N-4/A 1 b85497a1nv4za.txt JOHN HANCOCK LIFE INSURANCE COMPANY OF NEW YORK SEPARATE ACCOUNT A As filed with the Securities and Exchange Commission on March 30, 2011 Registration No. 333-172475 811-6584 SECURITIES AND EXCHANGE COMMISSION Washington, D.C. 20549 FORM N-4 REGISTRATION STATEMENT UNDER THE SECURITIES ACT OF 1933 PRE-EFFECTIVE AMENDMENT NO. 1 and/or REGISTRATION STATEMENT UNDER THE INVESTMENT COMPANY ACT OF 1940 AMENDMENT NO. 156 JOHN HANCOCK LIFE INSURANCE COMPANY OF NEW YORK SEPARATE ACCOUNT A (formerly, The Manufacturers Life Insurance Company of New York Separate Account A) (Exact name of Registrant) JOHN HANCOCK LIFE INSURANCE COMPANY OF NEW YORK (formerly, The Manufacturers Life Insurance Company of New York) (Name of Depositor) 100 Summit Lake Drive, Second Floor Valhalla, New York 10595 (Address of Depositor's Principal Executive Offices) (914) 773-0708 (Depositor's Telephone Number Including Area Code) Thomas J. Loftus, Esquire John Hancock Life Insurance Company of New York 601 Congress Street Boston, MA 02210-2805 (Name and Address of Agent for Service) Copy to: Approximate Date of Proposed Public Offering: June 1, 2011 The Registrant hereby amends this Registration Statement on such date or dates as may be necessary to delay its effective date until the Registrant shall file a further amendment which specifically states that the Registration Statement shall thereafter become effective in accordance with Section 8(a) of the Securities Act of 1933 or until the Registration Statement shall become effective on such date as the Commission, acting pursuant to said Section 8(a), may determine. Title of Securities Being Registered: Variable Annuity Insurance Contracts PART A INFORMATION REQUIRED IN A PROSPECTUS [Incorporated by reference to this Registration Statement, File No. 333-172475, filed on February 28, 2011] PART B INFORMATION REQUIRED IN A STATEMENT OF ADDITIONAL INFORMATION [FILED HEREWITH] Statement of Additional Information dated June 1, 2011 (JOHN HANCOCK(R) LOGO) JOHN HANCOCK ANNUITIES Statement of Additional Information John Hancock Life Insurance Company of New York Separate Account A THIS STATEMENT OF ADDITIONAL INFORMATION IS NOT A PROSPECTUS. This Statement of Additional Information should be read in conjunction with the Prospectus dated the same date as this Statement of Additional Information. This Statement of Additional Information describes additional information regarding the flexible purchase payment deferred variable annuity contracts (singly, a "Contract" and collectively, the "Contracts" issued by JOHN HANCOCK LIFE INSURANCE COMPANY OF NEW YORK ("John Hancock New York") in the state of New York as follows: CONTRACT ISSUED BY JOHN HANCOCK NEW YORK Venture(R) Frontier Variable Annuity [Venture(R) 7 Series Variable Annuity] [Venture(R) 4 Series Variable Annuity] You may obtain a copy of the Prospectus listed above by contacting us at the following addresses: JOHN HANCOCK LIFE INSURANCE COMPANY OF NEW YORK John Hancock Annuities Service Center Mailing Address 164 Corporate Drive Post Office Box 9506 Portsmouth, NH 03801-6815 Portsmouth, NH 03802-9506 (800) 551-2078 www.jhannuitiesnewyork.com JHNY SEP ACCT A SAI Venture(R) Series Chassis 06/11 Table of Contents GENERAL INFORMATION AND HISTORY .......................................... 1 JOHN HANCOCK VARIABLE INSURANCE TRUST PORTFOLIO HOLDINGS CURRENTLY POSTED ON A WEBSITE ................................................... 1 ACCUMULATION UNIT VALUE TABLES ........................................... 1 SERVICES ................................................................. 1 Independent Registered Public Accounting Firm ......................... 1 Servicing Agent ....................................................... 2 Principal Underwriter ................................................. 2 Special Compensation and Reimbursement Arrangements ................... 2 STATE VARIATIONS REGARDING RECOGNITION OF SAME-SEX COUPLES ............... 5 ADDITIONAL INFORMATION ABOUT THE PORTFOLIO STABILIZATION PROCESS ......... 6 QUALIFIED PLAN TYPES ..................................................... 8 LEGAL AND REGULATORY MATTERS ............................................. 13 APPENDIX A: AUDITED FINANCIAL STATEMENTS ................................. A-1
General Information and History John Hancock Life Insurance Company of New York Separate Account A (the "Separate Account") (formerly, The Manufacturers Life Insurance Company of New York Separate Account A) is a separate investment account of John Hancock Life Insurance Company of New York ("we" or "us"), a stock life insurance company organized under the laws of New York in 1992. John Hancock New York's principal office is located at 100 Summit Lake Drive, Valhalla, New York 10595. It also has an Annuities Service Center located at 164 Corporate Drive, Portsmouth, New Hampshire 03801-6815. John Hancock New York is a wholly-owned subsidiary of John Hancock Life Insurance Company (U.S.A.) ("John Hancock USA") (formerly, The Manufacturers Life Insurance Company of New York), a stock life insurance company incorporated in Maine on August 20, 1955 by a special act of the Maine legislature and redomesticated under the laws of Michigan. The ultimate parent of John Hancock USA is Manulife Financial Corporation ("MFC") based in Toronto, Canada. MFC is the holding company of The Manufacturers Life Insurance Company and its subsidiaries, collectively known as Manulife Financial. John Hancock New York established the Separate Account on March 4, 1992 as a separate account under the laws of New York. Our financial statements which are included in this Statement of Additional Information should be considered only as bearing on our ability to meet our obligations under the Contracts. They should not be considered as bearing on the investment performance of the assets held in the Separate Account. John Hancock Variable Insurance Trust Portfolio Holdings Currently Posted on a Website Each of the John Hancock Variable Insurance Trust's Fund of Funds that are available under the Contracts invests in shares of other funds. The John Hancock Variable Insurance Trust has adopted a policy to post each of these Fund of Funds' holdings in other funds on a website within 30 days after each calendar quarter end and within 30 days after any material changes are made to the holdings of a Fund of Fund. In addition, the ten largest holdings of each fund will be posted to the website 30 days after each calendar quarter end. The information described above will remain on the website until the date the John Hancock Variable Insurance Trust files its Form N-CSR or Form N-Q with the SEC for the period that includes the date as of which the website information is current. John Hancock Variable Insurance Trust's Form N-CSR and Form N-Q will contain each fund's entire portfolio holdings as of the applicable calendar quarter end. You may access information on holdings for the Funds of Funds available under your Contract on the following website: http://www.jhannuities.com/Marketing/Portolios/ PortfoliosManagementTeamPage.aspx?globalNavID=21 We provide this information in connection with our Contracts, but the John Hancock Variable Insurance Trust is responsible for the accuracy and validity of the information on holdings for the Funds of Funds posted on the website. Accumulation Unit Value Tables The Accumulation Unit Value Tables are located in Appendix U of the product prospectus. Services Independent Registered Public Accounting Firm The financial statements of John Hancock Life Insurance Company of New York at December 31, 2010 and 2009, and for each of the three years in the period ended December 31, 2010, and the financial statements of John Hancock Life Insurance Company of New York Separate Account A at December 31, 2010, and for each of the two years in the period ended December 31, 2010, appearing in this Statement of Additional Information of the Registration Statement have been audited by Ernst & Young LLP, independent registered public accounting firm, as set forth in their reports thereon appearing elsewhere herein, and are included in reliance upon such reports given on the authority of such firm as experts in accounting and auditing. 1 Servicing Agent Computer Sciences Corporation Financial Services Group ("CSC FSG") provides to us a computerized data processing recordkeeping system for variable annuity administration. CSC FSG provides various daily, semimonthly, monthly, semiannual and annual reports including: - daily updates on accumulation unit values, variable annuity participants and transactions, and agent production and commissions; - semimonthly commission statements; - monthly summaries of agent production and daily transaction reports; - semiannual statements for Contract Owners; and - annual Contract Owner tax reports. We pay CSC FSG approximately $7.80 per Contract per year, plus certain other fees for the services provided. Principal Underwriter John Hancock Distributors, LLC, ("JH Distributors"), an indirect wholly owned subsidiary of MFC, serves as principal underwriter of the Contracts. Contracts are offered on a continuous basis. The aggregate dollar amounts of underwriting commissions paid to JH Distributors in 2010, 2009, and 2008 were $369,132,052, $421,625,749, and $597,650,909, respectively. Special Compensation and Reimbursement Arrangements The Contracts are primarily sold through selected firms. The Contracts' principal distributor, JH Distributors, and its affiliates (collectively, "JHD") pay compensation to broker-dealers (firms) for the promotion and sale of the Contracts. The compensation JHD pays may vary depending on each firm's selling agreement and the specific Contract(s) distributed by the firm, but compensation (inclusive of wholesaler overrides and expense allowances) paid to the firms for sale of the Contracts is not expected to exceed the standard compensation amounts referenced in the Prospectus for the applicable Contract.. The amount and timing of this compensation may differ among firms. The registered representative through whom your Contract is sold will be compensated pursuant to that registered representative's own arrangement with his or her broker-dealer. The registered representative and the firm may have multiple options on how they wish to allocate their commissions and/or compensation. We are not involved in determining your registered representative's compensation. You are encouraged to ask your registered representative about the basis upon which he or she will be personally compensated for the advice or recommendations provided in connection with the sale of your Contract. Compensation to firms for the promotion and sale of the Contracts is not paid directly by Contract owners, but we expect to recoup it through the fees and charges imposed under the Contract. We may, directly or through JHD, make additional payments to firms, either from 12b-1 distribution fees received from the Contracts' underlying investment Portfolios or out of our own resources. These payments are sometimes referred to as "revenue sharing." Revenue sharing expenses are any payments made to broker-dealers or other intermediaries to either (i) compensate the intermediary for expenses incurred in connection with the promotion and/or sale of John Hancock investment products, or (ii) obtain promotional and/or distribution services for John Hancock investment products. Many firms that sell the Contracts receive one or more types of these cash payments. We are among several insurance companies that pay additional payments to certain firms to receive "preferred" or recommended status. These privileges include: additional or special access to sales staff; opportunities to provide and/or attend training and other conferences; advantageous placement of our products on customer lists ("shelf-space arrangements"); and other improvements in sales by featuring our products over others. Revenue sharing payments assist in our efforts to promote the sale of the Contracts and could be significant to a firm. Not all firms, however, receive additional compensation. We determine which firms to support and the extent of the payments we are willing to make, and generally choose to compensate firms that are willing to cooperate with our promotional efforts and have a strong capability to distribute the Contracts. We do not make an independent assessment of the cost of providing such services. Instead, we agree with the firm on the methods for calculating any additional compensation. The methods, which vary by firm and are further described below, may include different categories to measure the amount of revenue sharing payments, such as the level of sales, assets attributable to the firm and the variable annuity contracts covered under the arrangement (including contracts issued by any of our affiliates). The categories of revenue sharing payments that we may provide to firms, directly or through JHD, are not mutually 2 exclusive and may vary from Contract to Contract. We or our affiliates may make additional types of revenue sharing payments for other products, and may enter into new revenue sharing arrangements in the future. The following list includes the names of member firms of the Financial Industry Regulatory Authority ("FINRA,") (or their affiliated broker-dealers) that we are aware (as of December 31, 2010) received a revenue sharing payment of more than $5,000 with respect to annuity business during the latest calendar year: NAME OF FIRM [TO BE UPDATED BY AMENDMENT] DISTRIBUTOR 1st Global Capital Corp. AIG - SagePoint, Inc. AIG - FSC Securities Corporation AIG - Royal Alliance Associates, Inc. American Portfolios Financial Services AmTrust Investment Services, Inc. Banc of America Investment Services, Inc. BancWest Investment Services, Inc. Cadaret, Grant & Co., Inc. Cambridge Investment Research CapitalOne Investments, Inc. CapWest Securities, Inc. Centaurus Financial Citigroup Global Markets, Inc. CCO Investment Services Co. Comerica Securities Commonwealth Financial Network Crown Capital Securities, L.P. CUSO Financial Services, L.P. First Allied Securities Fifth Third Securities, Inc. Founders Financial Geneos Wealth Management, Inc. H.D. Vest Investment Services Harbour Investments, Inc. ING - Financial Network Investment Corp. ING Financial Partners ING - Multi-Financial Securities Corporation ING - PrimeVest Financial Services, Inc. InterSecurities Investacorp, Inc. Investment Professionals, Inc. Investors Capital, Inc. J.J.B. Hilliard, W.L. Lyons, LLC Janney Montgomery Scott, LLC John Hancock Financial Network Key Investments Services, LLC Lasalle St. Securities, LLC Lincoln Financial Advisors Corporation Lincoln Financial Securities Corp. LPL Financial Corp. LPL - Uvest Financial M Holdings Securities, Inc. Merrill Lynch, Pierce, Fenner & Smith, Inc. 3 DISTRIBUTOR MICG Investments, LLC MML Investors Services, Inc. Money Concepts Capital Corporation Morgan Keegan & Co., Inc. Morgan Stanley & Co., Inc. Next Financial NFP Securities NPH - Investment Center of America, Inc. NPH - Invest Financial Corporation NPH - National Planning Corp. NPH - SII Investments, Inc. PAC - United Planners Financial Services People's Securities, Inc. ProEquities, Inc. Prospera Financial Questar Capital Corporation Raymond James Associates Raymond James Financial Services RBC Dain Rauscher, Inc. Securities America, Inc. Sigma Financial Corporation Stifel, Nicolaus & Company, Inc. TFS Securities, Inc. The Huntington Investment Company The Investment Center, Inc. Tower Square Securities, Inc. Transamerica Financial Advisors, Inc. UBS Financial Services, Inc. Unionbanc Investment Services, LLC Walnut Street Securities, Inc. Wells Fargo Financial Advisors, LLC (ISG) Wells Fargo Financial Advisors, LLC (PCG) Wells Fargo Financial Network, LLC Wells Fargo Investments, LLC Woodbury Financial Services, Inc. Your registered representative can provide you with more information about the compensation arrangements that apply upon the sale of a variable annuity contract. Inclusion on this list does not imply that these sums necessarily constitute "special cash compensation" as defined by NASD Conduct Rule 2830(l)(4). We will endeavor to update this listing annually; interim arrangements may not be reflected. We assume no duty to notify any investor whether his or her registered representative is or should be included in any such listing. You are encouraged to review the prospectus for each Portfolio for any other compensation arrangements pertaining to the distribution of Portfolio shares. We may, directly or through JHD, also have arrangements with intermediaries that are not members of FINRA. Sales and Asset Based Payments. We may, directly or through JHD, make revenue sharing payments as incentives to certain firms to promote and sell the Contracts. We hope to benefit from revenue sharing by increasing Contract sales. In consideration for revenue sharing, a firm may feature the Contracts in its sales system or give us additional access to members of its sales force or management. In addition, a firm may agree to participate in our marketing efforts by allowing us to participate in conferences, seminars or other programs attended by the firm's sales force. Although a firm may seek revenue sharing payments to offset costs incurred by the firm in servicing its clients that have purchased the Contracts, the firm may earn a profit on these payments. Revenue sharing payments may provide a firm with an incentive to favor the Contracts in its sales efforts. 4 The revenue sharing payments we make may be calculated on sales of our products by the firm ("Sales-Based Payments"). These payments are based upon a percentage of the total amount of money received, or anticipated to be received, for sales through a firm of some or all of the insurance products that we and/or our affiliates offer. We make these payments on a periodic basis. Such payments also may be calculated based upon the "assets under management" attributable to a particular firm ("Asset-Based Payments"). These payments are based upon a percentage of the contract value of some or all of our (and/or our affiliates') insurance products that were sold through the firm. We make these payments on a periodic basis. Sales-Based Payments primarily create incentives to make new sales of our insurance products and Asset-Based Payments primarily create incentives to service and maintain previously sold Contracts. We may pay a firm either or both Sales-Based Payments and Asset-Based Payments. Administrative and Processing Support Payments. We may, directly or through JHD, also make payments to certain firms that sell our products for certain administrative services, including record keeping and sub-accounting Contract owner accounts, and in connection with account maintenance support, statement preparation and transaction processing. The types of payments that we may make under this category include, among others, payment of ticket charges per purchase or exchange order placed by a firm, payment of networking fees in connection with certain mutual fund trading systems, or one-time payments for ancillary services such as setting up funds on a firm's mutual fund trading system. Other Payments. We may, directly or through JHD, also provide, either from the 12b-1 distribution fees received from the Portfolios underlying the Contracts or out of our own resources, additional compensation to firms that sell or arrange for the sale of Contracts. Such compensation may include seminars for the public, advertising and sales campaigns regarding the Contracts to assist a firm in connection with its systems, operations and marketing expenses, or for other activities of a selling firm or wholesaler. We may contribute to, as well as sponsor, various educational programs, sales contests and/or promotions in which participating firms and their sales persons may receive prizes such as merchandise, cash, or other awards. Other compensation may be offered to the extent not prohibited by federal or state laws or any self-regulatory agency, such as FINRA. We make payments for entertainment events we deem appropriate, subject to our guidelines and applicable law. These payments may vary widely, depending upon the nature of the event or the relationship. We may make these payments upon the initiation of a relationship with a firm, and at any time thereafter. We may have other relationships with firms relating to the provisions of services to the Contracts, such as providing omnibus account services, transaction processing services, or effecting portfolio transactions for Portfolios. If a firm provides these services, we may compensate the firm for these services. In addition, a firm may have other compensated or uncompensated relationships with us that are not related to the Contracts. Signator Investors, Inc. may pay their respective registered representatives additional cash incentives in the form of bonus payments, expense payments, employment benefits or the waiver of overhead costs or expenses in connection with the sale of the Contracts that they would not receive in connection with the sale of contracts issued by unaffiliated companies. State Variations Regarding Recognition of Same-Sex Couples The federal Defense of Marriage Act ("DOMA") does not recognize civil unions or same-sex marriages. Therefore, the federal tax treatment available to spouses who fall within the definition of DOMA may not be available to civil union or same-sex marriage partners. However, the following table identifies the states that may, pursuant to state law, extend to civil union and same-sex marriage partners the same benefits (other than federal tax benefits) that are granted to spouses who fall within the definition of DOMA: [TO BE UPDATED BY AMENDMENT]
STATE TYPE OF JURISDICTION RELATED RULE -------------------- ----------------------------------- ----------------------------------------------------- California Domestic Partnership Colorado Designated Beneficiary Agreements May recognize spouses of civil unions from other jurisdictions Connecticut Civil Union, Same-Sex Marriage
5
STATE TYPE OF JURISDICTION RELATED RULE -------------------- ----------------------------------- ----------------------------------------------------- District of Columbia Domestic Partnership, Same-Sex Marriage Hawaii Reciprocal Beneficiary Relationship Iowa Same-Sex Marriage Maine Domestic Partnerships Maryland Domestic Partnership Also recognizes spouses of same-sex marriages who were married in another jurisdiction Massachusetts Same-Sex Marriage Nevada Domestic Partnership New Hampshire Same-Sex Marriage New Jersey Civil Union, Also recognizes spouses of civil unions who were Domestic Partnership married in another jurisdiction New York -- Recognizes spouses of civil unions and same-sex marriages who were married in another jurisdiction Oregon Domestic Partnership Rhode Island Domestic Partnership Recognizes spouses of civil unions and same-sex marriages who were married in another jurisdiction Vermont Same-Sex Marriage Washington Domestic Partnership Wisconsin Domestic Partnerships
The table above is current only as of the date of this Statement of Additional Information. Please consult with your own qualified tax advisor for information on: (1) how federal tax rules may affect Contracts where civil union or same-sex marriage partners either singularly or jointly own the Contract, or are designated Annuitant(s), Beneficiary(ies) and/or Covered Person(s); and (2) your state's regulations regarding civil unions and same-sex marriages. Additional Information about the Portfolio Stabilization Process Please read the applicable Prospectus for [Venture(R) Frontier Variable Annuity, Venture(R) 7 Series Variable Annuity or Venture 4 Series Variable Annuity] Contracts for general information on Contracts issued with an IPFL 6.11 Series Rider. We provide additional information in this section about the Portfolio Stabilization Process we use to monitor Contract Value and to make automatic transfers between the Lifestyle PS Subaccounts and the Bond PS Subaccount. Determination of Reference Value under STEP ONE of the Portfolio Stabilization Process Contract Inception The initial Reference Value is equal to the Contract Value on the Contract Date. Determination of Monthly Anniversary Dates The Reference Value will be adjusted on each Monthly Anniversary to equal the greater of (a) the current Reference Value or (b) the Contract Value on that day. Adjustments for Additional Purchase Payments Additional Purchase Payments that we accept on any Business Day prior to the Lifetime Income Date increase the Reference Value by the amount of the Additional Purchase Payment. Additional Purchase Payments that we accept on any Business Day coincident with or after the Lifetime Income Date increase the Reference Value by the excess, if any, of the Additional Payment over any withdrawal since the later of: (a) the Lifetime Income Date, or (b) the later of: (i) the date of an Additional Purchase Payment that increased the Reference Value, or (ii) the date of a reduction in the Reference Value. Adjustments for Excess Withdrawals 6 The Reference Value will not be adjusted for withdrawals that are less than or equal to the Lifetime Income Amount. Excess Withdrawals, including all withdrawals prior to the Lifetime Income Date, will reduce the Reference Value in the same proportion as the amount of the withdrawal divided by the Contract Value prior to the withdrawal. As an example, assume that you own a Contract with an IPFL 6.11 Series Rider on a Business Day, where: - the Business Day is after the Lifetime Income Date, - no withdrawal charges apply, - the Contract Value is $100,000, - the Lifetime Income Amount is $5,000, - the Reference Value is $120,000, and - you withdraw $15,000. Under these assumptions, the Portfolio Stabilization Process will adjust the Reference Value as follows: - the Excess Withdrawal amount is $15,000 - $5,000, or $10,000, - the Contract Value immediately before the Excess Withdrawal is $100,000 - $5,000, or $95,000, - the Contract Value immediately after the Excess Withdrawal is $95,000 - $10,000, or $85,000, and - the adjusted Reference Value is ($120,000 x ($85,000 / $95,000)), or $107,368. Review of Contract Value Allocation under STEP TWO of the Portfolio Stabilization Process The Portfolio Stabilization Process uses the term "Target Bond PS Subaccount Allocation" in connection with the review of Contract Value Allocation to describe the target amount required to be maintained in the Bond PS Subaccount, before adjustment to reflect Contract Value allocated to the Ultra Short Term Bond Subaccount, or any available DCA Fixed Investment Account. We define the term as follows: Target Bond PS Subaccount Allocation - The sum of (a) plus (b) minus (c) minus (d) where: (a) Is the minimum of the Contract Value and 80% of the Reference Value (b) Is the Reference Value Band multiplied by 2.5% of Reference Value (c) Is 20 divided by the weighted average AEAF ("WAEAF") multiplied by the minimum of the Contract Value and 80% of the Reference Value (d) Is the Reference Value Band multiplied by 2.5% of the Reference Value multiplied by F. For purposes of the Target Bond PS Subaccount Allocation, "F" is determined as follows: 32 x WAEAF - 540 + RV Band x (WAEAF - 20) F = ----------------------------------------- 5 x WAEAF Automatic Transfers under STEP THREE of the Portfolio Stabilization Process Whenever a Target Bond PS Subaccount Allocation is calculated, the Portfolio Stabilization Process will compare that amount to the combined Contract Value in the Bond PS Subaccount, the Ultra Short Term Bond Subaccount, and any available DCA Fixed Investment Option (the "Combined Contract PS Value"). A. TRANSFERS FROM THE LIFESTYLE PS SUBACCOUNTS. If there is an excess of the Target Bond PS Subaccount Allocation over the Combined Contract PS Value, the excess will be transferred automatically from the Lifestyle PS Subaccounts with current Contract Value to the Bond PS Subaccount. The excess will be transferred on a pro-rata basis from the Lifestyle PS Subaccounts, based on the Contract Value in each Lifestyle PS Subaccount before such transfer. B. TRANSFERS FROM THE BOND PS SUBACCOUNT TO THE LIFESTYLE PS SUBACCOUNTS. The Portfolio Stabilization Process will result in a transfer to the Lifestyle PS Subaccounts if: - the Combined Contract PS Value exceeds the Target Bond PS Subaccount Allocation, and - some or all of your Contract Value is currently allocated to the Bond PS Subaccount and any of the Lifestyle PS Subaccounts. In such an event, your Contract Value allocated to the Bond PS Subaccount, up to the amount of the excess, will be transferred automatically from the Bond PS Subaccount to the Lifestyle PS Subaccounts. The transfer will be on a pro-rata basis into the Lifestyle PS Subaccounts based on the Contract Value in each Lifestyle PS Subaccount before such transfer. 7 C. TRANSFERS FROM THE BOND PS SUBACCOUNT TO THE ULTRA SHORT TERM BOND SUBACCOUNT OR THE LIFESTYLE CONSERVATIVE PS SUBACCOUNT. The Portfolio Stabilization Process will result in a transfer to the Ultra Short Term Bond Subaccount or the Lifestyle Conservative PS Subaccount if: - the Combined Contract PS Value exceeds the Target Bond PS Subaccount Allocation, and - you have instructed us to allocate 100% of your available Contract Value to ONE OF the Ultra Short Term Bond Subaccount or the Lifestyle Conservative PS Subaccount, and - some of your Contract Value is currently allocated to the Bond PS Subaccount. In such an event, your Contract Value allocated to the Bond PS Subaccount, up to the amount of the excess, will be transferred automatically to the Subaccount you have instructed. The Portfolio Stabilization Process will result in a transfer to the Lifestyle Conservative PS Subaccount if: - the Combined Contract PS Value exceeds the Target Bond PS Subaccount Allocation. and - you have instructed us to allocate 100% of your available Contract Value to A COMBINATION of the Ultra Short Term Bond Subaccount or the Lifestyle Conservative PS Subaccount, and - some of your Contract Value is currently allocated to the Bond PS Subaccount. In such an event, your Contract Value allocated to the Bond PS Subaccount, up to the amount of the excess, will be transferred automatically to the Lifestyle Conservative PS Subaccount. Processing Transactions Before Performing the Portfolio Stabilization Process At the end of each Business Day, we will perform the Portfolio Stabilization Process after we process any other transactions under your Contract for that Business Day. The other transactions include any requests for withdrawals, transfers or other Contract benefits received before the end of that Business Day, Additional Purchase Payments received on that Business Day, and any Step-Ups, Credits, deduction of Contract fees and charges or other automated transactions scheduled for that Business Day. Qualified Plan Types TRADITIONAL IRAS Individual Retirement Annuities Section 408 of the Code permits eligible individuals to contribute to an individual retirement program known as an Individual Retirement Annuity or IRA (sometimes referred to as a traditional IRA to distinguish it from the Roth IRA discussed below). IRAs are subject to limits on the amounts that may be contributed and deducted, the persons who may be eligible and the time when distributions may commence. Also, distributions from certain other types of qualified retirement plans may be rolled over on a tax-deferred basis into an IRA. The Contract may not, however, be used in connection with an Education IRA under section 530 of the Code. The Contract may be issued with a death benefit or certain benefits provided by an optional Rider. The presence of such benefits may increase the amount of any required minimum distributions for IRAs and other Contracts subject to the required minimum distribution rules. Distributions In general, unless you have made non-deductible contributions to your IRA, all amounts paid out from a traditional IRA contract (in the form of an annuity, a single sum, death benefits or partial withdrawal), are taxable to the payee as ordinary income. As in the case of a Contract not purchased under a Qualified Plan, you may incur an additional 10% penalty tax if you make a surrender or withdrawal before you reach age 59 1/2 (unless certain exceptions apply as specified in section 72(t)) of the Code. If you have made any non-deductible contributions to an IRA contract, all or part of any withdrawal or surrender distribution, single sum death benefit or annuity payment, may be excluded from your taxable income when you receive the distribution. The tax law requires that annuity payments or other distributions under a traditional IRA contract begin no later than April 1 of the year following the year in which the Owner attains age 70 1/2. The amount that must be distributed each year is computed on the basis of the Owner's age and the value of the Contract, taking into account both the account balance and, in 2006 and subsequent years, the actuarial present value of other benefits provided under the Contract. 8 ROTH IRAS Section 408A of the Code permits eligible individuals to contribute to a type of IRA known as a Roth IRA. Roth IRAs are generally subject to the same rules as non-Roth IRAs, but they differ in certain significant respects. Among the differences are that contributions to a Roth IRA are not deductible and qualified distributions from a Roth IRA are excluded from income. A qualified distribution is a distribution that satisfies two requirements. First, the distribution must be made in a taxable year that is at least five years after the first taxable year for which a contribution to any Roth IRA established for the Owner was made. Second, the distribution must be: - made after the Owner attains age 59 1/2; - made after the Owner's death; - attributable to the Owner being disabled; or - a qualified first-time homebuyer distribution within the meaning of section 72(t) (2) (F) of the Code. In addition, distributions from Roth IRAs need not commence when the Owner attains age 70 1/2. Distributions must, however, begin after the Owner's death. A Roth IRA may (subject to constraints explained below under "Conversion or Direct Rollover to a Roth IRA") accept a "qualified rollover contribution" from another Roth IRA, a traditional IRA, a qualified retirement plan described in section 401(a) or 403(a) of the Code, a tax-sheltered annuity contract described in section 403(b) of the Code, or an eligible deferred compensation plan maintained by a governmental employer under section 457(b) of the Code. If the Contract is issued with certain death benefits or benefits provided by an optional Rider, the presence of these benefits may increase the amount of any required minimum distributions for IRAs (which include Roth IRAs) and other Contracts subject to the minimum distribution rules. Also, the state tax treatment of a Roth IRA may differ from the federal income tax treatment of a Roth IRA. YOU SHOULD SEEK INDEPENDENT TAX ADVICE IF YOU INTEND TO USE THE CONTRACT IN CONNECTION WITH A ROTH IRA. Conversion or Direct Rollover to a Roth IRA You can convert a traditional IRA to a Roth IRA or directly roll over distributions that you receive from a retirement plan described in sections 401(a), 403(a), or 403(b) of the Code or a governmental deferred compensation plan described in section 457(b) of the Code to a Roth IRA. The Roth IRA annual contribution limit does not apply to converted or rollover amounts. You must, however, pay tax on any portion of the converted or rollover amount that would have been taxed if you had not converted or rolled over to a Roth IRA. No similar limitations apply to rollovers to a Roth IRA from another Roth IRA or from a designated Roth account within a qualified retirement plan. Please note that the amount deemed to be the "converted amount" for tax purposes may be higher than the Contract Value because of the deemed value of guarantees. If the converted or rollover amount is held in an annuity contract issued by us, we may have to withhold (make a contract withdrawal and remit to the IRS) up to 20% of the taxable gain in the contract. This amount withheld could reduce the benefit value of any elected optional guarantee Rider, in a proportion determined by the Rider. You may find it advantageous to pay the tax due on the conversion from resources outside of the annuity contract in order to avoid any benefit reduction. YOU SHOULD SEEK INDEPENDENT TAX ADVICE IF YOU INTEND TO USE THE CONTRACT IN CONNECTION WITH A ROTH IRA. SIMPLE IRA PLANS In general, under section 408(p) of the Code a small business employer may establish a SIMPLE IRA retirement plan if the employer employed no more than 100 employees earning at least $5,000 during the preceding year. Under a SIMPLE IRA plan both employees and the employer make deductible contributions. SIMPLE IRAs are subject to various requirements, including limits on the amounts that may be contributed, the persons who may be eligible, and the time when distributions may commence. If the Contract is issued with certain death benefits or benefits provided by an optional Rider, the presence of these benefits may increase the amount of any required minimum distributions for IRAs (which would include SIMPLE IRAs) and other Contracts subject to the minimum distribution rules. The requirements for minimum distributions from a SIMPLE IRA retirement plan are generally the same as those discussed above for distributions from a traditional IRA. The rules on taxation of distributions are also similar to those that apply to a traditional IRA, except that (i) tax free rollovers may be made from a SIMPLE IRA plan only to another SIMPLE IRA plan during the first two years of participation in the plan; and (ii) the penalty tax on early distribution from a SIMPLE IRA plan that occurs during the first two years of participation is 25%, instead of 10%. EMPLOYERS INTENDING TO USE THE CONTRACT IN CONNECTION WITH SUCH PLANS SHOULD SEEK INDEPENDENT TAX ADVICE. 9 SIMPLIFIED EMPLOYEE PENSIONS (SEP-IRAS) Section 408(k) of the Code allows employers to establish simplified employee pension plans for their employees, using the employees' IRAs for such purposes, if certain criteria are met. Under these plans the employer may, within specified limits, make deductible contributions on behalf of the employees to IRAs. If the Contract is issued with certain death benefits or benefits provided by an optional Rider, the presence of these benefits may increase the amount of any required minimum distributions for IRAs (which would include SEP - IRAs) and other Contracts subject to the minimum distribution rules. The requirements for minimum distributions from a SEP - IRA, and rules on taxation of distributions from a SEP - IRA, are generally the same as those discussed above for distributions from a traditional IRA. SECTION 403(B) QUALIFIED PLANS OR TAX-SHELTERED ANNUITIES Section 403(b) of the Code permits public school employees and employees of certain types of tax-exempt organizations to have their employers purchase annuity contracts for them and, subject to certain limitations, to exclude the Purchase Payments from gross income for tax purposes. These Contracts are commonly referred to as "tax-sheltered annuities." PURCHASERS OF THE CONTRACTS FOR SUCH PURPOSES SHOULD SEEK INDEPENDENT ADVICE AS TO ELIGIBILITY, LIMITATIONS ON PURCHASE PAYMENTS, AND OTHER TAX CONSEQUENCES. In particular, purchasers should note that the Contract provides death benefit options that may exceed the greater of the Purchase Payments and Contract Value. It is possible that the presence of the death benefit could be characterized by the IRS as an "incidental death benefit" and result in currently taxable income to the Owner. There also are limits on the amount of incidental benefits that may be provided under a tax-sheltered annuity. If a Contract is issued with a death benefit or benefits provided by an optional Rider, the presence of these benefits may increase the amount of any required minimum distributions that must be made. Final regulations concerning tax sheltered annuity contracts became effective on July 26, 2007, but are generally applicable for tax years beginning after December 31, 2008. These regulations require the employer to adopt a written defined contribution plan which, in both form and operation, satisfies the requirements of the regulations. The regulations specify that any exchange of a 403(b) annuity contract for another 403(b) annuity contract occurring after September 24, 2007 will not be treated as a taxable distribution provided the employer and the company issuing the new contract have agreed to share information concerning the employee's employment status, hardship distributions and loans, if any. Restrictions on Section 403(b) Qualified Plans AVAILABILITY. We currently are not offering this Contract for use in a retirement plan intended to qualify as a section 403(b) Qualified Plan (a "Section 403(b) Qualified Plan" or the "Plan") unless (a) we (or an affiliate of ours) previously issued annuity contracts to that retirement plan, (b) the initial purchase payment for the new Contract is sent to us directly from the Section 403(b) Qualified Plan through your employer, the Plan's administrator, the Plan's sponsor or in the form of a transfer acceptable to us, (c) we have entered into an agreement with your Section 403(b) Qualified Plan concerning the sharing of information related to your Contract (an "Information Sharing Agreement"), and (d) unless contained in the Information Sharing Agreement, we have received a written determination by your employer, the Plan administrator or the Plan sponsor of your Section 403(b) Qualified Plan that the plan qualifies under Section 403(b) of the Code and complies with applicable Treasury regulations (a "Certificate of Compliance") (Information Sharing Agreement and Certificate of Compliance, together the "Required Documentation"). We may accept, reject or modify any of the terms of a proposed Information Sharing Agreement presented to us, and make no representation that we will enter into an Information Sharing Agreement with your Section 403(b) Qualified Plan. In the event that we do not receive the Required Documentation and you nonetheless direct us to proceed with a rollover transfer of initial Purchase Payment funds, the transfer may be treated as a taxable transaction. OWNERSHIP. You may not sell, assign, transfer, discount or pledge (as collateral for a loan or as security for the performance of an obligation, or for any other purpose) a 403(b) Qualified Contract or some or all of such a Contract's value to any person other than us without the consent of an employer, a Plan administrator or a Plan sponsor. A request to transfer ownership must be accompanied by the Required Documentation. In the event we do not receive the Required Documentation and you nonetheless direct us to proceed with a transfer of ownership, the transfer may be treated as a taxable transaction and your Contract may no longer be qualified under section 403(b), which may result in additional adverse tax consequences to you. 10 ADDITIONAL PURCHASE PAYMENTS. We will not accept Additional Purchase Payments in the form of salary reduction, matching or other similar contributions in the absence of the Required Documentation. Matching or other employer contributions to Contracts issued on or after January 1, 2009, will be subject to restrictions on withdrawals specified in the Section 403(b) Qualified Plan. We will not knowingly accept transfers, in the absence of the Required Documentation, from another existing annuity contract or other investment under a Section 403(b) Qualified Plan to a previously issued Contract used in a Section 403(b) Qualified Plan. Such transfers shall be made directly from a Plan through an employer, a Plan administrator or a Plan sponsor, or by a transfer acceptable to us. In the event that we do not receive the Required Documentation and you nonetheless direct us to proceed with the Additional Purchase Payments, the Additional Purchase Payment may be treated as a taxable transaction and your Contract may no longer be qualified under section 403(b), which may result in additional adverse tax consequences to you. WITHDRAWALS. Tax-sheltered annuity contracts must contain restrictions on withdrawals of: - contributions made pursuant to a salary reduction agreement in years beginning after December 31, 1988; - earnings on those contributions; and - earnings after 1988 on amounts attributable to salary reduction contributions (and earnings on those contributions) held as of the last day of 1988. These amounts can be paid only if the employee has reached age 59 1/2, separated from service, died, or become disabled (within the meaning of the tax law), or in the case of hardship (within the meaning of the tax law). Amounts permitted to be distributed in the event of hardship are limited to actual contributions for elective contributions made after 1988; earnings thereon cannot be distributed on account of hardship. Amounts subject to the withdrawal restrictions applicable to section 403(b)(7) custodial accounts may be subject to more stringent restrictions. Exercise of the withdrawal right for each withdrawal under the Contract may be subject to the terms of the Section 403(b) Qualified Plan and may require the consent of the employer, the Plan administrator or the Plan sponsor, as well as the participant's spouse, under section 403(b) of the Code and applicable Treasury Regulations. In the event that we do not receive the Required Documentation and you nonetheless direct us to proceed with the withdrawal, your Contract may no longer be qualified under section 403(b), which may result in additional adverse tax consequences to you. Employer consent is not required when we have received documentation in a form acceptable to us confirming that you have reached age 59 1/2, separated from service, died or become disabled. (These limitations on withdrawals do not apply to the extent we are directed to transfer some or all of the Contract Value to the issuer of another tax-sheltered annuity or into a section 403(b)(7) custodial account.) LOANS. Loans from Qualified Contracts intended for use under Section 403(b) Qualified Plans, where allowed, are subject to a variety of limitations, including restrictions as to the amount that may be borrowed, the duration of the loan and the manner in which the loan must be repaid. We currently offer a loan privilege to Owners of Contracts issued in connection with Section 403(b) Qualified Plans: (1) that were issued prior to January 1, 2009; (2) that are not subject to Title 1 of ERISA, and (3) that have not elected a guaranteed minimum withdrawal benefit Rider. We will not permit nor support loans from Contracts issued on or after January 1, 2009 in connection with Section 403(b) Qualified Plans. COLLECTING AND USING INFORMATION. Through your participation in a retirement plan intended to qualify under section 403(b), the Company, your employer, your Plan administrator, and your Plan sponsor collect various types of confidential information you provide in your agreements, such as your name and the name of any Beneficiary, Social Security Numbers, addresses, and occupation information. The Company, your employer, the Plan administrator, and your Plan sponsor also collect confidential information relating to your Plan transactions, such as contract values, purchase payments, withdrawals, transfers, loans and investments. In order to comply with IRS regulations and other applicable law in servicing your Contract, the Company, your employer, the Plan administrator and the Plan sponsor may be required to share such confidential information among themselves, other current, former or future providers under the Section 403(b) Qualified Plan, and among their employees. By applying for or purchasing a Contract for use in a Section 403(b) Qualified Plan or by intending to make an additional purchase payment, transfer of ownership, transfer, withdrawal or loan on an existing Contract for use in a Section 403(b) Qualified Plan, you consent to such sharing of confidential information. The Company will not disclose any such confidential information to anyone, except as permitted by law or in accordance with your consent. 11 If you are considering making a rollover transfer from a retirement plan described in section 403(b) of the Code to a traditional IRA or a Roth IRA, you should consult with a tax advisor regarding possible tax consequences. If you have a loan outstanding under the section 403(b) plan, the transfer may subject you to income taxation on the amount of the loan balance. Restrictions under the Texas Optional Retirement Program Section 830.105 of the Texas Government Code permits participants in the Texas Optional Retirement Program ("ORP") to withdraw their interest in a variable annuity contract issued under the ORP only upon: - termination of employment in all Texas public institutions of higher education; - retirement; - death; or - the participant's attainment of age 70 1/2. Accordingly, before you withdraw any amounts from the Contract, you must furnish proof to us that one of these four events has occurred. For these purposes a change of company providing ORP benefits or a participant's transfer between institutions of higher education is not a termination of employment. Consequently there is no termination of employment when a participant in the ORP transfers the Contract Value to another Contract or another qualified custodian during the period of participation in the ORP. CORPORATE AND SELF-EMPLOYED ("H.R. 10" AND "KEOGH") PENSION AND PROFIT-SHARING PLANS Sections 401(a) and 403(a) of the code permit corporate employers to establish various types of tax-deferred retirement plans for employees. The Self-Employed Individuals' Tax Retirement Act of 1962, as amended, commonly referred to as "H.R. - 10" or "Keogh," permits self-employed individuals to establish tax-favored retirement plans for themselves and their employees. Such retirement plans may permit the purchase of annuity contracts in order to provide benefits under the plans. The Contract provides death benefit options that in certain circumstances may exceed the greater of the Purchase Payments and Contract Value. It is possible that the presence of the death benefit could be characterized by the IRS as an "incidental death benefit" and result in currently taxable income to the participant. There also are limits on the amount of incidental benefits that may be provided under pension and profit sharing plans. If the Contract is issued with certain death benefits or benefits provided under an optional Rider, the presence of these benefits may increase the amount of any required minimum distributions that must be made. EMPLOYERS INTENDING TO USE THE CONTRACT IN CONNECTION WITH SUCH PLANS SHOULD SEEK INDEPENDENT ADVICE. Minimum distributions to the employee under an employer's pension and profit sharing plan qualified under section 401(a) of the Code must begin no later than April 1 of the year following the calendar year in which the employee reaches age 70 1/2 or, if later, retires. In the case of an employee who is a 5 percent Owner as defined in section 416 of the Code, the required beginning date is April 1 of the year following the calendar year in which employee reaches age 70 1/2. DEFERRED COMPENSATION PLANS OF STATE AND LOCAL GOVERNMENTS AND TAX-EXEMPT ORGANIZATIONS Section 457 of the Code permits employees of state and local governments and tax-exempt organizations to defer a portion of their compensation without paying current taxes. The employees must be participants in an eligible deferred compensation plan. Generally, a Contract purchased by a state or local government or a tax-exempt organization will not be treated as an annuity contract for federal income tax purposes. A section 457 plan must satisfy several conditions, including the requirement that it must not permit distributions prior to your separation from service (except in the case of an unforeseen emergency). When we make payments under your Contract, the payment is taxed as ordinary income. Minimum distributions under a section 457 plan must begin no later than April 1 of the year following the year in which the employee reaches age 70 1/2 or, if later, retires. 12 Legal and Regulatory Matters There are no legal proceedings to which we, the Separate Account or the principal underwriter is a party, or to which the assets of the Separate Account are subject, that are likely to have a material adverse effect on: - the Separate Account; or - the ability of the principal underwriter to perform its contract with the Separate Account; or - on our ability to meet our obligations under the variable annuity contracts funded through the Separate Account. On June 25, 2007, John Hancock Investment Management Services, LLC (the "Adviser") and John Hancock Distributors LLC (the "Distributor") and two of their affiliates (collectively, the "John Hancock Affiliates") reached a settlement with the Securities and Exchange Commission ("SEC") that resolved an investigation of certain practices relating to the John Hancock Affiliates' variable annuity and mutual fund operations involving directed brokerage and revenue sharing. Under the terms of the settlement, each John Hancock Affiliate was censured and agreed to pay a $500,000 civil penalty to the United States Treasury. In addition, the Adviser and the Distributor agreed to pay disgorgement of $14,838,943 and prejudgment interest of $2,001,999 to the John Hancock Trust Portfolios that participated in the Adviser's commission recapture program during the period from 2000 to April 2004. Collectively, all John Hancock Affiliates agreed to pay a total disgorgement of $16,926,420 and prejudgment interest of $2,361,460 to the entities advised or distributed by John Hancock Affiliates. The Adviser discontinued the use of directed brokerage in recognition of the sale of Portfolio shares in April 2004. 13 APPENDIX A: Audited Financial Statements [FILED HEREWITH] A-1 AUDITED FINANCIAL STATEMENTS John Hancock Life Insurance Company of New York For the Years Ended December 31, 2010, 2009 and 2008 JOHN HANCOCK LIFE INSURANCE COMPANY OF NEW YORK INDEX TO AUDITED FINANCIAL STATEMENTS Report of Independent Registered Public Accounting Firm .................. F-1 Audited Financial Statements: Balance Sheets- As of December 31, 2010 and 2009 ...................................... F-2 Statements of Operations- For the Years Ended December 31, 2010, 2009, and 2008 ................. F-4 Statements of Changes in Shareholder's Equity and Comprehensive Income- For the Years Ended December 31, 2010, 2009, and 2008 ................. F-5 Statements of Cash Flows- For the Years Ended December 31, 2010, 2009, and 2008 ................. F-6 Notes to Financial Statements ......................................... F-7
REPORT OF INDEPENDENT REGISTERED PUBLIC ACCOUNTING FIRM The Board of Directors John Hancock Life Insurance Company of New York We have audited the accompanying balance sheets of John Hancock Life Insurance Company of New York (the Company) as of December 31, 2010 and 2009, and the related statements of operations, changes in shareholder's equity and comprehensive income, and cash flows for each of the three years in the period ended December 31, 2010. These financial statements are the responsibility of the Company's management. Our responsibility is to express an opinion on these financial statements based on our audits. We conducted our audits in accordance with the standards of the Public Company Accounting Oversight Board (United States). Those standards require that we plan and perform the audit to obtain reasonable assurance about whether the financial statements are free of material misstatement. We were not engaged to perform an audit of the Company's internal control over financial reporting. Our audits included consideration of internal control over financial reporting as a basis for designing audit procedures that are appropriate in the circumstances, but not for the purpose of expressing an opinion on the effectiveness of the Company's internal control over financial reporting. Accordingly, we express no such opinion. An audit also includes examining, on a test basis, evidence supporting the amounts and disclosures in the financial statements, assessing the accounting principles used and significant estimates made by management, and evaluating the overall financial statement presentation. We believe that our audits provide a reasonable basis for our opinion. In our opinion, the financial statements referred to above present fairly, in all material respects, the financial position of John Hancock Life Insurance Company of New York at December 31, 2010 and 2009 and the results of its operations and its cash flows for each of the three years in the period ended December 31, 2010, in conformity with U.S. generally accepted accounting principles. As discussed in Note 1 to the financial statements, in 2009 the Company changed their method of accounting and reporting for other-than-temporary impairments on debt securities. /s/ Ernst & Young, LLP Boston, Massachusetts March 30, 2011 F-1 JOHN HANCOCK LIFE INSURANCE COMPANY OF NEW YORK BALANCE SHEETS
DECEMBER 31, ---------------- 2010 2009 ------- ------ (IN MILLIONS) ASSETS Investments Fixed maturities: Available-for-sale--at fair value (amortized cost: 2010--$7,594, 2009--$1,221) ................... $ 7,813 $1,235 Held-for-trading--at fair value (cost: 2010--$393, 2009--$0) ................................... 410 -- Investment in unconsolidated affiliate ............................ 1 1 Mortgage loans on real estate ..................................... 806 -- Investment real estate and agriculture ............................ 85 -- Policy loans ...................................................... 112 55 Short-term investments ............................................ 67 107 ------- ------ Total Investments .............................................. 9,294 1,398 Cash and cash equivalents ......................................... 445 669 Accrued investment income ......................................... 121 28 Value of business acquired ........................................ 42 -- Deferred policy acquisition costs and deferred sales inducements .. 595 588 Amounts due from affiliates ....................................... 368 6 Reinsurance recoverable ........................................... 253 108 Derivative asset .................................................. 24 -- Deferred income tax asset ......................................... 5 -- Other assets ...................................................... 43 25 Separate account assets ........................................... 7,351 6,648 ------- ------ TOTAL ASSETS ................................................... $18,541 $9,470 ======= ======
F-2 JOHN HANCOCK LIFE INSURANCE COMPANY OF NEW YORK BALANCE SHEETS -- (CONTINUED)
DECEMBER 31, ---------------- 2010 2009 ------- ------ (IN MILLIONS) LIABILITIES AND SHAREHOLDER'S EQUITY LIABILITIES Future policy benefits .................................... $ 5,737 $ 981 Policyholders' funds ...................................... 741 77 Unearned revenue .......................................... 54 41 Unpaid claims and claim expense reserves .................. 21 18 Policyholder dividends payable ............................ 2 -- Amounts due to affiliates ................................. 2,556 56 Current income tax payable ................................ 105 86 Deferred income tax liability ............................. -- 100 Derivative liability ...................................... 134 -- Deferred gains ............................................ 120 -- Other liabilities ......................................... 106 51 Separate account liabilities .............................. 7,351 6,648 ------- ------ Total Liabilities ...................................... 16,927 8,058 COMMITMENTS AND LEGAL PROCEEDINGS (NOTE 8) SHAREHOLDER'S EQUITY Common stock ($1.00 par value; 3,000,000 shares authorized; 2,000,003 shares issued and outstanding at December 31, 2010 and 2009, respectively) ........................... 2 2 Additional paid-in capital ................................ 895 895 Retained earnings ......................................... 591 510 Accumulated other comprehensive income .................... 126 5 ------- ------ Total Shareholder's Equity ............................. 1,614 1,412 ------- ------ TOTAL LIABILITIES AND SHAREHOLDER'S EQUITY ............. $18,541 $9,470 ======= ======
The accompanying notes are an integral part of these financial statements. F-3 JOHN HANCOCK LIFE INSURANCE COMPANY OF NEW YORK STATEMENTS OF OPERATIONS
YEARS ENDED DECEMBER 31, ------------------------ 2010 2009 2008 ------ ---- ---- (IN MILLIONS) REVENUES Premiums ........................................................ $1,199 $ 27 $ 18 Fee income ...................................................... 281 198 162 Net investment income ........................................... 462 173 174 Net realized investment and other (losses) gains ................ (187) 1 10 ------ ---- ---- Total revenues ............................................... 1,755 399 364 BENEFITS AND EXPENSES Benefits to policyholders ....................................... 1,400 (94) 366 Policyholder dividends .......................................... 8 -- -- Amortization of deferred policy acquisition costs, deferred sales inducements, and value of business acquired .................. 68 114 (35) Other operating costs and expenses .............................. 200 62 54 ------ ---- ---- Total benefits and expenses .................................. 1,676 82 385 ------ ---- ---- Income (loss) before income taxes .................................. 79 317 (21) Income tax (benefit) expense ....................................... (102) 108 (11) ------ ---- ---- Net income (loss) .................................................. $ 181 $209 $(10) ====== ==== ====
The accompanying notes are an integral part of these financial statements. F-4 JOHN HANCOCK LIFE INSURANCE COMPANY OF NEW YORK STATEMENTS OF CHANGES IN SHAREHOLDER'S EQUITY AND COMPREHENSIVE INCOME
ADDITIONAL ACCUMULATED OTHER TOTAL CAPITAL PAID-IN RETAINED COMPREHENSIVE SHAREHOLDER'S OUTSTANDING STOCK CAPITAL EARNINGS INCOME EQUITY SHARES ------- ---------- -------- ----------------- ------------- -------------- (IN MILLIONS, EXCEPT FOR OUTSTANDING SHARES) (IN THOUSANDS) BALANCE AT JANUARY 1, 2008 .................. $2 $113 $ 309 $ 11 $ 435 2,000 Comprehensive income: Net loss ................................. (10) (10) Other comprehensive income, net of tax: Net unrealized investment gains .... 16 16 ------ Comprehensive income ........................ 6 Capital contribution from Parent ............ 300 300 --- ---- ----- ---- ------ ----- BALANCE AT DECEMBER 31, 2008 ................ $2 $413 $ 299 $ 27 $ 741 2,000 Comprehensive income: Net income ............................... 209 209 Other comprehensive loss, net of tax: Net unrealized investment losses ... (20) (20) ------ Comprehensive income ........................ 189 Adoption of ASC 320, recognition of other-than- temporary impairments .................... 2 (2) -- Capital contribution from Parent ............ 482 482 --- ---- ----- ---- ------ ----- BALANCE AT DECEMBER 31, 2009 ................ $2 $895 $ 510 $ 5 $1,412 2,000 Comprehensive income: Net income ............................... 181 181 Other comprehensive income, net of tax: Net unrealized investment gains .... 121 121 ------ Comprehensive income ........................ 302 Dividend paid to Parent ..................... (100) (100) --- ---- ----- ---- ------ ----- BALANCE AT DECEMBER 31, 2010 ................ $2 $895 $ 591 $126 $1,614 2,000 === ==== ===== ==== ====== =====
The accompanying notes are an integral part of these financial statements. F-5 JOHN HANCOCK LIFE INSURANCE COMPANY OF NEW YORK STATEMENTS OF CASH FLOWS
YEARS ENDED DECEMBER 31, ------------------------ 2010 2009 2008 ------- ----- ----- (IN MILLIONS) CASH FLOWS FROM OPERATING ACTIVITIES: Net income (loss) .................................................... $ 181 $ 209 $ (10) Adjustments to reconcile net income to net cash provided by operating activities: Net realized investment and other losses (gains) .................. 187 (1) (10) Increase in reinsurance recoverable ............................... (145) (14) (34) Amortization of premiums and accretion of discounts associated with investments, net ............................................... 77 6 1 Amortization of deferred policy acquisition costs, deferred sales inducements, and value of business acquired .................... 68 114 (35) Capitalization of deferred policy acquisition costs and deferred sales inducements .............................................. (132) (99) (143) Net cash flows from trading securities ............................ (410) -- -- Increase in accrued investment income ............................. (93) (9) -- Decrease in other assets and other liabilities, net ............... 2,360 110 15 Increase (decrease) in policyholder liabilities and accruals, net ............................................................ 4,526 (204) 357 (Decrease) increase in deferred income taxes ...................... (170) 31 (21) ------- ----- ----- Net cash provided by operating activities ......................... 6,449 143 120 ------- ----- ----- CASH FLOWS FROM INVESTING ACTIVITIES: Sales of: Fixed maturities ............................................... 2,258 122 122 Mortgage loans on real estate .................................. 11 -- -- Investment real estate and agriculture ......................... 5 -- -- Maturities of: Fixed maturities ............................................... 112 104 113 Mortgage loans on real estate .................................. 20 -- -- Purchases of: Fixed maturities ............................................... (8,822) (777) (390) Mortgage loans on real estate .................................. (851) -- -- Investment real estate and agriculture ......................... (90) -- -- Net sales (purchases) of short-term investments ................... 40 407 (320) Policy loans advanced, net ........................................ (57) (12) (8) Net change in payable for undelivered securities .................. (2) -- (5) Derivatives and other, net ........................................ (77) -- -- ------- ----- ----- Net cash used in investing activities ................................ (7,453) (156) (488) ------- ----- ----- CASH FLOWS FROM FINANCING ACTIVITIES: Capital contribution from Parent .................................. -- 482 300 Dividend paid to Parent ........................................... (100) -- -- Universal life and investment-type contract deposits .............. 1,404 320 463 Universal life and investment-type contract maturities and withdrawals .................................................... (525) (65) (136) Net transfers to separate accounts related to universal life and investment-type contracts ...................................... 1 (119) (228) ------- ----- ----- Net cash provided by financing activities ............................ 780 618 399 ------- ----- ----- Net (decrease) increase in cash and cash equivalents ................. (224) 605 31 Cash and cash equivalents at beginning of year ....................... 669 64 33 ------- ----- ----- CASH AND CASH EQUIVALENTS AT END OF YEAR ............................. $ 445 $ 669 $ 64 ======= ===== =====
The accompanying notes are an integral part of these financial statements. F-6 JOHN HANCOCK LIFE INSURANCE COMPANY OF NEW YORK NOTES TO FINANCIAL STATEMENTS NOTE 1 -- SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES BUSINESS. John Hancock Life Insurance Company of New York (the "Company") is a wholly-owned subsidiary of John Hancock Life Insurance Company (U.S.A.) ("JHUSA"). JHUSA is a wholly-owned subsidiary of The Manufacturers Investment Corporation ("MIC"). MIC is a wholly-owned subsidiary of John Hancock Holdings (Delaware), LLC ("JHHLLC"). JHHLLC is an indirect, wholly-owned subsidiary of The Manufacturers Life Insurance Company ("MLI"). MLI, in turn, is a wholly-owned subsidiary of Manulife Financial Corporation ("MFC"), a Canadian-based, publicly traded financial services holding company. The Company provides a wide range of insurance and investment products to both individual and institutional customers located exclusively in the State of New York ("NY"). These products, including individual life insurance and individual and group fixed and variable annuities, are sold through an extensive network of agents, securities dealers, and other financial institutions. On December 31, 2009, John Hancock Life Insurance Company ("JHLICO"), which was a wholly-owned subsidiary of John Hancock Financial Services, Inc. ("JHFS"), and John Hancock Variable Life Insurance Company ("JHVLICO"), which was a wholly-owned subsidiary of JHLICO, merged with and into JHUSA. As a result of the merger, JHLICO and JHVLICO ceased to exist, and the companies' property and obligations became the property and obligations of JHUSA. On December 31, 2009, JHFS merged with and into MIC. As a result of the merger, JHFS ceased to exist, and the company's property and obligations became the property and obligations of MIC. On January 1, 2010, $7,364 million of NY life insurance and fixed and variable annuity reserves and liabilities related to policyholders who reside in the State of NY ("NY business"), including the assets supporting the business, were transferred from JHUSA to the Company. The transfer included participating traditional life insurance, universal life insurance, fixed deferred and immediate annuities, participating pension contracts, and variable annuities. The transfer of the NY business was completed pursuant to the merger of JHLICO and JHVLICO into JHUSA on December 31, 2009. Since the surviving entity, JHUSA, is not licensed in NY, JHLICO filed a Plan of Withdrawal (the "Plan") with the State of NY and pursuant to the Plan, JHUSA transferred substantially all of its NY business to the Company on January 1, 2010 ("NY transfer"). The NY business was transferred using assumption reinsurance and coinsurance and modified coinsurance with cut-through provisions. The January 1, 2010 impact of the transfer on the Company's Balance Sheet was an increase in total assets of $7,489 million, an increase in total liabilities of $7,364 million, and an increase in net income of $125 million. The major categories of assets transferred included available-for-sale fixed maturities of $5,791 million, held-for-trading fixed maturities of $354 million, mortgage loans on real estate of $769 million, investment real estate and agriculture of $88 million, cash and cash equivalents of $163 million, accrued investment income of $69 million, value of business acquired ("VOBA") of $56 million, derivative assets of $17 million, and deferred income tax asset of $143 million. The major categories of liabilities transferred included future policy benefits of $4,436 million, policyholders' funds of $687 million, and amounts due to affiliates of $2,090 million. In addition, deferred gains of $125 million were recorded. BASIS OF PRESENTATION. These financial statements have been prepared in conformity with U.S. generally accepted accounting principles ("U.S. GAAP"), which requires management to make estimates and assumptions that affect the amounts reported in the financial statements and accompanying notes. Actual results could differ from those estimates. The Company's investment in John Hancock Investment Management Services, LLC ("JHIMS"), an affiliated company, is accounted for using the equity method of accounting and is included in investment in unconsolidated affiliate. RECLASSIFICATIONS. Certain prior year amounts have been reclassified to conform to the current year presentation. F-7 JOHN HANCOCK LIFE INSURANCE COMPANY OF NEW YORK NOTES TO FINANCIAL STATEMENTS -- (CONTINUED) NOTE 1 -- SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES - (CONTINUED) INVESTMENTS. The Company classifies its fixed maturity securities as either available-for-sale or held-for-trading and records these securities at fair value. Unrealized investment gains and losses related to available-for-sale securities are reflected in shareholder's equity, net of policyholder related amounts and deferred income taxes. Unrealized investment gains and losses related to held-for-trading securities are reflected in net realized investment and other (losses) gains. Interest income is generally recognized on the accrual basis. The amortized cost of debt securities is adjusted for other-than-temporary impairments, amortization of premiums, and accretion of discounts to maturity. Amortization of premiums and accretion of discounts are included in net investment income. The Company recognizes an impairment loss only when management does not expect to recover the amortized cost of the security. For mortgage-backed securities, the Company recognizes income using a constant effective yield based on anticipated prepayments and estimated economic life of the securities. When actual prepayments differ significantly from anticipated prepayments, the effective yield is recalculated to reflect actual payments to date plus anticipated future payments, and any resulting adjustment is included in net investment income. Mortgage loans on real estate are carried at unpaid principal balances and are adjusted for amortization of premiums or accretion of discounts, less an allowance for probable losses. Premiums or discounts are amortized over the life of the mortgage loan contract in a manner that results in a constant effective yield. Interest income and amortization amounts and other costs that are recognized as an adjustment of yield are included as components of net investment income. When contractual payments of mortgage investments are more than 90 days in arrears, interest is no longer accrued. Mortgage loans on real estate are evaluated periodically as part of the Company's loan review procedures and are considered impaired when it is probable that the Company will be unable to collect all amounts of principal and interest due according to the contractual terms of the mortgage loan agreement. The valuation allowance established as a result of impairment is based on the present value of the expected future cash flows, discounted at the loan's original effective interest rate, or is based on the collateral value of the loan if higher and the loan is collateral dependent. The Company estimates this level to be adequate to absorb estimated probable credit losses that exist at the balance sheet date. Any change to the valuation allowance for mortgage loans on real estate is reported as a component of net realized investment and other (losses) gains. Interest received on impaired mortgage loans on real estate is applied to reduce the outstanding investment balance. If foreclosure becomes probable, the measurement method used is based on the collateral's fair value. Foreclosed real estate is recorded at the collateral's fair value at the date of foreclosure, which establishes a new cost basis. Investment real estate and agriculture, which the Company has the intent to hold for the production of income, is carried at depreciated cost, using the straight-line method of depreciation, less adjustments for impairments in value. In those cases where it is determined that the carrying amount of investment real estate and agriculture is not recoverable, an impairment loss is recognized based on the difference between the depreciated cost and fair value of the asset. The Company reports impairment losses as part of net realized investment and other (losses) gains. Policy loans are carried at unpaid principal balances. Short-term investments, which include investments with remaining maturities of one year or less, but greater than three months, at the time of purchase, are reported at fair value. Net realized investment and other (losses) gains, other than those related to separate accounts for which the Company does not bear the investment risk, are determined on a specific identification method and are reported net of amounts credited to participating contract holder accounts. DERIVATIVE FINANCIAL INSTRUMENTS. The Company uses derivative financial instruments ("derivatives") to manage exposures to foreign currency, interest rate, and other market risks arising from on-balance sheet financial instruments and selected anticipated transactions. Derivatives embedded in other financial instruments ("host instruments"), such as investment securities, reinsurance contracts, and certain benefit guarantees, are separately recorded as derivatives when their economic characteristics and risks are not closely related to those of the host instrument, the terms of the embedded derivative are the same as those of a stand-alone derivative, and the host instrument is not held-for-trading or carried at fair value. Derivatives are recorded at fair value. Derivatives with unrealized gains are reported as derivative assets and derivatives with unrealized losses are reported as derivative liabilities. F-8 JOHN HANCOCK LIFE INSURANCE COMPANY OF NEW YORK NOTES TO FINANCIAL STATEMENTS -- (CONTINUED) NOTE 1 -- SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES - (CONTINUED) A determination is made for each relationship as to whether hedge accounting can be applied. Where hedge accounting is not applied, changes in fair value of derivatives are recorded in net realized investment and other (losses) gains. Where the Company has elected to use hedge accounting, a hedge relationship is designated and documented at inception. Hedge effectiveness is evaluated at inception and throughout the term of the hedge, and hedge accounting is only applied when the Company expects that each hedging instrument will be highly effective in achieving offsetting changes in fair value or changes in cash flows attributable to the risk being hedged. Hedge effectiveness is assessed quarterly using a variety of techniques, including regression analysis and cumulative dollar offset. When it is determined that the hedging relationship is no longer effective or the hedged item has been sold or terminated, the Company discontinues hedge accounting prospectively. In such cases, if the derivative hedging instruments are not sold or terminated, any subsequent changes in fair value of the derivative are recognized in net realized investment and other (losses) gains. In a fair value hedging relationship, changes in the fair value of the hedging derivatives are recorded in net realized investment and other (losses) gains, along with changes in fair value attributable to the hedged risk. The carrying value of the hedged item is adjusted for changes in fair value attributable to the hedged risk. To the extent the changes in the fair value of derivatives do not offset the changes in the fair value of the hedged item attributable to the hedged risk in net realized investment and other (losses) gains, any ineffectiveness will remain in net realized investment and other (losses) gains. When hedge accounting is discontinued, the carrying value of the hedged item is no longer adjusted and the cumulative fair value adjustments are amortized to investment income over the remaining term of the hedged item unless the hedged item is sold, at which time the balance is recognized immediately in net investment income. CASH AND CASH EQUIVALENTS. Cash and cash equivalents include cash and all highly liquid debt investments with a remaining maturity of three months or less when purchased. VALUE OF BUSINESS ACQUIRED. VOBA is the present value of estimated future profits of insurance policies in-force related to the NY transfer. The Company amortizes VOBA using the same methodology and assumptions used to amortize deferred policy acquisition costs ("DAC") and tests for recoverability at least annually. DEFERRED POLICY ACQUISITION COSTS AND DEFERRED SALES INDUCEMENTS. DAC are costs that vary with, and are related primarily to, the production of new business and have been deferred to the extent that they are deemed recoverable. Such costs include sales commissions, certain policy issuance and underwriting costs, and certain agency expenses. Similarly, any amounts assessed as initiation fees or front-end loads are recorded as unearned revenue. The Company tests the recoverability of DAC at least annually. DAC related to participating traditional life insurance is amortized over the life of the policies at a constant rate based on the present value of the estimated gross margin amounts expected to be realized over the lives of the policies. Estimated gross margin amounts include anticipated premiums and investment results less claims and administrative expenses, changes in the net level premium reserve, and expected annual policyholder dividends. For annuity, universal life insurance, and investment-type products, DAC and unearned revenue are amortized generally in proportion to the change in present value of expected gross profits arising principally from surrender charges, investment results, including realized (losses) gains, and mortality and expense margins. DAC amortization is adjusted retrospectively when estimates are revised. For annuity, universal life insurance, and investment-type products, the DAC asset is adjusted for the impact of unrealized (losses) gains on investments as if these (losses) gains had been realized, with corresponding credits or charges included in accumulated other comprehensive income. DAC and unearned revenue related to non-participating traditional life insurance is amortized over the premium-paying period of the related policies using assumptions consistent with those used in computing policy benefit reserves. The Company offers sales inducements, including enhanced crediting rates or bonus payments, to contract holders on certain of its individual and group annuity products. The Company defers sales inducements and amortizes them over the life of the underlying contracts using the same methodology and assumptions used to amortize DAC. F-9 JOHN HANCOCK LIFE INSURANCE COMPANY OF NEW YORK NOTES TO FINANCIAL STATEMENTS -- (CONTINUED) NOTE 1 -- SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES - (CONTINUED) REINSURANCE. Assets and liabilities related to reinsurance ceded contracts are reported on a gross basis. The accompanying Statements of Operations reflect premiums, benefits, and settlement expenses net of reinsurance ceded. Reinsurance premiums, commissions, expense reimbursements, benefits, and reserves related to reinsured business are accounted for on a basis consistent with those used in accounting for the original policies issued and the terms of the reinsurance contracts. The Company remains liable to its policyholders to the extent that counterparties to reinsurance ceded contracts do not meet their contractual obligations. SEPARATE ACCOUNT ASSETS AND LIABILITIES. Separate account assets and liabilities reported on the Company's Balance Sheets represent funds that are administered and invested by the Company to meet specific investment objectives of the contract holders. Net investment income and net realized investment and other (losses) gains generally accrue directly to such contract holders who bear the investment risk, subject, in some cases, to principal guarantees and minimum guaranteed rates of income. The assets of each separate account are legally segregated and are not subject to claims that arise out of any other business of the Company. Separate account assets are reported at fair value, and separate account liabilities are set equal to the fair value of the separate account assets. Deposits, surrenders, net investment income, net realized investment and other (losses) gains, and the related liability changes of separate accounts are offset within the same line item in the Statements of Operations. Fees charged to contract holders, principally mortality, policy administration, investment management, and surrender charges, are included in the revenues of the Company. FUTURE POLICY BENEFITS AND POLICYHOLDERS' FUNDS. Future policy benefits for participating traditional life insurance policies are based on the net level premium method. The net level premium reserve is calculated using the guaranteed mortality and dividend fund interest rates. The liability for annual dividends represents the accrual of annual dividends earned. Settlement dividends are accrued in proportion to gross margins over the life of the policies. Participating business represented 63% and 0% of the Company's traditional life net insurance in-force at December 31, 2010 and 2009, respectively, and 52%, 0%, and 0% of the Company's traditional life net insurance premiums for the years ended December 31, 2010, 2009, and 2008, respectively. The increase in the participating business resulted from the NY transfer, as discussed under the Business subheading above. Benefit liabilities for annuities during the accumulation period are equal to accumulated contract holders' fund balances and after annuitization are equal to the present value of expected future payments. For payout annuities in loss recognition, future policy benefits are computed using estimates of expected mortality, expenses, and investment yields as determined at the time these contracts first moved into loss recognition. Payout annuity reserves are adjusted for the impact of net realized investment and other (losses) gains associated with the underlying assets. For non-participating traditional life insurance policies, future policy benefits are estimated using a net level premium method based upon actuarial assumptions as to mortality, persistency, interest, and expenses established at the policy issue date. Assumptions established at policy issue as to mortality and persistency are based on the Company's experience, which, together with interest and expense assumptions, include a margin for adverse deviation. Policyholders' funds for participating pension contracts and individual and group annuities are equal to the total of the policyholder account values before surrender charges and additional reserves established on certain guarantees offered in the participating pension contracts. Policyholder account values include deposits plus credited interest or change in investment value less expense and mortality fees, as applicable, and withdrawals. Policy benefits are charged to expense and include benefit claims incurred in the period in excess of related policy account balances and interest credited to policyholders' account balances. Where permitted by state insurance law, the Company administers a retained asset accounts program as the default method for satisfying non-participating traditional life insurance claims. Retained asset accounts earn interest and are subject to withdrawal at any time by the beneficiaries. F-10 JOHN HANCOCK LIFE INSURANCE COMPANY OF NEW YORK NOTES TO FINANCIAL STATEMENTS -- (CONTINUED) NOTE 1 -- SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES - (CONTINUED) Components of policyholders' funds were as follows:
DECEMBER 31, ------------- 2010 2009 ---- ---- (IN MILLIONS) Participating pension contracts ......... $558 $-- Individual and group annuities .......... 113 77 Life insurance retained asset accounts .. 70 -- ---- --- Total policyholders' funds .............. $741 $77 ==== ===
Liabilities for unpaid claims and claim expenses include estimates of payments to be made on reported life insurance claims and estimates of incurred but not reported claims based on historical claims development patterns. Estimates of future policy benefit reserves, claim reserves, and expenses are reviewed on a regular basis and adjusted as necessary. Any changes in estimates are reflected in current earnings. DEFERRED GAINS. Deferred gains were recognized in connection with the NY transfer in an amount equal to the excess of the assets transferred less the liabilities transferred on a pre-tax basis. The Company amortizes the deferred gains over 10 years using the effective interest method. REVENUE RECOGNITION. Premiums from non-participating traditional life insurance and annuity policies with life contingencies are recognized as revenue when due. When premiums are due over a significantly shorter period than the period over which benefits are provided, any excess profit is deferred and recognized into income in a constant relationship to insurance in-force or, for annuities, the amount of expected future benefit payments. Deposits related to universal life contracts and investment-type products are credited to policyholders' account balances. Revenues from these contracts, as well as annuity contracts, consist of amounts assessed against policyholders' account balances for mortality, policy administration, and surrender charges and are recorded in fee income in the period in which the services are provided. Fee income also includes advisory fees and administrative service fees collected from the separate accounts. Such fees are recognized in the period in which the services are performed. INCOME TAXES. The provision for federal income taxes includes amounts currently payable or recoverable and deferred income taxes, computed under the liability method, resulting from temporary differences between the tax basis and financial statement bases of assets and liabilities. A valuation allowance is established for deferred tax assets when it is more likely than not that an amount will not be realized. ADOPTION OF RECENT ACCOUNTING PRONOUNCEMENTS Financing Receivables Effective December 31, 2010, the Company adopted Financial Accounting Standards Board ("FASB") Accounting Standards Update ("ASU") No. 2010-20, "Disclosures about the Credit Quality of Financing Receivables and the Allowance for Credit Losses," which amends FASB Accounting Standards Codification (TM) ("ASC") Topic 310, "Receivables." ASU No. 2010-20 requires enhanced disclosures related to the allowance for credit losses and the credit quality of financing receivables, such as aging information and credit quality indicators. Most of the requirements are effective for the Company on December 31, 2010 with certain additional disclosures effective on December 31, 2011. Adoption of this guidance resulted in expanded disclosures related to the Company's financing receivables, but had no impact on the Company's Balance Sheets or Statements of Operations. F-11 JOHN HANCOCK LIFE INSURANCE COMPANY OF NEW YORK NOTES TO FINANCIAL STATEMENTS -- (CONTINUED) NOTE 1 -- SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES - (CONTINUED) Derivative Instruments and Hedging Activities Effective July 1, 2010, the Company adopted ASU No. 2010-11, "Derivatives and Hedging - Scope Exception Related to Embedded Credit Derivatives," which amends ASC Topic 815, "Derivatives and Hedging" ("ASC 815"). ASU No. 2010-11 clarifies the scope exception for embedded credit derivative features related to the transfer of credit risk created by the subordination of one financial instrument to another. The amendments address how to determine which embedded credit derivative features, including those in collateralized debt obligations and synthetic collateralized debt obligations, are considered to be embedded derivatives that should not be analyzed for potential bifurcation and separate accounting at fair value. Adoption of this guidance had no impact on the Company's Balance Sheets or Statements of Operations. Effective January 1, 2009, the Company adopted Statement of Financial Accounting Standards No. 161, "Disclosures about Derivative Instruments and Hedging Activities," which is now incorporated into ASC 815. This guidance provides extensively expanded disclosure requirements for derivative instruments and hedging activities and applies to all derivative instruments, including bifurcated derivative instruments and related hedged items. Adoption of this guidance resulted in expanded disclosures related to derivative instruments and hedging activities, but had no impact on the Company's Balance Sheets or Statements of Operations. Fair Value Measurements Effective January 1, 2010, the Company adopted ASU No. 2010-06, "Fair Value Measurements and Disclosures - Improving Disclosures about Fair Value Measurements," which amends ASC Topic 820, "Fair Value Measurements and Disclosures" ("ASC 820"). This guidance requires new disclosures about significant transfers between Level 1 and 2 measurement categories and clarifies existing fair value disclosures about the level of disaggregation and inputs and valuation techniques used to measure fair value. The guidance also requires separate disclosures about purchases, sales, issuances, and settlements relating to Level 3 measurements, which will be effective for the Company on January 1, 2011. Adoption of this guidance resulted in expanded disclosures related to fair value measurements, but had no impact on the Company's Balance Sheets or Statements of Operations. Effective December 31, 2009, the Company adopted ASU No. 2009-12, "Fair Value Measurements and Disclosures - Investment in Certain Entities That Calculate Net Asset per Share (or Its Equivalent)." This amendment to ASC 820 allows entities to use the net asset value of certain investments when determining fair value, provided certain criteria are met. Adoption of this guidance had no impact on the Company's Balance Sheets or Statements of Operations. Effective December 31, 2009, the Company adopted ASU No. 2009-05, "Measuring Liabilities at Fair Value." This amendment to ASC 820 simplifies, in certain instances, the assessment of fair value of a liability. This amendment, when applicable, allows the use of the fair value of the instrument associated with the liability when it is traded as an asset as a proxy for its fair value as a liability, given inherent difficulties in measuring the fair value of such liabilities directly. The fair value of the liability is not adjusted to reflect any restrictions on its transfer. Adoption of this guidance had no impact on the Company's Balance Sheets or Statements of Operations. Effective April 1, 2009, the Company adopted FASB Staff Position ("FSP") No. FAS 157-4, "Determining Fair Value When the Volume and Level of Activity for the Asset or Liability Have Significantly Decreased and Identifying Transactions That Are Not Orderly," which is now incorporated into ASC 820. This accounting guidance carries forward and elaborates on previous fair value concepts. The fair value of an asset or liability continues to be the price that would be received to sell the asset or paid to transfer the liability in an orderly transaction between market participants at the measurement date under then current market conditions. ASC 820 provides indicators of when a transaction is considered disorderly and elaborates on how to determine the fair value of a financial instrument if such conditions exist. Adoption of this guidance had no impact on the Company's Balance Sheets or Statements of Operations. In October 2008, the FASB issued FSP No. FAS 157-3, "Determining the Fair Value of a Financial Asset When the Market for That Asset Is Not Active," which is now incorporated into ASC 820. This pronouncement provided additional guidance on determining fair values of illiquid securities. This guidance was immediately effective, retroactive to prior reporting periods for which financial statements had not yet been issued. Adoption of this guidance had no impact on the Company's Balance Sheets or Statements of Operations. F-12 JOHN HANCOCK LIFE INSURANCE COMPANY OF NEW YORK NOTES TO FINANCIAL STATEMENTS -- (CONTINUED) NOTE 1 -- SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES - (CONTINUED) Effective January 1, 2008, the Company adopted FSP No. FAS 157-1, "Application of FASB Statement No. 157 to FASB Statement No. 13 and Other Accounting Pronouncements That Address Fair Value Measurements for Purposes of Lease Classification or Measurement under Statement 13," which is now incorporated into ASC 820. This guidance provides a scope exception for applying Statement of Financial Accounting Standards No. 157, "Fair Value Measurements ("SFAS No. 157")," fair value methodologies to the evaluation criteria on lease classification or measurement. Adoption of this guidance had no impact on the Company's Balance Sheets or Statements of Operations. Effective January 1, 2008, the Company adopted SFAS No. 157, which is now incorporated into ASC 820. This guidance provides a single definition of fair value for accounting purposes, establishes a consistent framework for measuring fair value, and expands disclosure requirements about fair value measurements. ASC 820 requires, among other things, an exit value approach for valuing assets and liabilities, using the best available information about what a market would bear. The exit value approach focuses on the price that would be received to sell an asset or paid to transfer a liability in an orderly transaction between market participants at the measurement date. Exit values for liabilities should include margins for risk even if they are not observable. ASC 820 provides guidance on how to measure fair value when required under existing accounting standards. ASC 820 establishes a fair value hierarchy based on the observability of the inputs to valuation techniques used to measure fair value, sorted into three levels ("Level 1, 2, and 3") with the most observable input level being Level 1. The impact of changing of valuation methods to comply with ASC 820 resulted in adjustments to actuarial liabilities, which were recorded as a decrease in net income of $14 million, net of tax, on January 1, 2008. FASB Accounting Standards Codification Effective July 1, 2009, the Company adopted Statement of Financial Accounting Standards No. 168, "The FASB Accounting Standards Codification(TM) and the Hierarchy of Generally Accepted Accounting Principles - a Replacement of FASB Statement No. 162," and ASU No. 2009-01, "Topic 105 - Generally Accepted Accounting Principles amendments based on Statement of Financial Accounting Standards No. 168--The FASB Accounting Standards Codification(TM) and the Hierarchy of Generally Accepted Accounting Principles." ASC Topic 105 establishes the FASB Accounting Standards Codification(TM) as the single source of authoritative U.S. GAAP recognized by the FASB, to be applied by nongovernmental entities and to supersede all previous U.S. GAAP literature. Adoption of the ASC had no impact on the Company's Balance Sheets or Statements of Operations, as it did not change U.S. GAAP principles. Subsequent Events Effective April 1, 2009, the Company adopted Statement of Financial Accounting Standards No. 165, "Subsequent Events", which is now incorporated into ASC Topic 855, "Subsequent Events." This guidance was retroactively amended by the FASB in February 2010 by issuance of ASU No. 2010-9, "Subsequent Events," which requires an entity which files or furnishes its financial statements with the U.S. Securities and Exchange Commission ("SEC") to evaluate subsequent events through the date that its financial statements are issued. Adoption of this guidance resulted in expanded disclosures related to subsequent events, but had no impact on the Company's Balance Sheets or Statements of Operations. Other-Than-Temporary Impairments Effective April 1, 2009, the Company adopted FSP No. FAS 115-2, "Recognition and Presentation of Other-Than-Temporary Impairments", which is now incorporated into ASC Topic 320, "Investments - Debt and Equity Securities" ("ASC 320"). This new guidance removes the concept of "intent and ability to hold until recovery of value" associated with other-than-temporary impairment of a debt security whose fair value is less than its cost. Impairment losses should be recorded in earnings on an available-for-sale debt security only when management does not expect to recover the amortized cost of the security. For additional information regarding the Company's impairment process, see Note 2 - Investments. F-13 JOHN HANCOCK LIFE INSURANCE COMPANY OF NEW YORK NOTES TO FINANCIAL STATEMENTS -- (CONTINUED) NOTE 1 -- SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES - (CONTINUED) The Company's adoption of this guidance required reassessment of previous impairment losses recorded on debt securities held at March 31, 2009, with any reversals of previous impairment losses recorded through retained earnings and offset to accumulated other comprehensive income for available-for-sale debt securities and other actuarial related amounts included in other comprehensive income, and related impact on deferred acquisition costs, as of April 1, 2009. As a result of adoption of ASC 320, the Company recognized an increase in retained earnings of $2 million, net of tax, on April 1, 2009, with a corresponding (decrease) increase in accumulated other comprehensive income of ($2) million, net of tax, attributable to (1) available-for-sale debt securities of ($4) million, (2) deferred policy acquisition costs and deferred sales inducements of $1 million, and (3) deferred income taxes of $1 million. FUTURE ADOPTION OF RECENT ACCOUNTING PRONOUNCEMENTS Deferred Policy Acquisition Costs In October 2010, the FASB issued ASU No. 2010-26, "Accounting for Costs Associated with Acquiring or Renewing Insurance Contracts," which amends ASC Topic 944, "Financial Services - Insurance" ("ASC 944"). ASU No. 2010-26 clarifies the costs that should be deferred when issuing and renewing insurance contracts and also specifies that only costs related directly to successful acquisition of new or renewal contracts can be capitalized. All other acquisition-related costs should be expensed as incurred. This guidance is to be applied prospectively upon the date of adoption, with retrospective application permitted, but not required. ASU No. 2010-26 will be effective for the Company on January 1, 2012. The Company is currently evaluating the impact the adoption of this guidance will have on the Company's Balance Sheets and Statements of Operations. NOTE 2 -- INVESTMENTS FIXED MATURITIES The Company's investments in available-for-sale fixed maturities are summarized below:
DECEMBER 31, 2010 -------------------------------------------- GROSS GROSS AMORTIZED UNREALIZED UNREALIZED FAIR COST GAINS LOSSES VALUE --------- ---------- ---------- ------ (IN MILLIONS) FIXED MATURITIES: Corporate securities ........................... $4,991 $206 $14 $5,183 Commercial mortgage-backed securities .......... 921 40 -- 961 Collateralized debt obligations ................ 9 1 -- 10 Other asset-backed securities .................. 61 2 -- 63 U.S. Treasury securities and obligations of U.S. government corporations and agencies ........ 1,314 4 17 1,301 Obligations of states and political subdivisions 218 3 7 214 Debt securities issued by foreign governments .. 80 1 -- 81 ------ ---- --- ------ Total fixed maturities available-for-sale ...... $7,594 $257 $38 $7,813 ====== ==== === ======
F-14 JOHN HANCOCK LIFE INSURANCE COMPANY OF NEW YORK NOTES TO FINANCIAL STATEMENTS -- (CONTINUED) NOTE 2 -- INVESTMENTS - (CONTINUED)
DECEMBER 31, 2009 -------------------------------------------- GROSS GROSS AMORTIZED UNREALIZED UNREALIZED FAIR COST GAINS LOSSES VALUE --------- ---------- ---------- ------ (IN MILLIONS) FIXED MATURITIES: Corporate securities ........................... $ 602 $25 $ 4 $ 623 U.S. Treasury securities and obligations of U.S. government corporations and agencies ........ 477 9 7 479 Obligations of states and political subdivisions 31 1 1 31 Debt securities issued by foreign governments .. 111 -- 9 102 ------ --- --- ------ Total fixed maturities available-for-sale ...... $1,221 $35 $21 $1,235 ====== === === ======
The amortized cost and fair value of fixed maturities at December 31, 2010, by contractual maturity, are shown below:
AMORTIZED COST FAIR VALUE -------------- ---------- (IN MILLIONS) FIXED MATURITIES: Due in one year or less ...................... $ 497 $ 499 Due after one year through five years ........ 2,321 2,378 Due after five years through ten years ....... 1,837 1,898 Due after ten years .......................... 1,948 2,004 ------ ------ 6,603 6,779 Asset-backed and mortgage-backed securities .. 991 1,034 ------ ------ Total ..................................... $7,594 $7,813 ====== ======
Expected maturities may differ from contractual maturities because eligible borrowers may exercise their right to call or prepay obligations with or without call or prepayment penalties. Asset-backed and mortgage-backed securities are shown separately in the table above, as they are not due at a single maturity date. FIXED MATURITIES IMPAIRMENT REVIEW The Company has a process in place to identify securities that could potentially have an impairment that is other-than-temporary. This process involves monitoring market events that could impact issuers' credit ratings, business climate, management changes, litigation and government actions, and other similar factors. This process also involves monitoring late payments, downgrades by rating agencies, key financial ratios, financial statements, revenue forecasts, and cash flow projections as indicators of credit issues. At the end of each quarter, the MFC Loan Review Committee reviews all securities where market value is less than 80 percent of amortized cost for six months or more if there is a significant unrealized loss at the balance sheet date to determine whether impairments need to be taken. The analysis focuses on each company's or project's ability to service its debts in a timely fashion and the length of time the security has been trading below amortized cost. The results of this analysis are reviewed by the Credit Committee at MFC. This committee includes MFC's Chief Financial Officer, Chief Investment Officer, Chief Risk Officer, Chief Credit Officer, and other senior management. This quarterly process includes a fresh assessment of the credit quality of each investment in the entire fixed maturities portfolio. F-15 JOHN HANCOCK LIFE INSURANCE COMPANY OF NEW YORK NOTES TO FINANCIAL STATEMENTS -- (CONTINUED) NOTE 2 -- INVESTMENTS - (CONTINUED) The Company considers relevant facts and circumstances in evaluating whether the impairment of a security is other-than-temporary. Relevant facts and circumstances considered include (1) the length of time the fair value has been below cost; (2) the financial position of the issuer, including the current and future impact of any specific events; and (3) the Company's ability and intent to hold the security to maturity or until it recovers in value. If the Company intends to sell, or if it is more likely than not that it will be required to sell an impaired security prior to recovery of its cost basis, the security is considered other-than-temporarily impaired and the Company records a charge to earnings for the full amount of impairment (the difference between the current carrying amount and fair value of the security). For those securities in an unrealized loss position where the Company does not intend to sell or is not more likely than not to be required to sell, the Company determines its ability to recover the amortized cost of the security by comparing the net present value of the projected future cash flows to the amortized cost of the security. If the net present value of the cash flow is less that the security's amortized cost then the difference is recorded as a credit loss. The difference between the estimates of the credit loss and the overall unrealized loss on the security is the non-credit-related component. The credit loss portion is charged to net realized investment (losses) gains in the Statements of Operations, while the non-credit loss is charged to accumulated other comprehensive income (loss) on the Balance Sheets. The net present value used to determine the credit loss is calculated by discounting the Company's best estimate of projected future cash flows at the effective interest rate implicit in the debt security prior to impairment. The Company may use the estimated fair value of collateral as a proxy for the net present value if it believes that the security is dependent on the liquidation of collateral for recovery of its investment. The projection of future cash flows is subject to the same analysis the Company applies to its overall impairment evaluation process, as noted above, which incorporates security specific information such as late payments, downgrades by rating agencies, key financial ratios, financial statements, and fundamentals of the industry and geographic area in which the issuer operates, as well as overall macroeconomic conditions. The projections are estimated using assumptions regarding probability of default and estimates regarding timing and amount of recoveries associated with a default. There are a number of significant risks and uncertainties inherent in the process of monitoring impairments and determining if impairment is other-than-temporary. These risks and uncertainties include (1) the risk that the Company's assessment of an issuer's ability to meet all of its contractual obligations will change based on changes in the credit characteristics of that issuer, (2) the risk that the economic outlook will be worse than expected or have more of an impact on the issuer than anticipated, (3) the risk that fraudulent information could be provided to our investment professionals who determine the fair value estimates and other-than-temporary impairments, and (4) the risk that new information obtained by the Company or changes in other facts and circumstances lead us to change our intent to hold the security to maturity or until it recovers in value. Any of these situations could result in a charge to earnings in a future period. The cost amounts for fixed maturity securities are net of the other-than-temporary impairment charges. The following table shows the carrying value and gross unrealized losses aggregated by investment category and length of time that individual fixed maturity securities have been in a continuous unrealized loss position: UNREALIZED LOSSES ON FIXED MATURITY SECURITIES -- BY INVESTMENT AGE
YEAR ENDED DECEMBER 31, 2010 --------------------------------------------------------------------- LESS THAN 12 MONTHS 12 MONTHS OR MORE TOTAL --------------------- --------------------- --------------------- CARRYING UNREALIZED CARRYING UNREALIZED CARRYING UNREALIZED VALUE LOSSES VALUE LOSSES VALUE LOSSES -------- ---------- -------- ---------- -------- ---------- (IN MILLIONS) Corporate securities .......................... $ 462 $14 $-- $-- $ 462 $14 U.S. Treasury securities and obligations of U.S. government corporations and agencies .. 1,047 17 -- -- 1,047 17 Obligations of states and political subdivisions ............................... 105 7 -- -- 105 7 ------ --- --- --- ------ --- Total ......................................... $1,614 $38 $-- $-- $1,614 $38 ====== === === === ====== ===
F-16 JOHN HANCOCK LIFE INSURANCE COMPANY OF NEW YORK NOTES TO FINANCIAL STATEMENTS -- (CONTINUED) NOTE 2 -- INVESTMENTS - (CONTINUED)
YEAR ENDED DECEMBER 31, 2009 --------------------------------------------------------------------- LESS THAN 12 MONTHS 12 MONTHS OR MORE TOTAL --------------------- --------------------- --------------------- CARRYING UNREALIZED CARRYING UNREALIZED CARRYING UNREALIZED VALUE LOSSES VALUE LOSSES VALUE LOSSES -------- ---------- -------- ---------- -------- ---------- (IN MILLIONS) Corporate securities .......................... $187 $ 4 $-- $-- $187 $ 4 U.S. Treasury securities and obligations of U.S. government corporations and agencies .. 146 7 -- -- 146 7 Obligations of states and political subdivisions ............................... 23 1 -- -- 23 1 Debt securities issued by foreign governments ................................ 92 9 -- -- 92 9 ---- --- --- --- ---- --- Total ......................................... $448 $21 $-- $-- $448 $21 ==== === === === ==== ===
Unrealized losses can be created by rising interest rates or by rising credit concerns and hence widening credit spreads. Credit concerns are apt to play a larger role in the unrealized loss on below investment grade securities. Unrealized losses on investment grade securities principally relate to changes in interest rates or changes in credit spreads since the securities were acquired. Credit rating agencies' statistics indicate that investment grade securities have been found to be less likely to develop credit concerns. The gross unrealized loss on below investment grade available-for-sale fixed maturity securities increased to $1 million at December 31, 2010 from $0 million at December 31, 2009. At December 31, 2010 and 2009, there were 148 and 62 fixed maturity securities with an aggregate gross unrealized loss of $38 million and $21 million, respectively, of which the single largest unrealized loss was $10 million and $3 million, respectively. The Company anticipates that these fixed maturity securities will perform in accordance with their contractual terms and currently has the ability and intent to hold these securities until they recover or mature. Available-for-sale securities with amortized cost of $2 million were non-income producing for the year ended December 31, 2010. Non-income producing assets represent investments that have not produced income for the twelve months preceding December 31, 2010. ASSETS ON DEPOSIT As of December 31, 2010 and 2009, fixed maturity securities with a fair value of $1 million were on deposit with the State of NY as required by law. F-17 JOHN HANCOCK LIFE INSURANCE COMPANY OF NEW YORK NOTES TO FINANCIAL STATEMENTS -- (CONTINUED) NOTE 2 -- INVESTMENTS - (CONTINUED) MORTGAGE LOANS ON REAL ESTATE At December 31, 2010, the mortgage portfolio was diversified by specific collateral property type and geographic region as displayed below:
COLLATERAL CARRYING PROPERTY TYPE AMOUNT ------------- ------------- (IN MILLIONS) Apartments ............ $174 Industrial ............ 148 Office buildings ...... 214 Retail ................ 221 Mixed use ............. 3 Other ................. 48 Provision for losses .. (2) ---- Total ................. $806 ====
GEOGRAPHIC CARRYING CONCENTRATION AMOUNT ------------- ------------- (IN MILLIONS) East North Central .... $109 East South Central .... 2 Middle Atlantic ....... 118 Mountain .............. 62 New England ........... 48 Pacific ............... 244 South Atlantic ........ 110 West North Central .... 47 West South Central .... 68 Provision for losses .. (2) ---- Total ................. $806 ====
At the end of each quarter, the MFC Loan Review Committee reviews all mortgage loans rated BB or lower, as determined by review of the underlying collateral, and decides whether an allowance for credit loss is needed. The Company considers collateral value, the borrower's ability to pay, normal historical credit loss levels and future expectations in evaluating whether an allowance for credit losses is required for impaired loans. Changes in the allowance for probable losses on mortgage loans on real estate are summarized below:
BALANCE AT CHARGE-OFFS BALANCE AT BEGINNING AND END OF OF PERIOD ADDITIONS RECOVERIES DISPOSALS PERIOD ---------- --------- ---------- ----------- ---------- (IN MILLIONS) Year ended December 31, 2010 .. $-- $2 $-- $-- $2
Changes in the allowance for probable losses on mortgage loans and real estate was $0 million for the years ended December 31, 2009 and 2008. A mortgages loan charge-off is recorded when the impaired loan is disposed or when an impaired loan is determined to be a full loss with no possibility of recovery. Mortgage loans with a carrying value of $14 million were non-income producing for the year ended December 31, 2010. Mortgage loans with a carrying value of $14 million were on nonaccrual status at December 31, 2010. At December 31, 2010, there were no delinquent loans. F-18 JOHN HANCOCK LIFE INSURANCE COMPANY OF NEW YORK NOTES TO FINANCIAL STATEMENTS -- (CONTINUED) NOTE 2 -- INVESTMENTS - (CONTINUED) The Company provides for credit risk on mortgage loans by establishing allowances against the carrying value of the impaired loans. The total recorded investment in mortgage loans that is considered to be impaired along with the related allowance for credit losses was as follows:
DECEMBER 31, ------------- 2010 2009 ---- ---- (IN MILLIONS) Impaired mortgage loans on real estate with provision for losses .. $16 $-- Allowance for credit losses ....................................... (2) -- --- --- Net impaired mortgage loans on real estate ........................ $14 $-- === ===
The average recorded investment in impaired loans and the interest income recognized on impaired loans were as follows:
YEARS ENDED DECEMBER 31, ------------------------ 2010 2009 2008 ---- ---- ---- (IN MILLIONS) Average recorded investment in impaired loans .. $ 8 $-- $-- Interest income recognized on impaired loans ... -- -- --
For mortgage loans, the Company develops an internal risk rating ("IRR") by utilizing the Mortgage Risk Rating System. The IRR is a designated grade that measures the riskiness of expected loss. These ratings are updated on a quarterly basis. The carrying value of mortgage loans by IRR was as follows:
DECEMBER 31, ------------- 2010 2009 ---- ---- (IN MILLIONS) AAA ..................... $ 27 $-- AA ...................... 108 -- A ....................... 210 -- BBB ..................... 426 -- BB ...................... 21 -- B & Lower, and unrated .. 14 -- ---- --- Total mortgage loans .... $806 $-- ==== ===
INVESTMENT REAL ESTATE AND AGRICULTURE Investment real estate and agriculture of $17 million was non-income producing for the year ended December 31, 2010. Depreciation expense on investment real estate and agriculture was $2 million for the year ended December 31, 2010. There was no depreciation expense on investment real estate in 2009 and 2008. Accumulated depreciation was $2 million and $0 million at December 31, 2010 and 2009, respectively. EQUITY METHOD INVESTMENTS The Company has a 38% equity ownership in JHIMS, which is included in investment in unconsolidated affiliate, and is allocated approximately 38% of earnings pursuant to the Limited Liability Company Agreement. As of December 31, 2010 and 2009, total assets of JHIMS were $68 million and $40 million, respectively, and total liabilities of JHIMS were $66 million and $38 million, respectively. For the years ended December 31, 2010, 2009, and 2008, net income of JHIMS was $440 million, $328 million, and $350 million, respectively. The Company's share of income earned from its investment in JHIMS was $166 million, $127 million, and $137 million for the years ended December 31, 2010, 2009, and 2008, respectively, and is included in net investment income. F-19 JOHN HANCOCK LIFE INSURANCE COMPANY OF NEW YORK NOTES TO FINANCIAL STATEMENTS -- (CONTINUED) NOTE 2 -- INVESTMENTS - (CONTINUED) NET INVESTMENT INCOME AND NET REALIZED INVESTMENT AND OTHER (LOSSES) GAINS The following information summarizes the components of net investment income and net realized investment and other (losses) gains:
YEARS ENDED DECEMBER 31, ------------------------ 2010 2009 2008 ----- ---- ---- (IN MILLIONS) NET INVESTMENT INCOME Fixed maturities .................................... $ 269 $ 43 $ 30 Mortgage loans on real estate ....................... 19 -- -- Investment real estate and agriculture .............. 7 -- -- Policy loans ........................................ 6 3 3 Short-term investments .............................. (1) 2 5 Equity method investments and other (1) ............. 179 127 137 ----- ---- ---- Gross investment income ............................. 479 175 175 Less investment expenses ......................... 17 2 1 ----- ---- ---- Net investment income .................................. $ 462 $173 $174 ===== ==== ==== NET REALIZED INVESTMENT AND OTHER (LOSSES) GAINS Fixed maturities .................................... $ 16 $ 1 $ 6 Mortgage loans on real estate ....................... (1) -- -- Derivatives and other invested assets ............... (184) -- 4 Amounts credited to participating contract holders .. (18) -- -- ----- ---- ---- Net realized investment and other (losses) gains ....... $(187) $ 1 $ 10 ===== ==== ====
(1) Primarily represents income earned from the Company's investment in JHIMS. The change in net unrealized gain on fixed maturities classified as held-for-trading of $16 million is included in net realized investment and other (losses) gains for the year ended December 31, 2010. There were no fixed maturities classified as held-for-trading for the years ended December 31, 2009 and 2008, respectively. For 2010, net investment income passed through to participating contract holders as interest credited to policyholder account balances amount to $29 million. Gross gains were realized on the sale of available-for-sale securities of $70 million, $3 million, and $7 million for the years ended December 31, 2010, 2009, and 2008, respectively, and gross losses were realized on the sale of available-for-sale securities of $68 million, $1 million, and $0.1 million for the years ended December 31, 2010, 2009, and 2008, respectively. In addition, other-than-temporary impairments on available-for-sale securities of $0 million, $0 million, and $2 million for the years ended December 31, 2010, 2009, and 2008, respectively, were recognized in the Statements of Operations. F-20 JOHN HANCOCK LIFE INSURANCE COMPANY OF NEW YORK NOTES TO FINANCIAL STATEMENTS -- (CONTINUED) NOTE 3 -- DERIVATIVES AND HEDGING INSTRUMENTS TYPES OF DERIVATIVES AND DERIVATIVE STRATEGIES INTEREST RATE CONTRACTS. The Company uses interest rate futures contracts and interest rate swap agreements as part of its overall strategies of managing the duration of assets and liabilities or the average life of certain asset portfolios to specified targets. Interest rate futures contracts are contractual obligations to buy or sell a financial instrument, foreign currency, or other underlying commodity on a pre-determined future date at a specified price. Interest rate futures contracts are agreements with standard amounts and settlement dates that are traded on regulated exchanges. Interest rate swap agreements are contracts with counterparties to exchange interest rate payments of a differing character (i.e., fixed-rate payments exchanged for variable-rate payments) based on an underlying principal balance (notional principal). The net differential to be paid or received on interest rate swap agreements is accrued and recognized as a component of net investment income. The Company also enters into basis swaps to better match the cash flows from assets and related liabilities. Basis swaps are included in interest rate swaps for disclosure purposes. The Company utilizes basis swaps in non-qualifying hedging relationships. Futures agreements are contractual obligations to buy or sell a financial instrument, foreign currency, or other underlying commodity on a predetermined future date at a specified price. Futures agreements are contracts with standard amounts and settlement dates that are traded on regulated exchanges. The Company uses exchange-traded interest rate futures primarily to hedge mismatches between the duration of assets in a portfolio and the duration of liabilities supported by those assets, to hedge against changes in value of securities the Company owns or anticipates acquiring, and to hedge against changes in interest rates on anticipated liability issuances by replicating U.S. Treasury or swap curve performance. The Company utilizes exchange-traded interest rate futures in non-qualifying hedging relationships. EQUITY MARKET CONTRACTS. Equity index futures contracts are contractual obligations to buy or sell a specified amount of an underlying equity index at an agreed contract price on a specified date. Equity index futures are contracts with standard amounts and settlement dates that are traded on regulated exchanges. The table below provides a summary of the gross notional amount and fair value of derivatives contracts by the underlying risk exposure for all derivatives in hedging and non-hedging relationships:
DECEMBER 31, 2010 DECEMBER 31, 2009 ------------------------------- ------------------------------- FAIR FAIR FAIR FAIR NOTIONAL VALUE VALUE NOTIONAL VALUE VALUE AMOUNT ASSETS LIABILITIES AMOUNT ASSETS LIABILITIES -------- ------ ----------- -------- ------ ----------- (IN MILLIONS) QUALIFYING HEDGING RELATIONSHIPS Fair value hedges Interest rate swaps ............ $ 47 $14 $ -- $-- $-- $-- ------ --- ---- --- --- --- Total Derivatives in Hedging Relationships ....... $ 47 $14 $ -- $-- $-- $-- ------ --- ---- --- --- --- NON-HEDGING RELATIONSHIPS Interest rate swaps ........................... $ 975 $10 $ 33 $-- $-- $-- Interest rate futures ......................... 124 -- -- -- -- -- Equity index futures .......................... 152 -- -- -- -- -- Embedded derivatives - reinsurance contracts .. -- -- 101 -- -- -- Embedded derivatives - participating pension contracts (1) ...................... -- -- 10 -- -- -- Embedded derivatives - benefit guarantees (1) ........................................ -- 47 37 -- 41 53 ------ --- ---- --- --- --- Total Derivatives in Non-Hedging Relationships ... 1,251 57 181 -- 41 53 ------ --- ---- --- --- --- Total Derivatives (2) ............................ $1,298 $71 $181 $-- $41 $53 ====== === ==== === === ===
F-21 JOHN HANCOCK LIFE INSURANCE COMPANY OF NEW YORK NOTES TO FINANCIAL STATEMENTS -- (CONTINUED) NOTE 3 -- DERIVATIVES AND HEDGING INSTRUMENTS - (CONTINUED) (1) Embedded derivatives related to participating pension contracts are reported as part of future policy benefits and embedded derivatives related to benefit guarantees are reported as part of reinsurance recoverable or future policy benefits on the Balance Sheets. (2) The fair values of all derivatives in an asset position are reported within derivative asset on the Balance Sheets, and derivatives in a liability position are reported within derivative liability on the Balance Sheets, excluding embedded derivatives related to participating pension contracts and benefit guarantees. HEDGING RELATIONSHIPS The Company uses derivatives for economic hedging purposes. In certain circumstances, these hedges also meet the requirements for hedge accounting. Hedging relationships eligible for hedge accounting are designated as fair value hedges as described below. FAIR VALUE HEDGES. The Company uses interest rate swaps to manage its exposure to changes in fair value of fixed-rate financial instruments caused by changes in interest rates. The Company recognizes gains and losses on derivatives and the related hedged items in fair value hedges in net realized investment and other (losses) gains. For the years ended December 31, 2010 and 2009, the Company did not recognize any gains or losses related to the portion of the hedging instruments that were excluded from the assessment of hedge effectiveness. At December 31, 2010, the Company had no hedges of firm commitments. The following table shows the investment gains (losses) recognized: FOR THE YEAR ENDED DECEMBER 31, 2010
DERIVATIVES IN FAIR VALUE HEDGED ITEMS IN FAIR VALUE GAINS RECOGNIZED LOSSES RECOGNIZED INEFFECTIVENESS HEDGING RELATIONSHIPS HEDGING RELATIONSHIPS ON DERIVATIVES FOR HEDGED ITEMS RECOGNIZED ------------------------- -------------------------- ---------------- ----------------- --------------- (IN MILLIONS) Interest rate swaps Fixed-rate assets......... $-- $-- $-- Fixed-rate liabilities.... 2 (2) -- --- --- --- Total $ 2 $(2) $-- === === ===
DERIVATIVES NOT DESIGNATED AS HEDGING INSTRUMENTS. The Company enters into interest rate swap agreements, and interest rate futures contracts to manage exposure to interest rates without designating the derivatives as hedging instruments. The Company offers certain variable annuity products with a guaranteed minimum withdrawal benefit ("GMWB") rider. This rider is effectively an embedded option on the basket of mutual funds which is offered to contract holders. Beginning in July 2010, for certain contracts, the Company implemented a hedging program to reduce its exposure to the GMWB rider. This dynamic hedging program uses interest rate swap agreements, equity index futures (including but not limited to the Dow Jones Industrial, Standard & Poor's 500, Russell 2000, and Dow Jones Euro Stoxx 50 indices), and foreign currency futures to match the sensitivities of the GMWB rider liability to the market risk factors. F-22 JOHN HANCOCK LIFE INSURANCE COMPANY OF NEW YORK NOTES TO FINANCIAL STATEMENTS -- (CONTINUED) NOTE 3 -- DERIVATIVES AND HEDGING INSTRUMENTS - (CONTINUED) For the years ended December 31, 2010 and 2009, net losses of $185 million and net gains of $0 million, respectively, related to derivatives in a non-hedge relationship were recognized by the Company. These amounts were recorded in net realized investment and other (losses) gains.
FOR THE YEARS ENDED DECEMBER 31, 2010 2009 -------------------------------- ----- ---- (IN MILLIONS) NON-HEDGING RELATIONSHIPS Investment losses: Interest rate swaps .............. $ (27) $-- Interest rate futures ............ (1) -- Equity index futures ............. (47) -- Embedded derivatives ............. (110) -- ----- --- Total Investment Losses from Derivatives in Non-Hedging Relationships ........ $(185) $-- ===== ===
EMBEDDED DERIVATIVES. The Company has certain embedded derivatives that are required to be separated from their host contracts and accounted for as derivatives. These host contracts include, reinsurance contracts, participating pension contracts, and certain benefit guarantees. For more details on the Company's embedded derivatives see Note 11 - Fair Value of Financial Instruments. CREDIT RISK. The Company may be exposed to credit-related losses in the event of nonperformance by counterparties to the derivative financial instruments. The current credit exposure of the Company's derivative contracts is limited to the fair value in excess of the collateral held at the reporting date. The Company manages its credit risk by entering into transactions with creditworthy counterparties, obtaining collateral where appropriate, and entering into master netting agreements that provide for a netting of payments and receipts with a single counterparty. The Company enters into credit support annexes with its over-the-counter derivative dealers in order to manage its credit exposure to those counterparties. As part of the terms and conditions of those agreements, the pledging and accepting of collateral in connection with the Company's derivative usage is required. As of December 31, 2010 and 2009, the Company had accepted collateral consisting of various securities with a fair value of $12 million and $0 million, respectively, which is held in separate custodial accounts. In addition, as of December 31, 2010 and 2009, the Company pledged collateral of $13 million and $0 million, respectively, which is included in available-for-sale fixed maturities on the Balance Sheets. NOTE 4 -- INCOME TAXES Prior to 2010, the Company is included in the consolidated federal income tax return of Manulife Holdings (Delaware), LLC ("MHDLLC") with the following entities: MIC, JHUSA, Manulife Reinsurance Limited ("MRL"), Manulife Reinsurance (Bermuda) Limited ("MRBL") and Manulife Service Corporation ("MSC"). On December 31, 2009, MHDLLC merged with and into JHHLLC. For the 2010 tax year, the Company is included in the consolidated federal income tax return of JHHLLC with the following entities: MIC, JHUSA, MRL, MRBL, MSC, John Hancock Subsidiaries, LLC, and John Hancock International Holdings, Inc. In accordance with the income tax sharing agreements in effect for the applicable tax years, the income tax provision (or benefit) is computed as if each entity filed separate federal income tax returns. Intercompany settlements of income taxes are made through an increase or reduction to amounts due to or from affiliates. Such settlements occur on a periodic basis in accordance with the tax sharing agreements. Tax benefits from operating losses are provided at the U.S. statutory rate plus any tax credits attributable, provided the consolidated group utilizes such benefits currently. F-23 JOHN HANCOCK LIFE INSURANCE COMPANY OF NEW YORK NOTES TO FINANCIAL STATEMENTS -- (CONTINUED) NOTE 4 -- INCOME TAXES - (CONTINUED) The components of income taxes were as follows:
YEARS ENDED DECEMBER 31, ------------------------ 2010 2009 2008 ----- ---- ---- (IN MILLIONS) Current taxes: Federal .......................... $ 69 $ 77 $ 10 Deferred taxes: Federal .......................... (171) 31 (21) ----- ---- ---- Total income tax (benefit) expense .. $(102) $108 $(11) ===== ==== ====
A reconciliation of income taxes at the federal income tax rate to income tax expense charged to operations is as follows:
YEARS ENDED DECEMBER 31, ------------------------ 2010 2009 2008 ----- ---- ---- (IN MILLIONS) Tax at 35% ................................ $ 28 $111 $ (8) Add (deduct): Prior year taxes ....................... -- 2 3 Dividends received deduction ........... (6) (4) (6) Unrecognized tax benefits .............. 1 -- -- Tax - exempt income .................... (125) -- -- Other .................................. -- (1) -- ----- ---- ---- Total income tax (benefit) expense .. $(102) $108 $(11) ===== ==== ====
Deferred income tax assets and liabilities result from tax effecting the differences between the financial statement values and income tax values of assets and liabilities at each balance sheet date. Deferred tax assets and liabilities consisted of the following:
DECEMBER 31, ------------- 2010 2009 ---- ----- (IN MILLIONS) DEFERRED TAX ASSETS: Policy reserves .............................. $266 $ 155 Tax credits .................................. 7 7 Unearned revenue ............................. 16 14 Other ........................................ -- 1 ---- ----- Total deferred tax assets ................. 289 177 ---- ----- DEFERRED TAX LIABILITIES: Unrealized investment gains on securities .... 69 5 Deferred policy acquisition costs ............ 86 165 Deferred sales inducements ................... 12 13 Reinsurance .................................. 82 79 Securities and other investments ............. 20 15 Intangibles .................................. 15 -- ---- ----- Total deferred tax liabilities ............ 284 277 ---- ----- Net deferred tax assets (liabilities) .. $ 5 $(100) ==== =====
F-24 JOHN HANCOCK LIFE INSURANCE COMPANY OF NEW YORK NOTES TO FINANCIAL STATEMENTS -- (CONTINUED) NOTE 4 -- INCOME TAXES - (CONTINUED) At December 31, 2010 and 2009, the Company had no operating loss carryforwards. The Company believes that it will realize the full benefit of its deferred tax assets. The Company made income tax payments of $49 million, $7 million, and $32 million in 2010, 2009, and 2008, respectively. The Company files income tax returns in the U.S. federal jurisdiction and in NY. With few exceptions, the Company is no longer subject to U.S. federal, state, or local income tax examinations by taxing authorities for years before 2004. The Internal Revenue Service ("IRS") completed its examination of the Company's income tax returns for years 2004 through 2005 in July 2009. The Company filed protests with the IRS Appeals Division of various adjustments raised by the IRS in its examinations of these years. The examination of the 2006 and 2007 tax years began in November 2009. A reconciliation of the beginning and ending amount of unrecognized tax benefits is as follows:
DECEMBER 31, ------------- 2010 2009 ---- ---- (IN MILLIONS) Beginning balance ............................................. $17 $16 Additions based on tax positions related to the current year .. 2 2 Reductions for tax positions of prior years ................... (4) (1) --- --- Ending balance ................................................ $15 $17 === ===
Included in the balance as of December 31, 2010 and 2009, respectively, are $15 million and $17 million of unrecognized benefits that, if recognized, would affect the Company's effective tax rate. Included in the balance as of December 31, 2010 and 2009, respectively are no tax positions for which the ultimate deductibility is highly certain but for which there is uncertainty about the timing of such deductibility. Because of the impact of deferred tax accounting, other than interest or penalties, the disallowance of the shorter deductibility period would not affect the annual effective tax rate but would accelerate the payment of taxes to an earlier period. The Company recognizes interest accrued related to unrecognized tax benefits in interest expense (part of other operating costs and expenses) and penalties in income tax expense. During the years ended December 31, 2010, 2009, and 2008, the Company recognized approximately $1 million, $1 million, and $(1) million in interest expense, respectively. The Company had approximately $3 million and $2 million accrued for interest as of December 31, 2010 and 2009, respectively. The Company did not recognize any material amounts of penalties during the years ended December 31, 2010, 2009, and 2008. NOTE 5 -- RELATED PARTY TRANSACTIONS REINSURANCE TRANSACTIONS On January 1, 2010, the assets supporting the NY business were transferred from JHUSA to the Company. The transfer included participating traditional life insurance, universal life insurance, fixed deferred and immediate annuities, participating pension contracts, and variable annuities. The NY business was transferred using assumption reinsurance, modified coinsurance and coinsurance with cut-through provisions. The January 1, 2010 impact of these transfers on the Company's Balance Sheet was an increase in total assets and total liabilities of $7,489 million and $7,364 million, respectively. There was no pre-tax impact at the time of transfer; revenues were offset against expenses of $1,023 million. The Company recorded a $125 million tax benefit related to this transfer. As of January 1, 2010, the Company recorded $56 million related to VOBA and recorded $8 million of VOBA amortization in the Statement of Operations for the year ended December 31, 2010. As of December 31, 2010, the Company reported a receivable from JHUSA of $289 million and a payable to JHUSA of $325 million which was reported with amounts due from and amounts due to affiliates, respectively. F-25 JOHN HANCOCK LIFE INSURANCE COMPANY OF NEW YORK NOTES TO FINANCIAL STATEMENTS -- (CONTINUED) NOTE 5 -- RELATED PARTY TRANSACTIONS - (CONTINUED) The NY business related to the closed block was transferred from JHUSA to JHNY under a coinsurance agreement and was immediately retroceded back to JHUSA using a coinsurance funds withheld agreement. As the reinsurance agreements do not subject the reinsurer to reasonable possibility of significant loss, they are classified as financial reinsurance and given deposit-type accounting treatment. The Company retained the invested assets supporting this block of business and $2,133 million is included in amounts due to affiliates on the Balance Sheet as of December 31, 2010. Effective January 1, 2010, the Company entered into a partition and novation reinsurance agreement with an affiliate, John Hancock Reassurance Company Limited ("JHRECO"), to reinsure 20% of the risk related to payout annuity policies issued January 1, 2008 through September 30, 2008 and 65% of the risk related to payout annuity policies issued prior to January 1, 2008. The reinsurance agreement is written on a modified coinsurance basis where the assets supporting the reinsured policies remain invested with the Company. Under the terms of the agreement, the Company recorded a modified coinsurance reserve adjustment of $14 million, which reduced benefits to policyholders in the Statements of Operations for the year ended December 31, 2010. As of December 31, 2010, the Company also recorded $4 million related to the cost of reinsurance, which was reported with reinsurance recoverable on the Balance Sheets. The cost of reinsurance is being amortized into income through benefits to policyholders over the life of the underlying reinsured policies using assumptions consistent with those used to account for the underlying policies. SERVICE AGREEMENTS The Company has formal service agreements with JHUSA. Under these agreements, the Company will pay investment and operating expenses incurred by JHUSA on behalf of the Company. Services provided under the agreements include legal, personnel, marketing, investment, and certain other administrative services and are billed based on intercompany cost allocations. Costs incurred under the agreements were $65 million, $41 million, and $47 million for the years ended December 31, 2010, 2009, and 2008, respectively. As of December 31, 2010 and 2009, the Company had accrued payables of $10 million and $12 million, respectively. Management believes the allocation methods used are reasonable and appropriate in the circumstances; however, the Company's Balance Sheets may not necessarily be indicative of the financial condition that would have existed if the Company operated as an unaffiliated entity. Effective December 28, 2009, in connection with the hedging risks associated with the Company's variable annuity products, the Company has entered into an Asset & Liability Management Services Agreement with MLI, pursuant to which MLI performs certain asset and liability management services in connection with the hedging program. The fees for services provided under this agreement shall be determined at fair market value. Costs incurred under this agreement were $1 million, and $0 million, for the years ended December 31, 2010 and 2009, respectively. As of December 31, 2010 and 2009, the Company had no accrued payables. CAPITAL STOCK TRANSACTIONS On March 30, 2009, the Company received a $282 million capital contribution from JHUSA in exchange for one share of common stock. The amount included $84 million in cash and fixed maturities with a fair value of $216 million, reduced by a deferred tax liability of $18 million. The deferred tax liability was recognized as the fixed maturities contributed had a cost basis of $164 million. On December 21, 2009, the Company received a capital contribution from JHUSA of $200 million in cash. OTHER The Company has entered into an Amended and Restated Underwriting and Distribution Agreement with John Hancock Distributors, LLC ("JHD"), effective December 1, 2009, pursuant to which JHD is appointed as the principal underwriter and exclusive distributor of the variable annuity, variable life and other products issued by the Company. This agreement replaced and superseded the previous Underwriting and Distribution Agreement dated January 1, 2002 between the parties. For the years ended December 31, 2010, 2009, and 2008, the Company was billed by JHD for underwriting commissions of $101 million, $100 million, and $130 million, respectively. The Company had accrued payables for services provided of $5 million and $4 million at December 31, 2010 and 2009, respectively. F-26 JOHN HANCOCK LIFE INSURANCE COMPANY OF NEW YORK NOTES TO FINANCIAL STATEMENTS -- (CONTINUED) NOTE 5 -- RELATED PARTY TRANSACTIONS - (CONTINUED) The Company had receivables from JHIMS relating to distributions of $15 million and $13 million, which were included in accrued investment income at December 31, 2010 and 2009, respectively. The Company participates in a liquidity pool operated by JHUSA, in which affiliates can invest excess cash. Terms of participation in the liquidity pool are set out in the Second Restated and Amended Liquidity Pool Agreement effective January 1, 2010. The Company had $401 million and $139 million invested in this pool at December 31, 2010 and 2009, respectively, which were included in cash and cash equivalents on the Company's Balance Sheets. NOTE 6 -- REINSURANCE The effect of reinsurance on life and fixed and variable annuity premiums earned was as follows:
DECEMBER 31, ---------------------- 2010 2009 2008 ------ ----- ----- (IN MILLIONS) Direct ........................... $ 220 $100 $ 70 Assumed .......................... 1,090 -- -- Ceded ............................ (111) (73) (52) ------ ---- ---- Net life and fixed and variable annuity premiums earned .... $1,199 $ 27 $ 18 ====== ==== ====
For the years ended December 31, 2010, 2009 and 2008, benefits to policyholders under life and annuity ceded reinsurance contracts were $164 million, $65 million, and $52 million, respectively. At December 31, 2010, the Company had treaties with 26 reinsurers (23 non-affiliated and 3 affiliated). The per policy life risk retained by the Company is capped at a maximum of $30 million on single life policies and $35 million on survivorship life policies. The previous limit of $100 thousand, which was revised as a consequence of the transfer of NY business, continues to apply to policies and reinsurance agreements in-force as at December 31, 2009. In 2010, recoveries under these agreements totaled $72 million on $107 million of death claims. In 2009, recoveries under these agreements totaled $40 million on $48 million of death claims. In 2008, recoveries under these agreements totaled $28 million on $35 million of death claims. The Company utilizes reinsurance agreements to provide for greater diversification of business, allowing management to control exposure to potential losses arising from large risks and provide additional capacity for growth. Reinsurance ceded contracts do not relieve the Company from its obligations to policyholders. The Company remains liable to its policyholders for the portion reinsured to the extent that any reinsurer does not meet its obligations for reinsurance ceded to it under the reinsurance agreements. Failure of the reinsurers to honor their obligations could result in losses to the Company; consequently, estimates are established for amounts deemed or estimated to be uncollectible. To minimize its exposure to significant losses from reinsurance insolvencies, the Company evaluates the financial condition of its reinsurers and monitors concentration of credit risk arising from similar characteristics among the reinsurers. NOTE 7 -- PENSION AND OTHER POSTRETIREMENT BENEFIT PLANS The Company participates in a funded qualified defined benefit plan (the "Plan"). Effective January 1, 2008, the John Hancock Financial Services, Inc. Pension Plan was renamed the John Hancock Pension Plan. Pursuant to the merger of JHFS into MIC, as discussed in Note 1, JHFS ceased to exist, and sponsorship of the Plan transferred to JHUSA effective January 1, 2010. Effective December 31, 2010, sponsorship of the Plan transferred to MIC. Historically, pension benefits were calculated utilizing a traditional formula. Under the traditional formula, benefits were provided based upon length of service and final average compensation. As of January 1, 2002, the defined benefit pension plan was amended to a cash balance basis. Under the cash balance formula, participants are credited with benefits equal to a percentage of eligible pay, as well as interest. In addition, early retirement benefits are subsidized for certain grandfathered participants. The costs associated with the Plan were charged to the Company and were not material for the years ended December 31, 2010, 2009, and 2008, respectively. F-27 JOHN HANCOCK LIFE INSURANCE COMPANY OF NEW YORK NOTES TO FINANCIAL STATEMENTS -- (CONTINUED) NOTE 7 -- PENSION AND OTHER POSTRETIREMENT BENEFIT PLANS - (CONTINUED) The Company participates in a postretirement medical and life insurance benefit plan for its retired employees and their spouses. Sponsorship of this plan transferred to JHUSA effective January 1, 2010. Effective December 31, 2010, sponsorship of this plan transferred to MIC. Certain employees hired prior to 2005 who meet age and service criteria may be eligible for these postretirement benefits in accordance with the plan's provisions. The majority of retirees contribute a portion of the total cost of postretirement medical benefits. Life insurance benefits are based on final compensation subject to the plan maximum. The employee welfare plan was amended effective January 1, 2007, whereby participants who had not reached a certain age and years of service with the Company were no longer eligible for such Company contributory benefits. Also the number of years of service required to be eligible for the benefit was increased to 15 years. The future retiree life insurance coverage amount was frozen as of December 31, 2006. The costs associated with other postretirement benefits were charged to the Company and were not material for the years ended December 31, 2010, 2009, and 2008, respectively. The Company participates in a qualified defined contribution plan. Sponsorship of this plan transferred to JHUSA effective January 1, 2010. The costs associated with the defined contribution plan were charged to the Company and were not material for the years ended December 31, 2010, 2009, and 2008, respectively. NOTE 8 -- COMMITMENTS AND LEGAL PROCEEDINGS COMMITMENTS. The Company has extended commitments to purchase U.S. private debt and to issue mortgage loans on real estate totaling $30 million and $4 million, respectively, at December 31, 2010. If funded, loans related to real estate mortgages would be fully collateralized by the mortgaged properties. The Company monitors the creditworthiness of borrowers under long-term bond commitments and requires collateral as deemed necessary. Approximately half of these commitments expire in 2011, and the remainder expire in 2013. The Company leases office space under operating lease agreements, which will expire in March of 2012. Rental expenses were $62 thousand, $75 thousand, and $75 thousand for each of the years ended December 31, 2010, 2009, and 2008, respectively. The future minimum lease payments by year and in the aggregate, under the remaining operating leases are presented below:
OPERATING LEASES -------------- (IN THOUSANDS) 2011 .......................... $52 2012 .......................... 13 --- Total minimum lease payments .. $65 ===
LEGAL PROCEEDINGS. The Company is regularly involved in litigation, both as a defendant and as a plaintiff. The litigation naming the Company as a defendant ordinarily involves its activities as a provider of insurance protection and wealth management products and as a taxpayer. In addition, the NY State Insurance Department, the NY Attorney General, the SEC, the Financial Industry Regulatory Authority, and other government and regulatory bodies regularly make inquiries and, from time to time, require the production of information or conduct examinations concerning the Company's compliance with, among other things, insurance laws, securities laws, and laws governing the activities of broker-dealers. The Company does not believe that the conclusion of any current legal or regulatory matters, either individually or in the aggregate, will have a material adverse effect on its financial condition or results of operations. F-28 JOHN HANCOCK LIFE INSURANCE COMPANY OF NEW YORK NOTES TO FINANCIAL STATEMENTS -- (CONTINUED) NOTE 9 -- SHAREHOLDER'S EQUITY CAPITAL STOCK The Company has one class of capital stock, common stock. All of the outstanding common stock of the Company is owned by its parent, JHUSA. ACCUMULATED OTHER COMPREHENSIVE INCOME The components of accumulated other comprehensive income were as follows:
NET ACCUMULATED UNREALIZED OTHER INVESTMENT COMPREHENSIVE GAINS (LOSSES) INCOME -------------- ------------- (IN MILLIONS) BALANCE AT JANUARY 1, 2008 .................................. $ 11 $ 11 Gross unrealized investment gains (net of deferred income tax expense of $15 million) .............................. 29 29 Reclassification adjustment for gains realized in net income (net of deferred income tax benefit of $2 million) .............................................. (5) (5) Adjustment for deferred policy acquisition costs and deferred sales inducements and unearned revenue liability (net of deferred income tax benefit of $3 million) ................................................. (5) (5) Adjustment for policyholder liabilities (net of deferred income tax benefit of $2 million) ........................ (3) (3) ---- ---- Net unrealized investment gains ............................. 16 16 ---- ---- BALANCE AT DECEMBER 31, 2008 ................................ $ 27 $ 27 ==== ==== Gross unrealized investment losses (net of deferred income tax benefit of $14 million) .............................. $(26) $(26) Reclassification adjustment for gains realized in net income (net of deferred income tax benefit of $1 million) .............................................. (1) (1) Adjustment for deferred policy acquisition costs, deferred sales inducements and unearned revenue liability (net of deferred income tax expense of $1 million) ............... 2 2 Adjustment for policyholder liabilities (net of deferred income tax expense of $1 million) ........................ 3 3 ---- ---- Net unrealized investment losses ............................ (22) (22) ---- ---- BALANCE AT DECEMBER 31, 2009 ................................ $ 5 $ 5 ==== ==== Gross unrealized investment gains (net of deferred income tax expense of $73 million) .............................. $134 $134 Reclassification adjustment for gains realized in net income (net of deferred income tax benefit of $1 million) .............................................. (1) (1) Adjustment for deferred policy acquisition costs, deferred sales inducements, value of business acquired, and unearned revenue liability (net of deferred income tax benefit of $5 million) ................................... (12) (12) ---- ---- Net unrealized investment gains ............................. 121 121 ---- ---- BALANCE AT DECEMBER 31, 2010 ................................ $126 $126 ==== ====
F-29 JOHN HANCOCK LIFE INSURANCE COMPANY OF NEW YORK NOTES TO FINANCIAL STATEMENTS -- (CONTINUED) NOTE 9 -- SHAREHOLDER'S EQUITY - (CONTINUED) Net unrealized investment gains (losses) included on the Company's Balance Sheets as a component of shareholder's equity are summarized below:
DECEMBER 31, ------------------ 2010 2009 2008 ---- ---- ---- (IN MILLIONS) Balance, end of year comprises: Unrealized investment gains on: Fixed maturities ................................. $219 $14 $56 ---- --- --- Total ............................................... 219 14 56 Amounts of unrealized investment losses attributable to: Deferred policy acquisition costs, deferred sales inducements, value of business acquired, and unearned revenue liability ...... (23) (6) (9) Policyholder liabilities ......................... (1) (1) (5) Deferred income taxes ............................ (69) (2) (15) ---- --- --- Total ............................................... (93) (9) (29) ---- --- --- Net unrealized investment gains ........................ $126 $ 5 $27 ==== === ===
STATUTORY RESULTS The Company is required to prepare statutory financial statements in accordance with statutory accounting practices prescribed or permitted by the insurance department of the state of domicile, which is NY. The Company's statutory net (loss) income for the years ended December 31, 2010, 2009, and 2008 was $(41) million (unaudited), $310 million, and $(329) million, respectively. The Company's statutory capital and surplus as of December 31, 2010 and 2009 was $976 million (unaudited) and $1,017 million, respectively. Under NY insurance law, no insurer may pay any shareholder dividends from any source other than statutory earned surplus without the prior approval of the Superintendent of Insurance (the "Superintendent"). NY law also limits the aggregate amount of dividends a life insurer may pay in any calendar year, without the prior permission of the Superintendent, to the lesser of (i) 10% of its statutory policyholders' surplus as of the immediately preceding calendar year or (ii) the company's statutory net gain from operations for the immediately preceding calendar year, not including realized capital gains. The Company paid shareholder dividends to JHUSA in the amount of $100 million, $0 million, and $0 million for the years ended December 31, 2010, 2009, and 2008, respectively. NOTE 10 -- SEGMENT INFORMATION The Company operates in the following three business segments: (1) Insurance, (2) Wealth Management, which primarily serve retail customers, and (3) Corporate. The Company's reportable segments are strategic business units offering different products and services. The reportable segments are managed separately, as they focus on different products, markets, and distribution channels. INSURANCE SEGMENT. Offers a variety of individual life insurance products, including participating whole life, term life, universal life, and variable life insurance. Products are distributed through multiple distribution channels, including insurance agents, brokers, banks, financial planners, and direct marketing. WEALTH MANAGEMENT SEGMENT. Offers individual and group annuities contracts. Individual annuities consist of fixed deferred annuities, fixed immediate annuities and variable annuities. These products are distributed through multiple distribution channels, including insurance agents and brokers affiliated with the Company, securities brokerage firms, financial planners, pension plan sponsors, pension plan consultants, and banks. F-30 JOHN HANCOCK LIFE INSURANCE COMPANY OF NEW YORK NOTES TO FINANCIAL STATEMENTS -- (CONTINUED) NOTE 10 -- SEGMENT INFORMATION - (CONTINUED) This segment also offers a variety of retirement products to qualified defined benefit plans, defined contribution plans, and non-qualified buyers, including guaranteed investment contracts, funding agreements, single premium annuities, and general account participating annuities and fund-type products. These contracts provide non-guaranteed, partially guaranteed, and fully guaranteed investment options through general and separate account products. These products are distributed through a combination of dedicated regional representatives, pension consultants, and investment professionals. CORPORATE. Includes corporate operations primarily related to certain financing activities and income on capital not specifically allocated to the reporting segments. The accounting policies of the segments are the same as those described in Note 1 -- Summary of Significant Accounting Policies. Allocations of net investment income are based on the amount of assets allocated to each segment. Other costs and operating expenses are allocated to each segment based on a review of the nature of such costs, cost allocations utilizing time studies, and other relevant allocation methodologies. The following table summarizes selected financial information by segment for the periods indicated:
WEALTH INSURANCE MANAGEMENT CORPORATE TOTAL --------- ---------- --------- ------- (IN MILLIONS) 2010 Revenues from external customers ............. $ 327 $ 1,156 $ (3) $ 1,480 Net investment income ........................ 40 224 198 462 Net realized investment and other losses ..... (75) (104) (8) (187) ------ ------- ------ ------- Revenues ..................................... $ 292 $ 1,276 $ 187 $ 1,755 ====== ======= ====== ======= Net income ................................... $ 21 $ 39 $ 121 $ 181 ====== ======= ====== ======= SUPPLEMENTAL INFORMATION: Equity in net income of investees accounted for by the equity method .................. $ 1 $ 24 $ 141 $ 166 Carrying value of investments accounted for under the equity method ............... -- -- 1 1 Amortization of deferred policy acquisition costs, deferred sales inducements, and value of business acquired ................ 41 27 -- 68 Income tax (benefit) expense ................. (106) (60) 64 (102) Segment assets ............................... $4,469 $12,358 $1,714 $18,541
F-31 JOHN HANCOCK LIFE INSURANCE COMPANY OF NEW YORK NOTES TO FINANCIAL STATEMENTS -- (CONTINUED) NOTE 10 -- SEGMENT INFORMATION - (CONTINUED)
WEALTH INSURANCE MANAGEMENT CORPORATE TOTAL --------- ---------- --------- ------ (IN MILLIONS) 2009 Revenues from external customers ..................................... $132 $ 93 $ -- $ 225 Net investment income ................................................ 17 19 137 173 Net realized investment and other gains .............................. 1 -- -- 1 ---- ------ ------ ------ Revenues ............................................................. $150 $ 112 $ 137 $ 399 ==== ====== ====== ====== Net (loss) income .................................................... $(13) $ 134 $ 88 $ 209 ==== ====== ====== ====== SUPPLEMENTAL INFORMATION: Equity in net income of investees accounted for by the equity method ............................................................ $ -- $ 20 $ 107 $ 127 Carrying value of investments accounted for under the equity method .. -- -- 1 1 Amortization of deferred policy acquisition costs and deferred sales inducements ................................................. 23 91 -- 114 Income tax (benefit) expense ......................................... (7) 68 47 108 Segment assets ....................................................... $869 $7,037 $1,564 $9,470
WEALTH INSURANCE MANAGEMENT CORPORATE TOTAL --------- ---------- --------- ----- (IN MILLIONS) 2008 Revenues from external customers ..................................... $ 82 $ 98 $ -- $180 Net investment income ................................................ 12 24 138 174 Net realized investment and other gains (losses) ..................... 10 1 (1) 10 ---- ---- ---- ---- Revenues ............................................................. $104 $123 $137 $364 ==== ==== ==== ==== Net (loss) income .................................................... $ (5) $(91) $ 86 $(10) ==== ==== ==== ==== SUPPLEMENTAL INFORMATION: Equity in net income of investees accounted for by the equity method ............................................................ $ -- $ 21 $116 $137 Carrying value of investments accounted for under the equity method .. -- -- 1 1 Amortization of deferred policy acquisition costs and deferred sales inducements ................................................. (8) (27) -- (35) Income tax (benefit) expense ......................................... (3) (59) 51 (11)
The Company operates primarily in the United States and has no reportable major customers. F-32 JOHN HANCOCK LIFE INSURANCE COMPANY OF NEW YORK NOTES TO FINANCIAL STATEMENTS -- (CONTINUED) NOTE 11 -- FAIR VALUE OF FINANCIAL INSTRUMENTS The following table presents the carrying amounts and estimated fair values of the Company's financial instruments. Fair values have been determined by using available market information and the valuation methodologies described below.
DECEMBER 31, -------------------------------------- 2010 2009 ------------------ ----------------- CARRYING FAIR CARRYING FAIR VALUE VALUE VALUE VALUE -------- ------- -------- ------ (IN MILLIONS) ASSETS: Fixed maturities: Available-for-sale ................................... $ 7,813 $ 7,813 $1,235 $1,235 Held-for-trading ..................................... 410 410 -- -- Mortgage loans on real estate ........................... 806 838 -- -- Policy loans ............................................ 112 112 55 55 Short-term investments .................................. 67 67 107 107 Cash and cash equivalents ............................... 445 445 669 669 Derivatives: Interest rate swap agreements ........................ 24 24 -- -- Embedded derivatives ................................. 47 47 41 41 Separate account assets ................................. 7,351 7,351 6,648 6,648 ------- ------- ------ ------ TOTAL ASSETS ............................................... $17,075 $17,107 $8,755 $8,755 ======= ======= ====== ====== LIABILITIES: Guaranteed investment contracts and funding agreements .. $ 2,020 $ 1,988 $ -- $ -- Fixed-rate deferred and immediate annuities ............. 765 784 3 3 Supplementary contracts without life contingencies ...... 5 5 -- -- Derivatives: Interest rate swap agreements ........................ 33 33 -- -- Embedded derivatives ................................. 148 148 53 53 ------- ------- ------ ------ TOTAL LIABILITIES .......................................... $ 2,971 $ 2,958 $ 56 $ 56 ======= ======= ====== ======
ASC 820 defines fair value, establishes a framework for measuring fair value and expands disclosures about fair value measurements. ASC 820 defines fair value as the price that would be received to sell an asset or paid to transfer a liability in an orderly transaction between market participants at the measurement date; that is, an exit value. The exit value assumes the asset or liability is exchanged in an orderly transaction; it is not a forced liquidation or distressed sale. ASC 820 effectively created the following two primary categories of financial instruments for the purpose of fair value disclosure: Financial Instruments Measured at Fair Value and Reported in the Balance Sheets - This category includes assets and liabilities measured at fair value on a recurring and nonrecurring basis. Financial instruments measured on a recurring basis include fixed maturities, short-term investments, derivatives and separate account assets. Assets and liabilities measured at fair value on a nonrecurring basis include mortgage loans, which are reported at fair value only in the period in which an impairment is recognized. Other Financial Instruments Not Reported at Fair Value - This category includes assets and liabilities which do not require the additional ASC 820 disclosures, as follows: MORTGAGE LOANS ON REAL ESTATE - The fair value of unimpaired mortgage loans is estimated using discounted cash flows and takes into account the contractual maturities and discount rates, which were based on current market rates for similar maturity ranges and adjusted for risk due to the property type. POLICY LOANS - These loans are carried at unpaid principal balances, which approximate their fair values. F-33 JOHN HANCOCK LIFE INSURANCE COMPANY OF NEW YORK NOTES TO FINANCIAL STATEMENTS -- (CONTINUED) NOTE 11 -- FAIR VALUE OF FINANCIAL INSTRUMENTS - (CONTINUED) CASH AND CASH EQUIVALENTS - The carrying values for cash and cash equivalents approximate fair value due to the short-term maturities of these instruments. FIXED-RATE DEFERRED AND IMMEDIATE ANNUITIES - The fair value of these financial instruments is estimated by projecting multiple stochastically generated interest rate scenarios under a risk neutral environment reflecting inputs (interest rates, volatility, etc.) observable at the valuation date. The fair value of fixed immediate annuities is determined by projecting cash flows and discounting at current corporate rates, defined as U.S. Treasury rates plus MFC's corporate spread. The fair value attributable to credit risk represents the present value of the spread. GUARANTEED INVESTMENT CONTRACTS AND FUNDING AGREEMENTS - The fair value associated with these financial instruments is determined by projecting cash flows and discounting at current corporate rates, defined as U.S. Treasury rates plus MFC's corporate spread. The fair value attributable to credit risk represents the present value of the spread. FINANCIAL INSTRUMENTS MEASURED AT FAIR VALUE ON THE BALANCE SHEETS VALUATION HIERARCHY Following ASC 820 guidance, the Company categorizes its fair value measurements according to a three-level hierarchy. The hierarchy prioritizes the inputs used by the Company's valuation techniques. A level is assigned to each fair value measurement based on the lowest level input significant to the fair value measurement in its entirety. The three levels of the fair value hierarchy are defined as follows: Level 1 - Fair value measurements that reflect unadjusted, quoted prices in active markets for identical assets and liabilities that the Company has the ability to access at the measurement date. Valuations are based on quoted prices reflecting market transactions involving assets or liabilities identical to those being measured. Level 1 assets primarily include separate account assets. Level 2 - Fair value measurements using inputs other than quoted prices included within Level 1 that are observable for the asset or liability, either directly or indirectly. These include quoted prices for similar assets and liabilities in active markets, quoted prices for identical or similar assets and liabilities in inactive markets, inputs that are observable that are not prices (such as interest rates, credit risks, etc.) and inputs that are derived from or corroborated by observable market data. Most debt securities and some short-term investments are classified within Level 2. Also included in the Level 2 category are derivative instruments that are priced using models with observable market inputs. Level 3 - Fair value measurements using significant non market observable inputs. These include valuations for assets and liabilities that are derived using data, some or all of which is not market observable data, including assumptions about risk. Embedded derivatives related to reinsurance agreements or product guarantees are included in this category. DETERMINATION OF FAIR VALUE The valuation methodologies used to determine the fair values of assets and liabilities under ASC 820 reflect market participant assumptions and are based on the application of the fair value hierarchy that prioritizes observable market inputs over unobservable inputs. When available, the Company uses quoted market prices to determine fair value and classifies such items within Level 1. If quoted market prices are not available, fair value is based upon valuation techniques which discount expected cash flows utilizing independent market observable interest rates based on the credit quality and duration of the instrument. Items valued using models are classified according to the lowest level input that is significant to the valuation. Thus, an item may be classified in Level 3 even though significant market observable inputs are used. The following is a description of the valuation techniques used to measure fair value and the general classification of these instruments pursuant to the fair value hierarchy. F-34 JOHN HANCOCK LIFE INSURANCE COMPANY OF NEW YORK NOTES TO FINANCIAL STATEMENTS -- (CONTINUED) NOTE 11 -- FAIR VALUE OF FINANCIAL INSTRUMENTS - (CONTINUED) FAIR VALUE MEASUREMENTS ON A RECURRING BASIS FIXED MATURITIES For fixed maturities, including corporate, US Treasury, foreign government and obligations of states and political subdivisions, fair values are based on quoted market prices when available. When market prices are not available, fair value is generally estimated using discounted cash flow analyses, incorporating current market inputs for similar financial instruments with comparable terms and credit quality (matrix pricing). The significant inputs into these models include, but are not limited to, yield curves, credit risks and spreads, measures of volatility and prepayment speeds. These fixed maturities are classified within Level 2. Fixed maturities with significant pricing inputs which are unobservable are classified within Level 3. SHORT-TERM INVESTMENTS Short-term investments are comprised of securities due to mature within one year of the date of purchase that are traded in active markets and are classified within Level 1, as fair values are based on quoted market prices. Securities such as commercial paper and discount notes are classified within Level 2 because these securities are typically not actively traded due to their short maturities and, as such, their cost generally approximates fair value. DERIVATIVES The fair value of derivatives is determined through the use of quoted market prices for exchange-traded derivatives or through the use of pricing models for over-the-counter ("OTC") derivatives. The pricing models used are based on market standard valuation methodologies, and the inputs to these models are consistent with what a market participant would use when pricing the instruments. Derivative valuations can be affected by changes in interest rates, currency exchange rates, financial indices, credit spreads, default risk (including the counterparties to the contract), and volatility. The Company's derivatives are generally classified within Level 2 given the significant inputs to the pricing models for most OTC derivatives which are observable or can be corroborated by observable market data. Inputs that are observable generally include interest rates, foreign currency exchange rates, and interest rate curves; however, certain OTC derivatives may rely on inputs that are significant to the fair value, but are unobservable in the market or cannot be derived principally from or corroborated by observable market data and would be classified within Level 3. Inputs that are unobservable generally include broker quotes, volatilities, and inputs that are outside of the observable portion of the interest rate curve or other relevant market measures. These unobservable inputs may involve significant management judgment or estimation. Even though unobservable, these inputs are based on assumptions deemed appropriate given the circumstances and consistent with what market participants would use when pricing such instruments. The credit risk of both the counterparty and the Company are considered in determining the fair value for all OTC derivatives after taking into account the effects of netting agreements and collateral arrangements. EMBEDDED DERIVATIVES As defined in ASC 815, the Company holds assets and liabilities classified as embedded derivatives, which are reported separately on the Balance Sheets. Those assets include guaranteed minimum income benefits that are ceded under modified coinsurance reinsurance arrangements ("Reinsurance GMIB Assets"). Liabilities include policyholder benefits offered under variable annuity contracts such as GMWB with a term certain and embedded reinsurance derivatives. Embedded derivatives are recorded in the Balance Sheets at fair value, separately from their host contract, and the change in their fair value is reflected in net income. Many factors including, but not limited to, market conditions, credit ratings, variations in actuarial assumptions regarding policyholder liabilities and risk margins related to non-capital market inputs may result in significant fluctuations in the fair value of these embedded derivatives that could materially affect net income. The fair value of embedded derivatives is estimated as the present value of future benefits less the present value of future fees. The fair value calculation includes assumptions for risk margins including nonperformance risk. F-35 JOHN HANCOCK LIFE INSURANCE COMPANY OF NEW YORK NOTES TO FINANCIAL STATEMENTS -- (CONTINUED) NOTE 11 -- FAIR VALUE OF FINANCIAL INSTRUMENTS - (CONTINUED) Risk margins are established to capture the risks of the instrument which represent the additional compensation a market participant would require to assume the risks related to the uncertainties of such actuarial assumptions as annuitization, persistency, partial withdrawal and surrenders. The establishment of these actuarial assumptions, risk margins, nonperformance risk, and other inputs requires the use of significant judgment. Nonperformance risk refers to the risk that the obligation will not be fulfilled and affects the value of the liability. The fair value measurement assumes that the nonperformance risk is the same before and after the transfer. Therefore, fair value reflects the reporting entity's own credit risk. Nonperformance risk for liabilities held by the Company is based on MFC's own credit risk, which is determined by taking into consideration publicly available information relating to MFC's debt as well as its claims paying ability. Nonperformance risk is also reflected in the Reinsurance GMIB assets held by the Company. The credit risk of the reinsurance companies is most representative of the nonperformance risk for Reinsurance GMIB assets, and is derived from publicly available information relating to the reinsurance companies' publicly issued debt. The fair value of embedded derivatives related to reinsurance agreements is determined based on a total return swap methodology. These total return swaps are reflected as assets or liabilities on the Balance Sheets representing the difference between the statutory book value and fair value of the related modified coinsurance assets with ongoing changes in fair value recorded in net realized investment and other (losses) gains. The fair value of the underlying assets is based on the valuation approach for similar assets described herein. SEPARATE ACCOUNT ASSETS Separate account assets are reported at fair value and reported as a summarized total on the Balance Sheets in accordance with SOP No. 03-1, "Accounting and Reporting by Insurance Enterprises for Certain Nontraditional Long-Duration Contracts and for Separate Accounts," which is now incorporated into ASC 944. The fair value of separate account assets is based on the fair value of the underlying assets owned by the separate account. Assets owned by the Company's separate accounts primarily include investments in mutual funds, short-term investments, and cash and cash equivalents. The fair value of mutual fund investments is based upon quoted market prices or reported net asset values ("NAV"). Open-ended mutual fund investments that are traded in an active market and have a publically available price are included in Level 1. The fair values of short-term investments and cash equivalents held by separate accounts are determined on a basis consistent with the methodologies described herein for similar financial instruments held within the Company's general account. F-36 JOHN HANCOCK LIFE INSURANCE COMPANY OF NEW YORK NOTES TO FINANCIAL STATEMENTS -- (CONTINUED) NOTE 11 -- FAIR VALUE OF FINANCIAL INSTRUMENTS - (CONTINUED) The following table presents the Company's assets and liabilities that are measured at fair value on a recurring basis by ASC 820 fair value hierarchy levels, as of December 31, 2010 and 2009.
DECEMBER 31, 2010 ---------------------------------------- TOTAL FAIR VALUE LEVEL 1 LEVEL 2 LEVEL 3 ---------- ------- ------- ------- (IN MILLIONS) ASSETS: Fixed maturities available-for-sale: Corporate securities .............................. $ 5,183 $ -- $4,928 $255 Commercial mortgage-backed securities ............. 961 -- 951 10 Collateralized debt obligations ................... 10 -- 10 -- Other asset-backed securities ..................... 63 -- 63 -- U.S. Treasury securities and obligations of U.S. .. government corporations and agencies ........... 1,301 -- 1,301 -- Obligations of states and political subdivisions .. 214 -- 207 7 Debt securities issued by foreign governments ..... 81 -- 81 -- ------- ------ ------ ---- Total fixed maturities available-for-sale ............ 7,813 -- 7,541 272 Fixed maturities held-for-trading: Corporate securities .............................. 246 -- 243 3 Commercial mortgage-backed securities ............. 81 -- 81 -- Collateralized debt obligations ................... -- -- -- -- Other asset-backed securities ..................... 3 -- 3 -- U.S. Treasury securities and obligations of U.S. .. government corporations and agencies ........... 67 -- 67 -- Obligations of states and political subdivisions .. 12 -- 12 -- Debt securities issued by foreign governments ..... 1 -- 1 -- ------- ------ ------ ---- Total fixed maturities held-for-trading .............. 410 -- 407 3 Short-term investments ............................... 67 -- 67 -- Derivative assets .................................... 24 -- 24 -- Separate account assets (2) .......................... 7,351 7,351 -- -- Embedded derivatives (1) ............................. 47 -- -- 47 ------- ------ ------ ---- TOTAL ASSETS AT FAIR VALUE .............................. $15,712 $7,351 $8,039 $322 ======= ====== ====== ==== LIABILITIES: Derivative liabilities ............................... 33 -- 33 -- Embedded derivatives (1) ............................. 148 -- 111 37 ------- ------ ------ ---- TOTAL LIABILITIES AT FAIR VALUE ......................... $ 181 $ -- $ 144 $ 37 ======= ====== ====== ====
F-37 JOHN HANCOCK LIFE INSURANCE COMPANY OF NEW YORK NOTES TO FINANCIAL STATEMENTS -- (CONTINUED) NOTE 11 -- FAIR VALUE OF FINANCIAL INSTRUMENTS - (CONTINUED)
DECEMBER 31, 2009 ---------------------------------------- TOTAL FAIR VALUE LEVEL 1 LEVEL 2 LEVEL 3 ---------- ------- ------- ------- (IN MILLIONS) ASSETS: Fixed maturities: Corporate securities................................... $ 623 $ -- $ 623 $-- U.S. Treasury securities and obligations of U.S. government corporations and agencies................ 479 -- 479 -- Obligations of states and political subdivisions....... 31 -- 31 -- Debt securities issued by foreign governments.......... 102 -- 102 -- Short-term investments.................................... 107 -- 107 -- Separate account assets (2)............................... 6,648 6,648 -- -- Embedded derivatives (1).................................. 41 -- -- 41 ------ ------ ------ --- TOTAL ASSETS AT FAIR VALUE................................... $8,031 $6,648 $1,342 $41 ====== ====== ====== === LIABILITIES: Embedded derivatives (1).................................. $ 53 $ -- $ -- $53 ------ ------ ------ --- TOTAL LIABILITIES AT FAIR VALUE.............................. $ 53 $ -- $ -- $53 ====== ====== ====== ===
(1) Derivative assets and liabilities are presented gross to reflect the presentation in the Balance Sheets, but are presented net for purposes of the Level 3 roll forward in the following table. Embedded derivatives related to fixed maturities and reinsurance contracts are reported as part of the derivative asset or liability on the Balance Sheets. Embedded derivatives related to benefit guarantees are reported as part of the reinsurance recoverable or future policy benefits on the Balance Sheets. Embedded derivatives related to participating pension contracts are reported as part of future policy benefits on the Balance Sheets. (2) Separate account assets are recorded at fair value. Investment performance related to separate account assets is fully offset by corresponding amounts credited to contract holders whose interest in the separate account assets is recorded by the Company as separate account liabilities. Separate account liabilities are set equal to the fair value of separate account assets as prescribed by ASC 944. F-38 JOHN HANCOCK LIFE INSURANCE COMPANY OF NEW YORK NOTES TO FINANCIAL STATEMENTS -- (CONTINUED) NOTE 11 -- FAIR VALUE OF FINANCIAL INSTRUMENTS - (CONTINUED) LEVEL 3 FINANCIAL INSTRUMENTS The changes in Level 3 financial instruments measured at fair value on a recurring basis for the years ended December 31, 2010 and 2009 are summarized as follows:
CHANGE IN UNREALIZED NET REALIZED GAINS (LOSSES) /UNREALIZED INCLUDED GAINS (LOSSES) TRANSFERS IN EARNINGS INCLUDED IN: PURCHASES, -------------- ON BALANCE AT ------------------ ISSUANCES, AND INTO OUT OF BALANCE AT INSTRUMENTS JANUARY 1, AOCI SETTLEMENTS LEVEL LEVEL DECEMBER STILL 2010 EARNINGS (2) (NET) 3 (3) 3 (3) 31, 2010 HELD ----------- --------- ------ -------------- ----- ------ ---------- -------------- (IN MILLIONS) Fixed maturities available-for-sale: Corporate debt securities $ -- $(2)(1) $14 $233 $26 $(16) $255 $-- Commercial mortgage-backed securities ............... -- -- -- 11 -- (1) 10 -- Obligations of states and political subdivisions ... -- -- -- 29 7 (29) 7 -- ---- --- --- ---- --- ---- ---- ---- Total fixed maturities available-for-sale .......... -- (2) 14 273 33 (46) 272 -- Fixed maturities held-for- trading: Corporate debt securities ... -- -- -- 4 -- (1) 3 -- ---- --- --- ---- --- ---- ---- ---- Total fixed maturities held-for-trading ............ -- -- -- 4 -- (1) 3 -- Net embedded derivatives ....... (12) 22(4) -- -- -- -- 10 22 ----- --- --- ---- --- ---- ---- ----- TOTAL .......................... $ (12) $20 $14 $277 $33 $(47) $285 $ 22 ===== === === ==== === ==== ==== =====
CHANGE IN UNREALIZED NET REALIZED GAINS (LOSSES) /UNREALIZED INCLUDED GAINS (LOSSES) TRANSFERS IN EARNINGS INCLUDED IN: PURCHASES, -------------- ON BALANCE AT ------------------ ISSUANCES, AND INTO OUT OF BALANCE AT INSTRUMENTS JANUARY 1, AOCI SETTLEMENTS LEVEL LEVEL DECEMBER STILL 2009 EARNINGS (2) (NET) 3 (3) 3 (3) 31, 2009 HELD ----------- --------- ------ -------------- ----- ------ ---------- -------------- (IN MILLIONS) Net embedded derivatives...... $(235) $223(4) $-- $-- $-- $-- $(12) $223 ----- ---- --- --- --- --- ---- ---- TOTAL......................... $(235) $223 $-- $-- $-- $-- $(12) $223 ===== ==== === === === === ==== ====
(1) This amount is included in net realized investment and other (losses) gains on the Statements of Operations. (2) This amount is included in accumulated other comprehensive income on the Balance Sheets. (3) For financial assets that are transferred into and/or out of Level 3, the Company uses the fair value of the assets at the beginning of the reporting period. (4) This amount is included in benefits to policyholders on the Statements of Operations. F-39 JOHN HANCOCK LIFE INSURANCE COMPANY OF NEW YORK NOTES TO FINANCIAL STATEMENTS -- (CONTINUED) NOTE 11 -- FAIR VALUE OF FINANCIAL INSTRUMENTS - (CONTINUED) The Company may hedge positions with offsetting positions that are classified in a different level. For example, the gains and losses for assets and liabilities in the Level 3 category presented in the tables above may not reflect the effect of offsetting gains and losses on hedging instruments that have been classified by the Company in the Level 1 and Level 2 categories. The transfers into Level 3 primarily result from securities that were impaired during the year or securities where a lack of observable market data (versus the previous year) resulted in reclassifying assets into Level 3. The transfers out of Level 3 primarily result from observable market data becoming available for that asset, thus eliminating the need to extrapolate market data beyond observable points. FINANCIAL INSTRUMENTS MEASURED AT FAIR VALUE ON A NONRECURRING BASIS Certain financial assets are reported at fair value on a nonrecurring basis, including investments such as mortgage loans, joint ventures, and limited partnership interests, which are reported at fair value only in the period in which an impairment is recognized. The fair value of these securities is calculated using either models that are widely accepted in the financial services industry or the valuation of collateral underlying impaired mortgages. During the reporting period, there were no assets or liabilities measured at fair value on a nonrecurring basis. NOTE 12 -- VALUE OF BUSINESS ACQUIRED The balance of and changes in VOBA as of and for the years ended December 31, were as follows:
DECEMBER 31, ------------- 2010 2009 ---- ---- (IN MILLIONS) Balance, beginning of year............................... $-- $-- Capitalization (1)....................................... 56 -- Amortization............................................. (8) -- Change in unrealized investment losses................... (6) -- --- --- Balance, end of year..................................... $42 $-- === ===
(1) Amount transferred from JHUSA on January 1, 2010 in connection with the NY transfer. The following table provides estimated future amortization (net of tax) for the periods indicated:
VOBA AMORTIZATION ------------- (IN MILLIONS) 2011.................................. $7 2012.................................. 7 2013.................................. 6 2014.................................. 3 2015.................................. 3
F-40 JOHN HANCOCK LIFE INSURANCE COMPANY OF NEW YORK NOTES TO FINANCIAL STATEMENTS -- (CONTINUED) NOTE 13 -- CERTAIN SEPARATE ACCOUNTS The Company issues variable annuity and variable life contracts through its separate accounts for which investment income and investment gains and losses accrue to, and investment risk is borne by, the contract holder. Most contracts contain certain guarantees, which are discussed more fully below. The assets supporting the variable portion of variable annuities are carried at fair value and reported on the Balance Sheets as separate account assets with an equivalent amount reported for separate account liabilities. Amounts assessed against the contract holders for mortality, administrative, and other services are included in revenue, and changes in liabilities for minimum guarantees are included in benefits to policyholders in the Company's Statements of Operations. For the years ended December 31, 2010 and 2009, there were no gains or losses on transfers of assets from the general account to the separate account. The deposits related to the variable life insurance contracts are invested in separate accounts, and the Company guarantees a specified death benefit on certain policies if specified premiums on these policies are paid by the policyholder, regardless of separate account performance. The following table reflects variable life insurance contracts with guarantees held by the Company:
DECEMBER 31, ------------ 2010 2009 ---- ---- (IN MILLIONS, EXCEPT FOR AGE) LIFE INSURANCE CONTRACTS WITH GUARANTEED BENEFITS In the event of death Account value................................... $63 $44 Net amount at risk related to deposits.......... 6 7 Average attained age of contract holders........ 46 45
Many of the variable annuity contracts issued by the Company offer various guaranteed minimum death, income, and/or withdrawal benefits. Guaranteed Minimum Death Benefit ("GMDB") features guarantee the contract holder either (a) a return of no less than total deposits made to the contract less any partial withdrawals, (b) total deposits made to the contract less any partial withdrawals plus a minimum return, (c) the highest contract value on a specified anniversary date minus any withdrawals following the contract anniversary, or (d) a combination benefit of (b) and (c) above. Contracts with Guaranteed Minimum Income Benefit ("GMIB") riders provide a guaranteed lifetime annuity, which may be elected by the contract holder after a stipulated waiting period (ten years), and which may be larger than what the contract account balance would purchase at then-current annuity purchase rates. Multiple variations of an optional GMWB rider have also been offered by the Company. The GMWB rider provides contract holders a guaranteed annual withdrawal amount over a specified time period or in some cases for as long as they live. In general, guaranteed annual withdrawal amounts are based on deposits and may be reduced if withdrawals exceed allowed amounts. Guaranteed amounts may also be increased as a result of "step-up" provisions which increase the benefit base to higher account values at specified intervals. Guaranteed amounts may also be increased if withdrawals are deferred over a specified period. In addition, certain versions of the GMWB rider extend lifetime guarantees to spouses. Unaffiliated reinsurance has been utilized to mitigate risk related to some of the guarantee benefit riders. Hedging has also been utilized to mitigate risk related to some of the GMWB riders. For GMDB, the net amount at risk is defined as the current guaranteed minimum death benefit in excess of the current account balance. For GMIB, the net amount at risk is defined as the excess of the current annuitization income base over the current account value. For GMWB, the net amount at risk is defined as the current guaranteed withdrawal amount minus the current account value. For all the guarantees, the net amount at risk is floored at zero at the single contract level. F-41 JOHN HANCOCK LIFE INSURANCE COMPANY OF NEW YORK NOTES TO FINANCIAL STATEMENTS -- (CONTINUED) NOTE 13 -- CERTAIN SEPARATE ACCOUNTS - (CONTINUED) The Company had the following variable annuity contracts with guarantees. Amounts at risk are shown net of reinsurance. Note that the Company's variable annuity contracts with guarantees may offer more than one type of guarantee in each contract; therefore, the amounts listed are not mutually exclusive.
DECEMBER 31, ------------------- 2010 2009 ------ ------- (IN MILLIONS, EXCEPT FOR AGES) GUARANTEED MINIMUM DEATH BENEFIT Return of net deposits In the event of death Account value ...................................... $1,545 $1,426 Net amount at risk - net of reinsurance ............ 38 103 Average attained age of contract holders ........... 65 64 Highest specified anniversary account value minus withdrawals post anniversary In the event of death Account value ...................................... $2,914 $2,827 Net amount at risk - net of reinsurance ............ 154 300 Average attained age of contract holders ........... 64 64 GUARANTEED MINIMUM INCOME BENEFIT Account value ...................................... $ 483 $ 477 Net amount at risk - net of reinsurance ............ -- -- Average attained age of contract holders ........... 61 61 GUARANTEED MINIMUM WITHDRAWAL BENEFIT Account value ...................................... $3,036 $2,802 Net amount at risk ................................. 355 470 Average attained age of contract holders ........... 64 63
Account balances of variable contracts with guarantees were invested in various separate accounts with the following characteristics:
DECEMBER 31, ---------------- 2010 2009 ------ ------- (IN MILLIONS) TYPE OF FUND Equity ................................... $2,477 $1,907 Balanced ................................. 1,290 1,617 Bonds .................................... 571 527 Money Market ............................. 79 111 ------ ------ Total ................................. $4,417 $4,162 ====== ======
F-42 JOHN HANCOCK LIFE INSURANCE COMPANY OF NEW YORK NOTES TO FINANCIAL STATEMENTS -- (CONTINUED) NOTE 13 -- CERTAIN SEPARATE ACCOUNTS - (CONTINUED) The following table summarizes the liabilities for guarantees on variable contracts reflected in the general account:
GUARANTEED GUARANTEED GUARANTEED MINIMUM MINIMUM MINIMUM DEATH INCOME WITHDRAWAL BENEFIT BENEFIT BENEFIT (GMDB) (GMIB) (GMWB) TOTAL ---------- ---------- ---------- ------ (IN MILLIONS) Balance at January 1, 2010 ................. $ 20 $ 6 $ 54 $ 80 Assumed reserves from NY transfer (1) ...... 11 -- -- 11 Incurred guarantee benefits ................ (9) -- -- (9) Other reserve changes ...................... 6 -- (15) (9) ---- ---- ----- ----- Balance at December 31, 2010 ............... 28 6 39 73 Reinsurance recoverable .................... -- (47) -- (47) ---- ---- ----- ----- Net balance at December 31, 2010 ........... $ 28 $(41) $ 39 $ 26 ---- ---- ----- ----- Balance at January 1, 2009 ................. $ 36 $ 12 $ 277 $ 325 Incurred guarantee benefits ................ (12) -- -- (12) Other reserve changes ...................... (4) (6) (223) (233) ---- ---- ----- ----- Balance at December 31, 2009 ............... 20 6 54 80 Reinsurance recoverable .................... -- (41) -- (41) ---- ---- ----- ----- Net balance at December 31, 2009 ........... $ 20 $(35) $ 54 $ 39 ==== ==== ===== =====
(1) Amount assumed from JHUSA on January 1, 2010. The GMDB gross and ceded reserves, the GMIB gross reserves, and the life contingent portion of the GMWB reserves were determined in accordance with ASC 944, and the GMIB reinsurance recoverable and non-life contingent GMWB gross reserve were determined in accordance with ASC 815. The Company regularly evaluates estimates used and adjusts the liability balance, with a related charge or credit to benefits to policyholders, if actual experience or other evidence suggests that earlier assumptions should be revised. The following assumptions and methodology were used to determine the amounts above at December 31, 2010 and 2009: - Data used included 1,000 stochastically generated investment performance scenarios. For ASC 815 calculations, risk neutral scenarios were used. - For life products, reserves were established using stochastic modeling of future separate account returns and best estimate mortality, lapse, and premium persistency assumptions, which vary by product. - Mean return and volatility assumptions were determined by asset classes. Market consistent observed volatilities were used where available for ASC 815 calculations. - Annuity mortality was based on the 1994 MGDB table multiplied by factors varied by rider types (living benefit/GMDB only) and qualified and non-qualified business. - Annuity lapse rates vary by contract type, commission type, duration, and by with or without living benefit or death benefit riders. The lapse rates range from 0.8% to 41.5% for GMDB and 0.3% to 41.5% for GMIB and GMWB. - The discount rate is 7% (in-force issued before 2004) or 6.4% (in-force issued after 2003) in the ASC 944 calculations. The discount rates used for ASC 815 calculations are based on the term structure of swap curves with a credit spread based on the credit standing of MFC (for GMWB) and the reinsurers (for GMIB). F-43 JOHN HANCOCK LIFE INSURANCE COMPANY OF NEW YORK NOTES TO FINANCIAL STATEMENTS -- (CONTINUED) NOTE 14 -- DEFERRED POLICY ACQUISITION COSTS AND DEFERRED SALES INDUCEMENTS The balance of and changes in deferred policy acquisition costs as of and for the years ended December 31, were as follows:
DECEMBER 31, ------------- 2010 2009 ----- ----- (IN MILLIONS) Balance, beginning of year ................................... $551 $ 553 Capitalization ............................................... 76 97 Amortization (1) ............................................. (58) (104) Change in unrealized investment (losses) gains ............... (9) 4 Adoption of ASC 320, recognition of other-than-temporary impairments ............................................... -- 1 ---- ----- Balance, end of year ......................................... $560 $ 551 ==== =====
The balance of and changes in deferred sales inducements ("DSI") as of and for the years ended December 31, were as follows:
DECEMBER 31, ------------- 2010 2009 ----- ----- (IN MILLIONS) Balance, beginning of year ................................... $37 $ 46 Capitalization ............................................... -- 2 Amortization (1) ............................................. (2) (10) Change in unrealized investment gains (losses) ............... -- (1) --- ----- Balance, end of year ......................................... $35 $ 37 === ====
(1) In 2010 and 2009, DAC and DSI amortization includes unlocking due to the estimated gross profit impact arising from the change in benefits to policyholders related to certain separate account guarantees. This unlocking contributed to the overall amortization change during the year. NOTE 15 -- SUBSEQUENT EVENTS The Company evaluated the recognition and disclosure of subsequent events for its December 31, 2010 financial statements through the date on which the financial statements were issued. F-44 AUDITED FINANCIAL STATEMENTS John Hancock Life Insurance Company of New York Separate Account A December 31, 2010 John Hancock Life Insurance Company of New York Separate Account A Audited Financial Statements December 31, 2010 CONTENTS Report of Independent Registered Public Accounting Firm ................... 1 Statements of Assets and Liabilities ...................................... 4 Statements of Operations and Changes in Contract Owners' Equity ........... 27 Notes to Financial Statements ............................................. 76 REPORT OF INDEPENDENT REGISTERED PUBLIC ACCOUNTING FIRM To the Contract Owners of John Hancock Life Insurance Company of New York Separate Account A We have audited the accompanying statements of assets and liabilities of John Hancock Life Insurance Company of New York Separate Account A, the "Account," comprised of the following sub-accounts, 500 Index Fund B Series NAV 500 Index Series I 500 Index Series II 500 Index Trust Series NAV Active Bond Series I Active Bond Series II All Cap Core Series I All Cap Core Series II All Cap Value Series I All Cap Value Series II American Asset Allocation Series I American Asset Allocation Series II American Blue-Chip Income & Growth Series II American Blue-Chip Income & Growth Series III American Bond Series II American Bond Series III American Fundamental Holdings Series II American Global Diversification Series II American Global Growth Series II American Global Small Capitalization Series II American Global Small Capitalization Series III American Growth Series II American Growth Series III American Growth-Income Series I American Growth-Income Series II American Growth-Income Series III American High-Income Bond Series II American High-Income Bond Series III American International Series II American International Series III American New World Series II Blue Chip Growth Series I Blue Chip Growth Series II Capital Appreciation Series I Capital Appreciation Series II Capital Appreciation Value Series II Core Allocation Plus Series II Core Allocation Series I Core Allocation Series II Core Balanced Series I Core Balanced Series II Core Balanced Strategy Series NAV Core Bond Series II Core Disciplined Diversification Series II Core Fundamental Holdings Series II Core Fundamental Holdings Series III Core Global Diversification Series II Core Global Diversification Series III Core Strategy Series II Core Strategy Series NAV Disciplined Diversification Series II DWS Equity 500 Index Equity-Income Series I Equity-Income Series II Financial Services Series I Financial Services Series II Founding Allocation Series II Fundamental Value Series I Fundamental Value Series II Global Bond Series I Global Bond Series II Global Trust Series I Global Trust Series II Health Sciences Series I Health Sciences Series II High Income Series II High Yield Series I High Yield Series II International Core Series I International Core Series II International Equity Index A Trust Series I International Equity Index A Trust Series II International Equity Index Series NAV International Opportunities Series II International Small Company Series I International Small Company Series II International Value Series I International Value Series II 1 Investment Quality Bond Series I Investment Quality Bond Series II Large Cap Series I Large Cap Series II Large Cap Value Series I Large Cap Value Series II Lifestyle Aggressive Series I Lifestyle Aggressive Series II Lifestyle Balanced Series I Lifestyle Balanced Series II Lifestyle Conservative Series I Lifestyle Conservative Series II Lifestyle Growth Series I Lifestyle Growth Series II Lifestyle Moderate Series I Lifestyle Moderate Series II Mid Cap Index Series I Mid Cap Index Series II Mid Cap Stock Series I Mid Cap Stock Series II Mid Value Series I Mid Value Series II Money Market Series I Money Market Series II Money Market Trust B Series NAV Mutual Shares Series I Natural Resources Series II Optimized All Cap Series II Optimized Value Series II PIMCO All Asset Real Estate Securities Series I Real Estate Securities Series II Real Return Bond Series II Science & Technology Series I Science & Technology Series II Short Term Government Income Series I Short Term Government Income Series II Small Cap Growth Series II Small Cap Index Series I Small Cap Index Series II Small Cap Opportunities Series I Small Cap Opportunities Series II Small Cap Value Series II Small Company Value Series I Small Company Value Series II Smaller Company Growth Series I Smaller Company Growth Series II Strategic Income Opportunities Series I Strategic Income Opportunities Series II Total Bond Market Trust A Series II Total Bond Market Trust A Series NAV Total Return Series I Total Return Series II Total Stock Market Index Series I Total Stock Market Index Series II Ultra Short Term Bond Series II Utilities Series I Utilities Series II Value Series I Value Series II 2 as of December 31, 2010, and the related statements of operations and changes in contract owners' equity for the above mentioned sub-accounts and for the All Cap Growth Series I, All Cap Growth Series II, CGTC Overseas Equity Series II, Pacific Rim Series I, Pacific Rim Series II, Strategic Bond Series I, Strategic Bond Series II, U.S. Government Securities Series I, U.S. Government Securities Series II, and U.S. High Yield Series II sub-accounts (the "closed sub-accounts") for each of the periods indicated therein. These financial statements are the responsibility of the Account's management. Our responsibility is to express an opinion on these financial statements based on our audits. We conducted our audits in accordance with the standards of the Public Company Accounting Oversight Board (United States). Those standards require that we plan and perform the audit to obtain reasonable assurance about whether the financial statements are free of material misstatement. We were not engaged to perform an audit of the Account's internal control over financial reporting. Our audits included consideration of internal control over financial reporting as a basis for designing audit procedures that are appropriate in the circumstances, but not for the purpose of expressing an opinion on the effectiveness of the Account's internal control over financial reporting. Accordingly, we express no such opinion. An audit also includes examining, on a test basis, evidence supporting the amounts and disclosures in the financial statements, assessing the accounting principles used and significant estimates made by management and evaluating the overall financial statement presentation. Our procedures included confirmation of securities owned as of December 31, 2010, by correspondence with the underlying Portfolios. We believe that our audits provide a reasonable basis for our opinion. In our opinion, the financial statements referred to above present fairly, in all material respects, the financial position of each of the above mentioned sub-accounts constituting John Hancock Life Insurance Company of New York Separate Account A at December 31, 2010, and the results of their and the closed sub-accounts' operations and changes in contract owners' equity for each of the periods indicated therein, in conformity with U.S. generally accepted accounting principles. /s/ ERNST & YOUNG LLP Boston, Massachusetts March 30, 2011 3 JOHN HANCOCK LIFE INSURANCE COMPANY OF NEW YORK SEPARATE ACCOUNT A STATEMENTS OF ASSETS AND LIABILITIES DECEMBER 31, 2010
500 Index 500 Index Fund B 500 Index 500 Index Trust Active Bond Active Bond Series NAV Series I Series II Series NAV Series I Series II ---------- ---------- ----------- ---------- ----------- ----------- TOTAL ASSETS Investments at fair value $6,360,843 $2,586,179 $10,647,992 $958,413 $4,098,943 $47,666,099 ========== ========== =========== ======== ========== =========== NET ASSETS Contracts in accumulation $6,360,843 $2,586,179 $10,632,717 $958,413 $4,098,943 $47,666,099 Contracts in payout (annuitization) -- -- 15,275 -- -- -- ---------- ---------- ----------- -------- ---------- ----------- Total net assets $6,360,843 $2,586,179 $10,647,992 $958,413 $4,098,943 $47,666,099 ========== ========== =========== ======== ========== =========== Units outstanding 597,448 244,336 749,755 54,645 255,460 3,013,411 Unit value $ 10.65 $ 10.58 $ 14.20 $ 17.54 $ 16.05 $ 15.82 Shares 404,891 234,894 970,647 88,333 422,136 4,903,919 Cost $7,220,440 $2,472,850 $10,162,344 $870,184 $3,963,514 $46,239,860
See accompanying notes. 4 JOHN HANCOCK LIFE INSURANCE COMPANY OF NEW YORK SEPARATE ACCOUNT A STATEMENTS OF ASSETS AND LIABILITIES DECEMBER 31, 2010
American American All Cap All Cap All Cap All Cap Asset Asset Core Core Value Value Allocation Allocation Series I Series II Series I Series II Series I Series II ---------- ---------- ---------- ---------- ---------- ------------ TOTAL ASSETS Investments at fair value $3,460,680 $1,115,631 $1,724,788 $4,997,742 $8,268,102 $107,550,475 ========== ========== ========== ========== ========== ============ NET ASSETS Contracts in accumulation $3,460,680 $1,115,631 $1,724,788 $4,997,742 $8,257,635 $107,550,475 Contracts in payout (annuitization) -- -- -- -- 10,467 -- ---------- ---------- ---------- ---------- ---------- ------------ Total net assets $3,460,680 $1,115,631 $1,724,788 $4,997,742 $8,268,102 $107,550,475 ========== ========== ========== ========== ========== ============ Units outstanding 222,732 72,091 99,334 272,008 710,831 9,291,199 Unit value $ 15.54 $ 15.48 $ 17.36 $ 18.37 $ 11.63 $ 11.58 Shares 209,105 67,491 206,561 599,250 750,963 9,768,436 Cost $2,860,620 $1,226,004 $1,666,181 $5,235,554 $6,464,772 $ 97,376,030
See accompanying notes. 5 JOHN HANCOCK LIFE INSURANCE COMPANY OF NEW YORK SEPARATE ACCOUNT A STATEMENTS OF ASSETS AND LIABILITIES DECEMBER 31, 2010
American American American American Blue-Chip Blue-Chip American Fundamental Global Income & Growth Income & Growth American Bond Bond Holdings Diversification Series II Series III Series II Series III Series II Series II --------------- --------------- ------------- ---------- ----------- --------------- TOTAL ASSETS Investments at fair value $ 9,435,469 $364,714 $92,938,095 $537,656 $80,652,138 $54,657,340 =========== ======== =========== ======== =========== =========== NET ASSETS Contracts in accumulation $ 9,435,469 $364,714 $92,938,095 $537,656 $80,652,138 $54,657,340 Contracts in payout (annuitization) -- -- -- -- -- -- ----------- -------- ----------- -------- ----------- ----------- Total net assets $ 9,435,469 $364,714 $92,938,095 $537,656 $80,652,138 $54,657,340 =========== ======== =========== ======== =========== =========== Units outstanding 556,024 30,505 6,924,316 40,945 6,973,611 4,571,948 Unit value $ 16.97 $ 11.96 $ 13.42 $ 13.13 $ 11.57 $ 11.95 Shares 831,319 32,190 7,693,551 44,582 7,792,477 5,240,397 Cost $11,492,079 $336,682 $96,180,630 $542,857 $69,813,694 $47,416,805
See accompanying notes. 6 JOHN HANCOCK LIFE INSURANCE COMPANY OF NEW YORK SEPARATE ACCOUNT A STATEMENTS OF ASSETS AND LIABILITIES DECEMBER 31, 2010
American American Global Small Global Small American American American Global Capitalization Capitalization Growth Growth American Growth- Growth Series II Series II Series III Series II Series III Income Series I ---------------- -------------- -------------- ------------ ---------- ---------------- TOTAL ASSETS Investments at fair value $13,941,723 $5,291,796 $10,304 $137,648,718 $254,348 $8,666,179 =========== ========== ======= ============ ======== ========== NET ASSETS Contracts in accumulation $13,941,723 $5,291,796 $10,304 $137,637,047 $254,348 $8,666,179 Contracts in payout (annuitization) -- -- -- 11,671 -- -- ----------- ---------- ------- ------------ -------- ---------- Total net assets $13,941,723 $5,291,796 $10,304 $137,648,718 $254,348 $8,666,179 =========== ========== ======= ============ ======== ========== Units outstanding 1,145,847 454,695 822 7,522,530 20,995 504,702 Unit value $ 12.17 $ 11.64 $ 12.54 $ 18.30 $ 12.11 $ 17.17 Shares 1,241,471 523,940 1,019 8,829,295 16,336 582,013 Cost $13,617,770 $4,348,181 $ 7,595 $144,614,316 $225,948 $6,397,999
See accompanying notes. 7 JOHN HANCOCK LIFE INSURANCE COMPANY OF NEW YORK SEPARATE ACCOUNT A STATEMENTS OF ASSETS AND LIABILITIES DECEMBER 31, 2010
American American American High- American High- American American Growth-Income Growth-Income Income Bond Income Bond International International Series II Series III Series II Series III Series II Series III ------------- ------------- -------------- -------------- ------------- ------------- TOTAL ASSETS Investments at fair value $122,472,507 $20,607 $5,127,047 $274,254 $79,176,836 $222,420 ============ ======= ========== ======== =========== ======== NET ASSETS Contracts in accumulation $122,462,375 $20,607 $5,127,047 $274,254 $79,176,836 $222,420 Contracts in payout (annuitization) 10,132 -- -- -- -- -- ------------ ------- ---------- -------- ----------- -------- Total net assets $122,472,507 $20,607 $5,127,047 $274,254 $79,176,836 $222,420 ============ ======= ========== ======== =========== ======== Units outstanding 7,610,502 1,720 375,058 17,939 3,470,576 18,249 Unit value $ 16.09 $ 11.98 $ 13.67 $ 15.29 $ 22.81 $ 12.19 Shares 8,236,214 1,387 469,080 25,138 4,854,496 13,662 Cost $133,475,139 $17,098 $4,790,500 $266,082 $87,575,173 $209,633
See accompanying notes. 8 JOHN HANCOCK LIFE INSURANCE COMPANY OF NEW YORK SEPARATE ACCOUNT A STATEMENTS OF ASSETS AND LIABILITIES DECEMBER 31, 2010
American Capital Capital Capital New World Blue Chip Blue Chip Appreciation Appreciation Appreciation Series II Growth Series I Growth Series II Series I Series II Value Series II ---------- --------------- ---------------- ------------ ------------ --------------- TOTAL ASSETS Investments at fair value $6,674,761 $22,001,609 $17,961,914 $12,339,135 $10,381,711 $22,084,157 ========== =========== =========== =========== =========== =========== NET ASSETS Contracts in accumulation $6,674,761 $21,961,997 $17,961,914 $12,339,135 $10,381,711 $22,084,157 Contracts in payout (annuitization) -- 39,612 -- -- -- -- ---------- ----------- ----------- ----------- ----------- ----------- Total net assets $6,674,761 $22,001,609 $17,961,914 $12,339,135 $10,381,711 $22,084,157 ========== =========== =========== =========== =========== =========== Units outstanding 468,445 1,103,152 1,175,177 1,256,921 687,646 1,706,388 Unit value $ 14.25 $ 19.94 $ 15.28 $ 9.82 $ 15.10 $ 12.94 Shares 485,790 1,086,499 891,410 1,241,362 1,053,981 1,922,033 Cost $5,787,725 $17,617,197 $15,691,269 $11,171,436 $ 9,301,205 $18,278,053
See accompanying notes. 9 JOHN HANCOCK LIFE INSURANCE COMPANY OF NEW YORK SEPARATE ACCOUNT A STATEMENTS OF ASSETS AND LIABILITIES DECEMBER 31, 2010
Core Allocation Core Core Core Core Core Balanced Plus Allocation Allocation Balanced Balanced Strategy Series Series II Series I Series II Series I Series II NAV ---------- ---------- ---------- -------- ----------- --------------- TOTAL ASSETS Investments at fair value $9,097,479 $59,434 $7,737,553 $183,696 $13,941,573 $224,898 ========== ======= ========== ======== =========== ======== NET ASSETS Contracts in accumulation $9,097,479 $59,434 $7,737,553 $183,696 $13,941,573 $224,898 Contracts in payout (annuitization) -- -- -- -- -- -- ---------- ------- ---------- -------- ----------- -------- Total net assets $9,097,479 $59,434 $7,737,553 $183,696 $13,941,573 $224,898 ========== ======= ========== ======== =========== ======== Units outstanding 776,549 3,653 471,067 11,234 839,588 15,082 Unit value $ 11.72 $ 16.27 $ 16.43 $ 16.35 $ 16.61 $ 14.91 Shares 834,631 3,731 485,722 11,194 848,544 15,341 Cost $7,236,738 $55,727 $7,247,579 $161,400 $12,916,575 $208,744
See accompanying notes. 10 JOHN HANCOCK LIFE INSURANCE COMPANY OF NEW YORK SEPARATE ACCOUNT A STATEMENTS OF ASSETS AND LIABILITIES DECEMBER 31, 2010
Core Core Core Disciplined Fundamental Fundamental Core Global Core Global Core Bond Diversification Holdings Holdings Diversification Diversification Series II Series II Series II Series III Series II Series III --------- --------------- ----------- ----------- --------------- --------------- TOTAL ASSETS Investments at fair value $900,000 $12,674,828 $20,481,928 $19,810 $21,939,663 $157,794 ======== =========== =========== ======= =========== ======== NET ASSETS Contracts in accumulation $900,000 $12,674,828 $20,481,928 $19,810 $21,939,663 $157,794 Contracts in payout (annuitization) -- -- -- -- -- -- -------- ----------- ----------- ------- ----------- -------- Total net assets $900,000 $12,674,828 $20,481,928 $19,810 $21,939,663 $157,794 ======== =========== =========== ======= =========== ======== Units outstanding 59,094 745,797 1,288,391 1,253 1,353,080 9,813 Unit value $ 15.23 $ 17.00 $ 15.90 $ 15.81 $ 16.21 $ 16.08 Shares 65,790 751,769 1,301,266 1,260 1,369,517 9,862 Cost $848,811 $11,935,634 $19,252,029 $19,569 $20,827,614 $147,135
See accompanying notes. 11 JOHN HANCOCK LIFE INSURANCE COMPANY OF NEW YORK SEPARATE ACCOUNT A STATEMENTS OF ASSETS AND LIABILITIES DECEMBER 31, 2010
Disciplined Core Strategy Core Strategy Diversification DWS Equity Equity-Income Equity-Income Series II Series NAV Series II 500 Index Series I Series II ------------- ------------- --------------- ---------- ------------- ------------- TOTAL ASSETS Investments at fair value $56,653,449 $471,587 $8,972,381 $4,243,191 $29,279,973 $24,674,763 =========== ======== ========== ========== =========== =========== NET ASSETS Contracts in accumulation $56,653,449 $471,587 $8,972,381 $4,243,191 $29,258,560 $24,674,763 Contracts in payout (annuitization) -- -- -- -- 21,413 -- ----------- -------- ---------- ---------- ----------- ----------- Total net assets $56,653,449 $471,587 $8,972,381 $4,243,191 $29,279,973 $24,674,763 =========== ======== ========== ========== =========== =========== Units outstanding 4,192,363 29,704 703,845 216,100 1,009,386 1,619,885 Unit value $ 13.51 $ 15.88 $ 12.75 $ 19.64 $ 29.01 $ 15.23 Shares 4,460,902 37,221 727,687 322,676 2,111,029 1,782,859 Cost $53,720,326 $408,873 $6,818,990 $4,187,287 $32,068,669 $26,492,205
See accompanying notes. 12 JOHN HANCOCK LIFE INSURANCE COMPANY OF NEW YORK SEPARATE ACCOUNT A STATEMENTS OF ASSETS AND LIABILITIES DECEMBER 31, 2010
Financial Financial Founding Fundamental Fundamental Services Services Allocation Value Value Global Bond Series I Series II Series II Series I Series II Series I --------- ---------- ----------- ----------- ----------- ----------- TOTAL ASSETS Investments at fair value $843,150 $4,735,385 $93,003,433 $29,715,275 $38,467,246 $3,817,486 ======== ========== =========== =========== =========== ========== NET ASSETS Contracts in accumulation $843,150 $4,735,385 $93,003,433 $29,702,399 $38,467,246 $3,817,486 Contracts in payout (annuitization) -- -- -- 12,876 -- -- -------- ---------- ----------- ----------- ----------- ---------- Total net assets $843,150 $4,735,385 $93,003,433 $29,715,275 $38,467,246 $3,817,486 ======== ========== =========== =========== =========== ========== Units outstanding 63,011 337,796 8,710,530 2,046,036 2,527,288 130,685 Unit value $ 13.38 $ 14.02 $ 10.68 $ 14.52 $ 15.22 $ 29.21 Shares 71,212 401,644 9,328,328 2,076,539 2,691,900 295,471 Cost $737,035 $4,536,173 $96,227,081 $21,789,513 $36,157,274 $3,787,315
See accompanying notes. 13 JOHN HANCOCK LIFE INSURANCE COMPANY OF NEW YORK SEPARATE ACCOUNT A STATEMENTS OF ASSETS AND LIABILITIES DECEMBER 31, 2010
Global Bond Global Trust Global Trust Health Sciences Health Sciences High Income Series II Series I Series II Series I Series II Series II ----------- ------------ ------------ --------------- --------------- ----------- TOTAL ASSETS Investments at fair value $18,637,399 $9,355,713 $5,009,225 $2,017,251 $6,838,296 $1,162,727 =========== ========== ========== ========== ========== ========== NET ASSETS Contracts in accumulation $18,637,399 $9,347,880 $5,009,225 $2,017,251 $6,838,296 $1,162,727 Contracts in payout (annuitization) -- 7,833 -- -- -- -- ----------- ---------- ---------- ---------- ---------- ---------- Total net assets $18,637,399 $9,355,713 $5,009,225 $2,017,251 $6,838,296 $1,162,727 =========== ========== ========== ========== ========== ========== Units outstanding 937,014 361,316 329,717 99,428 320,261 92,392 Unit value $ 19.89 $ 25.89 $ 15.19 $ 20.29 $ 21.35 $ 12.58 Shares 1,451,511 646,113 346,899 129,727 449,002 162,166 Cost $18,779,379 $9,407,292 $5,980,686 $1,782,047 $6,045,788 $1,448,491
See accompanying notes. 14 JOHN HANCOCK LIFE INSURANCE COMPANY OF NEW YORK SEPARATE ACCOUNT A STATEMENTS OF ASSETS AND LIABILITIES DECEMBER 31, 2010
International International High Yield High Yield International International Equity Index A Equity Index A Series I Series II Core Series I Core Series II Trust Series I Trust Series II ---------- ---------- ------------- -------------- -------------- --------------- TOTAL ASSETS Investments at fair value $3,254,178 $7,613,577 $2,106,797 $1,799,690 $2,206,181 $5,687,639 ========== ========== ========== ========== ========== ========== NET ASSETS Contracts in accumulation $3,246,408 $7,611,723 $2,100,837 $1,799,690 $2,205,608 $5,687,639 Contracts in payout (annuitization) 7,770 1,854 5,960 -- 573 -- ---------- ---------- ---------- ---------- ---------- ---------- Total net assets $3,254,178 $7,613,577 $2,106,797 $1,799,690 $2,206,181 $5,687,639 ========== ========== ========== ========== ========== ========== Units outstanding 175,856 385,269 150,783 111,847 115,358 307,086 Unit value $ 18.50 $ 19.76 $ 13.97 $ 16.09 $ 19.12 $ 18.52 Shares 547,841 1,264,714 215,639 182,710 199,302 513,325 Cost $4,036,074 $9,453,167 $2,646,809 $2,119,613 $2,668,819 $6,722,143
See accompanying notes. 15 JOHN HANCOCK LIFE INSURANCE COMPANY OF NEW YORK SEPARATE ACCOUNT A STATEMENTS OF ASSETS AND LIABILITIES DECEMBER 31, 2010
International International International International International International Equity Index Opportunities Small Company Small Company Value Value Series NAV Series II Series I Series II Series I Series II ------------- ------------- ------------- ------------- ------------- ------------- TOTAL ASSETS Investments at fair value $2,866,085 $3,619,551 $3,023,843 $5,826,290 $7,726,084 $15,513,374 ========== ========== ========== ========== ========== =========== NET ASSETS Contracts in accumulation $2,866,085 $3,619,551 $3,023,149 $5,826,290 $7,723,996 $15,513,374 Contracts in payout (annuitization) -- -- 694 -- 2,088 -- ---------- ---------- ---------- ---------- ---------- ----------- Total net assets $2,866,085 $3,619,551 $3,023,843 $5,826,290 $7,726,084 $15,513,374 ========== ========== ========== ========== ========== =========== Units outstanding 265,456 234,291 203,803 394,175 440,077 798,580 Unit value $ 10.80 $ 15.45 $ 14.84 $ 14.78 $ 17.56 $ 19.43 Shares 179,918 286,584 287,985 554,885 638,519 1,284,219 Cost $3,206,996 $3,516,581 $2,598,718 $5,014,121 $9,518,884 $18,911,655
See accompanying notes. 16 JOHN HANCOCK LIFE INSURANCE COMPANY OF NEW YORK SEPARATE ACCOUNT A STATEMENTS OF ASSETS AND LIABILITIES DECEMBER 31, 2010
Investment Investment Quality Bond Quality Bond Large Cap Large Cap Large Cap Large Cap Series I Series II Series I Series II Value Series I Value Series II ------------ ------------ ----------- ---------- -------------- --------------- TOTAL ASSETS Investments at fair value $6,614,026 $26,939,091 $11,493,103 $1,160,245 $ 926,415 $4,615,110 ========== =========== =========== ========== ========== ========== NET ASSETS Contracts in accumulation $6,598,478 $26,939,091 $11,493,103 $1,160,245 $ 926,415 $4,615,110 Contracts in payout (annuitization) 15,548 -- -- -- -- -- ---------- ----------- ----------- ---------- ---------- ---------- Total net assets $6,614,026 $26,939,091 $11,493,103 $1,160,245 $ 926,415 $4,615,110 ========== =========== =========== ========== ========== ========== Units outstanding 262,376 1,566,059 859,641 87,817 49,718 249,351 Unit value $ 25.21 $ 17.20 $ 13.37 $ 13.21 $ 18.63 $ 18.51 Shares 585,308 2,381,883 929,863 94,099 55,741 278,354 Cost $6,558,969 $26,754,288 $14,289,526 $1,346,515 $1,108,120 $5,534,902
See accompanying notes. 17 JOHN HANCOCK LIFE INSURANCE COMPANY OF NEW YORK SEPARATE ACCOUNT A STATEMENTS OF ASSETS AND LIABILITIES DECEMBER 31, 2010
Lifestyle Lifestyle Lifestyle Lifestyle Lifestyle Lifestyle Aggressive Aggressive Balanced Balanced Conservative Conservative Series I Series II Series I Series II Series I Series II ---------- ----------- ----------- ------------- ------------ ------------ TOTAL ASSETS Investments at fair value $2,562,023 $34,935,351 $26,553,787 $910,708,888 $11,142,048 $229,081,633 ========== =========== =========== ============ =========== ============ NET ASSETS Contracts in accumulation $2,562,023 $34,935,351 $26,532,426 $910,461,533 $11,142,048 $229,081,633 Contracts in payout (annuitization) -- -- 21,361 247,355 -- -- ---------- ----------- ----------- ------------ ----------- ------------ Total net assets $2,562,023 $34,935,351 $26,553,787 $910,708,888 $11,142,048 $229,081,633 ========== =========== =========== ============ =========== ============ Units outstanding 162,469 2,052,754 1,410,143 56,894,217 547,415 13,932,363 Unit value $ 15.77 $ 17.02 $ 18.83 $ 16.01 $ 20.35 $ 16.44 Shares 306,829 4,193,920 2,261,822 77,904,952 886,400 18,311,881 Cost $2,618,461 $37,635,172 $26,332,394 $938,299,476 $10,373,890 $211,078,622
See accompanying notes. 18 JOHN HANCOCK LIFE INSURANCE COMPANY OF NEW YORK SEPARATE ACCOUNT A STATEMENTS OF ASSETS AND LIABILITIES DECEMBER 31, 2010
Lifestyle Lifestyle Lifestyle Lifestyle Growth Growth Moderate Moderate Mid Cap Index Mid Cap Index Series I Series II Series I Series II Series I Series II ----------- -------------- ----------- ------------ ------------- ------------- TOTAL ASSETS Investments at fair value $17,871,210 $ 981,607,196 $13,479,556 $324,398,052 $1,920,821 $11,969,026 =========== ============== =========== ============ ========== =========== NET ASSETS Contracts in accumulation $17,871,210 $ 981,435,127 $13,479,556 $324,398,052 $1,920,821 $11,969,026 Contracts in payout (annuitization) -- 172,069 -- -- -- -- ----------- -------------- ----------- ------------ ---------- ----------- Total net assets $17,871,210 $ 981,607,196 $13,479,556 $324,398,052 $1,920,821 $11,969,026 =========== ============== =========== ============ ========== =========== Units outstanding 1,039,719 63,086,541 695,933 20,211,324 89,699 620,385 Unit value $ 17.19 $ 15.56 $ 19.37 $ 16.05 $ 21.41 $ 19.29 Shares 1,564,905 86,105,894 1,122,361 27,123,583 108,276 676,216 Cost $18,825,003 $1,046,133,535 $13,267,170 $310,770,316 $1,694,818 $10,711,425
See accompanying notes. 19 JOHN HANCOCK LIFE INSURANCE COMPANY OF NEW YORK SEPARATE ACCOUNT A STATEMENTS OF ASSETS AND LIABILITIES DECEMBER 31, 2010
Mid Cap Stock Mid Cap Stock Mid Value Mid Value Money Market Money Market Series I Series II Series I Series II Series I Series II ------------- ------------- ---------- ----------- ------------ ------------ TOTAL ASSETS Investments at fair value $10,302,151 $17,115,088 $4,084,783 $12,804,101 $10,277,716 $58,457,292 =========== =========== ========== =========== =========== =========== NET ASSETS Contracts in accumulation $10,302,151 $17,115,088 $4,071,897 $12,804,101 $10,262,601 $58,457,292 Contracts in payout (annuitization) -- -- 12,886 -- 15,115 -- ----------- ----------- ---------- ----------- ----------- ----------- Total net assets $10,302,151 $17,115,088 $4,084,783 $12,804,101 $10,277,716 $58,457,292 =========== =========== ========== =========== =========== =========== Units outstanding 591,585 813,035 237,261 747,969 641,917 4,659,224 Unit value $ 17.41 $ 21.05 $ 17.22 $ 17.12 $ 16.01 $ 12.55 Shares 729,098 1,236,639 367,336 1,151,448 10,277,717 58,457,292 Cost $10,752,971 $17,516,938 $2,732,400 $ 8,624,136 $10,277,717 $58,457,292
See accompanying notes. 20 JOHN HANCOCK LIFE INSURANCE COMPANY OF NEW YORK SEPARATE ACCOUNT A STATEMENTS OF ASSETS AND LIABILITIES DECEMBER 31, 2010
Money Natural Market Trust Mutual Shares Resources Optimized All Optimized Value B Series NAV Series I Series II Cap Series II Series II PIMCO All Asset ------------ ------------- ----------- ------------- --------------- --------------- TOTAL ASSETS Investments at fair value $4,416,639 $431,547 $15,562,436 $7,484,420 $2,249,184 $3,452,509 ========== ======== =========== ========== ========== ========== NET ASSETS Contracts in accumulation $4,416,639 $431,547 $15,562,436 $7,484,420 $2,249,184 $3,452,509 Contracts in payout (annuitization) -- -- -- -- -- -- ---------- -------- ----------- ---------- ---------- ---------- Total net assets $4,416,639 $431,547 $15,562,436 $7,484,420 $2,249,184 $3,452,509 ========== ======== =========== ========== ========== ========== Units outstanding 354,292 36,991 436,135 423,707 164,831 200,424 Unit value $ 12.47 $ 11.67 $ 35.68 $ 17.66 $ 13.65 $ 17.23 Shares 4,416,639 43,856 1,233,157 581,089 227,190 312,162 Cost $4,416,639 $406,239 $11,439,548 $9,256,037 $3,006,393 $3,398,145
See accompanying notes. 21 JOHN HANCOCK LIFE INSURANCE COMPANY OF NEW YORK SEPARATE ACCOUNT A STATEMENTS OF ASSETS AND LIABILITIES DECEMBER 31, 2010
Real Estate Real Estate Real Return Science & Science & Short Term Securities Securities Bond Technology Technology Government Series I Series II Series II Series I Series II Income Series I ----------- ----------- ----------- ---------- ---------- --------------- TOTAL ASSETS Investments at fair value $3,087,127 $10,202,032 $ 9,311,869 $8,333,390 $6,815,469 $10,263,448 ========== =========== =========== ========== ========== =========== NET ASSETS Contracts in accumulation $3,083,851 $10,202,032 $ 9,311,869 $8,307,874 $6,815,469 $10,263,448 Contracts in payout (annuitization) 3,276 -- -- 25,516 -- -- ---------- ----------- ----------- ---------- ---------- ----------- Total net assets $3,087,127 $10,202,032 $ 9,311,869 $8,333,390 $6,815,469 $10,263,448 ========== =========== =========== ========== ========== =========== Units outstanding 101,289 432,280 572,059 649,939 385,284 814,226 Unit value $ 30.48 $ 23.60 $ 16.28 $ 12.82 $ 17.69 $ 12.61 Shares 271,515 895,701 812,554 492,808 408,601 794,385 Cost $3,153,145 $ 9,163,269 $10,089,704 $5,862,601 $5,146,505 $10,235,754
See accompanying notes. 22 JOHN HANCOCK LIFE INSURANCE COMPANY OF NEW YORK SEPARATE ACCOUNT A STATEMENTS OF ASSETS AND LIABILITIES DECEMBER 31, 2010
Short Term Small Cap Small Cap Small Cap Small Cap Small Cap Government Income Growth Index Index Opportunities Opportunities Series II Series II Series I Series II Series I Series II ----------------- ---------- --------- ---------- ------------- ------------- TOTAL ASSETS Investments at fair value $11,557,501 $2,591,582 $732,141 $8,567,580 $1,864,355 $5,378,218 =========== ========== ======== ========== ========== ========== NET ASSETS: Contracts in accumulation $11,557,501 $2,591,582 $732,141 $8,558,844 $1,864,355 $5,378,218 Contracts in payout (annuitization) -- -- -- 8,736 -- -- ----------- ---------- -------- ---------- ---------- ---------- Total net assets $11,557,501 $2,591,582 $732,141 $8,567,580 $1,864,355 $5,378,218 =========== ========== ======== ========== ========== ========== Units outstanding 918,610 148,482 42,319 477,159 86,350 258,126 Unit value $ 12.58 $ 17.45 $ 17.30 $ 17.96 $ 21.59 $ 20.84 Shares 893,851 259,677 52,258 613,284 95,217 276,657 Cost $11,550,207 $2,035,034 $707,021 $8,863,821 $1,722,016 $4,981,292
See accompanying notes. 23 JOHN HANCOCK LIFE INSURANCE COMPANY OF NEW YORK SEPARATE ACCOUNT A STATEMENTS OF ASSETS AND LIABILITIES DECEMBER 31, 2010
Small Cap Small Company Small Company Smaller Company Smaller Company Strategic Income Value Value Value Growth Growth Opportunities Series II Series I Series II Series I Series II Series I ---------- ------------- ------------- --------------- --------------- ---------------- TOTAL ASSETS Investments at fair value $3,697,409 $4,530,268 $12,957,174 $2,651,467 $3,213,522 $7,358,982 ========== ========== =========== ========== ========== ========== NET ASSETS: Contracts in accumulation $3,697,409 $4,530,268 $12,957,174 $2,651,467 $3,213,522 $7,358,982 Contracts in payout (annuitization) -- -- -- -- -- -- ---------- ---------- ----------- ---------- ---------- ---------- Total net assets $3,697,409 $4,530,268 $12,957,174 $2,651,467 $3,213,522 $7,358,982 ========== ========== =========== ========== ========== ========== Units outstanding 212,689 179,148 643,617 163,910 199,274 400,195 Unit value $ 17.38 $ 25.29 $ 20.13 $ 16.18 $ 16.13 $ 18.39 Shares 196,045 265,393 765,338 150,737 183,107 525,642 Cost $3,004,714 $4,588,776 $13,336,723 $2,110,252 $2,537,393 $7,761,170
See accompanying notes. 24 JOHN HANCOCK LIFE INSURANCE COMPANY OF NEW YORK SEPARATE ACCOUNT A STATEMENTS OF ASSETS AND LIABILITIES DECEMBER 31, 2010
Strategic Income Total Bond Total Bond Total Stock Opportunities Market Trust A Market Trust A Total Return Total Return Market Index Series II Series II Series NAV Series I Series II Series I ---------------- -------------- -------------- ------------- ------------ ------------ TOTAL ASSETS Investments at fair value $12,429,624 $1,348,037 $660,921 $18,678,850 $35,301,614 $496,079 =========== ========== ======== =========== =========== ======== NET ASSETS: Contracts in accumulation $12,423,690 $1,348,037 $660,921 $18,649,227 $35,292,264 $496,079 Contracts in payout (annuitization) 5,934 -- -- 29,623 9,350 -- ----------- ---------- -------- ----------- ----------- -------- Total net assets $12,429,624 $1,348,037 $660,921 $18,678,850 $35,301,614 $496,079 =========== ========== ======== =========== =========== ======== Units outstanding 686,997 102,841 48,571 868,495 1,928,887 41,604 Unit value $ 18.09 $ 13.11 $ 13.61 $ 21.51 $ 18.30 $ 11.92 Shares 886,564 97,542 47,893 1,292,654 2,444,710 42,364 Cost $12,942,951 $1,376,068 $667,249 $17,861,297 $33,783,968 $492,502
See accompanying notes. 25 JOHN HANCOCK LIFE INSURANCE COMPANY OF NEW YORK SEPARATE ACCOUNT A STATEMENTS OF ASSETS AND LIABILITIES DECEMBER 31, 2010
Total Stock Ultra Short Market Index Term Bond Utilities Utilities Series II Series II Series I Series II Value Series I Value Series II ------------ ----------- ---------- ---------- -------------- --------------- TOTAL ASSETS Investments at fair value $8,253,083 $1,010,235 $2,093,451 $5,250,537 $4,974,132 $3,771,557 ========== ========== ========== ========== ========== ========== NET ASSETS: Contracts in accumulation $8,253,083 $1,010,235 $2,093,451 $5,250,537 $4,971,180 $3,771,557 Contracts in payout (annuitization) -- -- -- -- 2,952 -- ---------- ---------- ---------- ---------- ---------- ---------- Total net assets $8,253,083 $1,010,235 $2,093,451 $5,250,537 $4,974,132 $3,771,557 ========== ========== ========== ========== ========== ========== Units outstanding 528,320 81,420 107,466 178,376 180,985 201,675 Unit value $ 15.62 $ 12.41 $ 19.48 $ 29.44 $ 27.48 $ 18.70 Shares 706,600 81,734 180,160 455,380 299,466 227,751 Cost $8,373,494 $1,019,224 $2,009,512 $5,535,877 $5,393,443 $3,808,037
See accompanying notes. 26 JOHN HANCOCK LIFE INSURANCE COMPANY OF NEW YORK SEPARATE ACCOUNT A STATEMENTS OF OPERATIONS AND CHANGES IN CONTRACT OWNERS EQUITY FOR THE YEARS ENDED DECEMBER 31,
500 Index Fund B Series NAV 500 Index Series I 500 Index Series II ----------------------- ------------------------ ------------------------- 2010 2009 2010 2009 2010 2009 ---------- ---------- ---------- ----------- ----------- ----------- Income: Dividend distributions received $ 105,318 $ 117,831 $ 34,615 $ 42,396 $ 120,064 $ 134,865 Expenses: Mortality and expense risk and administrative charges (93,078) (81,635) (40,244) (44,058) (157,578) (142,811) ---------- ---------- ---------- ----------- ----------- ----------- Net investment income (loss) 12,240 36,196 (5,629) (1,662) (37,514) (7,946) ---------- ---------- ---------- ----------- ----------- ----------- Realized gains (losses) on investments: Capital gain distributions received -- -- -- -- -- -- Net realized gain (loss) (233,355) (285,052) (118,783) (653,997) (296,976) (930,425) ---------- ---------- ---------- ----------- ----------- ----------- Realized gains (losses) (233,355) (285,052) (118,783) (653,997) (296,976) (930,425) ---------- ---------- ---------- ----------- ----------- ----------- Unrealized appreciation (depreciation) during the period 972,425 1,450,342 434,632 1,160,457 1,538,024 2,848,187 ---------- ---------- ---------- ----------- ----------- ----------- Net increase (decrease) in contract owners' equity from operations 751,310 1,201,486 310,220 504,798 1,203,534 1,909,816 ---------- ---------- ---------- ----------- ----------- ----------- Changes from principal transactions: Purchase payments 41,392 32,969 20,179 2,064 62,317 72,151 Transfers between sub-accounts and the company (121,929) (57,444) (93,910) (801,898) 98,440 (380,036) Withdrawals (319,626) (161,172) (355,795) (512,763) (893,181) (880,875) Annual contract fee (33,741) (35,858) (2,384) (2,625) (37,685) (37,140) ---------- ---------- ---------- ----------- ----------- ----------- Net increase (decrease) in contract owners' equity from principal transactions (433,904) (221,505) (431,910) (1,315,222) (770,109) (1,225,900) ---------- ---------- ---------- ----------- ----------- ----------- Total increase (decrease) in contract owners' equity 317,406 979,981 (121,690) (810,424) 433,425 683,916 Contract owners' equity at beginning of period 6,043,437 5,063,456 2,707,869 3,518,293 10,214,567 9,530,651 ---------- ---------- ---------- ----------- ----------- ----------- Contract owners' equity at end of period $6,360,843 $6,043,437 $2,586,179 $ 2,707,869 $10,647,992 $10,214,567 ========== ========== ========== =========== =========== ===========
2010 2009 2010 2009 2010 2009 ---------- ---------- ---------- ----------- ----------- ----------- Units, beginning of period 641,987 669,110 288,558 463,723 810,761 939,686 Units issued 22,517 21,896 16,108 7,364 60,268 84,744 Units redeemed 67,056 49,019 60,330 182,529 121,274 213,669 ---------- ---------- ---------- ----------- ----------- ----------- Units, end of period 597,448 641,987 244,336 288,558 749,755 810,761 ========== ========== ========== =========== =========== ===========
See accompanying notes. 27 JOHN HANCOCK LIFE INSURANCE COMPANY OF NEW YORK SEPARATE ACCOUNT A STATEMENTS OF OPERATIONS AND CHANGES IN CONTRACT OWNERS EQUITY FOR THE YEARS ENDED DECEMBER 31,
500 Index Trust Series NAV Active Bond Series I Active Bond Series II ------------------- ------------------------ ------------------------- 2010 2009 2010 2009 2010 2009 -------- -------- ----------- ---------- ----------- ----------- Income: Dividend distributions received $ 12,054 $ 2,479 $ 306,751 $ 328,935 $ 3,244,956 $ 3,032,454 Expenses: Mortality and expense risk and administrative charges (5,001) (494) (68,937) (75,154) (750,297) (674,608) -------- -------- ----------- ---------- ----------- ----------- Net investment income (loss) 7,053 1,985 237,814 253,781 2,494,659 2,357,846 -------- -------- ----------- ---------- ----------- ----------- Realized gains (losses) on investments: Capital gain distributions received -- -- -- -- -- -- Net realized gain (loss) 11,276 728 22,331 (116,704) 147,195 (869,285) -------- -------- ----------- ---------- ----------- ----------- Realized gains (losses) 11,276 728 22,331 (116,704) 147,195 (869,285) -------- -------- ----------- ---------- ----------- ----------- Unrealized appreciation (depreciation) during the period 78,299 9,929 247,186 841,829 2,544,305 6,909,620 -------- -------- ----------- ---------- ----------- ----------- Net increase (decrease) in contract owners' equity from operations 96,628 12,642 507,331 978,906 5,186,159 8,398,181 -------- -------- ----------- ---------- ----------- ----------- Changes from principal transactions: Purchase payments 554,582 186,357 300 824 303,416 204,240 Transfers between sub-accounts and the company 115,661 35,960 103,179 (11,673) (455,973) 1,472,435 Withdrawals (12,490) 95 (1,309,796) (922,736) (3,976,577) (2,731,538) Annual contract fee (23,531) (7,491) (2,823) (3,362) (171,135) (177,702) -------- -------- ----------- ---------- ----------- ----------- Net increase (decrease) in contract owners' equity from principal transactions 634,222 214,921 (1,209,140) (936,947) (4,300,269) (1,232,565) -------- -------- ----------- ---------- ----------- ----------- Total increase (decrease) in contract owners' equity 730,850 227,563 (701,809) 41,959 885,890 7,165,616 Contract owners' equity at beginning of period 227,563 -- 4,800,752 4,758,793 46,780,209 39,614,593 -------- -------- ----------- ---------- ----------- ----------- Contract owners' equity at end of period $958,413 $227,563 $ 4,098,943 $4,800,752 $47,666,099 $46,780,209 ======== ======== =========== ========== =========== ===========
2010 2009 2010 2009 2010 2009 -------- -------- ----------- ---------- ----------- ----------- Units, beginning of period 14,732 -- 335,545 408,746 3,309,048 3,429,685 Units issued 44,293 15,071 15,218 9,403 300,127 334,547 Units redeemed 4,380 339 95,303 82,604 595,764 455,184 -------- -------- ----------- ---------- ----------- ----------- Units, end of period 54,645 14,732 255,460 335,545 3,013,411 3,309,048 ======== ======== =========== ========== =========== ===========
See accompanying notes. 28 JOHN HANCOCK LIFE INSURANCE COMPANY OF NEW YORK SEPARATE ACCOUNT A STATEMENTS OF OPERATIONS AND CHANGES IN CONTRACT OWNERS EQUITY FOR THE YEARS ENDED DECEMBER 31,
All Cap Core Series I All Cap Core Series II All Cap Growth Series I ----------------------- ----------------------- ------------------------- 2010 2009 2010 2009 2010 2009 ---------- ---------- ---------- ---------- ----------- ----------- Income: Dividend distributions received $ 34,593 $ 54,566 $ 8,690 $ 13,355 $ 12,636 $ 41,013 Expenses: Mortality and expense risk and administrative charges (51,034) (50,136) (16,791) (15,254) (29,484) (85,490) ---------- ---------- ---------- ---------- ----------- ----------- Net investment income (loss) (16,441) 4,430 (8,101) (1,899) (16,848) (44,477) ---------- ---------- ---------- ---------- ----------- ----------- Realized gains (losses) on investments: Capital gain distributions received -- -- -- -- -- -- Net realized gain (loss) 103,202 (175,510) (19,194) (51,977) 131,976 (369,565) ---------- ---------- ---------- ---------- ----------- ----------- Realized gains (losses) 103,202 (175,510) (19,194) (51,977) 131,976 (369,565) ---------- ---------- ---------- ---------- ----------- ----------- Unrealized appreciation (depreciation) during the period 279,796 986,089 138,557 279,910 133,905 1,418,639 ---------- ---------- ---------- ---------- ----------- ----------- Net increase (decrease) in contract owners' equity from operations 366,557 815,009 111,262 226,034 249,033 1,004,597 ---------- ---------- ---------- ---------- ----------- ----------- Changes from principal transactions: Purchase payments 7,920 3,953 9,395 4,681 16,601 32,444 Transfers between sub-accounts and the company (87,651) (205,064) (10,020) (69,826) (6,291,458) (352,176) Withdrawals (615,384) (354,387) (73,077) (20,089) (197,419) (735,121) Annual contract fee (3,010) (3,604) (5,365) (5,684) (1,888) (7,049) ---------- ---------- ---------- ---------- ----------- ----------- Net increase (decrease) in contract owners' equity from principal transactions (698,125) (559,102) (79,067) (90,918) (6,474,164) (1,061,902) ---------- ---------- ---------- ---------- ----------- ----------- Total increase (decrease) in contract owners' equity (331,568) 255,907 32,195 135,116 (6,225,131) (57,305) Contract owners' equity at beginning of period 3,792,248 3,536,341 1,083,436 948,320 6,225,131 6,282,436 ---------- ---------- ---------- ---------- ----------- ----------- Contract owners' equity at end of period $3,460,680 $3,792,248 $1,115,631 $1,083,436 $ -- $ 6,225,131 ========== ========== ========== ========== =========== ===========
2010 2009 2010 2009 2010 2009 ---------- ---------- ---------- ---------- ----------- ----------- Units, beginning of period 283,207 330,382 77,751 85,829 493,030 603,763 Units issued 1,958 4,054 1,532 1,144 1,340 12,225 Units redeemed 62,433 51,229 7,192 9,222 494,370 122,958 ---------- ---------- ---------- ---------- ----------- ----------- Units, end of period 222,732 283,207 72,091 77,751 -- 493,030 ========== ========== ========== ========== =========== ===========
See accompanying notes. 29 JOHN HANCOCK LIFE INSURANCE COMPANY OF NEW YORK SEPARATE ACCOUNT A STATEMENTS OF OPERATIONS AND CHANGES IN CONTRACT OWNERS EQUITY FOR THE YEARS ENDED DECEMBER 31,
All Cap Growth Series II All Cap Value Series I All Cap Value Series II ------------------------ ----------------------- ------------------------ 2010 2009 2010 2009 2010 2009 ----------- ---------- ---------- ---------- ---------- ----------- Income: Dividend distributions received $ 2,001 $ 8,711 $ 5,980 $ 8,521 $ 7,182 $ 13,286 Expenses: Mortality and expense risk and administrative charges (9,637) (26,128) (27,298) (26,460) (75,227) (68,649) ----------- ---------- ---------- ---------- ---------- ----------- Net investment income (loss) (7,636) (17,417) (21,318) (17,939) (68,045) (55,363) ----------- ---------- ---------- ---------- ---------- ----------- Realized gains (losses) on investments: Capital gain distributions received -- -- -- -- -- -- Net realized gain (loss) (221,136) (47,049) (217,101) (479,285) (481,062) (1,048,934) ----------- ---------- ---------- ---------- ---------- ----------- Realized gains (losses) (221,136) (47,049) (217,101) (479,285) (481,062) (1,048,934) ----------- ---------- ---------- ---------- ---------- ----------- Unrealized appreciation (depreciation) during the period 303,275 360,925 490,140 828,560 1,274,706 2,039,813 ----------- ---------- ---------- ---------- ---------- ----------- Net increase (decrease) in contract owners' equity from operations 74,503 296,459 251,721 331,336 725,599 935,516 ----------- ---------- ---------- ---------- ---------- ----------- Changes from principal transactions: Purchase payments 136 8,663 924 1,038 78,396 29,783 Transfers between sub-accounts and the company (1,894,371) 38,884 (116,509) (99,302) (110,692) (189,672) Withdrawals (65,469) (114,359) (216,505) (113,226) (415,266) (436,608) Annual contract fee (2,332) (6,603) (1,504) (1,774) (15,644) (17,287) ----------- ---------- ---------- ---------- ---------- ----------- Net increase (decrease) in contract owners' equity from principal transactions (1,962,036) (73,415) (333,594) (213,264) (463,206) (613,784) ----------- ---------- ---------- ---------- ---------- ----------- Total increase (decrease) in contract owners' equity (1,887,533) 223,044 (81,873) 118,072 262,393 321,732 Contract owners' equity at beginning of period 1,887,533 1,664,489 1,806,661 1,688,589 4,735,349 4,413,617 ----------- ---------- ---------- ---------- ---------- ----------- Contract owners' equity at end of period $ -- $1,887,533 $1,724,788 $1,806,661 $4,997,742 $ 4,735,349 =========== ========== ========== ========== ========== ===========
2010 2009 2010 2009 2010 2009 ----------- ---------- ---------- ---------- ---------- ----------- Units, beginning of period 170,832 179,605 121,385 141,423 299,688 347,725 Units issued 2,962 7,113 1,084 6,230 12,618 7,566 Units redeemed 173,794 15,886 23,135 26,268 40,298 55,603 ----------- ---------- ---------- ---------- ---------- ----------- Units, end of period -- 170,832 99,334 121,385 272,008 299,688 =========== ========== ========== ========== ========== ===========
See accompanying notes. 30 JOHN HANCOCK LIFE INSURANCE COMPANY OF NEW YORK SEPARATE ACCOUNT A STATEMENTS OF OPERATIONS AND CHANGES IN CONTRACT OWNERS EQUITY FOR THE YEARS ENDED DECEMBER 31,
American Asset American Asset American Blue-Chip Allocation Series I Allocation Series II Income & Growth Series II ------------------------ --------------------------- ------------------------- 2010 2009 2010 2009 2010 2009 ----------- ---------- ------------ ------------ ----------- ----------- Income: Dividend distributions received $ 125,098 $ 174,513 $ 1,478,405 $ 1,689,940 $ 104,336 $ 125,992 Expenses: Mortality and expense risk and administrative charges (128,065) (93,530) (1,550,407) (1,283,514) (145,990) (144,361) ----------- ---------- ------------ ------------ ----------- ----------- Net investment income (loss) (2,967) 80,983 (72,002) 406,426 (41,654) (18,369) ----------- ---------- ------------ ------------ ----------- ----------- Realized gains (losses) on investments: Capital gain distributions received 3,126 -- 37,605 1,907,483 -- 663,650 Net realized gain (loss) 500,619 141,758 (2,165,340) (3,171,962) (965,347) (1,506,138) ----------- ---------- ------------ ------------ ----------- ----------- Realized gains (losses) 503,745 141,758 (2,127,735) (1,264,479) (965,347) (842,488) ----------- ---------- ------------ ------------ ----------- ----------- Unrealized appreciation (depreciation) during the period 319,058 1,484,273 12,238,742 18,800,730 1,874,262 2,956,646 ----------- ---------- ------------ ------------ ----------- ----------- Net increase (decrease) in contract owners' equity from operations 819,836 1,707,014 10,039,005 17,942,677 867,261 2,095,789 ----------- ---------- ------------ ------------ ----------- ----------- Changes from principal transactions: Purchase payments 23,328 14,726 1,975,790 9,905,588 67,466 49,166 Transfers between sub-accounts and the company (244,059) 7,805,250 (1,764,611) 16,140,995 (523,530) (984,415) Withdrawals (2,059,425) 212,227 (3,481,384) (2,871,758) (888,313) (582,847) Annual contract fee (6,446) (4,349) (618,942) (479,515) (32,814) (37,081) ----------- ---------- ------------ ------------ ----------- ----------- Net increase (decrease) in contract owners' equity from principal transactions (2,286,602) 8,027,854 (3,889,147) 22,695,310 (1,377,191) (1,555,177) ----------- ---------- ------------ ------------ ----------- ----------- Total increase (decrease) in contract owners' equity (1,466,766) 9,734,868 6,149,858 40,637,987 (509,930) 540,612 Contract owners' equity at beginning of period 9,734,868 -- 101,400,617 60,762,630 9,945,399 9,404,787 ----------- ---------- ------------ ------------ ----------- ----------- Contract owners' equity at end of period $ 8,268,102 $9,734,868 $107,550,475 $101,400,617 $ 9,435,469 $ 9,945,399 =========== ========== ============ ============ =========== ===========
2010 2009 2010 2009 2010 2009 ----------- ---------- ------------ ------------ ----------- ----------- Units, beginning of period 924,283 -- 9,657,714 7,028,589 645,237 763,674 Units issued 40,319 1,060,512 296,640 3,331,381 28,199 26,578 Units redeemed 253,771 136,229 663,155 702,256 117,412 145,015 ----------- ---------- ------------ ------------ ----------- ----------- Units, end of period 710,831 924,283 9,291,199 9,657,714 556,024 645,237 =========== ========== ============ ============ =========== ===========
See accompanying notes. 31 JOHN HANCOCK LIFE INSURANCE COMPANY OF NEW YORK SEPARATE ACCOUNT A STATEMENTS OF OPERATIONS AND CHANGES IN CONTRACT OWNERS EQUITY FOR THE YEARS ENDED DECEMBER 31,
American Blue-Chip Income & Growth American Bond Series III American Bond Series II Series III ------------------ ------------------------- ------------------- 2010 2009 2010 2009 2010 2009 -------- ------- ----------- ----------- -------- -------- Income: Dividend distributions received $ 5,821 $ 1,557 $ 2,171,143 $ 2,183,158 $ 15,058 $ 3,750 Expenses: Mortality and expense risk and administrative charges (1,912) (196) (1,442,690) (1,320,258) (2,700) (298) -------- ------- ----------- ----------- -------- -------- Net investment income (loss) 3,909 1,361 728,453 862,900 12,358 3,452 -------- ------- ----------- ----------- -------- -------- Realized gains (losses) on investments: Capital gain distributions received -- -- -- -- -- -- Net realized gain (loss) 3,430 473 (1,319,168) (1,789,388) 1,770 47 -------- ------- ----------- ----------- -------- -------- Realized gains (losses) 3,430 473 (1,319,168) (1,789,388) 1,770 47 -------- ------- ----------- ----------- -------- -------- Unrealized appreciation (depreciation) during the period 24,011 4,021 4,441,039 8,704,714 (3,769) (1,433) -------- ------- ----------- ----------- -------- -------- Net increase (decrease) in contract owners' equity from operations 31,350 5,855 3,850,324 7,778,226 10,359 2,066 -------- ------- ----------- ----------- -------- -------- Changes from principal transactions: Purchase payments 208,768 73,183 833,317 741,352 312,824 106,809 Transfers between sub-accounts and the company 47,956 13,869 1,370,069 10,638,186 98,114 29,888 Withdrawals (4,482) 7 (6,129,807) (4,646,488) (5,114) (18) Annual contract fee (8,884) (2,908) (453,304) (462,313) (13,046) (4,226) -------- ------- ----------- ----------- -------- -------- Net increase (decrease) in contract owners' equity from principal transactions 243,358 84,151 (4,379,725) 6,270,737 392,778 132,453 -------- ------- ----------- ----------- -------- -------- Total increase (decrease) in contract owners' equity 274,708 90,006 (529,401) 14,048,963 403,137 134,519 Contract owners' equity at beginning of period 90,006 -- 93,467,496 79,418,533 134,519 -- -------- ------- ----------- ----------- -------- -------- Contract owners' equity at end of period $364,714 $90,006 $92,938,095 $93,467,496 $537,656 $134,519 ======== ======= =========== =========== ======== ========
2010 2009 2010 2009 2010 2009 -------- ------- ----------- ----------- -------- -------- Units, beginning of period 8,370 -- 7,265,638 6,802,117 10,793 -- Units issued 24,110 8,656 950,022 1,352,747 32,280 10,892 Units redeemed 1,975 286 1,291,344 889,226 2,128 99 -------- ------- ----------- ----------- -------- -------- Units, end of period 30,505 8,370 6,924,316 7,265,638 40,945 10,793 ======== ======= =========== =========== ======== ========
See accompanying notes. 32 JOHN HANCOCK LIFE INSURANCE COMPANY OF NEW YORK SEPARATE ACCOUNT A STATEMENTS OF OPERATIONS AND CHANGES IN CONTRACT OWNERS EQUITY FOR THE YEARS ENDED DECEMBER 31,
American Fundamental American Global American Global Holdings Series II Diversification Series II Growth Series II ------------------------- ------------------------- ------------------------- 2010 2009 2010 2009 2010 2009 ----------- ----------- ----------- ----------- ----------- ----------- Income: Dividend distributions received $ 1,076,241 $ 1,096,628 $ 936,341 $ 831,092 $ 123,197 $ 100,231 Expenses: Mortality and expense risk and administrative charges (1,175,242) (1,002,931) (802,702) (728,532) (202,427) (177,470) ----------- ----------- ----------- ----------- ----------- ----------- Net investment income (loss) (99,001) 93,697 133,639 102,560 (79,230) (77,239) ----------- ----------- ----------- ----------- ----------- ----------- Realized gains (losses) on investments: Capital gain distributions received -- -- -- -- -- 644,432 Net realized gain (loss) (1,426,305) (1,821,754) (1,296,631) (2,548,271) (569,944) (1,331,863) ----------- ----------- ----------- ----------- ----------- ----------- Realized gains (losses) (1,426,305) (1,821,754) (1,296,631) (2,548,271) (569,944) (687,431) ----------- ----------- ----------- ----------- ----------- ----------- Unrealized appreciation (depreciation) during the period 7,876,526 17,558,142 6,378,483 16,492,544 1,896,871 4,618,010 ----------- ----------- ----------- ----------- ----------- ----------- Net increase (decrease) in contract owners' equity from operations 6,351,220 15,830,085 5,215,491 14,046,833 1,247,697 3,853,340 ----------- ----------- ----------- ----------- ----------- ----------- Changes from principal transactions: Purchase payments 1,706,186 10,990,630 525,874 3,545,312 145,596 928,910 Transfers between sub-accounts and the company (3,432,334) 8,409,288 (4,240,901) 702,303 (318,609) (1,275,983) Withdrawals (2,580,133) (1,946,577) (1,525,479) (918,858) (432,525) (346,970) Annual contract fee (483,179) (374,127) (312,070) (289,434) (73,407) (74,991) ----------- ----------- ----------- ----------- ----------- ----------- Net increase (decrease) in contract owners' equity from principal transactions (4,789,460) 17,079,214 (5,552,576) 3,039,323 (678,945) (769,034) ----------- ----------- ----------- ----------- ----------- ----------- Total increase (decrease) in contract owners' equity 1,561,760 32,909,299 (337,085) 17,086,156 568,752 3,084,306 Contract owners' equity at beginning of period 79,090,378 46,181,079 54,994,425 37,908,269 13,372,971 10,288,665 ----------- ----------- ----------- ----------- ----------- ----------- Contract owners' equity at end of period $80,652,138 $79,090,378 $54,657,340 $54,994,425 $13,941,723 $13,372,971 =========== =========== =========== =========== =========== ===========
2010 2009 2010 2009 2010 2009 ----------- ----------- ----------- ----------- ----------- ----------- Units, beginning of period 7,421,868 5,407,548 5,088,467 4,707,054 1,203,593 1,289,271 Units issued 202,350 2,527,690 57,681 966,445 134,468 226,060 Units redeemed 650,607 513,370 574,200 585,032 192,214 311,738 ----------- ----------- ----------- ----------- ----------- ----------- Units, end of period 6,973,611 7,421,868 4,571,948 5,088,467 1,145,847 1,203,593 =========== =========== =========== =========== =========== ===========
See accompanying notes. 33 JOHN HANCOCK LIFE INSURANCE COMPANY OF NEW YORK SEPARATE ACCOUNT A STATEMENTS OF OPERATIONS AND CHANGES IN CONTRACT OWNERS EQUITY FOR THE YEARS ENDED DECEMBER 31,
American Global Small American Global Small Capitalization Capitalization Series II Series III American Growth Series II ------------------------ ---------------- --------------------------- 2010 2009 2010 2009 2010 2009 ---------- ----------- ------- ------ ------------ ------------ Income: Dividend distributions received $ 53,936 $ 58 $ 153 $ -- $ 252,241 $ 94,466 Expenses: Mortality and expense risk and administrative charges (74,325) (59,085) (80) (31) (2,100,364) (1,928,286) ---------- ----------- ------- ------ ------------ ------------ Net investment income (loss) (20,389) (59,027) 73 (31) (1,848,123) (1,833,820) ---------- ----------- ------- ------ ------------ ------------ Realized gains (losses) on investments: Capital gain distributions received 15,012 424,677 31 -- -- 20,388,021 Net realized gain (loss) (477,466) (1,306,829) 415 119 (9,696,901) (12,895,980) ---------- ----------- ------- ------ ------------ ------------ Realized gains (losses) (462,454) (882,152) 446 119 (9,696,901) 7,492,041 ---------- ----------- ------- ------ ------------ ------------ Unrealized appreciation (depreciation) during the period 1,381,325 2,630,810 1,436 1,272 32,357,393 32,672,255 ---------- ----------- ------- ------ ------------ ------------ Net increase (decrease) in contract owners' equity from operations 898,482 1,689,631 1,955 1,360 20,812,369 38,330,476 ---------- ----------- ------- ------ ------------ ------------ Changes from principal transactions: Purchase payments 52,168 169,832 283 6,422 1,104,341 1,289,556 Transfers between sub-accounts and the company (222,473) (140,830) (889) 1,543 (8,200,594) (10,552,900) Withdrawals (227,481) (149,807) 7 23 (9,934,464) (7,004,318) Annual contract fee (25,503) (24,230) (93) (307) (571,547) (593,321) ---------- ----------- ------- ------ ------------ ------------ Net increase (decrease) in contract owners' equity from principal transactions (423,289) (145,035) (692) 7,681 (17,602,264) (16,860,983) ---------- ----------- ------- ------ ------------ ------------ Total increase (decrease) in contract owners' equity 475,193 1,544,596 1,263 9,041 3,210,105 21,469,493 Contract owners' equity at beginning of period 4,816,603 3,272,007 9,041 -- 134,438,613 112,969,120 ---------- ----------- ------- ------ ------------ ------------ Contract owners' equity at end of period $5,291,796 $ 4,816,603 $10,304 $9,041 $137,648,718 $134,438,613 ========== =========== ======= ====== ============ ============
2010 2009 2010 2009 2010 2009 ---------- ----------- ------- ------ ------------ ------------ Units, beginning of period 496,793 533,124 876 -- 8,519,369 9,718,275 Units issued 99,026 128,556 72 948 354,258 310,559 Units redeemed 141,124 164,887 126 72 1,351,097 1,509,465 ---------- ----------- ------- ------ ------------ ------------ Units, end of period 454,695 496,793 822 876 7,522,530 8,519,369 ========== =========== ======= ====== ============ ============
See accompanying notes. 34 JOHN HANCOCK LIFE INSURANCE COMPANY OF NEW YORK SEPARATE ACCOUNT A STATEMENTS OF OPERATIONS AND CHANGES IN CONTRACT OWNERS EQUITY FOR THE YEARS ENDED DECEMBER 31,
American Growth American Growth-Income American Growth-Income Series III Series I Series II ------------------ -------------------------- --------------------------- 2010 2009 2010 2009 2010 2009 -------- ------- ----------- ------------ ------------ ------------ Income: Dividend distributions received $ 1,618 $ 217 $ 91,176 $ 1,173,131 $ 1,151,008 $ 97,550 Expenses: Mortality and expense risk and administrative charges (1,244) (81) (131,558) (1,739,407) (1,892,756) (93,872) -------- ------- ----------- ------------ ------------ ------------ Net investment income (loss) 374 136 (40,382) (566,276) (741,748) 3,678 -------- ------- ----------- ------------ ------------ ------------ Realized gains (losses) on investments: Capital gain distributions received -- -- -- 9,369,738 -- -- Net realized gain (loss) 3,527 92 388,345 (7,856,221) (5,437,509) 219,700 -------- ------- ----------- ------------ ------------ ------------ Realized gains (losses) 3,527 92 388,345 1,513,517 (5,437,509) 219,700 -------- ------- ----------- ------------ ------------ ------------ Unrealized appreciation (depreciation) during the period 26,818 1,582 393,519 27,509,680 17,322,815 1,874,660 -------- ------- ----------- ------------ ------------ ------------ Net increase (decrease) in contract owners' equity from operations 30,719 1,810 741,482 28,456,921 11,143,558 2,098,038 -------- ------- ----------- ------------ ------------ ------------ Changes from principal transactions: Purchase payments 159,865 38,315 7,088 969,416 930,531 6,216 Transfers between sub-accounts and the company 30,180 5,569 (183,311) 1,248,814 (2,697,816) 4,678,935 Withdrawals (4,026) 41 (1,173,638) (20,846,959) (8,246,110) 13,460,456 Annual contract fee (6,604) (1,521) (7,063) (546,571) (535,398) (5,123) -------- ------- ----------- ------------ ------------ ------------ Net increase (decrease) in contract owners' equity from principal transactions 179,415 42,404 (1,356,924) (19,175,300) (10,548,793) 18,140,484 -------- ------- ----------- ------------ ------------ ------------ Total increase (decrease) in contract owners' equity 210,134 44,214 (615,442) 9,281,621 594,765 20,238,522 Contract owners' equity at beginning of period 44,214 -- 9,281,621 -- 121,877,742 101,639,220 -------- ------- ----------- ------------ ------------ ------------ Contract owners' equity at end of period $254,348 $44,214 $ 8,666,179 $ 9,281,621 $122,472,507 $121,877,742 ======== ======= =========== ============ ============ ============
2010 2009 2010 2009 2010 2009 -------- ------- ----------- ------------ ------------ ------------ Units, beginning of period 4,287 -- 591,841 -- 8,246,370 8,827,121 Units issued 18,712 4,355 22,668 696,928 535,019 664,906 Units redeemed 2,004 68 109,807 105,087 1,170,887 1,245,657 -------- ------- ----------- ------------ ------------ ------------ Units, end of period 20,995 4,287 504,702 591,841 7,610,502 8,246,370 ======== ======= =========== ============ ============ ============
See accompanying notes. 35 JOHN HANCOCK LIFE INSURANCE COMPANY OF NEW YORK SEPARATE ACCOUNT A STATEMENTS OF OPERATIONS AND CHANGES IN CONTRACT OWNERS EQUITY FOR THE YEARS ENDED DECEMBER 31,
American American Growth-Income American High-Income High-Income Series III Bond Series II Bond Series III ----------------- ----------------------- ------------------ 2010 2009 2010 2009 2010 2009 ------- ------- ---------- ---------- -------- ------- Income: Dividend distributions received $ 292 $ 251 $ 325,337 $ 242,811 $ 18,783 $ 5,942 Expenses: Mortality and expense risk and administrative charges (157) (62) (70,364) (54,490) (2,061) (162) ------- ------- ---------- ---------- -------- ------- Net investment income (loss) 135 189 254,973 188,321 16,722 5,780 ------- ------- ---------- ---------- -------- ------- Realized gains (losses) on investments: Capital gain distributions received -- -- -- -- -- -- Net realized gain (loss) 354 120 66,413 (324,823) 931 27 ------- ------- ---------- ---------- -------- ------- Realized gains (losses) 354 120 66,413 (324,823) 931 27 ------- ------- ---------- ---------- -------- ------- Unrealized appreciation (depreciation) during the period 1,648 1,860 198,367 1,194,482 10,293 (2,120) ------- ------- ---------- ---------- -------- ------- Net increase (decrease) in contract owners' equity from operations 2,137 2,169 519,753 1,057,980 27,946 3,687 ------- ------- ---------- ---------- -------- ------- Changes from principal transactions: Purchase payments 565 12,845 29,237 134,590 117,799 83,521 Transfers between sub-accounts and the company (3) 3,635 597,631 1,189,114 42,630 14,314 Withdrawals 13 47 (313,483) (506,330) (6,490) (107) Annual contract fee (186) (615) (18,046) (17,847) (5,979) (3,067) ------- ------- ---------- ---------- -------- ------- Net increase (decrease) in contract owners' equity from principal transactions 389 15,912 295,339 799,527 147,960 94,661 ------- ------- ---------- ---------- -------- ------- Total increase (decrease) in contract owners' equity 2,526 18,081 815,092 1,857,507 175,906 98,348 Contract owners' equity at beginning of period 18,081 -- 4,311,955 2,454,448 98,348 -- ------- ------- ---------- ---------- -------- ------- Contract owners' equity at end of period $20,607 $18,081 $5,127,047 $4,311,955 $274,254 $98,348 ======= ======= ========== ========== ======== =======
2010 2009 2010 2009 2010 2009 ------- ------- ---------- ---------- -------- ------- Units, beginning of period 1,668 -- 355,648 275,706 7,334 -- Units issued 198 1,753 95,403 217,848 11,995 7,496 Units redeemed 146 85 75,993 137,906 1,390 162 ------- ------- ---------- ---------- -------- ------- Units, end of period 1,720 1,668 375,058 355,648 17,939 7,334 ======= ======= ========== ========== ======== =======
See accompanying notes. 36 JOHN HANCOCK LIFE INSURANCE COMPANY OF NEW YORK SEPARATE ACCOUNT A STATEMENTS OF OPERATIONS AND CHANGES IN CONTRACT OWNERS EQUITY FOR THE YEARS ENDED DECEMBER 31,
American American International American International Series II Series III New World Series II -------------------------- ------------------ ----------------------- 2010 2009 2010 2009 2010 2009 ----------- ------------ -------- ------- ---------- ---------- Income: Dividend distributions received $ 1,121,223 $ 652,216 $ 4,129 $ 513 $ 64,372 $ 41,476 Expenses: Mortality and expense risk and administrative charges (1,209,951) (1,142,433) (1,107) (65) (85,964) (54,000) ----------- ------------ -------- ------- ---------- ---------- Net investment income (loss) (88,728) (490,217) 3,022 448 (21,592) (12,524) ----------- ------------ -------- ------- ---------- ---------- Realized gains (losses) on investments: Capital gain distributions received -- 15,492,098 -- -- -- 40,954 Net realized gain (loss) (6,417,280) (8,573,299) 368 17 88,012 (506,038) ----------- ------------ -------- ------- ---------- ---------- Realized gains (losses) (6,417,280) 6,918,799 368 17 88,012 (465,084) ----------- ------------ -------- ------- ---------- ---------- Unrealized appreciation (depreciation) during the period 10,595,916 18,147,921 12,971 (184) 765,905 1,762,063 ----------- ------------ -------- ------- ---------- ---------- Net increase (decrease) in contract owners' equity from operations 4,089,908 24,576,503 16,361 281 832,325 1,284,455 ----------- ------------ -------- ------- ---------- ---------- Changes from principal transactions: Purchase payments 624,237 651,466 138,614 35,944 54,186 205,263 Transfers between sub-accounts and the company 457,492 (8,342,124) 34,197 7,059 1,348,431 782,071 Withdrawals (5,563,584) (3,783,170) (2,941) (36) (369,958) (128,265) Annual contract fee (329,178) (350,878) (5,735) (1,324) (16,138) (10,254) ----------- ------------ -------- ------- ---------- ---------- Net increase (decrease) in contract owners' equity from principal transactions (4,811,033) (11,824,706) 164,135 41,643 1,016,521 848,815 ----------- ------------ -------- ------- ---------- ---------- Total increase (decrease) in contract owners' equity (721,125) 12,751,797 180,496 41,924 1,848,846 2,133,270 Contract owners' equity at beginning of period 79,897,961 67,146,164 41,924 -- 4,825,915 2,692,645 ----------- ------------ -------- ------- ---------- ---------- Contract owners' equity at end of period $79,176,836 $ 79,897,961 $222,420 $41,924 $6,674,761 $4,825,915 =========== ============ ======== ======= ========== ==========
2010 2009 2010 2009 2010 2009 ----------- ------------ -------- ------- ---------- ---------- Units, beginning of period 3,654,277 4,270,613 3,655 -- 390,957 319,955 Units issued 396,432 236,166 15,916 3,681 232,483 200,901 Units redeemed 580,133 852,502 1,322 26 154,995 129,899 ----------- ------------ -------- ------- ---------- ---------- Units, end of period 3,470,576 3,654,277 18,249 3,655 468,445 390,957 =========== ============ ======== ======= ========== ==========
See accompanying notes. 37 JOHN HANCOCK LIFE INSURANCE COMPANY OF NEW YORK SEPARATE ACCOUNT A STATEMENTS OF OPERATIONS AND CHANGES IN CONTRACT OWNERS EQUITY FOR THE YEARS ENDED DECEMBER 31,
Blue Chip Growth Capital Blue Chip Growth Series I Series II Appreciation Series I ------------------------- ------------------------- ------------------------- 2010 2009 2010 2009 2010 2009 ----------- ----------- ----------- ----------- ----------- ----------- Income: Dividend distributions received $ 17,700 $ 29,971 $ 9,139 $ 13,600 $ 15,436 $ 16,157 Expenses: Mortality and expense risk and administrative charges (311,084) (302,273) (261,705) (231,972) (151,041) (96,810) ----------- ----------- ----------- ----------- ----------- ----------- Net investment income (loss) (293,384) (272,302) (252,566) (218,372) (135,605) (80,653) ----------- ----------- ----------- ----------- ----------- ----------- Realized gains (losses) on investments: Capital gain distributions received -- -- -- -- -- -- Net realized gain (loss) 507,533 (1,071,093) 233,020 (401,157) (20,200) (380,288) ----------- ----------- ----------- ----------- ----------- ----------- Realized gains (losses) 507,533 (1,071,093) 233,020 (401,157) (20,200) (380,288) ----------- ----------- ----------- ----------- ----------- ----------- Unrealized appreciation (depreciation) during the period 2,620,302 8,370,097 2,312,392 5,704,536 1,075,571 2,614,582 ----------- ----------- ----------- ----------- ----------- ----------- Net increase (decrease) in contract owners' equity from operations 2,834,451 7,026,702 2,292,846 5,085,007 919,766 2,153,641 ----------- ----------- ----------- ----------- ----------- ----------- Changes from principal transactions: Purchase payments 46,405 30,686 99,627 355,993 20,270 32,405 Transfers between sub-accounts and the company (460,028) (1,375,657) (106,376) (567,738) 5,849,816 (320,782) Withdrawals (2,985,508) (2,749,718) (1,498,037) (722,940) (1,475,782) (943,309) Annual contract fee (17,139) (19,386) (55,653) (58,679) (9,428) (6,513) ----------- ----------- ----------- ----------- ----------- ----------- Net increase (decrease) in contract owners' equity from principal transactions (3,416,270) (4,114,075) (1,560,439) (993,364) 4,384,876 (1,238,199) ----------- ----------- ----------- ----------- ----------- ----------- Total increase (decrease) in contract owners' equity (581,819) 2,912,627 732,407 4,091,643 5,304,642 915,442 Contract owners' equity at beginning of period 22,583,428 19,670,801 17,229,507 13,137,864 7,034,493 6,119,051 ----------- ----------- ----------- ----------- ----------- ----------- Contract owners' equity at end of period $22,001,609 $22,583,428 $17,961,914 $17,229,507 $12,339,135 $ 7,034,493 =========== =========== =========== =========== =========== ===========
2010 2009 2010 2009 2010 2009 ----------- ----------- ----------- ----------- ----------- ----------- Units, beginning of period 1,321,971 1,660,613 1,286,919 1,372,983 791,397 966,431 Units issued 34,955 47,485 110,926 134,937 688,212 42,315 Units redeemed 253,774 386,127 222,668 221,001 222,688 217,349 ----------- ----------- ----------- ----------- ----------- ----------- Units, end of period 1,103,152 1,321,971 1,175,177 1,286,919 1,256,921 791,397 =========== =========== =========== =========== =========== ===========
See accompanying notes. 38 JOHN HANCOCK LIFE INSURANCE COMPANY OF NEW YORK SEPARATE ACCOUNT A STATEMENTS OF OPERATIONS AND CHANGES IN CONTRACT OWNERS EQUITY FOR THE YEARS ENDED DECEMBER 31,
Capital Appreciation Capital Appreciation CGTC Overseas Equity Series II Value Series II Series II ------------------------ ------------------------- -------------------- 2010 2009 2010 2009 2010 2009 ----------- ---------- ----------- ----------- --------- -------- Income: Dividend distributions received $ 2,026 $ 3,833 $ 271,588 $ 355,159 $ 2,199 $ 5,352 Expenses: Mortality and expense risk and administrative charges (140,150) (111,698) (335,556) (270,775) (2,284) (4,534) ----------- ---------- ----------- ----------- --------- -------- Net investment income (loss) (138,124) (107,865) (63,968) 84,384 (85) 818 ----------- ---------- ----------- ----------- --------- -------- Realized gains (losses) on investments: Capital gain distributions received -- -- 2,350,975 95,771 -- -- Net realized gain (loss) 16,361 (225,104) 497,306 (368,582) (109,375) (61,538) ----------- ---------- ----------- ----------- --------- -------- Realized gains (losses) 16,361 (225,104) 2,848,281 (272,811) (109,375) (61,538) ----------- ---------- ----------- ----------- --------- -------- Unrealized appreciation (depreciation) during the period 944,013 2,752,525 (406,427) 4,846,064 102,406 132,538 ----------- ---------- ----------- ----------- --------- -------- Net increase (decrease) in contract owners' equity from operations 822,250 2,419,556 2,377,886 4,657,637 (7,054) 71,818 ----------- ---------- ----------- ----------- --------- -------- Changes from principal transactions: Purchase payments 48,532 51,373 306,371 2,954,155 910 1,085 Transfers between sub-accounts and the company 2,187,364 (196,976) (1,158,400) 5,832,589 (435,647) 88,578 Withdrawals (913,630) (304,530) (711,691) (193,396) (1,701) (10,688) Annual contract fee (30,226) (28,046) (122,068) (78,792) (188) (903) ----------- ---------- ----------- ----------- --------- -------- Net increase (decrease) in contract owners' equity from principal transactions 1,292,040 (478,179) (1,685,788) 8,514,556 (436,626) 78,072 ----------- ---------- ----------- ----------- --------- -------- Total increase (decrease) in contract owners' equity 2,114,290 1,941,377 692,098 13,172,193 (443,680) 149,890 Contract owners' equity at beginning of period 8,267,421 6,326,044 21,392,059 8,219,866 443,680 293,790 ----------- ---------- ----------- ----------- --------- -------- Contract owners' equity at end of period $10,381,711 $8,267,421 $22,084,157 $21,392,059 $ -- $443,680 =========== ========== =========== =========== ========= ========
2010 2009 2010 2009 2010 2009 ----------- ---------- ----------- ----------- --------- -------- Units, beginning of period 600,894 642,374 1,848,324 907,608 30,865 26,214 Units issued 205,355 41,820 55,401 1,250,412 411 11,449 Units redeemed 118,603 83,300 197,337 309,696 31,276 6,798 ----------- ---------- ----------- ----------- --------- -------- Units, end of period 687,646 600,894 1,706,388 1,848,324 -- 30,865 =========== ========== =========== =========== ========= ========
See accompanying notes. 39 JOHN HANCOCK LIFE INSURANCE COMPANY OF NEW YORK SEPARATE ACCOUNT A STATEMENTS OF OPERATIONS AND CHANGES IN CONTRACT OWNERS EQUITY FOR THE YEARS ENDED DECEMBER 31,
Core Allocation Plus Core Allocation Core Allocation Series II Series I Series II ----------------------- ----------------- ----------------------- 2010 2009 2010 2009 2010 2009 ---------- ---------- ------- ------- ---------- ---------- Income: Dividend distributions received $ 79,909 $ 106,371 $ 1,275 $ 1,558 $ 151,678 $ 84,873 Expenses: Mortality and expense risk and administrative charges (126,458) (98,357) (410) (96) (67,331) (10,810) ---------- ---------- ------- ------- ---------- ---------- Net investment income (loss) (46,549) 8,014 865 1,462 84,347 74,063 ---------- ---------- ------- ------- ---------- ---------- Realized gains (losses) on investments: Capital gain distributions received 139,606 275,675 307 -- 35,578 -- Net realized gain (loss) 44,277 (136,779) 16 -- (6,532) 20,990 ---------- ---------- ------- ------- ---------- ---------- Realized gains (losses) 183,883 138,896 323 -- 29,046 20,990 ---------- ---------- ------- ------- ---------- ---------- Unrealized appreciation (depreciation) during the period 584,863 1,544,452 4,126 (419) 422,535 67,439 ---------- ---------- ------- ------- ---------- ---------- Net increase (decrease) in contract owners' equity from operations 722,197 1,691,362 5,314 1,043 535,928 162,492 ---------- ---------- ------- ------- ---------- ---------- Changes from principal transactions: Purchase payments 365,150 1,807,490 794 44,125 2,665,931 1,131,423 Transfers between sub-accounts and the company (135,712) 2,160,248 8,441 2,457 1,987,322 1,317,103 Withdrawals (165,301) (112,948) 33 117 (39,803) 3,101 Annual contract fee (53,296) (28,428) (463) (2,427) (24,417) (1,527) ---------- ---------- ------- ------- ---------- ---------- Net increase (decrease) in contract owners' equity from principal transactions 10,841 3,826,362 8,805 44,272 4,589,033 2,450,100 ---------- ---------- ------- ------- ---------- ---------- Total increase (decrease) in contract owners' equity 733,038 5,517,724 14,119 45,315 5,124,961 2,612,592 Contract owners' equity at beginning of period 8,364,441 2,846,717 45,315 -- 2,612,592 -- ---------- ---------- ------- ------- ---------- ---------- Contract owners' equity at end of period $9,097,479 $8,364,441 $59,434 $45,315 $7,737,553 $2,612,592 ========== ========== ======= ======= ========== ==========
2010 2009 2010 2009 2010 2009 ---------- ---------- ------- ------- ---------- ---------- Units, beginning of period 775,960 325,588 3,065 -- 173,650 -- Units issued 44,211 572,665 616 3,065 339,456 202,593 Units redeemed 43,622 122,293 28 -- 42,039 28,943 ---------- ---------- ------- ------- ---------- ---------- Units, end of period 776,549 775,960 3,653 3,065 471,067 173,650 ========== ========== ======= ======= ========== ==========
See accompanying notes. 40 JOHN HANCOCK LIFE INSURANCE COMPANY OF NEW YORK SEPARATE ACCOUNT A STATEMENTS OF OPERATIONS AND CHANGES IN CONTRACT OWNERS EQUITY FOR THE YEARS ENDED DECEMBER 31,
Core Balanced Core Balanced Strategy Series I Core Balanced Series II Series NAV ------------------- ------------------------ ------------------ 2010 2009 2010 2009 2010 2009 -------- -------- ----------- ---------- -------- ------- Income: Dividend distributions received $ 3,106 $ 1,804 $ 206,708 $ 69,024 $ 5,550 $ 456 Expenses: Mortality and expense risk and administrative charges (1,559) (340) (136,967) (21,593) (3,180) (48) -------- -------- ----------- ---------- -------- ------- Net investment income (loss) 1,547 1,464 69,741 47,431 2,370 408 -------- -------- ----------- ---------- -------- ------- Realized gains (losses) on investments: Capital gain distributions received 566 -- 38,124 -- 276 -- Net realized gain (loss) 405 37 188,338 38,365 64 (1) -------- -------- ----------- ---------- -------- ------- Realized gains (losses) 971 37 226,462 38,365 340 (1) -------- -------- ----------- ---------- -------- ------- Unrealized appreciation (depreciation) during the period 14,794 7,501 804,962 220,038 16,660 (507) -------- -------- ----------- ---------- -------- ------- Net increase (decrease) in contract owners' equity from operations 17,312 9,002 1,101,165 305,834 19,370 (100) -------- -------- ----------- ---------- -------- ------- Changes from principal transactions: Purchase payments 44,544 100,000 5,948,409 1,929,424 180,628 25,000 Transfers between sub-accounts and the company 13,693 4,864 3,224,911 2,548,477 (149) (64) Withdrawals 106 284 (1,058,885) (9,214) 149 64 Annual contract fee (2,109) (4,000) (43,377) (5,171) -- -- -------- -------- ----------- ---------- -------- ------- Net increase (decrease) in contract owners' equity from principal transactions 56,234 101,148 8,071,058 4,463,516 180,628 25,000 -------- -------- ----------- ---------- -------- ------- Total increase (decrease) in contract owners' equity 73,546 110,150 9,172,223 4,769,350 199,998 24,900 Contract owners' equity at beginning of period 110,150 -- 4,769,350 -- 24,900 -- -------- -------- ----------- ---------- -------- ------- Contract owners' equity at end of period $183,696 $110,150 $13,941,573 $4,769,350 $224,898 $24,900 ======== ======== =========== ========== ======== =======
2010 2009 2010 2009 2010 2009 -------- -------- ----------- ---------- -------- ------- Units, beginning of period 7,475 -- 317,395 -- 1,821 -- Units issued 3,846 7,475 610,003 352,630 13,261 1,821 Units redeemed 87 -- 87,810 35,235 -- -- -------- -------- ----------- ---------- -------- ------- Units, end of period 11,234 7,475 839,588 317,395 15,082 1,821 ======== ======== =========== ========== ======== =======
See accompanying notes. 41 JOHN HANCOCK LIFE INSURANCE COMPANY OF NEW YORK SEPARATE ACCOUNT A STATEMENTS OF OPERATIONS AND CHANGES IN CONTRACT OWNERS EQUITY FOR THE YEARS ENDED DECEMBER 31,
Core Disciplined Core Fundamental Core Bond Series II Diversification Series II Holdings Series II --------------------- ------------------------- ------------------------ 2010 2009 2010 2009 2010 2009 --------- --------- ----------- ---------- ----------- ---------- Income: Dividend distributions received $ 22,531 $ 21,040 $ 200,497 $ 92,792 $ 304,622 $ 105,250 Expenses: Mortality and expense risk and administrative charges (16,372) (17,126) (106,905) (18,776) (187,799) (35,485) --------- --------- ----------- ---------- ----------- ---------- Net investment income (loss) 6,159 3,914 93,592 74,016 116,823 69,765 --------- --------- ----------- ---------- ----------- ---------- Realized gains (losses) on investments: Capital gain distributions received 8,994 -- 22,253 -- 95,406 -- Net realized gain (loss) 25,818 18,789 19,613 21,795 137,667 8,534 --------- --------- ----------- ---------- ----------- ---------- Realized gains (losses) 34,812 18,789 41,866 21,795 233,073 8,534 --------- --------- ----------- ---------- ----------- ---------- Unrealized appreciation (depreciation) during the period 9,694 58,378 601,050 138,143 829,710 400,188 --------- --------- ----------- ---------- ----------- ---------- Net increase (decrease) in contract owners' equity from operations 50,665 81,081 736,508 233,954 1,179,606 478,487 --------- --------- ----------- ---------- ----------- ---------- Changes from principal transactions: Purchase payments -- 16,000 2,783,568 1,293,074 7,010,260 3,777,551 Transfers between sub-accounts and the company 73,095 326,519 4,579,169 3,267,440 5,469,244 3,138,587 Withdrawals (145,277) (209,406) (177,117) (1,443) (470,403) (25,438) Annual contract fee (1,106) (2,229) (35,707) (4,618) (69,764) (6,202) --------- --------- ----------- ---------- ----------- ---------- Net increase (decrease) in contract owners' equity from principal transactions (73,288) 130,884 7,149,913 4,554,453 11,939,337 6,884,498 --------- --------- ----------- ---------- ----------- ---------- Total increase (decrease) in contract owners' equity (22,623) 211,965 7,886,421 4,788,407 13,118,943 7,362,985 Contract owners' equity at beginning of period 922,623 710,658 4,788,407 -- 7,362,985 -- --------- --------- ----------- ---------- ----------- ---------- Contract owners' equity at end of period $ 900,000 $ 922,623 $12,674,828 $4,788,407 $20,481,928 $7,362,985 ========= ========= =========== ========== =========== ==========
2010 2009 2010 2009 2010 2009 --------- --------- ----------- ---------- ----------- ---------- Units, beginning of period 63,667 52,762 311,316 -- 500,513 -- Units issued 13,869 68,706 559,785 323,886 879,840 520,457 Units redeemed 18,442 57,801 125,304 12,570 91,962 19,944 --------- --------- ----------- ---------- ----------- ---------- Units, end of period 59,094 63,667 745,797 311,316 1,288,391 500,513 ========= ========= =========== ========== =========== ==========
See accompanying notes. 42 JOHN HANCOCK LIFE INSURANCE COMPANY OF NEW YORK SEPARATE ACCOUNT A STATEMENTS OF OPERATIONS AND CHANGES IN CONTRACT OWNERS EQUITY FOR THE YEARS ENDED DECEMBER 31,
Core Fundamental Core Global Holdings Core Global Diversification Series III Diversification Series II Series III ---------------- ------------------------- ----------------- 2010 2009 2010 2009 2010 2009 ------- ------ ----------- ----------- -------- ------ Income: Dividend distributions received $ 368 $ 47 $ 373,995 $ 171,699 $ 3,281 $ 44 Expenses: Mortality and expense risk and administrative charges (57) (4) (254,574) (55,661) (753) (4) ------- ------ ----------- ----------- -------- ------ Net investment income (loss) 311 43 119,421 116,038 2,528 40 ------- ------ ----------- ----------- -------- ------ Realized gains (losses) on investments: Capital gain distributions received 26 -- 183,624 -- 1,130 -- Net realized gain (loss) 1 -- 253,609 74,454 225 -- ------- ------ ----------- ----------- -------- ------ Realized gains (losses) 27 -- 437,233 74,454 1,355 -- ------- ------ ----------- ----------- -------- ------ Unrealized appreciation (depreciation) during the period 253 (12) 706,838 405,212 10,674 (16) ------- ------ ----------- ----------- -------- ------ Net increase (decrease) in contract owners' equity from operations 591 31 1,263,492 595,704 14,557 24 ------- ------ ----------- ----------- -------- ------ Changes from principal transactions: Purchase payments -- -- 6,222,069 3,069,220 81,250 -- Transfers between sub-accounts and the company 16,577 2,567 1,931,544 9,719,073 63,547 2,567 Withdrawals 73 7 (748,382) 1,299 (2,560) 7 Annual contract fee (36) -- (93,345) (21,011) (1,598) -- ------- ------ ----------- ----------- -------- ------ Net increase (decrease) in contract owners' equity from principal transactions 16,614 2,574 7,311,886 12,768,581 140,639 2,574 ------- ------ ----------- ----------- -------- ------ Total increase (decrease) in contract owners' equity 17,205 2,605 8,575,378 13,364,285 155,196 2,598 Contract owners' equity at beginning of period 2,605 -- 13,364,285 -- 2,598 -- ------- ------ ----------- ----------- -------- ------ Contract owners' equity at end of period $19,810 $2,605 $21,939,663 $13,364,285 $157,794 $2,598 ======= ====== =========== =========== ======== ======
2010 2009 2010 2009 2010 2009 ------- ------ ----------- ----------- -------- ------ Units, beginning of period 180 -- 879,791 -- 174 -- Units issued 1,076 180 677,122 922,006 9,838 174 Units redeemed 3 -- 203,833 42,215 199 -- ------- ------ ----------- ----------- -------- ------ Units, end of period 1,253 180 1,353,080 879,791 9,813 174 ======= ====== =========== =========== ======== ======
See accompanying notes. 43 JOHN HANCOCK LIFE INSURANCE COMPANY OF NEW YORK SEPARATE ACCOUNT A STATEMENTS OF OPERATIONS AND CHANGES IN CONTRACT OWNERS EQUITY FOR THE YEARS ENDED DECEMBER 31,
Disciplined Core Strategy Diversification Core Strategy Series II Series NAV Series II ------------------------- ------------------- ----------------------- 2010 2009 2010 2009 2010 2009 ----------- ----------- -------- -------- ---------- ---------- Income: Dividend distributions received $ 1,120,569 $ 813,703 $ 10,393 $ 7,605 $ 118,598 $ 141,374 Expenses: Mortality and expense risk and administrative charges (806,453) (655,700) (5,235) (1,772) (122,013) (91,083) ----------- ----------- -------- -------- ---------- ---------- Net investment income (loss) 314,116 158,003 5,158 5,833 (3,415) 50,291 ----------- ----------- -------- -------- ---------- ---------- Realized gains (losses) on investments: Capital gain distributions received -- 225,360 -- -- -- 54,534 Net realized gain (loss) (547,333) (1,466,230) 752 265 56,601 (176,034) ----------- ----------- -------- -------- ---------- ---------- Realized gains (losses) (547,333) (1,240,870) 752 265 56,601 (121,500) ----------- ----------- -------- -------- ---------- ---------- Unrealized appreciation (depreciation) during the period 5,637,128 9,516,520 41,663 21,050 875,240 1,683,473 ----------- ----------- -------- -------- ---------- ---------- Net increase (decrease) in contract owners' equity from operations 5,403,911 8,433,653 47,573 27,148 928,426 1,612,264 ----------- ----------- -------- -------- ---------- ---------- Changes from principal transactions: Purchase payments 2,090,541 6,600,578 -- 409,142 227,718 1,263,376 Transfers between sub-accounts and the company 72,415 3,066,225 (302) (1,094) (214,639) 1,722,188 Withdrawals (2,130,595) (1,567,700) 302 1,092 (129,732) (64,083) Annual contract fee (304,403) (258,818) -- (12,274) (49,317) (29,408) ----------- ----------- -------- -------- ---------- ---------- Net increase (decrease) in contract owners' equity from principal transactions (272,042) 7,840,285 -- 396,866 (165,970) 2,892,073 ----------- ----------- -------- -------- ---------- ---------- Total increase (decrease) in contract owners' equity 5,131,869 16,273,938 47,573 424,014 762,456 4,504,337 Contract owners' equity at beginning of period 51,521,580 35,247,642 424,014 -- 8,209,925 3,705,588 ----------- ----------- -------- -------- ---------- ---------- Contract owners' equity at end of period $56,653,449 $51,521,580 $471,587 $424,014 $8,972,381 $8,209,925 =========== =========== ======== ======== ========== ==========
2010 2009 2010 2009 2010 2009 ----------- ----------- -------- -------- ---------- ---------- Units, beginning of period 4,216,608 3,460,841 29,704 -- 718,555 405,906 Units issued 322,046 1,189,315 -- 32,551 25,181 419,949 Units redeemed 346,291 433,548 -- 2,847 39,891 107,300 ----------- ----------- -------- -------- ---------- ---------- Units, end of period 4,192,363 4,216,608 29,704 29,704 703,845 718,555 =========== =========== ======== ======== ========== ==========
See accompanying notes. 44 JOHN HANCOCK LIFE INSURANCE COMPANY OF NEW YORK SEPARATE ACCOUNT A STATEMENTS OF OPERATIONS AND CHANGES IN CONTRACT OWNERS EQUITY FOR THE YEARS ENDED DECEMBER 31,
DWS Equity 500 Index Equity-Income Series I Equity-Income Series II ----------------------- ------------------------- ------------------------- 2010 2009 2010 2009 2010 2009 ---------- ---------- ----------- ----------- ----------- ----------- Income: Dividend distributions received $ 58,865 $ 82,643 $ 526,079 $ 563,195 $ 390,292 $ 404,850 Expenses: Mortality and expense risk and administrative charges (62,031) (52,558) (414,314) (392,612) (371,146) (324,701) ---------- ---------- ----------- ----------- ----------- ----------- Net investment income (loss) (3,166) 30,085 111,765 170,583 19,146 80,149 ---------- ---------- ----------- ----------- ----------- ----------- Realized gains (losses) on investments: Capital gain distributions received -- -- -- -- -- -- Net realized gain (loss) (16,668) (67,233) (1,135,250) (2,925,569) (1,331,912) (1,909,277) ---------- ---------- ----------- ----------- ----------- ----------- Realized gains (losses) (16,668) (67,233) (1,135,250) (2,925,569) (1,331,912) (1,909,277) ---------- ---------- ----------- ----------- ----------- ----------- Unrealized appreciation (depreciation) during the period 499,624 784,608 4,600,720 8,327,148 4,245,161 6,487,037 ---------- ---------- ----------- ----------- ----------- ----------- Net increase (decrease) in contract owners' equity from operations 479,790 747,460 3,577,235 5,572,162 2,932,395 4,657,909 ---------- ---------- ----------- ----------- ----------- ----------- Changes from principal transactions: Purchase payments 17,668 43,710 298,944 39,252 196,878 284,316 Transfers between sub-accounts and the company (16,027) (22,751) (351,562) (1,931,663) 445,180 910,630 Withdrawals (97,602) (84,280) (3,691,347) (3,047,931) (3,024,727) (1,703,253) Annual contract fee (23,788) (24,085) (20,008) (22,849) (70,595) (72,903) ---------- ---------- ----------- ----------- ----------- ----------- Net increase (decrease) in contract owners' equity from principal transactions (119,749) (87,406) (3,763,973) (4,963,191) (2,453,264) (581,210) ---------- ---------- ----------- ----------- ----------- ----------- Total increase (decrease) in contract owners' equity 360,041 660,054 (186,738) 608,971 479,131 4,076,699 Contract owners' equity at beginning of period 3,883,150 3,223,096 29,466,711 28,857,740 24,195,632 20,118,933 ---------- ---------- ----------- ----------- ----------- ----------- Contract owners' equity at end of period $4,243,191 $3,883,150 $29,279,973 $29,466,711 $24,674,763 $24,195,632 ========== ========== =========== =========== =========== ===========
2010 2009 2010 2009 2010 2009 ---------- ---------- ----------- ----------- ----------- ----------- Units, beginning of period 222,514 228,714 1,176,917 1,451,326 1,793,196 1,832,651 Units issued 5,169 4,960 30,958 23,022 139,525 253,016 Units redeemed 11,583 11,160 198,489 297,431 312,836 292,471 ---------- ---------- ----------- ----------- ----------- ----------- Units, end of period 216,100 222,514 1,009,386 1,176,917 1,619,885 1,793,196 ========== ========== =========== =========== =========== ===========
See accompanying notes. 45 JOHN HANCOCK LIFE INSURANCE COMPANY OF NEW YORK SEPARATE ACCOUNT A STATEMENTS OF OPERATIONS AND CHANGES IN CONTRACT OWNERS EQUITY FOR THE YEARS ENDED DECEMBER 31,
Financial Financial Founding Services Series I Services Series II Allocation Series II -------------------- ----------------------- -------------------------- 2010 2009 2010 2009 2010 2009 -------- --------- ---------- ---------- ------------ ----------- Income: Dividend distributions received $ 2,564 $ 5,560 $ 5,935 $ 18,477 $ 3,204,051 $ 3,273,588 Expenses: Mortality and expense risk and administrative charges (13,102) (12,002) (68,125) (51,606) (1,452,202) (1,315,109) -------- --------- ---------- ---------- ------------ ----------- Net investment income (loss) (10,538) (6,442) (62,190) (33,129) 1,751,849 1,958,479 -------- --------- ---------- ---------- ------------ ----------- Realized gains (losses) on investments: Capital gain distributions received -- -- -- -- -- -- Net realized gain (loss) (70,758) (191,684) (388,940) (684,380) (3,814,560) (4,866,975) -------- --------- ---------- ---------- ------------ ----------- Realized gains (losses) (70,758) (191,684) (388,940) (684,380) (3,814,560) (4,866,975) -------- --------- ---------- ---------- ------------ ----------- Unrealized appreciation (depreciation) during the period 162,166 470,016 878,264 1,854,845 9,749,649 25,037,352 -------- --------- ---------- ---------- ------------ ----------- Net increase (decrease) in contract owners' equity from operations 80,870 271,890 427,134 1,137,336 7,686,938 22,128,856 -------- --------- ---------- ---------- ------------ ----------- Changes from principal transactions: Purchase payments 527 450 62,055 168,435 725,661 981,288 Transfers between sub-accounts and the company (65,336) 140,352 79,724 540,076 (7,611,794) 293,211 Withdrawals (83,842) (130,229) (245,218) (142,192) (3,770,762) (2,529,553) Annual contract fee (1,066) (1,034) (11,657) (12,947) (582,727) (586,416) -------- --------- ---------- ---------- ------------ ----------- Net increase (decrease) in contract owners' equity from principal transactions (149,717) 9,539 (115,096) 553,372 (11,239,622) (1,841,470) -------- --------- ---------- ---------- ------------ ----------- Total increase (decrease) in contract owners' equity (68,847) 281,429 312,038 1,690,708 (3,552,684) 20,287,386 Contract owners' equity at beginning of period 911,997 630,568 4,423,347 2,732,639 96,556,117 76,268,731 -------- --------- ---------- ---------- ------------ ----------- Contract owners' equity at end of period $843,150 $ 911,997 $4,735,385 $4,423,347 $ 93,003,433 $96,556,117 ======== ========= ========== ========== ============ ===========
2010 2009 2010 2009 2010 2009 -------- --------- ---------- ---------- ------------ ----------- Units, beginning of period 75,363 72,690 349,051 294,472 9,835,744 10,027,323 Units issued 148 26,813 61,475 140,696 102,482 759,771 Units redeemed 12,500 24,140 72,730 86,117 1,227,696 951,350 -------- --------- ---------- ---------- ------------ ----------- Units, end of period 63,011 75,363 337,796 349,051 8,710,530 9,835,744 ======== ========= ========== ========== ============ ===========
See accompanying notes. 46 JOHN HANCOCK LIFE INSURANCE COMPANY OF NEW YORK SEPARATE ACCOUNT A STATEMENTS OF OPERATIONS AND CHANGES IN CONTRACT OWNERS EQUITY FOR THE YEARS ENDED DECEMBER 31,
Fundamental Fundamental Value Series I Value Series II Global Bond Series I ------------------------- ------------------------- ------------------------ 2010 2009 2010 2009 2010 2009 ----------- ----------- ----------- ----------- ---------- ----------- Income: Dividend distributions received $ 314,833 $ 256,595 $ 334,231 $ 245,556 $ 135,050 $ 519,039 Expenses: Mortality and expense risk and administrative charges (424,302) (417,148) (584,609) (532,063) (60,721) (63,038) ----------- ----------- ----------- ----------- ---------- ----------- Net investment income (loss) (109,469) (160,553) (250,378) (286,507) 74,329 456,001 ----------- ----------- ----------- ----------- ---------- ----------- Realized gains (losses) on investments: Capital gain distributions received -- -- -- -- -- 590,775 Net realized gain (loss) 989,760 (882,293) (986,394) (2,207,571) (280,521) (313,548) ----------- ----------- ----------- ----------- ---------- ----------- Realized gains (losses) 989,760 (882,293) (986,394) (2,207,571) (280,521) 277,227 ----------- ----------- ----------- ----------- ---------- ----------- Unrealized appreciation (depreciation) during the period 2,225,941 8,376,907 5,297,109 11,688,299 546,718 (245,216) ----------- ----------- ----------- ----------- ---------- ----------- Net increase (decrease) in contract owners' equity from operations 3,106,232 7,334,061 4,060,337 9,194,221 340,526 488,012 ----------- ----------- ----------- ----------- ---------- ----------- Changes from principal transactions: Purchase payments 74,225 98,358 281,982 273,599 2,278 9,213 Transfers between sub-accounts and the company (705,775) (2,243,617) (1,049,083) (41,101) 178,367 (130,406) Withdrawals (3,600,178) (3,989,468) (3,187,445) (1,751,934) (811,518) (981,309) Annual contract fee (24,748) (28,884) (153,083) (154,892) (3,314) (3,731) ----------- ----------- ----------- ----------- ---------- ----------- Net increase (decrease) in contract owners' equity from principal transactions (4,256,476) (6,163,611) (4,107,629) (1,674,328) (634,187) (1,106,233) ----------- ----------- ----------- ----------- ---------- ----------- Total increase (decrease) in contract owners' equity (1,150,244) 1,170,450 (47,292) 7,519,893 (293,661) (618,221) Contract owners' equity at beginning of period 30,865,519 29,695,069 38,514,538 30,994,645 4,111,147 4,729,368 ----------- ----------- ----------- ----------- ---------- ----------- Contract owners' equity at end of period $29,715,275 $30,865,519 $38,467,246 $38,514,538 $3,817,486 $ 4,111,147 =========== =========== =========== =========== ========== ===========
2010 2009 2010 2009 2010 2009 ----------- ----------- ----------- ----------- ---------- ----------- Units, beginning of period 2,370,649 2,964,566 2,813,343 2,935,029 154,685 205,667 Units issued 28,063 42,765 117,466 383,592 23,421 16,448 Units redeemed 352,676 636,682 403,521 505,278 47,421 67,430 ----------- ----------- ----------- ----------- ---------- ----------- Units, end of period 2,046,036 2,370,649 2,527,288 2,813,343 130,685 154,685 =========== =========== =========== =========== ========== ===========
See accompanying notes. 47 JOHN HANCOCK LIFE INSURANCE COMPANY OF NEW YORK SEPARATE ACCOUNT A STATEMENTS OF OPERATIONS AND CHANGES IN CONTRACT OWNERS EQUITY FOR THE YEARS ENDED DECEMBER 31,
Global Bond Series II Global Trust Series I Global Trust Series II ------------------------ ----------------------- ---------------------- 2010 2009 2010 2009 2010 2009 ----------- ----------- ---------- ----------- ---------- ---------- Income: Dividend distributions received $ 596,392 $ 2,021,954 $ 138,101 $ 141,004 $ 63,718 $ 62,882 Expenses: Mortality and expense risk and administrative charges (293,115) (272,660) (128,838) (124,348) (72,708) (66,611) ----------- ----------- ---------- ----------- ---------- ---------- Net investment income (loss) 303,277 1,749,294 9,263 16,656 (8,990) (3,729) ----------- ----------- ---------- ----------- ---------- ---------- Realized gains (losses) on investments: Capital gain distributions received -- 2,284,799 -- -- -- -- Net realized gain (loss) (765,762) (722,522) (125,631) (439,634) (156,487) (317,359) ----------- ----------- ---------- ----------- ---------- ---------- Realized gains (losses) (765,762) 1,562,277 (125,631) (439,634) (156,487) (317,359) ----------- ----------- ---------- ----------- ---------- ---------- Unrealized appreciation (depreciation) during the period 1,932,844 (1,224,651) 630,250 2,693,904 441,470 1,446,606 ----------- ----------- ---------- ----------- ---------- ---------- Net increase (decrease) in contract owners' equity from operations 1,470,359 2,086,920 513,882 2,270,926 275,993 1,125,518 ----------- ----------- ---------- ----------- ---------- ---------- Changes from principal transactions: Purchase payments 220,491 312,665 16,886 27,418 20,514 26,841 Transfers between sub-accounts and the company (133,527) 215,211 (156,575) (428,681) 5,074 (204,043) Withdrawals (1,543,929) (948,861) (800,647) (931,622) (315,294) (164,987) Annual contract fee (57,673) (63,684) (7,116) (8,616) (23,071) (25,053) ----------- ----------- ---------- ----------- ---------- ---------- Net increase (decrease) in contract owners' equity from principal transactions (1,514,638) (484,669) (947,452) (1,341,501) (312,777) (367,242) ----------- ----------- ---------- ----------- ---------- ---------- Total increase (decrease) in contract owners' equity (44,279) 1,602,251 (433,570) 929,425 (36,784) 758,276 Contract owners' equity at beginning of period 18,681,678 17,079,427 9,789,283 8,859,858 5,046,009 4,287,733 ----------- ----------- ---------- ----------- ---------- ---------- Contract owners' equity at end of period $18,637,399 $18,681,678 $9,355,713 $ 9,789,283 $5,009,225 $5,046,009 =========== =========== ========== =========== ========== ==========
2010 2009 2010 2009 2010 2009 ----------- ----------- ---------- ----------- ---------- ---------- Units, beginning of period 1,016,226 1,046,271 407,879 485,555 351,866 386,248 Units issued 112,360 204,434 6,065 8,040 13,600 15,549 Units redeemed 191,572 234,479 52,628 85,716 35,749 49,931 ----------- ----------- ---------- ----------- ---------- ---------- Units, end of period 937,014 1,016,226 361,316 407,879 329,717 351,866 =========== =========== ========== =========== ========== ==========
See accompanying notes. 48 JOHN HANCOCK LIFE INSURANCE COMPANY OF NEW YORK SEPARATE ACCOUNT A STATEMENTS OF OPERATIONS AND CHANGES IN CONTRACT OWNERS EQUITY FOR THE YEARS ENDED DECEMBER 31,
Health Sciences Health Sciences Series I Series II High Income Series II ---------------------- ---------------------- ---------------------- 2010 2009 2010 2009 2010 2009 ---------- ---------- ---------- ---------- ---------- ---------- Income: Dividend distributions received $ -- $ -- $ -- $ -- $ 437,272 $ 112,145 Expenses: Mortality and expense risk and administrative charges (33,561) (32,777) (101,366) (92,160) (23,364) (7,964) ---------- ---------- ---------- ---------- ---------- ---------- Net investment income (loss) (33,561) (32,777) (101,366) (92,160) 413,908 104,181 ---------- ---------- ---------- ---------- ---------- ---------- Realized gains (losses) on investments: Capital gain distributions received -- 26,932 -- 80,805 -- -- Net realized gain (loss) 80,317 (249,769) (70,326) (704,446) 94,080 55,041 ---------- ---------- ---------- ---------- ---------- ---------- Realized gains (losses) 80,317 (222,837) (70,326) (623,641) 94,080 55,041 ---------- ---------- ---------- ---------- ---------- ---------- Unrealized appreciation (depreciation) during the period 215,280 752,123 1,013,641 2,248,277 (375,661) 116,557 ---------- ---------- ---------- ---------- ---------- ---------- Net increase (decrease) in contract owners' equity from operations 262,036 496,509 841,949 1,532,476 132,327 275,779 ---------- ---------- ---------- ---------- ---------- ---------- Changes from principal transactions: Purchase payments 465 515 54,888 152,348 8,158 36,487 Transfers between sub-accounts and the company (287,898) 222,109 99,237 (509,393) (187,022) 1,157,180 Withdrawals (350,470) (259,749) (598,100) (439,028) (110,663) (201,630) Annual contract fee (2,842) (3,023) (23,268) (23,675) (3,865) (540) ---------- ---------- ---------- ---------- ---------- ---------- Net increase (decrease) in contract owners' equity from principal transactions (640,745) (40,148) (467,243) (819,748) (293,392) 991,497 ---------- ---------- ---------- ---------- ---------- ---------- Total increase (decrease) in contract owners' equity (378,709) 456,361 374,706 712,728 (161,065) 1,267,276 Contract owners' equity at beginning of period 2,395,960 1,939,599 6,463,590 5,750,862 1,323,792 56,516 ---------- ---------- ---------- ---------- ---------- ---------- Contract owners' equity at end of period $2,017,251 $2,395,960 $6,838,296 $6,463,590 $1,162,727 $1,323,792 ========== ========== ========== ========== ========== ==========
2010 2009 2010 2009 2010 2009 ---------- ---------- ---------- ---------- ---------- ---------- Units, beginning of period 134,134 141,062 344,715 393,557 115,426 8,816 Units issued 8,019 44,429 54,251 73,263 66,005 152,717 Units redeemed 42,725 51,357 78,705 122,105 89,039 46,107 ---------- ---------- ---------- ---------- ---------- ---------- Units, end of period 99,428 134,134 320,261 344,715 92,392 115,426 ========== ========== ========== ========== ========== ==========
See accompanying notes. 49 JOHN HANCOCK LIFE INSURANCE COMPANY OF NEW YORK SEPARATE ACCOUNT A STATEMENTS OF OPERATIONS AND CHANGES IN CONTRACT OWNERS EQUITY FOR THE YEARS ENDED DECEMBER 31,
International High Yield Series I High Yield Series II Core Series I ------------------------ ------------------------ ---------------------- 2010 2009 2010 2009 2010 2009 ----------- ----------- ----------- ----------- ---------- ---------- Income: Dividend distributions received $ 1,216,978 $ 401,992 $ 2,815,510 $ 868,360 $ 37,462 $ 52,651 Expenses: Mortality and expense risk and administrative charges (54,720) (59,896) (123,988) (124,824) (31,377) (32,758) ----------- ----------- ----------- ----------- ---------- ---------- Net investment income (loss) 1,162,258 342,096 2,691,522 743,536 6,085 19,893 ----------- ----------- ----------- ----------- ---------- ---------- Realized gains (losses) on investments: Capital gain distributions received -- -- -- -- -- 64,529 Net realized gain (loss) 341,375 (849,251) 887,862 (1,322,314) (218,019) (193,387) ----------- ----------- ----------- ----------- ---------- ---------- Realized gains (losses) 341,375 (849,251) 887,862 (1,322,314) (218,019) (128,858) ----------- ----------- ----------- ----------- ---------- ---------- Unrealized appreciation (depreciation) during the period (1,137,574) 2,075,324 (2,808,146) 3,762,976 354,579 419,453 ----------- ----------- ----------- ----------- ---------- ---------- Net increase (decrease) in contract owners' equity from operations 366,059 1,568,169 771,238 3,184,198 142,645 310,488 ----------- ----------- ----------- ----------- ---------- ---------- Changes from principal transactions: Purchase payments 5,568 2,832 44,651 521,654 1,824 5,478 Transfers between sub-accounts and the company (104,129) 222,434 (841,126) 600,605 (30,773) (29,891) Withdrawals (906,018) (1,326,392) (1,299,366) (1,329,919) (341,641) (314,930) Annual contract fee (2,986) (3,874) (15,109) (14,461) (1,545) (1,860) ----------- ----------- ----------- ----------- ---------- ---------- Net increase (decrease) in contract owners' equity from principal transactions (1,007,565) (1,105,000) (2,110,950) (222,121) (372,135) (341,203) ----------- ----------- ----------- ----------- ---------- ---------- Total increase (decrease) in contract owners' equity (641,506) 463,169 (1,339,712) 2,962,077 (229,490) (30,715) Contract owners' equity at beginning of period 3,895,684 3,432,515 8,953,289 5,991,212 2,336,287 2,367,002 ----------- ----------- ----------- ----------- ---------- ---------- Contract owners' equity at end of period $ 3,254,178 $ 3,895,684 $ 7,613,577 $ 8,953,289 $2,106,797 $2,336,287 =========== =========== =========== =========== ========== ==========
2010 2009 2010 2009 2010 2009 ----------- ----------- ----------- ----------- ---------- ---------- Units, beginning of period 237,134 321,813 508,280 513,029 180,124 215,174 Units issued 60,220 89,687 212,574 240,622 8,678 11,167 Units redeemed 121,498 174,366 335,585 245,371 38,019 46,217 ----------- ----------- ----------- ----------- ---------- ---------- Units, end of period 175,856 237,134 385,269 508,280 150,783 180,124 =========== =========== =========== =========== ========== ==========
See accompanying notes. 50 JOHN HANCOCK LIFE INSURANCE COMPANY OF NEW YORK SEPARATE ACCOUNT A STATEMENTS OF OPERATIONS AND CHANGES IN CONTRACT OWNERS EQUITY FOR THE YEARS ENDED DECEMBER 31,
International Equity International Equity International Core Index A Index A Series II Trust Series I Trust Series II ---------------------- --------------------- ---------------------- 2010 2009 2010 2009 2010 2009 ---------- ---------- ---------- --------- ---------- ---------- Income: Dividend distributions received $ 27,985 $ 35,484 $ 44,558 $ 102,277 $ 100,928 $ 285,795 Expenses: Mortality and expense risk and administrative charges (27,129) (25,519) (26,461) (13,464) (69,704) (37,377) ---------- ---------- ---------- --------- ---------- ---------- Net investment income (loss) 856 9,965 18,097 88,813 31,224 248,418 ---------- ---------- ---------- --------- ---------- ---------- Realized gains (losses) on investments: Capital gain distributions received -- 46,085 617,992 -- 1,607,576 -- Net realized gain (loss) (291,698) (163,533) (284,438) (53,984) (648,353) (312,802) ---------- ---------- ---------- --------- ---------- ---------- Realized gains (losses) (291,698) (117,448) 333,554 (53,984) 959,223 (312,802) ---------- ---------- ---------- --------- ---------- ---------- Unrealized appreciation (depreciation) during the period 417,526 364,750 (159,414) 217,781 (533,972) 793,125 ---------- ---------- ---------- --------- ---------- ---------- Net increase (decrease) in contract owners' equity from operations 126,684 257,267 192,237 252,610 456,475 728,741 ---------- ---------- ---------- --------- ---------- ---------- Changes from principal transactions: Purchase payments 12,274 19,417 13,516 318 17,903 17,236 Transfers between sub-accounts and the company (97,914) 54,156 1,412,741 (32,871) 2,858,859 (69,518) Withdrawals (114,432) (37,764) (306,158) (140,310) (141,583) (417,935) Annual contract fee (4,731) (5,175) (956) (542) (18,363) (10,121) ---------- ---------- ---------- --------- ---------- ---------- Net increase (decrease) in contract owners' equity from principal transactions (204,803) 30,634 1,119,143 (173,405) 2,716,816 (480,338) ---------- ---------- ---------- --------- ---------- ---------- Total increase (decrease) in contract owners' equity (78,119) 287,901 1,311,380 79,205 3,173,291 248,403 Contract owners' equity at beginning of period 1,877,809 1,589,908 894,801 815,596 2,514,348 2,265,945 ---------- ---------- ---------- --------- ---------- ---------- Contract owners' equity at end of period $1,799,690 $1,877,809 $2,206,181 $ 894,801 $5,687,639 $2,514,348 ========== ========== ========== ========= ========== ==========
2010 2009 2010 2009 2010 2009 ---------- ---------- ---------- --------- ---------- ---------- Units, beginning of period 125,956 123,749 51,358 63,514 145,519 177,598 Units issued 24,498 17,658 92,877 1,534 219,326 24,527 Units redeemed 38,607 15,451 28,877 13,690 57,759 56,606 ---------- ---------- ---------- --------- ---------- ---------- Units, end of period 111,847 125,956 115,358 51,358 307,086 145,519 ========== ========== ========== ========= ========== ==========
See accompanying notes. 51 JOHN HANCOCK LIFE INSURANCE COMPANY OF NEW YORK SEPARATE ACCOUNT A STATEMENTS OF OPERATIONS AND CHANGES IN CONTRACT OWNERS EQUITY FOR THE YEARS ENDED DECEMBER 31,
International International Equity Opportunities International Small Index Series NAV Series II Company Series I ---------------------- ---------------------- ---------------------- 2010 2009 2010 2009 2010 2009 ---------- ---------- ---------- ---------- ---------- ---------- Income: Dividend distributions received $ 67,990 $ 89,594 $ 41,494 $ 25,231 $ 74,411 $ 26,634 Expenses: Mortality and expense risk and administrative charges (42,178) (37,600) (53,610) (43,777) (43,417) (6,569) ---------- ---------- ---------- ---------- ---------- ---------- Net investment income (loss) 25,812 51,994 (12,116) (18,546) 30,994 20,065 ---------- ---------- ---------- ---------- ---------- ---------- Realized gains (losses) on investments: Capital gain distributions received -- 44,897 -- -- -- -- Net realized gain (loss) (159,616) (273,567) (509,808) (644,480) 6,649 (3,246) ---------- ---------- ---------- ---------- ---------- ---------- Realized gains (losses) (159,616) (228,670) (509,808) (644,480) 6,649 (3,246) ---------- ---------- ---------- ---------- ---------- ---------- Unrealized appreciation (depreciation) during the period 401,284 935,096 912,748 1,506,941 507,564 (82,438) ---------- ---------- ---------- ---------- ---------- ---------- Net increase (decrease) in contract owners' equity from operations 267,480 758,420 390,824 843,915 545,207 (65,619) ---------- ---------- ---------- ---------- ---------- ---------- Changes from principal transactions: Purchase payments 16,788 25,170 12,097 193,471 13,276 783 Transfers between sub-accounts and the company 23,058 (139,721) (264,021) 424,886 (118,267) 3,461,809 Withdrawals (159,434) (108,745) (167,287) (123,597) (729,071) (80,975) Annual contract fee (15,384) (17,934) (7,452) (6,172) (3,022) (278) ---------- ---------- ---------- ---------- ---------- ---------- Net increase (decrease) in contract owners' equity from principal transactions (134,972) (241,230) (426,663) 488,588 (837,084) 3,381,339 ---------- ---------- ---------- ---------- ---------- ---------- Total increase (decrease) in contract owners' equity 132,508 517,190 (35,839) 1,332,503 (291,877) 3,315,720 Contract owners' equity at beginning of period 2,733,577 2,216,387 3,655,390 2,322,887 3,315,720 -- ---------- ---------- ---------- ---------- ---------- ---------- Contract owners' equity at end of period $2,866,085 $2,733,577 $3,619,551 $3,655,390 $3,023,843 $3,315,720 ========== ========== ========== ========== ========== ==========
2010 2009 2010 2009 2010 2009 ---------- ---------- ---------- ---------- ---------- ---------- Units, beginning of period 277,682 307,630 264,723 226,741 270,317 -- Units issued 25,467 16,918 48,073 90,691 6,575 288,673 Units redeemed 37,693 46,866 78,505 52,709 73,089 18,356 ---------- ---------- ---------- ---------- ---------- ---------- Units, end of period 265,456 277,682 234,291 264,723 203,803 270,317 ========== ========== ========== ========== ========== ==========
See accompanying notes. 52 JOHN HANCOCK LIFE INSURANCE COMPANY OF NEW YORK SEPARATE ACCOUNT A STATEMENTS OF OPERATIONS AND CHANGES IN CONTRACT OWNERS EQUITY FOR THE YEARS ENDED DECEMBER 31,
International Small International International Company Series II Value Series I Value Series II ---------------------- ------------------------ ------------------------ 2010 2009 2010 2009 2010 2009 ---------- ---------- ----------- ----------- ----------- ----------- Income: Dividend distributions received $ 130,537 $ 42,921 $ 144,534 $ 167,876 $ 256,663 $ 276,285 Expenses: Mortality and expense risk and administrative charges (82,081) (11,480) (114,660) (120,529) (233,901) (218,859) ---------- ---------- ----------- ----------- ----------- ----------- Net investment income (loss) 48,456 31,441 29,874 47,347 22,762 57,426 ---------- ---------- ----------- ----------- ----------- ----------- Realized gains (losses) on investments: Capital gain distributions received -- -- -- 382,066 -- 658,719 Net realized gain (loss) 15,754 (4,610) (749,402) (999,628) (1,463,992) (1,555,571) ---------- ---------- ----------- ----------- ----------- ----------- Realized gains (losses) 15,754 (4,610) (749,402) (617,562) (1,463,992) (896,852) ---------- ---------- ----------- ----------- ----------- ----------- Unrealized appreciation (depreciation) during the period 948,123 (135,953) 1,125,805 2,878,861 2,332,107 4,965,601 ---------- ---------- ----------- ----------- ----------- ----------- Net increase (decrease) in contract owners' equity from operations 1,012,333 (109,122) 406,277 2,308,646 890,877 4,126,175 ---------- ---------- ----------- ----------- ----------- ----------- Changes from principal transactions: Purchase payments 71,828 3,020 16,763 38,012 119,859 61,632 Transfers between sub-accounts and the company (372,025) 5,525,696 (87,208) (569,057) 186,248 (756,628) Withdrawals (275,521) (13,061) (1,244,636) (1,179,362) (1,634,543) (849,163) Annual contract fee (14,680) (2,178) (6,143) (7,397) (54,256) (59,812) ---------- ---------- ----------- ----------- ----------- ----------- Net increase (decrease) in contract owners' equity from principal transactions (590,398) 5,513,477 (1,321,224) (1,717,804) (1,382,692) (1,603,971) ---------- ---------- ----------- ----------- ----------- ----------- Total increase (decrease) in contract owners' equity 421,935 5,404,355 (914,947) 590,842 (491,815) 2,522,204 Contract owners' equity at beginning of period 5,404,355 -- 8,641,031 8,050,189 16,005,189 13,482,985 ---------- ---------- ----------- ----------- ----------- ----------- Contract owners' equity at end of period $5,826,290 $5,404,355 $ 7,726,084 $ 8,641,031 $15,513,374 $16,005,189 ========== ========== =========== =========== =========== ===========
2010 2009 2010 2009 2010 2009 ---------- ---------- ----------- ----------- ----------- ----------- Units, beginning of period 440,744 -- 524,669 654,115 875,493 981,827 Units issued 28,244 457,462 18,826 8,517 85,576 52,503 Units redeemed 74,813 16,718 103,418 137,963 162,489 158,837 ---------- ---------- ----------- ----------- ----------- ----------- Units, end of period 394,175 440,744 440,077 524,669 798,580 875,493 ========== ========== =========== =========== =========== ===========
See accompanying notes. 53 JOHN HANCOCK LIFE INSURANCE COMPANY OF NEW YORK SEPARATE ACCOUNT A STATEMENTS OF OPERATIONS AND CHANGES IN CONTRACT OWNERS EQUITY FOR THE YEARS ENDED DECEMBER 31,
Investment Quality Investment Quality Bond Series I Bond Series II Large Cap Series I ------------------------ ------------------------ ------------------------ 2010 2009 2010 2009 2010 2009 ----------- ----------- ----------- ----------- ----------- ----------- Income: Dividend distributions received $ 344,894 $ 348,056 $ 1,268,803 $ 1,145,721 $ 115,917 $ 193,950 Expenses: Mortality and expense risk and administrative charges (106,338) (113,085) (425,202) (353,277) (157,152) (144,960) ----------- ----------- ----------- ----------- ----------- ----------- Net investment income (loss) 238,556 234,971 843,601 792,444 (41,235) 48,990 ----------- ----------- ----------- ----------- ----------- ----------- Realized gains (losses) on investments: Capital gain distributions received -- -- -- -- -- -- Net realized gain (loss) (60,341) (276,836) 137,399 (414,847) (547,704) (1,441,722) ----------- ----------- ----------- ----------- ----------- ----------- Realized gains (losses) (60,341) (276,836) 137,399 (414,847) (547,704) (1,441,722) ----------- ----------- ----------- ----------- ----------- ----------- Unrealized appreciation (depreciation) during the period 221,901 787,816 499,130 1,730,595 1,852,759 4,007,657 ----------- ----------- ----------- ----------- ----------- ----------- Net increase (decrease) in contract owners' equity from operations 400,116 746,000 1,480,130 2,108,192 1,263,820 2,614,925 ----------- ----------- ----------- ----------- ----------- ----------- Changes from principal transactions: Purchase payments 165,501 40,749 130,824 211,726 14,038 16,933 Transfers between sub-accounts and the company 221,599 153,158 645,701 5,578,920 (65,220) (592,720) Withdrawals (1,202,449) (1,394,862) (2,381,368) (1,570,138) (1,011,147) (1,087,247) Annual contract fee (8,492) (5,858) (107,915) (96,673) (9,708) (10,900) ----------- ----------- ----------- ----------- ----------- ----------- Net increase (decrease) in contract owners' equity from principal transactions (823,841) (1,206,813) (1,712,758) 4,123,835 (1,072,037) (1,673,934) ----------- ----------- ----------- ----------- ----------- ----------- Total increase (decrease) in contract owners' equity (423,725) (460,813) (232,628) 6,232,027 191,783 940,991 Contract owners' equity at beginning of period 7,037,751 7,498,564 27,171,719 20,939,692 11,301,320 10,360,329 ----------- ----------- ----------- ----------- ----------- ----------- Contract owners' equity at end of period $ 6,614,026 $ 7,037,751 $26,939,091 $27,171,719 $11,493,103 $11,301,320 =========== =========== =========== =========== =========== ===========
2010 2009 2010 2009 2010 2009 ----------- ----------- ----------- ----------- ----------- ----------- Units, beginning of period 294,959 355,339 1,667,272 1,421,789 947,965 1,120,962 Units issued 42,641 25,837 228,279 470,765 6,870 3,216 Units redeemed 75,224 86,217 329,492 225,282 95,194 176,213 ----------- ----------- ----------- ----------- ----------- ----------- Units, end of period 262,376 294,959 1,566,059 1,667,272 859,641 947,965 =========== =========== =========== =========== =========== ===========
See accompanying notes. 54 JOHN HANCOCK LIFE INSURANCE COMPANY OF NEW YORK SEPARATE ACCOUNT A STATEMENTS OF OPERATIONS AND CHANGES IN CONTRACT OWNERS EQUITY FOR THE YEARS ENDED DECEMBER 31,
Large Cap Large Cap Large Cap Series II Value Series I Value Series II ---------------------- ---------------------- ---------------------- 2010 2009 2010 2009 2010 2009 ---------- ---------- ---------- ---------- ---------- ---------- Income: Dividend distributions received $ 9,120 $ 15,349 $ 10,767 $ 17,241 $ 41,970 $ 59,538 Expenses: Mortality and expense risk and administrative charges (15,253) (13,438) (15,888) (17,980) (66,862) (66,640) ---------- ---------- ---------- ---------- ---------- ---------- Net investment income (loss) (6,133) 1,911 (5,121) (739) (24,892) (7,102) ---------- ---------- ---------- ---------- ---------- ---------- Realized gains (losses) on investments: Capital gain distributions received -- -- -- -- -- -- Net realized gain (loss) (52,205) (70,009) (211,059) (275,364) (385,944) (468,394) ---------- ---------- ---------- ---------- ---------- ---------- Realized gains (losses) (52,205) (70,009) (211,059) (275,364) (385,944) (468,394) ---------- ---------- ---------- ---------- ---------- ---------- Unrealized appreciation (depreciation) during the period 175,806 305,069 278,483 355,507 742,350 851,685 ---------- ---------- ---------- ---------- ---------- ---------- Net increase (decrease) in contract owners' equity from operations 117,468 236,971 62,303 79,404 331,514 376,189 ---------- ---------- ---------- ---------- ---------- ---------- Changes from principal transactions: Purchase payments 3,900 8,948 986 2,080 131,441 44,301 Transfers between sub-accounts and the company 51,168 (49,350) (157,435) (99,391) (15,891) (217,618) Withdrawals (22,354) (36,384) (99,939) (177,140) (324,492) (207,819) Annual contract fee (5,067) (5,192) (1,059) (1,623) (16,575) (18,703) ---------- ---------- ---------- ---------- ---------- ---------- Net increase (decrease) in contract owners' equity from principal transactions 27,647 (81,978) (257,447) (276,074) (225,517) (399,839) ---------- ---------- ---------- ---------- ---------- ---------- Total increase (decrease) in contract owners' equity 145,115 154,993 (195,144) (196,670) 105,997 (23,650) Contract owners' equity at beginning of period 1,015,130 860,137 1,121,559 1,318,229 4,509,113 4,532,763 ---------- ---------- ---------- ---------- ---------- ---------- Contract owners' equity at end of period $1,160,245 $1,015,130 $ 926,415 $1,121,559 $4,615,110 $4,509,113 ========== ========== ========== ========== ========== ==========
2010 2009 2010 2009 2010 2009 ---------- ---------- ---------- ---------- ---------- ---------- Units, beginning of period 85,876 93,616 65,259 83,531 262,996 287,239 Units issued 10,585 1,267 6,422 8,143 32,801 27,500 Units redeemed 8,644 9,007 21,963 26,415 46,446 51,743 ---------- ---------- ---------- ---------- ---------- ---------- Units, end of period 87,817 85,876 49,718 65,259 249,351 262,996 ========== ========== ========== ========== ========== ==========
See accompanying notes. 55 JOHN HANCOCK LIFE INSURANCE COMPANY OF NEW YORK SEPARATE ACCOUNT A STATEMENTS OF OPERATIONS AND CHANGES IN CONTRACT OWNERS EQUITY FOR THE YEARS ENDED DECEMBER 31,
Lifestyle Aggressive Lifestyle Aggressive Lifestyle Balanced Series I Series II Series I ---------------------- ------------------------ ------------------------ 2010 2009 2010 2009 2010 2009 ---------- ---------- ----------- ----------- ----------- ----------- Income: Dividend distributions received $ 45,412 $ 26,928 $ 559,089 $ 249,745 $ 697,861 $ 1,168,306 Expenses: Mortality and expense risk and administrative charges (41,024) (41,736) (504,192) (437,792) (424,622) (406,434) ---------- ---------- ----------- ----------- ----------- ----------- Net investment income (loss) 4,388 (14,808) 54,897 (188,047) 273,239 761,872 ---------- ---------- ----------- ----------- ----------- ----------- Realized gains (losses) on investments: Capital gain distributions received -- -- -- -- -- 20,676 Net realized gain (loss) (446,163) (713,847) (3,625,448) (2,264,362) (1,671,753) (2,647,971) ---------- ---------- ----------- ----------- ----------- ----------- Realized gains (losses) (446,163) (713,847) (3,625,448) (2,264,362) (1,671,753) (2,627,295) ---------- ---------- ----------- ----------- ----------- ----------- Unrealized appreciation (depreciation) during the period 758,616 1,513,949 8,125,981 11,293,317 3,940,420 8,459,040 ---------- ---------- ----------- ----------- ----------- ----------- Net increase (decrease) in contract owners' equity from operations 316,841 785,294 4,555,430 8,840,908 2,541,906 6,593,617 ---------- ---------- ----------- ----------- ----------- ----------- Changes from principal transactions: Purchase payments 24,177 55,738 413,104 311,457 192,809 679,112 Transfers between sub-accounts and the company (190,326) (131,896) (1,075,283) 1,410,125 (799,512) 1,765,336 Withdrawals (629,001) (234,636) (3,701,370) (1,199,805) (5,579,010) (3,572,063) Annual contract fee (3,309) (3,551) (158,371) (159,949) (31,836) (42,476) ---------- ---------- ----------- ----------- ----------- ----------- Net increase (decrease) in contract owners' equity from principal transactions (798,459) (314,345) (4,521,920) 361,828 (6,217,549) (1,170,091) ---------- ---------- ----------- ----------- ----------- ----------- Total increase (decrease) in contract owners' equity (481,618) 470,949 33,510 9,202,736 (3,675,643) 5,423,526 Contract owners' equity at beginning of period 3,043,641 2,572,692 34,901,841 25,699,105 30,229,430 24,805,904 ---------- ---------- ----------- ----------- ----------- ----------- Contract owners' equity at end of period $2,562,023 $3,043,641 $34,935,351 $34,901,841 $26,553,787 $30,229,430 ========== ========== =========== =========== =========== ===========
2010 2009 2010 2009 2010 2009 ---------- ---------- ----------- ----------- ----------- ----------- Units, beginning of period 221,429 250,075 2,337,815 2,297,428 1,753,765 1,854,565 Units issued 11,805 46,386 160,462 233,782 156,250 345,363 Units redeemed 70,765 75,032 445,523 193,395 499,872 446,163 ---------- ---------- ----------- ----------- ----------- ----------- Units, end of period 162,469 221,429 2,052,754 2,337,815 1,410,143 1,753,765 ========== ========== =========== =========== =========== ===========
See accompanying notes. 56 JOHN HANCOCK LIFE INSURANCE COMPANY OF NEW YORK SEPARATE ACCOUNT A STATEMENTS OF OPERATIONS AND CHANGES IN CONTRACT OWNERS EQUITY FOR THE YEARS ENDED DECEMBER 31,
Lifestyle Balanced Lifestyle Conservative Lifestyle Conservative Series II Series I Series II -------------------------- ------------------------ -------------------------- 2010 2009 2010 2009 2010 2009 ------------ ------------ ----------- ----------- ------------ ------------ Income: Dividend distributions received $ 22,272,947 $ 31,175,464 $ 292,345 $ 582,874 $ 5,685,259 $ 9,422,110 Expenses: Mortality and expense risk and administrative charges (13,319,349) (11,042,216) (179,668) (187,363) (3,464,326) (2,553,242) ------------ ------------ ----------- ----------- ------------ ------------ Net investment income (loss) 8,953,598 20,133,248 112,677 395,511 2,220,933 6,868,868 ------------ ------------ ----------- ----------- ------------ ------------ Realized gains (losses) on investments: Capital gain distributions received -- 562,085 -- 30,408 -- 396,359 Net realized gain (loss) (18,392,184) (26,404,043) (112,720) (875,345) (1,004,053) (6,087,187) ------------ ------------ ----------- ----------- ------------ ------------ Realized gains (losses) (18,392,184) (25,841,958) (112,720) (844,937) (1,004,053) (5,690,828) ------------ ------------ ----------- ----------- ------------ ------------ Unrealized appreciation (depreciation) during the period 90,471,045 188,255,011 811,520 2,536,873 14,230,745 28,807,979 ------------ ------------ ----------- ----------- ------------ ------------ Net increase (decrease) in contract owners' equity from operations 81,032,459 182,546,301 811,477 2,087,447 15,447,625 29,986,019 ------------ ------------ ----------- ----------- ------------ ------------ Changes from principal transactions: Purchase payments 34,688,684 54,719,626 41,322 34,459 13,767,992 15,012,122 Transfers between sub-accounts and the company 9,904,899 42,738,422 810,679 (349,654) 25,264,396 38,955,393 Withdrawals (57,011,407) (37,119,350) (2,132,151) (1,925,443) (20,121,162) (12,961,289) Annual contract fee (4,305,274) (3,669,105) (10,863) (12,575) (1,107,805) (753,569) ------------ ------------ ----------- ----------- ------------ ------------ Net increase (decrease) in contract owners' equity from principal transactions (16,723,098) 56,669,593 (1,291,013) (2,253,213) 17,803,421 40,252,657 ------------ ------------ ----------- ----------- ------------ ------------ Total increase (decrease) in contract owners' equity 64,309,361 239,215,894 (479,536) (165,766) 33,251,046 70,238,676 Contract owners' equity at beginning of period 846,399,527 607,183,633 11,621,584 11,787,350 195,830,587 125,591,911 ------------ ------------ ----------- ----------- ------------ ------------ Contract owners' equity at end of period $910,708,888 $846,399,527 $11,142,048 $11,621,584 $229,081,633 $195,830,587 ============ ============ =========== =========== ============ ============
2010 2009 2010 2009 2010 2009 ------------ ------------ ----------- ----------- ------------ ------------ Units, beginning of period 57,547,943 52,147,101 617,028 751,308 12,691,596 9,578,698 Units issued 4,247,183 10,179,238 98,678 172,624 4,422,431 5,570,239 Units redeemed 4,900,909 4,778,396 168,291 306,904 3,181,664 2,457,341 ------------ ------------ ----------- ----------- ------------ ------------ Units, end of period 56,894,217 57,547,943 547,415 617,028 13,932,363 12,691,596 ============ ============ =========== =========== ============ ============
See accompanying notes. 57 JOHN HANCOCK LIFE INSURANCE COMPANY OF NEW YORK SEPARATE ACCOUNT A STATEMENTS OF OPERATIONS AND CHANGES IN CONTRACT OWNERS EQUITY FOR THE YEARS ENDED DECEMBER 31,
Lifestyle Growth Lifestyle Growth Lifestyle Moderate Series I Series II Series I ------------------------ -------------------------- ------------------------ 2010 2009 2010 2009 2010 2009 ----------- ----------- ------------ ------------ ----------- ----------- Income: Dividend distributions received $ 404,582 $ 525,295 $ 20,586,742 $ 24,794,572 $ 345,602 $ 591,383 Expenses: Mortality and expense risk and administrative charges (265,550) (259,214) (14,210,727) (11,900,119) (212,716) (204,458) ----------- ----------- ------------ ------------ ----------- ----------- Net investment income (loss) 139,032 266,081 6,376,015 12,894,453 132,886 386,925 ----------- ----------- ------------ ------------ ----------- ----------- Realized gains (losses) on investments: Capital gain distributions received -- -- -- -- -- -- Net realized gain (loss) (849,392) (1,770,153) (26,794,554) (28,458,260) (350,878) (1,428,354) ----------- ----------- ------------ ------------ ----------- ----------- Realized gains (losses) (849,392) (1,770,153) (26,794,554) (28,458,260) (350,878) (1,428,354) ----------- ----------- ------------ ------------ ----------- ----------- Unrealized appreciation (depreciation) during the period 2,536,783 6,093,815 118,232,817 227,997,208 1,335,132 3,936,810 ----------- ----------- ------------ ------------ ----------- ----------- Net increase (decrease) in contract owners' equity from operations 1,826,423 4,589,743 97,814,278 212,433,401 1,117,140 2,895,381 ----------- ----------- ------------ ------------ ----------- ----------- Changes from principal transactions: Purchase payments 758,857 61,791 33,337,999 42,788,493 144,585 261,638 Transfers between sub-accounts and the company 35,860 37,528 (1,640,229) 18,997,254 802,638 469,072 Withdrawals (2,650,531) (3,123,219) (47,342,647) (25,030,528) (2,466,475) (3,144,087) Annual contract fee (34,146) (15,479) (4,938,190) (4,498,747) (8,008) (11,363) ----------- ----------- ------------ ------------ ----------- ----------- Net increase (decrease) in contract owners' equity from principal transactions (1,889,960) (3,039,379) (20,583,067) 32,256,472 (1,527,260) (2,424,740) ----------- ----------- ------------ ------------ ----------- ----------- Total increase (decrease) in contract owners' equity (63,537) 1,550,364 77,231,211 244,689,873 (410,120) 470,641 Contract owners' equity at beginning of period 17,934,747 16,384,383 904,375,985 659,686,112 13,889,676 13,419,035 ----------- ----------- ------------ ------------ ----------- ----------- Contract owners' equity at end of period $17,871,210 $17,934,747 $981,607,196 $904,375,985 $13,479,556 $13,889,676 =========== =========== ============ ============ =========== ===========
2010 2009 2010 2009 2010 2009 ----------- ----------- ------------ ------------ ----------- ----------- Units, beginning of period 1,147,523 1,375,913 64,056,962 60,321,560 783,719 955,032 Units issued 145,233 117,878 4,856,082 7,969,505 87,828 127,180 Units redeemed 253,037 346,268 5,826,503 4,234,103 175,614 298,493 ----------- ----------- ------------ ------------ ----------- ----------- Units, end of period 1,039,719 1,147,523 63,086,541 64,056,962 695,933 783,719 =========== =========== ============ ============ =========== ===========
See accompanying notes. 58 JOHN HANCOCK LIFE INSURANCE COMPANY OF NEW YORK SEPARATE ACCOUNT A STATEMENTS OF OPERATIONS AND CHANGES IN CONTRACT OWNERS EQUITY FOR THE YEARS ENDED DECEMBER 31,
Lifestyle Moderate Series II Mid Cap Index Series I Mid Cap Index Series II -------------------------- ---------------------- ------------------------ 2010 2009 2010 2009 2010 2009 ------------ ------------ ---------- ---------- ----------- ----------- Income: Dividend distributions received $ 7,765,954 $ 11,622,622 $ 17,830 $ 14,511 $ 91,816 $ 75,130 Expenses: Mortality and expense risk and administrative charges (4,650,149) (3,741,454) (25,107) (21,345) (174,249) (139,206) ------------ ------------ ---------- ---------- ----------- ----------- Net investment income (loss) 3,115,805 7,881,168 (7,277) (6,834) (82,433) (64,076) ------------ ------------ ---------- ---------- ----------- ----------- Realized gains (losses) on investments: Capital gain distributions received -- -- -- 21,314 -- 137,046 Net realized gain (loss) (4,072,791) (10,373,082) (130,192) (194,675) (646,299) (942,577) ------------ ------------ ---------- ---------- ----------- ----------- Realized gains (losses) (4,072,791) (10,373,082) (130,192) (173,361) (646,299) (805,531) ------------ ------------ ---------- ---------- ----------- ----------- Unrealized appreciation (depreciation) during the period 26,496,520 57,486,635 480,195 588,423 3,051,766 3,551,689 ------------ ------------ ---------- ---------- ----------- ----------- Net increase (decrease) in contract owners' equity from operations 25,539,534 54,994,721 342,726 408,228 2,323,034 2,682,082 ------------ ------------ ---------- ---------- ----------- ----------- Changes from principal transactions: Purchase payments 17,732,999 24,379,694 949 504 99,739 117,506 Transfers between sub-accounts and the company 18,561,452 20,452,516 184,609 98,015 (17,297) 65,698 Withdrawals (20,876,029) (15,253,812) (236,092) (216,642) (949,067) (619,417) Annual contract fee (1,469,867) (1,128,582) (1,493) (1,464) (49,550) (47,089) ------------ ------------ ---------- ---------- ----------- ----------- Net increase (decrease) in contract owners' equity from principal transactions 13,948,555 28,449,816 (52,027) (119,587) (916,175) (483,302) ------------ ------------ ---------- ---------- ----------- ----------- Total increase (decrease) in contract owners' equity 39,488,089 83,444,537 290,699 288,641 1,406,859 2,198,780 Contract owners' equity at beginning of period 284,909,963 201,465,426 1,630,122 1,341,481 10,562,167 8,363,387 ------------ ------------ ---------- ---------- ----------- ----------- Contract owners' equity at end of period $324,398,052 $284,909,963 $1,920,821 $1,630,122 $11,969,026 $10,562,167 ============ ============ ========== ========== =========== ===========
2010 2009 2010 2009 2010 2009 ------------ ------------ ---------- ---------- ----------- ----------- Units, beginning of period 19,158,362 16,670,661 94,682 105,262 677,616 712,717 Units issued 3,195,748 4,853,075 30,277 14,212 96,466 79,738 Units redeemed 2,142,786 2,365,374 35,260 24,792 153,697 114,839 ------------ ------------ ---------- ---------- ----------- ----------- Units, end of period 20,211,324 19,158,362 89,699 94,682 620,385 677,616 ============ ============ ========== ========== =========== ===========
See accompanying notes. 59 JOHN HANCOCK LIFE INSURANCE COMPANY OF NEW YORK SEPARATE ACCOUNT A STATEMENTS OF OPERATIONS AND CHANGES IN CONTRACT OWNERS EQUITY FOR THE YEARS ENDED DECEMBER 31,
Mid Cap Stock Series I Mid Cap Stock Series II Mid Value Series I ------------------------ ------------------------ ---------------------- 2010 2009 2010 2009 2010 2009 ----------- ----------- ----------- ----------- ---------- ---------- Income: Dividend distributions received $ 8 $ -- $ -- $ -- $ 79,489 $ 17,371 Expenses: Mortality and expense risk and administrative charges (152,443) (148,460) (248,275) (215,809) (63,581) (42,414) ----------- ----------- ----------- ----------- ---------- ---------- Net investment income (loss) (152,435) (148,460) (248,275) (215,809) 15,908 (25,043) ----------- ----------- ----------- ----------- ---------- ---------- Realized gains (losses) on investments: Capital gain distributions received -- -- -- -- 14,426 -- Net realized gain (loss) (603,741) (1,223,712) (555,709) (953,223) 208,997 112,107 ----------- ----------- ----------- ----------- ---------- ---------- Realized gains (losses) (603,741) (1,223,712) (555,709) (953,223) 223,423 112,107 ----------- ----------- ----------- ----------- ---------- ---------- Unrealized appreciation (depreciation) during the period 2,673,841 3,767,207 3,916,006 4,892,184 295,396 1,056,987 ----------- ----------- ----------- ----------- ---------- ---------- Net increase (decrease) in contract owners' equity from operations 1,917,665 2,395,035 3,112,022 3,723,152 534,727 1,144,051 ----------- ----------- ----------- ----------- ---------- ---------- Changes from principal transactions: Purchase payments 95,957 43,082 106,950 177,993 960 640 Transfers between sub-accounts and the company (194,531) (505,479) (671,767) (392,922) (91,115) 3,256,905 Withdrawals (1,590,973) (2,030,770) (1,572,129) (652,219) (518,770) (235,959) Annual contract fee (13,314) (11,975) (54,680) (57,305) (4,384) (2,272) ----------- ----------- ----------- ----------- ---------- ---------- Net increase (decrease) in contract owners' equity from principal transactions (1,702,861) (2,505,142) (2,191,626) (924,453) (613,309) 3,019,314 ----------- ----------- ----------- ----------- ---------- ---------- Total increase (decrease) in contract owners' equity 214,804 (110,107) 920,396 2,798,699 (78,582) 4,163,365 Contract owners' equity at beginning of period 10,087,347 10,197,454 16,194,692 13,395,993 4,163,365 -- ----------- ----------- ----------- ----------- ---------- ---------- Contract owners' equity at end of period $10,302,151 $10,087,347 $17,115,088 $16,194,692 $4,084,783 $4,163,365 =========== =========== =========== =========== ========== ==========
2010 2009 2010 2009 2010 2009 ----------- ----------- ----------- ----------- ---------- ---------- Units, beginning of period 699,450 913,146 928,470 988,037 276,616 -- Units issued 24,695 17,509 65,213 77,964 3,189 330,859 Units redeemed 132,560 231,205 180,648 137,531 42,544 54,243 ----------- ----------- ----------- ----------- ---------- ---------- Units, end of period 591,585 699,450 813,035 928,470 237,261 276,616 =========== =========== =========== =========== ========== ==========
See accompanying notes. 60 JOHN HANCOCK LIFE INSURANCE COMPANY OF NEW YORK SEPARATE ACCOUNT A STATEMENTS OF OPERATIONS AND CHANGES IN CONTRACT OWNERS EQUITY FOR THE YEARS ENDED DECEMBER 31,
Mid Value Series II Money Market Series I Money Market Series II ------------------------ --------------------------- -------------------------- 2010 2009 2010 2009 2010 2009 ----------- ----------- ------------- ------------ ------------ ------------ Income: Dividend distributions received $ 221,539 $ 28,391 $ -- $ 43,350 $ -- $ 97,661 Expenses: Mortality and expense risk and administrative charges (194,559) (128,922) (194,916) (299,887) (1,200,594) (1,862,672) ----------- ----------- ------------- ------------ ------------ ------------ Net investment income (loss) 26,980 (100,531) (194,916) (256,537) (1,200,594) (1,765,011) ----------- ----------- ------------- ------------ ------------ ------------ Realized gains (losses) on investments: Capital gain distributions received 45,322 -- 135 -- 793 -- Net realized gain (loss) 684,730 (66,016) -- -- -- -- ----------- ----------- ------------- ------------ ------------ ------------ Realized gains (losses) 730,052 (66,016) 135 -- 793 -- ----------- ----------- ------------- ------------ ------------ ------------ Unrealized appreciation (depreciation) during the period 885,273 3,679,685 -- -- -- -- ----------- ----------- ------------- ------------ ------------ ------------ Net increase (decrease) in contract owners' equity from operations 1,642,305 3,513,138 (194,781) (256,537) (1,199,801) (1,765,011) ----------- ----------- ------------- ------------ ------------ ------------ Changes from principal transactions: Purchase payments 80,124 28,778 837,582 323,581 9,959,577 16,044,584 Transfers between sub-accounts and the company (281,807) 9,765,797 (9,167,167) 2,443,820 (17,961,509) (17,431,242) Withdrawals (1,499,018) (1,004,525) 4,396,281.00 (12,230,007) (19,083,486) (29,337,317) Annual contract fee (42,218) (27,861) (13,403) (19,360) (376,425) (516,087) ----------- ----------- ------------- ------------ ------------ ------------ Net increase (decrease) in contract owners' equity from principal transactions (1,742,919) 8,762,189 (3,946,707) (9,481,966) (27,461,843) (31,240,062) ----------- ----------- ------------- ------------ ------------ ------------ Total increase (decrease) in contract owners'equity (100,614) 12,275,327 (4,141,488) (9,738,503) (28,661,644) (33,005,073) Contract owners' equity at beginning of period 12,904,715 629,388 14,419,204 24,157,707 87,118,936 120,124,009 ----------- ----------- ------------- ------------ ------------ ------------ Contract owners' equity at end of period $12,804,101 $12,904,715 $ 10,277,716 $ 14,419,204 $ 58,457,292 $ 87,118,936 =========== =========== ============= ============ ============ ============
2010 2009 2010 2009 2010 2009 ----------- ----------- ------------- ------------ ------------ ------------ Units, beginning of period 859,298 60,229 908,732 1,531,839 6,838,505 9,306,136 Units issued 31,463 918,435 507,903 642,409 4,333,167 6,447,774 Units redeemed 142,792 119,366 774,718 1,265,516 6,512,448 8,915,405 ----------- ----------- ------------- ------------ ------------ ------------ Units, end of period 747,969 859,298 641,917 908,732 4,659,224 6,838,505 =========== =========== ============= ============ ============ ============
See accompanying notes. 61 JOHN HANCOCK LIFE INSURANCE COMPANY OF NEW YORK SEPARATE ACCOUNT A STATEMENTS OF OPERATIONS AND CHANGES IN CONTRACT OWNERS EQUITY FOR THE YEARS ENDED DECEMBER 31,
Money Market Mutual Shares Natural Resources Trust B Series NAV Series I Series II ----------------------- ----------------- ------------------------ 2010 2009 2010 2009 2010 2009 ---------- ----------- -------- ------- ----------- ----------- Income: Dividend distributions received $ 2,509 $ 35,813 $ 9,720 $ -- $ 59,074 $ 79,211 Expenses: Mortality and expense risk and administrative charges (79,157) (112,620) (2,212) (203) (214,563) (179,275) ---------- ----------- -------- ------- ----------- ----------- Net investment income (loss) (76,648) (76,807) 7,508 (203) (155,489) (100,064) ---------- ----------- -------- ------- ----------- ----------- Realized gains (losses) on investments: Capital gain distributions received -- -- -- -- -- 3,543,039 Net realized gain (loss) -- -- 2,435 225 (1,543,370) (8,213,168) ---------- ----------- -------- ------- ----------- ----------- Realized gains (losses) -- -- 2,435 225 (1,543,370) (4,670,129) ---------- ----------- -------- ------- ----------- ----------- Unrealized appreciation (depreciation) during the period -- -- 20,698 4,608 3,370,023 9,728,386 ---------- ----------- -------- ------- ----------- ----------- Net increase (decrease) in contract owners' equity from operations (76,648) (76,807) 30,641 4,630 1,671,164 4,958,193 ---------- ----------- -------- ------- ----------- ----------- Changes from principal transactions: Purchase payments 2,100 28,940 253,906 80,765 98,002 323,936 Transfers between sub-accounts and the company (88,035) (1,334,047) 65,778 15,548 207,771 1,880,159 Withdrawals (697,979) (1,866,420) (5,834) 29 (1,489,128) (627,661) Annual contract fee (21,746) (29,479) (10,699) (3,217) (33,709) (35,596) ---------- ----------- -------- ------- ----------- ----------- Net increase (decrease) in contract owners' equity from principal transactions (805,660) (3,201,006) 303,151 93,125 (1,217,064) 1,540,838 ---------- ----------- -------- ------- ----------- ----------- Total increase (decrease) in contract owners' equity (882,308) (3,277,813) 333,792 97,755 454,100 6,499,031 Contract owners' equity at beginning of period 5,298,947 8,576,760 97,755 -- 15,108,336 8,609,305 ---------- ----------- -------- ------- ----------- ----------- Contract owners' equity at end of period $4,416,639 $ 5,298,947 $431,547 $97,755 $15,562,436 $15,108,336 ========== =========== ======== ======= =========== ===========
2010 2009 2010 2009 2010 2009 ---------- ----------- -------- ------- ----------- ----------- Units, beginning of period 418,279 669,660 9,252 -- 474,644 403,134 Units issued 94,649 165,449 29,132 9,411 114,590 228,216 Units redeemed 158,636 416,830 1,393 159 153,099 156,706 ---------- ----------- -------- ------- ----------- ----------- Units, end of period 354,292 418,279 36,991 9,252 436,135 474,644 ========== =========== ======== ======= =========== ===========
See accompanying notes. 62 JOHN HANCOCK LIFE INSURANCE COMPANY OF NEW YORK SEPARATE ACCOUNT A STATEMENTS OF OPERATIONS AND CHANGES IN CONTRACT OWNERS EQUITY FOR THE YEARS ENDED DECEMBER 31,
Optimized All Optimized Value Cap Series II Series II Pacific Rim Series I ---------------------- ---------------------- ----------------------- 2010 2009 2010 2009 2010 2009 ---------- ---------- ---------- ---------- ----------- ---------- Income: Dividend distributions received $ 64,977 $ 72,801 $ 36,847 $ 37,663 $ 5,872 $ 14,150 Expenses: Mortality and expense risk and administrative charges (109,341) (97,015) (32,605) (29,969) (6,682) (19,265) ---------- ---------- ---------- ---------- ----------- ---------- Net investment income (loss) (44,364) (24,214) 4,242 7,694 (810) (5,115) ---------- ---------- ---------- ---------- ----------- ---------- Realized gains (losses) on investments: Capital gain distributions received -- -- -- -- -- -- Net realized gain (loss) (574,475) (765,283) (205,692) (333,238) (120,892) (416,096) ---------- ---------- ---------- ---------- ----------- ---------- Realized gains (losses) (574,475) (765,283) (205,692) (333,238) (120,892) (416,096) ---------- ---------- ---------- ---------- ----------- ---------- Unrealized appreciation (depreciation) during the period 1,766,357 2,252,025 435,673 724,556 145,471 816,107 ---------- ---------- ---------- ---------- ----------- ---------- Net increase (decrease) in contract owners' equity from operations 1,147,518 1,462,528 234,223 399,012 23,769 394,896 ---------- ---------- ---------- ---------- ----------- ---------- Changes from principal transactions: Purchase payments 36,073 43,365 23,357 26,284 4,085 12,210 Transfers between sub-accounts and the company (244,255) (267,895) 7,059 (69,335) (1,379,063) (53,767) Withdrawals (436,933) (308,094) (246,932) (158,997) (85,315) (130,098) Annual contract fee (40,292) (42,526) (13,173) (14,261) (532) (1,101) ---------- ---------- ---------- ---------- ----------- ---------- Net increase (decrease) in contract owners' equity from principal transactions (685,407) (575,150) (229,689) (216,309) (1,460,825) (172,756) ---------- ---------- ---------- ---------- ----------- ---------- Total increase (decrease) in contract owners' equity 462,111 887,378 4,534 182,703 (1,437,056) 222,140 Contract owners' equity at beginning of period 7,022,309 6,134,931 2,244,650 2,061,947 1,437,056 1,214,916 ---------- ---------- ---------- ---------- ----------- ---------- Contract owners' equity at end of period $7,484,420 $7,022,309 $2,249,184 $2,244,650 $ -- $1,437,056 ========== ========== ========== ========== =========== ==========
2010 2009 2010 2009 2010 2009 ---------- ---------- ---------- ---------- ----------- ---------- Units, beginning of period 466,660 513,791 183,307 206,574 122,888 135,518 Units issued 17,608 7,991 6,482 19,185 5,128 57,054 Units redeemed 60,561 55,122 24,958 42,452 128,016 69,684 ---------- ---------- ---------- ---------- ----------- ---------- Units, end of period 423,707 466,660 164,831 183,307 -- 122,888 ========== ========== ========== ========== =========== ==========
See accompanying notes. 63 JOHN HANCOCK LIFE INSURANCE COMPANY OF NEW YORK SEPARATE ACCOUNT A STATEMENTS OF OPERATIONS AND CHANGES IN CONTRACT OWNERS EQUITY FOR THE YEARS ENDED DECEMBER 31,
Real Estate Pacific Rim Series II PIMCO All Asset Securities Series I ----------------------- ---------------------- ----------------------- 2010 2009 2010 2009 2010 2009 ----------- ---------- ---------- ---------- ---------- ----------- Income: Dividend distributions received $ 13,606 $ 23,073 $ 218,530 $ 168,350 $ 53,764 $ 77,834 Expenses: Mortality and expense risk and administrative charges (16,717) (40,689) (49,758) (39,114) (45,211) (34,816) ----------- ---------- ---------- ---------- ---------- ----------- Net investment income (loss) (3,111) (17,616) 168,772 129,236 8,553 43,018 ----------- ---------- ---------- ---------- ---------- ----------- Realized gains (losses) on investments: Capital gain distributions received -- -- -- -- -- -- Net realized gain (loss) (684,752) (393,668) (8,143) (68,113) (436,977) (1,219,646) ----------- ---------- ---------- ---------- ---------- ----------- Realized gains (losses) (684,752) (393,668) (8,143) (68,113) (436,977) (1,219,646) ----------- ---------- ---------- ---------- ---------- ----------- Unrealized appreciation (depreciation) during the period 728,122 1,119,926 160,831 369,699 1,141,656 1,763,234 ----------- ---------- ---------- ---------- ---------- ----------- Net increase (decrease) in contract owners' equity from operations 40,259 708,642 321,460 430,822 713,232 586,606 ----------- ---------- ---------- ---------- ---------- ----------- Changes from principal transactions: Purchase payments 5,222 113,054 2,680 19,545 1,071 1,264 Transfers between sub-accounts and the company (3,151,494) 138,397 484,433 126,389 (48,231) (75,576) Withdrawals (91,861) (25,460) (179,436) (95,173) (414,769) (196,464) Annual contract fee (2,997) (9,945) (7,965) (6,640) (2,289) (2,393) ----------- ---------- ---------- ---------- ---------- ----------- Net increase (decrease) in contract owners' equity from principal transactions (3,241,130) 216,046 299,712 44,121 (464,218) (273,169) ----------- ---------- ---------- ---------- ---------- ----------- Total increase (decrease) in contract owners' equity (3,200,871) 924,688 621,172 474,943 249,014 313,437 Contract owners' equity at beginning of period 3,200,872 2,276,184 2,831,337 2,356,394 2,838,113 2,524,676 ----------- ---------- ---------- ---------- ---------- ----------- Contract owners' equity at end of period $ 0 $3,200,872 $3,452,509 $2,831,337 $3,087,127 $ 2,838,113 =========== ========== ========== ========== ========== ===========
2010 2009 2010 2009 2010 2009 ----------- ---------- ---------- ---------- ---------- ---------- Units, beginning of period 194,752 177,225 182,296 181,038 118,763 135,450 Units issued 30,501 47,897 38,673 20,090 7,451 13,000 Units redeemed 225,253 30,370 20,545 18,832 24,925 29,687 ----------- ---------- ---------- ---------- ---------- ---------- Units, end of period -- 194,752 200,424 182,296 101,289 118,763 =========== ========== ========== ========== ========== ==========
See accompanying notes. 64 JOHN HANCOCK LIFE INSURANCE COMPANY OF NEW YORK SEPARATE ACCOUNT A STATEMENTS OF OPERATIONS AND CHANGES IN CONTRACT OWNERS EQUITY FOR THE YEARS ENDED DECEMBER 31,
Real Estate Real Return Science & Technology Securities Series II Bond Series II Series I ------------------------ ------------------------ ------------------------ 2010 2009 2010 2009 2010 2009 ----------- ----------- ----------- ----------- ----------- ----------- Income: Dividend distributions received $ 157,637 $ 230,901 $ 1,107,379 $ 832,425 $ 5 $ -- Expenses: Mortality and expense risk and administrative charges (152,979) (112,466) (162,215) (154,589) (110,747) (99,920) ----------- ----------- ----------- ----------- ----------- ----------- Net investment income (loss) 4,658 118,435 945,164 677,836 (110,742) (99,920) ----------- ----------- ----------- ----------- ----------- ----------- Realized gains (losses) on investments: Capital gain distributions received -- -- -- 568,581 -- -- Net realized gain (loss) (1,474,186) (3,395,117) (259,540) (372,894) 438,706 257,419 ----------- ----------- ----------- ----------- ----------- ----------- Realized gains (losses) (1,474,186) (3,395,117) (259,540) 195,687 438,706 257,419 ----------- ----------- ----------- ----------- ----------- ----------- Unrealized appreciation (depreciation) during the period 3,743,589 5,342,313 17,561 687,618 1,238,098 3,121,520 ----------- ----------- ----------- ----------- ----------- ----------- Net increase (decrease) in contract owners' equity from operations 2,274,061 2,065,631 703,185 1,561,141 1,566,062 3,279,019 ----------- ----------- ----------- ----------- ----------- ----------- Changes from principal transactions: Purchase payments 30,061 112,904 34,852 73,673 14,390 15,845 Transfers between sub-accounts and the company (17,355) (217,683) 282,105 38,601 9,975 (230,040) Withdrawals (963,859) (469,699) (1,642,717) (1,218,551) (1,057,599) (714,467) Annual contract fee (26,339) (25,821) (24,205) (25,176) (9,211) (9,525) ----------- ----------- ----------- ----------- ----------- ----------- Net increase (decrease) in contract owners' equity from principal transactions (977,492) (600,299) (1,349,965) (1,131,453) (1,042,445) (938,187) ----------- ----------- ----------- ----------- ----------- ----------- Total increase (decrease) in contract owners' equity 1,296,569 1,465,332 (646,780) 429,688 523,617 2,340,832 Contract owners' equity at beginning of period 8,905,463 7,440,131 9,958,649 9,528,961 7,809,773 5,468,941 ----------- ----------- ----------- ----------- ----------- ----------- Contract owners' equity at end of period $10,202,032 $ 8,905,463 $ 9,311,869 $ 9,958,649 $ 8,333,390 $ 7,809,773 =========== =========== =========== =========== =========== ===========
2010 2009 2010 2009 2010 2009 ----------- ----------- ----------- ----------- ----------- ----------- Units, beginning of period 474,270 500,920 653,813 734,055 799,316 926,425 Units issued 57,329 83,419 116,489 117,510 41,110 90,720 Units redeemed 99,319 110,069 198,243 197,752 190,487 217,829 ----------- ----------- ----------- ----------- ----------- ----------- Units, end of period 432,280 474,270 572,059 653,813 649,939 799,316 =========== =========== =========== =========== =========== ===========
See accompanying notes. 65 JOHN HANCOCK LIFE INSURANCE COMPANY OF NEW YORK SEPARATE ACCOUNT A STATEMENTS OF OPERATIONS AND CHANGES IN CONTRACT OWNERS EQUITY FOR THE YEARS ENDED DECEMBER 31,
Short Term Short Term Government Government Science & Technology Income Income Small Cap Growth Series II Series I Series II Series II ---------------------- ------------------------ ---------------------- 2010 2009 2010 2010 2010 2009 ---------- ---------- ----------- ----------- ---------- ---------- Income: Dividend distributions received $ -- $ -- $ 154,892 $ 139,500 $ -- $ -- Expenses: Mortality and expense risk and administrative charges (91,352) (69,391) (111,018) (121,667) (36,022) (31,175) ---------- ---------- ----------- ----------- ---------- ---------- Net investment income (loss) (91,352) (69,391) 43,874 17,833 (36,022) (31,175) ---------- ---------- ----------- ----------- ---------- ---------- Realized gains (losses) on investments: Capital gain distributions received -- -- 2,625 2,564 -- -- Net realized gain (loss) 199,524 (259,262) 29,788 45,620 95,536 (387,587) ---------- ---------- ----------- ----------- ---------- ---------- Realized gains (losses) 199,524 (259,262) 32,413 48,184 95,536 (387,587) ---------- ---------- ----------- ----------- ---------- ---------- Unrealized appreciation (depreciation) during the period 1,072,386 2,462,380 27,695 7,293 377,758 948,228 ---------- ---------- ----------- ----------- ---------- ---------- Net increase (decrease) in contract owners' equity from operations 1,180,558 2,133,727 103,982 73,310 437,272 529,466 ---------- ---------- ----------- ----------- ---------- ---------- Changes from principal transactions: Purchase payments 56,663 142,572 1,975 44,718 7,879 61,707 Transfers between sub-accounts and the company 286,631 873,255 11,665,101 12,107,819 179,620 (341,122) Withdrawals (486,069) (270,749) (1,505,242) (652,913) (186,778) (144,347) Annual contract fee (20,980) (20,856) (2,368) (15,433) (4,544) (4,694) ---------- ---------- ----------- ----------- ---------- ---------- Net increase (decrease) in contract owners' equity from principal transactions (163,755) 724,222 10,159,466 11,484,191 (3,823) (428,456) ---------- ---------- ----------- ----------- ---------- ---------- Total increase (decrease) in contract owners' equity 1,016,803 2,857,949 10,263,448 11,557,501 433,449 101,010 Contract owners' equity at beginning of period 5,798,666 2,940,717 -- -- 2,158,133 2,057,123 ---------- ---------- ----------- ----------- ---------- ---------- Contract owners' equity at end of period $6,815,469 $5,798,666 $10,263,448 $11,557,501 $2,591,582 $2,158,133 ========== ========== =========== =========== ========== ==========
2010 2009 2010 2010 2010 2009 ---------- ---------- ----------- ----------- ---------- ---------- Units, beginning of period 402,031 328,686 -- -- 148,541 183,623 Units issued 111,727 213,398 951,405 1,145,731 41,615 38,363 Units redeemed 128,474 140,053 137,179 227,121 41,674 73,445 ---------- ---------- ----------- ----------- ---------- ---------- Units, end of period 385,284 402,031 814,226 918,610 148,482 148,541 ========== ========== =========== =========== ========== ==========
See accompanying notes. 66 JOHN HANCOCK LIFE INSURANCE COMPANY OF NEW YORK SEPARATE ACCOUNT A STATEMENTS OF OPERATIONS AND CHANGES IN CONTRACT OWNERS EQUITY FOR THE YEARS ENDED DECEMBER 31,
Small Cap Small Cap Small Cap Index Series I Index Series II Opportunities Series I -------------------- ---------------------- ---------------------- 2010 2009 2010 2009 2010 2009 --------- --------- ---------- ---------- ---------- ---------- Income: Dividend distributions received $ 3,319 $ 4,358 $ 22,531 $ 41,146 $ -- $ -- Expenses: Mortality and expense risk and administrative charges (10,213) (8,931) (123,406) (105,816) (22,737) (19,501) --------- --------- ---------- ---------- ---------- ---------- Net investment income (loss) (6,894) (4,573) (100,875) (64,670) (22,737) (19,501) --------- --------- ---------- ---------- ---------- ---------- Realized gains (losses) on investments: Capital gain distributions received -- 17,896 -- 213,772 -- -- Net realized gain (loss) (64,309) (93,539) (387,937) (644,653) (200,165) (340,508) --------- --------- ---------- ---------- ---------- ---------- Realized gains (losses) (64,309) (75,643) (387,937) (430,881) (200,165) (340,508) --------- --------- ---------- ---------- ---------- ---------- Unrealized appreciation (depreciation) during the period 203,420 202,170 2,236,079 2,034,942 528,216 708,428 --------- --------- ---------- ---------- ---------- ---------- Net increase (decrease) in contract owners' equity from operations 132,217 121,954 1,747,267 1,539,391 305,314 348,419 --------- --------- ---------- ---------- ---------- ---------- Changes from principal transactions: Purchase payments 527 284 93,719 68,639 1,200 215 Transfers between sub-accounts and the company 144,425 (24,002) (386,240) (310,047) 294,790 (16,203) Withdrawals (136,664) (93,340) (556,119) (325,070) (139,935) (203,421) Annual contract fee (504) (507) (40,654) (43,093) (821) (819) --------- --------- ---------- ---------- ---------- ---------- Net increase (decrease) in contract owners' equity from principal transactions 7,784 (117,565) (889,294) (609,571) 155,234 (220,228) --------- --------- ---------- ---------- ---------- ---------- Total increase (decrease) in contract owners' equity 140,001 4,389 857,973 929,820 460,548 128,191 Contract owners' equity at beginning of period 592,140 587,751 7,709,607 6,779,787 1,403,807 1,275,616 --------- --------- ---------- ---------- ---------- ---------- Contract owners' equity at end of period $ 732,141 $ 592,140 $8,567,580 $7,709,607 $1,864,355 $1,403,807 ========= ========= ========== ========== ========== ==========
2010 2009 2010 2009 2010 2009 --------- --------- ---------- ---------- ---------- ---------- Units, beginning of period 42,433 52,481 533,669 583,749 83,182 99,833 Units issued 12,660 3,054 23,314 22,252 29,949 18,942 Units redeemed 12,774 13,102 79,824 72,332 26,781 35,593 --------- --------- ---------- ---------- ---------- ---------- Units, end of period 42,319 42,433 477,159 533,669 86,350 83,182 ========= ========= ========== ========== ========== ==========
See accompanying notes. 67 JOHN HANCOCK LIFE INSURANCE COMPANY OF NEW YORK SEPARATE ACCOUNT A STATEMENTS OF OPERATIONS AND CHANGES IN CONTRACT OWNERS EQUITY FOR THE YEARS ENDED DECEMBER 31,
Small Cap Opportunities Small Cap Small Company Series II Value Series II Value Series I ---------------------- ---------------------- ---------------------- 2010 2009 2010 2009 2010 2009 ---------- ---------- ---------- ---------- ---------- ---------- Income: Dividend distributions received $ -- $ -- $ 5,292 $ 10,137 $ 58,056 $ 15,608 Expenses: Mortality and expense risk and administrative charges (76,162) (60,020) (51,490) (36,783) (66,337) (64,550) ---------- ---------- ---------- ---------- ---------- ---------- Net investment income (loss) (76,162) (60,020) (46,198) (26,646) (8,281) (48,942) ---------- ---------- ---------- ---------- ---------- ---------- Realized gains (losses) on investments: Capital gain distributions received -- -- -- -- -- 555,545 Net realized gain (loss) (386,959) (515,078) 123,025 (594,282) (409,101) (863,053) ---------- ---------- ---------- ---------- ---------- ---------- Realized gains (losses) (386,959) (515,078) 123,025 (594,282) (409,101) (307,508) ---------- ---------- ---------- ---------- ---------- ---------- Unrealized appreciation (depreciation) during the period 1,618,931 1,704,218 629,957 1,096,411 1,203,325 1,264,860 ---------- ---------- ---------- ---------- ---------- ---------- Net increase (decrease) in contract owners' equity from operations 1,155,810 1,129,120 706,784 475,483 785,943 908,410 ---------- ---------- ---------- ---------- ---------- ---------- Changes from principal transactions: Purchase payments 76,815 138,664 44,895 51,352 24,488 14,174 Transfers between sub-accounts and the company 84,422 (334,139) 362,248 (299,777) (144,474) (283,218) Withdrawals (447,302) (154,937) (258,883) (121,071) (686,173) (705,124) Annual contract fee (20,022) (19,923) (5,031) (4,703) (4,343) (4,758) ---------- ---------- ---------- ---------- ---------- ---------- Net increase (decrease) in contract owners' equity from principal transactions (306,087) (370,335) 143,229 (374,199) (810,502) (978,926) ---------- ---------- ---------- ---------- ---------- ---------- Total increase (decrease) in contract owners' equity 849,723 758,785 850,013 101,284 (24,559) (70,516) Contract owners' equity at beginning of period 4,528,495 3,769,710 2,847,396 2,746,112 4,554,827 4,625,343 ---------- ---------- ---------- ---------- ---------- ---------- Contract owners' equity at end of period $5,378,218 $4,528,495 $3,697,409 $2,847,396 $4,530,268 $4,554,827 ========== ========== ========== ========== ========== ==========
2010 2009 2010 2009 2010 2009 ---------- ---------- ---------- ---------- ---------- ---------- Units, beginning of period 278,902 302,602 204,515 244,270 214,933 274,110 Units issued 59,034 32,698 116,669 66,041 6,933 4,256 Units redeemed 79,810 56,398 108,495 105,796 42,718 63,433 ---------- ---------- ---------- ---------- ---------- ---------- Units, end of period 258,126 278,902 212,689 204,515 179,148 214,933 ========== ========== ========== ========== ========== ==========
See accompanying notes. 68 JOHN HANCOCK LIFE INSURANCE COMPANY OF NEW YORK SEPARATE ACCOUNT A STATEMENTS OF OPERATIONS AND CHANGES IN CONTRACT OWNERS EQUITY FOR THE YEARS ENDED DECEMBER 31,
Small Company Smaller Company Smaller Company Value Series II Growth Series I Growth Series II ------------------------ ---------------------- ---------------------- 2010 2009 2010 2009 2010 2009 ----------- ----------- ---------- ---------- ---------- ---------- Income: Dividend distributions received $ 142,357 $ 24,338 $ -- $ -- $ -- $ -- Expenses: Mortality and expense risk and administrative charges (191,216) (165,565) (33,225) (4,433) (42,394) (5,238) ----------- ----------- ---------- ---------- ---------- ---------- Net investment income (loss) (48,859) (141,227) (33,225) (4,433) (42,394) (5,238) ----------- ----------- ---------- ---------- ---------- ---------- Realized gains (losses) on investments: Capital gain distributions received -- 1,357,226 34,941 -- 42,773 -- Net realized gain (loss) (834,981) (1,019,331) 40,915 1,262 48,176 934 ----------- ----------- ---------- ---------- ---------- ---------- Realized gains (losses) (834,981) 337,895 75,856 1,262 90,949 934 ----------- ----------- ---------- ---------- ---------- ---------- Unrealized appreciation (depreciation) during the period 3,063,165 2,262,385 426,562 114,654 547,065 129,064 ----------- ----------- ---------- ---------- ---------- ---------- Net increase (decrease) in contract owners' equity from operations 2,179,325 2,459,053 469,193 111,483 595,620 124,760 ----------- ----------- ---------- ---------- ---------- ---------- Changes from principal transactions: Purchase payments 108,495 120,410 3,832 327 43,278 1,119 Transfers between sub-accounts and the company (200,628) (341,237) 146,819 2,215,961 111,863 2,521,246 Withdrawals (1,267,208) (669,358) (277,240) (17,015) (169,182) (2,845) Annual contract fee (36,737) (36,636) (1,560) (333) (11,338) (999) ----------- ----------- ---------- ---------- ---------- ---------- Net increase (decrease) in contract owners' equity from principal transactions (1,396,078) (926,821) (128,149) 2,198,940 (25,379) 2,518,521 ----------- ----------- ---------- ---------- ---------- ---------- Total increase (decrease) in contract owners' equity 783,247 1,532,232 341,044 2,310,423 570,241 2,643,281 Contract owners' equity at beginning of period 12,173,927 10,641,695 2,310,423 -- 2,643,281 -- ----------- ----------- ---------- ---------- ---------- ---------- Contract owners' equity at end of period $12,957,174 $12,173,927 $2,651,467 $2,310,423 $3,213,522 $2,643,281 =========== =========== ========== ========== ========== ==========
2010 2009 2010 2009 2010 2009 ----------- ----------- ---------- ---------- ---------- ---------- Units, beginning of period 720,645 786,503 176,005 -- 201,519 -- Units issued 39,786 48,073 17,122 179,215 23,769 203,336 Units redeemed 116,814 113,931 29,217 3,210 26,014 1,817 ----------- ----------- ---------- ---------- ---------- ---------- Units, end of period 643,617 720,645 163,910 176,005 199,274 201,519 =========== =========== ========== ========== ========== ==========
See accompanying notes. 69 JOHN HANCOCK LIFE INSURANCE COMPANY OF NEW YORK SEPARATE ACCOUNT A STATEMENTS OF OPERATIONS AND CHANGES IN CONTRACT OWNERS EQUITY FOR THE YEARS ENDED DECEMBER 31,
Strategic Income Strategic Bond Series I Strategic Bond Series II Opportunities ------------------------ ------------------------- ------------- 2010 2009 2010 2009 2010 ----------- ----------- ------------ ----------- ------------- Income: Dividend distributions received $ 695,001 $ 604,592 $ 1,000,406 $ 755,804 $ 534,671 Expenses: Mortality and expense risk and administrative charges (95,680) (117,365) (143,162) (147,763) (16,573) ----------- ----------- ------------ ----------- ---------- Net investment income (loss) 599,321 487,227 857,244 608,041 518,098 ----------- ----------- ------------ ----------- ---------- Realized gains (losses) on investments: Capital gain distributions received -- -- -- -- -- Net realized gain (loss) (866,858) (558,030) (985,898) (478,876) (2,550) ----------- ----------- ------------ ----------- ---------- Realized gains (losses) (866,858) (558,030) (985,898) (478,876) (2,550) ----------- ----------- ------------ ----------- ---------- Unrealized appreciation (depreciation) during the period 1,056,418 1,579,060 1,200,326 1,655,906 (402,188) ----------- ----------- ------------ ----------- ---------- Net increase (decrease) in contract owners' equity from operations 788,881 1,508,257 1,071,672 1,785,071 113,360 ----------- ----------- ------------ ----------- ---------- Changes from principal transactions: Purchase payments 1,862 4,256 17,876 112,618 404 Transfers between sub-accounts and the company (7,163,728) (217,167) (10,747,286) 854,538 7,487,436 Withdrawals (1,540,794) (1,418,552) (878,014) (655,344) (241,406) Annual contract fee (5,184) (7,009) (27,821) (30,552) (812) Net increase (decrease) in ----------- ----------- ------------ ----------- ---------- contract owners' equity from principal transactions (8,707,844) (1,638,472) (11,635,245) 281,260 7,245,622 ----------- ----------- ------------ ----------- ---------- Total increase (decrease) in contract owners' equity (7,918,963) (130,215) (10,563,573) 2,066,331 7,358,982 Contract owners' equity at beginning of period 7,918,963 8,049,178 10,563,573 8,497,242 -- ----------- ----------- ------------ ----------- ---------- Contract owners' equity at end of period $ -- $ 7,918,963 $ -- $10,563,573 $7,358,982 =========== =========== ============ =========== ==========
2010 2009 2010 2009 2010 ----------- ----------- ------------ ----------- ------------- Units, beginning of period 387,892 483,588 670,617 653,786 -- Units issued 13,027 19,334 48,100 121,307 416,819 Units redeemed 400,919 115,030 718,717 104,476 16,624 ----------- ----------- ------------ ----------- ---------- Units, end of period -- 387,892 -- 670,617 400,195 =========== =========== ============ =========== ==========
See accompanying notes. 70 JOHN HANCOCK LIFE INSURANCE COMPANY OF NEW YORK SEPARATE ACCOUNT A STATEMENTS OF OPERATIONS AND CHANGES IN CONTRACT OWNERS EQUITY FOR THE YEARS ENDED DECEMBER 31,
Strategic Income Total Bond Market Total Bond Market Opportunities II Trust A Series II Trust A Series NAV ----------------------- -------------------- ------------------- 2010 2009 2010 2009 2010 2009 ----------- ---------- ---------- -------- -------- -------- Income: Dividend distributions received $ 893,246 $ 82,627 $ 34,518 $ 7,046 $ 17,143 $ 4,130 Expenses: Mortality and expense risk and administrative charges (49,791) (22,117) (10,806) (5,667) (3,498) (362) ----------- ---------- ---------- -------- -------- -------- Net investment income (loss) 843,455 60,510 23,712 1,379 13,645 3,768 ----------- ---------- ---------- -------- -------- -------- Realized gains (losses) on investments: Capital gain distributions received -- -- -- 4,052 -- -- Net realized gain (loss) 112,595 (61,716) 18,016 3,730 1,702 41 ----------- ---------- ---------- -------- -------- -------- Realized gains (losses) 112,595 (61,716) 18,016 7,782 1,702 41 ----------- ---------- ---------- -------- -------- -------- Unrealized appreciation (depreciation) during the period (606,973) 288,879 (35,388) (2,639) (3,350) (2,979) ----------- ---------- ---------- -------- -------- -------- Net increase (decrease) in contract owners' equity from operations 349,077 287,673 6,340 6,522 11,997 830 ----------- ---------- ---------- -------- -------- -------- Changes from principal transactions: Purchase payments 3,827 2,892 969,448 40,000 373,278 138,903 Transfers between sub-accounts and the company 11,094,996 362,083 297,012 119,710) 126,786 38,208 Withdrawals (527,181) (225,585) (234,869) 768 (7,709) (39) Annual contract fee (8,560) (3,361) (14,424) (2,973) (15,901) (5,432) ----------- ---------- ---------- -------- -------- -------- Net increase (decrease) in contract owners' equity from principal transactions 10,563,082 136,029 1,017,167 (81,915) 476,454 171,640 ----------- ---------- ---------- -------- -------- -------- Total increase (decrease) in contract owners' equity 10,912,159 423,702 1,023,507 (75,393) 488,451 172,470 Contract owners' equity at beginning of period 1,517,465 1,093,763 324,530 399,923 172,470 -- ----------- ---------- ---------- -------- -------- -------- Contract owners' equity at end of period $12,429,624 $1,517,465 $1,348,037 $324,530 $660,921 $172,470 =========== ========== ========== ======== ======== ========
2010 2009 2010 2009 2010 2009 ----------- ---------- ---------- -------- -------- -------- Units, beginning of period 94,813 85,155 23,891 29,789 13,287 -- Units issued 640,653 50,469 128,752 5,966 38,296 13,392 Units redeemed 48,469 40,811 49,802 11,864 3,012 105 ----------- ---------- ---------- -------- -------- -------- Units, end of period 686,997 94,813 102,841 23,891 48,571 13,287 =========== ========== ========== ======== ======== ========
See accompanying notes. 71 JOHN HANCOCK LIFE INSURANCE COMPANY OF NEW YORK SEPARATE ACCOUNT A STATEMENTS OF OPERATIONS AND CHANGES IN CONTRACT OWNERS EQUITY FOR THE YEARS ENDED DECEMBER 31,
Total Stock Market Total Return Series I Total Return Series II Index Series I ------------------------ ------------------------ -------------------- 2010 2009 2010 2009 2010 2009 ----------- ----------- ----------- ----------- --------- --------- Income: Dividend distributions received $ 460,801 $ 828,353 $ 781,694 $ 1,338,600 $ 6,276 $ 8,415 Expenses: Mortality and expense risk and administrative charges (320,373) (332,050) (588,683) (537,450) (8,156) (9,573) ----------- ----------- ----------- ----------- --------- --------- Net investment income (loss) 140,428 496,303 193,011 801,150 (1,880) (1,158) ----------- ----------- ----------- ----------- --------- --------- Realized gains (losses) on investments: Capital gain distributions received 336,232 968,836 627,320 1,548,911 -- -- Net realized gain (loss) 312,637 (39,037) 614,402 (15,135) (3,721) (8,713) ----------- ----------- ----------- ----------- --------- --------- Realized gains (losses) 648,869 929,799 1,241,722 1,533,776 (3,721) (8,713) ----------- ----------- ----------- ----------- --------- --------- Unrealized appreciation (depreciation) during the period 396,696 860,574 680,284 1,383,771 79,880 156,312 ----------- ----------- ----------- ----------- --------- --------- Net increase (decrease) in contract owners' equity from operations 1,185,993 2,286,676 2,115,017 3,718,697 74,279 146,441 ----------- ----------- ----------- ----------- --------- --------- Changes from principal transactions: Purchase payments 20,443 41,414 289,194 1,234,607 2,776 1,507 Transfers between sub-accounts and the company (108,977) 2,027,027 477,899 5,662,392 (22,934) (29,555) Withdrawals (3,815,516) (4,039,080) (5,393,110) (3,482,147) (121,349) (173,300) Annual contract fee (13,348) (13,589) (91,301) (93,823) (670) (950) ----------- ----------- ----------- ----------- --------- --------- Net increase (decrease) in contract owners' equity from principal transactions (3,917,398) (1,984,228) (4,717,318) 3,321,029 (142,177) (202,298) ----------- ----------- ----------- ----------- --------- --------- Total increase (decrease) in contract owners' equity (2,731,405) 302,448 (2,602,301) 7,039,726 (67,898) (55,857) Contract owners' equity at beginning of period 21,410,255 21,107,807 37,903,915 30,864,189 563,977 619,834 ----------- ----------- ----------- ----------- --------- --------- Contract owners' equity at end of period $18,678,850 $21,410,255 $35,301,614 $37,903,915 $ 496,079 $ 563,977 =========== =========== =========== =========== ========= =========
2010 2009 2010 2009 2010 2009 ----------- ----------- ----------- ----------- --------- --------- Units, beginning of period 1,055,654 1,165,684 2,189,457 1,984,413 54,556 76,037 Units issued 75,177 160,384 314,544 606,285 5,915 882 Units redeemed 262,336 270,414 575,114 401,241 18,867 22,363 ----------- ----------- ----------- ----------- --------- --------- Units, end of period 868,495 1,055,654 1,928,887 2,189,457 41,604 54,556 =========== =========== =========== =========== ========= =========
See accompanying notes. 72 JOHN HANCOCK LIFE INSURANCE COMPANY OF NEW YORK SEPARATE ACCOUNT A STATEMENTS OF OPERATIONS AND CHANGES IN CONTRACT OWNERS EQUITY FOR THE YEARS ENDED DECEMBER 31,
Ultra Short U.S. Government Total Stock Market Term Bond Securities Index Series II Series II Series I ------------------------ ----------- ------------------------- 2010 2009 2010 2010 2009 ----------- ----------- ----------- ------------ ----------- Income: Dividend distributions received $ 85,596 $ 99,342 $ 8,907 $ 117,839 $ 393,928 Expenses: Mortality and expense risk and administrative charges (125,825) (116,237) (4,026) (60,691) (204,379) ----------- ----------- ----------- ------------ ----------- Net investment income (loss) (40,229) (16,895) 4,881 57,148 189,549 ----------- ----------- ----------- ------------ ----------- Realized gains (losses) on investments: Capital gain distributions received -- -- -- 392,057 350,536 Net realized gain (loss) (263,375) (1,004,292) (10) (579,728) (321,966) ----------- ----------- ----------- ------------ ----------- Realized gains (losses) (263,375) (1,004,292) (10) (187,671) 28,570 ----------- ----------- ----------- ------------ ----------- Unrealized appreciation (depreciation) during the period 1,414,768 2,671,682 (8,989) 356,080 669,506 ----------- ----------- ----------- ------------ ----------- Net increase (decrease) in contract owners' equity from operations 1,111,164 1,650,495 (4,118) 225,557 887,625 ----------- ----------- ----------- ------------ ----------- Changes from principal transactions: Purchase payments 24,578 35,761 16,542 315 66,573 Transfers between sub-accounts and the company (194,409) (672,950) 981,727 (11,852,396) (642,462) Withdrawals (819,655) (465,187) 16,439 (881,948) (2,645,920) Annual contract fee (38,845) (41,431) (355) (2,340) (6,491) ----------- ----------- ----------- ------------ ----------- Net increase (decrease) in contract owners' equity from principal transactions (1,028,331) (1,143,807) 1,014,353 (12,736,369) (3,228,300) ----------- ----------- ----------- ------------ ----------- Total increase (decrease) in contract owners' equity 82,833 506,688 1,010,235 (12,510,812) (2,340,675) Contract owners' equity at beginning of period 8,170,250 7,663,562 12,510,812 14,851,487 ----------- ----------- ----------- ------------ ----------- Contract owners' equity at end of period $ 8,253,083 $ 8,170,250 $ 1,010,235 $ -- $12,510,812 =========== =========== =========== ============ ===========
2010 2009 2010 2010 2009 ----------- ----------- ----------- ------------ ----------- Units, beginning of period 602,567 715,004 -- 585,906 750,264 Units issued 14,603 52,156 83,875 38,929 66,521 Units redeemed 88,850 164,593 2,455 624,835 230,879 ----------- ----------- ----------- ------------ ----------- Units, end of period 528,320 602,567 81,420 -- 585,906 =========== =========== =========== ============ ===========
See accompanying notes. 73 JOHN HANCOCK LIFE INSURANCE COMPANY OF NEW YORK SEPARATE ACCOUNT A STATEMENTS OF OPERATIONS AND CHANGES IN CONTRACT OWNERS EQUITY FOR THE YEARS ENDED DECEMBER 31,
U.S. Government U.S. High Securities Series II Yield Series II Utilities Series I ------------------------- ------------------- ---------------------- 2010 2009 2010 2009 2010 2009 ------------ ----------- --------- -------- ---------- ---------- Income: Dividend distributions received $ 99,118 $ 327,320 $ 89,577 $ 24,273 $ 46,409 $ 99,554 Expenses: Mortality and expense risk and administrative charges (64,275) (187,580) (3,573) (4,353) (32,968) (32,159) ------------ ----------- --------- -------- ---------- ---------- Net investment income (loss) 34,843 139,740 86,004 19,920 13,441 67,395 ------------ ----------- --------- -------- ---------- ---------- Realized gains (losses) on investments: Capital gain distributions received 365,802 287,365 73,602 -- -- -- Net realized gain (loss) (199,197) (175,497) (108,826) (4,649) (194,180) (280,974) ------------ ----------- --------- -------- ---------- ---------- Realized gains (losses) 166,605 111,868 (35,224) (4,649) (194,180) (280,974) ------------ ----------- --------- -------- ---------- ---------- Unrealized appreciation (depreciation) during the period (19,326) 463,320 (30,360) 88,017 382,561 740,657 ------------ ----------- --------- -------- ---------- ---------- Net increase (decrease) in contract owners' equity from operations 182,122 714,928 20,420 103,288 201,822 527,078 ------------ ----------- --------- -------- ---------- ---------- Changes from principal transactions: Purchase payments 55,258 133,090 -- 18 19,677 16,526 Transfers between sub-accounts and the company (10,888,303) 749,702 (232,337) 25,356 (474,824) 355,809 Withdrawals (667,709) (1,955,283) (64,672) (16,327) (299,592) (233,094) Annual contract fee (6,661) (26,618) (518) (1,264) (2,177) (2,864) ------------ ----------- --------- -------- ---------- ---------- Net increase (decrease) in contract owners' equity from principal transactions (11,507,415) (1,099,109) (297,527) 7,783 (756,916) 136,377 ------------ ----------- --------- -------- ---------- ---------- Total increase (decrease) in contract owners' equity (11,325,293) (384,181) (277,107) 111,071 (555,094) 663,455 Contract owners' equity at beginning of period 11,325,293 11,709,474 277,107 166,036 2,648,545 1,985,090 ------------ ----------- --------- -------- ---------- ---------- Contract owners' equity at end of period $ -- $11,325,293 $ -- $277,107 $2,093,451 $2,648,545 ============ =========== ========= ======== ========== ==========
2010 2009 2010 2009 2010 2009 ------------ ----------- --------- -------- ---------- ---------- Units, beginning of period 802,554 882,824 17,601 15,184 152,666 150,812 Units issued 147,108 222,215 8,743 17,629 17,223 36,975 Units redeemed 949,662 302,485 26,344 15,212 62,423 35,121 ------------ ----------- --------- -------- ---------- ---------- Units, end of period -- 802,554 -- 17,601 107,466 152,666 ============ =========== ========= ======== ========== ==========
See accompanying notes. 74 JOHN HANCOCK LIFE INSURANCE COMPANY OF NEW YORK SEPARATE ACCOUNT A STATEMENTS OF OPERATIONS AND CHANGES IN CONTRACT OWNERS EQUITY FOR THE YEARS ENDED DECEMBER 31,
Utilities Series II Value Series I Value Series II ---------------------- ----------------------- ---------------------- 2010 2009 2010 2009 2010 2009 ---------- ---------- ---------- ----------- ---------- ---------- Income: Dividend distributions received $ 107,429 $ 210,972 $ 46,517 $ 55,641 $ 27,741 $ 32,480 Expenses: Mortality and expense risk and administrative charges (80,546) (72,485) (71,184) (64,434) (55,691) (45,529) ---------- ---------- ---------- ----------- ---------- ---------- Net investment income (loss) 26,883 138,487 (24,667) (8,793) (27,950) (13,049) ---------- ---------- ---------- ----------- ---------- ---------- Realized gains (losses) on investments: Capital gain distributions received -- -- -- -- -- -- Net realized gain (loss) (458,534) (508,172) (352,397) (925,736) (281,011) (489,824) ---------- ---------- ---------- ----------- ---------- ---------- Realized gains (losses) (458,534) (508,172) (352,397) (925,736) (281,011) (489,824) ---------- ---------- ---------- ----------- ---------- ---------- Unrealized appreciation (depreciation) during the period 971,366 1,604,951 1,256,800 2,328,399 957,419 1,450,421 ---------- ---------- ---------- ----------- ---------- ---------- Net increase (decrease) in contract owners' equity from operations 539,715 1,235,266 879,736 1,393,870 648,458 947,548 ---------- ---------- ---------- ----------- ---------- ---------- Changes from principal transactions: Purchase payments 27,658 28,255 42,676 18,000 19,393 27,398 Transfers between sub-accounts and the company (280,239) 56,160 9,362 (380,272) 13,532 (107,009) Withdrawals (447,249) (231,826) (695,662) (670,826) (244,997) (137,328) Annual contract fee (11,121) (12,293) (3,137) (3,836) (8,586) (8,385) ---------- ---------- ---------- ----------- ---------- ---------- Net increase (decrease) in contract owners' equity from principal transactions (710,951) (159,704) (646,761) (1,036,934) (220,658) (225,324) ---------- ---------- ---------- ----------- ---------- ---------- Total increase (decrease) in contract owners'equity (171,236) 1,075,562 232,975 356,936 427,800 722,224 Contract owners' equity at beginning of period 5,421,773 4,346,211 4,741,157 4,384,221 3,343,757 2,621,533 ---------- ---------- ---------- ----------- ---------- ---------- Contract owners' equity at end of period $5,250,537 $5,421,773 $4,974,132 $ 4,741,157 $3,771,557 $3,343,757 ========== ========== ========== =========== ========== ==========
2010 2009 2010 2009 2010 2009 ---------- ---------- ---------- ----------- ---------- ---------- Units, beginning of period 205,704 216,811 207,725 267,802 213,686 230,916 Units issued 14,926 30,366 7,608 4,765 27,954 23,425 Units redeemed 42,254 41,473 34,348 64,842 39,965 40,655 ---------- ---------- ---------- ----------- ---------- ---------- Units, end of period 178,376 205,704 180,985 207,725 201,675 213,686 ========== ========== ========== =========== ========== ==========
See accompanying notes. 75 JOHN HANCOCK LIFE INSURANCE COMPANY OF NEW YORK SEPARATE ACCOUNT A NOTES TO FINANCIAL STATEMENTS DECEMBER 31, 2010 1. ORGANIZATION John Hancock Life Insurance Company of New York, Separate Account A (the "Account") is a separate account established by John Hancock Life Insurance Company of New York (the "Company"). The Company established the Account on July 22, 1992 as a separate account under New York law. The Account operates as a Unit Investment Trust under the Investment Company Act of 1940, as amended, and consists of 136 sub-accounts which are exclusively invested in a corresponding portfolio of the John Hancock Trust (the "Trust"), and 2 sub-accounts that are invested in portfolios of other Outside Trusts (the "Outside Trusts"). The Account is a funding vehicle for variable annuity contracts issued by the Company. The Account includes contracts issued for the following products: Venture, Vantage, Vision, Venture III, Venture IV, Wealthmark, and Wealthmark ML3. These products are distinguished principally by the level of expenses and surrender charges. Each sub-account holds shares of a particular series ("Portfolio") of a registered investment company. Sub-accounts that invest in Portfolios of the Trust may offer four classes of units to fund variable annuity contracts issued by the Company. These classes, Series I, Series II, Series III and Series NAV, represent an interest in the same Trust Portfolio, but in different classes of that Portfolio. Series I, Series II, Series III and Series NAV shares of the Trust Portfolio differ in the level of 12b-1 fees and other expenses assessed against the Portfolio's assets. The Company is a wholly owned subsidiary of John Hancock Life Insurance Company (U.S.A.) ("JHUSA"), which in turn is an indirect, wholly owned subsidiary of the Manufacturers Life Insurance Company which is an indirect, wholly owned subsidiary of Manulife Financial Corporation ("MFC"), a Canadian-based publicly traded stock life insurance company. MFC and its subsidiaries are known collectively as Manulife Financial. In addition to the Account, certain contract owners may also allocate funds to the Fixed Account, which is part of the Company's general account. Because of exemptive and exclusionary provisions, interests in the Fixed Account have not been registered under the Securities Act of 1933, and the Company's general account has not been registered as an investment company under the Investment Company Act of 1940. Sub-accounts closed or opened in 2010 are as follows:
SUB-ACCOUNTS CLOSED 2010 --------------------------------------- --------- All Cap Growth Series I 5/3/2010 All Cap Growth Series II 5/3/2010 CGTC Overseas Equity Series II 5/3/2010 Pacific Rim Series I 5/3/2010 Pacific Rim Series II 5/3/2010 U.S. Government Securities Series I 5/3/2010 U.S. Government Securities Series II 5/3/2010 Strategic Bond Series I 11/8/2010 Strategic Bond Series II 11/8/2010 U.S. High Yield Series II 11/8/2010
SUB-ACCOUNTS OPENED 2010 --------------------------------------- ---------- Short Term Government Income Series I 5/3/2010 Short Term Government Income Series II 5/3/2010 Ultra Short Term Bond Series II 8/2/2010 Strategic Income Opportunities Series I 11/8/2010
76 JOHN HANCOCK LIFE INSURANCE COMPANY OF NEW YORK SEPARATE ACCOUNT A NOTES TO FINANCIAL STATEMENTS -- (CONTINUED) DECEMBER 31, 2010 2. SIGNIFICANT ACCOUNTING POLICIES ESTIMATES The preparation of financial statements in conformity with accounting principles generally accepted in the United States requires management to make estimates and assumptions that affect the amounts reported in the financial statements and accompanying notes. Actual results could differ from reported results using those estimates. VALUATION OF INVESTMENTS Investments made in the Portfolios of the Trust and of the Outside Trusts are valued at fair value based on the reported net asset values of such Portfolios. Investment transactions are recorded on the trade date. Income from dividends, and gains from realized gain distributions are recorded on the ex-dividend date. Realized gains and losses on the sales of investments are computed on the basis of the identified cost of the investment sold. NET ASSETS IN PAYOUT (ANNUITIZATION) PERIOD A portion of net assets is allocated to annuity policies in the payout period. The liability for these policies is calculated using statutory accounting using mortality assumptions and an assumed interest rate. Mortality assumptions are based on the Individual Annuity Mortality Table in effect at the time of annuitization. The assumed interest rate is 3% to 4%, as regulated by the laws of the respective states. The mortality risk is borne entirely by the Company and may result in additional amounts being transferred into the variable annuity account by the Company to cover greater longevity of annuitants than expected. Conversely, if amounts allocated exceed amounts required, transfers may be made to the Company. EXPENSES The expense ratio represents the contract expenses of the Account for the period indicated and includes only those expenses that are charged through a reduction of the unit value. Included in this category are mortality and expense charges, and the cost of any riders the policy holder has elected. These fees range between 0.35% and 2.10% of net assets of the sub-account depending on the type of contract. In addition, annual contract charges of up to $30 per policy are made through redemption of units. AMOUNTS RECEIVABLE/PAYABLE Receivables/Payables from/to Portfolios/the Company are due to unsettled contract transactions (net of asset-based charges) and/or subsequent/preceding purchases/sales of the respective Portfolios' shares. The amounts are due from/to either the respective Portfolio and/or the Company for the benefit of contract owners. There are no unsettled policy transactions at December 31, 2010. 77 JOHN HANCOCK LIFE INSURANCE COMPANY OF NEW YORK SEPARATE ACCOUNT A NOTES TO FINANCIAL STATEMENTS -- (CONTINUED) DECEMBER 31, 2010 3. FEDERAL INCOME TAXES The Account does not file separate tax returns. The taxable income of the Account is consolidated with that of the Company within the consolidated federal tax return. Any tax contingencies arising from the taxable income generated by the Account is the responsibility of the Company and the Company holds any and all tax contingencies on its financial statements. The Account is not a party to the consolidated tax sharing agreement thus no amount of income taxes or tax contingencies are passed through to the Account. The legal form of the Account is not taxable in any state or foreign jurisdictions. The income taxes topic of the FASB Accounting Standard Codification establishes a minimum threshold for financial statement recognition of the benefit of positions taken, or expected to be taken, in filing tax returns (including whether the Account is taxable in certain jurisdictions). The topic requires the evaluation of tax positions taken or expected to be taken in the course of preparing John Hancock's tax returns to determine whether tax positions are "more-likely-than-not" of being sustained by the applicable tax authority. Tax positions deemed to meet more-than likely-than-not threshold would be recorded as tax expense. The Account complies with the provisions of FASB ASC Topic 740, Income Taxes. As of December 31, 2010, the Account did not have a liability for any uncertain tax positions. The Account recognizes interest and penalties, if any, related to tax liabilities as income tax expense in the Statements of Operations. 4. TRANSACTIONS WITH AFFILIATES The Company has an administrative services agreement with Manulife Financial, whereby Manulife Financial or its designee, with the consent of the Company, performs certain services on behalf of the Company necessary for the operation of the Account. John Hancock Investment Management Services, LLC ("JHIMS"), a Delaware limited liability company controlled by JHUSA, serves as investment adviser for the Trust. 5. FAIR VALUE MEASUREMENTS Accounting Standards Codification 820 ("ASC 820") "Fair Value Measurements and Disclosures" provides a single definition of fair value for accounting purposes, establishes a consistent framework for measuring fair value, and expands disclosure requirements about fair value measurements. ASC 820 defines fair value as the price that would be received to sell an asset or paid to transfer a liability in an orderly transaction between market participants at the measurement date; that is, an exit value. An exit value is not a forced liquidation or distressed sale. Following ASC 820 guidance, the Account has categorized its fair value measurements according to a three-level hierarchy. The hierarchy prioritizes the inputs used by the Account's valuation techniques. A level is assigned to each fair value measurement based on the lowest level input significant to the fair value measurement in its entirety. The three levels of the fair value hierarchy are defined as follows: Level 1 - Fair value measurements that reflect unadjusted, quoted prices in active markets for identical assets and liabilities that the Account has the ability to access at the measurement date. Level 2 - Fair value measurements using inputs other than quoted prices included within Level 1 that are observable, either directly or indirectly. Level 3 - Fair value measurements using significant non market observable inputs. All of the Account's sub-accounts' investments in a portfolio of the Trust and the Outside Trusts were valued at the reported net asset value of the Portfolio and categorized as Level 1 as of December 31, 2009 and December 31, 2010. 78 JOHN HANCOCK LIFE INSURANCE COMPANY OF NEW YORK SEPARATE ACCOUNT A NOTES TO FINANCIAL STATEMENTS -- (CONTINUED) DECEMBER 31, 2010 6. PURCHASES AND SALES OF INVESTMENTS The cost of purchases including reinvestment of dividend distributions and proceeds from the sales of investments in the Portfolios of the Trust and the Outside Trusts during 2010 were as follows:
Details of Investments -------------------------- Sub-account Purchases Sales ----------------------------------------------- ----------- ------------ 500 Index Fund B Series NAV $ 314,968 $ 736,632 500 Index Series I 186,389 623,928 500 Index Series II 881,216 1,688,839 500 Index Trust Series NAV 718,564 77,290 Active Bond Series I 538,856 1,510,181 Active Bond Series II 7,863,686 9,669,296 All Cap Core Series I 62,402 776,967 All Cap Core Series II 30,494 117,664 All Cap Growth Series I 28,044 6,519,059 All Cap Growth Series II 33,633 2,003,304 All Cap Value Series I 22,954 377,866 All Cap Value Series II 205,873 737,125 American Asset Allocation Series I 543,228 2,829,671 American Asset Allocation Series II 4,474,841 8,398,385 American Blue-Chip Income & Growth Series II 536,771 1,955,616 American Blue-Chip Income & Growth Series III 271,244 23,978 American Bond Series II 14,829,551 18,480,824 American Bond Series III 434,984 29,848 American Fundamental Holdings Series II 3,101,219 7,989,679 American Global Diversification Series II 1,498,057 6,916,994 American Global Growth Series II 1,539,822 2,297,997 American Global Small Capitalization Series II 1,052,613 1,481,281 American Global Small Capitalization Series III 949 1,537 American Growth Series II 5,218,067 24,668,454 American Growth Series III 203,619 23,830 American Growth-Income Series I 443,887 1,841,192 American Growth-Income Series II 8,136,376 19,426,916 American Growth-Income Series III 2,324 1,800 American High-Income Bond Series II 1,580,135 1,029,823 American High-Income Bond Series III 185,737 21,054 American International Series II 8,767,816 13,667,577 American International Series III 183,157 16,000 American New World Series II 3,086,911 2,091,982 Blue Chip Growth Series I 439,767 4,149,419 Blue Chip Growth Series II 1,459,788 3,272,793 Capital Appreciation Series I 6,346,326 2,097,055 Capital Appreciation Series II 2,866,402 1,712,486 Capital Appreciation Value Series II 3,236,338 2,635,120 CGTC Overseas Equity Series II 8,062 444,772 Core Allocation Plus Series II 688,184 584,286 Core Allocation Series I 10,815 837 Core Allocation Series II 5,380,465 671,507 Core Balanced Series I 61,212 2,866 Core Balanced Series II 9,668,103 1,489,178 Core Balanced Strategy Series NAV 186,454 3,180 Core Bond Series II 238,716 296,851 Core Disciplined Diversification Series II 9,190,536 1,924,779 Core Fundamental Holdings Series II 13,625,909 1,474,343 Core Fundamental Holdings Series III 17,044 93 Core Global Diversification Series II 10,833,525 3,218,595 Core Global Diversification Series III 148,114 3,817 Core Strategy Series II 5,091,057 5,048,980 Core Strategy Series NAV 10,393 5,235
79 JOHN HANCOCK LIFE INSURANCE COMPANY OF NEW YORK SEPARATE ACCOUNT A NOTES TO FINANCIAL STATEMENTS -- (CONTINUED) DECEMBER 31, 2010 6. PURCHASES AND SALES OF INVESTMENTS-- (CONTINUED)
Details of Investments -------------------------- Sub-account Purchases Sales ----------------------------------------------- ----------- ------------ Disciplined Diversification Series II $ 401,878 $ 571,263 DWS Equity 500 Index 148,844 271,759 Equity-Income Series I 1,357,555 5,009,764 Equity-Income Series II 2,214,649 4,648,767 Financial Services Series I 4,194 164,450 Financial Services Series II 782,449 959,736 Founding Allocation Series II 4,118,123 13,605,895 Fundamental Value Series I 657,208 5,023,153 Fundamental Value Series II 1,851,509 6,209,516 Global Bond Series I 675,332 1,235,191 Global Bond Series II 2,710,316 3,921,676 Global Trust Series I 260,064 1,198,252 Global Trust Series II 250,386 572,152 Health Sciences Series I 152,304 826,610 Health Sciences Series II 1,006,728 1,575,335 High Income Series II 1,258,073 1,137,555 High Yield Series I 2,218,116 2,063,422 High Yield Series II 6,695,811 6,115,238 International Core Series I 130,473 496,523 International Core Series II 340,179 544,126 International Equity Index A Trust Series I 2,271,941 516,609 International Equity Index A Trust Series II 5,364,351 1,008,736 International Equity Index Series NAV 305,331 414,491 International Opportunities Series II 703,678 1,142,456 International Small Company Series I 155,748 961,837 International Small Company Series II 483,017 1,024,959 International Value Series I 436,743 1,728,094 International Value Series II 1,795,916 3,155,846 Investment Quality Bond Series I 1,413,981 1,999,266 Investment Quality Bond Series II 5,145,819 6,014,976 Large Cap Series I 193,346 1,306,617 Large Cap Series II 137,893 116,379 Large Cap Value Series I 118,926 381,493 Large Cap Value Series II 610,032 860,441 Lifestyle Aggressive Series I 225,143 1,019,216 Lifestyle Aggressive Series II 2,939,403 7,406,425 Lifestyle Balanced Series I 3,034,364 8,978,674 Lifestyle Balanced Series II 78,418,431 86,187,930 Lifestyle Conservative Series I 2,193,585 3,371,921 Lifestyle Conservative Series II 73,931,806 53,907,452 Lifestyle Growth Series I 2,362,712 4,113,642 Lifestyle Growth Series II 81,559,467 95,766,518 Lifestyle Moderate Series I 1,890,195 3,284,570 Lifestyle Moderate Series II 53,649,235 36,584,876 Mid Cap Index Series I 603,966 663,268 Mid Cap Index Series II 1,744,645 2,743,251 Mid Cap Stock Series I 333,187 2,188,483 Mid Cap Stock Series II 1,104,664 3,544,566
80 JOHN HANCOCK LIFE INSURANCE COMPANY OF NEW YORK SEPARATE ACCOUNT A NOTES TO FINANCIAL STATEMENTS -- (CONTINUED) DECEMBER 31, 2010 6. PURCHASES AND SALES OF INVESTMENTS-- (CONTINUED)
Details of Investments -------------------------- Sub-account Purchases Sales ----------------------------------------------- ----------- ------------ Mid Value Series I $ 141,234 $ 724,210 Mid Value Series II 723,001 2,393,618 Money Market Series I 1,190,085 2,072,394 Money Market Series II 7,899,696 12,041,183 Money Market Trust B Series NAV 53,915,611 82,577,256 Mutual Shares Series I 328,012 17,354 Natural Resources Series II 3,525,079 4,897,633 Optimized All Cap Series II 334,171 1,063,943 Optimized Value Series II 115,834 341,282 Pacific Rim Series I 67,672 1,529,308 Pacific Rim Series II 525,181 3,769,424 PIMCO All Asset 854,964 386,480 Real Estate Securities Series I 252,955 708,619 Real Estate Securities Series II 1,295,220 2,268,054 Real Return Bond Series II 2,929,670 3,334,470 Science & Technology Series I 507,807 1,660,995 Science & Technology Series II 1,738,768 1,993,876 Short Term Government Income Series I 12,046,615 1,840,649 Short Term Government Income Series II 14,490,011 2,985,424 Small Cap Growth Series II 671,649 711,495 Small Cap Index Series I 199,693 198,804 Small Cap Index Series II 369,126 1,359,298 Small Cap Opportunities Series I 615,795 483,297 Small Cap Opportunities Series II 1,031,032 1,413,281 Small Cap Value Series II 1,737,840 1,640,809 Small Company Value Series I 212,711 1,031,494 Small Company Value Series II 843,422 2,288,360 Smaller Company Growth Series I 307,303 433,734 Smaller Company Growth Series II 380,625 405,624 Strategic Bond Series I 977,397 9,085,921 Strategic Bond Series II 1,771,665 12,549,667 Strategic Income Opportunties Series I 8,077,391 313,671 Strategic Income Opportunities Series II 12,269,801 863,265 Total Bond Market Trust A Series II 1,724,108 683,229 Total Bond Market Trust A Series NAV 533,785 43,687 Total Return Series I 2,357,240 5,797,977 Total Return Series II 6,951,655 10,848,640 Total Stock Market Index Series I 66,834 210,891 Total Stock Market Index Series II 296,867 1,365,428 Ultra Short Term Bond Series II 1,053,787 34,553 U.S. Government Securities Series I 1,247,394 13,534,556 U.S. Government Securities Series II 2,546,613 13,653,381 U.S. High Yield Series II 305,592 443,514 Utilities Series I 349,843 1,093,317 Utilities Series II 509,086 1,193,154 Value Series I 223,813 895,241 Value Series II 487,168 735,777
81 JOHN HANCOCK LIFE INSURANCE COMPANY OF NEW YORK SEPARATE ACCOUNT A NOTES TO FINANCIAL STATEMENTS -- (CONTINUED) DECEMBER 31, 2010 7. UNIT VALUES A summary of unit values and units outstanding for variable annuity contracts and the expense and income ratios, excluding expenses of the underlying Portfolios, were as follows:
AT DECEMBER 31, FOR THE YEARS AND PERIODS ENDED DECEMBER 31, --------------------------------- ------------------------------------------------------------ UNITS UNIT FAIR VALUE ASSETS EXPENSE RATIO HIGHEST INVESTMENT TOTAL RETURN HIGHEST TO SUB-ACCOUNT YEAR (000S) HIGHEST TO LOWEST (000S) TO LOWEST* INCOME RATIO** LOWEST*** ----------------------------- ---- ------ ----------------- -------- --------------------- -------------- ----------------------- 500 Index Fund B Series NAV 2010 597 $10.71 to $10.53 $ 6,361 1.85% to 1.40% 1.75% 13.26% to 12.76% 2009 642 9.45 to 9.34 6,043 1.85 to 1.40 2.23 24.59 to 24.03 2008 669 7.59 to 7.53 5,063 1.85 to 1.40 2.08 (38.07) to (38.35) 2007 757 12.25 to 12.21 9,257 1.85 to 1.40 1.23 (2.01) to (2.30) 500 Index Series I 2010 244 10.64 to 10.56 2,586 1.75 to 1.40 1.36 12.99 to 12.59 2009 289 9.42 to 9.38 2,708 1.75 to 1.40 1.53 23.99 to 23.56 2008 464 7.60 to 7.59 3,518 1.75 to 1.40 0.66 (38.08) to (38.30) 2007 623 12.31 to 12.27 7,643 1.75 to 1.40 2.41 3.43 to 3.07 2006 752 11.94 to 11.66 8,946 1.75 to 1.40 0.92 13.66 to 13.26 500 Index Series II 2010 750 14.49 to 13.94 10,648 1.85 to 1.40 1.19 12.70 to 12.19 2009 811 12.86 to 12.42 10,215 1.85 to 1.40 1.48 23.84 to 23.29 2008 940 10.38 to 10.08 9,531 1.85 to 1.40 0.46 (38.27) to (38.55) 2007 1,081 16.82 to 16.40 17,780 1.85 to 1.40 1.93 3.26 to 2.80 2006 1,168 16.29 to 15.21 18,636 1.85 to 1.40 0.78 13.47 to 12.96 500 Index Trust Series NAV 2010 55 17.58 to 17.36 958 1.55 to 0.80 2.19 13.73 to 12.88 2009 15 15.46 to 15.38 228 1.55 to 0.80 2.98 23.67 to 23.06 Active Bond Series I 2010 255 16.20 to 15.88 4,099 1.75 to 1.40 7.01 12.27 to 11.87 2009 336 14.43 to 14.19 4,801 1.75 to 1.40 6.94 23.07 to 22.64 2008 409 11.72 to 11.57 4,759 1.75 to 1.40 5.02 (11.78) to (12.09) 2007 538 13.29 to 13.17 7,114 1.75 to 1.40 8.45 2.59 to 2.23 2006 666 12.95 to 12.88 8,600 1.75 to 1.40 2.82 2.97 to 2.61 Active Bond Series II 2010 3,013 16.01 to 15.61 47,666 1.85 to 1.40 6.99 12.13 to 11.62 2009 3,309 14.28 to 13.98 46,780 1.85 to 1.40 7.26 22.65 to 22.10 2008 3,430 11.64 to 11.45 39,615 1.85 to 1.40 4.80 (11.90) to (12.29) 2007 5,138 13.22 to 13.06 67,505 1.85 to 1.40 8.02 1.87 to 0.87 2006 4,968 12.91 to 12.82 63,915 1.85 to 1.40 2.61 2.76 to 2.30 All Cap Core Series I 2010 223 17.73 to 7.73 3,461 1.75 to 1.40 0.99 11.47 to 11.08 2009 283 15.90 to 6.96 3,792 1.75 to 1.40 1.60 26.68 to 26.24 2008 330 12.55 to 5.51 3,536 1.75 to 1.40 1.59 (40.47) to (40.68) 2007 397 21.09 to 9.29 7,207 1.75 to 1.40 1.38 1.23 to 0.87 2006 522 20.83 to 9.21 9,535 1.75 to 1.40 0.72 13.16 to 12.76 All Cap Core Series II 2010 72 15.98 to 15.37 1,116 1.85 to 1.40 0.82 11.25 to 10.75 2009 78 14.37 to 13.88 1,083 1.85 to 1.40 1.39 26.48 to 25.91 2008 86 11.36 to 11.03 948 1.85 to 1.40 1.30 (40.59) to (40.86) 2007 128 19.12 to 18.64 2,391 1.85 to 1.40 0.80 0.53 to (4.85) 2006 73 18.94 to 16.71 1,341 1.85 to 1.40 0.52 12.96 to 12.45 All Cap Growth Series I 2010 0 15.89 to 6.67 0 1.75 to 1.40 0.21 4.15 to 4.03 2009 493 15.26 to 6.42 6,225 1.75 to 1.40 0.70 19.41 to 18.99 2008 604 12.78 to 5.39 6,282 1.75 to 1.40 0.29 (42.76) to (42.96) 2007 771 22.33 to 9.45 13,881 1.75 to 1.40 0.04 10.49 to 10.10 2006 1,006 20.21 to 8.59 16,657 1.75 to 1.40 0.00 5.10 to 4.73 All Cap Growth Series II 2010 0 11.76 to 11.35 0 1.85 to 1.40 0.11 4.07 to 3.92 2009 171 11.30 to 10.92 1,888 1.85 to 1.40 0.52 19.19 to 18.65 2008 180 9.48 to 9.20 1,664 1.85 to 1.40 0.11 (42.87) to (43.13) 2007 221 16.60 to 16.18 3,588 1.85 to 1.40 0.00 10.26 to 9.77 2006 288 15.05 to 14.04 4,253 1.85 to 1.40 0.00 4.84 to 4.37 All Cap Value Series I 2010 99 17.13 to 13.78 1,725 1.75 to 0.80 0.35 17.41 to 16.3 2009 121 14.73 to 11.73 1,807 1.75 to 0.80 0.53 24.41 to 20.78 2008 141 12.16 to 11.84 1,689 1.75 to 1.40 0.73 (29.78) to (30.02) 2007 211 17.32 to 16.92 3,593 1.75 to 1.40 1.74 6.81 to 6.44 2006 243 16.21 to 15.90 3,883 1.75 to 1.40 0.95 12.14 to 11.75 All Cap Value Series II 2010 272 19.01 to 18.28 4,998 1.85 to 1.40 0.15 16.49 to 15.97 2009 300 16.31 to 15.76 4,735 1.85 to 1.40 0.31 24.65 to 24.09 2008 348 13.09 to 12.70 4,414 1.85 to 1.40 0.54 (29.86) to (30.18) 2007 426 18.66 to 18.19 7,724 1.85 to 1.40 1.35 6.53 to 6.05 2006 514 17.52 to 15.89 8,775 1.85 to 1.40 0.79 11.96 to 11.45
82 JOHN HANCOCK LIFE INSURANCE COMPANY OF NEW YORK SEPARATE ACCOUNT A NOTES TO FINANCIAL STATEMENTS -- (CONTINUED) DECEMBER 31, 2010 7. UNIT VALUES-- (CONTINUED)
AT DECEMBER 31, FOR THE YEARS AND PERIODS ENDED DECEMBER 31, --------------------------------- ------------------------------------------------------------ UNITS UNIT FAIR VALUE ASSETS EXPENSE RATIO HIGHEST INVESTMENT TOTAL RETURN HIGHEST TO SUB-ACCOUNT YEAR (000S) HIGHEST TO LOWEST (000S) TO LOWEST* INCOME RATIO** LOWEST*** ----------------------------- ---- ------ ----------------- -------- --------------------- -------------- ----------------------- American Asset Allocation Series I 2010 711 $11.65 to $11.50 $ 8,268 1.75% to 1.40% 1.46% 10.50% to 10.11% 2009 924 10.55 to 10.45 9,735 1.75 to 1.40 1.86 20.11 to 19.83 American Asset Allocation Series II 2010 9,291 11.73 to 11.41 107,550 1.90 to 1.15 1.46 10.62 to 9.80 2009 9,658 10.60 to 10.39 101,401 1.90 to 1.15 2.03 21.86 to 20.95 2008 7,029 8.70 to 8.59 60,763 1.90 to 1.15 3.04 (30.64) to (31.16) 2007 3,023 12.54 to 12.48 37,906 1.90 to 1.15 3.76 0.34 to (0.16) American Blue-Chip Income & Growth Series II 2010 556 17.19 to 16.61 9,435 1.85 to 1.40 1.12 10.20 to 9.70 2009 645 15.60 to 15.14 9,945 1.85 to 1.40 1.38 25.36 to 24.80 2008 764 12.44 to 12.13 9,405 1.85 to 1.40 3.95 (37.64) to (37.93) 2007 880 19.96 to 19.54 17,405 1.85 to 1.40 2.09 0.06 to (0.39) 2006 1,055 19.94 to 19.62 20,894 1.85 to 1.40 0.42 15.17 to 14.66 American Blue Chip Income & Growth Series III 2010 31 12.01 to 11.75 365 1.55 to 0.80 2.76 11.39 to 10.56 2009 8 10.78 to 10.63 90 1.55 to 0.80 4.73 26.15 to 25.53 American Bond Series II 2010 6,924 13.75 to 13.19 92,938 1.90 to 1.15 2.39 4.75 to 3.97 2009 7,266 13.13 to 12.68 93,467 1.90 to 1.15 2.63 10.65 to 9.82 2008 6,802 11.87 to 11.55 79,419 1.90 to 1.15 8.97 (10.86) to (11.52) 2007 9,127 13.31 to 13.05 120,045 1.90 to 1.15 4.33 1.58 to (0.20) 2006 5,697 13.10 to 12.96 74,052 1.85 to 1.15 0.00 5.01 to 4.46 American Bond Series III 2010 41 13.19 to 12.91 538 1.55 to 0.80 5.11 5.56 to 4.77 2009 11 12.49 to 12.32 135 1.55 to 0.80 7.46 8.99 to 8.46 American Fundamental Holdings Series II 2010 6,974 11.70 to 11.43 80,652 1.90 to 1.15 1.39 8.93 to 8.12 2009 7,422 10.74 to 10.57 79,090 1.90 to 1.15 1.66 25.23 to 24.30 2008 5,408 8.58 to 8.50 46,181 1.90 to 1.15 5.92 (31.76) to (32.27) 2007 350 12.57 to 12.56 4,401 1.90 to 1.15 2.82 0.55 to 0.45 American Global Diversification Series II 2010 4,572 12.10 to 11.82 54,657 1.90 to 1.15 1.80 11.01 to 10.19 2009 5,088 10.90 to 10.73 54,994 1.90 to 1.15 1.78 34.73 to 33.73 2008 4,707 8.09 to 8.02 37,908 1.90 to 1.15 5.46 (35.60) to (36.09) 2007 273 12.56 to 12.55 3,425 1.90 to 1.15 2.93 0.52 to 0.41 American Global Growth Series II 2010 1,146 12.34 to 12.01 13,942 1.90 to 1.15 0.94 9.90 to 9.08 2009 1,204 11.23 to 11.01 13,373 1.90 to 1.15 0.87 39.80 to 38.76 2008 1,289 8.03 to 7.93 10,289 1.90 to 1.15 2.58 (39.39) to (39.84) 2007 996 13.25 to 13.19 13,159 1.90 to 1.15 3.53 6.02 to 5.49 American Global Small Capitalization Series II 2010 455 11.80 to 11.48 5,292 1.90 to 1.15 1.12 20.46 to 19.56 2009 497 9.80 to 9.6 4,817 1.90 to 1.15 0.00 58.60 to 57.42 2008 533 6.18 to 6.10 3,272 1.90 to 1.15 1.36 (54.33) to (54.67) 2007 394 13.52 to 13.46 5,319 1.90 to 1.15 3.02 8.20 to 7.66 American Global Small Capitalization Series III 2010 1 12.55 to 12.28 10 1.55 to 0.80 1.61 21.52 to 20.62 2009 1 10.33 to 10.18 9 1.55 to 0.80 0.00 37.43 to 36.75 American Growth Series II 2010 7,523 19.27 to 12.53 137,649 1.90 to 1.15 0.19 16.79 to 15.92 2009 8,519 16.63 to 10.73 134,439 1.90 to 1.15 0.08 37.09 to 36.07 2008 9,718 12.22 to 7.83 112,969 1.90 to 1.15 1.71 (44.92) to (45.33) 2007 9,075 22.35 to 14.21 194,068 1.90 to 1.15 0.97 11.89 to 10.45 2006 7,988 20.77 to 12.83 160,869 1.85 to 1.15 0.16 8.12 to 2.53 American Growth Series III 2010 21 12.17 to 11.91 254 1.55 to 0.80 1.18 17.74 to 16.86 2009 4 10.34 to 10.19 44 1.55 to 0.80 1.62 24.36 to 23.75 American Growth-Income Series I 2010 505 17.34 to 16.88 8,666 1.75 to 1.40 1.07 9.51 to 9.13 2009 592 15.84 to 15.47 9,282 1.75 to 1.40 1.08 26.38 to 26.08 American Growth-Income Series II 2010 7,611 16.65 to 12.08 122,473 1.90 to 1.15 0.97 9.57 to 8.76 2009 8,246 15.31 to 11.02 121,878 1.90 to 1.15 1.08 29.17 to 28.21 2008 8,827 11.94 to 8.53 101,639 1.90 to 1.15 1.92 (38.88) to (39.34) 2007 8,979 19.68 to 13.96 170,839 1.90 to 1.15 2.81 4.44 to 3.28 2006 7,484 19.56 to 13.49 142,470 1.85 to 1.15 0.92 13.03 to 7.76 American Growth-Income Series III 2010 2 11.99 to 11.73 21 1.55 to 0.80 1.55 10.55 to 9.72 2009 2 10.84 to 10.69 18 1.55 to 0.80 2.25 23.59 to 22.98
83 JOHN HANCOCK LIFE INSURANCE COMPANY OF NEW YORK SEPARATE ACCOUNT A NOTES TO FINANCIAL STATEMENTS -- (CONTINUED) DECEMBER 31, 2010 7. UNIT VALUES-- (CONTINUED)
AT DECEMBER 31, FOR THE YEARS AND PERIODS ENDED DECEMBER 31, --------------------------------- ------------------------------------------------------------ UNITS UNIT FAIR VALUE ASSETS EXPENSE RATIO HIGHEST INVESTMENT TOTAL RETURN HIGHEST TO SUB-ACCOUNT YEAR (000S) HIGHEST TO LOWEST (000S) TO LOWEST* INCOME RATIO** LOWEST*** ----------------------------- ---- ------ ----------------- -------- --------------------- -------------- ----------------------- American High-Income Bond Series II 2010 375 $13.88 to $13.51 $ 5,127 1.90% to 1.15% 7.28% 13.22% to 12.37% 2009 356 12.26 to 12.02 4,312 1.90 to 1.15 7.04 36.84 to 35.81 2008 276 8.96 to 8.85 2,454 1.90 to 1.15 6.87 (25.26) to (25.82) 2007 230 11.99 to 11.93 2,756 1.90 to 1.15 14.42 (4.07) to (4.55) American High-Income Bond Series III 2010 18 15.34 to 15.02 274 1.55 to 0.80 8.48 14.06 to 13.21 2009 7 13.45 to 13.26 98 1.55 to 0.80 23.21 26.17 to 25.55 American International Series II 2010 3,471 25.53 to 13.20 79,177 1.90 to 1.15 1.47 5.46 to 4.67 2009 3,654 24.39 to 12.52 79,898 1.90 to 1.15 0.91 40.78 to 39.73 2008 4,271 17.45 to 8.89 67,146 1.90 to 1.15 3.75 (43.13) to (43.56) 2007 4,182 30.92 to 15.64 117,982 1.90 to 1.15 2.12 20.00 to 18.04 2006 3,719 26.88 to 13.22 94,939 1.85 to 1.15 0.72 16.68 to 5.59 American International Series III 2010 18 12.24 to 11.98 222 1.55 to 0.80 3.41 6.40 to 5.60 2009 4 11.51 to 11.35 42 1.55 to 0.80 4.91 30.60 to 29.96 American New World Series II 2010 468 14.44 to 14.05 6,675 1.90 to 1.15 1.14 15.85 to 14.98 2009 391 12.47 to 12.22 4,826 1.90 to 1.15 1.19 47.11 to 46.02 2008 320 8.48 to 8.37 2,693 1.90 to 1.15 2.39 (43.32) to (43.74) 2007 305 14.95 to 14.88 4,543 1.90 to 1.15 4.54 19.62 to 19.02 Blue Chip Growth Series I 2010 1,103 24.16 to 10.99 22,002 1.75 to 1.40 0.08 14.54 to 14.14 2009 1,322 21.09 to 9.63 22,583 1.75 to 1.40 0.15 40.91 to 40.42 2008 1,661 14.97 to 6.86 19,671 1.75 to 1.40 0.31 (43.34) to (43.54) 2007 1,903 26.42 to 12.14 40,711 1.75 to 1.40 0.71 11.17 to 10.78 2006 2,288 24.22 to 10.96 45,399 1.75 to 1.40 0.21 8.07 to 7.69 Blue Chip Growth Series II 2010 1,175 15.11 to 13.45 17,962 1.90 to 1.15 0.05 14.61 to 13.76 2009 1,287 13.28 to 11.73 17,230 1.90 to 1.15 0.09 40.93 to 39.88 2008 1,373 9.50 to 8.32 13,138 1.90 to 1.15 0.14 (43.29) to (43.71) 2007 1,218 16.87 to 14.68 20,648 1.90 to 1.15 0.38 12.67 to 11.22 2006 1,374 15.64 to 13.17 21,093 1.85 to 1.15 0.03 7.80 to 5.20 Capital Appreciation Series I 2010 1,257 9.91 to 9.56 12,339 1.75 to 1.40 0.15 10.28 to 9.89 2009 791 8.98 to 8.7 7,034 1.75 to 1.40 0.25 40.31 to 39.82 2008 966 6.40 to 6.22 6,119 1.75 to 1.40 0.43 (38.10) to (38.32) 2007 1,202 10.34 to 10.09 12,303 1.75 to 1.40 0.27 10.05 to 9.66 2006 1,426 9.40 to 9.20 13,949 1.75 to 1.40 0.00 0.84 to 0.49 Capital Appreciation Series II 2010 688 14.85 to 13.35 10,382 1.90 to 1.15 0.02 10.30 to 9.48 2009 601 13.56 to 12.10 8,267 1.90 to 1.15 0.05 40.42 to 39.37 2008 642 9.73 to 8.62 6,326 1.90 to 1.15 0.22 (38.08) to (38.54) 2007 746 15.83 to 13.92 11,902 1.90 to 1.15 0.08 10.85 to 10.08 2006 868 14.83 to 12.61 12,654 1.85 to 1.15 0.00 1.15 to 0.20 Capital Appreciation Value Series II 2010 1,706 13.09 to 12.85 22,084 1.90 to 1.15 1.30 12.34 to 11.5 2009 1,848 11.65 to 11.52 21,392 1.90 to 1.15 2.11 28.35 to 27.39 2008 908 9.08 to 9.04 8,220 1.90 to 1.15 1.55 (27.36) to (27.65) CGTC Overseas Equity Series II 2010 0 14.29 to 13.97 0 1.85 to 1.40 0.51 (1.50) to (1.65) 2009 31 14.51 to 14.21 444 1.85 to 1.40 1.87 28.63 to 28.05 2008 26 11.28 to 11.09 294 1.85 to 1.40 1.53 (43.00) to (43.26) 2007 36 19.79 to 19.55 715 1.85 to 1.40 1.88 10.64 to 10.14 2006 46 17.89 to 17.75 820 1.85 to 1.40 0.40 17.98 to 17.45 Core Allocation Plus Series II 2010 777 11.81 to 11.59 9,097 1.90 to 1.15 0.93 9.03 to 8.21 2009 776 10.84 to 10.71 8,364 1.90 to 1.15 1.62 23.67 to 22.74 2008 326 8.76 to 8.73 2,847 1.90 to 1.15 1.01 (29.91) to (30.19) Core Allocation Series I 2010 4 16.28 to 16.08 59 1.55 to 0.80 2.55 10.12 to 9.30 2009 3 14.79 to 14.71 45 1.55 to 0.80 8.43 18.30 to 17.71 Core Allocation Series II 2010 471 16.49 to 14.09 7,738 2.10 to 1.15 3.00 9.46 to 12.73 2009 174 15.06 to 14.99 2,613 1.90 to 1.15 6.98 20.5 to 19.89 Core Balanced Series I 2010 11 16.42 to 16.22 184 1.55 to 0.80 2.07 11.30 to 10.47 2009 7 14.75 to 14.68 110 1.55 to 0.80 3.52 18.04 to 17.46 Core Balanced Series II 2010 840 16.68 to 14.10 13,942 2.10 to 1.15 2.11 10.77 to 12.80 2009 317 15.05 to 14.98 4,769 1.90 to 1.15 3.10 20.43 to 19.83
84 JOHN HANCOCK LIFE INSURANCE COMPANY OF NEW YORK SEPARATE ACCOUNT A NOTES TO FINANCIAL STATEMENTS -- (CONTINUED) DECEMBER 31, 2010 7. UNIT VALUES-- (CONTINUED)
AT DECEMBER 31, FOR THE YEARS AND PERIODS ENDED DECEMBER 31, --------------------------------- ------------------------------------------------------------ UNITS UNIT FAIR VALUE ASSETS EXPENSE RATIO HIGHEST INVESTMENT TOTAL RETURN HIGHEST TO SUB-ACCOUNT YEAR (000S) HIGHEST TO LOWEST (000S) TO LOWEST* INCOME RATIO** LOWEST*** ----------------------------- ---- ------ ----------------- -------- --------------------- -------------- ----------------------- Core Balanced Strategy Series NAV 2010 15 14.91% to 14.91% $ 225 1.60% to 1.60% 2.77% 9.07% to 9.07% 2009 2 13.67 to 13.67 25 1.60 to 1.60 6.55 9.37 to 9.37 Core Bond Series II 2010 59 15.46 to 15.07 900 1.85 to 1.40 2.28 5.44 to 4.96 2009 64 14.66 to 14.36 923 1.85 to 1.40 2.01 8.08 to 7.60 2008 53 13.57 to 13.34 711 1.85 to 1.40 5.88 1.71 to 1.25 2007 17 13.34 to 13.18 229 1.85 to 1.40 7.42 4.58 to 4.11 2006 17 12.76 to 12.66 211 1.85 to 1.40 1.59 2.18 to 1.72 Core Disciplined Diversification Series II 2010 746 17.11 to 14.28 12,675 2.10 to 1.15 2.76 10.92 to 14.27 2009 311 15.42 to 15.34 4,788 1.90 to 1.15 4.82 23.37 to 22.75 Core Fundamental Holdings Series II 2010 1,288 13.85 to 13.48 20,482 2.10 to 0.35 2.24 7.43 to 10.81 2009 501 14.73 to 14.66 7,363 1.90 to 1.15 2.72 17.86 to 17.27 Core Fundamental Holdings Series III 2010 1 15.81 to 15.62 20 1.55 to 0.80 5.86 9.20 to 8.38 2009 0 14.48 to 14.41 3 1.55 to 0.80 8.68 15.85 to 15.28 Core Global Diversification Series II 2010 1,353 14.16 to 13.47 21,940 2.10 to 0.35 2.17 7.98 to 13.30 2009 880 15.23 to 15.15 13,364 1.90 to 1.15 3.12 21.83 to 21.22 Core Global Diversification Series III 2010 10 16.11 to 15.91 158 1.55 to 0.80 3.94 7.84 to 7.03 2009 0 14.94 to 14.86 3 1.55 to 0.80 8.00 19.48 to 18.90 Core Strategy Series II 2010 4,192 14.17 to 13.51 56,653 2.10 to 1.15 2.09 10.89 to 13.36 2009 4,217 12.19 to 12.12 51,522 1.90 to 1.15 1.89 20.26 to 19.36 2008 3,461 10.15 to 10.13 35,248 1.90 to 1.15 1.22 (27.32) to (27.86) 2007 2,939 14.07 to 13.94 41,358 1.90 to 1.15 4.15 5.33 to 5.12 2006 967 13.52 to 13.21 13,001 1.85 to 1.15 2.84 8.17 to 5.51 Core Strategy Series NAV 2010 30 15.88 to 15.88 472 1.20 to 1.20 2.38 11.22 to 14.16 2009 30 14.27 to 14.27 424 1.20 to 1.20 3.01 14.20 to 10.40 Disciplined Diversification Series II 2010 704 12.84 to 12.60 8972 1.90 to 1.15 1.41 11.89 to 11.05 2009 719 11.48 to 11.35 8,210 1.90 to 1.15 2.26 25.51 to 24.57 2008 406 9.15 to 9.11 3,706 1.90 to 1.15 1.89 (26.83) to (27.13) DWS Equity 500 Index 2010 216 19.93 to 19.20 4,243 1.85 to 1.40 1.50 12.70 to 12.20 2009 223 17.68 to 17.11 3,883 1.85 to 1.40 2.48 24.04 to 23.49 2008 229 14.25 to 13.86 3,223 1.85 to 1.40 2.01 (38.24) to (38.51) 2007 308 23.08 to 22.54 7,045 1.85 to 1.40 1.19 3.38 to 2.92 2006 372 22.32 to 21.90 8,245 1.85 to 1.40 0.89 13.61 to 13.10 Equity-Income Series I 2010 1,009 32.68 to 17.96 29,280 1.75 to 1.40 1.86 13.52 to 13.12 2009 1,177 28.79 to 15.88 29,467 1.75 to 1.40 2.12 23.97 to 23.54 2008 1,451 23.22 to 12.85 28,858 1.75 to 1.40 2.28 (36.86) to (37.08) 2007 1,807 36.77 to 20.43 56,669 1.75 to 1.40 2.82 1.90 to 1.54 2006 2,087 36.09 to 20.12 65,058 1.75 to 1.40 1.53 17.37 to 16.96 Equity-Income Series II 2010 1,620 15.02 to 12.50 24,675 1.90 to 1.15 1.65 13.60 to 12.75 2009 1,793 13.32 to 11.00 24,196 1.90 to 1.15 1.96 24.11 to 23.18 2008 1,833 10.81 to 8.86 20,119 1.90 to 1.15 2.14 (36.89) to (37.37) 2007 2,077 17.26 to 14.04 36,349 1.90 to 1.15 2.51 2.49 to 1.97 2006 2,177 17.74 to 13.74 37,727 1.85 to 1.15 1.36 17.12 to 9.77 Financial Services Series I 2010 63 13.61 to 13.16 843 1.75 to 1.40 0.31 10.69 to 10.31 2009 75 12.29 to 11.93 912 1.75 to 1.40 0.74 39.44 to 38.95 2008 73 8.82 to 8.58 631 1.75 to 1.40 0.76 (45.43) to (45.62) 2007 117 16.16 to 15.78 1,856 1.75 to 1.40 1.14 (8.12) to (8.44) 2006 199 17.58 to 17.24 3,472 1.75 to 1.40 0.34 21.41 to 20.99
85 JOHN HANCOCK LIFE INSURANCE COMPANY OF NEW YORK SEPARATE ACCOUNT A NOTES TO FINANCIAL STATEMENTS -- (CONTINUED) DECEMBER 31, 2010 7. UNIT VALUES-- (CONTINUED)
AT DECEMBER 31, FOR THE YEARS AND PERIODS ENDED DECEMBER 31, --------------------------------- ------------------------------------------------------------ UNITS UNIT FAIR VALUE ASSETS EXPENSE RATIO HIGHEST INVESTMENT TOTAL RETURN HIGHEST TO SUB-ACCOUNT YEAR (000S) HIGHEST TO LOWEST (000S) TO LOWEST* INCOME RATIO** LOWEST*** ----------------------------- ---- ------ ----------------- -------- --------------------- -------------- ----------------------- Financial Services Series II 2010 338 $14.08 to $11.18 $ 4,735 1.90% to 1.15% 0.14% 10.72% to 9.90% 2009 349 12.82 to 10.1 4,423 1.90 to 1.15 0.56 39.37 to 38.33 2008 294 9.26 to 7.25 2,733 1.90 to 1.15 0.63 (45.39) to (45.80) 2007 295 17.09 to 13.27 5,040 1.90 to 1.15 0.90 (4.45) to (8.00) 2006 309 19.16 to 14.39 5,828 1.85 to 1.15 0.20 21.07 to 14.95 Founding Allocation Series II 2010 8,711 18.99 to 10.54 93,003 1.90 to 0.35 3.46 9.45 to 8.36 2009 9,836 9.92 to 9.72 96,556 1.90 to 1.15 3.91 29.62 to 28.66 2008 10,027 7.65 to 7.56 76,269 1.90 to 1.15 3.04 (36.29) to (36.77) 2007 5,985 12.01 to 11.95 71,857 1.90 to 1.15 1.09 (3.90) to (4.38) Fundamental Value Series I 2010 2,046 14.13 to 12.01 29,715 1.75 to 0.80 1.09 12.20 to 11.14 2009 2,371 12.71 to 10.7 30,866 1.75 to 0.80 0.91 29.49 to 24.99 2008 2,965 10.08 to 9.82 29,695 1.75 to 1.40 3.25 (40.17) to (40.38) 2007 492 16.85 to 16.46 8,158 1.75 to 1.40 1.58 2.59 to 2.23 2006 560 16.43 to 16.10 9,076 1.75 to 1.40 0.83 12.93 to 12.53 Fundamental Value Series II 2010 2,527 15.16 to 12.16 38,467 1.90 to 1.15 0.90 11.59 to 10.76 2009 2,813 13.69 to 10.9 38,515 1.90 to 1.15 0.73 30.08 to 29.11 2008 2,935 10.60 to 8.38 30,995 1.90 to 1.15 0.68 (40.15) to (40.60) 2007 2,595 17.85 to 14.00 45,930 1.90 to 1.15 1.18 4.11 to 2.68 2006 2,101 17.92 to 13.60 36,932 1.85 to 1.15 0.59 12.66 to 8.68 Global Bond Series I 2010 131 21.76 to 14.30 3,817 1.75 to 0.80 3.37 9.43 to 8.39 2009 155 20.08 to 13.06 4,111 1.75 to 0.80 12.54 17.11 to 13.39 2008 206 27.85 to 17.71 4,729 1.75 to 1.40 0.63 (5.81) to (6.14) 2007 217 29.57 to 18.87 5,364 1.75 to 1.40 7.20 8.10 to 7.72 2006 252 27.35 to 17.51 5,851 1.75 to 1.40 0.00 3.81 to 3.45 Global Bond Series II 2010 937 20.15 to 16.02 18,637 1.90 to 1.15 3.24 8.86 to 8.05 2009 1,016 18.65 to 14.71 18,682 1.90 to 1.15 11.87 13.82 to 12.97 2008 1,046 16.51 to 12.92 17,079 1.90 to 1.15 0.58 (5.75) to (6.46) 2007 1,202 17.65 to 13.71 20,931 1.90 to 1.15 6.99 8.09 to 6.56 2006 1,045 17.40 to 12.66 17,310 1.85 to 1.15 0.00 3.61 to 1.12 Global Trust Series I 2010 361 13.05 to 11.86 9,356 1.75 to 0.80 1.52 6.90 to 5.89 2009 408 12.32 to 11.09 9,789 1.75 to 0.80 1.61 29.09 to 27.06 2008 486 19.74 to 9.55 8,860 1.75 to 1.40 1.86 (40.39) to (40.60) 2007 585 33.11 to 16.07 17,812 1.75 to 1.40 2.27 (0.08) to (0.43) 2006 722 33.14 to 16.14 22,073 1.75 to 1.40 1.34 18.65 to 18.24 Global Trust Series II 2010 330 15.38 to 14.79 5,009 1.85 to 1.40 1.34 6.06 to 5.58 2009 352 14.50 to 14.01 5,046 1.85 to 1.40 1.44 29.28 to 28.70 2008 386 11.22 to 10.89 4,288 1.85 to 1.40 1.68 (40.48) to (40.75) 2007 432 18.85 to 18.37 8,056 1.85 to 1.40 1.25 (0.77) to (4.80) 2006 252 18.91 to 18.43 4,726 1.85 to 1.40 1.11 18.43 to 17.90 Health Sciences Series I 2010 99 20.75 to 20.06 2,017 1.75 to 1.40 0.00 14.09 to 13.69 2009 134 18.19 to 17.64 2,396 1.75 to 1.40 0.00 29.98 to 29.53 2008 141 13.99 to 13.62 1,940 1.75 to 1.40 0.00 (30.88) to (31.12) 2007 207 20.25 to 19.78 4,139 1.75 to 1.40 0.00 16.03 to 15.62 2006 233 17.45 to 17.11 4,022 1.75 to 1.40 0.00 6.87 to 6.50 Health Sciences Series II 2010 320 21.61 to 15.96 6,838 1.90 to 1.15 0.00 14.15 to 13.30 2009 345 19.07 to 13.98 6,464 1.90 to 1.15 0.00 30.05 to 29.08 2008 394 14.77 to 10.75 5,751 1.90 to 1.15 0.00 (30.86) to (31.38) 2007 423 21.53 to 15.55 9,050 1.90 to 1.15 0.00 16.09 to 15.60 2006 452 19.12 to 13.36 8,397 1.85 to 1.15 0.00 7.16 to 6.19 High Income Series II 2010 92 12.76 to 12.42 1,163 1.90 to 1.15 29.43 10.01 to 9.19 2009 115 11.60 to 11.37 1,324 1.90 to 1.15 22.43 79.2 to 77.86 2008 9 6.44 to 6.36 57 1.90 to 1.15 9.67 (44.23) to (44.65) 2007 18 11.56 to 11.50 212 1.90 to 1.15 10.05 (7.56) to (8.02)
86 JOHN HANCOCK LIFE INSURANCE COMPANY OF NEW YORK SEPARATE ACCOUNT A NOTES TO FINANCIAL STATEMENTS -- (CONTINUED) DECEMBER 31, 2010 7. UNIT VALUES-- (CONTINUED)
AT DECEMBER 31, FOR THE YEARS AND PERIODS ENDED DECEMBER 31, --------------------------------- ------------------------------------------------------------ UNITS UNIT FAIR VALUE ASSETS EXPENSE RATIO HIGHEST INVESTMENT TOTAL RETURN HIGHEST TO SUB-ACCOUNT YEAR (000S) HIGHEST TO LOWEST (000S) TO LOWEST* INCOME RATIO** LOWEST*** ----------------------------- ---- ------ ----------------- -------- --------------------- -------------- ----------------------- High Yield Series I 2010 176 $20.52 to $16.95 $ 3,254 1.75% to 1.40% 35.43% 12.20% to 11.81% 2009 237 18.28 to 15.16 3,896 1.75 to 1.40 10.85 52.37 to 51.84 2008 322 12.00 to 9.99 3,433 1.75 to 1.40 7.94 (30.50) to (30.75) 2007 405 17.27 to 14.42 6,307 1.75 to 1.40 12.10 0.22 to (0.14) 2006 576 17.23 to 14.44 8,974 1.75 to 1.40 6.86 8.84 to 8.46 High Yield Series II 2010 385 19.70 to 15.83 7,614 1.90 to 1.15 36.39 12.24 to 11.40 2009 508 17.69 to 14.1 8,953 1.90 to 1.15 11.26 52.59 to 51.46 2008 513 11.68 to 9.24 5,991 1.90 to 1.15 8.22 (30.51) to (31.03) 2007 542 16.93 to 13.30 9,166 1.90 to 1.15 12.03 0.20 to (1.97) 2006 694 17.42 to 13.24 11,893 1.85 to 1.15 6.91 8.71 to 5.80 International Core Series I 2010 151 11.24 to 11.19 2,107 1.75 to 0.80 1.81 8.70 to 7.68 2009 180 10.39 to 10.34 2,336 1.75 to 0.80 2.45 24.01 to 16.58 2008 215 12.35 to 8.91 2,367 1.75 to 1.40 5.00 (39.48) to (39.69) 2007 256 20.40 to 14.78 4,709 1.75 to 1.40 2.13 9.86 to 9.48 2006 308 18.57 to 13.50 5,223 1.75 to 1.40 0.60 23.04 to 22.61 International Core Series II 2010 112 15.86 to 11.25 1,800 1.90 to 1.15 1.64 8.13 to 7.32 2009 126 14.78 to 10.4 1,878 1.90 to 1.15 2.21 17.17 to 16.29 2008 124 12.71 to 8.88 1,590 1.90 to 1.15 4.53 (39.48) to (39.93) 2007 146 21.16 to 14.67 3,122 1.90 to 1.15 1.79 9.86 to 9.32 2006 159 20.21 to 13.32 3,123 1.85 to 1.15 0.42 22.89 to 6.43 International Equity Index A Trust Series I 2010 115 19.31 to 18.86 2,206 1.75 to 1.40 2.61 9.33 to 8.95 2009 51 17.66 to 17.31 895 1.75 to 1.40 12.53 35.94 to 35.46 2008 64 12.99 to 12.78 816 1.75 to 1.40 1.94 (45.32) to (45.51) 2007 82 23.76 to 23.45 1,939 1.75 to 1.40 3.68 13.81 to 13.41 2006 82 20.87 to 20.68 1,708 1.75 to 1.40 0.81 23.75 to 23.31 International Equity Index A Trust Series II 2010 307 18.42 to 13.72 5,688 1.90 to 1.15 2.20 9.73 to 9.18 2009 146 17.45 to 17.01 2,514 1.85 to 1.40 12.09 35.57 to 34.96 2008 178 12.87 to 12.60 2,266 1.85 to 1.40 1.89 (45.42) to (45.67) 2007 188 23.58 to 23.19 4,401 1.85 to 1.40 3.48 13.55 to 13.04 2006 199 20.76 to 20.52 4,102 1.85 to 1.40 0.61 23.52 to 22.97 International Equity Index Series NAV 2010 265 10.87 to 10.69 2,866 1.85 to 1.40 2.56 9.89 to 9.40 2009 278 9.89 to 9.78 2,734 1.85 to 1.40 3.78 36.87 to 36.26 2008 308 7.23 to 7.17 2,216 1.85 to 1.40 2.59 (45.16) to (45.41) 2007 357 13.18 to 13.14 4,705 1.85 to 1.40 1.99 5.44 to 5.13 International Opportunities Series II 2010 234 15.87 to 11.72 3,620 1.90 to 1.15 1.17 12.10 to 11.26 2009 265 14.26 to 10.46 3,655 1.90 to 1.15 0.88 35.70 to 34.68 2008 227 10.59 to 7.71 2,323 1.90 to 1.15 0.94 (51.23) to (51.60) 2007 256 21.88 to 15.80 5,511 1.90 to 1.15 1.39 21.50 to 18.39 2006 166 18.78 to 13.31 3,092 1.85 to 1.15 0.27 22.18 to 6.37 International Small Company Series I 2010 204 14.94 to 14.78 3,024 1.75 to 0.80 2.49 21.72 to 20.58 2009 270 12.27 to 12.26 3,316 1.75 to 0.80 0.78 (1.80) to (1.93) International Small Company Series II 2010 394 14.85 to 14.73 5,826 1.90 to 1.15 2.51 21.06 to 20.15 2009 441 12.27 to 12.26 5,404 1.90 to 1.15 0.77 (1.85) to (1.95)
87 JOHN HANCOCK LIFE INSURANCE COMPANY OF NEW YORK SEPARATE ACCOUNT A NOTES TO FINANCIAL STATEMENTS -- (CONTINUED) DECEMBER 31, 2010 7. UNIT VALUES-- (CONTINUED)
AT DECEMBER 31, FOR THE YEARS AND PERIODS ENDED DECEMBER 31, --------------------------------- ------------------------------------------------------------ UNITS UNIT FAIR VALUE ASSETS EXPENSE RATIO HIGHEST INVESTMENT TOTAL RETURN HIGHEST TO SUB-ACCOUNT YEAR (000S) HIGHEST TO LOWEST (000S) TO LOWEST* INCOME RATIO** LOWEST*** ----------------------------- ---- ------ ----------------- -------- --------------------- -------------- ----------------------- International Value Series I 2010 440 $17.11 to $11.78 $ 7,726 1.75% to 0.80% 1.89% 7.12% to 6.11% 2009 525 16.12 to 11.00 8,641 1.75 to 0.80 2.11 33.42 to 29.88 2008 654 12.42 to 12.09 8,050 1.75 to 1.40 3.26 (43.47) to (43.67) 2007 815 21.97 to 21.45 17,773 1.75 to 1.40 4.21 8.00 to 7.62 2006 988 20.35 to 19.93 19,990 1.75 to 1.40 1.86 27.79 to 27.35 International Value Series II 2010 799 19.16 to 12.33 15,513 1.90 to 1.15 1.72 6.54 to 5.74 2009 875 18.12 to 11.58 16,005 1.90 to 1.15 1.97 34.04 to 33.04 2008 982 13.62 to 8.64 13,483 1.90 to 1.15 3.12 (43.47) to (43.89) 2007 1,141 24.28 to 15.28 27,912 1.90 to 1.15 3.64 10.80 to 8.10 2006 1,023 24.17 to 14.10 23,440 1.85 to 1.15 1.67 27.48 to 12.65 Investment Quality Bond Series I 2010 262 19.44 to 14.33 6,614 1.75 to 0.80 4.95 6.60 to 5.59 2009 295 18.41 to 13.45 7,038 1.75 to 0.8 4.75 10.52 to 10.50 2008 355 26.96 to 16.66 7,499 1.75 to 1.40 6.14 (3.04) to (3.38) 2007 456 27.80 to 17.24 9,925 1.75 to 1.40 8.82 4.72 to 4.35 2006 545 26.55 to 16.52 11,394 1.75 to 1.40 6.35 2.13 to 1.78 Investment Quality Bond Series II 2010 1,566 16.94 to 15.57 26,939 1.90 to 1.15 4.74 6.07 to 5.28 2009 1,667 16.09 to 14.68 27,172 1.90 to 1.15 5.17 10.92 to 10.09 2008 1,422 14.62 to 13.23 20,940 1.90 to 1.15 5.94 (2.95) to (3.67) 2007 1,980 15.17 to 13.63 30,162 1.90 to 1.15 8.71 4.70 to 2.41 2006 1,826 14.94 to 12.99 26,873 1.85 to 1.15 5.47 4.16 to 1.47 Large Cap Series I 2010 860 13.40 to 13.13 11,493 1.75 to 1.40 1.06 12.16 to 11.77 2009 948 11.94 to 11.75 11,301 1.75 to 1.40 1.92 29.03 to 28.58 2008 1,121 9.26 to 9.14 10,360 1.75 to 1.40 1.31 (40.36) to (40.57) 2007 1,364 15.52 to 15.38 21,150 1.75 to 1.40 0.52 (5.85) to (6.08) Large Cap Series II 2010 88 13.29 to 12.96 1,160 1.85 to 1.40 0.89 11.96 to 11.46 2009 86 11.87 to 11.63 1,015 1.85 to 1.40 1.71 28.74 to 28.16 2008 94 9.22 to 9.07 860 1.85 to 1.40 1.15 (40.52) to (40.79) 2007 104 15.51 to 15.32 1,613 1.85 to 1.40 0.60 (0.14) to (0.60) 2006 10 15.53 to 15.41 150 1.85 to 1.40 0.22 14.45 to 12.07 Large Cap Value Series I 2010 50 18.89 to 18.39 926 1.75 to 1.40 1.08 8.39 to 8.01 2009 65 17.43 to 17.02 1,122 1.75 to 1.40 1.55 9.10 to 8.72 2008 84 15.97 to 15.66 1,318 1.75 to 1.40 1.47 (36.80) to (37.03) 2007 101 25.27 to 24.86 2,535 1.75 to 1.40 0.94 2.92 to 2.56 2006 123 24.56 to 24.24 2,993 1.75 to 1.40 0.00 1.48 to 1.45 Large Cap Value Series II 2010 249 18.73 to 18.10 4,615 1.85 to 1.40 0.98 8.18 to 7.69 2009 263 17.32 to 16.8 4,509 1.85 to 1.40 1.38 8.82 to 8.34 2008 287 15.91 to 15.51 4,533 1.85 to 1.40 1.34 (36.91) to (37.20) 2007 297 25.22 to 24.70 7,440 1.85 to 1.40 0.62 2.73 to 2.26 2006 356 24.55 to 24.15 8,694 1.85 to 1.40 0.26 14.15 to 13.64 Lifestyle Aggressive Series I 2010 162 17.69 to 13.57 2,562 1.75 to 1.40 1.71 14.83 to 14.43 2009 221 15.41 to 11.86 3,044 1.75 to 1.40 1.01 33.75 to 33.28 2008 250 11.52 to 8.90 2,573 1.75 to 1.40 1.72 (42.80) to (43.00) 2007 277 20.14 to 15.61 4,983 1.75 to 1.40 9.33 7.03 to 6.66 2006 320 18.82 to 14.63 5,390 1.75 to 1.40 7.66 13.86 to 13.46 Lifestyle Aggressive Series II 2010 2,053 16.87 to 12.31 34,935 1.90 to 1.15 1.67 14.80 to 13.94 2009 2,338 14.81 to 10.72 34,902 1.90 to 1.15 0.86 33.91 to 32.91 2008 2,297 11.14 to 8.01 25,699 1.90 to 1.15 1.60 (42.81) to (43.24) 2007 2,375 19.63 to 14.00 46,731 1.90 to 1.15 9.28 7.57 to 7.16 2006 3,106 18.89 to 13.01 58,044 1.85 to 1.15 7.68 13.59 to 4.07 Lifestyle Balanced Series I 2010 1,410 16.11 to 13.02 26,554 1.75 to 0.80 2.51 10.86 to 9.81 2009 1,754 14.67 to 11.74 30,229 1.75 to 0.80 4.45 28.48 to 22.49 2008 1,855 15.63 to 11.42 24,806 1.75 to 1.40 2.84 (32.26) to (32.49) 2007 2,442 23.06 to 16.92 47,729 1.75 to 1.40 7.57 4.98 to 4.61 2006 2,969 21.97 to 16.17 56,071 1.75 to 1.40 5.48 11.17 to 10.78 Lifestyle Balanced Series II 2010 56,894 13.88 to 12.55 910,709 2.10 to 0.35 2.58 7.90 to 11.06 2009 57,548 15.91 to 12.19 846,400 1.90 to 1.15 4.39 28.99 to 28.02 2008 52,147 12.43 to 9.45 607,184 1.90 to 1.15 3.26 (32.23) to (32.74) 2007 47,212 18.48 to 13.95 828,590 1.90 to 1.15 7.40 5.04 to 4.60 2006 36,439 18.14 to 13.22 636,831 1.85 to 1.15 4.89 10.95 to 5.74
88 JOHN HANCOCK LIFE INSURANCE COMPANY OF NEW YORK SEPARATE ACCOUNT A NOTES TO FINANCIAL STATEMENTS -- (CONTINUED) DECEMBER 31, 2010 7. UNIT VALUES-- (CONTINUED)
AT DECEMBER 31, FOR THE YEARS AND PERIODS ENDED DECEMBER 31, --------------------------------- ------------------------------------------------------------ UNITS UNIT FAIR VALUE ASSETS EXPENSE RATIO HIGHEST INVESTMENT TOTAL RETURN HIGHEST TO SUB-ACCOUNT YEAR (000S) HIGHEST TO LOWEST (000S) TO LOWEST* INCOME RATIO** LOWEST*** ----------------------------- ---- ------ ----------------- -------- --------------------- -------------- ----------------------- Lifestyle Conservative Series I 2010 547 $18.17 to $13.82 $ 11,142 1.75% to 0.80% 2.61% 8.25% to 7.23% 2009 617 16.95 to 12.77 11,622 1.75 to 0.80 5.00 19.60 to 16.28 2008 751 18.51 to 14.17 11,787 1.75 to 1.40 4.02 (16.74) to (17.04) 2007 810 22.23 to 17.08 15,463 1.75 to 1.40 8.00 3.91 to 3.54 2006 856 21.39 to 16.50 15,451 1.75 to 1.40 4.62 6.93 to 6.56 Lifestyle Conservative Series II 2010 13,932 13.67 to 13.17 229,082 2.10 to 0.35 2.57 3.52 to 5.39 2009 12,692 15.80 to 13.72 195,831 1.90 to 1.15 5.84 20.05 to 19.15 2008 9,579 13.26 to 11.43 125,592 1.90 to 1.15 5.28 (16.64) to (17.27) 2007 5,317 16.03 to 13.71 84,601 1.90 to 1.15 8.10 3.96 to 2.30 2006 4,437 15.90 to 13.12 69,236 1.85 to 1.15 4.41 6.63 to 4.99 Lifestyle Growth Series I 2010 1,040 14.60 to 12.65 17,871 1.75 to 0.80 2.34 12.12 to 11.06 2009 1,148 13.15 to 11.28 17,935 1.75 to 0.80 3.15 30.98 to 24.30 2008 1,376 13.80 to 10.04 16,384 1.75 to 1.40 2.33 (37.49) to (37.71) 2007 1,701 22.08 to 16.12 32,488 1.75 to 1.40 7.74 6.02 to 5.65 2006 1,922 20.82 to 15.25 34,748 1.75 to 1.40 6.04 11.93 to 11.54 Lifestyle Growth Series II 2010 63,087 14.34 to 12.13 981,607 2.10 to 0.35 2.24 10.73 to 14.68 2009 64,057 15.36 to 11.47 904,376 1.90 to 1.15 3.25 31.43 to 30.44 2008 60,322 11.77 to 8.73 659,686 1.90 to 1.15 2.50 (37.39) to (37.87) 2007 55,721 18.95 to 13.94 992,822 1.90 to 1.15 7.32 6.03 to 5.96 2006 39,974 18.43 to 13.09 706,919 1.85 to 1.15 5.22 11.71 to 4.69 Lifestyle Moderate Series I 2010 696 16.92 to 13.51 13,480 1.75 to 0.80 2.55 9.67 to 8.64 2009 784 15.58 to 12.32 13,890 1.75 to 0.80 4.58 25.05 to 20.36 2008 955 16.90 to 12.46 13,419 1.75 to 1.40 3.29 (25.29) to (25.55) 2007 1,329 22.62 to 16.73 24,871 1.75 to 1.40 7.57 3.82 to 3.46 2006 1,517 21.79 to 16.17 27,295 1.75 to 1.40 4.68 8.88 to 8.51 Lifestyle Moderate Series II 2010 20,211 13.59 to 13.20 324,398 2.10 to 0.35 2.57 6.30 to 8.75 2009 19,158 15.71 to 12.87 284,910 1.90 to 1.15 4.85 25.41 to 24.48 2008 16,671 12.62 to 10.27 201,465 1.90 to 1.15 4.25 (25.23) to (25.79) 2007 13,562 17.01 to 13.73 224,500 1.90 to 1.15 7.54 3.88 to 2.82 2006 10,417 16.89 to 13.15 171,943 1.85 to 1.15 4.21 8.65 to 5.24 Mid Cap Index Series I 2010 90 20.88 to 16.27 1,921 1.75 to 0.80 1.09 24.98 to 23.80 2009 95 16.86 to 13.02 1,630 1.75 to 0.80 1.06 34.39 to 4.16 2008 105 12.95 to 12.55 1,341 1.75 to 1.40 0.85 (37.30) to (37.52) 2007 128 20.66 to 20.08 2,618 1.75 to 1.40 1.30 6.01 to 5.64 2006 134 19.49 to 19.01 2,584 1.75 to 1.40 0.62 8.19 to 7.82 Mid Cap Index Series II 2010 620 19.05 to 14.19 11,969 1.90 to 1.15 0.82 24.37 to 23.44 2009 678 15.43 to 11.41 10,562 1.90 to 1.15 0.85 34.82 to 33.81 2008 713 11.53 to 8.46 8,363 1.90 to 1.15 0.70 (37.25) to (37.72) 2007 678 18.51 to 13.48 12,705 1.90 to 1.15 0.85 6.10 to 3.01 2006 574 18.59 to 12.70 10,240 1.85 to 1.15 0.44 7.93 to (0.70) Mid Cap Stock Series I 2010 592 17.49 to 12.38 10,302 1.75 to 0.80 0.00 22.10 to 20.95 2009 699 14.46 to 10.14 10,087 1.75 to 0.80 0.00 29.07 to 26.89 2008 913 11.20 to 11.16 10,197 1.75 to 1.40 0.00 (44.55) to (44.75) 2007 933 20.27 to 20.12 18,819 1.75 to 1.40 0.00 21.85 to 21.42 2006 1,178 16.70 to 16.20 19,508 1.75 to 1.40 0.00 11.97 to 11.58
89 JOHN HANCOCK LIFE INSURANCE COMPANY OF NEW YORK SEPARATE ACCOUNT A NOTES TO FINANCIAL STATEMENTS -- (CONTINUED) DECEMBER 31, 2010 7. UNIT VALUES-- (CONTINUED)
AT DECEMBER 31, FOR THE YEARS AND PERIODS ENDED DECEMBER 31, --------------------------------- ------------------------------------------------------------ UNITS UNIT FAIR VALUE ASSETS EXPENSE RATIO HIGHEST INVESTMENT TOTAL RETURN HIGHEST TO SUB-ACCOUNT YEAR (000S) HIGHEST TO LOWEST (000S) TO LOWEST* INCOME RATIO** LOWEST*** ----------------------------- ---- ------ ----------------- -------- --------------------- -------------- ----------------------- Mid Cap Stock Series II 2010 813 $21.10 to $13.64 $ 17,115 1.90% to 1.15% 0.00% 21.40% to 20.50% 2009 928 17.51 to 11.23 16,195 1.90 to 1.15 0.00 29.55 to 28.58 2008 988 13.62 to 8.67 13,396 1.90 to 1.15 0.00 (44.51) to (44.93) 2007 978 24.73 to 15.63 24,028 1.90 to 1.15 0.00 22.51 to 21.93 2006 1,016 20.92 to 12.79 20,875 1.85 to 1.15 0.00 11.73 to 2.16 Mid Value Series I 2010 237 19.40 to 17.01 4085 1.75 to 0.80 2.00 15.23 to 14.14 2009 277 16.84 to 14.9 4,163 1.75 to 0.80 0.44 33.87 to 29.15 Mid Value Series II 2010 748 17.28 to 16.85 12804 1.85 to 1.40 1.79 14.18 to 13.67 2009 859 15.14 to 14.82 12,905 1.85 to 1.40 0.34 43.99 to 43.34 2008 60 10.51 to 10.34 629 1.85 to 1.40 0.81 (35.79) to (36.08) 2007 65 16.37 to 16.18 1,055 1.85 to 1.40 1.60 (1.09) to (1.54) 2006 70 16.55 to 16.43 1,147 1.85 to 1.40 0.05 18.39 to 17.86 Money Market Series I 2010 642 12.97 to 12.41 10,278 1.75 to 0.80 0.00 (0.80) to (1.73) 2009 909 13.20 to 12.51 14,419 1.75 to 0.80 0.22 (0.45) to (1.54) 2008 1,532 18.43 to 13.41 24,158 1.75 to 1.40 1.75 0.34 to (0.01) 2007 1,469 18.37 to 13.41 23,080 1.75 to 1.40 4.47 3.10 to 2.74 2006 1,593 17.82 to 13.05 24,875 1.75 to 1.40 4.35 2.99 to 2.63 Money Market Series II 2010 4,659 12.49 to 12.21 58,457 1.90 to 0.35 0.00 (0.15) to (1.88) 2009 6,839 13.09 to 12.44 87,119 1.90 to 1.15 0.08 (1.07) to (1.81) 2008 9,306 13.23 to 12.67 120,124 1.90 to 1.15 1.43 0.40 to (0.36) 2007 4,050 13.17 to 12.71 52,315 1.90 to 1.15 4.17 3.15 to 1.95 2006 2,653 12.77 to 12.45 33,361 1.85 to 1.15 4.20 2.79 to 1.81 Money Market Trust B Series NAV 2010 354 12.57 to 12.36 4,417 1.85 to 1.40 0.05 (1.34) to (1.79) 2009 418 12.74 to 12.59 5,299 1.85 to 1.40 0.52 (0.92) to (1.37) 2008 670 12.86 to 12.76 8,577 1.85 to 1.40 2.03 0.69 to 0.24 2007 422 12.77 to 12.73 5,378 1.85 to 1.40 3.05 2.14 to 1.84 Mutual Shares Series I 2010 37 11.72 to 11.47 432 1.55 to 0.80 3.98 10.63 to 9.80 2009 9 10.59 to 10.44 98 1.55 to 0.80 0.00 22.32 to 21.71 Natural Resources Series II 2010 436 42.64 to 14.59 15,562 1.90 to 1.15 0.42 13.56 to 12.71 2009 475 37.83 to 12.85 15,108 1.90 to 1.15 0.68 57.08 to 55.90 2008 403 24.27 to 8.18 8,609 1.90 to 1.15 0.29 (52.27) to (52.63) 2007 464 51.23 to 17.13 21,904 1.90 to 1.15 0.81 41.55 to 38.82 2006 389 37.87 to 12.31 14,264 1.85 to 1.15 0.40 20.34 to (1.62) Optimized All Cap Series II 2010 424 17.89 to 17.29 7,484 1.85 to 1.40 0.93 17.56 to 17.03 2009 467 15.22 to 14.77 7,022 1.85 to 1.40 1.18 26.24 to 25.67 2008 514 12.06 to 11.75 6,135 1.85 to 1.40 0.63 (44.03) to (44.29) 2007 578 21.54 to 21.09 12,353 1.85 to 1.40 0.83 1.66 to (3.88) 2006 25 21.09 to 20.75 524 1.85 to 1.40 0.74 13.32 to 12.81 Optimized Value Series II 2010 165 13.74 to 13.34 2,249 1.85 to 1.40 1.70 11.54 to 11.04 2009 183 12.32 to 12.01 2,245 1.85 to 1.40 1.90 22.77 to 22.22 2008 207 10.04 to 9.83 2,062 1.85 to 1.40 2.13 (42.18) to (42.44) 2007 234 17.36 to 17.07 4,042 1.85 to 1.40 0.97 (7.14) to (10.66) 2006 10 18.61 to 18.38 191 1.85 to 1.40 1.02 19.37 to 18.84
90 JOHN HANCOCK LIFE INSURANCE COMPANY OF NEW YORK SEPARATE ACCOUNT A NOTES TO FINANCIAL STATEMENTS -- (CONTINUED) DECEMBER 31, 2010 7. UNIT VALUES-- (CONTINUED)
AT DECEMBER 31, FOR THE YEARS AND PERIODS ENDED DECEMBER 31, --------------------------------- ------------------------------------------------------------ UNITS UNIT FAIR VALUE ASSETS EXPENSE RATIO HIGHEST INVESTMENT TOTAL RETURN HIGHEST TO SUB-ACCOUNT YEAR (000S) HIGHEST TO LOWEST (000S) TO LOWEST* INCOME RATIO** LOWEST*** ----------------------------- ---- ------ ----------------- -------- --------------------- -------------- ----------------------- Pacific Rim Series I 2010 0 $13.45 to $11.70 $ 0 1.75% to 1.40% 0.43% 1.64% to 1.52% 2009 123 13.25 to 11.52 1,437 1.75 to 1.40 1.07 30.48 to 30.03 2008 136 10.19 to 8.83 1,215 1.75 to 1.40 1.55 (40.85) to (41.06) 2007 145 17.28 to 14.92 2,217 1.75 to 1.40 1.73 7.62 to 7.24 2006 221 16.12 to 13.52 3,135 1.75 to 1.40 0.97 9.51 to 9.12 Pacific Rim Series II 2010 0 17.27 to 10.38 0 1.90 to 1.15 0.42 1.74 to 1.49 2009 195 17.02 to 10.2 3,201 1.90 to 1.15 0.90 30.44 to 29.46 2008 177 13.15 to 7.82 2,276 1.90 to 1.15 1.41 (40.77) to (41.22) 2007 196 22.37 to 13.20 4,315 1.90 to 1.15 1.48 7.59 to 5.03 2006 187 22.84 to 12.24 3,969 1.85 to 1.15 0.76 9.38 to (2.18) PIMCO All Asset 2010 200 17.46 to 16.94 3,453 1.85 to 1.40 7.01 11.14 to 10.64 2009 182 15.71 to 15.31 2,831 1.85 to 1.40 6.86 19.63 to 19.09 2008 181 13.13 to 12.86 2,356 1.85 to 1.40 5.27 (17.34) to (17.71) 2007 225 15.88 to 15.62 3,545 1.85 to 1.40 6.40 6.49 to 6.01 2006 323 14.91 to 14.74 4,792 1.85 to 1.40 4.76 2.91 to 2.45 Real Estate Securities Series I 2010 101 31.09 to 29.44 3,087 1.75 to 1.40 1.83 27.4 to 26.96 2009 119 24.40 to 23.19 2,838 1.75 to 1.40 3.49 28.36 to 27.91 2008 135 19.01 to 18.13 2,525 1.75 to 1.40 2.96 (40.27) to (40.48) 2007 202 31.82 to 30.46 6,284 1.75 to 1.40 2.57 (16.79) to (17.08) 2006 296 38.25 to 36.74 11,138 1.75 to 1.40 1.81 36.19 to 35.72 Real Estate Securities Series II 2010 432 24.37 to 12.78 10,202 1.90 to 1.15 1.62 27.40 to 26.45 2009 474 19.27 to 10.03 8,905 1.90 to 1.15 3.26 28.55 to 27.59 2008 501 15.10 to 7.80 7,440 1.90 to 1.15 2.85 (40.27) to (40.72) 2007 620 25.48 to 13.06 15,632 1.90 to 1.15 1.92 (16.74) to (19.48) 2006 503 33.50 to 15.65 15,580 1.85 to 1.15 1.58 35.91 to 25.03 Real Return Bond Series II 2010 572 16.52 to 15.96 9,312 1.85 to 1.40 10.82 7.16 to 6.68 2009 654 15.42 to 14.96 9,959 1.85 to 1.40 8.51 17.57 to 17.04 2008 734 13.11 to 12.78 9,529 1.85 to 1.40 0.55 (12.77) to (13.16) 2007 707 15.03 to 14.72 10,531 1.85 to 1.40 6.47 9.54 to 9.05 2006 797 13.72 to 13.50 10,855 1.85 to 1.40 2.49 (1.20) to (1.64) Science & Technology Series I 2010 650 16.60 to 5.76 8,333 1.75 to 1.40 0.00 22.88 to 22.45 2009 799 13.51 to 4.7 7,810 1.75 to 1.40 0.00 62.20 to 61.63 2008 926 8.33 to 2.91 5,469 1.75 to 1.40 0.00 (45.22) to (45.41) 2007 1,171 15.21 to 5.33 12,658 1.75 to 1.40 0.00 17.89 to 17.48 2006 1,477 12.90 to 4.53 13,945 1.75 to 1.40 0.00 4.06 to 3.70 Science & Technology Series II 2010 385 17.52 to 16.33 6,815 1.90 to 1.15 0.00 22.96 to 22.05 2009 402 14.35 to 13.28 5,799 1.90 to 1.15 0.00 62.26 to 61.05 2008 329 8.91 to 8.18 2,941 1.90 to 1.15 0.00 (45.17) to (45.59) 2007 408 16.38 to 14.93 6,675 1.90 to 1.15 0.00 18.84 to 17.90 2006 413 14.32 to 11.23 5,689 1.85 to 1.15 0.00 3.91 to 0.92 Short Term Government Income Series I 2010 814 12.61 to 12.58 10,263 1.75 to 1.40 1.40 0.91 to 0.67 Short Term Government Income Series II 2010 919 12.62 to 12.56 11,557 1.90 to 1.15 1.24 0.95 to 0.44 Small Cap Growth Series II 2010 148 18.20 to 13.29 2,592 1.90 to 1.15 0.00 20.32 to 19.42 2009 149 15.24 to 11.04 2,158 1.90 to 1.15 0.00 32.89 to 31.90 2008 184 11.55 to 8.31 2,057 1.90 to 1.15 0.00 (40.49) to (40.94) 2007 113 19.56 to 13.96 2,090 1.90 to 1.15 0.00 12.47 to 10.64 2006 72 17.67 to 12.39 1,273 1.85 to 1.15 0.00 11.64 to (1.04) Small Cap Index Series I 2010 42 17.43 to 17.33 732 1.75 to 1.40 0.53 24.61 to 24.17 2009 42 13.99 to 13.96 592 1.75 to 1.40 0.79 24.89 to 24.45 2008 52 11.21 to 11.20 588 1.75 to 1.40 1.17 (34.64) to (34.87) 2007 74 17.22 to 17.13 1,274 1.75 to 1.40 1.62 (3.53) to (3.87) 2006 85 17.91 to 17.47 1,515 1.75 to 1.40 0.52 15.98 to 15.58 Small Cap Index Series II 2010 477 18.12 to 17.43 8,568 1.85 to 1.40 0.29 24.34 to 23.79 2009 534 14.57 to 14.08 7,710 1.85 to 1.40 0.61 24.59 to 24.03 2008 584 11.70 to 11.35 6,780 1.85 to 1.40 1.04 (34.76) to (35.05) 2007 660 17.93 to 17.48 11,758 1.85 to 1.40 0.94 (4.15) to (8.20) 2006 342 19.03 to 18.24 6,336 1.85 to 1.40 0.33 15.72 to 15.20
91 JOHN HANCOCK LIFE INSURANCE COMPANY OF NEW YORK SEPARATE ACCOUNT A NOTES TO FINANCIAL STATEMENTS -- (CONTINUED) DECEMBER 31, 2010 7. UNIT VALUES-- (CONTINUED)
AT DECEMBER 31, FOR THE YEARS AND PERIODS ENDED DECEMBER 31, --------------------------------- ------------------------------------------------------------ UNITS UNIT FAIR VALUE ASSETS EXPENSE RATIO HIGHEST INVESTMENT TOTAL RETURN HIGHEST TO SUB-ACCOUNT YEAR (000S) HIGHEST TO LOWEST (000S) TO LOWEST* INCOME RATIO** LOWEST*** ----------------------------- ---- ------ ----------------- -------- --------------------- -------------- ----------------------- Small Cap Opportunities Series I 2010 86 $21.75 to $21.18 $ 1,864 1.75% to 1.40% 0.00% 27.87% to 27.42% 2009 83 17.01 to 16.62 1,404 1.75 to 1.40 0.00 32.00 to 31.54 2008 100 12.89 to 12.63 1,276 1.75 to 1.40 2.29 (42.94) to (43.14) 2007 128 22.58 to 22.22 2,872 1.75 to 1.40 1.86 (8.95) to (9.27) 2006 161 24.80 to 24.49 3,977 1.75 to 1.40 0.70 8.92 to 8.54 Small Cap Opportunities Series II 2010 258 20.69 to 10.77 5,378 1.90 to 1.15 0.00 27.86 to 26.91 2009 279 16.30 to 8.42 4,528 1.90 to 1.15 0.00 32.07 to 31.08 2008 303 12.43 to 6.38 3,770 1.90 to 1.15 2.14 (42.92) to (43.35) 2007 328 21.95 to 11.17 7,217 1.90 to 1.15 1.54 (8.86) to (7.54) 2006 360 24.71 to 12.23 8,807 1.85 to 1.15 0.53 8.66 to (2.29) Small Cap Value Series II 2010 213 17.76 to 15.00 3,697 1.90 to 1.15 0.15 24.49 to 23.56 2009 205 14.37 to 12.05 2,847 1.90 to 1.15 0.43 26.92 to 25.97 2008 244 11.41 to 9.49 2,746 1.90 to 1.15 1.00 (27.11) to (27.66) 2007 211 15.77 to 13.02 3,258 1.90 to 1.15 0.59 (4.25) to (6.39) 2006 132 16.74 to 13.57 2,180 1.85 to 1.15 0.00 17.38 to 8.40 Small Company Value Series I 2010 179 25.94 to 25.01 4,530 1.75 to 1.40 1.35 19.67 to 19.26 2009 215 21.75 to 20.90 4,555 1.75 to 1.40 0.38 25.91 to 25.47 2008 274 17.34 to 16.60 4,625 1.75 to 1.40 0.68 (28.07) to (28.32) 2007 372 24.19 to 23.08 8,736 1.75 to 1.40 0.15 (2.58) to (2.92) 2006 468 24.91 to 23.15 11,306 1.75 to 1.40 0.07 13.82 to 13.42 Small Company Value Series II 2010 644 19.93 to 13.26 12,957 1.90 to 1.15 1.17 19.77 to 18.88 2009 721 16.76 to 11.07 12,174 1.90 to 1.15 0.23 26.02 to 25.08 2008 787 13.40 to 8.78 10,642 1.90 to 1.15 0.47 (28.05) to (28.59) 2007 978 18.77 to 12.21 18,683 1.90 to 1.15 0.00 (2.54) to (2.78) 2006 1,134 22.11 to 12.50 22,490 1.85 to 1.15 0.00 13.61 to (0.16) Smaller Company Growth Series I 2010 164 16.19 to 16.12 2,651 1.75 to 1.40 0.00 23.31 to 22.88 2009 176 13.13 to 13.12 2,310 1.75 to 1.40 0.00 5.03 to 4.98 Smaller Company Growth Series II 2010 199 16.15 to 16.07 3,214 1.85 to 1.40 0.00 23.12 to 22.56 2009 202 13.12 to 13.11 2,643 1.85 to 1.40 0.00 4.96 to 4.89 Strategic Bond Series I 2010 0 24.01 to 19.36 0 1.75 to 1.40 9.17 10.92 to 10.59 2009 388 21.65 to 17.5 7,919 1.75 to 1.40 7.73 21.70 to 21.27 2008 484 17.79 to 14.43 8,049 1.75 to 1.40 6.62 (17.25) to (17.54) 2007 628 21.49 to 17.50 12,570 1.75 to 1.40 9.12 (1.55) to (1.90) 2006 758 21.83 to 17.84 15,541 1.75 to 1.40 6.84 5.57 to 5.20 Strategic Bond Series II 2010 0 16.98 to 14.66 0 1.90 to 1.15 9.42 11.01 to 10.31 2009 671 15.40 to 13.21 10,564 1.90 to 1.15 8.11 21.72 to 20.81 2008 654 12.74 to 10.85 8,497 1.90 to 1.15 6.61 (17.25) to (17.87) 2007 852 15.52 to 13.12 13,457 1.90 to 1.15 8.79 (1.41) to (2.96) 2006 892 16.27 to 13.27 14,373 1.85 to 1.15 6.66 6.42 to 4.91 Strategic Income Opportunities Series I 2010 400 18.48 to 18.06 7,359 1.75 to 1.40 7.31 1.61 to 1.56 Strategic Income Opportunities Series II 2010 687 17.86 to 12.70 12,430 1.90 to 1.15 23.27 1.57 to 1.45 2009 95 16.21 to 15.81 1,517 1.85 to 1.40 6.15 24.68 to 24.12 2008 85 13.00 to 12.73 1,094 1.85 to 1.40 9.19 (10.04) to (10.44) 2007 136 14.45 to 14.22 1,943 1.85 to 1.40 1.77 4.06 to 3.59 2006 163 13.89 to 13.73 2,244 1.85 to 1.40 3.01 2.43 to 1.97 Total Bond Market Trust A Series II 2010 103 12.63 to 12.42 1,348 2.10 to 1.15 3.04 -0.61 to 1.01 2009 24 13.70 to 12.35 325 1.85 to 1.20 2.06 2.30 to (1.19) 2008 30 13.49 to 13.39 400 1.85 to 1.40 1.78 4.05 to 3.58 2007 3 12.97 to 12.93 42 1.85 to 1.40 0.24 3.74 to 3.43 Total Bond Market Trust A Series NAV 2010 49 13.64 to 13.47 661 1.55 to 0.80 4.49 4.99 to 4.20 2009 13 12.99 to 12.93 172 1.55 to 0.80 6.81 3.94 to 3.43 Total Return Series I 2010 868 20.99 to 14.81 18,679 1.75 to 0.80 2.29 6.79 to 5.78 2009 1,056 19.84 to 13.86 21,410 1.75 to 0.80 3.99 11.62 to 10.41 2008 1,166 18.54 to 17.78 21,108 1.75 to 1.40 4.56 1.33 to 0.98 2007 1,411 18.29 to 17.60 25,258 1.75 to 1.40 7.46 6.97 to 6.60 2006 1,760 17.10 to 16.52 29,476 1.75 to 1.40 3.46 2.16 to 1.81
92 JOHN HANCOCK LIFE INSURANCE COMPANY OF NEW YORK SEPARATE ACCOUNT A NOTES TO FINANCIAL STATEMENTS -- (CONTINUED) DECEMBER 31, 2010 7. UNIT VALUES-- (CONTINUED)
AT DECEMBER 31, FOR THE YEARS AND PERIODS ENDED DECEMBER 31, --------------------------------- ------------------------------------------------------------ UNITS UNIT FAIR VALUE ASSETS EXPENSE RATIO HIGHEST INVESTMENT TOTAL RETURN HIGHEST TO SUB-ACCOUNT YEAR (000S) HIGHEST TO LOWEST (000S) TO LOWEST* INCOME RATIO** LOWEST*** ----------------------------- ---- ------ ----------------- -------- --------------------- -------------- ----------------------- Total Return Series II 2010 1,929 $17.94 to $16.70 $ 35,302 1.90% to 1.15% 2.09% 6.18% to 5.38% 2009 2,189 17.03 to 15.73 37,904 1.90 to 1.15 3.93 12.06 to 11.23 2008 1,984 15.31 to 14.04 30,864 1.90 to 1.15 4.70 1.43 to 0.67 2007 1,991 15.21 to 13.84 30,752 1.90 to 1.15 7.20 7.03 to 4.90 2006 2,196 14.65 to 12.90 31,877 1.85 to 1.15 3.26 3.44 to 1.53 Total Stock Market Index Series I 2010 42 11.97 to 11.89 496 1.75 to 1.40 1.23 15.57 to 15.17 2009 55 10.36 to 10.32 564 1.75 to 1.40 1.40 27.08 to 26.63 2008 76 8.15 to 8.15 620 1.75 to 1.40 1.44 (38.08) to (38.29) 2007 112 13.21 to 13.17 1,483 1.75 to 1.40 2.10 3.71 to 3.34 2006 143 12.78 to 12.49 1,821 1.75 to 1.40 1.00 13.70 to 13.30 Total Stock Market Index Series II 2010 528 15.95 to 15.35 8,253 1.85 to 1.40 1.08 15.26 to 14.75 2009 603 13.84 to 13.37 8,170 1.85 to 1.40 1.36 26.74 to 26.17 2008 715 10.92 to 10.60 7,664 1.85 to 1.40 1.31 (38.16) to (38.44) 2007 809 17.66 to 17.22 14,027 1.85 to 1.40 1.22 3.05 to (2.45) 2006 424 17.06 to 16.20 7,114 1.85 to 1.40 0.80 13.50 to 12.99 Ultra Short Term Bond Series II 2010 81 12.47 to 12.38 1,010 2.10 to 0.35 1.48 -0.23 to -0.95 U.S. Government Securities Series I 2010 0 25.39 to 16.22 0 1.75 to 1.40 0.98 1.89 to 1.77 2009 586 24.92 to 15.94 12,511 1.75 to 1.40 2.90 6.88 to 6.51 2008 750 23.32 to 14.97 14,851 1.75 to 1.40 3.48 (2.78) to (3.12) 2007 903 23.98 to 15.45 18,094 1.75 to 1.40 8.06 1.71 to 1.35 2006 1,010 23.58 to 15.24 19,539 1.75 to 1.40 4.92 2.94 to 2.58 U.S. Government Securities Series II 2010 0 14.02 to 14.07 0 1.90 to 1.15 0.83 1.90 to 1.65 2009 803 13.84 to 13.76 11,325 1.90 to 1.15 2.85 6.98 to 6.19 2008 883 13.04 to 12.86 11,709 1.90 to 1.15 3.70 (2.77) to (3.50) 2007 803 13.51 to 13.23 10,996 1.90 to 1.15 7.70 1.75 to 0.05 2006 809 13.69 to 12.97 10,952 1.85 to 1.15 4.65 4.01 to 2.29 U.S. High Yield Series II 2010 0 17.16 to 16.74 0 1.85 to 1.40 32.16 8.49 to 8.08 2009 18 15.82 to 15.49 277 1.85 to 1.40 8.23 44.34 to 43.7 2008 15 10.96 to 10.78 166 1.85 to 1.40 5.58 (22.15) to (22.50) 2007 15 14.08 to 13.91 205 1.85 to 1.40 8.06 1.25 to 0.80 2006 21 13.90 to 13.80 286 1.85 to 1.40 2.75 7.94 to 7.46 Utilities Series I 2010 107 19.81 to 19.15 2,093 1.75 to 1.40 2.23 12.34 to 11.95 2009 153 17.63 to 17.11 2,649 1.75 to 1.40 4.94 31.91 to 31.45 2008 151 13.37 to 13.01 1,985 1.75 to 1.40 2.73 (39.50) to (39.71) 2007 231 22.10 to 21.59 5,041 1.75 to 1.40 1.93 25.62 to 25.18 2006 307 17.59 to 17.24 5,351 1.75 to 1.40 2.18 29.19 to 28.74 Utilities Series II 2010 178 30.39 to 29.24 5,251 1.85 to 1.40 2.17 12.04 to 11.54 2009 206 27.13 to 26.21 5,422 1.85 to 1.40 4.70 31.61 to 31.02 2008 217 20.61 to 20.00 4,346 1.85 to 1.40 2.45 (39.59) to (39.86) 2007 251 34.12 to 33.26 8,340 1.85 to 1.40 1.61 25.33 to 24.76 2006 284 27.22 to 24.79 7,562 1.85 to 1.40 2.05 28.96 to 28.38 Value Series I 2010 181 25.05 to 13.31 4,974 1.75 to 0.80 0.98 21.25 to 20.10 2009 208 20.86 to 10.98 4,741 1.75 to 0.80 1.31 38.73 to 29.28 2008 268 17.09 to 15.04 4,384 1.75 to 1.40 0.98 (41.70) to (41.90) 2007 367 29.30 to 25.88 10,314 1.75 to 1.40 1.32 6.70 to 6.33 2006 472 27.46 to 24.34 12,458 1.75 to 1.40 0.38 19.37 to 18.95
93 JOHN HANCOCK LIFE INSURANCE COMPANY OF NEW YORK SEPARATE ACCOUNT A NOTES TO FINANCIAL STATEMENTS -- (CONTINUED) DECEMBER 31, 2010 7. UNIT VALUES-- (CONTINUED)
AT DECEMBER 31, FOR THE YEARS AND PERIODS ENDED DECEMBER 31, --------------------------------- ------------------------------------------------------------ UNITS UNIT FAIR VALUE ASSETS EXPENSE RATIO HIGHEST INVESTMENT TOTAL RETURN HIGHEST TO SUB-ACCOUNT YEAR (000S) HIGHEST TO LOWEST (000S) TO LOWEST* INCOME RATIO** LOWEST*** ----------------------------- ---- ------ ----------------- -------- --------------------- -------------- ----------------------- Value Series II 2010 202 $14.27 to $19.30 $ 3,772 1.90% to 1.15% 0.79% 20.57% to 19.67% 2009 214 16.13 to 11.84 3,344 1.90 to 1.15 1.14 39.18 to 38.14 2008 231 11.68 to 8.50 2,622 1.90 to 1.15 0.77 (41.64) to (42.07) 2007 275 20.16 to 14.57 5,423 1.90 to 1.15 1.03 6.76 to 6.40 2006 250 19.49 to 13.62 4,786 1.85 to 1.15 0.19 19.12 to 8.79
* These amounts represent the annualized contract expenses of the variable account, consisting primarily of mortality and expense charges, for each period indicated. The ratios include only those expenses that result in a direct reduction to unit values. Charges made directly to policyholder accounts through the redemption of units and expenses of the underlying Portfolio are excluded. ** These ratios, which are not annualized, represent the distributions from net investment income received by the sub-account from the underlying Portfolio, net of management fees assessed by the portfolio manager, divided by the average net assets. These ratios exclude those expenses, such as mortality and expense charges, that are assessed against policyholder accounts either through the reductions in the unit values or the redemptions of units. The recognition of investment income by the sub-account is affected by the timing of the declaration of dividends by the underlying Portfolio in which the sub-accounts invest. *** These amounts represent the total return for the periods indicated, including changes in the value of the underlying Portfolio, and expenses assessed through the reduction of unit values. These ratios do not include any expenses assessed through the redemption of units. Investment options indicated in footnote 1 with a date notation, if any, denote the effective date of that investment option in the variable account. The total return is calculated for the period indicated or from the effective date through the end of the reporting period. For closed sub-accounts, the total return is calculated from the beginning of the reporting period to the date the sub-account closed. As the total return is presented as a range of minimum to maximum values, based on the product grouping representing the minimum and maximum expense ratio amounts, some individual contract total returns are not within the ranges presented. 8. DIVERSIFICATION REQUIREMENTS Under the provisions of Section 817(h) of the Internal Revenue Code, a variable annuity contract, other than a contract issued in connection with certain types of employee benefits plans, will not be treated as an annuity contract for federal tax purposes for any period for which the investments of the segregated asset account on which the contract is based are not adequately diversified. The Code provides that the "adequately diversified" requirement may be met if the underlying investments satisfy either a statutory safe harbor test or diversification requirements set forth in regulations issued by the Secretary of Treasury. The Company believes that the Account satisfies the current requirements of the regulations, and it intends that the Account will continue to meet such requirements. 94 PART C OTHER INFORMATION Guide to Name Changes and Successions: NAME CHANGES
DATE OF CHANGE OLD NAME NEW NAME ------------------ ----------------------------------------------- ---------------------------------------------------- October 1, 1997 FNAL Variable Account The Manufacturers Life Insurance Company of New York Separate Account A October 1, 1997 First North American Life Assurance Company The Manufacturers Life Insurance Company of New York November 1, 1997 NAWL Holding Co., Inc. Manulife-Wood Logan Holding Co., Inc. September 24, 1999 Wood Logan Associates, Inc. Manulife Wood Logan, Inc January 1, 2005 The Manufacturers Life Insurance Company of New John Hancock Life Insurance Company of New York York Separate Account A Separate Account A January 1, 2005 The Manufacturers Life Insurance Company of New John Hancock Life Insurance Company of New York York Separate Account A. January 1, 2005 Manulife Financial Securities LLC John Hancock Distributors LLC January 1, 2005 Manufacturers Securities Services LLC John Hancock Investment Management Services LLC
On September 30, 1997, Manufacturers Securities Services, LLC ("MSSLLC") succeeded to the business of NASL Financial Services, Inc. The following changes became effective January 1, 2002: (a) The Manufacturers Life Insurance Company of North America ("Manulife North America") merged into The Manufacturers Life Insurance Company (U.S.A.) with the latter becoming the owner of all of Manulife North America's assets; (b) Manulife Financial Securities LLC became the successor broker-dealer to Manufacturers Securities Services, LLC. * * * * * Item 24. Financial Statements and Exhibits (a) Financial Statements (1) Financial Statements of the Registrant, John Hancock Life Insurance Company of New York Separate Account A. [FILED HEREWITH] (2) Financial Statements of the Depositor, John Hancock Life Insurance Company of New York. [FILED HEREWITH] (b) Exhibits (1) (a) Resolution of the Board of Directors of First North American Life Assurance Company establishing the FNAL Variable Account - incorporated by reference to Exhibit (b)(1)(a) to Form N-4, File No. 33-46217, filed on February 25, 1998. (b) Resolution of the Board of Directors of First North American Life Assurance Company establishing the Fixed Separate Account - incorporated by reference to Exhibit (b)(1)(b) to Form N-4, File No. 33-46217, filed on February 25, 1998. (c) Resolution of the Board of Directors of First North American Life Assurance Company establishing The Manufacturers Life Insurance Company of New York Separate Account D and The Manufacturers Life Insurance Company of New York Separate Account E - incorporated by reference to Exhibit (b)(1)(c) to Form N-4, File No. 33-46217, filed on February 25, 1998. (2) Agreements for custody of securities and similar investments - NOT APPLICABLE. (3) (a) Underwriting and Distribution Agreement dated January 1, 2002, incorporated by reference to Exhibit (3)(a) to Form N-4, File No. 033-79112, filed on April 30, 2009. (b) General Agent and Broker-Dealer Selling Agreement, incorporated by reference to Exhibit (3)(b) to Form N-4, File No. 033-79112, filed on April 30, 2009. (c) Amended and Restated Underwriting and Distribution Agreement dated December 1, 2009, incorporated by reference to Exhibit 24(b)(3)(c) to Post-Effective Amendment No. 4 to Registration Statement, File No. 333-146590, filed on February 1, 2010. (4) (a) (i) Form of Specimen Flexible Purchase Payment Individual Deferred Variable Annuity Contract. [TO BE FILED BY AMENDMENT] (ii) [Form of Specimen Income Plus For Life Rider]. [TO BE FILED BY AMENDMENT] (iii) [Form of Specimen Income Plus For Life Rider]. [TO BE FILED BY AMENDMENT] (b) (i) [Form of Endorsement]. [TO BE FILED BY AMENDMENT] (ii) [Form of Individual Retirement Annuity Endorsement]. [TO BE FILED BY AMENDMENT] (iii)[Form of Roth Individual Retirement Annuity Endorsement]. [TO BE FILED BY AMENDMENT] (iv) [Form of SIMPLE Individual Retirement Annuity Endorsement]. [TO BE FILED BY AMENDMENT] (5) (a) (i) Form of Specimen Application for Flexible Purchase Payment Individual Deferred Combination Variable Annuity Contract. [TO BE FILED BY AMENDMENT] (6) (a) (i) Declaration of Intention and Charter of First North American Life Assurance Company - incorporated by reference to Exhibit 24(b)(6)(a)(i) to Post-Effective Amendment No. 7 to Registrant's Registration Statement, File No. 33-46217, filed on February 25, 1998. (ii) Certificate of Amendment of the Declaration of Intention and Charter of First North American Life Assurance Company - incorporated by reference to Exhibit 24(b)(6)(a)(ii) to Post-Effective Amendment No. 7 to Registrant's Registration Statement, File No. 33-46217, filed on February 25, 1998. (iii) Certificate of Amendment of the Declaration of Intention and Charter of The Manufacturers Life Insurance Company of New York - incorporated by reference to Exhibit 24(b)(6)(a)(iii) to Post-Effective Amendment No. 7 to Registrant's Registration Statement, File No. 33-46217, filed on February 25, 1998. (iv) Certificate of Amendment of the Declaration of Intention and Charter of John Hancock Life Insurance Company of New York dated as of January 1, 2005 -incorporated by reference to Exhibit 24(b)(6)(a)(iv) to Post-Effective Amendment No. 1 to Form N-4 Registration Statement, File No. 333-138846, filed on May 1, 2007. (v) Certificate of Amendment of the Declaration of Intention and Charter of John Hancock Life Insurance Company of New York dated as of August 10, 2006 - incorporated by reference to Exhibit 24(b)(6)(a)(v) to Post-Effective Amendment No. 1 to Registration Statement, File No. 333-138846, filed on May 1, 2007. (vi) Certificate of Amendment of the Declaration of Intention and Charter of John Hancock Life Insurance Company of New York dated as of December 17, 2009 - incorporated by reference to Exhibit 24(b)(6)(a)(vi) to Post Effective Amendment No. 41, to Registration Statement, File No. 033-79112, filed on May 3, 2010. (b) (i) By-Laws of John Hancock Life Insurance Company of New York, as amended and restated as of July 31, 2006, incorporated by reference to Exhibit 24(b)(6)(b)(i) to Post-Effective Amendment No. 1, to Registration Statement, File No. 333-138846, filed on May 1, 2007. (ii) John Hancock Life Insurance Company of New York, Amended and Restated By-Laws, as adopted on November 19, 2009 - incorporated by reference to Exhibit 24(b)(6)(b)(ii) to Post-Effective Amendment 41 to Registration Statement, File No. 033-79112, filed on May 3, 2010. (iii) John Hancock Life Insurance Company of New York, Amended and Restated By-Laws, as adopted on December 14, 2010 - incorporated by reference to Exhibit 24(b)(6)(b)(iii) to Pre-Effective Amendment No. 1 to Registration Statement, File No. 333-169797, filed on February 22, 2011. (7) (a) Contracts of Reinsurance - NOT APPLICABLE. (8) Other material contracts not made in the ordinary course of business which are to be performed in whole or in part on or after the date the registration statement is filed: (a) Administrative Services Agreement between The Manufacturers Life Insurance Company of New York and The Manufacturers Life Insurance Company (U.S.A.), effective January 1, 2001, incorporated by reference to Exhibit 24(b)(8)(a) to Post-Effective Amendment No. 5 to Registration Statement, File No. 333-61283, filed on April 30, 2002. (b) Investment Services Agreement between The Manufacturers Life Insurance Company and The Manufacturers Life Insurance Company of New York - incorporated by reference to Exhibit 1(A)(8)(c) to pre-effective amendment no. 1 to The Manufacturers Life Insurance Company of New York Separate Account B Registration Statement on Form S-6, filed March 16, 1998. (c)(i) Participation Agreement among John Hancock Life Insurance Company (U.S.A.), John Hancock Life Insurance Company of New York, John Hancock Life Insurance Company, John Hancock Variable Life Insurance Company and John Hancock Trust dated April 20, 2005. Incorporated by reference to pre-effective amendment no. 1 file number 333-126668 filed with the Commission on October 12, 2005. (ii) Shareholder Information Agreement between John Hancock Life Insurance Company (U.S.A.), John Hancock Life Insurance Company of New York, John Hancock Life Insurance Company, John Hancock Variable Life Insurance, and John Hancock Trust portfolios (except American Funds Insurance Series) dated April 16, 2007. Incorporated by reference to post-effective amendment number 9 file number 333-85284 filed with the Commission in April, 2007. (9) Opinion of Counsel and consent to its use as to the legality of the securities being registered, incorporated by reference to Exhibit 24(b)(9) to this Registration Statement, File No. 333-172475, filed on February 28, 2011. (10) Written consent of Ernst & Young LLP, independent registered public accounting firm. [FILED HEREWITH] (11) All financial statements omitted from Item 23, Financial Statements - NOT APPLICABLE. (12) Agreements in consideration for providing initial capital between or among Registrant, Depositor, Underwriter or initial contract owners - NOT APPLICABLE. (13) Schedules of computations - Incorporated by reference to Exhibit (b)(13) to Post Effective Amendment No. 2 to Form N-4, File Number 33-76162, filed on March 1, 1996. (14) Powers of Attorney for Thomas Borshoff, James R. Boyle, Steven Finch, Ruth Ann Fleming, James D. Gallagher, Scott S. Hartz, Rex Schlaybaugh, Jr., and John G. Vrysen, incorporated by reference to Exhibit 24(b)(14) to this Registration Statement, File No. 333-172475, filed on February 28, 2011. Item 25. Directors and Officers of the Depositor. OFFICERS AND DIRECTORS OF JOHN HANCOCK LIFE INSURANCE COMPANY (U.S.A.) EFFECTIVE AS OF JANUARY 13, 2011
NAME AND PRINCIPAL BUSINESS ADDRESS POSITION WITH DEPOSITOR ----------------------------------- ----------------------------------------------------------------------------------- James R. Boyle*** Chairman and President Jonathan Chiel* Executive Vice President and General Counsel Thomas Borshoff* Director Paul M. Connolly* Director Steven Finch*** Director and Executive Vice President Ruth Ann Fleming* Director James D. Gallagher* Director and Executive Vice President Scott S. Hartz*** Director, Executive Vice President, and Chief Investment Officer - U.S. Investments Rex Schlaybaugh, Jr.* Director John G. Vrysen* Director and Senior Vice President Marc Costantini* Executive Vice President Peter Levitt** Executive Vice President and Treasurer Katherine MacMillan** Executive Vice President Stephen R. McArthur** Executive Vice President Hugh McHaffie* Executive Vice President Bob Diefenbacher+ Senior Vice President Peter Gordon*** Senior Vice President Allan Hackney* Senior Vice President and Chief Information Officer Gregory Mack* Senior Vice President Ronald J. McHugh* Senior Vice President Lynne Patterson* Senior Vice President and Chief Financial Officer Craig R. Raymond* Senior Vice President, Chief Actuary, and Chief Risk Officer Diana L. Scott* Senior Vice President Alan R. Seghezzi*** Senior Vice President Bruce R. Speca* Senior Vice President Tony Teta*** Senior Vice President Brooks Tingle*** Senior Vice President Emanuel Alves* Vice President, Counsel, and Corporate Secretary John C. S. Anderson*** Vice President Roy V. Anderson* Vice President Arnold Bergman* Vice President Stephen J. Blewitt*** Vice President Robert Boyda* Vice President John E. Brabazon*** Vice President and Chief Financial Office, Investments George H. Braun*** Vice President Thomas Bruns* Vice President Tyler Carr* Vice President Robert T. Cassato* Vice President Kevin J. Cloherty* Vice President Brian Collins+ Vice President Art Creel* Vice President George Cushnie** Vice President John J. Danello* Vice President Willma Davis*** Vice President Anthony J. Della Piana*** Vice President Brent Dennis*** Vice President Robert Donahue++ Vice President John Egbert* Vice President Edward Eng** Vice President Carol Nicholson Fulp* Vice President Paul Gallagher+++ Vice President
OFFICERS AND DIRECTORS OF JOHN HANCOCK LIFE INSURANCE COMPANY (U.S.A.) EFFECTIVE AS OF JANUARY 13, 2011
NAME AND PRINCIPAL BUSINESS ADDRESS POSITION WITH DEPOSITOR ----------------------------------- ----------------------------------------------------------------------------------- Wayne A. Gates++ Vice President Ann Gencarella*** Vice President Richard Harris** Vice President and Appointed Actuary John Hatch* Vice President Kevin Hill*** Vice President E. Kendall Hines*** Vice President Eugene Xavier Hodge, Jr.*** Vice President James C. Hoodlet*** Vice President Roy Kapoor** Vice President Mitchell Karman*** Vice President, Chief Compliance Officer, and Counsel Frank Knox* Vice President, Chief Compliance Officer - Retail Funds/Separate Accounts Jonathan Kutrubes* Vice President Cynthia Lacasse*** Vice President Denise Lang** Vice President Robert Leach* Vice President David Longfritz* Vice President Nathaniel I. Margolis*** Vice President John Maynard+ Vice President Steven McCormick** Vice President Janis K. McDonough*** Vice President Scott A. McFetridge*** Vice President William McPadden*** Vice President Maureen Milet*** Vice President and Chief Compliance Officer - Investments Peter J. Mongeau+ Vice President Steven Moore** Vice President Curtis Morrison*** Vice President Tom Mullen* Vice President Scott Navin*** Vice President Nina Nicolosi* Vice President Frank O'Neill* Vice President Jacques Ouimet+ Vice President Gary M. Pelletier*** Vice President Steven Pinover* Vice President Krishna Ramdial** Vice President, Treasury S. Mark Ray*** Vice President Jill Rebman** Vice President Mark Rizza* Vice President Ian R. Roke* Vice President Andrew Ross** Vice President Thomas Samoluk* Vice President Jonnie Smith**** Vice President Yiji S. Starr* Vice President Gaurav Upadhya** Vice President Simonetta Vendittelli++ Vice President Peter de Vries** Vice President Karen Walsh* Vice President Linda A. Watters* Vice President Joseph P. Welch+ Vice President Jeffery Whitehead* Vice President and Controller Henry Wong*** Vice President Randy Zipse*** Vice President
* Principal business office is 601 Congress Street, Boston, MA 02210 ** Principal business office is 200 Bloor Street, Toronto, Canada M4W 1E5 *** Principal business office is 197 Clarendon Street, Boston, MA 02117 **** Principal business office is 164 Corporate Drive Portsmouth, NH 03801 + Principal business office is 200 Berkeley Street, Boston, MA 02116 ++ Principal business office is 380 Stuart Street, Boston, MA 02116 +++ Principal business office is 200 Clarendon Street, Boston, MA 02116 Item 26. Persons Controlled by or Under Common Control with Depositor or Registrant. Registrant is a separate account of John Hancock Life Insurance Company (U.S.A.) (the "Company"), operated as a unit investment trust. Registrant supports certain benefits payable under the Company's variable annuity contracts by investing assets allocated to various investment options in shares of John Hancock Trust (the "Trust"), which is a "series" type of mutual fund registered under the Investment Company Act of 1940 (the "Act") as an open-end management investment company. The purchasers of variable annuity and variable life insurance contracts, in connection with which the Trust is used, will have the opportunity to instruct the Company with respect to the voting of the shares of the Series Fund held by Registrant as to certain matters. Subject to the voting instructions, the Company directly controls Registrant. On the effective date of this Pre-Effective Amendment to the Registration Statement, the Company and its affiliates are controlled by Manulife Financial Corporation ("MFC"). A list of other persons controlled by MFC as of December 31, 2010 appears below: MANULIFE FINANCIAL CORPORATION PRINCIPAL SUBSIDIARIES - DECEMBER 31, 2010 __________________ | | |Manulife Financial| | Corporation | | (Canada) | |__________________| | |........................................................ | . ________|_________ _____._______ | | | | | The Manufacturers| | John Hancock| | Life Insurance | | Reassurance | | Company | | Company Ltd.| | (Canada) | | (Bermuda) | |__________________| |_____________| | | |_________________________________________________________________ | | ______________________________________________________________|______________________ | | | | . | | | | | | . | | | | | | . | | | | ___________ | ____________ | ______________ . | _______________ | ____________ | | | | | | | | | | . | | | | | | | | | NAL | | | Manulife | | | Manulife | . | | Manulife | |__| MLI | | | | Resources | | | Asset | | | Insurance | . | | Holdings | | Resources | | |___|Management | |__| Management | | | (Thailand) | . |__| (Bermuda) | | Inc. | | | | Limited | | | (North | | | Public |... | Limited | | (Alberta) | | | | (Canada) | | | America) | | | Company |94.7%|__| (Bermuda) | |____________| | | |___________| | | Limited | | | Limited | | |_______________| . | | | | (Canada) | | | (Thailand) | | . | | | |____________| | |______________| | ...................... | | | | | | . . | | | | |99.9999% | . . 58.72% | | __________ | ____________ | ______|_______ | _______________ _____.______ ____.________ | | | | | | | | | | | | | | | | | | | | Manulife | | | MFC Global | | | Manulife | | | Manufacturers | | Manulife | | Manulife | | |___| Bank of | | | Fund | | | Asset | |__| P&C Limited | | Life | ____| Holdings | | | | Canada | |__| Management | | | Management | | | (Barbados) | | Insurance | | | Berhad* | | | | (Canada) | | | (Europe) | | | (Thailand) | | |_______________| | Company | | | (Malaysia) | | | |__________| | | Limited(2) | | | Company | | | (Japan) | | |_____________| | | | | (England) | | | Limited | | |____________| | | | | |____________| | | (Thailand) | | | | | | | | | |______________| | | | | | | | | | | | | __________ | _____|______ | ______________ | _______________ _____|______ | _____________ | | | | | | | | | | | | | | | | | | | | | Manulife | | | Manulife | | | Manulife | | | Manufacturers | | MFC Global | | | Manulife | | |___| Canada | | | Asset | |____| (Vietnam) | |__| Life | | Investment | |____| Insurance | | | | Ltd. | |__| Management | | | Limited | | | Reinsurance | | Management | | | Berhad | | | | (Canada) | | | (Europe) | | | (Vietnam) | | | Limited | | (Japan) | | | (Malaysia) | | | |__________| | | Limited | | |______________| | | (Barbados) | | Limited(3)| | |_____________| | | | | (England) | | | | |_______________| | (Japan) | | | | | |___________ | | | | |____________| | ______________ | | | | | | | | | | | | | | | | |Manulife Asset| | | ___________ | ____________ | ______|_______ | _______________ |____| Management | | | | | | | | | | | | | | | (Malaysia) | | | | First | | | Berkshire | | | Manulife | | | Manulife | | Sdn Bhd | | | | North | | | Insurance | | | Asset | | | International | | (Malaysia) | | |___| American | |__| Services | | | Management | |__| Holdings | |______________| | | | Insurance | | | Inc. | | | (Vietnam) | | Limited | | | | Company | | | (Ontario) | | | Company | | (Bermuda) | | | | (Canada) | | |____________| | | Ltd. | |_______________| | | |___________| | | | | (Vietnam) | | | | | | | |______________| |_____________________ | | | | | | | | | ___________ | _____|______ | _____________ ______|________ ______|______ | | | | | | | | | | | | | | | | | FNA | | | JH | | | Manulife | | Manulife | | Manulife | | |___| Financial | | | Investments| |____| (Singapore) | |(International)| | Asset | | | | Inc. | | | (Delaware) | | | Pte. Ltd. | | Limited | | Management | | | | (Canada) | | | LLC | | | (Singapore) | | (Bermuda) | |International| | | |___________| | | (Delaware) | | |______________| |_______________| | Holdings | | | | | |____________| | | | Limited | | | | | | | | (Barbados) | | | | | | | 51% |_____________| | | | | | | | | | _____|_____ | ____________ | ______________ ______|________ _____|_______ | | | | | | | | | | | | | | | | | Manulife | | | Manulife | | | Manulife | | Manulife- | | Manulife | | | | Asset | | | Securities | | | Asset | | Sinochem | | Asset | | | | Management| |__| Investment | | | Management | | Life | | Management | | | | Limited | | | Services | |____| (Singapore) | | Insurance Co. | | (Hong Kong)| | | | (Ontario) | | | Inc. | | | Pte. | | Ltd. (China) | | Limited | | | |___________| | | (Canada) | | | Ltd. | |_______________| | (Hong Kong)| | | | |____________| | | (Singapore) | |_____________| | | | | |______________| | | | | | | | | ___________ | ____________ | ______________ _____|_______ | | | | | | | | | | | | | | | EIS | | | Manulife | | | The | | Manulife | | | | Services | |__| Securities | | | Manufacturers| | Asset | | |___| (Bermuda) | |Incorporated| |____| Life | | Management | | | Limited | | (Ontario) | | | Insurance Co.| |(Taiwan) Co.,| | | (Bermuda) | |____________| | | (Phils.), | | Ltd. | | |___________| | | Inc. | | (Taiwan) | | | | (Philippines)| |_____________| | | |______________| | | | | _______________ | | | | | | | PT Asuransi | | |____| Jiwa Manulife | | 95%| Indonesia (1)| | | (Indonesia) | | |_______________| | . | . | _______._______ | | | | | PT Manulife | | | Aset | | | Manajemen | | | Indonesia | | | (Indonesia) | | |_______________| | | | | | | _________________________________________________________________________________________| | | _______|______ | | | Manulife | | Holdings | | (Alberta) | | Limited | | (Alberta) | |______________| | | ______|_______ | | | John Hancock | | Holdings | | (Delaware) | | LLC | | (Delaware) | |______________| | | ______|_______ | | | The | | Manufacturers| | Investment | | Corporation | | (Michigan) | |______________| | |____________________________________________________________________________ ______|_______ ____|______ _______|_________ | | | | | | | John Hancock | | Manulife | | John Hancock | | Life | |Reinsurance| |Insurance Agency,| _____| Insurance |_______________________ | Limited | | Inc. | | | Company | | | (Bermuda) | | (Delaware) | | | (U.S.A.) | | |___________| |_________________| | | (Michigan) | | | | |______________| | | | | _____|_____ | | | | | _______________ ________|_______ | Manulife | | | | | | |Reinsurance| | | John Hancock | | John Hancock | | (Bermuda) | | | Life & Health | ______|Subsidiaries LLC| | Limited | |_____| Insurance | | | (Delaware) | | (Bermuda) | | | Company | | |________________| |___________| | |(Massachusetts)| | | |_______________| | | | | | | ______________ | ________________ | | | | | | | | John Hancock | | | John Hancock | |_____| Distributors | |______| Financial | | | LLC | | | Network, Inc. | | | (Delaware) | | | (Massachusetts)| | |______________| | |________________| | | | | | ______________ | ________________ | | | | | | | | John Hancock | | | Hancock Natural| | | Life | |______| Resource Group,| |_____| Insurance | | | Inc. (Delaware)| | | Company | | |________________| | | of New York | | | | (New York) | | | |______________| | | | | | | 38% | | ______|_______ | ________________ | | | | | | | | John Hancock | | | Declaration | |_____| Investment | |______| Management & | 57% | Management | | | Research LLC | | Services, LLC| | | (Delaware) | | (Delaware) | | |________________| |______________| | /.\ | . | ________________ . | | | . | | The Berkeley | . |______| Financial | . | Group, LLC | .......................| (Delaware) | 5% |________________| . . _______.________ | | | John Hancock | | Advisers, LLC | | (Delaware) | |________________| . . _______.________ | | | John Hancock | | Funds, LLC | | (Delaware) | |________________|
....... Indirect Control _______ Direct Control (1) The remaining 5% equity of PT Asuransi Jiwa Manulife Indonesia is indirectly held by The Manufacturers Life Insurance Company (2) MFC Global Fund Management (Europe) Limited changed its name to Manulife Asset Management (Europe) Holdings Limited effective January 6, 2011. (3) MFC Global Investment Management (Japan) Limited changed its name to Manulife Asset Management (Japan) Limited effective January 11, 2011. This chart displays voting shares. All entities are 100% controlled unless otherwise indicated. Item 27. Number of Contract Owners. As of FEBRUARY 28, 2011, there were 0 qualified and 0 non-qualified contracts of the series offered hereby outstanding. Item 28. Indemnification. Article 10 of the Charter of the Company provides as follows: TENTH: No director of the Corporation shall be personally liable to the Corporation or any of its shareholders for damages for any breach of duty as a director; provided, however, the foregoing provision shall not eliminate or limit (i) the liability of a director if a judgment or other final adjudication adverse to such director established his or her such acts or omissions were in bad faith or involved intentional misconduct or were acts or omissions (a) which he or she knew or reasonably should have known violated the New York Insurance Law or (b) which violated a specific standard of care imposed on directors directly, and not by reference, by a provision of the New York Insurance Law (or any regulations promulgated thereunder) or (c) which constituted a knowing violation of any other law, or establishes that the director personally gained in fact a financial profit or other advantage to which the director was not legally entitled or (ii) the liability of a director for any act or omission prior to the adoption of this Article by the shareholders of the Corporation. Any repeal or modification of this Article by the shareholders of the Corporation shall be prospective only, and shall not adversely affect any limitation on the personal liability of a director of the Corporation existing at the time of such repeal or modification. Article VII of the By-laws of the Company provides as follows: Section VII.1. Indemnification of Directors and Officers. The Corporation may indemnify any person made, or threatened to be made, a party to an action by or in the right of the corporation to procure a judgment in its favor by reason of the fact that he or she, his or her testator, testatrix or intestate, is or was a director or officer of the Corporation, or is or was serving at the request of the Corporation as a director or officer of any other corporation of any type or kind, domestic or foreign, of any partnership, joint venture, trust, employee benefit plan or other enterprise, against amounts paid in settlement and reasonable expenses, including attorneys' fees, actually and necessarily incurred by him or her in connection with the defense or settlement of such action, or in connection with an appeal therein, if such director or officer acted, in good faith, for a purpose which he or she reasonably believed to be in, or, in the case of service for any other corporation or any partnership, joint venture, trust, employee benefit plan or other enterprise, not opposed to, the best interests of the Corporation, except that no indemnification under this Section shall be made in respect of (1) a threatened action, or a pending action which is settled or is otherwise disposed of, or (2) any claim, issue or matter as to which such person shall have been adjudged to be liable to the Corporation, unless and only to the extent that the court in which the action was brought, or , if no action was brought, any court of competent jurisdiction, determines upon application that, in view of all the circumstances of the case, the person is fairly and reasonably entitled to indemnity for such portion of the settlement amount and expenses as the court deems proper. The Corporation may indemnify any person made, or threatened to be made, a party to an action or proceeding (other than one by or in the right of the Corporation to procure a judgment in its favor), whether civil or criminal, including an action by or in the right of any other corporation of any type or kind, domestic or foreign, or any partnership, joint venture, trust, employee benefit plan or other enterprise, which any director or officer of the Corporation served in any capacity at the request of the Corporation, by reason of the fact that he or she, his or her testator, testatrix or intestate, was a director or officer of the Corporation, or served such other corporation, partnership, joint venture, trust, employee benefit plan or other enterprise in any capacity, against judgments, fines, amounts paid in settlement and reasonable expenses, including attorneys' fees actually and necessarily incurred as a result of such action or proceeding, or any appeal therein, if such director or officer acted, in good faith, for a purpose which he or she reasonably believed to be in, or, in the case of service for any other corporation or any partnership, joint venture, trust, employee benefit plan or other enterprise, not opposed to, the best interests of the Corporation and, in criminal actions or proceedings, in addition, had no reasonable cause to believe that his or her conduct was unlawful. The termination of any such civil or criminal action or proceeding by judgment, settlement, conviction or upon a plea of nolo contendere, of its equivalent, shall not in itself create a presumption that any such director or officer did not act, in good faith, for a purpose which he or she reasonably believed to be in, or, in the case of service for any other corporation or any partnership, joint venture, trust, employee benefit plan or other enterprise, not opposed to, the best interest of the Corporation or that he or she had reasonable cause to believe that his or her conduct was unlawful. Notwithstanding the foregoing, Registrant hereby makes the following undertaking pursuant to Rule 484 under the Securities Act of 1933: Insofar as indemnification for liability arising under the Securities Act of 1933 may be permitted to directors, officers and controlling persons of the registrant pursuant to the foregoing provisions, or otherwise, the registrant has been advised that in the opinion of the Securities and Exchange Commission such indemnification is against public policy as expressed in the Act and is, therefore, unenforceable. In the event a claim for indemnification against such liabilities (other than the payment by the registrant of expenses incurred or paid by a director, officer or controlling person of the registrant in the successful defense of any action, suit or proceeding) is asserted by such director, officer or controlling person in connection with the securities being registered, the registrant will, unless in the opinion of its counsel the matter has been settled by controlling precedent, submit to a court of appropriate jurisdiction the question whether such indemnification by it is against public policy as expressed in the Act and will be governed by the final adjudication of such issue. Item 29. Principal Underwriters. (a) Set forth below is information concerning other investment companies for which John Hancock Distributors, LLC ("JHD LLC"), the principal underwriter of the contracts, acts as investment adviser or principal underwriter.
NAME OF INVESTMENT COMPANY CAPACITY IN WHICH ACTING -------------------------- ------------------------ John Hancock Life Insurance Company (U.S.A.) Separate Account H Principal Underwriter John Hancock Life Insurance Company (U.S.A.) Separate Account A Principal Underwriter John Hancock Life Insurance Company (U.S.A.) Separate Account N Principal Underwriter John Hancock Life Insurance Company (U.S.A.) Separate Account I Principal Underwriter John Hancock Life Insurance Company (U.S.A.) Separate Account L Principal Underwriter John Hancock Life Insurance Company (U.S.A.) Separate Account M Principal Underwriter John Hancock Life Insurance Company of New York Separate Account A Principal Underwriter John Hancock Life Insurance Company of New York Separate Account B Principal Underwriter John Hancock Life Insurance Company (U.S.A.) Separate Account Q Principal Underwriter John Hancock Life Insurance Company (U.S.A.) Separate Account W Principal Underwriter John Hancock Life Insurance Company (U.S.A.) Separate Account X Principal Underwriter John Hancock Variable Life Account UV Principal Underwriter John Hancock Life Insurance Company (U.S.A.) Separate Account R Principal Underwriter John Hancock Life Insurance Company (U.S.A.) Separate Account T Principal Underwriter John Hancock Variable Life Account S Principal Underwriter John Hancock Variable Life Account U Principal Underwriter John Hancock Variable Life Account V Principal Underwriter
(b) John Hancock Life Insurance Company (U.S.A.) is the sole member of John Hancock Distributors LLC (JHD LLC). The management of JHD LLC is vested in its board of managers (consisting of Edward Eng**, Steve Finch***, Lynne Patterson*, Christopher M. Walker**, and Karen Walsh*) who have authority to act on behalf of JHD LLC. * Principal business office is 601 Congress Street, Boston, MA 02210 ** Principal business office is 200 Bloor Street, Toronto, Canada M4W 1E5 *** Principal business office is 197 Clarendon St, Boston, MA 02116 (c) None. Item 30. Location of Accounts and Records. All books and records are maintained at 100 Summit Lake Drive, Second Floor, Valhalla, New York 10595. Item 31. Management Services. The Company has entered into an Administrative Services Agreement with The Manufacturers Life Insurance Company ("Manulife"). This Agreement provides that under the general supervision of the Board of Directors of the Company, and subject to initiation, preparation and verification by the Chief Administrative Officer of the Company, Manulife shall provide accounting services related to the provision of a payroll support system, general ledger, accounts payable, tax and auditing services. Item 32. Undertakings. (a) Representation of Insurer pursuant to Section 26 of the Investment Company Act of 1940. John Hancock Life Insurance Company of New York (the "Company") hereby represents that the fees and charges deducted under the Contracts issued pursuant to this registration statement, in the aggregate, are reasonable in relation to the services rendered, the expenses expected to be incurred and the risks assumed by the Company. (b) Representation of Registrant Pursuant to Section 403(b) of the Internal Revenue Code of 1986, as amended The Company is relying on a no-action letter issued in connection with funding vehicles for retirement plans meeting the requirements of Section 403(b) of the Internal Revenue Code of 1986, as amended, on November 28, 1988, SEC Reference No. IP-6-88, and is complying with the provisions of paragraphs 1-4 of such no action letter. (c) Undertakings Pursuant to Item 32 of Form N-4 (1) The Depositor and Registrant will file a post-effective amendment to this registration statement as frequently as is necessary to insure that the audited financial statements in the registration statement are never longer than 16 months old for so long as payments under the variable annuity contracts may be accepted; (2) The Depositor and Registrant will include either (1) as part of any application to purchase a contract offered by the prospectus, a space that an applicant can check to request a Statement of Additional Information, or (2) a post card or similar communication affixed to or included in the prospectus that the applicant can remove to send for a Statement of Additional Information; and (3) The Depositor and Registrant will deliver any Statement of Additional Information and any financial statements required to be made available under this form promptly upon written or oral request. SIGNATURES Pursuant to the requirements of the Securities Act of 1933 and the Investment Company Act of 1940, the Registrant and the Depositor have caused this Pre-Effective Amendment to the Registration Statement to be signed on their behalf in the City of Boston, Massachusetts, on this 30th day of March, 2011. JOHN HANCOCK LIFE INSURANCE COMPANY OF NEW YORK SEPARATE ACCOUNT A (Registrant) By: JOHN HANCOCK LIFE INSURANCE COMPANY OF NEW YORK (Depositor) By: /s/ James D. Gallagher --------------------------------- James D. Gallagher Director and President JOHN HANCOCK LIFE INSURANCE COMPANY OF NEW YORK By: /s/ James D. Gallagher --------------------------------- James D. Gallagher Director and President SIGNATURES As required by the Securities Act of 1933, this Pre-Effective Amendment to the Registration Statement has been signed by the following persons in their capacities with the Depositor on this 30th day of March, 2011.
Signature Title --------- ------------------------------------------------- /s/ James D. Gallagher Director and President ------------------------------------- (Principal Executive Officer) James D. Gallagher /s/ Lynne Patterson Senior Vice President and Chief Financial Officer ------------------------------------- (Principal Financial Officer) Lynne Patterson /s/ Jeffery J. Whitehead Vice President and Controller ------------------------------------- (Principal Accounting Officer) Jeffery J. Whitehead * Chairman ------------------------------------- James R. Boyle * Director ------------------------------------- Thomas Borshoff Director ------------------------------------- Paul M. Connolly * Director ------------------------------------- Steven Finch * Director ------------------------------------- Ruth Ann Fleming * Director ------------------------------------- Scott S. Hartz * Director ------------------------------------- Rex Schlaybaugh, Jr. * Director ------------------------------------- John G. Vrysen */s/ Thomas J. Loftus Senior Counsel - Annuities ------------------------------------- Thomas J. Loftus Pursuant to Power of Attorney
EXHIBIT INDEX
ITEM NO. DESCRIPTION -------- ------------------------- 24(b)(10) Ernst & Young LLP Consent