INSIDE PRUDENTIAL ANNUITIES® THE HIGHEST DAILY COMPANYSM [Presenter’s Name] [Title] [Date] Hi…I am [insert name] with Prudential Annuities®, the Highest Daily CompanySM.   Let me ask you a question…[pick one of three below] Practice Approach  Q1: Did you do all of your business last year on October 9, 2007? A1: Well, those clients were lucky enough to have captured the S&P 500’s high point in 2007. What about the rest of your clients? Personal Approach Q2: Think about the three best days of your life. A2: What if you had to give them back? Company–Specific Approach Q3: What’s the 52-week high of [your firm’s or a locally significant company’s] stock? What is it at today? (You would need to research stock price prior to the meeting.) A3: How would you like to have locked in that high for the purposes of retirement savings or income?

Our Message As The Highest Daily Company, we help increase your clients’ retirement investments through highest daily guarantees. Your clients are guaranteed to lock in their highest daily values for income purposes – 100% of the time – and never give them back. (Read Slide) Guarantees are backed by the claims-paying ability of the issuing company and do not apply to the underlying investment options.

Our Investment Platform How We Do It… Why Daily? Why Prudential? Our Investment Platform I often hear that variable annuity companies are all the same. Truth is we’re not and I’m going to show you the three reasons why. Why Daily? Why Prudential? Our Investment Platform Let me describe what that means to you and your clients who are in or near The Retirement Red Zone®…

Capturing Portfolio Highs 2,245 10-Year Periods Where Quarterly or Annual Step-up Captured Market High An example using indices - 80% equity, 20% bonds 100% Step-up Frequency 100% Source: Standard & Poor's, Lehman Brothers. For the period from January 3, 1989 through October 31, 2007. Represents the percentage of rolling ten-year periods where each step-up frequency captured the highest market point in that ten-year period (2,245 periods total). Assumes an 80% allocation to U.S. equities and 20% allocation to U.S. bonds. Equities are represented by the total returns of the S&P Composite Index of 500 Stocks, which is generally considered representative of the U.S. stock market. Bonds are represented by the total returns of the Lehman U.S. Aggregate index, which measures the performance of the broad investment grade bond market. There were a total of 3 trading days with no closing value for the S&P 500 and 73 trading days with no closing value for the Lehman Aggregate index. The returns on those days were assumed to be 0%. Past performance is not a guarantee of future results. 50% 2% 6% 0% Annually Quarterly Daily To examine the impact of capturing market highs, we commissioned a study by Standard and Poor’s. In looking at more than 2,200 rolling ten-year periods, they found that: An annual lock-in captured the market’s highs (click to reveal) only 2% of the time For a quarterly lock-in, the results weren’t much better (click to reveal) at only 6% But with a daily lock-in, (click to reveal) your clients captured the market’s highs 100% of the time

Missing the Highs 0% So, let’s think about this differently… 98% 94% An example using indices - 80% equity, 20% bonds 98% 94% 100% Source: Standard & Poor's, Lehman Brothers. For the period from January 3, 1989 through October 31, 2007. Represents the percentage of rolling ten-year periods where each step-up frequency captured the highest market point in that ten-year period (2,245 periods total). Assumes an 80% allocation to U.S. equities and 20% allocation to U.S. bonds. Equities are represented by the total returns of the S&P Composite Index of 500 Stocks, which is generally considered representative of the U.S. stock market. Bonds are represented by the total returns of the Lehman U.S. Aggregate index, which measures the performance of the broad investment grade bond market. There were a total of 3 trading days with no closing value for the S&P 500 and 73 trading days with no closing value for the Lehman Aggregate index. The returns on those days were assumed to be 0%. Past performance is not a guarantee of future results. 50% 0% 0% Annually Quarterly Daily So let’s think about this differently… An annual lock-in, failed to capture the market’s high (click) 98% of the time A quarterly lock-in, failed (click) 94% of the time With a daily lock-in, failure is not an option (click to reveal) as it always captures the market’s high (Question for the audience) How would your clients feel about purchasing a variable annuity with a living benefit that does not allow them to capture their high 100% of the time?  

“AND” versus “OR” HD Lifetime Seven locks in the highest daily account value and compounds it at 7% annually, for income purposes. It’s the “AND” benefit! Your client reaches their highest daily account value Your client purchases a Prudential annuity with HD Lifetime Seven years 5 10 These findings underscore the value of our HD Lifetime Seven suite of income benefits. But, we take it a step further. Not only do we lock in your client’s highest day and never give it back (for income purposes) (click), we then grow that value by a 7% compounded rate of return (for the first 10 years or first withdrawal, whichever is sooner (click). Please note that the 7% compounded rate of return refers to the basis for lifetime income, not actual account value. The client’s account value can experience negative performance, but the income base will still grow based on their account value’s highest day – as illustrated in the chart above. The income base is not available as a lump sum – it is only available through withdrawals. It’s an “AND” benefit, and it’s different than most other annuity benefits out in the market today which are “OR” benefits. “OR” means what? I get one or the other. As an “AND” benefit, we’re locking in your clients’ highest day and growing it by a compounded 7% rate of return for income(again, for the first 10 years or first withdrawal, whichever is sooner). In effect, we’re guaranteeing that, regardless of when your clients retire, their income base will be at its all-time high. Speaker Note: you can use the KIS Card to help tell and reinforce the entire story behind the Highest Daily Company. This is a hypothetical example for illustrative purposes only. It does not reflect a specific annuity or the performance of any investment. The Protected Withdrawal Value is available through withdrawals only; it is not available as a lump sum. Guarantees are backed by the claims-paying ability of the issuing company and do not apply to the underlying investment options.

What Guaranteed Income is Worth Did you know… More than 93% of the investors surveyed indicated they’d like a guaranteed source of income throughout their retirement* About 90% of respondents said a guaranteed source of retirement income would make the biggest difference in feeling confident in retirement* With retirement lasting 30 years or longer, investors want a guaranteed income, and they feel a 4%-6% fee is a small price to pay for retirement confidence* *Source: AllianceBernstein Qualitative Research, 2007 Optional Slide – If not using, please hide. Variable annuity fees may seem high, but many investors feel a guaranteed source of retirement income is worth the extra cost with pensions and Social Security slowly fading (Read Slide).

Our Investment Platform How We Do It… Why Daily? Why Prudential? Our Investment Platform Clearly, highest daily lock-ins can make a difference to you and your clients. The question now is why you should consider Prudential?

American Company Since 1875 Your clients should feel comfortable knowing that Prudential’s issuing companies are helping them meet their retirement goals. A.M. Best Company Fitch Ratings Standard & Poor’s A+ Superior ability to meet ongoing obligations to policyholders A+ Strong capacity to meet policyholder and contract obligations AA- Very strong financial security characteristics (2nd category of 15) (5th category of 21) (4th category of 21) For over 130 years, we’ve been an American company focused on growing and protecting Americans’ wealth. We have great brand recognition with more than 98% of Americans knowing Prudential.* For you, this should make your job easier as you probably won’t need to spend time selling the Prudential name to your clients. And, your clients should feel comfortable knowing that Prudential is the company helping them meet their retirement goals. Prudential Annuities Life Assurance Corporation is a member of the Prudential Financial family of companies and is the issuer of variable annuities. All are highly rated by the major independent rating agencies for their ability to meet financial obligations. Our guarantees are backed by the claims-paying ability of our issuers, and each is solely responsible for its financial condition and contractual obligations. * 2008 Prudential’s Brand Image Study, Wave 39 conducted by Data Development Worldwide Prudential Annuities Life Assurance Corporation is not rated by Moody’s. All ratings are as of 2/26/09. Ratings are intended to reflect the financial strength or claims-paying ability of the issuer and are not intended to reflect the investment performance or financial strength of the variable accounts, which are subject to market risk. The above ratings are subject to change and do not reflect any subsequent rating agency actions. Please visit our investor relations site, www.investor.prudential.com, for the most current ratings information.

Source: Boomer Market Advisor Magazine, 2008 There’s Only One No. 1 1 First in IBD variable annuity sales 2005, 2006, 2007, Q1, Q2 & Q3 2008 Source: VARDS, November 2008 Award-winning living benefits 2005, 2006, 2007 & 2008 Category: Living benefit that best addresses the income and longevity issues facing your clients # A true partner in your business from a service and support standpoint! Highest Daily Lifetime 7 PlusSM & Spousal Highest Daily Lifetime 7 PlusSM Highest Daily Lifetime 7 Plus with Lifetime Income AcceleratorSM Highest Daily Lifetime 7 Plus with Beneficiary Income OptionSM Highest Daily Guaranteed Return OptionSM Guaranteed Return Option PlusSM Optional Slide. Please hide if you are not presenting. Read & Explain Slide Source: Boomer Market Advisor Magazine, 2008

The Capacity to Compete The longevity risk of annuities helps offset the mortality risk of life insurance Mortality Life Insurance Longevity Variable Annuities With more than $2.65 trillion in life insurance worldwide as of the end of 2007, Prudential has a substantial hedge for our variable annuity business. The longevity risk of annuities, which is people living too long, is negatively correlated to the mortality risk of life insurance, which is people dying too soon. It’s a highly effective hedge that can provide Prudential with the capacity to be a major competitor in the annuities business for a long time.

Investment–Grade Bond Portfolio Managing Your Clients’ Guarantees Aims to help protect your clients’ retirement savings in an extended down–market Pre-set formula takes human emotion out of the equation Based on the unique experiences of each client’s contract Prudential Annuities has been managing risk by providing guarantees like this since 2001 Original Investments Investment–Grade Bond Portfolio Prudential Annuities sets itself apart from the competition by providing the opportunity to capture your clients’ highest days. We also stand out by aiming to protect your clients’ retirement savings in an extended down-market. Based on each client’s individual contract, our benefits can transfer assets from a client’s account value to or from an investment-grade bond portfolio. Transfers in and out of the bond portfolio are determined solely by a pre-set formula that reviews each client’s contract everyday, taking human emotion out of the equation. And, any movements are based solely upon the unique experiences of each client’s contract. Prudential has been managing risk by providing guarantees like this since 2001. This demonstrates our recognition of the importance that clients place on their account value, while looking to maximize their retirement income.

Managing Your Clients’ Guarantees Predetermined mathematical formula helps manage the guarantee Formula transfers AV into or out of Bond Portfolio/Fixed Account, based on a number of factors At any time, some, most or none of the AV may be allocated to the Bond Portfolio/Fixed Account If all AV is in Bond Portfolio/Fixed Account, it will remain there If additional payments are made, formula may/may not transfer AV out of Bond Portfolio/Fixed Account Amounts in Bond Portfolio/Fixed Account will affect the ability to participate in a subsequent recovery Conversely, AV may be higher at the beginning of the recovery Highest Daily Lifetime 6 Plus, Spousal Highest Daily Lifetime 6 Plus, Highest Daily Guaranteed Return Option (HD GRO) and Guaranteed Return Option Plus (GRO Plus) each use a separate predetermined mathematical formula to help manage your clients’ guarantee through all market cycles. Each business day, the formula determines if any portion of the account value needs to be transferred into or out of the AST Investment Grade Bond Portfolio (the “Bond Portfolio’) for Highest Daily Lifetime 6 Plus and Spousal Highest Daily Lifetime 6 Plus for HD GRO and GRO Plus transferred into or out of certain AST Bond Portfolio subaccounts (the "Bond Portfolios"). For Highest Daily Lifetime 6 Plus and Spousal Highest Daily Lifetime 6 Plus, amounts transferred by the formula depend on a number of factors unique to your clients’ individual annuity and include: (i) The difference between the account value and the Protected Withdrawal Value; (ii) How long your client has owned Highest Daily Lifetime 6 Plus or Spousal Highest Daily Lifetime 6 Plus; (iii) The amount invested in, and the performance of, the permitted subaccounts; (iv) The amount invested in, and the performance of, the Bond Portfolio; and (v) The impact of additional purchase payments made to and withdrawals taken from the annuity.   For HD GRO and GRO Plus, amounts transferred by the formula depend on a number of factors unique to your client’s individual annuity and include: (i) The difference between the account value and the Guarantee Amount(s); (ii) The amount of time until the maturity of the Guarantee(s); (iv) The amount invested in, and the performance of, the Bond Portfolios; (v) The discount rate used to determine the present value of the Guarantee(s); and (vi) The impact of additional purchase payments made to and withdrawals taken from the annuity. For Highest Daily Lifetime 6 Plus and Spousal Highest Daily Lifetime 6 Plus at any given time, some, none, or most of the account value may be allocated to the Bond Portfolio. Transfers to and from the Bond Portfolio do not impact any income guarantees that have already been locked in. The Protected Withdrawal Value (the basis for guaranteed lifetime income) is separate from the account value, and only available through withdrawals, not as a lump sum. For HD GRO and GRO Plus, at any given time, some, none, or all of the account value may be allocated to the Bond Portfolios. If the entire account value is transferred to the Bond Portfolios, then based on the way the formula operates, the formula will not transfer amounts out of the Bond Portfolios to the permitted subaccounts and the entire account value would remain in the Bond Portfolios. If additional purchase payments are made to the annuity, they will be allocated to the permitted subaccounts according to the allocation instructions. Such additional purchase payments may or may not cause the formula to transfer money in or out of the Bond Portfolios. Once the additional purchase payments are allocated to the annuity, they will also be subject to the mathematical formula, which may result in immediate transfers to or from the Bond Portfolios, if dictated by the formula. Transfers to and from the Bond Portfolios do not impact any guarantees that have already been locked in. Any amounts invested in the Bond Portfolio(s) will affect your ability to participate in a subsequent recovery within the permitted subaccounts. Conversely, the account value may be higher at the beginning of the recovery, e.g. more of the account value may have been protected from decline and volatility than it otherwise would have been had the benefit not been elected. Please note: Your clients may not allocate purchase payments or transfer account value into or out of the Bond Portfolio(s). See the prospectus for complete details.

AST Investment Grade Bond Portfolio Multi-sector fixed income portfolio, which is positioned to help meet liquidity needs for potentially heavy inflows and outflows Invests in a diversified portfolio of high-quality bonds and other securities and instruments Average credit quality rating will be maintained at A- or above. Duration will be maintained within +/- 0.50 years versus the benchmark index Investment strategy allows full access to most fixed income security types and derivatives 5.60% Cash & Equivalents 15.20% Treasuries 20.50% Agencies 15.60% Mortgages 26.90% Corporates 11.70% Commercial Mortgages 4.50% Asset Backed & Other Optional Slide (if not using, please hide) The AST Investment Grade Bond Portfolio is not available as an individual investment option for any variable annuity from Prudential companies. Only with the selection of our Highest Daily and Spousal Highest Daily Lifetime Seven, Highest Daily and Spousal Highest Daily Lifetime 7 Plus optional benefits can a portion of a client’s account value be transferred in and out of this portfolio. This portfolio is managed by Prudential Investment Management, Inc. (PIM). PIM is an indirect, wholly owned subsidiary of Prudential Financial, Inc. Benchmark: The Barclays Capital U.S. Government/Credit 5-10 Year Index (Includes market value of derivative positions) Allocations are as of 12/31/2008

Our Investment Platform How We Do It… Why Daily? Why Prudential? Our Investment Platform I’ve talked about how our guarantees can help your clients’ investments. Now, let’s look at how our investments can help your clients’ guarantees with our unique investment platform. Remember, of course, that asset allocation does not ensure a profit or protect against losses. In addition, past performance does not guarantee future results.

Simple or Sophisticated Our Alternative Advantage Our Investment Platform Our Investments Can Help Your Clients’ Guarantees Simple or Sophisticated Our Alternative Advantage Simple or Sophisticated Our investment platform provides you with options that are as simple or as sophisticated as you need them to be. For more straightforward investing, you can suggest “check the box” traditional asset allocation – from single-manager portfolios from firms like Franklin Templeton, with their Founding Funds Strategy, and T. Rowe Price to multiple manager portfolios that cover the 9-style boxes. In addition, we offer more actively managed tactical portfolios as well as quantitative portfolios featuring First Trust, a nationally recognized leader in offering unit investment trusts. Our Alternative Advantage But, the point of differentiation for our platform is our alternative asset allocation portfolios. Prudential Annuities was the first variable annuity provider to offer a turnkey alternative asset allocation option with the AST Advanced Strategies Portfolio. Today, we offer four distinct portfolios from firms like Schroders and UBS, as well as the first endowment-style variable annuity option, the AST Academic Strategies Portfolio. These alternative portfolios, as with all of our asset allocation portfolios, can be combined with the goal of reducing volatility and potentially increase return. It’s a unique approach that may help your clients experience a smoother ride, potentially provide more opportunities to capture upside, and help maximize our highest daily guarantees. Please Note: Alternative investments are speculative and include a high degree of risk. An investor could lose all or a substantial amount of his/her investment without a guarantee. Alternative investments are suitable only for long-term investors who are willing to forgo liquidity and put capital at risk for an indefinite period of time. Guarantees including optional benefits are backed by the claims-paying ability of the issuing company and do not apply to the underlying investment options. “Guarantees” refer to elements of optional benefits, available at an additional cost. Please see the prospectus for more details.

Protected Withdrawal Value & Account Value Analysis Optional Module #1 Protected Withdrawal Value & Account Value Analysis Slides [18-27] This is the first of 18 optional modules. You have the option of presenting as many, or as few modules as the audience or meeting length allow for. Please hide this slide when presenting. If presenting, please use all of the slides in this module. 17

HD Lifetime Five & HD Lifetime Seven… New Analysis! The following slides are intended to provide a snapshot of a new marketing piece for both Highest Daily Lifetime Five and Highest Daily Lifetime Seven. Please see me after today’s presentation for a copy which contains complete details. So, how has our investment platform performed when combined with the HD benefit? Looking back to HD Lifetime Five, which preceded HD Lifetime Seven in the market, should help tell the story. Please note that HD Lifetime Seven locks in your clients’ highest days and grows that value by a 7% compounded rate of return (for the first 10 years or first withdrawal, which ever is sooner) and uses the AST Investment Grade Bond Portfolio to help manage their guarantees. HD Lifetime Five does the same applying a 5% compounded rate of return and using the Benefit Fixed Rate Account. Let’s look at clients who purchased an annuity with HD Lifetime Five on January 3, 2007, and invested 100% in one of the available asset allocation portfolios. 18

Proof That Daily Step-ups Matter Remember this example represents a start date of 1/3/2007. Clients with a different start date would have seen different results. HD Lifetime Five Number of Step-ups from January 3, 2007 – March 31, 2009 Your clients would have experienced between 36 and 19 step ups depending on the portfolio(s) they selected. 36 31 31 28 28 26 19 Your client’s lifetime income base grew between 25% and 15%, depending on the portfolio selected. This growth was locked in during a period where the S&P 500 was down over 20% from 1/3/2007 – 3/31/2009. AST First Trust Capital Appreciation AST Capital Growth AST First Trust Balanced AST Advanced Strategies AST Balanced** AST TRP Asset Allocation AST Preservation Clients would have experienced between 36 and 19 lock-ins of their account value (Click), depending on the portfolio selected. Remember, this example represents a start date of 1/3/2007. Clients with a different start date would have seen different results (Click). The client’s highest day was locked-in and we grew it at a 5% compounded rate of return – (Click) over the two-year period, this resulted in income base gains of 15% to 25%. In order to help understand how many step-up opportunities HD & Spousal HD Lifetime Seven would have created, we need to look at the number of step-ups HD Lifetime Five has captured since the beginning of 2007. Because HD7 uses a bond fund for its transfer program, rather than the Benefit Fixed Rate Account, asset transfers under HD7 may not always coincide with asset transfers under HD5 under a given set of market conditions. In addition, past performance does not guarantee future results. As of 3/31/2009 25.5% 19.7% 19.8% 18.5% 17.2% 15.6% 14.9% Cumulative % Gain of Lifetime Income Base (Protected Withdrawal Value)

Information About the Previous Chart ** On July 21, 2008, the AST Conservative Portfolio became the AST Balanced Portfolio. The AST Academic Strategies, AST Schroders Multi-Asset World Strategies and AST UBS Dynamic Alpha asset allocation portfolios all experienced a significant change in investment strategy during the time period depicted and therefore are not reflected above. Asset allocation does not ensure a profit or protect against loss. The percentages above reflect the historical performance for a variable annuity with HD Lifetime Five, as HD Lifetime Seven was not available during the entire period depicted. Figures above represent the number of step-ups and rates of return provided by the asset allocation portfolios based on the following assumptions: i) time period is 1/3/07-9/30/08 and 3/31/09; ii) a $500k variable annuity was purchased on 1/3/07 with M&E&A of 1.65% and HD Lifetime Five was elected with a charge of 0.60%; iii) the contract was fully allocated to indicated portfolio; iv) Benefit Fixed Rate Account return of 2.5%; v) cumulative % gain in lifetime income base determined by applying the 5% compounded return until 3/13/09 to the annuity’s value as of last step-up; vi) no withdrawals were taken. Past performance is not an indication of future results. Performance of the Protected Withdrawal Value is net of fees and expenses. The Protected Withdrawal Value is only available through withdrawals. It is not available as a lump sum. HD Lifetime Five is available for an additional cost of 0.60%. Fees are assessed against the average daily net assets of the variable subaccounts and as a reduction in the interest rate paid with respect to the Benefit Fixed Rate Account. Fees are in addition to the fees and charges associated with the basic annuity. For the most recent standardized performance on all of our asset allocation portfolios, please call the National Sales Desk at 1-800-513-0805. Disclosure

2008: A Challenging Year... But Not for Your Clients’ Income Base! Remember, this example is based on HD Lifetime Seven’s start date of 1/28/2008. Clients with a different start date would have seen different results. HD Lifetime Seven Number of Step-ups from January 28, 2008 – March 31, 2009 Despite market conditions, clients locked in as many as six step-ups, and grew their income base between 12% - 10%. This growth was locked in during a period where the S&P 500 was down over 30% from 1/1/2008 – 3/31/2009. 6 5 5 4 4 3 3 3 3 3 3 3 3 Explain the chart by clicking to reveal each callout box. Now let’s turn our attention to HD Lifetime Seven. Despite the challenging market conditions this year, clients would have locked in as many as six step-ups, depending on the portfolio they selected. The client’s highest day was locked in and we grew it at a 7% compounded rate of return – (Click) over the 12-month period, the income base would have grown between 12% - 10%. AST Advanced Strategies AST First Trust Capital Appreciation AST TRP Asset Allocation AST CLS Moderate AST UBS Dynamic Alpha AST Capital Growth AST First Trust Balanced AST CLS Growth AST Niemann Capital Growth AST Balanced** AST Horizon Growth AST Horizon Moderate AST Preservation 11.0% 11.8% 10.8% 10.4% 9.6% 10.9% 10.8% 10.7% 10.3% 10.2% 10.2% 9.8% 9.6% As of 3/31/2009 Cumulative % Gain of Lifetime Income Base (Protected Withdrawal Value)

Information About the Previous Chart ** On July 21, 2008, the AST Conservative Portfolio became the AST Balanced Portfolio. The AST Academic Strategies and AST Schroders Multi-Asset World Strategies asset allocation portfolios both experienced a significant change in investment strategy during the time period depicted and therefore are not reflected above. Asset allocation does not ensure a profit or protect against loss. The percentages above reflect the historical performance for a variable annuity with HD Lifetime Seven. Figures above represent the number of step-ups and rates of return provided by the asset allocation portfolios based on the following assumptions: i) time period is 1/28/08-3/31/09; ii) a $500k variable annuity was purchased on 1/28/08 with M&E&A of 1.65% and HD Lifetime Seven was elected with a charge of 0.60%; iii) the contract was fully allocated to indicated portfolio; iv) cumulative % gain in lifetime income base determined by applying the 7% compounded return until 3/31/09 to the annuity’s value as of last step-up; v) no withdrawals were taken. Past performance is not an indication of future results. Performance of the Protected Withdrawal Value is net of fees and expenses. The Protected Withdrawal Value is available through withdrawals only. It is not available as a lump sum. HD Lifetime Seven is available for an additional cost of 0.60%. Benefit charges are assessed quarterly against the Protected Withdrawal Value (adjusted for withdrawals and premiums) on the last day of the benefit quarter. Fees will be taken pro-rata across all of the subaccounts including the AST Investment Grade Bond Portfolio. Fees are in addition to the fees and charges associated with the basic annuity. Disclosure

What you need to know about the following slides The following slides present an illustration of a hypothetical $500,000 investment into a Prudential variable annuity where the investment option selected is a single asset allocation portfolio. The illustration examines a base contract with either Highest Daily Lifetime Five or Highest Daily Lifetime Seven and compares each to the same base contract without either benefit. Please note, in order to manage the income guarantee, HD Lifetime Five and HD Lifetime Seven use a predetermined mathematical formula to transfer Account Value to or from the Benefit Fixed Rate Account (for HD Lifetime Five) and the AST Investment Grade Bond Portfolio (for HD Lifetime Seven). Transfers apply to the Account Value on the contract with either HD Lifetime Five or HD Lifetime Seven, they do not apply to the contract without a benefit. Also note the contract with either HD Lifetime Five or HD Lifetime Seven reflects the 0.60% benefit fee (assessed against the average daily net assets of the variable sub- accounts for HD Lifetime Five, and 0.60% of the Protected Withdrawal Value, deducted quarterly in arrears, for HD Lifetime Seven) in addition to the fees associated with the base annuity (M&E 1.65%, and applicable portfolio charges). The contract without a benefit does not reflect this fee, instead only the fees associated with the base annuity (M&E 1.65%, and applicable portfolio charge) are reflected. It’s important to keep in mind that this example represents one purchase date, and that the experience of each client with the benefit will be different depending on when they elect the benefit and the portfolio they choose. For complete details, please see the prospectus. Read Slide for explanation of PWV and AV analysis to follow 23

What you need to know about the following slides The tables on the following slides display: The month end Protected Withdrawal Value (PWV) in dollars for contracts with HD Lifetime Five or HD Lifetime Seven. PWV is the basis for the client’s guaranteed lifetime income. The PWV grows at a compounded 5% (HD Lifetime Five) or 7% (HD Lifetime Seven) rate of return from the account’s highest day (for the first ten years or until first withdrawal if sooner), regardless of market conditions. The PWV is only available through withdrawals, not as a lump sum. For complete terms and conditions on PWV and AV, please see the prospectus. The month end AV in dollars for contracts with HD Lifetime Five or HD Lifetime Seven. The AV represents amounts in both the listed asset allocation portfolio, as well as any amount in the Benefit Fixed Rate Account (for HD Lifetime Five represented as BFRA % Allocation in the tables on the following slides) and the AST Investment Grade Bond Portfolio (for HD Lifetime Seven represented as BP % Allocation in the tables on the following slides). The month end AV in dollars for a contract without a benefit – which we will refer to as “AV Without Benefit” throughout. The AV Without Benefit does not reflect the 0.60% benefit charge, nor movements to or from either the Benefit Fixed Rate Account or the AST Investment Grade Bond Portfolio. The percentage difference between the PWV for the contract with HD Lifetime Five or HD Lifetime Seven as compared to the AV Without Benefit. The percentage difference between the Account Value for the contract with HD Lifetime Five or HD Lifetime Seven as compared to the AV Without Benefit. Please note that the BP % Allocation beginning 3/31/09 and on reflects the election of the 90% Cap Rule. This no-cost option available as of 2/23/09 on HD Lifetime Seven limits the amount the predetermined mathematical formula can transfer to the Bond Portfolio to 90%. For complete details, please see the prospectus. Read Slide for explanation of PWV and AV analysis to follow 24

HD Lifetime Five AST Preservation & Benefit Fixed Rate Account (as dictated by formula) 1/31/07 3/31/09 HD Lifetime Five PWV $501,875 $574,328 The analysis for HD Lifetime Five assumes the following: $500,000 initial purchase / no withdrawals Investment period 1/3/2007- 3/31/2009; end of month values illustrated Investment in a single asset allocation portfolio Account with HD Five: M&E 1.65%, benefit charge of 0.60%, underlying portfolio charges Benefit Fixed Rate Account annual return of 2.5% Account without benefit: M&E 1.65%, no benefit charge, and the applicable portfolio charge * For complete details on all portfolios see the Protected Withdrawal Value and Account Value analysis piece HD Lifetime Five AV $499,587 $436,360 BFRA % Allocation 0% 79% AV W/Out Benefit $499,821 $407,195 % Diff HD5 PWV Vs. AV W/Out Benefit 0.4% 41.0% % Diff HD5 AV Vs. AV W/Out Benefit 0.0% 7.2% AST Advanced Strategies & Benefit Fixed Rate Account (as dictated by formula) 1/31/07 3/31/09 HD Lifetime Five PWV $505,362 $592,456 HD Lifetime Five AV $503,745 $433,552 BFRA % Allocation 0% 90% AV W/Out Benefit $503,982 $342,988 So we have taken this information a step further to look at what a hypothetical contract with a $500,000 initial purchase payment, in this case with HD Lifetime Five, and look at what the Protected Withdrawal Value (labeled as HD Lifetime Five PWV) and the Account Value (HD Lifetime Five AV) (top 2 beige rows) would be over time as compared to the Account Value of a contract without the benefit (labeled as AV W/Out Benefit- row # 4). The final two rows tell us what the percentage difference is between the values. Let me just quickly go through the other assumptions. (Read assumptions down left hand side- time period- 1/3/07-3/31/09, fees applied, HD Lifetime Five AV includes transfers to and from the Benefit Fixed Rate Account as indicated by BFRA % Allocation). So this slide is a quick snapshot of three of the seven available portfolios with HD Lifetime Five (for the information on all portfolios, again we have the marketing piece available). The tables show the first month end 1/31/07, and the end point values which are as of 3/31/09. To be fair and balanced, the three portfolios chosen represent the portfolios with the smallest percentage difference between HD Five’s PWV & AV Vs. the AV W/Out the benefit, a portfolio where the percentage differences were mid-pack, and the portfolio with the greatest percentage differences between HD Five’s PWV & AV Vs. the AV W/Out the benefit. Now let’s take a quick walk through of the data. So what we can see with all three portfolios at the end of the first month is that there is minimal to no percentage difference or separation between HD Five’s PWV and AV Vs. the AV Without the benefit. (read circled percentages – all under 1% or 0%) We see the real difference in values when we look at the most recent data as of 3/31/09. Here we see the PWV is greater than the AV W/Out Benefit by between 110%-41%, and the account value has been protected by 7%-53%! In the case of First Trust the PWV is over 110% higher than the AV with the benefit, and transfers to and from The Benefit Fixed Rate Account, was over 53% higher than the AV W/Out the Benefit. This is clear evidence of the tremendous value Highest Daily has locked in for your clients! The story is really the same across all portfolios available with either HD Lifetime Five or Seven. We do have all of this information in a new marketing piece, that I or my internal support team will be happy to provide you with. % Diff HD5 PWV Vs. AV W/Out Benefit 0.3% 72.7% % Diff HD5 AV Vs. AV W/Out Benefit 0.0% 26.4% AST First Trust Capital Appreciation & Benefit Fixed Rate Account (as dictated by formula) 1/31/07 3/31/09 HD Lifetime Five PWV $508,325 $627,310 HD Lifetime Five AV $505,267 $455,419 BFRA % Allocation 0% 90% AV W/Out Benefit $505,504 $297,813 % Diff HD5 PWV Vs. AV W/Out Benefit 0.6% 110.6% % Diff HD5 AV Vs. AV W/Out Benefit 0.0% 52.9% 25

HD Lifetime Seven AST Preservation & Bond Portfolio (as dictated by formula) 1/31/08 3/31/09 HD Lifetime Seven PWV $502,967 $547,821 The analysis for HD Lifetime Seven assumes the following: $500,000 initial purchase / no withdrawals Investment period 1/28/2008- 3/31/2009; end of month values illustrated Investment in a single asset allocation portfolio Account with HD Seven: M&E 1.65%, benefit charge of 0.60%, underlying portfolio charges Benefit Fixed Rate Account annual return of 2.5% Account without benefit: M&E 1.65%, no benefit charge, and the applicable portfolio charge *For complete details on all portfolios see the Protected Withdrawal Value and Account Value analysis piece HD Lifetime Seven AV $502,967 $443,743 BP % Allocation 0% 59% AV W/Out Benefit $502,967 $390,623 % Diff HD7 PWV Vs. AV W/Out Benefit 0.0% 40.2% % Diff HD7 AV Vs. AV W/Out Benefit 0.0% 13.6% AST First Trust Balanced & Bond Portfolio (as dictated by formula) 1/31/08 3/31/09 HD Lifetime Seven PWV $505,803 $553,976 HD Lifetime Seven AV $505,803 $450,129 BP % Allocation 0% 58% AV W/Out Benefit $505,803 $303,292 % Diff HD7 PWV Vs. AV W/Out Benefit 0.0% 82.7% Now let’s look at HD Lifetime Seven. Again we look at what the Protected Withdrawal Value (labeled as HD Lifetime Seven PWV) and the Account Value (HD Lifetime Seven AV) (top 2 beige rows) would be over time as compared to the Account Value of a contract without the benefit (labeled as AV W/Out Benefit- row # 4). The final two rows tell us what the percentage difference is between the values. Read assumptions down left hand side- time period- 1/28/08-3/31/09, fees applied, HD Lifetime Seven’s AV includes transfers to and from the Bond Portfolio as indicated by BP % Allocation. Again, the three portfolios chosen represent the portfolios with the smallest percentage difference between HD Seven’s PWV & AV Vs. the AV W/Out the benefit, a portfolio where the percentage differences were mid-pack, and the portfolio with the greatest percentage differences between HD Seven’s PWV & AV Vs. the AV W/Out the benefit. Now let’s take a quick walk through of the data. So what we can see with all three portfolios at the end of the first month-which is really only a few business days, that is that there is no percentage difference or separation between HD Seven’s PWV and AV Vs. the AV Without the benefit. (read circled percentages – all under 1% or 0%) Again, we see the real difference in values when we look at the most recent data as of 3/31/09. Here we see the PWV is greater than the AV W/Out Benefit by between 40%-93%, and the account value has been protected by between 14%-54%! In the case of First Trust the PWV is over 93% higher and the AV with the benefit, and transfers to and from The Benefit Fixed Rate Account, was over 54% higher than the AV W/Out the Benefit. This is clear evidence of the tremendous value Highest Daily has locked in for your clients! The story is really the same across all portfolios available with either benefit. Again, we do have all of the information in a new marketing piece, that I or my internal support team will be happy to provide you with. % Diff HD7 AV Vs. AV W/Out Benefit 0.0% 48.4% AST First Trust Capital Appreciation & Bond Portfolio (as dictated by formula) 1/31/08 3/31/09 HD Lifetime Seven PWV $507,197 $559,033 HD Lifetime Seven AV $507,197 $446,603 BP% Allocation 0% 62% AV W/Out Benefit $507,197 $290,235 % Diff HD7 PWV Vs. AV W/Out Benefit 0.0% 92.6% % Diff HD7 AV Vs. AV W/Out Benefit 0.0% 53.9% 26

About the Previous Slides The Protected Withdrawal Value is only available through withdrawals, not as a lump sum. For complete terms and conditions on PWV and AV, please see the prospectus. HD Lifetime Five has an additional cost of 0.60%. Benefit charges are assessed against the average daily net assets of the variable subaccounts and as a reduction in the interest rate paid with respect to the Benefit Fixed Rate Account. HD Lifetime Seven has an additional cost of 0.60%. Benefit charges are assessed quarterly against the Protected Withdrawal Value (adjusted for withdrawals and premiums) on the last day of the benefit quarter. Fees will be taken pro-rata across all of the subaccounts including the AST Investment Grade Bond Portfolio. Benefit charges are in addition to the fees and charges associated with the basic annuity. All percentages illustrated are rounded to the nearest decimal place. Read Slide For the most recent standardized performance on all of our asset allocation portfolios, please call the National Sales Desk at 1-800-513-0805. 27

Optional Module #2 The Arithmetic of Loss Slides [29-33] Remember, Module #2 does not relate to a specific product, but is merely the presentation of a mathematical concept. Note to the Presenter: Please distribute The Arithmetic of Loss piece (IFS-A158332) when presenting this module. Please hide this slide when presenting. If presenting, please use all of the slides in this module. 28

New Marketing Piece! The Reality of Market Declines Let’s take a look at a client, age 55, who has $200,000 in her retirement portfolio. Her goal is to double the value of her retirement portfolio in 10 years, and then draw income to live off in retirement. The Reality of Market Declines is a new marketing piece that demonstrates how market volatility can erode your client’s retirement portfolio, and shows the portfolio appreciation that is needed to help her reach her retirement goals. In this piece, we use following example to frame the discussion: A client, age 55, who has $200,000 in her retirement portfolio. Her goal is to double the value of her retirement portfolio in 10 years, and then draw income to live off in retirement. 29

The Reality of Market Declines… Getting Back to Even If the loss is… Approximate total return needed over time to get back to the initial investment -10% 11.11% -15% 17.65% -20% 25.00% -25% 33.33% -30% 42.86% -35% 53.85% -40% 66.67% -45% 81.82% -50% 100.00% In the first year, she unfortunately experiences tremendous market volatility. Her portfolio loses 30% of its value, dropping to $140,000. In order to return her retirement portfolio back to its original value of $200,000, her $140,000 portfolio would have to appreciate by about 43%. Let’s begin our discussion by assuming the client experiences tremendous market volatility. Her portfolio loses 30% of its value, dropping to $140,000. What is the approximate total return needed just for her portfolio to get back to even? In order to return her retirement portfolio back to its original value of $200,000, her $140,000 portfolio would have to appreciate by about 43%. The chart illustrates the approximate percentage a portfolio would need to return over time to get back to the initial investment after experiencing a loss. 30

The Reality of Market Declines… Meeting the Original Goal If the first year loss is… Approximate total return needed to double initial investment in nine years Compounded average annual return needed to double initial investment in nine years -10% 122.22% 9.28% -15% 135.29% 9.97% -20% 150.00% 10.72% -25% 166.67% 11.51% -30% 185.71% 12.37% -35% 207.69% 13.30% -40% 233.33% 14.31% -45% 263.64% 15.42% -50% 300.00% 16.65% But remember, this client’s original goal was to double her retirement portfolio to $400,000 and then draw income from it. What type of return would she need to experience in the remaining nine years in order to achieve that goal? To reach $400,000 after 10 years, her $140,000 portfolio would need to return about 186% (which equates to a compound annual return of approximately 12%) over the next nine years. She needs approximately a 43% return just to get back to even! But remember, the client’s original goal was to double her retirement portfolio to $400,000 and then draw income from it. What type of return would she need to experience in the remaining nine years in order to achieve that goal? To reach $400,000 after 10 years, her $140,000 portfolio would need to return about 186% (which equates to a compound annual return of approximately 12%) over the next nine years. The chart illustrates the approximate percentage a portfolio would need to return to double the initial investment in nine years. 31

The Reality of Market Declines… Number of Years Needed to Break Even If the first year loss is… The number of years needed to break even, given a set rate of return 5% 6% 7% 8% 9% 10% -10% 2.16 1.81 1.56 1.37 1.22 1.11 -15% 3.33 2.79 2.40 2.11 1.89 1.71 -20% 4.57 3.83 3.30 2.90 2.59 2.34 -25% 5.90 4.94 4.25 3.74 3.34 3.02 -30% 7.31 6.12 5.27 4.63 4.14 -35% 8.83 7.39 6.37 5.60 5.00 4.52 -40% 10.47 8.77 7.55 6.64 5.93 5.36 -45% 12.25 10.26 8.84 7.77 6.94 6.27 -50% 14.21 11.90 10.25 9.01 8.04 7.27 Put another way, in order for the client’s $140,000 to get back to $200,000, it would need to earn 5% per year for more than 7 years. Even if her account earned 10% per year, it would still take almost 4 years for her to break even. 32

Information About the Previous Charts The charts include the following assumptions: (i) All percentages and years are rounded to two decimal places (ii) No fees or limitations of any product or investment options have been factored in. If fees were included, the returns needed to get back to the initial investment and the returns needed to double the initial investment in nine years that are illustrated in the charts above would be higher. Source: Prudential, 2008.

Spousal HD Lifetime 6 Plus Optional Module #3 HD Lifetime 6 Plus & Spousal HD Lifetime 6 Plus This is the new HD & Spousal HD Lifetime 6 Plus module. Please hide this slide when presenting. If presenting, please use all of the slides in this module. Slides 38-40 are optional slides. Please read the instructions at the top of each slide before presenting. If your client chooses not to present any or all of them, please remember to hide them. Slides [35-43]

HD Lifetime 6 Plus… Capture The Highest Daily Value Every Day Counts Guaranteed lifetime income is based on 6% compounded growth of the annuity’s highest daily value until the first Lifetime Withdrawal Minimum Income Guarantees Guaranteed lifetime income, provided no withdrawals are taken, is based on: After 10 years = 200% of the account value at benefit election After 20 years = 400% of the account value at benefit election A variable annuity with HD Lifetime 6 Plus or Spousal HD Lifetime 6 Plus locks in growth for retirement income purposes, by capturing the highest daily value. The basis for lifetime income (Protected Withdrawal Value) will be the greater of: (read and explain bullets one and two) Highest Daily Value – the highest value determined by comparing every daily account value growing at an annual 6% compounded rate of return Minimum Income Guarantees – Based on at least 200% or 400% of the account value at the time of benefit election, assuming no Lifetime Withdrawals from benefit election for the first 10 and 20 years, respectively Example: If an investor purchases an annuity with $100,000; In year 10, the minimum guarantee for determining lifetime income would be $200,000 and in year 20, $400,000, assuming no lifetime withdrawals in the previous years. Any additional purchase payments will be added to the minimum income guarantees in these amounts: 200% and 400% of all purchase payments (and any purchase credits) made within 12 months after benefit election on the 10th and 20th anniversaries, respectively; 100% of purchase payments (and any purchase credits) made more than 12 months after benefit election. Lifetime Withdrawals refer to any withdrawals taken once your client begins annual income under the benefits. The Protected Withdrawal Value (the basis for lifetime income) is used to calculate the Annual Income Amount and is not available as a lump sum. Withdrawals of taxable amounts will be subject to ordinary income tax, and if taken prior to age 59½, may be subject to a 10% federal income tax penalty. Minimum guarantees are for income purposes only and assume no Lifetime Withdrawals from benefit election.

Here’s How It Works: Account Value HD Lifetime 6 Plus will lock in the highest daily account value and grow it at 6% until the first Lifetime Withdrawal. Your client also has minimum guarantees! Let’s say the initial purchase payment is $100,000: Their minimum basis for lifetime income will be: After years: 200% = $200,000 400% = $400,000 10 20 This line represents the basis for lifetime income which your client can begin drawing from at any time. Your client purchases an annuity from Prudential Financial companies with HD Lifetime 6 Plus Account Value Your client purchases a variable annuity (click to reveal the text and the original account value dot) and elects the optional HD Lifetime 6 Plus or Spousal HD Lifetime 6 Plus benefit, for an additional fee of 0.85% for the single version or 0.95% for the spousal version. (Click to reveal the HD Lifetime 6 Plus or Spousal HD Lifetime 6 Plus highest daily value growth line) The annuity reaches its highest daily value during the 12th annuity year (click). This value then grows at an annual compounded 6% rate, becoming the basis for lifetime income on the day your client takes their first lifetime withdrawal. Your client’s guaranteed annual lifetime income is based on the annuity’s highest daily value growing at a 6% compounded rate of return HD Lifetime 6 Plus and Spousal HD Lifetime 6 Plus offers two different levels of protection for investors, who wait before taking withdrawals (Click to reveal call out box to the right): A guaranteed minimum lifetime income based on at least: 200% of the account value on benefit election on the 10th anniversary 400% of the account value on benefit election on the 20th anniversary Minimum guarantees are for income purposes only and assume no Lifetime Withdrawals from benefit election YEARS 5 10 15 20 This is a hypothetical example for illustrative purposes only. It does not reflect a specific annuity or the performance of any investment. Guarantees, including optional benefits, are backed by the claims-paying ability of the issuing company and do not apply to the underlying investment options. Please note, benefits may not be available in all states.

Managing Your Client’s Guarantees Predetermined mathematical formula helps manage the guarantee Formula transfers account value into or out of the Bond Portfolio, based on a number of factors At any time, some, most, or none of the account value may be allocated to the Bond Portfolio If additional payments are made, the formula may/may not transfer account value out of the Bond Portfolio Amounts in the Bond Portfolio will affect the ability to participate in a subsequent recovery Conversely, the account value may be higher at the beginning of the recovery Highest Daily Lifetime 6 Plus and Spousal Highest Daily Lifetime 6 Plus use a predetermined mathematical formula to help manage your clients’ guarantee through all market cycles. Each business day, the formula determines if any portion of the account value needs to be transferred into or out of the AST Investment Grade Bond Portfolio (the "Bond Portfolio"). Amounts transferred by the formula depend on a number of factors unique to your client’s individual annuity and include: The difference between the account value and the Protected Withdrawal Value; How long your client has owned Highest Daily Lifetime 6 Plus or Spousal Highest Daily Lifetime 6 Plus; The amount invested in, and the performance of, the permitted subaccounts; The amount invested in, and the performance of, the Bond Portfolio; and The impact of additional purchase payments made to and withdrawals taken from the annuity.   Therefore, at any given time, some, most, or none of the account value may be allocated to the Bond Portfolio. Transfers to and from the Bond Portfolio do not impact any income guarantees that have already been locked in. The Protected Withdrawal Value (the basis for guaranteed lifetime income) is separate from the account value, and only available through withdrawals, not as a lump sum. Any amounts invested in the Bond Portfolio will affect your clients’ ability to participate in a subsequent recovery within the permitted subaccounts. Conversely, the account value may be higher at the beginning of the recovery; e.g., more of the account value may have been protected from decline and volatility than it otherwise would have been had the benefit not been elected. Please note: Your client may not allocate purchase payments or transfer account value into or out of the Bond Portfolio. See the prospectus for complete details.

AST Investment Grade Bond Portfolio Multi-sector fixed income portfolio, which is positioned to help meet liquidity needs for potentially heavy inflows and outflows Invests in a diversified portfolio of high-quality bonds and other securities and instruments Average credit quality rating will be maintained at A- or above. Duration will be maintained within +/- 0.50 years versus the benchmark index Investment strategy allows full access to most fixed income security types and derivatives 1.96% Cash & Equivalents 18.40% Treasuries 23.46% Agencies 6.51% Mortgages 35.33% Corporates 9.81% Commercial Mortgages 4.53% Asset Backed & Other Optional Slide (if not using, please hide) The AST Investment Grade Bond Portfolio is not available as an individual investment option for any variable annuity from Prudential companies. Only with the selection of our HD Lifetime 6 Plus or Spousal HD Lifetime 6 Plus optional benefits can a portion of a client’s account value be transferred into and out of this portfolio. Key Portfolio Guidelines This is a multi-sector fixed income portfolio and is positioned to help accommodate liquidity needs for potentially heavy inflows and outflows. The portfolio invests in a diversified portfolio of high-quality bonds and other securities and instruments. Average credit quality rating will be maintained at A- or above. As of 03/31/2009, the average quality rating is AA*. The duration will be maintained within +/- 0.50 years versus the benchmark index. As of 03/31/2009, the duration is 5.97 years. The investment strategy allows full access to most fixed income security types and derivatives. This portfolio is managed by Prudential Investment Management, Inc. (PIM). PIM is an indirect, wholly owned subsidiary of Prudential Financial, Inc. Benchmark: The Barclays Captital U.S. Government/Credit (5-10 Year) Index *Source: Standard & Poor's Ratings Service (Includes market value of derivative positions) Portfolio composition is as of 3/31/2009 and can change without notice at any time in response to market conditions

When might the FIRST move to the AST Investment Grade Bond Portfolio occur? ASSUMING NO PREVIOUS LIFETIME WITHDRAWALS PROTECTED WITHDRAWAL VALUE 58% 46% 33% 20% 10% 7% ACCOUNT VALUE Optional Slide. Please use in conjunction with slide 10 (if not using, please hide both slides) The primary trigger of the initial movement to the AST Investment Grade Bond Portfolio is the gap, or difference, between the customer’s Protected Withdrawal Value and the annuity’s account value. The percentages on the chart represent the maximum allowable gap before a transfer of account value to the AST Investment Grade Bond Portfolio occurs. Day 1 1 year 5 years 10 years 15 years 20 years

What kind of performance is needed for a transfer out of the AST Investment Grade Bond Portfolio? If the AST Investment Grade Bond Portfolio return is flat, it would take approximately a 3% increase in the value of the selected investment options over the first few days following a transfer for money to transfer out of the bond portfolio. As time passes and the income guarantee grows, it would take a greater increase in total account value to trigger a transfer out of the bond portfolio. Optional Slide. Please use in conjunction with slide 9 (if not using, please hide both slides) So, once a customer’s account value transfers into the AST Investment Grade Bond Portfolio, what will it take, in terms of account value performance, for that money to begin moving out? (Read & Explain Slide) Example: If no transfers occur for six months, it could take up to a 5% increase in the total account value from the date of the last transfer to trigger a transfer out of the bond portfolio.

Potential For Greater Income And Additional Flexibility Post withdrawal step-ups based on the annuity’s highest daily value Opportunity to take one Non-Lifetime Withdrawal that will not interrupt the daily lock-in feature and 6% compounded growth Spousal HD Lifetime 6 Plus: Withdrawals continue uninterrupted to the surviving spouse upon death of the first spouse, even if the account value has been depleted The ability to cancel HD or Spousal HD Lifetime 6 Plus at any time. The benefit fee is pro-rated upon cancellation and is not charged going forward HD Lifetime 6 Plus and Spousal HD Lifetime 6 Plus offer features that provide a competitive advantage over similar products offered by our competitors. (Read bullets and explain features) Potential for highest daily value step-ups after Lifetime Withdrawals begin Flexibility to take one Non-Lifetime Withdrawal without interrupting the daily lock-in feature or the 6% compounded growth Non-Lifetime Withdrawal: a feature that allows for a one time withdrawal to be taken from an annuity with HD & Spousal HD Lifetime 6 Plus, without stopping the daily step-ups and 6% compounded growth Will proportionally reduce the Protected Withdrawal Value as well as the 200% and 400% minimum income guarantees. At the time of the withdrawal, your client must specify the withdrawal is intended to be a Non-Lifetime Withdrawal The ability to cancel and re-elect the benefits at any time. Your client may cancel any of the benefits at any time. After cancellation, the client will no longer be charged for the benefit. If cancelled, the benefit may be re-elected on any day beginning with the following business day (provided investment allocation requirements are in good order). May vary by broker/dealer. Please note that any and all guarantees are lost upon cancellation. A Non-Lifetime Withdrawal will proportionally reduce the Protected Withdrawal Value as well as the 200% and 400% guarantees. At the time of the withdrawal, your client must specify the withdrawal is intended to be a Non-Lifetime Withdrawal.

When Income Begins HD Lifetime 6 Plus Spousal HD Lifetime 6 Plus Annuitant’s age at first Lifetime Withdrawal Income Percentage 45-less than 59½ 4% 59½-79 5% 80+ 6% Spousal HD Lifetime 6 Plus Age of the younger spouse at first Lifetime Withdrawal Income Percentage 50-64 4% 65-84 5% 85+ 6% What are the advantages with HD Lifetime 6 Plus & Spousal HD Lifetime 6 Plus when your client begins taking withdrawals? Your client will receive a stable, predictable guaranteed lifetime income payments of up to 6%, depending on his/her age at the first Lifetime Withdrawal Please keep in mind that any withdrawals taken prior to age 59½ may be subject to a 10% penalty. Please consult with a tax advisor. (Read and Explain chart) Withdrawals or surrenders may be subject to contingent deferred sales charges (CDSC). Withdrawals and distributions of taxable amounts are subject to ordinary income tax and, if made prior to age 59½, may be subject to an additional 10% federal income tax penalty. Withdrawals, for tax purposes, are deemed to be gains out first. Withdrawals reduce the living benefit, death benefit and account value.

Annual Benefit Charge* HD & Spousal HD Lifetime 6 Plus… At a Glance Optional Benefit Annual Benefit Charge* Minimum Issue Age Maximum Issue Age Investment Options** HD Lifetime 6 Plus 0.85% 45 (annuitant) May vary by state or broker/dealer Invest in a range of asset allocation options spanning four diverse investment strategies, or create a portfolio from individual investment options Spousal HD Lifetime 6 Plus 0.95% 50/55 (younger spouse/ older spouse) Let’s look at the specs (Read Slide). * Annual benefit charges are assessed quarterly against the greater of the account value and the Protected Withdrawal Value (adjusted for withdrawals and premiums). Fees will be taken pro-rata across all subaccounts. Please note that, upon step-up, after income begins, the fees may be higher. See the prospectus for complete details. ** When creating a portfolio, certain subaccount limitations may apply and your client will need to maintain a minimum 20% allocation to one or more of the eligible bond subaccounts. For a list of available asset allocation portfolios and subaccounts, please refer to the prospectus. Asset allocation does not ensure a profit or protect against loss. Certain asset allocation portfolios may not be available with optional benefits.

Spousal HD Lifetime 7 Plus Optional Module #4 HD Lifetime 7 Plus & Spousal HD Lifetime 7 Plus This is the new HD & Spousal HD Lifetime 7 Plus module. Please hide this slide when presenting. If presenting, please use all of the slides in this module. [Slide 52], the AST Investment Grade Bond Portfolio slide ,[Slides 58 & 59], Dollar Cost Averaging slides are optional. If you choose not to use them, please hide them. Slides [45-59]

HD Lifetime 7 Plus… Growth Opportunities Guaranteed lifetime income is based on 7% compounded growth of the annuity’s highest daily value until first Lifetime Withdrawal* Let’s look at how HD & Spousal HD Lifetime 7 Plus lock in growth for retirement income purposes… (Read Slide) Emphasize 7% compounded growth until first Lifetime Withdrawal*. The basis for lifetime income is only available through withdrawals. It is not available as a lump sum. For the Beneficiary Income Option versions of Highest Daily Lifetime 7 Plus and Spousal Highest Daily Lifetime 7 Plus, the 7% compounded growth on the annuity’s highest daily value will continue to the earlier of the first Lifetime Withdrawal or the 10th benefit anniversary.

HD Lifetime 7 Plus… Minimum Income Guarantees Guaranteed lifetime income based on 200%, 400%* or 600%* of the account value at the time of benefit election, provided no lifetime withdrawals are taken in the first 10, 20 and 25 years respectively Purchase payments will be protected with a Return of Principal Guarantee (Read Slide) Minimum Guarantees provide your Customer with an added level of downside protection for income. Example: If an investor purchases an annuity with $100,000, in year 10 the minimum guarantee would be $200,000, in year 20, $400,000 and in year 25 $600,000. Assuming no lifetime withdrawals in the previous years. (emphasize 400% and 600%) Any additional purchase payments will be added to the minimum income guarantees in these amounts: 200%, 400%and 600% of all purchase payments (and any purchase credits) made within 12 months after benefit election on the 10th, 20th and 25th anniversaries, respectively; 100% of purchase payments (and any purchase credits) made more than 12 months after benefit election. The Return of Principal Guarantee provides your client with an added level of protection. If upon the 10th benefit anniversary your client has not taken any lifetime withdrawals and the current account value is less than the Principal Value, we will credit the difference directly into the annuity’s account value. The Principal Value is defined as the account value on the date of benefit election plus any additional purchase payments and applicable credits received within one year from benefit election Example: An investor purchases an annuity today for $100,000. No withdrawals are taken, but after 10 years the account value has fallen to $95,000. On the 10th benefit anniversary, $5,000 will be credited to his/her annuity. Any such additional amount will not increase their Protected Withdrawal Value, death benefit, or the amount of any other optional benefit that he/she may have selected. The basis for lifetime income is only available through withdrawals. It is not available as a lump sum. * The 400% and 600% minimum guarantees do not apply to the Beneficiary Income Option.

HD Lifetime 7 Plus… Availability! Minimum Issue Ages HD Lifetime 7 Plus: 45 (annuitant) Spousal HD Lifetime 7 Plus: 50 (younger spouse) 55 (older spouse) (Read Slide)

Greater Income Potential Your clients have opportunities to increase their lifetime income, after withdrawals begin Receive lifetime income of up to 8%, depending on his/her age at first Lifetime Withdrawal (Read Slide) Once Lifetime Withdrawals begin, automatic step-ups are based on the highest daily account value The basis for lifetime income is only available through withdrawals. It is not available as a lump sum.

Income Flexibility Non-Lifetime Withdrawal* – a new feature that allows for a one time withdrawal to be taken from an annuity with HD Lifetime 7 Plus and Spousal HD Lifetime 7 Plus, without stopping the daily step-ups and 7% compounded growth HD Lifetime 7 Plus and Spousal HD Lifetime 7 Plus allow your client to take one Non-Lifetime Withdrawal, as long as it does not exceed the amount required to keep the annuity in force. The Non-Lifetime Withdrawal will not lock in the Annual Income Amount, therefore the daily step-ups and guaranteed 7% growth will continue uninterrupted. The Non-Lifetime Withdrawal will proportionally reduce the 10, 20 and 25 year minimum guarantees, the current Protected Withdrawal Value and the Return of Principal Guarantee. At the time of withdrawal it must be specified the withdrawal is intended to be a Non-Lifetime Withdrawal. Now let’s look at HD Lifetime 7 Plus & Spousal HD Lifetime 7 Plus in action. * The Non-Lifetime Withdrawal will proportionally reduce the 10, 20 and 25 year minimum guarantees, the current Protected Withdrawal Value and the Return of Principal Guarantee. At the time of withdrawal it must be specified the withdrawal is intended to be a Non-Lifetime Withdrawal.

Here’s How It Works: HD Lifetime 7 Plus will lock in the highest daily account value and grow it at 7% until the first Lifetime Withdrawal. This line represents the basis for lifetime income, which your client can begin drawing from at any time! Your client also has minimum guarantees! Let’s say your client’s initial purchase payment is $100,000: Their minimum basis for lifetime income will be: After years: 200% = $200,000 400% = $400,000 After years: 600% = $600,000 Also: Return of Principal Guarantee = $100,000 10 20 25 Your client reaches their highest daily account value Your client purchases a Prudential annuity with HD Lifetime 7 Plus (click to start) Your client purchases a variable annuity and elects the optional HD Lifetime 7 Plus or Spousal HD Lifetime 7 Plus benefit, for an additional fee of 0.75% for the single version or 0.90% for the spousal version. The annuity reaches its highest daily value during the 15th annuity year. This value then grows at an annual compounded 7% rate, becoming the basis for lifetime income on the day your client takes their first lifetime withdrawal. Your clients’ guaranteed annual lifetime income is based on the annuity’s highest daily value growing at a 7% compounded rate of return HD Lifetime 7 Plus and Spousal HD Lifetime 7 Plus offers two different levels of protection for investors, who wait before taking withdrawals: A guaranteed minimum lifetime income based on at least: (click to show minimum guarantees) 200% of the account value on benefit election in year 10 400% of the account value on benefit election in year 20 600% of the account value on benefit election in year 25 or A Return of Principal Guarantee in year 10. Assuming no lifetime withdrawals were taken previously and the current account value is less than the principal value* we will credit the difference into your clients' annuity. * The Principal Value is defined as the account value on the date of benefit election plus any additional purchase payments and applicable credits received within one year from benefit election. The Return of Principal Guarantee is not available in the state of Washington. YEARS 5 10 15 20 25 This is a hypothetical example for illustrative purposes only. It does not reflect a specific annuity or the performance of any investment. Guarantees including optional benefits are backed by the claims-paying ability of the issuing company and do not apply to the underlying investment options. Please note, benefits may not be available in all states.

Managing Your Clients’ Guarantees Predetermined mathematical formula helps manage the guarantee Formula transfers AV into or out of Bond Portfolio, based on a number of factors At any time, some, most, or none of the AV may be allocated to the Bond Portfolio If additional payments are made, formula may/may not transfer AV out of Bond Portfolio Amounts in Bond Portfolio will affect the ability to participate in a subsequent recovery Conversely, AV may be higher at the beginning of the recovery Highest Daily Lifetime 7 Plus and Spousal Highest Daily Lifetime 7 Plus use a predetermined mathematical formula to help manage the guarantee through all market cycles. Each business day, the formula determines if any portion of the account value needs to be transferred into or out of the AST Investment Grade Bond Portfolio (the "Bond Portfolio"). Amounts transferred by the formula depend on a number of factors unique to your client’s individual annuity and include: (i) The difference between the account value and the Protected Withdrawal Value; (ii) How long your client has owned Highest Daily Lifetime 7 Plus or Spousal Highest Daily Lifetime 7 Plus; (iii) The amount invested in, and the performance of, the Permitted Subaccounts; (iv) The amount invested in, and the performance of, the Bond Portfolio; and (v) The impact of additional purchase payments made to and withdrawals taken from the annuity. Therefore, at any given time, some, most, or none of the account value may be allocated to the Bond Portfolio. Transfers to and from the Bond Portfolio do not impact any income guarantees that have already been locked-in. The Protected Withdrawal Value (the basis for guaranteed lifetime income) is separate from the account value, and only available through withdrawals, not as a lump sum. Any amounts invested in the Bond Portfolio will affect your client’s ability to participate in a subsequent recovery within the Permitted Subaccounts. Conversely, the account value may be higher at the beginning of the recovery, e.g. more of the account value may have been protected from decline and volatility than it otherwise would have been had the benefit not been elected. Please see the prospectus for complete details. Taxes, both federal and state, are not included. Withdrawals of taxable amounts will be subject to ordinary income tax, and if taken prior to age 59 ½, may be subject to a 10% federal income tax penalty.

AST Investment Grade Bond Portfolio Multi-sector fixed income portfolio, which is positioned to help meet liquidity needs for potentially heavy inflows and outflows Invests in a diversified portfolio of high-quality bonds and other securities and instruments Average credit quality rating will be maintained at A- or above. Duration will be maintained within +/- 0.50 years versus the benchmark index Investment strategy allows full access to most fixed income security types and derivatives 5.60% Cash & Equivalents 15.20% Treasuries 20.50% Agencies 15.60% Mortgages 26.90% Corporates 11.70% Commercial Mortgages 4.50% Asset Backed & Other Optional Slide (if not using, please hide) The AST Investment Grade Bond Portfolio is not available as an individual investment option for any variable annuity from Prudential companies. Only with the selection of our Highest Daily and Spousal Highest Daily Lifetime Seven, Highest Daily and Spousal Highest Daily Lifetime 7 Plus optional benefits can a portion of a client’s account value be transferred in and out of this portfolio. This portfolio is managed by Prudential Investment Management, Inc. (PIM). PIM is an indirect, wholly owned subsidiary of Prudential Financial, Inc. Benchmark: The Barclays Capital U.S. Government/Credit 5-10 Year Index (Includes market value of derivative positions) Allocations are as of 12/31/2008

ASSUMING NO PREVIOUS LIFETIME WITHDRAWALS PROTECTED WITHDRAWAL VALUE When might the FIRST move to the AST Investment Grade Bond Portfolio occur? ASSUMING NO PREVIOUS LIFETIME WITHDRAWALS PROTECTED WITHDRAWAL VALUE 68% 58% 46% 33% 20% 10% 7% ACCOUNT VALUE The primary trigger of the initial movement to the AST Investment Grade Bond Portfolio is the gap, or difference, between the customer’s Protected Withdrawal Value and the annuity’s account value. The percentages on the chart represent the maximum allowable gap before a transfer of account value to the AST Investment Grade Bond Portfolio occurs. Day 1 1 year 5 years 10 years 15 years 20 years 25 years

What kind of performance is needed for a transfer out of the AST Investment Grade Bond Portfolio? If the AST Investment Grade Bond Portfolio return is flat, it would take approximately a 3% increase in the value of the selected investment options over the first few days following a transfer for money to transfer out of the bond portfolio. As time passes and the income guarantee grows, it would take a greater increase in total account value to trigger a transfer out of the bond portfolio. So, once a customer’s account value transfers into the AST Investment Grade Bond Portfolio, what will it take, in terms of account value performance, for that money to begin moving out? (Read & Explain Slide) Example: If no transfers occur for six months, it could take up to a 5% increase in the total account value from the date of the last transfer to trigger a transfer out of the bond portfolio.

At First Withdrawal Depending upon age, guaranteed lifetime income payments range from 4% to 8% of the Protected Withdrawal Value HD Lifetime 7 Plus Annuitant’s age at first Lifetime Withdrawal Income Percentage 45- 59½ 4% 59½* -74 5% 75-79 6% 80-84 7% 85+ 8% Spousal HD Lifetime 7 Plus Age of younger spouse at first Lifetime Withdrawal Income Percentage 50-59½ 4% 59½*-79 5% 80-84 6% 85-89 7% 90+ 8% What are the advantages with HD & Spousal HD Lifetime 7 Plus when your client begins taking withdrawals? Your client will receive a stable, predictable guaranteed lifetime income ranging from 4% to 8% of the Protected Withdrawal Value, depending upon their age at first withdrawal. Please keep in mind that any withdrawals taken prior to age 59½ may be subject to a 10% penalty. Please consult with your tax advisor. (Read and Explain chart) * If the annuitant or younger spouse, as applicable, is exactly 59 ½ they will receive the 5% income percentage.

At a Glance Optional Benefit Total Annual Cost* Minimum Issue Age Maximum Issue Age HD Lifetime 7 Plus 0.75% 45 (annuitant) Subject to the annuity product chosen and may vary by broker/dealer Spousal HD Lifetime 7 Plus 0.90% 55/50 (older spouse/ younger spouse) Let’s look at the specs (Read Slide). * Benefit charges are assessed quarterly against the greater of the account value and the Protected Withdrawal Value (adjusted for withdrawals and premiums). Fees will be taken pro-rata across all subaccounts, including the AST Investment Grade Bond Portfolio, if applicable. Please note that, upon step-up, the fees may be different. See the prospectus for more details.

At a Glance Election Options Investment Options HD Lifetime 7 Plus or Spousal HD Lifetime 7 Plus can be elected or cancelled at any time Investment Options Invest in a wide variety of investment options, managed by some of the world’s most respected portfolio managers Flexibility and Control Income is based on withdrawals, not annuitization* Let’s look at the specs. (Read Slide). * While annuitization is not required to receive income under these benefits, there is a maximum date by which annuity payments must begin under the terms of the annuity.

Dollar Cost Averaging Simple and powerful investment strategy Ease your clients into the market Help your clients come off the sidelines Help lower average purchase price over time (Optional Slide, hide if not using) Help your clients regain the confidence to ease back into the markets with a simple and powerful long-term investment strategy. A Dollar Cost Averaging program can help your clients come off the sidelines and lower their average purchase price over time. (Read Bullets)

Dollar Cost Averaging At A Glance… Now available with HD Lifetime 7 Plus suite of benefits* Available in 6 or 12 month durations No additional cost Minimum of $2,000 to participate (Optional Slide, hide if not using) (Read Bullets) The Dollar Cost Averaging program is available in 6 or 12 month durations (cannot own both at the same time) Minimum purchase payment of $2,000 to begin the program. Available on both Advanced Series and Prudential Premier product lines Available with our Highest Daily Lifetime 7 Plus suite of living benefits including Highest Daily Lifetime 7 Plus with LIA and BIO and Spousal Highest Daily Lifetime 7 Plus with LIA and BIO Also available with Highest Anniversary death benefit and the Combination 5% and HAV death benefit The 6 or 12 Month Dollar Cost Averaging program, available for use with the HD Lifetime 7 Plus suite of benefits provides your clients the opportunity to ease into their variable sub-accounts. This optional program, available at no additional cost, systematically transfers Account Value on a monthly basis from either a 6 or 12 month DCA Fixed Rate Option to your client’s chosen variable sub-accounts. It’s important to note that when electing the program, money could be transferred out of the DCA Fixed Rate Option and into the AST Investment Grade Bond Portfolio, if dictated by the predetermined mathematical formula employed under the HD Lifetime 7 Plus suite of benefits. This reduces the amount of Account Value earning a fixed rate of return, and the dollar amount of remaining program transfers. Please note; the effective rate of return will be reduced as the fixed rate of interest we credit your client’s Account Value is applied to a declining balance due to the transfers of Account Value to the Sub-accounts, including any transfers under an optional benefit formula, withdrawals and benefit fees. Dollar cost averaging does not assure a profit, or protect against a loss. The program may not be available in all states and/or broker dealers, please see the prospectus or call our National Sales desk at 800-513-0805. *Available for contracts issued on or after May 1, 2009 (subject to state approval)

Spousal HD Lifetime SevenSM Optional Module #5 HD Lifetime SevenSM & Spousal HD Lifetime SevenSM Slides [61-73] This module is the HD7 & Spousal HD7 module. Please present this module if HD & Spousal HD Lifetime 6 Plus or HD & Spousal HD Lifetime 7 Plus have not been approved in the state you are presenting in. Please note that slide 67, the AST Investment Grade Bond Portfolio slide, is optional. Please hide it if you are not going to use it. Once you make your decision, all of the slides in this module must be used.

Capture the Highest Daily Value for up to 10 years Potential To Lock In Growth, Every Day Capture the Highest Daily Value for up to 10 years Guaranteed lifetime income is based on 7% compounded growth of the annuity’s highest daily value Let’s look at how HD & Spousal HD Lifetime Seven lock in growth for retirement income purposes…(Read Slide) The basis for lifetime income is only available through withdrawals. It is not available as a lump sum.

Minimum Guarantees if income begins after 10 years Secure Income, Regardless of Market Conditions Minimum Guarantees if income begins after 10 years Guaranteed lifetime income is based on at least double the account value at the time of benefit election, provided no withdrawals are taken (Read Slide) The Return of Principal Guarantee provides your client with an added level of protection. If upon the 10th benefit anniversary the client has not taken any withdrawals and the current account value is less than the Principal Value, we will credit the difference directly into the annuity’s account value. The Principal Value is defined as the account value on the date of benefit election plus any additional purchase payments and applicable credits received within one year from benefit election Example: An investor purchases an annuity today for $100,000. No withdrawals are taken, but after 10 years the account value has fallen to $95,000. On the 10th benefit anniversary, $5,000 will be credited to his/her annuity. Any such additional amount will not increase their Protected Withdrawal Value, death benefit, or the amount of any other optional benefit that he/she may have selected. Purchase payments will be protected with a Return of Principal Guarantee The basis for lifetime income is only available through withdrawals. It is not available as a lump sum.

Opportunities to increase lifetime income after withdrawals begin Greater Income Potential Opportunities to increase lifetime income after withdrawals begin Your client can receive lifetime income of up to 8%, depending on his/her age at first withdrawal (Read Slide) Now let’s look at HD & Spousal HD Lifetime Seven in action. Once withdrawals begin, automatic annual step-ups are based on the highest quarterly account value The basis for lifetime income is only available through withdrawals. It is not available as a lump sum.

HD Lifetime Seven Case Study 7% ANNUAL COMPOUNDED GROWTH ON THE DAILY ACCOUNT VALUE A GUARANTEED ANNUAL LIFETIME INCOME BEGINS MINIMUM BASIS FOR LIFETIME INCOME B ACCOUNT VALUE AVERAGE ANNUAL RETURN INITIAL PURCHASE PAYMENT RETURN OF PRINCIPAL GUARANTEE C Optional – AS & PRU Conceptual HD Lifetime Seven Chart Jim, age 55, purchases a variable annuity and elects the optional HD Lifetime Seven benefit, for an additional fee of 0.60%, and plans to begin taking income after ten years. Jim’s annuity reaches its highest daily value during the fourth annuity year. This value then grows at an annual compounded 7% rate, becoming the basis for Jim’s lifetime income on the day he takes his first withdrawal. Jim’s guaranteed annual lifetime income is based on his Highest Daily Value grown at 7% (A). HD Lifetime Seven offers two different levels of protection for investors, like Jim, who wait 10 years before taking withdrawals: A guaranteed minimum lifetime income based on at least double the account value on benefit election (B) A Return of Principal Guarantee (C) YEARS 1 2 3 4 5 6 7 8 9 10 This is a hypothetical example for illustrative purposes only. It does not reflect a specific annuity or the performance of any investment. The Protected Withdrawal Value is available through withdrawals only; it is not available as a lump sum. Guarantees including optional benefits are backed by the claims-paying ability of the issuing company and do not apply to the underlying investment options. Please note, benefits may not be available in all states. The Return of Principal Guarantee is not available in the state of Washington.

Spousal HD Lifetime Seven Case Study 7% ANNUAL COMPOUNDED GROWTH ON THE DAILY ACCOUNT VALUE A GUARANTEED ANNUAL LIFETIME INCOME FOR BOTH SPOUSES BEGINS MINIMUM BASIS FOR LIFETIME INCOME B ACCOUNT VALUE INITIAL PURCHASE PAYMENT AVERAGE ANNUAL RETURN RETURN OF PRINCIPAL GUARANTEE C Optional – AS & PRU Conceptual Spousal HD Lifetime Seven Chart Ann and Vincent, a married couple, both age 62, purchase a variable annuity with the optional Spousal HD Lifetime Seven benefit, for an additional fee of 0.75%. The couple plans to begin taking withdrawals after 10 years, to help supplement their income in retirement. Ann and Vincent’s guaranteed annual lifetime income is based on their Highest Daily Value grown at 7% (A). Spousal HD Lifetime Seven offers two different levels of protection for investors, like Ann and Vincent, who wait 10 years before taking withdrawals: A guaranteed minimum lifetime income based on at least double the account value on benefit election (B) A Return of Principal Guarantee (C) When Vincent passes away, Ann can elect to continue the annual income and will receive it, without interruption, until she passes away. When Ann assumes the annuity, she will retain control of the account value. YEARS 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 This is a hypothetical example for illustrative purposes only. It does not reflect a specific annuity or the performance of any investment. The Protected Withdrawal Value is available through withdrawals only; it is not available as a lump sum. Guarantees including optional benefits are backed by the claims-paying ability of the issuing company and do not apply to the underlying investment options. Please note, benefits may not be available in all states. The Return of Principal Guarantee is not available in the state of Washington.

Managing Your Clients’ Guarantees Predetermined mathematical formula helps manage the guarantee Formula transfers AV into or out of Bond Portfolio, based on a number of factors At any time, some, none, or all of the AV may be allocated to the Bond Portfolio If all AV is in Bond Portfolio, it will remain there If additional payments are made, formula may/may not transfer AV out of Bond Portfolio Amounts in Bond Portfolio will affect the ability to participate in a subsequent recovery Conversely, AV may be higher at the beginning of the recovery Highest Daily Lifetime Seven and Spousal Highest Daily Lifetime Seven use a predetermined mathematical formula to help manage your clients’ guarantee through all market cycles. Although each benefit uses a different mathematical formula, the general description that follows applies equally to each benefit. Each business day, the formula determines if any portion of your clients’ account value needs to be transferred into or out of the AST Investment Grade Bond Portfolio (the “Bond Portfolio”). Amounts transferred by the formula depend on a number of factors unique to your clients’ individual annuity and include: (i) The difference between the account value and the Protected Withdrawal Value; (ii) How long they have owned HD Lifetime Seven or Spousal HD Lifetime Seven; (iii) The amount invested in, and the performance of, the Permitted Subaccounts; (iv) The amount invested in, and the performance of, the Bond Portfolio; and (v) The impact of additional purchase payments made to and withdrawals taken from the annuity. Therefore, at any given time, some, none, or all of the account value may be allocated to the Bond Portfolio. If the entire account value is transferred to the Bond Portfolio, then based on the way the formula operates, the formula will not transfer amounts out of the Bond Portfolio to the Permitted Subaccounts and the entire account value would remain in the Bond Portfolio. If additional purchase payments are made to the annuity, they will be allocated to the Permitted Subaccounts according to the allocation instructions. Such additional purchase payments may or may not cause the formula to transfer money in or out of the Bond Portfolio. Once the additional purchase payments are allocated to the annuity, they will also be subject to the mathematical formula, which may result in immediate transfers to or from the Bond Portfolio, if dictated by the formula. Transfers to and from the Bond Portfolio do not impact any income guarantees that have already been locked-in. The Protected Withdrawal Value (the basis for guaranteed lifetime income) is separate from the account value, and only available through withdrawals, not as a lump sum. Any amounts invested in the Bond Portfolio will affect your clients’ ability to participate in a subsequent recovery within the Permitted Subaccounts. Conversely, the account value may be higher at the beginning of the recovery, e.g. more of the account value may have been protected from decline and volatility than it otherwise would have been had the benefit not been elected. Please see the prospectus for complete details.

AST Investment Grade Bond Portfolio Multi-sector fixed income portfolio, which is positioned to help meet liquidity needs for potentially heavy inflows and outflows Invests in a diversified portfolio of high-quality bonds and other securities and instruments Average credit quality rating will be maintained at A- or above. Duration will be maintained within +/- 0.50 years versus the benchmark index Investment strategy allows full access to most fixed income security types and derivatives 5.60% Cash & Equivalents 15.20% Treasuries 20.50% Agencies 15.60% Mortgages 26.90% Corporates 11.70% Commercial Mortgages 4.50% Asset Backed & Other Optional Slide (if not using, please hide) The AST Investment Grade Bond Portfolio is not available as an individual investment option for any variable annuity from Prudential companies. Only with the selection of our Highest Daily and Spousal Highest Daily Lifetime Seven, Highest Daily and Spousal Highest Daily Lifetime 7 Plus optional benefits can a portion of a client’s account value be transferred in and out of this portfolio. This portfolio is managed by Prudential Investment Management, Inc. (PIM). PIM is an indirect, wholly owned subsidiary of Prudential Financial, Inc. Benchmark: The Barclays Capital U.S. Government/Credit 5-10 Year Index (Includes market value of derivative positions) Allocations are as of 12/31/2008

ASSUMING NO PREVIOUS WITHDRAWALS When might the FIRST move to the AST Investment Grade Bond Portfolio occur? ASSUMING NO PREVIOUS WITHDRAWALS 10% 33% 25% 20% 15% 7% 3 years 5 years 7 years 10 years 1 year Day 1 PROTECTED WITHDRAWAL VALUE ACCOUNT VALUE The primary trigger of the initial movement to the AST Investment Grade Bond Portfolio is the gap, or difference, between the client’s Protected Withdrawal Value and the annuity’s account value. The percentages on the chart represent the maximum allowable gap before a transfer of account value to the AST Investment Grade Bond Portfolio occurs.

What kind of performance is needed for a transfer out of the AST Investment Grade Bond Portfolio? It would take approximately a 4% increase in the account value over the first few days following a transfer into the Bond Portfolio for money to transfer back into the permitted subaccounts Stretch the timetable to six months, and it would take approximately a 6% increase in the account value from the date of the last transfer into the Bond Portfolio to trigger the first move back to the permitted subaccounts So, once a client’s account value moves into the AST Investment Grade Bond Portfolio, what will it take, in terms of account value performance, for that money to begin moving out? (Read & Explain Slide)

7% annual compounded growth What Would Your Client Need to Recover from a Market Downturn? 7% annual compounded growth $69,313 $377,313 ($18,865/yr) $350,000 12% 10% $308,000 ($15,400/yr) $300,000 -19% -15% $212,058 ($10,602/yr) The important thing to remember is that your clients have to forget everything they’ve been told about long-term investing. That’s because they don’t have the luxury of time that younger investors have. For example, the chart on this page shows a hypothetical portfolio valued at $250,000 with 5 years remaining until retirement. (Speaker: Point at the starting balance of $250,000 on the “Value” axis and the “Retirement Countdown (Years)” axis.) (Speaker: Click on the first build showing the 12% and 10% increases.) As you can see, the hypothetical investments did very well through the first two years of the countdown period, but then took a sharp dive in years three and four (Speaker: Click on the second build showing the -19% and -15% drops in performance.) With one year to go until retirement, the account has dropped well below its high mark. (Speaker: Point to performance low point on chart.) So, how would that mesh with a retiree’s original income expectations? Imagine for a moment this is one of your clients. Four years ago, he/she was sitting on $250,000. They figured their savings would earn 8% each year over the next five years. At that rate, the client would be looking at just over $367,332 to draw income from. You figure they’ll need 5% of that each retirement year, which is $18,367. So, after two years, you’re feeling pretty good about your client’s retirement position. But then this happens (point to decrease) and just like that, your client finds himself or herself with $212,058 — that’s less money than they started with. Now, he/she is no longer on track to meeting their retirement expectations. If the client were to retire at this point and stick to their original 5% withdrawal plan, they’d be looking at an income of only $10,602. So, what now? Hopefully the client will recoup the losses, right? (Speaker: click on third build showing dashed line.) Well, let’s take a look to see if that’s even realistic. (Click to reveal the recovery chart) With just one year to go until retirement, the news is not good in our hypothetical portfolio. Having suffered two consecutive years of double-digit losses so close to the retirement target date, this portfolio would need to gain 45% in one year to fully recover the principal and gains — where we would have been after year two. As history tells us, that type of market performance is all but unheard of. In fact, according to Standard & Poor’s, the average annual increase for a portfolio of stocks since 1926 has been 12.8%.* Furthermore, it would take a full five years at a more reasonable 8% rate of return to fully recoup the losses. That’s time an investor approaching retirement just doesn’t have. Now let’s take this story one step further. What if their account value highpoint, in year 3, was growing at a 7% compounded rate of return, like it does with HD or Spousal HD Lifetime Seven’s roll-up, as the basis for guaranteed lifetime income (Click). The gap becomes greater, and I’m sure you would agree that the returns needed to get back to that new high point become even greater, and even less likely to occur! I just want to be clear that the 7% rollup guarantees your client’s basis for lifetime income. I hope this helps illustrate how a 7% compounded rate of return based on the annuity’s highest daily account value can help protect the basis for guaranteed lifetime income. *Source: Standard & Poor’s. For the period January 1, 1926, through December 31, 2004. Stocks are represented by the monthly total returns of the S&P 500, an unmanaged index considered representative of the broad U.S. stock market. Investors cannot invest directly in any market index. Past performance does not guarantee future results. Guarantees backed by the claims-paying ability of the issuing company and do not apply to the underlying investment options $250,000 $200,000 $150,000 5 4 3 2 1 Intended retirement This chart is hypothetical and one example of the returns an investor theoretically could experience during a given period, and it is not intended to depict past or future performance of a variable annuity or subaccount within a variable annuity. If this were an actual example, various costs would be factored into the gross return, including annual insurance and administrative charges of the annuity, annual contract charges, investment management fees of the variable subaccounts, the cost for any optional features, and any other applicable fees.

At First Withdrawal Depending upon age, guaranteed lifetime income payments range from 5% to 8% of the Protected Withdrawal Value HD Lifetime Seven Annuitant’s age at first withdrawal Income Percentage 55-74 5% 75-79 6% 80-84 7% 85+ 8% Spousal HD Lifetime Seven Age of youngest spouse at first withdrawal Income Percentage 59½-79 5% 80-84 6% 85-89 7% 90+ 8% What are HD & Spousal HD Lifetime Seven’s advantages when your client begins taking withdrawals? The client will receive a stable predictable guaranteed lifetime income ranging from 5% to 8% of the Protected Withdrawal Value, depending upon their age at first withdrawal. Withdrawals and distributions of taxable amounts are subject to ordinary income tax and, if made prior to age 59 ½, may be subject to an additional 10% federal income tax penalty. (Read and Explain chart) Withdrawals and distributions of taxable amounts are subject to ordinary income tax and, if made prior to age 59 ½, may be subject to an additional 10% federal income tax penalty.

At a Glance Issue Ages Annual Cost Minimum HD Lifetime Seven – 55 (annuitant) Spousal HD Lifetime Seven – 59½ (both spouses) Maximum HD Lifetime Seven & Spousal HD Lifetime Seven: Subject to the annuity product chosen and may vary by broker/dealer Annual Cost HD Lifetime Seven – 0.60% Spousal HD Lifetime Seven – 0.75% Let’s look at the specs (Read Slide). The fee is in addition to the fees and charges associated with the basic annuity selected. Benefit charges are assessed against the Protected Withdrawal Value (adjusted for withdrawals and premiums) on the last day of the benefit quarter. Fees will be taken pro-rata across all subaccounts, including the AST Investment Grade Bond Portfolio, if applicable. Please note that upon step-up, the fee may be different. See the prospectus for more details.

At a Glance Election Options Investment Options HD Lifetime Seven or Spousal HD Lifetime Seven can be elected or cancelled at any time Investment Options Invest in a wide variety of investment options, managed by some of the world’s most respected portfolio managers Flexibility and Control Income is based on withdrawals, not annuitization* Let’s look at the specs. (Read Slide). * While annuitization is not required to receive income under these benefits, there is a maximum date by which annuity payments must begin under the terms of the annuity.

Lifetime Income Accelerator (LIA) & Beneficiary Income Option (BIO) Optional Module #6 Additional Features: Lifetime Income Accelerator (LIA) & Beneficiary Income Option (BIO) Slides [75-88] This is the Lifetime Income Accelerator (LIA) and Beneficiary Income Option (BIO) module. It must be presented in conjunction with the HD Lifetime 6 Plus & Spousal HD Lifetime 6 Plus module, the HD Lifetime 7 Plus & Spousal HD Lifetime 7 Plus module or with the HD Lifetime Seven & Spousal HD Lifetime Seven module. [Slides 75-80, 88] are the optional LIA case study slides. Slides [81-84, 88] are the optional BIO case study slides. Slides 85-87 are the HD Lifetime 6 Plus, 7 Plus and Seven At a Glance slides. Please select one and hide the two slides you are not presenting. Remember that HD Lifetime 6 Plus & Spousal HD Lifetime 6 Plus do not offer Beneficiary Income Option (BIO). Please remember to hide the slides you are not presenting. Please also remember to hide the cover slide if presenting this module.

What is the Lifetime Income Accelerator? The first feature of its kind to double your clients’ annual income should they become unable to care for themselves, regardless of whether they are living at home or in a qualified nursing facility The Lifetime Income Accelerator (LIA) is an optional feature available with [HD Lifetime 7 Plus or HD Lifetime Seven] that will double your clients’ Annual Income Amount, should certain health conditions render them incapable of caring for themselves. LIA provides the flexibility to increase the annual income regardless of whether or not they are still living at home or in a qualified nursing facility helping to ease the concern of rising costs in retirement. [HD Lifetime 7 Plus or HD Lifetime Seven] with Lifetime Income Accelerator is not long-term care insurance and should not be purchased as a substitute for long-term care insurance. The income received through the Lifetime Income Accelerator may be used for any purpose, and it may or may not be sufficient to address expenses incurred for long-term care. Please seek professional advice to determine financial needs for long-term care. Lifetime Income Accelerator is not long-term care insurance and should not be purchased as a substitute for long-term care insurance. The income received through the Lifetime Income Accelerator may be used for any purpose, and it may or may not be sufficient to address expenses incurred for long-term care. Please seek professional advice to determine financial needs for long-term care. Lifetime Income Accelerator is not available with Spousal HD Lifetime 7 Plus or Spousal HD Lifetime Seven. Your client may not elect HD Lifetime 7 Plus or HD Lifetime Seven with both Lifetime Income Accelerator and Beneficiary Income Option.

Two Ways to Qualify They must be unable to perform two or more activities of daily living* OR They must be confined to a qualified nursing care facility Let’s look at the specs. (Read Slide). *Just to be clear, activities of daily living include: bathing, continence, dressing, eating, toileting and transferring. * Activities of daily living include: bathing, continence, dressing, eating, toileting and transferring

Important Considerations Waiting period of three years following benefit election Elimination period of 120 days after notification of qualifying event Waiting and elimination periods may run concurrently There is a waiting period of three years following the initial benefit election that will apply before accelerated income can begin. Additionally, once we receive notification of a qualifying event (ADL’s or qualified nursing care facility), as discussed on the previous slide, there is an elimination period of 120 days which allows us to determine eligibility. The waiting and elimination periods may run concurrently.

Retirement Time Horizon – Five Years LIA Case Study Mike’s Investment Priorities Securing a lifetime income stream to meet his retirement needs Not becoming a burden to his loved ones Staying invested to capture opportunities to lock in higher income payments after withdrawals begin INVESTOR PROFILE Optional Case Study Slide Mike, a father of two adult children, has had a successful career as an entrepreneur and is planning to retire in five years. He is looking forward to the golden years of retirement but at the same time is concerned with rising costs. Mike’s primary goal is to secure a guaranteed income stream which will help him remain independent and not become a burden to his family. Mike understands his retirement may last a long time so he would like to stay invested in the stock market to capture any growth in his account that could help provide a greater income in retirement. After speaking with his financial professional, Mike decides to invest a portion of his retirement savings into a variable annuity from Prudential companies and add the [HD Lifetime 7 Plus or HD Lifetime Seven] with Lifetime Income Accelerator optional living benefit. [HD Lifetime 7 Plus or HD Lifetime Seven] with Lifetime Income Accelerator is NOT long-term care insurance and should not be purchased in place of long-term care insurance. DID YOU KNOW…? Mike Torres – Age 60 Retirement Time Horizon – Five Years 78% of retirees consider not becoming a burden to loved ones as a “very important” priority in retirement Source: National Coalition on Health Care

How LIA Can Help Mike… Mike qualifies for double income under Lifetime Income Accelerator. The double income payments will continue for as long as he remains eligible. Mike begins taking income after five years. His lifetime income is based on his annuity’s highest day growing at 7%. $100,000/year $100,000/year $50,000/year $50,000/year $50,000/year $50,000/year $50,000/year Optional Case Study Slide 65 66 67 68 69 70 71 This hypothetical example is for illustrative purposes only and does not reflect the performance of any investment. Lifetime Income Accelerator is not long-term care insurance and should not be purchased as a substitute for long-term care insurance. The income received through the Lifetime Income Accelerator may be used for any purpose, and it may or may not be sufficient to address expenses incurred for long-term care. Please seek professional advice to determine financial needs for long-term care.

Mike’s Results Priority Met Securing a lifetime income stream to meet his retirement needs – HD Lifetime 7 Plus or HD Lifetime Seven with Lifetime Income Accelerator guarantees Mike a lifetime income stream regardless of market conditions. Not becoming a burden to his loved ones – Lifetime Income Accelerator guarantees that his double income payments will continue as long as he remains eligible. Capture opportunities and lock in higher income payments after withdrawals begin – Staying invested in the stock market offers Mike the opportunity to capture positive performance and lock in a greater retirement income. Optional Case Study Slide (Read and Explain the three points)

What is the Beneficiary Income Option? A death benefit option that offers beneficiaries the opportunity to continue receiving the annual income, generated by the benefits, through a continuous stream of payments The Beneficiary Income Option is an optional feature available with both [HD & Spousal HD 7 Plus or HD & Spousal HD Lifetime Seven] that offers your clients’ beneficiaries the option of continuing to receiving the Annual Income Amount, through a stream of continuous payments, an alternative to the base death benefit included in the underlying annuity. The beneficiaries will continue to receive the annual income, uninterrupted, until the Protected Withdrawal Value is depleted. The Beneficiary Income Option is not available as a lump sum.

Amy’s Investment Priorities BIO Case Study Amy’s Investment Priorities Securing a lifetime income stream Helping to ensure that her beneficiary is taken care of Capturing opportunities to lock in higher income payments INVESTOR PROFILE Optional Case Study Slide Amy, a recent widow, is five years from retirement. She has inherited substantial assets from her late husband David and her primary concern is securing a lifetime income from those assets. In addition, Amy would like to help ensure that her son Todd is taken care of if anything happens to her. Amy would also like the opportunity to capture any growth in her account for a greater income in retirement. After speaking with her financial professional, Amy decides to invest a portion of her assets into a Prudential variable annuity and add the optional [Highest Daily Lifetime 7 Plus or Highest Daily Lifetime Seven] with Beneficiary Income Option. Amy – Age 60 Recently Widowed

How BIO Can Help Amy… Because Amy selected Beneficiary Income Option, her beneficiary has the option of either continuing to receive the annual income, uninterrupted, until the Protected Withdrawal Value is depleted OR the base death benefit in the annuity. Amy begins taking income. After drawing income for five years, she passes away at age 70. $375,000 Remaining Protected Withdrawal Value which equals an income of $25,000 for 15 years $25,000/year $25,000/year $25,000/year $25,000/year $25,000/year OR Optional Case Study Slide $200,000 base death benefit 65 66 67 68 69 This hypothetical example is for illustrative purposes only and does not reflect the performance of any investment. Please note under the Beneficiary Income Option, the Protected Withdrawal Value will grow for the first 10 years from benefit election or until first withdrawal (whichever is sooner); minimum guarantees of 400% and 600% do not apply.

Amy’s Results Priority Met Securing a lifetime income stream – HD Lifetime 7 Plus or HD Lifetime Seven with Beneficiary Income Option guarantees Amy a lifetime income stream regardless of market conditions. Helping to ensure her beneficiary is taken care of – Beneficiary Income Option offers her beneficiary the ability to continue the income stream without interruption. Capture opportunities and lock in higher income payments – Staying invested in the stock market offers Amy the opportunity to capture positive performance and lock in a greater retirement income. Optional Case Study Slide (Read and Explain the three points)

Annual Benefit Charge* Flexible Election Options** LIA – At a Glance Optional Benefit Annual Benefit Charge* Minimum Issue Age Maximum Issue Age Flexible Election Options** HD Lifetime 6 Plus with LIA*** 1.20% 45 (annuitant) 75 May be elected or cancelled at any time * Annual benefit charges are assessed quarterly against the greater of the account value and the Protected Withdrawal Value (adjusted for withdrawals and purchase payments). Fees will be taken pro-rata across all investment options. Please note that upon step-up after income begins, the fees may be higher. ** Your client may cancel any of the benefits at any time. After cancellation, your client will no longer be charged for the benefit. If cancelled, the benefit may be re-elected on any day beginning with the following business day (provided investment allocation requirements are in good order). May vary by broker/dealer. Please note that any and all guarantees are lost upon cancellation. *** Lifetime Income Accelerator is not available with Spousal HD Lifetime 6 Plus and may not be available in all states. Please refer to the prospectus for complete details on benefit charges and election options. Optional Slide – please use this slide if HD Lifetime 6 Plus and Spousal HD Lifetime 6 Plus are approved in the state you are presenting in. If not, hide this slide. Let’s look at the specs (Read Slide).

LIA & BIO – At a Glance Optional Benefit Total Annual Cost* Minimum Issue Age Maximum Issue Age Flexible Election Options** HD Lifetime 7 Plus with LIA 1.10% 45 (annuitant) 75 May be elected or cancelled at any time HD Lifetime 7 Plus with BIO Spousal HD Lifetime 7 Plus with BIO 55/50 (older spouse/ younger spouse) 75 (both spouses) * Fees are in addition to the fees and charges associated with the basic annuity selected. Benefit charges are assessed quarterly against the greater of the Account Value and the Protected Withdrawal Value (adjusted for withdrawals and premiums). Fees will be taken pro-rata across all subaccounts, including the AST Investment Grade Bond Portfolio, if applicable. Please note that, upon step-up, the fees may be different. See the prospectus for more details. ** HD and Spousal HD Lifetime 7 Plus with LIA or BIO may be cancelled at any time without penalty. After cancellation, you client will no longer be charged for the benefit. If cancelled, HD and Spousal HD Lifetime 7 Plus with LIA or BIO may be re-elected on any day beginning with the following business day (provided investment allocation requirements are in good order). Please note that clients will lose any and all guarantees upon cancellation. May vary by state and broker/dealer. Please refer to the prospectus for complete details. Optional Slide – please use this slide if HD Lifetime 7 Plus and Spousal HD Lifetime 7 Plus are approved in the state you are presenting in. If not, hide this slide. Let’s look at the specs (Read Slide).

Flexible Election Options** May be elected or cancelled at any time LIA & BIO – At A Glance Optional Benefit Total Annual Cost* Minimum Issue Age Maximum Issue Age Flexible Election Options** HD Lifetime Seven with LIA 0.95% 55 (annuitant) 75 May be elected or cancelled at any time HD Lifetime Seven with BIO Spousal HD Lifetime Seven with BIO 59½ (both spouses) 75 (both spouses) Optional Slide – please use this slide if HD Lifetime Seven and Spousal HD Lifetime Seven are approved in the state you are presenting in. If not, hide this slide and present [slide 86]. Let’s look at the specs (Read Slide). * Fees are in addition to the fees and charges associated with the basic annuity selected. Benefit charges are assessed quarterly against the Protected Withdrawal Value (adjusted for withdrawals and premiums) on the last day of the benefit quarter. Fees will be taken pro-rata across all subaccounts, including the AST Investment Grade Bond Portfolio, if applicable. Please note that, upon step-up, the fees may be different. Please see the prospectus for complete details. ** HD and Spousal HD Lifetime Seven with LIA or BIO may be cancelled at any time without penalty. After cancellation, your client will no longer be charged for the benefit. If cancelled, HD and Spousal HD Lifetime Seven with LIA or BIO may be re-elected on any day beginning with the following business day (provided investment allocation requirements are in good order). Please note that your client will lose any and all guarantees upon cancellation. May vary by state and broker/dealer. Please refer to the prospectus for complete details.

LIA & BIO – At a Glance Flexible Investment Options OR Invest in one or more turnkey asset allocation portfolios including traditional, alternative, quantitative and tactical strategies OR Create a personalized portfolio from a broad spectrum of individual investment options* Read Slide * When creating a personalized portfolio, certain subaccount limitations may apply and a minimum allocation of 20% will need to be maintained to in one or more of the eligible bond subaccounts. Please refer to the prospectus for complete information.

Optional Module #7 HD Formula Slides [90-105] This is the HD & Spousal HD Lifetime 6 Plus and 7 Plus Formula Module. It must be presented in conjunction with either the HD Lifetime 6 Plus & Spousal HD Lifetime 6 Plus 7 Plus module (module 3) or the HD Lifetime 7 Plus & Spousal HD Lifetime 7 Plus module (Module 4). Please hide this slide when presenting.

How can we offer HD Guarantees… Diverse Business Mix – The longevity risk taken on by the variable annuities business helps to offset the mortality risk in our life insurance business Hedging Strategy – We purchase longer-dated instruments to better match economic characteristics and maturity of liabilities Reduces exposure to rebalancing and re-pricing risk Prudent Product Design – We designed the benefit to minimize risk Asset allocation requirements Minimum Issue Ages Predetermined Mathematical Formula (Read Slide) By purchasing a Prudential Variable Annuity you are in essence transferring the risk from your balance sheet to Prudential’s. We manage our risk in several different ways. Diverse business mix: The longevity risk taken on through our variable annuities business is offset by the mortality risk in our life insurance business with over $2.65 trillion in assets as of 4th quarter 2007. Hedging Strategy: We purchase longer-dated instruments to better match economic characteristics & maturity of liabilities therefore reducing exposure to rebalancing and re-pricing risk Prudent product design: We design the benefit to minimize risk. The risk that is left we manage through; Asset allocation requirements Minimum Issue Ages The Predetermined Mathematical Formula

Managing Your Clients’ Guarantees Predetermined mathematical formula helps manage the guarantee Formula transfers AV into or out of Bond Portfolio, based on a number of factors At any time, some, most, or none of the AV may be allocated to the Bond Portfolio If additional payments are made, formula may/may not transfer AV out of Bond Portfolio Amounts in Bond Portfolio will affect the ability to participate in a subsequent recovery Conversely, AV may be higher at the beginning of the recovery HD Lifetime 6 Plus, Spousal HD Lifetime 6 Plus, HD Lifetime 7 Plus and Spousal HD Lifetime 7 Plus utilize a predetermined mathematical formula to help manage your client’s risk and the company’s risk by helping to protect the account value in extended market downturns. Our risk management strategy… Helps to narrow the range of possible investment outcomes Provides Prudential with the flexibility to offer features like highest daily lock-ins and 6% or 7% compounded growth until the first Lifetime Withdrawal Let’s take a closer look at the tools we use to manage risk… Highest Daily Lifetime 6 Plus, Spousal Highest Daily Lifetime 6 Plus, Highest Daily Lifetime 7 Plus and Spousal Highest Daily Lifetime 7 Plus use a predetermined mathematical formula to help manage the guarantee through all market cycles. Each business day, the formula determines if any portion of the account value needs to be transferred into or out of the AST Investment Grade Bond Portfolio (the "Bond Portfolio"). Amounts transferred by the formula depend on a number of factors unique to your client’s individual annuity and include: The difference between the account value and the Protected Withdrawal Value; How long your client has owned Highest Daily Lifetime 6 Plus, Spousal Highest Daily Lifetime 6 Plus, Highest Daily Lifetime 7 Plus or Spousal Highest Daily Lifetime 7 Plus; The amount invested in, and the performance of, the Permitted Subaccounts; The amount invested in, and the performance of, the Bond Portfolio; and The impact of additional purchase payments made to and withdrawals taken from the annuity. Therefore, at any given time, some, most, or none of the account value may be allocated to the Bond Portfolio. Transfers to and from the Bond Portfolio do not impact any income guarantees that have already been locked-in. The Protected Withdrawal Value (the basis for guaranteed lifetime income) is separate from the account value, and only available through withdrawals, not as a lump sum. Any amounts invested in the Bond Portfolio will affect your client’s ability to participate in a subsequent recovery within the permitted subaccounts. Conversely, the account value may be higher at the beginning of the recovery, e.g. more of the account value may have been protected from decline and volatility than it otherwise would have been had the benefit not been elected. Please see the prospectus for complete details. Taxes, both federal and state, are not included. Withdrawals of taxable amounts will be subject to ordinary income tax, and if taken prior to age 59 ½, may be subject to a 10% federal income tax penalty.

R = L – B V The HD Formula R: Target ratio L: The Liability (present value of lifetime income) B: Account Value in the AST Investment Grade Bond Portfolio V: Account Value in the permitted subaccounts Here is a quick refresher on the formula: R= (L - B)/ V L = 7% of the PWV the corresponding annuity factor (annuity table in the prospectus) B = any assets in the bond portfolio V = any assets in the selected subaccounts Transfers into and out of the AST Investment Grade Bond Portfolio are driven by the ratio.

How the Ratio is Calculated Example: PWV = $200,000 AV = $179,500 Contract = 1 year old Annual Income = $10,000 (5% x $200,000) A = 14.95 (annuity table) Here’s a mathematical example: Our Liability is equal to 5% of the PWV multiplied by A Based on the numbers here, that comes out to $10,000 * 14.95 = $149,500. We compare this to the Variable account value of $179,500 to come up with a ratio of (click) 83.3%. 5% * PWV * A - B V $10,000 * 14.95 - 0 $179,500 83.3% = =

Additional Formula Features Three Day Rule: If the ratio "R" is greater than 83% for three consecutive days, a transfer into the AST Investment Grade Bond Portfolio (“Bond Portfolio”) will occur, OR If on any day the ratio "R" is greater than 84.5%, a transfer into the Bond Portfolio will occur Designed to reduce the likelihood of a transfer into the Bond Portfolio Read Slide If the ratio "R" is greater than 83% for three consecutive days, a transfer into the AST Investment Grade Bond Portfolio (“Bond Portfolio”) will occur, or If on any day the ratio "R" is greater than 84.5%, Designed to reduce the likelihood of a transfer into the Bond Portfolio due to negative account performance spread over a few days in order to give the account an opportunity to recover (positive account performance) prior to making a transfer 94 94

80 How Transfers Occur Into Bond Out of Bond % If on any given day the ratio is above 84.5% a transfer into the AST Investment Grade Bond Portfolio will occur Target Ratio 84.5 Into Bond 83 If the ratio is above 83% but less than or equal to 84.5% for three consecutive days a transfer into the AST Investment Grade Bond Portfolio will occur 82 76.7% is the ratio that every contract with HD Lifetime 7 Plus starts at on day one 80 % 81 80 Note: We have increased the lower target from 77% to 78%, we have introduced the three day rule as well as a secondary upper target of 84.5% So now that we have calculated this ratio, what happens? How do we know if the ratio is too high or too low? We like to depict this using a thermostat. When you set your thermostat to a target temperature, and the temperature gets too high above that target, the air comes on and the temperature goes back to the target. If the temperature gets too low, the heat comes on until you get back to the target. Let’s see how that compares to the ratio. The target for our ratio is 80%. If the ratio is 80%, we are comfortable, and do not need to “cool things down” by moving money into the Bond Portfolio, or “heat things up” by moving money out of the Bond Portfolio. The ratio starts for all contracts start at 76.7% - but there’s no heat to turn on since we start with no money in the Bond Portfolio. But what happens if it goes up and hits above 83%? (click) This is our upper limit – if it goes over 83% for three consecutive days, we need to cool down the ratio by moving money to the Bond Portfolio. If the ratio goes over the upper limit of 84.5% on any given day there will be a movement into the Bond Portfolio. Whenever a move happens, we reset the ratio to the target of 80% (click). Now, what if the ratio goes down to 78%? (click) This is our lower limit – if it goes below 78%, we can safely turn on the heat, and push money out of the Bond Portfolio. Again, we reset to the target of 80% (click). 79 Out of Bond If on any given day the ratio is below 78% a transfer out of the AST Investment Grade Bond Portfolio will occur 78 77 76.7 95

How the Ratio is Calculated Assuming the ratio has been above 83% for three consecutive days there will be a transfer into the Bond Portfolio Example: PWV = $200,000 AV = $179,500 Contract = 1 year old Annual Income = $10,000 (5% x $200,000) A = 14.95 (annuity table) Let’s take another look at this mathematical example: Our Liability is equal to 5% of the PWV multiplied by A Based on the numbers here, that comes out to $10,000 * 14.95 = $149,500. We compare this to the Variable account value of $179,500 to come up with a ratio of 83.3% - too high! Money needs to move to bonds. In this example we transfer $29,500 into the Bond Portfolio which would reduce the ratio from 83.3% to 80%. This represents a transfer of 16.4% of the account value. 5% * PWV * A - B V $10,000 x 14.95 - 0 $179,500 83.3% = =

Additional Formula Features 90% Cap on transfers into the AST Investment Grade Bond Portfolio ("Bond Portfolio") A transfer will not be made that would result in greater than 90% of the account value being allocated to the Bond Portfolio, only the amount that would result in exactly 90% being allocated to the Bond Portfolio would be transferred Once the 90% Cap is reached, no future transfers into the Bond Portfolio will occur, until first preceded by a transfer out It is possible due to the investment performance of the allocations in the Bond Portfolio and the allocations in the permitted subaccounts that have been selected, the Account Value could be more than 90% invested in the Bond Portfolio The formula limits the amount of Account Value that may be transferred into the AST Investment Grade Bond Portfolio (“Bond Portfolio”), to 90%. A transfer into the Bond Portfolio resulting in greater than 90% of the Account Value being allocated to the Bond Portfolio will not occur. If the formula requires a transfer that would result in greater than 90% being allocated to the Bond Portfolio, only the amount that would result in exactly 90% of the account being allocated to the Bond Portfolio will be transferred. Once the 90% Cap is reached, no future transfers into the Bond Portfolio will occur at least until it is first preceded by a transfer out of the Bond Portfolio. Following the transfer out of the Bond Portfolio, the formula may transfer Account Value to or from the Bond Portfolio subject to the 90% Cap. The formula will not transfer more than 90%, of the Account Value to the Bond Portfolio. However, it is possible that, due to the investment performance of the allocations in the Bond Portfolio and the allocations in the permitted subaccounts that have been selected, the Account Value could be more than 90% invested in the Bond Portfolio. 97 97

The Formula is a Two Way Street… Let’s think of the Formula visually as a road. Currently the Formula determines transfers up to a maximum of 90% of the account value both into and out of the Bond Portfolio. So the Formula is a two way street. Next we will look at what happens when a contract hits the 90% cap…

The 90% Cap Makes it a One Way Street… The formula becomes a one way street- With the cap in place, a benefit transfer into the AST Investment Grade Bond Portfolio (“Bond Portfolio”) would not occur that would result in greater than 90% of the account value being allocated to the Bond Portfolio. However, it is possible that, due to the investment performance of the allocations in the Bond Portfolio and the allocations in the Permitted Subaccounts that have been selected, the Account Value could be more than 90% invested in the Bond Portfolio. If the formula requires a transfer that would result in greater than 90% being allocated to the Bond Portfolio, only the amount that would result in exactly 90% of the account being allocated to the Bond Portfolio would be transferred. Once the cap has been met, no future transfers into the Bond Portfolio will occur unless it is first preceded by a transfer out of the Bond Portfolio. Following this transfer out of the Bond Portfolio, the formula will be able to transfer to or from the Bond Portfolio (subject to the 90% cap). If, when elected, the account has greater than 90% in the Bond Portfolio, a transfer will be made that results in exactly 90% of the account being allocated to the Bond Portfolio (i.e. if the account has $95,000 in the Bond Portfolio and $5,000 in the elected subaccounts, a transfer of $5,000 would be made from the Bond Portfolio to the elected subaccounts pro-rata or according to most recent allocation instructions). This transfer would result in the 90% cap being met such that no future transfers into the Bond portfolio would occur unless it is first preceded by a transfer out of the Bond Portfolio. Additional purchase payments made while the cap is in place will be immediately allocated among selected subaccounts and cannot be transferred into the Bond Portfolio unless there is first a transfer out of the Bond Portfolio.

Then back to a Two Way Street… After the Cap is reached and there is a transfer out of Bond, the formula becomes a two way street again, up to the Cap of 90% on transfers back into Bond. Additional Details: The cap may or may not result in future transfers out of the Bond Portfolio That account may have greater than 90% in either the Bond Portfolio due to poor subaccount performance and/or positive Bond Portfolio performance If elected the cap cannot be revoked unless the entire benefit is terminated Purchase payments made while the cap is in place (if there is not a transfer out of the Bond Portfolio) will be subject to the performance of the elected subaccounts (positive and negative) and will not be protected by the transfer activity of the formula, at least until there is first a transfer out of the Bond Portfolio.  

How can a contract have more than 90% in the Bond Portfolio? Account value allocation the day the 90% cap is met Next day account value % of total account value Next day performance Bond $90,000 + 1% $90,900 90.3% $100,000 $100,700* Variable $10,000 -2% $9,800 9.7% Read slide on how a contract can be over the 90% cap. The formula will not transfer more than 90%, However, it is possible that, due to the investment performance of Bond Portfolio and the permitted subaccounts, the Account Value could be more than 90% invested in the Bond Portfolio. * It’s important to note: In this example, the 1% increase in the bond portfolio will more than offset the 2% loss in the variable portfolio, so the Total Account Value actually increased to $100,700. This example also illustrates the results for contracts with the majority of Account Value in the Bond portfolio will be driven by the bond portfolio’s performance. * It’s important to note in this example the 1% increase in the bond portfolio more than offset the 2% loss in the variable portfolio, so the Total Account Value actually increased to $100,700. This example also illustrates that the results for contracts with the majority of Account Value in the Bond portfolio will be driven by the bond portfolio’s performance.

Important Summary Points… The 90% Cap Once the 90% Cap is reached, no future transfers into the Bond Portfolio will occur until first preceded by a transfer out (One Way Street). After the transfer out, the formula may transfer Account Value to or from the Bond Portfolio subject to the 90% Cap. (Back to Two Way Street) The formula will not transfer more than 90%. However, it is possible that, due to the investment performance of the Bond Portfolio and the permitted subaccounts, the Account Value could be more than 90% invested in Bond Portfolio. Additional purchase payments made to a contract at the 90% Cap will not be transferred into the Bond Portfolio at least until there is first a transfer out. Additionally, the formula may or may not transfer any Account Value out of the Bond Portfolio as a result of additional purchase payments. Once the 90% Cap is reached, no future transfers into the Bond Portfolio will occur at least until it is first preceded by a transfer out of the Bond Portfolio. Following the transfer out of the Bond Portfolio the formula may transfer Account Value to or from the Bond Portfolio subject to the 90% Cap. The formula will not transfer more than 90%, of the Account Value to the Bond Portfolio. However, it is possible that, due to the investment performance of the allocations in the Bond Portfolio and the allocations in the permitted subaccounts that have been selected, the Account Value could be more than 90% invested in the Bond Portfolio. Additional purchase payments made to a contract which is at the 90% Cap will be immediately allocated among the permitted subaccounts and will not be transferred into the Bond Portfolio at least until there is first a transfer out of the Bond Portfolio, meaning that the formula may never transfer any portion of the purchase payment to the Bond Portfolio.

Additional Formula Features Monthaversary On each monthly benefit anniversary, a transfer of the lesser of 5% of the account value or the total amount allocated to the AST Investment Grade Bond Portfolio (“Bond Portfolio”) will be made from the Bond Portfolio back into the chosen Permitted Subaccounts, provided that the ratio "R" after the transfer is less than 83%*. (Read slide). Now let’s walk through an example… * If “R” after the transfer is greater than or equal to 83% the monthaversary, the transfer would not occur.

Monthaversary Example Additional Formula Features Monthaversary Example Before Transfer PWV = $300,000 AV = $272,812.50 L = $224,250 V = $242,812.50 B = $30,000 A = 14.95 (annuity table) R (prior to Monthly transfer) = 80% 5% of AV = $13,640.62 After Transfer PWV = $300,000 AV = $ 272,812.50 L = $ 224,250 V = $ 256,453.12 B = $ 16,359.38 A = 14.95 (annuity table) R (after Monthly transfer) = 81%* In this example we are showing movements from the Bond Portfolio back into the permitted subaccounts. Before the transfer, the balance in variable subaccounts is $242,812.50 and the balance in the Bond Portfolio is $30,000. We will move the lesser of 5% of the account value or the total amount allocated to the AST Investment Grade Bond Portfolio back into the permitted subaccounts, in this case 5% of the account value is the smaller amount which equals $13,640.62. After the transfer has occurred there is a balance in the variable subaccounts of $256,453.12 and the balance in the Bond Portfolio is $16,359.38. Please note that if the ratio is still above 83% after the transfer, the transfer would not occur. *If “R” after the transfer is greater than or equal to 83% the monthaversary transfer would not occur.

Formula Summary Three Day Rule 90% Cap Monthaversary Designed to reduce the likelihood of a transfer into the Bond Portfolio 90% Cap No more than 90% of the account value will be transferred into the Bond Portfolio Monthaversary On each monthly contract anniversary, 5% of the account value or the total amount allocated to the Bond Portfolio (whichever is less) is eligible to be transferred back into the chosen permitted subaccounts Three Day Rule If the ratio "R" is greater than 83% for three consecutive days, a transfer into the AST Investment Grade Bond Portfolio (“Bond Portfolio”) will occur, or If on any day the ratio "R" is greater than 84.5%, Designed to reduce the likelihood of a transfer into the Bond Portfolio due to negative account performance spread over a few days in order to give the account an opportunity to recover (positive account performance) prior to making a transfer 90% Cap No more than 90% of the account value will be transferred into the AST Investment Grade Bond Portfolio Once the 90% Cap is reached, no future transfers into the Bond Portfolio will occur at least until it is first preceded by a transfer out of the Bond Portfolio. It is possible that, due to the investment performance of the allocations in the Bond Portfolio and the allocations in the permitted subaccounts that have been selected, the Account Value could be more than 90% invested in the Bond Portfolio. Monthaversary On each monthly benefit anniversary, a transfer of the lesser of 5% of the account value or the total amount allocated to the Bond Portfolio will be made from the Bond Portfolio back into the chosen Permitted Subaccounts, provided that the ratio "R" after the transfer is less than 83%*. * If “R” after the transfer is greater than 83% the monthaversary, the transfer would not occur.

HD Lifetime Income Benefits… Understanding the 90% Cap Optional Module #8 HD Lifetime Income Benefits… Understanding the 90% Cap Slides [107-124] This is the 90% Cap Module for HD Lifetime Seven, Spousal HD Lifetime Seven & HD Lifetime Five. This is a new feature that can be added to the three income benefits listed above. If presenting this module, please use all of the slides. Please hide this slide when presenting.

How can we offer HD Guarantees… Diverse Business Mix – The longevity risk taken on by the variable annuities business helps to offset the mortality risk in our life insurance business Hedging Strategy – We purchase longer-dated instruments to better match economic characteristics and maturity of liabilities Reduces exposure to rebalancing and re-pricing risk Prudent Product Design – We designed the benefit to minimize risk Asset allocation requirements Minimum Issue Ages Predetermined Mathematical Formula What is the 90% Cap? The 90% Cap is a no cost optional feature (“90% Cap Rule”) available with Highest Daily Lifetime Five, Highest Daily Lifetime Seven and Spousal Highest Daily Lifetime Seven, including Lifetime Income Accelerator and Beneficiary Income Option. The Cap, if elected, provides a new formula for your clients’ benefit which will not allocate more than 90% of the Account Value to the Fixed Account (HD Lifetime Five) or the Bond Portfolio (HD Lifetime Seven). This new feature is available for election as of February 23, 2009 (subject to state and firm approval). This module will discuss how the formula operates assuming the 90% Cap is elected. By purchasing a Prudential Variable Annuity you are in essence transferring the risk from your balance sheet to Prudential’s. We manage our risk in several different ways. Diverse business mix: The longevity risk taken on through our variable annuities business is offset by the mortality risk in our life insurance business with over 2.65 trillion in assets as of 4th quarter 2007. Hedging Strategy: We purchase longer-dated instruments to better match economic characteristics & maturity of liabilities therefore reducing exposure to rebalancing and re-pricing risk Prudent product design: We design the benefit to minimize risk. The risk that is left we manage through; Asset allocation requirements Minimum Issue Ages The Predetermined Mathematical Formula

Managing Your Clients’ Guarantees Predetermined mathematical formula helps manage the guarantee Formula transfers AV into or out of Bond Portfolio/Fixed Account, based on a number of factors At any time, some, most, or none of the AV may be allocated to the Bond Portfolio/Fixed Account If additional payments are made, formula may/may not transfer AV out of Bond Portfolio/Fixed Account Amounts in Bond Portfolio/Fixed Account will affect the ability to participate in a subsequent recovery Conversely, AV may be higher at the beginning of the recovery Highest Daily Lifetime Seven, Spousal Highest Daily Lifetime Seven and Highest Daily Lifetime Five use a predetermined mathematical formula to help manage your clients’ guarantee through all market cycles. Although each benefit uses a different mathematical formula, the general description that follows applies equally to each benefit. Each business day, the formula determines if any portion of your clients’ account value needs to be transferred into or out of the AST Investment Grade Bond Portfolio (the “Bond Portfolio”) for Highest Daily Lifetime Seven and Spousal Highest Daily Lifetime Seven, or a Benefit Fixed Rate Account (the “Fixed Account”) for Highest Daily Lifetime Five. Amounts transferred by the formula depend on a number of factors unique to your clients’ individual annuity and include: (i) The difference between the account value and the Protected Withdrawal Value; (ii) How long they have owned Highest Daily Lifetime Seven, Spousal Highest Daily Lifetime Seven or Highest Daily Lifetime Five; (iii) The amount invested in, and the performance of, the Permitted Subaccounts; (iv) The amount invested in, and the performance of, the Bond Portfolio or Fixed Account; and (v) The impact of additional purchase payments made to and withdrawals taken from the annuity. Therefore, at any given time, some, most or none of the account value may be allocated to the Bond Portfolio or Fixed Account. Transfers to and from the Bond Portfolio or Fixed Account do not impact any income guarantees that have already been locked-in. The Protected Withdrawal Value (the basis for guaranteed lifetime income) is separate from the account value, and only available through withdrawals, not as a lump sum. Any amounts invested in the Bond Portfolio or Fixed Account will affect your client’s ability to participate in a subsequent recovery within the Permitted Subaccounts. Conversely, the account value may be higher at the beginning of the recovery, e.g. more of the account value may have been protected from decline and volatility than it otherwise would have been had the benefit not been elected. Please see the prospectus for complete details. If elected, the 90% Cap Rule provides a new formula for your client's benefit which will not allocate more than 90% of the account value to the Bond Portfolio or Fixed Account. It is possible under the new formula, based on the performance of the Permitted Subaccounts and the Bond Portfolio or Fixed Account, that more or less than 90% of the Account Value may be allocated to the Bond Portfolio or Fixed Account. If the 90% Cap Rule is elected, at any given time, some, most or none of the Account Value may be allocated to the Bond Portfolio or Fixed Account. For complete details on this optional feature please see the prospectus and supplement. Taxes, both federal and state, are not included. Withdrawals of taxable amounts will be subject to ordinary income tax, and if taken prior to age 59 ½, may be subject to a 10% federal income tax penalty.

L – B R = V The Formula R: Target ratio L: Liability (present value of lifetime income) B: Account Value in the Investment Grade Bond Portfolio* V: Account Value in the permitted subaccounts The formula: R= (L - B)/ V L = 5% of the PWV* the corresponding annuity factor (annuity table in the prospectus) B(F) = any assets in the Bond Portfolio/Fixed Account V = any assets in the selected subaccounts For investors with the HD Lifetime Five benefit, the “B” is replaced with “F”, which signifies the Benefit Fixed Rate Account (“Fixed account”). * For investors with the HD Lifetime Five benefit, the “B” is replaced with “F”, which signifies the Benefit Fixed Rate Account (“Fixed Account”)

The Current Challenge… L – B R = Being 100% in the Bond Portfolio/Fixed Account means we divide by $0 The current challenge is - if the formula has allocated 100% to the Bond Portfolio or Fixed Account it is dividing by $0, which “locks” it from transferring any Account Value from the Bond Portfolio or Fixed Account back to the permitted subaccounts.

The 90% Cap Overcomes the Challenge B The day the cap is reached: - R = 10% L B - The day after the cap is reached: R = The 90% Cap overcomes the challenge of dividing by $0. In this example, using HD Lifetime Seven, on the day the Cap is reached we know that there will be 90% in the Bond Portfolio and 10% in the variable accounts. However, on day 2, we don’t know the value of the Bond Portfolio nor do we know the value of the variable accounts. We do know that the variable accounts will be greater than 0, which means the formula continues to function. V > 0 R= Ratio L= Liability B= Bond V= Variable

The Formula is a Two Way Street… Let’s think of the Formula visually as a road. Currently the Formula determines transfers of some, none or all of the account value both into and out of the Fixed Account (HD Lifetime Five) or Bond Portfolio (HD Lifetime Seven). So the Formula is a two way street.

The Formula Becomes a One Way Street… This slide depicts the Formula with the Cap of 90% on the Bond Portfolio/Fixed Account. When a contract hits the 90% Cap, the Formula becomes a one way street. What does that mean exactly? With the Cap in place, a benefit transfer into the Bond Portfolio or Fixed Account would not occur that would result in greater than 90% of the account value being allocated to either the Bond Portfolio or Fixed Account. If the formula requires a transfer that would result in greater than 90% being allocated to the either the Bond Portfolio or Fixed Account, only the amount that would result in exactly 90% of the account being allocated to the Bond Portfolio or Fixed Account would be transferred. Once the Cap has been met, no future transfers into the Bond Portfolio or Fixed Account will occur unless it is first preceded by a transfer out of the Bond Portfolio or Fixed Account. Following this transfer out of the Bond Portfolio or Fixed Account the formula will be able to transfer to or from the Bond Portfolio or Fixed Account (subject to the 90% Cap). If, when elected, the account has greater than 90% in the Bond Portfolio or Fixed Account, a transfer will be made that results in exactly 90% of the account being allocated to the Bond Portfolio or Fixed Account (i.e. if the account has $95,000 in the Bond Portfolio or Fixed Account and $5,000 in the elected subaccounts, a transfer of $5,000 would be made from the Bond Portfolio or Fixed Account to the elected sub-accounts pro-rata or according to most recent allocation instructions). This transfer would result in the 90% Cap being met such that no future transfers into the Bond Portfolio or Fixed Account would occur unless it is first preceded by a transfer out of the Bond Portfolio or Fixed Account. Additional purchase payments made while the Cap is in place will be immediately allocated among selected subaccounts and cannot be transferred into the Bond Portfolio or Fixed Account unless there is first a transfer out of the Bond Portfolio or Fixed Account.

Then back to a Two Way Street… After the Cap is reached and there is a transfer out of the Fixed Account/Bond Portfolio, the formula becomes a two way street again, up to the Cap of 90% on transfers back into the Fixed Account/Bond Portfolio. Additional Details: The cap may or may not result in future transfers out of the Fixed Account/Bond Portfolio That account may have greater than 90% in either the Fixed Account/Bond Portfolio due to poor subaccount performance and/or positive Fixed Account/Bond Portfolio performance If elected, the Cap cannot be revoked unless the entire benefit is terminated Purchase payments made while the Cap is in place (if there is not a transfer out of the Fixed Account/Bond Portfolio) will be subject to the performance of the elected subaccounts (positive and negative) and will not be protected by the transfer activity of the formula, at least until there is first a transfer out of the Fixed Account/Bond Portfolio.  

How can a contract have more than 90% in the Bond Portfolio/Fixed Account? Account value allocation the day the 90% cap is met Next day account value % of total account value Next day performance Bond/Fixed $90,000 + 1% $90,900 90.3% $100,000 $100,700* Variable $10,000 -2% $9,800 9.7% Here is how a contract can “drift” to have more than 90% in the Bond Portfolio or Fixed Account. As shown, if the contract is at the 90% Cap and the Bond Portfolio grows 1% the next day while the variable subaccounts are down 2%, the client will end the next day with 90.3% in Bond/Fixed and 89.7% in variable. It is important to note that for HD Lifetime Five, the Fixed Account will grow at a pre-determined interest rate that will yield far less than a 1% growth in any day. However, the theory still works in even if there is a small increase in the Fixed Account, if the variable subaccount declines, the contract will have more than 90% in the Fixed Account. * It’s important to note in this example the 1% increase in the Bond Portfolio/BFRA more than offset the 2% loss in the variable portfolio, so the Total Account Value actually increased to $100,700. This example also illustrates that the results for contracts with the majority of Account Value in the Bond Portfolio/BFRA will be driven by the Bond Portfolio/BFRA’s performance.

Important Summary Points… The 90% Cap Once the 90% Cap is reached, no future transfers into the Bond Portfolio/Fixed Account will occur until first preceded by a transfer out (One Way Street). After the transfer out, the formula may transfer Account Value to or from the Bond Portfolio/Fixed Account subject to the 90% Cap. (Back to Two Way Street) The formula will not transfer more than 90%. However, it is possible that, due to the investment performance of the Bond Portfolio/Fixed Account and the permitted subaccounts, the Account Value could be more than 90% invested in Bond Portfolio/Fixed Account. Once the 90% Cap is reached, no future transfers into the Fixed Account or the Bond Portfolio will occur at least until it is first preceded by a transfer out of the Fixed Account or the Bond Portfolio. Following the transfer out of the Fixed Account or Bond Portfolio the formula may transfer Account Value to or from the Fixed Account or Bond Portfolio subject to the 90% Cap. The formula will not transfer more than 90%, of the Account Value to the Fixed Account or Bond Portfolio. However, it is possible that, due to the investment performance of the allocations in the Bond Portfolio or Fixed Account and the allocations in the Permitted Subaccounts that have been selected, the Account Value could be more than 90% invested in the Bond Portfolio or Fixed Account.

Additional Purchase Payments For Example: March 19, 2009 – a transfer is made to the Benefit Fixed Rate Account (“Fixed Account” – HD Lifetime Five) that results in the 90% Cap being met and now the $90,000 is allocated to the Fixed Account and $10,000 is allocated to the permitted subaccounts. March 20, 2009 – your client makes an additional purchase payment of $10,000. No transfers have been made from the Fixed Account to the permitted subaccounts since the Cap went into effect March 19, 2009. As of March 20, 2009 (and at least until first a transfer is made out of the Fixed Account under the formula) – the $10,000 payment is allocated to the permitted subaccounts and you now have a 82% account value balance in the Fixed Account and 18% in the permitted subaccounts (such that $20,000 is allocated to the permitted subaccounts and the $90,000 is allocated to the Fixed Account). Once there is a transfer out of the Fixed Account (of any amount), the formula will operate as described above, meaning that the formula could transfer amounts to or from the Fixed Account if dictated by the formula (subject to the 90% Cap). Additional purchase payments made to a contract which is at the 90% Cap will be immediately allocated among the permitted subaccounts and will not be transferred into the Bond Portfolio or Fixed Account at least until there is first a transfer out of the Bond Portfolio or Fixed Account, meaning that the formula may never transfer any portion of the purchase payment to the Bond Portfolio or Fixed Account.

How the Ratio is Calculated Example: PWV = $200,000 AV = $179,500 Contract = 1 year old Annual Income = $10,000 (5% x $200,000) A = 14.95 (annuity table) The ratio is above 83%, causing a transfer into the Bond Portfolio or Fixed Account Let’s take another look at this mathematical example. Remember what each letter represents (explain them again): R= (L - B)/ V L = 5% of the PWV* the corresponding annuity factor (annuity table in the prospectus) B (F) = any assets in the Bond Portfolio/Fixed Account V = any assets in the selected subaccounts Our Liability is equal to 5% of the PWV multiplied by A Based on the numbers here, that comes out to $10,000 * 14.95 = $149,500. We compare this to the variable account value of $179,500 to come up with a ratio of 83.3% - too high! Money needs to move to the Bond Portfolio/Fixed Account. In this example we transfer $29,500 into the Bond Portfolio/Fixed Account, which would reduce the ratio from 83.3% to 80%. This represents a transfer of 16.4% of the account value. (L) (L) (B) (5% * PWV * A) - B V ($10,000 x 14.95) - 0 $179,500 83.3% = = (V)

The “Corridor” Ratio < 50% 100%+ 77% 80% 83% Another way to think about the ratio is to visualize it as a corridor. This corridor shows that outer limits of the corridor are 77% and 83%, with 80% being the goal in the middle. All contracts start out at 76.7% and can increase or decrease from the starting point. If the ratio goes beyond 83%, money will be moved into the Bond Portfolio/Fixed Account. If money is in the Bond Portfolio/Fixed Account and the ratio falls below 77%, some or all of the money will be transferred back to the variable subaccounts. The goal upon any transfer is to bring the ratio back to 80%, the middle of the corridor. Hypothetical For Illustrative Purposes Only

A contract through the “corridor” HD Lifetime Seven: AST First Trust Capital Appreciation Daily Ratios from 1/28/08 to 11/1/08 Ratio < 50% 77% 83% 100% + 80% 1/28 All contracts start at 76.7% L – B R = This shows an actual contract elected on Jan 28 and invested in the AST First Trust Capital Appreciation Portfolio. As you can see, the ratio starts at 76.7% and fluctuates over the upcoming months. Every time it exceeds 83%, the next day the ratio is moved back to 80% by transferring some of the funds to the Bond Portfolio. And you can see that several times the ratio fell below 77%, resulting in money moving back to variable. However, due to market losses, this specific contract eventually ends up 100% in the Bond Portfolio. Contract goes to 100% Bond Portfolio: There is no ratio since we are dividing by 0 10/9 Hypothetical For Illustrative Purposes Only

HD Lifetime Seven Contracts… At 100% & The Cap Since the Cap is not currently available for election, the following slides are hypothetical, intended to provide a sense of how the Cap could operate when applied to HD Lifetime Seven contracts that are allocated 100% to the Bond Portfolio, assuming different market conditions We will see that for these contracts, the primary driver for transfers out of the Bond Portfolio, subsequent to cap election, is the performance of the Bond Portfolio Read assumptions for hypothetical examples to follow.

Hypothetical For Illustrative Purposes Only Applying The Cap…HD Lifetime Seven contracts with 100% in the Bond Portfolio 77% 80% 83% 100%+ Cap Election Date After the Cap is applied, the contract’s ratio is still above 83% The contract would not see a second transfer the next day* So, what can happen to a contract after the Cap is elected? If after applying the Cap the contract’s ratio is still above 83%, we would not see an additional transfer out of the Bond Portfolio the next day (assuming flat AV performance the next day). * Assumes flat Account Value performance the next day Hypothetical For Illustrative Purposes Only

Applying The Cap…HD Lifetime Seven contracts with 100% in the Bond Portfolio Ratio < 50% 77% 80% 83% After Cap is applied the contract’s ratio is below 77% The contract would see a second transfer the next day** On the other hand, if the contract’s ratio is below 77% after applying the Cap, we would see an additional transfer out of the Bond Portfolio the next day (assuming flat AV performance the next day). Keep in mind that the primary driver for transfers out of the Bond Portfolio, subsequent to Cap election, is the contract’s ratio. * Assumes flat AV performance the next day Hypothetical For Illustrative Purposes Only

HD Lifetime Seven Contracts & The Cap Key Points Each contract’s circumstances are different and will depend on where the ratio is on Cap election date. For contract’s at 100%, the Bond Portfolio’s performance prior to electing the Cap is the primary factor in determining the contract’s ratio. Read key points

Highest Daily Guaranteed Return OptionSM (HD GRO) Optional Module #9 Highest Daily Guaranteed Return OptionSM (HD GRO) Slides [126-130] Please hide this slide when presenting. If presenting, please use all of the slides in this module.

Help Secure Your Client’s Future Protect Retirement Savings With a guaranteed minimum account value after 10 years* Capture Investment Growth By automatically locking in new guarantees each year, based on the annuity’s highest daily value A variable annuity with the Highest Daily Guaranteed Return Option (HD GRO) can help your client plan for a secure retirement. They’ll have opportunities to realize greater guarantees based on their annuity’s highest daily value with the certainty that their purchase payments will be guaranteed after ten years. Protect Retirement Savings – With an initial guarantee that the account value will be equal to 100% of the purchase payments* ten years after the benefit is elected Capture Investment Growth – By automatically locking in new guarantees each year, based on the annuity’s highest daily value. A new guarantee does not replace any existing guarantees; it matures ten years from the date it is locked in. * Purchase payments are adjusted for any credits or withdrawals. If adding HD GRO to an existing annuity, the initial guarantee equals the account value at the time of benefit election. Now let’s look at a case study, which illustrates how HD GRO works… * Purchase payments are adjusted for any credits or withdrawals. If adding HD GRO to an existing annuity, the initial guarantee equals the account value at the time of benefit election.

ACCOUNT VALUE without HD GRO INITIAL PURCHASE PAYMENT HD GRO Case Study ENHANCED GUARANTEE 2 C HIGHEST DAILY LOCK IN ACCOUNT VALUE without HD GRO B HIGHEST DAILY LOCK IN ENHANCED GUARANTEE 1 A INITIAL GUARANTEE INITIAL PURCHASE PAYMENT Joe, age 49, decides to purchase a variable annuity from Prudential Annuities and adds the protection of the optional HD GRO accumulation benefit, for an additional fee of 0.35%. His financial goal is to accumulate as much money as possible before retirement, but he doesn’t want to risk losing his principal. The initial guarantee provided by HD GRO protects Joe’s savings by ensuring he will receive no less than his purchase payment ten years after he elects the benefit. The chart illustrates how HD GRO… Guarantees Joe’s initial purchase payment after ten years (A). Automatically captures his annuity’s highest daily value on December 26th of the first year (B) (click) and September 7th of the third year (C) (click) , locking in new guarantee amounts on each corresponding benefit anniversary. The guarantees will mature at ages 60 and 62 respectively and remain in effect if no new guarantees mature in subsequent years. On the anniversary a guarantee matures, HD GRO compares Joe's account value to the guaranteed amount. If the account value is less, HD GRO adds money to his annuity so that the account value equals the amount of the guarantee. Provides Joe with the flexibility to choose an earlier guarantee, should he decide to retire before age 62. Age 50 51 52 53 54 55 56 57 58 59 60 61 62 This hypothetical example is for illustrative purposes only and is not meant to represent the performance of any specific annuity. If this were an actual example, various costs would be factored into the gross return, including annual insurance charges of the annuity, annual contract charges, any applicable distribution charges, investment management fees of the variable subaccounts, the cost for any optional features, and any other applicable fees. Please read the prospectus carefully for descriptions of the underlying costs. Program rules and restrictions may apply. Please see the prospectus for complete details. Guarantees including optional benefits are backed by the claims-paying ability of the issuing company.

At a Glance Issue Ages Annual Cost: 0.60% Flexibility and Control Minimum Issue Age: none Maximum Issue Age: 84; subject to the annuity product selected and may vary by broker/dealer Annual Cost: 0.60% Assessed daily against the variable account value*  Flexibility and Control Dollar-for-dollar withdrawals up to 5% of the initial guarantee amount per year No annuitization or systematic withdrawals are required to realize the guarantee(s)** Let’s look at the specs (Read Slide). * The fee is in addition to the fees and charges associated with the basic annuity selected. Please note that upon step-up, the fee may be different. See the prospectus for more details. ** While annuitization is not required to receive income under these benefits, there is a maximum date by which annuity payments must begin under the terms of the annuity.

At a Glance Spousal Continuation Election Options Investment Options The surviving spouse can elect to assume the annuity contract and continue the HD GRO benefit, with no interruption to the initial or enhanced guarantee Election Options Can be elected either at contract issue or after the contract is issued. If cancelled, HD GRO can be can be re-elected on any day beginning with the following business day Investment Options Invest in a wide variety of individual, asset allocation and specialty subaccounts Let’s look at the specs. (Read Slide).

HD GRO Manages Your Clients’ Accumulation Guarantees Predetermined mathematical formula helps manage the guarantees Formula transfers AV into or out of Bond Portfolios, based on a number of factors At any time, some, none, or all of the AV may be allocated to the Bond Portfolio s If all AV is in Bond Portfolios, it will remain there If additional payments are made, formula may/may not transfer AV out of Bond Portfolios Amounts in Bond Portfolios will affect the ability to participate in a subsequent recovery Conversely, AV may be higher at the beginning of the recovery Highest Daily Guaranteed Return Option (HD GRO) uses a pre-determined mathematical formula to help manage your clients’ guarantees through all market cycles. Each business day, the formula determines if any portion of the account value needs to be transferred into or out of certain AST Bond Portfolio Subaccounts (the "Bond Portfolios"). Amounts transferred by the formula depend on a number of factors unique to your client’s individual annuity and include: (i) The difference between the account value and the Guarantee Amount(s); (ii) The amount of time until the maturity of the Guarantee(s); (iii) The amount invested in, and the performance of, the Permitted Subaccounts; (iv) The amount invested in, and the performance of, the Bond Portfolios; (v) The discount rate used to determine the present value of the Guarantee(s); and (v) The impact of additional purchase payments made to and withdrawals taken from the annuity. Therefore, at any given time, some, none, or all of the account value may be allocated to the Bond Portfolios. If the entire account value is transferred to the Bond Portfolios, then based on the way the formula operates, the formula will not transfer amounts out of the Bond Portfolios to the Permitted Subaccounts and the entire account value would remain in the Bond Portfolios. If additional purchase payments are made to the annuity, they will be allocated to the Permitted Sub Accounts according to the allocation instructions. Such additional purchase payments may or may not cause the formula to transfer money in or out of the Bond Portfolios. Once the additional purchase payments are allocated to the annuity, they will also be subject to the mathematical formula, which may result in immediate transfers to or from the Bond Portfolios, if dictated by the formula. Transfers to and from the Bond Portfolios do not impact any guarantees that have already been locked-in. Any amounts invested in the Bond Portfolios will affect your clients’ ability to participate in a subsequent recovery within the Permitted Subaccounts. Conversely, the account value may be higher at the beginning of the recovery, e.g. more of the account value may have been protected from decline and volatility than it otherwise would have been had the benefit not been elected. Please see the prospectus for complete details.

Guaranteed Return Option Plus (GRO Plus®) Optional Module #10 Guaranteed Return Option Plus (GRO Plus®) Please hide this slide when presenting. If presenting, please use all of the slides in this module. Slides [132-136] Available with Advanced Series variable annuities only

Help Secure Your Client’s Future Protect Retirement Savings With a guaranteed minimum account value after 7 years* Capture Investment Growth With opportunities to lock in higher values for greater guarantees A variable annuity with Guaranteed Return Option Plus (GRO Plus) can help your client plan for a secure retirement. They’ll have opportunities to realize greater guarantees with the certainty that their purchase payments will be guaranteed after seven years. Protect Retirement Savings – With an initial guarantee that the account value will be equal to 100% of the purchase payments* seven years after the benefit is elected Capture Investment Growth – By locking in an enhanced guarantee at any time, each year, while retaining the initial guarantee**. Automatic Step-up Option – an enhanced guarantee is automatically locked in if the account value as of that benefit anniversary exceeds the highest guarantee by 7% or more. * Purchase payments are adjusted for any credits or withdrawals. If adding GRO Plus to an existing annuity, the initial guarantee equals the account value at the time of benefit election. ** Election of an enhanced guarantee supersedes any prior enhanced guarantee and begins a new seven-year waiting period. * Purchase payments are adjusted for any credits or withdrawals. If adding GRO Plus to an existing annuity, the initial guarantee equals the account value at the time of benefit election.

ACCOUNT VALUE without GRO Plus GRO Plus – How It Works ACCOUNT VALUE without GRO Plus ENHANCED GUARANTEE ENHANCED GUARANTEE Let’s take a look at GRO Plus in action. The base guarantee stays in place on each benefit anniversary from year 7 on, as long as the benefit is in force. Let’s assume the client takes a step up at age 57 (click to reveal the first Enhanced Guarantee). This now represents the “enhanced” guarantee, which matures 7 years from the step-up point and every benefit anniversary thereafter (age 64 in this example). Now let’s assume the client takes another step up, this time at age 59 (click to reveal the second Enhanced Guarantee). This step up replaces the previous step up the client took at age 57. The client will always retain his most current enhanced step-up amount and his base guarantee amount. In this example those are his initial purchase payment, maturing at age 62, and his second enhanced guarantee, maturing at age 66. Speaker notes: Emphasize Your client never loses their base guarantee, even if they step up to an “enhanced” guarantee amount If guarantee is stepped up, the client has the flexibility to cancel their “enhanced” guarantee at any point and retain their base guarantee In addition, the client can elect in advance to automatically step up their enhanced guarantee on any benefit anniversary where the account value is at least 7% higher than the current highest guarantee amount. The client can always elect to step up the base or enhanced guarantee on any benefit anniversary where the account value is higher than the current highest guarantee amount, regardless of whether or not they have elected the automatic step-up feature. INITIAL PURCHASE PAYMENT BASE GUARANTEE Age 56 57 58 59 60 61 62 63 64 65 66 This hypothetical example is for illustrative purposes only and is not meant to represent the performance of any specific annuity. If this were an actual example, various costs would be factored into the gross return, including annual insurance charges of the annuity, annual contract charges, any applicable distribution charges, investment management fees of the variable subaccounts, the cost for any optional features, and any other applicable fees. Please read the prospectus carefully for descriptions of the underlying costs. Program rules and restrictions may apply. Please see the prospectus for complete details. Guarantees including optional benefits are backed by the claims-paying ability of the issuing company.

At a Glance Issue Ages Annual Cost: 0.60% Flexibility and Control Minimum Issue Age: none Maximum Issue Age: 84; subject to the annuity product selected and may vary by broker/dealer. Annual Cost: 0.60% Assessed daily against the variable account value*  Flexibility and Control Dollar-for-dollar withdrawals up to 5% of the initial guarantee amount per year No annuitization or systematic withdrawals are required to realize the guarantee(s)** Let’s look at the specs (Read Slide). * The fee is in addition to the fees and charges associated with the basic annuity selected. Please note that upon step-up, the fee may be different. See the prospectus for more details. ** While annuitization is not required to receive income under these benefits, there is a maximum date by which annuity payments must begin under the terms of the annuity.

At a Glance Spousal Continuation Election Options Investment Options The surviving spouse can elect to assume the annuity contract and continue the GRO Plus benefit, with no interruption to the initial or enhanced guarantee Election Options Can be elected either at contract issue or after the contract is issued If cancelled, GRO Plus can be re-elected on any day beginning with the following business day Investment Options Invest in a wide variety of individual, asset allocation and specialty subaccounts Let’s look at the specs. (Read Slide).

GRO Plus Manages Your Clients’ Accumulation Guarantees Predetermined mathematical formula helps manage the guarantees Formula transfers AV into or out of Bond Portfolios, based on a number of factors At any time, some, none, or all of the AV may be allocated to the Bond Portfolio s If all AV is in Bond Portfolios, it will remain there If additional payments are made, formula may/may not transfer AV out of Bond Portfolios Amounts in Bond Portfolios will affect the ability to participate in a subsequent recovery Conversely, AV may be higher at the beginning of the recovery Guaranteed Return Option Plus 2008 (GRO Plus) uses a pre-determined mathematical formula to help manage your clients’ guarantees through all market cycles. Each business day, the formula determines if any portion of the account value needs to be transferred into or out of certain AST Bond Portfolio Subaccounts (the "Bond Portfolios"). Amounts transferred by the formula depend on a number of factors unique to your client’s individual annuity and include: (i) The difference between the account value and the Guarantee Amount(s); (ii) The amount of time until the maturity of the Guarantee(s); (iii) The amount invested in, and the performance of, the Permitted Subaccounts; (iv) The amount invested in, and the performance of, the Bond Portfolios; (v) The discount rate used to determine the present value of the Guarantee(s); and (v) The impact of additional purchase payments made to and withdrawals taken from the annuity. Therefore, at any given time, some, none, or all of the account value may be allocated to the Bond Portfolios. If the entire account value is transferred to the Bond Portfolios, then based on the way the formula operates, the formula will not transfer amounts out of the Bond Portfolios to the Permitted Subaccounts and the entire account value would remain in the Bond Portfolios. If additional purchase payments are made to the annuity, they will be allocated to the Permitted Sub Accounts according to the allocation instructions. Such additional purchase payments may or may not cause the formula to transfer money in or out of the Bond Portfolios. Once the additional purchase payments are allocated to the annuity, they will also be subject to the mathematical formula, which may result in immediate transfers to or from the Bond Portfolios, if dictated by the formula. Transfers to and from the Bond Portfolios do not impact any guarantees that have already been locked-in. Any amounts invested in the Bond Portfolios will affect your clients’ ability to participate in a subsequent recovery within the Permitted Subaccounts. Conversely, the account value may be higher at the beginning of the recovery, e.g. more of the account value may have been protected from decline and volatility than it otherwise would have been had the benefit not been elected. Please see the prospectus for complete details.

Optional Death Benefits Optional Module #11 Optional Death Benefits Slides [138-141] Please hide this slide when presenting. If you are presenting the Advanced Series product line, all of the slides in this module should be used. If you are presenting the Prudential Premier product line, please be aware that some of the slides are optional... [Slides 139 and 140] are for use in all states, but New York [Slide 141] is only to be used when presenting in New York Once you have made your selections, please hide the slides you are not using and present all other slides in this module.

Do death benefits have value? 1990s: Diminishing value to death benefits in variable annuities In 2004: 39% had death benefits payable that exceeded the value of the account balance Average death benefit was $79,195 while the average account balance was $62,950 As of 12/31/2004: 30% of all deferred VA contracts had hypothetical death benefits that were “in the money” Now that we have examined the different living benefits available to your clients, let’s turn our attention to the optional death benefits we offer. I would like to start with a little history on the value that optional death benefits can provide to a client. In the early 90s, there was a diminishing value to death benefits in variable annuities. Why? The 1990s bull market created annuity account values that were, in many cases, higher than the annuity’s death benefit. But many who bought variable annuities five years ago have death benefits that are actually “in the money,” due to current market conditions. LIMRA conducted a (MarketScan) survey regarding deferred variable annuity (VA) death benefits for contracts that terminated due to death and for in-force business in 2004. Nineteen VA companies responded. Speaker notes: (Read Slide and add the following bullet): Hypothetical death benefits exceeded account balances by $19.3 billion, 6.6% above the value of the account balances as of 12-31-2004. Now let’s turn our attention to the optional death benefits we offer… Source: LIMRA ( MarketScan) Survey, 2004

Optional Death Benefits Combination 5% Roll-up and HAV Highest Anniversary Value (HAV) (Read Slide) Let’s begin our optional death benefits discussion by focusing on a death benefit constructed like many of our cutting edge living benefits, the Combination 5% and HAV death benefit.

Combination 5% Roll-up and HAV Death Benefit Guarantees a death benefit based on a minimum 5% annual compounded rate of return May provide clients with a death benefit with both down market protection and up-market opportunity Annual cost of 0.80%, assessed daily against the variable account value* The Combination 5% Roll-up and Highest Anniversary Value (HAV) Death Benefit can help clients guarantee that their beneficiaries will receive a death benefit based on a minimum 5% annual compounded rate of return. May provide clients with a death benefit with both down market protection and up-market opportunity. Specs - Annual cost of 0.80%, assessed daily against the variable account value Maximum issue age – 79 May be elected at issue only and cannot be cancelled Certain investment options not available * This fee is in addition to fees and charges associated with the basic annuity. See the prospectus for more details.

Highest Anniversary Value (HAV) Death Benefit Guarantees the highest account value on any contract anniversary May provide upside market opportunity at a lower cost than the other optional death benefit choices Annual cost 0.40%, assessed daily against the variable account value This slide is optional if presenting the Prudential Premier product line, because HAV is only available in New York. HAV guarantees that beneficiaries will receive the highest account value on any contract anniversary. The HAV death benefit may provide up-market opportunity at a lower cost than the other optional death benefit choices. Specs- Annual cost of 0.40%, assessed daily against the variable account value Maximum issue age – 79 May be elected at issue only and can be cancelled at any time. If cancelled, HAV cannot be re-elected Withdrawals reduce the HAV death benefit proportionally Certain investment options not available * This fee is in addition to fees and charges associated with the basic annuity. See the prospectus for more details.

Wealth Transfer Strategies Optional Module #12 Wealth Transfer Strategies Slides [143-151] Please hide this slide when presenting. Use this module in conjunction with Module 10 (Optional Death Benefits) or as a stand alone module. If presenting, please use all of the slides in this module.

Additional Opportunity… Now Accepting Inherited Business! Available with Non-Qualified, IRA and Roth IRA business Help manage tax liabilities from death benefit proceeds Access to world-class portfolio managers Regular compensation paid Base death benefit, auto rebalancing, dollar cost averaging and more Maximum issue age: 70 Not available with bonus annuity products Effective February 23rd, 2009, Prudential Annuities will begin accepting Inherited Beneficiary (Stretch) business. It will be available with non-qualified, IRA and Roth IRA assets. This new feature can help your clients manage their tax liabilities from death benefit proceeds. Inherited Beneficiary can be used with all annuity products except Bonus products. (Read Bullets)

Common Planning Problems / Concerns Annuity Owners Postpone estate planning until it’s too late / serious illness happens Avoid establishing trusts as being too costly Beneficiaries Often choose lump-sum payout / tax burden May not be aware of available options Not always fiscally responsible / have special needs The primary focus of investors saving for retirement is to ensure their accumulations are sufficient to support their retirement. And variable annuities oftentimes play a role in how investors work towards their specific goals, including using optional living benefits to provide a measure of protection against the unknown. Variable annuities also provide guaranteed death benefits to pass along savings investors spent decades accumulating, but perhaps never used. By planning ahead for how the assets should distributed upon their death may mean a significant difference in what ultimately gets passed on to the beneficiaries. Should the unexpected happen before the annuity is annuitized, or if the annuity owner has other savings earmarked for their income needs and want to pass on as much as possible, it is very important they have the right plans in place. Now, there are variety of reasons why perhaps death benefit planning is often tabled for a discussion at a later date – which could pose a rather large problem for beneficiaries and their estate should something unexpected happen. Let’s take a look at some of the common planning issues facing annuity investors AND beneficiaries today. Postponing estate planning until it’s too late Trusts are viewed as being costly OR even worse they unnecessarily spend to much. Equally, beneficiaries can also be responsible for inadequate planning or lacking responsibility relating to the sum of money to come into their possession: (Read through bullets under “Beneficiaries”) There are ways to potentially solve through problems faced by both through an available feature on our annuities called the Beneficiary Continuation Option.

Wealth Transfer Strategy Beneficiary Continuation Option “Stretch Benefit” Provides: Lifetime income for beneficiaries Ability to continue tax deferral/growth potential Potential for generations of income Systematic distribution strategy with “no surprises” The Beneficiary Continuation Option, also know as the “Stretch” or “Stretch IRA” when used with rollovers, allows the beneficiary to take distributions over his or her own life expectancy. Not only does the stretch help reduce the income taxes due upfront, but also allows the funds to remain invested for continued growth potential. The named beneficiaries, who are usually younger than the original owner, may be able to take distributions based on their own life expectancies. Should the account value continue to grow, the distributions could be continued for generations. Furthermore, the BCO can be elected in advance by the annuity owners as an element of control to their annuity and act as a means to distribute the assets AS THEY INTENDED for their beneficiaries upon their death. By allowing the annuity owner in advance to designate the BCO as a payout option to their beneficiaries- it potentially helps avoid some of the known pitfalls which commonly happens when assets get handled at the estate level. It is important that your clients inform beneficiaries of any planning strategies they have implemented to ensure their intentions are clear. Now, lets look at an example showcasing how the “stretch” option can work.

Spanning Generations – Stretch IRA June (daughter) Keri (spouse) Kurt (grandson) John (husband) $250,000 IRA Begins RMD’s at 70 ½ Upon John’s death, Keri rolls into her IRA Begins RMDs (age 75) Based on life expectancy Daughter, June, keeps IRA invested With Beneficiary Continuation Option Receives annual payments based on her life expectancy Upon June’s death, Kurt continues receiving June’s distributions Distributions received $117,504 $158,610 $360,131 $441,963 Total $1,078,218 (after taxes) $84,603 $114,206 $241,288 $296,116 $736,212 Through careful planning, John and his wife Keri were able to use John’s $250,000 IRA to provide distributions for several decades – spanning three generations and totaling more than $730,000. The Beneficiary Continuation Option helped to preserve the legacy for their daughter and grandson by keeping the assets invested for potential growth while spreading out the tax liability over time. Here, we are assuming a 6% return on the invested assets while the distributions are occurring annually. (Click to run through animations and table) Over the first 10 years John receives his Required Minimum Distributions , upon his death in year 10 Keri continues her Required Minimum Distributions for another 10 years, before passing. Nearly $200,000 in distributions occur between John and Keri as a result of Required Minimum Distributions ($84,603 and $114,206 after taxes respectively). Because the account value remains invested, it is nearly $300,000 upon Keri’s death in year 21 when June begins receiving BCO distributions. Then approximately after 20 years and $241,288 in after tax-distributions, June passes away leaving the remaining account value paid to her son (John’s grandson) over June’s remaining life expectancy. Kurt receives close to $300,000 after taxes over a 10-year period. Again, what this chart illustrates is the potential benefits available to the beneficiaries by keeping the account value invested and stretching out the distributions over time. Hypothetical chart is based on a 51- year period and current tax laws. There is no guarantee a 6% annual return can be achieved. The value of the underlying investments will fluctuate and may be worth more or less than their original value. When clients purchase a variable annuity for any tax-qualified retirement plan, they do not receive any additional tax-deferred treatment beyond what is provided in your current plan. Keep in mind that you do not have to purchase an annuity in order to take advantage of "stretching" a qualified investment. "Stretching" is based upon current tax law. If these laws change in the future, a client's ability to maintain estimated distributions may be affected. Tax deferral is provided by an Individual Retirement Account and other qualified retirement plans. A variable annuity contract should be used to fund a qualified retirement plan to benefit from the annuity’s features other than tax deferral, including lifetime income payout option, the death benefit protection, and the ability to transfer among investment options without sales or withdrawal charges. 0% Return Scenario (assuming withdrawals) 6% Return Scenario (assuming withdrawals). This chart is for illustrative purposes only and is not indicative of the performance of any investment or annuity product. If this was an actual annuity, various costs would be factored into the gross return including annual insurance and administrative charges of the annuity, annual contract charges, investment management fees of the variable subaccounts, and any other applicable fees, which would lower the overall performance. Withdrawals are subject to ordinary income tax and, if taken prior to age 59½, may be subject to a 10% federal income tax penalty. This chart assumes: (i)The owner of the IRA will take the smallest amount of money from the IRA that the law allows and at the latest opportunity. (ii) Tax laws will not change during the life of the IRA. (iii) Illustrations do not take into account, the effects of inflation which will erode the purchasing power of investment. (iv) The rate of return on the underlying investment in the IRA will be constant over the term of the IRA when in fact, account values are subject to market risks that cannot be predicted.

Electing “Stretch” Payout Option Annuity owners – can elect any time Select as Predetermined Payout Option for beneficiaries Beneficiaries – upon death of owner Submit Certificate of Death Complete Beneficiary Continuation Option Forms Election/Allocation Instruction Form Now lets run through some of the specifics for annuity owners and beneficiaries for electing the Beneficiary Continuation Option. The Annuity Owners can select the BCO as a death benefit distribution option at any time. In this case, the early selection of the payout option by the owner is considered a “Predetermined Payout Option” by the annuity owner, and can be elected on the “Beneficiary & Predetermined Payout Option” form. We’ll talk more about Predetermined Payout Options in the next section, as well as reasons why owners may want to pick it ahead of time. They should know that once selected by the annuity owner, it cannot be changed by the beneficiary. For Beneficiaries who have the ability to choose how to receive the payments, the first step will be to submit the certificate of death. Then the Beneficiary Continuation Option will can be elected using the BCO form along with allocation instructions since the assets will remain invested. Allowable beneficiaries – Multiple beneficiaries allowed Spouse Children Friends Charities and Estates Grandchildren Nieces / Nephews Trusts

Availability Non-qualified variable annuities Rollovers funded by a variable annuity Traditional IRAs 403(b)s SEP IRAs Roth IRAs Distribution rules vary for qualified and non-qualified distributions, please consult a tax expert regarding your clients’ specific situation. Conversions to a Roth IRA are generally fully taxable. Before you convert to a Roth IRA, consider how your tax bracket will affect the overall benefit of the rollover. Conversion income may push you into a higher tax bracket. It is, however, possible to convert only part of your traditional IRA. This could enable you to remain in the same tax bracket you would be in without the conversion. It is generally advisable to pay the taxes on the conversion with funds other than those in your traditional IRA. If you are under age 59½ when you do a conversion, any funds not deposited in the Roth IRA will be subject to the 10% federal income tax penalty (unless an exception applies). The Beneficiary Continuation Option is available on both non-qualified variable annuities from ( Prudential Annuities) and rollovers from IRA’s, including: Traditional IRAs 403(b)s SEP IRAs Roth IRAs The distribution rules vary for qualified vs non-qualified distributions, so be sure to speak with a tax expert regarding your clients’ own situation.

Predetermined Payout Elections “Restricted Beneficiary Options” Common Planning Problems/Concerns: Annuity Owners Ensuring “fair” handling of assets Guiding family members through difficult period Matching payout options with beneficiary’s needs Beneficiaries Lack financial knowledge Not always fiscally responsible Often have special needs In the past, variable annuity owners had little control over how their beneficiaries received death benefit assets. The only way to exert control was to name a trust as beneficiary at added expense and hassle. Now there is a way for you to specify how the proceeds from your client’s annuity’s death benefit are distributed – with as much or as little flexibility as he or she prefers. In some cases, your clients may want to restrict the method by which a death benefit is paid to heirs. This could be for a number of reasons, including: To help ensure the assets are distributed as the annuity owner would have wanted. Guide family members through the difficult period – where the payout available options can be overwhelming Match the payout options with the beneficiary’s needs – which can be for thrift protection. Beneficiaries, while the primary driver for selecting the Predetermined Payout Option, may have other needs that would warrant the selection, such as: Lacking financial knowledge. In spousal situations, it is common for one person to assume control of the financials. Upon death, the remaining spouse could be left with many questions and decisions they aren’t prepared for. Not being fiscally responsible (ie- likes to spend money), which can definitely be a reason of concern for the annuity owner when it comes to preserving their legacy, and The beneficiary may have special needs

Help Transfer Your Clients’ Assets And Their Values Allow annuity owners to retain control Specify death benefit payout in advance Structure distributions to meet particular needs Standard options Beneficiary Continuation Option Life only Period certain (5, 10, 15, 20 years) Life annuity with period certain Flexible options (Predetermined Payouts) Additional withdrawals Lump-sum distribution Beneficiary’s choice Regardless of the reason, the use of the beneficiary restriction via the Predetermined Payout Option can be a helpful tool in resolving your client’s unique concerns. The bottom line is the annuity owner ultimately retains control by selecting in advance the available death benefit payout options. Depending on the situation, the owner may want to provide flexibility by allowing the beneficiary to receive a percentage of the death benefit as a lump-sum, with the rest spread over their life expectancy or other available payout option. Regardless – the owner is not limited to the standard options, but may customize to suit the particular, or perhaps changing needs of the beneficiaries.

Electing Predetermined Payout Options Beneficiary and Predetermined Payout Election Form Designate, add or change beneficiary(ies) Select appropriate death benefit payout option Sign and return With one form, The Beneficiary and Predetermined Payout Election Form, annuity owners can: Designate, add or change beneficiaries Choose the appropriate payout option for the beneficiary(ies) Then simply sign and return to the address provided on the form.

Invest with GuaranteesSM Optional Module #13 Invest with GuaranteesSM Slides [153-161] Please hide this slide when presenting. At this point, you need to decide whether you will present all, part or none of the Investment Options section of this presentation. This section is composed of three modules: I. Invest with Guarantees (Module #13) II. Our Investment Platform (Module #14) III. Asset Allocation Options Performance (Module #15) All of the modules work together to deliver a cohesive message, however, Module 13 is the core investment message. So, in order to use any of the optional slides in Modules 14 or 15, you must use Module 13. As you present these modules, you may want to reference the Product & Services Guide. Many of the exhibits in these modules are depicted there as well.

Alternative & Traditional Investments Maximizing The Guarantees Our Investments Can Help Your Clients’ Guarantees Our Investment Platform Leverages Three Core Principals: Flexibility Flexibility Alternative & Traditional Investments Maximizing The Guarantees Our investment platform leverages three core principles: # 1: Proving Flexibility # 2: Adding Alternatives To Traditional Investments # 3: Maximizing the guarantees Guarantees including optional benefits are backed by the claims-paying ability of the issuing company and do not apply to the underlying investment options. “Guarantees” refer to elements of optional benefits, available at an additional cost. Please see the prospectus for more details.

Flexibility Help Smooth Volatility & Pursue Upside in All Market Cycles: Turnkey Asset Allocation Options Individual Investment Options Core principle number one is: Flexibility This refers to the flexibility that is derived from our broad spectrum of investment options. These options allow for customized client solutions that can help smooth volatility and pursue upside in all market cycles. You can assist your clients in selecting from a wide array of turnkey asset allocation portfolios.

Flexibility Four Diverse Investment Strategies TRADITIONAL QUANTITATIVE ALTERNATIVE TACTICAL Offers an active management style based on longer-term views of capital markets. Offers a disciplined, quantitative approach to portfolio management. Offers concepts used by some top university endowment fund managers. Offers an active management style based on shorter-term views of capital markets. Multi–Manager & Single Manager Stocks & Bonds Domestic & International Defined Mathematical Models Market Index-Based Removes Human Emotion From Process Traditional & Non-Traditional Asset Classes Absolute Return Focus Long & Short Positions Active Asset Allocation Management Multi-Manager Traditional Asset classes & ETFs Our 18 turnkey asset allocation options fall across four diverse investment strategies. These strategic categories are Traditional, Quantitative, Alternative and Tactical. Each strategy incorporates distinctive investment tactics and the utilization of different types of investments. The lists of portfolios within each strategy combine to deliver a comprehensive offering that you can leverage to create an asset allocation solution that is suitable for helping each of your clients achieve their personal financial goals. Investing in foreign securities is subject to certain risks not associated with domestic investing, such as currency fluctuations, changes in political and economic conditions, less publicly available information and more volatile markets. Asset Allocation does not guarantee a profit or protect against a loss.

Flexibility 18 Turnkey Asset Allocation Portfolios Beyond differences in strategy, each portfolio has been constructed with its own set of potential investment risk and return characteristics. This presents a wide range of options for you and your clients to consider. The illustration is hypothetical and is based on how we might expect these portfolios to perform over time, based on their risk and return characteristics as measured by standard deviation. Please note that past performance Is not indicative of future results.

Our Investments Can Help Your Clients’ Guarantees Our Investment Platform Leverages Three Core Principals: Flexibility Alternative & Traditional Investments Alternative & Traditional Investments Maximizing The Guarantees Core principle number two is: Adding Alternatives to Traditional Investments” Applying the same concept used by some top university endowment portfolio managers, we provide you with a way to offer your clients access to both traditional and lower-correlating alternative investments. It’s an important differentiating feature for us because this exposure to alternative asset classes and investment tactics can complement the performance of investing in traditional asset classes and help reduce volatility. Each of our 18 options has been constructed with the goal of being highly efficient. However, depending on a client's time horizon, investment goals and risk tolerance levels, blending options to create a customized portfolio may be a suitable and appealing solution. Alternative investments are speculative and contain risks, including loss of principal. Your clients should carefully read the prospectus before investing. Guarantees including optional benefits are backed by the claims-paying ability of the issuing company and do not apply to the underlying investment options. “Guarantees” refer to elements of optional benefits, available at an additional cost. Please see the prospectus for more details.

Leading Endowment Funds Outperform the Markets Endowment Portfolio (Greater than $1 Bil.) Endowment Portfolio ($25 Mil. To $100 Mil.) Average Investment Pool Compounded Nominal Rates of Return Performance as of June 30, 2008 1 Year 3 Years 5 Years 10 Years Endowment Portfolio (Greater than $1 Bil.) 0.6 12.0 13.3 9.5 Endowment Portfolio (>25 Mil. to $100 Mil.) -4.3 6.6 8.4 5.1 S&P 500 -13.1 4.4 7.6 2.9 Russell 3000 -12.7 4.7 3.5 MSCI World ex. US (US$) -6.6 15.7 18.9 7.3 LB Aggregate 7.1 4.1 3.9 5.6 CPI-U 5.0 4.2 3.8 3.4 Why would you follow leading Endowment Funds? Here’s why….the NACUBO Endowment Study done in June 2008 shows that Endowment Portfolios, specifically the bigger Endowment Portfolios, significantly outperform traditional indexes and even smaller Endowment Portfolios. (Explain Slide) Source: 2008 NACUBO Endowment Study- June 2008 Rates of return are reported net of management fees and expenses. Past performance is not a guarantee of future results. CPI-U data is seasonally adjusted.

Our Investments Can Help Your Clients’ Guarantees Our Investment Platform Leverages Three Core Principals: Flexibility Alternative & Traditional Investments Maximizing The Guarantees Maximizing The Guarantees Core principle number three is: Maximizing the Guarantees Guarantees including optional benefits are backed by the claims-paying ability of the issuing company and do not apply to the underlying investment options. “Guarantees” refer to elements of optional benefits, available at an additional cost. Please see the prospectus for more details.

HD Lifetime Five Number of Step-ups: January 3, 2007 – March 31, 2009 Why Every Day Counts HD Lifetime Five Number of Step-ups: January 3, 2007 – March 31, 2009 40 30 20 10 AST First Trust Capital Appreciation Trust Balanced AST Capital Growth AST TRP Asset Allocation Balanced† Advanced Strategies Preservation 36 31 28 26 19 I think we’d agree that the last two years have been quite challenging for investors. The volatility investors experienced from October 2007 through end of December 2008 alone had not been seen since the stock market collapse of 1929. After a 2007 return of 5.49%, the S&P 500 finished 2008 down over 30%. So, how has the HD strategy performed? Longer-term results of the HD Lifetime Five product, which preceded HD Lifetime Seven in the market, may aid client understanding. An investor who purchased an annuity with HD Lifetime Five on January 3, 2007, and invested in one of the seven asset allocation portfolios that were available at the time, would have experienced between 36 and 19 lock-ins of their account value, depending on the asset allocation portfolio selected. In order to help understand how many step-up opportunities HD & Spousal HD Lifetime Seven would have created, we need to look at the number of step-ups HD Lifetime Five has captured since the beginning of 2007. Keep in mind that the formulas used with both benefits are identical. However, because HD7 uses a bond fund for its transfer program, rather than the Benefit Fixed Rate Account, asset transfers under HD7 may not always coincide with asset transfers under HD5 under a given set of market conditions. In addition, past performance does not guarantee future results. † O n July 21, 2008, the AST Conservative Portfolio became the AST Balanced Portfolio. Asset allocation does not ensure a profit or protect against loss. The percentages above reflect the historical performance for a variable annuity with HD Lifetime Five, as HD Lifetime Seven was not available during the entire period depicted. Figures above represent the number of step-ups and rates of return provided by the asset allocation portfolios based on the following assumptions: i) time period is 1/3/07-3/31/09; ii) a $500k variable annuity was purchased on 1/3/07 with M&E of 1.65% and HD Lifetime Five was elected with a charge of 0.60%; iii) the contract was fully allocated to indicated portfolio; iv) Benefit Fixed Rate Account return of 2.5%; v) cumulative % gain in lifetime income base determined by applying the 5% compounded return until 3/31/09 to the annuity’s value as of last step-up; vi) no withdrawals were taken. Past performance is not an indication of future results. Performance of the Protected Withdrawal Value is net of fees and expenses.

What it Means to Your Clients HD Lifetime Five Growth in Protected Withdrawal Value from 1/3/2007 – 3/31/2009 Portfolio % Gain Income Base AST First Trust Capital Appreciation 25.5% AST Capital Growth 19.7% AST First Trust Balanced 19.8% AST Advanced Strategies 18.5% AST Balanced† 17.2% AST T. Rowe Price Asset Allocation 15.6% AST Preservation 14.9% Better yet, we not only locked-in the client’s highest day, we also grew that day at a 5% compounded rate of return. This resulted in a gain of the client’s income base over the sixteen month period of between 15% and 25%. † On July 21, 2008, the AST Conservative Portfolio became the AST Balanced Portfolio. Asset allocation does not ensure a profit or protect against loss. The percentages above reflect the historical performance for a variable annuity with HD Lifetime Five, as HD Lifetime Seven was not available during the entire period depicted. Figures above represent the number of step-ups and rates of return provided by the asset allocation portfolios based on the following assumptions: i) time period is 1/3/07-3/31/09; ii) a $500k variable annuity was purchased on 1/3/07 with M&E of 1.65% and HD Lifetime Five was elected with a charge of 0.60%; iii) the contract was fully allocated to indicated portfolio; iv) Benefit Fixed Rate Account return of 2.5%; v) cumulative % gain in lifetime income base determined by applying the 5% compounded return until 3/31/09 to the annuity’s value as of last step-up; vi) no withdrawals were taken. Past performance is not an indication of future results. Performance of the Protected Withdrawal Value is net of fees and expenses.

Our Investment Platform Optional Module #14 Our Investment Platform Slides [163-192] Please hide this slide when presenting. Please Note: In order to use any of the optional slides in Modules 14 or 15, you must use Module 13. All of the slides in this module are optional. You may use as many or as few as you like. However, some slides must be used in conjunction with others: As you present these modules, you may want to reference the appropriate Product & Services Guide. Many of the exhibits in these modules are depicted there as well.

Investment Options The Right Asset Allocation Strategy for Each Investor Turnkey Asset Allocation Options Turnkey Asset Allocation Options Individual Investment Options You can build an asset allocation strategy appropriate for each of your variable annuity clients utilizing two different methodologies: Turnkey Asset Allocation Options – ready-made portfolios utilizing a variety of different investment approaches. Individual Investment Options – a selection of different subaccounts from which you and your clients can formulate an investment strategy Let’s now turn our attention to the results of our process, starting with the different types of Asset Allocation Portfolios we offer…

Our Asset Allocation Portfolios Questionnaire Investment Options Narrowing Down The Choices Our Asset Allocation Portfolios Questionnaire With such a wide selection of asset allocation options to choose from, a logical first step with many of your variable annuity clients is to address some basic questions: How long until they need the money? How comfortable are they with risk? How much money do they ultimately need? By helping your clients complete the streamlined Asset Allocation Portfolio Questionnaire [on page 16 of the Investor Guide], you’ll quickly learn what options are most suitable for helping your clients achieve their financial goals.

Flexibility 18 Turnkey Asset Allocations Options Across Four Diverse Investment Strategies TRADITIONAL QUANTITATIVE ALTERNATIVE TACTICAL Offers an active management style based on longer-term views of capital markets. Offers a disciplined, quantitative approach to portfolio management. Offers concepts used by some top university endowment fund managers. Offers an active management style based on shorter-term views of capital markets. Multi–Manager & Single Manager Stocks & Bonds Domestic & International Four diverse investment strategies that separate 18 different portfolios,—all (except 1) of which can be used with guarantees available through optional benefits. Traditional Portfolios Quantitative Portfolios Alternative Portfolios Tactical Portfolios Defined Mathematical Models Market Index-Based Removes Human Emotion From Process Traditional & Non-Traditional Asset Classes Absolute Return Focus Long & Short Positions Active Asset Allocation Management Multi-Manager Traditional Asset classes & ETFs Investing in foreign securities is subject to certain risks not associated with domestic investing, such as currency fluctuations, changes in political and economic conditions, less publicly available information and more volatile markets. Asset Allocation does not guarantee a profit or protect against a loss.

Traditional Asset Allocation AST Aggressive Asset Allocation Portfolio* AST Capital Growth Asset Allocation Portfolio Franklin Templeton VIP Founding Funds Allocation Fund AST Balanced Asset Allocation Portfolio AST T. Rowe Price Asset Allocation Portfolio AST Preservation Asset Allocation Portfolio More Aggressive More Conservative TRADITIONAL Traditional asset allocation offers an active management style based on longer-term views of capital markets Multi–Manager & Single Manager Stocks & Bonds Domestic & International Let’s review each of the asset allocation strategies we offer, beginning with Traditional Asset Allocation Portfolios. They invest in traditional asset classes such as US & International stocks and US bonds, large-, mid- and small-cap, growth and value. We have six traditional actively managed portfolios. Four are multi-manger portfolios that invest in underlying AST portfolios in a fund-of-funds approach. Two are single-manager portfolios. * Please note that you may not select the AST Aggressive Asset Allocation Portfolio with certain optional benefits. Please see the annuity prospectus for additional details. Investing in foreign securities is subject to certain risks not associated with domestic investing, such as currency fluctuations, changes in political and economic conditions, less publicly available information and more volatile markets. Asset Allocation does not guarantee a profit or protect against a loss.

Multi–Manager Traditional Strategies Dynamic Asset Allocation Portfolios Four portfolios designed for specific risk tolerances “Fund of funds” approach Simplicity and convenience Increased diversification Multiple subaccounts from proven portfolio managers The four multi-manager traditional options are known as the Dynamic Asset Allocation Portfolios. These portfolios utilize a fund-of-funds structure, and invest directly in the multiple AST subaccounts we offer individually. The Dynamic Asset Allocation Portfolios offer: Simplicity and Convenience – A simplified, yet robust investment program. Compared to other asset allocation programs, this concept is both easier for you to explain and for your clients to understand. Increased Diversification – Invests directly in AST subaccounts, of some of the most respected portfolio managers in the business today. Also, more than one subaccount can be used per asset class, leveraging each individual sub-advisor’s expertise. These opportunities may enhance the ability of the investor to manage risk by providing access to a greater number of investment options, as well as the varying investment styles and strategies of the portfolio managers. Keep in mind that diversification does not guarantee a profit or protect against a loss.

Management Enhancements Update on DAAPs Management Enhancements AST Aggressive AST Capital Growth Increased efficiencies in manager selection process More robust asset allocation model Additional resources working for you and your clients AST Balanced AST Preservation I’d like to bring you up to date on the Dynamic Asset Allocation Portfolios. Within the four dynamic asset allocation portfolios, Prudential has made a strategic decision to enhance manager selection and asset allocation processes and resources. The business rationale for these enhancements include: Increased efficiency in the manager selection process More sophisticated and robust asset allocation evaluation model AND, additional resources (access to whitepapers, PHDs, research), working for you and your clients Let’s take a closer look at the DAAP management.

DAAP Management… Strength and Alignment Asset Allocation Manager Selection QMA PI More robust asset allocation model Over 30 years of asset allocation management experience Access to white papers, PhD's, asset class research Rigorous manager evaluation due diligence Over 30 years of fund research & analysis experience Advise on over $100 billion in AUM So who is involved with the portfolio management of the DAAPs? Quantitative Management Associates (QMA) is responsible for the asset allocation positioning of the portfolios. QMA is an established mid-size equity manager and a wholly owned subsidiary of Prudential Investment Management, Inc (PIM). In July 2008, team members (Ed Campbell and Marcus Perl) that were involved with managing these portfolios within the Strategic Investment Research Group (SIRG) of Prudential Investments (PI), transferred to QMA. This move maintained the consistency of the portfolio management and provided enhanced asset evaluation tools used by the QMA team. Let’s get more details on the advantages of gaining access to the QMA Asset Allocation team.

Quantitative Management Associates (QMA) Time Tested Process Highly disciplined portfolio construction process Depth and Breadth Over $59 billion AUM* Strong base of 187 institutional clients Domestic and international corporate clients, Public pension plans, Mutual funds, Endowments, Multi-employer pension plans Strength and Experience Managing asset allocation portfolios since 1975 146 employees, 27 investment professionals, 7 PhD’s *As of 12/31/2008 Prudential Investment Management AUM $204 billion QMA has a suite of risk controlled strategies that are managed against a wide variety of client benchmarks for: Domestic and international corporate clients Public pension plans Mutual funds Endowments Multi-employer pension plans A strong base of 187 institutional clients including: CALPERS, New York State Common Fund, SEI, four of the top five largest defined benefit plans. These capabilities compliment the expertise and experience of Prudential Investments (PI) manager research team. .

Prudential Investments (PI) Time Tested Process Rigorous and proven process for selecting and monitoring managers 30+ years of refinement Depth and Breadth 250 investment manager interviews annually Over $100 billion AUM/Advisement as of 8/31/2008 Strength and Experience 14 analysts averaging 15+ years each CFAs, MBAs and CIMAs PI’s rigorous research and a proven evaluation model for selecting and monitoring each investment firm responsible for managing variable annuity investment options Expertise in manager selection is significant Over 30 years of experience conducting research and analysis on managers for institutions and endowments The depth and breadth of PI Conducts more than 250 investment manager interviews annually Over $100 billion AUM/Advisement as of 8/31/2008 Strength and experience are apparent in the staff at PI More than 14 analysts with an average of more than 15 years of investment experience. Team member investment credentials include CFA (Chartered Financial Analysts), MBA’s and CIMA (Chartered Institute of Management Accountants). Let’s also be clear on the consulting support Morningstar has provided PI.

Multi–Manager Traditional Strategies Dynamic Asset Allocation Portfolios 2.35% Small-Cap Value 1.85% Specialty 9.01% International Growth 8.94% International Value 0.96% Int’l Emerging Mkts 0.64% Cash 35.62% Large-Cap Growth 36.11% Large-Cap Value 1.14% Mid-Cap Growth 1.07% Mid-Cap Value 2.31% Small-Cap Growth AST Aggressive 99.36% Equities 0.64% Fixed Income 1.53% Specialty 6.69% International Growth 6.61% International Value 0.82% Int’l Emerging Mkts 23.73% Core Bonds 0.30% High Yield Bonds 0.69% Cash 27.14% Large-Cap Growth 27.39% Large-Cap Value 0.83% Mid-Cap Growth 0.75% Mid-Cap Value 1.73% Small-Cap Growth 1.79% Small-Cap Value AST Capital Growth 75.28% Equities 24.72% Fixed Income The Dynamic Asset Allocation Portfolios cover the full spectrum of risk tolerance, ranging from aggressive to capital preservation. The portfolios cover a wide range of asset classes, from large-cap growth to bonds. Each asset allocation portfolio seeks to obtain the highest potential total return consistent with the specified level of risk. Allocations are as of 12/31/2008

Multi–Manager Traditional Strategies Dynamic Asset Allocation Portfolios 5.37% International Growth 5.40% International Value 0.64% Int’l Emerging Mkts 37.83% Core Bonds 0.53% High Yield Bonds 0.56% Global Bonds 0.69% Cash 21.67% Large-Cap Growth 21.93% Large-Cap Value 0.66% Mid-Cap Growth 0.66% Mid-Cap Value 1.39% Small-Cap Growth 1.45% Small-Cap Value 1.22% Specialty AST Balanced 60.39% Equities 39.61% Fixed Income 3.14% International Growth 3.14% International Value 0.36% Int’l Emerging Mkts 61.75% Core Bonds 0.84% High Yield Bonds 0.86% Global Bonds 1.05% Cash 12.77% Large-Cap Growth 12.92% Large-Cap Value 0.37% Mid-Cap Growth 0.41% Mid-Cap Value 0.85% Small-Cap Growth 0.85% Small-Cap Value 0.69% Specialty AST Preservation 35.5% Equities 64.5% Fixed Income The four Dynamic Asset Allocation Portfolios provide a broad array of turnkey options tailored to your clients’ specific risk tolerance and time horizon. Allocations are as of 12/31/2008

Single Manager Traditional Strategies Franklin Templeton VIP Founding Funds Allocation Fund Core diversification that seeks to capitalize on longer-term growth opportunities from one of the largest retail and institutional investment managers in the world Combines three portfolios – each run independently – to create a turnkey option offering diversification across multiple asset classes and the potential for attractive, long-term results Franklin Templeton VIP Founding Funds 69.81% Equities 30.19% Fixed Income 33.33% Franklin Income Securities Fund 33.33% Templeton Growth Securities Fund 33.33% Mutual Shares Securities Fund The Franklin Templeton VIP Founding Funds Allocation Fund was added to the Prudential Annuities Asset Allocation line May 1, 2008. The composition of the Franklin Templeton VIP Founding Funds Allocation Fund reflects targeted allocations as of 12/31/2008.

Single Manager Traditional Strategies AST T Single Manager Traditional Strategies AST T. Rowe Price Asset Allocation Portfolio Invests primarily in a diversified portfolio of equity and fixed-income securities Experienced Portfolio Management Portfolio Manager has over 25 years of investment experience Has been managing this strategy since its inception 48.53% Large-Cap Equities 3.41% U.S. Small-Cap Equities 12.88% International Equities 25.27% Investment Grade Fixed Income 2.46% High Yield Fixed Income 7.45% Cash AST T. Rowe Price Asset Allocation 64.82% Equities 35.18% Fixed Income The AST T. Rowe Price Asset Allocation Portfolio invests primarily in a diversified portfolio of equity and fixed-income securities. The AST T.Rowe Price Asset Allocation Portfolio has over 12 years of history, dating back to 1994, and is one of the oldest portfolios in the AST line-up. Allocations are as of 12/31/2008

Quantitative Asset Allocation AST First Trust Capital Appreciation Target Portfolio AST First Trust Focus Four Plus Portfolio AST First Trust Balanced Target Portfolio More Aggressive More Conservative QUANTITATIVE Quantitative asset allocation offers a disciplined, quantitative approach to portfolio management. Defined Mathematical Models Market Index-Based Removes Human Emotion From Process Now let’s turn our attention to the Quantitative Asset Allocation Portfolios we offer (click to reveal)… [Read the listing of three portfolios] Investing in foreign securities is subject to certain risks not associated with domestic investing, such as currency fluctuations, changes in political and economic conditions, less publicly available information and more volatile markets. Asset Allocation does not guarantee a profit or protect against a loss.

Quantitative Asset Allocation Uses clearly defined proprietary models Removes human emotion from the process First Trust Advisors L.P., recognized for its quantitative management expertise, plays a management role in all three portfolios Western Asset Management manages the fixed income component in the AST First Trust Focus Four Plus Portfolio [Read Slide] Our Quantitative Asset Allocation Strategy incorporates the independent research of Value Line plus the broader market indices of Dow Jones, The New York Stock Exchange, NASDAQ and Standard & Poor’s The quantitative approach identifies underlying factors that have outperformed the markets over long periods of time First Trust is a recognized leader in the UIT marketplace Their tested process uses mathematical calculations and models to select stocks…no emotional decision making from a portfolio manager or analyst is involved Allocations are extremely focused, utilizing anywhere from 10 to 40 securities per allocation. And because models are updated annually, there is no chance an allocation will deviate from its investment strategy.

Quantitative Strategies AST First Trust Asset Allocation Portfolios 19.38% Dow Jones Target Income 10.05% NYSE International Target 25 17.16% Global Dividend Target 15 18.72% Value Line Target 25 15.47% Target Small Cap 17.59% NASDAQ Target 15 1.63% Cash AST First Trust Capital Appreciation 78.99% Equities 21.01% Fixed Income 33.32% Dow Jones Target Income 10.22% NYSE International Target 25 13.10% Global Dividend Target 15 14.32% Value Line Target 25 21.91% Dow Target Dividend 5.26% Target Small Cap 1.87% Cash AST First Trust Balanced 64.81% Equities 35.19% Fixed Income Here are how the portfolios break down…(discuss allocations) Unique Quantitative Strategies Dow Jones Target Income - Seeks both high current income and preservation of capital by investing in a diversified portfolio of investment-grade corporate fixed-income securities from the Dow Jones Corporate Bond Index. NYSE International Target 25 - Invests in 25 stocks of foreign companies selected from the NYSE International 100 Index that are expected to provide capital appreciation. Global Dividend Target 15 - Invests in 15 common stocks issued by companies which are components of the DJIA, the Financial Times Industrial Ordinary Share Index and the Hang Seng Index which are expected to provide total return through income and capital appreciation. Value Line Target 25 - Invests in 25 of the 100 common stocks that Value Line® gives a #1 ranking for TimelinessTM which have recently exhibited certain positive financial attributes and whose objective is growth of capital. Target Small Cap - Invests in 40 common stocks issued by companies that are profitable and growing U.S. companies with market caps between $150 million and $1.5 billion. This strategy is expected to provide capital appreciation. The Dow Target Dividend - Invests in 20 common stocks issued by companies from the Dow Jones Select Dividend Index that are expected to provide income and have the potential for capital appreciation. Allocations are as of 12/31/2008

Quantitative Strategies AST First Trust Focus Four Plus Portfolio 74.09% Equities 25.91% Fixed Income 28.70% Dow Target Dividend 7.18% NYSE International Target 25 14.40% Value Line Target 25 23.81% S&P Target SMid 60 25.00% Western Asset Core Plus Bond Here’s are how the AST Focus Four Plus Portfolio breaks down: Dow Jones Target Income - Seeks both high current income and preservation of capital by investing in a diversified portfolio of investment-grade corporate fixed-income securities from the Dow Jones Corporate Bond Index. NYSE International Target 25 - Invests in 25 stocks of foreign companies selected from the NYSE International 100 Index that are expected to provide capital appreciation. Value Line Target 25 - Invests in 25 of the 100 common stocks that Value Line® gives a #1 ranking for TimelinessTM which have recently exhibited certain positive financial attributes and whose objective is growth of capital. S&P Target SMid 60 - Invests in 30 stocks from the S&P MidCap 400 Index and 30 stocks from the S&P SmallCap 600 Index, giving the mid-cap stocks approximately twice the weight of the small-cap stocks, that are expected to have the potential provide capital appreciation. Western Asset Core Plus Bond Portfolio - Invests primarily in U.S. fixed income securities and other debt instruments of domestic and foreign entities, including corporate bonds, securities issued or guaranteed by the U.S. government, mortgaged-backed securities and money market instruments. The composition of the AST First Trust Focus Four Plus Portfolio reflects targeted allocations as of 12/31/2008.

Alternative Asset Allocation AST Academic Strategies Asset Allocation Portfolio AST Advanced Strategies Portfolio AST Schroders Multi-Asset World Strategies Portfolio AST UBS Dynamic Alpha Portfolio More Aggressive More Conservative ALTERNATIVE Alternative asset allocation offers concepts used by some top university endowment fund managers. Traditional & Non-Traditional Asset Classes (Domestic/Global real estate, Emerging Markets Debt, TIPs, Commodities, Private Equity, Currency) Absolute Return Focus Long & Short Positions Now let’s turn our attention to our Alternative Asset Allocation Portfolios (click to reveal). Investing in foreign securities is subject to certain risks not associated with domestic investing, such as currency fluctuations, changes in political and economic conditions, less publicly available information and more volatile markets. Asset Allocation does not guarantee a profit or protect against a loss.

Alternative Strategies AST Academic Strategies Asset Allocation Portfolio Uses academic research and strategies from leading endowment fund managers Offers an innovative asset allocation: 67% traditional asset classes 32% alternative asset classes AST Academic Strategies 67.69% Equities 32.31% Fixed Income 19.08% Domestic Equity 18.75% International Equity 25.65% Traditional Fixed Income 6.66% Cash 17.25% Real Assets 7.58% Non-Traditional 5.03% Overlay As a leading innovator in the annuity space, we launched the AST Academic Strategies Asset Allocation Portfolio on July 21, 2008. It’s our Alternative Strategy option that incorporates the latest academic research and strategies used by endowment fund managers to provide exposure to traditional investments with a full range of non-traditional asset classes. 60% traditional asset classes 40% non-traditional asset classes Includes commodities, REITS, TIPS, emerging market debt, global infrastructure, market neutral, volatility income, & global tactical asset allocation. Managed by QMA & PI in consultation with Advanced Quantitative Consulting. ! The composition of the AST Academic Strategies Asset Allocation Portfolio reflects targeted allocations as of 12/31/2008.

Alternative Asset Allocation AST Advanced Strategies Portfolio Active management of the asset class/subadvisor mix Invests in traditional asset classes and also provides exposure to REITs, TIPs and commodities in an attempt to provide a hedge against inflation 17.78% U.S. Large-Cap Growth 17.84% U.S. Large-Cap Value 8.37% International Growth 8.35% International Value 13.05% U.S. Bonds 12.68% AST Advanced Strategies 73.24% Equities 26.76% Fixed Income Hedged International Bond: Developed Markets 1.03% 2.85% Commodities 2.85% REITS 2.85% TIPS 12.35% Overlay Cash The AST Advanced Strategies Portfolio uses a combination of traditional and non-traditional investment strategies to leverage a variety of asset classes and securities. By broadly diversifying account values among these investment strategies and asset classes, your clients may have a better chance to outpace inflation and boost performance while smoothing out investment ups and downs. 70%-75% traditional asset classes 20%-25% non-traditional asset classes Includes commodities, REITS, TIPS, and international/emerging market debt. QMA manages asset allocations and relevant managers buy and sell within their asset class. Allocations are as of 12/31/2008

Alternative Strategies AST Schroders Multi–Asset World Strategies Portfolio Provides a broad diversification platform through the utilization of equity and debt securities, domestic and international equity futures, exchange traded funds and notes, and retail funds Offers an innovative asset allocation: 55% traditional asset classes 44% alternative asset classes AST Schroders Multi-Asset World Strategies 55.16% Equities 44.84% Fixed Income 43.53% Equity Investments 28.15% Investment Grade – Fixed Income Investments 11.63% Alternative Investments 16.69% As a leading innovator in the annuity space, we launched the AST Schroders Multi-Asset World Strategies Portfolio on July 21, 2008. It’s our Alternative Strategy option that features a London-based manager with an established global perspective on world markets and provides the most international exposure of the four Alternative Strategy options. 70%-90% traditional asset classes 10%-30% non-traditional asset classes Includes commodities, REITS, TIPS, emerging market debt, hedged international bond, and private equity. Managed Schroders plc, a UK public company. Founded over 200 years ago with 60+ years of asset allocation manager experience, Schroders employees over 2,900 personnel in 28 countries with on-the-ground research to surface best ideas. Cash & Other Short Term Investments The composition of the AST Schroders Multi-Asset World Strategies Portfolio reflects targeted allocations as of 12/31/08.

Alternative Strategies AST UBS Dynamic Alpha Portfolio Flexibility to adjust sources of risk is key to lower volatility The AST UBS Dynamic Alpha Portfolio has the ability to use the entire spectrum of securities in order to exploit opportunities where they arise Dynamic Alpha 100% Security Selection Exposure 100% Market Exposure The AST UBS Dynamic Alpha Portfolio is built to add positive performance in volatile markets via investing in pursuit of absolute return. Not managed to a securities benchmark, the portfolio has the flexibility to adjust exposure to markets, securities and currencies by taking long/short positions. Most traditional investment options stay fully invested in the markets, and, therefore, the majority of their returns are derived from market risk. This strategy may work well in rising markets, but can be painful during declining markets. At the opposite extreme, market neutral hedge investment options focus solely on security selection exposure. This strategy is most appealing to investors in declining and sideways markets, but tends to under perform in bull markets. AST UBS Dynamic Alpha Portfolio has the ability to invest across the entire risk spectrum, adjusting its exposure to security selection and market risk based on the results of UBS Global Asset Management’s bottom-up and top-down proprietary research. One of the largest global institutional asset managers, UBS Global Asset Management (Americas) Inc. is the portfolio’s single manager. Security exposure: Risk, and the potential for reward, inherent in individual security selections. Market exposure: The risk and reward potential of markets and asset classes. Market Neutral Investment Option Traditional Investment Option Index Investment Option US-F, US-R

Tactical Asset Allocation AST Niemann Capital Growth Asset Allocation Portfolio AST Horizon Growth Asset Allocation Portfolio AST CLS Growth Asset Allocation Portfolio AST Horizon Moderate Asset Allocation Portfolio AST CLS Moderate Asset Allocation Portfolio More Aggressive More Conservative TACTICAL Tactical asset allocation offers an active management style based on shorter-term views of capital markets. Active Asset Allocation Management Multi-Manager Traditional Asset classes & Exchange-Traded Funds Now let’s turn our attention to our Tactical Asset Allocation Portfolios (click to reveal). Investing in foreign securities is subject to certain risks not associated with domestic investing, such as currency fluctuations, changes in political and economic conditions, less publicly available information and more volatile markets. Asset Allocation does not guarantee a profit or protect against a loss.

Tactical Strategies AST CLS Asset Allocation Portfolios 24.22% Mid & Large-Cap Value 24.11% Mid & Large-Cap Growth 7.07% Small-Cap Growth 14.80% International Growth 15.43% Fixed Income 4.48% Money Market 9.89% ETFs AST CLS Growth 80.09% Equities 19.91% Fixed Income 16.14% Mid & Large-Cap Value 16.11% Mid & Large-Cap Growth 6.08% Small-Cap Growth 1.94% International Value 9.88% International Growth 29.16% Fixed Income 10.76% Money Market 9.93% ETFs AST CLS Moderate 60.08% Equities 39.92% Fixed Income First up is CLS Investment Firm, LLC. CLS sub-advises two portfolios for us: AST CLS Growth Asset Allocation Portfolio and AST CLS Moderate Asset Allocation Portfolio. CLS uses a proprietary Risk Budgeting strategy that can help to manage the overall level of risk within the portfolio. Rather than viewing risk in a traditional way with stocks being more risky than bonds, CLS views risk on a continuum, allowing them the opportunity to capitalize on areas of growth while striving to maintain a consistent level of risk. As market conditions change and the risk associated with the holdings in the portfolio vary, CLS can make adjustments to the allocations to help keep the risk level constant while seeking opportunities for outperformance in the market. Allocations are as of 12/31/2008

Tactical Strategies AST Horizon Asset Allocation Portfolios 29.75% Mid & Large-Cap Value 20.03% Mid & Large-Cap Growth 2.07% Small-Cap Growth 4.40% Small-Cap Value 4.39% International Value 1.62% International Growth 22.49% Fixed Income 6.60% Money Market 8.65% ETFs AST Horizon Growth 70.91% Equities 29.09% Fixed Income 19.97% Mid & Large-Cap Value 14.92% Mid & Large-Cap Growth 1.60% Small-Cap Growth 2.83% Small-Cap Value 3.62% International Value 1.23% International Growth 36.89% Fixed Income 10.04% Money Market 8.90% ETFs AST Horizon Moderate 53.07% Equities 46.93% Fixed Income The next sub-advisor we’ll discuss is Horizon Investments, LLC – Horizon. Horizon sub-advises two portfolios for us: AST Horizon Growth Asset Allocation Portfolio and AST Horizon Moderate Asset Allocation Portfolio. Horizon uses a versatile asset allocation approach seeking opportunity among current and emerging global market leadership within a risk management framework Top down – economic, forecasting, and fundamental approach that combines: Fundamental analysis (social, political and economic events, global rates, inflation, etc.) Academic research and forecasting models from leading U.S. Universities to anticipate market movements Bottom up – quantitative modeling helps determine portfolio tilts by identifying the relative attractiveness of asset classes, sectors, and funds. Allocations are as of 12/31/2008

Tactical Strategies AST Niemann Capital Growth Asset Allocation Portfolio 32.40% Mid & Large-Cap Value 20.29% Mid & Large-Cap Growth 1.30% Small-Cap Growth 5.74% Small-Cap Value 5.97% International 10.21% Fixed Income 14.04% Money Market 10.05% ETFs AST Niemann Capital Growth 75.75% Equities 24.25% Fixed Income Let’s discuss Niemann Capital Management. Niemann sub-advises one portfolio for us: AST Niemann Capital Growth Asset Allocation Portfolio Niemann Capital Management focuses on uncovering what it considers to be the best risk/reward relationships that may allow them to take advantage of thematic opportunities in the markets when they present themselves. Niemann employs a quantitative focused investment philosophy to actively manage client portfolios. Portfolios are built from the bottom up, with a risk managed approach by ranking each individual fund against its peer group. Once funds are ranked, portfolio weights and tilts are created using 5-6 of the top ranked funds that show positive trending themes (performance). Allocations are as of 12/31/2008

Our Investment Platform The Right Asset Allocation Strategy for Each Investor Turnkey Asset Allocation Options Individual Investment Options Individual Investment Options Let’s now turn our attention to the different types of Individual Investment Options we offer…

A Full Spectrum of Investment Options This platform leverages the experience of some of the best known portfolio managers in the world today, who have been recognized for excellence in their respective asset classes. Our investment platform includes professionally managed subaccounts from the likes of Marsico, MFS, PIMCO and T. Rowe Price. And the evaluations don’t stop once an investment option is added. SIRG rigorously evaluates and monitors each of these investment options on a daily basis. Both qualitative and quantitative metrics are utilized in their evaluation process ranging, from performance to style drift, to management turnover and team departures.

A Full Spectrum of Investment Options Individual Investment Options (continued) Read slide

Asset Allocation Options Performance Module # 15 Asset Allocation Options Performance Slides [193-197] Please hide this slide when presenting. Please Note: In order to use any of the optional slides in Modules 14 or 15, you must use Module 13. At this point, you need to decide whether you will present the Asset Allocation Options Performance slides module to your financial representatives. If you decide not to show performance, please hide all of the slides in this module.

Turnkey Asset Allocation Options Non-Standardized Performance Period ending 6/30/2009 Rolling Rolling Rolling Inception Inception 1 Year 5 Year 10 Year to Date Date AST Academic Strategies Portfolio -21.45% N/A N/A -4.31% 12/05/05 AST Advanced Strategies Portfolio -21.39% N/A N/A -4.75% 03/20/06 AST Aggressive Asset Allocation Portfolio -31.17% N/A N/A -8.11% 12/05/05 AST Balanced Asset Allocation Portfolio -19.38% N/A N/A -3.49% 12/05/05 AST Capital Growth Asset Allocation Portfolio -24.27% N/A N/A -5.15% 12/05/05 AST CLS Growth Asset Allocation -23.59% N/A N/A -13.44% 11/19/07 AST CLS Moderate Asset Allocation -17.39% N/A N/A -14.69% 11/19/07 AST First Trust Balanced Target Portfolio -23.49% N/A N/A -7.90% 03/20/06 AST First Trust Capital Appreciation Target Portfolio -30.38% N/A N/A -9.17% 03/20/06 AST Focus Four Plus Portfolio N/A N/A N/A -27.43% 07/21/08 AST Horizon Growth Asset Allocation -18.20% N/A N/A -16.18% 11/19/07 AST Horizon Moderate Asset Allocation -13.52% N/A N/A -11.51% 11/19/07 AST Niemann Capital Growth Asset Allocation -17.72% N/A N/A -16.44% 11/19/07 Read Slide

Turnkey Asset Allocation Options Non-Standardized Performance, cont’d Period ending 6/30/2009 Rolling Rolling Rolling Inception Inception 1 Year 5 Year 10 Year to Date Date AST Preservation Asset Allocation Portfolio -11.01% N/A N/A -0.71% 12/05/05 AST Schroders Multi-Asset World Strategies Portfolio -19.00% -0.72% -0.17% 2.72% 01/02/97 AST T. Rowe Price Asset Allocation -16.59% 0.08% 0.78% 4.77% 01/03/94 AST UBS Dynamic Alpha 13.58% 1.47% 0.09% 4.12% 05/03/93 Franklin Templeton VIP Founding Funds Allocation Fund -23.48% N/A N/A -25.94% 05/01/08 Read Slide

Turnkey Asset Allocation Options Standardized Performance Rolling Rolling Rolling Inception Inception 1 Year 5 Year 10 Year to Date Date AST Academic Strategies Portfolio -28.50% N/A N/A -6.30% 12/05/05 AST Advanced Strategies Portfolio -28.45% N/A N/A -6.91% 03/20/06 AST Aggressive Asset Allocation Portfolio -38.21% N/A N/A -10.32% 12/05/05 AST Balanced Asset Allocation Portfolio -26.43% N/A N/A -5.43% 12/05/05 AST Capital Growth Asset Allocation Portfolio --31.32% N/A N/A -7.19% 12/05/05 AST CLS Growth Asset Allocation -30.64% N/A N/A -18.30% 11/19/07 AST CLS Moderate Asset Allocation -24.45% N/A N/A -19.59% 11/19/07 AST First Trust Balanced Target Portfolio -30.54% N/A N/A -10.23% 03/20/06 AST First Trust Capital Appreciation Target Portfolio -37.43% N/A N/A -11.58% 03/20/06 AST Focus Four Plus Portfolio N/A N/A N/A -34.98% 07/21/08 AST Horizon Growth Asset Allocation -25.26% N/A N/A -21.14% 11/19/07 AST Horizon Moderate Asset Allocation -20.58% N/A N/A -16.31% 11/19/07 AST Niemann Capital Growth Asset Allocation -24.78% N/A N/A -21.41% 11/19/07 AST Preservation Asset Allocation Portfolio -18.08% N/A N/A -2.53% 12/05/05 Period ending 6/30/2009 Read Slide

Turnkey Asset Allocation Options Standardized Performance, cont’d Period ending 6/30/2009 Rolling Rolling Rolling Inception Inception 1 Year 5 Year 10 Year to Date Date AST Schroders Multi-Asset World Strategies Portfolio -26.05% -1.63% -0.24% 2.65% 01/02/97 AST T. Rowe Price Asset Allocation -23.64% -0.80% 0.71% 4.70% 01/03/94 AST UBS Dynamic Alpha -20.64% 0.63% 0.02% 4.05% 05/03/93 Franklin Templeton VIP Founding Funds Allocation Fund -30.53 N/A N/A -32.34% 05/01/08 Read Slide

Information on Performance Slides Where noted, total returns reflect the deduction of any contingent deferred sales charges that would be imposed upon a complete surrender at the end of the applicable period. Because past performance is intended to depict the experience of a hypothetical investor over the measuring period, and because the hypothetical investor could effect a purchase only on a business day, we assume in these calculations that the purchase was effected the business day prior to the start of the measuring period, if that start day was not itself a business day. Non-standardized return calculations shown include mortality and expense and administration charges of the ASAP III variable annuity, but do not reflect contract maintenance fees or applicable contingent deferred sales charges (CDSC), if any. If these charges were reflected, total returns would be reduced. Standardized Returns are calculated, in accordance with SEC Rules, from inception of the sub-account and for the applicable periods assuming a $1,000 investment made at the beginning of the applicable period. Standardized Returns reflect deduction of all underlying fund fees and charges, including mortality and expense and administration charges (M&E&A), maintenance fee and Contingent Deferred Sales Charge (CDSC), where applicable. Non-standardized and standardized total returns reflect the deduction of applicable fees and charges for the basic annuity contract, but do not reflect the additional asset-based charges that are deducted when your client elects one or more optional benefits. The additional charges we deduct when you purchase an optional benefit will reduce your performance. Please note that not all products offer optional benefits. Please refer to the prospectus for additional information. Past performance does not guarantee similar future results. Performance information as of the most recent month end is available at www.prudentialannuities.com Read Slide

Product Strategies… Advanced Series variable annuities Module #16 Product Strategies… Advanced Series variable annuities Slides [199-203] Please hide this slide when presenting. Please present all of the slides in this module.

Choosing the Right Annuity for Your Client XTra Credit SIXSM (X-share) May be appropriate for clients who want an immediate payment enhancement or a head start saving for retirement ASAP IIISM (B-share) May be appropriate for clients who prefer a lower cost, flexible annuity APEX IISM (L-share) May be appropriate for clients who are approaching retirement or who may have changing retirement goals ASL IISM (C-share) May be appropriate for clients with unpredictable withdrawal requirements Each annuity strategy helps provide a unique retirement solution. (Review Slide) Now let’s turn our attention to the key features of the annuities, starting with XTra Credit SIX…

Key Features: XTra Credit SIX Jump-start your client’s retirement savings 6.5% up-front credit on all Year 1 payments Additional credits for payments in years 2-6 Long-term investor value 1.65% M&E/Admin charges (Years 1-10) Reduction in charges following CDSC period Elimination of 1.00% distribution charge 0.65% M&E/Admin charges thereafter Contract-based CDSC design Benefit to the investor making additional payments Not assigned a separate CDSC schedule Prudential Annuities pioneered XTra Credit annuities in the mid-90s. XTra Credit SIX is the Advanced Series X-share annuity, which is known in the industry as a bonus product. Our product distinguishes itself by offering not only one of the highest credits for upfront purchase payments, but also a reduction in fees following the 10-year CDSC surrender charge period. (Read Bullets) Your clients’ needs and the suitability of an annuity product should be carefully considered before investing. Please consider all variable annuities available from Prudential Financial companies when evaluating their needs. Because this annuity contains an investment credit, it may have higher fees and expenses and longer withdrawal charge period than other similar annuities without an investment credit. Over time, the higher expenses could be more than the value of the credits. Carefully consider the expenses along with the features and enhancements to be sure this annuity meets your client’s financial needs. Speaker note: Stress the importance of the bonus credit expense and longer surrender period. Because this annuity contains an investment credit, it may have higher fees and expenses and longer withdrawal charge period than other similar annuities without an investment credit. Over time, the higher expenses could be more than the value of the credits. Carefully consider the expenses along with the features and enhancements to be sure this annuity meets your client’s financial needs.

Key Features: ASAP III Flexible, lower-cost chassis 1.25% M&E/Admin charges (Years 1-8) Reduction in charges following CDSC period Elimination of 0.60% distribution charge 0.65% M&E/Admin charges thereafter 0.50% Loyalty credit Applied at the end of the 5th annuity year Based on purchase payments in years 1-4 less withdrawals in years 1-5 Contract-based CDSC design Benefit to the investor making additional payments Not assigned a separate CDSC schedule ASAP III is a lower cost “traditional” type of annuity – what’s known as a B-share. (Review Slide) Withdrawals of taxable amounts will be subject to income tax, and prior to age 59½, a 10% federal income tax penalty may apply.

Key Features: APEX II Four-year CDSC period Contract-based CDSC For investors who may need access to money in near future 1.65% M&E/Admin charges Contract-based CDSC Benefit to the investor making additional payments Not assigned a separate CDSC schedule 2.75% Loyalty credit Applied at the end of the 5th annuity year Based on purchase payments in years 1-4 less withdrawals in years 1-5 The APEX II variable annuity is designed for investors who find comfort in just knowing they have access to their annuity after only a short 4-year CDSC period. (Review Slide) Withdrawals of taxable amounts will be subject to income tax, and prior to age 59½, a 10% federal income tax penalty may apply.

Key Features: ASL II Full Liquidity Access to the entire account value at any time Partial withdrawals of $100 or more as long as $1,000 is kept in the annuity 1.65% M&E/Admin charge ASL II offers greater liquidity to investors with unpredictable withdrawal requirements. (Review Slide) Withdrawals of taxable amounts will be subject to income tax, and prior to age 59½, a 10% federal income tax penalty may apply.

Tools To Help You Promote Prudential Annuities® Module #17 Tools To Help You Promote Prudential Annuities® Slides [205-206] All of the slides in this module are optional. Please remember to hide the slide(s) you are not using, as well as the cover slide.

Client Seminars Moving Forward with Your Retirement Red Flags in the Retirement Red Zone Welcome to the Retirement Red Zone Managing the Human Element in Investing This slide is optional. Please hide if not presenting. Read & Explain Slide

Ads & Mailers Moving Forward Seminar Bifold & Flyer Invitations Retirement Red Zone Client Mailer Red Flags in the Retirement Red Zone Bifold Invitation Retirement Red Zone EQ Seminar Invitation Are you in the Retirement Red Zone? Seminar Invitation Retirement Red Zone Full- and Half-page Ads This slide is optional. Please hide if not presenting. Read & Explain Slide

& Questions Answers Thank You! Thank you for your attention today. I’ll be happy to answer any questions that you may have.

Investors should consider the contract and the underlying portfolios’ investment objectives, risks, charges and expenses carefully before investing. This and other important information is contained in the prospectus, which can be obtained by contacting the National Sales Desk. Your clients should read the prospectus carefully before investing. Variable annuities are appropriate for long-term investing and designed for retirement purposes. Investment return and principal value of an investment will fluctuate so that an investor's unit values, when redeemed, may be worth more or less than their original cost. Withdrawals or surrenders may be subject to contingent deferred sales charges (CDSC). Withdrawals and distributions of taxable amounts are subject to ordinary income tax and, if made prior to age 59½, may be subject to an additional 10% federal income tax penalty. Withdrawals, for tax purposes, are deemed to be gains out first. Withdrawals reduce the living benefit, death benefit and account value. (Read Slide)

Advanced Series variable annuities offered by Prudential Financial companies are available at an annual cost of 0.65% to1.65% for mortality, expense and administration fees, with an additional fee related to the professional investment options. Please see the prospectus for additional information. Optional benefits may not be available in every state and may not be elected in conjunction with certain optional benefits. Optional benefits have certain investment, holding period, liquidity, and withdrawal limitations and restrictions. The fees are in addition to fees and charges associated with the basic annuity. Please see the prospectus for additional information. All guarantees, including optional benefits, are backed by the claims-paying ability of the issuing company and do not apply to the underlying investment options. Asset allocation does not ensure a profit or protect against loss. No assurance can be given that a portfolio’s objectives will be achieved. (Read Slide)

Prudential Annuities does not provide tax, accounting, or legal advice Prudential Annuities does not provide tax, accounting, or legal advice. Please have your clients consult their own attorney or accountant. Because qualified retirement plans, IRAs and variable annuities offer a tax-deferral feature, your clients should carefully consider all features, benefits, risks, and costs associated with a variable annuity before purchasing one in either a qualified plan or IRA. Before purchasing a variable annuity your clients should take full advantage of their 401(k) and other qualified plans. Fixed income investing is subject to risk, including credit and interest rate risk. Because of these risks, a fund's share value may fluctuate. If interest rates rise, bond prices usually decline. If interest rates decline, bond prices usually increase. A client does not have to purchase an annuity in order to take advantage of "stretching" a qualified investment. "Stretching" is based upon current tax law. If these laws change in the future, a client's ability to maintain estimated distributions may be affected.

Variable annuities are issued by Prudential Annuities Life Assurance Corporation and distributed by Prudential Annuities Distributors, Inc., Shelton, CT. Both are Prudential Financial companies and each is solely responsible for its own financial condition and contractual obligations. "Prudential Annuities" is a business division of Prudential Financial, Inc. Reference to Prudential Annuities as the "Highest Daily Company" is for marketing purposes only, and does not mean that Prudential Annuities is a corporation or any other legal entity organized under State or Federal law. Prudential, Prudential Financial, Prudential Annuities, the Rock logo and the Rock Prudential logo and The Retirement Red Zone are registered service marks of The Prudential Insurance Company of America and its affiliates. (Read Slide) ANNUITIES: NOT FDIC OR GOVERNMENT AGENCY INSURED MAY LOSE VALUE NOT BANK OR CREDIT UNION GUARANTEED ORD 202687 [WO#88034 AFS0809]