REGISTRATION STATEMENT UNDER THE SECURITIES ACT OF 1933
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[X] | |
Pre-Effective Amendment No.
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[ ]
|
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Post-Effective Amendment No.
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[ ]
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and/or
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Amendment No.
90
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[X]
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Approximate Date of Proposed Public Offering: As soon as practicable after the effective date of the registration statement.
Title of Securities Being Registered: The variable portion of Flexible Premium Fixed and Variable Deferred Annuity contracts.
The Registrant hereby agrees to amend this Registration Statement on such date or dates as may be necessary to delay its effective date until the Registrant shall file a further amendment which specifically states that this Registration Statement shall thereafter become effective in accordance with Section 8(a) of the Securities Act of 1933 or until the Registration Statement shall become effective on such date as the Commission, acting pursuant to said Section 8(a), may determine.
This registration statement relates to Registration Statement No. 333-137730
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1.
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Part A – Prospectus, as supplemented by this filing, and
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2.
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Part B – Statement of Additional Information, except Financial Statements.
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The Sage Variable Annuity Account A
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Reassure America Life Insurance Company
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Year ended December 31, 2011
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with Report of Independent Registered Public Accounting Firm
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The Sage Variable Annuity Account A
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||||||||
Reassure America Life Insurance Company
|
||||||||
December 31, 2011
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||||||||
Contents
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||||||||
Report of Independent Registered Public Accounting Firm
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2
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|||||||
Audited Financial Statements
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||||||||
Statements of Assets and Liabilities
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3-7
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|||||||
Statements of Operations
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8-10
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|||||||
Statements of Changes in Net Assets
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11-19
|
|||||||
Notes to Financial Statements
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20-30
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|||||||
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Invesco V.I. Government Series I
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Invesco V.I. Government Series II
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Invesco V.I. International Growth Series I
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Invesco V.I. International Growth Series II
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Invesco V.I. Money Market Fund
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Invesco V.I. Technology Fund
|
|||||||||||||||||||||
Assets:
|
|||||||||||||||||||||||||||
Investments, at fair value |
|
$ | 346,050 | $ | 549,441 | $ | 454,518 | $ | 731,338 | $ | 1,165,847 | $ | 792,823 | ||||||||||||||
Total Assets
|
346,050 | 549,441 | 454,518 | 731,338 | 1,165,847 | 792,823 | |||||||||||||||||||||
Liabilities
|
- | - | - | - | - | - | |||||||||||||||||||||
Total Liabilities
|
- | - | - | - | - | - | |||||||||||||||||||||
Net Assets
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$ | 346,050 | $ | 549,441 | $ | 454,518 | $ | 731,338 | $ | 1,165,847 | $ | 792,823 | |||||||||||||||
Asset 1**, Asset 2**
|
|||||||||||||||||||||||||||
Units outstanding*
|
4,062 | - | 8,732 | - | 16,633 | - | |||||||||||||||||||||
Unit value
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$ | 18.92 | $ | - | $ | 17.90 | $ | - | $ | 11.56 | $ | - | |||||||||||||||
Asset 1***, Asset 2***
|
|||||||||||||||||||||||||||
Units outstanding*
|
22,486 | - | 34,943 | - | 33,817 | 459 | |||||||||||||||||||||
Unit value
|
$ | 11.97 | $ | - | $ | 8.53 | $ | - | $ | 9.68 | $ | 10.08 | |||||||||||||||
Choice, Plus ***, Freedom, Select
|
|||||||||||||||||||||||||||
Units outstanding*
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- | 40,442 | - | 42,642 | 63,177 | 126,874 | |||||||||||||||||||||
Unit value
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$ | - | $ | 13.59 | $ | - | $ | 17.15 | $ | 10.23 | $ | 6.21 | |||||||||||||||
Supplemental information:
|
|||||||||||||||||||||||||||
Investments, at cost |
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$ | 341,380 | $ | 544,392 | $ | 360,459 | $ | 659,543 | $ | 1,165,847 | $ | 689,257 | ||||||||||||||
Shares held |
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27,706 | 44,346 | 17,236 | 28,042 | 1,165,847 | 52,297 |
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Invesco Van Kampen V.I. Capital Growth Fund
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Invesco Van Kampen V.I. Comstock Fund
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Invesco Van Kampen V.I. Global Value Equity Fund
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Invesco Van Kampen V.I. Growth and Income Fund
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Invesco Van Kampen V.I. Mid Cap Value Fund
|
MFS/VIT Core Equity Series
|
|||||||||||||||||||||
Assets:
|
|||||||||||||||||||||||||||
Investments, at fair value |
|
$ | 33,082 | $ | 198,302 | $ | 103,496 | $ | 211,476 | $ | 454,043 | $ | 110,870 | ||||||||||||||
Total Assets
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33,082 | 198,302 | 103,496 | 211,476 | 454,043 | 110,870 | |||||||||||||||||||||
Liabilities
|
- | - | - | - | - | - | |||||||||||||||||||||
Total Liabilities
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- | - | - | - | - | - | |||||||||||||||||||||
Net Assets
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$ | 33,082 | $ | 198,302 | $ | 103,496 | $ | 211,476 | $ | 454,043 | $ | 110,870 | |||||||||||||||
Asset 1**, Asset 2**
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|||||||||||||||||||||||||||
Units outstanding*
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- | 448 | 518 | - | 1,502 | 5,431 | |||||||||||||||||||||
Unit value
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$ | - | $ | 8.98 | $ | 12.86 | $ | - | $ | 23.21 | $ | 10.09 | |||||||||||||||
Asset 1***, Asset 2***
|
|||||||||||||||||||||||||||
Units outstanding*
|
- | 2,890 | 2,271 | - | 9,036 | 1,667 | |||||||||||||||||||||
Unit value
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$ | - | $ | 8.91 | $ | 6.99 | $ | - | $ | 10.06 | $ | 9.26 | |||||||||||||||
Choice, Plus ***, Freedom, Select
|
|||||||||||||||||||||||||||
Units outstanding*
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3,220 | 18,932 | 7,375 | 15,308 | 16,148 | 4,626 | |||||||||||||||||||||
Unit value
|
$ | 10.28 | $ | 8.90 | $ | 10.98 | $ | 13.81 | $ | 20.32 | $ | 8.79 | |||||||||||||||
Supplemental information:
|
|||||||||||||||||||||||||||
Investments, at cost |
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$ | 27,414 | $ | 220,912 | $ | 104,905 | $ | 196,050 | $ | 332,083 | $ | 90,744 | ||||||||||||||
Shares held |
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1,055 | 17,518 | 15,220 | 11,921 | 35,472 | 7,232 | ||||||||||||||||||||
* |
Units outstanding rounded to nearest whole unit.
|
||||||||||||||||||||||||||
** |
For contracts purchased prior to May 1, 2001, Asset-Based charges are deductible on a monthly basis.
|
||||||||||||||||||||||||||
*** |
For contracts purchased on or after May 1, 2001, Asset-Based charges are deductible daily as a percentage of the assets of the Variable Account. Years 8+
|
||||||||||||||||||||||||||
See accompanying Notes to Financial Statements.
|
|
MFS/VIT High Income Series
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MFS/VIT High Income Series Service Class
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MFS/VIT Investors Trust Series
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MFS/VIT Research Series
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MFS/VIT Total Return Series
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MFS/VIT Utilities Series
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|||||||||||||||||||||
Assets:
|
|||||||||||||||||||||||||||
Investments, at fair value |
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$ | 327,413 | $ | 90,381 | $ | 360,784 | $ | 134,268 | $ | 930,006 | $ | 90,942 | ||||||||||||||
Total Assets
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327,413 | 90,381 | 360,784 | 134,268 | 930,006 | 90,942 | |||||||||||||||||||||
Liabilities
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- | - | - | - | - | - | |||||||||||||||||||||
Total Liabilities
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- | - | - | - | - | - | |||||||||||||||||||||
Net Assets
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$ | 327,413 | $ | 90,381 | $ | 360,784 | $ | 134,268 | $ | 930,006 | $ | 90,942 | |||||||||||||||
Asset 1**, Asset 2**
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|||||||||||||||||||||||||||
Units outstanding*
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530 | - | 1,940 | 3,637 | 1,688 | - | |||||||||||||||||||||
Unit value
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$ | 18.21 | $ | - | $ | 11.67 | $ | 11.59 | $ | 17.32 | $ | - | |||||||||||||||
Asset 1***, Asset 2***
|
|||||||||||||||||||||||||||
Units outstanding*
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9,649 | - | 16,502 | 6,072 | 54,321 | - | |||||||||||||||||||||
Unit value
|
$ | 11.76 | $ | - | $ | 8.92 | $ | 9.42 | $ | 10.05 | $ | - | |||||||||||||||
Choice, Plus ***, Freedom, Select
|
|||||||||||||||||||||||||||
Units outstanding*
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12,992 | 5,758 | 19,071 | 3,505 | 23,844 | 3,735 | |||||||||||||||||||||
Unit value
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$ | 15.72 | $ | 15.70 | $ | 10.01 | $ | 9.96 | $ | 14.87 | $ | 24.35 | |||||||||||||||
Supplemental information:
|
|||||||||||||||||||||||||||
Investments, at cost |
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$ | 312,012 | $ | 91,424 | $ | 306,048 | $ | 116,147 | $ | 837,949 | $ | 81,211 | ||||||||||||||
Shares held |
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39,495 | 10,955 | 18,588 | 7,150 | 50,189 | 3,535 |
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Morgan Stanley UIF US Real Estate
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Oppenheimer Capital Appreciation Fund VA
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Oppenheimer Core Bond Fund VA
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Oppenheimer Core Bond Fund VA Class 2
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Oppenheimer Global Securities VA Class 2
|
Oppenheimer Main St Small & Mid-Cap Fund VA
|
|||||||||||||||||||||
Assets:
|
|||||||||||||||||||||||||||
Investments, at fair value |
|
$ | 297,620 | $ | 575,182 | $ | 724,327 | $ | 409,173 | $ | 26,063 | $ | 320,677 | ||||||||||||||
Total Assets
|
297,620 | 575,182 | 724,327 | 409,173 | 26,063 | 320,677 | |||||||||||||||||||||
Liabilities
|
- | - | - | - | - | - | |||||||||||||||||||||
Total Liabilities
|
- | - | - | - | - | - | |||||||||||||||||||||
Net Assets
|
$ | 297,620 | $ | 575,182 | $ | 724,327 | $ | 409,173 | $ | 26,063 | $ | 320,677 | |||||||||||||||
Asset 1**, Asset 2**
|
|||||||||||||||||||||||||||
Units outstanding*
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- | 4,408 | 5,293 | - | - | 1,308 | |||||||||||||||||||||
Unit value
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$ | - | $ | 13.59 | $ | 12.59 | $ | - | $ | - | $ | 24.21 | |||||||||||||||
Asset 1***, Asset 2***
|
|||||||||||||||||||||||||||
Units outstanding*
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- | 21,729 | 26,999 | - | - | 13,545 | |||||||||||||||||||||
Unit value
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$ | - | $ | 8.27 | $ | 7.66 | $ | - | $ | - | $ | 9.98 | |||||||||||||||
Choice, Plus ***, Freedom, Select
|
|||||||||||||||||||||||||||
Units outstanding*
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13,571 | 28,236 | 41,737 | 43,111 | 1,845 | 7,179 | |||||||||||||||||||||
Unit value
|
$ | 21.92 | $ | 11.88 | $ | 10.80 | $ | 9.49 | $ | 14.13 | $ | 21.43 | |||||||||||||||
Supplemental information:
|
|||||||||||||||||||||||||||
Investments, at cost |
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$ | 223,372 | $ | 479,054 | $ | 663,195 | $ | 387,250 | $ | 24,079 | $ | 224,916 | ||||||||||||||
Shares held |
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21,932 | 14,470 | 91,920 | 52,525 | 958 | 18,677 | ||||||||||||||||||||
* |
Units outstanding rounded to nearest whole unit.
|
||||||||||||||||||||||||||
** |
For contracts purchased prior to May 1, 2001, Asset-Based charges are deductible on a monthly basis.
|
||||||||||||||||||||||||||
*** |
For contracts purchased on or after May 1, 2001, Asset-Based charges are deductible daily as a percentage of the assets of the Variable Account. Years 8+
|
||||||||||||||||||||||||||
See accompanying Notes to Financial Statements.
|
Rydex VT Basic Materials
|
Rydex VT Consumer Products
|
Rydex VT Energy
|
Rydex VT Energy Services
|
Rydex VT Health Care
|
Rydex VT Leisure
|
||||||||||||||||||||||
Assets:
|
|||||||||||||||||||||||||||
Investments, at fair value |
|
$ | 4,918 | $ | 213,160 | $ | 304,902 | $ | 4,541 | $ | 454,456 | $ | 26,686 | ||||||||||||||
Total Assets
|
4,918 | 213,160 | 304,902 | 4,541 | 454,456 | 26,686 | |||||||||||||||||||||
Liabilities
|
- | - | - | - | - | - | |||||||||||||||||||||
Total Liabilities
|
- | - | - | - | - | - | |||||||||||||||||||||
Net Assets
|
$ | 4,918 | $ | 213,160 | $ | 304,902 | $ | 4,541 | $ | 454,456 | $ | 26,686 | |||||||||||||||
Asset 1**, Asset 2**
|
|||||||||||||||||||||||||||
Units outstanding*
|
- | - | - | - | - | - | |||||||||||||||||||||
Unit value
|
$ | - | $ | - | $ | - | $ | - | $ | - | $ | - | |||||||||||||||
Asset 1***, Asset 2***
|
|||||||||||||||||||||||||||
Units outstanding*
|
- | - | - | - | - | - | |||||||||||||||||||||
Unit value
|
$ | - | $ | - | $ | - | $ | - | $ | - | $ | - | |||||||||||||||
Choice, Plus ***, Freedom, Select
|
|||||||||||||||||||||||||||
Units outstanding*
|
289 | 12,753 | 15,247 | 256 | 35,969 | 2,247 | |||||||||||||||||||||
Unit value
|
$ | 17.04 | $ | 16.71 | $ | 19.99 | $ | 17.74 | $ | 12.63 | $ | 11.88 | |||||||||||||||
Supplemental information:
|
|||||||||||||||||||||||||||
Investments, at cost |
|
$ | 4,817 | $ | 166,520 | $ | 288,697 | $ | 4,665 | $ | 394,786 | $ | 21,925 | ||||||||||||||
Shares held |
|
190 | 5,097 | 10,428 | 204 | 15,416 | 480 |
Rydex VT Precious Metal
|
Rydex VT Retailing
|
Rydex VT Telecommunications
|
Rydex VT Transportation
|
T. Rowe Price Equity Income Portfolio
|
T. Rowe Price Mid-Cap Growth Portfolio
|
||||||||||||||||||||||
Assets:
|
|||||||||||||||||||||||||||
Investments, at fair value |
|
$ | 82,869 | $ | 464,354 | $ | 61,730 | $ | 228,153 | $ | 93,064 | $ | 293,945 | ||||||||||||||
Total Assets
|
82,869 | 464,354 | 61,730 | 228,153 | 93,064 | 293,945 | |||||||||||||||||||||
Liabilities
|
- | - | - | - | - | - | |||||||||||||||||||||
Total Liabilities
|
- | - | - | - | - | - | |||||||||||||||||||||
Net Assets
|
$ | 82,869 | $ | 464,354 | $ | 61,730 | $ | 228,153 | $ | 93,064 | $ | 293,945 | |||||||||||||||
Asset 1**, Asset 2**
|
|||||||||||||||||||||||||||
Units outstanding*
|
- | - | - | - | 319 | 2,687 | |||||||||||||||||||||
Unit value
|
$ | - | $ | - | $ | - | $ | - | $ | 17.42 | $ | 27.58 | |||||||||||||||
Asset 1***, Asset 2***
|
|||||||||||||||||||||||||||
Units outstanding*
|
- | - | - | - | 9,587 | 20,565 | |||||||||||||||||||||
Unit value
|
$ | - | $ | - | $ | - | $ | - | $ | 9.13 | $ | 10.69 | |||||||||||||||
Choice, Plus ***, Freedom, Select
|
|||||||||||||||||||||||||||
Units outstanding*
|
4,311 | 36,651 | 6,248 | 20,033 | - | - | |||||||||||||||||||||
Unit value
|
$ | 19.23 | $ | 12.67 | $ | 9.88 | $ | 11.39 | $ | - | $ | - | |||||||||||||||
Supplemental information:
|
|||||||||||||||||||||||||||
Investments, at cost |
|
$ | 88,726 | $ | 372,755 | $ | 68,228 | $ | 196,702 | $ | 78,234 | $ | 260,223 | ||||||||||||||
Shares held |
|
5,743 | 32,450 | 6,859 | 16,308 | 4,792 | 13,820 | ||||||||||||||||||||
* |
Units outstanding rounded to nearest whole unit.
|
||||||||||||||||||||||||||
** |
For contracts purchased prior to May 1, 2001, Asset-Based charges are deductible on a monthly basis.
|
||||||||||||||||||||||||||
*** |
For contracts purchased on or after May 1, 2001, Asset-Based charges are deductible daily as a percentage of the assets of the Variable Account. Years 8+
|
||||||||||||||||||||||||||
See accompanying Notes to Financial Statements.
|
|
T. Rowe Price Personal Strategy Bal Portfolio
|
||||||||||||||||||||||||||
Assets:
|
|||||||||||||||||||||||||||
Investments, at fair value |
|
$ | 12,791 | ||||||||||||||||||||||||
Total Assets
|
12,791 | ||||||||||||||||||||||||||
Liabilities
|
- | ||||||||||||||||||||||||||
Total Liabilities
|
- | ||||||||||||||||||||||||||
Net Assets
|
$ | 12,791 | |||||||||||||||||||||||||
Asset 1**, Asset 2**
|
|||||||||||||||||||||||||||
Units outstanding*
|
438 | ||||||||||||||||||||||||||
Unit value
|
$ | 18.40 | |||||||||||||||||||||||||
Asset 1***, Asset 2***
|
|||||||||||||||||||||||||||
Units outstanding*
|
462 | ||||||||||||||||||||||||||
Unit value
|
$ | 10.25 | |||||||||||||||||||||||||
Choice, Plus ***, Freedom, Select
|
|||||||||||||||||||||||||||
Units outstanding*
|
- | ||||||||||||||||||||||||||
Unit value
|
$ | - | |||||||||||||||||||||||||
Supplemental information:
|
|||||||||||||||||||||||||||
Investments, at cost |
|
$ | 12,270 | ||||||||||||||||||||||||
Shares held |
|
719 | |||||||||||||||||||||||||
* |
Units outstanding rounded to nearest whole unit.
|
||||||||||||||||||||||||||
** |
For contracts purchased prior to May 1, 2001, Asset-Based charges are deductible on a monthly basis.
|
||||||||||||||||||||||||||
*** |
For contracts purchased on or after May 1, 2001, Asset-Based charges are deductible daily as a percentage of the assets of the Variable Account. Years 8+
|
||||||||||||||||||||||||||
See accompanying Notes to Financial Statements.
|
Alger Growth and Income Portfolio
|
Alger Mid Cap Growth Portfolio
|
Alger Small Cap Growth Portfolio
|
Columbia Diversified Equity Income Fund
|
Columbia International Opportunity Fund
|
Columbia Large Cap Growth Fund
|
|||||||||||||||||||
Investment income:
|
||||||||||||||||||||||||
Dividend income
|
$ | 4,155 | $ | 1,865 | $ | - | $ | 479 | $ | - | $ | 30 | ||||||||||||
Total Investment Income
|
4,155 | 1,865 | - | 479 | - | 30 | ||||||||||||||||||
Expenses:
|
||||||||||||||||||||||||
Mortality, expense risk and administrative charges
|
3,609 | 8,382 | 8,187 | 307 | - | 83 | ||||||||||||||||||
Total Expenses
|
3,609 | 8,382 | 8,187 | 307 | - | 83 | ||||||||||||||||||
Net investment income (loss)
|
$ | 546 | $ | (6,517 | ) | $ | (8,187 | ) | $ | 172 | $ | - | $ | (53 | ) | |||||||||
Realized and unrealized gains (losses) on investments:
|
||||||||||||||||||||||||
Net realized gains (losses)
|
$ | 27,190 | $ | 70,761 | $ | 67,741 | $ | (912 | ) | $ | (774 | ) | $ | 2,020 | ||||||||||
Realized gain distributions
|
- | - | - | - | - | - | ||||||||||||||||||
Net unrealized gains (losses)
|
(11,931 | ) | (104,548 | ) | (71,225 | ) | (1,376 | ) | 807 | (2,231 | ) | |||||||||||||
Net realized and unrealized investment gains (losses)
|
15,259 | (33,787 | ) | (3,484 | ) | (2,288 | ) | 33 | (211 | ) | ||||||||||||||
Net increase (decrease) in net assets resulting from operations
|
$ | 15,805 | $ | (40,304 | ) | $ | (11,671 | ) | $ | (2,116 | ) | $ | 33 | $ | (264 | ) |
Columbia Small Cap Value Fund VS Class A
|
Invesco V.I. Capital Appreciation Fund
|
Invesco V.I. Core Equity Series I
|
Invesco V.I. Core Equity Series II
|
Invesco V.I. Dividend Growth Series I
|
Invesco V.I. Global Health Care
|
|||||||||||||||||||
Investment income:
|
||||||||||||||||||||||||
Dividend income
|
$ | 426 | $ | 80 | $ | 12,013 | $ | 3,309 | $ | 1,283 | $ | - | ||||||||||||
Total Investment Income
|
426 | 80 | 12,013 | 3,309 | 1,283 | - | ||||||||||||||||||
Expenses:
|
||||||||||||||||||||||||
Mortality, expense risk and administrative charges
|
537 | 1,088 | 18,734 | 7,791 | 10,111 | 2,534 | ||||||||||||||||||
Total Expenses
|
537 | 1,088 | 18,734 | 7,791 | 10,111 | 2,534 | ||||||||||||||||||
Net investment income (loss)
|
$ | (111 | ) | $ | (1,008 | ) | $ | (6,721 | ) | $ | (4,482 | ) | $ | (8,828 | ) | $ | (2,534 | ) | ||||||
Realized and unrealized gains (losses) on investments:
|
||||||||||||||||||||||||
Net realized gains (losses)
|
$ | 157 | $ | 26,489 | $ | 54,175 | $ | 82,639 | $ | 143,085 | $ | 32,967 | ||||||||||||
Realized gain distributions
|
4,671 | - | - | - | - | - | ||||||||||||||||||
Net unrealized gains (losses)
|
(7,890 | ) | (26,120 | ) | (55,267 | ) | (76,449 | ) | (155,343 | ) | (30,065 | ) | ||||||||||||
Net realized and unrealized investment gains (losses)
|
(3,062 | ) | 369 | (1,092 | ) | 6,190 | (12,258 | ) | 2,902 | |||||||||||||||
Net increase (decrease) in net assets resulting from operations
|
$ | (3,173 | ) | $ | (639 | ) | $ | (7,813 | ) | $ | 1,708 | $ | (21,086 | ) | $ | 368 | ||||||||
|
Invesco Van Kampen V.I. Capital Growth Fund
|
Invesco Van Kampen V.I. Comstock Fund
|
Invesco Van Kampen V.I. Global Value Equity Fund
|
Invesco Van Kampen V.I. Growth and Income Fund
|
Invesco Van Kampen V.I. Mid Cap Value Fund
|
MFS/VIT Core Equity Series
|
||||||||||||||||||
Investment income:
|
||||||||||||||||||||||||
Dividend income
|
$ | - | $ | 5,982 | $ | 4,376 | $ | 2,420 | $ | 3,201 | $ | 1,942 | ||||||||||||
Total Investment Income
|
- | 5,982 | 4,376 | 2,420 | 3,201 | 1,942 | ||||||||||||||||||
Expenses:
|
||||||||||||||||||||||||
Mortality, expense risk and administrative charges
|
576 | 4,158 | 1,907 | 5,577 | 7,041 | 2,832 | ||||||||||||||||||
Total Expenses
|
576 | 4,158 | 1,907 | 5,577 | 7,041 | 2,832 | ||||||||||||||||||
Net investment income (loss)
|
$ | (576 | ) | $ | 1,824 | $ | 2,469 | $ | (3,157 | ) | $ | (3,840 | ) | $ | (890 | ) | ||||||||
Realized and unrealized gains (losses) on investments:
|
||||||||||||||||||||||||
Net realized gains (losses)
|
$ | 2,872 | $ | 107,605 | $ | 668 | $ | 71,746 | $ | 57,071 | $ | 32,973 | ||||||||||||
Realized gain distributions
|
- | - | - | - | - | - | ||||||||||||||||||
Net unrealized gains (losses)
|
(4,870 | ) | (109,068 | ) | (19,708 | ) | (91,689 | ) | (49,885 | ) | (47,517 | ) | ||||||||||||
Net realized and unrealized investment gains (losses)
|
(1,998 | ) | (1,463 | ) | (19,040 | ) | (19,943 | ) | 7,186 | (14,544 | ) | |||||||||||||
Net increase (decrease) in net assets resulting from operations
|
$ | (2,574 | ) | $ | 361 | $ | (16,571 | ) | $ | (23,100 | ) | $ | 3,346 | $ | (15,434 | ) | ||||||||
|
MFS/VIT High Income Series
|
MFS/VIT High Income Series Service Class
|
MFS/VIT Investors Trust Series
|
MFS/VIT Research Series
|
MFS/VIT Total Return Series
|
MFS/VIT Utilities Series
|
||||||||||||||||||
Investment income:
|
||||||||||||||||||||||||
Dividend income
|
$ | 35,332 | $ | 8,646 | $ | 3,593 | $ | 1,367 | $ | 27,065 | $ | 2,896 | ||||||||||||
Total Investment Income
|
35,332 | 8,646 | 3,593 | 1,367 | 27,065 | 2,896 | ||||||||||||||||||
Expenses:
|
||||||||||||||||||||||||
Mortality, expense risk and administrative charges
|
5,750 | 1,690 | 5,926 | 2,174 | 14,879 | 1,597 | ||||||||||||||||||
Total Expenses
|
5,750 | 1,690 | 5,926 | 2,174 | 14,879 | 1,597 | ||||||||||||||||||
Net investment income (loss)
|
$ | 29,582 | $ | 6,956 | $ | (2,333 | ) | $ | (807 | ) | $ | 12,186 | $ | 1,299 | ||||||||||
Realized and unrealized gains (losses) on investments:
|
||||||||||||||||||||||||
Net realized gains (losses)
|
$ | 8,509 | $ | 4,827 | $ | 26,247 | $ | 21,377 | $ | 29,274 | $ | 4,725 | ||||||||||||
Realized gain distributions
|
- | - | - | - | - | - | ||||||||||||||||||
Net unrealized gains (losses)
|
(27,314 | ) | (9,033 | ) | (33,850 | ) | (24,192 | ) | (37,355 | ) | (1,100 | ) | ||||||||||||
Net realized and unrealized investment gains (losses)
|
(18,805 | ) | (4,206 | ) | (7,603 | ) | (2,815 | ) | (8,081 | ) | 3,625 | |||||||||||||
Net increase (decrease) in net assets resulting from operations
|
$ | 10,777 | $ | 2,750 | $ | (9,936 | ) | $ | (3,622 | ) | $ | 4,105 | $ | 4,924 | ||||||||||
Rydex VT Basic Materials
|
Rydex VT Consumer Products
|
Rydex VT Energy
|
Rydex VT Energy Services
|
Rydex VT Health Care
|
Rydex VT Leisure
|
|||||||||||||||||||
Investment income:
|
||||||||||||||||||||||||
Dividend income
|
$ | - | $ | 3,253 | $ | - | $ | - | $ | - | $ | - | ||||||||||||
Total Investment Income
|
- | 3,253 | - | - | - | - | ||||||||||||||||||
Expenses:
|
||||||||||||||||||||||||
Mortality, expense risk and administrative charges
|
92 | 3,643 | 5,001 | 85 | 7,917 | 447 | ||||||||||||||||||
Total Expenses
|
92 | 3,643 | 5,001 | 85 | 7,917 | 447 | ||||||||||||||||||
Net investment income (loss)
|
$ | (92 | ) | $ | (390 | ) | $ | (5,001 | ) | $ | (85 | ) | $ | (7,917 | ) | $ | (447 | ) | ||||||
Realized and unrealized gains (losses) on investments:
|
||||||||||||||||||||||||
Net realized gains (losses)
|
$ | 36 | $ | 19,510 | $ | 24,508 | $ | 15 | $ | 23,227 | $ | 2,873 | ||||||||||||
Realized gain distributions
|
811 | - | 1,928 | 545 | - | - | ||||||||||||||||||
Net unrealized gains (losses)
|
(1,776 | ) | 8,257 | (30,144 | ) | (1,032 | ) | 6,744 | (1,586 | ) | ||||||||||||||
Net realized and unrealized investment gains (losses)
|
(929 | ) | 27,767 | (3,708 | ) | (472 | ) | 29,971 | 1,287 | |||||||||||||||
Net increase (decrease) in net assets resulting from operations
|
$ | (1,021 | ) | $ | 27,377 | $ | (8,709 | ) | $ | (557 | ) | $ | 22,054 | $ | 840 | |||||||||
Rydex VT Precious Metal
|
Rydex VT Retailing
|
Rydex VT Telecommunications
|
Rydex VT Transportation
|
T. Rowe Price Equity Income Portfolio
|
T. Rowe Price Mid-Cap Growth Portfolio
|
|||||||||||||||||||
Investment income:
|
||||||||||||||||||||||||
Dividend income
|
$ | 74 | $ | - | $ | 792 | $ | - | $ | 1,807 | $ | - | ||||||||||||
Total Investment Income
|
74 | - | 792 | - | 1,807 | - | ||||||||||||||||||
Expenses:
|
||||||||||||||||||||||||
Mortality, expense risk and administrative charges
|
1,605 | 8,032 | 1,027 | 3,590 | 1,508 | 3,906 | ||||||||||||||||||
Total Expenses
|
1,605 | 8,032 | 1,027 | 3,590 | 1,508 | 3,906 | ||||||||||||||||||
Net investment income (loss)
|
$ | (1,531 | ) | $ | (8,032 | ) | $ | (235 | ) | $ | (3,590 | ) | $ | 299 | $ | (3,906 | ) | |||||||
Realized and unrealized gains (losses) on investments:
|
||||||||||||||||||||||||
Net realized gains (losses)
|
$ | 3,971 | $ | 41,432 | $ | 1,848 | $ | 10,593 | $ | 753 | $ | 4,962 | ||||||||||||
Realized gain distributions
|
- | - | 2,249 | - | - | 35,021 | ||||||||||||||||||
Net unrealized gains (losses)
|
(30,815 | ) | (14,651 | ) | (14,970 | ) | (33,518 | ) | (2,025 | ) | (42,045 | ) | ||||||||||||
Net realized and unrealized investment gains (losses)
|
(26,844 | ) | 26,781 | (10,873 | ) | (22,925 | ) | (1,272 | ) | (2,062 | ) | |||||||||||||
Net increase (decrease) in net assets resulting from operations
|
$ | (28,375 | ) | $ | 18,749 | $ | (11,108 | ) | $ | (26,515 | ) | $ | (973 | ) | $ | (5,968 | ) | |||||||
For the year ended December 31, 2011
|
Alger Growth and Income Portfolio
|
Alger Mid Cap Growth Portfolio
|
Alger Small Cap Growth Portfolio
|
Columbia Diversified Equity Income Fund
|
Columbia International Opportunity Fund
|
Columbia Large Cap Growth Fund
|
|||||||||||||||||||||
Increase (decrease) in net assets from operations:
|
|||||||||||||||||||||||||||
Net investment income (loss)
|
$ | 546 | $ | (6,517 | ) | $ | (8,187 | ) | $ | 172 | $ | - | $ | (53 | ) | ||||||||||||
Realized gains (losses)
|
27,190 | 70,761 | 67,741 | (912 | ) | (774 | ) | 2,020 | |||||||||||||||||||
Realized gain distributions
|
- | - | - | - | - | - | |||||||||||||||||||||
Unrealized gains (losses)
|
(11,931 | ) | (104,548 | ) | (71,225 | ) | (1,376 | ) | 807 | (2,231 | ) | ||||||||||||||||
Net increase (decrease) in net assets resulting from operations
|
$ | 15,805 | $ | (40,304 | ) | $ | (11,671 | ) | $ | (2,116 | ) | $ | 33 | $ | (264 | ) | |||||||||||
Increase (decrease) in net assets from contract transactions:
|
|||||||||||||||||||||||||||
Net premiums/deposits
|
$ | - | $ | - | $ | - | $ | - | $ | - | $ | - | |||||||||||||||
Death Benefits
|
- | - | - | - | - | - | |||||||||||||||||||||
Surrenders
|
(52,677 | ) | (85,299 | ) | (72,166 | ) | - | (2,114 | ) | (775 | ) | ||||||||||||||||
Withdrawals
|
(22,033 | ) | (24,176 | ) | (24,266 | ) | - | - | - | ||||||||||||||||||
Net transfers in (out) of sub-accounts / fixed accounts - Note 1
|
(32,508 | ) | (71,012 | ) | (12,538 | ) | - | - | - | ||||||||||||||||||
Annual contract fees
|
- | - | - | - | - | - | |||||||||||||||||||||
Net increase (decrease) in net assets resulting from contract transactions
|
$ | (107,218 | ) | $ | (180,487 | ) | $ | (108,970 | ) | $ | - | $ | (2,114 | ) | $ | (775 | ) | ||||||||||
Total increase (decrease) in net assets
|
(91,413 | ) | (220,791 | ) | (120,641 | ) | (2,116 | ) | (2,081 | ) | (1,039 | ) | |||||||||||||||
Net assets at beginning of period
|
301,802 | 684,165 | 633,807 | 25,427 | 2,081 | 7,345 | |||||||||||||||||||||
Net assets at end of period
|
$ | 210,389 | $ | 463,374 | $ | 513,166 | $ | 23,311 | $ | - | $ | 6,306 | |||||||||||||||
For the year ended December 31, 2010
|
|||||||||||||||||||||||||||
Increase (decrease) in net assets from operations:
|
|||||||||||||||||||||||||||
Net investment income (loss)
|
$ | (95 | ) | $ | (9,421 | ) | $ | (10,278 | ) | $ | 65 | $ | 51 | $ | (61 | ) | ) | ||||||||||
Realized gains (losses)
|
7,192 | (39,906 | ) | 94,673 | (117 | ) | (12 | ) | (244 | ) | |||||||||||||||||
Realized gain distributions
|
- | - | - | - | - | - | |||||||||||||||||||||
Unrealized gains (losses)
|
24,120 | 157,490 | 63,144 | 3,090 | 107 | 1,537 | |||||||||||||||||||||
Net increase (decrease) in net assets resulting from operations
|
$ | 31,217 | $ | 108,163 | $ | 147,539 | $ | 3,038 | $ | 146 | $ | 1,232 | |||||||||||||||
Increase (decrease) in net assets from contract transactions:
|
|||||||||||||||||||||||||||
Net premiums/deposits
|
$ | - | $ | - | $ | - | $ | - | $ | - | $ | - | |||||||||||||||
Death Benefits
|
- | - | - | - | - | - | |||||||||||||||||||||
Surrenders
|
(30,581 | ) | (61,145 | ) | (124,314 | ) | - | - | (5,679 | ) | ) | ||||||||||||||||
Withdrawals
|
(10,857 | ) | (22,687 | ) | (32,514 | ) | - | - | - | ) | |||||||||||||||||
Net transfers in (out) of sub-accounts / fixed accounts - Note 1
|
80 | (15,341 | ) | (133,278 | ) | - | - | - | ) | ||||||||||||||||||
Annual contract fees
|
- | - | (4 | ) | - | - | - | ) | |||||||||||||||||||
Net increase (decrease) in net assets resulting from contract transactions
|
$ | (41,358 | ) | $ | (99,173 | ) | $ | (290,110 | ) | $ | - | $ | - | $ | (5,679 | ) | ) | ||||||||||
Total increase (decrease) in net assets
|
(10,141 | ) | 8,990 | (142,571 | ) | 3,038 | 146 | (4,447 | ) | ) | |||||||||||||||||
Net assets at beginning of period
|
311,943 | 675,175 | 776,378 | 22,389 | 1,935 | 11,792 | |||||||||||||||||||||
Net assets at end of period
|
$ | 301,802 | $ | 684,165 | $ | 633,807 | $ | 25,427 | $ | 2,081 | $ | 7,345 | |||||||||||||||
See accompanying Notes to Financial Statements.
|
For the year ended December 31, 2011
|
Columbia Small Cap Value Fund VS Class A
|
Invesco V.I. Capital Appreciation Fund
|
Invesco V.I. Core Equity Series I
|
Invesco V.I. Core Equity Series II
|
Invesco V.I. Dividend Growth Series I
|
Invesco V.I. Global Health Care
|
|||||||||||||||||||||
Increase (decrease) in net assets from operations:
|
|||||||||||||||||||||||||||
Net investment income (loss)
|
$ | (111 | ) | $ | (1,008 | ) | $ | (6,721 | ) | $ | (4,482 | ) | $ | (8,828 | ) | $ | (2,534 | ) | |||||||||
Realized gains (losses)
|
157 | 26,489 | 54,175 | 82,639 | 143,085 | 32,967 | |||||||||||||||||||||
Realized gain distributions
|
4,671 | - | - | - | - | - | |||||||||||||||||||||
Unrealized gains (losses)
|
(7,890 | ) | (26,120 | ) | (55,267 | ) | (76,449 | ) | (155,343 | ) | (30,065 | ) | |||||||||||||||
Net increase (decrease) in net assets resulting from operations
|
$ | (3,173 | ) | $ | (639 | ) | $ | (7,813 | ) | $ | 1,708 | $ | (21,086 | ) | $ | 368 | |||||||||||
Increase (decrease) in net assets from contract transactions:
|
|||||||||||||||||||||||||||
Net premiums/deposits
|
$ | - | $ | - | $ | 1,253 | $ | - | $ | - | $ | - | |||||||||||||||
Death Benefits
|
- | - | - | - | - | - | |||||||||||||||||||||
Surrenders
|
- | (509 | ) | (149,635 | ) | (153,958 | ) | (49,295 | ) | (124,594 | ) | ||||||||||||||||
Withdrawals
|
- | (6,164 | ) | (46,220 | ) | (31,529 | ) | (19,317 | ) | (33,121 | ) | ||||||||||||||||
Net transfers in (out) of sub-accounts / fixed accounts - Note 1
|
- | (66,124 | ) | (45,107 | ) | (68,842 | ) | 1,511 | (17,482 | ) | |||||||||||||||||
Annual contract fees
|
- | - | - | - | - | - | |||||||||||||||||||||
Net increase (decrease) in net assets resulting from contract transactions
|
$ | - | $ | (72,797 | ) | (239,709 | ) | $ | (254,329 | ) | $ | (67,101 | ) | $ | (175,197 | ) | |||||||||||
Total increase (decrease) in net assets
|
(3,173 | ) | (73,436 | ) | (247,522 | ) | (252,621 | ) | (88,187 | ) | (174,829 | ) | |||||||||||||||
Net assets at beginning of period
|
44,503 | 120,939 | 1,416,837 | 650,654 | 692,664 | 240,607 | |||||||||||||||||||||
Net assets at end of period
|
$ | 41,330 | $ | 47,503 | 1,169,315 | $ | 398,033 | $ | 604,477 | $ | 65,778 | ||||||||||||||||
For the year ended December 31, 2010
|
|||||||||||||||||||||||||||
Increase (decrease) in net assets from operations:
|
|||||||||||||||||||||||||||
Net investment income (loss)
|
$ | 8 | $ | (1,046 | ) | $ | (8,504 | ) | $ | (5,794 | ) | $ | (10,599 | ) | $ | (3,719 | ) | ||||||||||
Realized gains (losses)
|
114 | (13,937 | ) | 77,190 | 17,023 | (79,906 | ) | 1,386 | |||||||||||||||||||
Realized gain distributions
|
- | - | - | - | - | - | |||||||||||||||||||||
Unrealized gains (losses)
|
8,829 | 30,134 | 44,225 | 39,368 | 155,553 | 11,131 | |||||||||||||||||||||
Net increase (decrease) in net assets resulting from operations
|
$ | 8,951 | $ | 15,151 | $ | 112,911 | $ | 50,597 | $ | 65,048 | $ | 8,798 | |||||||||||||||
Increase (decrease) in net assets from contract transactions:
|
|||||||||||||||||||||||||||
Net premiums/deposits
|
$ | - | $ | - | $ | 1,253 | $ | - | $ | - | $ | - | |||||||||||||||
Death Benefits
|
- | - | - | - | - | - | |||||||||||||||||||||
Surrenders
|
- | (35,697 | ) | (373,356 | ) | (80,284 | ) | (181,581 | ) | (24,487 | ) | ||||||||||||||||
Withdrawals
|
- | (7,681 | ) | (51,117 | ) | (32,740 | ) | (29,470 | ) | (10,875 | ) | ||||||||||||||||
Net transfers in (out) of sub-accounts / fixed accounts - Note 1
|
- | (30,858 | ) | (119,646 | ) | (71,369 | ) | 17,604 | 1,962 | ||||||||||||||||||
Annual contract fees
|
- | - | (4 | ) | (5 | ) | (17 | ) | - | ||||||||||||||||||
Net increase (decrease) in net assets resulting from contract transactions
|
$ | - | $ | (74,236 | ) | (542,870 | ) | $ | (184,398 | ) | $ | (193,464 | ) | $ | (33,400 | ) | |||||||||||
Total increase (decrease) in net assets
|
8,951 | (59,085 | ) | (429,959 | ) | (133,801 | ) | (128,416 | ) | (24,602 | ) | ||||||||||||||||
Net assets at beginning of period
|
35,552 | 180,024 | 1,846,796 | 784,455 | 821,080 | 265,209 | |||||||||||||||||||||
Net assets at end of period
|
$ | 44,503 | $ | 120,939 | 1,416,837 | $ | 650,654 | $ | 692,664 | $ | 240,607 | ||||||||||||||||
|
See accompanying Notes to Financial Statements. | ||||||||||||||||||||||||||
For the year ended December 31, 2011
|
Invesco V.I. Government Series I
|
Invesco V.I. Government Series II
|
Invesco V.I. International Growth Series I
|
Invesco V.I. International Growth Series II
|
Invesco V.I. Money Market Fund
|
Invesco V.I. Technology Fund
|
|||||||||||||||||||||
Increase (decrease) in net assets from operations:
|
|||||||||||||||||||||||||||
Net investment income (loss)
|
$ | 14,874 | $ | 13,948 | $ | 1,523 | $ | (2,626 | ) | $ | (21,661 | ) | $ | (12,429 | ) | ||||||||||||
Realized gains (losses)
|
(13,954 | ) | (14,941 | ) | 12,031 | 82,409 | - | 61,238 | |||||||||||||||||||
Realized gain distributions
|
- | - | - | - | - | - | |||||||||||||||||||||
Unrealized gains (losses)
|
31,883 | 38,762 | (51,263 | ) | (138,649 | ) | - | (97,291 | ) | ||||||||||||||||||
Net increase (decrease) in net assets resulting from operations
|
$ | 32,803 | $ | 37,769 | $ | (37,709 | ) | $ | (58,866 | ) | $ | (21,661 | ) | $ | (48,482 | ) | |||||||||||
Increase (decrease) in net assets from contract transactions:
|
|||||||||||||||||||||||||||
Net premiums/deposits
|
$ | - | $ | - | $ | - | $ | - | $ | - | $ | - | |||||||||||||||
Death Benefits
|
- | - | - | - | (786,793 | ) | - | ||||||||||||||||||||
Surrenders
|
(260,685 | ) | (93,838 | ) | (11,296 | ) | (112,984 | ) | (634,120 | ) | (61,237 | ) | |||||||||||||||
Withdrawals
|
(12,601 | ) | (37,615 | ) | (20,223 | ) | (32,702 | ) | (132,274 | ) | (24,234 | ) | |||||||||||||||
Net transfers in (out) of sub-accounts / fixed accounts - Note 1
|
(35,410 | ) | (74,630 | ) | (2,311 | ) | (20,446 | ) | 970,112 | (25,103 | ) | ||||||||||||||||
Annual contract fees
|
- | - | - | - | - | - | |||||||||||||||||||||
Net increase (decrease) in net assets resulting from contract transactions
|
$ | (308,696 | ) | $ | (206,083 | ) | (33,830 | ) | $ | (166,132 | ) | $ | (583,075 | ) | $ | (110,574 | ) | ||||||||||
Total increase (decrease) in net assets
|
(275,893 | ) | (168,314 | ) | (71,539 | ) | (224,998 | ) | (604,736 | ) | (159,056 | ) | |||||||||||||||
Net assets at beginning of period
|
621,943 | 717,755 | 526,057 | 956,336 | 1,770,583 | 951,879 | |||||||||||||||||||||
Net assets at end of period
|
$ | 346,050 | $ | 549,441 | $ | 454,518 | $ | 731,338 | $ | 1,165,847 | $ | 792,823 | |||||||||||||||
For the year ended December 31, 2010
|
|||||||||||||||||||||||||||
Increase (decrease) in net assets from operations:
|
|||||||||||||||||||||||||||
Net investment income (loss)
|
$ | 22,863 | $ | 19,260 | $ | 4,668 | $ | 1,676 | $ | (36,194 | ) | $ | (15,622 | ) | |||||||||||||
Realized gains (losses)
|
(2,743 | ) | (11,460 | ) | 34,329 | 67,149 | - | 63,589 | |||||||||||||||||||
Realized gain distributions
|
- | - | - | - | - | - | |||||||||||||||||||||
Unrealized gains (losses)
|
10,730 | 21,705 | 13,971 | 33,447 | - | 121,016 | |||||||||||||||||||||
Net increase (decrease) in net assets resulting from operations
|
$ | 30,850 | $ | 29,505 | $ | 52,968 | $ | 102,272 | $ | (36,194 | ) | $ | 168,983 | ||||||||||||||
Increase (decrease) in net assets from contract transactions:
|
|||||||||||||||||||||||||||
Net premiums/deposits
|
$ | 5,000 | $ | - | $ | - | $ | - | $ | - | $ | - | |||||||||||||||
Death Benefits
|
- | - | - | - | (1,388,280 | ) | - | ||||||||||||||||||||
Surrenders
|
(114,562 | ) | (54,804 | ) | (95,984 | ) | (158,685 | ) | (2,876,829 | ) | (220,462 | ) | |||||||||||||||
Withdrawals
|
(12,883 | ) | (84,832 | ) | (17,560 | ) | (42,242 | ) | (443,357 | ) | (35,902 | ) | |||||||||||||||
Net transfers in (out) of sub-accounts / fixed accounts - Note 1
|
(51,734 | ) | (64,810 | ) | (39,218 | ) | (144,821 | ) | 2,746,499 | (49,527 | ) | ||||||||||||||||
Annual contract fees
|
- | (6 | ) | - | (15 | ) | (85 | ) | (22 | ) | |||||||||||||||||
Net increase (decrease) in net assets resulting from contract transactions
|
$ | (174,179 | ) | $ | (204,452 | ) | (152,762 | ) | $ | (345,763 | ) | $ | (1,962,052 | ) | $ | (305,913 | ) | ||||||||||
Total increase (decrease) in net assets
|
(143,329 | ) | (174,947 | ) | (99,794 | ) | (243,491 | ) | (1,998,246 | ) | (136,930 | ) | |||||||||||||||
Net assets at beginning of period
|
765,272 | 892,702 | 625,851 | 1,199,827 | 3,768,829 | 1,088,809 | |||||||||||||||||||||
Net assets at end of period
|
$ | 621,943 | $ | 717,755 | $ | 526,057 | $ | 956,336 | $ | 1,770,583 | $ | 951,879 | |||||||||||||||
See accompanying Notes to Financial Statements.
|
For the year ended December 31, 2011
|
Invesco Van Kampen V.I. Capital Growth Fund
|
Invesco Van Kampen V.I. Comstock Fund
|
Invesco Van Kampen V.I. Global Value Equity Fund
|
Invesco Van Kampen V.I. Growth and Income Fund
|
Invesco Van Kampen V.I. Mid Cap Value Fund
|
MFS/VIT Core Equity Series
|
||||||||||||||||||||
Increase (decrease) in net assets from operations:
|
||||||||||||||||||||||||||
Net investment income (loss)
|
$ | (576 | ) | $ | 1,824 | $ | 2,469 | $ | (3,157 | ) | $ | (3,840 | ) | $ | (890 | ) | ||||||||||
Realized gains (losses)
|
2,872 | 107,605 | 668 | 71,746 | 57,071 | 32,973 | ||||||||||||||||||||
Realized gain distributions
|
- | - | - | - | - | - | ||||||||||||||||||||
Unrealized gains (losses)
|
(4,870 | ) | (109,068 | ) | (19,708 | ) | (91,689 | ) | (49,885 | ) | (47,517 | ) | ||||||||||||||
Net increase (decrease) in net assets resulting from operations
|
$ | (2,574 | ) | $ | 361 | $ | (16,571 | ) | $ | (23,100 | ) | $ | 3,346 | $ | (15,434 | ) | ||||||||||
Increase (decrease) in net assets from contract transactions:
|
||||||||||||||||||||||||||
Net premiums/deposits
|
$ | - | $ | - | $ | - | $ | - | $ | - | $ | - | ||||||||||||||
Death Benefits
|
- | - | - | - | - | - | ||||||||||||||||||||
Surrenders
|
(11,065 | ) | (67,128 | ) | (7,340 | ) | (180,785 | ) | (85,688 | ) | (111,044 | ) | ||||||||||||||
Withdrawals
|
(725 | ) | (16,098 | ) | (3,315 | ) | (37,476 | ) | (27,238 | ) | (28,322 | ) | ||||||||||||||
Net transfers in (out) of sub-accounts / fixed accounts - Note 1
|
- | (73,123 | ) | (8,297 | ) | 1,560 | (10,374 | ) | 1,514 | |||||||||||||||||
Annual contract fees
|
- | - | - | - | - | - | ||||||||||||||||||||
Net increase (decrease) in net assets resulting from contract transactions
|
$ | (11,790 | ) | $ | (156,349 | ) | $ | (18,952 | ) | $ | (216,701 | ) | $ | (123,300 | ) | $ | (137,852 | ) | ||||||||
Total increase (decrease) in net assets
|
(14,364 | ) | (155,988 | ) | (35,523 | ) | (239,801 | ) | (119,954 | ) | (153,286 | ) | ||||||||||||||
Net assets at beginning of period
|
47,446 | 354,290 | 139,019 | 451,277 | 573,997 | 264,156 | ||||||||||||||||||||
Net assets at end of period
|
$ | 33,082 | $ | 198,302 | $ | 103,496 | $ | 211,476 | $ | 454,043 | $ | 110,870 | ||||||||||||||
For the year ended December 31, 2010
|
||||||||||||||||||||||||||
Increase (decrease) in net assets from operations:
|
||||||||||||||||||||||||||
Net investment income (loss)
|
$ | (769 | ) | $ | (321 | ) | $ | 865 | $ | (7,695 | ) | $ | (3,151 | ) | $ | (1,153 | ) | |||||||||
Realized gains (losses)
|
5,803 | (7,864 | ) | (22,163 | ) | (34,524 | ) | (3,891 | ) | 4,988 | ||||||||||||||||
Realized gain distributions
|
- | - | - | - | - | - | ||||||||||||||||||||
Unrealized gains (losses)
|
2,974 | 54,632 | 33,431 | 87,009 | 113,741 | 33,579 | ||||||||||||||||||||
Net increase (decrease) in net assets resulting from operations
|
$ | 8,008 | $ | 46,447 | $ | 12,133 | $ | 44,790 | $ | 106,699 | $ | 37,414 | ||||||||||||||
Increase (decrease) in net assets from contract transactions:
|
||||||||||||||||||||||||||
Net premiums/deposits
|
$ | - | $ | - | $ | - | $ | - | $ | - | $ | - | ||||||||||||||
Death Benefits
|
- | - | - | - | - | - | ||||||||||||||||||||
Surrenders
|
(19,742 | ) | (31,783 | ) | (74,458 | ) | (105,738 | ) | (65,461 | ) | (36,901 | ) | ||||||||||||||
Withdrawals
|
- | (18,758 | ) | (3,930 | ) | (7,070 | ) | (27,574 | ) | (1,983 | ) | |||||||||||||||
Net transfers in (out) of sub-accounts / fixed accounts - Note 1
|
(48 | ) | (37,984 | ) | (22,052 | ) | (51,115 | ) | (48,045 | ) | (1,343 | ) | ||||||||||||||
Annual contract fees
|
- | - | - | - | (2 | ) | - | |||||||||||||||||||
Net increase (decrease) in net assets resulting from contract transactions
|
$ | (19,790 | ) | $ | (88,525 | ) | $ | (100,440 | ) | $ | (163,923 | ) | $ | (141,082 | ) | $ | (40,227 | ) | ||||||||
Total increase (decrease) in net assets
|
(11,782 | ) | (42,078 | ) | (88,307 | ) | (119,133 | ) | (34,383 | ) | (2,813 | ) | ||||||||||||||
Net assets at beginning of period
|
59,228 | 396,368 | 227,326 | 570,410 | 608,380 | 266,969 | ||||||||||||||||||||
Net assets at end of period
|
$ | 47,446 | $ | 354,290 | $ | 139,019 | $ | 451,277 | $ | 573,997 | $ | 264,156 | ||||||||||||||
|
See accompanying Notes to Financial Statements. | |||||||||||||||||||||||||
For the year ended December 31, 2011
|
MFS/VIT High Income Series
|
MFS/VIT High Income Series Service Class
|
MFS/VIT Investors Trust Series
|
MFS/VIT Research Series
|
MFS/VIT Total Return Series
|
MFS/VIT Utilities Series
|
||||||||||||||||||||
Increase (decrease) in net assets from operations:
|
||||||||||||||||||||||||||
Net investment income (loss)
|
$ | 29,582 | $ | 6,956 | $ | (2,333 | ) | $ | (807 | ) | $ | 12,186 | $ | 1,299 | ||||||||||||
Realized gains (losses)
|
8,509 | 4,827 | 26,247 | 21,377 | 29,274 | 4,725 | ||||||||||||||||||||
Realized gain distributions
|
- | - | - | - | - | - | ||||||||||||||||||||
Unrealized gains (losses)
|
(27,314 | ) | (9,033 | ) | (33,850 | ) | (24,192 | ) | (37,355 | ) | (1,100 | ) | ||||||||||||||
Net increase (decrease) in net assets resulting from operations
|
$ | 10,777 | $ | 2,750 | $ | (9,936 | ) | $ | (3,622 | ) | $ | 4,105 | $ | 4,924 | ||||||||||||
Increase (decrease) in net assets from contract transactions:
|
||||||||||||||||||||||||||
Net premiums/deposits
|
$ | - | $ | 626 | $ | - | $ | - | $ | - | $ | - | ||||||||||||||
Death Benefits
|
- | - | - | - | - | - | ||||||||||||||||||||
Surrenders
|
(51,018 | ) | (17,713 | ) | (48,380 | ) | (40,043 | ) | (99,027 | ) | (4,725 | ) | ||||||||||||||
Withdrawals
|
(53,113 | ) | (4,675 | ) | (12,542 | ) | (4,856 | ) | (78,615 | ) | (2,037 | ) | ||||||||||||||
Net transfers in (out) of sub-accounts / fixed accounts - Note 1
|
(16,913 | ) | (9,010 | ) | (10,513 | ) | 28 | (32,832 | ) | (7,689 | ) | |||||||||||||||
Annual contract fees
|
- | - | - | - | - | - | ||||||||||||||||||||
Net increase (decrease) in net assets resulting from contract transactions
|
$ | (121,044 | ) | $ | (30,772 | ) | $ | (71,435 | ) | $ | (44,871 | ) | $ | (210,474 | ) | $ | (14,451 | ) | ||||||||
Total increase (decrease) in net assets
|
(110,267 | ) | (28,022 | ) | (81,371 | ) | (48,493 | ) | (206,369 | ) | (9,527 | ) | ||||||||||||||
Net assets at beginning of period
|
437,680 | 118,403 | 442,155 | 182,761 | 1,136,375 | 100,469 | ||||||||||||||||||||
Net assets at end of period
|
$ | 327,413 | $ | 90,381 | $ | 360,784 | $ | 134,268 | $ | 930,006 | $ | 90,942 | ||||||||||||||
For the year ended December 31, 2010
|
||||||||||||||||||||||||||
Increase (decrease) in net assets from operations:
|
||||||||||||||||||||||||||
Net investment income (loss)
|
$ | 42,071 | $ | 10,494 | $ | (925 | ) | $ | (654 | ) | $ | 15,226 | $ | 1,864 | ||||||||||||
Realized gains (losses)
|
64,761 | (3,905 | ) | 21,540 | 19,699 | 27,707 | 5,937 | |||||||||||||||||||
Realized gain distributions
|
- | - | - | - | - | - | ||||||||||||||||||||
Unrealized gains (losses)
|
(34,509 | ) | 10,771 | 23,673 | 586 | 54,090 | 1,352 | |||||||||||||||||||
Net increase (decrease) in net assets resulting from operations
|
$ | 72,323 | $ | 17,360 | $ | 44,288 | $ | 19,631 | $ | 97,023 | $ | 9,153 | ||||||||||||||
Increase (decrease) in net assets from contract transactions:
|
||||||||||||||||||||||||||
Net premiums/deposits
|
$ | - | $ | 626 | $ | - | $ | - | $ | - | $ | - | ||||||||||||||
Death Benefits
|
- | - | - | - | - | - | ||||||||||||||||||||
Surrenders
|
(100,834 | ) | (60,954 | ) | (53,181 | ) | (23,432 | ) | (301,346 | ) | (35,651 | ) | ||||||||||||||
Withdrawals
|
(51,448 | ) | (9,831 | ) | (17,750 | ) | (11,236 | ) | (61,585 | ) | (3,381 | ) | ||||||||||||||
Net transfers in (out) of sub-accounts / fixed accounts - Note 1
|
(1,158,490 | ) | (18,347 | ) | (84,823 | ) | (96,696 | ) | (17,667 | ) | 304 | |||||||||||||||
Annual contract fees
|
- | - | (4 | ) | - | - | (2 | ) | ||||||||||||||||||
Net increase (decrease) in net assets resulting from contract transactions
|
$ | (1,310,772 | ) | $ | (88,506 | ) | $ | (155,758 | ) | $ | (131,364 | ) | $ | (380,598 | ) | $ | (38,730 | ) | ||||||||
Total increase (decrease) in net assets
|
(1,238,449 | ) | (71,146 | ) | (111,470 | ) | (111,733 | ) | (283,575 | ) | (29,577 | ) | ||||||||||||||
Net assets at beginning of period
|
1,676,129 | 189,549 | 553,625 | 294,494 | 1,419,950 | 130,046 | ||||||||||||||||||||
Net assets at end of period
|
$ | 437,680 | $ | 118,403 | $ | 442,155 | $ | 182,761 | $ | 1,136,375 | $ | 100,469 | ||||||||||||||
See accompanying Notes to Financial Statements.
|
For the year ended December 31, 2011
|
Morgan Stanley UIF US Real Estate
|
Oppenheimer Capital Appreciation Fund VA
|
Oppenheimer Core Bond Fund VA
|
Oppenheimer Core Bond Fund VA Class 2
|
Oppenheimer Global Securities VA Class 2
|
Oppenheimer Main St Small & Mid-Cap Fund VA
|
|
||||||||||||||||||||
Increase (decrease) in net assets from operations:
|
|||||||||||||||||||||||||||
Net investment income (loss)
|
$ | (2,349 | ) | $ | (7,930 | ) | $ | 42,853 | $ | 24,463 | $ | (166 | ) | $ | (2,701 | ) | |||||||||||
Realized gains (losses)
|
37,386 | 106,245 | 4,019 | 17,646 | 571 | 25,692 | |||||||||||||||||||||
Realized gain distributions
|
- | - | - | - | - | - | |||||||||||||||||||||
Unrealized gains (losses)
|
(18,570 | ) | (121,221 | ) | 10,866 | (11,520 | ) | (3,750 | ) | (33,528 | ) | ||||||||||||||||
Net increase (decrease) in net assets resulting from operations
|
$ | 16,467 | $ | (22,906 | ) | $ | 57,738 | $ | 30,589 | $ | (3,345 | ) | $ | (10,537 | ) | ||||||||||||
Increase (decrease) in net assets from contract transactions:
|
|||||||||||||||||||||||||||
Net premiums/deposits
|
$ | - | $ | - | $ | - | $ | - | $ | 1,253 | $ | - | |||||||||||||||
Death Benefits
|
- | - | - | - | - | - | |||||||||||||||||||||
Surrenders
|
(23,986 | ) | (195,296 | ) | (169,012 | ) | (65,511 | ) | - | (105,492 | ) | ||||||||||||||||
Withdrawals
|
(10,083 | ) | (50,616 | ) | (38,859 | ) | (25,159 | ) | - | (5,660 | ) | ||||||||||||||||
Net transfers in (out) of sub-accounts / fixed accounts - Note 1
|
(18,769 | ) | (27,192 | ) | (80,631 | ) | (76,438 | ) | 10,762 | 13 | |||||||||||||||||
Annual contract fees
|
- | - | - | - | - | - | |||||||||||||||||||||
Net increase (decrease) in net assets resulting from contract transactions
|
$ | (52,838 | ) | $ | (273,104 | ) | $ | (288,502 | ) | $ | (167,108 | ) | $ | 12,015 | $ | (111,139 | ) | ||||||||||
Total increase (decrease) in net assets
|
(36,371 | ) | (296,010 | ) | (230,764 | ) | (136,519 | ) | 8,670 | (121,676 | ) | ||||||||||||||||
Net assets at beginning of period
|
333,991 | 871,192 | 955,091 | 545,692 | 17,393 | 442,353 | |||||||||||||||||||||
Net assets at end of period
|
$ | 297,620 | $ | 575,182 | $ | 724,327 | $ | 409,173 | $ | 26,063 | $ | 320,677 | |||||||||||||||
For the year ended December 31, 2010
|
|||||||||||||||||||||||||||
Increase (decrease) in net assets from operations:
|
|||||||||||||||||||||||||||
Net investment income (loss)
|
$ | 2,011 | $ | (11,500 | ) | $ | 8,447 | $ | 1,843 | $ | 140 | $ | (3,313 | ) | |||||||||||||
Realized gains (losses)
|
30,854 | 59,100 | (44,417 | ) | (73,775 | ) | (18,986 | ) | (1,537 | ) | |||||||||||||||||
Realized gain distributions
|
- | - | - | - | - | - | |||||||||||||||||||||
Unrealized gains (losses)
|
50,317 | 17,704 | 156,065 | 132,076 | 21,633 | 88,009 | |||||||||||||||||||||
Net increase (decrease) in net assets resulting from operations
|
$ | 83,182 | $ | 65,304 | $ | 120,095 | $ | 60,144 | $ | 2,787 | $ | 83,159 | |||||||||||||||
Increase (decrease) in net assets from contract transactions:
|
|||||||||||||||||||||||||||
Net premiums/deposits
|
$ | - | $ | - | $ | - | $ | - | $ | 1,253 | $ | - | |||||||||||||||
Death Benefits
|
- | - | - | - | - | - | |||||||||||||||||||||
Surrenders
|
(67,235 | ) | (145,875 | ) | (238,437 | ) | (270,256 | ) | (40,806 | ) | (79,608 | ) | |||||||||||||||
Withdrawals
|
(14,714 | ) | (16,748 | ) | (43,510 | ) | (64,965 | ) | (725 | ) | (2,014 | ) | |||||||||||||||
Net transfers in (out) of sub-accounts / fixed accounts - Note 1
|
(38,868 | ) | (64,610 | ) | (284,816 | ) | 2,019 | (35,836 | ) | (5,538 | ) | ||||||||||||||||
Annual contract fees
|
(8 | ) | - | (4 | ) | (2 | ) | - | - | ||||||||||||||||||
Net increase (decrease) in net assets resulting from contract transactions
|
$ | (120,825 | ) | $ | (227,233 | ) | $ | (566,767 | ) | $ | (333,204 | ) | $ | (76,114 | ) | $ | (87,160 | ) | |||||||||
Total increase (decrease) in net assets
|
(37,643 | ) | (161,929 | ) | (446,672 | ) | (273,060 | ) | (73,327 | ) | (4,001 | ) | |||||||||||||||
Net assets at beginning of period
|
371,634 | 1,033,121 | 1,401,763 | 818,752 | 90,720 | 446,354 | |||||||||||||||||||||
Net assets at end of period
|
$ | 333,991 | $ | 871,192 | $ | 955,091 | $ | 545,692 | $ | 17,393 | $ | 442,353 | |||||||||||||||
|
See accompnaying Notes to Financial Statements. |
|
|||||||||||||||||||||||||||
For the year ended December 31, 2011
|
Rydex VT Basic Materials
|
Rydex VT Consumer Products
|
Rydex VT Energy
|
Rydex VT Energy Services
|
Rydex VT Health Care
|
Rydex VT Leisure
|
|
||||||||||||||||||||
Increase (decrease) in net assets from operations:
|
|||||||||||||||||||||||||||
Net investment income (loss)
|
$ | (92 | ) | $ | (390 | ) | $ | (5,001 | ) | $ | (85 | ) | $ | (7,917 | ) | $ | (447 | ) | |||||||||
Realized gains (losses)
|
36 | 19,510 | 24,508 | 15 | 23,227 | 2,873 | |||||||||||||||||||||
Realized gain distributions
|
811 | - | 1,928 | 545 | - | - | |||||||||||||||||||||
Unrealized gains (losses)
|
(1,776 | ) | 8,257 | (30,144 | ) | (1,032 | ) | 6,744 | (1,586 | ) | |||||||||||||||||
Net increase (decrease) in net assets resulting from operations
|
$ | (1,021 | ) | $ | 27,377 | $ | (8,709 | ) | $ | (557 | ) | $ | 22,054 | $ | 840 | ||||||||||||
Increase (decrease) in net assets from contract transactions:
|
|||||||||||||||||||||||||||
Net premiums/deposits
|
$ | 626 | $ | - | $ | 626 | $ | 626 | $ | - | $ | - | |||||||||||||||
Death Benefits
|
- | - | - | - | - | - | |||||||||||||||||||||
Surrenders
|
- | (14,433 | ) | (20,913 | ) | - | (34,102 | ) | (3,351 | ) | |||||||||||||||||
Withdrawals
|
- | (5,046 | ) | (9,853 | ) | - | (12,934 | ) | (1,674 | ) | |||||||||||||||||
Net transfers in (out) of sub-accounts / fixed accounts - Note 1
|
20 | (44,382 | ) | 9,056 | - | (53,621 | ) | (1,538 | ) | ||||||||||||||||||
Annual contract fees
|
- | - | - | - | - | - | |||||||||||||||||||||
Net increase (decrease) in net assets resulting from contract transactions
|
$ | 646 | $ | (63,861 | ) | $ | (21,084 | ) | $ | 626 | $ | (100,657 | ) | $ | (6,563 | ) | |||||||||||
Total increase (decrease) in net assets
|
(375 | ) | (36,484 | ) | (29,793 | ) | 69 | (78,603 | ) | (5,723 | ) | ||||||||||||||||
Net assets at beginning of period
|
5,293 | 249,644 | 334,695 | 4,472 | 533,059 | 32,409 | |||||||||||||||||||||
Net assets at end of period
|
$ | 4,918 | $ | 213,160 | $ | 304,902 | $ | 4,541 | $ | 454,456 | $ | 26,686 | |||||||||||||||
For the year ended December 31, 2010
|
|||||||||||||||||||||||||||
Increase (decrease) in net assets from operations:
|
|||||||||||||||||||||||||||
Net investment income (loss)
|
$ | (314 | ) | $ | (847 | ) | $ | (4,119 | ) | $ | (289 | ) | $ | (7,183 | ) | $ | (541 | ) | |||||||||
Realized gains (losses)
|
(1,194 | ) | (3,649 | ) | (31,569 | ) | 6,872 | (4,945 | ) | 10,966 | |||||||||||||||||
Realized gain distributions
|
- | - | - | - | - | - | |||||||||||||||||||||
Unrealized gains (losses)
|
3,462 | 40,376 | 92,179 | (6,703 | ) | 38,789 | (972 | ) | |||||||||||||||||||
Net increase (decrease) in net assets resulting from operations
|
$ | 1,954 | $ | 35,880 | $ | 56,491 | $ | (120 | ) | $ | 26,661 | $ | 9,453 | ||||||||||||||
Increase (decrease) in net assets from contract transactions:
|
|||||||||||||||||||||||||||
Net premiums/deposits
|
$ | 626 | $ | - | $ | 626 | $ | 626 | $ | - | $ | - | |||||||||||||||
Death Benefits
|
- | - | - | - | - | - | |||||||||||||||||||||
Surrenders
|
(10,905 | ) | (68,977 | ) | (98,907 | ) | (13,422 | ) | (131,185 | ) | (8,208 | ) | |||||||||||||||
Withdrawals
|
- | (7,031 | ) | (14,727 | ) | (282 | ) | (18,416 | ) | (2,478 | ) | ||||||||||||||||
Net transfers in (out) of sub-accounts / fixed accounts - Note 1
|
(14,977 | ) | (9,173 | ) | (23,436 | ) | (9,702 | ) | 35,622 | (4,280 | ) | ||||||||||||||||
Annual contract fees
|
- | (6 | ) | (7 | ) | - | (13 | ) | (1 | ) | |||||||||||||||||
Net increase (decrease) in net assets resulting from contract transactions
|
$ | (25,256 | ) | $ | (85,187 | ) | $ | (136,451 | ) | $ | (22,780 | ) | $ | (113,992 | ) | $ | (14,967 | ) | |||||||||
Total increase (decrease) in net assets
|
(23,302 | ) | (49,307 | ) | (79,960 | ) | (22,900 | ) | (87,331 | ) | (5,514 | ) | |||||||||||||||
Net assets at beginning of period
|
28,595 | 298,951 | 414,655 | 27,372 | 620,390 | 37,923 | |||||||||||||||||||||
Net assets at end of period
|
$ | 5,293 | $ | 249,644 | $ | 334,695 | $ | 4,472 | $ | 533,059 | $ | 32,409 | |||||||||||||||
|
See accompanying Notes to Financial Statements. |
For the year ended December 31, 2011
|
Rydex VT Precious Metal
|
Rydex VT Retailing
|
Rydex VT Telecommunications
|
Rydex VT Transportation
|
T. Rowe Price Equity Income Portfolio
|
T. Rowe Price Mid-Cap Growth Portfolio
|
|
||||||||||||||||||||
Increase (decrease) in net assets from operations:
|
|||||||||||||||||||||||||||
Net investment income (loss)
|
$ | (1,531 | ) | $ | (8,032 | ) | $ | (235 | ) | $ | (3,590 | ) | $ | 299 | $ | (3,906 | ) | ||||||||||
Realized gains (losses)
|
3,971 | 41,432 | 1,848 | 10,593 | 753 | 4,962 | |||||||||||||||||||||
Realized gain distributions
|
- | - | 2,249 | - | - | 35,021 | |||||||||||||||||||||
Unrealized gains (losses)
|
(30,815 | ) | (14,651 | ) | (14,970 | ) | (33,518 | ) | (2,025 | ) | (42,045 | ) | |||||||||||||||
Net increase (decrease) in net assets resulting from operations
|
$ | (28,375 | ) | $ | 18,749 | $ | (11,108 | ) | $ | (26,515 | ) | $ | (973 | ) | $ | (5,968 | ) | ||||||||||
Increase (decrease) in net assets from contract transactions:
|
|||||||||||||||||||||||||||
Net premiums/deposits
|
$ | 626 | $ | - | $ | - | $ | 626 | $ | - | $ | - | |||||||||||||||
Death Benefits
|
- | - | - | - | - | - | |||||||||||||||||||||
Surrenders
|
(4,040 | ) | (36,637 | ) | (3,886 | ) | (13,718 | ) | (10,460 | ) | (4,816 | ) | |||||||||||||||
Withdrawals
|
(4,596 | ) | (13,642 | ) | (1,650 | ) | (4,996 | ) | (17,831 | ) | (761 | ) | |||||||||||||||
Net transfers in (out) of sub-accounts / fixed accounts - Note 1
|
8,627 | (42,660 | ) | 7,485 | 21,151 | (20,345 | ) | (20,988 | ) | ||||||||||||||||||
Annual contract fees
|
- | - | - | - | - | - | |||||||||||||||||||||
Net increase (decrease) in net assets resulting from contract transactions
|
$ | 617 | $ | (92,939 | ) | $ | 1,949 | $ | 3,063 | $ | (48,636 | ) | $ | (26,565 | ) | ||||||||||||
Total increase (decrease) in net assets
|
(27,758 | ) | (74,190 | ) | (9,159 | ) | (23,452 | ) | (49,609 | ) | (32,533 | ) | |||||||||||||||
Net assets at beginning of period
|
110,627 | 538,544 | 70,889 | 251,605 | 142,673 | 326,478 | |||||||||||||||||||||
Net assets at end of period
|
$ | 82,869 | $ | 464,354 | $ | 61,730 | $ | 228,153 | $ | 93,064 | $ | 293,945 | |||||||||||||||
For the year ended December 31, 2010
|
|||||||||||||||||||||||||||
Increase (decrease) in net assets from operations:
|
|||||||||||||||||||||||||||
Net investment income (loss)
|
$ | (2,156 | ) | $ | (8,968 | ) | $ | (25 | ) | $ | (4,390 | ) | $ | 824 | $ | (4,193 | ) | ||||||||||
Realized gains (losses)
|
32,975 | 30,385 | (9,036 | ) | (3,655 | ) | (1,714 | ) | 11,577 | ||||||||||||||||||
Realized gain distributions
|
- | - | - | - | - | 16,646 | |||||||||||||||||||||
Unrealized gains (losses)
|
5,772 | 96,610 | 16,915 | 63,013 | 19,036 | 52,089 | |||||||||||||||||||||
Net increase (decrease) in net assets resulting from operations
|
$ | 36,591 | $ | 118,027 | $ | 7,854 | $ | 54,968 | $ | 18,146 | $ | 76,119 | |||||||||||||||
Increase (decrease) in net assets from contract transactions:
|
|||||||||||||||||||||||||||
Net premiums/deposits
|
$ | 626 | $ | - | $ | - | $ | 626 | $ | - | $ | - | |||||||||||||||
Death Benefits
|
- | - | - | - | - | - | |||||||||||||||||||||
Surrenders
|
(50,663 | ) | (133,611 | ) | (17,593 | ) | (82,040 | ) | (12,095 | ) | (61,822 | ) | |||||||||||||||
Withdrawals
|
(6,077 | ) | (19,984 | ) | (1,521 | ) | (7,159 | ) | (5,491 | ) | (4,499 | ) | |||||||||||||||
Net transfers in (out) of sub-accounts / fixed accounts - Note 1
|
(34,063 | ) | (50,711 | ) | (474 | ) | (43,113 | ) | (1,135 | ) | (10,134 | ) | |||||||||||||||
Annual contract fees
|
(2 | ) | (13 | ) | (2 | ) | (6 | ) | - | - | |||||||||||||||||
Net increase (decrease) in net assets resulting from contract transactions
|
$ | (90,179 | ) | $ | (204,319 | ) | $ | (19,590 | ) | $ | (131,692 | ) | $ | (18,721 | ) | $ | (76,455 | ) | |||||||||
Total increase (decrease) in net assets
|
(53,588 | ) | (86,292 | ) | (11,736 | ) | (76,724 | ) | (575 | ) | (336 | ) | |||||||||||||||
Net assets at beginning of period
|
164,215 | 624,836 | 82,625 | 328,329 | 143,248 | 326,814 | |||||||||||||||||||||
Net assets at end of period
|
$ | 110,627 | $ | 538,544 | $ | 70,889 | $ | 251,605 | $ | 142,673 | $ | 326,478 | |||||||||||||||
See accompanying Notes to Financial Statements.
|
|
|||||||
For the year ended December 31, 2011
|
T. Rowe Price Personal Strategy Bal Portfolio
|
|
|||||
Increase (decrease) in net assets from operations:
|
|||||||
Net investment income (loss)
|
$ | 203 | |||||
Realized gains (losses)
|
4,430 | ||||||
Realized gain distributions
|
- | ||||||
Unrealized gains (losses)
|
(5,586 | ) | |||||
Net increase (decrease) in net assets resulting from operations
|
$ | (953 | ) | ||||
Increase (decrease) in net assets from contract transactions:
|
|||||||
Net premiums/deposits
|
$ | - | |||||
Death Benefits
|
- | ||||||
Surrenders
|
(33,637 | ) | |||||
Withdrawals
|
- | ||||||
Net transfers in (out) of sub-accounts / fixed accounts - Note 1
|
- | ||||||
Annual contract fees
|
- | ||||||
Net increase (decrease) in net assets resulting from contract transactions
|
$ | (33,637 | ) | ||||
Total increase (decrease) in net assets
|
(34,590 | ) | |||||
Net assets at beginning of period
|
47,381 | ||||||
Net assets at end of period
|
$ | 12,791 | |||||
For the year ended December 31, 2010
|
|||||||
Increase (decrease) in net assets from operations:
|
|||||||
Net investment income (loss)
|
$ | 470 | |||||
Realized gains (losses)
|
71 | ||||||
Realized gain distributions
|
- | ||||||
Unrealized gains (losses)
|
4,671 | ||||||
Net increase (decrease) in net assets resulting from operations
|
$ | 5,212 | |||||
Increase (decrease) in net assets from contract transactions:
|
|||||||
Net premiums/deposits
|
$ | - | |||||
Death Benefits
|
- | ||||||
Surrenders
|
- | ||||||
Withdrawals
|
(762 | ) | |||||
Net transfers in (out) of sub-accounts / fixed accounts - Note 1
|
(90 | ) | |||||
Annual contract fees
|
- | ||||||
Net increase (decrease) in net assets resulting from contract transactions
|
$ | (852 | ) | ||||
Total increase (decrease) in net assets
|
4,360 | ||||||
Net assets at beginning of period
|
43,021 | ||||||
Net assets at end of period
|
$ | 47,381 | |||||
See accompanying Notes to Financial Statements.
|
INVESTMENT ADVISOR:
|
INVESTMENT ADVISOR:
|
INVESTMENT ADVISOR:
|
Fund/sub-account
|
Fund/sub-account
|
Fund/sub-account
|
FRED ALGER MANAGEMENT, INC:
Alger Growth and Income Portfolio
Alger Mid Cap Growth Portfolio
Alger Small Cap Growth Portfolio
COLUMBIA MANAGEMENT ADVISORS, LLC.:
Columbia International Opportunity Fund
Columbia Large Cap Growth Fund
Columbia Diversified Equity Income Fund
Columbia Small Cap Value Fund VS Class A
INVESCO ADVISORS, INC:
Invesco Van Kampen V.I. Capital Growth Fund
Invesco Van Kampen V.I. Growth and Income Fund
Invesco Van Kampen V.I. Global Value Equity Fund
Invesco Van Kampen V.I. Mid Cap Value Fund
Invesco Van Kampen V.I. Comstock Fund
Invesco V.I. Captial Appreciation Fund
Invesco V.I. Government Series I
Invesco V.I. Government Series II
Invesco V.I. Core Equity Series I
Invesco V.I. Core Equity Series II
|
INVESCO ADVISORS, INC:
Invesco V.I. Dividend Growth Series I
Invesco V.I. Global Health Care
Invesco V.I. International Growth Series I
Invesco V.I. International Growth Series II
Invesco V.I. Money Market Fund
Invesco V.I. Technology Fund
MASSACHUSETTS FINANCIAL SERVICES INVESTMENT MANAGEMENT:
MFS/VIT Utilities Series
MFS/VIT Core Equity Series
MFS/VIT High Income Series
MFS/VIT High Income Series Service Class
MFS/VIT Investors Trust Series
MFS/VIT Research Series
MFS/VIT Total Return Series
MORGAN STANLEY INVESTMENT MANAGEMENT, INC:
Morgan Stanley UIF US Real Estate
|
OPPENHEIMER FUNDS, INC:
Oppenheimer Core Bond Fund VA Class 2
Oppenheimer Core Bond Fund VA
Oppenheimer Capital Appreciation Fund VA
Oppenheimer Global Securities VA Class 2
Oppenheimer Main St Small & Mid-Cap Fund VA
RYDEX INVESTMENTS:
Rydex VT Basic Materials
Rydex VT Consumer Products
Rydex VT Energy
Rydex VT Energy Services
Rydex VT Financial Services
Rydex VT Health Care
Rydex VT Leisure
Rydex VT Precious Metal
Rydex VT Retailing
Rydex VT Telecommunications
Rydex VT Transportation
T. ROWE PRICE ASSOCIATES, INC:
T. Rowe Price Equity Income Portfolio
T. Rowe Price Mid-Cap Growth Portfolio
T. Rowe Price Personal Strategy Balanced Portfolio
|
Note 2. Summary of Significant Accounting Policies (continued)
|
Investment Risks
- The underlying funds of the Variable Account indirectly bear exposure to the market, credit,
|
and liquidity risks of the portfolios in which they invest. These financial statements and footnotes should be read
|
in conjunction with the financial statements and footnotes contained in the Annual Reports of the funds, which
|
are distributed by the Company to the contractholders.
|
Note 3. Purchases and Sales of Investments
|
The cost of purchases (including distributions received and reinvested) and proceeds from sales of investments
|
for the year ended December 31, 2011, were as follows:
|
Fund | Purchases | Sales | ||
Alger Growth and Income Portfolio | $ | 8,591 | $ | 115,263 |
Alger Mid Cap Growth Portfolio
|
10,991
|
197,995
|
||
Alger Small Cap Growth Portfolio
|
45,631
|
162,788
|
||
Columbia Diversified Equity Income Fund
|
27,432
|
27,062
|
||
Columbia International Opportunity Fund
|
-
|
2,114
|
||
Columbia Large Cap Growth Fund
|
7,273
|
8,300
|
||
Columbia Small Cap Value Fund VS Class A
|
5,097
|
537
|
||
Invesco V.I. Capital Appreciation Fund
|
8,572
|
82,378
|
||
Invesco V.I. Core Equity Series I
|
33,802
|
280,234
|
||
Invesco V.I. Core Equity Series II
|
18,872
|
277,683
|
||
Invesco V.I. Dividend Growth Series I
|
722,528
|
798,466
|
||
Invesco V.I. Global Health Care
|
61,741
|
239,472
|
||
Invesco V.I. Government Series I
|
38,317
|
332,140
|
||
Invesco V.I. Government Series II
|
44,559
|
236,694
|
||
Invesco V.I. International Growth Series I
|
27,228
|
59,535
|
||
Invesco V.I. International Growth Series II
|
70,623
|
239,381
|
||
Invesco V.I. Money Market Fund
|
1,129,121
|
1,733,857
|
||
Invesco V.I. Technology Fund
|
36,058
|
159,061
|
||
Invesco Van Kampen V.I. Capital Growth Fund
|
-
|
12,366
|
||
Invesco Van Kampen V.I. Comstock Fund
|
302,444
|
456,969
|
||
Invesco Van Kampen V.I. Global Value Equity Fund
|
4,376
|
20,858
|
||
Invesco Van Kampen V.I. Growth and Income Fund
|
64,578
|
284,433
|
||
Invesco Van Kampen V.I. Mid Cap Value Fund
|
24,113
|
151,253
|
||
MFS/VIT Core Equity Series
|
59,651
|
198,393
|
||
MFS/VIT High Income Series
|
36,247
|
127,709
|
||
MFS/VIT High Income Series Service Class
|
13,543
|
37,359
|
||
MFS/VIT Investors Trust Series
|
22,069
|
95,836
|
||
MFS/VIT Research Series
|
19,516
|
65,194
|
||
MFS/VIT Total Return Series
|
40,502
|
238,791
|
||
MFS/VIT Utilities Series
|
2,896
|
16,046
|
||
Morgan Stanley UIF US Real Estate
|
9,429
|
64,617
|
||
Oppenheimer Capital Appreciation Fund VA
|
58,881
|
339,916
|
||
Oppenheimer Core Bond Fund VA
|
73,546
|
319,195
|
||
Oppenheimer Core Bond Fund VA Class 2
|
66,419
|
209,063
|
||
Oppenheimer Global Securities VA Class 2
|
13,522
|
1,673
|
||
Oppenheimer Main St Small & Mid-Cap Fund VA
|
2,525
|
116,364
|
||
Rydex VT Basic Materials
|
1,439
|
73
|
||
Rydex VT Consumer Products
|
3,374
|
67,625
|
||
Rydex VT Energy
|
62,379
|
86,535
|
||
Rydex VT Energy Services
|
1,165
|
79
|
||
Rydex VT Health Care
|
2,635
|
111,210
|
||
Rydex VT Leisure
|
1,727
|
8,736
|
||
Rydex VT Precious Metal
|
15,897
|
16,812
|
||
Rydex VT Retailing
|
14,230
|
115,203
|
||
Rydex VT Telecommunications
|
11,930
|
7,886
|
||
Rydex VT Transportation
|
30,082
|
30,609
|
||
T. Rowe Price Equity Income Portfolio
|
2,294
|
50,630
|
||
T. Rowe Price Mid-Cap Growth Portfolio
|
37,100
|
32,551
|
||
T. Rowe Price Personal Strategy Balanced Portfolio
|
786
|
34,220
|
Note 5. Changes in Units Outstanding
|
|||||||
The changes in units outstanding for the years ended December 31, 2011 and 2010 were as follows:
|
|||||||
|
2011 |
2010
|
|||||
Fund
|
Units Issued*
|
Units Redeemed*
|
Net Increase (Decrease)*
|
Units Issued*
|
Units Redeemed*
|
Net Increase
(Decrease)*
|
|
Alger Growth and Income Portfolio
|
-
|
9,006
|
(9,006)
|
3,904
|
8,608
|
(4,704)
|
|
Alger Mid Cap Growth Portfolio
|
895
|
13,340
|
(12,445)
|
1,349
|
9,308
|
(7,959)
|
|
Alger Small Cap Growth Portfolio
|
3,156
|
12,366
|
(9,210)
|
-
|
28,722
|
(28,722)
|
|
Columbia Diversified Equity Income Fund
|
2,688
|
1,862
|
826
|
-
|
23
|
(23)
|
|
Columbia International Opportunity Fund
|
-
|
113
|
(113)
|
-
|
1
|
(1)
|
|
Columbia Large Cap Growth Fund
|
722
|
920
|
(198)
|
-
|
810
|
(810)
|
|
Columbia Small Cap Value Fund VS Class A
|
-
|
16
|
(16)
|
-
|
15
|
(15)
|
|
Invesco V.I. Capital Appreciation Fund
|
998
|
9,174
|
(8,176)
|
8
|
10,051
|
(10,043)
|
|
Invesco V.I. Core Equity Series I
|
792
|
24,295
|
(23,503)
|
7,567
|
64,964
|
(57,397)
|
|
Invesco V.I. Core Equity Series II
|
577
|
18,127
|
(17,550)
|
1,686
|
15,723
|
(14,037)
|
|
Invesco V.I. Dividend Growth Series I
|
71,659
|
129,157
|
(57,498)
|
32,959
|
65,925
|
(32,966)
|
|
Invesco V.I. Global Health Care
|
-
|
15,453
|
(15,453)
|
1,941
|
5,156
|
(3,215)
|
|
Invesco V.I. Government Series I
|
-
|
26,279
|
(26,279)
|
1,038
|
15,355
|
(14,317)
|
|
Invesco V.I. Government Series II
|
-
|
15,628
|
(15,628)
|
6,622
|
23,120
|
(16,498)
|
|
Invesco V.I. International Growth Series I
|
1,645
|
4,871
|
(3,226)
|
223
|
15,208
|
(14,985)
|
|
Invesco V.I. International Growth Series II
|
2,831
|
11,335
|
(8,504)
|
525
|
20,849
|
(20,324)
|
|
Invesco V.I. Money Market Fund
|
101,939
|
156,482
|
(54,543)
|
275,055
|
462,792
|
(187,737)
|
|
Invesco V.I. Technology Fund
|
3,829
|
19,669
|
(15,840)
|
37,924
|
70,369
|
(32,445)
|
|
Invesco Van Kampen V.I. Capital Growth Fund
|
-
|
1,042
|
(1,042)
|
776
|
2,801
|
(2,025)
|
|
Invesco Van Kampen V.I. Comstock Fund
|
27,722
|
29,921
|
(2,199)
|
18
|
7,909
|
(7,891)
|
|
Invesco Van Kampen V.I. Global Value Equity Fund
|
7
|
2,208
|
(2,201)
|
1,435
|
10,827
|
(9,392)
|
|
Invesco Van Kampen V.I. Growth and Income Fund
|
103
|
16,282
|
(16,179)
|
281
|
12,870
|
(12,589)
|
|
Invesco Van Kampen V.I. Mid Cap Value Fund
|
978
|
6,882
|
(5,904)
|
2,264
|
11,953
|
(9,689)
|
|
MFS/VIT Core Equity Series
|
45
|
16,784
|
(16,739)
|
1,742
|
6,299
|
(4,557)
|
|
MFS/VIT High Income Series
|
-
|
9,288
|
(9,288)
|
-
|
96,191
|
(96,191)
|
|
MFS/VIT High Income Series Service Class
|
184
|
2,150
|
(1,966)
|
470
|
6,741
|
(6,271)
|
|
MFS/VIT Investors Trust Series
|
1,609
|
8,230
|
(6,621)
|
250
|
15,786
|
(15,536)
|
|
MFS/VIT Research Series
|
191.00
|
4,641
|
(4,450)
|
-
|
15,184
|
(15,184)
|
|
MFS/VIT Total Return Series
|
868
|
18,333
|
(17,465)
|
11,944
|
43,928
|
(31,984)
|
|
MFS/VIT Utilities Series
|
-
|
599
|
(599)
|
1,704
|
3,680
|
(1,976)
|
|
Morgan Stanley UIF U.S. Real Estate
|
-
|
2,340
|
(2,340)
|
3,686
|
10,574
|
(6,888)
|
|
Oppenheimer Capital Appreciation Fund VA
|
101
|
24,229
|
(24,128)
|
1,711
|
22,786
|
(21,075)
|
|
Oppenheimer Core Bond Fund VA
|
-
|
31,391
|
(31,391)
|
-
|
64,808
|
(64,808)
|
|
Oppenheimer Core Bond Fund VA Class 2
|
-
|
18,079
|
(18,079)
|
14,570
|
54,437
|
(39,867)
|
|
Oppenheimer Global Securities VA Class 2
|
833
|
99
|
734
|
89
|
5,585
|
(5,496)
|
|
Oppenheimer Main Street Small & Mid-Cap Fund VA
|
36
|
5,852
|
(5,816)
|
1,292
|
6,351
|
(5,059)
|
|
Rydex VT Basic Materials
|
34
|
1
|
33
|
36
|
1,506
|
(1,470)
|
|
Rydex VT Consumer Products
|
-
|
4,004
|
(4,004)
|
2,556
|
9,113
|
(6,557)
|
|
Rydex VT Energy
|
1,902
|
2,196
|
(294)
|
3,769
|
10,940
|
(7,171)
|
|
Rydex VT Energy Services
|
31
|
1
|
30
|
39
|
1,527
|
(1,488)
|
|
Rydex VT Health Care
|
-
|
7,589
|
(7,589)
|
14,175
|
24,253
|
(10,078)
|
|
Rydex VT Leisure
|
102
|
612
|
(510)
|
676
|
2,080
|
(1,404)
|
|
Rydex VT Precious Metal
|
578
|
570
|
8
|
31
|
4,451
|
(4,420)
|
|
Rydex VT Retailing
|
-
|
7,488
|
(7,488)
|
10,995
|
30,376
|
(19,381)
|
|
Rydex VT Telecommunications
|
847
|
655
|
192
|
1,406
|
3,359
|
(1,953)
|
|
Rydex VT Transportation
|
2,920
|
2,250
|
670
|
1,289
|
12,977
|
(11,688)
|
|
T Rowe Price Equity Income Portfolio
|
64.00
|
4,511
|
(4,447)
|
-
|
2,044
|
(2,044)
|
|
T Rowe Price Mid Cap Growth Portfolio
|
83.00
|
1,052
|
(969)
|
-
|
4,739
|
(4,739)
|
|
T Rowe Price Personal Strategy Balance Portfolio
|
-
|
3,308
|
(3,308)
|
-
|
93
|
(93)
|
|
*Units issued and redeemed include transfers in and transfers out, respectively.
|
Note 6. Financial Highlights
|
||||||||||||||||||||||||
A summary of unit value, number of outstanding units and net assets for the variable annuity contracts, the investment income
|
||||||||||||||||||||||||
ratio, expense ratio, and total return, excluding expenses of the underlying funds, for each of the five years in the period ended
|
||||||||||||||||||||||||
December 31, 2011, are as follows. Unit Values are rounded to two decimal places. Number of units are rounded to the
|
||||||||||||||||||||||||
nearest whole unit.
|
||||||||||||||||||||||||
At year end
|
For the year ended
|
|||||||||||||||||||||||
Investment Income | ||||||||||||||||||||||||
Number of | Net Assets |
Ratio*
|
Expense
|
|
||||||||||||||||||||
December 31, 2011
|
Units
|
Unit Value
|
(000s)
|
Ratio***
|
Total Return*** | |||||||||||||||||||
Alger Growth and Income Portfolio
|
18,828 | $ | 9.59 - 13.51 | $ | 210 | 1.67 | % | 1.25% - 1.40 | % | 5.02% - 6.51 | % | |||||||||||||
Alger Mid Cap Growth Portfolio
|
39,617 | 7.47 - 16.73 | 463 | 0.33 | % | 1.25% - 1.40 | % | -9.56% - -8.27 | % | |||||||||||||||
Alger Small Cap Growth Portfolio
|
50,422 | 9.93 - 11.55 | 513 | - | 1.25% - 1.40 | % | -4.54% - -3.18 | % | ||||||||||||||||
Columbia Diversified Equity Income Fund
|
2,665 | 8.75 | 23 | 2.03 | % | 1.40 | % | - | ||||||||||||||||
Columbia International Opportunity Fund
|
- | - | - | - | - | - | ||||||||||||||||||
Columbia Large Cap Growth Fund
|
716 | 8.81 | 6 | 0.46 | % | 1.40 | % | - | ||||||||||||||||
Columbia Small Cap Value Fund VS Class A
|
1,212 | 34.09 | 41 | 0.99 | % | 1.40 | % | -5.96 | % | |||||||||||||||
Invesco V.I. Capital Appreciation Fund
|
6,248 | 7.56 - 7.63 | 48 | 0.11 | % | 1.25% - 1.40 | % | -9.20% - -7.91 | % | |||||||||||||||
Invesco V.I. Core Equity Series I
|
122,082 | 9.43 - 11.03 | 1,169 | 0.91 | % | 1.25% - 1.40 | % | -1.46%- -0.06 | % | |||||||||||||||
Invesco V.I. Core Equity Series II
|
28,894 | 13.77 | 398 | 0.68 | % | 1.40 | % | -1.69 | % | |||||||||||||||
Invesco V.I. Dividend Growth Series I
|
66,148 | 9.14 - 9.15 | 604 | 0.21 | % | 1.25% - 1.40 | % | - | ||||||||||||||||
Invesco V.I. Global Health Care
|
5,813 | 10.11 - 11.71 | 66 | - | 1.25% - 1.40 | % | 2.50% - 3.95 | % | ||||||||||||||||
Invesco V.I. Government Series I
|
26,548 | 11.97 - 18.92 | 346 | 4.06 | % | 1.25% - 1.40 | % | 6.40% - 7.91 | % | |||||||||||||||
Invesco V.I. Government Series II
|
40,442 | 13.59 | 549 | 3.73 | % | 1.40 | % | 6.13 | % | |||||||||||||||
Invesco V.I. International Growth Series I
|
43,675 | 8.53 - 17.90 | 455 | 1.57 | % | 1.25% - 1.40 | % | -8.04% - -6.74 | % | |||||||||||||||
Invesco V.I. International Growth Series II
|
42,642 | 17.15 | 731 | 1.26 | % | 1.40 | % | -8.29 | % | |||||||||||||||
Invesco V.I. Money Market Fund
|
113,627 | 9.68 - 11.56 | 1,166 | 0.05 | % | 1.25% - 1.40 | % | -1.35% - 0.05 | % | |||||||||||||||
Invesco V.I. Technology Fund
|
127,333 | 6.21 - 10.08 | 793 | 0.18 | % | 1.25% - 1.40 | % | -6.38% - -5.05 | % | |||||||||||||||
Invesco Van Kampen V.I. Capital Growth Fund
|
3,220 | 10.28 | 33 | - | 1.40 | % | -7.70 | % | ||||||||||||||||
Invesco Van Kampen V.I. Comstock Fund
|
22,270 | 8.90 - 8.98 | 198 | 2.68 | % | 1.25% - 1.40 | % | - | ||||||||||||||||
Invesco Van Kampen V.I. Global Value Equity Fund
|
10,164 | 6.99 - 12.86 | 103 | 3.41 | % | 1.25% - 1.40 | % | -12.13% - -10.89 | % | |||||||||||||||
Invesco Van Kampen V.I. Growth and Income Fund
|
15,308 | 13.81 | 211 | 0.71 | % | 1.40 | % | -3.63 | % | |||||||||||||||
Invesco Van Kampen V.I. Mid Cap Value Fund
|
26,686 | 10.06 - 23.21 | 454 | 0.66 | % | 1.25% - 1.40 | % | -0.49% - 0.92 | % | |||||||||||||||
MFS/VIT Core Equity Series
|
11,724 | 8.79 - 10.09 | 111 | 1.01 | % | 1.25% - 1.40 | % | -2.40% - -1.02 | % | |||||||||||||||
MFS/VIT High Income Series
|
23,171 | 11.76 - 18.21 | 327 | 8.90 | % | 1.25% - 1.40 | % | 2.65% - 4.10 | % | |||||||||||||||
MFS/VIT High Income Series Service Class
|
5,758 | 15.70 | 90 | 8.25 | % | 1.40 | % | 2.40 | % | |||||||||||||||
MFS/VIT Investors Trust Series
|
37,513 | 8.92 - 11.67 | 361 | 0.89 | % | 1.25% - 1.40 | % | -3.55% - -2.18 | % | |||||||||||||||
MFS/VIT Research Series
|
13,214 | 9.42 - 11.59 | 134 | 0.87 | % | 1.25% - 1.40 | % | -1.84% - -0.45 | % | |||||||||||||||
MFS/VIT Total Return Series
|
79,853 | 10.05 - 17.32 | 930 | 2.59 | % | 1.25% - 1.40 | % | 0.35% - 1.77 | % | |||||||||||||||
MFS/VIT Utilities Series
|
3,735 | 24.35 | 91 | 2.98 | % | 1.40 | % | 5.02 | % | |||||||||||||||
Morgan Stanley UIF US Real Estate
|
13,571 | 21.92 | 298 | 0.82 | % | 1.40 | % | 4.44 | % | |||||||||||||||
Oppenheimer Capital Appreciation Fund VA
|
54,373 | 8.27 - 13.59 | 575 | 0.40 | % | 1.25% - 1.40 | % | -2.53% - -1.15 | % | |||||||||||||||
Oppenheimer Core Bond Fund VA
|
74,029 | 7.66 - 12.59 | 724 | 6.34 | % | 1.25% - 1.40 | % | 6.76% - 8.27 | % | |||||||||||||||
Oppenheimer Core Bond Fund VA Class 2
|
43,111 | 9.49 | 409 | 6.60 | % | 1.40 | % | 6.42 | % | |||||||||||||||
Oppenheimer Global Securities VA Class 2
|
1,845 | 14.13 | 26 | 1.07 | % | 1.40 | % | -9.81 | % | |||||||||||||||
Oppenheimer Main St Small & Mid-Cap Fund VA
|
22,032 | 9.98 - 24.21 | 321 | 0.63 | % | 1.25% - 1.40 | % | 3.58% - -2.21 | % | |||||||||||||||
Rydex VT Basic Materials
|
289 | 17.04 | 5 | - | 1.40 | % | -17.63 | % | ||||||||||||||||
Rydex VT Consumer Products
|
12,753 | 16.71 | 213 | 1.36 | % | 1.40 | % | 12.17 | % | |||||||||||||||
Rydex VT Energy
|
15,247 | 19.99 | 305 | - | 1.40 | % | -7.16 | % | ||||||||||||||||
Rydex VT Energy Services
|
256 | 17.74 | 5 | - | 1.40 | % | -10.56 | % | ||||||||||||||||
Rydex VT Health Care
|
35,969 | 12.63 | 454 | - | 1.40 | % | 3.23 | % | ||||||||||||||||
Rydex VT Leisure
|
2,247 | 11.88 | 27 | - | 1.40 | % | 1.02 | % | ||||||||||||||||
Rydex VT Precious Metal
|
4,311 | 19.23 | 83 | 0.07 | % | 1.40 | % | -25.22 | % | |||||||||||||||
Rydex VT Retailing
|
36,651 | 12.67 | 464 | - | 1.40 | % | 3.83 | % | ||||||||||||||||
Rydex VT Telecommunications
|
6,248 | 9.88 | 62 | 1.19 | % | 1.40 | % | -15.60 | % | |||||||||||||||
Rydex VT Transportation
|
20,033 | 11.39 | 228 | - | 1.40 | % | -12.36 | % | ||||||||||||||||
T. Rowe Price Equity Income Portfolio
|
9,906 | 9.13 - 17.42 | 93 | 1.63 | % | 1.25% - 1.40 | % | -1.95% - -0.71 | % | |||||||||||||||
T. Rowe Price Mid-Cap Growth Portfolio
|
23,252 | 10.69 - 27.58 | 294 | - | 1.25% - 1.40 | % | -2.50% - -1.27 | % | ||||||||||||||||
T. Rowe Price Personal Strategy Bal Portfolio
|
900 | 10.25 - 18.40 | 13 | 1.74 | % | 1.25% - 1.40 | % | -1.57% - -0.32 | % |
Note 6. Financial Highlights (continued)
|
||||||||||||||||||||||||
At year end
|
For the year ended
|
|||||||||||||||||||||||
Investment Income | ||||||||||||||||||||||||
Number of | Net Assets |
Ratio*
|
Expense
|
|
||||||||||||||||||||
December 31, 2010
|
Units
|
Unit Value
|
(000s)
|
Ratio** | Total Return*** | |||||||||||||||||||
Alger Growth and Income Portfolio
|
27,834 | $ | 9.12 - 12.68 | $ | 302 | 1.44 | % | 1.25% - 1.65 | % | 10.50% - 12.27 | % | |||||||||||||
Alger Mid Cap Growth Portfolio
|
52,062 | 8.24 - 18.23 | 684 | - | 1.25% - 1.65 | % | 17.51% - 19.38 | % | ||||||||||||||||
Alger Small Cap Growth Portfolio
|
59,632 | 10.39 - 11.93 | 634 | - | 1.25% - 1.65 | % | 23.32% - 25.29 | % | ||||||||||||||||
Columbia Diversified Equity Income Fund
|
1,839 | 13.82 | 25 | 1.54 | % | 1.40 | % | 14.99 | % | |||||||||||||||
Columbia International Opportunity Fund
|
113 | 18.42 | 2 | 3.90 | % | 1.40 | % | 8.85 | % | |||||||||||||||
Columbia Large Cap Growth Fund
|
914 | 8.04 | 7 | 0.49 | % | 1.40 | % | 17.50 | % | |||||||||||||||
Columbia Small Cap Value Fund VS Class A
|
1,228 | 36.25 | 45 | 1.27 | % | 1.40 | % | 26.75 | % | |||||||||||||||
Invesco V.I. Capital Appreciation Fund
|
14,424 | 8.31 - 8.40 | 121 | 0.64 | % | 1.25% - 1.65 | % | 13.67% - 15.49 | % | |||||||||||||||
Invesco V.I. Core Equity Series I
|
145,585 | 9.55 - 11.03 | 1,417 | 0.92 | % | 1.25% - 1.65 | % | 7.83% - 9.56 | % | |||||||||||||||
Invesco V.I. Core Equity Series II
|
46,444 | 14.01 | 651 | 0.78 | % | 1.65 | % | 7.53% - 7.72 | % | |||||||||||||||
Invesco V.I. Dividend Growth Series I
|
123,646 | 5.59 - 6.31 | 693 | 0.10 | % | 1.25% - 1.65 | % | 8.58% - 10.32 | % | |||||||||||||||
Invesco V.I. Global Health Care
|
21,266 | 9.85 - 11.43 | 241 | - | 1.25% - 1.65 | % | 3.64% - 5.29 | % | ||||||||||||||||
Invesco V.I. Government Series I
|
52,827 | 11.23 - 17.53 | 622 | 4.50 | % | 1.25% - 1.40 | % | 3.93% - 5.40 | % | |||||||||||||||
Invesco V.I. Government Series II
|
56,070 | 12.80 | 718 | 4.09 | % | 1.65 | % | 3.45% - 3.63 | % | |||||||||||||||
Invesco V.I. International Growth Series I
|
46,901 | 9.27 - 19.20 | 526 | 2.12 | % | 1.25% - 1.40 | % | 11.28% - 12.86 | % | |||||||||||||||
Invesco V.I. International Growth Series II
|
51,146 | 18.70 | 956 | 1.74 | % | 1.65 | % | 10.84% - 11.03 | % | |||||||||||||||
Invesco V.I. Money Market Fund
|
168,170 | 9.80 - 11.55 | 1,771 | 0.20 | % | 1.25% - 1.65 | % | -1.40% - 0.17 | % | |||||||||||||||
Invesco V.I. Technology Fund
|
143,173 | 6.63 - 10.75 | 952 | - | 1.25% - 1.65 | % | 19.40% - 21.30 | % | ||||||||||||||||
Invesco Van Kampen V.I. Capital Growth Fund
|
4,262 | 11.13 | 47 | - | 1.55 | % | 17.69% - 17.89 | % | ||||||||||||||||
Invesco Van Kampen V.I. Comstock Fund
|
24,469 | 10.01 - 17.86 | 354 | 1.44 | % | 1.25% - 1.65 | % | 13.93% - 15.74 | % | |||||||||||||||
Invesco Van Kampen V.I. Global Value Equity Fund
|
12,365 | 7.94 - 14.43 | 139 | 1.96 | % | 1.25% - 1.55 | % | 9.20% - 10.95 | % | |||||||||||||||
Invesco Van Kampen V.I. Growth and Income Fund
|
31,487 | 14.33 | 451 | 0.11 | % | 1.65 | % | 10.43% - 10.62 | % | |||||||||||||||
Invesco Van Kampen V.I. Mid Cap Value Fund
|
32,590 | 10.10 - 22.99 | 574 | 0.94 | % | 1.25% - 1.65 | % | 20.32% - 22.24 | % | |||||||||||||||
MFS/VIT Core Equity Series
|
28,463 | 9.00 - 10.19 | 264 | 1.05 | % | 1.25% - 1.65 | % | 15.37% - 17.21 | % | |||||||||||||||
MFS/VIT High Income Series
|
32,459 | 11.44 - 17.49 | 438 | 8.13 | % | 1.25% - 1.65 | % | 12.93% - 14.73 | % | |||||||||||||||
MFS/VIT High Income Series Service Class
|
7,724 | 15.33 | 118 | 8.43 | % | 1.65 | % | 12.60% - 12.80 | % | |||||||||||||||
MFS/VIT Investors Trust Series
|
44,134 | 9.24 - 11.93 | 442 | 1.28 | % | 1.25% - 1.65 | % | 9.35% - 11.10 | % | |||||||||||||||
MFS/VIT Research Series
|
17,664 | 9.58 - 11.64 | 183 | 1.17 | % | 1.25% - 1.55 | % | 14.07% - 15.90 | % | |||||||||||||||
MFS/VIT Total Return Series
|
97,318 | 10.00 - 17.02 | 1,136 | 2.71 | % | 1.25% - 1.65 | % | 8.20% - 9.93 | % | |||||||||||||||
MFS/VIT Utilities Series
|
4,334 | 23.18 | 100 | 3.44 | % | 1.65 | % | 11.73% - 11.92 | % | |||||||||||||||
Morgan Stanley UIF US Real Estate
|
15,911 | 20.99 | 334 | 2.20 | % | 1.65 | % | 27.92% - 28.14 | % | |||||||||||||||
Oppenheimer Capital Appreciation Fund VA
|
78,501 | 8.47 - 13.75 | 871 | 0.19 | % | 1.25% - 1.65 | % | 7.70% - 9.42 | % | |||||||||||||||
Oppenheimer Core Bond Fund VA
|
105,420 | 7.17 - 11.63 | 955 | 2.16 | % | 1.25% - 1.65 | % | 9.66% - 11.41 | % | |||||||||||||||
Oppenheimer Core Bond Fund VA Class 2
|
61,190 | 8.92 | 546 | 1.86 | % | 1.65 | % | 9.53% - 9.72 | % | |||||||||||||||
Oppenheimer Global Securities VA Class 2
|
1,111 | 15.67 | 17 | 1.94 | % | 1.65 | % | 13.88% - 14.08 | % | |||||||||||||||
Oppenheimer Main St Small & Mid-Cap Fund VA
|
27,848 | 10.33 - 24.75 | 442 | 0.67 | % | 1.25% - 1.65 | % | 21.47% - 23.41 | % | |||||||||||||||
Rydex VT Basic Materials
|
256 | 20.69 | 5 | 0.13 | % | 1.40 | % | 24.68% - 24.90 | % | |||||||||||||||
Rydex VT Consumer Products
|
16,757 | 14.90 | 250 | 1.24 | % | 1.65 | % | 15.44% - 15.64 | % | |||||||||||||||
Rydex VT Energy
|
15,541 | 21.53 | 335 | 0.48 | % | 1.65 | % | 17.18% - 17.39 | % | |||||||||||||||
Rydex VT Energy Services
|
226 | 19.84 | 4 | - | 1.40 | % | 24.07% - 24.28 | % | ||||||||||||||||
Rydex VT Health Care
|
43,558 | 12.24 | 533 | 0.27 | % | 1.65 | % | 5.09% - 5.27 | % | |||||||||||||||
Rydex VT Leisure
|
2,757 | 11.76 | 32 | 0.09 | % | 1.65 | % | 28.30% - 28.52 | % | |||||||||||||||
Rydex VT Precious Metal
|
4,303 | 25.71 | 111 | - | 1.65 | % | 35.91% - 36.15 | % | ||||||||||||||||
Rydex VT Retailing
|
44,139 | 12.2 | 539 | - | 1.65 | % | 23.17% - 23.39 | % | ||||||||||||||||
Rydex VT Telecommunications
|
6,056 | 11.71 | 71 | 1.57 | % | 1.65 | % | 12.71% - 12.91 | % | |||||||||||||||
Rydex VT Transportation
|
19,363 | 12.99 | 252 | 0.00 | % | 1.65 | % | 22.18% - 22.40 | % | |||||||||||||||
T. Rowe Price Equity Income Portfolio
|
14,353 | 9.31 - 17.55 | 143 | 1.91 | % | 1.25% - 1.40 | % | 13.41% - 15.02 | % | |||||||||||||||
T. Rowe Price Mid-Cap Growth Portfolio
|
24,221 | 10.96 - 27.94 | 326 | - | 1.25% - 1.40 | % | 26.32% - 28.12 | % | ||||||||||||||||
T. Rowe Price Personal Strategy Bal Portfolio
|
4,208 | 10.41 - 18.46 | 47 | 2.36 | % | 1.25% - 1.40 | % | 12.12% - 13.71 | % | |||||||||||||||
Note 6. Financial Highlights (continued)
|
||||||||||||||||||||||||
At year end
|
For the year ended
|
|||||||||||||||||||||||
Investment Income | ||||||||||||||||||||||||
Number of | Net Assets |
Ratio*
|
Expense
|
|
||||||||||||||||||||
December 31, 2009
|
Units
|
Unit Value
|
(000s)
|
Ratio** | Total Return*** | |||||||||||||||||||
Alger Growth and Income Portfolio
|
32,532 | $ | 8.23 - 11.30 | $ | 312 | 2.69 | % | 1.25% - 1.65 | % | 29.99% - 32.17 | % | |||||||||||||
Alger Mid Cap Growth Portfolio
|
60,023 | 6.99 - 15.27 | 675 | - | 1.25% - 1.65 | % | 49.20% - 51.70 | % | ||||||||||||||||
Alger Small Cap Growth Portfolio
|
88,287 | 8.39 - 15.67 | 776 | - | 1.25% - 1.65 | % | 43.11% - 45.51 | % | ||||||||||||||||
Columbia Diversified Equity Income Fund
|
1,862 | 12.02 | 22 | 2.97 | % | 1.40 | % | 23.99 | % | |||||||||||||||
Columbia International Opportunity Fund
|
114 | 16.92 | 2 | 0.52 | % | 1.40 | % | 30.34 | % | |||||||||||||||
Columbia Large Cap Growth Fund
|
1,724 | 6.84 | 12 | 0.66 | % | 1.40 | % | 34.81 | % | |||||||||||||||
Columbia Small Cap Value Fund VS Class A
|
1,243 | 28.60 | 36 | 1.18 | % | 1.40 | % | 25.16 | % | |||||||||||||||
Invesco V.I. Capital Appreciation Fund
|
24,467 | 7.29 - 7.77 | 180 | 0.62 | % | 1.25% - 1.65 | % | 19.08% - 21.08 | % | |||||||||||||||
Invesco V.I. Core Equity Series I
|
202,982 | 8.83 - 10.07 | 1,847 | 1.60 | % | 1.25% - 1.65 | % | 26.18% - 28.30 | % | |||||||||||||||
Invesco V.I. Core Equity Series II
|
60,419 | 12.74 - 13.10 | 784 | 1.45 | % | 1.40% - 1.65 | % | 25.87% - 26.19 | % | |||||||||||||||
Invesco V.I. Dividend Growth Series I
|
156,604 | 5.14 - 5.79 | 821 | 2.88 | % | 1.25% - 1.65 | % | 25.32% - 25.84 | % | |||||||||||||||
Invesco V.I. Global Health Care
|
24,481 | 9.48 - 11.02 | 265 | 0.32 | % | 1.25% - 1.65 | % | 25.57% - 26.08 | % | |||||||||||||||
Invesco V.I. Government Series I
|
67,146 | 10.79 - 16.63 | 765 | 4.99 | % | 1.25% - 1.40 | % | -1.26% - -0.01 | % | |||||||||||||||
Invesco V.I. Government Series II
|
72,445 | 12.10 - 12.35 | 893 | 3.59 | % | 1.40% - 1.65 | % | -1.91% - -1.66 | % | |||||||||||||||
Invesco V.I. International Growth Series I
|
61,886 | 8.31 - 17.01 | 626 | 1.44 | % | 1.25% - 1.40 | % | 33.55% - 35.24 | % | |||||||||||||||
Invesco V.I. International Growth Series II
|
71,394 | 16.49 - 16.84 | 1,200 | 1.20 | % | 1.40% - 1.65 | % | 32.69% - 33.02 | % | |||||||||||||||
Invesco V.I. Money Market Fund
|
355,909 | 9.91 - 11.53 | 3,769 | 0.11 | % | 1.25% - 1.65 | % | -1.54% - 0.11 | % | |||||||||||||||
Invesco V.I. Technology Fund
|
175,605 | 5.55 - 9.47 | 1,089 | - | 1.25% - 1.65 | % | 54.80% - 55.43 | % | ||||||||||||||||
Invesco Van Kampen V.I. Capital Growth Fund
|
6,287 | 9.25 - 9.44 | 59 | - | 1.40% - 1.65 | % | 62.91% - 63.32 | % | ||||||||||||||||
Invesco Van Kampen V.I. Comstock Fund
|
32,360 | 8.76 - 15.43 | 396 | 3.50 | % | 1.25% - 1.65 | % | 28.84% - 31.00 | % | |||||||||||||||
Invesco Van Kampen V.I. Global Value Equity Fund
|
21,747 | 7.25 - 13.00 | 227 | 8.06 | % | 1.25% - 1.55 | % | 14.14% - 15.99 | % | |||||||||||||||
Invesco Van Kampen V.I. Growth and Income Fund
|
44,075 | 12.69 - 12.96 | 570 | 3.59 | % | 1.40% - 1.65 | % | 22.06% - 22.37 | % | |||||||||||||||
Invesco Van Kampen V.I. Mid Cap Value Fund
|
42,275 | 8.37 - 18.81 | 608 | 1.37 | % | 1.25% - 1.65 | % | 36.91% - 39.21 | % | |||||||||||||||
MFS/VIT Core Equity Series
|
33,021 | 7.79 - 10.35 | 267 | 1.83 | % | 1.25% - 1.65 | % | 30.25% - 32.43 | % | |||||||||||||||
MFS/VIT High Income Series
|
128,630 | 10.10 - 15.25 | 1,676 | 13.00 | % | 1.25% - 1.65 | % | 43.15% - 45.55 | % | |||||||||||||||
MFS/VIT High Income Series Service Class
|
13,991 | 13.33 - 13.59 | 190 | 7.70 | % | 1.40% - 1.65 | % | 42.83% - 43.19 | % | |||||||||||||||
MFS/VIT Investors Trust Series
|
59,669 | 8.42 - 11.28 | 554 | 1.86 | % | 1.25% - 1.65 | % | 24.80% - 26.90 | % | |||||||||||||||
MFS/VIT Research Series
|
32,849 | 8.37 - 11.71 | 294 | 1.04 | % | 1.25% - 1.55 | % | 28.52% - 30.54 | % | |||||||||||||||
MFS/VIT Total Return Series
|
129,303 | 9.21 - 15.48 | 1,420 | 4.03 | % | 1.25% - 1.65 | % | 16.08% - 18.03 | % | |||||||||||||||
MFS/VIT Utilities Series
|
6,308 | 20.31 - 20.71 | 130 | 4.55 | % | 1.40% - 1.65 | % | 30.68% - 31.01 | % | |||||||||||||||
Morgan Stanley UIF US Real Estate
|
22,794 | 16.06 - 16.60 | 372 | 3.33 | % | 1.40% - 1.65 | % | 26.23% - 26.56 | % | |||||||||||||||
Oppenheimer Capital Appreciation Fund VA
|
99,577 | 7.84 - 12.57 | 1,033 | 0.34 | % | 1.25% - 1.65 | % | 42.13% - 44.52 | % | |||||||||||||||
Oppenheimer Core Bond Fund VA
|
170,133 | 6.51 - 10.44 | 1,402 | - | 1.25% - 1.65 | % | 7.80% - 9.61 | % | ||||||||||||||||
Oppenheimer Core Bond Fund VA Class 2
|
101,047 | 7.97 - 8.13 | 819 | - | 1.40% - 1.65 | % | 7.25% - 7.52 | % | ||||||||||||||||
Oppenheimer Global Securities VA Class 2
|
6,607 | 13.47 - 13.73 | 91 | 1.71 | % | 1.40% - 1.65 | % | 37.06% - 37.40 | % | |||||||||||||||
Oppenheimer Main St Small & Mid-Cap Fund VA
|
32,907 | 8.48 - 20.06 | 446 | 1.01 | % | 1.25% - 1.65 | % | 34.93% - 37.20 | % | |||||||||||||||
Rydex VT Basic Materials
|
1,726 | 16.57 | 29 | 0.24 | % | 1.40 | % | 53.28 | % | |||||||||||||||
Rydex VT Consumer Products
|
23,300 | 12.63 - 12.88 | 299 | 1.84 | % | 1.40% - 1.65 | % | 17.15% - 17.45 | % | |||||||||||||||
Rydex VT Energy
|
22,701 | 17.99 - 18.34 | 415 | - | 1.40% - 1.65 | % | 36.21% - 36.56 | % | ||||||||||||||||
Rydex VT Energy Services
|
1,715 | 15.96 | 27 | - | 1.40 | % | 60.15 | % | ||||||||||||||||
Rydex VT Health Care
|
53,628 | 11.40 - 11.62 | 620 | - | 1.40% - 1.65 | % | 22.59% - 22.90 | % | ||||||||||||||||
Rydex VT Leisure
|
4,161 | 8.97 - 9.15 | 38 | - | 1.40% - 1.65 | % | 34.47% - 34.81 | % | ||||||||||||||||
Rydex VT Precious Metal
|
8,718 | 18.52 - 18.89 | 164 | - | 1.40% - 1.65 | % | 46.78% - 47.15 | % | ||||||||||||||||
Rydex VT Retailing
|
63,510 | 9.70 - 9.89 | 625 | - | 1.40% - 1.65 | % | 41.85% - 42.21 | % | ||||||||||||||||
Rydex VT Telecommunications
|
8,008 | 10.17 - 10.37 | 83 | 4.50 | % | 1.40% - 1.65 | % | 26.56% - 26.88 | % | |||||||||||||||
Rydex VT Transportation
|
31,041 | 10.41 - 10.62 | 328 | 1.11 | % | 1.40% - 1.65 | % | 15.45% - 15.74 | % | |||||||||||||||
T. Rowe Price Equity Income Portfolio
|
16,397 | 8.20 - 15.26 | 143 | 1.96 | % | 1.25% - 1.40 | % | 24.03% - 25.60 | % | |||||||||||||||
T. Rowe Price Mid-Cap Growth Portfolio
|
28,960 | 8.67 - 21.81 | 327 | - | 1.25% - 1.40 | % | 43.83% - 45.65 | % | ||||||||||||||||
T. Rowe Price Personal Strategy Bal Portfolio
|
4,302 | 9.27 - 16.23 | 43 | 2.18 | % | 1.25% - 1.40 | % | 30.47% - 32.12 | % | |||||||||||||||
Note 6. Financial Highlights (continued)
|
||||||||||||||||||||||||
At year end
|
For the year ended
|
|||||||||||||||||||||||
|
||||||||||||||||||||||||
Number of | Net Assets |
Investment Income
|
Expense
|
|
||||||||||||||||||||
December 31, 2008
|
Units
|
Unit Value
|
(000s)
Ratio*
|
Ratio** | Total Return*** | |||||||||||||||||||
Alger Growth and Income Portfolio
|
45,248 | $ | 6.30 - 8.55 | $ | 319 | 2.05 | % | 1.25% - 1.65 | % | -40.47% - -36.35 | % | |||||||||||||
Alger Mid Cap Growth Portfolio
|
92,669 | 4.67 - 10.07 | 680 | 0.16 | % | 1.25% - 1.65 | % | -59.05% - -53.35 | % | |||||||||||||||
Alger Small Cap Growth Portfolio
|
117,859 | 5.84 - 10.94 | 818 | - | 1.25% - 1.65 | % | -47.48% - -41.55 | % | ||||||||||||||||
Columbia Asset Allocation VS Class A
|
451 | 10.22 | 5 | 3.08 | % | 1.40 | % | -28.32 | % | |||||||||||||||
Columbia Diversified Equity Income Fund
|
1,886 | 9.70 | 18 | 2.43 | % | 1.40 | % | -37.08 | % | |||||||||||||||
Columbia International Opportunity Fund
|
116 | 12.98 | 2 | 3.03 | % | 1.40 | % | -44.82 | % | |||||||||||||||
Columbia Large Cap Growth Fund
|
1,957 | 5.07 | 10 | 0.29 | % | 1.40 | % | -40.46 | % | |||||||||||||||
Columbia Small Cap Value Fund VS Class A
|
1,259 | 22.85 | 29 | 0.71 | % | 1.40 | % | -28.01 | % | |||||||||||||||
Invesco V.I. Capital Appreciation Fund
|
35,555 | 6.09 - 6.42 | 219 | - | 1.25% - 1.65 | % | 43.45% - -39.32 | % | ||||||||||||||||
Invesco V.I. Core Equity Series I
|
302,106 | 6.97 - 7.91 | 2,208 | 1.66 | % | 1.25% - 1.65 | % | 31.31% - -30.00 | % | |||||||||||||||
Invesco V.I. Core Equity Series II
|
77,969 | 10.12 - 10.31 | 799 | 1.54 | % | 1.40% - 1.65 | % | 31.50% - -31.29 | % | |||||||||||||||
Invesco V.I. Dividend Growth Series I
|
176,972 | 4.09 - 4.60 | 761 | 2.49 | % | 1.25% - 1.65 | % | -60.11% - -42.01 | % | |||||||||||||||
Invesco V.I. Global Health Care
|
38,608 | 7.52 - 8.77 | 325 | - | 1.25% - 1.65 | % | -29.80% - -21.93 | % | ||||||||||||||||
Invesco V.I. Government Series I
|
80,659 | 10.93 - 16.64 | 936 | 2.42 | % | 1.25% - 1.40 | % | 8.79% - 12.31 | % | |||||||||||||||
Invesco V.I. Government Series II
|
113,258 | 12.33 - 12.56 | 1,412 | 3.36 | % | 1.40% - 1.65 | % | 10.10% - 10.37 | % | |||||||||||||||
Invesco V.I. International Growth Series I
|
82,148 | 6.23 - 12.58 | 630 | 0.39 | % | 1.25% - 1.40 | % | -41.22% - -37.68 | % | |||||||||||||||
Invesco V.I. International Growth Series II
|
103,441 | 12.43 - 12.66 | 1,301 | 0.43 | % | 1.40% - 1.65 | % | -41.54% - -41.39 | % | |||||||||||||||
Invesco V.I. Money Market Fund
|
448,626 | 10.02 - 11.52 | 4,781 | 1.92 | % | 1.25% - 1.65 | % | 0.19% - 2.03 | % | |||||||||||||||
Invesco V.I. Technology Fund
|
219,921 | 3.57 - 6.11 | 1,027 | - | 1.25% - 1.65 | % | -45.42% - -34.14 | % | ||||||||||||||||
Invesco Van Kampen V.I. Capital Growth Fund
|
8,478 | 5.68 - 5.78 | 49 | 0.24 | % | 1.40% - 1.65 | % | -49.94% - -49.81 | % | |||||||||||||||
Invesco Van Kampen V.I. Comstock Fund
|
43,895 | 6.77 - 11.78 | 410 | 3.32 | % | 1.25% - 1.65 | % | -36.93% - -31.31 | % | |||||||||||||||
Invesco Van Kampen V.I. Global Value Equity Fund
|
32,900 | 6.33 - 11.21 | 284 | 2.31 | % | 1.25% - 1.55 | % | -41.11% - -36.03 | % | |||||||||||||||
Invesco Van Kampen V.I. Growth and Income Fund
|
58,659 | 10.39 - 10.59 | 617 | 2.07 | % | 1.40% - 1.65 | % | -33.33% - -33.16 | % | |||||||||||||||
Invesco Van Kampen V.I. Mid Cap Value Fund
|
72,462 | 6.09 - 13.51 | 746 | 0.82 | % | 1.25% - 1.65 | % | -42.25% - -38.63 | % | |||||||||||||||
MFS/VIT Core Equity Series
|
43,114 | 5.97 - 7.94 | 284 | 0.83 | % | 1.25% - 1.65 | % | -40.15% - -36.94 | % | |||||||||||||||
MFS/VIT High Income Series
|
149,043 | 7.03 - 10.48 | 1,411 | 7.36 | % | 1.25% - 1.65 | % | -29.72% - -28.50 | % | |||||||||||||||
MFS/VIT High Income Series Service Class
|
29,361 | 9.33 - 9.49 | 275 | 9.02 | % | 1.40% - 1.65 | % | -29.85% - -29.65 | % | |||||||||||||||
MFS/VIT Investors Trust Series
|
94,671 | 6.72 - 9.03 | 730 | 0.84 | % | 1.25% - 1.65 | % | -34.17% - -32.37 | % | |||||||||||||||
MFS/VIT Research Series
|
25,665 | 6.50 - 9.11 | 176 | 0.51 | % | 1.25% - 1.55 | % | -37.08% - -34.50 | % | |||||||||||||||
MFS/VIT Total Return Series
|
190,736 | 7.91 - 13.12 | 1,785 | 2.95 | % | 1.25% - 1.65 | % | -23.41% - -20.73 | % | |||||||||||||||
MFS/VIT Utilities Series
|
9,546 | 15.54 - 15.81 | 150 | 1.38 | % | 1.40% - 1.65 | % | -38.83% - -38.67 | % | |||||||||||||||
Morgan Stanley UIF US Real Estate
|
27,958 | 12.72 - 12.94 | 359 | 3.46 | % | 1.40% - 1.65 | % | -38.91% - -38.77 | % | |||||||||||||||
Oppenheimer Capital Appreciation Fund VA
|
138,447 | 5.49 - 8.69 | 984 | 0.15 | % | 1.25% - 1.65 | % | -46.41% - -44.89 | % | |||||||||||||||
Oppenheimer Core Bond Fund VA
|
221,998 | 6.02 - 9.52 | 1,639 | 4.57 | % | 1.25% - 1.65 | % | -40.16% - -39.07 | % | |||||||||||||||
Oppenheimer Core Bond Fund VA Class 2
|
88,667 | 7.43 - 7.56 | 662 | 4.82 | % | 1.40% - 1.65 | % | -40.06% - -39.91 | % | |||||||||||||||
Oppenheimer Global Securities VA Class 2
|
12,863 | 9.83 - 9.99 | 128 | 1.22 | % | 1.40% - 1.65 | % | -41.31% - -41.18 | % | |||||||||||||||
Oppenheimer Main St Small & Mid-Cap Fund VA
|
46,386 | 6.26 - 14.62 | 460 | 0.55 | % | 1.25% - 1.65 | % | -38.85% - -37.14 | % | |||||||||||||||
Rydex VT Basic Materials
|
1,673 | 10.66 - 10.81 | 18 | 0.69 | % | 1.40% - 1.60 | % | -46.26% - -46.15 | % | |||||||||||||||
Rydex VT Consumer Products
|
24,765 | 10.78 - 10.97 | 269 | 0.14 | % | 1.40% - 1.65 | % | -24.64% - -24.45 | % | |||||||||||||||
Rydex VT Energy
|
26,217 | 13.21 - 13.43 | 350 | - | 1.40% - 1.65 | % | -46.94% - -46.84 | % | ||||||||||||||||
Rydex VT Energy Services
|
6,253 | 9.83 - 9.97 | 62 | - | 1.40% - 1.60 | % | -58.28% - -58.20 | % | ||||||||||||||||
Rydex VT Health Care
|
63,338 | 9.30 - 9.46 | 594 | - | 1.40% - 1.65 | % | -26.10% - -25.91 | % | ||||||||||||||||
Rydex VT Leisure
|
6,600 | 6.67 - 6.79 | 44 | - | 1.40% - 1.65 | % | -49.95% - -49.81 | % | ||||||||||||||||
Rydex VT Precious Metal
|
9,453 | 12.62 - 12.83 | 121 | - | 1.40% - 1.65 | % | -39.57% - -39.43 | % | ||||||||||||||||
Rydex VT Retailing
|
79,812 | 6.84 - 6.95 | 550 | - | 1.40% - 1.65 | % | -34.08% - -33.91 | % | ||||||||||||||||
Rydex VT Telecommunications
|
8,868 | 8.03 - 8.17 | 72 | 0.24 | % | 1.40% - 1.65 | % | -46.22% - -46.10 | % | |||||||||||||||
Rydex VT Transportation
|
31,518 | 9.02 - 9.17 | 287 | - | 1.40% - 1.65 | % | -26.51% - -26.32 | % | ||||||||||||||||
T. Rowe Price Equity Income Portfolio
|
23,811 | 6.61 - 12.15 | 167 | 1.82 | % | 1.25% - 1.40 | % | -36.10% - -33.14 | % | |||||||||||||||
T. Rowe Price Mid-Cap Growth Portfolio
|
30,773 | 6.03 - 14.97 | 240 | - | 1.25% - 1.40 | % | -39.75% - -39.52 | % | ||||||||||||||||
T. Rowe Price Personal Strategy Bal Portfolio
|
4,322 | 7.10 - 12.29 | 33 | 1.90 | % | 1.25% - 1.40 | % | -29.87% - -28.78 | % | |||||||||||||||
Note 6. Financial Highlights (continued)
|
||||||||||||||||||||||||
At year end
|
For the year ended
|
|||||||||||||||||||||||
Number of | Net Assets |
Investment Income
|
Expense
|
|
||||||||||||||||||||
December 31, 2007
|
Units
|
Unit Value
|
(000s)
Ratio*
|
Ratio** | Total Return*** | |||||||||||||||||||
Alger Growth and Income Portfolio
|
70,229 | $ | 11.70 - 14.12 | $ | 890 | 0.79 | % | 1.40% - 1.65 | % | 8.30% - 10.13 | % | |||||||||||||
Alger Mid Cap Growth Portfolio
|
97,825 | 19.14 - 24.18 | 2,114 | - | 1.40% - 1.65 | % | 29.38% - 31.56 | % | ||||||||||||||||
Alger Small Cap Growth Portfolio
|
125,475 | 11.31 - 20.80 | 1,667 | - | 1.40% - 1.65 | % | 15.30% - 17.24 | % | ||||||||||||||||
Columbia Asset Allocation VS Class A
|
956 | 14.26 | 14 | 2.76 | % | 1.40 | % | 9.17 | % | |||||||||||||||
Columbia High Yield Securities VS Class A
|
182 | 12.15 | 2 | 5.04 | % | 1.40 | % | 1.84 | % | |||||||||||||||
Columbia Diversified Equity Income Fund
|
1,910 | 15.41 | 29 | 1.44 | % | 1.40 | % | 2.74 | % | |||||||||||||||
Columbia International Opportunity Fund
|
117 | 23.53 | 3 | 2.85 | % | 1.40 | % | 7.79 | % | |||||||||||||||
Columbia Large Cap Growth Fund
|
4,012 | 8.52 | 34 | 0.39 | % | 1.40 | % | 15.77 | % | |||||||||||||||
Columbia Small Cap Value Fund VS Class A
|
1,310 | 31.74 | 42 | 0.45 | % | 1.40 | % | -2.36 | % | |||||||||||||||
Invesco V.I. Capital Appreciation Fund
|
46,816 | 10.85 - 11.16 | 510 | - | 1.40% - 1.65 | % | 10.16% - 12.01 | % | ||||||||||||||||
Invesco V.I. Core Equity Series I
|
434,518 | 10.22 - 11.50 | 4,619 | 1.00 | % | 1.40% - 1.65 | % | 6.32% - 8.12 | % | |||||||||||||||
Invesco V.I. Core Equity Series II
|
108,866 | 14.77 - 15.00 | 1,622 | 0.91 | % | 1.40% - 1.65 | % | 6.09% - 6.36 | % | |||||||||||||||
Invesco V.I. Dividend Growth Series I
|
154,084 | 10.24 - 11.22 | 1,656 | 1.59 | % | 1.40% - 1.65 | % | -23.51% - -23.31 | % | |||||||||||||||
Invesco V.I. Global Health Care
|
51,333 | 12.40 - 12.48 | 638 | - | 1.40% - 1.65 | % | 10.00% - 10.28 | % | ||||||||||||||||
Invesco V.I. Government Series I
|
111,415 | 13.49 - 14.81 | 1,529 | 3.59 | % | 1.40 | % | 4.84% - 6.34 | % | |||||||||||||||
Invesco V.I. Government Series II
|
151,972 | 11.20 - 11.38 | 1,719 | 3.62 | % | 1.40% - 1.65 | % | 4.35% - 4.61 | % | |||||||||||||||
Invesco V.I. International Growth Series I
|
82,310 | 19.42 - 21.10 | 1,634 | 0.35 | % | 1.40 | % | 13.11% - 14.72 | % | |||||||||||||||
Invesco V.I. International Growth Series II
|
122,718 | 21.26 - 21.60 | 2,633 | 0.36 | % | 1.40% - 1.65 | % | 12.55% - 12.84 | % | |||||||||||||||
Invesco V.I. Money Market Fund
|
627,079 | 10.45 - 11.29 | 6,695 | 4.43 | % | 1.40% - 1.65 | % | 2.80% - 4.54 | % | |||||||||||||||
Invesco V.I. Technology Fund
|
244,056 | 6.53 - 11.18 | 2,102 | - | 1.40% - 1.65 | % | 5.92% - 6.19 | % | ||||||||||||||||
Invesco Van Kampen V.I. Capital Growth Fund
|
17,827 | 11.34 - 11.52 | 204 | - | 1.40% - 1.65 | % | 14.71% - 15.00 | % | ||||||||||||||||
Invesco Van Kampen V.I. Comstock Fund
|
56,771 | 14.23 - 18.36 | 906 | 1.92 | % | 1.40% - 1.65 | % | -4.68% - -3.07 | % | |||||||||||||||
Invesco Van Kampen V.I. Global Value Equity Fund
|
52,091 | 15.69 - 18.73 | 857 | 1.93 | % | 1.40% - 1.65 | % | 4.87% - 6.64 | % | |||||||||||||||
Invesco Van Kampen V.I. Growth and Income Fund
|
82,750 | 15.59 - 15.84 | 1,302 | 1.41 | % | 1.40% - 1.65 | % | 0.82% - 1.08 | % | |||||||||||||||
Invesco Van Kampen V.I. Mid Cap Value Fund
|
86,551 | 17.84 - 23.02 | 1,740 | 0.65 | % | 1.40% - 1.65 | % | 6.06% - 7.84 | % | |||||||||||||||
MFS/VIT Core Equity Series
|
57,671 | 9.94 - 13.26 | 615 | 0.34 | % | 1.40% - 1.65 | % | 9.31% - 11.15 | % | |||||||||||||||
MFS/VIT High Income Series
|
107,859 | 13.38 - 14.65 | 1,496 | 8.31 | % | 1.40% - 1.65 | % | 0.08% - 1.77 | % | |||||||||||||||
MFS/VIT High Income Series Service Class
|
36,141 | 13.30 - 13.49 | 483 | 6.73 | % | 1.40% - 1.65 | % | -0.14% - 0.11 | % | |||||||||||||||
MFS/VIT Investors Trust Series
|
115,717 | 11.48 - 13.70 | 1,408 | 0.86 | % | 1.40% - 1.65 | % | 8.48% - 10.31 | % | |||||||||||||||
MFS/VIT Research Series
|
35,006 | 10.95 - 14.48 | 402 | 0.71 | % | 1.40% - 1.55 | % | 11.38% - 13.20 | % | |||||||||||||||
MFS/VIT Total Return Series
|
225,416 | 13.82 - 16.85 | 3,382 | 2.64 | % | 1.40% - 1.65 | % | 2.49% - 4.21 | % | |||||||||||||||
MFS/VIT Utilities Series
|
11,823 | 25.41 - 25.78 | 303 | 0.84 | % | 1.40% - 1.65 | % | 25.44% - 25.76 | % | |||||||||||||||
Morgan Stanley UIF US Real Estate
|
34,281 | 20.83 - 21.14 | 720 | 1.14 | % | 1.40% - 1.65 | % | -18.45% - -18.24 | % | |||||||||||||||
Oppenheimer Capital Appreciation Fund VA
|
184,251 | 13.27 - 15.96 | 2,641 | 0.22 | % | 1.40% - 1.65 | % | 12.26% - 14.15 | % | |||||||||||||||
Oppenheimer Core Bond Fund VA
|
247,056 | 12.18 - 15.63 | 3,346 | 4.80 | % | 1.40% - 1.65 | % | 2.66% - 4.39 | % | |||||||||||||||
Oppenheimer Core Bond Fund VA Class 2
|
115,036 | 12.40 - 12.58 | 1,434 | 5.04 | % | 1.40% - 1.65 | % | 2.36% - 2.62 | % | |||||||||||||||
Oppenheimer Global Securities VA Class 2
|
14,090 | 16.74 - 16.99 | 238 | 1.14 | % | 1.40% - 1.65 | % | 4.32% - 4.59 | % | |||||||||||||||
Oppenheimer Main St Small & Mid-Cap Fund VA
|
50,298 | 18.80 - 23.52 | 1,073 | 0.34 | % | 1.40% - 1.65 | % | -2.85% - -1.21 | % | |||||||||||||||
Rydex VT Basic Materials
|
2,599 | 19.79 - 20.07 | 52 | 0.12 | % | 1.40% - 1.65 | % | 31.74% - 32.08 | % | |||||||||||||||
Rydex VT Consumer Products
|
38,925 | 14.31 - 14.52 | 561 | 1.49 | % | 1.40% - 1.65 | % | 9.24% - 9.52 | % | |||||||||||||||
Rydex VT Energy
|
29,129 | 24.89 - 25.27 | 732 | - | 1.40% - 1.65 | % | 31.06% - 31.45 | % | ||||||||||||||||
Rydex VT Energy Services
|
6,641 | 23.50 - 23.84 | 158 | - | 1.40% - 1.65 | % | 34.82% - 35.17 | % | ||||||||||||||||
Rydex VT Financial Services
|
106 | 10.66 | 1 | 2.11 | % | 1.65 | % | -20.15 | % | |||||||||||||||
Rydex VT Health Care
|
95,044 | 12.58 - 12.77 | 1,205 | - | 1.40% - 1.65 | % | 4.27% - 4.53 | % | ||||||||||||||||
Rydex VT Leisure
|
6,921 | 13.33 - 13.52 | 93 | - | 1.40% - 1.65 | % | -4.15% - -3.91 | % | ||||||||||||||||
Rydex VT Precious Metal
|
9,742 | 20.88 - 21.19 | 205 | - | 1.40% - 1.65 | % | 17.57% - 17.87 | % | ||||||||||||||||
Rydex VT Retailing
|
107,400 | 10.37 - 10.52 | 1,121 | - | 1.40% - 1.65 | % | -14.05% - -13.83 | % | ||||||||||||||||
Rydex VT Technology
|
3,725 | 12.60 - 12.79 | 48 | - | 1.40% - 1.65 | % | - | |||||||||||||||||
Rydex VT Telecommunications
|
13,002 | 14.94 - 15.16 | 196 | 0.16 | % | 1.40% - 1.65 | % | 7.41% - 7.69 | % | |||||||||||||||
Rydex VT Transportation
|
43,938 | 12.27 - 12.45 | 543 | - | 1.40% - 1.65 | % | -10.27% - -10.04 | % | ||||||||||||||||
T. Rowe Price Equity Income Portfolio
|
33,164 | 17.15 - 19.01 | 573 | 1.70 | % | 1.40 | % | 1.81% - 3.26 | % | |||||||||||||||
T. Rowe Price Mid-Cap Growth Portfolio
|
22,035 | 23.16 - 24.85 | 525 | 0.19 | % | 1.40 | % | 15.86% - 17.52 | % | |||||||||||||||
T. Rowe Price Personal Strategy Bal Portfolio
|
6,724 | 15.97 - 17.52 | 110 | 2.17 | % | 1.40 | % | 6.10% - 7.61 | % | |||||||||||||||
Note 6. Financial Highlights (continued)
|
|||||||
* Investment Income Ratio - These amounts represent the dividends, excluding distributions of capital gains, received by the sub-account
|
|||||||
from the underlying mutual fund, divided by the average net assets. These ratios exclude those expenses, such as mortality and expense
|
|||||||
charges, that are assessed against contract owner accounts either through reductions in unit values or the redemption of units.
|
|||||||
** Expense Ratio - For the Asset 1 and 2 products that utilize a monthly deduction, the expense ratio represents the annualized
|
|||||||
asset-based mortality and expense charges of the sub-account for the period which have been charged through the redemption
|
|||||||
of units, and do not reduce the accumulation unit value. For all other products, the expense ratio represents the annualized
|
|||||||
asset-based mortality and expense charges of the sub-account for the period, including only those expenses that are charged
|
|||||||
through a reduction in the accumulation unit values, and excludes other charges made directly to contractholder accounts through
|
|||||||
the redemption of units. For all products, the expense ratio excludes expenses of the underlying fund portfolio, including
|
|||||||
investment management fees as well as additional rider charges, if applicable, which range from 0bp to 55bp.
|
|||||||
*** Total Return - This represents the total return for the period and reflects those expenses that result in direct reductions in the
|
|||||||
accumulation unit values. The total return does not include any expenses assessed through the redemption of units, including
|
|||||||
mortality and expense charges relating to Asset 1 and Asset 2 product contracts purchased prior to May 1, 2001 as discussed
|
|||||||
in Note 4; inclusion of these expenses in the calculation would result in a reduction in the total return presented.
|
|||||||
Note 7. Subsequent Events
|
|||||||
In connection with the preparation of the financial statements of the Variable Account as of and for the year ended December 31, 2011,
|
|||||||
events and transactions subsequent to December 31, 2011 through the date the financial statements were issued have been evaluated
|
|||||||
by the Variable Account's management for possible adjustment and/or disclosure. No subsequent events requiring financial statement
|
|||||||
adjustment or disclosure have been identified.
|
|||||||
|
|
|
Report of Independent Auditors | 1 | |
|
|
|
Statutory-Basis Financial Statements and Notes | 3 | |
|
|
|
Supplemental Schedule of Selected Statutory-Basis Financial Data | 42 | |
|
|
|
Supplement Schedule of Investment Risks Interrogatories | 44 | |
|
|
|
Summary Investment Schedule | 47 | |
|
|
|
Note to Supplemental Schedules of Selected Statutory-Basis Financial Data | 48 |
PricewaterhouseCoopers LLP, PricewaterhouseCoopers Center, 300 Madison Avenue, New York, NY 10017
T: (646) 471 3000, F:(813) 286 6000 www.pwc.com/us
|
|
||
April 23, 2012
|
(in thousands, except share data)
|
December 31,
|
|||||||
2011
|
2010
|
|||||||
Admitted assets
|
||||||||
Bonds
|
$ | 12,306,251 | $ | 10,988,504 | ||||
Preferred stocks
|
— | 659 | ||||||
Common stocks
|
7,241 | 458 | ||||||
Mortgage loans
|
25,725 | 35,383 | ||||||
Real estate
|
— | 2,447 | ||||||
Cash (incl. short-term investments of $557,537 and $538,473, respectively)
|
542,245 | 512,089 | ||||||
Contract loans
|
3,360,334 | 3,334,621 | ||||||
Other invested assets
|
153,898 | 79,446 | ||||||
Derivative options
|
5,531 | 13,847 | ||||||
Cash and invested assets
|
16,401,225 | 14,967,454 | ||||||
Accrued investment income
|
256,826 | 228,963 | ||||||
Premiums and considerations deferred and uncollected
|
15,305 | (30,585 | ) | |||||
Amounts due from reinsurers
|
147,959 | 335,663 | ||||||
Current federal income tax recoverable
|
69,708 | 1,152 | ||||||
Net deferred federal income tax asset
|
114,246 | 106,363 | ||||||
Other admitted assets
|
3,465 | 2,790 | ||||||
Separate account assets
|
101,694 | 132,026 | ||||||
Total admitted assets
|
$ | 17,110,428 | $ | 15,743,826 | ||||
Liabilities
|
||||||||
Aggregate reserves for life, accident and health and annuity contracts
|
$ | 13,160,169 | $ | 5,830,512 | ||||
Funds held under reinsurance treaties with affiliates
|
1,586,993 | 8,150,205 | ||||||
Policy claims and benefits on life and accident and health contracts
|
200,754 | 140,567 | ||||||
Liability for deposit-type contracts
|
306,913 | 289,332 | ||||||
Other contract liabilities
|
69,080 | 179,156 | ||||||
Interest maintenance reserve
|
293,546 | 181,785 | ||||||
Federal income taxes payable
|
87,997 | 14,534 | ||||||
Commissions payable and expense allowances on reinsurance assumed
|
10,436 | 18,916 | ||||||
Transfer from separate accounts (net)
|
(169 | ) | (4,309 | ) | ||||
Accounts payable and accrued expenses
|
43,479 | 40,658 | ||||||
Payable to affiliates
|
57,097 | 25,016 | ||||||
Asset valuation reserve
|
32,940 | 22,846 | ||||||
Other liabilities
|
70,040 | 73,439 | ||||||
Separate account liabilities
|
101,694 | 132,026 | ||||||
Total liabilities
|
$ | 16,020,969 | $ | 15,094,683 | ||||
Capital and surplus
|
||||||||
Common stock - par value $50 per share: authorized 200,000 shares; issued and outstanding, 50,000 shares
|
2,500 | 2,500 | ||||||
Surplus notes
|
150,000 | — | ||||||
Gross paid-in and contributed surplus
|
1,266,840 | 639,840 | ||||||
Additional admitted deferred tax asset pursuant to SSAP 10R
|
70,386 | 58,693 | ||||||
Unassigned deficit
|
(400,267 | ) | (51,890 | ) | ||||
Total capital and surplus
|
1,089,459 | 649,143 | ||||||
Total liabilities, capital and surplus
|
$ | 17,110,428 | $ | 15,743,826 |
The accompanying notes are an integral component of the financial statements. | 3 |
Years Ended December 31,
|
||||||||||||
(in thousands)
|
2011
|
2010
|
2009
|
|||||||||
Revenues
|
||||||||||||
Premiums and annuity considerations
|
$ | 8,032,918 | $ | 1,680,017 | $ | 367,922 | ||||||
Net investment income
|
890,114 | 888,057 | 913,724 | |||||||||
Amortization of interest maintenance reserve
|
26,328 | 16,184 | 7,036 | |||||||||
Commissions and expense allowances on reinsurance ceded
|
347,626 | 248,723 | 177,730 | |||||||||
Reserve adjustments on modified coinsurance, net
|
199,217 | 213,368 | 200,213 | |||||||||
Other revenues
|
462 | 13,042 | 21,143 | |||||||||
Total revenues
|
9,496,665 | 3,059,391 | 1,687,768 | |||||||||
Benefits and expenses
|
||||||||||||
Contract claims and benefits
|
1,459,641 | 1,011,085 | 877,817 | |||||||||
Increase/(decrease) in aggregate reserves for life and accident and
health contracts
|
7,291,457 | 1,143,436 | (192,354 | ) | ||||||||
Commissions and expense allowances
|
17,804 | 10,286 | 39,750 | |||||||||
General insurance expenses and taxes, licenses and fees
|
163,401 | 123,335 | 137,059 | |||||||||
Net transfers from Separate Accounts net of reinsurance
|
(5,803 | ) | (10,130 | ) | (11,909 | ) | ||||||
Interest maintenance reserve transfer from recapture of reinsurance
|
114,334 | — | — | |||||||||
Other expenses
|
(12,831 | ) | 12,205 | (4,431 | ) | |||||||
Interest on funds held for reinsurers
|
313,438 | 552,495 | 548,424 | |||||||||
Total benefits and expenses
|
$ | 9,341,441 | $ | 2,842,712 | $ | 1,394,356 | ||||||
Gain from operations before dividends to policyholders, federal
income taxes, and net realized capital gains (losses)
|
155,224 | 216,679 | 293,412 | |||||||||
Dividends to policyholders
|
12,243 | 12,012 | 12,819 | |||||||||
Operating income before income taxes and net realized capital gains (losses)
|
142,981 | 204,667 | 280,593 | |||||||||
Federal income tax expense on operations
|
53,872 | 5,652 | 15,933 | |||||||||
Gain from operations before net realized capital gains (losses)
|
89,109 | 199,015 | 264,660 | |||||||||
Net realized capital gains (losses), less federal income tax benefit of $54,417, $0, and $0, respectively, and excluding net gains (losses) of $23,754, $92,440, and $88,671, respectively, transferred to the interest maintenance reserve
|
48,719 | (62,601 | ) | (196,583 | ) | |||||||
Net income
|
$ | 137,828 | $ | 136,414 | $ | 68,077 | ||||||
Other changes in capital and surplus
|
||||||||||||
Change in net unrealized capital gains (losses)
|
(6,393 | ) | 104,146 | (89,387 | ) | |||||||
Change in net deferred income tax
|
33,799 | (3,472 | ) | (15,186 | ) | |||||||
Change in non-admitted assets
|
(35,811 | ) | 3,204 | 32,591 | ||||||||
Change in liability for reinsurance in unauthorized companies
|
1,807 | (2,267 | ) | (2,627 | ) | |||||||
Change in asset valuation reserve
|
(10,094 | ) | (22,165 | ) | 2,132 | |||||||
Cumulative effect of changes in accounting principles
|
— | — | 16,398 | |||||||||
Change in capitalized ceding commissions
|
(442,151 | ) | (178,949 | ) | (78,855 | ) | ||||||
Change in surplus notes
|
150,000 | — | — | |||||||||
Paid in surplus
|
627,000 | — | 100,000 | |||||||||
Prior period adjustments, net of tax
|
(27,362 | ) | — | — | ||||||||
Additional admitted deferred tax asset pursuant to SSAP 10R
|
11,693 | (19,801 | ) | 78,494 | ||||||||
Net income and other changes in capital and surplus
|
440,316 | 17,110 | 111,637 | |||||||||
Capital and surplus, beginning of year
|
649,143 | 632,033 | 520,396 | |||||||||
Capital and surplus, end of year
|
$ | 1,089,459 | $ | 649,143 | $ | 632,033 |
The accompanying notes are an integral component of the financial statements. | 4 |
(in thousands)
|
Years Ended December 31,
|
|||||||||||
2011
|
2010
|
2009
|
||||||||||
Cash from operations
|
||||||||||||
Premiums collected, net of reinsurance
|
$ | 548,629 | $ | 173,570 | $ | 364,281 | ||||||
Net investment income
|
827,219 | 820,229 | 829,222 | |||||||||
Miscellaneous income
|
(174,566 | ) | 75,989 | 110,708 | ||||||||
Modified coinsurance agreements
|
200,023 | 213,368 | 180,344 | |||||||||
Benefit and loss related payments
|
(1,217,173 | ) | (942,433 | ) | (734,765 | ) | ||||||
Net transfers to separate accounts
|
9,943 | 12,345 | 11,303 | |||||||||
Commissions, expense paid and other deductions
|
(580,081 | ) | (696,568 | ) | (666,442 | ) | ||||||
Dividends paid to policyholders
|
(12,325 | ) | (12,743 | ) | (13,379 | ) | ||||||
Federal income taxes paid
|
(385 | ) | (27,164 | ) | 14,688 | |||||||
Net cash provided by (used in) operations
|
(398,716 | ) | (383,407 | ) | 95,960 | |||||||
Cash from investing activities
|
||||||||||||
Proceeds from investments sold, matured or repaid
|
||||||||||||
Bonds
|
1,822,325 | 4,635,437 | 6,284,594 | |||||||||
Common stocks
|
37 | 49,649 | 4,383,881 | |||||||||
Mortgage loans
|
9,675 | 24,641 | 26,876 | |||||||||
Real estate
|
3,415 | 5,019 | — | |||||||||
Other invested assets
|
15,063,114 | 61,802,222 | 11,599,864 | |||||||||
Net gains (losses) on short-term investments
|
270 | 16 | (48,334 | ) | ||||||||
Total investment proceeds
|
16,898,836 | 66,516,984 | 22,246,881 | |||||||||
Cost of investments acquired
|
||||||||||||
Bonds
|
(1,991,721 | ) | (4,848,066 | ) | (5,509,396 | ) | ||||||
Common stocks
|
(7,309 | ) | (313 | ) | (4,485,927 | ) | ||||||
Real estate
|
(1,438 | ) | — | — | ||||||||
Other invested assets
|
(15,136,813 | ) | (61,138,638 | ) | (11,674,401 | ) | ||||||
Miscellaneous applications
|
7,904 | 15,811 | 33,121 | |||||||||
Total cost of investments acquired
|
(17,129,377 | ) | (65,971,206 | ) | (21,636,603 | ) | ||||||
Increase in contract loans
|
(25,737 | ) | (101,889 | ) | (116,557 | ) | ||||||
Net cash provided by (used in) investing activities
|
(256,278 | ) | 443,889 | 493,721 | ||||||||
Cash from financing and miscellaneous activities
|
||||||||||||
Amounts repaid under reverse repurchase agreements
|
— | (22,003 | ) | (17,677 | ) | |||||||
Surplus notes
|
150,000 | — | — | |||||||||
Capital and paid in surplus
|
627,000 | — | 100,000 | |||||||||
Net deposits on deposit-type contracts and other insurance liabilities
|
17,581 | 7,872 | 263 | |||||||||
Funds held under reinsurance treaties with unauthorized reinsurers
|
(106,582 | ) | (138,702 | ) | (421,020 | ) | ||||||
Other, net
|
(2,849 | ) | 1,038 | 1,087 | ||||||||
Net cash provided by (used in) financing and miscellaneous activities
|
685,150 | (151,795 | ) | (337,347 | ) | |||||||
Net increase (decrease) in cash and short-term investments
|
30,156 | (91,313 | ) | 252,334 | ||||||||
Cash and short-term investments, beginning of year
|
512,089 | 603,402 | 351,068 | |||||||||
Cash and short-term investments, end of year
|
$ | 542,245 | $ | 512,089 | $ | 603,402 | ||||||
Non-Cash Transactions
|
||||||||||||
Reclassification of hybrid securities from preferred stocks to bonds
|
$ | — | $ | — | $ | 244,348 | ||||||
Real estate acquired in satisfaction of debt
|
$ | 1,438 | $ | 7,074 | $ | 5,195 | ||||||
Tax receivable assigned upon dissolution of Aldgate Reinsurance
Company stock
|
$ | — | $ | 4,756 | $ | — | ||||||
Common stock acquired in satisfaction of debt
|
$ | 191 | $ | — | $ | — | ||||||
Bonds received in consideration of reinsurance recapture fee
|
$ | 86,204 | $ | — | $ | — | ||||||
Reserve transfer pursuant to reinsurance recapture
|
$ | 1,011,000 | $ | — | $ | — | ||||||
Bonds received in consideration of reinsurance premium
|
$ | 1,097,204 | $ | — | $ | — |
The accompanying notes are an integral component of the financial statements. | 5 |
Liabilities
|
Capital and Surplus
|
Net Income
|
||||||||||
December 31, 2009 Annual Statement - as filed with the Department
|
$ | 15,459,050 | $ | 647,931 | $ | 83,975 | ||||||
Adjustment to interest maintenance reserve
|
15,898 | (15,898 | ) | (15,898 | ) | |||||||
December 31, 2009 Statutory-Basis Financial Statement
|
$ | 15,474,948 | $ | 632,033 | $ | 68,077 |
Premiums
collected, net
of reinsurance
|
Miscellaneous
income -
commissions
|
Cost of
investments
acquired -
bonds
|
||||||||||
December 31, 2011 Annual Statement - as filed with the Department
|
$ | 1,559,629 | $ | (88,362 | ) | $ | (3,088,925 | ) | ||||
Adjustment related to reinsurance recapture
|
(1,011,000 | ) | (86,204 | ) | 1,097,204 | |||||||
December 31, 2011 Statutory-basis Financial Statement
|
$ | 548,629 | $ | (174,566 | ) | $ | (1,991,721 | ) |
Assets
|
Liabilities
|
Capital and Surplus
|
||||||||||
December 31, 2010 as reported
|
$ | 15,742,674 | $ | 15,093,531 | $ | 649,143 | ||||||
Reinsurance Premiums, net of tax (1)
|
16,673 | 5,836 | 10,837 | |||||||||
Deficiency Reserves (2)
|
— | 38,200 | (38,200 | ) | ||||||||
January 1, 2011 as adjusted
|
$ | 15,759,347 | $ | 15,137,567 | $ | 621,780 |
(1) Overpayment of reinsurance premiums
|
|
(2) Understatement of cedent reported reserves
|
December 31, 2011
|
||||||||||||||||
Level 1
|
Level 2
|
Level 3
|
Total
|
|||||||||||||
Assets at Fair Value:
|
||||||||||||||||
Common Stocks (excl. affiliates)
|
$ | 7,178 | $ | — | $ | 3 | $ | 7,181 | ||||||||
Separate Account Assets
|
101,694 | — | — | 101,694 | ||||||||||||
Derivative Assets
|
— | — | 5,531 | 5,531 | ||||||||||||
Other Investments
|
— | — | 6,994 | 6,994 | ||||||||||||
Total Assets at Fair Value
|
$ | 108,872 | $ | — | $ | 12,528 | $ | 121,400 | ||||||||
Liabilities at Fair Value:
|
||||||||||||||||
Separate Account Liabilities
|
$ | 101,694 | $ | — | $ | — | $ | 101,694 | ||||||||
Total Liabilities at Fair Value
|
$ | 101,694 | $ | — | $ | — | $ | 101,694 |
December 31, 2010
|
||||||||||||||||
Level 1
|
Level 2
|
Level 3
|
Total
|
|||||||||||||
Assets at Fair Value:
|
||||||||||||||||
Common Stocks (excl. affiliates)
|
$ | 119 | $ | — | $ | 220 | $ | 339 | ||||||||
Separate Account Assets
|
132,026 | — | — | 132,026 | ||||||||||||
Derivative Assets
|
— | — | 13,847 | 13,847 | ||||||||||||
Other Investments
|
— | — | 6,449 | 6,449 | ||||||||||||
Total Assets at Fair Value
|
$ | 132,145 | $ | — | $ | 20,516 | $ | 152,661 | ||||||||
Liabilities at Fair Value:
|
||||||||||||||||
Separate Account Liabilities
|
$ | 132,026 | $ | — | $ | — | $ | 132,026 | ||||||||
Total Liabilities at Fair Value
|
$ | 132,026 | $ | — | $ | — | $ | 132,026 |
For Bonds:
|
2011
|
2010
|
||||||
Quoted prices in active markets for identical assets (Level 1)
|
$ | — | $ | — | ||||
Significant other observable inputs (Level 2)
|
1,939 | 7,374 | ||||||
Significant unobservable Inputs (Level 3)
|
12 | 12 | ||||||
Total gains (losses) included in surplus and net income
|
(866 | ) | (191 | ) |
Book/Adjusted
Carrying Value
|
Gross
Unrealized
Gains
|
Gross
Unrealized
Losses
|
Fair
Value
|
|||||||||||||
December 31, 2011
|
||||||||||||||||
U.S. Government obligations
|
$ | 3,236,092 | $ | 850,615 | $ | 3 | $ | 4,086,704 | ||||||||
All other Governments
|
384,904 | 27,038 | 776 | 411,166 | ||||||||||||
States, territories, and possessions
|
31,066 | 3,289 | — | 34,355 | ||||||||||||
Political subdivisions of states, territories, possessions
|
4,529 | 682 | 2 | 5,209 | ||||||||||||
Special revenue and assessment
|
65,193 | 11,415 | 55 | 76,553 | ||||||||||||
Industrial and miscellaneous
|
5,448,728 | 647,255 | 28,573 | 6,067,410 | ||||||||||||
Mortgage and asset-backed securities
|
2,723,716 | 154,684 | 40,818 | 2,837,582 | ||||||||||||
Credit tenant loans
|
102,119 | 15,394 | 843 | 116,670 | ||||||||||||
Affiliate european medium term notes
|
200,000 | 9,654 | — | 209,654 | ||||||||||||
Hybrid preferred stock
|
109,904 | 2,542 | 4,169 | 108,277 | ||||||||||||
Total bonds
|
$ | 12,306,251 | $ | 1,722,568 | $ | 75,239 | $ | 13,953,580 | ||||||||
Preferred stocks
|
$ | 659 | $ | — | $ | 659 | $ | — |
Book/Adjusted
Carrying Value
|
Gross
Unrealized
Gains
|
Gross
Unrealized
Losses
|
Fair
Value
|
|||||||||||||
December 31, 2010
|
||||||||||||||||
U.S. Government obligations
|
$ | 3,409,486 | $ | 113,439 | $ | 129,820 | $ | 3,393,105 | ||||||||
All other Governments
|
75,944 | 6,780 | — | 82,724 | ||||||||||||
States, territories, and possessions
|
29,735 | — | 1,806 | 27,929 | ||||||||||||
Political subdivisions of states, territories, possessions
|
4,561 | 36 | 48 | 4,549 | ||||||||||||
Special revenue and assessment
|
59,382 | 416 | 1,871 | 57,927 | ||||||||||||
Industrial and miscellaneous
|
4,070,296 | 395,534 | 15,157 | 4,450,673 | ||||||||||||
Mortgage and asset-backed securities
|
2,942,212 | 116,855 | 56,401 | 3,002,666 | ||||||||||||
Credit tenant loans
|
85,234 | 8,404 | 546 | 93,092 | ||||||||||||
Affiliate european medium term notes
|
200,000 | 6,670 | — | 206,670 | ||||||||||||
Hybrid preferred stock
|
111,654 | 8,186 | 2,256 | 117,584 | ||||||||||||
Total bonds
|
$ | 10,988,504 | $ | 656,320 | $ | 207,905 | $ | 11,436,919 | ||||||||
Preferred stocks
|
$ | 659 | $ | 70 | $ | — | $ | 729 |
Less than Twelve Months |
Twelve Months or More
|
Total
|
||||||||||||||||||||||
|
Gross
|
|
Gross
|
Gross
|
||||||||||||||||||||
Fair
|
Unrealized
|
Fair
|
Unrealized
|
Fair
|
Unrealized
|
|||||||||||||||||||
Value
|
Losses
|
Value
|
Losses
|
Value
|
Losses
|
|||||||||||||||||||
December 31, 2011
|
||||||||||||||||||||||||
U.S. Government obligations
|
$ | 15,159 | $ | 3 | $ | — | $ | — | $ | 15,159 | $ | 3 | ||||||||||||
All other Governments
|
57,793 | 776 | — | — | 57,793 | 776 | ||||||||||||||||||
States, territories, and possessions
|
— | — | — | — | — | — | ||||||||||||||||||
Political subdivisions of states, territories, possessions
|
— | — | 1,508 | 2 | 1,508 | 2 | ||||||||||||||||||
Special revenue and assessment
|
— | — | 1,012 | 55 | 1,012 | 55 | ||||||||||||||||||
Industrial and miscellaneous
|
524,031 | 26,461 | 28,932 | 2,112 | 552,963 | 28,573 | ||||||||||||||||||
Mortgage and asset-backed securities
|
195,204 | 6,684 | 256,184 | 34,134 | 451,388 | 40,818 | ||||||||||||||||||
Credit tenant loans
|
— | — | 8,998 | 843 | 8,998 | 843 | ||||||||||||||||||
Hybrid preferred stock
|
34,166 | 2,089 | 10,920 | 2,080 | 45,086 | 4,169 | ||||||||||||||||||
Total bonds
|
$ | 826,353 | $ | 36,013 | $ | 307,554 | $ | 39,226 | $ | 1,133,907 | $ | 75,239 | ||||||||||||
Preferred stocks
|
$ | — | $ | 659 | $ | — | $ | — | $ | — | $ | 659 | ||||||||||||
December 31, 2010
|
||||||||||||||||||||||||
U.S. Government obligations
|
$ | 1,598,209 | $ | 102,231 | $ | 103,081 | $ | 27,589 | $ | 1,701,290 | $ | 129,820 | ||||||||||||
All other Governments
|
— | — | — | — | — | — | ||||||||||||||||||
States, territories, and possessions
|
27,929 | 1,806 | — | — | 27,929 | 1,806 | ||||||||||||||||||
Political subdivisions of states, territories, possessions
|
1,463 | 48 | — | — | 1,463 | 48 | ||||||||||||||||||
Special revenue and assessment
|
39,701 | 1,413 | 2,801 | 458 | 42,502 | 1,871 | ||||||||||||||||||
Industrial and miscellaneous
|
358,363 | 11,696 | 54,010 | 3,461 | 412,373 | 15,157 | ||||||||||||||||||
Mortgage and asset-backed securities
|
419,999 | 33,582 | 271,994 | 22,819 | 691,993 | 56,401 | ||||||||||||||||||
Credit tenant loans
|
19,076 | 546 | — | — | 19,076 | 546 | ||||||||||||||||||
Hybrid preferred stock
|
22,529 | 774 | 36,017 | 1,482 | 58,546 | 2,256 | ||||||||||||||||||
Total bonds
|
$ | 2,487,269 | $ | 152,096 | $ | 467,903 | $ | 55,809 | $ | 2,955,172 | $ | 207,905 | ||||||||||||
Preferred stocks
|
$ | — | $ | — | $ | — | $ | — | $ | — | $ | — |
Book/Adjusted
|
Fair
|
|||||||
Carrying Value
|
Value
|
|||||||
Due in one year or less
|
$ | 183,593 | $ | 185,996 | ||||
Due after one year through five years
|
1,284,392 | 1,349,351 | ||||||
Due after five years through ten years
|
3,067,377 | 3,361,820 | ||||||
Due after ten years
|
5,047,173 | 6,218,831 | ||||||
Mortgage and asset-backed securities
|
2,723,716 | 2,837,582 | ||||||
Total
|
$ | 12,306,251 | $ | 13,953,580 |
2011
|
2010
|
2009
|
||||||||||
Bonds
|
$ | 613,731 | $ | 594,063 | $ | 628,701 | ||||||
Preferred stocks
|
— | 140 | 1,192 | |||||||||
Mortgage loans
|
2,397 | 3,521 | 6,054 | |||||||||
Contract loans
|
288,356 | 303,098 | 290,309 | |||||||||
Cash and short-term investments
|
516 | 703 | 1,467 | |||||||||
Other invested assets
|
2,075 | 2,893 | 2,099 | |||||||||
Gross investment income
|
907,075 | 904,418 | 929,822 | |||||||||
Investment expenses
|
16,961 | 16,361 | 16,098 | |||||||||
Net investment income
|
$ | 890,114 | $ | 888,057 | $ | 913,724 |
2011
|
2010
|
2009
|
||||||||||
Realized gains
|
$ | 41,261 | $ | 118,411 | $ | 244,753 | ||||||
Realized losses
|
(17,327 | ) | (23,338 | ) | (144,507 | ) | ||||||
Net realized gains
|
23,934 | 95,073 | 100,246 | |||||||||
Proceeds from sales of bonds
|
$ | 1,409,004 | $ | 4,329,759 | $ | 5,761,338 |
Loan-Backed Security Type
|
Fair Value
|
|||
RMBS- Prime
|
$ | 154,220 | ||
MBS- Agency
|
1,220,050 | |||
RMBS- Non Prime
|
85,740 | |||
RMBS- Home Equity
|
46,817 | |||
ABS- Equipment
|
42,065 | |||
ABS- Manufactured/Mobile
|
7,607 | |||
ABS- Other
|
375,120 | |||
ABS- Credit Card
|
5,366 | |||
ABS- Auto
|
12,141 | |||
CMBS
|
888,456 | |||
Total
|
$ | 2,837,582 |
CUSIP
|
Amortized Cost Before OTTI
|
Projected Cash
Flows
|
OTTI
|
Amortized Cost
After OTTI
|
Fair Value
|
Date of
Financial Statement
Where
Reported
|
Lot ID
|
||||||||||||||||||
004421RW5
|
$ | 47 | $ | 35 | $ | 12 | $ | 35 | $ | 35 |
9/30/2010
|
5770257 | |||||||||||||
04542BMV1
|
5,277 | 5,017 | 261 | 5,017 | 1,205 |
9/30/2010
|
5770274 | ||||||||||||||||||
04542BMV1
|
5,026 | 3,530 | 1,496 | 3,530 | 2,200 |
12/31/2010
|
5770274 | ||||||||||||||||||
04542BMV1
|
3,554 | 3,199 | 355 | 3,199 | 1,896 |
6/30/2011
|
5770274 | ||||||||||||||||||
04542BMV1
|
3,200 | 1,825 | 1,375 | 1,825 | 1,825 |
9/30/2011
|
5770274 | ||||||||||||||||||
04542BMV1
|
1,825 | 1,500 | 325 | 1,500 | 1,444 |
12/31/2011
|
5770274 | ||||||||||||||||||
04542BMW9
|
2,014 | 1,083 | 931 | 1,083 | 395 |
6/30/2010
|
5770275 | ||||||||||||||||||
04542BMW9
|
1,084 | 936 | 148 | 936 | 441 |
9/30/2010
|
5770275 | ||||||||||||||||||
04542BMW9
|
936 | 538 | 398 | 538 | 421 |
12/31/2010
|
5770275 | ||||||||||||||||||
05948XSF9
|
215 | 186 | 29 | 186 | 155 |
3/31/2011
|
7414419 | ||||||||||||||||||
05948XSF9
|
199 | 145 | 54 | 145 | 144 |
6/30/2011
|
7414419 | ||||||||||||||||||
059522BC5
|
20,242 | 19,510 | 732 | 19,510 | 15,853 |
9/30/2009
|
7875158 | ||||||||||||||||||
059522BC5
|
20,242 | 19,510 | 732 | 19,510 | 15,853 |
9/30/2009
|
5150216 | ||||||||||||||||||
059522BC5
|
17,651 | 17,353 | 298 | 17,353 | 13,961 |
3/31/2010
|
7875158 | ||||||||||||||||||
059522BC5
|
17,651 | 17,353 | 298 | 17,353 | 13,961 |
3/31/2010
|
5150216 | ||||||||||||||||||
059522BC5
|
16,899 | 16,809 | 90 | 16,809 | 15,236 |
6/30/2010
|
5150216 | ||||||||||||||||||
059522BC5
|
16,899 | 16,809 | 90 | 16,809 | 15,236 |
6/30/2010
|
7875158 | ||||||||||||||||||
07387BBG7
|
231 | 228 | 3 | 228 | 171 |
6/30/2011
|
5770297 | ||||||||||||||||||
07387BBG7
|
185 | 183 | 2 | 183 | 137 |
6/30/2011
|
5770823 | ||||||||||||||||||
12545CAU4
|
19,214 | 17,975 | 1,239 | 17,975 | 13,591 |
9/30/2009
|
7414376 | ||||||||||||||||||
12545CAU4
|
15,830 | 14,809 | 1,021 | 14,809 | 11,197 |
9/30/2009
|
7571316 | ||||||||||||||||||
126673P55
|
1,768 | 987 | 781 | 987 | 518 |
9/30/2010
|
5770326 | ||||||||||||||||||
126673P55
|
987 | 497 | 490 | 497 | 497 |
12/31/2010
|
5770326 | ||||||||||||||||||
126673P71
|
3,329 | 730 | 2,599 | 730 | 325 |
9/30/2010
|
5770327 | ||||||||||||||||||
126673P71
|
730 | 311 | 419 | 311 | 311 |
12/31/2010
|
5770327 | ||||||||||||||||||
126673RA2
|
748 | 162 | 586 | 162 | 137 |
12/31/2010
|
7414424 | ||||||||||||||||||
126673RB0
|
1,944 | 500 | 1,444 | 500 | 500 |
12/31/2010
|
5770329 | ||||||||||||||||||
126673Z47
|
269 | 182 | 87 | 182 | 166 |
12/31/2010
|
5770330 | ||||||||||||||||||
126673Z62
|
534 | 415 | 119 | 415 | 415 |
9/30/2010
|
5770332 | ||||||||||||||||||
12667GKB8
|
10,031 | 10,000 | 31 | 10,000 | 7,672 |
12/31/2009
|
2825026 |
CUSIP
|
Amortized Cost Before OTTI
|
Projected Cash
Flows
|
OTTI
|
Amortized Cost
After OTTI
|
Fair Value
|
Date of
Financial Statement
Where
Reported
|
Lot ID
|
||||||||||||||||||
12667GKB8
|
6,386 | 6,367 | 19 | 6,367 | 4,872 |
12/31/2009
|
8838383 | ||||||||||||||||||
12667GKB8
|
10,031 | 10,000 | 31 | 10,000 | 7,672 |
12/31/2009
|
8838384 | ||||||||||||||||||
12667GKB8
|
10,000 | 9,820 | 180 | 9,820 | 7,600 |
3/31/2010
|
2825026 | ||||||||||||||||||
12667GKB8
|
6,367 | 6,255 | 112 | 6,255 | 4,826 |
3/31/2010
|
8838383 | ||||||||||||||||||
12667GKB8
|
10,000 | 9,820 | 180 | 9,820 | 7,600 |
3/31/2010
|
2825026 | ||||||||||||||||||
12667GKB8
|
9,821 | 9,791 | 30 | 9,791 | 7,856 |
12/31/2011
|
2825026 | ||||||||||||||||||
247635A@4
|
16 | 12 | 4 | 12 | 12 |
12/31/2009
|
7810349 | ||||||||||||||||||
254206AC9
|
500 | 465 | 35 | 465 | 105 |
3/31/2010
|
7074390 | ||||||||||||||||||
254206AC9
|
574 | 562 | 12 | 562 | 111 |
3/31/2011
|
7074390 | ||||||||||||||||||
254206AC9
|
639 | 544 | 95 | 544 | 61 |
9/30/2011
|
7074390 | ||||||||||||||||||
294751DG4
|
781 | 768 | 13 | 768 | 556 |
3/31/2011
|
7074357 | ||||||||||||||||||
294751DG4
|
761 | 747 | 14 | 747 | 526 |
6/30/2011
|
7074357 | ||||||||||||||||||
294751DG4
|
717 | 695 | 22 | 695 | 492 |
9/30/2011
|
7074357 | ||||||||||||||||||
294751DG4
|
697 | 653 | 44 | 653 | 477 |
12/31/2011
|
7074357 | ||||||||||||||||||
36157R3Z6
|
1,959 | 962 | 997 | 962 | 744 |
9/30/2009
|
3602292 | ||||||||||||||||||
36157R3Z6
|
820 | 220 | 600 | 220 | 219 |
12/31/2009
|
3602292 | ||||||||||||||||||
38373MKM1
|
2,116 | 1,299 | 817 | 1,299 | 560 |
9/30/2009
|
1264897 | ||||||||||||||||||
464187CS0
|
2,165 | 2,121 | 44 | 2,121 | 1,720 |
3/31/2011
|
7074374 | ||||||||||||||||||
464187CS0
|
2,199 | 2,116 | 83 | 2,116 | 1,742 |
6/30/2011
|
7074374 | ||||||||||||||||||
464187CS0
|
2,129 | 2,080 | 49 | 2,080 | 1,589 |
9/30/2011
|
7074374 | ||||||||||||||||||
64352VGW5
|
1,631 | 1,398 | 233 | 1,398 | 1,351 |
6/30/2010
|
5775760 | ||||||||||||||||||
74958EAJ5
|
24,344 | 23,875 | 469 | 23,875 | 21,899 |
6/30/2010
|
7414463 | ||||||||||||||||||
75970NBL0
|
5,924 | 4,376 | 1,548 | 4,376 | 983 |
9/30/2009
|
7074364 | ||||||||||||||||||
75970NBL0
|
4,405 | 1,900 | 2,505 | 1,900 | 1,061 |
9/30/2010
|
7074364 | ||||||||||||||||||
75970NBL0
|
1,901 | 1,304 | 597 | 1,304 | 1,061 |
12/31/2010
|
7074364 | ||||||||||||||||||
75970NBL0
|
1,304 | 1,201 | 103 | 1,201 | 803 |
6/30/2011
|
7074364 | ||||||||||||||||||
75970NBL0
|
1,201 | 729 | 472 | 729 | 729 |
9/30/2011
|
7074364 | ||||||||||||||||||
759950ES3
|
1,034 | 823 | 211 | 823 | 397 |
12/31/2010
|
7074365 | ||||||||||||||||||
759950ES3
|
860 | 815 | 45 | 815 | 300 |
6/30/2011
|
7074365 | ||||||||||||||||||
759950ES3
|
826 | 295 | 531 | 295 | 263 |
9/30/2011
|
7074365 | ||||||||||||||||||
76110VRK6
|
542 | 424 | 118 | 424 | 423 |
3/31/2011
|
5771083 | ||||||||||||||||||
76110VRK6
|
519 | 514 | 5 | 514 | 394 |
6/30/2011
|
5771083 | ||||||||||||||||||
76110WZU3
|
2,155 | 1,636 | 519 | 1,636 | 712 |
12/31/2010
|
5775762 | ||||||||||||||||||
76110WZU3
|
1,542 | 1,453 | 89 | 1,453 | 866 |
6/30/2011
|
5775762 | ||||||||||||||||||
76110WZU3
|
1,461 | 841 | 620 | 841 | 736 |
9/30/2011
|
5775762 | ||||||||||||||||||
76110WZV1
|
487 | 249 | 238 | 249 | 249 |
12/31/2010
|
7414486 | ||||||||||||||||||
76111XZR7
|
13,267 | 13,243 | 24 | 13,243 | 11,558 |
6/30/2010
|
7414465 | ||||||||||||||||||
78473NAC7
|
34,243 | 33,505 | 738 | 33,505 | 24,289 |
9/30/2009
|
6789046 | ||||||||||||||||||
78473NAC7
|
32,000 | 30,550 | 1,450 | 30,550 | 23,713 |
12/31/2009
|
6789046 | ||||||||||||||||||
78473NAC7
|
28,389 | 27,946 | 443 | 27,946 | 25,868 |
6/30/2010
|
6789046 | ||||||||||||||||||
78473NAC7
|
22,902 | 20,947 | 1,955 | 20,947 | 19,298 |
9/30/2011
|
6789046 | ||||||||||||||||||
Total
|
$ | 32,739 |
|
Loss < 12
months
|
Loss > 12
months
|
Total
|
|||||||||
(a) The aggregate amount of unrealized losses
|
$ | 7,022 | $ | 17,694 | $ | 24,716 | ||||||
(b) The aggregate related fair value of securities with unrealized losses
|
$ | 198,172 | $ | 159,464 | $ | 357,636 |
2011
|
2010
|
|||||||
Non-impaired loans
|
$ | 25,725 | $ | 34,159 | ||||
Impaired loans, net of allowance
|
— | 1,224 | ||||||
Total
|
25,725 | 35,383 | ||||||
Average investment in impaired loans
|
$ | — | $ | 306 |
2011
|
2010
|
|||||||
Beginning balance, December 31
|
$ | 987 | $ | 7,028 | ||||
Principal balance written-off
|
— | (5,887 | ) | |||||
Write downs for other-then-temporary impairments
|
— | 980 | ||||||
Transferred to real estate upon foreclosure
|
— | (1,134 | ) | |||||
Recoveries paid in full
|
(100 | ) | — | |||||
Ending balance, December 31
|
$ | 887 | $ | 987 |
2011
|
2010
|
|||||||
Fair Value of Collateralized Loan
|
$ | 133,500 | $ | 61,800 | ||||
Fair Value of Collateral Received
|
$ | 136,170 | $ | 63,036 |
2011
|
2010
|
|||||||
Fair Value of Securities Lent
|
$ | 128,185 | $ | — | ||||
Fair Value of Collateral Received
|
131,610 | — |
Equity Indexed Derivatives Call Options
(based on S&P 500 Index)
|
||||||||
2011
|
2010
|
|||||||
Number of Contracts
|
159,521 | 182,000 | ||||||
Carrying Value
|
$ | 5,531 | $ | 13,847 | ||||
Fair Value
|
$ | 5,531 | $ | 13,847 |
2011 | 2010 | |||||||||||||||||||||||
Call options
|
TBAs
|
Total
|
Call options
|
TBAs
|
Total
|
|||||||||||||||||||
Beginning Balance
|
$ | 13,847 | $ | — | $ | 13,847 | $ | 25,729 | $ | — | $ | 25,729 | ||||||||||||
Acquired
|
10,320 | 10,320 | 10,902 | 10,902 | ||||||||||||||||||||
Considerations
|
(15,673 | ) | — | (15,673 | ) | (25,071 | ) | (1,956 | ) | (27,027 | ) | |||||||||||||
Realized Gains/(Losses)
|
4,771 | — | 4,771 | 12,502 | 1,956 | 14,458 | ||||||||||||||||||
Unrealized Gains/(Losses)
|
(7,734 | ) | (7,734 | ) | (10,215 | ) | (10,215 | ) | ||||||||||||||||
Ending Balance
|
$ | 5,531 | $ | — | $ | 5,531 | $ | 13,847 | $ | — | $ | 13,847 |
2011
|
2010
|
|||||||
Balance at beginning of year
|
$ | 182,000 | $ | 187,294 | ||||
New contracts
|
159,521 | 182,000 | ||||||
Terminations and maturities
|
(182,000 | ) | (187,294 | ) | ||||
Balance at end of year
|
$ | 159,521 | $ | 182,000 |
December 31, 2011
|
||||||||
Gross
|
Net of Loading
|
|||||||
Ordinary life (renewal business)
|
$ | 5,779 | $ | 12,825 | ||||
Group life
|
(1,686 | ) | (1,687 | ) | ||||
Total
|
$ | 4,093 | $ | 11,138 |
December 31, 2010
|
||||||||
Gross
|
Net of Loading
|
|||||||
Ordinary life (renewal business)
|
$ | (36,180 | ) | $ | (41,765 | ) | ||
Group life
|
(6,210 | ) | (6,211 | ) | ||||
Total
|
$ | (42,390 | ) | $ | (47,976 | ) |
December 31, 2011
|
December 31, 2010
|
Change | |||||||||||||||||||||||||||||||||||
Ordinary
|
Capital
|
Total
|
Ordinary
|
Capital
|
Total |
Ordinary
|
Capital | Total | |||||||||||||||||||||||||||||
(a) |
Gross Deferred Tax Assets
|
$ | 466,303 | $ | 30,170 | $ | 496,473 | $ | 371,295 | $ | 87,169 | $ | 458,464 | $ | 95,008 | $ | (56,999 | ) | $ | 38,009 | |||||||||||||||||
(b) |
Statutory Valuation Allowance Adjustment
|
— | — | — | — | (87,169 | ) | (87,169 | ) | — | 87,169 | 87,169 | |||||||||||||||||||||||||
(c) |
Adjusted Gross Deferred Tax Assets (1a - 1b)
|
466,303 | 30,170 | 496,473 | 371,295 | — | 371,295 | 95,008 | 30,170 | 125,178 | |||||||||||||||||||||||||||
(d) |
Deferred Tax Liabilities
|
(25,546 | ) | — | (25,546 | ) | (20,315 | ) | — | (20,315 | ) | (5,231 | ) | — | (5,231 | ) | |||||||||||||||||||||
(e) |
Subtotal (Net Deferred Tax Assets) (1c - 1d)
|
$ | 440,757 | $ | 30,170 | $ | 470,927 | $ | 350,980 | $ | — | $ | 350,980 | $ | 89,777 | $ | 30,170 | $ | 119,947 | ||||||||||||||||||
(f) |
Deferred Tax Assets Nonadmitted (excluding
valuation allowance)
|
326,511 | 30,170 | $ | 356,681 | 244,617 | $ | 244,617 | 81,894 | 30,170 | $ | 112,064 | |||||||||||||||||||||||||
(g) |
Net Admitted Deferred Tax Assets (1e - 1f)
|
$ | 114,246 | $ | — | $ | 114,246 | $ | 106,363 | $ | — | $ | 106,363 | $ | 7,883 | $ | — | $ | 7,883 |
(2)
|
The Company has met the necessary Risk-Based capital levels to be able to admit the increased amount of deferred tax assets under SSAP No. 10R and an election has been made to admit DTAs pursuant to SSAP No. 10R.
|
|
(3)
|
The Company recorded a change in admitted DTAs as the result of its election to employ the provisions of paragraph10.e. of SSAP No. 10R.
|
|
(4)
|
The Company does not have any adjusted DTAs that are capital in nature. The following table provides the Company’s admission calculation components:
|
December 31,
|
|||||||||||||
2011
|
2010
|
Change
|
|||||||||||
SSAP No. 10R, Paragraphs 10.a., 10.b., and 10.c.:
|
|||||||||||||
10.a
|
Federal Income Taxes recoverable through loss carryback
|
$ | 43,859 | $ | 33,846 | $ | 10,013 | ||||||
10.b
|
Admitted pursuant to 10.b.(lesser of i. or ii. below)
|
— | 13,824 | (13,824 | ) | ||||||||
10.b.i.
|
Adjusted gross DTA expected to be realized in one year
|
43,859 | 13,824 | 30,035 | |||||||||
10.b.ii.
|
10% adjusted statutory capital and surplus limit
|
— | 50,345 | (50,345 | ) | ||||||||
10.c
|
Admitted pursuant to 10.c.
|
25,546 | 20,315 | 5,231 | |||||||||
Total (10.a+10.b+10.c)
|
$ | 69,405 | $ | 67,985 | $ | 1,420 | |||||||
SSAP No. 10R, Paragraphs 10.e.:
|
|||||||||||||
10.e.i.
|
Additional admitted pursuant to 10.e.i.
|
$ | 28,055 | $ | — | $ | 28,055 | ||||||
10.e.ii.
|
Additional admitted pursuant to 10.e.ii.(lesser of a. or b. below)
|
42,331 | 58,693 | (16,362 | ) | ||||||||
10.e.ii.a.
|
Adjusted gross DTA expected to be realized in three years
|
42,331 | 58,693 | (16,362 | ) | ||||||||
10.e.ii.b.
|
15% adjusted statutory capital and surplus limit
|
171,896 | 75,517 | 96,379 | |||||||||
10.e.iii.
|
Additional admitted pursuant to 10.e.iii.
|
— | — | — | |||||||||
Total (10.e.i + 10.e.ii + 10.e.iii)
|
$ | 70,386 | $ | 58,693 | $ | 11,693 | |||||||
— | |||||||||||||
Used in SSAP No. 10R, Paragraph 10.d.
|
— | ||||||||||||
— | |||||||||||||
Total Adjusted Capital
|
$ | 1,128,422 | $ | 678,070 | $ | 450,352 | |||||||
Authorized Control Level
|
$ | 115,378 | $ | 80,613 | $ | 34,765 |
(5)
|
The Gross DTAs and Net Admitted Adjusted Gross DTAs have not been impacted by Tax Planning Strategies.
|
|
(6)
|
The following table provides the Company’s amount of admitted DTAs, admitted assets, statutory surplus and total adjusted capital in the risk-based capital calculation:
|
December 31,
|
|||||||||||||
2011
|
2010
|
Change
|
|||||||||||
SSAP No. 10R, Paragraphs 10.a., 10.b., and 10.c.: Admitted Deferred Tax Assets | |||||||||||||
(a)
|
Admitted Deferred Tax Assets
|
$ | 43,859 | $ | 47,670 | $ | (3,811 | ) | |||||
(b)
|
Admitted Assets
|
17,040,041 | 15,683,980 | 1,356,061 | |||||||||
(c)
|
Adjusted Statutory Surplus
|
1,019,073 | 590,451 | 428,622 | |||||||||
(d)
|
Total Adjusted Capital from DTAs
|
43,859 | 47,670 | (3,811 | ) | ||||||||
Increase due to SSAP No. 10R, Paragraph 10.e.:
|
|||||||||||||
(e)
|
Admitted Deferred Tax Assets
|
$ | 70,386 | $ | 58,693 | $ | 11,693 | ||||||
(f)
|
Admitted Assets
|
70,386 | 58,693 | 11,693 | |||||||||
(g)
|
Statutory Surplus
|
70,386 | 58,693 | 11,693 |
December 31,
|
|||||||||||||
2011
|
2010
|
Change
|
|||||||||||
(1)
|
Current income tax
|
||||||||||||
Federal income taxes
|
857 | 6,323 | (5,466 | ) | |||||||||
Prior period adjustment
|
4,434 | (671 | ) | 5,105 | |||||||||
Federal income taxes incurred
|
$ | 5,291 | $ | 5,652 | $ | (361 | ) | ||||||
(2)
|
Deferred Tax Assets:
|
||||||||||||
Ordinary:
|
|||||||||||||
Aggregate reserves and contract liabilities
|
256,463 | 166,916 | 89,547 | ||||||||||
Invested assets
|
2,336 | 3,041 | (705 | ) | |||||||||
Deferred acquisition costs
|
190,095 | 174,305 | 15,790 | ||||||||||
Net operating loss carry-forward
|
523 | 1,196 | (673 | ) | |||||||||
Other
|
16,886 | 25,837 | (8,951 | ) | |||||||||
$ | 466,303 | $ | 371,295 | $ | 95,008 | ||||||||
Nonadmitted Assets
|
(326,511 | ) | (244,617 | ) | (81,894 | ) | |||||||
Admitted ordinary deferred tax assets
|
139,792 | 126,678 | 13,114 | ||||||||||
Capital:
|
|||||||||||||
Invested assets
|
26,506 | 31,211 | (4,705 | ) | |||||||||
Capital loss carry-forward
|
3,386 | 55,680 | (52,294 | ) | |||||||||
Other
|
278 | 278 | (0 | ) | |||||||||
$ | 30,170 | $ | 87,169 | $ | (56,999 | ) | |||||||
Nonadmitted capital assets
|
(30,170 | ) | — | (30,170 | ) | ||||||||
Statutory valuation allowance adjustment
|
— | (87,169 | ) | 87,169 | |||||||||
Admitted deferred tax assets
|
139,792 | 126,678 | 13,114 | ||||||||||
(3)
|
Deferred Tax Liabilities:
|
||||||||||||
Ordinary:
|
|||||||||||||
Deferred and uncollected premium
|
(16,149 | ) | (20,055 | ) | 3,906 | ||||||||
Deferred gain
|
(4,701 | ) | — | (4,701 | ) | ||||||||
Other
|
(4,696 | ) | (260 | ) | (4,436 | ) | |||||||
$ | (25,546 | ) | $ | (20,315 | ) | $ | (5,231 | ) | |||||
(4)
|
Net deferred tax assets/liabilities
|
$ | 114,246 | $ | 106,363 | $ | 7,883 |
Amount
|
Tax Effect @ 35%
|
Effective Tax Rate
|
||||||||||
Net gains from operations before taxes
|
$ | 142,981 | $ | 50,043 | ||||||||
Realized capital gains (losses)
|
18,056 | 6,320 | ||||||||||
161,037 | 56,363 | 35.00 | % | |||||||||
Ceding commission
|
(442,151 | ) | (154,753 | ) | -96.10 | % | ||||||
IMR amortization/DI IMR transfer
|
88,007 | 30,802 | 19.13 | % | ||||||||
Prior period adjustments
|
20,722 | 7,253 | 4.50 | % | ||||||||
Surplus changes
|
767 | 268 | 0.17 | % | ||||||||
IRS audit - interest
|
23,290 | 8,152 | 5.06 | % | ||||||||
Prior period adjustment - reinsurance premium
|
16,673 | 5,836 | 3.62 | % | ||||||||
Deferred tax adjustment
|
50,203 | 17,571 | 10.91 | % | ||||||||
Total
|
$ | (81,452 | ) | $ | (28,508 | ) | -17.70 | % | ||||
Federal income taxes incurred
|
$ | 5,291 | 3.29 | % | ||||||||
Change in net deferred income taxes
|
(33,799 | ) | -20.99 | % | ||||||||
Total statutory income taxes
|
$ | (28,508 | ) | -17.70 | % |
E. |
(1)
|
At December 31, 2011, the Company had operating loss carryforwards expiring in the year 2018 of $1,495.
|
|
(2)
|
At December 31, 2011, the Company had capital loss carryforwards expiring through the year 2014 of $9,675.
|
||
(3)
|
The amount of federal taxes incurred and available for recoupment in the event of future tax losses is:
|
Year
|
Ordinary
|
Capital
|
Total
|
|||||||||
2011
|
$ | 71,915 | $ | — | $ | 71,915 | ||||||
2010
|
— | — | — | |||||||||
2009
|
— | — | — | |||||||||
Total
|
$ | 71,915 | $ | — | $ | 71,915 |
(4)
|
There were no deposits under Section 603 of the Internal Revenue Code.
|
||
F. |
(1)
|
The Company will be included through July 1, 2011 in a consolidated federal life insurance company income tax return filed by its former Parent, SRLHA. Companies included in the consolidated returns are as follows:
|
(2)
|
The method of allocation among the companies is subject to a written agreement approved by the Board of Directors. Allocation is based upon separate return calculations with credit for net losses utilizable on a separate company basis or in consolidation. Intercompany tax balances are settled annually. At December 31, 2011 and 2010, the Company had a receivable from SRLHA under the agreement of $69,708 and $1,152, respectively.
|
|
Following the restructuring transaction described in Note 1, the Company will file a stand-alone tax return for the period of July 2, 2011 through December 31, 2011.
|
G.
|
In 2011, the Internal Revenue Service concluded its examination of tax years 2005 through 2008 and commenced an examination of the 2009 and 2010 consolidated tax returns filed by the Company’s former parent, SRLHA. In 2011 and 2010, the Company did not accrue any tax contingencies nor any possible interest or penalties related to tax contingencies. Although the Company believes it is reasonably possible that estimated liabilities for tax contingencies could arise over the next twelve months, such potential liabilities are not expected to be material to the Company’s capital and surplus.
|
10.
|
Capital and Surplus
|
Life and health insurance companies are subject to certain risk-based capital (“RBC”) requirements as specified by the NAIC. Under these requirements, the amount of capital and surplus maintained by a life and health insurance company is to be determined based on the various risk factors related to it. At December 31, 2011, the Company exceeds the minimum RBC requirements.
|
|
Under Indiana insurance regulations, the Company is limited in the amount of dividends it may pay its shareholders. The maximum dividend generally permitted is the greater of the prior year’s statutory-basis net income or ten percent of the prior year’s earned surplus.
|
|
Extraordinary dividends above these general statutory limitations may be paid with the prior approval of the Department.
|
|
The Company received a capital contribution from its former parent SRLHA of $627,000 and $100,000 on July 1, 2011 and December 31, 2009, respectively.
|
|
On July 1, 2011, the Company issued the Note as described in Note 1 due July 1, 2021 in the principal amount of $150,000 to its affiliate, SRLC. The term of the Note is 10 years and interest is payable annually in arrears at a fixed rate of 6.25% per annum. The issuance of the Note was approved by the Indiana Department of Insurance. Payments of principal and interest with respect to the Note are subject to further approval by the Indiana Department of Insurance.
|
|
For the years ended December 31, 2011, 2010 and 2009, the Company amortized $442,151, $178,949, and $78,855 respectively, as commissions and expense allowances on reinsurance ceded in its statements of operations. As reflected in Note 11, Reinsurance, the Company fully amortized a deferred ceding commission of $373,610 related to the termination of certain inter-affiliate retrocession agreements in 2011 and fully amortized a deferred ceding commission of $113,948 related to the termination of the Aldgate business in 2010. At December 31, 2011, the remaining unamortized deferred ceding commission is $139,140.
|
In conjunction with the dissolution of Aldgate and the return to the Company of Aldgate’s remaining equity, the Company reversed an unrealized loss of $107,000 which had been recorded in 2009 upon the Company’s payment of a capital contribution to Aldgate.
|
|
The reported surplus at December 31, 2011 and 2010 includes the following items:
|
2011
|
2010
|
|||||||
Unrealized gains and (losses), net of tax
|
$ | (2,101 | ) | $ | 2,923 | |||
Non-admitted asset values
|
(363,948 | ) | (339,830 | ) | ||||
Asset valuation reserve
|
(32,940 | ) | (22,846 | ) | ||||
Unauthorized reinsurance
|
(3,251 | ) | (5,058 | ) |
Effective April 30, 2010, the Company executed a termination amendment to its coinsurance agreement with Aldgate. Upon termination, the Company’s funds held under reinsurance treaties decreased by approximately $1,233,000 and aggregate reserves for the life contracts increased by approximately $1,243,000. Additionally, the Company fully amortized a deferred ceding commission of $113,948 related to the terminated business (included in Note 10).
|
Effective October 1, 2009, the Company entered into two separate coinsurance agreements with PHL Variable Insurance Company (“PHL”) and Phoenix Life and Annuity Company (“PLAC”), whereby the Company coinsured two blocks of level term insurance business, net of existing third-party reinsurance premiums, allowances and benefits. Under such agreements, the reserve transfer from PHL and PLAC totaled $14,334 of statutory policy liabilities and assets backing such liabilities in exchange for ceding commissions totaling $11,000 paid by the Company.
|
|
The Company’s policy generally is to require collateral from those reinsurers not authorized to conduct reinsurance business in Indiana in an amount at least equal to the statutory reserves reinsured. Collateral held, in the form of letters of credit, trust agreements, funds deposited and miscellaneous credit balances, were $2,238,435, and $8,993,250 at December 31, 2011 and 2010, respectively.
|
|
Premiums (on both written and earned basis), excluding considerations for supplementary contracts with life contingencies, were as follows:
|
2011
|
2010
|
2009
|
||||||||||
Assumed
|
$ | 252,577 | $ | 44,655 | $ | 293,720 | ||||||
Direct
|
836,272 | 837,934 | 1,046,843 | |||||||||
Ceded
|
6,930,353 | 795,736 | (975,977 | ) | ||||||||
Net
|
$ | 8,019,202 | $ | 1,678,325 | $ | 364,586 |
The Company retrocedes a substantial portion of assumed risks to SRZ, SRLHA and Aldgate (recaptured on April 30, 2010), each of which are affiliated companies. Certain SRZ and SRLHA agreements were recaptured on July 1, 2011, as noted previously. Retrocession agreements have a significant effect on the Company’s financial position and results of operations.
|
December 31, 2011
|
||||||||||||
Balance Sheet
|
Affiliated
|
Non-Affiliated
|
Total
|
|||||||||
Premiums deferred and uncollected and experience rated refunds
|
$ | (54,848 | ) | $ | (48,081 | ) | $ | (102,929 | ) | |||
Aggregate reserves and contract claims liabilities
|
(1,648,740 | ) | (2,723,774 | ) | (4,372,514 | ) | ||||||
Funds held under reinsurance treaties
|
(1,586,933 | ) | (60 | ) | (1,586,993 | ) | ||||||
Other amounts due from reinsurers
|
67,966 | 69,241 | 137,207 | |||||||||
Income Statement
|
||||||||||||
Premiums and annuity considerations
|
7,244,859 | (314,506 | ) | 6,930,353 | ||||||||
Commissions and expense allowances on reinsurance ceded
|
298,776 | 48,850 | 347,626 | |||||||||
Policy benefits and increase in reserves
|
7,063,685 | (456,825 | ) | 6,606,860 | ||||||||
Interest on funds withheld for reinsurers
|
313,438 | — | 313,438 |
December 31, 2010
|
||||||||||||
Balance Sheet
|
Affiliated
|
Non-Affiliated
|
Total
|
|||||||||
Premiums deferred and uncollected and experience rated refunds
|
$ | (103,712 | ) | $ | (55,112 | ) | $ | (158,824 | ) | |||
Aggregate reserves and contract claims liabilities
|
(9,702,196 | ) | (2,222,835 | ) | (11,925,031 | ) | ||||||
Funds held under reinsurance treaties
|
(8,150,145 | ) | (60 | ) | (8,150,205 | ) | ||||||
Other amounts due from reinsurers
|
255,212 | 69,088 | 324,300 | |||||||||
Income Statement
|
||||||||||||
Premiums and annuity considerations
|
1,051,945 | (256,209 | ) | 795,736 | ||||||||
Commissions and expense allowances on reinsurance ceded
|
141,843 | 106,880 | 248,723 | |||||||||
Policy benefits and increase in reserves
|
681,719 | (396,006 | ) | 285,713 | ||||||||
Interest on funds withheld for reinsurers
|
552,495 | — | 552,495 |
December 31, 2009
|
||||||||||||
Balance Sheet
|
Affiliated
|
Non-Affiliated
|
Total
|
|||||||||
Premiums deferred and uncollected and experience rated refunds
|
$ | (200,624 | ) | $ | (93,912 | ) | $ | (294,536 | ) | |||
Aggregate reserves and contract claims liabilities
|
(11,337,148 | ) | (2,253,966 | ) | (13,591,114 | ) | ||||||
Funds held under reinsurance treaties
|
(9,708,898 | ) | — | (9,708,898 | ) | |||||||
Other amounts due from reinsurers
|
316,187 | 60,830 | 377,017 | |||||||||
Income Statement
|
||||||||||||
Premiums and annuity considerations
|
(593,848 | ) | (382,129 | ) | (975,977 | ) | ||||||
Commissions and expense allowances on reinsurance ceded
|
51,356 | 126,374 | 177,730 | |||||||||
Policy benefits and increase in reserves
|
(955,989 | ) | (544,783 | ) | (1,500,772 | ) | ||||||
Interest on funds withheld for reinsurers
|
548,424 | — | 548,424 |
12.
|
Related Party Transactions
|
See Note 11 for disclosures regarding the Company’s reinsurance activities with affiliates.
|
|
The Company had net amounts due to affiliates, excluding amounts payable under the tax sharing agreement, of $57,097, and $25,016 at December 31, 2011 and 2010, respectively. Settlements take place quarterly.
|
|
Swiss Re Financial Services Corporation (“SRFSC”), an affiliated entity, provides the Company investment management and investment accounting services. SRFSC also manages the
|
2012
|
$ | 2,088 | ||
2013
|
2,137 | |||
Total minimum payments
|
$ | 4,225 |
15. | Information about Financial Instruments with Off-Balance Sheet Risk and Financial Instruments with Concentrations of Credit Risk |
2011
|
2010
|
|||||||
Accumulated benefit obligation
|
$ | 2,952 | $ | 2,835 | ||||
Less plan assets at fair value
|
— | — | ||||||
Accumulated benefit obligation in excess of plan assets
|
2,952 | 2,835 | ||||||
Unrecognized net gain
|
608 | 1,111 | ||||||
Unrecognized prior service cost
|
298 | 351 | ||||||
Fourth quarter contributions
|
— | — | ||||||
Postretirement benefit liability included in other liabilities
|
$ | 3,858 | $ | 4,297 |
Nonindexed
|
Nonindexed
|
Nonguaranteed
|
||||||||||||||
December 31, 2011
|
Guarantee
|
Guarantee
|
Separate
|
|||||||||||||
</= 4%
|
> 4%
|
Accounts
|
Total
|
|||||||||||||
Premiums, deposits and
other considerations:
|
$ | — | $ | 210 | $ | 1,449 | $ | 1,659 | ||||||||
Reserves by valuation basis:
|
||||||||||||||||
Fair value
|
$ | 7,987 | $ | 3,825 | $ | 87,224 | $ | 99,036 | ||||||||
Amortized cost
|
305 | 564 | — | 869 | ||||||||||||
Total reserves
|
$ | 8,292 | $ | 4,389 | $ | 87,224 | $ | 99,905 | ||||||||
Reserves by withdrawal characteristic:
|
||||||||||||||||
Subject to discretionary withdrawal
|
||||||||||||||||
With market value adjustment
|
$ | 8,292 | $ | 4,389 | $ | — | $ | 12,681 | ||||||||
At market value
|
— | — | 87,056 | 87,056 | ||||||||||||
Subtotal
|
8,292 | 4,389 | 87,056 | 99,737 | ||||||||||||
Not subject to discretionary withdrawal
|
— | — | 168 | 168 | ||||||||||||
Total deposit fund liabilites
|
$ | 8,292 | $ | 4,389 | $ | 87,224 | $ | 99,905 |
Nonindexed
|
Nonindexed
|
Nonguaranteed
|
||||||||||||||
December 31, 2010
|
Guarantee
|
Guarantee
|
Separate
|
|||||||||||||
</= 4%
|
> 4%
|
Accounts
|
Total
|
|||||||||||||
|
||||||||||||||||
Premiums, deposits and
other considerations:
|
$ | — | $ | 217 | $ | 1,581 | $ | 1,798 | ||||||||
Reserves by valuation basis:
|
||||||||||||||||
Fair value
|
$ | 7,976 | $ | 5,992 | $ | 111,114 | $ | 125,082 | ||||||||
Amortized cost
|
471 | 899 | — | 1,370 | ||||||||||||
Total reserves
|
$ | 8,447 | $ | 6,891 | $ | 111,114 | $ | 126,452 | ||||||||
Reserves by withdrawal characteristic:
|
||||||||||||||||
Subject to discretionary withdrawal
|
||||||||||||||||
With market value adjustment
|
$ | 8,447 | $ | 6,891 | $ | — | $ | 15,338 | ||||||||
At market value
|
— | — | 111,023 | 111,023 | ||||||||||||
Subtotal
|
8,447 | 6,891 | 111,023 | 126,361 | ||||||||||||
Not subject to discretionary withdrawal
|
— | — | 91 | 91 | ||||||||||||
Total deposit fund liabilites
|
$ | 8,447 | $ | 6,891 | $ | 111,114 | $ | 126,452 |
December 31, | ||||||||||||
2011
|
2010
|
2009
|
||||||||||
|
||||||||||||
Transfers as reported in the Statements of Operations of
the Separate Accounts Annual Statement:
|
||||||||||||
Transfers to(from) separate accounts
|
$ | 1,659 | $ | 1,797 | $ | 2,120 | ||||||
Transfers to(from) separate accounts
|
(23,111 | ) | (26,974 | ) | (31,091 | ) | ||||||
Net transfers to separate accounts
|
$ | (21,452 | ) | $ | (25,177 | ) | $ | (28,971 | ) | |||
Reconciling adjustments:
|
||||||||||||
Modco to PHL Variable Insurance Company
|
15,649 | 15,047 | 17,061 | |||||||||
Transfers as reported in the Statements of Operations
|
$ | (5,803 | ) | $ | (10,130 | ) | $ | (11,910 | ) |
Investment income earned
|
||||
Government bonds
|
$ | 138,321 | ||
Other bonds (unaffiliated)
|
467,410 | |||
Bonds of affiliates
|
8,000 | |||
Preferred stocks (unaffiliated)
|
— | |||
Common stocks (unaffiliated)
|
— | |||
Real estate
|
— | |||
Mortgage loans
|
2,397 | |||
Contract loans
|
288,356 | |||
Cash and short-term investments
|
516 | |||
Derivative instruments
|
— | |||
Other invested assets
|
934 | |||
Aggregate write-ins for investment income
|
1,141 | |||
Gross investment income
|
$ | 907,075 | ||
Mortgage loans - book value
|
||||
Commerical mortgages (book value, in good standing)
|
$ | 20,555 | ||
Commercial mortgages (book value, restructured)
|
4,564 | |||
Commercial and residential mortgages (book value, with interest over 90 days)
|
— | |||
Mortgages in the process of foreclosure
|
606 | |||
Total mortgage loans
|
$ | 25,725 | ||
Bonds and stocks of parents, subsidiaries and affiliates - book value
|
||||
Preferred stocks
|
— | |||
Bonds
|
200,000 | |||
Bonds and short-term investments by maturity and class
|
||||
Bonds and short-term investments by maturity (amortized cost):
|
||||
Due within one year or less
|
$ | 1,201,800 | ||
Over one year through five years
|
2,833,388 | |||
Over five years through ten years
|
3,591,493 | |||
Over ten years through twenty years
|
1,760,486 | |||
Over twenty years
|
3,476,621 | |||
Total by maturity
|
$ | 12,863,788 | ||
Bonds and short-term investments by class (amortized cost)
|
||||
Class 1
|
$ | 8,973,544 | ||
Class 2
|
3,390,974 | |||
Class 3
|
418,017 | |||
Class 4
|
50,050 | |||
Class 5
|
14,800 | |||
Class 6
|
16,403 | |||
Total by class
|
$ | 12,863,788 |
Life insurance in force
|
||||
Ordinary
|
$ | 113,009 | ||
Group life
|
621 | |||
Amount of accidental death insurance in force under ordinary policies
|
$ | 3,780 | ||
Life insurance policies with disability provisions in force
|
||||
Ordinary
|
$ | 9,964 | ||
Group life
|
30 | |||
Supplemental contracts in force
|
||||
Ordinary - not involving life contingencies - income payable
|
$ | 11,320 | ||
Ordinary - not involving life contingencies - amount on deposit
|
206,621 | |||
Group - not involving life contingencies - income payable
|
— | |||
Ordinary - involving life contingencies - income payable
|
10,919 | |||
Ordinary - involving life contingencies - amount on deposit
|
13,429 | |||
Group - involving life contingencies - income payable
|
336 | |||
Group - involving life contingencies - amount on deposit
|
812 | |||
Annuities (ordinary)
|
||||
Immediate - amount of income payable
|
$ | 9,580 | ||
Deferred - fully paid account balance
|
939,692 | |||
Deferred - not fully paid account balance
|
1,447,544 | |||
Group - Amount of income payable
|
95,844 | |||
Group - fully paid account balance
|
49,489 | |||
Group - not fully paid account balance
|
17,536 | |||
Accident and health insurance - premiums in force
|
||||
Ordinary
|
$ | 673,479 | ||
Group
|
191 | |||
Deposit funds and dividend accumulations
|
||||
Deposit funds - account balance
|
$ | 45,901 | ||
Dividend accumulations - account balance
|
47,361 |
1.
|
The Company’s total admitted assets as reported in the Statements of Admitted Assets, Liabilities and Surplus was $17,008,734 at December 31, 2011.
|
2.
|
The 10 largest exposures to a single issuer/borrower/investment, by investment category, excluding: (i) U.S. government, U.S. government agency securities and those U.S. Government money market funds listed in the Appendix to the
SVO Purposes and Procedures Manual
as exempt, (ii) property occupied by the Company, and (iii) policy loans at December 31, 2011 are as follows:
|
Investment Category
|
Amount
|
Percentage of Total
Admitted Assets
|
||||||
Swiss Re Treasury US
|
$ | 200,000 | 1.2 | % | ||||
Verizon Communications Inc.
|
178,364 | 1.0 | % | |||||
Comcast Corporation
|
132,317 | 0.8 | % | |||||
Time Warner Cable Inc.
|
122,600 | 0.7 | % | |||||
JPMorgan Chase & Co.
|
101,416 | 0.6 | % | |||||
Mizuho Securities
|
95,000 | 0.6 | % | |||||
Goldman Sachs Group Inc.
|
83,898 | 0.5 | % | |||||
Bank of America Corp.
|
83,857 | 0.5 | % | |||||
News Corp.
|
79,574 | 0.5 | % | |||||
Kraft Foods Inc.
|
78,760 | 0.5 | % |
3.
|
The amounts and percentages of the Company’s total admitted assets held in bonds and preferred stocks by NAIC rating is as follows:
|
Bonds
|
Preferred Stocks | |||||||||||||
Amount
|
% of Total
Admitted Assets
|
Amount
|
% of Total
Admitted Assets
|
|||||||||||
NAIC-1
|
$ | 8,973,545 | 52.8 | % |
P/RP-1
|
$ | - 0.0 | % | ||||||
NAIC-2
|
3,390,974 | 19.9 | % |
P/RP-2
|
- 0.0 | % | ||||||||
NAIC-3
|
418,017 | 2.5 | % |
P/RP-3
|
- 0.0 | % | ||||||||
NAIC-4
|
50,050 | 0.3 | % |
P/RP-4
|
- 0.0 | % | ||||||||
NAIC-5
|
14,800 | 0.1 | % |
P/RP-5
|
- 0.0 | % | ||||||||
NAIC-6
|
16,404 | 0.1 | % |
P/RP-6
|
- 0.0 | % |
4.
|
Assets held in foreign investments are 6.7% of the Company’s total admitted assets. Total admitted assets held in foreign investments were $1,141,128; foreign-currency-denominated investments or insurance liabilities were $7,069.
|
5.
|
The aggregate foreign investment exposure categorized by the country’s NAIC sovereign rating is as follows:
|
Percentage of Total
|
||||||||
Amount
|
Admitted Assets
|
|||||||
Countries rated NAIC-1
|
$ | 818,709 | 4.8 | % | ||||
Countries rated NAIC-2
|
212,888 | 1.3 | % | |||||
Countries rated NAIC-3 or below
|
109,531 | 0.6 | % | |||||
$ | 1,141,128 | 6.7 | % |
6. | The two largest foreign investment exposures to a single country, categorized by the country’s NAIC sovereign rating is as follows: |
Percentage of
|
||||||||
Total Admitted
|
||||||||
Amount
|
Assets
|
|||||||
Countries rated NAIC 1
|
||||||||
United Kingdom
|
$ | 184,275 | 1.1 | % | ||||
Australia
|
116,249 | 0.7 | % | |||||
Countries rated NAIC -2
|
||||||||
Mexico
|
$ | 50,580 | 0.3 | % | ||||
Columbia
|
29,139 | 0.2 | % | |||||
Countries rated NAIC-3 or below
|
||||||||
Philippines
|
$ | 28,974 | 0.2 | % | ||||
Venezuala
|
26,907 | 0.2 | % |
7.- 9. | The Company has $7,069 of unhedged foreign currency exposure, which was Australian Dollar denominated with an NAIC sovereign rating of NAIC 1. |
10. | The 10 largest non-sovereign foreign issues by NAIC rating: |
Investment Category
|
Amount
|
Percentage of
Total Admitted
Assets
|
||||||
Deutsche Telekom AG
|
$ | 35,702 | 0.2 | % | ||||
BP PLC
|
30,399 | 0.2 | % | |||||
HSBC Holdings PLC
|
29,282 | 0.2 | % | |||||
British American Tobacco PLC
|
20,603 | 0.1 | % | |||||
Transurban Finance Company Ltd.
|
20,022 | 0.1 | % | |||||
Westpac Banking Corp
|
17,355 | 0.1 | % | |||||
Tyco International Ltd.
|
16,584 | 0.1 | % | |||||
British Sky Broadcasting Group
|
15,073 | 0.1 | % | |||||
Sandvik Treasury AB
|
15,000 | 0.1 | % | |||||
Telstra Corp Ltd.
|
14,998 | 0.1 | % |
11.
|
Assets held in Canadian investments are less than 2.5% of the Company’s total admitted assets.
|
12.
|
Assets held in investments with contractual sales restrictions are less than 2.5% of the Company’s total admitted assets.
|
13.
|
Assets held in equity interests are less than 2.5% of the Company’s total admitted assets.
|
14.
|
Assets held in non-affiliated, privately placed equities are less than 2.5% of the Company’s total admitted assets.
|
15.
|
Assets held in general partnership interests are less than 2.5% of the Company’s total admitted assets.
|
16.
|
Mortgage loans reported in Schedule B are less than 2.5% of the Company’s total admitted assets.
|
17.
|
The aggregated mortgage loans are less than 2.5% of the Company’s total admitted assets, so the loan-to-value ratios response for this Interrogatory is not applicable:
|
18.
|
Assets held in real estate are less than 2.5% of the Company’s total admitted assets.
|
19.
|
Assets held in investments held in mezzanine real estate loans are less than 2.5% of the Company’s total admitted assets.
|
20.
|
The amounts and percentages of the Company’s total admitted assets subject to the following types of agreements are as follows:
|
Percentage of
|
||||||||||||||||||||
Total
|
||||||||||||||||||||
Admitted
|
1st Quarter
|
2nd Quarter
|
3rd Quarter
|
|||||||||||||||||
Amount
|
Assets
|
Amount
|
Amount
|
Amount
|
||||||||||||||||
Securities lending
|
$ | 109,073 | 0.6 | % | $ | — | $ | — | $ | 471,046 | ||||||||||
Collaterized loan agreements
|
— | 0.0 | % | — | — | — | ||||||||||||||
Repurchase agreements
|
133,500 | 0.8 | % | 44,400 | 22,200 | 20,600 | ||||||||||||||
Dollar repurchase agreements
|
— | 0.0 | % | — | — | — | ||||||||||||||
Dollar reverse repurchase agreements
|
— | 0.0 | % | — | — | — |
21.
|
Amounts and percentages of the reporting entity’s total admitted assets for warrants not attached to other financial instruments, options, caps, and floors:
|
Owned
|
Written
|
|||||||||||||||
1 | 2 | 3 | 4 | |||||||||||||
Hedging
|
$ | — | 0.0 | % | $ | — | 0.0 | % | ||||||||
Income Generation
|
— | 0.0 | % | — | 0.0 | % | ||||||||||
Other
|
5,531 | 0.0 | % | — | 0.0 | % |
22.
|
The Company has no potential exposure for collars, swaps or forwards.
|
23.
|
The Company has no potential exposure for futures contracts.
|
Gross Investment Holdings
|
Admitted Assets as Reported in
the Annual Statement
|
|||||||||||||||
Amount
|
%
|
Amount
|
%
|
|||||||||||||
Bonds
|
||||||||||||||||
U.S. treasury securities
|
$ | 2,163,138 | 13.19 | % | $ | 2,163,138 | 13.19 | % | ||||||||
U.S. government agency and corporate obligations (excluding mortgage-backed securities)
|
||||||||||||||||
Issued by U.S. government agencies
|
4,206 | 0.03 | % | 4,206 | 0.03 | % | ||||||||||
Issued by U.S. government sponsored agencies
|
1,068,767 | 6.52 | % | 1,068,767 | 6.52 | % | ||||||||||
Foreign government (including Canada, excluding mortgage-backed securities)
|
412,801 | 2.52 | % | 412,801 | 2.52 | % | ||||||||||
Securities issued by states, territories and possessions and political subdivisions in the U.S.:
|
||||||||||||||||
State, territory and possession general obligations
|
31,066 | 0.19 | % | 31,066 | 0.19 | % | ||||||||||
Political subdivisions of states, territories and possessions general obligations
|
4,529 | 0.03 | % | 4,529 | 0.03 | % | ||||||||||
Revenue and assessment obligations
|
65,193 | 0.40 | % | 65,193 | 0.40 | % | ||||||||||
Mortgage-backed securities
(includes residential and commercial MBS):
|
||||||||||||||||
Pass-through securities:
|
||||||||||||||||
Guaranteed by GNMA
|
108,728 | 0.66 | % | 108,728 | 0.66 | % | ||||||||||
Issued by FNMA and FHLMC
|
766,243 | 4.67 | % | 766,243 | 4.67 | % | ||||||||||
All other
|
— | 0.00 | % | — | 0.00 | % | ||||||||||
CMOs and REMICs
|
||||||||||||||||
Issued by GNMA, FNMA and FHLMC or VA
|
274,901 | 1.68 | % | 274,901 | 1.68 | % | ||||||||||
All other privately issued
|
1,150,772 | 7.02 | % | 1,150,772 | 7.02 | % | ||||||||||
Other debt and other fixed income securities
|
||||||||||||||||
(excluding short-term):
|
||||||||||||||||
Unaffiliated domestic securities
(includes credit tenant loans rated by the SVO) |
4,984,185 | 30.39 | % | 4,984,185 | 30.39 | % | ||||||||||
Unaffiliated foreign securities
|
1,071,722 | 6.53 | % | 1,071,722 | 6.53 | % | ||||||||||
Affiliated securities
|
200,000 | 1.22 | % | 200,000 | 1.22 | % | ||||||||||
Equity interest
|
||||||||||||||||
Preferred stock:
|
||||||||||||||||
Affiliated
|
— | 0.00 | % | — | 0.00 | % | ||||||||||
Unaffiliated
|
— | 0.00 | % | — | 0.00 | % | ||||||||||
Publicly traded equity securities
|
||||||||||||||||
(excluding preferred stock)
|
||||||||||||||||
Unaffiliated
|
7,182 | 0.04 | % | 7,182 | 0.04 | % | ||||||||||
Other equity securities
|
||||||||||||||||
Affiliated
|
59 | 0.00 | % | 59 | 0.00 | % | ||||||||||
Unaffiliated
|
— | 0.00 | % | — | 0.00 | % | ||||||||||
Mortgage loans
|
||||||||||||||||
Commercial loans
|
25,725 | 0.16 | % | 25,725 | 0.16 | % | ||||||||||
Real estate investments
|
||||||||||||||||
Property held for sale
|
— | 0.00 | % | — | 0.00 | % | ||||||||||
Contract loans
|
3,360,671 | 20.49 | % | 3,360,334 | 20.49 | % | ||||||||||
Receivable for securities
|
432 | 0.00 | % | 432 | 0.00 | % | ||||||||||
Cash and short-term investments
|
542,245 | 3.31 | % | 542,245 | 3.31 | % | ||||||||||
Other invested assets
|
158,997 | 0.97 | % | 158,997 | 0.97 | % | ||||||||||
Total invested assets
|
$ | 16,401,562 | 100.00 | % | $ | 16,401,225 | 100.00 | % |
KPMG LLP is a Delaware limited liability partnership,
the U.S. member firm of KPMG International Cooperative (KPMG International), a Swiss entity. |
December 31,
|
||||||||
Assets
|
2011
|
2010
|
||||||
Investments:
|
||||||||
Securities available for sale, at fair value:
|
||||||||
Fixed maturities (amortized cost: 2011, $38,688,488; 2010, $39,222,320, including fair value through profit and loss: 2011, $126,657; 2010, $345,038)
|
$ | 41,546,295 | $ | 40,801,885 | ||||
Trading securities, at fair value
|
315,607 | 467,101 | ||||||
Commercial mortgage loans, net of allowance
|
5,530,370 | 5,700,365 | ||||||
Policy loans
|
855,099 | 855,842 | ||||||
Derivative instruments
|
2,605,468 | 1,010,377 | ||||||
Other invested assets
|
1,255,455 | 1,038,012 | ||||||
Total investments
|
52,108,294 | 49,873,582 | ||||||
Cash and cash equivalents
|
656,253 | 674,253 | ||||||
Accrued investment income
|
576,185 | 553,762 | ||||||
Deferred acquisition costs
|
5,635,268 | 5,305,670 | ||||||
Reinsurance recoverable
|
1,409,688 | 1,089,539 | ||||||
Income taxes receivable from Parent
|
181,774 | 50,854 | ||||||
Other assets
|
875,288 | 618,019 | ||||||
Separate account assets
|
58,796,937 | 48,854,037 | ||||||
Total assets
|
$ | 120,239,687 | $ | 107,019,716 | ||||
Liabilities and Equity
|
||||||||
Liabilities
|
||||||||
Reserves for future policy benefits and claims payable
|
$ | 5,078,788 | $ | 3,149,572 | ||||
Other contract holder funds
|
44,944,096 | 44,576,723 | ||||||
Debt
|
297,695 | 338,805 | ||||||
Securities lending payable
|
53,285 | 58,115 | ||||||
Deferred income taxes, net
|
1,139,352 | 656,577 | ||||||
Derivative instruments
|
1,378,907 | 1,250,807 | ||||||
Other liabilities
|
1,652,609 | 1,886,751 | ||||||
Separate account liabilities
|
58,796,937 | 48,854,037 | ||||||
Total liabilities
|
113,341,669 | 100,771,387 | ||||||
Equity
|
||||||||
Common stock, $1.15 par value; authorized 50,000 shares;
|
||||||||
issued and outstanding 12,000 shares
|
13,800 | 13,800 | ||||||
Additional paid-in capital
|
3,730,901 | 3,711,500 | ||||||
Accumulated other comprehensive income, net of
|
||||||||
tax of $318,302 in 2011 and $53,280 in 2010
|
1,329,190 | 837,006 | ||||||
Retained earnings
|
1,796,398 | 1,633,691 | ||||||
Total stockholder's equity
|
6,870,289 | 6,195,997 | ||||||
Noncontrolling interests
|
27,729 | 52,332 | ||||||
Total equity
|
6,898,018 | 6,248,329 | ||||||
Total liabilities and equity
|
$ | 120,239,687 | $ | 107,019,716 |
Years Ended December 31,
|
||||||||||||
2011
|
2010
|
2009
|
||||||||||
Revenues
|
||||||||||||
Fee income
|
$ | 2,108,159 | $ | 1,565,992 | $ | 1,082,281 | ||||||
Premium
|
139,810 | 142,721 | 115,231 | |||||||||
Net investment income
|
2,644,586 | 2,704,453 | 2,488,781 | |||||||||
Net realized losses on investments:
|
||||||||||||
Total other-than-temporary impairments
|
(305,805 | ) | (319,977 | ) | (1,196,893 | ) | ||||||
Portion of other-than-temporary impairments included in
|
||||||||||||
other comprehensive income (loss)
|
218,710 | 176,719 | 422,186 | |||||||||
Net other-than-temporary impairments
|
(87,095 | ) | (143,258 | ) | (774,707 | ) | ||||||
Other investment losses
|
(673,010 | ) | (1,021,706 | ) | 30,276 | |||||||
Total net realized losses on investments
|
(760,105 | ) | (1,164,964 | ) | (744,431 | ) | ||||||
Other income
|
52,350 | 61,233 | 61,112 | |||||||||
Total revenues
|
4,184,800 | 3,309,435 | 3,002,974 | |||||||||
Benefits and Expenses
|
||||||||||||
Death, other policy benefits and change in policy reserves, net of deferrals
|
585,296 | 536,725 | 641,386 | |||||||||
Interest credited on other contract holder funds, net of deferrals
|
1,384,908 | 1,445,319 | 1,502,945 | |||||||||
Interest expense
|
42,881 | 34,825 | 49,767 | |||||||||
Operating costs and other expenses, net of deferrals
|
760,969 | 621,773 | 483,924 | |||||||||
Amortization of deferred acquisition and sales inducement costs
|
437,358 | (11,660 | ) | (273,341 | ) | |||||||
Total benefits and expenses
|
3,211,412 | 2,626,982 | 2,404,681 | |||||||||
Pretax income before taxes and noncontrolling interests
|
973,388 | 682,453 | 598,293 | |||||||||
Income tax expense
|
276,235 | 176,737 | 182,536 | |||||||||
Net income
|
697,153 | 505,716 | 415,757 | |||||||||
Less: Net income (loss) attributable to noncontrolling interests
|
4,446 | 7,288 | (12,415 | ) | ||||||||
Net income attributable to Jackson
|
$ | 692,707 | $ | 498,428 | $ | 428,172 |
Accumulated
|
||||||||||||||||||||||||||||
Additional
|
other
|
Total
|
Non-
|
|||||||||||||||||||||||||
Common
|
paid-in
|
comprehensive
|
Retained
|
stockholder's
|
controlling
|
Total
|
||||||||||||||||||||||
stock
|
capital
|
income (loss)
|
earnings
|
equity
|
interests
|
equity
|
||||||||||||||||||||||
Balances as of December 31, 2008
|
$ | 13,800 | $ | 2,968,985 | $ | (1,627,525 | ) | $ | 1,145,443 | $ | 2,500,703 | $ | 126,411 | $ | 2,627,114 | |||||||||||||
Comprehensive income:
|
||||||||||||||||||||||||||||
Net income (loss)
|
428,172 | 428,172 | (12,415 | ) | 415,757 | |||||||||||||||||||||||
Net unrealized gains (losses)
|
||||||||||||||||||||||||||||
on securities not other-than
|
||||||||||||||||||||||||||||
-temporarily impaired, net
|
||||||||||||||||||||||||||||
of tax of $382,885
|
1,621,868 | 1,621,868 | (38,616 | ) | 1,583,252 | |||||||||||||||||||||||
Net unrealized losses on
|
||||||||||||||||||||||||||||
other-than-temporarily impaired
|
||||||||||||||||||||||||||||
securities, net of tax of $(127,733)
|
(237,217 | ) | (237,217 | ) | (237,217 | ) | ||||||||||||||||||||||
Reclassification adjustment
|
||||||||||||||||||||||||||||
for losses included
|
||||||||||||||||||||||||||||
in net income, net of tax
|
||||||||||||||||||||||||||||
of $240,213
|
446,108 | 446,108 | 446,108 | |||||||||||||||||||||||||
Total comprehensive income (loss)
|
1,830,759 | 428,172 | 2,258,931 | (51,031 | ) | 2,207,900 | ||||||||||||||||||||||
Cumulative effect of change in
|
||||||||||||||||||||||||||||
accounting, net
|
(126,890 | ) | 126,890 | - | - | |||||||||||||||||||||||
Capital contribution
|
592,410 | 592,410 | 592,410 | |||||||||||||||||||||||||
Dividends to stockholder
|
(250,000 | ) | (250,000 | ) | (250,000 | ) | ||||||||||||||||||||||
Balances as of December 31, 2009
|
$ | 13,800 | $ | 3,561,395 | $ | 76,344 | $ | 1,450,505 | $ | 5,102,044 | $ | 75,380 | $ | 5,177,424 | ||||||||||||||
Comprehensive income:
|
||||||||||||||||||||||||||||
Net income
|
498,428 | 498,428 | 7,288 | 505,716 | ||||||||||||||||||||||||
Net unrealized gains (losses)
|
||||||||||||||||||||||||||||
on securities not other-than
|
||||||||||||||||||||||||||||
-temporarily impaired, net
|
||||||||||||||||||||||||||||
of tax of $422,473
|
784,594 | 784,594 | (30,336 | ) | 754,258 | |||||||||||||||||||||||
Net unrealized losses on
|
||||||||||||||||||||||||||||
other-than-temporarily impaired
|
||||||||||||||||||||||||||||
securities, net of tax of $(54,663)
|
(101,517 | ) | (101,517 | ) | (101,517 | ) | ||||||||||||||||||||||
Reclassification adjustment
|
||||||||||||||||||||||||||||
for losses included
|
||||||||||||||||||||||||||||
in net income, net of tax
|
||||||||||||||||||||||||||||
of $15,223
|
28,270 | 28,270 | 28,270 | |||||||||||||||||||||||||
Total comprehensive income (loss)
|
711,347 | 498,428 | 1,209,775 | (23,048 | ) | 1,186,727 | ||||||||||||||||||||||
Cumulative effect of change in
|
||||||||||||||||||||||||||||
accounting, net
|
49,315 | (40,242 | ) | 9,073 | 9,073 | |||||||||||||||||||||||
Capital contribution
|
150,105 | 150,105 | 150,105 | |||||||||||||||||||||||||
Dividends to stockholder
|
(275,000 | ) | (275,000 | ) | (275,000 | ) | ||||||||||||||||||||||
Balances as of December 31, 2010
|
$ | 13,800 | $ | 3,711,500 | $ | 837,006 | $ | 1,633,691 | $ | 6,195,997 | $ | 52,332 | $ | 6,248,329 | ||||||||||||||
Comprehensive income:
|
||||||||||||||||||||||||||||
Net income
|
692,707 | 692,707 | 4,446 | 697,153 | ||||||||||||||||||||||||
Net unrealized gains (losses)
|
||||||||||||||||||||||||||||
on securities not other-than
|
||||||||||||||||||||||||||||
-temporarily impaired, net
|
||||||||||||||||||||||||||||
of tax of $360,070
|
668,701 | 668,701 | (29,049 | ) | 639,652 | |||||||||||||||||||||||
Net unrealized losses on
|
||||||||||||||||||||||||||||
other-than-temporarily impaired
|
||||||||||||||||||||||||||||
securities, net of tax of $(65,730)
|
(122,070 | ) | (122,070 | ) | (122,070 | ) | ||||||||||||||||||||||
Reclassification adjustment
|
||||||||||||||||||||||||||||
for losses included
|
||||||||||||||||||||||||||||
in net income, net of tax
|
||||||||||||||||||||||||||||
of $(29,318)
|
(54,447 | ) | (54,447 | ) | (54,447 | ) | ||||||||||||||||||||||
Total comprehensive income (loss)
|
492,184 | 692,707 | 1,184,891 | (24,603 | ) | 1,160,288 | ||||||||||||||||||||||
Capital contribution
|
19,401 | 19,401 | 19,401 | |||||||||||||||||||||||||
Dividends to stockholder
|
(530,000 | ) | (530,000 | ) | (530,000 | ) | ||||||||||||||||||||||
Balances as of December 31, 2011
|
$ | 13,800 | $ | 3,730,901 | $ | 1,329,190 | $ | 1,796,398 | $ | 6,870,289 | $ | 27,729 | $ | 6,898,018 |
Years Ended December 31,
|
||||||||||||
2011
|
2010
|
2009
|
||||||||||
Cash flows from operating activities:
|
||||||||||||
Net income
|
$ | 697,153 | $ | 505,716 | $ | 415,757 | ||||||
Adjustments to reconcile net income
|
||||||||||||
to net cash provided by operating activities:
|
||||||||||||
Net realized (gains) losses on investments
|
(113,933 | ) | 55,495 | 607,878 | ||||||||
Net losses on derivatives
|
809,328 | 1,069,971 | 225,566 | |||||||||
Interest credited on other contract holder funds, gross
|
1,396,036 | 1,464,020 | 1,543,268 | |||||||||
Interest expense on Federal Home Loan Bank funding
|
||||||||||||
agreements
|
22,098 | 22,678 | 28,906 | |||||||||
Mortality, expense and surrender charges
|
(343,983 | ) | (354,070 | ) | (327,521 | ) | ||||||
Amortization of discount and premium on investments
|
5,428 | (3,243 | ) | (1,235 | ) | |||||||
Deferred income tax expense
|
217,754 | 355,790 | 409,848 | |||||||||
Change in:
|
||||||||||||
Accrued investment income
|
(22,423 | ) | (103,629 | ) | 46,654 | |||||||
Deferred sales inducements and acquisition costs
|
(997,357 | ) | (1,336,646 | ) | (1,350,132 | ) | ||||||
Trading portfolio activity, net
|
151,494 | 90,570 | 268,154 | |||||||||
Income taxes receivable from Parent
|
(130,920 | ) | 318,624 | (200,147 | ) | |||||||
Other assets and liabilities, net
|
(511,464 | ) | 222,438 | 899,954 | ||||||||
Net cash provided by operating activities
|
1,179,211 | 2,307,714 | 2,566,950 | |||||||||
Cash flows from investing activities:
|
||||||||||||
Sales of fixed maturities
|
7,345,626 | 8,689,802 | 9,001,912 | |||||||||
Principal repayments, maturities, calls and redemptions:
|
||||||||||||
Fixed maturities
|
1,635,472 | 1,934,006 | 2,166,500 | |||||||||
Commercial mortgage loans
|
1,323,959 | 1,375,297 | 742,080 | |||||||||
Purchases of:
|
||||||||||||
Fixed maturities
|
(8,202,646 | ) | (13,190,087 | ) | (10,029,527 | ) | ||||||
Commercial mortgage loans
|
(1,185,257 | ) | (1,045,450 | ) | (351,711 | ) | ||||||
Other investing activities
|
(514,011 | ) | (716,905 | ) | (1,534,559 | ) | ||||||
Net cash provided by (used in) investing activities
|
403,143 | (2,953,337 | ) | (5,305 | ) | |||||||
Cash flows from financing activities:
|
||||||||||||
Policyholders' account balances:
|
||||||||||||
Deposits
|
20,374,771 | 17,868,878 | 14,123,189 | |||||||||
Withdrawals
|
(8,846,295 | ) | (7,182,166 | ) | (9,543,370 | ) | ||||||
Net transfers to separate accounts
|
(12,256,282 | ) | (10,767,308 | ) | (6,984,733 | ) | ||||||
(Payments) Proceeds from repurchase agreements
|
(451,678 | ) | 552,458 | - | ||||||||
Proceeds from Federal Home Loan Bank advances
|
150,000 | - | - | |||||||||
Proceeds from debt
|
- | 15,000 | - | |||||||||
Payments on debt
|
(40,870 | ) | (65,711 | ) | (150,000 | ) | ||||||
Payment of cash dividends to Parent
|
(530,000 | ) | (275,000 | ) | (250,000 | ) | ||||||
Capital contribution from Parent
|
- | 130,000 | 571,000 | |||||||||
Net cash (used in) provided by financing activities
|
(1,600,354 | ) | 276,151 | (2,233,914 | ) | |||||||
Net (decrease) increase in cash and cash equivalents
|
(18,000 | ) | (369,472 | ) | 327,731 | |||||||
Cash and cash equivalents, beginning of year
|
674,253 | 1,043,725 | 715,994 | |||||||||
Total cash and cash equivalents, end of year
|
$ | 656,253 | $ | 674,253 | $ | 1,043,725 |
1.
|
Nature of Operations
|
·
|
Life insurers: Jackson and its wholly owned subsidiaries Jackson National Life Insurance Company of New York, Squire Reassurance Company LLC (“Squire Re”) and Jackson National Life (Bermuda) LTD;
|
·
|
Wholly owned broker-dealer, investment management and investment advisor subsidiaries: Jackson National Life Distributors, LLC, Jackson National Asset Management, LLC, Curian Clearing, LLC and Curian Capital, LLC;
|
·
|
Wholly owned insurance agency: JNL Southeast Agency, LLC;
|
·
|
PGDS (US One) LLC (“PGDS”), a wholly owned subsidiary that provides information technology services to Jackson and certain affiliates;
|
·
|
Other partnerships, limited liability companies and variable interest entities (“VIEs”) in which Jackson has a controlling interest or is deemed the primary beneficiary;
|
·
|
Hermitage Management, LLC, a wholly owned subsidiary that holds and manages certain mortgage loans and real estate.
|
2.
|
Summary of Significant Accounting Policies
|
Years ended December 31,
|
||||||||
2011
|
2010
|
|||||||
Net income as reported
|
$ | 693 | $ | 498 | ||||
Reduced deferrals
|
(248 | ) | (243 | ) | ||||
Change in amortization
|
61 | (31 | ) | |||||
Tax benefit
|
65 | 96 | ||||||
Net income as adjusted
|
$ | 571 | $ | 320 |
December 31, 2011 | December 31, 2010 | |||||||||||||||
Carrying Value
|
Fair Value
|
Carrying Value
|
Fair Value
|
|||||||||||||
Assets
|
||||||||||||||||
Cash and cash equivalents
|
$ | 656,253 | $ | 656,253 | $ | 674,253 | $ | 674,253 | ||||||||
Fixed maturities
|
41,546,295 | 41,546,295 | 40,801,885 | 40,801,885 | ||||||||||||
Trading securities
|
315,607 | 315,607 | 467,101 | 467,101 | ||||||||||||
Commercial mortgage loans
|
5,530,370 | 5,937,422 | 5,700,365 | 5,953,073 | ||||||||||||
Policy loans
|
855,099 | 678,141 | 855,842 | 684,503 | ||||||||||||
Limited partnerships
|
1,086,546 | 1,086,546 | 865,761 | 865,761 | ||||||||||||
Other loans
|
- | - | 19,410 | 19,313 | ||||||||||||
Derivative instruments
|
2,605,468 | 2,605,468 | 1,010,377 | 1,010,377 | ||||||||||||
GMIB reinsurance recoverable
|
451,274 | 451,274 | 127,534 | 127,534 | ||||||||||||
Separate account assets
|
58,796,937 | 58,796,937 | 48,854,037 | 48,854,037 | ||||||||||||
Liabilities
|
||||||||||||||||
Other contract holder funds
|
||||||||||||||||
Annuity reserves
(1)
|
$ | 36,484,825 | $ | 27,711,994 | $ | 33,829,330 | $ | 25,847,154 | ||||||||
Reserves for guaranteed investment contracts
|
761,638 | 771,597 | 700,090 | 735,869 | ||||||||||||
Trust instruments supported by funding agreements
|
1,663,204 | 1,709,966 | 2,209,268 | 2,266,664 | ||||||||||||
Federal Home Loan Bank funding agreements
|
1,751,020 | 1,752,556 | 1,750,989 | 1,637,555 | ||||||||||||
Debt
|
297,695 | 323,341 | 338,805 | 358,407 | ||||||||||||
Derivative instruments
|
1,378,907 | 1,378,907 | 1,250,807 | 1,250,807 | ||||||||||||
Separate account liabilities
|
58,796,937 | 58,796,937 | 48,854,037 | 48,854,037 | ||||||||||||
(1) - Annuity reserves represent only the components of deposits on investment contracts that are considered to be financial instruments.
|
|
Level 1
|
Observable inputs that reflect quoted prices for identical assets or liabilities in active markets that the Company has the ability to access at the measurement date. Level 1 securities include U.S. Treasury securities and exchange traded equity and derivative instruments.
|
|
Level 2
|
Observable inputs, other than quoted prices included in Level 1, for the asset or liability or prices for similar assets and liabilities. Most fixed maturity securities that are model priced using observable inputs are classified within Level 2. Also included are freestanding and embedded derivative instruments that are priced using models with observable market inputs.
|
|
Level 3
|
Valuations that are derived from techniques in which one or more of the significant inputs are unobservable (including assumptions about risk). Limited partnership interests and those embedded derivative instruments that are valued using unobservable inputs are included in Level 3. Because Level 3 fair values, by their nature, contain unobservable market inputs, considerable judgment may be used to determine the Level 3 fair values. Level 3 fair values represent the Company’s best estimate of an amount that could be realized in a current market exchange absent actual market exchanges.
|
December 31, 2011
|
Total
|
Level 1
|
Level 2
|
Level 3
|
||||||||||||
Assets
|
||||||||||||||||
Fixed maturities
|
||||||||||||||||
Government securities
|
$ | 3,361,506 | $ | 3,360,159 | $ | 1,347 | $ | - | ||||||||
Public utilities
|
2,670,236 | - | 2,669,713 | 523 | ||||||||||||
Corporate securities
|
27,249,121 | - | 27,217,349 | 31,772 | ||||||||||||
Residential mortgage-backed
|
3,988,907 | - | 3,988,907 | - | ||||||||||||
Commercial mortgage-backed
|
3,329,434 | - | 3,329,434 | - | ||||||||||||
Other asset-backed securities
|
947,091 | 11,249 | 925,782 | 10,060 | ||||||||||||
Trading securities
|
315,607 | 255,716 | - | 59,891 | ||||||||||||
Limited partnerships
|
1,086,546 | - | - | 1,086,546 | ||||||||||||
Derivative instruments
|
2,605,468 | - | 2,603,534 | 1,934 | ||||||||||||
GMIB reinsurance recoverable
|
451,274 | - | - | 451,274 | ||||||||||||
Separate account assets
(1)
|
58,796,937 | 58,796,937 | - | - | ||||||||||||
Total
|
$ | 104,802,127 | $ | 62,424,061 | $ | 40,736,066 | $ | 1,642,000 | ||||||||
Liabilities
|
||||||||||||||||
Embedded derivative liabilities
(2)
|
$ | 2,949,878 | $ | - | $ | 871,827 | $ | 2,078,051 | ||||||||
Derivative instruments
|
1,378,907 | 114,368 | 1,264,539 | - | ||||||||||||
Separate account liabilities
|
58,796,937 | 58,796,937 | - | - | ||||||||||||
Total
|
$ | 63,125,722 | $ | 58,911,305 | $ | 2,136,366 | $ | 2,078,051 | ||||||||
December 31, 2010
|
Total
|
Level 1
|
Level 2
|
Level 3
|
||||||||||||
Assets
|
||||||||||||||||
Fixed maturities
|
||||||||||||||||
Government securities
|
$ | 3,848,246 | $ | 3,817,832 | $ | 30,414 | $ | - | ||||||||
Public utilities
|
2,708,660 | - | 2,707,928 | 732 | ||||||||||||
Corporate securities
|
24,816,251 | - | 24,784,177 | 32,074 | ||||||||||||
Residential mortgage-backed
|
4,348,262 | - | 4,348,262 | - | ||||||||||||
Commercial mortgage-backed
|
3,764,136 | - | 3,764,136 | - | ||||||||||||
Other asset-backed securities
|
1,316,330 | 11,193 | 1,230,324 | 74,813 | ||||||||||||
Trading securities
|
467,101 | 255,166 | - | 211,935 | ||||||||||||
Limited partnerships
|
865,761 | - | - | 865,761 | ||||||||||||
Derivative instruments
|
1,010,377 | - | 1,010,377 | - | ||||||||||||
GMIB reinsurance recoverable
|
127,534 | - | - | 127,534 | ||||||||||||
Separate account assets
(1)
|
48,854,037 | 48,854,037 | - | - | ||||||||||||
Total
|
$ | 92,126,695 | $ | 52,938,228 | $ | 37,875,618 | $ | 1,312,849 | ||||||||
Liabilities
|
||||||||||||||||
Embedded derivative liabilities
(2)
|
$ | 1,249,972 | $ | - | $ | 936,438 | $ | 313,534 | ||||||||
Derivative instruments
|
1,250,807 | 117,449 | 1,127,527 | 5,831 | ||||||||||||
Debt
|
26,207 | - | 26,207 | - | ||||||||||||
Separate account liabilities
|
48,854,037 | 48,854,037 | - | - | ||||||||||||
Total
|
$ | 51,381,023 | $ | 48,971,486 | $ | 2,090,172 | $ | 319,365 | ||||||||
(1) Pursuant to ASC 944-80, the value of the separate account liabilities is set equal to the value of the separate account assets.
|
||||||||||||||||
(2) Includes the embedded derivative liabilities related to GMWB and GMAB benefits and index-linked annuities.
|
Total Realized/Unrealized Gains (Losses) Included in
|
||||||||||||||||||||||||
Purchases,
|
||||||||||||||||||||||||
Fair Value
|
Sales,
|
Transfers
|
Fair Value
|
|||||||||||||||||||||
as of
|
Other
|
Issuances
|
in and/or
|
as of
|
||||||||||||||||||||
January 1,
|
Net
|
Comprehensive
|
and
|
(out of)
|
December 31,
|
|||||||||||||||||||
(in thousands)
|
2011
|
Income
|
Income
|
Settlements
|
Level 3
|
2011
|
||||||||||||||||||
Assets
|
||||||||||||||||||||||||
Fixed maturities
|
||||||||||||||||||||||||
Public utilities
|
$ | 732 | $ | (25 | ) | $ | - | $ | (184 | ) | $ | - | $ | 523 | ||||||||||
Corporate securities
|
32,074 | 1,300 | 1,676 | (3,278 | ) | - | 31,772 | |||||||||||||||||
Other asset-backed securities
|
74,813 | (3,002 | ) | 3,920 | (73,868 | ) | 8,197 | 10,060 | ||||||||||||||||
Trading securities
|
211,935 | 15,934 | - | (167,978 | ) | - | 59,891 | |||||||||||||||||
Limited partnerships
|
865,761 | 84,328 | - | 136,457 | - | 1,086,546 | ||||||||||||||||||
Derivative instruments
|
- | 1,934 | - | - | - | 1,934 | ||||||||||||||||||
GMIB reinsurance recoverable
|
127,534 | 323,740 | - | - | - | 451,274 | ||||||||||||||||||
Liabilities
|
||||||||||||||||||||||||
Embedded derivative liabilities
|
(313,534 | ) | (1,764,517 | ) | - | - | - | (2,078,051 | ) | |||||||||||||||
Derivative instruments
|
(5,831 | ) | 5,831 | - | - | - | - | |||||||||||||||||
Total Realized/Unrealized Gains (Losses) Included in
|
||||||||||||||||||||||||
Purchases,
|
||||||||||||||||||||||||
Fair Value
|
Sales,
|
Transfers
|
Fair Value
|
|||||||||||||||||||||
as of
|
Other
|
Issuances
|
in and/or
|
as of
|
||||||||||||||||||||
January 1,
|
Net
|
Comprehensive
|
and
|
(out of)
|
December 31,
|
|||||||||||||||||||
(in thousands)
|
2010 |
Income
|
Income
|
Settlements
|
Level 3
|
2010 | ||||||||||||||||||
Assets
|
||||||||||||||||||||||||
Fixed maturities
|
||||||||||||||||||||||||
Public utilities
|
$ | 13,338 | $ | (1,809 | ) | $ | 1,870 | $ | (8,165 | ) | $ | (4,502 | ) | $ | 732 | |||||||||
Corporate securities
|
472,466 | 803 | 4,611 | (158,439 | ) | (287,367 | ) | 32,074 | ||||||||||||||||
Residential mortgage-backed
|
2,969 | (4,583 | ) | 7,038 | (5,424 | ) | - | - | ||||||||||||||||
Commercial mortgage-backed
|
77,899 | (1,579 | ) | 16,203 | (43,852 | ) | (48,671 | ) | - | |||||||||||||||
Other asset-backed securities
|
902,956 | (2,444 | ) | 13,683 | (386,693 | ) | (452,689 | ) | 74,813 | |||||||||||||||
Trading securities
|
246,045 | 64,689 | - | (98,799 | ) | - | 211,935 | |||||||||||||||||
Limited partnerships
|
704,689 | 67,466 | - | 93,606 | - | 865,761 | ||||||||||||||||||
Derivative instruments
|
281,989 | (26,551 | ) | - | (99,003 | ) | (156,435 | ) | - | |||||||||||||||
GMIB reinsurance recoverable
|
141,459 | (13,925 | ) | - | - | - | 127,534 | |||||||||||||||||
Liabilities
|
||||||||||||||||||||||||
Embedded derivative liabilities
|
(437,433 | ) | 123,899 | - | - | - | (313,534 | ) | ||||||||||||||||
Derivative instruments
|
(27,230 | ) | 21,399 | - | - | - | (5,831 | ) |
Purchases
|
Sales
|
Issuances
|
Settlements
|
Total
|
||||||||||||||||
Assets
|
||||||||||||||||||||
Fixed maturities | ||||||||||||||||||||
Public utilities
|
$ | - | $ | (184 | ) | $ | - | $ | - | $ | (184 | ) | ||||||||
Corporate securities
|
- | (3,278 | ) | - | - | (3,278 | ) | |||||||||||||
Other asset-backed securities
|
- | (73,868 | ) | - | - | (73,868 | ) | |||||||||||||
Trading securities | 2,629 | (170,607 | ) | - | - | (167,978 | ) | |||||||||||||
Limited partnerships | 254,880 | (118,423 | ) | - | - | 136,457 | ||||||||||||||
Total | $ | 257,509 | $ | (366,360 | ) | $ | - | $ | - | $ | (108,851 | ) |
2011
|
2010
|
|||||||
Assets
|
||||||||
Fixed maturities | ||||||||
Public utilities
|
$ | (25 | ) | $ | - | |||
Corporate securities
|
2,962 | 2,635 | ||||||
Other asset-backed securities
|
(3,865 | ) | 2,891 | |||||
Trading securities
|
15,915 | 28,905 | ||||||
Limited partnerships
|
84,478 | 68,169 | ||||||
Derivative instruments
|
1,934 | - | ||||||
GMIB reinsurance recoverable
|
323,740 | (13,925 | ) | |||||
Liabilities
|
||||||||
Embedded derivative liabilities
|
$ | (1,764,517 | ) | $ | 123,899 | |||
Derivative instruments
|
(5,831 | ) | 21,399 |
4.
|
Investments
|
Percent of Total
Fixed Maturities
Carrying Value
December 31, 2011
|
|
Investment Rating
|
|
AAA
|
22.2%
|
AA
|
5.6%
|
A
|
31.1%
|
BBB
|
35.1%
|
Investment grade
|
94.0%
|
BB
|
3.1%
|
B and below
|
2.9%
|
Below investment grade
|
6.0%
|
Total fixed maturities
|
100.0%
|
Amortized
Cost
(1)
|
Gross
Unrealized
Gains
|
Gross
Unrealized
Losses
|
Fair
Value
|
Non-credit
OTTI
(2)
|
||||||||||||||||
December 31, 2011
|
||||||||||||||||||||
Fixed Maturities
|
||||||||||||||||||||
Government securities
|
$ | 2,932,197 | $ | 429,309 | $ | - | $ | 3,361,506 | $ | - | ||||||||||
Public utilities
|
2,346,651 | 324,466 | 881 | 2,670,236 | - | |||||||||||||||
Corporate securities
|
25,129,745 | 2,217,024 | 97,648 | 27,249,121 | 6,755 | |||||||||||||||
Residential mortgage-backed
|
4,127,911 | 146,430 | 285,434 | 3,988,907 | (177,444 | ) | ||||||||||||||
Commercial mortgage-backed
|
3,064,184 | 324,360 | 59,110 | 3,329,434 | (6,933 | ) | ||||||||||||||
Other asset-backed securities
|
1,087,800 | 15,564 | 156,273 | 947,091 | (59,520 | ) | ||||||||||||||
Total fixed maturities
|
$ | 38,688,488 | $ | 3,457,153 | $ | 599,346 | $ | 41,546,295 | $ | (237,142 | ) |
(1)
|
Fair value for securities carried at fair value with changes in value recorded through the income statement.
|
(2)
|
Represents the amount of cumulative non-credit OTTI gains (losses) recognized in other comprehensive income on securities for which credit impairments have been recorded.
|
Amortized
Cost
(1)
|
Gross
Unrealized
Gains
|
Gross
Unrealized
Losses
|
Fair
Value
|
Non-credit
OTTI
(2)
|
||||||||||||||||
December 31, 2010
|
||||||||||||||||||||
Fixed Maturities
|
||||||||||||||||||||
Government securities
|
$ | 3,789,201 | $ | 62,052 | $ | 3,007 | $ | 3,848,246 | $ | - | ||||||||||
Public utilities
|
2,514,868 | 205,830 | 12,038 | 2,708,660 | - | |||||||||||||||
Corporate securities
|
23,362,634 | 1,597,001 | 143,384 | 24,816,251 | 12,184 | |||||||||||||||
Residential mortgage-backed
|
4,542,139 | 138,232 | 332,109 | 4,348,262 | (158,502 | ) | ||||||||||||||
Commercial mortgage-backed
|
3,549,421 | 277,898 | 63,183 | 3,764,136 | (8,192 | ) | ||||||||||||||
Other asset-backed securities
|
1,464,057 | 18,831 | 166,558 | 1,316,330 | (17,757 | ) | ||||||||||||||
Total fixed maturities
|
$ | 39,222,320 | $ | 2,299,844 | $ | 720,279 | $ | 40,801,885 | $ | (172,267 | ) |
(1)
|
Fair value for securities carried at fair value with changes in value recorded through the income statement.
|
(2)
|
Represents the amount of cumulative non-credit OTTI gains (losses) recognized in other comprehensive income on securities for which credit impairments have been recorded.
|
Amortized
(1)
Cost
|
Gross
Unrealized
Gains
|
Gross
Unrealized
Losses
|
Fair Value
|
|||||||||||||
Due in 1 year or less
|
$ | 1,279,659 | $ | 25,880 | $ | 54 | $ | 1,305,485 | ||||||||
Due after 1 year through 5 years
|
6,262,323 | 450,621 | 10,644 | 6,702,300 | ||||||||||||
Due after 5 years through 10 years
|
18,743,820 | 1,856,138 | 42,706 | 20,557,252 | ||||||||||||
Due after 10 years through 20 years
|
2,172,590 | 267,399 | 13,845 | 2,426,144 | ||||||||||||
Due after 20 years
|
1,950,201 | 370,761 | 31,280 | 2,289,682 | ||||||||||||
Residential mortgage-backed
|
4,127,911 | 146,430 | 285,434 | 3,988,907 | ||||||||||||
Commercial mortgage-backed
|
3,064,184 | 324,360 | 59,110 | 3,329,434 | ||||||||||||
Other asset-backed securities
|
1,087,800 | 15,564 | 156,273 | 947,091 | ||||||||||||
Total
|
$ | 38,688,488 | $ | 3,457,153 | $ | 599,346 | $ | 41,546,295 |
Gross
|
Gross
|
|||||||||||||||
Amortized
|
Unrealized
|
Unrealized
|
Fair
|
|||||||||||||
December 31, 2011
|
Cost
(1)
|
Gains
|
Losses
|
Value
|
||||||||||||
Prime
|
$ | 865,197 | $ | 5,522 | $ | 79,340 | $ | 791,379 | ||||||||
Alt-A
|
560,471 | 2,076 | 85,280 | 477,267 | ||||||||||||
Subprime
|
441,311 | 61 | 120,814 | 320,558 | ||||||||||||
Total non-agency RMBS
|
$ | 1,866,979 | $ | 7,659 | $ | 285,434 | $ | 1,589,204 | ||||||||
Gross | Gross | |||||||||||||||
Amortized
|
Unrealized
|
Unrealized
|
Fair
|
|||||||||||||
December 31, 2010
|
Cost
(1)
|
Gains
|
Losses
|
Value
|
||||||||||||
Prime
|
$ | 1,073,242 | $ | 12,511 | $ | 134,826 | $ | 950,927 | ||||||||
Alt-A
|
736,193 | 2,786 | 95,028 | 643,951 | ||||||||||||
Subprime
|
475,652 | 1,076 | 99,128 | 377,600 | ||||||||||||
Total non-agency RMBS
|
$ | 2,285,087 | $ | 16,373 | $ | 328,982 | $ | 1,972,478 |
December 31, 2011
|
December 31, 2010
|
|||||||||||||||||||||||
Less than 12 months
|
Less than 12 months
|
|||||||||||||||||||||||
Gross
|
Gross
|
|||||||||||||||||||||||
Unrealized
|
# of
|
Unrealized
|
# of
|
|||||||||||||||||||||
Losses
|
Fair Value
|
securities
|
Losses
|
Fair Value
|
securities
|
|||||||||||||||||||
Government securities
|
$ | - | $ | - | - | $ | 3,007 | $ | 480,177 | 3 | ||||||||||||||
Public utilities
|
373 | 23,422 | 2 | 10,655 | 264,765 | 19 | ||||||||||||||||||
Corporate securities
|
57,525 | 1,615,252 | 149 | 81,721 | 2,936,548 | 176 | ||||||||||||||||||
Residential mortgage-backed
|
66,509 | 326,993 | 36 | 4,255 | 112,509 | 23 | ||||||||||||||||||
Commercial mortgage-backed
|
3,162 | 82,921 | 14 | 4,152 | 203,927 | 18 | ||||||||||||||||||
Other asset-backed securities
|
56,129 | 180,432 | 42 | 2,923 | 146,656 | 17 | ||||||||||||||||||
Total temporarily impaired
|
||||||||||||||||||||||||
securities
|
$ | 183,698 | $ | 2,229,020 | 243 | $ | 106,713 | $ | 4,144,582 | 256 | ||||||||||||||
12 months or longer
|
12 months or longer
|
|||||||||||||||||||||||
Gross
|
Gross
|
|||||||||||||||||||||||
Unrealized
|
# of
|
Unrealized
|
# of
|
|||||||||||||||||||||
Losses
|
Fair Value
|
securities
|
Losses
|
Fair Value
|
securities
|
|||||||||||||||||||
Public utilities
|
$ | 508 | $ | 6,965 | 1 | $ | 1,383 | $ | 6,941 | 2 | ||||||||||||||
Corporate securities
|
40,123 | 259,037 | 44 | 61,663 | 491,829 | 61 | ||||||||||||||||||
Residential mortgage-backed
|
218,925 | 1,013,025 | 158 | 327,854 | 1,590,392 | 173 | ||||||||||||||||||
Commercial mortgage-backed
|
55,948 | 82,829 | 21 | 59,031 | 145,344 | 31 | ||||||||||||||||||
Other asset-backed securities
|
100,144 | 251,998 | 58 | 163,635 | 442,578 | 81 | ||||||||||||||||||
Total temporarily impaired
|
||||||||||||||||||||||||
securities
|
$ | 415,648 | $ | 1,613,854 | 282 | $ | 613,566 | $ | 2,677,084 | 348 | ||||||||||||||
Total
|
Total
|
|||||||||||||||||||||||
Gross
|
Gross
|
|||||||||||||||||||||||
Unrealized
|
# of
|
Unrealized
|
# of
|
|||||||||||||||||||||
Losses
|
Fair Value
|
securities
|
Losses
|
Fair Value
|
securities
|
|||||||||||||||||||
Government securities
|
$ | - | $ | - | - | $ | 3,007 | $ | 480,177 | 3 | ||||||||||||||
Public utilities
|
881 | 30,387 | 3 | 12,038 | 271,706 | 21 | ||||||||||||||||||
Corporate securities
|
97,648 | 1,874,289 | 193 | 143,384 | 3,428,377 | 237 | ||||||||||||||||||
Residential mortgage-backed
|
285,434 | 1,340,018 | 194 | 332,109 | 1,702,901 | 196 | ||||||||||||||||||
Commercial mortgage-backed
|
59,110 | 165,750 | 35 | 63,183 | 349,271 | 49 | ||||||||||||||||||
Other asset-backed securities
|
156,273 | 432,430 | 100 | 166,558 | 589,234 | 98 | ||||||||||||||||||
Total temporarily impaired
|
||||||||||||||||||||||||
securities
|
$ | 599,346 | $ | 3,842,874 | 525 | $ | 720,279 | $ | 6,821,666 | 604 |
·
|
The Company does not expect full recovery of the amortized cost based on the discounted cash flows estimated to be collected;
|
·
|
The Company intends to sell a security; or,
|
·
|
It is more likely than not that the Company will be required to sell a security prior to recovery.
|
Years Ended December 31,
|
||||||||||||
2011
|
2010
|
2009
|
||||||||||
Available-for-sale securities
|
||||||||||||
Realized gains on sale
|
$ | 287,507 | $ | 440,843 | $ | 464,044 | ||||||
Realized losses on sale
|
(85,037 | ) | (356,080 | ) | (209,720 | ) | ||||||
Impairments:
|
||||||||||||
Total other-than-temporary impairments
|
(305,805 | ) | (319,977 | ) | (1,196,893 | ) | ||||||
Portion of other-than-temporary impairments
|
||||||||||||
included in other comprehensive income
|
218,710 | 176,719 | 422,186 | |||||||||
Net other-than-temporary impairments
|
(87,095 | ) | (143,258 | ) | (774,707 | ) | ||||||
Transfer to trading portfolio
|
- | - | (87,491 | ) | ||||||||
Other
|
(1,442 | ) | 3,000 | (4 | ) | |||||||
Net realized gains (losses) on non-derivative investments
|
113,933 | (55,495 | ) | (607,878 | ) | |||||||
Net losses on derivative instruments
|
(874,038 | ) | (1,109,469 | ) | (136,553 | ) | ||||||
Total net realized losses on investments
|
$ | (760,105 | ) | $ | (1,164,964 | ) | $ | (744,431 | ) |
Years Ended December 31,
|
||||||||
2011
|
2010
|
|||||||
Cumulative credit loss beginning balance
|
$ | 698,370 | $ | 1,062,190 | ||||
Additions:
|
||||||||
New credit losses
|
35,724 | 61,354 | ||||||
Incremental credit losses
|
32,073 | 76,904 | ||||||
Reductions:
|
||||||||
Securities sold, paid down or disposed of
|
(361,411 | ) | (502,078 | ) | ||||
Cumulative credit loss ending balance
|
$ | 404,756 | $ | 698,370 |
Years Ended December 31,
|
||||||||
Allowance for loan losses:
|
2011
|
2010
|
||||||
Balance at beginning of year
|
$ | 33,190 | $ | 14,246 | ||||
Charge-offs
|
(34,474 | ) | (17,717 | ) | ||||
Recoveries
|
- | - | ||||||
Net charge-offs
|
(34,474 | ) | (17,717 | ) | ||||
Provision for loan losses
|
21,390 | 36,661 | ||||||
Balance at end of year
|
$ | 20,106 | $ | 33,190 |
Allowance for Loan Losses
|
Recorded Investment
|
|||||||
December 31, 2011:
|
||||||||
Individually evaluated for impairment
|
$ | 3,481 | $ | 214,335 | ||||
Collectively evaluated for impairment
|
16,625 | 5,316,035 | ||||||
Total
|
$ | 20,106 | $ | 5,530,370 | ||||
December 31, 2010:
|
||||||||
Individually evaluated for impairment
|
$ | 22,256 | $ | 215,832 | ||||
Collectively evaluated for impairment
|
10,934 | 5,484,533 | ||||||
Total
|
$ | 33,190 | $ | 5,700,365 |
2011
|
2010
|
|||||||
Accruing
|
||||||||
Current
|
$ | 5,518,802 | $ | 5,627,862 | ||||
Less than 60 days delinquent
|
- | 57,078 | ||||||
60 days to 90 days delinquent
|
- | - | ||||||
91 days or more delinquent
|
3,000 | - | ||||||
Total accruing
|
5,521,802 | 5,684,940 | ||||||
Non-accrual
|
8,568 | 15,425 | ||||||
Total
|
$ | 5,530,370 | $ | 5,700,365 |
Recorded
Investment
|
Unpaid Principal Balance
|
Related Loan Allowance
|
Average Recorded Investment
|
Investment Income Recognized
|
||||||||||||||||
December 31, 2011:
|
||||||||||||||||||||
Impaired Loans with a Valuation Allowance
|
||||||||||||||||||||
Hotel
|
$ | 41,592 | $ | 44,920 | $ | 3,328 | $ | 41,116 | $ | 1,658 | ||||||||||
Office
|
11,319 | 11,472 | 153 | 11,038 | 688 | |||||||||||||||
Total
|
52,911 | 56,392 | 3,481 | 52,154 | 2,346 | |||||||||||||||
Impaired Loans without a Valuation Allowance
|
||||||||||||||||||||
Apartment
|
92,250 | 113,107 | - | 105,143 | 4,601 | |||||||||||||||
Hotel
|
27,109 | 34,581 | - | 29,583 | 1,252 | |||||||||||||||
Office
|
30,084 | 31,893 | - | 30,515 | 594 | |||||||||||||||
Retail
|
3,000 | 9,618 | - | 5,179 | 596 | |||||||||||||||
Warehouse
|
8,981 | 9,981 | - | 9,065 | 660 | |||||||||||||||
Total
|
161,424 | 199,180 | - | 179,485 | 7,703 | |||||||||||||||
Total Impaired Loans
|
||||||||||||||||||||
Apartment
|
92,250 | 113,107 | - | 105,143 | 4,601 | |||||||||||||||
Hotel
|
68,701 | 79,501 | 3,328 | 70,699 | 2,910 | |||||||||||||||
Office
|
41,403 | 43,365 | 153 | 41,553 | 1,282 | |||||||||||||||
Retail
|
3,000 | 9,618 | - | 5,179 | 596 | |||||||||||||||
Warehouse
|
8,981 | 9,981 | - | 9,065 | 660 | |||||||||||||||
Total
|
$ | 214,335 | $ | 255,572 | $ | 3,481 | $ | 231,639 | $ | 10,049 | ||||||||||
December 31, 2010:
|
||||||||||||||||||||
Impaired Loans with a Valuation Allowance
|
||||||||||||||||||||
Apartment
|
$ | 36,259 | $ | 43,700 | $ | 7,440 | $ | 40,772 | $ | 114 | ||||||||||
Hotel
|
108,454 | 120,002 | 11,547 | 120,864 | 1,565 | |||||||||||||||
Office
|
10,749 | 11,472 | 723 | 11,412 | 360 | |||||||||||||||
Retail
|
7,073 | 9,618 | 2,546 | 9,214 | 311 | |||||||||||||||
Total
|
162,535 | 184,792 | 22,256 | 182,262 | 2,350 | |||||||||||||||
Impaired Loans without a Valuation Allowance
|
||||||||||||||||||||
Apartment
|
21,120 | 22,000 | - | 21,927 | 1,339 | |||||||||||||||
Office
|
19,914 | 24,914 | - | 23,788 | 499 | |||||||||||||||
Warehouse
|
12,263 | 14,763 | - | 11,379 | 557 | |||||||||||||||
Total
|
53,297 | 61,677 | - | 57,094 | 2,395 | |||||||||||||||
Total Impaired Loans
|
||||||||||||||||||||
Apartment
|
57,379 | 65,700 | 7,440 | 62,699 | 1,453 | |||||||||||||||
Hotel
|
108,454 | 120,002 | 11,547 | 120,864 | 1,565 | |||||||||||||||
Office
|
30,663 | 36,386 | 723 | 35,200 | 859 | |||||||||||||||
Retail
|
7,073 | 9,618 | 2,546 | 9,214 | 311 | |||||||||||||||
Warehouse
|
12,263 | 14,763 | - | 11,379 | 557 | |||||||||||||||
Total
|
$ | 215,832 | $ | 246,469 | $ | 22,256 | $ | 239,356 | $ | 4,745 |
In Good
Standing
|
Restructured
|
Greater than 90 Days Delinquent
|
In the Process of Foreclosure
|
Total Carrying Value
|
||||||||||||||||
Apartment
|
$ | 1,213,009 | $ | 32,710 | $ | - | $ | - | $ | 1,245,719 | ||||||||||
Hotel
|
583,824 | 53,592 | - | 6,000 | 643,416 | |||||||||||||||
Office
|
940,026 | 41,403 | - | - | 981,429 | |||||||||||||||
Retail
|
1,071,383 | - | 3,000 | - | 1,074,383 | |||||||||||||||
Warehouse
|
1,578,147 | 7,276 | - | - | 1,585,423 | |||||||||||||||
Total
|
$ | 5,386,389 | $ | 134,981 | $ | 3,000 | $ | 6,000 | $ | 5,530,370 |
Pre-Modification
|
Post-Modification
|
|||||||||||
Number of
|
Outstanding Recorded
|
Outstanding Recorded
|
||||||||||
Contracts
|
Investment
|
Investment
|
||||||||||
Troubled Debt Restructurings
|
||||||||||||
Office
|
2 | $ | 21,188 | $ | 21,188 | |||||||
Total
|
2 | $ | 21,188 | $ | 21,188 |
Years Ended December 31,
|
||||||||||||
2011
|
2010
|
2009
|
||||||||||
Fixed maturities
|
$ | 2,164,833 | $ | 2,258,099 | $ | 2,242,491 | ||||||
Commercial mortgage loans
|
283,881 | 285,123 | 330,194 | |||||||||
Limited partnerships
|
85,949 | 69,250 | (89,829 | ) | ||||||||
Derivative instruments
|
64,710 | 39,498 | (89,013 | ) | ||||||||
Other investment income
|
97,318 | 124,630 | 158,717 | |||||||||
Total investment income
|
2,696,691 | 2,776,600 | 2,552,560 | |||||||||
Less investment expenses
|
(52,105 | ) | (72,147 | ) | (63,779 | ) | ||||||
Net investment income
|
$ | 2,644,586 | $ | 2,704,453 | $ | 2,488,781 |
December 31, 2011
|
||||||||||||||||||||
Assets
|
Liabilities
|
|||||||||||||||||||
Contractual/
|
Contractual/
|
Net
|
||||||||||||||||||
Notional
|
Fair
|
Notional
|
Fair
|
Fair
|
||||||||||||||||
Amount
(1)
|
Value
|
Amount
(1)
|
Value
|
Value
|
||||||||||||||||
Credit default swaps
|
$ | 45,000 | $ | 2,207 | $ | 165,000 | $ | (11,738 | ) | $ | (9,531 | ) | ||||||||
Cross-currency swaps
|
529,987 | 142,364 | 73,200 | (11,017 | ) | 131,347 | ||||||||||||||
Equity index call
|
||||||||||||||||||||
options
|
2,817,800 | 173,605 | 4,756,897 | (492,171 | ) | (318,566 | ) | |||||||||||||
Equity index futures
|
- | - | 5,636,700 | (114,369 | ) | (114,369 | ) | |||||||||||||
Equity index put
|
||||||||||||||||||||
options
|
38,350,000 | 330,554 | 1,250,000 | (8,725 | ) | 321,829 | ||||||||||||||
Interest rate swaps
|
13,800,000 | 1,476,006 | 14,350,000 | (740,578 | ) | 735,428 | ||||||||||||||
Put-swaptions
|
15,500,000 | 478,798 | 2,000,000 | (309 | ) | 478,489 | ||||||||||||||
Total return swaps
|
300,000 | 1,934 | - | - | 1,934 | |||||||||||||||
Total
|
$ | 71,342,787 | $ | 2,605,468 | $ | 28,231,797 | $ | (1,378,907 | ) | $ | 1,226,561 |
December 31, 2010
|
||||||||||||||||||||
Assets
|
Liabilities
|
|||||||||||||||||||
Contractual/
|
Contractual/
|
Net
|
||||||||||||||||||
Notional
|
Fair
|
Notional
|
Fair
|
Fair
|
||||||||||||||||
Amount
(1)
|
Value
|
Amount
(1)
|
Value
|
Value
|
||||||||||||||||
Credit default swaps
|
$ | 40,000 | $ | 372 | $ | 210,000 | $ | (19,730 | ) | $ | (19,358 | ) | ||||||||
Cross-currency swaps
|
593,451 | 175,454 | 270,906 | (34,720 | ) | 140,734 | ||||||||||||||
Equity index call
|
||||||||||||||||||||
options
|
5,502,500 | 125,641 | 1,356,897 | (462,209 | ) | (336,568 | ) | |||||||||||||
Equity index futures
|
- | - | 4,228,875 | (117,450 | ) | (117,450 | ) | |||||||||||||
Equity index put
|
||||||||||||||||||||
options
|
12,600,000 | 215,768 | - | - | 215,768 | |||||||||||||||
Interest rate swaps
|
11,250,000 | 446,212 | 13,300,000 | (576,480 | ) | (130,268 | ) | |||||||||||||
Put-swaptions
|
20,500,000 | 46,930 | 6,000,000 | (34,387 | ) | 12,543 | ||||||||||||||
Total return swaps
|
- | - | 300,000 | (5,831 | ) | (5,831 | ) | |||||||||||||
Total
|
$ | 50,485,951 | $ | 1,010,377 | $ | 25,666,678 | $ | (1,250,807 | ) | $ | (240,430 | ) | ||||||||
(1)
With respect to swaps and put-swaptions, the notional amount represents the stated principal balance used as a basis for calculating payments.
With respect to futures and options, the contractual amount represents the market exposure of open positions.
|
Year Ended December 31, 2011
|
||||||||||||
Other
|
Net Investment Income
|
|||||||||||
Investment
|
Net Gain (Loss)
|
|||||||||||
Gains (Losses)
|
||||||||||||
Credit default swaps
|
$ | 9,420 | $ | (10,452 | ) | $ | (1,032 | ) | ||||
Equity index call options
|
77,616 | - | 77,616 | |||||||||
Equity index futures
|
(528,345 | ) | - | (528,345 | ) | |||||||
Equity index put options
|
(270,405 | ) | - | (270,405 | ) | |||||||
Index-linked annuity embedded derivatives
|
(8,644 | ) | - | (8,644 | ) | |||||||
Interest rate swaps
|
816,426 | 64,535 | 880,961 | |||||||||
Put-swaptions
|
469,869 | (2,779 | ) | 467,090 | ||||||||
Total return swaps
|
- | 13,406 | 13,406 | |||||||||
Variable annuity embedded derivatives
|
(1,439,975 | ) | - | (1,439,975 | ) | |||||||
Total
|
$ | (874,038 | ) | $ | 64,710 | $ | (809,328 | ) |
Year Ended December 31, 2010
|
||||||||||||
Other
|
Net Investment Income
|
|||||||||||
Investment
|
Net Gain (Loss)
|
|||||||||||
Gains (Losses)
|
||||||||||||
Credit default swaps
|
$ | 8,617 | $ | (10,900 | ) | $ | (2,283 | ) | ||||
Equity index call options
|
(63,733 | ) | - | (63,733 | ) | |||||||
Equity index futures
|
(537,361 | ) | - | (537,361 | ) | |||||||
Equity index put options
|
(524,671 | ) | - | (524,671 | ) | |||||||
Index-linked annuity embedded derivatives
|
(211,684 | ) | - | (211,684 | ) | |||||||
Interest rate swaps
|
116,276 | (15,446 | ) | 100,830 | ||||||||
Put-swaptions
|
11,202 | 3,646 | 14,848 | |||||||||
Spread cap options
|
(18,089 | ) | 31,790 | 13,701 | ||||||||
Total return swaps
|
- | 30,408 | 30,408 | |||||||||
Variable annuity embedded derivatives
|
109,974 | - | 109,974 | |||||||||
Total
|
$ | (1,109,469 | ) | $ | 39,498 | $ | (1,069,971 | ) |
Year Ended December 31, 2009
|
||||||||||||
Other
|
Net Investment Income
|
|||||||||||
Investment
|
Net Gain (Loss)
|
|||||||||||
Gains (Losses)
|
||||||||||||
Credit default swaps
|
$ | (11,494 | ) | $ | (13,496 | ) | $ | (24,990 | ) | |||
Equity index call options
|
(6,895 | ) | - | (6,895 | ) | |||||||
Equity index futures
|
(396,329 | ) | - | (396,329 | ) | |||||||
Equity index put options
|
(792,760 | ) | - | (792,760 | ) | |||||||
Index-linked annuity embedded derivatives
|
(189,464 | ) | - | (189,464 | ) | |||||||
Interest rate swaps
|
612,872 | (205,639 | ) | 407,233 | ||||||||
Put-swaptions
|
4,022 | 3,030 | 7,052 | |||||||||
Spread cap options
|
48,898 | 52,622 | 101,520 | |||||||||
Total return swaps
|
- | 74,470 | 74,470 | |||||||||
Variable annuity embedded derivatives
|
594,597 | - | 594,597 | |||||||||
Total
|
$ | (136,553 | ) | $ | (89,013 | ) | $ | (225,566 | ) |
6.
|
Deferred Policy Acquisition Costs and Deferred Sales Inducement Costs
|
2011
|
2010
|
2009
|
||||||||||
Balance, beginning of year
|
$ | 5,305,670 | $ | 4,738,901 | $ | 4,889,889 | ||||||
Deferrals of acquisition costs
|
1,251,198 | 1,180,950 | 944,596 | |||||||||
Amortization related to:
|
||||||||||||
Operations
|
(707,738 | ) | (361,602 | ) | (108,238 | ) | ||||||
Derivatives
|
252,003 | 443,293 | 341,509 | |||||||||
Net realized (gains) losses
|
(14,861 | ) | 5,553 | 72,349 | ||||||||
Total amortization
|
(470,596 | ) | 87,244 | 305,620 | ||||||||
Unrealized investment gains
|
(455,668 | ) | (708,151 | ) | (1,397,712 | ) | ||||||
Other
|
4,664 | 6,726 | (3,492 | ) | ||||||||
Balance, end of year
|
$ | 5,635,268 | $ | 5,305,670 | $ | 4,738,901 |
2011
|
2010
|
2009
|
||||||||||
Balance, beginning of year
|
$ | 451,096 | $ | 476,749 | $ | 565,943 | ||||||
Deferrals of sales inducements
|
183,517 | 144,037 | 132,196 | |||||||||
Amortization related to:
|
||||||||||||
Operations
|
(136,469 | ) | (97,729 | ) | (43,542 | ) | ||||||
Derivatives
|
170,948 | 21,248 | 1,201 | |||||||||
Net realized (gains) losses
|
(1,241 | ) | 897 | 10,062 | ||||||||
Total amortization
|
33,238 | (75,584 | ) | (32,279 | ) | |||||||
Unrealized investment gains
|
(65,369 | ) | (94,106 | ) | (195,855 | ) | ||||||
Other
|
- | - | 6,744 | |||||||||
Balance, end of year
|
$ | 602,482 | $ | 451,096 | $ | 476,749 |
7.
|
Certain Nontraditional Long-Duration Contracts and Variable Annuity Guarantees
|
Average
|
|||||||||||||||
Period
|
|||||||||||||||
Weighted
|
until
|
||||||||||||||
December 31, 2011
|
Minimum
|
Account
|
Net Amount
|
Average
|
Expected
|
||||||||||
Return
|
Value
|
at Risk
|
Attained Age
|
Annuitization
|
|||||||||||
Return of net deposits plus a minimum return
|
|||||||||||||||
GMDB
|
0-6 | % | $ | 49,063.8 | $ | 4,528.9 |
64.2 years
|
|
|||||||
GMWB - Premium only
|
0 | % | 3,613.5 | 303.2 | |||||||||||
GMWB - For life
|
0-5 | %* | 4,012.6 | 904.8 | |||||||||||
GMAB - Premium only
|
0 | % | 83.3 | 3.0 | |||||||||||
Highest specified anniversary account value minus
|
|||||||||||||||
withdrawals post-anniversary
|
|||||||||||||||
GMDB
|
6,218.9 | 1,053.7 |
63.7 years
|
||||||||||||
GMWB - Highest anniversary only
|
2,883.3 | 657.6 | |||||||||||||
GMWB - For life
|
1,143.0 | 336.7 | |||||||||||||
Combination net deposits plus minimum return, highest
|
|||||||||||||||
specified anniversary account value minus
|
|||||||||||||||
withdrawals post-anniversary
|
|||||||||||||||
GMDB
|
0-6 | % | 3,260.8 | 744.7 |
66.1 years
|
||||||||||
GMIB
|
0-6 | % | 2,582.0 | 893.7 |
4.2 years
|
||||||||||
GMWB - For life
|
0-8 | %* | 34,037.8 | 3,517.2 |
Average
|
|||||||||||||||
Period
|
|||||||||||||||
Weighted
|
until
|
||||||||||||||
December 31, 2010
|
Minimum
|
Account
|
Net Amount
|
Average
|
Expected
|
||||||||||
Return
|
Value
|
at Risk
|
Attained Age
|
Annuitization
|
|||||||||||
Return of net deposits plus a minimum return
|
|||||||||||||||
GMDB
|
0-6 | % | $ | 39,987.3 | $ | 3,297.3 |
64.0 years
|
|
|||||||
GMWB - Premium only
|
0 | % | 4,293.0 | 233.4 | |||||||||||
GMWB - For life
|
0-5 | %* | 3,124.5 | 649.5 | |||||||||||
GMAB - Premium only
|
0 | % | 74.8 | 1.6 | |||||||||||
Highest specified anniversary account value minus
|
|||||||||||||||
withdrawals post-anniversary
|
|||||||||||||||
GMDB
|
5,858.8 | 730.0 |
63.3 years
|
||||||||||||
GMWB - Highest anniversary only
|
3,147.5 | 537.3 | |||||||||||||
GMWB - For life
|
1,333.7 | 306.3 | |||||||||||||
Combination net deposits plus minimum return, highest
|
|||||||||||||||
specified anniversary account value minus
|
|||||||||||||||
withdrawals post-anniversary
|
|||||||||||||||
GMDB
|
0-6 | % | 2,767.8 | 486.9 |
65.7 years
|
||||||||||
GMIB
|
0-6 | % | 3,026.4 | 654.6 |
5.1 years
|
||||||||||
GMWB - For life
|
0-8 | %* | 23,525.1 | 1,052.8 |
December 31,
|
||||||||
Fund type:
|
2011
|
2010
|
||||||
Equity
|
$ | 44,916.8 | $ | 37,327.4 | ||||
Bond
|
6,606.6 | 5,350.1 | ||||||
Balanced
|
5,976.5 | 5,237.9 | ||||||
Money market
|
1,052.8 | 705.7 | ||||||
Total
|
$ | 58,552.7 | $ | 48,621.1 |
2011
|
2010
|
2009
|
||||||||||
Balance at January 1
|
$ | 342.0 | $ | 308.7 | $ | 434.3 | ||||||
Incurred guaranteed benefits
|
198.4 | 125.7 | 21.0 | |||||||||
Paid guaranteed benefits
|
(73.8 | ) | (92.4 | ) | (146.6 | ) | ||||||
Balance at December 31
|
$ | 466.6 | $ | 342.0 | $ | 308.7 |
1)
|
Use of a series of deterministic investment performance scenarios, based on historical average market volatility.
|
2)
|
Mean investment performance assumption of 8.4% after investment management fees, but before investment advisory fees and mortality and expense charges.
|
3)
|
Mortality equal to 85.0% of the Annuity 2000 table.
|
4)
|
Lapse rates varying by contract type, duration and degree the benefit is in-the-money and ranging from 0.13% to 44.0%, with an average of 4.0% during the surrender charge period and 10.0% thereafter.
|
5)
|
Discount rate of 8.4%.
|
December 31, 2011
|
December 31, 2010
|
|||||||||||||||||
Benefit Type
|
Liability
(in millions)
|
Net Amount
at Risk
(in millions)
|
Weighted Average Attained Age
|
Liability
(in millions)
|
Net Amount
at Risk
(in millions)
|
Weighted Average Attained Age
|
||||||||||||
UL insurance benefit *
|
$ | 105.1 | $ | 6,125.9 |
55.9 years
|
$ | 84.9 | $ | 5,850.5 |
55.7 years
|
||||||||
Two-tier annuitization
|
6.0 | 31.9 |
64.7 years
|
6.2 | 32.6 |
63.9 years
|
||||||||||||
ISWL account balance
|
||||||||||||||||||
adjustment
|
73.0 | n/a |
n/a
|
66.3 | n/a |
n/a
|
1)
|
Use of a series of deterministic premium persistency scenarios.
|
2)
|
Other experience assumptions similar to those used in amortization of deferred acquisition costs.
|
3)
|
Discount rates equal to the credited interest rates, approximately 4% to 5% projected.
|
1)
|
Use of a series of deterministic scenarios, varying by surrender rate and annuitization rate.
|
2)
|
Other experience assumptions similar to those used in amortization of deferred acquisition costs.
|
3)
|
Discount rates are equal to credited interest rates, approximately 3% to 4%.
|
8.
|
Debt
|
December 31,
|
||||||||
2011
|
2010
|
|||||||
Surplus notes
|
$ | 249,354 | $ | 249,333 | ||||
Mortgage loans
|
30,841 | 31,150 | ||||||
VIE related borrowings
|
2,500 | 43,322 | ||||||
FHLBI mortgage loan
|
15,000 | 15,000 | ||||||
Total
|
$ | 297,695 | $ | 338,805 | ||||
Due in less than 1 year
|
$ | - | ||||||
Due in more than 1 to 5 years
|
48,341 | |||||||
Due after 5 years
|
249,354 | |||||||
Total
|
$ | 297,695 |
9.
|
Federal Home Loan Bank Advances
|
10.
|
Repurchase Agreements
|
11.
|
Reinsurance
|
Years Ended December 31,
|
||||||||||||
2011
|
2010
|
2009
|
||||||||||
Direct premiums:
|
||||||||||||
Life
|
$ | 257,015 | $ | 273,247 | $ | 289,755 | ||||||
Accident and health
|
3,020 | 9,058 | 10,867 | |||||||||
Plus reinsurance assumed:
|
||||||||||||
Life
|
12,728 | 13,736 | 15,020 | |||||||||
Accident and health
|
860 | 1,122 | 1,207 | |||||||||
Less reinsurance ceded:
|
||||||||||||
Life
|
(109,407 | ) | (123,621 | ) | (125,084 | ) | ||||||
Accident and health
|
(3,880 | ) | (10,180 | ) | (12,074 | ) | ||||||
Annuity guaranteed benefits
|
(20,526 | ) | (20,641 | ) | (64,460 | ) | ||||||
Total net premiums
|
$ | 139,810 | $ | 142,721 | $ | 115,231 |
Years Ended December 31,
|
||||||||||||
2011
|
2010
|
2009
|
||||||||||
Direct benefits
|
||||||||||||
Life
|
$ | 668,546 | $ | 594,368 | $ | 564,379 | ||||||
Accident and health
|
1,598 | 5,220 | 10,861 | |||||||||
Annuity guaranteed benefits
|
73,756 | 92,382 | 146,634 | |||||||||
Plus reinsurance assumed:
|
||||||||||||
Life
|
27,317 | 27,934 | 30,115 | |||||||||
Accident and health
|
468 | 560 | 694 | |||||||||
Less reinsurance ceded:
|
||||||||||||
Life
|
(118,408 | ) | (121,595 | ) | (108,985 | ) | ||||||
Accident and health
|
(2,066 | ) | (5,780 | ) | (11,555 | ) | ||||||
Annuity guaranteed benefits
|
- | - | (48,570 | ) | ||||||||
Deferral of contract enhancements
|
(172,389 | ) | (125,336 | ) | (91,873 | ) | ||||||
Change in reserves, net of reinsurance
|
106,474 | 68,972 | 149,686 | |||||||||
Total benefits
|
$ | 585,296 | $ | 536,725 | $ | 641,386 |
December 31,
|
||||||||
2011
|
2010
|
|||||||
Reserves:
|
||||||||
Life
|
$ | 893,963 | $ | 874,904 | ||||
Accident and health
|
5,764 | 18,966 | ||||||
Guaranteed minimum income benefits
|
451,274 | 127,534 | ||||||
Other annuity benefits
|
23,129 | 25,184 | ||||||
Claims liability
|
33,411 | 40,748 | ||||||
Other
|
2,147 | 2,203 | ||||||
Total
|
$ | 1,409,688 | $ | 1,089,539 |
December 31,
|
||||||||
2011
|
2010
|
|||||||
Direct life insurance in-force
|
$ | 88,014 | $ | 93,606 | ||||
Amounts assumed from other companies
|
1,334 | 1,415 | ||||||
Amounts ceded to other companies
|
(47,059 | ) | (49,417 | ) | ||||
Net life insurance in-force
|
$ | 42,290 | $ | 45,604 |
Years Ended December 31,
|
||||||||||||
2011
|
2010
|
2009
|
||||||||||
Current tax expense (benefit)
|
$ | 58,481 | $ | (179,053 | ) | $ | (227,312 | ) | ||||
Deferred tax expense
|
217,754 | 355,790 | 409,848 | |||||||||
Federal income tax expense
|
$ | 276,235 | $ | 176,737 | $ | 182,536 |
Years Ended December 31,
|
||||||||||||
2011
|
2010
|
2009
|
||||||||||
Income taxes at statutory rate
|
$ | 339,130 | $ | 236,308 | $ | 213,748 | ||||||
Dividends received deduction
|
(59,136 | ) | (56,390 | ) | (27,331 | ) | ||||||
Other
|
(3,759 | ) | (3,181 | ) | (3,881 | ) | ||||||
Federal income tax expense
|
$ | 276,235 | $ | 176,737 | $ | 182,536 | ||||||
Effective tax rate
|
28.5 | % | 26.2 | % | 29.9 | % |
December 31,
|
||||||||
2011
|
2010
|
|||||||
Gross deferred tax asset
|
||||||||
Difference between financial reporting and the tax basis of:
|
||||||||
Policy reserves and other insurance items
|
$ | 1,846,024 | $ | 1,394,786 | ||||
Other-than-temporary impairments and other investment items
|
122,244 | 238,777 | ||||||
Deferred compensation
|
44,956 | 41,498 | ||||||
Other, net
|
66,473 | 141,830 | ||||||
Total gross deferred tax asset
|
2,079,697 | 1,816,891 | ||||||
Gross deferred tax liability
|
||||||||
Difference between financial reporting and the tax basis of:
|
||||||||
Deferred acquisition costs and sales inducements
|
(1,948,928 | ) | (1,796,823 | ) | ||||
Other investment items
|
(246,482 | ) | (36,419 | ) | ||||
Other assets
|
(22,314 | ) | (96,579 | ) | ||||
Net unrealized gains on available for sale securities
|
(1,001,325 | ) | (543,647 | ) | ||||
Total gross deferred tax liability
|
(3,219,049 | ) | (2,473,468 | ) | ||||
Net deferred tax liability
|
$ | (1,139,352 | ) | $ | (656,577 | ) |
Unrecognized tax benefit at December 31, 2010
|
$ | - | ||
Additions for tax positions identified in 2011
|
45,065 | |||
Reduction of tax positions of closed prior years
|
- | |||
Unrecognized tax benefit at December 31, 2011
|
$ | 45,065 |
13.
|
Commitments and Contingencies
|
2012
|
$ | 23,087 | ||
2013
|
20,880 | |||
2014
|
14,229 | |||
2015
|
11,644 | |||
2016
|
11,248 | |||
Thereafter
|
20,501 | |||
Total
|
$ | 101,589 |
14.
|
Statutory Accounting Capital and Surplus
|
15.
|
Other Related Party Transactions
|
16.
|
Benefit Plans
|
17.
|
Subsequent Event
|
Unaudited Pro Forma Condensed Combined Income Statement
|
|||||||||||||||
For the year ended December 31, 2011
|
|||||||||||||||
2011
|
2012
|
Pre-close
|
|||||||||||||
(in thousands)
|
Restructuring
|
Excluded
|
Transactions &
|
||||||||||||
Jackson (1)
|
REALIC (2)
|
Transactions (3)
|
Business (4)
|
Eliminations (5)
|
Net Pro Forma (6)
|
||||||||||
Revenues
|
|||||||||||||||
Fee income
|
$ 2,108,159
|
$ 385,873
|
$ 52,552
|
$ (46,666)
|
$ 2,499,918
|
||||||||||
Premium
|
139,810
|
272,693
|
17,628
|
(30,355)
|
399,776
|
||||||||||
Net investment income
|
2,644,586
|
738,532
|
90,352
|
(295,187)
|
3,178,283
|
||||||||||
Net realized losses on investments:
|
-
|
||||||||||||||
Other-than-temporary impairments
|
(87,095)
|
(399)
|
(7,121)
|
(94,615)
|
|||||||||||
Other investment losses
|
(673,010)
|
(48,741)
|
57,526
|
(664,225)
|
|||||||||||
Total net realized losses on investments
|
(760,105)
|
(49,140)
|
57,526
|
(7,121)
|
(758,840)
|
||||||||||
Other income
|
52,350
|
-
|
52,350
|
||||||||||||
Total revenues
|
4,184,800
|
1,347,958
|
218,058
|
(379,329)
|
5,371,487
|
||||||||||
Benefits and Expenses
|
|||||||||||||||
Death, other policy benefits and change in
|
|||||||||||||||
policy reserves, net of deferrals
|
585,296
|
750,305
|
73,668
|
(159,210)
|
1,250,059
|
||||||||||
Interest credited on other contract holder funds
|
|||||||||||||||
net of deferrals
|
1,384,908
|
404,036
|
61,084
|
(161,140)
|
1,688,888
|
||||||||||
Interest expense
|
42,881
|
4,687
|
(4,687)
|
42,881
|
|||||||||||
Commissions and expenses, net of deferrals
|
760,969
|
(370,325)
|
482,335
|
(18,498)
|
854,481
|
||||||||||
Amortization of deferred acquisition, sales
|
|||||||||||||||
inducement costs and acquired insurance
|
437,358
|
55,965
|
63,699
|
(53,389)
|
503,633
|
||||||||||
Total benefits and expenses
|
3,211,412
|
844,668
|
680,786
|
(392,237)
|
(4,687)
|
4,339,942
|
|||||||||
Pretax income before taxes and
|
|||||||||||||||
noncontrolling interests
|
973,388
|
503,290
|
(462,728)
|
12,908
|
4,687
|
1,031,545
|
|||||||||
Income tax expense (benefit) (7)
|
276,235
|
149,053
|
(161,955)
|
4,518
|
1,640
|
269,491
|
|||||||||
Net income
|
697,153
|
354,237
|
(300,773)
|
8,390
|
3,047
|
762,054
|
|||||||||
Less: Net income attributable to
|
|||||||||||||||
noncontrolling interests
|
4,446
|
12,055
|
(12,055)
|
4,446
|
|||||||||||
Net income attributable to Jackson
|
$ 692,707
|
$ 342,182
|
$ (300,773)
|
$ 20,445
|
$ 3,047
|
$ 757,608
|
|||||||||
(1)
|
Information agrees to Jackson audited U.S. GAAP financial statements
|
(2)
|
Information agrees to REALIC unaudited U.S. GAAP financial statements
|
(3)
|
Effective July 1, 2011, REALIC terminated certain inter-affiliate retrocession agreements and recaptured the business subject to those agreements. REALIC received commissions upon the recapture of the disability insurance and A&H business and paid commissions upon the recapture of the COLI business. The one-time adjustment related to the net amount recaptured is eliminated in the 2011 Restructuring Transactions column. Also included are certain one-time restructuring costs incurred by REALIC in 2011. This column also reflects the addition of 6 months results of business recaptured on July 1, 2011 and that was not ceded in 2012 to present a view of full-year normalized results as if that business were recaptured on January 1, 2011.
|
(4)
|
As part of the agreement between Jackson and Swiss Re for the 2012 purchase of REALIC, certain business was excluded from the acquired company through a 100% coinsurance transaction executed prior to the sale. The 2012 Excluded Business column eliminates the net impact on 2011 results and the December 31, 2011 balances of all business ceded in 2012 (excluding any adjustments described in Note 3).
|
(5)
|
The Pre-close Transactions & Eliminations column reflects the pro forma effect of the acquisition and subsequent merger with the pay-off of the surplus note debt, pre-closing dividend and expense accruals, as well as the elimination of REALIC equity as if it occurred on December 31, 2011. The preliminary estimated purchase price of $663 million has been eliminated from the securities available for sale line.
|
(6)
|
The Net Pro Forma column reflects the combined operations of Jackson and the REALIC acquired business for 2011.
|
(7)
|
Income tax expense for the 2011 restructuring transactions, 2011 recaptured business and 2012 excluded business is calculated using an income tax rate of 35%.
|
|
Statements of Cash Flows (Statutory-Basis) for the years ended December 31, 2011, 2010, and 2009
|
|
Consolidated Statements of Stockholder's Equity and Comprehensive Income for the years ended December 31, 2011, 2010, and 2009
|
|
Consolidated Statements of Cash Flows for the years ended December 31, 2011, 2010, and 2009
|
1.
|
a.
|
Resolutions of the Board of Directors of Sage Life Assurance of America, Inc. establishing The Sage Variable Annuity Account A, incorporated herein by reference to the Registrant's Registration Statement filed on December 24, 1997 (File No. 333-43329).
|
b.
|
Resolutions of the Board of Directors of Jackson National Life Insurance Company changing the name of The Sage Variable Annuity Account A, attached hereto.
|
2.
|
Not Applicable.
|
3.
|
a.
|
Underwriting Agreement dated as of August 22, 2003 between Jackson (as successor to REASSURE, which was the successor to Sage) and JNLD (as assignee of SL Distributors, Inc.). Filed as Exhibit (3)(a) to Form N-4 on October 2, 2006, File No. 333-137725, which is incorporated herein by this reference.
|
b.(i)
|
Form of Selling Agreement among: Jackson (as successor to REASSURE, which was the successor to Sage); JNLD (as assignee of SL Distributors, Inc, which was the assignee of Sage Distributors, Inc.); and Selling Firms. Filed as Exhibit 3 to Pre-Effective Amendment No. 1 to Form N-4 on December 31, 1998 (File No. 333-43329), which is incorporated herein by this reference.
|
b.(ii)
|
Form of letter to Selling Firms with respect to SL Distributors, Inc’s replacement of Sage Distributors, Inc. under Selling Agreements. Filed as Exhibit 3(b)(i) to Form N-4 on October 2, 2006 (File No. 333-137725), which is incorporated herein by this reference.
|
b.(iii)
|
Form of letter to Selling Firms under Selling Agreements, with respect to Jackson’s replacement of REASSURE and JNLD’s replacement of SL Distributors, Inc., attached hereto.
|
c.
|
Assignment (dated as of December 31, 2012) of Underwriting, Selling, and Participation Agreements, including Jackson’s replacement of predecessor Insurers and JNLD’s replacement of SL Distributors, Inc., attached hereto.
|
4.
|
a.
|
Amended Form of Individual Contract, incorporated herein by reference to the Registrant’s Pre-Effective Amendment No. 1, filed on December 31, 1998 (File No. 333-43329).
|
b.
|
Second Amended Form of Individual Contract, incorporated herein by reference to Registrant’s Post-Effective Amendment No. 3, filed on February 29, 2000 (File No. 333-43329).
|
c.
|
Amended Form of Individual Contract with Interest Account, incorporated herein by reference to the Registrant’s Pre-Effective Amendment No. 1, filed on January 28, 1999 (File No. 333-43329).
|
d.
|
Second Amended Form of Individual Contract with Interest Account, incorporated herein by reference to Registrant’s Post-Effective Amendment No. 3, filed on February 29, 2000 (File No. 333-43329).
|
e.
|
Third Amended Form of Individual Contract, incorporated herein by reference to Registrant’s Post-Effective Amendment No. 9, filed on March 6, 2001 (File No. 333-43329).
|
f.
|
Amended Form of Group Contract, incorporated herein by reference to the Registrant’s Pre-Effective Amendment No. 1, filed on December 31, 1998 (File No. 333-43329).
|
g.
|
Second Amended Form of Group Contract, incorporated herein by reference to Registrant’s Post-Effective Amendment No. 3, filed on February 29, 2000 (File No. 333-43329).
|
h.
|
Amended Form of Group Certificate, incorporated herein by reference to the Registrant’s Pre-Effective Amendment No. 1, filed on December 31, 1998 (File No. 333-43329).
|
i.
|
Second Amended Form of Group Certificate, incorporated herein by reference to Registrant’s Post-Effective Amendment No. 3, filed on February 29, 2000 (File No. 333-43329).
|
j.
|
Third Amended Form of Group Certificate, incorporate herein by reference to Registrant’s Post-Effective Amendment No. 9, filed on March 6, 2001 (File No. 333-43329).
|
k.
|
Amended Form of Individual IRA Rider, incorporated herein by reference to the Registrant’s Pre-Effective Amendment No. 1, filed on December 31, 1998 (File No. 333-43329).
|
l.
|
Amended Form of Group IRA Rider, incorporated herein by reference to the Registrant’s Pre-Effective Amendment No. 1, filed on December 31, 1998 (File No. 333-43329).
|
m.
|
Amended Form of Individual SIMPLE IRA Rider, incorporated herein by reference to the Registrant’s Pre-Effective Amendment No. 1, filed on December 31, 1998 (File No. 333-43329).
|
n.
|
Amended Form of Group SIMPLE IRA Rider, incorporated herein by reference to the Registrant’s Pre-Effective Amendment No. 1, filed on December 31, 1998 (File No. 333-43329).
|
o.
|
Form of Individual Roth IRA Rider, incorporated herein by reference to the Registrant’s Registration Statement, filed on December 24, 1997 (File No. 333-43329).
|
p.
|
Form of Group Roth IRA Rider, incorporated herein by reference to the Registrant’s Registration Statement, filed on December 24, 1997 (File No. 333-43329).
|
q.
|
Form of Individual Waiver of Surrender Charge Rider, incorporated herein by reference to the Registrant’s Registration Statement, filed on December 24, 1997 (File No. 333-43329).
|
r.
|
Form of Group Waiver of Surrender Charge Rider, incorporated herein by reference to the Registrant’s Registration Statement, filed on December 24, 1997 (File No. 333-43329).
|
s.
|
Form of Individual Accidental Death Benefit Rider, incorporated herein by reference to the Registrant’s Registration Statement, filed on December 24, 1997 (File No. 333-43329).
|
t.
|
Amended Form of Individual Accidental Death Benefit Rider, incorporated herein by reference to the Registrant’s Post-Effective Amendment No. 3, filed on February 29, 2000 (File No. 333-43329).
|
u.
|
Form of Group Accidental Death Benefit Rider, incorporated herein by reference to the Registrant’s Registration Statement, filed on December 24, 1997 (File No. 333-43329).
|
v.
|
Amended Form of Group Accidental Death Benefit Rider, incorporated herein by reference to the Registrant’s Post-Effective Amendment No. 3, filed on February 29, 2000 (File No. 333-43329).
|
w.
|
Form of Individual Enhanced Death Benefit Rider, incorporated herein by reference to the Registrant’s Post-Effective Amendment No. 5, filed on June 27, 2000 (File No. 333-43329).
|
x.
|
Form of Group Enhanced Death Benefit Rider, incorporated herein by reference to the Registrant’s Post-Effective Amendment No. 5, filed on June 27, 2000 (File No. 333-43329).
|
y.
|
Form of Individual Guaranteed Minimum Income Benefit Rider, incorporated herein by reference to the Registrant’s Post-Effective Amendment No. 5, filed on June 27, 2000 (File No. 333-43329).
|
z.
|
Form of Group Guaranteed Minimum Income Benefit Rider, incorporated herein by reference to the Registrant’s Post-Effective Amendment No. 5, filed on June 27, 2000 (File No. 333-43329).
|
aa.
|
Form of Individual Endorsement re: Application-Confirmation, incorporated herein by reference to the Registrant’s Post-Effective Amendment No. 9, filed on March 6, 2001 (File No. 333-43329).
|
bb.
|
Form of Group Endorsement re: Application-Confirmation, incorporated herein by reference to the Registrant’s Post-Effective Amendment No. 9, filed on March 6, 2001 (File No. 333-43329).
|
cc.
|
Form of Endorsement changing Insurers, attached hereto.
|
5.
|
a.
|
Form of Individual Contract Application, incorporated herein by reference to the Registrant’s Pre-Effective Amendment No. 1, filed on December 31, 1998 (File No. 333-43329).
|
b.
|
Amended Form of Individual Contract Application, incorporated herein by reference to the Registrant’s Post-Effective Amendment No. 9, filed on March 6, 2001 (File No. 333-43329).
|
c.
|
Form of Individual Application-Confirmation, incorporated herein by reference to the Registrant’s Post-Effective Amendment No. 9, filed on March 6, 2001 (File No. 333-43329).
|
d.
|
Form of Group Certificate Application, incorporated herein by reference to the Registrant’s Registration Statement, filed on December 24, 1997 (File No. 333-43329).
|
e.
|
Amended Form of Group Certificate Application, incorporated herein by reference to Registrant’s Post-Effective Amendment No. 9, filed on March 6, 2001 (File No. 333-43329).
|
f.
|
Form of Group Application-Confirmation Form, incorporated herein by reference to the Registrant’s Post-Effective Amendment No. 9, filed on March 6, 2001 (File No. 333-43329).
|
6.
|
a.
|
Articles of Incorporation of Jackson National Life Insurance Company, incorporated herein by reference to the Registration Statement on Form N-4 (File Nos. 333-70697 and 811-09119) filed on January 15, 1999.
|
b.
|
Amended By-laws of Jackson National Life Insurance Company, attached hereto.
|
7.
|
Not Applicable.
|
8.
|
a.
|
Form of Participation Agreement with AIM Variable Insurance Funds, incorporated herein by reference to the Registrant’s Pre-Effective Amendment No. 1, filed on December 31, 1998 (File No. 333-43329).
|
b.
|
Form of AIM Funds Intermediary Agreement Regarding Compliance with Rule 22c-2, incorporated herein by reference to the Registrant’s Post-Effective Amendment No. 1, filed on October 1, 2007 (File Nos. 333-137725 and 811-04405).
|
c.
|
Form of Participation Agreement with The Alger American Fund, incorporated herein by reference to the Registrant’s Pre-Effective Amendment No. 1, filed on December 31, 1998 (File No. 333-43329).
|
d.
|
Form of Shareholder Information Agreement by and between The Alger American Fund and Valley Forge Life Insurance Company, incorporated herein by reference to the Registrant’s Post-Effective Amendment No. 1, filed on October 1, 2007 (File Nos. 333-137725 and 811-04405).
|
e.
|
Form of Participation Agreement with Liberty Variable Investment Trust, incorporated herein by reference to Registrant’s Pre-Effective Amendment No. 2, filed on January 28, 1999 (File No. 333-43329).
|
f.
|
Form of Participation Agreement with MFS
®
Variable Insurance Trust
SM
, incorporated herein by reference to the Registrant’s Pre-Effective Amendment No. 1, filed on December 31, 1998 (File No. 333-43329).
|
g.
|
Form of Rule 22c-2 Shareholder Information Agreement by and between MFS Fund Distributors, Inc. and Valley Forge Life Insurance Company, incorporated herein by reference to the Registrant’s Post-Effective Amendment No. 1, filed on October 1, 2007 (File Nos. 333-137725 and 811-04405).
|
h.
|
Form of Participation Agreement with Morgan Stanley The Universal Institutional Funds, Inc., incorporated herein by reference to the Registrant’s Pre-Effective Amendment No. 2, filed on January 28, 1999 (File No. 333-43329).
|
i.
|
Form of Shareholder Information Agreement by and between Morgan Stanley Distribution, Inc. and Valley Forge Life Insurance Company, incorporated herein by reference to the Registrant’s Post-Effective Amendment No. 1, filed on October 1, 2007 (File Nos. 333-137725 and 811-04405).
|
j.
|
Form of Participation Agreement with Oppenheimer Variable Account Funds, incorporated herein by reference to the Registrant’s Pre-Effective Amendment No. 2, filed on January 28, 1999 (File No. 333-43329).
|
k.
|
Form of Shareholder Information Agreement by and between OppenheimerFunds Services, OppenheimerFunds Distributor, Inc. and Valley Forge Life Insurance Company, incorporated herein by reference to the Registrant’s Post-Effective Amendment No. 1, filed on October 1, 2007 (File Nos. 333-137725 and 811-04405).
|
l.
|
Form of Participation Agreement with SteinRoe Variable Investment Trust, incorporated herein by reference to the Registrant’s Pre-Effective Amendment No. 2, filed on January 28, 1999 (File No. 333-43329).
|
m.
|
Form of Participation Agreement with T. Rowe Price Equity Series, Inc., incorporated herein by reference to the Registrant’s Pre-Effective Amendment No. 2, filed on January 28, 1999 (File No. 333-43329).
|
n.
|
Form of Rule 22c-2 Shareholder Information Agreement by and between T. Rowe Price Services, Inc., T. Rowe Price Investment Services, Inc. and Valley Forge Life Insurance Company, incorporated herein by reference to the Registrant’s Post-Effective Amendment No. 1, filed on October 1, 2007 (File Nos. 333-137730 and 811-04405).
|
o.
|
Form of Participation Agreement with INVESCO Variable Investment Funds, Inc., incorporated herein by reference to the Registrant’s Post-Effective Amendment No. 10, filed on April 27, 2001 (File No. 333-43329).
|
p.
|
Form of Services Agreement with Financial Administration Services, Inc., incorporated herein by reference to the Registrant’s Pre-Effective Amendment No. 2, filed on January 28, 1999 (File No. 333-43329).
|
q.
|
Reinsurance Agreement (Modified Coinsurance Treaty) with Life Reassurance Corporation of America, incorporated herein by reference to the Sage Life Assurance of America, Inc.’s Form 10-K, filed on April 12, 2001 (File Nos. 333-77441 and 333-77437).
|
r.
|
Form of letter to mutual funds under Fund Participation Agreements, with respect to Jackson’s replacement of REASSURE, JNLD’s replacement of SL Distributors, Inc., and change of names of Separate Accounts, attached hereto.
|
s.
|
Agreement and Plan of Merger, attached hereto.
|
9.
|
Opinion and Consent of Counsel, attached hereto.
|
10.
|
Consents of Independent Registered Public Accounting Firms, attached hereto.
|
11.
|
Not Applicable.
|
12.
|
Not Applicable.
|
Name and Principal Business Address
|
Positions and Offices with Depositor
|
Richard D. Ash
|
Senior Vice President, Chief Actuary & Appointed Actuary
|
1 Corporate Way
|
|
Lansing, MI 48951
|
|
Steve P. Binioris
|
Vice President
|
1 Corporate Way
|
|
Lansing, MI 48951
|
|
Michele M. Binkley
|
Vice President
|
1 Corporate Way
|
|
Lansing, MI 48951
|
|
Dennis Blue
|
Vice President
|
1 Corporate Way
|
|
Lansing, MI 48951
|
|
Barrett Bonemer
|
Vice President
|
1 Corporate Way
|
|
Lansing, MI 48951
|
|
Jeff Borton
|
Vice President
|
1 Corporate Way
|
|
Lansing, MI 48951
|
|
David Lee Bowers
|
Vice President
|
300 Innovation Drive
|
|
Franklin, TN 37067
|
|
John H. Brown
|
Vice President
|
1 Corporate Way
|
|
Lansing, MI 48951
|
|
James Carter
|
Vice President
|
1 Corporate Way
|
|
Lansing, MI 48951
|
|
Joseph Mark Clark
|
Senior Vice President & Chief Information Officer
|
1 Corporate Way
|
|
Lansing, MI 48951
|
|
David Collins
|
Vice President
|
1 Corporate Way
|
|
Lansing, MI 48951
|
|
Michael A. Costello
|
Vice President and Treasurer
|
1 Corporate Way
|
|
Lansing, MI 48951
|
|
James B. Croom
|
Vice President
|
1 Corporate Way
|
|
Lansing, MI 48951
|
|
Phillip Brian Eaves
|
Vice President
|
1 Corporate Way
|
|
Lansing, MI 48951
|
|
Charles F. Field, Jr.
|
Vice President
|
300 Innovation Drive
|
|
Franklin, TN 37067
|
|
Dana R. Malesky Flegler
|
Vice President
|
1 Corporate Way
|
|
Lansing, MI 48951
|
|
Robert A. Fritts
|
Senior Vice President & Controller
|
1 Corporate Way
|
|
Lansing, MI 48951
|
|
James D. Garrison
|
Vice President
|
1 Corporate Way
|
|
Lansing, MI 48951
|
|
Julia A. Goatley
|
Vice President & Assistant Secretary
|
1 Corporate Way
|
|
Lansing, MI 48951
|
|
Matthew Phillip Gonring
|
Vice President
|
300 Innovation Drive
|
|
Franklin, TN 37067
|
|
John A. Gorgenson, Jr.
|
Vice President
|
1 Corporate Way
|
|
Lansing, MI 48951
|
|
Robert W. Hajdu
|
Vice President
|
1 Corporate Way
|
|
Lansing, MI 48951
|
|
Cliff S. Hale, M.D.
|
Vice President
|
1 Corporate Way
|
|
Lansing, MI 48951
|
|
Laura L. Hanson
|
Vice President
|
1 Corporate Way
|
|
Lansing, MI 48951
|
|
H. Dean Hosfield
|
Vice President
|
1 Corporate Way
|
|
Lansing, MI 48951
|
|
Clifford J. Jack
|
Executive Vice President & Director
|
7601 Technology Way
|
|
Denver, CO 80237
|
|
Scott Klus
|
Vice President
|
1 Corporate Way
|
|
Lansing, MI 48951
|
|
Leandra R. Knes
|
Director
|
225 W. Wacker Drive
|
|
Suite 1200
|
|
Chicago, IL 60606
|
|
Everett W. Kunzelman
|
Vice President
|
1 Corporate Way
|
|
Lansing, MI 48951
|
|
Lynn W. Lopes
|
Vice President
|
1 Corporate Way
|
|
Lansing, MI 48951
|
|
Machelle A. McAdory
|
Senior Vice President
|
1 Corporate Way
|
|
Lansing, MI 48951
|
|
Diahn McHenry
|
Vice President
|
1 Corporate Way
|
|
Lansing, MI 48951
|
|
Thomas J. Meyer
|
Senior Vice President,
|
1 Corporate Way
|
General Counsel & Secretary
|
Lansing, MI 48951
|
|
Dean M. Miller
|
Vice President
|
1 Corporate Way
|
|
Lansing, MI 48951
|
|
Karen M. Minor
|
Vice President
|
1 Corporate Way
|
|
Lansing, MI 48951
|
|
Keith R. Moore
|
Senior Vice President
|
1 Corporate Way
|
|
Lansing, MI 48951
|
|
Jacky Morin
|
Vice President
|
1 Corporate Way
|
|
Lansing, MI 48951
|
|
P. Chad Myers
|
Executive Vice President, Chief Financial Officer & Director
|
1 Corporate Way
|
|
Lansing, MI 48951
|
|
Russell E. Peck
|
Vice President
|
1 Corporate Way
|
|
Lansing, MI 48951
|
|
Laura L. Prieskorn
|
Senior Vice President & Chief Administration Officer
|
1 Corporate Way
|
|
Lansing, Michigan 48951
|
|
Dana S. Rapier
|
Vice President
|
1 Corporate Way
|
|
Lansing, MI 48951
|
|
William R. Schulz
|
Vice President
|
1 Corporate Way
|
|
Lansing, MI 48951
|
|
Muhammad S. Shami
|
Vice President
|
1 Corporate Way
|
|
Lansing, MI 48951
|
|
James R. Sopha
|
Chief Operating Officer & Director
|
1 Corporate Way
|
|
Lansing, MI 48951
|
|
Kenneth H. Stewart
|
Senior Vice President
|
1 Corporate Way
|
|
Lansing, MI 48951
|
|
Heather R. Strang
|
Vice President
|
1 Corporate Way
|
|
Lansing, MI 48951
|
|
Marcia L. Wadsten
|
Vice President
|
1 Corporate Way
|
|
Lansing, MI 48951
|
|
Bonnie G. Wasgatt
|
Vice President
|
300 Innovation Drive
|
|
Franklin, TN 37067
|
|
Michael A. Wells
|
President, Chief Executive Officer & Chairman
|
300 Innovation Drive
|
|
Franklin, TN 37067
|
Company
|
State of Organization
|
Control/Ownership
|
Allied Life Brokerage Agency, Inc.
|
Iowa
|
100% Jackson National Life Insurance Company
|
Ascent Holdings Limited*
|
England
|
50% Prudential Property Investment Managers Limited
|
Ascent Insurance Brokers (Corporate) Limited*
|
England
|
100% Ascent Insurance Brokers Limited
|
Ascent Insurance Brokers Limited*
|
England
|
100% Ascent Holdings Limited
|
Ascent Insurance Management Limited*
|
England
|
100% Ascent Holdings Limited
|
BOCI – Prudential Asset Management Limited*
|
Hong Kong
|
36% Prudential Corporation Holdings Limited
|
BOCI – Prudential Trustee Limited*
|
Hong Kong
|
36% Prudential Corporation Holdings Limited
|
Brooke LLC*
|
Delaware
|
100% Prudential (US Holdco2) Limited
|
Brooke (Holdco1) Inc.
|
Delaware
|
100% Prudential (US Holdco 1) Limited
|
Brooke Holdings LLC
|
Delaware
|
100% Nicole Finance Inc.
|
Brooke Holdings (UK)*
|
United Kingdom
|
100% Brooke UK LLC
|
Brooke (Jersey) Limited*
|
Jersey
|
100% Prudential (US Holdco 2) Limited
|
Brooke Life Insurance Company
|
Michigan
|
100% Brooke Holdings LLC
|
Brooke UK LLC*
|
Delaware
|
100% Brooke (Holdco 1) Inc.
|
CIMPL Pty Limited*
|
Australia
|
100% PPM Capital (Holdings) Limited
|
CITIC Prudential Life Insurance Company Limited*
|
China
|
50% Prudential Corporation Holdings Limited
|
CITIC – Prudential Fund Management Company Limited*
|
China
|
49% Prudential Corporation Holdings Limited
|
CSU One Limited*
|
United Kingdom
|
100% Prudential Group Holdings Limited
|
Calvin Asset Management Limited*
|
England
|
100% Calvin Capital Limited
|
Calvin Capital Limited*
|
England
|
100% Marlin Acquisitions Holdings Limited
|
Canada Property (Trustee) No 1 Limited*
|
Jersey
|
100% Canada Property Holdings Limited
|
Canada Property Holdings Limited*
|
England
|
100% M&G Limited
|
Curian Capital, LLC
|
Michigan
|
100% Jackson National Life Insurance Company
|
Curian Clearing LLC
|
Michigan
|
100% Jackson National Life Insurance Company
|
Earth and Wind Energias Removables, S.L.*
|
Spain
|
100% Infracapital Solar B.V.
|
Eastspring Investments (Hong Kong) Limited*
|
Hong Kong
|
100% Prudential Corporations Holdings Limited
|
Eastspring Investments (UK) Limited*
|
England
|
100% Prudential Corporations Holdings Limited
|
Eastspring Investments Fund Management Limited Liability Company *
|
Vietnam
|
100% Prudential Vietnam Assurance Private Ltd
|
Eastspring Securities Investment Trust Co. Ltd.*
|
Taiwan
|
99.54% Prudential Corporation Holdings Limited
|
FA II Limited*
|
England
|
100% FA III Limited
|
FA III Limited*
|
England
|
100% Infracapital Nominees Limited
|
Falcon Acquisitions Limited*
|
England
|
100% FA II Limited
|
Falcon Acquisitions Holdings Limited*
|
England
|
100% Infracapital Nominees Limited
|
First Dakota, Inc.
|
North Dakota
|
100% IFC Holdings, Inc.
|
First Dakota of Montana, Inc.
|
Montana
|
100% IFC Holdings, Inc.
|
First Dakota of New Mexico, Inc.
|
New Mexico
|
100% IFC Holdings, Inc.
|
First Dakota of Texas, Inc.
|
Texas
|
100% IFC Holdings, Inc.
|
First Dakota of Wyoming, Inc.
|
Wyoming
|
100% IFC Holdings, Inc.
|
Furnival Insurance Company PCC Limited*
|
Guernsey
|
100% Prudential Corporation Holdings Limited
|
GS Twenty Two Limited*
|
England
|
100% Prudential Group Holdings Limited
|
Geoffrey Snushall Limited*
|
England
|
100% Snushalls Team Limited
|
Giang Vo Development JV Company*
|
Vietnam
|
65% Prudential Vietnam Assurance Private Limited
|
Hermitage Management, LLC
|
Michigan
|
100% Jackson National Life Company Insurance
|
Holborn Bars Nominees Limited*
|
England
|
100% M&G Investment Management Limited
|
Holborn Delaware LLC
|
Delaware
|
100% Prudential Four Limited
|
Holborn Finance Holding Company*
|
England
|
100% Prudential Securities Limited
|
Hyde Holdco 1 Limited*
|
England
|
100% Prudential Corporation Holdings Limited
|
Hyde Holdco 3 Limited*
|
England
|
100% Prudential Capital Holding Company Limited
|
ICICI Prudential Asset Management Company Limited*
|
India
|
49% Prudential Corporation Holdings Limited
|
ICICI Prudential Life Insurance Company Limited*
|
India
|
25.96% Prudential Corporation Holdings Limited
|
ICICI Prudential Pension Funds Management Company Ltd.*
|
India
|
100% ICICI Prudential Life Insurance Company Limited
|
ICICI Prudential Trust Limited*
|
India
|
49% Prudential Corporation Holdings Limited
|
IFC Holdings, Inc.
d/b/a INVEST Financial Corporation
|
Delaware
|
100% National Planning Holdings Inc.
|
INVEST Financial Corporation Insurance Agency Inc. of Alabama
|
Alabama
|
100% INVEST Financial Corporation Insurance Agency, Inc. of Delaware
|
INVEST Financial Corporation Insurance Agency Inc. of Connecticut
|
Connecticut
|
100% INVEST Financial Corporation Insurance Agency, Inc. of Delaware
|
INVEST Financial Corporation Insurance Agency Inc. of Delaware
|
Delaware
|
100% IFC Holdings, Inc. d/b/a INVEST Financial Corporation
|
INVEST Financial Corporation Insurance Agency Inc. of Georgia
|
Georgia
|
100% INVEST Financial Corporation Insurance Agency Inc. of Delaware
|
INVEST Financial Corporation Insurance Agency Inc. of Illinois
|
Illinois
|
100% INVEST Financial Corporation Insurance Agency Inc. of Delaware
|
INVEST Financial Corporation Insurance Agency Inc. of Maryland
|
Maryland
|
100% INVEST Financial Corporation Insurance Agency Inc. of Delaware
|
INVEST Financial Corporation Insurance Agency Inc. of Massachusetts
|
Massachusetts
|
100% INVEST Financial Corporation Insurance Agency Inc. of Delaware
|
INVEST Financial Corporation Insurance Agency Inc. of Montana
|
Montana
|
100% INVEST Financial Corporation Insurance Agency Inc. of Delaware
|
INVEST Financial Corporation Insurance Agency Inc. of Nevada
|
Nevada
|
100% INVEST Financial Corporation Insurance Agency Inc. of Delaware
|
INVEST Financial Corporation Insurance Agency Inc. of New Mexico
|
New Mexico
|
100% INVEST Financial Corporation Insurance Agency Inc. of Delaware
|
INVEST Financial Corporation Insurance Agency Inc. of Ohio
|
Ohio
|
100% INVEST Financial Corporation Insurance Agency Inc. of Delaware
|
INVEST Financial Corporation Insurance Agency Inc. of Oklahoma
|
Oklahoma
|
100% INVEST Financial Corporation Insurance Agency Inc. of Delaware
|
INVEST Financial Corporation Insurance Agency Inc. of South Carolina
|
South Carolina
|
100% INVEST Financial Corporation Insurance Agency Inc. of Delaware
|
INVEST Financial Corporation Insurance Agency Inc. of Texas
|
Texas
|
100% INVEST Financial Corporation Insurance Agency Inc. of Delaware
|
INVEST Financial Corporation Insurance Agency Inc. of Wyoming
|
Wyoming
|
100% INVEST Financial Corporation Insurance Agency Inc. of Delaware
|
INVEST Financial Corporation Insurance Agency PA of Mississippi
|
Mississippi
|
100% INVEST Financial Corporation Insurance Agency Inc. of Delaware
|
Infracapital CI II Limited*
|
Scotland
|
100% M&G Limited
|
Infracapital EF II Limited*
|
Scotland
|
100% M&G Limited
|
Infracapital Employee Feeder GP Limited*
|
Scotland
|
100% M&G Limited
|
Infracapital F1 S.a.r.l.*
|
Luxembourg
|
100% Infracapital F1 Holdings S.a.r.l
|
Infracapital F1 Holdings S.a.r.l.*
|
Luxembourg
|
100% Infracapital Nominees Limited
|
Infracapital GP Limited*
|
England
|
100% M&G Limited
|
Infracapital GP II Limited*
|
England
|
100% M&G Limited
|
Infracapital Nominees Limited*
|
England
|
100% M&G Limited
|
Infracapital SLP Limited*
|
England
|
100% M&G Limited
|
Infracapital Solar B.V.*
|
Netherlands
|
100% Infracapital F1 S.a.r.l.
|
Innisfree M&G PPP LLP*
|
England
|
35% M&G IMPPP1 Limited
|
Investment Centers of America, Inc.
|
North Dakota
|
100% IFC Holdings, Inc.
|
Jackson Investment Management LLC
|
Michigan
|
100% Brooke Holdings LLC
|
Jackson National Asset Management, LLC
|
Michigan
|
100% Jackson National Life Insurance Company
|
Jackson National Life (Bermuda) Ltd.
|
Bermuda
|
100% Jackson National Life Insurance Company
|
Jackson National Life Distributors LLC
|
Delaware
|
100% Jackson National Life Insurance Company
|
Jackson National Life Insurance Company of New York
|
New York
|
100% Jackson National Life Insurance Company
|
JNLI LLC
|
Delaware
|
100% Jackson National Life Insurance Company
|
JNL Southeast Agency, LLC
|
Michigan
|
100% Jackson National Life Insurance Company
|
M&G (Guernsey) Limited*
|
Guernsey
|
100% M&G Limited
|
M&G Financial Services Limited*
|
United Kingdom
|
100% M&G Limited
|
M&G Founders 1 Limited*
|
United Kingdom
|
100% M&G Limited
|
M&G General Partner Inc.*
|
Cayman Islands
|
100% M&G Limited
|
M&G Group Limited*
|
England
|
100% Prudential plc
|
M&G IMPPP 1 Limited*
|
United Kingdom
|
100% M&G Limited
|
M&G International Investments Limited*
|
England
|
100% M&G Limited
|
M&G International Investments Limited*
|
Austria
(Representative Bureau)
|
100% M&G International Investments Limited
|
M&G International Investments Limited*
|
France
(Representative Bureau)
|
100% M&G International Investments Limited
|
M&G International Investments Limited*
|
Germany
(Branch only)
|
100% M&G International Investments Limited
|
M&G International Investments Limited*
|
Italy
(Branch only)
|
100% M&G International Investments Limited
|
M&G International Investments Limited*
|
Spain
(Representative Bureau)
|
100% M&G International Investments Limited
|
M&G International Investments Nominees Limited*
|
England
|
100% M&G International Investments Limited
|
M&G Investment Management Limited*
|
England
|
100% M&G Limited
|
M&G Investments (Singapore) Pte. Ltd.*
|
Singapore
|
100% M&G Limited
|
M&G Limited*
|
England
|
100% M&G Group Limited
|
M&G Management Services Limited*
|
England
|
100% M&G Limited
|
M&G Nominees Limited*
|
United Kingdom
|
100% M&G Limited
|
M&G Pensions and Annuity Company Limited*
|
United Kingdom
|
100% M&G Limited
|
M&G RED Employee Feeder GP Limited*
|
Scotland
|
100% M&G Limited
|
M&G RED GP Limited*
|
Guernsey
|
100% M&G Limited
|
M&G RED SLP GP Limited*
|
Scotland
|
100% M&G Limited
|
M&G Real Estate Finance 1 Co S.a.r.l*
|
Luxemborg
|
100% M&G RED GP Limited
|
M&G Securities Limited*
|
United Kingdom
|
100% M&G Limited
|
M&G Support Services Limited*
|
United Kingdom
|
100% M&G Limited
|
MM&S (2375) Limited*
|
Scotland
|
100% The Prudential Assurance Company Limited
|
Marlin Acquisitions Holdings Limited*
|
England
|
100% Infracapital GP Limited
|
Mission Plans of America, Inc.
|
Texas
|
100% Jackson National Life Insurance Company
|
National Planning Corporation
|
Delaware
|
100% National Planning Holdings, Inc.
|
National Planning Corporation Insurance Agency Inc. of Nevada
|
Nevada
|
100% National Planning Corporation
|
National Planning Holdings, Inc.
|
Delaware
|
100% Brooke Holdings LLC
|
National Planning Insurance Agency Inc.
|
Alabama
|
100% National Planning Corporation
|
National Planning Insurance Agency Inc.
|
Florida
|
100% National Planning Corporation
|
National Planning Insurance Agency Inc.
|
Georgia
|
100% National Planning Corporation
|
National Planning Insurance Agency Inc.
|
Idaho
|
100% National Planning Corporation
|
National Planning Insurance Agency Inc.
|
Massachusetts
|
100% National Planning Corporation
|
National Planning Insurance Agency Inc.
|
Montana
|
100% National Planning Corporation
|
National Planning Insurance Agency Inc.
|
Oklahoma
|
100% National Planning Corporation
|
National Planning Insurance Agency Inc.
|
Texas
|
100% National Planning Corporation
|
National Planning Insurance Agency Inc.
|
Wyoming
|
100% National Planning Corporation
|
Nicole Finance Inc.
|
Delaware
|
100% Brooke UK LLC
|
North Sathorn Holdings Company Limited*
|
Thailand
|
100% Prudential Corporation Holdings Limited
|
Northstreet IP Services Singapore Pte Ltd.*
|
Singapore
|
100% Prudential Singapore Holdings Pte Limited
|
Nova Sepadu Sdn Bhd*
|
Malaysia
|
96% Sri Han Suria Sdn Berhad
|
P&A Holdco Limited*
|
England
|
100% Prudential Group Holdings Limited
|
P&A Opco Limited*
|
England
|
100% P&A Holdco Limited
|
PCA Asset Management Limited*
|
Japan
|
100% Prudential Corporation Holdings Limited
|
PCA Asset Management Co. Ltd.*
|
Korea
|
100% Prudential Corporation Holdings Limited
|
PCA Life Assurance Company Limited*
|
Taiwan
|
99.81% Prudential Corporation Holdings Limited
|
PCA Life Insurance Company Limited (Japan)*
|
Japan
|
100% Prudential Corporation Holdings Limited
|
PCA Life Insurance Company Limited (Korea)*
|
Korea
|
100% Prudential Corporation Holdings Limited
|
PGDS (UK One) Limited*
|
England
|
100% Prudential Group Holdings Limited
|
PGDS (UK Two) Limited*
|
England
|
100% PDGS (UK One) Limited
|
PGDS (US One) LLC
|
Delaware
|
100% Jackson National Life Insurance Company
|
PPEM Pte. Limited*
|
Singapore
|
100% Prudential Singapore Holdings Pte Limited
|
PPM America, Inc.
|
Delaware
|
100% PPM Holdings, Inc.
|
PPM Capital (Holdings) Limited*
|
England
|
100% M&G Limited
|
PPM Finance, Inc.
|
Delaware
|
100% PPM Holdings, Inc.
|
PPM Holdings, Inc.
|
Delaware
|
100% Brooke Holdings LLC
|
PPM Ventures (Asia) Limited*
|
Hong Kong
|
100% PPM Capital (Holdings) Limited
|
PPMC First Nominees Limited*
|
England
|
100% M&G Limited
|
PPS Five Limited*
|
England
|
100% Reeds Rains Prudential Limited
|
PPS Nine Limited*
|
United Kingdom
|
100% Prudential Property Services Limited
|
PPS Twelve Limited*
|
United Kingdom
|
100% Prudential Property Services Limited
|
PRUPIM France*
|
France
(Branch Only)
|
100% Prudential Property Investment Managers Limited
|
PT Paja Indonesia*
|
Indonesia
|
100% PT Prudential Life Assurance
|
PT Prudential Asset Management Indonesia*
|
Indonesia
|
99% Prudential Asset Management (Hong Kong) Limited
|
PT Prudential Life Assurance*
|
Indonesia
|
94.6% Prudential Corporation Holdings Limited
|
PVM Partnerships Limited*
|
United Kingdom
|
100% The Prudential Assurance Company Limited
|
Pacus (UK) Limited*
|
United Kingdom
|
100% The Prudential Assurance Company Limited
|
Park Avenue (Singapore Two) Limited*
|
Gibraltar
|
100% Prudential Group Holdings Limited
|
Pru Life Assurance Limited*
|
Singapore
|
100% Prudential Singapore Holdings Pte Limited
|
Pru Life Insurance Corporation of UK*
|
Philippines
|
100% Prudential Corporation Holdings Limited
|
Pru Pte Limited*
|
Singapore
|
100% Prudential Singapore Holdings Pte Limited
|
Prudence Foundation Limited*
|
Hong Kong
|
100% Prudential Corporation Holdings Limited
|
Prudential (AN) Limited*
|
United Kingdom
|
100% The Prudential Assurance Company Limited
|
Prudential (B1) Limited*
|
Gibraltar
|
100% Prudential (Netherlands) BV
|
Prudential (B2) Limited*
|
Gibraltar
|
100% Prudential (Netherlands) BV
|
Prudential (Gibraltar Five) *
|
Gibraltar
|
100% Prudential (Gibraltar Four) Limited
|
Prudential (Gibraltar Four) *
|
Gibraltar
|
100% Prudential (US Holdco 1) Limited
|
Prudential (Gibraltar Three)*
|
Gibraltar
|
100% Prudential (Gibraltar Four) Limited
|
Prudential (Gibraltar Two) S.a.r.l.*
|
Luxembourg
|
100% Prudential Capital Holding Company Limited
|
Prudential (Gibraltar) Limited*
|
Gibraltar
|
100% Prudential Group Holdings Limited
|
Prudential (Namibia) Unit Trusts Limited*
|
Namibia
|
93% Prudential Portfolio Managers (Namibia) (Pty) Limited
|
Prudential (Netherlands One) Limited*
|
England
|
100% Prudential Group Holdings Limited
|
Prudential (Netherlands) BV*
|
Netherlands
|
100% Prudential Group Holdings Limited
|
Prudential (US Holdco 1) Limited*
|
England
|
100% Prudential US Limited
|
Prudential (US Holdco 2)*
|
Gibraltar
|
100% Holborn Delaware LLC
|
Prudential / M&G UKCF GP Limited*
|
England
|
100% M&G Limited
|
Prudential Al-Wara’ Asset Management Berhad*
|
Malaysia
|
100% Prudential Corporation Holdings Limited
|
Prudential Annuities Limited*
|
England
|
100% The Prudential Assurance Company Limited
|
Prudential Asset Management (Hong Kong) Limited*
|
Hong Kong
|
100% Prudential Corporation Holdings Limited
|
Prudential Asset Management (Singapore) Limited*
|
Singapore
|
100% Prudential Singapore Holdings Pte Limited
|
Prudential Asset Management Limited*
|
United Arab Emirates
|
100% Prudential Corporation Holdings Limited
|
Prudential Assurance Company Singapore (Pte) Limited*
|
Singapore
|
100% Prudential Singapore Holdings Pte Limited
|
Prudential Assurance Malaysia Bhd*
|
Malaysia
|
100% Sri Han Suria Sdn Berhad
|
Prudential Assurance Singapore (Property Services) Pte Limited *
|
Singapore
|
100% Prudential Singapore Holdings Pte Limited
|
Prudential Atlantic Reinsurance Company Limited*
|
Ireland
|
100% Prudential Corporation Holdings Limited
|
Prudential Australia One Limited*
|
England
|
100% Prudential Corporation Holdings Limited
|
Prudential BSN Takaful Berhad*
|
Malaysia
|
49% Prudential Corporation Holdings Limited
|
Prudential Capital (Singapore) Pte. Ltd.*
|
Singapore
|
100% Prudential Capital Holding Company Ltd.
|
Prudential Capital Holding Company Limited*
|
England
|
100% Prudential plc
|
Prudential Capital PLC*
|
England
|
100% Prudential Capital Holding Company Limited
|
Prudential Capital Luxembourg S.a.r.l.*
|
Luxembourg
|
100% Prudential Capital Holding Company Ltd.
|
Prudential Corporate Pensions Trustee Limited*
|
England
|
100% The Prudential Assurance Company Limited
|
Prudential Corporation Asia Limited*
|
Hong Kong
|
100% Prudential Corporation Holdings Limited
|
Prudential Corporation Australasia Holdings Pty Limited*
|
Australia
|
100% Prudential Group Holdings Limited
|
Prudential plc*
|
England
|
Publicly Traded
|
Prudential Corporation Holdings Limited*
|
England
|
100% Prudential Holdings Limited
|
Prudential Corporation Limited*
|
England
|
100% Prudential Group Holdings Limited
|
Prudential Distribution Limited*
|
Scotland
|
100% Prudential Financial Services Limited
|
Prudential Europe Assurance Holdings plc*
|
Scotland
|
100% MM&S (2375) Limited
|
Prudential Finance BV*
|
Netherlands
|
100% Prudential Corporation Holdings Limited
|
Prudential Financial Services Limited*
|
England
|
100% Prudential plc
|
Prudential Five Limited*
|
England
|
100% Prudential Group Holdings Limited
|
Prudential Four Limited*
|
England
|
100% Prudential Group Holdings Limited
|
Prudential Fund Management Berhad*
|
Malaysia
|
100% Nova Sepadu Sdn Bhd
|
Prudential Fund Management Services Private Limited*
|
Singapore
|
100% Prudential Singapore Holdings Pte Limited
|
Prudential GP Limited*
|
Scotland
|
100% M&G Limited
|
Prudential General Insurance Hong Kong Limited*
|
Hong Kong
|
100% The Prudential Assurance Company Limited
|
Prudential Group Holdings Limited*
|
England
|
100% Prudential plc
|
Prudential Group Pensions Limited*
|
England
|
100% Prudential Financial Services Limited
|
Prudential Group Secretarial Services Limited*
|
England
|
100% Prudential Group Holdings Limited
|
Prudential Health Holdings Limited*
|
England
|
25% The Prudential Assurance Company Limited
|
Prudential Health Limited*
|
England
|
100% Prudential Health Insurance Limited
|
Prudential Health Insurance Limited*
|
England
|
100% Prudential Health Holdings Limited
|
Prudential Health Services Limited*
|
England
|
100% Prudential Health Holdings Limited
|
Prudential Holborn Life Limited*
|
England
|
100% The Prudential Assurance Company Limited
|
Prudential Holdings Limited*
|
Scotland
|
100% Prudential plc
|
Prudential Hong Kong Limited*
|
Hong Kong
|
100% The Prudential Assurance Company Limited
|
Prudential IP Services Limited*
|
England
|
100% Prudential Group Holdings Limited
|
Prudential International Assurance plc*
|
Ireland
|
100% Prudential Europe Assurance Holdings plc
|
Prudential International Management Services Limited*
|
Ireland
|
100% Prudential Europe Assurance Holdings plc
|
Prudential Investments (UK) Limited*
|
United Kingdom
|
100% Prudential Capital Holding Company
|
Prudential Jersey (No 2) Limited*
|
Jersey
|
100% Prudential Group Holdings Limited
|
Prudential Jersey Limited*
|
Jersey
|
100% Prudential Group Holdings Limited
|
Prudential Lalondes Limited*
|
England
|
100% Prudential Property Services Limited
|
Prudential Life Assurance (Thailand) Public Company Limited*
|
Thailand
|
42.59% North Sathorn Holdings Company Limited
32.11% Staple Limited
24.82% Prudential Corporation Holdings Limited
0.48% Others
|
Prudential Lifetime Mortgages Limited*
|
Scotland
|
100% The Prudential Assurance Company Limited
|
Prudential Pensions Limited*
|
England
|
100% The Prudential Assurance Company Limited
|
Prudential Personal Equity Plans Limited*
|
England
|
100% M&G Limited
|
Prudential Portfolio Managers (Namibia) (Pty) Limited*
|
Namibia
|
75% Prudential Portfolio Managers (South Africa) (Pty) Limited
|
Prudential Portfolio Managers (South Africa) (Pty) Limited*
|
South Africa
|
75% M&G Limited
|
Prudential Portfolio Managers (South Africa) Life Limited*
|
South Africa
|
99.4% Prudential Portfolio Managers (South Africa) (Pty) Limited
|
Prudential Portfolio Managers Unit Trusts Limited*
|
South Africa
|
94% Prudential Portfolio Managers (South Africa) (Pty) Limited
|
Prudential Process Management Services India Private Limited*
|
India
|
99.97% Prudential Corporation Holdings Limited
0.03% Prudential UK Services Limited
|
Prudential Properties Trusty Pty Limited*
|
Australia
|
100% The Prudential Assurance Company Limited
|
Prudential Property Investment Management (Singapore) Pte Limited*
|
Singapore
|
50% Prudential Singapore Holdings Pte Limited
50% Prudential Property Investment Managers Limited
|
Prudential Property Investment Managers Limited*
|
United Kingdom
|
100% M&G Limited
|
Prudential Property Services (Bristol) Limited*
|
England
|
100% Prudential Property Services Limited
|
Prudential Property Services Limited*
|
England
|
100% Prudential plc
|
Prudential Protect Limited*
|
England
|
100% Prudential Health Holdings Limited
|
Prudential Pte Ltd*
|
Singapore
|
100% Prudential Singapore Holdings Pte Limited
|
Prudential Quest Limited*
|
England
|
100% Prudential Group Holdings Limited
|
Prudential Retirement Income Limited*
|
Scotland
|
100% The Prudential Assurance Company Limited
|
Prudential Securities Limited*
|
England
|
50% Prudential (B1) Limited
50% Prudential (B2) Limited
|
Prudential Services Asia Sdn Bhd*
|
Malaysia
|
100% Prudential Corporation Holdings Limited
|
Prudential Services Limited*
|
England
|
100% Prudential Corporation Holdings Limited
|
Prudential Services Singapore Pte Limited*
|
Singapore
|
100% Prudential Singapore Holdings Pte Limited
|
Prudential Singapore Holdings Pte Limited*
|
Singapore
|
100% Prudential Corporation Holdings Limited
|
Prudential Staff Pensions Limited*
|
England
|
100% Prudential Group Holdings Limited
|
Prudential Trustee Company Limited*
|
England
|
100% M&G Limited
|
Prudential UK Services Limited*
|
Scotland
|
100% Prudential Financial Services Limited
|
Prudential US Limited*
|
England
|
100% Prudential plc
|
Prudential Unit Trusts Limited*
|
England
|
100% M&G Limited
|
Prudential Vietnam Assurance Private Limited*
|
Vietnam
|
100% Prudential Corporation Holdings Limited
|
Prudential Vietnam Finance Company Limited*
|
Vietnam
|
100% Prudential Holborn Life Limited
|
Prulink Pte Limited*
|
Singapore
|
100% Prudential Singapore Holdings Pte Limited
|
Prutec Limited*
|
England
|
100% The Prudential Assurance Company Limited
|
Quinner AG*
|
Germany
|
100% Prudential Group Holdings Limited
|
REALIC of Jacksonville Plans, Inc.
|
Texas
|
100% Jackson National Life Insurance Company
|
Reeds Rain Prudential Limited*
|
United Kingdom
|
100% Prudential Property Services Limited
|
ROP, Inc.
|
Delaware
|
100% Jackson National Life Insurance Company
|
SII Insurance Agency, Inc.
|
Massachusetts
|
100% SII Investments, Inc.
|
SII Insurance Agency, Inc.
|
Wisconsin
|
100% SII Investments, Inc.
|
SII Investments, Inc.
|
Wisconsin
|
100% National Planning Holdings, Inc.
|
SII Ohio Insurance Agency, Inc.
|
Ohio
|
100% SII Investments, Inc.
|
Scottish Amicable Finance plc*
|
Scotland
|
100% The Prudential Assurance Company Limited
|
Scottish Amicable ISA Managers Limited*
|
Scotland
|
100% The Prudential Assurance Company Limited
|
Scottish Amicable Life Assurance Society*
|
Scotland
|
100% The Prudential Assurance Company Limited
|
Scottish Amicable PEP and ISA Nominees Limited*
|
Scotland
|
100% Scottish Amicable Life Assurance Society
|
Snushalls Team Limited*
|
England
|
100% Prudential Property Services Limited
|
Squire Reassurance Company LLC
|
Michigan
|
100% Jackson National Life Insurance Company
|
Squire Capital I LLC
|
Michigan
|
100% Jackson National Life Insurance Company
|
Squire Capital II LLC
|
Michigan
|
100% Jackson National Life Insurance Company
|
Sri Han Suria Sdn Berhad*
|
Malaysia
|
51% Prudential Corporation Holdings Limited
|
SRLC Management America Corp.
|
Delaware
|
100% Jackson National Life Insurance Company
|
Stableview Limited*
|
England
|
100% M&G Limited
|
Staple Limited*
|
Thailand
|
100% Prudential Corporation Holdings Limited
|
Staple Nominees Limited*
|
England
|
100% Prudential Personal Equity Plans Limited
|
Thames Insurance Brokers Limited*
|
England
|
100% Ascent Insurance Brokers Limited
|
The First British Fixed Trust Company Limited*
|
England
|
100% M&G Limited
|
The Forum, Solent, Management Company Limited*
|
England
|
100% The Prudential Assurance Company Limited
|
The Prudential Assurance Company Limited*
|
England
|
100% Prudential plc
|
True Prospect Limited*
|
British Virgin Islands
|
100% Prudential Corporation Holdings Limited
|
VFL International Life Company SPC, Ltd.
|
Cayman Islands
|
100% Jackson National Life Insurance Company
|
Wharfedale Acquisitions Limited*
|
England
|
100% Wharfedale Acquisitions Subholdings Limited
|
Wharfedale Acquisitions Holdings Limited*
|
England
|
100% Infracapital Nominees Limited
|
Wharfedale Acquisitions Subholdings Limited*
|
England
|
100% Wharfedale Acquisitions Holdings Limited
|
Yeslink Interco Limited*
|
United Kingdom
|
100% Prudential Group Holdings Limited
|
Zelda Acquisitions Holdings Limited*
|
England
|
100% Infracapital Nominees Limited
|
Zelda Acquisitions Limited*
|
England
|
100% Zelda Acquisitions Holdings Limited
|
a)
|
Jackson National Life Distributors LLC acts as general distributor for Jackson Sage Variable Annuity Account A. Jackson National Life Distributors LLC also acts as general distributor for Jackson Sage Variable Life Account A; Jackson SWL Variable Annuity Fund I; Jackson National Separate Account – I; Jackson National Separate Account III; Jackson National Separate Account IV; Jackson National Separate Account V; JNLNY Separate Account I; JNLNY Separate Account II; and JNLNY Separate Account IV.
|
b)
|
Directors and Officers of Jackson National Life Distributors LLC:
|
Name and Business Address
|
Positions and Offices with Underwriter
|
Greg Cicotte
|
Manager, President & Chief Executive Officer
|
7601 Technology Way
|
|
Denver, CO 80237
|
|
Clifford J. Jack
|
Manager
|
7601 Technology Way
|
|
Denver, CO 80237
|
|
Thomas J. Meyer
|
Manager & Secretary
|
1 Corporate Way
|
|
Lansing, MI 48951
|
|
Paul Chad Myers
|
Manager
|
1 Corporate Way
|
|
Lansing, MI 48951
|
|
Stephen M. Ash
|
Vice President
|
7601 Technology Way
|
|
Denver, CO 80237
|
|
Jeffrey Bain
|
Vice President
|
7601 Technology Way
|
|
Denver, CO 80237
|
|
Brad Baker
|
Vice President
|
7601 Technology Way
|
|
Denver, CO 80237
|
|
Mercedes Biretto
|
Vice President
|
7601 Technology Way
|
|
Denver, CO 80237
|
|
James Bossert
|
Senior Vice President
|
7601 Technology Way
|
|
Denver, CO 80237
|
|
Tori Bullen
|
Senior Vice President
|
210 Interstate North Parkway
|
|
Suite 401
|
|
Atlanta, GA 30339-2120
|
|
Bill J. Burrow
|
Senior Vice President
|
7601 Technology Way
|
|
Denver, CO 80237
|
|
Maura Collins
|
Executive Vice President, Chief Financial Officer & FinOP
|
7601 Technology Way
|
|
Denver, CO 80237
|
|
Paul Fitzgerald
|
Senior Vice President
|
7601 Technology Way
|
|
Denver, CO 80237
|
|
Julia A. Goatley
|
Assistant Secretary
|
1 Corporate Way
|
|
Lansing, MI 48951
|
|
Luis Gomez
|
Vice President
|
7601 Technology Way
|
|
Denver, CO 80237
|
|
Kevin Grant
|
Senior Vice President
|
7601 Technology Way
|
|
Denver, CO 80237
|
|
Thomas Hurley
|
Senior Vice President
|
7601 Technology Way
|
|
Denver, CO 80237
|
|
Mark Jones
|
Vice President
|
7601 Technology Way
|
|
Denver, CO 80237
|
|
Doug Mantelli
|
Vice President
|
7601 Technology Way
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Denver, CO 80237
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Brook Meyer
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Vice President
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1 Corporate Way
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Lansing, MI 48951
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Jack Mishler
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Senior Vice President
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7601 Technology Way
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Denver, CO 80237
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Steven O’Connor
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Vice President
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7601 Technology Way
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Denver, CO 80237
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Jeremy D. Rafferty
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Vice President
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7601 Technology Way
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Denver, CO 80237
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Alison Reed
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Senior Vice President
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7601 Technology Way
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Denver, CO 80237
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Scott Romine
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Executive Vice President, National Sales Manager
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7601 Technology Way
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Denver, CO 80237
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Marilynn Scherer
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Vice President
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7601 Technology Way
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Denver, CO 80237
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Kathleen Schofield
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Vice President
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7601 Technology Way
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Denver, CO 80237
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Daniel Starishevsky
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Senior Vice President
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7601 Technology Way
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Denver, CO 80237
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Ryan Strauser
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Vice President
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7601 Technology Way
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Denver, VO 80237
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Brian Sward
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Vice President
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7601 Technology Way
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Denver, CO 80237
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Jeremy Swartz
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Vice President
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7601 Technology Way
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Denver, CO 80237
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Robin Tallman
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Vice President & Controller
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7601 Technology Way
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Denver, CO 80237
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Katie Turner
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Vice President
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7601 Technology Way
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Denver, CO 80237
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Brad Whiting
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Vice President
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7601 Technology Way
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Denver, CO 80237
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Daniel Wright
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Senior Vice President & Chief Compliance Officer
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7601 Technology Way
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Denver, CO 80237
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Phil Wright
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Vice President
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7601 Technology Way
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Denver, CO 80237
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Name of Principal Underwriter
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Net Underwriting Discounts and Commissions
|
Compensation on Redemption or Annuitization
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Brokerage Commissions
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Compensation
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Jackson National Life Distributors LLC
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Not Applicable
|
Not Applicable
|
Not Applicable
|
Not Applicable
|
*
|
December 31, 2012
|
Michael A. Wells, President, Chief
|
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Executive Officer, Director and Chairman
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*
|
December 31, 2012
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James R. Sopha, Chief Operating Officer
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and Director
|
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*
|
December 31, 2012
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Clifford J. Jack, Executive Vice President
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and Director
|
|
*
|
December 31, 2012
|
P. Chad Myers, Executive Vice President,
Chief Financial Officer and Director
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*
|
December 31, 2012
|
Robert A. Fritts, Senior Vice President and
|
|
Controller
|
|
*
|
December 31, 2012
|
Leandra R. Knes, Director
|
|
/s/ MICHAEL A. WELLS
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/s/ P. CHAD MYERS
|
Michael A. Wells, President, Chief
Executive Officer, Chairman and Director
|
P. Chad Myers, Executive Vice President,
Chief Financial Officer and Director
|
/s/ JAMES R. SOPHA
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/s/ ROBERT A. FRITTS
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James R. Sopha, Chief Operating Officer
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Robert A. Fritts, Senior Vice President and
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and Director
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Controller
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/s/ CLIFFORD J. JACK
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/s/ LEANDRA R. KNES
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Clifford J. Jack, Executive Vice President
and Director
|
Leandra R. Knes, Director
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1.
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b.
|
Resolutions of the Board of Directors of Jackson National Life Insurance Company changing the name of The Sage Variable Annuity Account A.
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b.(iii)
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Form of letter to Selling Firms under Selling Agreements, with respect to Jackson’s replacement of REASSURE and JNLD’s replacement of SL Distributors, Inc.
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c.
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Assignment (dated as of December 31, 2012) of Underwriting, Selling, and Participation Agreements, including Jackson’s replacement of predecessor Insurers and JNLD’s replacement of SL Distributors, Inc.
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b.
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Amended By-laws of Jackson National Life Insurance Company.
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r.
|
Form of letter to mutual funds under Fund Participation Agreements, with respect to Jackson’s replacement of REASSURE, JNLD’s replacement of SL Distributors, Inc., and change of names of Separate Accounts.
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9.
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Opinion and Consent of Counsel.
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10.
|
Consents of Independent Registered Public Accounting Firms.
|
Current Separate Account Name
|
New Separate Account Name
(as of December 31, 2012)
|
The Sage Variable Annuity Account A
|
Jackson Sage Variable Annuity Account A
|
The Sage Variable Life Account A
|
Jackson Sage Variable Life Account A
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RE:
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Jackson National Life Insurance Company’s Replacement of Reassure America Life Insurance Company and Jackson National Distributors LLC’s Replacement of SL Distributors, Inc. in Connection with Fund Participation Agreement
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1.
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Merger of REASSURE into Jackson
®
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Current Separate Account Name
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New Separate Account Name
(as of December 31, 2012)
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The Sage Variable Annuity Account A
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Jackson Sage Variable Annuity Account A
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The Sage Variable Life Account A
|
Jackson Sage Variable Life Account A
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Variable Annuity Fund I of Southwestern Life
|
Jackson SWL Variable Annuity Fund I
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2.
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Replacement of SL Distributors
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By:
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___________________________________
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Date:
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____________________
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Name:
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___________________________________
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||
Title:
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___________________________________
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JACKSON NATIONAL LIFE INSURANCE COMPANY
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|||
[SEAL]
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By:
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/s/ JAMES R. SOPHA
|
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Name:
|
James R. Sopha
|
||
Title:
|
Chief Operating Officer
|
||
[SEAL]
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By:
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/s/ JULIA A. GOATLEY
|
|
Name: Julia A. Goatley
|
|||
Title: Vice President & Assistant
Secretary
|
|||
REASSURE AMERICA LIFE INSURANCE COMPANY
|
|||
[SEAL]
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By:
|
/s/ JAMES R. SOPHA
|
|
Name: James R. Sopha
|
|||
Title: President & CEO
|
|||
[SEAL]
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By:
|
/s/ JULIA A. GOATLEY
|
|
Name:
|
Julia A. Goatley
|
||
Title:
|
Vice President & Secretary
|
DMS_US 51001425v1
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1.
|
Jackson Sage Variable Annuity Account A is a Unit Investment Trust as that term is defined in Section 4(2) of the Investment Company Act of 1940 (the "Act"), and is currently registered with the Securities and Exchange Commission, pursuant to Section 8(a) of the Act.
|
2.
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Upon the acceptance of premiums made by an Owner pursuant to a Contract issued in accordance with the Prospectus contained in the Registration Statement and upon compliance with applicable law, such an Owner will have a legally issued, fully paid, non-assessable contractual interest under such Contract.
|