Fees and costs:

The costs of establishing an annuity is calculated as a percentage of the purchase price, as follows:

Set-up Fee

Below $500,000.00 2.0%

$5,001.00 to $5,000,000.00 1.5%

Above $5,000,000.00 1.25%*

U.S. Federal Excise Taxes 1.0%

Annual Fees and Charges:

Maintenance Charge .5% (quarterly)*

Mortality, Expense and Distribution Risk Charge 1.20%*

Above $5,000,000.00 1.25%*

Subject to reduction at the discretion of the Company for large contracts.