©2011 Lincoln National Corporation The MOOD of America: Measuring Optimism, Outlook and Direction Presented by Lincoln Financial Group

Executive Summary Despite the current economic turmoil, Americans remain optimistic Two-thirds of Americans are in control of their lives –Being in control contributes to a positive outlook and lower stress –Americans feel more control over their personal lives and health than their financial futures Financial freedom and control are more important than wealth 2

Executive Summary The MOOD of America survey identified some key behaviors associated with feeling in control: 3 Cultivating Personal RelationshipsPrioritizing Family TimeBeing Engaged in the CommunityMaking “Me-Time” Taking Care of Yourself Physically Taking Concrete Steps to Enhance Your Financial Security

The MOOD of America survey found that Americans are optimistic, resilient and in control

Americans are Optimistic about Their Futures 5 Women are especially positive: 76% of women are optimistic, compared with 67% of men.  Somewhat  Very

Americans Believe They Can Always Solve Their Problems 6  Strongly agree  Somewhat agree

Financial Control and Freedom are Much More Important than Wealth 7 % Very Important Being in control of your financial situation Having enough money to do what you want to do Being wealthy

However, Americans Feel More in Control Over Life/Health than Over Financial Security 8 % Very much in control

Feeling in control of one’s life has a positive impact on future outlook and stress levels

out of 3 Americans are in Control of Their Lives 10 Personal Life Health Finances 66% IN CONTROL * * These are individuals who feel very much or somewhat in control of their life in general, personal/family life, health and financial futures.

Being in Control Contributes to a Positive Outlook 11 Very optimistic Somewhat optimistic

Americans in Control are also More Optimistic about Their Financial Futures 12 Very optimistic Somewhat optimistic

Americans in Control Report Lower Levels of Stress 13 % A lot of stress

The survey uncovered some key behaviors that are associated with feeling in control 14

Cultivating Personal Relationships 15 Regularly spend time with family Currently in love Regularly make time for friends (+7%) (+9%) Use Facebook to stay in touch (+10%)

Prioritizing Family Time 16 Regularly have family dinners at home Have children living at home Regularly help kids with homework (+9%) (+7%) (+8%)

Being Engaged in the Community 17 Volunteer or donate to charity Will ‘definitely’ vote in next election Actively support a political candidate or issue (+11%) (+7%)

Making “Me-Time” 18 Take time out of your day to be alone and think Spend time on a hobby Have enough time to do the things you want to do (+7%) (+9%) (+19%)

Taking Care of Yourself Physically 19 Exercise Take long walks Regularly go for a dental checkup (+6%) (+12%) (+17%)

Taking Concrete Steps to Enhance Your Financial Security 20 (+6%) (+28%) (+19%) Regularly stay within budget Regularly put money away for retirement “I save some money from every paycheck, even if it isn't a lot” % Agree Completely

Owning Financial Products 21 Have life insurance Own a retirement account such as 401(k) or IRA Own financial products other than a retirement, checking or savings account (+16%) (+12%) (+13%)

Demographically, those in control are strikingly similar to those not in control

Demographic Profile 23 TotalIn ControlNot In Control Gender Male49% 50% Female51% 50% Age 18 – 44 years old47%48%44% 45 – 64 years old35%34%36% 65 years or older17%16%19% Don’t know/refused 1% 0% Region Northeast19% Midwest23% South36%35%37% West22%23%20% TotalIn ControlNot In Control Marital Status Married/domestic partnership/living with someone 69%70%68% Single 15% 16% Widowed 8% Divorced 8% Children living at home 41%43%36% Sexual Orientation Heterosexual 93% 92% LGBT 2%1%3% Prefer not to answer/Don’t know 5%6%5%

Demographic Profile 24 TotalIn ControlNot In Control Education High/technical school 27%23%34% Some college 27%25%29% College graduate or higher 46%51%36% Don’t know/refused 1% Employment Employed full/part time 64%66%60% Retired 19% 20% Unemployed/ temporarily laid off 8%5%11% Other 9%10%9% Don’t know/refused 1% 0% TotalIn ControlNot In Control Hispanic/Latino ethnicity14%15%12% Race White/Caucasian71%69%73% Black/African American11%13%8% Asian4% 5% Other13%12%13%

Financial Profile 25 TotalIn ControlNot In Control Household Income Less than $50,00039%34%49% $50,000 to $100,00039%40%36% $100,000 or more22%26%15% Financial Situation Have enough money to do what you want to do 51%61%31% Have enough money to live on when you retire 46%54%30%

Methodology The MOOD (Measuring Optimism, Outlook and Direction) of America survey results are based on telephone interviews conducted by Whitman Insight Strategies on behalf of Lincoln Financial Group. Interviews were conducted on November 4-8, 2011, among 803 adults 18 years of age and older across the United States. The margin of error for total sample is ±3.5% at the 95% confidence interval, and is somewhat higher for subgroups. Respondents were contacted by phone via a live operator; their telephone numbers were selected using random-digit-dial methods. The sample was weighted by age, Hispanic ethnicity, race. Demographic weighting targets are based on the 2010 U.S. Census figures for adults 18 years of age and older. 26