Technology: Delivering Efficiency and Productivity George Napoles Senior Vice President Information Technology

IT Mission ▲ Increase productivity and work quality of our associates through the cost-effective implementation of technology ▲ Enable JNL to fulfill business objectives not impeded by: – The high cost, or – Prolonged implementation of technology

Build Core Competencies ▲ Recruit Staff ▲ Infrastructure: Networks, PCs, etc. ▲ In-source data center ▲ Implement application software

Superior Technology ▲ Intuitive screens reduce training and errors while increasing productivity ▲ Not encumbered by “legacy” systems ▲ Single application system environment ▲ Virtually all information available at Service Representative’s desktop

IT Highly Productive ▲ Technology – Never in critical path for new products – Most often a competitive advantage. ▲ Leaders in implementing enabling technology – Allows JNL to achieve leadership position Equity linked annuities Unbundled variable annuities Granite and electronic order entry Registered Investment Advisors initiative Many other new product initiatives

IT Highly Productive: Products Additional Variable Annuity Funds Bonus on Perspective for JNLNY ELITE Year ELITE Year ELITE 90 with Cap Enhanced Guaranteed Income Benefit on EIAs Equity Indexed CD for Non-IRAs Owner Driven Target Select Private Label Annuities for Banks Reduced Level Term Premiums Revised Fixed Annuities Shorter Withdrawal Charge VA with Multiple Options Unbundled Variable Annuity with Multiple Options ELITE 500

IT Highly Productive: Products ELITE 90 Equity-Linked CD Equity-Linked Fund on VAs Equity-Linked Indexed Annuities Last Survivor Universal Life New York NIKE Defined Strategies VA Perspective Advantage VA Perspective Advisors VA Perspective Variable Annuity Repackaged Term Insurance Repriced Term Insurance Target Select Universal Life Update UL Product Line

IT Highly Efficient Source: LIITES Benchmarking Study ▲ Independent study by TCi ▲ Comprehensive questionnaire to ensure uniformity of results ▲ 14 Companies participated ▲ Study year was 2000

IT Highly Efficient ▲ Independent study by TCi ▲ Comprehensive questionnaire to ensure uniformity of results ▲ 14 Companies participated ▲ Study year was 2000 Source: LIITES Benchmarking Study

IT Highly Efficient Source: Gartner

IT Success Factors 1. Quality – not quantity – of associates – Rigorous recruiting standards Test for programming aptitude Technical skills review Team interviews Less than 10% of applicants offered position – In-house training Test for aptitude Demonstrated achievements Dedicated 7 months technical training Don’t recruit Computer Science graduates

IT Success Factors 2. Emphasis on business – not technology – Pragmatic approach to application of technology – Don’t want best technology, but the best business applications with lowest long-term cost of ownership – All IT professional staff must learn insurance business to be eligible for promotion

IT Success Factors 3. All professionals are technical – Efficient and creative solutions require highly technical and skilled professionals – Technical experience is required to manage technical people effectively

IT Success Factors 4. Strict Enforcement of Standards – Client Workstation System policies ensure that only approved software is installed All desktop applications certified prior to installation – Developers New applications written using only approved development tools and languages Tools are reviewed periodically, not continuously Extensive training for new tools

IT Success Factors 5. Adherence to System Development Methodology – All projects approved by Steering Committee based on cost/benefit basis – Detailed Project Plans with milestones and project cost – Developers log all hours worked for each Service Request – Status and Monitoring Reports provided to ensure punctual completion with budget – Proposed benefits monitored using detailed Benefit Realization Plan to ensure achievement

IT Positions JNL to Win ▲ Top tier personnel ▲ Superior technology ▲ Rapid implementation ▲ Cost efficient solutions