Prudential 2007 Annual Report Download - page 136

PRUDENTIAL FINANCIAL, INC.
Notes to Consolidated Financial Statements
9. CERTAIN NONTRADITIONAL LONG-DURATION CONTRACTS (continued)
therefore, the amounts listed may not be mutually exclusive. As of December 31, 2007 and 2006, the Company had the following
guarantees associated with these contracts, by product and guarantee type:
December 31, 2007 December 31, 2006
In the Event
of Death
At Annuitization/
Accumulation(1)
In the Event
of Death
At Annuitization/
Accumulation(1)
(dollars in millions)
Variable Annuity Contracts
Return of net deposits
Account value ...................................................... $42,995 $ 47 $37,071 $ 57
Net amount at risk ................................................... $ 1,204 $ 4 $ 1,491 $ 5
Average attained age of contractholders .................................. 61years 65 years 60 years 64 years
Minimum return or contract value
Account value ...................................................... $32,334 $37,162 $32,118 $28,322
Net amount at risk ................................................... $ 2,255 $ 996 $ 2,528 $ 733
Average attained age of contractholders .................................. 64years 60 years 64 years 59 years
Average period remaining until earliest expected annuitization ................ N/A 5years N/A 6 years
(1) Includes income and withdrawal benefits as described herein.
December 31, 2007 December 31, 2006
Unadjusted
Value
Adjusted
Value
Unadjusted
Value
Adjusted
Value
(in millions)
Variable Annuity Contracts
Market value adjusted annuities
Account value ............................................................... $ 1,417 $ 1,418 $1,426 $1,438
December 31,
2007
December 31,
2006
In the Event of Death
(dollars in millions)
Variable Life, Variable Universal Life and Universal Life Contracts
No lapse guarantees
Separate account value ........................................................ $ 2,366 $ 2,070
General account value ......................................................... $ 2,201 $ 1,932
Net amount at risk ............................................................ $ 59,013 $ 50,726
Average attained age of contractholders ........................................... 45years 45 years
Account balances of variable annuity contracts with guarantees were invested in separate account investment options as follows:
December 31,
2007
December 31,
2006
(in millions)
Equity funds .......................................................................... $36,100 $39,229
Bond funds ........................................................................... 6,732 7,228
Balanced funds ........................................................................ 22,510 12,731
Money market funds .................................................................... 2,966 2,624
Other ................................................................................ 3,198 3,065
Total ............................................................................ $71,506 $64,877
In addition to the amounts invested in separate account investment options above, $3,823 million at December 31, 2007 and $4,312
million at December 31, 2006 of account balances of variable annuity contracts with guarantees, inclusive of contracts with MVA features,
were invested in general account investment options.
134 Prudential Financial 2007 Annual Report