Protective Life Insurance Company's values-oriented management philosophy was established in 1907 by its founder, former Alabama Governor William Dorsey Jelks. Governor Jelks left an indelible imprint on the Company by insisting that quality - in products, in service, and in people - be the standard applied to every aspect of its business. Understanding that serving people begins with being worthy of their trust, Jelks' initial pledge to Protective Life's customers, shareholders, and employees remains today the focus of the Company's leadership.

Protective Life Corporation is now one of the nation's leading companies in the life insurance industry. With loyal customers across the country, insurance products are provided through its subsidiaries Protective Life Insurance Company, West Coast Life Insurance Company, Protective Life and Annuity Insurance Company (our New York licensed company), and Lyndon Property Insurance Company.^* Drawing upon the strengths of the past, while maintaining a keen eye toward the future, the employees of Protective Life Corporation and its subsidiaries nationwide are dedicated to affirming the wisdom of our collective vision: Doing the right thing is smart business.^®

Doing the right thing for customers
Our goal is to build enduring relationships with satisfied customers. We do so, by offering great products at highly competitive prices and providing the kind of attentive, personal service we would hope to get from others. We also demand that our distribution partners demonstrate high ethical standards in their representation of our products and services. It has proven to be a winning formula.

Doing the right thing for share owners
We appreciate the trust and confidence that our share owners place in us. As stewards of their investment, we believe that lasting customer relationships and an enthusiastic, stable employee base are the best insurance for consistent growth. Our investment policy is to stay focused on long-term, prudent investments and ignore short-term fads. Today, Protective Life Corporation has annual revenues of approximately $2.7 billion and assets of $39.8 billion.^** We are confident that our continued effort to do the right thing for our customers is the best way to meet our goal of industry leadership in long-range earnings growth and return on equity.

^*Protective Life Corporation is a separate entity and is not responsible for the financial condition or obligations of its subsidiaries.
^**As of 12/31/06