Commission File Nos. 2-72671

811-3199

SECURITIES AND EXCHANGE COMMISSION

Washington, D.C. 20549

Form N-4

REGISTRATION STATEMENT UNDER THE SECURITIES ACT OF 1933	¨
Pre-Effective Amendment No.	¨
Post-Effective Amendment No. 47	x
and
REGISTRATION STATEMENT UNDER THE INVESTMENT COMPANY ACT OF 1940	¨
Amendment No. 119	x

ZALICO Variable Annuity Separate Account

(formerly KILICO Variable Annuity Separate Account)

(Exact Name of Registrant)

Zurich American Life Insurance Company

(formerly Kemper Investors Life Insurance Company)

(Name of Insurance Company)

1400 American Lane, Schaumburg, Illinois	60196
(Address of Insurance Company’s Principal Executive Offices)	(Zip Code)

Insurance Company’s Telephone Number, including Area Code: (425) 577-5100

Juanita M. Thomas, Esq.

Zurich American Life Insurance Company

(formerly known as Kemper Investors Life Insurance Company)

1114 Georgia Street

Louisiana, MO 63353

(Name and Address of Agent for Service)

Copy To:

Scott D. Silverman, Senior Vice President and General Counsel

Commonwealth Annuity and Life Insurance Company

132 Turnpike Road, Suite 210

Southborough, Massachusetts 01772

Telephone: (508) 460-2408

Approximate Date of Proposed Public Offering: Continuous

It is proposed that this filing will become effective (check appropriate box)

¨ immediately upon filing pursuant to paragraph (b) of Rule 485

x on May 1, 2011 pursuant to paragraph (b) of Rule 485

¨ 60 days after filing pursuant to paragraph (a) of Rule 485

¨ on                      pursuant to paragraph (a) of Rule 485

If appropriate, check the following box:

¨ This post-effective amendment designates a new effective date for a previously filed post-effective amendment.

Title of Securities being Registered:

Units of interest in Separate Account under the Contracts

No filing fee is due because an indefinite number of shares is deemed to have been registered in reliance on Section 24(f) of the Investment Company Act of 1940.

PROSPECTUS FOR

ZURICH AMERICAN LIFE INSURANCE COMPANY

PERIODIC PAYMENT VARIABLE

ANNUITY CONTRACTS

ZURICH ADVANTAGE III

Issued By

ZALICO VARIABLE ANNUITY SEPARATE ACCOUNT

(formerly KILICO Variable Annuity Separate Account)

of

ZURICH AMERICAN LIFE INSURANCE COMPANY

(formerly Kemper Investors Life Insurance Company)

This Prospectus describes Periodic Payment Deferred Variable Annuity Contracts (the “Contract”) offered by Zurich American Life Insurance Company (formerly known as Kemper Investors Life Insurance Company) (“we” or “ZALICO”). These Contracts are designed to provide annuity benefits for retirement which may or may not qualify for certain federal tax advantages. The Contract is no longer issued, however, you may make additional purchase payments as permitted under your Contract.

You may allocate purchase payments to the General Account or to one or more of the variable options. The Contract currently offers 58 variable investment options, each being a Subaccount of the ZALICO Variable Annuity Separate Account. All Subaccount options are not available to all Contract Owners (See “7. Death Benefit” page 77.) Currently, Subaccounts that invest in the following Portfolios or Funds (certain funds may not be available in all States) are offered under the Contract:

Ÿ AIM Variable Insurance Funds (Invesco Variable Insurance Funds) (Series I Shares)

Ÿ Invesco V.I. Dividend Growth Services Fund

Ÿ Invesco V.I. Global Health Care Fund

Ÿ Invesco V.I. Global Real Estate Fund

Ÿ Invesco V.I. Utilities Fund

Ÿ The Alger Portfolios (Class I-2 Shares)

Ÿ Alger Large Cap Growth Portfolio

Ÿ Alger Mid Cap Growth Portfolio

Ÿ Alger Small Cap Growth Portfolio

Ÿ American Century Variable Portfolios, Inc. (“VP”) (Class I Shares)

Ÿ American Century VP Income & Growth Fund

Ÿ American Century VP Value Fund

Ÿ Credit Suisse Trust

Ÿ Credit Suisse Trust International Equity Flex III Portfolio

Ÿ Dreyfus Investment Portfolios (“Dreyfus IP”) (Service Shares)

Ÿ Dreyfus IP MidCap Stock Portfolio

Ÿ The Dreyfus Socially Responsible Growth Fund, Inc. (Initial Share Class)

Ÿ DWS Variable Series I (Class A Shares)

Ÿ DWS Bond VIP

Ÿ DWS Capital Growth VIP

Ÿ DWS Growth & Income VIP

Ÿ DWS International VIP

Ÿ DWS Variable Series II (Class A Shares)

Ÿ DWS Balanced VIP

Ÿ DWS Core Fixed Income VIP

Ÿ DWS Diversified International Select Equity VIP

Ÿ DWS Dreman Small Mid Cap Value VIP

Ÿ DWS Government & Agency Securities VIP

Ÿ DWS High Income VIP

Ÿ DWS Large Cap Value VIP

Ÿ DWS Money Market VIP

Ÿ DWS Small Mid Cap Growth VIP

Ÿ Fidelity Variable Insurance Products Funds (“VIP”) (Initial Class Shares)

Ÿ Fidelity VIP Asset Manager^SM Portfolio

Ÿ Fidelity VIP Contrafund^® Portfolio

Ÿ Fidelity VIP Equity-Income Portfolio

Ÿ Fidelity VIP Growth Portfolio

Ÿ Fidelity VIP Index 500 Portfolio

Ÿ    Franklin Templeton Variable Insurance Products Trust (Class 2 Shares)

Ÿ    Franklin Rising Dividends Securities Fund

Ÿ    Franklin Small Cap Value Securities Fund

Ÿ    Franklin Strategic Income Securities Fund

Ÿ    Franklin U.S. Government Fund

Ÿ    Mutual Global Discovery Securities Fund

Ÿ    Mutual Shares Securities Fund

Ÿ    Templeton Developing Markets Securities Fund

Ÿ    ING Investors Trust (Institutional Class)

Ÿ    ING JPMorgan Emerging Markets Equity Portfolio

Ÿ    ING Investors Trust (Class S)

Ÿ    ING Global Resources Portfolio

Ÿ    JPMorgan Insurance Trust (Class I)

Ÿ    JPMorgan Insurance Trust Equity Index Portfolio

Ÿ    JPMorgan Insurance Trust Intrepid Mid Cap Portfolio

Ÿ    JPMorgan Insurance Trust International Equity Portfolio

Ÿ    JPMorgan Insurance Trust Mid Cap Growth Portfolio

Ÿ    JPMorgan Insurance Trust Mid Cap Value Portfolio

Ÿ    JPMorgan Insurance Trust Small Cap Core Portfolio

Ÿ    JPMorgan Insurance Trust U.S. Equity Portfolio

Ÿ Janus Aspen Series (Institutional Shares)

Ÿ Janus Aspen Balanced Portfolio

Ÿ Janus Aspen Enterprise Portfolio

Ÿ Janus Aspen Janus Portfolio

Ÿ Janus Aspen Worldwide Portfolio

Ÿ Janus Aspen Series (Service Shares)

Ÿ Janus Aspen Perkins Mid Cap Value Portfolio

Ÿ Oppenheimer Variable Account Funds (Service Shares)

Ÿ Oppenheimer Capital Appreciation Fund/VA

Ÿ Oppenheimer Global Securities Fund/VA

Ÿ Oppenheimer High Income Fund/VA

Ÿ Oppenheimer Main Street Fund^®/VA

Ÿ Oppenheimer Main Street Small- & Mid-Cap Fund^®/VA

Ÿ Oppenheimer Small- & Mid-Cap Growth Fund/VA

Ÿ Oppenheimer Global Strategic Income Fund/VA

The Contracts are not insured by the FDIC. They are obligations of the issuing insurance company and not a deposit of, or guaranteed by, any bank or savings institution and are subject to risks, including possible loss of principal.

This Prospectus contains important information about the Contracts that you should know before investing. You should read it before investing and keep it for reference. We have filed a Statement of Additional Information (“SAI”) with the Securities and Exchange Commission. The current SAI has the same date as this Prospectus and is incorporated by reference. You may obtain a free copy by writing us or calling (888) 477-9700. A table of contents for the SAI appears on page 98. You may also find this Prospectus and other required information about the Separate Account at the SEC’s web site at http://www.sec.gov.

The Securities and Exchange Commission has not approved or disapproved these securities or determined if this Prospectus is truthful or complete. Any representation to the contrary is a criminal offense.

The date of this Prospectus is May 1, 2011.

TABLE OF CONTENTS

	Page
DEFINITIONS		4
SUMMARY		6
SUMMARY OF EXPENSES		8
CONDENSED FINANCIAL INFORMATION		11
ZALICO, THE SEPARATE ACCOUNT AND THE FUNDS		63
FIXED ACCOUNT OPTION		71
THE CONTRACTS		72
CONTRACT CHARGES AND EXPENSES		80
THE ANNUITY PERIOD		83
FEDERAL TAX MATTERS		87
DISTRIBUTION OF CONTRACTS		95
VOTING RIGHTS		95
REPORTS TO CONTRACT OWNERS AND INQUIRIES		96
DOLLAR COST AVERAGING		96
SYSTEMATIC WITHDRAWAL PLAN		97
DISCONTINUED ASSET ALLOCATION SERVICE		97
PROVISIONS OF PRIOR CONTRACTS		97
LEGAL PROCEEDINGS		98
TABLE OF CONTENTS—STATEMENT OF ADDITIONAL INFORMATION		98
FINANCIAL STATEMENTS		98
CONTRACTS ISSUED MAY 1, 2001 THROUGH FEBRUARY 18, 2002		98
APPENDIX		101

3

DEFINITIONS

The following terms as used in this Prospectus have the indicated meanings:

Accumulation Period—The period between the Date of Issue of a Contract and the Annuity Date.

Accumulation Unit—A unit of measurement used to determine the value of each Subaccount during the Accumulation Period.

Annuitant—The person during whose lifetime the annuity is to be paid.

Annuity Date—The date on which annuity payments are to commence.

Annuity Option—One of several forms in which annuity payments can be made.

Annuity Period—The period starting on the Annuity Date.

Annuity Unit—A unit of measurement used to determine the amount of Variable Annuity payments.

Beneficiary—The person designated to receive any benefits under a Contract upon your death or upon the Annuitant’s death prior to the Annuity Period.

Company (“we”, “us”, “our”, “ZALICO”)—Zurich American Life Insurance Company. Our home office is at 1400 American Lane, Schaumburg, Illinois 60196. For Insurance Services, please write us at P.O. Box 758557, Topeka, KS 66675-8557.

Contract—A Variable Annuity Contract offered by this Prospectus.

Contract Value—The sum of the values of your interest in the Subaccount(s) of the Separate Account and the General Account.

Contract Year—The period between anniversaries of the Date of Issue of a Contract.

Contract Quarter—The periods between quarterly anniversaries of the Date of Issue of a Contract.

Contribution Year—Each Contract Year in which a Purchase Payment is made and each later year measured from the start of the Contract Year when the Purchase Payment was made. For example, if you make an initial payment of $15,000 and then make a later payment of $10,000 during the fourth Contract Year, the fifth Contract Year will be the fifth Contribution Year for the purpose of Accumulation Units attributable to the initial payment and the second Contribution Year with respect to Accumulation Units attributable to the later $10,000 payment.

Date of Issue—The date on which the first Contract Year commences.

Debt—The principal of any outstanding loan from the General Account Contract Value, plus any accrued interest.

Fixed Account—The General Account of ZALICO to which you may allocate all or a portion of Purchase Payments or Contract Value.

Fixed Annuity—An annuity under which we guarantee the amount of each annuity payment; it does not vary with the investment experience of a Subaccount.

Fund or Funds—AIM Variable Insurance Funds (Invesco Variable Insurance Funds), The Alger Portfolios, American Century Variable Portfolios, Inc., Credit Suisse Trust, Dreyfus Investment Portfolios, The Dreyfus Socially Responsible Growth Fund, Inc., DWS Variable Series I, DWS Variable Series II, Fidelity Variable Insurance Products Funds (which includes Variable Insurance Products Fund and Variable Insurance Products Fund II), Franklin Templeton Variable Insurance Products Trust, ING Investors Trust, JPMorgan Insurance Trust, Janus Aspen Series and Oppenheimer Variable Account Funds, including any Portfolios thereunder.

4

General Account—All our assets other than those allocated to any legally segregated separate account. We guarantee a minimum rate of interest on Purchase Payments allocated to the General Account under the Fixed Account Option.

General Account Contract Value—The value of your interest in the General Account.

Non-Qualified Contract—A Contract which does not receive favorable tax treatment under Section 401, 403, 408, 408A or 457 of the Internal Revenue Code.

Owner (“you”, “your”, “yours”)—The person designated in the Contract as having the privileges of ownership.

Portfolio—A series of a Fund with its own objective and policies, which represents shares of beneficial interest in a separate portfolio of securities and other assets. Portfolio is sometimes referred to as a Fund.

Purchase Payments—The dollar amount we receive in U.S. currency to buy the benefits this Contract provides.

Qualified Contract—A Contract issued in connection with a retirement plan which receives favorable tax treatment under Section 401, 403, 408, 408A or 457 of the Internal Revenue Code.

Separate Account—The ZALICO Variable Annuity Separate Account.

Separate Account Contract Value—The sum of your interests in the Subaccount(s).

Subaccounts—The subdivisions of the Separate Account, the assets of which consist solely of shares of the corresponding Fund or Portfolio of a Fund.

Subaccount Value—The value of your interest in each Subaccount.

Unitholder—The person holding the voting rights with respect to an Accumulation or Annuity Unit.

Valuation Date—Each day when the New York Stock Exchange is open for trading, as well as each day otherwise required.

Valuation Period—The interval of time between two consecutive Valuation Dates.

Variable Annuity—An annuity with payments varying in amount in accordance with the investment experience of the Subaccount(s) in which you have an interest.

Withdrawal Charge—The “contingent deferred sales charge” assessed against certain withdrawals of Accumulation Units in their first six Contribution Years or against certain annuitizations of Accumulation Units in their first six Contribution Years.

Withdrawal Value—Contract Value minus Debt, any premium tax payable, and any Withdrawal Charge.

5

SUMMARY

The summary does not contain all information that may be important. Read the entire Prospectus and the Contract before deciding to invest.

The Contract provides for tax-deferred investments and annuity benefits. Both Qualified Contracts and Non-Qualified Contracts are described in this Prospectus. The Contract is no longer offered for sale, although we continue to accept additional Purchase Payments under the Contract.

The minimum initial Purchase Payment for a Non-Qualified Contract was $2,500 and the minimum subsequent Purchase Payment is $500. The minimum Purchase Payment for a Qualified Contract is $50. However, if annualized contribution amounts from a payroll or salary deduction are equal to or greater than $600, we accept a periodic payment for a Qualified Contract under $50. For a Non-Qualified Contract, a minimum of $100 in Contract Value must be allocated to an investment option before another investment option can be selected. For a Qualified Contract, as long as contribution amounts to a new investment option from a payroll or salary reduction plan are equal to or greater than $50 per month, you may select another such investment option. The maximum Purchase Payment for a Qualified Contract is the maximum permitted under the qualified plan’s terms. You may make Purchase Payments to Non-Qualified Contracts and Contracts issued as Individual Retirement Annuities (“IRAs”) by authorizing us to draw on your account via check or electronic debit (“Pre-Authorized Checking [PAC] Agreement”). (See “The Contracts.”)

We provide for variable accumulations and benefits by crediting Purchase Payments to one or more Subaccounts of the Separate Account selected by you. Each Subaccount invests in a corresponding Fund or Portfolio of one of the Funds. (See “The Funds,” page 55.) The Contract Values allocated to the Separate Account will vary with the investment performance of the Portfolios and Funds you select. Not all Subaccount options are available to all Contract Owners (See “7. Death Benefit.”)

We also provide for fixed accumulations and benefits in the Fixed Account Option of the General Account. Any portion of the Purchase Payment allocated to the Fixed Account Option is credited with interest daily at a rate periodically declared by us at our discretion, but not less than the minimum guaranteed rate. (See “Fixed Account Option.”)

The investment risk under the Contract is borne by you, except to the extent that Contract Values are allocated to the Fixed Account Option and are guaranteed to earn at least the minimum guaranteed rate.

Transfers between Subaccounts are permitted before and after the Annuity Date, if allowed by the qualified plan and subject to limitations. Restrictions apply to transfers out of the Fixed Account Option. (See “Transfers During the Accumulation Period” and “Transfers During the Annuity Period,” respectively.)

No sales charge is deducted from any Purchase Payment. You may withdraw up to 10% of the Contract Value less Debt in any Contract Year without assessment of any charge. If you withdraw an amount in excess of 10% of the Contract Value less Debt in any Contract Year, the amount withdrawn in excess of 10% is subject to a contingent deferred sales charge (“Withdrawal Charge”). The Withdrawal Charge starts at 6% in the first Contribution Year and reduces by 1% each Contribution Year so that there is no charge in the seventh and later Contribution Years. (See “Withdrawal Charge.”) The Withdrawal Charge also applies at the annuitization of Accumulation Units in their sixth Contribution Year or earlier, except as set forth under “Withdrawal Charge.” However, the aggregate Withdrawal Charges assessed against a Contract will never exceed 7.25% of the aggregate Purchase Payments made under the Contract. Withdrawals will have tax consequences, which may include the amount of the withdrawal being subject to income tax and in some circumstances an additional 10% penalty tax. Withdrawals are permitted from Contracts issued in connection with Section 403(b) qualified plans only under limited circumstances. (See “Federal Tax Matters.”)

We charge for mortality and expense risk and administrative expenses, for records maintenance, and for any applicable premium taxes. (See “Asset-Based Charges Against the Separate Account.”) We also charge for optional death benefits (See “Guaranteed Minimum Death Benefit Rider” and “Earnings Based Death Benefit Rider.”). The Funds will incur certain management fees and other expenses. (See “Summary of Expenses”, “Investment Management Fees and Other Expenses” and the Funds’ prospectuses.)

6

The Contracts were previously available to be purchased in connection with retirement plans qualifying either under Section 401 or 403(b) of the Internal Revenue Code (the “Code”) or as individual retirement annuities including Roth IRAs. The Contracts were also available in connection with state and municipal deferred compensation plans and non-qualified deferred compensation plans. A Contract purchased as a Qualified Contract does not provide any additional tax deferred treatment of earnings beyond the treatment that is already provided by the qualified plan itself. (See “Taxation of Annuities in General” and “Qualified Plans.”)

You have the right within the “free look” period (generally ten days, subject to state variation) after receiving the Contract to cancel the Contract by delivering or mailing it to us. If you decide to return your Contact for a refund during the “free look” period, please also include a letter of instruction. Upon receipt by us, the Contract will be cancelled and amounts refunded. The amount of the refund depends on the state where issued; however, generally the refund is at least the Contract Value. (See “The Contracts.”) In addition, a special “free look” period applies in some circumstances to Contracts issued as Individual Retirement Annuities or as Roth IRAs.

7

SUMMARY OF EXPENSES

The following tables describe the fees and expenses that you will pay when buying, owning, and surrendering the Contract. The first table describes the fees and expenses that you will pay at the time that you buy the Contract, surrender the Contract, or transfer cash value between investment options. State premium taxes may also be deducted.

Contract Owner Transaction Expenses
Sales Load Imposed on Purchases (as a percentage of Purchase Payments)		None
Maximum Withdrawal Charge(1) (as a percentage of amount surrendered):		6%
Contribution Year	Withdrawal Charge
First year		6.00%
Second year		5.00%
Third year		4.00%
Fourth year		3.00%
Fifth year		2.00%
Sixth year		1.00%
Seventh year and following		0.00%
Maximum Transfer Fee:		None

⁽¹⁾ Each Contract Year, a Contract Owner may withdraw up to 10% of Contract Value less debt without incurring a Withdrawal Charge. In certain circumstances we may reduce or waive the Withdrawal Charge. (See “Withdrawal Charge.”)

The next table describes the fees and expenses that you will pay periodically during the time that you own the Contract, not including Fund fees and expenses.

Quarterly Records Maintenance Charge	$	7.50	(2)
Separate Account Annual Expenses (as a percentage of average Separate Account Contract Value)
Mortality and Expense Risk Charge:		1.00%
Administration Charge:		0.30%
Total Separate Account Annual Expenses:		1.30%
Optional Benefits:
Guaranteed Minimum Death Benefit Charge		0.15%
Earnings Based Death Benefit Charge		0.20%
Total Separate Account Annual Expenses including Optional Benefit Charges		1.65%

Qualified Plan Loan Interest Rates⁽³⁾

Loans not subject to ERISA	—	5.50%
Loans subject to ERISA	—	Moody’s Corporate Bond Yield Average—Monthly Average Corporates (rounded to nearest 0.25%)

⁽²⁾ The records maintenance charge is reduced to $3.75 for Contracts with Contract Value between $25,000 and $50,000 on the date of assessment. There is no charge for Contracts with Contract Value of $50,000 or more. In certain circumstances we may reduce or waive the quarterly records maintenance charge. (See “Records Maintenance Charge.”)

⁽³⁾ Loans are only available under certain qualified plans. Interest rate depends on whether plan is subject to the Employee Retirement Income Security Act of 1974 (“ERISA”). The value securing the loan will earn interest at the loan interest rate reduced by not more than 2.5%. (See “Loans”.)

8

The next table shows the minimum and maximum total operating expenses charged by the Funds that you may pay periodically during the time that you own the Contract. More detail concerning each Fund’s fees and expenses is contained in the prospectus for each Fund.

	Minimum		—		Maximum
Total Annual Fund Operating Expenses(4) (expenses that are deducted from Fund assets, including management fees, distribution and/or service (12b-1) fees, and other expenses, prior to any fee waivers or expense reimbursements)		0.10%		—		2.43%

⁽⁴⁾ The expenses shown are for the year ended December 31, 2010, and do not reflect any fee waivers or expense reimbursements.

The advisers and/or other service providers of certain Funds have agreed to reduce their fees and/or reimburse the Funds’ expenses in order to keep the Funds’ expenses below specified limits. Other Funds have voluntary fee reduction and/or expense reimbursement arrangements that may be terminated at any time. The minimum and maximum Total Annual Fund Operating Expenses for all Funds after all fee reductions and expense reimbursements if any, are 0.10% and 1.99%, respectively. Each fee reduction and/or expense reimbursement arrangement is described in the relevant Fund’s prospectus.

THE FUND’S INVESTMENT MANAGER OR ADVISER PROVIDED THE ABOVE EXPENSES FOR THE FUNDS. WE HAVE NOT INDEPENDENTLY VERIFIED THE ACCURACY OF THE INFORMATION.

9

EXAMPLE

This Example is intended to help you compare the cost of investing in the Contract with the cost of investing in other variable annuity contracts. These costs include Contract Owner transaction expenses, Contract fees, Separate Account annual expenses, and Fund fees and expenses.

The Example assumes that you invest $10,000 in the Contract for the time periods indicated and that your Contract includes the Guaranteed Minimum Death Benefit and the Earnings Based Death Benefit. If these features were not elected, the expense figures shown below would be lower. The Example also assumes that your investment has a 5% return each year and assumes the maximum fees and expenses of any of the Funds prior to any fee waivers or expense reimbursements. In addition, this Example assumes no transfers were made and no premium taxes were deducted. If these arrangements were considered, the expenses shown would be higher. This Example also does not take into consideration any fee waiver or expense reimbursement arrangements of the Funds. If these arrangements were taken into consideration, the expenses shown would be lower.

Although your actual costs may be higher or lower, based on these assumptions, your costs would be:

(1) If you surrender your Contract at the end of the applicable time period:

1 year	3 years	5 years	10 years
$1,069	$1,944	$2,814	$5,234

(2) a. If you annuitize your Contract at the end of the applicable time period under Annuity Option 2, 3, 4, or under Annuity Option 1 for a period of 5 years or more⁽⁵⁾:

1 year	3 years	5 years	10 years
$531	$1,587	$2,637	$5,234

b. If you annuitize your Contract at the end of the applicable time period under Annuity Option 1 for a period of less then 5 years:⁽⁵⁾

1 year	3 years	5 years	10 years
$1,069	$1,944	$2,814	$5,234

(3) If you do not surrender your Contract at the end of the applicable time period:

1 year	3 years	5 years	10 years
$531	$1,587	$2,637	$5,234

⁽⁵⁾  Withdrawal Charges do not apply if the Contract is annuitized under Annuity Option 2, 3, or 4, or under Annuity Option 1 for a period of five years or more.

The fee table and Example should not be considered a representation of past or future expenses and charges of the Subaccounts. Your actual expenses may be greater or less than those shown. The Example does not include the deduction of state premium taxes, which may be assessed before or upon annuitization or any taxes or penalties you may be required to pay if you surrender the Contract. Similarly, the 5% annual rate of return assumed in the Example is not intended to be representative of past or future performance of any Subaccount.

REDEMPTION FEES

A Fund or Portfolio may assess a redemption fee of up to 2% on Subaccount assets that are redeemed out of the Fund or Portfolio in connection with a withdrawal or transfer. Each Fund or Portfolio determines the amount of the redemption fee and when the fee is imposed. The redemption fee will reduce your Contract Value. For more information, see the Fund or Portfolio prospectus.

10

CONDENSED FINANCIAL INFORMATION

The following tables list the Condensed Financial Information (the Accumulation Unit values for Accumulation Units outstanding) for Contracts without optional benefits yielding the lowest Separate Account charges possible under the Contract (1.30%) and Contracts with optional benefits yielding the highest Separate Account charges possible under the Contract (2.05%) as of December 31, 2010. In the table(s) below, no number is shown when there were no Accumulation Units outstanding at the end of the period. A zero (0) is shown when there were fewer than 1,000 Accumulation Units outstanding at the end of the period. Should the Separate Account charges applicable to your Contract fall between the maximum and minimum charges, and you wish to see a copy of the Condensed Financial Information applicable to your Contract, such information can be obtained in the Statement of Additional Information free of charge.

No Additional Contract Options Elected

(Separate Account Charges of 1.30% of the Daily Net Assets of the Separate Account)

Tax Qualified—1.00%

	Flexible Payment Contracts
Subaccount	2010		2009		2008		2007		2006		2005		2004		2003		2002		2001
Alger Large Cap Growth Subaccount (formerly Alger American LargeCap Growth Subaccount) (formerly Alger American Growth Subaccount)
Accumulation unit value at beginning of period*	$	51.606	$	35.319	$	66.251	$	55.790	$	53.587	$	48.308	$	46.250	$	34.560	$	52.093	$	59.667
Accumulation unit value at end of period	$	57.935	$	51.606	$	35.319	$	66.251	$	55.790	$	53.587	$	48.308	$	46.250	$	34.560	$	52.093
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		0		—		—		—
Alger MidCap Growth Subaccount (formerly Alger American MidCap Growth Subaccount)
Accumulation unit value at beginning of period*	$	30.973	$	20.620	$	50.013	$	38.398	$	35.210	$	32.380	$	28.931	$	19.771	$	28.342	$	28.107
Accumulation unit value at end of period	$	36.610	$	30.973	$	20.62	$	50.013	$	38.398	$	35.210	$	32.380	$	28.931	$	19.771	$	28.342
Number of accumulation units outstanding at end of period (000’s omitted)		2		3		4		3		3		3		3		1		1		—
Alger Small Cap Subaccount (formerly Alger American Small Cap Subaccount)
Accumulation unit value at beginning of period*	$	45.522	$	31.598	$	59.766	$	51.489	$	43.330	$	37.441	$	32.441	$	23.018	$	31.513	$	45.157
Accumulation unit value at end of period	$	56.472	$	45.522	$	31.598	$	59.766	$	51.489	$	43.330	$	37.441	$	32.441	$	23.018	$	31.513
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		1		—		—		—
American Century VP Income & Growth Subaccount
Accumulation unit value at beginning of period*	$	6.568	$	5.617	$	8.674	$	8.767	$	7.562	$	7.299	$	6.525	$	5.095	$	6.382	$	7.034
Accumulation unit value at end of period	$	7.423	$	6.568	$	5.617	$	8.674	$	8.767	$	7.562	$	7.299	$	6.525	$	5.095	$	6.382
Number of accumulation units outstanding at end of period (000’s omitted)		2		2		1		2		2		1		1		1		1		—
American Century VP Value Subaccount
Accumulation unit value at beginning of period*	$	9.534	$	8.034	$	11.081	$	11.799	$	10.043	$	9.657	$	8.531	$	6.682	$	7.723	$	6.914
Accumulation unit value at end of period	$	10.707	$	9.534	$	8.034	$	11.081	$	11.799	$	10.043	$	9.657	$	8.531	$	6.682	$	7.723
Number of accumulation units outstanding at end of period (000’s omitted)		4		4		2		2		3		2		2		2		4		8
Credit Suisse Trust International Equity Flex III Subaccount (successor to Credit Suisse Trust International Flex II Subaccount) (formerly Credit Suisse Trust-Emerging Markets Subaccount)
Accumulation unit value at beginning of period*	$	18.297	$	12.188	$	27.238	$	21.255	$	16.200	$	12.789	$	10.339	$	7.309	$	8.350	$	9.829
Accumulation unit value at end of period	$	20.332	$	18.297	$	12.188	$	27.238	$	21.255	$	16.200	$	12.789	$	10.339	$	7.309	$	8.350
Number of accumulation units outstanding at end of period (000’s omitted)		5		3		3		3		2		1		1		—		—		—
Dreyfus IP MidCap Stock Subaccount
Accumulation unit value at beginning of period**	$	13.035	$	9.729	$	16.499	$	16.437	$	15.418	$	14.294	$	12.639	$	10.000	$	—	$	—
Accumulation unit value at end of period	$	16.384	$	13.035	$	9.729	$	16.499	$	16.437	$	15.418	$	14.294	$	12.639	$	—	$	—
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		0		—		—		—		—		—

11

	Flexible Payment Contracts
Subaccount	2010		2009		2008		2007		2006		2005		2004		2003		2002		2001
Dreyfus Socially Responsible Growth Subaccount
Accumulation unit value at beginning of period*	$	25.473	$	19.235	$	29.627	$	27.763	$	25.677	$	25.029	$	23.801	$	19.078	$	27.119	$	35.379
Accumulation unit value at end of period	$	28.958	$	25.473	$	19.235	$	29.627	$	27.763	$	25.677	$	25.029	$	23.801	$	19.078	$	27.119
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		0		—		—		—		—		—
Dreyfus VIF Small Company Stock Subaccount*
Accumulation unit value at beginning of period**		N/A		N/A		N/A	$	17.501	$	15.931	$	15.966	$	13.646	$	10	$	—	$	—
Accumulation unit value at end of period		N/A		N/A		N/A		N/A	$	17.501	$	15.931	$	15.966	$	13.646	$	—	$	—
Number of accumulation units outstanding at end of period (000’s omitted)		N/A		N/A		N/A		N/A		0		—		—		—		—		—
DWS Bond VIP Subaccount (formerly Scudder Bond Subaccount)
Accumulation unit value at beginning of period*	$	8.339	$	7.652	$	9.286	$	9.003	$	8.683	$	8.547	$	8.192	$	7.876	$	7.389	$	7.057
Accumulation unit value at end of period	$	8.817	$	8.339	$	7.652	$	9.286	$	9.003	$	8.683	$	8.547	$	8.192	$	7.876	$	7.389
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		0		3		—		—		—		6
DWS Capital Growth VIP Subaccount (formerly Scudder Capital Growth Subaccount)
Accumulation unit value at beginning of period*	$	20.906	$	16.643	$	25.082	$	22.502	$	20.940	$	19.410	$	18.155	$	14.451	$	20.611	$	25.816
Accumulation unit value at end of period	$	24.158	$	20.906	$	16.643	$	25.082	$	22.502	$	20.940	$	19.410	$	18.155	$	14.451	$	20.611
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		7		7		9		13		—		—		—		—
DWS Growth & Income VIP Subaccount (formerly Scudder Growth and Income Subaccount)
Accumulation unit value at beginning of period****	$	10.223	$	7.697	$	12.602	$	12.558	$	11.162	$	10.000		N/A		N/A		N/A		N/A
Accumulation unit value at end of period	$	11.578	$	10.223	$	7.697	$	12.602	$	12.558	$	11.162		N/A		N/A		N/A		N/A
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		0		—		0		0		N/A		N/A		N/A		N/A
DWS International VIP Subaccount (formerly Scudder International Subaccount)
Accumulation unit value at beginning of period*	$	13.946	$	10.550	$	20.575	$	18.136	$	14.548	$	12.648	$	10.963	$	8.667	$	10.723	$	15.665
Accumulation unit value at end of period	$	14.032	$	13.946	$	10.550	$	20.575	$	18.136	$	14.548	$	12.648	$	10.963	$	8.667	$	10.723
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		2		—		0		—		2		3		2		3
DWS Balanced VIP Subaccount (formerly Scudder Total Return Subaccount)
Accumulation unit value at beginning of period*	$	8.056	$	6.592	$	9.162	$	8.827	$	8.086	$	7.830	$	7.406	$	6.342	$	7.552	$	8.122
Accumulation unit value at end of period	$	8.871	$	8.056	$	6.592	$	9.162	$	8.827	$	8.086	$	7.830	$	7.406	$	6.342	$	7.552
Number of accumulation units outstanding at end of period (000’s omitted)		182		197		240		242		291		312		372		416		432		545
DWS Core Fixed Income VIP Subaccount (formerly Scudder Fixed Income Subaccount)
Accumulation unit value at beginning of period*	$	1.387	$	1.300	$	1.628	$	1.578	$	1.529	$	1.510	$	1.459	$	1.402	$	1.311	$	1.252
Accumulation unit value at end of period	$	1.462	$	1.387	$	1.300	$	1.628	$	1.578	$	1.529	$	1.510	$	1.459	$	1.402	$	1.311
Number of accumulation units outstanding at end of period (000’s omitted)		1		1		1		1		0		69		69		69		26		11
DWS Diversified International Equity VIP Subaccount (formerly DWS International Select Equity VIP Subaccount)
Accumulation unit value at beginning of period*	$	2.174	$	1.698	$	3.350	$	2.899	$	2.332	$	2.057	$	1.757	$	1.367	$	1.595	$	2.132
Accumulation unit value at end of period	$	2.388	$	2.174	$	1.698	$	3.350	$	2.899	$	2.332	$	2.057	$	1.757	$	1.367	$	1.595
Number of accumulation units outstanding at end of period (000’s omitted)		5		11		11		6		7		9		11		18		22		50

12

	Flexible Payment Contracts
Subaccount	2010		2009		2008		2007		2006		2005		2004		2003		2002		2001
DWS Dreman Small Mid Cap Value VIP (formerly DWS Dreman Small Cap Value VIP Subaccount)
Accumulation unit value at beginning of period*	$	2.354	$	1.833	$	2.780	$	2.725	$	2.201	$	2.016	$	1.616	$	1.149	$	1.309	$	1.124
Accumulation unit value at end of period	$	2.868	$	2.354	$	1.833	$	2.780	$	2.725	$	2.201	$	2.016	$	1.616	$	1.149	$	1.309
Number of accumulation units outstanding at end of period (000’s omitted)		40		40		40		42		60		55		58		45		22		60
DWS Government & Agency Securities VIP Subaccount (formerly Scudder Government & Agency Securities Subaccount)
Accumulation unit value at beginning of period*	$	2.895	$	2.706	$	2.604	$	2.483	$	2.407	$	2.370	$	2.307	$	2.279	$	2.130	$	2.002
Accumulation unit value at end of period	$	3.056	$	2.895	$	2.706	$	2.604	$	2.483	$	2.407	$	2.370	$	2.307	$	2.279	$	2.130
Number of accumulation units outstanding at end of period (000’s omitted)		23		23		23		49		3		4		42		59		112		177
DWS High Income VIP Subaccount (formerly Scudder High Income Subaccount)
Accumulation unit value at beginning of period*	$	9.417	$	6.794	$	8.830	$	9.026	$	8.252	$	8.023	$	7.208	$	5.842	$	5.918	$	5.825
Accumulation unit value at end of period	$	10.629	$	9.417	$	6.794	$	8.830	$	9.026	$	8.252	$	8.023	$	7.208	$	5.842	$	5.918
Number of accumulation units outstanding at end of period (000’s omitted)		48		48		43		58		64		73		90		96		93		105
DWS Large Cap Value VIP Subaccount (formerly Scudder Large Cap Value Subaccount)
Accumulation unit value at beginning of period*	$	2.229	$	1.796	$	2.851	$	2.545	$	2.227	$	2.206	$	2.025	$	1.542	$	1.832	$	1.817
Accumulation unit value at end of period	$	2.444	$	2.229	$	1.796	$	2.851	$	2.545	$	2.227	$	2.206	$	2.025	$	1.542	$	1.832
Number of accumulation units outstanding at end of period (000’s omitted)		21		21		21		12		29		20		22		22		22		28
DWS Money Market VIP Subaccount (formerly Scudder Money Market Subaccount)
Accumulation unit value at beginning of period*	$	3.090	$	3.111	$	3.061	$	2.945	$	2.842	$	2.792	$	2.795	$	2.802	$	2.792	$	2.718
Accumulation unit value at end of period	$	3.060	$	3.090	$	3.111	$	3.061	$	2.945	$	2.842	$	2.792	$	2.795	$	2.802	$	2.792
Number of accumulation units outstanding at end of period (000’s omitted)		111		101		101		84		80		85		101		158		219		196
DWS Small Mid-Cap Growth VIP Subaccount (formerly DWS Small Cap Growth Subaccount)
Accumulation unit value at beginning of period*	$	1.680	$	1.207	$	2.414	$	2.296	$	2.202	$	2.077	$	1.890	$	1.436	$	2.180	$	3.092
Accumulation unit value at end of period	$	2.153	$	1.680	$	1.207	$	2.414	$	2.296	$	2.202	$	2.077	$	1.890	$	1.436	$	2.180
Number of accumulation units outstanding at end of period (000’s omitted)		11		11		14		8		12		12		40		55		52		71
DWS Technology VIP (formerly Scudder Technology Growth Subaccount)*
Accumulation unit value at beginning of period*	$	0.852	$	0.536	$	1.007	$	0.890	$	0.892	$	0.868	$	0.861	$	0.593	$	0.929	$	1.376
Accumulation unit value at end of period	$	1.001	$	0.852	$	0.536	$	1.007	$	0.890	$	0.892	$	0.868	$	0.861	$	0.593	$	0.929
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		0		—		—		—		—		—
Fidelity VIP Asset ManagerSM Subaccount
Accumulation unit value at beginning of period*	$	28.301	$	22.139	$	31.370	$	27.432	$	25.817	$	25.060	$	23.999	$	20.546	$	22.736	$	23.944
Accumulation unit value at end of period	$	32.019	$	28.301	$	22.139	$	31.370	$	27.432	$	25.817	$	25.060	$	23.999	$	20.546	$	22.736
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		0		—		—		—		—		—
Fidelity VIP Contrafund® Subaccount
Accumulation unit value at beginning of period*	$	38.270	$	28.482	$	50.042	$	42.983	$	38.859	$	33.562	$	29.355	$	23.079	$	25.714	$	29.597
Accumulation unit value at end of period	$	44.415	$	38.270	$	28.482	$	50.042	$	42.983	$	38.859	$	33.562	$	29.355	$	23.079	$	25.714
Number of accumulation units outstanding at end of period (000’s omitted)		5		4		4		4		4		4		3		3		4		4
Fidelity VIP Equity-Income Subaccount
Accumulation unit value at beginning of period*	$	33.491	$	25.978	$	45.755	$	45.519	$	38.249	$	36.490	$	33.046	$	25.609	$	31.143	$	33.096
Accumulation unit value at end of period	$	38.183	$	33.491	$	25.978	$	45.755	$	45.519	$	38.249	$	36.490	$	33.046	$	25.609	$	31.143
Number of accumulation units outstanding at end of period (000’s omitted)		2		2		2		2		2		0		0		—		1		1

13

	Flexible Payment Contracts
Subaccount	2010		2009		2008		2007		2006		2005		2004		2003		2002		2001
Fidelity VIP Growth Subaccount
Accumulation unit value at beginning of period*	$	44.044	$	34.676	$	66.292	$	52.737	$	49.849	$	47.586	$	46.493	$	35.347	$	51.078	$	62.649
Accumulation unit value at end of period	$	54.150	$	44.044	$	34.676	$	66.292	$	52.737	$	49.849	$	47.586	$	46.493	$	35.347	$	51.078
Number of accumulation units outstanding at end of period (000’s omitted)		1		1		2		2		3		1		1		3		3		5
Fidelity VIP Index 500 Subaccount
Accumulation unit value at beginning of period*	$	143.395	$	114.393	$	183.390	$	175.678	$	153.315	$	147.718	$	134.882	$	106.090	$	137.814	$	158.365
Accumulation unit value at end of period	$	163.306	$	143.395	$	114.393	$	183.390	$	175.678	$	153.315	$	147.718	$	134.882	$	106.090	$	137.814
Number of accumulation units outstanding at end of period (000’s omitted)		1		1		1		1		1		1		2		1		1		2
Franklin Rising Dividends Securities Subaccount
Accumulation unit value at beginning of period**	$	12.867	$	11.075	$	15.344	$	15.927	$	13.734	$	13.411	$	12.204	$	10.000	$	—	$	—
Accumulation unit value at end of period	$	15.370	$	12.867	$	11.075	$	15.344	$	15.927	$	13.734	$	13.411	$	12.204	$	—	$	—
Number of accumulation units outstanding at end of period (000’s omitted)		1		1		1		2		2		1		—		—		—		—
Franklin Small Cap Value Securities Subaccount
Accumulation unit value at beginning of period**	$	16.596	$	12.978	$	19.569	$	20.248	$	17.481	$	16.232	$	13.249	$	10.000	$	—	$	—
Accumulation unit value at end of period	$	21.069	$	16.596	$	12.978	$	19.569	$	20.248	$	17.481	$	16.232	$	13.249	$	—	$	—
Number of accumulation units outstanding at end of period (000’s omitted)		2		2		2		—		0		—		—		—		—		—
Franklin Strategic Income Securities Subaccount
Accumulation unit value at beginning of period**	$	14.666	$	11.780	$	13.404	$	12.783	$	11.927	$	11.873	$	10.922	$	10.000	$	—	$	—
Accumulation unit value at end of period	$	16.106	$	14.666	$	11.780	$	13.404	$	12.783	$	11.927	$	11.873	$	10.922	$	—	$	—
Number of accumulation units outstanding at end of period (000’s omitted)		1		1		1		1		0		—		—		—		—		—
Franklin U.S. Government Subaccount
Accumulation unit value at beginning of period**	$	12.302	$	12.052	$	11.314	$	10.719	$	10.408	$	10.265	$	10.020	$	10.000	$	—	$	—
Accumulation unit value at end of period	$	12.824	$	12.302	$	12.052	$	11.314	$	10.719	$	10.408	$	10.265	$	10.020	$	—	$	—
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		—		—
Franklin Zero Coupon 2010 Subaccount
Accumulation unit value at beginning of period**	$	11.886	$	11.987	$	11.290	$	10.519	$	10.376	$	10.343	$	10.001	$	10.000	$	—	$	—
Accumulation unit value at end of period		N/A	$	11.886	$	11.987	$	11.290	$	10.519	$	10.376	$	10.343	$	10.001	$	—	$	—
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		0		—		—		—
Mutual Global Discovery Securities Subaccount (formerly Mutual Discovery Securities Subaccount)
Accumulation unit value at beginning of period**	$	19.486	$	15.960	$	22.531	$	20.347	$	16.699	$	14.544	$	12.428	$	10.000	$	—	$	—
Accumulation unit value at end of period	$	21.601	$	19.486	$	15.960	$	22.531	$	20.347	$	16.699	$	14.544	$	12.428	$	—	$	—
Number of accumulation units outstanding at end of period (000’s omitted)		4		4		4		4		4		3		1		—		—		—

14

	Flexible Payment Contracts
Subaccount	2010		2009		2008		2007		2006		2005		2004		2003		2002		2001
Mutual Shares Securities Subaccount
Accumulation unit value at beginning of period**	$	13.694	$	10.973	$	17.622	$	17.200	$	14.675	$	13.406	$	12.022	$	10.000	$	—	$	—
Accumulation unit value at end of period	$	15.076	$	13.694	$	10.973	$	17.622	$	17.200	$	14.675	$	13.406	$	12.022	$	—	$	—
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		0		—		—		—		—		—
Templeton Developing Markets Securities Subaccount
Accumulation unit value at beginning of period**	$	29.262	$	17.124	$	36.570	$	28.682	$	22.615	$	17.925	$	14.517	$	10.000	$	—	$	—
Accumulation unit value at end of period	$	34.068	$	29.262	$	17.124	$	36.570	$	28.682	$	22.615	$	17.925	$	14.517	$	—	$	—
Number of accumulation units outstanding at end of period (000’s omitted)		3		3		3		3		—		—		—		—		—		—
ING JPMorgan Emerging Markets Equity Subaccount
Accumulation unit value at beginning of period+++	$	22.373	$	13.136	$	27.162	$	19.765	$	14.659	$	10.000		N/A		N/A		N/A		N/A
Accumulation unit value at end of period	$	26.722	$	22.373	$	13.136	$	27.162	$	19.765	$	14.659		N/A		N/A		N/A		N/A
Number of accumulation units outstanding at end of period (000’s omitted)		1		1		1		1		1		1		N/A		N/A		N/A		N/A
ING VP Emerging Markets Subaccount
Accumulation unit value at beginning of period*		N/A		N/A		N/A		N/A		N/A	$	11.641	$	9.661	$	6.628	$	7.384	$	8.326
Accumulation unit value at end of period++		N/A		N/A		N/A		N/A		N/A		N/A	$	11.641	$	9.661	$	6.628	$	7.384
Number of accumulation units outstanding at end of period (000’s omitted)		N/A		N/A		N/A		N/A		N/A		N/A		2		1		1		1
ING VP Natural Resources Trust Subaccount
Accumulation unit value at beginning of period*		N/A		N/A		N/A	$	31.521	$	26.152	$	18.489	$	16.576	$	12.826	$	13.232	$	15.898
Accumulation unit value at end of period		N/A		N/A		N/A		N/A	$	31.521	$	26.152	$	18.489	$	16.576	$	12.826	$	13.232
Number of accumulation units outstanding at end of period (000’s omitted)		N/A		N/A		N/A		N/A		1		1		—		—		—		—
ING VP Global Resources Portfolio Subaccount
Accumulation unit value at beginning of period*	$	11.359	$	8.343	$	14.283		N/A	$	26.152	$	18.489	$	16.576	$	12.826	$	13.232	$	15.898
Accumulation unit value at end of period	$	13.681	$	11.359	$	8.343	$	14.283	$	31.521	$	26.152	$	18.489	$	16.576	$	12.826	$	13.232
Number of accumulation units outstanding at end of period (000’s omitted)		2		2		2		1		1		1		—		—		—		—
Invesco V.I. Financial Services Subaccount (formerly AIM V.I. Financial Services Subaccount)
Accumulation unit value at beginning of period**	$	6.219	$	4.929	$	12.275	$	15.940	$	13.826	$	13.185	$	12.254	$	10.000	$	—	$	—
Accumulation unit value at end of period	$	6.792	$	6.219	$	4.929	$	12.275	$	15.940	$	13.826	$	13.185	$	12.254	$	—	$	—
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		2		—		—		—		—		—		—		—
Invesco V.I. Global Health Care Subaccount (formerly AIM V.I. Global Health Care Subaccount )
Accumulation unit value at beginning of period**	$	13.958	$	11.042	$	15.624	$	14.109	$	13.541	$	12.645	$	11.873	$	10.000	$	—	$	—
Accumulation unit value at end of period	$	14.552	$	13.958	$	11.042	$	15.624	$	14.109	$	13.541	$	12.645	$	11.873	$	—	$	—
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		—		—

15

	Flexible Payment Contracts
Subaccount	2010		2009		2008		2007		2006		2005		2004		2003		2002		2001
Invesco V.I. Global Real Estate Subaccount (formerly AIM V.I. Global Real Estate Subaccount)
Accumulation unit value at beginning of period**	$	18.904	$	14.516	$	26.487	$	28.323	$	20.060	$	17.735	$	13.115	$	10.000	$	—	$	—
Accumulation unit value at end of period	$	21.995	$	18.904	$	14.516	$	26.487	$	28.323	$	20.060	$	17.735	$	13.115	$	—	$	—
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		0		1		—		—		—		—		—
Invesco V.I. Utilities Subaccount (formerly AIM V.I. Utilities Subaccount)
Accumulation unit value at beginning of period**	$	18.774	$	16.499	$	24.634	$	20.624	$	16.603	$	14.352	$	11.732	$	10.000	$	—	$	—
Accumulation unit value at end of period	$	19.759	$	18.774	$	16.499	$	24.634	$	20.624	$	16.603	$	14.352	$	11.732	$	—	$	—
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		—		—
JPMorgan Insurance Trust Equity Index Subaccount (formerly JPMorgan Investment Trust Equity Index Subaccount)
Accumulation unit value at beginning of period***	$	10.672	$	8.525	$	13.712	$	13.179	$	11.532	$	11.150	$	10.261	$	—	$	—	$	—
Accumulation unit value at end of period	$	12.089	$	10.672	$	8.525	$	13.712	$	13.179	$	11.532	$	11.150	$	—	$	—	$	—
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		0		—		—		—		—		—
JPMorgan Insurance Trust Diversified Equity Subaccount (formerly JPMorgan Investment Trust Diversified Equity Subaccount)
Accumulation unit value at beginning of period***	$	11.783	$	8.902	$	13.790	$	12.611	$	10.966	$	10.823	$	10.071	$	—	$	—	$	—
Accumulation unit value at end of period	$	13.250	$	11.783	$	8.902	$	13.790	$	12.611	$	10.966	$	10.823	$	—	$	—	$	—
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		0		—		—		—
JPMorgan Insurance Trust U.S. Equity Subaccount (JPMorgan Insurance Trust Diversified Equity Subaccount (formerly JPMorgan Investment Trust Diversified Equity Subaccount)
Accumulation unit value at beginning of period***	$	12.507	$	8.831	$	15.867	$	13.670	$	12.395	$	11.268	$	10.419	$	—	$	—	$	—
Accumulation unit value at end of period	$	15.557	$	12.507	$	8.831	$	15.867	$	13.670	$	12.395	$	11.268	$	—	$	—	$	—
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		0		—		—		—		—		—
JPMorgan Insurance Trust Intrepid Mid Cap Subaccount (formerly JPMorgan Investment Trust Diversified Mid Cap Subaccount)
Accumulation unit value at beginning of period***	$	12.454	$	9.272	$	15.306	$	15.029	$	13.301	$	11.472	$	10.113	$	—	$	—	$	—
Accumulation unit value at end of period	$	14.738	$	12.454	$	9.272	$	15.306	$	15.029	$	13.301	$	11.472	$	—	$	—	$	—
Number of accumulation units outstanding at end of period (000’s omitted)		2		2		2		1		2		—		—		—		—		—

16

	Flexible Payment Contracts
Subaccount	2010		2009		2008		2007		2006		2005		2004		2003		2002		2001
JPMorgan Insurance Trust Diversified Mid Cap Value Subaccount (formerly JPMorgan Investment Trust Mid Cap Value)
Accumulation unit value at beginning of period***	$	11.754	$	9.282	$	14.532	$	14.544	$	12.585	$	11.581	$	10.294	$	—	$	—	$	—
Accumulation unit value at end of period	$	14.367	$	11.754	$	9.282	$	14.532	$	14.544	$	12.585	$	11.581	$	—	$	—	$	—
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		0		—		0		—		—		—
JPMorgan Insurance Trust International Equity Subaccount
Accumulation unit value at beginning of period***	$	17.327		N/A		N/A		N/A		N/A		N/A		N/A		N/A		N/A		N/A
Accumulation unit value at end of period	$	18.383	$	17.327		N/A		N/A		N/A		N/A		N/A		N/A		N/A		N/A
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		N/A		N/A		N/A		N/A		N/A		N/A		N/A		N/A
JPMorgan Insurance Trust Small Cap Core Subaccount (formerly JPMorgan Small Company Portfolio)
Accumulation unit value at beginning of period***	$	15.897		N/A		N/A		N/A		N/A		N/A		N/A		N/A		N/A		N/A
Accumulation unit value at end of period	$	20.009	$	15.897		N/A		N/A		N/A		N/A		N/A		N/A		N/A		N/A
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		N/A		N/A		N/A		N/A		N/A		N/A		N/A		N/A
JPMorgan International Equity Subaccount
Accumulation unit value at beginning of period**		N/A	$	12.971	$	22.339	$	20.638	$	17.079	$	15.583	$	13.297	$	10.000	$	—	$	—
Accumulation unit value at end of period		N/A		N/A	$	12.971	$	22.339	$	20.638	$	17.079	$	15.583	$	13.297	$	—	$	—
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		0		—		—		—
JPMorgan MidCap Value Subaccount
Accumulation unit value at beginning of period**		N/A	$	12.418	$	18.779	$	18.513	$	16.003	$	14.799	$	12.347	$	10	$	—	$	—
Accumulation unit value at end of period		N/A		N/A	$	12.418	$	18.779	$	18.513	$	16.003	$	14.799	$	12.347	$	—	$	—
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		1		1		2		2		0		—		—		—
JPMorgan Small Company Subaccount
Accumulation unit value at beginning of period*		N/A	$	13.098	$	19.451	$	20.827	$	18.290	$	17.863	$	14.187	$	10.538	$	13.584	$	14.925
Accumulation unit value at end of period		N/A		N/A	$	13.098	$	19.451	$	20.827	$	18.290	$	17.863	$	14.187	$	10.538	$	13.584
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		0		—		—		—		1		—
Janus Aspen Balanced Subaccount
Accumulation unit value at beginning of period*	$	41.526	$	33.317	$	39.983	$	36.536	$	33.328	$	31.181	$	29.019	$	25.699	$	27.744	$	29.394
Accumulation unit value at end of period	$	44.563	$	41.526	$	33.317	$	39.983	$	36.536	$	33.328	$	31.181	$	29.019	$	25.699	$	27.744
Number of accumulation units outstanding at end of period (000’s omitted)		6		6		6		5		8		7		9		9		10		11

17

	Flexible Payment Contracts
Subaccount	2010		2009		2008		2007		2006		2005		2004		2003		2002		2001
Janus Aspen Enterprise Subaccount (formerly Janus Aspen Mid Cap Growth Subaccount)
Accumulation unit value at beginning of period*	$	33.782	$	23.559	$	42.281	$	34.994	$	31.108	$	27.976	$	23.401	$	17.494	$	24.518	$	40.901
Accumulation unit value at end of period	$	42.093	$	33.782	$	23.559	$	42.281	$	34.994	$	31.108	$	27.976	$	23.401	$	17.494	$	24.518
Number of accumulation units outstanding at end of period (000’s omitted)		1		3		3		2		1		1		1		1		1		3
Janus Aspen Janus Subaccount (formerly Janus Aspen Large Cap Growth Subaccount)
Accumulation unit value at beginning of period*	$	24.130	$	17.874	$	29.949	$	26.283	$	23.833	$	23.082	$	22.305	$	17.102	$	23.504	$	31.542
Accumulation unit value at end of period	$	27.360	$	24.130	$	17.874	$	29.949	$	26.283	$	23.833	$	23.082	$	22.305	$	17.102	$	23.504
Number of accumulation units outstanding at end of period (000’s omitted)		2		2		2		2		2		2		2		5		6		12
Janus Aspen Mid Cap Value Subaccount
Accumulation unit value at beginning of period**	$	19.356	$	14.707	$	20.602	$	19.416	$	17.043	$	15.647	$	13.416	$	10.000	$	—	$	—
Accumulation unit value at end of period	$	22.108	$	19.356	$	14.707	$	20.602	$	19.416	$	17.043	$	15.647	$	13.416	$	—	$	—
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		—		—
Janus Aspen Small Company Value Subaccount
Accumulation unit value at beginning of period**		N/A	$	11.476	$	18.088	$	19.459	$	16.126	$	15.747	$	13.469	$	10	$	—	$	—
Accumulation unit value at end of period		N/A		N/A	$	11.476	$	18.088	$	19.459	$	16.126	$	15.747	$	13.469	$	—	$	—
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		0		—		—		—
Janus Aspen Worldwide Subaccount (formerly Janus Aspen Worldwide Growth Subaccount)
Accumulation unit value at beginning of period*	$	29.461	$	21.609	$	39.441	$	36.339	$	31.049	$	29.621	$	28.553	$	23.259	$	31.533	$	41.064
Accumulation unit value at end of period	$	33.789	$	29.461	$	21.609	$	39.441	$	36.339	$	31.049	$	29.621	$	28.553	$	23.259	$	31.533
Number of accumulation units outstanding at end of period (000’s omitted)		2		2		2		2		4		4		6		8		9		11
Oppenheimer Capital Appreciation Subaccount
Accumulation unit value at beginning of period**	$	12.489	$	8.750	$	16.264	$	14.428	$	13.533	$	13.034	$	12.348	$	10.000	$	—	$	—
Accumulation unit value at end of period	$	13.496	$	12.489	$	8.750	$	16.264	$	14.428	$	13.533	$	13.034	$	12.348	$	—	$	—
Number of accumulation units outstanding at end of period (000’s omitted)		0		1		1		1		0		—		—		—		—		—
Oppenheimer Global Securities Subaccount
Accumulation unit value at beginning of period**	$	18.757	$	13.594	$	23.011	$	21.910	$	18.855	$	16.695	$	14.185	$	10.000	$	—	$	—
Accumulation unit value at end of period	$	21.487	$	18.757	$	13.594	$	23.011	$	21.910	$	18.855	$	16.695	$	14.185	$	—	$	—
Number of accumulation units outstanding at end of period (000’s omitted)		1		1		1		1		1		0		2		—		—		—
Oppenheimer High Income Subaccount
Accumulation unit value at beginning of period**	$	3.402	$	2.728	$	12.859	$	13.049	$	12.066	$	11.947	$	11.098	$	10.000	$	—	$	—
Accumulation unit value at end of period	$	3.855	$	3.402	$	2.728	$	12.859	$	13.049	$	12.066	$	11.947	$	11.098	$	—	$	—
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		0		—		—		—		—		—

18

	Flexible Payment Contracts
Subaccount	2010		2009		2008		2007		2006		2005		2004		2003		2002		2001
Oppenheimer Main Street Subaccount
Accumulation unit value at beginning of period**	$	12.383	$	9.772	$	16.081	$	15.595	$	13.725	$	13.109	$	12.131	$	10.000	$	—	$	—
Accumulation unit value at end of period	$	14.201	$	12.383	$	9.772	$	16.081	$	15.595	$	13.725	$	13.109	$	12.131	$	—	$	—
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		—		—
Oppenheimer Main Street Small Cap Subaccount
Accumulation unit value at beginning of period**	$	16.252	$	11.992	$	19.536	$	20.011	$	17.627	$	16.226	$	13.751	$	10.000	$	—	$	—
Accumulation unit value at end of period	$	19.801	$	16.252	$	11.992	$	19.536	$	20.011	$	17.627	$	16.226	$	13.751	$	—	$	—
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		0		—		—		—
Oppenheimer Small- & Mid-Cap Growth Subaccount (formerly Oppenheimer MidCap Growth Subaccount) (formerly Oppenheimer Aggressive Growth Subaccount)
Accumulation unit value at beginning of period**	$	11.096	$	8.473	$	16.850	$	16.051	$	15.785	$	14.236	$	12.039	$	10.000	$	—	$	—
Accumulation unit value at end of period	$	13.970	$	11.096	$	8.473	$	16.850	$	16.051	$	15.785	$	14.236	$	12.039	$	—	$	—
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		0		—		—		—		—		—
Oppenheimer Global Strategic Income Subaccount (formerly Oppenheimer Strategic Bond Subaccount)
Accumulation unit value at beginning of period**	$	13.501	$	11.516	$	13.602	$	12.540	$	11.811	$	11.640	$	10.843	$	10.000	$	—	$	—
Accumulation unit value at end of period	$	15.342	$	13.501	$	11.516	$	13.602	$	12.540	$	11.811	$	11.640	$	10.843	$	—	$	—
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		0		—		—		—		—		—
Scudder Growth Subaccount
Accumulation unit value at beginning of period*		N/A		N/A		N/A		N/A		N/A	$	5.457	$	5.242	$	4.245	$	6.074	$	7.901
Accumulation unit value at end of period+		N/A		N/A		N/A		N/A		N/A		N/A	$	5.457	$	5.242	$	4.245	$	6.074
Number of accumulation units outstanding at end of period (000’s omitted)		N/A		N/A		N/A		—		N/A		N/A		53		77		91		119
SVS Focus Value + Growth Subaccount
Accumulation unit value at beginning of period*		N/A		N/A		N/A		N/A		N/A	$	1.664	$	1.51	$	1.149	$	1.566	$	1.847
Accumulation unit value at end of period+		N/A		N/A		N/A		N/A		N/A		N/A	$	1.664	$	1.51	$	1.149	$	1.566
Number of accumulation units outstanding at end of period (000’s omitted)		N/A		N/A		N/A		—		N/A		N/A		6		6		6		6
	Periodic Payment Contracts
Subaccount	2010		2009		2008		2007		2006		2005		2004		2003		2002		2001
Alger Large Cap Growth Subaccount (formerly Alger American LargeCap Growth Subaccount) (formerly Alger American Growth Subaccount)
Accumulation unit value at beginning of period*	$	49.997	$	34.320	$	64.569	$	54.536	$	52.538	$	47.502	$	45.614	$	34.186	$	51.682	$	59.374
Accumulation unit value at end of period	$	55.963	$	49.997	$	34.320	$	64.569	$	54.536	$	52.538	$	47.502	$	45.614	$	34.186	$	51.682
Number of accumulation units outstanding at end of period (000’s omitted)		175		200		225		252		284		336		387		426		382		371

19

	Periodic Payment Contracts
Subaccount	2010		2009		2008		2007		2006		2005		2004		2003		2002		2001
Alger MidCap Growth Subaccount (formerly Alger American MidCap Growth Subaccount)
Accumulation unit value at beginning of period*	$	30.157	$	20.137	$	48.986	$	37.722	$	34.693	$	31.999	$	28.676	$	19.654	$	28.259	$	28.106
Accumulation unit value at end of period	$	35.540	$	30.157	$	20.137	$	48.986	$	37.722	$	34.693	$	31.999	$	28.676	$	19.654	$	28.259
Number of accumulation units outstanding at end of period (000’s omitted)		293		337		385		437		427		509		582		578		281		129
Alger Small Cap Subaccount (formerly Alger American Small Cap Subaccount)
Accumulation unit value at beginning of period*	$	44.102	$	30.703	$	58.248	$	50.331	$	42.481	$	36.816	$	31.994	$	22.769	$	31.264	$	44.935
Accumulation unit value at end of period	$	54.549	$	44.102	$	30.703	$	58.248	$	50.331	$	42.481	$	36.816	$	31.994	$	22.769	$	31.264
Number of accumulation units outstanding at end of period (000’s omitted)		125		148		145		145		140		133		129		140		104		103
American Century VP Income & Growth Subaccount
Accumulation unit value at beginning of period*	$	6.364	$	5.459	$	8.453	$	8.570	$	7.414	$	7.178	$	6.435	$	5.040	$	6.332	$	6.990
Accumulation unit value at end of period	$	7.171	$	6.364	$	5.459	$	8.453	$	8.570	$	7.414	$	7.178	$	6.435	$	5.040	$	6.332
Number of accumulation units outstanding at end of period (000’s omitted)		1,129		1,359		1,618		2,341		2,909		1,549		2,962		3,131		2,229		729
American Century VP Value Subaccount
Accumulation unit value at beginning of period*	$	9.237	$	7.806	$	10.800	$	11.534	$	9.847	$	9.496	$	8.414	$	6.609	$	7.662	$	6.880
Accumulation unit value at end of period	$	10.342	$	9.237	$	7.806	$	10.800	$	11.534	$	9.847	$	9.496	$	8.414	$	6.609	$	7.662
Number of accumulation units outstanding at end of period (000’s omitted)		1,635		1,467		1,711		2,171		2,370		2,756		3,140		3,025		2,824		2,560
Credit Suisse Trust International Equity Flex III Subaccount (successor to Credit Suisse Trust International Flex II Subaccount) (formerly Credit Suisse Trust-Emerging Markets Subaccount)
Accumulation unit value at beginning of period*	$	17.815	$	11.903	$	26.679	$	20.881	$	15.962	$	12.638	$	10.248	$	7.266	$	8.326	$	9.829
Accumulation unit value at end of period	$	19.738	$	17.815	$	11.903	$	26.679	$	20.881	$	15.962	$	12.638	$	10.248	$	7.266	$	8.326
Number of accumulation units outstanding at end of period (000’s omitted)		110		158		166		204		178		125		98		75		49		18
Dreyfus IP MidCap Stock Subaccount
Accumulation unit value at beginning of period**	$	12.780	$	9.566	$	16.272	$	16.260	$	15.296	$	14.224	$	12.614	$	10.000	$	—	$	—
Accumulation unit value at end of period	$	16.015	$	12.780	$	9.566	$	16.272	$	16.260	$	15.296	$	14.224	$	12.614	$	—	$	—
Number of accumulation units outstanding at end of period (000’s omitted)		80		85		90		101		113		116		103		238		—		—
Dreyfus Socially Responsible Growth Subaccount
Accumulation unit value at beginning of period*	$	24.679	$	18.691	$	28.874	$	27.139	$	25.174	$	24.611	$	23.474	$	18.872	$	26.905	$	35.205
Accumulation unit value at end of period	$	27.972	$	24.679	$	18.691	$	28.874	$	27.139	$	25.174	$	24.611	$	23.474	$	18.872	$	26.905
Number of accumulation units outstanding at end of period (000’s omitted)		75		90		98		109		110		123		139		167		165		158

20

	Periodic Payment Contracts
Subaccount	2010		2009		2008		2007		2006		2005		2004		2003		2002		2001
Dreyfus VIF Small Company Stock Subaccount*
Accumulation unit value at beginning of period**		N/A		N/A		N/A	$	17.312	$	15.806	$	15.888	$	13.619	$	10	$	—	$	—
Accumulation unit value at end of period		N/A		N/A		N/A		N/A	$	17.312	$	15.806	$	15.888	$	13.619	$	—	$	—
Number of accumulation units outstanding at end of period (000’s omitted)		N/A		N/A		N/A		N/A		37		39		42		13		—		—
DWS Bond VIP Subaccount (formerly Scudder Bond Subaccount)
Accumulation unit value at beginning of period*	$	8.079	$	7.436	$	9.050	$	8.801	$	8.513	$	8.405	$	8.080	$	7.790	$	7.331	$	7.023
Accumulation unit value at end of period	$	8.517	$	8.079	$	7.436	$	9.050	$	8.801	$	8.513	$	8.405	$	8.080	$	7.790	$	7.331
Number of accumulation units outstanding at end of period (000’s omitted)		801		939		1,088		1,601		1,313		496		581		671		1,619		1,410
DWS Capital Growth VIP Subaccount (formerly Scudder Capital Growth Subaccount)
Accumulation unit value at beginning of period*	$	20.254	$	16.172	$	24.445	$	21.996	$	20.530	$	19.087	$	17.905	$	14.295	$	20.449	$	25.689
Accumulation unit value at end of period	$	23.335	$	20.254	$	16.172	$	24.445	$	21.996	$	20.530	$	19.087	$	17.905	$	14.295	$	20.449
Number of accumulation units outstanding at end of period (000’s omitted)		2,454		2,735		3,075		3,486		3,680		4,309		68		78		70		74
DWS Growth & Income VIP Subaccount (formerly Scudder Growth and Income Subaccount)
Accumulation unit value at beginning of period****	$	10.082	$	7.613	$	12.502	$	12.496	$	11.140	$	10.000		N/A		N/A		N/A		N/A
Accumulation unit value at end of period	$	11.385	$	10.082	$	7.613	$	12.502	$	12.496	$	11.140		N/A		N/A		N/A		N/A
Number of accumulation units outstanding at end of period (000’s omitted)		286		332		385		460		530		661		N/A		N/A		N/A		N/A
DWS International VIP Subaccount (formerly Scudder International Subaccount)
Accumulation unit value at beginning of period*	$	13.512	$	10.251	$	20.053	$	17.729	$	14.263	$	12.437	$	10.812	$	8.573	$	10.639	$	15.588
Accumulation unit value at end of period	$	13.555	$	13.512	$	10.251	$	20.053	$	17.729	$	14.263	$	12.437	$	10.812	$	8.573	$	10.639
Number of accumulation units outstanding at end of period (000’s omitted)		218		276		330		404		426		348		381		389		1,565		807
DWS Balanced VIP Subaccount (formerly Scudder Total Return Subaccount)
Accumulation unit value at beginning of period*	$	7.420	$	6.089	$	8.489	$	8.202	$	7.537	$	7.320	$	6.944	$	5.964	$	7.122	$	7.683
Accumulation unit value at end of period	$	8.147	$	7.420	$	6.089	$	8.489	$	8.202	$	7.537	$	7.320	$	6.944	$	5.964	$	7.122
Number of accumulation units outstanding at end of period (000’s omitted)		12,400		14,460		17,890		18,842		21,785		25,272		30,500		34,628		38,635		46,322
DWS Core Fixed Income VIP Subaccount (formerly Scudder Fixed Income Subaccount)
Accumulation unit value at beginning of period*	$	1.331	$	1.252	$	1.572	$	1.529	$	1.486	$	1.472	$	1.426	$	1.374	$	1.289	$	1.235
Accumulation unit value at end of period	$	1.400	$	1.331	$	1.252	$	1.572	$	1.529	$	1.486	$	1.472	$	1.426	$	1.374	$	1.289
Number of accumulation units outstanding at end of period (000’s omitted)		5,360		6,070		6,850		9,655		8,272		3,855		4,482		5,362		5,339		4,528

21

	Periodic Payment Contracts
Subaccount	2010		2009		2008		2007		2006		2005		2004		2003		2002		2001
DWS Diversified International Equity VIP Subaccount (formerly DWS International Select Equity VIP Subaccount)
Accumulation unit value at beginning of period*	$	2.061	$	1.614	$	3.195	$	2.773	$	2.237	$	1.979	$	1.695	$	1.323	$	1.549	$	2.076
Accumulation unit value at end of period	$	2.257	$	2.061	$	1.614	$	3.195	$	2.773	$	2.237	$	1.979	$	1.695	$	1.323	$	1.549
Number of accumulation units outstanding at end of period (000’s omitted)		9,262		9,262		10,400		12,227		12,239		14,634		18,847		18,355		20,304		23,213
DWS Dreman Small Mid Cap Value VIP (formerly DWS Dreman Small Cap Value VIP Subaccount)
Accumulation unit value at beginning of period*	$	2.260	$	1.765	$	2.684	$	2.640	$	2.138	$	1.965	$	1.579	$	1.126	$	1.287	$	1.108
Accumulation unit value at end of period	$	2.746	$	2.260	$	1.765	$	2.686	$	2.640	$	2.138	$	1.965	$	1.579	$	1.126	$	1.287
Number of accumulation units outstanding at end of period (000’s omitted)		11,076		12,500		14,175		16,546		17,881		18,932		20,321		18,263		19,615		14,365
DWS Government & Agency Securities VIP Subaccount (formerly Scudder Government & Agency Securities Subaccount)
Accumulation unit value at beginning of period*	$	2.727	$	2.556	$	2.468	$	2.359	$	2.294	$	2.266	$	2.212	$	2.192	$	2.055	$	1.937
Accumulation unit value at end of period	$	2.870	$	2.727	$	2.556	$	2.468	$	2.359	$	2.294	$	2.266	$	2.212	$	2.192	$	2.055
Number of accumulation units outstanding at end of period (000’s omitted)		6,270		6,772		7,445		8,326		7,900		9,652		12,133		15,656		20,634		16,356
DWS High Income VIP Subaccount (formerly Scudder High Income Subaccount)
Accumulation unit value at beginning of period*	$	8.674	$	6.277	$	8.359	$	8.388	$	7.692	$	7.500	$	6.758	$	5.494	$	5.582	$	5.510
Accumulation unit value at end of period	$	9.761	$	8.674	$	6.277	$	8.359	$	8.388	$	7.692	$	7.500	$	6.758	$	5.494	$	5.582
Number of accumulation units outstanding at end of period (000’s omitted)		3,420		3,840		5,151		4,821		5,591		6,306		7,757		8,944		9,725		11,376
DWS Large Cap Value VIP Subaccount (formerly Scudder Large Cap Value Subaccount)
Accumulation unit value at beginning of period*	$	2.140	$	1.729	$	2.754	$	2.466	$	2.164	$	2.150	$	1.979	$	1.512	$	1.801	$	1.792
Accumulation unit value at end of period	$	2.340	$	2.140	$	1.729	$	2.754	$	2.466	$	2.164	$	2.150	$	1.979	$	1.512	$	1.801
Number of accumulation units outstanding at end of period (000’s omitted)		6,476		8,245		9,265		10,799		11,807		13,097		15,096		15,539		16,207		17,339
DWS Money Market VIP Subaccount (formerly Scudder Money Market Subaccount)
Accumulation unit value at beginning of period*	$	2.846	$	2.874	$	2.836	$	2.737	$	2.649	$	2.610	$	2.620	$	2.635	$	2.633	$	2.571
Accumulation unit value at end of period	$	2.810	$	2.846	$	2.874	$	2.836	$	2.737	$	2.649	$	2.610	$	2.620	$	2.635	$	2.633
Number of accumulation units outstanding at end of period (000’s omitted)		7,257		7,900		10,450		11,632		9,208		8,947		8,296		9,655		14,534		17,960
DWS Small Mid-Cap Growth VIP Subaccount (formerly DWS Small Cap Growth Subaccount)
Accumulation unit value at beginning of period*	$	1.603	$	1.155	$	2.318	$	2.211	$	2.127	$	2.013	$	1.836	$	1.399	$	2.131	$	3.032
Accumulation unit value at end of period	$	2.049	$	1.603	$	1.155	$	2.318	$	2.211	$	2.127	$	2.013	$	1.836	$	1.399	$	2.131
Number of accumulation units outstanding at end of period (000’s omitted)		9,869		10,865		11,901		13,384		15,220		18,157		22,823		27,064		28,479		32,678

22

	Periodic Payment Contracts
Subaccount	2010		2009		2008		2007		2006		2005		2004		2003		2002		2001
DWS Technology VIP (formerly Scudder Technology Growth Subaccount)*
Accumulation unit value at beginning of period*	$	0.829	$	0.524	$	0.986	$	0.874	$	0.879	$	0.858	$	0.853	$	0.589	$	0.926	$	1.376
Accumulation unit value at end of period	$	0.971	$	0.829	$	0.524	$	0.986	$	0.874	$	0.879	$	0.858		0.853	$	0.589	$	0.926
Number of accumulation units outstanding at end of period (000’s omitted)		2,513		2,920		2,642		2,997		3,050		4,266		6,511		5,704		2,390		1,466
Fidelity VIP Asset ManagerSM Subaccount
Accumulation unit value at beginning of period*	$	27.177	$	21.322	$	30.302	$	26.577	$	25.087	$	24.424	$	23.459	$	20.143	$	22.357	$	23.615
Accumulation unit value at end of period	$	30.655	$	27.177	$	21.322	$	30.302	$	26.577	$	25.087	$	24.424	$	23.459	$	20.143	$	22.357
Number of accumulation units outstanding at end of period (000’s omitted)		160		189		220		255		279		337		434		378		260		278
Fidelity VIP Contrafund® Subaccount
Accumulation unit value at beginning of period*	$	36.748	$	27.431	$	48.339	$	41.644	$	37.760	$	32.710	$	28.695	$	22.627	$	25.285	$	29.190
Accumulation unit value at end of period	$	42.523	$	36.748	$	27.431	$	48.339	$	41.644	$	37.760	$	32.710	$	28.695	$	22.627	$	25.285
Number of accumulation units outstanding at end of period (000’s omitted)		1,546		1,800		1,940		2,256		2,326		2,424		2,357		2,172		2,123		2,208
Fidelity VIP Equity-Income Subaccount
Accumulation unit value at beginning of period*	$	32.159	$	25.020	$	44.198	$	44.101	$	37.167	$	35.563	$	32.302	$	25.107	$	30.623	$	32.641
Accumulation unit value at end of period	$	36.556	$	32.159	$	25.020	$	44.198	$	44.101	$	37.167	$	35.563	$	32.302	$	25.107	$	30.623
Number of accumulation units outstanding at end of period (000’s omitted)		670		780		915		1,154		1,167		1,212		1,500		1,617		1,447		1,357
Fidelity VIP Growth Subaccount
Accumulation unit value at beginning of period*	$	42.289	$	33.393	$	64.029	$	51.090	$	48.434	$	46.373	$	45.443	$	34.651	$	50.221	$	61.783
Accumulation unit value at end of period	$	51.838	$	42.289	$	33.393	$	64.029	$	51.090	$	48.434	$	46.373	$	45.443	$	34.651	$	50.221
Number of accumulation units outstanding at end of period (000’s omitted)		451		561		588		674		735		875		1,106		1,247		1,355		1,446
Fidelity VIP Index 500 Subaccount
Accumulation unit value at beginning of period*	$	137.695	$	110.172	$	177.148	$	170.206	$	148.980	$	143.967	$	131.848	$	104.012	$	135.516	$	156.190
Accumulation unit value at end of period	$	156.349	$	137.695	$	110.172	$	177.148	$	170.206	$	148.980	$	143.967	$	131.848	$	104.012	$	135.516
Number of accumulation units outstanding at end of period (000’s omitted)		364		420		475		563		628		640		757		757		826		944
Franklin Rising Dividends Securities Subaccount
Accumulation unit value at beginning of period**	$	12.615	$	10.890	$	15.133	$	15.755	$	13.626	$	13.345	$	12.179	$	10.000	$	—	$	—
Accumulation unit value at end of period	$	15.024	$	12.615	$	10.890	$	15.133	$	15.755	$	13.626	$	13.345	$	12.179	$	—	$	—
Number of accumulation units outstanding at end of period (000’s omitted)		360		364		419		584		625		618		567		182		—		—
Franklin Small Cap Value Securities Subaccount
Accumulation unit value at beginning of period**	$	16.271	$	12.762	$	19.300	$	20.029	$	17.344	$	16.152	$	13.223	$	10.000	$	—	$	—
Accumulation unit value at end of period	$	20.595	$	16.271	$	12.762	$	19.300	$	20.029	$	17.344	$	16.152	$	13.223	$	—	$	—
Number of accumulation units outstanding at end of period (000’s omitted)		218		221		250		243		231		215		144		23		—		—

23

	Periodic Payment Contracts
Subaccount	2010		2009		2008		2007		2006		2005		2004		2003		2002		2001
Franklin Strategic Income Securities Subaccount
Accumulation unit value at beginning of period**	$	14.379	$	11.583	$	13.219	$	12.645	$	11.833	$	11.814	$	10.901	$	10.000	$	—	$	—
Accumulation unit value at end of period	$	15.744	$	14.379	$	11.583	$	13.219	$	12.645	$	11.833	$	11.814	$	10.901	$	—	$	—
Number of accumulation units outstanding at end of period (000’s omitted)		448		457		427		460		387		334		185		65		—		—
Franklin U.S. Government Subaccount
Accumulation unit value at beginning of period**	$	12.061	$	11.851	$	11.158	$	10.603	$	10.326	$	10.214	$	10.000	$	10.000	$	—	$	—
Accumulation unit value at end of period	$	12.535	$	12.061	$	11.851	$	11.158	$	10.603	$	10.326	$	10.214	$	10.000	$	—	$	—
Number of accumulation units outstanding at end of period (000’s omitted)		295		320		315		160		137		135		951		860		—		—
Franklin Zero Coupon 2010 Subaccount
Accumulation unit value at beginning of period**	$	11.653	$	11.787	$	11.135	$	10.406	$	10.294	$	10.291	$	9.981	$	10.000	$	—	$	—
Accumulation unit value at end of period		N/A	$	11.653	$	11.787	$	11.135	$	10.406	$	10.294	$	10.291	$	9.981	$	—	$	—
Number of accumulation units outstanding at end of period (000’s omitted)		N/A		453		599		663		1,289		201		803		775		—		—
Mutal Global Discovery Securities Subaccount (formerly Mutual Discovery Securities Subaccount)
Accumulation unit value at beginning of period**	$	19.105	$	15.694	$	2.221	$	20.127	$	16.568	$	14.472	$	12.404	$	10.000	$	—	$	—
Accumulation unit value at end of period	$	21.115	$	19.105	$	15.694	$	2.221	$	20.127	$	16.568	$	14.472	$	12.404	$	—	$	—
Number of accumulation units outstanding at end of period (000’s omitted)		911		1,007		1,092		1,235		1,065		814		392		86		—		—
Mutual Shares Securities Subaccount
Accumulation unit value at beginning of period**	$	13.425	$	10.790	$	17.379	$	17.014	$	14.559	$	13.340	$	11.998	$	10.000	$	—	$	—
Accumulation unit value at end of period	$	14.737	$	13.425	$	10.790	$	17.379	$	17.014	$	14.559	$	13.340	$	11.998	$	—	$	—
Number of accumulation units outstanding at end of period (000’s omitted)		333		378		435		421		325		230		147		50		—		—
Templeton Developing Markets Securities Subaccount
Accumulation unit value at beginning of period**	$	28.689	$	16.839	$	36.068	$	28.372	$	22.437	$	17.836	$	14.488	$	10.000	$	—	$	—
Accumulation unit value at end of period	$	33.302	$	28.689	$	16.839	$	36.068	$	28.372	$	22.437	$	17.836	$	14.488	$	—	$	—
Number of accumulation units outstanding at end of period (000’s omitted)		183		206		208		305		307		272		168		65		—		—
ING JPMorgan Emerging Markets Equity Subaccount
Accumulation unit value at beginning of period†††	$	22.104	$	13.017	$	26.995	$	19.702	$	14.655	$	10.000		N/A		N/A		N/A		N/A
Accumulation unit value at end of period	$	26.322	$	22.104	$	13.017	$	26.995	$	19.702	$	14.655		N/A		N/A		N/A		N/A
Number of accumulation units outstanding at end of period (000’s omitted)		400		460		468		573		553		598		N/A		N/A		N/A		N/A
ING VP Emerging Markets Subaccount
Accumulation unit value at beginning of period*		N/A		N/A		N/A		N/A		N/A	$	11.324	$	9.425	$	6.486	$	7.247	$	8.196
Accumulation unit value at end of period††		N/A		N/A		N/A		N/A		N/A		N/A	$	11.324	$	9.425	$	6.486	$	7.247
Number of accumulation units outstanding at end of period (000’s omitted)		N/A		N/A		N/A		N/A		N/A		N/A		603		672		699		597

24

	Periodic Payment Contracts
Subaccount	2010		2009		2008		2007		2006		2005		2004		2003		2002		2001
ING VP Natural Resources Trust Subaccount
Accumulation unit value at beginning of period*		N/A		N/A		N/A	$	30.450	$	25.339	$	17.967	$	16.156	$	12.538	$	12.973	$	15.634
Accumulation unit value at end of period		N/A		N/A		N/A		N/A	$	30.45	$	25.339	$	17.967	$	16.156	$	12.538	$	12.973
Number of accumulation units outstanding at end of period (000’s omitted)		N/A		N/A		N/A		—		442		436		244		198		216		229
ING VP Global Resources Portfolio Subaccount
Accumulation unit value at beginning of period*	$	11.260	$	8.294	$	14.242		N/A	$	25.339	$	17.967	$	16.156	$	12.538	$	12.973	$	15.634
Accumulation unit value at end of period	$	13.521	$	11.260	$	8.294		14.242	$	30.450	$	25.339	$	17.967	$	16.156	$	12.538	$	12.973
Number of accumulation units outstanding at end of period (000’s omitted)		785		863		1,005		1,248		442		436		244		198		216		229
Invesco V.I. Financial Services Subaccount (formerly AIM V.I. Financial Services Subaccount)
Accumulation unit value at beginning of period**	$	6.097	$	4.847	$	12.106	$	15.768	$	13.717	$	13.120	$	12.230	$	10.000	$	—	$	—
Accumulation unit value at end of period	$	6.639	$	6.097	$	4.847	$	12.106	$	15.768	$	13.717	$	13.120	$	12.230	$	—	$	—
Number of accumulation units outstanding at end of period (000’s omitted)		98		75		75		27		25		18		22		17		—		—
Invesco V.I. Global Health Care Subaccount (formerly AIM V.I. Global Health Care Subaccount )
Accumulation unit value at beginning of period**	$	13.685	$	10.858	$	15.409	$	13.956	$	13.434	$	12.583	$	11.850	$	10.000	$	—	$	—
Accumulation unit value at end of period	$	14.224	$	13.685	$	10.858	$	15.409	$	13.956	$	13.434	$	12.583	$	11.850	$	—	$	—
Number of accumulation units outstanding at end of period (000’s omitted)		72		69		101		103		110		138		124		46		—		—
Invesco V.I. Global Real Estate Subaccount (formerly AIM V.I. Global Real Estate Subaccount)
Accumulation unit value at beginning of period**	$	18.533	$	14.274	$	26.123	$	28.017	$	19.902	$	17.699	$	13.089	$	10.000	$	—	$	—
Accumulation unit value at end of period	$	21.500	$	18.533	$	14.274	$	26.123	$	28.017	$	19.902	$	17.699	$	13.089	$	—	$	—
Number of accumulation units outstanding at end of period (000’s omitted)		265		300		320		430		579		433		417		64		—		—
Invesco V.I. Utilities Subaccount (formerly AIM V.I. Utilities Subaccount)
Accumulation unit value at beginning of period**	$	18.406	$	16.224	$	24.296	$	20.402	$	16.472	$	14.281	$	11.709	$	10.000	$	—	$	—
Accumulation unit value at end of period	$	19.315	$	18.406	$	16.224	$	24.296	$	20.402	$	16.472	$	14.281	$	11.709	$	—	$	—
Number of accumulation units outstanding at end of period (000’s omitted)		130		165		215		188		168		135		21		7		—		—
JPMorgan Insurance Trust Equity Index Subaccount (formerly JPMorgan Investment Trust Equity Index Subaccount)
Accumulation unit value at beginning of period***	$	10.483	$	8.399	$	13.549	$	13.061	$	11.462	$	11.116	$	10.250	$	—	$	—	$	—
Accumulation unit value at end of period	$	11.839	$	10.483	$	8.399	$	13.549	$	13.061	$	11.462	$	11.116	$	—	$	—	$	—
Number of accumulation units outstanding at end of period (000’s omitted)		10		11		18		6		5		3		2		—		—		—
JPMorgan Insurance Trust Diversified Equity Subaccount (formerly JPMorgan Investment Trust Diversified Equity Subaccount)
Accumulation unit value at beginning of period***	$	11.573	$	8.770	$	13.626	$	12.498	$	10.900	$	10.790	$	10.060	$	—	$	—	$	—

25

	Periodic Payment Contracts
Subaccount	2010		2009		2008		2007		2006		2005		2004		2003		2002		2001
Accumulation unit value at end of period	$	12.976	$	11.573	$	8.770	$	13.626	$	12.498	$	10.900	$	10.790	$	—	$	—	$	—
Number of accumulation units outstanding at end of period (000’s omitted)		33		40		51		76		147		109		991		—		—		—
JPMorgan Insurance Trust U.S. Equity Subaccount (JPMorgan Insurance Trust Diversified Equity Subaccount (formerly JPMorgan Investment Trust Diversified Equity Subaccount)
Accumulation unit value at beginning of period***	$	12.285	$	8.700	$	15.678	$	13.548	$	12.320	$	11.234	$	10.407	$	—	$	—	$	—
Accumulation unit value at end of period	$	15.236	$	12.285	$	8.700	$	15.678	$	13.548	$	12.320	$	11.234	$	—	$	—	$	—
Number of accumulation units outstanding at end of period (000’s omitted)		56		54		53		56		54		32		3		—		—		—
JPMorgan Insurance Trust Intrepid Mid Cap Subaccount (formerly JPMorgan Investment Trust Diversified Mid Cap Subaccount)
Accumulation unit value at beginning of period***	$	12.233	$	9.134	$	15.124	$	14.894	$	13.221	$	11.437	$	10.102	$	—	$	—	$	—
Accumulation unit value at end of period	$	14.434	$	12.233	$	9.134	$	15.124	$	14.894	$	13.221	$	11.437	$	—	$	—	$	—
Number of accumulation units outstanding at end of period (000’s omitted)		201		236		268		305		303		211		1		—		—		—
JPMorgan Insurance Trust Diversified Mid Cap Value Subaccount (formerly JPMorgan Investment Trust Mid Cap Value)
Accumulation unit value at beginning of period***	$	11.545	$	9.144	$	14.359	$	14.414	$	12.509	$	11.545	$	10.283	$	—	$	—	$	—
Accumulation unit value at end of period	$	14.070	$	11.545	$	9.144	$	14.359	$	14.414	$	12.509	$	11.545	$	—	$	—	$	—
Number of accumulation units outstanding at end of period (000’s omitted)		507		580		66		87		115		109		371		—		—		—
JPMorgan Insurance Trust International Equity Subaccount
Accumulation unit value at beginning of period***	$	16.987		N/A		N/A		N/A		N/A		N/A		N/A		N/A		N/A		N/A
Accumulation unit value at end of period	$	17.970	$	16.987		N/A		N/A		N/A		N/A		N/A		N/A		N/A		N/A
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		N/A		N/A		N/A		N/A		N/A		N/A		N/A		N/A
JPMorgan Insurance Trust Small Cap Core Subaccount (formerly JPMorgan Small Company Portfolio)
Accumulation unit value at beginning of period***	$	15.401		N/A		N/A		N/A		N/A		N/A		N/A		N/A		N/A		N/A
Accumulation unit value at end of period	$	19.328	$	15.401		N/A		N/A		N/A		N/A		N/A		N/A		N/A		N/A
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		N/A		N/A		N/A		N/A		N/A		N/A		N/A		N/A
JPMorgan International Equity Subaccount
Accumulation unit value at beginning of period**		N/A	$	12.755	$	22.032	$	20.414	$	16.945	$	15.506	$	13.270	$	10.000	$	—	$	—
Accumulation unit value at end of period		N/A		N/A	$	12.755	$	22.032	$	20.414	$	16.945	$	15.506	$	13.270	$	—	$	—
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		654		874		1,326		463		1,494		1,068		—		—

26

	Periodic Payment Contracts
Subaccount	2010		2009		2008		2007		2006		2005		2004		2003		2002		2001
JPMorgan MidCap Value Subaccount
Accumulation unit value at beginning of period**		N/A	$	12.211	$	18.520	$	18.313	$	15.877	$	14.726	$	12.323	$	10	$	—	$	—
Accumulation unit value at end of period		N/A		N/A	$	12.211	$	18.520	$	18.313	$	15.877	$	14.726	$	12.323	$	—	$	—
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		475		591		57		88		65		23		—		—
JPMorgan Small Company Subaccount
Accumulation unit value at beginning of period*		N/A	$	12.728	$	18.957	$	20.359	$	17.932	$	17.565	$	13.992	$	10.423	$	13.477	$	14.852
Accumulation unit value at end of period		N/A		N/A	$	12.728	$	18.957	$	20.359	$	17.932	$	17.565	$	13.992	$	10.423	$	13.477
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		285		344		405		478		495		485		553		573
Janus Aspen Balanced Subaccount
Accumulation unit value at beginning of period*	$	39.801	$	32.027	$	38.550	$	35.331	$	32.325	$	30.332	$	28.313	$	25.148	$	27.230	$	28.936
Accumulation unit value at end of period	$	42.585	$	39.801	$	32.027	$	38.550	$	35.331	$	32.325	$	30.332	$	28.313	$	25.148	$	27.230
Number of accumulation units outstanding at end of period (000’s omitted)		1,685		1,891		2,141		2,433		2,625		3,025		3,566		4,340		4,969		5,232
Janus Aspen Enterprise Subaccount (formerly Janus Aspen Mid Cap Growth Subaccount)
Accumulation unit value at beginning of period*	$	32.377	$	22.646	$	40.765	$	33.839	$	30.171	$	27.213	$	22.831	$	17.119	$	24.064	$	40.263
Accumulation unit value at end of period	$	40.224	$	32.377	$	22.646	$	40.765	$	33.839	$	30.171	$	27.213	$	22.831	$	17.119	$	24.064
Number of accumulation units outstanding at end of period (000’s omitted)		1,100		1,257		1,385		1,579		1,567		1,858		2,191		2,527		3,066		3,103
Janus Aspen Janus Subaccount (formerly Janus Aspen Large Cap Growth Subaccount)
Accumulation unit value at beginning of period*	$	23.127	$	17.182	$	28.875	$	25.416	$	23.116	$	22.453	$	21.762	$	16.735	$	23.068	$	31.050
Accumulation unit value at end of period	$	26.145	$	23.127	$	17.182	$	28.875	$	25.416	$	23.116	$	22.453	$	21.762	$	16.735	$	23.068
Number of accumulation units outstanding at end of period (000’s omitted)		1,060		1,216		1,339		1,517		1,648		1,960		2,502		3,375		3,591		4,179
Janus Aspen Mid Cap Value Subaccount
Accumulation unit value at beginning of period**	$	18.976	$	14.462	$	20.318	$	19.206	$	16.908	$	15.570	$	13.390	$	10.000	$	—	$	—
Accumulation unit value at end of period	$	21.611	$	18.976	$	14.462	$	20.318	$	19.206	$	16.908	$	15.570	$	13.390	$	—	$	—
Number of accumulation units outstanding at end of period (000’s omitted)		206		230		239		255		456		161		114		24		—		—
Janus Aspen Small Company Value Subaccount
Accumulation unit value at beginning of period**		N/A	$	11.285	$	17.839	$	19.248	$	15.999	$	15.669	$	13.443	$	10	$	—	$	—
Accumulation unit value at end of period		N/A		N/A	$	11.285	$	17.839	$	19.248	$	15.999	$	15.669	$	13.443	$	—	$	—
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		290		394		2		2		19		19		—		—
Janus Aspen Worldwide Subaccount (formerly Janus Aspen Worldwide Growth Subaccount)
Accumulation unit value at beginning of period*	$	28.237	$	20.773	$	38.026	$	35.140	$	30.114	$	28.814	$	27.859	$	22.760	$	30.949	$	40.424
Accumulation unit value at end of period	$	32.288	$	28.237	$	20.773	$	38.026	$	35.140	$	30.114	$	28.814	$	27.859	$	22.760	$	30.949
Number of accumulation units outstanding at end of period (000’s omitted)		1,442		1,605		1,791		2,039		2,248		2,739		3,514		4,444		5,338		6,176

27

	Periodic Payment Contracts
Subaccount	2010		2009		2008		2007		2006		2005		2004		2003		2002		2001
Oppenheimer Capital Appreciation Subaccount
Accumulation unit value at beginning of period**	$	12.244	$	8.604	$	16.040	$	14.272	$	13.426	$	12.969	$	12.323	$	10.000	$	—	$	—
Accumulation unit value at end of period	$	13.192	$	12.244	$	8.604	$	16.040	$	14.272	$	13.426	$	12.969	$	12.323	$	—	$	—
Number of accumulation units outstanding at end of period (000’s omitted)		151		185		195		203		237		250		231		84		—		—
Oppenheimer Global Securities Subaccount
Accumulation unit value at beginning of period**	$	18.389	$	13.367	$	22.694	$	21.673	$	18.706	$	16.613	$	14.157	$	10.000	$	—	$	—
Accumulation unit value at end of period	$	21.004	$	18.389	$	13.367	$	22.694	$	21.673	$	18.706	$	16.613	$	14.157	$	—	$	—
Number of accumulation units outstanding at end of period (000’s omitted)		1,084		1,270		1,512		1,727		1,464		1,341		1,148		373		—		—
Oppenheimer High Income Subaccount
Accumulation unit value at beginning of period**	$	3.334	$	2.682	$	12.682	$	12.908	$	11.971	$	11.888	$	11.076	$	10.000	$	—	$	—
Accumulation unit value at end of period	$	3.768	$	3.334	$	2.682	$	12.682	$	12.908	$	11.971	$	11.888	$	11.076	$	—	$	—
Number of accumulation units outstanding at end of period (000’s omitted)		140		141		130		176		154		135		124		46		—		—
Oppenheimer Main Street Subaccount
Accumulation unit value at beginning of period**	$	12.141	$	9.609	$	15.860	$	15.427	$	13.617	$	13.045	$	12.107	$	10.000	$	—	$	—
Accumulation unit value at end of period	$	13.882	$	12.141	$	9.609	$	15.860	$	15.427	$	13.617	$	13.045	$	12.107	$	—	$	—
Number of accumulation units outstanding at end of period (000’s omitted)		297		367		440		564		890		196		145		73		—		—
Oppenheimer Main Street Small Cap Subaccount
Accumulation unit value at beginning of period**	$	15.933	$	11.791	$	19.267	$	19.795	$	17.488	$	16.146	$	13.724	$	10.000	$	—	$	—
Accumulation unit value at end of period	$	19.355	$	15.933	$	11.791	$	19.267	$	19.795	$	17.488	$	16.146	$	13.724	$	—	$	—
Number of accumulation units outstanding at end of period (000’s omitted)		301		358		410		538		452		320		381		178		—		—
Oppenheimer Small- & Mid-Cap Growth Subaccount (formerly Oppenheimer MidCap Growth Subaccount) (formerly Oppenheimer Aggressive Growth Subaccount)
Accumulation unit value at beginning of period**	$	10.878	$	8.332	$	16.619	$	15.877	$	15.660	$	14.165	$	12.015	$	10.000	$	—	$	—
Accumulation unit value at end of period	$	13.655	$	10.878	$	8.332	$	16.619	$	15.877	$	15.660	$	14.165	$	12.015	$	—	$	—
Number of accumulation units outstanding at end of period (000’s omitted)		40		38		35		40		50		51		53		17		—		—
Oppenheimer Global Strategic Income Subaccount (formerly Oppenheimer Strategic Bond Subaccount)
Accumulation unit value at beginning of period**	$	13.236	$	11.324	$	13.414	$	12.405	$	11.718	$	11.583	$	10.821	$	10.000	$	—	$	—
Accumulation unit value at end of period	$	14.997	$	13.236	$	11.324	$	13.414	$	12.405	$	11.718	$	11.583	$	10.821	$	—	$	—
Number of accumulation units outstanding at end of period (000’s omitted)		460		495		583		454		393		320		622		51		—		—

28

	Periodic Payment Contracts
Subaccount	2010		2009		2008		2007		2006		2005		2004		2003		2002		2001
Scudder Growth Subaccount
Accumulation unit value at beginning of period*		N/A		N/A		N/A		N/A		N/A	$	5.12	$	4.933	$	4.007	$	5.75	$	7.501
Accumulation unit value at end of period†		N/A		N/A		N/A		N/A		N/A		N/A	$	5.12	$	4.933	$	4.007	$	5.75
Number of accumulation units outstanding at end of period (000’s omitted)		N/A		N/A		N/A		N/A		N/A		N/A		2,234		2,575		3,297		4,232
SVS Focus Value † Growth Subaccount
Accumulation unit value at beginning of period*		N/A		N/A		N/A		N/A		N/A	$	1.622	$	1.476	$	1.127	$	1.54	$	1.822
Accumulation unit value at end of period†		N/A		N/A		N/A		N/A		N/A		N/A	$	1.622	$	1.476	$	1.127	$	1.54
Number of accumulation units outstanding at end of period (000’s omitted)		N/A		N/A		N/A		—		N/A		N/A		600		775		1,045		1,453

No Additional Contract Options Elected

(Separate Account Charges of 1.30% of the Daily Net Assets of the Separate Account)

Non-Tax Qualified—1.00%

	Flexible Payment Contracts
Subaccount	2010		2009		2008		2007		2006		2005		2004		2003		2002		2001
Alger Large Cap Growth Subaccount (formerly Alger American LargeCap Growth Subaccount) (formerly Alger American Growth Subaccount)
Accumulation unit value at beginning of period*	$	51.606	$	35.319	$	66.251	$	55.790	$	53.587	$	48.308	$	46.250	$	34.560	$	52.093	$	59.667
Accumulation unit value at end of period	$	57.935	$	51.606	$	35.319	$	66.251	$	55.790	$	53.587	$	48.308	$	46.250	$	34.560	$	52.093
Number of accumulation units outstanding at end of period (000’s omitted)		0		1		—		—		—		6		6		6		1		1
Alger MidCap Growth Subaccount (formerly Alger American MidCap Growth Subaccount)
Accumulation unit value at beginning of period*	$	30.973	$	20.620	$	50.013	$	38.398	$	35.210	$	32.380	$	28.931	$	19.771	$	28.342	$	28.107
Accumulation unit value at end of period	$	36.610	$	30.973	$	20.62	$	50.013	$	38.398	$	35.210	$	32.380	$	28.931	$	19.771	$	28.342
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		1		1		1		3		5		10		1		1
Alger Small Cap Subaccount (formerly Alger American Small Cap Subaccount)
Accumulation unit value at beginning of period*	$	45.522	$	31.598	$	59.766	$	51.489	$	43.330	$	37.441	$	32.441	$	23.018	$	31.513	$	45.157
Accumulation unit value at end of period	$	56.472	$	45.522	$	31.598	$	59.766	$	51.489	$	43.330	$	37.441	$	32.441	$	23.018	$	31.513
Number of accumulation units outstanding at end of period (000’s omitted)		9		3		3		4		3		2		1		1		1		1
American Century VP Income & Growth Subaccount
Accumulation unit value at beginning of period*	$	6.568	$	5.617	$	8.674	$	8.767	$	7.562	$	7.299	$	6.525	$	5.095	$	6.382	$	7.034
Accumulation unit value at end of period	$	7.423	$	6.568	$	5.617	$	8.674	$	8.767	$	7.562	$	7.299	$	6.525	$	5.095	$	6.382
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		1		2		2		4		8		2		2		13

29

	Flexible Payment Contracts
Subaccount	2010		2009		2008		2007		2006		2005		2004		2003		2002		2001
American Century VP Value Subaccount
Accumulation unit value at beginning of period*	$	9.534	$	8.034	$	11.081	$	11.799	$	10.043	$	9.657	$	8.531	$	6.682	$	7.723	$	6.914
Accumulation unit value at end of period	$	10.707	$	9.534	$	8.034	$	11.081	$	11.799	$	10.043	$	9.657	$	8.531	$	6.682	$	7.723
Number of accumulation units outstanding at end of period (000’s omitted)		2		3		3		4		6		12		22		23		26		19
Credit Suisse Trust International Equity Flex III Subaccount (successor to Credit Suisse Trust International Flex II Subaccount) (formerly Credit Suisse Trust-Emerging Markets Subaccount)
Accumulation unit value at beginning of period*	$	18.297	$	12.188	$	27.238	$	21.255	$	16.200	$	12.789	$	10.339	$	7.309	$	8.350	$	9.829
Accumulation unit value at end of period	$	20.332	$	18.297	$	12.188	$	27.238	$	21.255	$	16.200	$	12.789	$	10.339	$	7.309	$	8.350
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		2		3		3		3		9		3		2		—
Dreyfus IP MidCap Stock Subaccount
Accumulation unit value at beginning of period**	$	13.035	$	9.729	$	16.499	$	16.437	$	15.418	$	14.294	$	12.639	$	10.000	$	—	$	—
Accumulation unit value at end of period	$	16.384	$	13.035	$	9.729	$	16.499	$	16.437	$	15.418	$	14.294	$	12.639	$	—	$	—
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		0		0		—		—		—
Dreyfus Socially Responsible Growth Subaccount
Accumulation unit value at beginning of period*	$	25.473	$	19.235	$	29.627	$	27.763	$	25.677	$	25.029	$	23.801	$	19.078	$	27.119	$	35.379
Accumulation unit value at end of period	$	28.958	$	25.473	$	19.235	$	29.627	$	27.763	$	25.677	$	25.029	$	23.801	$	19.078	$	27.119
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		0		0		0		—		1		1
Dreyfus VIF Small Company Stock Subaccount*
Accumulation unit value at beginning of period**		N/A		N/A		N/A	$		$	15.931	$	15.966	$	13.646	$	10	$	—	$	—
Accumulation unit value at end of period		N/A		N/A		N/A		N/A	$	17.501	$	15.931	$	15.966	$	13.646	$	—	$	—
Number of accumulation units outstanding at end of period (000’s omitted)		N/A		N/A		N/A		N/A		—		0		0		1		—		—
DWS Bond VIP Subaccount (formerly Scudder Bond Subaccount)
Accumulation unit value at beginning of period*	$	8.339	$	7.652	$	9.286	$	9.003	$	8.683	$	8.547	$	8.192	$	7.876	$	7.389	$	7.057
Accumulation unit value at end of period	$	8.817	$	8.339	$	7.652	$	9.286	$	9.003	$	8.683	$	8.547	$	8.192	$	7.876	$	7.389
Number of accumulation units outstanding at end of period (000’s omitted)		—		1		1		1		12		1		3		3		2		4
DWS Capital Growth VIP Subaccount (formerly Scudder Capital Growth Subaccount)
Accumulation unit value at beginning of period*	$	20.906	$	16.643	$	25.082	$	22.502	$	20.940	$	19.410	$	18.155	$	14.451	$	20.611	$	25.816
Accumulation unit value at end of period	$	24.158	$	20.906	$	16.643	$	25.082	$	22.502	$	20.940	$	19.410	$	18.155	$	14.451	$	20.611
Number of accumulation units outstanding at end of period (000’s omitted)		57		49		47		73		74		84		4		5		4		6
DWS Growth & Income VIP Subaccount (formerly Scudder Growth and Income Subaccount)
Accumulation unit value at beginning of period****	$	10.223	$	7.697	$	12.602	$	12.558	$	11.162	$	10.000		N/A		N/A		N/A		N/A
Accumulation unit value at end of period	$	11.578	$	10.223	$	7.697	$	12.602		12.558	$	11.162		N/A		N/A		N/A		N/A
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		1		1		2		2		N/A		N/A		N/A		N/A

30

	Flexible Payment Contracts
Subaccount	2010		2009		2008		2007		2006		2005		2004		2003		2002		2001
DWS International VIP Subaccount (formerly Scudder International Subaccount)
Accumulation unit value at beginning of period*	$	13.946	$	10.550	$	20.575	$	18.136	$	14.548	$	12.648	$	10.963	$	8.667	$	10.723	$	15.665
Accumulation unit value at end of period	$	14.032	$	13.946	$	10.550	$	20.575	$	18.136	$	14.548	$	12.648	$	10.963	$	8.667	$	10.723
Number of accumulation units outstanding at end of period (000’s omitted)		5		5		3		9		6		4		2		5		1		1
DWS Balanced VIP Subaccount (formerly Scudder Total Return Subaccount)
Accumulation unit value at beginning of period*	$	7.459	$	6.103	$	9.162	$	8.172	$	7.487	$	7.250	$	6.857	$	5.872	$	6.992	$	7.520
Accumulation unit value at end of period	$	8.871	$	7.459	$	6.103	$	8.483	$	8.172	$	7.487	$	7.250	$	6.857	$	5.872	$	6.992
Number of accumulation units outstanding at end of period (000’s omitted)		599		611		630		841		842		950		1,182		1,348		1,604		1,961
DWS Core Fixed Income VIP Subaccount (formerly Scudder Fixed Income Subaccount)
Accumulation unit value at beginning of period*	$	1.387	$	1.300	$	1.628	$	1.578	$	1.529	$	1.510	$	1.459	$	1.402	$	1.311	$	1.252
Accumulation unit value at end of period	$	1.462	$	1.387	$	1.300	$	1.628	$	1.578	$	1.529	$	1.510	$	1.459	$	1.402	$	1.311
Number of accumulation units outstanding at end of period (000’s omitted)		5		1		1		17		6		6		95		138		365		421
DWS Diversified International Equity VIP Subaccount (formerly DWS International Select Equity VIP Subaccount)
Accumulation unit value at beginning of period*	$	2.174	$	1.698	$	3.350	$	2.899	$	2.332	$	2.057	$	1.757	$	1.367	$	1.595	$	2.132
Accumulation unit value at end of period	$	2.388	$	2.174	$	1.698	$	3.350	$	2.899	$	2.332	$	2.057	$	1.757	$	1.367	$	1.595
Number of accumulation units outstanding at end of period (000’s omitted)		67		86		115		162		163		164		229		238		236		286
DWS Dreman Small Mid Cap Value VIP (formerly DWS Dreman Small Cap Value VIP Subaccount)
Accumulation unit value at beginning of period*	$	2.354	$	1.833	$	2.780	$	2.725	$	2.201	$	2.016	$	1.616	$	1.149	$	1.309	$	1.124
Accumulation unit value at end of period	$	2.868	$	2.354	$	1.833	$	2.780	$	2.725	$	2.201	$	2.016	$	1.616	$	1.149	$	1.309
Number of accumulation units outstanding at end of period (000’s omitted)		124		118		119		174		233		334		462		257		187		207
DWS Government & Agency Securities VIP Subaccount (formerly Scudder Government & Agency Securities Subaccount)
Accumulation unit value at beginning of period*	$	2.895	$	2.706	$	2.604	$	2.483	$	2.407	$	2.370	$	2.307	$	2.279	$	2.130	$	2.002
Accumulation unit value at end of period	$	3.056	$	2.895	$	2.706	$	2.604	$	2.483	$	2.407	$	2.370	$	2.307	$	2.279	$	2.130
Number of accumulation units outstanding at end of period (000’s omitted)		46		24		25		103		90		222		352		445		784		885
DWS High Income VIP Subaccount (formerly Scudder High Income Subaccount)
Accumulation unit value at beginning of period*	$	9.016	$	6.505	$	8.830	$	8.642	$	7.901	$	7.681	$	6.901	$	5.593	$	5.666	$	5.577
Accumulation unit value at end of period	$	10.629	$	9.016	$	6.505	$	8.830	$	8.642	$	7.901	$	7.681	$	6.901	$	5.593	$	5.666
Number of accumulation units outstanding at end of period (000’s omitted)		176		192		200		272		261		324		445		514		566		615

31

	Flexible Payment Contracts
Subaccount	2010		2009		2008		2007		2006		2005		2004		2003		2002		2001
DWS Large Cap Value VIP Subaccount (formerly Scudder Large Cap Value Subaccount)
Accumulation unit value at beginning of period*	$	2.229	$	1.796	$	2.851	$	2.545	$	2.227	$	2.206	$	2.025	$	1.542	$	1.832	$	1.817
Accumulation unit value at end of period	$	2.444	$	2.229	$	1.796	$	2.851	$	2.545	$	2.227	$	2.206	$	2.025	$	1.542	$	1.832
Number of accumulation units outstanding at end of period (000’s omitted)		56		76		75		85		97		108		91		44		49		99
DWS Money Market VIP Subaccount (formerly Scudder Money Market Subaccount)
Accumulation unit value at beginning of period*	$	3.090	$	3.111	$	3.061	$	2.945	$	2.842	$	2.792	$	2.795	$	2.802	$	2.792	$	2.718
Accumulation unit value at end of period	$	3.060	$	3.090	$	3.111	$	3.061	$	2.945	$	2.842	$	2.792	$	2.795	$	2.802	$	2.792
Number of accumulation units outstanding at end of period (000’s omitted)		571		610		650		803		809		884		1,143		1,401		2,306		2,590
DWS Small Mid-Cap Growth VIP Subaccount (formerly DWS Small Cap Growth Subaccount)
Accumulation unit value at beginning of period*	$	1.680	$	1.207	$	2.414	$	2.296	$	2.202	$	2.077	$	1.890	$	1.436	$	2.180	$	3.092
Accumulation unit value at end of period	$	2.153	$	1.680	$	1.207	$	2.414	$	2.296	$	2.202	$	2.077	$	1.890	$	1.436	$	2.180
Number of accumulation units outstanding at end of period (000’s omitted)		13		42		42		104		104		143		247		273		274		349
DWS Technology VIP (formerly Scudder Technology Growth Subaccount)*
Accumulation unit value at beginning of period*	$	0.852	$	0.536	$	1.007	$	0.890	$	0.892	$	0.868	$	0.861	$	0.593	$	0.929	$	1.376
Accumulation unit value at end of period	$	1.001	$	0.852	$	0.536	$	1.007	$	0.890	$	0.892	$	0.868	$	0.861	$	0.593	$	0.929
Number of accumulation units outstanding at end of period (000’s omitted)		60		61		42		42		42		42		42		80		3		—
Fidelity VIP Asset ManagerSM Subaccount
Accumulation unit value at beginning of period*	$	28.301	$	22.139	$	31.370	$	27.432	$	25.817	$	25.060	$	23.999	$	20.546	$	22.736	$	23.944
Accumulation unit value at end of period	$	32.019	$	28.301	$	22.139	$	31.370	$	27.432	$	25.817	$	25.060	$	23.999	$	20.546	$	22.736
Number of accumulation units outstanding at end of period (000’s omitted)		5		5		7		5		5		5		7		6		2		3
Fidelity VIP Contrafund® Subaccount
Accumulation unit value at beginning of period*	$	38.270	$	28.482	$	50.042	$	42.983	$	38.859	$	33.562	$	29.355	$	23.079	$	25.714	$	29.597
Accumulation unit value at end of period	$	44.415	$	38.270	$	28.482	$	50.042	$	42.983	$	38.859	$	33.562	$	29.355	$	23.079	$	25.714
Number of accumulation units outstanding at end of period (000’s omitted)		13		17		17		20		21		19		16		11		10		10
Fidelity VIP Equity-Income Subaccount
Accumulation unit value at beginning of period*	$	33.491	$	25.978	$	45.755	$	45.519	$	38.249	$	36.490	$	33.046	$	25.609	$	31.143	$	33.096
Accumulation unit value at end of period	$	38.183	$	33.491	$	25.978	$	45.755	$	45.519	$	38.249	$	36.490	$	33.046	$	25.609	$	31.143
Number of accumulation units outstanding at end of period (000’s omitted)		3		5		5		5		6		5		7		7		6		5
Fidelity VIP Growth Subaccount
Accumulation unit value at beginning of period*	$	44.044	$	34.676	$	66.292	$	52.737	$	49.849	$	47.586	$	46.493	$	35.347	$	51.078	$	62.649
Accumulation unit value at end of period	$	54.150	$	44.044	$	34.676	$	66.292	$	52.737	$	49.849	$	47.586	$	46.493	$	35.347	$	51.078
Number of accumulation units outstanding at end of period (000’s omitted)		2		1		2		3		3		3		5		7		9		12

32

	Flexible Payment Contracts
Subaccount	2010		2009		2008		2007		2006		2005		2004		2003		2002		2001
Fidelity VIP Index 500 Subaccount
Accumulation unit value at beginning of period*	$	143.395	$	114.393	$	183.390	$	175.678	$	153.315	$	147.718	$	134.882	$	106.090	$	137.814	$	158.365
Accumulation unit value at end of period	$	163.306	$	143.395	$	114.393	$	183.390	$	175.678	$	153.315	$	147.718	$	134.882	$	106.090	$	137.814
Number of accumulation units outstanding at end of period (000’s omitted)		3		4		3		4		4		4		5		7		7		11
Franklin Rising Dividends Securities Subaccount
Accumulation unit value at beginning of period**	$	12.867	$	11.075	$	15.344	$	15.927	$	13.734	$	13.411	$	12.204	$	10.000	$	—	$	—
Accumulation unit value at end of period	$	15.370	$	12.867	$	11.075	$	15.344	$	15.927	$	13.734	$	13.411	$	12.204	$	—	$	—
Number of accumulation units outstanding at end of period (000’s omitted)		2		2		2		4		9		6		5		1		—		—
Franklin Small Cap Value Securities Subaccount
Accumulation unit value at beginning of period**	$	16.596	$	12.978	$	19.569	$	20.248	$	17.481	$	16.232	$	13.249	$	10.000	$	—	$	—
Accumulation unit value at end of period	$	21.069	$	16.596	$	12.978	$	19.569	$	20.248	$	17.481	$	16.232	$	13.249	$	—	$	—
Number of accumulation units outstanding at end of period (000’s omitted)		2		2		2		3		4		7		4		2		—		—
Franklin Strategic Income Securities Subaccount
Accumulation unit value at beginning of period**	$	14.666	$	11.780	$	13.404	$	12.783	$	11.927	$	11.873	$	10.922	$	10.000	$	—	$	—
Accumulation unit value at end of period	$	16.106	$	14.666	$	11.780	$	13.404	$	12.783	$	11.927	$	11.873	$	10.922	$	—	$	—
Number of accumulation units outstanding at end of period (000’s omitted)		1		2		2		2		2		0		2		—		—		—
Franklin U.S. Government Subaccount
Accumulation unit value at beginning of period**	$	12.302	$	12.052	$	11.314	$	10.719	$	10.408	$	10.265	$	10.020	$	10.000	$	—	$	—
Accumulation unit value at end of period	$	12.824	$	12.302	$	12.052	$	11.314	$	10.719	$	10.408	$	10.265	$	10.020	$	—	$	—
Number of accumulation units outstanding at end of period (000’s omitted)		2		—		—		—		0		2		0		1		—		—
Franklin Zero Coupon 2010 Subaccount
Accumulation unit value at beginning of period**	$	11.886	$	11.987	$	11.290	$	10.519	$	10.376	$	10.343	$	10.001	$	10.000	$	—	$	—
Accumulation unit value at end of period		N/A	$	11.886	$	11.987	$	11.290	$	10.519	$	10.376	$	10.343	$	10.001	$	—	$	—
Number of accumulation units outstanding at end of period (000’s omitted)		N/A		1		11		—		0		2		—		—		—		—
Mutual Global Discovery Securities Subaccount (formerly Mutual Discovery Securities Subaccount)
Accumulation unit value at beginning of period**	$	19.486	$	15.960	$	22.531	$	20.347	$	16.699	$	14.544	$	12.428	$	10.000	$	—	$	—
Accumulation unit value at end of period	$	21.601	$	19.486	$	15.960	$	22.531	$	20.347	$	16.699	$	14.544	$	12.428	$	—	$	—
Number of accumulation units outstanding at end of period (000’s omitted)		18		15		16		16		14		14		7		—		—		—

33

	Flexible Payment Contracts
Subaccount	2010		2009		2008		2007		2006		2005		2004		2003		2002		2001
Mutual Shares Securities Subaccount
Accumulation unit value at beginning of period**	$	13.694	$	10.973	$	17.622	$	17.200	$	14.675	$	13.406	$	12.022	$	10.000	$	—	$	—
Accumulation unit value at end of period	$	15.076	$	13.694	$	10.973	$	17.622	$	17.200	$	14.675	$	13.406	$	12.022	$	—	$	—
Number of accumulation units outstanding at end of period (000’s omitted)		5		5		5		5		5		7		1		—		—		—
Templeton Developing Markets Securities Subaccount
Accumulation unit value at beginning of period**	$	29.262	$	17.124	$	36.570	$	28.682	$	22.615	$	17.925	$	14.517	$	10.000	$	—	$	—
Accumulation unit value at end of period	$	34.068	$	29.262	$	17.124	$	36.570	$	28.682	$	22.615	$	17.925	$	14.517	$	—	$	—
Number of accumulation units outstanding at end of period (000’s omitted)		8		6		5		9		9		11		6		—		—		—
ING JPMorgan Emerging Markets Equity Subaccount
Accumulation unit value at beginning of period+++	$	22.373	$	13.136	$	27.162	$	19.765	$	14.659	$	10.000		N/A		N/A		N/A		N/A
Accumulation unit value at end of period	$	26.722	$	22.373	$	13.136	$	27.162	$	19.765	$	14.659		N/A		N/A		N/A		N/A
Number of accumulation units outstanding at end of period (000’s omitted)		3		3		3		3		6		8		N/A		N/A		N/A		N/A
ING VP Emerging Markets Subaccount
Accumulation unit value at beginning of period*		N/A		N/A		N/A		N/A		N/A	$	11.641	$	9.661	$	6.628	$	7.384	$	8.326
Accumulation unit value at end of period++		N/A		N/A		N/A		N/A		N/A		N/A	$	11.641	$	9.661	$	6.628	$	7.384
Number of accumulation units outstanding at end of period (000’s omitted)		N/A		N/A		N/A		N/A		N/A		N/A		7		6		5		1
ING VP Natural Resources Trust Subaccount
Accumulation unit value at beginning of period*		N/A		N/A		N/A	$	31.521	$	26.152	$	18.489	$	16.576	$	12.826	$	13.232	$	15.898
Accumulation unit value at end of period		N/A		N/A		N/A		N/A	$	31.521	$	26.152	$	18.489	$	16.576	$	12.826	$	13.232
Number of accumulation units outstanding at end of period (000’s omitted)		N/A		N/A		N/A		N/A		4		12		1		12		1		1
ING VP Global Resources Portfolio Subaccount
Accumulation unit value at beginning of period*	$	11.359	$	8.343	$	14.283		N/A	$	26.152	$	18.489	$	16.576	$	12.826	$	13.232	$	15.898
Accumulation unit value at end of period	$	13.681	$	11.359	$	8.343	$	14.283	$	31.521	$	26.152	$	18.489	$	16.576	$	12.826	$	13.232
Number of accumulation units outstanding at end of period (000’s omitted)		4		7		9		14		4		12		1		12		1		1
Invesco V.I. Financial Services Subaccount (formerly AIM V.I. Financial Services Subaccount)
Accumulation unit value at beginning of period**	$	6.219	$	4.929	$	12.275	$	15.940	$	13.826	$	13.185	$	12.254	$	10.000	$	—	$	—
Accumulation unit value at end of period	$	6.792	$	6.219	$	4.929	$	12.275	$	15.940	$	13.826	$	13.185	$	12.254	$	—	$	—
Number of accumulation units outstanding at end of period (000’s omitted)		6		6		4		—		0		1		1		—		—		—
Invesco V.I. Global Health Care Subaccount (formerly AIM V.I. Global Health Care Subaccount )
Accumulation unit value at beginning of period**	$	13.958	$	11.042	$	15.624	$	14.109	$	13.541	$	12.645	$	11.873	$	10.000	$	—	$	—
Accumulation unit value at end of period	$	14.552	$	13.958	$	11.042	$	15.624	$	14.109	$	13.541	$	12.645	$	11.873	$	—	$	—
Number of accumulation units outstanding at end of period (000’s omitted)		4		4		4		4		4		7		7		6		—		—

34

	Flexible Payment Contracts
Subaccount	2010		2009		2008		2007		2006		2005		2004		2003		2002		2001
Invesco V.I. Global Real Estate Subaccount (formerly AIM V.I. Global Real Estate Subaccount)
Accumulation unit value at beginning of period**	$	18.904	$	14.516	$	26.487	$	28.323	$	20.060	$	17.735	$	13.115	$	10.000	$	—	$	—
Accumulation unit value at end of period	$	21.995	$	18.904	$	14.516	$	26.487	$	28.323	$	20.060	$	17.735	$	13.115	$	—	$	—
Number of accumulation units outstanding at end of period (000’s omitted)		1		2		2		7		7		7		11		6		—		—
Invesco V.I. Utilities Subaccount (formerly AIM V.I. Utilities Subaccount)
Accumulation unit value at beginning of period**	$	18.774	$	16.499	$	24.634	$	20.624	$	16.603	$	14.352	$	11.732	$	10.000	$	—	$	—
Accumulation unit value at end of period	$	19.759	$	18.774	$	16.499	$	24.634	$	20.624	$	16.603	$	14.352	$	11.732	$	—	$	—
Number of accumulation units outstanding at end of period (000’s omitted)		1		2		3		2		4		3		—		—		—		—
JPMorgan Insurance Trust Equity Index Subaccount (formerly JPMorgan Investment Trust Equity Index Subaccount)
Accumulation unit value at beginning of period***	$	10.672	$	8.525	$	13.712	$	13.179	$	11.532	$	11.150	$	10.261	$	—	$	—	$	—
Accumulation unit value at end of period	$	12.089	$	10.672	$	8.525	$	13.712	$	13.179	$	11.532	$	11.150	$	—	$	—	$	—
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		—		—
JPMorgan Insurance Trust Diversified Equity Subaccount (formerly JPMorgan Investment Trust Diversified Equity Subaccount)
Accumulation unit value at beginning of period***	$	11.783	$	8.902	$	13.790	$	12.611	$	10.966	$	10.823	$	10.071	$	—	$	—	$	—
Accumulation unit value at end of period	$	13.250	$	11.783	$	8.902	$	13.790	$	12.611	$	10.966	$	10.823	$	—	$	—	$	—
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		0		—		—		—		—		—
JPMorgan Insurance Trust U.S. Equity Subaccount (JPMorgan Insurance Trust Diversified Equity Subaccount (formerly JPMorgan Investment Trust Diversified Equity Subaccount)
Accumulation unit value at beginning of period***	$	12.507	$	8.831	$	15.867	$	13.670	$	12.395	$	11.268	$	10.419	$	—	$	—	$	—
Accumulation unit value at end of period	$	15.557	$	12.507	$	8.831	$	15.867	$	13.670	$	12.395	$	11.268	$	—	$	—	$	—
Number of accumulation units outstanding at end of period (000’s omitted)		1		1		1		1		0		—		—		—		—		—
JPMorgan Insurance Trust Intrepid Mid Cap Subaccount (formerly JPMorgan Investment Trust Diversified Mid Cap Subaccount)
Accumulation unit value at beginning of period***	$	12.454	$	9.272	$	15.306	$	15.029	$	13.301	$	11.472	$	10.113	$	—	$	—	$	—
Accumulation unit value at end of period	$	14.738	$	12.454	$	9.272	$	15.306	$	15.029	$	13.301	$	11.472	$	—	$	—	$	—
Number of accumulation units outstanding at end of period (000’s omitted)		3		3		4		6		6		4		—		—		—		—
JPMorgan Insurance Trust Diversified Mid Cap Value Subaccount (formerly JPMorgan Investment Trust Mid Cap Value)
Accumulation unit value at beginning of period***	$	11.754	$	9.282	$	14.532	$	14.544	$	12.585	$	11.581	$	10.294	$	—	$	—	$	—
Accumulation unit value at end of period	$	14.367	$	11.754	$	9.282	$	14.532	$	14.544	$	12.585	$	11.581	$	—	$	—	$	—
Number of accumulation units outstanding at end of period (000’s omitted)		6		6		1		1		0		—		—		—		—		—
JPMorgan Insurance Trust International Equity Subaccount
Accumulation unit value at beginning of period***	$	17.327		N/A	$	22.339		N/A		N/A		N/A		N/A		N/A		N/A		N/A
Accumulation unit value at end of period	$	18.383	$	17.327	$	12.971		N/A		N/A		N/A		N/A		N/A		N/A		N/A
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		N/A		N/A		N/A		N/A		N/A		N/A		N/A
JPMorgan Insurance Trust Small Cap Core Subaccount (formerly JPMorgan Small Company Portfolio)
Accumulation unit value at beginning of period***	$	15.897		N/A		N/A		N/A		N/A		N/A		N/A		N/A		N/A		N/A
Accumulation unit value at end of period	$	20.009	$	15.897		N/A		N/A		N/A		N/A		N/A		N/A		N/A		N/A
Number of accumulation units outstanding at end of period (000’s omitted)		1		1		1		N/A		N/A		N/A		N/A		N/A		N/A		N/A

35

	Flexible Payment Contracts
Subaccount	2010		2009		2008		2007		2006		2005		2004		2003		2002		2001
JPMorgan International Equity Subaccount
Accumulation unit value at beginning of period**		N/A	$	12.971	$	22.339	$	20.638	$	17.079	$	15.583	$	13.297	$	10.000	$	—	$	—
Accumulation unit value at end of period		N/A		N/A	$	12.971	$	22.339	$	20.638	$	17.079	$	15.583	$	13.297	$	—	$	—
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		0		—		4		3		—		—
JPMorgan MidCap Value Subaccount
Accumulation unit value at beginning of period**		N/A	$	12.418	$	18.779	$	18.513	$	16.003	$	14.799	$	12.347	$	10	$	—	$	—
Accumulation unit value at end of period		N/A	$	N/A	$	12.418	$	18.779	$	18.513	$	16.003	$	14.799	$	12.347	$	—	$	—
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		3		7		8		8		5		3		—		—
JPMorgan Small Company Subaccount
Accumulation unit value at beginning of period*		N/A	$	13.098	$	19.451	$	20.827	$	18.290	$	17.863	$	14.187	$	10.538	$	13.584	$	14.925
Accumulation unit value at end of period		N/A		N/A	$	13.098	$	19.451	$	20.827	$	18.290	$	17.863	$	14.187	$	10.538	$	13.584
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		1		2		2		2		3		3		3		3
Janus Aspen Balanced Subaccount
Accumulation unit value at beginning of period*	$	41.526	$	33.317	$	39.983	$	36.536	$	33.328	$	31.181	$	29.019	$	25.699	$	27.744	$	29.394
Accumulation unit value at end of period	$	44.563	$	41.526	$	33.317	$	39.983	$	36.536	$	33.328	$	31.181	$	29.019	$	25.699	$	27.744
Number of accumulation units outstanding at end of period (000’s omitted)		8		8		13		16		16		17		21		32		41		38
Janus Aspen Enterprise Subaccount (formerly Janus Aspen Mid Cap Growth Subaccount)
Accumulation unit value at beginning of period*	$	33.782	$	23.559	$	42.281	$	34.994	$	31.108	$	27.976	$	23.401	$	17.494	$	24.518	$	40.901
Accumulation unit value at end of period	$	42.093	$	33.782	$	23.559	$	42.281	$	34.994	$	31.108	$	27.976	$	23.401	$	17.494	$	24.518
Number of accumulation units outstanding at end of period (000’s omitted)		13		10		16		17		13		7		11		12		14		20
Janus Aspen Janus Subaccount (formerly Janus Aspen Large Cap Growth Subaccount)
Accumulation unit value at beginning of period*	$	24.130	$	17.874	$	29.949	$	26.283	$	23.833	$	23.082	$	22.305	$	17.102	$	23.504	$	31.542
Accumulation unit value at end of period	$	27.360	$	24.130	$	17.874	$	29.949	$	26.283	$	23.833	$	23.082	$	22.305	$	17.102	$	23.504
Number of accumulation units outstanding at end of period (000’s omitted)		2		2		3		5		4		6		12		23		30		40
Janus Aspen Mid Cap Value Subaccount
Accumulation unit value at beginning of period**	$	19.356	$	14.707	$	20.602	$	19.416	$	17.043	$	15.647	$	12.347	$	10.000	$	—	$	—
Accumulation unit value at end of period	$	22.108	$	19.356	$	14.707	$	20.602	$	19.416	$	17.043	$	15.647	$	12.347	$	—	$	—
Number of accumulation units outstanding at end of period (000’s omitted)		1		1		1		1		1		1		3		—		—		—
Janus Aspen Small Company Value Subaccount
Accumulation unit value at beginning of period**		N/A	$	11.476	$	18.088	$	19.459	$	16.126	$	15.747	$	13.469	$	10	$	—	$	—
Accumulation unit value at end of period		N/A		N/A	$	11.476	$	18.088	$	19.459	$	16.126	$	15.747	$	13.469	$	—	$	—
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		1		1		1		2		2		1		—		—

36

	Flexible Payment Contracts
Subaccount	2010		2009		2008		2007		2006		2005		2004		2003		2002		2001
Janus Aspen Worldwide Subaccount (formerly Janus Aspen Worldwide Growth Subaccount)
Accumulation unit value at beginning of period*	$	29.461	$	21.609	$	39.441	$	36.339	$	31.049	$	29.621	$	28.554	$	23.259	$	31.533	$	41.064
Accumulation unit value at end of period	$	33.789	$	29.461	$	21.609	$	39.441	$	36.339	$	31.049	$	29.621	$	28.554	$	23.259	$	31.533
Number of accumulation units outstanding at end of period (000’s omitted)		2		3		2		3		4		5		12		14		20		31
Oppenheimer Capital Appreciation Subaccount
Accumulation unit value at beginning of period**	$	12.489	$	8.750	$	16.264	$	14.428	$	13.533	$	13.034	$	12.348	$	10.000	$	—	$	—
Accumulation unit value at end of period	$	13.496	$	12.489	$	8.750	$	16.264	$	14.428	$	13.533	$	13.034	$	12.348	$	—	$	—
Number of accumulation units outstanding at end of period (000’s omitted)		0		1		1		2		2		3		2		—		—		—
Oppenheimer Global Securities Subaccount
Accumulation unit value at beginning of period**	$	18.757	$	13.594	$	23.011	$	21.910	$	18.855	$	16.695	$	14.185	$	10.000	$	—	$	—
Accumulation unit value at end of period	$	21.487	$	18.757	$	13.594	$	23.011	$	21.910	$	18.855	$	16.695	$	14.185	$	—	$	—
Number of accumulation units outstanding at end of period (000’s omitted)		2		2		3		3		5		5		5		1		—		—
Oppenheimer High Income Subaccount
Accumulation unit value at beginning of period**	$	3.402	$	2.728	$	12.859	$	13.049	$	12.066	$	11.947	$	11.098	$	10.000	$	—	$	—
Accumulation unit value at end of period	$	3.855	$	3.402	$	2.728	$	12.859	$	13.049	$	12.066	$	11.947	$	11.098	$	—	$	—
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		0		—		1		1		—		—
Oppenheimer Main Street Subaccount
Accumulation unit value at beginning of period**	$	12.383	$	9.772	$	16.081	$	15.595	$	13.725	$	13.109	$	12.131	$	10.000	$	—	$	—
Accumulation unit value at end of period	$	14.201	$	12.383	$	9.772	$	16.081	$	15.595	$	13.725	$	13.109	$	12.131	$	—	$	—
Number of accumulation units outstanding at end of period (000’s omitted)		1		1		1		2		2		0		—		—		—		—
Oppenheimer Main Street Small Cap Subaccount
Accumulation unit value at beginning of period**	$	16.252	$	11.992	$	19.536	$	20.011	$	17.627	$	16.226	$	13.751	$	10.000	$	—	$	—
Accumulation unit value at end of period	$	19.801	$	16.252	$	11.992	$	19.536	$	20.011	$	17.627	$	16.226	$	13.751	$	—	$	—
Number of accumulation units outstanding at end of period (000’s omitted)		3		1		—		—		1		0		0		—		—		—
Oppenheimer Small- & Mid-Cap Growth Subaccount (formerly Oppenheimer MidCap Growth Subaccount) (formerly Oppenheimer Aggressive Growth Subaccount)
Accumulation unit value at beginning of period**	$	11.096	$	8.473	$	16.850	$	16.051	$	15.785	$	14.236	$	12.039	$	10.000	$	—	$	—
Accumulation unit value at end of period	$	13.970	$	11.096	$	8.473	$	16.850	$	16.051	$	15.785	$	14.236	$	12.039	$	—	$	—
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		0		—		—		—		—		—
Oppenheimer Global Strategic Income Subaccount (formerly Oppenheimer Strategic Bond Subaccount)
Accumulation unit value at beginning of period**	$	13.501	$	11.516	$	13.602	$	12.540	$	11.811	$	11.640	$	10.843	$	10.000	$	—	$	—
Accumulation unit value at end of period	$	15.342	$	13.501	$	11.516	$	13.602	$	12.540	$	11.811	$	11.640	$	10.843	$	—	$	—
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		1		1		8		0		—		—		—		—

37

	Flexible Payment Contracts
Subaccount	2010		2009		2008		2007		2006		2005		2004		2003		2002		2001
Scudder Growth Subaccount
Accumulation unit value at beginning of period*		N/A		N/A		N/A		N/A		N/A	$	5.438	$	5.224	$	4.231	$	6.053	$	7.873
Accumulation unit value at end of period+		N/A		N/A		N/A		N/A		N/A		N/A	$	5.438	$	5.224	$	4.231	$	6.053
Number of accumulation units outstanding at end of period (000’s omitted)		N/A		N/A		N/A		—		N/A		N/A		374		433		498		630
SVS Focus Value + Growth Subaccount
Accumulation unit value at beginning of period*		N/A		N/A		N/A		N/A		N/A	$	1.664	$	1.51	$	1.149	$	1.566	$	1.847
Accumulation unit value at end of period+		N/A		N/A		N/A		N/A		N/A		N/A	$	1.664	$	1.51	$	1.149	$	1.566
Number of accumulation units outstanding at end of period (000’s omitted)		N/A		N/A		N/A		—		N/A		N/A		11		11		11		11
Non-Tax Qualified—1.30%	Periodic Payment Contracts
Subaccount	2010		2009		2008		2007		2006		2005		2004		2003		2002		2001
Alger Large Cap Growth Subaccount (formerly Alger American LargeCap Growth Subaccount) (formerly Alger American Growth Subaccount)
Accumulation unit value at beginning of period*	$	49.997	$	34.320	$	64.569	$	54.536	$	52.538	$	47.502	$	45.614	$	34.186	$	51.682	$	59.374
Accumulation unit value at end of period	$	55.963	$	49.997	$	34.320	$	64.569	$	54.536	$	52.538	$	47.502	$	45.614	$	34.186	$	51.682
Number of accumulation units outstanding at end of period (000’s omitted)		4		5		10		1		21		25		37		49		38		45
Alger MidCap Growth Subaccount (formerly Alger American MidCap Growth Subaccount)
Accumulation unit value at beginning of period*	$	30.157	$	20.137	$	48.986	$	37.722	$	34.693	$	31.999	$	28.676	$	19.654	$	28.259	$	28.106
Accumulation unit value at end of period	$	35.540	$	30.157	$	20.137	$	48.986	$	37.722	$	34.693	$	31.999	$	28.676	$	19.654	$	28.259
Number of accumulation units outstanding at end of period (000’s omitted)		3		2		2		0		24		39		122		51		18		20
Alger Small Cap Subaccount (formerly Alger American Small Cap Subaccount)
Accumulation unit value at beginning of period*	$	44.102	$	30.703	$	58.248	$	50.331	$	42.481	$	36.816	$	31.994	$	22.769	$	31.264	$	44.935
Accumulation unit value at end of period	$	54.549	$	44.102	$	30.703	$	58.248	$	50.331	$	42.481	$	36.816	$	31.994	$	22.769	$	31.264
Number of accumulation units outstanding at end of period (000’s omitted)		6		2		2		1		8		11		13		18		8		8
American Century VP Income & Growth Subaccount
Accumulation unit value at beginning of period*	$	6.364	$	5.459	$	8.453	$	8.570	$	7.414	$	7.178	$	6.435	$	5.040	$	6.332	$	6.990
Accumulation unit value at end of period	$	7.171	$	6.364	$	5.459	$	8.453	$	8.570	$	7.414	$	7.178	$	6.435	$	5.040	$	6.332
Number of accumulation units outstanding at end of period (000’s omitted)		2		1		1		1		164		197		218		222		56		68
American Century VP Value Subaccount
Accumulation unit value at beginning of period*	$	9.237	$	7.806	$	10.800	$	11.534	$	9.847	$	9.496	$	8.414	$	6.609	$	7.662	$	6.880
Accumulation unit value at end of period	$	10.342	$	9.237	$	7.806	$	10.800	$	11.534	$	9.847	$	9.496	$	8.414	$	6.609	$	7.662
Number of accumulation units outstanding at end of period (000’s omitted)		2		3		3		10		141		169		209		187		274		246

38

	Flexible Payment Contracts
Subaccount	2010		2009		2008		2007		2006		2005		2004		2003		2002		2001
Credit Suisse Trust International Equity Flex III Subaccount (successor to Credit Suisse Trust International Flex II Subaccount) (formerly Credit Suisse Trust-Emerging Markets Subaccount)
Accumulation unit value at beginning of period*	$	17.815	$	11.903	$	26.679	$	20.881	$	15.962	$	12.638	$	10.248	$	7.266	$	8.326	$	9.829
Accumulation unit value at end of period	$	19.738	$	17.815	$	11.903	$	26.679	$	20.881	$	15.962	$	12.638	$	10.248	$	7.266	$	8.326
Number of accumulation units outstanding at end of period (000’s omitted)		8		3		3		5		8		4		5		4		3		—
Dreyfus IP MidCap Stock Subaccount
Accumulation unit value at beginning of period**	$	12.780	$	9.566	$	16.272	$	16.260	$	15.296	$	14.224	$	12.614	$	10.000	$	—	$	—
Accumulation unit value at end of period	$	16.015	$	12.780	$	9.566	$	16.272	$	16.260	$	15.296	$	14.224	$	12.614	$	—	$	—
Number of accumulation units outstanding at end of period (000’s omitted)		9		3		3		4		10		17		14		4		9		12
Dreyfus Socially Responsible Growth Subaccount
Accumulation unit value at beginning of period*	$	24.679	$	18.691	$	28.874	$	27.139	$	25.174	$	24.611	$	23.474	$	18.872	$	26.905	$	35.205
Accumulation unit value at end of period	$	27.972	$	24.679	$	18.691	$	28.874	$	27.139	$	25.174	$	24.611	$	23.474	$	18.872	$	26.905
Number of accumulation units outstanding at end of period (000’s omitted)		6		4		4		0		5		6		6		7		9		12
Dreyfus VIF Small Company Stock Subaccount*
Accumulation unit value at beginning of period**		N/A		N/A		N/A	$	17.312	$	15.806	$	15.888	$	13.619	$	10	$	—	$	—
Accumulation unit value at end of period		N/A		N/A		N/A		N/A	$	17.312	$	15.806	$	15.888	$	13.619	$	—	$	—
Number of accumulation units outstanding at end of period (000’s omitted)		N/A		N/A		N/A		—		3		3		5		4		9		12
DWS Bond VIP Subaccount (formerly Scudder Bond Subaccount)
Accumulation unit value at beginning of period*	$	8.079	$	7.436	$	9.050	$	8.801	$	8.513	$	8.405	$	8.080	$	7.790	$	7.331	$	7.023
Accumulation unit value at end of period	$	8.517	$	8.079	$	7.436	$	9.050	$	8.801	$	8.513	$	8.405	$	8.080	$	7.790	$	7.331
Number of accumulation units outstanding at end of period (000’s omitted)		16		10		10		1		43		56		46		66		50		64
DWS Capital Growth VIP Subaccount (formerly Scudder Capital Growth Subaccount)
Accumulation unit value at beginning of period*	$	20.254	$	16.172	$	24.445	$	21.996	$	20.530	$	19.087	$	17.905	$	14.295	$	20.449	$	25.689
Accumulation unit value at end of period	$	23.335	$	20.254	$	16.172	$	24.445	$	21.996	$	20.530	$	19.087	$	17.905	$	14.295	$	20.449
Number of accumulation units outstanding at end of period (000’s omitted)		5		5		5		37		427		494		10		11		10		9
DWS Growth & Income VIP Subaccount (formerly Scudder Growth and Income Subaccount)
Accumulation unit value at beginning of period****	$	10.082	$	7.613	$	12.502	$	12.496	$	11.140	$	10.000		N/A		N/A		N/A		N/A
Accumulation unit value at end of period	$	11.385	$	10.082	$	7.613	$	12.502	$	12.496	$	11.140		N/A		N/A		N/A		N/A
Number of accumulation units outstanding at end of period (000’s omitted)		9		6		6		5		50		65		N/A		N/A		N/A		N/A
DWS International VIP Subaccount (formerly Scudder International Subaccount)
Accumulation unit value at beginning of period*	$	13.512	$	10.251	$	20.053	$	17.729	$	14.263	$	12.437	$	10.812	$	8.573	$	10.639	$	15.588
Accumulation unit value at end of period	$	13.555	$	13.512	$	10.251	$	20.053	$	17.729	$	14.263	$	12.437	$	10.812	$	8.573	$	10.639
Number of accumulation units outstanding at end of period (000’s omitted)		7		6		6		0		44		33		37		34		76		47

39

	Flexible Payment Contracts
Subaccount	2010		2009		2008		2007		2006		2005		2004		2003		2002		2001
DWS Balanced VIP Subaccount (formerly Scudder Total Return Subaccount)
Accumulation unit value at beginning of period*	$	6.913	$	5.673	$	8.489	$	7.642	$	7.022	$	6.820	$	6.470	$	5.557	$	6.636	$	7.159
Accumulation unit value at end of period	$	7.902	$	6.913	$	5.673	$	7.909	$	7.642	$	7.022	$	6.820	$	6.470	$	5.557	$	6.636
Number of accumulation units outstanding at end of period (000’s omitted)		2,640		1,705		100		2,317		2,644		3,208		3,983		4,490		5,344		6,562
DWS Core Fixed Income VIP Subaccount (formerly Scudder Fixed Income Subaccount)
Accumulation unit value at beginning of period*	$	1.331	$	1.252	$	1.572	$	1.529	$	1.486	$	1.472	$	1.426	$	1.374	$	1.289	$	1.235
Accumulation unit value at end of period	$	1.400	$	1.331	$	1.252	$	1.572	$	1.529	$	1.486	$	1.472	$	1.426	$	1.374	$	1.289
Number of accumulation units outstanding at end of period (000’s omitted)		12		11		13		2		505		699		1,117		1,426		1,441		1,531
DWS Diversified International Equity VIP Subaccount (formerly DWS International Select Equity VIP Subaccount)
Accumulation unit value at beginning of period*	$	2.061	$	1.614	$	3.195	$	2.773	$	2.237	$	1.979	$	1.695	$	1.323	$	1.549	$	2.076
Accumulation unit value at end of period	$	2.257	$	2.061	$	1.614	$	3.195	$	2.773	$	2.237	$	1.979	$	1.695	$	1.323	$	1.549
Number of accumulation units outstanding at end of period (000’s omitted)		100		100		113		65		1,440		1,692		1,864		2,073		2,568		3,058
DWS Dreman Small Mid Cap Value VIP (formerly DWS Dreman Small Cap Value VIP Subaccount)
Accumulation unit value at beginning of period*	$	2.260	$	1.765	$	2.686	$	2.640	$	2.138	$	1.965	$	1.579	$	1.126	$	1.287	$	1.108
Accumulation unit value at end of period	$	2.746	$	2.260	$	1.765	$	2.686	$	2.640	$	2.138	$	1.965	$	1.579	$	1.126	$	1.287
Number of accumulation units outstanding at end of period (000’s omitted)		5		2		6		11		844		1,008		1,327		1,413		4,282		3,910
DWS Government & Agency Securities VIP Subaccount (formerly Scudder Government & Agency Securities Subaccount)
Accumulation unit value at beginning of period*	$	2.727	$	2.556	$	2.468	$	2.359	$	2.294	$	2.266	$	2.212	$	2.192	$	2.055	$	1.937
Accumulation unit value at end of period	$	2.870	$	2.727	$	2.556	$	2.468	$	2.359	$	2.294	$	2.266	$	2.212	$	2.192	$	2.055
Number of accumulation units outstanding at end of period (000’s omitted)		120		100		120		56		1,666		2,320		3,323		4,449		5,601		6,621
DWS High Income VIP Subaccount (formerly Scudder High Income Subaccount)
Accumulation unit value at beginning of period*	$	8.450	$	6.114	$	8.359	$	8.171	$	7.493	$	7.306	$	6.584	$	5.352	$	5.438	$	5.368
Accumulation unit value at end of period	$	9.843	$	8.450	$	6.114	$	8.143	$	8.171	$	7.493	$	7.306	$	6.584	$	5.352	$	5.438
Number of accumulation units outstanding at end of period (000’s omitted)		815		900		40		930		1,437		1,702		2,167		2,681		3,511		4,583
DWS Large Cap Value VIP Subaccount (formerly Scudder Large Cap Value Subaccount)
Accumulation unit value at beginning of period*	$	2.140	$	1.729	$	2.754	$	2.466	$	2.164	$	2.150	$	1.979	$	1.512	$	1.801	$	1.792
Accumulation unit value at end of period	$	2.340	$	2.140	$	1.729	$	2.754	$	2.466	$	2.164	$	2.150	$	1.979	$	1.512	$	1.801
Number of accumulation units outstanding at end of period (000’s omitted)		33		20		20		77		946		1,143		1,570		1,817		2,137		2,682
DWS Money Market VIP Subaccount (formerly Scudder Money Market Subaccount)
Accumulation unit value at beginning of period*	$	2.846	$	2.874	$	2.836	$	2.737	$	2.649	$	2.610	$	2.620	$	2.635	$	2.633	$	2.571
Accumulation unit value at end of period	$	2.810	$	2.846	$	2.874	$	2.836	$	2.737	$	2.649	$	2.610	$	2.620	$	2.635	$	2.633
Number of accumulation units outstanding at end of period (000’s omitted)		24		16		24		57		1,525		1,675		1,564		2,885		3,816		4,753
DWS Small Mid-Cap Growth VIP Subaccount (formerly DWS Small Cap Growth Subaccount)
Accumulation unit value at beginning of period*	$	1.603	$	1.155	$	2.318	$	2.211	$	2.127	$	2.013	$	1.836	$	1.399	$	2.131	$	3.032
Accumulation unit value at end of period	$	2.049	$	1.603	$	1.155	$	2.318	$	2.211	$	2.127	$	2.013	$	1.836	$	1.399	$	2.131
Number of accumulation units outstanding at end of period (000’s omitted)		24		20		20		33		833		992		1,424		1,767		2,169		2,985
DWS Technology VIP (formerly Scudder Technology Growth Subaccount)*
Accumulation unit value at beginning of period*	$	0.829	$	0.524	$	0.986	$	0.874	$	0.879	$	0.858	$	0.853	$	0.589	$	0.926	$	1.376
Accumulation unit value at end of period	$	0.971	$	0.829	$	0.524	$	0.986	$	0.874	$	0.879	$	0.858	$	0.853	$	0.589	$	0.926
Number of accumulation units outstanding at end of period (000’s omitted)		20		10		10		7		73		113		252		672		215		58

40

	Flexible Payment Contracts
Subaccount	2010		2009		2008		2007		2006		2005		2004		2003			2002		2001
Fidelity VIP Asset ManagerSM Subaccount
Accumulation unit value at beginning of period*	$	27.177	$	21.322	$	30.302	$	26.577	$	25.087	$	24.424	$	23.459	$	20.143		$	22.357	$	23.615
Accumulation unit value at end of period	$	30.655	$	27.177	$	21.322	$	30.302	$	26.577	$	25.087	$	24.424	$	23.459		$	20.143	$	22.357
Number of accumulation units outstanding at end of period (000’s omitted)		5		4		4		3		21		35		42		38			28		42
Fidelity VIP Contrafund® Subaccount
Accumulation unit value at beginning of period*	$	36.748	$	27.431	$	48.339	$	41.644	$	37.760	$	32.710	$	28.695	$	22.627		$	25.285	$	29.190
Accumulation unit value at end of period	$	42.523	$	36.748	$	27.431	$	48.339	$	41.644	$	37.760	$	32.710	$	28.695		$	22.627	$	25.285
Number of accumulation units outstanding at end of period (000’s omitted)		6		3		4		6		188		208		220		227			202		240
Fidelity VIP Equity-Income Subaccount
Accumulation unit value at beginning of period*	$	32.159	$	25.020	$	44.198	$	44.101	$	37.167	$	35.563	$	32.302	$	25.107		$	30.623	$	32.641
Accumulation unit value at end of period	$	36.556	$	32.159	$	25.020	$	44.198	$	44.101	$	37.167	$	35.563	$	32.302		$	25.107	$	30.623
Number of accumulation units outstanding at end of period (000’s omitted)		9		5		6		1		145		157		176		189			172		209
Fidelity VIP Growth Subaccount
Accumulation unit value at beginning of period*	$	42.289	$	33.393	$	64.029	$	51.090	$	48.434	$	46.373	$	45.443	$	34.651		$	50.221	$	61.783
Accumulation unit value at end of period	$	51.838	$	42.289	$	33.393	$	64.029	$	51.090	$	48.434	$	46.373	$	45.443		$	34.651	$	50.221
Number of accumulation units outstanding at end of period (000’s omitted)		6		5		9		1		35		51		70		84			88		119
Fidelity VIP Index 500 Subaccount
Accumulation unit value at beginning of period*	$	137.695	$	110.172	$	177.148	$	170.206	$	148.980	$	143.967	$	131.848	$	104.012		$	135.516	$	156.190
Accumulation unit value at end of period	$	156.349	$	137.695	$	110.172	$	177.148	$	170.206	$	148.980	$	143.967	$	131.848		$	104.012	$	135.516
Number of accumulation units outstanding at end of period (000’s omitted)		7		4		5		2		81		84		84		84			93		126
Franklin Rising Dividends Securities Subaccount
Accumulation unit value at beginning of period**	$	12.615	$	10.890	$	15.133	$	15.755	$	13.626	$	13.345	$	12.179	$	10.000		$	—	$	—
Accumulation unit value at end of period	$	15.024	$	12.615	$	10.890	$	15.133	$	15.755	$	13.626	$	13.345	$	12.179		$	—	$	—
Number of accumulation units outstanding at end of period (000’s omitted)		3		3		3		2		55		51		49		11			—		—
Franklin Small Cap Value Securities Subaccount
Accumulation unit value at beginning of period**	$	16.271	$	12.762	$	19.300	$	20.029	$	17.344	$	16.152	$	13.223	$	10.000		$	—	$	—
Accumulation unit value at end of period	$	20.595	$	16.271	$	12.762	$	19.300	$	20.029	$	17.344	$	16.152	$	13.223		$	—	$	—
Number of accumulation units outstanding at end of period (000’s omitted)		16		7		7		11		26		26		12			***		—		—

41

	Flexible Payment Contracts
Subaccount	2010		2009		2008		2007		2006		2005		2004		2003		2002		2001
Franklin Strategic Income Securities Subaccount
Accumulation unit value at beginning of period**	$	14.379	$	11.583	$	13.219	$	12.645	$	11.833	$	11.814	$	10.901	$	10.000	$	—	$	—
Accumulation unit value at end of period	$	15.744	$	14.379	$	11.583	$	13.219	$	12.645	$	11.833	$	11.814	$	10.901	$	—	$	—
Number of accumulation units outstanding at end of period (000’s omitted)		21		20		20		52		58		62		46		28		—		—
Franklin U.S. Government Subaccount
Accumulation unit value at beginning of period**	$	12.061	$	11.851	$	11.158	$	10.603	$	10.326	$	10.214	$	10.000	$	10.000	$	—	$	—
Accumulation unit value at end of period	$	12.535	$	12.061	$	11.851	$	11.158	$	10.603	$	10.326	$	10.214	$	10.000	$	—	$	—
Number of accumulation units outstanding at end of period (000’s omitted)		3		4		6		9		11		13		9		14		—		—
Franklin Zero Coupon 2010 Subaccount
Accumulation unit value at beginning of period**	$	11.653	$	11.787	$	11.135	$	10.406	$	10.294	$	10.291	$	9.981	$	10.000	$	—	$	—
Accumulation unit value at end of period		N/A	$	11.653	$	11.787	$	11.135	$	10.406	$	10.294	$	10.291	$	9.981	$	—	$	—
Number of accumulation units outstanding at end of period (000’s omitted)		N/A		6		6		3		13		26		15		15		—		—
Mutual Global Discovery Securities Subaccount (formerly Mutual Discovery Securities Subaccount)
Accumulation unit value at beginning of period**	$	19.105	$	15.694	$	2.221	$	20.127	$	16.568	$	14.472	$	12.404	$	10.000	$	—	$	—
Accumulation unit value at end of period	$	21.115	$	19.105	$	15.694	$	2.221	$	20.127	$	16.568	$	14.472	$	12.404	$	—	$	—
Number of accumulation units outstanding at end of period (000’s omitted)				1		1		0		76		74		36		10		—		—
Mutual Shares Securities Subaccount
Accumulation unit value at beginning of period**	$	13.425	$	10.790	$	17.379	$	17.014	$	14.559	$	13.340	$	11.998	$	10.000	$	—	$	—
Accumulation unit value at end of period	$	14.737	$	13.425	$	10.790	$	17.379	$	17.014	$	14.559	$	13.340	$	11.998	$	—	$	—
Number of accumulation units outstanding at end of period (000’s omitted)		4		3		3		21		29		22		11		19		—		—
Templeton Developing Markets Securities Subaccount
Accumulation unit value at beginning of period**	$	28.689	$	16.839	$	36.068	$	28.372	$	22.437	$	17.836	$	14.488	$	10.000	$	—	$	—
Accumulation unit value at end of period	$	33.302	$	28.689	$	16.839	$	36.068	$	28.372	$	22.437	$	17.836	$	14.488	$	—	$	—
Number of accumulation units outstanding at end of period (000’s omitted)		3		2		2		0		40		36		15		5		—		—
ING JPMorgan Emerging Markets Equity Subaccount
Accumulation unit value at beginning of period+++	$	22.104	$	13.017	$	26.995	$	19.702	$	14.655	$	10.000		N/A		N/A		N/A		N/A
Accumulation unit value at end of period	$	26.322	$	22.104	$	13.017	$	26.995	$	19.702	$	14.655		N/A		N/A		N/A		N/A
Number of accumulation units outstanding at end of period (000’s omitted)		6		3		3		6		54		71		N/A		N/A		N/A		N/A
ING VP Emerging Markets Subaccount
Accumulation unit value at beginning of period*		N/A		N/A		N/A		N/A		N/A	$	11.324	$	9.425	$	6.486	$	7.247	$	8.196
Accumulation unit value at end of period++		N/A		N/A		N/A		N/A		N/A		N/A	$	11.324	$	9.425	$	6.486	$	7.247
Number of accumulation units outstanding at end of period (000’s omitted)		N/A		N/A		N/A		—		N/A		N/A		69		93		101		114

42

	Flexible Payment Contracts
Subaccount	2010		2009		2008		2007		2006		2005		2004		2003		2002		2001
ING VP Natural Resources Trust Subaccount
Accumulation unit value at beginning of period*		N/A		N/A		N/A	$	30.450	$	25.339	$	17.967	$	16.156	$	12.538	$	12.973	$	15.634
Accumulation unit value at end of period		N/A		N/A		N/A		N/A	$	30.45	$	25.339	$	17.967	$	16.156	$	12.538	$	12.973
Number of accumulation units outstanding at end of period (000’s omitted)		N/A		N/A		N/A		N/A		37		54		23		18		24		28
ING VP Global Resources Portfolio Subaccount
Accumulation unit value at beginning of period*	$	11.260	$	8.294	$	14.242		N/A	$	25.339	$	17.967	$	16.156	$	12.538	$	12.973	$	15.634
Accumulation unit value at end of period	$	13.521	$	11.260	$	8.294	$	14.242	$	30.450	$	25.339	$	17.967	$	16.156	$	12.538	$	12.973
Number of accumulation units outstanding at end of period (000’s omitted)		5		3		3		1		37		54		23		18		24		28
Invesco V.I. Financial Services Subaccount (formerly AIM V.I. Financial Services Subaccount)
Accumulation unit value at beginning of period**	$	6.097	$	4.847	$	12.106	$	15.768	$	13.717	$	13.120	$	12.230	$	10.000	$	—	$	—
Accumulation unit value at end of period	$	6.639	$	6.097	$	4.847	$	12.106	$	15.768	$	13.717	$	13.120	$	12.230	$	—	$	—
Number of accumulation units outstanding at end of period (000’s omitted)		23		15		13		24		17		15		20		12		—		—
Invesco V.I. Global Health Care Subaccount (formerly AIM V.I. Global Health Care Subaccount)
Accumulation unit value at beginning of period**	$	13.685	$	10.858	$	15.409	$	13.956	$	13.434	$	12.583	$	11.850	$	10.000	$	—	$	—
Accumulation unit value at end of period	$	14.224	$	13.685	$	10.858	$	15.409	$	13.956	$	13.434	$	12.583	$	11.850	$	—	$	—
Number of accumulation units outstanding at end of period (000’s omitted)		—		9		9		10		9		10		15		13		—		—
Invesco V.I. Global Real Estate Subaccount (formerly AIM V.I. Global Real Estate Subaccount)
Accumulation unit value at beginning of period**	$	18.533	$	14.274	$	26.123	$	28.017	$	19.902	$	17.676	$	13.089	$	10.000	$	—	$	—
Accumulation unit value at end of period	$	21.500	$	18.533	$	14.274	$	26.123	$	28.017	$	19.902	$	17.676	$	13.089	$	—	$	—
Number of accumulation units outstanding at end of period (000’s omitted)		—		4		24		31		41		21		22		9		—		—
Invesco V.I. Utilities Subaccount (formerly AIM V.I. Utilities Subaccount)
Accumulation unit value at beginning of period**	$	18.406	$	16.224	$	24.296	$	20.402	$	16.472	$	14.281	$	11.709	$	10.000	$	—	$	—
Accumulation unit value at end of period	$	19.315	$	18.406	$	16.224	$	24.296	$	20.402	$	16.472	$	14.281	$	11.709	$	—	$	—
Number of accumulation units outstanding at end of period (000’s omitted)		5		5		5		73		22		25		12		6		—		—
JPMorgan Insurance Trust Equity Index Subaccount (formerly JPMorgan Investment Trust Equity Index Subaccount)
Accumulation unit value at beginning of period***	$	10.483	$	8.399	$	13.549	$	13.061	$	11.462	$	11.116	$	10.250	$	—	$	—	$	—
Accumulation unit value at end of period	$	11.839	$	10.483	$	8.399	$	13.549	$	13.061	$	11.462	$	11.116	$	—	$	—	$	—
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		0		1		1		1		1		—		—		—

43

	Flexible Payment Contracts
Subaccount	2010		2009		2008		2007		2006		2005		2004		2003		2002		2001
JPMorgan Insurance Trust Diversified Equity Subaccount (formerly JPMorgan Investment Trust Diversified Equity Subaccount)
Accumulation unit value at beginning of period***	$	11.573	$	8.770	$	13.626	$	12.498	$	10.900	$	10.790	$	10.060	$	—	$	—	$	—
Accumulation unit value at end of period	$	12.976	$	11.573	$	8.700	$	13.626	$	12.498	$	10.900	$	10.790	$	—	$	—	$	—
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		1		1		1		1		2		—		—		—
JPMorgan Insurance Trust U.S. Equity Subaccount (JPMorgan Insurance Trust Diversified Equity Subaccount (formerly JPMorgan Investment Trust Diversified Equity Subaccount)
Accumulation unit value at beginning of period***	$	12.285	$	8.700	$	15.678	$	13.548	$	12.320	$	11.234	$	10.407	$	—	$	—	$	—
Accumulation unit value at end of period	$	15.236	$	12.285	$	8.700	$	15.678	$	13.548	$	12.320	$	11.234	$	—	$	—	$	—
Number of accumulation units outstanding at end of period (000’s omitted)		1		1		1		2		2		1		—		—		—		—
JPMorgan Insurance Trust Intrepid Mid Cap Subaccount (formerly JPMorgan Investment Trust Diversified Mid Cap Subaccount)
Accumulation unit value at beginning of period***	$	12.233	$	9.134	$	15.124	$	14.894	$	13.221	$	11.437	$	10.102	$	—	$	—	$	—
Accumulation unit value at end of period	$	14.434	$	12.233	$	9.134	$	15.124	$	14.894	$	13.221	$	11.437	$	—	$	—	$	—
Number of accumulation units outstanding at end of period (000’s omitted)		3		1		1		3		16		45		—		—		—		—
JPMorgan Insurance Trust Diversified Mid Cap Value Subaccount (formerly JPMorgan Investment Trust Mid Cap Value)
Accumulation unit value at beginning of period***	$	11.545	$	9.144	$	14.359	$	14.414	$	12.509	$	11.545	$	10.283	$	—	$	—	$	—
Accumulation unit value at end of period	$	14.070	$	11.545	$	9.144	$	14.359	$	14.414	$	12.509	$	11.545	$	—	$	—	$	—
Number of accumulation units outstanding at end of period (000’s omitted)		2		1		1		1		2		4		2		—		—		—
JPMorgan Insurance Trust International Equity Subaccount
Accumulation unit value at beginning of period***	$	16.987		N/A		N/A		N/A		N/A		N/A		N/A		N/A		N/A		N/A
Accumulation unit value at end of period	$	17.970	$	16.987		N/A		N/A		N/A		N/A		N/A		N/A		N/A		N/A
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		N/A		N/A		N/A		N/A		N/A		N/A		N/A		N/A
JPMorgan Insurance Trust Small Cap Core Subaccount (formerly JPMorgan Small Company Portfolio)
Accumulation unit value at beginning of period***	$	15.401		N/A		N/A		N/A		N/A		N/A		N/A		N/A		N/A		N/A
Accumulation unit value at end of period	$	19.328	$	15.401		N/A		N/A		N/A		N/A		N/A		N/A		N/A		N/A
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		N/A		N/A		N/A		N/A		N/A		N/A		N/A		N/A
JPMorgan International Equity Subaccount
Accumulation unit value at beginning of period**		N/A	$	12.755	$	22.032	$	20.414	$	16.945	$	15.506	$	13.270	$	10.000	$	—	$	—
Accumulation unit value at end of period		N/A		N/A	$	12.755	$	22.032	$	20.414	$	16.945	$	15.506	$	13.270	$	—	$	—
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		2		3		23		20		19		9		—		—

44

	Flexible Payment Contracts
Subaccount	2010		2009		2008		2007		2006		2005		2004		2003		2002		2001
JPMorgan MidCap Value Subaccount
Accumulation unit value at beginning of period**		N/A	$	12.211	$	18.520	$	18.313	$	15.877	$	14.726	$	12.323	$	10	$	—	$	—
Accumulation unit value at end of period		N/A		N/A	$	12.211	$	18.520	$	18.313	$	15.877	$	14.726	$	12.323	$	—	$	—
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		1		13		57		88		65		23		—		—
JPMorgan Small Company Subaccount
Accumulation unit value at beginning of period*		N/A	$	12.728	$	18.957	$	20.359	$	17.932	$	17.565	$	13.992	$	10.423	$	13.477	$	14.852
Accumulation unit value at end of period		N/A		N/A	$	12.728	$	18.957	$	20.359	$	17.932	$	17.565	$	13.992	$	10.423	$	13.477
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		2		0		19		30		36		28		30		29
Janus Aspen Balanced Subaccount
Accumulation unit value at beginning of period*	$	39.801	$	32.027	$	38.550	$	35.331	$	32.325	$	30.332	$	28.313	$	25.148	$	27.230	$	28.936
Accumulation unit value at end of period	$	42.585	$	39.801	$	32.027	$	38.550	$	35.331	$	32.325	$	30.332	$	28.313	$	25.148	$	27.230
Number of accumulation units outstanding at end of period (000’s omitted)		8		2		2		18		215		263		317		383		488		617
Janus Aspen Enterprise Subaccount (formerly Janus Aspen Mid Cap Growth Subaccount)
Accumulation unit value at beginning of period*	$	32.377	$	22.646	$	40.765	$	33.839	$	30.171	$	27.213	$	22.831	$	17.119	$	24.064	$	40.263
Accumulation unit value at end of period	$	40.224	$	32.377	$	22.646	$	40.765	$	33.839	$	30.171	$	27.213	$	22.831	$	17.119	$	24.064
Number of accumulation units outstanding at end of period (000’s omitted)		2		2		2		2		90		106		130		154		207		255
Janus Aspen Janus Subaccount (formerly Janus Aspen Large Cap Growth Subaccount)
Accumulation unit value at beginning of period*	$	23.127	$	17.182	$	28.875	$	25.416	$	23.116	$	22.453	$	21.762	$	16.735	$	23.068	$	31.050
Accumulation unit value at end of period	$	26.145	$	23.127	$	17.182	$	28.875	$	25.416	$	23.116	$	22.453	$	21.762	$	16.735	$	23.068
Number of accumulation units outstanding at end of period (000’s omitted)		5		2		2		8		120		187		243		306		366		543
Janus Aspen Mid Cap Value Subaccount
Accumulation unit value at beginning of period**	$	18.976	$	14.462	$	20.318	$	19.206	$	16.908	$	15.570	$	13.390	$	10.000	$	—	$	—
Accumulation unit value at end of period	$	21.611	$	18.976	$	14.462	$	20.318	$	19.206	$	16.908	$	15.570	$	13.390	$	—	$	—
Number of accumulation units outstanding at end of period (000’s omitted)		2		1		1		2		39		34		25		2		—		—
Janus Aspen Small Company Value Subaccount
Accumulation unit value at beginning of period**		N/A	$	11.285	$	17.839	$	19.248	$	15.999	$	15.669	$	13.443	$	10	$	—	$	—
Accumulation unit value at end of period		N/A		N/A	$	11.285	$	17.839	$	19.248	$	15.999	$	15.669	$	13.443	$	—	$	—
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		3		1		2		2		19		19		—		—
Janus Aspen Worldwide Subaccount (formerly Janus Aspen Worldwide Growth Subaccount)
Accumulation unit value at beginning of period*	$	28.237	$	20.773	$	38.026	$	35.140	$	30.114	$	28.814	$	27.859	$	22.760	$	30.949	$	40.424
Accumulation unit value at end of period	$	32.288	$	28.237	$	20.773	$	38.026	$	35.140	$	30.114	$	28.814	$	27.859	$	22.760	$	30.949
Number of accumulation units outstanding at end of period (000’s omitted)		6		2		2		6		134		169		245		349		473		610

45

	Flexible Payment Contracts
Subaccount	2010		2009		2008		2007		2006		2005		2004		2003		2002		2001
Oppenheimer Capital Appreciation Subaccount
Accumulation unit value at beginning of period**	$	12.244	$	8.604	$	16.040	$	14.272	$	13.426	$	12.969	$	12.323	$	10.000	$	—	$	—
Accumulation unit value at end of period	$	13.192	$	12.244	$	8.604	$	16.040	$	14.272	$	13.426	$	12.969	$	12.323	$	—	$	—
Number of accumulation units outstanding at end of period (000’s omitted)		3		1		1		11		14		23		35		12		—		—
Oppenheimer Global Securities Subaccount
Accumulation unit value at beginning of period**	$	18.389	$	13.367	$	22.694	$	21.673	$	18.706	$	16.613	$	14.157	$	10.000	$	—	$	—
Accumulation unit value at end of period	$	21.004	$	18.389	$	13.367	$	22.694	$	21.673	$	18.706	$	16.613	$	14.157	$	—	$	—
Number of accumulation units outstanding at end of period (000’s omitted)		3		2		2		87		139		161		149		84		—		—
Oppenheimer High Income Subaccount
Accumulation unit value at beginning of period**	$	3.334	$	2.682	$	12.682	$	12.908	$	11.971	$	11.888	$	11.076	$	10.000	$	—	$	—
Accumulation unit value at end of period	$	3.768	$	3.334	$	2.682	$	12.682	$	12.908	$	11.971	$	11.888	$	11.076	$	—	$	—
Number of accumulation units outstanding at end of period (000’s omitted)		3		3		3		4		9		9		16		5		—		—
Oppenheimer Main Street Subaccount
Accumulation unit value at beginning of period**	$	12.141	$	9.609	$	15.860	$	15.427	$	13.617	$	13.045	$	12.107	$	10.000	$	—	$	—
Accumulation unit value at end of period	$	13.882	$	12.141	$	9.609	$	15.860	$	15.427	$	13.617	$	13.045	$	12.107	$	—	$	—
Number of accumulation units outstanding at end of period (000’s omitted)		3		1		1		19		24		25		27		7		—		—
Oppenheimer Main Street Small Cap Subaccount
Accumulation unit value at beginning of period**	$	15.933	$	11.791	$	19.267	$	19.795	$	17.488	$	16.146	$	13.724	$	10.000	$	—	$	—
Accumulation unit value at end of period	$	19.355	$	15.933	$	11.791	$	19.267	$	19.795	$	17.488	$	16.146	$	13.724	$	—	$	—
Number of accumulation units outstanding at end of period (000’s omitted)		5		3		3		9		19		17		19		10		—		—
Oppenheimer Small- & Mid-Cap Growth Subaccount (formerly Oppenheimer MidCap Growth Subaccount) (formerly Oppenheimer Aggressive Growth Subaccount)
Accumulation unit value at beginning of period**	$	10.878	$	8.332	$	16.619	$	15.877	$	15.660	$	14.165	$	12.015	$	10.000	$	—	$	—
Accumulation unit value at end of period	$	13.655	$	10.878	$	8.332	$	16.619	$	15.877	$	15.660	$	14.165	$	12.015	$	—	$	—
Number of accumulation units outstanding at end of period (000’s omitted)		1		1		1		1		1		8		10		—		—		—
Oppenheimer Global Strategic Income Subaccount (formerly Oppenheimer Strategic Bond Subaccount)
Accumulation unit value at beginning of period**	$	13.236	$	11.324	$	13.414	$	12.405	$	11.718	$	11.583	$	10.821	$	10.000	$	—	$	—
Accumulation unit value at end of period	$	14.997	$	13.236	$	11.324	$	13.414	$	12.405	$	11.718	$	11.583	$	10.821	$	—	$	—
Number of accumulation units outstanding at end of period (000’s omitted)		3		3		3		27		47		45		26		19		—		—
Scudder Growth Subaccount
Accumulation unit value at beginning of period*		N/A		N/A		N/A		N/A		N/A	$	5.12	$	4.933	$	4.007	$	5.75	$	7.501
Accumulation unit value at end of period+		N/A		N/A		N/A		N/A		N/A		N/A	$	5.12	$	4.933	$	4.007	$	5.75
Number of accumulation units outstanding at end of period (000’s omitted)		N/A		N/A		N/A		—		N/A		N/A		2,234		2,575		3,297		4,232

46

	Flexible Payment Contracts
Subaccount	2010		2009		2008		2007		2006		2005		2004		2003		2002		2001
SVS Focus Value + Growth Subaccount
Accumulation unit value at beginning of period*		N/A		N/A		N/A		N/A		N/A	$	1.622	$	1.476	$	1.127	$	1.54	$	1.822
Accumulation unit value at end of period+		N/A		N/A		N/A		N/A		N/A		N/A	$	1.622	$	1.476	$	1.127	$	1.54
Number of accumulation units outstanding at end of period (000’s omitted)		N/A		N/A		N/A		—		N/A		N/A		600		775		1,045		1,453

* The DWS Government & Agency Securities VIP Subaccount commenced operations on November 6, 1989.

** The DWS International Select Equity VIP Subaccount commenced operations on January 6, 1992.

*** The DWS Small Cap Growth VIP Subaccount (formerly Scudder Small Cap Growth Subaccount) commenced operations on May 2, 1994.

† The Janus Aspen Large Cap Growth, Janus Aspen Mid Cap Growth, Janus Aspen Worldwide Growth, and Janus Aspen Balanced Subaccounts and the ING Global Resources Portfolio Subaccount (formerly ING VP Natural Resources Trust) and the ING VP Emerging Markets Subaccounts were available under the Contracts on September 15, 1995.

†† The DWS Core Fixed Income VIP, DWS Large Cap Value VIP, DWS Dreman Small Mid Cap Value VIP, SVS Focus Value+Growth, Fidelity VIP Equity-Income, Fidelity VIP Growth, Fidelity VIP Asset Manager, Fidelity VIP Index 500 and Fidelity VIP Contrafund^® Subaccounts were available under the Contracts on May 1, 1996.

††† The DWS Bond VIP Portfolio, DWS Capital Growth VIP, DWS International VIP, Dreyfus Socially Responsible Growth Fund, Inc., JPMorgan Small Company, Alger American Growth, Alger American Small Capitalization, American Century VP Income & Growth and American Century VP Value Subaccounts were available under the Contracts on May 3, 1999.

†††† DWS Technology VIP, Alger American MidCap Growth and Credit Suisse Trust-Emerging Markets Subaccounts were available under the Contracts on January 8, 2001.

# AIM V.I Financial Services, AIM V. I. Global Health Care, AIM V.I. Real Estate, AIM V.I. Utilities, Dreyfus IP MidCap Stock, Dreyfus VIF Small Company Stock, Franklin Rising Dividends Securities, Franklin Small Cap Value Securities, Franklin Strategic Income Securities, Franklin U.S. Government, Franklin Zero Coupon 2010, Mutual Discovery Securities, Mutual Shares Securities, Templeton Developing Markets Securities, JPMorgan International Equity, JPMorgan Mid Cap Value, Janus Aspen Mid Cap Value, Janus Aspen Small Company Value, Oppenheimer Capital Appreciation, Oppenheimer Global Securities, Oppenheimer High Income, Oppenheimer Main Street, Oppenheimer Main Street Small Cap Oppenheimer MidCap and Oppenheimer Strategic Bond were available under the Contracts on May 1, 2003.

## JPMorgan Insurance Trust Equity Index Portfolio 1, JPMorgan Insurance Trust Diversified Equity Portfolio 1, JPMorgan Insurance Trust Mid Cap Growth Portfolio, JPMorgan Insurance Trust Intrepid Mid Cap Portfolio 1 and JPMorgan Insurance Trust Diversified Mid Cap Value Portfolio 1 were available under the Contracts on May 3, 2004.

### ING JPMorgan Emerging Markets Equity Subaccount was available under the Contracts on December 5, 2005 and DWS Growth & Income VIP Subaccount was available under the Contracts on May 2, 2005.

¹  Effective May 1, 2009, JPMorgan International Equity subaccount merged into the JPMorgan Insurance Trust International Equity subaccount.

²  Effective May 1, 2009, JPMorgan Mid Cap Value subaccount merged into the JPMorgan Insurance Trust Mid Cap Value subaccount.

³ Effective May 1, 2009, JPMorgan Small Company merged into JPMorgan Insurance Trust Small Cap Core subaccount.

The financial statements and reports of independent accountants for the ZALICO Variable Annuity Separate Account are also contained in the Statement of Additional Information.

47

Additional Contract Options Elected (Total 0.75%)

(Separate Account Charges of 2.05% of the Daily Net Assets of the Separate Account)

Tax Qualified—2.05%

Subaccount	2010		2009		2008		2007		2006		2005		2004		2003		2002		2001*
Alger Large Cap Growth Subaccount (formerly Alger American LargeCap Growth Subaccount) (formerly Alger American Growth Subaccount)
Accumulation unit value at beginning of period*	$	47.040	$	32.529	$	61.655	$	52.462	$	50.91	$	46.373	$	44.861	$	33.870	$	51.584	$	45.571
Accumulation unit value at end of period	$	52.267	$	47.040	$	32.529	$	61.655	$	52.46	$	50.913	$	46.373	$	44.861	$	33.870	$	51.584
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		—		—
Alger MidCap Growth Subaccount (formerly Alger American MidCap Growth Subaccount)
Accumulation unit value at beginning of period*	$	28.373	$	19.086	$	46.775	$	36.287	$	33.620	$	31.238	$	28.202	$	19.473	$	28.205	$	23.808
Accumulation unit value at end of period	$	33.193	$	28.373	$	19.086	$	46.775	$	36.28	$	33.620	$	31.238	$	28.202	$	19.473	$	28.205
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		—		—
Alger Small Cap Subaccount (formerly Alger American Small Cap Subaccount)
Accumulation unit value at beginning of period*	$	41.494	$	29.102	$	55.619	$	48.418	$	41.167	$	35.941	$	31.466	$	22.558	$	31.205	$	26.644
Accumulation unit value at end of period	$	50.946	$	41.494	$	29.102	$	55.619	$	48.41	$	41.167	$	35.941	$	31.466	$	22.558	$	31.205
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		—		—
American Century VP Income & Growth Subaccount
Accumulation unit value at beginning of period*	$	5.987	$	5.174	$	8.072	$	8.244	$	7.185	$	7.007	$	6.329	$	4.993	$	6.320	$	5.752
Accumulation unit value at end of period	$	6.697	$	5.987	$	5.174	$	8.072	$	8.24	$	7.185	$	7.007	$	6.329	$	4.993	$	6.320
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		**		—		—		—
American Century VP Value Subaccount
Accumulation unit value at beginning of period*	$	8.691	$	7.399	$	10.313	$	11.095	$	9.542	$	9.271	$	8.275	$	6.548	$	7.648	$	6.715
Accumulation unit value at end of period	$	9.660	$	8.691	$	7.399	$	10.313	$	11.095	$	9.542	$	9.271	$	8.275	$	6.548	$	7.648
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		—		—
Credit Suisse Trust International Equity Flex III Subaccount (successor to Credit Suisse Trust International Flex II Subaccount) (formerly Credit Suisse Trust-Emerging Markets Subaccount)
Accumulation unit value at beginning of period*	$	16.762	$	11.282	$	25.476	$	20.087	$	15.468	$	12.338	$	10.079	$	7.199	$	8.307	$	6.933
Accumulation unit value at end of period	$	18.435	$	16.762	$	11.282	$	25.476	$	20.087	$	15.468	$	12.338	$	10.079	$	7.199	$	8.307
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		—		—
Dreyfus IP MidCap Stock Subaccount
Accumulation unit value at beginning of period**	$	12.166	$	9.174	$	15.721	$	15.826	$	14.998	$	14.050	$	12.552	$	10.000	$	—	$	—
Accumulation unit value at end of period	$	15.134	$	12.166	$	9.174	$	15.721	$	15.826	$	14.998	$	14.050	$	12.552	$	—	$	—
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		—		—
Dreyfus Socially Responsible Growth Subaccount
Accumulation unit value at beginning of period*	$	23.220	$	17.716	$	27.571	$	26.107	$	24.396	$	24.026	$	23.086	$	18.697	$	26.854	$	24.517
Accumulation unit value at end of period	$	26.125	$	23.220	$	17.716	$	27.571	$	26.107	$	24.396	$	24.026	$	23.086	$	18.697	$	26.854
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		—		—
Dreyfus VIF Small Company Stock Subaccount*
Accumulation unit value at beginning of period**		N/A		N/A		N/A	$	16.850	$	15.498	$	15.693	$	13.552	$	10	$	—	$	—
Accumulation unit value at end of period		N/A		N/A		N/A		N/A	$	16.85	$	15.498	$	15.693	$	13.552	$	—	$	—
Number of accumulation units outstanding at end of period (000’s omitted)		N/A		N/A		N/A		N/A		—		—		—		—		—		—

48

Subaccount	2010		2009		2008		2007		2006		2005		2004		2003		2002		2001*
DWS Bond VIP Subaccount (formerly Scudder Bond Subaccount)
Accumulation unit value at beginning of period*	$	7.602	$	7.048	$	8.642	$	8.466	$	8.250	$	8.205	$	7.946	$	7.719	$	7.317	$	7.386
Accumulation unit value at end of period	$	7.955	$	7.602	$	7.048	$	8.642	$	8.466	$	8.250	$	8.205	$	7.946	$	7.719	$	7.317
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		—		—
DWS Capital Growth VIP Subaccount (formerly Scudder Capital Growth Subaccount)
Accumulation unit value at beginning of period*	$	19.057	$	15.329	$	23.342	$	21.159	$	19.895	$	18.633	$	17.609	$	14.162	$	20.410	$	17.767
Accumulation unit value at end of period	$	21.794	$	19.057	$	15.329	$	23.342	$	21.159	$	19.895	$	18.633	$	17.609	$	14.162	$	20.410
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		—		—
DWS Growth & Income VIP Subaccount (formerly Scudder Growth and Income Subaccount)
Accumulation unit value at beginning of period****	$	9.740	$	7.409	$	12.257	$	12.343	$	11.084	$	10.000		N/A		N/A		N/A		N/A
Accumulation unit value at end of period	$	10.918	$	9.740	$	7.409	$	12.257	$	12.343	$	11.084		N/A		N/A		N/A		N/A
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		N/A		N/A		N/A		N/A
DWS International VIP Subaccount (formerly Scudder International Subaccount)
Accumulation unit value at beginning of period*	$	12.712	$	9.716	$	19.148	$	17.055	$	13.828	$	12.141	$	10.633	$	8.494	$	10.618	$	10.566
Accumulation unit value at end of period	$	12.660	$	12.712	$	9.716	$	19.148	$	17.052	$	13.822	$	12.141	$	10.633	$	8.494	$	10.618
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		—		—
DWS Balanced VIP Subaccount (formerly Scudder Total Return Subaccount)
Accumulation unit value at beginning of period*	$	6.981	$	5.772	$	8.105	$	7.890	$	7.304	$	7.146	$	6.829	$	5.909	$	7.109	$	6.714
Accumulation unit value at end of period	$	7.609	$	6.981	$	5.772	$	8.105	$	7.890	$	7.304	$	7.146	$	6.829	$	5.909	$	7.109
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		3		3
DWS Core Fixed Income VIP Subaccount (formerly Scudder Fixed Income Subaccount)
Accumulation unit value at beginning of period*	$	1.253	$	1.187	$	1.501	$	1.471	$	1.444	$	1.437	$	1.403	$	1.362	$	1.287	$	1.299
Accumulation unit value at end of period	$	1.308	$	1.253	$	1.187	$	1.501	$	1.470	$	1.440	$	1.437	$	1.403	$	1.362	$	1.287
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		0		—		—		—		17		15
DWS Diversified International Equity VIP Subaccount (formerly DWS International Select Equity VIP Subaccount)
Accumulation unit value at beginning of period*	$	1.939	$	1.530	$	3.050	$	2.667	$	2.168	$	1.932	$	1.667	$	1.311	$	1.546	$	1.423
Accumulation unit value at end of period	$	2.108	$	1.939	$	1.530	$	3.050	$	2.667	$	2.168	$	1.932	$	1.667	$	1.311	$	1.546
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		—		—
DWS Dreman Small Mid Cap Value VIP (formerly DWS Dreman Small Cap Value VIP Subaccount)
Accumulation unit value at beginning of period*	$	2.127	$	1.673	$	2.565	$	2.540	$	2.072	$	1.918	$	1.553	$	1.116	$	1.285	$	1.093
Accumulation unit value at end of period	$	2.565	$	2.127	$	1.673	$	2.565	$	2.540	$	2.072	$	1.918	$	1.553	$	1.116	$	1.285
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		—		—
DWS Government & Agency Securities VIP Subaccount (formerly Scudder Government & Agency Securities Subaccount)
Accumulation unit value at beginning of period*	$	2.566	$	2.423	$	2.356	$	2.270	$	2.224	$	2.212	$	2.176	$	2.171	$	2.051	$	2.065
Accumulation unit value at end of period	$	2.681	$	2.566	$	2.423	$	2.356	$	2.270	$	2.224	$	2.212	$	2.176	$	2.171	$	2.051
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		8		7

49

Subaccount	2010		2009		2008		2007		2006		2005		2004		2003		2002		2001*
DWS High Income VIP Subaccount (formerly Scudder High Income Subaccount
Accumulation unit value at beginning of period*	$	8.161	$	5.949	$	7.982	$	8.069	$	7.454	$	7.322	$	6.647	$	5.443	$	5.571	$	5.297
Accumulation unit value at end of period	$	9.117	$	8.161	$	5.949	$	7.982	$	8.069	$	7.454	$	7.322	$	6.647	$	5.443	$	5.571
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		—		—
DWS Large Cap Value VIP Subaccount (formerly Scudder Large Cap Value Subaccount)
Accumulation unit value at beginning of period*	$	2.014	$	1.639	$	2.630	$	2.372	$	2.090	$	2.099	$	1.946	$	1.498	$	1.798	$	1.665
Accumulation unit value at end of period	$	2.186	$	2.014	$	1.639	$	2.630	$	2.371	$	2.098	$	2.099	$	1.946	$	1.498	$	1.798
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		—		—
DWS Money Market VIP Subaccount (formerly Scudder Money Market Subaccount)
Accumulation unit value at beginning of period*	$	2.678	$	2.724	$	2.708	$	2.633	$	2.567	$	2.548	$	2.577	$	2.611	$	2.628	$	2.629
Accumulation unit value at end of period	$	2.624	$	2.678	$	2.724	$	2.708	$	2.633	$	2.567	$	2.548	$	2.577	$	2.611	$	2.628
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		0		—		—		—		—		—
DWS Small Mid-Cap Growth VIP Subaccount (formerly DWS Small Cap Growth Subaccount)
Accumulation unit value at beginning of period*	$	1.509	$	1.095	$	2.213	$	2.127	$	2.062	$	1.965	$	1.806	$	1.386	$	2.127	$	1.684
Accumulation unit value at end of period	$	1.914	$	1.509	$	1.095	$	2.213	$	2.127	$	2.062	$	1.965	$	1.806	$	1.386	$	2.127
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		—		—
DWS Technology VIP (formerly Scudder Technology Growth Subaccount)*
Accumulation unit value at beginning of period*	$	0.780	$	0.496	$	0.942	$	0.841	$	0.852	$	0.838	$	0.839	$	0.584	$	0.924	$	0.713
Accumulation unit value at end of period	$	0.907	$	0.780	$	0.496	$	0.942	$	0.841	$	0.852	$	0.838	$	0.839	$	0.584	$	0.924
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		—		—
Fidelity VIP Asset ManagerSM Subaccount
Accumulation unit value at beginning of period*	$	25.570	$	20.210	$	28.935	$	25.567	$	24.311	$	23.844	$	23.072	$	19.957	$	22.314	$	20.696
Accumulation unit value at end of period	$	28.631	$	25.570	$	20.210	$	28.935	$	25.567	$	24.311	$	23.844	$	23.072	$	19.957	$	22.314
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		0		—		—		—		—		—
Fidelity VIP Contrafund® Subaccount
Accumulation unit value at beginning of period*	$	34.576	$	26.000	$	46.158	$	40.061	$	36.593	$	31.932	$	28.221	$	22.418	$	25.237	$	23.589
Accumulation unit value at end of period	$	39.715	$	34.576	$	26.000	$	46.158	$	40.061	$	36.593	$	31.932	$	28.221	$	22.418	$	25.237
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		1		1		1		1		—		—		—		—
Fidelity VIP Equity-Income Subaccount
Accumulation unit value at beginning of period*	$	30.258	$	23.714	$	42.203	$	42.424	$	36.018	$	34.718	$	31.769	$	24.875	$	30.565	$	27.938
Accumulation unit value at end of period	$	34.142	$	30.258	$	23.714	$	42.203	$	42.424	$	36.018	$	34.718	$	31.769	$	24.875	$	30.565
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		0		0		**		—		—		—
Fidelity VIP Growth Subaccount
Accumulation unit value at beginning of period*	$	39.788	$	31.651	$	61.140	$	49.147	$	46.937	$	45.271	$	44.692	$	34.330	$	50.126	$	42.975
Accumulation unit value at end of period	$	48.415	$	39.788	$	31.651	$	61.140	$	49.147	$	46.937	$	45.271	$	44.692	$	34.330	$	50.126
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		0		0		**		—		—		—

50

Subaccount	2010		2009		2008		2007		2006		2005		2004		2003		2002		2001*
Fidelity VIP Index 500 Subaccount
Accumulation unit value at beginning of period*	$	129.552	$	104.425	$	169.154	$	163.735	$	144.374	$	140.545	$	129.669	$	103.050	$	135.259	$	122.587
Accumulation unit value at end of period	$	146.024	$	129.552	$	104.425	$	169.154	$	163.735	$	144.374	$	140.545	$	129.669	$	103.050	$	135.259
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		0		0		**		—		—		—
Franklin Rising Dividends Securities Subaccount
Accumulation unit value at beginning of period**	$	12.009	$	10.444	$	14.621	$	15.334	$	13.360	$	13.182	$	12.120	$	10.000	$	—	$	—
Accumulation unit value at end of period	$	14.198	$	12.009	$	10.444	$	14.621	$	15.334	$	13.360	$	13.182	$	12.120	$	—	$	—
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		—		—
Franklin Small Cap Value Securities Subaccount
Accumulation unit value at beginning of period**	$	15.489	$	12.239	$	18.647	$	19.495	$	17.006	$	15.955	$	13.158	$	10.000	$	—	$	—
Accumulation unit value at end of period	$	19.462	$	15.489	$	12.239	$	18.647	$	19.495	$	17.006	$	15.955	$	13.158	$	—	$	—
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		—		—
Franklin Strategic Income Securities Subaccount
Accumulation unit value at beginning of period**	$	13.689	$	11.109	$	12.772	$	12.307	$	11.603	$	11.670	$	10.847	$	10.000	$	—	$	—
Accumulation unit value at end of period	$	14.878	$	13.689	$	11.109	$	12.772	$	12.307	$	11.603	$	11.670	$	10.847	$	—	$	—
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		—		—
Franklin U.S. Government Subaccount
Accumulation unit value at beginning of period**	$	11.482	$	11.365	$	10.780	$	10.320	$	10.125	$	10.089	$	9.951	$	10.000	$	—	$	—
Accumulation unit value at end of period	$	11.845	$	11.482	$	11.365	$	10.780	$	10.320	$	10.125	$	10.089	$	9.951	$	—	$	—
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		**		—		—		—
Franklin Zero Coupon 2010 Subaccount
Accumulation unit value at beginning of period**	$	11.094	$	11.304	$	10.758	$	10.128	$	10.093	$	10.165	$	9.932	$	10.000	$	—	$	—
Accumulation unit value at end of period		N/A	$	11.094	$	11.304	$	10.758	$	10.128	$	10.093	$	10.165	$	9.932	$	—	$	—
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		0		—		**		—		—		—
Mutal Global Discovery Securities Subaccount (formerly Mutual Discovery Securities Subaccount)
Accumulation unit value at beginning of period**	$	18.187	$	15.051	$	21.469	$	19.590	$	16.245	$	14.295	$	12.343	$	10.000	$	—	$	—
Accumulation unit value at end of period	$	19.953	$	18.187	$	15.051	$	21.469	$	19.590	$	16.245	$	14.295	$	12.343	$	—	$	—
Number of accumulation units outstanding at end of period (000’s omitted)		1		1		1		1		1		1		—		—		—		—
Mutual Shares Securities Subaccount
Accumulation unit value at beginning of period**	$	12.781	$	10.347	$	16.791	$	16.561	$	14.275	$	13.176	$	11.939	$	10.000	$	—	$	—
Accumulation unit value at end of period	$	13.926	$	12.781	$	10.347	$	16.791	$	16.561	$	14.275	$	13.176	$	11.939	$	—	$	—
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		—		—

51

Subaccount	2010		2009		2008		2007		2006		2005		2004		2003		2002		2001*
Templeton Developing Markets Securities Subaccount
Accumulation unit value at beginning of period**	$	27.312	$	16.149	$	34.847	$	27.616	$	22.000	$	17.618	$	14.417	$	10.000	$	—	$	—
Accumulation unit value at end of period	$	31.470	$	27.312	$	16.149	$	34.847	$	27.616	$	22.000	$	17.618	$	14.417	$	—	$	—
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		—		—
ING JPMorgan Emerging Markets Equity Subaccount
Accumulation unit value at beginning of period+++	$	21.448	$	12.724	$	26.584	$	19.546	$	14.647	$	10.000		N/A		N/A		N/A		N/A
Accumulation unit value at end of period	$	25.353	$	21.448	$	12.724	$	26.584	$	19.546	$	14.647		N/A		N/A		N/A		N/A
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		N/A		N/A		N/A		N/A
ING VP Emerging Markets Subaccount
Accumulation unit value at beginning of period*		N/A		N/A		N/A		N/A		N/A	$	7.974	$	6.686	$	4.635	$	5.217	$	4.212
Accumulation unit value at end of period++		N/A		N/A		N/A		N/A		N/A		N/A	$	7.974	$	6.686	$	4.635	$	5.217
Number of accumulation units outstanding at end of period (000’s omitted)		N/A		N/A		N/A		—		N/A		N/A		—		—		—		—
ING VP Natural Resources Trust Subaccount
Accumulation unit value at beginning of period*		N/A		N/A		N/A	$	29.293	$	24.556	$	17.54	$	15.889	$	12.422	$	12.949	$	10.894
Accumulation unit value at end of period		N/A		N/A		N/A		N/A	$	29.293	$	24.556	$	17.54	$	15.889	$	12.422	$	12.949
Number of accumulation units outstanding at end of period (000’s omitted)		N/A		N/A		N/A		N/A		—		—		—		—		—		—
ING VP Global Resources Portfolio Subaccount
Accumulation unit value at beginning of period*	$	11.015	$	8.175	$	14.140		N/A	$	24.556	$	17.540	$	15.889	$	12.422	$	12.949	$	10.894
Accumulation unit value at end of period	$	13.131	$	11.015	$	8.175	$	14.140	$	29.293	$	24.556	$	17.540	$	15.889	$	12.422	$	12.949
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		—		—
Invesco V.I. Financial Services Subaccount (formerly AIM V.I. Financial Services Subaccount)
Accumulation unit value at beginning of period**	$	5.803	$	4.648	$	11.696	$	15.347	$	13.449	$	12.959	$	12.169	$	10.000	$	—	$	—
Accumulation unit value at end of period	$	6.274	$	5.803	$	4.648	$	11.696	$	15.347	$	13.449	$	12.959	$	12.169	$	—	$	—
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		—		—
Invesco V.I. Global Health Care Subaccount (formerly AIM V.I. Global Health Care Subaccount )
Accumulation unit value at beginning of period**	$	13.027	$	10.413	$	14.887	$	13.584	$	13.172	$	12.429	$	11.792	$	10.000	$	—	$	—
Accumulation unit value at end of period	$	13.442	$	13.027	$	10.413	$	14.887	$	13.584	$	13.172	$	12.429	$	11.792	$	—	$	—
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		—		—
Invesco V.I. Global Real Estate Subaccount (formerly AIM V.I. Global Real Estate Subaccount)
Accumulation unit value at beginning of period**	$	17.643	$	13.689	$	25.239	$	27.270	$	19.514	$	17.431	$	13.025	$	10.000	$	—	$	—
Accumulation unit value at end of period	$	20.317	$	17.643	$	13.689	$	25.239	$	27.270	$	19.514	$	17.431	$	13.025	$	—	$	—
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		—		—
Invesco V.I. Utilities Subaccount (formerly AIM V.I. Utilities Subaccount)
Accumulation unit value at beginning of period**	$	17.523	$	15.559	$	23.473	$	19.858	$	16.151	$	14.106	$	11.652	$	10.000	$	—	$	—
Accumulation unit value at end of period	$	18.253	$	17.523	$	15.559	$	23.473	$	19.858	$	16.151	$	14.106	$	11.652	$	—	$	—
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		—		—
JPMorgan Insurance Trust Equity Index Subaccount (formerly JPMorgan Investment Trust Equity Index Subaccount)
Accumulation unit value at beginning of period***	$	10.026	$	8.092	$	13.152	$	12.772	$	11.292	$	11.031	$	10.221	$	—	$	—	$	—
Accumulation unit value at end of period	$	11.240	$	10.026	$	8.092	$	13.152	$	12.772	$	11.292	$	11.031	$	—	$	—	$	—
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		—		—

52

Subaccount	2010		2009		2008		2007		2006		2005		2004		2003		2002		2001*
JPMorgan Insurance Trust Diversified Equity Subaccount (formerly JPMorgan Investment Trust Diversified Equity Subaccount)
Accumulation unit value at beginning of period***	$	11.069	$	8.450	$	13.226	$	12.222	$	10.738	$	10.708	$	10.032	$	—	$	—	$	—
Accumulation unit value at end of period	$	12.319	$	11.069	$	8.450	$	13.226	$	12.222	$	10.738	$	10.708	$	—	$	—	$	—
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		**		—		—		—
JPMorgan Insurance Trust U.S. Equity Subaccount (JPMorgan Insurance Trust Diversified Equity Subaccount (formerly JPMorgan Investment Trust Diversified Equity Subaccount)
Accumulation unit value at beginning of period***	$	11.749	$	8.382	$	15.218	$	13.248	$	12.137	$	11.148	$	10.378	$	—	$	—	$	—
Accumulation unit value at end of period	$	14.465	$	11.749	$	8.382	$	15.218	$	13.248	$	12.137	$	11.148	$	—	$	—	$	—
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		—		—
JPMorgan Insurance Trust Intrepid Mid Cap Subaccount (formerly JPMorgan Investment Trust Diversified Mid Cap Subaccount)
Accumulation unit value at beginning of period***	$	11.700	$	8.801	$	14.680	$	14.565	$	13.024	$	11.350	$	10.074	$	—	$	—	$	—
Accumulation unit value at end of period	$	13.703	$	11.700	$	8.801	$	14.680	$	14.565	$	13.024	$	11.350	$	—	$	—	$	—
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		—		—
JPMorgan Insurance Trust Diversified Mid Cap Value Subaccount (formerly JPMorgan Investment Trust Mid Cap Value)
Accumulation unit value at beginning of period***	$	11.042	$	8.811	$	13.937	$	14.095	$	12.323	$	11.457	$	10.254	$	—	$	—	$	—
Accumulation unit value at end of period	$	13.359	$	11.042	$	8.811	$	13.937	$	14.095	$	12.323	$	11.457	$	—	$	—	$	—
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		**		—		—		—
JPMorgan Insurance Trust International Equity Subaccount
Accumulation unit value at beginning of period***	$	16.171		N/A		N/A		N/A		N/A		N/A		N/A		N/A		N/A		N/A
Accumulation unit value at end of period	$	16.981	$	16.171		N/A		N/A		N/A		N/A		N/A		N/A		N/A		N/A
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		N/A		N/A		N/A		N/A		N/A		N/A		N/A		N/A
JPMorgan Insurance Trust Small Cap Core Subaccount (formerly JPMorgan Small Company Portfolio)
Accumulation unit value at beginning of period***	$	14.490		N/A		N/A		N/A		N/A		N/A		N/A		N/A		N/A		N/A
Accumulation unit value at end of period	$	18.051	$	14.490		N/A		N/A		N/A		N/A		N/A		N/A		N/A		N/A
Number of accumulation units outstanding at end of period (000’s omitted)		1		1		N/A		N/A		N/A		N/A		N/A		N/A		N/A		N/A
JPMorgan International Equity Subaccount
Accumulation unit value at beginning of period**		N/A	$	12.232	$	21.286	$	19.870	$	16.615	$	15.316	$	13.205	$	10.000	$	—	$	—
Accumulation unit value at end of period		N/A		N/A	$	12.232	$	21.286	$	19.870	$	16.615	$	15.316	$	13.205	$	—	$	—
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		0		—		**		—		—		—
JPMorgan MidCap Value Subaccount
Accumulation unit value at beginning of period**		N/A	$	11.711	$	17.893	$	17.825	$	15.568	$	14.546	$	12.262	$	10	$	—	$	—
Accumulation unit value at end of period		N/A		N/A	$	11.711	$	17.893	$	17.825	$	15.568	$	14.546	$	12.262	$	—	$	—
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		**		—		—		—
JPMorgan Small Company Subaccount
Accumulation unit value at beginning of period*		N/A	$	12.064	$	18.102	$	19.585	$	17.378	$	17.147	$	13.761	$	10.327	$	13.452	$	11.137
Accumulation unit value at end of period		N/A		N/A	$	12.064	$	18.102	$	19.585	$	17.378	$	17.147	$	13.761	$	10.327	$	13.452
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		1		1		1		1		1		1		—		—
Janus Aspen Balanced Subaccount
Accumulation unit value at beginning of period*	$	37.448	$	30.357	$	36.810	$	33.988	$	31.325	$	29.611	$	27.846	$	24.916	$	27.178	$	26.038
Accumulation unit value at end of period	$	39.773	$	37.448	$	30.357	$	36.810	$	33.988	$	31.325	$	29.611	$	27.846	$	24.916	$	27.178
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		1		1		1		— 1

53

Subaccount	2010		2009		2008		2007		2006		2005		2004		2003		2002		2001*
Janus Aspen Enterprise Subaccount (formerly Janus Aspen Mid Cap Growth Subaccount)
Accumulation unit value at beginning of period*	$	30.462	$	21.465	$	38.925	$	32.553	$	29.238	$	26.566	$	22.454	$	16.960	$	24.018	$	21.043
Accumulation unit value at end of period	$	37.567	$	30.462	$	21.465	$	38.925	$	32.553	$	29.238	$	26.566	$	22.454	$	16.960	$	24.018
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		0		**		—		—		—
Janus Aspen Janus Subaccount (formerly Janus Aspen Large Cap Growth Subaccount)
Accumulation unit value at beginning of period*	$	21.760	$	16.286	$	27.571	$	24.450	$	22.401	$	21.919	$	21.403	$	16.580	$	23.024	$	20.098
Accumulation unit value at end of period	$	24.418	$	21.760	$	16.286	$	27.571	$	24.450	$	22.401	$	21.919	$	21.403	$	16.580	$	23.024
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		1		1		1		—
Janus Aspen Mid Cap Value Subaccount
Accumulation unit value at beginning of period**	$	18.065	$	13.870	$	19.630	$	18.694	$	16.579	$	15.379	$	13.324	$	10.000	$	—	$	—
Accumulation unit value at end of period	$	20.422	$	18.065	$	13.870	$	19.630	$	18.694	$	16.579	$	15.379	$	13.324	$	—	$	—
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		0		—		—		—		—		—
Janus Aspen Small Company Value Subaccount
Accumulation unit value at beginning of period**		N/A	$	10.822	$	17.235	$	18.735	$	15.687	$	15.477	$	13.377	$	10	$	—	$	—
Accumulation unit value at end of period		N/A		N/A	$	10.822	$	17.235	$	18.735	$	15.687	$	15.477	$	13.377	$	—	$	—
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		0		—		—		—		—		—
Janus Aspen Worldwide Subaccount (formerly Janus Aspen Worldwide Growth Subaccount)
Accumulation unit value at beginning of period*	$	26.566	$	19.689	$	36.310	$	33.804	$	29.183	$	28.129	$	27.398	$	22.550	$	30.890	$	27.369
Accumulation unit value at end of period	$	30.156	$	26.566	$	19.689	$	36.310	$	33.804	$	29.183	$	28.129	$	27.398	$	22.550	$	30.890
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		—		—
Oppenheimer Capital Appreciation Subaccount
Accumulation unit value at beginning of period**	$	11.656	$	8.251	$	15.497	$	13.892	$	13.164	$	12.811	$	12.263	$	10.000	$	—	$	—
Accumulation unit value at end of period	$	12.466	$	11.656	$	8.251	$	15.497	$	13.892	$	13.164	$	12.811	$	12.263	$	—	$	—
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		—		—
Oppenheimer Global Securities Subaccount
Accumulation unit value at beginning of period**	$	17.506	$	12.820	$	21.926	$	21.095	$	18.342	$	16.409	$	14.087	$	10.000	$	—	$	—
Accumulation unit value at end of period	$	19.848		—	$	12.820	$	21.926	$	21.095	$	18.342	$	16.409	$	14.087	$	—	$	—
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		—		—
Oppenheimer High Income Subaccount
Accumulation unit value at beginning of period**	$	3.175	$	2.572	$	12.253	$	12.564	$	11.738	$	11.742	$	11.021	$	10.000	$	—	$	—
Accumulation unit value at end of period	$	3.560	$	3.175	$	2.572	$	12.253	$	12.564	$	11.738	$	11.742	$	11.021	$	—	$	—
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		—		—
Oppenheimer Main Street Subaccount
Accumulation unit value at beginning of period**	$	11.558	$	9.215	$	15.323	$	15.015	$	13.352	$	12.885	$	12.048	$	10.000	$	—	$	—
Accumulation unit value at end of period	$	13.118	$	11.558	$	9.215	$	15.323	$	15.015	$	13.352	$	12.885	$	12.048	$	—	$	—
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		—		—
Oppenheimer Main Street Small Cap Subaccount
Accumulation unit value at beginning of period**	$	15.168	$	11.308	$	18.615	$	19.267	$	17.147	$	15.949	$	13.657	$	10.000	$	—	$	—
Accumulation unit value at end of period	$	18.291	$	15.168	$	11.308	$	18.615	$	19.267	$	17.147	$	15.949	$	13.657	$	—	$	—
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		**		—		—		—
Oppenheimer Small- & Mid-Cap Growth Subaccount (formerly Oppenheimer MidCap Growth Subaccount) (formerly Oppenheimer Aggressive Growth Subaccount)
Accumulation unit value at beginning of period**	$	—	$	7.990	$	16.056	$	15.454	$	15.355	$	13.992	$	11.956	$	10.000	$	—	$	—
Accumulation unit value at end of period	$	—		—	$	7.990	$	16.056	$	15.454	$	15.355	$	13.992	$	11.956	$	—	$	—
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		—		—

54

Subaccount	2010		2009		2008		2007		2006		2005		2004		2003		2002		2001*
Oppenheimer Global Strategic Income Subaccount (formerly Oppenheimer Strategic Bond Subaccount)
Accumulation unit value at beginning of period**	$	—	$	10.860	$	12.960	$	12.074	$	11.490	$	11.441	$	10.768	$	10.000	$	—	$	—
Accumulation unit value at end of period	$	—		—	$	10.860	$	12.960	$	12.074	$	11.490	$	11.441	$	10.768	$	—	$	—
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		**		—		—		—
Scudder Growth Subaccount
Accumulation unit value at beginning of period*		N/A		N/A		N/A		N/A		N/A	$	5.005	$	4.858	$	3.975	$	5.747	$	5.211
Accumulation unit value at end of period+		N/A		N/A		N/A		N/A		N/A		N/A	$	5.005	$	4.858	$	3.975	$	5.747
Number of accumulation units outstanding at end of period (000’s omitted)		N/A		N/A		N/A		—		N/A		N/A		—		—		—		—
SVS Focus Value + Growth Subaccount
Accumulation unit value at beginning of period*		N/A		N/A		N/A		N/A		N/A		N/A		N/A		N/A		N/A		N/A
Accumulation unit value at end of period+		N/A		N/A		N/A		N/A		N/A		N/A		N/A		N/A		N/A		N/A
Number of accumulation units outstanding at end of period (000’s omitted)		N/A		N/A		N/A		—		N/A		N/A		N/A		N/A		N/A		N/A
Additional Contract Options Elected (Total 0.75%) (Separate Account Charges of 2.05% of the Daily Net Assets of the Separate Account) Non-Tax Qualified — 2.05%
	Periodic Payment Contracts
Subaccount	2010		2009		2008		2007		2006		2005		2004		2003		2002		2001*
Alger Large Cap Growth Subaccount (formerly Alger American LargeCap Growth Subaccount) (formerly Alger American Growth Subaccount)
Accumulation unit value at beginning of period*	$	47.040	$	32.529	$	61.655	$	52.462	$	50.913	$	46.373	$	44.861	$	33.870	$	51.584	$	45.571
Accumulation unit value at end of period	$	52.267	$	47.040	$	32.529	$	61.655	$	52.462	$	50.913	$	46.373	$	44.861	$	33.870	$	51.584
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		—		—
Alger MidCap Growth Subaccount (formerly Alger American MidCap Growth Subaccount)
Accumulation unit value at beginning of period*	$	28.373	$	19.086	$	46.775	$	36.287	$	33.620	$	31.238	$	28.202	$	19.473	$	28.205	$	23.808
Accumulation unit value at end of period	$	33.193	$	28.373	$	19.086	$	46.775	$	36.287	$	33.620	$	31.238	$	28.202	$	19.473	$	28.205
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		—		—
Alger Small Cap Subaccount (formerly Alger American Small Cap Subaccount)
Accumulation unit value at beginning of period*	$	41.494	$	29.102	$	55.619	$	48.418	$	41.167	$	35.941	$	31.466	$	22.558	$	31.205	$	26.644
Accumulation unit value at end of period	$	50.946	$	41.494	$	29.102	$	55.619	$	48.418	$	41.167	$	35.941	$	31.466	$	22.558	$	31.205
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		—		—
American Century VP Income & Growth Subaccount
Accumulation unit value at beginning of period*	$	5.987	$	5.174	$	8.072	$	8.244	$	7.185	$	7.007	$	6.329	$	4.993	$	6.320	$	5.752
Accumulation unit value at end of period	$	6.697	$	5.987	$	5.174	$	8.072	$	8.244	$	7.185	$	7.007	$	6.329	$	4.993	$	6.320
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		0		—		—		—
American Century VP Value Subaccount
Accumulation unit value at beginning of period*	$	8.691	$	7.399	$	10.313	$	11.095	$	9.542	$	9.271	$	8.275	$	6.548	$	7.648	$	6.715
Accumulation unit value at end of period	$	9.660	$	8.691	$	7.399	$	10.313	$	11.095	$	9.542	$	9.271	$	8.275	$	6.548	$	7.648
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		—		—

55

	Periodic Payment Contracts
Subaccount	2010		2009		2008		2007		2006		2005		2004		2003		2002		2001*
Credit Suisse Trust International Equity Flex III Subaccount (successor to Credit Suisse Trust International Flex II Subaccount) (formerly Credit Suisse Trust-Emerging Markets Subaccount)
Accumulation unit value at beginning of period*	$	16.762	$	11.282	$	25.476	$	20.087	$	15.468	$	12.338	$	10.079	$	7.199	$	8.307	$	6.933
Accumulation unit value at end of period	$	18.435	$	16.762	$	11.282	$	25.476	$	20.087	$	15.468	$	12.338	$	10.079	$	7.199	$	8.307
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		—		—
Dreyfus IP MidCap Stock Subaccount
Accumulation unit value at beginning of period**	$	12.166	$	9.174	$	15.721	$	15.826	$	14.998	$	14.050	$	12.552	$	10.000	$	—	$	—
Accumulation unit value at end of period	$	15.134	$	12.166	$	9.174	$	15.721	$	15.826	$	14.998	$	14.050	$	12.552	$	—	$	—
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		—		—
Dreyfus Socially Responsible Growth Subaccount
Accumulation unit value at beginning of period*	$	23.220	$	17.716	$	27.571	$	26.107	$	24.396	$	24.026	$	23.086	$	18.697	$	26.854	$	24.517
Accumulation unit value at end of period	$	26.125	$	23.220	$	17.716	$	27.571	$	26.107	$	24.396	$	24.026	$	23.086	$	18.697	$	26.854
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		—		—
Dreyfus VIF Small Company Stock Subaccount*
Accumulation unit value at beginning of period**		N/A		N/A		N/A	$	16.850	$	15.498	$	15.693	$	13.552	$	10	$	—	$	—
Accumulation unit value at end of period		N/A		N/A		N/A		N/A	$	16.85	$	15.498	$	15.693	$	13.552	$	—	$	—
Number of accumulation units outstanding at end of period (000’s omitted)		N/A		N/A		N/A		N/A		0		—		—		—		—		—
DWS Bond VIP Subaccount (formerly Scudder Bond Subaccount)
Accumulation unit value at beginning of period*	$	7.602	$	7.048	$	8.642	$	8.466	$	8.250	$	8.205	$	7.946	$	7.719	$	7.317	$	7.386
Accumulation unit value at end of period	$	7.955	$	7.602	$	7.048	$	8.642	$	8.466	$	8.250	$	8.205	$	7.946	$	7.719	$	7.317
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		—		—
DWS Capital Growth VIP Subaccount (formerly Scudder Capital Growth Subaccount)
Accumulation unit value at beginning of period*	$	19.057	$	15.329	$	23.342	$	21.159	$	19.895	$	18.633	$	17.609	$	14.162	$	20.410	$	17.767
Accumulation unit value at end of period	$	21.794	$	19.057	$	15.329	$	23.342	$	21.159	$	19.895	$	18.633	$	17.609	$	14.162	$	20.410
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		—		—
DWS Growth & Income VIP Subaccount (formerly Scudder Growth and Income Subaccount)
Accumulation unit value at beginning of period****	$	9.740	$	7.409	$	12.257	$	12.343	$	11.084	$	10.000		N/A		N/A		N/A		N/A
Accumulation unit value at end of period	$	10.918	$	9.740	$	7.409	$	12.257	$	12.343	$	11.084		N/A		N/A		N/A		N/A
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		N/A		N/A		N/A		N/A
DWS International VIP Subaccount (formerly Scudder International Subaccount)
Accumulation unit value at beginning of period*	$	12.712	$	9.716	$	19.148	$	17.055	$	13.822	$	12.141	$	10.633	$	8.494	$	10.618	$	10.566
Accumulation unit value at end of period	$	12.660	$	12.712	$	9.716	$	19.148	$	17.055	$	13.822	$	12.141	$	10.633	$	8.494	$	10.618
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		0		—		—		—		—		—
DWS Balanced VIP Subaccount (formerly Scudder Total Return Subaccount)
Accumulation unit value at beginning of period*	$	6.504	$	5.772	$	8.105	$	7.352	$	6.805	$	6.658	$	6.363	$	5.506	$	6.623	$	6.256
Accumulation unit value at end of period	$	7.089	$	6.504	$	5.772	$	7.552	$	7.352	$	6.805	$	6.658	$	6.363	$	5.506	$	6.623
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		—		—
DWS Core Fixed Income VIP Subaccount (formerly Scudder Fixed Income Subaccount)
Accumulation unit value at beginning of period*	$	1.253	$	1.187	$	1.501	$	1.471	$	1.440	$	1.437	$	1.403	$	1.362	$	1.287	$	1.299
Accumulation unit value at end of period	$	1.308	$	1.253	$	1.187	$	1.501	$	1.471	$	1.440	$	1.437	$	1.403	$	1.362	$	1.287
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		—		—

56

	Periodic Payment Contracts
Subaccount	2010		2009		2008		2007		2006		2005		2004		2003		2002		2001*
DWS Diversified International Equity VIP Subaccount (formerly DWS International Select Equity VIP Subaccount)
Accumulation unit value at beginning of period*	$	1.939	$	1.530	$	3.050	$	2.667	$	2.168	$	1.932	$	1.667	$	1.311	$	1.546	$	1.423
Accumulation unit value at end of period	$	2.108	$	1.939	$	1.530	$	3.050	$	2.667	$	2.168	$	1.932	$	1.667	$	1.311	$	1.546
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		—		—
DWS Dreman Small Mid Cap Value VIP (formerly DWS Dreman Small Cap Value VIP Subaccount)
Accumulation unit value at beginning of period*	$	2.127	$	1.673	$	2.565	$	2.540	$	2.072	$	1.918	$	1.553	$	1.116	$	1.285	$	1.093
Accumulation unit value at end of period	$	2.565	$	2.127	$	1.673	$	2.565	$	2.540	$	2.072	$	1.918	$	1.553	$	1.116	$	1.285
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		—		—
DWS Government & Agency Securities VIP Subaccount (formerly Scudder Government & Agency Securities Subaccount)
Accumulation unit value at beginning of period*	$	2.566	$	2.423	$	2.356	$	2.270	$	2.224	$	2.212	$	2.176	$	2.171	$	2.051	$	2.065
Accumulation unit value at end of period	$	2.681	$	2.566	$	2.423	$	2.356	$	2.270	$	2.224	$	2.212	$	2.176	$	2.171	$	2.051
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		—		—
DWS High Income VIP Subaccount (formerly Scudder High Income Subaccount)
Accumulation unit value at beginning of period*	$	7.950	$	5.949	$	7.982	$	7.861	$	7.261	$	7.132	$	6.475	$	5.302	$	5.427	$	5.160
Accumulation unit value at end of period	$	8.881	$	7.950	$	5.949	$	7.776	$	7.861	$	7.261	$	7.132	$	6.475	$	5.302	$	5.427
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		—		—
DWS Large Cap Value VIP Subaccount (formerly Scudder Large Cap Value Subaccount)
Accumulation unit value at beginning of period*	$	2.014	$	1.639	$	2.630	$	2.372	$	2.098	$	2.099	$	1.946	$	1.498	$	1.798	$	1.665
Accumulation unit value at end of period	$	2.186	$	2.014	$	1.639	$	2.630	$	2.372	$	2.098	$	2.099	$	1.946	$	1.498	$	1.798
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		—		—
DWS Money Market VIP Subaccount (formerly Scudder Money Market Subaccount)
Accumulation unit value at beginning of period*	$	2.678	$	2.724	$	2.708	$	2.633	$	2.567	$	2.548	$	2.577	$	2.611	$	2.628	$	2.629
Accumulation unit value at end of period	$	2.624	$	2.678	$	2.724	$	2.708	$	2.633	$	2.567	$	2.548	$	2.577	$	2.611	$	2.628
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		—		—
DWS Small Mid-Cap Growth VIP Subaccount (formerly DWS Small Cap Growth Subaccount)
Accumulation unit value at beginning of period*	$	1.509	$	1.095	$	2.213	$	2.127	$	2.062	$	1.965	$	1.806	$	1.386	$	2.127	$	1.684
Accumulation unit value at end of period	$	1.914	$	1.509	$	1.095	$	2.213	$	2.127	$	2.062	$	1.965	$	1.806	$	1.386	$	2.127
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		—		—
DWS Technology VIP (formerly Scudder Technology Growth Subaccount)*
Accumulation unit value at beginning of period*	$	0.780	$	0.496	$	0.942	$	0.841	$	0.852	$	0.838	$	0.839	$	0.584	$	0.924	$	0.713
Accumulation unit value at end of period	$	0.907	$	0.780	$	0.496	$	0.942	$	0.841	$	0.852	$	0.838	$	0.839	$	0.584	$	0.924
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		—		—
Fidelity VIP Asset ManagerSM Subaccount
Accumulation unit value at beginning of period*	$	25.570	$	20.210	$	28.935	$	25.567	$	24.311	$	23.844	$	23.072	$	19.957	$	22.314	$	20.696
Accumulation unit value at end of period	$	28.631	$	25.570	$	20.210	$	28.935	$	25.567	$	24.311	$	23.844	$	23.072	$	19.957	$	22.314
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		—		—
Fidelity VIP Contrafund® Subaccount
Accumulation unit value at beginning of period*	$	34.576	$	26.000	$	46.158	$	40.061	$	36.593	$	31.932	$	28.221	$	22.418	$	25.237	$	23.589
Accumulation unit value at end of period	$	39.715	$	34.576	$	26.000	$	46.158	$	40.061	$	36.593	$	31.932	$	28.221	$	22.418	$	25.237
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		—		—

57

	Periodic Payment Contracts
Subaccount	2010		2009		2008		2007		2006		2005		2004		2003		2002		2001*
Fidelity VIP Equity-Income Subaccount
Accumulation unit value at beginning of period*	$	30.258	$	23.714	$	42.203	$	42.424	$	36.018	$	34.718	$	31.769	$	24.875	$	30.565	$	27.938
Accumulation unit value at end of period	$	34.142	$	30.258	$	23.714	$	42.203	$	42.424	$	36.018	$	34.718	$	31.769	$	24.875	$	30.565
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		—		—
Fidelity VIP Growth Subaccount
Accumulation unit value at beginning of period*	$	39.788	$	31.651	$	61.140	$	49.147	$	46.937	$	45.271	$	44.692	$	34.330	$	50.126	$	42.975
Accumulation unit value at end of period	$	48.415	$	39.788	$	31.651	$	61.140	$	49.147	$	46.937	$	45.271	$	44.692	$	34.330	$	50.126
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		—		—
Fidelity VIP Index 500 Subaccount
Accumulation unit value at beginning of period*	$	129.552	$	104.425	$	169.154	$	163.735	$	144.374	$	140.545	$	129.669	$	103.050	$	135.259	$	122.587
Accumulation unit value at end of period	$	146.024	$	129.552	$	104.425	$	169.154	$	163.735	$	144.374	$	140.545	$	129.669	$	103.050	$	135.259
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		—		—
Franklin Rising Dividends Securities Subaccount
Accumulation unit value at beginning of period**	$	12.009	$	10.444	$	14.621	$	15.334	$	13.360	$	13.182	$	12.120	$	10.000	$	—	$	—
Accumulation unit value at end of period	$	14.198	$	12.009	$	10.444	$	14.621	$	15.334	$	13.360	$	13.182	$	12.120	$	—	$	—
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		—		—
Franklin Small Cap Value Securities Subaccount
Accumulation unit value at beginning of period**	$	15.489	$	12.239	$	18.647	$	19.495	$	17.006	$	15.955	$	13.158	$	10.000	$	—	$	—
Accumulation unit value at end of period	$	19.462	$	15.489	$	12.239	$	18.647	$	19.495	$	17.006	$	15.955	$	13.158	$	—	$	—
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		—		—
Franklin Strategic Income Securities Subaccount
Accumulation unit value at beginning of period**	$	13.689	$	11.109	$	12.772	$	12.307	$	11.603	$	11.670	$	10.847	$	10.000	$	—	$	—
Accumulation unit value at end of period	$	14.878	$	13.689	$	11.109	$	12.772	$	12.307	$	11.603	$	11.670	$	10.847	$	—	$	—
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		—		—
Franklin U.S. Government Subaccount
Accumulation unit value at beginning of period**	$	11.482	$	11.365	$	10.780	$	10.320	$	10.125	$	10.089	$	9.951	$	10.000	$	—	$	—
Accumulation unit value at end of period	$	11.845	$	11.482	$	11.365	$	10.780	$	10.320	$	10.125	$	10.089	$	9.951	$	—	$	—
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		—		—
Franklin Zero Coupon 2010 Subaccount
Accumulation unit value at beginning of period**	$	11.094	$	11.304	$	10.758	$	10.128	$	10.093	$	10.165	$	9.932	$	10.000	$	—	$	—
Accumulation unit value at end of period		N/A	$	11.094	$	11.304	$	10.758	$	10.128	$	10.093	$	10.165	$	9.932	$	—	$	—
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		—		—

58

	Periodic Payment Contracts
Subaccount	2010		2009		2008		2007		2006		2005		2004		2003		2002		2001*
Mutual Global Discovery Securities Subaccount (formerly Mutual Discovery Securities Subaccount)
Accumulation unit value at beginning of period**	$	18.187	$	15.051	$	21.469	$	19.590	$	16.245	$	14.295	$	12.343	$	10.000	$	—	$	—
Accumulation unit value at end of period	$	19.953	$	18.187	$	15.051	$	21.469	$	19.590	$	16.245	$	14.295	$	12.343	$	—	$	—
Number of accumulation units outstanding at end of period (000’s omitted)		1		—		—		—		—		—		—		—		—		—
Mutual Shares Securities Subaccount
Accumulation unit value at beginning of period**	$	12.781	$	10.347	$	16.791	$	16.561	$	14.275	$	13.176	$	11.939	$	10.000	$	—	$	—
Accumulation unit value at end of period	$	13.926	$	12.781	$	10.347	$	16.791	$	16.561	$	14.275	$	13.176	$	11.939	$	—	$	—
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		—		—
Templeton Developing Markets Securities Subaccount
Accumulation unit value at beginning of period**	$	27.312	$	16.149	$	34.847	$	27.616	$	22.000	$	13.176	$	14.417	$	10.000	$	—	$	—
Accumulation unit value at end of period	$	31.470	$	27.312	$	16.149	$	34.847	$	27.616	$	22.000	$	13.176	$	14.417	$	—	$	—
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		—		—
ING JPMorgan Emerging Markets Equity Subaccount
Accumulation unit value at beginning of period+++	$	21.448	$	12.724	$	26.584	$	19.546	$	14.647	$	10.000		N/A		N/A		N/A		N/A
Accumulation unit value at end of period	$	25.353	$	21.448	$	12.724	$	26.584	$	19.546	$	14.647		N/A		N/A		N/A		N/A
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		N/A		N/A		N/A		N/A
ING VP Emerging Markets Subaccount
Accumulation unit value at beginning of period*		N/A		N/A		N/A		N/A		N/A	$	7.974	$	6.686	$	4.635	$	5.217	$	4.212
Accumulation unit value at end of period++		N/A		N/A		N/A		N/A		N/A		N/A	$	7.974	$	6.686	$	4.635	$	5.217
Number of accumulation units outstanding at end of period (000’s omitted)		N/A		N/A		N/A		N/A		N/A		N/A		—		—		—		—
ING VP Natural Resources Trust Subaccount
Accumulation unit value at beginning of period*		N/A		N/A		N/A	$	29.293	$	24.556	$	17.54	$	15.889	$	12.422	$	12.949	$	10.894
Accumulation unit value at end of period		N/A		N/A		N/A		N/A	$	29.293	$	24.556	$	17.54	$	15.889	$	12.422	$	12.949
Number of accumulation units outstanding at end of period (000’s omitted)		N/A		N/A		N/A		N/A		—		—		—		—		—		—
ING VP Global Resources Portfolio Subaccount
Accumulation unit value at beginning of period*	$	11.015	$	8.175	$	14.140		N/A	$	24.556	$	17.540	$	15.889	$	12.422	$	12.949	$	10.894
Accumulation unit value at end of period	$	13.131	$	11.015	$	8.175	$	14.140	$	29.293	$	24.556	$	17.540	$	15.889	$	12.422	$	12.949
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		—		—
Invesco V.I. Financial Services Subaccount (formerly AIM V.I. Financial Services Subaccount)
Accumulation unit value at beginning of period**	$	5.803	$	4.648	$	11.696	$	15.347	$	13.449	$	12.959	$	12.169	$	10.000	$	—	$	—
Accumulation unit value at end of period	$	6.274	$	5.803	$	4.648	$	11.696	$	15.347	$	13.449	$	12.959	$	12.169	$	—	$	—
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		—		—
Invesco V.I. Global Health Care Subaccount (formerly AIM V.I. Global Health Care Subaccount )
Accumulation unit value at beginning of period**	$	13.027	$	10.413	$	14.887	$	13.584	$	13.172	$	12.429	$	11.792	$	10.000	$	—	$	—
Accumulation unit value at end of period	$	13.442	$	13.027	$	10.413	$	14.887	$	13.584	$	13.172	$	12.429	$	11.792	$	—	$	—
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		—		—
Invesco V.I. Global Real Estate Subaccount (formerly AIM V.I. Global Real Estate Subaccount)
Accumulation unit value at beginning of period**	$	17.643	$	13.689	$	25.239	$	27.270	$	19.514	$	17.431	$	13.025	$	10.000	$	—	$	—
Accumulation unit value at end of period	$	20.317	$	17.643	$	13.689	$	25.239	$	27.270	$	19.514	$	17.431	$	13.025	$	—	$	—
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		—		—

59

	Periodic Payment Contracts
Subaccount	2010		2009		2008		2007		2006		2005		2004		2003		2002		2001*
Invesco V.I. Utilities Subaccount (formerly AIM V.I. Utilities Subaccount)
Accumulation unit value at beginning of period**	$	17.523	$	15.559	$	23.473	$	19.858	$	16.151	$	14.106	$	11.652	$	10.000	$	—	$	—
Accumulation unit value at end of period	$	18.253	$	17.523	$	15.559	$	23.473	$	19.858	$	16.151	$	14.106	$	11.652	$	—	$	—
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		—		—
JPMorgan Insurance Trust Equity Index Subaccount (formerly JPMorgan Investment Trust Equity Index Subaccount)
Accumulation unit value at beginning of period***	$	10.026	$	8.092	$	13.152	$	12.772	$	11.292	$	11.031	$	10.221	$	—	$	—	$	—
Accumulation unit value at end of period	$	11.240	$	10.026	$	8.092	$	13.152	$	12.772	$	11.292	$	11.031	$	—	$	—	$	—
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		—		—
JPMorgan Insurance Trust Diversified Equity Subaccount (formerly JPMorgan Investment Trust Diversified Equity Subaccount)
Accumulation unit value at beginning of period***	$	11.069	$	8.450	$	13.226	$	12.222	$	10.738	$	10.708	$	10.032	$	—	$	—	$	—
Accumulation unit value at end of period	$	12.319	$	11.069	$	8.450	$	13.226	$	12.222	$	10.738	$	10.708	$	—	$	—	$	—
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		—		—
JPMorgan Insurance Trust U.S. Equity Subaccount (JPMorgan Insurance Trust Diversified Equity Subaccount (formerly JPMorgan Investment Trust Diversified Equity Subaccount)
Accumulation unit value at beginning of period***	$	11.749	$	8.382	$	15.218	$	13.248	$	12.137	$	11.148	$	10.378	$	—	$	—	$	—
Accumulation unit value at end of period	$	14.465	$	11.749	$	8.382	$	15.218	$	13.248	$	12.137	$	11.148	$	—	$	—	$	—
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		—		—
JPMorgan Insurance Trust Intrepid Mid Cap Subaccount (formerly JPMorgan Investment Trust Diversified Mid Cap Subaccount)
Accumulation unit value at beginning of period***	$	11.700	$	8.801	$	14.680	$	14.565	$	13.024	$	11.350	$	10.074	$	—	$	—	$	—
Accumulation unit value at end of period	$	13.703	$	11.700	$	8.801	$	14.680	$	14.565	$	13.024	$	11.350	$	—	$	—	$	—
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		—		—
JPMorgan Insurance Trust Diversified Mid Cap Value Subaccount (formerly JPMorgan Investment Trust Mid Cap Value)
Accumulation unit value at beginning of period***	$	16.171		N/A	$	13.937	$	14.095		N/A		N/A		N/A		N/A		N/A		N/A
Accumulation unit value at end of period	$	16.981	$	16.171	$	8.811	$	13.937		N/A		N/A		N/A		N/A		N/A		N/A
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		N/A		N/A		N/A		N/A		N/A		N/A
JPMorgan Insurance Trust International Equity Subaccount
Accumulation unit value at beginning of period***	$	14.490		N/A		N/A		N/A		N/A		N/A		N/A		N/A		N/A		N/A
Accumulation unit value at end of period	$	18.051	$	14.490		N/A		N/A		N/A		N/A		N/A		N/A		N/A		N/A
Number of accumulation units outstanding at end of period (000’s omitted)		1		—		N/A		N/A		N/A		N/A		N/A		N/A		N/A		N/A
JPMorgan Insurance Trust Small Cap Core Subaccount (formerly JPMorgan Small Company Portfolio)
Accumulation unit value at beginning of period***	$	11.042	$	8.811	$	13.937	$	14.095	$	12.323	$	11.457	$	10.254	$	—	$	—	$	—
Accumulation unit value at end of period	$	13.359	$	11.042	$	8.811	$	13.937	$	14.095	$	12.323	$	11.457	$	—	$	—	$	—
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		—		—
JPMorgan International Equity Subaccount
Accumulation unit value at beginning of period**		N/A	$	12.232	$	21.286	$	19.870	$	16.615	$	15.316	$	13.205	$	10.000	$	—	$	—
Accumulation unit value at end of period		N/A		N/A	$	12.232	$	21.286	$	19.870	$	16.615	$	15.316	$	13.205	$	—	$	—
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		—		—

60

	Periodic Payment Contracts
Subaccount	2010		2009		2008		2007		2006		2005		2004		2003		2002		2001*
JPMorgan MidCap Value Subaccount
Accumulation unit value at beginning of period**		N/A	$	11.711	$	17.893	$	17.825	$	15.568	$	14.546	$	12.262	$	10	$	—	$	—
Accumulation unit value at end of period		N/A		N/A	$	11.711	$	17.893	$	17.825	$	15.568	$	14.546	$	12.262	$	—	$	—
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		—		—
JPMorgan Small Company Subaccount
Accumulation unit value at beginning of period*		N/A	$	12.064	$	18.102	$	19.585	$	17.378	$	17.147	$	13.761	$	10.327	$	—	$	—
Accumulation unit value at end of period		N/A		N/A	$	12.064	$	18.102	$	19.585	$	17.378	$	17.147	$	13.761	$	—	$	—
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		—		—
Janus Aspen Balanced Subaccount
Accumulation unit value at beginning of period*	$	37.448	$	30.357	$	36.810	$	33.988	$	31.325	$	29.611	$	27.846	$	24.916	$	27.178	$	26.038
Accumulation unit value at end of period	$	39.773	$	37.448	$	30.357	$	36.810	$	33.988	$	31.325	$	29.611	$	27.846	$	24.916	$	27.178
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		—		—
Janus Aspen Enterprise Subaccount (formerly Janus Aspen Mid Cap Growth Subaccount)
Accumulation unit value at beginning of period*	$	30.462	$	21.465	$	38.925	$	32.553	$	29.238	$	26.566	$	22.454	$	16.960	$	24.018	$	21.043
Accumulation unit value at end of period	$	37.567	$	30.462	$	21.465	$	38.925	$	32.553	$	29.238	$	26.566	$	22.454	$	16.960	$	24.018
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		—		—
Janus Aspen Janus Subaccount (formerly Janus Aspen Large Cap Growth Subaccount)
Accumulation unit value at beginning of period*	$	21.760	$	16.286	$	27.571	$	24.450	$	22.401	$	21.919	$	21.403	$	16.580	$	23.024	$	20.098
Accumulation unit value at end of period	$	24.418	$	21.760	$	16.286	$	27.571	$	24.450	$	22.401	$	21.919	$	21.403	$	16.580	$	23.024
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		—		—
Janus Aspen Mid Cap Value Subaccount
Accumulation unit value at beginning of period**	$	18.065	$	13.870	$	19.630	$	18.694	$	16.579	$	15.379	$	13.324	$	10.000	$	—	$	—
Accumulation unit value at end of period	$	20.422	$	18.065	$	13.870	$	19.630	$	18.694	$	16.579	$	15.379	$	13.324	$	—	$	—
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		—		—
Janus Aspen Small Company Value Subaccount
Accumulation unit value at beginning of period**		N/A	$	10.822	$	17.235	$	18.735	$	15.687	$	15.477	$	13.377	$	10	$	—	$	—
Accumulation unit value at end of period		N/A		N/A	$	10.822	$	17.235	$	18.735	$	15.687	$	15.477	$	13.377	$	—	$	—
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		—		—
Janus Aspen Worldwide Subaccount (formerly Janus Aspen Worldwide Growth Subaccount)
Accumulation unit value at beginning of period*	$	26.566	$	19.689	$	36.310	$	33.804	$	29.183	$	28.129	$	27.398	$	22.550	$	30.890	$	27.369
Accumulation unit value at end of period	$	30.156	$	26.566	$	19.689	$	36.310	$	33.804	$	29.183	$	28.129	$	27.398	$	22.550	$	30.890
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		—		—
Oppenheimer Capital Appreciation Subaccount
Accumulation unit value at beginning of period**	$	11.656	$	8.251	$	15.497	$	13.892	$	13.164	$	12.811	$	12.263	$	10.000	$	—	$	—
Accumulation unit value at end of period	$	12.466	$	11.656	$	8.251	$	15.497	$	13.892	$	13.164	$	12.811	$	12.263	$	—	$	—
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		—		—
Oppenheimer Global Securities Subaccount
Accumulation unit value at beginning of period**	$	17.506	$	12.820	$	21.926	$	21.095	$	18.342	$	16.409	$	14.087	$	10.000	$	—	$	—
Accumulation unit value at end of period	$	19.848	$	17.506	$	12.820	$	21.926	$	21.095	$	18.342	$	16.409	$	14.087	$	—	$	—
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		—		—
Oppenheimer High Income Subaccount
Accumulation unit value at beginning of period**	$	3.175	$	2.572	$	12.253	$	12.564	$	11.738	$	11.742	$	11.021	$	10.000	$	—	$	—
Accumulation unit value at end of period	$	3.560	$	3.175	$	2.572	$	12.253	$	12.564	$	11.738	$	11.742	$	11.021	$	—	$	—
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		—		—
Oppenheimer Main Street Subaccount
Accumulation unit value at beginning of period**	$	11.558	$	9.215	$	15.323	$	15.015	$	13.352	$	12.885	$	12.048	$	10.000	$	—	$	—
Accumulation unit value at end of period	$	13.118	$	11.558	$	9.215	$	15.323	$	15.015	$	13.352	$	12.885	$	12.048	$	—	$	—
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		—		—

61

	Periodic Payment Contracts
Subaccount	2010		2009		2008		2007		2006		2005		2004		2003		2002		2001*
Oppenheimer Main Street Small Cap Subaccount
Accumulation unit value at beginning of period**	$	15.168	$	11.308	$	18.615	$	19.267	$	17.147	$	15.949	$	13.657	$	10.000	$	—	$	—
Accumulation unit value at end of period	$	18.291	$	15.168	$	11.308	$	18.615	$	19.267	$	17.147	$	15.949	$	13.657	$	—	$	—
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		—		—
Oppenheimer Small- & Mid-Cap Growth Subaccount (formerly Oppenheimer MidCap Growth Subaccount) (formerly Oppenheimer Aggressive Growth Subaccount)
Accumulation unit value at beginning of period**	$	—	$	7.990	$	16.056	$	15.454	$	15.355	$	13.992	$	11.956	$	10.000	$	—	$	—
Accumulation unit value at end of period	$	—	$	10.356	$	7.990	$	16.056	$	15.454	$	15.355	$	13.992	$	11.956	$	—	$	—
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		—		—
Oppenheimer Global Strategic Income Subaccount (formerly Oppenheimer Strategic Bond Subaccount)
Accumulation unit value at beginning of period**	$	—	$	10.860	$	12.960	$	12.074	$	11.490	$	11.441	$	10.768	$	10.000	$	—	$	—
Accumulation unit value at end of period	$	—	$	12.601	$	10.860	$	12.960	$	12.074	$	11.490	$	11.441	$	10.768	$	—	$	—
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		—		—
Scudder Growth Subaccount
Accumulation unit value at beginning of period*		N/A		N/A		N/A		N/A		N/A	$	4.998	$	4.851	$	3.97	$	5.739	$	5.203
Accumulation unit value at end of period+		N/A		N/A		N/A		N/A		N/A		N/A	$	4.998	$	4.851	$	3.97	$	5.739
Number of accumulation units outstanding at end of period (000’s omitted)		N/A		N/A		N/A		—		N/A		N/A		—		—		—		—
SVS Focus Value + Growth Subaccount
Accumulation unit value at beginning of period*		N/A		N/A		N/A		N/A		N/A	$	1.583	$	1.451	$	1.116	$	1.537	$	1.367
Accumulation unit value at end of period+		N/A		N/A		N/A		N/A		N/A		N/A	$	1.583	$	1.451	$	1.116	$	1.537
Number of accumulation units outstanding at end of period (000’s omitted)		N/A		N/A		N/A		—		N/A		N/A		—		—		—		—

** Commencement of Offering on May 1, 2003.

*** Commencement of Offering on May 3, 2004.

# ING JPMorgan Emerging Markets Equity was available under the Contract on December 5, 2005 and DWS Growth & Income was available under the Contract on May 3, 2005.

## Cessation of Operations ING Emerging Markets closed on December 2, 2005.

### Cessation of Operations on April 29, 2005.

#### Effective January 4, 2007, the ING VP Natural Resources Trust merged into ING Global Resources Portfolio, a series of ING Investors Trust.

† Cessation of Operations on April 30, 2007.

Effective May 1, 2011, DWS Technology VIP will merge into DWS Capital Growth VIP.

Effective May 1, 2011, Invesco V.I. Financial Services Fund will merge into Invesco V.I. Dividend Growth Services Fund.

Effective December 17, 2010, Franklin Zero Coupon Fund 2010 was liquidated.

Effective May 1, 2009, JPMorgan International Equity subaccount merged into the JPMorgan Insurance Trust International Equity subaccount.

Effective May 1, 2009, JPMorgan Mid Cap Value subaccount merged into the JPMorgan Insurance Trust Mid Cap Value subaccount.

Effective May 1, 2009, JPMorgan Small Company merged into JPMorgan Insurance Trust Small Cap Core subaccount.

The financial statements and reports of independent accountants for the ZALICO Variable Annuity Separate Account are also contained in the Statement of Additional Information.

62

ZALICO, THE SEPARATE ACCOUNT AND THE FUNDS

Zurich American Life Insurance Company

We were organized in 1947 and are a stock life insurance company organized under the laws of the State of Illinois. Our offices are located at 1400 American Lane, Schaumburg, Illinois 60196. For Insurance Services please write us at P.O. Box 758557, Topeka, KS 66675-8557. We offer annuity and life insurance products and are admitted to do business in the District of Columbia and all states except New York. We are a wholly-owned subsidiary of Zurich American Corporation (formerly Kemper Corporation), a non-operating holding company. Zurich American Corporation is an indirect wholly-owned subsidiary of Zurich Financial Services (“ZFS”), a Swiss holding company. Effective August 22, 2010, Kemper Investors Life Insurance Company (“KILICO”), the insurance company that issued your Contract, changed its name to Zurich American Life Insurance Company, or ZALICO. The change in the name of the insurance company from KILICO to ZALICO does not change or alter any of the terms or provisions of your Contract. ZALICO will continue to honor all its obligations under your Contract. ZALICO remains organized under the laws of the State of Illinois. ZALICO continues to be a wholly-owned subsidiary of Zurich American Corporation and an indirect wholly-owned subsidiary of ZFS.

Effective September 3, 2003 (the “Closing Date”), ZALICO transferred certain of its business, as well as the capital stock of its wholly-owned subsidiaries, to its former affiliate, Federal Kemper Life Assurance Company (“FKLA”). In a contemporaneous transaction, FKLA and ZALICO entered into a coinsurance agreement under which FKLA administers the business and the records of, and 100% reinsures, certain lines of business issued by ZALICO, including certain registered variable annuity contracts that are funded through the ZALICO Variable Annuity Separate Account (formerly KILICO Variable Annuity Separate Account) (the “Separate Account”). These transfers were part of a larger transaction under which the capital stock of FKLA was sold to Bank One Insurance Holdings, Inc. (“Bank One”). On July 1, 2004, Bank One merged into JP Morgan Chase & Co., and FKLA changed its name to Chase Insurance Life and Annuity Company (“Chase Insurance”).

On July 3, 2006, Protective Life Insurance Company of Birmingham, Alabama (“Protective Life”), purchased Chase Insurance from JP Morgan Chase & Co. Effective April 1, 2007, Chase Insurance merged with and into Protective Life. Protective Life has reinsured 100% of the variable annuity business of Chase Insurance to Commonwealth Annuity and Life Insurance Company (formerly Allmerica Financial Life Insurance and Annuity Company), a subsidiary of The Goldman Sachs Group, Inc.

The issuer, benefits and provisions of the Contracts were not changed by any of the transactions and agreements described above.

The Separate Account

We established the ZALICO Variable Annuity Separate Account (formerly KILICO Variable Annuity Separate Account) on May 29, 1981 under Illinois law as the KILICO Money Market Separate Account. The Separate Account is registered with the SEC as a unit investment trust, however, the SEC does not supervise the management, investment practices or policies of the Separate Account or ZALICO.

Benefits provided under the Contracts are our obligations. Although the assets in the Separate Account are our property, they are held separately from our other assets and are not chargeable with liabilities arising out of any other business we may conduct. Income, capital gains and capital losses, whether or not realized, from the assets allocated to the Separate Account are credited to or charged against the Separate Account without regard to the income, capital gains and capital losses arising out of any other business we may conduct.

Fifty-eight Subaccounts of the Separate Account are currently available. Each Subaccount invests exclusively in shares of one of the corresponding Funds or Portfolios. We may add or delete Subaccounts in the future. Not all Subaccounts may be available in all jurisdictions, under all Contracts or in all retirement plans.

The Separate Account purchases and redeems shares from the Funds at net asset value. We redeem shares of the Funds as necessary to provide benefits, to deduct Contract charges and to transfer assets from one Subaccount to another as requested by Owners. All dividends and capital gains distributions received by the

63

Separate Account from a Fund or Portfolio are reinvested in that Fund or Portfolio at net asset value and retained as assets of the corresponding Subaccount.

The Separate Account’s financial statements appear in the Statement of Additional Information.

The Funds

The Separate Account invests in shares of the following registered, open-end management investment companies:

Ÿ AIM Variable Insurance Funds (Invesco Variable Insurance Funds)

Ÿ The Alger Portfolios

Ÿ American Century Variable Portfolios, Inc.

Ÿ Credit Suisse Trust

Ÿ Dreyfus Investment Portfolios

Ÿ The Dreyfus Socially Responsible Growth Fund, Inc.

Ÿ DWS Variable Series I

Ÿ DWS Variable Series II

Ÿ Fidelity Variable Insurance Products Funds

Ÿ Franklin Templeton Variable Insurance Products Trust

Ÿ ING Investors Trust

Ÿ JPMorgan Insurance Trust

Ÿ Janus Aspen Series

Ÿ Oppenheimer Variable Account Funds

SEC registration does not involve SEC supervision of the Funds’ management, investment practices or policies. The Funds provide investment vehicles for variable life insurance and variable annuity contracts and, in some cases certain qualified retirement plans. Shares of the Funds are sold only to insurance company separate accounts and qualified retirement plans. In addition to selling shares to our separate accounts, shares of the Funds may be sold to separate accounts of other insurance companies. It is conceivable that in the future it may be disadvantageous for variable life insurance separate accounts and variable annuity separate accounts of other companies, or for variable life insurance separate accounts, variable annuity separate accounts and qualified retirement plans to invest simultaneously in the Funds. Currently, neither we nor the Funds foresee any such disadvantages to variable life insurance owners, variable annuity owners or qualified retirement plans. The Funds must monitor events to identify material conflicts between such owners and determine what action, if any, should be taken. In addition, if we believe a Fund’s response to any of those events or conflicts insufficiently protects Owners, we will take appropriate action.

A Fund may consist of separate Portfolios. The assets of each Portfolio are held separate from the assets of the other Portfolios, and each Portfolio has its own distinct investment objective and policies. Each Portfolio operates as a separate investment fund, and the investment performance of one Portfolio has no effect on the investment performance of any other Portfolio.

The 58 Portfolios or Funds are summarized below:

AIM Variable Insurance Funds (Invesco Variable Insurance Funds) (Series I Shares)

Invesco V.I. Dividend Growth Fund—The Fund’s investment objective is to provide reasonable current income and long-term growth of income and capital. The Fund will normally invest at least 80% of its net asset (plus any borrowings for investment purposes in common stocks of companies which pay dividends and have the potential for increasing dividends.

64

Invesco V.I. Global Health Care Fund—The Fund’s investment objective is growth of capital. The Fund invests under normal circumstances, at least 80% of net (plus borrowings for investment purposes) in securities issued by foreign companies and governments engaged primarily in the health care industry.

Invesco V.I. Global Real Estate Fund—The Funds investment objective is total return through growth of capital and current income. The Fund invests under normal circumstances, at least 80% of net assets (plus borrowings for investment purposes) in securities of real estate and real estate-related issuers.

Invesco V.I. Utilities Fund—The Fund’s investment objective is long-term growth of capital and secondarily, current income. The Fund invests under normal circumstances, at least 80% of net assets (plus borrowings for investment purposes) in securities of issuers engaged primarily in utilities-related industries.

The Alger Portfolios (Class I-2 Shares)

Alger Large Cap Growth Portfolio seeks long-term capital appreciation. It focuses on growing companies that generally have broad product lines, markets, financial resources and depth of management. Under normal circumstances, the Portfolio invests at least 80% of its net assets in equity securities of companies that, at the time of purchase of the securities, have a market capitalization equal to or greater than the market capitalization of companies included in the Russell 1000 Growth Index, as reported by the index as of the most recent quarter-end. This index is designed to track the performance of large-capitalization growth stocks. At December 31, 2009, the market capitalization of the companies in this index ranged from $260.8 million to $332.7 billion. 

Alger Mid Cap Growth Portfolio seeks long-term capital appreciation. It focuses on midsized companies that the Manager believes demonstrate promising growth potential. Under normal circumstances, the Portfolio invests at least 80% of its net assets, plus any borrowings for investment purposes, in the equity securities of companies that, at the time of purchase of the securities, have a total market capitalization within the range of companies included in the Russell Midcap Growth Index or the S&P MidCap 400 Index, updated quarterly. Both indexes are designed to track the performance of medium-capitalization stocks.

Alger Small Cap Growth Portfolio seeks long-term appreciation. It focuses on small, fast-growing companies that the Manager believes offer innovative products, services or technologies to a rapidly-expanding marketplace. Under normal circumstances, the Portfolio invests at least 80% of its net assets in the equity securities of companies that, at the time of purchase of the securities, have a total market capitalization within the range of companies included in the Russell 2000 Growth Index or the S&P Small Cap 600 Index, updated quarterly. Both indexes are broad indexes of small-capitalization stocks.

American Century Variable Portfolios, Inc. (Class I Shares)

American Century VP Income & Growth Fund seeks capital growth by investing in common stocks. Income is a secondary objective.

American Century VP Value Fund seeks long-term capital growth. Income is a secondary objective.

Credit Suisse Trust

Credit Suisse Trust International Equity Flex III Portfolio seeks capital appreciation. To pursue this goal, it invests at least 80% of its net assets in equity securities of foreign companies and derivatives providing exposure to equity securities of foreign companies. The portfolio seeks to outperform the MSCI EAFE Index. The MSCI EAFE Index is designed to measure the performance of equities in developed markets outside North America, which include Europe, Australasia (Australia and New Zealand) and the Far East. The portfolio generally will (i) purchase securities, either directly or through derivatives, in an amount up to approximately 130% of its net assets and (ii) sell securities short (which means, sell borrowed securities with the intention of repurchasing them for a profit on the expectation that the market price will drop), either directly or through derivatives, in an amount up to approximately 30% of its net assets. The portfolio may invest in equity securities without regard to market capitalization. Uses proprietary quantitative models.

65

Dreyfus Investment Portfolios (Service Shares)

Dreyfus IP MidCap Stock Portfolio—The fund seeks investment results that are greater than the total return performance of publicly traded common stocks of medium-size domestic companies in the aggregate, as represented by the Standard & Poor’s MidCap 400^® Index (S&P 400). The fund invests in growth and value stocks, which are chosen through a disciplined investment process that combines computer modeling techniques, fundamental analysis and risk management. Consistency of returns compared to the S&P 400, the fund’s benchmark, is a primary goal of the investment process. The portfolio managers will select stocks through a “bottom-up,” structured approach that seeks to identify undervalued securities using a quantitative ranking process. The process is driven by a proprietary quantitative model that measures a diverse set of corporate characteristics to identify and rank stocks based on valuation, momentum/sentiment, and earnings quality.

The Dreyfus Socially Responsible Growth Fund, Inc. (Initial Share Class)

The fund seeks to provide capital growth, with current income as a secondary goal. To pursue its goals, the fund, in the common stocks of companies that, in the opinion of the fund’s management, meet traditional investment standards and conduct their business in a manner that contributes to the enhancement of the quality of life in America. The fund’s investment strategy combines a disciplined investment process that consists of computer modeling techniques, fundamental analysis and risk management with a social investment process. In selecting stocks, the portfolio manager begins by using computer models to identify and rank stocks within an industry or sector, based on several characteristics, including value, growth and financial profile. Next, based on fundamental analysis, the portfolio manager designates the most attractive of the higher ranked securities as potential purchase candidates, drawing on a variety of sources, including company management and internal as well as Wall Street research. The portfolio manager then evaluates each stock to determine whether the company enhances the quality of life in America by considering its record in the areas of protection and improvement of the environment and the proper use of our natural resources, occupational health and safety, consumer protection and product purity and equal employment opportunity. The portfolio manager then further examines the companies determined to be eligible for purchase, by industry or sector, and select investments from those companies the portfolio manager considers to be the most attractive based on financial considerations.

DWS Variable Series I (Class A Shares)

DWS Bond VIP seeks to maximize total return consistent with preservation of capital and prudent investment management, by investing for both current income and capital appreciation.

DWS Capital Growth VIP seeks to provide long-term growth of capital.

DWS Growth & Income VIP seeks long-term growth of capital, current income and growth of income. The fund invests at least 65% of total assets in equities, mainly common stocks. QS Investors, LLC is the subadvisor for the fund.

DWS International VIP seeks long-term growth of capital. Although the fund can invest in companies of any size and from any country, it invests mainly in common stocks of established companies in countries with developed economies (other than the United States).

DWS Variable Series II (Class A)

DWS Balanced VIP seeks high total return, a combination of income and capital appreciation. The fund can buy many types of securities, among them common stocks, convertible securities, corporate bonds, government bonds, inflation-indexed bonds, mortgage- and asset-backed securities and exchange-traded funds (ETFs). The fund can invest in securities of any size, investment style category, or credit quality, and from any country (including emerging markets). The fund normally invests approximately 60% of net assets in common stocks and other equity securities and approximately 40% of net assets in fixed-income securities, including non-investment grade high yield bonds. The fund invests at least 25% of net assets in fixed income senior securities and at least 25% of net assets in common stocks and other equity securities. Deutsche Asset Management International GmbH (“DeAMi”) and QS Investors, LLC are the subadvisors for the fund.

66

DWS Core Fixed Income VIP seeks high current income. Under normal circumstances, the fund invests at least 80% of its assets, plus the amount of any borrowings for investment purposes, determined at the time of purchase, in fixed income securities.

DWS Diversified International Select Equity VIP seeks capital appreciation. Under normal circumstances, the fund invests at least 80% of its assets, determined at the time of purchase, in equity securities and other securities with equity characteristics.

DWS Dreman Small Mid Cap Value VIP seeks long-term capital appreciation. Under normal circumstances, the fund invests at least 80% of net assets, plus the amount of any borrowings for investment purposes, in undervalued common stocks of small and mid-size U.S. companies. The fund defines small companies as those that are similar in market value to those in the Russell 2000^® Value Index.

DWS Government & Agency Securities VIP seeks high current income consistent with preservation of capital. Under normal circumstances, the fund invests at least 80% of net assets, plus the amount of any borrowings for investment purposes, in US government securities and repurchase agreements of U.S. government securities.

DWS High Income VIP seeks to provide a high level of current income. Under normal circumstances, the fund generally invests at least 65% of net assets, plus the amount of any borrowings for investment purposes, in junk bonds, which are those rated below the fourth highest credit rating category (that is, grade BB/Ba and below). The fund may invest up to 50% of total assets in bonds denominated in U.S. dollars or foreign currencies from foreign issuers.

DWS Large Cap Value VIP seeks to achieve a high rate of total return. Under normal circumstances, the fund invests at least 80% of net assets, plus the amount of any borrowings for investment purposes, in common stocks and other equity securities of large U.S. companies that are similar in size to the companies in the Russell 1000^® Value Index and that portfolio management believes are undervalued. Deutsche Asset Management International GmbH (“DeAMi”) is the subadvisor for the fund.

DWS Money Market VIP seeks maximum current income to the extent consistent with stability of principal. The fund pursues its objective by investing in high quality, short-term securities, as well as repurchase agreements that are backed by high-quality securities.

DWS Small Cap Growth VIP seeks long-term capital appreciation. Under normal circumstances, the fund invests at least 80% of net assets, plus the amount of any borrowings for investment purposes, in common stocks and other equity securities of small and mid-sized U.S. companies. This fund was formerly known as DWS Small Cap Growth VIP.

Fidelity Variable Insurance Products Funds (Initial Class Shares)

Fidelity VIP Asset Manager^SM Portfolio seeks high total return with reduced risk over the long term by allocating its assets among stocks, bonds and short-term instruments.

Fidelity VIP Contrafund^® Portfolio seeks long-term capital appreciation.

Fidelity VIP Equity-Income Portfolio seeks reasonable income. The Fund will also consider the potential for capital appreciation. The fund’s goal is to achieve a yield which exceeds the composite yield on the securities comprising the S&P^® 500 Index.

Fidelity VIP Growth Portfolio seeks to achieve capital appreciation.

Fidelity VIP Index 500 Portfolio seeks investment results that correspond to the total return of common stocks publicly traded in the United States, as represented by the S&P 500^® Index.

Franklin Templeton Variable Insurance Products Trust (Class 2 Shares)

Franklin Rising Dividends Securities Fund seeks long-term capital appreciation, with preservation of capital as an important consideration. The fund normally invests at least 80% of its net assets in investments of companies that have paid rising dividends.

67

Franklin Small Cap Value Securities Fund seeks long-term total return. The fund normally invests at least 80% of its net assets in investments of small capitalization companies.

Franklin Strategic Income Securities Fund seeks a high level of current income, with capital appreciation over the long term as a secondary goal. The fund normally invests primarily to predominantly in U.S. and foreign debt securities, including those in emerging markets.

Franklin U.S. Government Fund seeks income. The fund normally invests at least 80% of its net assets in U.S. government securities.

Mutual Global Discovery Securities Fund seeks capital appreciation. The Fund normally invests primarily in U.S. and foreign equity securities that the manager believes are undervalued.

Mutual Shares Securities Fund seeks capital appreciation, with income as a secondary goal. The Fund normally invests primarily in U.S. and foreign equity securities that the manager believes are undervalued.

Templeton Developing Markets Securities Fund seeks long-term capital appreciation. The Fund normally invests at least 80% of its net assets in emerging market investments.

ING Investors Trust

ING JPMorgan Emerging Markets Equity Portfolio (Institutional Class) seeks capital appreciation.

ING Global Resources Portfolio (Class S) seeks long-term capital appreciation.

JPMorgan Insurance Trust (Class 1)

JPMorgan Insurance Trust Mid Cap Growth Portfolio seeks capital growth over the long term.

JPMorgan Insurance Trust Equity Index Portfolio seeks investment results that correspond to the aggregate price and dividend performance of securities in the Standard & Poor’s 500 Composite Stock Price Index (S&P 500 Index)

JPMorgan Insurance Trust International Equity Portfolio seeks to provide high total return from a portfolio of equity securities of foreign companies.

JPMorgan Insurance Trust Intrepid Mid Cap Value Portfolio seeks long-term capital growth by investing primarily in equity securities of companies with intermediate capitalizations.

JPMorgan Insurance Trust Mid Cap Value Portfolio seeks capital appreciation with the secondary goal of achieving current income by investing primarily in equity securities.

JPMorgan Insurance Trust Small Cap Core Portfolio seeks capital growth over the long term.

JPMorgan Insurance Trust U.S. Equity Portfolio seeks to provide high total return from a portfolio of selected equity securities.

Janus Aspen Series

Janus Aspen Balanced Portfolio (Institutional Shares) seeks long-term growth, consistent with preservation of capital and balanced by current income.

Janus Aspen Enterprise Portfolio (Institutional Shares) seeks long-term growth of capital.

Janus Aspen Janus Portfolio (Institutional Shares) seeks long-term growth of capital.

Janus Aspen Perkins Mid Cap Value Portfolio (Service Shares) seeks capital appreciation.

68

Janus Aspen Worldwide Portfolio (Institutional Shares) seeks long-term growth of capital in a manner consistent with the preservation of capital.

Oppenheimer Variable Account Funds (Service Shares)

Oppenheimer Capital Appreciation Fund/VA seeks capital appreciation by investing in securities of well-known, established companies.

Oppenheimer Global Securities Fund/VA seeks long-term capital appreciation by investing a substantial portion of its assets in securities of foreign issuers, “growth-type” companies, cyclical industries and special situations that are considered to have appreciation possibilities.

Oppenheimer High Income Fund/VA seeks a high level of current income from investment in high-yield, fixed-income securities.

Oppenheimer Main Street Fund^®/VA seeks high total return.

Oppenheimer Main Street Small- & Mid-Cap Fund^®/VA seeks capital appreciation. The Fund was formerly known as Oppenheimer Main Street Small Cap Fund/VA.

Oppenheimer Small- & Mid-Cap Growth Fund/VA seeks capital appreciation by investing in “growth type” companies.

Oppenheimer Global Strategic Bond Fund/VA seeks a high level of current income principally derived from interest on debt securities.

The Funds and Portfolios may not achieve their stated objectives. More detailed information, including a description of risks involved in investing in the Portfolios is found in the Funds’ prospectuses accompanying this Prospectus and statements of additional information available from us upon request.

Invesco Advisors, Inc. is the investment adviser for the available Portfolios of Invesco Variable Insurance Funds. Invesco Asset Management Limited is the sub-adviser for Invesco V.I. Global Real Estate Fund.

Fred Alger Management, Inc. serves as the investment adviser for the available Portfolios of The Alger Portfolios.

American Century Investment Management, Inc. is the investment adviser for the two available Portfolios of the American Century Variable Portfolios, Inc.

Credit Suisse Asset Management, LLC is the investment adviser for the Credit Suisse Trust Emerging Markets Portfolio.

Deutsche Investment Management Americas Inc. is the investment advisor for the available funds of DWS Variable Series I and II. Deutsche Asset Management International GmbH (“DeAMi”) is the subadvisor for the DWS Balanced VIP and DWS Large Cap Value VIP.

The Dreyfus Corporation serves as the investment adviser for the Dreyfus VIF MidCap Stock Portfolio and The Dreyfus Socially Responsible Growth Fund, Inc.

Fidelity Management & Research Company (“FMR”) is the investment adviser for the available Portfolios of the Fidelity Variable Insurance Products Funds. FMR is the fund’s manager. FMR Co., Inc. (FMRC) and other affiliates of FMR serve as the sub-advisers for the Fidelity VIP Contrafund^® Portfolio, Fidelity VIP Equity-Income Portfolio and Fidelity VIP Growth Fund.

* “Standard & Poor’s^®,” “S&P^®” and “S&P MidCap 400^®” are trademarks of The McGraw-Hill Companies, Inc. The Dreyfus Corporation has been licensed to use such trademarks, as applicable. The Dreyfus I.P. MidCap Stock Portfolio is not sponsored, endorsed, sold or promoted by Standard & Poor’s^®, and Standard & Poor’s^® makes no representation regarding the advisability of investing in the Portfolio. Additional information may be found in the Portfolio’s Statement of Additional Information.

69

Fidelity Investments Money Management, Inc. (FIMM), FMR Co., Inc. (FMRC), and other affiliates of FMR serve as sub-advisers for the Fidelity VIP Asset ManagerSM Portfolio. FMRC and Geode Capital Management, LLC serve as the sub-advisers for the Fidelity VIP Index 500 Fund.

Franklin Advisory Services, LLC is the investment adviser for the Franklin Rising Dividends Securities Fund and the Franklin Small Cap Value Securities Fund. Franklin Advisers, Inc. is the investment adviser for the Franklin Strategic Income Securities Fund and the Franklin U.S. Government Fund Franklin Mutual Advisers, LLC is the investment adviser for the Mutual Global Discovery Securities Fund. Mutual Shares Securities Fund. Templeton Asset Management Ltd. (Asset Management) is the investment adviser for the Templeton Developing Markets Securities Fund.

Directed Services LLC. serves as the investment adviser and J. P. Morgan Investment Management Inc. serves as the sub-adviser for the ING JPMorgan Emerging Markets Equity Portfolio. Directed Services LLC. serves as the investment adviser and ING Investment Management Co. serves as the sub-adviser for the ING Global Resources Portfolio.

J.P. Morgan Investment Management Inc. is the investment adviser for the available Portfolios of the JPMorgan Insurance Trust.

Janus Capital Management LLC is the investment adviser for the available Portfolios of the Janus Aspen Series. Perkins Investment Management, LLC is the subadviser for Janus Aspen Perkins Mid Cap Value Portfolio.

OppenheimerFunds, Inc. is the investment adviser for the available Funds of the JPMorgan Insurance Trust.

The investment advisers are paid fees for their services by the Funds they manage. We may receive compensation from the investment advisers of the Funds for services related to the Funds. Such compensation will be consistent with the services rendered or the cost savings resulting from the arrangements. Such compensation typically is a percentage of Separate Account assets invested in the relevant Fund and generally may range up to 0.30% annually of net assets. We may also receive 12b-1 fees directly from certain Funds for providing services related to shares of Portfolios offered in connection with a Rule 12b-1 plan.

Change of Investments

We reserve the right to make additions to, deletions from, or substitutions for the shares held by the Separate Account or that the Separate Account may purchase. We reserve the right to eliminate the shares of any of the Funds or Portfolios and to substitute shares of another Portfolio or of another investment company, if the shares of a Fund or Portfolio are no longer available for investment, or if in our judgment further investment in any Fund or Portfolio becomes inappropriate. We will not substitute any shares attributable to your interest in a Subaccount without prior notice and the SEC’s prior approval, if required. The Separate Account may purchase other securities for other series or classes of contracts, or may permit a conversion between series or classes of contracts on the basis of requests made by Owners.

We may establish additional subaccounts of the Separate Account, each of which would invest in a new Portfolio of the Funds, or in shares of another investment company. New subaccounts may be established when, at our discretion, marketing needs or investment conditions warrant. New subaccounts may be made available to existing Owners as we determine. We may also eliminate or combine one or more subaccounts, transfer assets, or substitute one subaccount for another subaccount, if, in our discretion, marketing, tax, or investment conditions warrant. We will notify all Owners of any such changes.

If we deem it to be in the best interests of persons having voting rights under the Contract, the Separate Account may be: (a) operated as a management company under the Investment Company Act of 1940 (“1940 Act”); (b) deregistered under the 1940 Act in the event such registration is no longer required; or (c) combined with our other separate accounts. To the extent permitted by law, we may transfer the assets of the Separate Account to another separate account or to the General Account.

70

FIXED ACCOUNT OPTION

Amounts allocated or transferred to the Fixed Account are part of our General Account, supporting insurance and annuity obligations. Interests in the Fixed Account are not registered under the Securities Act of 1933 (“1933 Act”), and the Fixed Account is not registered as an investment company under the 1940 Act. Accordingly, neither the Fixed Account nor any interests therein generally are subject to the provisions of the 1933 or 1940 Acts. We have been advised that the staff of the SEC has not reviewed the disclosures in this Prospectus relating to the Fixed Account. Disclosures regarding the Fixed Account, however, may be subject to the general provisions of the federal securities laws relating to the accuracy and completeness of statements made in prospectuses.

The Fixed Account is part of the Company’s General Account which is made up of all of the general assets of the Company other than those allocated to separate accounts. Allocations to the Fixed Account become part of the assets of the Company and are used to support insurance and annuity obligations. The General Account is not segregated or insulated from the claims of the insurance company’s creditors. Any amounts allocated to the Fixed Account or amounts that we guarantee in excess of your Contract Value are subject to our financial strength and claim’s paying ability, and are subject to the risk that the insurance company may not be able to cover, or may default on, its obligations under those guarantees.

Under the Fixed Account Option, we pay a fixed interest rate for stated periods. This Prospectus describes only the aspects of the Contract involving the Separate Account and the MVA Option, unless we refer to fixed accumulation and annuity elements.

We guarantee that payments allocated to the Fixed Account earn a minimum fixed interest rate not less than the minimum interest rate allowed by state law. At our discretion, we may credit interest in excess of the minimum guaranteed rate. We reserve the right to change the rate of excess interest credited. We also reserve the right to declare different rates of excess interest depending on when amounts are allocated or transferred to the Fixed Account. As a result, amounts at any designated time may be credited with a different rate of excess interest than the rate previously credited to such amounts and to amounts allocated or transferred at any other designated time.

71

THE CONTRACTS

A. GENERAL INFORMATION.

This Prospectus describes both Qualified Contracts and Non-Qualified Contracts. The minimum Purchase Payment for a Qualified Contract is $50. However, if annualized contribution amounts from a payroll or salary deduction plan are equal to or greater than $600, we accept a periodic payment under $50. The maximum annual amount of Purchase Payments may be limited by the retirement plan funded by the Contract. For a Non-Qualified Contract the minimum initial Purchase Payment was $2,500 and the minimum subsequent Purchase Payment is $500. An initial allocation of less than $100 may be made to the Fixed Account or to a Subaccount, or to the Fixed Account and one Subaccount. For a Non-Qualified Contract, no subsequent allocations of Purchase Payments may be made to any additional Subaccount until allocations total at least $100 to each Subaccount in which the Contract has an interest. For a Qualified Contract, if annualized contribution amounts to a new Subaccount from a payroll or salary reduction plan are at least $25 per month, allocations to another such Subaccount may be made.

You may make Purchase Payments to Non-Qualified Contracts and Contracts issued as Individual Retirement Annuities (“IRAs”) by authorizing us to draw on your account via check or electronic debit (“Pre-Authorized Checking [PAC] Agreement”). For Purchase Payments made pursuant to a PAC Agreement, the following minimum Purchase Payment provisions apply:

Ÿ The minimum initial Purchase Payment to an IRA made pursuant to a PAC Agreement is $100. The minimum initial Purchase Payment to a Non-Qualified Contract made pursuant to a PAC Agreement is $1,000 unless you also own an existing Contract, in which case the minimum is $100.

Ÿ The minimum subsequent Purchase Payment made pursuant to a PAC Agreement is $100.

We may amend the Contract in accordance with changes in the law, including tax laws, regulations or rulings, and for other purposes. Certain contracts are no longer offered, although Purchase Payments are still permitted under these previously issued contracts.

You may examine a Contract and return it for a refund during the “free look” period. The length of the free look period depends upon the state in which the Contract is issued. However, it will be at least 10 days from the date you receive the Contract. The amount of the refund depends on the state in which the Contract is issued. Generally, it will be an amount at least equal to the Separate Account Contract Value plus amounts allocated to the General Account on the date we receive the returned Contract, without any deduction for Withdrawal Charges or Records Maintenance Charges. Some states require the return of the Purchase Payment. If you decide to return your Contract for a refund during the “free look” period, please also include a letter of instruction.

You designate the Beneficiary. If the Annuitant or you dies, and no designated Beneficiary or contingent Beneficiary is alive at that time, we will pay the Annuitant’s or your estate.

Under a Qualified Contract, the provisions of the applicable plan may prohibit a change of Beneficiary. Generally, an interest in a Qualified Contract may not be assigned.

During the Accumulation Period, you may assign a Non-Qualified Contract or change a Beneficiary at any time by signing our form. No assignment or Beneficiary change is binding on us until we receive it. We assume no responsibility for the validity of the assignment or Beneficiary change. An assignment may subject you to immediate tax liability and may subject you to a 10% tax penalty. (See “Federal Tax Matters.”)

Amounts payable during the Annuity Period may not be assigned or encumbered. In addition, to the extent permitted by law, annuity payments are not subject to levy, attachment or other judicial process for the payment of the payee’s debts or obligations.

72

B. THE ACCUMULATION PERIOD.

1. Application of Purchase Payments.

You select allocation of Purchase Payments to the Subaccount(s) or the Fixed Account. The amount of each Purchase Payment allocated to a Subaccount is based on the value of an Accumulation Unit, as computed after we receive the Purchase Payment. Generally, we determine the value of an Accumulation Unit as of 3:00 p.m. Central time on each day that the New York Stock Exchange is open for trading. Purchase Payments allocated to the Fixed Account begin earning interest one day after we receive them. With respect to initial Purchase Payments, the amount is credited only after we determine to issue the Contract. After the initial purchase, we determine the number of Accumulation Units credited by dividing the Purchase Payment allocated to a Subaccount by the Subaccount’s Accumulation Unit value, as computed after we receive the Purchase Payment. You are limited to allocating Contract Value to a maximum of 18 allocation options over the life of a Contract, plus the Fixed Account.

Some of the Funds reserve the right to delay or refuse purchase requests from the Separate Account, as may be further described in their prospectuses and/or statements of additional information. Therefore, if you request a transaction under the Contract that is part of a purchase request delayed or refused by a Fund, we will be unable to process your request. In that event, we will notify you promptly in writing or by telephone.

The number of Accumulation Units will not change due to investment experience. Accumulation Unit value varies to reflect the investment experience of the Subaccount and the assessment of charges against the Subaccount other than the Records Maintenance Charge. The number of Accumulation Units is reduced when the Records Maintenance Charge is assessed.

If we are not provided with information sufficient to establish a Contract or to properly credit the initial Purchase Payment, we will promptly request the necessary information. If the requested information is not furnished within five business days after we receive the initial Purchase Payment, or if we determine that we cannot otherwise issue the Contract within the five day period, we will return the initial Purchase Payment to you, unless you consent to our retaining the initial Purchase Payment until the application is completed.

We may issue a Contract without a signed application if:

Ÿ a dealer provides us with application information, electronically or in writing,

Ÿ we receive the initial Purchase Payment, and

Ÿ you confirm in writing, after the Contract is delivered, that all information in the Contract is correct.

2. Accumulation Unit Value.

Each Subaccount has Accumulation Unit values for each combination of asset-based charges. When Purchase Payments or other amounts are allocated to a Subaccount, the number of units purchased is based on the Subaccount’s applicable Accumulation Unit value at the end of the current Valuation Period. When amounts are transferred out of or deducted from a Subaccount, units are redeemed in a similar manner.

The Accumulation Unit value for each subsequent Valuation Period is the investment experience factor for that Valuation Period times the Accumulation Unit value for the preceding Valuation Period. Each Valuation Period has a single Accumulation Unit value which applies to each day in the Valuation Period.

Each Subaccount has its own investment experience factor for each combination of charges. The investment experience of the Separate Account is calculated by applying the investment experience factor to the Accumulation Unit value in each Subaccount during a Valuation Period.

The investment experience factor of a Subaccount for any Valuation Period is determined by the following formula:

(1 divided by 2) minus 3, where:

(1) is the net result of:

Ÿ the net asset value per share of the investment held in the Subaccount determined at the end of the current Valuation Period; plus

73

Ÿ the per share amount of any dividend or capital gain distributions made by the investments held in the Subaccount, if the “ex-dividend” date occurs during the current Valuation Period; plus or minus

Ÿ a charge or credit for any taxes reserved for the current Valuation Period which we determine have resulted from the investment operations of the Subaccount;

(2) is the net asset value per share of the investment held in the Subaccount determined at the end of the preceding Valuation Period; and

(3) is the factor representing asset-based charges (the mortality and expense risk and administration charges plus any applicable charges for optional death or income benefits.)

3. Contract Value.

On any Valuation Date, the Contract Value equals the total of:

Ÿ the number of Accumulation Units credited to each Subaccount, times

Ÿ the value of a corresponding Accumulation Unit for each Subaccount, plus

Ÿ your interest in the Fixed Account.

4. Transfers During the Accumulation Period.

During the Accumulation Period, you may transfer Contract Value among the Subaccounts and the Fixed Account subject to the following provisions:

Ÿ The General Account Contract Value, minus 125% of Debt, may be transferred two times during the Contract Year to one or more Subaccounts in the thirty days following an anniversary of a Contract Year or the thirty days following the date of the confirmation statement provided for the period through the anniversary date, if later; and

Ÿ You are limited to allocating Contract Value to a maximum of 18 allocation options over the life of a Contract, plus the Fixed Account.

If you authorize a third party to transact transfers on your behalf, we will reallocate the Contract Value pursuant to the third party’s instructions. However, we take no responsibility for any third party asset allocation or investment advisory service or program. We may suspend or cancel acceptance of a third party’s instructions at any time and may restrict the investment options available for transfer under third party authorizations.

We will make transfers pursuant to proper written or telephone instructions which specify in detail the requested changes. Before telephone transfer instructions will be honored, you must complete a telephone transfer authorization. The minimum partial transfer amount is $100. No partial transfer may be made if the value of your remaining Contract interest in a Subaccount or the Fixed Account, from which amounts are to be transferred, would be less than $100 after transfer. Transfers involving a Subaccount will be based upon the Accumulation Unit values determined following our receipt of complete transfer instructions. The transfer privilege may be suspended, modified or terminated at any time. We disclaim all liability for following instructions which are given in accordance with our procedures, including requests for personal identifying information, that are designed to limit unauthorized use of the privilege. Therefore, you bear the risk of loss in the event of a fraudulent telephone transfer.

The following transfers must be requested through standard United States mail:

Ÿ transfers in excess of $250,000 per Contract, per day, and

Ÿ transfers into and out of the Credit Suisse International Equity Flex III (formerly Credit Suisse Trust-Emerging Market), the ING JPMorgan Emerging Markets Equity, the JPMorgan Insurance Trust International Equity, the Janus Aspen Worldwide, the Mutual Discovery Securities, the Oppenheimer Global Securities Fund/VA, the DWS International VIP, the DWS Diversified International Select Equity VIP and the Templeton Developing Market Securities Subaccounts in excess of $50,000, per Contract, per day.

74

These administrative procedures have been adopted under the Contract to protect the interests of Contract Owners from the adverse effects of frequent and large transfers into and out of variable annuity Subaccounts that can adversely affect the investment management of the underlying Portfolios. We reserve the right to further amend the transfer procedures in the interest of protecting Contract Owners.

Some of the Funds reserve the right to delay or refuse transfer requests from the Separate Account, as may be further described in their prospectuses and/or statements of additional information. Therefore, if you request a transaction under the Contract that is part of a purchase request delayed or refused by a Fund, we will be unable to process your request. In that event, we will notify you promptly in writing or by telephone.

5. Market Timing.

The Contract is not designed for organizations or individuals engaged in market timing strategies in response to short-term fluctuations in the market, involving frequent transfers, transfers into and out of a Subaccount over a short period of time, or transfers representing a substantial percentage of the assets of any Subaccount. You should not purchase the Contract if you intend to engage in such market timing strategies. Market timing strategies may be disruptive to the management of the underlying Portfolios in which the Subaccounts invest and therefore, may be detrimental to Contract Owners by increasing costs, reducing performance, and diluting the value of interests in the underlying Portfolio.

We maintain policies and procedures in an effort to control disruptive market timing activity. We do not exempt any persons or class of persons from these policies. We require that transfers in excess of $250,000 per Contract, per day, and transfers into or out of specified Subaccounts in excess of $50,000 per Contract, per day, as described in the Transfers During the Accumulation Period section, above, must be requested through standard United States mail. In addition, we monitor trading activity in order to identify market timing strategies. If we identify suspicious transfer activity, we advise the Contract Owner in writing that we are monitoring their transfer activity and will impose restrictions if we identify a pattern of disruptive transfer activity. If a pattern of disruptive transfer activity is identified as a result of the continued monitoring, we will notify the Contract Owner in writing that all future transfers must be requested through standard United States mail.

If we identify market timing strategies that we believe to be detrimental to Contract Owners that are not addressed by the above procedures, we will take one or more of the following actions against Contract Owners that have been identified as engaging in disruptive transfer activity and we may establish these limitations for all Contract Owners:

Ÿ Termination of transfer privileges;

Ÿ Universal termination of telephone or electronic transfer privileges (for all Contract Owners);

Ÿ Requiring a minimum time between transfers;

Ÿ Limiting the total number of transfers;

Ÿ Limiting the dollar amount that may be transferred at one time;

Ÿ Refusing any transfer request; and

Ÿ Not accepting transfer requests of someone acting on behalf of more than one Owner (in which case, we will notify the person making the request by telephone or in writing of our decision not to accept the transfer requests).

We review our policies and procedures from time to time and will change them or explore other actions if we discover that existing procedures fail to adequately curtail market timing activities. The actions we take will be based on our policies and procedures then in effect and will be applied uniformly among Contract Owners.

Although we will monitor transfer activity and as appropriate impose restrictions as described above, there is no assurance that we will be able to identify and curtail all potentially disruptive market timing activity. As a result, to the extent that we do not detect disruptive market timing or the restriction we impose fails to curtail it, it is possible that a market timer may be able to make additional disruptive market timing transactions with the result that the management of the underlying Portfolios in which the Subaccounts invest may be disrupted and Contract Owners may suffer detrimental effects such as increased costs, reduced performance, and dilution of their interests in the affected Portfolio.

75

We are legally obligated to provide (at the Portfolios’ request) information about each amount you cause to be deposited into a Portfolio (including by way of premium payments and transfers under your Contract) or removed from the Portfolio (including by way of withdrawals and transfers under your Contract). If a Portfolio identifies you as having violated the Portfolio’s frequent trading policies and procedures, we are obligated, if the Portfolio requests, to restrict or prohibit any further deposits or exchanges by you in respect of that Portfolio. Under rules adopted by the Securities and Exchange Commission, we are required to: (1) enter into a written agreement with each Portfolio or its principal underwriter that will obligate us to provide to the Portfolio promptly upon request certain information about the trading activity of individual Contract Owners, and (2) execute instructions from the Portfolio to restrict or prohibit further purchases or transfers by specific Contract Owners who violate the frequent trading policies established by the Portfolio. Accordingly, if you do not comply with any Portfolio’s frequent trading policies and procedures, you may be prohibited from directing any additional amounts into that Portfolio or directing any transfers or other exchanges involving that Portfolio. You should review and comply with each Portfolio’s frequent trading policies and procedures, which are disclosed in the Portfolios’ current prospectuses.

6. Withdrawals During the Accumulation Period.

You may redeem some or all of the Contract Value minus Debt, charges and previous withdrawals. Withdrawals may be subject to income tax and a 10% penalty tax. (See “Federal Tax Matters.”) A withdrawal of all Contract Value is called a surrender. Your ability to surrender may be limited by the terms of a qualified plan. (See “Federal Income Taxes.”)

You may withdraw up to 10% of the Contract Value minus Debt in any Contract Year without charge. If you withdraw more than 10% of the Contract Value in any Contract Year, the amount withdrawn in excess of 10% is subject to a Withdrawal Charge. (See “Withdrawal Charge.”)

For Contracts in more than one investment option, your partial withdrawal request must specify what portion of your interest is to be redeemed. If you do not specify, we will redeem Accumulation Units from all investment options in which you have an interest on a pro-rata basis. The Accumulation Units attributable to the earliest Contribution Years are redeemed first.

You may request a partial withdrawal subject to the following:

Ÿ The amount requested must be at least $500 in each investment option or the Fixed Account from which withdrawal is requested.

Ÿ You must leave at least $500 in each investment option from which the withdrawal is requested or withdraw the total value.

Election to withdraw shall be made in writing to us at our administrative office: Insurance Services, P.O. Box 758557, Topeka, KS 66675-8557. and should be accompanied by the Contract if surrender is requested. Withdrawal requests are processed only on days when the New York Stock Exchange is open for trading. The Withdrawal Value attributable to the Subaccounts is determined on the basis of the Accumulation Unit values calculated after we receive the request. The Withdrawal Value attributable to the Subaccounts will be paid within seven days after the date we receive a written request at our administrative office provided, however, that we may suspend withdrawals or delay payment more than seven days:

Ÿ during any period when the New York Stock Exchange is closed,

Ÿ when trading is restricted or the SEC determines an emergency exists, or

Ÿ as the SEC by order may permit.

Withdrawals are permitted from Contracts issued in connection with Section 403(b) Qualified Plans only under limited circumstances. (See “Federal Tax Matters.”)

A participant in the Texas Optional Retirement Program (“ORP”) must obtain a certificate of termination from the participant’s employer before a Contract can be redeemed. The Attorney General of Texas has ruled that participants in the ORP may redeem their interest in a Contract issued pursuant to the ORP only upon termination of employment in Texas public institutions of higher education, or upon retirement, death or total disability. In those states adopting similar requirements for optional retirement programs, we will follow similar procedures.

76

7. Death Benefit.

If the Annuitant dies during the Accumulation Period, prior to attaining age 75, we will pay to the designated Beneficiary the Contract Value less Debt as computed at the end of the Valuation Period next following our receipt of proof of death and the return of the Contract, or the total amount of Purchase Payments less Debt, whichever is greater. If a Contract has been subject to any partial withdrawal, the death benefit will be the greater of

Ÿ the Contract Value less Debt, or

Ÿ the total amount of Purchase Payments, minus both Debt and the aggregate dollar amount of all previous partial withdrawals.

If death occurs at age 75 or later, the death benefit is the Contract Value minus Debt.

You or the Beneficiary, as appropriate, may elect to have all or a part of the death proceeds paid to the Beneficiary under one of the Annuity Options described under “Annuity Options” below.

For Non-Qualified Contracts issued after January 19, 1985, if you are not the Annuitant and you die before the Annuitant, the death benefit will be paid to the designated Beneficiary. The available Annuity Options are limited by the Code, as described under “Annuity Options.” The death benefit is determined as stated above, except that your age at death is used in determining the amount payable. If the Beneficiary is your surviving spouse (under Federal law), the surviving spouse may elect to be treated as the successor Owner of the Contract and is not required to begin death benefit distribution. The issue age of the deceased Owner applies in computing the death benefit, payable at the death of a spouse who has elected to be treated as the successor Owner.

For Contracts issued after March 1, 1997 and before May 1, 2000 as Individual Retirement Annuities, Simplified Employee Pensions or Non-Qualified Contracts, the death benefit will be determined as follows. If death occurs prior to the deceased’s attainment of age 90, the death benefit will be the greater of:

Ÿ the total amount of Purchase Payments minus Debt minus the aggregate amount of all previous partial withdrawals,

Ÿ the Contract Value minus Debt, or

Ÿ the greatest Anniversary Value immediately preceding the date of death, minus Debt. The greatest Anniversary Value is equal to the highest Anniversary Value determined from the following. An Anniversary Value is calculated for each Contract anniversary before the deceased’s 81^st birthday. The Anniversary Value for a particular Contract anniversary is the Contract Value on that anniversary, plus the dollar amount of any Purchase Payments made since that anniversary minus any withdrawals since that anniversary. If death occurs on or after the deceased’s 90^th birthday, the death benefit will be the Contract Value minus Debt and minus previous withdrawals.

If you purchased the Contract between March 1, 1997 and May 1, 2000 as an Individual Retirement Annuity, Simplified Employee Pension or Non-Qualified Contract, the following restrictions on investment options apply. Effective May 1, 2005, the following Subaccounts will no longer be available if you have not previously invested in the Subaccount: Invesco V.I. Financial Services, Invesco V.I. Global Health Care, Credit Suisse Trust International Equity Flex III, Franklin U.S. Government, Franklin Zero Coupon Fund 2010, JPMorgan Trust International Equity, Mutual Shares Securities, Oppenheimer Capital Appreciation, Oppenheimer High Income, Oppenheimer Main Street Small Cap, Oppenheimer Small- & Mid-Cap Growth Fund/VA, DWS Technology VIP and Templeton Developing Markets Subaccounts. (See “Change of Investments.”)

Guaranteed Minimum Death Benefit Rider.

The Guaranteed Minimum Death Benefit Rider (“GMDB”) is an optional Contract rider. You must elect GMDB on the initial Contract application. You cannot elect the GMDB rider after the date we issue the Contract. We reserve the right to offer the GMDB rider to outstanding Contracts, and we may discontinue the offering of the GMDB rider at any time. GMDB coverage may not be terminated. The current charge for the GMDB rider is 0.15% of the Contract Value. The GMDB rider may not be available in all states or through all distributors.

77

If you elect the GMDB rider, a death benefit will be paid to the designated Beneficiary upon the death of the Owner, or a joint Owner, during the Accumulation Period. If the Owner is not a natural person, we will pay the death benefit upon the death of any Annuitant. We will pay the death benefit to the Beneficiary when we receive due proof of death. We will then have no further obligation under the Contract.

We compute the death benefit at the end of the Valuation Period following our receipt of due proof of death and the return of this Contract. The proof may be a certified death certificate, the written statement of a physician or any other written proof satisfactory to us. The amount of the death benefit will be equal to the greater of items (1), (2) or (3) listed below, less Debt:

(1) the Contract Value or, if greater, the amount that would have been payable in the event of a full surrender on the date of death;

(2) the total amount of Purchase Payments less withdrawals accumulated at 5.00% per year to the earlier of your 85^th birthday or date of death, increased by Purchase Payments made from your 85^th birthday to the date of death and decreased by any adjustments for withdrawals from your 85^th birthday to the date of death; or

(3) the greatest anniversary value immediately preceding the earlier of your 86^th birthday or date of death, increased by Purchase Payments made since the date of the greatest anniversary value and decreased by any adjustments for withdrawals since that date. The anniversary value equals the Contract Value on each Contract anniversary during the Accumulation Period.

An adjustment for a withdrawal is the sum of any amount available as a dollar for dollar reduction, and a proportionate reduction. The maximum dollar for dollar reduction is 5% of the Dollar for Dollar Base, less any prior dollar for dollar withdrawals in the Contract Year. The Dollar for Dollar Base is total premiums less withdrawals assessed a withdrawal charge and less any Withdrawal Charges. A proportionate reduction is applicable when the withdrawal and any Withdrawal Charges exceed the maximum dollar for dollar reduction. The proportionate reduction is the amount in (2) and/or (3), reduced by any dollar for dollar reduction, multiplied by (a) divided by (b), where:

(a) is the withdrawal plus any Withdrawal Charges reduced by any dollar for dollar reduction, and

(b) is the Contract Value reduced by any dollar for dollar reduction.

The death benefit may be paid in a lump sum. This sum may be deferred for up to five years from the date of death. Instead of a lump sum payment, the Beneficiary may elect to have the death benefit distributed as stated in Annuity Option 1 for a period not to exceed the Beneficiary’s life expectancy, or Annuity Option 2 or Annuity Option 3 with the guarantee period based upon the life expectancy of the Beneficiary as prescribed by federal regulations. The Beneficiary must make this choice within 60 days of the time we receive due proof of death, and distribution must commence within one year of the date of death. It may start later if permitted by federal regulations.

If the Beneficiary is not a natural person, the Beneficiary must elect that the entire death benefit be distributed within five years of your death.

If this Contract was issued as a Non-Qualified Plan Contract, an IRA or Roth IRA and your spouse (under Federal law) is the only primary Beneficiary when you die, your surviving spouse may elect to continue the Contract under one of three surviving spouse options.

Earnings Based Death Benefit Rider.

The Earnings Based Death Benefit rider (“EBDB”) is an optional Contract rider. The EBDB rider may be elected if the oldest Owner is 70 years old or younger at the time the Contract is issued. If you elect the EBDB rider, you must also elect the Guaranteed Minimum Death Benefit Rider (See “Guaranteed Minimum Death Benefit Rider.” above). You must elect GMDB on the initial Contract application. You cannot elect the EBDB rider after the date we issue the Contract. We reserve the right to offer the EBDB rider to outstanding Contracts, and we may discontinue the offering of the EBDB rider at any time. EBDB coverage may not be terminated. The current charge for the EBDB rider is 0.20% of the Contract Value. The EBDB rider may not be available in all states or through all distributors.

78

If elected, the death benefit will be as follows:

Ÿ the Guaranteed Minimum Death Benefit (See “Guaranteed Minimum Death Benefit Rider” above); plus

Ÿ the EBDB factor times the lesser of:

a. remaining principal, or

b. Contract Value minus remaining principal, but not less than zero.

The EBDB factor is 0.40 if death occurs prior to the 10^th Contract anniversary, 0.50 if death occurs between the 10^th and 15^th Contract anniversaries and 0.70 if death occurs on or after the 15^th Contract anniversary.

Remaining principal equals total Purchase Payments less the total principal withdrawn. The amount of total principal withdrawn is calculated by totaling the amount of principal withdrawn with each withdrawal. For any withdrawal, the amount of principal withdrawn is the amount by which the withdrawal exceeds the earnings in the Contract at the time of the withdrawal. Earnings, at any given time, is the amount by which the Contract Value exceeds the excess of total Purchase Payments over total withdrawals. Purchase Payments which we receive less than one year prior to death (other than the initial Purchase Payment) are not used in calculating the amount of remaining principal. For purposes of determining EBDB, earnings will not be less than zero.

The EBDB is calculated prior to the application of the Guaranteed Minimum Death Benefit.

8. Loans.

The Owner of a Contract issued as a tax sheltered annuity under Section 403(b) of the Internal Revenue Code (“Code”) or with a qualified plan under Code Section 401, may request a loan (if permitted by the Qualified Plan) any time during the Accumulation Period. The requirements and limitations governing the availability of loans, including the maximum amount that a participant may take as a loan, are subject to the rules in the Code, IRS regulations, and our procedures in effect at the time a loan is made. In the case of loans made under Contracts which are subject to the Employee Retirement Income Security Act of 1974 (“ERISA”), additional requirements and limitations will apply such as those under the terms of the plan, Department of Labor regulations and ERISA. Because the rules governing loans under Code Section 403(b) contracts and ERISA qualified plans are complicated, you should consult your tax adviser before exercising the loan privilege. Failure to meet the requirements for loans may result in adverse income tax consequences to you. The loan agreement you sign will describe the restrictions and limitations applicable to the loan at the time you apply. For loans subject to ERISA, you also may wish to consult your plan administrator.

Federal tax law requires loans to be repaid in a certain manner and over a certain period of time. For example, loans generally are required to be repaid within five years (except in cases where the loan was used to acquire the principal residence of the plan participant), with repayments made at least quarterly and in substantially level amortized payments over the term of the loan. Interest will be charged on your loan amount. Failure to make a loan repayment when due will result in adverse tax income tax consequences to you.

Interest will be charged on your loan amount. If your Contract is not subject to ERISA, the interest rate is 5.50%. If your Contract is subject to ERISA, the interest rate is based on Moody’s Corporate Bond Yield Average-Monthly Average Corporates (rounded to the nearest 0.25%). While a loan is outstanding, the value securing the loan will earn interest at the daily equivalent of the annual loan interest rate reduced by not more than 2.5%.

If there is an outstanding loan balance when the Contract is surrendered or annuitized, or when a death benefit is paid, the amount payable will be reduced by the amount of the loan outstanding plus accrued interest. In addition, loans, whether or not repaid, will have a permanent effect on the Contract Value because the investment results of the investment accounts will apply only to the unborrowed portion of the Contract Value. The longer a loan is unpaid, the greater the effect is likely to be. The effect could be favorable or unfavorable. If investment results are greater than the rate being credited on amounts held in your loan account while your loan is unpaid, your Contract Value will not increase as rapidly as it would have if no loan were unpaid. If investment results are below that rate, your Contract Value will be greater than it would have been had no loan been outstanding.

79

CONTRACT CHARGES AND EXPENSES

We deduct the following charges and expenses:

Ÿ mortality and expense risk charge,

Ÿ administration charge,

Ÿ records maintenance charge,

Ÿ withdrawal charge,

Ÿ premium tax, and

Ÿ optional death benefit charges,

We may receive compensation from the investment advisers of the Funds for services related to the Funds. (See “The Funds.”)

Subject to certain expense limitations, investment management fees and other Fund expenses are indirectly borne by you.

We assess each Subaccount a daily asset charge for administration and mortality and expense risks at a rate of 1.30% per annum. Flexible Payment Contracts (no longer offered) have a daily asset charge of 1.0%. We may decrease these charges without notice, but will not exceed these amounts.

A. ASSET-BASED CHARGES AGAINST THE SEPARATE ACCOUNT.

1. Mortality Risk.

Variable Annuity payments reflect the investment experience of each Subaccount but are not affected by changes in actual mortality experience or by actual expenses we incur.

Our mortality risk arises from two obligations. The first obligation we assume is to pay a guaranteed death benefit that may be greater than the Contract Value minus Debt. The second obligation we assume is to continue making annuity payments to each Annuitant for the entire life of the Annuitant under Annuity Options involving life contingencies. This assures each Annuitant that neither the Annuitant’s own longevity nor an improvement in life expectancy generally will have an adverse effect on the annuity payments received under a Contract and relieves the Annuitant from the risk of outliving the amounts accumulated for retirement.

2. Expense Risk.

We also assume the risk that all administrative expenses including Contract maintenance costs, administrative costs, data processing costs and costs of other services may exceed the Records Maintenance Charge or the amount recovered from the administrative cost portion of the daily asset charge.

3. Administration Charge.

The daily administration charge reimburses us for the expenses incurred for administering the Contracts, which include, among other things, responding to Owner inquiries, processing changes in Purchase Payment allocations and providing reports to Owners.

4. Guaranteed Minimum Death Benefit Rider Charge.

The annual charge for the Guaranteed Minimum Death Benefit rider is 0.15% of the Contract Value. For Purchase Payments allocated to the Fixed Account, the applicable credited rates will be reduced to reflect the relevant charge.

5. Earnings Based Death Benefit Rider Charge.

The annual charge for the Earnings Based Death Benefit rider is 0.20% of the Contract Value. For Purchase Payments allocated to the Fixed Account, the applicable credited rates will be reduced to reflect the relevant charge.

80

B. RECORDS MAINTENANCE CHARGE.

We assess a quarterly Records Maintenance Charge during the Accumulation Period against each Contract participating in one or more of the Subaccounts during the calendar quarter whether or not any Purchase Payments have been made during the year. The quarterly Records Maintenance Charge is:

Ÿ $7.50 quarterly for Contracts with Contract Value under $25,000 on the date of assessment.

Ÿ $3.75 quarterly for Contracts with Contract Value between $25,000 and $50,000 on the date of assessment.

Ÿ No Records Maintenance Charge for Contracts with Contract Value of $50,000 or more on the date of assessment.

The record maintenance charge is not assessed during the Annuity Period.

The Records Maintenance Charge reimburses us for expenses incurred in establishing and maintaining the records relating to a Contract’s participation in the Separate Account. The Records Maintenance Charge is assessed at the end of each calendar quarter and constitutes a reduction in the net assets of each Subaccount.

At any time the Records Maintenance Charge is assessed, the applicable charge is assessed ratably against each Subaccount in which the Contract is participating and a number of Accumulation Units sufficient to equal the proper portion of the charge is redeemed from such Subaccount, or from the General Account Contract Value if necessary to meet the assessment.

C. WITHDRAWAL CHARGE.

We do not deduct a sales charge from any Purchase Payment. However, a Withdrawal Charge covers Contract sales expenses, including commissions and other distribution, promotion and acquisition expenses.

Each Contract Year, you may withdraw, without Withdrawal Charge, 10% of the Contract Value.

If you withdraw a larger amount, the excess Purchase Payments and interest attributed to the Purchase Payments withdrawn are subject to a Withdrawal Charge. The Withdrawal Charge applies in the first six Contribution Years following each Purchase Payment as follows:

Contribution Year	Withdrawal Charge
First		6	%
Second		5	%
Third		4	%
Fourth		3	%
Fifth		2	%
Sixth		1	%
Seventh and following		0	%

Purchase Payments are deemed surrendered in the order in which they were received.

When a withdrawal is requested, you receive a check in the amount requested. If a Withdrawal Charge applies, Contract Value is reduced by the Withdrawal Charge and the dollar amount sent to you.

Because Contribution Years are based on the date each Purchase Payment is made, you may be subject to a Withdrawal Charge even though the Contract may have been issued many years earlier. (For additional details, see “Withdrawals During the Accumulation Period.”) The aggregate Withdrawal Charges assessed will never exceed 7.25% of the aggregate Purchase Payments.

Currently, we anticipate Withdrawal Charges will not fully cover distribution expenses. Unrecovered distribution expenses may be recovered from our general assets. Those assets may include proceeds from the mortality and expense risk charge.

The Withdrawal Charge also applies at annuitization to amounts attributable to Purchase Payments in their sixth Contribution Year or earlier. No Withdrawal Charge applies upon annuitization if you select

81

Annuity Options 2, 3 or 4 or if payments under Annuity Option 1 are scheduled to continue for at least five years. (See “The Annuity Period—Annuity Options” for a discussion of the Annuity Options available.)

We may reduce or eliminate the Withdrawal Charge if we anticipate that we will incur lower sales expenses or perform fewer services because of economies due to the size of a group, the average contribution per participant, or the use of mass enrollment procedures. For Qualified Contracts, Withdrawal Charges will be waived if a Contract is surrendered in the sixth Contract Year or later when the Annuitant is at least 59 ¹/2 years old at the time of such surrender. No Withdrawal Charge applies to Contracts sold to officers, directors and employees of ZALICO and DWS Variable Series II (formerly Scudder Variable Series II), DWS Variable Series II investment advisers and principal underwriter or certain affiliated companies, or to any trust, pension, profit-sharing or other benefit plan for such persons.

D. INVESTMENT MANAGEMENT FEES AND OTHER EXPENSES.

Each Portfolio’s net asset value reflects the deductions of investment management fees and certain general operating expenses. Subject to limitations, you indirectly bear these fees and expenses. Further detail is provided in the attached prospectuses for the Portfolios and the Funds’ statements of additional information.

E. STATE PREMIUM TAXES.

Certain state and local governments impose a premium tax ranging from 0% to 3.50% of Purchase Payments. If we pay state premium taxes, we may charge the amount paid against Contract Value upon annuitization if not previously assessed. (See “Appendix—State Premium Tax Chart” in the Statement of Additional Information.)

F. REDUCTION OR ELIMINATION OF CERTAIN CHARGES.

Contracts may be available for purchase in certain group or sponsored arrangements that qualify for reductions or eliminations of certain charges, the time periods in which such charges apply, or both. Group arrangements include those in which a trustee, an employer or an association purchases Contracts covering a group of individuals. Sponsored arrangements include those in which an employer or association allows us to offer Contracts to its employees or members on an individual basis.

In certain circumstances, the risk of adverse mortality and expense experience for Contracts purchased in certain group or sponsored arrangements may be reduced. Then, the daily asset charge for mortality and expense costs may likewise be reduced. The daily administration charge and the Records Maintenance Charge may also be reduced or eliminated if we anticipate lower administrative expenses. In certain other circumstances, sales expenses for Contracts purchased in certain group or sponsored arrangements may be reduced or eliminated and the applicable Withdrawal Charges may be reduced or eliminated.

In determining whether a group or sponsored arrangement qualifies for reduced or eliminated charges, we will consider among other factors:

Ÿ the size and type of group to which sales are to be made and administrative services provided, and the persistency expected from the group;

Ÿ the total amount of Purchase Payments to be received and the method in which they will be remitted;

Ÿ any prior or existing relationship with us;

Ÿ the level of commission paid to selling broker-dealers;

Ÿ the purpose for which the Contract is being purchased, and whether that purchase makes it likely that sales costs and administrative expenses will be reduced; and

Ÿ the frequency of projected surrenders or distributions.

We make any reductions or eliminations according to objective guidelines in effect when an application for a Contract is approved. We may change these guidelines from time to time. Any variation in the charges will reflect differences in costs or services and will be offered uniformly to all members of the group or

82

sponsored arrangement. In no event will a charge reduction or elimination be permitted if it is unfairly discriminatory to any person or prohibited by law.

THE ANNUITY PERIOD

Contracts may be annuitized under one of several Annuity Options. Annuity payments will begin on the Annuity Date under the Annuity Option you select.

1. Annuity Payments.

Annuity payments are based on:

Ÿ the annuity table specified in the Contract,

Ÿ the selected Annuity Option, and

Ÿ the investment performance of the selected Subaccount(s) (if variable annuitization is elected).

Under variable annuitization, the Annuitant receives the value of a fixed number of Annuity Units each month. An Annuity Unit’s value reflects the investment performance of the Subaccount(s) selected. The amount of each annuity payment varies accordingly. Annuity payments may be subject to a Withdrawal Charge. (For additional details, see “Withdrawal Charge.”)

2. Annuity Options.

You may elect one of the Annuity Options. You may decide at any time (subject to the provisions of any applicable retirement plan) to begin annuity payments. You may change an Annuity Option before the Annuity Date. For a Non-Qualified Contract, if no other Annuity Option is elected, monthly annuity payments will be made in accordance with Option 3 below with a ten (10) year period certain. For a Qualified Contract, if no other Annuity Option is elected, monthly annuity payments will be made in the form of a qualified joint and survivor annuity with a monthly income at two-thirds of the full amount payable during the lifetime of the surviving payee. Generally, annuity payments are made in monthly installments. However, we may make a lump sum payment if the net proceeds available to apply under an Annuity Option are less than $2,000. In addition, if the first monthly payment is less than $25, we may change the frequency of payments to quarterly, semiannual or annual intervals so that the initial payment is at least $25.

The amount of periodic annuity payments may depend upon:

Ÿ the Annuity Option selected;

Ÿ the age and sex of the payee; and

Ÿ the investment performance of the selected Subaccount(s) (if variable annuitization is elected).

For example:

Ÿ If Option 1, income for a specified period, is selected, shorter periods result in fewer payments with higher values.

Ÿ If Option 2, life income, is selected, it is likely that each payment will be smaller than would result if income for a short period were specified.

Ÿ If Option 3, life income with installments guaranteed, is selected, each payment will probably be smaller than would result if the life income Option were selected.

Ÿ If Option 4, the joint and survivor annuity, is selected, each payment is smaller than those measured by an individual life income option.

The age of the payee also influences the amount of periodic annuity payments because an older payee is expected to have a shorter life span, resulting in larger payments. The sex of the payee influences the amount of periodic payments. Finally, if you participate in a Subaccount with higher investment performance, it is likely the payee will receive a higher periodic payment.

83

If you die before the Annuity Date, available Annuity Options are limited. The Annuity Options available are:

Ÿ Option 2, or

Ÿ Option 1 or 3 with a specified period or certain period no longer than the life expectancy of the Beneficiary. The life expectancy of the Beneficiary must be at least five years from your death to elect these options.

The death benefit distribution must begin no later than one year from your death, unless a later date is permitted by federal regulation.

If the Beneficiary is not an individual, the entire interest must be distributed within five years of your death.

Option 1—Income for Specified Period.

Option 1 provides an annuity payable monthly for a selected number of years ranging from five to thirty. Upon the payee’s death, if the Beneficiary is an individual, we automatically continue payments to the Beneficiary for the remainder of the period specified. If the Beneficiary is not an individual (e.g., an estate or trust), we pay the discounted value of the remaining payments in the specified period. Although there is no life contingency risk associated with Option 1, we continue to deduct the daily mortality and expense risk and administration charges.

Payees may elect to cancel all or part of the remaining payments due under Option 1. We then pay the discounted value of the remaining payments.

If your Contract is a Qualified Contract, this option may not satisfy minimum required distribution rules. Consult a tax advisor before electing this option.

Option 2—Life Income.

Option 2 provides for an annuity payable monthly over the lifetime of the payee. If Option 2 is elected, annuity payments terminate automatically and immediately on the payee’s death without regard to the number or total amount of payments made. Thus, it is possible for a payee to receive only one payment if death occurred prior to the date the second payment was due.

Option 3—Life Income with Installments Guaranteed.

Option 3 provides an annuity payable monthly during the payee’s lifetime. However, Option 3 also provides for the automatic continuation of payments for the remainder of the specified period if the Beneficiary is an individual and payments have been made for less than the specified period. The period specified may be five, ten, fifteen or twenty years. If the Beneficiary is not an individual, we pay the discounted value of the remaining payments in the specified period.

Option 4—Joint and Survivor Annuity.

Option 4 provides an annuity payable monthly while both payees are living. Upon either payee’s death, the monthly income payable continues over the life of the surviving payee at a percentage specified when Option 4 is elected. Annuity payments terminate automatically and immediately upon the surviving payee’s death without regard to the number or total amount of payments received.

3. Allocation of Annuity.

You may elect to have payments made on a fixed or variable basis, or a combination of both. You may exercise the transfer privilege during the Accumulation Period to arrange for variable or fixed annuitization. Any General Account Contract Value will be annuitized on a fixed basis. Any Separate Account Contract Value will be annuitized on a variable basis. Transfers during the Annuity Period are permitted subject to certain limitations.

84

4. Transfers During the Annuity Period.

During the Annuity Period, the payee may, by written request, transfer Subaccount Value from one Subaccount to another Subaccount or to the Fixed Account, subject to the following limitations:

Ÿ Transfers among Subaccounts are prohibited during the first year of the Annuity Period; subsequent transfers are limited to one per year.

Ÿ All interest in a Subaccount must be transferred.

Ÿ If we receive notice of transfer to a Subaccount more than seven days before an annuity payment date, the transfer is effective during the Valuation Period after the date we receive the notice.

Ÿ If we receive notice of transfer to a Subaccount less than seven days before an annuity payment date, the transfer is effective during the Valuation Period after the annuity payment date.

Ÿ Transfers to the Fixed Account are available only on an anniversary of the first Annuity Date. We must receive notice at least 30 days prior to the anniversary.

A Subaccount’s Annuity Unit value is determined at the end of the Valuation Period preceding the effective date of the transfer. We may suspend, change or terminate the transfer privilege at any time.

5. Annuity Unit Value.

Annuity Unit value is determined independently for each Subaccount.

Annuity Unit value for any Valuation Period is:

Ÿ Annuity Unit value for the preceding Valuation Period, times

Ÿ the net investment factor for the current Valuation Period, times

Ÿ an interest factor which offsets the 2.5% per annum rate of investment earnings assumed by the Contract’s annuity tables.

The net investment factor for a Subaccount for any Valuation Period is:

Ÿ the Subaccount’s Accumulation Unit value at the end of the current Valuation Period, plus or minus the per share charge or credit for taxes reserved, divided by

Ÿ the Subaccount’s Accumulation Unit value at the end of the preceding Valuation Period, plus or minus the per share charge or credit for taxes reserved.

6. First Periodic Payment Under Variable Annuity.

When annuity payments begin, the value of the Contract interest is:

Ÿ Accumulation Unit values at the end of the Valuation Period falling on the 20^th or 7^th day of the month before the first annuity payment is due, times

Ÿ the number of Accumulation Units credited at the end of the Valuation Period, minus

Ÿ premium taxes and Withdrawal Charges.

The first annuity payment is determined by multiplying the benefit per $1,000 of value shown in the applicable annuity table by the number of thousands of dollars of Contract Value.

A 2.5% per annum rate of investment earnings is assumed by the Contract’s annuity tables. If the actual net investment earnings rate exceeds 2.50% per annum, payments increase accordingly. Conversely, if the actual rate is less than 2.50% per annum, annuity payments decrease.

7. Subsequent Periodic Payments Under a Variable Annuity.

Later annuity payments are determined by multiplying the number of Annuity Units by the Annuity Unit value at the Valuation Period before each annuity payment is due. The first annuity payment is divided by the

85

Annuity Unit value as of the Annuity Date to establish the number of Annuity Units representing each annuity payment. This number does not change.

8. Fixed Annuity Payments.

Each Fixed Annuity payment is determined from tables we prepare. These tables show the monthly payment for each $1,000 of Contract Value allocated to a Fixed Annuity. Payment is based on the Contract Value at the date before the annuity payment is due. Fixed Annuity payments do not change regardless of investment, mortality or expense experience.

9. Death Proceeds.

If the payee dies after the Annuity Date while the Contract is in force, the death proceeds, if any, depend upon the form of annuity payment in effect at the time of death. (See “Annuity Options.”)

86

FEDERAL TAX MATTERS

A. INTRODUCTION

This discussion is not exhaustive and is not intended as tax advice. A qualified tax adviser should always be consulted with regard to the application of the law to individual circumstances. This discussion is based on the Internal Revenue Code of 1986, as amended (the “Code”), Treasury Department regulations, and interpretations existing on the date of this Prospectus. These authorities, however, are subject to change by Congress, the Treasury Department, and the courts.

This discussion does not address any applicable state or other income tax laws, any state and local estate or inheritance tax, or other tax consequences of ownership or receipt of distribution under a Contract. In addition, we make no guarantee regarding any tax treatment—federal, state, or local—of any Contract or of any transaction involving a Contract.

B. OUR TAX STATUS

We are taxed as a life insurance company and the operations of the Separate Account are treated as a part of our total operations. The Separate Account is not separately taxed as a “regulated investment company”. Investment income and capital gains of the Separate Account are not taxed to the extent they are applied under a Contract. We do not anticipate that we will incur federal income tax liability attributable to the income and gains of the Separate Account, and therefore we do not intend to provide for these taxes. If we are taxed on investment income or capital gains of the Separate Account, then we may charge the Separate Account to pay these taxes.

In calculating our corporate income tax liability, we derive certain corporate income tax benefits associated with the investment of company assets, including separate account assets that are treated as company assets under applicable income tax law. These benefits, which reduce our overall corporate income tax liability may include dividends received deductions and foreign tax credits which can be material. We do not pass these benefits through to the separate accounts, principally because: (i) the great bulk of the benefits results from the dividends received deduction, which involves no reduction in the dollar amount of dividends that the separate account receives; and (ii) under applicable income tax law, contract owners are not the owners of the assets generating the benefits.

C. TAXATION OF ANNUITIES IN GENERAL

1. Tax Deferral During Accumulation Period

Under the Code, except as described below, increases in the Contract Value of a Non-Qualified Contract are generally not taxable to the Owner or Annuitant until received as annuity payments or otherwise distributed. However, certain requirements must be satisfied for this general rule to apply, including:

Ÿ the Contract must be owned by an individual,

Ÿ Separate Account investments must be “adequately diversified”,

Ÿ we, rather than you, must be considered the owner of Separate Account assets for federal tax purposes,

Ÿ annuity payments must appropriately amortize Purchase Payments and Contract earnings, and

Ÿ required distributions upon death.

Non-Natural Owner. As a general rule, deferred annuity contracts held by “non-natural persons”, such as corporations, trusts or similar entities, are not annuity contracts for federal income tax purposes. The investment income on these contracts is taxed each year as ordinary income received or accrued by the non-natural owner. There are exceptions to this general rule for non-natural owners. Contracts are generally treated as held by a natural person if the nominal owner is a trust or other entity holding the contract as an agent for a natural person. However, this special exception does not apply to an employer who is the nominal owner of a contract under a non-qualified deferred compensation plan for its employees.

Additional exceptions to this rule include:

Ÿ certain Contracts acquired by a decedent’s estate due to the death of the decedent,

Ÿ certain Qualified Contracts,

87

Ÿ certain Contracts used with structured settlement agreements, and

Ÿ certain Contracts purchased with a single premium when the annuity starting date is no later than one year from Contract purchase and substantially equal periodic payments are made at least annually.

Diversification Requirements. For a contract to be treated as an annuity for federal income tax purposes, separate account investments must be “adequately diversified”. The Treasury Secretary issued regulations prescribing standards for adequately diversifying separate account investments. If the Separate Account failed to comply with these diversification standards, the contract would not be treated as an annuity contract for federal income tax purposes and the owner would generally be taxed on the difference between the contract value and the purchase payments.

Although we do not control Fund investments, we expect that each Fund will comply with these regulations so that each Subaccount of the Separate Account will be considered “adequately diversified.”

Ownership Treatment. In certain circumstances, a variable annuity contract owner may be considered the owner of the assets of the separate account supporting the contract. Then, income and gains from separate account assets are includible in the owner’s gross income. The Internal Revenue Service (“IRS”), in published rulings, stated that a variable contract owner will be considered the owner of separate account assets if the owner possesses the ability to exercise investment control over the assets. There is limited guidance in this area, and some features of our Contracts, such as the flexibility of an owner to allocate premium payments and transfer amounts among the investment divisions of the separate account, have not been explicitly addressed in published rulings.

We do not know what limits may be set forth in any future guidance that the IRS may issue, or whether any such limits will apply to existing Contracts. We therefore reserve the right to modify the Contract as necessary to attempt to prevent you from being considered the owner of the Separate Account assets. However, there is no assurance that such efforts would be successful.

Required Distribution. In order to be treated as an annuity contract for federal income tax purposes, the Contract must provide that:

(a) if an Owner dies on or after the annuity starting date but prior to the time the entire interest in the Contract has been distributed, the remaining portion of such interest will be distributed at least as rapidly as under the method of distribution being used as of the date of that Owner’s death; and

(b) if an Owner dies prior to the annuity starting date, the entire interest in the Contract must be distributed within five years after the date of the Owner’s death.

The requirements of (b) above will be considered satisfied with respect to any portion of the Owner’s interest which is payable to or for the benefit of a “designated beneficiary” who is a natural person, is distributed over the life of that beneficiary or over a period not extending beyond the life expectancy of that beneficiary and such distributions begin within one year of that Owner’s death. If the Owner’s “designated beneficiary” is the surviving spouse of the Owner, however, the contract may be continued with the surviving spouse as the new Owner. The right of a spouse to continue the Contract, and all Contract provisions relating to spousal continuation are available only to a person who meets the definition of “spouse” under Federal law. The Federal Defense of Marriage Act currently does not recognize same-sex marriages or civil unions, even those which are permitted under individual state laws. Therefore the spousal continuation provisions of this Contract will not be available to such partners or same sex marriage spouses. Consult a tax advisor for more information on this subject.

Nonqualified Contracts issued after January 18, 1985 contain provisions which are intended to comply with these death distribution requirements, although no regulations interpreting these requirements have yet been issued. We intend to review such provisions and modify them if necessary to assure that they comply with these requirements when clarified by regulation or otherwise.

Delayed Annuity Dates. If the Annuity Date occurs (or is scheduled to occur) when the Annuitant has reached an advanced age, e.g., past age 85, the Contract might not be treated as an annuity for federal income tax purposes. In that event, the income and gains under the Contract would be currently includible in your income.

2. Taxation of Partial and Full Withdrawals

Partial withdrawals from a Non-Qualified Contract are includible in income to the extent the Contract Value exceeds the “investment in the contract.” This amount is referred to as the “income on the contract.”

88

Full withdrawals are also includible in income to the extent they exceed the “investment in the contract.” Investment in the contract equals the total of Purchase Payments minus any amounts previously received from the Contract that were not includible in your income. All amounts includible in income with respect to the Contract are taxed as ordinary income.

Any assignment or pledge (or agreement to assign or pledge) of Contract Value is treated as a withdrawal. Investment in the contract is increased by the amount includible in income with respect to such assignment or pledge. If you transfer a contract interest, without adequate consideration, to someone other than your spouse (or to a former spouse incident to divorce), you will be taxed on the income on the contract. In this case, the transferee’s investment in the contract is increased to reflect the increase in your income.

The Contract’s optional death benefits, if elected, may exceed Purchase Payments or Contract Value. As described in the Prospectus, we impose certain charges with respect to these death benefits. It is possible that those charges (or some portion) could be treated as a partial withdrawal.

If the Contract includes the Guaranteed Retirement Income Benefit rider (the “GRIB rider”), and the Guaranteed Retirement Income Benefit Base is greater than the Contract Value, it is possible that the income on the contract could be a greater amount than would otherwise be the case. This could result in a larger amount being included in your income in connection with a partial withdrawal, assignment, pledge or other transfer.

There may be special income tax issues present in situations where the Owner and the Annuitant are not the same person and are not married to one another. A tax adviser should be consulted in those situations.

3. Taxation of Annuity Payments

Normally, the portion of each annuity payment taxable as income equals the payment minus the exclusion amount. The exclusion amount for variable annuity payments is the “investment in the contract” allocated to the variable annuity option and adjusted for any period certain or refund feature, divided by the number of payments expected to be made. The exclusion amount for fixed annuity payments is the payment times the ratio of the investment in the contract allocated to the fixed annuity option and adjusted for any period certain or refund feature, to the expected value of the fixed annuity payments.

Once the total amount of the investment in the contract is excluded using these ratios, annuity payments will be fully taxable. If annuity payments stop because the Annuitant dies before the total amount of the investment in the contract is recovered, the unrecovered amount generally is allowed as a deduction to the annuitant in the last taxable year.

With respect to a Contract issued with the GRIB rider, the Annuitant may elect to receive a lump sum payment after the Annuity Date. In the case of a Non-Qualified Contract, the Company will treat a portion of such lump sum payment as includible in income, and will determine the taxable portion of subsequent annuity payments by applying an exclusion ratio to the periodic payments. However, the federal income tax treatment of such a lump sum payment, and of the periodic payments made thereafter, is uncertain. It is possible that the IRS could take a position that greater amounts are includible in income than the Company currently believes is the case. Prior to electing a lump sum payment after the Annuity Date, you should consult a tax adviser about the tax implications of making such an election.

4. Partial Annuitization

Under a new tax provision enacted in 2010, if part of an annuity contract’s value is applied to an annuity option that provides payments for one or more lives or for a period of at least ten years, those payments may be taxed as annuity payments instead of withdrawals. None of the payment options under the Contract is intended to qualify for this “partial annuitization” treatment and, if you apply only part of the value of the Contract to a payment option, we will treat those payments as withdrawals for tax purposes.

5. Taxation of Death Benefits

Amounts may be distributed upon your or the Annuitant’s death. Before the Annuity Date, death benefits are includible in income and:

89

Ÿ if distributed in a lump sum are taxed like a full withdrawal, or

Ÿ if distributed under an Annuity Option are taxed like annuity payments.

After the Annuity Date, where a guaranteed period exists and the Annuitant dies before the end of that period, payments made to the Beneficiary for the remainder of that period are includible in income as follows:

Ÿ if received in a lump sum are includible in income to the extent they exceed the unrecovered investment in the contract, or

Ÿ if distributed in accordance with the selected annuity option are fully excludable from income until the remaining investment in the contract is deemed to be recovered.

Thereafter, all annuity payments are fully includible in income.

6. Penalty Tax on Premature Distributions

A 10% penalty tax applies to a taxable payment from a Non-Qualified Contract unless:

Ÿ received on or after you reach age 59½,

Ÿ received due to your disability,

Ÿ made to a Beneficiary after your death or, for non-natural Owners, after the primary Annuitant’s death,

Ÿ made as a series of substantially equal periodic payments (at least annually) for your life (or life expectancy) or for the joint lives (or joint life expectancies) of you and a designated beneficiary (within the meaning of the tax law),

Ÿ made under a Contract purchased with a single premium when the annuity starting date is no later than one year from Contract purchase and substantially equal periodic payments are made at least annually, or

Ÿ made with annuities used with certain structured settlement agreements. Other exceptions may apply.

7. Aggregation of Contracts

The taxable amount of an annuity payment or withdrawal from a Non-Qualified Contract may be determined by combining some or all of the Non-Qualified Contracts you own. For example, if you purchase a Contract and also purchase an immediate annuity at approximately the same time, the IRS may treat the two contracts as one contract. In addition, if you purchase two or more deferred annuity contracts from the same company (or its affiliates) during any calendar year, these contracts are treated as one contract. The effects of this aggregation are not always clear. However, it could affect the taxable amount of an annuity payment or withdrawal and the amount which might be subject to the 10% penalty tax.

8. Assignment or Pledges

A transfer of ownership of a Non-Qualified Contract, a pledge of any interest in a Non-Qualified Contract as security for a loan, the designation of an annuitant or other payee who is not also the contract owner, or the assignment of the Non-Qualified Contract may result in taxable income. If you are contemplating such a transfer, pledge, designation or assignment, you should consult a competent tax adviser about its potential tax effects.

9. Exchange of Annuity Contracts

We may issue the Contract in exchange for all or part of another annuity contract that you own. Such an exchange will be tax free if certain requirements are satisfied. If the exchange is tax free, your investment in the Contract immediately after the exchange will generally be the same as that of the annuity contract exchanged, increased by any additional Purchase Payment made as part of the exchange. Your Contract Value immediately after the exchange may exceed your investment in the contract. That excess may be includible in income should amounts subsequently be withdrawn or distributed from the Contract (e.g. as a partial surrender, full surrender, annuity income payment, or death benefit). If you exchange part of an existing annuity contract for the Contract, the IRS might treat the two contracts as one annuity contract in certain circumstances. (See “Aggregation of Contracts.”) You should consult your tax adviser in connection with an exchange of all or part of an annuity contract for the Contract.

90

10. Loss of Interest Deduction Where Contracts Are Held by or for the Benefit of Certain Non-Natural Persons

For Contracts issued after June 8, 1997 to a non-natural owner, all or some portion of otherwise deductible interest may not be deductible by the owner. However, this interest deduction disallowance does not affect Contracts where the Owner is taxable each year on the investment income under the Contract. Entities considering purchasing the Contract, or entities that will be beneficiaries under a Contract, should consult a tax adviser.

D. QUALIFIED PLANS

The Contracts are also available for use in connection with retirement plans which receive favorable treatment under Sections 401, 403, 408, 408A or 457 of the Code (“Qualified Plans”). Such Contracts are referred to as “Qualified Contracts.” Numerous special tax rules apply to the participants in Qualified Plans and to Qualified Contracts. We make no attempt in this Prospectus to provide more than general information about use of the Contract with the various types of Qualified Plans. Persons intending to use the Contract in connection with qualified plans should consult a tax adviser.

Under the Code, qualified plans generally enjoy tax-deferred accumulation amounts invested in the plan. Therefore, in considering whether or not to purchase a Contract in a qualified plan, you should consider the Contract’s features other than tax deferral, including the availability of lifetime annuity payments and death benefit protection.

The tax rules applicable to Qualified Plans vary according to the type of plan and the terms and conditions of the plan. For example, for both withdrawals and annuity payments under certain Qualified Contracts, there may be no “investment in the contract” and the total amount received may be taxable. Also, loans from Qualified Contracts, where allowed, are subject to a variety of limitations, including restrictions as to the amount that may be borrowed, the duration of the loan, the number of allowable loans and the manner in which the loan must be repaid. (You should always consult your tax adviser and retirement plan fiduciary prior to exercising loan privileges.) Both the amount of the contribution that may be made, and the tax deduction or exclusion that you may claim for such contribution, are limited under Qualified Plans. If this Contract is used with a Qualified Plan, you and the Annuitant must be the same individual. If a joint Annuitant is named, all distributions made while the Annuitant is alive must be made to the Annuitant. Also, if a joint Annuitant is named who is not the Annuitant’s spouse, the annuity options which are available may be limited, depending on the difference in their ages. Furthermore, the length of any guarantee period may be limited in some circumstances to satisfy certain minimum distribution requirements under the Code.

Qualified Contracts are subject to special rules specifying the time at which distributions must begin and the amount that must be distributed each year. In the case of Individual Retirement Annuities, distributions of minimum amounts must generally begin by April 1 of the calendar year following the calendar year in which the owner attains age 70½, and for other Qualified Plans, the later of age 70½ or retirement. Roth IRAs, however, do not require distributions before death. An excise tax is imposed for the failure to comply with the minimum distribution requirements. This excise tax generally equals 50% of the amount by which a minimum required distribution exceeds the actual distribution. The death benefit or other optional benefit under your Contract may affect the amount of the minimum required distribution that must be taken from your Contract.

If you purchased a Qualified Contract with a GRIB rider and elect to receive a lump sum payment of a portion of the annuity income payments, it is possible that the remaining annuity income payments will not satisfy the minimum distribution requirements. You should consult a tax adviser about the implications under the minimum distribution requirements of taking a lump sum payment under the GRIB rider.

A 10% penalty tax may apply to the taxable amount of payments from Qualified Contracts. For Individual Retirement Annuities, the penalty tax does not apply, for example, to a payment:

Ÿ received after you reach age 59½,

Ÿ received after your death or because of your disability, or

Ÿ made as a series of substantially equal periodic payments (at least annually) for your life (or life expectancy) or for the joint lives (or joint life expectancies) of you and your designated beneficiary.

In addition, the penalty tax does not apply to certain distributions used for qualified first time home purchases or for higher education expenses. Special conditions must be met to qualify for these exceptions. If you wish to take a distribution for these purposes you should consult your tax adviser. Other exceptions may apply.

91

Qualified Contracts are amended to conform to plan requirements. However, you are cautioned that the rights of any person to any benefits under Qualified Plans may be subject to the terms and conditions of the plans themselves, regardless of the terms and conditions of the Contract. In addition, we are not bound by terms and conditions of Qualified Plans if they are inconsistent with the Contract.

1. Qualified Plan Types

We may issue Contracts for the following types of Qualified Plans.

Individual Retirement Annuities. The Code permits eligible individuals to contribute to an individual retirement annuity known as an “IRA.” IRAs limit the amounts contributed, the persons eligible and the time when distributions start. Also, subject to direct rollover and mandatory withholding requirements, distributions from other types of qualified plans generally may be “rolled over” on a tax-deferred basis into an IRA. The Contract may not fund a “Coverdell Education Savings Account” (formerly known as an “Education IRA”).

Simplified Employee Pensions (SEP IRAs). The Code allows employers to establish simplified employee pension plans, using the employees’ IRAs. Under these plans the employer may make limited deductible contributions on behalf of the employees to IRAs. Employers and employees intending to use the Contract in connection with these plans should consult a tax adviser.

SIMPLE IRAs. The Code permits certain small employers to establish “SIMPLE retirement accounts,” including SIMPLE IRAs, for their employees. Under SIMPLE IRAs, certain deductible contributions are made by both employees and employers. SIMPLE IRAs are subject to various requirements, including limits on the amounts that may be contributed, the persons who may be eligible, and the time when distributions may commence. Employers and employees intending to use the Contract in connection with these plans should consult a tax adviser. Subject to certain exceptions, the 10% penalty tax on premature distributions prior to age 59½ is increased to 25% if the distribution occurs within the first two years after the commencement of the employee’s participation in the plan.

Roth IRAs. The Code permits contributions to an IRA known as a “Roth IRA.” Roth IRAs differ from other IRAs in certain respects, including:

Ÿ Roth IRA contributions are never deductible,

Ÿ “qualified distributions” from a Roth IRA are excludable from income,

Ÿ mandatory distribution rules do not apply before death,

Ÿ a rollover to a Roth IRA must be a “qualified rollover contribution,” under the Code,

Ÿ special eligibility requirements apply, and

Ÿ contributions to a Roth IRA can be made after the Owner has reached age 70½.

All or part of an IRA may be converted into a Roth IRA without taking an actual distribution. You may convert by notifying the IRA issuer or trustee. A conversion typically results in the inclusion of some or all of the IRA value in gross income, except that the 10% penalty tax does not apply on the conversion.

Any “qualified distribution”, as defined in Code Section 408A, from a Roth IRA is excludible from gross income. A qualified distribution includes a distribution made after you reach age 59½, after your death, because of your disability, or made to a first-time homebuyer. A qualified distribution can only be made after the first five tax years after the year for which you (or your spouse) made a contribution to any Roth IRA established for your benefit.

Tax-Sheltered Annuities. Code Section 403(b) permits public school employees and employees of certain types of charitable, educational and scientific organizations to have their employers purchase annuity contracts for them and, subject to certain limitations, to exclude the amount of purchase payments from taxable gross income. Purchase payments may be subject to FICA (social security) tax. These annuity contracts are commonly referred to as “tax-sheltered annuities”. If you purchase a Contract for such purposes, you should seek competent advice as to eligibility, limitations on permissible amounts of purchase payments and other tax consequences associated with the Contracts. In particular, you should consider that the Contract provides optional death benefits that in certain circumstances may exceed the greater of the Purchase Payments and the Contract Value (See “8. Guaranteed Minimum Death Benefit” and “9. Earnings Based Death Benefit”). It is possible that such death benefits could be characterized as incidental death benefits. If the death benefit were

92

so characterized, this could result in currently taxable income to you. In addition, there are limitations on the amount of incidental benefits that may be provided under a tax-sheltered annuity.

Generally, a 10% penalty tax applies to distributions made before age 59½, unless certain exceptions apply. In addition, tax-sheltered annuity contracts must contain restrictions on withdrawals of:

Ÿ contributions made pursuant to a salary reduction agreement in years beginning after December 31, 1988,

Ÿ earnings on those contributions, and

Ÿ earnings after December 31, 1988 on amounts attributable to salary reduction contributions held as of December 31, 1988.

These amounts can be paid only if you have reached age 59½, severed employment, died, or becomes disabled (within the meaning of the tax law), or in the case of hardship (within the meaning of the tax law). Amounts permitted to be distributed in the event of hardship are limited to actual contributions; earnings thereon cannot be distributed on account of hardship. Amounts subject to the withdrawal restrictions applicable to Section 403(b)(7) custodial accounts may be subject to more stringent restrictions. (These limitations on withdrawals generally do not apply to the extent you direct us to transfer some or all of the Contract Value to the issuer of another tax-sheltered annuity or into a Section 403(b)(7) custodial account.)

For Contracts issued after December 31, 2008, amounts attributable to contributions other than salary reduction contributions generally may not be distributed before severance of employment or occurrence of an event specified in the employer’s Section 403(b) plan.

Pursuant to new tax regulations, we generally are required to confirm, with your 403(b) plan sponsor or otherwise, that withdrawals, transfers or surrenders you request from a 403(b) Contract comply with applicable tax requirements before we process your request. We will defer such payments you request until all information required under the tax law has been received. By requesting a surrender or transfer, you consent to the sharing of confidential information about you, the Contract, and transactions under the Contract and any other 403(b) contracts or accounts you have under the 403(b) plan among us, your employer or plan sponsor, any plan administrator or recordkeeper, and other product providers.

In light of the limitations in the new income tax regulations, the Company will require appropriate written documentation (i.e. information sharing agreements) in order to accept rollovers, transfers, or exchanges into a section 403(b) annuity contract. Before making a rollover, transfer, or exchange to another section 403(b) contract, you should consult your tax adviser about the tax consequences to you.

Deferred Compensation Plans of State and Local Governments and Tax-Exempt Organizations. The Code permits employees of state and local governments and tax-exempt organizations to defer a portion of their compensation without paying current taxes. The employees must be participants in an eligible deferred compensation plan. Generally, a Contract purchased by a state or local government or a tax-exempt organization will not be treated as an annuity contract for federal income tax purposes. Under such plans, a participant may specify the form of investment in which his or her participation will be made. Under a non-governmental plan, all such investments, however, are owned by and subject to, the claims of the general creditors of the sponsoring employer. Those who intend to use the Contracts in connection with such plans should seek competent advice.

Corporate Pension and Profit-Sharing Plans. Section 401(a) of the Code allows corporate employers to establish various types of retirement plans for employees, and self-employed individuals to establish qualified plans for themselves and their employees. Adverse tax consequences to the retirement plan, the participant or both may result if the Contract is transferred to any individual as a means to provide benefit payments, unless the plan complies with all the requirements applicable to such benefits prior to transferring the Contract.

The Contract includes optional death benefits that in some cases may exceed the greater of the Purchase Payments or the Contract Value. These death benefits could be characterized as an incidental benefit, the amount of which is limited in any pension or profit-sharing plan. Because the death benefit may exceed this limitation, and its value may need to be considered in calculating minimum required distributions, an employer using the Contract in connection with such a plan should consult its tax adviser.

93

2. Direct Rollovers

If the Contract is used with a retirement plan that is qualified under Sections 401(a), 403(a), or 403(b) of the Code or with an eligible government deferred compensation plan that is qualified under Section 457(b), any “eligible rollover distribution” from the Contract will be subject to “direct rollover” and mandatory withholding requirements. An eligible rollover distribution generally is any distribution from such a qualified retirement plan, excluding certain amounts such as:

Ÿ minimum distributions required under Section 401(a)(9) of the Code, and

Ÿ certain distributions for life, life expectancy, or for 10 years or more which are part of a “series of substantially equal periodic payments.”

Under these requirements, federal income tax equal to 20% of the taxable portion of the eligible rollover distribution will be withheld from the amount of the distribution. Unlike withholding on certain other amounts distributed from the Contract, discussed below, you cannot elect out of withholding with respect to an eligible rollover distribution. However, this 20% withholding will not apply if (i) the payee (or the payee’s spouse or former spouse as beneficiary or alternate payee) chooses a “direct rollover” from the plan to a tax qualified plan, IRA, Roth IRA or tax sheltered annuity or to a governmental 457 plan that agrees to separately account for rollover contributions; or (ii) the payee’s non-spouse beneficiary chooses a “direct rollover” from a plan to an IRA established by the direct rollover. Prior to receiving an eligible rollover distribution, a notice will be provided explaining generally the direct rollover and mandatory withholding requirements and how to avoid the 20% withholding by electing a direct rollover.

E. FEDERAL INCOME TAX WITHHOLDING

We withhold and send to the U.S. Government a part of the taxable portion of each distribution unless the payee notifies us before distribution of an available election not to have any amounts withheld. In certain circumstances, we may be required to withhold tax. The withholding rates for the taxable portion of periodic annuity payments are the same as the withholding rates for wage payments. In addition, the withholding rate for the taxable portion of non-periodic payments (including withdrawals prior to the maturity date and conversions of, or rollovers from, non-Roth IRAs to Roth IRAs) is 10%. The withholding rate for eligible rollover distributions is 20%.

F. OTHER TAX ISSUES

Federal Estate Taxes. While no attempt is being made to discuss the Federal estate tax implications of the Contract in detail, a purchaser should keep in mind that the value of an annuity contract owned by a decedent and payable to a beneficiary by virtue of surviving the decedent is included in the decedent’s gross estate. Depending on the terms of the annuity contract, the value of the annuity included in the gross estate may be the value of the lump sum payment payable to the designated beneficiary or the actuarial value of the payments to be received by the beneficiary. Consult an estate planning advisor for more information.

Generation-skipping transfer tax. Under certain circumstances, the Code may impose a “generation skipping transfer tax” when all or part of an annuity contract is transferred to, or a death benefit is paid to, an individual two or more generations younger than the Owner. Regulations issued under the Code may require us to deduct the tax from your Contract, or from any applicable payment, and pay it directly to the IRS.

Tax Relief, Unemployment Insurance Reauthorization, and Job Creation Act of 2010. The Tax Relief, Unemployment Insurance Reauthorization, and Job Creation Act of 2010 (the “2010 Act”) increases the federal estate tax exemption to $5,000,000 and reduces the federal estate tax rate to 35%; increases the Federal gift tax exemption to $5,000,000 and retains the federal gift tax rate at 35%; and increases the generation-skipping transfer (“GST”) tax exemption to $5,000,000 and reduces the GST tax rate to 35%. Commencing in 2012 , these exemption amounts will be indexed for inflation.

The estate, gift, and GST provisions of the 2010 Act are only effective until December 31, 2012, after which the provisions will sunset, and the federal estate, gift and GST taxes will return to their pre-2001 levels, resulting in significantly lower exemptions and significantly higher tax rates. Between now and the end of 2012, Congress may make these provisions of the 2010 Act permanent, or they may do nothing and allow these 2010 Act provisions to sunset, or they may alter the exemptions and/or applicable tax rates.

94

The uncertainty as to how the current law might be modified in coming years underscores the importance of seeking guidance from a qualified adviser to help ensure that your estate plan adequately addresses your needs and that of your beneficiaries under all possible scenarios.

Medicare Tax. Beginning in 2013, distributions from non-qualified annuity contracts will be considered “investment income” for purposes of the newly enacted Medicare tax on investment income. Thus, in certain circumstances, a 3.8% tax may be applied to some or all of the taxable portion of distributions (e.g. earnings) to individuals whose income exceeds certain threshold amounts ($200,000 for filing single, $250,000 for married filing jointly and $125,000 for married filing separately.) Please consult a tax advisor for more information.

Annuity purchases by residents of Puerto Rico. The Internal Revenue Service has announced that income received by residents of Puerto Rico under life insurance or annuity contracts issued by a Puerto Rico branch of a United States life insurance company is U.S.-source income that is generally subject to United States Federal income tax.

Annuity purchases by nonresident aliens and foreign corporations. The discussion above provides general information regarding U.S. federal income tax consequences to annuity purchasers that are U.S. citizens or residents. Purchasers that are not U.S. citizens or residents will generally be subject to U.S. federal withholding tax on taxable distributions from annuity contracts at a 30% rate, unless a lower treaty rate applies. In addition, purchasers may be subject to state and/or municipal taxes and taxes that may be imposed by the purchaser’s country of citizenship or residence. Prospective purchasers are advised to consult with a qualified tax adviser regarding U.S. state, and foreign taxation with respect to an annuity contract purchase.

Foreign Tax Credits. We may benefit from any foreign tax credits attributable to taxes paid by certain Funds to foreign jurisdictions to the extent permitted under Federal tax law.

Possible Tax Law Changes. Although the likelihood of legislative changes is uncertain, there is always the possibility that the tax treatment of the Contract could change by legislation or otherwise. Consult a tax adviser with respect to legislative developments and their effect on the Contract.

We have the right to modify the contract in response to legislative changes that could otherwise diminish the favorable tax treatment that annuity contract owners currently receive. We make no guarantee regarding the tax status of any contact and do not intend the above discussion as tax advice.

DISTRIBUTION OF CONTRACTS

We entered into a principal underwriting agreement with Investment Distributors, Inc. (“IDI”), 2801 Highway 280 South, Birmingham, AL 35223, for sale of the Contracts. IDI is a wholly-owed subsidiary of Protective Life Corporation. IDI is registered as a broker-dealer with the Securities and Exchange Commission and is a member of the Financial Industry Regulatory Authority (“FINRA”).

IDI entered into selling group agreements with affiliated and unaffiliated broker-dealers. All of the investment options may not be available to all Owners. The investment options are available only under Contracts that are sold or serviced by broker-dealers having a selling group agreement with IDI authorizing the sale of Contracts with the investment options specified in this Prospectus. Other distributors may sell and service contracts with different contract features, charges and investment options.

VOTING RIGHTS

Proxy materials in connection with any Fund shareholder meeting are delivered to each Owner with Subaccount interests invested in the Fund as of the record date. Proxy materials include a voting instruction form. We vote all Fund shares proportionately in accordance with instructions received from Owners. We will also vote any Fund shares attributed to amounts we have accumulated in the Subaccounts in the same proportion that Owners vote. A Fund is not required to hold annual shareholders’ meetings. Funds hold special meetings as required or deemed desirable for such purposes as electing trustees, changing fundamental policies or approving an investment advisory agreement.

95

Owners have voting rights in a Fund or Portfolio based upon the Owner’s proportionate interest in the corresponding Subaccount as measured by units. Owners have voting rights before surrender, the Annuity Date or the death of the Annuitant. Thereafter, the payee entitled to receive Variable Annuity payments has voting rights. During the Annuity Period, Annuitants’ voting rights decrease as Annuity Units decrease.

REPORTS TO CONTRACT OWNERS AND INQUIRIES

Each calendar quarter we send you a statement showing amounts credited to each Subaccount and to the Fixed Account Option. It also shows the interest rate(s) that we are crediting upon amounts held in the Fixed Account Option. In addition, if you transfer amounts among the investment options or make additional payments, you receive written confirmation of these transactions. We will also send a current statement upon your request. We also send you annual and semi-annual reports for the Funds or Portfolios that underlie the Subaccounts in which you invest and a list of the securities held by that Fund or Portfolio. Read all reports carefully. If you find any errors, please contact us promptly to correct them.

You will have access to Contract information through the Interactive Voice Response System (IVR) at (888) 477-9700. You will also be able to access your account information from the website at www.insuranceserviceonline.com.

You may direct inquiries to the selling agent or may call (800) 457-9047 or write to Insurance Services, P.O. Box 758557, Topeka, KS 66675-8557.

DOLLAR COST AVERAGING

Under our Dollar Cost Averaging program, a predesignated portion of any Subaccount or the Fixed Account is automatically transferred on a monthly, quarterly, semi-annual or annual basis for a specified duration to other Subaccounts and the Fixed Account.

The theory of a DCA program is that by investing at regular and level increments over time, you will be able to purchase more Accumulation Units when the Accumulation Unit value is relatively low and less Accumulation units when the Accumulation Unit value is relatively high. DCA generally helps reduce the risk of purchasing Accumulation Units when market prices are high and selling when market prices are low. However, participation in the DCA program does not assure you of greater profit from your purchases under the program, nor will it prevent or necessarily reduce losses in a declining market. Moreover, while we refer to this program of periodic transfers generally as Dollar Cost Averaging, periodic transfers from a Subaccount (other than a Subaccount which maintains a stable net asset value), are less likely to produce the desired effect of the DCA program and may have the effect of reducing the average price of the Subaccount shares being redeemed.

The Owner may select any day of the month except for the 29^th, 30^th or 31^st for the DCA transfers to occur. The Dollar Cost Averaging program is available only during the Accumulation Period. You may enroll any time by completing our Dollar Cost Averaging form. We must receive the enrollment form at least five business days before the transfer date.

The minimum transfer amount is $100 per Subaccount or Fixed Account. At the time Dollar Cost Averaging is elected, the total Contract Value in the Subaccount or Fixed Account from which transfers will be made must be at least equal to the amount designated to be transferred on each transfer date times the duration selected.

Dollar Cost Averaging ends if:

Ÿ the number of designated monthly transfers has been completed,

Ÿ Contract Value in the transferring account is insufficient to complete the next transfer; the remaining amount is transferred,

Ÿ we receive your written termination at least five business days before the next transfer date, or

Ÿ the Contract is surrendered or annuitized.

96

If the General Account balance is at least $10,000, you may elect automatic monthly or calendar quarter transfers of interest accrued in the General Account to one or more of the Subaccounts. Transfers are made within five business days of the end of the month or calendar quarter, as applicable. We must receive the enrollment form at least ten days before the end of the month or calendar quarter, as applicable.

SYSTEMATIC WITHDRAWAL PLAN

We offer a Systematic Withdrawal Plan (“SWP”) allowing you to preauthorize periodic withdrawals during the Accumulation Period. You instruct us to withdraw selected amounts from the Fixed Account or from any of the Subaccounts on a monthly, quarterly, semi-annual or annual basis. The SWP is available when you request a minimum $100 periodic payment. If the amounts distributed under the SWP exceed the free withdrawal amount, the Withdrawal Charge is applied on any amounts exceeding the free withdrawal amount. Withdrawals taken under the SWP may be subject to the 10% tax penalty on early withdrawals and to income taxes and withholding. If you are interested in SWP, you may obtain an application and information concerning this program and its restrictions from us or your agent. We give thirty days’ notice if we amend the SWP. The SWP may be terminated at any time by you or us.

DISCONTINUED ASSET ALLOCATION SERVICE

Effective March 31, 2008, the discretionary asset allocation service under the Managed Investment Advisory Account (“MIAA”) program provided by PMG Asset Management, Inc. (“PMG”), a registered investment adviser with the SEC, has been discontinued. After March 31, 2008, the asset allocation models available in the MIAA program are no longer updated and no additional MIAA program fees are deducted from any variable annuity contracts.

PROVISIONS OF PRIOR CONTRACTS

Certain provisions of the Contract became effective upon the later of June 1, 1993 or the date of state approval. Please consult your Contract for its specific provisions. If the provisions are not yet approved in your state, you will receive an earlier version of the Contract and the following provisions will apply:

Fixed Accumulation Options. Fixed accumulations and benefits under the prior contracts are provided in two Fixed Accumulation Options of the General Account. Any portion of the purchase payment allocated to a Fixed Accumulation Option is credited with interest daily at a rate declared by us in our sole discretion, but not less than 4%.

Transfers During The Accumulation Period. During the Accumulation Period, you may transfer the General Account II Contract value minus 125% of Debt twice during the Contract Year to one or more Subaccounts or to General Account I in the thirty day period following the anniversary of a Contract year or the thirty day period following the date of the confirmation statement provided for the period through the anniversary date, if later.

Withdrawals During The Accumulation Period. You may request a partial withdrawal subject to the following conditions:

Ÿ The amount requested must be at least $500 or your entire interest in the Subaccount, General Account I or General Account II from which withdrawal is requested.

Ÿ Your Contract interest in the Subaccount, General Account I or General Account II from which the withdrawal is requested must be at least $500 after the withdrawal is completed.

Loans. For non-ERISA loans under Section 403(b), the loan interest rate is 6%. While the loan is outstanding, the portion of the General Account Contract Value that equals the debt will earn interest at a rate 2% less than loan rate.

Records Maintenance Charge. We will assess an annual Records Maintenance Charge of $25 during the Accumulation Period against each Contract which has participated in one or more of the Subaccounts during the calendar year whether or not any purchase payments have been made during the year. The imposition of the Records Maintenance Charge will be made on December 31st of each year.

97

Annuity Unit Value and First Periodic Payment. For purposes of determining the value of an Annuity Unit and the amount of the first annuity payment, the assumed interest rate is 4%, which is also reflected in the annuity tables contained in the Contracts.

LEGAL PROCEEDINGS

There are no material legal proceedings pending to which the Separate Account, ZALICO or IDI is a party.

TABLE OF CONTENTS—STATEMENT OF ADDITIONAL INFORMATION

The Statement of Additional Information, Table of Contents is: Services to the Separate Account; State Regulation; Condensed Financial Information; Experts; Financial Statements; Report of Independent Registered Public Accounting Firm; Financial Statements of Separate Account; Report of Independent Registered Public Accounting Firm; Financial Statements of Zurich American Life Insurance Company; Appendix A State Premium Tax Chart; and Appendix B Condensed Financial Information. The Statement of Additional Information should be read in conjunction with this Prospectus.

EXPERTS

The statutory financial statements and schedules of Zurich American Life Insurance Company (the “Company”) as of December 31, 2010 and 2009 and for each of the three years ended December 31, 2010 (prepared in conformity with accounting practices prescribed or permitted by the Illinois Department of Financial and Professional Regulations—Division of Insurance) and the U.S. GAAP statement of assets, liabilities, and Contract owners’ equity of ZALICO Variable Annuity Separate Account as of December 31, 2010 and the related statement of operations for the year then ended and the statement of changes in Contract owners’ equity for each of periods presented included in the Statement of Additional Information, have been so included in reliance on the reports of PricewaterhouseCoopers LLP, an independent registered public accounting firm, given on the authority of said firm as experts in auditing and accounting.

FINANCIAL STATEMENTS

This Statement of Additional Information contains financial statements for ZALICO and the Separate Account. The financial statements of ZALICO should be considered primarily as bearing on our ability to meet our obligations under the Contract. The Contracts are not entitled to participate in our earnings, dividends or surplus. The financial statements for the Separate Account reflect assets attributable to the Contracts and also assets attributable to other variable annuity contracts offered by ZALICO through the Separate Account.

CONTRACTS ISSUED MAY 1, 2001 THROUGH FEBRUARY 18, 2002

Guaranteed Retirement Income Benefit: General

The Guaranteed Retirement Income Benefit (“GRIB”) was an optional Contract benefit available under Contracts issued on or after May 1, 2001 and before February 19, 2002. GRIB is not offered on Contracts issued on or after February 19, 2002. We reserve the right to begin offering GRIB at any time.

GRIB provides a guaranteed amount of annuity payments for the lifetime of the Annuitant or for a period certain upon annuitization as described below. GRIB may be exercised only within thirty days after a Contract anniversary after the end of your seven or ten year waiting period or after any subsequent Contract anniversary date. The waiting period may not extend beyond the Annuity Date.

If you elected the GRIB rider, the charge is 0.40% and 0.30% of the Contract Value, respectively, for the seven and ten year waiting periods. The GRIB rider charge is in addition to the Contract charges and expenses appearing in the “Summary of Expenses”. Within 30 days after the second Contract anniversary or any Contract anniversary thereafter, you are permitted to replace your existing GRIB rider with any GRIB rider, if any, then currently being offered by us. The new GRIB benefit and waiting period will begin on the day you

98

elect to replace the existing GRIB rider. You may cancel the GRIB rider at any time by written notice to us. Once cancelled, GRIB may not be elected again. Since any guaranteed benefits under GRIB will be lost, you should carefully consider your decision to cancel GRIB.

GRIB only applies to the determination of income payments upon annuitization in the circumstances described in this section of the Prospectus. It is not a guarantee of Contract Value or performance. This benefit does not enhance the amounts paid in partial withdrawals, surrenders, or death benefits. If you surrender your Contract, you will not receive any benefit under GRIB.

Annuity Payments with GRIB

Annuity payments are based on the greater of:

(1) the income provided by applying the GRIB base to the guaranteed annuity factors, or

(2) the income provided by applying the Contract Value to the current annuity factors.

The GRIB base is the greater of (1), (2) or (3) listed below, less Debt:

(1) the Contract Value or, if greater, the amount that would have been payable in the event of a full surrender on the date of death;

(2) the total amount of Purchase Payments less adjustments for withdrawals accumulated at 5.00% per year to the earlier of the original Annuitant’s 85th birthday or the GRIB exercise date, increased by Purchase Payments made from the 85th birthday to the GRIB exercise date and decreased by any adjustments for withdrawals from the 85th birthday to the GRIB exercise date; or

(3) the greatest anniversary value immediately preceding the earlier of the original Annuitant’s 86th birthday or the GRIB exercise date, increased by Purchase Payments made since the date of the greatest anniversary value and decreased by any adjustments for withdrawals since that date. The anniversary value equals the Contract Value on each Contract anniversary during the Accumulation Period.

For joint annuitants, the age of the older of the original two Annuitants will be used for purposes of (2) and (3) above.

An adjustment for a withdrawal is the sum of any amount available as a dollar for dollar reduction, and a proportionate reduction. The maximum dollar for dollar reduction is 5% of the Dollar for Dollar Base, less any prior dollar for dollar withdrawals in the Contract Year. The Dollar for Dollar Base is total premiums less withdrawals assessed a Withdrawal Charge and less any Withdrawal Charges. A proportionate reduction is applicable when the withdrawal and any Withdrawal Charges exceed the maximum dollar for dollar reduction. The proportionate reduction is the amount in (2) and/or (3) above, reduced by any dollar for dollar reduction, multiplied by (a) divided by (b), where:

(a) is the withdrawal plus any Withdrawal Charges reduced by any dollar for dollar reduction, and

(b) is the Contract Value, adjusted by any Market Value Adjustment, reduced by any dollar for dollar reduction.

The guaranteed annuity factors are based on the “1983 Table a” individual Annuity mortality table developed by the Society of Actuaries, projected using Projection Scale G, with interest at 2.5%. However, for GRIB elections, interest at 3.00% is assumed for all years. Contracts issued in the state of Montana or in connection with certain employer sponsored employee benefit plans are required to use unisex annuity factors. In such cases, the guaranteed annuity factors will be based on unisex rates.

Since GRIB is based on conservative actuarial factors, the income guaranteed may often be less than the income provided under the regular provisions of the Contract. If the regular annuitization provisions would provide a greater benefit than GRIB, the greater amount will be paid.

GRIB is paid for the life of a single Annuitant or the lifetimes of two Annuitants. If paid for the life of a single Annuitant, GRIB is paid in the amount determined above. If paid for the lifetimes of two Annuitants, GRIB is paid in the amount determined above, using the joint ages of the Annuitants.

If you elect GRIB payable for the life of a single Annuitant, we will guarantee payment for a period certain of 5, 10, 15, or 20 years. If you elect GRIB payable for the lifetimes of two Annuitants, the period certain is 25 years. The full GRIB is payable as long as at least one of the two Annuitants is alive, but for no less than 25 years.

99

When the Annuitant dies, (or in the case of joint annuitants, when both, have died) we will automatically continue any unpaid installments for the remainder of the elected period certain. However, if the Beneficiary so elects, we will pay a commuted value of the remaining payments. In determining the commuted value, the present value of the remaining payments in the period certain will be calculated based on the applicable interest rate plus an interest rate adjustment factor. The interest rate adjustment factor is equal to the following:

Number of years remaining in the period certain	Interest rate Adjustment
15 or more years		1.00	%
10 or more but less than 15 years		1.50	%
less than 10 years		2.00	%

The interest rate adjustment factor is a part of the formula we use to determine the present value of the remaining annuity payments under a period certain variable annuity option if you elect to commute such payments under GRIB. 2% is the highest percentage adjustment. The actual rate will depend on the number of years remaining in the period certain.

The amount of each payment for purposes of determining the present value of any variable installments will be determined by applying the Annuity Unit value next determined following our receipt of due proof of death.

GRIB payments are also available on a quarterly, semi-annual or annual basis. We may make other annuity options available.

Commutable Annuity Payments

Ÿ If you exercise the GRIB option, you may elect partial lump sum payments during the Annuity Period.

Ÿ Lump sum payments are available only during the period certain applicable under the payout option you elected; for example, lump sum payments can be elected only during the 5, 10, 15, 20 or 25 year certain period that applies to the payout.

Ÿ Lump sum payments are available once in each Contract Year and may not be elected until one year after you elect to exercise GRIB.

Ÿ You may elect to receive a partial lump sum payment of the present value of the remaining payments in the period certain subject to the restrictions described below. If a partial lump sum payment is elected, the remaining payments in the period certain will be reduced based on the ratio of the amount of the partial withdrawal to the amount of the present value of the remaining installments in the period certain prior to the withdrawal. If the Annuitant is still living after the period certain is over, the payee will begin receiving the original annuitization payment amount again.

Ÿ Each time that a partial lump sum payment is made, we will determine the percentage that the payment represents of the present value of the remaining installments in the period certain. For Non-Qualified Contracts, the sum of these percentages over the life of the Contract cannot exceed 75%. For Qualified Contracts, partial lump sum payments of up to 100% of the present value of the remaining installments in the period certain may be made.

Ÿ In determining the amount of the lump sum payment that is available, the present value of the remaining installments in the period certain will be calculated based on an interest rate equal to the GRIB annuity factor interest rate of 3% plus an interest rate adjustment. The interest rate adjustment is equal to the following:

Number of years remaining in the period certain	Interest rate Adjustment
15 or more years		1.00	%
10 or more but less than 15 years		1.50	%
Less than 10 years		2.00	%

The interest rate adjustment factor is a part of the formula we use to determine the present value of the remaining annuity payments under a period certain variable annuity option if you elect to commute such payments under GRIB. 2% is the highest percentage adjustment. The actual rate will depend on the number of years remaining in the period certain.

The amount of each payment for purposes of determining the present value of any variable installments will be determined by applying the Annuity Unit value next determined following our receipt of your request for commutation.

100

APPENDIX

ZURICH AMERICAN LIFE INSURANCE COMPANY DEFERRED FIXED

AND VARIABLE ANNUITY IRA, ROTH IRA AND SIMPLE IRA

DISCLOSURE STATEMENT

This Disclosure Statement describes the statutory and regulatory provisions applicable to the operation of traditional Individual Retirement Annuities (IRAs), Roth Individual Retirement Annuities (Roth IRAs) and Simple Individual Retirement Annuities (SIMPLE IRAs). Internal Revenue Service regulations require that this be given to each person desiring to establish an IRA, Roth IRA or a SIMPLE IRA. Except where otherwise indicated, IRA discussion includes Simplified Employee Pension IRAs (SEP IRA). Further information can be obtained from Zurich American Life Insurance Company and from any district office of the Internal Revenue Service. Also, see IRS Publication 590, Individual Retirement Arrangements (IRAs).

This Disclosure Statement is for your general information and is not intended to be exhaustive or conclusive, to apply to any particular person or situation, or to be used as a substitute for qualified legal or tax advice.

Please note that the information contained herein is based on current Federal income tax law, income tax regulations, and other guidance provided by the IRS. Hence, this information is subject to change upon an amendment of the law or the issuance of further regulations or other guidance. Also, you should be aware that state tax laws may differ from Federal tax laws governing such arrangements. You should consult your tax adviser about any state tax consequences of your IRA or Roth IRA, whichever is applicable.

A. REVOCATION

Within 7 days of the date you signed your enrollment application, you may revoke the Contract and receive back 100% of your money. To do so, write Insurance Services, P.O. Box 758557, Topeka KS 66675-8557, or call (800) 457-9047. Notice of revocation will be deemed mailed on the date of the postmark (or if sent by certified or registered mail, the date of the certification or registration) if it is deposited in the mail in the United States in an envelope, or other appropriate wrapper, first class postage prepaid, properly addressed.

B. STATUTORY REQUIREMENTS

This Contract is intended to meet the requirements of Section 408(b) of the Internal Revenue Code (Code), Section 408A of the Code for use as a Roth IRA, or of Section 408(p) of the Code for use as a SIMPLE IRA, whichever is applicable. The Contract has not been approved as to form for use as an IRA, Roth IRA or a SIMPLE IRA by the Internal Revenue Service. Such approval by the Internal Revenue Service is a determination only as to form of the Contract, and does not represent a determination on the merits of the Contract.

1. The amount in your IRA, Roth IRA, and SIMPLE IRA, whichever is applicable, must be fully vested at all times and the entire interest of the owner must be nonforfeitable.

2. The Contract must be nontransferable by the owner.

3. The Contract must have flexible premiums.

4. For IRAs and SIMPLE IRAs, you must start receiving distributions on or before April 1 of the year following the year in which you reach age 70 ¹/2 (the required beginning date) (see “Required Distributions”). However, Section 401(a)(9)(A) of the Code (relating to minimum distributions required to commence at age 70  ¹/2), and the incidental death benefit requirements of Section 401(a) of the Code, do not apply to Roth IRAs.

If you die on or after the date required minimum distributions under Section 401(a)(9) of the Code commence, unless otherwise permitted under applicable law, any remaining interest in the Contract must be distributed at least as rapidly as under the method of distribution being used as of the date of death. If you die

101

before required minimum distributions commence, unless otherwise permitted under applicable law, any remaining interest in the Contract must be distributed to your beneficiary by December 31 of the calendar year containing the fifth anniversary of your death; except that: (1) if the interest is payable to an individual who is your designated beneficiary (within the meaning of Section 401(a)(9) of the Code), the designated beneficiary may elect to receive the entire interest over his or her life, or over a period certain not extending beyond his or her life expectancy, commencing on or before December 31 of the calendar year immediately following the calendar year in which you die; and (2) if the sole designated beneficiary is your spouse, the Contract will be treated as his or her own IRA, or, where applicable, Roth IRA.

5. Except in the case of a rollover contribution or a direct transfer (see “Rollovers and Direct Transfers”), or a contribution made in accordance with the terms of a Simplified Employee Pension (SEP), all contributions to an IRA, Roth and SIMPLE IRA must be cash contributions which do not exceed certain limits.

6. The Contract must be for the exclusive benefit of you and your beneficiaries.

C. ROLLOVERS AND DIRECT TRANSFERS FOR IRAs AND SIMPLE IRAs

1. A rollover is a tax-free transfer from one retirement program to another that you cannot deduct on your tax return. There are two kinds of tax-free rollover payments to an IRA. In one, you transfer amounts from another IRA. With the other, you transfer amounts from a qualified plan under Section 401(a) of the Code, a qualified annuity under Section 403(a) of the Code, a tax-sheltered annuity or custodial account under Section 403(b) of the Code, or a governmental plan under Section 457(b) of the Code (collectively referred to as “qualified employee benefit plans”). Tax-free rollovers can be made from a SIMPLE IRA or to a SIMPLE Individual Retirement Account under Section 408(p) of the Code. An individual can make a tax-free rollover to an IRA from a SIMPLE IRA, or vice-versa, after a two-year period has expired since the individual first participated in a SIMPLE plan.

2. You must complete the rollover by the 60^th day after the day you receive the distribution from your IRA or other qualified employee benefit plan or SIMPLE IRA. The failure to satisfy this 60-day requirement may be waived by the Internal Revenue Service in certain circumstances.

3. A rollover distribution may be made to you only once a year. The one-year period begins on the date you receive the rollover distribution, not on the date you roll it over (reinvest it).

4. A trustee-to-trustee transfer to an IRA of funds in an IRA from one trustee or insurance company to another is not a rollover. It is a transfer that is not affected by the one-year waiting period.

5. All or a part of the premium for this Contract used as an IRA may be paid from a rollover from an IRA or qualified employee benefit plan or from a trustee-to-trustee transfer from another IRA. All or part of the premium for this Contract used as a SIMPLE IRA may be paid from a rollover from a SIMPLE Individual Retirement Account or, to the extent permitted by law, from a direct transfer from a SIMPLE IRA.

6. A distribution that is eligible for rollover treatment from a qualified employee benefit plan will be subject to twenty percent (20%) withholding by the Internal Revenue Service even if you roll the distribution over within the 60-day rollover period. One way to avoid this withholding is to make the distribution as a direct transfer to the IRA trustee or insurance company.

D. CONTRIBUTION LIMITS AND ALLOWANCE OF DEDUCTION FOR IRAs

1. In general, the amount you can contribute each year to an IRA is the lesser of (1) 100% of your compensation, or (2) the maximum annual contributions under Section 219(b) of the Code, including “catch-up” contributions for certain individuals age 50 and older. The maximum annual contribution limit for IRA contributions is equal to $4,000 for 2007 and $5,000 for 2008. After 2008, the limit is indexed annually in $500 increments, except as otherwise provided by law. An individual who has attained age 50 may make additional “catch-up” IRA contributions. The maximum annual contribution limit for the individual is increased by $1,000 for 2007 and thereafter, except as otherwise provided by law. If you have more than one IRA, the limit applies to the total contributions made to your own IRAs for the year. Generally, if you work the amount that you earn is compensation. Wages, salaries, tips, professional fees, bonuses and other amounts you receive for providing personal services are compensation. If you own and operate your own business as a

102

sole proprietor, your net earnings reduced by your deductible contributions on your behalf to self-employed retirement plans are compensation. If you are an active partner in a partnership and provide services to the partnership, your share of partnership income reduced by deductible contributions made on your behalf to qualified retirement plans is compensation. All taxable alimony and separate maintenance payments received under a decree of divorce or separate maintenance is compensation.

2. In the case of a married couple filing a joint return, up to the maximum annual contribution can be contributed to each spouse’s IRA, even if one spouse has little or no compensation. This means that the total combined contributions that can be made to both IRAs can be as much as $9,000 for 2007 ($4,000 annual contribution for each individual, plus $500 for each individual if the individual has attained age 50).

3. In the case of a married couple with unequal compensation who file a joint return, the limit on the deductible contributions to the IRA of the spouse with less compensation is the smaller of:

a. The maximum annual contribution, or

b. The total compensation of both spouses, reduced by any deduction allowed for contributions to IRAs of the spouse with more compensation.

The deduction for contributions to both spouses’ IRAs may be further limited if either spouse is covered by an employer retirement plan.

4. If either you or your spouse is an active participants in an employer-sponsored plan and have a certain level of income, the amount of the contribution to your IRA that is deductible is phased out, and in some cases eliminated. If you are an active participant in an employer-sponsored plan, the deductibility of your IRA contribution will be phased out, depending on your adjusted gross income, or combined adjusted gross income in the case of a joint tax return, as follows:

Joint Returns

Taxable year beginning in:	Phase-out range
2007 and thereafter	$	80,000–$100,000

Single Taxpayers

Taxable year beginning in:	Phase-out range
2007 and thereafter	$	50,000–$60,000

The phase-out range for married individuals filing separately is $0–$10,000. If you file a joint tax return and are not an active participant in an employer sponsored plan, but your spouse is, the amount of the deductible IRA contribution is phased out for adjusted gross income between $150,000 and $160,000.

To designate a contribution as nondeductible, you must file IRS Form 8606, Nondeductible IRAs. You may have to pay a penalty if you make nondeductible contributions to an IRA and you do not file Form 8606 with your tax return, or if you overstate the amount of nondeductible contributions on your Form 8606. If you do not report nondeductible contributions, all of the contributions to your traditional IRA will be treated as deductible, and all distributions from your IRA will be taxed, unless you can show, with satisfactory evidence, that nondeductible contributions were made.

5. Contributions to your IRA for a year can be made at any time up to April 15 of the following year. If you make the contribution between January 1 and April 15, however, you may elect to treat the contribution as made either in that year or in the preceding year. You may file a tax return claiming a deduction for your IRA contribution before the contribution is actually made. You must, however, make the contribution by the due date of your return not including extensions.

6. You cannot make a contribution other than a rollover or transfer contribution to your IRA for the year in which you reach age 70 ¹/2 or thereafter.

7. For tax years beginning before January 1, 2007, a taxpayer may qualify for a tax credit for contributions to an IRA, depending on the taxpayer’s adjusted gross income.

103

E. SEP IRAs

1. SEP IRA rules concerning eligibility and contributions are governed by Code Section 408(k). The maximum deductible contribution for a SEP IRA is the lesser of $15,000 (indexed for cost-of-living increases) or 100% of compensation.

2. A SEP must be established and maintained by an employer (corporation, partnership, sole proprietor).

F. SIMPLE IRAs

1. A SIMPLE IRA must be established with your employer using a qualified salary reduction agreement.

2. You may elect to have your employer contribute to your SIMPLE IRA, under a qualified salary reduction agreement, an amount (expressed as a percentage of your compensation) not to exceed $10,500 for 2007, indexed annually, except as otherwise provided by law. In addition to these employee elective contributions, your employer is required to make each year either (1) a matching contribution equal to up to 3 percent, and not less than 1 percent, of your SIMPLE IRA contribution for the year, or (2) a non-elective contribution equal to 2 percent of your compensation for the year (up to $200,000 of compensation, as adjusted for inflation). No other contributions may be made to a SIMPLE IRA.

3. Employee elective contributions and employer contributions (i.e., matching contributions and nonelective contributions) to your SIMPLE IRA are excluded from your gross income.

4. To the extent an individual with a SIMPLE IRA is no longer participating in a SIMPLE plan (e.g., the individual has terminated employment), and two years have passed since the individual first participated in the plan, the individual may treat the SIMPLE IRA as an IRA.

G. TAX STATUS OF THE CONTRACT AND DISTRIBUTIONS FOR IRAs AND SIMPLE IRAs

1. Earnings of your IRA annuity contract are not taxed until they are distributed to you.

2. In general, taxable distributions are included in your gross income in the year you receive them.

3. Distributions under your IRA are non-taxable to the extent they represent a return of non-deductible contributions (if any). The non-taxable percentage of a distribution is determined generally by dividing your total undistributed, non-deductible IRA contributions by the value of all your IRAs (including SEPs and rollovers).

4. You cannot choose the special five-year or ten-year averaging that may apply to lump sum distributions from qualified employer plans.

H. REQUIRED DISTRIBUTIONS FOR IRAs AND SIMPLE IRAs

You must start receiving minimum distributions required under the Contract and Section 401(a)(9) of the Code from your IRA and SIMPLE IRA starting with the year you reach age 70  ¹/2 (your 70 ¹/2 year). Ordinarily, the required minimum distribution for a particular year must be received by December 31 of that year. However, you may delay the required minimum distribution for the year you reach age 70  ¹/2 until April 1 of the following year (i.e., the required beginning date).

Annuity payments which begin by April 1 of the year following your 70 ¹/2 year satisfy the minimum distribution requirement if they provide for non-increasing payments over your life or the lives of you and your designated beneficiary (within the meaning of Section 401(a)(9) of the Code), provided that, if installments are guaranteed, the guaranty period does not exceed the applicable life or joint expectancy.

The applicable life expectancy is your remaining life expectancy or the remaining joint life and last survivor expectancy of you and your designated beneficiary, determined as set forth in applicable federal income tax regulations.

104

If you have more than one IRA, you must determine the required minimum distribution separately for each IRA; however, you can take the actual distributions of these amounts from any one or more of your IRAs.

In addition, the after-death minimum distribution requirements described generally in section B. STATUTORY REQUIREMENTS apply to IRAs and SIMPLE IRAs.

If the actual distribution from your Contract is less than the minimum amount that should be distributed in accordance with the minimum distribution requirements mentioned above, the difference generally is an excess accumulation. There is a 50% excise tax on any excess accumulations. If the excess accumulation is due to reasonable error, and you have taken (or are taking) steps to remedy the insufficient distribution, you can request that this 50% excise tax be excused by filing with your tax return an IRS Form 5329, together with a letter of explanation and the excise tax payment.

I. ROTH IRAs

1. If your Contract is a special type of individual retirement plan known as a Roth IRA, it will be administered in accordance with the requirements of section 408A of the Code. Roth IRAs are treated the same as other IRAs, except as described here.

2. If your Contract is a Roth IRA, we will send you a Roth IRA endorsement to be attached to, and to amend, your Contract. The Company reserves the right to amend the Contract as necessary or advisable from time to time to comply with future changes in the Internal Revenue Code, regulations or other requirements imposed by the IRS to obtain or maintain its approval of the annuity as a Roth IRA.

3. Earnings in your Roth IRA are not taxed until they are distributed to you, and will not be taxed if they are paid as a “qualified distribution,” as described to you in section L, below.

4. The minimum distribution requirements that apply to IRAs do not apply to Roth IRAs while the owner is alive. However, after the death of a Roth IRA owner, the after-death minimum distribution rules that apply to IRAs also apply to Roth IRAs as though the Roth IRA owner died before his or her required beginning date. You may not use your Roth IRA to satisfy minimum distribution requirements for traditional IRAs. Nor may you use distributions from an IRA for required distributions from a Roth IRA.

J. ELIGIBILITY AND CONTRIBUTIONS FOR ROTH IRAs

1. Generally, you are eligible to establish or make a contribution to your Roth IRA only if you meet certain income limits. No deduction is allowed for contributions to your Roth IRA. Contributions to your Roth IRA may be made even after you attain age 70 ¹/2.

2. The maximum aggregate amount of contributions for any taxable year to all IRAs, including all Roth IRAs, maintained for your benefit (the “contribution limit”) generally is the lesser of (1) 100% of your compensation, or (2) the maximum annual contributions under Section 219(b) of the Code, including “catch-up” contributions for certain individuals age 50 and older (as discussed in section D, above).

The contribution limit for any taxable year is reduced (but not below zero) by the amount which bears the same ratio to such amount as:

(a) the excess of (i) your adjusted gross income for the taxable year, over (ii) the “applicable dollar amount,” bears to

(b) $15,000 (or $10,000 if you are married).

For this purpose, “adjusted gross income” is determined under the Code and (1) excludes any amount included in gross income as a result of any rollover from, transfer from, or conversion of an IRA to a Roth IRA, and (2) is reduced by any deductible IRA contribution. In addition, the “applicable dollar amount” is equal to $150,000 for a married individual filing a joint return, $0 for a married individual filing a separate return, and $95,000 for any other individual.

A “qualified rollover contribution” (discussed in section K, below), and a non-taxable transfer from another Roth IRA, are not taken into account for purposes of determining the contribution limit.

105

K. ROLLOVERS, TRANSFERS AND CONVERSIONS TO ROTH IRAs

1. Rollovers and Transfers—A rollover may be made to a Roth IRA only if it is a “qualified rollover contribution.” A “qualified rollover contribution” is a rollover to a Roth IRA from another Roth IRA or from an IRA, but only if such rollover contribution also meets the rollover requirements for IRAs under Section 408(d)(3). In addition, a transfer may be made to a Roth IRA directly from another Roth IRA or from an IRA.

You may not make a qualified rollover contribution or transfer in a taxable year from an IRA to a Roth IRA if (a) your adjusted gross income for the taxable year exceeds $100,000 or (b) you are married and file a separate return.

The rollover requirements of Section 408(d)(3) are complex and should be carefully considered before you make a rollover. One of the requirements is that the amount received be paid into another IRA (or Roth IRA) within 60 days after receipt of the distribution. The failure to satisfy this 60-day requirement may be waived by the Internal Revenue Service in certain circumstances. In addition, a rollover contribution from a Roth IRA may be made by you only once a year. The one-year period begins on the date you receive the Roth IRA distribution, not on the date you roll it over (reinvest it) into another Roth IRA. If you withdraw assets from a Roth IRA, you may roll over part of the withdrawal tax free into another Roth IRA and keep the rest of it. A portion of the amount you keep may be included in your gross income.

2. Taxation of Rollovers and Transfers to Roth IRAs—A qualified rollover contribution or transfer from a Roth IRA maintained for your benefit to another Roth IRA maintained for your benefit which meets the rollover requirements for IRAs under Section 408(d)(3) is tax-free.

In the case of a qualified rollover contribution or a transfer from an IRA maintained for your benefit to a Roth IRA maintained for your benefit, any portion of the amount rolled over or transferred which would be includible in your gross income were it not part of a qualified rollover contribution or a nontaxable transfer will be includible in your gross income. However, Code Section 72(t) (relating to the 10 percent penalty tax on premature distributions) will not apply.

3. Transfers of Excess IRA Contributions to Roth IRAs—If, before the due date of your federal income tax return for any taxable year (not including extensions), you transfer, from an IRA, contributions for such taxable year (and earnings thereon) to a Roth IRA, such amounts will not be includible in gross income to the extent that no deduction was allowed with respect to such amount.

4. Taxation of Conversions of IRAs to Roth IRAs—All or part of amounts in an IRA maintained for your benefit may be converted into a Roth IRA maintained for your benefit. The conversion of an IRA to a Roth IRA is treated as special type of qualified rollover contribution. Hence, you must be eligible to make a qualified rollover contribution in order to convert an IRA to a Roth IRA. A conversion typically will result in the inclusion of some or all of your IRA’s value in gross income, as described above.

A conversion of an IRA to a Roth IRA can be made without taking an actual distribution from your IRA. For example, an individual may make a conversion by notifying the IRA issuer or trustee, whichever is applicable.

UNDER SOME CIRCUMSTANCES, IT MIGHT NOT BE ADVISABLE TO ROLLOVER, TRANSFER, OR CONVERT ALL OR PART OF AN IRA TO A ROTH IRA. WHETHER YOU SHOULD DO SO WILL DEPEND ON YOUR PARTICULAR FACTS AND CIRCUMSTANCES, INCLUDING, BUT NOT LIMITED TO, SUCH FACTORS AS WHETHER YOU QUALIFY TO MAKE SUCH A ROLLOVER, TRANSFER, OR CONVERSION, YOUR FINANCIAL SITUATION, AGE, CURRENT AND FUTURE INCOME NEEDS, YEARS TO RETIREMENT, CURRENT AND FUTURE TAX RATES, YOUR ABILITY AND DESIRE TO PAY CURRENT INCOME TAXES WITH RESPECT TO AMOUNTS ROLLED OVER, TRANSFERRED, OR CONVERTED, AND WHETHER SUCH TAXES MIGHT NEED TO BE PAID WITH WITHDRAWALS FROM YOUR ROTH IRA (SEE DISCUSSION BELOW OF “NONQUALIFIED DISTRIBUTIONS”). YOU SHOULD CONSULT A QUALIFIED TAX ADVISER BEFORE ROLLING OVER, TRANSFERRING, OR CONVERTING ALL OR PART OF AN IRA TO A ROTH IRA.

5. Separate Roth IRAs—Due to the complexity of, and proposed changes to, the tax law, it may be advantageous to maintain amounts rolled over, transferred, or converted from an IRA in separate Roth IRAs

106

from those containing regular Roth IRA contributions. For the same reason, you should consider maintaining a separate Roth IRA for each amount rolled over, transferred, or converted from an IRA. These considerations should be balanced against the additional costs you may incur from maintaining multiple Roth IRAs. You should consult your tax adviser if you intend to contribute rollover, transfer, or conversion amounts to your Contract, or if you intend to roll over or transfer amounts from your Contract to another Roth IRA maintained for your benefit.

L. INCOME TAX CONSEQUENCES OF ROTH IRAs

1. Qualified Distributions—Any “qualified distribution” from a Roth IRA is excludible from gross income. A “qualified distribution” is a payment or distribution which satisfies two requirements. First, the payment or distribution must be (a) made after you attain 59 ¹/2, (b) made after your death, (c) attributable to your being disabled, or (d) a “qualified special purpose distribution” (i.e., a qualified first-time homebuyer distribution under the Code). Second, the payment or distribution must be made in a taxable year that is at least five years after (1) the first taxable year for which a contribution was made to any Roth IRA established for you, or (2) in the case of a rollover from, or a conversion of, an IRA to a Roth IRA, the taxable year in which the rollover or conversion was made if the payment or distribution is allocable (as determined in the manner set forth in guidance issued by the IRS) to the rollover contribution or conversion (or to income allocable thereto).

2. Nonqualified Distributions—A distribution from a Roth IRA which is not a qualified distribution is taxed under Code Section 72 (relating to annuities), except that such distribution is treated as made first from contributions to the Roth IRA to the extent that such distribution, when added to all previous distributions from the Roth IRA, does not exceed the aggregate amount of contributions to the Roth IRA. For purposes of determining the amount taxed, (a) all Roth IRAs established for you will be treated as one contract, (b) all distributions during any taxable year from Roth IRAs established for you will be treated as one distribution, and (c) the value of the contract, income on the contract, and investment in the contract, if applicable, will be computed as of the close of the calendar year in which the taxable year begins.

An additional tax of 10% is imposed on nonqualified distributions (including amounts deemed distributed as the result of a prohibited loan or use of your Roth IRA as security for a loan) made before the benefited individual has attained age 59 ¹/2, unless one of the exceptions discussed in Section N applies.

M. TAX ON EXCESS CONTRIBUTIONS

1. You must pay a 6% excise tax each year on excess contributions that remain in your Contract. Generally, an excess contribution is the amount contributed to your Contract that is more than you can contribute. The excess is taxed for the year of the excess contribution and for each year after that until you correct it. If contributions to your IRA for a year are more than the contribution limit, you can apply the excess contribution in one year to a later year if the contributions for that later year are less than the maximum allowed for that year.

2. You will not have to pay the 6% excise tax if you withdraw the excess amount by the date your tax return is due including extensions for the year of the contribution. You do not have to include in your gross income an excess contribution that you withdraw from your Contract before your tax return is due if the income earned on the excess was also withdrawn and no deduction was allowed for the excess contribution. You must include in your gross income the income earned on the excess contribution.

N. TAX ON PREMATURE DISTRIBUTIONS

There is an additional tax on premature distributions from your IRA, Roth IRA, or SIMPLE IRA, equal to 10% of the taxable amount. For premature distributions from a SIMPLE IRA made within the first 2 years you participate in a SIMPLE plan, the additional tax is equal to 25% of the amount of the premature distribution that must be included in gross income. Premature distributions are generally amounts you withdraw before you are age 59  ¹/2. However, the tax on premature distributions does not apply generally:

1. To amounts that are rolled over or transferred tax free;

2. To a distribution which is made on or after your death, or on account of you being disabled within the meaning of Code Section 72(m)(7);

107

3. To a distribution which is part of a series of substantially equal periodic payments (made at least annually) over your life or your life expectancy or the joint life or joint life expectancy of you and your beneficiary; or

4. To a distribution which is used for qualified first-time homebuyer expenses, qualified higher education expenses, certain medical expenses, or by an unemployed individual to pay health insurance premiums.

O. EXCISE TAX REPORTING

Use Form 5329, Additional Taxes Attributable to Qualified Retirement Plans (Including IRAs), Annuities, and Modified Endowment Contracts, to report the excise taxes on excess contributions, premature distributions, and excess accumulations. If you do not owe any IRA, SIMPLE IRA or Roth IRA excise taxes, you do not need Form 5329. Further information can be obtained from any district office of the Internal Revenue Service.

P. BORROWING

If you borrow money against your Contract or use it as security for a loan, the Contract will lose its classification as an IRA, Roth IRA, or SIMPLE IRA, whichever is applicable, and you must include in gross income the fair market value of the Contract as of the first day of your tax year. In addition, you may be subject to the tax on premature distributions described above. (Note: This Contract does not allow borrowings against it, nor may it be assigned or pledged as collateral for a loan.)

Q. REPORTING

We will provide you with any reports required by the Internal Revenue Service.

R. ESTATE TAX

Generally, the value of your IRA, including your Roth IRA, is included in your gross estate for federal estate tax purposes.

S. FINANCIAL DISCLOSURE

1. If contributions to the Contract are made by other than rollover contributions and direct transfers, the following information based on the charts shown on the next pages, which assumes you were to make a level contribution to the fixed account at the beginning of each year of $1,000 must be completed prior to your signing the enrollment application.

End of Year	Lump Sum Termination Value of Contract*	At Age		Lump Sum Termination Value of Contract*
1			60
2			65
3			70
4
5

* Includes applicable withdrawal charges as described in Item T below.

2. If contributions to the Contract are made by rollover contributions and/or direct transfers, the following information, based on the charts shown on the next page, and all of which assumes you make one contribution to the fixed account of $1,000 at the beginning of this year, must be completed prior to your signing the enrollment application.

End of Year	Lump Sum Termination Value of Contract*	At Age		Lump Sum Termination Value of Contract*
1			60
2			65
3			70
4
5

* Includes applicable withdrawal charges as described in Item T below.

108

T. FINANCIAL DISCLOSURE FOR THE SEPARATE ACCOUNT (VARIABLE ACCOUNT)

1. We deduct a daily charge from your Separate Account Contract Value equal to 1.50%, on an annual basis, of Separate Account Contract Value. May vary if optional riders are elected.

2. A maximum annual records maintenance charge of $30.00 will be assessed ratably each quarter against the Separate Account value, if you have participated in a Subaccount during the year. If insufficient values are in the Subaccounts when the charge is assessed, the charge will be assessed against General Account value.

3. Withdrawal (early annuitization) charges will be assessed based on the years elapsed since the purchase payments (in a given contract year) were received by ZALICO; under one year, 6%; over one to two years, 5%; over two to three years, 4%; over three to four years, 3%; over four to five years, 2%; over five to six years, 1%; sixth year and thereafter, 0%.

4. The method used to compute and allocate the annual earnings is contained in the Prospectus under the heading “Accumulation Unit Value.”

5. The growth in value of your Contract is neither guaranteed nor projected but is based on the investment experience of the Separate Account.

GUARANTEED LUMP SUM TERMINATION OF DEFERRED FIXED AND VARIABLE ANNUITY COMPLETELY ALLOCATED TO THE GENERAL ACCOUNT WITH 3% GUARANTEED EACH YEAR. (TERMINATION VALUES ARE BASED ON $1,000 ANNUAL CONTRIBUTIONS AT THE BEGINNING OF EACH YEAR.)

End of Year	Termination Values*		End of Year		Termination Values*		End of Year		Termination Values*		End of Year		Termination Values*
1	$	1,000		14	$	17,371		27	$	41,703		40	$	77,436
2		2,000		15		18,929		28		43,991		41		80,796
3		3,038		16		20,534		29		46,348		42		84,256
4		4,130		17		22,187		30		48,775		43		87,821
5		5,264		18		23,889		31		51,275		44		91,492
6		6,442		19		25,643		32		53,850		45		95,274
7		7,665		20		27,449		33		56,503		46		99,169
8		8,932		21		29,309		34		59,235		47		103,181
9		10,236		22		31,225		35		62,048		48		107,313
10		11,580		23		33,199		36		64,947		49		111,569
11		12,965		24		35,232		37		67,932		50		115,953
12		14,390		25		37,326		38		71,007
13		15,859		26		39,482		39		74,174

* Includes applicable withdrawal charges.

GUARANTEED LUMP SUM TERMINATION OF DEFERRED FIXED AND VARIABLE ANNUITY COMPLETELY ALLOCATED TO THE GENERAL ACCOUNT WITH 3% GUARANTEED EACH YEAR. (TERMINATION VALUES ARE BASED ON $1,000 SINGLE PREMIUM.)

End of Year	Termination Values*		End of Year		Termination Values*		End of Year		Termination Values*		End of Year		Termination Values*
1	$	1,000		14	$	1,513		27	$	2,221		40	$	3,262
2		1,013		15		1,558		28		2,288		41		3,360
3		1,053		16		1,605		29		2,357		42		3,461
4		1,095		17		1,653		30		2,427		43		3,565
5		1,138		18		1,702		31		2,500		44		3,671
6		1,183		19		1,754		32		2,575		45		3,782
7		1,230		20		1,806		33		2,652		46		3,895
8		1,267		21		1,860		34		2,732		47		4,012
9		1,305		22		1,916		35		2,814		48		4,132
10		1,344		23		1,974		36		2,898		49		4,256
11		1,384		24		2,033		37		2,985		50		4,384
12		1,426		25		2,094		38		3,075
13		1,469		26		2,157		39		3,167

* Includes applicable withdrawal charges.

109

STATEMENT OF ADDITIONAL INFORMATION

May 1, 2011

PERIODIC PAYMENT

VARIABLE ANNUITY CONTRACTS

ZURICH ADVANTAGE III

Issued By

ZURICH AMERICAN LIFE INSURANCE COMPANY

(formerly Kemper Investors Life Insurance Company)

in Connection With

ZALICO VARIABLE ANNUITY SEPARATE ACCOUNT

(formerly KILICO Variable Annuity Separate Account)

HOME OFFICE: 1400 American Lane, Schaumburg, Illinois 60196

(847) 605-6120

This Statement of Additional Information is not a prospectus. This Statement of Additional Information should be read in conjunction with the Prospectus of the Separate Account dated May 1, 2011. The Prospectus may be obtained from Zurich American Life Insurance Company by writing to us c/o Protective Life Insurance Company at 1707 North Randall Road, Suite 310, Elgin, Illinois 60123-9409, or calling 1-888-477-9700.

TABLE OF CONTENTS

	Page
SERVICES TO THE SEPARATE ACCOUNT		2
STATE REGULATION		2
CONDENSED FINANCIAL INFORMATION		3
EXPERTS		3
FINANCIAL STATEMENTS		3
APPENDIX A STATE PREMIUM TAX CHART		A-1
APPENDIX B CONDENSED FINANCIAL INFORMATION		B-1

SERVICES TO THE SEPARATE ACCOUNT

Recordkeeper and Independent Registered Public Accounting Firm for the ZALICO Variable Annuity Separate Account

Zurich American Life Insurance Company (“ZALICO”) maintains the books and records of the ZALICO Variable Annuity Separate Account (the “Separate Account”). ZALICO holds the assets of the Separate Account. The assets are kept segregated and held separate and apart from the general funds of ZALICO. ZALICO maintains records of all purchases and redemptions of shares of each Fund by each of the Subaccounts. All expenses incurred in the operations of the Separate Account, except the charge for mortality and expense risk and administrative expenses, and records maintenance charge (as described in the Prospectus) are borne by ZALICO.

Effective September 3, 2003, ZALICO transferred certain of its business, as well as the capital stock of its wholly-owned subsidiaries, to its former affiliate, Chase Insurance Life and Annuity Company (“CILAAC”) (formerly Federal Kemper Life Assurance Company). In a contemporaneous transaction, CILAAC and ZALICO entered into a coinsurance agreement under which CILAAC administers and 100% reinsures certain lines of business currently underwritten by ZALICO, including the Contracts. The coinsurance agreement does not change ZALICO’s obligations to Contractholders under the Contracts and does not create any obligations for CILAAC to Contractholders under the Contracts.

On July 3, 2006, Protective Life Insurance Company (“Protective Life”) of Birmingham, Alabama, acquired CILAAC. Protective Life reinsured 100% of the variable annuity business of CILAAC, including the Contract and certain other registered variable annuity contracts that are funded through the Separate Account, to Commonwealth Annuity and Life Insurance Company, a subsidiary of The Goldman Sachs Group, Inc., formerly known as Allmerica Financial Life Insurance and Annuity Company. On April 1, 2007, CILAAC merged into and with Protective Life. On the date of the merger, Protective Life acquired from CILAAC all of CILAAC’s assets and became directly liable for CILAAC’s liabilities and obligations including the Contracts (underwritten by ZALICO) then outstanding. Protective Life is responsible for administration of the Contracts.

The issuer, benefits and provisions of the Contract were not changed by any of the transactions described above.

The independent registered public accounting firm for the Separate Account is PricewaterhouseCoopers LLP, New York, New York, for the year ended December 31, 2010 and 2009 and Chicago, Illinois, for the year ended December 31, 2008. PricewaterhouseCoopers LLP performed the annual audit of the financial statements of the Separate Account and ZALICO for the years ended December 31, 2010, 2009 and 2008.

The Contracts are no longer available for sale. The Contracts were sold by licensed insurance agents, where the Contracts could be lawfully sold, who are registered representatives of broker-dealers which are registered under the Securities Exchange Act of 1934 and are members of the Financial Industry Regulatory Authority (“FINRA”). The Contracts are distributed through the principal underwriter for the Separate Account, Investment Distributors, Inc (“IDI”) and formerly by Investors Brokerage Services, Inc. (“IBS”), which entered into selling group agreements with affiliated and unaffiliated broker-dealers. Subject to the provisions of the Contracts, units of the Subaccounts under the Contract are offered on a continuous basis.

ZALICO pays commissions to the selling broker-dealers, respectively, which may vary but are not anticipated to exceed in the aggregate an amount equal to (6.25%) of Purchase Payments. During 2010, 2009 and 2008, ZALICO incurred gross commissions payable of approximately $6.1, $6.2 and $3.2 million, respectively, to licensed insurance agents.

STATE REGULATION

ZALICO is subject to the laws of Illinois governing insurance companies and to regulation by the Illinois Department of Insurance. An annual statement in a prescribed form is filed with the Illinois Department of Insurance each year. ZALICO’s books and accounts are subject to review by the Department of Insurance at all times, and a full examination of its operations is conducted periodically. Such regulation does not, however, involve any supervision of management or investment practices or policies. In addition, ZALICO is subject to regulation under the insurance laws of other jurisdictions in which it may operate.

2

CONDENSED FINANCIAL INFORMATION

The tables in Appendix B list the Condensed Financial Information (the accumulation unit values for accumulation unit outstanding) for Contracts with optional benefits yielding variable account charges that fall between the highest and lowest variable account charges possible under the Contract as of December 31, 2010. Tables that represent the maximum and minimum variable account charges possible under the Contract appear in the Prospectus.

EXPERTS

The statutory financial statements and schedules of Zurich American Life Insurance Company (the “Company”) as of December 31, 2010 and 2009 and for each of the three years ended December 31, 2010 (prepared in conformity with accounting practices prescribed or permitted by the Illinois Department of Financial and Professional Regulations—Division of Insurance) and the U.S. GAAP statement of assets, liabilities, and Contract owners’ equity of ZALICO Variable Annuity Separate Account as of December 31, 2010 and the related statement of operations for the year then ended and the statement of changes in Contract owners’ equity for each of periods presented included in the Statement of Additional Information, have been so included in reliance on the reports of PricewaterhouseCoopers LLP, an independent registered public accounting firm, given on the authority of said firm as experts in auditing and accounting.

FINANCIAL STATEMENTS

This Statement of Additional Information contains financial statements for ZALICO and the Separate Account. The financial statements of ZALICO should be considered primarily as bearing on our ability to meet our obligations under the Contract. The Contracts are not entitled to participate in our earnings, dividends, or surplus. The financial statements for the Separate Account reflect assets attributable to the Contracts and also reflect assets attributable to other variable annuity contracts offered by ZALICO through the Separate Account.

3

ZALICO VARIABLE ANNUITY SEPARATE ACCOUNT

OF ZURICH AMERICAN LIFE INSURANCE COMPANY

REPORT ON AUDIT OF FINANCIAL STATEMENTS

FOR THE YEAR ENDED DECEMBER 31, 2010

ZALICO Variable Annuity Separate Account
of Zurich American Life Insurance Company

Index	Page(s)
Report of Independent Registered Public Accounting Firm		1
Statement of Assets, Liabilities and Contract Owners’ Equity, December 31, 2010	2-14
Statement of Operations for the year ended December 31, 2010	15-27
Statement of Changes in Contract Owners’ Equity for the year ended December 31, 2010	28-40
Statement of Changes in Contract Owners’ Equity for the year ended December 31, 2009	41-53
Notes to Financial Statements	54-91

[PWC Letterhead]

Report of Independent Registered Public Accounting Firm

To the Contract Owners of ZALICO Variable Annuity Separate Account
and the Board of Directors of Zurich American Life Insurance Company

In our opinion, the accompanying statement of assets, liabilities and contract owners’ equity and the related statements of operations and of changes in contract owners’ equity present fairly, in all material respects, the financial position of each of the subaccounts listed in Note 1 of the ZALICO Variable Annuity Separate Account at December 31, 2010, and the results of each of their operations and the changes in each of their contract owners’ equity for each of the periods presented, in conformity with accounting principles generally accepted in the United States of America. These financial statements are the responsibility of the management of Zurich American Life Insurance Company. Our responsibility is to express an opinion on these financial statements based on our audits. We conducted our audits of these financial statements in accordance with the standards of the Public Company Accounting Oversight Board (United States). Those standards require that we plan and perform the audit to obtain reasonable assurance about whether the financial statements are free of material misstatement. An audit includes examining, on a test basis, evidence supporting the amounts and disclosures in the financial statements, assessing the accounting principles used and significant estimates made by management, and evaluating the overall financial statement presentation. We believe that our audits, which included confirmation of fund shares owned at December 31, 2010 by correspondence with the transfer agents of the investee mutual funds, provide a reasonable basis for our opinion.

/s/ PricewaterhouseCoopers LLP

PricewaterhouseCoopers LLP

New York, New York
April 28, 2011

1

ZALICO Variable Annuity Separate Account

Statement of Assets, Liabilities and Contract Owners’ Equity
December 31, 2010

																	American Century
																	Variable Portfolios,
	Alger Portfolios																Inc.
									Alger		Alger		Alger		Alger		American
	Alger		Alger		Alger Capital		Alger Capital		Large Cap		Mid Cap		Mid Cap		Small Cap		Century VP Income
	Balanced O		Balanced S		Appreciation O		Appreciation S		Growth I-2		Growth I-2		Growth S		Growth I-2		& Growth
	Subaccount		Subaccount (a)		Subaccount		Subaccount		Subaccount		Subaccount		Subaccount		Subaccount		Subaccount
ASSETS
Investments in underlying portfolio funds, at fair value	$	42,236,701		—		54,320,980		1,536		11,341,797		13,497,680		13,164		8,563,941		10,419,584
Dividends and other receivables		—		—		—		—		—		—		—		—		—
Total assets		42,236,701		—		54,320,980		1,536		11,341,797		13,497,680		13,164		8,563,941		10,419,584
LIABILITIES AND CONTRACT OWNERS’ EQUITY
Liabilities — other payables		259		—		—		—		—		—		—		—		—
Contract owners’ equity	$	42,236,442		—		54,320,980		1,536		11,341,797		13,497,680		13,164		8,563,941		10,419,584
Accumulation period	$	42,219,613		—		54,320,978		1,536		11,324,692		13,497,680		13,164		8,549,601		10,418,866
Annuity period		16,828		—		1		—		17,105		—		—		14,339		718
Total Contract Owners’ Equity	$	42,236,442		—		54,320,980		1,536		11,341,797		13,497,680		13,164		8,563,941		10,419,584
Units Outstanding		3,448,862		—		4,577,704		83		208,811		383,795		844		172,886		1,449,828
Shares Owned in each Portfolio		3,637,959		—		1,041,430		30		259,657		1,058,642		1,067		267,206		1,722,245
Fair Value per Share	$	11.61		—		52.16		51.04		43.68		12.75		12.34		32.05		6.05

(a) Cessation of operations as of November 23, 2010, Alger Balanced Portfolio Class S. Subaccount merged with DWS Money Market VIP.

See accompanying notes to financial statements

2

ZALICO Variable Annuity Separate Account

Statement of Assets, Liabilities and Contract Owners’ Equity
December 31, 2010

											Dreyfus				The Dreyfus
	American Century						Credit Suisse				Investment				Socially Responsible
	Variable Portfolios, Inc.						Trust				Portfolios				Growth Fund, Inc.
	American		American		American		Credit Suisse		Credit Suisse		Dreyfus		Dreyfus				Dreyfus Socially
	Century VP Income		Century VP		Century VP		Trust International		Trust International		I.P. MidCap		I.P. MidCap		Dreyfus Socially		Responsible Growth
	& Growth II		Value		Value II		Equity Flex II		Equity Flex III		Stock A		Stock SC		Responsible Growth A		SC
	Subaccount		Subaccount		Subaccount		Subaccount		Subaccount		Subaccount		Subaccount		Subaccount		Subaccount
ASSETS
Investments in underlying portfolio funds, at fair value	$	8,917		20,808,685		3,919		—		43,926,844		58,739,382		2,010,062		5,724,278		2,028
Dividends and other receivables		—		—		—		—		—		—		—		—		—
Total assets		8,917		20,808,685		3,919		—		43,926,844		58,739,382		2,010,062		5,724,278		2,028
LIABILITIES AND CONTRACT OWNERS’ EQUITY
Liabilities — other payables		—		—		—		—		—		638		—		—		—
Contract owners’ equity	$	8,917		20,808,685		3,919		—		43,926,844		58,738,744		2,010,062		5,724,278		2,028
Accumulation period	$	8,917		20,765,372		3,919		—		43,907,334		58,729,730		2,010,062		5,724,278		2,028
Annuity period		—		43,313		—		—		19,510		9,014		—		—		—
Total Contract Owners’ Equity	$	8,917		20,808,685		3,919		—		43,926,844		58,738,744		2,010,062		5,724,278		2,028
Units Outstanding		693		2,020,986		272		—		2,176,109		3,677,366		126,956		507,993		160
Shares Owned in each Portfolio		1,474		3,550,970		669		—		6,685,973		4,460,090		152,740		191,447		68
Fair Value per Share	$	6.05		5.86		5.86		—		6.57		13.17		13.16		29.90		29.71

See accompanying notes to financial statements

3

ZALICO Variable Annuity Separate Account

Statement of Assets, Liabilities and Contract Owners’ Equity
December 31, 2010

	DWS
	Variable Series I
							DWS		DWS
	DWS		DWS		DWS		Global		Global		DWS		DWS		DWS		DWS
	Bond		Capital		Capital		Opportunities		Opportunities		Growth & Income		Growth & Income		Health Care		Health Care
	VIP		Growth VIP A		Growth VIP B		VIP A		VIP B		VIP A		VIP B		VIP A		VIP B
	Subaccount		Subaccount		Subaccount		Subaccount		Subaccount		Subaccount		Subaccount		Subaccount		Subaccount
ASSETS
Investments in underlying portfolio funds, at fair value	$	24,437,674		229,376,794		176,898		74,320,458		3,557		30,926,698		106,869		30,941,936		11,550
Dividends and other receivables		—		—		—		—		—		—		—		—		—
Total assets		24,437,674		229,376,794		176,898		74,320,458		3,557		30,926,698		106,869		30,941,936		11,550
LIABILITIES AND CONTRACT OWNERS’ EQUITY
Liabilities — other payables		—		6,998		—		—		—		—		—		9		—
Contract owners’ equity	$	24,437,674		229,369,796		176,898		74,320,458		3,557		30,926,698		106,869		30,941,928		11,550
Accumulation period	$	24,436,527		228,507,685		176,898		74,320,458		3,557		30,889,266		106,869		30,941,736		11,550
Annuity period		1,148		862,111		—		—		—		37,431		—		192		—
Total Contract Owners’ Equity	$	24,437,674		229,369,796		176,898		74,320,458		3,557		30,926,698		106,869		30,941,928		11,550
Units Outstanding		2,608,674		17,222,300		12,475		3,381,940		165		3,206,489		8,426		2,228,996		655
Shares Owned in each Portfolio		4,317,610		11,708,872		9,067		5,204,514		254		4,090,833		14,155		2,728,566		1,049
Fair Value per Share	$	5.66		19.59		19.51		14.28		14.03		7.56		7.55		11.34		11.01

See accompanying notes to financial statements

4

ZALICO Variable Annuity Separate Account

Statement of Assets, Liabilities and Contract Owners’ Equity

December 31, 2010

	DWS				DWS
	Variable Series I				Variable Series II
															DWS
	DWS		DWS		DWS		DWS		DWS		DWS		DWS		Diversified		DWS
	International		International		Balanced		Blue Chip		Blue Chip		Core Fixed		Davis Venture		International Equity		Dreman Small Mid
	VIP A		VIP B		VIP		VIP A		VIP B		Income VIP A		Value VIP		VIP		Cap Value VIP A
	Subaccount		Subaccount		Subaccount		Subaccount		Subaccount		Subaccount		Subaccount		Subaccount		Subaccount
ASSETS
Investments in underlying portfolio funds, at fair value	$	42,166,920		71,620		180,809,182		58,274,262		166,590		47,896,149		—		59,066,342		132,029,494
Dividends and other receivables		—		—		—		—		—		208		—		—		—
Total assets		42,166,920		71,620		180,809,182		58,274,262		166,590		47,896,356		—		59,066,342		132,029,494
LIABILITIES AND CONTRACT OWNERS’ EQUITY
Liabilities — other payables		2,253		—		1,491		2,110		—		—		—		6		1,517
Contract owners’ equity	$	42,164,667		71,620		180,807,691		58,272,151		166,590		47,896,356		—		59,066,335		132,027,978
Accumulation period	$	42,099,450		71,620		179,194,651		58,224,136		166,590		47,811,221		—		58,960,584		131,887,226
Annuity period		65,217		—		1,613,040		48,016		—		85,135		—		105,752		140,751
Total Contract Owners’ Equity	$	42,164,667		71,620		180,807,691		58,272,151		166,590		47,896,356		—		59,066,335		132,027,978
Units Outstanding		4,135,335		5,486		24,051,653		5,581,706		11,664		11,343,078		—		13,620,379		17,119,399
Shares Owned in each Portfolio		5,129,796		8,713		8,170,320		5,471,762		15,598		5,473,846		—		7,310,191		10,813,226
Fair Value per Share	$	8.22		8.22		22.13		10.65		10.68		8.75		—		8.08		12.21

See accompanying notes to financial statements

5

ZALICO Variable Annuity Separate Account

Statement of Assets, Liabilities and Contract Owners’ Equity

December 31, 2010

	DWS
	Variable Series II
							DWS		DWS
	DWS		DWS		DWS		Government &		Government &		DWS		DWS		DWS		DWS
	Dreman Small Mid		Global		Global		Agency Securities VIP		Agency Securities VIP		High Income		High Income		Janus Growth &		Large Cap
	Cap Value VIP B		Thematic VIP A		Thematic VIP B		A		B		VIP A		VIP B		Income VIP		Value VIP A
	Subaccount		Subaccount		Subaccount		Subaccount		Subaccount		Subaccount		Subaccount		Subaccount		Subaccount
ASSETS
Investments in underlying portfolio funds, at fair value	$	235,392		38,862,156		39,713		87,300,242		208,559		119,021,930		144,160		—		131,101,667
Dividends and other receivables		—		—		—		1,637		—		—		—		—		—
Total assets		235,392		38,862,156		39,713		87,301,879		208,559		119,021,930		144,160		—		131,101,667
LIABILITIES AND CONTRACT OWNERS’ EQUITY
Liabilities — other payables		—		151		—		—		—		361		—		—		8,803
Contract owners’ equity	$	235,392		38,862,005		39,713		87,301,879		208,559		119,021,569		144,160		—		131,092,864
Accumulation period	$	235,392		38,858,490		39,713		86,557,811		208,559		118,357,372		144,160		—		130,791,068
Annuity period		—		3,515		—		744,068		—		664,197		—		—		301,796
Total Contract Owners’ Equity	$	235,392		38,862,005		39,713		87,301,879		208,559		119,021,569		144,160		—		131,092,864
Units Outstanding		11,666		2,422,143		2,347		12,819,801		16,798		12,443,455		8,577		—		16,958,065
Shares Owned in each Portfolio		19,294		4,187,732		4,275		6,725,751		16,105		17,249,555		20,802		—		11,110,311
Fair Value per Share	$	12.20		9.28		9.29		12.98		12.95		6.90		6.93		—		11.80

See accompanying notes to financial statements

6

ZALICO Variable Annuity Separate Account

Statement of Assets, Liabilities and Contract Owners’ Equity

December 31, 2010

	DWS
	Variable Series II
	DWS		DWS		DWS		DWS		DWS						DWS		DWS
	Large Cap		Mid Cap		Money Market		Small Cap Growth		Strategic		DWS		DWS		Technology		Technology
	Value VIP B		Growth VIP		VIP		VIP		Income VIP		Strategic Value VIP A		Strategic Value VIP B		VIP A		VIP B
	Subaccount		Subaccount		Subaccount (b)		Subaccount		Subaccount		Subaccount		Subaccount		Subaccount		Subaccount
ASSETS
Investments in underlying portfolio funds, at fair value	$	169,630		16,831,006		94,048,655		59,138,426		44,962,277		147,904,599		152,542		46,276,132		15,771
Dividends and other receivables		—		—		—		—		—		—		—		—		—
Total assets		169,630		16,831,006		94,048,655		59,138,426		44,962,277		147,904,599		152,542		46,276,132		15,771
LIABILITIES AND CONTRACT OWNERS’ EQUITY
Liabilities — other payables		—		—		383		179		1,059		5,948		—		733		—
Contract owners’ equity	$	169,630		16,831,006		94,048,272		59,138,246		44,961,218		147,898,651		152,542		46,275,399		15,771
Accumulation period	$	169,630		16,831,006		93,804,060		59,080,550		44,863,589		147,798,304		152,542		46,259,022		15,771
Annuity period		—		—		244,211		57,696		97,629		100,347		—		16,378		—
Total Contract Owners’ Equity	$	169,630		16,831,006		94,048,272		59,138,246		44,961,218		147,898,651		152,542		46,275,399		15,771
Units Outstanding		12,864		1,555,860		20,485,047		15,249,794		2,785,117		11,960,608		13,311		7,780,964		1,125
Shares Owned in each Portfolio		14,363		1,351,888		94,048,655		4,269,922		3,759,388		18,192,448		18,717		4,222,275		1,482
Fair Value per Share	$	11.81		12.45		1.00		13.85		11.96		8.13		8.15		10.96		10.64

(b) Effective December 17, 2010, DWS Money Market VIP Subaccount merged with Franklin Zero Coupon 2010. Previous to this date effective November 23, 2010, Subaccount merged with Alger Balanced Portfolio CL S. Previous to this date effective April 23, 2010, Subaccount merged with JPMorgan Insurance Trust Balanced.

See accompanying notes to financial statements

7

ZALICO Variable Annuity Separate Account

Statement of Assets, Liabilities and Contract Owners’ Equity

December 31, 2010

	DWS		DWS				Fidelity
	Variable Series II		Investments VIT Funds				Variable Insurance Products Funds
	DWS		DWS		DWS		Fidelity		Fidelity		Fidelity		Fidelity		Fidelity		Fidelity
	Turner Mid Cap		Equity 500		Equity 500		VIP		VIP		VIP		VIP		VIP		VIP
	Growth VIP		Index VIP A		Index VIP B2		Asset Manager		Contrafund		Contrafund 2		Equity Income		Equity Income 2		Growth
	Subaccount		Subaccount		Subaccount		Subaccount		Subaccount		Subaccount		Subaccount		Subaccount		Subaccount
ASSETS
Investments in underlying portfolio funds, at fair value	$	44,025,360		76,429,234		18,235		5,278,454		70,697,782		16,836		27,267,245		5,781		25,168,154
Dividends and other receivables		—		—		—		—		—		—		—		—		—
Total assets		44,025,360		76,429,234		18,235		5,278,454		70,697,782		16,836		27,267,245		5,781		25,168,154
LIABILITIES AND CONTRACT OWNERS’ EQUITY
Liabilities — other payables		32		901		—		—		—		—		—		—		—
Contract owners’ equity	$	44,025,328		76,428,333		18,235		5,278,454		70,697,782		16,836		27,267,245		5,781		25,168,154
Accumulation period	$	44,024,765		76,412,132		18,235		5,253,419		70,541,968		16,836		27,240,328		5,781		25,144,354
Annuity period		563		16,201		—		25,035		155,814		—		26,918		—		23,800
Total Contract Owners’ Equity	$	44,025,328		76,428,333		18,235		5,278,454		70,697,782		16,836		27,267,245		5,781		25,168,154
Units Outstanding		3,490,690		7,268,242		1,799		172,024		1,687,941		985		776,241		447		497,735
Shares Owned in each Portfolio		4,496,972		5,803,283		1,387		363,030		2,960,544		717		1,433,609		308		678,570
Fair Value per Share	$	9.79		13.17		13.15		14.54		23.88		23.49		19.02		18.75		37.09

See accompanying notes to financial statements

8

ZALICO Variable Annuity Separate Account

Statement of Assets, Liabilities and Contract Owners’ Equity
December 31, 2010

																	Franklin Templeton
	Fidelity				Franklin Templeton												Variable Insurance
	Variable Insurance Products Funds				Variable Insurance Products Trust												Products Trust
	Fidelity		Fidelity		Franklin		Franklin		Franklin		Franklin		Franklin		Mutual		Mutual
	VIP		VIP		Rising Dividends		Small Cap Value		Strategic Income		U.S.		Zero Coupon		Global Discovery		Shares
	Index 500		Index 500 SC		Securities		Securities		Securities		Government		2010		Securities		Securities
	Subaccount		Subaccount		Subaccount		Subaccount		Subaccount		Subaccount		Subaccount (c)		Subaccount		Subaccount
ASSETS
Investments in underlying portfolio funds, at fair value	$	59,068,067		3,698,741		6,633,312		6,367,489		10,961,360		4,403,283		—		22,545,566		6,847,492
Dividends and other receivables		—		—		—		—		—		—		—		—		—
Total assets		59,068,067		3,698,741		6,633,312		6,367,489		10,961,360		4,403,283		—		22,545,566		6,847,492
LIABILITIES AND CONTRACT OWNERS’ EQUITY
Liabilities — other payables		—		—		—		—		—		—		—		—		—
Contract owners’ equity	$	59,068,067		3,698,741		6,633,312		6,367,489		10,961,360		4,403,283		—		22,545,566		6,847,492
Accumulation period	$	58,910,831		3,698,741		6,612,007		6,367,489		10,955,351		4,403,283		—		22,536,869		6,837,548
Annuity period		157,236		—		21,305		—		6,010		—		—		8,698		9,945
Total Contract Owners’ Equity	$	59,068,067		3,698,741		6,633,312		6,367,489		10,961,360		4,403,283		—		22,545,566		6,847,492
Units Outstanding		392,293		26,097		442,763		310,603		699,669		351,890		—		1,069,950		466,521
Shares Owned in each Portfolio		446,167		28,168		352,461		391,845		861,742		335,872		—		1,084,443		429,310
Fair Value per Share	$	132.39		131.31		18.82		16.25		12.72		13.11		—		20.79		15.95

(c) Cessation of operations as of December 17, 2010, Franklin Zero Coupon 2010. Subaccount merged with DWS Money Market VIP.

See accompanying notes to financial statements

9

ZALICO Variable Annuity Separate Account

Statement of Assets, Liabilities and Contract Owners’ Equity
December 31, 2010

	Franklin Templeton		ING		ING
	Variable Insurance		Global Resources		Investors										Janus
	Products Trust		Trust		Trust		Invesco Variable Insurance Funds (d)								Aspen Series
					ING JPMorgan		Invesco		Invesco		Invesco				Janus		Janus
	Templeton Developing		ING Global Resources		Emerging Markets		Financial Services		Global		Global		Invesco		Aspen		Aspen Enterprise -
	Markets Securities		Trust		Equity		Fund		Health Care		Real Estate		Utilities		Balanced		Institutional
	Subaccount		Subaccount		Subaccount		Subaccount (e)		Subaccount (f)		Subaccount (g)		Subaccount (h)		Subaccount		Subaccount
ASSETS
Investments in underlying portfolio funds, at fair value	$	8,701,033		10,788,423		10,799,911		945,252		1,574,995		6,789,957		19,943,471		76,092,291		47,048,479
Dividends and other receivables		—		—		—		—		—		—		—		—		—
Total assets		8,701,033		10,788,423		10,799,911		945,252		1,574,995		6,789,957		19,943,471		76,092,291		47,048,479
LIABILITIES AND CONTRACT OWNERS’ EQUITY
Liabilities — other payables		—		—		—		—		—		—		633		—		—
Contract owners’ equity	$	8,701,033		10,788,423		10,799,911		945,252		1,574,995		6,789,957		19,942,838		76,092,291		47,048,479
Accumulation period	$	8,616,972		10,783,429		10,687,499		945,252		1,574,995		6,789,014		19,931,687		75,547,713		47,002,747
Annuity period		84,061		4,994		112,412		—		—		943		11,151		544,579		45,732
Total Contract Owners’ Equity	$	8,701,033		10,788,423		10,799,911		945,252		1,574,995		6,789,957		19,942,838		76,092,291		47,048,479
Units Outstanding		262,452		797,856		410,250		142,544		111,169		316,699		1,823,497		1,801,300		1,178,022
Shares Owned in each Portfolio		770,003		501,787		471,200		168,194		94,255		499,997		1,341,188		2,688,774		1,215,095
Fair Value per Share	$	11.30		21.50		22.92		5.62		16.71		13.58		14.87		28.30		38.72

(d)	Effective April 30, 2010, the AIM Variable Insurance Funds name changed to Invesco Variable Insurance Funds.
(e)	Effective April 30, 2010, name changed from AIM V.I. Financial Services Subaccount.
(f)	Effective April 30, 2010, name changed from AIM V.I. Global Health Care Subaccount.
(g)	Effective April 30, 2010, name changed from AIM V.I. Global Real Estate Subaccount.
(h)	Effective April 30, 2010, name changed from AIM V.I. Utilities Subaccount.

See accompanying notes to financial statements

10

ZALICO Variable Annuity Separate Account

Statement of Assets, Liabilities and Contract Owners’ Equity

December 31, 2010

	Janus												JPMorgan
	Aspen Series												Insurance Trust
	Janus		Janus		Janus				Janus		Janus		JPMorgan		JPMorgan		JPMorgan
	Aspen		Aspen Janus -		Aspen Perkins		Janus Aspen Perkins		Aspen Worldwide		Aspen Worldwide -		Insurance Trust		Insurance Trust		Insurance Trust
	Forty		Institutional		Mid Cap Value		Small Company Value		Institutional		Service		Balanced		Core Bond		Equity Index
	Subaccount		Subaccount		Subaccount		Subaccount		Subaccount		Subaccount		Subaccount (i)		Subaccount		Subaccount
ASSETS
Investments in underlying portfolio funds, at fair value	$	1,205,840		28,348,659		5,063,419		—		47,841,928		3		—		1,683,174		349,960
Dividends and other receivables		—		—		—		—		—		—		—		—		—
Total assets		1,205,840		28,348,659		5,063,419		—		47,841,928		3		—		1,683,174		349,960
LIABILITIES AND CONTRACT OWNERS’ EQUITY
Liabilities — other payables		—		—		—		—		—		—		—		—		—
Contract owners’ equity	$	1,205,840		28,348,659		5,063,419		—		47,841,928		3		—		1,683,174		349,960
Accumulation period	$	1,205,840		28,252,323		5,063,419		—		47,750,093		3		—		1,683,174		349,960
Annuity period		—		96,336		—		—		91,836		—		—		—		—
Total Contract Owners’ Equity	$	1,205,840		28,348,659		5,063,419		—		47,841,928		3		—		1,683,174		349,960
Units Outstanding		91,164		1,086,131		234,843		—		1,485,843		—		—		130,762		29,833
Shares Owned in each Portfolio		33,739		1,168,535		321,691		—		1,587,850		—		—		145,856		32,018
Fair Value per Share	$	35.74		24.26		15.74		—		30.13		—		—		11.54		10.93

(i) Cessation of operations as of April 23, 2010, JPMorgan Insurance Trust Balanced. Subaccount merged with DWS Money Market VIP.

See accompanying notes to financial statements

11

ZALICO Variable Annuity Separate Account

Statement of Assets, Liabilities and Contract Owners’ Equity
December 31, 2010

									JPMorgan
	Insurance Trust
	JPMorgan		JPMorgan		JPMorgan		JPMorgan		JPMorgan Insurance		JPMorgan		JPMorgan				JPMorgan
	Insurance Trust		Insurance Trust		Insurance Trust		Insurance Trust		Trust Mid Cap		Insurance Trust		Insurance Trust Small		JPMorgan Insurance		International
	Government Bond		International Equity		Intrepid Growth		Intrepid Mid Cap		Growth		Mid Cap Value		Cap Core		Trust U.S. Equity		Equity
	Subaccount		Subaccount		Subaccount		Subaccount		Subaccount (j)		Subaccount		Subaccount		Subaccount		Subaccount
ASSETS
Investments in underlying portfolio funds, at fair value	$	—		10,247,276		2,111		3,318,820		997,218		7,869,056		4,797,348		439,475		—
Dividends and other receivables		—		—		—		—		—		—		—		—		—
Total assets		—		10,247,276		2,111		3,318,820		997,218		7,869,056		4,797,348		439,475		—
LIABILITIES AND CONTRACT OWNERS’ EQUITY
Liabilities — other payables		—		—		—		—		—		—		—		—		—
Contract owners’ equity	$	—		10,247,276		2,111		3,318,820		997,218		7,869,056		4,797,348		439,475		—
Accumulation period	$	—		10,247,276		2,111		3,318,820		997,218		7,869,055		4,786,222		439,475		—
Annuity period		—		—		—		—		—		1		11,126		—		—
Total Contract Owners’ Equity	$	—		10,247,276		2,111		3,318,820		997,218		7,869,056		4,797,348		439,475		—
Units Outstanding		—		574,058		185		230,250		65,505		559,958		250,165		33,881		—
Shares Owned in each Portfolio		—		1,004,635		140		212,472		58,972		1,157,214		320,893		28,010		—
Fair Value per Share	$	—		10.20		15.11		15.62		16.91		6.80		14.95		15.69		—

(j) Effective December 17, 2010, name changed from JPMorgan Insurance Trust Diversified Mid Cap Growth Subaccount.

See accompanying notes to financial statements

12

ZALICO Variable Annuity Separate Account

Statement of Assets, Liabilities and Contract Owners’ Equity
December 31, 2010

																		Oppenheimer
			JPMorgan							Oppenheimer								Variable Account
		Series Trust II				Variable Account Funds												Funds
										Oppenheimer								Oppenheimer
	JPMorgan			JPMorgan		Oppenheimer		Oppenheimer		Global Strategic		Oppenheimer		Oppenheimer		Oppenheimer		Small-MidCap
	MidCap			Small		Capital		Global		Income Fund		High		Main		Main Street		Growth
	Value			Company		Appreciation		Securities		VA Service		Income		Street		Small Cap		Fund VA Series
	Subaccount			Subaccount		Subaccount		Subaccount		Subaccount (k)		Subaccount		Subaccount		Subaccount		Subaccount (l)
ASSETS
Investments in underlying portfolio funds, at fair value	$	—			—		2,383,137		27,102,578		10,061,327		736,349		5,702,698		7,722,501		685,951
Dividends and other receivables		—			—		—		—		—		—		—		—		—
Total assets		—			—		2,383,137		27,102,578		10,061,327		736,349		5,702,698		7,722,501		685,951
LIABILITIES AND CONTRACT OWNERS’ EQUITY
Liabilities — other payables		—			—		—		—		—		—		—		—		—
Contract owners’ equity	$	—			—		2,383,137		27,102,578		10,061,327		736,349		5,702,698		7,722,501		685,951
Accumulation period	$	—			—		2,382,999		27,097,429		10,061,327		736,349		5,702,698		7,722,501		685,951
Annuity period		—			—		138		5,150		—		—		—		1		—
Total Contract Owners’ Equity	$	—			—		2,383,137		27,102,578		10,061,327		736,349		5,702,698		7,722,501		685,951
Units Outstanding		—			—		181,049		1,297,530		673,633		196,373		413,223		401,412		50,367
Shares Owned in each Portfolio		—			—		59,593		902,216		1,771,360		344,088		275,360		441,286		15,089
Fair Value per Share	$	—			—		39.99		30.04		5.68		2.14		20.71		17.50		45.46

(k)	Effective April 30, 2010, name changed from Oppenheimer Strategic Bond Subaccount.
(l)	Effective April 30, 2010, name changed from Oppenheimer Mid Cap Subaccount.

See accompanying notes to financial statements

13

ZALICO Variable Annuity Separate Account

Statement of Assets, Liabilities and Contract Owners’ Equity
December 31, 2010

	PIMCO
	Variable Insurance Trust
	PIMCO		PIMCO
	Foreign		Low
	Bond		Duration
	Subaccount		Subaccount
ASSETS
Investments in underlying portfolio funds, at fair value	$	125,192		138,146
Dividends and other receivables		—		—
Total assets		125,192		138,146
LIABILITIES AND CONTRACT OWNERS’ EQUITY
Liabilities — other payables		—		—
Contract owners’ equity	$	125,192		138,146
Accumulation period	$	125,192		138,146
Annuity period		—		—
Total Contract Owners’ Equity	$	125,192		138,146
Units Outstanding		8,032		9,216
Shares Owned in each Portfolio		12,544		13,232
Fair Value per Share	$	9.98		10.44

See accompanying notes to financial statements

14

ZALICO Variable Annuity Separate Account
Statement of Operations
For the year ended December 31, 2010

																									American Century
																									Variable Portfolios,
	Alger Portfolios																								Inc.
													Alger			Alger			Alger			Alger			American
	Alger			Alger			Alger Capital			Alger Capital			Large Cap			Mid Cap			Mid Cap			Small Cap			Century VP Income
	Balanced O			Balanced S			Appreciation O			Appreciation S			Growth I-2			Growth I-2			Growth S			Growth I-2			& Growth
	Subaccount			Subaccount (a)			Subaccount			Subaccount			Subaccount			Subaccount			Subaccount			Subaccount			Subaccount
REVENUE
Dividend income	$	1,091,193			998			203,633			3			83,612			—			—			—			154,219
EXPENSES
Mortality and expense risk charges		615,258			793			731,563			79			155,437			176,869			226			109,956			142,474
Net investment income (loss)	$	475,936			205			(527,929	)		(76	)		(71,825	)		(176,869	)		(226	)		(109,956	)		11,746
NET REALIZED AND UNREALIZED GAIN (LOSS) ON INVESTMENTS
Net realized gain (loss) on sale of investments	$	(1,543,441	)		2,020			1,878,448			728			352,718			(2,101,827	)		(34	)		591,375			(825,175	)
Capital gain distributions		—			—			—			—			—			—			—			—			—
Net realized gain (loss) on investments		(1,543,441	)		2,020			1,878,448			728			352,718			(2,101,827	)		(34	)		591,375			(825,175	)
Change in unrealized appreciation (depreciation) of investments		4,655,964			(1,886	)		4,564,542			247			947,407			4,350,810			2,134			1,251,931			1,998,524
Net realized and unrealized gain (loss) on investments	$	3,112,523			133			6,442,990			976			1,300,125			2,248,983			2,101			1,843,306			1,173,348
Net Increase (Decrease) in Contract Owners’ Equity Resulting from Operations	$	3,588,459			338			5,915,061			900			1,228,301			2,072,114			1,875			1,733,350			1,185,094

(a) Cessation of operations as of November 23, 2010, Alger Balanced Portfolio Class S. Subaccount merged with DWS Money Market VIP.

See accompanying notes to financial statements

15

ZALICO Variable Annuity Separate Account
Statement of Operations
For the year ended December 31, 2010

															Dreyfus						The Dreyfus
	American Century									Credit Suisse					Investment						Socially Responsible
	Variable Portfolios, Inc.									Trust					Portfolios						Growth Fund, Inc.
	American			American			American			Credit Suisse		Credit Suisse			Dreyfus			Dreyfus						Dreyfus Socially
	Century VP Income			Century VP			Century VP			Trust International		Trust International			I.P. MidCap			I.P. MidCap			Dreyfus Socially			Responsible Growth
	& Growth II			Value			Value II			Equity Flex II		Equity Flex III			Stock A			Stock SC			Responsible Growth A			SC
	Subaccount			Subaccount			Subaccount			Subaccount		Subaccount			Subaccount			Subaccount			Subaccount			Subaccount
REVENUE
Dividend income	$	103			436,378			74			—		41,653			519,758			13,357			48,548			11
EXPENSES
Mortality and expense risk charges		137			237,980			60			—		610,835			752,080			24,770			78,684			32
Net investment income (loss)	$	(33	)		198,398			14			—		(569,182	)		(232,322	)		(11,413	)		(30,136	)		(21	)
NET REALIZED AND UNREALIZED GAIN (LOSS) ON INVESTMENTS
Net realized gain (loss) on sale of investments	$	13			(4,889,898	)		(24	)		—		(843,827	)		(5,007,041	)		(311,940	)		123,633			2
Capital gain distributions		—			—			—			—		—			—			—			—			—
Net realized gain (loss) on investments		13			(4,889,898	)		(24	)		—		(843,827	)		(5,007,041	)		(311,940	)		123,633			2
Change in unrealized appreciation (depreciation) of investments		972			6,474,590			403			—		5,514,222			17,225,220			667,080			571,637			245
Net realized and unrealized gain (loss) on investments	$	986			1,584,692			379			—		4,670,394			12,218,179			355,140			695,270			246
Net Increase (Decrease) in Contract Owners’ Equity Resulting from Operations	$	952			1,783,089			393			—		4,101,212			11,985,857			343,727			665,134			225

See accompanying notes to financial statements

16

ZALICO Variable Annuity Separate Account
Statement of Operations
For the year ended December 31, 2010

													DWS
	Variable Series I
										DWS			DWS
	DWS			DWS			DWS			Global			Global			DWS			DWS			DWS			DWS
	Bond			Capital			Capital			Opportunities			Opportunities			Growth & Income			Growth & Income			Health Care			Health Care
	VIP			Growth VIP A			Growth VIP B			VIP A			VIP B			VIP A			VIP B			VIP A			VIP B
	Subaccount			Subaccount			Subaccount			Subaccount			Subaccount			Subaccount			Subaccount			Subaccount			Subaccount
REVENUE
Dividend income	$	1,083,585			2,034,271			924			265,805			3			504,101			1,477			—			—
EXPENSES
Mortality and expense risk charges		353,315			3,121,197			3,067			937,702			73			426,709			1,960			455,178			215
Net investment income (loss)	$	730,271			(1,086,926	)		(2,144	)		(671,896	)		(71	)		77,392			(484	)		(455,178	)		(215	)
NET REALIZED AND UNREALIZED GAIN (LOSS) ON INVESTMENTS
Net realized gain (loss) on sale of investments	$	(713,319	)		(713,341	)		(517	)		(1,327,532	)		(30	)		(1,686,012	)		(2,311	)		(1,109,323	)		103
Capital gain distributions		—			—			—			—			—			—			—			2,234,286			796
Net realized gain (loss) on investments		(713,319	)		(713,341	)		(517	)		(1,327,532	)		(30	)		(1,686,012	)		(2,311	)		1,124,963			899
Change in unrealized appreciation (depreciation) of investments		1,295,982			32,412,552			25,100			16,823,104			773			5,146,965			14,457			1,254,568			(77	)
Net realized and unrealized gain (loss) on investments	$	582,663			31,699,211			24,583			15,495,572			743			3,460,953			12,146			2,379,531			821
Net Increase (Decrease) in Contract Owners’ Equity Resulting from Operations	$	1,312,933			30,612,285			22,439			14,823,676			672			3,538,346			11,662			1,924,353			606

See accompanying notes to financial statements

17

ZALICO Variable Annuity Separate Account

Statement of Operations

For the year ended December 31, 2010

	DWS						DWS
	Variable Series I						Variable Series II
																				DWS
	DWS			DWS			DWS		DWS			DWS			DWS			DWS		Diversified			DWS
	International			International			Balanced		Blue Chip			Blue Chip			Core Fixed			Davis Venture		International Equity			Dreman Small Mid
	VIP A			VIP B			VIP		VIP A			VIP B			Income VIP A			Value VIP		VIP			Cap Value VIP A
	Subaccount			Subaccount			Subaccount		Subaccount			Subaccount			Subaccount			Subaccount		Subaccount			Subaccount
REVENUE
Dividend income	$	955,605			1,335			5,712,133		854,443			1,920			3,150,415			—		1,290,372			1,602,932
EXPENSES
Mortality and expense risk charges		614,328			1,388			2,449,340		817,466			3,091			736,945			—		777,149			1,709,291
Net investment income (loss)	$	341,277			(52	)		3,262,793		36,977			(1,170	)		2,413,470			—		513,222			(106,359	)
NET REALIZED AND UNREALIZED GAIN (LOSS) ON INVESTMENTS
Net realized gain (loss) on sale of investments	$	(2,500,902	)		(2,391	)		1,632,443		(6,074,750	)		(1,461	)		(7,744,969	)		—		(9,228,353	)		(5,211,311	)
Capital gain distributions		—			—			—		—			—			—			—		—			—
Net realized gain (loss) on investments		(2,500,902	)		(2,391	)		1,632,443		(6,074,750	)		(1,461	)		(7,744,969	)		—		(9,228,353	)		(5,211,311	)
Change in unrealized appreciation (depreciation) of investments		1,809,833			2,083			11,632,735		12,394,087			19,765			7,943,839			—		13,584,603			29,075,981
Net realized and unrealized gain (loss) on investments	$	(691,070	)		(308	)		13,265,177		6,319,337			18,305			198,870			—		4,356,250			23,864,670
Net Increase (Decrease) in Contract Owners’ Equity Resulting from Operations	$	(349,792	)		(360	)		16,527,970		6,356,314			17,134			2,612,340			—		4,869,472			23,758,311

See accompanying notes to financial statements

18

ZALICO Variable Annuity Separate Account

Statement of Operations

For the year ended December 31, 2010

	DWS
	Variable Series II
										DWS			DWS
	DWS			DWS			DWS			Government &			Government &		DWS			DWS			DWS		DWS
	Dreman Small Mid			Global			Global			Agency Securities VIP			Agency Securities VIP		High Income			High Income			Janus Growth &		Large Cap
	Cap Value VIP B			Thematic VIP A			Thematic VIP B			A			B		VIP A			VIP B			Income VIP		Value VIP A
	Subaccount			Subaccount			Subaccount			Subaccount			Subaccount		Subaccount			Subaccount			Subaccount		Subaccount
REVENUE
Dividend income	$	1,986			362,668			198			4,159,671			9,151		9,143,778			11,524			—		2,678,408
EXPENSES
Mortality and expense risk charges		4,195			527,381			614			1,295,967			3,859		1,565,295			2,853			—		1,842,653
Net investment income (loss)	$	(2,209	)		(164,713	)		(415	)		2,863,704			5,291		7,578,483			8,670			—		835,755
NET REALIZED AND UNREALIZED GAIN (LOSS) ON INVESTMENTS
Net realized gain (loss) on sale of investments	$	(21,867	)		(6,552,668	)		(412	)		2,422,191			827		(931,905	)		(5,587	)		—		(4,108,882	)
Capital gain distributions		—			—			—			—			—		—			—			—		—
Net realized gain (loss) on investments		(21,867	)		(6,552,668	)		(412	)		2,422,191			827		(931,905	)		(5,587	)		—		(4,108,882	)
Change in unrealized appreciation (depreciation) of investments		66,138			10,844,182			4,832			(599,907	)		2,679		6,807,205			12,722			—		14,427,100
Net realized and unrealized gain (loss) on investments	$	44,271			4,291,514			4,420			1,822,284			3,505		5,875,300			7,135			—		10,318,218
Net Increase (Decrease) in Contract Owners’ Equity Resulting from Operations	$	42,062			4,126,801			4,004			4,685,988			8,797		13,453,783			15,805			—		11,153,973

See accompanying notes to financial statements

19

ZALICO Variable Annuity Separate Account
Statement of Operations
For the year ended December 31, 2010

	DWS
	Variable Series II
	DWS			DWS			DWS			DWS			DWS								DWS			DWS
	Large Cap			Mid Cap			Money Market			Small Cap Growth			Strategic		DWS			DWS			Technology			Technology
	Value VIP B			Growth VIP			VIP			VIP			Income VIP		Strategic Value VIP A			Strategic Value VIP B			VIP A			VIP B
	Subaccount			Subaccount			Subaccount (b)			Subaccount			Subaccount		Subaccount			Subaccount			Subaccount			Subaccount
REVENUE
Dividend income	$	2,906			—			11,076			—			2,901,720		2,966,774			2,748			18,428			—
EXPENSES
Mortality and expense risk charges		3,119			204,069			1,595,176			746,355			633,682		2,120,370			3,186			634,402			417
Net investment income (loss)	$	(213	)		(204,069	)		(1,584,100	)		(746,355	)		2,268,038		846,404			(438	)		(615,974	)		(417	)
NET REALIZED AND UNREALIZED GAIN (LOSS) ON INVESTMENTS
Net realized gain (loss) on sale of investments	$	(14,630	)		(214,355	)		—			442,125			238,415		(21,780,279	)		(35,849	)		1,281,736			150
Capital gain distributions		—			—			—			—			—		—			—			—			—
Net realized gain (loss) on investments		(14,630	)		(214,355	)		—			442,125			238,415		(21,780,279	)		(35,849	)		1,281,736			150
Change in unrealized appreciation (depreciation) of investments		28,459			3,760,777			—			13,424,591			1,144,239		35,705,709			50,053			5,930,796			3,408
Net realized and unrealized gain (loss) on investments	$	13,829			3,546,423			—			13,866,716			1,382,653		13,925,430			14,204			7,212,532			3,557
Net Increase (Decrease) in Contract Owners’ Equity Resulting from Operations	$	13,616			3,342,354			(1,584,100	)		13,120,361			3,650,691		14,771,834			13,767			6,596,559			3,140

(b) Effective December 17, 2010, DWS Money Market VIP Subaccount merged with Franklin Zero Coupon 2010. Previous to this date effective November 23, 2010, Subaccount merged with Alger Balanced Portfolio CL S. Previous to this date effective April 23, 2010, Subaccount merged with JPMorgan Insurance Trust Balanced.

See accompanying notes to financial statements

20

ZALICO Variable Annuity Separate Account
Statement of Operations
For the year ended December 31, 2010

	DWS			DWS												Fidelity
	Variable Series II			Investments VIT Funds						Variable Insurance Products Funds
	DWS			DWS			DWS			Fidelity			Fidelity			Fidelity			Fidelity			Fidelity			Fidelity
	Turner Mid Cap			Equity 500			Equity 500			VIP			VIP			VIP			VIP			VIP			VIP
	Growth VIP			Index VIP A			Index VIP B2			Asset Manager			Contrafund			Contrafund 2			Equity Income			Equity Income 2			Growth
	Subaccount			Subaccount			Subaccount			Subaccount			Subaccount			Subaccount			Subaccount			Subaccount			Subaccount
REVENUE
Dividend income	$	5,815			1,406,990			284			85,307			810,000			156			466,825			86			62,219
EXPENSES
Mortality and expense risk charges		544,163			1,050,976			350			70,038			902,831			253			359,418			88			318,442
Net investment income (loss)	$	(538,348	)		356,014			(66	)		15,268			(92,831	)		(97	)		107,407			(1	)		(256,223	)
NET REALIZED AND UNREALIZED GAIN (LOSS) ON INVESTMENTS
Net realized gain (loss) on sale of investments	$	(2,592,413	)		(1,112,192	)		(468	)		(65,732	)		(2,704,576	)		40			(1,540,608	)		(22	)		1,007,261
Capital gain distributions		—			—			—			25,624			29,406			7			—			—			76,364
Net realized gain (loss) on investments		(2,592,413	)		(1,112,192	)		(468	)		(40,108	)		(2,675,170	)		47			(1,540,608	)		(22	)		1,083,625
Change in unrealized appreciation (depreciation) of investments		12,602,383			9,796,696			2,524			639,022			12,474,690			2,243			4,762,032			689			3,823,082
Net realized and unrealized gain (loss) on investments	$	10,009,970			8,684,504			2,057			598,914			9,799,519			2,289			3,221,424			667			4,906,707
Net Increase (Decrease) in Contract Owners’ Equity Resulting from Operations	$	9,471,622			9,040,518			1,990			614,182			9,706,688			2,193			3,328,831			665			4,650,484

See accompanying notes to financial statements

21

ZALICO Variable Annuity Separate Account
Statement of Operations
For the year ended December 31, 2010

																						Franklin Templeton
	Fidelity					Franklin Templeton																Variable Insurance
	Variable Insurance Products Funds					Variable Insurance Products Trust																Products Trust
	Fidelity		Fidelity			Franklin			Franklin			Franklin		Franklin		Franklin			Mutual			Mutual
	VIP		VIP			Rising Dividends			Small Cap Value			Strategic Income		U.S.		Zero Coupon			Global Discovery			Shares
	Index 500		Index 500 SC			Securities			Securities			Securities		Government		2010			Securities			Securities
	Subaccount		Subaccount			Subaccount			Subaccount			Subaccount		Subaccount		Subaccount (c)			Subaccount			Subaccount
REVENUE
Dividend income	$	1,075,273		59,474			99,309			41,845			505,582		157,306		577,248			276,506			98,878
EXPENSES
Mortality and expense risk charges		774,066		55,507			82,830			73,848			147,471		64,021		81,051			294,431			88,889
Net investment income (loss)	$	301,208		3,967			16,479			(32,003	)		358,111		93,284		496,198			(17,925	)		9,989
NET REALIZED AND UNREALIZED GAIN (LOSS) ON INVESTMENTS
Net realized gain (loss) on sale of investments	$	1,784,150		(86,949	)		(132,743	)		(409,693	)		78,326		84,082		(868,305	)		239,662			(636,066	)
Capital gain distributions		1,114,507		72,017			—			—			—		—		260,207			—			—
Net realized gain (loss) on investments		2,898,657		(14,932	)		(132,743	)		(409,693	)		78,326		84,082		(608,098	)		239,662			(636,066	)
Change in unrealized appreciation (depreciation) of investments		3,961,486		440,074			1,192,891			1,705,466			520,837		8,526		34,564			1,965,290			1,222,699
Net realized and unrealized gain (loss) on investments	$	6,860,144		425,142			1,060,148			1,295,773			599,163		92,608		(573,534	)		2,204,952			586,632
Net Increase (Decrease) in Contract Owners’ Equity Resulting from Operations	$	7,161,351		429,109			1,076,627			1,263,770			957,274		185,892		(77,336	)		2,187,027			596,621

(c) Cessation of operations as of December 17, 2010, Franklin Zero Coupon 2010. Subaccount merged with DWS Money Market VIP.

See accompanying notes to financial statements

22

ZALICO Variable Annuity Separate Account
Statement of Operations
For the year ended December 31, 2010

	Franklin Templeton			ING			ING
	Variable Insurance			Global Resources			Investors															Janus
	Products Trust			Trust			Trust			Invesco Variable Insurance Funds (d)												Aspen Series
							ING JPMorgan			Invesco			Invesco			Invesco						Janus		Janus
	Templeton Developing			ING Global Resources			Emerging Markets			Financial Services			Global			Global			Invesco			Aspen		Aspen Enterprise -
	Markets Securities			Trust			Equity			Fund			Health Care			Real Estate			Utilities			Balanced		Institutional
	Subaccount			Subaccount			Subaccount			Subaccount (e)			Subaccount (f)			Subaccount (g)			Subaccount (h)			Subaccount		Subaccount
REVENUE
Dividend income	$	125,610			89,851			74,270			944			—			322,006			724,459			2,148,147		28,697
EXPENSES
Mortality and expense risk charges		108,493			125,147			133,166			11,658			22,298			88,591			284,956			1,035,408		585,000
Net investment income (loss)	$	17,118			(35,296	)		(58,896	)		(10,715	)		(22,298	)		233,415			439,503			1,112,738		(556,303	)
NET REALIZED AND UNREALIZED GAIN (LOSS) ON INVESTMENTS
Net realized gain (loss) on sale of investments	$	(545,051	)		(579,732	)		679,950			68,569			(143,164	)		(1,887,662	)		(3,368,449	)		2,648,444		3,026,222
Capital gain distributions		—			—			563,257			—			—			—			—			—		—
Net realized gain (loss) on investments		(545,051	)		(579,732	)		1,243,208			68,569			(143,164	)		(1,887,662	)		(3,368,449	)		2,648,444		3,026,222
Change in unrealized appreciation (depreciation) of investments		1,710,372			2,354,484			539,295			(26,597	)		221,355			2,616,179			3,779,768			1,316,116		6,877,511
Net realized and unrealized gain (loss) on investments	$	1,165,321			1,774,751			1,782,502			41,972			78,190			728,517			411,319			3,964,561		9,903,733
Net Increase (Decrease) in Contract Owners’ Equity Resulting from Operations	$	1,182,439			1,739,455			1,723,606			31,258			55,893			961,932			850,822			5,077,299		9,347,430

(d)	Effective April 30, 2010, the AIM Variable Insurance Funds name changed to Invesco Variable Insurance Funds.
(e)	Effective April 30, 2010, name changed from AIM V.I. Financial Services Subaccount.
(f)	Effective April 30, 2010, name changed from AIM V.I. Global Health Care Subaccount.
(g)	Effective April 30, 2010, name changed from AIM V.I. Global Real Estate Subaccount.
(h)	Effective April 30, 2010, name changed from AIM V.I. Utilities Subaccount.

See accompanying notes to financial statements

23

ZALICO Variable Annuity Separate Account
Statement of Operations
For the year ended December 31, 2010

	Janus																	JPMorgan
	Aspen Series																	Insurance Trust
	Janus			Janus			Janus					Janus			Janus			JPMorgan			JPMorgan		JPMorgan
	Aspen			Aspen Janus -			Aspen Perkins			Janus Aspen Perkins		Aspen Worldwide			Aspen Worldwide -			Insurance Trust			Insurance Trust		Insurance Trust
	Forty			Institutional			Mid Cap Value			Small Company Value		Institutional			Service			Balanced			Core Bond		Equity Index
	Subaccount			Subaccount			Subaccount			Subaccount		Subaccount			Subaccount			Subaccount (i)			Subaccount		Subaccount
REVENUE
Dividend income	$	4,108			297,317			24,456			—		277,936			4			—			55,081		2,126
EXPENSES
Mortality and expense risk charges		17,309			380,450			66,897			—		630,213			14			321			23,114		2,168
Net investment income (loss)	$	(13,201	)		(83,132	)		(42,442	)		—		(352,278	)		(10	)		(321	)		31,967		(41	)
NET REALIZED AND UNREALIZED GAIN (LOSS) ON INVESTMENTS
Net realized gain (loss) on sale of investments	$	27,577			1,259,140			(176,021	)		—		858,505			(36	)		3,824			16,328		7,344
Capital gain distributions		—			—			—			—		—			—			—			—		—
Net realized gain (loss) on investments		27,577			1,259,140			(176,021	)		—		858,505			(36	)		3,824			16,328		7,344
Change in unrealized appreciation (depreciation) of investments		46,466			2,143,444			855,811			—		5,590,300			56			703			58,978		20,724
Net realized and unrealized gain (loss) on investments	$	74,043			3,402,583			679,789			—		6,448,805			20			4,527			75,306		28,069
Net Increase (Decrease) in Contract Owners’ Equity Resulting from Operations	$	60,842			3,319,451			637,347			—		6,096,528			10			4,206			107,273		28,027

(i) Cessation of operations as of April 23, 2010, JPMorgan Insurance Trust Balanced. Subaccount merged with DWS Money Market VIP.

See accompanying notes to financial statements

24

ZALICO Variable Annuity Separate Account
Statement of Operations
For the year ended December 31, 2010

	JPMorgan
	Insurance Trust
	JPMorgan		JPMorgan			JPMorgan			JPMorgan			JPMorgan Insurance			JPMorgan			JPMorgan						JPMorgan
	Insurance Trust		Insurance Trust			Insurance Trust			Insurance Trust			Trust Mid Cap			Insurance Trust			Insurance Trust Small			JPMorgan Insurance			International
	Government Bond		International Equity			Intrepid Growth			Intrepid Mid Cap			Growth			Mid Cap Value			Cap Core			Trust U.S. Equity			Equity
	Subaccount		Subaccount			Subaccount			Subaccount			Subaccount (j)			Subaccount			Subaccount			Subaccount			Subaccount
REVENUE
Dividend income	$	—		25,899			158			41,898			—			93,681			—			5,446			—
EXPENSES
Mortality and expense risk charges		—		141,816			149			42,156			12,687			100,910			62,591			6,681			—
Net investment income (loss)	$	—		(115,917	)		9			(258	)		(12,687	)		(7,229	)		(62,591	)		(1,234	)		—
NET REALIZED AND UNREALIZED GAIN (LOSS) ON INVESTMENTS
Net realized gain (loss) on sale of investments	$	—		(555,718	)		(456	)		(225,565	)		(78,080	)		(37,984	)		(186,440	)		(70,816	)		—
Capital gain distributions		—		—			—			—			—			—			—			—			—
Net realized gain (loss) on investments		—		(555,718	)		(456	)		(225,565	)		(78,080	)		(37,984	)		(186,440	)		(70,816	)		—
Change in unrealized appreciation (depreciation) of investments		—		1,147,606			(119	)		726,499			298,490			1,566,446			1,249,737			123,322			—
Net realized and unrealized gain (loss) on investments	$	—		591,888			(575	)		500,934			220,409			1,528,463			1,063,297			52,506			—
Net Increase (Decrease) in Contract Owners’ Equity Resulting from Operations	$	—		475,971			(566	)		500,675			207,722			1,521,234			1,000,706			51,272			—

(j) Effective December 17, 2010, name changed from JPMorgan Insurance Trust Diversified Mid Cap Growth Subaccount.

See accompanying notes to financial statements

25

ZALICO Variable Annuity Separate Account
Statement of Operations
For the year ended December 31, 2010

																							Oppenheimer
	JPMorgan				Oppenheimer																		Variable Account
	Series Trust II				Variable Account Funds																		Funds
											Oppenheimer												Oppenheimer
	JPMorgan		JPMorgan		Oppenheimer			Oppenheimer			Global Strategic			Oppenheimer			Oppenheimer			Oppenheimer			Small-MidCap
	MidCap		Small		Capital			Global			Income Fund			High			Main			Main Street			Growth
	Value		Company		Appreciation			Securities			VA Service			Income			Street			Small Cap			Fund VA Series
	Subaccount		Subaccount		Subaccount			Subaccount			Subaccount (k)			Subaccount			Subaccount			Subaccount			Subaccount (l)
REVENUE
Dividend income	$	—		—		—			340,604			735,753			54,685			51,135			31,196			—
EXPENSES
Mortality and expense risk charges		—		—		34,470			358,173			126,718			10,869			76,464			101,783			7,355
Net investment income (loss)	$	—		—		(34,470	)		(17,568	)		609,036			43,815			(25,328	)		(70,588	)		(7,355	)
NET REALIZED AND UNREALIZED GAIN (LOSS) ON INVESTMENTS
Net realized gain (loss) on sale of investments	$	—		—		(72,584	)		(1,356,704	)		(83,364	)		(438,674	)		(292,963	)		(416,753	)		(61,036	)
Capital gain distributions		—		—		—			—			—			—			—			—			—
Net realized gain (loss) on investments		—		—		(72,584	)		(1,356,704	)		(83,364	)		(438,674	)		(292,963	)		(416,753	)		(61,036	)
Change in unrealized appreciation (depreciation) of investments		—		—		268,524			4,830,405			592,587			488,352			1,038,365			1,885,730			197,175
Net realized and unrealized gain (loss) on investments	$	—		—		195,940			3,473,701			509,222			49,679			745,402			1,468,977			136,140
Net Increase (Decrease) in Contract Owners’ Equity Resulting from Operations	$	—		—		161,470			3,456,133			1,118,258			93,494			720,074			1,398,389			128,785

(k)	Effective April 30, 2010, name changed from Oppenheimer Strategic Bond Subaccount.
(l)	Effective April 30, 2010, name changed from Oppenheimer Mid Cap Subaccount.

See accompanying notes to financial statements

26

ZALICO Variable Annuity Separate Account
Statement of Operations
For the year ended December 31, 2010

	PIMCO
	Variable Insurance Trust
	PIMCO		PIMCO
	Foreign		Low
	Bond		Duration
	Subaccount		Subaccount
REVENUE
Dividend income	$	2,306		2,199
EXPENSES
Mortality and expense risk charges		1,806		1,934
Net investment income (loss)	$	500		265
NET REALIZED AND UNREALIZED GAIN (LOSS) ON INVESTMENTS
Net realized gain (loss) on sale of investments	$	35		223
Capital gain distributions		3,434		443
Net realized gain (loss) on investments		3,469		666
Change in unrealized appreciation (depreciation) of investments		4,334		4,157
Net realized and unrealized gain (loss) on investments	$	7,803		4,823
Net Increase (Decrease) in Contract Owners’ Equity Resulting from Operations	$	8,303		5,088

See accompanying notes to financial statements

27

ZALICO Variable Annuity Separate Account
Statement of Changes in Contract Owners’ Equity
For the year ended December 31, 2010

																									American Century
																									Variable Portfolios,
	Alger Portfolios																								Inc.
													Alger			Alger			Alger			Alger			American
	Alger			Alger			Alger Capital			Alger Capital			Large Cap			Mid Cap			Mid Cap			Small Cap			Century VP Income
	Balanced O			Balanced S			Appreciation O			Appreciation S			Growth I-2			Growth I-2			Growth S			Growth I-2			& Growth
	Subaccount			Subaccount (a)			Subaccount			Subaccount			Subaccount			Subaccount			Subaccount			Subaccount			Subaccount
OPERATIONS
Net investment income (loss)	$	475,936			205			(527,929	)		(76	)		(71,825	)		(176,869	)		(226	)		(109,956	)		11,746
Net realized gain (loss) on investments		(1,543,441	)		2,020			1,878,448			728			352,718			(2,101,827	)		(34	)		591,375			(825,175	)
Change in unrealized appreciation (depreciation) of investments		4,655,964			(1,886	)		4,564,542			247			947,407			4,350,810			2,134			1,251,931			1,998,524
Net increase (decrease) in contract owners’ equity resulting from operations		3,588,459			338			5,915,061			900			1,228,301			2,072,114			1,875			1,733,350			1,185,094
CONTRACT OWNERS’ EQUITY TRANSACTIONS
Proceeds from sales		298,220			—			1,299,689			—			362,833			443,596			25			276,566			291,495
Net transfer (to) from affiliate and subaccounts		(1,310,362	)		(48,578	)		(908,806	)		(746	)		(549,177	)		(695,547	)		—			(622,314	)		(634,612	)
Payments for redemptions		(5,713,928	)		(8,058	)		(5,170,351	)		—			(1,280,640	)		(1,474,867	)		—			(1,207,599	)		(1,432,234	)
Guaranteed retirement income benefit, maintenance fees, and other fees		(101,257	)		—			(121,333	)		—			—			—			—			—			—
Annuity payout reserve adjustment		(1,406	)		—			—			—			(2	)		—			—			(4	)		(1	)
Net increase (decrease) from contract owners’ equity transactions		(6,828,733	)		(56,636	)		(4,900,800	)		(746	)		(1,466,986	)		(1,726,819	)		25			(1,553,351	)		(1,775,352	)
Total increase (decrease) in contract owners’ equity		(3,240,274	)		(56,298	)		1,014,261			154			(238,685	)		345,295			1,900			179,999			(590,258	)
CONTRACT OWNERS’ EQUITY
Beginning of period		45,476,716			56,298			53,306,719			1,382			11,580,482			13,152,385			11,264			8,383,941			11,009,842
End of period	$	42,236,442			—			54,320,980			1,536			11,341,797			13,497,680			13,164			8,563,941			10,419,584

(a)        Cessation of operations as of November 23, 2010, Alger Balanced Portfolio Class S. Subaccount merged with DWS Money Market VIP.

See accompanying notes to financial statements

28

ZALICO Variable Annuity Separate Account
Statement of Changes in Contract Owners’ Equity
For the year ended December 31, 2010

															Dreyfus						The Dreyfus
	American Century									Credit Suisse					Investment						Socially Responsible
	Variable Portfolios, Inc.									Trust					Portfolios						Growth Fund, Inc.
	American			American			American			Credit Suisse		Credit Suisse			Dreyfus			Dreyfus						Dreyfus Socially
	Century VP Income			Century VP			Century VP			Trust International		Trust International			I.P. MidCap			I.P. MidCap			Dreyfus Socially			Responsible Growth
	& Growth II			Value			Value II			Equity Flex II		Equity Flex III			Stock A			Stock SC			Responsible Growth A			SC
	Subaccount			Subaccount			Subaccount			Subaccount		Subaccount			Subaccount			Subaccount			Subaccount			Subaccount
OPERATIONS
Net investment income (loss)	$	(33	)		198,398			14			—		(569,182	)		(232,322	)		(11,413	)		(30,136	)		(21	)
Net realized gain (loss) on investments		13			(4,889,898	)		(24	)		—		(843,827	)		(5,007,041	)		(311,940	)		123,633			2
Change in unrealized appreciation (depreciation) of investments		972			6,474,590			403			—		5,514,222			17,225,220			667,080			571,637			245
Net increase (decrease) in contract owners’ equity resulting from operations		952			1,783,089			393			—		4,101,212			11,985,857			343,727			665,134			225
CONTRACT OWNERS’ EQUITY TRANSACTIONS
Proceeds from sales		—			894,772			—			—		1,076,089			638,183			63,087			153,389			—
Net transfer (to) from affiliate and subaccounts		—			4,606,631			—			—		(3,392,683	)		195,163			428,238			(104,105	)		55
Payments for redemptions		—			(2,253,560	)		—			—		(5,115,511	)		(5,556,850	)		(219,757	)		(696,305	)		—
Guaranteed retirement income benefit, maintenance fees, and other fees		—			—			—			—		(93,792	)		(127,311	)		—			(7,385	)		—
Annuity payout reserve adjustment		—			16			—			—		60			(668	)		—			—			—
Net increase (decrease) from contract owners’ equity transactions		—			3,247,859			—			—		(7,525,838	)		(4,851,484	)		271,568			(654,406	)		55
Total increase (decrease) in contract owners’ equity		952			5,030,949			393			—		(3,424,626	)		7,134,373			615,295			10,728			280
CONTRACT OWNERS’ EQUITY
Beginning of period		7,964			15,777,736			3,525			—		47,351,470			51,604,371			1,394,767			5,713,550			1,748
End of period	$	8,917			20,808,685			3,919			—		43,926,844			58,738,744			2,010,062			5,724,278			2,028

See accompanying notes to financial statements

29

ZALICO Variable Annuity Separate Account
Statement of Changes in Contract Owners’ Equity
For the year ended December 31, 2010

	DWS
	Variable Series I
										DWS			DWS
	DWS			DWS			DWS			Global			Global			DWS			DWS			DWS			DWS
	Bond			Capital			Capital			Opportunities			Opportunities			Growth & Income			Growth & Income			Health Care			Health Care
	VIP			Growth VIP A			Growth VIP B			VIP A			VIP B			VIP A			VIP B			VIP A			VIP B
	Subaccount			Subaccount			Subaccount			Subaccount			Subaccount			Subaccount			Subaccount			Subaccount			Subaccount
OPERATIONS
Net investment income (loss)	$	730,271			(1,086,926	)		(2,144	)		(671,896	)		(71	)		77,392			(484	)		(455,178	)		(215	)
Net realized gain (loss) on investments		(713,319	)		(713,341	)		(517	)		(1,327,532	)		(30	)		(1,686,012	)		(2,311	)		1,124,963			899
Change in unrealized appreciation (depreciation) of investments		1,295,982			32,412,552			25,100			16,823,104			773			5,146,965			14,457			1,254,568			(77	)
Net increase (decrease) in contract owners’ equity resulting from operations		1,312,933			30,612,285			22,439			14,823,676			672			3,538,346			11,662			1,924,353			606
CONTRACT OWNERS’ EQUITY TRANSACTIONS
Proceeds from sales		321,752			2,138,524			—			1,476,302			—			250,057			2,473			700,056			—
Net transfer (to) from affiliate and subaccounts		1,325,695			(11,063,254	)		(7,849	)		(908,638	)		—			(1,249,188	)		(856	)		(1,672,006	)		—
Payments for redemptions		(3,589,119	)		(24,898,250	)		(3,220	)		(6,559,951	)		—			(3,234,136	)		(14,568	)		(3,483,361	)		(750	)
Guaranteed retirement income benefit, maintenance fees, and other fees		(36,775	)		(361,387	)		—			(156,846	)		—			(55,534	)		—			(75,388	)		—
Annuity payout reserve adjustment		1			(35,255	)		—			(267	)		—			(335	)		—			(27	)		—
Net increase (decrease) from contract owners’ equity transactions		(1,978,447	)		(34,219,622	)		(11,070	)		(6,149,400	)		—			(4,289,136	)		(12,951	)		(4,530,726	)		(750	)
Total increase (decrease) in contract owners’ equity		(665,513	)		(3,607,337	)		11,370			8,674,276			672			(750,790	)		(1,289	)		(2,606,373	)		(144	)
CONTRACT OWNERS’ EQUITY
Beginning of period		25,103,188			232,977,134			165,528			65,646,182			2,885			31,677,487			108,158			33,548,300			11,694
End of period	$	24,437,674			229,369,796			176,898			74,320,458			3,557			30,926,698			106,869			30,941,928			11,550

See accompanying notes to financial statements

30

ZALICO Variable Annuity Separate Account
Statement of Changes in Contract Owners’ Equity
For the year ended December 31, 2010

	DWS															DWS
	Variable Series I															Variable Series II
																					DWS
	DWS			DWS			DWS			DWS			DWS			DWS			DWS		Diversified			DWS
	International			International			Balanced			Blue Chip			Blue Chip			Core Fixed			Davis Venture		International Equity			Dreman Small Mid
	VIP A			VIP B			VIP			VIP A			VIP B			Income VIP A			Value VIP		VIP			Cap Value VIP A
	Subaccount			Subaccount			Subaccount			Subaccount			Subaccount			Subaccount			Subaccount		Subaccount			Subaccount
OPERATIONS
Net investment income (loss)	$	341,277			(52	)		3,262,793			36,977			(1,170	)		2,413,470			—		513,222			(106,359	)
Net realized gain (loss) on investments		(2,500,902	)		(2,391	)		1,632,443			(6,074,750	)		(1,461	)		(7,744,969	)		—		(9,228,353	)		(5,211,311	)
Change in unrealized appreciation (depreciation) of investments		1,809,833			2,083			11,632,735			12,394,087			19,765			7,943,839			—		13,584,603			29,075,981
Net increase (decrease) in contract owners’ equity resulting from operations		(349,792	)		(360	)		16,527,970			6,356,314			17,134			2,612,340			—		4,869,472			23,758,311
CONTRACT OWNERS’ EQUITY TRANSACTIONS
Proceeds from sales		430,714			—			1,139,298			456,832			—			409,666			—		434,765			1,988,430
Net transfer (to) from affiliate and subaccounts		(1,987,840	)		2,568			(1,575,280	)		(2,342,907	)		(1,129	)		1,588,890			—		(447,433	)		(5,656,011	)
Payments for redemptions		(5,135,436	)		(7,998	)		(20,046,147	)		(6,840,413	)		(13,379	)		(8,444,205	)		—		(5,997,858	)		(12,679,754	)
Guaranteed retirement income benefit, maintenance fees, and other fees		(90,812	)		—			(96,672	)		(125,350	)		—			(94,475	)		—		(78,013	)		(212,802	)
Annuity payout reserve adjustment		(757	)		—			(1,260	)		(1,614	)		—			14,805			—		1,587			(1,347	)
Net increase (decrease) from contract owners’ equity transactions		(6,784,132	)		(5,430	)		(20,580,062	)		(8,853,451	)		(14,508	)		(6,525,319	)		—		(6,086,952	)		(16,561,483	)
Total increase (decrease) in contract owners’ equity		(7,133,924	)		(5,790	)		(4,052,091	)		(2,497,138	)		2,627			(3,912,979	)		—		(1,217,481	)		7,196,828
CONTRACT OWNERS’ EQUITY
Beginning of period		49,298,591			77,410			184,859,782			60,769,289			163,963			51,809,335			—		60,283,816			124,831,149
End of period	$	42,164,667			71,620			180,807,691			58,272,151			166,590			47,896,356			—		59,066,335			132,027,978

See accompanying notes to financial statements

31

ZALICO Variable Annuity Separate Account
Statement of Changes in Contract Owners’ Equity
For the year ended December 31, 2010

	DWS
	Variable Series II
										DWS			DWS
	DWS			DWS			DWS			Government &			Government &			DWS			DWS			DWS		DWS
	Dreman Small Mid			Global			Global			Agency Securities VIP			Agency Securities VIP			High Income			High Income			Janus Growth &		Large Cap
	Cap Value VIP B			Thematic VIP A			Thematic VIP B			A			B			VIP A			VIP B			Income VIP		Value VIP A
	Subaccount			Subaccount			Subaccount			Subaccount			Subaccount			Subaccount			Subaccount			Subaccount		Subaccount
OPERATIONS
Net investment income (loss)	$	(2,209	)		(164,713	)		(415	)		2,863,704			5,291			7,578,483			8,670			—		835,755
Net realized gain (loss) on investments		(21,867	)		(6,552,668	)		(412	)		2,422,191			827			(931,905	)		(5,587	)		—		(4,108,882	)
Change in unrealized appreciation (depreciation) of investments		66,138			10,844,182			4,832			(599,907	)		2,679			6,807,205			12,722			—		14,427,100
Net increase (decrease) in contract owners’ equity resulting from operations		42,062			4,126,801			4,004			4,685,988			8,797			13,453,783			15,805			—		11,153,973
CONTRACT OWNERS’ EQUITY TRANSACTIONS
Proceeds from sales		—			758,866			3,297			699,613			5,769			809,350			—			—		1,828,945
Net transfer (to) from affiliate and subaccounts		(7,466	)		(1,375,763	)		(1	)		6,692,491			2,432			780,787			(8,849	)		—		(7,078,622	)
Payments for redemptions		(13,087	)		(3,975,663	)		—			(14,291,058	)		(12,154	)		(12,957,565	)		(13,402	)		—		(13,764,406	)
Guaranteed retirement income benefit, maintenance fees, and other fees		—			(87,648	)		—			(156,144	)		—			(147,642	)		—			—		(258,007	)
Annuity payout reserve adjustment		—			(431	)		—			5,591			—			10,476			—			—		(5,712	)
Net increase (decrease) from contract owners’ equity transactions		(20,553	)		(4,680,639	)		3,296			(7,049,507	)		(3,952	)		(11,504,594	)		(22,250	)		—		(19,277,804	)
Total increase (decrease) in contract owners’ equity		21,509			(553,838	)		7,300			(2,363,519	)		4,845			1,949,189			(6,445	)		—		(8,123,831	)
CONTRACT OWNERS’ EQUITY
Beginning of period		213,882			39,415,843			32,413			89,665,398			203,715			117,072,380			150,605			—		139,216,695
End of period	$	235,392			38,862,005			39,713			87,301,879			208,559			119,021,569			144,160			—		131,092,864

See accompanying notes to financial statements

32

ZALICO Variable Annuity Separate Account
Statement of Changes in Contract Owners’ Equity
For the year ended December 31, 2010

	DWS
	Variable Series II
	DWS			DWS			DWS			DWS			DWS									DWS			DWS
	Large Cap			Mid Cap			Money Market			Small Cap Growth			Strategic			DWS			DWS			Technology			Technology
	Value VIP B			Growth VIP			VIP			VIP			Income VIP			Strategic Value VIP A			Strategic Value VIP B			VIP A			VIP B
	Subaccount			Subaccount			Subaccount (b)			Subaccount			Subaccount			Subaccount			Subaccount			Subaccount			Subaccount
OPERATIONS
Net investment income (loss)	$	(213	)		(204,069	)		(1,584,100	)		(746,355	)		2,268,038			846,404			(438	)		(615,974	)		(417	)
Net realized gain (loss) on investments		(14,630	)		(214,355	)		—			442,125			238,415			(21,780,279	)		(35,849	)		1,281,736			150
Change in unrealized appreciation (depreciation) of investments		28,459			3,760,777			—			13,424,591			1,144,239			35,705,709			50,053			5,930,796			3,408
Net increase (decrease) in contract owners’ equity resulting from operations		13,616			3,342,354			(1,584,100	)		13,120,361			3,650,691			14,771,834			13,767			6,596,559			3,140
CONTRACT OWNERS’ EQUITY TRANSACTIONS
Proceeds from sales		—			116,766			2,180,906			961,366			236,098			1,783,652			—			701,823			—
Net transfer (to) from affiliate and subaccounts		(767	)		630,187			15,866,342			(2,039,868	)		2,454,673			(11,122,963	)		64			(3,912,164	)		(11,152	)
Payments for redemptions		(21,206	)		(1,460,405	)		(50,486,824	)		(6,260,498	)		(5,476,646	)		(16,527,325	)		(31,853	)		(4,431,697	)		(719	)
Guaranteed retirement income benefit, maintenance fees, and other fees		—			(33,206	)		(179,947	)		(78,591	)		(106,497	)		(342,564	)		—			(96,102	)		—
Annuity payout reserve adjustment		—			—			(25,338	)		(153	)		308			(7,221	)		—			(1,254	)		—
Net increase (decrease) from contract owners’ equity transactions		(21,973	)		(746,658	)		(32,644,861	)		(7,417,743	)		(2,892,065	)		(26,216,421	)		(31,789	)		(7,739,393	)		(11,871	)
Total increase (decrease) in contract owners’ equity		(8,357	)		2,595,696			(34,228,961	)		5,702,618			758,627			(11,444,586	)		(18,023	)		(1,142,835	)		(8,731	)
CONTRACT OWNERS’ EQUITY
Beginning of period		177,987			14,235,310			128,277,232			53,435,628			44,202,592			159,343,237			170,565			47,418,234			24,501
End of period	$	169,630			16,831,006			94,048,272			59,138,246			44,961,218			147,898,651			152,542			46,275,399			15,771

(b) Effective December 17, 2010, DWS Money Market VIP Subaccount merged with Franklin Zero Coupon 2010. Previous to this date effective November 23, 2010, Subaccount merged with Alger Balanced Portfolio CL S. Previous to this date effective April 23, 2010, Subaccount merged with JPMorgan Insurance Trust Balanced.

See accompanying notes to financial statements

33

ZALICO Variable Annuity Separate Account
Statement of Changes in Contract Owners’ Equity
For the year ended December 31, 2010

	DWS			DWS						Fidelity
	Variable Series II			Investments VIT Funds						Variable Insurance Products Funds
	DWS			DWS			DWS			Fidelity			Fidelity			Fidelity			Fidelity			Fidelity			Fidelity
	Turner Mid Cap			Equity 500			Equity 500			VIP			VIP			VIP			VIP			VIP			VIP
	Growth VIP			Index VIP A			Index VIP B2			Asset Manager			Contrafund			Contrafund 2			Equity Income			Equity Income 2			Growth
	Subaccount			Subaccount			Subaccount			Subaccount			Subaccount			Subaccount			Subaccount			Subaccount			Subaccount
OPERATIONS
Net investment income (loss)	$	(538,348	)		356,014			(66	)		15,268			(92,831	)		(97	)		107,407			(1	)		(256,223	)
Net realized gain (loss) on investments		(2,592,413	)		(1,112,192	)		(468	)		(40,108	)		(2,675,170	)		47			(1,540,608	)		(22	)		1,083,625
Change in unrealized appreciation (depreciation) of investments		12,602,383			9,796,696			2,524			639,022			12,474,690			2,243			4,762,032			689			3,823,082
Net increase (decrease) in contract owners’ equity resulting from operations		9,471,622			9,040,518			1,990			614,182			9,706,688			2,193			3,328,831			665			4,650,484
CONTRACT OWNERS’ EQUITY TRANSACTIONS
Proceeds from sales		1,211,584			720,495			—			88,386			1,753,896			—			747,105			—			606,603
Net transfer (to) from affiliate and subaccounts		(1,270,071	)		(869,170	)		188			(141,600	)		(4,382,132	)		—			(1,211,199	)		—			(2,462,750	)
Payments for redemptions		(3,152,467	)		(7,379,761	)		(2,531	)		(769,139	)		(7,644,987	)		—			(3,489,946	)		—			(2,905,212	)
Guaranteed retirement income benefit, maintenance fees, and other fees		(93,505	)		(174,332	)		—			—			—			—			—			—			—
Annuity payout reserve adjustment		(940	)		(741	)		—			651			1,625			—			258			—			75
Net increase (decrease) from contract owners’ equity transactions		(3,305,399	)		(7,703,508	)		(2,344	)		(821,701	)		(10,271,598	)		—			(3,953,782	)		—			(4,761,284	)
Total increase (decrease) in contract owners’ equity		6,166,223			1,337,010			(353	)		(207,519	)		(564,910	)		2,193			(624,951	)		665			(110,800	)
CONTRACT OWNERS’ EQUITY
Beginning of period		37,859,105			75,091,323			18,588			5,485,972			71,262,692			14,643			27,892,197			5,116			25,278,954
End of period	$	44,025,328			76,428,333			18,235			5,278,454			70,697,782			16,836			27,267,245			5,781			25,168,154

See accompanying notes to financial statements

34

ZALICO Variable Annuity Separate Account
Statement of Changes in Contract Owners’ Equity
For the year ended December 31, 2010

																									Franklin Templeton
	Fidelity						Franklin Templeton																		Variable Insurance
	Variable Insurance Products Funds						Variable Insurance Products Trust																		Products Trust
	Fidelity			Fidelity			Franklin			Franklin			Franklin			Franklin			Franklin			Mutual			Mutual
	VIP			VIP			Rising Dividends			Small Cap Value			Strategic Income			U.S.			Zero Coupon			Global Discovery			Shares
	Index 500			Index 500 SC			Securities			Securities			Securities			Government			2010			Securities			Securities
	Subaccount			Subaccount			Subaccount			Subaccount			Subaccount			Subaccount			Subaccount (c)			Subaccount			Subaccount
OPERATIONS
Net investment income (loss)	$	301,208			3,967			16,479			(32,003	)		358,111			93,284			496,198			(17,925	)		9,989
Net realized gain (loss) on investments		2,898,657			(14,932	)		(132,743	)		(409,693	)		78,326			84,082			(608,098	)		239,662			(636,066	)
Change in unrealized appreciation (depreciation) of investments		3,961,486			440,074			1,192,891			1,705,466			520,837			8,526			34,564			1,965,290			1,222,699
Net increase (decrease) in contract owners’ equity resulting from operations		7,161,351			429,109			1,076,627			1,263,770			957,274			185,892			(77,336	)		2,187,027			596,621
CONTRACT OWNERS’ EQUITY TRANSACTIONS
Proceeds from sales		1,455,473			61,922			159,891			199,727			360,478			138,680			143,803			728,157			258,957
Net transfer (to) from affiliate and subaccounts		(1,740,654	)		(627,068	)		411,246			714,680			1,703,622			109,952			(6,121,759	)		316,005			357,589
Payments for redemptions		(6,937,960	)		(361,711	)		(806,555	)		(511,663	)		(2,086,413	)		(703,074	)		(1,154,248	)		(2,989,815	)		(1,000,185	)
Guaranteed retirement income benefit, maintenance fees, and other fees		—			—			—			—			—			—			—			—			—
Annuity payout reserve adjustment		(3,920	)		—			290			—			184			—			—			235			(21	)
Net increase (decrease) from contract owners’ equity transactions		(7,227,061	)		(926,857	)		(235,128	)		402,743			(22,129	)		(454,442	)		(7,132,204	)		(1,945,417	)		(383,661	)
Total increase (decrease) in contract owners’ equity		(65,710	)		(497,748	)		841,499			1,666,513			935,145			(268,550	)		(7,209,540	)		241,610			212,960
CONTRACT OWNERS’ EQUITY
Beginning of period		59,133,776			4,196,489			5,791,813			4,700,975			10,026,216			4,671,833			7,209,540			22,303,957			6,634,532
End of period	$	59,068,067			3,698,741			6,633,312			6,367,489			10,961,360			4,403,283			—			22,545,566			6,847,492

(c) Cessation of operations as of December 17, 2010, Franklin Zero Coupon 2010. Subaccount merged with DWS Money Market VIP.

See accompanying notes to financial statements

35

ZALICO Variable Annuity Separate Account
Statement of Changes in Contract Owners’ Equity
For the year ended December 31, 2010

	Franklin Templeton			ING			ING
	Variable Insurance			Global Resources			Investors															Janus
	Products Trust			Trust			Trust			Invesco Variable Insurance Funds (d)												Aspen Series
							ING JPMorgan			Invesco			Invesco			Invesco						Janus			Janus
	Templeton Developing			ING Global Resources			Emerging Markets			Financial Services			Global			Global			Invesco			Aspen			Aspen Enterprise -
	Markets Securities			Trust			Equity			Fund			Health Care			Real Estate			Utilities			Balanced			Institutional
	Subaccount			Subaccount			Subaccount			Subaccount (e)			Subaccount (f)			Subaccount (g)			Subaccount (h)			Subaccount			Subaccount
OPERATIONS
Net investment income (loss)	$	17,118			(35,296	)		(58,896	)		(10,715	)		(22,298	)		233,415			439,503			1,112,738			(556,303	)
Net realized gain (loss) on investments		(545,051	)		(579,732	)		1,243,208			68,569			(143,164	)		(1,887,662	)		(3,368,449	)		2,648,444			3,026,222
Change in unrealized appreciation (depreciation) of investments		1,710,372			2,354,484			539,295			(26,597	)		221,355			2,616,179			3,779,768			1,316,116			6,877,511
Net increase (decrease) in contract owners’ equity resulting from operations		1,182,439			1,739,455			1,723,606			31,258			55,893			961,932			850,822			5,077,299			9,347,430
CONTRACT OWNERS’ EQUITY TRANSACTIONS
Proceeds from sales		196,647			262,719			141,080			56,706			43,115			227,979			318,171			1,869,002			931,676
Net transfer (to) from affiliate and subaccounts		189,348			(76,814	)		(129,006	)		255,652			(30,449	)		(307,703	)		(852,850	)		(732,558	)		(622,084	)
Payments for redemptions		(788,039	)		(1,018,347	)		(1,362,103	)		(122,156	)		(179,429	)		(831,422	)		(2,508,062	)		(10,019,170	)		(5,426,809	)
Guaranteed retirement income benefit, maintenance fees, and other fees		(6	)		—			—			—			—			—			(39,399	)		—			—
Annuity payout reserve adjustment		265			(25	)		493			—			—			(5	)		(437	)		20,408			208
Net increase (decrease) from contract owners’ equity transactions		(401,786	)		(832,467	)		(1,349,537	)		190,202			(166,763	)		(911,151	)		(3,082,576	)		(8,862,317	)		(5,117,010	)
Total increase (decrease) in contract owners’ equity		780,653			906,988			374,069			221,460			(110,870	)		50,780			(2,231,754	)		(3,785,018	)		4,230,420
CONTRACT OWNERS’ EQUITY
Beginning of period		7,920,380			9,881,435			10,425,842			723,792			1,685,866			6,739,176			22,174,592			79,877,309			42,818,059
End of period	$	8,701,033			10,788,423			10,799,911			945,252			1,574,995			6,789,957			19,942,838			76,092,291			47,048,479

(d)	Effective April 30, 2010, the AIM Variable Insurance Funds name changed to Invesco Variable Insurance Funds.
(e)	Effective April 30, 2010, name changed from AIM V.I. Financial Services Subaccount.
(f)	Effective April 30, 2010, name changed from AIM V.I. Global Health Care Subaccount.
(g)	Effective April 30, 2010, name changed from AIM V.I. Global Real Estate Subaccount
(h)	Effective April 30, 2010, name changed from AIM V.I. Utilities Subaccount.

See accompanying notes to financial statements

36

ZALICO Variable Annuity Separate Account
Statement of Changes in Contract Owners’ Equity
For the year ended December 31, 2010

	Janus																	JPMorgan
	Aspen Series																	Insurance Trust
	Janus			Janus			Janus					Janus			Janus			JPMorgan			JPMorgan			JPMorgan
	Aspen			Aspen Janus -			Aspen Perkins			Janus Aspen Perkins		Aspen Worldwide			Aspen Worldwide -			Insurance Trust			Insurance Trust			Insurance Trust
	Forty			Institutional			Mid Cap Value			Small Company Value		Institutional			Service			Balanced			Core Bond			Equity Index
	Subaccount			Subaccount			Subaccount			Subaccount		Subaccount			Subaccount			Subaccount (i)			Subaccount			Subaccount
OPERATIONS
Net investment income (loss)	$	(13,201	)		(83,132	)		(42,442	)		—		(352,278	)		(10	)		(321	)		31,967			(41	)
Net realized gain (loss) on investments		27,577			1,259,140			(176,021	)		—		858,505			(36	)		3,824			16,328			7,344
Change in unrealized appreciation (depreciation) of investments		46,466			2,143,444			855,811			—		5,590,300			56			703			58,978			20,724
Net increase (decrease) in contract owners’ equity resulting from operations		60,842			3,319,451			637,347			—		6,096,528			10			4,206			107,273			28,027
CONTRACT OWNERS’ EQUITY TRANSACTIONS
Proceeds from sales		4,906			595,789			129,612			—		1,124,814			—			—			12,321			2,402
Net transfer (to) from affiliate and subaccounts		9,641			(683,946	)		(87,311	)		—		(1,261,866	)		—			(68,158	)		326,272			204,092
Payments for redemptions		(65,126	)		(3,567,910	)		(480,601	)		—		(5,095,975	)		(1,095	)		—			(199,009	)		(6,570	)
Guaranteed retirement income benefit, maintenance fees, and other fees		(1,462	)		—			—			—		—			—			—			—			—
Annuity payout reserve adjustment		—			7,116			—			—		1,580			—			—			—			—
Net increase (decrease) from contract owners’ equity transactions		(52,041	)		(3,648,952	)		(438,300	)		—		(5,231,447	)		(1,095	)		(68,158	)		139,584			199,924
Total increase (decrease) in contract owners’ equity		8,801			(329,501	)		199,047			—		865,081			(1,085	)		(63,952	)		246,856			227,951
CONTRACT OWNERS’ EQUITY
Beginning of period		1,197,039			28,678,159			4,864,372			—		46,976,847			1,087			63,952			1,436,317			122,009
End of period	$	1,205,840			28,348,659			5,063,419			—		47,841,928			3			—			1,683,174			349,960

(i) Cessation of operations as of April 23, 2010, JPMorgan Insurance Trust Balanced. Subaccount merged with DWS Money Market VIP.

See accompanying notes to financial statements

37

ZALICO Variable Annuity Separate Account
Statement of Changes in Contract Owners’ Equity
For the year ended December 31, 2010

	JPMorgan
	Insurance Trust
	JPMorgan		JPMorgan			JPMorgan			JPMorgan			JPMorgan Insurance			JPMorgan			JPMorgan						JPMorgan
	Insurance Trust		Insurance Trust			Insurance Trust			Insurance Trust			Trust Mid Cap			Insurance Trust			Insurance Trust Small			JPMorgan Insurance			International
	Government Bond		International Equity			Intrepid Growth			Intrepid Mid Cap			Growth			Mid Cap Value			Cap Core			Trust U.S. Equity			Equity
	Subaccount		Subaccount			Subaccount			Subaccount			Subaccount (j)			Subaccount			Subaccount			Subaccount			Subaccount
OPERATIONS
Net investment income (loss)	$	—		(115,917	)		9			(258	)		(12,687	)		(7,229	)		(62,591	)		(1,234	)		—
Net realized gain (loss) on investments		—		(555,718	)		(456	)		(225,565	)		(78,080	)		(37,984	)		(186,440	)		(70,816	)		—
Change in unrealized appreciation (depreciation) of investments		—		1,147,606			(119	)		726,499			298,490			1,566,446			1,249,737			123,322			—
Net increase (decrease) in contract owners’ equity resulting from operations		—		475,971			(566	)		500,675			207,722			1,521,234			1,000,706			51,272			—
CONTRACT OWNERS’ EQUITY TRANSACTIONS
Proceeds from sales		—		346,022			—			75,324			44,218			173,969			138,048			16,154			—
Net transfer (to) from affiliate and subaccounts		—		(690,308	)		—			(77,439	)		56,733			(769,373	)		(270,956	)		(10,646	)		—
Payments for redemptions		—		(1,517,781	)		(13,867	)		(336,674	)		(92,667	)		(787,722	)		(575,657	)		(98,393	)		—
Guaranteed retirement income benefit, maintenance fees, and other fees		—		—			—			—			—			—			—			—			—
Annuity payout reserve adjustment		—		1			—			—			—			—			33			—			—
Net increase (decrease) from contract owners’ equity transactions		—		(1,862,065	)		(13,867	)		(338,789	)		8,283			(1,383,127	)		(708,532	)		(92,885	)		—
Total increase (decrease) in contract owners’ equity		—		(1,386,094	)		(14,433	)		161,887			216,006			138,108			292,174			(41,613	)		—
CONTRACT OWNERS’ EQUITY
Beginning of period		—		11,633,370			16,544			3,156,933			781,212			7,730,949			4,505,174			481,088			—
End of period	$	—		10,247,276			2,111			3,318,820			997,218			7,869,056			4,797,348			439,475			—

(j) Effective December 17, 2010, name changed from JPMorgan Insurance Trust Diversified Mid Cap Growth Subaccount.

See accompanying notes to financial statements

38

ZALICO Variable Annuity Separate Account
Statement of Changes in Contract Owners’ Equity
For the year ended December 31, 2010

																							Oppenheimer
	JPMorgan										Oppenheimer												Variable Account
	Series Trust II										Variable Account Funds												Funds
											Oppenheimer												Oppenheimer
	JPMorgan		JPMorgan		Oppenheimer			Oppenheimer			Global Strategic			Oppenheimer			Oppenheimer			Oppenheimer			Small-MidCap
	MidCap		Small		Capital			Global			Income Fund			High			Main			Main Street			Growth
	Value		Company		Appreciation			Securities			VA Service			Income			Street			Small Cap			Fund VA Series
	Subaccount		Subaccount		Subaccount			Subaccount			Subaccount (k)			Subaccount			Subaccount			Subaccount			Subaccount (l)
OPERATIONS
Net investment income (loss)	$	—		—		(34,470	)		(17,568	)		609,036			43,815			(25,328	)		(70,588	)		(7,355	)
Net realized gain (loss) on investments		—		—		(72,584	)		(1,356,704	)		(83,364	)		(438,674	)		(292,963	)		(416,753	)		(61,036	)
Change in unrealized appreciation (depreciation) of investments		—		—		268,524			4,830,405			592,587			488,352			1,038,365			1,885,730			197,175
Net increase (decrease) in contract owners’ equity resulting from operations		—		—		161,470			3,456,133			1,118,258			93,494			720,074			1,398,389			128,785
CONTRACT OWNERS’ EQUITY TRANSACTIONS
Proceeds from sales		—		—		81,064			740,931			336,124			33,616			150,061			279,094			25,196
Net transfer (to) from affiliate and subaccounts		—		—		(525,137	)		(2,157,482	)		1,771,987			(220,674	)		(251,143	)		(432,886	)		119,207
Payments for redemptions		—		—		(333,026	)		(3,365,617	)		(1,810,499	)		(58,755	)		(825,195	)		(922,670	)		(120,676	)
Guaranteed retirement income benefit, maintenance fees, and other fees		—		—		—			—			—			—			—			—			—
Annuity payout reserve adjustment		—		—		—			42			—			—			—			—			—
Net increase (decrease) from contract owners’ equity transactions		—		—		(777,098	)		(4,782,126	)		297,612			(245,814	)		(926,277	)		(1,076,462	)		23,727
Total increase (decrease) in contract owners’ equity		—		—		(615,628	)		(1,325,993	)		1,415,870			(152,319	)		(206,203	)		321,927			152,511
CONTRACT OWNERS’ EQUITY
Beginning of period		—		—		2,998,764			28,428,572			8,645,456			888,668			5,908,902			7,400,574			533,440
End of period	$	—		—		2,383,137			27,102,578			10,061,327			736,349			5,702,698			7,722,501			685,951

(k)	Effective April 30, 2010, name changed from Oppenheimer Strategic Bond Subaccount.
(l)	Effective April 30, 2010, name changed from Oppenheimer Mid Cap Subaccount.

See accompanying notes to financial statements

39

ZALICO Variable Annuity Separate Account
Statement of Changes in Contract Owners’ Equity
For the year ended December 31, 2010

	PIMCO
	Variable Insurance Trust
	PIMCO			PIMCO
	Foreign			Low
	Bond			Duration
	Subaccount			Subaccount
OPERATIONS
Net investment income (loss)	$	500			265
Net realized gain (loss) on investments		3,469			666
Change in unrealized appreciation (depreciation) of investments		4,334			4,157
Net increase (decrease) in contract owners’ equity resulting from operations		8,303			5,088
CONTRACT OWNERS’ EQUITY TRANSACTIONS
Proceeds from sales		1,266			72
Net transfer (to) from affiliate and subaccounts		(186	)		3,011
Payments for redemptions		(7,695	)		(9,486	)
Guaranteed retirement income benefit, maintenance fees, and other fees		(145	)		(200	)
Annuity payout reserve adjustment		—			—
Net increase (decrease) from contract owners’ equity transactions		(6,760	)		(6,603	)
Total increase (decrease) in contract owners’ equity		1,543			(1,515	)
CONTRACT OWNERS’ EQUITY
Beginning of period		123,650			139,660
End of period	$	125,192			138,146

See accompanying notes to financial statements

40

ZALICO Variable Annuity Separate Account

Statement of Changes in Contract Owners’ Equity
For the year ended December 31, 2009

	AIM Variable Insurance Funds												Alger Portfolios
				AIM V.I.			AIM V.I.			AIM															Alger
	AIM V.I.			Global			Global			V.I.			Alger			Alger			Alger Capital			Alger Capital			Large Cap
	Financial Services Fund			Health Care			Real Estate			Utilities			Balanced O			Balanced S			Appreciation O			Appreciation S			Growth I-2
	Subaccount			Subaccount			Subaccount			Subaccount			Subaccount			Subaccount			Subaccount			Subaccount			Subaccount
OPERATIONS
Net investment income (loss)	$	8,998			(16,739	)		(76,203	)		673,504			828,183			826			(650,003	)		(23	)		(63,623	)
Net realized gain (loss) on investments		(908,750	)		(440,865	)		(2,167,019	)		(7,453,597	)		(3,364,970	)		(2,071	)		2,630,934			(6	)		(253,467	)
Change in unrealized appreciation (depreciation) of investments		1,175,884			829,011			3,806,739			9,070,054			13,214,375			13,031			16,380,105			475			3,925,210
Net increase (decrease) in contract owners’ equity resulting from operations		276,132			371,407			1,563,517			2,289,961			10,677,588			11,786			18,361,036			446			3,608,120
CONTRACT OWNERS’ EQUITY TRANSACTIONS
Proceeds from sales		59,184			147,064			319,252			405,189			132,354			—			1,683,141			—			456,226
Net transfer (to) from affiliate and subaccounts		(77,592	)		(348,860	)		(438,802	)		(3,880,769	)		(976,986	)		25,199			(4,164,088	)		—			(174,255	)
Payments for redemptions		(338,468	)		(248,260	)		(609,790	)		(4,763,310	)		(8,770,024	)		(6,396	)		(9,728,128	)		(3	)		(1,185,455	)
Guaranteed retirement income benefit, maintenance fees, and other fees		(116	)		(738	)		(3,039	)		(51,537	)		(123,168	)		—			(133,713	)		—			(9,434	)
Annuity payout reserve adjustment		—			—			24			(1,430	)		(9,210	)		—			—			—			(1,769	)
Net increase (decrease) from contract owners’ equity transactions		(356,992	)		(450,794	)		(732,355	)		(8,291,857	)		(9,747,034	)		18,803			(12,342,788	)		(3	)		(914,688	)
Total increase (decrease) in contract owners’ equity		(80,860	)		(79,387	)		831,162			(6,001,896	)		930,554			30,589			6,018,248			443			2,693,433
CONTRACT OWNERS’ EQUITY
Beginning of period		804,652			1,765,253			5,908,014			28,176,488			44,546,162			25,709			47,288,471			939			8,887,050
End of period	$	723,792			1,685,866			6,739,176			22,174,592			45,476,716			56,298			53,306,719			1,382			11,580,482

See accompanying notes to financial statements

41

ZALICO Variable Annuity Separate Account
Statement of Changes in Contract Owners’ Equity
For the year ended December 31, 2009

										American Century												Credit Suisse
	Alger Portfolios									Variable Portfolios, Inc.												Trust
										American			American												Credit Suisse
	Alger			Alger			Alger			Century VP			Century VP			American			American			Credit Suisse			Trust
	Mid Cap			Mid Cap			Small Cap			Income			Income			Century VP			Century VP			Trust International			International
	Growth I-2			Growth S			Growth I-2			& Growth			& Growth II			Value			Value II			Equity Flex II			Equity Flex III
	Subaccount			Subaccount			Subaccount			Subaccount			Subaccount			Subaccount			Subaccount			Subaccount			Subaccount
OPERATIONS
Net investment income (loss)	$	(147,777	)		(181	)		(85,740	)		368,990			184			662,213			110			64,807			407,415
Net realized gain (loss) on investments		(3,375,155	)		(78	)		48,662			(1,326,258	)		(6	)		(2,607,497	)		(33	)		(4,014,198	)		(26,219,153	)
Change in unrealized appreciation (depreciation) of investments		7,945,332			3,865			2,437,079			2,546,225			909			4,349,364			453			5,486,657			39,544,247
Net increase (decrease) in contract owners’ equity resulting from operations		4,422,400			3,606			2,400,001			1,588,956			1,087			2,404,080			530			1,537,266			13,732,508
CONTRACT OWNERS’ EQUITY TRANSACTIONS
Proceeds from sales		514,543			475			323,056			466,349			—			691,296			—			236,515			548,205
Net transfer (to) from affiliate and subaccounts		(69,741	)		—			1,279,519			(727,371	)		—			(1,147,483	)		—			(7,490,272	)		7,154,350
Payments for redemptions		(1,618,639	)		—			(784,745	)		(1,498,475	)		—			(2,179,607	)		—			(1,628,691	)		(7,657,307	)
Guaranteed retirement income benefit, maintenance fees, and other fees		(6,909	)		—			(4,248	)		(7,526	)		—			(9,130	)		—			(14,276	)		(96,134	)
Annuity payout reserve adjustment		—			—			(6	)		(60	)		—			(17,611	)		—			—			39
Net increase (decrease) from contract owners’ equity transactions		(1,180,746	)		475			813,576			(1,767,084	)		—			(2,662,536	)		—			(8,896,724	)		(50,846	)
Total increase (decrease) in contract owners’ equity		3,241,654			4,081			3,213,577			(178,127	)		1,087			(258,456	)		530			(7,359,458	)		13,681,662
CONTRACT OWNERS’ EQUITY
Beginning of period		9,910,731			7,183			5,170,364			11,187,970			6,877			16,036,192			2,995			7,359,459			33,669,808
End of period	$	13,152,385			11,264			8,383,941			11,009,842			7,964			15,777,736			3,525			—			47,351,470

See accompanying notes to financial statements

42

ZALICO Variable Annuity Separate Account
Statement of Changes in Contract Owners’ Equity
For the year ended December 31, 2009

	Dreyfus						The Dreyfus
	Investment						Socially Responsible						DWS
	Portfolios						Growth Fund, Inc.						Variable Series I
																						DWS			DWS
	Dreyfus			Dreyfus			Dreyfus Socially			Dreyfus Socially			DWS			DWS			DWS			Global			Global
	I.P. MidCap			I.P. MidCap			Responsible			Responsible			Bond			Capital			Capital			Opportunities			Opportunities
	Stock A			Stock SC			Growth A			Growth SC			VIP			Growth VIP A			Growth VIP B			VIP A			VIP B
	Subaccount			Subaccount			Subaccount			Subaccount			Subaccount			Subaccount			Subaccount			Subaccount			Subaccount
OPERATIONS
Net investment income (loss)	$	76,066			(5,434	)		(18,218	)		(16	)		1,321,345			(354,629	)		(1,713	)		200,154			(11	)
Net realized gain (loss) on investments		(21,194,626	)		(287,146	)		(76,334	)		(3	)		(1,762,677	)		(13,271,419	)		5,938			(4,414,011	)		(49	)
Change in unrealized appreciation (depreciation) of investments		35,200,778			660,666			1,538,104			431			2,226,922			63,855,715			58,978			26,062,866			957
Net increase (decrease) in contract owners’ equity resulting from operations		14,082,218			368,086			1,443,551			412			1,785,590			50,229,667			63,203			21,849,009			897
CONTRACT OWNERS’ EQUITY TRANSACTIONS
Proceeds from sales		407,533			74,449			115,832			—			802,951			3,103,578			1,200			1,146,622			—
Net transfer (to) from affiliate and subaccounts		(9,279,792	)		(30,068	)		(79,074	)		55			8,928,612			19,598,108			105			(5,187,136	)		—
Payments for redemptions		(10,718,791	)		(143,122	)		(761,788	)		(2	)		(5,138,271	)		(38,107,668	)		(231,169	)		(13,730,588	)		(16	)
Guaranteed retirement income benefit, maintenance fees, and other fees		(139,002	)		—			(11,831	)		—			(37,257	)		(495,581	)		—			(166,358	)		—
Annuity payout reserve adjustment		(1,056	)		—			8			—			(5,834	)		(21,045	)		—			(2,965	)		—
Net increase (decrease) from contract owners’ equity transactions		(19,731,108	)		(98,741	)		(736,853	)		53			4,550,201			(15,922,607	)		(229,864	)		(17,940,425	)		(16	)
Total increase (decrease) in contract owners’ equity		(5,648,890	)		269,345			706,699			465			6,335,791			34,307,060			(166,661	)		3,908,584			881
CONTRACT OWNERS’ EQUITY
Beginning of period		57,253,261			1,125,422			5,006,851			1,283			18,767,396			198,670,074			332,189			61,737,598			2,004
End of period	$	51,604,371			1,394,767			5,713,550			1,748			25,103,188			232,977,134			165,528			65,646,182			2,885

See accompanying notes to financial statements

43

ZALICO Variable Annuity Separate Account
Statement of Changes in Contract Owners’ Equity
For the year ended December 31, 2009

	DWS
	Variable Series I																		DWS Variable Series II
	DWS			DWS			DWS			DWS			DWS			DWS			DWS			DWS			DWS
	Growth & Income			Growth & Income			Health Care			Health Care			International			International			Balanced			Blue Chip			Blue Chip
	VIP A			VIP B			VIP A			VIP B			VIP A			VIP B			VIP			VIP A			VIP B
	Subaccount			Subaccount			Subaccount			Subaccount			Subaccount			Subaccount			Subaccount			Subaccount			Subaccount
OPERATIONS
Net investment income (loss)	$	221,454			17			5,379			(94	)		1,514,595			1,511			4,479,966			380,469			(482	)
Net realized gain (loss) on investments		(5,672,515	)		(1,778	)		(1,560,543	)		308			(5,506,889	)		(2,314	)		(4,470,668	)		(9,763,644	)		(2,603	)
Change in unrealized appreciation (depreciation) of investments		13,463,805			28,190			7,428,672			1,837			16,265,700			19,494			34,574,077			24,841,999			43,049
Net increase (decrease) in contract owners’ equity resulting from operations		8,012,744			26,429			5,873,508			2,051			12,273,405			18,691			34,583,375			15,458,824			39,964
CONTRACT OWNERS’ EQUITY TRANSACTIONS
Proceeds from sales		196,260			2,378			532,084			—			734,586			—			1,688,137			194,855			—
Net transfer (to) from affiliate and subaccounts		(1,856,586	)		1,302			(7,437,389	)		—			(6,779,335	)		316			(4,665,350	)		(6,935,821	)		(2,473	)
Payments for redemptions		(5,755,450	)		(4,887	)		(7,681,110	)		(1,696	)		(9,908,089	)		(13,526	)		(23,869,781	)		(10,158,571	)		(6,960	)
Guaranteed retirement income benefit, maintenance fees, and other fees		(70,667	)		—			(95,060	)		—			(116,938	)		—			(216,863	)		(157,182	)		—
Annuity payout reserve adjustment		(3,965	)		—			(340	)		—			(3,851	)		—			(112,548	)		(3,269	)		—
Net increase (decrease) from contract owners’ equity transactions		(7,490,408	)		(1,207	)		(14,681,814	)		(1,696	)		(16,073,628	)		(13,210	)		(27,176,404	)		(17,059,988	)		(9,433	)
Total increase (decrease) in contract owners’ equity		522,336			25,222			(8,808,306	)		355			(3,800,222	)		5,481			7,406,971			(1,601,163	)		30,531
CONTRACT OWNERS’ EQUITY
Beginning of period		31,155,151			82,936			42,356,606			11,339			53,098,813			71,929			177,452,812			62,370,452			133,432
End of period	$	31,677,487			108,158			33,548,300			11,694			49,298,591			77,410			184,859,782			60,769,289			163,963

See accompanying notes to financial statements

44

ZALICO Variable Annuity Separate Account
Statement of Changes in Contract Owners’ Equity
For the year ended December 31, 2009

	DWS
	Variable Series II
							DWS															DWS			DWS
	DWS			DWS			Diversified			DWS			DWS			DWS			DWS			Government &			Government &
	Core Fixed			Davis Venture			International Equity			Dreman Small Mid			Dreman Small Mid			Global			Global			Agency Securities VIP			Agency Securities VIP
	Income VIP A			Value VIP			VIP			Cap Value VIP A			Cap Value VIP B			Thematic VIP A			Thematic VIP B			A			B
	Subaccount			Subaccount			Subaccount			Subaccount			Subaccount			Subaccount			Subaccount			Subaccount			Subaccount
OPERATIONS
Net investment income (loss)	$	4,076,745			1,777,981			2,944,400			801,410			(343	)		80,484			(83	)		3,851,167			6,612
Net realized gain (loss) on investments		(6,262,029	)		(45,967,518	)		(26,478,125	)		(68,034,126	)		(21,466	)		(21,134,497	)		(9,486	)		1,169,638			693
Change in unrealized appreciation (depreciation) of investments		5,511,983			39,869,505			36,604,743			93,931,856			68,829			33,159,955			18,564			1,833,125			5,231
Net increase (decrease) in contract owners’ equity resulting from operations		3,326,699			(4,320,032	)		13,071,017			26,699,140			47,020			12,105,941			8,995			6,853,930			12,536
CONTRACT OWNERS’ EQUITY TRANSACTIONS
Proceeds from sales		504,402			292,808			618,672			2,124,391			667			785,683			3,170			639,187			5,548
Net transfer (to) from affiliate and subaccounts		4,159,722			(85,145,852	)		(8,850,318	)		(17,576,808	)		(20,525	)		(4,225,794	)		(105	)		(10,142,432	)		176
Payments for redemptions		(15,316,529	)		(7,673,557	)		(10,986,872	)		(24,218,775	)		—			(7,448,622	)		(8,729	)		(22,844,594	)		(60,935	)
Guaranteed retirement income benefit, maintenance fees, and other fees		(117,870	)		(49,399	)		(107,149	)		(250,673	)		—			(97,083	)		—			(213,924	)		—
Annuity payout reserve adjustment		(12,261	)		(5,026	)		(7,400	)		(10,672	)		—			(917	)		—			(8,781	)		—
Net increase (decrease) from contract owners’ equity transactions		(10,782,536	)		(92,581,026	)		(19,333,067	)		(39,932,537	)		(19,858	)		(10,986,733	)		(5,665	)		(32,570,545	)		(55,212	)
Total increase (decrease) in contract owners’ equity		(7,455,837	)		(96,901,058	)		(6,262,050	)		(13,233,397	)		27,162			1,119,208			3,330			(25,716,614	)		(42,676	)
CONTRACT OWNERS’ EQUITY
Beginning of period		59,265,172			96,901,058			66,545,866			138,064,546			186,720			38,296,635			29,083			115,382,012			246,390
End of period	$	51,809,335			—			60,283,816			124,831,149			213,882			39,415,843			32,413			89,665,398			203,715

See accompanying notes to financial statements

45

ZALICO Variable Annuity Separate Account
Statement of Changes in Contract Owners’ Equity
For the year ended December 31, 2009

	DWS
	Variable Series II
	DWS			DWS			DWS			DWS			DWS			DWS			DWS			DWS			DWS
	High Income			High Income			Janus Growth &			Large Cap			Large Cap			Mid Cap			Money Market			Small Cap Growth			Strategic
	VIP A			VIP B			Income VIP			Value VIP A			Value VIP B			Growth VIP			VIP			VIP			Income VIP
	Subaccount			Subaccount			Subaccount			Subaccount			Subaccount			Subaccount			Subaccount			Subaccount			Subaccount
OPERATIONS
Net investment income (loss)	$	9,548,843			13,249			905,590			67,500			(1,861	)		(172,619	)		(1,696,408	)		(622,898	)		1,722,810
Net realized gain (loss) on investments		(11,539,177	)		(15,728	)		(16,780,108	)		(19,718,913	)		(42,793	)		(1,199,715	)		—			(4,882,949	)		(1,704,750	)
Change in unrealized appreciation (depreciation) of investments		35,745,526			46,158			17,845,015			48,256,163			(7,520	)		5,626,239			—			20,715,730			8,345,741
Net increase (decrease) in contract owners’ equity resulting from operations		33,755,192			43,679			1,970,498			28,604,750			(52,174	)		4,253,906			(1,696,408	)		15,209,883			8,363,802
CONTRACT OWNERS’ EQUITY TRANSACTIONS
Proceeds from sales		1,482,979			1,200			237,975			1,763,248			—			413,572			3,838,237			1,089,571			158,048
Net transfer (to) from affiliate and subaccounts		8,668,561			(6,433	)		(49,006,704	)		62,145,451			308,843			(73,259	)		81,830,898			(2,411,093	)		179,432
Payments for redemptions		(16,870,811	)		(22,554	)		(3,723,716	)		(22,077,335	)		(145,904	)		(1,911,706	)		(175,087,456	)		(7,665,182	)		(11,062,598	)
Guaranteed retirement income benefit, maintenance fees, and other fees		(167,539	)		—			(30,641	)		(282,675	)		—			(38,253	)		(405,132	)		(104,195	)		(112,227	)
Annuity payout reserve adjustment		(31,019	)		—			(2,399	)		(15,379	)		—			—			(1,108	)		(1,299	)		(2,371	)
Net increase (decrease) from contract owners’ equity transactions		(6,917,830	)		(27,787	)		(52,525,485	)		41,533,310			162,939			(1,609,644	)		(89,824,561	)		(9,092,197	)		(10,839,716	)
Total increase (decrease) in contract owners’ equity		26,837,362			15,892			(50,554,987	)		70,138,061			110,765			2,644,261			(91,520,969	)		6,117,686			(2,475,915	)
CONTRACT OWNERS’ EQUITY
Beginning of period		90,235,018			134,713			50,554,987			69,078,634			67,222			11,591,049			219,798,201			47,317,943			46,678,507
End of period	$	117,072,380			150,605			—			139,216,695			177,987			14,235,310			128,277,232			53,435,628			44,202,592

See accompanying notes to financial statements

46

ZALICO Variable Annuity Separate Account
Statement of Changes in Contract Owners’ Equity
For the year ended December 31, 2009

																						Fidelity			Fidelity
	DWS															DWS						Variable Insurance			Variable Insurance
	Variable Series II															Investments VIT Funds						Products Funds			Products Funds
	DWS			DWS			DWS			DWS			DWS			DWS			DWS			Fidelity			Fidelity
	Strategic			Strategic			Technology			Technology			Turner Mid Cap			Equity 500			Equity 500			VIP			VIP
	Value VIP A			Value VIP B			VIP A			VIP B			Growth VIP			Index VIP A			Index VIP B2			Asset Manager			Contrafund
	Subaccount			Subaccount			Subaccount			Subaccount			Subaccount			Subaccount			Subaccount			Subaccount			Subaccount
OPERATIONS
Net investment income (loss)	$	5,464,464			4,236			(556,242	)		(377	)		(486,015	)		1,080,053			114			52,747			58,736
Net realized gain (loss) on investments		(38,201,342	)		(49,126	)		199,334			(433	)		(15,328,468	)		(10,231,400	)		(179	)		(275,911	)		(4,719,381	)
Change in unrealized appreciation (depreciation) of investments		63,749,432			75,479			18,671,822			13,019			29,047,054			24,474,757			3,598			1,492,619			22,788,949
Net increase (decrease) in contract owners’ equity resulting from operations		31,012,554			30,589			18,314,914			12,209			13,232,571			15,323,410			3,533			1,269,455			18,128,304
CONTRACT OWNERS’ EQUITY TRANSACTIONS
Proceeds from sales		1,425,676			—			583,984			1,200			1,846,151			1,322,861			—			140,287			2,462,026
Net transfer (to) from affiliate and subaccounts		(28,348,207	)		(18,768	)		(1,067,163	)		(4,086	)		(6,696,843	)		(3,161,354	)		181			(288,982	)		(166,574	)
Payments for redemptions		(35,615,834	)		(7,385	)		(7,294,539	)		(18	)		(9,740,253	)		(17,484,281	)		(21	)		(648,505	)		(7,196,409	)
Guaranteed retirement income benefit, maintenance fees, and other fees		(446,294	)		—			(121,312	)		—			(94,845	)		(200,250	)		—			(4,048	)		(33,540	)
Annuity payout reserve adjustment		(19,836	)		—			(1,855	)		—			(1,677	)		(8,208	)		—			1,862			(131,318	)
Net increase (decrease) from contract owners’ equity transactions		(63,004,494	)		(26,153	)		(7,900,885	)		(2,904	)		(14,687,467	)		(19,531,232	)		160			(799,386	)		(5,065,815	)
Total increase (decrease) in contract owners’ equity		(31,991,940	)		4,436			10,414,029			9,305			(1,454,896	)		(4,207,822	)		3,693			470,069			13,062,489
CONTRACT OWNERS’ EQUITY
Beginning of period		191,335,177			166,129			37,004,205			15,197			39,314,001			79,299,145			14,895			5,015,903			58,200,203
End of period	$	159,343,237			170,565			47,418,234			24,501			37,859,105			75,091,323			18,588			5,485,972			71,262,692

See accompanying notes to financial statements

47

ZALICO Variable Annuity Separate Account
Statement of Changes in Contract Owners’ Equity
For the year ended December 31, 2009

	Fidelity																		Franklin Templeton
	Variable Insurance Products Funds																		Variable Insurance Products Trust
	Fidelity			Fidelity			Fidelity			Fidelity			Fidelity			Fidelity			Franklin			Franklin			Franklin
	VIP			VIP			VIP			VIP			VIP			VIP			Rising Dividends			Small Cap Value			Strategic Income
	Contrafund 2			Equity Income			Equity Income 2			Growth			Index 500			Index 500 SC			Securities			Securities			Securities
	Subaccount			Subaccount			Subaccount			Subaccount			Subaccount			Subaccount			Subaccount			Subaccount			Subaccount
OPERATIONS
Net investment income (loss)	$	(59	)		229,548			20			(186,055	)		658,131			24,451			7,411			13,567			527,284
Net realized gain (loss) on investments		(6	)		(2,193,302	)		(21	)		(665,689	)		986,600			(152,694	)		(421,637	)		(692,887	)		(287,092	)
Change in unrealized appreciation (depreciation) of investments		3,714			8,331,208			1,111			5,914,552			10,581,802			904,601			1,196,399			1,692,668			1,571,627
Net increase (decrease) in contract owners’ equity resulting from operations		3,650			6,367,454			1,110			5,062,808			12,226,533			776,358			782,172			1,013,348			1,811,818
CONTRACT OWNERS’ EQUITY TRANSACTIONS
Proceeds from sales		—			894,151			—			826,035			1,821,537			93,691			220,832			218,425			405,898
Net transfer (to) from affiliate and subaccounts		—			(1,730,577	)		—			240,713			(1,971,495	)		(107,601	)		(179,369	)		(419,209	)		2,402,650
Payments for redemptions		—			(3,405,586	)		—			(2,280,830	)		(5,969,517	)		(443,348	)		(679,797	)		(431,440	)		(1,548,383	)
Guaranteed retirement income benefit, maintenance fees, and other fees		—			(16,560	)		—			(23,701	)		(50,537	)		—			(2,177	)		(1,856	)		(2,533	)
Annuity payout reserve adjustment		—			550			—			(98,300	)		(388,605	)		—			(286	)		—			(65	)
Net increase (decrease) from contract owners’ equity transactions		—			(4,258,023	)		—			(1,336,083	)		(6,558,617	)		(457,258	)		(640,797	)		(634,080	)		1,257,567
Total increase (decrease) in contract owners’ equity		3,650			2,109,431			1,110			3,726,725			5,667,916			319,100			141,376			379,268			3,069,385
CONTRACT OWNERS’ EQUITY
Beginning of period		10,993			25,782,765			4,006			21,552,229			53,465,860			3,877,389			5,650,438			4,321,707			6,956,831
End of period	$	14,643			27,892,197			5,116			25,278,954			59,133,776			4,196,489			5,791,813			4,700,975			10,026,216

See accompanying notes to financial statements

48

ZALICO Variable Annuity Separate Account
Statement of Changes in Contract Owners’ Equity
For the year ended December 31, 2009

																ING			ING
	Franklin Templeton															Global Resources			Investors			Janus
	Variable Insurance Products Trust															Trust			Trust			Aspen Series
	Franklin			Franklin			Mutual			Mutual									ING JPMorgan			Janus			Janus
	U.S.			Zero Coupon			Global Discovery			Shares			Templeton Developing			ING Global Resources			Emerging Markets			Aspen			Aspen Enterprise -
	Government			2010			Securities			Securities			Markets Securities			Trust			Equity			Balanced			Institutional
	Subaccount			Subaccount			Subaccount			Subaccount			Subaccount			Subaccount			Subaccount			Subaccount			Subaccount
OPERATIONS
Net investment income (loss)	$	131,466			249,218			(30,378	)		35,938			155,672			(86,443	)		25,544			1,249,667			(472,575	)
Net realized gain (loss) on investments		59,427			116,223			453,403			(1,164,420	)		(987,611	)		(929,365	)		120,693			4,307,912			1,346,664
Change in unrealized appreciation (depreciation) of investments		(97,616	)		(473,250	)		3,645,079			2,409,552			3,831,406			3,745,474			4,080,520			10,499,104			12,482,610
Net increase (decrease) in contract owners’ equity resulting from operations		93,276			(107,809	)		4,068,104			1,281,070			2,999,467			2,729,666			4,226,758			16,056,684			13,356,700
CONTRACT OWNERS’ EQUITY TRANSACTIONS
Proceeds from sales		211,670			264,314			939,962			330,988			227,043			294,261			223,176			2,227,325			1,109,687
Net transfer (to) from affiliate and subaccounts		971,288			(1,403,091	)		(130,497	)		(311,361	)		887,046			(744,071	)		608,809			(2,402,837	)		(1,162,597	)
Payments for redemptions		(1,175,681	)		(1,260,687	)		(2,524,745	)		(646,472	)		(667,712	)		(866,577	)		(875,931	)		(8,707,062	)		(3,604,994	)
Guaranteed retirement income benefit, maintenance fees, and other fees		(1,682	)		(4,120	)		(6,939	)		(2,688	)		(2,192	)		(4,027	)		(3,652	)		(44,311	)		(40,078	)
Annuity payout reserve adjustment		(37	)		(26	)		(161	)		(69	)		187			(16,503	)		(27,521	)		(2,015	)		167
Net increase (decrease) from contract owners’ equity transactions		5,558			(2,403,610	)		(1,722,380	)		(629,603	)		444,372			(1,336,915	)		(75,119	)		(8,928,901	)		(3,697,816	)
Total increase (decrease) in contract owners’ equity		98,834			(2,511,419	)		2,345,724			651,467			3,443,839			1,392,751			4,151,639			7,127,783			9,658,884
CONTRACT OWNERS’ EQUITY
Beginning of period		4,572,999			9,720,959			19,958,232			5,983,065			4,476,541			8,488,685			6,274,203			72,749,526			33,159,175
End of period	$	4,671,833			7,209,540			22,303,957			6,634,532			7,920,380			9,881,435			10,425,842			79,877,309			42,818,059

See accompanying notes to financial statements

49

ZALICO Variable Annuity Separate Account
Statement of Changes in Contract Owners’ Equity
For the year ended December 31, 2009

	Janus																		JPMorgan
	Aspen Series																		Insurance Trust
	Janus			Janus			Janus						Janus			Janus			JPMorgan			JPMorgan			JPMorgan Insurance
	Aspen			Aspen Janus -			Aspen Perkins			Janus Aspen Perkins			Aspen Worldwide -			Aspen Worldwide -			Insurance Trust			Insurance Trust			Trust Diversified Mid
	Forty			Institutional			Mid Cap Value			Small Company Value			Institutional			Service			Balanced			Core Bond			Cap Growth
	Subaccount			Subaccount			Subaccount			Subaccount			Subaccount			Subaccount			Subaccount			Subaccount			Subaccount
OPERATIONS
Net investment income (loss)	$	(13,940	)		(187,498	)		(42,812	)		(17,300	)		51,395			(5	)		656			(5,267	)		(8,817	)
Net realized gain (loss) on investments		1,839			240,250			(367,321	)		(3,578,686	)		(392,812	)		(3	)		(736	)		(860	)		(170,962	)
Change in unrealized appreciation (depreciation) of investments		389,294			7,451,945			1,590,412			3,320,130			13,023,613			289			7,130			46,182			394,952
Net increase (decrease) in contract owners’ equity resulting from operations		377,192			7,504,698			1,180,280			(275,856	)		12,682,195			281			7,050			40,055			215,173
CONTRACT OWNERS’ EQUITY TRANSACTIONS
Proceeds from sales		5,536			759,355			171,773			78,651			1,417,938			—			—			14,426			34,489
Net transfer (to) from affiliate and subaccounts		(24,888	)		(879,012	)		(79,356	)		(4,376,703	)		(1,082,854	)		—			36,005			1,417,118			(67,996	)
Payments for redemptions		(62,771	)		(2,246,326	)		(458,059	)		(152,035	)		(4,138,452	)		(1	)		(1,748	)		(83,027	)		(83,153	)
Guaranteed retirement income benefit, maintenance fees, and other fees		(2,673	)		(30,068	)		(2,161	)		(605	)		(43,428	)		—			(8	)		(121	)		(236	)
Annuity payout reserve adjustment		—			(32,655	)		—			—			(93,338	)		—			—			—			—
Net increase (decrease) from contract owners’ equity transactions		(84,797	)		(2,428,706	)		(367,804	)		(4,450,692	)		(3,940,135	)		(1	)		34,249			1,348,395			(116,897	)
Total increase (decrease) in contract owners’ equity		292,396			5,075,992			812,476			(4,726,548	)		8,742,060			280			41,299			1,388,451			98,276
CONTRACT OWNERS’ EQUITY
Beginning of period		904,643			23,602,167			4,051,896			4,726,549			38,234,787			807			22,653			47,866			682,936
End of period	$	1,197,039			28,678,159			4,864,372			—			46,976,847			1,087			63,952			1,436,317			781,212

See accompanying notes to financial statements

50

ZALICO Variable Annuity Separate Account
Statement of Changes in Contract Owners’ Equity
For the year ended December 31, 2009

	JPMorgan
	Insurance Trust
	JPMorgan			JPMorgan			JPMorgan			JPMorgan			JPMorgan			JPMorgan			JPMorgan						JPMorgan
	Insurance Trust			Insurance Trust			Insurance Trust			Insurance Trust			Insurance Trust			Insurance Trust			Insurance Trust Small			JPMorgan Insurance			International
	Equity Index			Government Bond			International Equity			Intrepid Growth			Intrepid Mid Cap			Mid Cap Value			Cap Core			Trust U.S. Equity			Equity
	Subaccount			Subaccount			Subaccount			Subaccount			Subaccount			Subaccount			Subaccount			Subaccount			Subaccount
OPERATIONS
Net investment income (loss)	$	1,948			35,666			65,912			(98	)		7,282			(50,225	)		(29,900	)		7,157			420,900
Net realized gain (loss) on investments		(40,554	)		12,309			(599,357	)		(90	)		(405,463	)		(485,531	)		(657,669	)		(62,913	)		(169,474	)
Change in unrealized appreciation (depreciation) of investments		63,225			(21,958	)		(3,237,907	)		4,230			1,213,005			(946,284	)		(888,819	)		185,933			6,538,322
Net increase (decrease) in contract owners’ equity resulting from operations		24,619			26,016			(3,771,352	)		4,042			814,824			(1,482,040	)		(1,576,388	)		130,177			6,789,748
CONTRACT OWNERS’ EQUITY TRANSACTIONS
Proceeds from sales		2,606			818			296,786			—			171,397			169,420			112,521			12,907			161,296
Net transfer (to) from affiliate and subaccounts		2,387			(672,152	)		16,405,732			—			(196,346	)		8,989,853			6,293,090			(35,383	)		(17,358,051	)
Payments for redemptions		(92,250	)		(3,055	)		(1,310,348	)		—			(337,447	)		(637,422	)		(328,670	)		(97,529	)		(400,532	)
Guaranteed retirement income benefit, maintenance fees, and other fees		(67	)		(13	)		(5,235	)		—			(740	)		(2,368	)		(2,293	)		(380	)		(1,457	)
Annuity payout reserve adjustment		—			—			17,785			—			—			173			6,914			(62	)		(7,045	)
Net increase (decrease) from contract owners’ equity transactions		(87,324	)		(674,402	)		15,404,721			—			(363,137	)		8,519,656			6,081,562			(120,447	)		(17,605,790	)
Total increase (decrease) in contract owners’ equity		(62,705	)		(648,385	)		11,633,369			4,042			451,687			7,037,616			4,505,175			9,730			(10,816,041	)
CONTRACT OWNERS’ EQUITY
Beginning of period		184,714			648,385			1			12,501			2,705,246			693,333			(1	)		471,358			10,815,951
End of period	$	122,009			—			11,633,370			16,544			3,156,933			7,730,983			4,505,174			481,088			—

See accompanying notes to financial statements

51

ZALICO Variable Annuity Separate Account
Statement of Changes in Contract Owners’ Equity
For the year ended December 31, 2009

	JPMorgan						Oppenheimer
	Series Trust II						Variable Account Funds
	JPMorgan			JPMorgan			Oppenheimer			Oppenheimer			Oppenheimer			Oppenheimer			Oppenheimer			Oppenheimer			Oppenheimer
	MidCap			Small			Capital			Global			High			Main			Main Street			MidCap			Strategic
	Value			Company			Appreciation			Securities			Income			Street			Small Cap			Fund			Bond
	Subaccount			Subaccount			Subaccount			Subaccount			Subaccount			Subaccount			Subaccount			Subaccount			Subaccount
OPERATIONS
Net investment income (loss)	$	122,442			6,839			(33,798	)		164,099			(7,518	)		19,436			(44,669	)		(6,039	)		(91,227	)
Net realized gain (loss) on investments		(355,482	)		(171,212	)		(162,070	)		(1,651,201	)		(914,704	)		(717,928	)		(729,069	)		(85,810	)		(357,545	)
Change in unrealized appreciation (depreciation) of investments		3,248,416			2,528,142			1,080,475			9,260,624			1,048,518			1,977,972			2,828,751			211,979			1,742,331
Net increase (decrease) in contract owners’ equity resulting from operations		3,015,376			2,363,768			884,607			7,773,523			126,297			1,279,479			2,055,014			120,130			1,293,559
CONTRACT OWNERS’ EQUITY TRANSACTIONS
Proceeds from sales		79,251			60,913			110,102			1,290,782			31,066			234,519			344,545			30,524			411,966
Net transfer (to) from affiliate and subaccounts		(9,512,063	)		(6,911,908	)		269,081			(929,532	)		368,939			(654,999	)		(426,290	)		82,198			(146,070	)
Payments for redemptions		(146,508	)		(107,418	)		(379,527	)		(3,628,209	)		(86,841	)		(881,611	)		(960,397	)		(70,399	)		(1,827,896	)
Guaranteed retirement income benefit, maintenance fees, and other fees		(426	)		(651	)		(1,465	)		(10,413	)		(261	)		(3,754	)		(4,128	)		—			(2,792	)
Annuity payout reserve adjustment		(218	)		(20,025	)		2			(134	)		—			—			(16	)		—			(26	)
Net increase (decrease) from contract owners’ equity transactions		(9,579,964	)		(6,979,089	)		(1,807	)		(3,277,505	)		312,904			(1,305,846	)		(1,046,286	)		42,324			(1,564,818	)
Total increase (decrease) in contract owners’ equity		(6,564,588	)		(4,615,321	)		882,800			4,496,017			439,200			(26,367	)		1,008,728			162,454			(271,259	)
CONTRACT OWNERS’ EQUITY
Beginning of period		6,564,622			4,615,321			2,115,964			23,932,554			449,468			5,935,268			6,391,846			370,986			8,916,715
End of period	$	—			—			2,998,764			28,428,572			888,668			5,908,902			7,400,574			533,440			8,645,456

See accompanying notes to financial statements

52

ZALICO Variable Annuity Separate Account
Statement of Changes in Contract Owners’ Equity
For the year ended December 31, 2009

	PIMCO
	Variable Insurance Trust
	PIMCO			PIMCO
	Foreign			Low
	Bond			Duration
	Subaccount			Subaccount
OPERATIONS
Net investment income (loss)	$	2,374			2,790
Net realized gain (loss) on investments		10,567			6,145
Change in unrealized appreciation (depreciation) of investments		2,196			5,349
Net increase (decrease) in contract owners’ equity resulting from operations		15,137			14,283
CONTRACT OWNERS’ EQUITY TRANSACTIONS
Proceeds from sales		1,416			72
Net transfer (to) from affiliate and subaccounts		2,364			2,983
Payments for redemptions		(21,546	)		—
Guaranteed retirement income benefit, maintenance fees, and other fees		(220	)		(221	)
Annuity payout reserve adjustment		—			—
Net increase (decrease) from contract owners’ equity transactions		(17,986	)		2,834
Total increase (decrease) in contract owners’ equity		(2,848	)		17,117
CONTRACT OWNERS’ EQUITY
Beginning of period		126,498			122,543
End of period	$	123,650			139,660

See accompanying notes to financial statements

53

ZALICO Variable Annuity Separate Account
of Zurich American Life Insurance Company

Notes to Financial Statements

1) Organization:

ZALICO Variable Annuity Separate Account (the “Separate Account”), formerly known as KILICO Variable Annuity Separate Account is a unit investment trust registered under the Investment Company Act of 1940, as amended, was established by Zurich American Life Insurance Company (“ZALICO” or the “Company”). ZALICO is a stock life insurance company founded in 1947. The Company is incorporated under the insurance laws of the State of Illinois and is licensed in the District of Columbia and all states, with the exception of New York.

The Company is a wholly owned subsidiary of Zurich American Corporation (“Zurich”), a non-operating holding company, formerly known as Kemper Corporation. Zurich is a direct wholly owned subsidiary of Zurich Holding Company of America, Inc. (“ZHCA”). ZHCA is an indirect wholly owned subsidiary of Zurich Financial Services (“ZFS” or the “Parent”).

On July 6, 2010 the Company’s sole shareholder (Zurich, then Kemper Corporation) approved that the name of the Company be changed from Kemper Investors Life Insurance Company to Zurich American Life Insurance Company, and that an amendment of the Company’s Articles of Incorporation be made to effect such name change, with such amendment being subject to the approval of the Illinois Department of Financial and Professional Regulation, Division of Insurance, (“IDOI”). This change aligns the name of the Company with Zurich Financial Services brand. The IDOI approved the Company’s amended Articles of Incorporation reflecting this name change on Aug 23, 2010 and, accordingly, amended the Company’s Certificate of Authority. All other state regulatory notifications are being made.

Under applicable insurance law, the assets and liabilities of the Separate Account are clearly identified and distinguished from ZALICO’s other assets and liabilities. The portion of the Separate Account’s assets applicable to the variable annuity contracts is not chargeable with liabilities arising out of any other business ZALICO may conduct.

The Separate Account is used to fund contracts or certificates (collectively referred to as “Contracts”) for Zurich Advantage III periodic and flexible payment variable annuity contracts (“Zurich Advantage III”), Zurich Passport individual and group variable, fixed and market value adjusted deferred annuity contracts (“Zurich Passport”), Scudder Destinations individual and group variable, fixed and market value adjusted deferred annuity contracts (“Scudder Destinations”), Farmers Variable Annuity I individual and group variable, fixed and market value adjusted deferred annuity contracts (“Farmers Variable Annuity I”), Zurich Preferred individual and group variable and market value adjusted deferred annuity contracts (“Zurich Preferred”), Zurich Preferred Plus individual and group variable and market value adjusted deferred annuity contracts (“Zurich Preferred Plus”), Zurich ZS4 individual and group variable and market value adjusted deferred annuity contracts (“Zurich ZS4”) and Zurich Archway individual and group variable and market value adjusted deferred annuity contracts (“Zurich Archway”). The Separate Account is divided into a total of ninety-nine subaccounts with various subaccount options available to contract owners depending upon their respective Contracts. During the year ended December 31, 2010, assets were invested in ninety-nine of the subaccount options.

The Zurich Advantage III contracts have sixty subaccount options available to contract owners and each subaccount invests exclusively in the shares of a corresponding portfolio in the Alger Portfolios, the American Century Variable Portfolios, Inc., the Credit Suisse Trust, the Dreyfus Investment Portfolios, the Dreyfus Socially Responsible Growth Fund, Inc., the Dreyfus Variable Investment Fund, the DWS Variable Series I, the DWS Variable Series II, the Fidelity Variable Insurance Products Fund, the Franklin Templeton Variable Insurance Products Trust, the ING Global Resources Trust, the ING Investors Trust, the ING VP Natural Resources Trust, the Invesco Variable Insurance Funds, the Janus Aspen Series, the JPMorgan Insurance Trust, the JPMorgan Series Trust II and the Oppenheimer Variable Account Funds, all of which are open-end management investment companies.

The Zurich Passport contracts have thirteen subaccount options available to the contract owners and each subaccount invests exclusively in the shares of a corresponding portfolio in the DWS Variable Series II, an open-end management investment company.

The Scudder Destinations contracts have twenty-nine subaccount options available to the contract owners and each subaccount invests exclusively in the shares of a corresponding portfolio in the Alger Portfolios, the Credit Suisse Trust, the Dreyfus Investment Portfolios, the Dreyfus Socially Responsible Growth Fund, Inc., the DWS Variable Series I, the DWS Variable Series II, the DWS Investments VIT Funds, and the Invesco Variable Insurance Funds, all of which are open-end management investment companies. The Farmers Variable Annuity I contracts have twelve subaccount options available to the contract owners and each subaccount invests exclusively in the shares of a corresponding portfolio in the DWS Variable Series I, the DWS Variable Series II, the Franklin Templeton Variable Insurance Products Trust, the Janus Aspen Series and the PIMCO Variable Insurance Trust, all of which are open-end management investment companies.

54

ZALICO Variable Annuity Separate Account
of Zurich American Life Insurance Company

Notes to Financial Statements

(1) Organization: (continued)

The Zurich Preferred contracts have fifty-five subaccount options available to the contract owners and each subaccount invests exclusively in the shares of a corresponding portfolio in the Alger Portfolios, the American Century Variable Portfolios, Inc., the Credit Suisse Trust, the Dreyfus Investment Portfolios, the Dreyfus Socially Responsible Growth Fund, Inc., the Dreyfus Variable Investment Fund, the DWS Variable Series I, the DWS Variable Series II, the Fidelity Variable Insurance Products Fund, the Franklin Templeton Variable Insurance Products Trust, the Invesco Variable Insurance Funds, the Janus Aspen Series, the JPMorgan Insurance Trust, the JPMorgan Series Trust II and the Oppenheimer Variable Account Funds, all of which are open-end management investment companies.

The Zurich Preferred Plus contracts have fifty-five subaccount options available to the contract owners and each subaccount invests exclusively in the shares of a corresponding portfolio in the Alger Portfolios, the American Century Variable Portfolios, Inc., the Credit Suisse Trust, the Dreyfus Investment Portfolios, the Dreyfus Socially Responsible Growth Fund, Inc., the Dreyfus Variable Investment Fund, the DWS Variable Series I, the DWS Variable Series II, the Fidelity Variable Insurance Products Fund, the Franklin Templeton Variable Insurance Products Trust, Invesco Variable Insurance Funds, the Janus Aspen Series, the JPMorgan Insurance Trust, the JPMorgan Series Trust II and the Oppenheimer Variable Account Funds, all of which are open-end management investment companies.

The Zurich ZS4 contracts have twenty-seven subaccount options available to the contract owners and each subaccount invests exclusively in the shares of a corresponding portfolio in the Alger Portfolios, the Credit Suisse Trust, the Dreyfus Investment Portfolios, the Dreyfus Socially Responsible Growth Fund, Inc., the DWS Variable Series I, the DWS Variable Series II, the DWS Investments VIT Funds, and the Invesco Variable Insurance Funds, all of which are open-end management investment companies.

The Zurich Archway contracts have fifty-four subaccount options available to the contract owners and each subaccount invests exclusively in the shares of a corresponding portfolio in the Alger Portfolios, the American Century Variable Portfolios, Inc., the Credit Suisse Trust, the Dreyfus Investment Portfolios, The Dreyfus Socially Responsible Growth Fund, Inc., the Dreyfus Variable Investment Fund, the DWS Variable Series I, the DWS Variable Series II, the Fidelity Variable Insurance Products Fund, the Franklin Templeton Variable Insurance Products Trust, the Invesco Variable Insurance Funds, the Janus Aspen Series, the JPMorgan Insurance Trust, the JPMorgan Series Trust II and the Oppenheimer Variable Account Funds, all of which are open-end management investment companies.

At December 31, 2010, the Separate Account was comprised of one hundred and ten subaccounts as follows:

Alger Balanced ‘O’	DWS Capital Growth VIP ‘B’
Alger Balanced ‘S’ (a)	DWS Core Fixed Income VIP ‘A’
Alger Capital Appreciation ‘O’	DWS Davis Venture Value VIP (a)
Alger Capital Appreciation ‘S’	DWS Diversified International Equity VIP
Alger Large Cap Growth ‘I-2’	DWS Dreman Small Mid Cap Value VIP ‘A’
Alger Mid Cap Growth ‘O’	DWS Dreman Small Mid Cap Value VIP ‘B’
Alger Mid Cap Growth ‘S’	DWS Equity 500 Index VIP ‘A’
Alger Small Cap Growth ‘I-2’	DWS Equity 500 Index VIP ‘B2’
American Century VP Income & Growth	DWS Global Opportunities VIP ‘A’
American Century VP Income & Growth II	DWS Global Opportunities VIP ‘B’
American Century VP Value	DWS Global Thematic VIP ‘A’
American Century VP Value II	DWS Global Thematic VIP ‘B’
Credit Suisse Trust International Equity Flex II (a)	DWS Government & Agency Securities VIP ‘A’
Credit Suisse Trust International Equity Flex III	DWS Government & Agency Securities VIP ‘B’
Dreyfus I.P. MidCap Stock ‘A’	DWS Growth & Income VIP ‘A’
Dreyfus I.P. MidCap Stock ‘SC’	DWS Growth & Income VIP ‘B’
Dreyfus Socially Responsible Growth ‘A’	DWS Health Care VIP ‘A’
Dreyfus Socially Responsible Growth ‘SC’	DWS Health Care VIP ‘B’
DWS Balanced VIP	DWS High Income VIP ‘A’
DWS Blue Chip VIP ‘A’	DWS High Income VIP ‘B’
DWS Blue Chip VIP ‘B’	DWS International VIP ‘A’
DWS Bond VIP	DWS International VIP ‘B’
DWS Capital Growth VIP ‘A’	DWS Janus Growth & Income VIP (a)

55

ZALICO Variable Annuity Separate Account
of Zurich American Life Insurance Company

Notes to Financial Statements

(1) Organization: (continued)
DWS Large Cap Value VIP ‘A’	Invesco V.I. Utilities
DWS Large Cap Value VIP ‘B’	Janus Aspen Balanced
DWS Mid Cap Growth VIP	Janus Aspen Enterprise — Institutional
DWS Money Market VIP ‘A’	Janus Aspen Forty
DWS Small Cap Growth VIP	Janus Aspen Janus — Institutional
DWS Strategic Income VIP	Janus Aspen Perkins Mid Cap Value
DWS Strategic Value VIP ‘A’	Janus Aspen Perkins Small Cap Value (a)
DWS Strategic Value VIP ‘B’	Janus Aspen Worldwide — Institutional
DWS Technology VIP ‘A’	Janus Aspen Worldwide — Service
DWS Technology VIP ‘B’	JPMorgan Insurance Trust Balanced (a)
DWS Turner Mid Cap Growth VIP	JPMorgan Insurance Trust Core Bond
Fidelity VIP Asset Manager	JPMorgan Insurance Trust Equity Index
Fidelity VIP Contrafund	JPMorgan Insurance Trust Government Bond (a)
Fidelity VIP Contrafund ‘2’	JPMorgan Insurance Trust International Equity
Fidelity VIP Equity Income	JPMorgan Insurance Trust Intrepid Growth
Fidelity VIP Equity Income ‘2’	JPMorgan Insurance Trust Intrepid Mid Cap
Fidelity VIP Growth	JPMorgan Insurance Trust Mid Cap Growth
Fidelity VIP Index 500	JPMorgan Insurance Trust Mid Cap Value
Fidelity VIP Index 500 ‘SC’	JPMorgan Insurance Trust Small Cap Core
Franklin Rising Dividends Securities	JPMorgan Insurance Trust U.S. Equity
Franklin Small Cap Value Securities	JPMorgan International Equity (a)
Franklin Strategic Income Securities	JPMorgan Mid Cap Value (a)
Franklin U.S. Government	JPMorgan Small Cap Value (a)
Franklin Zero Coupon 2010 (a)	Oppenheimer Capital Appreciation
Mutual Global Discovery Securities	Oppenheimer Global Securities
Mutual Shares Securities	Oppenheimer Global Strategic Income Fund VA Series
Templeton Developing Markets Securities	Oppenheimer High Income
ING Global Resources Trust	Oppenheimer Main Street
ING JPMorgan Emerging Markets Equity	Oppenheimer Main Street Small Cap
Invesco Financial Services Fund	Oppenheimer Small-MidCap Growth Fund VA Series
Invesco Global Health Care	PIMCO Foreign Bond
Invesco Global Real Estate	PIMCO Low Duration

(a) Subaccounts are closed and not available.

See respective contract Prospectus of each product for further description and benefits.

(2) Significant Accounting Policies:

Investments

Investments are made in the various portfolios in accordance with selections made by the contract owners. Such investments are made at the net asset value per share, reported by the respective portfolios.

Security transactions and investment income

Security transactions are generally accounted for on the trade date (date the order to buy or sell is executed). Dividend income is recorded as income on the ex-dividend date. Realized gains and losses from sales of investment shares are generally reported on a first in, first out (FIFO) cost basis. Capital gain distributions are included in realized gains (losses) on investments.

Accumulation unit valuation

On each day the New York Stock Exchange (the “Exchange”) is open for trading, the accumulation unit value is determined as of the earlier of 3:00 p.m. (CST) or the close of the Exchange by dividing the total value of each subaccount’s investments and other assets, less liabilities, by the number of accumulation units outstanding in the respective subaccount.

56

ZALICO Variable Annuity Separate Account
of Zurich American Life Insurance Company

Notes to Financial Statements

(2) Significant Accounting Policies: (continued)

Federal income taxes

The results of the operations of the Separate Account are included in the federal income tax return of ZALICO. Under the provisions of the contracts, ZALICO has the right to charge the Separate Account for federal income tax attributable to the Separate Account. No charge has been made against the Separate Account for such tax. Management will periodically review the contract in the event of changes in tax law. Accordingly, a charge may be made in future years for any federal income taxes that would be attributable to the contracts.

Net transfers (to) from affiliate or subaccounts

Net transfers (to) from affiliate or subaccounts include transfers of all or part of the contract owners’ interest to or from another eligible subaccount or to the general account of ZALICO.

Estimates

The preparation of financial statements in conformity with accounting principles generally accepted in the United States of America requires management to make estimates and assumptions that could affect the reported amounts of assets and liabilities, as well as the disclosure of contingent assets or liabilities at the date of the financial statements. As a result, actual results reported as revenue and expenses could differ from the estimates reported in the accompanying financial statements.

Risks and Uncertainties

The Separate Account provides for various investment options in any combination of the available open-end management investment companies. Generally, all investments are exposed to various risks, such as interest rate, market and credit risks. Due to the level of risk associated with certain investments and the level of uncertainty related to changes in the value of investments, it is at least reasonably possible that changes in risks in the near term could materially affect investment balances, the amounts reported in the Statement of Assets, Liabilities and Contract Owners’ Equity and the amounts reported in the Statement of Changes in Contract Owners’ Equity.

Annuity Payouts

Net assets allocated to contracts in the annuity payout period are computed according to the 1983a Individual Annuitant Mortality Table with projections. Unless the annuitant elects otherwise, the assumed investment return is 2.5% for most products (i.e. Destinations, Farmers Variable Annuity, Archway, ZS4, Preferred, Preferred Plus, most Advantage III policies), or 4.0% for Passport and some Advantage III contracts. The mortality risk is fully borne by ZALICO and may result in additional amounts being transferred into the Separate Account by ZALICO to cover greater longevity of annuitants than expected. Conversely, if amounts allocated exceed amounts required, transfers may be made to the insurance company.

Accounting Pronouncements Recently Adopted

Accounting Standard Update (“ASU” or “Update”) No. 2010-06 — Fair Value Measurements and Disclosures — Improving Disclosures about Fair Value Measurements.

In January of 2010, Financial Accounting Standards Board (“FASB”) issued ASU No. 2010-06 — Fair Value Measurements and Disclosures — Improving Disclosure about Fair Value Measurements. This Update provides amendments to Subtopic 820-10 that requires the following new disclosures: 1) A reporting entity should disclose separately the amounts of significant transfers in and out of Level 1 and Level 2 fair value measurements and describe the reasons for the transfers; 2) In the reconciliation for fair value measurements using significant unobservable inputs (Level 3), a reporting entity should present separately information about purchases, sales, issuances, and settlements (that is, on a gross basis rather than as one net number). In addition, this Update provides amendments to clarify existing fair value measurement disclosures with respect to the required level of detail (i.e. class of assets and liabilities) and inputs and valuation techniques used for Level 2 and Level 3 investments. This Update became effective for the Separate Account in 2010, except for the disclosures about purchases, sales, issuances, and settlements in the roll forward of activity in Level 3 fair value measurements. Those disclosures are effective for the fiscal years beginning after December 15, 2010. This Update did not have an impact on the Separate Account’s financial statements.

57

ZALICO Variable Annuity Separate Account
of Zurich American Life Insurance Company

Notes to Financial Statements

(2) Significant Accounting Policies: (continued)

ASU No. 2009-17 — Consolidations — Improvements to Financial Reporting by Enterprises Involved with Variable Interest Entities.

In December of 2009, FASB issued ASU No. 2009-17 which incorporates FASB Statement No. 167, Amendments to FASB Interpretation No. 46(R) (“SFAS No. 167”) into the ASC. SFAS No. 167 was issued by the Board on June 12, 2009. This Update provides guidance for determining whether variable interest entities should be consolidated, and the Separate Account has a scope exemption which is provided for in this pronouncement. The adoption of this Update did not have an impact on the Separate Account’s financial statements.

Fair Value Measurements

The Separate Account determined the fair value of its financial instruments based on the fair value hierarchy established in FASB guidance referenced in the Fair Value Measurements and Disclosure Topic which requires an entity to maximize the use of observable inputs and minimize the use of unobservable inputs when measuring fair value.

The Separate Account has categorized its financial instruments based on the priority of the inputs to the valuation technique, into the three level hierarchy. The fair value hierarchy gives the highest priority to quoted prices in active markets for identical assets or liabilities (Level 1) and the lowest priority to unobservable inputs (Level 3). If the inputs used to measure fair value fall within different levels of the hierarchy, the category level is based on the lowest priority level input that is significant to the fair value measurement of the instrument.

Financial assets and liabilities recorded at fair value on the Statement of Assets, Liabilities and Contract Owners’ Equity are categorized as follows:

• Level 1: Unadjusted quoted prices for identical assets or liabilities in an active market.

• Level 2: Quoted prices in markets that are not active or significant inputs that are observable either directly or indirectly. Level 2 inputs include the following:

a)	Quoted prices for similar assets or liabilities in active markets
b)	Quoted prices for identical or similar assets or liabilities in non-active markets
c)	Inputs other than quoted market prices that are observable
d)	Inputs that are derived principally from or corroborated by observable market data through correlation or other means.

• Level 3: Prices or valuation techniques that require inputs that are both unobservable and significant to the overall fair value measurement. They reflect management’s own assumptions about the assumptions a market participant would use in pricing the asset or liability.

Determination of Fair Values

The valuation methodologies used to determine the fair values of assets and liabilities under the FASB guidance referenced in the Fair Value Measurements and Disclosure Topic reflect market participation assumptions and are based on the application of the fair value hierarchy that prioritizes observable market inputs over unobservable inputs. The Separate Account determines the fair values of certain financial assets based on quoted market prices. All of the investments in the subaccounts of the Separate Account are classified as Level 1 in the fair value hierarchy and consist of open-end management investment companies. Participants may, without restriction, transact at the daily net asset value (“NAV”) of the investment companies The NAV represents the daily per share value of the portfolio of investments of the mutual funds, at which sufficient volumes of transactions occur.

58

ZALICO Variable Annuity Separate Account
of Zurich American Life Insurance Company

Notes to Financial Statements

(3) Purchases and Sales of Investments:

The cost of purchases and proceeds from sales of investments, excluding distributions received and reinvested, for the year ended December 31, 2010, are as follows:

	Purchases		Sales
The Alger Portfolios:
Alger Balanced -Class O	$	2,390,339	$	8,743,136
Alger Balanced -Class S		998		57,429
Alger Capital Appreciation- Class O		3,639,510		9,068,239
Alger Capital Appreciation- Class S		7,241		8,063
Alger Large Cap Growth- Class I-2		746,046		2,284,857
Alger Mid Cap Growth-Class I-2		702,905		2,606,593
Alger Mid Cap Growth-Class S		24		225
Alger Small Cap Growth- Class I-2		1,004,914		2,668,221
American Century Variable Portfolios, Inc.:
American Century VP Income and Growth		340,412		2,104,018
American Century VP Income and Growth II		103		136
American Century VP Value		22,819,647		19,373,390
American Century VP Value II		74		60
Credit Suisse Trust:
Credit Suisse Trust International Equity Flex III		3,980,679		12,075,699
Dreyfus Investment Portfolios:
Dreyfus I.P. MidCap Stock A		4,060,891		9,144,697
Dreyfus I.P. MidCap Stock SC		1,095,590		835,435
The Dreyfus Socially Responsible Growth Fund, Inc.:
Dreyfus Socially Responsible Growth A		397,995		1,082,537
Dreyfus Socially Responsible Growth SC		64		30
DWS Variable Series I:
DWS Bond VIP		4,968,671		6,216,847
DWS Capital Growth VIP A		2,619,174		37,925,722
DWS Capital Growth VIP B		1,964		15,178
DWS Global Opportunities VIP A		4,551,097		11,372,393
DWS Global Opportunities VIP B		3		74
DWS Growth & Income VIP A		1,740,828		5,952,572
DWS Growth & Income VIP B		3,809		17,244
DWS Health Care VIP A		4,053,961		6,805,579
DWS Health Care VIP B		796		965
DWS International VIP A		1,870,000		8,312,855
DWS International VIP B		4,743		10,225

59

ZALICO Variable Annuity Separate Account
of Zurich American Life Insurance Company

Notes to Financial Statements

(3) Purchases and Sales of Investments: (continued)

	Purchases		Sales
DWS Variable Series II:
DWS Balanced VIP	$	7,547,883	$	24,865,152
DWS Blue Chip VIP A		2,416,093		11,232,567
DWS Blue Chip VIP B		3,851		19,529
DWS Core Fixed Income VIP A		20,487,170		24,599,019
DWS Diversified International Equity VIP		4,552,027		10,125,757
DWS Dreman Small Mid Cap Value VIP A		6,199,026		22,866,868
DWS Dreman Small Mid Cap Value VIP B		9,676		32,438
DWS Global Thematic VIP A		2,530,029		7,375,381
DWS Global Thematic VIP B		3,376		495
DWS Government & Agency Securities VIP A		38,217,797		42,403,600
DWS Government & Agency Securities VIP B		16,834		15,495
DWS High Income VIP A		64,342,881		68,268,992
DWS High Income VIP B		13,696		27,276
DWS Large Cap Value VIP A		3,931,481		22,373,530
DWS Large Cap Value VIP B		5,592		27,778
DWS Mid Cap Growth VIP		2,703,579		3,654,306
DWS Money Market VIP		56,512,946		90,741,907
DWS Small Cap Growth VIP		2,909,775		11,073,873
DWS Strategic Income VIP		9,000,039		9,624,066
DWS Strategic Value VIP A		3,607,653		28,977,670
DWS Strategic Value VIP B		5,292		37,519
DWS Technology VIP A		3,669,148		12,024,515
DWS Technology VIP B		7,236		19,524
DWS Turner Mid Cap Growth VIP		2,820,660		6,664,407
DWS Investments VIT Funds:
DWS Equity 500 Index VIP A		6,409,047		13,756,541
DWS Equity 500 Index VIP B2		576		2,986
Fidelity Variable Insurance Products Funds:
Fidelity VIP Asset Manager		361,075		1,141,884
Fidelity VIP Contrafund		1,826,965		12,161,988
Fidelity VIP Contrafund 2		163		253
Fidelity VIP Equity Income		1,002,236		4,848,611
Fidelity VIP Equity Income 2		86		87
Fidelity VIP Growth		1,058,511		5,999,654
Fidelity VIP Index 500		2,671,360		8,482,706
Fidelity VIP Index SC 500		175,176		1,026,049
Franklin Templeton Variable Insurance Products Trust:
Franklin Rising Dividends Securities		1,076,578		1,295,227
Franklin Small Cap Value Securities		1,539,023		1,168,283
Franklin Strategic Income Securities		2,976,089		2,640,107

60

ZALICO Variable Annuity Separate Account
of Zurich American Life Insurance Company

Notes to Financial Statements

(3) Purchases and Sales of Investments: (continued)

	Purchases		Sales
Franklin Templeton Variable Insurance Products Trust:
Franklin U.S. Government	$	1,308,603	$	1,669,761
Franklin Zero Coupon 2010		999,341		7,375,140
Mutual Global Discovery Securities		1,802,085		3,765,427
Mutual Shares Securities		1,619,326		1,992,998
Templeton Developing Markets Securities		1,267,253		1,651,921
ING Global Resources Trust
ING Global Resources Trust		1,158,050		2,025,813
ING Investors Trust:
ING JPMorgan Emerging Markets Equity		1,397,244		2,242,420
Invesco Variable Insurance Funds:
Invesco Financial Services Fund		582,720		403,233
Invesco Global Health Care		151,372		340,433
Invesco Global Real Estate		855,961		1,533,697
Invesco Utilities		2,089,751		4,732,824
Janus Aspen Series:
Janus Aspen Balanced		3,549,691		11,299,270
Janus Aspen Enterprise — Institutional		727,144		6,400,457
Janus Aspen Forty		22,971		88,213
Janus Aspen Janus — Institutional		607,915		4,339,999
Janus Aspen Perkins Mid Cap Value		822,938		1,303,680
Janus Aspen Worldwide — Institutional		548,420		6,132,145
Janus Aspen Worldwide — Service		4		1,109
JPMorgan Insurance Trust:
JPMorgan Insurance Trust Balanced		15,477		83,956
JPMorgan Insurance Trust Core Bond		505,699		334,148
JPMorgan Insurance Trust Equity Index		244,422		44,539
JPMorgan Insurance Trust International Equity		196,721		2,174,703
JPMorgan Insurance Trust Intrepid Growth		158		14,016
JPMorgan Insurance Trust Intrepid Mid Cap		411,155		750,202
JPMorgan Insurance Trust Mid Cap Growth		398,542		402,946
JPMorgan Insurance Trust Mid Cap Value		455,675		1,846,031
JPMorgan Insurance Trust Small Cap Core		539,488		1,310,611
JPMorgan Insurance Trust U.S. Equity		190,996		285,115
Oppenheimer Variable Account Funds:
Oppenheimer Capital Appreciation		229,873		1,041,440
Oppenheimer Global Securities		1,172,599		5,972,293
Oppenheimer Global Strategic Income VA Series		3,316,719		2,410,071

61

ZALICO Variable Annuity Separate Account
of Zurich American Life Insurance Company

Notes to Financial Statements

(3) Purchases and Sales of Investments: (continued)

	Purchases		Sales
Oppenheimer Variable Account Funds:
Oppenheimer High Income	$	181,619	$	383,618
Oppenheimer Main Street		280,692		1,232,297
Oppenheimer Main Street Small Cap		715,085		1,862,135
Oppenheimer Small-MidCap Growth VA Series		228,153		211,781
PIMCO Variable Insurance Trust:
PIMCO Foreign Bond		12,299		15,125
PIMCO Low Duration		8,709		14,604

The remainder of this page intentionally left blank

62

ZALICO Variable Annuity Separate Account
of Zurich American Life Insurance Company

Notes to Financial Statements

(4) Expenses and Related Party Transactions:

The following is a summary of Separate Account expense charges which are assessed either as a direct reduction in unit values or through a redemption of units for all contracts contained within the Separate Account:

Contract Charges	Range
Mortality and Expense Risk Charge
Each Subaccount is assessed a daily asset charge for mortality and expense risks through a reduction in unit values. The mortality and expense risk charge covers certain insurance benefits available under the contracts and certain expenses the Company expects to incur. It also covers the risk that charges will not be sufficient to cover costs associated with the contracts and to provide contractual benefits.	0-1.25%
Administration Charge
Each Subaccount is assessed a daily administration charge through a reduction in unit values. This charge reimburses us for expenses incurred for administering the Contracts. These expenses include Owner inquiries, changes in allocations, Owner reports, Contract maintenance costs, and data processing costs. The administrative charge covers the average anticipated administrative expenses incurred while the Contracts are in force.	0-.50%
Records Maintenance Charge
An annual Records Maintenance Charge is assessed during the Accumulation Period through the redemption of units and is assessed equally among all Subaccounts in which the Contract Holder has an interest. The charge is assessed at the end of each Contract year, on Contract surrender and upon annuitization. However, the Separate Account does not deduct the Records Maintenance Charge for Contracts with Contract Value of at least $50,000 on the assessment date. This charge reimburses the Separate Account for the expenses of establishing and maintaining Contract records.	0-$30
Withdrawal Charge
Withdrawal Charges are applicable only during the first seven Contribution Years following each purchase payment. When a withdrawal is requested in good order, and a Withdrawal Charge applies, the Contract Value is reduced by the amount of the Withdrawal Charge through the redemption of units. This charge is subject to certain exceptions. The Withdrawal Charge compensate the Company for Contract distribution expenses, which include the payment of commissions and other promotion and acquisition expenses.	0-8%
Optional Benefit Fees
Optional benefits may be elected by contractholders. These benefits include death benefits and living benefits through the purchase of riders, such as Guaranteed Retirement Income Benefit Rider (“GRIB”), Guaranteed Minimum Death Benefit Rider (“GMDB”), Earnings Based Death Benefit Rider (“EBDB”), Safeguard Enhanced Death Benefit Rider and/or Safeguard Plus Enhanced Death Benefit Rider. The fees for such benefits are deducted monthly and assessed through redemption of units. These fees are calculated on an “Asset Base” basis.	0.15-0.35%
Transfer Charge
The Company currently allows unlimited transfers without charge. The Company reserves the right to assess a transfer fee for the thirteenth and each subsequent transfer during a Contract Year. The charge would be assessed through the redemption of units.	0-$25
Investment Management Fees and other expenses
In some cases, the value of the net assets of each Subaccount is reduced by the Investment Management, 12b-1 fees and service fees and other expenses incurred by the corresponding portfolio in which the Subaccount invests. These fees and expenses are paid indirectly by the Contract Holder through the reduction of unit values.	0-0.25%
Redemption Fees
A Fund or Portfolio may assess a redemption fee on Subaccount assets that are redeemed out of the Fund or Portfolio in connection with a withdrawal or transfer. Each Fund or Portfolio determines the amount of the redemption fee and when the fee is imposed. The redemption fee is retained by or paid to the Fund or Portfolio and is not retained by the Company. The redemption fee is deducted from the Contract Value through the redemption of units.	0-2%
Applicable State Premium Taxes
Certain state and local governments impose a premium tax on Purchase Payments which, depending on the state, is paid by the Company at the time a Purchase Payment is received from the Contract Holder or at the time the Contract is annuitized. If the Contract Holder lives in a state where premium taxes are paid at the time a Purchase Payment is received, the Company reserves the right to deduct the amount of the premium tax payable from the Contract Value at the time the Purchase Payment is received. If the Contract Holder lives in a state where premium taxes are paid at time of annuitization, the amount of the premium tax payable will be deducted from the Contract Value.	0-3.5%

Synergy Investment Group, LLC (“Synergy”), an unaffiliated broker/dealer, and Investment Distributors, Inc. (“IDI”), an affiliate of PLICO, are the principal underwriters for the ZALICO separate account. Synergy serves as the principal underwriter for the Scudder Destinations and Farmers Variable Annuity I contracts. IDI serves as the principal underwriter for the remainder of the variable annuity contracts funded through the separate account. BFP Securities LLC, an affiliate of the Company, is also the primary wholesaling distributor of the Company’s BOLI products.

63

ZALICO Variable Annuity Separate Account
of Zurich American Life Insurance Company

Notes to Financial Statements

(5) Changes in Units Outstanding:

The changes in units outstanding for the years ended December 31, 2010 and 2009 were as follows:

					Net Increase /
	Units Issued		Units Redeemed		(Decrease)
The Alger Portfolios:
Alger Balanced O
2010		301,902		893,726		(591,824	)
2009		670,628		1,674,800		(1,004,172	)
Alger Balanced S
2010		—		4,670		(4,670	)
2009		2,581		607		1,974
Alger Capital Appreciation O
2010		829,395		1,303,350		(473,955	)
2009		1,267,123		2,893,443		(1,626,320	)
Alger Capital Appreciation S
2010		473		474		(1	)
2009		—		—		—
Alger Large Cap Growth I-2
2010		24,648		54,208		(29,560	)
2009		46,479		73,677		(27,198	)
Alger Mid Cap Growth I-2
2010		46,235		102,606		(56,371	)
2009		92,478		147,937		(55,459	)
Alger Mid Cap Growth S
2010		2		2		—
2009		46		2		44
Alger Small Cap Growth I-2
2010		40,181		85,375		(45,194	)
2009		99,457		66,406		33,051
American Century Variable Portfolios, Inc.:
American Century VP Income & Growth
2010		109,634		386,912		(277,278	)
2009		193,038		512,351		(319,313	)
American Century VP Income & Growth II
2010		—		—		—
2009		—		—		—
American Century VP Value
2010		2,468,350		2,167,498		300,852
2009		237,732		589,395		(351,663	)
American Century VP Value II
2010		—		—		—
2009		—		—		—

64

ZALICO Variable Annuity Separate Account
of Zurich American Life Insurance Company

Notes to Financial Statements

(5) Changes in Units Outstanding: (continued)

					Net Increase /
	Units Issued		Units Redeemed		(Decrease)
Credit Suisse Trust:
Credit Suisse Trust International Equity Flex II
2010		—		—		—
2009		—		1,192,719		(1,192,719	)
Credit Suisse Trust International Equity Flex III
2010		557,559		978,042		(420,483	)
2009		1,221,919		1,386,895		(164,976	)
Dreyfus Investment Portfolios:
Dreyfus I.P. MidCap Stock A
2010		564,511		936,642		(372,131	)
2009		480,319		2,434,820		(1,954,501	)
Dreyfus I.P. MidCap Stock SC
2010		80,861		63,879		16,982
2009		22,029		30,579		(8,550	)
The Dreyfus Socially Responsible Growth Fund, Inc:
The Dreyfus Socially Responsible Growth A
2010		55,795		115,029		(59,234	)
2009		76,132		184,685		(108,553	)
The Dreyfus Socially Responsible Growth SC
2010		5		—		5
2009		6		—		6
DWS Variable Series I:
DWS Bond VIP
2010		660,551		887,664		(227,113	)
2009		1,638,071		1,175,864		462,207
DWS Capital Growth VIP A
2010		762,687		3,804,274		(3,041,587	)
2009		7,242,333		8,424,963		(1,182,630	)
DWS Capital Growth VIP B
2010		90		942		(852	)
2009		412		20,307		(19,895	)
DWS Global Opportunities VIP A
2010		618,434		967,283		(348,849	)
2009		723,078		2,120,454		(1,397,376	)
DWS Global Opportunities VIP B
2010		—		1		(1	)
2009		—		1		(1	)

65

ZALICO Variable Annuity Separate Account
of Zurich American Life Insurance Company

Notes to Financial Statements

(5) Changes in Units Outstanding: (continued)

			Units		Net Increase /
	Units Issued		Redeemed		(Decrease)
DWS Variable Series I: (continued)
DWS Growth & Income VIP A
2010		298,305		799,767		(501,462	)
2009		473,961		1,595,439		(1,121,478	)
DWS Growth & Income VIP B
2010		304		1,441		(1,137	)
2009		552		615		(63	)
DWS Health Care VIP A
2010		298,090		646,726		(348,636	)
2009		315,709		1,659,655		(1,343,946	)
DWS Health Care VIP B
2010		—		45		(45	)
2009		—		111		(111	)
DWS International VIP A
2010		417,555		1,121,282		(703,727	)
2009		702,993		2,752,657		(2,049,664	)
DWS International VIP B
2010		309		716		(407	)
2009		152		1,407		(1,255	)
DWS Variable Series II:
DWS Balanced VIP
2010		702,014		3,739,005		(3,036,991	)
2009		1,223,661		5,839,060		(4,615,399	)
DWS Blue Chip VIP A
2010		455,547		1,367,752		(912,205	)
2009		747,051		2,910,361		(2,163,310	)
DWS Blue Chip VIP B
2010		167		1,283		(1,116	)
2009		33		860		(827	)
DWS Core Fixed Income VIP A
2010		3,701,741		4,878,788		(1,177,047	)
2009		3,872,245		5,939,399		(2,067,154	)
DWS Davis Venture Value VIP
2010		—		—		—
2009		562		11,803,333		(11,802,771	)
DWS Diversified International Equity VIP
2010		994,786		2,659,564		(1,664,778	)
2009		1,298,595		4,979,949		(3,681,354	)

66

ZALICO Variable Annuity Separate Account
of Zurich American Life Insurance Company

Notes to Financial Statements

(5) Changes in Units Outstanding: (continued)

					Net Increase /
	Units Issued		Units Redeemed		(Decrease)
DWS Variable Series II: (continued)
DWS Dreman Small Mid Cap Value VIP A
2010		1,722,220		4,001,299		(2,279,079	)
2009		2,148,467		6,824,182		(4,675,715	)
DWS Dreman Small Mid Cap Value VIP B
2010		481		1,573		(1,092	)
2009		221		1,582		(1,361	)
DWS Global Thematic VIP A
2010		404,407		735,873		(331,466	)
2009		552,615		1,593,743		(1,041,128	)
DWS Global Thematic VIP B
2010		215		—		215
2009		274		848		(574	)
DWS Government & Agency Securities VIP A
2010		3,538,234		4,781,760		(1,243,526	)
2009		2,992,957		5,733,482		(2,740,525	)
DWS Government & Agency Securities VIP B
2010		735		1,054		(319	)
2009		962		5,779		(4,817	)
DWS High Income VIP A
2010		5,609,636		7,242,330		(1,632,694	)
2009		4,506,753		5,629,812		(1,123,059	)
DWS High Income VIP B
2010		145		1,551		(1,406	)
2009		169		2,422		(2,253	)
DWS Janus Growth & Income VIP
2010		—		—		—
2009		—		8,715,133		(8,715,133	)
DWS Large Cap Value VIP A
2010		1,278,428		3,613,707		(2,335,279	)
2009		9,035,764		5,976,564		3,059,200
DWS Large Cap Value VIP B
2010		225		2,018		(1,793	)
2009		20,754		12,897		7,857
DWS Mid Cap Growth VIP
2010		420,164		524,830		(104,666	)
2009		506,130		753,601		(247,471	)
DWS Money Market VIP
2010		16,394,118		20,061,285		(3,667,167	)
2009		17,524,757		30,756,924		(13,232,167	)

67

ZALICO Variable Annuity Separate Account
of Zurich American Life Insurance Company

Notes to Financial Statements

(5) Changes in Units Outstanding: (continued)

					Net Increase /
	Units Issued		Units Redeemed		(Decrease)
DWS Variable Series II: (continued)
DWS Small Cap Growth VIP
2010		1,563,231		3,516,507		(1,953,276	)
2009		2,286,270		4,954,927		(2,668,657	)
DWS Strategic Income VIP
2010		688,564		846,435		(157,871	)
2009		1,068,032		1,872,246		(804,214	)
DWS Strategic Value VIP A
2010		773,361		3,112,889		(2,339,528	)
2009		1,436,051		8,352,676		(6,916,625	)
DWS Strategic Value VIP B
2010		279		3,370		(3,091	)
2009		783		3,916		(3,133	)
DWS Technology VIP A
2010		2,456,018		3,932,205		(1,476,187	)
2009		3,266,293		4,297,724		(1,031,431	)
DWS Technology VIP B
2010		636		1,521		(885	)
2009		149		96		53
DWS Turner Mid Cap Growth VIP
2010		611,720		940,032		(328,312	)
2009		930,659		2,978,261		(2,047,602	)
DWS Investments VIT Funds:
DWS Equity 500 Index VIP A
2010		1,019,310		1,829,186		(809,876	)
2009		2,571,534		5,120,772		(2,549,238	)
DWS Equity 500 Index VIP B2
2010		37		303		(266	)
2009		46		27		19
Fidelity Variable Insurance Products Funds:
Fidelity VIP Asset Manager
2010		13,711		43,386		(29,675	)
2009		18,907		52,251		(33,344	)
Fidelity VIP Contrafund
2010		151,317		432,661		(281,344	)
2009		413,019		611,563		(198,544	)

68

ZALICO Variable Annuity Separate Account
of Zurich American Life Insurance Company

Notes to Financial Statements

(5) Changes in Units Outstanding: (continued)

					Net Increase /
	Units Issued		Units Redeemed		(Decrease)
Fidelity Variable Insurance Products Funds: (continued)
Fidelity VIP Contrafund 2
2010		—		—		—
2009		—		—		—
Fidelity VIP Equity Income
2010		55,932		181,665		(125,733	)
2009		94,151		266,877		(172,726	)
Fidelity VIP Equity Income 2
2010		—		—		—
2009		—		—		—
Fidelity VIP Growth
2010		50,345		164,602		(114,257	)
2009		159,025		217,350		(58,325	)
Fidelity VIP Index 500
2010		25,289		82,986		(57,697	)
2009		62,332		121,222		(58,890	)
Fidelity VIP Index 500 SC
2010		1,262		5,890		(4,628	)
2009		4,132		8,383		(4,251	)
Franklin Templeton Variable Insurance Products Trust:
Franklin Rising Dividends Securities
2010		95,654		113,269		(17,615	)
2009		89,075		148,606		(59,531	)
Franklin Small Cap Value Securities
2010		106,673		85,791		20,882
2009		66,868		116,772		(49,904	)
Franklin Strategic Income Securities
2010		227,077		227,503		(426	)
2009		413,740		315,987		97,753
Franklin U.S. Government
2010		116,618		152,638		(36,020	)
2009		261,682		260,346		1,336
Franklin Zero Coupon 2010
2010		41,760		662,059		(620,299	)
2009		100,703		307,283		(206,580	)
Mutual Global Discovery Securities
2010		170,797		270,323		(99,526	)
2009		233,308		337,428		(104,120	)

69

ZALICO Variable Annuity Separate Account
of Zurich American Life Insurance Company

Notes to Financial Statements

(5) Changes in Units Outstanding: (continued)

					Net Increase /
	Units Issued		Units Redeemed		(Decrease)
Franklin Templeton Variable Insurance Products Trust: (continued)
Mutual Shares Securities
2010		150,017		179,034		(29,017	)
2009		171,004		231,169		(60,165	)
Templeton Developing Markets Securities
2010		64,040		78,667		(14,627	)
2009		97,197		86,502		10,695
ING Global Resources Trust:
ING Global Resources Trust
2010		150,499		230,188		(79,689	)
2009		152,278		298,096		(145,818	)
ING Investors Trust:
ING JPMorgan Emerging Markets Equity
2010		51,427		112,819		(61,392	)
2009		97,387		107,722		(10,335	)
Invesco Variable Insurance Funds:
Invesco Financial Services Fund
2010		93,359		69,708		23,651
2009		159,936		207,779		(47,843	)
Invesco Global Health Care
2010		14,776		27,277		(12,501	)
2009		33,348		72,802		(39,454	)
Invesco Global Real Estate
2010		44,183		92,174		(47,991	)
2009		59,117		109,310		(50,193	)
Invesco Utilities
2010		258,536		546,715		(288,179	)
2009		489,390		1,440,236		(950,846	)
Janus Aspen Series:
Janus Aspen Balanced
2010		143,642		364,960		(221,318	)
2009		178,736		444,291		(265,555	)
Janus Aspen Enterprise — Institutional
2010		67,944		220,116		(152,172	)
2009		103,764		246,192		(142,428	)

70

ZALICO Variable Annuity Separate Account
of Zurich American Life Insurance Company

Notes to Financial Statements

(5) Changes in Units Outstanding: (continued)

					Net Increase /
	Units Issued		Units Redeemed		(Decrease)
Janus Aspen Series: (continued)
Janus Aspen Forty
2010		2,376		6,486		(4,110	)
2009		2,121		10,756		(8,635	)
Janus Aspen Janus — Institutional
2010		61,366		217,391		(156,025	)
2009		82,331		217,247		(134,916	)
Janus Aspen Perkins Mid Cap Value
2010		55,909		77,863		(21,954	)
2009		95,595		119,893		(24,298	)
Janus Aspen Perkins Small Company Value
2010		—		—		—
2009		26,527		448,183		(421,656	)
Janus Aspen Worldwide — Institutional
2010		72,177		256,032		(183,855	)
2009		124,514		303,200		(178,686	)
Janus Aspen Worldwide — Service
2010		—		103		(103	)
2009		—		—		—
JPMorgan Insurance Trust:
JPMorgan Insurance Trust Balanced
2010		1,375		7,109		(5,734	)
2009		3,411		163		3,248
JPMorgan Insurance Trust Core Bond
2010		38,782		28,058		10,724
2009		176,458		60,686		115,772
JPMorgan Insurance Trust Equity Index
2010		22,252		4,065		18,187
2009		3,039		13,430		(10,391	)
JPMorgan Insurance Trust Government Bond
2010		—		—		—
2009		6,795		59,865		(53,070	)
JPMorgan Insurance Trust International Equity
2010		50,541		165,029		(114,488	)
2009		1,603,217		914,671		688,546
JPMorgan Insurance Trust Intrepid Growth
2010		—		1,471		(1,471	)
2009		—		—		—

71

ZALICO Variable Annuity Separate Account
of Zurich American Life Insurance Company

Notes to Financial Statements

(5) Changes in Units Outstanding: (continued)

			Units		Net Increase /
	Units Issued		Redeemed		(Decrease)
JPMorgan Insurance Trust: (continued)
JPMorgan Insurance Trust Intrepid Mid Cap
2010		38,220		66,150		(27,930	)
2009		28,245		66,353		(38,108	)
JPMorgan Insurance Trust Mid Cap Growth
2010		35,540		33,705		1,835
2009		27,502		42,605		(15,103	)
JPMorgan Insurance Trust Mid Cap Value
2010		54,761		165,395		(110,634	)
2009		1,423,632		828,916		594,716
JPMorgan Insurance Trust Small Cap Core
2010		45,559		90,337		(44,778	)
2009		744,476		449,533		294,943
JPMorgan Insurance Trust U.S. Equity
2010		17,538		25,241		(7,703	)
2009		6,349		18,535		(12,186	)
JPMorgan Series Trust II:
JPMorgan International Equity
2010		—		—		—
2009		30,391		882,520		(852,129	)
JPMorgan MidCap Value
2010		—		—		—
2009		17,818		556,083		(538,265	)
JPMorgan Small Company
2010		—		—		—
2009		22,765		389,370		(366,605	)
Oppenheimer Variable Account Funds:
Oppenheimer Capital Appreciation
2010		30,250		95,457		(65,207	)
2009		85,694		85,907		(213	)
Oppenheimer Global Securities
2010		139,996		396,777		(256,781	)
2009		277,306		520,785		(243,479	)
Oppenheimer Global Strategic Income VA Series
2010		237,438		218,997		18,441
2009		189,843		324,394		(134,551	)

72

ZALICO Variable Annuity Separate Account
of Zurich American Life Insurance Company

Notes to Financial Statements

(5) Changes in Units Outstanding: (continued)

			Units		Net Increase /
	Units Issued		Redeemed		(Decrease)
Oppenheimer Variable Account Funds: (continued)
Oppenheimer High Income
2010		41,459		114,020		(72,561	)
2009		199,737		98,825		100,912
Oppenheimer Main Street
2010		39,220		115,011		(75,791	)
2009		63,062		194,605		(131,543	)
Oppenheimer Main Street Small Cap
2010		62,444		127,907		(65,463	)
2009		72,037		149,724		(77,687	)
Oppenheimer Small-MidCap Growth VA Series
2010		20,113		18,914		1,199
2009		19,919		15,372		4,547
PIMCO Variable Insurance Trust:
PIMCO Foreign Bond
2010		461		916		(455	)
2009		712		2,124		(1,412	)
PIMCO Low Duration
2010		424		882		(458	)
2009		482		294		188

73

ZALICO Variable Annuity Separate Account
of Zurich American Life Insurance Company

Notes to Financial Statements

(6) Unit Values and Financial Highlights:

A summary of the units outstanding, unit fair values, net assets for variable annuity contracts, net investment income ratios, the expense ratios, excluding expenses of the underlying funds, and total returns for each of the five years in the period ended December 31, 2010, were as follows.

	At December 31,								For the year ended December 31,
							Net Assets		Investment
	Units		Unit Fair Value				(1)		Income			Expense Ratio (3)						Total Return (4)
	(000s)		Lowest		Highest		(000s)		Ratio (2)			Lowest			Highest			Lowest			Highest
Alger Portfolios: (5)
Alger Balanced O (6)
2010		3,449	$	12.246	$	12.246	$	42,236		2.49	%		1.40	%		1.40	%		8.81	%		8.81	%
2009		4,041		11.255		11.255		45,477		3.20	%		1.40	%		1.40	%		27.46	%		27.46	%
2008		5,045		8.830		8.830		44,546		2.80	%		1.40	%		1.40	%		-32.71	%		-32.71	%
2007		7,050		13.121		13.121		92,499		2.14	%		1.40	%		1.40	%		10.81	%		10.81	%
2006		8,412		11.465		11.465		99,604		1.53	%		1.40	%		1.40	%		3.28	%		3.28	%
Alger Balanced S (6)
2010 (7)		N/A		N/A		N/A		N/A		N/A			N/A			N/A			N/A			N/A
2009		5		11.753		12.059		56		3.88	%		1.70	%		2.05	%		25.92	%		26.35	%
2008		3		9.334		9.544		26		N/A			1.70	%		2.05	%		-33.27	%		-33.04	%
2007		3		13.987		14.253		45		N/A			1.70	%		2.05	%		12.18	%		12.56	%
2006		7		12.181		12.327		82		N/A			1.70	%		2.05	%		2.37	%		2.72	%
Alger Capital Appreciation O (8)
2010		4,578		11.866		11.866		54,321		0.38	%		1.40	%		1.40	%		12.45	%		12.45	%
2009		5,052		10.552		10.552		53,307		N/A			1.40	%		1.40	%		49.02	%		49.02	%
2008		6,678		7.081		7.081		47,288		N/A			1.40	%		1.40	%		-45.90	%		-45.90	%
2007		9,245		13.088		13.088		121,007		0.06	%		1.40	%		1.40	%		31.68	%		31.68	%
2006		8,585		8.450		8.450		85,346		0.03	%		1.40	%		1.40	%		17.62	%		17.62	%
Alger Capital Appreciation S (8)
2010		—		18.262		18.802		2		0.19	%		1.70	%		2.05	%		11.35	%		11.73	%
2009		—		16.401		16.828		1		N/A			1.70	%		2.05	%		47.66	%		48.17	%
2008		—		11.107		11.357		1		N/A			1.70	%		2.05	%		-46.37	%		-46.18	%
2007		—		20.709		21.102		3		0.20	%		1.70	%		2.05	%		30.51	%		30.96	%
2006		1		13.612		13.775		19		N/A			1.70	%		2.05	%		16.58	%		16.58	%
Alger Large Cap Growth I-2 (9)
2010		209		40.998		57.935		11,342		0.73	%		1.00	%		2.25	%		10.89	%		12.26	%
2009		238		36.970		51.606		11,580		0.61	%		1.00	%		2.25	%		44.33	%		46.11	%
2008		266		25.616		35.319		8,887		0.23	%		1.00	%		2.25	%		-47.34	%		-46.69	%
2007		293		48.646		66.251		18,402		0.33	%		1.00	%		2.25	%		17.29	%		18.75	%
2006		355		40.329		53.587		18,865		0.13	%		1.00	%		2.25	%		2.19	%		4.11	%
Alger Mid Cap Growth O (10)
2010		384		32.696		36.610		13,498		N/A			1.00	%		2.25	%		16.76	%		18.20	%
2009		440		28.003		30.973		13,152		N/A			1.00	%		2.25	%		48.37	%		50.20	%
2008		495		18.874		20.620		9,911		0.17	%		1.00	%		2.25	%		-59.28	%		-58.77	%
2007		572		46.347		50.013		27,876		N/A			1.00	%		2.25	%		28.65	%		30.25	%
2006		602		33.443		35.210		22,574		N/A			1.00	%		2.25	%		7.72	%		9.05	%
Alger Mid Cap Growth S (10)
2010		1		15.150		15.597		13		N/A			1.70	%		2.05	%		16.50	%		16.90	%
2009		1		13.004		13.343		11		N/A			1.70	%		2.05	%		48.27	%		48.78	%
2008		1		8.770		8.968		7		N/A			1.70	%		2.05	%		-59.31	%		-59.17	%
2007		1		21.554		21.963		17		N/A			1.70	%		2.05	%		28.62	%		29.07	%
2006		1		15.641		15.829		13		N/A			1.70	%		2.05	%		7.13	%		7.50	%

74

ZALICO Variable Annuity Separate Account
of Zurich American Life Insurance Company

Notes to Financial Statements

(6) Unit Values and Financial Highlights: (continued)

	At December 31,								For the year ended December 31,
							Net Assets		Investment
	Units		Unit Fair Value				(1)		Income			Expense Ratio (3)						Total Return (4)
	(000s)		Lowest		Highest		(000s)		Ratio (2)			Lowest			Highest			Lowest			Highest
Alger Portfolios: (5) (continued)
Alger Small Cap Growth I-2 (11)
2010		173	$	20.930	$	56.472	$	8,564		N/A			1.00	%		2.25	%		22.43	%		24.05	%
2009		218		17.095		45.522		8,384		N/A			1.00	%		2.25	%		42.17	%		44.07	%
2008		185		12.024		31.598		5,170		N/A			1.00	%		2.25	%		-47.78	%		-47.13	%
2007		182		23.026		59.766		9,698		N/A			1.00	%		2.25	%		14.58	%		16.07	%
2006		185		20.097		51.489		8,534		N/A			1.00	%		2.25	%		16.43	%		18.83	%
American Century Variable Portfolios, Inc.:
American Century VP Income & Growth
2010		1,450		6.645		7.423		10,420		1.44	%		1.00	%		2.25	%		11.64	%		13.02	%
2009		1,727		5.953		6.568		11,010		4.57	%		1.00	%		2.25	%		15.50	%		16.93	%
2008		2,046		5.154		5.617		11,188		2.16	%		1.00	%		2.25	%		-36.03	%		-35.24	%
2007		2,932		8.057		8.674		24,831		2.01	%		1.00	%		2.25	%		-2.28	%		-1.06	%
2006		3,975		7.185		7.562		34,156		1.87	%		1.00	%		2.25	%		14.52	%		15.93	%
American Century VP Income & Growth II
2010		1		12.495		12.864		9		1.23	%		1.70	%		2.05	%		11.57	%		11.96	%
2009		1		11.199		11.490		8		4.05	%		1.70	%		2.05	%		15.41	%		15.81	%
2008		1		9.703		9.922		7		1.78	%		1.70	%		2.05	%		-36.04	%		-35.82	%
2007		1		15.172		15.460		11		1.64	%		1.70	%		2.05	%		-2.44	%		-2.11	%
2006		1		13.659		13.823		11		1.51	%		1.70	%		2.05	%		13.86	%		14.25	%
American Century VP Value
2010		2,021		9.122		10.707		20,809		2.39	%		1.00	%		2.25	%		10.93	%		12.30	%
2009		1,720		8.223		9.534		15,778		5.38	%		1.00	%		2.25	%		17.23	%		18.68	%
2008		2,072		7.015		8.034		16,036		2.54	%		1.00	%		2.25	%		-28.39	%		-27.50	%
2007		2,614		9.796		11.081		28,023		1.72	%		1.00	%		2.25	%		-7.24	%		-6.08	%
2006		3,043		9.099		10.043		34,797		1.36	%		1.00	%		2.25	%		16.05	%		17.48	%
American Century VP Value II
2010		—		14.014		14.428		4		2.00	%		1.70	%		2.05	%		10.77	%		11.15	%
2009		—		12.652		12.981		4		4.96	%		1.70	%		2.05	%		17.32	%		17.72	%
2008		—		10.784		11.027		3		2.31	%		1.70	%		2.05	%		-28.28	%		-28.03	%
2007		—		15.036		15.322		4		2.44	%		1.70	%		2.05	%		-7.22	%		-6.90	%
2006		1		14.029		14.197		24		1.27	%		1.70	%		2.05	%		15.52	%		15.92	%
Credit Suisse Trust:
Credit Suisse Trust International Equity Flex II
2010		N/A		N/A		N/A		N/A		N/A			N/A			N/A			N/A			N/A
2009 (12)		N/A		N/A		N/A		N/A		N/A			N/A			N/A			N/A			N/A
2008		1,193		6.170		8.786		7,359		1.63	%		1.40	%		2.05	%		-47.83	%		-47.49	%
2007		2,070		11.751		16.782		24,325		N/A			1.40	%		2.05	%		-5.90	%		-5.29	%
2006		2,383		12.407		17.773		29,574		N/A			1.40	%		2.05	%		10.94	%		11.65	%
Credit Suisse Trust International Equity Flex III (13)
2010		2,176		18.159		22.796		43,927		0.09	%		1.00	%		2.25	%		9.76	%		11.12	%
2009		2,596		16.543		20.656		47,351		2.23	%		1.00	%		2.25	%		48.28	%		50.12	%
2008		2,762		11.157		13.855		33,670		1.92	%		1.00	%		2.25	%		-55.80	%		-55.25	%
2007		4,089		25.242		31.179		111,926		1.45	%		1.00	%		2.25	%		26.58	%		28.15	%
2006		4,547		19.942		24.500		97,524		0.53	%		1.00	%		2.25	%		29.55	%		31.21	%

75

ZALICO Variable Annuity Separate Account
of Zurich American Life Insurance Company

Notes to Financial Statements

(6) Unit Values and Financial Highlights: (continued)

	At December 31,								For the year ended December 31,
							Net Assets		Investment
	Units		Unit Fair Value				(1)		Income			Expense Ratio (3)						Total Return (4)
	(000s)		Lowest		Highest		(000s)		Ratio (2)			Lowest			Highest			Lowest			Highest
Dreyfus Investment Portfolios:
Dreyfus I.P. MidCap Stock A
2010		3,677	$	15.973	$	15.973	$	58,739		0.94	%		1.40	%		1.40	%		25.34	%		25.34	%
2009		4,049		12.743		12.743		51,604		1.43	%		1.40	%		1.40	%		33.64	%		33.64	%
2008		6,004		9.536		9.536		58,261		1.04	%		1.40	%		1.40	%		-41.25	%		-41.25	%
2007		8,728		16.230		16.230		143,605		0.44	%		1.40	%		1.40	%		0.09	%		0.09	%
2006		10,607		13.429		15.418		172,015		0.39	%		1.00	%		2.25	%		4.85	%		6.61	%
Dreyfus I.P. MidCap Stock SC
2010		127		14.792		16.384		2,010		0.78	%		1.00	%		2.25	%		24.15	%		25.69	%
2009		110		11.891		13.035		1,395		0.95	%		1.00	%		2.25	%		32.35	%		33.99	%
2008		119		8.967		9.729		117		8.06	%		1.00	%		2.25	%		-41.76	%		-41.04	%
2007		135		15.366		16.499		230		2.88	%		1.00	%		2.25	%		-0.86	%		0.38	%
2006		19		14.659		14.835		299		1.54	%		1.70	%		2.05	%		5.52	%		5.88	%
The Dreyfus Socially Responsible Growth Fund, Inc.:
Dreyfus Socially Responsible Growth A
2010		508		7.793		28.958		5,724		0.85	%		1.00	%		2.25	%		12.29	%		13.68	%
2009		567		6.883		25.473		5,714		0.94	%		1.00	%		2.25	%		30.81	%		32.43	%
2008		676		5.218		19.235		5,007		0.81	%		1.00	%		2.25	%		-35.87	%		-35.07	%
2007		906		8.069		29.627		9,740		0.51	%		1.00	%		2.25	%		5.40	%		6.71	%
2006		1,388		7.049		25.677		12,962		0.10	%		1.00	%		2.25	%		6.19	%		8.12	%
Dreyfus Socially Responsible Growth SC
2010		—		12.323		12.687		2		0.60	%		1.70	%		2.05	%		12.25	%		12.63	%
2009		—		10.978		11.264		2		0.60	%		1.70	%		2.05	%		30.76	%		31.21	%
2008		—		8.396		8.585		1		0.52	%		1.70	%		2.05	%		-35.90	%		-35.68	%
2007		—		13.098		13.346		3		0.14	%		1.70	%		2.05	%		5.32	%		5.69	%
2006		3		11.647		11.786		32		N/A			1.70	%		2.05	%		6.77	%		7.14	%
Dreyfus Variable Investment Fund:
Dreyfus VIF Small Company Stock
2010		N/A		N/A		N/A		N/A		N/A			N/A			N/A			N/A			N/A
2009		N/A		N/A		N/A		N/A		N/A			N/A			N/A			N/A			N/A
2008		N/A		N/A		N/A		N/A		N/A			N/A			N/A			N/A			N/A
2007 (14)		N/A		N/A		N/A		N/A		N/A			N/A			N/A			N/A			N/A
2006		47		14.271		17.501		815		N/A			1.00	%		2.25	%		7.92	%		9.85	%
DWS Variable Series I: (15)
DWS Bond VIP
2010		2,609		7.578		12.782		24,438		4.37	%		1.00	%		2.25	%		4.44	%		5.73	%
2009		2,836		7.255		12.137		25,103		7.39	%		1.00	%		2.25	%		7.65	%		38.47	%
2008		2,373		6.740		11.181		18,767		6.26	%		1.00	%		2.25	%		-18.60	%		-17.59	%
2007		2,888		8.280		13.623		27,128		4.11	%		1.00	%		2.25	%		1.87	%		3.14	%
2006		2,187		8.128		13.260		19,656		2.14	%		1.00	%		2.25	%		2.42	%		3.68	%
DWS Capital Growth VIP A
2010		17,222		11.538		24.158		229,370		0.88	%		1.00	%		2.25	%		14.14	%		15.55	%
2009 (16)		20,264		10.024		20.906		232,977		1.17	%		1.00	%		2.25	%		24.08	%		25.61	%
2008		21,447		8.012		16.643		198,670		1.17	%		1.00	%		2.25	%		-34.46	%		-33.65	%
2007		29,000		12.123		25.082		397,489		0.63	%		1.00	%		2.25	%		10.10	%		11.47	%
2006 (17)		35,506		10.201		20.940		436,463		0.41	%		1.00	%		2.25	%		5.50	%		7.46	%

76

ZALICO Variable Annuity Separate Account
of Zurich American Life Insurance Company

Notes to Financial Statements

(6) Unit Values and Financial Highlights: (continued)

	At December 31,								For the year ended December 31,
							Net Assets		Investment
	Units		Unit Fair Value				(1)		Income			Expense Ratio (3)						Total Return (4)
	(000s)		Lowest		Highest		(000s)		Ratio (2)			Lowest			Highest			Lowest			Highest
DWS Variable Series I: (15) (continued)
DWS Capital Growth VIP B
2010		12	$	13.987	$	14.401	$	177		0.54	%		1.70	%		2.05	%		14.00	%		14.39	%
2009 (16)		13		12.270		12.589		166		1.47	%		1.70	%		2.05	%		23.95	%		24.37	%
2008		33		9.900		10.122		332		0.67	%		1.70	%		2.05	%		-34.55	%		-34.32	%
2007		35		15.125		15.413		530		0.29	%		1.70	%		2.05	%		9.91	%		10.29	%
2006 (17)		56		12.982		13.138		772		0.16	%		1.70	%		2.05	%		6.00	%		6.37	%
DWS Global Opportunities VIP A (18)
2010		3,382		21.976		21.976		74,320		0.38	%		1.40	%		1.40	%		24.89	%		24.89	%
2009		3,731		17.596		17.596		65,646		1.61	%		1.40	%		1.40	%		46.16	%		46.16	%
2008		5,128		12.039		12.039		61,738		0.29	%		1.40	%		1.40	%		-50.66	%		-50.66	%
2007		7,462		24.400		24.400		182,071		1.28	%		1.40	%		1.40	%		7.81	%		7.81	%
2006		8,691		18.797		18.797		196,688		1.00	%		1.40	%		1.40	%		20.40	%		20.40	%
DWS Global Opportunities VIP B (18)
2010		—		21.305		21.934		4		0.08	%		1.70	%		2.05	%		23.85	%		24.27	%
2009		—		17.202		17.650		3		1.36	%		1.70	%		2.05	%		44.69	%		45.19	%
2008		—		11.889		12.156		2		N/A			1.70	%		2.05	%		-51.17	%		-51.00	%
2007		—		24.345		24.808		7		1.39	%		1.70	%		2.05	%		6.72	%		7.09	%
2006		1		19.100		19.329		13		0.58	%		1.70	%		2.05	%		19.44	%		19.85	%
DWS Growth & Income VIP A
2010		3,206		9.338		11.578		30,927		1.61	%		1.00	%		2.05	%		12.10	%		13.26	%
2009		3,707		8.277		10.223		31,677		1.98	%		1.00	%		2.05	%		31.45	%		34.87	%
2008		4,829		6.257		7.697		31,155		2.14	%		1.00	%		2.05	%		-39.55	%		-38.92	%
2007		6,915		10.285		12.602		71,600		1.28	%		1.00	%		2.05	%		-0.69	%		0.35	%
2006		8,327		9.182		11.162		87,917		0.97	%		1.00	%		2.05	%		11.35	%		12.50	%
DWS Growth & Income VIP B
2010		8		12.449		12.817		107		1.37	%		1.70	%		2.05	%		11.83	%		12.21	%
2009		10		11.133		11.422		108		1.80	%		1.70	%		2.05	%		30.95	%		31.40	%
2008		10		8.501		8.693		83		1.70	%		1.70	%		2.05	%		-39.53	%		-39.32	%
2007		10		14.059		14.326		138		0.83	%		1.70	%		2.05	%		-1.04	%		-0.70	%
2006		14		12.798		12.952		208		0.58	%		1.70	%		2.05	%		11.01	%		11.39	%
DWS Health Care VIP A (19)
2010		2,229		13.882		13.882		30,942		N/A			1.40	%		1.40	%		6.66	%		6.66	%
2009		2,578		13.015		13.015		33,548		1.28	%		1.40	%		1.40	%		20.50	%		20.50	%
2008		3,922		10.801		10.801		42,357		0.35	%		1.40	%		1.40	%		-24.27	%		-24.27	%
2007		5,172		14.262		14.262		73,767		N/A			1.40	%		1.40	%		11.63	%		11.63	%
2006		6,152		12.202		12.202		78,603		N/A			1.40	%		1.40	%		4.70	%		4.70	%
DWS Health Care VIP B (19)
2010		1		17.425		17.940		12		N/A			1.70	%		2.05	%		5.52	%		5.88	%
2009		1		16.513		16.943		12		1.01	%		1.70	%		2.05	%		19.36	%		19.77	%
2008		1		13.835		14.147		11		N/A			1.70	%		2.05	%		-25.04	%		-24.78	%
2007		1		18.457		18.807		16		N/A			1.70	%		2.05	%		10.60	%		10.98	%
2006		3		16.099		16.293		45		N/A			1.70	%		2.05	%		3.65	%		4.01	%
DWS International VIP A
2010		4,135		9.967		14.032		42,165		2.09	%		1.00	%		2.25	%		-0.61	%		0.62	%
2009		4,839		9.945		13.946		49,299		4.23	%		1.00	%		2.25	%		30.58	%		32.20	%
2008		6,889		7.552		10.550		53,129		1.50	%		1.00	%		2.25	%		-49.36	%		-48.73	%
2007		10,049		14.789		20.575		151,122		2.56	%		1.00	%		2.25	%		12.05	%		13.45	%
2006		11,394		10.540		14.578		151,767		1.85	%		1.00	%		2.25	%		22.13	%		24.67	%

77

ZALICO Variable Annuity Separate Account
of Zurich American Life Insurance Company

Notes to Financial Statements

(6) Unit Values and Financial Highlights: (continued)

	At December 31,								For the year ended December 31,
							Net Assets		Investment
	Units		Unit Fair Value				(1)		Income			Expense Ratio (3)						Total Return (4)
	(000s)		Lowest		Highest		(000s)		Ratio (2)			Lowest			Highest			Lowest			Highest
DWS Variable Series I: (15) (continued)
DWS International VIP B
2010		5	$	12.913	$	13.295	$	72		1.79	%		1.70	%		2.05	%		-0.70	%		-0.36	%
2009		6		13.004		13.343		77		3.85	%		1.70	%		2.05	%		30.22	%		30.66	%
2008		7		9.987		10.211		72		1.02	%		1.70	%		2.05	%		-49.29	%		-49.12	%
2007		6		19.694		20.068		128		2.15	%		1.70	%		2.05	%		11.95	%		12.33	%
2006		7		14.311		14.483		129		1.60	%		1.70	%		2.05	%		22.93	%		23.35	%
DWS Variable Series II: (15)
DWS Balanced VIP (20)
2010		24,052		2.227		12.457		180,808		3.12	%		1.00	%		2.25	%		8.78	%		10.12	%
2009		27,088		2.027		10.971		184,860		3.73	%		1.00	%		2.25	%		20.72	%		22.21	%
2008		31,704		1.663		9.388		177,453		4.22	%		1.00	%		2.25	%		-29.10	%		-28.05	%
2007		38,891		2.317		13.196		303,165		3.37	%		1.00	%		2.25	%		2.32	%		3.80	%
2006		46,425		2.238		12.852		345,141		2.53	%		1.00	%		2.25	%		7.29	%		9.15	%
DWS Blue Chip VIP A
2010		5,582		1.479		12.130		58,272		1.44	%		1.25	%		1.40	%		12.20	%		12.37	%
2009		6,493		1.316		10.811		60,769		1.91	%		1.25	%		1.40	%		32.12	%		32.32	%
2008		8,657		0.995		8.183		62,370		1.92	%		1.25	%		1.40	%		-39.35	%		-39.26	%
2007		12,533		1.637		13.491		150,847		1.13	%		1.25	%		1.40	%		2.06	%		2.22	%
2006		15,304		1.402		11.590		175,423		0.90	%		1.25	%		1.40	%		14.05	%		14.22	%
DWS Blue Chip VIP B
2010		12		14.166		14.584		167		1.16	%		1.70	%		2.05	%		11.27	%		11.65	%
2009		13		12.731		13.063		164		1.52	%		1.70	%		2.05	%		30.78	%		31.23	%
2008		14		9.735		9.954		133		1.44	%		1.70	%		2.05	%		-39.72	%		-39.51	%
2007		15		16.149		16.455		241		0.77	%		1.70	%		2.05	%		1.07	%		1.42	%
2006		19		14.155		14.325		313		0.49	%		1.70	%		2.05	%		12.88	%		13.27	%
DWS Core Fixed Income VIP A (21)
2010		11,343		1.133		12.239		47,896		6.32	%		1.00	%		2.25	%		1.73	%		5.46	%
2009		12,520		1.088		11.651		51,809		8.71	%		1.00	%		2.25	%		4.73	%		6.65	%
2008		14,587		1.033		10.968		59,265		8.47	%		1.00	%		2.25	%		-21.32	%		-20.13	%
2007		20,126		1.309		13.786		99,451		4.26	%		1.00	%		2.25	%		1.65	%		3.13	%
2006		19,071		1.285		13.420		98,142		3.33	%		1.00	%		2.25	%		1.72	%		3.23	%
DWS Davis Venture Value VIP
2010		N/A		N/A		N/A		N/A		N/A			N/A			N/A			N/A			N/A
2009 (22)		N/A		N/A		N/A		N/A		N/A			N/A			N/A			N/A			N/A
2008		11,803		8.207		9.702		96,901		1.65	%		1.40	%		2.05	%		-41.97	%		-41.06	%
2007		17,010		13.924		16.662		236,921		0.72	%		1.40	%		2.05	%		2.04	%		3.01	%
2006		18,456		13.517		16.273		249,555		0.63	%		1.40	%		2.05	%		12.05	%		13.26	%
DWS Diversified International Equity VIP (23)
2010		13,620		2.108		14.871		59,066		2.16	%		1.00	%		2.05	%		8.70	%		9.83	%
2009		15,285		1.939		10.455		60,284		5.87	%		1.00	%		2.05	%		26.76	%		28.08	%
2008		18,966		1.530		10.701		66,546		1.10	%		1.00	%		2.05	%		-50.09	%		-49.32	%
2007		23,672		3.050		21.368		175,919		2.69	%		1.00	%		2.05	%		13.85	%		15.55	%
2006		25,826		2.667		18.703		160,747		1.99	%		1.00	%		2.05	%		22.55	%		24.32	%
DWS Dreman Small Mid Cap Value VIP A (24)
2010		17,119		2.565		23.832		132,028		1.25	%		1.00	%		2.25	%		20.36	%		21.85	%
2009		19,398		2.127		19.606		124,831		1.82	%		1.00	%		2.25	%		26.85	%		28.42	%
2008		24,074		1.673		15.305		138,065		1.87	%		1.00	%		2.25	%		-34.89	%		-34.08	%
2007		32,070		2.565		23.275		324,747		1.05	%		1.00	%		2.25	%		0.78	%		2.03	%
2006		37,143		2.072		18.514		374,258		0.82	%		1.00	%		2.25	%		21.66	%		23.83	%

78

ZALICO Variable Annuity Separate Account
of Zurich American Life Insurance Company

Notes to Financial Statements

(6) Unit Values and Financial Highlights: (continued)

	At December 31,								For the year ended December 31,
							Net Assets		Investment
	Units		Unit Fair Value				(1)		Income			Expense Ratio (3)						Total Return (4)
	(000s)		Lowest		Highest		(000s)		Ratio (2)			Lowest			Highest			Lowest			Highest
DWS Variable Series II: (15) (continued)
DWS Dreman Small Mid Cap Value VIP B (24)
2010		12	$	19.938	$	22.397	$	235		0.88	%		1.70	%		2.05	%		20.20	%		20.61	%
2009		13		16.587		18.569		214		1.60	%		1.70	%		2.05	%		26.68	%		27.12	%
2008		14		13.093		14.608		187		1.33	%		1.70	%		2.05	%		-35.01	%		-34.79	%
2007		15		20.146		22.399		307		0.65	%		1.70	%		2.05	%		0.59	%		0.94	%
2006		19		16.403		16.600		389		0.38	%		1.70	%		2.05	%		22.10	%		22.52	%
DWS Global Thematic VIP A (25)
2010		2,422		16.044		16.044		38,862		0.93	%		1.40	%		1.40	%		12.09	%		12.09	%
2009		2,754		14.314		14.314		39,416		1.49	%		1.40	%		1.40	%		41.84	%		41.84	%
2008		3,795		10.092		10.092		38,297		1.72	%		1.40	%		1.40	%		-48.48	%		-48.48	%
2007		5,497		19.587		19.587		107,675		0.66	%		1.40	%		1.40	%		4.82	%		4.82	%
2006		5,031		14.559		14.559		94,005		0.51	%		1.40	%		1.40	%		28.35	%		28.35	%
DWS Global Thematic VIP B (25)
2010		2		16.575		17.065		40		0.55	%		1.70	%		2.05	%		10.97	%		11.35	%
2009		2		14.936		15.325		32		1.36	%		1.70	%		2.05	%		40.36	%		40.84	%
2008		3		10.642		10.881		29		1.45	%		1.70	%		2.05	%		-48.92	%		-48.75	%
2007		2		20.835		21.231		35		0.32	%		1.70	%		2.05	%		3.71	%		4.06	%
2006		3		15.812		16.002		53		0.18	%		1.70	%		2.05	%		27.06	%		27.49	%
DWS Government & Agency Securities VIP A
2010		12,820		1.564		16.470		87,302		4.70	%		1.00	%		2.25	%		4.27	%		5.56	%
2009		14,063		1.500		15.665		89,665		5.13	%		1.00	%		2.25	%		3.11	%		7.01	%
2008		16,804		1.419		14.697		115,382		4.97	%		1.00	%		2.25	%		2.63	%		6.98	%
2007		17,111		1.383		14.202		100,962		5.02	%		1.00	%		2.25	%		3.61	%		4.90	%
2006		19,756		1.310		13.232		107,394		3.94	%		1.00	%		2.25	%		1.66	%		3.13	%
DWS Government & Agency Securities VIP B
2010		17		12.213		12.574		209		4.44	%		1.70	%		2.05	%		4.10	%		4.46	%
2009		17		11.731		12.037		204		4.73	%		1.70	%		2.05	%		5.53	%		5.90	%
2008		22		11.116		11.366		246		4.75	%		1.70	%		2.05	%		2.42	%		2.77	%
2007		21		10.854		11.060		231		4.65	%		1.70	%		2.05	%		3.39	%		3.75	%
2006		27		10.326		10.450		290		3.67	%		1.70	%		2.05	%		1.66	%		2.01	%
DWS High Income VIP A
2010		12,443		1.294		16.067		119,022		7.75	%		1.00	%		2.25	%		11.49	%		12.87	%
2009		14,076		1.161		14.291		117,072		10.56	%		1.00	%		2.25	%		36.91	%		44.49	%
2008		15,199		0.848		10.352		90,235		11.98	%		1.00	%		2.25	%		-25.61	%		-24.69	%
2007		18,561		1.140		13.801		150,259		8.52	%		1.00	%		2.25	%		-1.28	%		-0.05	%
2006		23,350		1.069		14.007		188,042		7.81	%		1.00	%		2.25	%		7.90	%		9.38	%
DWS High Income VIP B
2010		9		16.667		17.160		144		7.82	%		1.70	%		2.05	%		11.36	%		11.74	%
2009		10		14.967		15.357		151		11.18	%		1.70	%		2.05	%		36.84	%		37.31	%
2008		12		10.938		11.184		135		13.03	%		1.70	%		2.05	%		-25.65	%		-25.39	%
2007		18		14.712		14.991		262		8.52	%		1.70	%		2.05	%		-1.49	%		-1.15	%
2006		28		13.840		14.006		428		7.26	%		1.70	%		2.05	%		7.91	%		8.28	%
DWS Janus Growth & Income VIP
2010		N/A		N/A		N/A		N/A		N/A			N/A			N/A			N/A			N/A
2009 (26)		N/A		N/A		N/A		N/A		N/A			N/A			N/A			N/A			N/A
2008		8,715		5.801		12.112		50,555		1.26	%		1.40	%		2.05	%		-42.11	%		-19.46	%
2007		12,233		10.020		15.037		122,577		0.60	%		1.40	%		2.05	%		4.07	%		5.11	%
2006		14,783		9.532		14.399		140,945		0.64	%		1.40	%		2.05	%		5.82	%		6.94	%

79

ZALICO Variable Annuity Separate Account
of Zurich American Life Insurance Company

Notes to Financial Statements

(6) Unit Values and Financial Highlights: (continued)

	At December 31,								For the year ended December 31,
							Net Assets		Investment
	Units		Unit Fair Value				(1)		Income			Expense Ratio (3)						Total Return (4)
	(000s)		Lowest		Highest		(000s)		Ratio (2)			Lowest			Highest			Lowest			Highest
DWS Variable Series II: (15) (continued)
DWS Large Cap Value VIP A
2010		16,958	$	2.186	$	14.052	$	131,093		1.98	%		1.00	%		2.05	%		8.55	%		9.67	%
2009		19,293		2.014		12.863		139,217		1.59	%		1.00	%		2.05	%		22.85	%		24.13	%
2008		16,234		1.639		10.404		69,079		2.27	%		1.00	%		2.05	%		-37.68	%		-37.03	%
2007		19,729		2.630		16.587		137,245		1.77	%		1.00	%		2.05	%		10.86	%		12.02	%
2006		23,204		2.098		13.061		144,668		1.57	%		1.00	%		2.05	%		13.10	%		14.27	%
DWS Large Cap Value VIP B
2010		13		12.976		13.360		170		1.67	%		1.70	%		2.05	%		8.31	%		8.68	%
2009		15		11.980		12.292		178		1.33	%		1.70	%		2.05	%		22.35	%		22.77	%
2008		7		9.792		10.012		67		1.79	%		1.70	%		2.05	%		-37.92	%		-37.71	%
2007		7		15.773		16.072		113		1.50	%		1.70	%		2.05	%		10.49	%		10.87	%
2006		12		12.671		12.823		168		1.10	%		1.70	%		2.05	%		12.66	%		13.05	%
DWS Mid Cap Growth VIP
2010		1,556		10.812		14.862		16,831		N/A			1.40	%		2.05	%		25.39	%		26.19	%
2009		1,661		8.568		11.812		14,235		N/A			1.40	%		2.05	%		40.80	%		41.28	%
2008		1,908		6.072		8.361		11,591		N/A			1.40	%		2.05	%		-51.27	%		-50.73	%
2007		2,844		12.324		17.097		35,059		N/A			1.40	%		2.05	%		5.74	%		6.86	%
2006		3,096		11.534		16.113		35,729		N/A			1.40	%		2.05	%		8.33	%		9.43	%
DWS Money Market VIP
2010 (27)		20,485		0.989		19.121		94,048		0.01	%		1.00	%		2.25	%		-2.19	%		0.02	%
2009 (28)		24,152		1.011		14.254		128,277		0.37	%		1.00	%		2.25	%		-1.87	%		0.34	%
2008 (29)		37,384		1.030		14.207		219,798		2.70	%		1.00	%		2.25	%		0.37	%		2.63	%
2007		31,600		1.027		13.842		189,703		4.84	%		1.00	%		2.25	%		2.66	%		5.00	%
2006 (30)		26,641		1.000		13.183		146,351		5.05	%		1.00	%		2.25	%		2.36	%		4.66	%
DWS Small Cap Growth VIP
2010		15,250		1.120		13.562		59,138		N/A			1.00	%		2.25	%		26.59	%		28.16	%
2009		17,203		0.885		6.980		53,436		N/A			1.00	%		2.25	%		37.51	%		42.72	%
2008		19,872		0.643		7.715		47,318		N/A			1.00	%		2.25	%		-50.62	%		-49.87	%
2007		24,131		1.303		15.392		122,143		N/A			1.00	%		2.25	%		3.67	%		5.14	%
2006		29,292		1.254		14.796		142,349		N/A			1.00	%		2.25	%		2.16	%		4.23	%
DWS Strategic Income VIP
2010		2,785		1.871		17.675		44,961		6.51	%		1.25	%		2.05	%		7.84	%		8.69	%
2009		2,943		1.721		16.286		44,203		5.14	%		1.25	%		2.05	%		21.04	%		21.22	%
2008		3,747		1.420		13.455		46,678		7.20	%		1.25	%		2.05	%		-9.02	%		-8.36	%
2007		4,690		1.558		14.790		64,242		5.82	%		1.25	%		2.05	%		2.95	%		4.13	%
2006		3,932		1.497		14.225		51,496		4.15	%		1.25	%		2.05	%		6.57	%		7.64	%
DWS Strategic Value VIP A (31)
2010		11,961		12.166		12.366		147,899		1.93	%		1.40	%		1.40	%		10.97	%		10.97	%
2009		14,300		10.963		11.143		159,343		4.39	%		1.40	%		1.40	%		21.57	%		23.57	%
2008		21,217		9.018		9.018		191,335		3.40	%		1.40	%		1.40	%		-46.73	%		-45.85	%
2007		31,308		16.655		16.929		530,007		1.53	%		1.40	%		1.40	%		-3.23	%		-3.23	%
2006 (32)		37,105		14.697		14.938		649,052		1.85	%		1.40	%		1.40	%		17.10	%		17.10	%
DWS Strategic Value VIP B (31)
2010		13		11.304		11.638		153		1.70	%		1.70	%		2.05	%		9.88	%		10.26	%
2009		16		10.287		10.555		171		4.23	%		1.70	%		2.05	%		22.43	%		22.85	%
2008		20		8.403		8.592		166		2.78	%		1.70	%		2.05	%		-47.25	%		-47.06	%
2007		31		15.928		16.230		505		0.61	%		1.70	%		2.05	%		-4.16	%		-3.83	%
2006 (32)		45		14.347		14.519		760		1.38	%		1.70	%		2.05	%		15.84	%		16.24	%

80

ZALICO Variable Annuity Separate Account of
Zurich American Life Insurance Company

Notes to Financial Statements

(6) Unit Values and Financial Highlights: (continued)

	At December 31,								For the year ended December 31,
							Net Assets		Investment
	Units		Unit Fair Value				(1)		Income			Expense Ratio (3)						Total Return (4)
	(000s)		Lowest		Highest		(000s)		Ratio (2)			Lowest			Highest			Lowest			Highest
DWS Variable Series II: (15) (continued)
DWS Technology VIP A (33)
2010		7,781	$	0.892	$	9.439	$	46,275		0.04	%		1.00	%		2.25	%		16.05	%		17.49	%
2009		9,257		0.768		8.066		47,418		N/A			1.00	%		2.25	%		56.89	%		58.83	%
2008		10,288		0.490		5.099		37,004		N/A			1.00	%		2.25	%		-47.41	%		-46.75	%
2007		13,857		0.931		9.614		100,765		N/A			1.00	%		2.25	%		11.77	%		13.16	%
2006		16,509		0.846		13.658		110,626		N/A			1.00	%		2.25	%		-2.22	%		-0.24	%
DWS Technology VIP B (33)
2010		1		13.993		14.407		16		N/A			1.70	%		2.05	%		15.59	%		15.99	%
2009		2		12.106		12.421		25		N/A			1.70	%		2.05	%		56.72	%		57.26	%
2008		2		7.725		7.898		15		N/A			1.70	%		2.05	%		-47.52	%		-47.34	%
2007		2		14.719		14.998		30		N/A			1.70	%		2.05	%		11.54	%		11.92	%
2006		4		13.408		13.569		51		N/A			1.70	%		2.05	%		-1.58	%		-1.24	%
DWS Turner Mid Cap Growth VIP
2010		3,491		12.611		19.145		44,025		0.01	%		1.40	%		2.05	%		26.42	%		27.22	%
2009		3,819		9.913		15.092		37,859		N/A			1.40	%		2.05	%		-34.89	%		47.59	%
2008		5,867		10.001		15.224		39,314		N/A			1.40	%		2.05	%		-51.54	%		13.16	%
2007		7,913		13.453		21.029		106,465		N/A			1.40	%		2.05	%		22.60	%		24.01	%
2006		8,700		10.849		17.093		94,399		N/A			1.40	%		2.05	%		4.08	%		5.05	%
DWS Investments VIT Funds: (15)
DWS Equity 500 Index VIP A
2010		7,268		10.515		10.515		76,428		1.86	%		1.40	%		1.40	%		13.12	%		13.12	%
2009		8,078		9.296		9.296		75,091		2.68	%		1.40	%		1.40	%		24.58	%		24.58	%
2008		10,627		7.462		7.462		79,299		2.73	%		1.40	%		1.40	%		-38.02	%		-38.02	%
2007		15,244		12.039		12.039		183,529		1.54	%		1.40	%		1.40	%		3.83	%		3.83	%
2006		17,689		10.177		10.177		205,018		1.14	%		1.40	%		1.40	%		13.93	%		13.93	%
DWS Equity 500 Index VIP B2
2010		2		9.968		10.151		18		1.54	%		1.70	%		2.05	%		12.00	%		12.38	%
2009		2		8.900		9.032		19		2.33	%		1.70	%		2.05	%		23.26	%		23.69	%
2008		2		7.220		7.302		15		1.33	%		1.70	%		2.05	%		-38.62	%		-38.41	%
2007		5		11.763		11.856		63		1.46	%		1.70	%		2.05	%		2.73	%		3.09	%
2006		3		10.143		10.153		115		0.92	%		1.70	%		2.05	%		12.90	%		13.28	%
DWS RREEF Real Estate Securities VIP (34)
2010		N/A		N/A		N/A		N/A		N/A			N/A			N/A			N/A			N/A
2009		N/A		N/A		N/A		N/A		N/A			N/A			N/A			N/A			N/A
2008 (35)		N/A		N/A		N/A		N/A		N/A			N/A			N/A			N/A			N/A
2007		2		19.118		19.427		33		N/A			1.70	%		2.05	%		-18.03	%		-17.74	%
2006		2		23.323		23.618		47		N/A			1.70	%		2.05	%		34.38	%		34.84	%
Fidelity Variable Insurance Products Fund:
Fidelity VIP Asset Manager
2010		172		28.631		32.019		5,278		1.58	%		1.00	%		2.05	%		11.97	%		13.13	%
2009		202		25.570		28.301		5,486		2.27	%		1.00	%		2.05	%		26.52	%		27.83	%
2008		235		20.210		22.139		5,016		2.68	%		1.00	%		2.05	%		-30.15	%		-29.42	%
2007		265		28.935		31.370		8,022		6.03	%		1.00	%		2.05	%		13.17	%		14.35	%
2006		311		25.567		27.432		8,293		2.84	%		1.00	%		2.05	%		5.17	%		6.26	%

81

ZALICO Variable Annuity Separate Account
of Zurich American Life Insurance Company

Notes to Financial Statements

(6) Unit Values and Financial Highlights: (continued)

	At December 31,								For the year ended December 31,
							Net Assets		Investment
	Units		Unit Fair Value				(1)		Income			Expense Ratio (3)						Total Return (4)
	(000s)		Lowest		Highest		(000s)		Ratio (2)			Lowest			Highest			Lowest			Highest
Fidelity Variable Insurance Products Fund: (continued)
Fidelity VIP Contrafund
2010		1,688	$	30.749	$	44.415	$	70,698		1.14	%		1.00	%		2.25	%		14.64	%		16.06	%
2009		1,969		26.822		38.270		71,263		1.33	%		1.00	%		2.25	%		32.72	%		34.37	%
2008		2,168		20.209		28.482		58,200		0.96	%		1.00	%		2.25	%		-43.78	%		-43.08	%
2007		2,513		35.948		50.042		119,129		0.96	%		1.00	%		2.25	%		14.99	%		16.42	%
2006		2,788		28.610		38.859		113,977		1.29	%		1.00	%		2.25	%		9.27	%		10.61	%
Fidelity VIP Contrafund 2
2010		1		16.603		17.094		17		0.99	%		1.70	%		2.05	%		14.58	%		14.97	%
2009		1		14.490		14.867		15		1.14	%		1.70	%		2.05	%		32.75	%		33.20	%
2008		1		10.916		11.161		11		0.83	%		1.70	%		2.05	%		-43.84	%		-43.65	%
2007		1		19.438		19.808		20		0.04	%		1.70	%		2.05	%		14.93	%		15.33	%
2006		2		15.559		15.746		35		0.98	%		1.70	%		2.05	%		8.70	%		9.07	%
Fidelity VIP Equity Income
2010		776		24.667		38.183		27,267		1.69	%		1.00	%		2.25	%		12.62	%		14.01	%
2009		902		21.903		33.491		27,892		2.09	%		1.00	%		2.25	%		27.34	%		28.92	%
2008		1,075		17.200		25.978		25,783		2.30	%		1.00	%		2.25	%		-43.92	%		-43.22	%
2007		1,365		30.671		45.755		57,697		1.93	%		1.00	%		2.25	%		-0.72	%		0.52	%
2006		1,547		26.278		38.249		65,408		3.26	%		1.00	%		2.25	%		17.56	%		19.01	%
Fidelity VIP Equity Income 2
2010		—		12.560		12.932		6		1.59	%		1.70	%		2.05	%		12.61	%		13.00	%
2009		—		11.154		11.444		5		2.03	%		1.70	%		2.05	%		27.27	%		27.71	%
2008		—		8.764		8.961		4		2.43	%		1.70	%		2.05	%		-43.96	%		-43.77	%
2007		—		15.639		15.936		7		0.04	%		1.70	%		2.05	%		-0.77	%		-0.43	%
2006		—		13.470		13.631		7		2.92	%		1.70	%		2.05	%		17.01	%		17.41	%
Fidelity VIP Growth
2010		498		12.727		54.150		25,168		0.25	%		1.00	%		2.25	%		21.38	%		22.94	%
2009		612		10.486		44.044		25,279		0.42	%		1.00	%		2.25	%		25.39	%		27.02	%
2008		670		8.362		34.676		21,552		0.81	%		1.00	%		2.25	%		-48.37	%		-47.69	%
2007		768		16.196		66.292		47,306		0.81	%		1.00	%		2.25	%		24.10	%		25.70	%
2006		845		13.051		52.737		42,027		0.40	%		1.00	%		2.25	%		3.81	%		5.79	%
Fidelity VIP Index 500
2010		392		146.024		163.306		59,068		1.82	%		1.00	%		2.05	%		12.71	%		13.88	%
2009		450		129.552		143.395		59,134		2.38	%		1.00	%		2.05	%		24.06	%		25.35	%
2008		509		104.425		114.393		53,466		2.10	%		1.00	%		2.05	%		-38.27	%		-37.62	%
2007		590		169.154		183.390		101,561		3.70	%		1.00	%		2.05	%		3.31	%		4.39	%
2006		812		134.054		153.315		122,752		1.73	%		1.00	%		2.25	%		12.90	%		14.59	%
Fidelity VIP Index 500 SC
2010		26		13.140		145.457		3,699		1.51	%		1.25	%		2.25	%		12.21	%		13.31	%
2009		31		11.688		128.367		4,196		1.95	%		1.25	%		2.25	%		23.52	%		24.74	%
2008		35		9.444		102.906		3,877		1.67	%		1.25	%		2.25	%		-38.54	%		-37.94	%
2007		44		15.336		165.805		7,091		1.81	%		1.25	%		2.25	%		2.85	%		3.88	%
2006		—		13.220		13.379		10,253		1.47	%		1.25	%		2.25	%		12.57	%		12.95	%
Franklin Templeton Variable Insurance Products Trust:
Franklin Rising Dividends Securities
2010		443		13.986		15.370		6,633		1.60	%		1.00	%		2.25	%		17.99	%		19.45	%
2009		460		11.854		12.867		5,792		1.38	%		1.00	%		2.25	%		14.76	%		16.18	%
2008		520		10.329		11.075		5,650		1.85	%		1.00	%		2.25	%		-28.71	%		-27.82	%
2007		701		14.488		15.344		10,599		2.55	%		1.00	%		2.25	%		-4.84	%		-3.66	%
2006		860		14.011		15.927		13,524		0.98	%		1.00	%		2.25	%		14.07	%		15.97	%

82

ZALICO Variable Annuity Separate Account
of Zurich American Life Insurance Company

Notes to Financial Statements

(6) Unit Values and Financial Highlights: (continued)

	At December 31,								For the year ended December 31,
							NetAssets		Investment
	Units		Unit Fair Value				(1)		Income			Expense Ratio (3)						Total Return (4)
	(000s)		Lowest		Highest		(000s)		Ratio (2)			Lowest			Highest			Lowest			Highest
Franklin Templeton Variable Insurance Products Trust: (continued)
Franklin Small Cap Value Securities
2010		311	$	19.172	$	21.069	$	6,367		0.76	%		1.00	%		2.25	%		25.40	%		26.95	%
2009		290		15.288		16.596		4,701		1.55	%		1.00	%		2.25	%		26.31	%		27.88	%
2008		340		12.103		12.978		4,322		1.32	%		1.00	%		2.25	%		-34.49	%		-33.68	%
2007		328		18.477		19.569		6,313		0.70	%		1.00	%		2.25	%		-4.54	%		-3.35	%
2006		310		17.293		20.248		6,211		0.65	%		1.00	%		2.25	%		14.02	%		15.83	%
Franklin Strategic Income Securities
2010		700		14.656		16.106		10,961		4.82	%		1.00	%		2.25	%		8.47	%		9.82	%
2009		700		13.511		14.666		10,026		7.55	%		1.00	%		2.25	%		22.98	%		24.50	%
2008		602		10.986		11.780		6,957		8.65	%		1.00	%		2.25	%		-13.19	%		-12.12	%
2007		735		12.655		13.404		9,688		5.19	%		1.00	%		2.25	%		3.57	%		4.86	%
2006		604		12.219		12.783		7,642		2.53	%		1.00	%		2.25	%		5.87	%		7.18	%
Franklin U.S. Government
2010		352		11.669		12.824		4,403		3.47	%		1.00	%		2.25	%		2.97	%		4.24	%
2009		388		11.333		12.302		4,672		4.33	%		1.00	%		2.25	%		0.83	%		2.07	%
2008		387		11.240		12.052		4,573		4.72	%		1.00	%		2.25	%		5.22	%		6.52	%
2007		263		10.682		11.314		2,921		4.88	%		1.00	%		2.25	%		4.25	%		5.55	%
2006		206		10.247		10.719		2,166		4.20	%		1.00	%		2.25	%		1.73	%		2.99	%
Franklin Zero Coupon 2010
2010 (36)		N/A		N/A		N/A		N/A		N/A			N/A			N/A			N/A			N/A
2009		620		10.950		11.886		7,210		4.29	%		1.00	%		2.25	%		-2.05	%		-0.84	%
2008		827		11.179		11.987		9,721		4.50	%		1.00	%		2.25	%		4.87	%		6.17	%
2007		900		10.660		11.290		10,008		6.11	%		1.00	%		2.25	%		6.01	%		7.33	%
2006		1,810		10.056		10.596		18,802		3.83	%		1.00	%		2.25	%		0.15	%		1.38	%
Mutual Global Discovery Securities (37)
2010		1,070		19.656		21.601		22,546		1.23	%		1.00	%		2.25	%		9.50	%		10.85	%
2009		1,169		17.951		19.486		22,304		1.14	%		1.00	%		2.25	%		20.60	%		22.09	%
2008		1,274		14.885		15.960		19,958		2.24	%		1.00	%		2.25	%		-30.03	%		-29.16	%
2007		1,448		21.273		22.531		32,125		1.50	%		1.00	%		2.25	%		9.37	%		10.74	%
2006		1,356		18.158		20.347		27,250		1.04	%		1.00	%		2.25	%		20.26	%		21.84	%
Mutual Shares Securities
2010		467		13.719		15.076		6,847		1.47	%		1.00	%		2.25	%		8.75	%		10.09	%
2009		496		12.615		13.694		6,635		1.84	%		1.00	%		2.25	%		23.27	%		24.80	%
2008		556		10.233		10.973		5,983		3.24	%		1.00	%		2.25	%		-38.50	%		-37.73	%
2007		526		16.638		17.622		9,125		1.54	%		1.00	%		2.25	%		1.19	%		2.45	%
2006		434		15.558		17.200		7,374		1.23	%		1.00	%		2.25	%		15.62	%		17.21	%
Templeton Developing Markets Securities
2010		262		30.049		34.068		8,701		1.51	%		1.00	%		2.25	%		15.00	%		16.42	%
2009		277		25.913		29.262		7,920		3.73	%		1.00	%		2.25	%		68.80	%		70.88	%
2008		266		15.224		17.124		4,477		2.71	%		1.00	%		2.25	%		-53.75	%		-53.17	%
2007		374		32.643		36.570		13,472		2.36	%		1.00	%		2.25	%		25.94	%		27.50	%
2006		427		23.841		28.682		12,078		1.22	%		1.00	%		2.25	%		25.28	%		26.82	%
ING Global Resources Trust:
ING Global Resources Trust
2010		798		13.131		13.681		10,788		0.87	%		1.00	%		2.05	%		19.20	%		20.44	%
2009		878		11.015		11.359		9,881		0.30	%		1.00	%		2.05	%		34.75	%		36.15	%
2008		1,023		8.175		8.343		8,489		1.90	%		1.00	%		2.05	%		-42.19	%		-41.59	%
2007 (38)		1,265		14.140		14.283		18,012		0.02	%		1.00	%		2.05	%		37.98	%		39.36	%
2006		N/A		N/A		N/A		N/A		N/A			N/A			N/A			N/A			N/A

83

ZALICO Variable Annuity Separate Account
of Zurich American Life Insurance Company

Notes to Financial Statements

(6) Unit Values and Financial Highlights: (continued)

	At December 31,								For the year ended December 31,
							Net Assets		Investment
	Units		Unit Fair Value				(1)		Income			Expense Ratio (3)						Total Return (4)
	(000s)		Lowest		Highest		(000s)		Ratio (2)			Lowest			Highest			Lowest			Highest
ING Investors Trust:
ING JPMorgan Emerging Markets Equity
2010		410	$	25.353	$	26.722	$	10,800		0.70	%		1.00	%		2.05	%		18.21	%		19.44	%
2009		472		21.448		22.373		10,426		1.54	%		1.00	%		2.05	%		68.56	%		70.31	%
2008		482		12.724		13.136		6,274		2.68	%		1.00	%		2.05	%		-52.14	%		-51.64	%
2007		583		26.584		27.162		15,741		1.15	%		1.00	%		2.05	%		36.00	%		37.43	%
2006		621		19.546		19.765		12,228		0.62	%		1.00	%		2.05	%		33.45	%		34.84	%
ING VP Natural Resources Trust:
ING VP Natural Resources Trust
2010		N/A		N/A		N/A		N/A		N/A			N/A			N/A			N/A			N/A
2009		N/A		N/A		N/A		N/A		N/A			N/A			N/A			N/A			N/A
2008		N/A		N/A		N/A		N/A		N/A			N/A			N/A			N/A			N/A
2007 (39)		N/A		N/A		N/A		N/A		N/A			N/A			N/A			N/A			N/A
2006		485		29.293		31.521		14,768		N/A			1.00	%		2.05	%		19.29	%		20.53	%
Invesco Variable Insurance Funds (40)
Invesco V.I. Financial Services Fund (41)
2010		143		6.180		6.792		945		0.11	%		1.00	%		2.25	%		7.89	%		9.22	%
2009		119		5.728		6.219		724		2.62	%		1.00	%		2.25	%		24.62	%		26.17	%
2008		167		4.596		4.929		805		4.84	%		1.00	%		2.25	%		-60.34	%		-59.85	%
2007		67		11.590		12.134		807		2.08	%		1.00	%		2.25	%		-23.94	%		-23.18	%
2006		52		14.088		15.940		825		1.59	%		1.00	%		2.25	%		13.81	%		15.29	%
Invesco V.I. Global Health Care (42)
2010		111		13.241		14.552		1,575		N/A			1.00	%		2.25	%		2.98	%		4.25	%
2009		124		12.858		13.958		1,686		0.29	%		1.00	%		2.25	%		24.87	%		26.41	%
2008		163		10.298		11.042		1,765		N/A			1.00	%		2.25	%		-30.19	%		-29.33	%
2007		173		14.752		15.445		2,654		N/A			1.00	%		2.25	%		9.38	%		10.47	%
2006		187		12.962		14.109		2,607		N/A			1.00	%		2.25	%		2.52	%		4.20	%
Invesco V.I. Global Real Estate (43)
2010		317		20.014		21.995		6,790		4.76	%		1.00	%		2.25	%		14.93	%		16.35	%
2009		365		17.414		18.904		6,739		N/A			1.00	%		2.25	%		28.63	%		30.22	%
2008		415		13.538		14.516		5,908		5.16	%		1.00	%		2.25	%		-45.87	%		-45.20	%
2007		566		25.009		26.487		14,760		5.10	%		1.00	%		2.25	%		-7.63	%		-6.48	%
2006		767		24.220		28.323		21,471		1.24	%		1.00	%		2.25	%		39.47	%		41.19	%
Invesco V.I. Utilities (44)
2010		1,823		10.135		19.759		19,943		3.44	%		1.00	%		2.25	%		3.96	%		5.25	%
2009		2,111		9.667		18.774		22,175		3.92	%		1.00	%		2.25	%		12.40	%		13.79	%
2008		3,062		8.529		16.499		28,176		2.47	%		1.00	%		2.25	%		-33.85	%		-33.03	%
2007		4,322		12.786		24.634		58,941		1.98	%		1.00	%		2.25	%		17.98	%		19.44	%
2006		4,299		10.748		20.624		48,524		3.41	%		1.00	%		2.25	%		22.71	%		24.22	%
Janus Aspen Series:
Janus Aspen Balanced
2010		1,801		15.388		44.563		76,092		2.75	%		1.00	%		2.25	%		5.95	%		7.31	%
2009		2,023		14.524		41.526		79,877		2.89	%		1.00	%		2.25	%		23.06	%		24.64	%
2008		2,288		11.802		33.317		72,750		2.69	%		1.00	%		2.25	%		-17.75	%		-16.67	%
2007		2,598		14.349		39.983		99,395		2.50	%		1.00	%		2.25	%		8.06	%		9.44	%
2006		3,026		13.278		36.536		106,171		2.11	%		1.00	%		2.25	%		7.87	%		9.63	%

84

ZALICO Variable Annuity Separate Account
of Zurich American Life Insurance Company

Notes to Financial Statements

(6) Unit Values and Financial Highlights: (continued)

	At December 31,								For the year ended December 31,
							Net Assets		Investment
	Units		Unit Fair Value				(1)		Income			Expense Ratio (3)						Total Return (4)
	(000s)		Lowest		Highest		(000s)		Ratio (2)			Lowest			Highest			Lowest			Highest
Janus Aspen Series: (continued)
Janus Aspen Enterprise Institutional (45)
2010		1,178	$	20.605	$	42.093	$	47,048		0.06	%		1.00	%		2.25	%		23.00	%		24.60	%
2009		1,330		16.752		33.782		42,818		N/A			1.00	%		2.25	%		41.54	%		43.39	%
2008		1,473		11.835		23.559		33,159		0.26	%		1.00	%		2.25	%		-44.99	%		-44.28	%
2007		1,702		21.514		42.281		68,855		0.22	%		1.00	%		2.25	%		19.28	%		20.83	%
2006		1,697		18.036		34.994		57,352		N/A			1.00	%		2.25	%		10.56	%		12.49	%
Janus Aspen Forty (46)
2010		91		13.227		13.227		1,206		0.34	%		1.40	%		1.40	%		5.28	%		5.28	%
2009		95		12.564		12.564		1,197		N/A			1.40	%		1.40	%		44.31	%		44.31	%
2008		104		8.706		8.706		905		0.15	%		1.40	%		1.40	%		-44.93	%		-44.93	%
2007		111		15.808		15.808		1,753		0.35	%		1.40	%		1.40	%		35.09	%		35.09	%
2006		140		11.702		11.702		1,643		0.36	%		1.40	%		1.40	%		7.84	%		7.84	%
Janus Aspen Janus Institutional (47)
2010		1,086		13.244		27.360		28,349		1.04	%		1.00	%		2.25	%		11.96	%		13.38	%
2009		1,242		11.829		24.130		28,678		0.51	%		1.00	%		2.25	%		33.28	%		35.00	%
2008		1,377		8.875		17.874		23,602		0.74	%		1.00	%		2.25	%		-41.08	%		-40.32	%
2007		1,560		15.063		29.949		44,950		0.71	%		1.00	%		2.25	%		12.48	%		13.95	%
2006		1,822		13.392		26.283		46,182		0.46	%		1.00	%		2.25	%		8.11	%		10.28	%
Janus Aspen Perkins Mid Cap Value
2010		235		20.118		22.108		5,063		0.49	%		1.00	%		2.25	%		12.83	%		14.22	%
2009		257		17.831		19.356		4,864		0.34	%		1.00	%		2.25	%		29.99	%		31.60	%
2008		281		13.716		14.707		4,052		0.42	%		1.00	%		2.25	%		-29.49	%		-28.61	%
2007		298		19.452		20.602		6,052		1.24	%		1.00	%		2.25	%		4.80	%		6.11	%
2006		632		16.407		19.416		12,115		3.91	%		1.00	%		2.25	%		12.31	%		13.93	%
Janus Aspen Perkins Small Company Value
2010		N/A		N/A		N/A		N/A		N/A			N/A			N/A			N/A			N/A
2009 (48)		N/A		N/A		N/A		N/A		N/A			N/A			N/A			N/A			N/A
2008		422		10.703		11.476		4,727		N/A			1.00	%		2.25	%		-37.33	%		-36.55	%
2007		547		17.078		18.088		9,704		0.92	%		1.00	%		2.25	%		-8.19	%		-7.05	%
2006		360		15.736		19.459		6,899		N/A			1.00	%		2.25	%		18.84	%		20.67	%
Janus Aspen Worldwide Institutional (49)
2010		1,486		27.179		33.789		47,842		0.59	%		1.00	%		2.25	%		13.29	%		14.69	%
2009		1,670		23.991		29.461		46,977		1.36	%		1.00	%		2.25	%		34.67	%		36.34	%
2008		1,848		17.815		21.609		38,235		1.20	%		1.00	%		2.25	%		-45.88	%		-45.21	%
2007		2,097		32.919		39.441		79,571		0.79	%		1.00	%		2.25	%		7.20	%		8.54	%
2006		2,446		25.562		31.049		85,789		1.66	%		1.00	%		2.25	%		15.61	%		17.04	%
Janus Aspen Worldwide Service (49)
2010		—		11.786		12.134		—		0.78	%		1.70	%		2.05	%		13.20	%		13.59	%
2009		—		10.412		10.683		1		1.24	%		1.70	%		2.05	%		34.64	%		35.11	%
2008		—		7.733		7.907		1		1.05	%		1.70	%		2.05	%		-45.92	%		-45.73	%
2007		—		14.298		14.570		1		0.67	%		1.70	%		2.05	%		7.15	%		7.53	%
2006		2		11.613		11.752		21		1.59	%		1.70	%		2.05	%		14.91	%		15.30	%
JPMorgan Insurance Trust: (50)
JPMorgan Insurance Trust Balanced (51)
2010 (52)		N/A		N/A		N/A		N/A		N/A			N/A			N/A			N/A			N/A
2009		6		10.645		11.296		64		2.30	%		1.25	%		2.25	%		21.72	%		22.92	%
2008		2		8.746		9.190		23		7.23	%		1.25	%		2.25	%		-25.98	%		-25.24	%
2007		5		11.815		12.293		60		1.74	%		1.25	%		2.25	%		3.79	%		4.82	%
2006		5		11.384		11.728		55		6.59	%		1.25	%		2.25	%		8.46	%		9.61	%

85

ZALICO Variable Annuity Separate Account
of Zurich American Life Insurance Company

Notes to Financial Statements

(6) Unit Values and Financial Highlights: (continued)

	At December 31,								For the year ended December 31,
							NetAssets		Investment
	Units		Unit Fair Value				(1)		Income			Expense Ratio (3)						Total Return (4)
	(000s)		Lowest		Highest		(000s)		Ratio (2)			Lowest			Highest			Lowest			Highest
JPMorgan Insurance Trust: (50) (continued)
JPMorgan Insurance Trust Core Bond (53)
2010		131	$	11.209	$	12.687	$	1,683		3.53	%		1.25	%		2.25	%		-3.40	%		7.41	%
2009 (54)		120		11.433		12.133		1,436		1.08	%		1.25	%		2.25	%		7.23	%		8.29	%
2008		4		10.662		11.203		48		2.47	%		1.25	%		2.25	%		-0.92	%		0.06	%
2007		3		10.761		11.197		33		4.65	%		1.25	%		2.25	%		3.95	%		4.99	%
2006		—		10.352		10.665		10		N/A			1.25	%		2.25	%		1.85	%		2.85	%
JPMorgan Insurance Trust Equity Index (55)
2010		30		11.086		12.089		350		0.90	%		1.00	%		2.25	%		11.89	%		13.28	%
2009		12		9.908		10.672		122		2.61	%		1.00	%		2.25	%		23.66	%		25.19	%
2008		22		8.013		8.525		185		1.73	%		1.00	%		2.25	%		-38.59	%		-37.83	%
2007		12		13.048		13.712		162		1.41	%		1.00	%		2.25	%		2.77	%		4.05	%
2006		9		12.696		13.179		121		0.98	%		1.00	%		2.25	%		12.48	%		14.28	%
JPMorgan Insurance Trust Government Bond
2010		N/A		N/A		N/A		N/A		N/A			N/A			N/A			N/A			N/A
2009 (56)		N/A		N/A		N/A		N/A		N/A			N/A			N/A			N/A			N/A
2008		53		11.760		12.357		648		5.67	%		1.25	%		2.25	%		7.61	%		8.67	%
2007		15		10.929		11.371		163		5.42	%		1.25	%		2.25	%		5.11	%		6.16	%
2006		13		10.397		10.712		132		9.00	%		1.25	%		2.25	%		1.20	%		2.20	%
JPMorgan Insurance Trust International Equity
2010		574		16.728		18.383		10,247		0.24	%		1.00	%		2.25	%		4.80	%		6.10	%
2009 (57)		689		15.961		17.327		11,633		2.87	%		1.00	%		2.25	%		38.53	%		39.71	%
2008		N/A		N/A		N/A		N/A		N/A			N/A			N/A			N/A			N/A
2007		N/A		N/A		N/A		N/A		N/A			N/A			N/A			N/A			N/A
2006		N/A		N/A		N/A		N/A		N/A			N/A			N/A			N/A			N/A
JPMorgan Insurance Trust Intrepid Growth (58)
2010		—		10.852		11.629		2		1.69	%		1.25	%		2.25	%		13.55	%		14.67	%
2009		2		9.557		10.142		17		N/A			1.25	%		2.25	%		31.36	%		32.66	%
2008		2		7.275		7.645		12		N/A			1.25	%		2.25	%		-40.56	%		-39.97	%
2007		—		12.239		12.735		—		N/A			1.25	%		2.25	%		9.08	%		10.16	%
2006		—		11.220		11.560		—		N/A			1.25	%		2.25	%		2.60	%		4.08	%
JPMorgan Insurance Trust Intrepid Mid Cap (59)
2010		230		13.516		14.738		3,319		1.29	%		1.00	%		2.25	%		16.90	%		18.34	%
2009		258		11.562		12.454		3,157		1.47	%		1.00	%		2.25	%		32.68	%		34.32	%
2008		296		8.715		9.272		2,705		0.59	%		1.00	%		2.25	%		-40.17	%		-39.42	%
2007		339		14.564		15.306		5,123		0.65	%		1.00	%		2.25	%		0.59	%		1.84	%
2006		361		14.479		15.029		5,375		0.54	%		1.00	%		2.25	%		11.21	%		12.99	%
JPMorgan Insurance Trust Mid Cap Growth (60)
2010		66		14.267		15.557		997		N/A			1.00	%		2.25	%		22.87	%		24.39	%
2009		64		11.611		12.507		781		N/A			1.00	%		2.25	%		39.89	%		41.62	%
2008		79		8.300		8.831		683		N/A			1.00	%		2.25	%		-45.03	%		-44.34	%
2007		83		15.098		15.867		1,301		N/A			1.00	%		2.25	%		14.65	%		16.07	%
2006		67		13.169		13.670		904		N/A			1.00	%		2.25	%		8.60	%		10.29	%
JPMorgan Insurance Trust Mid Cap Value (61)
2010		560		13.176		14.367		7,869		1.20	%		1.00	%		2.25	%		20.74	%		22.23	%
2009		671		10.912		11.754		7,731		0.40	%		1.00	%		2.25	%		25.08	%		26.63	%
2008		76		8.724		9.282		693		1.51	%		1.00	%		2.25	%		-36.91	%		-36.12	%
2007		99		13.828		14.532		1,425		2.10	%		1.00	%		2.25	%		-1.32	%		-0.09	%
2006		132		14.012		14.544		1,913		0.80	%		1.00	%		2.25	%		13.88	%		15.57	%

86

ZALICO Variable Annuity Separate Account
of Zurich American Life Insurance Company

Notes to Financial Statements

(6) Unit Values and Financial Highlights: (continued)

	At December 31,								For the year ended December 31,
							Net Assets		Investment
	Units		Unit Fair Value				(1)		Income			Expense Ratio (3)						Total Return (4)
	(000s)		Lowest		Highest		(000s)		Ratio (2)			Lowest			Highest			Lowest			Highest
JPMorgan Insurance Trust: (50) (continued)
JPMorgan Insurance Trust Small Cap Core
2010		250	$	16.040	$	20.009	$	4,797		N/A			1.00	%		2.25	%		24.33	%		25.87	%
2009 (62)		295		12.876		15.897		4,505		0.44	%		1.00	%		2.25	%		27.16	%		30.78	%
2008		N/A		N/A		N/A		N/A		N/A			N/A			N/A			N/A			N/A
2007		N/A		N/A		N/A		N/A		N/A			N/A			N/A			N/A			N/A
2006		N/A		N/A		N/A		N/A		N/A			N/A			N/A			N/A			N/A
JPMorgan Insurance Trust U.S. Equity (63)
2010		34		12.151		13.250		439		1.18	%		1.00	%		2.25	%		11.08	%		12.45	%
2009		42		10.939		11.783		481		N/A			1.00	%		2.25	%		30.74	%		32.36	%
2008		54		8.367		8.902		471		N/A			1.00	%		2.25	%		-36.24	%		-35.45	%
2007		89		13.122		13.790		1,217		1.35	%		1.00	%		2.25	%		8.01	%		9.35	%
2006		176		12.149		12.611		2,200		0.67	%		1.00	%		2.25	%		13.37	%		15.00	%
JPMorgan Series Trust II:
JPMorgan International Equity
2010		N/A		N/A		N/A		N/A		N/A			N/A			N/A			N/A			N/A
2009 (64)		N/A		N/A		N/A		N/A		N/A			N/A			N/A			N/A			N/A
2008		852		12.097		12.971		10,816		1.82	%		1.00	%		2.25	%		-42.65	%		-41.93	%
2007		1,152		21.092		22.339		25,246		1.24	%		1.00	%		2.25	%		6.91	%		8.24	%
2006		1,780		17.848		20.638		36,195		1.04	%		1.00	%		2.25	%		18.81	%		20.83	%
JPMorgan Mid Cap Value
2010		N/A		N/A		N/A		N/A		N/A			N/A			N/A			N/A			N/A
2009 (65)		N/A		N/A		N/A		N/A		N/A			N/A			N/A			N/A			N/A
2008		538		11.581		12.418		6,565		1.11	%		1.00	%		2.25	%		-34.68	%		-33.87	%
2007		700		17.731		18.779		12,949		0.97	%		1.00	%		2.25	%		0.19	%		1.43	%
2006		717		16.236		18.513		13,127		0.68	%		1.00	%		2.25	%		13.96	%		15.69	%
JPMorgan Small Company
2010		N/A		N/A		N/A		N/A		N/A			N/A			N/A			N/A			N/A
2009 (66)		N/A		N/A		N/A		N/A		N/A			N/A			N/A			N/A			N/A
2008		367		10.720		13.098		4,615		0.19	%		1.00	%		2.25	%		-33.49	%		-32.66	%
2007		421		16.085		19.451		7,925		0.01	%		1.00	%		2.25	%		-7.76	%		-6.61	%
2006		515		17.403		20.827		10,415		N/A			1.00	%		2.25	%		11.78	%		13.87	%
Oppenheimer Variable Account Funds:
Oppenheimer Capital Appreciation
2010		181		12.280		13.496		2,383		N/A			1.00	%		2.25	%		6.74	%		8.06	%
2009		246		11.504		12.489		2,999		N/A			1.00	%		2.25	%		40.98	%		42.72	%
2008		246		8.160		8.750		2,116		N/A			1.00	%		2.25	%		-46.86	%		-46.20	%
2007		271		15.356		16.264		4,339		N/A			1.00	%		2.25	%		11.34	%		12.73	%
2006		311		12.654		14.428		4,428		0.18	%		1.00	%		2.25	%		4.91	%		6.62	%
Oppenheimer Global Securities
2010		1,298		19.553		21.487		27,103		1.23	%		1.00	%		2.25	%		13.16	%		14.56	%
2009		1,554		17.279		18.757		28,429		1.86	%		1.00	%		2.25	%		36.29	%		37.97	%
2008		1,798		12.678		13.594		23,933		1.34	%		1.00	%		2.25	%		-41.65	%		-40.92	%
2007		2,170		21.727		23.011		49,069		1.05	%		1.00	%		2.25	%		3.73	%		5.03	%
2006		1,792		18.166		21.910		38,746		0.83	%		1.00	%		2.25	%		14.42	%		16.20	%

87

ZALICO Variable Annuity Separate Account
of Zurich American Life Insurance Company

Notes to Financial Statements

(6) Unit Values and Financial Highlights: (continued)

	At December 31,								For the year ended December 31,
							Net Assets		Investment
	Units		Unit Fair Value				(1)		Income			Expense Ratio (3)						Total Return (4)
	(000s)		Lowest		Highest		(000s)		Ratio (2)			Lowest			Highest			Lowest			Highest
Oppenheimer Variable Account Funds: (continued)
Oppenheimer Global Strategic Income VA Service (67)
2010		674	$	13.961	$	15.342	$	10,061		7.87	%		1.00	%		2.25	%		12.25	%		13.64	%
2009		655		12.437		13.501		8,645		0.25	%		1.00	%		2.25	%		15.80	%		17.24	%
2008		790		10.740		11.516		8,917		6.25	%		1.00	%		2.25	%		-16.37	%		-15.33	%
2007		699		12.842		13.602		9,350		3.10	%		1.00	%		2.25	%		7.13	%		8.46	%
2006		614		11.988		12.540		7,604		6.02	%		1.00	%		2.25	%		4.88	%		6.17	%
Oppenheimer High Income
2010		196		3.507		3.855		736		6.73	%		1.00	%		2.25	%		11.92	%		13.31	%
2009		269		3.134		3.402		889		N/A			1.00	%		2.25	%		23.18	%		24.70	%
2008		168		2.544		2.728		449		8.90	%		1.00	%		2.25	%		-79.05	%		-78.79	%
2007		231		12.141		12.859		2,923		7.04	%		1.00	%		2.25	%		-2.67	%		-1.46	%
2006		211		12.474		13.049		2,732		6.43	%		1.00	%		2.25	%		6.83	%		8.15	%
Oppenheimer Main Street
2010		413		12.922		14.201		5,703		0.88	%		1.00	%		2.25	%		13.28	%		14.68	%
2009		489		11.408		12.383		5,909		1.60	%		1.00	%		2.25	%		25.18	%		26.73	%
2008		621		9.113		9.772		5,935		1.31	%		1.00	%		2.25	%		-39.98	%		-39.23	%
2007		795		15.183		16.081		12,555		1.02	%		1.00	%		2.25	%		1.85	%		3.11	%
2006		1,231		14.027		15.595		18,921		0.94	%		1.00	%		2.25	%		11.94	%		13.63	%
Oppenheimer Main Street Small Cap
2010		401		18.018		19.801		7,723		0.41	%		1.00	%		2.25	%		20.35	%		21.84	%
2009		467		14.971		16.252		7,401		0.64	%		1.00	%		2.25	%		33.87	%		35.53	%
2008		545		11.183		11.992		6,392		0.28	%		1.00	%		2.25	%		-39.37	%		-38.62	%
2007		728		18.446		19.536		13,975		0.15	%		1.00	%		2.25	%		-3.57	%		-2.37	%
2006		619		16.294		20.011		12,222		0.02	%		1.00	%		2.25	%		11.57	%		13.53	%
Oppenheimer Small MidCap Growth (68)
2010		50		12.712		13.970		686		N/A			1.00	%		2.25	%		24.37	%		25.90	%
2009		49		10.221		11.096		533		N/A			1.00	%		2.25	%		29.35	%		30.95	%
2008		45		7.902		8.473		371		N/A			1.00	%		2.25	%		-50.33	%		-49.72	%
2007		52		15.910		16.850		859		N/A			1.00	%		2.25	%		3.69	%		4.98	%
2006		63		13.225		16.051		993		N/A			1.00	%		2.25	%		-0.06	%		1.69	%
PIMCO Variable Insurance Trust:
PIMCO Foreign Bond
2010		8		15.587		15.587		125		1.85	%		1.40	%		1.40	%		6.99	%		6.99	%
2009		8		14.569		14.569		124		3.20	%		1.40	%		1.40	%		14.00	%		14.00	%
2008		10		12.779		12.779		126		3.51	%		1.40	%		1.40	%		-3.75	%		-3.75	%
2007		12		13.277		13.277		159		2.93	%		1.40	%		1.40	%		2.19	%		2.19	%
2006		14		12.992		12.992		182		3.16	%		1.40	%		1.40	%		0.78	%		0.78	%
PIMCO Low Duration
2010		9		14.990		14.990		138		1.58	%		1.40	%		1.40	%		3.84	%		3.84	%
2009		10		14.437		14.437		140		3.80	%		1.40	%		1.40	%		11.76	%		11.76	%
2008		9		12.918		12.918		123		4.41	%		1.40	%		1.40	%		-1.80	%		-1.80	%
2007		11		13.154		13.154		149		4.91	%		1.40	%		1.40	%		5.87	%		5.87	%
2006		10		12.425		12.425		136		4.38	%		1.40	%		1.40	%		2.54	%		2.54	%

(1)	Net Assets equals Contract Owners’ Equity.
(2)	This ratio represents dividends recorded by the subaccount from the underlying mutual fund divided by the average net assets. This ratio excludes the Expense Ratio. N/A is noted if the fund did not pay any dividends.

88

ZALICO Variable Annuity Separate Account
of Zurich American Life Insurance Company

Notes to Financial Statements

(6) Unit Values and Financial Highlights: (continued)

(3) This ratio represents the annualized contract expenses of the separate account, resulting in a direct reduction of unit values, consisting primarily of mortality and expense charges. Charges that require redemption of contract owner units are excluded.

(4) Total return is calculated using the beginning and ending unit value (before rounding for this presentation), which reflects the changes in the underlying fund values and reductions related to the Expense Ratio, for the period indicated. The Archway product has total returns outside the ranges provided that do not correspond to the minimum or maximum expense ratio. This product invests in shares at the fund level that typically experience additional expenses. This can result in a lower subaccount total return than another product with a higher rider expense ratio.

(5) Effective September 23, 2009, name was changed from Alger American Funds to Alger Portfolios.

(6) Effective September 23, 2009, name was changed from Alger American Balanced Subaccount.

(7) For the period (cessation of operations): January 1, 2010 to November 23, 2010 — Alger Balanced S Class. Subaccount merged with DWS Money Market VIP Subaccount.

(8) Effective September 23, 2009, name was changed from Alger American Capital Appreciation Subaccount to Alger Capital Appreciation Subaccount. Previous to this date, effective May 1, 2008, name was changed from Alger American Leveraged AllCap Subaccount.

(9) Effective September 23, 2009, name was changed from Alger American Large Cap Growth Subaccount to Alger Large Cap Growth Subaccount. Previous to this date, effective May 1, 2008, name was changed from Alger American Growth Subaccount.

(10) Effective September 23, 2009, name was changed from Alger American Mid Cap Growth Subaccount.

(11) Effective September 23, 2009, name was changed from Alger American Small Cap Growth Subaccount to Alger Small Cap Growth Subaccount. Previous to this date, effective May 1, 2008, name was changed from Alger American Small Capitalization Subaccount.

(12) Effective December 11, 2009, Credit Suisse Trust International Equity Flex II merged with Credit Suisse Trust International Equity Flex III. Previous to this date effective May 1, 2009, name was changed from Credit Suisse Trust Global Small Cap Subaccount to Credit Suisse Trust International Equity Flex II Subaccount.

(13) Effective December 11, 2009, Credit Suisse Trust International Equity Flex III merged with Credit Suisse Trust International Equity Flex II. Previous to this date, effective May 1, 2009, name was changed from Credit Suisse Trust Emerging Markets Subaccount.

(14) For the period (cessation of operations): January 2, 2007 to April 30, 2007- Dreyfus VIF Small Company Stock. Subaccount merged with DWS Money Market VIP Subaccount.

(15) Effective February 6, 2006, Scudder Investments changed its name to DWS Scudder, and the Scudder Funds have been renamed DWS funds.

(16) Effective April 27, 2009, DWS Capital Growth VIP Subaccount acquired DWS Janus Growth Income VIP Subaccount.

(17) Effective December 8, 2006, DWS Capital Growth VIP Subaccount acquired DWS Janus Growth Opportunities VIP, DWS Legg Mason Aggressive Growth VIP and DWS Oak Strategic Equity VIP Subaccounts.

(18) Effective February 6, 2006, name was changed from Scudder Global Discovery Subaccount.

(19) Effective February 6, 2006, name was changed from Scudder Health Sciences Subaccount.

(20) Effective February 6, 2006, name was changed from Scudder Total Return Subaccount.

(21) Effective February 6, 2006, name was changed from Scudder Fixed Income Subaccount.

(22) For the period (cessation of operations): January 1, 2009 to April 27, 2009- DWS Davis Venture Value VIP Subaccount . Subaccount merged with DWSII Large Cap Value VIP Subaccount.

(23) Effective May 1, 2009, name was changed from DWS International Select Equity VIP Subaccount.

(24) Effective November 3, 2006, name was changed from DWS Dreman Small Cap Value Subaccount.

89

ZALICO Variable Annuity Separate Account
of Zurich American Life Insurance Company

Notes to Financial Statements

(6) Unit Values and Financial Highlights: (continued)

(25) Effective February 6, 2006, name was changed from Scudder Global Blue Chip Subaccount.

(26) For the period (cessation of operations): January 1, 2009 to April 27, 2009- DWS Janus Growth & Income VIP Subaccount. Subaccount merged with DWS Capital Growth VIP Subaccount.

(27) Effective December 17, 2010, DWS Money Market VIP Subaccount acquired Franklin Zero Coupon 2010 Subaccount. Previous to this date, effective November 23, 2010 DWS Money Market VIP Subaccount acquired Alger Balanced Portfolio Class S Subaccount. Previous to this date, effective April 23, 2010, DWS Money Market VIP Subaccount acquired JPMorgan Insurance Trust Balanced Portfolio Subaccount.

(28) Effective May 1, 2009, DWS Money Market VIP Subaccount acquired DWS Janus Aspen Small Company Value Subaccount.

(29) Effective April 25, 2008, DWS Money Market VIP Subaccount acquired DWS RREEF Real Estate Securities VIP Subaccount.

(30) Effective November 3, 2006, DWS Money Market VIP Subaccount acquired DWS Variable Series I’s Money Market VIP Subaccount.

(31) Effective June 1,2009, name was changed from DWS Dreman High Return Equity VIP Subaccount.

(32) Effective September 15, 2006, DWS Dreman High Return Equity VIP Subaccount acquired DWS Dreman Financial Services VIP and DWS MFS Strategic Value Subaccounts.

(33) Effective February 6, 2006, name was changed from Scudder Technology Growth Subaccount.

(34) Effective February 6, 2006, name was changed from Scudder Real Estate Securities Subaccount.

(35) For the period (cessation of operations): January 1, 2008 to April 25, 2008 DWS RREEF Real Estate Securities VIP Subaccount. Subaccount merged with DWS Money Market VIP Subaccount.

(36) For the period (cessation of operations): January 1, 2010 to December 17, 2010 Franklin Zero Coupon 2010 Subaccount. Subaccount merged with DWS Money Market VIP Subaccount.

(37) Effective May 1, 2009, name was changed from Mutual Discovery Securities Subaccount.

(38) For the period (commencement of operations): January 12, 2007 to December 31, 2007 – ING Global Resources Subaccount. Subaccount acquired ING VP Natural Resources Trust Subaccount.

(39) For the period (cessation of operations): January 1, 2007 to January 12, 2007- ING VP Natural Resources Trust Subaccount. Subaccount merged with ING Global Resources Subaccount.

(40) Effective April 30, 2010, AIM Variable Insurance Funds changed its name to Invesco Variable Insurance Funds.

(41) Effective April 30, 2010, name was changed from AIM V.I. Financial Services Fund Subaccount.

(42) Effective April 30, 2010, name was changed from AIM V.I. Global Health Care Subaccount.

(43) Effective April 30, 2010, name was changed from AIM V.I. Global Real Estate Subaccount.

(44) Effective April 30, 2010, name was changed from AIM V.I. Utilities Subaccount.

(45) Effective May 1, 2009, name was changed from Janus Aspen Mid Cap Growth Subaccount.

(46) Effective May 1, 2005, name was changed from Janus Aspen Capital Appreciation Subaccount.

(47) Effective May 1, 2009, name was changed from Janus Aspen Large Cap Growth Subaccount.

(48) For the period (cessation of operations): January 1, 2009 to May 1, 2009 Janus Aspen Perkins Small Company Value Subaccount. Subaccount merged with DWS Money Market VIP Subaccount.

(49) Effective May 1, 2009, name was changed from Janus Aspen Worldwide Growth Subaccount.

90

ZALICO Variable Annuity Separate Account
of Zurich American Life Insurance Company

Notes to Financial Statements

(6) Unit Values and Financial Highlights: (continued)

(50) Effective May 1, 2006, name was changed from JPMorgan Investment Trust Subaccount to JPMorgan Insurance Trust Subaccount.

(51) Effective May 1, 2006, name was changed from JPMorgan Investment Trust Balanced Subaccount to JPMorgan Insurance Trust Balanced Subaccount. Previous to this date, effective May 1, 2005, name was changed from One Group Investment Trust Balanced Subaccount.

(52) For the period (cessation of operations): January 1, 2010 to April 23, 2010 JPMorgan Insurance Trust Balanced Subaccount. Subaccount merged with DWS Money Market VIP Subaccount.

(53) Effective May 1, 2006, name was changed from JPMorgan Investment Trust Bond Subaccount to JPMorgan Insurance Trust Core Bond Subaccount.

(54) Effective May 1, 2009, JP Morgan Insurance Trust Core Bond Subaccount merged with JP Morgan Insurance Trust Government Bond Subaccount.

(55) Effective May 1, 2006, name was changed from JPMorgan Investment Trust Equity Index Subaccount to JPMorgan Insurance Trust Equity Index Subaccount. Previous to this date, effective May 1, 2005, name was changed from One Group Investment Trust Equity Index Subaccount.

(56) For the period (cessation of operations): January 1, 2009 to May 1, 2009 — JP Morgan Insurance Trust Government Bond. Fund merged with JP Morgan Insurance Trust Core Bond Subaccount. Previous to this date, effective May 1, 2006, name was changed from JPMorgan Investment Trust Government Bond Subaccount to JPMorgan Insurance Trust Government Bond Subaccount.

(57) For the period (commencement of operations): May 1, 2009 to December 31, 2009 — JPMorgan Insurance Trust International Equity Subaccount.

(58) Effective December 8, 2006, name was changed from JPMorgan Insurance Trust Large Cap Growth Subaccount to JPMorgan Insurance Trust Intrepid Growth Subaccount. Previous to this date, effective May 1, 2006, name was changed from JPMorgan Investment Trust Large Cap Growth Subaccount.

(59) Effective May 1, 2006, name was changed from JPMorgan Investment Trust Diversified Mid Cap Subaccount to JPMorgan Insurance Trust Intrepid Mid Cap Subaccount.

(60) Effective December 17, 2010, name was changed from JPMorgan Insurance Trust Diversified Mid Cap Growth Subaccount to JPMorgan Insurance Trust Mid Cap Growth Subaccount. Previous to this date, effective May 1, 2006, name was changed from JPMorgan Investment Trust Diversified Mid Cap Growth Subaccount to JPMorgan Insurance Trust Diversified Mid Cap Growth Subaccount.

(61) Effective May 1, 2009, JPMorgan Insurance Trust Mid Cap Value Subaccount merged with JPMorgan Mid Cap Value subaccount. On the same date, name was changed from JP Morgan Insurance Trust Diversified Mid Cap Value Subaccount. Previous to this date effective May 1, 2006, name was changed from JPMorgan Investment Trust Mid Cap Value Subaccount.

(62) For the period (commencement of operations): May 1, 2009 to December 31, 2009 — JPMorgan Insurance Trust Small Cap Core Subaccount.

(63) Effective May 1, 2009, name was changed from JP Morgan Insurance Trust Diversified Equity Subaccount. Previous to this date, effective May 1, 2006, name was changed from JPMorgan Investment Trust Diversified Equity Subaccount to JPMorgan Insurance Trust Diversified Equity Subaccount.

(64) For the period (cessation of operations): January 1, 2009 to May 1, 2009 — JPMorgan International Equity Subaccount. Fund merged with JPMorgan Insurance Trust International Equity Subaccount.

(65) For the period (cessation of operations): January 1, 2009 to May 1, 2009 — JPMorgan MidCap Value Subaccount. Fund merged with JPMorgan Insurance Trust Mid Cap Value Subaccount.

(66) For the period (cessation of operations): January 1, 2009 to May 1, 2009 — JPMorgan Small Company Subaccount. Fund merged with JPMorgan Insurance Trust Small Cap Core Subaccount.

(67) Effective April 30, 2010, name was changed from Oppenheimer Strategic Bond Fund Subaccount.

(68) Effective April 30, 2010, name was changed from Oppenheimer Mid Cap Fund Subaccount to Oppenheimer Small-MidCap Growth Fund VA Series Subaccount. Previous to this date, effective May 1, 2006, name was changed from Oppenheimer Aggressive Growth Subaccount.

(7) Subsequent Events:

The Separate Account has evaluated the effects of events subsequent to December 31, 2010, and through the financial statement issuance date. All accounting and disclosure requirements related to subsequent events are included in our financial statements.

91

Zurich American Life
Insurance Company
Statutory Financial Statements and
Supplemental Schedules
December 31, 2010 and 2009

Zurich American Life Insurance Company
Index
December 31, 2010 and 2009

	Page(s)
Report of Independent Auditors		1—2
Statutory Financial Statements
Statements of Admitted Assets, Liabilities and Capital and Surplus		3
Statements of Operations		4
Statements of Changes in Capital and Surplus		5
Statements of Cash Flows		6
Notes to Financial Statements		7—46
Supplemental Schedules
Supplemental Schedule of Assets and Liabilities		48—49
Supplemental Summary Investment Schedule		50
Supplemental Investment Risks Interrogatories		51—53

[PWC LETTERHEAD]

Report of Independent Auditors

To the Board of Directors and Stockholder of
Zurich American Life Insurance Company:

We have audited the accompanying statutory statements of admitted assets, liabilities and capital and surplus of Zurich American Life Insurance Company (the “Company”) as of December 31, 2010 and 2009, and the related statutory statements of operations, of changes in capital and surplus and of cash flows for each of the three years in the period ended December 31, 2010. These financial statements are the responsibility of the Company’s management. Our responsibility is to express an opinion on these financial statements based on our audits.

We conducted our audits in accordance with auditing standards generally accepted in the United States of America. Those standards require that we plan and perform the audit to obtain reasonable assurance about whether the financial statements are free of material misstatement. An audit includes examining, on a test basis, evidence supporting the amounts and disclosures in the financial statements. An audit also includes assessing the accounting principles used and significant estimates made by management, as well as evaluating the overall financial statement presentation. We believe that our audits provide a reasonable basis for our opinion.

As described in Note 2 to the financial statements, the Company prepared these financial statements using accounting practices prescribed or permitted by the Illinois Department of Financial and Professional Regulations, Division of Insurance (“IDOI”), which practices differ from accounting principles generally accepted in the United States of America. The effects on the financial statements of the variances between the statutory basis of accounting and accounting principles generally accepted in the United States of America, although not reasonably determinable, are presumed to be material.

In our opinion, because of the effects of the matter discussed in the preceding paragraph, the financial statements referred to above do not present fairly, in conformity with accounting principles generally accepted in the United States of America, the financial position of the Company as of December 31, 2010 and 2009, or the results of its operations or its cash flows for each of the three years in the period ended December 31, 2010.

In our opinion, the financial statements referred to above present fairly, in all material respects, the admitted assets, liabilities and capital and surplus of the Company as of December 31, 2010 and 2009, and the results of its operations and its cash flows for each of the three years in the period ended December 31, 2010, on the basis of accounting described in Note 2.

As disclosed in the notes to the financial statements, the Company has significant transactions with Zurich Financial Services and its affiliates. Because of these relationships, it is possible that the terms of the transactions are not the same as those that would result from transactions among wholly unrelated parties.

1

As discussed in Note 2 to the financial statements, the Company received permission from the IDOI in 1995 to reset its unassigned surplus to zero with an equal and offsetting entry to gross paid-in capital and contributed surplus; under prescribed statutory accounting practices the aforementioned reclassification would not have been recorded. As of December 31, 2009 and 2010, the permitted practice had no impact on statutory surplus.

Our audit was conducted for the purpose of forming an opinion on the basic statutory basis financial statements taken as a whole. The accompanying Supplemental Schedules of Assets and Liabilities, Summary Investment Schedule, and Investment Risks Interrogatories (collectively referred to as the “supplemental schedules”) of the Company as of December 31, 2010 and for the year then ended are presented for purposes of additional analysis and are not a required part of the basic statutory financial statements. The effects on the supplemental schedules of the variances between the statutory basis of accounting and accounting principles generally accepted in the United States of America, although not reasonably determinable, are presumed to be material. As a consequence, the supplemental schedules do not present fairly, in conformity with accounting principles generally accepted in the United States of America, such information of the Company as of December 31, 2010 and for the year then ended. The supplemental schedules have been subjected to the auditing procedures applied in the audit of the basic statutory basis financial statements and, in our opinion, are fairly stated in all material respects in relation to the basic statutory basis financial statements taken as a whole.

/s/ PricewaterhouseCoopers LLP
PricewaterhouseCoopers LLP

New York, New York
April 28, 2011

2

Zurich American Life Insurance Company

Statutory Statements of Admitted Assets, Liabilities and Capital and Surplus
Years Ended December 31, 2010 and 2009

(in thousands of dollars)	2010			2009
Admitted Assets
Cash and invested assets
Fixed Maturities, at amortized cost (market value of $462,645 and $429,234, respectively)	$	436,763		$	420,860
Contract loans		65,909			54,404
Cash, cash equivalents and short-term investments		20,195			29,157
Other invested assets		—			17
Receivables for securities		—			150
Total cash and invested assets		522,867			504,588
Amounts recoverable from reinsurers		33,983			25,766
Other amounts receivable under reinsurance contracts		17,716			23,254
Uncollected premiums and agents’ balances in the course of collection		—			40
Federal income tax recoverable		5,781			463
Net deferred tax asset		11,860			15,749
Investment income due and accrued		5,385			6,054
Guaranty funds receivable or on deposit		1,521			1,531
Securities lending collateral		—			27,696
Receivable from separate accounts		17,687			15,774
Receivables from parent, subsidiaries and affiliates		—			31
Other assets		347			353
Separate account assets		12,590,999			12,703,614
Total admitted assets	$	13,208,146		$	13,324,913
Liabilities and Capital and Surplus
Liabilities
Life and annuity reserves		378,471			355,882
Deposit-type funds
Supplemental contracts without life contingencies		3,126			4,047
Claims and benefits payable to policyholders		304			212
Total policy liabilities		381,901			360,141
Interest maintenance reserve		972			328
General expenses due or accrued		3,740			1,558
Taxes, licenses and fees due or accrued		18,265			18,385
Asset valuation reserve		747			14
Payable to affiliates		19,870			16,569
Funds held under coinsurance		1,727			239
Commission to agents due or accrued		3,882			259
Other liabilities		1,882			8,615
Securities lending liability		—			27,696
Separate account liabilities		12,590,999			12,703,613
Total liabilities		13,023,985			13,137,417
Capital and surplus
Capital stock ($10 par value — 300,000 authorized shares; 250,000 shares issued and outstanding at 2010 and 2009)		2,500			2,500
Paid-in capital		673,845			673,845
Aggregate write-ins for special surplus funds		6,649			8,380
Unassigned deficit		(498,832	)		(497,229	)
Total capital and surplus		184,161			187,496
Total liabilities and capital and surplus	$	13,208,146		$	13,324,913

The accompanying notes are an integral part of these statutory financial statements.

3

Zurich American Life Insurance Company

Statutory Statements of Operations
Years Ended December 31, 2010, 2009 and 2008

(in thousands of dollars)	2010			2009			2008
Income
Premium and annuity considerations	$	(127,759	)	$	(132,031	)	$	(108,582	)
Considerations for supplemental contracts with life contingencies		38,495			73,254			50,848
Net investment income		24,605			25,263			24,127
Amortization of interest maintenance reserve		(128	)		(46	)		229
Separate accounts fees		254,862			196,480			188,707
Assumed modco reserve adjustment		26,383			46,609			51,505
Separate accounts-related income (expenses), net		922			2,393			(2,157	)
Reinsurance ceding commissions and allowances		20,659			24,057			24,891
Ceded miscellaneous fees		(117	)		65			232
Other income		(1	)		1,240			(67	)
Total income		237,921			237,284			229,733
Benefits and expenses
Death benefits		38,306			25,707			16,815
Annuity benefits		312,043			646,952			888,894
Surrender benefits		107,268			718,616			1,101
Interest and adjustments on policy or deposit-type contracts		277			4,933			(2,315	)
Payments on supplementary contracts with life contingencies		32,430			20,720			15,041
Increase in aggregate reserves for life policies and contracts		22,589			21,649			68,155
Commissions		18,011			16,487			21,982
Commissions and expense allowances on reinsurance assumed		5,191			3,635			3,710
General expenses		31,106			20,091			24,031
Insurance taxes, licenses and fees		1,252			482			696
Net transfers from separate accounts		(501,048	)		(1,398,044	)		(1,026,195	)
Reinsured fees associated with separate accounts		45,110			—			—
Net change in termination value of separate accounts		2,651			11,177			38,745
Ceded change in termination value of separate accounts		(2,625	)		(2,214	)		(9,577	)
Ceded fixed/variable expense		132,715			131,457			222,418
Other expenses		1,031			2,375			—
Total benefits and expenses		246,307			224,023			263,501
Net income (loss) from operations before federal income tax benefit and realized capital losses		(8,386	)		13,261			(33,768	)
Federal income tax benefit		(12,477	)		(6,684	)		(22,614	)
Net income (loss) from operations before realized capital losses		4,091			19,945			(11,154	)
Net realized capital losses		(27	)		(4,406	)		(4,801	)
Related federal income tax benefits		(1,227	)		(998	)		(560	)
Realized gain (loss) transferred to the interest maintenance reserve		516			(868	)		(238	)
Total realized capital gains (losses)		684			(2,540	)		(4,003	)
Net income (loss)	$	4,775		$	17,405		$	(15,157	)

The accompanying notes are an integral part of these statutory financial statements.

4

Zurich American Life Insurance Company

Statutory Statements of Changes in Capital and Surplus
Years Ended December 31, 2010, 2009 and 2008

			Gross
	Common		Paid-In and					Total
	Capital		Contributed		Unassigned			Capital and
(in thousands of dollars)	Stock		Surplus		Surplus			Surplus
Balances at December 31, 2007	$	2,500	$	673,845	$	(488,420	)	$	187,925
Net loss		—		—		(15,157	)		(15,157	)
Change in net unrealized capital gains and losses, net of tax		—		—		(78	)		(78	)
Change in nonadmitted assets		—		—		9,809			9,809
Change in net deferred tax asset		—		—		(10,884	)		(10,884	)
Change in asset valuation reserve		—		—		642			642
Change in surplus as a result of reinsurance		—		—		(2,357	)		(2,357	)
Interest maintenance reserve generated by transferred coinsurance assets		—		—		(3,037	)		(3,037	)
Balances at December 31, 2008		2,500		673,845		(509,482	)		166,863
Net income		—		—		17,405			17,405
Change in net unrealized capital gains and losses, net of tax		—		—		78			78
Change in nonadmitted assets		—		—		6,254			6,254
Change in net deferred tax asset		—		—		(7,803	)		(7,803	)
Change in asset valuation reserve		—		—		(14	)		(14	)
Change in surplus as a result of reinsurance		—		—		(1,611	)		(1,611	)
Interest maintenance reserve generated by transferred coinsurance assets		—		—		(2,076	)		(2,076	)
Cumulative effect of change in accounting principle:
SSAP 10R net deferred tax		—		—		8,380			8,380
SSAP 43R recovery of other than temporary impairments (net of tax)		—		—		19			19
Balances at December 31, 2009		2,500		673,845		(488,849	)		187,495
Net income		—		—		4,775			4,775
Change in nonadmitted assets		—		—		2,573			2,573
Change in net deferred tax asset		—		—		(6,927	)		(6,927	)
Change in asset valuation reserve		—		—		(733	)		(732	)
Change in surplus as a result of reinsurance		—		—		(1,321	)		(1,321	)
Interest maintenance reserve generated by transferred coinsurance assets		—		—		(1,703	)		(1,703	)
Balances at December 31, 2010	$	2,500	$	673,845	$	(492,184	)	$	184,161

The accompanying notes are an integral part of these statutory financial statements.

5

Zurich American Life Insurance Company

Statutory Statements of Cash Flows
Years Ended December 31, 2010, 2009 and 2008

(in thousands of dollars)	2010			2009			2008
Cash from operations
Premiums collected, net of reinsurance	$	(89,249	)	$	(58,769	)	$	(57,268	)
Net investment income		25,515			27,633			24,211
Miscellaneous income		302,710			270,844			263,111
Benefits and loss related payments		(498,450	)		(1,428,279	)		(930,884	)
Net transfers from separate accounts		501,048			1,406,591			1,055,282
Commissions, expenses paid and aggregate write-ins for deductions		(223,208	)		(188,658	)		(300,117	)
Federal and foreign income taxes recovered		8,387			25,580			42,242
Net cash provided by operations		26,753			54,942			96,577
Cash from investments
Proceeds from investments sold, matured or repaid
Bonds		106,356			79,577			44,707
Miscellaneous proceeds		150			—			—
Total investment proceeds		106,506			79,577			44,707
Cost of investments acquired
Bonds		122,510			126,600			99,360
Miscellaneous applications		—			150			—
Total investments acquired		122,510			126,750			99,360
Net decrease (increase) in contract loans		11,505			(16,208	)		25,880
Net cash used in investments		(27,509	)		(30,965	)		(80,533	)
Cash from financing and miscellaneous sources
Net deposits on deposit-type funds and other liabilities		(921	)		3,173			203
Other applications		(7,285	)		(3,638	)		(28,247	)
Net cash used in financing and miscellaneous sources		(8,206	)		(465	)		(28,044	)
Net change in cash, cash equivalents and short-term investments		(8,962	)		23,512			(11,999	)
Cash, cash equivalents and short-term investments
Beginning of year		29,157			5,645			17,644
End of year	$	20,195		$	29,157		$	5,645

The accompanying notes are an integral part of these statutory financial statements.

6

Zurich American Life Insurance Company

Notes to Statutory Financial Statements
December 31, 2010 and 2009

1. The Company and Nature of Operations

Organization and Description of Business

Zurich American Life Insurance Company (“ZALICO” or the “Company”) is a stock life insurance company founded in 1947. The Company is incorporated under the insurance laws of the State of Illinois and is licensed in the District of Columbia and all states, with the exception of New York.

The Company is a wholly owned subsidiary of Zurich American Corporation (“ZAC”), formerly Kemper Corporation, a non-operating holding company. ZAC is a direct wholly owned subsidiary of Zurich Holding Company of America, Inc. (“ZHCA”). ZHCA is an indirect wholly owned subsidiary of Zurich Financial Services Ltd. (“ZFS” or the “Parent’).

On July 6, 2010 the Company’s sole shareholder (ZAC, then Kemper Corporation) approved that the name of the Company be changed from Kemper Investors Life Insurance Company to Zurich American Life Insurance Company, and that an amendment of the Company’s Articles of Incorporation be made to effect such name change, with such amendment being subject to the approval of the Illinois Department of Financial and Professional Regulation, Division of Insurance, (“IDOI”). This change aligns the name of the Company with the Zurich Financial Services (“Zurich”) brand. The IDOI approved the Company’s amended Articles of Incorporation reflecting this name change on Aug 23, 2010 and, accordingly, amended the Company’s Certificate of Authority. All other state regulatory notifications are being made. On September 2, 2010, the Company established a new subsidiary, Zurich American Life Insurance Company of New York (“ZALICONY”), for which it is in the process of applying for a New York state insurance license.

Purchase Agreement

On May 29, 2003, Kemper Corporation (now ZAC) entered into a stock and asset purchase agreement (the “Purchase Agreement”) with Bank One Insurance Holdings, Inc. (“BOIH” or “Bank One”) which, in conjunction with then-associated and subsequent transactions, has resulted in the following:

• The Company ceded, through a coinsurance agreement, 100% of its general account liabilities to Protective Life Insurance Company (“PLICO”) with the exception of those relating to the DESTINATIONS product, supplemental contracts arising from the DESTINATIONS product, and business-owned life insurance (“BOLI”) contracts. These general account liabilities included all of the Company’s gross liabilities and obligations, including benefits, claims, taxes, commissions and assessments for certain types of existing individual and group life insurance policies and annuity contracts (collectively referred to as the “Reinsured Policies”). The Reinsured Policies also included certain policies written for a period of twelve months subsequent to the Closing. The Company or the reinsurer under the coinsurance agreement are accepting renewal premium for all of its products.

• The Company ceded on a modified coinsurance basis its separate account liabilities that are related to the Reinsured Policies. As of December 31, 2010 and 2009, the Company’s separate account reserves subject to the coinsurance agreement with PLICO were approximately $1,150,000,000 and $1,097,389,000, respectively.

• PLICO assumed administration of the Reinsured Policies and BOLI contracts of the Company on a long-term basis subject to the oversight of the Company. This included, but was not limited to, policy and policyholder administration, separate account administration, preparing accounting and actuarial information and certain aspects of legal compliance.

7

Zurich American Life Insurance Company
Notes to Statutory Financial Statements
December 31, 2010 and 2009

• Federal Kemper Life Assurance Company ("FKLA") established a trust account (the “Security Trust Account”) for the exclusive benefit of the Company. The Security Trust Account is funded with assets equal to the general account statutory reserves adjusted for policy loans and interest maintenance reserves reinsured by FKLA, adjusted on a quarterly basis. FKLA is required to maintain the Security Trust Account until the Company’s general account statutory reserves of the Reinsured Policies are $400,000,000 or less. As of December 31, 2010 and 2009, the Company’s general account statutory reserves subject to the coinsurance agreement with FKLA were approximately $1,926,797,000 and $2,006,102,000, respectively. The balance in the Security Trust Account was approximately $1,941,151,000 and $2,064,681,000 as of December 31, 2010 and 2009, respectively.

Nature of Operations

As of the BOIH Purchase Agreement closing, the Company’s direct retained business consisted primarily of the DESTINATIONS product. The Company also ceased issuing new business with the exception of renewal business and certain policies to be written and reinsured pursuant to the coinsurance agreement with PLICO. The Company agreed that for a period of three years following the Closing Date, it would not, except under limited circumstances, issue any new BOLI policies. Nearly all of the Company’s BOLI policies are reinsured to Zurich Insurance Company, Bermuda Branch (“ZIBB”). The account values of these ceded BOLI policies are included in the separate account assets and liabilities on the balance sheet.

Synergy Investment Group, LLC (“Synergy”), an unaffiliated broker/dealer, and Investment Distributors, Inc. (“IDI”), an affiliate of PLICO, are the principal underwriters for the ZALICO separate account. BFP Securities LLC (“BFP”), an affiliate of the Company, is the primary wholesaling distributor of the Company’s BOLI products.

During 2009, the Company transferred its marketing function to Zurich Global Life North America (“GLNA”), which has responsibility for life insurance new business generation in the U.S. GLNA is identifying and implementing strategic opportunities designed to achieve profitable new business growth for the Company. Also during 2009, the Company began implementation of a target operating model for legal entity and legacy product management that transitions responsibility for these activities to center of excellence groups at affiliated companies. The transition was completed in 2010.

DESTINATIONS Product

DESTINATIONS is a registered individual and group variable, fixed and market value adjusted deferred annuity product. DESTINATIONS currently offers 30 variable subaccount investment options with various investment managers, a number of different guaranty periods, a fixed account option, dollar cost averaging, a guaranteed minimum death benefit (“GMDB”) option and a guaranteed retirement income benefit (“GRIB”) option.

The GMDB and GRIB options subject the Company to market risk as the beneficiary or contract holder may receive, due to product guarantees, benefits that exceed the investment performance associated with their account balance. The GMDB and GRIB benefit is the greatest of: i) the contract value (account value); ii) the greatest anniversary value before the exercise (annuitization date or date of death), reset up to age 80 minus previous withdrawals; or iii) purchase payments minus previous withdrawals, accumulated at 5% per annum to age 80.

The GRIB option is a rider to the DESTINATIONS base contract that was available to be purchased at the time the contract was issued. If purchased and later exercised, the GRIB option allows a policyholder to receive a payment stream that may have value in excess of what would

8

Zurich American Life Insurance Company
Notes to Statutory Financial Statements
December 31, 2010 and 2009

otherwise have been generated, without GRIB, by annuitization of their contract value (due to benefit guarantees associated with the GRIB option). For contracts with the GRIB option, the guaranteed value may begin to be realized after seven or more years from contract issue, depending upon issue age. The amount of excess of the GRIB value over the contract value can fluctuate on a daily basis with changes in equity market returns. As such, the ultimate amount paid by the Company, if any, is uncertain and could be significantly more or less than the net amount at risk (as disclosed in Note 8).

On November 17, 2006, the Company entered into a reinsurance agreement with Zurich Insurance Company Ltd. (“ZIC”; “ZIC Agreement”) to reinsure the net amounts at risk for GMDB and GRIB options on policies issued from May 1, 2000 through February 28, 2003. Subsequently, on December 22, 2008 the Company and ZIC entered into Amendment No.1 to the ZIC Agreement (“Amendment”). Under terms of the Amendment, the Company paid a premium to ZIC of $10,000,000 in consideration for changes in the operation of the ZIC Agreement, for the benefit of the Company, under forecast scenarios where a significant further decline in equity market levels was projected. See Note 9 for a more detailed discussion of the ZIC Agreement and Amendment.

Business Owned Life Insurance (BOLI)

From 1997 to the effective date of the Purchase Agreement, the Company marketed BOLI policies. BOLI is a form of group life insurance which enables clients to buy variable life insurance on key employees. The policies remain in force until the last insured dies or the policy is surrendered or exchanged. The policyholder has flexibility regarding premiums and the right to allocate premiums to various divisions with differing investment objectives. The policyholders may also borrow from the investment value of the policies, surrender the policies for their cash surrender values or in some cases, make partial withdrawals from the cash surrender values. Death benefits on the life of any insured are at least equal to the face amount on the individual insured provided the cash value relating to the insured is greater than zero.

ZIBB reinsures 98% of the mortality risk and 98% of the net amount at risk of the BOLI policies. ZIBB offered a stable value protection (“SVP”) option in conjunction with the BOLI policies. The SVP option allows purchasers of the option to make payments into SVP divisions in the Company’s separate accounts. These SVP divisions purchase value protection from a stable value provider which offers smooth or stabilized investment returns over a specified period of time.

Separate Account Business

The Company maintains separate account assets and liabilities, which are reported at fair value. Separate accounts reflect two categories of risk assumption: non-guaranteed separate accounts, wherein the contract holder assumes the investment risk, and guaranteed separate accounts, wherein the Company contractually guarantees either a minimum return or account value to the contract holder. Non-guaranteed separate account assets are segregated from other investments, and investment income and gains and losses accrue directly to the contract holder. Mortality, policy administration, and surrender charges to all accounts are included in the revenues of the Company. Changes in liabilities for minimum guarantees are included in the increase in aggregate reserves for life policies and contracts line item in the financial statements.

Group Term Life Insurance

During the second half of 2006, the Company began marketing and sales of a group term life insurance product (“Group Life”). Group Life is marketed through the agency force of Farmers Group, Inc. (“FGI”), an affiliated company. The Group Life product is yearly renewable term life insurance for employers to make available as a part of their employee benefits package. Group Life provides guaranteed issue in limited amounts to group members and allows for conversion to an individual term life policy when a member leaves the group.

9

Zurich American Life Insurance Company
Notes to Statutory Financial Statements
December 31, 2010 and 2009

The Company continues to sell the Group Life product introduced in 2006 and marketed through the agency force of FGI.

Group Term Life /AD&D and Group L-T Disability Insurance

During the second half of 2010, the Company began marketing and sales of its group term life insurance product (“Group Life II”) with accidental death and dismemberment (“AD&D”) rider marketed to U.S. expatriates. This was followed by the introduction of the group long-term disability (“Group L-T Disability”) product. The Group Life w/AD&D rider and the Group L-T Disability products are yearly renewable group term insurance products made available to U.S. — base companies as part of their employee benefits package. Group Life II provides guaranteed issue in limited amounts to group members and allows for conversion to an individual term life policy when a member leaves the group. Group L-T Disability provides monthly income benefit percentages up to a designated maximum amount and age upon completion of a disability elimination period.

Guaranteed Death Benefit Insurance

During the second half of 2010, the Company began marketing and sales of an individual no-lapse guarantee protection product (“NLG”) marketed to the affluent U.S. life insurance market segment. The NLG product is intended to serve the wealth transfer, estate tax planning, and business insurance needs of this market segment. The NLG is flexible premium adjustable life insurance and provides coverage guarantees, death benefit options, a policy loan feature, and three riders.

2. Summary of Significant Accounting Policies

Basis of Presentation

The financial statements have been prepared in conformity with accounting practices prescribed or permitted by the Illinois Department of Financial and Professional Regulations — Division of Insurance (“IDOI”).

The IDOI recognizes only Statements of Statutory Accounting Principles (“SSAP”) prescribed or permitted by the State of Illinois for determining and reporting the financial condition and results of operations of an insurance company, for determining its solvency under the Illinois Insurance Law. The National Association of Insurance Commissioners’ (“NAIC”) Accounting Practices and Procedures Manual version effective January 1, 2001 (“NAIC AP&P”) has been adopted as a component of prescribed or permitted practices by the State of Illinois.

Statutory accounting practices differ from accounting principles generally accepted in the United States of America (“GAAP”) in the following respects:

Investments

Investments in bonds are stated at amortized cost or at values required by the NAIC. Under GAAP, bonds are carried at fair value or amortized cost based upon management’s intent as to whether bonds are available for sale or will be held until maturity.

In determining fair market value, for the majority of securities, quotes were obtained from third party sources. If quotes from these sources were not available, a broker estimate was used. Changes between cost and admitted asset investment carrying amounts are credited and charged directly to unassigned surplus rather than to a separate component of stockholder’s equity and other comprehensive income.

10

Zurich American Life Insurance Company
Notes to Statutory Financial Statements
December 31, 2010 and 2009

Asset Valuation Reserve

The asset valuation reserve (“AVR”) is determined by NAIC prescribed formulas, which establish a provision for the risk of asset defaults, and is reported as a liability with changes recorded directly to unassigned surplus. Under GAAP, no such liability is established.

Interest Maintenance Reserve

An interest maintenance reserve (“IMR”) is provided as required by the IDOI in order to defer certain realized investment gains and losses, net of tax, related to interest rate fluctuations, and to amortize such gains and losses through operating income over the remaining life of the securities sold. Any net unamortized deferred losses are nonadmitted and charged directly to unassigned surplus. No such reserve is required by GAAP.

Life Policy and Contract Reserves

Life policy and contract reserves under statutory accounting practices are based on statutory mortality, morbidity, and interest requirements without consideration of withdrawals and Company experience.

GAAP requires that policy reserves for traditional products be based upon the net level premium method utilizing management’s best estimate of mortality, interest, and withdrawals prevailing when the policies were sold; for interest sensitive products, the GAAP policy reserve is determined using the retrospective deposit method and is equal to the policy fund balance, before surrender charges.

Acquisition Costs

Under statutory accounting practices, costs of acquiring new business are charged to operations in the year such costs are incurred. Under GAAP, such costs are deferred and amortized over the premium-paying period of the policies for traditional products, or as a level percentage of gross profits for interest sensitive products.

Recognition of Revenue and Related Expenses

Under statutory accounting practices, premiums are recognized as revenues when due. For GAAP purposes, premiums for traditional life insurance products, which include those products with fixed and guaranteed premiums and benefits and consist principally of whole and term life insurance policies, are recognized as revenues when due. Revenues for universal life insurance policies and for investment products consist of policy charges for the cost of insurance, interest earned, policy administration charges, and surrender charges assessed against policyholder account balances during the year. Expenses related to these products include interest credited to policy account balances, benefit claims incurred in excess of policy account balances and commissions and expense allowances on reinsurance assumed. Revenues also include commissions and expense allowances on reinsurance ceded and reserve adjustments on reinsurance ceded. Under statutory accounting practices, deferred premiums, representing gross premiums less loading, are reported as an admitted asset. Under GAAP, uncollected premiums are stated at gross amounts and deferred premiums are reflected as a reduction of the related aggregate reserve.

Reinsurance

Reserves and reinsurance recoverable on unpaid claims on reinsured business are netted in aggregate reserves and the liability for life policy claims, respectively. Under GAAP, these reinsured amounts are reflected as an asset.

11

Zurich American Life Insurance Company
Notes to Statutory Financial Statements
December 31, 2010 and 2009

Federal Income Taxes

Deferred income taxes are provided for temporary differences between the financial statement and tax bases of assets and liabilities at the end of each year based on enacted tax rates. Net deferred tax assets are limited to their admissible amount according to a prescribed formula. Changes in deferred income tax assets and liabilities are reported as adjustments to surplus. Under GAAP, changes in deferred income taxes are included in income tax expense or benefit and are allocated to continuing operations, discontinued operations, extraordinary items and items charged directly to shareholders’ equity. Additionally, under GAAP, deferred income tax assets are only reduced by a valuation allowance if it is more likely than not that some portion or all of the deferred tax assets will not be realized. There is no requirement to consider admissibility standards.

Nonadmitted Assets

Certain assets are considered nonadmitted assets for statutory purposes and any changes in such assets are credited or charged directly to unassigned surplus. There are no nonadmitted assets for GAAP purposes.

Statement of Cash Flows

The statutory basis statement of cash flows is presented as required and differs from the GAAP presentation.

Permitted Accounting Practice

In anticipation of the Zurich acquisition in 1996, the Company sold, primarily through a bulk sale, approximately $284,000,000 in real estate-related investments during 1995 as part of a strategic effort to reduce overall exposure to real estate. As a result of these sales, the Company incurred realized capital losses that were required to be transferred to the Interest Maintenance Reserve (“IMR”). However, as a result of the transfer of these realized capital losses, the IMR became negative. In connection with the sale of the real estate-related investments and the acquisition of the Company’s parent, the IDOI permitted the Company to reset the IMR to zero at December 31, 1995. This treatment permits the Company to proceed as if it had been legally reorganized through a procedure known as “quasi-reorganization”.

This procedure allows the Company a “fresh start” by resetting the negative unassigned surplus to zero and reducing gross paid-in and contributed surplus by the same amount. Although this treatment does not change the Company’s total amount of reported capital and surplus as of December 31, 2010 and 2009, it did favorably impact the 2010, 2009 and 2008 net income (loss) from operations. If the Company had not been permitted to reset the IMR to zero as of December 31, 1995, the Company’s statutory net gain from operations would have decreased by approximately $1,394,000, $1,326,000 and $1,316,000 for the years ended December 31, 2010, 2009 and 2008, respectively. Capital and surplus would have increased by like amounts through a credit to the change in nonadmitted assets and related items. If the Company had not been able to reset the negative unassigned surplus to zero, paid-in surplus and unassigned surplus (deficit) would have been approximately $729,254,000 and $(533,557,000), respectively as of December 31, 2010, and approximately $729,254,000 and ($528,829,000), respectively, as of December 31, 2009.

Changes in Accounting Principles

In September 2009, the NAIC issued SSAP No. 43R, “Loan-backed and Structured Securities” (“SSAP No. 43R”), an amendment of SSAP No. 43, “Loan-backed and Structured Securities”, replacing SSAP No. 98 “Treatment of Cash Flows When Quantifying Changes in Valuation and Impairments, an Amendment of SSAP No. 43-Loan-backed and Structured Securities". SSAP No. 43R provides that for loan-backed and structured securities for which (i) fair value is less than cost (ii) the Company does not intend to sell the security and (iii) the Company has the intent and ability to hold the security until recovery, the Company should determine if there is a non-interest related impairment by comparing the present value of the cash flows expected to be collected to the amortized cost basis.

12

Zurich American Life Insurance Company
Notes to Statutory Financial Statements
December 31, 2010 and 2009

If the net present value of the cash flows expected to be collected is less than amortized cost, the security is impaired, and the difference is recorded as a realized loss in net income. The new cost basis of the security is the previous amortized cost basis less the non-interest impairment recognized in net income.

If fair value is less than amortized cost and the Company (i) has the intent to sell the security, or (ii) does not have the intent and ability to retain the security until recovery of its carrying value, the security is written down to fair value with the associated realized loss reported in net income. The non-interest portion of the realized loss is recognized in the Asset Valuation Reserve (“AVR”), and the interest portion in the IMR. The fair value at the time of the impairment becomes the security’s new cost basis.

SSAP No. 43R requires that for beneficial interests in securitized financial assets that are not of high credit quality or can contractually be prepaid or otherwise settled in such a way that the reporting entity would not recover substantially all of its recorded amount, determined at acquisition, if fair value is less than amortized cost and there has been a negative change in cash flows, an other-than-temporary impairment (“OTTI”) must be taken. The amount of the impairment is based upon the criteria discussed above. The carrying value of these securities is determined using the prospective yield method.

The Company adopted SSAP No. 43R effective July 1, 2009. The cumulative effect of this change is $29,000 and is reported in the Statutory Statement of Changes in Capital and Surplus, in the amount of $19,000 net of tax.

The NAIC amended “Actuarial Guideline XLIII, CARVM for Variable Annuities". This guidance allows companies to set reserves that more accurately and appropriately reflect the risks of the variable annuities with guarantees through stochastic modeling. This guidance was effective December 31, 2009. See Note 8, Life Reserves, for further details of the impact of adoption of Actuarial Guideline XLIII.

In December 2009, the NAIC issued Statements of Statutory Accounting Principles No. 10R “Income Taxes-Revised, A Temporary Replacement of SSAP 10” (“SSAP No. 10R”). This guidance provides an increase in the admissibility limitation from 10% to 15% of surplus and an increase in the reversal/realization periods from one to three years. It requires gross deferred tax assets to be reduced by a statutory valuation allowance if it is more likely than not that some portion or all of the gross deferred tax assets will not be realized. In December 2009, the Company adopted the accounting guidance related to deferred income taxes contained in SSAP No. 10R, with impact as the result of electing the provisions of paragraph 10e relating to admitted deferred tax assets. The cumulative effect of adopting this pronouncement increased surplus by $8,380,000 at December 31, 2009 and is reported as a specifically identified change in accounting principle in the Statutory Statements of Changes in Surplus.

New Accounting Pronouncements

The Company adopted SSAP No. 100 “Fair Value Measurements”, (“SSAP 100”) effective December 31, 2010 and thereafter. SSAP 100 defines fair value, establishes a framework for measuring fair value and expands disclosure requirements regarding fair value measurements but does not change existing guidance about whether an asset or liability is carried at fair value. See Note 5 for disclosures related to SSAP No. 100.

13

Zurich American Life Insurance Company
Notes to Statutory Financial Statements
December 31, 2010 and 2009

The NAIC modified SSAP No. 9, “Subsequent Events”. This guidance establishes general standards for accounting and disclosures of events that occur subsequent to the balance sheet date, but before the issuance of the financial statements. In addition, the Company must disclose the date through which subsequent events have been evaluated, and the date the financial statements were issued or available to be issued. This guidance is effective for the year ending December 31, 2009. The adoption of this guidance did not have an impact on the Company’s financial statements. The required disclosure of the date through which subsequent events have been evaluated is provided in Note 14, Subsequent Events.

The NAIC issued SSAP No. 99, “Accounting for Debt Securities Subsequent to an Other-Than-Temporary Impairment", which provides guidance for the accounting treatment of premium or discount for a debt security subsequent to other-than-temporary impairment recognition. This guidance was effective January 1, 2009 with early adoption permitted. The Company adopted this guidance effective January 1, 2009 with a prospective application.

The NAIC approved an initiative to create a new modeling and rating process for non-agency residential mortgage-backed securities (“RMBS”), “The RMBS Initiative". For each RMBS within the scope of the guidance, the model determines the price at which the modeled expected loss equals the midpoint between the risk-based capital (“RBC”) charges for each NAIC designation, i.e. each price point that, if exceeded, changes the NAIC designation. A security’s carrying amount is based upon the initial NAIC designation, which is determined using the security’s amortized cost. A final NAIC designation is determined using the security’s carrying amount. This final NAIC designation is applicable for all statutory accounting and reporting purposes, including establishing the IMR, AVR and RBC, except for establishing the appropriate carrying value. This guidance was effective for December 31, 2009.

Use of Estimates

The preparation of financial statements in conformity with accounting practices prescribed or permitted by the IDOI requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities at the date of the financial statements and the reported amounts of revenues and expenses during the reporting period. Actual results could differ from those estimates.

The Company is liable for guaranty fund assessments related to certain unaffiliated life insurance companies that have become insolvent during the years 2010 and prior. The Company’s financial statements include provisions for all known assessments that are expected to be levied against the Company as well as an estimate of amounts (net of expected future premium tax recoveries) that the Company believes will be assessed in the future. According to SSAP No. 35, “Guaranty Fund and Other Assessments", guaranty fund assessment (“GFA”) liabilities and estimated premium tax credits as well as the estimated GFA recoverable for the ceded portion of the future liabilities, are to be presented separately in the balance sheet. The majority of the GFA liability is ceded as a result of the Purchase Agreement.

Business Risks

The Company operates in a business environment that is subject to various risks and uncertainties, including but not limited to, mortality risk, interest rate risk and legal and regulatory changes. The Company is subject to various state and federal regulatory authorities. The potential exists for changes in laws or regulations that can result in additional, unanticipated expense to the Company. Existing federal laws and regulations affect the taxation of life insurance products and insurance companies. There can be no assurance as to whether future legislation might be enacted, or if enacted that would include provisions with possible negative effects on the Company’s life and annuity products.

14

Zurich American Life Insurance Company
Notes to Statutory Financial Statements
December 31, 2010 and 2009

3. Accounting Policies

Investments

Investments are valued as prescribed by the NAIC and as required by the IDOI. All security transactions are recorded on a trade date basis. Investments are recorded on the following bases:

• Bonds — at cost, adjusted for amortization of premium or discount. Bonds with NAIC designations of 6 are reported at the lower of amortized cost or fair value. Discount or premium on bonds is amortized using the interest method on a retrospective basis. A yield to worst amortization method is used to take into consideration any bond call or sinking fund feature.

• Loan-backed securities — are amortized using the interest method including anticipated prepayments at the date of purchase. Prepayment assumptions for single class and multi-class mortgage-backed/asset-backed securities were obtained from the respective managers and the prepayment windows and/or cashflows were obtained from Bloomberg. The Company has elected to use the book value as of January 1, 1994 as the cost for applying the retrospective adjustment method to securities purchased prior to that date. Loan-backed securities with evidence of deterioration of credit quality for which it is probable that the Company will be unable to collect all contractually required payments receivable are written down to the present value of expected cash flows to be received.

• Preferred Stocks — at lower of cost, amortized cost or fair value. Preferred stocks with NAIC designations of 1 through 3 with characteristics of debt securities are reported at cost or amortized cost. All other preferred stocks are reported at the lower of cost, amortized cost or fair value.

• Common stocks of non-affiliates — at fair value.

• Short-term investments — at cost or amortized cost.

• Other invested assets — these balances consist of venture capital and real estate joint venture partnerships. They are carried at cost plus equity in undistributed earnings or losses for participants, net of a valuation allowance.

• Contract loans are carried at the aggregate of the unpaid balance provided the unpaid balance does not exceed either cash surrender value of the policy or the policy reserves. The excess of the unpaid loan balance over the cash surrender value is nonadmitted and reflected as an unrealized capital loss.

Upon default or indication of potential default by an issuer of fixed maturity securities, other than mortgage-backed securities, the issue(s) of such issuer would be analyzed for possible write-down. Any such issue would be written down to its net realizable value during the fiscal year in which the impairment was determined to have become other than temporary. Thereafter, each issue is regularly reviewed and additional write-downs may be taken in light of later developments. Write-downs are included as part of net realized capital gains (losses). The Company recorded $0, $290,000, and $4,069,000, respectively, fixed maturity write-downs on securities other than loan -backed securities for the periods ended December 31, 2010, 2009 and 2008. All loan-backed and structured securities were reviewed to determine if there were any indications of potential for OTTI classification. Where such an indication existed, cash flow and credit support analyses were performed. If it was determined that the Company was to receive less than 100% of contractual cash flows, the OTTI impact was measured and recorded in accordance with SSAP 43R Loan-Backed and Structured Securities.

15

Zurich American Life Insurance Company
Notes to Statutory Financial Statements
December 31, 2010 and 2009

The Company recorded $2,280,000, $1,820,000 and $0, respectively, fixed maturity write-downs on loan-backed and structured securities for the periods ended December 31, 2010, 2009 and 2008.

Investment Income and Realized Gains and Losses

Investment income is recorded when earned. All investment income due and accrued amounts that are over 90 days past due, with the exception of mortgage loans in default are excluded from surplus. The Company had no investment income due and accrued that was over 90 days past due at December 31, 2010, 2009 and 2008.

Realized gains or losses on sales of investments, determined on the basis of identifiable cost on the disposition of the respective investment, which are not transferred to the IMR and write-downs are credited or charged to income, net of applicable federal income tax. Unrealized gains and losses, including changes in real estate-related reserves, are credited or charged to surplus, net of deferred tax.

Securities Lending

The Company has entered into a securities lending agreement with a lending agent. The agreement authorizes the agent to lend securities held in the Company’s portfolio to a list of authorized borrowers. Concurrent with delivery of the securities, the borrower provides the Company with cash collateral equal to at least 102% of the fair value of domestic loaned securities and 105% of the fair value of foreign loaned securities.

The securities are marked-to-market on a daily basis, and the collateral is adjusted on the next business day. The collateral is invested in overnight repurchases in U.S. governmental and Agency securities. Income earned from the security lending arrangement is shared 25% and 75% between the lending agent and the Company, respectively. Income earned by the Company was approximately $3,000, $0 and $27,000 in 2010, 2009 and 2008, respectively. There were no securities on loan as of December 31, 2010. The Company’s securities on loan as of December 31, 2009 primarily consisted of U.S. Treasury Notes, U.S. Government Agency and corporate fixed income securities and had an estimated fair value of approximately $27,081,000. The fair value of the reinvested cash collateral was approximately $27,696,000.

Income and Expenses

Revenue for annuities, variable life insurance and interest-sensitive life insurance products consists of premiums and annuity considerations, investment income and policy charges and fees. Expenses consist of benefits, changes in aggregate reserves and policy maintenance costs.

Life and interest-sensitive life insurance contract premiums are recognized as income when due, while annuity contract premiums are recognized as income when received. Expenses, including acquisition costs related to acquiring new and renewal business, such as commissions, are charged to operations as incurred.

During 2008 the Company’s third party administrator recorded considerations for supplemental contracts not involving life contingencies but did not notify the Company of such recordings in 2008 per agreed procedures. As such, because the associated increase in reserves was not recorded as an expense in the same period, the recording of these considerations served to increase the Company’s 2008 net gain from operations before federal income taxes by $3,456,000. This error in notification was discovered by the Company in late January 2009 through its reconciliations, was investigated, and in March 2009 the Company recorded the then current value for the increase in associated reserves, $3,329,000, which served to reduce the Company’s 2009 net gain from operations before federal income taxes by the same amount.

16

Zurich American Life Insurance Company
Notes to Statutory Financial Statements
December 31, 2010 and 2009

Correction of this out-of-period error from 2008 in March 2009, which the Company determined to be immaterial and is not reflected in the accompanying 2008 statutory financial statements, would have had the impact of increasing interest and adjustments on policy or deposit-type contracts, an expense, recorded in the 2008 Statutory Statement of Operations from ($2,315,000) to $1,141,000, increasing net loss from operations before federal income taxes from ($33,768,000) to ($37,224,000), decreasing federal income taxes incurred from ($22,614,000) to ($23,286,000), and increasing net loss from ($15,695,000) to ($17,941,000). Had this error been corrected in 2008, ending capital and surplus reported in the 2008 Statutory Statements of Capital and Surplus would have changed from $166,863,000 to $164,817,000.

Correction of this out-of-period error from 2008 in March 2009 had the impact of increasing interest and adjustments on policy or deposit-type contracts recorded in the 2009 Statutory Statement of Operations, an expense, from $1,605,000 to $4,933,000, decreasing net gain from operations before federal income taxes from $16,590,000 to $13,261,000, decreasing federal income taxes incurred from ($5,519,000) to ($6,684,000), and decreasing net income from $19,568,000 to $17,405,000. The correction of this error had no impact on ending capital and surplus of $187,496,000 reported in the 2009 Statement of Changes in Capital and Surplus.

Policy Liabilities and Other Policyholders’ Funds

Liabilities for policy reserves on annuity contracts are calculated based on the Commissioner’s Annuity Reserve Valuation Method (“CARVM”). Interest crediting rates under the contracts’ accumulation periods range from 2.15% to 7.00%. Guarantee periods range from one to ten years with minimum interest rate guarantees ranging from 2.0% to 4.5%.

Liabilities for life policy reserves and interest-sensitive life insurance contracts are based on statutory mortality and interest requirements without consideration of withdrawals. Liabilities for the majority of these contracts are calculated based on the 1980 Commissioner’s Standard Ordinary (“CSO”) table assuming interest rates ranging from 4.5% to 6.0%.

The Company waives deduction of deferred fractional premiums upon death of the insured and returns the portion of the final premium paid beyond the policy month of death. Surrender values promised in excess of the legally computed reserves, if any, would be included as a component of reserves.

Extra premiums are charged for policies issued on substandard lives according to underwriting classifications. Final reserves are determined by computing the mid-terminal reserve for the plan and holding an additional one half of the net valuation premium for the modal period.

Separate Accounts Business

The assets of the separate accounts represent segregated funds administered and invested by the Company for purposes of funding variable annuity and variable life insurance contracts for the exclusive benefit of variable annuity and variable life insurance contract holders. The Company receives administrative fees from the separate accounts and retains varying amounts of withdrawal charges to cover expenses in the event of early withdrawals by contract holders.

The assets and liabilities of the separate accounts are carried at the fair value of the underlying contracts. The difference between the fair values of the contracts, and their termination value, is recorded as a negative liability for transfers to separate accounts due or accrued. Changes in termination value of the contracts are recognized through the Company’s net loss from operations as a component of net transfers to (from) the separate accounts rather than directly to surplus.

17

Zurich American Life Insurance Company
Notes to Statutory Financial Statements
December 31, 2010 and 2009

The assets are invested primarily in a series of mutual funds managed by DWS Investments, and other unaffiliated mutual fund managers.

Reinsurance

In the ordinary course of business, the Company enters into reinsurance agreements to diversify risk and limit its overall financial exposure to certain blocks of annuities and to individual death claims. Although these reinsurance agreements contractually obligate the reinsurers to reimburse the Company, they do not discharge the Company from its primary liabilities and obligations to policyholders. An additional protection is the existence of a security trust. Several of the Company’s reinsurance contracts require that the reinsurer fund a trust, with the fair value of the assets at least equal to the book value of the statutory liabilities reinsured.

Federal Income Taxes

The Company has applied the NAIC Statement of Statutory Accounting Principles No. 10R, “Income taxes — Revised, A Temporary Replacement of SSAP No. 10”. Income tax incurred is recognized by applying the enacted income tax law. Deferred income taxes are provided for temporary differences between the financial statement and tax bases of assets and liabilities at the end of each year based on enacted tax rates. Changes in admitted deferred income tax assets and liabilities are recognized as adjustments to surplus. Deferred tax assets are admitted to the extent they meet specific criteria but are limited to the amount of gross deferred tax assets expected to be reversed within a limited time period and adjusted surplus. Companies that meet the risk-based capital trend-test may elect to admit additional deferred tax assets under the provisions of paragraph 10.e, which provides expanded time periods and surplus limitations. The Company qualifies for and has elected to apply the expanded provisions.

The Company records interest and penalties related to income tax contingencies as a component of income tax expense.

Nonadmitted Assets

Certain assets, designated as “nonadmitted assets”, have been excluded from the statutory statements of admitted assets, liabilities and capital and surplus through a direct charge against unassigned surplus.

Statement of Cash Flows

The Company defines cash as cash in banks and money market accounts and considers all highly liquid investments, with maturity of one year or less when purchased, to be short-term investments.

18

Zurich American Life Insurance Company
Notes to Statutory Financial Statements
December 31, 2010 and 2009

4. Investments

The components of investment income by type of investment for the years ended December 31, 2010, 2009 and 2008 are as follows:

(in thousands of dollars)	2010			2009			2008
Bonds	$	21,377		$	20,903		$	18,111
Preferred stocks		—			—			46
Contract loans		3,339			3,611			3,170
Short-term investments		57			89			1,027
Other		557			1,574			2,190
Gross investment income	$	25,330		$	26,177		$	24,544
Less: Investment expenses		(725	)		(915	)		(417	)
Net investment income	$	24,605		$	25,262		$	24,127

In 2010, 2009 and 2008, the Company’s investment expenses included fees of approximately $232,000, $204,000 and $157,000, respectively, to Deutsche Investment Management Americas, Inc.

In 2010, 2009 and 2008, the Company’s investment expenses included fees of approximately $112,000, $108,000 and $108,000 respectively, to Zurich Investment Services.

The Company also incurred investment fees in 2010, 2009 and 2008 of approximately $489,000, $240,000 and $140,000, respectively, to Zurich Global Investment Management (“ZGIM”), an affiliate of Zurich Financial Services.

The Company owns one low income housing tax credit (“LIHTC”) property, National Equity Fund. The number of remaining tax credits is one year and the required holding period for the LIHTC investment is four years.

Realized Gains and Losses

Realized gains and losses on sales, redemptions and impairments of investments are determined based on the actual cost of the securities.

Realized investment gains and losses for the years ended December 31, 2010, 2009 and 2008 are as follows:

(in thousands of dollars)	2010			2009			2008
Bonds	$	2,253		$	(2,296	)	$	(719	)
		2,253			(2,296	)		(719	)
Transfer to (from) interest maintenance reserve		(516	)		868			238
Add: Tax impact from net realized gains and losses		1,227			998			560
	$	2,964		$	(430	)	$	79

19

Zurich American Life Insurance Company
Notes to Statutory Financial Statements
December 31, 2010 and 2009

Impairment losses for the years ended December 31, 2010, 2009 and 2008 are as follows:

(in thousands of dollars)	2010			2009			2008
Bonds	$	(2,280	)	$	(2,110	)	$	(4,069	)
Other		—			—			(13	)
	$	(2,280	)	$	(2,110	)	$	(4,082	)

Unrealized Gains and Losses on Fixed Maturities and Preferred Stocks

Amortized cost, gross unrealized gains, gross unrealized losses, and estimated fair value of bonds and preferred stocks, as of December 31, 2010 and 2009 are as follows:

			Gross		Gross			Estimated
	Amortized		Unrealized		Unrealized			Fair
(in thousands of dollars)	Cost		Gains		Losses			Value
2010
Fixed maturities
U.S. government	$	50,193	$	1,051	$	(17	)	$	51,227
Other governments		1,352		66		—			1,418
Special revenue and special assessment obligations and all non-guaranteed obligations of agencies and authorities of governments and their political subdivisions		31,611		1,250		(423	)		32,438
Industrial and miscellaneous (unaffiliated)		353,606		25,935		(1,979	)		377,562
Total fixed maturities	$	436,762	$	28,302	$	(2,419	)	$	462,645
2009
Fixed maturities
U.S. government	$	39,738	$	932	$	(306	)	$	40,364
Other governments		750		29		—			779
Special revenue and special assessment obligations and all non-guaranteed obligations of agencies and authorities of governments and their political subdivisions		34,894		822		(548	)		35,168
Industrial and miscellaneous (unaffiliated)		345,477		15,389		(7,944	)		352,922
Total fixed maturities	$	420,859	$	17,172	$	(8,798	)	$	429,233

Unrealized Losses on Fixed Maturities

The Company has a security monitoring process overseen by a committee of investment and accounting professionals that, on a monthly basis, identifies securities in an unrealized loss position that could potentially be other-than-temporarily impaired. The Company believes that the prices of the securities in the sector identified in the tables below were temporarily depressed as of December 31, 2010 and 2009 due to the issuers’ continued satisfaction of the securities obligations in accordance with their contractual terms and the expectation that they will continue to do so, and management’s intent and ability to hold these securities for a period of time sufficient to allow for a recovery of fair value.

20

Zurich American Life Insurance Company
Notes to Statutory Financial Statements
December 31, 2010 and 2009

Fair value and gross unrealized losses of fixed maturities as of December 31, 2010 and 2009 were as follows:

	Unrealized Losses					Unrealized Losses
	Less Than 12 Months					Greater Than 12 Months
	Estimated		Unrealized			Estimated		Unrealized
(in thousands of dollars)	Fair Value		Losses			Fair Value		Losses
2010
Fixed maturities
U.S. government	$	9,977	$	(17	)	$	—	$	—
Special revenue and special assessment obligations and all non-guaranteed obligations of agencies and authorities of governments and their political subdivisions		7,052		(423	)		—		—
Industrial and miscellaneous (unaffiliated)		32,340		(713	)		11,322		(1,266	)
Total fixed maturities	$	49,369	$	(1,153	)	$	11,322	$	(1,266	)
2009
Fixed maturities
U.S. government	$	19,211	$	(306	)	$	—	$	—
Special revenue and special assessment obligations and all non-guaranteed obligations of agencies and authorities of governments and their political subdivisions		17,883		(548	)		—		—
Industrial and miscellaneous (unaffiliated)		29,727		(1,339	)		43,874		(6,605	)
Total fixed maturities	$	66,821	$	(2,193	)	$	43,874	$	(6,605	)

As of December 31, 2010, fixed maturities represented 100% of the Company’s total unrealized loss amount, which was comprised of 46 securities. As of December 31, 2010, there was one security with a fair value less than 80% of the security’s amortized cost for greater than 12 continuous months.

Fixed maturities in an unrealized loss position for less than 12 months were comprised of 39 securities, of which 84%, or fair value $41,511,000, were comprised of securities with fair value to amortized cost ratios at or greater than 95%. The majority of these securities are investment grade fixed maturities depressed due to changes in interest rates from the date of purchase.

Fixed maturities in an unrealized loss position for greater than 12 months as of December 31, 2010, were comprised of 7 securities with a total fair value of $11,322,000. The unrealized loss of $1,266,000 relates to industrial and miscellaneous securities. The decline in fair value for these securities is primarily attributable to changes in interest rates. A variety of data is reviewed, including the aging and severity of unrealized losses, watch lists distributed by the asset managers, deviations in market prices between months, and results of tests indicating if any fixed maturity securities with unrealized losses have a credit rating below investment grade for 12 consecutive months. Bonds, except mortgage-backed securities, classified as non-investment grade (NAIC designation 3 or below) and for which it is determined that the collection of all contractual cash flows are not probable, are written down to fair value and a loss is recognized. Mortgage-backed securities with evidence of deterioration of credit quality for which it is probable that the Company will be unable to collect all contractually required payments receivable, are written down to the present value of expected cash flows to be received.

21

Zurich American Life Insurance Company
Notes to Statutory Financial Statements
December 31, 2010 and 2009

Accordingly, it is expected that the securities would not be settled at a price less than the amortized cost of the Company’s investment. Because the decline in fair value is attributable to changes in interest rates and not credit quality and because the Company has the ability and intent to hold these investments until a recovery of fair value, which may be at maturity, the Company does not consider these investments to be other-than-temporarily impaired at December 31, 2010.

Concentrations of Credit Risk

The Company is not exposed to any significant concentration of credit risk of a single or group non-governmental issuer. Concentration of credit risk could exist when changes in economic, industry or geographic factors similarly affect groups of counter-parties whose aggregate credit exposure is material in relation to the Company’s total exposure.

Loan-backed Securities

Prepayment assumptions for loan-backed securities were obtained from broker dealer survey values. These assumptions are consistent with the current interest rate and economic environment.

In accordance with SSAP No. 43R, effective July 1, 2009, loan-backed securities with fair value less than amortized cost and the Company (i) has the intent to sell the security, or (ii) inability or lack of intent to retain the security for a period of time sufficient to recover the amortized cost basis, the security is written down to fair value with the associated realized loss reported in net income. Loan-backed securities impaired due to intent to sell or inability or lack of intent to retain the security for a period of time sufficient to recover the amortized cost basis are summarized in the following table:

			Other-than-Temporary- Impairment Recognized in Loss
			Amortized Cost
			Basis Before
			Other-than-
			Temporary-
(in thousands of dollars)			Impairment		Interest			Non-interest		Fair Value
OTTI Recognized
a	)	Intent to sell	$	1,965	$	(1,057	)	$	—	$	908
b	)	Inability or lack of intent to retain the investment in the security for a period of time sufficient to recover the amortized cost basis		—		—			—		—
c	)	Total	$	1,965	$	(1,057	)	$	—	$	908

Loan-backed securities with evidence of deterioration of credit quality for which it is probable that the Company will be unable to collect all contractually required payments receivable, are written down to the present value of expected cash flows to be received. Loan-backed securities impaired to their present value of projected cash flows that are still held as of December 31, 2010 consisted of the following:

22

Zurich American Life Insurance Company
Notes to Statutory Financial Statements
December 31, 2010 and 2009

								Amortized				Date of
			Present		Recognized			Cost After				Financial
	Amortized Cost		Value of		Other-Than-			Other-Than-		Fair Value		Statement
(in thousands of dollars)	Before Current		Projected		Temporary-			Temporary-		at Time of		Where
Cusip	Period OTTI		Cash Flows		Impairment			Impairment		OTTI		Reported
46630JAQ2	$	1,962	$	1,419	$	(543	)	$	1,419	$	489		12/31/2009
46630JAQ2		1,419		303		(1,116	)		303		549		6/30/2010
	$	3,381	$	1,722	$	(1,659	)	$	1,722	$	1,038

In determining the impairments for loan-backed securities, a review of default rate, credit support and other key assumptions was made on the securities. Where it was determined that less than 100% of contractual cash flows would be received, the impairment was measured by discounting the projected cash flows and comparing that discounted cash flows to the amortized cost basis of the securities in accordance to SSAP 43R.

The roll-forward of the amount related to credit losses recognized in earnings were as follows:

2010
(In thousands of dollars)
Beginning balance of credit losses on debt securities	$	(1,070	)
Additions not previously recognized		(1,223	)
Reduction for securities sold during the period		1,691
Impairment on intent to sell securities		(1,057	)
Additional OTTI on previously impaired securities		—
Reductions for increases in cash flows expected to be collected		—
Ending balance for securities owned as of December 31, 2010	$	(1,659	)

Maturities of Bonds

The amortized cost and estimated fair value of bonds, by contractual maturity, at December 31, 2010 are shown below. Expected maturities may differ from contractual maturities because borrowers may have the right to call or prepay obligations with or without call or prepayment penalties and because mortgage-backed and asset-backed securities provide for periodic payments throughout their life.

			Estimated
	Amortized		Fair
(in thousands of dollars)	Cost		Value
2010
Due in 1 year or less	$	16,612	$	16,798
Due after 1 year through 5 years		158,295		165,204
Due after 5 years through 10 years		64,611		70,825
Due after 10 years		49,218		53,287
		288,736		306,114
Mortgage-backed securities		148,027		156,531
	$	436,763	$	462,645

23

Zurich American Life Insurance Company
Notes to Statutory Financial Statements
December 31, 2010 and 2009

Proceeds from sales of bonds and gross realized gains (losses) on such sales and impairments for the years ended December 31, 2010, 2009, and 2008 are as follows:

	Gross		Gross
(in thousands of dollars)	Gains		Losses			Proceeds
2010 Bonds	$	2,911	$	(2,938	)	$	106,356
2009 Bonds	$	1,351	$	(5,757	)	$	79,577
2008 Bonds	$	87	$	(4,875	)	$	44,707

Bonds with an amortized cost of approximately $3,466,000 and $3,314,000 were on deposit with regulatory authorities at December 31, 2010 and 2009, respectively, to satisfy regulatory requirements. The fair value of these securities was approximately $3,696,000 and $3,595,000 as of December 31, 2010 and 2009, respectively.

5. Fair Value of Financial Instruments

The Company’s financial assets and liabilities carried at fair value have been classified, for disclosure purposes, based on a hierarchy defined by SSAP 100. The hierarchy gives the highest ranking to fair values determined using unadjusted quoted prices in active markets for identical assets and liabilities (Level 1) and the lowest ranking to fair values determined using methodologies and models with unobservable inputs (Level 3). An asset’s or liability’s classification is based on the lowest level input that is significant to its measurement. For example, a Level 3 fair value measurement may include inputs that are both observable (Levels 1 and 2) and unobservable (Level 3). The levels of the fair value hierarchy are as follows:

• 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 highly liquid U.S. Treasury securities, money market funds, certain mortgage backed securities, and exchange traded equity and derivative securities.

• Level 2: Quoted prices in markets that are not active or significant inputs that are observable either directly or indirectly. Level 2 inputs include the following:

a)	Quoted prices for similar assets or liabilities in active markets
b)	Quoted prices for identical or similar assets or liabilities in non-active markets
c)	Inputs other than quoted market prices that are observable
d)	Inputs that are derived principally from or corroborated by observable market data through correlation or other means

• Level 3: Prices or valuation techniques that require inputs that are both unobservable and significant to the overall fair value measurement. These measurements include circumstances in which there is little, if any, market activity for the asset or liability and reflect management’s own judgments about the assumptions a market participant would use in pricing the asset or liability.

24

Zurich American Life Insurance Company
Notes to Statutory Financial Statements
December 31, 2010 and 2009

At the end of each reporting period, the Company evaluates whether or not an event has occurred that would transfer any of these securities between Level 1 and Level 2. This policy also applies to transfers in and out of Level 3.

Assets Measured at Fair Value

The following table provides information as of December 31, 2010 about the Company’s financial assets measured at fair value:

	Quoted
	Prices
	Active
	Markets for		Significant		Significant
	Identical		Observable		Unobservable
(in thousands of dollars)	Assets		Inputs Level		Inputs Level
Asset	Level 1		Level 2		Level 3		Total
Separate account assets	$	3,022,375	$	5,135,486	$	4,433,138	$	12,590,999
Total	$	3,022,375	$	5,135,486	$	4,433,138	$	12,590,999

The Separate Account determines the fair values of certain financial assets based on quoted market prices. All of the open-ended mutual funds are included in Level 1. The open-ended mutual funds are valued at the net asset values of the respective portfolios as of December 31, 2010. There are no restrictions on purchases or sales of these open-ended mutual funds. Some of the privately managed funds assets are categorized in Level 2 or 3 based on the criteria defined above. The bonds are classified into Level 1, 2 or 3, based on the availability of quoted prices or valuation techniques utilized. The short-term investments are included in Level 1. The investment income due and accrued amount is allocated to the same level as the associated security for which it is due. The stable value asset is categorized as Level 2.

25

Zurich American Life Insurance Company
Notes to Statutory Financial Statements
December 31, 2010 and 2009

Changes in Level 3 Assets Measured at Fair Value

The following table summarizes the changes in assets classified as Level 3 for the years ended December 31, 2010. Gains and losses reported in this table may include changes in fair value that are attributable to both observable and unobservable inputs:

			Total Gains/		Purchases/
	Beginning		(Losses)		Issuance and Sales/			Transfer into/			Ending
(in thousands of dollars)	Fair Value		included in Net Income		Settlements, net			(out) of Level 3			Fair Value
Separate account assets	$	4,447,082	$	152,009	$	(165,856	)	$	(97	) (1)	$	4,433,138

(1) Net transfers into Level 3 are primarily due to a change in the information available to the Company when pricing the underlying securities, changing the significant inputs used in the valuation of the underlying securities to unobservable inputs, and consequently to a Level 3 classification.

     Methods and Assumptions to Estimate Fair Value of Financial Instruments

The following methods and assumptions were used to estimate the fair value of financial instruments as of December 31, 2010 and 2009:

Bonds

The estimated fair values of bonds is valued in accordance with the NAIC’s Purposes and Procedures Manual of the Securities Valuation Office (“SVO”). In those instances where fair value is not available from the SVO then fair value is based upon quoted market prices, dealer quotes, and prices obtained from independent pricing services, generally broker dealers. Unless representative trades of securities actually occurred at year end, these quotes are generally estimates of fair value based on an evaluation of appropriate factors such as trading in similar securities, yields, credit quality, coupon rate, maturity, type of issues and other market data.

Contract Loans

The carrying amounts of these items approximate fair market values because interest rates are generally variable and based on current market rates.

Cash, Cash Equivalents and Short-term Investments

The carrying amounts of these items approximate fair value.

26

Zurich American Life Insurance Company
Notes to Statutory Financial Statements
December 31, 2010 and 2009

The carrying value and estimated fair value of the Company’s financial instruments as of December 31, 2010 and 2009 were as follows:

	2010				2009
	Carrying		Estimated		Carrying		Estimated
(in thousands of dollars)	Value		Fair Value		Value		Fair Value
Financial instruments recorded as assets
Bonds	$	436,763	$	462,645	$	420,860	$	429,234
Contract loans		65,909		65,909		54,404		54,404
Cash, cash equivalents and short-term investments		20,195		20,195		29,157		29,157
Other invested assets		—		—		17		17
Securities lending collateral		—		—		27,696		27,696
Separate account assets		12,590,999		12,590,999		12,703,614		12,703,614

27

Zurich American Life Insurance Company
Notes to Statutory Financial Statements
December 31, 2010 and 2009

6.	Income Taxes
	Components of Deferred Tax Assets (“DTAs”) and Deferred Tax Liabilities (“DTLs”):

	2010
(in thousands of dollars)	Ordinary		Capital		Total
Gross deferred tax assets	$	36,978	$	1,467	$	38,445
Statutory valuation allowance adjustment		—		—		—
Adjusted gross deferred tax assets		36,978		1,467		38,445
Deferred tax liabilities		472		—		472
Net deferred tax assets	$	36,506	$	1,467	$	37,973
Deferred tax assets nonadmitted		24,647		1,467		26,114
Net admitted adjusted deferred tax assets	$	11,859	$	—	$	11,859

	2009
	Ordinary		Capital		Total
Gross deferred tax assets	$	42,985	$	2,250	$	45,235
Statutory valuation allowance adjustment		—		—		—
Adjusted gross deferred tax assets		42,985		2,250		45,235
Deferred tax liabilities		335		—		335
Net deferred tax assets	$	42,650	$	2,250	$	44,900
Deferred tax assets nonadmitted		26,901		2,250		29,151
Net admitted adjusted deferred tax assets	$	15,749	$	—	$	15,748

	Change
	Ordinary			Capital			Total
Gross deferred tax assets	$	(6,006	)	$	(783	)	$	(6,789	)
Statutory valuation allowance adjustment		—			—			—
Adjusted gross deferred tax assets		(6,006	)		(783	)		(6,789	)
Deferred tax liabilities		137			—			137
Net deferred tax assets	$	(6,143	)	$	(783	)	$	(6,926	)
Deferred tax assets nonadmitted		(2,255	)		(783	)		(3,038	)
Net admitted adjusted deferred tax assets	$	(3,888	)	$	—		$	(3,888	)

The Company has elected to admit DTAs pursuant to paragraph 10.e. for all years presented.

28

Zurich American Life Insurance Company
Notes to Statutory Financial Statements
December 31, 2010 and 2009

The Company recorded an increase in admitted DTAs as the result of its election to employ the provisions of paragraph 10.e. as follows:

	2010
(in thousands of dollars)	Ordinary		Capital		Total
Deferred tax assets admitted through potential carryback (10.e.i)	$	—	$	—	$	—
Deferred tax assets admitted through future realization (10.e.ii)		6,649		—		6,649
Deferred tax assets admitted through offset of deferred tax liability (10.e.iii)		—		—		—

	2009
	Ordinary		Capital		Total
Deferred tax assets admitted through potential carryback (10.e.i)	$	—	$	—	$	—
Deferred tax assets admitted through future realization (10.e.ii)		8,380		—		8,380
Deferred tax assets admitted through offset of deferred tax liability (10.e.iii)		—		—		—

	Change
	Ordinary			Capital		Total
Deferred tax assets admitted through potential carryback (10.e.i)	$	—		$	—	$	—
Deferred tax assets admitted through future realization (10.e.ii)		(1,731	)		—		(1,731	)
Deferred tax assets admitted through offset of deferred tax liability (10.e.iii)		—			—		—

29

Zurich American Life Insurance Company
Notes to Statutory Financial Statements
December 31, 2010 and 2009

The SSAP No. 10R Admission calculation components are as follows:

	2010
(in thousands of dollars)	Ordinary		Capital		Total
SSAP No. 10R, Paragraph 10.a.	$	—	$	—	$	—
SSAP No. 10R, Paragraph 10.b. (the lesser of 10.b.i and 10.b.ii below)		5,211		—		5,211
SSAP No. 10R, Paragraph 10.b.i.		5,211		—		5,211
SSAP No. 10R, Paragraph 10.b.ii		—		—		17,673
SSAP No. 10R, Paragraph 10.c.		472		—		472
Total (paragraph 10.a. + 10.b. + 10.c.)	$	5,683	$	—	$	5,683
SSAP No. 10R, Paragraph 10.e.i.	$	—	$	—	$	—
SSAP No. 10R, Paragraph10.e.ii. (the lesser of 10.e.ii.a. and 10.e.ii.b. below)		11,860		—		11,860
SSAP No. 10R, Paragraph10.e.ii.a.		11,860		—		11,860
SSAP No. 10R, Paragraph10.e.ii.b.		—		—		26,510
SSAP No. 10R, Paragraph10.e.iii.		472		—		472
Total (10.e.i. + 10.e.ii. + 10.e.iii.)	$	12,332	$	—	$	12,332
Used in SSAP No. 10R, Paragraph 10.d.:
Total Adjusted Capital						178,259
Authorized Control Level						836	%

	2009
	Ordinary		Capital		Total
SSAP No. 10R, Paragraph 10.a.	$	—	$	—	$	—
SSAP No. 10R, Paragraph 10.b. (the lesser of 10.b.i and 10.b.ii below)		7,369		—		7,369
SSAP No. 10R, Paragraph 10.b.i.		7,369		—		7,369
SSAP No. 10R, Paragraph 10.b.ii		—		—		15,734
SSAP No. 10R, Paragraph 10.c.		335		—		335
Total (paragraph 10.a. + 10.b. + 10.c.)	$	7,704	$	—	$	7,704
SSAP No. 10R, Paragraph 10.e.i.	$	—	$	—	$	—
SSAP No. 10R, Paragraph10.e.ii. (the lesser of 10.e.ii.a. and 10.e.ii.b. below)		15,749		—		15,749
SSAP No. 10R, Paragraph10.e.ii.a.		15,749		—		15,749
SSAP No. 10R, Paragraph10.e.ii.b.		—		—		23,600
SSAP No. 10R, Paragraph10.e.iii.		335		—		335
Total (10.e.i. + 10.e.ii. + 10.e.iii.)	$	16,084	$	—	$	16,083
Used in SSAP No. 10R, Paragraph 10.d.:
Total Adjusted Capital						179,130
Authorized Control Level						853	%

	Change
	Ordinary			Capital		Total
SSAP No. 10R, Paragraph 10.a.	$	—		$	—	$	—
SSAP No. 10R, Paragraph 10.b. (the lesser of 10.b.i and 10.b.ii below)		(2,158	)		—		(2,158	)
SSAP No. 10R, Paragraph 10.b.i.		(2,158	)		—		(2,158	)
SSAP No. 10R, Paragraph 10.b.ii		—			—		1,939
SSAP No. 10R, Paragraph 10.c.		137			—		137
Total (paragraph 10.a. + 10.b. + 10.c.)	$	(2,021	)	$	—	$	(2,020	)
SSAP No. 10R, Paragraph 10.e.i.	$	—		$	—	$	—
SSAP No. 10R, Paragraph10.e.ii. (the lesser of 10.e.ii.a. and 10.e.ii.b. below)		(3,889	)		—		(3,889	)
SSAP No. 10R, Paragraph10.e.ii.a.		(3,889	)		—		(3,889	)
SSAP No. 10R, Paragraph10.e.ii.b.		—			—		2,909
SSAP No. 10R, Paragraph10.e.iii.		137			—		137
Total (10.e.i. + 10.e.ii. + 10.e.iii.)	$	(3,752	)	$	—	$	(3,752	)
Used in SSAP No. 10R, Paragraph 10.d.:
Total Adjusted Capital							(871	)
Authorized Control Level							-17	%

30

Zurich American Life Insurance Company
Notes to Statutory Financial Statements
December 31, 2010 and 2009

The following table provides information about the admitted DTA, admitted assets, statutory surplus and total capital in the risk based calculation resulting from the calculation in paragraph 10a, 10b, 10c of SSAP No. 10R, and the increased amount of DTAs, admitted assets and surplus as a result of the application of paragraph 10.e. of SSAP No. 10R.

	2010
(in thousands of dollars)	Ordinary		Capital		Total
SSAP No. 10R, Paragraphs 10.a., 10.b., and 10.c.:
Admitted Deferred Tax Assets	$	5,683	$	—	$	5,683
Admitted Assets		—		—		13,201,497
Adjusted Statutory Capital and Surplus*		—		—		176,731
Total Adjusted Capital from DTAs		—		—		178,259
Increases due to SSAP No. 10R, Paragraph 10.e.
Admitted Deferred Tax Assets	$	6,649	$	—	$	6,649
Admitted Assets		6,649		—		6,649
Statutory Surplus		6,649		—		6,649

	2009
	Ordinary		Capital		Total
SSAP No. 10R, Paragraphs 10.a., 10.b., and 10.c.:
Admitted Deferred Tax Assets	$	7,704	$	—	$	7,704
Admitted Assets		—		—		13,316,534
Adjusted Statutory Capital and Surplus*		—		—		157,337
Total Adjusted Capital from DTAs		—		—		179,130
Increases due to SSAP No. 10R, Paragraph 10.e.
Admitted Deferred Tax Assets	$	8,380	$	—	$	8,380
Admitted Assets		8,380		—		8,380
Statutory Surplus		8,380		—		8,380

	Change
	Ordinary			Capital		Total
SSAP No. 10R, Paragraphs 10.a., 10.b., and 10.c.:
Admitted Deferred Tax Assets	$	(2,020	)	$	—	$	(2,020	)
Admitted Assets		—			—		(115,036	)
Adjusted Statutory Capital and Surplus*		—			—		19,394
Total Adjusted Capital from DTAs		—			—		(871	)
Increases due to SSAP No. 10R, Paragraph 10.e.
Admitted Deferred Tax Assets	$	(1,731	)	$	—	$	(1,731	)
Admitted Assets		(1,731	)		—		(1,731	)
Statutory Surplus		(1,731	)		—		(1,731	)

* As reported on the statutory balance sheet for the most recently filed statement with the domiciliary state commissioner adjusted in accordance with SSAP No. 10R, Paragraph 10.b.ii

31

Zurich American Life Insurance Company
Notes to Statutory Financial Statements
December 31, 2010 and 2009

The impact of Tax Planning Strategies includes:

	2010
	Ordinary			Capital			Total
Adjusted Gross DTAs
(% of Total Adjusted Gross DTAs)		0.0	%		3.8	%		3.8	%
Net Admitted Adjusted Gross DTAs
(% of Total Net Admitted Adjusted Gross DTAs)		0.0	%		0.0	%		0.0	%

The Company is currently recognizing all deferred tax liabilities.

Current income taxes incurred consist of the following major components:

(in thousands of dollars)

Description	2010			2009			2008
Current income tax expense ( benefit ) — operations	$	(12,477	)	$	(6,684	)	$	(22,614	)
Current income tax expense ( benefit ) — capital gains		(1,227	)		(998	)		(560	)
Federal income taxes incurred	$	(13,704	)	$	(7,682	)	$	(23,174	)

32

Zurich American Life Insurance Company
Notes to Statutory Financial Statements
December 31, 2010 and 2009

The tax effects of temporary differences that give rise to significant portions of the deferred tax assets and liabilities are as follows:

(in thousands of dollars)	2010		2009		Change
Deferred Tax Assets:
Ordinary:
Life insurance reserves	$	12,246	$	12,876	$	(630	)
Deferred acquisition costs		20,997		26,287		(5,290	)
Nonadmitted assets		454		292		162
Compensation and benefits accrual		390		581		(191	)
Tax credit carryforward		2,834		2,834		0
Other		57		116		(59	)
Subtotal		36,978		42,986		(6,008	)
Statutory Valuation Allowance Adjustment		—		—		—
Nonadmitted Deferred Tax Assets		24,647		26,901		(2,255	)
Admitted Ordinary Deferred Tax Assets	$	12,331	$	16,085	$	(3,753	)
Capital:
Unrealized losses	$	—	$	—	$	—
Bond write-downs		1,207		1,933		(726	)
Partnerships		260		318		(57	)
Subtotal		1,467		2,251		(783	)
Statutory Valuation Allowance Adjustment		—		—		—
Nonadmitted Deferred Tax Assets		1,467		2,251		(783	)
Admitted Capital Deferred Tax Assets	$	—	$	—	$	—
Admitted Deferred Tax Assets	$	12,331	$	16,085	$	(3,753	)

(in thousands of dollars)	2010		2009		Change
Deferred Tax Liabilities:
Ordinary:
Market discount on bonds	$	471	$	335	$	136
Depreciation/amortization		1		—		1
Other		—		—		—
Total Deferred Tax Liabilities	$	472	$	335	$	137
Capital:
Investments	$	—	$	—	$	—
Other		—		—		—
Total Capital Deferred Tax Liabilities	$	—	$	—	$	—
Total Deferred Tax Liabilities	$	472	$	335	$	137
Net Admitted Deferred Tax Assets/Liabilities	$	11,859	$	15,750	$	(3,891	)

33

Zurich American Life Insurance Company
Notes to Statutory Financial Statements
December 31, 2010 and 2009

The change in net deferred income taxes is composed of the following:

(in thousands of dollars)	2010		2009		Change
Total deferred tax assets	$	38,445	$	45,236	$	(6,791	)
Total deferred tax liabilities		472		335		137
Net deferred tax asset	$	37,973	$	44,901		(6,928	)
Tax effect of unrealized (gains) losses						—
Change in net deferred income tax (charge)/benefit					$	(6,928	)

Reconciliation of Federal Income Tax Rate to Actual Effective Rate

The provision for federal income taxes incurred is different from that which would be obtained by applying the statutory federal income tax rate at 35% to income before income taxes. The significant items causing this difference are as follows:

(in thousands of dollars)	2010			2009			2008
Provision computed at statutory rate	$	(2,944	)	$	3,099		$	(13,499	)
Amortization of interest maintenance reserve		45			16			(80	)
Separate accounts dividend received deduction		(1,870	)		(1,747	)		(1,061	)
Ceding commission included in surplus		(1,058	)		(1,290	)		(1,888	)
Nonadmitted assets		(163	)		591			1,060
Other		(786	)		(548	)		3,206
Total	$	(6,776	)	$	121		$	(12,262	)
Federal income tax incurred	$	(12,477	)	$	(6,684	)	$	(22,614	)
Tax on capital gains/(losses)		(1,227	)		(998	)	$	(560	)
Less: Change in net deferred income tax		6,928			7,803			10,912
Total statutory income taxes	$	(6,776	)	$	121		$	(12,262	)

As of December 31, 2010 the Company did not have any operating loss carryforwards.

The following are income taxes incurred in the current and prior years that will be available for recoupment in the event of future net losses:

	Amount
2010	$	—
2009	$	—
2008	$	—
Deposits admitted under IRC §6603	None

34

Zurich American Life Insurance Company
Notes to Statutory Financial Statements
December 31, 2010 and 2009

The Company’s federal income tax return is consolidated with the following entities, with Zurich Holding Company of America, Inc. as the parent:

American Guarantee and Liability Insurance Company	Universal Underwriters of Texas Insurance Company
American Zurich Insurance Company	Universal Underwriters Service Corporation
Assurance Company of America	UUBVI, Limited
Colonial American Casualty & Surety Company	Vehicle Dealer Solutions, Inc.
Diversified Specialty Risk, Inc.	Zurich Agency Services, Inc.
Empire Fire and Marine Insurance Company	Zurich Alternative Asset Management, LLC
Empire Indemnity Insurance Company	Zurich American Insurance Company
Fidelity & Deposit Company of Maryland	Zurich American Insurance Company of Illinois
Maryland Casualty Company	Zurich American Corporation
Maryland Insurance Company	Zurich American Life Insurance Company of New York
Maunalua Associates, Inc.	Zurich CZI Management Holding, Ltd.
Northern Insurance Company of New York	Zurich E & S Insurance Brokerage, Inc.
South County Services Company Inc.	Zurich Finance (USA), Inc.
Steadfast Insurance Company	Zurich Global, Ltd.
The Zurich Services Corporation	Zurich Global Investment Management Inc.
Universal Underwriters Acceptance Corporation	Zurich Holding Company of America, Inc.
Universal Underwriters Insurance Company	Zurich Latin America Corporation
Universal Underwriters Insurance Services, Inc.	Zurich Realty, Inc.
Universal Underwriters Life Insurance Company	Zurich Warranty Solutions, Inc.

A written agreement sets out the method of allocating tax between the companies. In general, the allocation is based upon a separate return calculation with an immediate benefit for a taxable loss. Intercompany tax balances are settled within thirty days after the filing of the consolidated federal income tax return, the payment of an estimated payment, an additional assessment of the consolidated tax liability, a refund of the consolidated tax liability or any other reduction to the member’s apportioned tax liability in accordance with the tax sharing agreement.

The Company’s significant tax jurisdiction is U.S. Federal tax. The statutes of limitations for all tax returns through the year ended December 31, 2004 are closed. The examination of the consolidated group’s tax return for the tax years 2003 through 2004 was settled with the Appeals Division of Internal Revenue Service (“IRS”). Tax refunds related to the 2003/2004 Appeals settlement were approved by Joint Committee on Taxation and received in Q2 2010. The examination of the consolidated group’s tax returns for tax years 2005 and 2006 is currently before IRS Appeals. The 2005 and 2006 Separate account dividend received deduction disallowance attributable to the Company was fully conceded by the IRS in 2010. In October 2009, the IRS commenced its examination of tax years 2007 and 2008, which is scheduled to be completed by the end of June 2011. The Company believes the ultimate liability for the matters referred to above is not likely to have a material adverse affect on the Company’s financial position; however, it is possible the effect could be material to the Company’s results of operations for an individual future reporting period.

During the first quarter of 2011, ZHCA reached a settlement in principle with the Appeals Division of IRS with respect to tax years 2005 to 2006 and is in the process of determining additional taxes due for those years. The IRS completed its examination for the tax years 2007 and 2008, and on March 22, 2011 issued a Revenue Agent’s Report (“RAR”). ZHCA will protest certain disputed amounts by required due date and will seek resolution of the disputed tax matters through the Appeals Division of the IRS.

The Company did not accrue any interest and penalties related to income tax contingencies.

35

Zurich American Life Insurance Company
Notes to Statutory Financial Statements
December 31, 2010 and 2009

7.	Information Concerning Parent, Subsidiaries and Affiliates
	The Company held no investments in parents, affiliates or subsidiaries as of the years ended December 31, 2010 and 2009. The Company has related party services agreements and reinsurance agreements.
	At December 31, 2010 and 2009, the Company reported the following amounts due from or to related parties:

(in thousands of dollars)	2010			2009
Zurich Insurance Company	$	—		$	31
Receivable from related party	$	—		$	31
Zurich Insurance Company — Bermuda Branch	$	(16,064	)	$	(15,068	)
Farmers New World Life Insurance Company		(247	)		(669	)
Universal Underwriters Life Insurance Company		(280	)		—
Zurich American Insurance Company		(472	)		(456	)
Centre Group Holdings (US) Limited		(989	)		(375	)
ZFUS Services LLC		(1,818	)		—
Payable to related party	$	(19,870	)	$	(16,568	)
Net payable to related party	$	(19,870	)	$	(16,537	)

For the years 2010, 2009 and 2008, the Company incurred the following amounts of expense in association with services provided by related parties:

(in thousands of dollars)	2010		2009		2008
Farmers New World Life Insurance Company	$	2,523	$	1,550	$	1,273
Centre Group Holdings (US) Limited		3,374		956		1,183
ZFUS Services LLC		13,212		168		—
	$	19,109	$	2,674	$	2,456

Services provided by affiliated companies include, but are not limited to, management, administrative and general services, data processing, financial services, investment services, investment advisory, investment accounting and financial reporting. Related party receivables and payables are settled as provided in its agreements, generally within 45 days from date of invoice.

The Company has no guarantees or undertakings for the benefit of an affiliate that would result in a material contingent exposure.

36

Zurich American Life Insurance Company
Notes to Statutory Financial Statements
December 31, 2010 and 2009

8.  Life Reserves

Reserves for Life Contracts and Deposit-Type Contracts

The Company waives deduction of deferred fractional premiums upon death of the insured and returns the portion of the final premium paid beyond the policy month of death. The Company reserves for surrender values promised in excess of the legally computed reserves.

Extra premiums are charged for policies issued on substandard lives according to underwriting classifications. Final reserves are determined by computing the mid-terminal reserve for the plan and holding, in addition, one half of the net valuation premium for the modal period.

As of December 31, 2010 and 2009, the Company had $769,000 and $663,000, respectively, of insurance in force for which the gross premiums were less than the net premiums according to the standard of valuation set by the IDOI and related reserves of $7,000 and $6,000, respectively.

The tabular interest, tabular less actual reserve released and tabular cost have been determined by formulas in accordance with the NAIC Annual Statement Instructions.

For the determination of Tabular Interest on funds not involving life contingencies for each valuation rate of interest, the tabular interest is calculated as one hundredth of the product of such valuation rate of interest times the mean of the amount of funds subject to such valuation rate of interest held at the beginning and end of the year of valuation.

Variable Annuities with Guaranteed Living Benefits

The Company’s variable annuities with guaranteed living benefits at December 31, 2010 and 2009 are as follows:

	Guaranteed Living Benefits
	Subjected		Amount of		Reinsurance
	Account		Reserve		Reserve
(in thousands of dollars)	Value		Held-Net		Credit
Benefit and Type of Risk
December 31, 2010
Guaranteed retirement income benefit (“GRIB”) (Waiting period 7, 10 or 15 years)	$	1,605,369	$	24,632	$	1,104,045
December 31, 2009
Guaranteed retirement income benefit (“GRIB”) (Waiting period 7, 10 or 15 years)	$	1,645,737	$	26,941	$	1,159,315

Note: GRIB base is greatest of account value, greatest anniversary value or net deposits accumulated at 5%.

Effective December 31, 2009, the Company adopted the Actuarial Guideline XLIII reserve basis. This change in reserve methodology was included in the Company’s Life and annuity reserves as shown on page 3 of these financial statements with no impact to the net retained reserve. The December 31, 2010 reserves for GMDB and GRIB meet the requirements of Actuarial Guideline XLIII. The Company also calculates the GMDB and GRIB reserves using the Actuarial Guideline XXXIII/Actuarial Guideline XXXIV reserve basis, and holds the higher of the two reserves basis in Exhibit 5 of the Annual Statement.

37

Zurich American Life Insurance Company
Notes to Statutory Financial Statements
December 31, 2010 and 2009

     Analysis of Annuity Actuarial Reserves and Deposit Liabilities by Withdrawal Characteristics

Annuity actuarial reserves and deposit-type contract funds and other liabilities without life or disability contingencies by withdrawal characteristics as of December 31, 2010 and 2009 were as follows:

	2010						2009
				Percentage						Percentage
(in thousands of dollars)	Amount			of Total			Amount			of Total
Subject to discretionary withdrawal
With fair value adjustment	$	157,820			2.51	%	$	184,874			2.85	%
At book value less current surrender charge of 5% or more		10,793			0.17	%		20,583			0.32	%
At fair value		2,730,578			43.46	%		2,770,798			42.77	%
Total with adjustment or at market value	$	2,899,191			46.14	%	$	2,976,255			45.94	%
At book value without adjustment (minimal or no charge or adjustment)		1,704,659			27.13	%		1,736,115			26.80	%
Not subject to discretionary withdrawal		1,678,959			26.73	%		1,766,328			27.26	%
Total	$	6,282,809			100.00	%	$	6,478,698			100.00	%
Reinsurance ceded		(3,213,807	)					(3,377,588	)
Net total	$	3,069,002					$	3,101,110

Reconciliation of total annuity actuarial reserves and deposit fund liabilities as of December 31, 2010 and 2009 were as follows:

(in thousands of dollars)	2010		2009
Life and accident and health annual statement
Annuities (excluding supplementary contracts)	$	148,688	$	149,584
Supplementary contracts with life contingencies		162,362		150,734
Liability for deposit-type contracts		3,126		4,047
Total annuity and deposit-type contracts		314,176		304,365
Separate accounts annual statement
Annuities (excluding supplementary contracts)		2,747,935		2,788,876
Supplementary contracts including life contingencies		3,688		3,788
Liability for deposit-type contracts		3,203		4,081
Total separate accounts		2,754,826		2,796,745
Total annuity actuarial reserves and deposit-type contract liabilities	$	3,069,002	$	3,101,110

38

Zurich American Life Insurance Company
Notes to Statutory Financial Statements
December 31, 2010 and 2009

9.	Reinsurance
	The Company has assumed and ceded business using yearly renewable term contracts and coinsurance contracts. The Company remains primarily responsible to its policyholders for all future claims and policyholder benefits related to the blocks of business ceded and is not relieved of its obligations to the extent any reinsurer does not meet its obligation to the Company.
	Failure of the reinsurers to honor their obligations could result in losses to the Company; consequently, estimates are established for amounts deemed or estimated to be uncollectible. To minimize its exposure to significant losses from reinsurance insolvencies, the Company utilizes several reinsurers to minimize concentration of credit risk, and evaluates the financial condition of its reinsurers and concentration of credit risk of its reinsurers. Several reinsurance contracts require the reinsurer to maintain assets in a security trust whose market value matches or exceeds the book value of the reinsured liability.
	PLICO
	The initial ceding commission on the coinsurance agreement with PLICO was $120 million. This initial ceding commission was not transferred to the Company from PLICO, but rather was withheld from the investment assets transferred from the Company to PLICO as part of the transferred coinsurance assets. This initial ceding commission, net of tax, and the IMR related to the transferred coinsurance assets reflected in surplus are being amortized into operations. Amortization of the initial ceding commission was approximately $1.3 million, $1.6 million and $2.3 million for the years ended December 31, 2010, 2009 and 2008, respectively. Amortization of the IMR related to the transferred coinsurance assets was approximately $1.7 million, $2.1 million and $3.0 million for the years ended December 31, 2010, 2009 and 2008, respectively.
	As part of the coinsurance agreement with PLICO (Note 1), most reinsurance agreements with outside reinsurers were novated to PLICO as part of the Purchase Agreement. As of December 31, 2010 and 2009, the Company’s separate account assets subject to the coinsurance agreement with PLICO were approximately $1.3 billion and $1.2 billion, respectively.
	FNWL
	The Company entered into a modified coinsurance agreement on December 1, 2003 with an affiliate, FNWL. FNWL is a Washington domiciled stock life insurance company. Initially, the Company assumed all existing non-qualified individual flexible payment fixed deferred (“NQ-FPDA”) and non-qualified individual single premium fixed deferred (“NQ-SPDA”) annuities from FNWL. In exchange, the Company paid an initial ceding commission of $36.5 million. No portion of the assets constituting the consideration was transferred to the Company. These assets consist principally of a portfolio of fixed income financial instruments. The values of these assets may fluctuate with changes in interest rates and other market conditions, and these fluctuations may be significant. The Company is at risk for such fluctuations. The reserve balances under this modified coinsurance agreement were approximately $665.7 million and $661.4 million as of December 31, 2010 and 2009, respectively. Subsequent new issues by FNWL of NQ-FPDA and NQ-SPDA annuities are assumed by the Company. In exchange, the Company receives all premiums and pays benefits to the policyholders relating to these contracts. The Company has a management and service agreement with FNWL to receive necessary services pursuant to this agreement.

39

Zurich American Life Insurance Company
Notes to Statutory Financial Statements
December 31, 2010 and 2009

FLA

As of December 31, 2010 and 2009, the reinsurance reserve credit from FLA related to fixed-rate annuity liabilities ceded to FLA amounted to approximately $139.5 million and $146.8 million, respectively.

Transamerica Re

The net amount at risk of the GMDB and GRIB on certain variable annuity contracts issued between March 1, 1997 and April 30, 2000 was ceded to Transamerica Re. As of December 31, 2010 and 2009, the reinsurance reserve credit related to reinsuring the net amount at risk on these contracts amounted to approximately $176.2 million and $188.0 million, respectively.

ZIC

On November 17, 2006, the Company entered into a reinsurance agreement (the “ZIC Agreement”) with ZIC, an affiliate. The Company ceded 100% of the net amounts at risk for GMDB and GRIB related to the Company’s DESTINATIONS contracts issued from May 1, 2000 through February 28, 2003. In accordance with Section 131.20a of the Illinois Insurance Code (the “Code”), the Company submitted Form D-1, reporting a proposed reinsurance contract and requested approval of the contract and the Form D-1 filing under Section 174 of the Code. In connection with the Form D-1 filing, the IDOI approved the transaction on November 3, 2006, as submitted by the Company, which incorporated pro forma accounting treatment including reserve credits proposed under the reinsurance contract. In addition the IDOI approved the reserve credit calculation methodology and the accounting as prescribed.

The Company’s most significant policy risks prior to the ZIC Agreement were the GMDB and GRIB risks. The net amount at risk for the GMDB is defined as the current guaranteed minimum death benefit in excess of the current account balance at the balance sheet date. For GRIB, the net amount at risk is defined as the current guaranteed annuitization benefit, in excess of the current account balance at the balance sheet date. As a result of the ZIC Agreement, the Company ceded $779,632,000 of GMDB net amount at risk and $752,181,000 of GRIB net amount at risk at December 31, 2010 and $951,931,000 of GMDB net amount at risk and $922,341,000 of GRIB net amount at risk at December 31, 2009.

The ceding premium paid to ZIC in exchange for reinsurance of GMDB and GRIB net amounts at risk for contracts issued after April 30, 2000 was $1,008,700,000. In addition, the ZIC Agreement called for the Company to pay interest of 5.25% on the initial ceding premium from September 1, 2006 until the effective date of the ZIC Agreement. The interest paid, in accordance with the ZIC Agreement, was $11,090,000.

On December 22, 2008 the Company and ZIC entered into Amendment No.1 to the ZIC Agreement (“Amendment”). Under terms of the Amendment, the Company paid a premium to ZIC of $10,000,000 in consideration for changes in the operation of the ZIC Agreement, for the benefit of the Company, under forecast scenarios where a significant further decline in equity market levels was projected. Interest accrued from the effective date of the Amendment to December 23, 2008 at an annual rate of 5.25% was paid in the amount of $1,438 along with the premium on December 23, 2008.

Pursuant to the ZIC Agreement, ZIC established a security trust account for the exclusive benefit of the Company. The Bank of New York is the trustee. The trust account is funded with assets equal to at least 102% of the statutory reserve credit assumed by ZIC. At December 31, 2010 and December 31, 2009, 102% of the statutory reserve credit assumed by ZIC was $1,259,452,000 and $1,336,199,000, respectively. The associated letters of credit and trust asset balances at

40

Zurich American Life Insurance Company
Notes to Statutory Financial Statements
December 31, 2010 and 2009

December 31, 2010 and December 31, 2009, were $1,402,370,000 and $1,520,419,000, respectively.

ZIBB

The Company entered into a reinsurance treaty with ZIBB, an affiliate, in June 2002. A trust account (the “ZIBB Reinsurance Trust” or the “Trust”) was established as security for three reinsurance agreements which include the Second Amended and Restated Group Variable Life Program Yearly Renewable Term Reinsurance Agreement, the Second Amended and Restated Individual Variable Life Program Yearly Renewable Term Reinsurance Agreement and the Amended and Restated Group Variable Life Program 2000 Yearly Renewable Term Reinsurance Agreement. State Street Bank is the “Trustee”, and Fund Accountant and Custodian. At December 31, 2010 and December 31, 2009, reinsurance recoverables totaling approximately $271.5 million and approximately $305.9 million, respectively, were secured by the Trust, which was supported by cash and invested assets with a fair value of approximately $307.9 million and $339.5 million at December 31, 2010 and 2009, respectively.

As of December 31, 2010, 2009 and 2008, amounts associated with reinsurance assumed from affiliated insurance companies for life and annuity products were as follows:

(in thousands of dollars)	2010		2009		2008
Premiums assumed from affiliated insurance companies	$	43,590	$	26,937	$	26,372
Benefits assumed from affiliated insurance companies	$	62,681	$	61,715	$	80,102

As of December 31, 2010, 2009 and 2008, amounts associated with reinsurance ceded to affiliated and unaffiliated insurance companies for life and annuity products were as follows:

(in thousands of dollars)	2010		2009		2008
Reserves ceded to affiliated insurance companies	$	1,249,378	$	1,323,721	$	1,369,435
Reserves ceded to unaffiliated insurance companies		2,440,524		2,557,450		2,823,148
Total reserves ceded	$	3,689,902	$	3,881,171	$	4,192,583
Premiums ceded to affiliated insurance companies	$	199,104	$	186,753	$	179,701
Premiums ceded to unaffiliated insurance companies		86,696		93,728		101,691
Total premiums ceded	$	285,800	$	280,481	$	281,392
Benefits ceded to affiliated insurance companies	$	265,294	$	361,225	$	229,250
Benefits ceded to unaffiliated insurance companies		422,733		596,179		730,897
Total benefits ceded	$	688,027	$	957,404	$	960,147

41

Zurich American Life Insurance Company
Notes to Statutory Financial Statements
December 31, 2010 and 2009

Such amounts related to life insurance in force at December 31, 2010 and 2009 were as follows:

(in thousands of dollars)	2010		2009
Direct and assumed	$	60,135,263	$	61,457,731
Ceded to
Affiliated insurance companies	$	48,740,781	$	49,675,048
Unaffiliated insurance companies		2,006,169		2,166,212
Total ceded	$	50,746,950	$	51,841,260

10.	Capital and Surplus
	The amount of dividends that can be paid by the Company to its stockholder without prior approval of the IDOI is limited to the greater of (i) 10% of its statutory unassigned surplus or (ii) statutory net income from the preceding calendar year. A dividend paid that does not meet the above specifications is defined as an “extraordinary dividend” and requires advance approval from the IDOI. Due to the fact that statutory unassigned surplus is also negative, the Company cannot pay a regular dividend in 2011. No cash dividends were paid in 2010 or 2009.
11.	Retirement Plans and Other Postretirement Benefit Plans
	Consolidated/Holding Company Plans
	In 2004, the Company began participating in a qualified, non-contributory defined benefit pension plan, which is sponsored by an affiliated entity, Farmers Group, Inc. (“FGI”). Effective January 1, 2009 the Company transitioned to a Cash Balance Program. However, vested employees who were age 40 and over or who had 10 or more years of service as of December 31, 2008 were “grandfathered” in the previous Pension Program. This approach helps employees closer to retirement to maintain the full value of their anticipated pension benefit. Benefits under the Pension Program are based on an employee’s years of service and compensation during the last five years of employment. The FGI funding policy is to make sufficient contributions to the pension plan to fully provide for employees’ benefits at the time of retirement. Under the Cash Balance Program, FGI makes regular contributions to the employee’s account. The amount of these contributions is based on a percentage of an employee’s base pay and will vary depending on an employee’s age and length of service.
	In addition, the Company provides postretirement benefits to retired employees through a plan also sponsored by FGI.
	The Company has no legal obligation for benefits under these plans. FGI charges the affiliate, FNWL, an allocated share of such contributions based on characteristics of the population of plan participants. These charges are then included in the overhead and administrative charges paid by the Company to FNWL. The Company has no pension plan liability as of December 31, 2010 and 2009. The Company’s share of pension costs was approximately $311,000, $428,000 and $350,000 for the years ended December 31, 2010, 2009 and 2008, respectively.

42

Zurich American Life Insurance Company
Notes to Statutory Financial Statements
December 31, 2010 and 2009

	Defined Contribution Plans
	Effective January 1, 2009 the Company transitioned from a deferred profit sharing plan to a 401(k) Savings Plan which includes a dollar-for-dollar Company match up to 6% of employees’ earned base pay. All employees, including new hires, are vested in the 401(k) Savings Plan immediately. The cost to the Company for the 401(k) Savings Plan is included in the overhead and administrative charges paid by the Company to FNWL. Additionally, the Company’s contribution to the newly adopted 401K Savings Plan totaled $143,000 and $198,000 for the year ended December 31, 2010 and 2009, respectively.
12.	Separate Accounts
	General Nature and Characteristics of Separate Accounts Business
	The assets and liabilities of the Company’s Separate Accounts represent segregated funds administered and invested by the Company for purposes of funding flexible payment, individual and group, variable annuity contracts, market value adjusted deferred annuity contracts, variable supplemental contracts and individual and group variable life insurance contracts for the exclusive benefit of variable annuity and variable life insurance contract holders.
	The Company receives fees from the Separate Accounts which consist of charges for mortality and expense risk, certain minimum guaranteed death benefits, certain guaranteed retirement benefits, record maintenance fees and other administrative charges. The Company also retains varying amounts of withdrawal charges to cover expenses in the event of early withdrawals by contract holders. The assets and liabilities of the Separate Accounts are carried at current market value, which is based on upon the closing bid price, net asset value. The negative liability for transfers to Separate Accounts due or accrued represents the Commissioners Annuity.
	The assets and liabilities of the Separate Accounts are carried at fair value, which is based upon the net asset value, at December 31, 2010 and 2009.
	The Company has marketed non-registered individual and group variable BOLI contracts and a series of individual variable life contracts. The Company received approximately $2.1 million, $0.5 million and $6.5 million of renewal premium on existing BOLI contracts during 2010, 2009 and 2008, respectively. This business impacted premiums, separate accounts fees, net transfers to separate accounts, insurance taxes, licenses and fees and income tax expense. The BOLI products also have premium tax and deferred acquisition costs (“DAC”) tax expense load charges which are deducted from the contract holder’s premiums to compensate the Company for premium taxes and DAC tax expenses incurred by the Company related to the BOLI products. No commissions are paid on BOLI product sales.

43

Zurich American Life Insurance Company
Notes to Statutory Financial Statements
December 31, 2010 and 2009

Separate accounts fees and miscellaneous income were comprised of the following for the years ended December 31, 2010, 2009 and 2008:

(in thousands of dollars)	2010			2009			2008
Separate accounts fees on non-BOLI variable life and annuities	$	13,569		$	15,272		$	20,650
BOLI cost of insurance charges and fees1		197,951			184,659			167,225
BOLI tax benefits2		(845	)		(1,058	)		(1,058	)
Total separate accounts fees and miscellaneous income	$	210,675		$	198,873		$	186,817

(1)	The Company ceded approximately $199.1 million, $186.8 million and $169.7 million of such charges, as a reduction to premiums, to a Zurich affiliated company, ZIBB, during 2010, 2009 and 2008, respectively.
(2)	The Company paid approximately $0.8 million, $1.1 million and $1.1 million in DAC tax allowances to ZIBB in 2010, 2009 and 2008, respectively, for certain contracts in which the DAC tax loads received by the Company are collected over time as opposed to receiving the entire load up front.

Under statutory accounting, transfers to the separate accounts are reported net of premium and DAC tax loads. There is a corresponding offset to the premium tax load in insurance taxes, licenses and fees.

Information regarding the reserves included in the separate accounts of the Company as of December 31, 2010 were as follows:

	Nonindexed		Nonindexed
	Guarantee		Guarantee		Nonguaranteed
	Less Than/		More		Separate
(in thousands of dollars)	Equal to 4%		Than 4%		Accounts		Total
Premiums, considerations or deposits for year ended December 31, 2010	$	241	$	—	$	48,928	$	49,169
Reserves at December 31, 2010	$	16,417	$	938	$	12,546,101	$	12,563,456
For accounts with assets at:
Market value	$	16,417	$	938	$	12,546,101	$	12,563,456
Total reserves	$	16,417	$	938	$	12,546,101	$	12,563,456
By withdrawal characteristics:
With market value adjustment	$	16,417	$	938	$	—	$	17,355
At market value		—		—		12,546,101		12,546,101
Total	$	16,417	$	938	$	12,546,101	$	12,563,456

44

Zurich American Life Insurance Company
Notes to Statutory Financial Statements
December 31, 2010 and 2009

The following is a reconciliation of net transfers from the Company’s separate accounts for the years ended December 31, 2010, 2009 and 2008:

(in thousands of dollars)	2010			2009			2008
Transfers as reported in the summary of operations of the separate accounts annual statement:
Transfers to separate accounts	$	112,140		$	111,727		$	160,784
Transfers from separate accounts		(548,403	)		(1,450,570	)		(1,139,512	)
Net transfers from separate accounts	$	(436,263	)	$	(1,338,843	)	$	(978,728	)
Reconciling adjustments
Experience rated refunds reinvested in separate accounts		(55,816	)		(43,320	)		(12,700	)
Change in termination value of separate accounts		(2,651	)		(11,177	)		(38,745	)
Separate accounts trading gain (loss)		37			69			(890	)
SVP Surrender		(1,039	)		(5,419	)		—
Transfers required to support benefits		(2,780	)		(4,385	)		(2,172	)
Terminated policy refunds		255			1,530			2,858
Funding of MVA Settlement		(1,233	)		4,591			—
Ceded transfers		(1,558	)		—			4,299
Other		—			(1,090	)		(117	)
Net transfers from separate accounts as reported in the statement of operations	$	(501,048	)	$	(1,398,044	)	$	(1,026,195	)

13.	Commitments and Contingencies
	The Company is subject to lawsuits arising from the normal course of its business activities. These actions are in various stages of discovery and development, and some seek punitive as well as compensatory damages. In the opinion of management, the Company has not engaged in any conduct that should warrant the award of any material punitive or compensatory damages. Acting on the advice of counsel, the Company intends to defend vigorously its position in each case, and management believes that, while it is not possible to predict the outcome of such matters with absolute certainty, ultimate disposition of these proceedings should not have a material adverse effect on the Company’s financial position, results of operations or cash flows.
	In 1997, the Company entered into an agreement with a third party to guaranty certain indemnity obligations of an investment property, including environmental claims over a period of 20 years and income tax liability claims over a period of 7 years. The maximum liability exposure under this guaranty would not exceed $4,000,000. The Company was fully insured for losses and liabilities related to the potential environmental claims for a period of 10 years. The insurance expired in 2007. Additionally, KFC Portfolio Corp, an affiliated company, has agreed to guaranty and indemnify the Company from all liabilities and costs incurred related to this transaction. While the Company currently has not experienced any claims, including environmental claims or threatened environmental claims related to this transaction, it is reasonably possible that the results of ongoing environmental studies or other factors could alter this expectation and may require recording of a liability and cause the Company future cash outlays. The extent or amount of such events, if any, cannot be estimated with certainty at this time. However, management expects this to have no material impact on the results of operations, financial position or liquidity for the years ended December 31, 2010, 2009 and 2008.

45

Zurich American Life Insurance Company
Notes to Statutory Financial Statements
December 31, 2010 and 2009

	Rent paid, including allocations of rent from third-party administrators, was approximately $448,000, $546,000 and $542,000 for the years ended December 31, 2010, 2009 and 2008 respectively.
	The three year sublease term for Bellevue, WA, administrative office ended as of August 31, 2010. The new administrative office is located in Jersey City, NJ. The lease agreement for this office commenced on May 1, 2010, for a term of 12 months renewable with 60-day notice from end date. It was renewed for another 12 months period, starting on April 1, 2011, with automatic renewal for successive periods equal to the current term.
14.	Subsequent Events
	As of April 30, 2011, the date the financial statements were available to be issued, there have been no events occurring subsequent to the close of the Company’s books or accounts for the accompanying financial statements that would have a material effect on the financial condition of the Company.

46

SUPPLEMENTAL SCHEDULES

Zurich American Life Insurance Company

Supplemental Schedule of Assets and Liabilities
December 31, 2010

The following is a summary of certain financial data included in exhibits and schedules subjected to audit procedures by independent accountants and utilized by actuaries in the determination of reserves.

	2010
Investment income earned
U. S. government bonds	$	904,381
Other bonds (unaffiliated)		20,472,496
Contract loans		3,339,273
Cash, cash equivalents and short-term investments		56,275
Other invested assets		(16,893	)
Aggregate write-ins for investment income		573,975
Gross investment income	$	25,329,507

	2010
Bonds and short-term investments, by class and maturity
Bonds by maturity — statement value
Due within 1 year or less	$	57,896,797
Over 1 year through 5 years		242,050,260
Over 5 years through 10 years		97,359,847
Over 10 years through 20 years		7,207,099
Over 20 years		45,908,343
Total by maturity	$	450,422,346
Bonds by class — statement value
Class 1	$	378,759,815
Class 2		57,323,648
Class 3		4,086,341
Class 4		6,286,933
Class 5		3,965,421
Class 6		188
Total by class	$	450,422,346
Total bonds publicly traded	$	411,251,580
Total bonds privately traded	$	39,170,766
Short-term investments — book value	$	13,659,361
Cash on deposit	$	6,535,422

48

Zurich American Life Insurance Company
Supplemental Schedule of Assets and Liabilities
December 31, 2010

Life insurance in force
Industrial	$	—
Ordinary	$	—
Credit life	$	—
Group life	$	9,387,995,000
Amount of additional accidental death benefits in force under ordinary policies	$	200,000
Supplemental contracts in force
Ordinary — not involving life contingencies
Amount on deposit	$	—
Income payable	$	14,937,060
Ordinary — involving life contingencies
Income payable	$	46,336,244
Group — not involving life contingencies
Amount on deposit	$	—
Income payable	$	—
Group — involving life contingencies
Income payable	$	—
Annuities
Ordinary
Immediate — amount of income payable	$	—
Deferred — fully paid — account balance	$	256,547,861
Deferred — not fully paid — account balance	$	2,648,037,713
Group
Amount of income payable	$	—
Fully paid — account balance	$	—
Not fully paid — account balance	$	1,632,860,569
Deposit funds and dividend accumulations
Deposit funds — account balance	$	21,101,134
Dividend accumulations — account balance	$	—

49

Zurich American Life Insurance Company

Supplemental Summary Investment Schedule
December 31, 2010

The Company’s gross investment holdings as filed with the 2010 Annual Statement are $522,867,120.

						Admitted Assets as
	Gross					Reported in the
	Investment Holdings					Annual Statement
Investment Categories	Amount		Percentage			Amount		Percentage
2010
Bonds
U.S. treasury securities	$	35,551,314		6.80	%	$	35,551,314		6.80	%
U.S. government agency obligations
Issued by U.S. government sponsored agencies		9,710,283		1.86	%		9,710,283		1.86	%
Foreign government (including Canada, excluding mortgage-backed securities)		1,352,252		0.26	%		1,352,252		0.26	%
Securities issued by states, territories and possessions and political subdivisions in the U.S.		1,729,448		0.33	%		1,729,448		0.33	%
Political subdivisions of state, territories and possessions general obligations		4,033,599		0.77	%		4,033,599		0.77	%
Revenue and assessment obligations		7,053,000		1.35	%		7,053,000		1.35	%
Mortgage-backed securities
Pass-through securities
Guaranteed by GNMA		2,179,659		0.42	%		2,179,659		0.42	%
Issued by FNMA and FHLMC		6,010,724		1.15	%		6,010,724		1.15	%
CMOs and REMICs
Issued by FNMA and FHLMC		12,566,110		2.40	%		12,566,110		2.40	%
Alll other privately issued		127,270,953		24.34	%		127,270,953		24.34	%
Other debt and other fixed income securities (excluding short-term)
Unaffiliated domestic securities (includes credit tenant loans rated by the SVO)		187,222,049		35.81	%		187,222,049		35.81	%
Unaffiliated foreign securities		42,083,600		8.05	%		42,083,600		8.05	%
Contract loans		65,909,086		12.61	%		65,909,086		12.61	%
Cash, cash equivalents and short-term investments		20,194,782		3.86	%		20,194,782		3.86	%
Other invested assets		261		0.00	%		261		0.00	%
Total invested assets	$	522,867,120		100.00	%	$	522,867,120		100.00	%

50

Zurich American Life Insurance Company

Supplemental Investment Risks Interrogatories
December 31, 2010

The Company’s total admitted assets, excluding separate account assets, as filed in the 2010 Annual Statement were $617,147,175.

The Company’s 10 largest exposures to a single issuer/borrower/investment, excluding U.S. government, U.S. government agency securities and those U.S. government money market funds listed in the Appendix to the NAIC SVO Purposes
and Procedures Manual as exempt, property occupied by the Company and policy loans are as follows:

			Percentage
			of Total
			Admitted
Investments	Amount		Assets
Credit Suisse Group AG	$	17,813,323		2.89	%
FGCI POOL# E86435		16,441,237		2.66	%
Morgan Stanley Prime Money Market		13,659,360		2.21	%
Bear Stearns Commercial Mortgage		11,888,715		1.93	%
LB-UBS Commercial Mortgage Trust		11,012,088		1.78	%
Wachovia Bank Commercial Mortgage		10,066,118		1.63	%
Greenwich Capital Commercial Finance		8,585,856		1.39	%
General Electric Co		8,383,047		1.36	%
JP Morgan Chase Commercial Mortgage		8,039,058		1.30	%
Citigroup Inc		7,962,833		1.29	%

The amounts and percentages of the Company’s total admitted assets held in bonds and preferred stocks by NAIC rating are as follows:

	Bonds						Preferred Stocks
	Amount		Percentage				Amount		Percentage
NAIC — 1	$	378,759,815		61.37	%	P/RP-1	$	—		0.00	%
NAIC — 2		57,323,648		9.29	%	P/RP-2		—		0.00	%
NAIC — 3		4,086,341		0.66	%	P/RP-3		—		0.00	%
NAIC — 4		6,286,933		1.02	%	P/RP-4		—		0.00	%
NAIC — 5		3,965,421		0.64	%	P/RP-5		—		0.00	%
NAIC — 6		188		0.00	%	P/RP-6		—		0.00	%
	$	450,422,346					$	—

51

Zurich American Life Insurance Company
Supplemental Investment Risks Interrogatories
December 31, 2010

The Company holds admitted assets in foreign investments of $36,840,833 or 5.97% of total admitted assets.

The amounts and percentages of the Company’s total admitted assets held in aggregate foreign investment exposures categorized by NAIC sovereign rating are as follows:

			Percentage of
			Total Admitted
	Amount		Assets
Countries rated NAIC — 1	$	36,840,833		5.97	%
Countries rated NAIC — 2		—		0.00	%
Countries rated NAIC — 3 or below		—		0.00	%

The Company’s two largest foreign investment exposures to a single country, categorized by the country’s NAIC sovereign rating:

			Percentage of
			Total Admitted
	Amount		Assets
Countries Rated NAIC — 1:
Great Britain	$	9,443,896		1.53	%
Luxembourg		5,305,423		0.86	%

Questions 7 through 9 are not applicable as the Company does not have unhedged foreign currency exposure.

The Company’s 10 largest non-sovereign foreign issues and related percentages of total admitted assets are listed below:

2010				Percentage
NAIC				Total
Rating		Amount		Assets
1Z	BARCLAYS PLC	$	2,643,180		0.43	%
1Z	CODELCO INC		2,497,069		0.40	%
1FE	ANZ NATL BANK INTL LTD		2,398,017		0.39	%
1FE	UBS AG STAMFORD CT		2,083,206		0.34	%
1FE	ROYAL BK OF SCOTLAND		1,961,141		0.32	%
1FE	BHP BILLITON FINANCE		1,870,117		0.30	%
2FE	HBOS PLC		1,744,180		0.28	%
1Z	CREDIT SUISSE NEW YORK		1,633,819		0.26	%
1FE	ENEL FINANCE INTERNATION		1,498,603		0.24	%
1FE	TELEFONCIA SA		1,472,092		0.24	%

The Company does have Canadian investments of $6,595,020 or 1.07% of total admitted assets, which is below the threshold of 2.5%.

52

Zurich American Life Insurance Company
Supplemental Investment Risks Interrogatories
December 31, 2010

Question 12 is not applicable as the Company does not hold any investments with contractual sales restrictions.

Question 13 is not applicable as the Company does not hold any equity interests.

Question 14 is not applicable as the Company does not hold any investments in nonaffiliated, privately placed equity securities.

Question 15 is not applicable as the Company does not hold any investments in general partnership interests.

Questions 16 and 17 are not applicable as the Company does not hold any mortgage loans.

Question 18 is not applicable as the Company does not hold any real estate investments.

Question 19 is not applicable as the Company does not hold any investments in mezzanine real estate loans.

Question 20, the Company holds the following amounts in securities lending arrangements as of:

			Percentage of
			Total Admitted
Date	Amount		Assets
March 31, 2010 (unaudited)	$	862,762	Not Applicable
June 30, 2010 (unaudited)		—	Not Applicable
September 30, 2010 (unaudited)		—	Not Applicable
December 31, 2010		—		0.00	%

Question 21 is not applicable as the Company does not hold any warrants not attached to other financial instruments, options, caps or floors.

Questions 22 and 23 are not applicable as the Company holds no investments in collars, swaps, forwards, or future contracts.

53

APPENDIX A

STATE PREMIUM TAX CHART

Rate of Tax
State	Qualified Plans			Non-Qualified Plans
California		0.50	%*		2.35	%*
Maine		0	%		2.00	%
Nevada		0	%		3.50	%
Puerto Rico		0	%		3.00	%
South Dakota		0	%		1.25	%**
West Virginia		1.00	%		1.00	%
Wyoming		0	%		1.00	%

* Taxes become due when annuity benefits commence, rather than when the premiums are collected. At the time of annuitization, the premium tax payable will be charged against the Contract Value.

** In South Dakota, we pay a 1.25% premium tax on the first $500,000 for each Non-Qualified Plan Contract and a 0.08% premium tax on any premium amount thereafter.

A-1

APPENDIX B

CONDENSED FINANCIAL INFORMATION

The following Condensed Financial Information is derived from the financial statements of the Separate Account. The data should be read in conjunction with the financial statements, related notes and other financial information included in the Statement of Additional Information. Each table shows the unit values under Contracts with a different combination of optional benefits, including the Guaranteed Retirement Income Benefit, which is no longer offered under new Contracts. In the table(s) below, no number is shown when there were no Accumulation Units outstanding at the end of the period. A zero (0) is shown when there were fewer than 1,000 Accumulation Units outstanding at the end of the period. Information for the least and most expensive combinations are shown in the Prospectus under the heading “Condensed Financial Information”.

Optional Benefits	Annual Expense
Guaranteed Minimum Death Benefit		0.15%
Earnings Based Death Benefit		0.20%
Guaranteed Retirement Income Benefit—10 year		0.30%
Guaranteed Retirement Income Benefit—7 year		0.40%

Additional Contract Options Elected (0.15%)

Guaranteed Minimum Death Benefit

(Separate Account Charges of 1.45% of the Daily Net Assets of the Separate Account)

Tax Qualified Periodic Payment Contracts—1.45%

Subaccount	2010		2009		2008		2007		2006		2005		2004		2003		2002
Alger Large Cap Growth Subaccount (formerly Alger American LargeCap Growth Subaccount)(formerly Alger American Growth Subaccount)
Accumulation unit value at beginning of period*	$	49.390	$	33.953	$	63.974	$	54.113	$	52.208	$	47.274	$	45.462	$	34.123	$	51.663
Accumulation unit value at end of period	$	55.202	$	49.390	$	33.953	$	63.974	$	54.113	$	52.208	$	47.274	$	45.462	$	34.123
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		0		—
Alger Small Cap Subaccount (formerly Alger American Small Cap Subaccount)
Accumulation unit value at beginning of period*	$	29.791	$	19.922	$	48.534	$	37.430	$	34.475	$	31.845	$	28.58	$	19.618	$	28.248
Accumulation unit value at end of period	$	35.057	$	29.791	$	19.922	$	48.534	$	37.43	$	34.475	$	31.845	$	28.58	$	19.618
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		0
Alger Small Capitalization Subaccount (formerly Alger American Small Capitalization Subaccount)
Accumulation unit value at beginning of period*	$	43.567	$	30.375	$	57.711	$	49.942	$	42.214	$	36.639	$	31.888	$	22.726	$	31.252
Accumulation unit value at end of period	$	53.807	$	43.567	$	30.375	$	57.711	$	49.942	$	42.214	$	36.639	$	31.888	$	22.726
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		0		0
American Century VP Income & Growth Subaccount
Accumulation unit value at beginning of period*	$	6.286	$	5.400	$	8.376	$	8.503	$	7.367	$	7.143	$	6.414	$	5.03	$	6.329
Accumulation unit value at end of period	$	7.073	$	6.286	$	5.400	$	8.376	$	8.503	$	7.367	$	7.143	$	6.414	$	5.03
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		2		3		1		1
American Century VP Value Subaccount
Accumulation unit value at beginning of period*	$	9.125	$	7.723	$	10.700	$	11.445	$	9.785	$	9.451	$	8.386	$	6.597	$	7.659
Accumulation unit value at end of period	$	10.202	$	9.125	$	7.723	$	10.700	$	11.445	$	9.785	$	9.451	$	8.386	$	6.597
Number of accumulation units outstanding at end of period (000’s omitted)		8		8		9		9		9		9		8		6		6
Credit Suisse Trust International Equity Flex III Subaccount (formerly Credit Suisse Trust-Emerging Markets Subaccount)
Accumulation unit value at beginning of period*	$	17.599	$	11.776	$	26.433	$	20.719	$	15.861	$	12.577	$	10.214	$	7.252	$	8.32
Accumulation unit value at end of period	$	19.469	$	17.599	$	11.776	$	26.433	$	20.719	$	15.861	$	12.577	$	10.214	$	7.252
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		—
Dreyfus IP MidCap Stock Subaccount
Accumulation unit value at beginning of period**	$	12.654	$	9.486	$	16.160	$	16.172	$	15.236	$	14.189	$	12.602	$	10		N/A
Accumulation unit value at end of period	$	15.835	$	12.654	$	9.486	$	16.160	$	16.172	$	15.236	$	14.189	$	12.602		N/A
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		0		N/A
Dreyfus Socially Responsible Growth Subaccount
Accumulation unit value at beginning of period*	$	24.380	$	18.491	$	28.608	$	26.929	$	20.016	$	24.493	$	23.396	$	18.836	$	26.895
Accumulation unit value at end of period	$	27.592	$	24.380	$	18.491	$	28.608	$	26.929	$	25.016	$	24.493	$	23.396	$	18.836
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		—
Dreyfus VIF Small Company Stock Subaccount*
Accumulation unit value at beginning of period**		N/A		N/A		N/A	$	17.218	$	15.744	$	15.848	$	13.605	$	10		N/A
Accumulation unit value at end of period		N/A		N/A		N/A		N/A	$	17.218	$	15.744	$	15.848	$	13.605		N/A
Number of accumulation units outstanding at end of period (000’s omitted)		N/A		N/A		N/A		N/A		—		—		—		—		N/A
DWS Bond VIP Subaccount (formerly Scudder Bond Subaccount)
Accumulation unit value at beginning of period*	$	7.981	$	7.356	$	8.967	$	8.733	$	8.46	$	8.365	$	8.053	$	7.776	$	7.328
Accumulation unit value at end of period	$	8.401	$	7.981	$	7.356	$	8.967	$	8.733	$	8.46	$	8.365	$	8.053	$	7.776
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		0		0		0
DWS Capital Growth VIP Subaccount (formerly Scudder Capital Growth Subaccount)
Accumulation unit value at beginning of period*	$	20.009	$	16.000	$	24.220	$	21.825	$	20.401	$	18.995	$	17.846	$	14.268	$	20.441
Accumulation unit value at end of period	$	23.018	$	20.009	$	16.000	$	24.220	$	21.825	$	20.401	$	18.995	$	17.846	$	14.268
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		0		0		0		0
DWS Growth & Income VIP Subaccount (formerly Scudder Growth and Income Subaccount)
Accumulation unit value at beginning of period****	$	10.012	$	7.572	$	12.452	$	12.465	$	11.129	$	10		N/A		N/A		N/A
Accumulation unit value at end of period	$	11.290	$	10.012	$	7.572	$	12.452	$	12.465	$	11.129		N/A		N/A		N/A
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		N/A		N/A		N/A
DWS International VIP Subaccount (formerly Scudder International Subaccount)
Accumulation unit value at beginning of period*	$	13.347	$	10.142	$	19.868	$	17.591	$	14.173	$	12.377	$	10.776	$	8.557	$	10.635
Accumulation unit value at end of period	$	13.370	$	13.347	$	10.142	$	19.868	$	17.591	$	14.173	$	12.377	$	10.776	$	8.557
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		0		0		0		0
DWS Balanced VIP Subaccount (formerly Scudder Total Return Subaccount)
Accumulation unit value at beginning of period*	$	7.329	$	6.024	$	8.410	$	8.139	$	7.489	$	7.285	$	6.921	$	5.953	$	7.12
Accumulation unit value at end of period	$	8.036	$	7.329	$	6.024	$	8.410	$	8.139	$	7.489	$	7.285	$	6.921	$	5.953
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		1		1		0		—		—
DWS Core Fixed Income VIP Subaccount (formerly Scudder Fixed Income Subaccount)
Accumulation unit value at beginning of period*	$	1.315	$	1.239	$	1.558	$	1.517	$	1.476	$	1.465	$	1.422	$	1.372	$	1.289
Accumulation unit value at end of period	$	1.381	$	1.315	$	1.239	$	1.558	$	1.517	$	1.476	$	1.465	$	1.422	$	1.372
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		1		0
DWS Diversified International Equity VIP Subaccount (formerly DWS International Select Equity VIP Subaccount)
Accumulation unit value at beginning of period*	$	2.036	$	1.597	$	3.165	$	2.751	$	2.223	$	1.969	$	1.69	$	1.32	$	1.548
Accumulation unit value at end of period	$	2.227	$	2.036	$	1.597	$	3.165	$	2.751	$	2.223	$	1.969	$	0.69	$	1.32
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		—
DWS Dreman Small Mid Cap Value VIP (formerly DWS Dreman Small Cap Value VIP Subaccount)
Accumulation unit value at beginning of period*	$	2.233	$	1.746	$	2.661	$	2.620	$	2.125	$	1.955	$	1.574	$	1.124	$	1.287
Accumulation unit value at end of period	$	2.709	$	2.233	$	1.746	$	2.661	$	2.62	$	2.125	$	1.955	$	1.574	$	1.124
Number of accumulation units outstanding at end of period (000’s omitted)		35		33		33		30		30		30		24		10		—
DWS Government & Agency Securities VIP Subaccount (formerly Scudder Government & Agency Securities Subaccount)
Accumulation unit value at beginning of period*	$	2.694	$	2.529	$	2.445	$	2.341	$	2.28	$	2.255	$	2.205	$	2.188	$	2.054
Accumulation unit value at end of period	$	2.831	$	2.694	$	2.529	$	2.445	$	2.341	$	2.28	$	2.255	$	2.205	$	2.188
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		27		28		47		43
DWS High Income VIP Subaccount (formerly Scudder High Income Subaccount)
Accumulation unit value at beginning of period*	$	8.568	$	6.210	$	8.282	$	8.323	$	7.643	$	7.464	$	6.736	$	5.483	$	5.58
Accumulation unit value at end of period	$	9.628	$	8.568	$	6.210	$	8.282	$	8.323	$	7.643	$	7.464	$	6.736	$	5.483
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		0		0
DWS Large Cap Value VIP Subaccount (formerly Scudder Large Cap Value Subaccount)
Accumulation unit value at beginning of period*	$	2.114	$	1.711	$	2.729	$	2.447	$	2.151	$	2.14	$	1.972	$	0.509	$	1.801
Accumulation unit value at end of period	$	2.308	$	2.114	$	1.711	$	2.729	$	2.447	$	2.151	$	2.14	$	1.972	$	1.509
Number of accumulation units outstanding at end of period (000’s omitted)		3		3		3		2		3		2		3		2		2
DWS Money Market VIP Subaccount (formerly Scudder Money Market Subaccount)
Accumulation unit value at beginning of period*	$	2.812	$	2.843	$	2.810	$	2.716	$	2.632	$	2.597	$	2.611	$	2.63	$	2.632
Accumulation unit value at end of period	$	2.772	$	2.812	$	2.843	$	2.810	$	2.716	$	2.632	$	2.597	$	2.611	$	2.63
Number of accumulation units outstanding at end of period (000’s omitted)		16		16		16		17		18		18		25		32		—
DWS Small Mid-Cap Growth VIP Subaccount (formerly DWS Small Cap Growth Subaccount)
Accumulation unit value at beginning of period*	$	1.584	$	1.143	$	2.296	$	2.194	$	2.114	$	2.003	$	1.83	$	1.397	$	2.13
Accumulation unit value at end of period	$	2.021	$	1.584	$	1.143	$	2.296	$	2.194	$	2.114	$	2.003	$	1.83	$	1.397
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		1		2		2
DWS Technology VIP (formerly Scudder Technology Growth Subaccount)*
Accumulation unit value at beginning of period*	$	0.819	$	0.518	$	0.977	$	0.867	$	0.873	$	0.854	$	0.85	$	1.397	$	0.926
Accumulation unit value at end of period	$	0.958	$	0.819	$	0.518	$	0.977	$	0.867	$	0.873	$	0.854	$	0.85	$	1.397
Number of accumulation units outstanding at end of period (000’s omitted)		4		4		4		5		5		5		2		—		—

B-1

Subaccount	2010		2009		2008		2007		2006		2005		2004		2003		2002
Fidelity VIP Asset ManagerSM Subaccount
Accumulation unit value at beginning of period*	$	26.847	$	21.095	$	30.023	$	26.372	$	24.929	$	24.306	$	23.381	$	20.106	$	22.348
Accumulation unit value at end of period	$	30.238	$	26.847	$	21.095	$	30.023	$	26.372	$	24.929	$	24.306	$	23.381	$	20.106
Number of accumulation units outstanding at end of period (000’s omitted)		1		1		1		1		—		1		1		1		1
Fidelity VIP Contrafund® Subaccount
Accumulation unit value at beginning of period*	$	36.302	$	27.138	$	47.894	$	41.322	$	37.523	$	32.552	$	28.599	$	22.585	$	25.276
Accumulation unit value at end of period	$	41.945	$	36.302	$	27.138	$	47.894	$	41.322	$	37.523	$	32.552	$	28.599	$	22.585
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		0		0		—		—
Fidelity VIP Equity-Income Subaccount
Accumulation unit value at beginning of period*	$	31.769	$	24.752	$	43.791	$	43.759	$	36.934	$	35.392	$	32.194	$	25.06	$	30.612
Accumulation unit value at end of period	$	36.059	$	31.769	$	24.752	$	43.791	$	43.759	$	36.934	$	35.392	$	32.194	$	25.06
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		0		0		0		0
Fidelity VIP Growth Subaccount
Accumulation unit value at beginning of period*	$	41.775	$	33.036	$	63.439	$	50.694	$	48.13	$	46.15	$	45.291	$	34.586	$	50.202
Accumulation unit value at end of period	$	51.133	$	41.775	$	33.036	$	63.439	$	50.694	$	48.13	$	46.15	$	45.291	$	34.586
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		0		0		0
Fidelity VIP Index 500 Subaccount
Accumulation unit value at beginning of period*	$	136.023	$	108.995	$	175.516	$	168.889	$	148.045	$	143.274	$	131.408	$	103.818	$	135.465
Accumulation unit value at end of period	$	154.223	$	136.023	$	108.995	$	175.516	$	168.889	$	148.045	$	143.274	$	131.408	$	103.818
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		0		0		0		0
Franklin Rising Dividends Securities Subaccount
Accumulation unit value at beginning of period**	$	12.491	$	10.799	$	15.029	$	15.669	$	13.572	$	13.312	$	12.167	$	10		N/A
Accumulation unit value at end of period	$	14.855	$	12.491	$	10.799	$	15.029	$	15.669	$	13.572	$	13.312	$	12.167		N/A
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		1		1		0		N/A
Franklin Small Cap Value Securities Subaccount
Accumulation unit value at beginning of period**	$	16.111	$	12.655	$	19.167	$	19.921	$	17.275	$	16.112	$	13.21	$	10		N/A
Accumulation unit value at end of period	$	20.363	$	16.111	$	12.655	$	19.167	$	19.921	$	17.275	$	16.112	$	13.21		N/A
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		1		1		0		N/A
Franklin Strategic Income Securities Subaccount
Accumulation unit value at beginning of period**	$	14.238	$	11.487	$	13.128	$	12.576	$	11.787	$	11.785	$	10.89	$	10		N/A
Accumulation unit value at end of period	$	15.566	$	14.238	$	11.487	$	13.128	$	12.576	$	11.787	$	11.785	$	10.89		N/A
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		N/A
Franklin U.S. Government Subaccount
Accumulation unit value at beginning of period**	$	11.942	$	11.752	$	11.081	$	10.546	$	10.285	$	10.189	$	9.99	$	10		N/A
Accumulation unit value at end of period	$	12.394	$	11.942	$	11.752	$	11.081	$	10.546	$	10.285	$	10.189	$	9.99		N/A
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		2		0		N/A
Franklin Zero Coupon 2010 Subaccount
Accumulation unit value at beginning of period**	$	11.539	$	11.688	$	11.058	$	10.349	$	10.254	$	10.266	$	9.971	$	10		N/A
Accumulation unit value at end of period		N/A	$	11.539	$	11.688	$	11.058	$	10.349	$	10.254	$	10.266	$	9.971		N/A
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		2		0		N/A
Mutal Global Discovery Securities Subaccount (formerly Mutual Discovery Securities Subaccount)
Accumulation unit value at beginning of period**	$	18.917	$	15.563	$	22.068	$	20.018	$	16.503	$	14.436	$	12.392	$	10		N/A
Accumulation unit value at end of period	$	20.877	$	18.917	$	15.563	$	22.068	$	20.018	$	16.503	$	14.436	$	12.392		N/A
Number of accumulation units outstanding at end of period (000’s omitted)		7		7		6		6		5		5		4		2		N/A
Mutual Shares Securities Subaccount
Accumulation unit value at beginning of period**	$	13.294	$	10.699	$	17.260	$	16.922	$	14.502	$	13.307	$	11.986	$	10		N/A
Accumulation unit value at end of period	$	14.571	$	13.294	$	10.699	$	17.260	$	16.922	$	14.502	$	13.307	$	11.986		N/A
Number of accumulation units outstanding at end of period (000’s omitted)		6		6		6		5		—		4		3		2		N/A
Templeton Developing Markets Securities Subaccount
Accumulation unit value at beginning of period**	$	28.408	$	16.698	$	35.819	$	28.219	$	22.349	$	17.792	$	14.474	$	10		N/A
Accumulation unit value at end of period	$	32.926	$	28.408	$	16.698	$	35.819	$	28.219	$	22.349	$	17.792	$	14.474		N/A
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		N/A
ING JPMorgan Emerging Markets Equity Subaccount
Accumulation unit value at beginning of period+++	$	21.970	$	12.958	$	26.912	$	19.671	$	14.653	$	10		N/A		N/A		N/A
Accumulation unit value at end of period	$	26.125	$	21.970	$	12.958	$	26.912	$	19.671	$	14.653		N/A		N/A		N/A
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		N/A		N/A		N/A
ING VP Emerging Markets Subaccount
Accumulation unit value at beginning of period*		N/A		N/A		N/A		N/A		N/A	$	8.129	$	6.776	$	4.67	$	5.225
Accumulation unit value at end of period++		N/A		N/A		N/A		N/A		N/A		N/A	$	8.129	$	6.776	$	4.67
Number of accumulation units outstanding at end of period (000’s omitted)		N/A		N/A		N/A		N/A		N/A		N/A		—		0		—
ING VP Natural Resources Trust Subaccount
Accumulation unit value at beginning of period*		N/A		N/A		N/A	$	30.215	$	25.18	$	17.881	$	16.102	$	12.515	$	12.968
Accumulation unit value at end of period		N/A		N/A		N/A		N/A	$	30.215	$	25.18	$	17.881	$	16.102	$	12.515
Number of accumulation units outstanding at end of period (000’s omitted)		N/A		N/A		N/A		N/A		—		—		0		0		—
ING VP Global Resources Portfolio Subaccount
Accumulation unit value at beginning of period*	$	11.210	$	8.270	$	14.221		N/A		N/A		N/A		N/A		N/A		N/A
Accumulation unit value at end of period	$	13.442	$	11.210	$	8.270	$	14.221		N/A		N/A		N/A		N/A		N/A
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		N/A		N/A		N/A		N/A		N/A
Invesco V.I. Financial Services Subaccount (formerly AIM V.I. Financial Services Subaccount)
Accumulation unit value at beginning of period**	$	6.037	$	4.806	$	12.023	$	15.682	$	13.663	$	13.087	$	12.217	$	10		N/A
Accumulation unit value at end of period	$	6.564	$	6.037	$	4.806	$	12.023	$	15.682	$	13.663	$	13.087	$	12.217		N/A
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		N/A
Invesco V.I. Global Health Care Subaccount (formerly AIM V.I. Global Health Care Subaccount )
Accumulation unit value at beginning of period**	$	13.550	$	10.767	$	15.303	$	13.881	$	13.381	$	12.552	$	11.838	$	10		N/A
Accumulation unit value at end of period	$	14.064	$	13.550	$	10.767	$	15.303	$	13.881	$	13.381	$	12.552	$	11.838		N/A
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		N/A
Invesco V.I. Real Estate Subaccount (formerly AIM V.I. Real Estate Subaccount)
Accumulation unit value at beginning of period**	$	18.351	$	14.155	$	25.943	$	27.865	$	19.823	$	17.604	$	13.076	$	10		N/A
Accumulation unit value at end of period	$	21.257	$	18.351	$	14.155	$	25.943	$	27.865	$	19.823	$	17.604	$	13.076		N/A
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		0		0		—		N/A
Invesco V.I. Utilities Subaccount (formerly AIM V.I. Utilities Subaccount)
Accumulation unit value at beginning of period**	$	18.226	$	16.088	$	24.128	$	20.291	$	16.407	$	14.246	$	11.698	$	10		N/A
Accumulation unit value at end of period	$	19.097	$	18.226	$	16.088	$	24.128	$	20.291	$	16.407	$	14.246	$	11.698		N/A
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		N/A
JPMorgan Insurance Trust Equity Index Subaccount (formerly JPMorgan Investment Trust Equity Index Subaccount)
Accumulation unit value at beginning of period***	$	10.390	$	8.336	$	13.469	$	13.002	$	11.428	$	11.099	$	10.244		N/A		N/A
Accumulation unit value at end of period	$	11.717	$	10.390	$	8.336	$	13.469	$	13.002	$	11.428	$	11.099		N/A		N/A
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		N/A		N/A
JPMorgan Insurance Trust U.S. Equity Subaccount (JPMorgan Insurance Trust Diversified Equity Subaccount (formerly JPMorgan Investment Trust Diversified Equity Subaccount)
Accumulation unit value at beginning of period***	$	11.471	$	8.705	$	13.545	$	12.442	$	10.867	$	10.774	$	10.055		N/A		N/A
Accumulation unit value at end of period	$	12.842	$	11.471	$	8.705	$	13.545	$	12.442	$	10.867	$	10.774		N/A		N/A
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		0		N/A		N/A
JPMorgan Insurance Trust Diversified Mid Cap Growth Subaccount (formerly JPMorgan Investment Trust Mid Cap Growth Subaccount)
Accumulation unit value at beginning of period***	$	12.176	$	8.6.35	$	15.585	$	13.487	$	12.283	$	11.216	$	10.401		N/A		N/A
Accumulation unit value at end of period	$	15.078	$	12.176	$	8.6.35	$	15.585	$	13.487	$	12.283	$	11.216		N/A		N/A
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		N/A		N/A
JPMorgan Insurance Trust Intrepid Mid Cap Subaccount (formerly JPMorgan Investment Trust Diversified Mid Cap Subaccount)
Accumulation unit value at beginning of period***	$	12.124	$	9.067	$	15.034	$	14.828	$	13.181	$	11.42	$	10.096		N/A		N/A
Accumulation unit value at end of period	$	14.284	$	12.124	$	9.067	$	15.034	$	14.828	$	13.181	$	11.42		N/A		N/A
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		N/A		N/A
JPMorgan Insurance Trust Diversified Mid Cap Value Subaccount (formerly JPMorgan Investment Trust Mid Cap Value)
Accumulation unit value at beginning of period***	$	11.443	$	9.077	$	14.273	$	14.350	$	12.472	$	11.528	$	10.277		N/A		N/A
Accumulation unit value at end of period	$	13.925	$	11.443	$	9.077	$	14.273	$	14.35	$	12.472	$	11.528		N/A		N/A
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		0		N/A		N/A

B-2

Subaccount	2010		2009		2008		2007		2006		2005		2004		2003		2002
JPMorgan Insurance Trust International Equity Subaccount
Accumulation unit value at beginning of period***	$	16.820		N/A		N/A		N/A		N/A		N/A		N/A		N/A		N/A
Accumulation unit value at end of period	$	17.767	$	16.820		N/A		N/A		N/A		N/A		N/A		N/A		N/A
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		N/A		N/A		N/A		N/A		N/A		N/A		N/A
JPMorgan Insurance Trust Small Cap Core Subaccount
Accumulation unit value at beginning of period***	$	15.214		N/A		N/A		N/A		N/A		N/A		N/A		N/A		N/A
Accumulation unit value at end of period	$	19.065	$	15.214		N/A		N/A		N/A		N/A		N/A		N/A		N/A
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		N/A		N/A		N/A		N/A		N/A		N/A		N/A
JPMorgan International Equity Subaccount
Accumulation unit value at beginning of period**		N/A	$	12.648	$	21.880	$	20.304	$	16.878	$	15.468	$	13.257	$	10		N/A
Accumulation unit value at end of period		N/A		N/A	$	12.648	$	21.880	$	20.304	$	16.878	$	15.468	$	13.257		N/A
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		0		0		N/A
JPMorgan MidCap Value Subaccount
Accumulation unit value at beginning of period**		N/A	$	12.109	$	18.393	$	18.214	$	15.814	$	14.69	$	12.311	$	10		N/A
Accumulation unit value at end of period		N/A		N/A	$	12.109	$	18.393	$	18.214	$	15.814	$	14.69	$	12.311		N/A
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		0		—		N/A
JPMorgan Small Company Subaccount
Accumulation unit value at beginning of period*		N/A	$	12.592	$	18.782	$	20.202	$	17.82	$	17.48	$	13.945	$	10.404	$	13.472
Accumulation unit value at end of period		N/A		N/A	$	12.592	$	18.782	$	20.202	$	17.82	$	17.48	$	13.945	$	10.404
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		0		0
Janus Aspen Balanced Subaccount
Accumulation unit value at beginning of period*	$	39.318	$	31.685	$	38.195	$	35.058	$	32.122	$	30.186	$	28.219	$	25.101	$	27.22
Accumulation unit value at end of period	$	42.006	$	39.318	$	31.685	$	38.195	$	35.058	$	32.122	$	30.186	$	28.219	$	25.101
Number of accumulation units outstanding at end of period (000’s omitted)		3		3		3		3		3		3		3		2		3
Janus Aspen Enterprise Subaccount (formerly Janus Aspen Mid Cap Growth Subaccount)
Accumulation unit value at beginning of period*	$	31.984	$	22.405	$	40.389	$	33.577	$	29.982	$	27.082	$	22.755	$	17.087	$	24.055
Accumulation unit value at end of period	$	39.677	$	31.984	$	22.405	$	40.389	$	33.577	$	29.982	$	27.082	$	22.755	$	17.087
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		0		0
Janus Aspen Janus Subaccount (formerly Janus Aspen Large Cap Growth Subaccount)
Accumulation unit value at beginning of period*	$	22.846	$	16.998	$	28.609	$	25.219	$	22.971	$	22.345	$	21.69	$	16.704	$	23.059
Accumulation unit value at end of period	$	25.789	$	22.846	$	16.998	$	28.609	$	25.219	$	22.971	$	22.345	$	21.69	$	16.704
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		0		—
Janus Aspen Mid Cap Value Subaccount
Accumulation unit value at beginning of period**	$	18.790	$	14.341	$	20.178	$	19.103	$	16.842	$	15.532	$	13.377	$	10		N/A
Accumulation unit value at end of period	$	21.367	$	18.790	$	14.341	$	20.178	$	19.103	$	16.842	$	15.532	$	13.377		N/A
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		N/A
Janus Aspen Small Company Value Subaccount
Accumulation unit value at beginning of period**		N/A	$	11.19	$	17.716	$	19.144	$	15.936	$	15.63	$	13.43	$	10		N/A
Accumulation unit value at end of period		N/A		N/A	$	11.190	$	17.716	$	19.144	$	15.936	$	15.63	$	13.43		N/A
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		0		—		N/A
Janus Aspen Worldwide Subaccount (formerly Janus Aspen Worldwide Growth Subaccount)
Accumulation unit value at beginning of period*	$	27.894	$	20.551	$	37.676	$	34.868	$	29.925	$	28.676	$	27.766	$	22.718	$	30.937
Accumulation unit value at end of period	$	31.849	$	27.894	$	20.551	$	37.676	$	34.868	$	29.925	$	28.676	$	27.766	$	22.718
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		—
Oppenheimer Capital Appreciation Subaccount
Accumulation unit value at beginning of period**	$	12.124	$	8.532	$	15.930	$	14.195	$	13.373	$	12.937	$	12.311	$	10		N/A
Accumulation unit value at end of period	$	14.284	$	12.124	$	8.532	$	15.930	$	14.195	$	13.373	$	12.937	$	12.311		N/A
Number of accumulation units outstanding at end of period (000’s omitted)		2		2		2		1		—		1		0		—		N/A
Oppenheimer Global Securities Subaccount
Accumulation unit value at beginning of period**	$	18.209	$	13.256	$	22.538	$	21.556	$	18.632	$	16.572	$	14.143	$	10		N/A
Accumulation unit value at end of period	$	20.767	$	18.209	$	13.256	$	22.538	$	21.556	$	18.632	$	16.572	$	14.143		N/A
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		0		0		—		N/A
Oppenheimer High Income Subaccount
Accumulation unit value at beginning of period**	$	3.302	$	2.660	$	12.595	$	12.839	$	11.924	$	11.859	$	11.065	$	10		N/A
Accumulation unit value at end of period	$	3.725	$	3.302	$	2.660	$	12.595	$	12.839	$	11.924	$	11.859	$	11.065		N/A
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		N/A
Oppenheimer Main Street Subaccount
Accumulation unit value at beginning of period**	$	12.022	$	9.528	$	15.751	$	15.343	$	13.563	$	13.013	$	12.096	$	10		N/A
Accumulation unit value at end of period	$	13.725	$	12.022	$	9.528	$	15.751	$	15.343	$	13.563	$	13.013	$	12.096		N/A
Number of accumulation units outstanding at end of period (000’s omitted)		2		2		2		—		—		1		1		0		N/A
Oppenheimer Main Street Small Cap Subaccount
Accumulation unit value at beginning of period**	$	15.777	$	11.693	$	19.135	$	19.688	$	17.419	$	16.106	$	13.711	$	10		N/A
Accumulation unit value at end of period	$	19.137	$	15.777	$	11.693	$	19.135	$	19.688	$	17.419	$	16.106	$	13.711		N/A
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		0		0		N/A
Oppenheimer Small- & Mid-Cap Growth Subaccount (formerly Oppenheimer MidCap Growth Subaccount) (formerly Oppenheimer Aggressive Growth Subaccount)
Accumulation unit value at beginning of period**	$	10.771	$	8.262	$	16.504	$	15.791	$	15.599	$	14.131	$	12.004	$	10		N/A
Accumulation unit value at end of period	$	13.501	$	10.771	$	8.262	$	16.504	$	15.791	$	15.599	$	14.131	$	12.004		N/A
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		N/A
Oppenheimer Global Strategic Income Subaccount (formerly Oppenheimer Strategic Bond Subaccount)
Accumulation unit value at beginning of period**	$	13.107	$	11.229	$	13.322	$	12.338	$	11.672	$	11.554	$	10.81	$	10		N/A
Accumulation unit value at end of period	$	14.828	$	13.107	$	11.229	$	13.322	$	12.338	$	11.672	$	11.554	$	10.81		N/A
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		1		—		N/A
Scudder Growth Subaccount
Accumulation unit value at beginning of period*		N/A		N/A		N/A		N/A		N/A	$	5.103	$	4.924	$	4.005	$	5.756
Accumulation unit value at end of period+		N/A		N/A		N/A		N/A		N/A		N/A	$	5.103	$	4.924	$	4.005
Number of accumulation units outstanding at end of period (000’s omitted)		N/A		N/A		N/A		N/A		N/A		N/A		—		—		—
SVS Focus Value + Growth Subaccount
Accumulation unit value at beginning of period*		N/A		N/A		N/A		N/A		N/A	$	1.614	$	1.471	$	1.125	$	1.539
Accumulation unit value at end of period+		N/A		N/A		N/A		N/A		N/A		N/A	$	1.614	$	1.471	$	1.125
Number of accumulation units outstanding at end of period (000’s omitted)		N/A		N/A		N/A		N/A		N/A		N/A		0		—		—

B-3

Additional Contract Options Elected (0.15%)

Guaranteed Minimum Death Benefit

(Separate Account Charges of 1.45% of the Daily Net Assets of the Separate Account)

Tax Nonqualified Periodic Payment Contracts—1.45%

Subaccount	2010		2009		2008		2007		2006		2005		2004		2003		2002
Alger Large Cap Growth Subaccount (formerly Alger American LargeCap Growth Subaccount) (formerly Alger American Growth Subaccount)
Accumulation unit value at beginning of period*	$	49.39	$	33.953	$	63.974	$	54.113	$	52.208	$	47.274	$	45.462	$	34.123	$	51.663
Accumulation unit value at end of period	$	55.202	$	49.390	$	33.953	$	63.974	$	54.113	$	52.208	$	47.274	$	45.462	$	34.123
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		0		0		0		0
Alger Small Cap Subaccount (formerly Alger American Small Cap Subaccount)
Accumulation unit value at beginning of period*	$	29.791	$	19.922	$	48.534	$	37.430	$	34.475	$	31.845	$	28.58	$	19.618	$	28.248
Accumulation unit value at end of period	$	35.057	$	29.791	$	19.922	$	48.534	$	37.43	$	34.475	$	31.845	$	28.58	$	19.618
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		—
Alger Small Capitalization Subaccount (formerly Alger American Small Capitalization Subaccount)
Accumulation unit value at beginning of period*	$	43.567	$	30.375	$	57.711	$	49.942	$	42.214	$	36.639	$	31.888	$	22.726	$	31.252
Accumulation unit value at end of period	$	53.807	$	43.567	$	30.375	$	57.711	$	49.942	$	42.214	$	36.639	$	31.888	$	22.726
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		0		0
American Century VP Income & Growth Subaccount
Accumulation unit value at beginning of period*	$	6.286	$	5.400	$	8.376	$	8.503	$	7.367	$	7.143	$	6.414	$	5.03	$	6.329
Accumulation unit value at end of period	$	7.073	$	6.286	$	5.400	$	8.376	$	8.503	$	7.367	$	7.143	$	6.414	$	5.03
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		1		1		—		—
American Century VP Value Subaccount
Accumulation unit value at beginning of period*	$	9.125	$	7.723	$	10.700	$	11.445	$	9.785	$	9.451	$	8.386	$	6.597	$	7.659
Accumulation unit value at end of period	$	10.202	$	9.125	$	7.723	$	10.700	$	11.445	$	9.785	$	9.451	$	8.386	$	6.597
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		—
Credit Suisse Trust International Equity Flex III Subaccount (formerly Credit Suisse Trust-Emerging Markets Subaccount)
Accumulation unit value at beginning of period*	$	17.599	$	11.776	$	26.433	$	20.719	$	15.861	$	12.577	$	10.214	$	7.252	$	8.32
Accumulation unit value at end of period	$	19.469	$	17.599	$	11.776	$	26.433	$	20.719	$	15.861	$	12.577	$	10.214	$	7.252
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		1		1		1		1
Dreyfus IP MidCap Stock Subaccount
Accumulation unit value at beginning of period**	$	12.654	$	9.486	$	16.160	$	16.172	$	15.236	$	14.189	$	12.602	$	10		N/A
Accumulation unit value at end of period	$	15.835	$	12.654	$	9.486	$	16.160	$	16.172	$	15.236	$	14.189	$	12.602		N/A
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		N/A
Dreyfus Socially Responsible Growth Subaccount
Accumulation unit value at beginning of period*	$	24.38	$	18.491	$	28.608	$	26.929	$	25.016	$	24.493	$	23.396	$	18.836	$	26.895
Accumulation unit value at end of period	$	27.592	$	24.380	$	18.491	$	28.608	$	26.929	$	25.016	$	24.493	$	23.396	$	18.836
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		—
Dreyfus VIF Small Company Stock Subaccount*
Accumulation unit value at beginning of period**		N/A	$	17.218	$	17.218	$	17.218	$	15.744	$	15.848	$	13.605	$	10		N/A
Accumulation unit value at end of period		N/A		N/A		N/A		N/A	$	17.218	$	15.744	$	15.848	$	13.605		N/A
Number of accumulation units outstanding at end of period (000’s omitted)		N/A		N/A		N/A		N/A		—		—		—		—		N/A
DWS Bond VIP Subaccount (formerly Scudder Bond Subaccount)
Accumulation unit value at beginning of period*	$	7.981	$	7.356	$	8.967	$	8.733	$	8.46	$	8.365	$	8.053	$	7.776	$	7.328
Accumulation unit value at end of period	$	8.401	$	7.981	$	7.356	$	8.967	$	8.733	$	8.46	$	8.365	$	8.053	$	7.776
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		1
DWS Capital Growth VIP Subaccount (formerly Scudder Capital Growth Subaccount)
Accumulation unit value at beginning of period*	$	20.009	$	16.000	$	24.220	$	21.825	$	20.401	$	18.995	$	17.846	$	14.268	$	20.441
Accumulation unit value at end of period	$	23.018	$	20.009	$	16.000	$	24.220	$	21.825	$	20.401	$	18.995	$	17.846	$	14.268
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		—
DWS Growth & Income VIP Subaccount (formerly Scudder Growth and Income Subaccount)
Accumulation unit value at beginning of period****	$	10.012	$	7.572	$	12.452	$	12.465	$	11.129	$	10		N/A		N/A		N/A
Accumulation unit value at end of period	$	11.290	$	10.012	$	7.572	$	12.452	$	12.465	$	11.129		N/A		N/A		N/A
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		N/A		N/A		N/A
DWS International VIP Subaccount (formerly Scudder International Subaccount)
Accumulation unit value at beginning of period*	$	13.347	$	10.142	$	19.868	$	17.591	$	14.173	$	12.377	$	10.776	$	8.557	$	10.635
Accumulation unit value at end of period	$	13.370	$	13.347	$	10.142	$	19.868	$	17.591	$	14.173	$	12.377	$	10.776	$	8.557
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		0		0		0		1
DWS Balanced VIP Subaccount (formerly Scudder Total Return Subaccount)
Accumulation unit value at beginning of period*	$	6.829	$	5.613	$	7.836	$	7.583	$	6.978	$	6.787	$	6.448	$	5.547	$	6.634
Accumulation unit value at end of period	$	7.487	$	6.829	$	5.613	$	7.836	$	7.583	$	6.978	$	6.787	$	6.448	$	5.547
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		—
DWS Core Fixed Income VIP Subaccount (formerly Scudder Fixed Income Subaccount)
Accumulation unit value at beginning of period*	$	1.315	$	1.239	$	1.558	$	1.517	$	1.476	$	1.465	$	1.422	$	1.372	$	1.289
Accumulation unit value at end of period	$	1.381	$	1.315	$	1.239	$	1.558	$	1.517	$	1.476	$	1.465	$	1.422	$	1.372
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		—
DWS Diversified International Equity VIP Subaccount (formerly DWS International Select Equity VIP Subaccount)
Accumulation unit value at beginning of period*	$	2.036	$	1.597	$	3.165	$	2.751	$	2.223	$	1.969	$	1.69	$	1.32	$	1.548
Accumulation unit value at end of period	$	2.227	$	2.036	$	1.597	$	3.165	$	2.751	$	2.223	$	1.969	$	1.69	$	1.32
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		—
DWS Dreman Small Mid Cap Value VIP (formerly DWS Dreman Small Cap Value VIP Subaccount)
Accumulation unit value at beginning of period*	$	2.233	$	1.746	$	2.661	$	2.620	$	2.125	$	1.955	$	1.574	$	1.124	$	1.287
Accumulation unit value at end of period	$	2.709	$	2.233	$	1.746	$	2.661	$	2.62	$	2.125	$	1.955	$	1.574	$	1.124
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		7		7		7		11
DWS Government & Agency Securities VIP Subaccount (formerly Scudder Government & Agency Securities Subaccount)
Accumulation unit value at beginning of period*	$	2.694	$	2.529	$	2.445	$	2.341	$	2.28	$	2.255	$	2.205	$	2.188	$	2.054
Accumulation unit value at end of period	$	2.831	$	2.694	$	2.529	$	2.445	$	2.341	$	2.28	$	2.255	$	2.205	$	2.188
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		0		—
DWS High Income VIP Subaccount (formerly Scudder High Income Subaccount)
Accumulation unit value at beginning of period*	$	8.347	$	6.049	$	8.068	$	8.108	$	7.446	$	7.271	$	6.562	$	5.342	$	5.436
Accumulation unit value at end of period	$	9.380	$	8.347	$	6.049	$	8.068	$	8.108	$	7.446	$	7.271	$	6.562	$	5.342
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		1		1		1		—
DWS Large Cap Value VIP Subaccount (formerly Scudder Large Cap Value Subaccount)
Accumulation unit value at beginning of period*	$	2.114	$	1.711	$	2.729	$	2.447	$	2.151	$	2.14	$	1.972	$	1.509	$	1.801
Accumulation unit value at end of period	$	2.308	$	2.114	$	1.711	$	2.729	$	2.447	$	2.151	$	2.14	$	1.972	$	1.509
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		1		0
DWS Money Market VIP Subaccount (formerly Scudder Money Market Subaccount)
Accumulation unit value at beginning of period*	$	2.812	$	2.843	$	2.810	$	2.716	$	2.632	$	2.597	$	2.611	$	2.63	$	2.632
Accumulation unit value at end of period	$	2.772	$	2.812	$	2.843	$	2.810	$	2.716	$	2.632	$	2.597	$	2.611	$	2.63
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		—
DWS Small Mid-Cap Growth VIP Subaccount (formerly DWS Small Cap Growth Subaccount)
Accumulation unit value at beginning of period*	$	1.584	$	1.143	$	2.296	$	2.194	$	2.114	$	2.003	$	1.83	$	1.397	$	2.13
Accumulation unit value at end of period	$	2.021	$	1.584	$	1.143	$	2.296	$	2.194	$	2.114	$	2.003	$	1.83	$	1.397
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		—
DWS Technology VIP Subaccount (formerly Scudder Technology Growth Subaccount)*
Accumulation unit value at beginning of period*	$	0.819	$	0.518	$	0.977	$	0.867	$	0.873	$	0.854	$	0.85	$	0.588	$	0.926
Accumulation unit value at end of period	$	0.958	$	0.819	$	0.518	$	0.977	$	0.867	$	0.873	$	0.854	$	0.85	$	0.588
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		—
Fidelity VIP Asset ManagerSM Subaccount
Accumulation unit value at beginning of period*	$	26.847	$	21.095	$	30.023	$	26.372	$	24.929	$	24.306	$	23.381	$	20.106	$	22.348
Accumulation unit value at end of period	$	30.238	$	26.847	$	21.095	$	30.023	$	26.372	$	24.929	$	24.306	$	23.381	$	20.106
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		0		0		0		0

B-4

Subaccount	2010		2009		2008		2007		2006		2005		2004		2003		2002
Fidelity VIP Contrafund® Subaccount
Accumulation unit value at beginning of period*	$	36.302	$	27.138	$	47.894	$	41.322	$	37.523	$	32.552	$	28.599	$	22.585	$	25.276
Accumulation unit value at end of period	$	41.945	$	36.302	$	27.138	$	47.894	$	41.322	$	37.523	$	32.552	$	28.599	$	22.585
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		1		1		—		—
Fidelity VIP Equity-Income Subaccount
Accumulation unit value at beginning of period*	$	31.769	$	24.752	$	43.791	$	43.759	$	36.934	$	35.392	$	32.194	$	25.06	$	30.612
Accumulation unit value at end of period	$	36.059	$	31.769	$	24.752	$	43.791	$	43.759	$	36.934	$	35.392	$	32.194	$	25.06
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		0		0		—		—
Fidelity VIP Growth Subaccount
Accumulation unit value at beginning of period*	$	41.775	$	33.036	$	63.439	$	50.694	$	48.15	$	46.15	$	45.291	$	34.586	$	50.202
Accumulation unit value at end of period	$	51.133	$	41.775	$	33.036	$	63.439	$	50.694	$	48.13	$	46.15	$	45.291	$	34.586
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		0		0		0		0
Fidelity VIP Index 500 Subaccount
Accumulation unit value at beginning of period*	$	136.023	$	108.995	$	175.516	$	168.889	$	148.045	$	143.274	$	131.408	$	103.818	$	135.465
Accumulation unit value at end of period	$	154.223	$	136.023	$	108.995	$	175.516	$	168.889	$	148.045	$	143.274	$	131.408	$	103.818
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		0		0
Franklin Rising Dividends Securities Subaccount
Accumulation unit value at beginning of period**	$	12.491	$	10.799	$	15.029	$	15.669	$	13.572	$	13.312	$	12.167	$	10		N/A
Accumulation unit value at end of period	$	14.855	$	12.491	$	10.799	$	15.029	$	15.669	$	13.572	$	13.312	$	12.167		N/A
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		N/A
Franklin Small Cap Value Securities Subaccount
Accumulation unit value at beginning of period**	$	16.111	$	12.655	$	19.167	$	19.921	$	17.275	$	16.112	$	13.21	$	10		N/A
Accumulation unit value at end of period	$	20.363	$	16.111	$	12.655	$	19.167	$	19.921	$	17.275	$	16.112	$	13.21		N/A
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		N/A
Franklin Strategic Income Securities Subaccount
Accumulation unit value at beginning of period**	$	14.238	$	11.487	$	13.128	$	12.576	$	11.787	$	11.785	$	10.89	$	10		N/A
Accumulation unit value at end of period	$	15.566	$	14.238	$	11.487	$	13.128	$	12.576	$	11.787	$	11.785	$	10.89		N/A
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		N/A
Franklin U.S. Government Subaccount
Accumulation unit value at beginning of period**	$	11.942	$	11.752	$	11.081	$	10.546	$	10.285	$	10.189	$	9.99	$	10		N/A
Accumulation unit value at end of period	$	12.394	$	11.942	$	11.752	$	11.081	$	10.546	$	10.285	$	10.189	$	9.99		N/A
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		N/A
Franklin Zero Coupon 2010 Subaccount
Accumulation unit value at beginning of period**	$	11.539	$	11.688	$	11.058	$	10.349	$	10.254	$	10.266	$	9.971	$	10		N/A
Accumulation unit value at end of period		N/A	$	11.539	$	11.688	$	11.058	$	10.349	$	10.254	$	10.266	$	9.971		N/A
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		N/A
Mutal Global Discovery Securities Subaccount (formerly Mutual Discovery Securities Subaccount)
Accumulation unit value at beginning of period**	$	18.917	$	15.563	$	22.068	$	20.018	$	16.503	$	14.436	$	12.392	$	10		N/A
Accumulation unit value at end of period	$	20.877	$	18.917	$	15.563	$	22.068	$	20.018	$	16.503	$	14.436	$	12.392		N/A
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		N/A
Mutual Shares Securities Subaccount
Accumulation unit value at beginning of period**	$	13.294	$	10.699	$	17.260	$	16.922	$	14.502	$	13.307	$	11.986	$	10		N/A
Accumulation unit value at end of period	$	14.571	$	13.294	$	10.699	$	17.260	$	16.922	$	14.502	$	13.307	$	11.986		N/A
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		N/A
Templeton Developing Markets Securities Subaccount
Accumulation unit value at beginning of period**	$	28.408	$	16.698	$	35.819	$	28.219	$	22.349	$	17.792	$	14.474	$	10		N/A
Accumulation unit value at end of period	$	32.926	$	28.408	$	16.698	$	35.819	$	28.219	$	22.349	$	17.792	$	14.474		N/A
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		N/A
ING JPMorgan Emerging Markets Equity Subaccount
Accumulation unit value at beginning of period+++	$	21.97	$	12.958	$	26.912	$	19.671	$	14.653	$	10		N/A		N/A		N/A
Accumulation unit value at end of period	$	26.125	$	21.970	$	12.958	$	26.912	$	19.671	$	14.653		N/A		N/A		N/A
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		1		N/A		N/A		N/A
ING VP Emerging Markets Subaccount
Accumulation unit value at beginning of period*		N/A		N/A		N/A		N/A		N/A	$	8.129	$	6.776	$	4.67	$	5.225
Accumulation unit value at end of period++		N/A		N/A		N/A		N/A		N/A		N/A	$	8.129	$	6.776	$	4.67
Number of accumulation units outstanding at end of period (000’s omitted)		N/A		N/A		N/A		N/A		N/A		N/A		1		1		1

B-5

Subaccount	2010		2009		2008		2007		2006		2005		2004		2003		2002
ING VP Natural Resources Trust Subaccount
Accumulation unit value at beginning of period*		N/A		N/A		N/A	$	30.215	$	25.18	$	17.881	$	16.102	$	12.515	$	12.968
Accumulation unit value at end of period		N/A		N/A		N/A		N/A	$	30.215	$	25.18	$	17.881	$	16.102	$	12.515
Number of accumulation units outstanding at end of period (000’s omitted)		N/A		N/A		N/A		N/A		—		—		—		—		0
ING VP Global Resources Portfolio Subaccount
Accumulation unit value at beginning of period*	$	11.210	$	8.270	$	14.221		N/A		N/A		N/A		N/A		N/A		N/A
Accumulation unit value at end of period	$	13.442	$	11.210	$	8.270	$	14.221		N/A		N/A		N/A		N/A		N/A
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		N/A		N/A		N/A		N/A		N/A
Invesco V.I. Financial Services Subaccount (formerly AIM V.I. Financial Services Subaccount)
Accumulation unit value at beginning of period**	$	6.037	$	4.806	$	12.023	$	15.682	$	13.663	$	13.087	$	12.217	$	10		N/A
Accumulation unit value at end of period	$	6.564	$	6.037	$	4.806	$	12.023	$	15.682	$	13.663	$	13.087	$	12.217		N/A
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		N/A
Invesco V.I. Global Health Care Subaccount (formerly AIM V.I. Global Health Care Subaccount )
Accumulation unit value at beginning of period**	$	13.55	$	10.767	$	15.303	$	13.881	$	13.381	$	12.552	$	11.838	$	10		N/A
Accumulation unit value at end of period	$	14.064	$	13.550	$	10.767	$	15.303	$	13.881	$	13.381	$	12.552	$	11.838		N/A
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		N/A
Invesco V.I. Real Estate Subaccount (formerly AIM V.I. Real Estate Subaccount)
Accumulation unit value at beginning of period**	$	18.351	$	14.155	$	25.943	$	27.865	$	19.823	$	17.604	$	13.076	$	10		N/A
Accumulation unit value at end of period	$	21.257	$	18.351	$	14.155	$	25.943	$	27.865	$	19.823	$	17.604	$	13.076		N/A
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		N/A
Invesco V.I. Utilities Subaccount (formerly AIM V.I. Utilities Subaccount)
Accumulation unit value at beginning of period**	$	18.226	$	16.088	$	24.128	$	20.291	$	16.407	$	14.246	$	11.698	$	10		N/A
Accumulation unit value at end of period	$	19.097	$	18.226	$	16.088	$	24.128	$	20.291	$	16.407	$	14.246	$	11.698		N/A
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		N/A
JPMorgan Insurance Trust Equity Index Subaccount (formerly JPMorgan Investment Trust Equity Index Subaccount)
Accumulation unit value at beginning of period***	$	10.39	$	8.336	$	13.469	$	13.002	$	11.428	$	11.099	$	10.244		N/A		N/A
Accumulation unit value at end of period	$	11.717	$	10.390	$	8.336	$	13.469	$	13.002	$	11.428	$	11.099		N/A		N/A
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		N/A		N/A
JPMorgan Insurance Trust U.S. Equity Subaccount (JPMorgan Insurance Trust Diversified Equity Subaccount (formerly JPMorgan Investment Trust Diversified Equity Subaccount)
Accumulation unit value at beginning of period***	$	11.471	$	8.705	$	13.545	$	12.442	$	10.867	$	10.774	$	10.055		N/A		N/A
Accumulation unit value at end of period	$	12.842	$	11.471	$	8.705	$	13.545	$	12.442	$	10.867	$	10.774		N/A		N/A
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		N/A		N/A
JPMorgan Insurance Trust Diversified Mid Cap Growth Subaccount (formerly JPMorgan Investment Trust Mid Cap Growth Subaccount)
Accumulation unit value at beginning of period***	$	12.176	$	8.635	$	15.585	$	13.487	$	12.283	$	11.216	$	10.401		N/A		N/A
Accumulation unit value at end of period	$	15.078	$	12.176	$	8.635	$	15.585	$	13.487	$	12.283	$	11.216		N/A		N/A
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		N/A		N/A
JPMorgan Insurance Trust Intrepid Mid Cap Subaccount (formerly JPMorgan Investment Trust Diversified Mid Cap Subaccount)
Accumulation unit value at beginning of period***	$	12.124	$	9.067	$	15.034	$	14.828	$	13.181	$	11.42	$	10.096		N/A		N/A
Accumulation unit value at end of period	$	14.284	$	12.124	$	9.067	$	15.034	$	14.828	$	13.181	$	11.42		N/A		N/A
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		N/A		N/A
JPMorgan Insurance Trust Diversified Mid Cap Value Subaccount (formerly JPMorgan Investment Trust Mid Cap Value Subaccount)
Accumulation unit value at beginning of period***	$	11.443	$	9.077	$	14.273	$	14.350	$	12.472	$	11.528	$	10.277		N/A		N/A
Accumulation unit value at end of period	$	13.925	$	11.443	$	9.077	$	14.273	$	14.35	$	12.472	$	11.528		N/A		N/A
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		N/A		N/A
JPMorgan Insurance Trust International Equity Subaccount
Accumulation unit value at beginning of period***	$	16.820		N/A		N/A		N/A		N/A		N/A		N/A		N/A		N/A
Accumulation unit value at end of period	$	17.767	$	16.820		N/A		N/A		N/A		N/A		N/A		N/A		N/A
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		N/A		N/A		N/A		N/A		N/A		N/A		N/A
JPMorgan Insurance Trust Small Cap Core Subaccount
Accumulation unit value at beginning of period***	$	15.214		N/A		N/A		N/A		N/A		N/A		N/A		N/A		N/A
Accumulation unit value at end of period	$	19.065	$	15.214		N/A		N/A		N/A		N/A		N/A		N/A		N/A
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		N/A		N/A		N/A		N/A		N/A		N/A		N/A
JPMorgan International Equity Subaccount
Accumulation unit value at beginning of period**		N/A	$	12.648	$	21.880	$	20.304	$	16.878	$	15.468	$	13.257	$	10		N/A
Accumulation unit value at end of period		N/A		N/A	$	12.648	$	21.880	$	20.304	$	16.878	$	15.468	$	13.257		N/A
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		N/A
JPMorgan Mid Cap Value Subaccount
Accumulation unit value at beginning of period**		N/A	$	12.109	$	18.393	$	18.214	$	15.814	$	14.69	$	12.311	$	10		N/A
Accumulation unit value at end of period		N/A		N/A	$	12.109	$	18.393	$	18.214	$	15.814	$	14.69	$	12.311		N/A
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		0		0		—		N/A
JPMorgan Small Company Subaccount
Accumulation unit value at beginning of period*		N/A	$	12.592	$	18.782	$	20.202	$	17.82	$	17.48	$	13.945	$	10.404	$	13.472
Accumulation unit value at end of period		N/A		N/A	$	12.592	$	18.782	$	20.202	$	17.82	$	17.48	$	13.945	$	10.404
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		—
Janus Aspen Balanced Subaccount
Accumulation unit value at beginning of period*	$	39.318	$	31.685	$	38.195	$	35.058	$	32.122	$	30.186	$	28.219	$	25.101	$	27.22
Accumulation unit value at end of period	$	42.006	$	39.318	$	31.685	$	38.195	$	35.058	$	32.122	$	30.186	$	28.219	$	25.101
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		—
Janus Aspen Enterprise Subaccount (formerly Janus Aspen Mid Cap Growth Subaccount)
Accumulation unit value at beginning of period*	$	31.984	$	22.405	$	40.389	$	33.577	$	29.982	$	27.082	$	22.755	$	17.087	$	24.055
Accumulation unit value at end of period	$	39.677	$	31.984	$	22.405	$	40.389	$	33.577	$	29.982	$	27.082	$	22.755	$	17.087
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		—
Janus Aspen Janus Subaccount (formerly Janus Aspen Large Cap Growth Subaccount)
Accumulation unit value at beginning of period*	$	22.846	$	16.998	$	28.609	$	25.219	$	22.971	$	22.345	$	21.69	$	16.704	$	23.059
Accumulation unit value at end of period	$	25.789	$	22.846	$	16.998	$	28.609	$	25.219	$	22.971	$	22.345	$	21.69	$	16.704
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		1		1		1		—
Janus Aspen Mid Cap Value Subaccount
Accumulation unit value at beginning of period**	$	18.790	$	14.341	$	20.178	$	19.103	$	16.842	$	15.532	$	13.377	$	10		N/A
Accumulation unit value at end of period	$	21.367	$	18.790	$	14.341	$	20.178	$	19.103	$	16.842	$	15.532	$	13.377		N/A
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		N/A
Janus Aspen Small Company Value Subaccount
Accumulation unit value at beginning of period**		N/A	$	11.190	$	17.716	$	19.144	$	15.936	$	15.63	$	13.43	$	10		N/A
Accumulation unit value at end of period		N/A		N/A	$	11.190	$	17.716	$	19.144	$	15.936	$	15.63	$	13.43		N/A
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		N/A
Janus Aspen Worldwide Subaccount (formerly Janus Aspen Worldwide Growth Subaccount)
Accumulation unit value at beginning of period*	$	27.894	$	20.551	$	37.676	$	34.868	$	29.925	$	28.676	$	27.766	$	22.718	$	30.937
Accumulation unit value at end of period	$	31.849	$	27.894	$	20.551	$	37.676	$	34.868	$	29.925	$	28.676	$	27.766	$	22.718
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		0		0
Oppenheimer Capital Appreciation Subaccount
Accumulation unit value at beginning of period**	$	12.124	$	8.532	$	15.930	$	14.195	$	13.373	$	12.937	$	12.311	$	10		N/A
Accumulation unit value at end of period	$	14.284	$	12.124	$	8.532	$	15.930	$	14.195	$	13.373	$	12.937	$	12.311		N/A
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		N/A
Oppenheimer Global Securities Subaccount
Accumulation unit value at beginning of period**	$	18.209	$	13.256	$	22.538	$	21.556	$	18.632	$	16.572	$	14.143	$	10		N/A
Accumulation unit value at end of period	$	20.767	$	18.209	$	13.256	$	22.538	$	21.556	$	18.632	$	16.572	$	14.143		N/A
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		1		1		—		N/A
Oppenheimer High Income Subaccount
Accumulation unit value at beginning of period**	$	3.302	$	2.660	$	12.595	$	12.839	$	11.924	$	11.859	$	11.065	$	10		N/A
Accumulation unit value at end of period	$	3.725	$	3.302	$	2.660	$	12.595	$	12.839	$	11.924	$	11.859	$	11.065		N/A
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		N/A

B-6

Subaccount	2010		2009		2008		2007		2006		2005		2004		2003		2002
Oppenheimer Main Street Subaccount
Accumulation unit value at beginning of period**	$	12.022	$	9.528	$	15.751	$	15.343	$	13.563	$	13.013	$	12.096	$	10		N/A
Accumulation unit value at end of period	$	13.725	$	12.022	$	9.528	$	15.751	$	15.343	$	13.563	$	13.013	$	12.096		N/A
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		N/A
Oppenheimer Main Street Small Cap Subaccount
Accumulation unit value at beginning of period**	$	15.777	$	11.693	$	19.135	$	19.688	$	17.419	$	16.106	$	13.711	$	10		N/A
Accumulation unit value at end of period	$	19.137	$	15.777	$	11.693	$	19.135	$	19.688	$	17.419	$	16.106	$	13.711		N/A
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		0		0		—		N/A
Oppenheimer Small- & Mid-Cap Growth Subaccount (formerly Oppenheimer MidCap Growth Subaccount) (formerly Oppenheimer Aggressive Growth Subaccount)
Accumulation unit value at beginning of period**	$	10.771	$	8.262	$	16.504	$	15.791	$	15.599	$	14.131	$	12.004	$	10		N/A
Accumulation unit value at end of period	$	13.501	$	10.771	$	8.262	$	16.504	$	15.791	$	15.599	$	14.131	$	12.004		N/A
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		N/A
Oppenheimer Global Strategic Income Subaccount (formerly Oppenheimer Strategic Bond Subaccount)
Accumulation unit value at beginning of period**	$	13.107	$	11.229	$	13.322	$	12.338	$	11.672	$	11.554	$	10.81	$	10		N/A
Accumulation unit value at end of period	$	14.828	$	13.107	$	11.229	$	13.322	$	12.338	$	11.672	$	11.554	$	10.81		N/A
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		N/A
Scudder Growth Subaccount
Accumulation unit value at beginning of period*		N/A		N/A		N/A		N/A		N/A	$	5.095	$	4.916	$	3.999	$	5.748
Accumulation unit value at end of period+		N/A		N/A		N/A		N/A		N/A		N/A	$	5.095	$	4.916	$	3.999
Number of accumulation units outstanding at end of period (000’s omitted)		N/A		N/A		N/A		N/A		N/A		N/A		—		—		—
SVS Focus Value + Growth Subaccount
Accumulation unit value at beginning of period*		N/A		N/A		N/A		N/A		N/A	$	1.614	$	1.471	$	1.125	$	1.539
Accumulation unit value at end of period+		N/A		N/A		N/A		N/A		N/A		N/A	$	1.614	$	1.471	$	1.125
Number of accumulation units outstanding at end of period (000’s omitted)		N/A		N/A		N/A		N/A		N/A		N/A		—		—		—

B-7

Additional Contract Options Elected (0.30%)

Guaranteed Retirement Income Benefit—10 year

(Separate Account Charges of 1.60% of the Daily Net Assets of the Separate Account)

Tax Qualified Periodic Payment Contracts—1.60%

Subaccount	2010		2009		2008		2007		2006		2005		2004		2003		2002
Alger Large Cap Growth Subaccount (formerly Alger American LargeCap Growth Subaccount)(formerly Alger American Growth Subaccount)
Accumulation unit value at beginning of period*	$	48.790	$	33.591	$	63.385	$	53.695	$	51.88	$	47.046	$	45.311	$	34.059	$	51.643
Accumulation unit value at end of period	$	54.451	$	48.790	$	33.591	$	63.385	$	53.695	$	51.88	$	47.046	$	45.311	$	34.059
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		—
Alger Small Cap Subaccount (formerly Alger American Small Cap Subaccount)
Accumulation unit value at beginning of period*	$	29.429	$	19.709	$	48.088	$	37.140	$	34.259	$	31.692	$	28.485	$	19.581	$	28.237
Accumulation unit value at end of period	$	34.580	$	29.429	$	19.709	$	48.088	$	37.14	$	34.259	$	31.692	$	28.485	$	19.581
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		—
Alger Small Capitalization Subaccount (formerly Alger American Small Capitalization Subaccount)
Accumulation unit value at beginning of period*	$	43.038	$	30.051	$	57.180	$	49.555	$	41.949	$	36.463	$	31.781	$	22.684	$	31.24
Accumulation unit value at end of period	$	53.075	$	43.038	$	30.051	$	57.180	$	49.555	$	41.949	$	36.463	$	31.781	$	22.684
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		—
American Century VP Income & Growth Subaccount
Accumulation unit value at beginning of period*	$	6.210	$	5.343	$	8.298	$	8.438	$	7.321	$	7.109	$	6.392	$	5.021	$	6.327
Accumulation unit value at end of period	$	6.977	$	6.210	$	5.343	$	8.298	$	8.438	$	7.321	$	7.109	$	6.392	$	5.021
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		—
American Century VP Value Subaccount
Accumulation unit value at beginning of period*	$	9.014	$	7.641	$	10.602	$	11.356	$	9.723	$	9.405	$	8.358	$	6.585	$	7.656
Accumulation unit value at end of period	$	10.063	$	9.014	$	7.641	$	10.602	$	11.356	$	9.723	$	9.405	$	8.358	$	6.585
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		—
Credit Suisse Trust International Equity Flex III Subaccount (formerly Credit Suisse Trust-Emerging Markets Subaccount)
Accumulation unit value at beginning of period*	$	17.385	$	11.650	$	26.190	$	20.559	$	15.762	$	12.517	$	10.18	$	7.239	$	8.316
Accumulation unit value at end of period	$	19.205	$	17.385	$	11.650	$	26.190	$	20.559	$	15.762	$	12.517	$	10.18	$	7.239
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		—
Dreyfus IP MidCap Stock Subaccount
Accumulation unit value at beginning of period**	$	12.530	$	9.407	$	16.049	$	16.084	$	15.176	$	14.154	$	12.589	$	10		N/A
Accumulation unit value at end of period	$	15.656	$	12.530	$	9.407	$	16.049	$	16.084	$	15.176	$	14.154	$	12.589		N/A
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		N/A
Dreyfus Socially Responsible Growth Subaccount
Accumulation unit value at beginning of period*	$	24.084	$	18.294	$	28.345	$	26.720	$	24.859	$	24.375	$	23.318	$	18.801	$	26.885
Accumulation unit value at end of period	$	27.217	$	24.084	$	18.294	$	28.345	$	26.72	$	24.859	$	24.375	$	23.318	$	18.801
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		—
Dreyfus VIF Small Company Stock Subaccount*
Accumulation unit value at beginning of period**		N/A		N/A		N/A	$	17.125	$	15.682	$	15.809	$	13.592	$	10		N/A
Accumulation unit value at end of period		N/A		N/A		N/A		N/A	$	17.125	$	15.682	$	15.809	$	13.592		N/A
Number of accumulation units outstanding at end of period (000’s omitted)		N/A		N/A		N/A		N/A		—		—		—		—		N/A
DWS Bond VIP Subaccount (formerly Scudder Bond Subaccount)
Accumulation unit value at beginning of period*	$	7.884	$	7.278	$	8.884	$	8.665	$	8.407	$	8.324	$	8.026	$	7.762	$	7.325
Accumulation unit value at end of period	$	8.287	$	7.884	$	7.278	$	8.884	$	8.665	$	8.407	$	8.324	$	8.026	$	7.762
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		—
DWS Capital Growth VIP Subaccount (formerly Scudder Capital Growth Subaccount)
Accumulation unit value at beginning of period*	$	19.766	$	15.529	$	23.997	$	21.657	$	20.273	$	18.903	$	17.786	$	14.241	$	20.433
Accumulation unit value at end of period	$	22.705	$	19.766	$	15.529	$	23.997	$	21.657	$	20.273	$	18.903	$	17.786	$	14.241
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		—
DWS Growth & Income VIP Subaccount (formerly Scudder Growth and Income Subaccount)
Accumulation unit value at beginning of period****	$	9.943	$	7.531	$	12.403	$	12.434	$	11.118	$	10		N/A		N/A		N/A
Accumulation unit value at end of period	$	11.195	$	9.943	$	7.531	$	12.403	$	12.434	$	11.118		N/A		N/A		N/A
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		N/A		N/A		N/A
DWS International VIP Subaccount (formerly Scudder International Subaccount)
Accumulation unit value at beginning of period*	$	13.185	$	10.033	$	19.685	$	17.455	$	14.084	$	12.318	$	10.74	$	8.541	$	10.631
Accumulation unit value at end of period	$	13.189	$	13.185	$	10.033	$	19.685	$	17.455	$	14.084	$	12.318	$	10.74	$	8.541
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		—
DWS Balanced VIP Subaccount (formerly Scudder Total Return Subaccount)
Accumulation unit value at beginning of period*	$	7.240	$	5.960	$	8.333	$	8.076	$	7.442	$	7.25	$	6.898	$	5.942	$	7.117
Accumulation unit value at end of period	$	7.926	$	7.240	$	5.960	$	8.333	$	8.076	$	7.442	$	7.25	$	6.898	$	5.942
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		—
DWS Core Fixed Income VIP Subaccount (formerly Scudder Fixed Income Subaccount)
Accumulation unit value at beginning of period*	$	1.299	$	1.225	$	1.543	$	1.505	$	1.467	$	1.458	$	1.417	$	1.369	$	1.288
Accumulation unit value at end of period	$	1.362	$	1.299	$	1.225	$	1.543	$	1.505	$	1.467	$	1.458	$	1.417	$	1.369
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		—
DWS Diversified International Equity VIP Subaccount (formerly DWS International Select Equity VIP Subaccount)
Accumulation unit value at beginning of period*	$	2.012	$	1.580	$	3.136	$	2.730	$	2.209	$	1.96	$	1.684	$	1.318	$	1.548
Accumulation unit value at end of period	$	2.196	$	2.012	$	1.580	$	3.136	$	2.73	$	2.209	$	1.96	$	1.684	$	1.318
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		—
DWS Dreman Small Mid Cap Value VIP (formerly DWS Dreman Small Cap Value VIP Subaccount)
Accumulation unit value at beginning of period*	$	2.206	$	1.728	$	2.637	$	2.599	$	2.112	$	1.946	$	1.569	$	1.122	$	1.286
Accumulation unit value at end of period	$	2.672	$	2.206	$	1.728	$	2.637	$	2.599	$	2.112	$	1.946	$	1.569	$	1.122
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		—

B-8

Subaccount	2010		2009		2008		2007		2006		2005		2004		2003		2002
DWS Government & Agency Securities VIP Subaccount (formerly Scudder Government & Agency Securities Subaccount)
Accumulation unit value at beginning of period*	$	2.661	$	2.502	$	2.422	$	2.323	$	2.266	$	2.244	$	2.198	$	2.184	$	2.053
Accumulation unit value at end of period	$	2.793	$	2.661	$	2.502	$	2.422	$	2.323	$	2.266	$	2.244	$	2.198	$	2.184
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		—
DWS High Income VIP Subaccount (formerly Scudder High Income Subaccount)
Accumulation unit value at beginning of period*	$	8.464	$	6.143	$	8.206	$	8.259	$	7.595	$	7.428	$	6.714	$	5.473	$	5.578
Accumulation unit value at end of period	$	9.497	$	8.464	$	6.143	$	8.206	$	8.259	$	7.595	$	7.428	$	6.714	$	5.473
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		—
DWS Large Cap Value VIP Subaccount (formerly Scudder Large Cap Value Subaccount)
Accumulation unit value at beginning of period*	$	2.089	$	1.693	$	2.704	$	2.428	$	2.137	$	2.13	$	1.966	$	1.506	$	1.8
Accumulation unit value at end of period	$	2.277	$	2.089	$	1.693	$	2.704	$	2.428	$	2.137	$	2.13	$	1.966	$	1.506
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		—
DWS Money Market VIP Subaccount (formerly Scudder Money Market Subaccount)
Accumulation unit value at beginning of period*	$	2.777	$	2.812	$	2.784	$	2.695	$	2.616	$	2.585	$	2.603	$	2.625	$	2.631
Accumulation unit value at end of period	$	2.734	$	2.777	$	2.812	$	2.784	$	2.695	$	2.616	$	2.585	$	2.603	$	2.625
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		—
DWS Small Mid-Cap Growth VIP Subaccount (formerly DWS Small Cap Growth Subaccount)
Accumulation unit value at beginning of period*	$	1.565	$	1.131	$	2.275	$	2.177	$	2.101	$	1.993	$	1.824	$	1.394	$	2.129
Accumulation unit value at end of period	$	1.994	$	1.565	$	1.131	$	2.275	$	2.177	$	2.101	$	1.993	$	1.824	$	1.394
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		—
DWS Technology VIP Subaccount (formerly Scudder Technology Growth Subaccount)*
Accumulation unit value at beginning of period*	$	0.809	$	0.512	$	0.968	$	0.861	$	0.868	$	0.85	$	0.847	$	0.587	$	0.925
Accumulation unit value at end of period	$	0.945	$	0.809	$	0.512	$	0.968	$	0.861	$	0.868	$	0.85	$	0.847	$	0.587
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		—
Fidelity VIP Asset ManagerSM Subaccount
Accumulation unit value at beginning of period*	$	26.521	$	20.869	$	29.746	$	26.168	$	24.773	$	24.19	$	23.303	$	20.069	$	22.34
Accumulation unit value at end of period	$	29.827	$	26.521	$	20.869	$	29.746	$	26.168	$	24.773	$	24.19	$	23.303	$	20.069
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		—
Fidelity VIP Contrafund® Subaccount
Accumulation unit value at beginning of period*	$	35.862	$	26.848	$	47.453	$	41.003	$	37.288	$	32.396	$	28.504	$	22.543	$	25.266
Accumulation unit value at end of period	$	41.375	$	35.862	$	26.848	$	47.453	$	41.003	$	37.288	$	32.396	$	28.504	$	22.543
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		—
Fidelity VIP Equity-Income Subaccount
Accumulation unit value at beginning of period*	$	31.383	$	24.488	$	43.387	$	43.421	$	36.702	$	5.222	$	32.087	$	25.013	$	30.6
Accumulation unit value at end of period	$	35.569	$	31.383	$	24.488	$	43.387	$	43.421	$	36.702	$	35.222	$	32.087	$	25.013
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		—
Fidelity VIP Growth Subaccount
Accumulation unit value at beginning of period*	$	41.268	$	32.684	$	62.855	$	50.302	$	47.829	$	45.928	$	45.14	$	34.522	$	50.183
Accumulation unit value at end of period	$	50.438	$	41.268	$	32.684	$	62.855	$	50.302	$	47.829	$	45.928	$	45.14	$	34.522
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		—
Fidelity VIP Index 500 Subaccount
Accumulation unit value at beginning of period*	$	134.372	$	107.832	$	173.900	$	167.582	$	147.116	$	142.585	$	130.97	$	103.625	$	135.413
Accumulation unit value at end of period	$	152.126	$	134.372	$	107.832	$	173.900	$	167.582	$	147.116	$	142.585	$	130.97	$	103.625
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		—
Franklin Rising Dividends Securities Subaccount
Accumulation unit value at beginning of period**	$	12.369	$	10.709	$	14.926	$	15.585	$	13.519	$	13.279	$	12.155	$	10		N/A
Accumulation unit value at end of period	$	14.688	$	12.369	$	10.709	$	14.926	$	15.585	$	13.519	$	13.279	$	12.155		N/A
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		N/A
Franklin Small Cap Value Securities Subaccount
Accumulation unit value at beginning of period**	$	15.953	$	12.549	$	19.035	$	19.813	$	17.207	$	16.073	$	13.197	$	10		N/A
Accumulation unit value at end of period	$	20.133	$	15.953	$	12.549	$	19.035	$	19.813	$	17.207	$	16.073	$	13.197		N/A
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		N/A
Franklin Strategic Income Securities Subaccount
Accumulation unit value at beginning of period**	$	14.098	$	11.391	$	13.038	$	12.508	$	11.74	$	11.756	$	10.879	$	10		N/A
Accumulation unit value at end of period	$	15.391	$	14.098	$	11.391	$	13.038	$	12.508	$	11.74	$	11.756	$	10.879		N/A
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		N/A
Franklin U.S. Government Subaccount
Accumulation unit value at beginning of period**	$	11.825	$	11.645	$	11.005	$	10.489	$	10.245	$	10.164	$	9.98	$	10		N/A
Accumulation unit value at end of period	$	12.254	$	11.825	$	11.645	$	11.005	$	10.489	$	10.245	$	10.164	$	9.98		N/A
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		N/A
Franklin Zero Coupon 2010 Subaccount
Accumulation unit value at beginning of period**	$	11.426	$	11.591	$	10.982	$	10.293	$	10.213	$	10.241	$	9.961	$	10		N/A
Accumulation unit value at end of period		N/A	$	11.426	$	11.591	$	10.982	$	10.293	$	10.213	$	10.241	$	9.961		N/A
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		N/A
Mutal Global Discovery Securities Subaccount (formerly Mutual Discovery Securities Subaccount)
Accumulation unit value at beginning of period**	$	18.731	$	15.433	$	21.916	$	19.910	$	16.438	$	14.401	$	12.379	$	10		N/A
Accumulation unit value at end of period	$	20.641	$	18.731	$	15.433	$	21.916	$	19.91	$	16.438	$	14.401	$	12.379		N/A
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		N/A
Mutual Shares Securities Subaccount
Accumulation unit value at beginning of period**	$	13.163	$	10.610	$	17.141	$	16.831	$	14.445	$	13.274	$	11.974	$	10		N/A
Accumulation unit value at end of period	$	14.406	$	13.163	$	10.610	$	17.141	$	16.831	$	14.445	$	13.274	$	11.974		N/A
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		N/A
Templeton Developing Markets Securities Subaccount
Accumulation unit value at beginning of period**	$	28.129	$	16.559	$	35.573	$	28.066	$	22.261	$	17.748	$	14.46	$	10		N/A
Accumulation unit value at end of period	$	32.555	$	28.129	$	16.559	$	35.573	$	28.066	$	22.261	$	17.748	$	14.46		N/A
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		N/A
ING JPMorgan Emerging Markets Equity Subaccount
Accumulation unit value at beginning of period+++	$	21.838	$	12.899	$	26.830	$	19.639	$	14.652	$	10		N/A		N/A		N/A
Accumulation unit value at end of period	$	25.929	$	21.838	$	12.899	$	26.830	$	19.639	$	14.652		N/A		N/A		N/A
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		N/A		N/A		N/A
ING VP Emerging Markets Subaccount
Accumulation unit value at beginning of period*		N/A		N/A		N/A		N/A		N/A	$	8.089	$	6.753	$	4.661	$	5.223
Accumulation unit value at end of period++		N/A		N/A		N/A		N/A		N/A		N/A	$	8.089	$	6.753	$	4.661
Number of accumulation units outstanding at end of period (000’s omitted)		N/A		N/A		N/A		N/A		N/A		N/A		—		—		—
ING VP Natural Resources Trust Subaccount
Accumulation unit value at beginning of period*		N/A		N/A		N/A	$	29.981	$	25.022	$	17.795	$	16.048	$	12.491	$	12.963
Accumulation unit value at end of period		N/A		N/A		N/A		N/A	$	29.981	$	25.022	$	17.795	$	16.048	$	12.491
Number of accumulation units outstanding at end of period (000’s omitted)		N/A		N/A		N/A		N/A		—		—		—		—		—

B-9

Subaccount	2010		2009		2008		2007		2006		2005		2004		2003		2002
ING VP Global Resources Portfolio Subaccount
Accumulation unit value at beginning of period*	$	11.161	$	8.246	$	14.201		N/A		N/A		N/A		N/A		N/A		N/A
Accumulation unit value at end of period	$	13.363	$	11.161	$	8.246	$	14.201		N/A		N/A		N/A		N/A		N/A
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		N/A		N/A		N/A		N/A		N/A
Invesco V.I. Financial Services Subaccount (formerly AIM V.I. Financial Services Subaccount)
Accumulation unit value at beginning of period**	$	5.977	$	4.766	$	11.940	$	15.598	$	13.609	$	13.055	$	12.205	$	10		N/A
Accumulation unit value at end of period	$	6.490	$	5.977	$	4.766	$	11.940	$	15.598	$	13.609	$	13.055	$	12.205		N/A
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		N/A
Invesco V.I. Global Health Care Subaccount (formerly AIM V.I. Global Health Care Subaccount )
Accumulation unit value at beginning of period**	$	13.417	$	10.677	$	15.198	$	13.806	$	13.328	$	12.521	$	11.826	$	10		N/A
Accumulation unit value at end of period	$	13.905	$	13.417	$	10.677	$	15.198	$	13.806	$	13.328	$	12.521	$	11.826		N/A
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		N/A
Invesco V.I. Real Estate Subaccount (formerly AIM V.I. Real Estate Subaccount)
Accumulation unit value at beginning of period**	$	18.171	$	14.037	$	25.765	$	27.715	$	19.745	$	17.561	$	13.063	$	10		N/A
Accumulation unit value at end of period	$	21.017	$	18.171	$	14.037	$	25.765	$	27.715	$	19.745	$	17.561	$	13.063		N/A
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		N/A
Invesco V.I. Utilities Subaccount (formerly AIM V.I. Utilities Subaccount)
Accumulation unit value at beginning of period**	$	18.047	$	15.954	$	23.963	$	20.182	$	16.343	$	14.211	$	11.686	$	10		N/A
Accumulation unit value at end of period	$	18.882	$	18.047	$	15.954	$	23.963	$	20.182	$	16.343	$	14.211	$	11.686		N/A
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		N/A
JPMorgan Insurance Trust Equity Index Subaccount (formerly JPMorgan Investment Trust Equity Index Subaccount)
Accumulation unit value at beginning of period***	$	10.297	$	8.274	$	13.388	$	12.944	$	11.394	$	11.082	$	10.238		N/A		N/A
Accumulation unit value at end of period	$	11.595	$	10.297	$	8.274	$	13.388	$	12.944	$	11.394	$	11.082		N/A		N/A
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		N/A		N/A
JPMorgan Insurance Trust U.S. Equity Subaccount (JPMorgan Insurance Trust Diversified Equity Subaccount (formerly JPMorgan Investment Trust Diversified Equity Subaccount)
Accumulation unit value at beginning of period***	$	11.369	$	8.640	$	13.464	$	12.387	$	10.835	$	10.757	$	10.049		N/A		N/A
Accumulation unit value at end of period	$	12.709	$	11.369	$	8.640	$	13.464	$	12.387	$	10.835	$	10.757		N/A		N/A
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		N/A		N/A
JPMorgan Insurance Trust Diversified Mid Cap Growth Subaccount (formerly JPMorgan Investment Trust Mid Cap Growth Subaccount)
Accumulation unit value at beginning of period***	$	12.067	$	8.571	$	15.492	$	13.427	$	12.246	$	11.199	$	10.395		N/A		N/A
Accumulation unit value at end of period	$	14.922	$	12.067	$	8.571	$	15.492	$	13.427	$	12.246	$	11.199		N/A		N/A
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		N/A		N/A
JPMorgan Insurance Trust Intrepid Mid Cap Subaccount (formerly JPMorgan Investment Trust Diversified Mid Cap Subaccount)
Accumulation unit value at beginning of period***	$	12.016	$	8.999	$	14.944	$	14.761	$	13.142	$	11.402	$	10.091		N/A		N/A
Accumulation unit value at end of period	$	14.136	$	12.016	$	8.999	$	14.944	$	14.761	$	13.142	$	11.402		N/A		N/A
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		N/A		N/A
JPMorgan Insurance Trust Diversified Mid Cap Value Subaccount (formerly JPMorgan Investment Trust Mid Cap Value Subaccount)
Accumulation unit value at beginning of period***	$	11.341	$	9.009	$	14.188	$	14.285	$	12.434	$	11.51	$	10.271		N/A		N/A
Accumulation unit value at end of period	$	13.781	$	11.341	$	9.009	$	14.188	$	14.285	$	12.434	$	11.51		N/A		N/A
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		N/A		N/A
JPMorgan Insurance Trust International Equity Subaccount
Accumulation unit value at beginning of period***	$	16.655		N/A		N/A		N/A		N/A		N/A		N/A		N/A		N/A
Accumulation unit value at end of period	$	17.567	$	16.655		N/A		N/A		N/A		N/A		N/A		N/A		N/A
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		N/A		N/A		N/A		N/A		N/A		N/A		N/A
JPMorgan Insurance Trust Small Cap Core Subaccount
Accumulation unit value at beginning of period***	$	15.029		N/A		N/A		N/A		N/A		N/A		N/A		N/A		N/A
Accumulation unit value at end of period	$	18.806	$	15.029		N/A		N/A		N/A		N/A		N/A		N/A		N/A
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		N/A		N/A		N/A		N/A		N/A		N/A		N/A
JPMorgan International Equity Subaccount
Accumulation unit value at beginning of period**		N/A	$	12.543	$	21.730	$	20.195	$	16.812	$	15.43	$	13.244	$	10		N/A
Accumulation unit value at end of period		N/A		N/A	$	12.543	$	21.730	$	20.195	$	16.812	$	15.43	$	13.244		N/A
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		N/A
JPMorgan Mid Cap Value Subaccount
Accumulation unit value at beginning of period**		N/A	$	12.008	$	18.266	$	18.116	$	15.752	$	14.653	$	12.298	$	10		N/A
Accumulation unit value at end of period		N/A		N/A	$	12.008	$	18.266	$	18.116	$	15.752	$	14.653	$	12.298		N/A
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		N/A
JPMorgan Small Company Subaccount
Accumulation unit value at beginning of period*		N/A	$	12.457	$	18.609	$	20.045	$	17.708	$	17.396	$	13.899	$	10.385	$	13.467
Accumulation unit value at end of period		N/A		N/A	$	12.457	$	18.609	$	20.045	$	17.708	$	17.396	$	13.899	$	10.385
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		—
Janus Aspen Balanced Subaccount
Accumulation unit value at beginning of period*	$	38.840	$	31.347	$	37.843	$	34.787	$	31.92	$	30.041	$	28.125	$	25.055	$	27.209
Accumulation unit value at end of period	$	41.435	$	38.840	$	31.347	$	37.843	$	34.787	$	31.92	$	30.041	$	28.125	$	25.055
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		—
Janus Aspen Enterprise Subaccount (formerly Janus Aspen Mid Cap Growth Subaccount)
Accumulation unit value at beginning of period*	$	31.595	$	22.165	$	40.017	$	33.318	$	29.794	$	26.952	$	22.679	$	17.055	$	24.045
Accumulation unit value at end of period	$	39.137	$	31.595	$	22.165	$	40.017	$	33.318	$	29.794	$	26.952	$	22.679	$	17.055
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		—
Janus Aspen Janus Subaccount (formerly Janus Aspen Large Cap Growth Subaccount)
Accumulation unit value at beginning of period*	$	22.569	$	16.817	$	28.345	$	25.024	$	22.826	$	22.237	$	21.617	$	16.673	$	23.05
Accumulation unit value at end of period	$	25.439	$	22.569	$	16.817	$	28.345	$	25.024	$	22.826	$	22.237	$	21.617	$	16.673
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		—
Janus Aspen Mid Cap Value Subaccount
Accumulation unit value at beginning of period**	$	18.606	$	14.222	$	20.040	$	19.000	$	16.775	$	15.493	$	13.363	$	10		N/A
Accumulation unit value at end of period	$	21.126	$	18.606	$	14.222	$	20.040	$	19	$	16.775	$	15.493	$	13.363		N/A
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—
Janus Aspen Small Company Value Subaccount
Accumulation unit value at beginning of period**		N/A	$	11.097	$	17.594	$	19.041	$	15.873	$	15.592	$	13.416	$	10		N/A
Accumulation unit value at end of period		N/A		N/A	$	11.097	$	17.594	$	19.041	$	15.873	$	15.592	$	13.416		N/A
Number of accumulation units outstanding at end of period		—		—		—		—		—		—		—		—		N/A
Janus Aspen Worldwide Subaccount (formerly Janus Aspen Worldwide Growth Subaccount)
Accumulation unit value at beginning of period*	$	27.555	$	20.331	$	37.329	$	34.599	$	29.737	$	28.538	$	27.673	$	22.676	$	30.925
Accumulation unit value at end of period	$	31.416	$	27.555	$	20.331	$	37.329	$	34.599	$	29.737	$	28.538	$	27.673	$	22.676
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		—
Oppenheimer Capital Appreciation Subaccount
Accumulation unit value at beginning of period**	$	12.005	$	8.461	$	15.821	$	14.118	$	13.32	$	12.905	$	12.299	$	10		N/A
Accumulation unit value at end of period	$	12.896	$	12.005	$	8.461	$	15.821	$	14.118	$	13.32	$	12.905	$	12.299		N/A
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		N/A
Oppenheimer Global Securities Subaccount
Accumulation unit value at beginning of period**	$	18.030	$	13.145	$	22.383	$	21.440	$	18.559	$	16.531	$	14.129	$	10		N/A
Accumulation unit value at end of period	$	20.533	$	18.030	$	13.145	$	22.383	$	21.44	$	18.559	$	16.531	$	14.129		N/A
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		N/A
Oppenheimer High Income Subaccount
Accumulation unit value at beginning of period**	$	3.270	$	2.638	$	12.508	$	12.769	$	11.877	$	11.829	$	11.054	$	10		N/A
Accumulation unit value at end of period	$	3.683	$	3.270	$	2.638	$	12.508	$	12.769	$	11.877	$	11.829	$	11.054		N/A
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		N/A
Oppenheimer Main Street Subaccount
Accumulation unit value at beginning of period**	$	11.904	$	9.449	$	15.642	$	15.260	$	13.51	$	12.98	$	12.084	$	10		N/A
Accumulation unit value at end of period	$	13.570	$	11.904	$	9.449	$	15.642	$	15.26	$	13.51	$	12.98	$	12.084		N/A
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		N/A

B-10

Subaccount	2010		2009		2008		2007		2006		2005		2004		2003		2002
Oppenheimer Main Street Small Cap Subaccount
Accumulation unit value at beginning of period**	$	15.622	$	11.595	$	19.003	$	19.582	$	17.351	$	16.067	$	13.697	$	10		N/A
Accumulation unit value at end of period	$	18.921	$	15.622	$	11.595	$	19.003	$	19.582	$	17.351	$	16.067	$	13.697		N/A
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		N/A
Oppenheimer Small- & Mid-Cap Growth Subaccount (formerly Oppenheimer MidCap Growth Subaccount) (formerly Oppenheimer Aggressive Growth Subaccount)
Accumulation unit value at beginning of period**	$	10.666	$	8.193	$	16.391	$	15.706	$	15.537	$	14.096	$	11.992	$	10		N/A
Accumulation unit value at end of period	$	13.349	$	10.666	$	8.193	$	16.391	$	15.706	$	15.537	$	14.096	$	11.992		N/A
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		N/A
Oppenheimer Global Strategic Income Subaccount (formerly Oppenheimer Strategic Bond Subaccount)
Accumulation unit value at beginning of period**	$	12.978	$	11.136	$	13.230	$	12.271	$	11.626	$	11.526	$	10.8	$	10		N/A
Accumulation unit value at end of period	$	14.661	$	12.978	$	11.136	$	13.230	$	12.271	$	11.626	$	11.526	$	10.8		N/A
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		N/A
Scudder Growth Subaccount
Accumulation unit value at beginning of period*		N/A		N/A		N/A		N/A		N/A	$	5.078	$	4.907	$	3.998	$	5.754
Accumulation unit value at end of period++		N/A		N/A		N/A		N/A		N/A		N/A	$	5.078	$	4.907	$	3.998
Number of accumulation units outstanding at end of period (000’s omitted)		N/A		N/A		N/A		N/A		N/A		N/A		—		—		—
SVS Focus Value + Growth Subaccount
Accumulation unit value at beginning of period*		N/A		N/A		N/A		N/A		N/A	$	1.606	$	1.466	$	1.123	$	1.539
Accumulation unit value at end of period++		N/A		N/A		N/A		N/A		N/A		N/A	$	1.606	$	1.466	$	1.123
Number of accumulation units outstanding at end of period (000’s omitted)		N/A		N/A		N/A		N/A		N/A		N/A		—		—		—

B-11

Additional Contract Options Elected (0.30%)

Guaranteed Retirement Income Benefit—10 year

(Separate Account Charges of 1.60% of the Daily Net Assets of the Separate Account)

Tax Nonqualified Periodic Payment Contracts—1.60%

Subaccount	2010		2009		2008		2007		2006		2005		2004		2003		2002
Alger Large Cap Growth Subaccount (formerly Alger American LargeCap Growth Subaccount)(formerly Alger American Growth Subaccount)
Accumulation unit value at beginning of period*	$	48.790	$	33.591	$	63.385	$	53.695	$	51.88	$	47.046	$	45.311	$	34.059	$	51.643
Accumulation unit value at end of period	$	54.451	$	48.790	$	33.591	$	63.385	$	53.695	$	51.88	$	47.046	$	45.311	$	34.059
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		0
Alger Small Cap Subaccount (formerly Alger American Small Cap Subaccount)
Accumulation unit value at beginning of period*	$	29.429	$	19.709	$	48.088	$	37.140	$	34.259	$	31.692	$	28.485	$	19.581	$	28.237
Accumulation unit value at end of period	$	34.580	$	29.429	$	19.709	$	48.088	$	37.14	$	34.259	$	31.692	$	28.485	$	19.581
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		—
Alger Small Capitalization Subaccount (formerly Alger American Small Capitalization Subaccount)
Accumulation unit value at beginning of period*	$	43.038	$	30.051	$	57.180	$	49.555	$	41.949	$	36.463	$	31.781	$	22.684	$	31.24
Accumulation unit value at end of period	$	53.075	$	43.038	$	30.051	$	57.180	$	49.555	$	41.949	$	36.463	$	31.781	$	22.684
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		—
American Century VP Income & Growth Subaccount
Accumulation unit value at beginning of period*	$	6.210	$	5.343	$	8.298	$	8.438	$	7.321	$	7.109	$	6.392	$	5.021	$	6.327
Accumulation unit value at end of period	$	6.977	$	6.210	$	5.343	$	8.298	$	8.438	$	7.321	$	7.109	$	6.392	$	5.021
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		0
American Century VP Value Subaccount
Accumulation unit value at beginning of period*	$	9.014	$	7.641	$	10.602	$	11.356	$	9.723	$	9.405	$	8.358	$	6.585	$	7.656
Accumulation unit value at end of period	$	10.063	$	9.014	$	7.641	$	10.602	$	11.356	$	9.723	$	9.405	$	8.358	$	6.585
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		—
Credit Suisse Trust International Equity Flex III Subaccount (formerly Credit Suisse Trust-Emerging Markets Subaccount)
Accumulation unit value at beginning of period*	$	17.385	$	11.650	$	26.190	$	20.559	$	15.762	$	12.517	$	10.18	$	7.239	$	8.316
Accumulation unit value at end of period	$	19.205	$	17.385	$	11.650	$	26.190	$	20.559	$	15.762	$	12.517	$	10.18	$	7.239
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		—
Dreyfus IP MidCap Stock Subaccount
Accumulation unit value at beginning of period**	$	12.530	$	9.407	$	16.049	$	16.084	$	15.176	$	14.154	$	12.589	$	10		N/A
Accumulation unit value at end of period	$	15.656	$	12.530	$	9.407	$	16.049	$	16.084	$	15.176	$	14.154	$	12.589		N/A
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		N/A
Dreyfus Socially Responsible Growth Subaccount
Accumulation unit value at beginning of period*	$	24.084	$	18.294	$	28.345	$	26.720	$	24.859	$	24.375	$	23.318	$	18.801	$	26.885
Accumulation unit value at end of period	$	27.217	$	24.084	$	18.294	$	28.345	$	26.72	$	24.859	$	24.375	$	23.318	$	18.801
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		—
Dreyfus VIF Small Company Stock Subaccount*
Accumulation unit value at beginning of period**		N/A		N/A		N/A	$	17.125	$	15.682	$	15.809	$	13.592	$	10		N/A
Accumulation unit value at end of period		N/A		N/A		N/A		N/A	$	17.125	$	15.682	$	15.809	$	13.592		N/A
Number of accumulation units outstanding at end of period (000’s omitted)		N/A		N/A		N/A		N/A		—		—		—		—		N/A
DWS Bond VIP Subaccount (formerly Scudder Bond Subaccount)
Accumulation unit value at beginning of period*	$	7.884	$	7.278	$	8.884	$	8.665	$	8.407	$	8.324	$	8.026	$	7.762	$	7.325
Accumulation unit value at end of period	$	8.287	$	7.884	$	7.278	$	8.884	$	8.665	$	8.407	$	8.324	$	8.026	$	7.762
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		—
DWS Capital Growth VIP Subaccount (formerly Scudder Capital Growth Subaccount)
Accumulation unit value at beginning of period*	$	19.766	$	15.529	$	23.997	$	21.657	$	20.273	$	18.903	$	17.786	$	14.241	$	20.433
Accumulation unit value at end of period	$	22.705	$	19.766	$	15.529	$	23.997	$	21.657	$	20.273	$	18.903	$	17.786	$	14.241
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		—
DWS Growth & Income VIP Subaccount (formerly Scudder Growth and Income Subaccount)
Accumulation unit value at beginning of period****	$	9.943	$	7.531	$	12.403	$	12.434	$	11.118	$	10		N/A		N/A		N/A
Accumulation unit value at end of period	$	11.195	$	9.943	$	7.531	$	12.403	$	12.434	$	11.118		N/A		N/A		N/A
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		N/A		N/A		N/A
DWS International VIP Subaccount (formerly Scudder International Subaccount)
Accumulation unit value at beginning of period*	$	13.185	$	10.033	$	19.685	$	17.455	$	14.084	$	12.318	$	10.74	$	8.541	$	10.631
Accumulation unit value at end of period	$	13.189	$	13.185	$	10.033	$	19.685	$	17.455	$	14.084	$	12.318	$	10.74	$	8.541
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		—
DWS Balanced VIP Subaccount (formerly Scudder Total Return Subaccount)
Accumulation unit value at beginning of period*	$	6.746	$	5.553	$	7.764	$	7.524	$	6.934	$	6.755	$	6.427	$	5.536	$	6.631
Accumulation unit value at end of period	$	7.385	$	6.746	$	5.553	$	7.764	$	7.524	$	6.934	$	6.755	$	6.427	$	5.536
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		—
DWS Core Fixed Income VIP Subaccount (formerly Scudder Fixed Income Subaccount)
Accumulation unit value at beginning of period*	$	1.299	$	1.225	$	1.543	$	1.505	$	1.467	$	1.458	$	1.417	$	1.369	$	1.288
Accumulation unit value at end of period	$	1.362	$	1.299	$	1.225	$	1.543	$	1.505	$	1.467	$	1.458	$	1.417	$	1.369
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		—
DWS Diversified International Equity VIP Subaccount (formerly DWS International Select Equity VIP Subaccount)
Accumulation unit value at beginning of period*	$	2.012	$	1.580	$	3.136	$	2.730	$	2.209	$	1.96	$	1.684	$	1.318	$	1.548
Accumulation unit value at end of period	$	2.196	$	2.012	$	1.580	$	3.136	$	2.73	$	2.209	$	1.96	$	1.684	$	1.318
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		—
DWS Dreman Small Mid Cap Value VIP (formerly DWS Dreman Small Cap Value VIP Subaccount)
Accumulation unit value at beginning of period*	$	2.206	$	1.728	$	2.637	$	2.599	$	2.112	$	1.946	$	1.569	$	1.122	$	1.286
Accumulation unit value at end of period	$	2.672	$	2.206	$	1.728	$	2.637	$	2.599	$	2.112	$	1.946	$	1.569	$	1.122
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		0
DWS Government & Agency Securities VIP Subaccount (formerly Scudder Government & Agency Securities Subaccount)
Accumulation unit value at beginning of period*	$	2.661	$	2.502	$	2.422	$	2.323	$	2.266	$	2.244	$	2.198	$	2.184	$	2.053
Accumulation unit value at end of period	$	2.793	$	2.661	$	2.502	$	2.422	$	2.323	$	2.266	$	2.244	$	2.198	$	2.184
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		—

B-12

Subaccount	2010		2009		2008		2007		2006		2005		2004		2003		2002
DWS High Income VIP Subaccount (formerly Scudder High Income Subaccount)
Accumulation unit value at beginning of period*	$	8.246	$	5.985	$	7.994	$	8.046	$	7.399	$	7.236	$	6.54	$	5.332	$	5.434
Accumulation unit value at end of period	$	9.252	$	8.246	$	5.985	$	7.994	$	8.046	$	7.399	$	7.236	$	6.54	$	5.332
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		—
DWS Large Cap Value VIP Subaccount (formerly Scudder Large Cap Value Subaccount)
Accumulation unit value at beginning of period*	$	2.089	$	1.693	$	2.704	$	2.428	$	2.137	$	2.13	$	1.966	$	1.506	$	1.8
Accumulation unit value at end of period	$	2.277	$	2.089	$	1.693	$	2.704	$	2.428	$	2.137	$	2.13	$	1.966	$	1.506
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		—
DWS Money Market VIP Subaccount (formerly Scudder Money Market Subaccount)
Accumulation unit value at beginning of period*	$	2.777	$	2.812	$	2.784	$	2.695	$	2.616	$	2.585	$	2.603	$	2.625	$	2.631
Accumulation unit value at end of period	$	2.734	$	2.777	$	2.812	$	2.784	$	2.695	$	2.616	$	2.585	$	2.603	$	2.625
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		—
DWS Small Mid-Cap Growth VIP Subaccount (formerly DWS Small Cap Growth Subaccount)
Accumulation unit value at beginning of period*	$	1.565	$	1.131	$	2.275	$	2.177	$	2.101	$	1.993	$	1.824	$	1.394	$	2.129
Accumulation unit value at end of period	$	1.994	$	1.565	$	1.131	$	2.275	$	2.177	$	2.101	$	1.993	$	1.824	$	1.394
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		—
DWS Technology VIP Subaccount (formerly Scudder Technology Growth Subaccount)*
Accumulation unit value at beginning of period*	$	0.809	$	0.512	$	0.968	$	0.861	$	0.868	$	0.85	$	0.847	$	0.587	$	0.925
Accumulation unit value at end of period	$	0.945	$	0.809	$	0.512	$	0.968	$	0.861	$	0.868	$	0.85	$	0.847	$	0.587
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		—
Fidelity VIP Asset ManagerSM Subaccount
Accumulation unit value at beginning of period*	$	26.521	$	20.869	$	29.746	$	26.168	$	24.773	$	24.19	$	23.303	$	20.069	$	22.34
Accumulation unit value at end of period	$	29.827	$	26.521	$	20.869	$	29.746	$	26.168	$	24.773	$	24.19	$	23.303	$	20.069
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		0
Fidelity VIP Contrafund® Subaccount
Accumulation unit value at beginning of period*	$	35.862	$	26.848	$	47.453	$	41.003	$	37.288	$	32.396	$	28.504	$	22.543	$	25.266
Accumulation unit value at end of period	$	41.375	$	35.862	$	26.848	$	47.453	$	41.003	$	37.288	$	32.396	$	28.504	$	22.543
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		0
Fidelity VIP Equity-Income Subaccount
Accumulation unit value at beginning of period*	$	31.383	$	24.488	$	43.387	$	43.421	$	36.702	$	35.222	$	32.087	$	25.013	$	30.6
Accumulation unit value at end of period	$	35.569	$	31.383	$	24.488	$	43.387	$	43.421	$	36.702	$	35.222	$	32.087	$	25.013
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		0
Fidelity VIP Growth Subaccount
Accumulation unit value at beginning of period*	$	41.268	$	32.684	$	62.855	$	50.302	$	47.829	$	45.928	$	45.14	$	34.522	$	50.183
Accumulation unit value at end of period	$	50.438	$	41.268	$	32.684	$	62.855	$	50.302	$	47.829	$	45.928	$	45.14	$	34.522
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		0
Fidelity VIP Index 500 Subaccount
Accumulation unit value at beginning of period*	$	134.372	$	107.832	$	173.900	$	167.582	$	147.116	$	142.585	$	30.97	$	103.625	$	135.413
Accumulation unit value at end of period	$	152.126	$	134.372	$	107.832	$	173.900	$	167.582	$	147.116	$	142.585	$	130.97	$	103.625
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		—
Franklin Rising Dividends Securities Subaccount
Accumulation unit value at beginning of period**	$	12.369	$	10.709	$	14.926	$	15.585	$	13.519	$	13.279	$	12.155	$	10		N/A
Accumulation unit value at end of period	$	14.688	$	12.369	$	10.709	$	14.926	$	15.585	$	13.519	$	13.279	$	12.155		N/A
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		N/A
Franklin Small Cap Value Securities Subaccount
Accumulation unit value at beginning of period**	$	15.953	$	12.549	$	19.035	$	19.813	$	17.207	$	16.073	$	13.197	$	10		N/A
Accumulation unit value at end of period	$	20.133	$	15.953	$	12.549	$	19.035	$	19.813	$	17.207	$	16.073	$	13.197		N/A
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		N/A
Franklin Strategic Income Securities Subaccount
Accumulation unit value at beginning of period**	$	14.098	$	11.391	$	13.038	$	12.508	$	11.74	$	11.756	$	10.879	$	10		N/A
Accumulation unit value at end of period	$	15.391	$	14.098	$	11.391	$	13.038	$	12.508	$	11.74	$	11.756	$	10.879		N/A
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		N/A
Franklin U.S. Government Subaccount
Accumulation unit value at beginning of period**	$	11.825	$	11.645	$	11.005	$	10.489	$	10.245	$	10.164	$	9.98	$	10		N/A
Accumulation unit value at end of period	$	12.254	$	11.825	$	11.645	$	11.005	$	10.489	$	10.245	$	10.164	$	9.98		N/A
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		N/A
Franklin Zero Coupon 2010 Subaccount
Accumulation unit value at beginning of period**	$	11.426	$	11.591	$	10.982	$	10.293	$	10.213	$	10.241	$	9.961	$	10		N/A
Accumulation unit value at end of period		N/A	$	11.426	$	11.591	$	10.982	$	10.293	$	10.213	$	10.241	$	9.961		N/A
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		N/A
Mutal Global Discovery Securities Subaccount (formerly Mutual Discovery Securities Subaccount)
Accumulation unit value at beginning of period**	$	18.731	$	15.433	$	21.916	$	19.910	$	16.438	$	14.401	$	12.379	$	10		N/A
Accumulation unit value at end of period	$	20.641	$	18.731	$	15.433	$	21.916	$	19.91	$	16.438	$	14.401	$	12.379		N/A
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		N/A
Mutual Shares Securities Subaccount
Accumulation unit value at beginning of period**	$	13.163	$	10.610	$	17.141	$	16.831	$	14.445	$	13.274	$	11.974	$	10		N/A
Accumulation unit value at end of period	$	14.406	$	13.163	$	10.610	$	17.141	$	16.831	$	14.445	$	13.274	$	11.974		N/A
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		N/A
Templeton Developing Markets Securities Subaccount
Accumulation unit value at beginning of period**	$	28.129	$	16.559	$	35.573	$	28.066	$	22.261	$	17.748	$	14.46	$	10		N/A
Accumulation unit value at end of period	$	32.555	$	28.129	$	16.559	$	35.573	$	28.066	$	22.261	$	17.748	$	14.46		N/A
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		N/A
ING JPMorgan Emerging Markets Equity Subaccount
Accumulation unit value at beginning of period+++	$	21.838	$	12.899	$	26.830	$	19.639	$	14.652	$	10		N/A		N/A		N/A
Accumulation unit value at end of period	$	25.929	$	21.838	$	12.899	$	26.830	$	19.639	$	14.652		N/A		N/A		N/A
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		N/A		N/A		N/A
ING VP Emerging Markets Subaccount
Accumulation unit value at beginning of period*		N/A		N/A		N/A		N/A		N/A	$	8.089	$	6.753	$	4.661	$	5.223
Accumulation unit value at end of period++		N/A		N/A		N/A		N/A		N/A		N/A	$	8.089	$	6.753	$	4.661
Number of accumulation units outstanding at end of period (000’s omitted)		N/A		N/A		N/A		N/A		N/A		N/A		—		—		—
ING VP Natural Resources Trust Subaccount
Accumulation unit value at beginning of period*		N/A		N/A		N/A	$	29.981	$	25.022	$	17.795	$	16.048	$	12.491	$	12.963
Accumulation unit value at end of period		N/A		N/A		N/A		N/A	$	29.981	$	25.022	$	17.795	$	16.048	$	12.491
Number of accumulation units outstanding at end of period (000’s omitted)		N/A		N/A		N/A		N/A		—		—		—		—		—
ING VP Global Resources Portfolio Subaccount
Accumulation unit value at beginning of period*	$	11.161	$	8.246	$	14.201		N/A		N/A		N/A		N/A		N/A		N/A
Accumulation unit value at end of period	$	13.363	$	11.161	$	8.246	$	14.201		N/A		N/A		N/A		N/A		N/A
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		N/A		N/A		N/A		N/A		N/A
Invesco V.I. Financial Services Subaccount (formerly AIM V.I. Financial Services Subaccount)
Accumulation unit value at beginning of period**	$	5.977	$	4.766	$	11.940	$	15.598	$	13.609	$	13.055	$	12.205	$	10		N/A
Accumulation unit value at end of period	$	6.490	$	5.977	$	4.766	$	11.940	$	15.598	$	13.609	$	13.055	$	12.205		N/A
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		N/A
Invesco V.I. Global Health Care Subaccount (formerly AIM V.I. Global Health Care Subaccount )
Accumulation unit value at beginning of period**	$	13.417	$	10.677	$	15.198	$	13.806	$	13.328	$	12.521	$	11.826	$	10		N/A
Accumulation unit value at end of period	$	13.905	$	13.417	$	10.677	$	15.198	$	13.806	$	13.328	$	12.521	$	11.826		N/A
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		N/A
Invesco V.I. Real Estate Subaccount (formerly AIM V.I. Real Estate Subaccount)
Accumulation unit value at beginning of period**	$	18.171	$	14.037	$	25.765	$	27.715	$	19.745	$	17.561	$	13.063	$	10		N/A
Accumulation unit value at end of period	$	21.017	$	18.171	$	14.037	$	25.765	$	27.715	$	19.745	$	17.561	$	13.063		N/A
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		N/A
Invesco V.I. Utilities Subaccount (formerly AIM V.I. Utilities Subaccount)
Accumulation unit value at beginning of period**	$	18.047	$	15.954	$	23.963	$	20.182	$	16.343	$	14.211	$	11.686	$	10		N/A
Accumulation unit value at end of period	$	18.882	$	18.047	$	15.954	$	23.963	$	20.182	$	16.343	$	14.211	$	11.686		N/A
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		N/A

B-13

Subaccount	2010		2009		2008		2007		2006		2005		2004		2003		2002
JPMorgan Insurance Trust Equity Index Subaccount (formerly JPMorgan Investment Trust Equity Index Subaccount)
Accumulation unit value at beginning of period***	$	10.297	$	8.274	$	13.388	$	12.944	$	11.394	$	11.082	$	10.238		N/A		N/A
Accumulation unit value at end of period	$	11.595	$	10.297	$	8.274	$	13.388	$	12.944	$	11.394	$	11.082		N/A		N/A
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		N/A		N/A

B-14

Subaccount	2010		2009		2008		2007		2006		2005		2004		2003		2002
JPMorgan Insurance Trust U.S. Equity Subaccount (JPMorgan Insurance Trust Diversified Equity Subaccount (formerly JPMorgan Investment Trust Diversified Equity Subaccount)
Accumulation unit value at beginning of period***	$	11.369	$	8.640	$	13.464	$	12.387	$	10.835	$	10.757	$	10.049		N/A		N/A
Accumulation unit value at end of period	$	12.709	$	11.369	$	8.640	$	13.464	$	12.387	$	10.835	$	10.757		N/A		N/A
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		N/A		N/A
JPMorgan Insurance Trust Diversified Mid Cap Growth Subaccount (formerly JPMorgan Investment Trust Mid Cap Growth Subaccount)
Accumulation unit value at beginning of period***	$	12.067	$	8.571	$	15.492	$	13.427	$	12.246	$	11.199	$	10.395		N/A		N/A
Accumulation unit value at end of period	$	14.922	$	12.067	$	8.571	$	15.492	$	13.427	$	12.246	$	11.199		N/A		N/A
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		N/A		N/A
JPMorgan Insurance Trust Intrepid Mid Cap Subaccount (formerly JPMorgan Investment Trust Diversified Mid Cap Subaccount)
Accumulation unit value at beginning of period***	$	12.016	$	8.999	$	14.944	$	14.761	$	13.142	$	11.402	$	10.091		N/A		N/A
Accumulation unit value at end of period	$	14.136	$	12.016	$	8.999	$	14.944	$	14.761	$	13.142	$	11.402		N/A		N/A
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		N/A		N/A
JPMorgan Insurance Trust Diversified Mid Cap Value Subaccount (formerly JPMorgan Investment Trust Mid Cap Value Subaccount)
Accumulation unit value at beginning of period***	$	11.341	$	9.009	$	14.188	$	14.285	$	12.434	$	11.51	$	10.271		N/A		N/A
Accumulation unit value at end of period	$	13.781	$	11.341	$	9.009	$	14.188	$	14.285	$	12.434	$	11.51		N/A		N/A
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		N/A		N/A
JPMorgan Insurance Trust International Equity Subaccount
Accumulation unit value at beginning of period***	$	16.655		N/A		N/A		N/A		N/A		N/A		N/A		N/A		N/A
Accumulation unit value at end of period	$	17.567	$	16.655		N/A		N/A		N/A		N/A		N/A		N/A		N/A
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		N/A		N/A		N/A		N/A		N/A		N/A		N/A
JPMorgan Insurance Trust Small Cap Core Subaccount
Accumulation unit value at beginning of period***	$	15.029		N/A		N/A		N/A		N/A		N/A		N/A		N/A		N/A
Accumulation unit value at end of period	$	18.806	$	15.029		N/A		N/A		N/A		N/A		N/A		N/A		N/A
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		N/A		N/A		N/A		N/A		N/A		N/A		N/A
JPMorgan International Equity Subaccount
Accumulation unit value at beginning of period**		N/A	$	12.543	$	21.730	$	20.195	$	16.812	$	15.43	$	13.244	$	10		N/A
Accumulation unit value at end of period		N/A		N/A	$	12.543	$	21.730	$	20.195	$	16.812	$	15.43	$	13.244		N/A
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		N/A
JPMorgan Mid Cap Value Subaccount
Accumulation unit value at beginning of period**		N/A	$	12.008	$	18.266	$	18.116	$	15.752	$	14.653	$	12.298	$	10		N/A
Accumulation unit value at end of period		N/A		N/A	$	12.008	$	18.266	$	18.116	$	15.752	$	14.653	$	12.298		N/A
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		N/A
JPMorgan Small Company Subaccount
Accumulation unit value at beginning of period*		N/A	$	12.457	$	18.609	$	20.045	$	17.708	$	17.396	$	13.899	$	10.385	$	13.467
Accumulation unit value at end of period		N/A		N/A	$	12.457	$	18.609	$	20.045	$	17.708	$	17.396	$	13.899	$	10.385
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		—
Janus Aspen Balanced Subaccount
Accumulation unit value at beginning of period*	$	38.840	$	31.347	$	37.843	$	34.787	$	31.92	$	30.041	$	28.125	$	25.055	$	27.209
Accumulation unit value at end of period	$	41.435	$	38.840	$	31.347	$	37.843	$	34.787	$	31.92	$	30.041	$	28.125	$	25.055
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		—
Janus Aspen Enterprise Subaccount (formerly Janus Aspen Mid Cap Growth Subaccount)
Accumulation unit value at beginning of period*	$	31.595	$	22.165	$	40.017	$	33.318	$	29.794	$	26.952	$	22.679	$	17.055	$	24.045
Accumulation unit value at end of period	$	39.137	$	31.595	$	22.165	$	40.017	$	33.318	$	29.794	$	26.952	$	22.679	$	17.055
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		—
Janus Aspen Janus Subaccount (formerly Janus Aspen Large Cap Growth Subaccount)
Accumulation unit value at beginning of period*	$	22.569	$	16.817	$	28.345	$	25.024	$	22.826	$	22.237	$	21.617	$	16.673	$	23.05
Accumulation unit value at end of period	$	25.439	$	22.569	$	16.817	$	28.345	$	25.024	$	22.826	$	22.237	$	21.617	$	16.673
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		—
Janus Aspen Mid Cap Value Subaccount
Accumulation unit value at beginning of period**	$	18.606	$	14.222	$	20.040	$	19.000	$	16.775	$	15.493	$	13.363	$	10		N/A
Accumulation unit value at end of period	$	21.126	$	18.606	$	14.222	$	20.040	$	19	$	16.775	$	15.493	$	13.363		N/A
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		N/A
Janus Aspen Small Company Value Subaccount
Accumulation unit value at beginning of period**		N/A	$	11.097	$	17.594	$	19.041	$	15.873	$	15.592	$	13.416	$	10		N/A
Accumulation unit value at end of period		N/A		N/A	$	11.097	$	17.594	$	19.041	$	15.873	$	15.592	$	13.416		N/A
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		N/A
Janus Aspen Worldwide Subaccount (formerly Janus Aspen Worldwide Growth Subaccount)
Accumulation unit value at beginning of period*	$	27.555	$	20.331	$	37.329	$	34.599	$	29.737	$	28.538	$	27.673	$	22.676	$	30.925
Accumulation unit value at end of period	$	31.416	$	27.555	$	20.331	$	37.329	$	34.599	$	29.737	$	28.538	$	27.673	$	22.676
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		—
Oppenheimer Capital Appreciation Subaccount
Accumulation unit value at beginning of period**	$	12.005	$	8.461	$	15.821	$	14.118	$	13.32	$	12.905	$	12.299	$	10		N/A
Accumulation unit value at end of period	$	12.896	$	12.005	$	8.461	$	15.821	$	14.118	$	13.32	$	12.905	$	12.299		N/A
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		N/A
Oppenheimer Global Securities Subaccount
Accumulation unit value at beginning of period**	$	18.030	$	13.145	$	22.383	$	21.440	$	18.559	$	16.531	$	14.129	$	10		N/A
Accumulation unit value at end of period	$	20.533	$	18.030	$	13.145	$	22.383	$	21.44	$	18.559	$	16.531	$	14.129		N/A
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		N/A
Oppenheimer High Income Subaccount
Accumulation unit value at beginning of period**	$	3.270	$	2.638	$	12.508	$	12.769	$	11.877	$	11.829	$	11.054	$	10		N/A
Accumulation unit value at end of period	$	3.683	$	3.270	$	2.638	$	12.508	$	12.769	$	11.877	$	11.829	$	11.054		N/A
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		N/A
Oppenheimer Main Street Subaccount
Accumulation unit value at beginning of period**	$	11.904	$	9.449	$	15.642	$	15.260	$	13.51	$	12.98	$	12.084	$	10		N/A
Accumulation unit value at end of period	$	13.570	$	11.904	$	9.449	$	15.642	$	15.26	$	13.51	$	12.98	$	12.084		N/A
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		N/A
Oppenheimer Main Street Small Cap Subaccount
Accumulation unit value at beginning of period**	$	15.622	$	11.595	$	19.003	$	19.582	$	17.351	$	16.067	$	13.697	$	10		N/A
Accumulation unit value at end of period	$	18.921	$	15.622	$	11.595	$	19.003	$	19.582	$	17.351	$	16.067	$	13.697		N/A
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		N/A
Oppenheimer Small- & Mid-Cap Growth Subaccount (formerly Oppenheimer MidCap Growth Subaccount) (formerly Oppenheimer Aggressive Growth Subaccount)
Accumulation unit value at beginning of period**	$	10.666	$	8.193	$	16.391	$	15.706	$	15.537	$	14.096	$	11.992	$	10		N/A
Accumulation unit value at end of period	$	13.349	$	10.666	$	8.193	$	16.391	$	15.706	$	15.537	$	14.096	$	11.992		N/A
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		N/A
Oppenheimer Global Strategic Income Subaccount (formerly Oppenheimer Strategic Bond Subaccount)
Accumulation unit value at beginning of period**	$	12.978	$	11.136	$	13.230	$	12.271	$	11.626	$	11.526	$	10.8	$	10		N/A
Accumulation unit value at end of period	$	14.661	$	12.978	$	11.136	$	13.230	$	12.271	$	11.626	$	11.526	$	10.8		N/A
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		N/A
Scudder Growth Subaccount
Accumulation unit value at beginning of period*		N/A		N/A		N/A		N/A		N/A	$	5.071	$	4.9	$	3.992	$	5.745
Accumulation unit value at end of period+		N/A		N/A		N/A		N/A		N/A		N/A	$	5.071	$	4.9	$	3.992
Number of accumulation units outstanding at end of period (000’s omitted)		N/A		N/A		N/A		N/A		N/A		N/A		—		—		—
SVS Focus Value + Growth Subaccount
Accumulation unit value at beginning of period*		N/A		N/A		N/A		N/A		N/A	$	1.606	$	1.466	$	1.123	$	1.539
Accumulation unit value at end of period+		N/A		N/A		N/A		N/A		N/A		N/A	$	1.606	$	1.466	$	1.123
Number of accumulation units outstanding at end of period (000’s omitted)		N/A		N/A		N/A		N/A		N/A		N/A		—		—		—

B-15

Additional Contract Options Elected (0.35%)

Guaranteed Minimum Death Benefit and Earnings Based Death Benefit

(Separate Account Charges of 1.65% of the Daily Net Assets of the Separate Account)

Tax Qualified Periodic Payment Contracts—1.65%

Subaccount	2010		2009		2008		2007		2006		2005		2004		2003		2002
Alger Large Cap Growth Subaccount (formerly Alger American LargeCap Growth Subaccount)(formerly Alger American Growth Subaccount)
Accumulation unit value at beginning of period*	$	48.592	$	33.471	$	63.189	$	53.556	$	51.722	$	46.971	$	45.26	$	34.038	$	51.636
Accumulation unit value at end of period	$	54.203	$	48.592	$	33.471	$	63.189	$	53.556	$	51.772	$	46.971	$	45.26	$	34.038
Number of accumulation units outstanding at end of period (000’s omitted)		0		0		0		1		—		1		1		1		1
Alger Small Cap Subaccount (formerly Alger American Small Cap Subaccount)
Accumulation unit value at beginning of period*	$	29.309	$	19.639	$	47.940	$	37.044	$	34.187	$	31.641	$	28.453	$	19.569	$	28.234
Accumulation unit value at end of period	$	34.423	$	29.309	$	19.639	$	47.940	$	37.044	$	34.187	$	31.641	$	28.453	$	19.569
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		—
Alger Small Capitalization Subaccount (formerly Alger American Small Capitalization Subaccount)
Accumulation unit value at beginning of period*	$	42.863	$	29.944	$	57.003	$	49.427	$	41.861	$	36.404	$	31.746	$	22.67	$	31.236
Accumulation unit value at end of period	$	52.834	$	42.863	$	29.944	$	57.003	$	49.427	$	41.861	$	36.404	$	31.746	$	22.67
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		—
American Century VP Income & Growth Subaccount
Accumulation unit value at beginning of period*	$	6.185	$	5.324	$	8.273	$	8.416	$	7.306	$	7.097	$	6.385	$	5.018	$	6.326
Accumulation unit value at end of period	$	6.945	$	6.185	$	5.324	$	8.273	$	8.416	$	7.306	$	7.097	$	6.385	$	5.018
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		—
American Century VP Value Subaccount
Accumulation unit value at beginning of period*	$	8.977	$	7.613	$	10.569	$	11.327	$	9.703	$	9.39	$	8.349	$	6.581	$	7.656
Accumulation unit value at end of period	$	10.017	$	8.977	$	7.613	$	10.569	$	11.327	$	9.703	$	9.39	$	8.349	$	6.581
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		—
Credit Suisse Trust International Equity Flex III Subaccount (formerly Credit Suisse Trust-Emerging Markets Subaccount)
Accumulation unit value at beginning of period*	$	17.315	$	11.608	$	26.109	$	20.506	$	15.729	$	12.497	$	10.168	$	7.234	$	8.315
Accumulation unit value at end of period	$	19.117	$	17.315	$	11.608	$	26.109	$	20.506	$	15.729	$	12.497	$	10.168	$	7.234
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		—
Dreyfus IP MidCap Stock Subaccount
Accumulation unit value at beginning of period**	$	12.489	$	9.381	$	16.012	$	16.055	$	15.156	$	14.142	$	12.585	$	10		N/A
Accumulation unit value at end of period	$	15.597	$	12.489	$	9.381	$	16.012	$	16.055	$	15.156	$	14.142	$	12.585		N/A
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		N/A
Dreyfus Socially Responsible Growth Subaccount
Accumulation unit value at beginning of period*	$	23.986	$	18.228	$	28.257	$	26.651	$	24.807	$	24.336	$	23.292	$	18.79	$	26.881
Accumulation unit value at end of period	$	27.093	$	23.986	$	18.228	$	28.257	$	26.651	$	24.807	$	24.336	$	23.292	$	18.79
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		—
Dreyfus VIF Small Company Stock Subaccount*
Accumulation unit value at beginning of period**		N/A		N/A		N/A	$	17.095	$	15.661	$	15.796	$	13.587	$	10		N/A
Accumulation unit value at end of period		N/A		N/A		N/A		N/A	$	17.095	$	15.661	$	15.796	$	13.587		N/A
Number of accumulation units outstanding at end of period (000’s omitted)		N/A		N/A		N/A		N/A		—		—		—		—		N/A
DWS Bond VIP Subaccount (formerly Scudder Bond Subaccount)
Accumulation unit value at beginning of period*	$	7.852	$	7.252	$	8.857	$	8.643	$	8.389	$	8.311	$	8.017	$	7.757	$	7.324
Accumulation unit value at end of period	$	8.249	$	7.852	$	7.252	$	8.857	$	8.643	$	8.389	$	8.311	$	8.017	$	7.757
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		—
DWS Capital Growth VIP Subaccount (formerly Scudder Capital Growth Subaccount)
Accumulation unit value at beginning of period*	$	19.685	$	15.772	$	23.923	$	21.600	$	20.231	$	18.873	$	17.766	$	14.233	$	20.431
Accumulation unit value at end of period	$	22.602	$	19.685	$	15.772	$	23.923	$	21.6	$	20.231	$	18.873	$	17.766	$	14.233
Number of accumulation units outstanding at end of period (000’s omitted)		0		0		0		0		0		0		—		—		—
DWS Growth & Income VIP Subaccount (formerly Scudder Growth and Income Subaccount)
Accumulation unit value at beginning of period****	$	9.920	$	7.517	$	12.387	$	12.424	$	11.114	$	10		N/A		N/A		N/A
Accumulation unit value at end of period	$	11.164	$	9.920	$	7.517	$	12.387	$	12.424	$	11.114		N/A		N/A		N/A
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		N/A		N/A		N/A
DWS International VIP Subaccount (formerly Scudder International Subaccount)
Accumulation unit value at beginning of period*	$	13.132	$	9.998	$	19.624	$	17.410	$	14.055	$	12.298	$	10.728	$	8.536	$	10.629
Accumulation unit value at end of period	$	13.129	$	13.132	$	9.998	$	19.624	$	17.41	$	14.055	$	12.298	$	10.728	$	8.536
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		—
DWS Balanced VIP Subaccount (formerly Scudder Total Return Subaccount)
Accumulation unit value at beginning of period*	$	7.211	$	5.939	$	8.307	$	8.055	$	7.427	$	7.238	$	6.89	$	5.938	$	7.116
Accumulation unit value at end of period	$	7.890	$	7.211	$	5.939	$	8.307	$	8.055	$	7.427	$	7.238	$	6.89	$	5.938
Number of accumulation units outstanding at end of period (000’s omitted)		1		1		1		—		1		1		5		5		4
DWS Core Fixed Income VIP Subaccount (formerly Scudder Fixed Income Subaccount)
Accumulation unit value at beginning of period*	$	1.294	$	1.221	$	1.539	$	1.502	$	1.464	$	1.455	$	1.415	$	1.368	$	1.288
Accumulation unit value at end of period	$	1.356	$	1.294	$	1.221	$	1.539	$	1.502	$	1.464	$	1.455	$	1.415	$	1.368
Number of accumulation units outstanding at end of period (000’s omitted)		0		0		0		5		5		5		6		6		12

B-16

Subaccount	2010		2009		2008		2007		2006		2005		2004		2003		2002
DWS Diversified International Equity VIP Subaccount (formerly DWS International Select Equity VIP Subaccount)
Accumulation unit value at beginning of period*	$	2.003	$	1.574	$	3.126	$	2.723	$	2.204	$	1.957	$	1.682	$	1.317	$	1.547
Accumulation unit value at end of period	$	2.186	$	2.003	$	1.574	$	3.126	$	2.723	$	2.204	$	1.957	$	1.682	$	1.317
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		—
DWS Dreman Small Mid Cap Value VIP (formerly DWS Dreman Small Cap Value VIP Subaccount)
Accumulation unit value at beginning of period*	$	2.197	$	1.722	$	2.628	$	2.593	$	2.107	$	1.943	$	1.567	$	1.122	$	1.286
Accumulation unit value at end of period	$	2.660	$	2.197	$	1.722	$	2.628	$	2.593	$	2.107	$	1.943	$	1.567	$	1.122
Number of accumulation units outstanding at end of period (000’s omitted)		1		1		6		6		6		6		6		5		0
DWS Government & Agency Securities VIP Subaccount (formerly Scudder Government & Agency Securities Subaccount)
Accumulation unit value at beginning of period*	$	2.651	$	2.493	$	2.415	$	2.317	$	2.261	$	2.241	$	2.195	$	2.182	$	2.053
Accumulation unit value at end of period	$	2.780	$	2.651	$	2.493	$	2.415	$	2.317	$	2.261	$	2.241	$	2.195	$	2.182
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		4
DWS High Income VIP Subaccount (formerly Scudder High Income Subaccount)
Accumulation unit value at beginning of period*	$	8.430	$	6.121	$	8.181	$	8.238	$	7.579	$	7.416	$	6.706	$	5.47	$	5.577
Accumulation unit value at end of period	$	9.454	$	8.430	$	6.121	$	8.181	$	8.238	$	7.579	$	7.416	$	6.706	$	5.47
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		—
DWS Large Cap Value VIP Subaccount (formerly Scudder Large Cap Value Subaccount)
Accumulation unit value at beginning of period*	$	2.080	$	1.686	$	2.695	$	2.422	$	2.133	$	2.126	$	1.964	$	1.505	$	1.8
Accumulation unit value at end of period	$	2.267	$	2.080	$	1.686	$	2.695	$	2.422	$	2.133	$	2.126	$	1.964	$	1.505
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		—
DWS Money Market VIP Subaccount (formerly Scudder Money Market Subaccount)
Accumulation unit value at beginning of period*	$	2.766	$	2.802	$	2.776	$	2.688	$	2.61	$	2.581	$	2.6	$	2.624	$	2.631
Accumulation unit value at end of period	$	2.722	$	2.766	$	2.802	$	2.776	$	2.688	$	2.61	$	2.581	$	2.6	$	2.624
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		—
DWS Small Mid-Cap Growth VIP Subaccount (formerly DWS Small Cap Growth Subaccount)
Accumulation unit value at beginning of period*	$	1.558	$	1.127	$	2.268	$	2.171	$	2.096	$	1.99	$	1.822	$	1.393	$	2.129
Accumulation unit value at end of period	$	1.985	$	1.558	$	1.127	$	2.268	$	2.171	$	2.096	$	1.99	$	1.822	$	1.393
Number of accumulation units outstanding at end of period (000’s omitted)		1		1		1		1		1		1		1		1		0
DWS Technology VIP Subaccount (formerly Scudder Technology Growth Subaccount)*
Accumulation unit value at beginning of period*	$	0.806	$	0.511	$	0.965	$	0.858	$	0.866	$	0.849	$	0.846	$	0.587	$	0.925
Accumulation unit value at end of period	$	0.941	$	0.806	$	0.511	$	0.965	$	0.858	$	0.866	$	0.849	$	0.846	$	0.587
Number of accumulation units outstanding at end of period (000’s omitted)		3		3		3		3		3		3		2		1		1
Fidelity VIP Asset ManagerSM Subaccount
Accumulation unit value at beginning of period*	$	26.413	$	20.795	$	29.655	$	26.100	$	24.721	$	24.151	$	23.277	$	20.056	$	22.337
Accumulation unit value at end of period	$	29.691	$	26.413	$	20.795	$	29.655	$	26.1	$	24.721	$	24.151	$	23.277	$	20.056
Number of accumulation units outstanding at end of period (000’s omitted)		0		0		0		0		0		0		0		0		0
Fidelity VIP Contrafund® Subaccount
Accumulation unit value at beginning of period*	$	35.716	$	26.752	$	47.307	$	40.897	$	37.21	$	32.344	$	28.472	$	22.529	$	25.263
Accumulation unit value at end of period	$	41.186	$	35.716	$	26.752	$	47.307	$	40.897	$	37.21	$	32.344	$	28.472	$	22.529
Number of accumulation units outstanding at end of period (000’s omitted)		1		1		1		1		1		1		1		1		0
Fidelity VIP Equity-Income Subaccount
Accumulation unit value at beginning of period*	$	31.256	$	24.401	$	43.254	$	43.309	$	36.625	$	35.165	$	32.051	$	24.998	$	30.596
Accumulation unit value at end of period	$	35.407	$	31.256	$	24.401	$	43.254	$	43.309	$	36.625	$	35.165	$	32.051	$	24.998
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		—
Fidelity VIP Growth Subaccount
Accumulation unit value at beginning of period*	$	41.101	$	32.567	$	62.661	$	50.172	$	47.728	$	45.855	$	45.09	$	34.5	$	50.177
Accumulation unit value at end of period	$	50.208	$	41.101	$	32.567	$	62.661	$	50.172	$	47.728	$	45.855	$	45.09	$	34.5
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		—
Fidelity VIP Index 500 Subaccount
Accumulation unit value at beginning of period*	$	133.826	$	107.446	$	173.364	$	167.149	$	146.808	$	142.356	$	130.824	$	103.561	$	135.396
Accumulation unit value at end of period	$	151.433	$	133.826	$	107.446	$	173.364	$	167.149	$	146.808	$	142.356	$	130.824	$	103.561
Number of accumulation units outstanding at end of period (000’s omitted)		0		0		0		0		0		0		0		0		0
Franklin Rising Dividends Securities Subaccount
Accumulation unit value at beginning of period**	$	12.328	$	10.679	$	14.891	$	15.557	$	13.501	$	13.268	$	12.151	$	10		N/A
Accumulation unit value at end of period	$	14.632	$	12.328	$	10.679	$	14.891	$	15.557	$	13.501	$	13.268	$	12.151		N/A
Number of accumulation units outstanding at end of period (000’s omitted)		2		2		2		2		—		2		—		—		N/A
Franklin Small Cap Value Securities Subaccount
Accumulation unit value at beginning of period**	$	15.901	$	12.514	$	18.992	$	19.778	$	17.185	$	16.06	$	13.192	$	10		N/A
Accumulation unit value at end of period	$	20.057	$	15.901	$	12.514	$	18.992	$	19.778	$	17.185	$	16.06	$	13.192		N/A
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		N/A
Franklin Strategic Income Securities Subaccount
Accumulation unit value at beginning of period**	$	14.052	$	11.359	$	13.008	$	12.486	$	11.725	$	11.747	$	10.876	$	10		N/A
Accumulation unit value at end of period	$	15.333	$	14.052	$	11.359	$	13.008	$	12.486	$	11.725	$	11.747	$	10.876		N/A
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		N/A
Franklin U.S. Government Subaccount
Accumulation unit value at beginning of period**	$	11.786	$	11.621	$	10.980	$	10.470	$	10.231	$	10.156	$	9.977	$	10		N/A
Accumulation unit value at end of period	$	12.208	$	11.786	$	11.621	$	10.980	$	10.47	$	10.231	$	10.156	$	9.977		N/A
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		N/A
Franklin Zero Coupon 2010 Subaccount
Accumulation unit value at beginning of period**	$	11.388	$	11.558	$	10.957	$	10.275	$	10.2	$	10.232	$	9.958	$	10		N/A
Accumulation unit value at end of period		N/A	$	11.388	$	11.558	$	10.957	$	10.275	$	10.2	$	10.232	$	9.958		N/A
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		N/A
Mutal Global Discovery Securities Subaccount (formerly Mutual Discovery Securities Subaccount)
Accumulation unit value at beginning of period**	$	18.670	$	15.390	$	21.866	$	19.874	$	16.416	$	14.389	$	12.375	$	10		N/A
Accumulation unit value at end of period	$	20.564	$	18.670	$	15.390	$	21.866	$	19.874	$	16.416	$	14.389	$	12.375		N/A
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		N/A
Mutual Shares Securities Subaccount
Accumulation unit value at beginning of period**	$	13.120	$	10.580	$	17.102	$	16.801	$	14.426	$	13.263	$	11.97	$	10		N/A
Accumulation unit value at end of period	$	14.352	$	13.120	$	10.580	$	17.102	$	16.801	$	14.426	$	13.263	$	11.97		N/A
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		N/A
Templeton Developing Markets Securities Subaccount
Accumulation unit value at beginning of period**	$	28.037	$	16.512	$	35.492	$	28.016	$	22.232	$	17.734	$	14.455	$	10		N/A
Accumulation unit value at end of period	$	32.432	$	28.037	$	16.512	$	35.492	$	28.016	$	22.232	$	17.734	$	14.455		N/A
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		N/A
ING JPMorgan Emerging Markets Equity Subaccount
Accumulation unit value at beginning of period+++	$	21.794	$	12.879	$	26.802	$	19.629	$	14.651	$	10		N/A		N/A		N/A
Accumulation unit value at end of period	$	25.864	$	21.794	$	12.879	$	26.802	$	19.629	$	14.651		N/A		N/A		N/A
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		N/A		N/A		N/A
ING VP Emerging Markets Subaccount
Accumulation unit value at beginning of period*		N/A		N/A		N/A		N/A		N/A	$	8.077	$	6.746	$	4.658	$	5.222
Accumulation unit value at end of period++		N/A		N/A		N/A		N/A		N/A		N/A	$	8.077	$	6.746	$	4.658
Number of accumulation units outstanding at end of period (000’s omitted)		N/A		N/A		N/A		N/A		N/A		N/A		—		—		—
ING VP Natural Resources Trust Subaccount
Accumulation unit value at beginning of period*		N/A		N/A		N/A	$	29.904	$	24.969	$	17.766	$	16.03	$	12.484	$	12.962
Accumulation unit value at end of period		N/A		N/A		N/A		N/A	$	29.904	$	24.969	$	17.766	$	16.03	$	12.484
Number of accumulation units outstanding at end of period (000’s omitted)		N/A		N/A		N/A		N/A		—		—		—		—		—
ING VP Global Resources Portfolio Subaccount
Accumulation unit value at beginning of period*	$	11.145	$	8.238	$	14.194		N/A		N/A		N/A		N/A		N/A		N/A
Accumulation unit value at end of period	$	13.337	$	11.145	$	8.238	$	14.194		N/A		N/A		N/A		N/A		N/A
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		N/A		N/A		N/A		N/A		N/A
Invesco V.I. Financial Services Subaccount (formerly AIM V.I. Financial Services Subaccount)
Accumulation unit value at beginning of period**	$	5.958	$	4.753	$	11.913	$	15.570	$	13.591	$	13.044	$	12.201	$	10		N/A
Accumulation unit value at end of period	$	6.466	$	5.958	$	4.753	$	11.913	$	15.57	$	13.591	$	13.044	$	12.201		N/A
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		N/A

B-17

Subaccount	2010		2009		2008		2007		2006		2005		2004		2003		2002
Invesco V.I. Global Health Care Subaccount (formerly AIM V.I. Global Health Care Subaccount )
Accumulation unit value at beginning of period**	$	13.373	$	10.647	$	15.163	$	13.781	$	13.311	$	12.51	$	11.823	$	10		N/A
Accumulation unit value at end of period	$	13.853	$	13.373	$	10.647	$	15.163	$	13.781	$	13.311	$	12.51	$	11.823		N/A
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		N/A
Invesco V.I. Real Estate Subaccount (formerly AIM V.I. Real Estate Subaccount)
Accumulation unit value at beginning of period**	$	18.111	$	13.997	$	25.706	$	27.665	$	19.719	$	17.546	$	13.059	$	10		N/A
Accumulation unit value at end of period	$	20.938	$	18.111	$	13.997	$	25.706	$	27.665	$	19.719	$	17.546	$	13.059		N/A
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		N/A
Invesco V.I. Utilities Subaccount (formerly AIM V.I. Utilities Subaccount)
Accumulation unit value at beginning of period**	$	17.988	$	15.909	$	23.908	$	20.145	$	16.321	$	14.199	$	11.682	$	10		N/A
Accumulation unit value at end of period	$	18.811	$	17.988	$	15.909	$	23.908	$	20.145	$	16.321	$	14.199	$	11.682		N/A
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		N/A
JPMorgan Insurance Trust Equity Index Subaccount (formerly JPMorgan Investment Trust Equity Index Subaccount)
Accumulation unit value at beginning of period***	$	10.267	$	8.254	$	13.362	$	12.925	$	11.382	$	11.076	$	10.236		N/A		N/A
Accumulation unit value at end of period	$	11.555	$	10.267	$	8.254	$	13.362	$	12.925	$	11.382	$	11.076		N/A		N/A
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		N/A		N/A
JPMorgan Insurance Trust U.S. Equity Subaccount (JPMorgan Insurance Trust Diversified Equity Subaccount (formerly JPMorgan Investment Trust Diversified Equity Subaccount)
Accumulation unit value at beginning of period***	$	11.335	$	8.619	$	13.438	$	12.368	$	10.824	$	10.752	$	10.047		N/A		N/A
Accumulation unit value at end of period	$	12.665	$	11.335	$	8.619	$	13.438	$	12.368	$	10.824	$	10.752		N/A		N/A
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		N/A		N/A
JPMorgan Insurance Trust Diversified Mid Cap Growth Subaccount (formerly JPMorgan Investment Trust Mid Cap Growth Subaccount)
Accumulation unit value at beginning of period***	$	12.031	$	8.550	$	15.461	$	13.407	$	12.234	$	11.194	$	10.394		N/A		N/A
Accumulation unit value at end of period	$	14.870	$	12.031	$	8.550	$	15.461	$	13.407	$	12.234	$	11.194		N/A		N/A
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		N/A		N/A
JPMorgan Insurance Trust Intrepid Mid Cap Subaccount (formerly JPMorgan Investment Trust Diversified Mid Cap Subaccount)
Accumulation unit value at beginning of period***	$	11.981	$	8.977	$	14.915	$	14.739	$	13.129	$	11.396	$	10.089		N/A		N/A
Accumulation unit value at end of period	$	14.088	$	11.981	$	8.977	$	14.915	$	14.739	$	13.129	$	11.396		N/A		N/A
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		N/A		N/A
JPMorgan Insurance Trust Diversified Mid Cap Value Subaccount (formerly JPMorgan Investment Trust Mid Cap Value Subaccount)
Accumulation unit value at beginning of period***	$	11.307	$	8.987	$	14.160	$	14.264	$	12.422	$	11.504	$	10.27		N/A		N/A
Accumulation unit value at end of period	$	13.733	$	11.307	$	8.987	$	14.160	$	14.264	$	12.422	$	11.504		N/A		N/A
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		N/A		N/A
JPMorgan Insurance Trust International Equity Subaccount
Accumulation unit value at beginning of period***	$	16.600		N/A		N/A		N/A		N/A		N/A		N/A		N/A		N/A
Accumulation unit value at end of period	$	17.500	$	16.600		N/A		N/A		N/A		N/A		N/A		N/A		N/A
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		N/A		N/A		N/A		N/A		N/A		N/A		N/A
JPMorgan Insurance Trust Small Cap Core Subaccount
Accumulation unit value at beginning of period***	$	14.968		N/A		N/A		N/A		N/A		N/A		N/A		N/A		N/A
Accumulation unit value at end of period	$	18.720	$	14.968		N/A		N/A		N/A		N/A		N/A		N/A		N/A
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		N/A		N/A		N/A		N/A		N/A		N/A		N/A
JPMorgan International Equity Subaccount
Accumulation unit value at beginning of period**		N/A	$	12.508	$	21.680	$	20.158	$	16.79	$	15.417	$	13.24	$	10		N/A
Accumulation unit value at end of period		N/A		N/A	$	12.508	$	21.680	$	20.158	$	16.79	$	15.417	$	13.24		N/A
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		N/A
JPMorgan Mid Cap Value Subaccount
Accumulation unit value at beginning of period**		N/A	$	11.975	$	18.224	$	18.083	$	15.731	$	14.641	$	12.294	$	10		N/A
Accumulation unit value at end of period		N/A		N/A	$	11.975	$	18.224	$	18.083	$	15.731	$	14.641	$	12.294		N/A
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		N/A
JPMorgan Small Company Subaccount
Accumulation unit value at beginning of period*		N/A	$	12.413	$	18.552	$	19.994	$	17.671	$	17.368	$	13.883	$	10.378	$	13.465
Accumulation unit value at end of period		N/A		N/A	$	12.413	$	18.552	$	19.994	$	17.671	$	17.368	$	13.883	$	10.378
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		—
Janus Aspen Balanced Subaccount
Accumulation unit value at beginning of period*	$	38.683	$	31.235	$	37.726	$	34.697	$	31.853	$	29.993	$	28.094	$	25.039	$	27.206
Accumulation unit value at end of period	$	41.246	$	38.683	$	31.235	$	37.726	$	34.697	$	31.853	$	29.993	$	28.094	$	25.039
Number of accumulation units outstanding at end of period (000’s omitted)		1		—		1		1		1		1		1		1		3
Janus Aspen Enterprise Subaccount (formerly Janus Aspen Mid Cap Growth Subaccount)
Accumulation unit value at beginning of period*	$	31.467	$	22.086	$	39.894	$	33.231	$	29.731	$	26.909	$	22.654	$	17.044	$	24.042
Accumulation unit value at end of period	$	38.959	$	31.467	$	22.086	$	39.894	$	33.231	$	29.731	$	26.909	$	22.654	$	17.044
Number of accumulation units outstanding at end of period (000’s omitted)		1		1		1		1		1		1		1		1		1
Janus Aspen Janus Subaccount (formerly Janus Aspen Large Cap Growth Subaccount)
Accumulation unit value at beginning of period*	$	22.477	$	16.757	$	28.258	$	24.960	$	22.779	$	22.202	$	21.593	$	16.662	$	23.048
Accumulation unit value at end of period	$	25.323	$	22.477	$	16.757	$	28.258	$	24.96	$	22.779	$	22.202	$	21.593	$	16.662
Number of accumulation units outstanding at end of period (000’s omitted)		0		0		0		1		1		1		1		1		1
Janus Aspen Mid Cap Value Subaccount
Accumulation unit value at beginning of period**	$	18.545	$	14.182	$	19.994	$	18.965	$	16.753	$	15.481	$	13.359	$	10		N/A
Accumulation unit value at end of period	$	21.047	$	18.545	$	14.182	$	19.994	$	18.965	$	16.753	$	15.481	$	13.359		N/A
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		N/A
Janus Aspen Small Company Value Subaccount
Accumulation unit value at beginning of period**		N/A	$	11.066	$	17.554	$	19.007	$	15.852	$	15.579	$	13.412	$	10		N/A
Accumulation unit value at end of period		N/A		N/A	$	11.066	$	17.554	$	19.007	$	15.852	$	15.579	$	13.412		N/A
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		N/A
Janus Aspen Worldwide Subaccount (formerly Janus Aspen Worldwide Growth Subaccount)
Accumulation unit value at beginning of period*	$	27.443	$	20.258	$	37.214	$	34.509	$	29.675	$	28.492	$	27.642	$	22.661	$	30.922
Accumulation unit value at end of period	$	31.273	$	27.443	$	20.258	$	37.214	$	34.509	$	29.675	$	28.492	$	27.642	$	22.661
Number of accumulation units outstanding at end of period (000’s omitted)		1		1		1		1		1		1		1		1		1
Oppenheimer Capital Appreciation Subaccount
Accumulation unit value at beginning of period**	$	11.965	$	8.437	$	15.784	$	14.093	$	13.303	$	12.895	$	12.295	$	10		N/A
Accumulation unit value at end of period	$	12.847	$	11.965	$	8.437	$	15.784	$	14.093	$	13.303	$	12.895	$	12.295		N/A
Number of accumulation units outstanding at end of period (000’s omitted)		2		2		2		2		2		2		2		2		N/A
Oppenheimer Global Securities Subaccount
Accumulation unit value at beginning of period**	$	17.971	$	13.108	$	22.332	$	21.401	$	18.535	$	16.517	$	14.124	$	10		N/A
Accumulation unit value at end of period	$	20.455	$	17.971	$	13.108	$	22.332	$	21.401	$	18.535	$	16.517	$	14.124		N/A
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		0		—		N/A
Oppenheimer High Income Subaccount
Accumulation unit value at beginning of period**	$	3.259	$	2.630	$	12.479	$	12.746	$	11.862	$	11.82	$	11.05	$	10		N/A
Accumulation unit value at end of period	$	3.669	$	3.259	$	2.630	$	12.479	$	12.746	$	11.862	$	11.82	$	11.05		N/A
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		N/A
Oppenheimer Main Street Subaccount
Accumulation unit value at beginning of period**	$	11.864	$	9.423	$	15.606	$	15.233	$	13.492	$	12.97	$	12.08	$	10		N/A
Accumulation unit value at end of period	$	13.519	$	11.864	$	9.423	$	15.606	$	15.233	$	13.492	$	12.97	$	12.08		N/A
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		N/A
Oppenheimer Main Street Small Cap Subaccount
Accumulation unit value at beginning of period**	$	15.571	$	11.563	$	18.960	$	19.546	$	17.328	$	16.053	$	13.693	$	10		N/A
Accumulation unit value at end of period	$	18.850	$	15.571	$	11.563	$	18.960	$	19.546	$	17.328	$	16.053	$	13.693		N/A
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		N/A
Oppenheimer Small- & Mid-Cap Growth Subaccount (formerly Oppenheimer MidCap Growth Subaccount) (formerly Oppenheimer Aggressive Growth Subaccount)
Accumulation unit value at beginning of period**	$	10.631	$	8.170	$	16.353	$	15.678	$	15.517	$	14.084	$	11.988	$	10		N/A
Accumulation unit value at end of period	$	13.299	$	10.631	$	8.170	$	16.353	$	15.678	$	15.517	$	14.084	$	11.988		N/A
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		N/A

B-18

Subaccount	2010		2009		2008		2007		2006		2005		2004		2003		2002
Oppenheimer Global Strategic Income Subaccount (formerly Oppenheimer Strategic Bond Subaccount)
Accumulation unit value at beginning of period**	$	12.935	$	11.105	$	13.200	$	12.249	$	11.611	$	11.516	$	10.796	$	10		N/A
Accumulation unit value at end of period	$	14.605	$	12.935	$	11.105	$	13.200	$	12.249	$	11.611	$	11.516	$	10.796		N/A
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		N/A
Scudder Growth Subaccount
Accumulation unit value at beginning of period*		N/A		N/A		N/A		N/A	$	5.07	$	4.902	$	3.995	$	5.753	$	5.211
Accumulation unit value at end of period+		N/A		N/A		N/A		N/A		N/A	$	5.07	$	4.902	$	3.995	$	5.753
Number of accumulation units outstanding at end of period (000’s omitted)		N/A		N/A		N/A		N/A		N/A		1		0		0		—
SVS Focus Value + Growth Subaccount
Accumulation unit value at beginning of period*		N/A		N/A		N/A		N/A	$	1.604	$	1.464	$	1.122	$	1.539	$	1.367
Accumulation unit value at end of period+		N/A		N/A		N/A		N/A		N/A	$	1.604	$	1.464	$	1.122	$	1.539
Number of accumulation units outstanding at end of period (000’s omitted)		N/A		N/A		N/A		N/A		N/A		—		—		—		—

B-19

Additional Contract Options Elected (0.35%)

Guaranteed Minimum Death Benefit and Earnings Based Death Benefit

(Separate Account Charges of 1.65% of the Daily Net Assets of the Separate Account)

Tax Nonqualified Periodic Payment Contracts—1.65%

Subaccount	2010		2009		2008		2007		2006		2005		2004		2003		2002
Alger Large Cap Growth Subaccount (formerly Alger American LargeCap Growth Subaccount)(formerly Alger American Growth Subaccount)
Accumulation unit value at beginning of period*	$	48.592	$	33.471	$	63.189	$	53.556	$	51.772	$	46.971	$	45.26	$	34.038	$	51.636
Accumulation unit value at end of period	$	54.203	$	48.592	$	33.471	$	63.189	$	53.556	$	51.772	$	46.971	$	45.26	$	34.038
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		—
Alger Small Cap Subaccount (formerly Alger American Small Cap Subaccount)
Accumulation unit value at beginning of period*	$	29.309	$	19.639	$	47.940	$	37.044	$	34.187	$	31.641	$	28.453	$	19.569	$	28.237
Accumulation unit value at end of period	$	34.423	$	29.309	$	19.639	$	47.940	$	37.044	$	34.187	$	31.641	$	28.453	$	19.569
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		—
Alger Small Capitalization Subaccount (formerly Alger American Small Capitalization Subaccount)
Accumulation unit value at beginning of period*	$	42.863	$	29.944	$	57.003	$	49.427	$	41.861	$	36.404	$	31.746	$	22.67	$	31.236
Accumulation unit value at end of period	$	52.834	$	42.863	$	29.944	$	57.003	$	49.427	$	41.861	$	36.404	$	31.746	$	22.67
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		—
American Century VP Income & Growth Subaccount
Accumulation unit value at beginning of period*	$	6.185	$	5.324	$	8.273	$	8.416	$	7.306	$	7.097	$	6.385	$	5.018	$	6.326
Accumulation unit value at end of period	$	6.945	$	6.185	$	5.324	$	8.273	$	8.416	$	7.306	$	7.097	$	6.385	$	5.018
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		—
American Century VP Value Subaccount
Accumulation unit value at beginning of period*	$	8.977	$	7.613	$	10.569	$	11.327	$	9.703	$	9.39	$	8.349	$	6.581	$	7.656
Accumulation unit value at end of period	$	10.017	$	8.977	$	7.613	$	10.569	$	11.327	$	9.703	$	9.39	$	8.349	$	6.581
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		—
Credit Suisse Trust International Equity Flex III Subaccount (formerly Credit Suisse Trust-Emerging Markets Subaccount)
Accumulation unit value at beginning of period*	$	17.315	$	11.608	$	26.109	$	20.506	$	15.729	$	12.497	$	10.168	$	7.234	$	8.315
Accumulation unit value at end of period	$	19.117	$	17.315	$	11.608	$	26.109	$	20.506	$	15.729	$	12.497	$	10.168	$	7.234
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		—
Dreyfus IP MidCap Stock Subaccount
Accumulation unit value at beginning of period**	$	12.489	$	9.381	$	16.012	$	16.055	$	15.156	$	14.142	$	12.585	$	10		N/A
Accumulation unit value at end of period	$	15.597	$	12.489	$	9.381	$	16.012	$	16.055	$	15.156	$	14.142	$	12.585		N/A
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		N/A
Dreyfus Socially Responsible Growth Subaccount
Accumulation unit value at beginning of period*	$	23.986	$	18.228	$	28.257	$	26.651	$	24.807	$	24.336	$	23.292	$	18.79	$	26.881
Accumulation unit value at end of period	$	27.093	$	23.986	$	18.228	$	28.257	$	26.651	$	24.807	$	24.336	$	23.292	$	18.79
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		—
Dreyfus VIF Small Company Stock Subaccount*
Accumulation unit value at beginning of period**		N/A		N/A		N/A	$	17.095	$	15.661	$	15.796	$	13.587	$	10		N/A
Accumulation unit value at end of period		N/A		N/A		N/A		N/A	$	17.095	$	15.661	$	15.796	$	13.587		N/A
Number of accumulation units outstanding at end of period (000’s omitted)		N/A		N/A		N/A		N/A		—		—		—		—		N/A
DWS Bond VIP Subaccount (formerly Scudder Bond Subaccount)
Accumulation unit value at beginning of period*	$	7.852	$	7.252	$	8.857	$	8.643	$	8.389	$	8.311	$	8.017	$	7.757	$	7.324
Accumulation unit value at end of period	$	8.249	$	7.852	$	7.252	$	8.857	$	8.643	$	8.389	$	8.311	$	8.017	$	7.757
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		—
DWS Capital Growth VIP Subaccount (formerly Scudder Capital Growth Subaccount)
Accumulation unit value at beginning of period*	$	19.685	$	15.772	$	23.923	$	21.600	$	20.231	$	18.873	$	17.766	$	14.233	$	20.431
Accumulation unit value at end of period	$	22.602	$	19.685	$	15.772	$	23.923	$	21.6	$	20.231	$	18.873	$	17.766	$	14.233
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		—
DWS Growth & Income VIP Subaccount (formerly Scudder Growth and Income Subaccount)
Accumulation unit value at beginning of period****	$	9.920	$	7.517	$	12.387	$	12.424	$	11.114	$	10		N/A		N/A		N/A
Accumulation unit value at end of period	$	11.164	$	9.920	$	7.517	$	12.387	$	12.424	$	11.114		N/A		N/A		N/A
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		N/A		N/A		N/A
DWS International VIP Subaccount (formerly Scudder International Subaccount)
Accumulation unit value at beginning of period*	$	13.132	$	9.998	$	19.624	$	17.410	$	14.055	$	12.298	$	10.728	$	8.536	$	10.629
Accumulation unit value at end of period	$	13.129	$	13.132	$	9.998	$	19.624	$	17.41	$	14.055	$	12.298	$	10.728	$	8.536
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		—
DWS Balanced VIP Subaccount (formerly Scudder Total Return Subaccount)
Accumulation unit value at beginning of period*	$	6.719	$	5.533	$	7.740	$	7.505	$	6.92	$	6.744	$	6.419	$	5.533	$	6.63
Accumulation unit value at end of period	$	7.352	$	6.719	$	5.533	$	7.740	$	7.505	$	6.92	$	6.744	$	6.419	$	5.533
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		—
DWS Core Fixed Income VIP Subaccount (formerly Scudder Fixed Income Subaccount)
Accumulation unit value at beginning of period*	$	1.294	$	1.221	$	1.539	$	1.502	$	1.464	$	1.455	$	1.415	$	1.368	$	1.288
Accumulation unit value at end of period	$	1.356	$	1.294	$	1.221	$	1.539	$	1.502	$	1.464	$	1.455	$	1.415	$	1.368
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		—
DWS Diversified International Equity VIP Subaccount (formerly DWS International Select Equity VIP Subaccount)
Accumulation unit value at beginning of period*	$	2.003	$	1.574	$	3.126	$	2.723	$	2.204	$	1.957	$	1.682	$	1.317	$	1.547
Accumulation unit value at end of period	$	2.186	$	2.003	$	1.574	$	3.126	$	2.723	$	2.204	$	1.957	$	1.682	$	1.317
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		—
DWS Dreman Small Mid Cap Value VIP (formerly DWS Dreman Small Cap Value VIP Subaccount)
Accumulation unit value at beginning of period*	$	2.197	$	1.722	$	2.628	$	2.593	$	2.107	$	1.943	$	1.567	$	1.122	$	1.286
Accumulation unit value at end of period	$	2.660	$	2.197	$	1.722	$	2.628	$	2.593	$	2.107	$	1.943	$	1.567	$	1.122
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		—
DWS Government & Agency Securities VIP Subaccount (formerly Scudder Government & Agency Securities Subaccount)
Accumulation unit value at beginning of period*	$	2.651	$	2.493	$	2.415	$	2.317	$	2.261	$	2.241	$	2.195	$	2.182	$	2.053
Accumulation unit value at end of period	$	2.780	$	2.651	$	2.493	$	2.415	$	2.317	$	2.261	$	2.241	$	2.195	$	2.182
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		—
DWS High Income VIP Subaccount (formerly Scudder High Income Subaccount)
Accumulation unit value at beginning of period*	$	8.212	$	5.963	$	7.969	$	8.025	$	7.384	$	7.224	$	6.533	$	5.329	$	5.433
Accumulation unit value at end of period	$	9.210	$	8.212	$	5.963	$	7.969	$	8.025	$	7.384	$	7.224	$	6.533	$	5.329
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		—
DWS Large Cap Value VIP Subaccount (formerly Scudder Large Cap Value Subaccount)
Accumulation unit value at beginning of period*	$	2.080	$	1.686	$	2.695	$	2.422	$	2.133	$	2.126	$	1.964	$	1.505	$	1.8
Accumulation unit value at end of period	$	2.267	$	2.080	$	1.686	$	2.695	$	2.422	$	2.133	$	2.126	$	1.964	$	1.505
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		—
DWS Money Market VIP Subaccount (formerly Scudder Money Market Subaccount)
Accumulation unit value at beginning of period*	$	2.766	$	2.802	$	2.776	$	2.688	$	2.61	$	2.581	$	2.6	$	2.624	$	2.631
Accumulation unit value at end of period	$	2.722	$	2.766	$	2.802	$	2.776	$	2.688	$	2.61	$	2.581	$	2.6	$	2.624
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		—
DWS Small Mid-Cap Growth VIP Subaccount (formerly DWS Small Cap Growth Subaccount)
Accumulation unit value at beginning of period*	$	1.558	$	1.127	$	2.268	$	2.171	$	2.096	$	1.99	$	1.822	$	1.393	$	2.129
Accumulation unit value at end of period	$	1.985	$	1.558	$	1.127	$	2.268	$	2.171	$	2.096	$	1.99	$	1.822	$	1.393
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		—
DWS Technology VIP Subaccount (formerly Scudder Technology Growth Subaccount)*
Accumulation unit value at beginning of period*	$	0.806	$	0.511	$	0.965	$	0.858	$	0.866	$	0.849	$	0.846	$	0.587	$	0.925
Accumulation unit value at end of period	$	0.941	$	0.806	$	0.511	$	0.965	$	0.858	$	0.866	$	0.849	$	0.846	$	0.587
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		—

B-20

Subaccount	2010		2009		2008		2007		2006		2005		2004		2003		2002
Fidelity VIP Asset ManagerSM Subaccount
Accumulation unit value at beginning of period*	$	26.413	$	20.795	$	29.655	$	26.100	$	24.721	$	24.151	$	23.277	$	20.056	$	22.337
Accumulation unit value at end of period	$	29.691	$	26.413	$	20.795	$	29.655	$	26.1	$	24.721	$	24.151	$	23.277	$	20.056
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		—
Fidelity VIP Contrafund® Subaccount
Accumulation unit value at beginning of period*	$	35.716	$	26.752	$	47.307	$	40.897	$	37.21	$	32.344	$	28.472	$	22.529	$	25.263
Accumulation unit value at end of period	$	41.186	$	35.716	$	26.752	$	47.307	$	40.897	$	37.21	$	32.344	$	28.472	$	22.529
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		—
Fidelity VIP Equity-Income Subaccount
Accumulation unit value at beginning of period*	$	31.256	$	24.401	$	43.254	$	43.309	$	36.625	$	35.165	$	32.051	$	24.998	$	30.596
Accumulation unit value at end of period	$	35.407	$	31.256	$	24.401	$	43.254	$	43.309	$	36.625	$	35.165	$	32.051	$	24.998
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		—
Fidelity VIP Growth Subaccount
Accumulation unit value at beginning of period*	$	41.101	$	32.567	$	62.661	$	50.172	$	47.728	$	45.855	$	45.09	$	34.5	$	50.177
Accumulation unit value at end of period	$	50.208	$	41.101	$	32.567	$	62.661	$	50.172	$	47.728	$	45.855	$	45.09	$	34.5
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		—
Fidelity VIP Index 500 Subaccount
Accumulation unit value at beginning of period*	$	133.826	$	107.446	$	173.364	$	167.149	$	146.808	$	142.356	$	130.824	$	103.561	$	135.396
Accumulation unit value at end of period	$	151.433	$	133.826	$	107.446	$	173.364	$	167.149	$	146.808	$	142.356	$	130.824	$	103.561
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		—
Franklin Rising Dividends Securities Subaccount
Accumulation unit value at beginning of period**	$	12.328	$	10.679	$	14.891	$	15.557	$	13.501	$	13.268	$	12.151	$	10		N/A
Accumulation unit value at end of period	$	14.632	$	12.328	$	10.679	$	14.891	$	15.557	$	13.501	$	13.268	$	12.151		N/A
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		N/A
Franklin Small Cap Value Securities Subaccount
Accumulation unit value at beginning of period**	$	15.901	$	12.514	$	18.992	$	19.778	$	17.185	$	16.06	$	13.192	$	10		N/A
Accumulation unit value at end of period	$	20.057	$	15.901	$	12.514	$	18.992	$	19.778	$	17.185	$	16.06	$	13.192		N/A
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		N/A
Franklin Strategic Income Securities Subaccount
Accumulation unit value at beginning of period**	$	14.052	$	11.359	$	13.008	$	12.486	$	11.725	$	11.747	$	10.876	$	10		N/A
Accumulation unit value at end of period	$	15.333	$	14.052	$	11.359	$	13.008	$	12.486	$	11.725	$	11.747	$	10.876		N/A
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		N/A
Franklin U.S. Government Subaccount
Accumulation unit value at beginning of period**	$	11.786	$	11.621	$	10.980	$	10.470	$	10.231	$	10.156	$	9.977	$	10		N/A
Accumulation unit value at end of period	$	12.208	$	11.786	$	11.621	$	10.980	$	10.47	$	10.231	$	10.156	$	9.977		N/A
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		N/A
Franklin Zero Coupon 2010 Subaccount
Accumulation unit value at beginning of period**	$	11.388	$	11.558	$	10.957	$	10.275	$	10.2	$	10.232	$	9.958	$	10		N/A
Accumulation unit value at end of period		N/A	$	11.388	$	11.558	$	10.957	$	10.275	$	10.2	$	10.232	$	9.958		N/A
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		N/A
Mutal Global Discovery Securities Subaccount (formerly Mutual Discovery Securities Subaccount)
Accumulation unit value at beginning of period**	$	18.670	$	15.390	$	21.866	$	19.874	$	16.416	$	14.389	$	12.375	$	10		N/A
Accumulation unit value at end of period	$	20.564	$	18.670	$	15.390	$	21.866	$	19.874	$	16.416	$	14.389	$	12.375		N/A
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		N/A
Mutual Shares Securities Subaccount
Accumulation unit value at beginning of period**	$	13.120	$	10.580	$	17.102	$	16.801	$	14.426	$	13.263	$	11.97	$	10		N/A
Accumulation unit value at end of period	$	14.352	$	13.120	$	10.580	$	17.102	$	16.801	$	14.426	$	13.263	$	11.97		N/A
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		N/A
Templeton Developing Markets Securities Subaccount
Accumulation unit value at beginning of period**	$	28.037	$	16.512	$	35.492	$	28.016	$	22.232	$	17.734	$	14.455	$	10		N/A
Accumulation unit value at end of period	$	32.432	$	28.037	$	16.512	$	35.492	$	28.016	$	22.232	$	17.734	$	14.455		N/A
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		N/A
ING JPMorgan Emerging Markets Equity Subaccount
Accumulation unit value at beginning of period+++	$	21.794	$	12.879	$	26.802	$	19.629	$	14.651	$	10		N/A		N/A		N/A
Accumulation unit value at end of period	$	25.864	$	21.794	$	12.879	$	26.802	$	19.629	$	14.651		N/A		N/A		N/A
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		N/A		N/A		N/A
ING VP Emerging Markets Subaccount
Accumulation unit value at beginning of period*		N/A		N/A		N/A		N/A		N/A	$	8.077	$	6.746	$	4.658	$	5.222
Accumulation unit value at end of period++		N/A		N/A		N/A		N/A		N/A		N/A	$	8.077	$	6.746	$	4.658
Number of accumulation units outstanding at end of period (000’s omitted)		N/A		N/A		N/A		N/A		—		N/A		—		—		—
ING VP Natural Resources Trust Subaccount
Accumulation unit value at beginning of period*		N/A		N/A		N/A	$	29.904	$	24.969	$	17.766	$	16.03	$	12.484	$	12.962
Accumulation unit value at end of period		N/A		N/A		N/A		N/A	$	29.904	$	24.969	$	17.766	$	16.03	$	12.484
Number of accumulation units outstanding at end of period (000’s omitted)		N/A		N/A		N/A		N/A		—		—		—		—		—
ING VP Global Resources Portfolio Subaccount
Accumulation unit value at beginning of period*	$	11.145	$	8.238	$	14.194		N/A		N/A		N/A		N/A		N/A		N/A
Accumulation unit value at end of period	$	13.337	$	11.145	$	8.238	$	14.194		N/A		N/A		N/A		N/A		N/A
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		N/A		N/A		N/A		N/A		N/A
Invesco V.I. Financial Services Subaccount (formerly AIM V.I. Financial Services Subaccount)
Accumulation unit value at beginning of period**	$	5.958	$	4.753	$	11.913	$	15.570	$	13.591	$	13.044	$	12.201	$	10		N/A
Accumulation unit value at end of period	$	6.466	$	5.958	$	4.753	$	11.913	$	15.57	$	13.591	$	13.044	$	12.201		N/A
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		N/A
Invesco V.I. Global Health Care Subaccount (formerly AIM V.I. Global Health Care Subaccount )
Accumulation unit value at beginning of period**	$	13.373	$	10.647	$	15.163	$	13.781	$	13.311	$	12.51	$	11.823	$	10		N/A
Accumulation unit value at end of period	$	13.853	$	13.373	$	10.647	$	15.163	$	13.781	$	13.311	$	12.51	$	11.823		N/A
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		N/A
Invesco V.I. Real Estate Subaccount (formerly AIM V.I. Real Estate Subaccount)
Accumulation unit value at beginning of period**	$	18.111	$	13.997	$	25.706	$	27.665	$	19.719	$	17.546	$	13.059	$	10		N/A
Accumulation unit value at end of period	$	20.938	$	18.111	$	13.997	$	25.706	$	27.665	$	19.719	$	17.546	$	13.059		N/A
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		N/A
Invesco V.I. Utilities Subaccount (formerly AIM V.I. Utilities Subaccount)
Accumulation unit value at beginning of period**	$	17.988	$	15.909	$	23.908	$	20.145	$	16.321	$	14.199	$	11.682	$	10		N/A
Accumulation unit value at end of period	$	18.811	$	17.988	$	15.909	$	23.908	$	20.145	$	16.321	$	14.199	$	11.682		N/A
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		N/A
JPMorgan Insurance Trust Equity Index Subaccount (formerly JPMorgan Investment Trust Equity Index Subaccount)
Accumulation unit value at beginning of period***	$	10.267	$	8.254	$	13.362	$	12.925	$	11.382	$	11.076	$	10.236		N/A		N/A
Accumulation unit value at end of period	$	11.555	$	10.267	$	8.254	$	13.362	$	12.925	$	11.382	$	11.076		N/A		N/A
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		N/A		N/A
JPMorgan Insurance Trust U.S. Equity Subaccount (JPMorgan Insurance Trust Diversified Equity Subaccount (formerly JPMorgan Investment Trust Diversified Equity Subaccount)
Accumulation unit value at beginning of period***	$	11.335	$	8.619	$	13.438	$	12.368	$	10.824	$	10.752	$	10.047		N/A		N/A
Accumulation unit value at end of period	$	12.665	$	11.335	$	8.619	$	13.438	$	12.368	$	10.824	$	10.752		N/A		N/A
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		N/A		N/A

B-21

Subaccount	2010		2009		2008		2007		2006		2005		2004		2003		2002
JPMorgan Insurance Trust Diversified Mid Cap Growth Subaccount (formerly JPMorgan Investment Trust Mid Cap Growth Subaccount)
Accumulation unit value at beginning of period***	$	12.031	$	8.550	$	15.461	$	13.407	$	12.234	$	11.194	$	10.394		N/A		N/A
Accumulation unit value at end of period	$	14.870	$	12.031	$	8.550	$	15.461	$	13.407	$	12.234	$	11.194		N/A		N/A
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		N/A		N/A
JPMorgan Insurance Trust Intrepid Mid Cap Subaccount (formerly JPMorgan Investment Trust Diversified Mid Cap Subaccount)
Accumulation unit value at beginning of period***	$	11.981	$	8.977	$	14.915	$	14.739	$	13.129	$	11.396	$	10.089		N/A		N/A
Accumulation unit value at end of period	$	14.088	$	11.981	$	8.977	$	14.915	$	14.739	$	13.129	$	11.396		N/A		N/A
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		N/A		N/A
JPMorgan Insurance Trust Diversified Mid Cap Value Subaccount (formerly JPMorgan Investment Trust Mid Cap Value Subaccount)
Accumulation unit value at beginning of period***	$	11.307	$	8.987	$	14.160	$	14.264	$	12.422	$	11.504	$	10.27		N/A		N/A
Accumulation unit value at end of period	$	13.733	$	11.307	$	8.987	$	14.160	$	14.264	$	12.422	$	11.504		N/A		N/A
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		N/A		N/A
JPMorgan Insurance Trust International Equity Subaccount
Accumulation unit value at beginning of period***	$	16.600		N/A		N/A		N/A		N/A		N/A		N/A		N/A		N/A
Accumulation unit value at end of period	$	17.500	$	16.600		N/A		N/A		N/A		N/A		N/A		N/A		N/A
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		N/A		N/A		N/A		N/A		N/A		N/A		N/A
JPMorgan Insurance Trust Small Cap Core Subaccount
Accumulation unit value at beginning of period***	$	14.968		N/A		N/A		N/A		N/A		N/A		N/A		N/A		N/A
Accumulation unit value at end of period	$	18.720	$	14.968		N/A		N/A		N/A		N/A		N/A		N/A		N/A
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		N/A		N/A		N/A		N/A		N/A		N/A		N/A
JPMorgan International Equity Subaccount
Accumulation unit value at beginning of period**		N/A	$	12.508	$	21.680	$	20.158	$	16.79	$	15.417	$	13.24	$	10		N/A
Accumulation unit value at end of period		N/A		N/A	$	12.508	$	21.680	$	20.158	$	16.79	$	15.417	$	13.24		N/A
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		N/A
JPMorgan Mid Cap Value Subaccount
Accumulation unit value at beginning of period**		N/A	$	11.975	$	18.224	$	18.083	$	15.731	$	14.641	$	12.294	$	10		N/A
Accumulation unit value at end of period		N/A		N/A	$	11.975	$	18.224	$	18.083	$	15.731	$	14.641	$	12.294		N/A
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		N/A
JPMorgan Small Company Subaccount
Accumulation unit value at beginning of period*		N/A	$	12.413	$	18.552	$	19.994	$	17.671	$	17.368	$	13.883	$	10.378	$	13.465
Accumulation unit value at end of period		N/A		N/A	$	12.413	$	18.552	$	19.994	$	17.671	$	17.368	$	13.883	$	10.378
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		—
Janus Aspen Balanced Subaccount
Accumulation unit value at beginning of period*	$	38.683	$	31.235	$	37.726	$	34.697	$	31.853	$	29.993	$	28.094	$	25.039	$	27.206
Accumulation unit value at end of period	$	41.246	$	38.683	$	31.235	$	37.726	$	34.697	$	31.853	$	29.993	$	28.094	$	25.039
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		—
Janus Aspen Enterprise Subaccount (formerly Janus Aspen Mid Cap Growth Subaccount)
Accumulation unit value at beginning of period*	$	31.467	$	22.086	$	39.894	$	33.231	$	29.731	$	26.909	$	22.654	$	17.044	$	24.042
Accumulation unit value at end of period	$	38.959	$	31.467	$	22.086	$	39.894	$	33.231	$	29.731	$	26.909	$	22.654	$	17.044
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		—
Janus Aspen Janus Subaccount (formerly Janus Aspen Large Cap Growth Subaccount)
Accumulation unit value at beginning of period*	$	22.477	$	16.757	$	28.258	$	24.960	$	22.779	$	22.202	$	21.593	$	16.662	$	23.048
Accumulation unit value at end of period	$	25.323	$	22.477	$	16.757	$	28.258	$	24.96	$	22.779	$	22.202	$	21.593	$	16.662
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		—
Janus Aspen Mid Cap Value Subaccount
Accumulation unit value at beginning of period**	$	18.545	$	14.182	$	19.994	$	18.965	$	16.753	$	15.481	$	13.359	$	10		N/A
Accumulation unit value at end of period	$	21.047	$	18.545	$	14.182	$	19.994	$	18.965	$	16.753	$	15.481	$	13.359		N/A
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		N/A
Janus Aspen Small Company Value Subaccount
Accumulation unit value at beginning of period**		N/A	$	11.066	$	17.554	$	19.007	$	15.852	$	15.579	$	13.412	$	10		N/A
Accumulation unit value at end of period		N/A		N/A	$	11.066	$	17.554	$	19.007	$	15.852	$	15.579	$	13.412		N/A
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		N/A
Janus Aspen Worldwide Subaccount (formerly Janus Aspen Worldwide Growth Subaccount)
Accumulation unit value at beginning of period*	$	27.443	$	20.258	$	37.214	$	34.509	$	29.675	$	28.492	$	27.642	$	22.661	$	30.922
Accumulation unit value at end of period	$	31.273	$	27.443	$	20.258	$	37.214	$	34.509	$	29.675	$	28.492	$	27.642	$	22.661
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		—
Oppenheimer Capital Appreciation Subaccount
Accumulation unit value at beginning of period**	$	11.965	$	8.437	$	15.784	$	14.093	$	13.303	$	12.895	$	12.295	$	10		N/A
Accumulation unit value at end of period	$	12.847	$	11.965	$	8.437	$	15.784	$	14.093	$	13.303	$	12.895	$	12.295		N/A
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		N/A
Oppenheimer Global Securities Subaccount
Accumulation unit value at beginning of period**	$	17.971	$	13.108	$	22.332	$	21.401	$	18.535	$	16.517	$	14.124	$	10		N/A
Accumulation unit value at end of period	$	20.455	$	17.971	$	13.108	$	22.332	$	21.401	$	18.535	$	16.517	$	14.124		N/A
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		N/A
Oppenheimer High Income Subaccount
Accumulation unit value at beginning of period**	$	3.259	$	2.630	$	12.479	$	12.746	$	11.862	$	11.82	$	11.05	$	10		N/A
Accumulation unit value at end of period	$	3.669	$	3.259	$	2.630	$	12.479	$	12.746	$	11.862	$	11.82	$	11.05		N/A
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		N/A
Oppenheimer Main Street Subaccount
Accumulation unit value at beginning of period**	$	11.864	$	9.423	$	15.606	$	15.233	$	13.492	$	12.97	$	12.08	$	10		N/A
Accumulation unit value at end of period	$	13.519	$	11.864	$	9.423	$	15.606	$	15.233	$	13.492	$	12.97	$	12.08		N/A
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		N/A
Oppenheimer Main Street Small Cap Subaccount
Accumulation unit value at beginning of period**	$	15.571	$	11.563	$	18.960	$	19.546	$	17.328	$	16.053	$	13.693	$	10		N/A
Accumulation unit value at end of period	$	18.850	$	15.571	$	11.563	$	18.960	$	19.546	$	17.328	$	16.053	$	13.693		N/A
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		N/A
Oppenheimer Small- & Mid-Cap Growth Subaccount (formerly Oppenheimer MidCap Growth Subaccount) (formerly Oppenheimer Aggressive Growth Subaccount)
Accumulation unit value at beginning of period**	$	10.631	$	8.170	$	16.353	$	15.678	$	15.517	$	14.084	$	11.988	$	10		N/A
Accumulation unit value at end of period	$	13.299	$	10.631	$	8.170	$	16.353	$	15.678	$	15.517	$	14.084	$	11.988		N/A
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		N/A
Oppenheimer Global Strategic Income Subaccount (formerly Oppenheimer Strategic Bond Subaccount)
Accumulation unit value at beginning of period**	$	12.935	$	11.105	$	13.200	$	12.249	$	11.611	$	11.516	$	10.796	$	10		N/A
Accumulation unit value at end of period	$	14.605	$	12.935	$	11.105	$	13.200	$	12.249	$	11.611	$	11.516	$	10.796		N/A
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		N/A
Scudder Growth Subaccount
Accumulation unit value at beginning of period*		N/A		N/A		N/A		N/A		N/A	$	5.063	$	4.895	$	3.989	$	5.745
Accumulation unit value at end of period+		N/A		N/A		N/A		N/A		N/A		N/A	$	5.063	$	4.895	$	3.989
Number of accumulation units outstanding at end of period (000’s omitted)		N/A		N/A		N/A		N/A		N/A		N/A		—		—		—
SVS Focus Value + Growth Subaccount
Accumulation unit value at beginning of period*		N/A		N/A		N/A		N/A		N/A	$	1.604	$	1.464	$	1.122	$	1.539
Accumulation unit value at end of period+		N/A		N/A		N/A		N/A		N/A		N/A	$	1.604	$	1.464	$	1.122
Number of accumulation units outstanding at end of period (000’s omitted)		N/A		N/A		N/A		N/A		N/A		N/A		—		—		—

B-22

Additional Contract Options Elected (0.40%)

Guaranteed Retirement Income Benefit—7 year

(Separate Account Charges of 1.70% of the Daily Net Assets of the Separate Account)

Tax Qualified Periodic Payment Contracts—1.70%

Subaccount	2010		2009		2008		2007		2006		2005		2004		2003		2002
Alger Large Cap Growth Subaccount (formerly Alger American LargeCap Growth Subaccount)(formerly Alger American Growth Subaccount)
Accumulation unit value at beginning of period*	$	48.396	$	33.352	$	62.996	$	53.418	$	51.664	$	46.896	$	45.21	$	34.017	$	51.63
Accumulation unit value at end of period	$	53.958	$	48.396	$	33.352	$	62.996	$	53.418	$	51.664	$	46.896	$	45.21	$	34.017
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		—
Alger Small Cap Subaccount (formerly Alger American Small Cap Subaccount)
Accumulation unit value at beginning of period*	$	29.191	$	19.569	$	47.793	$	36.949	$	34.116	$	31.59	$	28.422	$	19.557	$	28.23
Accumulation unit value at end of period	$	34.267	$	29.191	$	19.569	$	47.793	$	36.949	$	34.116	$	31.59	$	28.422	$	19.557
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		—
Alger Small Capitalization Subaccount (formerly Alger American Small Capitalization Subaccount)
Accumulation unit value at beginning of period*	$	42.690	$	29.837	$	56.829	$	49.300	$	41.774	$	36.346	$	31.711	$	22.656	$	31.232
Accumulation unit value at end of period	$	52.595	$	42.690	$	29.837	$	56.829	$	49.3	$	41.774	$	36.346	$	31.711	$	22.656
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		0
American Century VP Income & Growth Subaccount
Accumulation unit value at beginning of period*	$	6.160	$	5.305	$	8.248	$	8.394	$	7.291	$	7.086	$	6.378	$	5.015	$	6.325
Accumulation unit value at end of period	$	6.914	$	6.160	$	5.305	$	8.248	$	8.394	$	7.291	$	7.086	$	6.378	$	5.015
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		0
American Century VP Value Subaccount
Accumulation unit value at beginning of period*	$	8.941	$	7.586	$	10.537	$	11.297	$	9.683	$	9.375	$	8.339	$	6.577	$	7.655
Accumulation unit value at end of period	$	9.972	$	8.941	$	7.586	$	10.537	$	11.297	$	9.683	$	9.375	$	8.339	$	6.577
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		0
Credit Suisse Trust International Equity Flex III Subaccount (formerly Credit Suisse Trust-Emerging Markets Subaccount)
Accumulation unit value at beginning of period*	$	17.245	$	11.567	$	26.029	$	20.453	$	15.696	$	12.477	$	10.157	$	7.23	$	8.314
Accumulation unit value at end of period	$	19.031	$	17.245	$	11.567	$	26.029	$	20.453	$	15.696	$	12.477	$	10.157	$	7.23
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		—
Dreyfus IP MidCap Stock Subaccount
Accumulation unit value at beginning of period**	$	12.448	$	9.355	$	15.976	$	16.027	$	15.136	$	14.13	$	12.581	$	10		N/A
Accumulation unit value at end of period	$	15.539	$	12.448	$	9.355	$	15.976	$	16.027	$	15.136	$	14.13	$	12.581		N/A
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		N/A
Dreyfus Socially Responsible Growth Subaccount
Accumulation unit value at beginning of period*	$	23.889	$	18.164	$	28.171	$	26.583	$	24.756	$	24.297	$	23.266	$	18.778	$	26.878
Accumulation unit value at end of period	$	26.970	$	23.889	$	18.164	$	28.171	$	26.583	$	24.756	$	24.297	$	23.266	$	18.778
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		—
Dreyfus VIF Small Company Stock Subaccount*
Accumulation unit value at beginning of period**		N/A		N/A		N/A	$	17.064	$	15.641	$	15.784	$	13.583	$	10		N/A
Accumulation unit value at end of period		N/A		N/A		N/A		N/A	$	17.064	$	15.641	$	15.784	$	13.583		N/A
Number of accumulation units outstanding at end of period (000’s omitted)		N/A		N/A		N/A		N/A		—		—		—		—		N/A
DW Bond VIP Subaccount (formerly Scudder Bond Subaccount)
Accumulation unit value at beginning of period*	$	7.821	$	7.226	$	8.830	$	8.620	$	8.372	$	8.298	$	8.008	$	7.752	$	7.323
Accumulation unit value at end of period	$	8.212	$	7.821	$	7.226	$	8.830	$	8.62	$	8.372	$	8.298	$	8.008	$	7.752
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		0
DWS Capital Growth VIP Subaccount (formerly Scudder Capital Growth Subaccount)
Accumulation unit value at beginning of period*	$	19.606	$	15.716	$	23.850	$	21.545	$	20.188	$	18.843	$	17.747	$	14.224	$	20.428
Accumulation unit value at end of period	$	22.499	$	19.606	$	15.716	$	23.850	$	21.545	$	20.188	$	18.843	$	17.747	$	14.224
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		—
DWS Growth & Income VIP Subaccount (formerly Scudder Growth and Income Subaccount)
Accumulation unit value at beginning of period****	$	9.897	$	7.503	$	12.371	$	12.414	$	11.11	$	10		N/A		N/A		N/A
Accumulation unit value at end of period	$	11.133	$	9.897	$	7.503	$	12.371	$	12.414	$	11.11		N/A		N/A		N/A
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		N/A		N/A		N/A
DWS International VIP Subaccount (formerly Scudder International Subaccount)
Accumulation unit value at beginning of period*	$	13.079	$	9.962	$	19.564	$	17.365	$	14.026	$	12.278	$	10.716	$	8.531	$	10.628
Accumulation unit value at end of period	$	13.069	$	13.079	$	9.962	$	19.564	$	17.365	$	14.026	$	12.278	$	10.716	$	8.531
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		0
DWS Balanced VIP Subaccount (formerly Scudder Total Return Subaccount)
Accumulation unit value at beginning of period*	$	7.182	$	5.917	$	8.282	$	8.034	$	7.411	$	7.226	$	6.882	$	5.935	$	7.115
Accumulation unit value at end of period	$	7.855	$	7.182	$	5.917	$	8.282	$	8.034	$	7.411	$	7.226	$	6.882	$	5.935
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		—
DWS Core Fixed Income VIP Subaccount (formerly Scudder Fixed Income Subaccount)
Accumulation unit value at beginning of period*	$	1.289	$	1.217	$	1.534	$	1.498	$	1.461	$	1.453	$	1.414	$	1.368	$	1.288
Accumulation unit value at end of period	$	1.350	$	1.289	$	1.217	$	1.534	$	1.498	$	1.461	$	1.453	$	1.414	$	1.368
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		—

B-23

Subaccount	2010		2009		2008		2007		2006		2005		2004		2003		2002
DWS Diversified International Equity VIP Subaccount (formerly DWS International Select Equity VIP Subaccount)
Accumulation unit value at beginning of period*	$	1.995	$	1.569	$	3.117	$	2.716	$	2.2	$	1.954	$	1.68	$	1.316	$	1.547
Accumulation unit value at end of period	$	2.176	$	1.995	$	1.569	$	3.117	$	2.716	$	2.2	$	1.954	$	1.68	$	1.316
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		—
DWS Dreman Small Mid Cap Value VIP (formerly DWS Dreman Small Cap Value VIP Subaccount)
Accumulation unit value at beginning of period*	$	2.188	$	1.715	$	2.620	$	2.586	$	2.103	$	1.94	$	1.565	$	1.121	$	1.286
Accumulation unit value at end of period	$	2.647	$	2.188	$	1.715	$	2.620	$	2.586	$	2.103	$	1.94	$	1.565	$	1.121
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		—
DWS Government & Agency Securities VIP Subaccount (formerly Scudder Government & Agency Securities Subaccount)
Accumulation unit value at beginning of period*	$	2.640	$	2.484	$	2.407	$	2.311	$	2.256	$	2.237	$	2.193	$	2.181	$	2.053
Accumulation unit value at end of period	$	2.767	$	2.640	$	2.484	$	2.407	$	2.311	$	2.256	$	2.237	$	2.193	$	2.181
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		1
DWS High Income VIP Subaccount (formerly Scudder High Income Subaccount)
Accumulation unit value at beginning of period*	$	8.396	$	6.100	$	8.156	$	8.216	$	7.564	$	7.404	$	6.699	$	5.467	$	5.576
Accumulation unit value at end of period	$	9.411	$	8.396	$	6.100	$	8.156	$	8.216	$	7.564	$	7.404	$	6.699	$	5.467
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		—
DWS Large Cap Value VIP Subaccount (formerly Scudder Large Cap Value Subaccount)
Accumulation unit value at beginning of period*	$	2.072	$	1.681	$	2.687	$	2.416	$	2.128	$	2.123	$	1.961	$	1.504	$	1.8
Accumulation unit value at end of period	$	2.256	$	2.072	$	1.681	$	2.687	$	2.416	$	2.128	$	2.123	$	1.961	$	1.504
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		1
DWS Money Market VIP Subaccount (formerly Scudder Money Market Subaccount)
Accumulation unit value at beginning of period*	$	2.755	$	2.792	$	2.767	$	2.681	$	2.605	$	2.577	$	2.597	$	2.622	$	2.631
Accumulation unit value at end of period	$	2.709	$	2.755	$	2.792	$	2.767	$	2.681	$	2.605	$	2.577	$	2.597	$	2.622
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		—
DWS Small Mid-Cap Growth VIP Subaccount (formerly DWS Small Cap Growth Subaccount)
Accumulation unit value at beginning of period*	$	1.552	$	1.123	$	2.261	$	2.165	$	2.092	$	1.987	$	1.82	$	1.392	$	2.128
Accumulation unit value at end of period	$	1.976	$	1.552	$	1.123	$	2.261	$	2.165	$	2.092	$	1.987	$	1.82	$	1.392
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		1
DWS Technology VIP Subaccount (formerly Scudder Technology Growth Subaccount)*
Accumulation unit value at beginning of period*	$	0.803	$	0.509	$	0.962	$	0.856	$	0.864	$	0.847	$	0.845	$	0.586	$	0.925
Accumulation unit value at end of period	$	0.936	$	0.803	$	0.509	$	0.962	$	0.856	$	0.864	$	0.847	$	0.845	$	0.586
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		—
Fidelity VIP Asset ManagerSM Subaccount
Accumulation unit value at beginning of period*	$	26.306	$	20.721	$	29.564	$	26.033	$	24.669	$	24.112	$	23.252	$	20.044	$	22.334
Accumulation unit value at end of period	$	29.557	$	26.306	$	20.721	$	29.564	$	26.033	$	24.669	$	24.112	$	23.252	$	20.044
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		—
Fidelity VIP Contrafund® Subaccount
Accumulation unit value at beginning of period*	$	35.572	$	26.657	$	47.162	$	40.791	$	37.132	$	32.292	$	28.441	$	22.515	$	25.26
Accumulation unit value at end of period	$	41.000	$	35.572	$	26.657	$	47.162	$	40.791	$	37.132	$	32.292	$	28.441	$	22.515
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		—
Fidelity VIP Equity-Income Subaccount
Accumulation unit value at beginning of period*	$	31.129	$	24.314	$	43.121	$	43.197	$	36.549	$	35.109	$	32.016	$	24.983	$	30.592
Accumulation unit value at end of period	$	35.247	$	31.129	$	24.314	$	43.121	$	43.197	$	36.549	$	35.109	$	32.016	$	24.983
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		0
Fidelity VIP Growth Subaccount
Accumulation unit value at beginning of period*	$	40.934	$	32.451	$	62.469	$	50.043	$	47.629	$	45.781	$	45.04	$	34.479	$	50.17
Accumulation unit value at end of period	$	49.981	$	40.934	$	32.451	$	62.469	$	50.043	$	47.629	$	45.781	$	45.04	$	34.479
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		0
Fidelity VIP Index 500 Subaccount
Accumulation unit value at beginning of period*	$	133.285	$	107.064	$	172.833	$	166.719	$	146.502	$	142.129	$	130.68	$	103.497	$	135.379
Accumulation unit value at end of period	$	150.748	$	133.285	$	107.064	$	172.833	$	166.719	$	146.502	$	142.129	$	130.68	$	103.497
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		—
Franklin Rising Dividends Securities Subaccount
Accumulation unit value at beginning of period**	$	12.288	$	10.650	$	14.857	$	15.529	$	13.483	$	13.258	$	12.147	$	10		N/A
Accumulation unit value at end of period	$	14.577	$	12.288	$	10.650	$	14.857	$	15.529	$	13.483	$	13.258	$	12.147		N/A
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		N/A
Franklin Small Cap Value Securities Subaccount
Accumulation unit value at beginning of period**	$	15.849	$	12.480	$	18.948	$	19.742	$	17.162	$	16.046	$	13.188	$	10		N/A
Accumulation unit value at end of period	$	19.982	$	15.849	$	12.480	$	18.948	$	19.742	$	17.162	$	16.046	$	13.188		N/A
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		N/A
Franklin Strategic Income Securities Subaccount
Accumulation unit value at beginning of period**	$	14.006	$	11.327	$	12.978	$	12.463	$	11.709	$	11.737	$	10.872	$	10		N/A
Accumulation unit value at end of period	$	15.275	$	14.006	$	11.327	$	12.978	$	12.463	$	11.709	$	11.737	$	10.872		N/A
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		N/A
Franklin U.S. Government Subaccount
Accumulation unit value at beginning of period**	$	11.748	$	11.589	$	10.955	$	10.451	$	10.218	$	10.147	$	9.974	$	10		N/A
Accumulation unit value at end of period	$	12.162	$	11.748	$	11.589	$	10.955	$	10.451	$	10.218	$	10.147	$	9.974		N/A
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		N/A
Franklin Zero Coupon 2010 Subaccount
Accumulation unit value at beginning of period**	$	11.351	$	11.526	$	10.932	$	10.256	$	10.186	$	10.224	$	9.955	$	10		N/A
Accumulation unit value at end of period		N/A	$	11.351	$	11.526	$	10.932	$	10.256	$	10.186	$	10.224	$	9.955		N/A
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		N/A
Mutal Global Discovery Securities Subaccount (formerly Mutual Discovery Securities Subaccount)
Accumulation unit value at beginning of period**	$	18.609	$	15.347	$	21.816	$	19.838	$	16.395	$	14.377	$	12.371	$	10		N/A
Accumulation unit value at end of period	$	20.486	$	18.609	$	15.347	$	21.816	$	19.838	$	16.395	$	14.377	$	12.371		N/A
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		N/A
Mutual Shares Securities Subaccount
Accumulation unit value at beginning of period**	$	13.077	$	10.551	$	17.062	$	16.771	$	14.407	$	13.252	$	11.967	$	10		N/A
Accumulation unit value at end of period	$	14.298	$	13.077	$	10.551	$	17.062	$	16.771	$	14.407	$	13.252	$	11.967		N/A
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		N/A
Templeton Developing Markets Securities Subaccount
Accumulation unit value at beginning of period**	$	27.945	$	16.467	$	35.410	$	27.966	$	22.203	$	17.719	$	14.45	$	10		N/A
Accumulation unit value at end of period	$	32.311	$	27.945	$	16.467	$	35.410	$	27.966	$	22.203	$	17.719	$	14.45		N/A
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		N/A
ING JPMorgan Emerging Markets Equity Subaccount
Accumulation unit value at beginning of period+++	$	21.751	$	12.860	$	26.775	$	19.619	$	14.651	$	10		N/A		N/A		N/A
Accumulation unit value at end of period	$	25.800	$	21.751	$	12.860	$	26.775	$	19.619	$	14.651		N/A		N/A		N/A
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		N/A		N/A		N/A
ING VP Emerging Markets Subaccount
Accumulation unit value at beginning of period*		N/A		N/A		N/A		N/A		N/A	$	8.064	$	6.738	$	4.655	$	5.222
Accumulation unit value at end of period++		N/A		N/A		N/A		N/A		N/A		N/A	$	8.064	$	6.738	$	4.655
Number of accumulation units outstanding at end of period (000’s omitted)		N/A		N/A		N/A		N/A		N/A		N/A		—		—		—
ING VP Natural Resources Trust Subaccount
Accumulation unit value at beginning of period*		N/A		N/A		N/A	$	29.827	$	24.917	$	17.738	$	16.013	$	12.476	$	12.96
Accumulation unit value at end of period		N/A		N/A		N/A		N/A	$	29.827	$	24.917	$	17.738	$	16.013	$	12.476
Number of accumulation units outstanding at end of period (000’s omitted)		N/A		N/A		N/A		N/A		—		—		—		—		—
ING VP Global Resources Portfolio Subaccount
Accumulation unit value at beginning of period*	$	11.129	$	8.230	$	14.187		N/A		N/A		N/A		N/A		N/A		N/A
Accumulation unit value at end of period	$	13.311	$	11.129	$	8.230	$	14.187		N/A		N/A		N/A		N/A		N/A
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		N/A		N/A		N/A		N/A		N/A

B-24

Subaccount	2010		2009		2008		2007		2006		2005		2004		2003		2002
Invesco V.I. Financial Services Subaccount (formerly AIM V.I. Financial Services Subaccount)
Accumulation unit value at beginning of period**	$	5.938	$	4.739	$	11.886	$	15.542	$	13.573	$	13.033	$	12.197	$	10		N/A
Accumulation unit value at end of period	$	6.441	$	5.938	$	4.739	$	11.886	$	15.542	$	13.573	$	13.033	$	12.197		N/A
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		N/A
Invesco V.I. Global Health Care Subaccount (formerly AIM V.I. Global Health Care Subaccount )
Accumulation unit value at beginning of period**	$	13.330	$	10.618	$	15.128	$	13.756	$	13.293	$	12.5	$	11.819	$	10		N/A
Accumulation unit value at end of period	$	13.801	$	13.330	$	10.618	$	15.128	$	13.756	$	13.293	$	12.5	$	11.819		N/A
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		N/A
Invesco V.I. Real Estate Subaccount (formerly AIM V.I. Real Estate Subaccount)
Accumulation unit value at beginning of period**	$	18.052	$	13.959	$	25.647	$	27.615	$	19.694	$	17.532	$	13.055	$	10		N/A
Accumulation unit value at end of period	$	20.860	$	18.052	$	13.959	$	25.647	$	27.615	$	19.694	$	17.532	$	13.055		N/A
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		0		—		N/A
Invesco V.I. Utilities Subaccount (formerly AIM V.I. Utilities Subaccount)
Accumulation unit value at beginning of period**	$	17.929	$	15.865	$	23.853	$	20.109	$	16.3	$	14.188	$	11.678	$	10		N/A
Accumulation unit value at end of period	$	18.740	$	17.929	$	15.865	$	23.853	$	20.109	$	16.3	$	14.188	$	11.678		N/A
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		N/A
JPMorgan Insurance Trust Equity Index Subaccount (formerly JPMorgan Investment Trust Equity Index Subaccount)
Accumulation unit value at beginning of period***	$	10.236	$	8.234	$	13.335	$	12.906	$	11.371	$	11.07	$	10.235		N/A		N/A
Accumulation unit value at end of period	$	11.515	$	10.236	$	8.234	$	13.335	$	12.906	$	11.371	$	11.07		N/A		N/A
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		N/A		N/A
JPMorgan Insurance Trust U.S. Equity Subaccount (JPMorgan Insurance Trust Diversified Equity Subaccount (formerly JPMorgan Investment Trust Diversified Equity Subaccount)
Accumulation unit value at beginning of period***	$	11.301	$	8.598	$	13.411	$	12.350	$	10.813	$	10.746	$	10.045		N/A		N/A
Accumulation unit value at end of period	$	12.621	$	11.301	$	8.598	$	13.411	$	12.35	$	10.813	$	10.746		N/A		N/A
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		N/A		N/A
JPMorgan Insurance Trust Diversified Mid Cap Growth Subaccount (formerly JPMorgan Investment Trust Mid Cap Growth Subaccount)
Accumulation unit value at beginning of period***	$	11.996	$	8.529	$	15.431	$	13.387	$	12.222	$	11.188	$	10.392		N/A		N/A
Accumulation unit value at end of period	$	14.819	$	11.996	$	8.529	$	15.431	$	13.387	$	12.222	$	11.188		N/A		N/A
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		N/A		N/A

B-25

Subaccount	2010		2009		2008		2007		2006		2005		2004		2003		2002
JPMorgan Insurance Trust Intrepid Mid Cap Subaccount (formerly JPMorgan Investment Trust Diversified Mid Cap Subaccount)
Accumulation unit value at beginning of period***	$	11.945	$	8.955	$	14.885	$	14.718	$	13.116	$	11.39	$	10.087		N/A		N/A
Accumulation unit value at end of period	$	14.039	$	11.945	$	8.955	$	14.885	$	14.718	$	13.116	$	11.39		N/A		N/A
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		N/A		N/A
JPMorgan Insurance Trust Diversified Mid Cap Value Subaccount (formerly JPMorgan Investment Trust Mid Cap Value Subaccount)
Accumulation unit value at beginning of period***	$	11.274	$	8.965	$	14.132	$	14.243	$	12.409	$	11.498	$	10.268		N/A		N/A
Accumulation unit value at end of period	$	13.686	$	11.274	$	8.965	$	14.132	$	14.243	$	12.409	$	11.498		N/A		N/A
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		N/A		N/A
JPMorgan Insurance Trust International Equity Subaccount
Accumulation unit value at beginning of period***	$	16.546		N/A		N/A		N/A		N/A		N/A		N/A		N/A		N/A
Accumulation unit value at end of period	$	17.435	$	16.546		N/A		N/A		N/A		N/A		N/A		N/A		N/A
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		N/A		N/A		N/A		N/A		N/A		N/A		N/A
JPMorgan Insurance Trust Small Cap Core Subaccount
Accumulation unit value at beginning of period***	$	14.908		N/A		N/A		N/A		N/A		N/A		N/A		N/A		N/A
Accumulation unit value at end of period	$	18.635	$	14.908		N/A		N/A		N/A		N/A		N/A		N/A		N/A
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		N/A		N/A		N/A		N/A		N/A		N/A		N/A
JPMorgan International Equity Subaccount
Accumulation unit value at beginning of period**		N/A	$	12.473	$	21.630	$	20.122	$	16.768	$	15.405	$	13.236	$	10		N/A
Accumulation unit value at end of period		N/A		N/A	$	12.473	$	21.630	$	20.122	$	16.768	$	15.405	$	13.236		N/A
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		N/A
JPMorgan Mid Cap Value Subaccount
Accumulation unit value at beginning of period**		N/A	$	11.941	$	18.183	$	18.051	$	15.711	$	14.629	$	12.29	$	10		N/A
Accumulation unit value at end of period		N/A		N/A	$	11.941	$	18.183	$	18.051	$	15.711	$	14.629	$	12.29		N/A
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		N/A
JPMorgan Small Company Subaccount
Accumulation unit value at beginning of period*		N/A	$	12.369	$	18.495	$	19.942	$	17.634	$	17.34	$	13.868	$	10.372	$	13.464
Accumulation unit value at end of period		N/A		N/A	$	12.369	$	18.495	$	19.942	$	17.634	$	17.34	$	13.868	$	10.372
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		0
Janus Aspen Balanced Subaccount
Accumulation unit value at beginning of period*	$	38.526	$	31.124	$	37.611	$	34.607	$	31.787	$	29.945	$	28.063	$	25.024	$	27.202
Accumulation unit value at end of period	$	41.060	$	38.526	$	31.124	$	37.611	$	34.607	$	31.787	$	29.945	$	28.063	$	25.024
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		0
Janus Aspen Enterprise Subaccount (formerly Janus Aspen Mid Cap Growth Subaccount)
Accumulation unit value at beginning of period*	$	31.340	$	22.008	$	39.772	$	33.146	$	29.669	$	26.866	$	22.629	$	17.034	$	24.039
Accumulation unit value at end of period	$	38.782	$	31.340	$	22.008	$	39.772	$	33.146	$	29.669	$	26.866	$	22.629	$	17.034
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		—
Janus Aspen Janus Subaccount (formerly Janus Aspen Large Cap Growth Subaccount)
Accumulation unit value at beginning of period*	$	22.386	$	16.697	$	28.171	$	24.895	$	22.731	$	22.166	$	21.57	$	16.652	$	23.045
Accumulation unit value at end of period	$	25.208	$	22.386	$	16.697	$	28.171	$	24.895	$	22.731	$	22.166	$	21.57	$	16.652
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		—
Janus Aspen Mid Cap Value Subaccount
Accumulation unit value at beginning of period**	$	18.484	$	14.143	$	19.948	$	18.931	$	16.732	$	15.468	$	13.355	$	10		N/A
Accumulation unit value at end of period	$	20.968	$	18.484	$	14.143	$	19.948	$	18.931	$	16.732	$	15.468	$	13.355		N/A
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		N/A
Janus Aspen Small Company Value Subaccount
Accumulation unit value at beginning of period**		N/A	$	11.035	$	17.514	$	18.973	$	15.832	$	15.566	$	13.408	$	10		N/A
Accumulation unit value at end of period		N/A		N/A	$	11.035	$	17.514	$	18.973	$	15.832	$	15.566	$	13.408		N/A
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		N/A
Janus Aspen Worldwide Subaccount (formerly Janus Aspen Worldwide Growth Subaccount)
Accumulation unit value at beginning of period*	$	27.332	$	20.186	$	37.100	$	34.420	$	29.613	$	28.447	$	27.612	$	22.647	$	30.918
Accumulation unit value at end of period	$	31.131	$	27.332	$	20.186	$	37.100	$	34.42	$	29.613	$	28.447	$	27.612	$	22.647
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		0
Oppenheimer Capital Appreciation Subaccount
Accumulation unit value at beginning of period**	$	11.926	$	8.414	$	15.748	$	14.068	$	13.286	$	12.884	$	12.291	$	10		N/A
Accumulation unit value at end of period	$	12.799	$	11.926	$	8.414	$	15.748	$	14.068	$	13.286	$	12.884	$	12.291		N/A
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		N/A
Oppenheimer Global Securities Subaccount
Accumulation unit value at beginning of period**	$	17.912	$	13.072	$	22.281	$	21.363	$	18.511	$	16.504	$	14.12	$	10		N/A
Accumulation unit value at end of period	$	20.379	$	17.912	$	13.072	$	22.281	$	21.363	$	18.511	$	16.504	$	14.12		N/A
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		N/A
Oppenheimer High Income Subaccount
Accumulation unit value at beginning of period**	$	3.249	$	2.623	$	12.451	$	12.723	$	11.846	$	11.81	$	11.047	$	10		N/A
Accumulation unit value at end of period	$	3.656	$	3.249	$	2.623	$	12.451	$	12.723	$	11.846	$	11.81	$	11.047		N/A
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		N/A
Oppenheimer Main Street Subaccount
Accumulation unit value at beginning of period**	$	11.826	$	9.396	$	15.571	$	15.206	$	13.475	$	12.959	$	12.076	$	10		N/A
Accumulation unit value at end of period	$	13.468	$	11.826	$	9.396	$	15.571	$	15.206	$	13.475	$	12.959	$	12.076		N/A
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		N/A
Oppenheimer Main Street Small Cap Subaccount
Accumulation unit value at beginning of period**	$	15.520	$	11.531	$	18.916	$	19.511	$	17.305	$	16.04	$	13.688	$	10		N/A
Accumulation unit value at end of period	$	18.779	$	15.520	$	11.531	$	18.916	$	19.511	$	17.305	$	16.04	$	13.688		N/A
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		N/A
Oppenheimer Small- & Mid-Cap Growth Subaccount (formerly Oppenheimer MidCap Growth Subaccount) (formerly Oppenheimer Aggressive Growth Subaccount)
Accumulation unit value at beginning of period**	$	10.596	$	8.148	$	16.316	$	15.650	$	15.497	$	14.073	$	11.984	$	10		N/A
Accumulation unit value at end of period	$	13.249	$	10.596	$	8.148	$	16.316	$	15.65	$	15.497	$	14.073	$	11.984		N/A
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		N/A
Oppenheimer Global Strategic Income Subaccount (formerly Oppenheimer Strategic Bond Subaccount)
Accumulation unit value at beginning of period**	$	12.893	$	11.074	$	13.170	$	12.227	$	11.595	$	11.507	$	10.793	$	10		N/A
Accumulation unit value at end of period	$	14.551	$	12.893	$	11.074	$	13.170	$	12.227	$	11.595	$	11.507	$	10.793		N/A
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		N/A
Scudder Growth Subaccount
Accumulation unit value at beginning of period*		N/A		N/A		N/A		N/A		N/A	$	5.062	$	4.896	$	3.993	$	5.752
Accumulation unit value at end of period+		N/A		N/A		N/A		N/A		N/A		N/A	$	5.062	$	4.896	$	3.993
Number of accumulation units outstanding at end of period (000’s omitted)		N/A		N/A		N/A		N/A		N/A		N/A		—		—		—
SVS Focus Value + Growth Subaccount
Accumulation unit value at beginning of period*		N/A		N/A		N/A		N/A		N/A	$	1.601	$	1.462	$	1.121	$	1.539
Accumulation unit value at end of period+		N/A		N/A		N/A		N/A		N/A		N/A	$	1.601	$	1.462	$	1.121
Number of accumulation units outstanding at end of period (000’s omitted)		N/A		N/A		N/A		N/A		N/A		N/A		—		—		—

B-26

Additional Contract Options Elected (0.40%)

Guaranteed Retirement Income Benefit—7 year

(Separate Account Charges of 1.70% of the Daily Net Assets of the Separate Account)

Tax Nonqualified Periodic Payment Contracts—1.70%

Subaccount	2010		2009		2008		2007		2006		2005		2004		2003		2002
Alger Large Cap Growth Subaccount (formerly Alger American LargeCap Growth Subaccount)(formerly Alger American Growth Subaccount)
Accumulation unit value at beginning of period*	$	48.396	$	33.352	$	62.996	$	53.418	$	51.664	$	46.896	$	45.21	$	34.017	$	51.63
Accumulation unit value at end of period	$	53.958	$	48.396	$	33.352	$	62.996	$	53.418	$	51.664	$	46.896	$	45.21	$	34.017
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		—
Alger Small Cap Subaccount (formerly Alger American Small Cap Subaccount)
Accumulation unit value at beginning of period*	$	29.191	$	19.569	$	47.793	$	36.949	$	34.116	$	31.59	$	28.422	$	19.557	$	28.23
Accumulation unit value at end of period	$	34.267	$	29.191	$	19.569	$	47.793	$	36.949	$	34.116	$	31.59	$	28.422	$	19.557
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		—
Alger Small Capitalization Subaccount (formerly Alger American Small Capitalization Subaccount)
Accumulation unit value at beginning of period*	$	42.690	$	29.837	$	56.829	$	49.300	$	41.774	$	36.346	$	31.711	$	22.656	$	31.232
Accumulation unit value at end of period	$	52.595	$	42.690	$	29.837	$	56.829	$	49.300	$	41.774	$	36.346	$	31.711	$	22.656
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		—
American Century VP Income & Growth Subaccount
Accumulation unit value at beginning of period*	$	6.160	$	5.305	$	8.248	$	8.394	$	7.291	$	7.086	$	6.378	$	5.015	$	6.325
Accumulation unit value at end of period	$	6.914	$	6.160	$	5.305	$	8.248	$	8.394	$	7.291	$	7.086	$	6.378	$	5.015
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		—
American Century VP Value Subaccount
Accumulation unit value at beginning of period*	$	8.941	$	7.586	$	10.537	$	11.297	$	9.683	$	9.375	$	8.339	$	6.577	$	7.655
Accumulation unit value at end of period	$	9.972	$	8.941	$	7.586	$	10.537	$	11.297	$	9.683	$	9.375	$	8.339	$	6.577
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		—
Credit Suisse Trust International Equity Flex III Subaccount (formerly Credit Suisse Trust-Emerging Markets Subaccount)
Accumulation unit value at beginning of period*	$	17.245	$	11.567	$	26.029	$	20.453	$	15.696	$	12.477	$	10.157	$	7.23	$	8.314
Accumulation unit value at end of period	$	19.031	$	17.245	$	11.567	$	26.029	$	20.453	$	15.696	$	12.477	$	10.157	$	7.23
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		—
Dreyfus IP MidCap Stock Subaccount
Accumulation unit value at beginning of period**	$	12.448	$	9.355	$	15.976	$	16.027	$	15.136	$	14.13	$	12.581	$	10		N/A
Accumulation unit value at end of period	$	15.539	$	12.448	$	9.355	$	15.976	$	16.027	$	15.136	$	14.13	$	12.581		N/A
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		N/A
Dreyfus Socially Responsible Growth Subaccount
Accumulation unit value at beginning of period*	$	23.889	$	18.164	$	28.171	$	26.583	$	24.756	$	24.297	$	23.266	$	18.778	$	26.878
Accumulation unit value at end of period	$	26.970	$	23.889	$	18.164	$	28.171	$	26.583	$	24.756	$	24.297	$	23.266	$	18.778
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		—
Dreyfus VIF Small Company Stock Subaccount*
Accumulation unit value at beginning of period**		N/A		N/A		N/A	$	17.064	$	15.641	$	15.784	$	13.583	$	10		N/A
Accumulation unit value at end of period		N/A		N/A		N/A		N/A	$	17.064	$	15.641	$	15.784	$	13.583		N/A
Number of accumulation units outstanding at end of period (000’s omitted)		N/A		N/A		N/A		N/A		—		—		—		—		N/A
DWS Bond VIP Subaccount (formerly Scudder Bond Subaccount)
Accumulation unit value at beginning of period*	$	7.821	$	7.226	$	8.830	$	8.620	$	8.372	$	8.298	$	8.008	$	7.752	$	7.323
Accumulation unit value at end of period	$	8.212	$	7.821	$	7.226	$	8.830	$	8.62	$	8.372	$	8.298	$	8.008	$	7.752
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		—
DWS Capital Growth VIP Subaccount (formerly Scudder Capital Growth Subaccount)
Accumulation unit value at beginning of period*	$	19.606	$	15.716	$	23.850	$	21.545	$	20.188	$	18.843	$	17.747	$	14.224	$	20.428
Accumulation unit value at end of period	$	22.499	$	19.606	$	15.716	$	23.850	$	21.545	$	20.188	$	18.843	$	17.747	$	14.224
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		—
DWS Growth & Income VIP Subaccount (formerly Scudder Growth and Income Subaccount)
Accumulation unit value at beginning of period****	$	9.897	$	7.503	$	12.371	$	12.414	$	11.11	$	10		N/A		N/A		N/A
Accumulation unit value at end of period	$	11.133	$	9.897	$	7.503	$	12.371	$	12.414	$	11.11		N/A		N/A		N/A
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		N/A		N/A		N/A
DWS International VIP Subaccount (formerly Scudder International Subaccount)
Accumulation unit value at beginning of period*	$	13.079	$	9.962	$	19.564	$	17.365	$	14.026	$	12.278	$	10.716	$	8.531	$	10.628
Accumulation unit value at end of period	$	13.069	$	13.079	$	9.962	$	19.564	$	17.365	$	14.026	$	12.278	$	10.716	$	8.531
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		—
DWS Balanced VIP Subaccount (formerly Scudder Total Return Subaccount)
Accumulation unit value at beginning of period*	$	6.692	$	5.513	$	7.716	$	7.486	$	6.905	$	6.733	$	6.412	$	5.529	$	6.629
Accumulation unit value at end of period	$	7.318	$	6.692	$	5.513	$	7.716	$	7.486	$	6.905	$	6.733	$	6.412	$	5.529
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		—
DWS Core Fixed Income VIP Subaccount (formerly Scudder Fixed Income Subaccount)
Accumulation unit value at beginning of period*	$	1.289	$	1.217	$	1.534	$	1.498	$	1.461	$	1.453	$	1.414	$	1.368	$	1.288
Accumulation unit value at end of period	$	1.350	$	1.289	$	1.217	$	1.534	$	1.498	$	1.461	$	1.453	$	1.414	$	1.368
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		—
DWS Diversified International Equity VIP Subaccount (formerly DWS International Select Equity VIP Subaccount)
Accumulation unit value at beginning of period*	$	1.995	$	1.569	$	3.117	$	2.716	$	2.2	$	1.954	$	1.68	$	1.316	$	1.547
Accumulation unit value at end of period	$	2.176	$	1.995	$	1.569	$	3.117	$	2.716	$	2.2	$	1.954	$	1.68	$	1.316
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		—
DWS Dreman Small Mid Cap Value VIP (formerly DWS Dreman Small Cap Value VIP Subaccount)
Accumulation unit value at beginning of period*	$	2.188	$	1.715	$	2.620	$	2.586	$	2.103	$	1.94	$	1.565	$	1.121	$	1.286
Accumulation unit value at end of period	$	2.647	$	2.188	$	1.715	$	2.620	$	2.586	$	2.103	$	1.94	$	1.565	$	1.121
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		—
DWS Government & Agency Securities VIP Subaccount (formerly Scudder Government & Agency Securities Subaccount)
Accumulation unit value at beginning of period*	$	2.640	$	2.484	$	2.407	$	2.311	$	2.256	$	2.237	$	2.193	$	2.181	$	2.053
Accumulation unit value at end of period	$	2.767	$	2.640	$	2.484	$	2.407	$	2.311	$	2.256	$	2.237	$	2.193	$	2.181
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		—
DWS High Income VIP Subaccount (formerly Scudder High Income Subaccount)
Accumulation unit value at beginning of period*	$	8.179	$	5.942	$	7.945	$	8.004	$	7.368	$	7.213	$	6.526	$	5.325	$	5.432
Accumulation unit value at end of period	$	9.168	$	8.179	$	5.942	$	7.945	$	8.004	$	7.368	$	7.213	$	6.526	$	5.325
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		—
DWS Large Cap Value VIP Subaccount (formerly Scudder Large Cap Value Subaccount)
Accumulation unit value at beginning of period*	$	2.072	$	1.681	$	2.687	$	2.416	$	2.128	$	2.123	$	1.961	$	1.504	$	1.8
Accumulation unit value at end of period	$	2.256	$	2.072	$	1.681	$	2.687	$	2.416	$	2.128	$	2.123	$	1.961	$	1.504
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		—
DWS Money Market VIP Subaccount (formerly Scudder Money Market Subaccount)
Accumulation unit value at beginning of period*	$	2.755	$	2.792	$	2.767	$	2.681	$	2.605	$	2.577	$	2.597	$	2.622	$	2.631
Accumulation unit value at end of period	$	2.709	$	2.755	$	2.792	$	2.767	$	2.681	$	2.605	$	2.577	$	2.597	$	2.622
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		—
DWS Small Mid-Cap Growth VIP Subaccount (formerly DWS Small Cap Growth Subaccount)
Accumulation unit value at beginning of period*	$	1.552	$	1.123	$	2.261	$	2.165	$	2.092	$	1.987	$	1.82	$	1.392	$	2.128
Accumulation unit value at end of period	$	1.976	$	1.552	$	1.123	$	2.261	$	2.165	$	2.092	$	1.987	$	1.82	$	1.392
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		—
DWS Technology VIP Subaccount (formerly Scudder Technology Growth Subaccount)*
Accumulation unit value at beginning of period*	$	0.803	$	0.509	$	0.962	$	0.856	$	0.864	$	0.847	$	0.845	$	0.586	$	0.925
Accumulation unit value at end of period	$	0.936	$	0.803	$	0.509	$	0.962	$	0.856	$	0.864	$	0.847	$	0.845	$	0.586
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		—

B-27

Subaccount	2010		2009		2008		2007		2006		2005		2004		2003		2002
Fidelity VIP Asset ManagerSM Subaccount
Accumulation unit value at beginning of period*	$	26.306	$	20.721	$	29.564	$	26.033	$	24.669	$	24.112	$	23.252	$	20.044	$	22.334
Accumulation unit value at end of period	$	29.557	$	26.306	$	20.721	$	29.564	$	26.033	$	24.669	$	24.112	$	23.252	$	20.044
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		—
Fidelity VIP Contrafund® Subaccount
Accumulation unit value at beginning of period*	$	35.572	$	26.657	$	47.162	$	40.791	$	37.132	$	32.292	$	28.441	$	22.515	$	25.26
Accumulation unit value at end of period	$	41.000	$	35.572	$	26.657	$	47.162	$	40.791	$	37.132	$	32.292	$	28.441	$	22.515
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		—
Fidelity VIP Equity-Income Subaccount
Accumulation unit value at beginning of period*	$	31.129	$	24.314	$	43.121	$	43.197	$	36.549	$	35.109	$	32.016	$	24.983	$	30.592
Accumulation unit value at end of period	$	35.247	$	31.129	$	24.314	$	43.121	$	43.197	$	36.549	$	35.109	$	32.016	$	24.983
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		—
Fidelity VIP Growth Subaccount
Accumulation unit value at beginning of period*	$	40.934	$	32.451	$	62.469	$	50.043	$	47.629	$	45.781	$	45.04	$	34.479	$	50.17
Accumulation unit value at end of period	$	49.981	$	40.934	$	32.451	$	62.469	$	50.043	$	47.629	$	45.781	$	45.04	$	34.479
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		—
Fidelity VIP Index 500 Subaccount
Accumulation unit value at beginning of period*	$	133.285	$	107.064	$	172.833	$	166.719	$	146.502	$	142.129	$	130.68	$	103.497	$	135.379
Accumulation unit value at end of period	$	150.748	$	133.285	$	107.064	$	172.833	$	166.719	$	146.502	$	142.129	$	130.68	$	103.497
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		—
Franklin Rising Dividends Securities Subaccount
Accumulation unit value at beginning of period**	$	12.288	$	10.650	$	14.857	$	15.529	$	13.483	$	13.258	$	12.147	$	10		N/A
Accumulation unit value at end of period	$	14.577	$	12.288	$	10.650	$	14.857	$	15.529	$	13.483	$	13.258	$	12.147		N/A
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		N/A
Franklin Small Cap Value Securities Subaccount
Accumulation unit value at beginning of period**	$	15.849	$	12.480	$	18.948	$	19.742	$	17.162	$	16.046	$	13.188	$	10		N/A
Accumulation unit value at end of period	$	19.982	$	15.849	$	12.480	$	18.948	$	19.742	$	17.162	$	16.046	$	13.188		N/A
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		N/A
Franklin Strategic Income Securities Subaccount
Accumulation unit value at beginning of period**	$	14.006	$	11.327	$	12.978	$	12.463	$	11.709	$	11.737	$	10.872	$	10		N/A
Accumulation unit value at end of period	$	15.275	$	14.006	$	11.327	$	12.978	$	12.463	$	11.709	$	11.737	$	10.872		N/A
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		N/A
Franklin U.S. Government Subaccount
Accumulation unit value at beginning of period**	$	11.748	$	11.589	$	10.955	$	10.451	$	10.218	$	10.147	$	9.974	$	10		N/A
Accumulation unit value at end of period	$	12.162	$	11.748	$	11.589	$	10.955	$	10.451	$	10.218	$	10.147	$	9.974		N/A
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		N/A
Franklin Zero Coupon 2010 Subaccount
Accumulation unit value at beginning of period**	$	11.351	$	11.526	$	10.932	$	10.256	$	10.186	$	10.224	$	9.955	$	10		N/A
Accumulation unit value at end of period		N/A	$	11.351	$	11.526	$	10.932	$	10.256	$	10.186	$	10.224	$	9.955		N/A
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		N/A
Mutal Global Discovery Securities Subaccount (formerly Mutual Discovery Securities Subaccount)
Accumulation unit value at beginning of period**	$	18.609	$	15.347	$	21.816	$	19.838	$	16.395	$	14.377	$	12.371	$	10		N/A
Accumulation unit value at end of period	$	20.486	$	18.609	$	15.347	$	21.816	$	19.838	$	16.395	$	14.377	$	12.371		N/A
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		N/A
Mutual Shares Securities Subaccount
Accumulation unit value at beginning of period**	$	13.077	$	10.551	$	17.062	$	16.771	$	14.407	$	13.252	$	11.967	$	10		N/A
Accumulation unit value at end of period	$	14.298	$	13.077	$	10.551	$	17.062	$	16.771	$	14.407	$	13.252	$	11.967		N/A
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		N/A
Templeton Developing Markets Securities Subaccount
Accumulation unit value at beginning of period**	$	27.945	$	16.467	$	35.410	$	27.966	$	22.203	$	17.719	$	14.45	$	10		N/A
Accumulation unit value at end of period	$	32.311	$	27.945	$	16.467	$	35.410	$	27.966	$	22.203	$	17.719	$	14.45		N/A
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		N/A
ING JPMorgan Emerging Markets Equity Subaccount
Accumulation unit value at beginning of period+++	$	21.751	$	12.860	$	26.775	$	19.619	$	14.651	$	10		N/A		N/A		N/A
Accumulation unit value at end of period	$	25.800	$	21.751	$	12.860	$	26.775	$	19.619	$	14.651		N/A		N/A		N/A
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		N/A		N/A		N/A
ING VP Emerging Markets Subaccount
Accumulation unit value at beginning of period*		N/A		N/A		N/A		N/A		N/A	$	8.064	$	6.738	$	4.655	$	5.222
Accumulation unit value at end of period++		N/A		N/A		N/A		N/A		N/A		N/A	$	8.064	$	6.738	$	4.655
Number of accumulation units outstanding at end of period (000’s omitted)		N/A		N/A		N/A		N/A		N/A		N/A		—		—		—
ING VP Natural Resources Trust Subaccount
Accumulation unit value at beginning of period*		N/A		N/A		N/A	$	29.827	$	24.917	$	17.738	$	16.013	$	12.476	$	12.96
Accumulation unit value at end of period		N/A		N/A		N/A		N/A	$	29.827	$	24.917	$	17.738	$	16.013	$	12.476
Number of accumulation units outstanding at end of period (000’s omitted)		N/A		N/A		N/A		N/A		—		—		—		—		—
ING VP Global Resources Portfolio Subaccount
Accumulation unit value at beginning of period*	$	11.129	$	8.230	$	14.187		N/A		N/A		N/A		N/A		N/A		N/A
Accumulation unit value at end of period	$	13.311	$	11.129	$	8.230	$	14.187		N/A		N/A		N/A		N/A		N/A
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		N/A		N/A		N/A		N/A		N/A
Invesco V.I. Financial Services Subaccount (formerly AIM V.I. Financial Services Subaccount)
Accumulation unit value at beginning of period**	$	5.938	$	4.739	$	11.886	$	15.542	$	13.573	$	13.033	$	12.197	$	10		N/A
Accumulation unit value at end of period	$	6.441	$	5.938	$	4.739	$	11.886	$	15.542	$	13.573	$	13.033	$	12.197		N/A
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		N/A
Invesco V.I. Global Health Care Subaccount (formerly AIM V.I. Global Health Care Subaccount )
Accumulation unit value at beginning of period**	$	13.330	$	10.618	$	15.128	$	13.756	$	13.293	$	12.5	$	11.819	$	10		N/A
Accumulation unit value at end of period	$	13.801	$	13.330	$	10.618	$	15.128	$	13.756	$	13.293	$	12.5	$	11.819		N/A
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		N/A
Invesco V.I. Real Estate Subaccount (formerly AIM V.I. Real Estate Subaccount)
Accumulation unit value at beginning of period**	$	18.052	$	13.959	$	25.647	$	27.615	$	19.694	$	17.532	$	13.055	$	10		N/A
Accumulation unit value at end of period	$	20.860	$	18.052	$	13.959	$	25.647	$	27.615	$	19.694	$	17.532	$	13.055		N/A
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		N/A
Invesco V.I. Utilities Subaccount (formerly AIM V.I. Utilities Subaccount)
Accumulation unit value at beginning of period**	$	17.929	$	15.865	$	23.853	$	20.109	$	16.3	$	14.188	$	11.678	$	10		N/A
Accumulation unit value at end of period	$	18.740	$	17.929	$	15.865	$	23.853	$	20.109	$	16.3	$	14.188	$	11.678		N/A
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		N/A
JPMorgan Insurance Trust Equity Index Subaccount (formerly JPMorgan Investment Trust Equity Index Subaccount)
Accumulation unit value at beginning of period***	$	10.236	$	8.234	$	13.335	$	12.906	$	11.371	$	11.07	$	10.235		N/A		N/A
Accumulation unit value at end of period	$	11.515	$	10.236	$	8.234	$	13.335	$	12.906	$	11.371	$	11.07		N/A		N/A
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		N/A		N/A
JPMorgan Insurance Trust U.S. Equity Subaccount (JPMorgan Insurance Trust Diversified Equity Subaccount (formerly JPMorgan Investment Trust Diversified Equity Subaccount)
Accumulation unit value at beginning of period***	$	11.301	$	8.598	$	13.411	$	12.350	$	10.813	$	10.746	$	10.045		N/A		N/A
Accumulation unit value at end of period	$	12.621	$	11.301	$	8.598	$	13.411	$	12.35	$	10.813	$	10.746		N/A		N/A
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		N/A		N/A
JPMorgan Insurance Trust Diversified Mid Cap Growth Subaccount (formerly JPMorgan Investment Trust Mid Cap Growth Subaccount)
Accumulation unit value at beginning of period***	$	11.996	$	8.529	$	15.431	$	13.387	$	12.222	$	11.188	$	10.392		N/A		N/A
Accumulation unit value at end of period	$	14.819	$	11.996	$	8.529	$	15.431	$	13.387	$	12.222	$	11.188		N/A		N/A
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		N/A		N/A
JPMorgan Insurance Trust Intrepid Mid Cap Subaccount (formerly JPMorgan Investment Trust Diversified Mid Cap Subaccount)
Accumulation unit value at beginning of period***	$	11.945	$	8.955	$	14.885	$	14.718	$	13.116	$	11.39	$	10.087		N/A		N/A
Accumulation unit value at end of period	$	14.039	$	11.945	$	8.955	$	14.885	$	14.718	$	13.116	$	11.39		N/A		N/A
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		N/A		N/A

B-28

Subaccount	2010		2009		2008		2007		2006		2005		2004		2003		2002
JPMorgan Insurance Trust Diversified Mid Cap Value Subaccount (formerly JPMorgan Investment Trust Mid Cap Value Subaccount)
Accumulation unit value at beginning of period***	$	11.274	$	8.965	$	14.132	$	14.243	$	12.409	$	11.498	$	10.268		N/A		N/A
Accumulation unit value at end of period	$	13.686	$	11.274	$	8.965	$	14.132	$	14.243	$	12.409	$	11.498		N/A		N/A
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		N/A		N/A
JPMorgan Insurance Trust International Equity Subaccount
Accumulation unit value at beginning of period***	$	16.546		N/A		N/A		N/A		N/A		N/A		N/A		N/A		N/A
Accumulation unit value at end of period	$	17.435	$	16.546		N/A		N/A		N/A		N/A		N/A		N/A		N/A
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		N/A		N/A		N/A		N/A		N/A		N/A		N/A
JPMorgan Insurance Trust Small Cap Core Subaccount
Accumulation unit value at beginning of period***	$	14.908		N/A		N/A		N/A		N/A		N/A		N/A		N/A		N/A
Accumulation unit value at end of period	$	18.635	$	14.908		N/A		N/A		N/A		N/A		N/A		N/A		N/A
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		N/A		N/A		N/A		N/A		N/A		N/A		N/A
JPMorgan International Equity Subaccount
Accumulation unit value at beginning of period**		N/A	$	12.473	$	21.630	$	20.122	$	16.768	$	15.405	$	13.236	$	10		N/A
Accumulation unit value at end of period		N/A		N/A	$	12.473	$	21.630	$	20.122	$	16.768	$	15.405	$	13.236		N/A
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		N/A
JPMorgan Mid Cap Value Subaccount
Accumulation unit value at beginning of period**		N/A	$	11.941	$	18.183	$	18.051	$	15.711	$	14.629	$	12.29	$	10		N/A
Accumulation unit value at end of period		N/A		N/A	$	11.941	$	18.183	$	18.051	$	15.711	$	14.629	$	12.29		N/A
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		N/A
JPMorgan Small Company Subaccount
Accumulation unit value at beginning of period*		N/A	$	12.369	$	18.495	$	19.942	$	17.634	$	17.34	$	13.868	$	10.372	$	13.464
Accumulation unit value at end of period		N/A		N/A	$	12.369	$	18.495	$	19.942	$	17.634	$	17.34	$	13.868	$	10.372
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		—
Janus Aspen Balanced Subaccount
Accumulation unit value at beginning of period*	$	38.526	$	31.124	$	37.611	$	34.607	$	31.787	$	29.945	$	28.063	$	25.024	$	27.202
Accumulation unit value at end of period	$	41.060	$	38.526	$	31.124	$	37.611	$	34.607	$	31.787	$	29.945	$	28.063	$	25.024
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		—
Janus Aspen Enterprise Subaccount (formerly Janus Aspen Mid Cap Growth Subaccount)
Accumulation unit value at beginning of period*	$	31.340	$	22.008	$	39.772	$	33.146	$	29.669	$	26.866	$	22.629	$	17.034	$	24.039
Accumulation unit value at end of period	$	38.782	$	31.340	$	22.008	$	39.772	$	33.146	$	29.669	$	26.866	$	22.629	$	17.034
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		—
Janus Aspen Janus Subaccount (formerly Janus Aspen Large Cap Growth Subaccount)
Accumulation unit value at beginning of period*	$	22.386	$	16.697	$	28.171	$	24.895	$	22.731	$	22.166	$	21.57	$	16.652	$	23.045
Accumulation unit value at end of period	$	25.208	$	22.386	$	16.697	$	28.171	$	24.895	$	22.731	$	22.166	$	21.57	$	16.652
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		—
Janus Aspen Mid Cap Value Subaccount
Accumulation unit value at beginning of period**	$	18.484	$	14.143	$	19.948	$	18.931	$	16.732	$	15.468	$	13.355	$	10		N/A
Accumulation unit value at end of period	$	20.968	$	18.484	$	14.143	$	19.948	$	18.931	$	16.732	$	15.468	$	13.355		N/A
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		N/A
Janus Aspen Small Company Value Subaccount
Accumulation unit value at beginning of period**		N/A	$	11.035	$	17.514	$	18.973	$	15.832	$	15.566	$	13.408	$	10		N/A
Accumulation unit value at end of period		N/A		N/A	$	11.035	$	17.514	$	18.973	$	15.832	$	15.566	$	13.408		N/A
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		N/A
Janus Aspen Worldwide Subaccount (formerly Janus Aspen Worldwide Growth Subaccount)
Accumulation unit value at beginning of period*	$	27.332	$	20.186	$	37.100	$	34.420	$	29.613	$	28.447	$	27.612	$	22.647	$	30.918
Accumulation unit value at end of period	$	31.131	$	27.332	$	20.186	$	37.100	$	34.42	$	29.613	$	28.447	$	27.612	$	22.647
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		—
Oppenheimer Capital Appreciation Subaccount
Accumulation unit value at beginning of period**	$	11.926	$	8.414	$	15.748	$	14.068	$	13.286	$	12.884	$	12.291	$	10		N/A
Accumulation unit value at end of period	$	12.799	$	11.926	$	8.414	$	15.748	$	14.068	$	13.286	$	12.884	$	12.291		N/A
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		N/A
Oppenheimer Global Securities Subaccount
Accumulation unit value at beginning of period**	$	17.912	$	13.072	$	22.281	$	21.363	$	18.511	$	16.504	$	14.12	$	10		N/A
Accumulation unit value at end of period	$	20.379	$	17.912	$	13.072	$	22.281	$	21.363	$	18.511	$	16.504	$	14.12		N/A
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		N/A
Oppenheimer High Income Subaccount
Accumulation unit value at beginning of period**	$	3.249	$	2.623	$	12.451	$	12.723	$	11.846	$	11.81	$	11.047	$	10		N/A
Accumulation unit value at end of period	$	3.656	$	3.249	$	2.623	$	12.451	$	12.723	$	11.846	$	11.81	$	11.047		N/A
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—				N/A
Oppenheimer Main Street Subaccount
Accumulation unit value at beginning of period**	$	11.826	$	9.396	$	15.571	$	15.206	$	13.475	$	12.959	$	12.076	$	10		N/A
Accumulation unit value at end of period	$	13.468	$	11.826	$	9.396	$	15.571	$	15.206	$	13.475	$	12.959	$	12.076		N/A
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		N/A
Oppenheimer Main Street Small Cap Subaccount
Accumulation unit value at beginning of period**	$	15.520	$	11.531	$	18.916	$	19.511	$	17.305	$	16.04	$	13.688	$	10		N/A
Accumulation unit value at end of period	$	18.779	$	15.520	$	11.531	$	18.916	$	19.511	$	17.305	$	16.04	$	13.688		N/A
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		N/A
Oppenheimer Small- & Mid-Cap Growth Subaccount (formerly Oppenheimer MidCap Growth Subaccount) (formerly Oppenheimer Aggressive Growth Subaccount)
Accumulation unit value at beginning of period**	$	10.596	$	8.148	$	16.316	$	15.650	$	15.497	$	14.073	$	11.984	$	10		N/A
Accumulation unit value at end of period	$	13.249	$	10.596	$	8.148	$	16.316	$	15.65	$	15.497	$	14.073	$	11.984		N/A
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		N/A
Oppenheimer Global Strategic Income Subaccount (formerly Oppenheimer Strategic Bond Subaccount)
Accumulation unit value at beginning of period**	$	12.893	$	11.074	$	13.170	$	12.227	$	11.595	$	11.507	$	10.793	$	10		N/A
Accumulation unit value at end of period	$	14.551	$	12.893	$	11.074	$	13.170	$	12.227	$	11.595	$	11.507	$	10.793		N/A
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		N/A
Scudder Growth Subaccount
Accumulation unit value at beginning of period*		N/A		N/A		N/A		N/A		N/A	$	5.055	$	4.889	$	3.987	$	5.744
Accumulation unit value at end of period+		N/A		N/A		N/A		N/A		N/A		N/A	$	5.055	$	4.889	$	3.987
Number of accumulation units outstanding at end of period (000’s omitted)		N/A		N/A		N/A		N/A		N/A		N/A		—		—		—
SVS Focus Value + Growth Subaccount
Accumulation unit value at beginning of period*		N/A		N/A		N/A		N/A		N/A	$	1.601	$	1.462	$	1.121	$	1.539
Accumulation unit value at end of period+		N/A		N/A		N/A		N/A		N/A		N/A	$	1.601	$	1.462	$	1.121
Number of accumulation units outstanding at end of period (000’s omitted)		N/A		N/A		N/A		N/A		N/A		N/A		—		—		—

B-29

Additional Contract Options Elected (0.45%)

Guaranteed Minimum Death Benefit and Guaranteed Retirement Income Benefit—10 year

(Separate Account Charges of 1.75% of the Daily Net Assets of the Separate Account)

Tax Qualified Periodic Payment Contracts—1.75%

Subaccount	2010		2009		2008		2007		2006		2005		2004		2003		2002
Alger Large Cap Growth Subaccount (formerly Alger American LargeCap Growth Subaccount)(formerly Alger American Growth Subaccount)
Accumulation unit value at beginning of period*	$	48.199	$	33.233	$	62.802	$	53.280	$	51.555	$	46.821	$	45.16	$	33.996	$	51.624
Accumulation unit value at end of period	$	53.712	$	48.199	$	33.233	$	62.802	$	53.28	$	51.555	$	46.821	$	45.16	$	33.996
Number of accumulation units outstanding at end of period (000’s omitted)		0		0		0		1		—		2		2		1		1
Alger Small Cap Subaccount (formerly Alger American Small Cap Subaccount)
Accumulation unit value at beginning of period*	$	29.072	$	19.499	$	47.646	$	36.853	$	34.044	$	31.54	$	28.39	$	19.545	$	28.227
Accumulation unit value at end of period	$	34.111	$	29.072	$	19.499	$	47.646	$	36.853	$	34.044	$	31.54	$	28.39	$	19.545
Number of accumulation units outstanding at end of period (000’s omitted)		0		0		0		2		4		4		4		3		1
Alger Small Capitalization Subaccount (formerly Alger American Small Capitalization Subaccount)
Accumulation unit value at beginning of period*	$	42.517	$	29.731	$	56.654	$	49.173	$	41.687	$	36.288	$	31.676	$	22.642	$	31.228
Accumulation unit value at end of period	$	52.355	$	42.517	$	29.731	$	56.654	$	49.173	$	41.687	$	36.288	$	31.676	$	22.642
Number of accumulation units outstanding at end of period (000’s omitted)		0		0		—		—		1		1		1		1		2
American Century VP Income & Growth Subaccount
Accumulation unit value at beginning of period*	$	6.135	$	5.286	$	8.222	$	8.372	$	7.275	$	7.075	$	6.371	$	5.011	$	6.324
Accumulation unit value at end of period	$	6.882	$	6.135	$	5.286	$	8.222	$	8.372	$	7.275	$	7.075	$	6.371	$	5.011
Number of accumulation units outstanding at end of period (000’s omitted)		1		1		1		3		4		1		4		8		4
American Century VP Value Subaccount
Accumulation unit value at beginning of period*	$	8.905	$	7.559	$	10.504	$	11.268	$	9.663	$	9.36	$	8.33	$	6.573	$	7.654
Accumulation unit value at end of period	$	9.927	$	8.905	$	7.559	$	10.504	$	11.268	$	9.663	$	9.36	$	8.33	$	6.573
Number of accumulation units outstanding at end of period (000’s omitted)		2		2		2		2		2		3		3		2		2
Credit Suisse Trust International Equity Flex III Subaccount (formerly Credit Suisse Trust-Emerging Markets Subaccount)
Accumulation unit value at beginning of period*	$	17.175	$	11.526	$	25.949	$	20.400	$	15.663	$	12.457	$	10.146	$	7.225	$	8.313
Accumulation unit value at end of period	$	18.944	$	17.175	$	11.526	$	25.949	$	20.4	$	15.663	$	12.457	$	10.146	$	7.225
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		0		1		—		—		—		—		—
Dreyfus IP MidCap Stock Subaccount
Accumulation unit value at beginning of period**	$	12.407	$	9.329	$	15.939	$	15.998	$	15.117	$	14.119	$	12.577	$	10		N/A
Accumulation unit value at end of period	$	15.480	$	12.407	$	9.329	$	15.939	$	15.998	$	15.117	$	14.119	$	12.577		N/A
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		0		N/A
Dreyfus Socially Responsible Growth Subaccount
Accumulation unit value at beginning of period*	$	23.792	$	18.099	$	28.084	$	26.514	$	24.704	$	24.258	$	23.24	$	18.766	$	26.875
Accumulation unit value at end of period	$	26.847	$	23.792	$	18.099	$	28.084	$	26.514	$	24.704	$	24.258	$	23.24	$	18.766
Number of accumulation units outstanding at end of period (000’s omitted)		1		1		1		1		—		0		0		0		1
Dreyfus VIF Small Company Stock Subaccount*
Accumulation unit value at beginning of period**		N/A		N/A		N/A	$	17.033	$	15.62	$	15.771	$	13.578	$	10		N/A
Accumulation unit value at end of period		N/A		N/A		N/A		N/A	$	17.033	$	15.62	$	15.771	$	13.578		N/A
Number of accumulation units outstanding at end of period (000’s omitted)		N/A		N/A		N/A		N/A		—		—		—		—		N/A
DWS Bond VIP Subaccount (formerly Scudder Bond Subaccount)
Accumulation unit value at beginning of period*	$	7.789	$	7.200	$	8.802	$	8.598	$	8.354	$	8.284	$	7.999	$	7.747	$	7.322
Accumulation unit value at end of period	$	8.175	$	7.789	$	7.200	$	8.802	$	8.598	$	8.354	$	8.284	$	7.999	$	7.747
Number of accumulation units outstanding at end of period (000’s omitted)		2		2		1		0		—		1		1		1		1
DWS Capital Growth VIP Subaccount (formerly Scudder Capital Growth Subaccount)
Accumulation unit value at beginning of period*	$	19.526	$	15.660	$	23.777	$	21.489	$	20.146	$	18.813	$	17.727	$	14.215	$	20.425
Accumulation unit value at end of period	$	22.397	$	19.526	$	15.660	$	23.777	$	21.489	$	20.146	$	18.813	$	17.727	$	14.215
Number of accumulation units outstanding at end of period (000’s omitted)		0		0		0		0		0		0		0		0		1
DWS Growth & Income VIP Subaccount (formerly Scudder Growth and Income Subaccount)
Accumulation unit value at beginning of period****	$	9.875	$	7.490	$	12.354	$	12.403	$	11.106	$	10		N/A		N/A		N/A
Accumulation unit value at end of period	$	11.102	$	9.875	$	7.490	$	12.354	$	12.403	$	11.106		N/A		N/A		N/A
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		N/A		N/A		N/A
DWS International VIP Subaccount (formerly Scudder International Subaccount)
Accumulation unit value at beginning of period*	$	13.026	$	9.926	$	19.504	$	17.321	$	13.996	$	12.259	$	10.704	$	8.525	$	10.626
Accumulation unit value at end of period	$	13.010	$	13.026	$	9.926	$	19.504	$	17.321	$	13.996	$	12.259	$	10.704	$	8.525
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		1		1		2		1		1
DWS Balanced VIP Subaccount (formerly Scudder Total Return Subaccount)
Accumulation unit value at beginning of period*	$	7.153	$	5.896	$	8.256	$	8.013	$	7.396	$	7.215	$	6.875	$	5.931	$	7.114
Accumulation unit value at end of period	$	7.819	$	7.153	$	5.896	$	8.256	$	8.013	$	7.396	$	7.215	$	6.875	$	5.931
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		1		4		—		0		—		0		0
DWS Core Fixed Income VIP Subaccount (formerly Scudder Fixed Income Subaccount)
Accumulation unit value at beginning of period*	$	1.284	$	1.212	$	1.529	$	1.494	$	1.458	$	1.451	$	1.412	$	1.367	$	1.288
Accumulation unit value at end of period	$	1.344	$	1.284	$	1.212	$	1.529	$	1.494	$	1.458	$	1.451	$	1.412	$	1.367
Number of accumulation units outstanding at end of period (000’s omitted)		6		6		6		42		54		41		41		1		10
DWS Diversified International Equity VIP Subaccount (formerly DWS International Select Equity VIP Subaccount)
Accumulation unit value at beginning of period*	$	1.987	$	1.563	$	3.107	$	2.709	$	2.195	$	1.95	$	1.678	$	1.315	$	1.547
Accumulation unit value at end of period	$	2.167	$	1.987	$	1.563	$	3.107	$	2.709	$	2.195	$	1.95	$	1.678	$	1.315
Number of accumulation units outstanding at end of period (000’s omitted)		0		0		0		4		7		7		7		7		6
DWS Dreman Small Mid Cap Value VIP (formerly DWS Dreman Small Cap Value VIP Subaccount)
Accumulation unit value at beginning of period*	$	2.179	$	1.709	$	2.612	$	2.579	$	2.098	$	1.937	$	1.564	$	1.12	$	1.286
Accumulation unit value at end of period	$	2.636	$	2.179	$	1.709	$	2.612	$	2.579	$	2.098	$	1.937	$	1.564	$	1.12
Number of accumulation units outstanding at end of period (000’s omitted)		2		2		2		10		15		21		16		9		5
DWS Government & Agency Securities VIP Subaccount (formerly Scudder Government & Agency Securities Subaccount)
Accumulation unit value at beginning of period*	$	2.629	$	2.475	$	2.400	$	2.305	$	2.252	$	2.233	$	2.19	$	2.18	$	2.052
Accumulation unit value at end of period	$	2.755	$	2.629	$	2.475	$	2.400	$	2.305	$	2.252	$	2.233	$	2.19	$	2.18
Number of accumulation units outstanding at end of period (000’s omitted)		1		1		1		25		40		40		40		158		196
DWS High Income VIP Subaccount (formerly Scudder High Income Subaccount)
Accumulation unit value at beginning of period*	$	8.362	$	6.078	$	8.131	$	8.195	$	7.548	$	7.392	$	6.691	$	5.463	$	5.576
Accumulation unit value at end of period	$	9.369	$	8.362	$	6.078	$	8.131	$	8.195	$	7.548	$	7.392	$	6.691	$	5.463
Number of accumulation units outstanding at end of period (000’s omitted)		0		0		0		1		0		0		0		0		0

B-30

Subaccount	2010		2009		2008		2007		2006		2005		2004		2003		2002
DWS Large Cap Value VIP Subaccount (formerly Scudder Large Cap Value Subaccount)
Accumulation unit value at beginning of period*	$	2.063	$	1.675	$	2.679	$	2.409	$	2.124	$	2.119	$	1.959	$	1.503	$	1.799
Accumulation unit value at end of period	$	2.246	$	2.063	$	1.675	$	2.679	$	2.409	$	2.124	$	2.119	$	1.959	$	1.503
Number of accumulation units outstanding at end of period (000’s omitted)		8		8		7		23		32		34		32		20		16
DWS Money Market VIP Subaccount (formerly Scudder Money Market Subaccount)
Accumulation unit value at beginning of period*	$	2.744	$	2.783	$	2.759	$	2.674	$	2.599	$	2.573	$	2.594	$	2.621	$	2.63
Accumulation unit value at end of period	$	2.697	$	2.744	$	2.783	$	2.759	$	2.674	$	2.599	$	2.573	$	2.594	$	2.621
Number of accumulation units outstanding at end of period (000’s omitted)		5		5		5		7		7		1		1		1		1
DWS Small Mid-Cap Growth VIP Subaccount (formerly DWS Small Cap Growth Subaccount)
Accumulation unit value at beginning of period*	$	1.546	$	1.119	$	2.254	$	2.160	$	2.088	$	1.984	$	1.818	$	1.392	$	2.128
Accumulation unit value at end of period	$	1.967	$	1.546	$	1.119	$	2.254	$	2.16	$	2.088	$	1.984	$	1.818	$	1.392
Number of accumulation units outstanding at end of period (000’s omitted)		6		6		5		6		7		6		6		3		10
DWS Technology VIP Subaccount (formerly Scudder Technology Growth Subaccount)*
Accumulation unit value at beginning of period*	$	0.799	$	0.507	$	0.959	$	0.854	$	0.862	$	0.846	$	0.844	$	0.586	$	0.925
Accumulation unit value at end of period	$	0.932	$	0.799	$	0.507	$	0.959	$	0.854	$	0.862	$	0.846	$	0.844	$	0.586
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		0		—		0
Fidelity VIP Asset ManagerSM Subaccount
Accumulation unit value at beginning of period*	$	26.200	$	20.647	$	29.473	$	25.966	$	24.618	$	24.074	$	23.226	$	20.031	$	22.331
Accumulation unit value at end of period	$	29.422	$	26.200	$	20.647	$	29.473	$	25.966	$	24.618	$	24.074	$	23.226	$	20.031
Number of accumulation units outstanding at end of period (000’s omitted)		0		0		0		0		0		0		0		0		0
Fidelity VIP Contrafund® Subaccount
Accumulation unit value at beginning of period*	$	35.427	$	26.562	$	47.017	$	40.686	$	37.055	$	32.24	$	28.409	$	22.501	$	25.257
Accumulation unit value at end of period	$	40.813	$	35.427	$	26.562	$	47.017	$	40.686	$	37.055	$	32.24	$	28.409	$	22.501
Number of accumulation units outstanding at end of period (000’s omitted)		0		0		0		2		1		1		1		0		1
Fidelity VIP Equity-Income Subaccount
Accumulation unit value at beginning of period*	$	31.003	$	24.227	$	42.989	$	43.086	$	36.472	$	35.053	$	31.98	$	24.967	$	30.588
Accumulation unit value at end of period	$	35.086	$	31.003	$	24.227	$	42.989	$	43.086	$	36.472	$	35.053	$	31.98	$	24.967
Number of accumulation units outstanding at end of period (000’s omitted)		0		0		0		1		2		3		3		3		2
Fidelity VIP Growth Subaccount
Accumulation unit value at beginning of period*	$	40.768	$	32.335	$	62.277	$	49.914	$	47.529	$	45.708	$	44.99	$	34.458	$	50.164
Accumulation unit value at end of period	$	49.754	$	40.768	$	32.335	$	62.277	$	49.914	$	47.529	$	45.708	$	44.99	$	34.458
Number of accumulation units outstanding at end of period (000’s omitted)		1		1		1		1		0		0		1		0		0
Fidelity VIP Index 500 Subaccount
Accumulation unit value at beginning of period*	$	132.744	$	106.683	$	172.302	$	166.288	$	146.195	$	141.901	$	130.535	$	103.433	$	135.362
Accumulation unit value at end of period	$	150.062	$	132.744	$	106.683	$	172.302	$	166.288	$	146.195	$	141.901	$	130.535	$	103.433
Number of accumulation units outstanding at end of period (000’s omitted)		0		0		0		0		0		0		0		0		0
Franklin Rising Dividends Securities Subaccount
Accumulation unit value at beginning of period**	$	12.248	$	10.620	$	14.823	$	15.501	$	13.466	$	13.247	$	12.143	$	10		N/A
Accumulation unit value at end of period	$	14.522	$	12.248	$	10.620	$	14.823	$	15.501	$	13.466	$	13.247	$	12.143		N/A
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		N/A
Franklin Small Cap Value Securities Subaccount
Accumulation unit value at beginning of period**	$	15.797	$	12.445	$	18.905	$	19.706	$	17.14	$	16.033	$	13.184	$	10		N/A
Accumulation unit value at end of period	$	19.907	$	15.797	$	12.445	$	18.905	$	19.706	$	17.14	$	16.033	$	13.184		N/A
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		N/A
Franklin Strategic Income Securities Subaccount
Accumulation unit value at beginning of period**	$	13.960	$	11.296	$	12.949	$	12.441	$	11.694	$	11.727	$	10.868	$	10		N/A
Accumulation unit value at end of period	$	15.218	$	13.960	$	11.296	$	12.949	$	12.441	$	11.694	$	11.727	$	10.868		N/A
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		N/A
Franklin U.S. Government Subaccount
Accumulation unit value at beginning of period**	$	11.710	$	11.557	$	10.930	$	10.432	$	10.205	$	10.139	$	9.97	$	10		N/A
Accumulation unit value at end of period	$	12.116	$	11.710	$	11.557	$	10.930	$	10.432	$	10.205	$	10.139	$	9.97		N/A
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		2		N/A
Franklin Zero Coupon 2010 Subaccount
Accumulation unit value at beginning of period**	$	11.314	$	11.494	$	10.907	$	10.238	$	10.173	$	10.216	$	9.951	$	10		N/A
Accumulation unit value at end of period		N/A	$	11.314	$	11.494	$	10.907	$	10.238	$	10.173	$	10.216	$	9.951		N/A
Number of accumulation units outstanding at end of period (000’s omitted)		N/A		0		0		1		2		—		—		2		N/A
Mutal Global Discovery Securities Subaccount (formerly Mutual Discovery Securities Subaccount)
Accumulation unit value at beginning of period**	$	18.548	$	15.304	$	21.766	$	19.803	$	16.373	$	14.365	$	12.367	$	10		N/A
Accumulation unit value at end of period	$	20.409	$	18.548	$	15.304	$	21.766	$	19.803	$	16.373	$	14.365	$	12.367		N/A
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		1		—		—		N/A
Mutual Shares Securities Subaccount
Accumulation unit value at beginning of period**	$	13.034	$	10.522	$	17.023	$	16.740	$	14.388	$	13.241	$	11.963	$	10		N/A
Accumulation unit value at end of period	$	14.244	$	13.034	$	10.522	$	17.023	$	16.74	$	14.388	$	13.241	$	11.963		N/A
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		N/A
Templeton Developing Markets Securities Subaccount
Accumulation unit value at beginning of period**	$	27.853	$	16.421	$	35.329	$	27.915	$	22.174	$	17.705	$	14.445	$	10		N/A
Accumulation unit value at end of period	$	32.189	$	27.853	$	16.421	$	35.329	$	27.915	$	22.174	$	17.705	$	14.445		N/A
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		N/A
ING JPMorgan Emerging Markets Equity Subaccount
Accumulation unit value at beginning of period+++	$	21.707	$	12.840	$	26.747	$	19.608	$	14.65	$	10		N/A		N/A		N/A
Accumulation unit value at end of period	$	25.736	$	21.707	$	12.840	$	26.747	$	19.608	$	14.65		N/A		N/A		N/A
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		N/A		N/A		N/A
ING VP Emerging Markets Subaccount
Accumulation unit value at beginning of period*		N/A		N/A		N/A		N/A		N/A	$	8.051	$	6.731	$	4.652	$	5.221
Accumulation unit value at end of period++		N/A		N/A		N/A		N/A		N/A		N/A	$	8.051	$	6.731	$	4.652
Number of accumulation units outstanding at end of period (000’s omitted)		N/A		N/A		N/A		N/A		N/A		N/A		—		—		—
ING VP Natural Resources Trust Subaccount
Accumulation unit value at beginning of period*		N/A		N/A		N/A	$	29.750	$	24.865	$	17.71	$	15.995	$	12.468	$	12.958
Accumulation unit value at end of period		N/A		N/A		N/A		N/A	$	29.75	$	24.865	$	17.71	$	15.995	$	12.468
Number of accumulation units outstanding at end of period (000’s omitted)		N/A		N/A		N/A		N/A		—		0		—		—		0
ING VP Global Resources Portfolio Subaccount
Accumulation unit value at beginning of period*	$	11.112	$	8.222	$	14.181		N/A		N/A		N/A		N/A		N/A		N/A
Accumulation unit value at end of period	$	13.285	$	11.112	$	8.222	$	14.181		N/A		N/A		N/A		N/A		N/A
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		N/A		N/A		N/A		N/A		N/A
Invesco V.I. Financial Services Subaccount (formerly AIM V.I. Financial Services Subaccount)
Accumulation unit value at beginning of period**	$	5.919	$	4.726	$	11.858	$	15.514	$	13.555	$	13.023	$	12.193	$	10		N/A
Accumulation unit value at end of period	$	6.417	$	5.919	$	4.726	$	11.858	$	15.514	$	13.555	$	13.023	$	12.193		N/A
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		N/A
Invesco V.I. Global Health Care Subaccount (formerly AIM V.I. Global Health Care Subaccount )
Accumulation unit value at beginning of period**	$	13.286	$	10.588	$	15.093	$	13.731	$	13.276	$	12.49	$	11.815	$	10		N/A
Accumulation unit value at end of period	$	13.749	$	13.286	$	10.588	$	15.093	$	13.731	$	13.276	$	12.49	$	11.815		N/A
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		0		—		N/A
Invesco V.I. Real Estate Subaccount (formerly AIM V.I. Real Estate Subaccount)
Accumulation unit value at beginning of period**	$	17.993	$	13.920	$	25.588	$	27.566	$	19.668	$	17.517	$	13.051	$	10		N/A
Accumulation unit value at end of period	$	20.781	$	17.993	$	13.920	$	25.588	$	27.566	$	19.668	$	17.517	$	13.051		N/A
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		0		1		—		—		—		—		N/A
Invesco V.I. Utilities Subaccount (formerly AIM V.I. Utilities Subaccount)
Accumulation unit value at beginning of period**	$	17.870	$	15.821	$	23.798	$	20.073	$	16.279	$	14.176	$	11.675	$	10		N/A
Accumulation unit value at end of period	$	18.670	$	17.870	$	15.821	$	23.798	$	20.073	$	16.279	$	14.176	$	11.675		N/A
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		N/A
JPMorgan Insurance Trust Equity Index Subaccount (formerly JPMorgan Investment Trust Equity Index Subaccount)
Accumulation unit value at beginning of period***	$	10.206	$	8.213	$	13.309	$	12.886	$	11.36	$	11.065	$	10.233		N/A		N/A
Accumulation unit value at end of period	$	11.476	$	10.206	$	8.213	$	13.309	$	12.886	$	11.36	$	11.065		N/A		N/A
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		N/A		N/A

B-31

Subaccount	2010		2009		2008		2007		2006		2005		2004		2003		2002
JPMorgan Insurance Trust U.S. Equity Subaccount (JPMorgan Insurance Trust Diversified Equity Subaccount (formerly JPMorgan Investment Trust Diversified Equity Subaccount)
Accumulation unit value at beginning of period***	$	11.268	$	8.576	$	13.384	$	12.331	$	10.802	$	10.741	$	10.044		N/A		N/A
Accumulation unit value at end of period	$	12.578	$	11.268	$	8.576	$	13.384	$	12.331	$	10.802	$	10.741		N/A		N/A
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		2		N/A		N/A
JPMorgan Insurance Trust Diversified Mid Cap Growth Subaccount (formerly JPMorgan Investment Trust Mid Cap Growth Subaccount)
Accumulation unit value at beginning of period***	$	11.960	$	8.508	$	15.400	$	13.367	$	12.209	$	11.182	$	10.39		N/A		N/A
Accumulation unit value at end of period	$	14.768	$	11.960	$	8.508	$	15.400	$	13.367	$	12.209	$	11.182		N/A		N/A
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		0		0		—		N/A		N/A
JPMorgan Insurance Trust Intrepid Mid Cap Subaccount (formerly JPMorgan Investment Trust Diversified Mid Cap Subaccount)
Accumulation unit value at beginning of period***	$	11.910	$	8.933	$	14.856	$	14.696	$	13.102	$	11.385	$	10.085		N/A		N/A
Accumulation unit value at end of period	$	13.990	$	11.910	$	8.933	$	14.856	$	14.696	$	13.102	$	11.385		N/A		N/A
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		N/A		N/A

B-32

Subaccount	2010		2009		2008		2007		2006		2005		2004		2003		2002
JPMorgan Insurance Trust Diversified Mid Cap Value Subaccount (formerly JPMorgan Investment Trust Mid Cap Value Subaccount)
Accumulation unit value at beginning of period***	$	11.240	$	8.942	$	14.104	$	14.222	$	12.397	$	11.492	$	10.266		N/A		N/A
Accumulation unit value at end of period	$	13.638	$	11.240	$	8.942	$	14.104	$	14.222	$	12.397	$	11.492		N/A		N/A
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		1		N/A		N/A
JPMorgan Insurance Trust International Equity Subaccount
Accumulation unit value at beginning of period***	$	16.492		N/A		N/A		N/A		N/A		N/A		N/A		N/A		N/A
Accumulation unit value at end of period	$	17.369	$	16.492		N/A		N/A		N/A		N/A		N/A		N/A		N/A
Number of accumulation units outstanding at end of period (000’s omitted)		0		0		N/A		N/A		N/A		N/A		N/A		N/A		N/A
JPMorgan Insurance Trust Small Cap Core Subaccount
Accumulation unit value at beginning of period***	$	14.847		N/A		N/A		N/A		N/A		N/A		N/A		N/A		N/A
Accumulation unit value at end of period	$	18.551	$	14.847		N/A		N/A		N/A		N/A		N/A		N/A		N/A
Number of accumulation units outstanding at end of period (000’s omitted)		0		0		N/A		N/A		N/A		N/A		N/A		N/A		N/A
JPMorgan International Equity Subaccount
Accumulation unit value at beginning of period**		N/A	$	12.438	$	21.580	$	20.086	$	16.746	$	15.392	$	13.231	$	10		N/A
Accumulation unit value at end of period		N/A		N/A	$	12.438	$	21.580	$	20.086	$	16.746	$	15.392	$	13.231		N/A
Number of accumulation units outstanding at end of period (000’s omitted)		0		0		0		1		—		—		3		3		N/A
JPMorgan Mid Cap Value Subaccount
Accumulation unit value at beginning of period**		N/A	$	11.908	$	18.141	$	18.018	$	15.69	$	14.617	$	12.286	$	10		N/A
Accumulation unit value at end of period		N/A		N/A	$	11.908	$	18.141	$	18.018	$	15.69	$	14.617	$	12.286		N/A
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		1		1		—		N/A
JPMorgan Small Company Subaccount
Accumulation unit value at beginning of period*		N/A	$	12.325	$	18.438	$	19.891	$	17.597	$	17.313	$	13.853	$	10.365	$	13.462
Accumulation unit value at end of period		N/A		N/A	$	12.325	$	18.438	$	19.891	$	17.597	$	17.313	$	13.853	$	10.365
Number of accumulation units outstanding at end of period (000’s omitted)		0		0		0		0		0		1		1		2		1
Janus Aspen Balanced Subaccount
Accumulation unit value at beginning of period*	$	38.370	$	31.013	$	37.495	$	34.518	$	31.72	$	29.897	$	28.031	$	25.008	$	27.199
Accumulation unit value at end of period	$	40.873	$	38.370	$	31.013	$	37.495	$	34.518	$	31.72	$	29.897	$	28.031	$	25.008
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		0		1		1		0		2
Janus Aspen Enterprise Subaccount (formerly Janus Aspen Mid Cap Growth Subaccount)
Accumulation unit value at beginning of period*	$	31.213	$	21.929	$	39.649	$	33.060	$	29.607	$	26.823	$	22.604	$	17.023	$	24.036
Accumulation unit value at end of period	$	38.606	$	31.213	$	21.929	$	39.649	$	33.06	$	29.607	$	26.823	$	22.604	$	17.023
Number of accumulation units outstanding at end of period (000’s omitted)		1		1		1		—		1		1		1		1		1
Janus Aspen Janus Subaccount (formerly Janus Aspen Large Cap Growth Subaccount)
Accumulation unit value at beginning of period*	$	22.296	$	16.638	$	28.084	$	24.831	$	22.683	$	22.131	$	21.546	$	16.642	$	23.042
Accumulation unit value at end of period	$	25.094	$	22.296	$	16.638	$	28.084	$	24.831	$	22.683	$	22.131	$	21.546	$	16.642
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		1		1		1		3		3
Janus Aspen Mid Cap Value Subaccount
Accumulation unit value at beginning of period**	$	18.423	$	14.103	$	19.902	$	18.897	$	16.71	$	15.455	$	13.35	$	10		N/A
Accumulation unit value at end of period	$	20.889	$	18.423	$	14.103	$	19.902	$	18.897	$	16.71	$	15.455	$	13.35		N/A
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		1		0		0		—		N/A
Janus Aspen Small Company Value Subaccount
Accumulation unit value at beginning of period**		N/A	$	11.004	$	17.473	$	18.938	$	15.811	$	15.554	$	13.403	$	10		N/A
Accumulation unit value at end of period		N/A		N/A	$	11.004	$	17.473	$	18.938	$	15.811	$	15.554	$	13.403		N/A
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		1		0		0		—		N/A
Janus Aspen Worldwide Subaccount (formerly Janus Aspen Worldwide Growth Subaccount)
Accumulation unit value at beginning of period*	$	27.221	$	20.114	$	36.986	$	34.331	$	29.551	$	28.401	$	27.581	$	22.633	$	30.914
Accumulation unit value at end of period	$	30.990	$	27.221	$	20.114	$	36.986	$	34.331	$	29.551	$	28.401	$	27.581	$	22.633
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—				0		0		0		1
Oppenheimer Capital Appreciation Subaccount
Accumulation unit value at beginning of period**	$	11.887	$	8.390	$	15.712	$	14.042	$	13.268	$	12.874	$	12.287	$	10		N/A
Accumulation unit value at end of period	$	12.751	$	11.887	$	8.390	$	15.712	$	14.042	$	13.268	$	12.874	$	12.287		N/A
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		N/A
Oppenheimer Global Securities Subaccount
Accumulation unit value at beginning of period**	$	17.853	$	13.036	$	22.230	$	21.324	$	18.486	$	16.49	$	14.115	$	10		N/A
Accumulation unit value at end of period	$	20.302	$	17.853	$	13.036	$	22.230	$	21.324	$	18.486	$	16.49	$	14.115		N/A
Number of accumulation units outstanding at end of period (000’s omitted)		0		0		0		4		1		1		1		—		N/A
Oppenheimer High Income Subaccount
Accumulation unit value at beginning of period**	$	3.238	$	2.616	$	12.422	$	12.700	$	11.83	$	11.8	$	11.043	$	10		N/A
Accumulation unit value at end of period	$	3.642	$	3.238	$	2.616	$	12.422	$	12.7	$	11.83	$	11.8	$	11.043		N/A
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		N/A
Oppenheimer Main Street Subaccount
Accumulation unit value at beginning of period**	$	11.787	$	9.370	$	15.535	$	15.178	$	13.457	$	12.949	$	12.072	$	10		N/A
Accumulation unit value at end of period	$	13.418	$	11.787	$	9.370	$	15.535	$	15.178	$	13.457	$	12.949	$	12.072		N/A
Number of accumulation units outstanding at end of period (000’s omitted)		0		0		0		3		3		3		3		—		N/A
Oppenheimer Main Street Small Cap Subaccount
Accumulation unit value at beginning of period**	$	15.469	$	11.499	$	18.873	$	19.476	$	17.283	$	16.027	$	13.684	$	10		N/A
Accumulation unit value at end of period	$	18.709	$	15.469	$	11.499	$	18.873	$	19.476	$	17.283	$	16.027	$	13.684		N/A
Number of accumulation units outstanding at end of period (000’s omitted)		0		0		0		1		—		—		0		0		N/A
Oppenheimer Small- & Mid-Cap Growth Subaccount (formerly Oppenheimer MidCap Growth Subaccount) (formerly Oppenheimer Aggressive Growth Subaccount)
Accumulation unit value at beginning of period**	$	10.561	$	8.125	$	16.278	$	15.622	$	15.476	$	14.061	$	11.98	$	10		N/A
Accumulation unit value at end of period	$	13.199	$	10.561	$	8.125	$	16.278	$	15.622	$	15.476	$	14.061	$	11.98		N/A
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		N/A
Oppenheimer Global Strategic Income Subaccount (formerly Oppenheimer Strategic Bond Subaccount)
Accumulation unit value at beginning of period**	$	12.851	$	11.043	$	13.140	$	12.205	$	11.58	$	11.497	$	10.789	$	10		N/A
Accumulation unit value at end of period	$	14.496	$	12.851	$	11.043	$	13.140	$	12.205	$	11.58	$	11.497	$	10.789		N/A
Number of accumulation units outstanding at end of period (000’s omitted)		5		5		9		11		—		—		1		—		N/A
Scudder Growth Subaccount
Accumulation unit value at beginning of period*		N/A		N/A		N/A		N/A		N/A	$	5.054	$	4.891	$	3.99	$	5.751
Accumulation unit value at end of period+		N/A		N/A		N/A		N/A		N/A		N/A	$	5.054	$	4.891	$	3.99
Number of accumulation units outstanding at end of period (000’s omitted)		N/A		N/A		N/A		N/A		N/A		N/A		0		0		0
SVS Focus Value + Growth Subaccount
Accumulation unit value at beginning of period*		N/A		N/A		N/A		N/A		N/A	$	1.598	$	1.461	$	1.12	$	1.538
Accumulation unit value at end of period+		N/A		N/A		N/A		N/A		N/A		N/A	$	1.598	$	1.461	$	1.12
Number of accumulation units outstanding at end of period (000’s omitted)		N/A		N/A		N/A		N/A		N/A		N/A		—		—		21

B-33

Additional Contract Options Elected (0.45%)

Guaranteed Minimum Death Benefit and Guaranteed Retirement Income Benefit—10 year

(Separate Account Charges of 1.75% of the Daily Net Assets of the Separate Account)

Tax Nonqualified Periodic Payment Contracts—1.75%

Subaccount	2010		2009		2008		2007		2006		2005		2004		2003		2002
Alger Large Cap Growth Subaccount (formerly Alger American LargeCap Growth Subaccount)(formerly Alger American Growth Subaccount)
Accumulation unit value at beginning of period*	$	48.199	$	33.233	$	62.802	$	53.280	$	51.555	$	46.821	$	45.16	$	33.996	$	51.624
Accumulation unit value at end of period	$	53.712	$	48.199	$	33.233	$	62.802	$	53.28	$	51.555	$	46.821	$	45.16	$	33.996
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		0		0		0		0		—
Alger Small Cap Subaccount (formerly Alger American Small Cap Subaccount)
Accumulation unit value at beginning of period*	$	29.072	$	19.499	$	47.646	$	36.853	$	34.044	$	31.54	$	28.39	$	19.545	$	28.227
Accumulation unit value at end of period	$	34.111	$	29.072	$	19.499	$	47.646	$	36.853	$	34.044	$	31.54	$	28.39	$	19.545
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		—
Alger Small Capitalization Subaccount (formerly Alger American Small Capitalization Subaccount)
Accumulation unit value at beginning of period*	$	42.517	$	29.731	$	56.654	$	49.173	$	41.687	$	36.288	$	31.676	$	22.642	$	31.228
Accumulation unit value at end of period	$	52.355	$	42.517	$	29.731	$	56.654	$	49.173	$	41.687	$	36.288	$	31.676	$	22.642
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		—
American Century VP Income & Growth Subaccount
Accumulation unit value at beginning of period*	$	6.135	$	5.286	$	8.222	$	8.372	$	7.275	$	7.075	$	6.371	$	5.011	$	6.324
Accumulation unit value at end of period	$	6.882	$	6.135	$	5.286	$	8.222	$	8.372	$	7.275	$	7.075	$	6.371	$	5.011
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		0		0		0		0		—
American Century VP Value Subaccount
Accumulation unit value at beginning of period*	$	8.905	$	7.559	$	10.504	$	11.268	$	9.663	$	9.36	$	8.33	$	6.573	$	7.654
Accumulation unit value at end of period	$	9.927	$	8.905	$	7.559	$	10.504	$	11.268	$	9.663	$	9.36	$	8.33	$	6.573
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		0		0		0		0		0
Credit Suisse Trust International Equity Flex III Subaccount (formerly Credit Suisse Trust-Emerging Markets Subaccount)
Accumulation unit value at beginning of period*	$	17.175	$	11.526	$	25.949	$	20.400	$	15.663	$	12.457	$	10.146	$	7.225	$	8.313
Accumulation unit value at end of period	$	18.944	$	17.175	$	11.526	$	25.949	$	20.4	$	15.663	$	12.457	$	10.146	$	7.225
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		—
Dreyfus IP MidCap Stock Subaccount
Accumulation unit value at beginning of period**	$	12.407	$	9.329	$	15.939	$	15.998	$	15.117	$	14.119	$	12.577	$	10		N/A
Accumulation unit value at end of period	$	15.480	$	12.407	$	9.329	$	15.939	$	15.998	$	15.117	$	14.119	$	12.577		N/A
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		N/A
Dreyfus Socially Responsible Growth Subaccount
Accumulation unit value at beginning of period*	$	23.792	$	18.099	$	28.084	$	26.514	$	24.704	$	24.258	$	23.24	$	18.766	$	26.875
Accumulation unit value at end of period	$	26.847	$	23.792	$	18.099	$	28.084	$	26.514	$	24.704	$	24.258	$	23.24	$	18.766
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		—
Dreyfus VIF Small Company Stock Subaccount*
Accumulation unit value at beginning of period**		N/A		N/A		N/A	$	17.033	$	15.62	$	15.771	$	13.578	$	10		N/A
Accumulation unit value at end of period		N/A		N/A		N/A		N/A	$	17.033	$	15.62	$	15.771	$	13.578		N/A
Number of accumulation units outstanding at end of period (000’s omitted)		N/A		N/A		N/A		N/A		—		—		—		—		N/A
DWS Bond VIP Subaccount (formerly Scudder Bond Subaccount)
Accumulation unit value at beginning of period*	$	7.789	$	7.200	$	8.802	$	8.598	$	8.354	$	8.284	$	7.999	$	7.747	$	7.322
Accumulation unit value at end of period	$	8.175	$	7.789	$	7.200	$	8.802	$	8.598	$	8.354	$	8.284	$	7.999	$	7.747
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		0		0		0		0		0
DWS Capital Growth VIP Subaccount (formerly Scudder Capital Growth Subaccount)
Accumulation unit value at beginning of period*	$	19.526	$	15.660	$	23.777	$	21.489	$	20.146	$	18.813	$	17.727	$	14.215	$	20.425
Accumulation unit value at end of period	$	22.397	$	19.526	$	15.660	$	23.777	$	21.489	$	20.146	$	18.813	$	17.727	$	14.215
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		—
DWS Growth & Income VIP Subaccount (formerly Scudder Growth and Income Subaccount)
Accumulation unit value at beginning of period****	$	9.875	$	7.490	$	12.354	$	12.403	$	11.106	$	10		N/A		N/A		N/A
Accumulation unit value at end of period	$	11.102	$	9.875	$	7.490	$	12.354	$	12.403	$	11.106		N/A		N/A		N/A
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		N/A		N/A		N/A
DWS International VIP Subaccount (formerly Scudder International Subaccount)
Accumulation unit value at beginning of period*	$	13.026	$	9.926	$	19.504	$	17.321	$	13.996	$	12.259	$	10.704	$	8.525	$	10.626
Accumulation unit value at end of period	$	13.010	$	13.026	$	9.926	$	19.504	$	17.321	$	13.996	$	12.259	$	10.704	$	8.525
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		0		0		0		0		0
DWS Balanced VIP Subaccount (formerly Scudder Total Return Subaccount
Accumulation unit value at beginning of period*	$	6.664	$	5.494	$	7.693	$	7.466	$	6.891	$	6.722	$	6.405	$	5.526	$	6.628
Accumulation unit value at end of period	$	7.285	$	6.664	$	5.494	$	7.693	$	7.466	$	6.891	$	6.722	$	6.405	$	5.526
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		—
DWS Core Fixed Income VIP Subaccount (formerly Scudder Fixed Income Subaccount)
Accumulation unit value at beginning of period*	$	1.284	$	1.212	$	1.529	$	1.494	$	1.458	$	1.451	$	1.412	$	1.367	$	1.288
Accumulation unit value at end of period	$	1.344	$	1.284	$	1.212	$	1.529	$	1.494	$	1.458	$	1.451	$	1.412	$	1.367
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		—
DWS Diversified International Equity VIP Subaccount (formerly DWS International Select Equity VIP Subaccount)
Accumulation unit value at beginning of period*	$	1.987	$	1.563	$	3.107	$	2.709	$	2.195	$	1.95	$	1.678	$	1.315	$	1.547
Accumulation unit value at end of period	$	2.167	$	1.987	$	1.563	$	3.107	$	2.709	$	2.195	$	1.95	$	1.678	$	1.315
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		—
DWS Dreman Small Mid Cap Value VIP (formerly DWS Dreman Small Cap Value VIP Subaccount)
Accumulation unit value at beginning of period*	$	2.179	$	1.709	$	2.612	$	2.579	$	2.098	$	1.937	$	1.564	$	1.12	$	1.286
Accumulation unit value at end of period	$	2.636	$	2.179	$	1.709	$	2.612	$	2.579	$	2.098	$	1.937	$	1.564	$	1.12
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		5		5		4		3		2
DWS Government & Agency Securities VIP Subaccount (formerly Scudder Government & Agency Securities Subaccount)
Accumulation unit value at beginning of period*	$	2.629	$	2.475	$	2.400	$	2.305	$	2.252	$	2.233	$	2.19	$	2.18	$	2.052
Accumulation unit value at end of period	$	2.755	$	2.629	$	2.475	$	2.400	$	2.305	$	2.252	$	2.233	$	2.19	$	2.18
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		—
DWS High Income VIP Subaccount (formerly Scudder High Income Subaccount)
Accumulation unit value at beginning of period*	$	8.146	$	5.921	$	7.921	$	7.983	$	7.353	$	7.201	$	6.518	$	5.322	$	5.432
Accumulation unit value at end of period	$	9.127	$	8.146	$	5.921	$	7.921	$	7.983	$	7.353	$	7.201	$	6.518	$	5.322
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		—

B-34

Subaccount	2010		2009		2008		2007		2006		2005		2004		2003		2002
DWS Large Cap Value VIP Subaccount (formerly Scudder Large Cap Value Subaccount)
Accumulation unit value at beginning of period*	$	2.063	$	1.675	$	2.679	$	2.409	$	2.124	$	2.119	$	1.959	$	1.503	$	1.799
Accumulation unit value at end of period	$	2.246	$	2.063	$	1.675	$	2.679	$	2.409	$	2.124	$	2.119	$	1.959	$	1.503
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		4		4		3		2		1
DWS Money Market VIP Subaccount (formerly Scudder Money Market Subaccount)
Accumulation unit value at beginning of period*	$	2.744	$	2.783	$	2.759	$	2.674	$	2.599	$	2.573	$	2.594	$	2.621	$	2.63
Accumulation unit value at end of period	$	2.697	$	2.744	$	2.783	$	2.759	$	2.674	$	2.599	$	2.573	$	2.594	$	2.621
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		1
DWS Small Mid-Cap Growth VIP Subaccount (formerly DWS Small Cap Growth Subaccount)
Accumulation unit value at beginning of period*	$	1.546	$	1.119	$	2.254	$	2.160	$	2.088	$	1.984	$	1.818	$	1.392	$	2.128
Accumulation unit value at end of period	$	1.967	$	1.546	$	1.119	$	2.254	$	2.16	$	2.088	$	1.984	$	1.818	$	1.392
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		—
DWS Technology VIP Subaccount (formerly Scudder Technology Growth Subaccount)*
Accumulation unit value at beginning of period*	$	0.799	$	0.507	$	0.959	$	0.854	$	0.862	$	0.846	$	0.844	$	0.586	$	0.925
Accumulation unit value at end of period	$	0.932	$	0.799	$	0.507	$	0.959	$	0.854	$	0.862	$	0.846	$	0.844	$	0.586
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		—
Fidelity VIP Asset ManagerSM Subaccount
Accumulation unit value at beginning of period*	$	26.200	$	20.647	$	29.473	$	25.966	$	24.618	$	24.074	$	23.226	$	20.031	$	22.331
Accumulation unit value at end of period	$	29.422	$	26.200	$	20.647	$	29.473	$	25.966	$	24.618	$	24.074	$	23.226	$	20.031
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		0		0		0		0		—
Fidelity VIP Contrafund® Subaccount
Accumulation unit value at beginning of period*	$	35.427	$	26.562	$	47.017	$	40.686	$	37.055	$	32.24	$	28.409	$	22.501	$	25.257
Accumulation unit value at end of period	$	40.813	$	35.427	$	26.562	$	47.017	$	40.686	$	37.055	$	32.24	$	28.409	$	22.501
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		0		0		0		0		—
Fidelity VIP Equity-Income Subaccount
Accumulation unit value at beginning of period*	$	31.003	$	24.227	$	42.989	$	43.086	$	37.055	$	35.053	$	31.98	$	24.967	$	30.588
Accumulation unit value at end of period	$	35.086	$	31.003	$	24.227	$	42.989	$	43.086	$	36.472	$	35.053	$	31.98	$	24.967
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		0		0		0		0		0
Fidelity VIP Growth Subaccount
Accumulation unit value at beginning of period*	$	40.768	$	32.335	$	62.277	$	49.914	$	47.529	$	45.708	$	44.99	$	34.458	$	50.164
Accumulation unit value at end of period	$	49.754	$	40.768	$	32.335	$	62.277	$	49.914	$	47.529	$	45.708	$	44.99	$	34.458
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		0		0		0		0		0
Fidelity VIP Index 500 Subaccount
Accumulation unit value at beginning of period*	$	132.744	$	106.683	$	172.302	$	166.288	$	146.195	$	141.901	$	130.535	$	103.433	$	135.362
Accumulation unit value at end of period	$	150.062	$	132.744	$	106.683	$	172.302	$	166.288	$	146.195	$	141.901	$	130.535	$	103.433
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		0		0		0		0		0
Franklin Rising Dividends Securities Subaccount
Accumulation unit value at beginning of period**	$	12.248	$	10.620	$	14.823	$	15.501	$	13.466	$	13.247	$	12.143	$	10		N/A
Accumulation unit value at end of period	$	14.522	$	12.248	$	10.620	$	14.823	$	15.501	$	13.466	$	13.247	$	12.143		N/A
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		N/A
Franklin Small Cap Value Securities Subaccount
Accumulation unit value at beginning of period**	$	15.797	$	12.445	$	18.905	$	19.706	$	17.14	$	16.033	$	13.184	$	10		N/A
Accumulation unit value at end of period	$	19.907	$	15.797	$	12.445	$	18.905	$	19.706	$	17.14	$	16.033	$	13.184		N/A
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		N/A
Franklin Strategic Income Securities Subaccount
Accumulation unit value at beginning of period**	$	13.960	$	11.296	$	12.949	$	12.441	$	11.694	$	11.727	$	10.868	$	10		N/A
Accumulation unit value at end of period	$	15.218	$	13.960	$	11.296	$	12.949	$	12.441	$	11.694	$	11.727	$	10.868		N/A
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		N/A
Franklin U.S. Government Subaccount
Accumulation unit value at beginning of period**	$	11.710	$	11.557	$	10.930	$	10.432	$	10.205	$	10.139	$	9.97	$	10		N/A
Accumulation unit value at end of period	$	12.116	$	11.710	$	11.557	$	10.930	$	10.432	$	10.205	$	10.139	$	9.97		N/A
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		N/A
Franklin Zero Coupon 2010 Subaccount
Accumulation unit value at beginning of period**	$	11.314	$	11.494	$	10.907	$	10.238	$	10.173	$	10.216	$	9.951	$	10		N/A
Accumulation unit value at end of period		N/A	$	11.314	$	11.494	$	10.907	$	10.238	$	10.173	$	10.216	$	9.951		N/A
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		N/A
Mutal Global Discovery Securities Subaccount (formerly Mutual Discovery Securities Subaccount)
Accumulation unit value at beginning of period**	$	18.548	$	15.304	$	21.766	$	19.803	$	16.373	$	14.365	$	12.367	$	10		N/A
Accumulation unit value at end of period	$	20.409	$	18.548	$	15.304	$	21.766	$	19.803	$	16.373	$	14.365	$	12.367		N/A
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		N/A
Mutual Shares Securities Subaccount
Accumulation unit value at beginning of period**	$	13.034	$	10.522	$	17.023	$	16.740	$	14.388	$	13.241	$	11.963	$	10		N/A
Accumulation unit value at end of period	$	14.244	$	13.034	$	10.522	$	17.023	$	16.74	$	14.388	$	13.241	$	11.963		N/A
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		N/A
Templeton Developing Markets Securities Subaccount
Accumulation unit value at beginning of period**	$	27.853	$	16.421	$	35.329	$	27.915	$	22.174	$	17.705	$	14.445	$	10		N/A
Accumulation unit value at end of period	$	32.189	$	27.853	$	16.421	$	35.329	$	27.915	$	22.174	$	17.705	$	14.445		N/A
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—				—		—		—		N/A
ING JPMorgan Emerging Markets Equity Subaccount
Accumulation unit value at beginning of period+++	$	21.707	$	12.840	$	26.747	$	19.608	$	14.65	$	10		N/A		N/A		N/A
Accumulation unit value at end of period	$	25.736	$	21.707	$	12.840	$	26.747	$	19.608	$	14.65		N/A		N/A		N/A
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		N/A		N/A		N/A
ING VP Emerging Markets Subaccount
Accumulation unit value at beginning of period*		N/A		N/A		N/A		N/A		N/A	$	8.051	$	6.731	$	4.652	$	5.221
Accumulation unit value at end of period++		N/A		N/A		N/A		N/A		N/A		N/A	$	8.051	$	6.731	$	4.652
Number of accumulation units outstanding at end of period (000’s omitted)		N/A		N/A		N/A		N/A		N/A		N/A		—		—		—
ING VP Natural Resources Trust Subaccount
Accumulation unit value at beginning of period*		N/A		N/A		N/A	$	29.750	$	24.865	$	17.71	$	15.995	$	12.468	$	12.958
Accumulation unit value at end of period		N/A		N/A		N/A		N/A	$	29.75	$	24.865	$	17.71	$	15.995	$	12.468
Number of accumulation units outstanding at end of period (000’s omitted)		N/A		N/A		N/A		N/A		—		—		—		—		—
ING VP Global Resources Portfolio Subaccount
Accumulation unit value at beginning of period*	$	11.112	$	8.222	$	14.181		N/A		N/A		N/A		N/A		N/A		N/A
Accumulation unit value at end of period	$	13.285	$	11.112	$	8.222	$	14.181		N/A		N/A		N/A		N/A		N/A
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		N/A		N/A		N/A		N/A		N/A
Invesco V.I. Financial Services Subaccount (formerly AIM V.I. Financial Services Subaccount)
Accumulation unit value at beginning of period**	$	5.919	$	4.726	$	11.858	$	15.514	$	13.555	$	13.023	$	12.193	$	10		N/A
Accumulation unit value at end of period	$	6.417	$	5.919	$	4.726	$	11.858	$	15.514	$	13.555	$	13.023	$	12.193		N/A
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		N/A
Invesco V.I. Global Health Care Subaccount (formerly AIM V.I. Global Health Care Subaccount )
Accumulation unit value at beginning of period**	$	13.286	$	10.588	$	15.093	$	13.731	$	13.276	$	12.49	$	11.815	$	10		N/A
Accumulation unit value at end of period	$	13.749	$	13.286	$	10.588	$	15.093	$	13.731	$	13.276	$	12.49	$	11.815		N/A
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		N/A
Invesco V.I. Real Estate Subaccount (formerly AIM V.I. Real Estate Subaccount)
Accumulation unit value at beginning of period**	$	17.993	$	13.920	$	25.588	$	27.566	$	19.668	$	17.517	$	13.051	$	10		N/A
Accumulation unit value at end of period	$	20.781	$	17.993	$	13.920	$	25.588	$	27.566	$	19.668	$	17.517	$	13.051		N/A
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		N/A
Invesco V.I. Utilities Subaccount (formerly AIM V.I. Utilities Subaccount)
Accumulation unit value at beginning of period**	$	17.870	$	15.821	$	23.798	$	20.073	$	16.279	$	14.176	$	11.675	$	10		N/A
Accumulation unit value at end of period	$	18.670	$	17.870	$	15.821	$	23.798	$	20.073	$	16.279	$	14.176	$	11.675		N/A
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		N/A
JPMorgan Insurance Trust Equity Index Subaccount (formerly JPMorgan Investment Trust Equity Index Subaccount)
Accumulation unit value at beginning of period***	$	10.206	$	8.213	$	13.309	$	12.886	$	11.36	$	11.065	$	10.233		N/A		N/A
Accumulation unit value at end of period	$	11.476	$	10.206	$	8.213	$	13.309	$	12.886	$	11.36	$	11.065		N/A		N/A
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		N/A		N/A

B-35

Subaccount	2010		2009		2008		2007		2006		2005		2004		2003		2002
JPMorgan Insurance Trust U.S. Equity Subaccount (JPMorgan Insurance Trust Diversified Equity Subaccount (formerly JPMorgan Investment Trust Diversified Equity Subaccount)
Accumulation unit value at beginning of period***	$	11.268	$	8.576	$	13.384	$	12.331	$	10.802	$	10.741	$	10.044		N/A		N/A
Accumulation unit value at end of period	$	12.578	$	11.268	$	8.576	$	13.384	$	12.331	$	10.802	$	10.741		N/A		N/A
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		N/A		N/A
JPMorgan Insurance Trust Diversified Mid Cap Growth Subaccount (formerly JPMorgan Investment Trust Mid Cap Growth Subaccount)
Accumulation unit value at beginning of period***	$	11.960	$	8.508	$	15.400	$	13.367	$	12.209	$	11.182	$	10.39		N/A		N/A
Accumulation unit value at end of period	$	14.768	$	11.960	$	8.508	$	15.400	$	13.367	$	12.209	$	11.182		N/A		N/A
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		N/A		N/A
JPMorgan Insurance Trust Intrepid Mid Cap Portfolio (formerly JPMorgan Investment Trust Diversified Mid Cap Subaccount)
Accumulation unit value at beginning of period***	$	11.910	$	8.933	$	14.856	$	14.696	$	13.102	$	11.385	$	10.085		N/A		N/A
Accumulation unit value at end of period	$	13.990	$	11.910	$	8.933	$	14.856	$	14.696	$	13.102	$	11.385		N/A		N/A
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		N/A		N/A

B-36

Subaccount	2010		2009		2008		2007		2006		2005		2004		2003		2002
JPMorgan Insurance Trust Diversified Mid Cap Value Subaccount (formerly JPMorgan Investment Trust Mid Cap Value Subaccount)
Accumulation unit value at beginning of period***	$	11.240	$	8.942	$	14.104	$	14.222	$	12.397	$	11.492	$	10.266		N/A		N/A
Accumulation unit value at end of period	$	13.638	$	11.240	$	8.942	$	14.104	$	14.222	$	12.397	$	11.492		N/A		N/A
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		N/A		N/A
JPMorgan Insurance Trust International Equity Subaccount
Accumulation unit value at beginning of period***	$	16.492		N/A		N/A		N/A		N/A		N/A		N/A		N/A		N/A
Accumulation unit value at end of period	$	17.369	$	16.492		N/A		N/A		N/A		N/A		N/A		N/A		N/A
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		N/A		N/A		N/A		N/A		N/A		N/A		N/A
JPMorgan Insurance Trust Small Cap Core Subaccount
Accumulation unit value at beginning of period***	$	14.847		N/A		N/A		N/A		N/A		N/A		N/A		N/A		N/A
Accumulation unit value at end of period	$	18.551	$	14.847		N/A		N/A		N/A		N/A		N/A		N/A		N/A
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		N/A		N/A		N/A		N/A		N/A		N/A		N/A
JPMorgan International Equity Subaccount
Accumulation unit value at beginning of period**		N/A	$	12.438	$	21.580	$	20.086	$	16.746	$	15.392	$	13.231	$	10		N/A
Accumulation unit value at end of period		N/A		N/A	$	12.438	$	21.580	$	20.086	$	16.746	$	15.392	$	13.231		N/A
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		N/A
JPMorgan Mid Cap Value Subaccount
Accumulation unit value at beginning of period**		N/A	$	11.908	$	18.141	$	18.018	$	15.69	$	14.617	$	12.286	$	10		N/A
Accumulation unit value at end of period		N/A		N/A	$	11.908	$	18.141	$	18.018	$	15.69	$	14.617	$	12.286		N/A
Number of accumulation units outstanding at end of period		—		—		—		—		—		—		—		—		N/A
JPMorgan Small Company Subaccount
Accumulation unit value at beginning of period*		N/A	$	12.325	$	18.438	$	19.891	$	17.597	$	17.313	$	13.853	$	10.365	$	13.462
Accumulation unit value at end of period		N/A		N/A	$	12.325	$	18.438	$	19.891	$	17.597	$	17.313	$	13.853	$	10.365
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		0		0		0		0
Janus Aspen Balanced Subaccount
Accumulation unit value at beginning of period*	$	38.370	$	31.013	$	37.495	$	34.518	$	31.72	$	29.897	$	28.031	$	25.008	$	27.199
Accumulation unit value at end of period	$	40.873	$	38.370	$	31.013	$	37.495	$	34.518	$	31.72	$	29.897	$	28.031	$	25.008
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		—
Janus Aspen Enterprise Subaccount (formerly Janus Aspen Mid Cap Growth Subaccount)
Accumulation unit value at beginning of period*	$	31.213	$	21.929	$	39.649	$	33.060	$	29.607	$	26.823	$	22.604	$	17.023	$	24.036
Accumulation unit value at end of period	$	38.606	$	31.213	$	21.929	$	39.649	$	33.06	$	29.607	$	26.823	$	22.604	$	17.023
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		—
Janus Aspen Janus Subaccount (formerly Janus Aspen Large Cap Growth Subaccount)
Accumulation unit value at beginning of period*	$	22.296	$	16.638	$	28.084	$	24.831	$	22.683	$	22.131	$	21.546	$	16.642	$	23.042
Accumulation unit value at end of period	$	25.094	$	22.296	$	16.638	$	28.084	$	24.831	$	22.683	$	22.131	$	21.546	$	16.642
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		—
Janus Aspen Mid Cap Value Subaccount
Accumulation unit value at beginning of period**	$	18.423	$	14.103	$	19.902	$	18.897	$	16.71	$	15.455	$	13.35	$	10		N/A
Accumulation unit value at end of period	$	20.889	$	18.423	$	14.103	$	19.902	$	18.897	$	16.71	$	15.455	$	13.35		N/A
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		N/A
Janus Aspen Small Company Value Subaccount
Accumulation unit value at beginning of period**		N/A	$	11.004	$	17.473	$	18.938	$	15.811	$	15.554	$	13.403	$	10		N/A
Accumulation unit value at end of period		N/A		N/A	$	11.004	$	17.473	$	18.938	$	15.811	$	15.554	$	13.403		N/A
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		N/A
Janus Aspen Worldwide Subaccount (formerly Janus Aspen Worldwide Growth Subaccount)
Accumulation unit value at beginning of period*	$	27.221	$	20.114	$	36.986	$	34.331	$	29.551	$	28.401	$	27.581	$	22.633	$	30.914
Accumulation unit value at end of period	$	30.990	$	27.221	$	20.114	$	36.986	$	34.331	$	29.551	$	28.401	$	27.581	$	22.633
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		—
Oppenheimer Capital Appreciation Subaccount
Accumulation unit value at beginning of period**	$	11.887	$	8.390	$	15.712	$	14.042	$	13.268	$	12.874	$	12.287	$	10		N/A
Accumulation unit value at end of period	$	12.751	$	11.887	$	8.390	$	15.712	$	14.042	$	13.268	$	12.874	$	12.287		N/A
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		N/A
Oppenheimer Global Securities Subaccount
Accumulation unit value at beginning of period**	$	17.853	$	13.036	$	22.230	$	21.324	$	18.486	$	16.49	$	14.115	$	10		N/A
Accumulation unit value at end of period	$	20.302	$	17.853	$	13.036	$	22.230	$	21.324	$	18.486	$	16.49	$	14.115		N/A
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		N/A
Oppenheimer High Income Subaccount
Accumulation unit value at beginning of period**	$	3.238	$	2.616	$	12.422	$	12.700	$	11.83	$	11.8	$	11.043	$	10		N/A
Accumulation unit value at end of period	$	3.642	$	3.238	$	2.616	$	12.422	$	12.7	$	11.83	$	11.8	$	11.043		N/A
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		N/A
Oppenheimer Main Street Subaccount
Accumulation unit value at beginning of period**	$	11.787	$	9.370	$	15.535	$	15.178	$	13.457	$	12.949	$	12.072	$	10		N/A
Accumulation unit value at end of period	$	13.418	$	11.787	$	9.370	$	15.535	$	15.178	$	13.457	$	12.949	$	12.072		N/A
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		N/A
Oppenheimer Main Street Small Cap Subaccount
Accumulation unit value at beginning of period**	$	15.469	$	11.499	$	18.873	$	19.476	$	17.283	$	16.027	$	13.684	$	10		N/A
Accumulation unit value at end of period	$	18.709	$	15.469	$	11.499	$	18.873	$	19.476	$	17.283	$	16.027	$	13.684		N/A
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		N/A
Oppenheimer Small- & Mid-Cap Growth Subaccount (formerly Oppenheimer MidCap Growth Subaccount) (formerly Oppenheimer Aggressive Growth Subaccount)
Accumulation unit value at beginning of period**	$	10.561	$	8.125	$	16.278	$	15.622	$	15.476	$	14.061	$	11.98	$	10		N/A
Accumulation unit value at end of period	$	13.199	$	10.561	$	8.125	$	16.278	$	15.622	$	15.476	$	14.061	$	11.98		N/A
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		N/A
Oppenheimer Global Strategic Income Subaccount (formerly Oppenheimer Strategic Bond Subaccount)
Accumulation unit value at beginning of period**	$	12.851	$	11.043	$	13.140	$	12.205	$	11.58	$	11.497	$	10.789	$	10		N/A
Accumulation unit value at end of period	$	14.496	$	12.851	$	11.043	$	13.140	$	12.205	$	11.58	$	11.497	$	10.789		N/A
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		N/A
Scudder Growth Subaccount
Accumulation unit value at beginning of period*		N/A		N/A		N/A		N/A		N/A	$	5.046	$	4.884	$	3.984	$	5.743
Accumulation unit value at end of period+		N/A		N/A		N/A		N/A		N/A		N/A	$	5.046	$	4.884	$	3.984
Number of accumulation units outstanding at end of period (000’s omitted)		N/A		N/A		N/A		N/A		N/A		N/A		—		—		—
SVS Focus Value + Growth Subaccount
Accumulation unit value at beginning of period*		N/A		N/A		N/A		N/A		N/A	$	1.598	$	1.461	$	1.12	$	1.538
Accumulation unit value at end of period+		N/A		N/A		N/A		N/A		N/A		N/A	$	1.598	$	1.461	$	1.12
Number of accumulation units outstanding at end of period (000’s omitted)		N/A		N/A		N/A		N/A		N/A		N/A		—		—		—

B-37

Additional Contract Options Elected (0.55%)

Guaranteed Minimum Death Benefit and Guaranteed Retirement Income Benefit—7 year

(Separate Account Charges of 1.85% of the Daily Net Assets of the Separate Account)

Tax Qualified Periodic Payment Contracts—1.85%

Subaccount	2010		2009		2008		2007		2006		2005		2004		2003		2002
Alger Large Cap Growth Subaccount (formerly Alger American LargeCap Growth Subaccount)(formerly Alger American Growth Subaccount)
Accumulation unit value at beginning of period*	$	47.810	$	32.997	$	62.417	$	53.006	$	51.34	$	46.671	$	45.06	$	33.954	$	51.61
Accumulation unit value at end of period	$	53.226	$	47.810	$	32.997	$	62.417	$	53.006	$	51.34	$	46.671	$	45.06	$	33.954
Number of accumulation units outstanding at end of period (000’s omitted)		2		2		1		1		3		3		2		2		1
Alger Small Cap Subaccount (formerly Alger American Small Cap Subaccount)
Accumulation unit value at beginning of period*	$	28.837	$	19.360	$	47.354	$	36.664	$	33.902	$	31.439	$	28.327	$	19.521	$	28.219
Accumulation unit value at end of period	$	33.802	$	28.837	$	19.360	$	47.354	$	36.664	$	33.902	$	31.439	$	28.327	$	19.521
Number of accumulation units outstanding at end of period (000’s omitted)		3		2		2		3		2		3		3		2		1
Alger Small Capitalization Subaccount (formerly Alger American Small Capitalization Subaccount)
Accumulation unit value at beginning of period*	$	42.173	$	29.519	$	56.307	$	48.920	$	41.513	$	36.172	$	31.606	$	22.614	$	31.221
Accumulation unit value at end of period	$	51.881	$	42.173	$	29.519	$	56.307	$	48.92	$	41.513	$	36.172	$	31.606	$	22.614
Number of accumulation units outstanding at end of period (000’s omitted)		0		0		0		0		0		—		—		—		—
American Century VP Income & Growth Subaccount
Accumulation unit value at beginning of period*	$	6.085	$	5.248	$	8.172	$	8.329	$	7.245	$	7.052	$	6.357	$	5.005	$	6.323
Accumulation unit value at end of period	$	6.820	$	6.085	$	5.248	$	8.172	$	8.329	$	7.245	$	7.052	$	6.357	$	5.005
Number of accumulation units outstanding at end of period (000’s omitted)		4		4		4		6		5		5		5		5		7
American Century VP Value Subaccount
Accumulation unit value at beginning of period*	$	8.833	$	7.505	$	10.440	$	11.210	$	9.622	$	9.33	$	8.312	$	6.564	$	7.652
Accumulation unit value at end of period	$	9.837	$	8.833	$	7.505	$	10.440	$	11.21	$	9.622	$	9.33	$	8.312	$	6.564
Number of accumulation units outstanding at end of period (000’s omitted)		2		2		3		6		14		12		12		9		6
Credit Suisse Trust International Equity Flex III Subaccount (formerly Credit Suisse Trust-Emerging Markets Subaccount)
Accumulation unit value at beginning of period*	$	17.036	$	11.444	$	25.790	$	20.295	$	15.598	$	12.417	$	10.123	$	7.216	$	8.311
Accumulation unit value at end of period	$	18.773	$	17.036	$	11.444	$	25.790	$	20.295	$	15.598	$	12.417	$	10.123	$	7.216
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		—
Dreyfus IP MidCap Stock Subaccount
Accumulation unit value at beginning of period**	$	12.326	$	9.277	$	15.866	$	15.940	$	15.077	$	14.096	$	12.569	$	10		N/A
Accumulation unit value at end of period	$	15.364	$	12.326	$	9.277	$	15.866	$	15.94	$	15.077	$	14.096	$	12.569		N/A
Number of accumulation units outstanding at end of period (000’s omitted)		1		1		1		1		1		1		1		0		N/A
Dreyfus Socially Responsible Growth Subaccount
Accumulation unit value at beginning of period*	$	23.600	$	17.970	$	27.912	$	26.377	$	24.601	$	24.18	$	23.189	$	18.743	$	26.868
Accumulation unit value at end of period	$	26.604	$	23.600	$	17.970	$	27.912	$	26.377	$	24.601	$	24.18	$	23.189	$	18.743
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		—
Dreyfus VIF Small Company Stock Subaccount*
Accumulation unit value at beginning of period**		N/A		N/A		N/A	$	16.972	$	15.579	$	15.745	$	13.57	$	10		N/A
Accumulation unit value at end of period		N/A		N/A		N/A		N/A	$	16.972	$	15.579	$	15.745	$	13.57		N/A
Number of accumulation units outstanding at end of period (000’s omitted)		N/A		N/A		N/A		N/A		—		—		—		—		N/A
DWS Bond VIP Subaccount (formerly Scudder Bond Subaccount)
Accumulation unit value at beginning of period*	$	7.726	$	7.149	$	8.748	$	8.554	$	8.319	$	8.258	$	7.982	$	7.738	$	7.32
Accumulation unit value at end of period	$	8.101	$	7.726	$	7.149	$	8.748	$	8.554	$	8.319	$	8.258	$	7.982	$	7.738
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		0		0		0		1
DWS Capital Growth VIP Subaccount (formerly Scudder Capital Growth Subaccount)
Accumulation unit value at beginning of period*	$	19.368	$	15.549	$	23.631	$	21.379	$	20.062	$	18.752	$	17.688	$	14.197	$	20.42
Accumulation unit value at end of period	$	22.194	$	19.368	$	15.549	$	23.631	$	21.379	$	20.062	$	18.752	$	17.688	$	14.197
Number of accumulation units outstanding at end of period (000’s omitted)		0		0		2		—		—		2		1		1		2
DWS Growth & Income VIP Subaccount (formerly Scudder Growth and Income Subaccount)
Accumulation unit value at beginning of period****	$	9.829	$	7.463	$	12.322	$	12.383	$	11.099	$	10		N/A		N/A		N/A
Accumulation unit value at end of period	$	11.040	$	9.829	$	7.463	$	12.322	$	12.383	$	11.099		N/A		N/A		N/A
Number of accumulation units outstanding at end of period (000’s omitted)		0		0		0		0		0		2		N/A		N/A		N/A
DWS International VIP Subaccount (formerly Scudder International Subaccount)
Accumulation unit value at beginning of period*	$	12.920	$	9.856	$	19.384	$	17.231	$	13.938	$	12.219	$	10.68	$	8.515	$	10.624
Accumulation unit value at end of period	$	12.892	$	12.920	$	9.856	$	19.384	$	17.231	$	13.938	$	12.219	$	10.68	$	8.515
Number of accumulation units outstanding at end of period (000’s omitted)		1		1		2		2		6		5		4		2		2
DWS Balanced VIP Subaccount (formerly Scudder Total Return Subaccount)
Accumulation unit value at beginning of period*	$	7.095	$	5.854	$	8.206	$	7.972	$	7.365	$	7.192	$	6.859	$	5.924	$	7.112
Accumulation unit value at end of period	$	7.748	$	7.095	$	5.854	$	8.206	$	7.972	$	7.365	$	7.192	$	6.859	$	5.924
Number of accumulation units outstanding at end of period (000’s omitted)		4		4		0		6		5		4		6		4		1
DWS Core Fixed Income VIP Subaccount (formerly Scudder Fixed Income Subaccount)
Accumulation unit value at beginning of period*	$	1.273	$	1.204	$	1.520	$	1.486	$	1.452	$	1.446	$	1.409	$	1.365	$	1.287
Accumulation unit value at end of period	$	1.331	$	1.273	$	1.204	$	1.520	$	1.486	$	1.452	$	1.446	$	1.409	$	1.365
Number of accumulation units outstanding at end of period (000’s omitted)		0		0		1		1		1		12		12		0		0
DWS Diversified International Equity VIP Subaccount (formerly DWS International Select Equity VIP Subaccount)
Accumulation unit value at beginning of period*	$	1.971	$	1.552	$	3.088	$	2.695	$	2.186	$	1.944	$	1.675	$	1.314	$	1.547
Accumulation unit value at end of period	$	2.147	$	1.971	$	1.552	$	3.088	$	2.695	$	2.186	$	1.944	$	1.675	$	1.314
Number of accumulation units outstanding at end of period (000’s omitted)		4		4		4		4		13		11		10		6		5
DWS Dreman Small Mid Cap Value VIP (formerly DWS Dreman Small Cap Value VIP Subaccount)
Accumulation unit value at beginning of period*	$	2.161	$	1.697	$	2.596	$	2.566	$	2.09	$	1.93	$	1.56	$	1.119	$	1.285
Accumulation unit value at end of period	$	2.612	$	2.161	$	1.697	$	2.596	$	2.566	$	2.09	$	1.93	$	1.56	$	1.119
Number of accumulation units outstanding at end of period (000’s omitted)		12		13		12		21		40		36		30		22		22
DWS Government & Agency Securities VIP Subaccount (formerly Scudder Government & Agency Securities Subaccount)
Accumulation unit value at beginning of period*	$	2.608	$	2.458	$	2.385	$	2.293	$	2.242	$	2.226	$	2.186	$	2.177	$	2.052
Accumulation unit value at end of period	$	2.730	$	2.608	$	2.458	$	2.385	$	2.293	$	2.242	$	2.226	$	2.186	$	2.177
Number of accumulation units outstanding at end of period (000’s omitted)		26		26		27		18		36		36		36		56		74
DWS High Income VIP Subaccount (formerly Scudder High Income Subaccount)
Accumulation unit value at beginning of period*	$	8.294	$	6.035	$	8.081	$	8.153	$	7.516	$	7.369	$	6.676	$	5.456	$	5.574
Accumulation unit value at end of period	$	9.284	$	8.294	$	6.035	$	8.081	$	8.153	$	7.516	$	7.369	$	6.676	$	5.456
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		3		2		2		1		1

B-38

Subaccount	2010		2009		2008		2007		2006		2005		2004		2003		2002
DWS Large Cap Value VIP Subaccount (formerly Scudder Large Cap Value Subaccount)
Accumulation unit value at beginning of period*	$	2.047	$	1.663	$	2.663	$	2.397	$	2.115	$	2.113	$	1.955	$	1.502	$	1.799
Accumulation unit value at end of period	$	2.226	$	2.047	$	1.663	$	2.663	$	2.397	$	2.115	$	2.113	$	1.955	$	1.502
Number of accumulation units outstanding at end of period (000’s omitted)		14		14		21		11		15		14		13		13		16
DWS Money Market VIP Subaccount (formerly Scudder Money Market Subaccount)
Accumulation unit value at beginning of period*	$	2.722	$	2.763	$	2.742	$	2.660	$	2.589	$	2.564	$	2.588	$	2.617	$	2.63
Accumulation unit value at end of period	$	2.672	$	2.722	$	2.763	$	2.742	$	2.66	$	2.589	$	2.564	$	2.588	$	2.617
Number of accumulation units outstanding at end of period (000’s omitted)		5		5		4		1		0		1		0		5		5
DWS Small Mid-Cap Growth VIP Subaccount (formerly DWS Small Cap Growth Subaccount)
Accumulation unit value at beginning of period*	$	1.533	$	1.111	$	2.240	$	2.149	$	2.079	$	1.977	$	1.814	$	1.39	$	2.128
Accumulation unit value at end of period	$	1.949	$	1.533	$	1.111	$	2.240	$	2.149	$	2.079	$	1.977	$	1.814	$	1.39
Number of accumulation units outstanding at end of period (000’s omitted)		13		13		12		11		13		13		11		16		4
DWS Technology VIP Subaccount (formerly Scudder Technology Growth Subaccount)*
Accumulation unit value at beginning of period*	$	0.793	$	0.503	$	0.953	$	0.850	$	0.859	$	0.843	$	0.843	$	0.585	$	0.925
Accumulation unit value at end of period	$	0.924	$	0.793	$	0.503	$	0.953	$	0.85	$	0.859	$	0.843	$	0.843	$	0.585
Number of accumulation units outstanding at end of period (000’s omitted)		9		9		9		8		7		25		19		14		7
Fidelity VIP Asset ManagerSM Subaccount
Accumulation unit value at beginning of period*	$	25.988	$	20.500	$	29.292	$	25.832	$	24.515	$	23.997	$	23.174	$	20.007	$	22.326
Accumulation unit value at end of period	$	29.156	$	25.988	$	20.500	$	29.292	$	25.832	$	24.515	$	23.997	$	23.174	$	20.007
Number of accumulation units outstanding at end of period (000’s omitted)		1		1		1		1		0		0		0		1		0
Fidelity VIP Contrafund® Subaccount
Accumulation unit value at beginning of period*	$	35.141	$	26.373	$	46.728	$	40.477	$	36.9	$	32.137	$	28.346	$	22.473	$	25.25
Accumulation unit value at end of period	$	40.444	$	35.141	$	26.373	$	46.728	$	40.477	$	36.9	$	32.137	$	28.346	$	22.473
Number of accumulation units outstanding at end of period (000’s omitted)		3		3		3		3		4		4		4		3		2
Fidelity VIP Equity-Income Subaccount
Accumulation unit value at beginning of period*	$	30.752	$	24.055	$	42.725	$	42.864	$	36.32	$	34.941	$	31.91	$	24.936	$	30.581
Accumulation unit value at end of period	$	34.768	$	30.752	$	24.055	$	42.725	$	42.864	$	36.32	$	34.941	$	31.91	$	24.936
Number of accumulation units outstanding at end of period (000’s omitted)		3		3		3		5		5		4		4		3		2
Fidelity VIP Growth Subaccount
Accumulation unit value at beginning of period*	$	40.439	$	32.105	$	61.895	$	49.657	$	47.331	$	45.562	$	44.89	$	34.415	$	50.151
Accumulation unit value at end of period	$	49.303	$	40.439	$	32.105	$	61.895	$	49.657	$	47.331	$	45.562	$	44.89	$	34.415
Number of accumulation units outstanding at end of period (000’s omitted)		1		1		1		2		2		2		2		1		1
Fidelity VIP Index 500 Subaccount
Accumulation unit value at beginning of period*	$	131.671	$	105.924	$	171.245	$	165.432	$	145.585	$	141.447	$	130.245	$	103.305	$	135.328
Accumulation unit value at end of period	$	148.703	$	131.671	$	105.924	$	171.245	$	165.432	$	145.585	$	141.447	$	130.245	$	103.305
Number of accumulation units outstanding at end of period (000’s omitted)		0		0		0		1		1		1		1		0		0
Franklin Rising Dividends Securities Subaccount
Accumulation unit value at beginning of period**	$	12.168	$	10.561	$	14.755	$	15.445	$	13.43	$	13.225	$	12.136	$	10		N/A
Accumulation unit value at end of period	$	14.413	$	12.168	$	10.561	$	14.755	$	15.445	$	13.43	$	13.225	$	12.136		N/A
Number of accumulation units outstanding at end of period (000’s omitted)		3		3		3		3		3		2		3		0		N/A
Franklin Small Cap Value Securities Subaccount
Accumulation unit value at beginning of period**	$	15.693	$	12.376	$	18.818	$	19.636	$	17.095	$	16.007	$	13.175	$	10		N/A
Accumulation unit value at end of period	$	19.757	$	15.693	$	12.376	$	18.818	$	19.636	$	17.095	$	16.007	$	13.175		N/A
Number of accumulation units outstanding at end of period (000’s omitted)		1		1		1		0		1		1		1		—		N/A
Franklin Strategic Income Securities Subaccount
Accumulation unit value at beginning of period**	$	13.869	$	11.233	$	12.889	$	12.396	$	11.663	$	11.708	$	10.861	$	10		N/A
Accumulation unit value at end of period	$	15.104	$	13.869	$	11.233	$	12.889	$	12.396	$	11.663	$	11.708	$	10.861		N/A
Number of accumulation units outstanding at end of period (000’s omitted)		1		1		1		0		—		—		—		—		N/A
Franklin U.S. Government Subaccount
Accumulation unit value at beginning of period**	$	11.633	$	11.493	$	10.879	$	10.395	$	10.178	$	10.122	$	9.964	$	10		N/A
Accumulation unit value at end of period	$	12.025	$	11.633	$	11.493	$	10.879	$	10.395	$	10.178	$	10.122	$	9.964		N/A
Number of accumulation units outstanding at end of period (000’s omitted)		2		2		1		—		—		—		0		—		N/A
Franklin Zero Coupon 2010 Subaccount
Accumulation unit value at beginning of period**	$	11.240	$	11.430	$	10.857	$	10.201	$	10.146	$	10.199	$	9.945	$	10		N/A
Accumulation unit value at end of period		N/A	$	11.240	$	11.430	$	10.857	$	10.201	$	10.146	$	10.199	$	9.945		N/A
Number of accumulation units outstanding at end of period (000’s omitted)		0		0		2		—		—		—		0		—		N/A
Mutal Global Discovery Securities Subaccount (formerly Mutual Discovery Securities Subaccount)
Accumulation unit value at beginning of period**	$	18.427	$	15.219	$	21.666	$	19.731	$	16.33	$	14.342	$	12.359	$	10		N/A
Accumulation unit value at end of period	$	20.256	$	18.427	$	15.219	$	21.666	$	19.731	$	16.33	$	14.342	$	12.359		N/A
Number of accumulation units outstanding at end of period (000’s omitted)		3		3		2		2		2		2		1		—		N/A
Mutual Shares Securities Subaccount
Accumulation unit value at beginning of period**	$	12.949	$	10.463	$	16.945	$	16.680	$	14.35	$	13.22	$	11.955	$	10		N/A
Accumulation unit value at end of period	$	14.137	$	12.949	$	10.463	$	16.945	$	16.68	$	14.35	$	13.22	$	11.955		N/A
Number of accumulation units outstanding at end of period (000’s omitted)		1		1		1		1		—		—		—		—		N/A
Templeton Developing Markets Securities Subaccount
Accumulation unit value at beginning of period**	$	27.672	$	16.329	$	35.168	$	27.815	$	22.116	$	17.676	$	14.436	$	10		N/A
Accumulation unit value at end of period	$	31.948	$	27.672	$	16.329	$	35.168	$	27.815	$	22.116	$	17.676	$	14.436		N/A
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		N/A
ING JPMorgan Emerging Markets Equity Subaccount
Accumulation unit value at beginning of period+++	$	21.620	$	12.801	$	26.693	$	19.588	$	14.649	$	10		N/A		N/A		N/A
Accumulation unit value at end of period	$	25.607	$	21.620	$	12.801	$	26.693	$	19.588	$	14.649		N/A		N/A		N/A
Number of accumulation units outstanding at end of period (000’s omitted)		0		0		0		0		0		0		N/A		N/A		N/A
ING VP Emerging Markets Subaccount
Accumulation unit value at beginning of period*		N/A		N/A		N/A		N/A		N/A	$	8.025	$	6.716	$	4.646	$	5.22
Accumulation unit value at end of period++		N/A		N/A		N/A		N/A		N/A		N/A	$	8.025	$	6.716	$	4.646
Number of accumulation units outstanding at end of period (000’s omitted)		N/A		N/A		N/A		N/A		N/A		N/A		0		0		0
ING VP Natural Resources Trust Subaccount
Accumulation unit value at beginning of period*		N/A		N/A		N/A	$	29.596	$	24.761	$	17.653	$	15.959	$	12.453	$	12.955
Accumulation unit value at end of period		N/A		N/A		N/A		N/A	$	29.596	$	24.761	$	17.653	$	15.959	$	12.453
Number of accumulation units outstanding at end of period (000’s omitted)		N/A		N/A		N/A		N/A		0		0		0		—		—
ING VP Global Resources Portfolio Subaccount
Accumulation unit value at beginning of period*	$	11.080	$	8.206	$	14.167		N/A		N/A		N/A		N/A		N/A		N/A
Accumulation unit value at end of period	$	13.233	$	11.080	$	8.206	$	14.167		N/A		N/A		N/A		N/A		N/A
Number of accumulation units outstanding at end of period (000’s omitted)		2		2		2		1		N/A		N/A		N/A		N/A		N/A
Invesco V.I. Financial Services Subaccount (formerly AIM V.I. Financial Services Subaccount)
Accumulation unit value at beginning of period**	$	5.880	$	4.700	$	11.804	$	15.458	$	13.52	$	13.001	$	12.185	$	10		N/A
Accumulation unit value at end of period	$	6.369	$	5.880	$	4.700	$	11.804	$	15.458	$	13.52	$	13.001	$	12.185		N/A
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		N/A
Invesco V.I. Global Health Care Subaccount (formerly AIM V.I. Global Health Care Subaccount )
Accumulation unit value at beginning of period**	$	13.199	$	10.529	$	15.024	$	13.682	$	13.241	$	12.469	$	11.807	$	10		N/A
Accumulation unit value at end of period	$	13.646	$	13.199	$	10.529	$	15.024	$	13.682	$	13.241	$	12.469	$	11.807		N/A
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		N/A
Invesco V.I. Real Estate Subaccount (formerly AIM V.I. Real Estate Subaccount)
Accumulation unit value at beginning of period**	$	17.876	$	13.842	$	25.471	$	27.467	$	19.616	$	17.489	$	13.042	$	10		N/A
Accumulation unit value at end of period	$	20.625	$	17.876	$	13.842	$	25.471	$	27.467	$	19.616	$	17.489	$	13.042		N/A
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		1		—		—		—		N/A
Invesco V.I. Utilities Subaccount (formerly AIM V.I. Utilities Subaccount)
Accumulation unit value at beginning of period**	$	17.754	$	15.733	$	23.689	$	20.001	$	16.236	$	14.153	$	11.667	$	10		N/A
Accumulation unit value at end of period	$	18.530	$	17.754	$	15.733	$	23.689	$	20.001	$	16.236	$	14.153	$	11.667		N/A
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		N/A
JPMorgan Insurance Trust Equity Index Subaccount (formerly JPMorgan Investment Trust Equity Index Subaccount)
Accumulation unit value at beginning of period***	$	10.145	$	8.173	$	13.256	$	12.848	$	11.337	$	11.053	$	10.229		N/A		N/A
Accumulation unit value at end of period	$	11.397	$	10.145	$	8.173	$	13.256	$	12.848	$	11.337	$	11.053		N/A		N/A
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		N/A		N/A

B-39

Subaccount	2010		2009		2008		2007		2006		2005		2004		2003		2002
JPMorgan Insurance Trust U.S. Equity Subaccount (JPMorgan Insurance Trust Diversified Equity Subaccount (formerly JPMorgan Investment Trust Diversified Equity Subaccount)
Accumulation unit value at beginning of period***	$	11.201	$	8.534	$	13.331	$	12.295	$	10.781	$	10.73	$	10.04		N/A		N/A
Accumulation unit value at end of period	$	12.491	$	11.201	$	8.534	$	13.331	$	12.295	$	10.781	$	10.73		N/A		N/A
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		0		N/A		N/A
JPMorgan Insurance Trust Diversified Mid Cap Growth Subaccount (formerly JPMorgan Investment Trust Mid Cap Growth Subaccount)
Accumulation unit value at beginning of period***	$	11.889	$	8.466	$	14.797	$	14.652	$	12.185	$	11.171	$	10.386		N/A		N/A
Accumulation unit value at end of period	$	14.666	$	11.889	$	8.466	$	14.797	$	14.652	$	12.185	$	11.171		N/A		N/A
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		NA		N/A
JPMorgan Insurance Trust Intrepid Mid Cap Subaccount (formerly JPMorgan Investment Trust Diversified Mid Cap Subaccount)
Accumulation unit value at beginning of period***	$	11.839	$	8.888	$	15.339	$	13.327	$	13.076	$	11.373	$	10.081		N/A		N/A
Accumulation unit value at end of period	$	13.894	$	11.839	$	8.888	$	15.339	$	13.327	$	13.076	$	11.373		N/A		N/A
Number of accumulation units outstanding at end of period (000’s omitted)		0		0		0		1		2		2		—		N/A		N/A

B-40

Subaccount	2010		2009		2008		2007		2006		2005		2004		2003		2002
JPMorgan Insurance Trust Diversified Mid Cap Value Subaccount (formerly JPMorgan Investment Trust Mid Cap Value Subaccount)
Accumulation unit value at beginning of period***	$	11.174	$	8.898	$	14.048	$	14.179	$	12.372	$	11.481	$	10.262		N/A		N/A
Accumulation unit value at end of period	$	13.544	$	11.174	$	8.898	$	14.048	$	14.179	$	12.372	$	11.481		N/A		N/A
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		0		N/A		N/A
JPMorgan Insurance Trust International Equity Subaccount
Accumulation unit value at beginning of period***	$	16.384		N/A		N/A		N/A		N/A		N/A		N/A		N/A		N/A
Accumulation unit value at end of period	$	17.239	$	16.384		N/A		N/A		N/A		N/A		N/A		N/A		N/A
Number of accumulation units outstanding at end of period (000’s omitted)		0		0		N/A		N/A		N/A		N/A		N/A		N/A		N/A
JPMorgan Insurance Trust Small Cap Core Subaccount
Accumulation unit value at beginning of period***	$	14.727		N/A		N/A		N/A		N/A		N/A		N/A		N/A		N/A
Accumulation unit value at end of period	$	18.382	$	14.727		N/A		N/A		N/A		N/A		N/A		N/A		N/A
Number of accumulation units outstanding at end of period (000’s omitted)		1		1		N/A		N/A		N/A		N/A		N/A		N/A		N/A
JPMorgan International Equity Subaccount
Accumulation unit value at beginning of period**		N/A	$	12.369	$	21.482	$	20.014	$	16.702	$	15.367	$	13.223	$	10		N/A
Accumulation unit value at end of period		N/A		N/A	$	12.369	$	21.482	$	20.014	$	16.702	$	15.367	$	13.223		N/A
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		0		2		1		—		0		0		N/A
JPMorgan Mid Cap Value Subaccount
Accumulation unit value at beginning of period**		N/A	$	11.842	$	18.058	$	17.953	$	15.649	$	14.593	$	12.278	$	10		N/A
Accumulation unit value at end of period		N/A		N/A	$	11.842	$	18.058	$	17.953	$	15.649	$	14.593	$	12.278		N/A
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		0		0		0		—		N/A
JPMorgan Small Company Subaccount
Accumulation unit value at beginning of period*		N/A	$	12.237	$	18.325	$	19.788	$	17.524	$	17.257	$	13.822	$	10.353	$	13.459
Accumulation unit value at end of period		N/A		N/A	$	12.237	$	18.325	$	19.788	$	17.524	$	17.257	$	13.822	$	10.353
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		3		0		1		1		1		1		0
Janus Aspen Balanced Subaccount
Accumulation unit value at beginning of period*	$	38.060	$	30.793	$	37.265	$	34.340	$	31.588	$	29.802	$	27.969	$	24.977	$	27.192
Accumulation unit value at end of period	$	40.503	$	38.060	$	30.793	$	37.265	$	34.34	$	31.588	$	29.802	$	27.969	$	24.977
Number of accumulation units outstanding at end of period (000’s omitted)		3		3		2		3		2		2		2		2		2
Janus Aspen Enterprise Subaccount (formerly Janus Aspen Mid Cap Growth Subaccount)
Accumulation unit value at beginning of period*	$	30.960	$	21.773	$	39.406	$	32.890	$	29.484	$	26.737	$	22.554	$	17.002	$	24.03
Accumulation unit value at end of period	$	38.256	$	30.960	$	21.773	$	39.406	$	32.89	$	29.484	$	26.737	$	22.554	$	17.002
Number of accumulation units outstanding at end of period (000’s omitted)		0		0		0		1		0		0		0		0		0
Janus Aspen Janus Subaccount (formerly Janus Aspen Large Cap Growth Subaccount)
Accumulation unit value at beginning of period*	$	22.115	$	16.519	$	27.912	$	24.703	$	22.589	$	22.06	$	21.498	$	16.621	$	23.036
Accumulation unit value at end of period	$	24.866	$	22.115	$	16.519	$	27.912	$	24.703	$	22.589	$	22.06	$	21.498	$	16.621
Number of accumulation units outstanding at end of period (000’s omitted)		2		2		2		2		3		2		2		2		1
Janus Aspen Mid Cap Value Subaccount
Accumulation unit value at beginning of period**	$	18.303	$	14.025	$	19.811	$	18.829	$	16.666	$	15.43	$	13.341	$	10		N/A
Accumulation unit value at end of period	$	20.732	$	18.303	$	14.025	$	19.811	$	18.829	$	16.666	$	15.43	$	13.341		N/A
Number of accumulation units outstanding at end of period (000’s omitted)		0		0		0		0		—		—		—		—		N/A
Janus Aspen Small Company Value Subaccount
Accumulation unit value at beginning of period**		N/A	$	10.943	$	17.393	$	18.870	$	15.77	$	15.528	$	13.394	$	10		N/A
Accumulation unit value at end of period		N/A		N/A	$	10.943	$	17.393	$	18.87	$	15.77	$	15.528	$	13.394		N/A
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		N/A
Janus Aspen Worldwide Subaccount (formerly Janus Aspen Worldwide Growth Subaccount)
Accumulation unit value at beginning of period*	$	27.001	$	19.971	$	36.759	$	34.155	$	29.428	$	28.31	$	27.52	$	22.605	$	30.906
Accumulation unit value at end of period	$	30.709	$	27.001	$	19.971	$	36.759	$	34.155	$	29.428	$	28.31	$	27.52	$	22.605
Number of accumulation units outstanding at end of period (000’s omitted)		1		1		1		1		1		1		1		1		1
Oppenheimer Capital Appreciation Subaccount
Accumulation unit value at beginning of period**	$	11.809	$	8.344	$	15.640	$	13.992	$	13.233	$	12.853	$	12.279	$	10		N/A
Accumulation unit value at end of period	$	12.655	$	11.809	$	8.344	$	15.640	$	13.992	$	13.233	$	12.853	$	12.279		N/A
Number of accumulation units outstanding at end of period (000’s omitted)		4		4		—		—		—		—		—		—		N/A
Oppenheimer Global Securities Subaccount
Accumulation unit value at beginning of period**	$	17.737	$	12.963	$	22.128	$	21.247	$	18.438	$	16.463	$	14.106	$	10		N/A
Accumulation unit value at end of period	$	20.150	$	17.737	$	12.963	$	22.128	$	21.247	$	18.438	$	16.463	$	14.106		N/A
Number of accumulation units outstanding at end of period (000’s omitted)		2		2		—		—		1		1		1		1		N/A
Oppenheimer High Income Subaccount
Accumulation unit value at beginning of period**	$	3.217	$	2.601	$	12.365	$	12.655	$	11.8	$	11.781	$	11.036	$	10		N/A
Accumulation unit value at end of period	$	3.614	$	3.217	$	2.601	$	12.365	$	12.655	$	11.8	$	11.781	$	11.036		N/A
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		N/A
Oppenheimer Main Street Subaccount
Accumulation unit value at beginning of period**	$	11.710	$	9.318	$	15.464	$	15.124	$	13.422	$	12.927	$	12.064	$	10		N/A
Accumulation unit value at end of period	$	13.317	$	11.710	$	9.318	$	15.464	$	15.124	$	13.422	$	12.927	$	12.064		N/A
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		N/A
Oppenheimer Main Street Small Cap Subaccount
Accumulation unit value at beginning of period**	$	15.368	$	11.435	$	18.786	$	19.406	$	17.237	$	16.001	$	13.675	$	10		N/A
Accumulation unit value at end of period	$	18.568	$	15.368	$	11.435	$	18.786	$	19.406	$	17.237	$	16.001	$	13.675		N/A
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		0		—		N/A
Oppenheimer Small- & Mid-Cap Growth Subaccount (formerly Oppenheimer MidCap Growth Subaccount) (formerly Oppenheimer Aggressive Growth Subaccount)
Accumulation unit value at beginning of period**	$	10.492	$	8.080	$	16.204	$	15.565	$	15.436	$	14.038	$	11.972	$	10		N/A
Accumulation unit value at end of period	$	13.100	$	10.492	$	8.080	$	16.204	$	15.565	$	15.436	$	14.038	$	11.972		N/A
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		N/A
Oppenheimer Global Strategic Income Subaccount (formerly Oppenheimer Strategic Bond Subaccount)
Accumulation unit value at beginning of period**	$	12.767	$	10.982	$	13.079	$	12.161	$	11.55	$	11.478	$	10.782	$	10		N/A
Accumulation unit value at end of period	$	14.387	$	12.767	$	10.982	$	13.079	$	12.161	$	11.55	$	11.478	$	10.782		N/A
Number of accumulation units outstanding at end of period (000’s omitted)		0		0		1		—		—		—		0		1		N/A
Scudder Growth Subaccount
Accumulation unit value at beginning of period*		N/A		N/A		N/A		N/A		N/A	$	5.038	$	4.88	$	3.985	$	5.75
Accumulation unit value at end of period+		N/A		N/A		N/A		N/A		N/A		N/A	$	5.038	$	4.88	$	3.985
Number of accumulation units outstanding at end of period (000’s omitted)		N/A		N/A		N/A		N/A		N/A		N/A		—		—		—
SVS Focus Value + Growth Subaccount
Accumulation unit value at beginning of period*		N/A		N/A		N/A		N/A		N/A	$	1.593	$	1.458	$	1.119	$	1.538
Accumulation unit value at end of period+		N/A		N/A		N/A		N/A		N/A		N/A	$	1.593	$	1.458	$	1.119
Number of accumulation units outstanding at end of period (000’s omitted)		N/A		N/A		N/A		N/A		N/A		N/A		16		12		8

B-41

Additional Contract Options Elected (0.55%)

Guaranteed Minimum Death Benefit and Guaranteed Retirement Income Benefit—7 year

(Separate Account Charges of 1.85% of the Daily Net Assets of the Separate Account)

Tax Nonqualified Periodic Payment Contracts—1.85%

Subaccount	2010		2009		2008		2007		2006		2005		2004		2003		2002
Alger Large Cap Growth Subaccount (formerly Alger American LargeCap Growth Subaccount)(formerly Alger American Growth Subaccount)
Accumulation unit value at beginning of period*	$	47.810	$	32.997	$	62.417	$	53.006	$	51.34	$	46.671	$	45.06	$	33.954	$	51.61
Accumulation unit value at end of period	$	53.226	$	47.810	$	32.997	$	62.417	$	53.006	$	51.34	$	46.671	$	45.06	$	33.954
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		0		—
Alger Small Cap Subaccount (formerly Alger American Small Cap Subaccount)
Accumulation unit value at beginning of period*	$	28.837	$	19.360	$	47.354	$	36.664	$	33.902	$	31.439	$	28.327	$	19.521	$	28.219
Accumulation unit value at end of period	$	33.802	$	28.837	$	19.360	$	47.354	$	36.664	$	33.902	$	31.439	$	28.327	$	19.521
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		—
Alger Small Capitalization Subaccount (formerly Alger American Small Capitalization Subaccount)
Accumulation unit value at beginning of period*	$	42.173	$	29.519	$	56.307	$	48.920	$	41.513	$	36.172	$	31.606	$	22.614	$	31.221
Accumulation unit value at end of period	$	51.881	$	42.173	$	29.519	$	56.307	$	48.92	$	41.513	$	36.172	$	31.606	$	22.614
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		—
American Century VP Income & Growth Subaccount
Accumulation unit value at beginning of period*	$	6.085	$	5.248	$	8.172	$	8.329	$	7.245	$	7.052	$	6.357	$	5.005	$	6.323
Accumulation unit value at end of period	$	6.820	$	6.085	$	5.248	$	8.172	$	8.329	$	7.245	$	7.052	$	6.357	$	5.005
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		2		2		2		2		2
American Century VP Value Subaccount
Accumulation unit value at beginning of period*	$	8.833	$	7.505	$	10.440	$	11.210	$	9.622	$	9.33	$	8.312	$	6.564	$	7.652
Accumulation unit value at end of period	$	9.837	$	8.833	$	7.505	$	10.440	$	11.21	$	9.622	$	9.33	$	8.312	$	6.564
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		—
Credit Suisse Trust International Equity Flex III Subaccount (formerly Credit Suisse Trust-Emerging Markets Subaccount)
Accumulation unit value at beginning of period*	$	17.036	$	11.444	$	25.790	$	20.295	$	15.598	$	12.417	$	10.123	$	7.216	$	8.311
Accumulation unit value at end of period	$	18.773	$	17.036	$	11.444	$	25.790	$	20.295	$	15.598	$	12.417	$	10.123	$	7.216
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		—
Dreyfus IP MidCap Stock Subaccount
Accumulation unit value at beginning of period**	$	12.326	$	9.277	$	15.866	$	15.940	$	15.077	$	14.096	$	12.569	$	10		N/A
Accumulation unit value at end of period	$	15.364	$	12.326	$	9.277	$	15.866	$	15.94	$	15.077	$	14.096	$	12.569		N/A
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		N/A
Dreyfus Socially Responsible Growth Subaccount
Accumulation unit value at beginning of period*	$	23.600	$	17.970	$	27.912	$	26.377	$	24.601	$	24.18	$	23.189	$	18.743	$	26.868
Accumulation unit value at end of period	$	26.604	$	23.600	$	17.970	$	27.912	$	26.377	$	24.601	$	24.18	$	23.189	$	18.743
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		—
Dreyfus VIF Small Company Stock Subaccount*
Accumulation unit value at beginning of period**		N/A		N/A		N/A	$	16.972	$	15.579	$	15.745	$	13.57	$	10		N/A
Accumulation unit value at end of period		N/A		N/A		N/A		N/A	$	16.972	$	15.579	$	15.745	$	13.57		N/A
Number of accumulation units outstanding at end of period (000’s omitted)		N/A		N/A		N/A		N/A		—		—		—		—		N/A
DWS Bond VIP Subaccount (formerly Scudder Bond Subaccount)
Accumulation unit value at beginning of period*	$	7.726	$	7.149	$	8.748	$	8.554	$	8.319	$	8.258	$	7.982	$	7.738	$	7.32
Accumulation unit value at end of period	$	8.101	$	7.726	$	7.149	$	8.748	$	8.554	$	8.319	$	8.258	$	7.982	$	7.738
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		0		0		0		3		—
DWS Capital Growth VIP Subaccount (formerly Scudder Capital Growth Subaccount)
Accumulation unit value at beginning of period*	$	19.368	$	15.549	$	23.631	$	21.379	$	20.062	$	18.752	$	17.688	$	14.197	$	20.42
Accumulation unit value at end of period	$	22.194	$	19.368	$	15.549	$	23.631	$	21.379	$	20.062	$	18.752	$	17.688	$	14.197
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		—
DWS Growth & Income VIP Subaccount (formerly Scudder Growth and Income Subaccount)
Accumulation unit value at beginning of period****	$	9.829	$	7.463	$	12.322	$	12.383	$	11.099	$	10		N/A		N/A		N/A
Accumulation unit value at end of period	$	11.040	$	9.829	$	7.463	$	12.322	$	12.383	$	11.099		N/A		N/A		N/A
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		N/A		N/A		N/A
DWS International VIP Subaccount (formerly Scudder International Subaccount)
Accumulation unit value at beginning of period*	$	12.920	$	9.856	$	19.384	$	17.231	$	13.938	$	12.219	$	10.68	$	8.515	$	10.624
Accumulation unit value at end of period	$	12.892	$	12.920	$	9.856	$	19.384	$	17.231	$	13.938	$	12.219	$	10.68	$	8.515
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		—
DWS Balanced VIP Subaccount (formerly Scudder Total Return Subaccount)
Accumulation unit value at beginning of period*	$	6.611	$	5.455	$	7.645	$	7.428	$	6.862	$	6.701	$	6.391	$	5.519	$	6.627
Accumulation unit value at end of period	$	7.219	$	6.611	$	5.455	$	7.645	$	7.428	$	6.862	$	6.701	$	6.391	$	5.519
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		0		0		0		0		0
DWS Core Fixed Income VIP Subaccount (formerly Scudder Fixed Income Subaccount)
Accumulation unit value at beginning of period*	$	1.273	$	1.204	$	1.520	$	1.486	$	1.452	$	1.446	$	1.409	$	1.365	$	1.287
Accumulation unit value at end of period	$	1.331	$	1.273	$	1.204	$	1.520	$	1.486	$	1.452	$	1.446	$	1.409	$	1.365
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		—
DWS Diversified International Equity VIP Subaccount (formerly DWS International Select Equity VIP Subaccount)
Accumulation unit value at beginning of period*	$	1.971	$	1.552	$	3.088	$	2.695	$	2.186	$	1.944	$	1.675	$	1.314	$	1.547
Accumulation unit value at end of period	$	2.147	$	1.971	$	1.552	$	3.088	$	2.695	$	2.186	$	1.944	$	1.675	$	1.314
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		—
DWS Dreman Small Mid Cap Value VIP (formerly DWS Dreman Small Cap Value VIP Subaccount)
Accumulation unit value at beginning of period*	$	2.161	$	1.697	$	2.596	$	2.566	$	2.09	$	1.93	$	1.56	$	1.119	$	1.285
Accumulation unit value at end of period	$	2.612	$	2.161	$	1.697	$	2.596	$	2.566	$	2.09	$	1.93	$	1.56	$	1.119
Number of accumulation units outstanding at end of period (000’s omitted)		12		11		11		11		11		12		12		8		8
DWS Government & Agency Securities VIP Subaccount (formerly Scudder Government & Agency Securities Subaccount)
Accumulation unit value at beginning of period*	$	2.608	$	2.458	$	2.385	$	2.293	$	2.242	$	2.226	$	2.186	$	2.177	$	2.052
Accumulation unit value at end of period	$	2.730	$	2.608	$	2.458	$	2.385	$	2.293	$	2.242	$	2.226	$	2.186	$	2.177
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		42
DWS High Income VIP Subaccount (formerly Scudder High Income Subaccount)
Accumulation unit value at beginning of period*	$	8.080	$	5.879	$	7.872	$	7.942	$	7.322	$	7.178	$	6.504	$	5.315	$	5.43
Accumulation unit value at end of period	$	9.044	$	8.080	$	5.879	$	7.872	$	7.942	$	7.322	$	7.178	$	6.504	$	5.315
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		—

B-42

Subaccount	2010		2009		2008		2007		2006		2005		2004		2003		2002
DWS Large Cap Value VIP Subaccount (formerly Scudder Large Cap Value Subaccount)
Accumulation unit value at beginning of period*	$	2.047	$	1.663	$	2.663	$	2.397	$	2.115	$	2.113	$	1.955	$	1.502	$	1.799
Accumulation unit value at end of period	$	2.226	$	2.047	$	1.663	$	2.663	$	2.397	$	2.115	$	2.113	$	1.955	$	1.502
Number of accumulation units outstanding at end of period (000’s omitted)		5		5		5		5		5		6		6		6		6
DWS Money Market VIP Subaccount (formerly Scudder Money Market Subaccount)
Accumulation unit value at beginning of period*	$	2.722	$	2.763	$	2.742	$	2.660	$	2.589	$	2.564	$	2.588	$	2.617	$	2.63
Accumulation unit value at end of period	$	2.672	$	2.722	$	2.763	$	2.742	$	2.66	$	2.589	$	2.564	$	2.588	$	2.617
Number of accumulation units outstanding at end of period (000’s omitted)		10		10		10		2		3		3		3		7		8
DWS Small Mid-Cap Growth VIP Subaccount (formerly DWS Small Cap Growth Subaccount)
Accumulation unit value at beginning of period*	$	1.533	$	1.111	$	2.240	$	2.149	$	2.079	$	1.977	$	1.814	$	1.39	$	2.128
Accumulation unit value at end of period	$	1.949	$	1.533	$	1.111	$	2.240	$	2.149	$	2.079	$	1.977	$	1.814	$	1.39
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		—
DWS Technology VIP Subaccount (formerly Scudder Technology Growth Subaccount)*
Accumulation unit value at beginning of period*	$	0.793	$	0.503	$	0.953	$	0.850	$	0.859	$	0.843	$	0.843	$	0.585	$	0.925
Accumulation unit value at end of period	$	0.924	$	0.793	$	0.503	$	0.953	$	0.85	$	0.859	$	0.843	$	0.843	$	0.585
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		—
Fidelity VIP Asset ManagerSM Subaccount
Accumulation unit value at beginning of period*	$	25.988	$	20.500	$	29.292	$	25.832	$	24.515	$	23.997	$	23.174	$	20.007	$	22.326
Accumulation unit value at end of period	$	29.156	$	25.988	$	20.500	$	29.292	$	25.832	$	24.515	$	23.997	$	23.174	$	20.007
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		—
Fidelity VIP Contrafund® Subaccount
Accumulation unit value at beginning of period*	$	35.141	$	26.373	$	46.728	$	40.477	$	36.9	$	32.137	$	28.346	$	22.473	$	25.25
Accumulation unit value at end of period	$	40.444	$	35.141	$	26.373	$	46.728	$	40.477	$	36.9	$	32.137	$	28.346	$	22.473
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		1		1		1		1		1
Fidelity VIP Equity-Income Subaccount
Accumulation unit value at beginning of period*	$	30.752	$	24.055	$	42.725	$	42.864	$	36.32	$	34.941	$	31.91	$	24.936	$	30.581
Accumulation unit value at end of period	$	34.768	$	30.752	$	24.055	$	42.725	$	42.864	$	36.32	$	34.941	$	31.91	$	24.936
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		0		0		0		0		0
Fidelity VIP Growth Subaccount
Accumulation unit value at beginning of period*	$	40.439	$	32.105	$	61.895	$	49.657	$	47.331	$	45.562	$	44.89	$	34.415	$	50.151
Accumulation unit value at end of period	$	49.303	$	40.439	$	32.105	$	61.895	$	49.657	$	47.331	$	45.562	$	44.89	$	34.415
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		0		0		0		0		1
Fidelity VIP Index 500 Subaccount
Accumulation unit value at beginning of period*	$	131.671	$	105.924	$	171.245	$	165.432	$	145.585	$	141.447	$	130.245	$	103.305	$	135.328
Accumulation unit value at end of period	$	148.703	$	131.671	$	105.924	$	171.245	$	165.432	$	145.585	$	141.447	$	130.245	$	103.305
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		0		0		0		0		0
Franklin Rising Dividends Securities Subaccount
Accumulation unit value at beginning of period**	$	12.168	$	10.561	$	14.755	$	15.445	$	13.43	$	13.225	$	12.136	$	10		N/A
Accumulation unit value at end of period	$	14.413	$	12.168	$	10.561	$	14.755	$	15.445	$	13.43	$	13.225	$	12.136		N/A
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		1		1		1		—		N/A
Franklin Small Cap Value Securities Subaccount
Accumulation unit value at beginning of period**	$	15.693	$	12.376	$	18.818	$	19.636	$	17.095	$	16.007	$	13.175	$	10		N/A
Accumulation unit value at end of period	$	19.757	$	15.693	$	12.376	$	18.818	$	19.636	$	17.095	$	16.007	$	13.175		N/A
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		N/A
Franklin Strategic Income Securities Subaccount
Accumulation unit value at beginning of period**	$	13.869	$	11.233	$	12.889	$	12.396	$	11.663	$	11.708	$	10.861	$	10		N/A
Accumulation unit value at end of period	$	15.104	$	13.869	$	11.233	$	12.889	$	12.396	$	11.663	$	11.708	$	10.861		N/A
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		0		0		0		0		N/A
Franklin U.S. Government Subaccount
Accumulation unit value at beginning of period**	$	11.633	$	11.493	$	10.879	$	10.395	$	10.178	$	10.122	$	9.964	$	10		N/A
Accumulation unit value at end of period	$	12.025	$	11.633	$	11.493	$	10.879	$	10.395	$	10.178	$	10.122	$	9.964		N/A
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		N/A
Franklin Zero Coupon 2010 Subaccount
Accumulation unit value at beginning of period**	$	11.240	$	11.430	$	10.857	$	10.201	$	10.146	$	10.199	$	9.945	$	10		N/A
Accumulation unit value at end of period		N/A	$	11.240	$	11.430	$	10.857	$	10.201	$	10.146	$	10.199	$	9.945		N/A
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		N/A
Mutal Global Discovery Securities Subaccount (formerly Mutual Discovery Securities Subaccount)
Accumulation unit value at beginning of period**	$	18.427	$	15.219	$	21.666	$	19.731	$	16.33	$	14.342	$	12.359	$	10		N/A
Accumulation unit value at end of period	$	20.256	$	18.427	$	15.219	$	21.666	$	19.731	$	16.33	$	14.342	$	12.359		N/A
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		0		0		0		—		N/A
Mutual Shares Securities Subaccount
Accumulation unit value at beginning of period**	$	12.949	$	10.463	$	16.945	$	16.680	$	14.35	$	13.22	$	11.955	$	10		N/A
Accumulation unit value at end of period	$	14.137	$	12.949	$	10.463	$	16.945	$	16.68	$	14.35	$	13.22	$	11.955		N/A
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		1		1		1		—		N/A
Templeton Developing Markets Securities Subaccount
Accumulation unit value at beginning of period**	$	27.672	$	16.329	$	35.168	$	27.815	$	22.116	$	17.676	$	14.436	$	10		N/A
Accumulation unit value at end of period	$	31.948	$	27.672	$	16.329	$	35.168	$	27.815	$	22.116	$	17.676	$	14.436		N/A
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		N/A
ING JPMorgan Emerging Markets Equity Subaccount
Accumulation unit value at beginning of period+++	$	21.620	$	12.801	$	26.693	$	19.588	$	14.649	$	10		N/A		N/A		N/A
Accumulation unit value at end of period	$	25.607	$	21.620	$	12.801	$	26.693	$	19.588	$	14.649		N/A		N/A		N/A
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		N/A		N/A		N/A
ING VP Emerging Markets Subaccount
Accumulation unit value at beginning of period*		N/A		N/A		N/A		N/A		N/A	$	8.025	$	6.716	$	4.646	$	5.22
Accumulation unit value at end of period++		N/A		N/A		N/A		N/A		N/A		N/A	$	8.025	$	6.716	$	4.646
Number of accumulation units outstanding at end of period (000’s omitted)		N/A		N/A		N/A		N/A		N/A		N/A		—		—		—
ING VP Natural Resources Trust Subaccount
Accumulation unit value at beginning of period*		N/A		N/A		N/A	$	29.596	$	24.761	$	17.653	$	15.959	$	12.453	$	12.955
Accumulation unit value at end of period		N/A		N/A		N/A		N/A	$	29.596	$	24.761	$	17.653	$	15.959	$	12.453
Number of accumulation units outstanding at end of period (000’s omitted)		N/A		N/A		N/A		N/A		0		0		0		—		—
ING VP Global Resources Portfolio Subaccount
Accumulation unit value at beginning of period*	$	11.080	$	8.206	$	14.167		N/A		N/A		N/A		N/A		N/A		N/A
Accumulation unit value at end of period	$	13.233	$	11.080	$	8.206	$	14.167		N/A		N/A		N/A		N/A		N/A
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		N/A		N/A		N/A		N/A		N/A
Invesco V.I. Financial Services Subaccount (formerly AIM V.I. Financial Services Subaccount)
Accumulation unit value at beginning of period**	$	5.880	$	4.700	$	11.804	$	15.458	$	13.52	$	13.001	$	12.185	$	10		N/A
Accumulation unit value at end of period	$	6.369	$	5.880	$	4.700	$	11.804	$	15.458	$	13.52	$	13.001	$	12.185		N/A
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		N/A
Invesco V.I. Global Health Care Subaccount (formerly AIM V.I. Global Health Care Subaccount )
Accumulation unit value at beginning of period**	$	13.199	$	10.529	$	15.024	$	13.682	$	13.241	$	12.469	$	11.807	$	10		N/A
Accumulation unit value at end of period	$	13.646	$	13.199	$	10.529	$	15.024	$	13.682	$	13.241	$	12.469	$	11.807		N/A
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		0		0		0		0		N/A
Invesco V.I. Real Estate Subaccount (formerly AIM V.I. Real Estate Subaccount)
Accumulation unit value at beginning of period**	$	17.876	$	13.842	$	25.471	$	27.467	$	19.616	$	17.489	$	13.042	$	10		N/A
Accumulation unit value at end of period	$	20.625	$	17.876	$	13.842	$	25.471	$	27.467	$	19.616	$	17.489	$	13.042		N/A
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		N/A
Invesco V.I. Utilities Subaccount (formerly AIM V.I. Utilities Subaccount)
Accumulation unit value at beginning of period**	$	17.754	$	15.733	$	23.689	$	20.001	$	16.236	$	14.153	$	11.667	$	10		N/A
Accumulation unit value at end of period	$	18.530	$	17.754	$	15.733	$	23.689	$	20.001	$	16.236	$	14.153	$	11.667		N/A
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		N/A
JPMorgan Insurance Trust Equity Index Subaccount (formerly JPMorgan Investment Trust Equity Index Subaccount)
Accumulation unit value at beginning of period***	$	10.145	$	8.173	$	13.256	$	12.848	$	11.337	$	11.053	$	10.229		N/A		N/A
Accumulation unit value at end of period	$	11.397	$	10.145	$	8.173	$	13.256	$	12.848	$	11.337	$	11.053		N/A		N/A
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		N/A		N/A

B-43

Subaccount	2010		2009		2008		2007		2006		2005		2004		2003		2002
JPMorgan Insurance Trust U.S. Equity Subaccount (JPMorgan Insurance Trust Diversified Equity Subaccount (formerly JPMorgan Investment Trust Diversified Equity Subaccount)
Accumulation unit value at beginning of period***	$	11.201	$	8.534	$	13.331	$	12.295	$	10.781	$	10.73	$	10.04		N/A		N/A
Accumulation unit value at end of period	$	12.491	$	11.201	$	8.534	$	13.331	$	12.295	$	10.781	$	10.73		N/A		N/A
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		N/A		N/A
JPMorgan Insurance Trust Diversified Mid Cap Growth Subaccount (formerly JPMorgan Investment Trust Mid Cap Growth Subaccount)
Accumulation unit value at beginning of period***	$	11.889	$	8.466	$	14.797	$	14.652	$	12.185	$	11.171	$	10.386		N/A		N/A
Accumulation unit value at end of period	$	14.666	$	11.889	$	8.466	$	14.797	$	14.652	$	12.185	$	11.171		N/A		N/A
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		N/A		N/A
JPMorgan Insurance Trust Intrepid Mid Cap Subaccount (formerly JPMorgan Investment Trust Diversified Mid Cap Subaccount)
Accumulation unit value at beginning of period***	$	11.839	$	8.888	$	15.339	$	13.327	$	13.076	$	11.373	$	10.081		N/A		N/A
Accumulation unit value at end of period	$	13.894	$	11.839	$	8.888	$	15.339	$	14.652	$	13.076	$	11.373		N/A		N/A
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		N/A		N/A

B-44

Subaccount	2010		2009		2008		2007		2006		2005		2004		2003		2002
JPMorgan Insurance Trust Diversified Mid Cap Value Subaccount (formerly JPMorgan Investment Trust Mid Cap Value Subaccount)
Accumulation unit value at beginning of period***	$	11.174	$	8.898	$	14.048	$	14.179	$	12.372	$	11.481	$	10.262		N/A		N/A
Accumulation unit value at end of period	$	13.544	$	11.174	$	8.898	$	14.048	$	14.179	$	12.372	$	11.481		N/A		N/A
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		0		0		0		N/A		N/A
JPMorgan Insurance Trust International Equity Subaccount
Accumulation unit value at beginning of period***	$	16.384		N/A		N/A		N/A		N/A		N/A		N/A		N/A		N/A
Accumulation unit value at end of period	$	17.239	$	16.384		N/A		N/A		N/A		N/A		N/A		N/A		N/A
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		N/A		N/A		N/A		N/A		N/A		N/A		N/A
JPMorgan Insurance Trust Small Cap Core Subaccount
Accumulation unit value at beginning of period***	$	14.727		N/A		N/A		N/A		N/A		N/A		N/A		N/A		N/A
Accumulation unit value at end of period	$	18.382	$	14.727		N/A		N/A		N/A		N/A		N/A		N/A		N/A
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		N/A		N/A		N/A		N/A		N/A		N/A		N/A
JPMorgan International Equity Subaccount
Accumulation unit value at beginning of period**		N/A	$	12.369	$	21.482	$	20.014	$	16.702	$	15.367	$	13.223	$	10		N/A
Accumulation unit value at end of period		N/A		N/A	$	12.369	$	21.482	$	20.014	$	16.702	$	15.367	$	13.223		N/A
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		N/A
JPMorgan Mid Cap Value Subaccount
Accumulation unit value at beginning of period**		N/A	$	11.842	$	18.058	$	17.953	$	15.649	$	14.593	$	12.278	$	10		N/A
Accumulation unit value at end of period		N/A		N/A	$	11.842	$	18.058	$	17.953	$	15.649	$	14.593	$	12.278		N/A
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		0		0		0		0		N/A
JPMorgan Small Company Subaccount
Accumulation unit value at beginning of period*		N/A	$	12.237	$	18.325	$	19.788	$	17.524	$	17.257	$	13.822	$	10.353	$	13.459
Accumulation unit value at end of period		N/A		N/A	$	12.237	$	18.325	$	19.788	$	17.524	$	17.257	$	13.822	$	10.353
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		0		—
Janus Aspen Balanced Subaccount
Accumulation unit value at beginning of period*	$	38.060	$	30.793	$	37.265	$	34.340	$	31.588	$	29.802	$	27.969	$	24.977	$	27.192
Accumulation unit value at end of period	$	40.503	$	38.060	$	30.793	$	37.265	$	34.34	$	31.588	$	29.802	$	27.969	$	24.977
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		1		2		2		2		2
Janus Aspen Enterprise Subaccount (formerly Janus Aspen Mid Cap Growth Subaccount)
Accumulation unit value at beginning of period*	$	30.960	$	21.773	$	39.406	$	32.890	$	29.484	$	26.737	$	22.554	$	17.002	$	24.03
Accumulation unit value at end of period	$	38.256	$	30.960	$	21.773	$	39.406	$	32.89	$	29.484	$	26.737	$	22.554	$	17.002
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		1		1		1		1		1
Janus Aspen Janus Subaccount (formerly Janus Aspen Large Cap Growth Subaccount)
Accumulation unit value at beginning of period*	$	22.115	$	16.519	$	27.912	$	24.703	$	22.589	$	22.06	$	21.498	$	16.621	$	23.036
Accumulation unit value at end of period	$	24.866	$	22.115	$	16.519	$	27.912	$	24.703	$	22.589	$	22.06	$	21.498	$	16.621
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		—
Janus Aspen Mid Cap Value Subaccount
Accumulation unit value at beginning of period**	$	18.303	$	14.025	$	19.811	$	18.829	$	16.666	$	15.43	$	13.341	$	10		N/A
Accumulation unit value at end of period	$	20.732	$	18.303	$	14.025	$	19.811	$	18.829	$	16.666	$	15.43	$	13.341		N/A
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		0		0		0		0		N/A
Janus Aspen Small Company Value Subaccount
Accumulation unit value at beginning of period**		N/A	$	10.943	$	17.393	$	18.870	$	15.77	$	15.528	$	13.394	$	10		N/A
Accumulation unit value at end of period		N/A		N/A	$	10.943	$	17.393	$	18.87	$	15.77	$	15.528	$	13.394		N/A
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		N/A
Janus Aspen Worldwide Subaccount (formerly Janus Aspen Worldwide Growth Subaccount)
Accumulation unit value at beginning of period*	$	27.001	$	19.971	$	36.759	$	34.155	$	29.428	$	28.31	$	27.52	$	22.605	$	30.906
Accumulation unit value at end of period	$	30.709	$	27.001	$	19.971	$	36.759	$	34.155	$	29.428	$	28.31	$	27.52	$	22.605
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		0		0
Oppenheimer Capital Appreciation Subaccount
Accumulation unit value at beginning of period**	$	11.809	$	8.344	$	15.640	$	13.992	$	13.233	$	12.853	$	12.279	$	10		N/A
Accumulation unit value at end of period	$	12.655	$	11.809	$	8.344	$	15.640	$	13.992	$	13.233	$	12.853	$	12.279		N/A
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		N/A
Oppenheimer Global Securities Subaccount
Accumulation unit value at beginning of period**	$	17.737	$	12.963	$	22.128	$	21.247	$	18.438	$	16.463	$	14.106	$	10		N/A
Accumulation unit value at end of period	$	20.150	$	17.737	$	12.963	$	22.128	$	21.247	$	18.438	$	16.463	$	14.106		N/A
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		N/A
Oppenheimer High Income Subaccount
Accumulation unit value at beginning of period**	$	3.217	$	2.601	$	12.365	$	12.655	$	11.8	$	11.781	$	11.036	$	10		N/A
Accumulation unit value at end of period	$	3.614	$	3.217	$	2.601	$	12.365	$	12.655	$	11.8	$	11.781	$	11.036		N/A
Number of accumulation units outstanding at end of period (000’s omitted)		3		3		4		4		4		4		4		4		N/A
Oppenheimer Main Street Subaccount
Accumulation unit value at beginning of period**	$	11.710	$	9.318	$	15.464	$	15.124	$	13.422	$	12.927	$	12.064	$	10		N/A
Accumulation unit value at end of period	$	13.317	$	11.710	$	9.318	$	15.464	$	15.124	$	13.422	$	12.927	$	12.064		N/A
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		N/A
Oppenheimer Main Street Small Cap Subaccount
Accumulation unit value at beginning of period**	$	15.368	$	11.435	$	18.786	$	19.406	$	17.237	$	16.001	$	13.675	$	10		N/A
Accumulation unit value at end of period	$	18.568	$	15.368	$	11.435	$	18.786	$	19.406	$	17.237	$	16.001	$	13.675		N/A
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		0		N/A
Oppenheimer Small- & Mid-Cap Growth Subaccount (formerly Oppenheimer MidCap Growth Subaccount) (formerly Oppenheimer Aggressive Growth Subaccount)
Accumulation unit value at beginning of period**	$	10.492	$	8.080	$	16.204	$	15.565	$	17.237	$	14.038	$	11.972	$	10		N/A
Accumulation unit value at end of period	$	13.100	$	10.492	$	8.080	$	16.204	$	15.565	$	15.436	$	14.038	$	11.972		N/A
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		N/A
Oppenheimer Global Strategic Income Subaccount (formerly Oppenheimer Strategic Bond Subaccount)
Accumulation unit value at beginning of period**	$	12.767	$	10.982	$	13.079	$	12.161	$	11.55	$	11.478	$	10.782	$	10		N/A
Accumulation unit value at end of period	$	14.387	$	12.767	$	10.982	$	13.079	$	12.161	$	11.55	$	11.478	$	10.782		N/A
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		N/A
Scudder Growth Subaccount
Accumulation unit value at beginning of period*		N/A		N/A		N/A		N/A		N/A	$	5.03	$	4.873	$	3.98	$	5.742
Accumulation unit value at end of period+		N/A		N/A		N/A		N/A		N/A		N/A	$	5.03	$	4.873	$	3.98
Number of accumulation units outstanding at end of period (000’s omitted)		N/A		N/A		N/A		N/A		N/A		N/A		—		—		—
SVS Focus Value + Growth Subaccount
Accumulation unit value at beginning of period*		N/A		N/A		N/A		N/A		N/A	$	1.593	$	1.458	$	1.119	$	1.538
Accumulation unit value at end of period+		N/A		N/A		N/A		N/A		N/A		N/A	$	1.593	$	1.458	$	1.119
Number of accumulation units outstanding at end of period (000’s omitted)		N/A		N/A		N/A		N/A		N/A		N/A		—		—		—

B-45

Additional Contract Options Elected (0.65%)

Guaranteed Minimum Death Benefit, Earnings Based Death Benefit and Guaranteed Retirement Income Benefit—10 year

(Separate Account Charges of 1.95% of the Daily Net Assets of the Separate Account)

Tax Qualified Periodic Payment Contracts—1.95%

Subaccount	2010		2009		2008		2007		2006		2005		2004		2003		2002
Alger Large Cap Growth Subaccount (formerly Alger American LargeCap Growth Subaccount)(formerly Alger American Growth Subaccount)
Accumulation unit value at beginning of period*	$	47.423	$	32.762	$	62.035	$	52.733	$	51.126	$	46.522	$	44.96	$	33.912	$	51.597
Accumulation unit value at end of period	$	52.744	$	47.423	$	32.762	$	62.035	$	52.733	$	51.126	$	46.522	$	44.96	$	33.912
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		—
Alger Small Cap Subaccount (formerly Alger American Small Cap Subaccount)
Accumulation unit value at beginning of period*	$	28.604	$	19.223	$	47.064	$	36.475	$	33.761	$	31.338	$	28.265	$	19.497	$	28.212
Accumulation unit value at end of period	$	33.496	$	28.604	$	19.223	$	47.064	$	36.475	$	33.761	$	31.338	$	28.265	$	19.497
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		—
Alger Small Capitalization Subaccount (formerly Alger American Small Capitalization Subaccount)
Accumulation unit value at beginning of period*	$	41.832	$	29.310	$	55.962	$	48.668	$	41.34	$	36.056	$	31.536	$	22.586	$	31.213
Accumulation unit value at end of period	$	51.412	$	41.832	$	29.310	$	55.962	$	48.668	$	41.34	$	36.056	$	31.536	$	22.586
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		—
American Century VP Income & Growth Subaccount
Accumulation unit value at beginning of period*	$	6.036	$	5.211	$	8.122	$	8.287	$	7.215	$	7.03	$	6.343	$	4.999	$	6.321
Accumulation unit value at end of period	$	6.758	$	6.036	$	5.211	$	8.122	$	8.287	$	7.215	$	7.03	$	6.343	$	4.999
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		—
American Century VP Value Subaccount
Accumulation unit value at beginning of period*	$	8.762	$	7.452	$	10.376	$	11.153	$	9.582	$	9.3	$	8.293	$	6.556	$	7.65
Accumulation unit value at end of period	$	9.748	$	8.762	$	7.452	$	10.376	$	11.153	$	9.582	$	9.3	$	8.293	$	6.556
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		—
Credit Suisse Trust International Equity Flex III Subaccount (formerly Credit Suisse Trust-Emerging Markets Subaccount)
Accumulation unit value at beginning of period*	$	16.898	$	11.363	$	25.632	$	20.191	$	15.533	$	12.378	$	10.101	$	7.207	$	8.309
Accumulation unit value at end of period	$	18.603	$	16.898	$	11.363	$	25.632	$	20.191	$	15.533	$	12.378	$	10.101	$	7.207
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		—
Dreyfus IP MidCap Stock Subaccount
Accumulation unit value at beginning of period**	$	12.246	$	9.225	$	15.794	$	15.883	$	15.038	$	14.073	$	12.56	$	10		N/A
Accumulation unit value at end of period	$	15.248	$	12.246	$	9.225	$	15.794	$	15.883	$	15.038	$	14.073	$	12.56		N/A
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		N/A
Dreyfus Socially Responsible Growth Subaccount
Accumulation unit value at beginning of period*	$	23.409	$	17.843	$	27.741	$	26.242	$	24.498	$	24.103	$	23.137	$	18.72	$	26.861
Accumulation unit value at end of period	$	26.363	$	23.409	$	17.843	$	27.741	$	26.242	$	24.498	$	24.103	$	23.137	$	18.72
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		—
Dreyfus VIF Small Company Stock Subaccount*
Accumulation unit value at beginning of period**		N/A		N/A		N/A	$	16.911	$	15.539	$	15.719	$	13.561	$	10		N/A
Accumulation unit value at end of period		N/A		N/A		N/A		N/A	$	16.911	$	15.539	$	15.719	$	13.561		N/A
Number of accumulation units outstanding at end of period (000’s omitted)		N/A		N/A		N/A		N/A		—		—		—		—		N/A
DWS Bond VIP Subaccount (formerly Scudder Bond Subaccount)
Accumulation unit value at beginning of period*	$	7.663	$	7.098	$	8.695	$	8.510	$	8.52	$	8.232	$	7.964	$	7.728	$	7.318
Accumulation unit value at end of period	$	8.027	$	7.663	$	7.098	$	8.695	$	8.51	$	8.285	$	8.232	$	7.964	$	7.728
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		—
DWS Capital Growth VIP Subaccount (formerly Scudder Capital Growth Subaccount)
Accumulation unit value at beginning of period*	$	19.212	$	15.438	$	23.486	$	21.269	$	19.978	$	18.693	$	17.649	$	14.18	$	20.415
Accumulation unit value at end of period	$	21.993	$	19.212	$	15.438	$	23.486	$	21.269	$	19.978	$	18.693	$	17.649	$	14.18
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		—
DWS Growth & Income VIP Subaccount (formerly Scudder Growth and Income Subaccount)
Accumulation unit value at beginning of period****	$	9.784	$	7.436	$	12.290	$	12.363	$	11.092	$	10		N/A		N/A		N/A
Accumulation unit value at end of period	$	10.979	$	9.784	$	7.436	$	12.290	$	12.363	$	11.092		N/A		N/A		N/A
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		N/A		N/A		N/A
DWS International VIP Subaccount (formerly Scudder International Subaccount)
Accumulation unit value at beginning of period*	$	12.816	$	9.786	$	19.266	$	17.143	$	13.88	$	12.18	$	10.657	$	8.504	$	10.621
Accumulation unit value at end of period	$	12.775	$	12.816	$	9.786	$	19.266	$	17.143	$	13.88	$	12.18	$	10.657	$	8.504
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		—
DWS Balanced VIP Subaccount (formerly Scudder Total Return Subaccount)
Accumulation unit value at beginning of period*	$	7.038	$	5.813	$	8.155	$	7.931	$	7.334	$	7.169	$	6.844	$	5.916	$	7.111
Accumulation unit value at end of period	$	7.678	$	7.038	$	5.813	$	8.155	$	7.931	$	7.334	$	7.169	$	6.844	$	5.916
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		—
DWS Core Fixed Income VIP Subaccount (formerly Scudder Fixed Income Subaccount)
Accumulation unit value at beginning of period*	$	1.263	$	1.195	$	1.511	$	1.479	$	1.446	$	1.441	$	1.406	$	1.363	$	1.287
Accumulation unit value at end of period	$	1.319	$	1.263	$	1.195	$	1.511	$	1.479	$	1.446	$	1.441	$	1.406	$	1.363
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		—
DWS Diversified International Equity VIP Subaccount (formerly DWS International Select Equity VIP Subaccount)
Accumulation unit value at beginning of period*	$	1.955	$	1.541	$	3.069	$	2.681	$	2.177	$	1.938	$	1.671	$	1.312	$	1.546
Accumulation unit value at end of period	$	2.127	$	1.955	$	1.541	$	3.069	$	2.681	$	2.177	$	1.938	$	1.671	$	1.312
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		—
DWS Dreman Small Mid Cap Value VIP (formerly DWS Dreman Small Cap Value VIP Subaccount)
Accumulation unit value at beginning of period*	$	2.144	$	1.685	$	2.580	$	2.553	$	2.081	$	1.924	$	1.557	$	1.117	$	1.285
Accumulation unit value at end of period	$	2.588	$	2.144	$	1.685	$	2.580	$	2.553	$	2.081	$	1.924	$	1.557	$	1.117
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		—
DWS Government & Agency Securities VIP Subaccount (formerly Scudder Government & Agency Securities Subaccount)
Accumulation unit value at beginning of period*	$	2.587	$	2.440	$	2.371	$	2.281	$	2.233	$	2.219	$	2.181	$	2.174	$	2.051
Accumulation unit value at end of period	$	2.705	$	2.587	$	2.440	$	2.371	$	2.281	$	2.233	$	2.219	$	2.181	$	2.174
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		—
DWS High Income VIP Subaccount (formerly Scudder High Income Subaccount)
Accumulation unit value at beginning of period*	$	8.227	$	5.992	$	8.031	$	8.111	$	7.485	$	7.345	$	6.662	$	5.45	$	5.573
Accumulation unit value at end of period	$	9.200	$	8.227	$	5.992	$	8.031	$	8.111	$	7.485	$	7.345	$	6.662	$	5.45
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		—

B-46

Subaccount	2010		2009		2008		2007		2006		2005		2004		2003		2002
DWS Large Cap Value VIP Subaccount (formerly Scudder Large Cap Value Subaccount)
Accumulation unit value at beginning of period*	$	2.030	$	1.651	$	2.646	$	2.385	$	2.106	$	2.106	$	1.951	$	1.5	$	1.798
Accumulation unit value at end of period	$	2.206	$	2.030	$	1.651	$	2.646	$	2.385	$	2.106	$	2.106	$	1.951	$	1.5
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		—
DWS Money Market VIP Subaccount (formerly Scudder Money Market Subaccount)
Accumulation unit value at beginning of period*	$	2.700	$	2.743	$	2.725	$	2.646	$	2.578	$	2.556	$	2.582	$	2.614	$	2.629
Accumulation unit value at end of period	$	2.648	$	2.700	$	2.743	$	2.725	$	2.646	$	2.578	$	2.556	$	2.582	$	2.614
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		—
DWS Small Mid-Cap Growth VIP Subaccount (formerly DWS Small Cap Growth Subaccount)
Accumulation unit value at beginning of period*	$	1.521	$	1.103	$	2.227	$	2.138	$	2.07	$	1.971	$	1.81	$	1.388	$	2.127
Accumulation unit value at end of period	$	1.931	$	1.521	$	1.103	$	2.227	$	2.138	$	2.07	$	1.971	$	1.81	$	1.388
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		—
DWS Technology VIP Subaccount (formerly Scudder Technology Growth Subaccount)*
Accumulation unit value at beginning of period*	$	0.786	$	0.500	$	0.948	$	0.845	$	0.855	$	0.84	$	0.841	$	0.585	$	0.924
Accumulation unit value at end of period	$	0.915	$	0.786	$	0.500	$	0.948	$	0.845	$	0.855	$	0.84	$	0.841	$	0.585
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		—
Fidelity VIP Asset ManagerSM Subaccount
Accumulation unit value at beginning of period*	$	25.778	$	20.355	$	29.113	$	25.699	$	24.413	$	23.92	$	23.123	$	19.982	$	22.32
Accumulation unit value at end of period	$	28.892	$	25.778	$	20.355	$	29.113	$	25.699	$	24.413	$	23.92	$	23.123	$	19.982
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		—
Fidelity VIP Contrafund® Subaccount
Accumulation unit value at beginning of period*	$	34.857	$	26.186	$	46.442	$	40.269	$	36.746	$	32.035	$	28.283	$	22.446	$	25.244
Accumulation unit value at end of period	$	40.078	$	34.857	$	26.186	$	46.442	$	40.269	$	36.746	$	32.035	$	28.283	$	22.446
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		—
Fidelity VIP Equity-Income Subaccount
Accumulation unit value at beginning of period*	$	30.504	$	23.884	$	42.463	$	42.643	$	36.169	$	34.829	$	31.839	$	24.905	$	30.573
Accumulation unit value at end of period	$	34.454	$	30.504	$	23.884	$	42.463	$	42.643	$	36.169	$	34.829	$	31.839	$	24.905
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		—
Fidelity VIP Growth Subaccount
Accumulation unit value at beginning of period*	$	40.112	$	31.877	$	61.516	$	49.401	$	47.133	$	45.416	$	44.791	$	34.373	$	50.139
Accumulation unit value at end of period	$	48.857	$	40.112	$	31.877	$	61.516	$	49.401	$	47.133	$	45.416	$	44.791	$	34.373
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—				—		—		—		—
Fidelity VIP Index 500 Subaccount
Accumulation unit value at beginning of period*	$	130.607	$	105.172	$	170.196	$	164.581	$	144.978	$	140.995	$	129.957	$	103.177	$	135.293
Accumulation unit value at end of period	$	147.357	$	130.607	$	105.172	$	170.196	$	164.581	$	144.978	$	140.995	$	129.957	$	103.177
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		—
Franklin Rising Dividends Securities Subaccount
Accumulation unit value at beginning of period**	$	12.088	$	10.502	$	14.688	$	15.390	$	13.395	$	13.203	$	12.128	$	10		N/A
Accumulation unit value at end of period	$	14.305	$	12.088	$	10.502	$	14.688	$	15.39	$	13.395	$	13.203	$	12.128		N/A
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		N/A
Franklin Small Cap Value Securities Subaccount
Accumulation unit value at beginning of period**	$	15.591	$	12.307	$	18.732	$	19.565	$	17.05	$	15.981	$	13.167	$	10		N/A
Accumulation unit value at end of period	$	19.609	$	15.591	$	12.307	$	18.732	$	19.565	$	17.05	$	15.981	$	13.167		N/A
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		N/A
Franklin Strategic Income Securities Subaccount
Accumulation unit value at beginning of period**	$	13.779	$	11.171	$	12.830	$	12.352	$	11.633	$	11.689	$	10.854	$	10		N/A
Accumulation unit value at end of period	$	14.990	$	13.779	$	11.171	$	12.830	$	12.352	$	11.633	$	11.689	$	10.854		N/A
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		N/A
Franklin U.S. Government Subaccount
Accumulation unit value at beginning of period**	$	11.557	$	11.429	$	10.830	$	10.358	$	10.151	$	10.106	$	9.957	$	10		N/A
Accumulation unit value at end of period	$	11.935	$	11.557	$	11.429	$	10.830	$	10.358	$	10.151	$	10.106	$	9.957		N/A
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		N/A
Franklin Zero Coupon 2010 Subaccount
Accumulation unit value at beginning of period**	$	11.167	$	11.367	$	10.807	$	10.164	$	10.12	$	10.182	$	9.938	$	10		N/A
Accumulation unit value at end of period		N/A	$	11.167	$	11.367	$	10.807	$	10.164	$	10.12	$	10.182	$	9.938		N/A
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		N/A
Mutal Global Discovery Securities Subaccount (formerly Mutual Discovery Securities Subaccount)
Accumulation unit value at beginning of period**	$	18.307	$	15.135	$	21.567	$	19.661	$	16.288	$	14.318	$	12.351	$	10		N/A
Accumulation unit value at end of period	$	20.104	$	18.307	$	15.135	$	21.567	$	19.661	$	16.288	$	14.318	$	12.351		N/A
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		N/A
Mutual Shares Securities Subaccount
Accumulation unit value at beginning of period**	$	12.865	$	10.405	$	16.868	$	16.620	$	14.313	$	13.198	$	11.947	$	10		N/A
Accumulation unit value at end of period	$	14.031	$	12.865	$	10.405	$	16.868	$	16.62	$	14.313	$	13.198	$	11.947		N/A
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		N/A
Templeton Developing Markets Securities Subaccount
Accumulation unit value at beginning of period**	$	27.491	$	16.239	$	35.007	$	27.715	$	22.058	$	17.647	$	14.427	$	10		N/A
Accumulation unit value at end of period	$	31.708	$	27.491	$	16.239	$	35.007	$	27.715	$	22.058	$	17.647	$	14.427		N/A
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		N/A
ING JPMorgan Emerging Markets Equity Subaccount
Accumulation unit value at beginning of period+++	$	21.534	$	12.763	$	26.638	$	19.567	$	14.648	$	10		N/A		N/A		N/A
Accumulation unit value at end of period	$	25.480	$	21.534	$	12.763	$	26.638	$	19.567	$	14.648		N/A		N/A		N/A
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		N/A		N/A		N/A
ING VP Emerging Markets Subaccount
Accumulation unit value at beginning of period*		N/A		N/A		N/A		N/A		N/A	$	7.999	$	6.701	$	4.641	$	5.218
Accumulation unit value at end of period++		N/A		N/A		N/A		N/A		N/A		N/A	$	7.999	$	6.701	$	4.641
Number of accumulation units outstanding at end of period (000’s omitted)		N/A		N/A		N/A		N/A		N/A		N/A		—		—		—
ING VP Natural Resources Trust Subaccount
Accumulation unit value at beginning of period*		N/A		N/A		N/A	$	29.444	$	24.658	$	17.597	$	15.924	$	12.438	$	12.952
Accumulation unit value at end of period		N/A		N/A		N/A		N/A	$	29.444	$	24.658	$	17.597	$	15.924	$	12.438
Number of accumulation units outstanding at end of period (000’s omitted)		N/A		N/A		N/A		N/A		—		—		—		—		—
ING VP Global Resources Portfolio Subaccount
Accumulation unit value at beginning of period*	$	11.048	$	8.191	$	14.154		N/A		N/A		N/A		N/A		N/A		N/A
Accumulation unit value at end of period	$	13.182	$	11.048	$	8.191	$	14.154		N/A		N/A		N/A		N/A		N/A
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		N/A		N/A		N/A		N/A		N/A
Invesco V.I. Financial Services Subaccount (formerly AIM V.I. Financial Services Subaccount)
Accumulation unit value at beginning of period**	$	5.842	$	4.674	$	11.750	$	15.402	$	13.485	$	12.98	$	12.177	$	10		N/A
Accumulation unit value at end of period	$	6.321	$	5.842	$	4.674	$	11.750	$	15.402	$	13.485	$	12.98	$	12.177		N/A
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		N/A
Invesco V.I. Global Health Care Subaccount (formerly AIM V.I. Global Health Care Subaccount )
Accumulation unit value at beginning of period**	$	13.113	$	10.471	$	14.956	$	13.633	$	13.207	$	12.449	$	11.799	$	10		N/A
Accumulation unit value at end of period	$	13.543	$	13.113	$	10.471	$	14.956	$	13.633	$	13.207	$	12.449	$	11.799		N/A
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		N/A
Invesco V.I. Real Estate Subaccount (formerly AIM V.I. Real Estate Subaccount)
Accumulation unit value at beginning of period**	$	17.759	$	13.765	$	25.355	$	27.368	$	19.565	$	17.46	$	13.033	$	10		N/A
Accumulation unit value at end of period	$	20.470	$	17.759	$	13.765	$	25.355	$	27.368	$	19.565	$	17.46	$	13.033		N/A
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		N/A
Invesco V.I. Utilities Subaccount (formerly AIM V.I. Utilities Subaccount)
Accumulation unit value at beginning of period**	$	17.638	$	15.646	$	23.581	$	19.929	$	16.194	$	14.13	$	11.659	$	10		N/A
Accumulation unit value at end of period	$	18.391	$	17.638	$	15.646	$	23.581	$	19.929	$	16.194	$	14.13	$	11.659		N/A
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		N/A
JPMorgan Insurance Trust Equity Index Subaccount (formerly JPMorgan Investment Trust Equity Index Subaccount)
Accumulation unit value at beginning of period***	$	10.086	$	8.132	$	13.204	$	12.810	$	11.314	$	11.042	$	10.225		N/A		N/A
Accumulation unit value at end of period	$	11.318	$	10.086	$	8.132	$	13.204	$	12.81	$	11.314	$	11.042		N/A		N/A
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		N/A		N/A

B-47

Subaccount	2010		2009		2008		2007		2006		2005		2004		2003		2002
JPMorgan Insurance Trust U.S. Equity Subaccount (JPMorgan Insurance Trust Diversified Equity Subaccount (formerly JPMorgan Investment Trust Diversified Equity Subaccount)
Accumulation unit value at beginning of period***	$	11.135	$	8.492	$	13.279	$	12.258	$	10.759	$	10.719	$	10.036		N/A		N/A
Accumulation unit value at end of period	$	12.405	$	11.135	$	8.492	$	13.279	$	12.258	$	10.759	$	10.719		N/A		N/A
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		N/A		N/A
JPMorgan Insurance Trust Diversified Mid Cap Growth Subaccount (formerly JPMorgan Investment Trust Mid Cap Growth Subaccount)
Accumulation unit value at beginning of period***	$	11.819	$	8.424	$	15.278	$	13.287	$	12.161	$	11.159	$	10.382		N/A		N/A
Accumulation unit value at end of period	$	14.565	$	11.819	$	8.424	$	15.278	$	13.287	$	12.161	$	11.159		N/A		N/A
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		N/A		N/A
JPMorgan Insurance Trust Intrepid Mid Cap Subaccount (formerly JPMorgan Investment Trust Diversified Mid Cap Subaccount)
Accumulation unit value at beginning of period***	$	11.769	$	8.845	$	14.738	$	14.608	$	13.05	$	11.361	$	10.077		N/A		N/A
Accumulation unit value at end of period	$	13.798	$	11.769	$	8.845	$	14.738	$	14.608	$	13.05	$	11.361		N/A		N/A
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		N/A		N/A

B-48

Subaccount	2010		2009		2008		2007		2006		2005		2004		2003		2002
JPMorgan Insurance Trust Diversified Mid Cap Value Subaccount (formerly JPMorgan Investment Trust Mid Cap Value Subaccount)
Accumulation unit value at beginning of period***	$	11.108	$	8.854	$	13.993	$	14.137	$	12.348	$	11.469	$	10.258		N/A		N/A
Accumulation unit value at end of period	$	13.451	$	11.108	$	8.854	$	13.993	$	14.137	$	12.348	$	11.469		N/A		N/A
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		N/A		N/A
JPMorgan Insurance Trust International Equity Subaccount
Accumulation unit value at beginning of period***	$	16.277		N/A		N/A		N/A		N/A		N/A		N/A		N/A		N/A
Accumulation unit value at end of period	$	17.109	$	16.277		N/A		N/A		N/A		N/A		N/A		N/A		N/A
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		N/A		N/A		N/A		N/A		N/A		N/A		N/A
JPMorgan Insurance Trust Small Cap Core Subaccount
Accumulation unit value at beginning of period***	$	14.608		N/A		N/A		N/A		N/A		N/A		N/A		N/A		N/A
Accumulation unit value at end of period	$	18.216	$	14.608		N/A		N/A		N/A		N/A		N/A		N/A		N/A
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		N/A		N/A		N/A		N/A		N/A		N/A		N/A
JPMorgan International Equity Subaccount
Accumulation unit value at beginning of period**		N/A	$	12.300	$	21.383	$	19.942	$	16.658	$	15.342	$	13.214	$	10		N/A
Accumulation unit value at end of period		N/A		N/A	$	12.300	$	21.383	$	19.942	$	16.658	$	15.342	$	13.214		N/A
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		N/A
JPMorgan Mid Cap Value Subaccount
Accumulation unit value at beginning of period**		N/A	$	11.776	$	17.975	$	17.889	$	15.608	$	14.57	$	12.27	$	10		N/A
Accumulation unit value at end of period		N/A		N/A	$	11.776	$	17.975	$	17.889	$	15.608	$	14.57	$	12.27		N/A
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		N/A
JPMorgan Small Company Subaccount
Accumulation unit value at beginning of period*		N/A	$	12.150	$	18.213	$	19.686	$	17.451	$	17.202	$	13.791	$	10.34	$	13.455
Accumulation unit value at end of period		N/A		N/A	$	12.150	$	18.213	$	19.686	$	17.451	$	17.202	$	13.791	$	10.34
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		—
Janus Aspen Balanced Subaccount
Accumulation unit value at beginning of period*	$	37.753	$	30.574	$	37.037	$	34.164	$	31.456	$	29.706	$	27.907	$	24.946	$	27.185
Accumulation unit value at end of period	$	40.136	$	37.753	$	30.574	$	37.037	$	34.164	$	31.456	$	29.706	$	27.907	$	24.946
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		—
Janus Aspen Enterprise Subaccount (formerly Janus Aspen Mid Cap Growth Subaccount)
Accumulation unit value at beginning of period*	$	30.710	$	21.619	$	39.165	$	32.721	$	29.361	$	26.652	$	22.504	$	16.981	$	24.024
Accumulation unit value at end of period	$	37.910	$	30.710	$	21.619	$	39.165	$	32.721	$	29.361	$	26.652	$	22.504	$	16.981
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		—
Janus Aspen Janus Subaccount (formerly Janus Aspen Large Cap Growth Subaccount)
Accumulation unit value at beginning of period*	$	21.937	$	16.402	$	27.741	$	24.576	$	22.495	$	21.989	$	21.45	$	16.6	$	23.03
Accumulation unit value at end of period	$	24.641	$	21.937	$	16.402	$	27.741	$	24.576	$	22.495	$	21.989	$	21.45	$	16.6
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		—
Janus Aspen Mid Cap Value Subaccount
Accumulation unit value at beginning of period**	$	18.184	$	13.947	$	19.721	$	18.762	$	16.622	$	15.405	$	13.333	$	10		N/A
Accumulation unit value at end of period	$	20.576	$	18.184	$	13.947	$	19.721	$	18.762	$	16.622	$	15.405	$	13.333		N/A
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		N/A
Janus Aspen Small Company Value Subaccount
Accumulation unit value at beginning of period**		N/A	$	10.882	$	17.314	$	18.803	$	15.728	$	15.503	$	13.386	$	10		N/A
Accumulation unit value at end of period		N/A		N/A	$	10.882	$	17.314	$	18.803	$	15.728	$	15.503	$	13.386		N/A
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		N/A
Janus Aspen Worldwide Subaccount (formerly Janus Aspen Worldwide Growth Subaccount)
Accumulation unit value at beginning of period*	$	26.783	$	19.829	$	36.534	$	33.979	$	29.305	$	28.22	$	27.459	$	22.578	$	30.898
Accumulation unit value at end of period	$	30.431	$	26.783	$	19.829	$	36.534	$	33.979	$	29.305	$	28.22	$	27.459	$	22.578
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		—
Oppenheimer Capital Appreciation Subaccount
Accumulation unit value at beginning of period**	$	11.732	$	8.297	$	15.569	$	13.942	$	13.199	$	12.832	$	12.271	$	10		N/A
Accumulation unit value at end of period	$	12.560	$	11.732	$	8.297	$	15.569	$	13.942	$	13.199	$	12.832	$	12.271		N/A
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		N/A
Oppenheimer Global Securities Subaccount
Accumulation unit value at beginning of period**	$	17.621	$	12.891	$	22.027	$	21.171	$	18.39	$	16.436	$	14.096	$	10		N/A
Accumulation unit value at end of period	$	19.998	$	17.621	$	12.891	$	22.027	$	21.171	$	18.39	$	16.436	$	14.096		N/A
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		N/A
Oppenheimer High Income Subaccount
Accumulation unit value at beginning of period**	$	3.196	$	2.587	$	12.309	$	12.609	$	11.769	$	11.762	$	11.029	$	10		N/A
Accumulation unit value at end of period	$	3.587	$	3.196	$	2.587	$	12.309	$	12.609	$	11.769	$	11.762	$	11.029		N/A
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		N/A
Oppenheimer Main Street Subaccount
Accumulation unit value at beginning of period**	$	11.634	$	9.266	$	15.393	$	15.069	$	13.387	$	12.906	$	12.056	$	10		N/A
Accumulation unit value at end of period	$	13.217	$	11.634	$	9.266	$	15.393	$	15.069	$	13.387	$	12.906	$	12.056		N/A
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		N/A
Oppenheimer Main Street Small Cap Subaccount
Accumulation unit value at beginning of period**	$	15.268	$	11.371	$	18.701	$	19.336	$	17.192	$	15.975	$	13.666	$	10		N/A
Accumulation unit value at end of period	$	18.429	$	15.268	$	11.371	$	18.701	$	19.336	$	17.192	$	15.975	$	13.666		N/A
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		N/A
Oppenheimer Small- & Mid-Cap Growth Subaccount (formerly Oppenheimer MidCap Growth Subaccount) (formerly Oppenheimer Aggressive Growth Subaccount)
Accumulation unit value at beginning of period**	$	10.424	$	8.035	$	16.130	$	15.510	$	15.395	$	14.015	$	11.964	$	10		N/A
Accumulation unit value at end of period	$	13.002	$	10.424	$	8.035	$	16.130	$	15.51	$	15.395	$	14.015	$	11.964		N/A
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		N/A
Oppenheimer Global Strategic Income Subaccount (formerly Oppenheimer Strategic Bond Subaccount)
Accumulation unit value at beginning of period**	$	12.684	$	10.921	$	13.020	$	12.117	$	11.52	$	11.46	$	10.775	$	10		N/A
Accumulation unit value at end of period	$	14.279	$	12.684	$	10.921	$	13.020	$	12.117	$	11.52	$	11.46	$	10.775		N/A
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		N/A
Scudder Growth Subaccount
Accumulation unit value at beginning of period*		N/A		N/A		N/A		N/A		N/A	$	5.021	$	4.869	$	3.98	$	5.749
Accumulation unit value at end of period+		N/A		N/A		N/A		N/A		N/A		N/A	$	5.021	$	4.869	$	3.98
Number of accumulation units outstanding at end of period (000’s omitted)		N/A		N/A		N/A		N/A		N/A		N/A		—		—		—
SVS Focus Value + Growth Subaccount
Accumulation unit value at beginning of period*		N/A		N/A		N/A		N/A		N/A	$	1.588	$	1.454	$	1.118	$	1.538
Accumulation unit value at end of period+		N/A		N/A		N/A		N/A		N/A		N/A	$	1.588	$	1.454	$	1.118
Number of accumulation units outstanding at end of period (000’s omitted)		N/A		N/A		N/A		N/A		N/A		N/A		—		—		—

B-49

Additional Contract Options Elected (0.65%)

Guaranteed Minimum Death Benefit, Earnings Based Death Benefit and Guaranteed Retirement Income Benefit—10 year

(Separate Account Charges of 1.95% of the Daily Net Assets of the Separate Account)

Tax Nonqualified Periodic Payment Contracts—1.95%

Subaccount	2010		2009		2008		2007		2006		2005		2004		2003		2002
Alger Large Cap Growth Subaccount (formerly Alger American LargeCap Growth Subaccount)(formerly Alger American Growth Subaccount)
Accumulation unit value at beginning of period*	$	47.423	$	32.762	$	62.035	$	52.733	$	51.126	$	46.522	$	44.96	$	33.912	$	51.597
Accumulation unit value at end of period	$	52.744	$	47.423	$	32.762	$	62.035	$	52.733	$	51.126	$	46.522	$	4.96	$	33.912
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		—
Alger Small Cap Subaccount (formerly Alger American Small Cap Subaccount)
Accumulation unit value at beginning of period*	$	28.604	$	19.223	$	47.064	$	36.475	$	33.761	$	31.338	$	28.265	$	19.497	$	28.212
Accumulation unit value at end of period	$	33.496	$	28.604	$	19.223	$	47.064	$	36.475	$	33.761	$	31.338	$	28.265	$	19.497
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		—
Alger Small Capitalization Subaccount (formerly Alger American Small Capitalization Subaccount)
Accumulation unit value at beginning of period*	$	41.832	$	29.310	$	55.962	$	48.668	$	41.34	$	36.056	$	31.536	$	22.586	$	31.213
Accumulation unit value at end of period	$	51.412	$	41.832	$	29.310	$	55.962	$	48.668	$	41.34	$	36.056	$	31.536	$	22.586
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		—
American Century VP Income & Growth Subaccount
Accumulation unit value at beginning of period*	$	6.036	$	5.211	$	8.122	$	8.287	$	7.215	$	7.03	$	6.343	$	4.999	$	6.321
Accumulation unit value at end of period	$	6.758	$	6.036	$	5.211	$	8.122	$	8.287	$	7.215	$	7.03	$	6.343	$	4.999
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		—
American Century VP Value Subaccount
Accumulation unit value at beginning of period*	$	8.762	$	7.452	$	10.376	$	11.153	$	9.582	$	9.3	$	8.293	$	6.556	$	7.65
Accumulation unit value at end of period	$	9.748	$	8.762	$	7.452	$	10.376	$	11.153	$	9.582	$	9.3	$	8.293	$	6.556
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		—
Credit Suisse Trust International Equity Flex III Subaccount (formerly Credit Suisse Trust-Emerging Markets Subaccount)
Accumulation unit value at beginning of period*	$	16.898	$	11.363	$	25.632	$	20.191	$	15.533	$	12.378	$	10.101	$	7.207	$	8.309
Accumulation unit value at end of period	$	18.603	$	16.898	$	11.363	$	25.632	$	20.191	$	15.533	$	12.378	$	10.101	$	7.207
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		—
Dreyfus IP MidCap Stock Subaccount
Accumulation unit value at beginning of period**	$	12.246	$	9.225	$	15.794	$	15.883	$	15.038	$	14.073	$	12.56	$	10		N/A
Accumulation unit value at end of period	$	15.248	$	12.246	$	9.225	$	15.794	$	15.883	$	15.038	$	14.073	$	12.56		N/A
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		N/A
Dreyfus Socially Responsible Growth Subaccount
Accumulation unit value at beginning of period*	$	23.409	$	17.843	$	27.741	$	26.242	$	24.498	$	24.103	$	23.137	$	18.72	$	26.861
Accumulation unit value at end of period	$	26.363	$	23.409	$	17.843	$	27.741	$	26.242	$	24.498	$	24.103	$	23.137	$	18.72
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		—
Dreyfus VIF Small Company Stock Subaccount*
Accumulation unit value at beginning of period**		N/A		N/A		N/A	$	16.911	$	15.539	$	15.719	$	13.561	$	10		N/A
Accumulation unit value at end of period		N/A		N/A		N/A		N/A	$	16.911	$	15.539	$	15.719	$	13.561		N/A
Number of accumulation units outstanding at end of period (000’s omitted)		N/A		N/A		N/A		N/A		—		—		—		—		N/A
DWS Bond VIP Subaccount (formerly Scudder Bond Subaccount)
Accumulation unit value at beginning of period*	$	7.663	$	7.098	$	8.695	$	8.510	$	8.285	$	8.232	$	7.964	$	7.728	$	7.318
Accumulation unit value at end of period	$	8.027	$	7.663	$	7.098	$	8.695	$	8.51	$	8.285	$	8.232	$	7.964	$	7.728
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		—
DWS Capital Growth VIP Subaccount (formerly Scudder Capital Growth Subaccount)
Accumulation unit value at beginning of period*	$	19.212	$	15.438	$	23.486	$	21.269	$	19.978	$	18.693	$	17.649	$	14.18	$	20.415
Accumulation unit value at end of period	$	21.993	$	19.212	$	15.438	$	23.486	$	21.269	$	19.978	$	18.693	$	17.649	$	14.18
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		—
DWS Growth & Income VIP Subaccount (formerly Scudder Growth and Income Subaccount)
Accumulation unit value at beginning of period****	$	9.784	$	7.436	$	12.290	$	12.363	$	11.092	$	10		N/A		N/A		N/A
Accumulation unit value at end of period	$	10.979	$	9.784	$	7.436	$	12.290	$	12.363	$	11.092		N/A		N/A		N/A
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		N/A		N/A		N/A
DWS International VIP Subaccount (formerly Scudder International Subaccount)
Accumulation unit value at beginning of period*	$	12.816	$	9.786	$	19.266	$	17.143	$	13.88	$	12.18	$	10.657	$	8.504	$	0.621
Accumulation unit value at end of period	$	12.775	$	12.816	$	9.786	$	19.266	$	17.143	$	13.88	$	12.18	$	10.657	$	8.504
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		—
DWS Balanced VIP Subaccount (formerly Scudder Total Return Subaccount
Accumulation unit value at beginning of period	$	6.557	$	5.416	$	7.599	$	7.390	$	6.834	$	6.679	$	6.377	$	5.512	$	6.625
Accumulation unit value at end of period	$	7.154	$	6.557	$	5.416	$	7.599	$	7.39	$	6.834	$	6.679	$	6.377	$	5.512
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		—
DWS Core Fixed Income VIP Subaccount (formerly Scudder Fixed Income Subaccount)
Accumulation unit value at beginning of period*	$	1.263	$	1.195	$	1.511	$	1.479	$	1.446	$	1.441	$	1.406	$	1.363	$	1.287
Accumulation unit value at end of period	$	1.319	$	1.263	$	1.195	$	1.511	$	1.479	$	1.446	$	1.441	$	1.406	$	1.363
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		—
DWS Diversified International Equity VIP Subaccount (formerly DWS International Select Equity VIP Subaccount)
Accumulation unit value at beginning of period*	$	1.955	$	1.541	$	3.069	$	2.681	$	2.177	$	1.938	$	1.671	$	1.312	$	1.546
Accumulation unit value at end of period	$	2.127	$	1.955	$	1.541	$	3.069	$	2.681	$	2.177	$	1.938	$	1.671	$	1.312
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		—
DWS Dreman Small Mid Cap Value VIP (formerly DWS Dreman Small Cap Value VIP Subaccount)
Accumulation unit value at beginning of period*	$	2.144	$	1.685	$	2.580	$	2.553	$	2.081	$	1.924	$	1.557	$	1.117	$	1.285
Accumulation unit value at end of period	$	2.588	$	2.144	$	1.685	$	2.580	$	2.553	$	2.081	$	1.924	$	1.557	$	1.117
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		—
DWS Government & Agency Securities VIP Subaccount (formerly Scudder Government & Agency Securities Subaccount)
Accumulation unit value at beginning of period*	$	2.587	$	2.440	$	2.371	$	2.281	$	2.233	$	2.219	$	2.181	$	2.174	$	2.051
Accumulation unit value at end of period	$	2.705	$	2.587	$	2.440	$	2.371	$	2.281	$	2.233	$	2.219	$	2.181	$	2.174
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		—
DWS High Income VIP Subaccount (formerly Scudder High Income Subaccount)
Accumulation unit value at beginning of period*	$	8.015	$	5.837	$	7.824	$	7.902	$	7.292	$	7.155	$	6.489	$	5.309	$	5.429
Accumulation unit value at end of period	$	8.962	$	8.015	$	5.837	$	7.824	$	7.902	$	7.292	$	7.155	$	6.489	$	5.309
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		—

B-50

Subaccount	2010		2009		2008		2007		2006		2005		2004		2003		2002
DWS Large Cap Value VIP Subaccount (formerly Scudder Large Cap Value Subaccount)
Accumulation unit value at beginning of period*	$	2.030	$	1.651	$	2.646	$	2.385	$	2.106	$	2.106	$	1.951	$	1.5	$	1.798
Accumulation unit value at end of period	$	2.206	$	2.030	$	1.651	$	2.646	$	2.385	$	2.106	$	2.106	$	1.951	$	1.5
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		—
DWS Money Market VIP Subaccount (formerly Scudder Money Market Subaccount
Accumulation unit value at beginning of period*	$	2.700	$	2.743	$	2.725	$	2.646	$	2.578	$	2.556	$	2.582	$	2.614	$	2.629
Accumulation unit value at end of period	$	2.648	$	2.700	$	2.743	$	2.725	$	2.646	$	2.578	$	2.556	$	2.582	$	2.614
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		—
DWS Small Mid-Cap Growth VIP Subaccount (formerly DWS Small Cap Growth Subaccount)
Accumulation unit value at beginning of period*	$	1.521	$	1.103	$	2.227	$	2.138	$	2.07	$	1.971	$	1.81	$	1.388	$	2.127
Accumulation unit value at end of period	$	1.931	$	1.521	$	1.103	$	2.227	$	2.138	$	2.07	$	1.971	$	1.81	$	1.388
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		—
DWS Technology VIP Subaccount (formerly Scudder Technology Growth Subaccount)*
Accumulation unit value at beginning of period*	$	0.786	$	0.500	$	0.948	$	0.845	$	0.855	$	0.84	$	0.841	$	0.585	$	0.924
Accumulation unit value at end of period	$	0.915	$	0.786	$	0.500	$	0.948	$	0.845	$	0.855	$	0.84	$	0.841	$	0.585
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		—
Fidelity VIP Asset ManagerSM Subaccount
Accumulation unit value at beginning of period*	$	25.778	$	20.355	$	29.113	$	25.699	$	24.413	$	23.92	$	23.123	$	19.982	$	22.32
Accumulation unit value at end of period	$	28.892	$	25.778	$	20.355	$	29.113	$	25.699	$	24.413	$	23.92	$	23.123	$	19.982
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		—
Fidelity VIP Contrafund® Subaccount
Accumulation unit value at beginning of period*	$	34.857	$	26.186	$	46.442	$	40.269	$	36.746	$	32.035	$	28.283	$	22.446	$	25.244
Accumulation unit value at end of period	$	40.078	$	34.857	$	26.186	$	46.442	$	40.269	$	36.746	$	32.035	$	28.283	$	22.446
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		—
Fidelity VIP Equity-Income Subaccount
Accumulation unit value at beginning of period*	$	30.504	$	23.884	$	42.463	$	42.643	$	36.169	$	34.829	$	31.839	$	24.905	$	30.573
Accumulation unit value at end of period	$	34.454	$	30.504	$	23.884	$	42.463	$	42.643	$	36.169	$	34.829	$	31.839	$	24.905
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		—
Fidelity VIP Growth Subaccount
Accumulation unit value at beginning of period*	$	40.112	$	31.877	$	61.516	$	49.401	$	47.133	$	45.416	$	44.791	$	34.373	$	50.139
Accumulation unit value at end of period	$	48.857	$	40.112	$	31.877	$	61.516	$	49.401	$	47.133	$	45.416	$	44.791	$	34.373
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		—
Fidelity VIP Index 500 Subaccount
Accumulation unit value at beginning of period*	$	130.607	$	105.172	$	170.196	$	164.581	$	144.978	$	140.995	$	129.957	$	103.177	$	135.293
Accumulation unit value at end of period	$	147.357	$	130.607	$	105.172	$	170.196	$	164.581	$	144.978	$	140.995	$	129.957	$	103.177
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		—
Franklin Rising Dividends Securities Subaccount
Accumulation unit value at beginning of period**	$	12.088	$	10.502	$	14.688	$	15.390	$	13.395	$	13.203	$	12.128	$	10		N/A
Accumulation unit value at end of period	$	14.305	$	12.088	$	10.502	$	14.688	$	15.39	$	13.395	$	13.203	$	12.128		N/A
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		N/A
Franklin Small Cap Value Securities Subaccount
Accumulation unit value at beginning of period**	$	15.591	$	12.307	$	18.732	$	19.565	$	17.05	$	15.981	$	13.167	$	10		N/A
Accumulation unit value at end of period	$	19.609	$	15.591	$	12.307	$	18.732	$	19.565	$	17.05	$	15.981	$	13.167		N/A
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		N/A
Franklin Strategic Income Securities Subaccount
Accumulation unit value at beginning of period**	$	13.779	$	11.171	$	12.830	$	12.352	$	11.633	$	11.689	$	10.854	$	10		N/A
Accumulation unit value at end of period	$	14.990	$	13.779	$	11.171	$	12.830	$	12.352	$	11.633	$	11.689	$	10.854		N/A
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		N/A
Franklin U.S. Government Subaccount
Accumulation unit value at beginning of period**	$	11.557	$	11.429	$	10.830	$	10.358	$	10.151	$	10.106	$	9.957	$	10		N/A
Accumulation unit value at end of period	$	11.935	$	11.557	$	11.429	$	10.830	$	10.358	$	10.151	$	10.106	$	9.957		N/A
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		N/A
Franklin Zero Coupon 2010 Subaccount
Accumulation unit value at beginning of period**	$	11.167	$	11.367	$	10.807	$	10.164	$	10.12	$	10.182	$	9.938	$	10		N/A
Accumulation unit value at end of period		N/A	$	11.167	$	11.367	$	10.807	$	10.164	$	10.12	$	10.182	$	9.938		N/A
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		N/A
Mutal Global Discovery Securities Subaccount (formerly Mutual Discovery Securities Subaccount)
Accumulation unit value at beginning of period**	$	18.307	$	15.135	$	21.567	$	19.661	$	16.288	$	14.318	$	12.351	$	10		N/A
Accumulation unit value at end of period	$	20.104	$	18.307	$	15.135	$	21.567	$	19.661	$	16.288	$	14.318	$	12.351		N/A
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		N/A
Mutual Shares Securities Subaccount
Accumulation unit value at beginning of period**	$	12.865	$	10.405	$	16.868	$	16.620	$	14.313	$	13.198	$	11.947	$	10		N/A
Accumulation unit value at end of period	$	14.031	$	12.865	$	10.405	$	16.868	$	16.62	$	14.313	$	13.198	$	11.947		N/A
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		N/A
Templeton Developing Markets Securities Subaccount
Accumulation unit value at beginning of period**	$	27.491	$	16.239	$	35.007	$	27.715	$	22.058	$	17.647	$	14.427	$	10		N/A
Accumulation unit value at end of period	$	31.708	$	27.491	$	16.239	$	35.007	$	27.715	$	22.058	$	17.647	$	14.427		N/A
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		N/A
ING JPMorgan Emerging Markets Equity Subaccount
Accumulation unit value at beginning of period+++	$	21.534	$	12.763	$	26.638	$	19.567	$	14.648	$	10		N/A		N/A		N/A
Accumulation unit value at end of period	$	25.480	$	21.534	$	12.763	$	26.638	$	19.567	$	14.648		N/A		N/A		N/A
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		N/A		N/A		N/A
ING VP Emerging Markets Subaccount
Accumulation unit value at beginning of period*		N/A		N/A		N/A		N/A		N/A	$	7.999	$	6.701	$	4.641	$	5.218
Accumulation unit value at end of period++		N/A		N/A		N/A		N/A		N/A		N/A	$	7.999	$	6.701	$	4.641
Number of accumulation units outstanding at end of period (000’s omitted)		N/A		N/A		N/A		N/A		N/A		N/A		—		—		—
ING VP Natural Resources Trust Subaccount
Accumulation unit value at beginning of period*		N/A		N/A		N/A	$	29.444	$	24.658	$	17.597	$	15.924	$	12.438	$	12.952
Accumulation unit value at end of period		N/A		N/A		N/A		N/A	$	29.444	$	24.658	$	17.597	$	15.924	$	12.438
Number of accumulation units outstanding at end of period (000’s omitted)		N/A		N/A		N/A		N/A		—		—		—		—		—
ING VP Global Resources Portfolio Subaccount
Accumulation unit value at beginning of period*	$	11.048	$	8.191	$	14.154		N/A		N/A		N/A		N/A		N/A		N/A
Accumulation unit value at end of period	$	13.182	$	11.048	$	8.191	$	14.154		N/A		N/A		N/A		N/A		N/A
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		N/A		N/A		N/A		N/A		N/A
Invesco V.I. Financial Services Subaccount (formerly AIM V.I. Financial Services Subaccount)
Accumulation unit value at beginning of period**	$	5.842	$	4.674	$	11.750	$	15.402	$	13.485	$	12.98	$	12.177	$	10		N/A
Accumulation unit value at end of period	$	6.321	$	5.842	$	4.674	$	11.750	$	15.402	$	13.485	$	12.98	$	12.177		N/A
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		N/A
Invesco V.I. Global Health Care Subaccount (formerly AIM V.I. Global Health Care Subaccount )
Accumulation unit value at beginning of period**	$	13.113	$	10.471	$	14.956	$	13.633	$	13.207	$	12.449	$	11.799	$	10		N/A
Accumulation unit value at end of period	$	13.543	$	13.113	$	10.471	$	14.956	$	13.633	$	13.207	$	12.449	$	11.799		N/A
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		N/A
Invesco V.I. Real Estate Subaccount (formerly AIM V.I. Real Estate Subaccount)
Accumulation unit value at beginning of period**	$	17.759	$	13.765	$	25.355	$	27.368	$	19.565	$	17.46	$	13.033	$	10		N/A
Accumulation unit value at end of period	$	20.470	$	17.759	$	13.765	$	25.355	$	27.368	$	19.565	$	17.46	$	13.033		N/A
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		N/A
Invesco V.I. Utilities Subaccount (formerly AIM V.I. Utilities Subaccount)
Accumulation unit value at beginning of period**	$	17.638	$	15.646	$	23.581	$	19.929	$	16.194	$	14.13	$	11.659	$	10		N/A
Accumulation unit value at end of period	$	18.391	$	17.638	$	15.646	$	23.581	$	19.929	$	16.194	$	14.13	$	11.659		N/A
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		N/A
JPMorgan Insurance Trust Equity Index Subaccount (formerly JPMorgan Investment Trust Equity Index Subaccount)
Accumulation unit value at beginning of period***	$	10.086	$	8.132	$	13.204	$	12.810	$	11.314	$	11.042	$	10.225		N/A		N/A
Accumulation unit value at end of period	$	11.318	$	10.086	$	8.132	$	13.204	$	12.81	$	11.314	$	11.042		N/A		N/A
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		N/A		N/A

B-51

Subaccount	2010		2009		2008		2007		2006		2005		2004		2003		2002
JPMorgan Insurance Trust U.S. Equity Subaccount (JPMorgan Insurance Trust Diversified Equity Subaccount (formerly JPMorgan Investment Trust Diversified Equity Subaccount)
Accumulation unit value at beginning of period***	$	11.135	$	8.492	$	13.279	$	12.258	$	10.759	$	10.719	$	10.036		N/A		N/A
Accumulation unit value at end of period	$	12.405	$	11.135	$	8.492	$	13.279	$	12.258	$	10.759	$	10.719		N/A		N/A
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		N/A		N/A
JPMorgan Insurance Trust Diversified Mid Cap Growth Subaccount (formerly JPMorgan Investment Trust Mid Cap Growth Subaccount)
Accumulation unit value at beginning of period***	$	11.819	$	8.424	$	15.278	$	13.287	$	12.161	$	11.159	$	10.382		N/A		N/A
Accumulation unit value at end of period	$	14.565	$	11.819	$	8.424	$	15.278	$	13.287	$	12.161	$	11.159		N/A		N/A
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		N/A		N/A
JPMorgan Insurance Trust Intrepid Mid Cap Subaccount (formerly JPMorgan Investment Trust Diversified Mid Cap Subaccount)
Accumulation unit value at beginning of period***	$	11.769	$	8.845	$	14.738	$	14.608	$	13.05	$	11.361	$	10.077		N/A		N/A
Accumulation unit value at end of period	$	13.798	$	11.769	$	8.845	$	14.738	$	14.608	$	13.05	$	11.361		N/A		N/A
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		N/A		N/A

B-52

Subaccount	2010		2009		2008		2007		2006		2005		2004		2003		2002
JPMorgan Insurance Trust Diversified Mid Cap Value Subaccount (formerly JPMorgan Investment Trust Mid Cap Value Subaccount)
Accumulation unit value at beginning of period***	$	11.108	$	8.854	$	13.993	$	14.137	$	12.348	$	11.469	$	10.258		N/A		N/A
Accumulation unit value at end of period	$	13.451	$	11.108	$	8.854	$	13.993	$	14.137	$	12.348	$	11.469		N/A		N/A
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		N/A		N/A
JPMorgan Insurance Trust International Equity Subaccount
Accumulation unit value at beginning of period***	$	16.277		N/A		N/A		N/A		N/A		N/A		N/A		N/A		N/A
Accumulation unit value at end of period	$	17.109	$	16.277		N/A		N/A		N/A		N/A		N/A		N/A		N/A
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		N/A		N/A		N/A		N/A		N/A		N/A		N/A
JPMorgan Insurance Trust Small Cap Core Subaccount
Accumulation unit value at beginning of period***	$	14.608		N/A		N/A		N/A		N/A		N/A		N/A		N/A		N/A
Accumulation unit value at end of period	$	18.216	$	14.608		N/A		N/A		N/A		N/A		N/A		N/A		N/A
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		N/A		N/A		N/A		N/A		N/A		N/A		N/A
JPMorgan International Equity Subaccount
Accumulation unit value at beginning of period**		N/A	$	12.300	$	21.383	$	19.942	$	16.658	$	15.342	$	13.214	$	10		N/A
Accumulation unit value at end of period		N/A		N/A	$	12.300	$	21.383	$	19.942	$	16.658	$	15.342	$	13.214		N/A
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		N/A
JPMorgan Mid Cap Value Subaccount
Accumulation unit value at beginning of period**		N/A	$	11.776	$	17.975	$	17.889	$	15.608	$	14.57	$	12.27	$	10		N/A
Accumulation unit value at end of period		N/A		N/A	$	11.776	$	17.975	$	17.889	$	15.608	$	14.57	$	12.27		N/A
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		N/A
JPMorgan Small Company Subaccount
Accumulation unit value at beginning of period*		N/A	$	12.150	$	18.213	$	19.686	$	17.451	$	17.202	$	13.791	$	10.34	$	13.455
Accumulation unit value at end of period		N/A		N/A	$	12.150	$	18.213	$	19.686	$	17.451	$	17.202	$	13.791	$	10.34
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		0		—		—
Janus Aspen Balanced Subaccount
Accumulation unit value at beginning of period*	$	37.753	$	30.574	$	37.037	$	34.164	$	31.456	$	29.706	$	27.907	$	24.946	$	27.185
Accumulation unit value at end of period	$	40.136	$	37.753	$	30.574	$	37.037	$	34.164	$	31.456	$	29.706	$	27.907	$	24.946
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		—
Janus Aspen Enterprise Subaccount (formerly Janus Aspen Mid Cap Growth Subaccount)
Accumulation unit value at beginning of period*	$	30.710	$	21.619	$	39.165	$	32.721	$	29.361	$	26.652	$	22.504	$	16.981	$	24.024
Accumulation unit value at end of period	$	37.910	$	30.710	$	21.619	$	39.165	$	32.721	$	29.361	$	26.652	$	22.504	$	16.981
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		—
Janus Aspen Janus Subaccount (formerly Janus Aspen Large Cap Growth Subaccount)
Accumulation unit value at beginning of period*	$	21.937	$	16.402	$	27.741	$	24.576	$	22.495	$	21.989	$	21.45	$	16.6	$	23.03
Accumulation unit value at end of period	$	24.641	$	21.937	$	16.402	$	27.741	$	24.576	$	22.495	$	21.989	$	21.45	$	16.6
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		—
Janus Aspen Mid Cap Value
Accumulation unit value at beginning of period**	$	18.184	$	13.947	$	19.721	$	18.762	$	16.622	$	15.405	$	13.333	$	10		N/A
Accumulation unit value at end of period	$	20.576	$	18.184	$	13.947	$	19.721	$	18.762	$	16.622	$	15.405	$	13.386		N/A
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		N/A
Janus Aspen Small Company Value
Accumulation unit value at beginning of period**		N/A	$	10.882	$	17.314	$	18.803	$	15.728	$	15.503	$	13.386	$	10		N/A
Accumulation unit value at end of period		N/A		N/A	$	10.882	$	17.314	$	18.803	$	15.728	$	15.503	$	13.386		N/A
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		N/A
Janus Aspen Worldwide Subaccount (formerly Janus Aspen Worldwide Growth Subaccount)
Accumulation unit value at beginning of period*	$	26.783	$	19.829	$	36.534	$	33.979	$	29.305	$	28.22	$	27.459	$	22.578	$	30.898
Accumulation unit value at end of period	$	30.431	$	26.783	$	19.829	$	36.534	$	33.979	$	29.305	$	28.22	$	27.459	$	22.578
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		—
Oppenheimer Capital Appreciation Subaccount
Accumulation unit value at beginning of period**	$	11.732	$	8.297	$	15.569	$	13.942	$	13.199	$	12.832	$	12.271	$	10		N/A
Accumulation unit value at end of period	$	12.560	$	11.732	$	8.297	$	15.569	$	13.942	$	13.199	$	12.832	$	12.271		N/A
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		N/A
Oppenheimer Global Securities Subaccount
Accumulation unit value at beginning of period**	$	17.621	$	12.891	$	22.027	$	21.171	$	18.39	$	16.436	$	14.096	$	10		N/A
Accumulation unit value at end of period	$	19.998	$	17.621	$	12.891	$	22.027	$	21.171	$	18.39	$	16.436	$	14.096		N/A
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		N/A
Oppenheimer High Income Subaccount
Accumulation unit value at beginning of period**	$	3.196	$	2.587	$	12.309	$	12.609	$	11.769	$	11.762	$	11.029	$	10		N/A
Accumulation unit value at end of period	$	3.587	$	3.196	$	2.587	$	12.309	$	12.609	$	11.769	$	11.762	$	11.029		N/A
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		N/A
Oppenheimer Main Street Subaccount
Accumulation unit value at beginning of period**	$	11.634	$	9.266	$	15.393	$	15.069	$	13.387	$	12.906	$	12.056	$	10		N/A
Accumulation unit value at end of period	$	13.217	$	11.634	$	9.266	$	15.393	$	15.069	$	13.387	$	12.906	$	12.056		N/A
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		N/A
Oppenheimer Main Street Small Cap Subaccount
Accumulation unit value at beginning of period**	$	15.268	$	11.371	$	18.701	$	19.336	$	17.192	$	15.975	$	13.666	$	10		N/A
Accumulation unit value at end of period	$	18.429	$	15.268	$	11.371	$	18.701	$	19.336	$	17.192	$	15.975	$	13.666		N/A
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		N/A
Oppenheimer Small- & Mid-Cap Growth Subaccount (formerly Oppenheimer MidCap Growth Subaccount) (formerly Oppenheimer Aggressive Growth Subaccount)
Accumulation unit value at beginning of period**	$	10.424	$	8.035	$	16.130	$	15.510	$	15.395	$	14.015	$	11.964	$	10		N/A
Accumulation unit value at end of period	$	13.002	$	10.424	$	8.035	$	16.130	$	15.51	$	15.395	$	14.015	$	11.964		N/A
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		N/A
Oppenheimer Global Strategic Income Subaccount (formerly Oppenheimer Strategic Bond Subaccount)
Accumulation unit value at beginning of period**	$	12.684	$	10.921	$	13.020	$	12.117	$	11.52	$	11.46	$	10.775	$	10		N/A
Accumulation unit value at end of period	$	14.279	$	12.684	$	10.921	$	13.020	$	12.117	$	11.52	$	11.46	$	10.775		N/A
Number of accumulation units outstanding at end of period (000’s omitted)		—		—		—		—		—		—		—		—		N/A
Scudder Growth Subaccount
Accumulation unit value at beginning of period*		N/A		N/A		N/A		N/A		N/A	$	5.014	$	4.862	$	3.975	$	5.74
Accumulation unit value at end of period+		N/A		N/A		N/A		N/A		N/A		N/A	$	5.014	$	4.862	$	3.975
Number of accumulation units outstanding at end of period (000’s omitted)		N/A		N/A		N/A		N/A		N/A		N/A		—		—		—
SVS Focus Value + Growth Subaccount
Accumulation unit value at beginning of period*		N/A		N/A		N/A		N/A		N/A	$	1.588	$	1.454	$	1.118	$	1.538
Accumulation unit value at end of period+		N/A		N/A		N/A		N/A		N/A		N/A	$	1.588	$	1.454	$	1.118
Number of accumulation units outstanding at end of period (000’s omitted)		N/A		N/A		N/A		N/A		N/A		N/A		—		—		—

B-53

* Commencement of Offering October 1, 2001.

** Commencement of Offering May 1, 2003.

*** Commencement of Offering May 3, 2004.

**** Commencement of Offering May 2, 2005.

+ Cessation of Operations April 29, 2005

++ Cessation of Operations December 2, 2005

+++ Commencement of Offering December 3, 2005

† Cessation of Operations on April 30, 2007.

Effective May 1, 2009, JPMorgan International Equity subaccount merged into the JPMorgan Insurance Trust International Equity subaccount.

Effective May 1, 2009, JPMorgan Mid Cap Value subaccount merged into the JPMorgan Insurance Trust Mid Cap Value subaccount.

Effective May 1, 2009, JPMorgan Small Company merged into the JPMorgan Insurance Trust Small Cap Core subaccount.

B-54

PART C

OTHER INFORMATION

Item 24. Financial Statements and Exhibits

(a) Financial Statements to be included in Part B:

All required financial statements are included in Part B of this registration statement.

(b) Exhibits:

51.1	A copy of resolution of the Board of Directors of Kemper Investors Life Insurance Company dated September 13, 1977.
51.2	A copy of Record of Action of Kemper Investors Life Insurance Company dated April 15, 1983.

2.	Not Applicable.
33.1a	Distribution Agreement between Investors Brokerage Services, Inc. and KILICO.
273.1b	Limited Principal Underwriter Agreement dated November 10, 2010 by and between Zurich American Life Insurance Company and Investment Distributors, Inc.
13.2	Addendum to Selling Group Agreement of Kemper Financial Services, Inc.
63.3a	Selling Group Agreement of Investors Brokerage Services, Inc.
63.4	General Agent Agreement.
74.	Form of Variable Annuity Contract.
194.1	Form of Guaranteed Minimum Death Benefit Rider.
194.2	Form of Earnings Based Death Benefit Rider.
194.3	Form of Guaranteed Retirement Income Benefit Rider.
75.	Form of Application.
276.1a	Kemper Investors Life Insurance Company Articles of Incorporation.
36.1b	Zurich American Life Insurance Company Articles of Incorporation.
276.2a	Kemper Investors Life Insurance Company Bylaws.
66.2b	Zurich American Life Insurance Company Bylaws.
237.	Coinsurance Agreement between KILICO and Chase Insurance Life and Annuity Company (formerly known as Federal Kemper Life Assurance Company).
28.1	Fund Participation Agreement among KILICO, Lexington Natural Resources Trust and Lexington Management Corporation (now known as ING Investors Trust).
28.2	Fund Participation Agreement among KILICO, Lexington Emerging Markets Fund and Lexington Management Corporation (now known as ING Investors Trust).
28.3	Fund Participation Agreement among KILICO, Janus Aspen Series and Janus Capital Management LLC.
78.3(a)	Service Agreement between KILICO and Janus Capital Management LLC.
48.4(a)	Fund Participation Agreement among KILICO, Fidelity Variable Insurance Products Fund and Fidelity Distributors Corporation.
208.4(b)	Second Amendment to Fund Participation Agreement among KILICO, Fidelity Variable Insurance Products Fund and Fidelity Distributors Corporation.
138.4(c)	Third Amendment to Fund Participation Agreement among KILICO, Fidelity Variable Insurance Products Fund and Fidelity Distributors Corporation.
48.5(a)	Fund Participation Agreement among KILICO, Fidelity Variable Insurance Products Fund II and Fidelity Distributors Corporation.
208.5(b)	Second Amendment to Fund Participation Agreement among KILICO, Fidelity Variable Insurance Products Fund II and Fidelity Distributors Corporation.
108.6(a)	Participation Agreement between KILICO and Scudder Variable Life Investment Fund (now known as DWS Variable Series I).
108.6(b)	Participating Contract and Policy Agreement between KILICO and Scudder Kemper Investments, Inc.
108.6(c)	Indemnification Agreement between KILICO and Scudder Kemper Investments, Inc.
298.6(f)	Amendment to Participation Agreement Dated as of June 26, 1998, Between Zurich American Life Insurance Company and DWS Variable Series I (formerly, Scudder Variable Life Investment Fund and Scudder Variable Series I), dated April 11, 2011.

158.7(a)	Fund Participation Agreement between KILICO and The Dreyfus Socially Responsible Growth Fund, Inc.
168.7(b)	Administrative Services Agreement by and between The Dreyfus Corporation and KILICO (redacted).
168.7(c)	November 1, 1999 Amendment to Fund Participation Agreement between KILICO and The Dreyfus Socially Responsible Growth Fund, Inc.
168.7(d)	November 1, 1999 Amendment to Administrative Services Agreement by and between The Dreyfus Corporation and KILICO (redacted).
298.7(e)	Amendment No. 2 to Fund Participation Agreement Dated April 27, 1999, Between Zurich American Life Insurance Company, The Dreyfus Socially Responsible Growth Fund, Inc., Dreyfus Investment Portfolios, Dreyfus Variable Investment Fund, and Dreyfus Life and Annuity Index Fund, Inc. (d/b/a Dreyfus Stock Index Fund), dated April 8, 2011.
188.8	Fund Participation Agreement between KILICO and J.P. Morgan Series Trust II.
168.9(a)	Fund Participation Agreement by and among The Alger American Fund, ZALICO and Fred Alger & Company, Incorporated.
168.9(b)	Service Agreement between Fred Alger Management, Inc. and KILICO (redacted).
298.9(c)	Amendment No. 1 to Participation Agreement Dated May 1, 1999, Between Zurich American Life Insurance Company, The Alger Portfolios (formerly The Alger American Fund), and Fred Alger & Company Incorporated, dated April 1, 2011.
148.10	Fund Participation Agreement by and between KILICO and American Century Investment Management, Inc.
178.11	Fund Participation Agreement among KILICO, Zurich American Fund (now known as DWS Variable Series II), Zurich Kemper Investments, Inc. and Kemper Distributors, Inc.
228.12	Participation Agreement among Franklin Templeton Variable Insurance Products Trust, Franklin Templeton Distributors, Inc. and Zurich American Life Insurance Company.
248.13(a)	Participation Agreement by and among Kemper Investors Life Insurance Company, INVESCO Variable Investment Funds, Inc. (now known as AIM Variable Insurance Funds), INVESCO Funds Group, Inc. and INVESCO Distributors, Inc.
248.13(b)	Administrative Services Agreement by and between INVESCO Funds Group, Inc., INVESCO Variable Investment Funds, Inc. (now known as AIM Variable Insurance Funds) and Kemper Investors Life Insurance Company
298.13(c)	Amendment No. 1 to the Participation Agreement Dated April 30, 2004, Between Kemper Investors Life Insurance Company, AIM Variable Insurance Funds, and AIM Distributors, Inc., dated May 28, 2008.
298.13(d)	Amendment No. 2 to the Participation Agreement Dated April 30, 2004, Between Kemper Investors Life Insurance Company, AIM Variable Insurance Funds, and AIM Distributors, Inc., dated April 30, 2010.
298.13(e)	Form of Amendment No. 3 to Participation Agreement Dated April 30, 2004, Between Zurich American Life Insurance Company, AIM Variable Insurance Funds (Invesco Variable Insurance Funds), and Invesco Distributors, Inc.
248.14(a)	Form of Fund Participation Agreement between KILICO and One Group Investment Trust (now known as JPMorgan Investment Trust).
248.14(b)	Form of Supplemental Payment Agreement (redacted)
268.15	Form of Rule 22c-2 Shareholder Information Agreement
89	Opinion and Consent of Counsel.
2710.	Consent of PricewaterhouseCoopers LLP, Independent Accountants.
1111.1	Schedule III: Supplementary Insurance Information (years ended December 31, 2004 and 2003.
1111.2	Schedule IV: Reinsurance (year ended December 31, 2004).
1211.3	Schedule IV: Reinsurance (year ended December 31, 2003).

1111.4	Schedule V: Valuation and qualifying accounts (year ended December 31, 2004).
1211.5	Schedule V: Valuation and qualifying accounts (year ended December 31, 2003).
12.	Not Applicable.
2414.	Organizational Charts
2815.1	Power of Attorney dated April 15, 2010
2715.2	Power of Attorney dated April 15, 2011

¹ Incorporated by reference to Post-Effective Amendment No. 22 to the Registration Statement on Form N-4 (File No. 2-72671) filed on or about April 27, 1995.

² Incorporated by reference to Post-Effective Amendment No. 23 to the Registration Statement on Form N-4 (File No. 2-72671) filed on or about September 14, 1995.

³ Incorporated by reference to Exhibits filed with the Registration Statement on Form S-1 for ZALICO (File No. 333-02491) filed on or about April 12, 1996.

⁴ Incorporated by reference to Post-Effective Amendment No. 24 to the Registration Statement on Form N-4 (File No. 2-72671) filed on or about April 26, 1996.

⁵ Incorporated by reference to the Registration Statement on Form N-4 (File No. 333-22375) filed on or about February 26, 1997.

⁶ Incorporated by reference to Amendment No. 2 to the Registration Statement on Form S-1 (File No. 333-02491) filed on or about April 23, 1997.

⁷ Incorporated by reference to Post-Effective Amendment No. 25 to the Registration Statement on Form N-4 (File No. 2-72671) filed on or about April 28, 1997.

⁸ Incorporated by reference to Post-Effective Amendment No. 32 to the Registration Statement on Form N-4 (File No. 2-72671) filed on or about March 2, 2001.

¹⁰ Incorporated by reference to Amendment No. 5 to the Registration Statement on Form S-1 (File No. 333-22389) filed on or about April 20, 1999.

¹¹ Incorporated by reference to Form 10-K for Kemper Investor Life Insurance Company for fiscal year ended December 31, 2004 filed on or about March 30, 2005.

¹² Incorporated by reference to Form 10-K for Kemper Investor Life Insurance Company for fiscal year ended December 31, 2003 filed on or about March 31, 2004.

¹³ Incorporated herein by reference to Pre-Effective Amendment No. 1 to the Registration Statement on Form S-6 (File No. 333-88845) filed on or about December 29, 1999.

¹⁴ Incorporated by reference to the Registration Statement on Form S-1 (File No. 333-32632) filed on or about March 16, 2000.

¹⁵ Incorporated by reference to Post-Effective Amendment No. 28 to the Registration Statement on Form N-4 (File No. 2-72671) filed on or about April 28, 1999.

¹⁶ Incorporated by reference to Amendment No. 6 to the Registration Statement on Form S-1 (File No. 333-22389) filed on or about April 17, 2000.

¹⁷ Incorporated by reference to Amendment No. 3 to the Registration Statement of ZALICO on Form S-1 (File No. 333-22389) filed on or about April 8, 1998.

¹⁸ Incorporated herein by reference to Post –Effective Amendment No. 29 to the Registration Statement on Form N-4 (File No. 2-72671) filed on or about April 26, 2000.

¹⁹ Incorporated herein by reference to Post-Effective Amendment No. 2 to the Registration Statement on Form N-4 (File No. 333-32840) filed on or about March 2, 2001.

²⁰ Incorporated herein by reference to Post-Effective Amendment No. 4 to the Registration Statement of the Registrant on Form S-6 filed on or about April 30, 1999 (File No. 333-35159).

²¹ Incorporated herein by reference to Post–Effective Amendment No. 33 to the Registration Statement on Form N-4 (File No. 2-72671) filed on or about April 27, 2001.

²² Incorporated by reference to Amendment No. 7 to the Registration Statement on Form S-1 (File No. 333-22389) filed on or about April 26, 2001.

²³ Incorporated by reference to Post-Effective Amendment No. 13 to the Registration Statement on Form N-4 (File No. 333-22375) filed on or about September 2, 2003.

²⁴ Incorporated herein by reference to Post-Effective Amendment No. 39 to the Registration Statement on Form N-4 (File No. 2-72671) filed on or about April 27, 2004.

²⁵  Incorporated by reference to Post-Effective Amendment No. 42 to the Registration Statement on Form N-4 (File No. 2-72671) filed on or about May 1, 2005.

²⁶  Incorporated by reference to Post-Effective Amendment No. 18 to the Registration Statement on Form N-4 (File No. 333-22375) filed on or about April 27, 2007.

²⁷  Filed herewith.

²⁸  Incorporated by reference to Post-Effective No. 46 to the Registration Statement on Form N-4 (File No. 2-72671) filed on April 30, 2010.

²⁹  Incorporated by referenced to Post-Effective No. 22 to the Registration Statement on Form N-4 (File 333-22375) filed on April 29, 2011.

Item 25. Directors and Officers of Zurich American Life Insurance Company (“ZALICO”)

The directors and officers of ZALICO are listed below together with their current positions.

Name	Office with ZALICO
Nicolas A. Burnet5	Director
David Dietz3	President and Chief Executive Officer
Jeffrey S. Horton3	Senior Vice President-Finance and Treasurer
Sherif Zakhary3	Vice President
Dennis Roberts6	Vice President
Dawn Cummings-Fritz2	Assistant Vice President
Margaret Labno2	Assistant Vice President
Richard Grilli4	Senior Vice President and Chief Operating Officer
Simon Lodge3	Senior Vice President and Chief Financial Officer
Michael DeStasi4	Assistant Vice President and Controller
Catherine Ehrlich3	Vice President, Chief Life Actuary and “Appointed Actuary”
Ali Rifai3	Senior Vice President, General Counsel and Corporate Secretary
Barry S. Paul2	Director and Assistant Treasurer
Richard J. Hauser2	Director and Assistant Treasurer
David M. Lorenz1	Vice President and Chief Compliance Officer
Richard Persaud4	Vice President and Chief Risk Officer
Michael Rohwetter3	Vice President and Chief Investment Officer
David Dampman7	Assistant Secretary
Craig Toffolo3	Assistant Secretary
Ryan Gibbons2	Assistant Secretary
Mary Lyn DeNiro3	Assistant Secretary
Jon Nagel3	Assistant Secretary
Michael Smiley3	Assistant Secretary

Juanita M. Thomas, Esq.³ serves as the Chief Compliance Officer for the Registrant.

¹  The principal business address is 3003 77^th Avenue, SE, Mercer Island, WA 98040.

²  The principal business address is 1400 American Lane, Schaumburg, IL 60196.

³  The principal business address is 105 E. 17^th Street, New York, NY 10003.

⁴  The principal business address is One Liberty Plaza, 165 Broadway, New York, NY 10006.

⁵  The principal business address is Mythenquai 2, 8022, Zurich, Switzerland.

⁶  The principal business address is 200 Sam Houston Parkway, Suite 1300, Houston, TX 77042.

⁷  The principal business address is 7045 College Blvd., Overland Park, KS 66211.

Item 26. Persons Controlled by or Under Common Control with the Insurance Company or Registrant

Organizations Affiliated with Zurich U.S. Insurance Group

Company	Domiciled	Ownership	%
Allied Zurich Holdings Limited	CI	Zurich Financial Services Ltd		100.00
Allied Zurich Limited UK	UK	Zurich Financial Services Ltd		100.00
American Guarantee and Liability Insurance Company	NY	Zurich American Insurance Company		100.00
American Zurich Insurance Company	IL	Steadfast Insurance Company		100.00
Assurance Company of America	NY	Maryland Casualty Company		100.00
BFP Securities LLC	DE	Benefit Finance Partners, LLC		100.00
Benefit Finance Partners, LLC	DE	Zurich Benefit Finance LLC		50.00
Centre Financial Services Holdings Limited	BDA	Centre Group Holdings Limited		100.00
Centre Group Holdings (U.S.) Limited	DE	Centre Solutions (Bermuda) Limited		100.00
Centre Group Holdings Limited	BDA	CMSH Limited		100.00
Centre Insurance Company	DE	Centre Solutions (U.S.) Limited		100.00
Centre Life Insurance Company	MA	Centre Solutions (U.S.) Limited		100.00
Centre Reinsurance (U.S.) Limited	BDA	Centre Group Holdings (U.S.) Limited		100.00
Centre Solutions (Bermuda) Limited	BDA	Centre Group Holdings Limited		100.00
Centre Solutions (U.S.) Limited	BDA	Centre Group Holdings (U.S.) Limited		100.00
CMSH Limited	BDA	Zurich Insurance Company Ltd		100.00
Colonial American Casualty & Surety Co.	MD	Fidelity & Deposit Company of Maryland		100.00
Crown Management Services Limited	DE	CMSH Limited		100.00
Delta Wetlands Property	IL	KLMLP 2, LLC		90.00
Delta Wetlands Property	IL	KLMLP 3, LLC		10.00
Disability Management Services, Inc.	CT	Centre Group Holdings (U.S.) Limited		40.00
Empire Fire & Marine Insurance Company	NE	Zurich American Insurance Company		100.00
Empire Indemnity Insurance Company	OK	Zurich American Insurance Company		100.00
Farmers Group, Inc.	NV	Zurich Insurance Company Ltd.		87.90
Farmers Group, Inc.	NV	Zurich Financial Services Ltd.		10.38
Farmers Group, Inc.	NV	Zurich RegCaps II, V and VI		1.73
Farmers New World Life Insurance Company	WA	Farmers Group, Inc.		100.00
Farmers Reinsurance Company	CA	Farmers Group, Inc.		100.00
Farmers Services Corporation	NV	Farmers Group, Inc.		100.00
Farmers Services, LLC	DE	ZFUS Services, LLC		100.00
Farmers Value Added, Inc.	NV	Farmers Group, Inc.		100.00
Fidelity & Deposit Company of Maryland	MD	Zurich American Insurance Company		100.00
F.I.G. Holding Company	CA	Fire Underwriters Association		70.00
F.I.G. Holding Company	CA	Truck Underwriters Association		30.00
FIG Leasing Company, Inc.	CA	Farmers Group, Inc.		95.20
FIG Leasing Company, Inc.	CA	Fire Underwriters Association		1.70
FIG Leasing Company, Inc.	CA	Truck Underwriters Association		3.10
Fire Underwriters Association	CA	Farmers Group, Inc.		100.00
Zurich American Corporation	DE	Zurich Holding Company of America, Inc.		100.00
Zurich American Life Insurance Company	IL	Zurich American Corporation		100.00
KLMLP, L.P.	DE	Zurich American Corporation		75.00
KLMLP 2, LLC	DE	KLMLP, L.P.		100.00
KLMLP 3, LLC	DE	KLMLP 2, LLC		100.00
L&L Park 80 Investors LLC	DE	ZI Park 80 West LLC		100.00
Leschi Life Assurance Company	SC	Farmers New World Life Insurance Company		100.00
Maryland Casualty Company	MD	Zurich American Insurance Company		100.00
Maunalua Associates, Inc.	HI	Zurich American Corporation		100.00
MI Administrators, LLC	DE	FIG Leasing Company, Inc.		100.00
Northern Insurance Company of New York	NY	Maryland Casualty Company		100.00
Orange Stone Holdings	IRE	CMSH Limited		100.00
Orange Stone Reinsurance	IRE	Crown Management Services Limited		100.00
Prematic Service Corporation (CA)	CA	Farmers Group, Inc.		38.00
Prematic Service Corporation (CA)	CA	Fire Underwriters Association		9.00
Prematic Service Corporation (CA)	CA	Truck Underwriters Association		53.00
Prematic Service Corporation (NV)	NV	Prematic Service Corporation (CA)		100.00
South County Services Company, Inc.	NY	Sterling Forest LLC		100.00
Steadfast Insurance Company	DE	Zurich American Insurance Company		100.00
Steadfast Santa Clarita Holding LLC	DE	Steadfast Insurance Company		100.00
Sterling Forest LLC	DE	Zurich American Insurance Company		100.00
Truck Underwriters Association	CA	Farmers Group, Inc.		100.00
Universal Underwriters Acceptance Corporation	KS	Zurich Holding Company of America, Inc.		100.00
UUBVI, Limited	BVI	Universal Underwriters Service Corporation		99.99
Universal Underwriters Insurance Company	KS	Zurich American Insurance Company		100.00
Universal Underwriters Insurance Services, Inc.	MA	Zurich Holding Company of America, Inc.		100.00
Universal Underwriters Life Insurance Company	KS	Universal Underwriters Insurance Company		100.00
Universal Underwriters of Texas Insurance Company	TX	Universal Underwriters Insurance Company		100.00
Universal Underwriters Service Corporation	MO	Zurich Holding Company of America, Inc.		100.00
Vehicle Dealer Solutions, Inc.	FL	The Zurich Services Corporation		100.00
WVGRR Properties, LLC	DE	Farmers New World Life Insurance Company		100.00
ZFS Finance (USA) LLC IV	DE	Zurich Holding Company of America, Inc.		100.00
ZFS Finance (USA) LLC V	DE	Zurich Holding Company of America, Inc.		100.00
ZFS Finance (USA) LLC I	DE	Zurich Holding Company of America, Inc.		100.00
ZFS Finance (USA) LLC II	DE	Zurich Holding Company of America, Inc.		100.00
ZFS Finance (USA) LLC III	DE	Zurich Holding Company of America, Inc.		100.00
ZFUS Services, LLC	DE	Zurich Holding Company of America, Inc.		100.00
ZI Park 80 West LLC	DE	Zurich American Insurance Company		100.00
ZNA Services, LLC	DE	ZFUS Services, LLC		100.00
ZKS Real Estate Partners, LLC	DE	Zurich American Corporation		41.67
ZSFH LLC	DE	Zurich Holding Company of America, Inc.		100.00
Zurich Agency Services, Inc.	TX	Maryland Casualty Company		100.00
Zurich Alternative Asset Management, LLC	DE	Zurich Holding Company of America, Inc.		100.00
Zurich American Insurance Company	NY	Zurich Holding Company of America, Inc.		100.00
Zurich American Insurance Company of Illinois	IL	American Zurich Insurance Company		100.00
Zurich American Life Insurance Company of New York	NY	Zurich American Life Insurance Company		100.00
Zurich Benefit Finance LLC	DE	Zurich Holding Company of America, Inc.		100.00
Zurich CZI Management Holding Ltd.	DE	Zurich Global Investment Management Inc.		100.00
Zurich E&S Insurance Brokerage, Inc.	CA	Zurich American Insurance Company		100.00
Zurich Finance (USA), Inc.	DE	Zurich Holding Company of America. Inc.		100.00
Zurich Global Investment Management Inc.	DE	Zurich Holding Company of America, Inc.		100.00
Zurich Global, Ltd.	BDA	Zurich Holding Company of America, Inc.		100.00
Zurich Holding Company of America, Inc.	DE	Zurich Insurance Company Ltd		99.87
Zurich Holding Company of America, Inc.	DE	Crown Management Services Limited		00.13
Zurich Insurance Company Ltd	Switzerland	Zurich Financial Services Ltd		100.00
Zurich International (Bermuda) Ltd.	BDA	Zurich Insurance Company Ltd		100.00
Zurich Investment Management AG	Switzerland	Prematic Service Corporation (NV)		80.00
Zurich Investment Management AG	Switzerland	Zurich Financial Services Ltd		20.00
Zurich Realty, Inc.	MD	The Zurich Services Corporation		100
The Zurich Services Corporation	IL	Zurich Holding Company of America, Inc.		100.00
Zurich Warranty Solutions, Inc.	IL	American Zurich Insurance Company		100.00
Zurich Latin America Corporation	DE	The Zurich Services Corporation		100.00
20th Century Insurance Services, Inc.	NV	21st Century Insurance Group		100.00
21st Century Casualty Company	CA	21st Century Insurance Group		100.00
21st Century Insurance and Financial Services, Inc.	DE	Farmers Insurance Exchange		80.00
21st Century Insurance and Financial Services, Inc.	DE	Fire Insurance Exchange		10.00
21st Century Insurance and Financial Services, Inc.	DE	Truck Insurance Exchange		10.00
21st Century Insurance Company	CA	21st Century Insurance Group		100.00
21st Century Insurance Company of the Southwest	TX	21st Century Insurance Group		100.00
21st Century Insurance Group	DE	Farmers Insurance Exchange		80.00
21st Century Insurance Group	DE	Fire Insurance Exchange		10.00
21st Century Insurance Group	DE	Truck Insurance Exchange		10.00
50th State Risk Management Services, Inc.	HI	Hawaii Insurance Consultants, Ltd.		100.00
21st Century Advantage Insurance Company	MN	21st Century North America Insurance Company		100.00
21st Century Auto Insurance Company of New Jersey	NJ	21st Century Centennial Insurance Company		100.00
21st Century Centennial Insurance Company	PA	Farmers Insurance Exchange		80.00
21st Century Centennial Insurance Company	PA	Fire Insurance Exchange		10.00
21st Century Centennial Insurance Company	PA	Truck Insurance Exchange		10.00
21st Century Indemnity Insurance Company	PA	21st Century Premier Insurance Company		100.00
21st Century National Insurance Company, Inc.	NY	21st Century Security Insurance Company		100.00
21st Century Preferred Insurance Company	PA	21st Century Centennial Insurance Company		100.00
21st Century Premier Insurance Company	PA	21st Century Centennial Insurance Company		100.00
American Federation Insurance Company	MI	Foremost Insurance Company Grand Rapids, Michigan		100.00
21st Century North America Insurance Company	NY	Farmers Insurance Exchange		80.00
21st Century North America Insurance Company	NY	Fire Insurance Exchange		10.00
21st Century North America Insurance Company	NY	Truck Insurance Exchange		10.00
21st Century Superior Insurance Company.	CA	21st Century North America Insurance Company		100.00
21st Century Assurance Company	DE	Farmers Insurance Exchange		80.00
21st Century Assurance Company	DE	Fire Insurance Exchange		10.00
21st Century Assurance Company	DE	Truck Insurance Exchange		10.00
21st Century Pinnacle Insurance Company	NJ	21st Century North America Insurance Company		100.00
21st Century Pacific Insurance Company	CO	Farmers Insurance Exchange		80.00
21st Century Pacific Insurance Company	CO	Fire Insurance Exchange		10.00
21st Century Pacific Insurance Company	CO	Truck Insurance Exchange		10.00
American Pacific Insurance Company, Inc.	HI	Farmers Insurance Hawaii, Inc.		100.00
APEX Adjustment Bureau, Inc.	FL	Bristol West Holdings, Inc.		100.00
Bayview Adjustment Bureau, Inc.	CA	Bristol West Holdings, Inc.		100.00
Bristol West Casualty Insurance Company	OH	Coast National Insurance Company		100.00
Bristol West Holdings, Inc.	DE	Farmers Insurance Exchange		42
Bristol West Holdings, Inc.	DE	Fire Insurance Exchange		3.75
Bristol West Holdings, Inc.	DE	Mid-Century Insurance Company		47.50
Bristol West Holdings, Inc.	DE	Truck Insurance Exchange		6.75
Bristol West Insurance Company	OH	Coast National Insurance Company		100.00
Bristol West Insurance Services of California, Inc.	CA	Bristol West Holdings, Inc.		100.00
Bristol West Insurance Services of Georgia, Inc.	GA	Bristol West Holdings, Inc.		100.00
Bristol West Insurance Services of Pennsylvania, Inc.	PA	Bristol West Holdings, Inc.		100.00
Bristol West Insurance Services of Texas, Inc.	TX	Bristol West Holdings, Inc.		100.00
Bristol West Insurance Services, Inc. of Florida	FL	Bristol West Holdings, Inc.		100.00
Bristol West Preferred Insurance Company	MI	Bristol West Holdings, Inc.		100.00
BWIS of Nevada, Inc.	NV	Bristol West Holdings, Inc.		100.00
Civic Property & Casualty Co.	CA	Fire Insurance Exchange		80.00
Civic Property & Casualty Co.	CA	Truck Insurance Exchange		20.00
Coast National General Agency, Inc.	TX	Bristol West Holdings, Inc.		100.00
Coast National Holding Company	CA	Bristol West Holdings, Inc.		100.00
Coast National Insurance Company	CA	Coast National Holding Company		100.00
Exact Property & Casualty Co.	CA	Fire Insurance Exchange		80.00
Exact Property & Casualty Co.	CA	Truck Insurance Exchange		20.00
Farmers Financial Solutions, LLC	NV	FFS Holding, LLC		100.00
Farmers Group, Inc.	NV	Zurich Insurance Company Ltd.		87.90
Farmers Group, Inc.	NV	Zurich Financial Services Ltd.		10.38
Farmers Group, Inc.	NV	Zurich RegCaps II, V and VI		1.73
Farmers Insurance Co. of Arizona	AZ	Farmers Insurance Exchange		70.00
Farmers Insurance Co. of Arizona	AZ	Truck Insurance Exchange		20.00
Farmers Insurance Co. of Arizona	AZ	Fire Insurance Exchange		10.00
Farmers Insurance Co. of Idaho	ID	Farmers Insurance Exchange		80.00
Farmers Insurance Co. of Idaho	ID	Truck Insurance Exchange		13.30
Farmers Insurance Co. of Idaho	ID	Fire Insurance Exchange		06.70
Farmers Insurance Co. of Oregon	OR	Farmers Insurance Exchange		80.00
Farmers Insurance Co. of Oregon	OR	Truck Insurance Exchange		20.00
Farmers Insurance Co. of Washington	WA	Fire Insurance Exchange		80.00
Farmers Insurance Co. of Washington	WA	Truck Insurance Exchange		20.00
Farmers Insurance Co., Inc.	KS	Farmers Insurance Exchange		90.00
Farmers Insurance Co., Inc.	KS	Fire Insurance Exchange		10.00
Farmers Insurance Exchange	CA	Interinsurance Exchange
Farmers Insurance Hawaii, Inc.	HI	Farmers Insurance Exchange		80.00
Farmers Insurance Hawaii, Inc.	HI	Fire Insurance Exchange		10.00
Farmers Insurance Hawaii, Inc.	HI	Truck Insurance Exchange		10.00
Farmers Insurance of Columbus, Inc.	OH	Farmers Insurance Exchange		100.00
Farmers New Century Insurance Company	IL	Illinois Farmers Insurance Co.		100.00
Farmers Reinsurance Company	CA	Farmers Group, Inc.		100.00
Farmers Services Corporation	NV	Farmers Group, Inc.		100.00
Farmers Services Insurance Agency	CA	Truck Insurance Exchange		100.00
Farmers Texas County Mutual Insurance Company	TX	County Mutual Company
Farmers Value Added, Inc.	NV	Farmers Group, Inc.		100.00
FCOA, LLC	DE	Foremost Insurance Company Grand Rapids, MI		100.00
FFS Holding, LLC	NV	Mid Century Ins. Co.		100.00
F.I.G. Holding Company	CA	Fire Underwriters Association		70.00
F.I.G. Holding Company	CA	Truck Underwriters Association		30.00
FIG Leasing Company, Inc.	CA	Farmers Group, Inc.		95.20
FIG Leasing Company, Inc.	CA	Truck Underwriters Association		3.10
FIG Leasing Company, Inc.	CA	Fire Underwriters Association		1.70
Fire Insurance Exchange	CA	Interinsurance Exchange
Fire Underwriters Association	CA	Farmers Group, Inc.		100.00
Foremost Affiliated Insurance Services, Inc.	MI	FCOA, LLC		100.00
Foremost County Mutual Insurance Company	TX	County Mutual Company
Foremost Express Insurance Agency, Inc.	MI	FCOA, LLC		100.00
Foremost Financial Services Corporation	DE	FCOA, LLC		100.00
Foremost Home Services Corporation	MI	FCOA, LLC		100.00
Foremost Insurance Company Grand Rapids, Michigan	MI	Farmers Insurance Exchange		80.00
Foremost Insurance Company Grand Rapids, Michigan	MI	Fire Insurance Exchange		10.00
Foremost Insurance Company Grand Rapids, Michigan	MI	Truck Insurance Exchange		10.00
Foremost Lloyds of Texas	TX	Lloyds Company
Foremost Property and Casualty Insurance Company	MI	Foremost Insurance Company Grand Rapids, Michigan		100.00
Foremost Signature Insurance Company	MI	Foremost Insurance Company Grand Rapids, Michigan		100.00
GP, LLC	DE	Bristol West Holdings, Inc.		100.00
Hawaii Insurance Consultants, Ltd.	HI	Farmers Insurance Exchange		80.00
Hawaii Insurance Consultants, Ltd.	HI	Fire Insurance Exchange		10.00
Hawaii Insurance Consultants, Ltd.	HI	Truck Insurance Exchange		10.00
i21 Insurance Services	CA	21st Century Insurance Group		100.00
Illinois Farmers Insurance Co.	IL	Farmers Insurance Exchange		100.00
Insurance Data Systems, G.P.	FL	GP, LLC		0.10
Insurance Data Systems, G.P.	FL	Bristol West Holdings, Inc.		99.90
Knight Agency, Inc.	KY	Foremost Affiliated Insurance Services, Inc.		100.00
Leschi Life Assurance Company	SC	Farmers New World Life Insurance Company		100.00
MI Administrators, LLC	DE	FIG Leasing Company, Inc.		100.00
Mid Century Insurance Company	CA	Farmers Insurance Exchange		80.00
Mid Century Insurance Company	CA	Fire Insurance Exchange		12.50
Mid Century Insurance Company	CA	Truck Insurance Exchange		07.50
Mid Century Insurance Company of Texas	TX	Farmers Insurance Exchange		100.00
Neighborhood Spirit Property & Casualty Co.	CA	Fire Insurance Exchange		80.00
Neighborhood Spirit Property & Casualty Co.	CA	Truck Insurance Exchange		20.00
21st Century Security Insurance Company	PA	Farmers Insurance Exchange		80.00
21st Century Security Insurance Company	PA	Fire Insurance Exchange		10.00
21st Century Security Insurance Company	PA	Truck Insurance Exchange		10.00
Pacific Way Insurance Agency, Inc.	WA	Foremost Affiliated Insurance Services, Inc.		100.00
Prematic Service Corporation	CA	Truck Underwriters Association		53.00
Prematic Service Corporation	CA	Farmers Group, Inc.		38.00
Prematic Service Corporation	CA	Fire Underwriters Association		9.00
Prematic Service Corporation	NV	Prematic Service Corporation (CA)		100.00
Security National Insurance Company	FL	Bristol West Holdings, Inc.		75.00
Security National Insurance Company	FL	Insurance Data Systems, G.P.		25.00
Sunrise Insurance Agency of Arizona, Inc.	AZ	Foremost Affiliated Insurance Services, Inc.		100.00
Sunrise Insurance Agency of Texas, Inc.	TX	Foremost Affiliated Insurance Services, Inc.		100.00
Sunrise Insurance Agency, Inc.	NV	Foremost Affiliated Insurance Services, Inc.		100.00
Texas Farmers Insurance Co.	TX	Farmers Insurance Exchange		86.30
Texas Farmers Insurance Co.	TX	Mid Century Ins. Co.		13.70
Truck Insurance Exchange	CA	Interinsurance Exchange
Truck Underwriters Association	CA	Farmers Group, Inc.		100.00
Veyond Pacific Technology, Inc.	HI	Veyond Pacific Technology Solutions, LLC		100.00
Veyond Pacific Technology Solutions, LLC	HI	Farmers Insurance Hawaii, Inc.		99.92
Veyond Pacific Technology Solutions, LLC	HI	American Pacific Insurance Company, Inc.		0.08
Veyond Technology Solutions, LLC	HI	Farmers Insurance Hawaii, Inc.		92.50
Veyond Technology Solutions, LLC	HI	American Pacific Insurance Company, Inc.		7.50
Veyond Technology, Inc.	HI	Veyond Technology Solutions, LLC		100.00
Western Star Underwriters, Inc.	TX	FCOA, Inc.		100.00

Zurich Financial Services conducts its primary insurance operations in the United States through two property/casualty groups, each operating INDEPENDENTLY with its own staff:

Zurich U.S. Insurance Group Farmers Insurance Group

Item 27. Number of Contract Owners

As of March 31, 2011, the Registrant had approximately 56,875 qualified and non-qualified Advantage III Contract Owners.

Item 28. Indemnification

To the extent permitted by law of the State of Illinois and subject to all applicable requirements thereof, Article VI of the By-Laws of Zurich American Life Insurance Company (formerly Kemper Investors Life Insurance Company) (“ZALICO”) provides for the indemnification of any person against all expenses (including attorneys fees), judgments, fines, amounts paid in settlement and other costs actually and reasonably incurred by him in connection with any threatened, pending or completed action, suit or proceeding, whether civil, criminal, administrative or investigative in which he is a party or is threatened to be made a party by reason of his being or having been a director, officer, employee or agent of ZALICO, or serving or having served, at the request of ZALICO, as a director, officer, employee or agent of another corporation, partnership, joint venture, trust or other enterprise, or by reason of his holding a fiduciary position in connection with the management or administration of retirement, pension, profit sharing or other benefit plans including, but not limited to, any fiduciary liability under the Employee Retirement Income Security Act of 1974 and any amendment thereof, if he acted in good faith and in a manner he reasonably believed to be in and not opposed to the best interests of ZALICO, and with respect to any criminal action or proceeding, had no reasonable cause to believe his conduct was unlawful. The termination of any action, suit or proceeding by judgment, order, settlement, conviction, or upon a plea of nolo contendere or its equivalent, shall not, of itself, create a presumption that he did not act in good faith and in a manner which he reasonably believed to be in or not opposed to the best interests of ZALICO, and, with respect to any criminal action or proceeding, had reasonable cause to believe that his conduct was unlawful. No indemnification shall be made in respect of any claim, issue or matter as to which a director or officer shall have been adjudged to be liable for negligence or misconduct in the performance of his duty to the company, unless and only to the extent that the court in which such action or suit was brought or other court of competent jurisdiction shall determine upon application that, despite the adjudication of liability but in view of all the circumstances of the case, he is fairly and reasonably entitled to indemnity for such expenses as the court shall deem proper.

Insofar as indemnification for liabilities arising under the Securities Act of 1933 may be permitted to directors, officers, employees or agents of ZALICO pursuant to the foregoing provisions, or otherwise, ZALICO has been advised that in the opinion of the Securities and Exchange Commission such indemnification is against public policy as expressed in that Act and is, therefore, unenforceable. In the event that a claim for indemnification against such liabilities (other than the payment by ZALICO of expenses incurred or paid by a director, officer, employee of agent of ZALICO in the successful defense of any action, suit or proceeding) is asserted by such director, officer, employee or agent of ZALICO in connection with variable annuity contracts, ZALICO will, unless in the opinion of its counsel the matter has been settled by controlling precedent, submit to a court of appropriate jurisdiction the question whether such indemnification by ZALICO is against public policy as expressed in that Act and will be governed by the final adjudication of such issue.

Item 29.(a) Principal Underwriter

Investment Distributors, Inc. (“IDI”), acts as principal underwriter for the Protective Acquired Variable Annuity Separate Account. IDI also acts as principal underwriter for Zurich American Life Insurance Company’s ZALICO Variable Separate Account, ZALICO Variable Annuity Separate Account and Zurich American Life Insurance Company Variable Annuity Account C.

Item 29.(b) Information Regarding Principal Underwriter, Investors Distributors, Inc.

Name	Position and Office with Underwriter
Edwin V. Caldwell II	Director, President and Secretary
Steve M. Callaway	Director, Chief Compliance Officer
Gary M. Carroll	Director and Assistant Compliance Officer
Joseph F. Gilmer	Director
Thomas Ralph Barrett	Assistant Financial Officer
Barry K. Brown	Assistant Secretary
Lawrence J. Debnar	Assistant Financial Officer
Joseph F. Gilmer	Chief Financial Officer
Julena G. Johnson	Assistant Compliance Officer
Carol L. Majewski	Assistant Compliance Officer
Letitia Morsch	Assistant Secretary

The address of Mr. Callaway and Mr. Barrett is 2801 Highway 280 South, Birmingham, AL. 35223.

The address of Mr. Debnar and Ms. Majewski is 1707 N Randall Road, Suite 310, Elgin, IL 60123-7836.

Item 29.(c)

Not applicable.

Item 30. Location of Accounts and Records

Accounts, books and other documents required to be maintained by Section 31(a) of the Investment Company Act of 1940 and the Rules promulgated thereunder are maintained by Zurich American Life Insurance Company at its home office at 1400 American Lane, Schaumburg, Illinois 60196, or at 3003-77th Ave, SE, Mercer Island, Washington 98040, or at Protective Life Insurance Company at 1707 N Randall Road, Suite 310, Elgin, IL 60123-7836.

Item 31. Management Services

Not applicable

Item 32. Undertakings and Representations

Representation Regarding Fees and Charges Pursuant to Section 26 of the Investment Company Act of 1940

Zurich American Life Insurance Company (“ZALICO”) represents that the fees and charges deducted under the Contract, in the aggregate, are reasonable in relation to the services rendered, the expenses expected to be incurred, and the risks assumed by ZALICO.

SIGNATURES

Pursuant to the requirements of the Securities Act of 1933 and the Investment Company Act of 1940, the Registrant hereby certifies that this Post-Effective Amendment No. 47 to the Registration Statement meets all the requirements for effectiveness under Rule 485(b) and has caused this Post-Effective Amendment No. 47 to the Registration Statement to be signed on its behalf, in the City of New York, and State of New York, on April 29, 2011.

		ZALICO VARIABLE ANNUITY SEPARATE ACCOUNT (formerly KILICO VARIABLE ANNUITY SEPARATE ACCOUNT) (Registrant)
Attest:	/s/ Ali E. Rifai	By:	/s/ Richard W. Grilli
	Ali E. Rifai, Senior Vice President, General Counsel and Corporate Secretary	Richard W. Grilli, Senior Vice President and Chief Operating Officer (Signature)
		ZURICH AMERICAN LIFE INSURANCE COMPANY (formerly KEMPER INVESTORS LIFE INSURANCE COMPANY) (Depositor)
Attest:	/s/ Ali E. Rifai	By:	/s/ Richard W. Grilli
	Ali E. Rifai, Senior Vice President, General Counsel and Corporate Secretary	Richard W. Grilli, Senior Vice President and Chief Operating Officer (Signature)

As required by the Securities Act of 1933, this Post-Effective Amendment No. 47 to the Registration Statement has been signed by the following persons in the capacities and on the dates indicated.

Signature	Title	Date
David Dietz*/	President and Chief Executive Officer (Principal Executive Officer)	April 29, 2011
/s/ Richard W. Grilli Richard W. Grilli	Senior Vice President and Chief Operating Officer	April 29, 2011
Simon Lodge*/	Senior Vice President and Chief Financial Officer (Principal Financial Officer and Principal Accounting Officer)	April 29, 2011
Richard J. Hauser*/	Director and Assistant Treasurer	April 29, 2011
Barry S. Paul*/	Director and Assistant Treasurer	April 29, 2011
Nicolas A. Burnet*/	Director	April 29, 2011
/s/ Richard W. Grilli */ By: Richard W. Grilli	On April 29, 2011 as Attorney-in-Fact pursuant to powers of attorney filed herewith.

EXHIBIT INDEX

The following exhibit is filed herewith.

Exhibit Number	Description
3.1b	Limited Principal Underwriter Agreement dated November 10, 2010 by and between Zurich American Life Insurance Company and Investment Distributors, Inc.
6.1a	Zurich American Life Insurance Company Articles of Incorporation.
6.2a	Zurich American Life Insurance Company Bylaws.
10.	Consent of PricewaterhouseCoopers LLP
15.2	Power of Attorney