Article: A,B,C, and L-shares: VAs respond to competition. (Cover Story).(variable annuity gross sales)(Statistical Data Included)

Variable annuity gross sales have seen some rocky times of late, slipping 16% to $114 billion in 2001 from an all-time high of $137 billion in 2000.

VA sales through the 2nd quarter 2002 have stabilized somewhat compared to last year, reaching just over $57 billion. Volatility and the sustained market downturn have contributed most to declining sales.

Partly in response, but also in an effort to keep afloat in the competitive variable market, many VA manufacturers have continued to broaden their portfolio, targeting various types of distributors and consumers. They've also begun to offer new or revamped guarantees.

We'll look at some of these ...

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