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			US Operations Jackson National Life (JNL) is one of the top 20 life companies in the US. Its product range encompasses traditional fixed annuities, variable annuities, equity-linked indexed annuities, stable value Guaranteed Investment Contract (GIC) business and life assurance products. JNL continues to go from strength to strength with record profit and sales in 1999. Statutory profit has risen ten per cent to £451 million (after including a £6 million investment in building JNL's broker-dealer operations and PPM America) with single premium sales 43 per cent ahead of 1998 at £4.1 billion. Annuity sales of £2.4 billion were 65 per cent ahead of the prior year while GIC sales totalled £1.6 billion. Sales of variable annuity products were nearly £1.2 billion, more than double 1998's figures. This compares with industry growth over the same period of 21 per cent. Equity-linked indexed annuity sales surpassed expectations and reached £431 million, 52 per cent above 1998 levels. By the end of 1999, JNL ranked as the largest provider of equity-linked indexed annuities in the US. Our fixed annuity sales also rose by 23 per cent, keeping us at second in that market. We have enhanced our distribution capability dramatically by the introduction of new technology in a programme entitled JNL-2-YOU. The programme provides 24 hour access to account balances, premium receipts, net policy values and other information either by telephone or by internet. In the next stage of development, the full range of JNL's products will have such access – including the full complement of indexed and variable annuity products as well as life insurance and traditional fixed annuities. We plan to launch new services, including on-line transactions, customised illustrations and presentations – services previously available only on interactive CD-ROMs. By investing in new technology we have not only improved the service experienced by customers, but have brought about a dramatic financial impact: the cost of a typical call from a customer has been reduced from US$5 to between 25-50 cents for an automated phone call, and five cents for an internet 'hit'. During 2000, JNL's conversion to one system-wide computer platform will give us the processing capability to connect even more effectively with the internet, opening new doors for customer service. Our Lansing and Denver Service Centres have processed 60 per cent more applications and service requests than in 1998. Additionally, our Institutional Marketing Group service centre won several awards and was judged best in the industry for fixed annuity service and marketing support, including two prestigious Crystal Pyramid awards. Construction of our new US$50 million headquarters building continues and we expect to occupy it this autumn. Jackson Federal Bank, the savings and loan institution purchased by JNL in 1998, was able, thanks primarily to our ownership, to upgrade its industry ratings. With the higher ratings, we will be in a very favourable position to expand and build the Thrift in 2000. PPM America, the fund management company, now reports alongside JNL to Bob Saltzman in order to maximise the synergies between the investment process and product creation and delivery.