.48899
6 1997 10.10 118.4973669 1196.82341 1.21278 1130.30794
7 1997 10.21 119.0921864 1215.93122 1.22450 1147.12931
8 1997 10.17 119.6905806 1217.25321 1.24272 1147.13377
9 1997 10.29 119.6905806 1231.61607 1.24273 1159.42654
10 1997 10.42 119.6905806 1247.17585 1.25605 1172.81826
11 1997 10.45 119.6905806 1250.76657 1.27055 1174.92434
12 1997 10.54 119.6905806 1261.53872 1.27283 1183.77047
SURRENDER CHARGE = 5.00%
FREE WITHDRAWAL AVAILABLE = 15.00% OF PRINCIPAL + 15.00% OF INTEREST
GROSS RETURN = 23.06%
GROSS ANNUAL RETURN = 7.16%
WITHOUT WITH
SURRENDER SURRENDER
CHARGE CHARGE
ERV 1183.77 1133.46
TOTAL RETURN 18.38% 13.35%
AVERAGE ANNUAL RETURN 5.78% 4.26%
Return for Inception
FUND GROSS ADMIN/
MONTH YEAR NAV SHARES VALUE MTHLY M&E ERV
3 1994 10.00 100.0000000 1000.00000 1000.00000
4 1994 9.97 100.2402402 999.39520 1.08333 998.31186
5 1994 9.98 100.4312698 1002.30407 1.08150 1000.13608
6 1994 9.99 100.7231041 1006.22381 1.08348 1002.96386
7 1994 9.97 101.0467125 1007.43572 1.08654 1003.08530
8 1994 9.98 101.3608999 1011.58178 1.08668 1006.12678
9 1994 9.97 101.6557310 1013.50764 1.08997 1006.95228
10 1994 9.99 101.9613093 1018.59348 1.09086 1010.91436
11 1994 9.98 102.3294745 1021.24816 1.09516 1012.45387
12 1994 9.98 102.7194966 1025.14058 1.09682 1015.21595
1 1995 9.99 103.0800966 1029.77017 1.09982 1018.70090
2 1995 9.99 103.4829147 1033.79432 1.10359 1021.57820
3 1995 9.99 103.9188507 1038.14932 1.10671 1024.77503
4 1995 9.99 104.3353591 1042.31024 1.11017 1027.77217
5 1995 9.99 104.7535369 1046.48783 1.11342 1030.77808
6 1995 9.99 105.1733908 1050.68217 1.11668 1033.79278
7 1995 10.01 105.5945055 1057.00100 1.11994 1038.89009
8 1995 10.07 106.1458021 1068.88823 1.12546 1049.44817
9 1995 10.11 106.6939234 1078.67557 1.13690 1057.92060
10 1995 10.16 107.2421530 1089.58027 1.14608 1067.46941
11 1995 10.23 107.8010354 1102.80459 1.15643 1079.26895
12 1995 10.29 108.3600819 1115.02524 1.16921 1090.05958
1 1996 10.32 108.8765842 1123.60635 1.18090 1097.26766
2 1996 10.17 109.3991065 1112.58891 1.18871 1085.31977
3 1996 10.03 110.3721484 1107.03265 1.17576 1078.72393
4 1996 9.94 110.9029964 1102.37578 1.16862 1073.01753
5 1996 9.87 111.4385441 1099.89843 1.16244 1069.44372
6 1996 9.94 111.9826997 1113.10804 1.15856 1081.12900
7 1996 9.92 112.4819134 1115.82058 1.17122 1082.59239
8 1996 9.85 112.9778256 1112.83158 1.17281 1078.51960
9 1996 9.96 113.5261508 1130.72046 1.16840 1094.68851
10 1996 10.11 114.0699886 1153.24758 1.18591 1115.31187
11 1996 10.21 114.6062628 1170.12994 1.20825 1130.43063
12 1996 10.09 115.1503875 1161.86741 1.22463 1121.22379
1 1997 10.08 115.7003595 1166.25962 1.21466 1124.24770
2 1997 10.05 116.2491359 1168.30382 1.21793 1125.00032
3 1997 9.91 116.8093727 1157.58088 1.21875 1113.45608
4 1997 10.00 117.3745793 1173.74579 1.20624 1127.79857
5 1997 10.04 117.9379773 1184.09729 1.22178 1136.52307
6 1997 10.10 118.4973669 1196.82341 1.23123 1147.50665
7 1997 10.21 119.0921864 1215.93122 1.24313 1164.58397
8 1997 10.17 119.6905806 1217.25321 1.26163 1164.58849
9 1997 10.29 119.6905806 1231.61607 1.26164 1177.06831
10 1997 10.42 119.6905806 1247.17585 1.27516 1190.66379
11 1997 10.45 119.6905806 1250.76657 1.28989 1192.80192
12 1997 10.54 119.6905806 1261.53872 1.29220 1201.78266
SURRENDER CHARGE = 4.00%
FREE WITHDRAWAL AVAILABLE = 15.00% OF PRINCIPAL + 15.00% OF INTEREST
GROSS RETURN = 26.15%
GROSS ANNUAL RETURN = 6.37%
WITHOUT WITH
SURRENDER SURRENDER
CHARGE CHARGE
ERV 1201.78 1160.92
TOTAL RETURN 20.18% 16.09%
AVERAGE ANNUAL RETURN 5.01% 4.05%
Return for Product Inception
FUND GROSS ADMIN/
MONTH YEAR NAV SHARES VALUE MTHLY M&E ERV
12 1996 10.09 115.1503875 1161.86741 1000.00000
1 1997 10.08 115.7003595 1166.25962 1.08333 1002.69697
2 1997 10.05 116.2491359 1168.30382 1.08626 1003.36822
3 1997 9.91 116.8093727 1157.58088 1.08698 993.07212
4 1997 10.00 117.3745793 1173.74579 1.07583 1005.86394
5 1997 10.04 117.9379773 1184.09729 1.08969 1013.64517
6 1997 10.10 118.4973669 1196.82341 1.09812 1023.44123
7 1997 10.21 119.0921864 1215.93122 1.10873 1038.67219
8 1997 10.17 119.6905806 1217.25321 1.12523 1038.67623
9 1997 10.29 119.6905806 1231.61607 1.12523 1049.80676
10 1997 10.42 119.6905806 1247.17585 1.13729 1061.93233
11 1997 10.45 119.6905806 1250.76657 1.15043 1063.83929
12 1997 10.54 119.6905806 1261.53872 1.15249 1071.84905
SURRENDER CHARGE = 7.00%
FREE WITHDRAWAL AVAILABLE = 15.00% OF PRINCIPAL + 15.00% OF INTEREST
GROSS RETURN = 8.58%
GROSS ANNUAL RETURN = 8.16%
WITHOUT WITH
SURRENDER SURRENDER
CHARGE CHARGE
ERV 1071.85 1008.07
TOTAL RETURN 7.18% 0.81%
AVERAGE ANNUAL RETURN 6.84% 0.77%
Federated Prime Money
12/1997
Assume ($10000 @ $10.00 on 11/21/1994)
DATE DIV PR/SH REINVEST NAV REINVEST SHARES SHARE BASIS
(incl cap gain)
100.000000
10/94 0.0000000000 1.00 0.000 100.000000
11/94 0.0012659720 1.00 0.127 100.126597
12/94 0.0037707980 1.00 0.378 100.504154
1/95 0.0037829400 1.00 0.380 100.884356
2/95 0.0038735110 1.00 0.391 101.275132
3/95 0.0044113260 1.00 0.447 101.721890
4/95 0.0042677160 1.00 0.434 102.156010
5/95 0.0045457280 1.00 0.464 102.620383
6/95 0.0043985090 1.00 0.451 103.071760
7/95 0.0043850150 1.00 0.452 103.523731
8/95 0.0043262630 1.00 0.448 103.971602
9/95 0.0041606740 1.00 0.433 104.404194
10/95 0.0042481520 1.00 0.444 104.847719
11/95 0.0041265140 1.00 0.433 105.280375
12/95 0.0042405070 1.00 0.446 105.726817
1/96 0.0039644280 1.00 0.419 106.145963
2/96 0.0036463730 1.00 0.387 106.533011
3/96 0.0038803070 1.00 0.413 106.946392
4/96 0.0037531920 1.00 0.401 107.347782
5/96 0.0038792420 1.00 0.416 107.764210
6/96 0.0037639920 1.00 0.406 108.169834
7/96 0.0039246140 1.00 0.425 108.594359
8/96 0.0039447460 1.00 0.428 109.022736
9/96 0.0035630470 1.00 0.388 109.411189
10/96 0.0039363050 1.00 0.431 109.841865
11/96 0.0038677480 1.00 0.425 110.266705
12/96 0.0039950720 1.00 0.441 110.707229
1/97 0.0039476070 1.00 0.437 111.144257
2/97 0.0035105160 1.00 0.390 111.534431
3/97 0.0039524920 1.00 0.441 111.975270
4/97 0.0038910440 1.00 0.436 112.410971
5/97 0.0040826040 1.00 0.459 112.869900
6/97 0.0040162330 1.00 0.453 113.323212
7/97 0.0041567170 1.00 0.471 113.794264
8/97 0.0041616600 1.00 0.474 114.267838
9/97 0.0040263600 1.00 0.460 114.727921
10/97 0.0041704510 1.00 0.478 115.206388
11/97 0.0040698850 1.00 0.469 115.675265
12/97 0.0042698450 1.00 0.494 116.169180
M and E Charge = 0.0010833
Return for YTD
FUND GROSS ADMIN/
MONTH YEAR NAV SHARES VALUE MTHLY M&E ERV
12 1996 1.00 110.7072287 110.70723 1000.00000
1 1997 1.00 111.1442573 111.14426 1.08333 1002.86427
2 1997 1.00 111.5344310 111.53443 1.08644 1005.29841
3 1997 1.00 111.9752700 111.97527 1.08907 1008.18277
4 1997 1.00 112.4109707 112.41097 1.09220 1011.01345
5 1997 1.00 112.8699002 112.86990 1.09526 1014.04576
6 1997 1.00 113.3232120 113.32321 1.09855 1017.01985
7 1997 1.00 113.7942645 113.79426 1.10177 1020.14554
8 1997 1.00 114.2678375 114.26784 1.10516 1023.28589
9 1997 1.00 114.7279210 114.72792 1.10856 1026.29744
10 1997 1.00 115.2063882 115.20639 1.11182 1029.46574
11 1997 1.00 115.6752649 115.67526 1.11525 1032.54030
12 1997 1.00 116.1691804 116.16918 1.11859 1035.83050
SURRENDER CHARGE = 7.00%
FREE WITHDRAWAL AVAILABLE = 15.00% OF PRINCIPAL + 15.00% OF INTEREST
GROSS RETURN = 4.93%
WITHOUT WITH
SURRENDER SURRENDER
CHARGE CHARGE
ERV 1035.83 974.20
TOTAL RETURN 3.58% -2.58%
Return for 1 Year
FUND GROSS ADMIN/
MONTH YEAR NAV SHARES VALUE MTHLY M&E ERV
12 1996 1.00 110.7072287 110.70723 1000.00000
1 1997 1.00 111.1442573 111.14426 1.08333 1002.86427
2 1997 1.00 111.5344310 111.53443 1.08644 1005.29841
3 1997 1.00 111.9752700 111.97527 1.08907 1008.18277
4 1997 1.00 112.4109707 112.41097 1.09220 1011.01345
5 1997 1.00 112.8699002 112.86990 1.09526 1014.04576
6 1997 1.00 113.3232120 113.32321 1.09855 1017.01985
7 1997 1.00 113.7942645 113.79426 1.10177 1020.14554
8 1997 1.00 114.2678375 114.26784 1.10516 1023.28589
9 1997 1.00 114.7279210 114.72792 1.10856 1026.29744
10 1997 1.00 115.2063882 115.20639 1.11182 1029.46574
11 1997 1.00 115.6752649 115.67526 1.11525 1032.54030
12 1997 1.00 116.1691804 116.16918 1.11859 1035.83050
SURRENDER CHARGE = 7.00%
FREE WITHDRAWAL AVAILABLE = 15.00% OF PRINCIPAL + 15.00% OF INTEREST
GROSS RETURN = 4.93%
WITHOUT WITH
SURRENDER SURRENDER
CHARGE CHARGE
ERV 1035.83 974.20
TOTAL RETURN 3.58% -2.58%
Return for 3 Years
FUND GROSS ADMIN/
MONTH YEAR NAV SHARES VALUE MTHLY M&E ERV
12 1994 1.00 100.5041544 100.50415 1000.00000
1 1995 1.00 100.8843556 100.88436 1.08333 1002.69961
2 1995 1.00 101.2751322 101.27513 1.08626 1005.49732
3 1995 1.00 101.7218898 101.72189 1.08929 1008.84360
4 1995 1.00 102.1560100 102.15601 1.09291 1012.05615
5 1995 1.00 102.6203834 102.62038 1.09639 1015.56029
6 1995 1.00 103.0717601 103.07176 1.10019 1018.92705
7 1995 1.00 103.5237313 103.52373 1.10384 1022.29122
8 1995 1.00 103.9716022 103.97160 1.10748 1025.60644
9 1995 1.00 104.4041941 104.40419 1.11107 1028.76258
10 1995 1.00 104.8477190 104.84772 1.11449 1032.01843
11 1995 1.00 105.2803746 105.28037 1.11802 1035.15904
12 1995 1.00 105.7268168 105.72682 1.12142 1038.42722
1 1996 1.00 106.1459631 106.14596 1.12496 1041.41903
2 1996 1.00 106.5330109 106.53301 1.12820 1044.08823
3 1996 1.00 106.9463917 106.94639 1.13110 1047.00851
4 1996 1.00 107.3477820 107.34778 1.13426 1049.80388
5 1996 1.00 107.7642101 107.76421 1.13729 1052.73903
6 1996 1.00 108.1698337 108.16983 1.14047 1055.56107
7 1996 1.00 108.5943585 108.59436 1.14352 1058.56021
8 1996 1.00 109.0227357 109.02274 1.14677 1061.58919
9 1996 1.00 109.4111888 109.41119 1.15005 1064.22163
10 1996 1.00 109.8418646 109.84186 1.15291 1067.25782
11 1996 1.00 110.2667053 110.26671 1.15620 1070.22951
12 1996 1.00 110.7072287 110.70723 1.15942 1073.34574
1 1997 1.00 111.1442573 111.14426 1.16279 1076.42010
2 1997 1.00 111.5344310 111.53443 1.16612 1079.03276
3 1997 1.00 111.9752700 111.97527 1.16895 1082.12868
4 1997 1.00 112.4109707 112.41097 1.17231 1085.16699
5 1997 1.00 112.8699002 112.86990 1.17560 1088.42169
6 1997 1.00 113.3232120 113.32321 1.17912 1091.61393
7 1997 1.00 113.7942645 113.79426 1.18258 1094.96887
8 1997 1.00 114.2678375 114.26784 1.18622 1098.33955
9 1997 1.00 114.7279210 114.72792 1.18987 1101.57199
10 1997 1.00 115.2063882 115.20639 1.19337 1104.97267
11 1997 1.00 115.6752649 115.67526 1.19705 1108.27273
12 1997 1.00 116.1691804 116.16918 1.20063 1111.80425
SURRENDER CHARGE = 5.00%
FREE WITHDRAWAL AVAILABLE = 15.00% OF PRINCIPAL + 15.00% OF INTEREST
GROSS RETURN = 15.59%
GROSS ANNUAL RETURN = 4.95%
WITHOUT WITH
SURRENDER SURRENDER
CHARGE CHARGE
ERV 1111.80 1064.55
TOTAL RETURN 11.18% 6.46%
AVERAGE ANNUAL RETURN 3.60% 2.11%
Return for Inception
FUND GROSS ADMIN/
MONTH YEAR NAV SHARES VALUE MTHLY M&E ERV
10 1994 1.00 100.0000000 100.00000 1000.00000
11 1994 1.00 100.1265972 100.12660 1.08333 1000.18264
12 1994 1.00 100.5041544 100.50415 1.08353 1002.87059
1 1995 1.00 100.8843556 100.88436 1.08644 1005.57795
2 1995 1.00 101.2751322 101.27513 1.08938 1008.38369
3 1995 1.00 101.7218898 101.72189 1.09242 1011.73959
4 1995 1.00 102.1560100 102.15601 1.09605 1014.96135
5 1995 1.00 102.6203834 102.62038 1.09954 1018.47555
6 1995 1.00 103.0717601 103.07176 1.10335 1021.85197
7 1995 1.00 103.5237313 103.52373 1.10701 1025.22580
8 1995 1.00 103.9716022 103.97160 1.11066 1028.55054
9 1995 1.00 104.4041941 104.40419 1.11426 1031.71574
10 1995 1.00 104.8477190 104.84772 1.11769 1034.98093
11 1995 1.00 105.2803746 105.28037 1.12123 1038.13057
12 1995 1.00 105.7268168 105.72682 1.12464 1041.40812
1 1996 1.00 106.1459631 106.14596 1.12819 1044.40852
2 1996 1.00 106.5330109 106.53301 1.13144 1047.08538
3 1996 1.00 106.9463917 106.94639 1.13434 1050.01405
4 1996 1.00 107.3477820 107.34778 1.13752 1052.81744
5 1996 1.00 107.7642101 107.76421 1.14055 1055.76102
6 1996 1.00 108.1698337 108.16983 1.14374 1058.59116
7 1996 1.00 108.5943585 108.59436 1.14681 1061.59891
8 1996 1.00 109.0227357 109.02274 1.15007 1064.63658
9 1996 1.00 109.4111888 109.41119 1.15336 1067.27658
10 1996 1.00 109.8418646 109.84186 1.15622 1070.32149
11 1996 1.00 110.2667053 110.26671 1.15951 1073.30171
12 1996 1.00 110.7072287 110.70723 1.16274 1076.42688
1 1997 1.00 111.1442573 111.14426 1.16613 1079.51006
2 1997 1.00 111.5344310 111.53443 1.16947 1082.13023
3 1997 1.00 111.9752700 111.97527 1.17231 1085.23503
4 1997 1.00 112.4109707 112.41097 1.17567 1088.28206
5 1997 1.00 112.8699002 112.86990 1.17897 1091.54611
6 1997 1.00 113.3232120 113.32321 1.18251 1094.74751
7 1997 1.00 113.7942645 113.79426 1.18598 1098.11209
8 1997 1.00 114.2678375 114.26784 1.18962 1101.49243
9 1997 1.00 114.7279210 114.72792 1.19328 1104.73416
10 1997 1.00 115.2063882 115.20639 1.19680 1108.14460
11 1997 1.00 115.6752649 115.67526 1.20049 1111.45413
12 1997 1.00 116.1691804 116.16918 1.20408 1114.99579
SURRENDER CHARGE = 4.00%
FREE WITHDRAWAL AVAILABLE = 15.00% OF PRINCIPAL + 15.00% OF INTEREST
GROSS RETURN = 16.17%
GROSS ANNUAL RETURN = 4.94%
WITHOUT WITH
SURRENDER SURRENDER
CHARGE CHARGE
ERV 1115.00 1077.09
TOTAL RETURN 11.50% 7.71%
AVERAGE ANNUAL RETURN 3.56% 2.42%
Return for Product Inception
FUND GROSS ADMIN/
MONTH YEAR NAV SHARES VALUE MTHLY M&E ERV
12 1996 1.00 110.7072287 110.70723 1000.00000
1 1997 1.00 111.1442573 111.14426 1.08333 1002.86427
2 1997 1.00 111.5344310 111.53443 1.08644 1005.29841
3 1997 1.00 111.9752700 111.97527 1.08907 1008.18277
4 1997 1.00 112.4109707 112.41097 1.09220 1011.01345
5 1997 1.00 112.8699002 112.86990 1.09526 1014.04576
6 1997 1.00 113.3232120 113.32321 1.09855 1017.01985
7 1997 1.00 113.7942645 113.79426 1.10177 1020.14554
8 1997 1.00 114.2678375 114.26784 1.10516 1023.28589
9 1997 1.00 114.7279210 114.72792 1.10856 1026.29744
10 1997 1.00 115.2063882 115.20639 1.11182 1029.46574
11 1997 1.00 115.6752649 115.67526 1.11525 1032.54030
12 1997 1.00 116.1691804 116.16918 1.11859 1035.83050
SURRENDER CHARGE = 7.00%
FREE WITHDRAWAL AVAILABLE = 15.00% OF PRINCIPAL + 15.00% OF INTEREST
GROSS RETURN = 4.93%
GROSS ANNUAL RETURN = 4.70%
WITHOUT WITH
SURRENDER SURRENDER
CHARGE CHARGE
ERV 1035.83 974.20
TOTAL RETURN 3.58% -2.58%
AVERAGE ANNUAL RETURN 3.41% -2.46%
Fidelity Asset Manager Growth
12/1997
Assume ($10000 @ $10.00 on 1/ 3/1995)
DATE DIV PR/SH REINVEST NAV REINVEST SHARES SHARE BASIS
(incl cap gain)
100.000000
12/95 0.5300000000 11.72 4.522 104.522184
2/96 0.4200000000 11.62 3.778 108.300095
12/96 0.5400000000 13.21 4.427 112.727199
2/97 0.0200000000 13.67 0.165 112.892126
M and E Charge = 0.0010833
Return for YTD
FUND GROSS ADMIN/
MONTH YEAR NAV SHARES VALUE MTHLY M&E ERV
12 1996 13.10 112.7271991 1476.72631 1000.00000
1 1997 13.66 112.7271991 1539.85354 1.08333 1041.66476
2 1997 13.77 112.8921255 1554.52457 1.12847 1050.46080
3 1997 13.12 112.8921255 1481.14469 1.13800 999.73678
4 1997 13.67 112.8921255 1543.23536 1.08305 1040.56343
5 1997 14.50 112.8921255 1636.93582 1.12728 1102.61593
6 1997 14.93 112.8921255 1685.47943 1.19450 1134.11970
7 1997 15.94 112.8921255 1799.50048 1.22863 1209.61317
8 1997 15.44 112.8921255 1743.05442 1.31041 1170.36006
9 1997 16.01 112.8921255 1807.40293 1.26789 1212.29846
10 1997 15.63 112.8921255 1764.50392 1.31332 1182.21103
11 1997 16.08 112.8921255 1815.30538 1.28073 1214.96709
12 1997 16.36 112.8921255 1846.91517 1.31621 1234.80702
SURRENDER CHARGE = 7.00%
FREE WITHDRAWAL AVAILABLE = 15.00% OF PRINCIPAL + 15.00% OF INTEREST
GROSS RETURN = 25.07%
WITHOUT WITH
SURRENDER SURRENDER
CHARGE CHARGE
ERV 1234.81 1161.34
TOTAL RETURN 23.48% 16.13%
Return for 1 Year
FUND GROSS ADMIN/
MONTH YEAR NAV SHARES VALUE MTHLY M&E ERV
12 1996 13.10 112.7271991 1476.72631 1000.00000
1 1997 13.66 112.7271991 1539.85354 1.08333 1041.66476
2 1997 13.77 112.8921255 1554.52457 1.12847 1050.46080
3 1997 13.12 112.8921255 1481.14469 1.13800 999.73678
4 1997 13.67 112.8921255 1543.23536 1.08305 1040.56343
5 1997 14.50 112.8921255 1636.93582 1.12728 1102.61593
6 1997 14.93 112.8921255 1685.47943 1.19450 1134.11970
7 1997 15.94 112.8921255 1799.50048 1.22863 1209.61317
8 1997 15.44 112.8921255 1743.05442 1.31041 1170.36006
9 1997 16.01 112.8921255 1807.40293 1.26789 1212.29846
10 1997 15.63 112.8921255 1764.50392 1.31332 1182.21103
11 1997 16.08 112.8921255 1815.30538 1.28073 1214.96709
12 1997 16.36 112.8921255 1846.91517 1.31621 1234.80702
SURRENDER CHARGE = 7.00%
FREE WITHDRAWAL AVAILABLE = 15.00% OF PRINCIPAL + 15.00% OF INTEREST
GROSS RETURN = 25.07%
WITHOUT WITH
SURRENDER SURRENDER
CHARGE CHARGE
ERV 1234.81 1161.34
TOTAL RETURN 23.48% 16.13%
Return for 3 Years
FUND GROSS ADMIN/
MONTH YEAR NAV SHARES VALUE MTHLY M&E ERV
12 1994 10.00 100.0000000 1000.00000 1000.00000
1 1995 10.02 100.0000000 1002.00000 1.08333 1000.91667
2 1995 10.17 100.0000000 1017.00000 1.08433 1014.81612
3 1995 10.31 100.0000000 1031.00000 1.09938 1027.68668
4 1995 10.58 100.0000000 1058.00000 1.11333 1053.48658
5 1995 10.73 100.0000000 1073.00000 1.14128 1067.28131
6 1995 11.16 100.0000000 1116.00000 1.15622 1108.89592
7 1995 11.57 100.0000000 1157.00000 1.20130 1148.43362
8 1995 12.09 100.0000000 1209.00000 1.24414 1198.80448
9 1995 12.27 100.0000000 1227.00000 1.29870 1215.35398
10 1995 11.80 100.0000000 1180.00000 1.31663 1167.48344
11 1995 12.01 100.0000000 1201.00000 1.26477 1186.99592
12 1995 11.78 104.5221843 1231.27133 1.28591 1215.62836
1 1996 12.05 104.5221843 1259.49232 1.31693 1242.17388
2 1996 11.67 108.3000946 1263.86210 1.34569 1245.13789
3 1996 11.88 108.3000946 1286.60512 1.34890 1266.19507
4 1996 12.16 108.3000946 1316.92915 1.37171 1294.66634
5 1996 12.35 108.3000946 1337.50617 1.40256 1313.49295
6 1996 12.40 108.3000946 1342.92117 1.42295 1317.38778
7 1996 12.09 108.3000946 1309.34814 1.42717 1283.02592
8 1996 12.18 108.3000946 1319.09515 1.38994 1291.18703
9 1996 12.68 108.3000946 1373.24520 1.39879 1342.79264
10 1996 13.05 108.3000946 1413.31623 1.45469 1380.52039
11 1996 13.90 108.3000946 1505.37131 1.49556 1468.94377
12 1996 13.10 112.7271991 1476.72631 1.59136 1439.40057
1 1997 13.66 112.7271991 1539.85354 1.55935 1499.37285
2 1997 13.77 112.8921255 1554.52457 1.62432 1512.03388
3 1997 13.12 112.8921255 1481.14469 1.63804 1439.02169
4 1997 13.67 112.8921255 1543.23536 1.55894 1497.78760
5 1997 14.50 112.8921255 1636.93582 1.62260 1587.10601
6 1997 14.93 112.8921255 1685.47943 1.71936 1632.45255
7 1997 15.94 112.8921255 1799.50048 1.76849 1741.11789
8 1997 15.44 112.8921255 1743.05442 1.88621 1684.61694
9 1997 16.01 112.8921255 1807.40293 1.82500 1744.98310
10 1997 15.63 112.8921255 1764.50392 1.89040 1701.67524
11 1997 16.08 112.8921255 1815.30538 1.84348 1748.82433
12 1997 16.36 112.8921255 1846.91517 1.89456 1777.38194
SURRENDER CHARGE = 5.00%
FREE WITHDRAWAL AVAILABLE = 15.00% OF PRINCIPAL + 15.00% OF INTEREST
GROSS RETURN = 84.69%
GROSS ANNUAL RETURN = 22.69%
WITHOUT WITH
SURRENDER SURRENDER
CHARGE CHARGE
ERV 1777.38 1701.84
TOTAL RETURN 77.74% 70.18%
AVERAGE ANNUAL RETURN 21.13% 19.39%
Return for Inception
FUND GROSS ADMIN/
MONTH YEAR NAV SHARES VALUE MTHLY M&E ERV
12 1994 10.00 100.0000000 1000.00000 1000.00000
1 1995 10.02 100.0000000 1002.00000 1.08333 1000.91667
2 1995 10.17 100.0000000 1017.00000 1.08433 1014.81612
3 1995 10.31 100.0000000 1031.00000 1.09938 1027.68668
4 1995 10.58 100.0000000 1058.00000 1.11333 1053.48658
5 1995 10.73 100.0000000 1073.00000 1.14128 1067.28131
6 1995 11.16 100.0000000 1116.00000 1.15622 1108.89592
7 1995 11.57 100.0000000 1157.00000 1.20130 1148.43362
8 1995 12.09 100.0000000 1209.00000 1.24414 1198.80448
9 1995 12.27 100.0000000 1227.00000 1.29870 1215.35398
10 1995 11.80 100.0000000 1180.00000 1.31663 1167.48344
11 1995 12.01 100.0000000 1201.00000 1.26477 1186.99592
12 1995 11.78 104.5221843 1231.27133 1.28591 1215.62836
1 1996 12.05 104.5221843 1259.49232 1.31693 1242.17388
2 1996 11.67 108.3000946 1263.86210 1.34569 1245.13789
3 1996 11.88 108.3000946 1286.60512 1.34890 1266.19507
4 1996 12.16 108.3000946 1316.92915 1.37171 1294.66634
5 1996 12.35 108.3000946 1337.50617 1.40256 1313.49295
6 1996 12.40 108.3000946 1342.92117 1.42295 1317.38778
7 1996 12.09 108.3000946 1309.34814 1.42717 1283.02592
8 1996 12.18 108.3000946 1319.09515 1.38994 1291.18703
9 1996 12.68 108.3000946 1373.24520 1.39879 1342.79264
10 1996 13.05 108.3000946 1413.31623 1.45469 1380.52039
11 1996 13.90 108.3000946 1505.37131 1.49556 1468.94377
12 1996 13.10 112.7271991 1476.72631 1.59136 1439.40057
1 1997 13.66 112.7271991 1539.85354 1.55935 1499.37285
2 1997 13.77 112.8921255 1554.52457 1.62432 1512.03388
3 1997 13.12 112.8921255 1481.14469 1.63804 1439.02169
4 1997 13.67 112.8921255 1543.23536 1.55894 1497.78760
5 1997 14.50 112.8921255 1636.93582 1.62260 1587.10601
6 1997 14.93 112.8921255 1685.47943 1.71936 1632.45255
7 1997 15.94 112.8921255 1799.50048 1.76849 1741.11789
8 1997 15.44 112.8921255 1743.05442 1.88621 1684.61694
9 1997 16.01 112.8921255 1807.40293 1.82500 1744.98310
10 1997 15.63 112.8921255 1764.50392 1.89040 1701.67524
11 1997 16.08 112.8921255 1815.30538 1.84348 1748.82433
12 1997 16.36 112.8921255 1846.91517 1.89456 1777.38194
SURRENDER CHARGE = 5.00%
FREE WITHDRAWAL AVAILABLE = 15.00% OF PRINCIPAL + 15.00% OF INTEREST
GROSS RETURN = 84.69%
GROSS ANNUAL RETURN = 22.76%
WITHOUT WITH
SURRENDER SURRENDER
CHARGE CHARGE
ERV 1777.38 1701.84
TOTAL RETURN 77.74% 70.18%
AVERAGE ANNUAL RETURN 21.20% 19.45%
Return for Product Inception
FUND GROSS ADMIN/
MONTH YEAR NAV SHARES VALUE MTHLY M&E ERV
12 1996 13.10 112.7271991 1476.72631 1000.00000
1 1997 13.66 112.7271991 1539.85354 1.08333 1041.66476
2 1997 13.77 112.8921255 1554.52457 1.12847 1050.46080
3 1997 13.12 112.8921255 1481.14469 1.13800 999.73678
4 1997 13.67 112.8921255 1543.23536 1.08305 1040.56343
5 1997 14.50 112.8921255 1636.93582 1.12728 1102.61593
6 1997 14.93 112.8921255 1685.47943 1.19450 1134.11970
7 1997 15.94 112.8921255 1799.50048 1.22863 1209.61317
8 1997 15.44 112.8921255 1743.05442 1.31041 1170.36006
9 1997 16.01 112.8921255 1807.40293 1.26789 1212.29846
10 1997 15.63 112.8921255 1764.50392 1.31332 1182.21103
11 1997 16.08 112.8921255 1815.30538 1.28073 1214.96709
12 1997 16.36 112.8921255 1846.91517 1.31621 1234.80702
SURRENDER CHARGE = 7.00%
FREE WITHDRAWAL AVAILABLE = 15.00% OF PRINCIPAL + 15.00% OF INTEREST
GROSS RETURN = 25.07%
GROSS ANNUAL RETURN = 23.76%
WITHOUT WITH
SURRENDER SURRENDER
CHARGE CHARGE
ERV 1234.81 1161.34
TOTAL RETURN 23.48% 16.13%
AVERAGE ANNUAL RETURN 22.26% 15.32%
Fidelity Contrafund
12/1997
Assume ($10000 @ $10.00 on 1/ 3/1995)
DATE DIV PR/SH REINVEST NAV REINVEST SHARES SHARE BASIS
(incl cap gain)
100.000000
12/95 0.1800000000 13.64 1.320 101.319648
2/96 0.1300000000 13.78 0.956 102.275494
2/97 0.5100000000 16.46 3.169 105.444419
M and E Charge = 0.0010833
Return for YTD
FUND GROSS ADMIN/
MONTH YEAR NAV SHARES VALUE MTHLY M&E ERV
12 1996 16.56 102.2754938 1693.68218 1000.00000
1 1997 17.20 102.2754938 1759.13849 1.08333 1037.56401
2 1997 16.22 105.4444186 1710.30847 1.12403 1007.63936
3 1997 15.80 105.4444186 1666.02181 1.09161 980.45598
4 1997 16.18 105.4444186 1706.09069 1.06216 1002.97441
5 1997 17.18 105.4444186 1811.53511 1.08656 1063.87638
6 1997 17.93 105.4444186 1890.61843 1.15253 1109.16781
7 1997 19.47 105.4444186 2053.00283 1.20160 1203.23216
8 1997 18.92 105.4444186 1995.00840 1.30350 1167.93905
9 1997 20.20 105.4444186 2129.97726 1.26527 1245.68869
10 1997 19.59 105.4444186 2065.65616 1.34950 1206.72186
11 1997 19.58 105.4444186 2064.60172 1.30728 1204.79859
12 1997 19.94 105.4444186 2102.56171 1.30520 1225.64495
SURRENDER CHARGE = 7.00%
FREE WITHDRAWAL AVAILABLE = 15.00% OF PRINCIPAL + 15.00% OF INTEREST
GROSS RETURN = 24.14%
WITHOUT WITH
SURRENDER SURRENDER
CHARGE CHARGE
ERV 1225.64 1152.72
TOTAL RETURN 22.56% 15.27%
Return for 1 Year
FUND GROSS ADMIN/
MONTH YEAR NAV SHARES VALUE MTHLY M&E ERV
12 1996 16.56 102.2754938 1693.68218 1000.00000
1 1997 17.20 102.2754938 1759.13849 1.08333 1037.56401
2 1997 16.22 105.4444186 1710.30847 1.12403 1007.63936
3 1997 15.80 105.4444186 1666.02181 1.09161 980.45598
4 1997 16.18 105.4444186 1706.09069 1.06216 1002.97441
5 1997 17.18 105.4444186 1811.53511 1.08656 1063.87638
6 1997 17.93 105.4444186 1890.61843 1.15253 1109.16781
7 1997 19.47 105.4444186 2053.00283 1.20160 1203.23216
8 1997 18.92 105.4444186 1995.00840 1.30350 1167.93905
9 1997 20.20 105.4444186 2129.97726 1.26527 1245.68869
10 1997 19.59 105.4444186 2065.65616 1.34950 1206.72186
11 1997 19.58 105.4444186 2064.60172 1.30728 1204.79859
12 1997 19.94 105.4444186 2102.56171 1.30520 1225.64495
SURRENDER CHARGE = 7.00%
FREE WITHDRAWAL AVAILABLE = 15.00% OF PRINCIPAL + 15.00% OF INTEREST
GROSS RETURN = 24.14%
WITHOUT WITH
SURRENDER SURRENDER
CHARGE CHARGE
ERV 1225.64 1152.72
TOTAL RETURN 22.56% 15.27%
Return for 3 Years
FUND GROSS ADMIN/
MONTH YEAR NAV SHARES VALUE MTHLY M&E ERV
12 1994 10.00 100.0000000 1000.00000 1000.00000
1 1995 9.87 100.0000000 987.00000 1.08333 985.91667
2 1995 10.37 100.0000000 1037.00000 1.06808 1034.79371
3 1995 10.89 100.0000000 1089.00000 1.12103 1085.56205
4 1995 11.48 100.0000000 1148.00000 1.17603 1143.19976
5 1995 11.73 100.0000000 1173.00000 1.23847 1166.85676
6 1995 12.50 100.0000000 1250.00000 1.26409 1242.18940
7 1995 13.47 100.0000000 1347.00000 1.34571 1337.23759
8 1995 13.64 100.0000000 1364.00000 1.44867 1352.66571
9 1995 13.94 100.0000000 1394.00000 1.46539 1380.95104
10 1995 13.65 100.0000000 1365.00000 1.49603 1350.72647
11 1995 13.90 100.0000000 1390.00000 1.46329 1374.00176
12 1995 13.78 101.3196481 1396.18475 1.48850 1378.62683
1 1996 13.89 101.3196481 1407.32991 1.49351 1388.13832
2 1996 13.81 102.2754938 1412.42457 1.50382 1391.65969
3 1996 14.26 102.2754938 1458.44854 1.50763 1435.49940
4 1996 14.73 102.2754938 1506.51802 1.55512 1481.25737
5 1996 14.90 102.2754938 1523.90486 1.60470 1496.74797
6 1996 14.78 102.2754938 1511.63180 1.62148 1483.07215
7 1996 14.09 102.2754938 1441.06171 1.60666 1412.22870
8 1996 14.63 102.2754938 1496.29047 1.52991 1464.82252
9 1996 15.25 102.2754938 1559.70128 1.58689 1525.31287
10 1996 15.72 102.2754938 1607.77076 1.65242 1570.67009
11 1996 16.66 102.2754938 1703.90973 1.70156 1662.88901
12 1996 16.56 102.2754938 1693.68218 1.80146 1651.10622
1 1997 17.20 102.2754938 1759.13849 1.78870 1713.12839
2 1997 16.22 105.4444186 1710.30847 1.85589 1663.71962
3 1997 15.80 105.4444186 1666.02181 1.80236 1618.83697
4 1997 16.18 105.4444186 1706.09069 1.75374 1656.01728
5 1997 17.18 105.4444186 1811.53511 1.79402 1756.57291
6 1997 17.93 105.4444186 1890.61843 1.90295 1831.35387
7 1997 19.47 105.4444186 2053.00283 1.98397 1986.66410
8 1997 18.92 105.4444186 1995.00840 2.15222 1928.39143
9 1997 20.20 105.4444186 2129.97726 2.08909 2056.76434
10 1997 19.59 105.4444186 2065.65616 2.22816 1992.42597
11 1997 19.58 105.4444186 2064.60172 2.15846 1989.25044
12 1997 19.94 105.4444186 2102.56171 2.15502 2023.67000
SURRENDER CHARGE = 5.00%
FREE WITHDRAWAL AVAILABLE = 15.00% OF PRINCIPAL + 15.00% OF INTEREST
GROSS RETURN = 110.26%
GROSS ANNUAL RETURN = 28.11%
WITHOUT WITH
SURRENDER SURRENDER
CHARGE CHARGE
ERV 2023.67 1937.66
TOTAL RETURN 102.37% 93.77%
AVERAGE ANNUAL RETURN 26.49% 24.67%
Return for Inception
FUND GROSS ADMIN/
MONTH YEAR NAV SHARES VALUE MTHLY M&E ERV
12 1994 10.00 100.0000000 1000.00000 1000.00000
1 1995 9.87 100.0000000 987.00000 1.08333 985.91667
2 1995 10.37 100.0000000 1037.00000 1.06808 1034.79371
3 1995 10.89 100.0000000 1089.00000 1.12103 1085.56205
4 1995 11.48 100.0000000 1148.00000 1.17603 1143.19976
5 1995 11.73 100.0000000 1173.00000 1.23847 1166.85676
6 1995 12.50 100.0000000 1250.00000 1.26409 1242.18940
7 1995 13.47 100.0000000 1347.00000 1.34571 1337.23759
8 1995 13.64 100.0000000 1364.00000 1.44867 1352.66571
9 1995 13.94 100.0000000 1394.00000 1.46539 1380.95104
10 1995 13.65 100.0000000 1365.00000 1.49603 1350.72647
11 1995 13.90 100.0000000 1390.00000 1.46329 1374.00176
12 1995 13.78 101.3196481 1396.18475 1.48850 1378.62683
1 1996 13.89 101.3196481 1407.32991 1.49351 1388.13832
2 1996 13.81 102.2754938 1412.42457 1.50382 1391.65969
3 1996 14.26 102.2754938 1458.44854 1.50763 1435.49940
4 1996 14.73 102.2754938 1506.51802 1.55512 1481.25737
5 1996 14.90 102.2754938 1523.90486 1.60470 1496.74797
6 1996 14.78 102.2754938 1511.63180 1.62148 1483.07215
7 1996 14.09 102.2754938 1441.06171 1.60666 1412.22870
8 1996 14.63 102.2754938 1496.29047 1.52991 1464.82252
9 1996 15.25 102.2754938 1559.70128 1.58689 1525.31287
10 1996 15.72 102.2754938 1607.77076 1.65242 1570.67009
11 1996 16.66 102.2754938 1703.90973 1.70156 1662.88901
12 1996 16.56 102.2754938 1693.68218 1.80146 1651.10622
1 1997 17.20 102.2754938 1759.13849 1.78870 1713.12839
2 1997 16.22 105.4444186 1710.30847 1.85589 1663.71962
3 1997 15.80 105.4444186 1666.02181 1.80236 1618.83697
4 1997 16.18 105.4444186 1706.09069 1.75374 1656.01728
5 1997 17.18 105.4444186 1811.53511 1.79402 1756.57291
6 1997 17.93 105.4444186 1890.61843 1.90295 1831.35387
7 1997 19.47 105.4444186 2053.00283 1.98397 1986.66410
8 1997 18.92 105.4444186 1995.00840 2.15222 1928.39143
9 1997 20.20 105.4444186 2129.97726 2.08909 2056.76434
10 1997 19.59 105.4444186 2065.65616 2.22816 1992.42597
11 1997 19.58 105.4444186 2064.60172 2.15846 1989.25044
12 1997 19.94 105.4444186 2102.56171 2.15502 2023.67000
SURRENDER CHARGE = 5.00%
FREE WITHDRAWAL AVAILABLE = 15.00% OF PRINCIPAL + 15.00% OF INTEREST
GROSS RETURN = 110.26%
GROSS ANNUAL RETURN = 28.20%
WITHOUT WITH
SURRENDER SURRENDER
CHARGE CHARGE
ERV 2023.67 1937.66
TOTAL RETURN 102.37% 93.77%
AVERAGE ANNUAL RETURN 26.57% 24.74%
Return for Product Inception
FUND GROSS ADMIN/
MONTH YEAR NAV SHARES VALUE MTHLY M&E ERV
12 1996 16.56 102.2754938 1693.68218 1000.00000
1 1997 17.20 102.2754938 1759.13849 1.08333 1037.56401
2 1997 16.22 105.4444186 1710.30847 1.12403 1007.63936
3 1997 15.80 105.4444186 1666.02181 1.09161 980.45598
4 1997 16.18 105.4444186 1706.09069 1.06216 1002.97441
5 1997 17.18 105.4444186 1811.53511 1.08656 1063.87638
6 1997 17.93 105.4444186 1890.61843 1.15253 1109.16781
7 1997 19.47 105.4444186 2053.00283 1.20160 1203.23216
8 1997 18.92 105.4444186 1995.00840 1.30350 1167.93905
9 1997 20.20 105.4444186 2129.97726 1.26527 1245.68869
10 1997 19.59 105.4444186 2065.65616 1.34950 1206.72186
11 1997 19.58 105.4444186 2064.60172 1.30728 1204.79859
12 1997 19.94 105.4444186 2102.56171 1.30520 1225.64495
SURRENDER CHARGE = 7.00%
FREE WITHDRAWAL AVAILABLE = 15.00% OF PRINCIPAL + 15.00% OF INTEREST
GROSS RETURN = 24.14%
GROSS ANNUAL RETURN = 22.89%
WITHOUT WITH
SURRENDER SURRENDER
CHARGE CHARGE
ERV 1225.64 1152.72
TOTAL RETURN 22.56% 15.27%
AVERAGE ANNUAL RETURN 21.40% 14.50%
Fidelity Equity Income Fund
12/1997
Assume ($10000 @ $10.00 on 10/ 9/1986)
DATE DIV PR/SH REINVEST NAV REINVEST SHARES SHARE BASIS
(incl cap gain)
100.000000
3/87 0.0700000000 11.62 0.602 100.602410
6/87 0.1200000000 11.72 1.030 101.632468
9/87 0.1200000000 11.80 1.034 102.666019
12/87 0.2300000000 9.45 2.499 105.164769
3/88 0.1400000000 10.60 1.389 106.553737
6/88 0.1400000000 10.89 1.370 107.923574
9/88 0.1400000000 10.87 1.390 109.313574
12/88 0.1100000000 10.95 1.098 110.411701
3/89 0.2200000000 11.56 2.101 112.512962
6/89 0.1300000000 12.49 1.171 113.684034
9/89 0.1300000000 12.93 1.143 114.827029
12/89 0.1300000000 12.03 1.241 116.067886
2/90 0.3900000000 11.20 4.042 120.109536
3/90 0.2000000000 11.05 2.174 122.283464
6/90 0.1300000000 11.24 1.414 123.697774
9/90 0.1300000000 9.67 1.663 125.360723
12/90 0.1300000000 9.57 1.703 127.063638
3/91 0.2300000000 10.60 2.757 129.820679
6/91 0.1200000000 11.10 1.403 131.224146
9/91 0.1200000000 11.38 1.384 132.607880
12/91 0.1200000000 11.18 1.423 134.031220
3/92 0.1200000000 12.33 1.304 135.335660
6/92 0.1000000000 12.45 1.087 136.422694
9/92 0.1000000000 12.56 1.086 137.508862
12/92 0.1000000000 13.29 1.035 138.543541
3/93 0.1000000000 14.36 0.965 139.508329
6/93 0.1000000000 14.40 0.969 140.477137
9/93 0.1000000000 15.18 0.925 141.402546
12/93 0.0900000000 15.29 0.832 142.234870
2/94 0.7700000000 15.04 7.282 149.516841
3/94 0.1000000000 14.97 0.999 150.515618
6/94 0.0900000000 14.96 0.906 151.421126
9/94 0.0900000000 15.79 0.863 152.284198
12/94 0.0900000000 15.34 0.893 153.177651
2/95 0.7800000000 15.11 7.907 161.084903
3/95 0.1000000000 15.60 1.033 162.117498
6/95 0.1000000000 16.78 0.966 163.083633
9/95 0.1000000000 18.32 0.890 163.973828
12/95 0.1000000000 19.01 0.863 164.836394
2/96 0.8900000000 18.86 7.779 172.614994
2/97 2.1700000000 19.80 18.918 191.532900
M and E Charge = 0.0010833
Return for YTD
FUND GROSS ADMIN/
MONTH YEAR NAV SHARES VALUE MTHLY M&E ERV
12 1996 21.03 172.6149937 3630.09332 1000.00000
1 1997 21.85 172.6149937 3771.63761 1.08333 1037.90858
2 1997 19.91 191.5328996 3813.42003 1.12440 1048.28219
3 1997 19.17 191.5328996 3671.68569 1.13564 1008.18478
4 1997 19.85 191.5328996 3801.92806 1.09220 1042.85501
5 1997 21.08 191.5328996 4037.51352 1.12976 1106.34548
6 1997 22.06 191.5328996 4225.21577 1.19854 1156.58046
7 1997 23.67 191.5328996 4533.58373 1.25296 1239.73795
8 1997 22.56 191.5328996 4320.98221 1.34305 1180.25763
9 1997 23.80 191.5328996 4558.48301 1.27861 1243.85134
10 1997 22.93 191.5328996 4391.84939 1.34751 1197.03532
11 1997 23.77 191.5328996 4552.73702 1.29679 1239.58980
12 1997 24.28 191.5328996 4650.41880 1.34289 1264.84307
SURRENDER CHARGE = 7.00%
FREE WITHDRAWAL AVAILABLE = 15.00% OF PRINCIPAL + 15.00% OF INTEREST
GROSS RETURN = 28.11%
WITHOUT WITH
SURRENDER SURRENDER
CHARGE CHARGE
ERV 1264.84 1189.58
TOTAL RETURN 26.48% 18.96%
Return for 1 Year
FUND GROSS ADMIN/
MONTH YEAR NAV SHARES VALUE MTHLY M&E ERV
12 1996 21.03 172.6149937 3630.09332 1000.00000
1 1997 21.85 172.6149937 3771.63761 1.08333 1037.90858
2 1997 19.91 191.5328996 3813.42003 1.12440 1048.28219
3 1997 19.17 191.5328996 3671.68569 1.13564 1008.18478
4 1997 19.85 191.5328996 3801.92806 1.09220 1042.85501
5 1997 21.08 191.5328996 4037.51352 1.12976 1106.34548
6 1997 22.06 191.5328996 4225.21577 1.19854 1156.58046
7 1997 23.67 191.5328996 4533.58373 1.25296 1239.73795
8 1997 22.56 191.5328996 4320.98221 1.34305 1180.25763
9 1997 23.80 191.5328996 4558.48301 1.27861 1243.85134
10 1997 22.93 191.5328996 4391.84939 1.34751 1197.03532
11 1997 23.77 191.5328996 4552.73702 1.29679 1239.58980
12 1997 24.28 191.5328996 4650.41880 1.34289 1264.84307
SURRENDER CHARGE = 7.00%
FREE WITHDRAWAL AVAILABLE = 15.00% OF PRINCIPAL + 15.00% OF INTEREST
GROSS RETURN = 28.11%
WITHOUT WITH
SURRENDER SURRENDER
CHARGE CHARGE
ERV 1264.84 1189.58
TOTAL RETURN 26.48% 18.96%
Return for 3 Years
FUND GROSS ADMIN/
MONTH YEAR NAV SHARES VALUE MTHLY M&E ERV
12 1994 15.35 153.1776512 2351.27695 1000.00000
1 1995 15.59 153.1776512 2388.03958 1.08333 1014.55185
2 1995 15.39 161.0849025 2479.09665 1.09910 1052.13809
3 1995 15.82 162.1174981 2564.69882 1.13982 1087.32816
4 1995 16.26 162.1174981 2636.03052 1.17794 1116.39196
5 1995 16.75 162.1174981 2715.46809 1.20942 1148.82535
6 1995 16.89 163.0836333 2754.48257 1.24456 1164.08653
7 1995 17.54 163.0836333 2860.48693 1.26109 1207.62450
8 1995 17.76 163.0836333 2896.36533 1.30826 1221.46318
9 1995 18.25 163.9738278 2992.52236 1.32325 1260.69154
10 1995 18.04 163.9738278 2958.08785 1.36575 1244.81920
11 1995 18.82 163.9738278 3085.98744 1.34855 1297.29321
12 1995 19.27 164.8363940 3176.39731 1.40540 1333.89448
1 1996 19.83 164.8363940 3268.70569 1.44505 1371.21336
2 1996 19.00 172.6149937 3279.68488 1.48548 1374.33362
3 1996 19.20 172.6149937 3314.20788 1.48886 1387.31142
4 1996 19.45 172.6149937 3357.36163 1.50292 1403.87246
5 1996 19.66 172.6149937 3393.61078 1.52086 1417.50909
6 1996 19.48 172.6149937 3362.54008 1.53563 1402.99524
7 1996 18.53 172.6149937 3198.55583 1.51991 1333.05410
8 1996 18.91 172.6149937 3264.14953 1.44414 1358.94728
9 1996 19.72 172.6149937 3403.96768 1.47219 1415.68489
10 1996 20.04 172.6149937 3459.20447 1.53366 1437.12380
11 1996 21.38 172.6149937 3690.50857 1.55688 1531.66202
12 1996 21.03 172.6149937 3630.09332 1.65930 1504.92874
1 1997 21.85 172.6149937 3771.63761 1.63034 1561.97846
2 1997 19.91 191.5328996 3813.42003 1.69214 1577.59000
3 1997 19.17 191.5328996 3671.68569 1.70906 1517.24626
4 1997 19.85 191.5328996 3801.92806 1.64368 1569.42248
5 1997 21.08 191.5328996 4037.51352 1.70021 1664.97112
6 1997 22.06 191.5328996 4225.21577 1.80372 1740.57118
7 1997 23.67 191.5328996 4533.58373 1.88562 1865.71727
8 1997 22.56 191.5328996 4320.98221 2.02119 1776.20363
9 1997 23.80 191.5328996 4558.48301 1.92422 1871.90763
10 1997 22.93 191.5328996 4391.84939 2.02790 1801.45285
11 1997 23.77 191.5328996 4552.73702 1.95157 1865.49432
12 1997 24.28 191.5328996 4650.41880 2.02095 1903.49870
SURRENDER CHARGE = 5.00%
FREE WITHDRAWAL AVAILABLE = 15.00% OF PRINCIPAL + 15.00% OF INTEREST
GROSS RETURN = 97.78%
GROSS ANNUAL RETURN = 25.52%
WITHOUT WITH
SURRENDER SURRENDER
CHARGE CHARGE
ERV 1903.50 1822.60
TOTAL RETURN 90.35% 82.26%
AVERAGE ANNUAL RETURN 23.93% 22.15%
Return for 5 Years
FUND GROSS ADMIN/
MONTH YEAR NAV SHARES VALUE MTHLY M&E ERV
12 1992 13.40 138.5435409 1856.48345 1000.00000
1 1993 13.80 138.5435409 1911.90087 1.08333 1028.76741
2 1993 14.11 138.5435409 1954.84936 1.11450 1050.76291
3 1993 14.43 139.5083288 2013.10519 1.13833 1080.93802
4 1993 14.37 139.5083288 2004.73469 1.17102 1075.27246
5 1993 14.63 139.5083288 2041.00685 1.16488 1093.56275
6 1993 14.70 140.4771367 2065.01391 1.18469 1105.24094
7 1993 14.90 140.4771367 2093.10934 1.19734 1119.08089
8 1993 15.47 140.4771367 2173.18130 1.21234 1160.67903
9 1993 15.31 141.4025460 2164.87298 1.25740 1154.98421
10 1993 15.45 141.4025460 2184.66934 1.25123 1164.29456
11 1993 15.18 141.4025460 2146.49065 1.26132 1142.68635
12 1993 15.44 142.2348697 2196.10639 1.23791 1167.86142
1 1994 16.12 142.2348697 2292.82610 1.26518 1218.03055
2 1994 14.94 149.5168411 2233.78161 1.31953 1185.34449
3 1994 14.22 150.5156176 2140.33208 1.28412 1134.47187
4 1994 14.71 150.5156176 2214.08473 1.22901 1172.33506
5 1994 14.85 150.5156176 2235.15692 1.27003 1182.22254
6 1994 14.67 151.4211260 2221.34792 1.28074 1173.63792
7 1994 15.16 151.4211260 2295.54427 1.27144 1211.56775
8 1994 15.94 151.4211260 2413.65275 1.31253 1272.59181
9 1994 15.59 152.2841976 2374.11064 1.37864 1250.36471
10 1994 15.91 152.2841976 2422.84158 1.35456 1274.67510
11 1994 15.39 152.2841976 2343.65380 1.38090 1231.63292
12 1994 15.35 153.1776512 2351.27695 1.33427 1234.30475
1 1995 15.59 153.1776512 2388.03958 1.33716 1252.26616
2 1995 15.39 161.0849025 2479.09665 1.35662 1298.65904
3 1995 15.82 162.1174981 2564.69882 1.40688 1342.09431
4 1995 16.26 162.1174981 2636.03052 1.45394 1377.96790
5 1995 16.75 162.1174981 2715.46809 1.49280 1418.00058
6 1995 16.89 163.0836333 2754.48257 1.53617 1436.83753
7 1995 17.54 163.0836333 2860.48693 1.55657 1490.57666
8 1995 17.76 163.0836333 2896.36533 1.61479 1507.65781
9 1995 18.25 163.9738278 2992.52236 1.63330 1556.07756
10 1995 18.04 163.9738278 2958.08785 1.68575 1536.48626
11 1995 18.82 163.9738278 3085.98744 1.66453 1601.25517
12 1995 19.27 164.8363940 3176.39731 1.73469 1646.43230
1 1996 19.83 164.8363940 3268.70569 1.78363 1692.49516
2 1996 19.00 172.6149937 3279.68488 1.83354 1696.34651
3 1996 19.20 172.6149937 3314.20788 1.83771 1712.36508
4 1996 19.45 172.6149937 3357.36163 1.85506 1732.80644
5 1996 19.66 172.6149937 3393.61078 1.87721 1749.63820
6 1996 19.48 172.6149937 3362.54008 1.89544 1731.72369
7 1996 18.53 172.6149937 3198.55583 1.87603 1645.39501
8 1996 18.91 172.6149937 3264.14953 1.78251 1677.35509
9 1996 19.72 172.6149937 3403.96768 1.81713 1747.38658
10 1996 20.04 172.6149937 3459.20447 1.89300 1773.84874
11 1996 21.38 172.6149937 3690.50857 1.92167 1890.53771
12 1996 21.03 172.6149937 3630.09332 2.04808 1857.54070
1 1997 21.85 172.6149937 3771.63761 2.01234 1927.95743
2 1997 19.91 191.5328996 3813.42003 2.08862 1947.22683
3 1997 19.17 191.5328996 3671.68569 2.10950 1872.74427
4 1997 19.85 191.5328996 3801.92806 2.02881 1937.14562
5 1997 21.08 191.5328996 4037.51352 2.09857 2055.08176
6 1997 22.06 191.5328996 4225.21577 2.22634 2148.39528
7 1997 23.67 191.5328996 4533.58373 2.32743 2302.86369
8 1997 22.56 191.5328996 4320.98221 2.49477 2192.37658
9 1997 23.80 191.5328996 4558.48301 2.37507 2310.50448
10 1997 22.93 191.5328996 4391.84939 2.50305 2223.54181
11 1997 23.77 191.5328996 4552.73702 2.40884 2302.58850
12 1997 24.28 191.5328996 4650.41880 2.49447 2349.49748
SURRENDER CHARGE = 3.00%
FREE WITHDRAWAL AVAILABLE = 15.00% OF PRINCIPAL + 15.00% OF INTEREST
GROSS RETURN = 150.50%
GROSS ANNUAL RETURN = 20.16%
WITHOUT WITH
SURRENDER SURRENDER
CHARGE CHARGE
ERV 2349.50 2289.59
TOTAL RETURN 134.95% 128.96%
AVERAGE ANNUAL RETURN 18.63% 18.02%
Return for 10 Years
FUND GROSS ADMIN/
MONTH YEAR NAV SHARES VALUE MTHLY M&E ERV
12 1987 9.42 105.1647686 990.65212 1000.00000
1 1988 10.09 105.1647686 1061.11252 1.08333 1070.04193
2 1988 10.59 105.1647686 1113.69490 1.15921 1121.90759
3 1988 10.27 106.5537373 1094.30688 1.21540 1101.16120
4 1988 10.44 106.5537373 1112.42102 1.19292 1118.19587
5 1988 10.58 106.5537373 1127.33854 1.21138 1131.97946
6 1988 11.04 107.9235741 1191.47626 1.22631 1195.15490
7 1988 11.02 107.9235741 1189.31779 1.29475 1191.69501
8 1988 10.88 107.9235741 1174.20849 1.29100 1175.26451
9 1988 11.01 109.3135742 1203.54245 1.27320 1203.35165
10 1988 11.20 109.3135742 1224.31203 1.30363 1222.81431
11 1988 11.02 109.3135742 1204.63559 1.32472 1201.83722
12 1988 11.01 110.4117014 1215.63283 1.30199 1211.50693
1 1989 11.69 110.4117014 1290.71279 1.31247 1285.01960
2 1989 11.68 110.4117014 1289.60867 1.39210 1282.52824
3 1989 11.66 112.5129621 1311.90114 1.38941 1303.30891
4 1989 12.11 112.5129621 1362.53197 1.41192 1352.19622
5 1989 12.47 112.5129621 1403.03664 1.46488 1390.92875
6 1989 12.35 113.6840338 1403.99782 1.50684 1390.37480
7 1989 13.07 113.6840338 1485.85032 1.50624 1469.92685
8 1989 13.28 113.6840338 1509.72397 1.59242 1491.95223
9 1989 13.00 114.8270287 1492.75137 1.61628 1473.56314
10 1989 12.25 114.8270287 1406.63110 1.59636 1386.95352
11 1989 12.32 114.8270287 1414.66899 1.50253 1393.37644
12 1989 12.29 116.0678861 1426.47432 1.50949 1403.49459
1 1990 11.46 116.0678861 1330.13797 1.52045 1307.18972
2 1990 11.14 120.1095357 1338.02023 1.41612 1313.51986
3 1990 10.96 122.2834639 1340.22676 1.42298 1314.26301
4 1990 10.58 122.2834639 1293.75905 1.42378 1267.27172
5 1990 11.28 122.2834639 1379.35747 1.37288 1349.74479
6 1990 11.04 123.6977744 1365.62343 1.46222 1334.84338
7 1990 10.77 123.6977744 1332.22503 1.44608 1300.75167
8 1990 9.91 123.6977744 1225.84494 1.40915 1195.47563
9 1990 9.02 125.3607228 1130.75372 1.29510 1101.44511
10 1990 8.79 125.3607228 1101.92075 1.19323 1072.16625
11 1990 9.42 125.3607228 1180.89801 1.16151 1147.84942
12 1990 9.51 127.0636375 1208.37519 1.24350 1173.31412
1 1991 10.02 127.0636375 1273.17765 1.27109 1234.96524
2 1991 10.71 127.0636375 1360.85156 1.33788 1318.66988
3 1991 10.70 129.8206787 1389.08126 1.42856 1344.59600
4 1991 10.75 129.8206787 1395.57230 1.45665 1349.42251
5 1991 11.34 129.8206787 1472.16650 1.46187 1422.02197
6 1991 10.76 131.2241455 1411.97181 1.54052 1362.33709
7 1991 11.37 131.2241455 1492.01853 1.47587 1438.09409
8 1991 11.61 131.2241455 1523.51233 1.55794 1466.89170
9 1991 11.41 132.6078799 1513.05591 1.58913 1455.23476
10 1991 11.60 132.6078799 1538.25141 1.57650 1477.89091
11 1991 11.10 132.6078799 1471.94747 1.60105 1412.58767
12 1991 11.85 134.0312203 1588.26996 1.53030 1522.68887
1 1992 12.01 134.0312203 1609.71496 1.64958 1541.59881
2 1992 12.40 134.0312203 1661.98713 1.67007 1589.98899
3 1992 12.13 135.3356604 1641.62156 1.72249 1568.78317
4 1992 12.51 135.3356604 1693.04911 1.69952 1616.22938
5 1992 12.61 135.3356604 1706.58268 1.75092 1627.39796
6 1992 12.40 136.4226938 1691.64140 1.76301 1611.38694
7 1992 12.78 136.4226938 1743.48203 1.74567 1659.02249
8 1992 12.50 136.4226938 1705.28367 1.79727 1620.87730
9 1992 12.53 137.5088618 1722.98604 1.75595 1635.94750
10 1992 12.68 137.5088618 1743.61237 1.77228 1653.75960
11 1992 13.14 137.5088618 1806.86644 1.79157 1711.96246
12 1992 13.40 138.5435409 1856.48345 1.85463 1757.11875
1 1993 13.80 138.5435409 1911.90087 1.90355 1807.66651
2 1993 14.11 138.5435409 1954.84936 1.95831 1846.31520
3 1993 14.43 139.5083288 2013.10519 2.00017 1899.33646
4 1993 14.37 139.5083288 2004.73469 2.05761 1889.38140
5 1993 14.63 139.5083288 2041.00685 2.04683 1921.51962
6 1993 14.70 140.4771367 2065.01391 2.08165 1942.03958
7 1993 14.90 140.4771367 2093.10934 2.10388 1966.35801
8 1993 15.47 140.4771367 2173.18130 2.13022 2039.45088
9 1993 15.31 141.4025460 2164.87298 2.20941 2029.44442
10 1993 15.45 141.4025460 2184.66934 2.19856 2045.80380
11 1993 15.18 141.4025460 2146.49065 2.21629 2007.83560
12 1993 15.44 142.2348697 2196.10639 2.17516 2052.07120
1 1994 16.12 142.2348697 2292.82610 2.22308 2140.22432
2 1994 14.94 149.5168411 2233.78161 2.31858 2082.79103
3 1994 14.22 150.5156176 2140.33208 2.25636 1993.40179
4 1994 14.71 150.5156176 2214.08473 2.15952 2059.93192
5 1994 14.85 150.5156176 2235.15692 2.23159 2077.30539
6 1994 14.67 151.4211260 2221.34792 2.25041 2062.22119
7 1994 15.16 151.4211260 2295.54427 2.23407 2128.86840
8 1994 15.94 151.4211260 2413.65275 2.30627 2236.09494
9 1994 15.59 152.2841976 2374.11064 2.42244 2197.03927
10 1994 15.91 152.2841976 2422.84158 2.38013 2239.75552
11 1994 15.39 152.2841976 2343.65380 2.42640 2164.12529
12 1994 15.35 153.1776512 2351.27695 2.34447 2168.82002
1 1995 15.59 153.1776512 2388.03958 2.34955 2200.38035
2 1995 15.39 161.0849025 2479.09665 2.38375 2281.89814
3 1995 15.82 162.1174981 2564.69882 2.47206 2358.21907
4 1995 16.26 162.1174981 2636.03052 2.55474 2421.25324
5 1995 16.75 162.1174981 2715.46809 2.62302 2491.59541
6 1995 16.89 163.0836333 2754.48257 2.69923 2524.69416
7 1995 17.54 163.0836333 2860.48693 2.73509 2619.12019
8 1995 17.76 163.0836333 2896.36533 2.83738 2649.13381
9 1995 18.25 163.9738278 2992.52236 2.86989 2734.21305
10 1995 18.04 163.9738278 2958.08785 2.96206 2699.78881
11 1995 18.82 163.9738278 3085.98744 2.92477 2813.59548
12 1995 19.27 164.8363940 3176.39731 3.04806 2892.97705
1 1996 19.83 164.8363940 3268.70569 3.13406 2973.91498
2 1996 19.00 172.6149937 3279.68488 3.22174 2980.68226
3 1996 19.20 172.6149937 3314.20788 3.22907 3008.82879
4 1996 19.45 172.6149937 3357.36163 3.25956 3044.74669
5 1996 19.66 172.6149937 3393.61078 3.29848 3074.32208
6 1996 19.48 172.6149937 3362.54008 3.33052 3042.84416
7 1996 18.53 172.6149937 3198.55583 3.29641 2891.15442
8 1996 18.91 172.6149937 3264.14953 3.13208 2947.31207
9 1996 19.72 172.6149937 3403.96768 3.19292 3070.36572
10 1996 20.04 172.6149937 3459.20447 3.32623 3116.86287
11 1996 21.38 172.6149937 3690.50857 3.37660 3321.89926
12 1996 21.03 172.6149937 3630.09332 3.59872 3263.91958
1 1997 21.85 172.6149937 3771.63761 3.53591 3387.65015
2 1997 19.91 191.5328996 3813.42003 3.66995 3421.50878
3 1997 19.17 191.5328996 3671.68569 3.70663 3290.63406
4 1997 19.85 191.5328996 3801.92806 3.56485 3403.79488
5 1997 21.08 191.5328996 4037.51352 3.68744 3611.02269
6 1997 22.06 191.5328996 4225.21577 3.91194 3774.98562
7 1997 23.67 191.5328996 4533.58373 4.08957 4046.40497
8 1997 22.56 191.5328996 4320.98221 4.38361 3852.26600
9 1997 23.80 191.5328996 4558.48301 4.17329 4059.83074
10 1997 22.93 191.5328996 4391.84939 4.39815 3907.02701
11 1997 23.77 191.5328996 4552.73702 4.23261 4045.92142
12 1997 24.28 191.5328996 4650.41880 4.38308 4128.34608
SURRENDER CHARGE = 0.00%
FREE WITHDRAWAL AVAILABLE = 15.00% OF PRINCIPAL + 15.00% OF INTEREST
GROSS RETURN = 369.43%
GROSS ANNUAL RETURN = 16.72%
WITHOUT WITH
SURRENDER SURRENDER
CHARGE CHARGE
ERV 4128.35 4128.35
TOTAL RETURN 312.83% 312.83%
AVERAGE ANNUAL RETURN 15.23% 15.23%
Return for Inception
FUND GROSS ADMIN/
MONTH YEAR NAV SHARES VALUE MTHLY M&E ERV
9 1986 10.00 100.0000000 1000.00000 1000.00000
10 1986 10.11 100.0000000 1011.00000 1.08333 1009.91667
11 1986 10.33 100.0000000 1033.00000 1.09408 1030.79902
12 1986 10.02 100.0000000 1002.00000 1.11670 998.74837
1 1987 11.17 100.0000000 1117.00000 1.08198 1112.29320
2 1987 11.43 100.0000000 1143.00000 1.20498 1136.97866
3 1987 11.65 100.6024096 1172.01807 1.23173 1164.61213
4 1987 11.36 100.6024096 1142.84337 1.26166 1134.36013
5 1987 11.43 100.6024096 1149.88554 1.22889 1140.12113
6 1987 11.55 101.6324684 1173.85501 1.23513 1162.65193
7 1987 11.99 101.6324684 1218.57330 1.25954 1205.68389
8 1987 12.32 101.6324684 1252.11201 1.30616 1237.56169
9 1987 11.94 102.6660190 1225.83227 1.34069 1210.24664
10 1987 9.61 102.6660190 986.62044 1.31110 972.76514
11 1987 9.18 102.6660190 942.47405 1.05383 928.18487
12 1987 9.42 105.1647686 990.65212 1.00553 974.62696
1 1988 10.09 105.1647686 1061.11252 1.05585 1042.89172
2 1988 10.59 105.1647686 1113.69490 1.12980 1093.44139
3 1988 10.27 106.5537373 1094.30688 1.18456 1073.22140
4 1988 10.44 106.5537373 1112.42102 1.16266 1089.82385
5 1988 10.58 106.5537373 1127.33854 1.18064 1103.25770
6 1988 11.04 107.9235741 1191.47626 1.19520 1164.83019
7 1988 11.02 107.9235741 1189.31779 1.26190 1161.45809
8 1988 10.88 107.9235741 1174.20849 1.25825 1145.44448
9 1988 11.01 109.3135742 1203.54245 1.24090 1172.81897
10 1988 11.20 109.3135742 1224.31203 1.27055 1191.78780
11 1988 11.02 109.3135742 1204.63559 1.29110 1171.34296
12 1988 11.01 110.4117014 1215.63283 1.26895 1180.76732
1 1989 11.69 110.4117014 1290.71279 1.27916 1252.41475
2 1989 11.68 110.4117014 1289.60867 1.35678 1249.98661
3 1989 11.66 112.5129621 1311.90114 1.35415 1270.24001
4 1989 12.11 112.5129621 1362.53197 1.37609 1317.88690
5 1989 12.47 112.5129621 1403.03664 1.42771 1355.63667
6 1989 12.35 113.6840338 1403.99782 1.46861 1355.09677
7 1989 13.07 113.6840338 1485.85032 1.46802 1432.63034
8 1989 13.28 113.6840338 1509.72397 1.55202 1454.09687
9 1989 13.00 114.8270287 1492.75137 1.57527 1436.17437
10 1989 12.25 114.8270287 1406.63110 1.55586 1351.76230
11 1989 12.32 114.8270287 1414.66899 1.46441 1358.02225
12 1989 12.29 116.0678861 1426.47432 1.47119 1367.88367
1 1990 11.46 116.0678861 1330.13797 1.48187 1274.02234
2 1990 11.14 120.1095357 1338.02023 1.38019 1280.19187
3 1990 10.96 122.2834639 1340.22676 1.38687 1280.91617
4 1990 10.58 122.2834639 1293.75905 1.38766 1235.11718
5 1990 11.28 122.2834639 1379.35747 1.33804 1315.49767
6 1990 11.04 123.6977744 1365.62343 1.42512 1300.97434
7 1990 10.77 123.6977744 1332.22503 1.40939 1267.74765
8 1990 9.91 123.6977744 1225.84494 1.37339 1165.14278
9 1990 9.02 125.3607228 1130.75372 1.26224 1073.49811
10 1990 8.79 125.3607228 1101.92075 1.16296 1044.96214
11 1990 9.42 125.3607228 1180.89801 1.13204 1118.72499
12 1990 9.51 127.0636375 1208.37519 1.21195 1143.54358
1 1991 10.02 127.0636375 1273.17765 1.23884 1203.63042
2 1991 10.71 127.0636375 1360.85156 1.30393 1285.21122
3 1991 10.70 129.8206787 1389.08126 1.39231 1310.47952
4 1991 10.75 129.8206787 1395.57230 1.41969 1315.18357
5 1991 11.34 129.8206787 1472.16650 1.42478 1385.94095
6 1991 10.76 131.2241455 1411.97181 1.50144 1327.77046
7 1991 11.37 131.2241455 1492.01853 1.43842 1401.60527
8 1991 11.61 131.2241455 1523.51233 1.51841 1429.67220
9 1991 11.41 132.6078799 1513.05591 1.54881 1418.31103
10 1991 11.60 132.6078799 1538.25141 1.53650 1440.39233
11 1991 11.10 132.6078799 1471.94747 1.56042 1376.74603
12 1991 11.85 134.0312203 1588.26996 1.49147 1484.05363
1 1992 12.01 134.0312203 1609.71496 1.60772 1502.48376
2 1992 12.40 134.0312203 1661.98713 1.62769 1549.64614
3 1992 12.13 135.3356604 1641.62156 1.67878 1528.97838
4 1992 12.51 135.3356604 1693.04911 1.65639 1575.22073
5 1992 12.61 135.3356604 1706.58268 1.70649 1586.10594
6 1992 12.40 136.4226938 1691.64140 1.71828 1570.50116
7 1992 12.78 136.4226938 1743.48203 1.70138 1616.92805
8 1992 12.50 136.4226938 1705.28367 1.75167 1579.75072
9 1992 12.53 137.5088618 1722.98604 1.71140 1594.43855
10 1992 12.68 137.5088618 1743.61237 1.72731 1611.79869
11 1992 13.14 137.5088618 1806.86644 1.74612 1668.52477
12 1992 13.40 138.5435409 1856.48345 1.80757 1712.53531
1 1993 13.80 138.5435409 1911.90087 1.85525 1761.80052
2 1993 14.11 138.5435409 1954.84936 1.90862 1799.46858
3 1993 14.43 139.5083288 2013.10519 1.94942 1851.14453
4 1993 14.37 139.5083288 2004.73469 2.00541 1841.44205
5 1993 14.63 139.5083288 2041.00685 1.99490 1872.76483
6 1993 14.70 140.4771367 2065.01391 2.02883 1892.76414
7 1993 14.90 140.4771367 2093.10934 2.05049 1916.46553
8 1993 15.47 140.4771367 2173.18130 2.07617 1987.70382
9 1993 15.31 141.4025460 2164.87298 2.15335 1977.95125
10 1993 15.45 141.4025460 2184.66934 2.14278 1993.89555
11 1993 15.18 141.4025460 2146.49065 2.16005 1956.89072
12 1993 15.44 142.2348697 2196.10639 2.11996 2000.00392
1 1994 16.12 142.2348697 2292.82610 2.16667 2085.92033
2 1994 14.94 149.5168411 2233.78161 2.25975 2029.94429
3 1994 14.22 150.5156176 2140.33208 2.19911 1942.82313
4 1994 14.71 150.5156176 2214.08473 2.10472 2007.66519
5 1994 14.85 150.5156176 2235.15692 2.17497 2024.59784
6 1994 14.67 151.4211260 2221.34792 2.19331 2009.89638
7 1994 15.16 151.4211260 2295.54427 2.17739 2074.85255
8 1994 15.94 151.4211260 2413.65275 2.24776 2179.35842
9 1994 15.59 152.2841976 2374.11064 2.36097 2141.29371
10 1994 15.91 152.2841976 2422.84158 2.31973 2182.92612
11 1994 15.39 152.2841976 2343.65380 2.36484 2109.21486
12 1994 15.35 153.1776512 2351.27695 2.28498 2113.79047
1 1995 15.59 153.1776512 2388.03958 2.28994 2144.55002
2 1995 15.39 161.0849025 2479.09665 2.32326 2223.99946
3 1995 15.82 162.1174981 2564.69882 2.40933 2298.38389
4 1995 16.26 162.1174981 2636.03052 2.48992 2359.81869
5 1995 16.75 162.1174981 2715.46809 2.55647 2428.37607
6 1995 16.89 163.0836333 2754.48257 2.63074 2460.63501
7 1995 17.54 163.0836333 2860.48693 2.66569 2552.66516
8 1995 17.76 163.0836333 2896.36533 2.76539 2581.91724
9 1995 18.25 163.9738278 2992.52236 2.79708 2664.83776
10 1995 18.04 163.9738278 2958.08785 2.88691 2631.28697
11 1995 18.82 163.9738278 3085.98744 2.85056 2742.20602
12 1995 19.27 164.8363940 3176.39731 2.97072 2819.57344
1 1996 19.83 164.8363940 3268.70569 3.05454 2898.45773
2 1996 19.00 172.6149937 3279.68488 3.14000 2905.05330
3 1996 19.20 172.6149937 3314.20788 3.14714 2932.48567
4 1996 19.45 172.6149937 3357.36163 3.17686 2967.49221
5 1996 19.66 172.6149937 3393.61078 3.21478 2996.31719
6 1996 19.48 172.6149937 3362.54008 3.24601 2965.63796
7 1996 18.53 172.6149937 3198.55583 3.21277 2817.79705
8 1996 18.91 172.6149937 3264.14953 3.05261 2872.52981
9 1996 19.72 172.6149937 3403.96768 3.11191 2992.46122
10 1996 20.04 172.6149937 3459.20447 3.24183 3037.77860
11 1996 21.38 172.6149937 3690.50857 3.29093 3237.61259
12 1996 21.03 172.6149937 3630.09332 3.50741 3181.10403
1 1997 21.85 172.6149937 3771.63761 3.44620 3301.69518
2 1997 19.91 191.5328996 3813.42003 3.57684 3334.69471
3 1997 19.17 191.5328996 3671.68569 3.61259 3207.14068
4 1997 19.85 191.5328996 3801.92806 3.47440 3317.43027
5 1997 21.08 191.5328996 4037.51352 3.59388 3519.40008
6 1997 22.06 191.5328996 4225.21577 3.81268 3679.20277
7 1997 23.67 191.5328996 4533.58373 3.98580 3943.73539
8 1997 22.56 191.5328996 4320.98221 4.27238 3754.52231
9 1997 23.80 191.5328996 4558.48301 4.06740 3956.82050
10 1997 22.93 191.5328996 4391.84939 4.28656 3807.89387
11 1997 23.77 191.5328996 4552.73702 4.12522 3943.26411
12 1997 24.28 191.5328996 4650.41880 4.27187 4023.59740
SURRENDER CHARGE = 0.00%
FREE WITHDRAWAL AVAILABLE = 15.00% OF PRINCIPAL + 15.00% OF INTEREST
GROSS RETURN = 365.04%
GROSS ANNUAL RETURN = 14.67%
WITHOUT WITH
SURRENDER SURRENDER
CHARGE CHARGE
ERV 4023.60 4023.60
TOTAL RETURN 302.36% 302.36%
AVERAGE ANNUAL RETURN 13.20% 13.20%
Return for Product Inception
FUND GROSS ADMIN/
MONTH YEAR NAV SHARES VALUE MTHLY M&E ERV
12 1996 21.03 172.6149937 3630.09332 1000.00000
1 1997 21.85 172.6149937 3771.63761 1.08333 1037.90858
2 1997 19.91 191.5328996 3813.42003 1.12440 1048.28219
3 1997 19.17 191.5328996 3671.68569 1.13564 1008.18478
4 1997 19.85 191.5328996 3801.92806 1.09220 1042.85501
5 1997 21.08 191.5328996 4037.51352 1.12976 1106.34548
6 1997 22.06 191.5328996 4225.21577 1.19854 1156.58046
7 1997 23.67 191.5328996 4533.58373 1.25296 1239.73795
8 1997 22.56 191.5328996 4320.98221 1.34305 1180.25763
9 1997 23.80 191.5328996 4558.48301 1.27861 1243.85134
10 1997 22.93 191.5328996 4391.84939 1.34751 1197.03532
11 1997 23.77 191.5328996 4552.73702 1.29679 1239.58980
12 1997 24.28 191.5328996 4650.41880 1.34289 1264.84307
SURRENDER CHARGE = 7.00%
FREE WITHDRAWAL AVAILABLE = 15.00% OF PRINCIPAL + 15.00% OF INTEREST
GROSS RETURN = 28.11%
GROSS ANNUAL RETURN = 26.62%
WITHOUT WITH
SURRENDER SURRENDER
CHARGE CHARGE
ERV 1264.84 1189.58
TOTAL RETURN 26.48% 18.96%
AVERAGE ANNUAL RETURN 25.10% 17.99%
Fidelity Index 500
12/1997
Assume ($10000 @ $10.00 on 8/27/1992)
DATE DIV PR/SH REINVEST NAV REINVEST SHARES SHARE BASIS
(incl cap gain)
100.000000
12/92 0.5500000000 52.28 1.052 101.052028
2/93 0.1500000000 54.16 0.280 101.331898
12/93 1.8200000000 55.63 3.315 104.647089
2/94 0.1000000000 56.17 0.186 104.833393
2/95 1.0800000000 57.65 1.964 106.797315
2/96 3.2500000000 75.06 4.624 111.421499
2/97 3.1200000000 91.92 3.782 115.203430
M and E Charge = 0.0010833
Return for YTD
FUND GROSS ADMIN/
MONTH YEAR NAV SHARES VALUE MTHLY M&E ERV
12 1996 89.13 111.4214989 9930.99819 1000.00000
1 1997 94.57 111.4214989 10537.13115 1.08333 1059.95111
2 1997 92.15 115.2034296 10615.99604 1.14828 1066.73601
3 1997 88.32 115.2034296 10174.76690 1.15563 1021.24398
4 1997 93.57 115.2034296 10779.58491 1.10635 1080.84337
5 1997 99.26 115.2034296 11435.09243 1.17091 1145.39864
6 1997 103.62 115.2034296 11937.37938 1.24085 1194.46948
7 1997 111.86 115.2034296 12886.65564 1.29401 1288.16127
8 1997 105.60 115.2034296 12165.48217 1.39551 1214.67664
9 1997 111.31 115.2034296 12823.29375 1.31590 1279.04070
10 1997 107.63 115.2034296 12399.34513 1.38563 1235.36893
11 1997 112.50 115.2034296 12960.38583 1.33832 1289.92810
12 1997 114.39 115.2034296 13178.12032 1.39742 1310.20147
SURRENDER CHARGE = 7.00%
FREE WITHDRAWAL AVAILABLE = 15.00% OF PRINCIPAL + 15.00% OF INTEREST
GROSS RETURN = 32.70%
WITHOUT WITH
SURRENDER SURRENDER
CHARGE CHARGE
ERV 1310.20 1232.24
TOTAL RETURN 31.02% 23.22%
Return for 1 Year
FUND GROSS ADMIN/
MONTH YEAR NAV SHARES VALUE MTHLY M&E ERV
12 1996 89.13 111.4214989 9930.99819 1000.00000
1 1997 94.57 111.4214989 10537.13115 1.08333 1059.95111
2 1997 92.15 115.2034296 10615.99604 1.14828 1066.73601
3 1997 88.32 115.2034296 10174.76690 1.15563 1021.24398
4 1997 93.57 115.2034296 10779.58491 1.10635 1080.84337
5 1997 99.26 115.2034296 11435.09243 1.17091 1145.39864
6 1997 103.62 115.2034296 11937.37938 1.24085 1194.46948
7 1997 111.86 115.2034296 12886.65564 1.29401 1288.16127
8 1997 105.60 115.2034296 12165.48217 1.39551 1214.67664
9 1997 111.31 115.2034296 12823.29375 1.31590 1279.04070
10 1997 107.63 115.2034296 12399.34513 1.38563 1235.36893
11 1997 112.50 115.2034296 12960.38583 1.33832 1289.92810
12 1997 114.39 115.2034296 13178.12032 1.39742 1310.20147
SURRENDER CHARGE = 7.00%
FREE WITHDRAWAL AVAILABLE = 15.00% OF PRINCIPAL + 15.00% OF INTEREST
GROSS RETURN = 32.70%
WITHOUT WITH
SURRENDER SURRENDER
CHARGE CHARGE
ERV 1310.20 1232.24
TOTAL RETURN 31.02% 23.22%
Return for 3 Years
FUND GROSS ADMIN/
MONTH YEAR NAV SHARES VALUE MTHLY M&E ERV
12 1994 56.22 104.8333932 5893.73337 1000.00000
1 1995 57.71 104.8333932 6049.93512 1.08333 1025.41969
2 1995 58.82 106.7973146 6281.81804 1.11087 1063.61128
3 1995 60.54 106.7973146 6465.50942 1.15225 1093.56089
4 1995 62.32 106.7973146 6655.60864 1.18469 1124.52913
5 1995 64.77 106.7973146 6917.26207 1.21824 1167.51975
6 1995 66.24 106.7973146 7074.25412 1.26481 1192.75261
7 1995 68.45 106.7973146 7310.27618 1.29215 1231.25489
8 1995 68.62 106.7973146 7328.43173 1.33386 1232.97894
9 1995 71.49 106.7973146 7634.94002 1.33573 1283.21199
10 1995 71.25 106.7973146 7609.30866 1.39015 1277.51395
11 1995 74.35 106.7973146 7940.38034 1.38397 1331.71304
12 1995 75.71 106.7973146 8085.62469 1.44269 1354.62987
1 1996 78.30 106.7973146 8362.22973 1.46752 1399.50354
2 1996 75.75 111.4214989 8440.17854 1.51613 1411.03293
3 1996 76.53 111.4214989 8527.08731 1.52862 1424.03376
4 1996 77.60 111.4214989 8646.30831 1.54270 1442.40110
5 1996 79.58 111.4214989 8866.92288 1.56260 1477.64204
6 1996 79.92 111.4214989 8904.80619 1.60078 1482.35438
7 1996 76.38 111.4214989 8510.37408 1.60588 1415.08866
8 1996 77.95 111.4214989 8685.30584 1.53301 1442.64296
9 1996 82.31 111.4214989 9171.10357 1.56286 1521.77186
10 1996 84.58 111.4214989 9424.03037 1.64859 1562.09171
11 1996 90.92 111.4214989 10130.44268 1.69227 1677.49169
12 1996 89.13 111.4214989 9930.99819 1.81728 1642.64856
1 1997 94.57 111.4214989 10537.13115 1.77954 1741.12716
2 1997 92.15 115.2034296 10615.99604 1.88622 1752.27236
3 1997 88.32 115.2034296 10174.76690 1.89830 1677.54495
4 1997 93.57 115.2034296 10779.58491 1.81734 1775.44581
5 1997 99.26 115.2034296 11435.09243 1.92340 1881.48742
6 1997 103.62 115.2034296 11937.37938 2.03828 1962.09357
7 1997 111.86 115.2034296 12886.65564 2.12560 2115.99625
8 1997 105.60 115.2034296 12165.48217 2.29233 1995.28682
9 1997 111.31 115.2034296 12823.29375 2.16156 2101.01435
10 1997 107.63 115.2034296 12399.34513 2.27610 2029.27699
11 1997 112.50 115.2034296 12960.38583 2.19838 2118.89854
12 1997 114.39 115.2034296 13178.12032 2.29547 2152.20056
SURRENDER CHARGE = 5.00%
FREE WITHDRAWAL AVAILABLE = 15.00% OF PRINCIPAL + 15.00% OF INTEREST
GROSS RETURN = 123.60%
GROSS ANNUAL RETURN = 30.76%
WITHOUT WITH
SURRENDER SURRENDER
CHARGE CHARGE
ERV 2152.20 2060.73
TOTAL RETURN 115.22% 106.07%
AVERAGE ANNUAL RETURN 29.11% 27.25%
Return for 5 Years
FUND GROSS ADMIN/
MONTH YEAR NAV SHARES VALUE MTHLY M&E ERV
12 1992 52.60 101.0520275 5315.33665 1000.00000
1 1993 52.98 101.0520275 5353.73642 1.08333 1006.14100
2 1993 53.57 101.3318984 5428.34980 1.08999 1019.07329
3 1993 54.75 101.3318984 5547.92144 1.10400 1040.41668
4 1993 53.40 101.3318984 5411.12337 1.12712 1013.63545
5 1993 54.79 101.3318984 5551.97471 1.09811 1038.92224
6 1993 54.93 101.3318984 5566.16118 1.12550 1040.45141
7 1993 54.68 101.3318984 5540.82820 1.12716 1034.58890
8 1993 56.75 101.3318984 5750.58523 1.12080 1072.63414
9 1993 56.29 101.3318984 5703.97256 1.16202 1062.77764
10 1993 57.44 101.3318984 5820.50424 1.15134 1083.33875
11 1993 56.88 101.3318984 5763.75838 1.17362 1071.60334
12 1993 55.74 104.6470890 5833.02874 1.16090 1083.32124
1 1994 57.62 104.6470890 6029.76527 1.17360 1118.68593
2 1994 55.96 104.8333932 5866.47669 1.21191 1087.17953
3 1994 53.53 104.8333932 5611.73154 1.17778 1038.79221
4 1994 54.17 104.8333932 5678.82491 1.12536 1050.08656
5 1994 55.01 104.8333932 5766.88496 1.13759 1065.23238
6 1994 53.67 104.8333932 5626.40822 1.15400 1038.13017
7 1994 55.44 104.8333932 5811.96332 1.12464 1071.24235
8 1994 57.65 104.8333932 6043.64512 1.16051 1112.78468
9 1994 56.25 104.8333932 5896.87837 1.20552 1084.55577
10 1994 57.50 104.8333932 6027.92011 1.17494 1107.48207
11 1994 55.41 104.8333932 5808.81832 1.19977 1066.02774
12 1994 56.22 104.8333932 5893.73337 1.15486 1080.45639
1 1995 57.71 104.8333932 6049.93512 1.17049 1107.92125
2 1995 58.82 106.7973146 6281.81804 1.20025 1149.18560
3 1995 60.54 106.7973146 6465.50942 1.24495 1181.54485
4 1995 62.32 106.7973146 6655.60864 1.28001 1215.00468
5 1995 64.77 106.7973146 6917.26207 1.31626 1261.45417
6 1995 66.24 106.7973146 7074.25412 1.36658 1288.71717
7 1995 68.45 106.7973146 7310.27618 1.39611 1330.31721
8 1995 68.62 106.7973146 7328.43173 1.44118 1332.17996
9 1995 71.49 106.7973146 7634.94002 1.44319 1386.45459
10 1995 71.25 106.7973146 7609.30866 1.50199 1380.29811
11 1995 74.35 106.7973146 7940.38034 1.49532 1438.85786
12 1995 75.71 106.7973146 8085.62469 1.55876 1463.61849
1 1996 78.30 106.7973146 8362.22973 1.58559 1512.10253
2 1996 75.75 111.4214989 8440.17854 1.63811 1524.55954
3 1996 76.53 111.4214989 8527.08731 1.65161 1538.60637
4 1996 77.60 111.4214989 8646.30831 1.66682 1558.45148
5 1996 79.58 111.4214989 8866.92288 1.68832 1596.52777
6 1996 79.92 111.4214989 8904.80619 1.72957 1601.61926
7 1996 76.38 111.4214989 8510.37408 1.73509 1528.94157
8 1996 77.95 111.4214989 8685.30584 1.65635 1558.71280
9 1996 82.31 111.4214989 9171.10357 1.68861 1644.20813
10 1996 84.58 111.4214989 9424.03037 1.78123 1687.77197
11 1996 90.92 111.4214989 10130.44268 1.82842 1812.45661
12 1996 89.13 111.4214989 9930.99819 1.96349 1774.81012
1 1997 94.57 111.4214989 10537.13115 1.92271 1881.21196
2 1997 92.15 115.2034296 10615.99604 2.03798 1893.25386
3 1997 88.32 115.2034296 10174.76690 2.05102 1812.51415
4 1997 93.57 115.2034296 10779.58491 1.96356 1918.29176
5 1997 99.26 115.2034296 11435.09243 2.07815 2032.86510
6 1997 103.62 115.2034296 11937.37938 2.20227 2119.95652
7 1997 111.86 115.2034296 12886.65564 2.29662 2286.24166
8 1997 105.60 115.2034296 12165.48217 2.47676 2155.82039
9 1997 111.31 115.2034296 12823.29375 2.33547 2270.05437
10 1997 107.63 115.2034296 12399.34513 2.45923 2192.54529
11 1997 112.50 115.2034296 12960.38583 2.37526 2289.37746
12 1997 114.39 115.2034296 13178.12032 2.48016 2325.35884
SURRENDER CHARGE = 3.00%
FREE WITHDRAWAL AVAILABLE = 15.00% OF PRINCIPAL + 15.00% OF INTEREST
GROSS RETURN = 147.93%
GROSS ANNUAL RETURN = 19.91%
WITHOUT WITH
SURRENDER SURRENDER
CHARGE CHARGE
ERV 2325.36 2266.06
TOTAL RETURN 132.54% 126.61%
AVERAGE ANNUAL RETURN 18.39% 17.78%
Return for Inception
FUND GROSS ADMIN/
MONTH YEAR NAV SHARES VALUE MTHLY M&E ERV
7 1992 50.00 100.0000000 5000.00000 1000.00000
8 1992 50.07 100.0000000 5007.00000 1.08333 1000.31667
9 1992 50.65 100.0000000 5065.00000 1.08368 1010.82044
10 1992 50.76 100.0000000 5076.00000 1.09506 1011.92065
11 1992 52.49 100.0000000 5249.00000 1.09625 1045.31264
12 1992 52.60 101.0520275 5315.33665 1.13242 1057.39084
1 1993 52.98 101.0520275 5353.73642 1.14551 1063.88427
2 1993 53.57 101.3318984 5428.34980 1.15254 1077.55876
3 1993 54.75 101.3318984 5547.92144 1.16736 1100.12707
4 1993 53.40 101.3318984 5411.12337 1.19180 1071.80884
5 1993 54.79 101.3318984 5551.97471 1.16113 1098.54686
6 1993 54.93 101.3318984 5566.16118 1.19009 1100.16378
7 1993 54.68 101.3318984 5540.82820 1.19184 1093.96482
8 1993 56.75 101.3318984 5750.58523 1.18513 1134.19351
9 1993 56.29 101.3318984 5703.97256 1.22871 1123.77133
10 1993 57.44 101.3318984 5820.50424 1.21742 1145.51247
11 1993 56.88 101.3318984 5763.75838 1.24097 1133.10355
12 1993 55.74 104.6470890 5833.02874 1.22753 1145.49396
1 1994 57.62 104.6470890 6029.76527 1.24095 1182.88825
2 1994 55.96 104.8333932 5866.47669 1.28146 1149.57368
3 1994 53.53 104.8333932 5611.73154 1.24537 1098.40936
4 1994 54.17 104.8333932 5678.82491 1.18994 1110.35190
5 1994 55.01 104.8333932 5766.88496 1.20288 1126.36696
6 1994 53.67 104.8333932 5626.40822 1.22023 1097.70932
7 1994 55.44 104.8333932 5811.96332 1.18919 1132.72184
8 1994 57.65 104.8333932 6043.64512 1.22712 1176.64832
9 1994 56.25 104.8333932 5896.87837 1.27470 1146.79933
10 1994 57.50 104.8333932 6027.92011 1.24237 1171.04140
11 1994 55.41 104.8333932 5808.81832 1.26863 1127.20796
12 1994 56.22 104.8333932 5893.73337 1.22114 1142.46468
1 1995 57.71 104.8333932 6049.93512 1.23767 1171.50578
2 1995 58.82 106.7973146 6281.81804 1.26913 1215.13832
3 1995 60.54 106.7973146 6465.50942 1.31640 1249.35469
4 1995 62.32 106.7973146 6655.60864 1.35347 1284.73481
5 1995 64.77 106.7973146 6917.26207 1.39180 1333.85008
6 1995 66.24 106.7973146 7074.25412 1.44500 1362.67773
7 1995 68.45 106.7973146 7310.27618 1.47623 1406.66523
8 1995 68.62 106.7973146 7328.43173 1.52389 1408.63489
9 1995 71.49 106.7973146 7634.94002 1.52602 1466.02437
10 1995 71.25 106.7973146 7609.30866 1.58819 1459.51457
11 1995 74.35 106.7973146 7940.38034 1.58114 1521.43511
12 1995 75.71 106.7973146 8085.62469 1.64822 1547.61678
1 1996 78.30 106.7973146 8362.22973 1.67658 1598.88336
2 1996 75.75 111.4214989 8440.17854 1.73212 1612.05528
3 1996 76.53 111.4214989 8527.08731 1.74639 1626.90827
4 1996 77.60 111.4214989 8646.30831 1.76248 1647.89232
5 1996 79.58 111.4214989 8866.92288 1.78522 1688.15384
6 1996 79.92 111.4214989 8904.80619 1.82883 1693.53752
7 1996 76.38 111.4214989 8510.37408 1.83467 1616.68881
8 1996 77.95 111.4214989 8685.30584 1.75141 1648.16863
9 1996 82.31 111.4214989 9171.10357 1.78552 1738.57061
10 1996 84.58 111.4214989 9424.03037 1.88345 1784.63461
11 1996 90.92 111.4214989 10130.44268 1.93335 1916.47500
12 1996 89.13 111.4214989 9930.99819 2.07618 1876.66796
1 1997 94.57 111.4214989 10537.13115 2.03306 1989.17629
2 1997 92.15 115.2034296 10615.99604 2.15494 2001.90928
3 1997 88.32 115.2034296 10174.76690 2.16873 1916.53586
4 1997 93.57 115.2034296 10779.58491 2.07625 2028.38412
5 1997 99.26 115.2034296 11435.09243 2.19742 2149.53293
6 1997 103.62 115.2034296 11937.37938 2.32866 2241.62260
7 1997 111.86 115.2034296 12886.65564 2.42842 2417.45098
8 1997 105.60 115.2034296 12165.48217 2.61891 2279.54472
9 1997 111.31 115.2034296 12823.29375 2.46951 2400.33469
10 1997 107.63 115.2034296 12399.34513 2.60036 2318.37729
11 1997 112.50 115.2034296 12960.38583 2.51158 2420.76674
12 1997 114.39 115.2034296 13178.12032 2.62250 2458.81313
SURRENDER CHARGE = 2.00%
FREE WITHDRAWAL AVAILABLE = 15.00% OF PRINCIPAL + 15.00% OF INTEREST
GROSS RETURN = 163.56%
GROSS ANNUAL RETURN = 19.88%
WITHOUT WITH
SURRENDER SURRENDER
CHARGE CHARGE
ERV 2458.81 2417.01
TOTAL RETURN 145.88% 141.70%
AVERAGE ANNUAL RETURN 18.33% 17.95%
Return for Product Inception
FUND GROSS ADMIN/
MONTH YEAR NAV SHARES VALUE MTHLY M&E ERV
12 1996 89.13 111.4214989 9930.99819 1000.00000
1 1997 94.57 111.4214989 10537.13115 1.08333 1059.95111
2 1997 92.15 115.2034296 10615.99604 1.14828 1066.73601
3 1997 88.32 115.2034296 10174.76690 1.15563 1021.24398
4 1997 93.57 115.2034296 10779.58491 1.10635 1080.84337
5 1997 99.26 115.2034296 11435.09243 1.17091 1145.39864
6 1997 103.62 115.2034296 11937.37938 1.24085 1194.46948
7 1997 111.86 115.2034296 12886.65564 1.29401 1288.16127
8 1997 105.60 115.2034296 12165.48217 1.39551 1214.67664
9 1997 111.31 115.2034296 12823.29375 1.31590 1279.04070
10 1997 107.63 115.2034296 12399.34513 1.38563 1235.36893
11 1997 112.50 115.2034296 12960.38583 1.33832 1289.92810
12 1997 114.39 115.2034296 13178.12032 1.39742 1310.20147
SURRENDER CHARGE = 7.00%
FREE WITHDRAWAL AVAILABLE = 15.00% OF PRINCIPAL + 15.00% OF INTEREST
GROSS RETURN = 32.70%
GROSS ANNUAL RETURN = 30.94%
WITHOUT WITH
SURRENDER SURRENDER
CHARGE CHARGE
ERV 1310.20 1232.24
TOTAL RETURN 31.02% 23.22%
AVERAGE ANNUAL RETURN 29.37% 22.02%
MFS Emerging Growth
12/1997
Assume ($10000 @ $10.00 on 7/24/1995)
DATE DIV PR/SH REINVEST NAV REINVEST SHARES SHARE BASIS
(incl cap gain)
100.000000
12/95 0.3276700000 11.30 2.900 102.899735
12/96 0.1128000000 13.27 0.875 103.774421
M and E Charge = 0.0010833
Return for YTD
FUND GROSS ADMIN/
MONTH YEAR NAV SHARES VALUE MTHLY M&E ERV
12 1996 13.24 103.7744210 1373.97333 1000.00000
1 1997 14.07 103.7744210 1460.10610 1.08333 1061.60549
2 1997 13.44 103.7744210 1394.72822 1.15007 1012.92084
3 1997 12.39 103.7744210 1285.76508 1.09733 932.68907
4 1997 12.88 103.7744210 1336.61454 1.01041 968.56467
5 1997 14.09 103.7744210 1462.18159 1.04928 1058.50632
6 1997 14.67 103.7744210 1522.37076 1.14672 1100.93190
7 1997 16.03 103.7744210 1663.50397 1.19268 1201.80244
8 1997 15.57 103.7744210 1615.76774 1.30195 1166.01334
9 1997 16.68 103.7744210 1730.95734 1.26318 1247.87635
10 1997 16.10 103.7744210 1670.76818 1.35187 1203.13310
11 1997 16.30 103.7744210 1691.52306 1.30339 1216.77545
12 1997 16.14 103.7744210 1674.91916 1.31817 1203.51347
SURRENDER CHARGE = 7.00%
FREE WITHDRAWAL AVAILABLE = 15.00% OF PRINCIPAL + 15.00% OF INTEREST
GROSS RETURN = 21.90%
WITHOUT WITH
SURRENDER SURRENDER
CHARGE CHARGE
ERV 1203.51 1131.90
TOTAL RETURN 20.35% 13.19%
Return for 1 Year
FUND GROSS ADMIN/
MONTH YEAR NAV SHARES VALUE MTHLY M&E ERV
12 1996 13.24 103.7744210 1373.97333 1000.00000
1 1997 14.07 103.7744210 1460.10610 1.08333 1061.60549
2 1997 13.44 103.7744210 1394.72822 1.15007 1012.92084
3 1997 12.39 103.7744210 1285.76508 1.09733 932.68907
4 1997 12.88 103.7744210 1336.61454 1.01041 968.56467
5 1997 14.09 103.7744210 1462.18159 1.04928 1058.50632
6 1997 14.67 103.7744210 1522.37076 1.14672 1100.93190
7 1997 16.03 103.7744210 1663.50397 1.19268 1201.80244
8 1997 15.57 103.7744210 1615.76774 1.30195 1166.01334
9 1997 16.68 103.7744210 1730.95734 1.26318 1247.87635
10 1997 16.10 103.7744210 1670.76818 1.35187 1203.13310
11 1997 16.30 103.7744210 1691.52306 1.30339 1216.77545
12 1997 16.14 103.7744210 1674.91916 1.31817 1203.51347
SURRENDER CHARGE = 7.00%
FREE WITHDRAWAL AVAILABLE = 15.00% OF PRINCIPAL + 15.00% OF INTEREST
GROSS RETURN = 21.90%
WITHOUT WITH
SURRENDER SURRENDER
CHARGE CHARGE
ERV 1203.51 1131.90
TOTAL RETURN 20.35% 13.19%
Return for Inception
FUND GROSS ADMIN/
MONTH YEAR NAV SHARES VALUE MTHLY M&E ERV
6 1995 10.00 100.0000000 1000.00000 1000.00000
7 1995 10.07 100.0000000 1007.00000 1.08333 1005.91667
8 1995 10.37 100.0000000 1037.00000 1.08974 1034.79465
9 1995 10.87 100.0000000 1087.00000 1.12103 1083.56729
10 1995 11.06 100.0000000 1106.00000 1.17386 1101.33342
11 1995 11.69 100.0000000 1169.00000 1.19311 1162.87449
12 1995 11.41 102.8997345 1174.08597 1.25978 1166.67403
1 1996 11.61 102.8997345 1194.66592 1.26390 1185.86016
2 1996 12.07 102.8997345 1241.99980 1.28468 1231.56047
3 1996 12.19 102.8997345 1254.34776 1.33419 1242.47046
4 1996 13.05 102.8997345 1342.84154 1.34601 1328.78028
5 1996 13.42 102.8997345 1380.91444 1.43951 1365.01500
6 1996 13.13 102.8997345 1351.07351 1.47877 1334.03889
7 1996 12.18 102.8997345 1253.31877 1.44521 1236.07144
8 1996 12.51 102.8997345 1287.27568 1.33908 1268.22199
9 1996 13.58 102.8997345 1397.37839 1.37391 1375.32110
10 1996 13.38 102.8997345 1376.79845 1.48993 1353.57608
11 1996 13.97 102.8997345 1437.50929 1.46637 1411.79654
12 1996 13.24 103.7744210 1373.97333 1.52945 1347.86760
1 1997 14.07 103.7744210 1460.10610 1.46019 1430.90365
2 1997 13.44 103.7744210 1394.72822 1.55015 1365.28319
3 1997 12.39 103.7744210 1285.76508 1.47906 1257.14138
4 1997 12.88 103.7744210 1336.61454 1.36190 1305.49694
5 1997 14.09 103.7744210 1462.18159 1.41429 1426.72638
6 1997 14.67 103.7744210 1522.37076 1.54562 1483.91045
7 1997 16.03 103.7744210 1663.50397 1.60757 1619.87058
8 1997 15.57 103.7744210 1615.76774 1.75486 1571.63160
9 1997 16.68 103.7744210 1730.95734 1.70260 1681.97210
10 1997 16.10 103.7744210 1670.76818 1.82214 1621.66412
11 1997 16.30 103.7744210 1691.52306 1.75680 1640.05222
12 1997 16.14 103.7744210 1674.91916 1.77672 1622.17682
SURRENDER CHARGE = 5.00%
FREE WITHDRAWAL AVAILABLE = 15.00% OF PRINCIPAL + 15.00% OF INTEREST
GROSS RETURN = 67.49%
GROSS ANNUAL RETURN = 23.56%
WITHOUT WITH
SURRENDER SURRENDER
CHARGE CHARGE
ERV 1622.18 1553.23
TOTAL RETURN 62.22% 55.32%
AVERAGE ANNUAL RETURN 21.94% 19.79%
Return for Product Inception
FUND GROSS ADMIN/
MONTH YEAR NAV SHARES VALUE MTHLY M&E ERV
12 1996 13.24 103.7744210 1373.97333 1000.00000
1 1997 14.07 103.7744210 1460.10610 1.08333 1061.60549
2 1997 13.44 103.7744210 1394.72822 1.15007 1012.92084
3 1997 12.39 103.7744210 1285.76508 1.09733 932.68907
4 1997 12.88 103.7744210 1336.61454 1.01041 968.56467
5 1997 14.09 103.7744210 1462.18159 1.04928 1058.50632
6 1997 14.67 103.7744210 1522.37076 1.14672 1100.93190
7 1997 16.03 103.7744210 1663.50397 1.19268 1201.80244
8 1997 15.57 103.7744210 1615.76774 1.30195 1166.01334
9 1997 16.68 103.7744210 1730.95734 1.26318 1247.87635
10 1997 16.10 103.7744210 1670.76818 1.35187 1203.13310
11 1997 16.30 103.7744210 1691.52306 1.30339 1216.77545
12 1997 16.14 103.7744210 1674.91916 1.31817 1203.51347
SURRENDER CHARGE = 7.00%
FREE WITHDRAWAL AVAILABLE = 15.00% OF PRINCIPAL + 15.00% OF INTEREST
GROSS RETURN = 21.90%
GROSS ANNUAL RETURN = 20.77%
WITHOUT WITH
SURRENDER SURRENDER
CHARGE CHARGE
ERV 1203.51 1131.90
TOTAL RETURN 20.35% 13.19%
AVERAGE ANNUAL RETURN 19.31% 12.53%
MFS High Income
12/1997
Assume ($10000 @ $10.00 on 7/26/1995)
DATE DIV PR/SH REINVEST NAV REINVEST SHARES SHARE BASIS
(incl cap gain)
100.000000
12/95 0.2343800000 10.26 2.284 102.284405
12/96 0.6346600000 10.87 5.972 108.256422
M and E Charge = 0.0010833
Return for YTD
FUND GROSS ADMIN/
MONTH YEAR NAV SHARES VALUE MTHLY M&E ERV
12 1996 10.87 108.2564221 1176.74731 1000.00000
1 1997 11.02 108.2564221 1192.98577 1.08333 1012.71611
2 1997 11.24 108.2564221 1216.80218 1.09711 1031.83657
3 1997 11.01 108.2564221 1191.90321 1.11782 1009.60465
4 1997 11.13 108.2564221 1204.89398 1.09374 1019.51478
5 1997 11.42 108.2564221 1236.28834 1.10447 1044.97448
6 1997 11.61 108.2564221 1256.85706 1.13206 1061.22817
7 1997 11.87 108.2564221 1285.00373 1.14966 1083.84416
8 1997 11.89 108.2564221 1287.16886 1.17416 1084.49619
9 1997 12.12 108.2564221 1312.06784 1.17487 1104.29980
10 1997 12.09 108.2564221 1308.82014 1.19632 1100.37006
11 1997 12.20 108.2564221 1320.72835 1.19207 1109.18963
12 1997 12.35 108.2564221 1336.96681 1.20162 1121.62558
SURRENDER CHARGE = 7.00%
FREE WITHDRAWAL AVAILABLE = 15.00% OF PRINCIPAL + 15.00% OF INTEREST
GROSS RETURN = 13.62%
WITHOUT WITH
SURRENDER SURRENDER
CHARGE CHARGE
ERV 1121.63 1054.89
TOTAL RETURN 12.16% 5.49%
Return for 1 Year
FUND GROSS ADMIN/
MONTH YEAR NAV SHARES VALUE MTHLY M&E ERV
12 1996 10.87 108.2564221 1176.74731 1000.00000
1 1997 11.02 108.2564221 1192.98577 1.08333 1012.71611
2 1997 11.24 108.2564221 1216.80218 1.09711 1031.83657
3 1997 11.01 108.2564221 1191.90321 1.11782 1009.60465
4 1997 11.13 108.2564221 1204.89398 1.09374 1019.51478
5 1997 11.42 108.2564221 1236.28834 1.10447 1044.97448
6 1997 11.61 108.2564221 1256.85706 1.13206 1061.22817
7 1997 11.87 108.2564221 1285.00373 1.14966 1083.84416
8 1997 11.89 108.2564221 1287.16886 1.17416 1084.49619
9 1997 12.12 108.2564221 1312.06784 1.17487 1104.29980
10 1997 12.09 108.2564221 1308.82014 1.19632 1100.37006
11 1997 12.20 108.2564221 1320.72835 1.19207 1109.18963
12 1997 12.35 108.2564221 1336.96681 1.20162 1121.62558
SURRENDER CHARGE = 7.00%
FREE WITHDRAWAL AVAILABLE = 15.00% OF PRINCIPAL + 15.00% OF INTEREST
GROSS RETURN = 13.62%
WITHOUT WITH
SURRENDER SURRENDER
CHARGE CHARGE
ERV 1121.63 1054.89
TOTAL RETURN 12.16% 5.49%
Return for Inception
FUND GROSS ADMIN/
MONTH YEAR NAV SHARES VALUE MTHLY M&E ERV
6 1995 10.00 100.0000000 1000.00000 1000.00000
7 1995 9.97 100.0000000 997.00000 1.08333 995.91667
8 1995 9.93 100.0000000 993.00000 1.07891 990.84210
9 1995 10.08 100.0000000 1008.00000 1.07341 1004.73609
10 1995 10.30 100.0000000 1030.00000 1.08846 1025.57639
11 1995 10.35 100.0000000 1035.00000 1.11104 1029.44388
12 1995 10.29 102.2844055 1052.50653 1.11523 1045.74120
1 1996 10.48 102.2844055 1071.94057 1.13289 1063.91743
2 1996 10.51 102.2844055 1075.00910 1.15258 1065.81042
3 1996 10.42 102.2844055 1065.80350 1.15463 1055.52897
4 1996 10.51 102.2844055 1075.00910 1.14349 1063.50233
5 1996 10.57 102.2844055 1081.14617 1.15213 1068.42158
6 1996 10.59 102.2844055 1083.19185 1.15746 1069.28573
7 1996 10.71 102.2844055 1095.46598 1.15839 1080.24389
8 1996 10.90 102.2844055 1114.90002 1.17026 1098.23762
9 1996 11.18 102.2844055 1143.53965 1.18976 1125.25947
10 1996 11.19 102.2844055 1144.56250 1.21903 1125.04693
11 1996 11.41 102.2844055 1167.06507 1.21880 1145.94702
12 1996 10.87 108.2564221 1176.74731 1.24144 1154.21262
1 1997 11.02 108.2564221 1192.98577 1.25040 1168.88972
2 1997 11.24 108.2564221 1216.80218 1.26630 1190.95878
3 1997 11.01 108.2564221 1191.90321 1.29021 1165.29843
4 1997 11.13 108.2564221 1204.89398 1.26241 1176.73682
5 1997 11.42 108.2564221 1236.28834 1.27480 1206.12273
6 1997 11.61 108.2564221 1256.85706 1.30663 1224.88294
7 1997 11.87 108.2564221 1285.00373 1.32696 1250.98661
8 1997 11.89 108.2564221 1287.16886 1.35524 1251.73918
9 1997 12.12 108.2564221 1312.06784 1.35605 1274.59676
10 1997 12.09 108.2564221 1308.82014 1.38081 1270.06100
11 1997 12.20 108.2564221 1320.72835 1.37590 1280.24066
12 1997 12.35 108.2564221 1336.96681 1.38693 1294.59440
SURRENDER CHARGE = 5.00%
FREE WITHDRAWAL AVAILABLE = 15.00% OF PRINCIPAL + 15.00% OF INTEREST
GROSS RETURN = 33.70%
GROSS ANNUAL RETURN = 12.68%
WITHOUT WITH
SURRENDER SURRENDER
CHARGE CHARGE
ERV 1294.59 1239.57
TOTAL RETURN 29.46% 23.96%
AVERAGE ANNUAL RETURN 11.20% 9.23%
Return for Product Inception
FUND GROSS ADMIN/
MONTH YEAR NAV SHARES VALUE MTHLY M&E ERV
12 1996 10.87 108.2564221 1176.74731 1000.00000
1 1997 11.02 108.2564221 1192.98577 1.08333 1012.71611
2 1997 11.24 108.2564221 1216.80218 1.09711 1031.83657
3 1997 11.01 108.2564221 1191.90321 1.11782 1009.60465
4 1997 11.13 108.2564221 1204.89398 1.09374 1019.51478
5 1997 11.42 108.2564221 1236.28834 1.10447 1044.97448
6 1997 11.61 108.2564221 1256.85706 1.13206 1061.22817
7 1997 11.87 108.2564221 1285.00373 1.14966 1083.84416
8 1997 11.89 108.2564221 1287.16886 1.17416 1084.49619
9 1997 12.12 108.2564221 1312.06784 1.17487 1104.29980
10 1997 12.09 108.2564221 1308.82014 1.19632 1100.37006
11 1997 12.20 108.2564221 1320.72835 1.19207 1109.18963
12 1997 12.35 108.2564221 1336.96681 1.20162 1121.62558
SURRENDER CHARGE = 7.00%
FREE WITHDRAWAL AVAILABLE = 15.00% OF PRINCIPAL + 15.00% OF INTEREST
GROSS RETURN = 13.62%
GROSS ANNUAL RETURN = 12.94%
WITHOUT WITH
SURRENDER SURRENDER
CHARGE CHARGE
ERV 1121.63 1054.89
TOTAL RETURN 12.16% 5.49%
AVERAGE ANNUAL RETURN 11.56% 5.22%
MFS Research
12/1997
Assume ($10000 @ $10.00 on 7/26/1995)
DATE DIV PR/SH REINVEST NAV REINVEST SHARES SHARE BASIS
(incl cap gain)
100.000000
12/95 0.1712900000 10.82 1.583 101.583087
12/96 0.1927500000 13.18 1.486 103.068682
M and E Charge = 0.0010833
Return for YTD
FUND GROSS ADMIN/
MONTH YEAR NAV SHARES VALUE MTHLY M&E ERV
12 1996 13.13 103.0686817 1353.29179 1000.00000
1 1997 13.64 103.0686817 1405.85682 1.08333 1037.75901
2 1997 13.61 103.0686817 1402.76476 1.12424 1034.35231
3 1997 12.86 103.0686817 1325.46325 1.12055 976.23219
4 1997 13.45 103.0686817 1386.27377 1.05758 1019.96286
5 1997 14.38 103.0686817 1482.12764 1.10496 1089.38321
6 1997 14.92 103.0686817 1537.78473 1.18017 1129.11174
7 1997 16.03 103.0686817 1652.19097 1.22320 1211.89081
8 1997 15.33 103.0686817 1580.04289 1.31288 1157.65694
9 1997 16.12 103.0686817 1661.46715 1.25413 1216.06027
10 1997 15.30 103.0686817 1576.95083 1.31740 1152.88373
11 1997 15.76 103.0686817 1624.36242 1.24896 1186.29664
12 1997 15.79 103.0686817 1627.45448 1.28515 1187.26966
SURRENDER CHARGE = 7.00%
FREE WITHDRAWAL AVAILABLE = 15.00% OF PRINCIPAL + 15.00% OF INTEREST
GROSS RETURN = 20.26%
WITHOUT WITH
SURRENDER SURRENDER
CHARGE CHARGE
ERV 1187.27 1116.63
TOTAL RETURN 18.73% 11.66%
Return for 1 Year
FUND GROSS ADMIN/
MONTH YEAR NAV SHARES VALUE MTHLY M&E ERV
12 1996 13.13 103.0686817 1353.29179 1000.00000
1 1997 13.64 103.0686817 1405.85682 1.08333 1037.75901
2 1997 13.61 103.0686817 1402.76476 1.12424 1034.35231
3 1997 12.86 103.0686817 1325.46325 1.12055 976.23219
4 1997 13.45 103.0686817 1386.27377 1.05758 1019.96286
5 1997 14.38 103.0686817 1482.12764 1.10496 1089.38321
6 1997 14.92 103.0686817 1537.78473 1.18017 1129.11174
7 1997 16.03 103.0686817 1652.19097 1.22320 1211.89081
8 1997 15.33 103.0686817 1580.04289 1.31288 1157.65694
9 1997 16.12 103.0686817 1661.46715 1.25413 1216.06027
10 1997 15.30 103.0686817 1576.95083 1.31740 1152.88373
11 1997 15.76 103.0686817 1624.36242 1.24896 1186.29664
12 1997 15.79 103.0686817 1627.45448 1.28515 1187.26966
SURRENDER CHARGE = 7.00%
FREE WITHDRAWAL AVAILABLE = 15.00% OF PRINCIPAL + 15.00% OF INTEREST
GROSS RETURN = 20.26%
WITHOUT WITH
SURRENDER SURRENDER
CHARGE CHARGE
ERV 1187.27 1116.63
TOTAL RETURN 18.73% 11.66%
Return for Inception
FUND GROSS ADMIN/
MONTH YEAR NAV SHARES VALUE MTHLY M&E ERV
6 1995 10.00 100.0000000 1000.00000 1000.00000
7 1995 10.00 100.0000000 1000.00000 1.08333 998.91667
8 1995 10.10 100.0000000 1010.00000 1.08216 1007.82367
9 1995 10.40 100.0000000 1040.00000 1.09181 1036.66722
10 1995 10.47 100.0000000 1047.00000 1.12306 1042.52173
11 1995 10.81 100.0000000 1081.00000 1.12940 1075.24691
12 1995 10.89 101.5830869 1106.23982 1.16485 1099.18755
1 1996 11.12 101.5830869 1129.60393 1.19079 1121.21192
2 1996 11.54 101.5830869 1172.26882 1.21465 1162.34521
3 1996 11.52 101.5830869 1170.23716 1.25921 1159.07154
4 1996 11.98 101.5830869 1216.96538 1.25566 1204.09825
5 1996 12.37 101.5830869 1256.58278 1.30444 1241.99233
6 1996 12.21 101.5830869 1240.32949 1.34549 1224.58227
7 1996 11.60 101.5830869 1178.36381 1.32663 1162.07667
8 1996 11.96 101.5830869 1214.93372 1.25892 1196.88220
9 1996 12.68 101.5830869 1288.07354 1.29662 1267.63869
10 1996 12.79 101.5830869 1299.24768 1.37328 1277.26228
11 1996 13.55 101.5830869 1376.45083 1.38370 1351.77532
12 1996 13.13 103.0686817 1353.29179 1.46442 1327.56703
1 1997 13.64 103.0686817 1405.85682 1.43820 1377.69465
2 1997 13.61 103.0686817 1402.76476 1.49250 1373.17203
3 1997 12.86 103.0686817 1325.46325 1.48760 1296.01367
4 1997 13.45 103.0686817 1386.27377 1.40401 1354.06907
5 1997 14.38 103.0686817 1482.12764 1.46691 1446.22924
6 1997 14.92 103.0686817 1537.78473 1.56675 1498.97152
7 1997 16.03 103.0686817 1652.19097 1.62389 1608.86629
8 1997 15.33 103.0686817 1580.04289 1.74294 1536.86718
9 1997 16.12 103.0686817 1661.46715 1.66494 1614.40153
10 1997 15.30 103.0686817 1576.95083 1.74893 1530.53043
11 1997 15.76 103.0686817 1624.36242 1.65807 1574.88831
12 1997 15.79 103.0686817 1627.45448 1.70613 1576.18006
SURRENDER CHARGE = 5.00%
FREE WITHDRAWAL AVAILABLE = 15.00% OF PRINCIPAL + 15.00% OF INTEREST
GROSS RETURN = 62.75%
GROSS ANNUAL RETURN = 22.16%
WITHOUT WITH
SURRENDER SURRENDER
CHARGE CHARGE
ERV 1576.18 1509.19
TOTAL RETURN 57.62% 50.92%
AVERAGE ANNUAL RETURN 20.57% 18.43%
Return for Product Inception
FUND GROSS ADMIN/
MONTH YEAR NAV SHARES VALUE MTHLY M&E ERV
12 1996 13.13 103.0686817 1353.29179 1000.00000
1 1997 13.64 103.0686817 1405.85682 1.08333 1037.75901
2 1997 13.61 103.0686817 1402.76476 1.12424 1034.35231
3 1997 12.86 103.0686817 1325.46325 1.12055 976.23219
4 1997 13.45 103.0686817 1386.27377 1.05758 1019.96286
5 1997 14.38 103.0686817 1482.12764 1.10496 1089.38321
6 1997 14.92 103.0686817 1537.78473 1.18017 1129.11174
7 1997 16.03 103.0686817 1652.19097 1.22320 1211.89081
8 1997 15.33 103.0686817 1580.04289 1.31288 1157.65694
9 1997 16.12 103.0686817 1661.46715 1.25413 1216.06027
10 1997 15.30 103.0686817 1576.95083 1.31740 1152.88373
11 1997 15.76 103.0686817 1624.36242 1.24896 1186.29664
12 1997 15.79 103.0686817 1627.45448 1.28515 1187.26966
SURRENDER CHARGE = 7.00%
FREE WITHDRAWAL AVAILABLE = 15.00% OF PRINCIPAL + 15.00% OF INTEREST
GROSS RETURN = 20.26%
GROSS ANNUAL RETURN = 19.22%
WITHOUT WITH
SURRENDER SURRENDER
CHARGE CHARGE
ERV 1187.27 1116.63
TOTAL RETURN 18.73% 11.66%
AVERAGE ANNUAL RETURN 17.77% 11.09%
MFS Value Series
12/1997
Assume ($10000 @ $10.00 on 8/14/1996)
DATE DIV PR/SH REINVEST NAV REINVEST SHARES SHARE BASIS
(incl cap gain)
100.000000
11/96 0.0538500000 10.59 0.508 100.508499
12/97 1.7629200000 11.43 15.502 116.010550
M and E Charge = 0.0010833
Return for YTD
FUND GROSS ADMIN/
MONTH YEAR NAV SHARES VALUE MTHLY M&E ERV
12 1996 10.66 100.5084986 1071.42059 1000.00000
1 1997 10.96 100.5084986 1101.57314 1.08333 1027.05926
2 1997 10.85 100.5084986 1090.51721 1.11265 1015.63853
3 1997 10.50 100.5084986 1055.33924 1.10028 981.77572
4 1997 10.76 100.5084986 1081.47144 1.06359 1005.02277
5 1997 11.46 100.5084986 1151.82739 1.08877 1069.31652
6 1997 11.86 100.5084986 1192.03079 1.15843 1105.48153
7 1997 12.66 100.5084986 1272.43759 1.19760 1178.85266
8 1997 12.54 100.5084986 1260.37657 1.27709 1166.40161
9 1997 13.11 100.5084986 1317.66642 1.26360 1218.15627
10 1997 12.85 100.5084986 1291.53421 1.31967 1192.67789
11 1997 13.30 100.5084986 1336.76303 1.29207 1233.15275
12 1997 11.68 116.0105495 1355.00322 1.33592 1248.64326
SURRENDER CHARGE = 7.00%
FREE WITHDRAWAL AVAILABLE = 15.00% OF PRINCIPAL + 15.00% OF INTEREST
GROSS RETURN = 26.47%
WITHOUT WITH
SURRENDER SURRENDER
CHARGE CHARGE
ERV 1248.64 1174.35
TOTAL RETURN 24.86% 17.43%
Return for 1 Year
FUND GROSS ADMIN/
MONTH YEAR NAV SHARES VALUE MTHLY M&E ERV
12 1996 10.66 100.5084986 1071.42059 1000.00000
1 1997 10.96 100.5084986 1101.57314 1.08333 1027.05926
2 1997 10.85 100.5084986 1090.51721 1.11265 1015.63853
3 1997 10.50 100.5084986 1055.33924 1.10028 981.77572
4 1997 10.76 100.5084986 1081.47144 1.06359 1005.02277
5 1997 11.46 100.5084986 1151.82739 1.08877 1069.31652
6 1997 11.86 100.5084986 1192.03079 1.15843 1105.48153
7 1997 12.66 100.5084986 1272.43759 1.19760 1178.85266
8 1997 12.54 100.5084986 1260.37657 1.27709 1166.40161
9 1997 13.11 100.5084986 1317.66642 1.26360 1218.15627
10 1997 12.85 100.5084986 1291.53421 1.31967 1192.67789
11 1997 13.30 100.5084986 1336.76303 1.29207 1233.15275
12 1997 11.68 116.0105495 1355.00322 1.33592 1248.64326
SURRENDER CHARGE = 7.00%
FREE WITHDRAWAL AVAILABLE = 15.00% OF PRINCIPAL + 15.00% OF INTEREST
GROSS RETURN = 26.47%
WITHOUT WITH
SURRENDER SURRENDER
CHARGE CHARGE
ERV 1248.64 1174.35
TOTAL RETURN 24.86% 17.43%
Return for Inception
FUND GROSS ADMIN/
MONTH YEAR NAV SHARES VALUE MTHLY M&E ERV
7 1996 10.00 100.0000000 1000.00000 1000.00000
8 1996 9.96 100.0000000 996.00000 1.08333 994.91667
9 1996 10.46 100.0000000 1046.00000 1.07783 1043.78446
10 1996 10.37 100.0000000 1037.00000 1.13077 1033.67275
11 1996 10.80 100.5084986 1085.49178 1.11981 1080.88914
12 1996 10.66 100.5084986 1071.42059 1.17096 1065.70665
1 1997 10.96 100.5084986 1101.57314 1.15452 1094.54388
2 1997 10.85 100.5084986 1090.51721 1.18576 1082.37274
3 1997 10.50 100.5084986 1055.33924 1.17257 1046.28492
4 1997 10.76 100.5084986 1081.47144 1.13348 1071.05945
5 1997 11.46 100.5084986 1151.82739 1.16031 1139.57772
6 1997 11.86 100.5084986 1192.03079 1.23454 1178.11902
7 1997 12.66 100.5084986 1272.43759 1.27630 1256.31112
8 1997 12.54 100.5084986 1260.37657 1.36100 1243.04195
9 1997 13.11 100.5084986 1317.66642 1.34663 1298.19723
10 1997 12.85 100.5084986 1291.53421 1.40638 1271.04476
11 1997 13.30 100.5084986 1336.76303 1.37697 1314.17909
12 1997 11.68 116.0105495 1355.00322 1.42369 1330.68742
SURRENDER CHARGE = 6.00%
FREE WITHDRAWAL AVAILABLE = 15.00% OF PRINCIPAL + 15.00% OF INTEREST
GROSS RETURN = 35.50%
GROSS ANNUAL RETURN = 24.61%
WITHOUT WITH
SURRENDER SURRENDER
CHARGE CHARGE
ERV 1330.69 1262.82
TOTAL RETURN 33.07% 26.28%
AVERAGE ANNUAL RETURN 22.99% 18.41%
Return for Product Inception
FUND GROSS ADMIN/
MONTH YEAR NAV SHARES VALUE MTHLY M&E ERV
12 1996 10.66 100.5084986 1071.42059 1000.00000
1 1997 10.96 100.5084986 1101.57314 1.08333 1027.05926
2 1997 10.85 100.5084986 1090.51721 1.11265 1015.63853
3 1997 10.50 100.5084986 1055.33924 1.10028 981.77572
4 1997 10.76 100.5084986 1081.47144 1.06359 1005.02277
5 1997 11.46 100.5084986 1151.82739 1.08877 1069.31652
6 1997 11.86 100.5084986 1192.03079 1.15843 1105.48153
7 1997 12.66 100.5084986 1272.43759 1.19760 1178.85266
8 1997 12.54 100.5084986 1260.37657 1.27709 1166.40161
9 1997 13.11 100.5084986 1317.66642 1.26360 1218.15627
10 1997 12.85 100.5084986 1291.53421 1.31967 1192.67789
11 1997 13.30 100.5084986 1336.76303 1.29207 1233.15275
12 1997 11.68 116.0105495 1355.00322 1.33592 1248.64326
SURRENDER CHARGE = 7.00%
FREE WITHDRAWAL AVAILABLE = 15.00% OF PRINCIPAL + 15.00% OF INTEREST
GROSS RETURN = 26.47%
GROSS ANNUAL RETURN = 25.08%
WITHOUT WITH
SURRENDER SURRENDER
CHARGE CHARGE
ERV 1248.64 1174.35
TOTAL RETURN 24.86% 17.43%
AVERAGE ANNUAL RETURN 23.57% 16.55%
MFS World Government
12/1997
Assume ($10000 @ $10.00 on 6/14/1994)
DATE DIV PR/SH REINVEST NAV REINVEST SHARES SHARE BASIS
(incl cap gain)
100.000000
12/94 0.2600000000 9.86 2.637 102.636917
12/95 1.0600000000 10.15 10.719 113.355649
4/97 0.2459000000 10.02 2.782 116.137501
M and E Charge = 0.0010833
Return for YTD
FUND GROSS ADMIN/
MONTH YEAR NAV SHARES VALUE MTHLY M&E ERV
12 1996 10.58 113.3556490 1199.30277 1000.00000
1 1997 10.33 113.3556490 1170.96385 1.08333 975.28718
2 1997 10.33 113.3556490 1170.96385 1.05656 974.23062
3 1997 10.24 113.3556490 1160.76185 1.05542 964.68723
4 1997 9.87 116.1375007 1146.27713 1.04508 951.60418
5 1997 10.08 116.1375007 1170.66601 1.03090 970.82017
6 1997 10.15 116.1375007 1178.79563 1.05172 976.51026
7 1997 10.04 116.1375007 1166.02051 1.05789 964.86950
8 1997 10.06 116.1375007 1168.34326 1.04528 965.74628
9 1997 10.30 116.1375007 1196.21626 1.04623 987.73972
10 1997 10.41 116.1375007 1208.99138 1.07005 997.21835
11 1997 10.24 116.1375007 1189.24801 1.08032 979.85300
12 1997 10.21 116.1375007 1185.76388 1.06151 975.92083
SURRENDER CHARGE = 7.00%
FREE WITHDRAWAL AVAILABLE = 15.00% OF PRINCIPAL + 15.00% OF INTEREST
GROSS RETURN = -1.13%
WITHOUT WITH
SURRENDER SURRENDER
CHARGE CHARGE
ERV 975.92 917.85
TOTAL RETURN -2.41% -8.21%
Return for 1 Year
FUND GROSS ADMIN/
MONTH YEAR NAV SHARES VALUE MTHLY M&E ERV
12 1996 10.58 113.3556490 1199.30277 1000.00000
1 1997 10.33 113.3556490 1170.96385 1.08333 975.28718
2 1997 10.33 113.3556490 1170.96385 1.05656 974.23062
3 1997 10.24 113.3556490 1160.76185 1.05542 964.68723
4 1997 9.87 116.1375007 1146.27713 1.04508 951.60418
5 1997 10.08 116.1375007 1170.66601 1.03090 970.82017
6 1997 10.15 116.1375007 1178.79563 1.05172 976.51026
7 1997 10.04 116.1375007 1166.02051 1.05789 964.86950
8 1997 10.06 116.1375007 1168.34326 1.04528 965.74628
9 1997 10.30 116.1375007 1196.21626 1.04623 987.73972
10 1997 10.41 116.1375007 1208.99138 1.07005 997.21835
11 1997 10.24 116.1375007 1189.24801 1.08032 979.85300
12 1997 10.21 116.1375007 1185.76388 1.06151 975.92083
SURRENDER CHARGE = 7.00%
FREE WITHDRAWAL AVAILABLE = 15.00% OF PRINCIPAL + 15.00% OF INTEREST
GROSS RETURN = -1.13%
WITHOUT WITH
SURRENDER SURRENDER
CHARGE CHARGE
ERV 975.92 917.85
TOTAL RETURN -2.41% -8.21%
Return for 3 Years
FUND GROSS ADMIN/
MONTH YEAR NAV SHARES VALUE MTHLY M&E ERV
12 1994 9.82 102.6369168 1007.89452 1000.00000
1 1995 9.91 102.6369168 1017.13185 1.08333 1008.08164
2 1995 10.12 102.6369168 1038.68560 1.09209 1028.35152
3 1995 10.64 102.6369168 1092.05680 1.11405 1080.07767
4 1995 10.69 102.6369168 1097.18864 1.17008 1083.98314
5 1995 10.88 102.6369168 1116.68966 1.17432 1102.07513
6 1995 10.91 102.6369168 1119.76876 1.19391 1103.92002
7 1995 10.89 102.6369168 1117.71602 1.19591 1100.70042
8 1995 10.73 102.6369168 1101.29412 1.19243 1083.33609
9 1995 10.86 102.6369168 1114.63692 1.17361 1095.28771
10 1995 11.02 102.6369168 1131.05882 1.18656 1110.23798
11 1995 11.21 102.6369168 1150.55984 1.20276 1128.17726
12 1995 10.17 113.3556490 1152.82695 1.22219 1129.17807
1 1996 10.13 113.3556490 1148.29272 1.22328 1123.51359
2 1996 9.95 113.3556490 1127.88871 1.21714 1102.33273
3 1996 9.94 113.3556490 1126.75515 1.19419 1100.03066
4 1996 10.01 113.3556490 1134.69005 1.19170 1106.58566
5 1996 10.04 113.3556490 1138.09072 1.19880 1108.70330
6 1996 10.10 113.3556490 1144.89206 1.20110 1114.12792
7 1996 10.27 113.3556490 1164.16252 1.20697 1131.67360
8 1996 10.29 113.3556490 1166.42963 1.22598 1132.65146
9 1996 10.34 113.3556490 1172.09741 1.22704 1136.92807
10 1996 10.52 113.3556490 1192.50143 1.23167 1155.48818
11 1996 10.66 113.3556490 1208.37122 1.25178 1169.61363
12 1996 10.58 113.3556490 1199.30277 1.26708 1159.56896
1 1997 10.33 113.3556490 1170.96385 1.25620 1130.91273
2 1997 10.33 113.3556490 1170.96385 1.22516 1129.68758
3 1997 10.24 113.3556490 1160.76185 1.22383 1118.62136
4 1997 9.87 116.1375007 1146.27713 1.21184 1103.45066
5 1997 10.08 116.1375007 1170.66601 1.19540 1125.73293
6 1997 10.15 116.1375007 1178.79563 1.21954 1132.33098
7 1997 10.04 116.1375007 1166.02051 1.22669 1118.83272
8 1997 10.06 116.1375007 1168.34326 1.21207 1119.84940
9 1997 10.30 116.1375007 1196.21626 1.21317 1145.35232
10 1997 10.41 116.1375007 1208.99138 1.24080 1156.34344
11 1997 10.24 116.1375007 1189.24801 1.25271 1136.20712
12 1997 10.21 116.1375007 1185.76388 1.23089 1131.64750
SURRENDER CHARGE = 5.00%
FREE WITHDRAWAL AVAILABLE = 15.00% OF PRINCIPAL + 15.00% OF INTEREST
GROSS RETURN = 17.65%
GROSS ANNUAL RETURN = 5.57%
WITHOUT WITH
SURRENDER SURRENDER
CHARGE CHARGE
ERV 1131.65 1083.55
TOTAL RETURN 13.16% 8.36%
AVERAGE ANNUAL RETURN 4.21% 2.71%
Return for Inception
FUND GROSS ADMIN/
MONTH YEAR NAV SHARES VALUE MTHLY M&E ERV
5 1994 10.00 100.0000000 1000.00000 1000.00000
6 1994 10.02 100.0000000 1002.00000 1.08333 1000.91667
7 1994 9.92 100.0000000 992.00000 1.08433 989.84315
8 1994 9.90 100.0000000 990.00000 1.07233 986.77517
9 1994 9.94 100.0000000 994.00000 1.06901 989.69313
10 1994 10.16 100.0000000 1016.00000 1.07217 1010.52564
11 1994 10.06 100.0000000 1006.00000 1.09474 999.48479
12 1994 9.82 102.6369168 1007.89452 1.08278 1000.28427
1 1995 9.91 102.6369168 1017.13185 1.08364 1008.36820
2 1995 10.12 102.6369168 1038.68560 1.09240 1028.64385
3 1995 10.64 102.6369168 1092.05680 1.11436 1080.38470
4 1995 10.69 102.6369168 1097.18864 1.17042 1084.29128
5 1995 10.88 102.6369168 1116.68966 1.17465 1102.38841
6 1995 10.91 102.6369168 1119.76876 1.19425 1104.23383
7 1995 10.89 102.6369168 1117.71602 1.19625 1101.01332
8 1995 10.73 102.6369168 1101.29412 1.19276 1083.64405
9 1995 10.86 102.6369168 1114.63692 1.17395 1095.59906
10 1995 11.02 102.6369168 1131.05882 1.18690 1110.55358
11 1995 11.21 102.6369168 1150.55984 1.20310 1128.49796
12 1995 10.17 113.3556490 1152.82695 1.22254 1129.49906
1 1996 10.13 113.3556490 1148.29272 1.22362 1123.83296
2 1996 9.95 113.3556490 1127.88871 1.21749 1102.64609
3 1996 9.94 113.3556490 1126.75515 1.19453 1100.34337
4 1996 10.01 113.3556490 1134.69005 1.19204 1106.90023
5 1996 10.04 113.3556490 1138.09072 1.19914 1109.01847
6 1996 10.10 113.3556490 1144.89206 1.20144 1114.44463
7 1996 10.27 113.3556490 1164.16252 1.20731 1131.99529
8 1996 10.29 113.3556490 1166.42963 1.22633 1132.97344
9 1996 10.34 113.3556490 1172.09741 1.22739 1137.25126
10 1996 10.52 113.3556490 1192.50143 1.23202 1155.81665
11 1996 10.66 113.3556490 1208.37122 1.25213 1169.94611
12 1996 10.58 113.3556490 1199.30277 1.26744 1159.89858
1 1997 10.33 113.3556490 1170.96385 1.25656 1131.23422
2 1997 10.33 113.3556490 1170.96385 1.22550 1130.00871
3 1997 10.24 113.3556490 1160.76185 1.22418 1118.93935
4 1997 9.87 116.1375007 1146.27713 1.21218 1103.76434
5 1997 10.08 116.1375007 1170.66601 1.19574 1126.05294
6 1997 10.15 116.1375007 1178.79563 1.21989 1132.65286
7 1997 10.04 116.1375007 1166.02051 1.22704 1119.15077
8 1997 10.06 116.1375007 1168.34326 1.21241 1120.16774
9 1997 10.30 116.1375007 1196.21626 1.21352 1145.67791
10 1997 10.41 116.1375007 1208.99138 1.24115 1156.67215
11 1997 10.24 116.1375007 1189.24801 1.25306 1136.53011
12 1997 10.21 116.1375007 1185.76388 1.23124 1131.96919
SURRENDER CHARGE = 4.00%
FREE WITHDRAWAL AVAILABLE = 15.00% OF PRINCIPAL + 15.00% OF INTEREST
GROSS RETURN = 18.58%
GROSS ANNUAL RETURN = 4.92%
WITHOUT WITH
SURRENDER SURRENDER
CHARGE CHARGE
ERV 1131.97 1093.48
TOTAL RETURN 13.20% 9.35%
AVERAGE ANNUAL RETURN 3.56% 2.55%
Return for Product Inception
FUND GROSS ADMIN/
MONTH YEAR NAV SHARES VALUE MTHLY M&E ERV
12 1996 10.58 113.3556490 1199.30277 1000.00000
1 1997 10.33 113.3556490 1170.96385 1.08333 975.28718
2 1997 10.33 113.3556490 1170.96385 1.05656 974.23062
3 1997 10.24 113.3556490 1160.76185 1.05542 964.68723
4 1997 9.87 116.1375007 1146.27713 1.04508 951.60418
5 1997 10.08 116.1375007 1170.66601 1.03090 970.82017
6 1997 10.15 116.1375007 1178.79563 1.05172 976.51026
7 1997 10.04 116.1375007 1166.02051 1.05789 964.86950
8 1997 10.06 116.1375007 1168.34326 1.04528 965.74628
9 1997 10.30 116.1375007 1196.21626 1.04623 987.73972
10 1997 10.41 116.1375007 1208.99138 1.07005 997.21835
11 1997 10.24 116.1375007 1189.24801 1.08032 979.85300
12 1997 10.21 116.1375007 1185.76388 1.06151 975.92083
SURRENDER CHARGE = 7.00%
FREE WITHDRAWAL AVAILABLE = 15.00% OF PRINCIPAL + 15.00% OF INTEREST
GROSS RETURN = -1.13%
GROSS ANNUAL RETURN = -1.08%
WITHOUT WITH
SURRENDER SURRENDER
CHARGE CHARGE
ERV 975.92 917.85
TOTAL RETURN -2.41% -8.21%
AVERAGE ANNUAL RETURN -2.30% -7.84%
Pioneer Capital Growth
12/1997
Assume ($10000 @ $10.00 on 3/ 1/1995)
DATE DIV PR/SH REINVEST NAV REINVEST SHARES SHARE BASIS
(incl cap gain)
100.000000
12/95 0.1475000000 11.57 1.275 101.274849
6/96 0.0729000000 13.29 0.556 101.830374
12/96 0.1855000000 13.05 1.447 103.277848
6/97 0.1139000000 15.09 0.780 104.057394
M and E Charge = 0.0010833
Return for YTD
FUND GROSS ADMIN/
MONTH YEAR NAV SHARES VALUE MTHLY M&E ERV
12 1996 13.05 103.2778483 1347.77592 1000.00000
1 1997 13.77 103.2778483 1422.13597 1.08333 1054.08908
2 1997 13.92 103.2778483 1437.62765 1.14193 1064.42960
3 1997 13.82 103.2778483 1427.29986 1.15313 1055.62971
4 1997 13.60 103.2778483 1404.57874 1.14360 1037.68158
5 1997 14.71 103.2778483 1519.21715 1.12416 1121.25056
6 1997 14.94 104.0573942 1554.61747 1.21469 1146.16290
7 1997 15.81 104.0573942 1645.14740 1.24168 1211.66565
8 1997 16.14 104.0573942 1679.48634 1.31264 1235.64394
9 1997 16.88 104.0573942 1756.48881 1.33861 1290.95815
10 1997 15.98 104.0573942 1662.83716 1.39854 1220.72890
11 1997 16.03 104.0573942 1668.04003 1.32246 1223.22600
12 1997 16.15 104.0573942 1680.52692 1.32516 1231.05786
SURRENDER CHARGE = 7.00%
FREE WITHDRAWAL AVAILABLE = 15.00% OF PRINCIPAL + 15.00% OF INTEREST
GROSS RETURN = 24.69%
WITHOUT WITH
SURRENDER SURRENDER
CHARGE CHARGE
ERV 1231.06 1157.81
TOTAL RETURN 23.11% 15.78%
Return for 1 Year
FUND GROSS ADMIN/
MONTH YEAR NAV SHARES VALUE MTHLY M&E ERV
12 1996 13.05 103.2778483 1347.77592 1000.00000
1 1997 13.77 103.2778483 1422.13597 1.08333 1054.08908
2 1997 13.92 103.2778483 1437.62765 1.14193 1064.42960
3 1997 13.82 103.2778483 1427.29986 1.15313 1055.62971
4 1997 13.60 103.2778483 1404.57874 1.14360 1037.68158
5 1997 14.71 103.2778483 1519.21715 1.12416 1121.25056
6 1997 14.94 104.0573942 1554.61747 1.21469 1146.16290
7 1997 15.81 104.0573942 1645.14740 1.24168 1211.66565
8 1997 16.14 104.0573942 1679.48634 1.31264 1235.64394
9 1997 16.88 104.0573942 1756.48881 1.33861 1290.95815
10 1997 15.98 104.0573942 1662.83716 1.39854 1220.72890
11 1997 16.03 104.0573942 1668.04003 1.32246 1223.22600
12 1997 16.15 104.0573942 1680.52692 1.32516 1231.05786
SURRENDER CHARGE = 7.00%
FREE WITHDRAWAL AVAILABLE = 15.00% OF PRINCIPAL + 15.00% OF INTEREST
GROSS RETURN = 24.69%
WITHOUT WITH
SURRENDER SURRENDER
CHARGE CHARGE
ERV 1231.06 1157.81
TOTAL RETURN 23.11% 15.78%
Return for Inception
FUND GROSS ADMIN/
MONTH YEAR NAV SHARES VALUE MTHLY M&E ERV
2 1995 10.00 100.0000000 1000.00000 1000.00000
3 1995 9.91 100.0000000 991.00000 1.08333 989.91667
4 1995 10.07 100.0000000 1007.00000 1.07241 1004.82677
5 1995 10.13 100.0000000 1013.00000 1.08856 1009.72526
6 1995 10.65 100.0000000 1065.00000 1.09387 1060.46328
7 1995 11.46 100.0000000 1146.00000 1.14884 1139.96940
8 1995 11.80 100.0000000 1180.00000 1.23497 1172.55552
9 1995 11.98 100.0000000 1198.00000 1.27027 1189.17169
10 1995 11.60 100.0000000 1160.00000 1.28827 1150.16345
11 1995 11.84 100.0000000 1184.00000 1.24601 1172.71393
12 1995 11.57 101.2748487 1171.75000 1.27044 1159.31025
1 1996 11.83 101.2748487 1198.08146 1.25592 1184.10625
2 1996 11.87 101.2748487 1202.13245 1.28278 1186.82721
3 1996 12.47 101.2748487 1262.89736 1.28573 1245.53275
4 1996 13.21 101.2748487 1337.84075 1.34933 1318.09635
5 1996 13.74 101.2748487 1391.51642 1.42794 1369.55191
6 1996 13.29 101.8303744 1353.32568 1.48368 1330.48031
7 1996 12.20 101.8303744 1242.33057 1.44135 1219.91755
8 1996 12.71 101.8303744 1294.26406 1.32158 1269.59252
9 1996 12.91 101.8303744 1314.63013 1.37539 1288.19498
10 1996 12.75 101.8303744 1298.33727 1.39554 1270.83420
11 1996 13.13 101.8303744 1337.03282 1.37674 1307.33331
12 1996 13.05 103.2778483 1347.77592 1.41628 1316.42150
1 1997 13.77 103.2778483 1422.13597 1.42612 1387.62553
2 1997 13.92 103.2778483 1437.62765 1.50326 1401.23801
3 1997 13.82 103.2778483 1427.29986 1.51801 1389.65364
4 1997 13.60 103.2778483 1404.57874 1.50546 1366.02635
5 1997 14.71 103.2778483 1519.21715 1.47986 1476.03834
6 1997 14.94 104.0573942 1554.61747 1.59904 1508.83348
7 1997 15.81 104.0573942 1645.14740 1.63457 1595.06271
8 1997 16.14 104.0573942 1679.48634 1.72798 1626.62825
9 1997 16.88 104.0573942 1756.48881 1.76218 1699.44506
10 1997 15.98 104.0573942 1662.83716 1.84107 1606.99377
11 1997 16.03 104.0573942 1668.04003 1.74091 1610.28100
12 1997 16.15 104.0573942 1680.52692 1.74447 1620.59104
SURRENDER CHARGE = 5.00%
FREE WITHDRAWAL AVAILABLE = 15.00% OF PRINCIPAL + 15.00% OF INTEREST
GROSS RETURN = 68.05%
GROSS ANNUAL RETURN = 20.09%
WITHOUT WITH
SURRENDER SURRENDER
CHARGE CHARGE
ERV 1620.59 1551.72
TOTAL RETURN 62.06% 55.17%
AVERAGE ANNUAL RETURN 18.56% 16.76%
Return for Product Inception
FUND GROSS ADMIN/
MONTH YEAR NAV SHARES VALUE MTHLY M&E ERV
12 1996 13.05 103.2778483 1347.77592 1000.00000
1 1997 13.77 103.2778483 1422.13597 1.08333 1054.08908
2 1997 13.92 103.2778483 1437.62765 1.14193 1064.42960
3 1997 13.82 103.2778483 1427.29986 1.15313 1055.62971
4 1997 13.60 103.2778483 1404.57874 1.14360 1037.68158
5 1997 14.71 103.2778483 1519.21715 1.12416 1121.25056
6 1997 14.94 104.0573942 1554.61747 1.21469 1146.16290
7 1997 15.81 104.0573942 1645.14740 1.24168 1211.66565
8 1997 16.14 104.0573942 1679.48634 1.31264 1235.64394
9 1997 16.88 104.0573942 1756.48881 1.33861 1290.95815
10 1997 15.98 104.0573942 1662.83716 1.39854 1220.72890
11 1997 16.03 104.0573942 1668.04003 1.32246 1223.22600
12 1997 16.15 104.0573942 1680.52692 1.32516 1231.05786
SURRENDER CHARGE = 7.00%
FREE WITHDRAWAL AVAILABLE = 15.00% OF PRINCIPAL + 15.00% OF INTEREST
GROSS RETURN = 24.69%
GROSS ANNUAL RETURN = 23.40%
WITHOUT WITH
SURRENDER SURRENDER
CHARGE CHARGE
ERV 1231.06 1157.81
TOTAL RETURN 23.11% 15.78%
AVERAGE ANNUAL RETURN 21.91% 14.99%
Pioneer Real Estate
12/1997
Assume ($10000 @ $10.00 on 3/ 1/1995)
DATE DIV PR/SH REINVEST NAV REINVEST SHARES SHARE BASIS
(incl cap gain)
100.000000
6/95 0.1500000000 10.57 1.419 101.419111
9/95 0.1700000000 11.15 1.546 102.965411
12/95 0.1252000000 11.23 1.148 104.113342
3/96 0.1500000000 11.39 1.371 105.484458
6/96 0.1600000000 11.51 1.466 106.950792
9/96 0.1400000000 12.52 1.196 108.146728
12/96 0.1987000000 14.46 1.486 109.632810
3/97 0.1300000000 14.61 0.976 110.608325
6/97 0.1200000000 14.88 0.892 111.500327
7/97 0.0270000000 15.70 0.192 111.692079
9/97 0.1200000000 16.59 0.808 112.499979
12/97 0.1703000000 16.29 1.176 113.676084
M and E Charge = 0.0010833
Return for YTD
FUND GROSS ADMIN/
MONTH YEAR NAV SHARES VALUE MTHLY M&E ERV
12 1996 14.46 109.6328103 1585.29044 1000.00000
1 1997 14.68 109.6328103 1609.40966 1.08333 1014.13105
2 1997 14.68 109.6328103 1609.40966 1.09864 1013.03241
3 1997 14.61 110.6083247 1615.98762 1.09745 1016.07542
4 1997 13.98 110.6083247 1546.30438 1.10075 971.16033
5 1997 14.44 110.6083247 1597.18421 1.05209 1002.06344
6 1997 15.09 111.5003273 1682.53994 1.08557 1054.52953
7 1997 15.89 111.6920795 1774.78714 1.14241 1111.20293
8 1997 15.74 111.6920795 1758.03333 1.20380 1099.50948
9 1997 17.17 112.4999788 1931.62464 1.19114 1206.88584
10 1997 16.56 112.4999788 1862.99965 1.30746 1162.70125
11 1997 16.54 112.4999788 1860.74965 1.25959 1160.03743
12 1997 16.90 113.6760836 1921.12581 1.25671 1196.42072
SURRENDER CHARGE = 7.00%
FREE WITHDRAWAL AVAILABLE = 15.00% OF PRINCIPAL + 15.00% OF INTEREST
GROSS RETURN = 21.18%
WITHOUT WITH
SURRENDER SURRENDER
CHARGE CHARGE
ERV 1196.42 1125.23
TOTAL RETURN 19.64% 12.52%
Return for 1 Year
FUND GROSS ADMIN/
MONTH YEAR NAV SHARES VALUE MTHLY M&E ERV
12 1996 14.46 109.6328103 1585.29044 1000.00000
1 1997 14.68 109.6328103 1609.40966 1.08333 1014.13105
2 1997 14.68 109.6328103 1609.40966 1.09864 1013.03241
3 1997 14.61 110.6083247 1615.98762 1.09745 1016.07542
4 1997 13.98 110.6083247 1546.30438 1.10075 971.16033
5 1997 14.44 110.6083247 1597.18421 1.05209 1002.06344
6 1997 15.09 111.5003273 1682.53994 1.08557 1054.52953
7 1997 15.89 111.6920795 1774.78714 1.14241 1111.20293
8 1997 15.74 111.6920795 1758.03333 1.20380 1099.50948
9 1997 17.17 112.4999788 1931.62464 1.19114 1206.88584
10 1997 16.56 112.4999788 1862.99965 1.30746 1162.70125
11 1997 16.54 112.4999788 1860.74965 1.25959 1160.03743
12 1997 16.90 113.6760836 1921.12581 1.25671 1196.42072
SURRENDER CHARGE = 7.00%
FREE WITHDRAWAL AVAILABLE = 15.00% OF PRINCIPAL + 15.00% OF INTEREST
GROSS RETURN = 21.18%
WITHOUT WITH
SURRENDER SURRENDER
CHARGE CHARGE
ERV 1196.42 1125.23
TOTAL RETURN 19.64% 12.52%
Return for Inception
FUND GROSS ADMIN/
MONTH YEAR NAV SHARES VALUE MTHLY M&E ERV
2 1995 10.00 100.0000000 1000.00000 1000.00000
3 1995 10.00 100.0000000 1000.00000 1.08333 998.91667
4 1995 9.83 100.0000000 983.00000 1.08216 980.85292
5 1995 10.35 100.0000000 1035.00000 1.06259 1031.67675
6 1995 10.57 101.4191107 1072.00000 1.11765 1067.44030
7 1995 10.90 101.4191107 1105.46831 1.15639 1099.60986
8 1995 11.06 101.4191107 1121.69536 1.19124 1114.55968
9 1995 11.15 102.9654110 1148.06433 1.20744 1139.55346
10 1995 10.77 102.9654110 1108.93748 1.23452 1099.48214
11 1995 10.79 102.9654110 1110.99679 1.19111 1100.33279
12 1995 11.23 104.1133424 1169.19284 1.19203 1156.77821
1 1996 11.34 104.1133424 1180.64530 1.25318 1166.85590
2 1996 11.54 104.1133424 1201.46797 1.26409 1186.17127
3 1996 11.39 105.4844576 1201.46797 1.28502 1184.88626
4 1996 11.36 105.4844576 1198.30344 1.28363 1180.48177
5 1996 11.59 105.4844576 1222.56486 1.27886 1203.10351
6 1996 11.51 106.9507923 1231.00362 1.30336 1210.10458
7 1996 11.68 106.9507923 1249.18525 1.31095 1226.66659
8 1996 12.27 106.9507923 1312.28622 1.32889 1287.30117
9 1996 12.52 108.1467277 1353.99703 1.39458 1326.82326
10 1996 12.79 108.1467277 1383.19665 1.43739 1353.99946
11 1996 13.29 108.1467277 1437.27001 1.46683 1405.46459
12 1996 14.46 109.6328103 1585.29044 1.52259 1548.68688
1 1997 14.68 109.6328103 1609.40966 1.67774 1570.57145
2 1997 14.68 109.6328103 1609.40966 1.70145 1568.87000
3 1997 14.61 110.6083247 1615.98762 1.69961 1573.58266
4 1997 13.98 110.6083247 1546.30438 1.70471 1504.02326
5 1997 14.44 110.6083247 1597.18421 1.62936 1551.88250
6 1997 15.09 111.5003273 1682.53994 1.68121 1633.13604
7 1997 15.89 111.6920795 1774.78714 1.76923 1720.90539
8 1997 15.74 111.6920795 1758.03333 1.86431 1702.79590
9 1997 17.17 112.4999788 1931.62464 1.84470 1869.08827
10 1997 16.56 112.4999788 1862.99965 2.02485 1800.66017
11 1997 16.54 112.4999788 1860.74965 1.95072 1796.53474
12 1997 16.90 113.6760836 1921.12581 1.94625 1852.88107
SURRENDER CHARGE = 5.00%
FREE WITHDRAWAL AVAILABLE = 15.00% OF PRINCIPAL + 15.00% OF INTEREST
GROSS RETURN = 92.11%
GROSS ANNUAL RETURN = 25.89%
WITHOUT WITH
SURRENDER SURRENDER
CHARGE CHARGE
ERV 1852.88 1774.13
TOTAL RETURN 85.29% 77.41%
AVERAGE ANNUAL RETURN 24.30% 22.41%
Return for Product Inception
FUND GROSS ADMIN/
MONTH YEAR NAV SHARES VALUE MTHLY M&E ERV
12 1996 14.46 109.6328103 1585.29044 1000.00000
1 1997 14.68 109.6328103 1609.40966 1.08333 1014.13105
2 1997 14.68 109.6328103 1609.40966 1.09864 1013.03241
3 1997 14.61 110.6083247 1615.98762 1.09745 1016.07542
4 1997 13.98 110.6083247 1546.30438 1.10075 971.16033
5 1997 14.44 110.6083247 1597.18421 1.05209 1002.06344
6 1997 15.09 111.5003273 1682.53994 1.08557 1054.52953
7 1997 15.89 111.6920795 1774.78714 1.14241 1111.20293
8 1997 15.74 111.6920795 1758.03333 1.20380 1099.50948
9 1997 17.17 112.4999788 1931.62464 1.19114 1206.88584
10 1997 16.56 112.4999788 1862.99965 1.30746 1162.70125
11 1997 16.54 112.4999788 1860.74965 1.25959 1160.03743
12 1997 16.90 113.6760836 1921.12581 1.25671 1196.42072
SURRENDER CHARGE = 7.00%
FREE WITHDRAWAL AVAILABLE = 15.00% OF PRINCIPAL + 15.00% OF INTEREST
GROSS RETURN = 21.18%
GROSS ANNUAL RETURN = 20.10%
WITHOUT WITH
SURRENDER SURRENDER
CHARGE CHARGE
ERV 1196.42 1125.23
TOTAL RETURN 19.64% 12.52%
AVERAGE ANNUAL RETURN 18.64% 11.90%
Scudder International
12/1997
Assume ($10000 @ $10.00 on 5/ 1/1987)
DATE DIV PR/SH REINVEST NAV REINVEST SHARES SHARE BASIS
(incl cap gain)
100.000000
12/87 0.1020000000 5.26 1.939 101.939163
1/90 0.0350000000 8.34 0.428 102.366966
2/91 0.2000000000 8.44 2.426 104.792723
2/92 0.0900000000 8.23 1.146 105.938695
2/93 0.2550000000 8.12 3.327 109.265587
2/94 0.0700000000 11.01 0.695 109.960282
2/95 0.0500000000 10.18 0.540 110.500362
2/96 0.2750000000 11.89 2.556 113.056090
4/96 0.0100000000 12.52 0.090 113.146390
2/97 0.3200000000 13.23 2.737 115.883113
M and E Charge = 0.0010833
Return for YTD
FUND GROSS ADMIN/
MONTH YEAR NAV SHARES VALUE MTHLY M&E ERV
12 1996 13.25 113.1463899 1499.18967 1000.00000
1 1997 13.25 113.1463899 1499.18967 1.08333 998.91667
2 1997 13.15 115.8831129 1523.86293 1.08216 1014.27441
3 1997 13.21 115.8831129 1530.81592 1.09880 1017.80348
4 1997 13.28 115.8831129 1538.92774 1.10262 1022.09422
5 1997 14.04 115.8831129 1626.99891 1.10727 1079.48030
6 1997 14.76 115.8831129 1710.43475 1.16944 1133.66882
7 1997 15.33 115.8831129 1776.48812 1.22814 1176.22058
8 1997 14.01 115.8831129 1623.52241 1.27424 1073.66707
9 1997 14.96 115.8831129 1733.61137 1.16314 1145.30791
10 1997 13.93 115.8831129 1614.25176 1.24075 1065.21240
11 1997 13.98 115.8831129 1620.04592 1.15398 1067.88187
12 1997 14.11 115.8831129 1635.11072 1.15687 1076.65523
SURRENDER CHARGE = 7.00%
FREE WITHDRAWAL AVAILABLE = 15.00% OF PRINCIPAL + 15.00% OF INTEREST
GROSS RETURN = 9.07%
WITHOUT WITH
SURRENDER SURRENDER
CHARGE CHARGE
ERV 1076.66 1012.59
TOTAL RETURN 7.67% 1.26%
Return for 1 Year
FUND GROSS ADMIN/
MONTH YEAR NAV SHARES VALUE MTHLY M&E ERV
12 1996 13.25 113.1463899 1499.18967 1000.00000
1 1997 13.25 113.1463899 1499.18967 1.08333 998.91667
2 1997 13.15 115.8831129 1523.86293 1.08216 1014.27441
3 1997 13.21 115.8831129 1530.81592 1.09880 1017.80348
4 1997 13.28 115.8831129 1538.92774 1.10262 1022.09422
5 1997 14.04 115.8831129 1626.99891 1.10727 1079.48030
6 1997 14.76 115.8831129 1710.43475 1.16944 1133.66882
7 1997 15.33 115.8831129 1776.48812 1.22814 1176.22058
8 1997 14.01 115.8831129 1623.52241 1.27424 1073.66707
9 1997 14.96 115.8831129 1733.61137 1.16314 1145.30791
10 1997 13.93 115.8831129 1614.25176 1.24075 1065.21240
11 1997 13.98 115.8831129 1620.04592 1.15398 1067.88187
12 1997 14.11 115.8831129 1635.11072 1.15687 1076.65523
SURRENDER CHARGE = 7.00%
FREE WITHDRAWAL AVAILABLE = 15.00% OF PRINCIPAL + 15.00% OF INTEREST
GROSS RETURN = 9.07%
WITHOUT WITH
SURRENDER SURRENDER
CHARGE CHARGE
ERV 1076.66 1012.59
TOTAL RETURN 7.67% 1.26%
Return for 3 Years
FUND GROSS ADMIN/
MONTH YEAR NAV SHARES VALUE MTHLY M&E ERV
12 1994 10.69 109.9602821 1175.47542 1000.00000
1 1995 10.18 109.9602821 1119.39567 1.08333 951.20853
2 1995 10.14 110.5003621 1120.47367 1.03048 951.09408
3 1995 10.39 110.5003621 1148.09876 1.03035 973.51280
4 1995 10.93 110.5003621 1207.76896 1.05464 1023.05459
5 1995 10.94 110.5003621 1208.87396 1.10831 1022.88229
6 1995 11.09 110.5003621 1225.44902 1.10812 1035.79906
7 1995 11.75 110.5003621 1298.37925 1.12212 1096.32053
8 1995 11.53 110.5003621 1274.06917 1.18768 1074.60600
9 1995 11.82 110.5003621 1306.11428 1.16416 1100.47009
10 1995 11.55 110.5003621 1276.27918 1.19218 1074.14027
11 1995 11.66 110.5003621 1288.43422 1.16365 1083.20653
12 1995 11.82 110.5003621 1306.11428 1.17347 1096.89695
1 1996 12.04 110.5003621 1330.42436 1.18830 1116.12467
2 1996 11.84 113.0560895 1338.58410 1.20914 1121.76093
3 1996 12.09 113.0560895 1366.84812 1.21524 1144.23152
4 1996 12.48 113.1463899 1412.06695 1.23958 1180.84604
5 1996 12.48 113.1463899 1412.06695 1.27925 1179.56679
6 1996 12.61 113.1463899 1426.77598 1.27786 1190.57608
7 1996 12.14 113.1463899 1373.59717 1.28979 1144.91113
8 1996 12.33 113.1463899 1395.09499 1.24032 1161.58951
9 1996 12.61 113.1463899 1426.77598 1.25839 1186.70948
10 1996 12.55 113.1463899 1419.98719 1.28560 1179.77736
11 1996 13.11 113.1463899 1483.34917 1.27809 1231.14272
12 1996 13.25 113.1463899 1499.18967 1.33374 1242.95619
1 1997 13.25 113.1463899 1499.18967 1.34654 1241.60966
2 1997 13.15 115.8831129 1523.86293 1.34508 1260.69866
3 1997 13.21 115.8831129 1530.81592 1.36576 1265.08515
4 1997 13.28 115.8831129 1538.92774 1.37051 1270.41834
5 1997 14.04 115.8831129 1626.99891 1.37629 1341.74672
6 1997 14.76 115.8831129 1710.43475 1.45356 1409.10069
7 1997 15.33 115.8831129 1776.48812 1.52653 1461.99065
8 1997 14.01 115.8831129 1623.52241 1.58382 1334.52113
9 1997 14.96 115.8831129 1733.61137 1.44573 1423.56756
10 1997 13.93 115.8831129 1614.25176 1.54220 1324.01235
11 1997 13.98 115.8831129 1620.04592 1.43435 1327.33038
12 1997 14.11 115.8831129 1635.11072 1.43794 1338.23529
SURRENDER CHARGE = 5.00%
FREE WITHDRAWAL AVAILABLE = 15.00% OF PRINCIPAL + 15.00% OF INTEREST
GROSS RETURN = 39.10%
GROSS ANNUAL RETURN = 11.63%
WITHOUT WITH
SURRENDER SURRENDER
CHARGE CHARGE
ERV 1338.24 1281.36
TOTAL RETURN 33.82% 28.14%
AVERAGE ANNUAL RETURN 10.20% 8.62%
Return for 5 Years
FUND GROSS ADMIN/
MONTH YEAR NAV SHARES VALUE MTHLY M&E ERV
12 1992 8.12 105.9386947 860.22220 1000.00000
1 1993 8.14 105.9386947 862.34097 1.08333 1001.37972
2 1993 8.15 109.2655872 890.51454 1.08483 1033.01099
3 1993 8.62 109.2655872 941.86936 1.11910 1091.46431
4 1993 9.00 109.2655872 983.39028 1.18242 1138.39749
5 1993 9.17 109.2655872 1001.96543 1.23326 1158.66729
6 1993 9.02 109.2655872 985.57560 1.25522 1138.45894
7 1993 9.24 109.2655872 1009.61403 1.23333 1164.99291
8 1993 9.86 109.2655872 1077.35869 1.26208 1241.90135
9 1993 10.03 109.2655872 1095.93384 1.34539 1261.96805
10 1993 10.34 109.2655872 1129.80617 1.36713 1299.60491
11 1993 9.93 109.2655872 1085.00728 1.40791 1246.66529
12 1993 10.85 109.2655872 1185.53162 1.35055 1360.81645
1 1994 11.31 109.2655872 1235.79379 1.47422 1417.03583
2 1994 11.08 109.9602821 1218.35993 1.53512 1395.50999
3 1994 10.72 109.9602821 1178.77422 1.51180 1348.65671
4 1994 10.95 109.9602821 1204.06509 1.46104 1376.13139
5 1994 10.86 109.9602821 1194.16866 1.49081 1363.32991
6 1994 10.86 109.9602821 1194.16866 1.47694 1361.85297
7 1994 11.12 109.9602821 1222.75834 1.47534 1392.98185
8 1994 11.42 109.9602821 1255.74642 1.50906 1429.05323
9 1994 11.12 109.9602821 1222.75834 1.54814 1389.96429
10 1994 11.37 109.9602821 1250.24841 1.50579 1419.70769
11 1994 10.76 109.9602821 1183.17264 1.53802 1342.00242
12 1994 10.69 109.9602821 1175.47542 1.45384 1331.81808
1 1995 10.18 109.9602821 1119.39567 1.44280 1266.83672
2 1995 10.14 110.5003621 1120.47367 1.37241 1266.68430
3 1995 10.39 110.5003621 1148.09876 1.37224 1296.54195
4 1995 10.93 110.5003621 1207.76896 1.40459 1362.52260
5 1995 10.94 110.5003621 1208.87396 1.47607 1362.29312
6 1995 11.09 110.5003621 1225.44902 1.47582 1379.49591
7 1995 11.75 110.5003621 1298.37925 1.49445 1460.09950
8 1995 11.53 110.5003621 1274.06917 1.58177 1431.17970
9 1995 11.82 110.5003621 1306.11428 1.55044 1465.62597
10 1995 11.55 110.5003621 1276.27918 1.58776 1430.55944
11 1995 11.66 110.5003621 1288.43422 1.54977 1442.63404
12 1995 11.82 110.5003621 1306.11428 1.56285 1460.86720
1 1996 12.04 110.5003621 1330.42436 1.58261 1486.47501
2 1996 11.84 113.0560895 1338.58410 1.61035 1493.98149
3 1996 12.09 113.0560895 1366.84812 1.61848 1523.90823
4 1996 12.48 113.1463899 1412.06695 1.65090 1572.67210
5 1996 12.48 113.1463899 1412.06695 1.70373 1570.96837
6 1996 12.61 113.1463899 1426.77598 1.70188 1585.63075
7 1996 12.14 113.1463899 1373.59717 1.71777 1524.81334
8 1996 12.33 113.1463899 1395.09499 1.65188 1547.02592
9 1996 12.61 113.1463899 1426.77598 1.67594 1580.48114
10 1996 12.55 113.1463899 1419.98719 1.71219 1571.24882
11 1996 13.11 113.1463899 1483.34917 1.70219 1639.65813
12 1996 13.25 113.1463899 1499.18967 1.77630 1655.39153
1 1997 13.25 113.1463899 1499.18967 1.79334 1653.59819
2 1997 13.15 115.8831129 1523.86293 1.79140 1679.02128
3 1997 13.21 115.8831129 1530.81592 1.81894 1684.86327
4 1997 13.28 115.8831129 1538.92774 1.82527 1691.96612
5 1997 14.04 115.8831129 1626.99891 1.83296 1786.96254
6 1997 14.76 115.8831129 1710.43475 1.93588 1876.66577
7 1997 15.33 115.8831129 1776.48812 2.03305 1947.10558
8 1997 14.01 115.8831129 1623.52241 2.10936 1777.33938
9 1997 14.96 115.8831129 1733.61137 1.92545 1895.93301
10 1997 13.93 115.8831129 1614.25176 2.05393 1763.34359
11 1997 13.98 115.8831129 1620.04592 1.91029 1767.76260
12 1997 14.11 115.8831129 1635.11072 1.91508 1782.28595
SURRENDER CHARGE = 3.00%
FREE WITHDRAWAL AVAILABLE = 15.00% OF PRINCIPAL + 15.00% OF INTEREST
GROSS RETURN = 90.08%
GROSS ANNUAL RETURN = 13.71%
WITHOUT WITH
SURRENDER SURRENDER
CHARGE CHARGE
ERV 1782.29 1736.84
TOTAL RETURN 78.23% 73.68%
AVERAGE ANNUAL RETURN 12.25% 11.67%
Return for 10 Years
FUND GROSS ADMIN/
MONTH YEAR NAV SHARES VALUE MTHLY M&E ERV
12 1987 5.26 101.9391635 536.20000 1000.00000
1 1988 5.16 101.9391635 526.00608 1.08333 979.90526
2 1988 5.46 101.9391635 556.58783 1.06156 1035.81493
3 1988 5.71 101.9391635 582.07262 1.12213 1082.12022
4 1988 5.94 101.9391635 605.51863 1.17230 1124.53596
5 1988 5.89 101.9391635 600.42167 1.21825 1113.85192
6 1988 5.83 101.9391635 594.30532 1.20667 1101.29871
7 1988 5.82 101.9391635 593.28593 1.19307 1098.21661
8 1988 5.49 101.9391635 559.64601 1.18973 1034.75686
9 1988 5.57 101.9391635 567.80114 1.12099 1048.71430
10 1988 5.86 101.9391635 597.36350 1.13611 1102.17912
11 1988 6.10 101.9391635 621.82890 1.19403 1146.12553
12 1988 6.14 101.9391635 625.90646 1.24164 1152.39947
1 1989 6.49 101.9391635 661.58517 1.24843 1216.84156
2 1989 6.68 101.9391635 680.95361 1.31824 1251.14734
3 1989 6.72 101.9391635 685.03118 1.35541 1257.28383
4 1989 7.00 101.9391635 713.57414 1.36206 1308.30860
5 1989 7.02 101.9391635 715.61293 1.41733 1310.62929
6 1989 6.97 101.9391635 710.51597 1.41985 1299.87448
7 1989 7.60 101.9391635 774.73764 1.40820 1415.95852
8 1989 7.64 101.9391635 778.81521 1.53396 1421.87698
9 1989 7.94 101.9391635 809.39696 1.54037 1476.16948
10 1989 7.54 101.9391635 768.62129 1.59918 1400.20407
11 1989 7.93 101.9391635 808.37757 1.51689 1471.11153
12 1989 8.46 101.9391635 862.40532 1.59370 1567.83928
1 1990 8.43 102.3669657 862.95352 1.69849 1567.13740
2 1990 8.32 102.3669657 851.69315 1.69773 1544.99067
3 1990 8.53 102.3669657 873.19022 1.67374 1582.31309
4 1990 8.43 102.3669657 862.95352 1.71417 1562.04894
5 1990 8.87 102.3669657 907.99499 1.69222 1641.88715
6 1990 9.02 102.3669657 923.35003 1.77871 1667.87428
7 1990 9.27 102.3669657 948.94177 1.80686 1712.29453
8 1990 8.40 102.3669657 859.88251 1.85499 1549.73877
9 1990 7.46 102.3669657 763.65756 1.67888 1374.63674
10 1990 8.03 102.3669657 822.00673 1.48919 1478.18011
11 1990 7.82 102.3669657 800.50967 1.60136 1437.92149
12 1990 7.78 102.3669657 796.41499 1.55775 1429.00864
1 1991 7.99 102.3669657 817.91206 1.54809 1466.03276
2 1991 8.45 104.7927232 885.49851 1.58820 1585.58712
3 1991 8.23 104.7927232 862.44411 1.71772 1542.58784
4 1991 8.25 104.7927232 864.53997 1.67114 1544.66540
5 1991 8.44 104.7927232 884.45058 1.67339 1578.56612
6 1991 7.92 104.7927232 829.95837 1.71011 1479.59838
7 1991 8.23 104.7927232 862.44411 1.60290 1535.90905
8 1991 8.08 104.7927232 846.72520 1.66390 1506.25167
9 1991 8.41 104.7927232 881.30680 1.63177 1566.13760
10 1991 8.26 104.7927232 865.58789 1.69665 1536.50746
11 1991 8.05 104.7927232 843.58142 1.66455 1495.77917
12 1991 8.47 104.7927232 887.59437 1.62043 1572.19939
1 1992 8.54 104.7927232 894.92986 1.70322 1583.48956
2 1992 8.38 105.9386947 887.76626 1.71545 1569.09884
3 1992 8.04 105.9386947 851.74711 1.69986 1503.73626
4 1992 8.15 105.9386947 863.61224 1.62905 1523.05478
5 1992 8.55 105.9386947 905.77584 1.64998 1595.76396
6 1992 8.53 105.9386947 903.65707 1.72874 1590.30243
7 1992 8.26 105.9386947 875.05362 1.72283 1538.24178
8 1992 8.53 105.9386947 903.65707 1.66643 1586.85686
9 1992 8.40 105.9386947 889.88504 1.71909 1560.95355
10 1992 8.13 105.9386947 861.28159 1.69103 1509.08901
11 1992 8.10 105.9386947 858.10343 1.63485 1501.88557
12 1992 8.12 105.9386947 860.22220 1.62704 1503.96689
1 1993 8.14 105.9386947 862.34097 1.62930 1506.04194
2 1993 8.15 109.2655872 890.51454 1.63155 1553.61432
3 1993 8.62 109.2655872 941.86936 1.68308 1641.52618
4 1993 9.00 109.2655872 983.39028 1.77832 1712.11212
5 1993 9.17 109.2655872 1001.96543 1.85479 1742.59723
6 1993 9.02 109.2655872 985.57560 1.88781 1712.20455
7 1993 9.24 109.2655872 1009.61403 1.85489 1752.11075
8 1993 9.86 109.2655872 1077.35869 1.89812 1867.77850
9 1993 10.03 109.2655872 1095.93384 2.02343 1897.95816
10 1993 10.34 109.2655872 1129.80617 2.05612 1954.56275
11 1993 9.93 109.2655872 1085.00728 2.11744 1874.94331
12 1993 10.85 109.2655872 1185.53162 2.03119 2046.62288
1 1994 11.31 109.2655872 1235.79379 2.21717 2131.17497
2 1994 11.08 109.9602821 1218.35993 2.30877 2098.80081
3 1994 10.72 109.9602821 1178.77422 2.27370 2028.33502
4 1994 10.95 109.9602821 1204.06509 2.19736 2069.65604
5 1994 10.86 109.9602821 1194.16866 2.24213 2050.40304
6 1994 10.86 109.9602821 1194.16866 2.22127 2048.18177
7 1994 11.12 109.9602821 1222.75834 2.21886 2094.99857
8 1994 11.42 109.9602821 1255.74642 2.26958 2149.24873
9 1994 11.12 109.9602821 1222.75834 2.32835 2090.46026
10 1994 11.37 109.9602821 1250.24841 2.26467 2135.19335
11 1994 10.76 109.9602821 1183.17264 2.31313 2018.32719
12 1994 10.69 109.9602821 1175.47542 2.18652 2003.01029
1 1995 10.18 109.9602821 1119.39567 2.16993 1905.28047
2 1995 10.14 110.5003621 1120.47367 2.06405 1905.05124
3 1995 10.39 110.5003621 1148.09876 2.06381 1949.95615
4 1995 10.93 110.5003621 1207.76896 2.11245 2049.18887
5 1995 10.94 110.5003621 1208.87396 2.21995 2048.84375
6 1995 11.09 110.5003621 1225.44902 2.21958 2074.71617
7 1995 11.75 110.5003621 1298.37925 2.24761 2195.94130
8 1995 11.53 110.5003621 1274.06917 2.37894 2152.44687
9 1995 11.82 110.5003621 1306.11428 2.33182 2204.25292
10 1995 11.55 110.5003621 1276.27918 2.38794 2151.51402
11 1995 11.66 110.5003621 1288.43422 2.33081 2169.67383
12 1995 11.82 110.5003621 1306.11428 2.35048 2197.09589
1 1996 12.04 110.5003621 1330.42436 2.38019 2235.60919
2 1996 11.84 113.0560895 1338.58410 2.42191 2246.89869
3 1996 12.09 113.0560895 1366.84812 2.43414 2291.90751
4 1996 12.48 113.1463899 1412.06695 2.48290 2365.24676
5 1996 12.48 113.1463899 1412.06695 2.56235 2362.68441
6 1996 12.61 113.1463899 1426.77598 2.55957 2384.73613
7 1996 12.14 113.1463899 1373.59717 2.58346 2293.26877
8 1996 12.33 113.1463899 1395.09499 2.48437 2326.67575
9 1996 12.61 113.1463899 1426.77598 2.52057 2376.99129
10 1996 12.55 113.1463899 1419.98719 2.57507 2363.10619
11 1996 13.11 113.1463899 1483.34917 2.56003 2465.99153
12 1996 13.25 113.1463899 1499.18967 2.67149 2489.65405
1 1997 13.25 113.1463899 1499.18967 2.69713 2486.95692
2 1997 13.15 115.8831129 1523.86293 2.69420 2525.19240
3 1997 13.21 115.8831129 1530.81592 2.73563 2533.97857
4 1997 13.28 115.8831129 1538.92774 2.74514 2544.66102
5 1997 14.04 115.8831129 1626.99891 2.75672 2687.53249
6 1997 14.76 115.8831129 1710.43475 2.91149 2822.44318
7 1997 15.33 115.8831129 1776.48812 3.05765 2928.38232
8 1997 14.01 115.8831129 1623.52241 3.17241 2673.05957
9 1997 14.96 115.8831129 1733.61137 2.89581 2851.42047
10 1997 13.93 115.8831129 1614.25176 3.08904 2652.01037
11 1997 13.98 115.8831129 1620.04592 2.87301 2658.65642
12 1997 14.11 115.8831129 1635.11072 2.88021 2680.49905
SURRENDER CHARGE = 0.00%
FREE WITHDRAWAL AVAILABLE = 15.00% OF PRINCIPAL + 15.00% OF INTEREST
GROSS RETURN = 204.94%
GROSS ANNUAL RETURN = 11.79%
WITHOUT WITH
SURRENDER SURRENDER
CHARGE CHARGE
ERV 2680.50 2680.50
TOTAL RETURN 168.05% 168.05%
AVERAGE ANNUAL RETURN 10.36% 10.36%
Return for Inception
FUND GROSS ADMIN/
MONTH YEAR NAV SHARES VALUE MTHLY M&E ERV
4 1987 6.00 100.0000000 600.00000 1000.00000
5 1987 5.96 100.0000000 596.00000 1.08333 992.25000
6 1987 6.37 100.0000000 637.00000 1.07494 1059.43387
7 1987 6.75 100.0000000 675.00000 1.14772 1121.48629
8 1987 7.17 100.0000000 717.00000 1.21494 1190.05271
9 1987 7.23 100.0000000 723.00000 1.28922 1198.72209
10 1987 5.31 100.0000000 531.00000 1.29862 879.09064
11 1987 5.04 100.0000000 504.00000 0.95235 833.43877
12 1987 5.26 101.9391635 536.20000 0.90289 885.78335
1 1988 5.16 101.9391635 526.00608 0.95960 867.98376
2 1988 5.46 101.9391635 556.58783 0.94032 917.50762
3 1988 5.71 101.9391635 582.07262 0.99397 958.52408
4 1988 5.94 101.9391635 605.51863 1.03840 996.09523
5 1988 5.89 101.9391635 600.42167 1.07910 986.63148
6 1988 5.83 101.9391635 594.30532 1.06885 975.51206
7 1988 5.82 101.9391635 593.28593 1.05680 972.78199
8 1988 5.49 101.9391635 559.64601 1.05385 916.57040
9 1988 5.57 101.9391635 567.80114 0.99295 928.93367
10 1988 5.86 101.9391635 597.36350 1.00634 976.29191
11 1988 6.10 101.9391635 621.82890 1.05765 1015.21891
12 1988 6.14 101.9391635 625.90646 1.09982 1020.77627
1 1989 6.49 101.9391635 661.58517 1.10584 1077.85800
2 1989 6.68 101.9391635 680.95361 1.16768 1108.24548
3 1989 6.72 101.9391635 685.03118 1.20060 1113.68108
4 1989 7.00 101.9391635 713.57414 1.20649 1158.87797
5 1989 7.02 101.9391635 715.61293 1.25545 1160.93360
6 1989 6.97 101.9391635 710.51597 1.25768 1151.40717
7 1989 7.60 101.9391635 774.73764 1.24736 1254.23248
8 1989 7.64 101.9391635 778.81521 1.35875 1259.47495
9 1989 7.94 101.9391635 809.39696 1.36443 1307.56634
10 1989 7.54 101.9391635 768.62129 1.41653 1240.27745
11 1989 7.93 101.9391635 808.37757 1.34363 1303.08610
12 1989 8.46 101.9391635 862.40532 1.41168 1388.76593
1 1990 8.43 102.3669657 862.95352 1.50450 1388.14422
2 1990 8.32 102.3669657 851.69315 1.50382 1368.52701
3 1990 8.53 102.3669657 873.19022 1.48257 1401.58659
4 1990 8.43 102.3669657 862.95352 1.51839 1383.63694
5 1990 8.87 102.3669657 907.99499 1.49894 1454.35630
6 1990 9.02 102.3669657 923.35003 1.57555 1477.37527
7 1990 9.27 102.3669657 948.94177 1.60049 1516.72199
8 1990 8.40 102.3669657 859.88251 1.64312 1372.73280
9 1990 7.46 102.3669657 763.65756 1.48713 1217.63033
10 1990 8.03 102.3669657 822.00673 1.31910 1309.34733
11 1990 7.82 102.3669657 800.50967 1.41846 1273.68691
12 1990 7.78 102.3669657 796.41499 1.37983 1265.79206
1 1991 7.99 102.3669657 817.91206 1.37127 1298.58741
2 1991 8.45 104.7927232 885.49851 1.40680 1404.48667
3 1991 8.23 104.7927232 862.44411 1.52153 1366.39862
4 1991 8.25 104.7927232 864.53997 1.48027 1368.23889
5 1991 8.44 104.7927232 884.45058 1.48226 1398.26759
6 1991 7.92 104.7927232 829.95837 1.51479 1310.60361
7 1991 8.23 104.7927232 862.44411 1.41982 1360.48267
8 1991 8.08 104.7927232 846.72520 1.47386 1334.21265
9 1991 8.41 104.7927232 881.30680 1.44540 1387.25861
10 1991 8.26 104.7927232 865.58789 1.50286 1361.01273
11 1991 8.05 104.7927232 843.58142 1.47443 1324.93628
12 1991 8.47 104.7927232 887.59437 1.43535 1392.62804
1 1992 8.54 104.7927232 894.92986 1.50868 1402.62868
2 1992 8.38 105.9386947 887.76626 1.51951 1389.88163
3 1992 8.04 105.9386947 851.74711 1.50571 1331.98454
4 1992 8.15 105.9386947 863.61224 1.44298 1349.09657
5 1992 8.55 105.9386947 905.77584 1.46152 1413.50115
6 1992 8.53 105.9386947 903.65707 1.53129 1408.66342
7 1992 8.26 105.9386947 875.05362 1.52605 1362.54896
8 1992 8.53 105.9386947 903.65707 1.47609 1405.61139
9 1992 8.40 105.9386947 889.88504 1.52275 1382.66666
10 1992 8.13 105.9386947 861.28159 1.49789 1336.72592
11 1992 8.10 105.9386947 858.10343 1.44812 1330.34523
12 1992 8.12 105.9386947 860.22220 1.44121 1332.18883
1 1993 8.14 105.9386947 862.34097 1.44320 1334.02687
2 1993 8.15 109.2655872 890.51454 1.44520 1376.16570
3 1993 8.62 109.2655872 941.86936 1.49085 1454.03656
4 1993 9.00 109.2655872 983.39028 1.57521 1516.56041
5 1993 9.17 109.2655872 1001.96543 1.64294 1543.56361
6 1993 9.02 109.2655872 985.57560 1.67219 1516.64228
7 1993 9.24 109.2655872 1009.61403 1.64303 1551.99053
8 1993 9.86 109.2655872 1077.35869 1.68132 1654.44710
9 1993 10.03 109.2655872 1095.93384 1.79232 1681.17973
10 1993 10.34 109.2655872 1129.80617 1.82128 1731.31914
11 1993 9.93 109.2655872 1085.00728 1.87560 1660.79356
12 1993 10.85 109.2655872 1185.53162 1.79919 1812.86447
1 1994 11.31 109.2655872 1235.79379 1.96394 1887.75930
2 1994 11.08 109.9602821 1218.35993 2.04507 1859.08281
3 1994 10.72 109.9602821 1178.77422 2.01401 1796.66539
4 1994 10.95 109.9602821 1204.06509 1.94639 1833.26686
5 1994 10.86 109.9602821 1194.16866 1.98604 1816.21288
6 1994 10.86 109.9602821 1194.16866 1.96756 1814.24531
7 1994 11.12 109.9602821 1222.75834 1.96543 1855.71485
8 1994 11.42 109.9602821 1255.74642 2.01036 1903.76874
9 1994 11.12 109.9602821 1222.75834 2.06242 1851.69489
10 1994 11.37 109.9602821 1250.24841 2.00600 1891.31872
11 1994 10.76 109.9602821 1183.17264 2.04893 1787.80062
12 1994 10.69 109.9602821 1175.47542 1.93678 1774.23317
1 1995 10.18 109.9602821 1119.39567 1.92209 1687.66572
2 1995 10.14 110.5003621 1120.47367 1.82830 1687.46267
3 1995 10.39 110.5003621 1148.09876 1.82808 1727.23869
4 1995 10.93 110.5003621 1207.76896 1.87118 1815.13738
5 1995 10.94 110.5003621 1208.87396 1.96640 1814.83168
6 1995 11.09 110.5003621 1225.44902 1.96607 1837.74904
7 1995 11.75 110.5003621 1298.37925 1.99089 1945.12824
8 1995 11.53 110.5003621 1274.06917 2.10722 1906.60160
9 1995 11.82 110.5003621 1306.11428 2.06549 1952.49053
10 1995 11.55 110.5003621 1276.27918 2.11520 1905.77530
11 1995 11.66 110.5003621 1288.43422 2.06459 1921.86095
12 1995 11.82 110.5003621 1306.11428 2.08202 1946.15095
1 1996 12.04 110.5003621 1330.42436 2.10833 1980.26540
2 1996 11.84 113.0560895 1338.58410 2.14529 1990.26545
3 1996 12.09 113.0560895 1366.84812 2.15612 2030.13351
4 1996 12.48 113.1463899 1412.06695 2.19931 2095.09620
5 1996 12.48 113.1463899 1412.06695 2.26969 2092.82651
6 1996 12.61 113.1463899 1426.77598 2.26723 2112.35956
7 1996 12.14 113.1463899 1373.59717 2.28839 2031.33929
8 1996 12.33 113.1463899 1395.09499 2.20062 2060.93064
9 1996 12.61 113.1463899 1426.77598 2.23267 2105.49931
10 1996 12.55 113.1463899 1419.98719 2.28096 2093.20012
11 1996 13.11 113.1463899 1483.34917 2.26763 2184.33424
12 1996 13.25 113.1463899 1499.18967 2.36636 2205.29410
1 1997 13.25 113.1463899 1499.18967 2.38907 2202.90503
2 1997 13.15 115.8831129 1523.86293 2.38648 2236.77338
3 1997 13.21 115.8831129 1530.81592 2.42317 2244.55602
4 1997 13.28 115.8831129 1538.92774 2.43160 2254.01836
5 1997 14.04 115.8831129 1626.99891 2.44185 2380.57153
6 1997 14.76 115.8831129 1710.43475 2.57895 2500.07317
7 1997 15.33 115.8831129 1776.48812 2.70841 2593.91230
8 1997 14.01 115.8831129 1623.52241 2.81007 2367.75166
9 1997 14.96 115.8831129 1733.61137 2.56506 2525.74078
10 1997 13.93 115.8831129 1614.25176 2.73622 2349.10663
11 1997 13.98 115.8831129 1620.04592 2.54487 2354.99359
12 1997 14.11 115.8831129 1635.11072 2.55124 2374.34143
SURRENDER CHARGE = 0.00%
FREE WITHDRAWAL AVAILABLE = 15.00% OF PRINCIPAL + 15.00% OF INTEREST
GROSS RETURN = 172.52%
GROSS ANNUAL RETURN = 9.85%
WITHOUT WITH
SURRENDER SURRENDER
CHARGE CHARGE
ERV 2374.34 2374.34
TOTAL RETURN 137.43% 137.43%
AVERAGE ANNUAL RETURN 8.44% 8.44%
Return for Product Inception
FUND GROSS ADMIN/
MONTH YEAR NAV SHARES VALUE MTHLY M&E ERV
12 1996 13.25 113.1463899 1499.18967 1000.00000
1 1997 13.25 113.1463899 1499.18967 1.08333 998.91667
2 1997 13.15 115.8831129 1523.86293 1.08216 1014.27441
3 1997 13.21 115.8831129 1530.81592 1.09880 1017.80348
4 1997 13.28 115.8831129 1538.92774 1.10262 1022.09422
5 1997 14.04 115.8831129 1626.99891 1.10727 1079.48030
6 1997 14.76 115.8831129 1710.43475 1.16944 1133.66882
7 1997 15.33 115.8831129 1776.48812 1.22814 1176.22058
8 1997 14.01 115.8831129 1623.52241 1.27424 1073.66707
9 1997 14.96 115.8831129 1733.61137 1.16314 1145.30791
10 1997 13.93 115.8831129 1614.25176 1.24075 1065.21240
11 1997 13.98 115.8831129 1620.04592 1.15398 1067.88187
12 1997 14.11 115.8831129 1635.11072 1.15687 1076.65523
SURRENDER CHARGE = 7.00%
FREE WITHDRAWAL AVAILABLE = 15.00% OF PRINCIPAL + 15.00% OF INTEREST
GROSS RETURN = 9.07%
GROSS ANNUAL RETURN = 8.62%
WITHOUT WITH
SURRENDER SURRENDER
CHARGE CHARGE
ERV 1076.66 1012.59
TOTAL RETURN 7.67% 1.26%
AVERAGE ANNUAL RETURN 7.29% 1.20%
Scudder Global Discovery
12/1997
Assume ($10000 @ $10.00 on 5/ 2/1997)
DATE DIV PR/SH REINVEST NAV REINVEST SHARES SHARE BASIS
(incl cap gain)
100.000000
M and E Charge = 0.0010833
Return for Inception
FUND GROSS ADMIN/
MONTH YEAR NAV SHARES VALUE MTHLY M&E ERV
4 1997 6.07 100.0000000 607.00000 1000.00000
5 1997 6.63 100.0000000 663.00000 1.08333 1091.17367
6 1997 6.93 100.0000000 693.00000 1.18210 1139.36594
7 1997 7.06 100.0000000 706.00000 1.23431 1159.50501
8 1997 6.98 100.0000000 698.00000 1.25613 1145.11001
9 1997 7.31 100.0000000 731.00000 1.24054 1198.00792
10 1997 6.98 100.0000000 698.00000 1.29784 1142.62764
11 1997 6.89 100.0000000 689.00000 1.23785 1126.65677
12 1997 7.07 100.0000000 707.00000 1.22054 1154.86993
SURRENDER CHARGE = 7.00%
FREE WITHDRAWAL AVAILABLE = 15.00% OF PRINCIPAL + 15.00% OF INTEREST
GROSS RETURN = 16.47%
WITHOUT WITH
SURRENDER SURRENDER
CHARGE CHARGE
ERV 1154.87 1086.16
TOTAL RETURN 15.49% 8.62%
Scudder Growth & Income
12/1997
Assume ($10000 @ $10.00 on 5/ 1/1997)
DATE DIV PR/SH REINVEST NAV REINVEST SHARES SHARE BASIS
(incl cap gain)
100.000000
4/97 0.0650000000 9.22 0.705 100.704989
7/97 0.0650000000 10.97 0.597 101.301691
10/97 0.0600000000 11.06 0.550 101.851249
M and E Charge = 0.0010833
Return for Inception
FUND GROSS ADMIN/
MONTH YEAR NAV SHARES VALUE MTHLY M&E ERV
4 1997 9.46 100.7049892 952.66920 1000.00000
5 1997 10.00 100.7049892 1007.04989 1.08333 1055.99912
6 1997 10.54 100.7049892 1061.43059 1.14400 1111.87907
7 1997 11.17 101.3016915 1131.53989 1.20454 1184.11605
8 1997 10.76 101.3016915 1090.00620 1.28279 1139.36974
9 1997 11.43 101.3016915 1157.87833 1.23432 1209.08130
10 1997 11.01 101.8512486 1121.38225 1.30984 1169.66147
11 1997 11.33 101.8512486 1153.97465 1.26713 1202.38995
12 1997 11.47 101.8512486 1168.23382 1.30259 1215.94478
SURRENDER CHARGE = 7.00%
FREE WITHDRAWAL AVAILABLE = 15.00% OF PRINCIPAL + 15.00% OF INTEREST
GROSS RETURN = 22.63%
WITHOUT WITH
SURRENDER SURRENDER
CHARGE CHARGE
ERV 1215.94 1143.60
TOTAL RETURN 21.59% 14.36%
T. Rowe Price Personal Strategy Bal
12/1997
Assume ($10000 @ $10.00 on 12/30/1994)
DATE DIV PR/SH REINVEST NAV REINVEST SHARES SHARE BASIS
(incl cap gain)
100.000000
3/95 0.0900000000 10.70 0.841 100.841121
6/95 0.1000000000 11.39 0.885 101.726469
9/95 0.1100000000 11.76 0.952 102.677992
12/95 0.1000000000 12.39 0.829 103.506709
1/96 0.0800000000 12.47 0.664 104.170746
3/96 0.0800000000 12.56 0.664 104.834254
6/96 0.1100000000 12.59 0.916 105.750200
9/96 0.1100000000 12.96 0.898 106.647771
12/96 0.3400000000 13.51 2.684 109.331727
3/97 0.1200000000 13.58 0.966 110.297840
6/97 0.1200000000 14.48 0.914 111.211910
9/97 0.1200000000 15.09 0.884 112.096299
12/97 0.3400000000 15.00 2.541 114.637149
M and E Charge = 0.0010833
Return for YTD
FUND GROSS ADMIN/
MONTH YEAR NAV SHARES VALUE MTHLY M&E ERV
12 1996 13.44 109.3317272 1469.41841 1000.00000
1 1997 13.64 109.3317272 1491.28476 1.08333 1013.79762
2 1997 13.75 109.3317272 1503.31125 1.09828 1020.87513
3 1997 13.30 110.2978396 1466.96127 1.10595 995.08447
4 1997 13.61 110.2978396 1501.15360 1.07801 1017.20016
5 1997 14.18 110.2978396 1564.02337 1.10197 1058.69953
6 1997 14.48 111.2119101 1610.34846 1.14692 1088.91042
7 1997 15.15 111.2119101 1684.86044 1.17965 1138.11543
8 1997 14.63 111.2119101 1627.03025 1.23296 1097.81844
9 1997 15.12 112.0962991 1694.89604 1.18930 1142.42074
10 1997 14.92 112.0962991 1672.47678 1.23762 1126.07174
11 1997 15.18 112.0962991 1701.62182 1.21991 1144.47506
12 1997 15.13 114.6371485 1734.46006 1.23985 1165.32152
SURRENDER CHARGE = 7.00%
FREE WITHDRAWAL AVAILABLE = 15.00% OF PRINCIPAL + 15.00% OF INTEREST
GROSS RETURN = 18.04%
WITHOUT WITH
SURRENDER SURRENDER
CHARGE CHARGE
ERV 1165.32 1095.98
TOTAL RETURN 16.53% 9.60%
Return for 1 Year
FUND GROSS ADMIN/
MONTH YEAR NAV SHARES VALUE MTHLY M&E ERV
12 1996 13.44 109.3317272 1469.41841 1000.00000
1 1997 13.64 109.3317272 1491.28476 1.08333 1013.79762
2 1997 13.75 109.3317272 1503.31125 1.09828 1020.87513
3 1997 13.30 110.2978396 1466.96127 1.10595 995.08447
4 1997 13.61 110.2978396 1501.15360 1.07801 1017.20016
5 1997 14.18 110.2978396 1564.02337 1.10197 1058.69953
6 1997 14.48 111.2119101 1610.34846 1.14692 1088.91042
7 1997 15.15 111.2119101 1684.86044 1.17965 1138.11543
8 1997 14.63 111.2119101 1627.03025 1.23296 1097.81844
9 1997 15.12 112.0962991 1694.89604 1.18930 1142.42074
10 1997 14.92 112.0962991 1672.47678 1.23762 1126.07174
11 1997 15.18 112.0962991 1701.62182 1.21991 1144.47506
12 1997 15.13 114.6371485 1734.46006 1.23985 1165.32152
SURRENDER CHARGE = 7.00%
FREE WITHDRAWAL AVAILABLE = 15.00% OF PRINCIPAL + 15.00% OF INTEREST
GROSS RETURN = 18.04%
WITHOUT WITH
SURRENDER SURRENDER
CHARGE CHARGE
ERV 1165.32 1095.98
TOTAL RETURN 16.53% 9.60%
Return for 3 Years
FUND GROSS ADMIN/
MONTH YEAR NAV SHARES VALUE MTHLY M&E ERV
12 1994 10.00 100.0000000 1000.00000 1000.00000
1 1995 10.17 100.0000000 1017.00000 1.08333 1015.91667
2 1995 10.49 100.0000000 1049.00000 1.10058 1046.78200
3 1995 10.65 100.8411215 1073.95794 1.13401 1070.55316
4 1995 10.86 100.8411215 1095.13458 1.15977 1090.50290
5 1995 11.23 100.8411215 1132.44579 1.18138 1126.47493
6 1995 11.39 101.7264694 1158.66449 1.22035 1151.33504
7 1995 11.61 101.7264694 1181.04431 1.24728 1172.32601
8 1995 11.63 101.7264694 1183.07884 1.27002 1173.07550
9 1995 11.82 102.6779925 1213.65387 1.27083 1202.12118
10 1995 11.90 102.6779925 1221.86811 1.30230 1208.95506
11 1995 12.27 102.6779925 1259.85897 1.30970 1245.23472
12 1995 12.43 103.5067091 1286.58839 1.34900 1270.30487
1 1996 12.62 104.1707457 1314.63481 1.37616 1296.62016
2 1996 12.59 104.1707457 1311.50969 1.40467 1292.13319
3 1996 12.55 104.8342537 1315.66988 1.39981 1294.83211
4 1996 12.62 104.8342537 1323.00828 1.40273 1300.65155
5 1996 12.72 104.8342537 1333.49171 1.40904 1309.54878
6 1996 12.67 105.7502003 1339.85504 1.41868 1314.37918
7 1996 12.42 105.7502003 1313.41749 1.42391 1287.02040
8 1996 12.59 105.7502003 1331.39502 1.39427 1303.24235
9 1996 12.97 106.6477714 1383.22160 1.41185 1352.56119
10 1996 13.19 106.6477714 1406.68411 1.46527 1374.03836
11 1996 13.85 106.6477714 1477.07163 1.48854 1441.30382
12 1996 13.44 109.3317272 1469.41841 1.56141 1432.27451
1 1997 13.64 109.3317272 1491.28476 1.55163 1452.03649
2 1997 13.75 109.3317272 1503.31125 1.57304 1462.17342
3 1997 13.30 110.2978396 1466.96127 1.58402 1425.23413
4 1997 13.61 110.2978396 1501.15360 1.54400 1456.90987
5 1997 14.18 110.2978396 1564.02337 1.57832 1516.34835
6 1997 14.48 111.2119101 1610.34846 1.64271 1559.61864
7 1997 15.15 111.2119101 1684.86044 1.68959 1630.09373
8 1997 14.63 111.2119101 1627.03025 1.76593 1572.37738
9 1997 15.12 112.0962991 1694.89604 1.70341 1636.26012
10 1997 14.92 112.0962991 1672.47678 1.77262 1612.84385
11 1997 15.18 112.0962991 1701.62182 1.74725 1639.20246
12 1997 15.13 114.6371485 1734.46006 1.77580 1669.06031
SURRENDER CHARGE = 5.00%
FREE WITHDRAWAL AVAILABLE = 15.00% OF PRINCIPAL + 15.00% OF INTEREST
GROSS RETURN = 73.45%
GROSS ANNUAL RETURN = 20.15%
WITHOUT WITH
SURRENDER SURRENDER
CHARGE CHARGE
ERV 1669.06 1598.13
TOTAL RETURN 66.91% 59.81%
AVERAGE ANNUAL RETURN 18.62% 16.92%
Return for Inception
FUND GROSS ADMIN/
MONTH YEAR NAV SHARES VALUE MTHLY M&E ERV
12 1994 10.00 100.0000000 1000.00000 1000.00000
1 1995 10.17 100.0000000 1017.00000 1.08333 1015.91667
2 1995 10.49 100.0000000 1049.00000 1.10058 1046.78200
3 1995 10.65 100.8411215 1073.95794 1.13401 1070.55316
4 1995 10.86 100.8411215 1095.13458 1.15977 1090.50290
5 1995 11.23 100.8411215 1132.44579 1.18138 1126.47493
6 1995 11.39 101.7264694 1158.66449 1.22035 1151.33504
7 1995 11.61 101.7264694 1181.04431 1.24728 1172.32601
8 1995 11.63 101.7264694 1183.07884 1.27002 1173.07550
9 1995 11.82 102.6779925 1213.65387 1.27083 1202.12118
10 1995 11.90 102.6779925 1221.86811 1.30230 1208.95506
11 1995 12.27 102.6779925 1259.85897 1.30970 1245.23472
12 1995 12.43 103.5067091 1286.58839 1.34900 1270.30487
1 1996 12.62 104.1707457 1314.63481 1.37616 1296.62016
2 1996 12.59 104.1707457 1311.50969 1.40467 1292.13319
3 1996 12.55 104.8342537 1315.66988 1.39981 1294.83211
4 1996 12.62 104.8342537 1323.00828 1.40273 1300.65155
5 1996 12.72 104.8342537 1333.49171 1.40904 1309.54878
6 1996 12.67 105.7502003 1339.85504 1.41868 1314.37918
7 1996 12.42 105.7502003 1313.41749 1.42391 1287.02040
8 1996 12.59 105.7502003 1331.39502 1.39427 1303.24235
9 1996 12.97 106.6477714 1383.22160 1.41185 1352.56119
10 1996 13.19 106.6477714 1406.68411 1.46527 1374.03836
11 1996 13.85 106.6477714 1477.07163 1.48854 1441.30382
12 1996 13.44 109.3317272 1469.41841 1.56141 1432.27451
1 1997 13.64 109.3317272 1491.28476 1.55163 1452.03649
2 1997 13.75 109.3317272 1503.31125 1.57304 1462.17342
3 1997 13.30 110.2978396 1466.96127 1.58402 1425.23413
4 1997 13.61 110.2978396 1501.15360 1.54400 1456.90987
5 1997 14.18 110.2978396 1564.02337 1.57832 1516.34835
6 1997 14.48 111.2119101 1610.34846 1.64271 1559.61864
7 1997 15.15 111.2119101 1684.86044 1.68959 1630.09373
8 1997 14.63 111.2119101 1627.03025 1.76593 1572.37738
9 1997 15.12 112.0962991 1694.89604 1.70341 1636.26012
10 1997 14.92 112.0962991 1672.47678 1.77262 1612.84385
11 1997 15.18 112.0962991 1701.62182 1.74725 1639.20246
12 1997 15.13 114.6371485 1734.46006 1.77580 1669.06031
SURRENDER CHARGE = 5.00%
FREE WITHDRAWAL AVAILABLE = 15.00% OF PRINCIPAL + 15.00% OF INTEREST
GROSS RETURN = 73.45%
GROSS ANNUAL RETURN = 20.13%
WITHOUT WITH
SURRENDER SURRENDER
CHARGE CHARGE
ERV 1669.06 1598.13
TOTAL RETURN 66.91% 59.81%
AVERAGE ANNUAL RETURN 18.60% 16.90%
Return for Product Inception
FUND GROSS ADMIN/
MONTH YEAR NAV SHARES VALUE MTHLY M&E ERV
12 1996 13.44 109.3317272 1469.41841 1000.00000
1 1997 13.64 109.3317272 1491.28476 1.08333 1013.79762
2 1997 13.75 109.3317272 1503.31125 1.09828 1020.87513
3 1997 13.30 110.2978396 1466.96127 1.10595 995.08447
4 1997 13.61 110.2978396 1501.15360 1.07801 1017.20016
5 1997 14.18 110.2978396 1564.02337 1.10197 1058.69953
6 1997 14.48 111.2119101 1610.34846 1.14692 1088.91042
7 1997 15.15 111.2119101 1684.86044 1.17965 1138.11543
8 1997 14.63 111.2119101 1627.03025 1.23296 1097.81844
9 1997 15.12 112.0962991 1694.89604 1.18930 1142.42074
10 1997 14.92 112.0962991 1672.47678 1.23762 1126.07174
11 1997 15.18 112.0962991 1701.62182 1.21991 1144.47506
12 1997 15.13 114.6371485 1734.46006 1.23985 1165.32152
SURRENDER CHARGE = 7.00%
FREE WITHDRAWAL AVAILABLE = 15.00% OF PRINCIPAL + 15.00% OF INTEREST
GROSS RETURN = 18.04%
GROSS ANNUAL RETURN = 17.12%
WITHOUT WITH
SURRENDER SURRENDER
CHARGE CHARGE
ERV 1165.32 1095.98
TOTAL RETURN 16.53% 9.60%
AVERAGE ANNUAL RETURN 15.70% 9.13%
T. Rowe Price Equity Income Fund
12/1997
Assume ($10000 @ $10.00 on 3/31/1994)
DATE DIV PR/SH REINVEST NAV REINVEST SHARES SHARE BASIS
(incl cap gain)
100.000000
6/94 0.0900000000 10.10 0.891 100.891089
9/94 0.1000000000 10.52 0.959 101.850130
12/94 0.1000000000 10.43 0.977 102.826641
1/95 0.2600000000 10.54 2.537 105.363162
3/95 0.1100000000 10.95 1.058 106.421604
6/95 0.1100000000 11.57 1.012 107.433392
9/95 0.1100000000 12.27 0.963 108.396527
12/95 0.1100000000 13.15 0.907 109.303266
1/96 0.0100000000 13.39 0.082 109.384897
3/96 0.1000000000 13.76 0.795 110.179845
6/96 0.1100000000 13.92 0.871 111.050519
9/96 0.1000000000 14.32 0.775 111.826012
12/96 0.1800000000 15.46 1.302 113.127996
3/97 0.1900000000 16.00 1.343 114.471391
6/97 0.0900000000 17.17 0.600 115.071416
9/97 0.1000000000 18.42 0.625 115.696125
12/97 0.6300000000 18.40 3.961 119.657460
M and E Charge = 0.0010833
Return for YTD
FUND GROSS ADMIN/
MONTH YEAR NAV SHARES VALUE MTHLY M&E ERV
12 1996 15.26 113.1279961 1726.33322 1000.00000
1 1997 15.69 113.1279961 1774.97826 1.08333 1027.09491
2 1997 16.07 113.1279961 1817.96690 1.11269 1050.85769
3 1997 15.54 114.4713911 1778.88542 1.13843 1027.12860
4 1997 15.93 114.4713911 1823.52926 1.11272 1051.79324
5 1997 16.68 114.4713911 1909.38280 1.13944 1100.17325
6 1997 17.22 115.0714158 1981.52978 1.19185 1140.55199
7 1997 18.20 115.0714158 2094.29977 1.23560 1204.22585
8 1997 17.72 115.0714158 2039.06549 1.30458 1171.16147
9 1997 18.47 115.6961249 2136.90743 1.26876 1226.08939
10 1997 17.98 115.6961249 2080.21633 1.32826 1192.23358
11 1997 18.67 115.6961249 2160.04665 1.29159 1236.69512
12 1997 18.59 119.6574597 2224.43217 1.33975 1272.21812
SURRENDER CHARGE = 7.00%
FREE WITHDRAWAL AVAILABLE = 15.00% OF PRINCIPAL + 15.00% OF INTEREST
GROSS RETURN = 28.85%
WITHOUT WITH
SURRENDER SURRENDER
CHARGE CHARGE
ERV 1272.22 1196.52
TOTAL RETURN 27.22% 19.65%
Return for 1 Year
FUND GROSS ADMIN/
MONTH YEAR NAV SHARES VALUE MTHLY M&E ERV
12 1996 15.26 113.1279961 1726.33322 1000.00000
1 1997 15.69 113.1279961 1774.97826 1.08333 1027.09491
2 1997 16.07 113.1279961 1817.96690 1.11269 1050.85769
3 1997 15.54 114.4713911 1778.88542 1.13843 1027.12860
4 1997 15.93 114.4713911 1823.52926 1.11272 1051.79324
5 1997 16.68 114.4713911 1909.38280 1.13944 1100.17325
6 1997 17.22 115.0714158 1981.52978 1.19185 1140.55199
7 1997 18.20 115.0714158 2094.29977 1.23560 1204.22585
8 1997 17.72 115.0714158 2039.06549 1.30458 1171.16147
9 1997 18.47 115.6961249 2136.90743 1.26876 1226.08939
10 1997 17.98 115.6961249 2080.21633 1.32826 1192.23358
11 1997 18.67 115.6961249 2160.04665 1.29159 1236.69512
12 1997 18.59 119.6574597 2224.43217 1.33975 1272.21812
SURRENDER CHARGE = 7.00%
FREE WITHDRAWAL AVAILABLE = 15.00% OF PRINCIPAL + 15.00% OF INTEREST
GROSS RETURN = 28.85%
WITHOUT WITH
SURRENDER SURRENDER
CHARGE CHARGE
ERV 1272.22 1196.52
TOTAL RETURN 27.22% 19.65%
Return for 3 Years
FUND GROSS ADMIN/
MONTH YEAR NAV SHARES VALUE MTHLY M&E ERV
12 1994 10.42 102.8266412 1071.45360 1000.00000
1 1995 10.57 105.3631618 1113.68862 1.08333 1038.33510
2 1995 10.87 105.3631618 1145.29757 1.12486 1066.68048
3 1995 10.90 106.4216045 1159.99549 1.15557 1079.21392
4 1995 11.18 106.4216045 1189.79354 1.16915 1105.76770
5 1995 11.58 106.4216045 1232.36218 1.19791 1144.13213
6 1995 11.55 107.4333916 1240.85567 1.23948 1150.77806
7 1995 11.80 107.4333916 1267.71402 1.24668 1174.44000
8 1995 11.99 107.4333916 1288.12636 1.27231 1192.07817
9 1995 12.33 108.3965271 1336.52918 1.29142 1235.58044
10 1995 12.40 108.3965271 1344.11694 1.33855 1241.25655
11 1995 12.90 108.3965271 1398.31520 1.34469 1289.96252
12 1995 13.21 109.3032661 1443.89615 1.39746 1330.61403
1 1996 13.57 109.3848966 1484.35305 1.44150 1366.45535
2 1996 13.62 109.3848966 1489.82229 1.48033 1370.00986
3 1996 13.70 110.1798450 1509.46388 1.48418 1386.58768
4 1996 13.78 110.1798450 1518.27826 1.50214 1393.18241
5 1996 14.01 110.1798450 1543.61963 1.50928 1414.92653
6 1996 13.99 111.0505191 1553.59676 1.53284 1422.53903
7 1996 13.59 111.0505191 1509.17655 1.54108 1380.32492
8 1996 13.88 111.0505191 1541.38120 1.49535 1408.28462
9 1996 14.37 111.8260115 1606.93979 1.52564 1466.65665
10 1996 14.70 111.8260115 1643.84237 1.58888 1498.74882
11 1996 15.55 111.8260115 1738.89448 1.62364 1583.78753
12 1996 15.26 113.1279961 1726.33322 1.71577 1570.63094
1 1997 15.69 113.1279961 1774.97826 1.70152 1613.18705
2 1997 16.07 113.1279961 1817.96690 1.74762 1650.50961
3 1997 15.54 114.4713911 1778.88542 1.78805 1613.23996
4 1997 15.93 114.4713911 1823.52926 1.74768 1651.97900
5 1997 16.68 114.4713911 1909.38280 1.78964 1727.96615
6 1997 17.22 115.0714158 1981.52978 1.87196 1791.38625
7 1997 18.20 115.0714158 2094.29977 1.94067 1891.39439
8 1997 17.72 115.0714158 2039.06549 2.04901 1839.46245
9 1997 18.47 115.6961249 2136.90743 1.99275 1925.73394
10 1997 17.98 115.6961249 2080.21633 2.08621 1872.55896
11 1997 18.67 115.6961249 2160.04665 2.02861 1942.39162
12 1997 18.59 119.6574597 2224.43217 2.10426 1998.18514
SURRENDER CHARGE = 5.00%
FREE WITHDRAWAL AVAILABLE = 15.00% OF PRINCIPAL + 15.00% OF INTEREST
GROSS RETURN = 107.61%
GROSS ANNUAL RETURN = 27.57%
WITHOUT WITH
SURRENDER SURRENDER
CHARGE CHARGE
ERV 1998.19 1913.26
TOTAL RETURN 99.82% 91.33%
AVERAGE ANNUAL RETURN 25.95% 24.14%
Return for Inception
FUND GROSS ADMIN/
MONTH YEAR NAV SHARES VALUE MTHLY M&E ERV
3 1994 10.00 100.0000000 1000.00000 1000.00000
4 1994 10.16 100.0000000 1016.00000 1.08333 1014.91667
5 1994 10.35 100.0000000 1035.00000 1.09949 1032.79691
6 1994 10.08 100.8910891 1016.98218 1.11886 1013.69858
7 1994 10.36 100.8910891 1045.23168 1.09817 1040.75870
8 1994 10.82 100.8910891 1091.64158 1.12749 1085.84251
9 1994 10.50 101.8501299 1069.42636 1.17633 1062.56897
10 1994 10.65 101.8501299 1084.70388 1.15112 1076.59741
11 1994 10.41 101.8501299 1060.25985 1.16631 1051.16975
12 1994 10.42 102.8266412 1071.45360 1.13877 1061.12876
1 1995 10.57 105.3631618 1113.68862 1.14956 1101.80723
2 1995 10.87 105.3631618 1145.29757 1.19362 1131.88534
3 1995 10.90 106.4216045 1159.99549 1.22621 1145.18493
4 1995 11.18 106.4216045 1189.79354 1.24062 1173.36190
5 1995 11.58 106.4216045 1232.36218 1.27114 1214.07151
6 1995 11.55 107.4333916 1240.85567 1.31524 1221.12370
7 1995 11.80 107.4333916 1267.71402 1.32288 1246.23206
8 1995 11.99 107.4333916 1288.12636 1.35008 1264.94843
9 1995 12.33 108.3965271 1336.52918 1.37036 1311.10994
10 1995 12.40 108.3965271 1344.11694 1.42037 1317.13302
11 1995 12.90 108.3965271 1398.31520 1.42689 1368.81633
12 1995 13.21 109.3032661 1443.89615 1.48288 1411.95281
1 1996 13.57 109.3848966 1484.35305 1.52962 1449.98507
2 1996 13.62 109.3848966 1489.82229 1.57082 1453.75687
3 1996 13.70 110.1798450 1509.46388 1.57490 1471.34807
4 1996 13.78 110.1798450 1518.27826 1.59396 1478.34592
5 1996 14.01 110.1798450 1543.61963 1.60154 1501.41924
6 1996 13.99 111.0505191 1553.59676 1.62654 1509.49707
7 1996 13.59 111.0505191 1509.17655 1.63529 1464.70247
8 1996 13.88 111.0505191 1541.38120 1.58676 1494.37132
9 1996 14.37 111.8260115 1606.93979 1.61890 1556.31155
10 1996 14.70 111.8260115 1643.84237 1.68600 1590.36548
11 1996 15.55 111.8260115 1738.89448 1.72290 1680.60249
12 1996 15.26 113.1279961 1726.33322 1.82065 1666.64167
1 1997 15.69 113.1279961 1774.97826 1.80553 1711.79917
2 1997 16.07 113.1279961 1817.96690 1.85445 1751.40321
3 1997 15.54 114.4713911 1778.88542 1.89735 1711.85532
4 1997 15.93 114.4713911 1823.52926 1.85451 1752.96243
5 1997 16.68 114.4713911 1909.38280 1.89904 1833.59458
6 1997 17.22 115.0714158 1981.52978 1.98639 1900.89147
7 1997 18.20 115.0714158 2094.29977 2.05930 2007.01298
8 1997 17.72 115.0714158 2039.06549 2.17426 1951.90651
9 1997 18.47 115.6961249 2136.90743 2.11457 2043.45167
10 1997 17.98 115.6961249 2080.21633 2.21374 1987.02616
11 1997 18.67 115.6961249 2160.04665 2.15261 2061.12762
12 1997 18.59 119.6574597 2224.43217 2.23289 2120.33172
SURRENDER CHARGE = 4.00%
FREE WITHDRAWAL AVAILABLE = 15.00% OF PRINCIPAL + 15.00% OF INTEREST
GROSS RETURN = 122.44%
GROSS ANNUAL RETURN = 23.74%
WITHOUT WITH
SURRENDER SURRENDER
CHARGE CHARGE
ERV 2120.33 2048.24
TOTAL RETURN 112.03% 104.82%
AVERAGE ANNUAL RETURN 22.17% 21.05%
Return for Product Inception
FUND GROSS ADMIN/
MONTH YEAR NAV SHARES VALUE MTHLY M&E ERV
12 1996 15.26 113.1279961 1726.33322 1000.00000
1 1997 15.69 113.1279961 1774.97826 1.08333 1027.09491
2 1997 16.07 113.1279961 1817.96690 1.11269 1050.85769
3 1997 15.54 114.4713911 1778.88542 1.13843 1027.12860
4 1997 15.93 114.4713911 1823.52926 1.11272 1051.79324
5 1997 16.68 114.4713911 1909.38280 1.13944 1100.17325
6 1997 17.22 115.0714158 1981.52978 1.19185 1140.55199
7 1997 18.20 115.0714158 2094.29977 1.23560 1204.22585
8 1997 17.72 115.0714158 2039.06549 1.30458 1171.16147
9 1997 18.47 115.6961249 2136.90743 1.26876 1226.08939
10 1997 17.98 115.6961249 2080.21633 1.32826 1192.23358
11 1997 18.67 115.6961249 2160.04665 1.29159 1236.69512
12 1997 18.59 119.6574597 2224.43217 1.33975 1272.21812
SURRENDER CHARGE = 7.00%
FREE WITHDRAWAL AVAILABLE = 15.00% OF PRINCIPAL + 15.00% OF INTEREST
GROSS RETURN = 28.85%
GROSS ANNUAL RETURN = 27.33%
WITHOUT WITH
SURRENDER SURRENDER
CHARGE CHARGE
ERV 1272.22 1196.52
TOTAL RETURN 27.22% 19.65%
AVERAGE ANNUAL RETURN 25.79% 18.65%
T. Rowe Price Internat. Stock Fund
12/1997
Assume ($10000 @ $10.00 on 3/31/1994)
DATE DIV PR/SH REINVEST NAV REINVEST SHARES SHARE BASIS
(incl cap gain)
100.000000
1/95 0.0500000000 9.73 0.514 100.513875
1/96 0.1000000000 11.31 0.889 101.402591
12/96 0.1600000000 12.47 1.301 102.703667
12/97 0.2900000000 12.70 2.345 105.048869
M and E Charge = 0.0010833
Return for YTD
FUND GROSS ADMIN/
MONTH YEAR NAV SHARES VALUE MTHLY M&E ERV
12 1996 12.64 102.7036672 1298.17435 1000.00000
1 1997 12.48 102.7036672 1281.74177 1.08333 986.25844
2 1997 12.65 102.7036672 1299.20139 1.06845 998.62460
3 1997 12.62 102.7036672 1296.12028 1.08184 995.17448
4 1997 12.71 102.7036672 1305.36361 1.07811 1001.19350
5 1997 13.53 102.7036672 1389.58062 1.08463 1064.70200
6 1997 14.11 102.7036672 1449.14874 1.15343 1109.18990
7 1997 14.47 102.7036672 1486.12206 1.20162 1136.28795
8 1997 13.16 102.7036672 1351.58026 1.23098 1032.18640
9 1997 14.03 102.7036672 1440.93245 1.11820 1099.30544
10 1997 12.98 102.7036672 1333.09360 1.19091 1015.84292
11 1997 12.96 102.7036672 1331.03953 1.10050 1013.17718
12 1997 12.74 105.0488691 1338.32259 1.09761 1017.62338
SURRENDER CHARGE = 7.00%
FREE WITHDRAWAL AVAILABLE = 15.00% OF PRINCIPAL + 15.00% OF INTEREST
GROSS RETURN = 3.09%
WITHOUT WITH
SURRENDER SURRENDER
CHARGE CHARGE
ERV 1017.62 957.07
TOTAL RETURN 1.76% -4.29%
Return for 1 Year
FUND GROSS ADMIN/
MONTH YEAR NAV SHARES VALUE MTHLY M&E ERV
12 1996 12.64 102.7036672 1298.17435 1000.00000
1 1997 12.48 102.7036672 1281.74177 1.08333 986.25844
2 1997 12.65 102.7036672 1299.20139 1.06845 998.62460
3 1997 12.62 102.7036672 1296.12028 1.08184 995.17448
4 1997 12.71 102.7036672 1305.36361 1.07811 1001.19350
5 1997 13.53 102.7036672 1389.58062 1.08463 1064.70200
6 1997 14.11 102.7036672 1449.14874 1.15343 1109.18990
7 1997 14.47 102.7036672 1486.12206 1.20162 1136.28795
8 1997 13.16 102.7036672 1351.58026 1.23098 1032.18640
9 1997 14.03 102.7036672 1440.93245 1.11820 1099.30544
10 1997 12.98 102.7036672 1333.09360 1.19091 1015.84292
11 1997 12.96 102.7036672 1331.03953 1.10050 1013.17718
12 1997 12.74 105.0488691 1338.32259 1.09761 1017.62338
SURRENDER CHARGE = 7.00%
FREE WITHDRAWAL AVAILABLE = 15.00% OF PRINCIPAL + 15.00% OF INTEREST
GROSS RETURN = 3.09%
WITHOUT WITH
SURRENDER SURRENDER
CHARGE CHARGE
ERV 1017.62 957.07
TOTAL RETURN 1.76% -4.29%
Return for 3 Years
FUND GROSS ADMIN/
MONTH YEAR NAV SHARES VALUE MTHLY M&E ERV
12 1994 10.18 100.0000000 1018.00000 1000.00000
1 1995 9.66 100.5138746 970.96403 1.08333 952.71237
2 1995 9.72 100.5138746 976.99486 1.03211 957.59774
3 1995 10.10 100.5138746 1015.19013 1.03740 993.99729
4 1995 10.46 100.5138746 1051.37513 1.07683 1028.35006
5 1995 10.52 100.5138746 1057.40596 1.11405 1033.13477
6 1995 10.52 100.5138746 1057.40596 1.11923 1032.01555
7 1995 11.05 100.5138746 1110.67831 1.11802 1082.89071
8 1995 10.84 100.5138746 1089.57040 1.17313 1061.13775
9 1995 10.97 100.5138746 1102.63720 1.14957 1072.71401
10 1995 10.82 100.5138746 1087.56012 1.16211 1056.88398
11 1995 10.90 100.5138746 1095.60123 1.14496 1063.55332
12 1995 11.26 100.5138746 1131.78623 1.15218 1097.52767
1 1996 11.45 101.4025915 1161.05967 1.18899 1124.72603
2 1996 11.52 101.4025915 1168.15785 1.21845 1130.38364
3 1996 11.72 101.4025915 1188.43837 1.22458 1148.78377
4 1996 12.06 101.4025915 1222.91525 1.24452 1180.86575
5 1996 12.02 101.4025915 1218.85915 1.27927 1175.66984
6 1996 12.17 101.4025915 1234.06954 1.27364 1189.06762
7 1996 11.78 101.4025915 1194.52253 1.28816 1149.67458
8 1996 11.96 101.4025915 1212.77499 1.24548 1165.99628
9 1996 12.23 101.4025915 1240.15369 1.26316 1191.05578
10 1996 12.17 101.4025915 1234.06954 1.29031 1183.92219
11 1996 12.71 101.4025915 1288.82694 1.28258 1235.17190
12 1996 12.64 102.7036672 1298.17435 1.33810 1242.79207
1 1997 12.48 102.7036672 1281.74177 1.34636 1225.71416
2 1997 12.65 102.7036672 1299.20139 1.32786 1241.08273
3 1997 12.62 102.7036672 1296.12028 1.34451 1236.79495
4 1997 12.71 102.7036672 1305.36361 1.33986 1244.27534
5 1997 13.53 102.7036672 1389.58062 1.34796 1323.20320
6 1997 14.11 102.7036672 1449.14874 1.43347 1378.49241
7 1997 14.47 102.7036672 1486.12206 1.49337 1412.16965
8 1997 13.16 102.7036672 1351.58026 1.52985 1282.79307
9 1997 14.03 102.7036672 1440.93245 1.38969 1366.20808
10 1997 12.98 102.7036672 1333.09360 1.48006 1262.48152
11 1997 12.96 102.7036672 1331.03953 1.36769 1259.16856
12 1997 12.74 105.0488691 1338.32259 1.36410 1264.69427
SURRENDER CHARGE = 5.00%
FREE WITHDRAWAL AVAILABLE = 15.00% OF PRINCIPAL + 15.00% OF INTEREST
GROSS RETURN = 31.47%
GROSS ANNUAL RETURN = 9.55%
WITHOUT WITH
SURRENDER SURRENDER
CHARGE CHARGE
ERV 1264.69 1210.94
TOTAL RETURN 26.47% 21.09%
AVERAGE ANNUAL RETURN 8.14% 6.59%
Return for Inception
FUND GROSS ADMIN/
MONTH YEAR NAV SHARES VALUE MTHLY M&E ERV
3 1994 10.00 100.0000000 1000.00000 1000.00000
4 1994 10.23 100.0000000 1023.00000 1.08333 1021.91667
5 1994 10.23 100.0000000 1023.00000 1.10708 1020.80959
6 1994 10.10 100.0000000 1010.00000 1.10588 1006.73155
7 1994 10.41 100.0000000 1041.00000 1.09063 1036.54060
8 1994 10.79 100.0000000 1079.00000 1.12292 1073.25490
9 1994 10.52 100.0000000 1052.00000 1.16269 1045.23597
10 1994 10.73 100.0000000 1073.00000 1.13234 1064.96861
11 1994 10.32 100.0000000 1032.00000 1.15372 1023.12178
12 1994 10.18 100.0000000 1018.00000 1.10838 1008.13384
1 1995 9.66 100.5138746 970.96403 1.09214 960.46158
2 1995 9.72 100.5138746 976.99486 1.04050 965.38668
3 1995 10.10 100.5138746 1015.19013 1.04584 1002.08230
4 1995 10.46 100.5138746 1051.37513 1.08559 1036.71449
5 1995 10.52 100.5138746 1057.40596 1.12311 1041.53812
6 1995 10.52 100.5138746 1057.40596 1.12833 1040.40979
7 1995 11.05 100.5138746 1110.67831 1.12711 1091.69876
8 1995 10.84 100.5138746 1089.57040 1.18267 1069.76887
9 1995 10.97 100.5138746 1102.63720 1.15892 1081.43929
10 1995 10.82 100.5138746 1087.56012 1.17156 1065.48050
11 1995 10.90 100.5138746 1095.60123 1.15427 1072.20409
12 1995 11.26 100.5138746 1131.78623 1.16155 1106.45478
1 1996 11.45 101.4025915 1161.05967 1.19866 1133.87437
2 1996 11.52 101.4025915 1168.15785 1.22836 1139.57799
3 1996 11.72 101.4025915 1188.43837 1.23454 1158.12779
4 1996 12.06 101.4025915 1222.91525 1.25464 1190.47071
5 1996 12.02 101.4025915 1218.85915 1.28968 1185.23254
6 1996 12.17 101.4025915 1234.06954 1.28400 1198.73930
7 1996 11.78 101.4025915 1194.52253 1.29863 1159.02584
8 1996 11.96 101.4025915 1212.77499 1.25561 1175.48031
9 1996 12.23 101.4025915 1240.15369 1.27344 1200.74363
10 1996 12.17 101.4025915 1234.06954 1.30081 1193.55202
11 1996 12.71 101.4025915 1288.82694 1.29301 1245.21858
12 1996 12.64 102.7036672 1298.17435 1.34899 1252.90073
1 1997 12.48 102.7036672 1281.74177 1.35731 1235.68392
2 1997 12.65 102.7036672 1299.20139 1.33866 1251.17750
3 1997 12.62 102.7036672 1296.12028 1.35544 1246.85484
4 1997 12.71 102.7036672 1305.36361 1.35076 1254.39607
5 1997 13.53 102.7036672 1389.58062 1.35893 1333.96592
6 1997 14.11 102.7036672 1449.14874 1.44513 1389.70484
7 1997 14.47 102.7036672 1486.12206 1.50551 1423.65601
8 1997 13.16 102.7036672 1351.58026 1.54229 1293.22709
9 1997 14.03 102.7036672 1440.93245 1.40100 1377.32059
10 1997 12.98 102.7036672 1333.09360 1.49210 1272.75033
11 1997 12.96 102.7036672 1331.03953 1.37881 1269.41043
12 1997 12.74 105.0488691 1338.32259 1.37519 1274.98108
SURRENDER CHARGE = 4.00%
FREE WITHDRAWAL AVAILABLE = 15.00% OF PRINCIPAL + 15.00% OF INTEREST
GROSS RETURN = 33.83%
GROSS ANNUAL RETURN = 8.07%
WITHOUT WITH
SURRENDER SURRENDER
CHARGE CHARGE
ERV 1274.98 1231.63
TOTAL RETURN 27.50% 23.16%
AVERAGE ANNUAL RETURN 6.69% 5.71%
Return for Product Inception
FUND GROSS ADMIN/
MONTH YEAR NAV SHARES VALUE MTHLY M&E ERV
12 1996 12.64 102.7036672 1298.17435 1000.00000
1 1997 12.48 102.7036672 1281.74177 1.08333 986.25844
2 1997 12.65 102.7036672 1299.20139 1.06845 998.62460
3 1997 12.62 102.7036672 1296.12028 1.08184 995.17448
4 1997 12.71 102.7036672 1305.36361 1.07811 1001.19350
5 1997 13.53 102.7036672 1389.58062 1.08463 1064.70200
6 1997 14.11 102.7036672 1449.14874 1.15343 1109.18990
7 1997 14.47 102.7036672 1486.12206 1.20162 1136.28795
8 1997 13.16 102.7036672 1351.58026 1.23098 1032.18640
9 1997 14.03 102.7036672 1440.93245 1.11820 1099.30544
10 1997 12.98 102.7036672 1333.09360 1.19091 1015.84292
11 1997 12.96 102.7036672 1331.03953 1.10050 1013.17718
12 1997 12.74 105.0488691 1338.32259 1.09761 1017.62338
SURRENDER CHARGE = 7.00%
FREE WITHDRAWAL AVAILABLE = 15.00% OF PRINCIPAL + 15.00% OF INTEREST
GROSS RETURN = 3.09%
GROSS ANNUAL RETURN = 2.95%
WITHOUT WITH
SURRENDER SURRENDER
CHARGE CHARGE
ERV 1017.62 957.07
TOTAL RETURN 1.76% -4.29%
AVERAGE ANNUAL RETURN 1.68% -4.09%
T. Rowe Price Limited Term Bond
12/1997
Assume ($10000 @ $10.00 on 5/13/1994)
DATE DIV PR/SH REINVEST NAV REINVEST SHARES SHARE BASIS
(incl cap gain)
100.000000
5/94 0.0101080000 5.00 0.202 100.202160
6/94 0.0227390860 4.99 0.457 100.658774
7/94 0.0254802850 5.04 0.509 101.167666
8/94 0.0310070990 5.04 0.622 101.790070
9/94 0.0333695090 5.01 0.678 102.468051
10/94 0.0289283280 4.98 0.595 103.063278
11/94 0.0311052550 4.93 0.650 103.713543
12/94 0.0273000000 4.92 0.575 104.289027
1/95 0.0280000000 4.94 0.591 104.880139
2/95 0.0287000000 4.96 0.607 105.487006
3/95 0.0301000000 4.97 0.639 106.125871
4/95 0.0262000000 4.98 0.558 106.684204
5/95 0.0283000000 5.02 0.601 107.285631
6/95 0.0295000000 5.01 0.632 107.917352
7/95 0.0254251330 5.00 0.549 108.466115
8/95 0.0274278140 5.00 0.595 109.061113
9/95 0.0286146590 5.00 0.624 109.685262
10/95 0.0264917600 5.01 0.580 110.265253
11/95 0.0261262300 5.04 0.572 110.836844
12/95 0.0265365700 5.06 0.581 111.418114
1/96 0.0242378560 5.07 0.533 111.950764
2/96 0.0235427380 4.99 0.528 112.478946
3/96 0.0239636480 4.94 0.546 113.024575
4/96 0.0235631940 4.90 0.544 113.568089
5/96 0.0250830810 4.87 0.585 114.153025
6/96 0.0220828540 4.89 0.516 114.668531
7/96 0.0238193190 4.88 0.560 115.228229
8/96 0.0255629680 4.86 0.606 115.834315
9/96 0.0221304100 4.89 0.524 116.358540
10/96 0.0240874040 4.94 0.567 116.925903
11/96 0.0247578130 4.97 0.582 117.508364
12/96 0.0241618420 4.93 0.576 118.084270
1/97 0.0251917050 4.92 0.605 118.688893
2/97 0.0236114340 4.91 0.571 119.259650
3/97 0.0226738380 4.86 0.556 119.816043
4/97 0.0238675950 4.88 0.586 120.402052
5/97 0.0250013980 4.89 0.616 121.017639
6/97 0.0235752560 4.91 0.581 121.598702
7/97 0.0249375280 4.96 0.611 122.210067
8/97 0.0256476800 4.92 0.637 122.847141
9/97 0.0238382100 4.95 0.592 123.438749
10/97 0.0260796860 4.96 0.649 124.087790
11/97 0.0224935020 4.95 0.564 124.651662
12/97 0.0248429880 4.96 0.624 125.276001
M and E Charge = 0.0010833
Return for YTD
FUND GROSS ADMIN/
MONTH YEAR NAV SHARES VALUE MTHLY M&E ERV
12 1996 4.93 118.0842702 582.15545 1000.00000
1 1997 4.92 118.6888930 583.94935 1.08333 1001.99815
2 1997 4.91 119.2596496 585.56488 1.08550 1003.68473
3 1997 4.86 119.8160434 582.30597 1.08733 997.01149
4 1997 4.88 120.4020518 587.56201 1.08010 1004.93067
5 1997 4.89 121.0176386 591.77625 1.08867 1011.04978
6 1997 4.91 121.5987021 597.04963 1.09530 1018.96404
7 1997 4.96 122.2100673 606.16193 1.10388 1033.41182
8 1997 4.92 122.8471414 604.40794 1.11953 1029.30199
9 1997 4.95 123.4387487 611.02181 1.11508 1039.45029
10 1997 4.96 124.0877897 615.47544 1.12607 1045.90059
11 1997 4.95 124.6516623 617.02573 1.13306 1047.40200
12 1997 4.96 125.2760009 621.36896 1.13469 1053.63996
SURRENDER CHARGE = 7.00%
FREE WITHDRAWAL AVAILABLE = 15.00% OF PRINCIPAL + 15.00% OF INTEREST
GROSS RETURN = 6.74%
WITHOUT WITH
SURRENDER SURRENDER
CHARGE CHARGE
ERV 1053.64 990.95
TOTAL RETURN 5.36% -0.91%
Return for 1 Year
FUND GROSS ADMIN/
MONTH YEAR NAV SHARES VALUE MTHLY M&E ERV
12 1996 4.93 118.0842702 582.15545 1000.00000
1 1997 4.92 118.6888930 583.94935 1.08333 1001.99815
2 1997 4.91 119.2596496 585.56488 1.08550 1003.68473
3 1997 4.86 119.8160434 582.30597 1.08733 997.01149
4 1997 4.88 120.4020518 587.56201 1.08010 1004.93067
5 1997 4.89 121.0176386 591.77625 1.08867 1011.04978
6 1997 4.91 121.5987021 597.04963 1.09530 1018.96404
7 1997 4.96 122.2100673 606.16193 1.10388 1033.41182
8 1997 4.92 122.8471414 604.40794 1.11953 1029.30199
9 1997 4.95 123.4387487 611.02181 1.11508 1039.45029
10 1997 4.96 124.0877897 615.47544 1.12607 1045.90059
11 1997 4.95 124.6516623 617.02573 1.13306 1047.40200
12 1997 4.96 125.2760009 621.36896 1.13469 1053.63996
SURRENDER CHARGE = 7.00%
FREE WITHDRAWAL AVAILABLE = 15.00% OF PRINCIPAL + 15.00% OF INTEREST
GROSS RETURN = 6.74%
WITHOUT WITH
SURRENDER SURRENDER
CHARGE CHARGE
ERV 1053.64 990.95
TOTAL RETURN 5.36% -0.91%
Return for 3 Years
FUND GROSS ADMIN/
MONTH YEAR NAV SHARES VALUE MTHLY M&E ERV
12 1994 4.92 104.2890271 513.10201 1000.00000
1 1995 4.94 104.8801389 518.10789 1.08333 1008.67276
2 1995 4.96 105.4870059 523.21555 1.09273 1017.52383
3 1995 4.97 106.1258708 527.44558 1.10232 1024.64787
4 1995 4.98 106.6842037 531.28733 1.11004 1031.00106
5 1995 5.02 107.2856306 538.57387 1.11692 1044.02418
6 1995 5.01 107.9173524 540.66594 1.13103 1046.94863
7 1995 5.00 108.4661150 542.33058 1.13419 1049.03785
8 1995 5.00 109.0611127 545.30556 1.13646 1053.65595
9 1995 5.00 109.6852620 548.42631 1.14146 1058.54450
10 1995 5.01 110.2652532 552.42892 1.14676 1065.12337
11 1995 5.04 110.8368435 558.61769 1.15388 1075.90189
12 1995 5.06 111.4181142 563.77566 1.16556 1084.67061
1 1996 5.07 111.9507643 567.59038 1.17506 1090.83484
2 1996 4.99 112.4789462 561.26994 1.18174 1077.50605
3 1996 4.94 113.0245749 558.34140 1.16730 1070.71665
4 1996 4.90 113.5680892 556.48364 1.15994 1065.99412
5 1996 4.87 114.1530250 555.92523 1.15483 1063.76962
6 1996 4.89 114.6685311 560.72912 1.15242 1071.80949
7 1996 4.88 115.2282291 562.31376 1.16113 1073.67734
8 1996 4.86 115.8343146 562.95477 1.16315 1073.73813
9 1996 4.89 116.3585397 568.99326 1.16322 1084.09228
10 1996 4.94 116.9259031 577.61396 1.17443 1099.34271
11 1996 4.97 117.5083638 584.01657 1.19095 1110.33751
12 1996 4.93 118.0842702 582.15545 1.20287 1105.59627
1 1997 4.92 118.6888930 583.94935 1.19773 1107.80542
2 1997 4.91 119.2596496 585.56488 1.20012 1109.67009
3 1997 4.86 119.8160434 582.30597 1.20214 1102.29218
4 1997 4.88 120.4020518 587.56201 1.19415 1111.04760
5 1997 4.89 121.0176386 591.77625 1.20363 1117.81287
6 1997 4.91 121.5987021 597.04963 1.21096 1126.56284
7 1997 4.96 122.2100673 606.16193 1.22044 1142.53625
8 1997 4.92 122.8471414 604.40794 1.23775 1137.99245
9 1997 4.95 123.4387487 611.02181 1.23283 1149.21236
10 1997 4.96 124.0877897 615.47544 1.24498 1156.34379
11 1997 4.95 124.6516623 617.02573 1.25271 1158.00374
12 1997 4.96 125.2760009 621.36896 1.25450 1164.90041
SURRENDER CHARGE = 5.00%
FREE WITHDRAWAL AVAILABLE = 15.00% OF PRINCIPAL + 15.00% OF INTEREST
GROSS RETURN = 21.10%
GROSS ANNUAL RETURN = 6.59%
WITHOUT WITH
SURRENDER SURRENDER
CHARGE CHARGE
ERV 1164.90 1115.39
TOTAL RETURN 16.49% 11.54%
AVERAGE ANNUAL RETURN 5.22% 3.71%
Return for Inception
FUND GROSS ADMIN/
MONTH YEAR NAV SHARES VALUE MTHLY M&E ERV
4 1994 5.00 100.0000000 500.00000 1000.00000
5 1994 5.00 100.2021600 501.01080 1.08333 1000.93827
6 1994 4.99 100.6587743 502.28728 1.08435 1002.40412
7 1994 5.04 101.1676661 509.88504 1.08594 1016.48086
8 1994 5.04 101.7900700 513.02195 1.10119 1021.63327
9 1994 5.01 102.4680510 513.36494 1.10677 1021.20952
10 1994 4.98 103.0632777 513.25512 1.10631 1019.88476
11 1994 4.93 103.7135434 511.30777 1.10488 1014.91032
12 1994 4.92 104.2890271 513.10201 1.09949 1017.37228
1 1995 4.94 104.8801389 518.10789 1.10215 1026.19571
2 1995 4.96 105.4870059 523.21555 1.11171 1035.20054
3 1995 4.97 106.1258708 527.44558 1.12147 1042.44834
4 1995 4.98 106.6842037 531.28733 1.12932 1048.91190
5 1995 5.02 107.2856306 538.57387 1.13632 1062.16126
6 1995 5.01 107.9173524 540.66594 1.15067 1065.13651
7 1995 5.00 108.4661150 542.33058 1.15390 1067.26203
8 1995 5.00 109.0611127 545.30556 1.15620 1071.96036
9 1995 5.00 109.6852620 548.42631 1.16129 1076.93383
10 1995 5.01 110.2652532 552.42892 1.16668 1083.62699
11 1995 5.04 110.8368435 558.61769 1.17393 1094.59276
12 1995 5.06 111.4181142 563.77566 1.18581 1103.51382
1 1996 5.07 111.9507643 567.59038 1.19547 1109.78513
2 1996 4.99 112.4789462 561.26994 1.20227 1096.22479
3 1996 4.94 113.0245749 558.34140 1.18758 1089.31744
4 1996 4.90 113.5680892 556.48364 1.18009 1084.51287
5 1996 4.87 114.1530250 555.92523 1.17489 1082.24972
6 1996 4.89 114.6685311 560.72912 1.17244 1090.42927
7 1996 4.88 115.2282291 562.31376 1.18130 1092.32956
8 1996 4.86 115.8343146 562.95477 1.18336 1092.39141
9 1996 4.89 116.3585397 568.99326 1.18342 1102.92544
10 1996 4.94 116.9259031 577.61396 1.19484 1118.44080
11 1996 4.97 117.5083638 584.01657 1.21164 1129.62660
12 1996 4.93 118.0842702 582.15545 1.22376 1124.80300
1 1997 4.92 118.6888930 583.94935 1.21854 1127.05052
2 1997 4.91 119.2596496 585.56488 1.22097 1128.94760
3 1997 4.86 119.8160434 582.30597 1.22303 1121.44151
4 1997 4.88 120.4020518 587.56201 1.21489 1130.34903
5 1997 4.89 121.0176386 591.77625 1.22454 1137.23183
6 1997 4.91 121.5987021 597.04963 1.23200 1146.13381
7 1997 4.96 122.2100673 606.16193 1.24164 1162.38471
8 1997 4.92 122.8471414 604.40794 1.25925 1157.76197
9 1997 4.95 123.4387487 611.02181 1.25424 1169.17680
10 1997 4.96 124.0877897 615.47544 1.26661 1176.43212
11 1997 4.95 124.6516623 617.02573 1.27447 1178.12091
12 1997 4.96 125.2760009 621.36896 1.27630 1185.13739
SURRENDER CHARGE = 4.00%
FREE WITHDRAWAL AVAILABLE = 15.00% OF PRINCIPAL + 15.00% OF INTEREST
GROSS RETURN = 24.27%
GROSS ANNUAL RETURN = 6.16%
WITHOUT WITH
SURRENDER SURRENDER
CHARGE CHARGE
ERV 1185.14 1144.84
TOTAL RETURN 18.51% 14.48%
AVERAGE ANNUAL RETURN 4.78% 3.79%
Return for Product Inception
FUND GROSS ADMIN/
MONTH YEAR NAV SHARES VALUE MTHLY M&E ERV
12 1996 4.93 118.0842702 582.15545 1000.00000
1 1997 4.92 118.6888930 583.94935 1.08333 1001.99815
2 1997 4.91 119.2596496 585.56488 1.08550 1003.68473
3 1997 4.86 119.8160434 582.30597 1.08733 997.01149
4 1997 4.88 120.4020518 587.56201 1.08010 1004.93067
5 1997 4.89 121.0176386 591.77625 1.08867 1011.04978
6 1997 4.91 121.5987021 597.04963 1.09530 1018.96404
7 1997 4.96 122.2100673 606.16193 1.10388 1033.41182
8 1997 4.92 122.8471414 604.40794 1.11953 1029.30199
9 1997 4.95 123.4387487 611.02181 1.11508 1039.45029
10 1997 4.96 124.0877897 615.47544 1.12607 1045.90059
11 1997 4.95 124.6516623 617.02573 1.13306 1047.40200
12 1997 4.96 125.2760009 621.36896 1.13469 1053.63996
SURRENDER CHARGE = 7.00%
FREE WITHDRAWAL AVAILABLE = 15.00% OF PRINCIPAL + 15.00% OF INTEREST
GROSS RETURN = 6.74%
GROSS ANNUAL RETURN = 6.41%
WITHOUT WITH
SURRENDER SURRENDER
CHARGE CHARGE
ERV 1053.64 990.95
TOTAL RETURN 5.36% -0.91%
AVERAGE ANNUAL RETURN 5.11% -0.86%
T. Rowe Price New American Growth
12/1997
Assume ($10000 @ $10.00 on 3/31/1994)
DATE DIV PR/SH REINVEST NAV REINVEST SHARES SHARE BASIS
(incl cap gain)
100.000000
1/95 0.0200000000 10.31 0.194 100.193986
1/96 0.4000000000 14.88 2.693 102.887373
12/96 0.1400000000 17.53 0.822 103.709064
12/97 0.0500000000 20.66 0.251 103.960054
M and E Charge = 0.0010833
Return for YTD
FUND GROSS ADMIN/
MONTH YEAR NAV SHARES VALUE MTHLY M&E ERV
12 1996 17.67 103.7090635 1832.53915 1000.00000
1 1997 17.99 103.7090635 1865.72605 1.08333 1017.02646
2 1997 17.91 103.7090635 1857.42933 1.10178 1011.40205
3 1997 16.90 103.7090635 1752.68317 1.09569 953.27029
4 1997 17.05 103.7090635 1768.23953 1.03271 960.69856
5 1997 18.33 103.7090635 1900.98713 1.04076 1031.78063
6 1997 19.25 103.7090635 1996.39947 1.11776 1082.44891
7 1997 20.25 103.7090635 2100.10854 1.17265 1137.50737
8 1997 19.82 103.7090635 2055.51364 1.23230 1112.12059
9 1997 21.23 103.7090635 2201.74342 1.20480 1190.03234
10 1997 20.61 103.7090635 2137.44380 1.28920 1153.98949
11 1997 20.82 103.7090635 2159.22270 1.25016 1164.49760
12 1997 21.35 103.9600535 2219.54714 1.26154 1195.76983
SURRENDER CHARGE = 7.00%
FREE WITHDRAWAL AVAILABLE = 15.00% OF PRINCIPAL + 15.00% OF INTEREST
GROSS RETURN = 21.12%
WITHOUT WITH
SURRENDER SURRENDER
CHARGE CHARGE
ERV 1195.77 1124.62
TOTAL RETURN 19.58% 12.46%
Return for 1 Year
FUND GROSS ADMIN/
MONTH YEAR NAV SHARES VALUE MTHLY M&E ERV
12 1996 17.67 103.7090635 1832.53915 1000.00000
1 1997 17.99 103.7090635 1865.72605 1.08333 1017.02646
2 1997 17.91 103.7090635 1857.42933 1.10178 1011.40205
3 1997 16.90 103.7090635 1752.68317 1.09569 953.27029
4 1997 17.05 103.7090635 1768.23953 1.03271 960.69856
5 1997 18.33 103.7090635 1900.98713 1.04076 1031.78063
6 1997 19.25 103.7090635 1996.39947 1.11776 1082.44891
7 1997 20.25 103.7090635 2100.10854 1.17265 1137.50737
8 1997 19.82 103.7090635 2055.51364 1.23230 1112.12059
9 1997 21.23 103.7090635 2201.74342 1.20480 1190.03234
10 1997 20.61 103.7090635 2137.44380 1.28920 1153.98949
11 1997 20.82 103.7090635 2159.22270 1.25016 1164.49760
12 1997 21.35 103.9600535 2219.54714 1.26154 1195.76983
SURRENDER CHARGE = 7.00%
FREE WITHDRAWAL AVAILABLE = 15.00% OF PRINCIPAL + 15.00% OF INTEREST
GROSS RETURN = 21.12%
WITHOUT WITH
SURRENDER SURRENDER
CHARGE CHARGE
ERV 1195.77 1124.62
TOTAL RETURN 19.58% 12.46%
Return for 3 Years
FUND GROSS ADMIN/
MONTH YEAR NAV SHARES VALUE MTHLY M&E ERV
12 1994 10.10 100.0000000 1010.00000 1000.00000
1 1995 10.37 100.1939864 1039.01164 1.08333 1027.64106
2 1995 10.66 100.1939864 1068.06790 1.11328 1055.26606
3 1995 11.37 100.1939864 1139.20563 1.14320 1124.40793
4 1995 11.23 100.1939864 1125.17847 1.21811 1109.34487
5 1995 11.55 100.1939864 1157.24054 1.20179 1139.75397
6 1995 12.48 100.1939864 1250.42095 1.23473 1230.29164
7 1995 13.43 100.1939864 1345.60524 1.33282 1322.61083
8 1995 13.76 100.1939864 1378.66925 1.43283 1353.67700
9 1995 14.36 100.1939864 1438.78565 1.46648 1411.23713
10 1995 14.58 100.1939864 1460.82832 1.52884 1431.32892
11 1995 15.05 100.1939864 1507.91950 1.55061 1475.91854
12 1995 15.23 100.1939864 1525.95441 1.59891 1491.97181
1 1996 15.14 102.8873732 1557.71483 1.61630 1521.40863
2 1996 15.59 102.8873732 1604.01415 1.64819 1564.98064
3 1996 16.19 102.8873732 1665.74657 1.69540 1623.51542
4 1996 16.47 102.8873732 1694.55504 1.75881 1649.83470
5 1996 16.82 102.8873732 1730.56562 1.78732 1683.10762
6 1996 16.84 102.8873732 1732.62336 1.82337 1683.28557
7 1996 15.65 102.8873732 1610.18739 1.82356 1562.51250
8 1996 16.45 102.8873732 1692.49729 1.69272 1640.69262
9 1996 17.38 102.8873732 1788.18255 1.77742 1731.67168
10 1996 17.27 102.8873732 1776.86493 1.87598 1718.83576
11 1996 17.98 102.8873732 1849.91497 1.86207 1787.63804
12 1996 17.67 103.7090635 1832.53915 1.93661 1768.91057
1 1997 17.99 103.7090635 1865.72605 1.91632 1799.02885
2 1997 17.91 103.7090635 1857.42933 1.94895 1789.07977
3 1997 16.90 103.7090635 1752.68317 1.93817 1686.24989
4 1997 17.05 103.7090635 1768.23953 1.82677 1699.38983
5 1997 18.33 103.7090635 1900.98713 1.84101 1825.12766
6 1997 19.25 103.7090635 1996.39947 1.97722 1914.75531
7 1997 20.25 103.7090635 2100.10854 2.07432 2012.14880
8 1997 19.82 103.7090635 2055.51364 2.17983 1967.24187
9 1997 21.23 103.7090635 2201.74342 2.13118 2105.06079
10 1997 20.61 103.7090635 2137.44380 2.28048 2041.30420
11 1997 20.82 103.7090635 2159.22270 2.21141 2059.89211
12 1997 21.35 103.9600535 2219.54714 2.23155 2115.20989
SURRENDER CHARGE = 5.00%
FREE WITHDRAWAL AVAILABLE = 15.00% OF PRINCIPAL + 15.00% OF INTEREST
GROSS RETURN = 119.76%
GROSS ANNUAL RETURN = 30.01%
WITHOUT WITH
SURRENDER SURRENDER
CHARGE CHARGE
ERV 2115.21 2025.31
TOTAL RETURN 111.52% 102.53%
AVERAGE ANNUAL RETURN 28.37% 26.52%
Return for Inception
FUND GROSS ADMIN/
MONTH YEAR NAV SHARES VALUE MTHLY M&E ERV
3 1994 10.00 100.0000000 1000.00000 1000.00000
4 1994 10.12 100.0000000 1012.00000 1.08333 1010.91667
5 1994 9.98 100.0000000 998.00000 1.09516 995.83649
6 1994 9.67 100.0000000 967.00000 1.07882 963.82487
7 1994 9.79 100.0000000 979.00000 1.04414 974.74133
8 1994 10.45 100.0000000 1045.00000 1.05597 1039.39826
9 1994 10.22 100.0000000 1022.00000 1.12601 1015.39553
10 1994 10.37 100.0000000 1037.00000 1.10001 1029.19859
11 1994 9.95 100.0000000 995.00000 1.11497 986.39959
12 1994 10.10 100.0000000 1010.00000 1.06860 1000.20134
1 1995 10.37 100.1939864 1039.01164 1.08355 1027.84797
2 1995 10.66 100.1939864 1068.06790 1.11350 1055.47852
3 1995 11.37 100.1939864 1139.20563 1.14344 1124.63432
4 1995 11.23 100.1939864 1125.17847 1.21835 1109.56822
5 1995 11.55 100.1939864 1157.24054 1.20203 1139.98345
6 1995 12.48 100.1939864 1250.42095 1.23498 1230.53934
7 1995 13.43 100.1939864 1345.60524 1.33308 1322.87712
8 1995 13.76 100.1939864 1378.66925 1.43312 1353.94955
9 1995 14.36 100.1939864 1438.78565 1.46678 1411.52127
10 1995 14.58 100.1939864 1460.82832 1.52915 1431.61710
11 1995 15.05 100.1939864 1507.91950 1.55092 1476.21570
12 1995 15.23 100.1939864 1525.95441 1.59923 1492.27220
1 1996 15.14 102.8873732 1557.71483 1.61663 1521.71495
2 1996 15.59 102.8873732 1604.01415 1.64852 1565.29573
3 1996 16.19 102.8873732 1665.74657 1.69574 1623.84229
4 1996 16.47 102.8873732 1694.55504 1.75916 1650.16688
5 1996 16.82 102.8873732 1730.56562 1.78768 1683.44649
6 1996 16.84 102.8873732 1732.62336 1.82373 1683.62448
7 1996 15.65 102.8873732 1610.18739 1.82393 1562.82709
8 1996 16.45 102.8873732 1692.49729 1.69306 1641.02295
9 1996 17.38 102.8873732 1788.18255 1.77777 1732.02034
10 1996 17.27 102.8873732 1776.86493 1.87636 1719.18183
11 1996 17.98 102.8873732 1849.91497 1.86245 1787.99796
12 1996 17.67 103.7090635 1832.53915 1.93700 1769.26672
1 1997 17.99 103.7090635 1865.72605 1.91671 1799.39106
2 1997 17.91 103.7090635 1857.42933 1.94934 1789.43998
3 1997 16.90 103.7090635 1752.68317 1.93856 1686.58940
4 1997 17.05 103.7090635 1768.23953 1.82714 1699.73199
5 1997 18.33 103.7090635 1900.98713 1.84138 1825.49512
6 1997 19.25 103.7090635 1996.39947 1.97762 1915.14083
7 1997 20.25 103.7090635 2100.10854 2.07474 2012.55393
8 1997 19.82 103.7090635 2055.51364 2.18027 1967.63795
9 1997 21.23 103.7090635 2201.74342 2.13161 2105.48462
10 1997 20.61 103.7090635 2137.44380 2.28094 2041.71519
11 1997 20.82 103.7090635 2159.22270 2.21186 2060.30684
12 1997 21.35 103.9600535 2219.54714 2.23200 2115.63577
SURRENDER CHARGE = 4.00%
FREE WITHDRAWAL AVAILABLE = 15.00% OF PRINCIPAL + 15.00% OF INTEREST
GROSS RETURN = 121.95%
GROSS ANNUAL RETURN = 23.67%
WITHOUT WITH
SURRENDER SURRENDER
CHARGE CHARGE
ERV 2115.64 2043.70
TOTAL RETURN 111.56% 104.37%
AVERAGE ANNUAL RETURN 22.10% 20.98%
Return for Product Inception
FUND GROSS ADMIN/
MONTH YEAR NAV SHARES VALUE MTHLY M&E ERV
12 1996 17.67 103.7090635 1832.53915 1000.00000
1 1997 17.99 103.7090635 1865.72605 1.08333 1017.02646
2 1997 17.91 103.7090635 1857.42933 1.10178 1011.40205
3 1997 16.90 103.7090635 1752.68317 1.09569 953.27029
4 1997 17.05 103.7090635 1768.23953 1.03271 960.69856
5 1997 18.33 103.7090635 1900.98713 1.04076 1031.78063
6 1997 19.25 103.7090635 1996.39947 1.11776 1082.44891
7 1997 20.25 103.7090635 2100.10854 1.17265 1137.50737
8 1997 19.82 103.7090635 2055.51364 1.23230 1112.12059
9 1997 21.23 103.7090635 2201.74342 1.20480 1190.03234
10 1997 20.61 103.7090635 2137.44380 1.28920 1153.98949
11 1997 20.82 103.7090635 2159.22270 1.25016 1164.49760
12 1997 21.35 103.9600535 2219.54714 1.26154 1195.76983
SURRENDER CHARGE = 7.00%
FREE WITHDRAWAL AVAILABLE = 15.00% OF PRINCIPAL + 15.00% OF INTEREST
GROSS RETURN = 21.12%
GROSS ANNUAL RETURN = 20.03%
WITHOUT WITH
SURRENDER SURRENDER
CHARGE CHARGE
ERV 1195.77 1124.62
TOTAL RETURN 19.58% 12.46%
AVERAGE ANNUAL RETURN 18.58% 11.84%
<PAGE>
<TABLE>
<CAPTION>
ULTRANNUITY SERIES 5
PERFORMANCE DATA
As of 12/31/1997
Inception Non-Standard Average
Annual Standard Average Annual
Date Accum Unit Value Total
Return Total Return
<S> <C> <C> <C> <C> <C> <C> <C> <C> <C> <C> <C> <C>
YTD 1 Year 3 Year 5 Year 10 Year
Inception YTD 1 Year 3 Year 5 Year 10 Year Inception
Alger American Growth 1/ 9/89 0.000000 24.15% 24.15% 23.21% 17.76%
- - 17.91% 16.76% 16.76% 21.44% 17.16% - 17.91%
Alger American Small Capitalization 9/21/88 0.000000 9.96% 9.96% 17.24% 11.21%
- - 17.71% 3.42% 3.42% 15.55% 10.63% - 17.71%
Federated Government Bond 3/28/94 0.000000 7.18% 7.18% 5.78% -
- - 5.01% 0.81% 0.81% 4.26% - - 4.05%
Federated Prime Money 11/21/94 0.000000 3.58% 3.58% 3.60% -
- - 3.56% -2.58% -2.58% 2.11% - - 2.42%
Fidelity Asset Manager Growth 1/ 3/95 0.000000 23.48% 23.48% 21.13% -
- - 21.20% 16.13% 16.13% 19.39% - - 19.45%
Fidelity Contrafund 1/ 3/95 0.000000 22.56% 22.56% 26.49% -
- - 26.57% 15.27% 15.27% 24.67% - - 24.74%
Fidelity Equity Income Fund 10/ 9/86 0.000000 26.48% 26.48% 23.93% 18.63%
15.23% 13.20% 18.96% 18.96% 22.15% 18.02% 15.23% 13.20%
Fidelity Index 500 8/27/92 0.000000 31.02% 31.02% 29.11% 18.39%
- - 18.33% 23.22% 23.22% 27.25% 17.78% - 17.95%
MFS Emerging Growth 7/24/95 0.000000 20.35% 20.35% - -
- - 21.94% 13.19% 13.19% - - - 19.79%
MFS High Income 7/26/95 0.000000 12.16% 12.16% - -
- - 11.20% 5.49% 5.49% - - - 9.23%
MFS Research 7/26/95 0.000000 18.73% 18.73% - -
- - 20.57% 11.66% 11.66% - - - 18.43%
MFS Value Series 8/14/96 0.000000 24.86% 24.86% - -
- - 22.99% 17.43% 17.43% - - - 18.41%
MFS World Government 6/14/94 0.000000 -2.41% -2.41% 4.21% -
- - 3.56% -8.21% -8.21% 2.71% - - 2.55%
Pioneer Capital Growth 3/ 1/95 0.000000 23.11% 23.11% - -
- - 18.56% 15.78% 15.78% - - - 16.76%
Pioneer Real Estate 3/ 1/95 0.000000 19.64% 19.64% - -
- - 24.30% 12.52% 12.52% - - - 22.41%
Scudder International 5/ 1/87 0.000000 7.67% 7.67% 10.20% 12.25%
10.36% 8.44% 1.26% 1.26% 8.62% 11.67% 10.36% 8.44%
Scudder Global Discovery 5/ 2/97 0.000000 - - - -
- - 15.49% - - - - - 8.62%
Scudder Growth & Income 5/ 1/97 0.000000 - - - -
- - 21.59% - - - - - 14.36%
T. Rowe Price Personal Strategy Bal12/30/94 0.000000 16.53% 16.53% 18.62% -
- - 18.60% 9.60% 9.60% 16.92% - - 16.90%
T. Rowe Price Equity Income Fund 3/31/94 0.000000 27.22% 27.22% 25.95% -
- - 22.17% 19.65% 19.65% 24.14% - - 21.05%
T. Rowe Price Internat. Stock Fund 3/31/94 0.000000 1.76% 1.76% 8.14% -
- - 6.69% -4.29% -4.29% 6.59% - - 5.71%
T. Rowe Price Limited Term Bond 5/13/94 0.000000 5.36% 5.36% 5.22% -
- - 4.78% -0.91% -0.91% 3.71% - - 3.79%
T. Rowe Price New American Growth 3/31/94 0.000000 19.58% 19.58% 28.37% -
- - 22.10% 12.46% 12.46% 26.52% - - 20.98%
Portfolio Returns 12/13/96
Aggressive - - - -
- - - - - - - - -
Moderate - - - -
- - - - - - - - -
Conservative - - - -
- - - - - - - - -
30 Day Yield as of 12/31/1997:
Federated Government Bond 0.00%
Federated Prime Money 0.00%
T. Rowe Price Limited Term Bond 0.00%
<PAGE>
ULTRANNUITY SERIES 5
PERFORMANCE DATA
As of 12/31/1997
Inception
Non-Standard Standard
Date Accum Unit Value Total
Return Total Return
YTD 1 Year 3 Year 5 Year 10 Year
Inception YTD 1 Year 3 Year 5 Year 10 Year Inception
Alger American Growth 1/ 9/89 0.000000 24.15% 24.15% 87.06% 126.48%
- - 338.66% 16.76% 16.76% 79.11% 120.70% - 338.66%
Alger American Small Capitalization 9/21/88 0.000000 9.96% 9.96% 61.14% 70.08%
- - 353.71% 3.42% 3.42% 54.29% 65.74% - 353.71%
Federated Government Bond 3/28/94 0.000000 7.18% 7.18% 18.38% -
- - 20.18% 0.81% 0.81% 13.35% - - 16.09%
Federated Prime Money 11/21/94 0.000000 3.58% 3.58% 11.18% -
- - 11.50% -2.58% -2.58% 6.46% - - 7.71%
Fidelity Asset Manager Growth 1/ 3/95 0.000000 23.48% 23.48% 77.74% -
- - 77.74% 16.13% 16.13% 70.18% - - 70.18%
Fidelity Contrafund 1/ 3/95 0.000000 22.56% 22.56% 102.37% -
- - 102.37% 15.27% 15.27% 93.77% - - 93.77%
Fidelity Equity Income Fund 10/ 9/86 0.000000 26.48% 26.48% 90.35% 134.95%
312.83% 302.36% 18.96% 18.96% 82.26% 128.96% 312.83% 302.36%
Fidelity Index 500 8/27/92 0.000000 31.02% 31.02% 115.22% 132.54%
- - 145.88% 23.22% 23.22% 106.07% 126.61% - 141.70%
MFS Emerging Growth 7/24/95 0.000000 20.35% 20.35% - -
- - 62.22% 13.19% 13.19% - - - 55.32%
MFS High Income 7/26/95 0.000000 12.16% 12.16% - -
- - 29.46% 5.49% 5.49% - - - 23.96%
MFS Research 7/26/95 0.000000 18.73% 18.73% - -
- - 57.62% 11.66% 11.66% - - - 50.92%
MFS Value Series 8/14/96 0.000000 24.86% 24.86% - -
- - 33.07% 17.43% 17.43% - - - 26.28%
MFS World Government 6/14/94 0.000000 -2.41% -2.41% 13.16% -
- - 13.20% -8.21% -8.21% 8.36% - - 9.35%
Pioneer Capital Growth 3/ 1/95 0.000000 23.11% 23.11% - -
- - 62.06% 15.78% 15.78% - - - 55.17%
Pioneer Real Estate 3/ 1/95 0.000000 19.64% 19.64% - -
- - 85.29% 12.52% 12.52% - - - 77.41%
Scudder International 5/ 1/87 0.000000 7.67% 7.67% 33.82% 78.23%
168.05% 137.43% 1.26% 1.26% 28.14% 73.68% 168.05% 137.43%
Scudder Global Discovery 5/ 2/97 0.000000 - - - -
- - 15.49% - - - - - 8.62%
Scudder Growth & Income 5/ 1/97 0.000000 - - - -
- - 21.59% - - - - - 14.36%
T. Rowe Price Personal Strategy Bal12/30/94 0.000000 16.53% 16.53% 66.91% -
- - 66.91% 9.60% 9.60% 59.81% - - 59.81%
T. Rowe Price Equity Income Fund 3/31/94 0.000000 27.22% 27.22% 99.82% -
- - 112.03% 19.65% 19.65% 91.33% - - 104.82%
T. Rowe Price Internat. Stock Fund 3/31/94 0.000000 1.76% 1.76% 26.47% -
- - 27.50% -4.29% -4.29% 21.09% - - 23.16%
T. Rowe Price Limited Term Bond 5/13/94 0.000000 5.36% 5.36% 16.49% -
- - 18.51% -0.91% -0.91% 11.54% - - 14.48%
T. Rowe Price New American Growth 3/31/94 0.000000 19.58% 19.58% 111.52% -
- - 111.56% 12.46% 12.46% 102.53% - - 104.37%
Portfolio Returns 12/13/96
Aggressive - - - -
- - - - - - - - -
Moderate - - - -
- - - - - - - - -
Conservative - - - -
- - - - - - - - -
30 Day Yield as of 12/31/1997:
Federated Government Bond 0.00%
Federated Prime Money 0.00%
T. Rowe Price Limited Term Bond 0.00%
<PAGE>
ULTRANNUITY SERIES 5
PERFORMANCE DATA
As of 12/31/1997
Inception Gross
Average Annual
Date Accum Unit Value Gross Total
Return Total Return
YTD 1 Year 3 Year 5 Year 10 Year
Inception YTD 1 Year 3 Year 5 Year 10 Year Inception
Alger American Growth 1/ 9/89 0.000000 25.75% 25.75% 94.37% 141.48%
- - 392.34% 25.75% 25.75% 24.80% 19.28% - 19.43%
Alger American Small Capitalization 9/21/88 0.000000 11.39% 11.39% 67.47% 81.41%
- - 411.47% 11.39% 11.39% 18.75% 12.65% - 19.24%
Federated Government Bond 3/28/94 0.000000 8.58% 8.58% 23.06% -
- - 26.15% 8.58% 8.58% 7.16% - - 6.37%
Federated Prime Money 11/21/94 0.000000 4.93% 4.93% 15.59% -
- - 16.17% 4.93% 4.93% 4.95% - - 4.94%
Fidelity Asset Manager Growth 1/ 3/95 0.000000 25.07% 25.07% 84.69% -
- - 84.69% 25.07% 25.07% 22.69% - - 22.76%
Fidelity Contrafund 1/ 3/95 0.000000 24.14% 24.14% 110.26% -
- - 110.26% 24.14% 24.14% 28.11% - - 28.20%
Fidelity Equity Income Fund 10/ 9/86 0.000000 28.11% 28.11% 97.78% 150.50%
369.43% 365.04% 28.11% 28.11% 25.52% 20.16% 16.72% 14.67%
Fidelity Index 500 8/27/92 0.000000 32.70% 32.70% 123.60% 147.93%
- - 163.56% 32.70% 32.70% 30.76% 19.91% - 19.88%
MFS Emerging Growth 7/24/95 0.000000 21.90% 21.90% - -
- - 67.49% 21.90% 21.90% - - - 23.56%
MFS High Income 7/26/95 0.000000 13.62% 13.62% - -
- - 33.70% 13.62% 13.62% - - - 12.68%
MFS Research 7/26/95 0.000000 20.26% 20.26% - -
- - 62.75% 20.26% 20.26% - - - 22.16%
MFS Value Series 8/14/96 0.000000 26.47% 26.47% - -
- - 35.50% 26.47% 26.47% - - - 24.61%
MFS World Government 6/14/94 0.000000 -1.13% -1.13% 17.65% -
- - 18.58% -1.13% -1.13% 5.57% - - 4.92%
Pioneer Capital Growth 3/ 1/95 0.000000 24.69% 24.69% - -
- - 68.05% 24.69% 24.69% - - - 20.09%
Pioneer Real Estate 3/ 1/95 0.000000 21.18% 21.18% - -
- - 92.11% 21.18% 21.18% - - - 25.89%
Scudder International 5/ 1/87 0.000000 9.07% 9.07% 39.10% 90.08%
204.94% 172.52% 9.07% 9.07% 11.63% 13.71% 11.79% 9.85%
Scudder Global Discovery 5/ 2/97 0.000000 - - - -
- - 16.47% - - - - - 16.47%
Scudder Growth & Income 5/ 1/97 0.000000 - - - -
- - 22.63% - - - - - 22.63%
T. Rowe Price Personal Strategy Bal12/30/94 0.000000 18.04% 18.04% 73.45% -
- - 73.45% 18.04% 18.04% 20.15% - - 20.13%
T. Rowe Price Equity Income Fund 3/31/94 0.000000 28.85% 28.85% 107.61% -
- - 122.44% 28.85% 28.85% 27.57% - - 23.74%
T. Rowe Price Internat. Stock Fund 3/31/94 0.000000 3.09% 3.09% 31.47% -
- - 33.83% 3.09% 3.09% 9.55% - - 8.07%
T. Rowe Price Limited Term Bond 5/13/94 0.000000 6.74% 6.74% 21.10% -
- - 24.27% 6.74% 6.74% 6.59% - - 6.16%
T. Rowe Price New American Growth 3/31/94 0.000000 21.12% 21.12% 119.76% -
- - 121.95% 21.12% 21.12% 30.01% - - 23.67%
Portfolio Returns 12/13/96
Aggressive - - - -
- - - - - - - - -
Moderate - - - -
- - - - - - - - -
Conservative - - - -
- - - - - - - - -
30 Day Yield as of 12/31/1997:
Federated Government Bond 0.00%
Federated Prime Money 0.00%
T. Rowe Price Limited Term Bond 0.00%
</TABLE>
Mutual of Omaha Companies
Mutual of Omaha Plaza, 3-Law
Omaha, Nebraska 68175-1008
April 16, 1998
Re: Depositor: UNITED OF OMAHA LIFE INSURANCE COMPANY
Registrant: UNITED OF OMAHA SEPARATE ACCOUNT C
Form: N-4
File No. 33-89848
811-8190
Commissioners:
On behalf of the Registrant and Depositor identified above, we are transmitting
for filing under Rule 485 (b) of the Securities Act of 1933 a copy of
Post-effective Amendment No. 4 to the Registration Statement under the
Investment Company Act of 1940.
The Amendment brings financial statements and other information up to date
pursuant to Section 10(a)(3) of the 1933 Act. As counsel who reviewed the
Amendment, I represent that the Amendment does not contain disclosures which
would render it ineligible to become effective pursuant to paragraph (b) or Rule
485.
If you have any questions or comments on the Amendment, please contact the
undersigned at (402) 351-5087.
If you have any questions or problems relating to the EDGAR transmission of this
Amendment, please contact Jean Norris at (402) 423-9583.
Sincerely,
/s/ Kenneth W. Reitz
Kenneth W. Reitz
First V.P. & Counsel
United of Omaha Life Insurance Company
<PAGE>
Mutual of Omaha Companies
Mutual of Omaha Plaza, 3-Law
Omaha, Nebraska 68175-1008
April 16, 1998
Re: Depositor: UNITED OF OMAHA LIFE INSURANCE COMPANY
Registrant: UNITED OF OMAHA SEPARATE ACCOUNT B
Form: S-6
File No. 333-18881
811-08336
Commissioners:
On behalf of the Registrant and Depositor identified above, we are transmitting
for filing under Rule 485 (b) of the Securities Act of 1933 a copy of
Post-effective Amendment No. 1 to the Registration Statement under the
Investment Company Act of 1940.
The Amendment brings financial statements and other information up to date
pursuant to Section 10(a)(3) of the 1933 Act. As counsel who reviewed the
Amendment, I represent that the Amendment does not contain disclosures which
would render it ineligible to become effective pursuant to paragraph (b) or Rule
485.
If you have any questions or comments on the Amendment, please contact the
undersigned at (402) 351-5087.
If you have any questions or problems relating to the EDGAR transmission of this
Amendment, please contact Jean Norris at (402) 423-9583.
Sincerely,
/s/ Kenneth W. Reitz
Kenneth W. Reitz
First V.P. & Counsel
United of Omaha Life Insurance Company
<PAGE>
Mutual of Omaha Companies
Mutual of Omaha Plaza, 3-Law
Omaha, Nebraska 68175-1008
April 16, 1998
Re: Depositor: UNITED OF OMAHA LIFE INSURANCE COMPANY
Registrant: UNITED OF OMAHA SEPARATE ACCOUNT B
Form: S-6
File No. 333-35587
811-08336
Commissioners:
On behalf of the Registrant and Depositor identified above, we are transmitting
for filing under Rule 485 (b) of the Securities Act of 1933 a copy of
Post-effective Amendment No. 1 to the Registration Statement under the
Investment Company Act of 1940.
The Amendment brings financial statements and other information up to date
pursuant to Section 10(a)(3) of the 1933 Act. As counsel who reviewed the
Amendment, I represent that the Amendment does not contain disclosures which
would render it ineligible to become effective pursuant to paragraph (b) or Rule
485.
If you have any questions or comments on the Amendment, please contact the
undersigned at (402) 351-5087.
If you have any questions or problems relating to the EDGAR transmission of this
Amendment, please contact Jean Norris at (402) 423-9583.
Sincerely,
/s/ Kenneth W. Reitz
Kenneth W. Reitz
First V.P. & Counsel
United of Omaha Life Insurance Company
<PAGE>
Mutual of Omaha Companies
Mutual of Omaha Plaza, 3-Law
Omaha, Nebraska 68175-1008
April 16, 1998
Re: Depositor: COMPANION LIFE INSURANCE COMPANY
Registrant: COMPANION LIFE SEPARATE ACCOUNT C
Form: N-4
File No. 33-98062
811-8814
Commissioners:
On behalf of the Registrant and Depositor identified above, we are transmitting
for filing under Rule 485 (b) of the Securities Act of 1933 a copy of
Post-effective Amendment No. 2 to the Registration Statement under the
Investment Company Act of 1940.
The Amendment brings financial statements and other information up to date
pursuant to Section 10(a)(3) of the 1933 Act. As counsel who reviewed the
Amendment, I represent that the Amendment does not contain disclosures which
would render it ineligible to become effective pursuant to paragraph (b) or Rule
485.
If you have any questions or comments on the Amendment, please contact the
undersigned at (402) 351-5087.
If you have any questions or problems relating to the EDGAR transmission of this
Amendment, please contact Jean Norris at (402) 423-9583.
Sincerely,
/s/ Kenneth W. Reitz
Kenneth W. Reitz
Assistant Secretary
Companion Life Insurance Company
