Form N-6 - United States Securities And Exchange Commission (Page 24 of 29) in pdf

additional financial information is received, the Registrant should send the information within 3 business days of receipt

of the request, by first-class mail or other means designed to ensure equally prompt delivery.

Notwithstanding Rule 3-12 of Regulation S-X [17 CFR 210.3-12], the financial statements of the Depositor need not be

more current than as of the end of the most recent fiscal year of the Depositor. In addition, when the anticipated effective

date of a registration statement falls within 90 days subsequent to the end of the fiscal year of the Depositor, the registration

statement need not include financial statements of the Depositor more current than as of the end of the third fiscal quarter

of the most recently completed fiscal year of the Depositor unless the audited financial statements for such fiscal year are

available. The exceptions to Rule 3-12 of Regulation S-X contained in this Instruction 3 do not apply when:

(i) The Depositor’s financial statements have never been included in an effective registration statement under the Securities

Act of a separate account that offers variable annuity contracts or variable life insurance contracts; or

(ii) The balance sheet of the Depositor at the end of either of the two most recent fiscal years included in response to this

Item shows a combined capital and surplus, if a stock company, or an unassigned surplus, if a mutual company, of less

than $1,000,000; or

(iii) The balance sheet of the Depositor at the end of a fiscal quarter within 135 days of the expected date of effectiveness

under the Securities Act (or a fiscal quarter within 90 days of filing if the registration statement is filed solely under the

Investment Company Act) would show a combined capital and surplus, if a stock company, or an unassigned surplus,

if a mutual company, of less than $1,000,000. If two fiscal quarters end within the 135 day period, the Depositor may

choose either for purposes of this test.

Any interim financial statements required by this Item need not be comparative with financial statements for the same

interim period of an earlier year.

Item 25. Illustrations

The Registrant may, but is not required to, include a table of hypothetical illustrations of death benefits, cash surrender values, and

cash values in either the prospectus or the SAI. The following standards should be used to prepare any table of hypothetical illustrations

that is included in the prospectus or the SAI:

(a) Narrative Information. The illustrations should be preceded by a clear and concise explanation, including (i) a description

of the expenses reflected in the illustrations; (ii) that the illustrations are based on assumptions about investment returns and

Contractowner characteristics; (iii) the circumstances under which actual results for a particular purchaser of the Contract

would differ from the illustrations; and (iv) whether personalized illustrations are available and, if available, how they may be

obtained.

(b) Headings. The headings should contain the following information: sex, age, rating classification (e.g., nonsmoker, smoker,

preferred, or standard), premium amount and payment schedule, face amount, and death benefit option.

(c) Premiums, Ages. Premium amounts used in the illustrations should be representative of the actual or expected typical premium

amount. The typical premium amount may be based on the average or median premium amount or some other reasonable basis

that results in a typical premium amount that is fairly representative of actual or expected Contract sales. Ages used in the

illustrations should be representative of actual or expected Contract sales.

(d) Rating Classifications. Illustrations should be shown for the rating classification with the greatest number of outstanding

Contracts (or expected Contracts in the case of a new Contract), unless this rating classification is not fairly representative of

actual or expected Contract sales. In this case, illustrations should be shown for a commonly used rating classification that is

fairly representative of actual or expected Contract sales.

(e) Years. Illustrated values should be provided for Contract years one through ten, for every five years beyond the tenth Contract

year, and for the year of Contract maturity.

(f) Illustrated Values. Death benefits and cash surrender values should be illustrated at three rates of return and two levels of charges

(described in paragraphs (g) and (i)). The Registrant may also illustrate cash values, but cash values must be accompanied by

corresponding cash surrender values. All illustrated values should be determined as of the end of the Contract year.

Form N-6 - United States Securities And Exchange Commission Page 24