Strong Fixed Annuity Sales Drive Annuity Net Flows 21% Higher

Jackson National Life Insurance Company^® (Jackson^®) generated $2.6 billion in annuity sales during the first quarter of 2009, up 8 percent over the prior year period. First quarter 2009 annuity net flows (total premium minus surrenders, exchanges and annuitizations) of $1.0 billion were 21-percent higher than the same period in 2008, due in part to an 81-percent year-over-year increase in traditional fixed annuity sales. Jackson's first quarter retail sales and deposits¹ totaled $2.7 billion, in line with retail sales and deposits in the first quarter of 2008.

"Despite challenging macroeconomic conditions, Jackson has maintained strong inflows of new premium and good persistency on its back book, as customers and advisers favor a business partner that is consistent throughout all phases of the business cycle,” said Clark Manning, Jackson’s president and chief executive officer. "Jackson's prudent approach to product pricing and risk management is a significant competitive advantage in the current market environment."

In the first quarter of 2009, Jackson, an indirect wholly owned subsidiary of the United Kingdom’s Prudential plc (NYSE: PUK), recorded $1.5 billion in variable annuity sales, compared to $1.8 billion in the first quarter of 2008. Sales of traditional fixed annuities were $693 million, up from $382 million during the same period of the prior year. Jackson's fixed index annuity sales of $354 million were up 83 percent over the first quarter of 2008.

"In this turbulent market, advisers and their clients are increasingly attracted to the stability of Jackson's franchise," said Clifford Jack, executive vice president and chief distribution officer for Jackson. "Jackson's product offering and wholesaling force has remained relatively consistent, and the company's financial strength ratings are unchanged."

Jackson has maintained its financial strength ratings for more than six years and, in March 2009, both Moody's Investors Service and Fitch Ratings affirmed Jackson's financial strength ratings. As of March 31, 2009, Jackson was rated:

• A+ (superior) by A.M.