N-30D 1 opp220054.txt Annual Report December 31, 2001 -------------------------------------------------------------------------------- Oppenheimer Main Street(R) Small Cap Fund/VA A Series of Oppenheimer Variable Account Funds [logo]OppenheimerFunds(R) The Right Way to Invest Oppenheimer Variable Account Funds--Oppenheimer Main Street Small Cap Fund/VA =============================================================================== Objective Oppenheimer Main Street(R) Small Cap Fund/VA, a series of Oppenheimer Variable Account Funds, seeks capital appreciation. In seeking its objective, the Fund emphasizes investments of securities in growth-type companies with market capitalizations of less than $2.5 billion. =============================================================================== Narrative by Charles Albers and Mark Zavanelli, Co-portfolio Managers For the 12-month period ended December 31, 2001, Oppenheimer Main Street(R) Small Cap Fund/VA's Non-Service shares provided a total return of -0.36%. This return includes changes in net asset value per share and reinvestment of all dividends and capital gains distributions, but does not reflect any charges imposed by the separate accounts that offer the Fund. The Fund's return would have been lower if such charges were taken into account. We attribute the market's weakness during 2001 to a faltering U.S. economy, which adversely affected corporate earnings and undermined most companies' stock prices. In this environment, the Fund's returns were generally lackluster over the first four months of the year and improved substantially during the last eight months. From January 2001 through April 2001, the Fund was managed using a growth-oriented approach, which emphasized earnings and stock price momentum over valuations. Unfortunately, the growth style of investing fell out of favor just before the reporting period began, and the Fund's performance suffered temporarily. Technology and biotechnology holdings fared particularly poorly, more than offsetting good performance in other areas. In May 2001, the current portfolio management team assumed responsibility for the Fund, and we quickly adapted the portfolio to our distinctive and highly disciplined investment approach. To find attractive investments among small-cap stocks, we use multifactor, quantitative models that we have used and fine tuned over nearly 30 years. Our stock scoring system looks at a variety of data to determine which areas of the small-cap stock market offer the best prospects. Further analysis assigns a ranking to each of nearly 10,000 stocks according to its prospects over the next six to 12 months. We then subject the stocks in the top 10% of the model's rankings to comprehensive fundamental analysis. We also evaluate the costs associated with trading each stock we consider. When we took the reins in May, we quickly moved the Fund away from its growth orientation toward a more neutral posture. Performance immediately benefited from the addition of a number of value-oriented stocks. Although their earnings growth rates were lower on average than more growth-oriented holdings, they were also more consistent, and these stocks held up better during the economic downturn. For example, we increased the Fund's holdings of healthcare companies, including hospitals, HMOs, laboratories and physician management companies whose services are essential and remain in demand regardless of the economic environment. At the same time, we reduced the Fund's exposure to biotechnology stocks that scored poorly, primarily because our models regarded them as overpriced relative to their earnings. As the period progressed, our analyses also suggested stocks in other traditionally defensive industry groups, such as consumer staples. Like healthcare, companies producing food and other essential consumer goods were better able to maintain consistent, albeit unspectacular, levels of earnings growth during the economic downturn. In reviewing performance, please remember that past performance cannot guarantee future results. Because of ongoing market volatility, the Fund's performance may be subject to fluctuations, and current performance may be less than the results shown. Shares of Oppenheimer funds are not deposits or obligations of any bank, are not guaranteed by any bank, are not insured by the FDIC or any other agency, and involve investment risks, including the possible loss of the principal amount invested. 2 Oppenheimer Main Street Small Cap Fund/VA Oppenheimer Variable Account Funds--Oppenheimer Main Street Small Cap Fund/VA =============================================================================== However, our stock selection strategy within each industry group proved to be a more important driver of performance than the way we allocated assets among the various industry groups. For example, in the technology area, we focused on consulting, defense and software companies, many of which did well, while avoiding hardware manufacturers, which generally performed very poorly. In the energy group, our focus on exploration and drilling companies benefited the Fund, especially when some of those companies were acquired at attractive prices by larger integrated oil companies. Of course, even many of the Fund's most defensive holdings were adversely affected by the September 11 terrorist attacks. The attacks effectively pushed the U.S. economy into recession, delaying any prospect of recovery until 2002. Fortunately, the attacks' deleterious effects on the Fund's defensive holdings proved temporary. The stocks identified by our multifactor models proved to be resilient in the face of adversity. In our opinion, such resiliency is central to what makes Oppenheimer Main Street Small Cap Fund/VA an important part of The Right Way to Invest. ------------------------------------------------------------------------------- Management discussion of performance. During the fiscal year that ended December 31, 2001, Oppenheimer Main Street Small Cap Fund/VA's performance was strongly influenced by changes in economic and market conditions. The Fund's returns were driven primarily by a shift in investor sentiment away from momentum-oriented growth stocks toward reasonably valued and fundamentally strong value stocks. The Fund was also adversely affected by the faltering U.S. economy, which entered into a recession in early March 2001. The events of September 11 only served to further deteriorate the current economic situation. The mid-year shift of portfolio teams also had an effect on the returns of the Fund. The Fund's portfolio and strategies are subject to change. ------------------------------------------------------------------------------- Comparing the Fund's performance to the market. The graphs that follow show the performance of a hypothetical $10,000 investment in each class of shares of the Fund held until December 31, 2001. In the case of Non-Service shares, performance is measured from inception of the class on May 1, 1998. In the case of Service shares, performance is measured from inception of the class on July 16, 2001. Performance information does not reflect charges that apply to separate accounts investing in the Fund. If these charges were taken into account, performance would be lower. The graphs assume that all dividends and capital gains distributions were reinvested in additional shares. The Fund's performance is compared to the performance of the Russell 2000 Index, which is an index of the 2000 smallest, by market value, securities in the Russell 3000 Index. Index performance reflects the reinvestment of income but does not consider the effect of capital gains or transaction costs. The Fund's performance reflects the effects of the Fund's business and operating expenses. While index comparisons may be useful to provide a benchmark for the Fund's performance, it must be noted that the Fund's investments are not limited to the investments in the index. Oppenheimer Main Street Small Cap Fund/VA 3 Oppenheimer Variable Account Funds--Oppenheimer Main Street Small Cap Fund/VA [line chart] Non-Service shares Comparison of Change in Value of $10,000 Hypothetical Investments in:
OVAF/Oppenheimer Main Street Small Cap Fund/VA Non-Service Russell 2000 shares Index ------ ----- 05/01/98 10000 10000 06/30/98 9560 9481 09/30/98 8400 7571 12/31/98 9600 8806 03/31/99 8880 8328 06/30/99 9310 9624 09/30/99 9440 9015 12/31/99 14070 10678 03/31/00 15364 11434 06/30/00 13178 11002 09/30/00 13468 11124 12/31/00 11490 10355 03/31/01 9376 9682 06/30/01 11334 11065 09/30/01 9666 8765 12/31/01 11448 10613
Average Annual Total Returns of Non-Service shares of the Fund at 12/31/01 1-Year -0.36% Since Inception 3.76% [end line chart] [line chart] Service shares Comparison of Change in Value of $10,000 Hypothetical Investments in: OVAF/Oppenheimer Main Street Small Cap Fund/VA Service shares Russell 2000 Index
OVAF/Oppenheimer Main Street Small Cap Fund/VA Non-Service Russell 2000 shares Index ------ ----- 07/16/01 10000 10000 09/30/01 8784 8374 12/31/01 10415 10140
Cumulative Return of Service shares of the Fund at 12/31/01 Since Inception 4.15% [end line chart] Because of ongoing market volatility, the Fund's performance has been subject to fluctuations and current performance may be less than the results shown. For updates on the Fund's performance, please call us at 1.800.981.2871. Past performance is not predictive of future performance. The inception dates of the Fund were 5/1/98 for the Non-Service shares and 7/16/01 for its Service shares. The performance information in the graphs for the Russell 2000 Index begins on 4/30/98 in the first graph and on 7/31/01 for the second graph. Total returns include changes in net asset value per share and do not include the charges associated with the separate account products which offer this Fund. Such performance would have been lower if such charges were taken into account. Graphs are not drawn to same scale. Total returns and the ending account value in the graphs show changes in share value and include reinvestment of all dividends and capital gains distributions. An explanation of the calculation of the performance is in the Statement of Additional Information. 4 Oppenheimer Main Street Small Cap Fund/VA Statement of Investments December 31, 2001
Market Value Shares See Note 1 =============================================================================== Common Stocks--99.1% ------------------------------------------------------------------------------- Basic Materials--3.8% ------------------------------------------------------------------------------- Chemicals--1.9% Agrium, Inc. 1,500 $ 15,900 ------------------------------------------------------------------------------- Airgas, Inc.(1) 2,700 40,824 ------------------------------------------------------------------------------- AMCOL International Corp. 1,600 11,520 ------------------------------------------------------------------------------- Crompton Corp. 2,400 21,600 ------------------------------------------------------------------------------- Cytec Industries, Inc.(1) 1,100 29,700 ------------------------------------------------------------------------------- Great Lakes Chemical Corp. 1,100 26,708 ------------------------------------------------------------------------------- H.B. Fuller Co. 100 2,877 ------------------------------------------------------------------------------- IMC Global, Inc. 2,900 37,700 ------------------------------------------------------------------------------- MacDermid, Inc. 500 8,475 ------------------------------------------------------------------------------- Minerals Technologies, Inc. 400 18,656 ------------------------------------------------------------------------------- Octel Corp.(1) 1,600 28,800 ------------------------------------------------------------------------------- Quaker Chemical Corp. 200 4,120 ------------------------------------------------------------------------------- RPM, Inc. 700 10,122 ------------------------------------------------------------------------------- SCP Pool Corp.(1) 1,250 34,312 ------------------------------------------------------------------------------- Solutia, Inc. 2,100 29,442 ------------------------------------------------------------------------------- Symyx Technologies, Inc.(1) 1,000 21,240 ------------------------------------------------------------------------------- Universal Corp. 400 14,564 ------------------------------------------------------------------------------- Visionics Corp.(1) 400 5,772 -------- 362,332 ------------------------------------------------------------------------------- Gold & Precious Minerals--0.3% Meridian Gold, Inc.(1) 1,800 18,436 ------------------------------------------------------------------------------- Stillwater Mining Co.(1) 2,200 40,700 -------- 59,136 ------------------------------------------------------------------------------- Metals--1.1% AK Steel Holding Corp. 700 7,966 ------------------------------------------------------------------------------- Allegheny Technologies, Inc. 2,100 35,175 ------------------------------------------------------------------------------- Aviall, Inc. 3,600 27,180 ------------------------------------------------------------------------------- Barnes Group, Inc. 200 4,798 ------------------------------------------------------------------------------- Brush Wellman, Inc. 400 5,696 ------------------------------------------------------------------------------- Century Aluminum Co. 100 1,336 ------------------------------------------------------------------------------- CIRCOR International, Inc. 500 9,225 ------------------------------------------------------------------------------- Lone Star Technologies, Inc.(1) 700 12,320 ------------------------------------------------------------------------------- NS Group, Inc.(1) 700 5,236 ------------------------------------------------------------------------------- Quanex Corp. 600 16,980 ------------------------------------------------------------------------------- Steel Dynamics, Inc.(1) 800 9,288 ------------------------------------------------------------------------------- Titanium Metals Corp.(1) 2,900 11,571 ------------------------------------------------------------------------------- Walter Industries, Inc. 2,200 24,882 ------------------------------------------------------------------------------- Worthington Industries, Inc. 2,100 29,820 -------- 201,473
Oppenheimer Main Street Small Cap Fund/VA 5 Statement of Investments (Continued)
Market Value Shares See Note 1 ------------------------------------------------------------------------------- Paper--0.5% Chesapeake Corp. 900 $ 25,029 ------------------------------------------------------------------------------- Glatfelter 2,000 31,160 ------------------------------------------------------------------------------- Longview Fibre Co. 200 2,362 ------------------------------------------------------------------------------- Rayonier, Inc. 400 20,188 ------------------------------------------------------------------------------- Rock-Tenn Co., Cl. A 700 10,080 -------- 88,819 ------------------------------------------------------------------------------- Capital Goods--9.8% ------------------------------------------------------------------------------- Aerospace/Defense--0.8% AAR Corp. 200 1,802 ------------------------------------------------------------------------------- American Axle & Manufacturing Holdings, Inc.(1) 900 19,242 ------------------------------------------------------------------------------- BE Aerospace, Inc.(1) 900 8,253 ------------------------------------------------------------------------------- DRS Technologies, Inc.(1) 500 17,825 ------------------------------------------------------------------------------- Esterline Technologies Corp.(1) 1,000 16,010 ------------------------------------------------------------------------------- Herley Industries, Inc.(1) 1,200 20,400 ------------------------------------------------------------------------------- Intermagnetics General Corp. 418 10,826 ------------------------------------------------------------------------------- Precision Castparts Corp. 1,400 39,550 ------------------------------------------------------------------------------- Teledyne Technologies, Inc.(1) 1,200 19,548 -------- 153,456 ------------------------------------------------------------------------------- Electrical Equipment--1.4% American Superconductor Corp.(1) 1,300 15,938 ------------------------------------------------------------------------------- BEI Technologies, Inc. 700 12,208 ------------------------------------------------------------------------------- Capstone Turbine Corp.(1) 8,300 44,903 ------------------------------------------------------------------------------- CLARCOR, Inc. 100 2,715 ------------------------------------------------------------------------------- EMCOR Group, Inc.(1) 400 18,160 ------------------------------------------------------------------------------- Encompass Services Corp.(1) 1,600 4,640 ------------------------------------------------------------------------------- Encore Wire Corp.(1) 1,800 21,780 ------------------------------------------------------------------------------- Foster Wheeler Ltd. 3,200 16,320 ------------------------------------------------------------------------------- General Electric Co. 40 1,603 ------------------------------------------------------------------------------- Genlyte Group, Inc. (The)(1) 1,000 29,760 ------------------------------------------------------------------------------- Integrated Electrical Services, Inc.(1) 1,200 6,144 ------------------------------------------------------------------------------- Kemet Corp.(1) 2,200 39,050 ------------------------------------------------------------------------------- Manufacturers'Services Ltd.(1) 900 5,625 ------------------------------------------------------------------------------- Power Integrations, Inc.(1) 1,700 38,828 -------- 257,674 ------------------------------------------------------------------------------- Industrial Services--3.9% Advanced Marketing Services, Inc. 1,500 27,375 ------------------------------------------------------------------------------- Casella Waste Systems, Inc., Cl. A(1) 600 8,886 ------------------------------------------------------------------------------- CONSOL Energy, Inc. 500 12,420 ------------------------------------------------------------------------------- Cyberonics, Inc.(1) 300 7,959 ------------------------------------------------------------------------------- Daisytek International Corp.(1) 2,400 31,608 ------------------------------------------------------------------------------- Digimarc Corp.(1) 400 7,432 ------------------------------------------------------------------------------- Forrester Research, Inc.(1) 1,200 24,168 ------------------------------------------------------------------------------- Global Imaging Systems, Inc.(1) 2,200 32,846
6 Oppenheimer Main Street Small Cap Fund/VA Statement of Investments (Continued)
Market Value Shares See Note 1 ------------------------------------------------------------------------------- Industrial Services (continued) ICT Group, Inc.(1) 1,000 $ 18,610 ------------------------------------------------------------------------------- Kendle International, Inc.(1) 1,800 36,288 ------------------------------------------------------------------------------- Knightsbridge Tankers Ltd. 100 1,610 ------------------------------------------------------------------------------- Labor Ready, Inc.(1) 2,400 12,264 ------------------------------------------------------------------------------- Lincoln Electric Holdings, Inc. 100 2,444 ------------------------------------------------------------------------------- Mail-Well, Inc.(1) 700 2,870 ------------------------------------------------------------------------------- McDermott International, Inc.(1) 3,400 41,718 ------------------------------------------------------------------------------- Modis Professional Services, Inc.(1) 4,600 32,844 ------------------------------------------------------------------------------- MSC Industrial Direct Co., Inc., Cl. A(1) 900 17,775 ------------------------------------------------------------------------------- National Processing, Inc.(1) 100 3,250 ------------------------------------------------------------------------------- Navigant Consulting, Inc.(1) 100 550 ------------------------------------------------------------------------------- Newpark Resources, Inc.(1) 3,900 30,810 ------------------------------------------------------------------------------- Osmonics, Inc.(1) 600 8,412 ------------------------------------------------------------------------------- Planar Systems, Inc.(1) 1,700 35,870 ------------------------------------------------------------------------------- Presstek, Inc.(1) 1,700 15,589 ------------------------------------------------------------------------------- Quanta Services, Inc.(1) 2,200 33,946 ------------------------------------------------------------------------------- Right Management Consultants, Inc.(1) 1,650 28,545 ------------------------------------------------------------------------------- Service Corp. International(1) 1,200 5,988 ------------------------------------------------------------------------------- SpeedFam-IPEC, Inc.(1) 1,400 4,172 ------------------------------------------------------------------------------- Standard Register Co. (The) 1,100 20,383 ------------------------------------------------------------------------------- Sylvan Learning Systems, Inc.(1) 800 17,656 ------------------------------------------------------------------------------- Teekay Shipping Corp. 1,100 38,335 ------------------------------------------------------------------------------- Tetra Technologies, Inc.(1) 900 18,855 ------------------------------------------------------------------------------- TRC Cos., Inc.(1) 800 40,000 ------------------------------------------------------------------------------- United Stationers, Inc.(1) 1,000 33,650 ------------------------------------------------------------------------------- UNOVA, Inc.(1) 100 580 ------------------------------------------------------------------------------- URS Corp.(1) 1,200 32,892 ------------------------------------------------------------------------------- Wackenhut Corrections Corp.(1) 2,000 27,720 ------------------------------------------------------------------------------- Wallace Computer Services, Inc. 200 3,798 ------------------------------------------------------------------------------- Zomax, Inc.(1) 1,200 9,588 -------- 729,706 ------------------------------------------------------------------------------- Manufacturing--3.7% AEP Industries, Inc.(1) 600 14,376 ------------------------------------------------------------------------------- American Woodmark Corp. 600 32,250 ------------------------------------------------------------------------------- Ameron International Corp. 300 20,760 ------------------------------------------------------------------------------- Astronics Corp. 1,000 11,320 ------------------------------------------------------------------------------- Asyst Technologies, Inc.(1) 200 2,552 ------------------------------------------------------------------------------- Benchmark Electronics, Inc.(1) 100 1,896 ------------------------------------------------------------------------------- Briggs & Stratton Corp. 200 8,540 ------------------------------------------------------------------------------- Crane Co. 1,200 30,768 ------------------------------------------------------------------------------- CTS Corp. 1,700 27,030 ------------------------------------------------------------------------------- Donaldson Co., Inc. 100 3,884 ------------------------------------------------------------------------------- EarthShell Corp.(1) 300 600
Oppenheimer Main Street Small Cap Fund/VA 7 Statement of Investments (Continued)
Market Value Shares See Note 1 ------------------------------------------------------------------------------- Manufacturing (continued) Entegris, Inc.(1) 2,100 $ 23,016 ------------------------------------------------------------------------------- FSI International, Inc.(1) 1,400 12,908 ------------------------------------------------------------------------------- Garan, Inc. 200 8,500 ------------------------------------------------------------------------------- Global Power Equipment Group, Inc.(1) 3,200 48,160 ------------------------------------------------------------------------------- Griffon Corp. 2,470 37,050 ------------------------------------------------------------------------------- GSI Lumonics, Inc.(1) 1,000 8,470 ------------------------------------------------------------------------------- Harsco Corp. 400 13,720 ------------------------------------------------------------------------------- Interpool, Inc. 800 15,400 ------------------------------------------------------------------------------- Ivex Packaging Corp.(1) 2,800 53,200 ------------------------------------------------------------------------------- Knight Transportation, Inc.(1) 225 4,225 ------------------------------------------------------------------------------- Matthews International Corp., Cl. A 200 4,916 ------------------------------------------------------------------------------- Maverick Tube Corp.(1) 2,600 33,670 ------------------------------------------------------------------------------- Measurement Specialties, Inc.(1) 1,100 10,351 ------------------------------------------------------------------------------- Milacron, Inc. 200 3,162 ------------------------------------------------------------------------------- NACCO Industries, Inc., Cl. A 100 5,679 ------------------------------------------------------------------------------- National Service Industries, Inc. 2,200 4,444 ------------------------------------------------------------------------------- Oakley, Inc.(1) 1,500 24,390 ------------------------------------------------------------------------------- Owens-Illinois, Inc.(1) 3,900 38,961 ------------------------------------------------------------------------------- Pactiv Corp.(1) 400 7,100 ------------------------------------------------------------------------------- Paxar Corp.(1) 900 12,780 ------------------------------------------------------------------------------- Photon Dynamics, Inc.(1) 800 36,520 ------------------------------------------------------------------------------- Photronics, Inc.(1) 300 9,405 ------------------------------------------------------------------------------- Plexus Corp.(1) 600 15,936 ------------------------------------------------------------------------------- Quidel Corp.(1) 1,600 12,304 ------------------------------------------------------------------------------- Ryder Systems, Inc. 800 17,720 ------------------------------------------------------------------------------- Silgan Holdings, Inc.(1) 600 15,696 ------------------------------------------------------------------------------- Simpson Manufacturing Co., Inc.(1) 100 5,730 ------------------------------------------------------------------------------- SLI, Inc. 200 522 ------------------------------------------------------------------------------- SPS Technologies, Inc.(1) 300 10,476 ------------------------------------------------------------------------------- Terex Corp.(1) 100 1,754 ------------------------------------------------------------------------------- Timken Co. 100 1,618 ------------------------------------------------------------------------------- United Defense Industries, Inc.(1) 1,400 29,470 ------------------------------------------------------------------------------- Wabtec Corp. 400 4,920 -------- 686,149 ------------------------------------------------------------------------------- Communication Services--2.8% ------------------------------------------------------------------------------- Telecommunications: Long Distance--1.7% C&D Technologies, Inc. 1,400 31,990 ------------------------------------------------------------------------------- Copper Mountain Networks, Inc.(1) 5,400 9,126 ------------------------------------------------------------------------------- Corvis Corp.(1) 13,300 42,959 ------------------------------------------------------------------------------- ECI Telecommunications Ltd. 3,700 19,869 ------------------------------------------------------------------------------- General Cable Corp. 2,900 37,990 ------------------------------------------------------------------------------- General Communication, Inc., Cl. A(1) 3,300 28,149 ------------------------------------------------------------------------------- IDT Corp. 300 5,853
8 Oppenheimer Main Street Small Cap Fund/VA Statement of Investments (Continued)
Market Value Shares See Note 1 ------------------------------------------------------------------------------- Telecommunications: Long Distance (continued) Infonet Services Corp., Cl. B(1) 7,300 $ 17,885 ------------------------------------------------------------------------------- InterVoice-Brite, Inc.(1) 2,500 32,000 ------------------------------------------------------------------------------- Lightbridge, Inc.(1) 2,100 25,515 ------------------------------------------------------------------------------- MasTec, Inc.(1) 3,700 25,715 ------------------------------------------------------------------------------- Somera Communications, Inc.(1) 2,500 18,875 ------------------------------------------------------------------------------- SymmetriCom, Inc.(1) 2,900 22,069 -------- 317,995 ------------------------------------------------------------------------------- Telephone Utilities--0.3% Choice One Communications, Inc.(1) 700 2,450 ------------------------------------------------------------------------------- Commonwealth Telephone Enterprises, Inc.(1) 800 36,400 ------------------------------------------------------------------------------- Next Level Communications, Inc.(1) 3,100 10,385 -------- 49,235 ------------------------------------------------------------------------------- Telecommunications: Wireless--0.8% AirGate PCS, Inc.(1) 400 18,220 ------------------------------------------------------------------------------- Dobson Communications Corp., Cl. A(1) 800 6,832 ------------------------------------------------------------------------------- Optical Communication Products, Inc.(1) 3,200 12,608 ------------------------------------------------------------------------------- SBA Communications Corp.(1) 2,300 29,946 ------------------------------------------------------------------------------- Spectrasite Holdings, Inc.(1) 6,700 24,053 ------------------------------------------------------------------------------- UbiquiTel, Inc.(1) 3,700 27,565 ------------------------------------------------------------------------------- Williams Communications Group, Inc.(1) 14,100 33,135 ------------------------------------------------------------------------------- Wireless Facilities, Inc.(1) 200 1,346 -------- 153,705 ------------------------------------------------------------------------------- Consumer Cyclicals--17.8% ------------------------------------------------------------------------------- Autos & Housing--5.9% Advance Auto Parts, Inc.(1) 363 18,059 ------------------------------------------------------------------------------- Aftermarket Technology Corp.(1) 2,100 34,020 ------------------------------------------------------------------------------- Apogee Enterprises, Inc. 1,300 20,566 ------------------------------------------------------------------------------- Applica, Inc.(1) 2,700 24,327 ------------------------------------------------------------------------------- ArvinMeritor, Inc. 800 15,712 ------------------------------------------------------------------------------- Bandag, Inc. 200 6,952 ------------------------------------------------------------------------------- Beazer Homes USA, Inc.(1) 300 21,951 ------------------------------------------------------------------------------- Borg-Warner Automotive, Inc. 400 20,900 ------------------------------------------------------------------------------- Building Materials Holding Corp.(1) 2,000 21,700 ------------------------------------------------------------------------------- Champion Enterprises, Inc.(1) 700 8,617 ------------------------------------------------------------------------------- Cooper Tire & Rubber Co. 700 11,172 ------------------------------------------------------------------------------- Copart, Inc.(1) 300 10,911 ------------------------------------------------------------------------------- Dal-Tile International, Inc.(1) 1,600 37,200 ------------------------------------------------------------------------------- Direct Focus, Inc.(1) 1,500 46,800 ------------------------------------------------------------------------------- Dollar Thrifty Automotive Group, Inc.(1) 1,900 29,450 ------------------------------------------------------------------------------- Dura Automotive Systems, Inc.(1) 1,200 13,200 ------------------------------------------------------------------------------- Elcor Corp. 1,500 41,685 ------------------------------------------------------------------------------- Florida Rock Industries, Inc. 700 25,606 ------------------------------------------------------------------------------- Gardner Denver, Inc.(1) 1,100 24,552
Oppenheimer Main Street Small Cap Fund/VA 9 Statement of Investments (Continued)
Market Value Shares See Note 1 ------------------------------------------------------------------------------- Autos & Housing (continued) Group 1 Automotive, Inc.(1) 900 $ 25,659 ------------------------------------------------------------------------------- Harman International Industries, Inc. 400 18,040 ------------------------------------------------------------------------------- Hovnanian Enterprises, Inc., Cl. A(1) 100 2,128 ------------------------------------------------------------------------------- Hughes Supply, Inc. 1,000 30,870 ------------------------------------------------------------------------------- Kennametal, Inc. 700 28,189 ------------------------------------------------------------------------------- Lancaster Colony Corp. 300 10,653 ------------------------------------------------------------------------------- Lear Corp.(1) 700 26,698 ------------------------------------------------------------------------------- M.D.C. Holdings, Inc. 990 37,412 ------------------------------------------------------------------------------- M/I Schottenstein Homes, Inc. 100 4,977 ------------------------------------------------------------------------------- Meritage Corp.(1) 300 15,390 ------------------------------------------------------------------------------- Pep Boys--Manny, Moe & Jack 1,000 17,150 ------------------------------------------------------------------------------- Polaris Industries, Inc. 500 28,875 ------------------------------------------------------------------------------- Recoton Corp.(1) 1,300 17,680 ------------------------------------------------------------------------------- Ryland Group, Inc. (The) 200 14,640 ------------------------------------------------------------------------------- Salton, Inc.(1) 500 9,440 ------------------------------------------------------------------------------- Schuler Homes, Inc.(1) 500 9,925 ------------------------------------------------------------------------------- Sonic Automotive, Inc.(1) 900 21,096 ------------------------------------------------------------------------------- Standard Pacific Corp. 1,100 26,752 ------------------------------------------------------------------------------- Sturm, Ruger & Co., Inc. 2,500 29,950 ------------------------------------------------------------------------------- Superior Industries International, Inc. 500 20,125 ------------------------------------------------------------------------------- TBC Corp.(1) 1,900 25,441 ------------------------------------------------------------------------------- Texas Industries, Inc. 700 25,830 ------------------------------------------------------------------------------- Thor Industries, Inc. 200 7,410 ------------------------------------------------------------------------------- Toll Brothers, Inc.(1) 200 8,780 ------------------------------------------------------------------------------- Toro Co. (The) 800 36,000 ------------------------------------------------------------------------------- Tower Automotive, Inc.(1) 4,000 36,120 ------------------------------------------------------------------------------- Trex Co., Inc.(1) 300 5,697 ------------------------------------------------------------------------------- United Auto Group, Inc.(1) 400 10,324 ------------------------------------------------------------------------------- Universal Forest Products, Inc. 1,800 37,674 ------------------------------------------------------------------------------- Visteon Corp. 2,300 34,592 ------------------------------------------------------------------------------- Watsco, Inc. 400 5,680 ------------------------------------------------------------------------------- York International Corp. 1,000 38,130 ---------- 1,100,707 ------------------------------------------------------------------------------- Consumer Services--1.6% Advo, Inc.(1) 600 25,800 ------------------------------------------------------------------------------- AmeriPath, Inc.(1) 900 29,034 ------------------------------------------------------------------------------- Arbitron, Inc.(1) 1,200 40,980 ------------------------------------------------------------------------------- Boron, LePore & Associates, Inc.(1) 2,700 37,233 ------------------------------------------------------------------------------- Cendant Corp.(1) 1,593 31,239 ------------------------------------------------------------------------------- Cornell Corrections, Inc.(1) 300 5,295 ------------------------------------------------------------------------------- FTI Consulting, Inc. 800 26,240 ------------------------------------------------------------------------------- infoUSA, Inc.(1) 100 694
10 Oppenheimer Main Street Small Cap Fund/VA Statement of Investments (Continued)
Market Value Shares See Note 1 ------------------------------------------------------------------------------- Consumer Services (continued) Korn/Ferry International 400 $ 4,260 ------------------------------------------------------------------------------- Midas, Inc. 300 3,450 ------------------------------------------------------------------------------- ProBusiness Services, Inc.(1) 100 1,880 ------------------------------------------------------------------------------- Rent-A-Center, Inc.(1) 500 16,785 ------------------------------------------------------------------------------- Rightchoice Managed Care, Inc.(1) 200 13,998 ------------------------------------------------------------------------------- Steiner Leisure Ltd.(1) 700 14,875 ------------------------------------------------------------------------------- Stewart Enterprises, Inc.(1) 1,600 9,584 ------------------------------------------------------------------------------- Travelocity.com, Inc.(1) 1,400 40,194 -------- 301,541 ------------------------------------------------------------------------------- Leisure & Entertainment--2.4% Action Performance Cos., Inc.(1) 1,300 39,793 ------------------------------------------------------------------------------- Alliance Gaming Corp.(1) 1,100 32,329 ------------------------------------------------------------------------------- Ameristar Casinos, Inc.(1) 1,800 45,090 ------------------------------------------------------------------------------- Arctic Cat, Inc. 1,600 27,200 ------------------------------------------------------------------------------- Argosy Gaming Co.(1) 600 19,512 ------------------------------------------------------------------------------- Boyd Gaming Corp.(1) 2,500 16,250 ------------------------------------------------------------------------------- Callaway Golf Co. 500 9,575 ------------------------------------------------------------------------------- Choice Hotels International, Inc.(1) 1,400 31,010 ------------------------------------------------------------------------------- Extended Stay America, Inc.(1) 900 14,760 ------------------------------------------------------------------------------- JAKKS Pacific, Inc.(1) 1,800 34,110 ------------------------------------------------------------------------------- Mandalay Resort Group(1) 1,700 36,380 ------------------------------------------------------------------------------- MTR Gaming Group, Inc.(1) 2,800 44,800 ------------------------------------------------------------------------------- Pegasus Solutions, Inc.(1) 300 4,260 ------------------------------------------------------------------------------- Prime Hospitality Corp.(1) 1,000 11,050 ------------------------------------------------------------------------------- Shuffle Master, Inc.(1) 1,500 23,505 ------------------------------------------------------------------------------- Spherion Corp.(1) 2,400 23,424 ------------------------------------------------------------------------------- West Marine, Inc.(1) 2,200 32,318 -------- 445,366 ------------------------------------------------------------------------------- Media--0.8% Banta Corp. 400 11,808 ------------------------------------------------------------------------------- Consolidated Graphics, Inc.(1) 700 13,475 ------------------------------------------------------------------------------- Entravision Communications Corp.(1) 400 4,780 ------------------------------------------------------------------------------- Harland (John H.) Co. 700 15,470 ------------------------------------------------------------------------------- Hollinger International, Inc. 100 1,170 ------------------------------------------------------------------------------- Imagistics International, Inc. 2,900 35,815 ------------------------------------------------------------------------------- Journal Register Co.(1) 100 2,104 ------------------------------------------------------------------------------- Kadant, Inc.(1) 400 5,800 ------------------------------------------------------------------------------- Media General, Inc., Cl. A 100 4,983 ------------------------------------------------------------------------------- NetRatings, Inc.(1) 800 12,544 ------------------------------------------------------------------------------- PRIMEDIA, Inc.(1) 7,500 32,625 ------------------------------------------------------------------------------- R.H. Donnelley Corp.(1) 400 11,620 -------- 152,194
Oppenheimer Main Street Small Cap Fund/VA 11 Statement of Investments (Continued)
Market Value Shares See Note 1 ------------------------------------------------------------------------------- Retail: General--0.4% A.C. Moore Arts & Crafts, Inc.(1) 400 $11,800 ------------------------------------------------------------------------------- Saks, Inc.(1) 2,600 24,284 ------------------------------------------------------------------------------- Tuesday Morning Corp.(1) 1,600 28,944 ------------------------------------------------------------------------------- Value City Department Stores, Inc.(1) 600 2,820 ------- 67,848 ------------------------------------------------------------------------------- Retail: Specialty--5.0% 1-800 CONTACTS, Inc.(1) 1,000 12,440 ------------------------------------------------------------------------------- American Eagle Outfitters, Inc.(1) 600 15,702 ------------------------------------------------------------------------------- American Greetings Corp., Cl. A 2,200 30,316 ------------------------------------------------------------------------------- Big Lots, Inc. 2,800 29,120 ------------------------------------------------------------------------------- Borders Group, Inc.(1) 600 11,904 ------------------------------------------------------------------------------- Buckle, Inc. (The)(1) 400 8,920 ------------------------------------------------------------------------------- Burlington Coat Factory Warehouse Corp. 1,200 20,160 ------------------------------------------------------------------------------- Cash America International, Inc. 3,800 32,300 ------------------------------------------------------------------------------- Cato Corp., Cl. A 700 13,230 ------------------------------------------------------------------------------- Children's Place Retail Stores, Inc.(1) 1,000 27,150 ------------------------------------------------------------------------------- Circuit City Stores, Inc./CarMax Group(1) 2,200 50,028 ------------------------------------------------------------------------------- CSK Auto Corp.(1) 1,200 11,940 ------------------------------------------------------------------------------- dELIA(*)s Corp., Cl. A(1) 100 620 ------------------------------------------------------------------------------- Department 56, Inc.(1) 500 4,300 ------------------------------------------------------------------------------- Electronics Boutique Holdings Corp.(1) 200 7,988 ------------------------------------------------------------------------------- Factory 2-U Stores, Inc.(1) 500 10,020 ------------------------------------------------------------------------------- Finish Line, Inc., Cl. A(1) 1,200 18,348 ------------------------------------------------------------------------------- Fossil, Inc.(1) 800 16,800 ------------------------------------------------------------------------------- G & K Services, Inc., Cl. A 900 29,070 ------------------------------------------------------------------------------- Galyan's Trading Co.(1) 700 9,968 ------------------------------------------------------------------------------- Genesco, Inc.(1) 300 6,228 ------------------------------------------------------------------------------- Gymboree Corp.(1) 3,500 41,755 ------------------------------------------------------------------------------- Helen of Troy Ltd.(1) 2,300 28,543 ------------------------------------------------------------------------------- Insight Enterprises, Inc.(1) 1,100 27,060 ------------------------------------------------------------------------------- MCSi, Inc.(1) 500 11,725 ------------------------------------------------------------------------------- Men's Wearhouse, Inc. (The)(1) 900 18,585 ------------------------------------------------------------------------------- Michaels Stores, Inc.(1) 800 26,360 ------------------------------------------------------------------------------- Movado Group, Inc. 200 3,840 ------------------------------------------------------------------------------- Movie Gallery, Inc.(1) 1,350 32,886 ------------------------------------------------------------------------------- O'Reilly Automotive, Inc.(1) 500 18,235 ------------------------------------------------------------------------------- OfficeMax, Inc.(1) 4,100 18,450 ------------------------------------------------------------------------------- PC Connection, Inc.(1) 300 4,449 ------------------------------------------------------------------------------- PetsMart, Inc.(1) 600 5,904 ------------------------------------------------------------------------------- Reebok International Ltd.(1) 1,000 26,500 ------------------------------------------------------------------------------- Regis Corp. of Minnesota 900 23,202 ------------------------------------------------------------------------------- Rex Stores Corp.(1) 600 16,812 ------------------------------------------------------------------------------- Ross Stores, Inc. 900 28,872 ------------------------------------------------------------------------------- School Specialty, Inc.(1) 1,300 29,744
12 Oppenheimer Main Street Small Cap Fund/VA Statement of Investments (Continued)
Market Value Shares See Note 1 ------------------------------------------------------------------------------- Retail: Specialty (continued) Smart & Final, Inc.(1) 400 $ 4,176 ------------------------------------------------------------------------------- Spiegel, Inc., Cl. A 300 1,365 ------------------------------------------------------------------------------- Sports Authority, Inc. (The)(1) 3,900 22,230 ------------------------------------------------------------------------------- Stride Rite Corp. 1,900 12,445 ------------------------------------------------------------------------------- Timberland Co., Cl. A(1) 300 11,124 ------------------------------------------------------------------------------- Tractor Supply Co.(1) 1,500 51,120 ------------------------------------------------------------------------------- Trans World Entertainment Corp.(1) 2,100 15,960 ------------------------------------------------------------------------------- Ultimate Electronics, Inc.(1) 100 3,000 ------------------------------------------------------------------------------- UniFirst Corp. 1,600 36,080 ------------------------------------------------------------------------------- Urban Outfitters, Inc.(1) 600 14,472 ------------------------------------------------------------------------------- Wet Seal, Inc., Cl. A(1) 1,100 25,905 ------------------------------------------------------------------------------- Wolverine World Wide, Inc. 400 6,020 -------- 933,371 ------------------------------------------------------------------------------- Textile, Apparel & Home Furnishings--1.7% bebe stores, inc.(1) 1,400 26,124 ------------------------------------------------------------------------------- Deb Shops, Inc. 1,700 41,225 ------------------------------------------------------------------------------- Gildan Activewear, Inc., Cl. A 200 2,868 ------------------------------------------------------------------------------- Hancock Fabrics, Inc. 2,600 34,190 ------------------------------------------------------------------------------- K-Swiss, Inc., Cl. A 500 16,625 ------------------------------------------------------------------------------- Kenneth Cole Productions, Inc., Cl. A(1) 1,700 30,090 ------------------------------------------------------------------------------- Maxwell Shoe Co., Inc.(1) 1,800 25,380 ------------------------------------------------------------------------------- Mohawk Industries, Inc.(1) 800 43,904 ------------------------------------------------------------------------------- OshKosh B'Gosh, Inc., Cl. A 200 8,388 ------------------------------------------------------------------------------- Quaker Fabric Corp.(1) 2,900 24,099 ------------------------------------------------------------------------------- Quicksilver, Inc.(1) 2,000 34,400 ------------------------------------------------------------------------------- Steven Madden Ltd.(1) 700 9,849 ------------------------------------------------------------------------------- Too, Inc.(1) 300 8,250 ------------------------------------------------------------------------------- Vans, Inc.(1) 1,100 14,014 -------- 319,406 ------------------------------------------------------------------------------- Consumer Staples--6.5% ------------------------------------------------------------------------------- Beverages--0.4% Boston Beer Co., Inc., Cl. A(1) 2,400 41,160 ------------------------------------------------------------------------------- Cott Corp. 1,700 27,030 ------------------------------------------------------------------------------- Mondavi, Robert Corp. (The), Cl. A(1) 100 3,800 -------- 71,990 ------------------------------------------------------------------------------- Broadcasting--0.8% Crown Media Holdings, Inc., Cl. A(1) 1,300 14,677 ------------------------------------------------------------------------------- Cumulus Media, Inc., Cl. A(1) 100 1,618 ------------------------------------------------------------------------------- Gaiam, Inc.(1) 900 19,620 ------------------------------------------------------------------------------- Insight Communications Co., Inc.(1) 400 9,664 ------------------------------------------------------------------------------- Pegasus Communications Corp.(1) 3,300 34,353 ------------------------------------------------------------------------------- Saga Communications, Inc., Cl. A(1) 900 18,630 ------------------------------------------------------------------------------- Spanish Broadcasting System, Inc., Cl. A(1) 2,200 21,758 ------------------------------------------------------------------------------- TiVo, Inc.(1) 3,700 24,235 -------- 144,555
Oppenheimer Main Street Small Cap Fund/VA 13 Statement of Investments (Continued)
Market Value Shares See Note 1 ------------------------------------------------------------------------------- Education--0.2% DigitalThink, Inc.(1) 100 $ 1,080 ------------------------------------------------------------------------------- Learning Tree International, Inc.(1) 600 16,740 ------------------------------------------------------------------------------- PLATO Learning, Inc.(1) 1,366 22,689 -------- 40,509 ------------------------------------------------------------------------------- Entertainment--2.4% 3DO Co. (The)(1) 300 624 ------------------------------------------------------------------------------- AFC Enterprises, Inc.(1) 400 11,356 ------------------------------------------------------------------------------- AMC Entertainment, Inc.(1) 3,100 37,200 ------------------------------------------------------------------------------- Applebee's International, Inc. 300 10,260 ------------------------------------------------------------------------------- Aztar Corp.(1) 700 12,810 ------------------------------------------------------------------------------- Bob Evans Farms, Inc. 200 4,914 ------------------------------------------------------------------------------- CBRL Group, Inc. 700 20,608 ------------------------------------------------------------------------------- Hollywood Entertainment Corp.(1) 2,500 35,725 ------------------------------------------------------------------------------- IHOP Corp.(1) 800 23,440 ------------------------------------------------------------------------------- Landry's Restaurants, Inc. 2,100 39,165 ------------------------------------------------------------------------------- LodgeNet Entertainment Corp.(1) 1,200 20,508 ------------------------------------------------------------------------------- Lone Star Steakhouse & Saloon, Inc. 2,400 35,592 ------------------------------------------------------------------------------- P.F. Chang's China Bistro, Inc.(1) 100 4,730 ------------------------------------------------------------------------------- Pixar, Inc.(1) 1,000 35,960 ------------------------------------------------------------------------------- Ruby Tuesday, Inc. 2,300 47,449 ------------------------------------------------------------------------------- Ryan's Family Steak Houses, Inc.(1) 2,200 47,630 ------------------------------------------------------------------------------- Steak n Shake Co. (The)(1) 1,400 15,456 ------------------------------------------------------------------------------- THQ, Inc.(1) 100 4,847 ------------------------------------------------------------------------------- Topps Co., Inc. (The)(1) 2,700 32,805 -------- 441,079 ------------------------------------------------------------------------------- Food--1.3% Del Monte Foods Co.(1) 300 2,553 ------------------------------------------------------------------------------- Dole Food Co., Inc. 1,400 37,562 ------------------------------------------------------------------------------- Fresh Del Monte Produce, Inc.(1) 2,700 40,635 ------------------------------------------------------------------------------- Green Mountain Coffee, Inc.(1) 1,100 30,129 ------------------------------------------------------------------------------- J & J Snack Foods Corp.(1) 600 14,670 ------------------------------------------------------------------------------- Lance, Inc. 2,200 31,438 ------------------------------------------------------------------------------- Nash Finch Co. 200 6,220 ------------------------------------------------------------------------------- Nature's Sunshine Products, Inc. 1,800 21,132 ------------------------------------------------------------------------------- NBTY, Inc.(1) 400 4,680 ------------------------------------------------------------------------------- Ralcorp Holdings, Inc.(1) 1,000 22,700 ------------------------------------------------------------------------------- Sanderson Farms, Inc. 1,000 21,350 ------------------------------------------------------------------------------- Tasty Baking Co. 200 3,540 ------------------------------------------------------------------------------- Triarc Cos.(1) 400 9,720 -------- 246,329
14 Oppenheimer Main Street Small Cap Fund/VA Statement of Investments (Continued)
Market Value Shares See Note 1 ------------------------------------------------------------------------------- Food & Drug Retailers--0.4% Duane Reade, Inc.(1) 200 $ 6,070 ------------------------------------------------------------------------------- Fleming Cos., Inc. 1,500 27,750 ------------------------------------------------------------------------------- Great Atlantic & Pacific Tea Co., Inc. (The)(1) 200 4,756 ------------------------------------------------------------------------------- Spartan Stores, Inc.(1) 1,100 13,156 ------------------------------------------------------------------------------- United Natural Foods, Inc.(1) 1,000 25,000 -------- 76,732 ------------------------------------------------------------------------------- Household Goods--0.7% Dial Corp. (The) 2,100 36,015 ------------------------------------------------------------------------------- Nu Skin Asia Pacific, Inc., Cl. A 3,900 34,125 ------------------------------------------------------------------------------- Revlon, Inc., Cl. A(1) 3,000 19,980 ------------------------------------------------------------------------------- Schweitzer-Mauduit International, Inc. 1,300 30,875 ------------------------------------------------------------------------------- Tupperware Corp. 300 5,775 -------- 126,770 ------------------------------------------------------------------------------- Tobacco--0.3% DIMON, Inc. 3,600 25,920 ------------------------------------------------------------------------------- Standard Commercial Corp. 1,500 24,750 -------- 50,670 ------------------------------------------------------------------------------- Energy--6.1% ------------------------------------------------------------------------------- Energy Services--2.9% Active Power, Inc.(1) 2,600 17,680 ------------------------------------------------------------------------------- Arch Coal, Inc. 1,700 38,590 ------------------------------------------------------------------------------- Cal Dive International, Inc.(1) 600 14,808 ------------------------------------------------------------------------------- Carbo Ceramics, Inc. 400 15,664 ------------------------------------------------------------------------------- Core Laboratories NV(1) 500 7,010 ------------------------------------------------------------------------------- Ensign Resource Service Group, Inc. 2,600 21,744 ------------------------------------------------------------------------------- Global Industries Ltd.(1) 4,000 35,600 ------------------------------------------------------------------------------- Grant Prideco, Inc.(1) 4,200 48,300 ------------------------------------------------------------------------------- Grey Wolf, Inc.(1) 9,300 27,621 ------------------------------------------------------------------------------- Headwaters, Inc.(1) 2,500 28,650 ------------------------------------------------------------------------------- Helmerich & Payne, Inc. 1,300 43,394 ------------------------------------------------------------------------------- Horizon Offshore, Inc.(1) 1,600 12,064 ------------------------------------------------------------------------------- Lufkin Industries, Inc. 400 10,720 ------------------------------------------------------------------------------- Massey Energy Co. 1,800 37,314 ------------------------------------------------------------------------------- Meridian Resource Corp. (The)(1) 1,000 3,990 ------------------------------------------------------------------------------- Oceaneering International, Inc.(1) 600 13,272 ------------------------------------------------------------------------------- Precision Drilling Corp.(1) 1,400 36,148 ------------------------------------------------------------------------------- Rowan Cos., Inc.(1) 700 13,559 ------------------------------------------------------------------------------- Superior Energy Services, Inc.(1) 1,500 12,975 ------------------------------------------------------------------------------- Tesco Corp.(1) 1,000 8,294 ------------------------------------------------------------------------------- Torch Offshore, Inc.(1) 600 3,600 ------------------------------------------------------------------------------- Trican Well Service Ltd.(1) 3,000 24,995 ------------------------------------------------------------------------------- Trico Marine Services, Inc.(1) 1,700 12,835 ------------------------------------------------------------------------------- Varco International, Inc.(1) 1,800 26,964 ------------------------------------------------------------------------------- W-H Energy Services, Inc.(1) 900 17,145 -------- 532,936
Oppenheimer Main Street Small Cap Fund/VA 15 Statement of Investments (Continued)
Market Value Shares See Note 1 ------------------------------------------------------------------------------- Oil: Domestic--2.1% Callon Petroleum Co.(1) 2,100 $ 14,385 ------------------------------------------------------------------------------- Comstock Resources, Inc.(1) 500 3,500 ------------------------------------------------------------------------------- Denbury Resources, Inc.(1) 1,700 12,427 ------------------------------------------------------------------------------- Energy Partners Ltd.(1) 400 3,020 ------------------------------------------------------------------------------- Frontier Oil Corp. 2,600 43,264 ------------------------------------------------------------------------------- Holly Corp. 1,400 26,950 ------------------------------------------------------------------------------- KCS Energy, Inc.(1) 200 624 ------------------------------------------------------------------------------- OSCA, Inc.(1) 1,100 22,935 ------------------------------------------------------------------------------- Pride International, Inc.(1) 2,600 39,260 ------------------------------------------------------------------------------- Quicksilver Resources, Inc.(1) 2,000 38,100 ------------------------------------------------------------------------------- Range Resources Corp.(1) 1,000 4,550 ------------------------------------------------------------------------------- Seitel, Inc.(1) 1,200 16,320 ------------------------------------------------------------------------------- Spinnaker Exploration Co.(1) 300 12,348 ------------------------------------------------------------------------------- Sunoco, Inc. 800 29,872 ------------------------------------------------------------------------------- Swift Energy Co.(1) 1,200 24,240 ------------------------------------------------------------------------------- Ultramar Diamond Shamrock Corp. 1,000 49,480 ------------------------------------------------------------------------------- Unit Corp.(1) 2,200 28,380 ------------------------------------------------------------------------------- Vintage Petroleum, Inc. 1,800 26,010 -------- 395,665 ------------------------------------------------------------------------------- Oil: International--1.1% Baytex Energy Ltd.(1) 10,000 27,376 ------------------------------------------------------------------------------- Canadian 88 Energy Corp.(1) 11,000 12,404 ------------------------------------------------------------------------------- Compton Petroleum Corp.(1) 8,000 21,049 ------------------------------------------------------------------------------- Meota Resources Corp.(1) 9,800 20,137 ------------------------------------------------------------------------------- Paramount Resources Ltd.(1) 4,000 35,332 ------------------------------------------------------------------------------- Penn West Petroleum Ltd.(1) 700 15,523 ------------------------------------------------------------------------------- Purcell Energy Ltd.(1) 8,000 16,538 ------------------------------------------------------------------------------- Rio Alto Exploration Ltd.(1) 1,600 18,743 ------------------------------------------------------------------------------- Ventus Energy Ltd.(1) 11,000 20,673 ------------------------------------------------------------------------------- Vermilion Resources Ltd.(1) 2,000 12,529 -------- 200,304 ------------------------------------------------------------------------------- Financial--14.5% ------------------------------------------------------------------------------- Banks--7.4% 1st Source Corp. 1,500 31,050 ------------------------------------------------------------------------------- American Financial Holdings, Inc. 400 10,164 ------------------------------------------------------------------------------- American Home Mortgage Holdings, Inc. 2,300 27,830 ------------------------------------------------------------------------------- Arrow Financial Corp. 420 12,260 ------------------------------------------------------------------------------- Astoria Financial Corp. 1,400 37,044 ------------------------------------------------------------------------------- BancFirst Corp. 300 10,410 ------------------------------------------------------------------------------- Banner Corp. 500 8,455 ------------------------------------------------------------------------------- Boston Private Financial Holdings, Inc. 300 6,621 ------------------------------------------------------------------------------- BSB Bancorp, Inc. 200 4,742 ------------------------------------------------------------------------------- Citizens Banking Corp. 400 13,152
16 Oppenheimer Main Street Small Cap Fund/VA Statement of Investments (Continued)
Market Value Shares See Note 1 ------------------------------------------------------------------------------- Banks (continued) Coastal Bancorp, Inc. 700 $20,230 ------------------------------------------------------------------------------- Commercial Federal Corp. 1,300 30,550 ------------------------------------------------------------------------------- Community Banks, Inc. 400 10,800 ------------------------------------------------------------------------------- Community First Bankshares, Inc. 1,000 25,690 ------------------------------------------------------------------------------- Connecticut Bancshares, Inc. 900 23,265 ------------------------------------------------------------------------------- CVB Financial Corp. 300 7,020 ------------------------------------------------------------------------------- Dime Community Bancshares, Inc. 1,450 40,687 ------------------------------------------------------------------------------- Downey Financial Corp. 700 28,875 ------------------------------------------------------------------------------- F.N.B. Corp. 700 18,445 ------------------------------------------------------------------------------- First BanCorp 600 17,100 ------------------------------------------------------------------------------- First Commonwealth Financial Corp. 400 4,608 ------------------------------------------------------------------------------- First Federal Capital Corp. 800 12,560 ------------------------------------------------------------------------------- First Financial Bankshares, Inc. 200 6,020 ------------------------------------------------------------------------------- First Indiana Corp. 700 15,337 ------------------------------------------------------------------------------- First Midwest Bancorp, Inc. 450 13,135 ------------------------------------------------------------------------------- First Place Financial Corp. 800 12,600 ------------------------------------------------------------------------------- First Republic Bank(1) 400 9,660 ------------------------------------------------------------------------------- First Sentinel Bancorp, Inc. 3,900 48,828 ------------------------------------------------------------------------------- Glacier Bancorp, Inc. 1,200 24,984 ------------------------------------------------------------------------------- Harbor Florida Bancshares, Inc. 2,700 45,900 ------------------------------------------------------------------------------- Hibernia Corp., Cl. A 2,700 48,033 ------------------------------------------------------------------------------- Hudson United Bancorp 100 2,870 ------------------------------------------------------------------------------- Independence Community Bank Corp. 2,100 47,796 ------------------------------------------------------------------------------- Independent Bank Corp.--Massachusetts 1,800 38,682 ------------------------------------------------------------------------------- Independent Bank Corp.--Michigan 1,090 30,302 ------------------------------------------------------------------------------- International Bancshares Corp. 500 21,075 ------------------------------------------------------------------------------- Irwin Financial Corp. 500 8,500 ------------------------------------------------------------------------------- Knight Trading Group, Inc.(1) 800 8,816 ------------------------------------------------------------------------------- MAF Bancorp, Inc. 1,500 44,250 ------------------------------------------------------------------------------- Main Street Banks, Inc. 500 8,200 ------------------------------------------------------------------------------- Mississippi Valley Bancshares, Inc. 800 31,360 ------------------------------------------------------------------------------- NBT Bancorp, Inc. 600 8,694 ------------------------------------------------------------------------------- Net.B@nk, Inc.(1) 100 1,048 ------------------------------------------------------------------------------- Old Second Bancorp, Inc. 200 7,884 ------------------------------------------------------------------------------- Oriental Financial Group, Inc. 300 5,580 ------------------------------------------------------------------------------- Pacific Northwest Bancorp 2,500 51,150 ------------------------------------------------------------------------------- PFF Bancorp, Inc. 900 24,840 ------------------------------------------------------------------------------- Prosperity Bancshares, Inc. 2,000 53,980 ------------------------------------------------------------------------------- Provident Financial Group, Inc. 400 10,512 ------------------------------------------------------------------------------- Quaker City Bancorp, Inc.(1) 300 8,955 ------------------------------------------------------------------------------- R & G Financial Corp., Cl. B 1,800 30,852 ------------------------------------------------------------------------------- Republic Bancorp, Inc. 510 7,064 ------------------------------------------------------------------------------- Republic Bancorp, Inc., Cl. A 1,100 14,839
Oppenheimer Main Street Small Cap Fund/VA 17 Statement of Investments (Continued)
Market Value Shares See Note 1 ------------------------------------------------------------------------------- Banks (continued) Roslyn Bancorp, Inc. 2,550 $ 44,625 ------------------------------------------------------------------------------- S&T Bancorp, Inc. 1,300 31,564 ------------------------------------------------------------------------------- Sandy Spring Bancorp, Inc. 1,500 47,790 ------------------------------------------------------------------------------- Seacoast Banking Corp. of Florida, Cl. A 500 23,200 ------------------------------------------------------------------------------- Seacoast Financial Services Corp. 2,300 39,445 ------------------------------------------------------------------------------- Second Bancorp, Inc. 700 15,127 ------------------------------------------------------------------------------- South Financial Group, Inc. (The) 1,200 21,300 ------------------------------------------------------------------------------- St. Francis Capital Corp. 600 13,878 ------------------------------------------------------------------------------- Staten Island Bancorp, Inc. 700 11,417 ------------------------------------------------------------------------------- Umpqua Holdings Corp. 100 1,350 ------------------------------------------------------------------------------- United National Bancorp 600 14,406 ------------------------------------------------------------------------------- Waypoint Financial Corp. 400 6,032 ------------------------------------------------------------------------------- WesBanco, Inc. 400 8,452 ---------- 1,371,890 ------------------------------------------------------------------------------- Diversified Financial--3.0% Actrade Financial Technologies Ltd.(1) 1,400 41,230 ------------------------------------------------------------------------------- Affiliated Managers Group, Inc.(1) 500 35,240 ------------------------------------------------------------------------------- BancFirst Ohio Corp. 200 4,830 ------------------------------------------------------------------------------- Centennial Bancorp 1,365 10,074 ------------------------------------------------------------------------------- Credit Acceptance Corp.(1) 1,100 9,790 ------------------------------------------------------------------------------- DiamondCluster International, Inc., A Shares(1) 2,900 37,990 ------------------------------------------------------------------------------- Doral Financial Corp. 900 28,089 ------------------------------------------------------------------------------- eFunds Corp.(1) 2,500 34,375 ------------------------------------------------------------------------------- Federal Agricultural Mortgage Corp., Non-Vtg.(1) 1,100 44,550 ------------------------------------------------------------------------------- Financial Federal Corp.(1) 300 9,375 ------------------------------------------------------------------------------- First American Corp. (The) 1,000 18,740 ------------------------------------------------------------------------------- Gabelli Asset Management, Inc.(1) 500 21,600 ------------------------------------------------------------------------------- Global Payments, Inc. 600 20,640 ------------------------------------------------------------------------------- IBERIABANK Corp. 900 24,948 ------------------------------------------------------------------------------- Interactive Data Corp. 2,300 32,522 ------------------------------------------------------------------------------- Jefferies Group, Inc. 300 12,693 ------------------------------------------------------------------------------- Jones Lang LaSalle, Inc.(1) 100 1,805 ------------------------------------------------------------------------------- Ladenburg Thalmann Financial Services, Inc.(1) 144 125 ------------------------------------------------------------------------------- Medallion Financial Corp. 300 2,370 ------------------------------------------------------------------------------- MemberWorks, Inc.(1) 2,300 32,223 ------------------------------------------------------------------------------- Metris Cos., Inc. 1,600 41,136 ------------------------------------------------------------------------------- Mutual Risk Management Ltd. 400 2,920 ------------------------------------------------------------------------------- NCO Group, Inc.(1) 900 20,610 ------------------------------------------------------------------------------- Realty Income Corp. 100 2,940 ------------------------------------------------------------------------------- Resource Bancshares Mortgage Group, Inc. 3,800 43,548 ------------------------------------------------------------------------------- Student Loan Corp. (The) 100 8,060 ------------------------------------------------------------------------------- Trammell Crow Co.(1) 300 3,510
18 Oppenheimer Main Street Small Cap Fund/VA Statement of Investments (Continued)
Market Value Shares See Note 1 ------------------------------------------------------------------------------- Diversified Financial (continued) WFS Financial, Inc. 400 $ 9,604 ------------------------------------------------------------------------------- World Acceptance Corp.(1) 300 2,190 ------------------------------------------------------------------------------- Zenith National Insurance Corp. 200 5,588 -------- 563,315 ------------------------------------------------------------------------------- Insurance--1.8% Alfa Corp. 600 13,464 ------------------------------------------------------------------------------- AmerUs Group Co. 1,100 39,424 ------------------------------------------------------------------------------- Commerce Group, Inc. (The) 600 22,614 ------------------------------------------------------------------------------- Fremont General Corp. 5,100 39,882 ------------------------------------------------------------------------------- LandAmerica Financial Group, Inc. 1,100 31,570 ------------------------------------------------------------------------------- Ohio Casualty Corp.(1) 2,400 38,520 ------------------------------------------------------------------------------- Philadelphia Consolidated Holding Co.(1) 600 22,626 ------------------------------------------------------------------------------- Phoenix Cos., Inc. (The)(1) 400 7,400 ------------------------------------------------------------------------------- Reinsurance Group of America, Inc. 400 13,312 ------------------------------------------------------------------------------- Stewart Information Services Corp.(1) 800 15,800 ------------------------------------------------------------------------------- Trenwick Group Ltd. 3,300 33,561 ------------------------------------------------------------------------------- UICI(1) 1,700 22,950 ------------------------------------------------------------------------------- Vesta Insurance Group, Inc. 4,600 36,800 -------- 337,923 ------------------------------------------------------------------------------- Real Estate Investment Trusts--0.2% Indymac Mortgage Holdings, Inc.(1) 1,300 30,394 ------------------------------------------------------------------------------- Redwood Trust, Inc. 100 2,423 -------- 32,817 ------------------------------------------------------------------------------- Savings & Loans--2.1% BankAtlantic Bancorp, Inc. 2,100 19,278 ------------------------------------------------------------------------------- BankUnited Financial Corp., Cl. A(1) 1,700 25,245 ------------------------------------------------------------------------------- Bay View Capital Corp.(1) 2,200 16,126 ------------------------------------------------------------------------------- CFS Bancorp, Inc. 1,000 14,350 ------------------------------------------------------------------------------- Commonwealth Bancorp, Inc. 1,300 28,795 ------------------------------------------------------------------------------- Fidelity Bankshares, Inc. 2,416 38,584 ------------------------------------------------------------------------------- First Essex Bancorp, Inc. 500 14,090 ------------------------------------------------------------------------------- First Financial Holdings, Inc. 1,400 33,838 ------------------------------------------------------------------------------- First Niagara Financial Group, Inc. 1,300 21,879 ------------------------------------------------------------------------------- Flagstar Bancorp, Inc. 1,650 33,215 ------------------------------------------------------------------------------- Flushing Financial Corp. 1,050 18,690 ------------------------------------------------------------------------------- Hudson River Bancorp, Inc. 800 17,520 ------------------------------------------------------------------------------- Local Financial Corp.(1) 1,600 22,384 ------------------------------------------------------------------------------- PennFed Financial Services, Inc. 300 7,446 ------------------------------------------------------------------------------- Port Financial Corp. 600 15,642 ------------------------------------------------------------------------------- Troy Financial Corp. 800 19,840 ------------------------------------------------------------------------------- Webster Financial Corp. 1,200 37,836 ------------------------------------------------------------------------------- WSFS Financial Corp. 400 6,940 -------- 391,698
Oppenheimer Main Street Small Cap Fund/VA 19 Statement of Investments (Continued)
Market Value Shares See Note 1 ------------------------------------------------------------------------------- Healthcare--13.0% ------------------------------------------------------------------------------- Healthcare/Drugs--6.8% Aclara Biosciences, Inc.(1) 1,200 $ 6,084 ------------------------------------------------------------------------------- Advanced Tissue Sciences, Inc., Cl. A(1) 200 872 ------------------------------------------------------------------------------- Alkermes, Inc.(1) 500 13,180 ------------------------------------------------------------------------------- American Medical Systems Holdings, Inc.(1) 1,500 31,035 ------------------------------------------------------------------------------- AMERIGROUP Corp.(1) 900 19,620 ------------------------------------------------------------------------------- AMN Healthcare Services, Inc.(1) 700 19,180 ------------------------------------------------------------------------------- Arena Pharmaceuticals, Inc.(1) 1,500 18,045 ------------------------------------------------------------------------------- ARIAD Pharmaceuticals, Inc.(1) 1,100 5,863 ------------------------------------------------------------------------------- Array BioPharma, Inc.(1) 1,200 17,832 ------------------------------------------------------------------------------- Atrix Laboratories, Inc.(1) 900 18,549 ------------------------------------------------------------------------------- BioMarin Pharmaceutical, Inc.(1) 500 6,720 ------------------------------------------------------------------------------- BioTechnology General Corp.(1) 1,700 13,991 ------------------------------------------------------------------------------- Bruker AXS, Inc.(1) 1,600 10,464 ------------------------------------------------------------------------------- CIMA Labs, Inc.(1) 500 18,075 ------------------------------------------------------------------------------- Ciphergen Biosystems, Inc.(1) 300 2,400 ------------------------------------------------------------------------------- COR Therapeutics, Inc.(1) 900 21,537 ------------------------------------------------------------------------------- Cubist Pharmaceuticals, Inc.(1) 300 10,788 ------------------------------------------------------------------------------- CV Therapeutics, Inc.(1) 400 20,808 ------------------------------------------------------------------------------- Cygnus, Inc.(1) 100 525 ------------------------------------------------------------------------------- deCODE genetics, Inc.(1) 2,400 23,520 ------------------------------------------------------------------------------- Diagnostic Products Corp. 100 4,395 ------------------------------------------------------------------------------- Exelixis, Inc.(1) 1,800 29,916 ------------------------------------------------------------------------------- Genta, Inc.(1) 1,900 27,037 ------------------------------------------------------------------------------- Genzyme Transgenics Corp.(1) 1,400 8,148 ------------------------------------------------------------------------------- Hyseq, Inc.(1) 600 4,632 ------------------------------------------------------------------------------- Idexx Laboratories, Inc.(1) 900 25,659 ------------------------------------------------------------------------------- ILEX Oncology, Inc.(1) 600 16,224 ------------------------------------------------------------------------------- Impax Laboratories, Inc.(1) 2,500 33,600 ------------------------------------------------------------------------------- Incyte Pharmaceuticals, Inc.(1) 1,500 29,160 ------------------------------------------------------------------------------- Integra LifeSciences Holdings Corp.(1) 1,000 26,340 ------------------------------------------------------------------------------- Interneuron Pharmaceuticals, Inc.(1) 800 8,872 ------------------------------------------------------------------------------- Isis Pharmaceuticals, Inc.(1) 1,900 42,161 ------------------------------------------------------------------------------- K-V Pharmaceutical Co., Cl. A(1) 300 8,850 ------------------------------------------------------------------------------- Kos Pharmaceuticals, Inc.(1) 1,000 34,600 ------------------------------------------------------------------------------- LabOne, Inc.(1) 700 10,780 ------------------------------------------------------------------------------- Ligand Pharmaceuticals, Inc., Cl. B(1) 1,600 28,640 ------------------------------------------------------------------------------- Lumenis Ltd.(1) 1,700 33,490 ------------------------------------------------------------------------------- Luminex Corp.(1) 100 1,696 ------------------------------------------------------------------------------- Martek Biosciences Corp.(1) 500 10,875 ------------------------------------------------------------------------------- Matria Healthcare, Inc.(1) 100 3,463 ------------------------------------------------------------------------------- Medicines Co. (The)(1) 500 5,795
20 Oppenheimer Main Street Small Cap Fund/VA Statement of Investments (Continued)
Market Value Shares See Note 1 ------------------------------------------------------------------------------- Healthcare/Drugs (continued) Merit Medical Systems, Inc.(1) 700 $ 13,076 ------------------------------------------------------------------------------- MGI Pharma, Inc.(1) 900 13,752 ------------------------------------------------------------------------------- MIM Corp.(1) 3,300 58,740 ------------------------------------------------------------------------------- Myriad Genetics, Inc.(1) 500 26,320 ------------------------------------------------------------------------------- Nabi(1) 700 7,224 ------------------------------------------------------------------------------- NPS Pharmaceuticals, Inc.(1) 200 7,660 ------------------------------------------------------------------------------- OraSure Technologies, Inc.(1) 900 10,935 ------------------------------------------------------------------------------- Orchid Biosciences, Inc.(1) 3,000 16,500 ------------------------------------------------------------------------------- Organogenesis, Inc.(1) 700 3,360 ------------------------------------------------------------------------------- OSI Pharmaceuticals, Inc.(1) 200 9,148 ------------------------------------------------------------------------------- PDI, Inc.(1) 700 15,624 ------------------------------------------------------------------------------- Penwest Pharmaceuticals Co.(1) 1,200 24,060 ------------------------------------------------------------------------------- Sangamo BioSciences, Inc.(1) 900 8,406 ------------------------------------------------------------------------------- SangStat Medical Corp.(1) 1,900 37,316 ------------------------------------------------------------------------------- Scios-Nova, Inc.(1) 500 11,885 ------------------------------------------------------------------------------- Sequenom, Inc.(1) 3,100 33,077 ------------------------------------------------------------------------------- Serologicals Corp.(1) 2,200 47,300 ------------------------------------------------------------------------------- Sicor, Inc.(1) 1,900 29,792 ------------------------------------------------------------------------------- Syncor International Corp.(1) 200 5,728 ------------------------------------------------------------------------------- Trimeris, Inc.(1) 400 17,988 ------------------------------------------------------------------------------- Trizetto Group, Inc.(1) 100 1,312 ------------------------------------------------------------------------------- Tularik, Inc.(1) 500 12,010 ------------------------------------------------------------------------------- U.S. Physical Therapy, Inc.(1) 3,000 48,480 ------------------------------------------------------------------------------- V.I. Technologies, Inc.(1) 2,400 16,680 ------------------------------------------------------------------------------- Vector Group Ltd. 415 13,633 ------------------------------------------------------------------------------- Ventana Medical Systems, Inc.(1) 600 13,572 ------------------------------------------------------------------------------- ViroPharma, Inc.(1) 800 18,360 ------------------------------------------------------------------------------- VitalWorks, Inc.(1) 2,300 12,995 ------------------------------------------------------------------------------- West Pharmaceutical Services, Inc. 600 15,960 ------------------------------------------------------------------------------- XOMA Ltd.(1) 4,100 40,385 ---------- 1,264,699 ------------------------------------------------------------------------------- Healthcare/Supplies & Services--6.2% Accredo Health, Inc.(1) 150 5,955 ------------------------------------------------------------------------------- Alliance Imaging, Inc.(1) 900 10,980 ------------------------------------------------------------------------------- American Healthways, Inc.(1) 1,150 36,731 ------------------------------------------------------------------------------- Beverly Enterprises, Inc.(1) 4,900 42,140 ------------------------------------------------------------------------------- Bioject Medical Technologies, Inc.(1) 100 1,259 ------------------------------------------------------------------------------- Cantel Medical Corp. 1,200 22,908 ------------------------------------------------------------------------------- Caremark Rx, Inc.(1) 2,000 32,620 ------------------------------------------------------------------------------- Centene Corp.(1) 500 10,975 ------------------------------------------------------------------------------- Conceptus, Inc. 600 14,160 ------------------------------------------------------------------------------- CONMED Corp.(1) 1,100 21,956
Oppenheimer Main Street Small Cap Fund/VA 21 Statement of Investments (Continued)
Market Value Shares See Note 1 ------------------------------------------------------------------------------- Healthcare/Supplies & Services (continued) CorVel Corp.(1) 1,200 $ 39,300 ------------------------------------------------------------------------------- Covance, Inc.(1) 1,800 40,860 ------------------------------------------------------------------------------- D&K Healthcare Resources, Inc. 700 39,865 ------------------------------------------------------------------------------- DaVita, Inc.(1) 800 19,560 ------------------------------------------------------------------------------- Dynacare, Inc.(1) 1,800 30,402 ------------------------------------------------------------------------------- Dynacq International, Inc.(1) 1,400 31,178 ------------------------------------------------------------------------------- Endocare, Inc.(1) 600 10,758 ------------------------------------------------------------------------------- Fischer Imaging Corp.(1) 1,800 21,672 ------------------------------------------------------------------------------- Gene Logic, Inc.(1) 1,400 26,376 ------------------------------------------------------------------------------- Gentiva Health Services, Inc.(1) 300 6,585 ------------------------------------------------------------------------------- Haemonetics Corp.(1) 700 23,744 ------------------------------------------------------------------------------- ICU Medical, Inc.(1) 400 17,800 ------------------------------------------------------------------------------- INAMED Corp.(1) 400 12,028 ------------------------------------------------------------------------------- Kensey Nash Corp.(1) 800 14,400 ------------------------------------------------------------------------------- Ladish Co., Inc.(1) 2,600 28,392 ------------------------------------------------------------------------------- Landauer, Inc. 800 27,080 ------------------------------------------------------------------------------- Manor Care, Inc.(1) 1,800 42,678 ------------------------------------------------------------------------------- Med-Design Corp. (The)(1) 200 3,940 ------------------------------------------------------------------------------- MedCath Corp.(1) 500 8,390 ------------------------------------------------------------------------------- Medical Action Industries, Inc.(1) 1,900 29,450 ------------------------------------------------------------------------------- Mentor Corp. 200 5,712 ------------------------------------------------------------------------------- Mid Atlantic Medical Services, Inc.(1) 1,600 36,320 ------------------------------------------------------------------------------- Mine Safety Applicances Co. 300 12,045 ------------------------------------------------------------------------------- NaPro BioTherapeutics, Inc.(1) 300 3,420 ------------------------------------------------------------------------------- Novoste Corp.(1) 200 1,748 ------------------------------------------------------------------------------- Ocular Sciences, Inc.(1) 1,600 37,280 ------------------------------------------------------------------------------- Option Care, Inc.(1) 1,800 35,190 ------------------------------------------------------------------------------- Oxford Health Plans, Inc.(1) 900 27,126 ------------------------------------------------------------------------------- PacifiCare Health Systems, Inc.(1) 1,000 16,000 ------------------------------------------------------------------------------- PSS World Medical, Inc.(1) 4,800 39,168 ------------------------------------------------------------------------------- Schein (Henry), Inc.(1) 400 14,812 ------------------------------------------------------------------------------- Sierra Health Services, Inc.(1) 4,200 34,020 ------------------------------------------------------------------------------- Sola International, Inc.(1) 2,500 48,500 ------------------------------------------------------------------------------- SRI/Surgical Express, Inc.(1) 400 6,400 ------------------------------------------------------------------------------- Steris Corp.(1) 1,700 31,059 ------------------------------------------------------------------------------- Sunrise Assisted Living, Inc.(1) 300 8,733 ------------------------------------------------------------------------------- Theragenics Corp.(1) 2,600 25,636 ------------------------------------------------------------------------------- Triad Hospitals, Inc.(1) 700 20,545 ------------------------------------------------------------------------------- Unilab Corp.(1) 400 10,040 ------------------------------------------------------------------------------- United Surgical Partners International, Inc.(1) 1,200 25,380 ------------------------------------------------------------------------------- Urologix, Inc.(1) 1,000 20,050 ------------------------------------------------------------------------------- VISX, Inc.(1) 1,200 15,900 ---------- 1,149,226
22 Oppenheimer Main Street Small Cap Fund/VA Statement of Investments (Continued)
Market Value Shares See Note 1 ------------------------------------------------------------------------------- Technology--21.2% ------------------------------------------------------------------------------- Computer Hardware--2.9% Adaptec, Inc.(1) 2,100 $ 30,450 ------------------------------------------------------------------------------- Avid Technology, Inc.(1) 100 1,215 ------------------------------------------------------------------------------- Bell Microproducts, Inc.(1) 100 1,262 ------------------------------------------------------------------------------- Echelon Corp.(1) 2,000 28,320 ------------------------------------------------------------------------------- EMCORE Corp.(1) 600 8,070 ------------------------------------------------------------------------------- Gerber Scientific, Inc. 600 5,580 ------------------------------------------------------------------------------- Handspring, Inc.(1) 6,200 41,788 ------------------------------------------------------------------------------- Imation Corp.(1) 600 12,948 ------------------------------------------------------------------------------- Integral Systems, Inc.(1) 200 3,850 ------------------------------------------------------------------------------- Intergraph Corp.(1) 3,000 41,220 ------------------------------------------------------------------------------- Mentor Graphics Corp.(1) 600 14,142 ------------------------------------------------------------------------------- Mercury Computer Systems, Inc.(1) 600 23,466 ------------------------------------------------------------------------------- Microtune, Inc.(1) 1,800 42,228 ------------------------------------------------------------------------------- MTS Systems Corp. 2,700 27,297 ------------------------------------------------------------------------------- Nassda Corp.(1) 300 6,747 ------------------------------------------------------------------------------- Netsolve, Inc.(1) 3,300 34,650 ------------------------------------------------------------------------------- Optimal Robotics Corp.(1) 1,200 42,540 ------------------------------------------------------------------------------- Pinnacle Systems, Inc.(1) 1,200 9,528 ------------------------------------------------------------------------------- Quantum Corp.-DLT & Storage Systems Group(1) 3,000 29,550 ------------------------------------------------------------------------------- Radiant Systems, Inc.(1) 200 2,300 ------------------------------------------------------------------------------- Read-Rite Corp.(1) 5,600 37,016 ------------------------------------------------------------------------------- Silicon Graphics, Inc.(1) 16,800 35,280 ------------------------------------------------------------------------------- Storage Technology Corp.(1) 1,000 20,670 ------------------------------------------------------------------------------- Stratos Lightwave, Inc.(1) 5,100 31,365 ------------------------------------------------------------------------------- Synplicity, Inc.(1) 400 5,396 -------- 536,878 ------------------------------------------------------------------------------- Computer Services--3.3% American Management Systems, Inc.(1) 700 12,656 ------------------------------------------------------------------------------- Art Technology Group, Inc.(1) 9,000 31,320 ------------------------------------------------------------------------------- Blue Martini Software, Inc.(1) 5,900 17,759 ------------------------------------------------------------------------------- C-COR.net Corp.(1) 100 1,457 ------------------------------------------------------------------------------- Centillium Communications, Inc.(1) 4,800 37,728 ------------------------------------------------------------------------------- Crossroads Systems, Inc.(1) 2,000 8,980 ------------------------------------------------------------------------------- Digex, Inc. 4,700 14,053 ------------------------------------------------------------------------------- Docent, Inc.(1) 1,000 3,170 ------------------------------------------------------------------------------- FactSet Research Systems, Inc. 600 20,970 ------------------------------------------------------------------------------- FalconStor Software, Inc.(1) 300 2,718 ------------------------------------------------------------------------------- First Consulting Group, Inc.(1) 2,100 32,865 ------------------------------------------------------------------------------- Foundry Networks, Inc.(1) 3,600 29,340
Oppenheimer Main Street Small Cap Fund/VA 23 Statement of Investments (Continued)
Market Value Shares See Note 1 ------------------------------------------------------------------------------- Computer Services (continued) HomeStore.com, Inc.(1) 3,500 $ 10,080 ------------------------------------------------------------------------------- I-many, Inc.(1) 3,300 31,845 ------------------------------------------------------------------------------- Kronos, Inc.(1) 450 21,771 ------------------------------------------------------------------------------- LogicVision, Inc.(1) 1,700 21,675 ------------------------------------------------------------------------------- MedQuist, Inc.(1) 100 2,925 ------------------------------------------------------------------------------- Moldflow Corp.(1) 300 4,296 ------------------------------------------------------------------------------- Multilink Technology Corp.(1) 1,000 6,480 ------------------------------------------------------------------------------- Neoforma, Inc.(1) 1,100 32,065 ------------------------------------------------------------------------------- NetScreen Technologies, Inc.(1) 300 6,639 ------------------------------------------------------------------------------- Openwave Systems, Inc.(1) 3,100 30,349 ------------------------------------------------------------------------------- Overture Services, Inc.(1) 1,100 38,973 ------------------------------------------------------------------------------- Priceline.com, Inc.(1) 1,400 8,148 ------------------------------------------------------------------------------- Sonus Networks, Inc.(1) 6,400 29,568 ------------------------------------------------------------------------------- Stamps.com, Inc.(1) 2,200 7,876 ------------------------------------------------------------------------------- Tier Technologies, Inc., Cl. B(1) 1,400 30,184 ------------------------------------------------------------------------------- Tripos, Inc.(1) 2,000 38,200 ------------------------------------------------------------------------------- VerticalNet, Inc.(1) 6,000 8,400 ------------------------------------------------------------------------------- WatchGuard Technologies, Inc.(1) 600 3,906 ------------------------------------------------------------------------------- Websense, Inc.(1) 2,300 73,761 -------- 620,157 ------------------------------------------------------------------------------- Computer Software--7.2% Acclaim Entertainment, Inc.(1) 5,700 30,210 ------------------------------------------------------------------------------- Actuate Corp.(1) 4,100 21,607 ------------------------------------------------------------------------------- Ansoft Corp.(1) 3,200 46,720 ------------------------------------------------------------------------------- ANSYS, Inc.(1) 1,900 46,835 ------------------------------------------------------------------------------- AsiaInfo Holdings, Inc.(1) 1,100 19,162 ------------------------------------------------------------------------------- Avant! Corp.(1) 1,600 32,784 ------------------------------------------------------------------------------- Axcelis Technologies, Inc.(1) 3,600 46,404 ------------------------------------------------------------------------------- Borland Software Corp.(1) 2,000 31,320 ------------------------------------------------------------------------------- CacheFlow, Inc.(1) 7,800 20,904 ------------------------------------------------------------------------------- Catapult Communications Corp.(1) 1,900 49,514 ------------------------------------------------------------------------------- Centra Software, Inc.(1) 300 2,400 ------------------------------------------------------------------------------- Concord Communications, Inc.(1) 100 2,065 ------------------------------------------------------------------------------- Covad Communications Group, Inc.(1) 9,000 25,740 ------------------------------------------------------------------------------- Descartes Systems Group, Inc. (The)(1) 1,300 9,685 ------------------------------------------------------------------------------- Digital River, Inc.(1) 800 12,736 ------------------------------------------------------------------------------- Embarcadero Technologies, Inc.(1) 200 4,840 ------------------------------------------------------------------------------- EPIQ Systems, Inc.(1) 1,950 37,733 ------------------------------------------------------------------------------- FileNet Corp.(1) 700 14,203 ------------------------------------------------------------------------------- HPL Technologies, Inc.(1) 2,200 39,270 ------------------------------------------------------------------------------- Hyperion Solutions Corp.(1) 1,800 35,748
24 Oppenheimer Main Street Small Cap Fund/VA Statement of Investments (Continued)
Market Value Shares See Note 1 ------------------------------------------------------------------------------- Computer Software (continued) IDX Systems Corp.(1) 1,400 $ 18,214 ------------------------------------------------------------------------------- Information Resources, Inc.(1) 500 4,150 ------------------------------------------------------------------------------- Innodata Corp.(1) 4,800 14,256 ------------------------------------------------------------------------------- Kana Software, Inc.(1) 320 6,227 ------------------------------------------------------------------------------- MatrixOne, Inc.(1) 3,500 45,465 ------------------------------------------------------------------------------- McAfee.com Corp.(1) 600 20,346 ------------------------------------------------------------------------------- McDATA Corp., Cl. B(1) 1,500 37,665 ------------------------------------------------------------------------------- MetaSolv, Inc.(1) 1,600 12,575 ------------------------------------------------------------------------------- Micromuse, Inc.(1) 2,600 39,000 ------------------------------------------------------------------------------- MicroStrategy, Inc.(1) 3,900 15,015 ------------------------------------------------------------------------------- MSC. Software Corp.(1) 2,100 32,760 ------------------------------------------------------------------------------- Nuance Communications, Inc.(1) 4,000 36,400 ------------------------------------------------------------------------------- Numerical Technologies, Inc.(1) 2,300 80,960 ------------------------------------------------------------------------------- ONYX Software Corp.(1) 1,200 4,680 ------------------------------------------------------------------------------- Open Text Corp.(1) 1,300 38,428 ------------------------------------------------------------------------------- PEC Solutions, Inc.(1) 700 26,327 ------------------------------------------------------------------------------- Portal Software, Inc.(1) 1,200 2,496 ------------------------------------------------------------------------------- Pumatech, Inc.(1) 3,000 7,740 ------------------------------------------------------------------------------- Register.com, Inc.(1) 1,600 18,400 ------------------------------------------------------------------------------- Renaissance Learning, Inc.(1) 600 18,282 ------------------------------------------------------------------------------- Retek, Inc.(1) 700 20,909 ------------------------------------------------------------------------------- Roxio, Inc.(1) 2,800 46,340 ------------------------------------------------------------------------------- RSA Security, Inc.(1) 1,200 20,952 ------------------------------------------------------------------------------- Saba Software, Inc.(1) 300 1,566 ------------------------------------------------------------------------------- Schawk, Inc. 1,000 11,000 ------------------------------------------------------------------------------- SeeBeyond Technology Corp.(1) 400 3,880 ------------------------------------------------------------------------------- Selectica, Inc.(1) 1,600 9,680 ------------------------------------------------------------------------------- SERENA Software, Inc.(1) 1,300 28,262 ------------------------------------------------------------------------------- SilverStream Software, Inc.(1) 1,100 7,491 ------------------------------------------------------------------------------- StorageNetworks, Inc.(1) 6,400 39,552 ------------------------------------------------------------------------------- Support.com, Inc.(1) 2,000 12,540 ------------------------------------------------------------------------------- Sybase, Inc.(1) 2,600 40,976 ------------------------------------------------------------------------------- Syntel, Inc.(1) 800 10,344 ------------------------------------------------------------------------------- Tumbleweed Communications Corp.(1) 1,100 6,534 ------------------------------------------------------------------------------- Ulticom, Inc.(1) 1,900 19,114 ------------------------------------------------------------------------------- VA Software Corp.(1) 1,200 2,940 ------------------------------------------------------------------------------- Vastera, Inc.(1) 100 1,661 ------------------------------------------------------------------------------- Verity, Inc.(1) 1,800 36,450 ------------------------------------------------------------------------------- Visual Networks, Inc.(1) 3,600 16,632 ---------- 1,346,089
Oppenheimer Main Street Small Cap Fund/VA 25 Statement of Investments (Continued)
Market Value Shares See Note 1 ------------------------------------------------------------------------------- Communications Equipment--2.9% Acterna Corp.(1) 3,400 $ 13,430 ------------------------------------------------------------------------------- Allen Telecom, Inc.(1) 600 5,100 ------------------------------------------------------------------------------- Aspect Communications Corp.(1) 400 1,552 ------------------------------------------------------------------------------- Audiovox Corp., Cl. A(1) 800 5,968 ------------------------------------------------------------------------------- Avanex Corp.(1) 7,400 43,660 ------------------------------------------------------------------------------- Avici Systems, Inc.(1) 9,300 27,063 ------------------------------------------------------------------------------- Cable Design Technologies Corp.(1) 200 2,736 ------------------------------------------------------------------------------- Concurrent Computer Corp.(1) 600 8,910 ------------------------------------------------------------------------------- Cosine Communications, Inc.(1) 3,000 4,650 ------------------------------------------------------------------------------- Ditech Communications Corp.(1) 100 602 ------------------------------------------------------------------------------- ESCO Technologies, Inc.(1) 700 24,143 ------------------------------------------------------------------------------- Gentner Communications Corp.(1) 1,700 28,356 ------------------------------------------------------------------------------- Genuity, Inc.(1) 6,400 10,112 ------------------------------------------------------------------------------- Harmonic, Inc.(1) 3,300 39,666 ------------------------------------------------------------------------------- Inrange Technologies Corp., Cl. B(1) 1,000 12,350 ------------------------------------------------------------------------------- InteliData Technologies Corp.(1) 1,500 4,245 ------------------------------------------------------------------------------- Inter-Tel, Inc. 1,100 21,142 ------------------------------------------------------------------------------- LeCroy Corp.(1) 1,800 32,760 ------------------------------------------------------------------------------- Netopia, Inc.(1) 1,200 6,660 ------------------------------------------------------------------------------- Netro Corp.(1) 1,400 5,138 ------------------------------------------------------------------------------- New Focus, Inc.(1) 6,700 25,527 ------------------------------------------------------------------------------- NICE Systems Ltd., Sponsored ADR(1) 900 14,689 ------------------------------------------------------------------------------- NMS Communications Corp.(1) 3,200 15,424 ------------------------------------------------------------------------------- NYFIX, Inc.(1) 300 6,006 ------------------------------------------------------------------------------- Oplink Communications, Inc.(1) 5,500 10,368 ------------------------------------------------------------------------------- Performance Technologies, Inc.(1) 300 3,996 ------------------------------------------------------------------------------- Plantronics, Inc.(1) 600 15,384 ------------------------------------------------------------------------------- Sirenza Microdevices, Inc.(1) 100 609 ------------------------------------------------------------------------------- SpectraLink Corp.(1) 900 15,417 ------------------------------------------------------------------------------- SpeechWorks International, Inc.(1) 3,500 39,375 ------------------------------------------------------------------------------- Tellium, Inc.(1) 6,200 38,626 ------------------------------------------------------------------------------- Universal Access Global Holdings, Inc.(1) 3,800 17,822 ------------------------------------------------------------------------------- UTStarcom, Inc.(1) 1,100 31,350 -------- 532,836 ------------------------------------------------------------------------------- Electronics--4.7% ANADIGICS, Inc.(1) 800 12,200 ------------------------------------------------------------------------------- Anaren Microwave, Inc.(1) 100 1,732 ------------------------------------------------------------------------------- Bio-Rad Laboratories, Inc., Cl. A(1) 600 37,980 ------------------------------------------------------------------------------- Caliper Technologies Corp.(1) 1,500 23,415 ------------------------------------------------------------------------------- Checkpoint Systems, Inc.(1) 2,600 34,840
26 Oppenheimer Main Street Small Cap Fund/VA Statement of Investments (Continued)
Market Value Shares See Note 1 ------------------------------------------------------------------------------- Electronics (continued) Cholestech Corp.(1) 300 $ 5,943 ------------------------------------------------------------------------------- Cognex Corp.(1) 800 20,488 ------------------------------------------------------------------------------- Cymer, Inc.(1) 900 24,057 ------------------------------------------------------------------------------- DDi Corp.(1) 200 1,968 ------------------------------------------------------------------------------- EDO Corp. 500 13,225 ------------------------------------------------------------------------------- Electro Scientific Industries, Inc.(1) 300 9,003 ------------------------------------------------------------------------------- Engineered Support Systems, Inc. 800 27,368 ------------------------------------------------------------------------------- FEI Co.(1) 1,600 50,416 ------------------------------------------------------------------------------- FLIR Systems, Inc.(1) 1,000 37,920 ------------------------------------------------------------------------------- hi/fn, inc.(1) 1,100 15,917 ------------------------------------------------------------------------------- Identix, Inc.(1) 1,400 20,426 ------------------------------------------------------------------------------- Integrated Circuit Systems, Inc.(1) 1,500 33,885 ------------------------------------------------------------------------------- Integrated Silicon Solution, Inc.(1) 1,800 22,032 ------------------------------------------------------------------------------- InterTAN, Inc.(1) 900 11,304 ------------------------------------------------------------------------------- Intuitive Surgical, Inc.(1) 600 6,018 ------------------------------------------------------------------------------- Itron, Inc.(1) 900 27,270 ------------------------------------------------------------------------------- Keithley Instruments, Inc. 1,400 23,660 ------------------------------------------------------------------------------- MEMC Electronic Materials, Inc.(1) 900 3,195 ------------------------------------------------------------------------------- Merix Corp.(1) 1,500 25,875 ------------------------------------------------------------------------------- Micro General Corp. 1,400 19,194 ------------------------------------------------------------------------------- MIPS Technologies, Inc., Cl. A(1) 2,600 22,464 ------------------------------------------------------------------------------- Monolithic System Technology, Inc.(1) 2,600 53,560 ------------------------------------------------------------------------------- Nanometrics, Inc.(1) 300 5,820 ------------------------------------------------------------------------------- PDF Solutions, Inc.(1) 800 16,800 ------------------------------------------------------------------------------- Pericom Semiconductor Corp.(1) 900 13,050 ------------------------------------------------------------------------------- Pioneer-Standard Electronics, Inc. 100 1,270 ------------------------------------------------------------------------------- Possis Medical, Inc.(1) 1,500 26,130 ------------------------------------------------------------------------------- Proxim, Inc.(1) 500 4,960 ------------------------------------------------------------------------------- Rambus, Inc.(1) 4,800 38,352 ------------------------------------------------------------------------------- Sage, Inc.(1) 1,900 70,433 ------------------------------------------------------------------------------- SBS Technologies, Inc.(1) 400 5,828 ------------------------------------------------------------------------------- Silicon Image, Inc.(1) 500 1,880 ------------------------------------------------------------------------------- Transmeta Corp.(1) 3,300 7,557 ------------------------------------------------------------------------------- TranSwitch Corp.(1) 1,500 6,750 ------------------------------------------------------------------------------- TriQuint Semiconductor, Inc.(1) 3,400 41,684 ------------------------------------------------------------------------------- TTM Technologies, Inc.(1) 700 7,084 ------------------------------------------------------------------------------- Ultratech Stepper, Inc.(1) 1,900 31,388 ------------------------------------------------------------------------------- Vasomedical, Inc.(1) 200 740 ------------------------------------------------------------------------------- White Electronic Designs Corp.(1) 300 1,845 -------- 866,926
Oppenheimer Main Street Small Cap Fund/VA 27 Statement of Investments (Continued)
Market Value Shares See Note 1 ------------------------------------------------------------------------------- Photography--0.2% Ikon Office Solutions, Inc. 2,900 $ 33,901 ------------------------------------------------------------------------------- Transportation--1.9% ------------------------------------------------------------------------------- Air Transportation--0.5% AirTran Holdings, Inc.(1) 3,200 21,120 ------------------------------------------------------------------------------- America West Holdings Corp., Cl. B(1) 6,400 22,400 ------------------------------------------------------------------------------- Continental Airlines, Inc., Cl. B(1) 700 18,347 ------------------------------------------------------------------------------- Mesa Air Group, Inc.(1) 300 2,256 ------------------------------------------------------------------------------- Offshore Logistics, Inc.(1) 300 5,328 ------------------------------------------------------------------------------- US Airways Group, Inc.(1) 5,100 32,334 -------- 101,785 ------------------------------------------------------------------------------- Railroads & Truckers--0.7% Genesee & Wyoming, Inc., Cl. A(1) 1,400 45,710 ------------------------------------------------------------------------------- Heartland Express, Inc.(1) 800 22,216 ------------------------------------------------------------------------------- Landstar System, Inc.(1) 200 14,502 ------------------------------------------------------------------------------- Navistar International Corp. 500 19,750 ------------------------------------------------------------------------------- RailAmerica, Inc.(1) 1,800 26,028 ------------------------------------------------------------------------------- Werner Enterprises, Inc. 500 12,150 -------- 140,356 ------------------------------------------------------------------------------- Shipping--0.7% Alexander & Baldwin, Inc. 100 2,670 ------------------------------------------------------------------------------- Kirby Corp.(1) 1,200 33,060 ------------------------------------------------------------------------------- Nordic American Tanker Shipping Ltd. 100 1,385 ------------------------------------------------------------------------------- OMI Corp.(1) 7,600 30,248 ------------------------------------------------------------------------------- Overseas Shipholding Group, Inc. 1,600 36,000 ------------------------------------------------------------------------------- Stelmar Shipping Ltd.(1) 2,000 32,500 -------- 135,863 ------------------------------------------------------------------------------- Utilities--1.7% ------------------------------------------------------------------------------- Electric Utilities--1.1% Avista Corp. 2,100 27,846 ------------------------------------------------------------------------------- Black Hills Corp. 1,200 40,608 ------------------------------------------------------------------------------- Covanta Energy Corp.(1) 2,500 11,300 ------------------------------------------------------------------------------- DQE, Inc. 400 7,572 ------------------------------------------------------------------------------- El Paso Electric Co.(1) 800 11,600 ------------------------------------------------------------------------------- Montana Power Co.(1) 4,600 26,450 ------------------------------------------------------------------------------- New Jersey Resources Corp. 200 9,360 ------------------------------------------------------------------------------- PNM Resources, Inc. 400 11,180 ------------------------------------------------------------------------------- South Jersey Industries, Inc. 500 16,300 ------------------------------------------------------------------------------- UniSource Energy Corp. 2,500 45,475 -------- 207,691
28 Oppenheimer Main Street Small Cap Fund/VA Statement of Investments (Continued)
Market Value Shares See Note 1 ---------------------------------------------------------------------------------------------------------- Gas Utilities--0.6% Cascade Natural Gas Corp. 500 $ 11,025 ---------------------------------------------------------------------------------------------------------- Southwestern Energy Co.(1) 400 4,160 ---------------------------------------------------------------------------------------------------------- UGI Corp. 1,100 33,220 ---------------------------------------------------------------------------------------------------------- Western Gas Resources, Inc. 2,000 64,640 ----------- 113,045 ----------- Total Common Stocks (Cost $16,943,299) 18,454,747 ========================================================================================================== Preferred Stocks--0.0% ---------------------------------------------------------------------------------------------------------- Astronics Corp., Cl. B(Cost $3,322) 250 2,775 Principal Amount ========================================================================================================== Repurchase Agreements--4.1% ---------------------------------------------------------------------------------------------------------- Repurchase agreement with Banc One Capital Markets, Inc., 1.45%, dated 12/31/01, to be repurchased at $753,061 on 1/2/02, collateralized by U.S. Treasury Nts., 4.75%-7.875%, 2/28/02-11/15/08, with a value of $365,257 and U.S. Treasury Bonds, 7.25%-11.125%, 8/15/03-5/15/16, with a value of $403,765 (Cost $753,000) $753,000 753,000 ---------------------------------------------------------------------------------------------------------- Total Investments, at Value (Cost $17,699,621) 103.2% 19,210,522 ---------------------------------------------------------------------------------------------------------- Liabilities in Excess of Other Assets (3.2) (588,430) -------- ----------- Net Assets 100.0% $18,622,092 ======== ===========
1. Non-income-producing security. See accompanying Notes to Financial Statements. Oppenheimer Main Street Small Cap Fund/VA 29 Statement of Assets and Liabilities December 31, 2001 ========================================================================================================== Assets Investments, at value (cost $17,699,621)--see accompanying statement $19,210,522 ---------------------------------------------------------------------------------------------------------- Cash 25,784 ---------------------------------------------------------------------------------------------------------- Receivables and other assets: Investments sold 194,428 Interest and dividends 6,983 Shares of beneficial interest sold 2,232 Other 788 ----------- Total assets 19,440,737 ========================================================================================================== Liabilities Unrealized depreciation on foreign currency contracts 261 ---------------------------------------------------------------------------------------------------------- Payables and other liabilities: Investments purchased 776,698 Shares of beneficial interest redeemed 17,280 Shareholder reports 17,128 Trustees'compensation 184 Distribution and service plan fees 17 Other 7,077 ----------- Total liabilities 818,645 ========================================================================================================== Net Assets $18,622,092 =========== ========================================================================================================== Composition of Net Assets Par value of shares of beneficial interest $ 1,686 ---------------------------------------------------------------------------------------------------------- Additional paid-in capital 20,188,215 ---------------------------------------------------------------------------------------------------------- Accumulated net investment loss (382) ---------------------------------------------------------------------------------------------------------- Accumulated net realized gain (loss) on investments and foreign currency transactions (3,078,227) ---------------------------------------------------------------------------------------------------------- Net unrealized appreciation (depreciation) on investments and translation of assets and liabilities denominated in foreign currencies 1,510,800 ----------- Net Assets $18,622,092 =========== ========================================================================================================== Net Asset Value Per Share Non-Service shares: Net asset value, redemption price per share and offering price per share (based on net assets of $18,513,908 and 1,676,128 shares of beneficial interest outstanding) $11.05 ---------------------------------------------------------------------------------------------------------- Service shares: Net asset value, redemption price per share and offering price per share (based on net assets of $108,184 and 9,788 shares of beneficial interest outstanding) $11.05
See accompanying Notes to Financial Statements. 30 Oppenheimer Main Street Small Cap Fund/VA Statement of Operations For the Year Ended December 31, 2001 ========================================================================================= Investment Income Dividends (net of foreign withholding taxes of $220) $ 92,255 ----------------------------------------------------------------------------------------- Interest 67,473 --------- Total income 159,728 ========================================================================================= Expenses Management fees 114,814 ----------------------------------------------------------------------------------------- Distribution and service plan fees: Service shares 17 ----------------------------------------------------------------------------------------- Shareholder reports 22,677 ----------------------------------------------------------------------------------------- Transfer and shareholder servicing agent fees 8,203 ----------------------------------------------------------------------------------------- Custodian fees and expenses 4,912 ----------------------------------------------------------------------------------------- Trustees'compensation 2,600 ----------------------------------------------------------------------------------------- Other 7,978 --------- Total expenses 161,201 Less reduction to custodian expenses (551) --------- Net expenses 160,650 ========================================================================================= Net Investment Loss (922) ========================================================================================= Realized and Unrealized Gain (Loss) Net realized gain (loss) on: Investments (263,208) Foreign currency transactions (5,320) --------- Net realized gain (loss) (268,528) ----------------------------------------------------------------------------------------- Net change in unrealized appreciation (depreciation) on: Investments 374,323 Translation of assets and liabilities denominated in foreign currencies (11,403) --------- Net change 362,920 --------- Net realized and unrealized gain (loss) 94,392 ========================================================================================= Net Increase in Net Assets Resulting from Operations $ 93,470 =========
See accompanying Notes to Financial Statements. Oppenheimer Main Street Small Cap Fund/VA 31 Statements of Changes in Net Assets
Year Ended December 31, 2001 2000 =============================================================================================== Operations Net investment income (loss) $ (922) $ (36,566) ----------------------------------------------------------------------------------------------- Net realized gain (loss) (268,528) (2,795,826) ----------------------------------------------------------------------------------------------- Net change in unrealized appreciation (depreciation) 362,920 (548,679) ----------- ----------- Net increase (decrease) in net assets resulting from operations 93,470 (3,381,071) =============================================================================================== Dividends and/or Distributions to Shareholders Dividends from net investment income: Non-Service shares -- (478,809) Service shares -- -- =============================================================================================== Beneficial Interest Transactions Net increase (decrease) in net assets resulting from beneficial interest transactions: Non-Service shares 3,821,166 11,532,556 Service shares 108,184 -- =============================================================================================== Net Assets Total increase 4,022,820 7,672,676 ----------------------------------------------------------------------------------------------- Beginning of period 14,599,272 6,926,596 ----------- ----------- End of period (including accumulated net investment loss of $382 for the year ended December 31,2001) $18,622,092 $14,599,272 =========== ===========
See accompanying Notes to Financial Statements. 32 Oppenheimer Main Street Small Cap Fund/VA Financial Highlights
Year Ended December 31, Non-Service shares 2001 2000 1999 1998(1) ====================================================================================================== Per Share Operating Data Net asset value, beginning of period $ 11.09 $ 14.07 $ 9.60 $ 10.00 ------------------------------------------------------------------------------------------------------ Income (loss) from investment operations: Net investment income (loss) --(2) (.03) (.02) (.02) Net realized and unrealized gain (loss) (.04) (2.35) 4.49 (.38) ------------------------------------------------------------------------------------------------------ Total income (loss) from investment operations (.04) (2.38) 4.47 (.40) ------------------------------------------------------------------------------------------------------ Dividends and/or distributions to shareholders: Distributions from net realized gain -- (.60) -- -- ------------------------------------------------------------------------------------------------------ Net asset value, end of period $ 11.05 $ 11.09 $14.07 $ 9.60 ======= ======= ====== ======= ====================================================================================================== Total Return, at Net Asset Value(3) (0.36)% (18.34)% 46.56% (4.00)% ====================================================================================================== Ratios/Supplemental Data Net assets, end of period (in thousands) $18,514 $14,599 $6,927 $ 994 ------------------------------------------------------------------------------------------------------ Average net assets (in thousands) $15,307 $12,576 $2,738 $ 441 ------------------------------------------------------------------------------------------------------ Ratios to average net assets:(4) Net investment loss (0.01)% (0.29)% (0.37)% (0.79)% Expenses 1.05% 1.37% 1.83% 0.87%(5) Expenses, net of reduction to custodian fees N/A 1.35% 1.34% N/A ------------------------------------------------------------------------------------------------------ Portfolio turnover rate 213% 162% 176% 61%
1. For the period from May 1, 1998 (inception of offering) to December 31, 1998. 2. Less than $0.005 per share. 3. Assumes a $1,000 hypothetical initial investment on the business day before the first day of the fiscal period (or inception of offering), with all dividends and distributions reinvested in additional shares on the reinvestment date, and redemption at the net asset value calculated on the last business day of the fiscal period. Total returns are not annualized for periods of less than one full year. Total return information does not reflect expenses that apply at the separate account level or to related insurance products. Inclusion of these charges would reduce the total return figures for all periods shown. 4. Annualized for periods of less than one full year. 5. Expense ratio has been calculated without adjustment for the reduction to custodian expenses. See accompanying Notes to Financial Statements. Oppenheimer Main Street Small Cap Fund/VA 33 Financial Highlights (Continued)
Period Ended Service shares December 31, 2001(1) ============================================================================ Per Share Operating Data Net asset value, beginning of period $10.61 ---------------------------------------------------------------------------- Income (loss) from investment operations: Net investment income --(2) Net realized and unrealized gain (loss) .44 ---------------------------------------------------------------------------- Total income (loss) from investment operations .44 ---------------------------------------------------------------------------- Dividends and/or distributions to shareholders: Distributions from net realized gain -- ---------------------------------------------------------------------------- Net asset value, end of period $11.05 ====== ============================================================================ Total Return, at Net Asset Value(3) 4.15% ============================================================================ Ratios/Supplemental Data Net assets, end of period (in thousands) $108 ---------------------------------------------------------------------------- Average net assets (in thousands) $ 26 ---------------------------------------------------------------------------- Ratios to average net assets:(4) Net investment loss (0.34)% Expenses 1.19% Expenses, net of reduction to custodian fees N/A ---------------------------------------------------------------------------- Portfolio turnover rate 213%
1. For the period from July 16, 2001 (inception of offering) to December 31, 2001. 2. Less than $0.005 per share. 3. Assumes a $1,000 hypothetical initial investment on the business day before the first day of the fiscal period (or inception of offering), with all dividends and distributions reinvested in additional shares on the reinvestment date, and redemption at the net asset value calculated on the last business day of the fiscal period. Total returns are not annualized for periods of less than one full year. Total return information does not reflect expenses that apply at the separate account level or to related insurance products. Inclusion of these charges would reduce the total return figures for all periods shown. 4. Annualized for periods of less than one full year. See accompanying Notes to Financial Statements. 34 Oppenheimer Main Street Small Cap Fund/VA Notes to Financial Statements =============================================================================== 1. Significant Accounting Policies Oppenheimer Main Street Small Cap Fund/VA (the Fund) is a separate series of Oppenheimer Variable Account Funds (the Trust), which operated under the name of Oppenheimer Small Cap Growth Fund/VA through April 30, 2001, an open-end management investment company registered under the Investment Company Act of 1940, as amended. The Fund's investment objective is to seek capital appreciation. The Trust's investment advisor is OppenheimerFunds, Inc. (the Manager). The Fund offers two classes of shares. Both classes are sold at their offering price, which is the net asset value per share, to separate investment accounts of participating insurance companies as an underlying investment for variable life insurance policies, variable annuity contracts or other investment products. The class of shares designated as Service shares is subject to a distribution and service plan. The following is a summary of significant accounting policies consistently followed by the Fund. ------------------------------------------------------------------------------- Securities Valuation. Securities listed or traded on National Stock Exchanges or other domestic or foreign exchanges are valued based on the last sale price of the security traded on that exchange prior to the time when the Fund's assets are valued. In the absence of a sale, the security is valued at the last sale price on the prior trading day, if it is within the spread of the closing bid and asked prices, and if not, at the closing bid price. Securities (including restricted securities) for which quotations are not readily available are valued primarily using dealer-supplied valuations, a portfolio pricing service authorized by the Board of Trustees, or at their fair value. Fair value is determined in good faith under consistently applied procedures under the supervision of the Board of Trustees. Short-term "money market type" debt securities with remaining maturities of sixty days or less are valued at amortized cost (which approximates market value). ------------------------------------------------------------------------------- Foreign Currency Translation. The accounting records of the Fund are maintained in U.S. dollars. Prices of securities denominated in foreign currencies are translated into U.S. dollars at the closing rates of exchange. Amounts related to the purchase and sale of foreign securities and investment income are translated at the rates of exchange prevailing on the respective dates of such transactions. The effect of changes in foreign currency exchange rates on investments is separately identified from the fluctuations arising from changes in market values of securities held and reported with all other foreign currency gains and losses in the Fund's Statement of Operations. ------------------------------------------------------------------------------- Repurchase Agreements. The Fund requires its custodian bank to take possession, to have legally segregated in the Federal Reserve Book Entry System or to have segregated within the custodian's vault, all securities held as collateral for repurchase agreements. The market value of the underlying securities is required to be at least 102% of the resale price at the time of purchase. If the seller of the agreement defaults and the value of the collateral declines, or if the seller enters an insolvency proceeding, realization of the value of the collateral by the Fund may be delayed or limited. ------------------------------------------------------------------------------- Allocation of Income, Expenses, Gains and Losses. Income, expenses (other than those attributable to a specific class), gains and losses are allocated daily to each class of shares based upon the relative proportion of net assets represented by such class. Operating expenses directly attributable to a specific class are charged against the operations of that class. Oppenheimer Main Street Small Cap Fund/VA 35 Notes to Financial Statements (Continued) =============================================================================== 1. Significant Accounting Policies (continued) Federal Taxes. The Fund intends to continue to comply with provisions of the Internal Revenue Code applicable to regulated investment companies and to distribute all of its taxable income, including any net realized gain on investments not offset by loss carryovers to shareholders. As of December 31, 2001, the Fund had available for federal income tax purposes unused capital loss carryovers as follows:
Expiring --------------------------------------- 2008 $1,795,693 2009 1,282,533 ---------- Total $3,078,226 ==========
------------------------------------------------------------------------------- Dividends and Distributions to Shareholders. Dividends and distributions to shareholders, which are determined in accordance with income tax regulations, are recorded on the ex-dividend date. ------------------------------------------------------------------------------- Classification of Dividends and Distributions to Shareholders. Net investment income (loss) and net realized gain (loss) may differ for financial statement and tax purposes. The character of dividends and distributions made during the fiscal year from net investment income or net realized gains may differ from their ultimate characterization for federal income tax purposes. Also, due to timing of dividends and distributions, the fiscal year in which amounts are distributed may differ from the fiscal year in which the income or realized gain was recorded by the Fund. The Fund adjusts the classification of distributions to shareholders to reflect the differences between financial statement amounts and distributions determined in accordance with income tax regulations. Accordingly, during the year ended December 31, 2001, amounts have been reclassified to reflect a decrease in paid-in capital of $547, a decrease in accumulated net investment loss of $540, and decrease in accumulated net realized loss on investments of $7. Net assets of the Fund were unaffected by the reclassifications. ------------------------------------------------------------------------------- Investment Income. Dividend income is recorded on the ex-dividend date or upon ex-dividend notification in the case of certain foreign dividends where the ex-dividend date may have passed. Non-cash dividends included in dividend income, if any, are recorded at the fair market value of the securities received. Interest income, which includes accretion of discount and amortization of premium, is accrued as earned. ------------------------------------------------------------------------------- Security Transactions. Security transactions are accounted for as of trade date. Gains and losses on securities sold are determined on the basis of identified cost. ------------------------------------------------------------------------------- Other. 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 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 income and expenses during the reporting period. Actual results could differ from those estimates. 36 Oppenheimer Main Street Small Cap Fund/VA Notes to Financial Statements (Continued) =============================================================================== 2. Shares of Beneficial Interest The Fund has authorized an unlimited number of $0.001 par value shares of beneficial interest. Transactions in shares of beneficial interest were as follows:
Year Ended December 31, 2001(1) Year Ended December 31, 2000 ------------------------------- -------------------------------- Shares Amount Shares Amount ------------------------------------------------------------------------------------------------------ Non-Service shares Sold 869,437 $ 8,938,580 1,168,713 $ 15,913,312 Dividends and/or distributions reinvested -- -- 28,757 478,809 Redeemed (509,595) (5,117,414) (373,385) (4,859,565) -------- ----------- --------- ------------- Net increase (decrease) 359,842 $ 3,821,166 824,085 $ 11,532,556 ======== =========== ========= ============= Service shares Sold 10,574 $ 116,404 -- $ -- Dividends and/or distributions reinvested -- -- -- -- Redeemed (786) (8,220) -- -- -------- ----------- --------- ------------- Net increase (decrease) 9,788 $ 108,184 -- $ -- ======== =========== ========= =============
1. For the year ended December 31, 2001, for Non-Service shares and for the period from July 16, 2001 (inception of offering) to December 31, 2001, for Service shares. =============================================================================== 3. Purchases and Sales of Securities The aggregate cost of purchases and proceeds from sales of securities, other than short-term obligations, for the year ended December 31, 2001, were $37,430,241 and $30,294,231, respectively. As of December 31, 2001, unrealized appreciation (depreciation) based on cost of securities for federal income tax purposes of $17,700,003 was: Gross unrealized appreciation $2,133,908 Gross unrealized depreciation (623,389) ---------- Net unrealized appreciation (depreciation) $1,510,519 ==========
Oppenheimer Main Street Small Cap Fund/VA 37 Notes to Financial Statements (Continued) =============================================================================== 4. Fees and Other Transactions with Affiliates Management Fees. Management fees paid to the Manager were in accordance with the investment advisory agreement with the Trust which provides for a fee of 0.75% of the first $200 million of average annual net assets, 0.72% of the next $200 million, 0.69% of the next $200 million, 0.66% of the next $200 million and 0.60% of average annual net assets over $800 million. The Fund's management fee for the year ended December 31, 2001, was an annualized rate of 0.75%. ------------------------------------------------------------------------------- Transfer Agent Fees. OppenheimerFunds Services (OFS), a division of the Manager, acts as the transfer and shareholder servicing agent for the Fund. The Fund pays OFS an agreed-upon per account fee. Additionally, funds offered in variable annuity separate accounts are subject to minimum fees of $5,000 for assets of less than $10 million and $10,000 for assets of $10 million or more. The Fund is subject to the minimum fee in the event that the per account fee does not equal or exceed the applicable minimum fee. OFS has voluntarily agreed to limit transfer and shareholder servicing agent fees to 0.25% per annum of funds offered in variable annuity separate accounts, effective January 1, 2001. This undertaking may be amended or withdrawn at any time. ------------------------------------------------------------------------------- Distribution and Service Plan for Service Shares. The Fund has adopted a Distribution and Service Plan for Service shares to pay OppenheimerFunds Distributor, Inc., the Distributor, for distribution-related services for the Fund's Service shares. Although the plan allows for payment to be made quarterly at an annual rate of up to 0.25% of the average annual net assets of Service shares of the Fund, that rate is currently reduced to 0.15%. The Board of Trustees may increase that rate to no more than 0.25% per annum, without notification in advance. The Distributor currently uses all of those fees to compensate sponsor(s) of the insurance product that offers Fund shares, for providing personal service and maintenance of accounts of their variable contract owners that hold Service shares. The impact of the service plan is to increase operating expenses of the Service shares, which results in lower performance compared to the Fund's shares that are not subject to a service fee. =============================================================================== 5. Foreign Currency Contracts A foreign currency contract is a commitment to purchase or sell a foreign currency at a future date, at a negotiated rate. The Fund may enter into foreign currency contracts for operational purposes and to seek to protect against adverse exchange rate fluctuations. Risks to the Fund include the potential inability of the counterparty to meet the terms of the contract. The net U.S. dollar value of foreign currency underlying all contractual commitments held by the Fund and the resulting unrealized appreciation or depreciation are determined using foreign currency exchange rates as provided by a reliable bank, dealer or pricing service. Unrealized appreciation and depreciation on foreign currency contracts are reported in the Statement of Assets and Liabilities as a receivable or payable and in the Statement of Operations with the change in unrealized appreciation or depreciation. The Fund may realize a gain or loss upon the closing or settlement of the foreign currency transactions. Such realized gains and losses are reported with all other foreign currency gains and losses in the Statement of Operations. As of December 31, 2001, the Fund had outstanding foreign currency contracts as follows:
Expiration Contract Valuation as of Unrealized Contract Description Date Amount (000s) December 31, 2001 Depreciation --------------------------------------------------------------------------------------------------- Contracts to Purchase --------------------- Canadian Dollar (CAD) 1/2/02 21 CAD $13,024 $261
38 Oppenheimer Main Street Small Cap Fund/VA Independent Auditors' Report =============================================================================== The Board of Trustees and Shareholders of Oppenheimer Main Street Small Cap Fund/VA: We have audited the accompanying statement of assets and liabilities of Oppenheimer Main Street Small Cap Fund/VA, formerly known as Oppenheimer Small Cap Growth Fund/VA (which is a series of Oppenheimer Variable Account Funds), including the statement of investments, as of December 31, 2001, and the related statement of operations for the year then ended, the statements of changes in net assets for each of the two years in the period then ended, and the financial highlights for the periods indicated. These financial statements and financial highlights are the responsibility of the Fund's management. Our responsibility is to express an opinion on these financial statements and financial highlights 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 and financial highlights are free of material misstatement. An audit includes examining, on a test basis, evidence supporting the amounts and disclosures in the financial statements. Our procedures included confirmation of securities owned as of December 31, 2001, by correspondence with the custodian and brokers; where replies were not received from brokers, we performed other auditing procedures. An audit also includes assessing the accounting principles used and significant estimates made by management, as well as evaluating the overall financial statement presentation. We believe that our audits provide a reasonable basis for our opinion. In our opinion, the financial statements and financial highlights referred to above present fairly, in all material respects, the financial position of Oppenheimer Main Street Small Cap Fund/VA as of December 31, 2001, the results of its operations for the year then ended, the changes in its net assets for each of the two years in the period then ended, and the financial highlights for the periods indicated, in conformity with accounting principles generally accepted in the United States of America. Deloitte & Touche LLP Denver, Colorado January 23, 2002 Oppenheimer Main Street Small Cap Fund/VA 39 Federal Income Tax Information (Unaudited) =============================================================================== In early 2002 shareholders of record received information regarding all dividends and distributions paid to them by the Fund during calendar year 2001. Regulations of the U.S. Treasury Department require the Fund to report this information to the Internal Revenue Service. The foregoing information is presented to assist shareholders in reporting distributions received from the Fund to the Internal Revenue Service. Because of the complexity of the federal regulations which may affect your individual tax return and the many variations in state and local tax regulations, we recommend that you consult your tax advisor for specific guidance. 40 Oppenheimer Main Street Small Cap Fund/VA Officers and Trustees =================================================================================================================================== Officers and Trustees James C. Swain, Trustee, CEO and Chairman of the Board John V. Murphy, President and Trustee William L. Armstrong, Trustee Robert G. Avis, Trustee George C. Bowen, Trustee Edward L. Cameron, Trustee Jon S. Fossel, Trustee Sam Freedman, Trustee C. Howard Kast, Trustee Robert M. Kirchner, Trustee F. William Marshall, Jr., Trustee Charles Albers, Vice President Mark Zavanelli, Vice President Robert G. Zack, Vice President and Secretary Brian W. Wixted, Treasurer Robert J. Bishop, Assistant Treasurer Scott T. Farrar, Assistant Treasurer Katherine P. Feld, Assistant Secretary Kathleen T. Ives, Assistant Secretary Denis R. Molleur, Assistant Secretary =================================================================================================================================== Name, Address,(1) Age, Position(s) Held Principal Occupation(s) During Past Five Years and Other Directorships Held by with Fund and Length of Time Served(2) Trustee ----------------------------------------------------------------------------------------------------------------------------------- James C. Swain, Chairman, Formerly Vice Chairman of OppenheimerFunds, Inc. (the "Manager") (September Chief Executive Officer and Trustee 1988-January 2, 2002); President and a director of Centennial Asset Management (since 1985). Age: 68 Corporation, a wholly owned subsidiary of the Manager and Chairman of the Board of Shareholder Services, Inc., a transfer agent subsidiary of the Manager. ----------------------------------------------------------------------------------------------------------------------------------- John V. Murphy,(3) President and Trustee Chairman, Chief Executive Officer and Director (since June 30, 2001) and President (since 2001). Age: 52 (since September 2000) of the Manager; President and a trustee of other Oppenheimer funds; President and a director (since July 2001) of Oppenheimer Acquisition Corp., the Manager's parent holding company, and of Oppenheimer Partnership Holdings, Inc., a holding company subsidiary of the Manager; Chairman and a director (since July 2001) of Shareholder Services, Inc. and of Shareholder Financial Services, Inc., transfer agent subsidiaries of the Manager; President and a director (since July 2001) of OppenheimerFunds Legacy Program, a charitable trust program established by the Manager; a director of the following investment advisory subsidiaries of the Manager: OAM Institutional, Inc. and Centennial Asset Management Corporation (since November 2001), HarbourView Asset Management Corporation and OFI Private Investments Inc. (since July 2002); President (since November 2001) and a director (since July 2001) of Oppenheimer Real Asset Management, Inc., an investment advisor subsidiary of the Manager; a director (since November 2001) of Trinity Investment Management Corp. and Tremont Advisers, Inc., investment advisory affiliates of the Manager. Executive Vice President (since February 1997) of Massachusetts Mutual Life Insurance Company, the Manager's parent company; a director (since June 1995) of DBL Acquisition Corporation; formerly Chief Operating Officer (September 2000-June 2001) of the Manager; President and Trustee (November 1999-November 2001) of MML Series Investment Fund and MassMutual Institutional Funds, open-end investment companies; a director (September 1999-August 2000) of C.M. Life Insurance Company; President, Chief Executive Officer and Director (September 1999-August 2000) of MML Bay State Life Insurance Company; a director (June 1989-June 1998) of Emerald Isle Bancorp and Hibernia Savings Bank, wholly owned subsidiary of Emerald Isle Bancorp; Executive Vice President, Director and Chief Operating Officer (June 1995-January 1997) of David L. Babson & Co., Inc., an investment advisor; Chief Operating Officer (March 1993-December 1996) of Concert Capital Management, Inc., an investment advisor.
Oppenheimer Main Street Small Cap Fund/VA 41 Officers and Trustees (Continued)
Name, Address,(1) Age, Position(s) Held with Fund and Length of Time Served(2) Principal Occupation(s) During Past Five Years and Other Directorships Held by Trustee ----------------------------------------------------------------------------------------------------------------------------------- William L. Armstrong, Trustee Chairman of the following private mortgage banking companies: Cherry Creek Mortgage (since 1999). Age: 64 Company (since 1991), Centennial State Mortgage Company (since 1994), The El Paso Mortgage Company (since 1993), Transland Financial Services, Inc. (since 1997); Chairman of the following private companies: Great Frontier Insurance (insurance agency) (since 1995) and Ambassador Media Corporation (since 1984); Director of the following public companies: Storage Technology Corporation (computer equipment company) (since 1991), Helmerich & Payne, Inc. (oil and gas drilling/production company) (since 1992), UNUMProvident (insurance company) (since 1991). Formerly Director of International Family Entertainment (television channel) (1992-1997) and Natec Resources, Inc. (air pollution control equipment and services company) (1991-1995), Frontier Real Estate, Inc. (residential real estate brokerage) (1994-1999), and Frontier Title (title insurance agency) (1995-June 1999); formerly U.S. Senator (January 1979-January 1991). ----------------------------------------------------------------------------------------------------------------------------------- Robert G. Avis, Trustee Formerly (until February 2001) Director and President of A.G. Edwards Capital, Inc. (since 1993). Age: 70 (General Partner of private equity funds), formerly (until March 2000) Chairman, President and Chief Executive Officer of A.G. Edwards Capital, Inc.; formerly (until March 1999) Vice Chairman and Director of A.G. Edwards, Inc. and Vice Chairman of A.G. Edwards & Sons, Inc. (its brokerage company subsidiary); (until March 1999) Chairman of A.G. Edwards Trust Company and A.G.E. Asset Management (investment advisor); (until March 2000), a director of A.G. Edwards & Sons and A.G. Edwards Trust Company. ----------------------------------------------------------------------------------------------------------------------------------- George C. Bowen, Trustee Formerly (until April 1999) Mr. Bowen held the following positions: Senior Vice (since 1998). Age: 65 President (from September 1987) and Treasurer (from March 1985) of the Manager; Vice President (from June 1983) and Treasurer (since March 1985) of OppenheimerFunds, Distributor, Inc., a subsidiary of the Manager and the Fund's Distributor; Senior Vice President (since February 1992), Treasurer (since July 1991) Assistant Secretary and a director (since December 1991) of Centennial Asset Management Corporation; Vice President (since October 1989) and Treasurer (since April 1986) of HarbourView Asset Management Corporation; President, Treasurer and a director of Centennial Capital Corporation (since June 1989); Vice President and Treasurer (since August 1978) and Secretary (since April 1981) of Shareholder Services, Inc.; Vice President, Treasurer and Secretary of Shareholder Financial Services, Inc. (since November 1989); Assistant Treasurer of Oppenheimer Acquisition Corp. (since March 1998); Treasurer of Oppenheimer Partnership Holdings, Inc. (since November 1989); Vice President and Treasurer of Oppenheimer Real Asset Management, Inc. (since July 1996); Treasurer of OppenheimerFunds International Ltd. and Oppenheimer Millennium Funds plc (since October 1997). ----------------------------------------------------------------------------------------------------------------------------------- Edward L. Cameron, Trustee Formerly (1974-1999) a partner with PricewaterhouseCoopers LLP (an accounting (since 1999). Age: 63 firm) and Chairman, Price Waterhouse LLP Global Investment Management Industry Services Group (1994-1998). ----------------------------------------------------------------------------------------------------------------------------------- Jon S. Fossel, Trustee (since 1990) Formerly (until October 1996) Chairman and a director of the Manager; President and a Age: 59 director of Oppenheimer Acquisition Corp., Shareholder Services, Inc. and Shareholder Financial Services, Inc. ----------------------------------------------------------------------------------------------------------------------------------- Sam Freedman, Trustee (since 1996) Formerly (until October 1994) Chairman and Chief Executive Officer of OppenheimerFunds Age: 61 Services; Chairman, Chief Executive Officer and a director of Shareholder Services, Inc.; Chairman, Chief Executive Officer and Director of Shareholder Financial Services, Inc.; Vice President and Director of Oppenheimer Acquisition Corp. and a director of OppenheimerFunds, Inc. ----------------------------------------------------------------------------------------------------------------------------------- C. Howard Kast, Trustee (since 1988) Formerly Managing Partner of Deloitte, Haskins & Sells (an accounting firm). Age: 80 ----------------------------------------------------------------------------------------------------------------------------------- Robert M. Kirchner, Trustee President of The Kirchner Company (management consultants). (since 1985). Age: 80
42 Oppenheimer Main Street Small Cap Fund/VA Officers and Trustees (Continued)
Name, Address,(1) Age, Position(s) Held Principal Occupation(s) During Past Five Years and Other Directorships Held by with Fund and Length of Time Served(2) Trustee ----------------------------------------------------------------------------------------------------------------------------------- F. William Marshall, Jr., Trustee Formerly (until 1999) Chairman of SIS & Family Bank, F.S.B. (formerly SIS Bank); (since 2000). Age: 59 President, Chief Executive Officer and Director of SIS Bankcorp., Inc. and SIS Bank (formerly Springfield Institution for Savings) (1993-1999); Executive Vice President (until 1999) of Peoples Heritage Financial Group, Inc.; Chairman and Chief Executive Office of Bank of Ireland First Holdings, Inc. and First New Hampshire Banks (1990-1993); Trustee (since 1996) of MassMutual Institutional Funds and of MML Series Investment Fund (open-end investment companies). ----------------------------------------------------------------------------------------------------------------------------------- Charles Albers, Vice President and Senior Vice President (since April 1998) of the Manager; a Certified Financial Portfolio Manager of Oppenheimer Analyst; an officer and portfolio manager of other Oppenheimer funds; formerly a vice Main Street(R) Small Cap Fund/VA president and portfolio manager for Guardian Investor Services, the investment and Main Street(R) Growth & Income management subsidiary of The Guardian Life Insurance Company (1972-April 1998). Fund/VA (since 1999). Age: 61 ----------------------------------------------------------------------------------------------------------------------------------- Bruce L. Bartlett, Vice President and Senior Vice President (since January 1999) of the Manager; an officer and portfolio Portfolio Manager of Oppenheimer manager of other Oppenheimer funds, prior to joining the Manager in April 1995, Aggressive Growth Fund/VA he was a vice president and senior portfolio manager at First of America Investment (since 1998). Age: 51 Corp. (September 1986-April 1995). ----------------------------------------------------------------------------------------------------------------------------------- George Evans, Vice President and Vice President of the Manager (since October 1993) and of HarbourView Asset Portfolio Manager of Oppenheimer Management Corporation (since July 1994); an officer and portfolio manager of other Multiple Strategies Fund/VA Oppenheimer funds. (since 2001). Age: 42 ----------------------------------------------------------------------------------------------------------------------------------- John S. Kowalik, Vice President and Senior Vice President of the Manager (since July 1998) and of HarbourView Asset Portfolio Manager of Oppenheimer Management Corporation (since April 2000); an officer and portfolio manager of other Bond Fund/VA Oppenheimer funds; formerly Managing Director and Senior Portfolio Manager at (since 1998). Age: 44 Prudential Global Advisors (June 1989-June 1998). ----------------------------------------------------------------------------------------------------------------------------------- Michael Levine, Vice President and Vice President (since June 1998) of the Manager; an officer and portfolio manager of Portfolio Manager of Oppenheimer other Oppenheimer funds; formerly Assistant Vice President and Portfolio Manager of Multiple Strategies Fund/VA the Manager (April 1996-June 1998); prior to joining the Manager in June 1994, he (since 1998). Age: 36 was a portfolio manager and research associate for Amas Securities, Inc. (February 1990-February 1994). ----------------------------------------------------------------------------------------------------------------------------------- Nikolaos Monoyios, Vice President and Vice President of the Manager (since April 1998); an officer and portfolio manager of Portfolio Manager of Oppenheimer other Oppenheimer funds; a Certified Financial Analyst; formerly a vice president and Main Street(R) Growth & Income Fund/VA portfolio manager for Guardian Investor Services, the investment management subsidiary (since 1999). Age: 52 of The Guardian Life Insurance Company (1979-March 1998). ----------------------------------------------------------------------------------------------------------------------------------- David P. Negri, Vice President and Senior Vice President of the Manager (since May 1998) and of HarbourView Asset Portfolio Manager of Oppenheimer Bond Management Corporation (since April 1999); an officer and portfolio manager of other Fund/VA, High Income Fund/VA, Multiple Oppenheimer funds; formerly Vice President of the Manager (July 1988-May 1998). Strategies Fund/VA and Strategic Bond Fund/VA (since 1990). Age: 47 ----------------------------------------------------------------------------------------------------------------------------------- Jane Putnam, Vice President and Vice President of the Manager (since October 1995); an officer and portfolio manager Portfolio Manager of Oppenheimer of another Oppenheimer fund; before joining the Manager in May 1994, she was a (since 1994). Age: 40 portfolio manager and equity research analyst for Chemical Bank (June 1989-May 1994). ----------------------------------------------------------------------------------------------------------------------------------- Thomas P. Reedy, Vice President and Vice President of the Manager (since June 1993) and of HarbourView Asset Management Portfolio Manager of Oppenheimer Corporation (since April 1999); an officer and portfolio manager of other Oppenheimer High Income Fund/VA funds. (since 1998). Age: 39 ----------------------------------------------------------------------------------------------------------------------------------- Richard H. Rubinstein, Vice President Senior Vice President (since October 1995) of the Manager; an officer and portfolio and Portfolio Manager of Oppenheimer manager of another Oppenheimer fund; formerly a vice president of the Manager Multiple Strategies Fund/VA (since (June 1990-October 1995). 1991). Age: 53
Oppenheimer Main Street Small Cap Fund/VA 43 Officers and Trustees (Continued)
Name, Address,(1) Age, Position(s) Held with Fund and Length of Time Served(2) Principal Occupation(s) During Past Five Years and Other Directorships Held by Trustee ----------------------------------------------------------------------------------------------------------------------------------- Arthur P. Steinmetz, Vice President and Senior Vice President of the Manager (since March 1993) and of HarbourView Asset Portfolio Manager of Oppenheimer Management Corporation (since March 2000); an officer and portfolio manager of other Strategic Bond Fund/VA (since 1993). Oppenheimer funds. Age: 43 ----------------------------------------------------------------------------------------------------------------------------------- Susan Switzer, Vice President and Vice President of the Manager (since December 2000); Assistant Vice President of the Portfolio Manager of Oppenheimer Multiple Manager (December 1997-December 2000). Prior to joining the Manager, she was a Strategies Fund/VA (since 2001). Age: 35 portfolio manager at Neuberger Berman (November 1994-November 1997). ----------------------------------------------------------------------------------------------------------------------------------- James F. Turner, II, Vice President and Vice President and Portfolio Manager of the Manager since March 26, 2001; Portfolio Portfolio Manager of Oppenheimer Manager for Technology Crossover Ventures (May 2000-March 2001); Assistant Vice Aggressive Growth Fund/VA President and Associate Portfolio Manager of the Manager (August 1999-May 2000); (since 2001). Age: 34 Securities Analyst for the Manager (October 1996-August 1999); and a securities analyst with First of America Investment Company (May 1994-October 1996). ----------------------------------------------------------------------------------------------------------------------------------- Barry Weiss, Vice President and Portfolio Vice President of the Manager (since July 2001); an officer and portfolio manager of Manager of Oppenheimer Money Fund/VA other Oppenheimer funds; formerly Assistant Vice President and Senior Credit Analyst (since 2001). Age: 37 of the Manager (February 2000-June 2001). Prior to joining the Manager in February 2000, he was Associate Director, Structured Finance, Fitch IBCA Inc. (April 1998- February 2000); News Director, Fitch Investors Service (September 1996-April 1998); and Senior Budget Analyst, City of New York, Office of Management & Budget (February 1990-September 1996). ----------------------------------------------------------------------------------------------------------------------------------- William L. Wilby, Vice President and Senior Vice President of the Manager (since July 1994) and of HarbourView Asset Portfolio Manager of Oppenheimer Management Corporation (since May 1999); Senior Investment Officer, Director of Global Securities Fund/VA (since 1995). International Equities (since May 2000) of the Manager; an officer and portfolio Age: 57 manager of another Oppenheimer fund; formerly Vice President of the Manager (October 1991-July 1994) and of HarbourView Asset Management Corporation (June 1992-May 1999). ----------------------------------------------------------------------------------------------------------------------------------- Carol E. Wolf, Vice President and Portfolio Senior Vice President of the Manager; an officer and portfolio manager of other Manager of Oppenheimer Money Fund/VA Oppenheimer funds; formerly Vice President of the Manager (June 1990-June 2000). (since 1998). Age: 50 ----------------------------------------------------------------------------------------------------------------------------------- Mark Zavanelli, Vice President and Assistant Vice President (since May 1998) of the Manager; a Chartered Financial Portfolio Manager of Oppenheimer Analyst; an officer and portfolio manager of other Oppenheimer funds. Prior to joining Main Street Small Cap Fund/VA the Manager in May 1998 he was President of Waterside Capital Management, a registered (since 2001). Age: 31 investment advisor (August 1995-April 1998) and a financial research analyst for Elder Research (June 1997-April 1998). ----------------------------------------------------------------------------------------------------------------------------------- Robert G. Zack, Vice President and Senior Vice President (since May 1985) and Acting General Counsel (since November Secretary (since 2001). Age: 53 2001) of the Manager; Assistant Secretary of Shareholder Services, Inc. (since May 1985), Shareholder Financial Services, Inc. (since November 1989); OppenheimerFunds International Ltd. and Oppenheimer Millennium Fund plc (since October 1997); an officer of other Oppenheimer funds. Formerly Associate General Counsel (May 1981- November 2001). ----------------------------------------------------------------------------------------------------------------------------------- Brian W. Wixted, Senior Vice President and Treasurer (since March 1999) of the Manager; Treasurer Treasurer (since 1999). Age: 42 (since March 1999) of HarbourView Asset Management Corporation, Shareholder Services, Inc., Oppenheimer Real Asset Management Corporation, Shareholder Financial Services, Inc. and Oppenheimer Partnership Holdings, Inc., of OFI Private Investments, Inc. (since March 2000) and of OppenheimerFunds International Ltd. and Oppenheimer Millennium Funds plc (since May 2000); Treasurer and Chief Financial Officer (since May 2000) of Oppenheimer Trust Company; Assistant Treasurer (since March 1999) of Oppenheimer Acquisition Corp.; an officer of other Oppenheimer funds; formerly Principal and Chief Operating Officer, Bankers Trust Company--Mutual Fund Services Division (March 1995-March 1999); Vice President and Chief Financial Officer of CS First Boston Investment Management Corp. (September 1991-March 1995). ----------------------------------------------------------------------------------------------------------------------------------- Robert J. Bishop, Assistant Treasurer Vice President of the Manager/Mutual Fund Accounting (since May 1996); an officer of (since 1996). Age: 43 other Oppenheimer funds; formerly an assistant vice president of the Manager/Mutual Fund Accounting (April 1994-May 1996) and a fund controller of the Manager.
44 Oppenheimer Main Street Small Cap Fund/VA Officers and Trustees (Continued)
Name, Address,(1) Age, Position(s) Held with Fund and Length of Time Served(2) Principal Occupation(s) During Past Five Years and Other Directorships Held by Trustee ----------------------------------------------------------------------------------------------------------------------------------- Scott T. Farrar, Assistant Treasurer Vice President of the Manager/Mutual Fund Accounting (since May 1996); Assistant (since 1996). Age: 36 Treasurer of Oppenheimer Millennium Funds plc (since October 1997); an officer of other Oppenheimer funds; formerly an assistant vice president of the Manager/Mutual Fund Accounting (April 1994-May 1996), and a fund controller of the Manager. ----------------------------------------------------------------------------------------------------------------------------------- Katherine P. Feld, Assistant Secretary Vice President and Senior Counsel of the Manager (since July 1999); Vice President of (since 2001). Age: 43 OppenheimerFunds Distributor, Inc. (since June 1990); an officer of other Oppenheimer funds; formerly a vice president and associate counsel of the Manager (June 1990- July 1999). ----------------------------------------------------------------------------------------------------------------------------------- Kathleen T. Ives, Assistant Secretary Vice President and Assistant Counsel of the Manager (since June 1998); an officer of (since 2001). Age: 36 other Oppenheimer funds; formerly an assistant vice president and assistant counsel of the Manager (August 1994-August 1997). ----------------------------------------------------------------------------------------------------------------------------------- Denis R. Molleur, Assistant Secretary Vice President and Senior Counsel of the Manager (since July 1999); an officer of (since 2001). Age: 44 other Oppenheimer funds; formerly a vice president and associate counsel of the Manager (September 1991-July 1999).
The Fund's Statement of Additional Information contains additional information about the Fund's Trustees and is available without charge upon request. Each Trustee is a Trustee, Director or Managing General Partner of 41 other portfolios in the Oppenheimer Fund complex, except as follows: Messrs. Armstrong and Fossel (40 portfolios), Messrs. Bowen, Cameron and Marshall (36 portfolios), and Mr. Murphy (62 portfolios). 1. The address of each Trustee and Officer is 6803 S. Tucson Way, Englewood, CO 80112-3924, except as follows: the address for the following officers is 498 Seventh Avenue, New York, NY 10018: Messrs. Albers, Bartlett, Evans, Kowalik, Levine, Monoyios, Negri, Reedy, Rubinstein, Steinmetz, Turner, Wilby, Zavanelli, Molleur and Zack, and Mses. Switzer and Feld. 2. Each Trustee and Officer serves for an indefinite term, until his or her resignation, death or removal. 3. John V. Murphy is an "interested person" of the Fund (as defined in the Investment Company Act of 1940), by virtue of his positions as an officer and director of the Fund's Manager, and as a shareholder of its parent company. Oppenheimer Main Street Small Cap Fund/VA 45 (This Page Intentionally Left Blank) (This Page Intentionally Left Blank) Oppenheimer Main Street Small Cap Fund/VA A Series of Oppenheimer Variable Account Funds ============================================================================================================================== Investment Advisor OppenheimerFunds, Inc. ============================================================================================================================== Distributor OppenheimerFunds Distributor, Inc. ============================================================================================================================== Transfer Agent OppenheimerFunds Services ============================================================================================================================== Custodian of Portfolio Securities The Bank of New York ============================================================================================================================== Independent Auditors Deloitte & Touche LLP ============================================================================================================================== Legal Counsel Myer, Swanson, Adams & Wolf, P.C. For more complete information about Oppenheimer Main Street Small Cap Fund/VA, please refer to the Prospectus. To obtain a copy, call your financial advisor, or call OppenheimerFunds, Inc. at 1.800.981.2871.
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